U.S. DEPARTMENT OF HOMELAND SECURITY FISCAL YEAR 2009 FREIGHT RAIL SECURITY GRANT PROGRAM GUIDANCE AND APPLICATION KIT NOVEMBER 2008 U.S.DEPARTMENT OFHOMELANDSECURITY Title of Opportunity: FY 2009 Freight Rail Security Grant Program (FRSGP) Funding Opportunity Number: DHS-09-GPD-075-1963 Federal Agency Name: FEMA Grant Programs Directorate (GPD) Announcement Type: Initial Dates: Completed applications must be submitted no later than 11:59 PM EST, January 13, 2009. Additional overview information: The Fiscal Year 2009 (FY 2009) Freight Rail Security Grant Program (FRSGP) contains significant improvements based on extensive outreach to grant participants and stakeholders. Some of the key changes impacting the FY 2009 FRSGP as compared to the previous year’s program include: Cost Sharing Requirement Pursuant to the Consolidated Security, Disaster Assistance, and Continuing Appropriations Act of 2009 (Public Law 110-329), participants of the FY 2009 FRSGP will not be required to provide a cost share for funding they receive. Eligibility Railroad car owners transporting poisonous by inhalation/toxic inhalation hazardous (TIH) materials are eligible recipients. These recipients may apply grant funds to vulnerability assessments and security plans; security training for railroad frontline employees; and Global Positioning System (GPS) tracking on railroad cars within the Freight Rail industry. i CONTENTS Contents........................................................................................................................ 1 Part I. FUNDING OPPORTUNITY DESCRIPTION......................................................... 2 Part II. AWARD INFORMATION .................................................................................... 6 Part III. ELIGIBILITY INFORMATION ............................................................................ 7 A. Eligible Applicants................................................................................... 7 B. Cost Sharing ............................................................................................ 9 C. Restrictions ............................................................................................. 9 Part IV. APPLICATION AND SUBMISSION INFORMATION ...................................... 10 A. Address to Request Application Package ........................................... 10 B. Content and Form of Application ......................................................... 10 C. Submission Dates and Times ............................................................... 29 D. Intergovernmental Review .................................................................... 29 E. Funding Restrictions............................................................................. 29 Part V. APPLICATION REVIEW INFORMATION ........................................................ 33 A. Review Criteria....................................................................................... 33 B. Review and Selection Process ............................................................. 34 C. Anticipated Announcement and Award Dates .................................... 34 Part VI. AWARD ADMINISTRATION INFORMATION.................................................35 A. Notice of Award ..................................................................................... 35 B. Administrative and National Policy Requirements ............................. 35 C. Reporting Requirements ....................................................................... 42 Part VII. FEMA CONTACTS.........................................................................................45 Part VIII. OTHER INFORMATION ............................................................................... 49 1 PART I. FUNDING OPPORTUNITY DESCRIPTION The Freight Rail Security Grant Program (FRSGP) is a component of the Transit Security Grant Program (TSGP), which is one of six grant programs that constitute the Department of Homeland Security (DHS) fiscal year (FY) 2009 focus on transportation infrastructure security activities. The FRSGP is one tool among a comprehensive set of measures authorized by Congress and implemented by the Administration to help strengthen the Nation’s critical infrastructure against risks associated with potential terrorist attacks. The FRSGP was created as a result of section 1513 of the Implementing Recommendations of the 9/11 Commission Act of 2007 (Public Law 110-53) (the 9/11 Act). In FY 2009, the FRSGP will fund security training for railroad frontline employees1, the completion of vulnerability assessments, the development of security plans, and Global Positioning System (GPS) tracking on railroad cars within the Freight Rail industry. The purpose of this package is to provide: (1) an overview of the FY 2009 FRSGP; and (2) the formal grant guidance and application materials needed to apply for funding under the program. Also included is an explanation of DHS management requirements for implementation of a successful application. Making an application for significant Federal funds under programs such as this can be complex. The Department’s job is to provide clear guidance and efficient application tools to assist applicants. DHS customers are entitled to effective assistance during the application process, and transparent, disciplined management controls to support grant awards. The Department intends to be good stewards of precious Federal resources and commonsense partners with State, local, and private sector colleagues. The Department understands that individual railroad carriers have unique needs and tested experience on how best to reduce risk locally. DHS subject matter experts will evaluate grant applications with the overall goal of reducing risk, but will also be sensitive to local needs and approaches. In short, DHS commits to respect flexibility and local innovation as the Department funds national homeland security priorities. Federal Investment Strategy The FRSGP is an important part of the Administration’s larger, coordinated effort to strengthen homeland security preparedness, including the security of America’s critical infrastructure. The FRSGP implements objectives addressed in a series of post-9/11 laws, strategy documents, plans, Executive Orders, and Homeland Security Presidential Directives (HSPDs). Of particular significance are the National Infrastructure Protection 1 As defined in § 1501 of PL 110-53. 2 Plan (NIPP), the transportation sector-specific plan, the freight rail modal annex, and Executive Order 13416 (Strengthening Surface Transportation Security). The National Preparedness Guidelines are an all-hazards vision regarding the Nation’s four core preparedness objectives: prevent, protect against, respond to, and recover from terrorist attacks and catastrophic natural disasters. The National Preparedness Guidelines define a vision of what to accomplish and a set of tools to forge a unified national consensus about what to do and how to work together at the Federal, State, local, and Tribal levels. Private sector participation is integral to the Guidelines’ success. It outlines 15 scenarios of terrorist attacks or national disasters that form the basis of much of the Federal exercise and training regime. In addition, 37 critical target capabilities are identified that DHS is making the focus of key investments with State, local and Tribal partners. DHS expects its critical infrastructure partners—including recipients of FRSGP grants— to be familiar with this national preparedness architecture and to incorporate elements of this architecture into their planning, operations, and investment to the degree practicable. Our funding priorities outlined in this document reflect National Preparedness Guidelines priority investments as appropriate. Programmatic requirements or priority investment categories reflecting the national preparedness architecture for this grant program are identified below. Additional information may also be found at http://www.dhs.gov/xprepresp/publications. Funding Priorities The funding priorities for the FY 2009 FRSGP reflect the Department’s overall investment strategy as well as requirements of the 9/11 Act. The key goals of the FY 2009 FRSGP are to establish the basis for capital security improvements by funding vulnerability assessments and security plans, training to frontline personnel and GPS tracking on railroad cars. The Department, in alignment with the 9/11 Act, identifies the following specific priorities for the FY 2009 FRSGP as the only allowable uses of funds under this year’s program: 1. Vulnerability Assessments and Security Plans. Freight railroad vulnerability assessments will provide a broader picture of the mode’s preparedness, as well as security risks that need to be mitigated. In an effort to “buy down” these security risks, security plans will help target resources and mitigation strategies toward gaps in the mode’s security identified by the vulnerability assessments. The information captured in the vulnerability assessments and security plans (including any mitigation strategies) will form the basis of funding priorities for this grant program in future years, as appropriate. Freight railroad carriers without complete vulnerability assessments and security plans will not be considered for other projects in future grant years. DHS recognizes that Class II and Class III railroad carriers vary greatly in their size and scope of operations. Therefore, eligible railroad carriers should request the funds they believe are necessary for comprehensive vulnerability assessments and security plans. Please note that all applicants will be required to certify the existence of both a vulnerability assessment and security plan that comply fully with the requirements of 49 CFR 3 172.802 to be eligible for any funding under the FY 2009 FRSGP. A certification form can be found in Part IV Section B. Other Information and should be submitted as part of the application submission. 2. Security training for railroad frontline employees. Effective employee training programs address individual employee responsibilities and provide heightened security awareness. Training should cover adequately assessing and reporting incidents, appropriate employee response, crew communication and coordination, and incident evacuation procedures. For example, a well trained railroad employee can help ensure that trespassers on railroad property are identified and reported. 3. Global Positioning System (GPS) tracking. Owners of railroad cars used in the transportation of poisonous by inhalation/toxic inhalation hazardous (TIH) as defined in Part III Section A of this FY 2009 Guidance document may apply for Satellite GPS tracking equipment on those railroad cars. Satellite tracking equipment must be able to meet specific communication protocol standards that are outlined in Part IV Section A of this grant guidance document. The tracking information obtained using this GPS equipment will be owned by the railcar owner who will allow unrestricted access to DHS/Transportation Security Administration (TSA) as a condition of the award. Eligible applicants are divided into three groups based on the types of projects they can apply for: Class I railroad carriers, Class II/III railroad carriers, and owners of railroad cars. Eligible Class I railroad carriers may ONLY request funding for security awareness and emergency response training for railroad frontline employees. This grant program does not cover the expenses associated with conducting a vulnerability assessment or developing a security plan for Class I carriers. In order to be eligible to request this training funding, Class I carriers must certify to DHS that they have completed both a vulnerability assessment and a security plan that meet the requirements listed in Part IV Section B. Eligible Class II and Class III railroad carriers may use grant funds received under this program to complete a vulnerability assessment and security plan that meet the requirements. If a plan has already been completed but does not meet these requirements, the applicant may request funding to conduct a new vulnerability assessment and to develop a new security plan to meet the requirements. Upon completion of the vulnerability assessment and security plan, eligible Class II and Class III railroad carriers may request funding for security awareness and emergency response training for railroad frontline employees. In order for these projects to be funded, the carrier must first certify that the requirements for vulnerability assessments and security plans, listed in Part IV, Section B., have been met. If these items have already been completed, an eligible applicant may request funds for training. Eligible owners of railroad cars may use grant funds received under this program to acquire and install satellite GPS tracking on cars that transport TIH. Satellite tracking equipment must be able to meet specific communication protocol standards that are outlined in Part IV Section A of this grant guidance document. The tracking information 4 obtained using this GPS equipment will be owned by the railroad car owner who will allow unrestricted access to DHS/TSA as a condition of the award. In order to request FY 2009 FRSGP funds, applicants must complete and submit an Investment Justification, the outline of which is provided in Part IV of the FY 2009 FRSGP Grant Guidance. FRSGP Program Management: Roles and Responsibilities at DHS Within DHS, TSA by law has the lead for managing the Department’s security oversight and security programs for the transit industry. TSA provides transit system subject matter expertise within DHS and determines the primary security architecture for the FRSGP program. Its subject matter experts have the lead in crafting all selection criteria associated with the application review process. TSA coordinates daily with the DHS Chief Intelligence Officer to review intelligence reporting and craft intelligence risk assessments related to the transportation sector. The Federal Emergency Management Agency (FEMA) has the lead for designing and operating the administrative mechanisms needed to manage the Department’s core grant programs, including this grant program. In short, FEMA is responsible for ensuring compliance with all relevant Federal grant management requirements and delivering the appropriate grant management tools, financial controls, audits and program management discipline needed to support the FRSGP. While both TSA and FEMA of necessity interface directly with our transit stakeholders, TSA will prioritize specific investments and set security priorities associated with the FRSGP. Effective management of the FRSGP entails a partnership within DHS, the boundaries of which have been defined by DHS. In order to make this partnership seamless to our external partners, upon award of a FY 2009 FRSGP grant, two individuals will be identified for each transit agency who will serve as primary account managers—one individual from TSA and one from FEMA. These two individuals will be assigned to be turnkey facilitators for our grant recipients. They will meet directly with grantees as needed, and will coordinate with each other routinely to facilitate support for the individual transit agencies in a given region. These individuals will be the one-stop FRSGP account managers for our transit agency customers. 5 PART II. AWARD INFORMATION This section summarizes the award period of performance and the total amount of funding available under the FY 2009 FRSGP, describes the basic distribution method used to determine final grants awards, and identifies all eligible applicants for FY 2009 funding. Award Period of Performance The period of performance of this grant is 36 months. Extensions to the period of performance will be considered only through formal requests to FEMA with specific and compelling justifications why an extension is required. Available Funding In FY 2009, the total amount of funds distributed under the FRSGP will be $15,000,000. 6 PART III. ELIGIBILITY INFORMATION A. Eligible Applicants Eligible applicants for the FY 2009 FRSGP are determined by DHS as Class I, II, and III freight railroad carriers that transport Security-Sensitive Materials (SSM) and owners of railroad cars that transport TIH materials. A regulation defining SSM is currently under development; however, a definition of SSM is provided below specifically for the purposes of the FY 2009 FRSGP. As designated by the Surface Transportation Board, a Class I railroad carrier is defined as a railroad with annual operating revenues for 2005 over $319.2 million; a Class II railroad carrier is defined as a railroad with annual operating revenues between $25.5 million and $319.2 million; and a Class III railroad carrier is defined as a railroad with annual operating revenues of less than $25.5 million. Class I, II, and III freight railroad carriers must also meet the following criteria in order to be eligible: • Transport Rail SSM. For the purpose of this grant, SSM is defined as: 1) more than 2,268 kg (5,000 lbs.) in a single carload of a Division 1.1, 1.2, or 1.3 explosive; 2) a tank car containing a material poisonous by inhalation, as defined in 49 CFR 171.8, including anhydrous ammonia but excluding residue quantities of these materials; and 3) a highway route-controlled quantity of a Class 7 (radioactive) material, as defined in 49 CFR 173.403. • Operate in or through a high threat urban area, as subject to the forthcoming “Rail Transportation Security Final Rule,” and as identified in Table 1 of the FY 2009 Freight Rail Security Grant Program Guidance and Application Kit. • Certify they have developed and adhere to a vulnerability assessment and security plan that conforms to the requirements of 49 CFR 172.8022. 2 The Secretary has determined that the security plans and the vulnerability assessment required under this section is sufficient for initial eligibility and the requirements of section 1513 Railroad Security Assistance of PL 110-53 “Implementing Recommendations of the 9/11 Commission Act of 2007.” 7 Table 1. High Threat Urban Areas (AZ) Phoenix Area (NC) Charlotte Area (AZ) Tucson Area (NJ) Jersey City/Newark Area (CA) Los Angeles/Long Beach Area (NV) Las Vegas Area (CA) Bay Area (NY) New York City Area (CA) Riverside Area (NY) Albany Area (CA) Sacramento Area (NY) Buffalo Area (CA) San Diego Area (NY) Rochester Area (CA) Anaheim/Santa Ana Area (NY) Syracuse Area (CA) Oxnard Area (OH) Cincinnati Area (CO) Denver Area (OH) Cleveland Area (CT) Bridgeport Area (OH) Columbus Area (CT) Hartford Area (OH) Toledo Area (DC) National Capital Region (OK) Oklahoma City Area (FL) Fort Lauderdale Area (OK) Tulsa Area (FL) Jacksonville Area (OR) Portland Area (FL) Miami Area (PA) Philadelphia Area (FL) Orlando Area (PA) Pittsburgh Area (FL) Tampa Area (PR) San Juan Area (GA) Atlanta Area (RI) Providence Area (HI) Honolulu Area (TN) Memphis Area (IL) Chicago Area (TN) Nashville Area (IN) Indianapolis Area (TX) Houston Area (KY) Louisville Area (TX) Austin Area (LA) Baton Rouge Area (TX) Dallas/Fort Worth/Arlington Area (LA) New Orleans Area (TX) El Paso Area (MA) Boston Area (TX) San Antonio Area (MD) Baltimore Area (UT) Salt Lake City Area (MI) Detroit Area (VA) Richmond Area (MN) Twin Cities Area (VA) Norfolk Area (MO) Kansas City Area (WA) Seattle Area (MO) St. Louis Area (WI) Milwaukee Area Freight railroad carriers may apply for training if they certify they have completed a vulnerability assessment and security plan that meet the requirements outlined in Part IV Section B. This grant program does not cover the expenses associated with conducting a vulnerability assessment or developing a security plan for Class I freight railroad carriers. Eligible Class II and Class III freight railroad carriers that have completed a vulnerability assessment and security plan that comply with 49 CFR 172.802 may request funding to conduct a new vulnerability assessment and to develop a new security plan to meet the requirements. Funds may also be used to improve upon an existing security plan to meet the requirements. Eligible Class II and Class III freight railroad carriers may request funding for security awareness and emergency response training for railroad frontline employees if they can certify that the requirements for vulnerability assessments and security plans have been met by their existing vulnerability assessment and implemented security plan. 8 Owners of railroad cars must meet the following criteria in order to be eligible: • Transport Rail TIH. For the purpose of this grant, TIH is defined as: a tank car containing a material poisonous by inhalation, as defined in 49 CFR 171.8, including anhydrous ammonia but excluding residue quantities of these materials. Please refer to Part IV Section B for examples of certification statements. These statements should be submitted as part of the grant application, as applicable. B. Cost Sharing Pursuant to the Consolidated Security, Disaster Assistance, and Continuing Appropriations Act of 2009 (Public Law 110-329), participants of the FY 2009 FRSGP will not be required to provide a cost share for funding they receive. C. Restrictions Please see Section IV.E. for Management and Administration (M&A) limits, and allowable/unallowable costs guidance. 9 PART IV. APPLICATION AND SUBMISSION INFORMATION A. Address to Request Application Package DHS participates in the Administration’s e-government initiative. As part of that initiative, all applications must be filed using the Administration’s common electronic “storefront” --grants.gov. Eligible entities must apply for funding through this portal, accessible on the Internet at http://www.grants.gov. To access application forms and instructions, select “Apply for Grants,” and then select “Download Application Package.” Enter the CFDA and/or the funding opportunity number located on the cover of this announcement. Select “Download Application Package,” and then follow the prompts to download the application package. To download the instructions, go to “Download Application Package” and select “Instructions.” If you experience difficulties or have any questions, please call the grants.gov customer support hotline at (800) 518-4726. B. Content and Form of Application 1. On-line application. The on-line application must be completed and submitted using grants.gov. after Central Contractor Registry (CCR) registration is confirmed. The on-line application includes the following required forms and submissions: • Investment Justification • Any additional Required Attachments • Standard Form 424, Application for Federal Assistance • Standard Form 424A, Budget Information • Standard Form 424B Assurances • Standard Form LLL, Disclosure of Lobbying Activities The program title listed in the Catalog of Federal Domestic Assistance (CFDA) is “Freight Rail Security Grant Program.” The CFDA number is 97.075. 2. Application via grants.gov. FEMA participates in the Administration’s e- government initiative. As part of that initiative, all applicants must file their applications using the Administration’s common electronic “storefront” --grants.gov. Eligible entities must apply for funding through this portal, accessible on the Internet at http://www.grants.gov. 3. DUNS number. The applicant must provide a Dun and Bradstreet Data Universal Numbering System (DUNS) number with their application. This number is a required field within grants.gov and for CCR Registration. Organizations should verify that 10 they have a DUNS number, or take the steps necessary to obtain one, as soon as possible. Applicants can receive a DUNS number at no cost by calling the dedicated toll-free DUNS Number request line at (866) 705-5711. 4. Valid Central Contractor Registry (CCR) Registration. The application process also involves an updated and current registration by the applicant. Eligible applicants must confirm CCR registration at http://www.ccr.gov, as well as apply for funding through grants.gov. 5. Investment Justification. As part of the FY 2009 FRSGP application process, applicants must develop a formal Investment Justification that addresses each initiative being proposed for funding. These Investment Justifications must demonstrate how proposed projects address gaps and deficiencies in current programs and capabilities. The Investment Justification must demonstrate the ability to provide enhancements consistent with the purpose of the program and guidance provided by FEMA. Applicants must ensure that the Investment Justification is consistent with all applicable requirements outlined in this application kit. Applicants may propose up to two investments within their Investment Justification. A separate Investment Justification must be submitted for each proposed project. All investment justifications must be submitted with the application by January 13, 2009. The Investment Justification must demonstrate the ability of the applicant to provide tangible, physical security enhancements consistent with the purpose of the program and guidance provided by DHS. Applicants must ensure that the Investment Justification is consistent with all applicable requirements outlined in this application kit. The format attached should be followed for these file attachments. As a reminder, completed Applications must be submitted to DHS via grants.gov no later than 11:59 pm EST, January 13, 2009. Applicants must submit one SF-424; as well as an investment justification and detailed budget for each project. Applicants must provide information in the following categories for each proposed investment: 1. Background; 2. Impact; 3. Implementation Plan. FRSGP applicants must provide responses to all questions. The noted page limits are suggestions only. 11 Investment Heading Railroad Carrier or Owner of Railroad Car Date of Application Region and High Population Density Area(s) Impacted Investment Name Investment Amount I. Background Note: This section only needs to be completed once per application, regardless of the number of investments proposed. The information in this section provides background/context for the investment(s) requested, but does not represent the evaluation criteria used by DHS for rating individual investment proposals. I.A. Identify the point(s) of contact for this investment. Response Type Narrative Page Limit Not to exceed ½ page Response Instructions Identify the following: •Point of contact’s (POC) name and title; •POC’s full mailing address; •POC’s telephone number; •POC’s fax number; •POC’s email address; and, •Also include the corresponding information for the single authorizing official for your organization—i.e., the individual authorized to sign a grant award. Response: I.B. Describe your operating system as applicable. Response Type Narrative Page Limit Not to exceed 2 pages Response Instructions Describe the following: • Infrastructure; • Number of track miles; • Number of rail cars (differentiating tank cars); • Volume of SSM as defined for this grant, transported through High Population-Density Areas annually. (Include separately the volume of TIH transported in tank cars and the volume of TIH transported by bulk loads.) • System maps, including listing of High Density Population Areas serviced; and, • Other sources of funding being leveraged for security enhancements. Response 12 I.C. Describe the status of your training program, as applicable. Response Type Narrative Page Limit Not to exceed 2 pages Response Instructions Describe the following: • Number of staff • Type of staff, including employment titles • The number of employees who have received basic security awareness training in the past two years Response II. Impact II.A. Discuss how the implementation of this investment will decrease or mitigate risk. Response Type Narrative Page Limit Not to exceed 1 page Response Instructions • Discuss how this investment will reduce risk (e.g., reduce vulnerabilities or mitigate the consequences of an event) by addressing the needs and priorities identified in earlier analysis and review; and, • Identify the nature of the risk and how the risk and need are related to show how addressing the need through this investment will also mitigate risk (e.g., reduce vulnerabilities or mitigate the consequences of an event). • For training requests, provide how close the training request will get your organization to having all railroad frontline employees trained for basic security training. Also please explain your plan for getting everyone trained in basic security. • For owners of railroad cars, provide number of cars owned by Department of Transportation (DOT) specification and number of GPS units requested in this investment. Response II.B. Vulnerability assessments and security plan requests as applicable. Response Type Narrative Page Limit Not to exceed 2 pages Response Instructions For vulnerability assessment and security plan requests, please explain the status of your current vulnerability assessment and security plan with regard to the. If you deem your current vulnerability assessment and security plan do not meet the requirements contained herein, please describe those aspects of the plan that will be created and/or improved with grant funds. • If using a vulnerability tool/methodology other than DHS Transit Risk Assessment Module (TRAM) and the Intelligence Community’s Analytical Risk Management (ARM) Process, you must provide the commercial name of the assessment tool/methodology in the response to facilitate evaluation of your proposed methodology; • If it is not a commercial product, explain why you are not using one of the approved methodologies and how your chosen methodology will comply with the vulnerability assessment and security plan • DHS may require the applicant to submit the entire vulnerability assessment tool/methodology requested above. Response 13 III. Funding and Implementation Plan III.A. Investment Funding Plan. Response Type Numeric and Narrative Page Limit Not to exceed 1 page Response Instructions • Complete the chart below to identify the amount of funding you are requesting for this Investment only; • Funds should be requested by allowable cost categories (as identified in the FY 2009 FRSGP Program Guidelines and Application Kit); • Applicants must make funding requests that are reasonable and justified by direct linkages to activities outlined in this particular Investment; and, • Applicants must indicate whether additional funding (non-FY 2009 FRSGP) will be leveraged for this Investment. Note: Investments will be evaluated on the expected impact on security relative to the amount of the investment (i.e., cost effectiveness). An itemized Budget Detail Worksheet and Budget Narrative must also be completed for this investment Response The following template illustrates how the applicants should indicate the amount of FY 2009 FRSGP funding required for the Investment, how these funds will be allocated across the cost elements, and any match being offered: Federal Request Total Match Grand Total Vulnerability Assessment/ Security Plan Development Training GPS M&A Total III.B. Identify up to five potential challenges to the effective implementation of this investment (e.g. stakeholder buy-in, sustainability, aggressive timelines). Response Type Narrative Page Limit Not to exceed ½ page Response Instructions • For each identified challenge, provide a brief description of how the challenge will be addressed and mitigated, and indicate a probability of occurrence (high, medium, or low); • The response should focus on the implementation only; • Consider the necessary steps and stages that will be required for successful implementation of the investment; • Identify areas of possible concern or potential pitfalls in terms of investment implementation; and, • Explain why those areas present the greatest challenge to a successful investment implementation. Response 14 III.C. Describe the management team, including roles and responsibilities that will be accountable for the oversight and implementation of this investment, and the overall management approach they will apply for the implementation of this investment. Response Type Narrative Page Limit Not to exceed ½ page Response Instructions • Provide the high-level skill sets (e.g., budget execution, grant administration, geospatial expert, outreach and communication liaison) that members of the management team must possess for the successful implementation and oversight of the investment; • Discuss how those skill sets fulfill the oversight and execution responsibilities for the investment, and how the management roles and responsibilities will be distributed/assigned among the management team; and, • Explain how the management team members will organize and work together in order to successfully manage the investment. Response III.D. Provide a high-level timeline, milestones and dates, for the implementation of this investment. Up to 10 milestones may be provided. Response Type Narrative Page Limit Not to exceed 1 page Response Instructions • Only include major milestones that are critical to the success of the investment; • While up to 10 milestones may be provided, applicants should only list as many milestones as necessary; • Milestones are for this discrete investment – those that are covered by the requested FY 2009 FRSGP funds and will be completed over the 36-month grant period; • Milestones should be kept to high-level, major tasks that will need to occur; • Identify the planned start date associated with the identified milestone. The start date should reflect the date at which the earliest action will be taken to start achieving the milestone; • Identify the planned completion date when all actions related to the milestone will be completed and overall milestone outcome is met; and, • List any relevant information that will be critical to the successful completion of the milestone (such as those examples listed in the question text above). Response Investment Justification Submission and File Naming Convention Investment Justifications must be submitted with the grant application as a file attachment within grants.gov. Applicants must use the following file naming convention when submitting Investment Justifications as part of the FY 2009 FRSGP: Detailed Budget (through grants.gov file attachment) Company Name_IJ Number (Example: ABC Railroad_IJ#1) 15 Sample Budget Detail Worksheet Purpose. The Budget Detail Worksheet is provided as a guide to assist applicants in the preparation of the budget and budget narrative, when required. You may submit the budget information using this form or in the format of your choice (plain sheets, your own form, or a variation of this form). However, all required information (including the budget narrative) must be provided. Any category of expense not applicable to your budget may be deleted. A. Personnel. List each position by title and name of employee, if available. Show the annual salary rate and the percentage of time to be devoted to the project. Compensation paid for employees engaged in grant activities must be consistent with that paid for similar work within the applicant organization. Name/Position Computation Cost Note: Personnel costs are only allowable for direct management and administration of the grant award, i.e., preparation of mandatory post-award reports. TOTAL _________ B. Fringe Benefits. Fringe benefits should be based on actual known costs or an established formula. Fringe benefits are for the personnel listed in budget category (A) and only for the percentage of time devoted to the project. Name/Position Computation Cost TOTAL _________ Total Personnel & Fringe Benefits _________ C. Travel. Itemize travel expenses of project personnel by purpose (e.g., staff to training, field interviews, advisory group meeting, etc.). Show the basis of computation (e.g., six people to 3-day training at $X airfare, $X lodging, $X subsistence). In training projects, travel and meals for trainees should be listed separately. Show the number of trainees and unit costs involved. Identify the location of travel, if known. Indicate source of Travel Policies applied, Applicant or Federal Travel Regulations. Purpose of Travel Location Item Computation Cost TOTAL _________ 16 D. Equipment. List non-expendable items that are to be purchased. Non-expendable equipment is tangible property having a useful life of more than two years. (Note: Organization’s own capitalization policy and threshold amount for classification of equipment may be used). Expendable items should be included either in the “Supplies” category or in the “Other” category. Applicants should analyze the cost benefits of purchasing versus leasing equipment, especially high cost items and those subject to rapid technical advances. Rented or leased equipment costs should be listed in the “Contractual” category. Explain how the equipment is necessary for the success of the project. Attach a narrative describing the procurement method to be used. Item Computation Cost Budget Narrative: Provide a narrative budget justification for each of the budget items identified. TOTAL _________ E. Supplies. List items by type (office supplies, postage, training materials, copying paper, and other expendable items such as books, hand held tape recorders) and show the basis for computation. (Note: Organization’s own capitalization policy and threshold amount for classification of supplies may be used). Generally, supplies include any materials that are expendable or consumed during the course of the project. These costs are applicable to the overall M&A cap of three percent (3%). Supply Items Computation Cost TOTAL _________ F. Consultants/Contracts. Indicate whether applicant’s formal, written Procurement Policy or the Federal Acquisition Regulations are followed. Consultant Fees: For each consultant enter the name, if known, service to be provided, hourly or daily fee (8-hour day), and estimated time on the project. Name of Consultant Service Provided Computation Cost Budget Narrative: Provide a narrative budget justification for each of the budget items identified. Subtotal 17 Consultant Expenses: List all expenses to be paid from the grant to the individual consultant in addition to their fees (i.e., travel, meals, lodging, etc.) Item Location Computation Cost Budget Narrative: Provide a narrative budget justification for each of the budget items identified. Subtotal __________ Contracts: Provide a description of the product or services to be procured by contract and an estimate of the cost. Applicants are encouraged to promote free and open competition in awarding contracts. A separate justification must be provided for sole source contracts in excess of $100,000. Item Cost Budget Narrative: Provide a narrative budget justification for each of the budget items identified. Subtotal ________ TOTAL __________ G. Other Costs. List items (e.g., rent, reproduction, telephone, janitorial or security services, and investigative or confidential funds) by major type and the basis of the computation. For example, provide the square footage and the cost per square foot for rent, and provide a monthly rental cost and how many months to rent. These costs are applicable to the overall M&A cap of three percent (3%). Description Computation Cost Budget Narrative: Provide a narrative budget justification for each of the budget items identified. TOTAL _________ 18 H. Indirect Costs. Indirect costs are allowed only if the applicant has a Federally approved indirect cost rate. A copy of the rate approval, (a fully executed, negotiated agreement), must be attached. If the applicant does not have an approved rate, one can be requested by contacting the applicant’s cognizant Federal agency, which will review all documentation and approve a rate for the applicant organization, or if the applicant’s accounting system permits, costs may be allocated in the direct costs categories. Description Computation Cost TOTAL _________ Budget Summary. When you have completed the budget worksheet, transfer the totals for each category to the spaces below. Compute the total direct costs and the total project costs. Indicate the amount of Federal funds requested and the amount of non-Federal funds that will support the project. Budget Category Federal Amount Non-Federal Amount A. Personnel __________ ___________ B. Fringe Benefits __________ ___________ C. Travel __________ ___________ D. Equipment __________ __________ E. Supplies __________ ___________ F. Consultants/Contracts __________ ___________ G. Other __________ ___________ Total Direct Costs __________ ________ __ H. Indirect Costs __________ ___________ I. Total Grantee Contribution * TOTAL PROJECT COSTS __________ _____ _____ Federal Request __________ 19 Detailed Budget Submission and File Naming Convention Investment Justifications must be submitted with the grant application as a file attachment within grants.gov. Applicants must use the following file naming convention when submitting Detailed Budgets as part of the FY 2009 FRSGP: Detailed Budget (through grants.gov file attachment) Company Name_IJ Number_Budget (Example: ABC Railroad_IJ#1_Budget) 20 Vulnerability Assessment Vulnerability Assessment Overview Each railroad carrier must complete a Vulnerability Assessment of all railroad carrier critical assets and infrastructure, and the carrier’s transportation and storage of SSM in rail cars, excluding residue. Vulnerability Assessment Structure A rail carrier Vulnerability Assessment shall include: • The identification of all railroad carrier critical assets and infrastructure needed to conduct railroad operations including intermodal terminals, tunnels, bridges, switching and storage areas, SSM transported by the railroad carrier and information systems as appropriate. • Each asset should be assessed as the target of at least the following acts of terrorism (attack scenarios): a VBIED attack, an IED attack, and a cyber attack (if applicable). Additional attack scenarios should be assessed if applicable. • The identification of the vulnerabilities of the identified critical railroad assets and infrastructure to each applicable act of terrorism including the identification of strengths and weaknesses and the existing countermeasures and their level of effectiveness in reducing identified vulnerabilities taking into account the following: o Physical security including fencing, alarms, monitoring using cameras and patrols, warning signs and lighting; o Randomness of operations; o Access control of employees, contractors, visitors and trespassers to critical areas; o Programmable electronic devices, computers, or other automated systems which are used in providing the transportation; o Communications systems and utilities needed for railroad security purposes including dispatching and notification systems; o Planning including the coordination with the public emergency responders and law enforcement agencies; o Employee and contractor personnel screening; o Employee security training, and; o Dwell time of rail cars containing SSM cars in rail yards, terminals, and on railroad-controlled leased track. 21 • The identification of redundant and backup systems required to provide for the continued operation of critical elements of a railroad carrier’s system in the event of an act of terrorism, including disruption of commercial electric power or communications network. • An analysis of the consequences of each applicable act of terrorism on the identified critical assets. This includes estimating the impact the act of terrorism will have on railroad operations, the population, national security, and the national economy. • A risk assessment for each identified critical railroad carrier asset and infrastructure that takes into account the relative degree of risk in terms of the consequences of the act of terrorism and the likelihood of a success of the act of terrorism and threat information available to the rail carrier. Vulnerability Assessment Methodologies The rail carrier vulnerability assessment must be conducted using a tool or methods which meet the above criteria and must be accepted by DHS/TSA. Some examples of the publicly available methodologies that meet these criteria include but are not limited to the DHS Transit Risk Assessment Module (TRAM) and the Intelligence Community’s Analytical Risk Management (ARM) Process. Various commercially available tools meet these criteria. Applicants should send an email to TSAGrants@tsa.dhs.gov for additional information. 22 Security Plan Security Plan Overview The security plan must be based on and supported by the railroad carrier’s vulnerability assessment. The security plan ensures that security processes and procedures are in place to effectively prevent and respond to threat incidents and terrorist attacks. Freight Rail Security Plan Structure The Plan should address the following elements, as applicable: • Rail Carrier’s Statement of Security Plan Objectives (what the plan sets out to do). • Designation of “Rail Security Coordinator(s)”—Team responsible for developing, managing, and ensuring the security countermeasures are implemented during raised alert levels or response to a security threat/incident. • Roles and Responsibilities of those designated with security responsibilities • Procedures in place to communicate, disseminate, and respond to threat information. • Procedures for updating information and ensuring security countermeasures are being implemented during raised alert levels (Process needs to be set up to get the latest information internally and to be able to externally communicate the status of their security response related to a terrorist attack or security incident). • Security countermeasures to be implemented by your railroad in response to a terrorist attack or threat incident at each alert level (blue to red). • Procedures in place for periodic audits, exercises and drills for security plans, and for its amendment in response to experience. • Measures to prevent unauthorized access to designated or restricted areas. • Measures to prevent the introduction of dangerous substances and devices to designated restricted areas and/or railroad property. • Procedures and expected timeframes for responding to security threats or breaches of security, including provisions for maintaining security of infrastructure and operations on railroad property. • Identifications of security processes to work with State and local law enforcement agencies, emergency responders, and Federal officials in response to a terrorist attack. • Procedures for evacuating railroad facilities or conveyances in case of reliable security threats or breaches of security. • Procedures in place for protection of railroad carrier designated critical infrastructures. 23 • Procedures for employee identification and background checks for employees and contractors. • Identification of, and methods to communicate with railroad, system and facility security officers, company security officers, field operating and security officers and management personnel, public safety officers and emergency response personnel, crisis management organizational representatives in local areas, including 24 hour contact details. • Security measures designed to ensure security of local communities, critical infrastructure, special events, railroad facilities, railroad conveyances/equipment, passengers and passenger trains operating on railroad tracks owned or operated by your railroad, cargo and cargo handling equipment owned by you or your customer and other railroad interdependencies covered by contractual agreements. • Procedures to address secure handling and storage of toxic inhalation hazardous materials when threat conditions warrant. • Plans to minimize the occasions when loaded tank cars carrying TIH materials are unattended in High Threat Urban Area (HTUA’s). • Plan for employee security awareness training to include timeline for conducting employee training • Plans for a positive and secure handoff of SSM rail cars at points of interchange with shippers, receivers and other carriers. • Plans and procedures to provide redundant and backup systems required to ensure continued railroad operations. • Procedures to respond to and facilitate the recovery of the railroad operations after a transportation security incident. • Procedures for cyber security. • Appendix containing risk mitigation strategies for addressing vulnerabilities identified in the vulnerability assessment but not sufficiently addressed by the security plan. This should include: o Outstanding vulnerabilities o Mitigation options and associated costs of alternatives o Preferred mitigation strategy o Comprehensive funding plan and schedule for risk remediation 24 GPS Tracking Requirements Satellite communication system operational and functional requirements • The ability to report location of a railcar with an accuracy of +/- 55 meters 100% of the time and +/- 10 meters 90% of the time. • The capability to remotely adjust (up or down) the elapsed time between the system’s location reports. Reporting interval from a minimum of once every 15 minutes to a maximum of once every 8 hours. • The systems latency (processing time) must be 5 minutes or less. • The ability of an operator to send a command to the system (e.g., to report its location or to change reporting interval) and get verification from the system that the command has been successfully executed. On-demand locating must be within 15 minutes following command (ping). • The ability to receive and record location and other data at a specified interval. Location must be reported and recorded no lower than 98% of the transmissions. • Unit location if in defined geofenced area-site code/zone (on site), High Threat Urban Area. Minimum data elements required • Location data o Device ID number o Railcar number o Latitude / longitude (include proximity, in miles, to closest city) o Health of the device (battery life, system, etc.) o Sensor(s) status • Shipment Data o Origin o Destination o Routing o Commodity o Load Status 25 TSA Remote access requirements • The ability to log in through a secure web portal with user name and pass code. • The ability to visually display all railcars with GPS tracking technology on GIS based platform. • The ability to upload railcar tracking history to commonly used GIS based platforms (i.e., Google Earth, ESRI, etc.). • The ability to link shipment and device data to place marks on the GIS platform. • The capability for DHS/TSA to (ping) a subject railcar(s) that might be of interest. 26 Vulnerability Assessment and Security Plan Certification Statement Railroad carriers that have already completed a vulnerability assessment and developed and implemented a security plan that meet the requirements can use the statement below as their certification, and submit it as part of their grant application. All railroad carriers that use this certification form must be able to provide both their existing vulnerability assessment and security plan upon request. I, [insert name], as [insert title] of [insert name of freight railroad carrier], certify that a vulnerability assessment has been completed and a security plan has been developed and implemented. This vulnerability assessment includes all elements required as listed in the FY 2009 Freight Rail Security Grant Program Guidance and Application Kit. This security plan includes all elements required as listed in the FY 2009 Freight Rail Security Grant Program Guidance and Application Kit. Signature Date 27 Vulnerability Assessment and Security Plan Certification Statement for 49 CFR Part 172 Railroad carriers that have already completed a vulnerability assessment and developed and implemented a security plan in accordance with 49 CFR Part 172 can use the statement below as their certification and submit it as part of their grant application. All railroad carriers that use this certification form must be able to provide both the vulnerability assessment and security plan upon request. I, [insert name], as [insert title] of [insert name of freight railroad carrier], certify that a vulnerability assessment has been completed and a security plan has been developed and implemented. This vulnerability assessment and security plan is in compliance with 49 CFR Part 172. Signature Date 28 C. Submission Dates and Times Completed applications must be submitted electronically through www.grants.gov no later than 11:59 PM EST, January 13, 2009. Late applications will neither be considered nor reviewed. Upon successful submission, a confirmation e-mail message will be sent with a grants.gov tracking number, which is needed to track the status of the application. D. Intergovernmental Review Executive Order 12372 requires applicants from State and local units of government or other organizations providing services within a State to submit a copy of the application to the State Single Point of Contact (SPOC), if one exists, and if this program has been selected for review by the State. Applicants must contact their State SPOC to determine if the program has been selected for State review. Executive Order 12372 can be referenced at http://www.archives.gov/federal-register/codification/executiveorder/ 12372.html. The names and addresses of the SPOCs are listed on OMB’s home page available at: http://www.whitehouse.gov/omb/grants/spoc.html. E. Funding Restrictions In FY 2009, the FRSGP will fund security training for railroad frontline employees, the completion of vulnerability assessments, the development of security plans and the acquisition of GPS tracking on railroad cars within the Freight Rail industry. Any management and administrative (M&A) costs associated with individual projects submitted for consideration under the FY 2009 FRSGP must be included in the budget for that project. M&A costs may not exceed three percent (3%) of the funds awarded for each individual project. Specific investments made in support of the funding priorities discussed above generally fall into four categories: 1. Vulnerability Assessments and Security Plans 2. Training 3. Global Positioning System (GPS) tracking on railroad cars 4. Management and Administration Awardees must commit to minimum training standards to be set by the Department for all Federally-funded security personnel. Costs associated with meeting these training standards will be an allowable expense. Freight railroad carriers that submit training requests should request “basic” training before “follow-on” training courses. Requests for follow-on training courses should include a statement that the basic training course has been fulfilled or is not applicable. Requests for follow-on training should include the following information: 29 • Type, name, and vendor of the basic training classes frontline employees have received; and • Dates when the employees received the training, including how many employees attended each class. The following provides additional detail about each of these allowable expense categories, and identifies several specific unallowable costs: 1. Development of Vulnerability Assessments and Security Plans. FY 2009 FRSGP funds may be used by Class II and Class III railroad carriers for the following types of activities: Vulnerability Assessments • Development of all required content, as specified in Part IV. B., are allowable expenses. Security Plans • Development of all required content, as specified in Part IV. B., are allowable expenses. 2. Training Costs. FY 2009 FRSGP funds may be used by Class I, II, and III railroad carriers—once they have completed and certified that they maintain and implement a vulnerability assessment and security plan for the following training activities. These costs must be in accordance with the FAR Part 31.2: • Training workshops and conferences. Grant funds may be used to plan and conduct training workshops or conferences to include costs related to planning, meeting space and other meeting costs, facilitation costs, materials and supplies, travel and training plan development. • Certain full or part-time staff and contractors or consultants. Full or part- time staff may be hired to support training-related activities. • Public sector employee overtime and backfill costs. Payment of overtime expenses will be for work performed by award or sub-award employees in excess of the established work week (usually 40 hours). Further, overtime payments and backfill costs associated with sending personnel to training are allowable, provided that it is DHS approved training. Fringe benefits on overtime hours are limited to Federal Insurance Contributions Act, Workers’ Compensation and Unemployment Compensation. Overtime and backfill of private sector employees are not eligible. • Travel. Travel costs (i.e., airfare, mileage, per diem, hotel, etc.) are allowable as expenses by employees who are on travel status for official business related to the planning and conduct of the training project(s) or for attending DHS-approved courses. These costs must be in accordance with State law as highlighted in FAR Part 31.2. Recipients must also follow State regulations regarding travel. If a grantee does not have a travel policy they must follow Federal guidelines and rates, as explained in 2 CFR Part 215. 30 Private sector employee travel costs are not allowable. • Supplies. Supplies are items that are expended or consumed during the course of the planning and conduct of the training project(s) (e.g., copying paper, gloves, tape, and non-sterile masks) • Other items. These costs may include the rental of space/locations for planning and conducting training, badges, and similar materials. 3. Global Positioning System (GPS) tracking. • Purchase of units: Basic GPS unit capable of reporting requirements as specified in GPS Tracking requirements Part IV Section B. Additional sensory capability costs are not eligible and, if included, must be assumed by the railroad car owner. • Installation: Applicable installation costs for the GPS units are allowable • Activity Feeds: In accordance with the satellite Communication system and functional requirements as specified in the GPS Tracking Requirements Part IV Section B. Cost of additional sensory information is not eligible and, if included, must be assumed by the railroad car owner. 4. Management and Administration (M&A) costs. FY 2009 FRSGP funds may be used for the following M&A costs and is limited to three percent (3%) of the total grant award: • Hiring of full-time or part-time staff or contractors/consultants to assist with the management of the FY 2009 FRSGP or the design, requirements, and implementation of the FRSGP. • Hiring of full-time or part-time staff, contractors or consultants and M&A expenses related to pre-application submission management activities and application requirements or meeting compliance with reporting/data collection requirements, including data calls. • Development of operating plans for information collection and processing necessary to respond to DHS data calls • Travel expenses. • Meeting-related expenses (For a complete list of allowable meeting-related expenses, please review the FAR Part 31.2. • Acquisition of authorized office equipment, including personal computers or laptops. Specific unallowable costs include: • Expenditures for items such as general-use software (word processing, spreadsheet, graphics, etc), general-use computers and related equipment 31 (other than for allowable M&A activities, or otherwise associated preparedness or response functions), general-use vehicles, licensing fees, weapons systems and ammunition. • Personnel costs (except as detailed above). • Activities unrelated to the completion and implementation of the FRSGP. • Other items not in accordance with the Authorized Equipment List or previously listed as allowable costs. 32 PART V. APPLICATION REVIEW INFORMATION A. Review Criteria Separate sets of factors that will be considered in the evaluation of the Investment Justifications and Detailed Budgets depending on the type of project being requested. Having met all administrative requirements, applications will be evaluated and ranked based on: 1. Training Evaluation Criteria: a. Compliance. Projects will be evaluated by completeness of Investment Justifications and certification documents. b. Feasibility. Projects will be evaluated on the feasibility of the plan for completing the training requested within the period of performance. 2. Security Plans and Vulnerability Assessment Evaluation Criteria: a. Compliance. Projects will be evaluated by completeness of Investment Justifications and certification documents. b. Cost Appropriateness. Projects will be evaluated and prioritized based on the cost appropriateness of the request to conduct the assessment and develop the plan, which will be determined by the carrier’s characteristics such as assets, location, infrastructure, and size. c. Timelines. Projects will be evaluated and prioritized on the ability of the applicant to complete the proposed project within the proposed timeframes. 3. Global Positioning System (GPS) Tracking Criteria: a. Feasibility. Projects will be evaluated on the feasibility of the plan for completing the training requested within the period of performance. b. Cost Appropriateness. Projects will be evaluated and prioritized based on the cost appropriateness of the request to conduct the assessment and develop the plan, which will be determined by the carrier’s characteristics such as assets, location, infrastructure, and size. 33 c. Timelines. Projects will be evaluated and prioritized on the ability of the applicant to complete the proposed project within the proposed timeframes. d. Sustainability. Projects will be evaluated and prioritized based on the ability of the applicant to sustain the investment after Federal grant funding has been expended. DHS is committed to focusing the bulk of available funds on high-risk areas. As such, the risk associated with operating within each high-density population area will also be considered in the funding of project submissions. Risk is a function of average dwell time, track mileage, the volume of SSM being transported through the area, and other factors DHS considers relevant. During the application period, and in conjunction with industry associations, DHS will identify multiple opportunities for a cooperative dialogue between the Department and potential applicants. This commitment is intended to ensure a common understanding of the funding priorities and administrative requirements associated with the FY 2009 FRGSP, and to help in submission of projects that will have the highest impact on reducing risks for the transit systems and their customers. B. Review and Selection Process The FY 2009 FRSGP will use risk-based prioritization consistent with DHS policy outlined in the FRSGP Program Guidance and Application Kit. Applications will be reviewed and scored based on the review criteria outlined above. All applicants must comply with all administrative requirements -- including Investment Justifications, budgets and application process requirements. C. Anticipated Announcement and Award Dates FEMA will evaluate and act on applications within 60 days following close of the application period, consistent with the Consolidated Security, Disaster Assistance, and Continuing Appropriations Act, 2009 (Public Law 110-329). Awards will be made on or before September 30, 2009. 34 PART VI. AWARD ADMINISTRATION INFORMATION A. Notice of Award Upon approval of an application, the grant will be awarded to the grant recipient. The date that this is done is the “award date.” Notification of award approval is made through the Grants Management System (GMS). Once an award has been approved, a notice is sent to the authorized grantee official. Follow the directions in the notification and log into GMS to access the award documents. The authorized grantee official should carefully read the award and special condition documents. If you do not receive a notification, please contact your Program Analyst for your award number. Once you have the award number, contact the GMS Help Desk at (888) 549-9901, option 3, to obtain the username and password associated with the new award. The period of performance is 36 months. Any unobligated funds will be de-obligated at the end of the 90 day close-out period. Extensions to the period of performance will be considered only through formal requests to FEMA with specific and compelling justifications why an extension is required. B. Administrative and National Policy Requirements 1. Standard Financial Requirements. The grantee and any sub-grantee shall comply with all applicable laws and regulations. A non-exclusive list of regulations commonly applicable to DHS grants are listed below: 1.1 -- Administrative Requirements. • 44 CFR Part 13, Uniform Administrative Requirements for Grants and Cooperative Agreements to State and Local Governments • 2 CFR Part 215, Uniform Administrative Requirements for Grants and Agreements with Institutions of Higher Education, Hospitals, and Other Non-Profit Organizations (OMB Circular A-110) 1.2 -- Cost Principles. • 2 CFR Part 225, Cost Principles for State, Local, and Indian Tribal Governments (OMB Circular A-87) • 2 CFR Part 220, Cost Principles for Educational Institutions (OMB Circular A-21) • 2 CFR Part 230, Cost Principles for Non-Profit Organizations (OMB Circular A-122) • Federal Acquisition Regulations (FAR), Part 31.2 Contract Cost Principles and Procedures, Contracts with Commercial Organizations 35 1.3 -- Audit Requirements. • OMB Circular A-133, Audits of States, Local Governments, and Non-Profit Organizations 1.4 – Duplication of Benefits. There may not be a duplication of any federal assistance, per A-87, Basic Guidelines Section C.3 (c), which states: Any cost allocable to a particular Federal award or cost objective under the principles provided for in this Circular may not be charged to other Federal awards to overcome fund deficiencies, to avoid restrictions imposed by law or terms of the Federal awards, or for other reasons. However, this prohibition would not preclude governmental units from shifting costs that are allowable under two or more awards in accordance with existing program agreements. 2. Non-supplanting Requirement. Grant funds will be used to supplement existing funds, and will not replace (supplant) funds that have been appropriated for the same purpose. Applicants or grantees may be required to supply documentation certifying that a reduction in non-Federal resources occurred for reasons other than the receipt or expected receipt of Federal funds. 3. Technology Requirements. 3.1 -- National Information Exchange Model (NIEM). FEMA requires all grantees to use the latest NIEM specifications and guidelines regarding the use of Extensible Markup Language (XML) for all grant awards. Further information about the required use of NIEM specifications and guidelines is available at http://www.niem.gov. 3.2 -- Geospatial Guidance. Geospatial technologies capture, store, analyze, transmit, and/or display location-based information (i.e., information that can be linked to a latitude and longitude). FEMA encourages grantees to align any geospatial activities with the guidance available on the FEMA website at http://www.fema.gov/grants. 3.3 -- 28 C.F.R. Part 23 Guidance. FEMA requires that any information technology system funded or supported by these funds comply with 28 C.F.R. Part 23, Criminal Intelligence Systems Operating Policies, if this regulation is determined to be applicable. 4. Administrative Requirements. 4.1 -- Freedom of Information Act (FOIA). FEMA recognizes that much of the information submitted in the course of applying for funding under this program or provided in the course of its grant management activities may be considered law enforcement sensitive or otherwise important to national security interests. While this information under Federal control is subject to requests made pursuant to the Freedom of Information Act (FOIA), 5 U.S.C. §552, all determinations concerning the release of information of this nature are made on a case-by-case basis by the FEMA FOIA Office, and may likely fall within one or more of the available exemptions under the Act. The applicant is encouraged to consult its own State 36 and local laws and regulations regarding the release of information, which should be considered when reporting sensitive matters in the grant application, needs assessment and strategic planning process. The applicant may also consult FEMA regarding concerns or questions about the release of information under State and local laws. The grantee should be familiar with the regulations governing Sensitive Security Information (49 CFR Part 1520), as it may provide additional protection to certain classes of homeland security information. 4.2 -- Protected Critical Infrastructure Information (PCII). The PCII Program, established pursuant to the Critical Infrastructure Information Act of 2002 (CII Act), created a new framework, which enables State and local jurisdictions and members of the private sector voluntarily to submit sensitive information regarding critical infrastructure to DHS. The Act also provides statutory protection for voluntarily shared CII from public disclosure and civil litigation. If validated as PCII, these documents can only be shared with authorized users who agree to safeguard the information. PCII accreditation is a formal recognition that the covered government entity has the capacity and capability to receive and store PCII. DHS encourages all entities to pursue PCII accreditation to cover their State government and attending local government agencies. Accreditation activities include signing a memorandum of agreement (MOA) with DHS, appointing a PCII Officer, and implementing a self-inspection program. For additional information about PCII or the accreditation process, please contact the DHS PCII Program Office at pciiinfo@ dhs.gov. 4.3 -- Compliance with Federal civil rights laws and regulations. The grantee is required to comply with Federal civil rights laws and regulations. Specifically, the grantee is required to provide assurances as a condition for receipt of Federal funds that its programs and activities comply with the following: Compliance with Federal civil rights laws and regulations. The grantee is required to comply with Federal civil rights laws and regulations. Specifically, the grantee is required to provide assurances as a condition for receipt of Federal funds that its programs and activities comply with the following: • Title VI of the Civil Rights Act of 1964, as amended, 42 U.S.C. §2000 et seq. – no person on the grounds of race, color, or national origin will be excluded from participation in, be denied the benefits of, or be otherwise subjected to discrimination in any program or activity receiving Federal financial assistance. • Section 504 of the Rehabilitation Act of 1973, as amended, 29 U.S.C. §794 – no qualified individual with a disability in the United States, shall, by reason of his or her disability, be excluded from the participation in, be denied the benefits of, or otherwise be subjected to discrimination in any program or activity receiving Federal financial assistance. 37 • Title IX of the Education Amendments of 1972, as amended, 20 U.S.C. §1681 et. seq. – discrimination on the basis of sex is eliminated in any education program or activity receiving Federal financial assistance. • The Age Discrimination Act of 1975, as amended, 20 U.S.C. §6101 et seq. – no person in the United States shall be, on the basis of age, excluded from participation in, denied the benefits of or subjected to discrimination under any program or activity receiving Federal financial assistance. Grantees must comply with all regulations, guidelines, and standards adopted under the above statutes. The grantee is also required to submit information, as required, to the DHS Office for Civil Rights and Civil Liberties concerning its compliance with these laws and their implementing regulations. 4.4 -- Services to limited English proficient (LEP) persons. Recipients of FEMA financial assistance are required to comply with several Federal civil rights laws, including Title VI of the Civil Rights Act of 1964, as amended. These laws prohibit discrimination on the basis of race, color, religion, natural origin, and sex in the delivery of services. National origin discrimination includes discrimination on the basis of limited English proficiency. To ensure compliance with Title VI, recipients are required to take reasonable steps to ensure that LEP persons have meaningful access to their programs. Meaningful access may entail providing language assistance services, including oral and written translation, where necessary. The grantee is encouraged to consider the need for language services for LEP persons served or encountered both in developing their proposals and budgets and in conducting their programs and activities. Reasonable costs associated with providing meaningful access for LEP individuals are considered allowable program costs. For additional information, see http://www.lep.gov. 4.5 -- Integrating individuals with disabilities into emergency planning. Section 504 of the Rehabilitation Act of 1973, as amended, prohibits discrimination against people with disabilities in all aspects of emergency mitigation, planning, response, and recovery by entities receiving financial from FEMA. In addition, Executive Order 13347, Individuals with Disabilities in Emergency Preparedness signed in July 2004, requires the Federal Government to support safety and security for individuals with disabilities in situations involving disasters, including earthquakes, tornadoes, fires, floods, hurricanes, and acts of terrorism. Executive Order 13347 requires the Federal government to encourage consideration of the needs of individuals with disabilities served by State, local, and tribal governments in emergency preparedness planning. FEMA has several resources available to assist emergency managers in planning and response efforts related to people with disabilities and to ensure compliance with Federal civil rights laws: 38 • Comprehensive Preparedness Guide 301 (CPG-301): Interim Emergency Management Planning Guide for Special Needs Populations: CPG-301 is designed to aid tribal, State, territorial, and local governments in planning for individuals with special needs. CPG301 outlines special needs considerations for: Developing Informed Plans; Assessments and Registries; Emergency Public Information/Communication; Sheltering and Mass Care; Evacuation; Transportation; Human Services/Medical Management; Congregate Settings; Recovery; and Training and Exercises. CPG-301 is available at http://www.fema.gov/pdf/media/2008/301.pdf. • Guidelines for Accommodating Individuals with Disabilities in Disaster: The Guidelines synthesize the array of existing accessibility requirements into a user friendly tool for use by response and recovery personnel in the field. The Guidelines are available at http://www.fema.gov/oer/reference/. • Disability and Emergency Preparedness Resource Center: A web- based “Resource Center” that includes dozens of technical assistance materials to assist emergency managers in planning and response efforts related to people with disabilities. The “Resource Center” is available at http://www.disabilitypreparedness.gov. • Lessons Learned Information Sharing (LLIS) resource page on Emergency Planning for Persons with Disabilities and Special Needs: A true one-stop resource shop for planners at all levels of government, non-governmental organizations, and private sector entities, the resource page provides more than 250 documents, including lessons learned, plans, procedures, policies, and guidance, on how to include citizens with disabilities and other special needs in all phases of the emergency management cycle. LLIS.gov is available to emergency response providers and homeland security officials from the Federal, State, and local levels. To access the resource page, log onto http://www.LLIS.gov and click on Emergency Planning for Persons with Disabilities and Special Needs under Featured Topics. If you meet the eligibility requirements for accessing Lessons Learned Information Sharing, you can request membership by registering online. 4.6 -- Compliance with the National Energy Conservation Policy and Energy Policy Acts. In accordance with the Consolidated Security, Disaster Assistance, and Continuing Appropriations Act, 2009 (Public Law 110-329), grant funds must comply with the following two requirements: • None of the funds made available shall be used in contravention of the Federal buildings performance and reporting requirements of 39 Executive Order 13123, part 3 of title V of the National Energy Conservation Policy Act (42 U.S.C. §8251 et seq.), or subtitle A of title I of the Energy Policy Act of 2005 (including the amendments made thereby). • None of the funds made available shall be used in contravention of section 303 of the Energy Policy Act of 1992 (42 U.S.C. §13212). 4.7 -- Environmental and Historic Preservation Compliance. FEMA is required to consider the potential impacts to the human and natural environment of projects proposed for FEMA funding. FEMA, through its Environmental and Historic Preservation (EHP) Program, engages in a review process to ensure that FEMA-funded activities comply with various Federal laws including: National Environmental Policy Act, National Historic Preservation Act, Endangered Species Act, and Executive Orders on Floodplains (11988), Wetlands (11990) and Environmental Justice (12898). The goal of these compliance requirements is to protect our nation’s water, air, coastal, wildlife, agricultural, historical, and cultural resources, as well as to minimize potential adverse effects to children and low-income and minority populations. The grantee shall provide any information requested by FEMA to ensure compliance with applicable Federal EHP requirements. Any project with the potential to impact EHP resources cannot be initiated until FEMA has completed its review. Grantees may be required to provide detailed information about the project, including the following: location (street address or map coordinates); description of the project including any associated ground disturbance work, extent of modification of existing structures, construction equipment to be used, staging areas, access roads, etc.; year the existing facility was built; natural, biological, and/or cultural resources present in the project vicinity; visual documentation such as site and facility photographs, project plans, maps, etc; and possible project alternatives. For certain types of projects, FEMA must consult with other Federal and State agencies such as the U.S. Fish and Wildlife Service, State Historic Preservation Offices, and the U.S. Army Corps of Engineers, as well as other agencies and organizations responsible for protecting natural and cultural resources. For projects with the potential to have significant adverse effects on the environment and/or historic properties, FEMA’s EHP review and consultation may result in a substantive agreement between the involved parties outlining how the grantee will avoid the effects, minimize the effects, or, if necessary, compensate for the effects. Because of the potential for significant adverse effects to EHP resources or public controversy, some projects may require an additional assessment or report, such as an Environmental Assessment, Biological Assessment, archaeological survey, cultural resources report, wetlands delineation, or other document, as well as a public comment period. Grantees are responsible for the preparation of such documents, as well as for the implementation of any 40 treatment or mitigation measures identified during the EHP review that are necessary to address potential adverse impacts. Grantees may use these funds toward the costs of preparing such documents and/or implementing treatment or mitigation measures. Failure of the grantee to meet Federal, State, and local EHP requirements, obtain applicable permits, and comply with any conditions that may be placed on the project as the result of FEMA’s EHP review may jeopardize Federal funding. Recipient shall not undertake any project having the potential to impact EHP resources without the prior approval of FEMA, including but not limited to communications towers, physical security enhancements, new construction, and modifications to buildings, structures and objects that are 50 years old or greater. Recipient must comply with all conditions placed on the project as the result of the EHP review. Any change to the approved project scope of work will require re-evaluation for compliance with these EHP requirements. If ground disturbing activities occur during project implementation, the recipient must ensure monitoring of ground disturbance, and if any potential archeological resources are discovered, the recipient will immediately cease construction in that area and notify FEMA and the appropriate State Historic Preservation Office. Any construction activities that have been initiated without the necessary EHP review and approval will result in a non-compliance finding and will not eligible for FEMA funding. For more information on FEMA’s EHP requirements, grantees should refer to FEMA’s Information Bulletin #271, Environmental Planning and Historic Preservation Requirements for Grants, available at http://ojp.usdoj.gov/odp/docs/info271.pdf. Additional information and resources can also be found at http://www.fema.gov/plan/ehp/ehp-applicant-help.shtm. 4.8 -- Royalty-free License. Applicants are advised that FEMA reserves a royalty-free, non-exclusive, and irrevocable license to reproduce, publish, or otherwise use, and authorize others to use, for Federal government purposes: (a) the copyright in any work developed under an award or sub-award; and (b) any rights of copyright to which an award recipient or sub-recipient purchases ownership with Federal support. Award recipients must agree to consult with FEMA regarding the allocation of any patent rights that arise from, or are purchased with, this funding. 4.9 -- FEMA GPD Publications Statement. Applicants are advised that all publications created with funding under any grant award shall prominently contain the following statement: "This document was prepared under a grant from FEMA’s Grant Programs Directorate, U.S. Department of Homeland Security. Points of view or opinions expressed in this document are those of the authors and do not necessarily represent the official position or policies of FEMA’s Grant Programs Directorate or the U.S. Department of Homeland Security." 4.10 -- Equipment Marking. Applicants are advised that, when practicable, any 41 equipment purchased with grant funding shall be prominently marked as follows: "Purchased with funds provided by the U.S. Department of Homeland Security." 4.11 -- Disadvantaged Business Requirement. Applicants are advised that, to the extent that recipients of a grant use contractors or subcontractors, such recipients shall use small, minority, women-owned or disadvantaged business concerns and contractors or subcontractors to the extent practicable. 4.12 --National Preparedness Reporting Compliance. The Government Performance and Results Act (Public Law 103-62) (GPRA) requires that the Department collect and report performance information on all programs. For grant programs, the prioritized Investment Justifications and their associated milestones provide an important tool for assessing grant performance and complying with these national preparedness reporting requirements. FEMA will work with grantees to develop tools and processes to support this requirement. FEMA anticipates using this information to inform future-year grant program funding decisions. Award recipients must agree to cooperate with any assessments, national evaluation efforts, or information or data collection requests, including, but not limited to, the provision of any information required for the assessment or evaluation of any activities within their grant agreement. This includes any assessments, audits, or investigations conducted by the Department of Homeland Security, Office of the Inspector General, or the Government Accountability Office. C. Reporting Requirements Reporting requirements must be met throughout the life of the grant (refer to the program guidance and the special conditions found in the award package for a full explanation of these requirements. Please note that FEMA Payment and Reporting System (PARS) contains edits that will prevent access to funds if reporting requirements are not met on a timely basis. 1. Financial Status Report (FSR) -- required quarterly. Obligations and expenditures must be reported on a quarterly basis through the FSR, which is due within 30 days of the end of each calendar quarter (e.g., for the quarter ending March 31, FSR is due no later than April 30). A report must be submitted for every quarter of the period of performance, including partial calendar quarters, as well as for periods where no grant activity occurs. Future awards and fund draw downs may be withheld if these reports are delinquent. The final FSR is due 90 days after the end date of the performance period. FSRs must be filed online through the PARS. Reporting periods and due dates: • October 1 – December 31; Due January 30 • January 1 – March 31; Due April 30 • April 1 – June 30; Due July 30 • July 1 – September 30; Due October 30 42 2. Categorical Assistance Progress Report (CAPR). Following an award, the awardees will be responsible for submitting CAPRs on a semi-annual basis; CAPRs should address performance measures and activities as described in the Investment Justification(s). The applicable entities are responsible for completing and submitting the CAPR report. The CAPR is due within 30 days after the end of the reporting period (July 30 for the reporting period of January 1 through June 30; and January 30 for the reporting period of July 1 though December 31). Future awards and fund draw downs may be withheld if these reports are delinquent. CAPRs must be filed online at https://grants.ojp.usdoj.gov. Guidance and instructions can be found at https://grants.ojp.usdoj.gov/gmsHelp/index.html. Required submission: CAPR (due semi-annually). 3. Exercise Evaluation and Improvement. Exercises, implemented with grant funds, should be threat and performance-based and should evaluate performance of the targeted capabilities required to respond to the exercise scenario. Guidance related to the conduct exercise evaluations and the implementation of improvement is defined in the Homeland Security Exercise and Evaluation Program (HSEEP) Manual located at http://www.fema.gov/government/grant/administration.shtm. Grant recipients must report on scheduled exercises and ensure that an After Action Report (AAR) and Improvement Plan (IP) are prepared for each exercise conducted with FEMA support (grant funds or direct support) and submitted to the FEMA secure Portal (https://preparednessportal.dhs.gov/) within 60 days following completion of the exercise. The AAR documents the demonstrated performance of targeted capabilities and identifies recommendations for improvements. The IP outlines an exercising jurisdiction(s) plan to address the recommendations contained in the AAR. At a minimum, the IP must identify initial action items and be included in the final AAR. Guidance for the development of AARs and IPs is provided in the HSEEP manual. Required submissions: AARs and IPs (as applicable). 4. Financial and Compliance Audit Report. Recipients that expend $500,000 or more of Federal funds during their fiscal year are required to submit an organization- wide financial and compliance audit report. The audit must be performed in accordance with the U.S. General Accountability Office, Government Auditing Standards, located at http://www.gao.gov/govaud/ybk01.htm, and OMB Circular A133, Audits of States, Local Governments, and Non-Profit Organizations, located at http://www.whitehouse.gov/omb/circulars/a133/a133.html. Audit reports are currently due to the Federal Audit Clearinghouse no later than nine months after the end of the recipient’s fiscal year. In addition, the Secretary of Homeland Security and the Comptroller General of the United States shall have access to any books, documents, and records of recipients of FY 2009 FRSGP assistance for audit and 43 examination purposes, provided that, in the opinion of the Secretary or the Comptroller, these documents are related to the receipt or use of such assistance. The grantee will also give the sponsoring agency or the Comptroller, through any authorized representative, access to, and the right to examine all records, books, papers or documents related to the grant. The State shall require that sub-grantees comply with the audit requirements set forth in OMB Circular A-133. Recipients are responsible for ensuring that sub- recipient audit reports are received and for resolving any audit findings. Monitoring Grant recipients will be monitored periodically by FEMA staff, both programmatically and financially, to ensure that the project goals, objectives, performance requirements, timelines, milestone completion, budgets, and other related program criteria are being met. Programmatic monitoring may also include the Regional Federal Preparedness Coordinators, when appropriate, to ensure consistency of project investments with Regional and National goals and policies, as well as to help synchronize similar investments ongoing at the Federal, State, and local levels. Monitoring will be accomplished through a combination of office-based reviews and on- site monitoring visits. Monitoring will involve the review and analysis of the financial, programmatic, performance and administrative issues relative to each program and will identify areas where technical assistance and other support may be needed. The recipient is responsible for monitoring award activities, to include sub-awards, to provide reasonable assurance that the Federal award is administered in compliance with requirements. Responsibilities include the accounting of receipts and expenditures, cash management, maintaining of adequate financial records, and refunding expenditures disallowed by audits. Grant Close-Out Process Within 90 days after the end of the period of performance, grantees must submit a final FSR and final CAPR detailing all accomplishments throughout the project. After these reports have been reviewed and approved by FEMA, a close-out notice will be completed to close out the grant. The notice will indicate the project as closed, list any remaining funds that will be de-obligated, and address the requirement of maintaining the grant records for three years from the date of the final FSR. The grantee is responsible for returning any funds that have been drawn down but remain as unliquidated on grantee financial records. Required submissions: (1) final SF-269a, due 90 days from end of grant period; and (2) final CAPR, due 90 days from the end of the grant period. 44 PART VII. FEMA CONTACTS This section describes several resources that may help applicants in completing a FEMA grant application. During the application period DHS will identify multiple opportunities for a cooperative dialogue between the Department and applicants. This commitment is intended to ensure a common understanding of the funding priorities and administrative requirements associated with the FY 2009 FRSGP and to help in submission of projects that will have the highest impact on reducing risks. 1. Centralized Scheduling & Information Desk (CSID) Help Line. CSID is a non- emergency resource for use by emergency responders across the nation. CSID is a comprehensive coordination, management, information, and scheduling tool developed by DHS through FEMA for homeland security terrorism preparedness activities. CSID provides general information on all FEMA grant programs and information on the characteristics of CBRNE, agro-terrorism, defensive equipment, mitigation techniques, and available Federal assets and resources. CSID maintains a comprehensive database containing key personnel contact information for homeland security terrorism preparedness programs and events. These contacts include personnel at the Federal, State and local levels. CSID can be contacted at (800) 368-6498 or askcsid@dhs.gov. CSID hours of operation are from 8:00 am–6:00 pm (EST), Monday-Friday. 2. Grant Programs Directorate (GPD). FEMA GPD will provide fiscal support, including pre- and post-award administration and technical assistance, to the grant programs included in this solicitation. Additional guidance and information can be obtained by contacting the FEMA Call Center at (866) 927-5646 or via e-mail to ASK-GMD@dhs.gov. 3. GSA’s State and Local Purchasing Programs. The U.S. General Services Administration (GSA) offers two efficient and effective procurement programs for State and local governments to purchase products and services to fulfill homeland security and other technology needs. The GSA Schedules (also referred to as the Multiple Award Schedules and the Federal Supply Schedules) are long-term, indefinite delivery, indefinite quantity, government-wide contracts with commercial firms of all sizes. • Cooperative Purchasing Program Cooperative Purchasing, authorized by statute, allows State and local governments to purchase a variety of supplies (products) and services under specific GSA Schedule contracts to save time, money, and meet their everyday needs and missions. 45 The Cooperative Purchasing program allows State and local governments to purchase alarm and signal systems, facility management systems, firefighting and rescue equipment, law enforcement and security equipment, marine craft and related equipment, special purpose clothing, and related services off of Schedule 84 and Information Technology products and professional services off of Schedule 70 and the Consolidated Schedule (containing IT Special Item Numbers) only. Cooperative Purchasing for these categories is authorized under Federal law by the Local Preparedness Acquisition Act (Public Law 110-248) and Section 211 of the E-Government Act of 2002 (Public Law 107347). Under this program, State and local governments have access to GSA Schedule contractors who have voluntarily modified their contracts to participate in the Cooperative Purchasing program. The U.S. General Services Administration provides a definition of State and local governments as well as other vital information under the frequently asked questions section on its website at http://www.gsa.gov/cooperativepurchasing. • Disaster Recovery Purchasing Program GSA plays a critical role in providing disaster recovery products and services to Federal agencies. Now State and Local Governments can also benefit from the speed and savings of the GSA Federal Supply Schedules. Section 833 of the John Warner National Defense Authorization Act for Fiscal Year 2007 (Public Law 109-364) amends 40 U.S.C. §502 to authorize GSA to provide State and Local governments the use of ALL GSA Federal Supply Schedules for purchase of products and services to be used to facilitate recovery from a major disaster declared by the President under the Robert T. Stafford Disaster Relief and Emergency Assistance Act or to facilitate recovery from terrorism or nuclear, biological, chemical, or radiological attack. GSA provides additional information on the Disaster Recovery Purchasing Program website at http://www.gsa.gov/disasterrecovery. State and local governments can find a list of contractors on GSA’s website, http://www.gsaelibrary.gsa.gov, denoted with a or symbol. Assistance is available from GSA on the Cooperative Purchasing and Disaster Purchasing Program at the local and national levels. For assistance at the local level, visit http://www.gsa.gov/csd to find a local customer service director in your area. For assistance at the national level, contact Tricia Reed at tricia.reed@gsa.gov, (571) 259-9921. More information is available on all GSA State and local programs at: www.gsa.gov/stateandlocal. 4. Exercise Direct Support. FEMA provides support to Regions, States, and local jurisdictions in accordance with State Homeland Security Strategies and the Homeland Security Exercise and Evaluation Program (HSEEP). Support is available to conduct a Training and Exercise Plan (TEP) workshop, to develop a Multi-year 46 TEP, and to build or enhance the capacity of a jurisdiction to design, develop, conduct, and evaluate effective exercises In FY 2009, support for planning and conduct of exercises has shifted in strategy from a State-focused approach, organized by National Preparedness Directorate Headquarters, to a regional (multi-State) approach, organized by the FEMA Regions, to more effectively integrate national, regional, territorial, tribal, State, and local preparedness exercises. At this time, the Regional Exercise Support Program will support discussion-based exercises (i.e., seminar, workshop or tabletop), operations-based exercises (i.e. drills, functional exercises, full scale exercises), and TEP workshops within each of the 10 FEMA Regions. The Regional Exercise Support Program support is not limited to new exercise initiatives and can be applied to ongoing exercises to maintain continuity of existing planning schedules. Applicants are encouraged to coordinate requests for exercise support through the appropriate FEMA Regional Exercise Officer. State requests for support will be considered, however, priority will be given to exercise initiatives that support collaboration within a Region. Additional guidance on the Regional Exercise Support Program to include the application process and information on the HSEEP is available on the HSEEP website, https://hseep.dhs.gov. 5. Homeland Security Preparedness Technical Assistance Program. The Homeland Security Preparedness Technical Assistance Program (HSPTAP) provides direct support assistance on a first-come, first-served basis (and subject to the availability of funding) to eligible organizations to enhance their capacity and preparedness to prevent, protect against, respond to, and recover from terrorist and all hazard threats. In addition to the risk assessment assistance already being provided, FEMA also offers a variety of other direct support assistance programs. More information can be found at http://www.fema.gov/about/divisions/pppa_ta.shtm. 6. Lessons Learned Information Sharing (LLIS) System. LLIS is a national, online, secure website that houses a collection of peer-validated lessons learned, best practices, AARs from exercises and actual incidents, and other relevant homeland security documents. LLIS facilitates improved preparedness nationwide by providing response professionals with access to a wealth of validated front-line expertise on effective planning, training, equipping, and operational practices for homeland security. The LLIS website also includes a national directory of homeland security officials, as well as an updated list of homeland security exercises, events, and conferences. Additionally, LLIS includes online collaboration tools, including secure email and message boards, where users can exchange information. LLIS uses strong encryption and active site monitoring to protect all information housed on the system. The LLIS website is https://www.llis.gov. 47 7. Information Sharing Systems. FEMA encourages all State, regional, local, and Tribal entities using FY 2009 funding in support of information sharing and intelligence fusion and analysis centers to leverage available Federal information sharing systems, including Law Enforcement Online (LEO) and the Homeland Security Information Network (HSIN). For additional information on LEO, contact the LEO Program Office at leoprogramoffice@leo.gov or (202) 324-8833. For additional information on HSIN and available technical assistance, contact the HSIN Help Desk at (703) 674-3003. 48 PART VIII. OTHER INFORMATION Requirements Specific to For-Profit Entities For-profit organizations are eligible to apply for funding under the FRSGP. The following requirements apply specifically to for-profit entities receiving Federal funding from FEMA: 1. Recipients of FRSGP funds must comply with the contract cost principles as defined in the Federal Acquisition Regulations (FAR), Part 31.2 Contract Cost Principles and Procedures, Contracts with Commercial Organizations 2. For purposes of financial and procedural administration of the FRSGP, recipients must comply with 2 CFR Part 215, Uniform Administrative Requirements for Grants and Agreements with Institutions of Higher Education, Hospitals, and Other Nonprofit Organizations (OMB Circular A-110) will apply, excluding Sections 40-48. 3. Recipient of FRSGP funds agree that this award may be terminated in accordance with 2 CFR Part 215.61. If the Federal Government determines that a grant will be terminated, it will be carried out in accordance with the process specified in Part 49 of the FAR. 4. Recipients of FRSGP funds may not make a profit as a result of this award or charge a management fee for the performance of this award. 5. Recipients of FRSGP funds must have a financial audit and compliance audit performed by qualified individuals who are organizationally, personally, and externally independent from those who authorize the expenditure of federal funds. This audit must be performed in accordance with the United States General Accountability Office Government Auditing Standards. The audit threshold contained in OMB Circular A-133 applies. This audit must be performed on a program-wide basis to ascertain the effectiveness of financial management systems and internal procedures that have been established to meet the terms and conditions of the award. The management letter must be submitted with the audit report. Recipient audit reports must be submitted no later than nine (9) months after the close of each fiscal year during the term of the award. The distribution of audit reports shall be based on requirements in the current edition of 2 CFR Part 215, Uniform Administrative Requirements for Grants and Agreements with Institutions of Higher Education, Hospitals, and Other Non-Profit Organizations (OMB Circular A-110). Note: If your audit disclosed findings or recommendations, you must include with your audit report a corrective action plan containing the following: (1) The name and number of the 49 contact person responsible for the corrective action plan; (2) specific steps taken to comply with the recommendations; (3) a timetable for performance or implementation dates for each recommendation; and (4) descriptions of monitoring to be conducted to ensure implementation. Helpful Hints for Applicants Are the following components included in the application package? • SF 424, SF 424 A, SF 424B, SF LLL • Investment Justifications for projects • Detailed Budgets containing only allowable costs • Vulnerability Assessment/Security Plan Certification (if applicable) Are the following items addressed within the investment justification narratives and detailed budgets? • Are minimum funding requirements satisfied, as addressed in Part IV? • Do the IJ and the detailed budget only include allowable costs? o Are all of the expenses in the detailed budget addressed in the IJ narrative? o Does the information in the detailed budget align with the budget summary in the IJ narrative? • Do IJs clearly explain how the projects fit into a funding priority area (as identified in Part I)? • Does the IJ detail the value that this investment has in reducing the risk? • Is the cost appropriateness of the project clearly explained in the IJ? • Does the M&A total no more than 3% of the total project cost? 50