Federal grant eligibility is open to individuals, government agencies, not-for-profit organizations, small businesses, educational institutions, public housing, for-profit organizations, and others. Each grant announcement specifically addresses applicant eligibility since it varies by federal grant program.
There are two ways an organization, referred to Agency A below, can expand its opportunities to apply for grants when it does not meet the applicant eligibility requirements. In order to consider these options, Agency A will have to be flexible about letting another entity serve as the grantee organization to oversee the grant program.
First, another organization (Agency B) meeting the eligibility requirements can apply for the grant and purchase services from Agency A. In this scenario, Agency A provides the program elements while Agency B administers the grant. As an example of how this can work, Sharon is a media producer who wants to produce a documentary about the Berlin Wall. She is not eligible as an individual to apply for a grant from the National Endowment for the Humanities. Sharon occasionally volunteers at a Jewish Community Center (JCC) and approached the center with her concept. The JCC, a not-for-profit organization, meets the applicant eligibility criteria. The center is willing to apply for and administer the grant, and Sharon will write it and produce the documentary.
The second option is for Agency A to form a partnership with an organization meeting the applicant eligibility requirements. The local police department, for example, may be interested in a grant from the Department of Education to conduct crime prevention programs for youth that only educational institutions are eligible to apply. The department could form a partnership with a school district to pursue the grant. This option differs slightly from the first one because both agencies would be involved in the design and delivery of the grant program. Partnerships can be formed between government agencies, educational institutions, community service organizations, businesses, health care providers, professional trade organizations, and others.
In conclusion, organizations should look for creative ways to approach applying for federal grants when they are not eligible to apply. In doing so, an organization has to be flexible about serving as the grantee or administering agent for the grant program. Organizations choosing to participate in either of the options described above would be wise to take an active role in writing the grant application and to sign a written agreement clarifying the roles and expectations of each organization.
