25-468W1250 PSH-OMS and HTF-O&M NOFO.pdf

STATE OF WASHINGTON

DEPARTMENT OF COMMERCE

NOTICE OF FUNDING OPPORTUNITY (NOFO)

NOFO NO. ____25-468W1250__________

NOTE: Please read this entire document before submitting a response. Responses that do not meet one or more requirement stated herein may be disqualified and not scored.

PROJECT TITLE: Housing Trust Fund Operations & Maintenance Program (HTF-O&M) / Permanent Supportive Housing Operations, Maintenance, Services Program (PSH- OMS) Notice of Funding Opportunity

PROPOSAL DUE: __October 14, 2024________ at 5:00__, Pacific Time, Olympia, WA

ESTIMATED TIME PERIOD FOR CONTRACT: January 1, 2025 – June 30, 2025

APPLICANT ELIGIBILITY: This NOFO is open to those Applicants which satisfy the minimum qualifications stated herein and are available for work in Washington.

Per RCW 36.22.250 (5.b.i) eligible applicants for HTF-O&M program funds include housing projects, or units within housing projects, that are in the state's housing trust fund portfolio, are affordable to extremely low-income households with incomes at or below 30 percent of the area median income, and require a supplement to rent income to cover ongoing operating expenses

Per RCW 36.22.250 (5.b.ii) eligible applicants for the PSH-OMS program funds include permanent supportive housing projects, or units within housing projects, that have received or will receive funding from the housing trust fund or other public capital funding programs. The supported projects or units must be dedicated as permanent supportive housing as defined in RCW 36.70A.030, be occupied by extremely low-income households with incomes at or below 30 percent of the area median income, and require a supplement to rent income to cover ongoing property operations, maintenance, and supportive services expenses.

FUNDING SOURCE AND METHOD: This is legislatively appropriated state general funds and document recording fee funding under the Affordable Housing For All Account (RCW 43.185C.190). Payments will be made on a cost reimbursement basis for accepted and/or allowable time and expenses.

CONTENTS OF THE NOTICE OF FUNDING OPPORTUNITY:

1. Introduction

2. General Information for Applicant

3. Proposal Contents

4. Evaluation and Award

5. Exhibits

Table of Contents

1. INTRODUCTION

PURPOSE AND BACKGROUND

OBJECTIVES AND SCOPE OF WORK

MINIMUM QUALIFICATIONS

FUNDING

PERIOD OF PERFORMANCE

CONTRACTING WITH CURRENT OR FORMER STATE EMPLOYEES

DEFINITIONS

ADA

2. GENERAL INFORMATION FOR APPLICANT

NOFO COORDINATOR

ESTIMATED SCHEDULE OF PROCUREMENT ACTIVITIES

QUESTION AND ANSWER PERIOD

PRE-PROPOSAL CONFERENCE

THIS SECTION INTENTIONALLY REMOVED

SUBMISSION OF PROPOSALS

PROPRIETARY INFORMATION AND PUBLIC DISCLOSURE

REVISIONS TO THE NOFO

DIVERSE BUSINESS INCLUSION PLAN

ACCEPTANCE PERIOD

COMPLAINT PROCESS

RESPONSIVENESS

MOST FAVORABLE TERMS

CONTRACT GENERAL TERMS & CONDITIONS

COSTS TO PROPOSE

NO OBLIGATION TO CONTRACT

REJECTION OF PROPOSALS

COMMITMENT OF FUNDS

ELECTRONIC PAYMENT

INSURANCE COVERAGE

3. PROPOSAL CONTENTS

LETTER OF SUBMITTAL (MANDATORY)

CERTIFICATIONS AND ASSURANCES (MANDATORY)

NEW FUNDING REQUEST APPLICATION WORKBOOK (Chose HTF-O&M or PSH-OMS workbook depending on the eligible project you are applying for) (TECHNICAL, PROGRAMMATIC, AND BUDGETARY IDENTIFICATION OF COSTS/REVENUE MANDATORY - Scored)

4. EVALUATION AND CONTRACT AWARD

EVALUATION PROCEDURE

EVALUATION BREAKDOWN

VIRTUAL PRESENTATIONS MAY BE REQUIRED

NOTIFICATION TO APPLICANT

DEBRIEFING OF UNSUCCESSFUL APPLICANT

PROTEST PROCEDURE

5. NOFO EXHIBITS

Exhibit A Certifications and Assurances Exhibit B Diverse Business Inclusion Plan Exhibit C Workers’ Rights Certification Exhibit D Example PSH-OMS and HTF-O&M Grant Contract with General Terms and Conditions Exhibit E HTF-O&M and/or PSH-OMS New Funding Request Application workbook containing technical, programmatic and budgetary information – Access form through BOX folder

Table of Contents

Face Sheet

Federal Agency:

Special Terms and Conditions

1. DEFINITIONS

2. AUTHORITY AND INTRODUCTION

3. GRANT MANAGEMENT

4. PSH OMS GRANT RENEWAL FUNDING REQUEST

5. AUTHORIZED USE OF GRANT AWARD

6. COMPENSATION

7. ELIGIBLE USE OF GRANT AWARD

8. GRANTEE DELIVERABLE REQUIREMENTS

9. PERFORMANCE STANDARDS

10. AWARD COMMITMENT PERIOD

11. BILLING PROCEDURES AND PAYMENT

12. BUDGET REVISIONS

13. FINANCIAL MANAGEMENT SYSTEMS

14. SUBGRANTEE DATA COLLECTION

15. INSURANCE

16. FRAUD AND OTHER LOSS REPORTING

17. APPROVAL

18. CONFORMANCE

19. COMMERCE DATA COLLECTION

20. OWNERSHIP OF PROJECT MATERIALS

21. ORDER OF PRECEDENCE

General Terms and Conditions

1. DEFINITIONS

2. ACCESS TO DATA

3. ADVANCE PAYMENTS PROHIBITED

4. ALL WRITINGS CONTAINED HEREIN

5. AMENDMENTS

6. AMERICANS WITH DISABILITIES ACT (ADA) OF 1990, PUBLIC LAW 101-336, also referred to as the “ADA” 28 CFR Part 35

7. ASSIGNMENT

8. ATTORNEYS’ FEES

9. CONFIDENTIALITY/SAFEGUARDING OF INFORMATION

10. CONFLICT OF INTEREST

11. COPYRIGHT

12. DISPUTES

13. DUPLICATE PAYMENT

14. GOVERNING LAW AND VENUE

15. INDEMNIFICATION

16. INDEPENDENT CAPACITY OF THE GRANTEE

17. INDUSTRIAL INSURANCE COVERAGE

18. LAWS

19. LICENSING, ACCREDITATION AND REGISTRATION

20. LIMITATION OF AUTHORITY

21. NONCOMPLIANCE WITH NONDISCRIMINATION LAWS

22. PAY EQUITY

23. POLITICAL ACTIVITIES

24. PUBLICITY

25. RECAPTURE

26. RECORDS MAINTENANCE

27. REGISTRATION WITH DEPARTMENT OF REVENUE

28. RIGHT OF INSPECTION

29. SAVINGS

30. SEVERABILITY

31. SITE SECURITY

32. SUBGRANTING/SUBCONTRACTING

33. SURVIVAL

34. TAXES

35. TERMINATION FOR CAUSE

36. TERMINATION FOR CONVENIENCE

37. TERMINATION PROCEDURES

38. TREATMENT OF ASSETS

39. WAIVER

ATTACHMENT A – PERMANENT SUPPORTIVE HOUSING (PSH) OPERATING, MAINTENANCE,

AND SUPPORTIVE SERVICES (OMS) GRANT GUIDELINES

Table of Contents

Face Sheet

Federal Agency:

Special Terms and Conditions

22. DEFINITIONS

23. AUTHORITY AND INTRODUCTION

24. GRANT MANAGEMENT

25. HTF O&M GRANT RENEWAL FUNDING REQUEST

26. AUTHORIZED USE OF GRANT AWARD

27. COMPENSATION

28. ELIGIBLE USE OF GRANT AWARD

29. GRANTEE DELIVERABLE REQUIREMENTS

30. PERFORMANCE STANDARDS

31. AWARD COMMITMENT PERIOD

32. BILLING PROCEDURES AND PAYMENT

33. BUDGET REVISIONS

34. FINANCIAL MANAGEMENT SYSTEMS

35. SUBGRANTEE DATA COLLECTION

36. INSURANCE

37. FRAUD AND OTHER LOSS REPORTING

38. APPROVAL

39. CONFORMANCE

40. COMMERCE DATA COLLECTION

41. OWNERSHIP OF PROJECT MATERIALS

42. ORDER OF PRECEDENCE

General Terms and Conditions

40. DEFINITIONS

41. ACCESS TO DATA

42. ADVANCE PAYMENTS PROHIBITED

43. ALL WRITINGS CONTAINED HEREIN

44. AMENDMENTS

45. AMERICANS WITH DISABILITIES ACT (ADA) OF 1990, PUBLIC LAW 101-336, also referred to as the “ADA” 28 CFR Part 35

46. ASSIGNMENT

47. ATTORNEYS’ FEES

48. CONFIDENTIALITY/SAFEGUARDING OF INFORMATION

49. CONFLICT OF INTEREST

50. COPYRIGHT

51. DISPUTES

52. DUPLICATE PAYMENT

53. GOVERNING LAW AND VENUE

54. INDEMNIFICATION

55. INDEPENDENT CAPACITY OF THE GRANTEE

56. INDUSTRIAL INSURANCE COVERAGE

57. LAWS

58. LICENSING, ACCREDITATION AND REGISTRATION

59. LIMITATION OF AUTHORITY

60. NONCOMPLIANCE WITH NONDISCRIMINATION LAWS

61. PAY EQUITY

62. POLITICAL ACTIVITIES

63. PUBLICITY

64. RECAPTURE

65. RECORDS MAINTENANCE

66. REGISTRATION WITH DEPARTMENT OF REVENUE

67. RIGHT OF INSPECTION

68. SAVINGS

69. SEVERABILITY

70. SITE SECURITY

71. SUBGRANTING/SUBCONTRACTING

72. SURVIVAL

73. TAXES

74. TERMINATION FOR CAUSE

75. TERMINATION FOR CONVENIENCE

76. TERMINATION PROCEDURES

77. TREATMENT OF ASSETS

78. WAIVER

ATTACHMENT A – HOUSING TRUST FUND (HTF) OPERATING & MAINTENANCE (O&M) GRANT

GUIDELINES

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1. INTRODUCTION

PURPOSE AND BACKGROUND

The Washington Department of Commerce, hereafter called "COMMERCE,” is initiating this Notice of Funding Opportunity (NOFO) to solicit Proposals from those qualified and interested in grant funding for a supplement to rent income to cover ongoing operating, maintenance and services (PSH only) expenses.

In 2023, SSB5386 condensed four RCWs that govern the document recording fee programs managed by Commerce into one administrative statute. Sec. 5 of RCW 36.22.250 describes the intent for the Affordable Housing for All Account, which funds the Housing Trust Fund Operations & Maintenance (HTF-O&M) Program and the Permanent Supportive Housing Operations, Maintenance, Services (PSH-OMS) Program. Grants are provided to organizations that operate eligible housing projects that require a supplement to rent income to cover expenses related to operations and maintenance and for the PSH-OMS program operations, maintenance and services.

Funding is received from document recording surcharges from each county’s local auditor’s office and deposited into the state treasury. In the 2024 supplemental budget bill (ESSB 5950 Sec. 127 (11.d)), the legislature directed Commerce to create a predictive forecast model that identifies the cost of current PSH projects under contract with the projection of need based on the development of new PSH projects through capital funds. As such, significant data is required to be collected from housing operators on the costs associated with PSH and affordable housing. This data will be collected through the monthly invoices submitted for reimbursement. Housing operators have indicated the need to sustain affordable housing and permanent supportive housing through supplements to rents and rent assistance to cover the operating costs. This funding announcement is intended to add projects to the for the HTF-O&M and PSH-OMS program portfolio of contractors.

COMMERCE intends to award multiple contracts to provide the HTF-O&M or PSH-OMS supplement described in this NOFO. However, an organization cannot receive funding from HTF-O&M and PSH- OMS for the same project.

OBJECTIVES AND SCOPE OF WORK

The purpose of this grant is to provide cost reimbursement funding for operating, maintenance and/or supportive service costs of permanent supportive housing projects or affordable housing projects, during State Fiscal Year 2025. Eligible housing units will or have received funding from the Housing Trust Fund (HTF) or other public capital funding sources (PSH-OMS). Projects must be occupied by extremely low-income households with incomes at or below thirty percent (30%) of the area median income and require a supplement to rental income to cover ongoing property operating, maintenance, and/or services expenses (PSH-OMS).

Eligibility Details:

The following matrix summarizes the eligibility for HTF-O&M and PSH-OMS eligibility. Applications that do not clearly meet or exceed all minimum qualifications listed below are considered non-responsive and will not be evaluated.

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HTF-O&M and PSH-OMS Eligibility Matrix (Organizations are not eligible to receive both HTF-O&M and PSH-OMS within one project)

Program

Units are occupied by individuals who meet

30% AMI*

HTF

funded

Other public capital funding

PSH per RCW 36.70A.030 and

PSH-OMS/HTF

O&M program requirements

Must demonstrate a need for a supplement for eligible Operations and Maintenance costs

Must demonstrate a need for a supplement for eligible Service costs

O&M Y Y N Not Required but eligible Y N

OMS Y Y Y Required Y Y

*Projects ‘not placed in service’ and still under construction will be reviewed on a case-by-case basis through the New Funding Request Application Workbook (Technical, Programmatic, and Budget) Sec. 3.

Project Eligibility Types:

Organizations eligible to apply for HTF O&M funds include organizations receiving or having received HTF capital funding for an eligible project type. Organizations eligible to apply for PSH OMS funds include organizations receiving or having received any public capital funding for an eligible project type.

Eligible HTF-O&M project types:

Multifamily rental housing (including shared housing where each person holds a lease and pays rent)

Seasonal and year round housing for farmworkers

Transitional housing

Scattered site units within the same capital funded housing project

Eligible PSH-OMS project types:

Multifamily rental housing (including shared housing where each person holds a lease and pays rent)

All of the project’s housing units are PSH; or

A portion (set aside) of the project’s housing units are PSH; or

Scattered site units within the same capital funded housing project

Ineligible HTF-O&M or PSH-OMS project types include, but are not limited to:

Assisted living facilities

Boarding homes

Community land trusts

Emergency shelters (including shelter for survivors of domestic violence)

Group homes o A group home is a state-licensed, certified, or otherwise state-approved facility intended for occupancy by elderly persons and/or persons with disabilities. (HUD Definition)

Home/loans for low-income homebuyers

Licensed medical facilities

Licensed adult family homes

Skilled nursing facilities

MINIMUM QUALIFICATIONS

https://www.hud.gov/sites/dfiles/PIH/documents/Special_Housing_Types_Updated_November%202020.pdf https://www.hud.gov/sites/dfiles/PIH/documents/Special_Housing_Types_Updated_November%202020.pdf

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Minimum qualifications include:

Licensed to do business in the state of Washington or submit a statement of commitment that it will become licensed in Washington within thirty (30) calendar days of being selected as the Apparent Successful Grantee.

Project is owned by the entity applying for funds.

Eligible units must serve individuals at 30% Area Median Income.

Demonstrated capital funding source for eligible projects to include:

o Contract # for Housing Trust Fund project eligible HTF-O&M projects and/or PSH-OMS o Other public capital funding sources and Contract # for PSH-OMS

Demonstrated need for supplemental funding through a budget submission that includes all revenue and projected eligible expenditures using Commerce approved workbook.

Organizations that have multiple projects in their portfolio, must submit a separate application for each project.

For PSH-OMS funding, Organizations must certify they meet the definition of permanent supportive housing per RCW 36.70A.030 (31) and meet PSH Program requirements.

Organizations must meet eligible project type per the HTF-O&M and/or PSH-OMS guidelines as defined in Sec. 1.2 or the guidelines are located at https://deptofcommerce.box.com/s/pt214p8gfqxrwdb7g1xwcyosujwgl1l2

Provide a copy of the lease used by the project for lease-up for tenants.

FUNDING

COMMERCE proposes issuing a NOFO up to $12M ($1M – HTF-O&M and $11M PSH-OMS) to be assessed after receiving qualifying applications and as we continue to watch account balances and recording fee revenue, administrative expenses and unexpended SFY24 contracts. Proposals will be evaluated to determine the supplement needed between their revenue and expenses. Projects that do not demonstrate a gap or need for a supplement for HTF-O&M or PSH-OMS will be considered as ineligible. Projects that do not provide a comprehensive application including all revenue and eligible expenditure information will be considered non-responsive and will not be evaluated. Projects that are not on the eligibility list in Section 1.3 will also not be considered eligible for funding and will not be reviewed. In the event additional funding becomes available during the period of performance, any contract awarded may be amended to provide for additional supplemental funds. Additional funding is not guaranteed.

Any contract awarded as a result of this NOFO is contingent upon the availability of funding.

PERIOD OF PERFORMANCE

The period of performance of any contract resulting from this NOFO is tentatively scheduled to begin on or about January 1, 2025 and to end on June 30, 2025. Amendments extending the period of performance, if any, shall be at the sole discretion of COMMERCE.

Commerce is committed to continuity and sustainability for operations and maintenance (O&M) for projects awarded HTF-O&M and O&M, and Service funds for PSH-OMS projects. HTF-O&M and PSH- OMS contracts may be renewed each biennium and awards are conditional on funding availability, as funding streams for HTF O&M fluctuate based on recording fee revenues and biennial legislative appropriations. Commerce will administer a renewal budget each fiscal year during each biennium to identify the projected gap funding need and amend contracts as needed. Solicitation of new projects will occur as funding permits.

COMMERCE reserves the right to extend the Contract for future funding periods pending funding availability and continued funding is subject to annual budget and programming renewal applications as determined by Commerce; ongoing compliance with contract conditions, including but not limited to commitments of number and type of units and eligible population.

https://app.leg.wa.gov/rcw/default.aspx?cite=36.70a.030 https://www.usich.gov/sites/default/files/document/Implementing_Housing_First_in_Permanent_Supportive_Housing.pdf https://deptofcommerce.box.com/s/pt214p8gfqxrwdb7g1xwcyosujwgl1l2

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CONTRACTING WITH CURRENT OR FORMER STATE EMPLOYEES

Specific restrictions apply to contracting with current or former state employees pursuant to chapter

42.52 of the Revised Code of Washington (RCW). Applicant are encouraged to familiarize themselves with the requirements prior to submitting a Proposal that includes current or former state employees.

DEFINITIONS

Definitions for the purposes of this NOFO include:

A-19 or Reimbursement Requests: requests for reimbursements of eligible program expenses.

A-19s may also be referred to as invoices, warrants, or vouchers.

Affordable Housing for All Account: The affordable housing for all account is created in the state treasury, subject to appropriation. Expenditures from the account may only be used for allowable uses as described in RCW 36.22.250(5).

Ancillary Services: services such as nursing care, personal care, substance use disorder services, and mental health services, which may or may not be provided in the building where the person lives.

Applicant/Proposer: The organization that owns the housing project applying for funding. Also known as project owner organization's legal name and organization.

Apple Health and Homes (AHAH): The Washington Legislature created the Office of Apple Health & Homes with the passage of HB 1866 (Chapter 216, Laws of 2022), re-focusing the state’s efforts towards increasing the capacity, quality and sustainability of affordable housing units dedicated as PSH leveraging the Foundational Community Supports Medicaid program within the Health Care Authority.

Area Median Income (AMI): Each year, the Department of Housing and Urban Development (HUD) calculates the median income for every metropolitan region in the country. HUD uses the five-year estimates of the American Community Survey — a national survey similar to the Census

— to measure household income. Very low-income households earn less than 50 percent of the AMI and extremely low-income households earn less than 30 percent of the AMI.

Apparent Successful Grantee/Bidder/Vendor/Contractor/Awardee: The Proposer selected to perform the anticipated services, subject to successful completion of contract negotiations and execution of a written contract.

Benchmark: The standard or reference point based on which other things can be measured, assessed, or compared. Per Corporation for Supportive Housing's (CSH) cost study, Commerce agreed to CSH's recommended benchmarks for operations, maintenance, and supportive services on a pilot basis for the 2023-25 biennium:

Operating expenses per unit are benchmarked at $17,000/year beginning in 2023 with a 3% annual inflation factor. If a projects per unit operating expenses exceeds this amount, the applicant/grantee must seek pre-approval from Commerce.

Supportive service expenses per unit are temporarily benchmarked at $10,000/year, pending the outcome of a rate study for FCS services being conducted by HCA. If a projects per unit service expenses exceeds this amount the applicant/grantee may seek pre-approval from Commerce.

Capital funder/contract #: Capital Funding Entity that funded the housing units (including PSH units) within this project. This is the same contract that originally qualified this project for PSH OMS funding and the total units claimed in this renewal must match the total units funded by this same capital contract. Ex: HTF, City funding, Counting funding, etc.

COMMERCE or AGENCY: The Department of Commerce is the agency of the state of Washington that is issuing this NOFO.

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Contract: A written, legally binding agreement to perform the services proposed, also called a Grant or Interagency Agreement.

Exhibit: Document attached to this NOFO, also referred to as Attachment.

Funding Gap or Gap in Funding: The supplement to rental income needed to cover ongoing eligible operation and maintenance expenses. The gap is the basis for determining each project’s award total.

Grantee: Applicant whose application has been accepted by COMMERCE and is awarded a fully executed, written contract. Also called Grantee, Awardee, Proposer, Recipient, or Vendor.

Guidelines: all of the grant guidelines identified in the HTF O&M Guidelines, and as may be revised from time to time.

Household or resident: A household is one or more individuals seeking to obtain or maintain housing together as a unit. Household Income is at or below 30% of area median income as defined by HUD.

Housing Trust Fund Program (HTF): Capital funding administered in the Housing Division of the Department of Commerce (also known as brick and mortar funding).

HTF O&M or HTF O&M program: Housing Trust Fund Operations and Maintenance program that provides funding for eligible operations and maintenance expenses directly related to an eligible project.

Notice of Funding Opportunity (NOFO): Formal procurement or solicitation document in which a service or need is identified but no specific method to achieve it has been chosen. The purpose of an NOFO is to permit the Proposer community to suggest various approaches to meet the need at or below a given funding level.

O&M expenses: eligible Operating and Maintenance costs directly related to this project’s housing building.

O&M units: Residential living quarters that are set aside as designated for residents at or below 30% AMI, do not receive rental subsidies such as HAP/PBS8/TBS8/etc., and meet all other program requirements.

Placed in Service means a project that has been completed and achieved 90% occupancy in the case of multifamily/rental projects.

Proposal/Application: A formal offer submitted in response to this Notice of Funding Opportunity.

Proposer/Applicant: Individual, firm, organization, company, or other entity or group of entities that submits a Proposal/Application to attain a contract with COMMERCE.

Program Manager: Designated staff person who has primary responsibility for day-to-day program operations under this grant.

Project: the specific building or sites which contains the eligible O&M units for which the Grant Award will be utilized under this Grant.

PSH OMS or PSH OMS program: Permanent Supportive Housing Operating, Maintenance, and Supportive Services program which provides grant funding to eligible permanent supportive housing projects.

Renewal Funding Request or renewal: the current HTF O&M Grant Renewal Funding Request for the grant period, including all forms and required attachments.

Reporting Period: month or quarterly time period that expenses were incurred, utilized, and paid by grantee that the grantee is requesting reimbursement for.

Service Plan: Plan provided to Commerce from applicant/grantee outlining all aspects of: services provided, implementation of services, tenancy, and staff. Service plan must provide complete information regarding the number of staff at the specific project site (on/off-site), job titles, and full job descriptions for each staff person being claimed within the budgets for these grant funds. If

P a g e | 6 project is not currently operational and/or does not have eligible tenants currently residing in PSH units, service plan must also include timeline for estimated opening date.

Services: Specialty services provided to tenants occupying dedicated PSH units. Supportive services must always be voluntary for the eligible tenant. Providers of supportive services may be trained staff of the property owner or manager, or third-party non-profit service providers with trained staff. The only supportive services reimbursable under this grant are services that support tenants in maintaining their tenancy and adhering to the terms of their lease.

Subgrantee or Subcontractor: One not in the employment of the grantee, who is performing all or part of those services under this grant under a separate agreement with the grantee. The terms “subgrantee” or “subcontractor” refers to any tier.

Tenant or household or resident: Individual(s) with a lease agreement executed at the time of move-in who are occupying a unit within the housing project.

Unit: A house, apartment, group of rooms, or single room occupied or intended for occupancy as separate residential living quarters.

ADA

COMMERCE complies with the Americans with Disabilities Act (ADA). Applicant may contact the NOFO Coordinator to receive this Notice of Funding Opportunity in Braille or on tape.

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2. GENERAL INFORMATION FOR APPLICANT

NOFO COORDINATOR

The NOFO Coordinator is the sole point of contact in COMMERCE for this NOFO. All communication between the Proposer and COMMERCE upon release of this NOFO shall be with the NOFO Coordinator, as follows:

Name Grace Lee

E-Mail Address OMSNOFA@commerce.wa.gov

Any other communication will be considered unofficial and non-binding on COMMERCE. Applicant are to rely only on written statements issued by the NOFO Coordinator. Communication directed to parties other than the NOFO Coordinator may result in disqualification of the Proposer.

ESTIMATED SCHEDULE OF PROCUREMENT ACTIVITIES

Issue Notice of Funding Opportunity August 22, 2024

Question & answer period August 22, 2024 through

Sept. 5, 2024

Answers to Q&A posted no later than Sept. 5, 2024

Pre-Proposal Conference August 28, 2024 11:00

Tribal Pre-Proposal Conference August 29, 2024 1:00 p.m.

Proposals due October 14, 2024

5:00 p.m.

Evaluate proposals October 14, 2024 – November 30, 2024

Announce “Apparent Successful Grantee” and send notification via e-mail to unsuccessful Applicant

December 1, 2024

Hold debriefing conferences (if requested) December 1-11, 2024

Finalize Negotiations December 12-31, 2024

Earliest date contract may be signed January 1, 2025

COMMERCE reserves the right to revise the above schedule.

mailto:OMSNOFA@commerce.wa.gov

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QUESTION AND ANSWER PERIOD

COMMERCE will accept questions about this NOFO sent to the NOFO Coordinator at the email address listed in Section 2.1 during this period. Questions should not identify the submitting person or organization. COMMERCE will answer all questions in a Q&A document posted no later than the date identified in Section 2.2.

PRE-PROPOSAL CONFERENCE

A pre-proposal conference will be held on August 28, 2024 at 11:00 a.m., Pacific Time. The pre-proposal conference will be virtual only, on Microsoft Teams. Microsoft Teams Meeting Invitation Link.

All prospective Applicant are encouraged attend; however, attendance is not mandatory. The pre-proposal conference will be recorded and placed in the Commerce box folder at https://deptofcommerce.box.com/s/7lnfdk8mhnkpvp1y790mh54utinihz0a

COMMERCE will be bound only to COMMERCE written answers to questions. Questions arising at the pre-proposal conference will be documented and answered in written form. The Questions/Answers will be posted here via Box and will be update on a regular basis:

https://deptofcommerce.box.com/s/7lnfdk8mhnkpvp1y790mh54utinihz0a

THIS SECTION INTENTIONALLY REMOVED

SUBMISSION OF PROPOSALS

ELECTRONIC PROPOSALS:

The proposal must be received by the NOFO Coordinator no later than 5:00 p.m., Pacific Time, in Olympia, Washington, on October 14, 2024.

Proposals must be submitted electronically as an attachment to an e-mail to the NOFO Coordinator, at the e-mail address listed in Section 2.1. Attachments to e-mail shall be in Microsoft Word format or PDF. Zipped files cannot be received by COMMERCE and cannot be used for submission of Proposals.

The Submittal Letter and the Certifications and Assurances form must have a scanned or digital signature of the individual within the organization authorized to bind the Proposer to the offer.

COMMERCE does not assume responsibility for problems with Proposer’s e-mail. If COMMERCE email is not working, appropriate allowances will be made.

Proposals may not be transmitted using facsimile transmission.

Applicant should allow sufficient time to ensure timely receipt of the proposal by the NOFO Coordinator.

Late proposals will not be accepted and will be automatically disqualified from further consideration, unless COMMERCE e-mail is found to be at fault at COMMERCE’S sole determination.

Proposals should be sent in one email, however if more than one email is needed all must be received by the due date and time. Exceptions will not be made for partial submissions. Requests for deadline extensions will not be granted. All Proposals and any accompanying documentation become the property of COMMERCE and will not be returned.

PROPRIETARY INFORMATION AND PUBLIC DISCLOSURE

Proposals submitted in response to this NOFO shall become the property of COMMERCE. All Proposals received shall remain confidential until the Apparent Successful Grantee is announced;

thereafter, all Proposals are subject to disclosure as provided for in Chapter 42.56 of the Revised Code of Washington (RCW).

Any information in the proposal that the Proposer desires to claim as proprietary and exempt from disclosure under the provisions of Chapter 42.56 RCW, or other state or federal law that provides for the nondisclosure of your document, must be clearly designated. The information must be clearly identified and the particular exemption from disclosure upon which the Proposer is making the claim must be cited. Each page containing the information claimed to be exempt from disclosure must be clearly identified by the words “Proprietary Information” printed on the lower right hand corner of the https://teams.microsoft.com/l/meetup-join/19%3ameeting_NzQxNmIzODItMWUxNC00M2E2LWFkNTEtNDRjNzhmMTVjZDYw%40thread.v2/0?context=%7b%22Tid%22%3a%2211d0e217-264e-400a-8ba0-57dcc127d72d%22%2c%22Oid%22%3a%22f6805a80-e282-4be2-af98-59c5a5f0d478%22%7d

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If a public records request is made for the information that the Proposer has marked as "Proprietary Information," COMMERCE will notify the Proposer of the request and of the date that the records will be released to the requester unless the Proposer obtains a court order enjoining that disclosure. If the Proposer fails to obtain the court order enjoining disclosure, COMMERCE will release the requested information on the date specified. If a Proposer obtains a court order from a court of competent jurisdiction enjoining disclosure pursuant to Chapter 42.56 RCW, or other state or federal law that provides for nondisclosure, COMMERCE shall maintain the confidentiality of the Proposer's information per the court order.

A charge will be made for copying and shipping as allowed by law. No fee shall be charged for inspection of contract files, but twenty-four (24) hours’ notice to the NOFO Coordinator is required. All requests for information should be directed to the NOFO Coordinator.

REVISIONS TO THE NOFO

In the event it becomes necessary to revise any part of this NOFO, addenda will be provided via e-mail to all individuals who have made the NOFO Coordinator aware of their interest. Addenda may also be published on Washington’s Electronic Business Solution (WEBS). The website can be located at https://fortress.wa.gov/ga/webs/. Such addenda will also be published anywhere the NOFO is posted, including on COMMERCE’S public webpage, located at http://www.commerce.wa.gov/serving-communities/current-opportunities/.

You may also send your name and e-mail address to the NOFO Coordinator to request to receive any NOFO addenda.

COMMERCE also reserves the right to cancel or to reissue the NOFO in whole or in part, prior to execution of a contract.

DIVERSE BUSINESS INCLUSION PLAN

Applicant are required to submit a Diverse Business Inclusion Plan with their Proposal describing in good faith their aspirational goals for subcontractor types. In accordance with legislative findings and policies set forth in RCW 39.19, the state of Washington encourages participation in all contracts by firms certified by the Office of Minority and Women’s Business Enterprises (OMWBE), set forth in RCW 43.60A.200 for firms certified by the Washington State Department of Veterans Affairs, and set forth in RCW 39.26.005 for firms that are Washington Small Businesses. No minimum level of minority- or women-owned business, Washington Small Businesses, or Washington State certified Veteran Business participation is required as a condition for receiving an award. Any affirmative action requirements set forth in any federal governmental rules included or referenced in the contract documents will apply.

COMMERCE has the following agency goals:

10% participation by Minority Owned Business

6% participation by Women Owned Business

5% participation by Veteran Owned Business

5% participation by Small Businesses

ACCEPTANCE PERIOD

Proposals must provide 60 days for acceptance by COMMERCE from the due date for receipt of proposals.

COMPLAINT PROCESS

https://fortress.wa.gov/ga/webs/ http://www.commerce.wa.gov/serving-communities/current-opportunities/ http://www.commerce.wa.gov/serving-communities/current-opportunities/

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Potential Applicant may submit a complaint to COMMERCE based on any of following:

a) The solicitation unnecessarily restricts competition;

b) The solicitation evaluation or scoring process is unfair; or

c) The solicitation requirements are inadequate or insufficient to prepare a response.

A complaint may be submitted to COMMERCE at any time prior to 5 days before the proposal response deadline. The complaint must meet the following requirements:

a) The complaint must be in writing;

b) The complaint must be sent to the NOFO coordinator in a timely manner;

c) The complaint should clearly articulate the basis for the complaint; and

d) The complaint should include a proposed remedy.

The NOFO coordinator will respond to the complaint in writing. The response to the complaint and any changes to the solicitation will be posted on WEBS. The Director of COMMERCE will be notified of all complaints and will be provided a copy of COMMERCE’S response. The complaint may not be raised again during the protest period. COMMERCE’S action or inaction in response to the complaint is final.

There is no appeal process.

RESPONSIVENESS

All Proposals will be reviewed by the NOFO Coordinator to determine compliance with administrative requirements and instructions specified in this NOFO. The Proposer is specifically notified that failure to comply with any part of this NOFO may result in disqualification of the Proposal as incomplete and/or non-responsive.

Disqualified Applicant will be notified after the announcement of the Apparent Successful Grantee(s).

Disqualified Applicant will be informed of the reason for disqualification; this shall constitute a debriefing conference for the purposes of Section 4.6, Protest Procedure.

COMMERCE reserves the right at its sole discretion to waive minor administrative irregularities.

MOST FAVORABLE TERMS

COMMERCE reserves the right to make an award without further discussion of the Proposal submitted.

Therefore, the proposal should be submitted initially on the most favorable terms which the Proposer can propose. There will be no best and final offer procedure. COMMERCE reserves the right to contact a Proposer for clarification of its Proposal.

The Apparent Successful Grantee should be prepared to accept this NOFO for incorporation into a contract resulting from this NOFO. Contract negotiations may incorporate some, or all, of the Proposer’s Proposal. The Proposal will become a part of the official procurement file on this matter without obligation to COMMERCE.

CONTRACT GENERAL TERMS & CONDITIONS

The Apparent Successful Grantee will be expected to enter into a contract which is substantially the same as the example contract and its general terms and conditions attached as Exhibit D. This sample contract is for information and review only and should not be returned with your Proposal. In no event is a Proposer to submit its own standard contract terms and conditions in response to this NOFO. All proposed edits to the contract terms and conditions must be submitted as an attachment to Exhibit D, Certifications and Assurances form. COMMERCE will review requested edits and accept or reject the same at its sole discretion.

COSTS TO PROPOSE

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COMMERCE will not be liable for any costs incurred by the Proposer in preparation of a Proposal submitted in response to this NOFO, travel to or conduct of a presentation, or any other activities related to responding to this NOFO.

NO OBLIGATION TO CONTRACT

This NOFO does not obligate the state of Washington or COMMERCE to contract for services specified herein.

REJECTION OF PROPOSALS

COMMERCE reserves the right at its sole discretion to reject any and all Proposals received without penalty and not to issue a contract as a result of this NOFO.

COMMITMENT OF FUNDS

The Director of COMMERCE or delegate is the only individual who may legally commit COMMERCE to the expenditures of funds for a contract resulting from this NOFO. No services may begin and no cost chargeable to the proposed contract may be incurred before receipt of a fully executed contract.

ELECTRONIC PAYMENT

The state of Washington prefers to utilize electronic payment in its transactions. The successful Grantee must have or obtain a Statewide Vendor Number (SWV) from the Office of Financial Management to be paid by COMMERCE. For more information, visit: www.ofm.wa.gov.

INSURANCE COVERAGE

The Grantee is to furnish COMMERCE with a certificate(s) of insurance executed by a duly authorized representative of each insurer, showing compliance with the insurance requirements set forth within the contract if requested.

The Grantee shall, at its own expense, obtain and keep in force insurance coverage which shall be maintained in full force and effect during the term of the contract. The Grantee shall furnish evidence in the form of a Certificate of Insurance that insurance shall be provided, and, if requested, a copy shall be forwarded to COMMERCE within fifteen (15) days of the contract effective date. Standard insurance requirements are included within the example contract and its special terms and conditions attached as Exhibit D.

http://www.ofm.wa.gov/

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3. PROPOSAL CONTENTS

ELECTRONIC PROPOSALS:

Proposals must be written in English and submitted electronically to the NOFO Coordinator in the order noted below:

1. Letter of Submittal

2. Certifications and Assurances (Exhibit A to this NOFO)

3. Diverse Business Inclusion Plan (Exhibit B to this NOFO)

4. Workers’ Rights Certification (Exhibit C to this NOFO)

5. New Funding Request Application workbook (Chose HTF-O&M or PSH-OMS workbook depending on the eligible project you are applying for) containing technical, programmatic and budgetary information (Exhibit E to this NOFO located in the Commerce Box folder -https://deptofcommerce.box.com/s/7lnfdk8mhnkpvp1y790mh54utinihz0a)

a. Signed Attestation Form E

6. The project’s most recent and complete statement of revenue and expenditures for the project for SFY24 (July 1, 2023 – June 30, 2024).

7. The project service plan - See Definitions – page 5 (HTF-O&M and PSH-OMS).

8. Copy of the tenant lease used for unit lease-up (HTF-O&M and PSH-OMS).

9. A copy of the capital funding contract (HTF-O&M or other public fund source (PSH-OMS))

Proposals must provide information in the same order as presented in this document with the same headings. This will not only be helpful to the evaluators of the Proposal, but should also assist the Proposer in preparing a thorough response.

Items marked “mandatory” must be included as part of the Proposal to be considered responsive, however, these items are not scored. Items marked “scored” are those that are awarded points as part of the evaluation conducted by the evaluation team.

LETTER OF SUBMITTAL (MANDATORY)

The Letter of Submittal must be signed and dated by a person authorized to legally bind the Proposer to a contractual relationship, e.g., the President or Executive Director if a corporation, the managing partner if a partnership, or the proprietor if a sole proprietorship.

Along with introductory remarks, the Letter of Submittal must include the following information about the Proposer and any proposed subcontractors:

A. Name, address, principal place of business, telephone number, and fax number/e-mail address of legal entity or individual with whom contract would be written.

B. Name, address, and telephone number of each principal officer (President, Vice President, Treasurer, Chairperson of the Board of Directors, etc.)

C. Legal status of the Proposer (sole proprietorship, partnership, corporation, etc.) and the year the entity was organized to do business as the entity now substantially exists.

D. Federal Employer Tax Identification number or Social Security number and the Washington Uniform Business Identification (UBI) number issued by the state of Washington. If the Proposer does not have a UBI number, the Proposer must state that it will become licensed in Washington within thirty (30) calendar days of being selected as the Apparently Successful Grantee.

E. Location from which the Proposer would operate.

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F. Identify any state employees or former state employees employed or on the firm’s governing board as of the date of the proposal. Include their position and responsibilities within the Proposer’s organization. If following a review of this information COMMERCE determines that a conflict of interest exists, the Proposer may be disqualified from further consideration.

G. Which program (HTF-O&M or PSH-OMS) is the project applying for.

CERTIFICATIONS AND ASSURANCES (MANDATORY)

The Certifications and Assurances form (Exhibit A to this NOFO) must be signed and dated by a person authorized to legally bind the Proposer to a contractual relationship, e.g., the President or Executive Director if a corporation, the managing partner if a partnership, or the proprietor if a sole proprietorship. Applicant wishing to submit any proposed contract edits must indicate so on this form (see Section 2.14).

NEW FUNDING REQUEST APPLICATION WORKBOOK (Chose HTF-O&M or PSH-OMS workbook depending on the eligible project you are applying for) (TECHNICAL, PROGRAMMATIC, AND BUDGETARY IDENTIFICATION OF COSTS/REVENUE

MANDATORY - Scored)

FORM A: ORGANIZATION AND PROJECT INFORMATION

Completion and submission of this form (Exhibit B) does not constitute a guarantee of funding. It is a preliminary assessment of the data provided and is subject to examination of supporting documentation provided in the application submission. Additional information or data may be required prior to contracting. Qualifying applicants must own multifamily rental housing projects that:

Have received capital funding from the Washington State Housing Trust Fund (HTF-O&M), or from another public capital funding source (PSH-OMS); AND

Have units dedicated as permanent supportive housing for households (PSH-OMS ONLY)

Tenants must have incomes at or below 30% AMI; AND

Are providing supportive housing services to qualifying tenants (PSH-OMS ONLY); AND

Require a supplement to current and foreseeable rental income to cover ongoing property operation, maintenance or service costs (PSH-OMS ONLY).

A. Project and Organization Details:

A.1.a This section should provide details on the organization as well as the project seeking the supplemental funding. Include a complete description of the Proposer’s project. Indicate the experience the Proposer has in the following areas. If the Proposer does not have the specified experience, explain whether the Proposer plans to seek a subcontractor with that experience or other mitigation strategy:

a. Operating Affordable Housing (HTF-O&M) or Permanent Supportive Housing (PSH-

OMS)

b. Serving individuals 30% Area Median Income

c. Managing multi-family rental property

A.1.b. If the Proposer or any known subcontractor contracted with the state of Washington during the past 24 months, indicate the name of the agency, the contract number and project description and/or other information available to identify the contract.

A.1.c. If the Proposer’s staff or subcontractor’s staff was an employee of the state of Washington during the past 24 months, or is currently a Washington State employee, identify the individual by name, the agency previously or currently employed by, job title or position held and separation date.

A.1.d. If the Proposer has had a contract terminated for default in the last five years, describe such incident. Termination for default is defined as notice to stop performance due to the Proposer’s non-performance or poor performance and the issue of performance was either (a) not litigated due to inaction on the part of the Proposer, or (b) litigated and such litigation determined that the Proposer was in default.

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A.1.e. Submit full details of the terms for default including the other party's name, address, and phone number. Present the Proposer’s position on the matter. COMMERCE will evaluate the facts and may, at its sole discretion, reject the proposal on the grounds of the past experience.

If no such termination for default has been experienced by the Proposer in the past five years, so indicate.

A.2. By and For Organizations: The Housing Division aims to work with By-and-For Organizations on projects and programs that require expertise in reaching and serving a subset of the diverse houseless community in Washington State. By-and-For Organizations are operated by and for the communities they serve. Their primary mission and history is serving a specific community.

They are culturally based, directed, and substantially controlled by individuals from the population they serve. At the core of their programs, these organizations embody the community’s central cultural values. In the affordable housing context, these communities must have demonstrated disproportionate representation in homelessness, housing instability, and housing affordability.

Black, Indigenous, or other People of Color including people identified as socially disadvantaged as defined in 13 CFR Sec. 124.103.

People with disabilities*

People who identify as part of the d/Deaf and hard of hearing community

People with behavioral health conditions, including substance use disorder.

People who identify as LGBTQIA+**

Survivors of family violence and/or intimate partner violence.

Incarcerated and formerly incarcerated individuals.

Undocumented individuals, immigrants and refugees, and mixed-immigration-status families and communities.

A.3. Project and Site Details: Include details about proposed project requires supplemental funding to ensure they meet all project and site eligibility as defined in this NOFO. Qualifying project types are included in Sec. 1.2 and qualifying tenants for PSH-OMS are those who have a diagnosed and documented disabling condition expected to be of long or permanent duration, have an ongoing need for a housing subsidy, and are residing in the units within the housing project that are designated as PSH. All tenants must have incomes at or below 30% AMI at move-in. This section of the technical proposal must contain sufficient detail to convey to members of the evaluation team the Proposer’s knowledge of the project necessary to successfully calculate any proposed supplement for the project and ensuring the project and population are eligible for funding. This section also asks for a description of the organization/project’s involvement in the Apple Health and Homes initiative.

A.4. RCW Requirements: This section of the technical proposal must contain sufficient detail to convey to members of the evaluation team the Proposer’s knowledge of the RCW requirements for the HTF-O&M or the PSH-OMS program.

A.5. PSH Program Requirements (PSH-OMS Only): This section of the technical proposal must contain sufficient detail to convey to members of the evaluation team the Proposer’s knowledge of quality Permanent Supportive Housing (PSH-OMS proposals ONLY) according to the PSH fidelity scale developed by Substance Abuse and Mental Health Services Administration (SAMHSA). The principles associated with this fidelity scale is utilized to determine how closely a program matches the quality of the permanent supportive housing.

FORM B: PROJECT DETAILS/REVENUE/RESERVES

The Proposer is to submit a fully detailed budget including all revenue that has been awarded, applied for, or plan to apply for within the next fiscal year. Calculating the revenue for a project is necessary to determine what the amount of the supplement needed to sustain the project.

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B.1. Project Unit Details: Provide information on the number of units eligible for a supplement and the total number of units in the project. Operating and maintenance (O&M) awards will be calculated by prorating the state fiscal year (January 1, 2025 – June 30, 2025) projected operating income, less the projected operating expenses, less any debt service payments. This amount must be a negative value to be eligible. The project’s total number of units will be divided by the project cash flow, or gap in funding. The result of this calculation will be multiplied by the number of PSH units with household income at or below 30% AMI. This will be considered the maximum potential O&M award.

For example, if a project has 20 units and 10 are set aside as PSH with households whose income is 30% AMI or lower, the award may not exceed 50 percent of the projected 2024-2025 state fiscal year operating deficit (including debt service).

Vacancy rates that exceed 10 percent should be explained in the form.

Projects ‘not placed in service’ and still under construction will be reviewed on a…