WASHINGTON STATE HOUSING FINANCE COMMISSION

REQUEST FOR PROPOSALS

WSHFC RFP No. WSHFC 202606HOMS P a g e | 1

REQUEST FOR PROPOSALS (RFP)

RFP NO. 202606HOMS

NOTE: If you download this RFP from the Washington State Housing Finance Commission website, you are responsible for sending your name, address, e-mail address, and telephone number to the RFP Coordinator in order for your organization to receive any RFP amendments or bidder questions/Commission’s answers.

PROJECT TITLE: Single Family Master Servicer and Sub-Servicer

PROPOSAL DUE: Wednesday, August 26, 2026, at 2:00 PM, Pacific Time, Seattle, WA

ENTITY ELIGIBILITY: This procurement is open to those entities that satisfy the minimum qualifications stated herein and that are available for work in Washington State.

CONTENTS OF THE REQUEST FOR PROPOSALS:

1. Introduction

2. General Information for Contractors

3. Proposal Contents

4. Evaluation and Contract Award

5. RFP Exhibits

A. Certifications and Assurances B. Diverse Business Inclusion Plan C. Workers’ Rights Certification D. Service Contract with General Terms and Conditions

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Table of Contents Page

1. Introduction 3

1.1 Purpose and Background 3

1.2 Objectives and Scope of Work 5

1.3 Minimum Qualifications 7

1.4 Funding 8

1.5 Period of Performance 8

1.6 Contracting with Current or Former State Employees 8

1.7 Definitions 8

1.8 ADA 9

2. General Information for Contractors 9

2.1 RFP Coordinator 9

2.2 Pre-Bid Conference 9

2.3 Estimated Schedule of Procurement Activities 10

2.4 Submission of Proposals 10

2.5 Proprietary Information and Public Disclosure 11

2.6 Revisions to the RFP 12

2.7 Diverse Business Inclusion Plan 12

2.8 Acceptance Period 12

2.9 Complaint Process 12

2.10 Responsiveness 13

2.11 Most Favorable Terms 13

2.12 Contract General Terms & Conditions 13

2.13 Commission Support for the Contractor 14

2.14 Costs to Propose 14

2.14 No Obligation to Contract 14

2.15 Rejection of Proposals 14

2.16 Commitment of Funds 14

2.17 Electronic Payment 14

2.18 Insurance Coverage 15

3. Proposal Contents 15

3.1 Letter of Submittal 15

3.2 Proposal 16

3.3 Cost Proposal 17

3.4 References 17

3.5 OMWBE Certification 17

3.6 Diverse Business Inclusion Plan 17

3.7 Workers’ Rights Certification 17

4. Evaluation and Contract Award 18

4.1 Evaluation Procedure 18

4.2 Evaluation Criteria 18

4.3 Notification to Proposers 19

4.4 Debriefing of Unsuccessful Proposers 19

4.5 Protest Procedure 20

5. RFP Exhibits 21 Exhibit A – Certifications and Assurances Exhibit B – Diverse Business Inclusion Plan Exhibit C – Workers’ Rights Certification Exhibit D – Sample Contract

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1. INTRODUCTION

1.1. PURPOSE AND BACKGROUND

The Washington State Housing Finance Commission (the “Commission”) is requesting proposals from highly professional, cooperative and responsive entities to serve as both a master loan servicer and sub-servicer with a successful secondary market and efficient conduit operation enabling continued growth of the Commission’s Programs and increasing access to homeownership for low- to moderate-income families. The Commission reserves the right to determine how to divide its portfolio in the event we select multiple loan servicers. The Servicer(s) selected will be an active member of the finance team and a partner with the Commission and participating lenders to deliver creative and successful affordable housing products to meet the housing finance needs of the residents of Washington State.

BACKGROUND INFORMATION

In an effort to meet affordable housing needs across the state, the Commission has developed innovative lending programs, established strategic partnerships, and incorporated successful marketing programs to deliver targeted, goal-oriented homeownership assistance, including a statewide homebuyer education program. The Commission expects the selected servicer to purchase loans with no program overlays to Fannie Mae, Freddie Mac, and Ginnie Mae guidelines from a statewide network of participating lenders through delegated correspondent channels.

The Commission’s main lending programs are known as the Home Advantage Program (financed through the TBA market) and the House Key Program (financed through the bond market). These programs are targeted to assist low- and moderate-income homebuyers of Washington state to purchase homes. The Home Advantage and House Key Programs are designed to support home buyers through a variety of means, including providing downpayment assistance to homebuyers lacking significant financial resources.

The Commission is an approved seller servicer with Fannie Mae and Freddie Mac and anticipates obtaining Ginnie Mae approval in 2027. Until that approval is secured, the successful bidder(s) must be capable of serving as the master servicer for all Ginnie Mae loans. Once the Commission receives its approval, the vendor must be able to transition from master servicer to sub-servicer upon notification from the Commission and deliver all loans under the Commission’s seller servicer number. As a sub-servicer, the selected vendor(s) will be required to perform all duties identical to those of a master servicer including but not limited to purchasing, onboarding, pre-acquisition and post-acquisition, servicing quality control, collection of payments, the payment of tax and insurance escrows, and the management of delinquent loans, including loan modifications and foreclosures, and investor reporting while operating under the Commission’s oversight.

For the first three quarters of the fiscal year, our production is as follows:

Program Volume:

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The Commission anticipates steady volume for our upcoming fiscal year.

The Home Advantage Program is a market rate program priced daily by the Commission and is hedged by a third-party vendor. Homebuyers are not required to be first-time homebuyers. Loans are eligible for purchases only and cannot be used to refinance existing mortgages. Borrowers will meet Commission-specified income limits. Home Advantage loans are assumable on a case-by-case basis.

The Commission operates a House Key Program in accordance with IRS guidelines. To finance its lending activities, the Commission sells tax-exempt and taxable bonds and uses the proceeds to finance 30-year fixed rate mortgages to income eligible, first-time homebuyers purchased by the Servicer(s). From time to time, the Commission also sells mortgage-backed securities on the secondary market. Loans pooled for the House Key Bond Program must meet all requirements necessary for purchase into the Mortgage Revenue Bond program. House Key loans are assumable on a case-by-case basis.

The Commission also operates multiple downpayment assistance loan programs in which loans originate in conjunction with a Home Advantage or House Key first mortgage. They are typically payment deferred and due when the first mortgage is sold, refinanced, the homebuyer no longer occupies the property or in 30 years (whichever comes first). The Commission also operates one downpayment assistance program where under certain circumstances the second mortgage may be forgiven after 5 years with approval from the Commission. Downpayment assistance loans are not assumable and are serviced free of charge.

The selected servicer may serve as the Commission’s agent in either or both the Home Advantage Program and the House Key Program, depending on what role the Commission chooses for them pursuant to a Program Administration and Servicing Agreement (the “Agreement”). In either case, the selected servicer must also service any accompanying downpayment assistance loan for the Commission.

DUTIES AS A MASTER SERVICER AND SUB-SERVICER

Under the Home Advantage and House Key Programs, the Master Servicer(s)/Sub- Servicer(s) will purchase mortgage loans along with servicing rights from participating mortgage lenders throughout Washington state. The Master Servicer(s)/Sub-Servicer(s) will pool the mortgage loans and securitize them into applicable Ginnie Mae, Freddie Mac or Fannie Mae Certificates. For loans securitized as part of a bond issuance, the Trustee selected by the Commission, currently Wilmington Trust, National Association, acquires the Certificates from the Master Servicer(s)/Sub-Servicer(s) with bond proceeds and acts as a paying agent on behalf of the bondholders.

For the Home Advantage Program, the Master Servicer(s) /Sub-Servicer(s) will provide all the services necessary to acquire program loans, pool them into applicable Ginnie Mae, Freddie Mac or Fannie Mae Certificates and deliver them to the appropriate counterparty identified by the Commission. This will require the Master Servicer(s)/Sub-Servicer(s) to warehouse the mortgages from the time of purchase until certificate delivery. For loans securitized under the House Key Program (i.e., with the securities held in trust and financed by the sale of tax-exempt bonds), the Master Servicer(s)/Sub-Servicer(s) will be required to facilitate the purchase and certification of mortgage loans and the transfer of the resulting pools to the Trustee. (Note: The Master Servicer(s)/Sub-Servicer(s) may be or may apply to

WSHFC RFP No. WSHFC 202606HOMS P a g e | 5 be a Mortgage Lender under the House Key Program but may not act as Trustee.) In all cases, the Master Servicer(s)/Sub-Servicer(s) will also serve all functions traditionally performed by a loan servicer and must also service any accompanying downpayment assistance loan.

1.2. OBJECTIVES AND SCOPE OF WORK

General Activities

1. Work with the Commission to purchase loans on a daily basis and service loans under both the Home Advantage Program and the House Key Program from participating mortgage lenders throughout Washington state in accordance with Commission and IRS guidelines on a servicing-released basis. Create pools under Ginnie Mae, Fannie Mae, or Freddie Mac programs as soon as minimum pool sizes permitted by the above-named entities are reached, based on pooling instructions provided by the Commission or its designee. FHA-insured loans will be pooled under either the Ginnie Mae I or II programs.

Conventional loans will be originated under the HFA Preferred Program (for Fannie Mae) or the HFA Advantage Program (for Freddie Mac) using standard Fannie Mae and/or Freddie Mac guidelines, with private mortgage insurance from a Commission-approved insurance provider.

2. When loans are funded with bond proceeds, the Master Servicer(s)/Sub-Servicer(s) will work with Commission and Trustee on a delivery schedule to deliver Ginnie Mae, Fannie Mae Certificates and/or Freddie Mac PCs to the Trustee according to a schedule agreed upon, which includes a minimum of two purchase dates per month. If other means are used, the Master Servicer(s)/Sub-Servicer(s) will provide all services necessary to support the sale of loans and/or securities to investors. The Master Servicer(s)Sub- Servicer(s) are responsible for sections of bond issue documents and the Commission’s Acquisition and Operating Policy related to Program loan servicing.

3. Warehouse mortgage loans from purchase until pooling of mortgage loans without separate reimbursement for such cost.

4. Conduct a robust servicing and loan remediation program to meet investor, federal and Washington State requirements for loss mitigation, foreclosure, etc. Provide maximum available assistance to borrowers while protecting the Commission’s mortgage investment and loan portfolio, including handling all foreclosures of both first and second mortgages. The Commission expects that a servicer will seek to protect its second mortgage claims in the same manner as it would in a foreclosure of the first mortgage loan. Manage quality and effective borrower customer service. Efficiently process claims with investors and MI companies.

5. Provide monthly pre-acquisition, post-acquisition and servicing quality control findings, remediation and loan status.

6. Provide regular reports acceptable to the Commission on pipeline status, turn times, participating lender scorecards, and program performance including delinquency reports on Commission loans in an acceptable electronic or spreadsheet format.

7. Support the Commission’s Second Mortgage lending activities. Currently, the Second Mortgage Loan Program Addendum to the Agreement provides for the Master Servicer(s)/Sub-Servicer(s) to purchase second mortgages originated by participating

WSHFC RFP No. WSHFC 202606HOMS P a g e | 6 lenders in conjunction with Home Advantage or House Key Program for downpayment assistance. The Master Servicer(s)Sub-Servicer(s) submits for reimbursement for the second mortgages from the Commission. The Master Servicer(s)Sub-Servicer(s) services the second mortgages without charging a servicing fee, forwarding the monthly payments (if applicable) and payoffs to the Commission. The borrower receives a single, combined coupon for the first and second mortgages. A fee of $40.00 per loan is charged to the borrower and paid to the Commission for this service. In addition, the Master Servicer(s)/Sub-Servicer(s) will service deferred payment second mortgages.

Approximately 5,000 deferred payment Second Mortgage Loans are anticipated to be originated this year.

8. Maintain file 72-hour review and purchase turn times.

9. Keep the Commission informed of industry changes that will affect the Home Advantage and House Key Program operations.

10. Approve assumptions upon compliance with Home Advantage and House Key Program requirements.

11. Service loans, process foreclosures, remit monthly certificate payments, etc. according to industry standards and Commission requirements.

12. Work with the Commission to lower delinquency rates within the portfolio.

13. Work with the Commission to increase the number of Home Advantage and House Key Program Loans originated by Participating Lenders.

14. Work with the Commission to increase the number of Home Advantage and House Key

Program Loans originated by the retail side of your company, if applicable.

15. Render assistance to the Commission, Trustee, and Participating Lenders regarding technical questions and problems that might arise.

16. Meet with and guide the Commission on the feasibility of proposed new homeownership or rehabilitation programs.

17. Participate in Home Advantage and House Key Program Manual updates, training conference calls/webinars and attend lender meetings to explain compliance with loan purchase guidelines and procedures, as needed.

18. Take any other action deemed necessary or appropriate in order to facilitate the implementation of the Home Advantage and House Key Programs in accordance with the provisions of the Home Advantage and House Key Program documents.

19. Demonstrate strong Third-Party Originator performance management experience and consult with the Commission before terminating any approved, participating lender and obtain the Commission’s approval for termination based on mutually agreed upon guidelines.

20. No program overlays are allowed, except following consultation with, and approval by, the Commission in its sole discretion.

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1.3. MINIMUM QUALIFICATIONS

Only those interested bidders who meet the following minimum criteria are eligible to submit a proposal in response to this RFP:

1. The successful bidder(s) must be an approved and active issuer of Ginnie Mae and

Fannie Mae Mortgage Backed Securities (“MBS”) and Freddie Mac Participation Certificates (“PCs”) and in good standing.

2. The successful bidder(s) will be required to demonstrate that they have an adequate warehouse line dedicated to the purchase of Commission mortgage loans as well as loss mitigation activities at any one time.

3. The successful bidder(s) will be required to demonstrate that they review and purchase loans from participating lenders in a timely manner and regularly provide outstanding customer service.

4. The successful bidder(s) will be expected to assign and identify experienced staff within two weeks of bid acceptance to assist in development and negotiation of final terms.

5. The successful bidder(s) will be required to demonstrate to the satisfaction of the Commission that it can perform the duties of Master Servicer(s)/Sub-servicer(s) with staff who have sufficient authority, training, and experience to perform the duties in an efficient and effective manner.

6. The successful bidder(s) will be required to demonstrate that it has computerized loan tracking and reporting systems that meet the Commission’s requirements. Such systems must be compatible with the Commission’s current loan reservation and management system, as described below.

7. The successful bidder(s) will be able to demonstrate to the Commission that it has in place a program to identify and work with delinquent borrowers to consider and evaluate all necessary options to bring them current, reduce delinquencies and avoid foreclosure.

8. The successful bidder(s) will be able to demonstrate to the Commission that it has in place a quality control program to include pre-acquisition, post-acquisition, and servicing quality control to meet investor guidelines.

9. The successful bidder(s) will be able to demonstrate to the Commission that it has in place a vendor management program.

10. The successful bidder(s) will have prior experience administering a daily priced market-rate program.

11. The successful bidder(s) will have the ability to service community second mortgages with a variety of loan terms including shared appreciation.

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1.4. FUNDING

The amount of funding budgeted for the components of this proposal has not been finalized but the Commission is seeking the most cost-effective, justifiable pricing for the system and for ongoing support. Proposals should include a breakdown of estimated costs for each portion of the proposal.

Any contract awarded as a result of this procurement is contingent upon the availability of funding.

1.5. PERIOD OF PERFORMANCE

The period of performance of any contract resulting from this RFP is tentatively scheduled to begin in 2027.

The terms of the contract will be for two years with the option to cancel at any time and two options to extend for an additional two-year term.

1.6. CONTRACTING WITH CURRENT OR FORMER STATE EMPLOYEES

Specific ethics rules apply to contracting with current or former state or state agency employees, including Commission employees, pursuant to chapter 42.52 of the Revised Code of Washington. Proposers should familiarize themselves with the requirements prior to submitting a proposal that includes current or former state or state agency employees to ensure that the proposal complies with these requirements.

1.7. DEFINITIONS

Definitions for the purposes of this RFP include:

Apparent Successful Contractor: The contractor selected as the entity to perform the anticipated services, subject to completion of contract negotiations and execution of a written contract.

Contractor: Individual or company whose proposal has been accepted by Commission and is awarded a fully executed, written contract.

Commission: The Washington State Housing Finance Commission is the entity that is issuing this RFP.

Proposal: A formal offer submitted in response to this solicitation.

Proposer: Individual or company that submits a proposal in order to attain a contract with Commission.

Request for Proposals (RFP): Formal procurement document in which a service or need is identified but no specific method to achieve it has been chosen. The purpose of an RFP is to permit the community to suggest various approaches to meet the need at a given price.

Participating Lenders: mortgage lenders who originate and sell qualified loans to the Commission and are reviewed and approved by the Commission and Master Servicer(s)/Sub-Servicer(s) on an annual basis.

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1.8. ADA

Commission complies with the Americans with Disabilities Act (ADA). Contractors may contact the RFP Coordinator to receive this Request for Proposals in Braille or on tape.

2. GENERAL INFORMATION FOR CONTRACTORS

2.1. RFP COORDINATOR

The RFP Coordinator is the sole point of contact at the Commission for this procurement. All communication between the Contractor and Commission upon release of this RFP shall be with the RFP Coordinator, as follows:

Name Rich Zwicker

E-Mail Address rich.zwicker@wshfc.org

Phone Number 206-287-4480

Any other communication will be considered unofficial and non-binding on Commission.

Contractors are to rely on written statements issued by the RFP Coordinator.

Communication directed to parties other than the RFP Coordinator may result in disqualification of the Contractor.

2.2. PRE-BID CONFERENCE

The optional Pre-Bid Conference is being offered consistent with the Washington State Department of Enterprise Services Supplier Diversity Policy No. POL-DES-090-06. The purpose of the optional Pre-Bid Conference is to address questions, clear up ambiguities, respond to issues or concerns, and establish a common basis for understanding the solicitation requirements. Attendance is optional.

Answers to the questions raised during the pre-bid conference and any amendments made to the solicitation document will be posted to WEBS. Bidders should only rely on written amendments issued via WEBS.

The optional Pre-Bid Conference will take place on Tuesday July 28, at 10:00 am, Pacific Time and last for a maximum of one hour or such shorter time if the entire hour is not needed. Interested parties may join the optional Pre-Bid Conference via this Zoom link:

Join Zoom Meeting https://us02web.zoom.us/j/85223202115?pwd=bvBHV5BmCmSbKUcgOserygSrUkwaEj.1&from=addon

Meeting ID: 852 2320 2115 Passcode: 336718 One tap mobile +12532158782,,85223202115#,,,,*336718# US (Tacoma)

+12532050468,,85223202115#,,,,*336718# US

Join by SIP mailto:rich.zwicker@wshfc.org https://us02web.zoom.us/j/85223202115?pwd=bvBHV5BmCmSbKUcgOserygSrUkwaEj.1&from=addon

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• 85223202115@zoomcrc.com

Join instructions https://us02web.zoom.us/meetings/85223202115/invitations?signature=CHXCL8iHubkFBBguimbOoNjLNl3tmzyv _itp6svnoK0

2.3 ESTIMATED SCHEDULE OF PROCUREMENT ACTIVITIES

All times listed are prevailing Pacific Time.

Issue Request for Proposals July of 2026

Pre-Bid Conference Tuesday, July 28 2026 at 10:00 am Pacific Time

Deadline to Submit Questions for Q&A Thursday, July 30, 2026 2:00 pm Pacific Time

Answers to Q&A posted on website (no questions will be answered prior to this date)

Friday, August 7, 2026

Proposals due Wednesday, August 26, 2026 at 2:00 pm Pacific Time

Evaluate proposals Week of August 31, 2026

Conduct Interviews with finalists, if needed Week of September 7, 2026

Announce “Apparent Successful Contractor(s)” and send notification via e-mail to unsuccessful proposers

When an Apparent Successful Contractor is determined

Deadline to request debriefing conferences (if requested)

Third business day following the transmittal of the Unsuccessful Contractor Notification

Debriefing conference, if requested Within 3 business days of request

Negotiate contract September/October 2026

Begin contract work January 2027

Commission reserves the right to revise the above schedule.

2.4. SUBMISSION OF PROPOSALS

ELECTRONIC PROPOSALS:

The proposal must be received by the RFP Coordinator no later than 2:00 pm, Pacific Time, in Seattle, Washington, Wednesday, August 26, 2026.

Proposals must be submitted electronically as an attachment to an e-mail to the RFP Coordinator, at the e-mail address listed in Section 2.1. Attachments to e-mail shall be in mailto:85223202115@zoomcrc.com https://us02web.zoom.us/meetings/85223202115/invitations?signature=CHXCL8iHubkFBBguimbOoNjLNl3tmzyv_itp6svnoK0 https://us02web.zoom.us/meetings/85223202115/invitations?signature=CHXCL8iHubkFBBguimbOoNjLNl3tmzyv_itp6svnoK0

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Microsoft Word or PDF format. Zipped files cannot be received by Commission and cannot be used for submission of proposals. The cover submittal letter and the Certifications and Assurances form must have a scanned signature of the individual within the organization authorized to bind the Contractor to the offer. Commission does not assume responsibility for problems with Contractor’s e-mail. If Commission email is not working, appropriate allowances will be made.

PROPOSALS MAY NOT EXCEED 25 (TWENTY-FIVE) PAGES IN LENGTH. This 25-page limit includes cover letters, proposal, cost proposal, and references. It does not include required Exhibits and attachments. Submissions that exceed these limitations may not be considered.

Proposals may not be transmitted using facsimile transmission and physical hardcopy submission will not be accepted.

Contractors should allow sufficient time to ensure timely receipt of the proposal by the RFP Coordinator. Late proposals may not be accepted and could be automatically disqualified from further consideration, unless Commission e-mail is found to be at fault at Commission’s sole determination. Requests for deadline extensions will not be granted.

2.5. PROPRIETARY INFORMATION AND PUBLIC DISCLOSURE

Proposals submitted in response to this competitive procurement shall become the property of Commission and will not be returned. All proposals received shall remain confidential until the Apparent Successful Contractor is announced; thereafter, the proposals shall be deemed public records as defined in Chapter 42.56 of the Revised Code of Washington

(RCW).

Any information in the proposal that the Contractor desires to claim as proprietary and exempt from disclosure under the provisions of Chapter 42.56 RCW, or other state or federal law that provides for the nondisclosure of your document, must be clearly designated. The information must be clearly identified and the particular exemption from disclosure upon which the Contractor is making the claim must be cited. Each page containing the information claimed to be exempt from disclosure must be clearly identified by the words “Proprietary Information” printed on the lower right hand corner of the page. Marking the entire proposal exempt from disclosure or as Proprietary Information will not be honored.

If a public records request is made for the information that the Contractor has marked as "Proprietary Information," Commission will notify the Contractor of the request and of the date that the records will be released to the requester unless the Contractor, at Contractor’s sole expense, obtains a court order enjoining that disclosure. If the Contractor fails to obtain the court order enjoining disclosure, Commission will release the requested information on the date specified. If a Contractor obtains a court order from a court of competent jurisdiction enjoining disclosure pursuant to Chapter 42.56 RCW, or other state or federal law that provides for nondisclosure, Commission shall maintain the confidentiality of the Contractor's information per the court order.

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2.6. REVISIONS TO THE RFP

In the event it becomes necessary to revise any part of this RFP, addenda will be provided via e-mail to all individuals who have made the RFP Coordinator aware of their interest.

Addenda will also be published on Washington’s Electronic Bid System (WEBS). The website can be located at https://fortress.wa.gov/ga/webs/. For this purpose, the published questions and answers and any other pertinent information shall be provided as an addendum to the RFP and will be placed on the website. Such addenda will also be published on the Commission’s website, located at www.wshfc.org

If you downloaded this RFP from the Commission’s website located at www.wshfc.org, you are responsible for sending your name, e-mail address, and telephone number to the RFP Coordinator in order for your organization to receive any RFP addenda.

Commission also reserves the right to cancel or to reissue the RFP in whole or in part, prior to execution of a contract.

2.7. DIVERSE BUSINESS INCLUSION PLAN

The Commission is committed to increasing opportunities for small and diverse businesses that contract with the Commission. This contract may provide opportunities for businesses working with small and diverse businesses through an Inclusion Plan. Accordingly, Responders must submit an Inclusion Plan as part of their proposal in the form at Exhibit B.

Inclusion goals are aspirational. No preference is given for inclusion plans or goals in the evaluation of proposals. While no minimum level of OMWBE certified, Veteran Owned, or Washington Small Business participation will be required as a condition for receiving an award, the plan must include the actions the Contractor will take to increase subcontracting opportunities for those business types. The Commission currently considers Responders non-responsive if they fail to submit an inclusion plan.

2.8. ACCEPTANCE PERIOD

Proposals must provide 120 days for acceptance by Commission from the due date for receipt of proposals.

2.9. COMPLAINT PROCESS

Vendors may submit a complaint to Commission based on any of the following:

a) The solicitation unnecessarily restricts competition;

b) The solicitation evaluation or scoring process is unfair; or

c) The solicitation requirements are inadequate or insufficient to prepare a response.

A complaint may be submitted to Commission at any time up to 5 days before the bid response deadline as set forth in this RFP. The complaint must meet the following requirements:

a) The complaint must be in writing;

b) The complaint must be sent to the RFP coordinator in a timely manner;

c) The complaint should clearly articulate the basis for the complaint; and https://fortress.wa.gov/ga/webs/ http://www.wshfc.org/ http://www.wshfc.org/

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d) The complaint should include a proposed remedy.

The RFP coordinator will respond to the complaint in writing. The response to the complaint and any changes to the solicitation will be posted on WEBS. The Executive Director of Commission will be notified of all complaints and will be provided a copy of Commission’s response. The complaint may not be raised again during the protest period. Commission’s action or inaction in response to the complaint will be final. There will be no further internal appeal process.

2.10. RESPONSIVENESS

All proposals will be reviewed by the RFP Coordinator to determine compliance with administrative requirements and instructions specified in this RFP. The Contractor is specifically notified that failure to comply with any part of the RFP may result in rejection of the proposal as non-responsive.

Commission also reserves the right at its sole discretion to waive minor administrative irregularities.

2.11. MOST FAVORABLE TERMS

Commission reserves the right to make an award without further discussion of the proposal submitted. Therefore, the proposal should be submitted initially on the most favorable terms which the Contractor can propose. There will be no best and final offer procedure.

Commission reserves the right to contact a Contractor for clarification of its proposal.

2.12. CONTRACT GENERAL TERMS & CONDITIONS

The Apparent Successful Contractor will be expected to enter into a contract which is substantially the same as the sample contract and its general terms and conditions attached as Exhibit D. In no event is a Contractor to submit its own standard contract terms and conditions in response to this solicitation. The Contractor may submit exceptions as allowed in the Certifications and Assurances form, Exhibit A to this solicitation. All exceptions to the contract terms and conditions must be submitted as an attachment to Exhibit A, Certifications and Assurances form. The Commission will review requested exceptions and accept or reject the same at its sole discretion.

This RFP and the Apparent Successful Contractor’s proposal will be incorporated into the contract resulting from this RFP.

The Commission reserves the right to reject any or all proposals prior to the execution of the Agreement, with no penalty or cost to the Commission, and to negotiate final terms of the Agreement with the most qualified interested bidders(s). Additional terms include the following:

1. Mortgage loans may be originated in connection with multiple bond issues throughout the expected term of the Agreement, if applicable. These mortgage loans will be delivered in accordance with the Agreement.

2. The successful interested bidder(s) will be expected to negotiate appropriate master purchase and pooling agreements to meet the requirements expected in the Agreement.

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3. For loans funded using the proceeds of tax-exempt and taxable bonds, the Commission intends that the obligations of the Master Servicer(s)/Sub-Servicer(s) under its Agreement will continue until the bonds are fully paid, though such obligations will be primarily loan servicing (as described above) following the scheduled origination period.

4. For loans originated and either sold in whole-loan form or sold to investors such as

Ginnie Mae, Fannie Mae, or Freddie Mac MBS, the Master Servicer(s)/Sub-Servicer(s) will provide the services normally associated with such activities. The Master Servicer(s)/Sub-Servicer(s) will also adjust its activities and services to support changes in the loan origination and funding practices of the Commission.

2.13. COMMISSION SUPPORT FOR THE CONTRACTOR

1. Commission staff will provide access to the materials of the Commission and will assist in coordinating the work of the Servicer(s) with Commission staff, the Trustee, the Participating Lenders and other persons as required for implementation of the Agreement.

2. The Commission will provide a toll-free telephone line for individual borrowers and general public inquiries and will produce brochures for the general public.

2.14. COSTS TO PROPOSE

Commission will not be liable for any costs incurred by the Contractor in preparation of a proposal submitted in response to this RFP, travel to or conduct of a presentation, or any other activities related to responding to this RFP

2.15. NO OBLIGATION TO CONTRACT

This RFP does not obligate the Commission to contract for services specified herein.

2.16. REJECTION OF PROPOSALS

Commission reserves the right at its sole discretion to reject any and all proposals received without penalty and not to issue a contract as a result of this RFP.

2.17. COMMITMENT OF FUNDS

The Executive Director of the Commission or his delegee is the only individual who may legally commit Commission to the expenditures of funds for a contract resulting from this RFP. No cost chargeable to the proposed contract may be incurred before receipt of a fully executed contract.

2.18. ELECTRONIC PAYMENT

The Commission utilizes electronic payments in its transactions. The successful contractor will be provided a form to complete with the contract to authorize such payment method.

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2.19. INSURANCE COVERAGE

The Contractor shall, at its own expense, obtain and keep in force insurance coverage which shall be maintained in full force and effect during the term of the contract. Standard insurance requirements are included in Section 5 of the special terms and conditions within the sample contract attached as Exhibit D.

Within ten business days of notification of an award, the Apparent Successful Contractor will be required to furnish Commission with a certificate(s) of insurance executed by a duly authorized representative of each insurer, showing compliance with the insurance requirements set forth within the contract.

3. PROPOSAL CONTENTS

Proposals should be submitted for the items set forth in the Scope of Work above.

Proposals must be written in English and submitted electronically to the RFP Coordinator in the order noted below:

1. Letter of Submittal, including signed Certifications and Assurances (Exhibit A to this

RFP)

2. Proposal

3. Cost Proposal

4. References

5. OMWBE Certification

6. Diverse Business Inclusion Plan (Exhibit B to this RFP)

7. Workers’ Rights Certification (Exhibit C to this RFP)

Items below marked “mandatory” must be included as part of the proposal for the proposal to be considered responsive.

3.1. LETTER OF SUBMITTAL (MANDATORY)

The Letter of Submittal and the attached Certifications and Assurances form (Exhibit A to this RFP) must be signed and dated by a person authorized to legally bind the Contractor to a contractual relationship, e.g., the President or Executive Director if a corporation, the managing partner if a partnership, or the proprietor if a sole proprietorship. Along with introductory remarks, the Letter of Submittal is to include by attachment the following information about the Contractor and any proposed subcontractors:

A. Name, address, principal place of business, telephone number, and e-mail address of legal entity or individual with whom contract would be written.

B. Name, address, and telephone number of each principal officer (President, Vice President, Treasurer, Chairperson of the Board of Directors, etc.)

C. Legal status of the Contractor (sole proprietorship, partnership, corporation, etc.)

and the year the entity was organized to do business as the entity now substantially exists.

D. Federal Employer Tax Identification number or Social Security number and the Washington Uniform Business Identification (UBI) number issued by the state of

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Washington Department of Revenue. If the Contractor does not have a UBI number, the Contractor must state that it will become licensed in Washington within thirty (30) calendar days of being selected as the Apparent Successful Contractor.

3.2. PROPOSAL (MANDATORY)

The Proposal must contain a comprehensive description of services including the following elements:

A. Project Approach & Staffing: Include a complete description of the Contractor’s proposed approach for the project. This section should convey Contractor’s understanding of the Scope of Work. Identify staff, including subcontractors, who will be assigned to the contract, indicating the responsibilities and qualifications of such personnel, and include the amount of time each will be assigned to the project.

Provide resumes for the named staff, which include information on the individual’s particular skills related to this project, education, experience, significant accomplishments and any other pertinent information.

B. Work Plan: Include all project requirements and the proposed tasks, services, activities, etc. necessary to accomplish the Scope of Work defined in this RFP. This section of the proposal must contain sufficient detail to convey to members of the evaluation team the Contractor’s knowledge of the subjects and skills necessary to successfully complete the project. Include any required involvement of Commission staff.

C. Outsourcing: If outsourcing for services to Third-Party Vendors, provide a listing of such, provide a copy of its Third-Party Vendor Oversight Plan and describe its monitoring processes when outsourcing.

D. Project Schedule: Include a project schedule indicating when the elements of the work will be completed.

E. Exhibits to include (which will not count toward the 25 page limit):

• Policies and procedures related to internal controls and information security

(including cybersecurity protocols)

• Disaster recovery and business continuity plan

• Penetration testing results

• Vulnerability testing

• Network Diagram

• Data flow diagram, including third party/fourth party

• Audit reports (internal audit, external audit, SOC-type review, security reviews) or other examination reports evidencing internal controls

• List names of company principals company principals

• Most recent Audited Financial Statements

• Vendor Management Policy

• Quality Control Policy

• Evidence of sufficient insurance coverage (Fidelity, E & O, and Cyber Security)

• Current organizational chart

• Training plan or training requirements for employees and contractors

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3.3. COST PROPOSAL (MANDATORY)

The evaluation process is designed to award this procurement not necessarily to the Contractor of least cost, but rather to the Contractor whose proposal best meets the requirements of this RFP. However, Contractors are encouraged to submit proposals which are consistent with state government efforts to conserve state resources.

A. Identification of Costs. Identify all costs to be charged for performing the services necessary to accomplish the objectives of the contract, and if not applying for both Master Servicer and Sub-Servicer roles, please indicate the role. Break out costs separately for loans that are master serviced vs. sub-serviced. Break out costs separately for each scope being proposed. The Contractor is to submit a fully detailed budget including staff costs and any expenses necessary to accomplish the tasks and to produce the deliverables under the contract. Contractors are required to collect and pay Washington state sales and use taxes, as applicable.

Costs for subcontractors are to be broken out separately. Please note if any subcontractors are certified by the Office of Minority and Women’s Business Enterprises.

3.4. REFERENCES (MANDATORY)

List names, addresses, telephone numbers, and e-mail addresses of three (3) business references for the Contractor, preferably for contracts the Contractor has performed in the last five years, if any, and three (3) business references for the lead staff person for whom work has been accomplished and briefly describe the type of service provided. Do not include current Commission staff as references.

By submitting a proposal in response to this Work Request, the vendor and team members grant permission to Commission to contact these references and others, who from Commission’s perspective, may have pertinent information. Commission may or may not, at Commission’s discretion, contact references. Commission may evaluate references at Commission’s discretion.

3.5. OMWBE CERTIFICATION (OPTIONAL)

Include proof of certification issued by the Washington State Office of Minority and Women’s Business Enterprises (OMWBE) if certified minority-, women-, veteran-owned or small business firm(s) will be participating on this project. For more information please visit:

http://www.omwbe.wa.gov.

3.6. DIVERSE BUSINESS INCLUSION PLAN (MANDATORY)

As set forth in Exhibit B to this RFP.

3.7. WORKERS’ RIGHTS CERTIFICATION (MANDATORY)

As set forth in Exhibit C to this RFP.

http://www.omwbe.wa.gov/

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4. EVALUATION AND CONTRACT AWARD

4.1. EVALUATION PROCEDURE

Responsive proposals will be evaluated strictly in accordance with the requirements stated in this solicitation and any addenda issued. The evaluation of proposals shall be accomplished by an evaluation team(s), to be designated by Commission, which will determine which proposals will warrant further considerations.

Commission, at its sole discretion, may elect to invite the top-responding firms as finalists for a virtual presentation.

Commission, at its sole discretion, may award the contracts without an oral presentation.

The RFP Coordinator may contact the Contractor for clarification of any portion of the Contractor’s proposal.

4.2. EVALUATION CRITERIA

The Commission may award a contract to the interested bidder(s) whose proposal is most advantageous to the Commission and, in the Commission’s opinion, to the Participating Lenders and prospective homebuyers under the Commission’s homeownership programs.

The Commission reserves the right to award a contract to the interested bidder(s) who will best meet the requirements of this RFP, and not necessarily to the interested bidder(s) with the best priced bid. Principal considerations will be:

1. The amount of the bid, in the form of a percentage of outstanding principal amount of each loan. The bid should also include proposed charges for non-performing loans, including various stages of non-performance up to and including foreclosure.

2. Prior experience with wholesale, correspondent and retail mortgage loan origination, servicing and securitization (including experience with VA-guaranteed, FHA-insured, Native American section 184 insured loans and RHS-guaranteed mortgage loans, Ginnie Mae and Fannie Mae pools, and Freddie Mac PCs).

3. Evidence of prompt loan packaging and pooling of loans and the willingness to perform multiple pooling deliveries every month.

4. Evidence of prompt loan packaging and sale of certificates to bond trustee to meet bond issue requirements.

5. Evidence of prompt loan boarding to service loans after purchase from participating lenders.

6. Ability to warehouse mortgage loans.

7. Prior experience administering single-family programs including tax-exempt mortgage revenue housing bond and daily priced programs or similar state or municipal housing finance agency programs.

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8. The experience and background of staff assigned to the Commission and previous successful experience with programs offered by the Commission.

9. Financial soundness of the interested bidder(s).

10. Prior experience with creating underwriting documents, manuals, training materials and conducting training sessions.

11. Experience Master Servicing/Sub-servicing, managing and reporting delinquency, foreclosure, loss mitigation, loan modifications for re-pooling or portfolio, forbearance, real estate owned, and foreclosure activity, including investor and MI claims management.

12. Demonstrated strong quality control program documenting meaningful audits that meet investor requirements and identify loan origination strengths and weaknesses.

13. Ability to meet the Commission’s second mortgage servicing and reporting requirements.

14. The brevity, clarity and responsiveness of the proposal to the identified needs of the

Commission.

15. The acceptability and flexibility of the computer services and data sharing offered by the bidder(s). Currently, the Commission uses a proprietary Internet based integrated system from HOTB Software to track the mortgage loan process from loan intake (i.e., fund reservation) to loan purchase. Please contact Jason Connolly at HOTB Software at jconnolly@hotbsoftware.com if you need information about the system.

16. The ability to meet the electronic reporting requirements of the Commission in a timely and responsible manner.

The Commission will evaluate proposals using the evaluation factors listed above. The Commission may seek clarification from interested bidders and may conduct virtual interviews, discussions and negotiations with interested bidder(s) who submit proposals found to be reasonably likely to be selected for an award.

In addition to the items above, the Commission may give weight to proposals from firms which certify that they do not require their employees to sign an individual arbitration clause as a condition of employment (see Exhibit C).

Commission reserves the right to award the contract to the Contractor(s) whose proposal is deemed to be in the best interest of Commission and the state of Washington.

4.3. NOTIFICATION TO PROPOSERS

Commission will notify the Apparent Successful Contractor of their selection in writing upon completion of the evaluation process. Individuals or firms whose proposals were not selected for further negotiation or award will be notified separately by e-mail.

4.4. DEBRIEFING OF UNSUCCESSFUL PROPOSERS

Any Contractor who has submitted a proposal and been notified that they were not selected for contract award may request a debriefing. Debriefing requests must be received by the RFP Coordinator no later than 5:00 PM, local time, in Seattle, WSHFC RFP No. WSHFC 202606HOMS P a g e | 20

Washington, on the third business day following the transmittal of the Unsuccessful Contractor Notification. The debriefing may be scheduled within three (3) business days of the request.

Discussion at the debriefing conference will be limited to the following:

• Evaluation of the firm’s proposal;

• Critique of the proposal based on the evaluation;

Comparisons between proposals or evaluations of the other proposals will not be allowed. Debriefing conferences may be conducted at Commission’s discretion in person, virtually or on the telephone and will be scheduled for a maximum of one hour.

4.5. PROTEST PROCEDURE

Protests may be made only by Contractors who submitted a response to this solicitation document and who have participated in a debriefing conference. Upon completing the debriefing conference, the Contractor is allowed five (5) business days to file a protest of the acquisition with the RFP Coordinator. Protests must be received by the RFP Coordinator no later than 5:00 PM, local time, in Seattle, Washington on the fifth business day following the debriefing. Protests may be submitted by e-mail but must then be followed by the document with an original signature.

Contractors protesting this procurement shall follow the procedures described below.

Protests that do not follow these procedures shall not be considered. This protest procedure constitutes the sole administrative remedy available to Contractors under this procurement.

All protests must be in writing, addressed to the RFP Coordinator, and signed by the protesting party or an authorized Agent. The protest must state the RFP number, the grounds for the protest with specific facts and complete statements of the action(s) being protested. A description of the relief or corrective action being requested should also be included.

Only protests stipulating an issue of fact concerning the following subjects shall be considered:

• A matter of bias, discrimination, or conflict of interest on the part of an evaluator;

• Non-compliance with procedures described in the procurement document or

Commission policy.

Protests not based on procedural matters will not be considered. Protests will be rejected as without merit if they address issues such as: 1) an evaluator’s professional judgment on the quality of a proposal, or 2) Commission’s assessment of its own and/or…