Statement_of_Work-2018.docx

Statement of Work (SOW) For Independent Residential Market Surveys

1.0 Organization: U.S. Department of State, Bureau of Overseas Buildings Operations (OBO)

1.1 Requesting Office: Directorate of Planning & Real Estate, Office of Real Property Leasing (PRE/RPL)

2.0 Background: PRE/RPL is responsible for managing the overseas housing program that provides secure, safe and sound residential housing for over 20,000 U.S. government employees assigned to approximately 265 embassies and consulates in major cities worldwide. OBO/PRE/RPM has primary responsibility for negotiation, validation and approval of all overseas residential leasing requests based on the employee rank and family size, rental property location, housing type, condition, quality, size requirement, and rental cost.

2.1 Need: A current and accurate global residential rental market rate analysis and report (Survey) for up to 212 cities across all regions around the world. A survey for each city is needed to serve as a tool and reference for OBO for the establishment of the rental rate standards and guidelines used for the determination and justification of lease approval authority for the day-to-day operations at U.S. missions abroad, and for setting residential rental cost ceilings.

2.2 Purpose: The purpose of the residential rental market surveys is to provide an objective and accurate assessment of current market conditions for rental housing in the identified cities. The objective of the survey is to:

1. Allow OBO to determine whether the rents currently paid by the United States Government (USG) for its leased housing portfolio are reasonable and consistent with the current market;

2. Determine an appropriate range of rental rates for leased housing that meets the USG requirements for size and location, security and safety;

3. Provide the USG with guidance on typical lease terms and conditions (not lease language), which it can use for current and future negotiations;

4. Assist the USG with the management of its overseas housing costs.

3.0 Responsibility: This is a firm fixed-price contract. The contractor shall furnish all supervision, labor, materials, supplies and equipment necessary.

1. The contractor shall provide residential rental rate information for the overall targeted residential areas in up to 212 cities across the world as outlined by region in Annex A. This effort will include data collection; residential rental cost analysis; development of appropriate price standards; development of a housing cost matrix by employee rank and family size. A sample housing cost matrix is attached in Annex B.

1 The sample housing cost matrix in Annex B is provided for information purposes only. The contractor is not bound to the exact format presented in the sample however; the matrix and market survey deliverables should be consistent in form and must include all the information requirements set forth in the SOW.

2. The matrix information will enable OBO and overseas posts to compare rental rates for the current and proposed housing inventory with actual market rental rates. (Market is defined here as residential property comparable to that leased for USG employees assigned to US embassies and consulates overseas).

a. The contractor shall include in the market survey a discussion of typical market lease terms and conditions, including but not limited to length of lease, rent escalations, advance lease payments, concessions, agent fees, security deposits, and operating expenses. If there are condominium or service fees, the contractor should identify what costs make up those fees; i.e. utilities, internet or cable TV hook-ups or service; grounds keeping; pool maintenance; maid service; etc. as well as other relevant market information, local customs and market conditions.

b. The contractor is also responsible for providing a written monthly performance report to indicate which city residential rental survey report deliverables were completed and forwarded to OBO.

3.1.0 Factors for Consideration: The contractor shall accommodate the following factors in the market survey:

3.1.1 Measurement of Space. USG residential space standards are based on net usable living area. Since the USG definition of gross and net areas may not match local industry standards, the survey must also include a brief narrative describing the local standards of net and gross measurements and what they include. Local standards will then be compared to USG net measurements to develop a typical USG-net-to-local-gross ratio.

3.1.2 Cost Criteria. Rental costs should be stated in US dollars, local currency, and the currency real property leases are transacted (if other than local currency) on a annual and per square meter basis. The date and exchange rate at the time the data was collected must also be included.

3.1.3 Locations. The market survey must include the identified geographic areas or neighborhoods considered suitable for occupancy by USG personnel, as provided to contractor by OBO. Notwithstanding, the contractor is also asked to consider the neighborhoods where other expatriates reside whether or not the post supports the location of USG Staff in these locations. The contractor must survey properties located in all areas utilized by the expatriate community and identify examples of who makes up the ex-pat community.

3.1.4 Tabulating of Survey Results. The market survey results should include information on residential properties according to USG space standards with proper locality adjustment. Due to different “quality of life” at every post, OBO established three levels of locality index based on the availability of cultural and recreational activities, climate, security and isolation. These space standards are predicated on rank and number of occupants, and are the maximum area allowable within the same locality. They should not be construed as targets to be sought for housing. The space standards are attached in Annex C.

Upon award of the contract, OBO will provide the contractor with the Locality Code for each city to be surveyed. OBO will also provide the contractor with a list of targeted neighborhoods within a city in advance of each projected market survey.

4.0.0 Methods of Data Collection: The contractor shall utilize the following methods of data collection for gathering accurate data that is not more than three months old for the survey reports:

a) Contractor possesses current and relevant existing market data in its inventory. The data shall include the surveyed area name and location of the neighborhoods and distance between the surveyed areas and the current U.S. Embassy or Consulate and existing USG leased areas with full demographic information.

b) If the contractor possesses no current relevant data, the contractor shall utilize its local reliable contact sources to obtain or conduct a local survey to obtain the necessary and required data for generating a thorough analysis for report publication.

c) If the contractor has exhausted all other options, the contractor shall organize a team to conduct a physical on-site survey to collect the data.

4.1 Items and Quantities: The target cities are listed in Annex A. With the exception of the first 20 cities to be delivered, which will be identified by OBO at the time of the contract award or the start of each renewal period if exercised, the priority of the reports should based on the age of the current market data / market surveys that the contractor has readily available. However, OBO may at its sole discretion, at anytime during the contract period prioritize the list of cities / posts for delivery.

5.0 Final Report: The final deliverable for each city shall include the following:

1. A housing cost matrix, (a sample template is provided in Annex B) for each city covering the residential rental guidelines for USG levels of housing (standard, mid-level, executive) by family size (1-2, 3-4, 5-6) and the date of the data collection. This information should be presented by residential neighborhood or sector and must include a map of the housing locations. OBO will provide the contractor with a list of neighborhoods in advance of each projected survey. With the submission of the final report the contractor should also provide an electronic version of all data summary tables in an unlocked, usable Microsoft Excel format.

a) A brief discussion of the housing issues in each specific neighborhood identified and any pertinent information that might make that neighborhood different or unique in terms of rental housing costs. Include in the analysis, if applicable, a breakdown of the percentage of units in the rental market that are multi-family units and single family residences in the selected neighborhoods. Also, to the extent there are identifiable differences in the rental costs between the various types of housing units (for example: 3-bed apartment versus 3-bedroom condominiums and 3-bedroom single family houses) then the contractor should discuss these differences and breakdown in the matrix the rental cost differences of the different types.

b) Any other information as described in Sections 3.0.0 – 3.1.4 of this SOW, if not already included by the contractor elsewhere in the report.

The final reports must be conveyed electronically through a web-based format with all narrative documents, spreadsheets, maps, and photographs. Additionally, the final reports must be conveyed in two (2) sets of CD-ROM format with all narrative documents, spreadsheets, photographs, maps, exhibits, addenda, enclosures, etc. All reports and information must be provided in English and be acceptable to OBO.

5.1 Delivery/Due Dates: The contractor, upon award of the contract, shall provide the initial deliverable that is acceptable to OBO, covering the initial 20 cities, which will be identified by OBO at time of award, to OBO/PRE/RPL within 30 working days of the date the contract begins. Thereafter, the contractor shall provide deliverables covering twenty (20) cities per month until all cities listed are completed, which shall be no later than twelve (12) months from the date the contract begins. However, during the four (4) months of May, June, July and August, the contractor shall only provide six (6) market surveys per month, with exception of the initial 20 cities required at the start of the contract, or each renewal period, as cited above.

5.2 Late Fee: If the deliverable is not delivered on or before the contractually agreed to date, and there is no mutual understanding between the USG and the contractor that the report(s) will be late for good cause, the USG reserves the right to impose a 2% daily base fee reduction as penalty for each deliverable that is late.

6.0 Point of Contact: The OBO/PRE/RPM point of contact is Antrease Brown, Realty Specialist at (703) 875-5121; E-mail: brownm2@state.gov. The Contracting Officer’s Representative (COR) for this project will be identified prior to award.

7.0 Bids/Pricing: The contractor’s pricing is to be based on the assumption that it anticipates collecting the information for all the cities listed in Annex A. The contractor should identify the cities which would have an exceptional cost based on the contractor having little or no information readily available. When submitting a good faith and competing estimate, the contractor shall provide a proposal to include the methods of data collection to be utilized as described in 4.0 Methods of Data Collection. In addition, in justifying the estimate the contractor shall provide an existing comprehensive list of identified city names including the most common and popular areas and neighborhoods (where most of the expatriates reside) that the contractor has current and useable data within its inventory. OBO reserves the right to change or swap, a city listed in Annex A with 30 day written notice to the contractor. For example, OBO may choose to have two reports for one city, one now and a second report in 12 months, in lieu of having a report for one of the other cities on the list.

a) All Fee quotes must be all-inclusive; therefore, all travel and incidental costs shall be included.

b) Fee quotes must be detailed by city / report.

c) All fee quotes must include Defense Base Act (“DBA”) insurance costs and those insurance costs must be shown (itemized) in the quote submitted. Note that A/LM/AQM may require, when they issue a Purchase Order, that the winning bidder send OBO a copy of their policy.

d) Fee quotes must remain valid for a period of up to twelve (12) months.

7.1 Evaluation Criteria: The vendor selection criteria are based on the product integrity and completeness, vendor reputation and professionalism, experience and the timeliness of the product deliverables. The criteria are outlined as follows:

a) Experience. The contractor shall have a minimum of three years of experience involved in international residential real property data collection and analysis and global real estate market data and survey experience along with established local contacts with professional real property management companies, developers, appraisers, title companies, and real estate attorneys and other real estate professionals in cities around the world necessary to meet the requirements of this SOW with an understanding of the local tax, customs and legal obligations in the identified foreign cities. The contractor shall have solid evidence of providing quality real property market and property information to USG agencies and/or the private sector which would meet the types of information required in this SOW. The vendor must submit their credentials with the submission of the fee/bid quote.

b) Key Personnel: The contractor’s key personnel shall each have a minimum of three years of experience involved in international real estate and real property data collection and analysis commensurate with the requirements of this SOW. Resumes of the Key Personnel should be included with the contractor’s credentials and bid / fee quote.

c) Methodology of Data Collection: The contractor shall provide a synopsis of its methodology for collecting and analyzing international real estate markets and residential real property data all the various regions around the world.

d) Availability and Quality of Data. Readily available accurate current rental market data for major cities around the world. Ability to gather data quickly from multiple US domestic and international sources that will meet the requirements of the USG for this SOW.

e) Pricing. Competitive pricing for delivery of off–the-shelf data as well as new data, to include on-site collection in foreign locations.

7.3 Period of Performance: The period of performance is twelve (12) months with four (4) one-year options for renewal, at the sole discretion of OBO.

7.4 Level of Performance Expected: Project must be completed to the satisfaction of the U.S. Government within the timelines established by COR. The minimum target level is the completion of the global rental market surveys for up to 212 cities (listed in Annex A).

8.0 Other Conditions: Unanticipated and adverse changes in security conditions beyond the contractor’s control may result in cancellation of such collection efforts in affected locations. In such an event, the contractor will use the most recent housing data available or, if such data is more than twelve (12) months old, the report for the affected location(s) will be cancelled or replaced by other substitutions at OBO’s discretion.

9.0 Payment: The contractor shall be paid, in accordance with federal regulations, in monthly installments after the start of the contract and following OBO receipt and approval of the scheduled deliverables for the preceding month and upon receipt of the vendor’s invoice for the same preceding month period.

ANNEX A: LIST OF ALL PROPOSED POSTS

ANNEX B: SAMPLE MAXTRIX

ANNEX C: GOVERNMENT-WIDE RESIDENTIAL HOUSING SPACE STANDARDS CHART (in square feet and square meters)

ANNEX A

ANNEX C

Space Standards Charts Shown in Square Feet and Square Meters

LOCALITY 1

Rank

Number of Occupants

Executive

Middle

Standard

LOCALITY 2 (10 Percent Increase over Locality 1)

LOCALITY 3 (10 Percent Increase over Locality 2)