KYAPPRAISALBPA2016.doc

REQUEST FOR QUOTATION (THIS IS NOT AN ORDER)

THIS RFQ X

IS

IS NOT A SMALL BUSINESS SET-ASIDE

PAGE OF

PAGES

1. REQUEST NO.

RFQ-16-0001

2. DATE ISSUED

9/15/15

AND/OR DMS REG. 1

RATING

5a. ISSUED BY

USDA Rural Development, 771 Corporate Drive, Ste. 200, Lexington, KY 40503

6. DELIVER BY (Date)

OTHER

FOB DESTINATION

(See Schedule)

AREA CODE

NUMBER

224-7302

9. DESTINATION

a. NAME OF CONSIGNEE

See Body of RFQ

8. TO:

10. PLEASE FURNISH QUOTATIONS TO THE ISSUING OFFICE IN BLOCK 5a ON OR BEFORE CLOSE OF BUSINESS (Date)

November 5, 2015 IMPORTANT: This is a request for information and quotations furnished are not offers. If you are unable to quote, please so indicate on this form and return it to the address in Block 5a. This request does not commit the Government to pay any costs incurred in the preparation of the submission of this quotation or to contract for supplies or service. Supplies are of domestic origin unless otherwise indicated by quoter. Any representations and/or certifications attached to this Request for Quotation must be completed by the quoter.

11. SCHEDULE (Include applicable Federal, State and local taxes)

ITEM NO.

(a)

SUPPLIES/ SERVICES

(b)

QUANTITY

(c)

UNIT

(d)

UNIT PRICE

(e)

AMOUNT

(f)

Provide Single Family Housing Appraisals for

USDA Rural Development - Kentucky in

Accordance with the terms of the RFQ. Insert your price quote on Attachment A-1 for Market

Value, A-2 for Market Value “As-Is” and

Liquidation Value. The due date/time for submission of quotations is 4:30pm local time (Lexington, KY) 11/5/15.

Mail response to:

Attn: Linda D. Wolfe, Purchasing Agent/CO

USDA Rural Development, Suite 200

Lexington, KY 40503

OR email linda.wolfe@ky.usda.gov

Please include the following when responding to the Request for Quotation:

1. Page 1 – Complete bottom section & sign

2. Attachment A – Pricing Schedule A1 & A2

3. Attachment C – Contractor Contact and

Registration Information Form

4. Copy of your current Kentucky Real Estate

Appraisers Board Certificate

5. Page 10 and 11 with initials

12. DISCOUNT FOR PROMPT PAYMENT

a. 10 CALENDAR DAYS (%) b. 20 CALENDAR DAYS (%) c. 30 CALENDAR DAYS (%)

d. CALENDAR DAYS NUMBER

PERCENTAGE

a. NAME OF QUOTER

c. COUNTY

AREA CODE

AUTHORIZED FOR LOCAL REPRODUCTION

SECTION 1--BLANKET PURCHASE AGREEMENT

DESCRIPTION OF AGREEMENT

Introduction and Overview USDA, Rural Development in Kentucky is seeking to retain an appraisal company (hereinafter the “contractor”) to determine the market value of single family housing residential properties to ensure the Agency obtains adequate security for its loans related to Section 502 (Single Family Housing) programs. On foreclosures we are requesting “as is” Market Value opinion and a Liquidation Value opinion.

The resulting acquisition vehicle will be a multiple award BPA. The contractor will provide all related services in connection with each assigned case to complete the appraisal services.

Notice of Total Small Business Set-Aside

This is a notice that this Blanket Purchase Agreement is a total set aside for small business concern under the North American Industrial Classification System code, 531320. Only quotes submitted by small business concerns will be accepted by the Government. Any quote that is submitted by a contractor that is not a small business concern will not be considered for award.

This agreement extends from the date of the Contracting Officer’s signature to the end of fiscal year 2016 (September 30, 2016), with five optional years through September 30, 2020. Options may be exercised in writing by the Contracting Officer. The BPA may be cancelled by either party in writing at any time. Any work accepted under this agreement is subject to prior funding approval.

EXTENT OF OBLIGATION: Rural Development (RD) is obligated only to the extent of authorized purchases made under the BPA. RD is not obligated to place orders. The contractor is not obligated to accept orders. The contractor is contractually obligated to provide the services under the terms of this agreement once an order has been accepted. The contractor may not be compensated for services performed outside the scope of the agreement.

PRICING: Pricing shall be at least as low as prices charged to the contractor’s most favored customer for comparable quantities under similar terms.

AUTHORIZED BPA CALL ORDER OFFICIALS: The titles of authorized RD BPA Order Officials are shown below:

Title RD Purchasing Agent/Contracting Officer Area Directors

Area Specialist

Area Technicians

PURCHASE LIMITATION: Any order exceeding the Ordering Official’s delegated authority, or not approved by the RD State Office is outside the scope of the agreement. Orders in excess of this amount shall not be honored or accepted by the Contractor. Failure to comply with this provision may result in termination of the BPA. Any order at or above the Micro-Purchase threshold ($3,000) is subject to competitive quotes, and must be approved by the Contracting Officer.

FEDERAL, STATE AND LOCAL TAXES: Unless specifically exempted, the prices quoted shall include Federal, State and local taxes.

COMMERCIAL WARRANTY: The services furnished shall be covered by the most favorable commercial warranty the contractor provides to the general public for such services.

QUALIFICATIONS AND LICENSING REQUIREMENTS: Contractors must be licensed, at the time of award and the duration of the BPA, to perform single family housing appraisals in the State of Kentucky as a General, Residential or Licensed appraiser as required by the Kentucky Real Estate Appraiser Examining Board.

The contractor represents by accepting the terms and conditions of the BPA that licensing/certification requirements necessary to perform the services are current and valid. A copy of any required license or certification is required to be provided to the State Office.

STANDARDS

a. The appraiser shall have the specialized knowledge and experience necessary to be competent to appraise single-family housing. If required, the contractor shall defend the appraisal in court or in Rural Development’s appeals process. Cost associated with the defense of the appraisal, when necessary, will be negotiated under a separate purchase order. The contractor shall provide all facilities, materials, supplies, tools, equipment, personnel, and travel to complete all requirements of this agreement including performance of the professional services listed herein for Rural Development.

b. The appraisal shall comply with the current edition of the Uniform Standards of Professional Appraisal Practice (USPAP) (available at: www.appraisalfoundation.org ) and Agency requirements as described in HB-1-3550, Chapter 5, and in 7 CFR 3550.62a.

c. The appraisal shall be a summary appraisal report completed using Fannie Mae Form 1004/Freddie Mac Form 70, “Uniform Residential Appraisal Report,” for all one-unit, single family dwellings or Fannie Mae Form 1004C/Freddie Mac Form 70B, “Manufactured Home Appraisal Report,” for all manufactured homes in accordance with USPAP Standards Rule 1 & 2-2(b) and Rural Development Instruction HB-1-3550, Chapter 5.

USDA Rural Development Single Family Housing Section 502 Guaranteed and Direct Loan Programs adopted the new Fannie Mae and Freddie Mac Uniform Appraisal Dataset (UAD) as of January 1, 2012. This requirement is mandatory for all appraisals.

d. The Contractor will make a complete property inspection to gather data, unless the appraisal is for foreclosure purposes, in which case, an external inspection only is permitted, with the assumption made that the interior is in similar condition as the exterior. In the event an assignment is limited to an exterior-only inspection, Fannie Mae Form 2055 “Exterior-Only Inspection Residential Appraisal Report” shall be used.

GENERAL AND SPECIAL PROVISIONS:

The following general and special provisions are applicable to this Blanket Purchase Agreement (BPA) from date of issuance or amendment to the cited expiration date. The Federal Acquisition Regulation (FAR) and Agricultural Acquisition Regulations (AGAR) clauses and USDA, Rural Development Regulations, are applicable to this BPA and will be cited on the individual purchase orders issued against this BPA.

REQUIRED REGISTRATION: Contractors/individuals providing appraisal services to USDA RD must have an active registration in the System for Award Management (SAM). Information and registration requirements for SAM can be found at www.sam.gov. If assistance is needed in the registration process, please contact the help desk on the website for assistance.

1. PRICE SCHEDULE AND CERTIFICATIONS: All BPA pricing shall be as low as or lower than pricing offered to the most favored customer for comparable services under similar terms and conditions, in addition to any trade or prompt payment discounts offered.

2. APPRAISAL SERVICES PRICING SCHEDULE: Please complete appraisal prices (per appraisal) for the counties for which you are interested in providing services to on Attachment A-1 and A-2 Pricing Schedule.

3. DELIVERY OF SERVICES: Individual task or purchase orders will be placed on a rotational basis with all BPA holders for the specific County. Refer to Attachment B (BPA Call Order/Delivery Ticket). The completed appraisal (as indicated on Attachment B) shall be delivered to the Rural Development Ordering Official within 10 calendar days of issuance of the Call Order request.

4. INSPECTION AND ACCEPTANCE: Deliverables will be reviewed for compliance within 7 to 14 days of receipt of the completed product. Payment will be made only after the appraisal has been reviewed by USDA RD and determined that the appraisal has been completed in accordance with the requirements of this Agreement and RD Instruction 1922-A.

5. INVOICES AND PAYMENT: The contractor shall submit an original, itemized, signed invoice MONTHLY to the Ordering Official for all deliveries made during the month, and for which payment has not been previously requested.

Invoices shall substantially be in the format shown on Attachment D (Single Family Housing – Blanket Purchase Agreement Monthly Summary Invoice).

It is the contractor’s responsibility to verify that the Ordering Official has accepted services prior to invoicing. Incorrect invoices will be returned to the contractor. Inquiries relating to payment may be directed to the issuing office first and if not resolved contact Linda Wolfe, Contracting Officer, 859-224-7302, linda.wolfe@ky.usda.gov.

6. AUTHORIZED GOVERNMENT REPRESENTATIVE: The Rural Development Staff Appraisers will serve as the Authorized Government Representative (AGR), will act as the Contracting Officer’s representative for technical matters, providing technical direction and discussion as necessary with respect to the specification or statement of work, and monitoring the progress and quality of contractor performance. The AGR is not an Administrative Contracting Officer, and therefore does not have the authority to take any action, either directly or indirectly, that would change the pricing, quantity, quality, place of performance, delivery schedule, or any other terms and conditions of the contract. Nor does the AGR have the authority to direct the accomplishment of any effort which goes beyond the scope of the Statement of Work in the Contract.

When, in the opinion of the Contractor, the AGR requests effort outside the existing scope of the contract, the Contractor shall promptly notify the Contracting Officer in writing. The Contractor shall take no action under such direction until the Contracting Officer has issued a modification to the contract or has otherwise resolved the issue. Kentucky Rural Development Staff Appraisers:

Donna Herald

Michelle Garrett

667 Tech Drive, Suite B

975 Lovers Lane Winchester, KY 40391

Bowling Green, KJY 42103

(859) 494-6389 cell

(270) 842-1146 donna.herald@ky.usda.gov michelle.garrett@ky.usda.gov

7. BPA TERMINATION: The BPA may be terminated under any of the following circumstances:

a. By either party with 30 days written notice.

i. In the event of termination, delivery or performance of outstanding orders may continue for a period of 30 days, after which time any remaining items will be considered cancelled.

b. When the Contractor fails to abide by the terms and conditions of the BPA, including, but not limited to:

i. Accepts order but routinely fails to deliver on time.

ii. Fails to offer RD most favored customer pricing;

c. When the Contractor consistently provides poor service.

d. If the Contractor files fraudulent claims.

e. If the Contractor demonstrates improper business practices or personal conflicts of interest.

f. If the Contractor offers kickbacks or favors to Government employees in exchange for business.

8. ADDITIONAL REQUIREMENTS

a. Hazardous Waste or Contamination: If the Contractor observes any potential contamination from hazardous substances, hazardous wastes, or petroleum products, or obtains other information about such contamination or any other environmental issues on or near the property, the Contractor is to notify the Ordering Official before proceeding and request instructions.

b. Government Furnished Property: The Government will provide the following to the Contractor, if available:

i. Option or sales agreement, with legal description

ii. Direction Map

iii. Certified plans & specifications, and repair estimates, if applicable

iv. List of repairs necessary to ensure the property meets the Agency’s lending requirements

v. Existing Surveys

vi. Copy of existing title

vii. Tax bills or assessments

viii. Rural Development Instructions/Regulations will be made available for review at the local office during business hours. A copy of Rural Development Handbook, HB-1-3550 is available at the Rural Development website (http://www.rurdev.usda.gov/Handbooks.html).

ix. Flood Certification

The appraisals shall be completed giving due consideration for the following:

1. Location of Property: Adhere to legal descriptions and surveys for proper location of site to avoid errors such as infringement, encroaching, etc. when appraising a property. Property identification will not only include the legal description and address, but will include general location, city or county maps as well as subdivision sectionals to identify lot and block of subject property.

2. Use at least three (3) comparable sales of single family residential properties less than one (1) year old. Market conditions must be properly documented for sales exceeding twelve (12) months. In selecting comparables for developing opinion of Site Value under Cost Approach Method that involves developed land being sold by Self-Help Grantees, contractor to ensure comparables are selected from the market area and provide a discussion concerning parameters of selected comparable properties used in developing opinion.

3. Property Improvements: In the event Rural Development provides to the Appraiser a list of repairs required to improve the property, a contributory value of the improvement shall be shown by each item listed. On recapture appraisals, a contributory value of the improvements shall be shown by each item of capital improvements completed by the borrower.

4. Depreciation: The appraiser will select the method of depreciation and provide documentation on Page 3 of the URAR in the Cost Approach section. Short and Long-lived physical depreciation is not a requirement but should be considered in properties with effective age over five (5) years.

5. Approaches to Property Value: The sales comparison analysis, cost approach, and the income approach (for non-program property only) shall be used by the Contractor in reconciling the final estimate of value of the property. The sales approach is required on all appraisals and the cost approach is required for all properties with an actual age of 50 years or less. In remote rural areas, on tribal lands, or areas with a lack of market activity, the sales approach is not required. (It should be developed but not relied upon for final market value). Instead, Form 1007, Marshall and Swift Square Foot Appraisal Form, must be used.

6. Documentation and Supporting Data: Documentation supporting the development of the appraisal shall be submitted with the completed appraisal. As a minimum the supporting documentation shall include the following:

a. Clear and concise comments should be made where required and attached to each report to support each of the approaches to market value. All adjustments must be properly supported in an addendum. Adjustments must be properly supported in an addendum for any single adjustment which exceeds 10% of the sales price of the comparable, or where net adjustments exceed 15%, or when gross adjustments exceed 25% of the sales price of the comparable.

b. All extraordinary assumptions, hypothetical conditions, and limiting conditions must be clearly and prominently described in a single location near the beginning of the report and in appropriate sections of the appraisal. Extraordinary assumptions and hypothetical conditions also must be discussed with and agreed to by Rural Development prior to completion of the report. General assumptions and limiting conditions that reduce the normal scope of appraisal due diligence are not allowed. If there are no assumptions, appraiser must also state that in the report.

c. All appraisals must include additional statements of scope of work and highest & best use in the report.

d. All appraisals will include maps and colored photographs of subject and comparables. Photographs, in all cases, are required of the subject property including views of front, rear, side, kitchen, living room, bathrooms, bedrooms and a street scene. A front photograph of each comparable sale used in the completion of the appraisal taken by the appraiser is required. Photographs shall be high quality, high-resolution digital (JPEG) images. High quality is defined as images where details are in sharp focus and are properly exposed (details easily seen in highlights and shadows)

e. Appraiser shall provide copies of any available plats.

f. Appraiser shall provide a copy of plans & specifications with the appraisal for new construction loans.

g. An appraiser drawn sketch is required of the improvements, including an area calculation summary and all exterior dimensions of the house to include patios, porches, garages, breezeways and other offsets.

h. A street map delineating the neighborhood evaluated to fulfill the requirements of the neighborhood sections of the URAR must be provided showing locations of the subject and comparables.

i. Appraiser shall provide copies of Multiple Listing Service (MLS) Card and/or Assessor’s Parcel Cards on the subject and comparables.

7. Types of Value: The Task Description identifies the type of value required – “as-improved”, “as-is”, or “as is/as-improved.”

a. “As-Improved” (also known as “as built”) – Loans for planned new construction or rehabilitation require an estimate of the as-improved value. An as-improved value is based on construction plans and specifications that enable the appraiser to estimate the value of the property after development. Plans & specifications will be included with appraisal.

b. “As-Is” – Loans for existing dwellings (including a new construction dwelling that has been complete at the time of appraisal) requiring no repairs, to support servicing actions, or to determine a disposition plan for REO properties.

c. “As-Is” and “As-Improved” – When repairs to an existing dwelling or REO property are planned, the appraisal should provide both as-is and as-improved value estimates. USDA Rural Development will provide copies or provide access to required construction plans or repair list(s) as required. Repairs shall be reflected in the appraisal process as follows:

1. State the contributory value of the repairs.

2. On Payoff Appraisals, a list of Capital Improvements made by the borrower will be included with the appraisal order. Capital Improvements need to be itemized and market value of each improvement is to be listed in appraisal. Values shall be supported by market evidence.

3. In the event the appraiser observes a deficiency in the property that does not meet minimum requirements for safety or sanitary standards, the appraiser will notify the Authorized Government Representative for a determination of inclusion in the appraisal.

8. Regardless of the intended use of the appraisal, all appraisals for Rural Development will provide Market Value based on the following Market Value definition used by agencies that regulate federally insured financial institutions in the United States:

The most probable price which a property should bring in a competitive and open market under all conditions requisite to a fair sale, the buyer and seller each acting prudently and knowledgeably and assuming the price is not affected by undue stimulus. Implicit in this definition are the consummation of a sale as of a specified date and the passing of title from seller to buyer under conditions, whereby:

· Buyer and seller are typically motivated;

· Both parties are well informed or well advised, and acting in what they consider their best interests;

· A reasonable time is allowed for exposure in the open market;

· Payment is made in terms of cash in U.S. dollars or in terms of financial arrangements comparable thereto; and

· The price represents the normal consideration for the property sold unaffected by special or creative financing or sales concessions granted by anyone associated with the sale.

The Dictionary of Real Estate Appraisal, Fifth Edition, Appraisal Institute, © 2010.

9. Observed Conditions: The contractor is required to make a property inspection to gather data to support the determination of value. Readily observable conditions shall be noted.

a. For a proposed dwelling to be constructed, the contractor will only inspect the site for the initial appraisals. No follow-up inspection is required unless otherwise noted elsewhere in this Statement of Work. Readily observable conditions will be noted for on and off site hazards, soil contamination, grading, drainage, and access roads.

b. When applicable for existing dwellings, the contractor will inspect the interior of the building in addition to the site. Readily observable conditions will be noted for the following: attic space, crawl space, floors, and walls for significant structural failure, moisture damage, or evidence of past fire damage; the roof condition for remaining life; the mechanical systems for operability; and the walls and trim for defective paint surfaces.

c. For uninhabited dwellings where utilities are temporarily disconnected, the contractor will inspect mechanical systems (heating, plumbing, electrical) for observable conditions, but will not be responsible for reporting operability of these systems. Unless otherwise notified, the appraiser may assume operability for valuation purposes.

10. Appraisal Methodology:

a. Sales Comparison Approach: Under this method, the appraiser uses the recent sales prices of properties that are comparable in location and characteristics to the security property in order to estimate a market value for the property. The “Sales or Financing” field is to be completed. If the MLS data is not available, the appraiser must view the mortgages filed with the Circuit Clerk (CC). Although the mortgage at the CC does not specify the type financing, RD mortgages are defined. If a bank/financial institution mortgage is found, the appraiser may state “conventional (CONV)” and add to the addenda that the mortgage does not define the type of financing (FHA, VA, etc.). If no mortgage is found and the appraiser cannot verify the financing, if any, then the sale cannot be used as the main three comparables. It may, however, be used as a backup sale (comparables 4, 5, or 6) and be well documented that the sale is unconfirmed. The word “unknown” cannot be used in the “Sales or Financing” field per UAD.

b. Cost Approach: This method is required for all properties with an actual age of 50 years or less. Under this method, the appraiser derives an estimate of value using replacement cost estimates for the improvements, less depreciation and an estimate of the site value. The appraiser will identify the source of cost estimates such as Marshall and Swift used in the cost. The methodology used to estimate depreciation must be stated in the report.

The remaining economic life must be stated for all properties.

The land value must be stated for all properties.

c. Income Approach: Under this method, the appraiser derives a value indication for an income-producing property by converting its anticipated benefits (cash flows and reversion) into property value. This conversion can be accomplished in two ways. One year’s income expectancy can be capitalized at a market-derived capitalization rate or at a capitalization rate that reflects a specified income pattern, return on investment, and change in the value of the investment. Alternatively, the annual cash flows for the holding period and the reversion can be discounted at a specified yield rate. This method may only be used for Agency Non-Program Real Estate Owned Properties.

Liquidated Value Option:

Contractor shall provide an “as is” Market Value opinion and a Liquidation Value opinion for all foreclosure assignments. Contractor will use the definition of Market Value as defined by Fannie Mae. The definition of Liquidation Value will be as follows:

The most probable price that a specified interest in real property should bring under the following conditions:

1. Consummation of a sale within a short time period.

2. The property is subjected to market conditions prevailing as of the date of valuation.

3. Both the buyer and seller are acting prudently and knowledgeably.

4. The seller is under extreme compulsion to sell.

5. The buyer is typically motivated.

6. Both parties reacting in what they consider to be their best interests.

7. A normal marketing effort is not possible due to the brief exposure time.

8. Payment will be made in cash in U.S. dollars or in terms of financial arrangements comparable thereof.

9. The price represents the normal consideration for the property sold, unaffected by special or creative financing or sales concessions granted by anyone associated with the sale.

Liquidation Value is based on the client imposed exposure period of no more than 30-60 days. If multiple types of value are requested, the appraiser must summarize their analysis for each type of value developed to comply with USPAP. Stating a value opinion without a summarization of the analysis will not be accepted.

SECTION 2--SOLICITATION PROVISIONS AND CONTRACT CLAUSES

1. AGAR 452.204-70 INQUIRIES (FEB 1988) Inquiries and all correspondence concerning this solicitation should be submitted in writing to the Contracting Officer. Offerors should contact only the Contracting Officer issuing the solicitation about any aspect of this requirement prior to contract award.

CONTRACTOR SHALL READ AND/OR COMPLETE THE NEXT 3 PROVISIONS AS PART OF THE SOLICITATION. Please initial each, and complete the applicable check boxes.

2. _____ AGAR 452.209–70 REPRESENTATION BY CORPORATIONS REGARDING AN UNPAID DELINQUENT TAX LIABILITY OR A FELONY CONVICTION (DEVIATION 2012-01) (FEB 2012)

a. Awards made under this solicitation are subject to the provisions contained in the Agriculture, Rural Development, Food and Drug Administration, and Related Agencies Appropriations Act, 2012 (P.L. No. 112-55), Division A, Sections 738 and 739 regarding corporate felony convictions and corporate federal tax delinquencies. To comply with these provisions, all offerors must complete paragraph (1) of this representation, and all corporate offerors also must complete paragraphs (2) and (3) of this representation.

b. The Offeror represents that –

i. The Offeror is [ ], is not [ ] (check one) an entity that has filed articles of incorporation in one of the fifty states, the District of Columbia, or the various territories of the United States including American Samoa, Federated States of Micronesia, Guam, Midway Islands, Northern Mariana Islands, Puerto Rico, Republic of Palau, Republic of the Marshall Islands, U.S. Virgin Islands. (Note that this includes both for-profit and non-profit organizations.)

If the Offeror checked “is” above, the Offeror must complete paragraphs (2) and (3) of the representation. If Offeror checked “is not” above, Offeror may leave the remainder of the representation blank.

ii. The Offeror has [ ], has not [ ] (check one) been convicted of a felony criminal violation under Federal or State law in the 24 months preceding the date of offer.

iii. The Offeror has [ ], has not [ ] (check one) had any officer or agent of Offeror convicted of a felony criminal violation for actions taken on behalf of Offeror under Federal or State law in the 24 months preceding the date of offer.

iv. The Offeror The Offeror does [ ], does not [ ] (check one) have any unpaid Federal tax liability that has been assessed, for which all judicial and administrative remedies have been exhausted or have lapsed, and that is not being paid in a timely manner pursuant to an agreement with the authority responsible for collecting the tax liability. (End of provision)

3. _____ AGAR 452.209 – 71 ASSURANCE REGARDING FELONY CONVICTION OR TAX DELINQUENT STATUS FOR CORPORATE APPLICANTS

a. This award is subject to the provisions contained in the Agriculture, Rural Development, Food and Drug Administration, and Related Agencies Appropriations Act, 2012, P.L. No. 112-55, Division A, Sections 738 and 739 regarding corporate felony convictions and corporate federal tax delinquencies. Accordingly, by accepting this award the contractor acknowledges that it –

i. does not have a tax delinquency, meaning that it is not subject to any unpaid Federal tax liability that has been assessed, for which all judicial and administrative remedies have been exhausted or have lapsed, and that is not being paid in a timely manner pursuant to an agreement with the authority responsible for collecting the tax liability, and

ii. has not been convicted (or had an officer or agent acting on its behalf convicted) of a felony criminal violation under any Federal or State law within 24 months preceding the award, unless a suspending and debarring official of the United States Department of Agriculture has considered suspension or debarment of the awardee, or such officer or agent, based on these convictions and/or tax delinquencies and determined that suspension or debarment is not necessary to protect the interests of the Government.

b If the awardee fails to comply with these provisions, USDA Rural Development may terminate this contract for default and may recover any funds the awardee has received in violation of sections 738 or 739. (End of Clause)

4. _____ AGAR 452.219-70 SIZE STANDARD AND NAICS CODE INFORMATION (SEP 2001) Work under this agreement is set aside for small business, as defined by the Small Business Administration, (SBA). The North American Industrial Classification System (NAICS) Code for the products and/or services to be acquired and business size standard are:

NAICS CODES AND SBA SIZE STANDARDS

5. FAR 52.252-1 SOLICITATION PROVISIONS INCORPORATED BY REFERENCE (FEB 1998) This solicitation incorporates one or more solicitation provisions by reference, with the same force and effect as if they were given in full text. Upon request, the Contracting Officer will make their full text available. The offeror is cautioned that the listed provisions may include blocks that must be completed by the offeror and submitted with its quotation or offer. In lieu of submitting the full text of those provisions, the offeror may identify the provision by paragraph identifier and provide the appropriate information with its quotation or offer. Also, the full text of a solicitation provision may be accessed electronically at http://farsite.hill.af.mil/

6. FAR 52.252-2 CLAUSES INCORPORATED BY REFERENCE (FEB 1998) This contract incorporates one or more clauses by reference, with the same force and effect as if they were given in full text. Upon request, the Contracting Officer will make their full text available. Also, the full text of a clause may be accessed electronically at http://farsite.hill.af.mil/

GENERAL - THE FOLLOWING CLAUSES APPLY TO ALL PURCHASE ORDERS:

52.203-3 Gratuities (APR 1984)

52.219-6 Notice of Total Small Business Set Aside (NOV 2011)

52.242-17 Government Delay of Work (APR 1984)

ADDITIONAL CLAUSES THAT APPLY WHEN APPLICABLE:

52.232-18 Availability of Funds (APR 1984) (Applicable if involved in the text of the order for orders issued before new fiscal year funds become available.)

52.232-19 Availability of Funds for the Next Fiscal Year beyond 9/30/16.

ADDITIONAL CLAUSES APPLICABLE TO CONTRACTS WITH INDIVIDUALS

52.223-6 Drug-Free Workplace (MAY 2001)

SERVICES - ADDITIONAL CLAUSES APPLICABLE TO PURCHASE OF SERVICES:

52.236-2 Differing Site Conditions (APR 1984)

52.236-3 Site Investigation and Conditions Affecting the Work (APR 1984)

52.236-7 Permits and Responsibilities (NOV 1991)

52.236-8 Other Contracts (APR 1984)

52.236-13 Accident Prevention (NOV 1991)

52.237-2 Protection of Government Buildings, Equipment and Vegetation (APR 1984)

52.237-3 Continuity of Services (JAN 1991)

52.242-14 Suspension of Work (APR 1984)

52.243-1 Changes - Fixed Price - Alternate I (APR 1984)

52.249-4 Termination for Convenience of the Government (Services)(Short Form) (APR 1984)

7. FAR 52.212-1 INSTRUCTIONS TO OFFERORS -- COMMERCIAL ITEMS (Apr 2014)

a. The NAICS code and small business size standard for this acquisition: See paragraph above.

b. (7) REMIT TO address: See the “Invoices and Payment” section of the BPA document.

(8) Update the representations and certifications in SAM (https://www.sam.gov). Please provide a list of any items that are of issue.

(10) Past performance information: Recent, relevant contracts or previous work with USDA will be the basis of past performance information. For new agreements, references may be used.

(d) Product samples. Not Applicable

(e) Multiple offers. Not Applicable

(f) Late Submissions: Time of receipt for solicitations is 4:30 p.m. Central Time

(j) Data Universal Numbering System (DUNS) Number. The solicitation and agreement require the Contractor to maintain current registration in the SAM database.

8. FAR 52.212-2 EVALUATION -- COMMERCIAL ITEMS (Oct 2014) The Government will award a contract resulting from this solicitation to the responsible offeror whose offer conforming to the solicitation will be most advantageous to the Government, price and other factors considered. The following factors shall be used to evaluate offers: Technical capability, past performance and price. All evaluation factors other than price/cost, when combined, are approximately equal to price/cost. (FAR 15.304).

9. FAR 52.212-3 OFFEROR REPRESENTATIONS AND CERTIFICATIONS -- COMMERCIAL ITEMS (Dec 2014) An offeror shall complete only paragraphs (b) of this provision if the offeror has completed the annual representations and certificates electronically via http://www.acquisition.gov . If an offeror has not completed the annual representations and certifications electronically at the System for Award Management (SAM) website, the offeror shall complete only paragraphs (c) through (o) of this provision.

10. FAR 52.212-4 CONTRACT TERMS AND CONDITIONS -- COMMERCIAL ITEMS (Dec 2014)

(f) Excusable delays. Notification by email or in writing is acceptable.

(g) Invoice. Submission by email is authorized and preferred.

(j) Transportation is F.O.B. Destination.

11. FAR 52.212-5 Contract Terms and Conditions Required to Implement Statutes or Executive Orders—Commercial Items (Dec 2014)

(a) The Contractor shall comply with the following Federal Acquisition Regulation (FAR) clauses, which are incorporated in this contract by reference, to implement provisions of law or Executive orders applicable to acquisitions of commercial items:

(1) 52.209-10, Prohibition on Contracting with Inverted Domestic Corporations (Dec 2014)

(2) 52.222-50, Combating Trafficking in Persons (Feb 2009) (22 U.S.C. 7104(g)).

_√_Alternate I (Aug 2007) of 52.222-50 (22 U.S.C. 7104(g)).

(3) 52.233-3, Protest After Award (Aug 1996) (31 U.S.C. 3553).

(4) 52.233-4, Applicable Law for Breach of Contract Claim (Oct 2004)"(Public Laws 108-77 and 108-78 (19 U.S.C. 3805 note)).

(b) The Contractor shall comply with the FAR clauses in this paragraph (b) that the Contracting Officer has indicated as being incorporated in this contract by reference to implement provisions of law or Executive orders applicable to acquisitions of commercial items:

[Contracting Officer check as appropriate.]

_√ (1) 52.203-6, Restrictions on Subcontractor Sales to the Government (Sept 2006), with Alternate I (Oct 1995) (41 U.S.C. 4704 and 10 U.S.C. 2402).

__ (2) 52.203-13, Contractor Code of Business Ethics and Conduct (Apr 2010) (41 U.S.C. 3509)).

__ (3) 52.203-15, Whistleblower Protections under the American Recovery and Reinvestment Act of 2009 (June 2010) (Section 1553 of Pub. L. 111-5). (Applies to contracts funded by the American Recovery and Reinvestment Act of 2009.)

_√__ (4) 52.204-10, Reporting Executive Compensation and First-Tier Subcontract Awards (Jul 2013) (Pub. L. 109-282) (31 U.S.C. 6101 note).

__ (5) [Reserved].

__ (6) 52.204-14, Service Contract Reporting Requirements (Jan 2014) (Pub. L. 111-117, section 743 of Div. C).

__ (7) 52.204-15, Service Contract Reporting Requirements for Indefinite-Delivery Contracts (Jan 2014) (Pub. L. 111-117, section 743 of Div. C).

_√__ (8) 52.209-6, Protecting the Government’s Interest When Subcontracting with Contractors Debarred, Suspended, or Proposed for Debarment. (Aug 2013) (31 U.S.C. 6101 note).

__ (9) 52.209-9, Updates of Publicly Available Information Regarding Responsibility Matters (Jul 2013) (41 U.S.C. 2313).

__ (10) [Reserved].

__ (11)(i) 52.219-3, Notice of HUBZone Set-Aside or Sole-Source Award (Nov 2011) (15 U.S.C. 657a).

__ (ii) Alternate I (Nov 2011) of 52.219-3.

__ (12)(i) 52.219-4, Notice of Price Evaluation Preference for HUBZone Small Business Concerns (Oct 2014) (if the offeror elects to waive the preference, it shall so indicate in its offer) (15 U.S.C. 657a).

__ (ii) Alternate I (Jan 2011) of 52.219-4.

__ (13) [Reserved]

_√__ (14)(i) 52.219-6, Notice of Total Small Business Set-Aside (Nov 2011) (15 U.S.C. 644).

__ (ii) Alternate I (Nov 2011).

__ (iii) Alternate II (Nov 2011).

__ (15)(i) 52.219-7, Notice of Partial Small Business Set-Aside (June 2003) (15 U.S.C. 644).

__ (ii) Alternate I (Oct 1995) of 52.219-7.

__ (iii) Alternate II (Mar 2004) of 52.219-7.

__ (16) 52.219-8, Utilization of Small Business Concerns (Oct 2014) (15 U.S.C. 637(d)(2) and (3)).

__ (17)(i) 52.219-9, Small Business Subcontracting Plan (Oct 2014) (15 U.S.C. 637(d)(4)).

__ (ii) Alternate I (Oct 2001) of 52.219-9.

__ (iii) Alternate II (Oct 2001) of 52.219-9.

__ (iv) Alternate III (Oct 2014) of 52.219-9.

_√__ (18) 52.219-13, Notice of Set-Aside of Orders (Nov 2011)(15 U.S.C. 644(r)).

__ (19) 52.219-14, Limitations on Subcontracting (Nov 2011) (15 U.S.C. 637(a)(14)).

__ (20) 52.219-16, Liquidated Damages—Subcon-tracting Plan (Jan 1999) (15 U.S.C. 637(d)(4)(F)(i)).

__ (21) 52.219-27, Notice of Service-Disabled Veteran-Owned Small Business Set-Aside (Nov 2011) (15 U.S.C. 657 f).

_√__ (22) 52.219-28, Post Award Small Business Program Rerepresentation (Jul 2013) (15 U.S.C. 632(a)(2)).

__ (23) 52.219-29, Notice of Set-Aside for Economically Disadvantaged Women-Owned Small Business (EDWOSB) Concerns (Jul 2013) (15 U.S.C. 637(m)).

__ (24) 52.219-30, Notice of Set-Aside for Women-Owned Small Business (WOSB) Concerns Eligible Under the WOSB Program (Jul 2013) (15 U.S.C. 637(m)).

__ (25) 52.222-3, Convict Labor (June 2003) (E.O. 11755).

__ (26) 52.222-19, Child Labor—Cooperation with Authorities and Remedies (Jan 2014) (E.O. 13126).

_√__ (27) 52.222-21, Prohibition of Segregated Facilities (Feb 1999).

_√__ (28) 52.222-26, Equal Opportunity (Mar 2007) (E.O. 11246).

_√__ (29) 52.222-35, Equal Opportunity for Veterans (Jul 2014)(38 U.S.C. 4212).

_√__ (30) 52.222-36, Equal Opportunity for Workers with Disabilities (Jul 2014) (29 U.S.C. 793).

__ (31) 52.222-37, Employment Reports on Veterans (Jul 2014) (38 U.S.C. 4212).

__ (32) 52.222-40, Notification of Employee Rights Under the National Labor Relations Act (Dec 2010) (E.O. 13496).

__ (33) 52.222-54, Employment Eligibility Verification (Aug 2013). (Executive Order 12989). (Not applicable to the acquisition of commercially available off-the-shelf items or certain other types of commercial items as prescribed in 22.1803.)

__ (34)(i) 52.223-9, Estimate of Percentage of Recovered Material Content for EPA–Designated Items (May 2008) (42 U.S.C. 6962(c)(3)(A)(ii)). (Not applicable to the acquisition of commercially available off-the-shelf items.)

__ (ii) Alternate I (May 2008) of 52.223-9 (42 U.S.C. 6962(i)(2)(C)). (Not applicable to the acquisition of commercially available off-the-shelf items.)

__ (35)(i) 52.223-13, Acquisition of EPEAT®-Registered Imaging Equipment (Jun 2014) (E.O. 13423 and 13514).

__ (ii) Alternate I (Jun 2014) of 52.223-13.

__ (36)(i) 52.223-14, Acquisition of EPEAT®-Registered Televisions (E.O. 13423 and 13514).

__ (ii) Alternate I (Jun 2014) of 52.223-14.

__ (37) 52.223-15, Energy Efficiency in Energy-Consuming Products (Dec 2007) (42 U.S.C. 8259b).

__ (38)(i) 52.223-16, Acquisition of EPEAT®-Registered Personal Computer Products (Jun 2014) (E.O. 13423 and 13514).

__ (ii) Alternate I (Jun 2014) of 52.223-16.

√ (39) 52.223-18, Encouraging Contractor Policies to Ban Text Messaging While Driving (Aug 2011) (E.O. 13513).

__ (40) 52.225-1, Buy American—Supplies (May 2014) (41 U.S.C. chapter 83).

√ (41)(i) 52.225-3, Buy American—Free Trade Agreements—Israeli Trade Act (May 2014) (41 U.S.C. chapter 83, 19 U.S.C. 3301 note, 19 U.S.C. 2112 note, 19 U.S.C. 3805 note, 19 U.S.C. 4001 note, Pub. L. 103-182, 108-77, 108-78, 108-286, 108-302, 109-53, 109-169, 109-283, 110-138, 112-41, 112-42, and 112-43.

__ (ii) Alternate I (May 2014) of 52.225-3.

__ (iii) Alternate II (May 2014) of 52.225-3.

__ (iv) Alternate III (May 2014) of 52.225-3.

__ (42) 52.225-5, Trade Agreements (Nov 2013) (19 U.S.C. 2501, et seq., 19 U.S.C. 3301 note).

__ (43) 52.225-13, Restrictions on Certain Foreign Purchases (June 2008) (E.O.’s, proclamations, and statutes administered by the Office of Foreign Assets Control of the Department of the Treasury).

__ (44) 52.225-26, Contractors Performing Private Security Functions Outside the United States (Jul 2013) (Section 862, as amended, of the National Defense Authorization Act for Fiscal Year 2008; 10 U.S.C. 2302 Note).

__ (45) 52.226-4, Notice of Disaster or Emergency Area Set-Aside (Nov 2007) (42 U.S.C. 5150).

__ (46) 52.226-5, Restrictions on Subcontracting Outside Disaster or Emergency Area (Nov 2007) (42 U.S.C. 5150).

__ (47) 52.232-29, Terms for Financing of Purchases of Commercial Items (Feb 2002) (41 U.S.C. 4505, 10 U.S.C. 2307(f)).

__ (48) 52.232-30, Installment Payments for Commercial Items (Oct 1995) (41 U.S.C. 4505, 10 U.S.C. 2307(f)).

√ (49) 52.232-33, Payment by Electronic Funds Transfer—System for Award Management (Jul 2013) (31 U.S.C. 3332).

__ (50) 52.232-34, Payment by Electronic Funds Transfer—Other than System for Award Management (Jul 2013) (31 U.S.C. 3332).

__ (51) 52.232-36, Payment by Third Party (May 2014) (31 U.S.C. 3332).

__ (52) 52.239-1, Privacy or Security Safeguards (Aug 1996) (5 U.S.C. 552a).

__ (53)(i) 52.247-64, Preference for Privately Owned U.S.-Flag Commercial Vessels (Feb 2006) (46 U.S.C. Appx. 1241(b) and 10 U.S.C. 2631).

__ (ii) Alternate I (Apr 2003) of 52.247-64.

(c) The Contractor shall comply with the FAR clauses in this paragraph (c), applicable to commercial services, that the Contracting Officer has indicated as being incorporated in this contract by reference to implement provisions of law or Executive orders applicable to acquisitions of commercial items:

[Contracting Officer check as appropriate.]

__ (1) 52.222-41, Service Contract Labor Standards (May 2014) (41 U.S.C. chapter 67).

__ (2) 52.222-42, Statement of Equivalent Rates for Federal Hires (May 2014) (29 U.S.C. 206 and 41 U.S.C. chapter 67).

__ (3) 52.222-43, Fair Labor Standards Act and Service Contract Labor Standards-Price Adjustment (Multiple Year and Option Contracts) (May 2014) (29 U.S.C. 206 and 41 U.S.C. chapter 67).

__ (4) 52.222-44, Fair Labor Standards Act and Service Contract Labor Standards—Price Adjustment (May 2014) (29 U.S.C. 206 and 41 U.S.C. chapter 67).

__ (5) 52.222-51, Exemption from Application of the Service Contract Labor Standards to Contracts for Maintenance, Calibration, or Repair of Certain Equipment—Requirements (May 2014) (41 U.S.C. chapter 67).

__ (6) 52.222-53, Exemption from Application of the Service Contract Labor Standards to Contracts for Certain Services—Requirements (May 2014) (41 U.S.C. chapter 67).

__ (7) 52.222-17, Nondisplacement of Qualified Workers (May 2014) (E.O.13495).

__ (8) 52.226-6, Promoting Excess Food Donation to Nonprofit Organizations (May 2014) (42 U.S.C. 1792).

(End of Clause)

12. Award of BPAs: The Government’s intent is to award BPAs to those firms that are technically acceptable, responsible, and provide services at or below market prices. In addition, we will award only the number of BPAs sufficient to meet our needs and regulatory competition requirements.

13. Firm’s Technical Acceptability: The firm must be able to comply with the terms of the BPA. Such criteria include:

· Adequate financial resources or ability to obtain them/

· Ability to comply with the required period of performance, taking into consideration all existing commercial and governmental business commitments;

· Satisfactory record of integrity and business ethics;

· Necessary organization, experience, and skills or the ability to obtain them;

· Necessary equipment and facilities or the ability to obtain them; and be otherwise qualified and eligible to receive an award under all applicable laws and regulations.

· Has provided similar appraisal services as described in the statement of work.

Contractors who were not under a BPA with USDA Rural Development in Kentucky during the previous Fiscal Year (October 1, 2014 through September 30, 2015), must submit a qualification statement providing evidence of the information shown above along with a copy of the licensing/certification documentation required.

SUBSIDY RECAPTURE

For appraisal assignments that involve a Subsidy Recapture, the same appraisal requirements as discussed in this attachment will be necessary in addition to reporting the contributory value of each capital improvement made to property. Appraisers must reflect the “as is” condition of the property in developing their opinion of market value, including any and all recent updates that contribute value to the real property (such as capital improvements). However, the contributory value of each “capital improvement” will need to be individually reported. The appraisal order form will specify if the assignment is for a Subsidy Recapture.

Rural Development does not have a list specifying what is or is not a Capital Improvement. Rural Development considers a capital improvement an addition to the property, since the loan origination, which adds value but is not considered “routine maintenance”. Therefore items including, but not limited to, kitchen cabinets, floor coverings, roofing, siding, HVAC, appliances, water heaters are not considered capital improvements as replacing those may be necessary for routine maintenance. Whereas items such as room additions, added fence, added deck, or added enclosed porch (since loan origination) are considered Capital Improvements. Since Rural Development may not have a list of all capital improvements, appraisers need to verify with the property owner any and all recent updates to the property since the loan origination. If an appraiser has questions regarding capital improvements during the course of their assignment, they are encouraged to contact the Rural Development official who ordered the assignment or an agency appraiser.

For appraisal assignments involving a Subsidy Recapture, the appraiser must report an itemized list of the capital improvement(s) and report the contributory value of each itemized capital improvement. It is preferred that this be reported in an Addendum to the appraisal report; however, there is no specific requirement to how this is reported. It is only required that each capital improvement be listed and valued individually. No “lump sum” values involving more than one capital improvement will be accepted. If it is found that no capital improvements have been added since the loan origination, then a statement disclosing this is necessary.

Rural Development does not have a required method in developing the contributory value of each capital improvement; it is only required the appraiser utilize recognized methods and techniques. This can include value(s) based on a paired sales analysis, depreciated cost, etc; however, a summarized discussion explaining how the value was developed is required. Simply stating a value without summarizing the rational or reasoning will not be accepted.

SECTION 3--ATTACHMENTS

BLANKET PURCHASE AGREEMENT

ATTACHMENTS

Attachment A1:

Pricing Schedule for Market Value

Attachment A2:

Pricing Schedule for Liquidation Value

Attachment B:

Appraisal…