All applicants are required to submit an application package that is comprised of the elements in this section.
(a) Application forms. The following application forms (or their successor forms) must be completed when applying for a grant under this subpart.
(1) Form SF-424, ``Application for Federal Assistance.''
(2) Form SF-424A, ``Budget Information-Non-Construction Programs.''
(3) Form SF-424B, ``Assurances--Non-Construction Programs.''
(4) Form RD 400-4, ``Assurance Agreement.''
(5) Form RD 1940-20, ``Request for Environmental Information.'' Applications for planning grants are generally excluded from the environmental review process by Sec. 1940.333 of this title.
(6) All applicants are required to have a DUNS number (including individuals and sole proprietorships).
(b) Application content. The following content items must be completed when applying for a grant under this subpart:
(1) Eligibility discussion. The applicant must demonstrate in detail how the:
(i) Applicant eligibility requirements in Sec. Sec. 4284.920 and 4284.921 are met;
(ii) Project eligibility requirements in Sec. 4284.922 are met;
(iii) Eligible use of grant and matching funds requirements in Sec. Sec. 4284.923 and 4284.924 are met; and
(iv) Funding limitation requirements in Sec. 4284.925 are met.
(2) Evaluation criteria. Using the format prescribed by the application package, the applicant must address each evaluation criterion identified below.
(i) Performance Evaluation Criteria. As part of the application, applicants for both planning and working capital grants must suggest one or more relevant criterion that will be used to evaluate the performance of the grant project during its operational phase post-award, as benchmarks to ascertain whether or not the primary goals and objectives proposed in the work plan are accomplished during the project period. These benchmarks should relate to the overall project goal of creating and serving new markets, with a resulting increase in customer base and increase in revenues returning to the producer applicants; as well as to the practical and/or logistical activities and tasks to be accomplished during the project period. The Agency application package will provide additional instruction to assist applicants when responding to this criterion. Applicant suggested performance criteria will be incorporated into the applicant's semi-annual and final reporting requirements if selected for award, and will be specified in the grant agreement associated with the award. In addition, applicants for both planning and working capital grants must identify the number of jobs anticipated to be created or saved as a direct result of the project. Planning grant applicants should identify the number of jobs expected to be created or saved as a result of continuing the project into its operational phase. Working capital grant applicants should identify the actual number of jobs created or saved as a result of the project.
(ii) Proposal evaluation criteria. Applicants for both planning and working capital grants must address each proposal evaluation criterion identified in Sec. 4284.942 in narrative form, in the application package.
(3) Certification of matching funds. Using the format prescribed by the application package, applicants must certify that:
(i) Cost-share matching funds will be spent in advance of grant funding, such that for every dollar of grant funds disbursed, not less than an equal amount of matching funds will have been expended prior to submitting the request for reimbursement; and
(ii) If matching funds are proposed in an amount exceeding the grant amount, those matching funds must be spent at a proportional rate equal to the match-to-grant ratio identified in the proposed budget.
(4) Verification of cost-share matching funds. Using the format prescribed by the application package, the applicant must demonstrate and provide authentic documentation from the source to confirm the eligibility and availability of both cash and in-kind contributions that meet the definition requirements for Matching Funds and Conflict of Interest in Sec. 4284.902, as well as the following criteria:
(i) Matching funds are subject to the same use restrictions as grant funds, and must be spent on eligible project expenses during the grant funding period.
(ii) Matching funds must be from eligible sources without a real or apparent conflict of interest.
(iii) Matching funds must be at least equal to the amount of grant funds requested, and combined grant and matching funds must equal 100 percent of the total eligible project costs.
(iv) Unless provided by other authorizing legislation, other Federal grant funds cannot be used as matching funds.
(v) Matching funds must be provided in the form of confirmed applicant cash, loan, or line of credit; or provided in the form of a confirmed applicant or family member in-kind contribution that meets the requirements and limitations specified in Sec. 4284.923(a) and (b); or provided in the form of confirmed third-party cash or eligible third-party in-kind contribution; or non-federal grant sources (unless otherwise provided by law).
(vi) Examples of ineligible matching funds include funds used for an ineligible purpose, contributions donated outside the proposed grant funding period, third-party in-kind contributions that are over-valued, or are without substantive documentation for an independent reviewer to confirm a valuation, conducting activities on behalf of anyone other than a specific Independent Producer or group of Independent Producers, expected program income at time of application, or instances where a real or apparent conflict of interest exists, except as detailed in Sec. 4284.923(a) and (b).
(5) Business plan. For working capital grant applications, applicants must provide a copy of the business plan that was completed for the proposed value-added venture, except as provided for in Sec. Sec. 4284.922(b)(6) and 4284.932. The Agency must concur in the acceptability or adequacy of the business plan. For all planning grant applications including those proposing product eligibility under ``produced in a manner that enhances the value of the agricultural commodity,'' a business plan is not required as part of the grant application.
(6) Feasibility study. As part of the application package, applicants for working capital grants must provide a copy of the third-party feasibility study that was completed for the proposed value-added project, except as provided for at Sec. Sec. 4284.922(b)(6) and 4284.932. The Agency must concur in the acceptability or adequacy of the feasibility study.