ftw00432.pdf

SOLICITATION, OFFER AND AWARD 1. THIS CONTRACT IS A RATED)

ORDER UNDER DPAS (15 CFR 700)

RATING PAGE OF

1 81 PAGES

2. CONTRACT NO. 3. SOLICITATION NO. 4. TYPE OF SOLICITATION 5. DATE ISSUED 6. REQUISITION/PURCHASE

NO

SEALED BID (IFB)

R-FTW-0432 NEGOTIATED (RFP) 2-7-08 R-2008-OAH-00003

7. ISSUED BY: CODE 8. ADDRESS OFFER TO (If other than Item 7)

U.S. Dept. of Housing & Urban Development Fort Worth Contracting Operations, NFSF 801 Cherry St., Unit#45, Ste.2500 Fort Worth, TX 76102

Same as 7.

NOTE: In sealed bid solicitations, “offer” and “Offeror” mean “bid” and “bidder”.

SOLICITATION

9. Sealed offers in original and 6 copies for furnishing the supplies or services in the schedule will be received at the place specified in Item 8, or if handcarried, in the depository located in 801 Cherry St., Unit#45, Ste.2500, Ft. Worth, TX 76102 until 2:00 PM local time 3-10-08 (Hour) (Date) CAUTION - LATE Submissions, Modifications, and Withdrawals: Section L, Provision No. 52.214-7 or 52.215-1.

All offers are subject to all terms and conditions contained in this solicitation.

10. FOR INFORMATION A. NAME B. TELEPHONE NO. (NO COLLECT CALLS) C. E-MAIL ADDRESS

CALL: Barbara Meyer 817-978-5400 Barbara.A.Meyer@hud.gov

11. TABLE OF CONTENTS

(X) SEC. DESCRIPTION PAGE(S) (X) SEC. DESCRIPTION PAGE(S)

PART I - THE SCHEDULE PART II - CONTRACT CLAUSES

A SOLICITATION/CONTRACT FORM 1 I CONTRACT CLAUSES 11

B SUPPLIES OR SERVICES AND PRICES/COST 5 PART III - LIST OF DOCUMENTS, EXHIBITS AND OTHER ATTACH

C DESCRIPTION/SPECS/WORK STATEMENT 28 J LIST OF ATTACHMENTS 8

D PACKAGING AND MARKING 1 PART IV - REPRESENTATIONS AND INSTRUCTIONS

E INSPECTION AND ACCEPTANCE 1 K REPRESENTATIONS, CERTIFICATIONS AND 2

F DELIVERIES OR PERFORMANCE 2 OTHER STATEMENTS OF OFFERORS

G CONTRACT ADMINISTRATION DATA 5 L INSTRS., CONDS., AND NOTICES TO OFFERORS 11

H SPECIAL CONTRACT REQUIREMENTS 4 M EVALUATION FACTORS FOR AWARD 2

OFFER (Must be fully completed by offeror) NOTE: Item 12 does not apply if the solicitation includes the provision at 52.214-16, Minimum Bid Acceptance Period

12. In compliance with the above, the undersigned agrees, if this offer is accepted within calendar days (60 calendar days unless a different period is inserted by the offeror) from the date for receipt of offers specified above, to furnish any or all items upon which prices are offered at the price set opposite each item, delivered at the designated point(s), within the time specified in the schedule.

13. DISCOUNT FOR PROMPT PAYMENT

(See Section I, Clause No. 52.232-8)

10 CALENDAR DAYS

20 CALENDAR DAYS

30 CALENDAR DAYS

CALENDAR DAYS

14. ACKNOWLEDGEMENT OF AMENDMENTS AMENDMENT NO. DATE AMENDMENT NO. DATE

(The offeror acknowledges receipt of the amendments to the SOLICITATION for offerors and related documents numbered and dated:

15A. NAME CODE FACILITY 16. NAME AND TITLE OF PERSON AUTHORIZED TO SIGN

AND

ADDRESS

OF

OFFEROR

OFFER (Type or print)

15B. TELEPHONE NO. (Include area code) 15C. CHECK IF REMITTANCE 17. SIGNATURE 18. OFFER DATE

ADDRESS IS DIFFERENT FROM

ABOVE - ENTER SUCH ADDRESS IN

SCHEDULE

AWARD (To be completed by Government)

19. ACCEPTED AS TO ITEMS NUMBERED 20. AMOUNT 21. ACCOUNTING AND APPROPRIATION

22. AUTHORITY FOR USING OTHER THAN FULL AND OPEN COMPETITION 23. SUBMIT INVOICES TO ADDRESS SHOWN IN ITEM 10 U.S.C.2304 ( c ) ( ) 41 U.S.C. 253( c ) ( ) (4 copies unless otherwise specified)

24. ADMINISTERED BY (If other than Item 7) CODE 25. PAYMENT WILL BE MADE BY CODE

26. NAME OF CONTRACTING OFFICER (Type or print) 27 UNITED STATES OF AMERICA 28 AWARD DATE

(Signature of Contracting Officer)

IMPORTANT - Award will be made on this Form, or on Standard Form 26, or by other authorized official notice.

NSN 7540-01-152-8064

PREVIOUS EDITION NOT USABLE

33-132 STANDARD FORM 33 (Rev 9-97) Prescribed by GSA FAR (48 CFR) 53.214( c )

SECTION B – SUPPLIES OR SERVICES AND PRICES/COST CONSTRUCTION INSPECTION SERVICES

(WASHINGTON) - R-FTW-00432

Page 1 of 80 Section B

PART I - THE SCHEDULE

SECTION B - SUPPLIES OR SERVICES AND PRICES/COSTS PART

B.1 CONTRACT DEFINITION

This is a hybrid contract with Indefinite Quantity/ Fixed Unit Rate (IQ/FUR), and Cost Reimbursement (No Fee) line items (CLINs). Services provided by the Contract Inspector (CI) under this contract shall be secured by the issuance of task orders.

Orders shall be placed in accordance with the following clauses 52.216-18, Ordering; 52.216-19, Order Limitations; and Task Ordering Procedures.

B.2 DESCRIPTION OF SERVICES

The CI shall provide all management, supervision, personnel, equipment, materials, supplies and other items and services necessary to perform, schedule, coordinate, and assure effective performance of all assigned construction inspections for multifamily properties as defined in Section C for the Washington state area. More specifically, the CI shall perform as follows:

(1) The CI shall serve as HUD’s representative and perform inspections of HUD multifamily (MF) projects under repair, construction or substantial rehabilitation and shall assist all parties (owner, sponsor, architect, builder, mortgage company, consultant) in construction contract administration procedures, issues, and HUD forms. Multifamily projects to be serviced by the CI under this contract will involve either HUD-insured or HUD’s Capital Advance programs.

(2) The CI shall perform Special Purpose Inspections (SPIs) of existing subsidized or unsubsidized multifamily projects to either determine the scope and cost of repairs needed to bring the project to a decent, safe, and sanitary condition in accordance with 24 CFR Part 5, Subpart G; to follow up on critical repairs at a 223(f) project; to inspect major repair items; to investigate complaints HUD has received concerning the property’s physical condition; or any other inspection assigned to the inspector.

(3) The CI shall perform warranty inspections on HUD multifamily projects.

B.3 GEOGRAPHIC AREA AND PERIOD OF PERFORMANCE

Projects will be located in the state of Washington, served by HUD’s Multifamily Housing Hub Office located in Seattle, Washington. HUD reserves the right to revise the geographical area if it is in the best interest of the government. The period of performance is one year with four (4) one year options.

B.4 HUDAR 2452.216-76 MINIMUM AND MAXIMUM QUANTITIES AND AMOUNTS FOR ORDER

(FEB 2006)

The minimum quantity and/or amount to be ordered under this contract shall not be less than the minimum quantity and/or amount shown in the following table. The maximum quantity and/or amount to be ordered under this contract shall not exceed the maximum quantity and/or amount shown in the table.

Entire Contract Period (Base Period, plus 4 Option Periods) Minimum Amount Maximum Amount

$54,180 $861,462

The minimum and maximum amounts for this contract are stated in the table above and apply to the total contract period including all option periods. The estimated number of inspections to be performed during the base period and each option year is included in the Price Schedule table. The estimated quantities and estimated prices for the IQ/FUR and line items are estimates only. The Government is not obligated to order the estimated quantities. The listing in Section C and the Price Schedule also provide a representative sample of the types of projects that may require inspection during a one-year period.

The total amount ordered for the Routine and Special Purpose Inspections shall not exceed the maximum amount stated above.

Page 2 of 80 Section B

B.5 CONTRACT LINE ITEM NUMBERS AND PRICES

B.5.1 CONTRACT UNIT AND TOTAL PRICES

BASE PERIOD

CLIN

NO.

CLIN

Type

Project Size by Number of Units

Unit

Qty (Estimated)

Unit Price

Total Price (b x c = d)

0001 IQ/FUR Routine Construction Inspections

Inspections (Projects)

(42)

$* /insp. $ *

0002 IQ/FUR

or FFP

Special Purpose Inspections

(SPI)

See B.5.3

0003 Transition - In See C-5, paragraph 5.7

TOTAL - BASE PERIOD $*

OPTION PERIOD 1

CLIN

NO.

CLIN

Type

Project Size by Number of

Unit Price

Total Price (b x c = d)

0101 IQ/FUR Routine Construction Inspections

Inspections (Projects)

(21)

$* /insp. $ *

0102 IQ/FUR

or FFP

Special Purpose Inspections

(SPI)

See B.5.3

TOTAL PRICE - OPTION PERIOD 1 $

OPTION PERIOD 2

CLIN

NO.

CLIN

Type

Project Size by Number of

Unit Price

Total Price (b x c = d)

0201 IQ/FUR Routine Construction Inspections

Inspections (Projects)

(21)

$* /insp. $ *

0202 IQ/FUR

or FFP

Special Purpose Inspections

(SPI)

See B.5.3

TOTAL PRICE - OPTION PERIOD 2 $ *

OPTION PERIOD 3

CLIN

NO.

CLIN

Type

Project Size by Number of

Unit Price

Total Price (b x c = d)

0301 IQ/FUR Routine Construction Inspections

Inspections (Projects)

(21)

$* /insp. $ *

0302 IQ/FUR

or FFP

Special Purpose Inspections

(SPI)

See B.5.3

TOTAL PRICE - OPTION PERIOD 3 $

OPTION PERIOD 4

CLIN

NO.

CLIN

Type

Project Size by Number of

Unit Price

Total Price

0401 IQ/FUR Routine Construction Inspections

Inspections (Projects)

(21)

$* /insp. $ *

0402 IQ/FUR

or FFP

Special Purpose Inspections

(SPI)

See B.5.3

TOTAL PRICE - OPTION PERIOD 4 $

TOTAL PRICE - BASE & OPTIONS $

Page 3 of 80 Section B

B.5.2 ROUTINE INSPECTIONS

(a) The base period and option year price schedules shown for each contract Routine Construction Inspection line item number include all technical and clerical services, materials, supplies, reviews, reports, communications, HUD construction inspection tasks, time, travel, printing, photographic expenses, postage, courier fees and other fees related to the delivery of information to HUD, general oversight, overhead, general and administrative costs, fringe benefits, and profit/fee.

(b) Work assignments to the CI shall be issued in the form of Task orders issued in writing by the Contracting Officer in accordance with the terms of this contract. Each Task order shall contain a description of the project including location and shall indicate the number of inspections ordered and the applicable funding information. This quantity of inspections is then multiplied times the applicable fixed price per inspection to establish the total value of each Task order issued

See Section G.6 for IQ/FUR – Routine Inspection Ordering Procedures.

See Section G.8 for Contractor Notification Requirements.

B.5.3 SPECIAL PURPOSE INSPECTIONS

(a) Work assignments to the CI shall be issued in the form of Indefinite Quantity/ Fixed Unit Rate (IQ/FUR) or Firm-Fixed Priced task orders issued in writing by the Contracting Officer in accordance with the terms of this contract. The IQ/FUR or FFP task orders for Special Purpose Inspections (SPIs) , when required and authorized by HUD, shall be based on the hourly rate as indicated in the applicable price schedule below. The number of hours and any additional costs associated with SPIs, such as, testing, engineering expertise, materials, and travel expenses will be negotiated with the CI prior to issuance of a SPI order. No environmental testing, destructive investigation, or exploration will be ordered or secured by the CI, unless specifically required, reviewed, approved, and/or authorized by the HUD Contracting Officer. Travel expenses (and subsistence) for SPI’s will be based on the most recent Federal Travel Regulations (FTR) as prescribed by the General Services Administration (GSA) with no mark ups to established FTR travel and subsistence rates for the geographic area involved.

There are no minimum quantities for Special Purpose Inspections. The total dollar amount ordered for the Routine and Special Purpose Inspections shall not exceed the maximum dollar amount stated above.

See Section G.7 for Special Purpose Inspection Ordering Procedures.

See Section G.9 for Contractor Notification Requirements.

(b) AGENCY SUPPLEMENT 112 LABOR CATEGORIES, UNIT PRICES PER HOUR AND PAYMENT

The contractor shall provide the following types of labor at the corresponding unit price per hour (contractor to insert their rates in the table below) in accordance with the terms of this contract. The unit price per hour is inclusive of the hourly wage plus any applicable labor overhead, General and Administrative (G&A) expenses, and profit. Payment shall be made to the contractor upon delivery to, and acceptance by, the Government office requesting services (Payment shall be based on the negotiated task order terms as stated in paragraph a. above.) Definitions and minimum requirements for each skill type follows the table.

Labor Skill Base Period

(1 year) First Option

Year Second Option

Year Third Option

Year Fourth Option

Year

Certified Asbestos Consultant $_______/hr.* $_______/hr.* $_______/hr.* $_______/hr.* $_______/hr.*

Certified Industrial Hygienist $_______/hr.* $_______/hr.* $_______/hr.* $_______/hr.* $_______/hr.*

Radon Technician $_______/hr.* $_______/hr.* $_______/hr.* $_______/hr.* $_______/hr.*

Lead Based Paint Technician $_______/hr.* $_______/hr.* $_______/hr.* $_______/hr.* $_______/hr.*

Architect / Engineer $_______/hr.* $_______/hr.* $_______/hr.* $_______/hr.* $_______/hr.*

Foundation/Soils Engineer $_______/hr.* $_______/hr.* $_______/hr.* $_______/hr.* $_______/hr.*

Roof Inspector $_______/hr.* $_______/hr.* $_______/hr.* $_______/hr.* $_______/hr.*

Construction Inspector $_______/hr.* $_______/hr.* $_______/hr.* $_______/hr.* $_______/hr.*

Page 4 of 80 Section B

Certified Asbestos Consultant - certified in the geographic region (States) where the work is to be accomplished in this contract and experience the performance of investigations for the purpose of identifying, abating, or eliminating sources of pollutants or hazards, specifically asbestos, that affect either the environment or the health of the population, and in collecting, synthesizing, studies, reporting, and taking action based on data derived from measurements or observations of air, soil, water, and other sources.

Certified Industrial Hygienist – certified in the geographic region (States) where the work is to be accomplished in this contract and experience in anticipating, recognizing, evaluating, and controlling workplace conditions that may cause workers' injury or illness, and the use of environmental monitoring and analytical methods to detect the extent of worker exposure, and employ engineering, work practice controls, and other methods to control potential health hazards, and analyze, identify, and measure workplace hazards or stressors that can cause sickness, impaired health, or significant discomfort in workers through chemical, physical, ergonomic, or biological exposures. Two roles are to spot those conditions and help eliminate or control them through appropriate measures.

Radon Technician – Three years experience in the application of the theory and principles of environmental engineering to perform building inspections and analysis focused on the prevention, detection, and remediation of environmental pollution, specifically radon.

Lead Based Paint Technician – Three years experience in the performance of investigations for the purpose of identifying, abating, or eliminating sources of pollutants or hazards, specifically lead, that affect either the environment or the health of the population, and in collecting, synthesizing, studies, reporting, and taking action based on data derived from measurements or observations of air, soil, water, and other sources.

Architect / Engineer – registered professional engineer (PE) or registered architect, licensed in the geographic region (States) where the work is to be accomplished in this contract

Foundation / Soils Engineer – registered professional engineer, licensed in the geographic region (States) where the work is to be accomplished in this contract

Roof Inspector – Three to five years experience in the installation and inspection of various roofs of structures with shingles, slate, asphalt, aluminum, wood, and related materials such as insulation, decking, flashing, sealants, penetrations, etc.

Minimum two of the five years are inspection experience.

Construction Inspector – See the requirements for Construction Inspectors in Section C, Statement of Work, paragraph 1.3.2.3.

B.6 TRAVEL REIMBURSEMENTS FOR SITE VISITS FOR SPECIAL PURPOSE INSPECTIONS (SPI)

Note: This paragraph applies only to travel as discussed in B.5.3 above.

Allowable travel and lodging expenses incurred by the CI or other employees (key personnel) on trips made at the written request of the Government Technical Representative (GTR) or HUD’s Contracting Officer related to the performance of this contract shall be reimbursed. Such reimbursement shall be limited to the Government rates specified in accordance with the Federal Travel Regulation (FTR) and Federal Acquisition Regulation (FAR) 31.205-46. The FTR may be accessed by using the World Wide Web at:

http://policyworks.gov/org/main/mt/homepage/mtt/FTR/FTRHP.shtml.

When billing for travel expense reimbursement, the Contractor must provide with its invoice supporting data and paid receipts for transportation and lodging and clearly reference the written authorization from the GTR that authorized such travel. All items billed for $75.00 or more must be supported with receipts. Meals and incidental expenses will be reimbursed at the flat rates authorized for the geographic area as provided in FTR, and need not be supported by receipts. Expenses exceeding the rates specified in the FTR will not be reimbursed to the contractor.

Page 5 of 80 Section B

B.7 HUDAR 2452.251-70 CONTRACTOR EMPLOYEE TRAVEL OCT 1999

Note: This paragraph applies only to travel as discussed in B.5.3 above.

(a) To the maximum extent practical, the contractor shall make use of travel discounts that are available to Federal employees while traveling in the conduct of official Government business. Such discounts may include, but are not limited to, lodging and rental car rates.

(b) The contractor shall be responsible for obtaining and/or providing to his/her employees written evidence of their status with regard to their performance of Government contract work needed to obtain such discounts.

SECTION C – DESCRIPTION/SPECIFICATIONS CONSTRUCTION INSPECTION SERVICES

/WORK STATEMENT (WASHINGTON) – R-FTW-00432

Page 6 of 80 Section C

SECTION C – DESCRIPTION/SPECIFICATIONS/WORK STATEMENT

SECTION C-1 – GENERAL

1.1 BACKGROUND

1.1.1 The U.S. Department of Housing and Urban Development (HUD) provides funding for, or insures financing of, the construction of new multifamily (MF) projects or the repair or rehabilitation of existing MF projects, as authorized by several sections of the Housing Act of 1959 (HA), National Housing Act (NHA) and National Affordable Housing Act (NAHA), as listed below:

Section 207(M) Manufactured Home Parks Section 221(d)(3) and (4) Multifamily Rental Housing for

Moderate-Income Families Section 232 Nursing Homes, Intermediate Care

Facilities, Board and Care, and Assisted-Living Facilities Section 202 or 811 Housing for the Elderly, CAV (202) or for Persons with Disabilities, IAC (811) Section 220 Mortgage Insurance for Urban Renewal Areas Section 223(a)(7) Refinance of Existing FHA Insured Mortgages Section 223(f) Mortgage Insurance for the Acquisition or Refinancing of Multifamily Rental Apartments Section 232/223(f) Mortgage Insurance for the Purchase or Refinancing of Existing Nursing Homes and Assisted-Living Facilities Section 241 Supplemental Loans

1.1.2 HUD is required to perform periodic property inspections of MF projects throughout the entire construction and/or rehabilitation phase and during the warranty periods. Also, HUD is required to assist other parties (owner, sponsor, builder, supervisory architect, mortgage company, etc.) in utilizing HUD forms and procedures relative to the construction phase of MF project development. See sample workload estimates in Technical Exhibit 1.

1.2 SCOPE OF WORK

The purpose of this contract is to obtain services of a CI who, as HUD’s representative, will conduct required inspections and perform various construction inspection tasks (such as reviewing change orders, payment requests, schedules, request for permission to occupy, etc.) for HUD. Inspections shall be made to evaluate the builder’s and supervisory architect’s performance, to obtain construction in accordance with the construction contract documents, and to report on conformance with prevailing wages (when applicable) and other construction contract requirements. For HUD construction inspection tasks, the CI shall serve as HUD’s construction representative for completing various portions of HUD forms, procedures and other related tasks. The CI’s work products shall provide HUD with the field/site data necessary to make informed decisions regarding the construction phase of the HUD multifamily mortgage insurance underwriting process.

1.3 PERSONNEL

The CI is responsible for ensuring the contract manager and inspectors are thoroughly familiar with all HUD programs and procedures as they apply to the duties of the HUD representative (also called “HUD Design Representative” or “HUD Inspector” in HUD handbooks, specifically 4460.1 and 4435.01, and the Multifamily Accelerated Processing (MAP Guide)) and that they remain abreast of all changes to applicable handbooks, publications and forms. As the HUD representative on the project site, the CI shall be responsible for assisting other parties (owner, sponsor, builder, supervisory architect, mortgage company, etc.) in utilizing HUD forms and procedures relative to the construction phase of the multifamily project development.

1.3.1 Contract Manager. The CI shall provide a contract manager who shall be responsible for the performance of the work. The name of this person and an alternate who shall act for the CI when the manager is absent shall be identified in Section I, Key Personnel. These personnel shall be designated in writing to the Contracting Officer within seven (7) business days of contract award and prior to revision. This submission shall be accompanied by

Page 7 of 80 Section C the individual’s resume.

1.3.1.1 The contract manager or alternate shall have full authority to act for the CI on all contract matters relating to daily operations of this contract.

1.3.1.2 The contract manager or inspector shall be available during normal duty hours in accordance with Section C.1.6 to discuss problem areas with the Government Technical Representative

(GTR), Government Technical Monitor (GTM), and /or the HUD Construction Manager (HUD CM) and, if necessary, to meet with one or more of them in the local HUD office at no additional cost to the government or to the price of inspection services.

1.3.1.3 The contract manager and alternate shall possess three years of recent [within the past six (6) years] experience in managing and overseeing employees who perform multifamily construction inspection activities, or a total of five years of experience in overseeing employees performing a combination of multifamily, single family, and commercial construction inspections, with a minimum of one of those five years being multifamily. The contract manager and alternate must also have at least three years of satisfactory experience in performing construction inspections with the knowledge and experience listed below for inspectors.

1.3.2 Employees. The CI shall recruit, hire, train and supervise qualified employees. The Contracting Officer shall have the authority to restrict the assignment of any individual as an employee under the contract or any subcontract who is identified as a potential threat to the health, safety, security, general well being, mission of the Department or its staff, or whom HUD may determine has any actual or potential conflict of interest.

1.3.2.1 The CI, its staff, and the subcontractor personnel shall present a neat and clean appearance and be easily recognized. This may be accomplished by wearing appropriate badges that contain the company name, employee name, and photo or any other method of identification. The CI’s employees and subcontractors shall not indicate they are agents or employed by HUD, but rather that they are under contract with HUD.

1.3.2.2 The CI shall certify to the Contracting Officer that the inspectors meet the below-stated minimum qualifications. Such certification shall be made within seven (7) business days after contract award and seven (7) business days after hiring a new inspector; but, in any event, prior to any inspector performing inspections. These employees, along with the contract manager and alternate, shall be considered Key Personnel. The CI shall not substitute Key Personnel without prior approval of the Contracting Officer.

All inspectors shall possess three years of recent (within the past six (6) years) satisfactory construction inspection experience related to the specific inspection tasks required by this contract. Satisfactory experience is defined as three years of recent multifamily construction inspection activities or five years of experience in a combination of multifamily, single family, and commercial construction inspections, with a minimum of one of those five years being multifamily. Inspection experience shall cover all activities and phases of a construction project, and not just a single activity or discipline. The experience shall include a record of performing acceptable construction and warranty inspections and related construction contract administration tasks as required by this contract. The experience shall clearly reflect the inspector’s knowledge of and familiarity with national building codes and standards, current standard construction methods and procedures, Federal Fair Housing Accessibility Guidelines, and HUD regulations and handbook requirements to ensure compliance with it by the owner, builder and the supervisory architect. The complexity of some projects may mandate that they be assigned to an inspector whose background indicates the ability to perform those inspections.

1.3.2.3 When the CI has assigned an inspector to a project, that inspector shall continue to conduct all inspections at the property through final completion of construction phase and the two guarantee/warranty inspections. If, due to unforeseen circumstances, it becomes necessary to substitute an inspector assigned to a project, the CI shall inform the GTR at least seven (7) business

Page 8 of 80 Section C days prior to the scheduled inspection, that another inspector from the key personnel list is to be assigned.

1.3.2.4 The CI shall not employ or subcontract with any person who is a current or former civilian employee of the U.S. Government if the employment of that person would create a conflict of interest, an appearance of any conflict, or otherwise conflict with Department restrictions. The HUD Office of Counsel must approve employment of any person who is a current or former civilian employee of the U.S. Government.

1.4 CONTRACTOR QUALITY CONTROL

1.4.1 The CI shall establish and maintain a complete quality control (QC) plan to ensure the requirements of the contract are provided as specified. One (1) copy of the CI’s QC plan shall be provided to the Contracting Officer and one (1) copy to the GTR not later than the post-award conference. The CI shall provide a complete copy to the Contracting Officer and GTR as any updates/changes occur. The CI shall retain copies of all documents/records generated in the QC process and shall present them to the Contracting Officer upon request.

1.4.2 At a minimum, the QC plan shall:

1.4.2.1 Specify how all specific tasks of Section C.5.2, C.5.3, C.5.4, and C.5.5 will be reviewed including how the inspectors will be monitored to ensure timely and quality work

1.4.2.2 Indicate whether services are to be reviewed on a scheduled or unscheduled basis.

1.4.2.3 Explain how reviews are to be conducted.

1.4.2.4 Identify name(s) and qualifications of the individual(s) responsible for performing the QC reviews, and the specific areas/services to be inspected by such individuals.

1.4.2.5 Assure that MF projects are inspected and that HUD construction inspection tasks are completed in accordance with all relevant HUD handbooks, requirements and procedures.

1.4.2.6 Guard against dishonest, fraudulent or negligent acts.

1.4.2.7 Guard against errors and omissions by officers, employees or other authorized persons. If a problem is identified, the CI shall promptly take appropriate action to correct the problem. The CI shall keep a record of any such errors and omissions. At the request of the GTR/GTM, the CI shall make these records available for review. The CI shall design its quality control plan to assure its staff complies with HUD’s handbooks, requirements and procedures.

1.4.2.8 Guard against potential conflicts of interest.

1.4.2.8.1 When performing inspections or construction inspection tasks, the CI may become privy to privileged information about builders and design architects involved with HUD MF projects. This privileged information shall not be used by the CI (or anyone connected with the CI) against HUD, or the owner, sponsor, builder, supervisory architect, mortgage company, etc.

1.4.2.8.2 The CI, or any of its employees, shall not have any financial interest, direct or indirect, in any property (other than this contract) associated with any HUD MF property that has been assigned to this contract.

1.4.2.8.3 The CI, or any of its employees, shall not be assigned and cannot perform inspections on projects in which they currently serve or served as the design and/or Supervisory Architect.

1.4.2.9 Identify methods for selection of qualified inspectors.

Page 9 of 80 Section C

1.4.2.10 Provide a method to identify deficiencies in quality of services performed and take corrective action before the level of performance becomes unsatisfactory.

1.4.2.11 Ensure the complete documentation of all quality control reviews and any corrective action required.

The CI shall establish and maintain files for such documentation throughout the term of this contract.

The filing method shall be such that all information relative to quality control inspections is logically grouped together and readily accessible. The files shall be made available to HUD upon demand during the CI’s regular business hours. The files shall be turned over to HUD within ten (10) business days of request.

1.5 PHYSICAL SECURITY

The CI shall be responsible for safeguarding all government property, primarily multifamily project construction contract documents, data and inspection records, and other related information. The CI shall be held liable for loss or misuse of government property due to causes such as neglect, negligence of employees and subcontractors, failure to secure property, or other misconduct by the CI.

1.6 HOURS OF OPERATION

The CI shall be able to provide service from 8:00 AM to 4:30 PM, local time (where project is located), Monday through Friday, with the exception of recognized Federal holidays.

1.7 DELIVERABLES

Contract Deliverable Requirements are described in Technical Exhibit 3.

1.8 HUD PUBLICATOINS AND FORMS

Publications and forms applicable to this contract are shown in Technical Exhibit 4.

SECTION C-2 - DEFINITIONS

2.1 AIA - the American Institute of Architects, 1735 New York Ave., NW, Washington, DC 20006.

2.2 Application - the HUD-92013, Application for Multifamily Housing Project, and other required exhibits that are submitted by a sponsor or the mortgagee of record to a HUD Office to request issuance of a processing letter (Site Appraisal and Market Analysis (SAMA), Feasibility Letter or Firm Commitment).

2.3 Architect or Supervisory Architect - the architect providing services to the sponsor/owner under the terms of the AIA- B181, Owner-Architect Agreement.

2.4 Builder - the General Contractor hired by the sponsor/owner to construct the project under the terms of the construction contract and in accordance with contract documents. The term “builder” is used in this contract to avoid confusion when the CI’s role is discussed.

2.5 Certificate of Occupancy - a certificate allowing occupancy issued by a local Government building department for a structure or structures for which a building permit has been issued.

2.6 CFR - Code of Federal Regulations.

2.7 Construction Contract - the construction contract applicable to the particular project for which HUD is providing funding or mortgage insurance and which HUD requires (typically a contract between the builder and project owner or sponsor).

2.8 Construction Contract Administration - the supervisory architect’s administration of the contract between the builder and project sponsor/owner in the construction of any MF project. HUD construction inspection tasks, to be performed

Page 10 of 80 Section C by the CI as HUD’s Representative, are defined in this contract.

2.9 Construction Inspection Services - monitoring the construction, and performing construction inspection tasks and related functions for the purpose of protecting the Department’s interest.

2.10 Construction Manager (HUD CM) - the HUD employee in the Multifamily Hub who is responsible for the proper performance of all functions relating to inspection. The Construction Manager keeps informed of the general progress of the work on all projects in the Hub’s jurisdiction during the construction stage and guarantee period and is familiar with any problems involved. The HUD CM is also a designated GTM and is appointed in writing by the Government, but is referred to herein as the HUD CM. See Section G.

2.11 Contract Administration - the monitoring of the performance of the CI by the GTR, GTM and Contracting Officer relative to the tasks performed under this contract.

2.12 Contract Inspector (CI)) – the individual, partnership, corporation, or other entity that is the party subject to the terms and conditions of this contract, and also is referred to as HUD’s Representative. This is the contractor for this contract.

2.13 Contract Manager (CM) – the individual employed by the CI and designated to administer the terms and conditions of the contract.

2.14 Contracting Officer (CO) – a person with the authority to enter into, administer, and/or terminate contracts and make related determinations and findings.

2.15 Days – calendar days, unless otherwise specified as business days.

2.16 FHAG - Fair Housing Accessibility Guidelines.

2.17 Final Closing - the final completion of all HUD project development forms, procedures, terms and conditions per HUD legal and programmatic requirements. This occurs after completion of project construction and cost certification.

2.18 Final Completion of the Work (Individual Project Completion) - the time when all work under the owner’s/sponsor’s construction contract is 100 percent complete, except work items beyond the builder’s control which are accepted as delayed items of completion. It is formalized as of the date the CI signs the final HUD-95379, HUD Representative’s Trip Report, provided that the trip report is subsequently accepted by the GTM and the HUD CM.

2.19 GTM - the Government Technical Monitor appointed in writing by the Contracting Officer. The GTM, for purposes of this contract, is subordinate to the GTR and assists the GTR in monitoring the CI’s performance. The GTM will provide project-specific technical clarification, assistance, and direction to the CI in the performance of duties of this contract. The GTM provides technical advice and assistance to the GTR.

2.20 GTR - the Government Technical Representative appointed in writing by the Contracting Officer. The GTR monitors compliance with the provisions of this contract. See Section G.

2.21 HUD - the U.S. Department of Housing and Urban Development. The terms “Department of Housing and Urban Development,” “Department,” “HUD,” and “Government” shall be synonymous and may be used interchangeably in this contract.

2.22 HUD Capital Advance Program - a program whereby HUD provides direct funding for construction, acquisition, or rehabilitation of a housing project for elderly or disabled persons.

2.23 HUD Inspection Procedures - paragraphs 3-1 through 3-17 in Chapter 3, Architectural Inspection, of HUD Handbook

4460.1 REV-2, Architectural Analysis and Inspections for Project Mortgage Insurance; HUD Handbook 4435.01 REV-1, Project Construction and Servicing Before Final Closing; and the MAP Guide (Chapter 13 and other chapters or appendices). Required reporting via the HUD-95379, HUD Representative Trip Report, is to be completed for each inspection per MAP Forms Catalog, or per instructions included on the form.

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2.24 HUD-Insured Program - a program where HUD provides mortgage insurance to the mortgagee for construction, acquisition (with or without repairs), or rehabilitation of a housing project.

2.25 Initial Endorsement/Closing – the initial endorsement of a HUD project for loan insurance or the completion of all documents necessary for a capital advance, which normally occurs prior to the commencement of construction. The legal documents, loan forms, capital advance documents, construction contract, and other required instruments are signed at this meeting.

2.26 Item(s) of Delayed Completion – construction-related work items beyond the builder’s control to complete, and identified by the CI at final completion of the work (see 2.2.13). check numbering.

2.27 Latent Defect(s) - defective or non-conforming work item(s) not observed during construction, and identified by the owner’s architect and the HUD inspection contractor at either the 9-month or 12-month warranty inspection.

2.28 MAP Guide - HUD’s guide to the Multifamily Accelerated Processing (MAP) program. Available online at:

http://www.hud.gov/offices/hsg/mfh/map/mapguide/mapguide.cfm

2.29 Performance Assessment - a planned and systematic pattern of all government actions to provide confidence that adequate technical requirements are established, products and services conform to established technical requirements, and satisfactory performance is achieved.

2.30 Pre-closing Conference - the meeting HUD will conduct, if necessary, with the lender, owner/sponsor, builder, CI, accountants, and others to assist in reaching the project’s final closing in a timely manner.

2.31 Pre-Construction Conference (PCC) - the meeting attended by the CI; builder; builder’s subcontractors (if possible);

supervisory architect; owner/sponsor; consultants (if any); mortgage company (if applicable); and HUD Housing Development staff to discuss the construction contract documents and applicable HUD requirements. Required for every project and should precede the initial start of construction (if possible).

2.32 Project - the land or leasehold and existing or proposed improvements described in an application for mortgage insurance or capital advance.

2.33 Project Capital Needs Assessment (PCNA) – document containing estimates of critical and non-critical repair costs and the initial and monthly deposits to the replacement reserve.

2.34 Quality Control - those actions taken by a contractor to control the production of outputs to ensure that they conform to the contract requirements.

2.35 Special Purpose Inspections (SPIs) - the type of physical inspection performed on existing MF subsidized or unsubsidized projects to either determine the scope and cost of repairs needed to bring the project to a decent, safe, and sanitary condition in accordance with 24 CFR Part 5, Subpart G; to inspect major repair items; to inspect progress being made under Management Improvement and Operating (MIO) Plans; to investigate complaints HUD has received concerning the property’s physical condition; or any other inspection assigned to the inspector.

2.36 Sponsor/Owner/Mortgagor - the individual or entity planning the project whose name appears on the Construction

Contract and other applicable project documents.

2.37 Start(s) of Construction - “Initial Start of Construction” is defined as the beginning date of the initial site preparation.

This date is used in connection with the Labor Standards and prevailing wage requirements, when the construction contract work commences with initial site clearance or other preliminary site work for proposed construction projects.

The “Start of Permanent Construction” is defined as the first day that permanent on-site building elements were put in place (footings, foundations, pilings, utility lines, etc., but not excavation, forms or trenching, including demolition of portions of the existing building for substantial rehabilitation projects). Builder documents “initial” and “permanent” construction start dates via appropriate correspondence to the CI.

2.38 Temporary Certificate of Occupancy - a certificate issued by a local Government building department for a structure or

Page 12 of 80 Section C structures for which a building permit has been issued (allows early occupancy and prior to issuance of Certificate of Occupancy).

2.39 UFAS - Uniform Federal Accessibility Standards.

SECTION C-3 GOVERNMENT FURNISHED ITEMS AND SERVICES

3.1 CONSTRUCTION-RELATED DOCUMENTS

After the CI has been assigned a project, the GTM will provide to the CI, copies of construction related documents pertinent to the type of HUD program through which the project is funded or insured, which are necessary for the CI to inspect and perform construction inspection tasks for the assigned HUD MF projects. Construction related documents forwarded to the CI, depending on the program type, as determined by the GTR/GTM are as follows:

3.1.1.1 3.1.1 Set 3 of the HUD-approved construction drawings and specifications

3.1.1.2 Construction contract between the builder and the owner/sponsor

3.1.1.3 Supervisory Architect’s Contract, AIA Document B-181 with HUD Amendment

3.1.1.4 Drawings, specifications, and contract pertaining to offsite improvements (if applicable)

3.1.1.5 Escrow Agreement for Offsite Facilities (if applicable)

3.1.1.6 Builder’s Progress Schedule

3.1.1.7 Builder’s and/or Mortgagor’s Cost Breakdown – Schedules of Values, Form HUD-2328

3.1.1.8 Project Capital Needs Assessment (PCNA) (if applicable)

3.1.1.9 Additional pertinent documents

3.2 WORK SPACE AT THE CONSTRUCTION SITE

Work space at the construction site for HUD personnel and the CI (as HUD’s representative), is required by the addendum to the Building Loan Agreement and the construction contract for projects under construction. The CI has the right of entry and free access to construction sites and to inspect all work and materials, equipment and fixtures furnished, installed or stored in and about the project at all normal working times during construction. The CI shall immediately notify the GTR/GTM if it is denied such right of entry and free access. The CI shall not attempt to resolve any dispute regarding entry and free access unless specifically instructed by the GTR/GTM to do so.

3.3 HUD AS-BUILT SET OF PLANS AND SPECIFICATIONS

HUD provides a set of plans and specifications to the builder for use on the construction site (the builder’s “record set”).

The CI shall use Set No. 3 of the plans and specifications during the construction period to perform inspections. The CI shall mark-up (in red) this set to record those portions of the work inspected. This becomes the record of the inspector’s check of work-in-place compared to that shown/required in the contract documents - plans, specifications, details, approved change orders, etc. Upon completion of construction the CI will return this set to the GTM as part of the Construction Record. The builder’s record set is retained on-site during construction, and is given (with transmittal) to the sponsor/owner at the end of construction along with the Operating & Maintenance Manuals and other contract close-out requirements in Division 1 of the specifications. Warranty inspections will be performed using the Builder’s/Owner’s set of record documents.

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SECTION C-4 CONTRACTOR FURNISHED ITEMS AND SERVICES

The CI shall provide all necessary technical and clerical services, facilities, materials, supplies, travel, equipment, supervision, and personnel and other items and services, except as may be provided by HUD and identified below, to perform the services as defined in this contract. HUD will pay the CI a flat fee per inspection (per site visit) as set forth in Section B, plus incentives or disincentives described in Technical Exhibit 2 and HUD will reimburse no expenses to the CI, unless specifically identified elsewhere in this contract.

SECTION C-5 INSPECTION OVERVIEW AND SPECIFIC TASKS

5.1 GENERAL INSPECTION OVERVIEW

5.1.1 HUD requires construction inspection services for selected MF projects. The CI shall perform construction inspections of new or substantial rehabilitation construction projects (Sections 202/811, 207, 220, 221(d)3 and (d)4, 232, and 241 projects) on a twice-per-month basis (approximately 14-15 day intervals and at least 10 days apart unless authorized by the GTR or GTM).

5.1.1.1 The CI shall monitor, evaluate, and record the performance of the supervisory architect and the builder and perform HUD construction inspection tasks as required.

5.1.1.2 The CI shall make additional (more frequent) inspections at the site of MF housing projects upon direction by the GTR. The contracting officer must authorize such additional inspections in the appropriate task order for that project prior to the GTR’s direction to the CI.

5.1.2 The CI shall also perform guarantee/warranty inspections, as discussed in more detail in 5.5. Each HUD MF project, after completion of construction, is typically covered by a one (1) year warranty against latent defects.

Two (2) guarantee/warranty inspections are usually conducted during the warranty period: one close to the 9-month anniversary date of the completion of the construction and another approximately twenty-one (21) days prior to the 12th month anniversary dates of the completion of construction. Warranty inspections identify latent defects and check items of delayed completion. During these inspections, the CI shall identify latent defects in materials and/or workmanship per the construction documents for repair/replacement under warranty, as well as identify any improper maintenance and casualty damage. The CI shall verify completion of any approved items of delayed completion (and sign Release of Escrow if applicable).

5.1.3 SPECIAL PURPOSE INSPECTIONS The CI shall also perform, as required, inspections of existing MF insured and/or subsidized projects (named SPECIAL PURPOSE INSPECTIONS (SPI’s) in this contract). These inspections may be made to determine the condition of the property, whether the property is in decent, safe, and sanitary condition, and the cost and scope of repair work based on the results of the inspections; to inspect major repair items requiring specialized, technical investigation such as electrical, plumbing, foundation, or civil engineering; to inspect progress being made under Management Improvement and Operating (MIO) Plans; to investigate complaints HUD has received concerning the property’s physical condition; or any other inspection assigned to the inspector. Standards for decent, safe, and sanitary housing shall be based on 24 CFR Part 5, subparagraph G. Actual scope of work, reporting documents, format and other details of SPI’s will be established in the order for the work. Section B (note See Section B) subparagraphs entitled, Special Purpose Inspections, reflect the SPI inspection fees on a per-hour basis that will be used to negotiate the final SPI price. SPI’s shall be firm-fixed price or Indefinite Quantity/Fixed Unit Rate (IQ/FUR) negotiated orders for work and are not covered by the provisions contained in Section C, Technical Exhibit 2, Performance Requirements Summary/Standards;

or Technical Exhibit 3, Contract Deliverable Requirements Chart.

5.2 CONSTRUCTION INSPECTIONS – SPECIFIC PROJECT MONITORING TASKS

5.2.1 Projects Under Construction or Under Warranty. After contract award, the contracting officer will assign projects to the CI for servicing which are already under construction or in need of warranty inspections.

The GTM will provide to the CI copies of all pertinent construction-related documents necessary for the CI to inspect and perform construction contract administration tasks for these HUD MF projects.

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5.2.2 New Projects. At any time after contract award, the contracting officer will assign new projects to the CI for servicing under this contract. Prior to the initial endorsement/closing of a new project, HUD will, at its discretion, assign said project to the CI and forward all pertinent construction-related documents necessary to perform construction inspections, HUD construction contract administration tasks, and guarantee/warranty inspections.

5.2.3 Pre-Construction Activities. Within ten (10) business days of receipt of materials related to the assignment of projects (under construction, under warranty, or new/rehabilitation projects or repairs), the contractor shall initiate an “Initial Briefing” call or meeting with the CM. The CM will orally brief the contractor and answer questions regarding the assignment. Appropriate activity for each project (inspections, HUD construction contract administration tasks, or warranty inspections) shall be per applicable sections of this contract. In addition, the CI shall attend, and when necessary, conduct the HUD Pre-construction conference, and afterwards submit summary meeting notes and list of attendees on a Trip Report (HUD-95379) (photos not required) to the GTM and HUD CM within seven (7) business days of the conference. The contractor shall confirm the initial review of the Contract document-plans and specifications, etc., prior to field inspections as part of the Pre-construction Conference Trip Report. In addition, the CI shall attend the Architect’s/Builder’s Pre-construction meeting in the field, should one be held, and submit a Trip Report (this will typically occur during the contractor’s first trip to the project site.)

5.2.4 Twice-monthly construction inspections/site-visits/site-meetings for construction projects under Sections 202/811, 207, 220, 221(d)(3), 221(d)(4), 232 and 241.

5.2.4.1 The CI shall visit the job-site and inspect the project twice per month (at approximately 14-15 day intervals at least 10 calendar days apart)…