Physical_Needs_Assessment_(PNA)_and_Energy_Audit.pdf

CITY OF TUCSON

REQUEST FOR PROPOSAL

260169

PHYSICAL NEEDS ASSESSMENT (PNA) AND ENERGY AUDIT

Due Date: Tuesday, March 24, 2026

City of Tucson

255 W Alameda St

Tucson, AZ 85701

Procurement portal https://secure.procurenow.com/portal/tucson-az

Public Portal https://secure.procurenow.com/portal/tucson-az/projects/227552

PUBLISH DATE: March 3, 2026 https://secure.procurenow.com/portal/%7Bproject.government.code%7D https://secure.procurenow.com/portal/%7Bproject.government.code%7D/projects/%7Bproject.id%7D https://secure.procurenow.com/portal/%7Bproject.government.code%7D/projects/%7Bproject.id%7D

CITY OF TUCSON REQUEST FOR PROPOSAL NO. 260169

BUSINESS SERVICES DEPARTMENT Page 2 of 36 SHARED SERVICES PROCUREMENT DIVISION RESPONSIBLE CONTRACT OFFICER: Raquel Duarte

255 W. ALAMEDA, 6TH FLOOR, TUCSON, AZ 85701 PH: (520) 837-4469

Attachments:

A - Offer and Acceptance C - Physical Needs Assessment Pricing Table

E - HUD-5369-B

F - HUD-5370-C1 (MWRD > $250,000)

G - HUD-5370-C2 (MWRD > $2,000)

H - HUD-MWRD (FY25-26)

I - HUD-SECTION 3 (FY26)

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A. NOTICE

A.1. CITY OF TUCSON

NOTICE OF REQUEST FOR PROPOSAL NO 260169

TITLE: Physical Needs Assessment (PNA) and Energy Audit

SUBMITTAL DUE DATE: Tuesday, March 24, 2026 AT 2:00 P.M. LOCAL AZ TIME

PRE-SUBMITTAL MEETING DATE: Friday, March 13, 2026

TIME: 11:00 am LOCAL AZ TIME

LOCATION: Microsoft Teams meeting Join:

https://teams.microsoft.com/meet/28028644416287?p=ssDMv41qis3zMZNloc Meeting ID: 280 286 444 162 87 Passcode: Sx9UK2Jz Need help? | System reference Dial in by phone +1 213-293- 2303,,260699922# United States, Los Angeles Find a local number Phone conference ID: 260 699 922#

QUESTIONS SHALL BE DIRECTED TO: Raquel Duarte

(520) 837-4469 raquel.duarte@tucsonaz.gov

Posted Date: Tuesday, March 3, 2026

Competitive sealed offers for the material or service specified in this solicitation must be submitted through the City’s online bidding system. No late submitted offer will be accepted or considered.

Reponses submitted in physical form or by facsimile or email will not be considered. Offerors are cautioned to commence the submittal process sufficiently ahead of time to allow for unanticipated delays resulting from things like a slow internet connection, internet outage, difficulty uploading large documents, differing system requirements, etc.

Questions about this solicitation must be addressed to the responsible Contract Officer listed herein.

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B. INTRODUCTION

B.1. Summary

The City of Tucson Housing and Community Services Department (HCD) is seeking professional services to perform a Physical Needs Assessments (PNA) and Energy Audit of the Public Housing (PH) portfolio inventory owned by the COT as identified in Appendix A.

The City of Tucson consists of 1,505 Public Housing units and 4,798 Housing Choice Vouchers. The Housing and Community Development Department has ten (10) AMP’s, Asset Management Property Groupings.

Under HUD regulations 24 CFR 905.300 a PHA must complete a comprehensive physical needs assessments (PNA). In accordance, with 24 CFR 965.302 all PHA’s should complete an energy audit for each PHA-owned not less than once every five years. Standards for energy audits shall be equivalent to State standards for energy audits. Energy audits shall analyze all the energy conservation measures, and the payback periods for these measures, that are pertinent to the type of buildings and equipment operated by the PHA.

B.2. Background

The purpose of this solicitation is to select a qualified firm to perform a Physical Needs Assessment (PNA) of all COT properties utilizing HUD’s PNA Tool in accordance with HUD’s PNA Tool User Guide. The PNA will consist of a pre-assessment, and post assessment services including a physical inspection of 10% of all units per development. The selected contractor will provide a full range of services including evaluating the existing conditions of the housing stock including a random selection of units, common areas and offices.

All identified physical improvements will meet or exceed the HUD mandatory standards, and those established by local health, safety and building codes. At a minimum, the goal of the PNA is to identify and provide a description of all physical improvements that will be required to bring the property back to a level comparable with “as built”, to the degree reasonably possible, based on available components and age of buildings. This effort should provide the Agency with the information necessary to ensure long term physical viability and in a manner suitable for planning and budgeting purposes. Data shall be in a format suitable for HUD reporting requirements utilizing and PNA tool.

The Physical Needs Assessment shall be performed in conjunction with an Energy Audit and the Energy Audit Findings shall be integrated into the Physical Needs Assessment.

B.3. Contact Information

Raquel Duarte contract officer Email: raquel.duarte@tucsonaz.gov Phone: (520) 837-4469 Department:

Housing and Community Development mailto:raquel.duarte@tucsonaz.gov tel:(520)837-4469

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C. SCOPE OF WORK

C.1. Scope of Work

A. Follow the requirements and guidelines established by HUD in PIH Notice 2010-46 and all subsequent HUD Notices which describe the requirements of a PNA.

B. Conduct assessments on representative sampling of each unit type in each development insuring that the sampling is not less than 25% of units in the development and all units identified as ADA units; 100% of non-dwelling structures and 100% of the sites.

C. Prepare and deliver a Physical Needs Assessment report on each development of the COT including recommended capital fund improvements projected to be required over the next twenty (20) years.

D. Include in each Physical Needs Assessment report the following:

1. A complete description of the current age, condition and remaining useful life of all building systems, structures and components, identifying and existing malfunctions or deficiencies with specificity;

2. A complete description of the corrective work that must be completed to ameliorate any existing deficiencies or any deficiencies that are expected to occur over the next twenty (20) years and the estimated cost;

3. A complete list of repairs and replacements that will be necessary or advisable in the next twenty (20) years, identified by the year in which they should occur and their estimated cost taking inflation into consideration;

4. A prioritized list of repairs, replacements or improvements that require immediate completion based on health, safety or to make the property comparable to market rate properties in the community

5. A list of improvements to each property that would enhance its appearance, marketability, competitiveness, curb appeal and value, including improvements to individual units, common areas, grounds, signage, lighting, security with estimated cost and;

6. Representative digital color photographs and a detailed narrative describing the property’s exterior and interior physical elements and condition, including architectural and structural components and mechanical systems.

7. The report shall provide a cost-benefit analysis of any individual repair or improvement costing more than $10,000 per work item that represents an upgrade to current elements or that could be considered to reduce the operating expenses. (For example, individual utility metering, extra insulation, thermopane windows, water savers on showers or toilets, automatic setback thermostats and durable siding.) Compare the cost of the item with the long-term impact on rent and expenses, considering the remaining useful life of building systems as needed. (Note: This analysis does not apply to items proposed to address accessibility issues, discussed below.)

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8. Assessment of each development’s compliance with Section 504 of the Uniform Federal Accessibility Standard (UFAS) for handicapped persons and 24 CFR 968.315 (e)(2).

9. The firm shall provide the COT with status reports (upon request) during the preparation phase to track and monitor the progress.

10. Any deficiencies that are identified and which could have an impact on health and safety shall be brought to the attention of the COT immediately.

C.2. Final Report

A. The final report should indicate the following:

1. The source for the cost estimates (Dodge, Means, or other)

2. Whether the firm overhead, profit and/or general conditions are included in the costs, and if they are at what percentages of hard costs.

B. In addition, upon completion of the inspections, provided to COT in narrative and spreadsheet form that meet HUD and COT requirements, and will also utilize the PNA Tool.

The awarded vendor will provide the City of Tucson with two (2) hard copies of the report in three-ring binders and one electronically via Zip drive.

C.3. SCHEDULE AND COMPLETION:

Contractors shall develop a schedule of completion within 120 days of issuance of notice to proceed.

C.4. PNA/Energy Audit Development List

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Development Name Name of Structures

Posadas Sentinel 130

Silverbell 28

South Park 28

Lander Garden 14

Amp 3 Scattered Sites 85

Amp 4 Scattered Sites 142

Amp 5 Scattered Sites 133

Amp 6 Scattered Sites 155

MLK Apartments 1

Craycroft Tower Apartments 6

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D. INSTRUCTIONS TO OFFERORS

D.1. DEFINITION OF KEY WORDS USED IN THE SOLICITATION

For purposes of this solicitation and any subsequent contract, the following terms have the meanings set forth below:

City:The City of Tucson, Arizona

Contract:The legal agreement(s) executed between City and the Successful Offeror(s). The Contract will be deemed to include all the conditions and requirements set forth in this solicitation and any Addenda to the solicitation, all the Special Terms and Conditions and Standard Terms and Conditions, and all the terms of the Offer submitted by Offeror as finally negotiated and accepted by the City.

Contractor/Consultant:A Successful Offeror that enters into a Contract with the City.

Contract Representative:The City employee or employees who have been designated to act as the City contact for this solicitation process and who are responsible for monitoring and overseeing the Contractor's performance under the Contract.

Business Services Director:The contracting authority for the City, authorized to sign contracts and addenda thereto on behalf of the City.

May: Indicates something that is not mandatory but permissible.

May not:The indicated party is prohibited from taking the action.

Must: The action or condition is required.

Offer:Any proposal, statement of qualifications, bid, or other submission provided by an Offeror in response to this Solicitation.

Offeror: Each individual or entity that submits an Offer in response to this solicitation.

Successful Offeror: An Offeror who received a Notice of Award or a Notice of Intent to Award from the City.

Will:The indicated party is promising to take the action or abide by the condition.

D.2. PRE-SUBMITTAL MEETING

A Pre-Submittal Meeting will be held at the date and time stated on the cover page of this solicitation, if such a date and time is provided. Attendance at this meeting is not mandatory, but written minutes and/or notes regarding the meeting will NOT be provided, so attendance is encouraged. The purpose of this meeting will be to clarify the contents of this solicitation in order to prevent any misunderstanding of the City's position.

D.3. INQUIRIES

Any questions about this solicitation or the proposed Contract must be presented at the Pre-Submittal Meeting, if there is one (see above), or submitted in writing, via email, or through the online bidding system, to the Contract Officer by the Question Submission Deadline. The email must refer to the solicitation number and the paragraph number of the provision that the question concerns. The Contract

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Officer may respond by email or may, if they deem it appropriate, address the question in a solicitation addendum or response through the question and answer portal in the online bidding system. Offeror may not rely on oral interpretations or clarifications about the solicitation; only questions answered in an email by the Contract Officer, posted through the online bidding system, or posted as a formal solicitation addendum will be binding.

D.4. ADDENDUM OF SOLICITATION

Solicitation Addenda will be posted on the City’s link to the online bidding website. Offeror is responsible for checking the webpage regularly for new solicitation addenda and must acknowledge each addendum to this solicitation in its submittal. Please note that vendors who have registered with the Business Services Department at https://procurement.opengov.com/portal/tucson-az and follow the City of Tucson will receive email notifications of solicitation addenda.

D.5. UNDERSTANDING SCOPE OF WORK

Before submitting an Offer to this solicitation, Offeror must familiarize itself with the Scope of Work, laws, regulations, physical conditions, and other factors affecting the obligations – including the expense and difficulty of fulfilling those obligations – that Offeror will have under the Contract if awarded to Offeror. No adjustment to the financial or other terms of the Contract will be justified by Offeror’s failure to fully understand or appreciate the Contract requirements or other factors affecting Contract performance.

D.6. PREPARATION OF OFFER

A. Form and Organization. If Offer forms are included in this Solicitation, Offeror’s Submittal must be on those forms. Supporting documentation must be arranged in a manner that follows and clearly refers to corresponding sections of the solicitation. Offeror may copy the submittal forms in order to complete them electronically but may not alter or rearrange them or change any paragraph designations.

B. Confidential Information. Any information in its submittal that Offeror wishes to be treated as confidential must be clearly marked “CONFIDENTIAL.”

C. Offer Contents. Offeror’s submittal must contain responses to all sections of this solicitation, any Offer forms provided must be completed and any requested supporting documentation must be attached.

D. Signatures. Offeror must include in their submittal signed copies of the Offer and Acceptance page. Any cover letter accompanying the proposal documents must be signed. Offeror must initial each erasure, interlineation or other modification in the submittal. The person signing and initialing on behalf of Offeror must be a person authorized to legally bind Offeror.

E. Prices. Where a unit price is provided it will govern over any erroneous extension of the price.

F. Time Periods. Periods of time, stated as a number of days, will be calendar days unless specifically stated otherwise.

G. Accuracy. Mistakes in preparation of its submittal confers on Offeror no right to modify or withdraw its submittal after the Submittal Deadline.

https://procurement.opengov.com/portal/tucson-az

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H. Cost of Preparation. The City will not reimburse Offeror for the cost of developing, presenting, submitting or providing any response to this solicitation.

I. Subcontractors. Offeror must, in their submittal, list any subcontractors that it will utilize in the performance of the Contract if they are awarded the Contract and must describe their qualifications in detail.

J. Incomplete Information. Failure to include all requested information may have a negative impact on the evaluation of Offeror’s submittal.

D.7. PAYMENT DISCOUNTS

Payment discount periods shall be computed from the date of receipt of the material/service or correct invoice, whichever is later, to the date City’s payment warrant is mailed. Unless freight and other charges are itemized, any discount provided shall be taken on full amount of invoice. Payment discounts of twenty-one calendar days or more shall be deducted from the proposed price in determining the price points. However, the City shall be entitled to take advantage of any payment discount offered by a vendor provided payment is made within the discount period. The payment discount shall apply to all purchases and to all payment methods.

D.8. TAXES

The City is exempt from federal excise tax, including the federal transportation tax, but is not exempt from any other taxes, including state and local sales and excise taxes.

D.9. EXCEPTIONS TO CONTRACT PROVISIONS

By submitting an offer in response to this solicitation, Offeror is offering to enter into the Contract with the City. If Offeror wishes to modify any Contract terms and conditions, Offeror must, in its Offer, clearly identify the changes it is requesting. No requested modification will be deemed accepted by the City unless and until the City’s Business Services Director or their designee expressly accepts it in writing.

D.10. PUBLIC RECORD

Any documents submitted by Offeror in response to this solicitation will become the property of the City.

Except as set forth below with respect to Confidential Information, the Submittal will be deemed to be a public record available for review by the public after the award notification.

D.11. CONFIDENTIAL INFORMATION

The City is obligated to abide by the Arizona Public Records Law, A.R.S. §§ 39-101 through 39-161. If Offeror believes that any portion of its Offer, specification, protest or correspondence contains information that is confidential and subject to being withheld from disclosure in the event that the City receives a public records request to which the record is responsive, Offeror must, when the record is submitted, provide the Contract Officer written notification of that fact. The records or portions of records that Offeror wishes to be treated as confidential must also be clearly marked “CONFIDENTIAL” on their face. Pricing will not be treated as confidential.

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If the City, after award notification, receives a public-records request the scope of which includes a document submitted by Offeror and marked "CONFIDENTIAL", the Contract Officer will make a written determination regarding whether the document will be provided to the requestor. If the Contract Officer determines that the document should be released, City will notify Offeror in writing. Unless Offeror, within 10 days after the date of that notice, obtains and provides to City an order from a court of competent jurisdiction prohibiting the City from releasing the documents, the City may release the documents without any liability to Offeror.

D.12. WHEN AND HOW TO SUBMIT OFFERS

In order to be considered, Offeror must, no later than the Offer Submittal Deadline, submit its Offer electronically through the City’s online bidding system:

https://procurement.opengov.com/portal/tucson-az

NOTE: THE ENTIRE OFFER MUST BE IN "“SUBMITTED"” STATUS IN THE CITY’S ONLINE

BIDDING SYSTEM IN ORDER TO BE CONSIDERED. RESPONSES THAT HAVE BEEN CREATED

IN THE SYSTEM, BUT THAT ARE NOT IN "“SUBMITTED"” STATUS BY THE OFFER SUBMITTAL

DEADLINE WILL NOT BE CONSIDERED.

D.13. CERTIFICATION OF NONCOLLUSION; CONFLICTS OF INTEREST

Offeror will not communicate, orally or in writing, with any member of the Mayor and Council, or with any City staff outside the Procurement Division of the Business Services Department, regarding this Solicitation. By submitting an Offer, Offeror warrants that:

A. Preparation and submission of the submittal did not involve collusion or other anti-competitive practices.

B. Offeror has not given, offered to give, nor intends to give at any time hereafter, any economic opportunity, future employment, gift, loan, gratuity, special discount, trip, favor, meal or service to a public servant in connection with this solicitation.

C. No person has been employed or retained to solicit or secure a Contract under this solicitation upon a promise of a commission, percentage, brokerage, or contingent fee.

D. No employee of the City involved in this Solicitation process, or any family member of such an employee, has any substantial financial interest in Offeror’s firm. No member of the City of Tucson Mayor and Council who has, or whose family member has, any substantial financial interest in Offeror’s firm will participate in any action taken by the Mayor and Council with respect to this Contract. The terms “relative” and “substantial interest” have the meanings assigned in A.R.S. § 38-502

The City may disqualify Offeror from further participation in the solicitation process if the City determines that any City employee or official involved in this Solicitation process has an actual or apparent conflict of interest or if Offeror has engaged in any collusion or anti-competitive practices.

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D.14. WITHDRAWAL OF OFFER; BINDING OFFER

By submitting an Offer in response to this Solicitation, Offeror is offering to enter into the Contract with the City. Offeror may withdraw a submitted Offer at any time prior to the Offer Submittal Deadline.

Telephonic or oral withdrawals are not effective.

Offeror cannot withdraw an Offer that is in “submitted” status as of the Offer Submittal Deadline unless the Director of the Business Services Department consents in writing to the withdrawal. The Offer will be irrevocable for 90 days after the Offer Submittal Deadline.

D.15. DISCUSSIONS

The City may, at its discretion, conduct discussions with Offeror for the purpose of eliminating minor irregularities, informalities, or apparent clerical mistakes in Offeror’s submittal in order to clarify the offer and assure full understanding of, and responsiveness to, solicitation requirements.

D.16. VENDOR REGISTRATION; BUSINESS LICENSE

In order to be eligible for award of a Contract, Offeror must:

A. Register with the City’s Business Services Department. Registration can be completed at https://procurement.opengov.com/portal/tucson-az

B. Obtain a City of Tucson Business License or a written determination from the City's Business License Section that a license is not required. For questions contact the City's Business License Section at

(520) 791-4566 or email at license@tucsonaz.gov mailto:license@tucsonaz.gov

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E. OFFER EVALUATION AND CONTRACT AWARD

E.1. PROPOSAL EVALUATION CRITERIA – (listed in relative order of importance)

A. Qualifications & Experience

B. Method of Approach

C. Price Proposal

E.2. INTERVIEWS

The City may interview some or all of the offerors at any point during the evaluation process. If interviews are conducted, information provided during the interview process will be taken into consideration in the evaluation process. The City will not reimburse the Offeror for any costs Offeror incurs during its participation in the interview process.

E.3. ADDITIONAL INVESTIGATIONS

The City may undertake any additional investigations it deems appropriate to evaluate the competence and financial stability of any offeror.

E.4. OTHER INFORMATION

Information that evaluation committee members have about an offeror beyond what is provided in the offeror’s Offer may be taken into consideration during the evaluation process.

E.5. PRICE

A. Tax Offset Policy. If applicable under Section 28-18(6) or Section 28-17(7)(d) of the Tucson Procurement Code, the City will include the amount of all business privilege taxes other than the City’s in evaluating the pricing component of each Offer.

B. Payment Discounts. Any discounts offered by Offeror for payments made within 21 calendar days or more will be deducted from the proposed price in evaluating an offeror’s pricing.

However, the City may take advantage of any early- or timely-payment discounts offered by a vendor. Any proposed payment discount will apply to all purchases and to all payment methods

E.6. CITY’S RIGHT TO WAIVE DEFECTS OR REJECT OFFERS

Notwithstanding any other provision of this solicitation, the City may:

A. Waive any immaterial defect or informality; or

B. Reject any or all submittals, or portions thereof; or

C. Reissue the solicitation.

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E.7. CONTRACT NEGOTIATIONS

At the City’s discretion, it may negotiate with one or more responsible offerors to agree upon the final conditions, terms and price of the Contract. In doing so, the City will treat offerors fairly and will not disclose to any offeror information from responses submitted by other offerors. Exclusive or concurrent negotiations do not constitute a contract award and do not confer any rights to the offerors participating in such negotiations. In the event the City deems that negotiations are not progressing, the City may formally terminate these negotiations and may enter into concurrent or exclusive negotiations with the next most qualified firm(s).

E.8. AWARD OF CONTRACT

A Contract is created when, and only when, it is formally awarded, which occurs when the Business Services Director and the City Attorney sign the Offer and Acceptance page of the Successful Offeror’s submittal. When a Contract is awarded, the City will send the Contractor a Notice of Award.

The City may first issue a Notice of Intent to Award to the Successful Offeror(s). Offeror, if it receives a Notice of Intent to Award from the City, must sign and file with the City, within ten (10) days after receipt of the Notice, all documents necessary for execution of the Contract. A Notice of Intent to Award does not create a contract. Only a subsequent formal award, as described above, creates a Contract.

E.9. MULTIPLE AWARDS

The City, at its sole discretion, may award multiple Contracts.

E.10. SUBMITTAL RESULTS

After the City issues a Notice of Award, the City will post the name(s) of the Successful Offeror(s) on the Business Services Department’s Internet site at https://procurement.opengov.com/portalucson-az/contracts

E.11. PROTESTS

Any interested party, may, in accordance with Article IX of the Tucson Procurement Code, protest either this solicitation or the award of a Contract under this solicitation. A protest based on alleged improprieties in this solicitation must be filed no later than five (5) working days before the Proposal Submittal Deadline. A protest of a proposed or actual award must be filed no later than ten (10) calendar days after the City issues a Notice of Intent to Award or, if no Notice of Intent to Award is issued, after the City issues a Notice of Award.

A protest must be made in writing and filed with the Contract Officer. It must include:

A. The name, address, and telephone number of the protestant;

B. The signature of the protestant or its representative;

C. The solicitation or Contract number;

D. A detailed statement of the legal and factual grounds for the protest along with copies of all relevant documents; and https://procurement.opengov.com/portalucson-az/contracts https://procurement.opengov.com/portalucson-az/contracts

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E. The form of relief requested.

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F. EVALUATION CRITERIA

No. Evaluation Criteria Scoring Method Weight (Points)

1. Price Proposal Please fill out the Pricing Section in OpenGov as well as the attached price document that will provide a detailed breakdown of the pricing.

N/A N/A

2. Qualifications and Experience A. Staffing and Qualifications

B. Relevant and Past experience -provide 5 years

C. Provide resumes, certifications, professional licenses

N/A N/A

3. Method of Approach

1. Ability to Perform in Timely Manner

2. Project Team assignments

3. Resources and schedule - Contractors shall develop and include in their proposal a schedule of completion within 120 days of issuance of notice to proceed

N/A N/A

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G. PRICING

PNA/ENERGY AUDIT PRICING BY DEVELOPMENT

Below is a list of Developments with the number of Structures and Units

Line Item Development Name Number of Units

Unit of Measure

PNA/Energy Audit Fee

Total Fee

1 Posadas Sentinel 140 Units

2 Silverbell 28 Units

3 South Park 28 Units

4 Lander Garden 47 Units

5 Amp 3 Scattered Sites 135 Units

6 Amp 4 Scattered Sites 184 Units

7 Amp 5 Scattered Sites 231 Units

8 Amp 6 Scattered Sites 237 Units

9 MLK Apartments 68 Units

10 Craycroft Tower Apartments 86 Units

TOTAL

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H. SPECIAL TERMS AND CONDITIONS

H.1. LIVING WAGE REQUIREMENTS

Contractor will comply with all applicable provisions of the City’s Living Wage Ordinance (Article XIV of the Tucson Procurement Code). Contractor will, upon request, affirm in writing that Contractor is in compliance and will provide City with information and documentation demonstrating that compliance.

The City’s Living Wage ordinance can be found at the following link:

https://codelibrary.amlegal.com/codes/tucson/latest/tucson_az/0-0-0-21930 The Living Wage rates for the current calendar year can be found at the following link: https://www.tucsonaz.gov/Departments/Business-Services-Department/Procurement/Living- Wage

H.2. PRICE ADJUSTMENT

At least 90 days before the date that the Contract is eligible for extension, Contractor may submit to the Contract Officer a request for price adjustments based on documented increased Contractor costs and the City may, at its discretion, make price adjustments, which will apply during the extension term.

H.3. HOUSING AND URBAN DEVELOPMENT (HUD) REQUIREMENTS

U.S. Department of Housing and Urban Development (HUD) funding may be utilized for the services under the resultant Contract. Therefore, the services under the resultant Contract are subject to the applicable HUD terms and conditions, included as attachments to this Solicitation. These terms and conditions cannot be modified or negotiated. By submitting a response, the Respondent agrees to abide by the applicable HUD terms and conditions included as attachments to this Solicitation and incorporated into the resulting Contract.

H.4. HOUSING AND URBAN DEVELOPMENT (HUD) MAINTENANCE WAGE

RATE DETERMINATION (MWRD)

Pursuant to Davis-Bacon and Related Acts (DBRA), all maintenance laborers and mechanics employed under contracts in excess of $2,000 for the operation and non-construction maintenance of the City of Tucson’s Public Housing Authority (PHA) units must be paid no less than prevailing wages determined or adopted by the U.S. Department of Housing and Urban Development (HUD). The HUD Maintenance Wage Rate Determination (MWRD) is included as an attachment to this Solicitation and is incorporated into the resultant Contract. Any revision to the MWRD will be made via an Addendum to this Solicitation or resultant Contract. In addition, the overtime requirements of the Contract Work Hours and Safety Standards Act (CWHSSA) are applicable to maintenance contracts in excess of $100,000. The Copeland “Anti-Kickback” Act also applies. By submitting an Offer, Offeror is thereby agreeing and verifying that they will not pay their employees at rates less than detailed within the HUD MWRD attached herein.

A. Reporting

1. Unlike construction contracts subject to Davis-Bacon wage provisions, the PHA maintenance contracts subject to HUD MWRD do not require the submission of weekly https://codelibrary.amlegal.com/codes/tucson/latest/tucson_az/0-0-0-21930 https://www.tucsonaz.gov/Departments/Business-Services-Department/Procurement/Living-Wage https://www.tucsonaz.gov/Departments/Business-Services-Department/Procurement/Living-Wage

BUSINESS SERVICES DEPARTMENT Page 19 of 36 payroll reports. Contractors and subcontractors are still required to maintain payroll records and must make such records available to the PHA and/or to HUD, upon request (see Labor Relations Letter No. LR 2004-01).

B. Compliance

1. The Contractor and any/all subcontractors are responsible, on no less than a semi-monthly basis, for paying not less than the applicable wage rates to all maintenance laborers and mechanics in their employ and engaged in work under the contract. The Contractor is responsible for its own full compliance, and for the full compliance of any/all subcontractors, with all wage, overtime, and record keeping requirements included in the contract.

2. The PHA and/or HUD may conduct interviews with the laborers and mechanics on the jobsite to determine if the work performed and wages received are consistent with (a) the job classifications and wage rates contained in the applicable wage determination, and (b) the classifications and wages reported by the employer on certified payrolls.

3. For further information, please see Chapter 10, Section 10 of HUD Procurement Handbook for PHAs, 7460.8 REV 2 here:

http://portal.hud.gov/hudportal/HUD?src=/program_offices/administration/hudclips/handboo ks/pihh/74608.

H.5. HOUSING AND URBAN DEVELOPMENT (HUD) SECTION 3

A. The work to be performed under this Contract is subject to the requirements of Section 3 of the Housing and Urban Development Act of 1968, as amended, 12 U.S.C. 1701u (Section 3). The purpose of Section 3 is to ensure that employment and other economic opportunities generated by HUD assistance or HUD-assisted projects covered by Section 3, shall, to the greatest extent feasible, be directed to low- and very low-income persons, particularly persons who are recipients of HUD assistance for housing.

B. The parties to this Contract agree to comply with HUD's regulations in 24 CFR Part 75, which implement Section 3. As evidenced by their execution of this Contract, the parties to this Contract certify that they are under no contractual or other impediment that would prevent them from complying with the Part 75 regulations.

C. The Contractor agrees to send to each labor organization or representative of workers with which the Contractor has a collective bargaining agreement or other understanding, if any, a notice advising the labor organization or workers' representative of the Contractor's commitments under this Section 3 clause and will post copies of the notice in conspicuous places at the work site where both employees and applicants for training and employment positions can see the notice. The notice shall describe the Section 3 preference, shall set forth minimum number and job titles subject to hire, availability of apprenticeship and training positions, the qualifications for each; and the name and location of the person(s) taking applications for each of the positions; and the anticipated date the work shall begin.

D. The Contractor agrees to include this Section 3 clause in every subcontract subject to compliance with regulations in 24 CFR Part 75, and agrees to take appropriate action, as provided in an applicable provision of the subcontract or in this Section 3 clause, upon a finding that the subcontractor is in violation of the regulations in 24 CFR Part 75. The http://portal.hud.gov/hudportal/HUD?src=/program_offices/administration/hudclips/handbooks/pihh/74608 http://portal.hud.gov/hudportal/HUD?src=/program_offices/administration/hudclips/handbooks/pihh/74608

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Contractor will not subcontract with any subcontractor where the Contractor has notice or knowledge that the subcontractor has been found in violation of the regulations in 24 CFR Part 75.

E. The Contractor will certify that any vacant employment positions, including training positions, that are filled (1) after the Contractor is selected but before the Contract is executed, and (2) with persons other than those to whom the regulations of 24 CFR Part 75 require employment opportunities to be directed, were not filled to circumvent the Contractor's obligations under 24 CFR Part 75.

F. Noncompliance with HUD's regulations in 24 CFR Part 75 may result in sanctions, termination of this Contract for default, and debarment or suspension from future HUD-assisted contracts.

G. With respect to work performed in connection with Section 3 covered Indian housing assistance, section 7(b) of the Indian Self-Determination and Education Assistance Act (25 U.S.C. 450e) also applies to the work to be performed under this Contract. Section 7(b) requires that to the greatest extent feasible (i) preference in the award of contracts and subcontracts shall be given to Indian organizations and Indian-owned Economic Enterprises.

Parties to this Contract that are subject to the provisions of Section 3 and section 7(b) agree to comply with Section 3 to the maximum extent feasible, but not in derogation of compliance with section 7(b).

H.6. TERM AND RENEWAL

The term of the Contract will commence when awarded to Contractor and remain in effect for a period of one (1) year, unless terminated, canceled or extended as otherwise provided herein. The City may, at its sole option, extend the Contract's term for up to four (4) additional one-year periods or portions thereof.

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I. INSURANCE REQUIREMENTS

I.1. REQUIRED INSURANCE POLICIES

Contractor will obtain and maintain during the entire term of this Contract and for 2 years after the Contract term ends, the following insurance coverage from insurers that have an “A.M. Best” rating of not less than A-VII:

I.2. COMMERCIAL GENERAL LIABILITY

Policy must include Bodily Injury, Property Damage, Personal Injury and Broad Form Contractual Liability with coverage limits no lower than:

A. Each Occurrence: $1,000,000

B. General Aggregate: $2,000,000

C. Products & Completed Operations Aggregate: $2,000,000

D. Personal and Advertising Injury: $1,000,000

E. Blanket Contractual Liability: $1,000,000

I.3. COMMERCIAL AUTOMOBILE LIABILITY

Policy must include bodily injury and property damage, for any owned, hired, and/or non-owned vehicles used in performance of work under this Contract, with a Combined Single Limit no lower than $1,000,000.

I.4. WORKER'S COMPENSATION

Policy must have coverage limits no lower than:

A. Per Occurrence: Statutory

B. Employer's Liability: $1,000,000

C. Disease Each Employee: $1,000,000

D. Disease Policy Limit: $1,000,000

E. [If Contractor is a Sole Proprietor, include this waiver provision under A.R.S. § 23-961(M). To determine whether the Contractor is a Sole Proprietor, please request the Sole Proprietor/Independent Contractor form from the Contract Officer listed in the solicitation.] I am a sole proprietor, and I am doing business as [name of sole proprietor business]. I am performing work as an independent contractor for the City of Tucson. I am not the employee of the City of Tucson for workers' compensation purposes, and, therefore, I am not entitled to workers' compensation benefits from the City. I understand that if I have any employees working for me, I must maintain workers' compensation insurance on them.

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I.5. PROFESSIONAL LIABILITY (ERRORS & OMISSIONS)

Policy must have coverage limits no lower than:

A. Each Claim: $1,000,000

B. Annual Aggregate: $2,000,000

I.6. POLICY CHANGE NOTICE

Contractor will give the City 30 days advance written notice before any of the above policies are changed in any manner that is inconsistent with the requirements of this Contract. The notice must be sent directly to the Procurement Division of the Business Services Department.

I.7. ADDITIONAL INSURED

The Commercial General Liability, Commercial Automobile Liability and umbrella policies where applicable will include the City as an additional insured with respect to liability arising out of the performance of this contract. The City must be covered to the full policy limits, even if those limits of liability are in excess of those required by this Contract. The coverage must be primary and any insurance carried by City is excess and not contributing.

I.8. CLAIMS-MADE COVERAGE

If any or part of the required insurance is written on a claims-made basis, any policy retroactive date must precede the date of the contract and the Contractor must maintain such coverage for a period not less than three (3) years following contract expiration, termination or cancellation.

I.9. ADDITIONAL REQUIREMENTS

Each insurance policy required by this Contract, excluding Professional Liability (Errors & Omissions), must include or be endorsed to include to provide the following:

A. A waiver of subrogation endorsement in favor of the City, for losses arising from work performed by or on behalf of the Contractor (Including Worker’s Compensation).

B. The policy is primary and any insurance carried by the City is excess and not contributing.

C. The coverage provided by the policy is not limited to the liability assumed under the indemnification provisions of this Contract.

D. The insurer will provide written notice to the City at least ten (10) calendar days before the policy is terminated or cancelled or the coverage is reduced.

I.10. PUBLIC ENTITIES

If Contractor or any sub-contractor is a public entity that self-insures as permitted by law, then the insurance requirements in this Section 8 will not apply to that entity and that entity must instead provide a Certificate of Self- Insurance.

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I.11. SUBCONTRACTORS

Contractors’ insurance certificate(s) must include all subcontractors as insureds under its policies or Contractor must give the City separate certificates and endorsements for each subcontractor showing that each subcontractor has the insurance coverage described above.

I.12. SUFFICIENCY OF COVERAGE

The City in no way warrants that the required minimum insurer rating in this Contract is sufficient to protect the Contractor from potential insurer insolvency, nor that the required liability limits are sufficient to protect Contractor.

I.13. VERIFICATION OF COVERAGE

A. Contractor will give the City certificates of insurance (ACORD form or equivalent approved by the City), signed by an authorized representative of the insurer, showing that the Contractor has all the insurance required by this Contract.

B. Contractor must deliver the certificates directly to the Procurement Division of the City’s Business Services Department before the Contractor commences work under this Contract.

C. The certificates must contain the City project/contract number and project description.

D. The City reserves the right to require complete copies of all insurance policies required by this Contract at any time.

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J. STANDARD TERMS AND CONDITIONS

J.1. ADVERTISING

Contractor will not advertise or publish information concerning this Contract without prior written consent of the City’s Business Services Director.

J.2. COMPLIANCE WITH LAWS

The parties will comply with all federal, state and local laws, rules, regulations, standards and Executive Orders including, without limitation, the following:

A. Americans with Disabilities Act. Contractor will comply with all applicable provisions of the Americans with Disabilities Act (Public Law 101-336, 42 U.S.C. 12101, et seq.) and its regulations, including 28 CFR Parts 35 and 36. If Contractor will provide or make available web content or mobile applications, the Contractor must demonstrate that its work product conforms to the DOJ’s April 24, 2024 final rule under Title II of the ADA by providing either (1) a current Accessibility Compliance Report (ACR) based on the latest version of the Voluntary Product Accessibility Template (VPAT) for the Web Content Accessibility Guidelines (WCAG) 2.1, or (2) an independent third-party evaluation from an accessibility consultancy.

1. The Contractor’s indemnification obligations under this Agreement shall include all allegations, demands, proceedings, suits, actions, claims, liability, damages, losses, expenses (including but not limited to attorney fees, court costs, and all claim-adjusting and claim-handling expenses) or disbursements of any kind or nature in any way relating to or arising from the Contractor’s breach of this section or non-compliance with any of the provisions of the ADA.

2. In addition to any other rights and remedies in this Agreement, the City may exercise the following remedies if the Contractor breaches this section or fails to comply with any provision of the ADA:

a. The City may require the Contractor to remediate within 30 days at the Contractor’s expense,

b. The City may terminate the contract without penalty, or

c. The City may perform any necessary testing and/or remediation and deduct the actual cost from any outstanding payments to the Contractor or seek reimbursement for the actual cost from the Contractor.

3. As a courtesy and for convenience, the City is providing this link for the VPAT template:

https://www.itic.org/policy/accessibility/vpat. The most updated template for WCAG compliance must be downloaded, completed, and returned to the City with Contractor submissions.

B. Workers’ Rights Laws. Contractor will comply with all applicable provisions of Federal and State Child Labor and Workers’ Rights laws and agrees if called upon to affirm in writing that they and any subcontractors working under this Contract are in compliance.

J.3. GOVERNING LAW AND VENUE

This Contract is governed by the laws of the State of Arizona and the City and Contractor will have all remedies afforded to each by the Tucson Procurement Code and the laws of the State of Arizona. Any lawsuits regarding this Contract must be brought in a court of competent jurisdiction in Pima County, Arizona.

J.4. ARBITRATION

Notwithstanding any other provision in this Contract, no agreement by the City to arbitrate a dispute is binding unless given expressly and in writing after execution of this Contract. However, if both parties agree, disputes may be resolved through arbitration following the process in A.R.S. § 12-1501, et seq.

https://www.itic.org/policy/accessibility/vpat

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Contractor must continue to perform under this Contract without interruption, notwithstanding the provisions of this section.

J.5. ASSIGNMENT

Contractor may not assign its rights or obligations under this Contract without the prior written permission of the City's Business Services Director. The City will not unreasonably withhold approval for a requested assignment.

J.6. SUBCONTRACTS

Contractor may not enter into any subcontracts for work under this Contract without the advance written approval of the City's Business Services Director. All subcontracts will incorporate all the terms and conditions of this Contract. Contractor is responsible for contract compliance and quality of work of any subcontractors used.

J.7. PROTECTION OF CITY PROPERTY

If this Contract requires Contractor to perform any work on City-owned property, Contractor will use reasonable care to avoid damaging existing buildings, equipment, and vegetation (such as trees, shrubs, and grass) on the property. Contractor will replace or repair any damage caused by Contractor or any employee, agent, or subcontractor of Contractor, at no expense to the City. If Contractor fails or refuses to make such repair or replacement, the City will estimate the cost of repair and, upon receiving an invoice from the City for that estimated cost, Contractor will pay the City the invoiced amount. City may, at its discretion, instead deduct the amount from any payments due Contractor under this or any other City contract.

Contractor will, during the course of its work on City property, keep the work area, including any storage areas used by the Contractor, free from accumulation of waste material or rubbish. Upon completion of the work, Contractor will leave the work area in a clean and neat condition, free of any debris, and will remove any non-City-owned materials or equipment or other personal property that it has caused to be located on the City property.

J.8. COMMENCEMENT OF WORK

Contractor will not commence any billable work or provide any material or service under this Contract until Contractor receives a purchase order or is otherwise directed to do so, in writing, by the City.

J.9. CONFIDENTIALITY OF RECORDS

Contractor will establish and maintain procedures to ensure that no information contained in its records or obtained from the City or from others in carrying out its functions under this Contract is used or disclosed by it, its agents, officers, or employees, except as required to efficiently perform its duties under the Contract, and will take appropriate measures to protect any personal identifying information of any individuals.

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J.10. CONTRACT ADDENDA; ADDITIONAL WORK

This Contract may only be amended by a written agreement signed by the parties. The City’s Business Services Director or their designee may, on behalf of the City (1) approve and execute any addenda, change orders, or supplemental written agreements; and (2) grant time extensions or contract renewals. Except in the case of a documented emergency, Contractor will not perform any work under this Contract that exceeds the scope of work or contract amount unless a formal addendum or change order has first been approved and executed by the City.

J.11. ENTIRE CONTRACT; INTERPRETATION

This Contract, which includes all the conditions and requirements set forth in the Solicitation and all addenda to the Solicitation, all the Special Terms and Conditions and Standard Terms and Conditions, and all the terms of the Offer submitted by Contractor as finally negotiated and accepted by the City, constitutes the entire agreement of the parties regarding the services described in the Scope of Work and will prevail over any and all previous agreements, contracts, proposals, negotiations, purchase orders, or master agreements in any form.

No course of prior dealings between the parties and no usage of the trade will be deemed to supplement or explain any term used in the Contract.

J.12. SEVERABILITY

The provisions of this Contract are severable. If any provision or application of a provision of this Contract is held to be invalid, that will not affect the validity of any other provision or application of a provision that can remain meaningfully effective without the invalidated provision or application.

J.13. DUPLEXED/RECYCLED PAPER

Whenever practicable, all printed materials produced by Contractor in the…