DU204SB-12-R-0001.pdf

SECTION B - Supplies or Services/Prices

B.1 SERVICE

CLIN 0001: PRE-CONVEYANCE

CLIN 0010: PRE-CONVEYANCE

CLIN 0019: PRE-CONVEYANCE

CLIN 0028: PRE-CONVEYANCE

CLIN 0037: PRE-CONVEYANCE

SECTION C - Description/Specifications

SECTION D - Packaging and Marking

SECTION E - Inspection and Acceptance

52.246-16 RESPONSIBILITY FOR SUPPLIES. (APR 1984)

2452.246-70 INSPECTION AND ACCEPTANCE. (FEB 2006)

E.1 SECTION E ADDITIONAL INFORMATION

SECTION F - Deliveries or Performance

2452.211-70 EFFECTIVE DATE AND CONTRACT PERIOD. (FEB 2006) - ALTERNATE I

(FEB 2006)

SECTION G - Contract Administration Data

52.252-2 CLAUSES INCORPORATED BY REFERENCE. (FEB 1998)

2452.232-70 PAYMENT SCHEDULE AND INVOICE SUBMISSION (FIXED-PRICE). (FEB

2006)

2452.237-73 CONDUCT OF WORK AND TECHNICAL GUIDANCE. (FEB 2006)

SECTION G

G.1 ADDITIONAL INFORMATION

SECTION H - Special Contract Requirements

2452.209-70 POTENTIAL ORGANIZATIONAL CONFLICTS OF INTEREST. (FEB 2000)

2452.219-70 SMALL BUSINESS SUBCONTRACTING PLAN COMPLIANCE. (FEB 2006)

2452.237-70 KEY PERSONNEL. (FEB 2006)

2452.239-71 INFORMATION TECHNOLOGY VIRUS SECURITY. (FEB 2006)

AS-1302 POSTAWARD CONFERENCE

SECTION I - Contract Clauses

FAR 52.252-2 CLAUSES INCORPORATED BY REFERENCE (FEB 1998)

52.209-9 UPDATES OF PUBLICLY AVAILABLE INFORMATION REGARDING

RESPONSIBILITY MATTERS. (FEB 2012)

52.216-18 ORDERING. (OCT 1995)

52.216-19 ORDER LIMITATIONS. (OCT 1995)

52.216-22 INDEFINITE QUANTITY. (OCT 1995)

52.217-8 OPTION TO EXTEND SERVICES. (NOV 1999)

52.217-9 OPTION TO EXTEND THE TERM OF THE CONTRACT. (MAR 2000)

52.222-36 AFFIRMATIVE ACTION FOR WORKERS WITH DISABILITIES. (OCT 2010)

52.222-50 COMBATING TRAFFICKING IN PERSONS. (FEB 2009)

52.228-16 PERFORMANCE AND PAYMENT BONDS - OTHER THAN CONSTRUCTION. (NOV

2006)

52.246-25 LIMITATION OF LIABILITY - SERVICES. (FEB 1997)

52.252-6 AUTHORIZED DEVIATIONS IN CLAUSES. (APR 1984)

2452.203-70 PROHIBITION AGAINST THE USE OF GOVERNMENT EMPLOYEES. (FEB 2006)

2452.209-71 LIMITATION ON FUTURE CONTRACTS. (FEB 2000)

2452.209-72 ORGANIZATIONAL CONFLICTS OF INTEREST. (APR 1984)

2452.216-76 MINIMUM AND MAXIMUM QUANTITIES AND AMOUNTS FOR ORDER. (FEB

2006)

2452.216-78 ORDERING PROCEDURES. (FEB 2006) - ALTERNATE II (FEB 2006)

2452.222-70 ACCESSIBILITY OF MEETINGS, CONFERENCES, AND SEMINARS TO

PERSONS WITH DISABILITIES. (FEB 2006)

2452.237-77 OBSERVANCE OF LEGAL HOLIDAYS AND ADMINISTRATIVE LEAVE. (FEB

2006)

SECTION J - List of Documents, Exhibits and Other Attachments

SECTION K - Representations, Certifications, and Other Statements of

Bidders

52.203-2 CERTIFICATE OF INDEPENDENT PRICE DETERMINATION (APR 1985) . 123

52.204-3 TAXPAYER IDENTIFICATION (OCT 1998)

52.204-8 ANNUAL REPRESENTATIONS AND CERTIFICATIONS (MAR 2012)

52.209-5 CERTIFICATION REGARDING RESPONSIBILITY MATTERS (APR 2010) . 129

52.209-7 INFORMATION REGARDING RESPONSIBILITY MATTERS (FEB 2012) ... 132

52.219-1 SMALL BUSINESS PROGRAM REPRESENTATIONS (APR 2012)

52.219-22 SMALL DISADVANTAGED BUSINESS STATUS (OCT 1999)

52.222-18 CERTIFICATION REGARDING KNOWLEDGE OF CHILD LABOR FOR LISTED END

PRODUCTS (FEB 2001)

52.222-22 PREVIOUS CONTRACTS AND COMPLIANCE REPORTS (FEB 1999)

52.222-25 AFFIRMATIVE ACTION COMPLIANCE (APR 1984)

52.222-38 COMPLIANCE WITH VETERANS' EMPLOYMENT REPORTING REQUIREMENTS (SEP

2010)

SECTION L - Instructions,Conditions, and Notices to Bidders

52.216-1 TYPE OF CONTRACT. (APR 1984)

52.233-2 SERVICE OF PROTEST. (SEP 2006)

2452.233-70 REVIEW OF CONTRACTING OFFICER PROTEST DECISIONS. (FEB 2006)

AS-2309 SUBCONTRACTING GOALS

ADDITIONAL INFORMATION

19.704 SUBCONTRACTING PLAN REQUIREMENTS

52.217-5 EVALUATION OF OPTIONS. (JUL 1990)

AS-2310 SUBCONTRACTING PLANS

SECTION M - Evaluation Factors for Award

PART I - THE SCHEDULE

SECTION B - Supplies or Services/Prices

B.1 SERVICE

The contractor shall provide Field Service Management services to successfully manage HUD-owned Single Family Properties and provide property maintenance and preservation services consisting of, but not limited to, inspecting the property, securing the property, performing cosmetic enhancements/repairs, and providing on-going maintenance. The Government anticipates awarding approximately 12 contracts throughout the country.

B.2 CONTRACT DEFINITION - INDEFINITE – QUANTITY/FIXED-UNIT-RATE

This is an Indefinite Quantity, Fixed-Unit-Rate contract as defined at Subpart 16.504 of the Federal Acquisition Regulation and in Section

I, Clause 52.216-22, Indefinite Quantity, herein. Services provided by the Contractor under this contract shall be obtained as stated in

HUDAR 2452.216-78, Ordering Procedures.

B.3 NOT-TO-EXCEED LIMITATION

(a) The total amount of funds currently available for the payment of work under this contract is to be determined at time of award.

The Government shall not order, nor shall the Contractor be required to accept orders for work or perform work or make deliveries, that exceed the stated funding limit.

(b) The Government may unilaterally increase the amount to be obligated through contract modification(s) until the full contract value has been obligated.

B.4 PRICING

Base Year Period - Firm Fixed Price (duration 12 months)

CONTRACT

LINE ITEMS

(CLINS)

SUPPLIES OR

SERVICES

ESTIMATED

UNIT UNIT PRICE

CLIN 0001: PRE-CONVEYANCE

Pre-Conveyance

Inspections Each

CLIN 0002: HUD PROPERTY INSPECTIONS REPORT

0002 HUD-Owned, Vacant

One (1)

Time on New

Acquisitio ns

CLIN 0003: HUD PROPERTY INSPECTION/INITIAL SERVICES

0003 Vacant Lot Each

CLIN 0004: INITIAL SERVICES

0004 HUD-Owned Vacant Each

CLIN 0005: ON-GOING PROPERTY MANAGEMENT (PM) FEE, HUD-OWNED

VACANT

0005 HUD-Owned Vacant Monthly

CLIN 0006: INSPECTION, INITIAL SERVICES, ON-GOING PM FOR

CUSTODIAL PROPERTIES

Custodial

Properties

Monthly when a property is assigned until it is removed or converts to

HUD vacant

CLIN 0007: ON-GOING PM FEE, VACANT LOT

0007 Vacant Lot

Monthly until old

CLIN 0008: INTENTIONALLY LEFT BLANK TO PRESERVE EXISTING CLIN

STRUCTURE

CLIN 0009: Pass Through Expenses

Lead Based Paint stabilization or abatement;

Eviction; repair caused by vandalism, wood destroying organisms, evictions, or other property repairs as required by HUD;

Demolition; Record

Retention, Exit

File Delivery;

Utility Liens;

Utility Charges for

Occupied

Each

Properties; Dues –

HOA, Condominium, Special

Assessments, Ground Rents

TOTAL

ESTIMATED

PROPOSED

COST

Option Period One - Firm Fixed Price (duration 12 months)

(CLINS)

SUPPLIES OR

SERVICES

CLIN 0010: PRE-CONVEYANCE

CLIN 0011: HUD PROPERTY INSPECTIONS REPORT

0011 HUD-Owned, Vacant

One (1)

Time on New

CLIN 0012: HUD PROPERTY INSPECTION/INITIAL SERVICES

0012 Vacant Lot Each

CLIN 0013: INITIAL SERVICES

0013 HUD-Owned Vacant Each

CLIN 0014: ON-GOING PROPERTY MANAGEMENT (PM) FEE, HUD-OWNED

0014 HUD-Owned Vacant Monthly

CLIN 0015: INSPECTION, INITIAL SERVICES, ON-GOING PM FOR

Custodial

Properties

Monthly when a property is assigned until it is removed or

CLIN 0016: ON-GOING PM FEE, VACANT LOT

0016 Vacant Lot

Monthly until sold

CLIN 0017: INTENTIONALLY LEFT BLANK TO PRESERVE EXISTING CLIN

CLIN 0018: Pass Through Expenses

Lead Based Paint stabilization or abatement;

Eviction; repair caused by vandalism, wood destroying organisms, evictions, or other property repairs as required by HUD;

Demolition; Record

Retention, Exit

File Delivery;

Utility Liens;

Utility Charges for

Occupied

Properties; Dues –

HOA, Condominium, Special

Assessments, Ground Rents

TOTAL

Option Period Two - Firm Fixed Price (duration 12 months)

(CLINS)

SUPPLIES OR

SERVICES

CLIN 0019: PRE-CONVEYANCE

CLIN 0020: HUD PROPERTY INSPECTIONS REPORT

0020 HUD-Owned, Vacant

One (1)

Time on New

CLIN 0021: HUD PROPERTY INSPECTION/INITIAL SERVICES

0021 Vacant Lot Each

CLIN 0022: INITIAL SERVICES

0022 HUD-Owned Vacant Each

CLIN 0023: ON-GOING PROPERTY MANAGEMENT (PM) FEE, HUD-OWNED

0023 HUD-Owned Vacant Monthly

CLIN 0024: INSPECTION, INITIAL SERVICES, ON-GOING PM FOR

Custodial

Properties

Monthly when a property is assigned until it is removed or

CLIN 0025: ON-GOING PM FEE, VACANT LOT

0025 Vacant Lot

Monthly until sold

CLIN 0026: INTENTIONALLY LEFT BLANK TO PRESERVE EXISTING CLIN

CLIN 0027: Pass Through Expenses

Lead Based Paint stabilization or abatement;

Eviction; repair caused by vandalism, wood destroying organisms, evictions, or other property repairs as required by HUD;

Demolition; Record

Retention, Exit

File Delivery;

Utility Liens;

Utility Charges for

Occupied

Properties; Dues –

HOA, Condominium, Special

Option Period Three - Firm Fixed Price (duration 12 months)

(CLINS)

SUPPLIES OR

SERVICES

CLIN 0028: PRE-CONVEYANCE

CLIN 0029: HUD PROPERTY INSPECTIONS REPORT

0029 HUD-Owned, Vacant

One (1)

Time on New

CLIN 0030: HUD PROPERTY INSPECTION/INITIAL SERVICES

0030 Vacant Lot Each

CLIN 0031: INITIAL SERVICES

0031 HUD-Owned Vacant Each

CLIN 0032: ON-GOING PROPERTY MANAGEMENT (PM) FEE, HUD-OWNED

0032 HUD-Owned Vacant Monthly

CLIN 0033: INSPECTION, INITIAL SERVICES, ON-GOING PM FOR

Custodial

Properties

Monthly when a property is assigned until it is removed or

CLIN 0034: ON-GOING PM FEE, VACANT LOT

0034 Vacant Lot

Monthly until sold

CLIN 0035: INTENTIONALLY LEFT BLANK TO PRESERVE EXISTING CLIN

CLIN 0036: Pass Through Expenses

Lead Based Paint stabilization or abatement;

Eviction; repair caused by vandalism, wood destroying organisms, evictions, or other property repairs as required by HUD;

Demolition; Record

Retention, Exit

File Delivery;

Utility Liens;

Utility Charges for

Occupied

Properties; Dues –

HOA, Condominium, Special

Option Period Four – Firm Fixed Price (duration 12 months)

(CLINS)

SUPPLIES OR

SERVICES

CLIN 0037: PRE-CONVEYANCE

CLIN 0038: HUD PROPERTY INSPECTIONS REPORT

0038 HUD-Owned, Vacant

One (1 Time on New

CLIN 0039: HUD PROPERTY INSPECTION/INITIAL SERVICES

0039 Vacant Lot Each

CLIN 0040: INITIAL SERVICES

0040 HUD-Owned Vacant Each

CLIN 0041: ON-GOING PROPERTY MANAGEMENT (PM) FEE, HUD-OWNED

0041 HUD-Owned Vacant Monthly

CLIN 0042: INSPECTION, INITIAL SERVICES, ON-GOING PM FOR

Custodial

Properties

Monthly when a property is assigned until it is removed or

CLIN 0043: ON-GOING PM FEE, VACANT LOT

0043 Vacant Lot

Monthly until sold

CLIN 0044: INTENTIONALLY LEFT BLANK TO PRESERVE EXISTING CLIN

CLIN 0045: Pass Through Expenses

Lead Based Paint stabilization or abatement;

Eviction; repair caused by vandalism, wood destroying organisms, evictions, or other property repairs as required by HUD;

Demolition; Record

Retention, Exit

File Delivery;

Utility Liens;

Utility Charges for

Occupied

Properties; Dues –

HOA, Condominium, Special

Initial Services (Pre-Conveyance Inspection, HUD Property Inspection;

CLINs 0001-0004 and corresponding Option CLINs) – The fee is based on initial date of assignment, and paid out one time in the month the services were completed.

Routine (On-going) Property Management (PM) Fees (CLINs 0005 – 0007 and corresponding Option CLINs) – The contractor is paid based on the date of performance rather than the date of assignment; *Note, this fee may be pro-rated for less than a 30-day performance cycle.

Pass-Through Expenses (CLIN 0009 and corresponding Option CLINs) – an actual, out of the pocket expense incurred and paid by the contractor.

Allowable Pass Through Expenses are listed in Attachment 5. The contractor will be reimbursed for the actual cost of the service or item. There will be no fee or overhead included.

*The Government reserves the right to withhold or pro-rate payment based on the acceptance clause, HUDAR 2452.246-70, Inspection and Acceptance, for any services not rendered or partially completed.

B.5 PAYMENT AT CONTRACT EXPIRATION

The Contractor understands and accepts the risk that, upon expiration of the contract, including any options to extend that are exercised, for properties assigned, the Contractor and HUD agree that HUD shall only pay the Contractor as specified in B.4 as the sole and exclusive compensation due for such properties. HUD will pay the Contractor appropriate pass through costs, which the Contractor may have incurred during the contract term, and which under the specific language of the contract the Contractor is entitled.

B.6 ORDERING

Written Task Orders for this service contract will be issued on a quarterly basis, in accordance with Section C, Paragraph 1.4. Individual assignment of assets will be recorded electronically in HUD’s P260 system. Individual asset ―orders‖ will be considered placed upon electronic assignment of assets. Authorized Ordering Officials include the Contracting Officer (CO) and the Government Technical Representative (GTR). It should be noted that

GTR’s cannot negotiate or change any pricing or terms/conditions of this contract without the express written consent of the Contracting Officer.

SECTION C - Description/Specifications

Management and Marketing

Support Services: Field Service Manager (FSM) 3.6)

Performance Work Statement

TABLE OF CONTENTS

SECTION C - DESCRIPTION/SPECIFICATIONS 6

1 GENERAL INFORMATION 6

1.1 BACKGROUND 6

1.2 OVERVIEW OF ASSET DISPOSITION CONTRACT STRUCTURE 7

1.3 OVERVIEW OF THE ASSET DISPOSITION PROCESS (ADP) 8

1.4 ASSIGNMENT OF ASSETS 8

1.5 GEOGRAPHIC AREAS ADMINISTRATION AND OVERSIGHT 9

1.6 PURPOSE AND OBJECTIVES FOR THE FIELD SERVICE MANAGER 9

2 ABBREVIATIONS, DEFINITIONS, ACQUISITION TYPES 10

2.1 ABBREVIATIONS 10

2.2 DEFINITIONS 11

2.3 ACQUISITION TYPES 17

3 GOVERNMENT PROVIDED GOODS AND SERVICES 18

3.1 INFORMATION SYSTEMS 18

3.1.1 SINGLE FAMILY INSURANCE SYSTEM (SFIS) 18

3.1.2 FHA CONNECTION 18

3.1.3 P260 18

3.1.4 SINGLE FAMILY ACQUIRED ASSET MANAGEMENT SYSTEM (SAMS) 18

3.2 ACCESS TO HUD INFORMATION SYSTEMS 18

3.2.1 SECURITY ACCESS 19

3.2.2 SYSTEMS ACCESS AUTHORIZATION 19

3.3 HUD PROVIDED TRAINING 19

3.4 APPLICABLE DOCUMENTS 20

4 CONTRACTOR PROVIDED GOODS AND SERVICES 20

4.1 GENERAL 20

4.2 CONTRACTOR EXPENSES 20

4.3 INTERFACE EQUIPMENT AND SOFTWARE 20

4.4 SYSTEMS SECURITY ADMINSTRATOR 20

4.5 COST ESTIMATING TOOL 21

5 DESCRIPTION OF SERVICES 21

5.1 GENERAL REQUIREMENTS 21

5.1.1 INFORMATION MANAGEMENT 22

5.1.1.1 HUD Provided Information Systems 22

5.1.1.2 Daily Posting of Records 22

5.1.1.3 Work Orders 22

5.1.1.4 Imaging 23

5.1.1.5 Date Stamps 23

5.1.1.6 Physical File Maintenance and Retention 23

5.1.1.7 Delivery of Files Upon Request 23

5.1.1.8 Information Security 23

5.1.2 OFFICE FACILITIES 24

5.1.3 CUSTOMER SERVICE 24

5.1.3.1 Business Hours 24

5.1.3.2 After Business Hours 24

5.1.3.3 Response Time 25

5.1.3.4 Toll Free Phone Number 25

5.1.3.5 Communications Log 25

5.1.3.6 Freedom of Information Act 25

5.1.3.7 Government Inquiries 25

5.1.3.8 Other Correspondence 25

5.1.3.9 Litigation 25

5.1.4 MEETINGS 26

5.1.5 HUDs APPROVAL AND ACCEPTANCE RIGHTS 26

5.1.5.1 WRITTEN APPROVAL 26

5.1.5.2 EFFECT OF APPROVAL 26

5.1.6 COMPLIANCE WITH LEGISLATIVE, REGULATORY AND 26

POLICY REQUIREMENTS

5.1.7 QUALITY CONTROL PLAN (QC) 26

5.1.7.1 Quality Control Plan 26

5.1.7.2 Quality Control Reviews 27

5.1.7.3 Quality Assurance Reviews 27

5.1.8 PROPERTY MANAGEMENT PLAN (PMP) 27

5.1.9 CONTINGENCY PLAN 28

5.1.10 PERFORMANCE AND PAYMENT BOND 28

5.1.11 LIEN RELEASES 28

5.1.12 CONFLICTS OF INTEREST 29

5.1.12.1 General Rule 29

5.1.12.2 Pass-Through 29

5.1.12.3 Kick-backs, Rebates, Referral Fees 29

5.1.12.4 Excluded Purchasers 29

5.1.13 NOTICES 29

5.1.14 ELECTRONIC DISCLOSURES, RECORDS & SIGNATURES 29

5.2 PROPERTY MANAGEMENT 30

5.2.1 Pre-Conveyance 30

5.2.1.1 Inspections 30

5.2.1.1.1 Pre-Conveyance Inspection 30

5.2.1.1.2 Over allowable Inspection 30

5.2.1.1.3 Sur-chargeable Damage Inspection 30

5.2.1.1.4 Occupied Conveyance Inspection 31

5.2.2 Acquisition (Post-Conveyance) 31

5.2.2.1 HUD Property Inspection 31

5.2.2.1.1 Part I of the HPIR 31

5.2.2.1.1.1 Cost Estimation 31

5.2.2.1.2 Part II of the HPIR 32

5.2.2.1.2.1 Health & Safety Hazards 32

5.2.2.1.3 Part III of the HPIR 32

5.2.2.2 Initial Securing 32

5.2.2.3 Initial Clean-out Services 33

5.2.2.3.1 Disposal of Debris, Refuse and Personal Property 33

5.2.2.3.2 Post Emergency Signs 33

5.2.2.3.3 Repair Broken Windows and Doors 33

5.2.2.3.4 Ensure Proper Access 33

5.2.2.3.5 Winterization 33

5.2.2.3.6 Prevent Further Moisture Damage 33

5.2.2.3.7 Install Sign-in Sheets 33

5.2.2.3.8 Health & Safety Hazards and Emergency Repairs 33

5.2.3 PROPERTY MAINTENANCE 33

5.2.3.1 Ready to Show Condition 34

5.2.3.2 Routine Inspections 34

5.2.3.3 Quality Assurance 34

5.2.4 UTILITIES 34

5.2.4.1 Utility Liens 35

5.2.4.2 Utility Charges 35

5.2.4.3 Purchaser Testing 35

5.2.4.4 Occupied Properties 35

5.2.5 RENTS, FEES, DUES, AND ASSESSMENTS 35

5.2.5.1 Homeowner’s Association Fees, Dues, Ground Rents 35

and Non-Tax Assessments

5.2.5.1.1 Mortgagee Responsibility 36

5.2.5.1.2 Additional Notifications 36

5.2.6 ENVIRONMENTAL COMPLIANCE 36

5.2.6.1 Lead Based Paint 36

5.2.6.1.1 Lead Based Paint Work Orders 36

5.2.6.1.2 Compliance Requirements 36

5.2.6.1.3 Lead Based Paint Inspections 37

5.2.6.1.4 Stabilization and Clearance 37

5.2.6.1.5 Costs 37

5.2.6.1.6 Philadelphia, PA 37

5.2.6.1.7 Asset Control Areas 37

5.2.6.2 Mold 37

5.2.6.3 Other Environmental Hazards 38

5.2.6.4 CERCLA Compliance 38

5.2.6.4.1 Lease Restrictions 38

5.2.7 TERMITES AND WOOD DESTROYING ORGANISMS 38

5.2.7.1 Clearance 39

5.2.7.2 Active Infestation 39

5.2.8 VANDALISM 39

5.2.8.1 Other Vandalism Repairs 40

5.2.8.2 Missing Appliances 40

5.2.8.3 GTR Notification 40

5.2.9 RENTAL PROPERTY MANAGEMENT 40

5.2.10 CUSTODIAL PROPERTIES 41

5.2.10.1 Notification 41

5.2.10.2 Ready To Show Condition 41

5.2.10.3 Personal Property 41

5.2.10.4 Rents, Fee, Dues and Associations 41

5.2.10.5 Environmental Compliance 41

5.2.10.6 Rental Property Management 41

5.2.11 HELD OFF MARKET (HOM) CODES 41

5.2.12 VACANT LOTS 42

5.2.13 EVICTIONS 42

5.2.14 DEMOLITIONS 42

5.2.14.1 Historic Reservation Requirements 42

5.2.14.2 Legal Notification Requirements 42

5.2.15 ONAP PROPERTIES 43

5.2.16 TRANSMITTAL PROCESSING 43

5.2.17 COSMETICS ENHANCEMENTS AND/OR REPAIRS 43

5.2.17.1 Cosmetic enhancements and/or repairs requested 43

5.2.17.2 Davis Bacon Wage Determinations 43

5.3 PERFORMANCE REQUIREMENTS SUMMARY (PRS) 44

5.4 REQUIRED REPORTS 46

5.4.1 QUALITY CONTROL REVIEW REPORT 47

5.4.2 AUDITED FINANCIAL STATEMENT 47

5.4.3 AD HOC REPORTS 47

6 TRANSITION 47

6.1 START-UP 47

6.1.1 CONTRACTOR RESPONSIBILITIES 48

6.1.2 HUD RESPONSIBILITIES 49

6.1.2.1 Review of Contractors Plans 49

6.1.2.2 Orientation 49

6.1.2.3 Policy and Procedures 49

6.4.2.4 Systems 50

6.2 RAMP UP 50

6.2.1 TRANSITION SCHEDULE 50

6.2.1.1 61st Day 50

6.2.1.2 91st Day 50

6.2.1.3 136th Day 51

6.3 TRANSITION OUT 51

SECTION C: DESCRIPTION/SPECIFICATIONS

1 GENERAL INFORMATION

1.1 BACKGROUND

This Performance Work Statement (PWS) describes the services required to assist the United States Department of Housing and Urban Development

(HUD) with property and preservation services for its Real-Estate Owned

(REO) portfolio.

The Federal Housing Administration (FHA), an organizational unit within

HUD, administers the single-family mortgage insurance program. FHA insures approved lenders against the risk of loss on mortgages obtained with FHA financing. In the event of a default on an FHA insured loan, the lender acquires title to the property by foreclosure, a deed-in-lieu of foreclosure, or other acquisition method, files a claim for insurance benefits and conveys the property to HUD. As a result of acquisitions through the mortgage insurance program and other programs, HUD has a need to manage and sell a sizable inventory of single-family homes in a manner that promotes home ownership, preserves communities, and maximizes return to the FHA insurance funds. HUD is the largest single seller of real estate in the US. In fiscal years 2007 and 2008, the Department sold 49,385 and 46,333 single-family homes respectively.

HUD administers the REO disposition program through four (4)

Homeownership Centers (HOCs) located in: Philadelphia, Pennsylvania;

Atlanta, Georgia; Denver, Colorado; and Santa Ana, California. Each HOC is responsible for a designated geographic area. Within each HOC there will also be designated contract areas for Field Service Managers.

Since 1999, HUD has been outsourcing the disposition of its REO inventory to Management and Marketing (M&M) Contractors. This acquisition is part of the third generation of M&M services (M&M III). Under the previous generations of M&M contracts, HUD contracted with a single entity to provide all of the administrative, program support, management and marketing services throughout the United States, the Caribbean, Guam and the Northern Mariana Islands. The second generation of M&M contracts will expire in calendar year 2009. To ensure the continued success of its disposition program and to further capitalize on the private sector’s disposition expertise, in 2007, HUD conducted extensive market research on industry best practices surrounding the REO asset disposition process to structure the third generation of the contracting program, herein after referred to as M&M III. Based on market research results for M&M

III, HUD developed a disposition structure for the management and marketing of REO inventory that will streamline its operations, capitalize on the expertise of its potential Contractors, and provide flexibility to meet changing market conditions in the REO industry.

Key elements of the disposition structure include:

Centralization of mortgagee compliance functions under a Mortgagee

Compliance Manager (MCM) responsible for pre- and post-property conveyance activity including approval of claims for payment, title reviews, and inspection reviews.

Separation of marketing functions Asset Managers (AM) from property management functions Field Service Managers (FSM).

Creation of an Oversight Monitor (OM), focused on overall portfolio analysis, monitoring, and oversight of the disposition processes.

1.2 OVERVIEW OF ASSET DISPOSITION CONTRACT STRUCTURE

This section describes the four (4) entities under the M&M III disposition structure and the roles and responsibilities of each

Contractor within the structure.

The entities under the new disposition strategy include:

Oversight Monitor (OM)

Mortgagee Compliance Manager (MCM)

Asset Manager (AM)

Field Service Manager (FSM)

Section 1.6 includes a detailed summary of the purpose and objectives of the FSM Contractor. Below is a summary of the purpose and objectives of other Contractors in the M&M III asset disposition structure.

Mortgagee Compliance Manager (MCM)

The Mortgagee Compliance Manager shall perform a variety of pre- and post- property conveyance services to ensure that HUD's interests are protected. These services will include: reviewing property inspections to ensure the property is in conveyance condition; resolving conveyance exceptions; providing guidance to Mortgagees related to pre-conveyance and post-conveyance responsibilities; and leveraging HUD’s software and information systems to execute and complete the tasks within its contract.

Asset Managers (AM)

The AMs are responsible for the marketing and sale of REO property. AMs will be contracted to market HUD-owned properties within their selected geographical area.

1.3 OVERVIEW OF THE ASSET DISPOSITION PROCESS (ADP)

M&M III consists of the following major processes; (1) Pre-Conveyance

Activity; (2) Conveyance Activity; (3) Claim Review Activity; (4)

Management Activity; (5) Marketing Activity; (6) Closing Activity; and

(7) Oversight Monitoring.

1.4 ASSIGNMENT OF ASSETS

Property assignments will begin during the Ramp-up phase of the transition period (See Section C.6.2, Ramp-up). During this phase, HUD will begin to assign new acquisitions and transfer unsold inventory, held off market and custodial properties to the Contractor.

Asset Assignments and Performance:

Through the life of the contract, the Government Technical

Representative (GTR) will monitor contractor performance based on HUD’s

Quality Assurance (QA) procedures. The Government will issue a

Quarterly Performance Report (QPR) beginning in the 4th month of contract award. Contractors who are performing at a satisfactory level as indicated on the QPR will continue to receive new property acquisitions within their awarded geographical area. Contractors who are performing at below a satisfactory level may find their assignments impacted by the following:

1. Realignment: The Government may unilaterally realign the existing geographic area in accordance with the clause H.2, Option to

Increase/Decrease the Geographic Service Area. After meeting the guaranteed contract minimum established in Paragraph I.4, the Government reserves the right to non-competitively increase or reduce the geographic service area of this contract through contract modification.

As previously noted, the resulting modification will realign the geographic area of the affected contract, but will not increase the original contract ceiling, unless one of the authorities in FAR Subpart

6.302 is cited. Realignment of the geographic area will become effective for all new assignments made after the effective date identified on the realignment modification. Assignments/Orders placed prior to a realignment modification being issued under this authority will remain with the existing contractor, unless the Government invokes a full or partial termination in accordance with FAR Part 49. The

Government intends to utilize this clause as mechanism to incentivize a high level of performance by rewarding the most highly performing contractors with an opportunity to expand their geographic service area and provide a disincentive for non-performance of contract requirements by reducing the geographic service area of contractors who fail to meet contract expectations.

2. Non-Assignment: The Government may unilaterally stop assigning assets to a Contractor due to non-performance. Contractors are not guaranteed any new assignments if the Government has stopped assigning assets. The Government will continue to review and monitor the

Contractor’s performance and if performance has shown improvement, the government reserves the right to make new assignments of assets to this

Contractor after a period of non-assignment.

Option Periods:

A satisfactory contract year-end performance rating is required for exercise of an option. During the option period, HUD may, at its discretion, continue to assign assets equally among satisfactory performing Contractors within a geographic area, may allocate assets based on each Contractor’s quarterly performance results, or may allocate assets based upon a asset allocation methodology developed by or on behalf of the Government. If assets are allocated, generally, the best performers will be assigned the highest number of assets within a geographic area and lower performing Contractors will generally be assigned a lesser number of assets

1.5 GEOGRAPHIC AREAS ADMINISTRATION AND OVERSIGHT

There will be a Contracting Officer (CO) and a Government Technical

Representative (GTR) for each of the entities listed under Section 1.2 of this PWS. The contracts will be administered from the respective program/geographic areas and the M&M Acquisition Center in Atlanta, Georgia. The program area administration will be as follows:

OM – HUD Headquarters, Washington, DC

MCM - National Servicing Center (NSC), Oklahoma City, OK

AM/FSM – Designated Homeownership Centers

1.6 PURPOSE AND OBJECTIVES FOR THE FIELD SERVICE MANAGER

The purpose of this contract is to obtain property management services as detailed in Section 5.2. FSMs are companies that provide property maintenance and preservation services consisting of, but not limited to, inspecting the property, securing the property, performing cosmetic enhancements/repairs, and providing on-going maintenance. As part of the FSM 3.6 Solicitation, the government anticipates awarding a single

FSM contract in each of the identified geographic areas. Properties acquired by HUD will be assigned to FSMs as discussed in Section 1.4.

Offerors will use this information to propose a technical solution for each of the objectives listed below, and further detailed in Section 5.

The technical solution will consist of, but will not be limited to, description of the procedures, documents, or reports that will be developed to meet the objectives.

HUD has identified six primary objectives for its Field Service Managers.

They are to ensure that:

· FHA insured properties are maintained in a manner that preserves communities;

· HUD has real time access to all property related information;

· Properties are secured and safe from hazardous conditions;

· Property values are preserved;

· Properties are maintained in a manner that reflects a high standard of care;

· There is a high level of customer satisfaction with HUD’s property disposition program.

2 ABBREVIATIONS, DEFINITIONS, ACQUISITION TYPES

2.1 ABBREVIATIONS

ABBREVIATIONS Definition

ACA Asset Control Area

AR Accounts Receivable

ARR Administrative Remedies Report

AM Asset Manager

BPO Broker Price Opinion

CFR Code of Federal Regulations

CO Contracting Officer

COOP Continuity of Operations Plan

FHA Federal Housing Administration

FOIA Freedom of Information Act

FSM Field Service Manager

GNND Good Neighbor Next Door

GTM Government Technical Monitor

GTR Government Technical Representative

HECM Home Equity Conversion Mortgage

HOA Homeowners Association

HOC Homeownership Center

HOM Held Off Market

HSFDS HUD Single Family Disposition Systems

HUD U.S. Department of Housing and Urban Development

HPIR HUD Property Inspection Report

M&M Management and Marketing Contractor

MCM Mortgagee Compliance Manager

MPR Minimum Property Requirements

MPS Minimum Property Standards

MWP Management Work Plan

NSC National Servicing Center

OM Oversight Monitor

PCR Property Condition Report

PIV Personal Individual Verification

P&P Property and Preservation

PGTR Principal GTR

PMM Purchase Money Mortgage

PMP Property Management Plan

PWS Performance Work Statement

QC Quality Control

QCD Quitclaim Deed

QPR Quarterly Performance Report

RDOA Redelegation of Authority

REO Real Estate Owned

SAMS Single Family Acquired Asset Management System

SFB Monthly Billing Fees Transmittal

SFF Pass Through Expense Transmittal

SFIS Single Family Insurance System

SFT Property Tax Payment Transmittal

SPI Special Property Inspection

SSA System Security Administrator

SSC Support Service Contractor sc

2.2 DEFINITIONS

Adverse Occupants – Occupants who are in possession of a HUD owned or

Custodial property without the legal right to be there.

Administrative Contracting Office Staff – After contract award, the HUD official authorized to execute and administer contractual documents based on this contract and who is also responsible for the day-to-day administration of this contract and delegating contract administration responsibilities to contracting staff and Government Technical

Representatives.

Acquisition – the process through which a real property or mortgage note secured by a real property is conveyed to HUD. Properties and mortgage notes are conveyed (acquired) from a number of sources. See Acquisition

Types, Section 2.3.

Affiliated Entity - (a) As to Contractor, any Entity (i) controlling, controlled by, or under common control with the Contractor, or (ii) whose

Management Officials are an Immediate Family member of a Management

Official of the Contractor; or (b) As to Subcontractor, any Entity (i) controlling, controlled by, or under common control with the

Subcontractor, or (ii) whose Management Officials are an Immediate

Family member of a Management Official of the Subcontractor, including any agent or broker, licensed under a listing broker, used to list

HUD-owned properties; or (c) As to any other Entity, any Entity (i) controlling, controlled by, or under common control with the other

Entity, or (ii) whose Management Officials are an Immediate Family member of a Management Official of the other Entity.

Asset Control Area (ACA) Program – a program for the disposition to eligible participants of HUD-owned properties and future HUD acquisitions of properties and/or mortgage loans located within HUD designated revitalization areas.

Asset Manager – a HUD Contractor responsible for the marketing of HUD

REO properties.

Broken Window – a pane of glass that has a visible opening that permits entry or exposure to the elements or which is so badly cracked as to constitute a hazard, e.g. a window with a crack that divides a single pane into two or more pieces.

Casualty Damage – is loss or harm to real or personal property that resulted from an accident, negligence and, or willful destruction, attributed to other than a Contractor, its employees or any affiliated

Contractors, Subcontractors or its employees, or an uncontrollable event such as fire, or some act of nature such as windstorm, snowstorm, or hurricane.

Contract Award Date - the date upon which HUD and the Contractor have both executed a Contract based on this PWS.

Contract Effective Date – the date upon which the Contractor begins to perform work under the PWS as identified in block 3 of form SF-1449.

Contracting Officer - the HUD official authorized to execute and administer a contract based on this PWS on behalf of HUD and includes any duly appointed successor or authorized representative.

Control - as to any Entity, the power to direct or cause the direction of the management and policies of such Entity, whether through the ownership of voting securities, by contract, or otherwise. The term

―Controlled‖ shall have a correlative meaning.

Conveyance Condition – Properties that are conveyed free of surchargeable damage (see definition of surchargeable damage).

Cracked Window – a pane of glass that is still intact but may have slight imperfections that do not amount to an opening in the glass or do not constitute a hazard, e.g. a pane of glass that has been damaged but not broken and there is no danger of falling glass or weather damage to the property.

Custodial Property – a borrower owned property that serves as security for a secretary-held mortgage (including a HECM), which HUD, through the

Contractor, has taken possession of following default and vacancy or abandonment.

Days – Unless otherwise specified in the Request for Quotation (RFQ), all references to days means calendar days.

Deteriorated Paint - any interior or exterior painted surface that exhibits cracking, scaling, chipping, peeling, or loose paint.

Defective Service – a service or deliverable that does not meet the performance standard specified in the contract for a specific performance requirement.

Electronic Data Interchange (EDI) – Software application-to-application communication of data in standard format for business transactions, EDI is a set of standards for structuring information that is to be electronically exchanged between and within businesses, and organizations.

Electronic Transmission – a message transmitted electronically in a format displayed on equipment, for example, a personal computer monitor or facsimile machine. The electronic media used to deliver electronic messages displayed on a personal computer monitor includes electronic mail or another method acceptable to HUD.

Emergency Contact Sign - a visible sign on the property that provides a toll free, 24-hour telephone number to report emergencies.

Entity - any individual, corporation, partnership, joint venture, limited liability company, trust, association.

FHA Connection – an Internet-based system that provides FHA business partners and Contractors secure interaction with HUD mainframe systems to perform required reporting and research the origination and servicing history of FHA insured loans.

Field Service Manager – a HUD Contractor responsible for property management, maintenance, and preservation services.

Financial Control Manual – A manual that describes HUD-Single Family

Housing Program's uniform policies and procedures for processing and approving contractor invoices related to the

Marketing and Management of HUD's properties - It also describes the minimum documentary evidence required of each type of transmittal.

Government Technical Monitor (GTM) – a HUD employee who assists the GTR in a limited area of expertise and who may be delegated some duties of the GTR.

Government Technical Representative (GTR) – a HUD employee who acts as the Contracting Officer's representative in all matters concerning the technical aspects of a contract. The GTR is responsible for giving

Contractors technical advice and guidance related to the work required by the contract. Moreover, the GTR is the principal judge of a

Contractor's performance, including the quality and timeliness of services.

Health and Safety Hazards - Any condition or situation at the property that exposes the government to abnormal risk, that presents a source of danger, which could cause an accident, or poses the threat of injury, harm to the public or property that must be corrected within one (1) day of discovery or notification.

Home Equity Conversion Mortgage (HECM) – a specialized mortgage product available only to senior citizens that allows them to receive cash payments from the equity in their home.

HUDClips – a web-based directory of all of HUD’s official policies and directives including notices, Mortgagee Letters, Housing Notices, Handbooks, Code of Federal Regulations and US Codes Titles 12 and 24.

The Internet address for HUD’s Client Information and Policy System

(HUDClips) is http://www.hud.gov/offices/adm/hudclips/index.cfm.

HUD-Owned Properties - Those properties that HUD owns by reason of payment of an insurance claim or another acquisition method. Unless otherwise indicated the term includes vacant land and occupied-conveyance properties. HUD-owned properties are also referred to as HUD REO or HUD-homes.

Immediate Family - As to any person and whether by blood, law, or marriage, (i) his or her spouse or domestic partner, (ii) his or her children, siblings, or parents, or (iii) the spouses or domestic partners of his or her children, siblings, or parents.

Management Official - As to any Entity, its owner, partner, principal, shareholder, director, officer, employee, agent, representative, or any individual who directs or has the power to direct its daily operations.

Minimum Property Requirements (MPR) – the minimum level of quality for existing single-family 1-4 unit properties to be considered technically acceptable for insurance under FHA Programs. MPR can be found in HUD

Handbook 4905.1 rev-1 and Mortgagee Letter 2005-48.

Minimum Property Standards (MPS) – a minimum quality level acceptable to HUD for new construction single-family 1-4 unit properties. MPS can be found in 24 CFR 200.926 through 200.926e and HUD Handbook 4910.1

Appendix K.

Mortgagee - an FHA approved mortgage loan holder or mortgage loan servicer. Mortgagee is also referred to as ―Lender‖.

Mortgagee Compliance Manager – The Contractor responsible for performing a variety of pre- and post- property conveyance services on behalf of

HUD.

Mortgagee Neglect – for a mortgage insured on or after January 1, 1977, the failure by a Mortgagee to inspect, or take reasonable action to preserve and protect a property until conveyance to the Secretary securing an FHA insured mortgage, as required by 24 CFR 203.377.

Reasonable action includes initiating foreclosure within the required time frame pursuant to 24 CFR 203.355(b).

Non-Surchargeable Damage – damage to the property that is not the responsibility of the Mortgagee because it was not caused by Mortgagee

Neglect, fire, flood, earthquake, hurricane, tornado, or for condominiums, boiler explosions.

Notice of Acquisition – the notice provided to the Contractor that a property has been assigned to them. Generally, notice is conveyed through P260. However, in some cases notice is delivered by the GTR.

Occupied-Conveyance - a formal process through which a Mortgagee receives permission to convey an occupied property to HUD. The term may also be used as a noun to refer to a property conveyed in this manner.

Pass Through Expense – an actual, out of pocket expense incurred and paid by the Contractor that is not deemed a Contractor’s expense and which is listed in the attachment as allowable pass-through expense.

Performance Evaluation - the GTR/GTM’s record of the Contractor’s performance under the contract.

Performance Requirement - the service level that separates acceptable performance from unacceptable performance of a task.

Performance Requirements Summary (PRS) - a listing of the performance requirements under the contract that the Government evaluates on a regular basis. Performance indicators, standards for these requirements, and surveillance methods will be used to determine if the

Contractor meets performance standards.

Performance Standard - the Contractor’s performance level on any deliverable as required by the Performance Work Statement.

Personal Identification Verification (PIV) – a process for personnel identification and verification to gain user approval and access to HUD’s computer systems.

Proposed Rule - proposed changes to the regulations governing HUD policy as published in the Federal Register.

Quality Assurance (QA) - actions by HUD or its designees to ensure that products or services provided by the Contractor are within the acceptable quality level for a given performance requirement.

Quality Control (QC) - actions taken by the Contractor to control the production of supplies and services to ensure that they conform to the performance requirements and standards. Quality control procedures are outlined in the Quality Control Plan (QCP) developed by the Contractor.

Random Sampling - a quality verification selection method wherein each object in a group has an equal chance of being selected for quality assurance surveillance.

Ready to Show condition - means the property is free of debris, visible insect/rodent infestations and health and safety hazards. All cabinets, refrigerators, freezers, counter tops, and windows must have been wiped clean and the house must be free of bad smells. All floors and carpets must be clean. All repairs required to correct safety hazards and any approved repairs to be done prior to listing the property must be completed in order for the house to be in ready to show condition. The yard must be free of trash and debris. The grass must be cut, bushes trimmed and holes patched, and or properly secured to protect the public. Swimming pools and wells must be properly secured to protect the public.

Real Estate Owned (REO) – an industry term used to describe properties acquired through foreclosure of a mortgage note, or deed of trust.

Single-family properties owned by HUD may be referred to as HUD REO.

Reconveyance - the process of returning a property to a Mortgagee by recording a deed in Mortgagee's name and seeking reimbursement for claims paid plus expenses.

Revitalization Area – an area that has been designated by HUD as exhibiting some or all of the following characteristics: a high concentration of HUD-Owned Properties, low income or low homeownership rates or any other criteria HUD designates. HUD homes within revitalization areas are eligible for discounted sales to certain purchasers.

Revitalization Area Locator (RAL) - a web-based geo-mapping tool that is HUD’s official source for determining whether a property is located in a revitalization area.

Rework - corrective actions taken, or to be taken by the Contractor at its own expense and at no additional cost to HUD to rectify defects identified.

Secretary-Held Properties – borrower owned properties that are the security for mortgage loans held and serviced by HUD either through assignment or origination. Vacant or abandoned secretary-held properties will become Custodial Properties.

Secured Properties – a property where all windows, doors and openings are locked, boarded (where authorized), or otherwise secured to prevent unauthorized entrance by person or animal into any portion of the dwelling, including exterior entrances to crawl spaces, and any other structures on the property, e.g. garages and sheds.

Special Property Inspections (SPIs) – quality assurance inspections of

HUD properties performed by HUD contract inspectors.

Subcontractor - a person or entity that enters into an oral or written contract or agreement with the prime Contractor to perform services, including a listing broker used by the Contractor to list HUD-Owned properties.

Support Services Contractor (SSC) – Contractor responsible for performing financial transmittals, reconciliation of closings, and broker registration services on behalf of HUD.

Surchargeable Damage – damage to the property (1) by fire, flood, earthquake, hurricane, tornado, or, for condominiums, boiler explosion;

or (2) for mortgages insured on or after January 1, 1977, damage caused by a Mortgagee’s failure, as required by 24 CFR 203.377, to inspect or take reasonable action to preserve and protect vacant or abandoned

Targeted Sampling - use of risk based factors rather than random sampling to select properties, files or other subjects for quality assurance or quality control review.

Transition Period – a period of time following contract award when a new

Contractor develops the infrastructure necessary to perform contractual responsibilities and when those contractual responsibilities are transferred from a Former Contractor to a new Contractor.

Transmittal – Standard form required under HUD’s Financial Control

Manual that Contractors must use to request payment of expenses associated with mortgagee compliance, management and the marketing of

HUD-owned properties.

Utilities - gas, electricity and water/sewer services.

Contractor – the individual, partnership, corporation or other entity, which is the party subject to the terms and conditions of this contract.

2.3 ACQUISITION TYPES

The vast majority of acquired properties are conveyed to HUD by a

Servicing Mortgagee following foreclosure of an FHA insured mortgage and the filing of a claim for insurance benefits. However, HUD also acquires properties from a variety of other sources. The type of acquisition may impact the method by which the Contractor is informed of the new assignment and the scope of services required. A listing of possible acquisition sources follows:

Conveyance Foreclosures - properties conveyed to HUD by a Mortgagee following foreclosure, or deed-in-lieu of foreclosure of an FHA insured mortgage, and the filing of a claim for insurance benefits.

Custodial Properties - properties secured by a Secretary-Held mortgage or HECM, which are in default and upon inspection by HUD’s servicing

Contractor determined to be vacant or abandoned. Title is not yet in

HUD’s name. Upon receipt of notification from the GTR, the Contractor shall take possession to protect and preserve the property until title is acquired. Custodial properties are not marketable until foreclosure is completed and title is vested in the Secretary of HUD. These properties will be assigned by the GTR. Mortgagee compliance and marketing and sales tasks are not required for these properties. There is limited property management tasks associated with these properties.

Foreclosed Secretary Held Mortgages (SHMs) - properties acquired as the result of the foreclosure of a mortgage serviced by HUD including assigned and purchase money mortgages. These properties will be assigned by the GTR. Mortgagee compliance tasks are not required for these

Home Equity Conversion Mortgages (HECM) - a property acquired as the result of foreclosure of a reverse mortgage insured by FHA. These properties will be assigned by the GTR and will not be in SFIS.

Legal Settlement - properties that are not FHA-insured but were acquired as a result of a lawsuit or for other reasons such as to accommodate another Federal agency. These properties will be assigned by the GTR.

Repurchases/ Buy Backs – properties repurchased by HUD to resolve a post sale claim by the purchaser of a HUD-Owned Property. The HUD GTR must approve all repurchase requests.

184s – properties on Indian or tribal lands acquired as a result of foreclosure of a loan guaranteed by HUD’s Office of Native American

Programs under the Section 184, Loan Guarantee for Indian Housing Program of the Housing and Community Development Act of 1992. These acquisitions may be lease-holds and have tribal specific resale restrictions.

312s - Properties acquired as a result of foreclosure of a HUD Community

Planning and Development’s Rehabilitation Mortgage. Notification of acquisition is provided by memorandum from the current servicer through the GTR.

3 GOVERNMENT PROVIDED GOODS AND SERVICES

3.1 INFORMATION SYSTEMS

The Contractor shall use the systems made available by HUD to perform on-going disposition activities as a source of data for the performance of this contract The systems include all HUD provided systems that are used by contractors engaged in the disposition of HUD’s REO portfolio, including any systems used by the MCM, AM and FSM Contractors. The HUD provided systems are as follows:

3.1.1 SINGLE FAMILY INSURANCE SYSTEM (SFIS)

The Single Family Insurance System (SFIS) is HUD’s primary system of record for insurance and claim payment status of all FHA insured single family loans. SFIS also includes the Single Family Insurance Claims

Subsystem, A43C. Upon notification of an acquisition resulting from an insurance claim, the Contractor may access SFIS to review insurance and claim data to meet the requirements of this PWS.

3.1.2 FHA CONNECTION

The FHA Connection is an Internet based system through which Mortgagees report the status of insured loans. Additionally, the FHA Connection allows HUD to post information of interest to Mortgagees.

3.1.3 P260

P260 is an Internet based system that will serve as the primary system of record for all REO case management transactions. This system will assign each HUD-owned property for Contractors to track the disposition activity from conveyance to sale. This system integrates data from

SFIS, FHA Connection, and SAMS Accounting.

3.1.4 SINGLE FAMILY ACQUIRED ASSET MANAGEMENT SYSTEM (SAMS)

The Single Family Acquired Asset Management System (SAMS) is HUD’s primary system of record for tracking financial and accounting data for

HUD-Owned properties.

3.2 ACCESS TO HUD INFORMATION SYSTEMS

Contractor employees (including Subcontractors) who will need to have access to HUD information systems must undergo a background investigation. See Clause HUDAR 2452.239-70.

3.2.1 SECURITY ACCESS

Due to the sensitivity of property and contractor profile data, access to HUD systems will be limited to individuals based upon their specific duties and the security of the system. As a condition of obtaining access, Contractor employees requiring access to HUD systems will submit to the GTR an original and one copy of completed Standard Form 85P, Questionnaire for Public…