Special American Business Internship Training Program (SABIT)

DEPARTMENT OF COMMERCE

International Trade Administration

[Docket No. 950329080-5080-01]

Special American Business Internship Training Program (SABIT)

AGENCY: International Trade Administration, Commerce.

ACTION: Notice.

-----------------------------------------------------------------------

SUMMARY: This Notice announces availability of funds for the Special

American Business Internship Training Program (SABIT), for training

business executives and scientists (also referred to as ``interns'')

from the New Independent States (NIS) of the former Soviet Union. The

Department of Commerce, International Trade Administration (ITA)

established the SABIT program in September 1990 to assist the former

Soviet Union's transition to a market economy. Since that time, SABIT

has been matching business executives and scientists from the NIS with

U.S. firms which provide them with three to six months of hands-on

training in a market economy.

Under the SABIT program, qualified U.S. firms will receive funds

through a cooperative agreement with ITA to help defray the cost of

hosting interns. ITA will interview and recommend eligible interns to

participating companies. Interns may be from any of the following

Independent States: Armenia, Azerbaijan, Belarus, Georgia, Kazakhstan,

Kyrgyzstan, Moldova, Russia, Tajikistan, Turkmenistan, Ukraine, and

Uzbekistan. The U.S. firms will be expected to provide the interns with

a hands-on, non-academic, executive training program designed to

maximize their exposure to management or commercially-oriented

scientific operations. At the end of the training program, interns must

return to the NIS.

DATES: The closing date for applications is April 30, 1996. An original

and two copies of the application (Standard Form 424 (Rev. 4-92) and

supplemental material) are to be sent to the address designated in the

Application Kit and postmarked by the closing date. Applications will

be considered on a ``rolling'' basis as they are received, subject to

the availability of funds. If available funds are depleted prior to the

closing date, a notice to that effect will be published in the Federal

Register. Processing of complete applications takes approximately two

to three months.

ADDRESSES: Request for Applications: Competitive Application kits will

be available from ITA starting on the day [[Page 20076]] this notice is

published. To obtain a copy of the Application Kit please telephone

(202) 482-0073, or facsimile (202) 482-2443 (these are not toll free

numbers) or send a written request with two self-addressed mailing

labels to Liesel C. Duhon, Acting Director, SABIT Program, HCHB Room

3319, U.S. Department of Commerce, 14th Street and Constitution Avenue,

NW., Washington, DC 20230. Only one copy of the Application Kit will be

provided to each organization requesting it, but it may be reproduced

by the requester.

FOR FURTHER INFORMATION CONTACT: Liesel C. Duhon, Acting Director,

SABIT Program, U.S. Department of Commerce, phone--(202) 482-0073,

facsimile--(202) 482-2443. These are not toll free numbers.

SUPPLEMENTARY INFORMATION: SABIT exposes NIS business managers and

scientists to a completely new way of thinking in which demand,

consumer satisfaction, and profits drive production. Senior-level

interns visiting the U.S. for internship programs with public or

private sector companies will be exposed to an environment which will

provide them with practical knowledge for transforming their countries'

enterprises and economies to the free market. The program provides

first-hand, eye-opening experience to managers and scientists which

cannot be duplicated by American managers travelling to their

territories.

Business Executives: SABIT assists economic restructuring in the

NIS by providing top-level business managers with practical training in

American methods of innovation and management in such areas as

strategic planning, financing, production, distribution, marketing,

accounting, wholesaling, and labor relations. This first-hand

experience in the U.S. economy enables interns to become leaders in

establishing and operating a market economy in the NIS, and creates a

unique opportunity for U.S. firms to familiarize key executives from

the NIS with their products and services.

Scientists: SABIT provides opportunities for gifted scientists to

apply their skills to peaceful research and development in the civilian

sector, in areas such as defense conversion, medical research, and the

environment, and exposes them to the role of scientific research in a

market economy where applicability of research relates to business

success. Sponsoring firms in the U.S. scientific community also benefit

from exchanging information and ideas, and different approaches to new

technologies.

All internships are for three to six months; however, ITA reserves

the right to allow an intern to stay for a shorter period if the U.S.

company agrees and the intern demonstrates a need for a shorter

internship based on his or her management responsibilities.

Funding Availability: Pursuant to section 632(a) of the Foreign

Assistance Act of 1961, as amended (the ``Act'') funding for the

program will be provided by the United States Agency for International

Development (A.I.D). ITA will award financial assistance and administer

the program pursuant to the authority contained in section 635(b) of

the Act. The estimated amount of financial assistance available for the

program is $1.4 million. Additional funding may become available during

this funding period.

Funding Instrument and Project Duration: Federal assistance will be

awarded pursuant to a cooperative agreement between ITA and the

recipient firm. ITA will reimburse companies for the round trip

international travel of each intern from the intern's home city in the

NIS to the U.S. internship site, upon submission to ITA of the travel

invoice and the form SF-270, ``Request for Advance or Reimbursement.''

Travel under the program is subject to the Fly America Act. Recipient

firms provide $30 per day directly to interns; ITA will reimburse

companies for this stipend of $30 per day per intern for up to six

months, upon submission by company of an end-of-internship report and

form SF-270. Each award will have a cap of $7,500 per intern for total

cost of airline travel and stipend. ITA reserves the right to allow an

award to exceed this amount in cases of unusually high costs, such as

airfare from remote regions of the NIS. There are no specific matching

requirements for the awards. Host firms, however, are expected to bear

the costs beyond those covered by the award, including: visa fees,

housing, insurance, any food and incidentals costs beyond $30 per day,

any training-related travel within the U.S., and provision of the

hands-on training for the interns.

U.S. firms wishing to utilize SABIT in order to be matched with an

intern without applying for financial assistance may do so. Such firms

will be responsible for all costs, including travel expenses, related

to sponsoring the intern.

Eligibility: Eligible applicants for the SABIT program will be any

for profit or non-profit U.S. corporation, association, organization or

other public or private entity. Branches or divisions of the federal

government are not eligible.

Evaluation Criteria: Consideration for financial assistance will be

given to those SABIT proposals which:

(1) Demonstrate a commitment to the intent and goals of the program

to provide practical, on-the-job, non-academic, non-classroom,

training: in the case of manager interns, an appropriate management

training experience, or, in the case of scientist interns, a practical,

commercially-oriented scientific training experience.

(2) Respond to the priority needs of senior business managers and

scientists in the NIS, as determined by ITA. Host firms must be solidly

committed to interns' return to their own countries upon completion of

the internships.

(3) Present a realistic work plan describing in detail the training

program to be provided to the SABIT intern(s). Work plans must include

the following: (a) Whether Applicant is applying to host managers or

scientists, or both (and the number of each); (b) the duration of the

internship (at least three but not more than six months.) As noted

above, ITA reserves the right to allow an intern with very senior

management responsibilities to stay for a shorter period (minimum of

one month) if the U.S. company agrees and the intern demonstrates a

compelling need for a shorter internship based on his or her management

responsibilities; (c) the location(s) of the internship; (d) the name,

address, and telephone number of the designated internship coordinator;

(e) name(s) of division(s) in which the intern(s) will be placed; (f)

the individual(s) in the U.S. company under whose supervision the

intern will train; (g) the proposed internship training activities. The

components of the training activities must be described in as much

detail as possible, preferably on a week-by-week basis. The description

of the training activities should include an accounting of what the

intern's(s') duties and responsibilities will be during the training;

(h) the anticipated housing arrangements to be provided for the

intern(s). Note that housing arrangements should be suitable for mid-

and senior-level professionals, and that each intern must be provided

with a private room.

(4) Include a brief objectives section indicating why the Applicant

wishes to provide an internship to a manager(s) or scientist(s) from

the NIS, and how the proposed internship would further the purpose of

the SABIT program as described above. If Applicant is nominating a

specific individual for training, this objectives section must describe

any existing relationship between the Applicant and the

individual. [[Page 20077]]

(5) Provide a general description of the profile of the intern(s)

the Applicant would like to host, including: educational background;

occupational/professional background (including number of years and

areas of experience); size and nature of organization at which the

intern(s) is/are presently employed; preference for the region of the

NIS where the intern(s) is/are employed; and whether Applicant is open

to sponsoring interns from a variety of NIS countries.

(6) Indicate whether Applicant organization operates in one or more

of the following business sectors: (a) Agribusiness (including food

processing and distribution, and agricultural equipment), (b) Defense

conversion, (c) Energy, (d) Environment (including environmental clean-

up), (e) Financial services (including banking and accounting), (f)

Housing, construction and infrastructure, (g) Medical equipment,

supplies, pharmaceuticals, and health care management, (h) Product

standards and quality control, (i) Telecommunications, and (j)

Transportation. Applicant proposal must provide an explanation

including description and extent of involvement in the sector(s). While

Applicants involved in any industry sector may apply to the program,

priority consideration is given to those operating in the above

sectors.

Evaluation criteria 1-6 will be weighted equally. ITA does not

guarantee that it will match Applicant with the profile provided to

SABIT.

Additional Information: Applicants must submit: (1) Evidence of

adequate financial resources of Applicant organization to cover the

costs involved in providing an internship(s). As evidence of such

resources, Applicant should submit financial statements audited by an

outside organization or an annual report including such statements. If

these are not available, a letter should be provided from the

Applicant's bank or outside accountant attesting to the financial

capability of the firm to undertake the scope of work involved in

training an intern under the SABIT program. (2) Evidence of a

satisfactory record of performance in grants, contracts and/or

cooperative agreements with the Federal Government, if applicable.

(Applicants who are or have been deficient in current or recent

performance in their grants, contracts, and/or cooperative agreements

with the Federal Government shall be presumed to be unable to meet this

requirement). (3) A statement that the Applicant will provide medical

insurance coverage for interns during their internships. Recipients

will be required to submit proof of the interns' medical insurance

coverage to the Federal Program Officer, before the interns' arrivals.

The insurance coverage must include an accident and comprehensive

medical insurance program as well as coverage for accidental death,

emergency medical evacuation, and repatriation.

Selection Procedures: Each application will receive an independent,

objective review by one or more three or four-member ITA review panels

qualified to evaluate applications submitted under the program.

Applications will be evaluated on a competitive, ``rolling'' basis as

they are received in accordance with the selection criteria set forth

above. Awards will be made to those applications which successfully

meet the selection criteria. If funds are not available for all those

applications which successfully meet the criteria, awards will be made

to the first applications received which successfully do so. ITA review

panel(s) reserve(s) the right to reject any application; to limit the

number of interns per applicant; to waive informalities and minor

irregularities in applications received; and to consider other than

competitive procedures to distribute assistance under this program and

in accordance with the law. ITA review panel(s) reserve(s) the right to

make awards based on U.S. geographic and organization size diversity

among applicants. Recipients may be eligible, pursuant to approval of

an amendment to the award, to host additional interns under the

program.

Other Requirements: All applicants are advised of the following:

1. 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, a negotiated repayment schedule is established

and at least one payment is received, or other arrangements

satisfactory to DOC are made.

2. A false statement on the application 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.

3. Recipients and subrecipients are subject to all Federal laws and

Federal and Departmental regulations, policies and procedures

applicable to financial assistance awards.

4. Participating companies will be required to comply with all

relevant U.S. tax and export regulations. Export controls may relate

not only to licensing of products for export, but also to technical

data transfer.

5. Applications under this program are not subject to Executive

Order 12372, ``Intergovernmental Review of Federal Programs.''

6. If applicants incur any costs prior to an award being made, they

do solely at their own risk of not being reimbursed by the Government.

Notwithstanding any verbal or written assurance that may have been

received, there is no obligation on the part of DOC to cover pre-award

costs.

7. Past performance: Unsatisfactory performance by an applicant

under prior Federal awards may result in an application not being

considered for funding.

8. No obligation for future funding: 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.

9. 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,'' and the following explanations are hereby

provided:

(a) Nonprocurement Debarment and Suspension: Prospective

participants (as defined at 15 CFR Part 26, Section 105) are subject to

15 CFR Part 26, ``Nonprocurement Debarment and Suspension'' and the

related section of the certification form prescribed above applies.

(b) Drug Free Workplace: Grantees (as defined at 15 CFR Part 26,

Section 605) are subject to 15 CFR Part 26, Subpart F, ``Governmentwide

Requirements for Drug-Free Workplace (Grants)'' and the related section

of the certification form prescribed above applies.

(c) Anti-Lobbying: Funds provided under the SABIT program may not

be used for lobbying activities. Persons (as defined at 15 CFR Part 28,

Section 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.

(d) Anti-Lobbying Disclosures: Any applicant that has paid or will

pay for lobbying in connection with this award [[Page 20078]] using any

funds must submit an SF-LLL, ``Disclosure of Lobbying Activities,'' as

required under 15 CFR Part 28, Appendix B.

10. Lower Tier Certifications: Recipients shall require applicants/

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 or subrecipient should be submitted to

DOC in accordance with the instructions contained in the award

document.

11. Indirect Costs: Indirect costs are not allowed under the SABIT

program.

12. Buy-American-made equipment or products: Applicants are hereby

notified that any equipment or products authorized to be purchased with

funding provided under this program must be American-made to the

maximum extent feasible in accordance with Public Law 103-121, Sections

606. (a) and (b).

13. The following statutes apply to this program: Restriction on

Assistance to the Government of Azerbaijan (Section 907 of the FREEDOM

Support Act, Public Law 102-511); Chapter 11 of Part I of the Foreign

Assistance Act of 1961, as amended, including section 498A (b),

regarding ineligibility for assistance; provisions in annual Foreign

Operations, Export Financing, and Related Programs Appropriations Act,

including the following provisions contained in Public Law 103-87: Use

of American Resources (Section 559 of the Foreign Operation, Export

Financing, and Related Programs Appropriations Act, 1995, Pub. L. 103-

87); Impact on Jobs in the United States (Section 545 of the Foreign

Operation, Export Financing, and Related Programs Appropriations Act,

1995, Pub. L. 103-87); Bumpers Amendment (Section 513(b) of the Foreign

Operations, Export Financing, and Related Programs Appropriations Act,

1994, Pub. L. 103-87); Lautenberg Amendment (Section 513(b) of the

Foreign Operations, Export Financing, and Related Programs

Appropriations Act, 1994, Pub. L. 103-87); and Section 660(a) of the

Foreign Assistance Act of 1961, as amended.

Dated: April 18, 1995.

Liesel C. Duhon,

Acting Director, SABIT Program.

[FR Doc. 95-10012 Filed 4-21-95; 8:45 am]

BILLING CODE 3510-HE-P