Archive
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INTERGOVERNMENTAL GRANT CONSOLIDATION AND FLEXIBILITY
SUMMARY OF AGENCY ACTIONS
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ACCOMPLISHMENTS:
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Legislation Enacted
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Empowerment Zones and Enterprise Communities -- The Omnibus
Reconciliation Act of 1993 (P.L. 103-66) includes a new grant program
under Title XX of the Social Security Act for the establishment of
empowerment zones and enterprise communities. This initiative is
designed to revitalize communities through both economic and human
development using bottom up (community level) comprehensive and
collaborative strategic planning. Grants and tax incentives will be
provided to 105 communities (9 empowerment zones and 95 enterprise
communities) in urban and rural areas who demonstrate economic
distress. By a Presidential Directive issued September 9, 1993, the
President established an interagency Community Enterprise Board,
chaired by the Vice President, to oversee the initiative. Through
this board, for which the President's Assistants for economic and
domestic policy serve as vice-chairs and heads of key Federal
Departments serve as members, communities will be given broad
flexibility and assistance in coordinating and integrating services
in the target areas.
The Goals 2000: Educate America Act --
Goals 2000, P.L. 103-227, has been established to improve learning
and teaching by providing a national framework for education reform;
to promote the research, consensus building, and systemic changes
needed to ensure equitable educational opportunities and high levels
of educational achievement for all students; to provide a framework
for reauthorization of all Federal education programs; and, to
promote the development and adoption of a voluntary national system
of skill standards and certifications, as well as for other purposes.
The Act contains measures for systemic educational reform using both
top-down and bottoms-up strategies. State and local educational
agencies are encouraged to develop comprehensive improvement plans
that will provide a coherent framework for the implementation of
reauthorized Federal education and related programs in an integrated
fashion. States may receive an allotment of funds for systemic
improvement efforts and must submit a State Improvement Plan after
its first year of funding. The Secretary has been given authority to
waive Federal statutory and regulatory requirements to enhance
flexibility in the implementation of systemic improvement plans.
In addition, Goals 2000 establishes six flexibility demonstration
projects under the "Education Flexibility Partnership Demonstration
Act". Under this demonstration, States can apply for designation as
one of the six "Ed-Flex Partnership States" which would give them the
authority to waiver any statutory or regulatory requirement
applicable to any program or Act as described in the law without
seeking approval from the Department of Education. States will be
eligible for designation if they have prepared an improvement plan,
have waived State statutory and regulatory requirements for the local
authorities within the demonstration area, and have established
performance measures for ensuring accountability to outcomes in the
improvement plans.
Resource Conservation and Recovery Act Strategic Management Framework
(RCRA) -- EPA's RCRA governs the disposal of solid waste. Beginning
in 1992, the RCRA program established a flexible process for
allocating RCRA permitting funds. States and EPA prioritize among
the facilities that they want to permit using a numerical ranking
system called the Priority Ranking System. If certain facilities of
concern to the state do not fall within the high-priority ranking,
states have the option of "bumping them up" by demonstrating that
permitting these facilities would be of considerable environmental
benefit such as providing new capacity or demonstrating a new
technology, cross- media approach, or waste minimization method. An
additional 15% of all state facilities may be moved into the high-
priority rank if they are of particular concern to the public or the
state. The RCRA enforcement program uses a similarly flexible
program called RIP FLEX (RCRA Implementation Plan Flexibility).
Job Training Partnership Act (JTPA) Amendments --
These amendments give states discretion to establish State Human
Resource Investment Councils (HRIC) to coordinate Federal human
resource assistance programs. The amendments also create a new
youth-focused title (Title IIC) that enhances state flexibility and
encourages greater state innovation to find effective ways to
increase youth employment and earnings.
Mickey Leland Hunger Prevention Act --
This bill contained several provisions to improve the conformity of
certain Food Stamp Program rules with Aid to Families with Dependent
Children Program rules. These provisions were to:
o Exclude non-title IV educational assistance.
o Exclude from income determination up to $50 in child
support for all FSP households.
o Increase the Employment and Training Program (E&T)
dependent care reimbursement limits to $200 for children under age 2
and $175 for all other children.
o Increase the dependent care deduction caps to $200 for
children under age 2 and $175 for all other dependents.
o Allow States the option to increase the E&T participant
reimbursement cap for expenses other than dependent care above a
minimum of $25.
Congress enacted the Mickey Leland Childhood Hunger Relief Act. The
Act adopted the Mickey Leland Hunger Prevention Act provisions to
increase the E&T dependent care reimbursement limits and dependent
care deduction caps.
Childhood Immunization --
Enacted in 1993, the President's Vaccines for Children program, which
guarantees low-income children access to free immunizations against
preventable diseases, gives states the flexibility and responsibility
for managing vaccine purchases and distribution, recruiting
providers, enhancing the immunization infrastructure, and
implementing outreach strategies.
Family Preservation and Support Act --
The Family Preservation and Support Program will provide
approximately $1 billion to states over the next five years to
provide services to families in efforts to keep families intact. HHS
is implementing the new program to provide maximum flexibility to
states and local communities in how they design and carry out family
preservation activities. HHS has been collaborating with State
officials on the Federal guidance for this program.
Intermodal Surface Transportation Efficiency Act (ISTEA) --
ISTEA has provided local and State decisionmakers with unprecedented
flexibility in the development of transportation investment
strategies which meet both regional and community goals and
objectives. Based upon the needs identified through ISTEA's
enhanced, multimodal transportation planning process, State and local
authorities may now 1) use certain highway funds for appropriate
transit purposes, and vice versa; 2) fund non- traditional
"enhancement" projects such as pedestrian and bicycle facilities, the
preservation of historic areas and buildings; and 3) through the $6
billion Congestion Mitigation and Air Quality Improvement program,
develop projects and programs which reduce transportation-borne
pollutants and provide relief to congested roads and highways. Since
ISTEA became effective, the States have obligated over $954 million
flexibly, that is, transferring highway dollars to transit.
Furthermore, ISTEA fosters economic and community development by
requiring that land-use, social equity, and environmental concerns be
incorporated into the transportation planning process and that the
general public have a much stronger voice in transportation
investment decisionmaking.
The HUD Demonstration Act (P.L. 103-120) --
This Act authorized three program initiatives that will test new ways
of providing affordable housing and rebuilding our communities. They
include the National Community Development Initiative, the Innovative
Homeless Fund, and Pension Fund Leveraging.
NCDI --
The National Community Development Initiative has been instrumental
in increasing the capacity and reach of community development
corporations (CDCs) which today develop and manage a significant
portion of the low-cost housing portfolio. HUD's investment of $20
million matches $66 million in philanthropic
funds, all of which, in turn, is leveraged at the local level to
support housing and community development.
Innovative Homeless Fund --
Congress appropriated $100 million for the Innovative Homeless Fund.
This highly flexible fund will permit HUD to undertake comprehensive
initiatives with cities that commit to addressing the full continuum
of care.
Pension Fund Leveraging --
Congress appropriated $100 million to the Community Investment
Demonstration project to foster affordable housing partnerships with
the AFL-CIO and other pension funds, leveraging billions of dollars
in private investment.
Unemployment Insurance Flexibility --
NAFTA legislation gives states the option to establish self-
employment assistance programs as part of the State UI system.
The Human Services Amendments of 1994, P.L. 103-252, signed by the
President on May 18, 1994, created the Community-Based Family
Resource Program by consolidating four HHS programs: the Family
Resource and Support Program; Emergency Child Protective Services
Grants; the Child Abuse Community-Based Prevention Program; and the
Child Abuse Prevention and Treatment Act (CAPTA). The purpose of the
new consolidated program is to assist each state to develop and
implement, or expand and enhance, a comprehensive, statewide system
of family resource services through collaboration with existing
education, vocational rehabilitation, health, mental health,
employment and training, child welfare, and other social services
agencies within the state.
Regulatory Changes
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User Fees for Export Certification --
In July 1993, the Animal and Plant Health Inspection Service (APHIS)
at USDA amended regulations to provide an alternative method of
calculating the fees States may charge when they issue Federal
phytosanitary certificates. Now, states may calculate fees on a
"cost-per- certificate" or "cost-per-hour" basis.
Postentry Quarantine --
In July of 1993, the Animal and Plant Health Inspection Service
(APHIS) at USDA amended regulations requiring postentry quarantine
for certain imported plants. The amended regulations limit the
importation of some plants unless they are destined for States that
have signed an agreement with APHIS to inspect and monitor postentry
quarantine sites and to supervise and enforce importer compliance
with postentry quarantine requirements. APHIS made several changes
to the proposed rule to more clearly recognize State enforcement
authority.
Rural Business Enterprise Grant --
Noting that small, rural businesses require technical assistance as
well as capital to start or keep the enterprise viable, the Rural
Development Administration at USDA responded by changing regulations
in the Rural Business Enterprise Grant to allow recipients to use a
large portion of the grant on technical assistance.
Changes to WIC Regulations --
The Food and Nutrition Service (FNS) at USDA increased flexibility to
States through numerous regulations.
o FNS published a Women Infant and Children (WIC) regulation
giving additional flexibility to States in mailing food instruments
to WIC participants.
o FNS published a WIC regulation permitting recipients of
Medicaid, Food Stamps, and Aid to Families with Dependent Children
(AFDC) to be deemed automatically income eligible for WIC.
o FNS published a WIC regulation permitting an individual to
be deemed automatically income eligible for WIC if a family member
receives Medicaid, Food Stamps, or AFDC.
o FNS published a WIC regulation giving additional
flexibility to States in documenting nutrition education contacts to
participants.
Also, FNS issued a formal instruction permitting additional
flexibility to States for use of WIC funds to purchase, renovate, and
repair WIC clinic facilities.
Commodity Distribution Reform Final Regulations --
The Food and Nutrition Service (FNS) at USDA has adopted regulations
that provide states and local areas flexibility in three ways:
o Accommodate State computer systems by allowing several
options for selecting commodity value;
o Permit States to make less frequent than monthly commodity
deliveries to local organizations when requested; and
o Extend the time frame for States to report commodity losses
to FNS.
Meal Supplements Regulation --
This regulation authorizes reimbursement under the National School
Lunch program for meal supplements served in after-school care
programs operated by schools that were participating in the Child and
Adult Care Food Program as of May 15, 1989.
The Food Stamp Program Management Evaluation System --
In 1993, the Food and Nutrition Service at USDA significantly changed
the Food Stamp Program Management Evaluation System to give greater
flexibility to State agencies. Previously, the National Office
established priority areas for the Food Stamp Program and mandated
that these areas be included in the States' reviews of local office
operations. In 1993, the National Office listed National areas of
concern and each State agency was given the opportunity to work with
the FNS Regional Office to select those areas that were appropriate
for review in each individual State.
Revamped Commodity Allocation Procedures --
The Food and Nutrition Service at USDA has revamped commodity
allocation procedures in The Emergency Food Assistance Program to
permit States to select those products which best serve their needs.
Consolidation of Talmadge-Aiken and Cross Utilization Inspection
Programs -- The Food Safety and Inspection Service (FSIS) at USDA has
allowed State agencies that participated in the Cooperative
Inspection Program and that dedicated less than 10 staff years to
Federal inplant inspection to convert their Talmadge-Aiken program to
a Cross Utilization Program. Those State agencies that have
converted will administer only one of these programs instead of two.
Legislative Proposals
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HR 820, National Competitiveness Act of 1994 --
The National Competiveness Act of 1994 passed by the Senate (as S4)
on March 16, 1994, waiting for conferees to be named. Includes (as
Title XI) the "Local Empowerment and Flexibility Act of 1994" This
legislation establishes a pilot program (maximum of 30 communities in
maximum of 6 states) to empower and provide communities the
flexibility to integrate programs and program funds across existing
Federal assistance categories. Localities must develop a local
flexibility plan which includes, among other things, specific goals
and measurable performance and a system for the comprehensive
evaluation of the impact of the plan on the participants, the
commun
Board authority to waive any requirements applicable under Federal
law necessary for the implementation of local flexibility plans.
Conferees have been named in the Senate but have not yet been named
in the House.
Department of Education Report to Congress --
The Department of Education submitted a report to the House
Appropriations Committee in response to a request that the Department
review the feasibility of consolidating programs which serve the same
populations and are directed toward the same outcomes. The
report and recommendations are to be considered in the context of
Congressional Action on legislative proposals (described below) and
the FY 1995 budget.
The Improving America's Schools Act --
This reauthorization proposal provided DoEd the opportunity to weigh
the benefits of continuing its elementary and secondary programs and
to propose consolidation and termination where appropriate. The Act
proposes to: consolidate the National Diffusion Network and the
various technical assistance centers in elementary and secondary
education into a single network of ten regional centers; consolidate
the Eisenhower Mathematics and Science Education program and the
Chapter 2 State Grants program into the Eisenhower Professional
Development program; consolidate the Drug-Free Schools and
Communities Act and the Safe Schools Act into a Safe and Drug-Free
Schools program; and, consolidate the current Immigrant Education
program into the Bilingual Education authority which would create a
targeted discretionary grant program for school districts heavily
affected by immigration instead of the current formula grant program.
The reauthorization of Improving America's Schools Act of 1992 is
also calling for the discontinuation of a list of the elementary and
secondary programs mentioned in the NPR report, including Education
for Native Hawaiians, Foreign Languages Assistance, Territorial
Teacher Training, Ellender fellowships, the FIRST program,
Educational Partnerships, General Assistance to the Virgin Islands,
Law-Related Education, Dropout Prevention Demonstrations, Civics
Education, and the payments made under sections 2, 3(b), and 3(e) of
the P.L. 81-874, the Impact Aid maintenance and operations statute.
In addition, a number of other funded and unfunded program
authorizations would also be terminated. Authority to carry
activities in areas now funded under certain of these programs, such
as foreign languages education and school recognition, would be
included in the authorization for the Fund for the Improvement of
Education, a broad discretionary program.
This bill also includes additional provisions that would allow
consolidated activities. For example, it would allow both state and
local educational agencies to submit consolidated plans -- rather
than a separate plan for each program -- in order to present a
single, comprehensive strategy for moving the state or community
toward achievement of the National Education Goals.
In addition, the bill would permit Title I schoolwide programs to
incorporate funding from other programs, so that children attending
high-poverty schools can benefit from a cohesive educational program
rather than receiving separate, often disconnected, categorical
services.
School-to-Work Opportunities Act --
As proposed to Congress, this joint initiative of the Departments of
Labor and Education gives broad discretion in planning and
implementing state-wide school- to-work transition systems. DOL, in
coordination with DoEd, has awarded grants to each State to develop
plans for bridging the gap between efforts of the State and local
entities to provide services to youth in their transition school to
work.
The Reemployment Act --
As part of the FY 95 budget, DOL has proposed a new Workforce
Security Act that will combine and expand six DOL programs for
dislocated workers. The expansion dollars are based on savings from
the elimination of several programs proven ineffective.
Worker Adjustment Career Centers (WACC) and One-stop Career Centers -
- As proposed in the Reemployment Act, states would have the
discretion to designate the number of WACC and One-stop career
centers and the geographic areas they cover in the state. In the
case of One-stop career centers, states have the discretion to
determine what programs in addition to JTPA programs will be included
under the one-stop umbrella. States also have the option of
providing dislocated worker services through WACCs or One-stop Career
Centers.
Health Care Reform --
Under the President's health care reform proposal, the Health
Security Act, states will play a crucial role in assuring quality
health services for all Americans. Within a broad federal framework,
states will have substantial flexibility to design and implement
their overall health care strategy; establish health alliances;
certify accountable health plans; monitor the quality of and access
to care; implement insurance and malpractice reforms; and design and
administer a home and community-based long-term care program. The
Health Security Act would also provide federal assistance to states
in restructuring their public health systems.
HUD's 1994 Legislation and FY 1995 Budget --
This proposed legislation and budget will dramatically transform the
way key departmental programs are authorized and administered.
HUD is the locus of the Federal Government's efforts to reduce
homelessness. A reorganized McKinney program will provide a
"continuum of care" for homeless persons through coordinated grants,
rental assistance and a food and shelter program.
The Department has begun an intensive effort to redesign the Nation's
most distressed public housing. Public housing modernization and
revitalization of distressed public housing programs will be
restructured to give public housing authorities greater flexibility
to use Federal funds and greater ability to leverage other public-
and private-sector resources in support of their goals.
HUD's community empowerment programs were redesigned to provide the
flexibility necessary to address local needs and provide others the
tools and resources they need to carry out their strategies.
Community Development Block Grant (CDBG) remains the most flexible
community-building tool. The President's Empowerment Zone Initiative
will provide grants for a range of activities at local discretion.
The Neighborhood LIFT Initiative is a new project-based grant-loan
program to promote and leverage private investment in retail,
commercial, or mixed-use development projects in distressed areas.
The Community Viability Fund is a new flexible fund designed to build
the organizational capacity of community-based groups and
institutions to conduct strategic planning and support the design and
development of public amenities.
National Transportation System --
The Department of Transportation has formulated the National
Transportation System, a planning device that will emphasize the
interconnectedness of the Nation's transportation facilities. An
illustration of how this will work is found in the Department's
proposed reauthorization of the Federal Aviation Administration's
programs. In this reauthorization, DOT has proposed a more flexible
approach to integrated airport system planning. This approach will
allow regional planning organizations to consider non-airport
components of the transportation system, provided
that airport users would benefit from these components.
The Department of Transportation has also proposed to eliminate grant
programs for rail freight and for boating safety.
Pilot Projects and Waivers
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Multi-year Grant Pilots -- EPA has awarded two multi-year pilot
projects for the water quality program whereby states receive waivers
from the regulatory requirement to submit annual grant applications.
The intent is to streamline the grants process and reduce the
administrative burden on the States. As part of the pilots, EPA
prepares a two-year program guidance, State and Federal program
managers have face-to-face negotiations, and a conflict resolution
process is established.
Plant Protection and Quarantine Service --
In August 1993, the Animal and Plant Health Inspection Service
(APHIS) at USDA established a reinvention laboratory to enhance plant
protection and quarantine service delivery through decentralization
in the Southeastern Region of the United States. The project
involves eliminating the Assistant Regional Director layer of
hierarchy and empowering State Plant Health Directors to carry out
their functions in the most effective manner. Elements of the lab
include involving State and local officials in the planning and
evaluation of programs and integrating selected State and Federal
Programs.
Employment and Training Cooperative Agreements --
USDA has entered into cooperative agreements with five State agencies
to test improved conformance between the Food Stamp Employment and
Training Program (E&T) and the Job Opportunities and Basic Skills
Program for AFDC participants. It is hoped that the project will
improve consistency and cooperation among employment and training
programs, reduce costs, eliminate barriers to appropriate services,
and enhance current E&T activities. The demonstrations will operate
for up to four years.
Distance Learning and Medical Link Program and Economic Development
Grants -- The Rural Electrification Administration (REA) at USDA has
two grant programs. One grant program, the Distance Learning and
Medical Link projects, brings medical and educational services to
rural areas through telecommunications. The other grant program,
Economic Development Grants, provides revolving funds for local rural
economic development projects. Both programs encourage applicants to
combine these grants with other funding programs by giving priority
consideration points for such combining.
The Food Stamp Program Waivers --
The Food Stamp Program (FSP) at USDA approved 153 waiver requests in
FY 1993. The waivers provide State agencies with greater flexibility
in administering the program. Waivers were approved in such areas as
recertification, length of certification periods, interview
requirements, issuance, quality control procedures, and application
requirements. The FSP also has granted a waiver in the area of
nutrition education that would allow Federal match of alternate
funding sources that will enhance the State agencies efforts at
developing nutrition education plans. In addition, the FSP approved
waivers for the New York, Oregon, and Arkansas State agencies
allowing them to implement a new type of reporting system known as
quarterly reporting. Under quarterly reporting, participating
households report changes in their circumstances on a quarterly
basis. The new reporting system helps to alleviate State agencies'
workloads while also insuring that they have accurate information
about their caseloads.
Food Stamp Waivers --
In the past year, USDA has approved Food Stamp waivers as part of
welfare reform demonstrations in l3 States. The waivers enable
states to coordinate their experimentation with the policies of both
AFDC and Food Stamps. Approved waivers affect income disregards,
resource exclusions, and the cashing out of food stamp benefits.
The Goals 2000: Educate America Act, the Improving America's Schools
Act, and the School-to-Work Act all contain provisions to permit
States and localities to obtain waivers from Federal statutory and
regulatory requirements where they can show that those requirements
impede the education reform process and when they have a plan in
place for achieving better educational outcomes for all students.
Statewide Health Reform Experiments --
HHS has approved waivers allowing five states to conduct major
statewide experiments, including OR, HI, RI, TN, and KY.
Medicaid Program Waivers for Home and Community Based services (HCBS)
and Freedom of Choice (FOC) programs in HHS --
HCBS waivers permit states to expand non-institutional long-term care
services to Medicaid recipients. FOC waivers enhance states' ability
to implement managed care programs and has made special efforts to
assist states which have not had substantial experience with managed
care. HHS is working with The National Governors' Association to
strengthen these waiver processes.
State Welfare Reform Experiments --
HHS has approved numerous welfare waiver packages that provide
considerable flexibility to states in designing welfare demonstration
projects. HHS has approved 7 state packages in 1993 with several
more expected to be approved in 1994.
Public Health Service Research Demonstration for Community Services
Network --
HHS' PHS is conducting a demonstration project through the Office of
Disease Prevention and Health Promotion for the purpose of learning
how contemporary computer and communication technologies can support
and enhance the coordination of health and human services at the
community level. Called the Community Services Workstation, the
project is underway in D.C. to test the use of advanced information
technology as a tool to assist community-level collaboration.
HOPE 6 --
Hope 6 or the Urban Revitalization Demonstration Program (URD) was
created for the purpose of revitalizing severely distressed or
obsolete public housing developments in the 40 most populous U.S.
cities. The program allows the flexibility to provide complex
packages of physical improvements and supportive services. Resources
will be available to provide job-training, literacy training, day
care, youth activities, health services, community policing and drug
treatment. Participating housing authorities must also establish a
community service program, such as youth conservation corps or
school-based service programs like literacy training. Housing
authorities were given the greatest degree to flexibility to redesign
distressed developments, by seeking participation from local and
State governments, neighborhood organizations, businesses, non-
profits, social service providers and residents.
Comprehensive Cities Program --
In FY 1994, the Department of Justice will initiate a comprehensive
crime control/community mobilization program in five or six cities
across the country that will involve comprehensive planning and
improved intergovernmental relationships. Under this program, cities
faced with high rates of drug and violent crime will develop a
comprehensive strategy for crime and drug-control which requires the
police and other city agencies to work in partnership with the
community to address crime and violence-related problems and the
environment which fosters them. Each strategy must include a
jurisdiction-wide commitment to community policing, coordination
among public and private agencies, and efforts to encourage citizens
to take an active role in problem solving.
Reinvention Activities in Atlanta, GA--
The Atlanta Federal Executive Board, in cooperation with the regional
Social Security Office, the National Treasury Employees Union,
Georgia Department of HHS, Georgia State University, and the Atlanta
Project is implementing a pilot project for a common access
application for AFDC, Food Stamps, WIC, Medicaid, SSI and Housing
Assistance. The application will eliminate the collection of
unnecessary information and allow the agency "intake" worker to make
the eligibility determination without additional interviews. This
initiative will provide one-stop customer service and reduce the
paper application from more than 50 pages to 8. The pilot will be
introduced in a local community center with staff from the Atlanta
Project and volunteers trained to assist all applicants in completing
the form and explaining the programs for which they qualify. A
customer survey will be conducted at the end of March to determine
customer satisfaction and agency efficiency with
this one-stop shopping program. Future plans are for the common
access application forms to be available in all community centers as
well as offices of each of the participating agencies.
The Alamo Federal Executive Board Reinvention Lab --
The FEB for San Antonio, TX has been designated as a reinvention lab
to highlight and assist their efforts to facilitate cooperation among
federal and local government agencies. The Alamo FEB is working to
remove unnecessary regulations and red tape and to improve internal
operations so that intergovernmental employees may work together as
partners to create flexibility and to solve problems in the
community.
Federal Highway Administration --
DOT's Federal Highway Administration has successfully tested the use
of an electronic signature to speed part of its grant delivery
process and is expanding the program to additional phases of grant
delivery and to all the administrative processes for opportunities to
eliminate and modify current requirements.
Advisory Commission on Intergovernmental Relations (ACIR) ISTEA study
-- The Department of Transportation (Federal Highway Administration)
is working with ACIR to perform case studies of approximately 12
Metropolitan Planning Organizations (MPOs) to be completed by
December 1994 with conclusions about the capacity of MPOs to carry
out the expanded responsibilities given to them by ISTEA.
ACIR's Study on the Impacts of Federal Mandates and Regulations on
Effective Schools --
The Department of Education has funded ACIR to conduct a study in
four States on the positive and negative impacts of federal mandates
and regulations on the institutionalization of the factors commonly
associated with effective schools.
California Earthquake Relief --
The Department of Transportation initiated many actions to cut red
tape and provided regulatory relief for the California Earthquake
recovery effort. A supplemental appropriation of $1.35 billion was
requested for the emergency relief program for federal aid highways.
The request included language to waive the current legislative cap of
$100 million per State per emergency, clarify that all costs incurred
during the first 180 days are federally funded, and give the DOT
Secretary and EPA Administrator authority to waive environmental laws
and regulations as needed to facilitate project reconstruction.
In addition, Federal Highway Administration (FHWA) immediately
approved nine contracts totalling $4.1 million for demolition and
shoring of damaged highway structures. The first contracts were
placed 16 hours after the earthquake occurred. FHWA also
approved a variety of innovative techniques to "shortcut" the normal
contracting process, thus expediting restoration of the
transportation system.
Also, FHWA issued an emergency declaration relieving motor carriers
who provided direct assistance to the earthquake effort of certain
Federal regulations on driver hours of service. Another DOT agency,
the Federal Railroad Administration, granted a waiver of safety
regulations for 32 Canadian passenger cares from Toronto's transit
system to supplement capacity on the Los Angeles Metrolink commuter
rail system. Certain passenger car construction standards differ
between the U.S. and Canada which, without waivers, would have
prevented even temporary operation in California.
Forest Service --
The Forest Service at USDA has allowed its State and Private Programs
area to allow state agencies to consolidate annual programs into one
cooperative agreement or grant and to receive consolidated payments.
The Rural Development Administration (RA) --
RA and the National Rural Development Partnership (NRDP) at USDA have
undertaken several efforts to be more flexible and responsive to the
needs of rural communities across the United States.
o Noting that rural entrepreneurs seeking federal and state
assistance for small businesses faced a mountain of forms asking for
similar information, the Kansas State Rural Development Council of
the NRDP worked together with federal and state agencies to a create
a single loan application.
o Frustrated local development officials complained that the audit
costs for modest-sized loans received from RA Community Facility were
too high, the South Dakota State Rural Development Council asked RA
for relief. RA responded and waived audit requirements on smaller
loans, saving rural communities $400 million nationwide.
Inter-Agency Action
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Employment and Training Administration (ETA) --
DOL's ETA has accomplished and embarked on a number of joint funding
efforts with several Federal agencies to eliminate duplication of
efforts thereby increasing the availability of resources to States
through single funding actions. Where legislation provided
flexibility in the award of certain grants, ETA was instrumental in
working jointly with the Departments of Education, Justice, Defense,
HUD and Transportation in the planning, funding and award of grants
to state and local entities. Specific examples include Defense
Conversion, Skill Standards, Youth Fair Chance, and School-to-Work
initiatives.
Defense Conversion --
DOL works with DOD in awarding grants to areas with significant
numbers of base closures. These grants are designed to provide
retraining and/or employment services to individuals displaced as a
result of these base closings. Through coordination efforts, DOL and
DOD have eliminated the requirement for grantees to report to both
departments on performance activity.
Pacific Northwest Economic Adjustment and Community Assistance
Response -- The Rural Development Administration (RA) at USDA played
a major role in preparing the Pacific Northwest Economic Adjustment
and Community Assistance Response, a step that became necessary as a
result of Federal action to curtail harvesting of old-growth timber
in certain areas of the Pacific Northwest. Eleven federal
departments and agencies, including the White House, are involved in
the public/private sector effort to develop a financial plan to
respond to the economic diversification needs of the region.
The Defense Automation Resources Information Center has a
redistribution and sharing program which allows local schools (both
public and private) and community non-profit organizations to get
excess information processing and computing equipment from military
bases under streamlined excess property procedures. These programs
include a primary and secondary school donation program and a support
program to lease excess computing gear, at no cost, to historically
black colleges and universities and minority institutions.
In April of 1993, DoEd and HHS jointly developed and published
Together We Can: A Guide for Crafting a Profamily System of Education
and Human Services. This was developed to help communities improve
coordination of education, health and human services for at-risk
children and families.
Fair Lending Task Force --
HUD, DOJ, the Comptroller of the Currency and seven other agencies
forged an historic cooperative relationship to bring the resources
and powers of all three agencies to bear on ending mortgage lending
discrimination. For the first time, joint investigation and
enforcement efforts will be undertaken and information will be
shared.
Funding Flexibility
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FEMA's Reorganization of Program and Budget Structure --
FEMA was reorganized from a programmatic to a functionally based
structure in November of 1993. This functional structure was
designed to streamline the process for FEMA's goal of customer-
oriented service to the States. The FEMA FY 95 budget has been
revised to correspond to the functional structure. For example, FEMA
restructured its civil defense program to emphasize an all- hazards,
integrated emergency management approach. Several line items in the
program were integrated to provide the States greater flexibility in
the use of FEMA resources to develop this all-hazards emergency
management capability. FEMA is also restructuring its Comprehensive
Cooperative Agreement (CCA) from a programmatic to a functional
approach for FY 1995. This approach will more closely reflect the
States' annual program planning and will eliminate duplicative work
activities and reduce associated reporting burdens; provide a more
flexible basis for Federal/State negotiations; provide greater
flexibility in the use of Federal funds to develop emergency
management capabilities; and integrate and functionally organize work
activities. The restructuring of CCA was established through a
collaborative, intergovernmental partnership between FEMA and NEMA
State representatives.
DOT has implemented two of NPR's recommendations to reduce
regulations and processing times which have improved customer service
to grantees and have provided flexibility to the grantees in terms of
"pre-award authority" to permit grantees to incur costs prior to
final Federal approval when reimbursement conditions are met.
Strengthened Partnerships
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State Capacity Implementation Steering Committee --
EPA has developed an intergovernmental steering committee to guide
efforts towards an Agency/State environmental partnership. Through
this committee, the EPA has established principles for a more
flexible grant process and are in the process of establishing the
necessary legislative strategy.
National Community Development Initiative (NCDI) --
HUD has formed a partnership with a consortium of philanthropic
foundations to help build the capacity of community development
corporations. HUD's investment of $20 million has been used to
leverage an additional $60 million of foundation funds -- making it
the largest single fund for such activity in the nation.
Reinvention Lab for Intergovernmental Partnership --
The Department of Energy's Office of Energy Efficiency and Renewable
Energy is sponsoring a reinvention lab on "Reinventing Federal,
State, and Local Partnerships." The mission of this pilot project is
to broaden DOE's network of external stakeholders, to increase
understanding of capabilities and goals, and to invent better
partnerships. Three specific activities are the focus of this
reinvention lab: 1) involve stakeholders earlier and more completely
in strategic operating and budget planning; 2) to invent more
effective and flexible ways to implement state and local provisions
of the Energy Policy Act of 1992; and 3) to build stronger public and
private collaborations to deploy new energy efficiency and renewable
energy technologies in the marketplace.
Welfare Reform --
Outreach to state and local officials has been a central component of
the Administration's welfare reform policy development process. The
White House Working Group on Welfare Reform, Family Support and
Independence, established by the President in May, 1993, has sought
and received considerable input from state and local leaders in
welfare reform.
Streamlining Internal Processes
Waiver Process Streamlining --
HHS has taken steps to simplify their waiver approval process,
including: providing concurrent review of state waiver applications
by different components of the Executive Branch; increasing
technical assistance; measuring budget neutrality over the life of
the waiver instead of annually; and, considering alternative
evaluation designs.
Streamlining and Reduction of Management Barriers --
Commerce has undergone a variety of efforts in the past year to
streamline the internal grants processes which has resulted in
reduced paperwork and faster processing of application for financial
assistance.
The Employment and Training Administration (ETA) --
ETA at Labor has streamlined its internal procurement process to
ensure a more responsive system for the solicitation, selection and
award of grants to recipients at the state and local levels.
Financial Management of Cooperative Inspection Program --
The Food and Inspection Service (FSIS) at USDA has analyzed and is
currently in the process of simplifying procedures for coordination
and control of financial management of the Cooperative Meat and
Poultry Inspection programs with State agencies. In the past, all
documentation relating to budgeting and fiscal matters was processed
through FSIS Regional Offices. Now, the State agencies will deal
directly with FSIS headquarters in these matters, permitting a faster
turn-around and eliminating additional processing steps.
International Cooperation and Development Grants and Agreements --
The Office of International Cooperation and Development (ICD) at the
USDA has taken steps to reduce record-keeping and paper work by grant
recipients. ICD has cut back on the number of forms required and the
back-up material that recipients must retain.
Grant Process Streamlining at DOT --
The Department of Transportation is working to streamline the
processing of grant applications and reporting forms. Electronic
submission of grant forms and reductions in the number and frequency
of certifications should reduce the red tape associated with the
grants process. The Department is also working to make the single
audit process more effective to reduce the oversight
demands on Federal managers and grantees.
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INITIATIVES AND ACTIONS UNDERWAY:
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Cross-medial Flexibility for Improved Environmental Performance --
The Internal EPA Performance Review has put forth a recommendation
that the Agency approve state and local pilot projects to demonstrate
cross-media flexibility for improved environmental performance. In
exchange for a certain degree of flexibility within their grants,
states will demonstrate that they are targeting high risk
environmental needs and addressing environmental concerns in a multi-
media, holistic manner. The Agency is currently drafting an action
plan for immediate implementation of this recommendation and is
seeking state and local demonstration projects. The State of
Massachusetts is currently developing an innovative pilot whereby,
through increased grant flexibility, the State will target high-
priority polluting facilities for multi-media inspection and
enforcement actions. Instead of having air, water, and waste
inspectors do three individual inspections on a polluting facility,
Massachusetts wants to have the flexibility to do all three
inspections at once. The State believes that multi-media inspections
will lead to improved compliance and enable them to identify
opportunities to reduce emissions.
Ecosystems Management Project --
EPA, the Department of Agriculture, the Department of Interior and
several other Federal agencies are working together to develop
ecosystem management projects in regions throughout the country.
This project will involve intergovernmental collaboration and
partnership.
Community Planning and Development --
HUD is developing a strategy to consolidate seven separate community
planning and development plans that state and local jurisdictions are
required to prepare. The development process is highly inclusive and
involves recipients from around the nation.
HUD's Public and Indian Housing has formed working groups with
industry to accomplish a number of objectives including the review of
statutes and regulations to consolidate and enhance flexibility.
Multi-Purpose Water Grant Provision in the Clean Water Act --
The Administration is considering incorporating grant flexibility
into the reauthorization of the Clean Water Act (CWA). States
adopting a watershed approach to water quality management would be
able to apply for the various grants available under the CWA using a
single, integrated application. States would prepare an integrated
workplan to use the multi-purpose grant which would include defined
outputs and commitments, however, the States would have the latitude
of applying these funds to their highest- risk problems.
USDA has begun negotiations with the Department of Treasury to
provide States an opportunity to include direct Federal payment
programs in their Electronic Benefit Transfer systems.
Weights and Measures Training at USDA --
Scale accuracy is of paramount importance to the Packers and
Stockyards Administration's (P& SA). P& A relies heavily on State
and local weights and measures jurisdictions to provide tests and
reports on subject scales under cooperative agreements. P& A
personnel are certified to provide training on testing of livestock
and monorail scales under a national training program of the National
Conference on Weights and Measures. P&SA personnel conducted three
training programs for State weights and measures officials this past
year and will conduct at least two this year, one of which will be
customized to meet the needs of a particular State. This program
provides specialized training to State weights and measures officials
that would not otherwise be available.
Revisions to the Advance Planning Document Process --
The Food and Nutrition Service (FNS) at USDA has been meeting with a
joint Federal-State policy group to revise the Advance Planning
Document (APD) process. The initial effort is to focus on provisions
which may be changed without regulatory action. Included in the
proposed changes is the suggestion to increasing the dollar threshold
for Federal approval. This proposal will eliminate federal
involvement in minor systems changes that normally are not a problem,
but which require staff resources to produce, review, and approve the
outlays.
The Food Stamp Program (FSP) at USDA has drafted two proposed rules
that would simplify current regulations and increase State agency
flexibility in administering the FSP. The first rule, entitled
Simplification of Program Rules, proposes changes in the areas of
recertification, standard utility allowances, residency, length of
certification periods, and notice requirements. As well as providing
State agencies with greater flexibility, many of the changes promote
conformance with procedures in the Aid to Facilities with Dependent
Children (AFDC) Program. The second rule, entitled Provisions on
General Assistance Vendor Payments and Student Earnings form Pub. L.
103-66 and changes in Requirements for Anticipating Income and
Reporting Changes, includes provisions that would simplify procedures
for handling reported changes in household circumstances. Both rules
are currently in clearance in USDA.
Business and Industry Audited Financial Statements --
The Rural Development Administration (RA) at the USDA has proposed,
subject to final clearance, to relax the requirements for Business
and Industry borrowers to furnish annual, audited financial
statements. Currently, the regulations require audited statements
from all borrowers, except seasoned loans, with a balance of $100,000
or less. The proposal would allow RA to accept unaudited annual
statements from new borrowers receiving loans not exceeding $500,000.
The proposal also will allow unaudited annual statements from all
borrowers that have provided audits for three years, are current on
repayment, and have a loan balance not exceeding $1,000,000. This
action will make the program more attractive and effective for small
businesses.
Child Support Enforcement Program as a GPRA Lab--
This pilot program will collaborate with State and local governments
in establishing and achieving performance goals related to
establishment of paternity, court orders, cases in payment, and
collections compared to targets.
Cooperative Extension Service as a GPRA Lab --
The Extension Service currently conducts 7 base programs and 8
national initiatives. Four of the 8 national initiatives would form
the pilot program. These are: (1) Communities in Economic
Transition, including job, business, and market creation and increase
in tourism; (2) Plight of young children, including fostering
development of children in limited resource families and closing gaps
in services to these families; (3) Decisions for health including
childhood immunization and community health initiatives; (4) Food
safety and quality, including reducing the incidence of food-borne
illness. This pilot involves 1200 FTEs at the State and local
levels.
DOL Waivers --
Labor is considering waivers of regulations pertaining to its
programs in connection with state efforts to develop comprehensive
school-to-work transition systems and to provide comprehensive
employment and training services One-stop Career Centers. In
addition, DOL will also consider regulatory waivers affecting its
programs that deliver services in enterprise communities and
empowerment zones.
DOT Training Summit --
The Department of Transportation is convening a training summit which
will involve federal, state, metropolitan planning organizations,
city, county, transit officials and others in understanding the
Intermodal Transportation Efficiency Act of 1991 which expanded
opportunities to use transportation funding in a flexible manner.
DOT is also developing training courses in topics including public
participation in transportation planning, systems planning,
congestion management, and intermodal management systems. The
Department is also preparing a video for metropolitan planning
officials and a catalog of DOT supported training and outreach on
transportation planning and programming. Other measures are also
being taken to aid local officials in taking advantage of new
opportunities.
HHS Workgroup --
The Department has established an ongoing workgroup comprised of
staff offices and operating units to focus on improving customer
services through service integration and other approaches to program
innovation, comprehensiveness and Federal flexibility. With an
initial focus on children/families and the aging, the workgroup is
developing recommendations concerning: opportunities for
consolidating application and reporting requirements for Federal
programs; innovative criteria for evaluating coordinated or
integrated service systems at the local level; model training
programs for integrated or coordinated service staff at the local
level; and, potential opportunities for compatible program
eligibility requirements, program consolidations and/or
organizational improvements.
In addition, other HHS activities include: the development of a
continuing locus of assistance to state and local governments in
removing barriers in federal rules (or, in other words, a single
point of contact approach); the coordination of planning with other
departments on reducing violence; and, the establishment of better
linkages among selected programs at the community level.
HUD is currently take steps to create better linkages across programs
that are focusing on discrete elements of a related problem. For
example, HUD has designed economic opportunity grants to compliment
the family investment center initiative. Likewise, the allocation of
child care services and apprenticeship funds have been coordinated
with the overall strategy on the Jobs for Residents objective. HUD's
homeownership strategy will also draw the necessary linkages between
the National Homeownership Trust, the consolidated HOPE program,
homeownership counseling and the traditional FHA insurance for single
family homes.
HUD's Public Housing Modernization Regulations --
Public housing authorities will be given far more flexibility to
administer funds that have been backlogged, partially because of
burdensome regulatory requirements.
HUD's Five Component Reinvention Plan includes efforts for program
consolidation and simplification, reorganization of field structure
to simplify processes, revision of HUD Reform Act, and development of
work measurement indicators for each program office.
Department of Commerce --
As a part of the NPR effort, the United States Travel and Tourism
Administration (USTTA) is currently coordinating an extensive review
by the legislatively-established Tourism Policy Council (TPC) of all
Federal tourism programs in an effort to develop a coordinated and
comprehensive Federal tourism strategy. The TPC is comprised of the
heads of 15 Federal Departments and agencies that are involved in
travel and tourism. It is anticipated that by May 1994, the Council
will submit a report to the Vice President which will address
coordination and consolidation of activities. While current grant
activity in support of tourism appears to be limited, it is plausible
that the final strategy could call for consolidation of grant
programs. In addition, USTTA and the Economic Development Agency are
already cooperating in coordinating and administering disaster relief
grants related to travel and tourism.
Federal Housing Administration --
Under HUD, FHA has established a series of working groups to explore
transforming the mission of the agency as well as the way it does
business.
In addition, HUD, with the assistance of Price Waterhouse, has
reviewed two programs and established plans to completely restructure
the public modernization programs and the FHIP using business
reengineering to achieve increased efficiency.
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