1. Who may apply?
• Organizations and entities working to preserve historic Japanese American confinement sites and their history, including: private nonprofit organizations; educational institutions; state, local, and tribal governments; and other public entities.
• The term historic Japanese American confinement sites is defined as the ten War Relocation Authority internment camps (Gila River, Granada, Heart Mountain, Jerome, Manzanar, Minidoka, Poston, Rohwer, Topaz, and Tule Lake), as well as other historically significant locations, as determined by the Secretary of the Interior, where Japanese Americans were detained during World War II. See below for the list of locations specifically identified in Confinement and Ethnicity: An Overview of World War II Japanese American Relocation Sites, published by the Department of the Interior, National Park Service, Western Archeological and Conservation Center, in 1999. Click here to view this document.
2. What kind of projects may be funded?
Projects must benefit one or more historic Japanese American confinement sites.
Project categories include:
• Capital projects; including construction of new interpretive centers, restrooms, and interpretive trails.
• Documentation, including identification, research, and evaluation of historic confinement sites; projects may include archeological surveys, National Register of Historic Places nominations, and National Historic Landmark nominations.
• Oral history interviews; including recording, transcribing, digitally processing and sharing the interviews.
• Interpretation and education related to historic confinement sites; projects may include wayside exhibits, creative arts and educational curricula.
• Preservation of confinement sites and related historic resources; projects may include stabilization, rehabilitation, restoration, acquisition, relocation of historic buildings and structures to their original locations, reconstruction of key structures, and collections conservation.
• Planning projects; such as interpretive plans for new exhibits and programs, land use plans, and resource management plans.
• Non-Federal real property acquisition; allowed only with the owner’s written permission at only Heart Mountain, Honouliuli, Jerome, Rohwer, and Topaz, per stipulations of Public Laws 109-441 and 111-88.
3. What may not be funded?
• Projects that have already been completed
• Establishment of Friends groups
• Fundraising or the formulation of fundraising plans
• Long-term maintenance, operations, or curatorial work beyond the grant period
• Organizational operations / permanent staff positions
• Land acquisition at sites other than: Heart Mountain, Honouliuli, Jerome, Rohwer, and Topaz.
4. What are the grant amounts and funding requirements?
The minimum request is $5,000 Federal share (resulting in a total project cost of at least $7,500). Please note that grant awards may be lower than the amount requested by the applicant; in this situation the applicant will be notified during the application process.
Each grant requires a 2:1 Federal to non-Federal match; that is, to receive two dollars of Federal funds at least one dollar non-Federal match is required. The match may be composed of cash, supplies/materials/equipment, land, or in-kind contributions. The non-Federal match may be raised and spent during the grant period; it does not have to be “in the bank” at the time of the application.
Donations of land value must be supported by an appraisal, meeting the Uniform Standards for Federal Land Acquisitions. Land donated for the preservation of these sites will be considered as a match if the land is an integral part of the grant proposal, is part of the historic site, and will be accessible to the general public. Other in-kind donations would be evaluated relative to value based on established guidelines and must comply with Office of Management and Budget (OMB) circulars A-102 and A-110.
Over the entire life of the Japanese American Confinement Sites grant program, each applicant may receive no more than $3.8 million total (that is, 10% of the congressionally authorized amount of $38 million).
5. How will projects be selected?
The Japanese American Confinement Sites Grants Selection Panel, a panel of Federal agency experts representing applicable preservation, history, education, and conservation disciplines, will review and evaluate all eligible applications according to the criteria below. The panel will provide recommendations to the Secretary of the Interior for final project selection. The Secretary of the Interior will select successful proposals.
i. A critical problem exists and needs to be addressed.
ii. The desired outcome is identified and the project addresses the critical problem with an appropriate solution.
i. The project will have an impact(s) on the interpretation and/or preservation of the confinement site experience and will reach an audience. The project impact(s) will be widespread and the project will be publicized and shared with others.
ii. Public Law 109-441 (16 USC 461) – the grant program’s authorizing legislation–states that the program was created for the purpose of identifying, researching, evaluating, interpreting, protecting, restoring, repairing, and acquiring historic confinement sites in order that present and future generations may learn and gain inspiration from these sites and that these sites will demonstrate the Nation’s commitment to equal justice under the law. The project meets the purpose of the grant program’s authorizing legislation, and addresses how these messages will be conveyed and shared with the public.
C. Feasibility: The applicant has the ability to successfully complete the project.
i. The project budget is reasonable.
ii. Selected personnel have the qualifications and ability to complete the project in a timely and professional manner.
iii. The project will be effectively managed and completed.
D. Sustainability: The project will be sustained over time. The applicant demonstrates the ability for long-term maintenance, operation, distribution, and/or follow-up of the project.
E. Support: The project has support and participation from former internees, stakeholders, and/or the public.
6. When will grants be announced and awarded?
JACS grants will be awarded dependent on funds appropriated by Congress. In the event of an appropriation, award announcements will be posted on the JACS homepage.
7. Are matching funds required?
Public Law 109-441 requires a 2:1 Federal to non-Federal match for the Japanese American Confinement Sites grant program; that is, to receive two dollars of Federal funds at least a one dollar non-Federal match is required. For example, a $15,000 project would involve up to $10,000 in federal funding and at least a $5,000 non-Federal match. The non-Federal match may be raised and spent during the grant period; it does not have to be “in the bank” at the time of the application.
8. What are the basic requirements for the matching share?
The non-Federal match (cash and in-kind contributions) must meet the criteria summarized below. Please refer to the appropriate OMB Circulars for additional guidance.
The non-Federal match must:
• Directly benefit and be specifically identifiable to the project or program;
• Be necessary and reasonable for proper and efficient accomplishment of project or program objectives;
• Be verifiable from the grant recipient's records (e.g., timesheets to track how much time an employee spends on the Japanese American Confinement Sites grant-assisted project); and
• Be allowable under cost principles defined in OMB Circulars (see OMB Circular A-87 (2 CFR 225) for cost principles for grants to state, tribal and local governments; OMB Circular A-21 (2 CFR 220) for cost principles for grants to institutions of higher education; or OMB Circular A-122 (2 CFR 230) for cost principles for grants to non-profit institutions).
The non-Federal match must not be:
• Included as contributions for any other Federally assisted project or program (i.e., the same item cannot be used to match two different Federally assisted projects or programs); or
• Paid by the Federal Government under another award, except where authorized by Federal statute to be used for cost sharing or matching (i.e., Federal funds or Federally supported costs cannot be used as matching share).
9. What types of match are acceptable?
Acceptable types of a non-Federal match could be composed of cash or in-kind contributions (such as services, supplies, materials, equipment, buildings, or land*) provided by the grant recipient or non-Federal third parties. *Please note that land applies only to those sites identified in Public Laws 109-441 and 111-88: Heart Mountain, Honouliuli, Jerome, Rohwer, and Topaz.
In-kind contributions are eligible only to the extent that they represent actual necessary costs to which Federal grant funds could be applied. In-kind contributions must be reasonable, allowable, and allocable. For example, fundraising costs are not allowable costs for Federal grant funds, and therefore, fundraising costs cannot be counted towards the required non-Federal matching share.
10. How should I place a value on in-kind contributions?
In-kind contributions of services, supplies, materials, equipment, buildings, and land*, will be evaluated relative to value based on guidelines established in the OMB Circulars A-102 and A-110 (see below for additional information on the OMB Circulars). The basis for determining the valuation of these in-kind contributions must be documented. In some cases, it may be necessary for an independent appraiser to establish the fair market value of the in-kind contribution, and that the value or rate be certified by the grant recipient. *Please note that land applies only to those sites identified in Public Laws 109-441 and 111-88: Heart Mountain, Honouliuli, Jerome, Rohwer, and Topaz.
Below is a summary of valuing in-kind contributions:
Volunteer services furnished by professional and technical personnel, consultants, and other skilled and unskilled labor may be counted as a non-Federal match if the service is an integral and necessary part of an approved project. Rates for volunteer services shall be consistent with those paid for similar work in the grant recipient's organization. In those instances in which the required skills are not found in the grant recipient’s organization, rates shall be consistent with those paid for similar work in the labor market in which the grant recipient competes for the type of services involved. In either case, paid fringe benefits that are reasonable, allowable, and allocable may be included in the valuation.
When an employer other than the grant recipient furnishes the services of an employee, these services shall be valued at the employee's regular rate of pay (plus an amount of fringe benefits that are reasonable, allowable, and allocable but exclusive of overhead costs), provided these services are in the same skill for which the employee is normally paid.
Donated supplies & materials
Donated supplies may include such items as expendable equipment, office supplies, laboratory supplies, workshop or classroom supplies, and construction materials such as bricks and lumber, needed to perform the grant-assisted work. Value assessed to donated supplies included in the non-Federal match shall be reasonable and shall not exceed the fair market value of the supplies at the time of the donation.
Donated equipment shall not exceed the fair market value of equipment of the same age and condition at the time of donation.
Loaned equipment shall not exceed its fair rental value.
Donated space shall not exceed the fair rental value of comparable space as established by an independent appraisal of comparable space and facilities in a privately owned building in the same locality.
Donated buildings shall not exceed the fair market value at the time of donation to the recipient as established by an independent appraiser and certified by a responsible official of the recipient.
Donated land for the preservation of these sites will be considered as a non-Federal match if the land is an integral part of the grant proposal, is part of the historic site, and will be accessible to the general public. Donations of land value must be supported by an appraisal, meeting the Uniform Standards for Federal Land Acquisitions (available at http://www.usdoj.gov/enrd/land-ack/), and must be certified by a responsible official of the recipient. *Please note that land only applies to those sites identified in Public Laws 109-441 and 111-88: Heart Mountain, Honouliuli, Jerome, Rohwer, and Topaz.
11. Can cash or in-kind contributions that were obtained before the grant award be counted towards the non-Federal match?
Cash that was obtained but not expended prior to the effective date of the grant award may be used as a non-Federal match. However, if the applicant has expended funds to acquire goods or services, see the section below on costs incurred prior to the grant award. Likewise, a commitment for an in-kind contribution (e.g. a third party promises to print a document at no cost to the applicant) may be considered as a non-Federal match. However, if the in-kind good or service has been utilized or acquired prior to the award (e.g. volunteer work has already been performed, or land has already been purchased), see the section below on costs incurred prior to the grant award
12. Where can I learn more about matching share requirements?
The National Park Service (NPS) administers the Japanese American Confinement Sites grant program in keeping with Federal-wide grant-making requirements. These requirements are contained in grants management circulars issued by the Office of Management and Budget (OMB). For grants to state, tribal and local governments, OMB Circular A-102 (codified by the Department of the Interior in 43 CFR 12.64), stipulates matching share requirements. For grants to institutions of higher education and non-profit institutions, OMB Circular A-110 (see 43 CFR 12.923) contains matching share requirements that are quite similar to those in Circular A-102.
13. What types of costs can be covered by the grant award?
Costs covered by the Federal share of the grant award must be: 1) directly related, 2) necessary, and 3) reasonable for the proper and efficient accomplishment of project objectives. Please refer to the following OMB Circulars to help answer questions about specific types of allowable costs for Federal grants. For grants to state, tribal and local governments, OMB Circular A-87 (2 CFR 225) delineates allowable costs. For grants to institutions of higher education see OMB Circular A-21 (2 CFR 220). OMB Circular A-122 (2 CFR 230) delineates allowable costs for non-profit institutions.
14. May we apply for a grant to fund a project that we are currently working on?
It is the intent of NPS that funds be awarded to assist work not yet undertaken, rather than to help pay for work already begun or completed. However, work to be performed on subsequent phases of a project, which have not been performed at the time of the award of the grant, may be proposed.
15. Can we use this grant to cover costs incurred prior to the grant award?
Work performed prior to the grant award, and projects that have already been completed, typically may not be funded through this grant program. However, in certain circumstances, costs incurred prior to the effective date of the grant award--also referred to as “pre-agreement" or "pre-award" costs--may be approved by the NPS.
For example, some costs must be incurred before a grant application can be submitted to NPS in order to provide the required descriptive and cost data for the grant proposal. A second example would be the costs incurred to complete one phase of a project, which is a necessary component of the subsequent phase of the project proposed in the grant application. Examples of costs in these two circumstances include the costs of appraisals, site investigation and selection, site planning, feasibility studies, preliminary design, environmental assessment, preparation of cost estimates, construction drawings and specifications. These costs may be eligible pre-agreement costs, although incurred prior to NPS concurrence.
If the time span between the point the costs were incurred and the initiation of the grant-supported work exceeds the standard of reasonableness, then such pre-award costs cannot be claimed to be either directly related or necessary to achieve the work that is to be performed with the grant funds being awarded. NPS customarily considers costs incurred up to one year preceding the award of the grant as being within a reasonable timeframe. The NPS will evaluate if these costs are allowable through a formal process (please see guidance on pre-agreement costs below). If it is determined that the pre-agreement costs are allowed, the NPS will provide written approval and also specifically include this in the grant agreement.
16. How do I obtain approval for pre-agreement costs?
In certain circumstances, the NPS may approve pre-agreement costs to be part of the Federally funded project; those costs could then be counted as matching share or reimbursed by the grant funds. Any pre-agreement costs incurred as part of your grant project must be approved in writing by NPS and be authorized to be applied to this grant in accordance with the appropriate OMB Circular (OMB Circular A-122 (2 CFR 230), Cost Principles for Nonprofit Organizations; OMB Circular A-21 (2 CFR 220), Cost Principles for Educational Institutions; or OMB Circular A-87 (2 CFR 225), Cost Principles for State, Local, and Tribal Governments).
If NPS agrees to consider the pre-agreement costs for a Japanese American Confinement Sites grant project, the grantee must submit the following materials to NPS for review:
A letter requesting approval for pre-agreement costs including: an outline of the work that was completed prior to the awarding of the grant agreement; an explanation of how the completed work fits into the proposed work being funded under the current grant agreement; and the dates that the pre-agreement work was completed.
• Copies of all receipts or invoices for completed work, and their accompanying payment checks documenting that the funds have been expended.
• Copies of plans and specifications for all work completed as part of pre-agreement costs. Good quality photographs showing detailed images of the completed work must be included with the plans and specification.
• A letter from your State Historic Preservation Officer stating that they have reviewed the work in compliance with Section 106 of the National Historic Preservation Act, and that the work has had, or will have, no adverse effect on the property.
• Documentation that all contractors or consultants paid through Federal or matching grant funds were competitively selected along with a copy of the professional qualifications for the selected contractor(s).
NPS will review the above documentation and make a decision as to whether the pre-agreement costs are allowable. A letter will then be sent to the grantee with the final decision. If approved, documentation of the pre-award costs must be retained by the grantee for review during the grantee’s final audit.
17. What are the required procurement standards?
*Documentation of procurements does not have to be submitted to NPS, but must be retained in grantee’s files for audit purposes.
This document provides standards and guidelines applicable to procurement of supplies, equipment, construction work, and other services supported with Federal grant funds for the Japanese American Confinement Sites (JACS) grant program. These standards are designed to ensure that such materials and services are obtained efficiently and economically and in compliance with applicable Federal laws, and OMB Circular A-102, as codified in 43 CFR 12.76 (for State, local, and tribal governments),and OMB Circular A-110, as codified in 43 CFR 12.940-948 (for institutions of higher education and non-profit organizations).
B. Grantee/Grantor Responsibility.
1. The grantee is responsible for the settlement of all contractual and administrative issues arising out of procurements entered into in support of a grant. These include, but are not limited to: source evaluation, protests, disputes, and claims. NPS will not substitute its judgment for that of the grantee unless the matter is primarily a Federal concern. Violations of law are to be referred to the local, State, or Federal authority having proper jurisdiction.
2. Grantees shall use their own procurement procedures which reflect applicable State and local laws and regulations, provided that procurements for JACS-assisted work conform to the standards set forth in this document and applicable Federal laws. Accordingly, if State or local requirements are more stringent (e.g., State regulations require that all contracts over $10,000 be bid), the grantee must comply with those more restrictive requirements.
3. Grantees should not execute contracts or sub-grant agreements until the grant agreement against which costs will be charged has been executed by NPS, unless written NPS authorization for such pre-agreement costs is obtained.
4. Grantees shall maintain a contract administration system ensuring that contractors perform in accordance with the terms, conditions, and specifications of their contracts or purchase orders.
C. Code of Conduct.
Grantees will maintain a written code or standards of conduct which shall govern the performance of their officers, employees, or agents engaged in the award and administration of contracts supported by JACS grant funds. No employee, officer, or agent of the grantee shall participate in the selection, or in the award or administration of a contract supported by Federal funds if a conflict of interest, real or apparent, would be involved.
Such a conflict would arise when any of the following has a financial or other interest in the firm selected for award: (1) the employee, officer, or agent; (2) any member of his immediate family; (3) his or her partner; or (4) an organization which employs, or is about to employ, any of the above.
The grantee's officers, employees, or agents shall neither solicit nor accept gratuities, favors, or anything of monetary value from contractors, potential contractors, or parties to sub-grant agreements. Grantees may set minimum rules where the financial interest is not substantial or the gift is an unsolicited item of nominal intrinsic value.
To the extent permitted by State or local law or regulations, such standards of conduct shall provide for penalties, sanctions, or other disciplinary actions for violations of such standards by the grantee's officers, employees, or agents, or by contractors or their agents.
D. Procurement Procedures.
The grantee shall establish procurement procedures which provide that proposed procurement actions shall be reviewed by grantee officials to avoid the purchase of unnecessary or duplicative items. Consideration should be given to consolidation or breakdown as appropriate, to obtain a more economical purchase. Where appropriate, an analysis shall be made of lease-versus-purchase alternatives and any other appropriate analysis to determine which approach is the most economical. Grantees and subgrantees are encouraged to enter into State and local intergovernmental agreements for procurement or use of common goods and services.
E. Contracting with Minority Business Enterprise and Woman Business Enterprise Firms.
1. It is the Federal Government’s policy to award a fair share of contracts to Minority Business Enterprises (MBEs) and Woman Business Enterprises (WBEs). The instructions regarding the reporting of MBEs/WBEs under grants and cooperative agreements awarded by the Department of the Interior (DOI) bureaus and offices are based on Executive Orders 11625, 12138, and 12432. In accordance with 43 CFR 12.76 (or 43 CFR 12.944 for institutions of higher education and nonprofit organizations), affirmative steps must be taken to assure that MBEs/WBEs are utilized when possible as sources of supplies, equipment, construction, and services. The affirmative steps shall include the following:
2. Minority Business Enterprise(MBE). An MBE is a business concern that is (1) at least 51 percent owned by one or more minority individuals, or, in the case of a publicly owned business, at least 51 percent of the stock is owned by one or more minority individuals; and (2) whose daily business operations are managed and directed by one or more of the minority owners. Executive Order 11652 designates the following: (1) Black American (with origins from Africa); (2) Hispanic American (with origins from Puerto Rico, Mexico, Cuba, South or Central America); (3) Native American (American Indian, Eskimo, Aleut, or native Hawaiian); (4) Asian-Pacific American (with origins from Japan, China, the Philippines, Vietnam, Korea, Samoa, Guam, the Republic of Palau, the Republic of the Marshall Islands, and the Federated States of Micronesia, Northern Marianas, Laos, Cambodia, Taiwan or the Indian subcontinent); or (5) Other groups whose members are U.S. citizens and are found to be disadvantaged by the Small Business Administration pursuant to section 8(d) of the Small Business Act as amended (15 U.S.C. 637(d)), or the Secretary of Commerce.
- Including qualified MBEs/WBEs on solicitation lists;
- Assuring that MBEs/WBEs are solicited once they are identified;
- When economically feasible, dividing total requirements into smaller tasks or quantities so as to permit maximum MBE/WBE participation;
- Where feasible, establishing delivery schedules which will encourage MBE/WBE participation;
- Encouraging use of the services of the U.S. Department of Commerce's Minority Business Development Agency (MBDA) and the U.S. Small Business Administration to identify MBEs/WBEs, as required;
- If any subcontracts are to be let, requiring the prime contractor to take the affirmative steps listed above.
3. Women's Business Enterprise (WBE). A WBE is a business concern that is, (1) at least 51 percent owned by one or more women, or, in the case of a publicly owned business, at least 51 percent of the stock is owned by one or more women; and, (2) whose daily business operations are managed and directed by one or more of the women owners. Business firms which are 51 percent owned by minorities or women, but are in fact managed and operated by non-minority individuals do not qualify for meeting MBE/WBE procurement goals.
4. Grantees are encouraged to procure goods and services from labor surplus areas.
F. Types of Contracts.
The types of contracts which are allowable when Federal funds are involved include cost reimbursement contracts, firm fixed-price contracts, fixed-price incentive contracts, or cost-plus-a-fixed-fee contracts. Other types of special contracts may be acceptable, depending upon the individual circumstances. However, cost-plus-a-percentage-of-cost and percentage-of-construction-cost contracts may not be used under any circumstances, and costs incurred under these types of contracts are unallowable.
G. Selection Procedures.
1. All procurement transactions, regardless of whether by sealed bids or by negotiation, and without regard to dollar value, shall be conducted in a manner that provides maximum open and free competition consistent with this document. Procurement procedures shall not restrict or eliminate competition. Examples of what is considered to be restrictive of competition include, but are not limited to: (1) placing unreasonable requirements on firms in order for them to qualify to do business, (2) noncompetitive practices between firms, (3) organizational conflicts of interest, and (4) unnecessary experience and bonding requirements.
2. The grantee shall have written selection procedures which stipulate that:
a. Solicitations of offers, whether by competitive sealed bids or competitive negotiation, shall:
1) Incorporate a clear and accurate description of the technical requirements for the material, product, or service to be procured but which does not unduly restrict competition. The description may include a statement of the qualitative nature of the material, product or service to be procured, and, shall set forth those minimum essential characteristics and standards to which it must conform if it is to satisfy its intended use. (Detailed product specifications should be avoided). When it is impractical or uneconomical to make a clear and accurate description of the technical requirements, a "brand name or equal" description may be used. The specific features of the named brand which must be met by offers shall be clearly stated.
2) Clearly set forth all requirements which offers must fulfill and all other factors to be used in evaluating bids or proposals, such as a deadline for completion of project work.
b. Contract awards shall be made only to responsible contractors that possess the potential ability to perform successfully under the terms and conditions of proposed procurement. Contractor integrity, compliance with public policy, record of past performance, and financial and technical resources should be considered. (Note: evidence of default, adverse record of past performance, or related factors are necessary to demonstrate lack of responsibility.)
c. Contract awards shall not be made to a former employee, contractor or professional who has developed or has drafted bid specifications, requirements, a statement of work, an invitation for bids, and/or a request for proposals for a particular procurement. Project records must include evidence of an analysis by the SHPO that the solicitation or specifications were nonrestrictive.
3. Consultants. States shall apply State government policies with respect to use and payment of consultant services, shall ensure that those policies apply equally to the use of consultants paid for by JACS grant funds and by other matching funds, and shall ensure that these will include, at a minimum, the standards described below. They do not apply to the use of consultants whose fees are treated as an indirect cost.
4. Written Agreements. Written agreements between the parties shall be executed which detail the responsibilities, standards, and fees. The grantee shall ensure that the agreement includes the following provisions pertaining to consultant conduct:
a. A consultant shall not use his/her position for the actual or apparent purpose of private gain other than payment for services rendered for himself/herself or another person, particularly one with whom he/she has family, business, or financial ties.
b. A consultant shall not convey inside information that has not become part of the body of public information and that would not be available upon request, directly to any person for the purpose of private gain for himself/herself or another person, particularly one with whom he/she has family, business, or financial ties.
c. A consultant shall not, either for or without compensation, engage in teaching, lecturing, or writing that is dependent on information obtained as a result of his/her employment with the grantee, except when that information has been made available to the general public or will be made available upon request, or when the SHPO gives written authorization for the use of non-public information on the basis that the use is in the public interest.
H. Methods of Procurement.
Procurement under JACS grants shall be made by one of the following methods: 1) small purchase procedures; 2) competitive sealed bids (formal advertising); 3) competitive negotiation; 4) noncompetitive negotiation.
1. Small purchase procedures. Small purchase procedures are simple, informal methods (i.e., imprest funds, purchase orders, blanket purchase agreements) used for a procurement of services, supplies or other property, costing in the aggregate not more than $100,000. Grantees shall comply with State or local small purchase dollar limits if they are lower than the Federal Threshold of $100,000. If small purchase procedures are used for a procurement under a grant, price or rate quotations shall be obtained from an adequate number of qualified sources to assure competition.
2. Competitive sealed bids. In competitive sealed bids (formal advertising), sealed bids are publicly solicited, and a firm-fixed-price contract (lump sum or unit price) is awarded to the responsible bidder whose bid, conforming with all the material terms and conditions of the invitation for bids, is lowest in price, and is most advantageous to the grantee, considering price, discounts, transportation costs, taxes, and the contractor's ability to fulfill the contract.
a. In order for formal advertising to be feasible, the following conditions must be present:
1) A complete, adequate and realistic specification or purchase description is available, which avoids unnecessarily restrictive specifications or requirements which might unduly limit the number of bidders.
2) Two or more responsible suppliers are willing and able to compete effectively for the grantee's business.
3) The procurement lends itself to a firm-fixed-price contract, and selection of the successful bidder can appropriately be made principally on the basis of price.
b. If formal advertising is used for a grant procurement, the following requirements apply:
1) A sufficient time prior to the date set for opening of bids, bids shall be solicited from an adequate number of known suppliers. (The period allowed for bids to be submitted should generally be at least 20 to 30 calendar days). In addition, the invitation shall be publicly advertised.
2) The invitation for bids, including specifications and pertinent attachments, shall clearly define the items or services needed in order for the bidders to properly respond to the invitation.
3) All bids shall be opened publicly at the time and place stated in the invitation for bids.
4) A firm-fixed-price contract award shall be made by written notice to that responsible bidder whose bid, conforming to the invitation for bids, is lowest. Where specified in the bidding documents, factors such as discounts, transportation costs, and life cycle costs shall be considered in determining which bid is lowest. Payment discounts may only be used to determine low bid when prior experience of the grantee indicates that such discounts are generally taken.
5) Any or all bids may be rejected when there are sound documented business reasons in the best interest of the program. If all bids are rejected as too costly, and the scope of work is then substantially altered, the work must be re-advertised.
c.Guide to Formal Advertising. Formal advertising, with adequate purchase descriptions, sealed bids, and public openings will be the required method of procurement unless negotiation is necessary to accomplish sound procurement. Procurements of $100,000 or less need not be formally advertised unless otherwise required by State or local law or regulation.
Formal advertising includes placing the "Invitation to Bid" in a major newspaper that covers the area affected by the project. Notices should be published at least three times (which can be either three successive times in one publication, or published one time simultaneously in three different publications). Use of pre-selected bid lists, posting in public places, and publication in trade journals and magazines are legitimate steps to ensure free and open competition and reflect prudent administration of Federal funds if used in conjunction with newspaper and other mass media announcements. Minimum documentation of formal advertising for audit purposes consists of a copy of the actual advertisement run in appropriate newspapers with an invoice showing the dates published.
The formal advertisement must state that Federal funds are involved and that compliance with all applicable Federal, State, and local laws, rules, and regulations is required. After all bids are received, they should be tabulated and summarized in a manner that will facilitate comparison of the relative advantages and disadvantages of each bid. In awarding contracts which include additive and deductive bid items, the award procedures should include a disclosure of the selection priority for these items. This tabulation and/or summary should be signed and dated to provide documentation as to the basis for awarding the bid.
It is not always necessary to award the contract to the lowest bidder simply because it is the lowest. There may be important considerations that obviate such action, such as State or local laws and regulations which make provisions for implementation of socioeconomic programs giving priority to the disabled, small business, or minority-owned contractors. However, the justification for doing so should be documented in writing. NPS should be consulted when there is: (1) failure to receive a sufficient number of bids; (2) great disparity in bid quotations; or (3) intent to award a contract to other than the low bidder.
If no bid or no acceptable bids are received, a contract can be negotiated for the same scope of work if each bidder is given notice of this intent and a reasonable opportunity to negotiate. In such circumstances, notices concerning negotiations should be sent to all bidders, if any, by certified mail with "signed receipt requested" to provide documentation of compliance. Any material change in the invitation to bid, including changes in specifications, would necessitate re-advertising.
In accordance with OMB Circular A-110, nonprofit grantees may select the most appropriate procurement procedure without prior concurrence by NPS, unless a sole source procurement in excess of $100,000 is involved. However, nonprofit grantees must maintain procurement records for all purchases in excess of $100,000 which shall include the following: (1) basis for contractor selection; (2) justification for lack of competition when competitive bids or offers are not obtained; and (3) basis for award cost or price.
3. Competitive negotiation. In competitive negotiation, proposals are requested from a number of sources and the Request for Proposal is distributed to several prospective bidders, negotiations are normally conducted with more than one of the sources submitting offers, and either a fixed-price or cost-reimbursable type contract is awarded, as appropriate. Competitive negotiation may only be used if conditions are not appropriate for the use of formal advertising. If competitive negotiation is used for a procurement under a grant, the following requirements shall apply:
a. Proposals shall be solicited from an adequate number of qualified sources to permit reasonable competition consistent with the nature and requirements of the procurement. The Request for Proposals shall be publicized (distributed to several prospective bidders; it does not require publication) and reasonable requests by other sources to compete shall be honored to the maximum extent practicable.
b. The Request for Proposals shall identify all significant evaluation factors, including price or cost where required and their relative importance.
c. The grantee shall provide mechanisms for technical evaluation of the proposals received, determinations of responsible offerors for the purpose of written or oral discussions, and selection for contract award.
d. Award may be made to the responsible offeror whose proposal will be most advantageous to the procuring party, price and other factors considered. Unsuccessful offerors should be notified promptly.
e. Grantees must use competitive negotiation procedures for procurement of architectural/engineering professional services, whereby competitors' qualifications are evaluated and the most qualified competitor is selected, subject to negotiation of fair and reasonable compensation. Resumes, references, and past work experience will be evaluated to assess professional qualifications for procurement of professional services.
4. Noncompetitive negotiation. Noncompetitive negotiation is procurement through solicitation of a proposal from only one source, or after solicitation of a number of sources, competition is determined inadequate. Noncompetitive negotiation may be used when the award of a contract is infeasible under small purchase, competitive bidding (formal advertising), or competitive negotiation procedures. Circumstances under which a contract may be awarded by noncompetitive negotiation are limited to the following:
a. The item is available only from a single source (which is often best documented after no responses are received from a preliminary formal advertising);
b. Public exigency or emergency when the urgency for the requirement will not permit a delay incident to competitive solicitation;
c. NPS authorizes in writing noncompetitive negotiation because of compelling special circumstances; or
d. After solicitation of a number of sources, competition is determined inadequate.
I. Cost or Price Analysis.
Grantees shall perform some form of cost or price analysis in connection with every procurement action, including contract modifications. Costs or prices based on estimated costs for contracts under grants shall be allowed only to the extent that costs incurred or cost estimates included in negotiated prices are consistent with Federal cost principles. In particular, a change order must not be used to increase the cost of a contract which was deliberately underbid to get the award. Change orders to adjust the cost of the contract without an increase in scope may be adjusted for materials and labor costs only. The fixed fee profit amount must remain the same.
J. Grantee Procurement Records.
Grantees shall maintain records sufficient to detail the history of a procurement. These records shall include, but are not necessarily limited to the following information: rationale for the method of procurement, selection of contract type, contractor selection or rejection, and the basis for the cost or price.
K. Contract Provisions.
In addition to provisions defining a sound and complete procurement contract, any recipient of Federal grant funds shall include the following contract provisions or conditions in all grant-related contracts and subcontracts:
1.Contracts other than small purchases shall contain provisions or conditions which will allow for administrative, contractual, or legal remedies in instances where contractors violate or breach contract terms, and provide for such sanction and penalties as may be appropriate.
2. All contracts in excess of $100,000 shall contain suitable provisions for termination by the grantee, including the manner by which it will be effected and the basis for settlement.
3. All construction contracts in excess of $100,000 awarded by grantees and their contractors or subgrantees shall contain a provision requiring compliance with Executive Order 11246, entitled "Equal Employment Opportunity", as amended by Executive Order 11375, and as supplemented in Department of Labor regulations (41 CFR Part 60).
4. All contracts and subgrants for construction or repair shall include a provision for compliance with the Copeland "Anti-Kickback" Act (18 U.S.C. 874) as supplemented in Department of Labor regulations (29 CFR Part 3). This Act provides that each contractor or subgrantee shall be prohibited from inducing, by any means, any person employed in the construction, completion, or repair of public work, to give up any part of the compensation to which he is otherwise entitled. The grantee shall report all suspected or reported violations to NPS.
5. The Preservation of Japanese American Confinement Sites Act (Public Law 109-441, 120 STAT 3288, 16 USC 461) is silent about and therefore does not require compliance with the Davis-Bacon Act (40 U.S.C. 276a to a-7). Therefore State law and administrative procedures govern whether all construction contracts in excess of $2,000 awarded by grantees and subgrantees shall include a provision for compliance with the Davis-Bacon Act.
However, JACS grantees should be aware that the provisions of the Davis-Bacon Act are applicable when: Community Development Block Grant (CDBG) monies are used as the nonfederal share of a JACS grant; or supplemental funding is provided through a Federal program to which the Davis-Bacon Act applies.
6. The Preservation of Japanese American Confinement Sites Act (Public Law 109-441, 120 STAT 3288, 16 USC 461) is silent about and therefore does not require compliance with the Contract Work Hours and Safety Standards Act (40 U.S.C. 327-330). Therefore State law and administrative procedures govern whether all contracts awarded by grantees and subgrantees in excess of $2,000 for construction contracts, and in excess of $2,500 for other contracts which involve the employment of mechanics or laborers shall include a provision for compliance with Sections 103 and 107 of the Contract Work Hours and Safety Standards Act regarding overtime pay and safe working conditions.
7. The contract shall include notice of NPS requirements and regulations pertaining to reporting and patent rights under any contract involving research, developmental, experimental, or demonstration work with respect to any discovery or invention which arises or is developed in the course of or under such contract, and of NPS requirements and regulations pertaining to copyrights and rights in data.
8. All negotiated contracts awarded by grantees (except those awarded by small purchase procedures) shall include a provision to the effect that the grantee, the Department of the Interior, the Comptroller General of the United States, or any of their duly authorized representatives, shall have access to any books, documents, papers, and records of the contractor which are directly pertinent to that specific contract, for the purpose of making audit, examination, excerpts, and transcription. Grantees shall require contractors to maintain all required records for 3 years after grantees make final payments and all other pending matters are closed.
9. Contracts, subcontracts, and subgrants of amounts in excess of $100,000 shall contain a provision which requires compliance with all applicable standards, orders, or requirements issued under Section 306 of the Clean Air Act (42 U.S.C. 1857(h)), Section 508 of the Clean Water Act (33 U.S.C. 1368), Executive Order 11738, and Environmental Protection Agency (EPA) regulations (40 CFR Part 15), which prohibit the use under non-exempt Federal contracts, grants, or loans of facilities included on the EPA List of Violating Facilities. The provision shall require reporting of violations to the grantor agency (NPS) and to the EPA Assistant Administrator for Enforcement.
10.Contracts shall recognize mandatory standards and policies relating to energy efficiency which are contained in the State energy conservation plan issued in compliance with the Energy Policy and Conservation Act (P.L. 94-165). NPS may require changes, remedies, changed conditions, access and record retention, and suspension of work clauses approved by the Office of Federal Procurement Policy.
L. Bonding and Insurance.
Grantees are to follow their own requirements relating to bid guarantees, performance bonds, and payment bonds unless the construction contract or subcontract exceeds $100,000. For those over $100,000 NPS may accept the grantee's procedures if NPS determines that the Federal Government's interests are adequately protected (see 43 CFR 12.76 or 43 CFR 12.948(c)).
a. Bid guarantee. A bid guarantee is a firm commitment, such as a bid bond, certified check, or other negotiable instrument accompanying a bid as assurance that the bidder will, upon acceptance of the bid, execute such contractual documents as may be required within the time specified.
b. Performance bond. A performance bond is a bond executed in connection with a contract to secure fulfillment of all the contractor's obligations under the contract.
c. Payment bond. A payment bond is executed in connection with a contract to assure payment, as required by law, of all persons supplying labor and material in the execution of the work provided for in the contract.
2. Contracts for Construction.
a. Bids and contracts of $100,000 or less. Except as otherwise required by law, the grantee shall follow its own regular requirements and practices relating to bid guarantees, performance bonds, and payment bonds.
b. Bids and contracts exceeding $100,000. The recipient may follow its own regular policy and requirements if NPS has determined that the Federal Government's interest will be adequately protected. If this determination has not been made, the minimum requirements shall be as follows:
1) A bid guarantee from each bidder equivalent to 5 percent of the bid price;
2) A performance bond on the part of the contractor for 100 percent of the contract price; and
3) A payment bond on the part of the contractor for 100 percent of the contract price.
3. Sources of Bonds. Where bonds are required in the situations described above, the bonds shall be obtained from companies holding certificates of authority as acceptable sureties (31 CFR 223). A list of these companies is published annually by the Department of the Treasury in its Circular 570 (the current list can be accessed at http://www.fms.treas.gov/c570/c570.html). The Department of the Treasury Circular 570 may also be obtained from the Government Printing Office, 732 North Capitol St. NW • Washington, DC 20401 (202) 512-1800.
M. Record keeping and Access to Contractor Records.
43 CFR 12.76 and 43 CFR 12.948 both require grantees (and subgrantees) to include in specified kinds of contracts a provision for access to the contractors' records by the grantee and by the Federal Government. The following applies to the provision:
1. The provision must require the contractor to place the same provision in any subcontract which would have to have the provision were it awarded directly to the subgrantee.
2. The provision must require retention of records for 3 years after final payment is made under the contract or subcontract and all pending matters are closed. The provision must also require that, if an audit, litigation, or other action involving the records is started before the end of the 3-year period, the records must be retained until all issues arising out of the action are resolved or until the end of the 3-year period, whichever is later.
3. In contracts and subcontracts under a subgrant, the provision must require that access to the records be provided to the grantee as well as the subgrantee and the Federal Government.