Rent_Comparability_Survey_and_Rent_Reasonableness_Studies_(Addendum_#2_Revision).pdf

Sacramento Housing and Redevelopment Agency

Procurement Services

801 12th Street – 2nd Floor Sacramento, CA 95814

(916) 440-1378 ps@shra.org

Visit our website @ www.shra.org

A Joint Powers Agency

M E M B E R S

City of Sacramento

County of Sacramento

Housing Authority of the City of Sacramento

Housing Authority of the County of Sacramento

Sacramento Housing and

Redevelopment Agency

Request for Proposals

Rent Comparability Survey and Rent Reasonableness Studies

RFP # 2509-KP

Date RFP Issued May 7, 2025

First Pre-Proposal Meeting (Non- Mandatory)

May 15, 2025, 11:00am https://shra-org.zoom.us/meeting/register/IYeH2M_tQ0yWPB

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Request for Information (RFI) Due May 20, 2025, 11:00am

Addendum (if necessary) issued May 27, 2025, 5:00pm

Extended RFI Period May 30, 2025, 4:00pm

Final Addendum (Only if necessary) June 2, 2025, 5:00pm

Proposals Due June 10, 2025, 2:00pm

Notice of Intent to Award (anticipated) June 24, 2025

Notice of Award (anticipated) June 30, 2025 mailto:ps@shra.org http://www.shra.org/ https://shra-org.zoom.us/meeting/register/IYeH2M_tQ0yWPB5u7bgsWg https://shra-org.zoom.us/meeting/register/IYeH2M_tQ0yWPB5u7bgsWg

Request For Proposal (RFP) Solicitation #2509-KP Title: Rent Comparability Survey and Rent Reasonableness Studies

Contract start (anticipated) September 1, 2025

REQUEST FOR PROPOSAL (RFP) SOLICITATION

Rent Comparability Survey and Rent Reasonableness Studies

I. Introduction II. Scope of Work

III. Insurance Requirement IV. Contract V. Agency Contact VI. Time and Place for Submission of Proposal VII. Proposal Submittal Format and Requirements VIII. Pricing Proposal IX. Selection Process Overview X. Award Notice and Acceptance Period XI. Award of Contract XII. Mistake in Proposal XIII. Error in Submitted Proposals XIV. Agency’s Rights, Options, and Policies

Attachments:

A - SHARP -Template Contract Form Professional Services Agreement - 2.1.2024

B - 5369-B - Instructions to Offerors (Non-Construction)

1. 1. ................................................................................ Introduction

Request for Proposals

Rent Comparability Survey and Rent Reasonableness Studies

2509-KP

Date:Wednesday, May 7, 2025

1.1. 1.1. .................................................................................................. Summary

The Sacramento Housing Authority Repositioning Program, Inc. (SHARP) is seeking qualified, experienced, and licensed appraisers to conduct Rent Comparability Surveys (RCS) and Rent

Reasonableness Studies to support its Commercial and Residential properties. The purpose of these studies is to ensure that rent levels for subsidized units are aligned with prevailing market rates, and to comply with U.S. Department of Housing and Urban Development (HUD) regulatory requirements

This project combines the objectives of providing a comprehensive appraisal and market study for residential and/or commercial properties for the Sacramento Housing Authority Repositioning Program

(SHARP), alongside the establishment and completion of rent comparability surveys. The scope of this work will ensure compliance with industry standards (USPAP, HUD, CTCAC, CDLAC) and applicable

HUD regulations, while providing necessary tools for ongoing rent reasonableness determinations on as needed basis.

1.2. 1.2. ............................................................................................... Background

N/A.

1.3. 1.3. ..................................................................................... Contact Information

Keith Peloquin Compliance/Procurement Analyst 801 12th Street Procurement Services Sacramento, CA 95814 Email: kpeloquin@shra.org Phone: (916) 449-6296

Department:

Public Housing

1.4. 1.4. ................................................................................................... Timeline

Attendance is recommended to at the Pre-Proposal meeting.

Date RFP Issued May 7, 2025 mailto:kpeloquin@shra.org tel:(916)449-6296

First Pre-Proposal Meeting (Non-

Mandatory)

May 15, 2025, 11:00am https://shra-org.zoom.us/meeting/register/IYeH2M_tQ0yWPB5u

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Request for Information (RFI) Due May 20, 2025, 11:00am

Addendum (if necessary) issued May 27, 2025, 5:00pm

Extended RFI Period May 30, 2025, 4:00pm

Final Addendum (Only if necessary) June 2, 2025, 5:00pm

Proposals Due June 10, 2025, 2:00pm

Notice of Intent to Award (anticipated) June 24, 2025

Notice of Award (anticipated) June 30, 2025

Contract start (anticipated) September 1, 2025

2. 2. ............................................................................. Scope of Work

2.1. 2.1. ................................................................................ Minimum Requirements

Must be a Certified General Appraiser and must provide proof of certification for verification in your response.

2.2. 2.2. ........................................................................................... Scope of Work

Scope of Work

1. Property Inspection & Data Collection o The appraiser will perform a physical inspection of the property and surrounding market area, and data collection will include:

▪ Review of relevant zoning regulations, land-use plans, parcel size, and ownership records.

▪ Assessed values.

▪ Regional, city, and market analysis using data from local planning agencies, state and federal economic development departments, market research services (e.g., CoStar, ParcelQuest), and other relevant sources.

2. Appraisal Components o The appraisal will be prepared in accordance with industry standards, including:

o As-Is Market Value within 120 days before or after a property transaction.

o Valuation Approaches: Income and Sales Comparison Approach.

o Hypothetical Market Value of the underlying land as if vacant.

o Restricted, As Is Value of the Improvements (important for all subsidized/affordable/tax credit properties).

o Ground Lease Analysis (if needed as part of the appraisal).

o Analysis of purchase contracts, if applicable.

o Rent Comparability Survey (RCS) for subsidized housing programs in compliance with HUD Form 92273-58 and renewal policy guidelines.

3. Market Study Components o The market study will provide an in-depth overview of the market conditions, including:

o Executive Summary, Project Description, Market Area Delineation.

o Economic Analysis: population, household, and income trends.

o Rent Comparability, Absorption Rate, and Demand Estimate.

o A comprehensive analysis of the demand for units and absorption rates in the market area.

4. Rent Comparability Survey (RCS) & Market Rent Analysis o The firm selected will perform a comprehensive rent comparability survey and market analysis, focusing on:

o Surveying rental rates, lease terms, amenities, and other characteristics for residential and/or commercial properties.

o Direct input from property representatives for accurate rent data.

o The rent comparability analysis will include comparisons of units based on size, quality, amenities, utilities, and lease terms, ensuring compliance with HUD guidelines.

5. Deliverables & Reporting o Depending on the request from the department, the firm may be asked to deliver comprehensive reports and system functionalities, including:

o Appraisal Report: prepared in accordance with USPAP, HUD, CTCAC, and CDLAC guidelines.

o Market Study Report: including executive summary, market area economic analysis, rent comparability, absorption rate, and demand estimate.

o Rent Reasonableness System: fully operational within 30 days, with user access and ongoing technical support.

o Reports and system deliverables will be made available in electronic format, and where applicable, integrated into the Housing Authority’s Yardi system or other preferred platforms.

o To ensure transparency and clarity, a pricing matrix will be created for each service provided by the vendor. The matrix will include the hourly rate for each area the vendor is bidding on. This allows the Department to select the most cost-effective vendor based on expertise, pricing, and availability. The firm will deliver comprehensive reports and system functionalities, including:

3. 3. .................................................................... Insurance Requirement

3.1. 3.1. ..................................................................................... Basic Requirements

During the term of the contract, the selected contractor must be able to meet Agency

Insurance Requirements.

Contractor shall procure and maintain for the duration of the contract insurance against claims for injuries to persons or damages to property which may arise from or in connection with the performance of the work hereunder and the results of that work by the Contractor, his agents, representatives, employees or subcontractors.

Any questions or concerns regarding insurance coverage should be discussed with

SHRA’s General Counsel or Risk Management. Work shall not proceed until insurance issues/ concerns are resolved.

During the term of the contract, the vendor shall maintain the following insurance coverage from insurance providers licensed to do business in California and having a

Best’s rating of at least A-VII, or a rating of such other rating service as the Agency, in its sole discretion, shall require.

Basic Requirements:

• Named certificate holder on all certificates of insurance shall be:

Sacramento Housing and Redevelopment Agency and Its

Constituent Entities

801 12th Street

Sacramento, CA 95814

• Certificates of Insurance shall include applicable endorsements. Insurance certificates shall not be accepted without the required endorsements. Further guidance of required endorsements is outlined below.

• Proper notification of cancellation of coverage is required. Contractors are required to provide notice of cancellation within ten (10) days for non-payment, and within thirty (30) days for all others.

o Failure to maintain the required insurance coverage is a material breach of the Contract. Agency shall, nevertheless, have the right, without obligation, to pay any delinquent insurance premiums and any other charges to reinstate or maintain the required insurance policies and coverage. Vendor must immediately reimburse Agency for any and all costs incurred by Agency in obtaining or maintaining such insurance. If Agency does incur such costs, Agency shall have the right to withhold such amount from any payment due to the vendor under the Contract and to reduce the compensation payable to the vendor under the Contract by such amount.

• Any deductibles or self-insured retentions must be declared to and approved by the Agency.

3.2. 3.2. ................................ Service Contract and Supply Contract Insurance Requirements

▪ Commercial General Liability: A policy of comprehensive general liability insurance which shall include, without limitation, coverage for contractual liability, public liability and property damage, written for not less than the single limit liability coverage stated.

• Requirements:

o Limits shall be no less than:

▪ $1,000,000 per occurrence for all covered losses

▪ $2,000,000 general aggregate o Deductible shall be $25,000 or less o Endorsements:

▪ ISO Form CG 00 01 or equal equivalent

▪ ISO Form CG 20 10 or equal equivalent

• Projects over one million dollars are subject to Agency General

Counsel determination of alternate limits.

▪ Automobile Liability: Required if motor vehicles are used in performing services in connection with contract. Contractor shall provide automobile liability coverage for owned, non-owned, and hired automobiles.

o Requirements:

▪ Limits shall be no less than: $1,000,000 per accident

▪ Deductible shall be $5,000 or less

▪ Deductible shall be $5,000 or less o Requests:

▪ ISO Form CG 00 01 or equal equivalent

▪ ISO Form CG 20 10 or equal equivalent

▪ Workers Compensation and Employers Liability Insurance: California law requires a company to have Workers Compensation insurance if they have one (1) or more employees.

▪ Requirements:

• Limits shall be no less than $1,000,000 per accident or disease.

• Coverage is required whether the employee is full-time, part-time, temporary, or a family member of the owner. All employees of a company as legally defined including corporate officers and directors must be included in the

Worker’s Compensation policy unless they are owners of the firm. An owner of a firm is defined as having a 25% interest in the firm.

▪ Professional Liability: Required for all professional services provided, including but not limited to: accountant, architect, attorney, claims administration firms, consultants, insurance brokers, engineers, financial advisors, or other person who maintains a professional license.

• Limits shall be no less than:

o $1,000,000 per claim o $1,000,000 aggregate

• Contractor shall maintain professional liability insurance that insures against professional errors and omissions that may be made in performing the Services to be rendered in connection with this

Agreement.

• Any policy inception date, continuity date, or retroactive date must be before the effective date of this agreement, and Contractor agrees to maintain continuous coverage through a period no less than three years after completion of the services required by this agreement.

▪ Cyber Liability: Required if PII attachment is included with contract.

Required if service or product provided include electronic activities which may be vulnerable to data breaches of personal information.

• Requirements:

o Limits shall be no less than: $1,000,000 per claim o Policy shall include coverage through a third party as a cloud provider o Coverage shall be sufficiently broad to respond to the duties and obligations as is undertaken by Vendor in this agreement and shall include, but not be limited to, claims involving infringement of intellectual property, including but not limited to infringement of copyright, trademark, trade dress, invasion of privacy violations, information theft, damage to or destruction of electronic information, release of private information, alteration of electronic information, extortion, and network security.

o The policy shall provide coverage for breach response costs as well as regulatory fines and penalties, and credit monitoring expenses with limits sufficient to respond to these obligations.

o Products and Completed Operations: Evidenced In Commercial

General Liability o Required for contracts with operations where product is made for, sold to, or distributed to Agency

• Requirements:

o Limits shall be no less than: $1,000,000 per claim o Deductible shall be $25,000 or less

4. 4. .................................................................................... Contract

It is the intent of the Agency to award to multiple vendors with a maximum of up to ten (10) contracts for Rent Comparability Survey and Rent Reasonableness Studies specified in this RFP document. The contract(s) shall be for an initial period of five (5) years with no option to renew. Provided, however, that under no circumstances shall the Term, as extended, exceed a total of 5 years.

The services under this contract may be used by any department, division, or legal entity of the Agency.

The Agency reserves the right to resolicit to add firms in order to meet the Agency's needs.

Prospective Contractors are advised to review the contract agreement and attachments before submitting their proposals. A sample of the contract is provided as under #Attachments.

https://procurement.opengov.com/portal/shra/projects/159795/document?section=1454329

5. 5. ............................................................................ Agency Contact

All questions, requests for clarification, and submittal procedures, requirements and selection procedures concerning this RFP are to be submitted no later than 11:00 am on Tuesday, May 20, 2025, via

OpenGov:

https://procurement.opengov.com/portal/shra

A. Agency Contact:

o Keith Peloquin – Compliance/Procurement Analyst o (916) 449-6296 o E-Mail: kpeloquin@shra.org

Written replies to all inquiries will be posted in OpenGov. If it becomes necessary to revise any part of this

RFP, an addendum to the RFP will be issued via OpenGov no later than 5:00 pm on Tuesday, May 27, 2025.

Do not contact other Agency employees or Selection Committee members regarding this project or the selection procedures. Any communication with other Agency employees regarding this RFP, its scope, technical specs or submittal requirements is grounds for disqualification from this RFP. The Agency will not be responsible for oral or other explanations / interpretations of the RFP document or procedures.

https://procurement.opengov.com/portal/shra

6. 6. .............................................. Time and Place for Submission of Proposal

Contractors responding to this RFP shall review the specific submittal requirements and questions below, and submit their proposal via OpenGov:

All proposals must be received no later than2:00 pm onTuesday, June 10, 2025. If the proposal is late or incomplete, that firm may be eliminated from consideration. Proposals will ONLY be accepted through OpenGov, NO EXCEPTIONS.

OPENGOV NOTE: When uploading your documents to OpenGov, please allow sufficient time to complete the process: Once the clock turns 2:00 pm your submittal will not be accepted if you are in the process of uploading. For technical issues relating to your proposal upload, please contact OpenGov

Customer Support (while logged in) using the real-time chat (blue bubble) located on the bottom right-hand corner of the screen, or via email at procurement-support@opengov.com.

After selection and execution of the contracts, all information and materials provided in each submittal received is subject to disclosure through a Public Records Request pursuant to the California Public

Records Act.

7. 7. ........................................... Proposal Submittal Format and Requirements

Submittals of Part I below are to be standard sized (8.5” x 11”) pages. Number each page. Brevity is encouraged; however, be sure to fully address each item listed below as part of your RFP submittal. To facilitate review by the Selection Committee, please submit information in accordance with the following format, identifying each item, in order, by the appropriate number.

7.1. 1. ........................................................................................ Technical Proposal There shall be no cost/fee information submitted in the Technical Proposal. Any cost/fee information submitted in Part I will be cause for disqualification.

7.1.1. 1.1. Cover Letter* A. Please provide a cover letter introducing your company on company letterhead including:

principal office address, address of office that will be providing the services, name, title, phone number, and email of proposal contact. This cover letter must be executed by an authorized signatory of the company.

B. Provide a brief narrative of the company, including company size, years of operation, areas of expertise, relevant Contractors State License Board numbers, and or certifications and any other relevant information.

*Response required

7.1.2. 1.2. Qualifications and Experience on Similar Projects* A. Provide Company Structure and History.

B. Provide a summary of the project to demonstrate a thorough understanding of the scope. Explain how will you will manage and guarantee all of the scope requirements set forth in this RFP.

C. Describe your experience in providing analysis for affordable housing projects and developments.

1. What programs you have worked under? including but not limited to the following programs:

Low Income Housing Tax Credit, Low Income Public Housing, and Project-Based Section 8.

2. What challenges did you face and how did you overcome them?

3. What have been your metrics for success?

D. Provide references for past similar projects along with contact information for those projects.

E. Provide a list of all key team members and brief resumes highlighting their previous experience on similar projects.

*Response required

7.1.3. 1.3. Project Schedule* Please provide your estimated schedule for this project including timeframes for the completion of each item in the Scope of Work.

*Response required

7.1.4. 1.4. Please provide a copy of your Appraiser Certification.* *Response required

8. 8. ........................................................................... Pricing Proposal

REPORT FEES

Please provide the price per report based on the HUD requirements for each type of report.

Line Item Description Quantity Unit of

Measure

Unit Cost Total

1 Appraisal report 1 Each

2 Market Study Report 1 Each

3 Rent Comparability Survey (RCS) 1 Each

TOTAL

9. 9. .............................................................. Selection Process Overview

The Agency’s evaluation of Contractors will be based upon those materials submitted in response to this request for proposals. To be considered in the selection process, each company must submit complete submittals and related materials. The evaluation process is a two stage process as indicated below:

Stage 1:

A Selection Committee will be established according to the Agency’s policy.

Submittals will be received and evaluated to determine if all items requested were submitted. Copies of each complete submittal will be provided to each member of the Selection Committee.

Stage 2:

The Selection Committee will review each submittal individually. It is anticipated that the Selection

Committee will rank the firms and make the final selection directly from the written submittals. Proposers must score 70% or higher for “Part I: Technical Proposal”to be considered responsive. Only responsive proposals will be evaluated for cost.

The Agency reserves the right to request additional information or clarifications from any or all firms before completing an evaluation of the qualifications. Additionally, if deemed necessary and at the sole discretion of the Selection Committee, oral interviews of two or more Contractors determined most qualified for the project will be scheduled at a later date and final selection made after interviews. Upon completion of this process the Contractor deemed most qualified for the project will be selected.

No. Evaluation Criteria Scoring Method Weight (Points)

1. Qualifications, History, and Experience of Company and Team Members

Experience should include providing analysis for affordable housing projects and developments, including but not limited to the following programs: Low Income

Housing Tax Credit, Low Income Public

Housing, and Project-Based Section 8.

Proof of certification provided.

Points Based 25 (25% of Total)

2. Past Successful Performance on Similar

Projects

Provided detail description of successful performance on similar projects including challenges that the firm experienced on similar projects, documents, reports, etc.

and how the firm was able to overcome them. Provided metrics for success, as well as contact information for references on these projects.

Points Based 15 (15% of Total)

3. Project Schedule

Provided estimated timeframes for the completion of the Rent Comparability

Surveys, Rent Reasonableness Studies, Market Studies, and Appraisals.

Points Based 25 (25% of Total)

4. Cost/Fee Proposal

Please provide a base cost for each item mentioned in the scope, and any escalation factors that would impact base pricing.

Reward Low Cost 35 (35% of Total)

10. 10. .................................................. Award Notice and Acceptance Period

Notice of Intent to Award the contract will be sent by email to all Contractors submitting a timely proposal.

If the apparent successful Contractor(s) fails to negotiate and deliver an executed contract the Agency may cancel the award and award the contract to the next highest ranked Contractor(s).

Should any Contractor wish to protest the final selection, they shall have five (5) business days from the date of the Notice of Intent of Award to submit a written protest to the Agency. The written protest shall be full and complete; specifying in detail the grounds of the protest and the facts supporting the protest or it will not be considered. Any Contractor who has a legitimate protest must claim to be eligible for award of the contract. Protest letters are to be sent to:

• Sacramento Housing and Redevelopment Agency

• Attn: Procurement & Contracts Manager

• 801 12th Street, 2nd Floor

• Sacramento, CA 95814

• Or by e-mail to: ps@shra.org

All protests shall be resolved in accordance with the Agency’s protest policy and procedures, copies of which are maintained at the Agency and available upon request.

11. 11. ....................................................................... Award of Contract

Following the selection of the most qualified Contractor, a contract will be negotiated and executed. If the

Agency is unable to negotiate a satisfactory agreement with the selected Contractor, it will undertake negotiations with the next ranked Contractor, and so on, until a satisfactory agreement is reached. A sample contract is provided under #Attachments. The prospective firms are advised to review the contract, all of the provisions and attachments to the contract before submitting their proposal.

The full execution of a written contract shall constitute the making of a contract for services and no contractor shall acquire any legal or equitable rights relative to the contract services until the contract has been fully executed by the successful Contractor and the Agency.

https://procurement.opengov.com/portal/shra/projects/159795/document?section=1454329

12. 12. ...................................................................... Mistake in Proposal

If after Proposal Closing Time but prior to a contract award, a proposer discovers a mistake in their proposal that renders the proposer unwilling to perform under any resulting contract, the proposer must immediately notify the Agency in writing and request to withdraw the proposal. The notice shall be addressed to the Contracting Officer, signed by a duly authorized officer of the proposer and delivered to the Proposal Submittal Address listed. It shall be solely within the Agency’s discretion as to whether withdrawal will be permitted.

13. 13. ........................................................... Error in Submitted Proposals

If an error is discovered in a vendor’s proposal, the Agency may at its sole option retain the proposal and allow the proposer to submit certain arithmetic corrections. the Agency may, at its sole option, allow the proposer to correct obvious clerical errors. In determining if a correction will be allowed, the Agency will consider the conformance of the proposal to the format and content required by the solicitation, the significance and magnitude of the correction, and any unusual complexity of the format and content required by the solicitation.

If the proposer’s intent is clearly established based on review of the complete proposal submitted, the

Agency may, at its sole option, allow the proposer to correct an error based on that established intent.

14. 14. ................................................ Agency’s Rights, Options, and Policies

A. The Agency reserves the right to decide that one firm is more responsive than the others and to select after review of the written submittals only.

B. The Agency reserves the right to reject any and all submissions, request additional information, amend the project schedule, or issue additional requirements throughout the selection process. It is the responsibility of the Contractor to verify that all necessary information is submitted by the due date.

C. The Agency reserves the right to modify any portion, postpone or cancel this RFP at any time, and/or reject any and all submissions without indicating any reason. No submission documents will be returned.

D. The Agency reserves the right to reject individual team members, firms, and request substitution without indicating any reason prior to contract award;

E. The Agency highly encourages participation by local qualified firms and Contractors in all aspects of contracting unless the project requires unusual or highly specialized services.

F. The Agency actively encourages participation of small, minority and women owned business enterprises in all aspects of contracting.

G. No compensation is offered for any work related to this selection process. Submissions are entirely voluntary. All original documents including electronic files become the property of the

Agency. If any submission is late or incomplete in any way, that Contractor will be eliminated from consideration.

H. Materials contained in each proposal will be considered proprietary until selection. Following selection, however, the contract scope of work may be amended by the Agency and negotiated based upon ideas provided by any source.

I. In accordance with federal and state laws, the Agency does not discriminate on the basis of race, color, national origin, gender, sexual orientation, religion, age, veteran's status or disability in the provision of services.

J. Procured Consultants / Contractors will not be considered Agency personnel and the Agency assumes proposal of certain personnel to be a statement of their availability to do the work.

K. The Agency reserves the right to select more than one respondent, to select a respondent(s) for specific purposes or for any combination of specific purposes, and to defer the selection of any respondent(s) to a time of the Agency’s choosing.

L. The Agency reserves the right to put a particular scope of work out to bid under a separate contract if it deems it advantageous to the Agency.

M. The Agency reserves the right to allow other Housing Authorities or governmental agencies to piggyback from this solicitation or any contract arising from this solicitation. It is the sole discretion of the Contractor to enter into accept such agreement with a third party agency.

N. The Agency reserves the right to re-open this solicitation to increase the response to satisfy the needs of the Agency.