Welfare-to-Work Competitive Grants

DEPARTMENT OF LABOR

Employment and Training Administration

Welfare-to-Work Competitive Grants

AGENCY: Employment and Training Administration (ETA), DOL.

ACTION: Notice of availability of funds; solicitation for grant

applications.

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SUMMARY: The U.S. Department of Labor (DOL), Employment and Training

Administration (ETA) announces the second round of competitive grants

under a two year Welfare-to-Work (WtW) grant program enacted under the

Balanced Budget Act of 1997. The WtW program assists States and local

communities to provide the transitional employment assistance needed to

move hard-to-employ recipients of Temporary Assistance to Needy

Families (TANF) into lasting unsubsidized jobs. WtW grants are targeted

to assisting those TANF recipients, and certain noncustodial parents,

who have experienced, or have characteristics associated with, long-

term welfare dependence. This announcement describes the conditions

under which applications will be received under the Welfare-to-Work

(WtW) Competitive Grants Program and how DOL/ETA will determine which

applications it will fund. This announcement includes all of the

information and forms needed to apply for WtW competitive grants.

DATES: The closing date for receipt of applications under this

announcement is July 14, 1998. For the funding cycle covered by this

announcement, complete applications must be received at the address

below no later than 2 p.m. EST (Eastern Standard Time). Except as

provided below, grant applications received after this date and time

will not be considered. Applications which are not accepted for this

announcement must be resubmitted to be considered for future

announcements.

ADDRESSES: U.S. Department of Labor, Employment and Training

Administration, Division of Acquisition Assistance, Attention: Ms.

Mamie D. Williams, SGA/DAA 98-009, 200 Constitution Avenue, NW, Room

S4203, Washington, D.C. 20210.

FOR FURTHER INFORMATION CONTACT: Questions should be faxed to Ms. Mamie

D. Williams, Grant Management Specialist, Division of Acquisition

Assistance, Fax: (202) 219-8739. This is not a toll-free number.

Questions may also be sent via electronic mail to ``disgu-

[email protected].'' All inquiries sent via fax or e-mail should include

the SGA number (DAA 98-009) and a contact name and phone number. This

announcement is also being published on the Internet on the Employment

and Training Administration's Welfare-to-Work Home Page at http://

wtw.doleta.gov. Commonly asked questions and answers with regard to the

WtW competitive grants and the WtW program in general, and copies of

the Interim Final Rule governing the Welfare-to-Work program, including

activities conducted under the competitive grants, are also available

on the WtW Home Page. In addition, award notifications will be

published on the WtW Home Page.

SUPPLEMENTARY INFORMATION:

I. Authority

Section 403(a)(5)(B) of Title IV of the Social Security Act.

Regulations governing the WtW program are at 20 CFR Part 645, published

at 62 FR 61588. This Interim Final Rule was published in the Federal

Register on November 18, 1997.

II. Submission of Applications

Four copies of the application must be submitted, one of which must

contain an original signature. Proposals must be submitted by the

applicant only.

All applications must be single-spaced, and on single-sided,

numbered pages. A font size of at least 12 pitch is required. Section I

of the application must include the following three required elements:

(1) The Project Financial Plan, including the SF-424, (2) ETA Form

9070, Project Synopsis Form, and (3) Evidence of State and local

consultation. Section I will not count against the application page

limits.

Section II of the application, the project narrative, shall not

exceed twenty (20) pages for the Government Requirements/Statement of

Work section, as described below in the ``Required Content for WtW

Competitive Grant Applications--Fiscal Year 1998,'' plus an additional

ten (10) pages for Attachments, to include no information that is

critical to the review of the

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proposal. Letters of support for a proposal should NOT be submitted and

will count against the page limits.

Acceptable Methods of Submission

Applications may be hand-delivered or mailed. Hand-delivered

applications must be received at the address identified above by the

date and time specified. Overnight mail deliveries will be treated as

hand-deliveries. Mailed applications that arrive after the closing date

will be accepted if they are post-marked at least five (5) days prior

to the closing date. Applications submitted via overnight mail that

arrive after the closing date will be accepted if they are post-marked

at least two (2) days prior to the closing date. Otherwise, late

applications will not be accepted. Telegraphed and/or faxed

applications will not be accepted.

Applications may be withdrawn by written notice or telegram

(including mailgram), or in person if the representative's identity is

made known, and the representative signs a receipt for the application.

OMB Approval of Paperwork Burden

According to the Paperwork Reduction Act of 1995, no persons are

required to respond to a collection of information unless such

collection displays a valid OMB control number. The valid OMB control

number for this information collection is 1205-0387. The time required

to complete this information collection is estimated to average twenty

(20) hours per response, including the time to review the instructions,

search existing data resources, gather data needed, and complete and

review the information. Comments concerning this burden estimate or any

other aspect of this collection of information, including suggestions

for reducing this burden, to the U.S. Department of Labor, Office of

Job Training Programs, Room N4459, Washington, DC 20210 (Paperwork

Reduction Project 1205-0387). Comments may be reflected in the

development of future solicitations.

Catalog of Federal Domestic Assistance Number

The Welfare-to-Work program is listed in the Catalog of Federal

Domestic Assistance at No. 17.253, ``Employment and Training

Assistance--Welfare-to-Work Grants to States & Local Entities for Hard-

to-Employ Welfare Recipient Programs.''

III. Program Scope and Funding

Competitive grant projects will be expected to achieve the purpose

of all WtW grants:

To provide transitional assistance which moves welfare

recipients into unsubsidized employment providing good career

potential for achieving economic self-sufficiency.

This transitional assistance is to be provided through a ``work first''

service strategy in which recipients are engaged in employment-based

activities. Grant funds may be used to provide needed basic and/or

vocational skills training as a post-employment service in conjunction

with either subsidized or unsubsidized employment. This flexibility,

established in the Regulations, reflects the basic ``work first''

philosophy of the WtW legislation, and recognizes the critical

importance of continuous skills acquisition and lifelong learning to

economic self-sufficiency.

All competitive grant projects will be expected to be an integral

part of a comprehensive strategy for moving eligible individuals into

unsubsidized employment in a local, community-based context. Projects

should develop and implement innovative approaches that enhance a

community's ability to move eligible individuals into self-sustaining

employment, create upward mobility paths and higher earnings potential

for WtW participants, and achieve sustainable improvements in the

community's service infrastructure for assisting welfare recipients.

All applications will be reviewed under the criteria set forth in Part

VII of this announcement, including the effectiveness of the proposal

in moving TANF recipients who are least job ready into unsubsidized

employment, in moving such recipients into unsubsidized employment in

labor markets that have a shortage of low-skill jobs, and in expanding

the base of knowledge about programs aimed at moving TANF recipients

into long-term unsubsidized employment.

Areas of Special Interest

In addition to proposing innovative strategies for moving welfare

recipients into lasting unsubsidized employment, applicants are

encouraged to consider the following in designing responsive service

strategies for the eligible population in their local area:

Targeted assistance to specific subgroups of the eligible

populations such as noncustodial parents, individuals with learning

disabilities, individuals who require substance abuse treatment for

employment, and public housing residents;

Development of responsive transportation and child care

service systems;

Use of integrated work and learning strategies to develop

skills;

Creation of job opportunities (including self-employment)

that allow for flexibility to address work and family needs while

providing income levels that are adequate for self-sufficiency;

Proactive strategies to involve employers in design of

service strategies and implementation of the project;

Strategies that focus on family-based assistance and that

are integrated with children systems (e.g., Child Care, Head Start)

that can assist the full family unit;

Activities to help women access nontraditional

occupations; and

Strategies that reflect effective integration with both

the workforce development (e.g., One-Stop) and welfare systems.

In identifying those Areas of Special Interest addressed by the

proposal on the Project Synopsis form (Required format can be found in

Appendix C), please indicate the page number on which relevant text

relating to this interest area can be found in the proposal narrative.

The Department is also interested in receiving applications to

implement projects that are coordinated with community saturation

strategies (in which comprehensive services are available to assist all

of the eligible residents in a defined community). The Department

expects that these applications would be submitted from communities in

which there are concentrations of eligible hard-to-employ individuals,

there is a reasonable opportunity to provide employment for all such

individuals, and there are established partnerships which can

contribute a significant level of resources to implement the strategy.

A definition of community saturation strategy is provided in Appendix

B.

Funding Availability

A total of $368.25 million is available for competitive grant

awards in Fiscal Year (FY) 1998 and $343.25 million in FY 99.

Approximately $184 million (or 50 percent of FY 98 competitive grant

funding) is available for Federal grant assistance through this

announcement. Of the funds available in FY 98, the Department aims to

distribute approximately 70 percent for projects to serve cities with

large concentrations of poverty and 30 percent for projects to serve

rural areas. Definitions for ``cities with large concentrations of

poverty'' and ``rural area'' can be found in Appendix B of this

announcement. Applications to serve rural areas should be targeted to

serve eligible residents from subareas that represent concentrations of

poverty. Further, as

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indicated under the Criteria section of this solicitation, applications

are strongly encouraged to present innovative strategies to address the

needs of areas with concentrations of poverty. Each application must

indicate on the required Project Synopsis Form either a rural or an

urban focus for its project services.

It is expected that most grant awards will be between $1 million

and $5 million. Furthermore, it is expected that most grants will serve

a minimum of 100 eligible participants. Applications that are outside

of this range must provide a brief explanation of how the project will

have substantial community impact (especially for those below $1

million and/or fewer than 100 participants), or how project services

will be provided on a local level and targeted to the specific needs of

the defined target group (especially for those applications over $5

million).

Award Period

It is expected that the planned performance period for most

projects will be between 18 and 30 months. Grant funds are not

available for expenditure for longer than three years. No obligation or

commitment of funds will be allowed beyond the grant period of

performance. Any unspent grant funds must be returned to the Department

of Labor.

IV. Eligible Grant Applicants

Private Industry Councils (PIC), political subdivisions of the

State (as defined in Appendix B), and private entities (as defined in

Appendix B) are eligible to receive grant funds under this

announcement. Eligible private entities include community development

corporations, community action agencies, community-based and faith-

based organizations, disability community organizations, public and

private colleges and universities, and other qualified private

organizations. Private entities include both non-profit and for-profit

organizations but do not include individuals.

Entities other than a PIC or a political subdivision of the State

must submit an application for competitive grant funds in conjunction

with the PIC(s) or political subdivision(s) for the area in which the

project is to operate. The term ``in conjunction with'' shall mean that

the application must include a signed certification by both the

applicant and either the appropriate PIC(s) or political subdivision(s)

indicating that:

1. The applicant has consulted with the appropriate PIC(s)/

political subdivision(s) during the development of the application; and

2. The activities proposed in the application are consistent with,

and will be coordinated with, the WtW efforts of the PIC(s)/political

subdivision(s).

If the applicant is unable to obtain the certification, it will be

required to include information describing the efforts which were

undertaken to consult with the PIC(s)/political subdivision(s) and

indicating that the PIC(s)/political subdivision(s) were provided a

sufficient opportunity to cooperate in the development of the project

plan and to review and comment on the application prior to its

submission to the Department of Labor. ``Sufficient opportunity for

PIC/political subdivision review and comment'' shall mean at least 30

calendar days.

The certification, or evidence of efforts to consult, must be with

either each PIC or each political subdivision in the service area in

which the proposed project is to operate. These certifications must be

included in Section I of the grant application, and will not count

against the established page limitations. For the purposes of this

portion of the application, evidence of efforts to consult with the

PIC/political subdivision must be demonstrated by written

documentation, such as registered mail receipt, that attempts were made

to share project applications with the PIC/political subdivision in a

timely manner.

State-level Consultation

All applicants for competitive grants, including PICs and political

subdivisions, must submit their applications to the Governor or, at the

discretion of the Governor, to the designated State administrative

entity for the WtW program, for review and comment prior to submission

of the application to the Department. For private entities, State

review must be subsequent to review by the PIC or political entity.

When submitted to the Department, the application must include any

comments from the Governor or his/her designee or must include

information indicating that the Governor was provided a sufficient

opportunity for review and comment prior to submission to the

Department. ``Sufficient opportunity for State review and comment''

shall mean at least 15 calendar days. For the purposes of this portion

of the application, information indicating that the Governor was

provided opportunity for review must be demonstrated by written

documentation, such as registered mail receipt, that attempts were made

to submit project applications to the Governor or his/her designee in a

timely manner.

Applicants for Multiple Community or National Projects

Consideration will be given to applications which propose multi-

community or national strategies to move welfare recipients into long-

term unsubsidized employment leading to economic self-sufficiency. For

example, an applicant may design a nationwide project to create jobs

for welfare recipients in a particular industry. Applications which

propose multi-community or national strategies must meet all of the

application requirements contained in this Announcement. Specifically,

private entities proposing such projects must include the signed

certification from the applicable PIC or political subdivision of each

SDA in which the project will operate or other evidence indicating the

efforts undertaken to obtain the required consultation as described

above. Such applications must also demonstrate the required

consultation with the Governors of the States in which the project will

operate. Applications proposing national projects must comply with all

statutory and regulatory requirements and will be rated under the same

evaluation criteria as other applications. Applicants should be aware

that the extent of local collaboration demonstrated in a national

project will be considered as an important factor in the overall

strength of the proposal.

Lobbying Disclosure Act of 1995

Entities described in Section 501(c)(4) of the Internal Revenue

Code that engage in lobbying activities are not eligible to receive

funds under this announcement. The Lobbying Disclosure Act of 1995,

Public Law 104-65, 109 Stat. 691, prohibits the award of Federal funds

to these entities if they engage in lobbying activities.

V. Program and Administrative Requirements

Participant Eligibility and Funding Expenditures

Each project will be required to meet the targeting provisions

described at 20 CFR 645.211-645.213. [NOTE: The WtW Regulations are

available at the WtW Internet web site at http://wtw.doleta.gov.] These

provisions dictate that a minimum of 70 percent of the funds in each

WtW competitive grant must be used to serve hard-to-employ individuals

as described in Sec. 645.212. Furthermore, no more than 30 percent of

the funds in each grant may be used to serve individuals with

characteristics predictive of long-term

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welfare dependence, as described in Sec. 645.213.

Allowable Uses of Funds

Competitive grant funds shall only be spent for those activities

identified in the WtW Regulations, at 20 CFR 645.220 and set forth

below, for appropriate administrative costs, and for information

technology costs in accordance with 20 CFR 645.235(c)(3).

WtW allowable activities are:

(a) Job readiness activities financed through job vouchers or

through contracts with public or private providers.

(b) Employment activities which consist of any of the following:

(1) Community service programs; (2) Work experience programs; (3) Job

creation through public or private sector employment wage subsidies;

and (4) On-the-job training.

(c) Job placement services financed through job vouchers or through

contracts with public or private providers subject to the payment

requirements at Sec. 645.230(a)(3).

(d) Post-employment services financed through job vouchers or

through contracts with public or private providers, which are provided

after an individual is placed in one of the employment activities

listed in paragraph (b) above, or in any other subsidized or

unsubsidized job. Post-employment services include, but are not limited

to, such services as: (1) Basic educational skills training; (2)

Occupational skills training; (3) English as a second language

training; and (4) Mentoring.

(e) Job retention services and support services which are provided

after an individual is placed in a job readiness activity, as specified

in paragraph (a) above, in one of the employment activities, as

specified in paragraph (b) above, or in any other subsidized or

unsubsidized job. These services can be provided with WtW funds only if

they are not otherwise available to the participant. Job retention and

support services include, but are not limited to, such services as: (1)

Transportation assistance; (2) Substance abuse treatment (except that

WtW funds may not be used to provide medical treatment); (3) Child care

assistance; (4) Emergency or short term housing assistance; and (5)

Other supportive services.

(f) Individual development accounts which are established in

accordance with section 404(h) of the Act.

(g) Intake, assessment, eligibility determination, development of

an individualized service strategy, and case management may be

incorporated in the design of any of the allowable activities listed in

paragraphs (a) through (f) above.

Administrative Costs

Allowable costs and the 15 percent limitation on administrative

costs for WtW competitive grants are defined in the WtW Regulations at

20 CFR 645.235. All proposed costs must be reflected as either a direct

charge to specific budget line items, or as an indirect cost. Direct

and indirect administrative costs are allowable, but combined, these

costs cannot exceed 15 percent of the total grant. The administrative

costs negotiated in the final grant document may be below fifteen

percent.

Only costs which result from applying a Federally-approved indirect

cost rate may be entered on the ``indirect cost'' line item of the

budget. If an indirect cost rate is used, the applicant must include

documentation from the cognizant Federal agency which includes the

approved rate, the cost base against which it is applied, and the

approval date.

All applicants will be expected to justify proposed costs (see Item

3 of the Financial Plan in the ``Required Content for WtW Competitive

Grants Applications--Fiscal Year 1998''). Profits are not an allowable

use of grant funds.

Use of Federal Funds

Federal funds cannot be used to support activities which would be

provided in the absence of those funds. Grant funds may cover only

those costs which are appropriate and reasonable. Federal grant funds

may only be used to acquire equipment which is necessary for the

operation of the grant. The grantee must receive prior approval from

the DOL/ETA Grant Officer for the purchase and/or lease of any property

and/or equipment with a per unit acquisition cost of $5,000 or more,

and a useful life of more than one year as defined in the ``Uniform

Administrative Requirements for Grants and Cooperative Agreements to

State and Local Governments'', codified at 29 CFR Part 97 (also known

as the ``Common Rule''), and ``Grants and Agreements with Institutes of

Higher Education, Hospitals and Other Non-Profit Organizations'',

codified at 29 CFR Part 95 (also known as OMB Circular A-110). This

restriction includes the purchase of Automated Data Processing (ADP)

equipment. A request for such prior approval may be included in the

grant application or submitted after the grant award. Requests

submitted after the grant award must be directed through the Grant

Officer Technical Representative (GOTR) and must include a detailed

description and cost of the items to be acquired.

Grant funds also may not be used to cover any project-related costs

incurred prior to the effective date of the grant award. In making a

grant award, DOL/ETA has no obligation to provide any future additional

funding in connection with the grant award.

Pursuant to 20 CFR 645.235(c)(3), the costs of information

technology--computer hardware and software--needed for tracking or

monitoring under a WtW grant are not subject to the fifteen percent

limitation on administrative costs.

Year 2000 Compliance

Any information technology purchased in whole or in part with WtW

funds, which is used for a period of time that goes beyond December 31,

1999, must be ``year 2000 compliant.'' This means that such information

technology shall accurately process date/time data (including, but not

limited to, calculating, comparing and sequencing) from, into and

between the twentieth and twenty-first centuries, the years 1999 and

2000, and leap year calculations. Furthermore, ``year 2000 compliant''

information technology, when used in combination with other information

technology, shall accurately process date/time data if the other

information technology properly exchanges date/time with it.

Assurances and Certifications

The following assurances and certifications must be included as

part of each grant application: Debarment & Suspension Certification.

Other assurances and certifications will be required as part of

each executed grant agreement, but do not need to be submitted as part

of a WtW Competitive grant application: Assurances/Non-Construction

Programs; Certification Regarding Lobbying; Drug Free Workplace

Certification; Certification of Non-delinquency; and Non-discrimination

and Equal Opportunity Requirements.

Departmental Oversight

The Department reserves the right to conduct oversight and both

programmatic and financial monitoring activities for all competitive

grants awarded under the WtW grants program.

Department of Health and Human Services Evaluation of the Welfare-to-

Work Program

Competitive grant projects will participate in the evaluation of

the WtW

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grant program by the U.S. Department of Health and Human Services

(DHHS), as described in Title IV, section 413(j)(1) of the Social

Security Act. The goal of the DHHS evaluation is to expand the base of

knowledge about programs aimed at moving the least job ready welfare

recipients into unsubsidized employment. The evaluation will collect

program and administrative data to determine the range of WtW project

designs and the employment outcomes for all WtW grantees, consistent

with sec. 413(j)(1)(C) of the Social Security Act. In addition, DHHS

will select certain sites at which to qualitatively study the

implementation of the WtW program and other sites where net impact and

cost effectiveness of the program will be examined quantitatively.

VI. Monitoring & Reporting

Monitoring

The Department shall be responsible for ensuring effective

implementation of each competitive grant project in accordance with the

Act, the Regulations, the provisions of this announcement and the

negotiated grant agreement. Applicants should assume that at least one

on-site project review will be conducted by Department staff, or their

designees, at approximately the midpoint of the project performance

period. This review will focus on the project's performance in meeting

the grant's programmatic goals and participant outcomes, complying with

the targeting requirements regarding recipients who are served,

expenditure of grant funds on allowable activities, integration with

other resources and service providers in the local area, and methods

for assessment of the responsiveness and effectiveness of the services

being provided. Grants may be subject to other additional reviews at

the discretion of the Department.

Reporting

Applicants selected as grantees will be required to provide the

following reports:

1. Financial Reporting: The Department of Labor (DOL) will issue

financial reporting instructions for competitive grantees shortly.

Financial reports will be submitted directly to DOL.

2. Participant Reporting: Participant reporting instructions will

be issued shortly covering the entire WtW program. Participant reports

for each competitive grant will be submitted in accordance with

reporting instructions at a later date.

3. Other Reporting: The Department of Labor may negotiate

additional reporting requirements with individual grantees, where

necessary, for grants management and/or knowledge development purposes.

In addition to required quarterly financial and participant reporting,

some grantees may be asked to provide information to the appropriate

ETA Regional Office during the early implementation phase of the

project for the purpose of project oversight. This information may

include project enrollment levels, participant characteristics, and

emerging implementation issues.

VII. Review and Selection of Applications for Grant Award Review

Process

The Department will screen all applications to determine whether

all required elements are present and clearly identifiable. These

elements are described below in the ``Required Content for WtW

Competitive Grant Applications--Fiscal Year 1998.'' Failure to include

and all required elements in Section I of the grant application will

result in rejection of the application.

Each complete application will be objectively rated by a panel

against the criteria described in this announcement. Applicants are

advised that the panel recommendations to the Grant Officer are

advisory in nature. The Grant Officer may elect to award grants either

with or without discussion with the applicant. In situations where no

discussions occur, an award will be based on the applicant's signature

on the SF424 form (See Appendix C), which constitutes a binding offer.

The Grant Officer will make final award decisions based on what is most

advantageous to the Government, considering factors such as: Panel

findings; the geographic distribution of the competitive applications;

the extent to which the competitive applications reflect a reasonable

distribution of funds across the areas of special interest identified

in this announcement; and the availability of funds.

Criteria

The criteria, and the weights assigned to each, which will apply to

the review of applications submitted in response to this announcement

are:

1. ``Relative Need for Assistance'' [20 points] which shall

consider the concentration of poverty and long-term welfare dependence

and the lack of employment opportunities in the project service area

(up to 9 points); the extent of gaps in the capacity of the local

infrastructure to effectively address the employment barriers which

characterize the targeted population (up to 6 points); and the

responsiveness of the project design to the areas of special interest

identified in Part III of this announcement (up to 5 points).

2. ``Innovation'' [20 points] which shall consider the extent to

which the project incorporates new and better strategies for moving

welfare recipients into lasting unsubsidized employment leading to

economic self-sufficiency. These strategies can include, but are not

limited to, new and better ways that services can be accessed by

participants in the local community, new and better ways for local

organizations to work together, or the replication of effective

strategies in a new setting.

3. ``Outcomes'' [25 points] which shall consider the quality of the

proposed employment and earnings outcomes (up to 10 points); the extent

to which the proposed plan of services responds to identified needs,

the barriers faced by proposed participants, and the conditions in the

local area as well as the likelihood that the proposed service plan

will result in the proposed outcomes (up to 12 points); and the

reasonableness of the level of investment in relation to the proposed

outcomes (up to 3 points).

4. ``Local Collaboration and Sustainability'' [25 points] which

shall consider the extent to which the project is coordinated with the

WtW formula grant and TANF grant activities and supported by the PIC/

political subdivision and local TANF agency (up to 4 points); the

extent and quality of local community partnerships that are involved in

and making substantial contributions of resources to the project (up to

11 points); involvement of and participation by local employers (up 5

points); and the extent to which the community and/or the local area

has developed plans and commitments to maintain and expand the capacity

to serve the target population with local resources over a sustained

period of time (up to 5 points).

5. ``Demonstrated Capability'' [10 points] which shall consider the

extent to which the applicant and its partner organizations demonstrate

a history of success in serving a comparable target group, the extent

of use of current or former welfare recipients in the provision of

services, and the extent to which the applicant demonstrates the

ability to effectively execute grant management responsibilities.

For those proposals that are deemed by the Grant Officer to be most

competitive, applicants proposing projects in which the majority of

participants to be served by the project

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reside in designated Empowerment Zones and Enterprise Communities (EZ/

EC) will be eligible for 5 bonus points.

In addition, proposals that are deemed by the Grant Officer to be

most competitive, that plan to serve at least 450 WtW participants, and

that are willing to participate in a random assignment evaluation may

be awarded from zero to five bonus points (based on a DHHS assessment

of the suitability of the project for evaluation against the criteria

outlined in Appendix A). Projects selected to participate in a random

assignment evaluation may also be able to access additional technical

assistance resources, as well as a small amount of funding to offset

the additional administrative costs of random assignment. These

applicants should submit the additional information identified in

Appendix A of this announcement. This information will be submitted as

an Addendum to the grant application and will not be counted against

the application page limit or count as an Attachment.

Signed at Washington, D.C., this 9th day of April, 1998.

Janice E. Perry,

Grant Officer.

Required Content for WtW Competitive Grant Applications Fiscal Year

1998

Each application must contain the information and follow the format

outlined in this Part. The application should include: (1) Information

that responds to these requirements; (2) information that indicates

adherence to the provisions described in preceding sections of this

announcement; and (3) any other information the applicant believes will

address the review and selection criteria.

I. Project Summary

A. Project Financial Plan

Information provided in this section will be evaluated

predominantly under the ``Outcomes'' criteria.

The financial plan shall describe all costs associated with

implementing the project that are to be covered with grant funds. All

costs should be necessary and reasonable according to the Federal

guidelines set forth in the ``Uniform Administrative Requirements for

Grants and Cooperative Agreements to State and Local Governments'',

codified at 29 CFR Part 97 (also known as the ``Common Rule''), and

``Grants and Agreements with Institutes of Higher Education, Hospitals

and Other Non-Profit Organizations'' (also known as OMB Circular A-

110), codified at 29 CFR Part 95.

The financial plan must contain the following parts:

``Application for Federal Assistance'' and ``Budget

Information Sheet'' by line item for all costs required to implement

the project design effectively. Submission of these two completed forms

is required. (See Appendix C for these required forms.)

Note: Although there is no matching requirement for these

grants, the Department strongly encourages the leveraging of

resources in the implementation of WtW competitive grant projects.

On the Budget Information form, the ``Matching/Cost Sharing''

section of the form provides an opportunity for applicants to

reflect such leveraged resources.

Budget narrative/justification which provides sufficient

information to support the reasonableness of the costs included in the

budget in relation to the service strategy and planned outcomes.

B. Project Synopsis Form--ETA Form 9070

Each application shall provide a project synopsis which identifies

the applicant, the type of organization, the project service area,

whether the service area is a city with a large concentration of

poverty or a rural area, the specific areas of interest identified in

the announcement which are addressed by the project (with page numbers

where relevant portions of the project narrative can be found), the

amount of grant funds requested, the planned period of performance, the

planned number of WtW-eligible TANF recipients to be served, the number

of noncustodial parents to be served (if applicable), the significant

employment barriers which characterize the target group, the planned

employment and earnings outcomes, a summary description of the proposed

service strategy, and other significant service organizations involved

in the delivery of services. This section must be limited to no more

than two single-spaced, single-sided pages. The required format for

this synopsis can be found in Appendix D.

C. Evidence of Required Local and State Consultation

It is the expectation of the Department that, to the extent

possible, all applications will be developed in consultation with the

appropriate PIC/political subdivision and the Governor. Competitive

grant projects should complement the WtW formula program activity,

rather than exist independent of, or in conflict with, that program.

Each application must include the signed certification or other

evidence of the required consultation with the Governor as described in

this announcement. Applications from private entities must also include

the signed certification from the appropriate PIC(s) or political

subdivision(s) or other evidence indicating the efforts undertaken to

obtain the required consultation as described in this announcement. In

areas where an entity other than the PIC has been designated by the

Governor and approved by the Secretary to administer the WtW formula

grant, the applicant should also include evidence of consultation and/

or support from that entity. All certifications or comments provided as

part of this requirement must be included in this section of the grant

application and will not be counted against the established page

limits.

II. Government Requirements/Statement of Work--Project Narrative

This section of the application should not exceed 20 single-spaced,

numbered pages. The application should include information of the type

described below, as appropriate.

Description of Service Area

Information provided in this section will be evaluated

predominantly under the ``Relative Need'' criteria.

--Identify the specific political and geographic jurisdictions (e.g.,

cities, counties, subsections of cities/counties) which are included in

the service area for the project.

--Identify the percent of the population in the service area that has

income below the poverty level.

--Identify the percent of the population in the service area that is

receiving TANF assistance

Note: Child-only TANF cases should be excluded from this number

unless these cases are relevant to the project target group.

--Identify the percent of the TANF population that has received TANF or

AFDC assistance for 30 months or more, or is within 12 months of losing

eligibility for assistance under State or Federal law (Note: Child-only

TANF cases should be excluded from this number unless these cases are

relevant to the project target group).

--Identify the most recent unemployment rate in the service area.

--Describe the significant deficiencies in the local area

infrastructure that represent significant barriers to moving eligible

recipients into permanent employment in an efficient manner (e.g., lack

of transportation, labor market with a shortage of low-skill jobs,

shortage of employers with appropriate employment opportunities,

remoteness from health

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facilities, limited number of social and support service agencies).

Summary of Strategy for Use of WtW Formula Funds in the Local Area

Information provided in this section will be evaluated

predominantly under the ``Local Collaboration and Sustainability''

criteria.

--Identify the substate service area covered by the WtW formula grant.

--Describe the allocation of formula grant funds among the allowable

activities.

--Identify the significant local and community organizations involved

and their roles in providing assistance through the formula grant.

--Describe how the proposed competitive grant project will supplement

and enhance the capacity of the WtW formula grant activities to

effectively serve eligible recipients in the local area who have

significant employment barriers.

--In cases where the applicant cannot obtain this information because

the State has not yet submitted a complete WtW Formula Grant Plan, the

application should so indicate. Absence of this information, in and of

itself, will not penalize the applicant.

Analysis of Target Group

Information provided in this section will be evaluated

predominantly under the ``Relative Need'' criteria.

--Describe the individuals targeted for assistance through this

project, including any noncustodial parents.

--Describe the significant employment barriers which characterize this

target group, including the process for identifying those participants

who are least job ready.

Note: An adequate analysis of employment barriers of the target

group will be a critical factor in evaluating the need for grant

assistance and the appropriateness of the proposed plan of services.

Analysis of Employment Opportunities

Information provided in this section will be evaluated

predominantly under the ``Relative Need'' criteria.

--Identify the types of occupations in the local area which are being

targeted as appropriate employment opportunities for the target group

of this project.

--Describe the justification for the selection of the occupations in

terms of their availability and the adequacy of expected placement wage

and post-placement earnings potential to achieve self-sufficiency.

Service Strategy

Information provided in this section will be evaluated

predominantly under the ``Innovation'' and Outcomes'' criteria.

--Identify the specific job readiness, placement (in both subsidized

and unsubsidized employment), post-employment, job retention and/or

support services to be provided with competitive grant funds as well as

services to be leveraged from other sources.

--Describe the rationale for planned enrollments in activities in terms

of the employment barriers, infrastructure deficiencies and employment

opportunities previously identified above (enrollments in each activity

will be reflected in the Quarterly Implementation Plan).

--Where vouchers for services are to be used, describe the process by

which vouchers will be distributed and redeemed (in compliance with 20

CFR Sec. 645.230(a)(3)), including who will be eligible, how amounts of

vouchers will be determined, and how the grantee will ensure that

quality services are being provided.

Service Process

Information provided in this section will be evaluated

predominantly under the ``Innovation'' and ``Outcomes'' criteria.

--Describe the comprehensive service process that will be available to

participants, and identify the organizations which will be involved in

providing specific services/activities. [A process flowchart and/or

service matrix may be used to provide this description.] The

description should specify what elements of the service strategy are

already available in the community, whether through the WtW formula

program, the TANF program or from other sources, as well as the

elements or services that will be funded through the WtW competitive

grant award. Also describe what individual support services, such as

mentoring and case management, will be used to maintain participants in

the program.

--Describe the specific methods which will be used by the grantee and

the local TANF agency to coordinate and work jointly in providing the

following services: Outreach, recruitment, and referral of appropriate

recipients for assistance through the project; assessment of skills and

identification of specific employment barriers; counseling and case

management; and support services.

Integration of Resources

Information provided in this section will be evaluated

predominantly under the ``Local Collaboration and Sustainability''

criteria.

--Identify specific financial resources and organizational/service

provider capabilities which are being contributed to provide the full

range of assistance to the identified target group for the project. At

a minimum, describe the coordination and contributions of local JTPA

service providers, local TANF providers, and local housing and

transportation authorities. In developing their plans, applicants are

encouraged to be mindful of their obligations not to interfere with

collective bargaining rights or agreements or to displace employees.

--Describe the process that will be used to maintain and expand the

service structure in the local area and engage new partners after

receipt of WtW competitive grant funds.

--Describe how the project will develop a sustainable capacity in the

local community to effectively move welfare recipients into permanent

jobs and to foster the long-term self-sufficiency of the target

population. It is expected that project services will provide

assistance oriented towards long-term solutions. It is also expected

that the need for grant funds to provide this assistance will diminish

over time, specifically in the latter stages of the grant performance

period.

Employer Support

Information provided in this section will be evaluated

predominantly under the ``Local Collaboration and Sustainability''

criteria.

--Describe the specific responsibilities and approaches for developing

relationships with and support of area employers to generate a

sufficient number of unsubsidized employment opportunities for the

target group. Specifically describe how employers will be encouraged to

customize employment opportunities to meet work-related needs (e.g.,

child care, flexible work schedules) of recipients.

--Identify the employers in the local area who have made commitments to

the project and describe the types of commitments made (e.g., number

and types of jobs, contribution of employer resources for post-hire

support services and/or training).

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Planned Outcomes

Information provided in this section will be evaluated

predominantly under the ``Outcomes'' criteria.

--Identify and justify planned performance for the comprehensive

service strategy on the following measures: Number of participants to

be placed into unsubsidized employment; average earnings at placement

in unsubsidized employment; expected average earnings one year after

placement in unsubsidized employment; and cost per placement in

unsubsidized employment. In addition, where applicable, for those

services supported specifically by WtW competitive grant funds,

describe specific process or outcome objectives for those services.

The application may include other measures and planned performance

levels as deemed appropriate by the applicant. If these are included,

the applicant should briefly describe their relevance to the project.

Implementation Plan

Information provided in this section will be evaluated

predominantly under the ``Outcomes'' and ``Innovation'' criteria.

--Identify the critical activities, time frames and responsibilities

for effectively implementing the project within the first 60 days after

the award of the grant.

--Include an implementation schedule showing the number of

participants, enrollments in allowable activities, placements in

unsubsidized employment and terminations.

Project Management Plan

Information provided in this section will be evaluated

predominantly under the ``Demonstrated Capability'' and ``Innovation''

criteria.

Applicants must be able to document that they have systems capable

of satisfying the administrative and grant management requirements for

WtW grants as defined in 20 CFR Part 645.

--Include a project organizational chart which identifies the

organizations, and staff, with key management responsibilities and the

specific responsibilities of each organization;

--Describe the specific experience of the applicant and other key

organizations involved in the project in serving individuals with

significant barriers to employment. The information should include

specific projects or grants, a comparison of the characteristics of

individuals served to the target group for this project, and the

employment outcomes which were achieved.

--As appropriate, describe how current or former welfare recipients

will be used to provide services.

--Describe the procedures which will be used to obtain feedback from

participants and other appropriate parties on the responsiveness and

effectiveness of the services provided.

Innovation

Information provided in this section will be evaluated

predominantly under the ``Innovation'' criteria.

Recipients of WtW competitive grants are expected to use creativity

and innovation to help eligible individuals obtain long-term

unsubsidized employment and economic self-sufficiency. The application

should describe how the proposed approach represents an innovative

method for achieving the employment objectives of the project. Proposed

strategies should represent an improvement over, or a variation on,

approaches that have traditionally been used in the project service

area to assist welfare recipients and other low income unemployed

individuals.

Grant recipients are also expected to share knowledge which they

develop through the use of innovative approaches. Applicants should

describe how they will report lessons learned in the course of the

grant implementation, and further, describe their plans for

disseminating the knowledge they have gained.

Additional Requirements for Community Saturation Projects

Information provided in this section will be evaluated

predominantly under the ``Outcomes'' and ``Innovation'' criteria.

--Describe why a project employing a saturation strategy is appropriate

for the project service area and target group.

--Describe the feasibility of a saturation strategy for the project

service area and target group (i.e., based on available employment

opportunities and other factors).

--Identify the local partners who will be involved in implementing the

saturation strategy, the services to be provided and the dollar value

of the contribution from each.

Appendix A: Instructions for Random Assignment Plan Addendum

Background

The Department of Health and Human Services is charged with the

responsibility to conduct a national evaluation of the welfare-to-

work (WtW) grants program. The goal of the evaluation is to expand

the base of knowledge about effective strategies for moving the

least job-ready welfare recipients into unsubsidized employment. Ten

to fourteen WtW competitive grant project sites will be selected for

an in-depth study of the net impact and cost-effectiveness in moving

hard-to-employ recipients into employment. This analysis will rely

on both administrative data and, potentially, in-person interviews

with program participants. In addition, these sites will participate

in a qualitative study of the issues, challenges, and successes

associated with implementing and operating WtW programs. This

qualitative analysis will rely on on-site interviews with program

administrators and staff, administrative data, and potentially,

focus groups with WtW participants.

To qualify as a site for the in-depth study, the site must plan

to serve at least 450 WtW eligible individuals. Up to five (5) bonus

points are available to competitive grant applicants which meet this

participant threshold and which are willing to participate in the

net impact and cost-effectiveness components of the evaluation.

Sites selected to participate in the evaluation will receive

additional resources to cover the extra administrative costs

associated with participating in the evaluation. Additionally,

selected sites will have access to enhanced technical assistance

from the evaluation contractor. Finally, the sites will benefit from

a high-quality evaluation of their program, as well as the

opportunity to have their program showcased nationally to

demonstrate innovative techniques for serving hard-to-employ welfare

recipients.

What Will Participation in the Net Impact and Cost-Effectiveness

Components of the Evaluation Mean for the Selected Sites.

To effectively measure the net impact and cost-effectiveness of

specific service strategies, an experimental design involving the

random assignment of individuals to either treatment status (receipt

of WtW services) or control status (receipt of regular TANF

services) will be used to estimate program net impacts. The random

assignment approach will also be applied to test impacts among a

variety of WtW services.

Since the level of funding available to a particular WtW site

will not be sufficient to serve the entire population eligible in

that site, the applicant must demonstrate the capacity to design a

random assignment study so that no fewer participants will be served

by the WtW program than would have been served in the absence of the

study. Random assignment will only change the mechanism by which

program administrators would otherwise respond to the funding

shortfall (e.g., waiting lists, first-come first-serve, priority

groups). Nor will random assignment require excluding the control

group from services--the control group will be eligible to receive

the regular TANF services available to participants in the TANF

program.

Application Process

WtW applicants who would like to be considered as net impact and

cost-

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effectiveness evaluation site should submit an ``Evaluation

Addendum'' in addition to their programmatic application.

The addendum should address the following items:

--Appropriateness of site for evaluation purposes. Because of the

statistical requirements associated with random assignment, programs

selected for the evaluation will need to serve at least 450

participants in this grant cycle (with funding available over three

years). Preference may be given to programs that address the areas

of interest identified in the SGA and that will be able to be

implemented quickly. The application should explain the importance

of the program model for learning about effective strategies for

hard-to-employ recipients. It also should include evidence of the

applicant's understanding of what is required to carry out a net

impact evaluation program under the coordination of a contractor,

and evidence of the site's commitment to provide the necessary

supports and resources to ensure the success of the project.

--Evidence of capacity to participate. Evaluation sites must be

willing and able to collect administrative data on participants'

experiences and outcomes. The following are specific examples of

evaluation site requirements: utilizing staff time to oversee the

administration of special data collection forms and reviewing them

for completeness; having on staff personnel with knowledge about or

experience in data systems management and extraction; utilizing

staff time to contact program participants to set up meetings or

elicit their cooperation in focus groups; helping to identify

current address or additional contact information for participants

who cannot be located after program termination; and utilizing

management and staff time to meet with evaluation staff for

individual and/or group interviews and information exchange. The

application should list the ability of the site to participate in

these tasks. It also should identify the key individuals who will

work on the evaluation along with a short description of the nature

of their contribution and the percentage of their time available for

the project. There also should be evidence of support from

management of the organization for the purposes of research and

evaluation. Applicants are encouraged to discuss relevant staff

experience with research and evaluation.

--Budget for reimbursement of evaluation costs. Additional grant

funds are available to help defray the incremental administrative

costs associated with the site's participation in the national

evaluation. This may include the costs associated with special data

collection and reporting (above that required of all WtW grant

recipients), monitoring case status and ensuring that cases receive

the services appropriate under the arrangements agreed upon for the

evaluation, supporting the evaluation by notifying participants and

arranging for meetings between evaluators and WtW participants, and

providing liaison between the program and the evaluator as a part of

the national evaluation team. Based on past experience, it is

estimated that the costs to carry out these special tasks equate to

between 1 and 1.5 full time employees (FTE) per year for a mid-range

support staff person. WtW applicants applying to be considered as

participants in this component of the evaluation should include a

budget attachment that includes the costs of evaluation.

Sites that are interested in participating in a random

assignment experiment but are unsure whether they meet the criteria

are encouraged to submit an application for the bonus points.

Efforts will be made to work closely with the selected sites to

facilitate participation in the study and to minimize the

administrative burden of random assignment.

Appendix B: Definitions of Key Terms

City with Large Concentration of Poverty--Any county that

contains an urban center of more than 50,000 people with a poverty

rate of greater than 7.5 percent.

Community Saturation Strategy--Projects that propose to serve

100 percent of the WtW eligible population within a designated

service area, i.e., the community is completely ``saturated'' with

services.

Noncustodial Parent--A parent of a child whose custodial parent

is an eligible TANF recipient.

Private Entity--Any organization, public or private, which is

neither a PIC nor a political subdivision of a State.

Private Industry Council (PIC)--from Sec. 645.120 of the WtW

Regulations--A Private Industry Council established under Section

102 of the Job Training Partnership Act, which performs the

functions authorized at Section 103 of the JTPA.

Political Subdivision--A unit of general purpose local

government, as provided for in State laws and/or Constitution, which

has the power to levy taxes and spend funds and which also has

general corporate and police powers.

Rural Area--(1) Any county that does not contain an urban center

of more than 50,000 people, and where at least 50 percent of the

geographical area of the county has a population density of less

than 100 persons per square mile; or (2) in counties where there is

an urban center, a rural area within the county that constitutes, or

is part of, a distinct rural labor market.

Appendix C: Application for Federal Assistance (Standard Form 424)

Budget Information Sheet

Note: In completing the Standard Form 424, the applicant should

indicate in Item 11 of the form whether the project is to operate in

a city with a large concentration of poverty or in a rural area;

identify the EC/EZ included in the project service area, if

applicable; and identify any of the areas of interest identified in

the announcement which are addressed by the project.

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