2-RFP 2023-104 PBVs Addendum No. 1 final.pdf

Page 1 of 3 Addendum 1 to RFP

A D D E N D U M N U M B E R 1

September 14, 2023

RFP No. 2023-104-Project Based Vouchers

Housing Authority Prince George’s County

Department of Housing and Community Development

9200 Basil Court, Suite 500

Largo, MD 20744

Note: Proposals received are not publicly opened.

Receipt of this Addendum is to be acknowledged by the Respondent by signing, dating, and submitting with the proposal. Failure to do so may render the submission non-responsive.

The following revisions, clarifications, additions, and/or deletions are included in this Addendum No. 1 to the subject RFP and are to be fully incorporated into each Respondent’s submission for work solicited therein.

Respondent acknowledges receipt of Addendum: __________________________ ________________

Respondent’s Signature Date

The proposal due date remains Friday, September 29, 2023 at 1:00 p.m. EST

QUESTION 1:

Should the applicant be the actual ownership entity (ie the legal name of the project) or the sponsor and managing member (in this case, Housing Initiative Partnership or HIP).

I would think you’d want HIP as we’re the ones with the 35-year track record who can point to prior experience, as opposed to the actual ownership entity which is a single purpose LLC.

HAPGC Response:

The applicant should be the actual ownership entity. For developments that have a managing member or component to the submission, can document that experience the response to demonstrate prior experience and capability.

QUESTION 2:

We are pursuing a ground up new construction family project that will be funded with 9% LIHTC, if our application is accepted. One of the best tools to maximize Maryland DHCD scoring for 9% LIHTC is to have Project Based Vouchers (PBV’s). From a scoring perspective, the PBV’s allow for deep income targeting, operating subsidy, and maximizes the size of the private loan, enhancing our leveraging scoring.

Page 2 of 3 Addendum 1 to RFP

Commitment of PBV’s well before the 60-day place in service date, allows for the incorporation of this tool into the financing plan at funding application stage, thereby maximizing the chance for PGHABC to provide high quality, brand new, units for families on your waiting list. We respectfully request that you waive this requirement for ground up projects, or at a minimum, waive this request for projects seeking 9% LIHTC funding.

All submissions will be reviewed and considered for selection. In past RFPs, HAPGC has selected opportunities for new construction. The current need for existing housing is based on the urgent and immediate need for affordable housing, however future opportunities can be modified to fit this request.

QUESTION 3:

Ineligible uses include high rise elevator project for families with children. Does this mean only VASH would be accepted in a high rise? What qualifies as high rise? Number of stories of height?

HAPGC may not attach or pay PBV assistance to a high-rise elevator project that may be occupied by families with children unless it initially determines there is no practical alternative, and HUD approves such finding. A building occupied by elderly or disabled would be accepted in a high-rise. A high-rise building is a structure that requires an elevator, and elevators are required for buildings with 3 or more floors.

QUESTION 4:

For an existing building: are currently occupied units (that do not receive subsidy) eligible for inclusion? Our building has several vacancies now but is mostly occupied with unsubsidized tenants.

Can those units be designated for project-based vouchers, and receive subsidy when the unit eventually turns over?

Respondents entering into, a PBV HAP contract, all units offered and selected for PBV’s must pass an initial inspection, which requires the unit to be vacant. A respondent may later ask to have units added to the contract at a later on during, and upon agency review and approval the contract may be modified to include for additional units.

QUESTION 5:

For planned new construction projects intending to apply for LIHTC construction financing, would an application for project-based vouchers be possible prior to construction completion? Or would we need to wait until construction completion with an imminent certificate of occupancy?

Page 3 of 3 Addendum 1 to RFP

Yes, respondents can apply for PBV before construction is complete. If the units are under rehab or construction, HAPGC may choose to go into an Agreement to Housing Assistance Payment (AHAP) contract to secure a mutual agreement to lease the units under PBV upon completion.

QUESTION 6:

The program requirements mention: “#13: A unit subsidized with any governmental subsidy that covers all or any part of the operating costs of the housing”. Does this disqualify properties from having a PILOT as well?

PILOT (Payment in lieu of Taxes), is an agreement between a property and a taxing authority which allows a company to make tax payments on an agreed schedule instead of paying the standard tax. Since this program does not cover any part of the operating cost, properties with the PILOT program are not disqualified.

QUESTION 7:

Are existing housing properties required to meet the UFAS requirement?

No, existing housing properties are not required to provide UFAS units. However, if the respondent is offering UFAS units, the units must be identified in the proposal and pass an inspection to ensure the units meet UFAS standards. Additionally, if a respondent does not provide UFAS units points will not be awarded in the scoring criteria.

QUESTION 8:

Is there any preference given to new construction v. substantial rehab v. existing housing in the selection process?

Preference is given to existing housing or units under construction or substantial rehab that will be available for occupancy within 60 days of the award.

***** END OF ADDENDUM NO. 1 *****

Attachment 1 - HAPGC PBV Rounds Schedule

ATTACHMENT 1 – (HAPGC Rounds for PBV’s)

PROCUREMENT SCHEDULE DATES for ROUNDS 1 to 4

REQUEST FOR PROPOSAL FOR PROJECT-BASED VOUCHERS

(All times are Eastern Standard Time) All times listed are subject to change per HAPGC Directive)

EVENT DATE

DATE RFP Advertised August 25, 2023

Round 1 Pre-Proposal Conference September 1, 2023 Deadline for receipt of Round 1 questions athttps://hapgcprocurement.bonfirehub.com/portal/?tab=openOpportunities September 6, 2023

Deadline HAPGC will post answers to Round 1 questions at https://hapgcprocurement.bonfirehub.com/portal/?tab=openOpportunities

September 13, 2023

Deadline for the receipt of Round 1 RFP September 29, 2023

1:00 PM

EVENT DATE

DATE RFP Advertised November 13, 2023

Round 2 Pre-Proposal Conference November 21, 2023 Deadline for receipt of Round 2 questions athttps://hapgcprocurement.bonfirehub.com/portal/?tab=openOpportunities November 28, 2023

Deadline HAPGC will post answers to Round 2 questions at https://hapgcprocurement.bonfirehub.com/portal/?tab=openOpportunities

December 5, 2023

Deadline for the receipt of Round 2 RFP December 15, 2023

2:00 PM

EVENT DATE

DATE RFP Advertised February 6, 2024

Round 3 Pre-Proposal Conference February 13, 2024 Deadline for receipt of Round 3 questions athttps://hapgcprocurement.bonfirehub.com/portal/?tab=openOpportunities February 20, 2024

Deadline HAPGC will post answers to Round 3 questions at https://hapgcprocurement.bonfirehub.com/portal/?tab=openOpportunities

March 5, 2024

Deadline for the receipt of Round 3 RFP March 19, 2024

2:00 PM

EVENT DATE

DATE RFP Advertised May 13, 2024

Round 4 Pre-Proposal Conference May 22, 2024 Deadline for receipt of Round 4 questions athttps://hapgcprocurement.bonfirehub.com/portal/?tab=openOpportunities May 29, 2024

Deadline HAPGC will post answers to Round 4 questions at https://hapgcprocurement.bonfirehub.com/portal/?tab=openOpportunities

June 5, 2024

Deadline for the receipt of Round 4 RFP June 19, 2024

2:00 PM