ATTH 2 Construction Inspection Services QASP .pdf

Quality Assurance Surveillance Plan (QASP) and Checklist

Construction Inspection Services 09/14/2021

1 Vision

1 Introduction

1.1 Purpose

1.2 Performance Management Approach

1.3 Performance Management Strategy

2 Roles and Responsibilities

2.1 The Contracting Officer

2.2 The Contacting Officer Representative

3 Identification of Required Performance Standards/Quality Levels

4 Methodologies To Monitor Performance

4.1 Surveillance Techniques

4.2 Customer Feedback

4.3 Acceptable Quality Levels

5 Quality Assurance Documentation

5.1 The Performance Management Feedback Loop

5.2 Monitoring Forms

6 Analysis of Quality Assurance Assessment

6.1 Determining Performance

6.3 Reviews and Resolution

6.4 Surveillance Matrix

Appendix 1 - Surveillance Matrix

Quality Assurance Surveillance Plan (QASP)

Construction Inspection Services

1 Vision

The purpose of the program is to conduct construction inspections and tasks related to construction inspections, and assist HUD in the review of the construction/rehabilitation of the construction project. The specific objective of this contract is to support HUD's Agency Priority Goal to utilize housing as a platform for improving quality of life by: conducting construction inspections and performing construction inspection tasks (e.g. reviewing change orders, Contractor's Requisition (HUD-92448), construction schedules, requests for permission to occupy etc.), thereby assisting HUD in the review of the construction/rehabilitation of a project, to approve the release of loan funds, provide customer service and manage construction period risk.

1 Introduction

This Quality Assurance Surveillance Plan (QASP) is pursuant to the requirements listed in the Performance Work Statement (PWS) entitled Construction Inspection Services. This plan sets forth the procedures and guidelines the U. S. Department of Housing and Urban Development (HUD) Office of Multifamily Housing will use in ensuring the required performance standards or service levels are achieved by the Contractor.

1.1 Purpose

1.1.1 The purpose of the QASP is to describe the systematic methods used to monitor performance and to identify the required documentation and the resources to be employed. The QASP provides a means for evaluating whether the Contractor is meeting the performance standards/quality levels identified in the PWS and the Contractor's Quality Control Plan (QCP), and to ensure that the Government pays only for the level of services received.

1.1.2 This QASP defines the roles and responsibilities of all members of the Integrated Project Team (IPT), identifies the performance objectives, defines the methodologies used to monitor and evaluate the Contractor's performance, describes quality assurance documentation requirements, and describes the analysis of quality assurance monitoring results.

1.2 Performance Management Approach

1.2.1 The PWS structures the acquisition around "what service or quality level is required", as opposed to "how the Contractor should perform the work" (i.e., results, not compliance). This QASP will define the performance management approach taken by the Office of Multifamily Housing to monitor and manage the Contractor's performance to ensure the expected outcomes or performance objectives communicated in the PWS are achieved. Performance management rests on developing a capability to review and analyze information generated through performance assessment. The ability to make decisions based on the analysis of performance data is the cornerstone of performance management; this analysis yields information that indicates whether expected outcomes for the project are being achieved by the Contractor.

1.2.2 Performance management represents a significant shift from the more traditional Quality Assurance (QA) concepts in several ways. Performance management focuses on assessing whether outcomes are being achieved and to what extent. This approach migrates away from scrutiny of compliance with the processes and practices used to achieve the outcome. A performance-based approach enables the Contractor to play a large role in how the work is performed, as long as the proposed processes are within the stated constraints. The only exceptions to process reviews are those required by law (federal, state, and local) and compelling business situations, such as safety and health. A "results focus" provides the Contractor flexibility to continuously improve and innovate over the course of the contract as long as the critical outcomes expected are being achieved and/or the desired performance levels are being met.

1.3 Performance Management Strategy

1.3.1 The Contractor is responsible for the quality of all work performed. The Contractor measures that quality through the Contractor's own Quality Control (QC) program. QC is work output, not workers, and therefore includes all work performed under this contract regardless of whether the work is performed by Contractor employees or by subcontractors. The Contractor's QCP will set forth the staffing and procedures for self-inspecting the quality, timeliness, responsiveness, customer satisfaction, and other performance requirements in the PWS. The Contractor will develop and implement a performance management system with processes to assess and report its performance to the designated government representative. This QASP enables the Government to take advantage of the Contractor's QC program.

1.3.2 The Government representative(s) will monitor performance and review performance reports furnished by the Contractor to determine how the Contractor is performing against communicated performance objectives. The Contractor will be responsible for making required changes in processes and practices to ensure performance is managed effectively.

2 Roles and Responsibilities

The following personnel shall oversee and coordinate surveillance activities.

2.1 The Contracting Officer

The Contracting Officer (CO) is responsible for monitoring contract compliance, contract administration, and cost control and for resolving any differences between the observations documented by the Contracting Officers Representative (COR ) and the Contractor. The CO will designate one full-time COR as the government authority for performance management. The number of additional representatives serving as technical inspectors depends on the complexity of the services measured, as well as the Contractor's performance, and must be identified and designated by the CO.

2.2 The Contacting Officer Representative

The COR is designated in writing by the CO to act as his or her authorized representative to assist in administering a contract. COR limitations are contained in the written appointment letter. The COR is responsible for technical administration of the project and ensures proper government surveillance of the Contractor's performance. The COR is not empowered to make any contractual commitments or to authorize any contractual changes on the Government's behalf. Any changes that the Contractor deems may affect contract price, terms, or conditions, shall be referred to the CO for action. The COR will have the responsibility for completing QA monitoring forms used to document the inspection and evaluation of the Contractor's work performance. Government surveillance may occur under the inspection of services clause for any service relating to the contract.

3 Identification of Required Performance Standards/Quality Levels

The required performance standards and/or quality levels are included in the PWS and in Appendix 1, "Surveillance Matrix". If the Contractor meets the required service or performance level, it will be paid the monthly amount agreed on in the contract.

4 Methodologies To Monitor Performance

4.1 Surveillance Techniques

In an effort to minimize the performance management burden, simplified surveillance methods shall be used by the Government to evaluate Contractor performance when appropriate. The primary methods of surveillance are:

100% Inspection of the Deliverables - each month by the SCOR

4.2 Customer Feedback

The Contractor is expected to establish and maintain professional communication between its employees and customers. The primary objective of this communication is customer satisfaction. Customer satisfaction is the most significant external indicator of the success and effectiveness of all services provided and can be measured through customer complaints.

Performance management drives the Contractor to be customer focused through initially and internally addressing customer complaints and investigating the issues and/or problems. The customer always has the option to communicate complaints to the CO and/or COR as opposed to the Contractor.

Customer complaints, to be considered valid, must set forth clearly and in writing the detailed nature of the complaint, must be signed, and must be forwarded to the COR.

Customer feedback may also be obtained either from the results of formal customer satisfaction surveys or from random customer complaints.

4.3 Acceptable Quality Levels

The Acceptable Quality Levels (AQLs) included in Appendix 1, "Surveillance Matrix", for Contractor performance are structured to allow the Contractor to manage how the work is performed. For certain critical activities such as those involving Construction Inspection Services, the desired performance level is established at 100 percent. Other levels of performance are keyed to the relative importance of the task to the overall mission performance.

5 Quality Assurance Documentation

5.1 The Performance Management Feedback Loop

The performance management feedback loop begins with the communication of expected outcomes. Performance standards are expressed in the PWS and are assessed using the performance monitoring techniques.

5.2 Monitoring Forms

The Government's QA surveillance, accomplished by the COR, may be reported using the following monitoring forms. The forms, when completed, will document the Government's assessment of the Contractor's performance under the contract to ensure that the required results are being achieved. The COR will retain a copy of all completed QA surveillance forms.

6 Analysis of Quality Assurance Assessment

6.1 Determining Performance

The Government will use the monitoring methods cited to determine whether the performance standards/service levels/AQLs have been met. If the Contractor has not met the minimum requirements, it may be asked to develop a corrective action plan to show how and by what date it intends to bring performance up to the required levels.

6.3 Reviews and Resolution

6.3.1 The COR may require the Contractor's Project Manager, or a designated alternate, to discuss with the CO, PM and/or other Government IPT personnel as deemed necessary to review performance evaluation. The COR will define a frequency of in-depth reviews with the Contractor, including appropriate self-assessments by the Contractor; however, if the need arises, the Contractor will discuss with the COR/SCOR as often as required or per the Contractor's request. The agenda of the reviews may include but are not limited to:

Monthly performance assessment data and trend analysis, Issues and concerns of both parties, Projected outlook for upcoming months and progress against expected trends, including a corrective action plan analysis, Recommendations for improved efficiency and/or effectiveness, Training by the Government

6.3.2 The CO and COR must coordinate and communicate with the Contractor to resolve issues and concerns regarding marginal or unacceptable performance.

6.3.3 The COR and Contractor should jointly formulate tactical and long-term courses of action. Decisions regarding changes to metrics, thresholds, or service levels should be clearly documented. Changes to service levels, procedures, and metrics will be incorporated as a contract modification at the discretion of the CO.

6.4 Surveillance Matrix

The Surveillance Matrix (Appendix 1) is the list of performance objectives and standards that must be performed by the Contractor. This matrix details the method of surveillance the COR will use to validate and inspect these performance elements. Inspection of each element will be documented in the COR file.

Performance objectives define the desired outcomes. Performance standards define the level of service required under the contract to successfully meet the performance objective. The inspection methodology defines how, when, and what will be assessed in measuring performance. The Government performs surveillance, using this QASP, to determine the quality of the Contractor's performance as it relates to the performance element standards. The Performance Requirement Summary (PRS) should be used to form the foundation of the COR/SCOR inspection checklist.

In evaluating the quality of contractor’s performance, the following performance ratings may be used.

Performance

Rating Criteria

Excellent / Outstanding

Performance meets contractual requirements and exceeds many to the Government’s benefit. The contractual performance of the element or sub-element being assessed was accomplished with few minor problems for which corrective actions taken by the contractor was highly effective.

Very Good Performance meets contractual requirements and exceeds some to the Government’s benefit. The contractual performance of the element or sub-element being assessed was accomplished with some minor problems for which corrective actions taken by the contractor was effective.

Satisfactory Performance meets contractual requirements. The contractual performance of the element or sub-element contains some minor problems for which corrective actions taken by the contractor appear or were satisfactory.

Marginal Performance does not meet some contractual requirements. The contractual performance of the element or sub-element being assessed reflects a serious problem for which the contractor has not yet identified corrective actions. The contractor’s proposed actions appear only marginally effective or were not fully implemented.

Unsatisfactory Performance does not meet most contractual requirements and recovery is not likely in a timely manner. The contractual performance of the element or sub-element contains a serious problem(s) for which the contractor’s corrective actions appear or were ineffective.

Appendix 1 - Surveillance Matrix

Statements Standards/AQLs Inspections Ratings 5.1 Task 1: Construction Project Monitoring Tasks for New Construction and Substantial Rehabilitation

Deliverables:

A003 HUD-95379, HUD

Representative's Trip Report

a) 95% of HUD- 95379 with photos and required documents received within seven (7) business days of inspection AQL: 5% deviation

What: HUD-95379 with photos and required documents How: upon receipt by SCOR or HUD MF Production Staff familiar with the deliverables within seven

(7) business days of inspection Frequency: every inspection Who: SCOR or HUD MF Production Staff familiar with the deliverables Incentive: 2% incentive of the invoice total amount if greater than 98% of HUD-95379 with photos and required documents are received within seven (7) business days of inspection AND 3% disincentive of the invoice total amount if less than 95% of HUD- 95379 with photos and required documents are received within seven (7) business days of

Standard(s): a

5.1.2 Inspections. The Contractor shall visit the job site and inspect the project once per month to report on construction progress and actual conditions on the job site, construction activity, contract compliance by the parties to the contracts, and construction inspection tasks described in Section 5.3. The Contractor shall schedule the monthly Contract Inspector's inspections to coincide with the monthly Draw Meeting and submission of the HUD- 92448, Builder's Requisition.

Deliverables:

A003 HUD-95379, HUD

a) 100% of the Construction Inspector's Date of Inspection coincides with the Draw Meeting AQL: 0% deviation

What: HUD-92448 and HUD- 95379 How: upon receipt by SCOR or HUD MF Production Staff familiar with the deliverables within seven

(7) business days of inspection Frequency: every inspection Who: SCOR or HUD MF Production Staff familiar with the deliverables Incentive: 5% disincentive if Column A Invoice Subtotal is less than 100% of Contractor Inspector's Date of Inspection do not coincide with the Draw Request Meeting

Representative's Trip Report A004 HUD-92448, Contractor's Requisition 5.1.2.3 Construction Start Letter. The Contractor shall obtain and submit copies of the Builders Initial and Permanent Start letter(s) to the SCOR. The Builder is required to provide a Construction Start Letter to the Contract Inspector. This letter is to record the date of the initial start (when Builder mobilized on site) and the permanent start date (when improvements are permanently installed on site). Note: The HUD closing of the project to be inspected is the Notice to Proceed.

Contractor has 10 days after Notice to Proceed to provide construction Start Letter to Contract Inspector.

Deliverables:

A010 Start Letter(s) (initial and permanent)

a) 100% of Start Letter(s) received by SCOR within seven

(7) business days after receipt by the Contract Inspector

What: Start Letter(s) How: attached to the Trip Report Frequency: Two Per Project Who: SCOR or HUD MF Production Staff familiar with the deliverables Incentive: 5% disincentive of price per inspection cost if not received within seven (7) business days after receipt by the Contract Inspector.

5.2 Task 2: Section 223(f) Inspections

Deliverables:

A003 HUD-95379, HUD

Representative's Trip Report

a) 95% of HUD- 95379 with photos and required documents received within seven (7) business days of

How: upon receipt by SCOR or HUD MF Production Staff familiar with the deliverables within seven

(7) business days of inspection Frequency: every inspection Who: SCOR or HUD MF Production Staff familiar with the deliverables Incentive: 2% incentive of the invoice total amount if greater than 98% of HUD-95379 with photos and required documents are received within seven (7) business days of inspection AND 3% disincentive of the invoice total amount if less than 95% of HUD-

95379 with photos and required documents are received within seven (7) business days of

5.3 Task 3: Construction Administrative Tasks

Deliverables:

A003 HUD-95379, HUD

Representative's Trip Report

a) 95% of HUD- 95379 with photos and required documents received within seven (7) business days of

How: upon receipt by SCOR or HUD MF Production Staff familiar with the deliverables within seven

(7) business days of inspection Frequency: every inspection Who: SCOR or HUD MF Production Staff familiar with the deliverables Incentive: 2% incentive of the invoice total amount if greater than 98% of HUD-95379 with photos and required documents are received within seven (7) business days of inspection AND 3% disincentive of the invoice total amount if less than 95% of HUD- 95379 with photos and required documents are received within seven (7) business days of

5.3.2.3 Return the HUD-92448, Contractor's Requisition, signed original and signed copies to the Owner's Representative at the job-site upon completion of the monthly requisition meeting, and deliver a signed copy to the SCOR within seven (7) business days of signing (for information purposes only) in accordance with the Contract Deliverable requirements in this contract.

a) 100% of the

HUD-92448

received when seven

(7) business days of inspection and signing

What: HUD-92448 and HUD- 95379 How: upon receipt by SCOR or HUD MF Production Staff familiar with the deliverables within seven

(7) business days of inspection Frequency: monthly Who: SCOR or HUD MF Production Staff familiar with the deliverables Incentive: 2% incentive of Column A if Invoice Subtotal amount is greater than 98% of HUD-92448 are submitted within

Deliverables:

A003 HUD-95379, HUD

Representative's Trip Report A004 HUD-92448, Contractor's Requisition seven (7) business days of inspection and signing AND 3% disincentive of Column A if Invoice Subtotal amount if less than 95% of HUD-92448 are not submitted within seven (7) business days of inspection and signing

5.3.8 Construction Record. The Contractor shall maintain a file of project documents from project assignment through final completion of construction, incorporating appropriate documents as listed in the MAP Guide. All required documents, with the exception of the Contract Inspectors hard copy or soft copy set of plans and specifications and a duplicate hard copy or soft copy of the electronic 100% Final Completion HUD Trip Report, shall be electronically scanned and saved using an unalterable electronic means, such as a pdf file that is easily downloadable into existing HUD software. File names for all scanned and saved contract deliverables files shall utilize a HUD standardized file naming protocol to be provided at the post-award conference. The Contractor shall deliver the construction records electronically on an acceptable storage device (such as a virus free USB memory stick or CDR) to the SCOR within seven

(7) business days of the 100% final completion of construction.

Deliverables:

a) 100% of Construction Record received within seven (7) business days of final

What: Hard Copy or Soft Copy 100% Final Completion HUD Trip Report and Construction Record How: upon receipt by SCOR or HUD MF Production Staff familiar with the deliverables within seven

(7) business days of after HUD final completion Frequency: once per project Who: SCOR or HUD MF Production Staff familiar with the deliverables Incentive: 5% disincentive of price per inspection cost times the total number of inspections completed per project(s) if not submitted within seven (7) business days after final inspection

A007 Hard Copy or Soft Copy 100% Final Completion HUD Trip Report A009 Construction Record 5.3.8.1 Transition-Out: The Contractor shall submit the construction record, described in the paragraph above, to HUD for all projects in an active status at the time of the expiration of this contract or if a specific project must be stopped prior to the final inspection. The construction record provided in these situations will be the complete file of project documents from assignment through the last inspection actually performed by the contractor. The contractor shall submit to HUD the construction record electronically on an acceptable storage device (such as a virus free USB memory stick or CDR) to the SCOR with the marked-up set of Contract Inspector’s set of plans and specifications, within seven (7) business days of the date of the 100% final completion inspection performed.

Deliverables:

A008 Hard Copy or Soft Copy of HUD Inspector's Set of Plans & Specs, Marked-Up A009 Construction Record

a) 100% of Construction Record received within seven (7) business days of final

What: Hard Copy or Soft Copy of HUD Inspector's Set of Plans & Specs, Marked-Up and Construction Record How: upon receipt by SCOR or HUD MF Production Staff familiar with the deliverables within seven

(7) business days of after HUD final completion Frequency: once per project Who: SCOR or HUD MF Production Staff familiar with the deliverables Incentive: 5% disincentive of price per inspection cost times the total number of inspections completed per project(s) if not submitted within seven (7) business days after final inspection

5.4 Task 4: Guarantee/Warranty Inspections

Deliverables:

A003 HUD-95379, HUD

Representative's Trip Report

a) 95% of HUD- 95379 with photos and required documents received within seven (7) business days of inspection AQL: 5% deviation

What: HUD-95379 with photos and required documents How: upon receipt by SCOR or HUD MF Production Staff familiar with the deliverables within seven

(7) business days of inspection Frequency: every inspection Who: SCOR or HUD MF

Production Staff familiar with the deliverables Incentive: 2% incentive of the invoice total amount if greater than 98% of HUD-95379 with photos and required documents are received within seven (7) business days of inspection AND 3% disincentive of the invoice total amount if less than 95% of HUD- 95379 with photos and required documents are received with seven

(7) business days of inspection

QUALITY ASSURANCE PLAN CHECKLIST

The COR and SCOR will evaluate the construction Inspector’s (CI) performance on all projects to determine if the contract standards are met via the following:

1. Review of Once-monthly inspection reports (HUD-95379) generated and submitted to HUD by the CI in accordance with the attached checklist.

2. Review of forms and documents related to construction inspection tasks submitted by the CI as to proper completion per HUD handbooks and regulations.

3. Review of CI’s performance in the field on a random basis by site visits to MF projects under construction or in warranty period. Site visits may be unannounced or may coincide with builder’s monthly requisition for payment.

4. During a field/site review, or at the HUD office, the CI shall attend training sessions, as scheduled by the SCOR during the term of this contract. Such training sessions will occur as the SCOR deems necessary for the purpose of addressing programmatic and technical issues relevant to the project.

When HUD observes defective performance during quality assurance reviews, the COR will request the contract manager to respond to the deficiency. The CI shall respond to the deficiencies in writing within seven (7) business days of receipt. If the CI agrees with the deficiencies and the COR determines corrective action is required, the CI shall comply with the requirements of the specific task. If the deficiency is disputed, the contract manager shall attempt to resolve the issue with the COR. If a disagreement remains, it must be elevated to the contracting officer for a decision. HUD reserves the right to take corrective actions under the terms and conditions of the contract relating to continually defective performance.

The local HUD office may conduct performance meetings on a monthly basis with the COR, SCOR, and contracting officer. The CI’s contract manager shall attend these meetings.

These meetings will normally be held by telephone, unless the COR determines a need for a face-to-face meeting. If performance warrants, the COR, SCOR, and contracting officer may determine to have meetings more or less frequently.

CHECKLIST

CONSTRUCTION INSPECTION SERVICES CONTRACT

SCOR DELIVERABLE REVIEW GUIDE

A Guide for the Review of Each Contract Deliverable Requirement (CDR)

Note: Each cover letter on deliverables must be date stamped upon receipt in the office.

Requirement Yes NoN/A

CDR #6 - Construction Start Letter A Construction Start Letter was submitted from the Builder or Architect to the Contract Inspector (C.I.)

Includes the Initial Start of Construction date and/or the Start of Permanent Construction date, as appropriate.

Construction Start Letters sent to HUD within 7 days of C.I.’s receipt.

Cover Letter accompanied the Construction Start Letter.

CDR #7 - Trip Report Complete package received. Includes Cover

Letter, HUD-95379, Photos, & Attachments, as appropriate.

Received within 7 business days of project/site visit.

The HUD-95379 meets all contract requirements for completeness.

-- All applicable information and dates entered correctly.

-- Scheduled and Actual Progress appear to be accurate.

-- Provided clear, comprehensive report on the 5 required evaluation areas.

If this trip coincides with a Builder’s Requisition, does the report clearly indicate whether the proper draw meeting was conducted and that all parties were present/represented and had properly signed the Builder’s Requisition prior to C.I.’s signing.

-- Report item 5 shall note the amount of the current approved draw amount and the amount of any modifications during draw meeting.

-- Final inspection report has all required entries per PWS

Photos properly presented and labeled. Photos match narrative description of work being performed and adequately represent on-going construction progress described in Trip Report narrative, all construction deficiencies, and all non-compliant items.

Employee Wage Interviews accomplished and attached. If not accomplished, a valid and complete explanation is provided as to why they did not occur and what actions were taken to ensure they would be accomplished in the future. SCOR: Please comment if no interview attached. If Builder does not assist in getting their employees to cooperate and participate, contact Labor and request they send a letter to the Builder.

Supervisory Architect’s performance is fully documented and rated as satisfactory or unsatisfactory. SCOR: Please comment if Architect’s performance appears unsatisfactory and ask CI to keep you apprised of this situation. If unsatisfactory performance continues, the SCOR will contact the Lender and request the Architect’s fee be withheld until the CI determines the Architect’s performance to be satisfactory.

Supervisory Architect’s field report(s) available since last visit are attached to the trip report. SCOR: Please comment if no field notes are attached. Receiving no field notes in a month is unacceptable.

Obtained copy(s) of Architect’s Supplemental Instructions (AIA- G710) and submitted along with the trip report, as they become available.

Obtained copy(s) of any Change Orders (HUD-92437) and submitted along with the trip report as soon as they are available.

-- The C.I. discussed the proposed changes and expressed their opinion.

-- All previously proposed Change Orders are listed in paragraph 3 of the Trip Report, with a brief description of the change and the current status of the change (approved or open). SCOR:

Please comment if Change Orders are not listed with their status stated. Rate unacceptable if this continues.

Critical Phase Inspections performed at the appropriate time and all issues addressed in paragraph 3 of the Trip Report.

-- For example; if the photos show a slab in place and no Critical Phase Inspections have been performed, then the CI has missed one such inspections; the building pad and pre-concrete placement. Therefore the Trip Report Cover Sheet would be rated unacceptable.

Obtained copy(s) of any Requests for Approval of Advance of Escrow Funds (HUD-92464) when signed by the C.I., then submitted along with the trip report.

Obtained copy(s) of FHA-2485/HUD-92485, Permission to Occupy, when signed by the C.I., then submitted along with the trip report, as well as, the AIA-G703 and local occupancy certificates, as applicable. Permission to Occupy specifies building number(s) and number of units.

Where special circumstances or serious construction problems are described in the trip report such as those in the PWS, did the CI discuss said problems telephonically with the SCOR immediately following their discovery? SCOR:

Please comment if the answer to this is no.

CDR #8 - Builder’s Requisition - HUD-92448 Requisition properly completed and signed by all parties prior to

C.I. signing and dating the Inspector’s Certification on reverse.

Builder signed prevailing wage certification on reverse, when applicable.

Inventory of materials itemized as to quantity and costs for payment of on-site/off-site stored materials is attached to HUD- 92448. Payment for on-site stored materials is fully supported and conforms to HUD Handbook 4460.1 REV-2, paragraph 3-7 and 3- 8, Handbook 4435.1 and the MAP Guide. CI addressed stored materials in trip report and included photos or the requisition was modified to remove items stored on-site.

Payment for off-site stored materials is fully supported and conforms to HUD Handbook 4435.01 REV-1, paragraph 1-6.

Retainage reduction from 10% to 5% when the project is at least 90% complete is fully supported and requested in writing by the Builder.

Note: CI must not sign a requisition where retainage is reduced below 5% without consultation with the SCOR.

Note: SCOR obtain Labor approval.

Submitted to HUD within 7 days of C.I.’s site visit and signing.

Cover Letter accompanied the Builder’s Requisition submittal.

C.I.’s site visit coincided with Pay Draw meeting.

SCOR: Please comment on cover letter whether or not this occurred.

CDR #9 - Construction Record

The C.I. submitted the final Construction Record.

Contains the complete history of the project’s construction.

Construction Record was sent to HUD within 7 days of the completion of the 12-month warranty inspection or last warranty inspection.

Cover Letter accompanied the Construction Record.

Note for the SCOR:

1. For any block where “No” is checked an explanation for the “No” rating must be noted on the rated Cover Sheet prior to it being returned to the Contract Inspector.

2. Always include comments on the Cover Sheet in the following situations:

a. Deliverable is received Late; to HUD after 7 business days.

b. The Architect’s performance is unsatisfactory, requiring additional focus on the Architect’s performance on the next trip report.

c. Architect Field Notes are not attached to each trip report.

d. Wage Interviews are not attached to each trip report.

e. Proposed Change Orders and their status are not listed in paragraph 3.

f. Any Critical Phase Inspections are missed.

g. Serious construction issues are not immediately and telephonically brought to the attention of the SCOR.

h. Site visit coincides with Draw meeting.