[Federal Register Volume 61, Number 137 (Tuesday, July 16, 1996)]
[Notices]
[Pages 37047-37048]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-17986]
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DEPARTMENT OF COMMERCE
Minority Business Development Agency
Nationwide Capital Development Center
AGENCY: Minority Business Development Agency, Commerce.
ACTION: Notice.
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SUMMARY: Funds are available to conduct a competitive solicitation in
order to select an applicant to operate a nationwide Capital
Development Center to assist minority business clients to access debt
and equity capital. This Center, to be operated under detailed work
requirements established by the Minority Business Development Agency
(MBDA), will provide client services designed to enable minority
business enterprises (MBEs) to implement long-term growth strategies by
securing capital through both mainstream and specialized capital
markets. Such services shall include analyzing an MBE's financial
statements, assisting in the preparation of financial plans,
introduction of the MBE to prospective investors and lenders, and
assistance in transaction closings. The Center will act as a liaison
between the MBE community and the capital markets, serving as a
clearinghouse for available resources and opportunities, and matching
qualified MBEs with potential funding sources.
The project will be national in scope, and will serve eligible
minority firms throughout the fifty states, as provided by the work
requirements. Firms eligible to receive client assistance shall be
growth-oriented firms, in business for not less than two years, and who
seek to engage in capital transactions of $500,000 or more.
Executive Order 11625, effective October 13, 1991, authorizes MBDA
to provide management and technical assistance to socially and
economically disadvantaged businesses and to coordinate Federal efforts
to assist in the growth and expansion of the nation's minority business
sector. MBDA has determined that a substantial impediment to minority
business growth involves the inability to access financial capital. The
primary objective of this project is to provide management and
technical assistance to middle-market MBEs who are seeking to approach
the capital markets to obtain financing. Areas of assistance will
include: obtaining venture capital financing, the design and
implementation of financial plans as vehicles for sustained growth,
replacement of debt with equity capital, and financing business
acquisitions and mergers.
The successful applicant will operate the Center for a three-year
period, subject to agency priorities, recipient performance and the
availability of funds.
DATES: The closing date for applications is August 15, 1996.
Applications must be received in the MBDA Headquarters' Executive
Secretariat on or before August 15, 1996. A pre-application conference
to assist all interested applicants will be held on July 30, 1996, at
1:00 p.m., at the U.S. Department of Commerce, 14th and Constitution
Avenue, N.W., Room 5045, Washington, D.C. 20230.
PROPER IDENTIFICATION IS REQUIRED FOR ENTRANCE INTO ANY FEDERAL
BUILDING.
ADDRESSES: Competitive Application Packages for the Capital Development
Center will be available from MBDA beginning on the date this Notice is
published. To obtain a copy of the Application Package, please call via
telephone (202) 482-3261, or facsimile (202) 482-6021, or send a
written request with two (2) self-addressed mailing labels to Robert
Hooks, Chief, Resource and Market Division, Minority Business
Development Agency, Room 5092, U.S. Department of Commerce, 14th &
Constitution Avenue, N.W., Washington, D.C. 20230.
Completed proposals should be submitted to the U.S. Department of
Commerce, Minority Business Development Agency, Executive Secretariat,
14th and Constitution Avenue, N.W., Room 5073, Washington, D.C. 20230.
FOR FURTHER INFORMATION CONTACT: Elio Muller, Associate Director for
Strategic Planning and Operations, (202) 482-1015.
SUPPLEMENTARY INFORMATION: Contingent upon the availability of Federal
funds, the cost of performance for the first budget period (13 months)
from October 1, 1996 to October 31, 1997, is estimated at $588,235. A
30-day start-up period will be added to the first budget period, making
it a 13-month award. The application must include a minimum cost-share
of $88,235 or 15% of the total project cost, through non-Federal
contributions. The Federal share, to be in the amount of $500,000,
includes $12,000 for an annual audit fee. Cost-sharing may be in the
form of cash contributions, client fees, in-kind contributions or
combinations thereof.
The funding instrument for this project will be a cooperative
agreement. Competition is open to individuals, non-profit and for-
profit organizations, state and local governments, American Indian
tribes and educational institutions.
Applications will be evaluated on the following criteria: the
expertise and capabilities of the firm and its staff in addressing the
capital needs of businesses in general and, more specifically, of
minority businesses (50 points); the resources available to the firm in
assisting minority firms to raise capital (10 points); the firm's
approach (techniques and methodologies) to performing the work
requirements developed for this project (20 points);
[[Page 37048]]
and the firm's estimated cost of performing the work requirements. An
application must receive at least 70% of the points assigned to each of
the evaluation criteria to be considered programmatically acceptable
and responsive. Those applications determined to be acceptable and
responsive will then be evaluated by the Director of MBDA. Final award
selections shall be based on the number of points received, the
demonstrated responsibility of the applicant, and the determination of
those most likely to further the MBDA program. Negative audit findings
and recommendations and unsatisfactory performance under prior Federal
awards may result in an application not being considered for award. The
applicant with the highest point score will not necessarily receive the
award.
The Capital Development Center operator shall be required to
contribute at least 15% of the total project cost through non-Federal
contributions. To assist in this effort, the operator may charge client
fees for management and technical assistance (M&TA) rendered. Any
client fees charged for services rendered under this award must be
charged at rates determined under an established fee policy approved by
the Department of Commerce (DOC).
If an application is selected for funding, DOC has no obligation to
provide any additional future funding in connection with that award.
Renewal of an award to increase funding or extend the period of
performance is at the total discretion of DOC. Awards under this
program shall be subject to all Federal laws, Federal and Departmental
regulations, policies and procedures applicable to Federal assistance
awards.
Quarterly reviews culminating in year-end evaluations will be
conducted to determine if funding for the project should continue.
Continued funding will be at the total discretion of MBDA based on such
factors as the operator's performance, the availability of funds and
Agency priorities. The anticipated processing time for this award is 90
days.
Pre-Award Costs--Applicants are hereby notified that if they incur
any costs prior to an award being made, they do so solely at their own
risk of not being reimbursed by the Government. Notwithstanding any
verbal assurance that an applicant may have received, there is no
obligation on the part of the Department of Commerce to cover pre-award
costs.
Outstanding Accounts Receivable--No award of Federal funds shall be
made to an applicant who has an outstanding delinquent Federal debt
until either the delinquent account is paid in full, or a repayment
schedule is established and at least one payment is received, or other
arrangements satisfactory to the Department of Commerce are made.
Name Check Policy--All non-profit and for-profit applicants are
subject to a name check review process. Name checks are intended to
reveal whether any key individuals associated with the applicant have
been convicted or are presently facing criminal charges such as fraud,
theft, perjury or other matters which significantly reflect on the
applicant's management, honesty or financial integrity.
Award Termination--The Departmental Grants Officer may terminate
any grant/cooperative agreement in whole or in part at any time before
the date of completion whenever it is determined that the award
recipient has failed to comply with the conditions of the grant/
cooperative agreement. Examples of some of the conditions which can
cause termination are failure to meet cost-sharing requirements;
unsatisfactory performance of the MBDC work requirements; and reporting
inaccurate or inflated claims of client assistance. Such inaccurate or
inflated claims may be deemed illegal and punishable by law.
False Statements--A false statement on an application for Federal
financial assistance is grounds for denial or termination of funds, and
grounds for possible punishment by a fine or imprisonment as provided
in 18 U.S.C. 1001.
Primary Applicant Certifications--All primary applicants must
submit a completed Form CD-511, ``Certifications Regarding Debarment,
Suspension and Other Responsibility Matters; Drug-Free Workplace
Requirements and Lobbying.''
Non-Procurement Debarment and Suspension--Prospective participants
(as defined at 15 CFR, Part 26, Section 26.105) are subject to 15 CFR,
Part 26, ``Non-Procurement Debarment and Suspension'' and the related
section of the certification form prescribed above applies.
Drug-Free Workplace--Grantees (as defined at 15 CFR, Part 26,
Section 26.605) are subject to 15 CFR, Part 26, Subpart F,
``Government-wide Requirements for Drug-Free Workplace (Grants)'' and
the related section of the certification form prescribed above applies.
Anti-Lobbying--Persons (as defined at 15 CFR, Part 28, Section
28.105) are subject to the lobbying provisions of 31 U.S.C. 1352,
``Limitation on use of appropriated funds to influence certain Federal
contracting and financial transactions,'' and the lobbying section of
the certification form prescribed above applies to applications/bids
for grants, cooperative agreements, and contracts for more than
$100,000, and loans and loan guarantees for more than $150,000 or the
single family maximum mortgage limit for affected programs, whichever
is greater.
Anti-Lobbying Disclosures--Any applicant that has paid or will pay
for lobbying using any funds must submit an SF-LLL, ``Disclosure of
Lobbying Activities,'' as required under 15 CFR, Part 28, Appendix B.
Lower Tier Certifications--Recipients shall require applications/
bidders for subgrants, contracts, subcontracts, or other lower tier
covered transactions at any tier under the award to submit, if
applicable, a completed Form CD-512, ``Certifications Regarding
Debarment, Suspension, Ineligibility and Voluntary Exclusion-Lower Tier
Covered Transactions and Lobbying'' and disclosure form, SF-LLL,
``Disclosure of Lobbying Activities.'' Form CD-512 is intended for the
use of recipients and should not be transmitted to DOC. SF-LLL
submitted by any tier recipient and should not be transmitted to DOC in
accordance with the instructions contained in the award document.
Buy American-Made Equipment or Products--Applicants are hereby
notified that they are encouraged, to the extent feasible, to purchase
American-made equipment and products with funding provided under this
program in accordance with Congressional intent as set forth in the
resolution contained in Public Law 103-121, Sections 606 (a) and (b).
Dated: July 10, 1996.
Frances B. Douglas,
Alternate, Federal Register Liaison Officer, Minority Business
Development Agency.
[FR Doc. 96-17986 Filed 7-15-96; 8:45 am]
BILLING CODE 3510-21-M
