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Catalog of Federal Domestic Assistance

Program Descriptions

11.112:  Export Promotion: Market Development Cooperator

Objectives:  To develop, maintain and expand foreign markets for nonagricultural goods and services produced in the United States.

PROGRAM AND AWARD	FINANCIAL AND INFORMATION CONTACTS
ELIGIBILITY REQUIREMENTS	FINANCIAL AND ADMINISTRATIVE INFO.
APPLICATION AND AWARD PROCESS	INFORMATION CONTACTS
RELATED PROGRAMS	ASSISTANCE CONSIDERATIONS
PROGRAM ACCOMPLISHMENTS	POST ASSISTANCE REQUIREMENTS

11.112 ELIGIBILITY REQUIREMENTS:

Applicant Eligibility:  The Statute provides that cooperative agreements may be entered into with the following entities: (1) Nonprofit industry organizations; (2) trade associations; (3) State departments of trade and their regional associations, including centers for international trade development; and (4) private industry firms or groups of firms in cases where no entity described above represents that industry.

Beneficiary Eligibility:  U.S. producers of non-agricultural goods or services.

Credentials/Documentation:  Eligible entities desiring to participate in the MDCP must demonstrate the ability to provide a competent, experienced staff and other resources to assure adequate development, supervision and execution of the proposed project activities. Applicants also should describe in detail all assistance expected from the Department of Commerce or other Federal Government agencies to implement project activities successfully. Each applicant must also provide a description of the membership of the eligible entity, the degree to which the entity represents the industry or industries in question, and the role, if any, foreign membership plays in the affairs of the eligible entity. Applicants should summarize both the recent history of their industry or industries' competitiveness in the international marketplace and the export promotion history of the eligible entity or entities submitting the application. Project plans should be well researched and reflect knowledge of the following: (1) the market potential of the goods or services to be promoted in a particular market(s); (2) the competition from host-country and third-country supplier, and (3) the economic situation and prospects that bear upon the ability of a country to import the good or service. Applicants should also present in their applications an assessment of industry resources that can be brought to bear for developing a market and industry's after-sales service capability in a particular foreign market(s). After describing their complete basic research, applicants should develop marketing plans that set forth the overall objectives of the projects and specific activities applicants will undertake as part of these projects.

11.112 APPLICATION AND AWARD PROCESS:

Preapplication Coordination:  None. This program is excluded from coverage under E.O. 12372.

Application Procedure:  Standard Forms 424, 424A, and 424B, are required as part of the application. In addition, the CD-511, Certifications Regarding Debarment, Suspension and Other Responsibility Matters; Drug-Free Workplace Requirements and Lobbying must be completed. These forms are available as part of the application kit from Brad Hess, Manager, Market Development Cooperator Program, Room 3215, HCHB, Washington, DC (202) 482-2969. They are also available on the Internet at www.ita.doc.gov/mdcp/. In addition, ITA requests that applicants submit 7 copies. However, only 2 copies are required. Page limits may apply. Each year application procedures and/or award procedures may change. Potential applicants should get the most recent information available from the Internet address or the contact listed above.

Award Procedure:  Each application will receive an independent, objective review by a selection panel qualified to evaluate the applications submitted under the program. At least three persons will be on each panel. The ITA may make awards to responsible applicants whose applications offer the greatest value. The ITA may make one or more awards on the basis of initial applications received. Once applications are received, applicants may not revise them. Unsuccessful applicants will be notified in writing within 10 days after award decisions have been made.

Deadlines:  Contact the Office of Planning, Coordination and Resource Management, (202) 482-3197 for application deadlines.

Range of Approval/Disapproval Time:  About 90 to 180 days.

Appeals:  All award decisions are final. There is no appeal process.

Renewals:  Not applicable.

Criteria for Selecting Proposals:  Criteria used in selecting applications for funding are published in the Federal Register in an annual solicitation for applications. For more information, contact Brad Hess, Manager, Market Development Cooperator Program, (202) 482-2969.

Examples of Funded Projects:  Market Development Cooperator projects include: (1) A comprehensive export education and market introduction campaign including major trade conferences, project briefings, reverse trade missions, site visits, and training sessions to market energy/environmental technologies and equipment to Latin America and the Caribbean; (2) the opening of a Mexican office, trade fair participation, institutional advertising and direct marketing, market research, technical training and translation services to promote packaging machinery exports to Mexico; (3) promotion of software, optics, and environmental technologies exports to Latin American and Asian markets through trade show participation, conferences/workshops tailored to industry clusters, and specialized market research; (4) developing a website to connect international customers to U.S. telecommunications and Internet companies through a" virtual trade show;" (5) the opening of a U.S. Information Technology Office in Beijing, China to support U.S. companies in their efforts to expand their business to the fastest growing IT market in the world; (6) the set up and operation of a U.S. Printing and Publishing Technologies Training Center in Shanghai. The Training Center, with its fully operative quick print shop, demonstrates the competitive benefits of U.S. desktop publishing and quick printing technologies; and (7) Improving market access for U.S. goods and services by working with organizations in the foreign marketplace responsible for setting standards and testing products.

Range and Average of Financial Assistance:  $50,000 to $400,000; $298,000.

11.112 RELATED PROGRAMS:

None.

11.112 PROGRAM ACCOMPLISHMENTS:

In fiscal year 1999, ITA received 44 applications and made nine awards.

11.112 FINANCIAL AND ADMINISTRATIVE INFO:

Federal Agency:  INTERNATIONAL TRADE ADMINISTRATION, DEPARTMENT OF COMMERCE

Type of Assistance:  Project Grants (Cooperative Agreements).

Obligations:  (Grants) FY 99 $2,472,000; FY 00 est $2,500,000; and FY 01 est $4,000,000.

Budget Account Number:  13-1250-0-1-376.

Authorization:  Omnibus Trade and Competitiveness Act of 1988, Public Law 100-418, Title II, Section 2303, 102 Stat. 1342, 15 U.S.C. 4723.

Regulations, Guidelines, and Literature:  Omnibus Trade and Competitiveness Act of 1988, Public Law 100-418, Title II, Section 2303, 102 Stat. 1342, 15 U.S.C. 4723. Costs will be determined in accordance with OMB Circular No. A-21 for institutions of higher education, with OMB Circular No. A-87 for State and local governments, and with OMB Circular No. A-122 for nonprofit and for-profit organizations. Grants management will be in accordance with OMB Circular No. A-110 for institutions of higher education, other nonprofit organizations, and for-profit organizations; and 15 CFR Part 24 for State and local governments. To obtain a copy of the Application kit, send a written request with a self-addressed mailing label to Brad Hess, Manager, Market Development Cooperator Program, Coordination and Resource Management, Room 3221, Washington, DC 20230. Application kits may also be downloaded from www.ita.doc/industry/opcrm/mdcp.html or requested via e-mail at Brad_Hess@ita.doc.gov.

11.112 INFO CONTACTS:

Regional or Local Office:  Not applicable.

Headquarters Office:  For further information on the MDCP, please contact: Mr. Brad Hess, Resource Management and Planning Staff, Trade Development/OPCRM, Room 3215, HCHB, U.S. Department of Commerce, Washington, DC 20230. Phone: (202) 482-2969. FTS is not available. FAX: (202) 482-5828.

(See Appendix IV for more contact info.)

11.112 ASSISTANCE CONSIDERATIONS:

Formula and Matching Requirements:  Omnibus Trade and Competitiveness Act of 1988, Public Law 100-418, Title II, Section 2303, 102 Stat. 1342, 15 U.S.C. 4723. This information on formula and matching requirements is published in the Federal Register in an annual solicitation for applications.

Length and Time Phasing of Assistance:  Funds may be expended over the period of time required to complete the scope of the work, but not exceed three years from the date of the award. Assistance is released according to approved marketing plans in the Market Development Cooperator Program.

Uses and Use Restrictions:  Applicants are encouraged to propose market development activities that would be most appropriate to the needs of the industry or industries they represent. Types of activities and amounts of funds are annually negotiated between ITA and Cooperators. Executive boards comprised of management officials from the Cooperators and staff from appropriate ITA units develop annual strategic marketing plans. The Department of Commerce will support only a portion of the direct costs of each project. Each applicant will support a portion of the direct costs (to be specified in the application) and all of the indirect costs of its project. For purposes of this program, "direct costs" will be defined as personnel, fringe benefits, travel, equipment, supplies, contractual, and other (e.g., rent and furnishings for an overseas office.) Applicants may charge companies in the industry or other industry organizations reasonable fees to take part in or avail themselves of services provided as part of an applicant's project. Plans to charge fees should be described in detail in the applicant's application.

11.112 POST ASSISTANCE REQUIREMENTS:

Reports:  Financial and progress reports are to be submitted in accordance with the terms and conditions of the award. Financial status Reports (SF-269) are submitted on a quarterly basis. Federal cash transactions report (SF-272) are submitted for each award where funds are advanced to recipients. Performance reports are submitted on a quarterly basis.

Audits:  "In accordance with the provisions of OMB Circular No. A-133 (Revised, June 24, 1997), recipients that are States, Local Governments, Non-profit Organizations (to include Hospitals), and Institutions of Higher Learning shall be subject to the audit requirements contained in the Single Audit Act Amendments of 1996 (31 U.S.C. 7501-7507). Commercial organizations shall be subject to the audit requirements as stipulated in the award document."

Records:  All financial and programmatic records, supporting documents, statistical reports, and other records of recipients or sub recipients must be maintained in accordance with the terms of the award. Generally, the recipient must retain records for 3 years from the date on which the final expenditure report is submitted.