Program Announcement.pdf

U.S. Small Business Administration

Office of Small Business Development Centers

Funding Opportunity No. SB-OEDSB-24-001

SMALL BUSINESS DEVELOPMENT CENTER PROGRAM

NOTICE OF FUNDING OPPORTUNITY

PROGRAM YEAR 2024

FUNDING OPPORTUNITY NO. SB-OEDSB-24-001

The purpose of this Funding Opportunity is to invite proposals for funding from entities that are current recipients of a Small Business Administration (SBA) Small Business Development Center (SBDC) award.

Only applications that are submitted by SBDC Lead Centers will be considered for funding.

Table of Contents

1.0 Section I – Funding Opportunity Description

1.1. Program Overview

1.2. Introduction

1.3. Background

1.4. Purpose

1.5. Leveraging of Resources

1.6. SBA Involvement and Oversight

1.7. Changes or Cancellation

2.0 Section II – Award Information

2.1. Estimated Funding

2.2. Expected Number of Awards

2.3. Period of Performance/Budget Periods

2.4. Project Start Dates

2.5. Funding Information

2.6. Funding Instrument

2.7. Matching Requirement

3.0 Section III – Eligibility Information

3.1. General

3.2. Eligible Applicants

3.3. Ineligible Applicants

4.0 Section IV – Application and Submission Information

4.1. Application Instructions

4.2. Submission Instructions

4.3. SBDC Applicant’s Timeline

4.4. Additional Proposal Information

5.0 Section V – Application Review Information

5.1. General

5.2. Evaluation Criteria

5.3. Review and Selection Process

6.0 Section VI – Award Administration

6.1. Award Notification

6.2. Administrative and National Policy Requirements

6.3. Reporting

6.4. Recordkeeping Requirements

7.0 Section VII - Agency Contacts

7.1. Small Business Development Center Program Point of Contact

7.2. Financial/Grants Management Point of Contact

7.3. Grantsolutions.gov Technical Support

8.0 Section VIII - Other Information

8.1. Definitions

8.2. Guidelines

8.3. Advance Understandings

1.0 Section I – Funding Opportunity Description

1.1. Program Overview

1.1.1. Federal Agency Name U. S. Small Business Administration, Office of Small Business

Development Centers

1.1.2. Funding Opportunity Title Small Business Development Centers

1.1.3. Announcement Type Initial

1.1.4. Funding Opportunity Number SB-OEDSB-2024-001

1.1.5. CDFA Number 59.037

1.1.6. Closing Date for Submissions August 29, 2023

1.1.7. Authority Small Business Act, Section 21 (15 USC §648)

1.1.8. Duration of Authority Permanent

1.1.9. Funding Instrument Cooperative Agreement

1.1.10. Funding Funding is for a twenty-four-month period.

1.1.11. Award Amount/Funding Range Section 21 of the Small Business Act sets forth a formula by which funds are to be distributed among the States. This formula, for the most part, rests upon a per capita basis, subject to the amount of an appropriation in any given fiscal year. The funding amount for the

SBDC Program for fiscal year 2024 will be funded at the level appropriated by Congress. The Recipient Organization receiving the

Cooperative Agreement is required to match funding received on a 1:1 ratio unless otherwise authorized.

1.1.12. Project Duration Awards will be made for a two-year period of performance. SBA intends to continue to fund the SBDC Program annually, subject to availability of funds.

1.1.13. Project Starting Date January 1, 2024, for Funding Opportunity No. for PY 2024.

1.1.14. Proposal Evaluation Proposals will be reviewed for sufficiency in meeting the requirements of the Program as defined in 13 CFR Part 130.340. SBA may ask

Applicants for clarification of the technical and cost aspects of proposals.

1.1.15. Agency Programmatic Point of

Contact

Small Business Administration, Office of Small Business Development

Centers, Email: SBDCGrantsq@sba.gov.

1.2. Introduction

The Small Business Development Center (SBDC) Program is the U.S. Small Business Administration’s

(SBA’s) largest matching grant-funded program providing quality service to the small business community.

The SBDC Program has 63 Recipient Organizations - one in each state (with the exception of four regional

SBDC networks in Texas and five regional networks in California), the District of Columbia, Puerto Rico, the Virgin Islands, American Samoa, Guam, and the Northern Mariana Islands. The Recipient Organization is responsible for establishing a Lead Center and a network of partner Service Centers to cover its designated area of service. The SBDC Program links the resources of Federal, state and local governments with the resources of the educational community and the private sector to provide assistance to the small business community. In partnership with SBA’s Office of Small Business Development Centers (OSBDC) http://www.gpo.gov/fdsys/search/pagedetails.action?browsePath=Title+15%2FChapter+14a%2FSec.+648&granuleId=USCODE-2010-title15-chap14A-sec648&packageId=USCODE-2010-title15&collapse=true&fromBrowse=true http://www.gpo.gov/fdsys/search/pagedetails.action?browsePath=Title+13%2FChapter+I%2FPart+130%2FSection+130.340&granuleId=CFR-2009-title13-vol1-sec130-340&packageId=CFR-2009-title13-vol1&collapse=true&fromBrowse=true&bread=true mailto:SBDCGrantsq@sba.gov and District Offices, SBDCs develop business counseling and training programs, informational tools, and other services that enhance the economic development goals and objectives of SBA, in their respective service areas, and their local funding partners.

1.3. Background

Since its inception in 1953, SBA has served to aid, counsel, assist, and protect the interests of small businesses. While SBA is best known for its financial support of small businesses through its many lending programs, the Agency also plays a critical role in providing funding to organizations that deliver technical assistance in the form of counseling and training to small business concerns and nascent entrepreneurs in order to promote growth, expansion, innovation, increased productivity, and management improvement.

1.4. Purpose

Eligible organizations, as defined in Section 3.2, may apply to SBA for an award of financial assistance under this Funding Opportunity to fund an SBDC Program. SBDC Programs deliver professional, high quality, individualized business advising and technical assistance to existing small businesses and pre-venture entrepreneurs. SBDCs shall provide problem solving assistance to help small businesses access capital, develop and exchange new technologies, and improve business planning, strategy, operations, financial management, personnel administration, marketing, export assistance, sales and other areas required for small business growth and expansion, management improvement, increased productivity, and innovation.

1.5. Leveraging of Resources

Applicants selected for awards under this Funding Opportunity are required to maximize their efforts to leverage SBA funding by working in conjunction with SBA District Offices and other Federal, state, local and tribal government small business development programs and activities; SBA resource partners such as SCORE, Women’s Business Centers (WBCs), Veterans Business Outreach Centers (VBOCs), SBA

Community Navigators, 7(j) Technical Assistance providers, Small Business Investment Companies (SBICs), U.S. Export Assistance Centers (USEACs), Certified Development Companies (CDCs) and SBA lenders;

universities, colleges, and other institutions of higher education; and private organizations such as chambers of commerce, and trade and industry groups and associations.

1.6. SBA Involvement and Oversight

The SBDC Program is managed by the Associate Administrator for Small Business Development Centers

(AA/SBDC) at SBA Headquarters. The SBA will have substantial involvement in the administration, monitoring, and oversight of the Cooperative Agreement. OSBDC shall assign a Grants Management

Specialist (GMS) to review the budget and all fiscal documentation for compliance with applicable Federal and program requirements. The Grants Management Officer (GMO) issues the Notice of Award. A

Program Manager within OSBDC serves as the Grants Officer’s Technical Representative (GOTR) responsible for overall monitoring and oversight of the Recipient’s SBDC Program award, including compliance with the terms of the Cooperative Agreement and program service delivery and performance.

The SBA District Office will review the proposal for Agency priorities and performance goals and will designate a Project Officer (PO) to conduct delegated grant monitoring activities on behalf of OSBDC. SBA will also conduct biennial financial and programmatic examinations of each SBDC Recipient Organization, as required by statute. National performance goal measures have been established by OSBDC in coordination with the America’s Small Business Development Centers and the SBA district offices. SBDCs will include metrics for each of the measures in response to this Notice of Funding Opportunity and in collaboration with their respective District Office.

1.7. Changes or Cancellation

SBA reserves the right to amend or cancel this Funding Opportunity, in whole or in part, at the Agency’s discretion. Should SBA make material changes to this Funding Opportunity, the Agency will extend the closing date as necessary to afford Applicants sufficient opportunity to address such changes.

2.0 Section II – Award Information

2.1. Estimated Funding

SBA expects to issue awards based on the funds appropriated. The Federal budget for the SBDC Program for program year 2023 was $140,000,000. Section 21 (a)(4)(C) of the Small Business Act sets forth a formula by which funds are to be distributed. SBDCs should submit budget proposals that are in line with the enacted level for discretionary appropriations in the previous fiscal year rather than solely considering the proposed budget request level, which in recent years has not been reflected of the level ultimately enacted by Congress.

In the event that SBA is operating under a Continuing Resolution (CR) at the time of award, funding will be available during the period of the CR to the extent that funds are provided to the SBA for this purpose by the Office of Management and Budget. The amount available under the period of the CR may be less than the pro rata total anticipated amount of award.

Subject to the availability of funds and compliance with the terms and conditions of the Cooperative

Agreement, SBA has the discretion to adjust the award to an amount consistent with the authorized funding level under the federal appropriations law.

2.2. Expected Number of Awards

SBA anticipates making no more than 63 awards under this Notice of Funding Opportunity.

2.3. Period of Performance/Budget Periods

The period of performance for this award is two years.

2.4. Project Start Dates

The project start dates are January 1, 2024, for states/regions responding to Funding Opportunity No. SB-

OEDSB-24-001 for Program Year 2024.

2.4.1. Continuation of Funds

SBA intends to award continuation funding to the Recipient under subsequent annual SBDC Cooperative

Agreements for future calendar years, subject to continued program authorization, availability of funds, satisfactory performance, and the continued interest of the Recipient Organization. However, an SBDC may not receive continued funding if there has been a clear showing of poor performance, as measured by SBA. Poor performance is indicated by unsatisfactory oversight reviews (programmatic and/or financial), accreditation issues, improper or insufficient activity affecting the operation and integrity of the SBDC and/or a failure to follow the rules and procedures set forth in the statute, regulation, and/or

Funding Opportunity.

2.4.2. Intent to Renew

SBDCs wishing to exercise a renewal option must email the Letter of Intent to Renew to their assigned

OSBDC Program Manager by the date listed on the SBDC Applicant’s Timeline in Section 4.3 of this

Funding Opportunity.

2.5. Funding Information

Funds provided under the SBDC Program must be used solely for the purposes stipulated in this Funding

Opportunity and the Notice of Award and may not be commingled with any other monies. All costs proposed in an Applicant’s budget must meet the tests of allowability, allocability, and reasonableness set forth in the Office of Management and Budget Uniform Guidance at 2 CFR Part 200, Subpart E.

Reimbursement of indirect costs from Federal funds will be capped at a maximum of 20 percent, regardless of the amount stipulated in an Applicant’s indirect cost rate (ICR) Agreement.

2.6. Funding Instrument

The funding instrument is a cooperative agreement and substantial involvement is expected between the awarding Agency and the Recipient when carrying out the activity contemplated in the Agreement.

2.7. Matching Requirement

The organization receiving the Cooperative Agreement is required, unless otherwise authorized by statute, to match Federal funds on a 1:1 ratio. Non-Federal matching funds may take the form of cash or cash equivalent, in-kind donations provided by a third party or unreimbursed indirect costs (i.e., waived indirect).

Cash match in an amount not less than 50 percent of the Federal funding is required. The remainder may be in the form of additional cash or in-kind contributions, and/or waived indirect costs.

No portion of the match may be from federal sources, with the exception of applicable Community

Development Block Grant (CDBG) funds. Program income (e.g., fees collected from clients and/or attendees for training) may not be used as a source of matching funds.

2.7.1. Insular Area Territory Match Waiver

The SBA has the authority, per U.S. Code Title 48 – Territories and Insular Possessions, Chapter 10 –

Territorial Provisions of a General Nature, Section 1469a(d) – Congressional declaration of policy respecting “Insular Areas”, to waive any requirement for matching funds otherwise required by law to be provided by the Insular Area involved. Additionally, § 601 of Pub. L. No. 96-205 and § 6 of Pub. L. No. 98-

213 together mandate that “notwithstanding any other provision of law, in the case of the Virgin Islands, American Samoa, Guam, and the Northern Mariana Islands, any department or agency shall waive any requirement for local matching funds under $200,000…”

The Insular Area Territory SBDCs are required to provide a 1:1 match that must include at least 50 percent in cash with the remainder consisting of a combination of cash, in-kind and non-reimbursed

Facilities and Administrative costs (i.e., waived indirect costs) on all core SBDC grant funds of $200,000 and above. The waiver of the first $199,999.00 in local match must be requested in writing for each program year in a letter addressed to the Grants Management Officer delivered before the annual application submission deadline. Once the waiver is approved by the Grants Management Officer, the waiver is applied within the proposed budget in the amount of $199,999.00 deducted from the Federal funding level to equal the required match amount.

The core grant Insular Area Territory Match Waiver for any amount exceeding $199,999.00 a budget justification must be requested in writing, prior to the submission of the renewal application package, and transmitted through the OSBDC Program Manager to the AA/OSBDC. The requested waiver amount cannot exceed the Network’s allocation for the program year and must be approved by the AA/OSBDC.

The core grant Insular Area Territory Match Waiver will not apply retroactively to previous, ongoing, or expired grants and is not transferable to other non-SBDC funding opportunities from SBA.

3.0 Section III – Eligibility Information

3.1. General

An organization may NOT submit more than one proposal per geographic community in response to this

Funding Opportunity.

3.2. Eligible Applicants

To be eligible for this Funding Opportunity an Applicant must:

• Be an existing SBDC Lead Center, currently funded by SBA; and

• Meet the Accreditation requirement for SBDC Program renewal under § 21(k)(3)(B) of the Small

Business Act (15 U.S.C. § 648(k)(3)(B)).

3.3. Ineligible Applicants

The following will automatically be considered ineligible, and their applications will be rejected without being evaluated:

• Any organization that is NOT a currently funded SBDC Lead Center;

• Any organization currently having an outstanding, unresolved financial obligation to any Federal

Agency;

• Any organization that is currently suspended, debarred or otherwise prohibited from receiving awards of contracts or grants from the Federal Government;

• Any organization with an outstanding and unresolved material deficiency reported under the requirements of the Single Audit Act or OMB Circular A-133 within the past three years;

• Any organization having at least one non-compliant condition within SBA program guidelines occurring while administering or implementing any SBA program, including denial of Accreditation;

• Any organization that has had a grant or cooperative agreement involuntarily terminated or non-renewed by SBA for cause;

• Any organization that has filed for bankruptcy within the past five years; and/or

• Any organization that proposes to serve as a pass-through and permit another organization to manage the day-to-day operations of the project.

4.0 Section IV – Application and Submission Information

4.1. Application Instructions

Applications must consist of the following elements: a.) Support letter from the SBA District Director; b.)

Technical proposal; c.) Budget information; d.) Certifications, Forms and Assurances; and e.) Attachments and Exhibits.

4.1.1. Technical Proposal (not to exceed 35 pages)

The technical proposal serves as the blueprint for the Applicant’s planned project. This information must be provided in a paginated attachment not to exceed 35 pages. It must include the following information:

4.1.1.1. Program Narrative:

• Organization and Structure

Provide an organizational chart for the total SBDC Network indicating the position of the Lead Center within the Applicant organization. Include the department/division and the individual (name, title, phone number, email address) to whom the SBDC Lead Center Director reports. In addition to the organization chart, include the following, and note any planned additions or reductions:

a. Total number of separately budgeted SBDC Network Service Center locations = _______ (Provide details in Network Listing requested in Section 4.1.1.3);

b. Total number of SBDC staff = _______________

• Number of SBDC management and support staff:

• Full time = _________________

• Part time = _________________

• Number of SBDC counseling staff:

• Full time employees = _________________

• Part time employees = _________________

• Contract consultants =_________________

• Program Management

A brief description of:

a. SBDC Program Area of Service (must be statewide or region-wide);

b. Methodology, philosophy and justification for the distribution of service area resources, such as

Service Centers, satellites and specialty programs, using factors such as population or business census, population/counselor distribution formulas, as well as any planned adjustments;

c. Correlation of resource distribution to needs assessment studies and the SBDC’s strategic plan for the management and coordination of SBDC services throughout the state or area being served;

d. Standard wait time for an initial client counseling appointment. Please note if changes are anticipated in the coming year, such as due to significant increase or decrease of resources, addition or closure of existing service locations etc.;

e. Management strategy for filling vacancies (interim measures and vacancy timeframes);

f. If applicable, describe plans for the addition of new Service Centers or programs, including the staffing plan; and

g. Identify whether or not Lead or Service Centers are designated Minority Serving Institutions, and the specific designation is (e.g., Historically Black College and University, Hispanic Serving

Institution).

• Program Objectives

SBDCs must include a brief summary of program objectives and ongoing programs, highlighting any new programs, special projects or activities, with particular reference to planned activities for the program year that seek to address SBA’s Required Services listed in Section 5.

To facilitate the core award proposal review, categorize the information on planned program activities using the reporting categories listed in Section 6. The following post-award reporting categories should NOT be included in the proposal:

• 1500 SUCCESS STORIES

• 1900 UNPLANNED TRAVEL

• 2000 KEY PERSONNEL

• 2100 PROBLEMS

• 2200 BUDGET TO ACTUAL

• 2300 ECONOMIC IMPACT

In addition to planned activity described within these categories, the Proposal must include the following:

a. Planned performance service volume and changes, if any:

i. Counseling: List most recent 12-month program year total counseling hours and counseling clients for the Network for activities funded from core award funds and discuss any anticipated changes for the upcoming project period such as the opening or closing of centers; and

ii. Training: List prior year total training sessions and clients for the Network for activities from core award funds and discuss any anticipated changes for the upcoming project period such as the opening or closing of centers.

b. Planned milestones and outcomes:

i. List SBDC goals for: Clients Advised, New Business Starts, Capital Infusion Transactions. See also Attachment 3 in Section 4.1.4. SBDCs should submit their goals with their 2024 Program

Year funding proposals. Along with the numerical targets for each goal, SBDCs should include the rationale for setting the goal. For example, an SBDC may look at a five-year average performance as a basis for the goal target. Alternatively, the SBDC may utilize other trend data to determine the target. An SBDC can choose any methodology they believe will provide a realistic level of achievement. OSBDC understands economic conditions change, physical disasters happen, and other local events contribute to changes in the state/regional economy. If the proposed goal target is less than the previous year’s achievement, the SBDC should include an explanation or rationale for a lower goal target. If a goal target is too low or too high without a sufficient explanation, OSBDC may request for additional clarification or an adjustment to the target.

OSBDC encourages SBDCs to establish their goals and focus area with their respective

District Office. The District Office is not approving the goals, rather, the collaboration should be on the needs of the small business community. If either an SBDC or a District Office has concerns about the goals after the collaborative discussions, either may reach out to OSBDC through their respective Program Manager.

ii. List Focus Area: SBDCs will choose one Focus Area (from Appendix A - SBDC FY24 Regional

Focus Areas Matrix) in collaboration with their respective District Office that will focus on state or regional needs. This focus area will allow more flexibility to highlight specific small business needs within the community that align with SBA’s strategic plan, the strategic plans of the SBDC, and the value of SBDC services that are not necessarily or fully captured by the three overarching goals referenced above. The purpose of the focus area is to enable SBDCs and District Offices to partner on areas specific to the state or region they serve. This will also help demonstrate the diversity within the SBDC Network. See also Attachment 3 in

Section 4.1.4.

iii. Identify any other key milestones or performance goals for the project period for the core award not captured in Part b.i.

c. Collaboration, outreach, and/or jointly planned events the Network is planning to conduct with the District Office and/or other SBA resource partners (e.g., lender roundtables; 8(a) certification training; and events with SBA 7(j) grantees and other SBA Government Contracting and Business

Development Resources, Community Navigators, Manufacturing Extension Partnerships (MEPs), APEX Accelerators (formerly Procurement Technical Assistance Centers), U.S. Patent and

Trademark Office, and U.S. Department of Agriculture); and

d. Client Satisfaction Rate: SBDC client satisfaction will be based on overall service, knowledge and expertise of the SBDC advisor, working relationship with the SBDC advisor, and if the client would recommend SBDC services. Describe the Network’s plan to collect client feedback on SBDC services and rate achieved in most recent client satisfaction survey. This should be reported in

Section 2300 of the Network’s Annual Report.

e. Online Client Services: SBA views the use of web-based technology as a means to increase outreach within existing budgets, to access populations or areas otherwise difficult to reach, and to offer services 24/7 when appropriate.

f. SBDC Operating Hours and Scheduled Closures: Provide a list of scheduled holidays and planned closures for the Lead Center and each Service Center. SBDC Lead Center and Service Centers must be accessible to the public during normal business hours throughout the year except for the scheduled closures listed in the Proposal. Emergency closures must be reported in writing or by email to the SBA Project Officer and OSBDC Program Manager as soon as possible.

g. Partner Location Information Contact: Identify the SBDC contact designated to maintain information in SBA’s Partner Location Information, by name, title, phone number, and email address.

h. Advisory Board:

i. Provide a list of the members of the SBDC’s statewide/region-wide Advisory Board in accordance with 15 U.S.C §648(j), including their titles. A majority of the Advisory Board members must be representatives from small businesses or organizations representing small businesses located throughout the entire area of service. Veterans, women, minorities, and Native Americans should be represented, as appropriate. The SBA District

Director should be a non-voting member.

ii. Include a description of the Board’s responsibilities and provide the date of the Board’s last meeting. There should be regular periodic meetings each year.

iii. The reasonable cost of travel of any board member for official board activities may be paid out of the SBDC’s budgeted funds and must follow the Recipient Organization’s policy for per diem and related travel costs. See Section 4. for additional guidance.

i. Conflict of Interest Policy: Include a copy of the SBDC’s current conflict of interest policy for the

SBDC Network. Each SBDC Network must have a written conflict of interest policy that is signed annually by all employees, consultants, instructors, and volunteers of the SBDC Network. The http://www.gpo.gov/fdsys/search/pagedetails.action?browsePath=Title+15%2FChapter+14a%2FSec.+648&granuleId=USCODE-2010-title15-chap14A-sec648&packageId=USCODE-2010-title15&collapse=true&fromBrowse=true policy must include enforceable elements safeguarding the SBDC Program from actual or apparent conflicts.

j. Training: Provide a list of the types of training to be offered during the budget period. The Lead

Center is expected to provide the SBA Project Officer with a quarterly calendar of SBDC trainings or with electronic access to comparable information.

k. Personnel Resumes: Attach résumés for any new key personnel directly employed by the SBDC

(i.e., Lead and Service Center Directors or managers, managers or directors of specialty centers and programs, such as for technology or international trade and Partner Location Information designee) since the start of the last program year. If not stated on the résumé, please indicate the person’s current position in the SBDC Network. Do not include résumés for trainers, counselors or support staff.

l. Activities Supported with Program Income: Describe planned activities that will be supported with SBDC program income during the performance period and estimated cost. Program income must be used to expand the quantity or quality of services, resources or outreach provided by the

SBDC Network. Planned expenditures from program income are subject to OMB Uniform

Guidance and SBDC program rules and requirements as set forth in 13 CFR § 130. However, do

NOT include program costs supported with program income on the Application, Network budget summary, or budget justifications.

m. Funds Managed Outside the Cooperative Agreement: Fully describe any other federal or state small business assistance programs, contributions or grant funds (excluding foundation accounts) managed by the SBDC Lead Center outside the SBA Cooperative Agreement (e.g., APEX

Accelerator, State Small Business Credit Initiative and Manufacturing Extension Programs).

Include the source and amount of funds provided by each organization and the purpose for which the funds have been provided.

In accordance with 15 USC §648(a)(5), before bidding on another federal contract, the SBDC must obtain prior written approval from the AA/SBDC as to the subject and general scope of the project. SBDC Lead Centers may not manage other funds, regardless of funding source, when the scope of activity is inconsistent with this Funding Opportunity.

The SBDC must maintain an updated list of funding sources and amounts for each source of funds received by the SBDC Network including grants, contracts and contributions. In addition, for each source of funds, documentation regarding the name and phone number of the donor/contractor/grantor, the amount of funding, the intended purpose and any requirements, stipulations or deliverables must be maintained and made available during the biennial financial examination process.

SBDCs managing other small business programs outside the SBA Cooperative Agreement must maintain separate accounting/financial records to ensure a clear audit trail for the funds provided under the SBDC Cooperative Agreement.

n. Micro-purchase and the Simplified Acquisition Thresholds for Grantees for Financial

Assistance: The SBDC Lead Center must provide a statement acknowledging they are adhering to

OMB Memo 18-18 Implementing Statutory Changes to the Micro-Purchase and the Simplified

Acquisition Thresholds for Financial Assistance. The SBDC Lead Center will be responsible for ensuring Services Centers are also following the guidelines for the micro-purchase threshold.

https://www.whitehouse.gov/wp-content/uploads/2018/06/M-18-18.pdf https://www.whitehouse.gov/wp-content/uploads/2018/06/M-18-18.pdf

The approval to use a higher threshold only applies to the non-federal entity (Lead Center office) and not to each Service Center. For a Network Service Center to use a higher threshold, the

Service Center host would also need to follow the same procedure to obtain approval from their cognizant agency for indirect cost and provide that documentation to the SBDC Lead Center

Office.

Additionally, if a Network is requesting an increase for their micro-purchase threshold it should be included in the proposal Cost Price Analysis workbook.

4.1.1.2. Planned Milestones Worksheet

Complete all sections of the Planned Milestones Worksheet and include the worksheet as Attachment #3 to the Proposal. The worksheet is available from OSBDC at: SBDC Forms and Worksheets.

4.1.1.3. SBDC Network Listing

Provide a list of all service locations by name, host institution, key contact, physical address, phone number and Partner Location Information code. Identify the Lead Center, and indicate whether each location is a Service Center, specialty center, or other location with a minimum of dedicated part-time personnel.

4.1.2. Cost Proposal

Information on proposed project costs must be provided through the completion or submission of the following:

a. Application for Federal Assistance (SF-424). Included in Grantsolutions.gov package;

b. Budget Information - Non-Construction Programs (SF-424A). Included in Grantsolutions.gov package;

• In Section B of SF-424A, line 6 g titled “Construction” shall be used for Consultant costs as described in the SBDC Budget Justification Instructions Section 4.1.2.3(c).

c. SBDC Cost Price Analysis and Budget Justifications available from OSBDC’s webpage at: SBDC Forms and Worksheets, reference sba.gov;

• Include a separate budget justification form with required cost detail for the Lead Center and each Network Service Center.

• Personnel lists must include each person’s name, position, salary and percent time budgeted to the SBDC Program.

• Applicant may use their own budget justification form, as long as the Applicant’s format includes

ALL budget detail required in OSBDC’s template and the guidance herein. If the Applicant chooses to use their own budget justification format (i.e., not the OSBDC form) it must ALSO include a separate SF 424A for the Lead Center and each Network Service Center. It must be uploaded as

Attachment #4.

d. Budget Narrative If all required cost detail is not shown on the SBDC budget justification and personnel list, include a separate budget narrative for the Lead Center and each Network Service

Center.

e. Indirect Cost Rate (ICR) Agreements negotiated with the cognizant Federal Agency; Provide a complete signed copy of the current ICR Agreement for the Lead Center and each Network Service

Center that plans to claim indirect costs. See also Section 4.

f. Cost Price Analysis and Budget Justifications Worksheet OSBDC recommends the use of the updated template available at on OSBDC’s webpage at: SBDC Forms and Worksheets which includes a template for the SBDC Network’s Cost Price Analysis and Budget Justifications Worksheet.

4.1.2.1. Budget Preparation

OSBDC will provide SBDCs with projected funding levels to be used in budget preparation.

• Budget information must describe the financial resources contributed by the Applicant. The amount and source of funds provided as match must be clearly indicated, in Box 18 of SF-424, and the budget summary SF-424A, Lead Center and each Network Service Center budget justification form must clearly indicate which program costs will be paid by Federal dollars, cash, in-kind and waived indirect.

Applicants must show how the value of each in-kind match contribution is determined. This applies to costs incurred by Service Centers as well as Recipient costs.

• In addition, matching funds included in the budget information must also be listed by amount and contributor (i.e., state, university, private sector) in Section 5 of the Planned Milestones worksheet required as part of the Technical Proposal. See Section 4.

• Applicants must NOT include SBDC program income, nor unspent program funds from prior budget periods on the Application SF-424, Budget Information SF-424A or SBDC budget justification forms submitted in response to this Funding Opportunity. Planned program income expenditures should be described instead as part of the Technical Proposal. See Section 4 for guidance. Specifically:

o Leave BLANK and do not include program income on the line f in Box 18, “Total Estimated

Funding” of the SF-424;

o Leave BLANK line 7 for “Program Income” on the SF-424A; and o Do NOT include program income costs in the detailed budget justification.

4.1.2.2. Network Service Center Costs

An Applicant may contract with other entities to deliver SBDC services and must include a provision in the

Network Service Center agreement to comply with the Uniform Guidance in 2 CFR 200 and all appropriate flow-down provisions.

If an Applicant proposes to use Network Service Centers for delivery of SBDC client services (also referred to herein as subcontracted Service Centers), it shall include the Network Service Center costs in the contractual budget element on the SBDC Network’s SF-424A Budget Summary form, and provide separate detailed budget justifications, with a line item breakout for Federal dollars, cash match, in-kind and indirect costs associated with the SBDC services to be provided by the proposed Network Service

Center organization. If the Network Service Center proposes its own contractual costs (sub-subcontracts), it must provide supporting budget details such as a statement of work, the number of hours, and rate of pay must be provided for each contractor.

For those SBDCs operating separate International Trade Centers (ITCs), as part of the Cooperative

Agreement, the Proposal must identify each Service Center’s specialty designation. An Applicant may substitute its own forms or spreadsheets in place of the SBDC Budget Justification Worksheet so long as it includes all of the information requested in Section 4.1.2.3.

4.1.2.3. SBDC Budget Justification Instructions

The budget cost categories and required cost detail for each category are described below. The direct cost and indirect cost total must agree with the SF-424 and SF-424A.

a. Personnel: List name and title of all personnel charged to federal and non-federal funds (direct costs).

For vacancies, show position title in budget justification. If additional space is needed to explain the cost, include a budget narrative. Use the personnel list to show annual salary, number of months, level of effort in percentage, and total amount budgeted for each position as the basis used to estimate personnel costs charged to the SBDC Program. Employees of the entity should be budgeted as Federal or cash match.

b. Fringe Benefits: Indicate the fringe rates approved by your cognizant Federal Agency for audits when available. If not available provide the schedule used. Do not include fringe cost in the total amount required for personnel.

c. Travel: For local travel, provide total anticipated mileage, and mileage rate. For out of state/region travel (including foreign travel), provide estimated cost and justification including a.) Purpose, b.)

Destination, c.) Mode of transportation and rate (i.e., airfare or mileage and rate), d.) Number of trips, and e.) Number and position of travelers.

d. Equipment: List items costing $5,000 or greater and having at least one year of useful life. The

Recipient Organization must maintain an inventory of equipment purchased with program dollars including cost, location, and detailed description of each item. Equipment inventory must be made available upon request of SBA.

e. Supplies: Show anticipated cost of supply items such as general office, operational, computer supplies and other supply items costing less than $5,000. The Recipient Organization must maintain an inventory of controlled supplies of higher dollar value and high potential for loss such as computers, and it must be made available upon request of the SBA.

f. Contractual: List costs for contractual services that support program operations, such as website support, equipment maintenance or meeting facilitation. Provide budget details including a.) Name of contractor, b.) Statement of work, c.) Number of hours and d.) Rate of pay.

If Applicant proposes to contract with another entity to provide SBDC client services (i.e., a Network

Service Center), costs for the Network Service Center contract may be included on the Contractual line for the Network SF-424A Budget Summary, but the Applicant must also include a separate budget justification with cost detail by line item for each Network Service Center.

Please be reminded that if the Applicant uses a budget format other than OSBDC template, the

Applicant must also include a separate SF-424A Budget Summary form for each Network Service

Center along with its detailed budget justification form.

g. Consultants: Provide detail for consultant costs shown on the line 6 g of SF-424A. (Note that form SF-

424A lists category g. as “Construction”, but Applicants are asked to use this line for SBDC Consultant costs only.)

Consultant costs include costs for non-employee SBDC advisors, trainers and other staff who provide client services on an hourly or fee for service basis. Provide consultant(s) name, if known, specify purpose, and indicate the number of hours, and rate of pay.

h. Other: List all expenses included in this cost category separately, with planned cost per item.

Other expense items may include, but are not limited to, computer software, copying, postage, printing, publications, subscriptions, dues, telephone, conference fees, and office space rental. If rental costs are proposed, provide square footage required for SBDC activities and rate.

If nominal costs for meals and hospitality expenses associated with client workshops or related events are proposed, include a justification that demonstrates such costs are reasonable and necessary to support the SBDC program mission and goals. Details may be included on the budget justification form, budget narrative or in a clearly marked section of the technical narrative.

Do not list other items with zero amounts.

i. Indirect cost: Show indirect cost amount on the line j of the Budget Justification ONLY. (Do NOT include indirect costs as cash match or as in-kind contributions; or as a contractual cost category.)

An Indirect Cost Rate no higher than that approved by your cognizant Agency should be used to estimate indirect costs, except for organizations that have never had an Indirect Cost Rate Agreement

(ICRA) with the Federal Government. Those organizations may use either the 10 percent de minimis rate provided in 2 CFR § 200.414 or use a 24 percent modified total direct cost with the SBA. See 2

CFR § 200.1 and Section 4.1.5 Financial Guidelines for additional guidance.

Reimbursement of indirect costs charged to federal funds will be capped at a maximum of 20 percent. The amount remaining of the total indirect cost is the waived portion (i.e., indirect match, if any).

You may only use rates which appear on the ICR under “Applicable To” which indicate one of the following:

• Other Sponsored Activity

• All Projects

• Instruction

• SBDC Programs

Other categories may apply. Check with the Grants Management Officer for any necessary clarification.

4.1.3. Certification Forms and Assurances

Consistent with 2 CFR § 200.415 Financial Certifications must be signed by an authorized individual at a level no lower than vice president or chief financial officer of the organization. Each Applicant must complete and submit the following forms:

• Cash Match and Program Income Certification Form;

• Cost Sharing Proposal (SBA Form 1224);

** SF-424B and SF-LLL are also incorporated as part of the electronic Application form on Grantsolutions.gov. All other required Certification Forms not included in GrantSolutions.gov can be obtained from OSBDC at: SBDC Forms and Worksheets and uploaded as Attachments to the Application. See Section 4.1.4 for the list of Attachments.

4.1.4. Attachments

Please upload in GrantSolutions the following in the appropriate section and include “Attachment #” in the document name.

• Attachment #1: List of Attachments submitted through GrantSolutions.gov;

• Attachment #2: Technical Proposal, including program narrative, organization chart, Network listing, resumes and other required information;

• Attachment #3: Planned Milestones worksheet; Also include the Network’s selected Focus Area.

• Attachment #4: Cost Proposal, including SBDC budget narrative, detailed budget justification by line item, personnel listing and other required cost detail for each Network Service Center and the Cost

Price Analysis Worksheet;

• Attachment #5: Indirect Cost Rate Agreement for Network Lead and Service Centers (if any);

• Attachment #6: Certification Regarding Debarment, Suspension, and Other Responsibility Matters -

SBA Form 1623. Attach your Certification Regarding Debarment, Suspension, and Other Responsibility

Matters;

• Attachment #7: Certification Regarding Drug-Free Workplace Requirements; Attach the Certification

Regarding Drug-Free Workplace Requirements;

• Attachment #8: Cash Match and Program Income Certification Form; There is no Form number for

Attachment #8

• Attachment #9: Cost Sharing Proposal; Must reflect a minimum of 50 % cash match; Attach the SBA

Form 1224;

• Attachment #10: Letter of Support from SBA District Director (if provided); and

• Attachment #11: Additional information or other documentation the Grantor and the Applicant deems (e.g., A-133 Audit specific to the SBDC Program) necessary to support its Proposal.

4.1.5 Financial Guidelines

4.1.5.1 Administrative Requirements and Cost Principles

SBDCs are governed by the Uniform Administrative Requirements, Cost Principles and Audit

Requirements for Federal Awards, in accordance with 2 CFR Part 200.

4.1.5.2 Budget Preparation & Funding

Specific items of cost may be included in the Proposal and considered allowable under the additional conditions and requirements set forth below.

1. Travel

All travel performed as part of this Agreement must be in accordance with SBDC program objectives and in compliance with the Recipient's travel policy. To obtain Prior Approval through this Proposal for travel outside of the Service Area, all pertinent details must be provided as indicated under Section 4.

Prior written approval for travel is limited to the following types of trips:

• Any travel by state/local/tribal government officials; and

• Out-of-state travel is permitted to areas impacted by federally designated disasters, but prior approval is required from the local District Office and OSBDC when the cost exceeds $10,000.

• Travel outside the United States and its territories which is either: (1) Charged to the Cooperative

Agreement; or (2) Performed while on duty for the Recipient Organization must be submitted to the

District Office who shall recommend to the AA/SBDC or his/her designee for his/her approval or denial no less than 30 days before departure on a case-by-case basis. (Travel to be completed using vacation time regularly earned is not subject to approval by the AA/SBDC.) Failure to obtain 30-day prior approval from the AA/SBDC or his/her designee may result in disallowance of the travel costs but may also include suspension or termination of funding.

2. Payment of Dues

The proposed budget must show amounts estimated for payment of memberships, subscriptions and dues for business, technical and professional associations, including the America’s SBDC (ASBDC). Costs proposed for membership in any civic or community organization, however, must be justified in terms of the benefit to the SBDC derived from this expenditure. In addition, all memberships purchased with project funds must be in the name of the SBDC Program rather than in the name of an individual.

3. Lobbying

There is a broad federal restriction on all grantees of the Federal Government, which prohibits the use of federal appropriated funds to lobby Congress or agencies concerning certain specified federal actions 31

U.S.C. §1352 (also known as the Byrd Amendment).

4. Indirect Costs and Overhead

To propose and subsequently claim indirect costs, Applicants must furnish their current indirect cost rate

(ICR) Agreement:

• As negotiated with their cognizant Federal Agency;

• Certified by their state governmental unit and approved by their cognizant Federal Agency; or

• A rate approved by SBA.

http://www.gpo.gov/fdsys/search/pagedetails.action?st=31+U.S.C.+%C2%A7+1352&granuleId=USCODE-2010-title31-subtitleII-chap13-subchapIII-sec1352&packageId=USCODE-2010-title31 http://www.gpo.gov/fdsys/search/pagedetails.action?st=31+U.S.C.+%C2%A7+1352&granuleId=USCODE-2010-title31-subtitleII-chap13-subchapIII-sec1352&packageId=USCODE-2010-title31

ICR Agreements for participating Service Centers must also be submitted. Entities currently without an

ICR Agreement negotiated with another Federal Agency may request that the SBA Project Officer provide an SBA ICR Agreement (up to 24 percent of Modified Total Direct Costs) to be used exclusively for the

SBDC Program. For entities using an SBA provided ICR Agreement, the following terms apply:

• These terms listed herein are to assist in identifying and clarifying those costs considered to be

“general administrative and general expenses” noted in 2 CFR § 200. They form the basis for this SBA

ICR Agreement and subsequently may not also be included as direct costs against the award when the SBDC ICR Agreement is used;

• Cost pools underlying the ICR Agreement include personnel compensation and benefits for positions or for activities which are not: a.) In direct support of the SBDC Program goals and objectives, and b.)

Under the direction or supervision of the key person identified in the Cooperative Agreement as responsible for program performance at the respective host entity;

• Examples include, but are not limited to, those expenditures allocable to human resources and accounting departments, sponsored project staff, corporate marketing staff, controllers, deans, chief executives, and presidents of colleges and universities; and

• Non-personnel costs such as audits, supplies, materials, insurance, and other services and operating costs allocable to administrative departments and to the activities of the host entity are considered part of the “general and administrative cost pool” and thus may not also be directly charged.

Only SBDC Program funds allocated for direct costs may be used to determine the allowable reimbursed or waived indirect cost. Any Indirect Cost Rate Agreements subsequently negotiated with a Federal

Agency will supersede the SBA Indirect Cost Rate Agreement.

If the Applicant or participating Network Service Center has never had an approved ICR and its budget includes indirect costs, it may utilize a de minimis rate of 10 percent of Modified Total Direct Costs (to include federal and non-federal) until the non-Federal entity can provide a copy of a current indirect cost rate agreement either through the SBA or from another cognizant Federal Agency. This rule does not apply to organizations that have an expired ICR Agreement.

The negotiated indirect cost rate in effect at the time of the initial proposal will be used for the budget period covered by the Proposal. If a provisional indirect cost rate is in effect at the time the proposal is submitted and it has been more than one year since the date the provisional rate became effective, the

SBDC must furnish OSBDC with documentation showing that they have made an effort to negotiate a final rate.

When making new sub-awards, administrative costs incurred for establishing technical needs, determining qualified candidates, issuing requests for bids,…