Scope_of_Services.pdf

RFP for CDBG Grants and Loans Management Software Page 1 of 6 Attachment C, Scope of Services

Attachment C

Scope of Services

1. Overview

1.1. The City of Milpitas (City) is seeking proposals from qualified vendors for a software solution (Solution) to support the City's Grant Management of the Community Development Block Grant (CDBG) Program administered by the U.S. Department of Housing and Urban Development (HUD). It is preferred but not required that the selected Solution also be capable of managing other housing programs that involve grants and loan administration from sources other than HUD.

1.2. The City is looking for a new, configurable, user-friendly software solution to manage the full lifecycle of CDBG activities, including application intake, grant and loan administration, subrecipient monitoring, expenditure tracking, and reporting. Seamless integration with HUD’s Integrated Disbursement and Information System (IDIS) is essential to support federal reporting requirements.

1.3. The new software solution would replace the City’s existing software with City Data Services. The City’s contract with City Data Services ends June 30, 2026. The City does not plan to migrate data from the current to new software solution, but requests information and pricing for these services as an optional item for the City’s consideration. The anticipated contract start date for the vendor selected through this RFP is June or July 2026. The City prefers the new Solution to be fully operational by July 1, 2026, or soon as practical thereafter to minimize the technology gap. As such, a fast but comprehensive configuration and implementation of any new software is highly desirable.

1.4. Through this RFP, the City aims to establish a long-term partnership with a vendor that has a demonstrated history of providing similar applications to other public entities. Demonstrated knowledge of the CDBG program is preferred.

1.5. The selected vendor shall assume full responsibility for overseeing, managing, and coordinating all facets of the project as outlined in this Scope of Services.

2. Background

2.1. The CDBG allocation is provided to the City annually by the U.S. Department of Housing and Urban Development (HUD) to assist low- and moderate- income persons. The City receives approximately $555,000 in funding each year, which is typically distributed to about fifteen organizations. The awarded subrecipients can fall under one of four categories: Public Services, Capital Projects, Economic Development Activities or Program Administration. The City issues a Notice of Funding Availability (NOFA) and application for prospective subrecipients to apply to

RFP for CDBG Grants and Loans Management Software Page 2 of 6 the program. There are two types of applications: a simplified application and a formal application. Both applications are currently submitted through the City’s existing grant management software with City Data Services (version 1.0). Once subrecipients are awarded, they can track expenditures and submit quarterly reports for reimbursement.

Additionally, the City conducts monitoring activities through the existing grant management system. All data collected is submitted to HUD via the Integrated Disbursement and Information System (IDIS), with which the City’s current software is integrated. The City currently has two (2) internal City users and approximately 15 active external users.

3. Solution Requirements

3.1. The Solution shall be fully cloud hosted, with all data stored within the United States.

The Solution must be browser-agnostic, and must operate efficiently on currently supported browsers, including, but not limited to, Microsoft Edge, Apple Safari, and Google Chrome at a minimum.

3.2. The Solution shall have the ability to integrate with Microsoft Entra ID for single sign-on (SSO), enabling City users to utilize their existing City credentials.

3.3. The proposed Solution must meet the Data and Security requirements as provided in the Exemplar (see Attachment B).

3.4. All data must be encrypted, both in transit and at rest.

3.5. The Solution shall increase resource efficiency for the City and minimize manual processes required for compliance with HUD reporting requirements.

3.6. The Solution should include a production environment, with preference for additional testing and training environments.

3.7. Selected Vendor shall comply with industry standards as well as applicable federal, state, and local laws and regulations with respect to the protection of personally identifiable information that is collected, processed, or used while providing the products and services as specified herein.

3.8. The Solution shall enhance functionality and provide an integrated system that reduces redundancies.

3.9. The Solution is expected to replace, automate, or integrate with current supporting applications, including but not limited to Excel, Word, OneDrive, Network Shared Folders, and Dropbox.

3.10. The City anticipates the same user count specified in Section 2.1; however, the selected Solution must allow for open registration, which may result in a higher total user count. The City prefers a simple licensing model that accommodates both City staff and external subrecipient users without requiring individual licenses for each user.

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3.11. Selected Vendor shall not utilize City Data (which means all data, information, content, documents and other materials collected, used, maintained, processed, stored, or generated by or on behalf of the City and any authorized user, including data resulting from the use of the software Solution or transmitted as part of obtaining any service) for any purpose other than to provide the contracted services and Solution for the City. Under no circumstances shall Vendor use or sell City Data, including customer contact information, for any purpose other than as required to provide the contracted services and Solution to the City.

4. Reporting and Visualization

4.1. The Solution shall have the ability to enter, store, display, and summarize CDBG information.

4.2. The Solution shall generate or display information such as funds expended, clients served, race, demographics, income levels, funding categories, and matrix codes among others in both visual graphics and downloadable content such as Excel worksheets.

4.3. The Solution shall provide dashboards and analytics based on data entered into the system for City use.

4.4. The Solution shall provide progress summary reports, annual summary reports, and compliance summary reports.

5. Subrecipient Portal

5.1. The Solution shall provide setup of subrecipient information in the Solution.

5.2. The Solution shall allow contracted subrecipients to enter progress reports and requests for reimbursements through the portal.

5.3. The Solution should allow for messaging and notification capabilities between the

City and subrecipients.

5.4. The Solution shall allow the City to collect HUD-required data that includes but is not limited to clients served, race, demographics, and income levels.

5.5. The Solution shall enable subrecipients to track grant funding according to approved budget line items. Subrecipients will enter these line items, which City staff must approve at the start of each program year. The Solution will also allow subrecipients to submit budget revision sheets for modifications which City staff will review and approve.

5.6. The Solution will allow for seamless tracking of program goals and accomplishments.

5.7. The Solution will allow for uploads to be made to the system. Areas that require uploads include but are not limited to progress reports and requests for reimbursements.

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5.8. The Solution must notify both subrecipients and City staff when reports are due and upon report submission.

5.9. The Solution shall integrate HUD-required data seamlessly to IDIS.

6. Program Cycle and Monitoring

6.1. Process:

The City will post a NOFA for the upcoming program year towards the last few months of the calendar year. During this period, applicants will be asked to submit a simplified application through Solution. A sample of the simplified application is provided as Attachment D.

City staff will review and approve applications within Solution. If applicants overlook any details, staff may either correct the errors directly or return the application to draft mode for the applicant to revise. Selected applicants will then be invited to complete a formal application, which is released closer to the beginning of the calendar year and requires more detailed information. A sample formal application is provided as Attachment F. Again, City staff will review and approve these applications, with the ability to correct oversights or return the application for revisions as needed. It is important to note that only applicants who meet programmatic requirements are invited to submit a formal application.

After funding decisions are made, successful applicants will be prompted by Solution to provide general information, such as organization name, program name, contact details, point of contact, address, funding category, HUD matrix code, HUD national objective, program goals, and unique entity identifier (UEI).

Throughout the program year, subrecipients will be required to submit quarterly updates and reimbursement requests through the Solution. Prior to the end of the program year, City staff will conduct an in-person monitoring visit to ensure compliance. Subrecipients will receive a templated email notification about the upcoming visit via the Solution.

Following the monitoring visit, staff will send a customized email with final thoughts or action items to each subrecipient via the Solution.

6.2. Requirements:

6.2.1. The Solution shall enable the City to conduct the simplified and formal applications for upcoming CDBG program years as described above.

6.2.2. The Solution will enable the City to collect and evaluate responses.

6.2.3. The Solution should have the ability to conduct monitoring activities within the system. This includes, but is not limited to, sending templated or customized letters and scheduling of visits.

7. Audits

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7.1. The Solution should include a section where City staff can request additional information and documentation from subrecipients for audit or compliance reviews.

The Solution shall support document uploads and storage.

8. Database Maintenance

8.1. The Solution shall maintain all database and report elements.

8.2. The Solution shall maintain data backups and allow downloads to the City of Milpitas.

8.3. The database shall be modifiable as needed to add or remove fields and forms, improve automation, and enhance data presentation.

9. Professional Services

9.1. The selected vendor shall provide comprehensive professional services to ensure successful implementation, on-going system maintenance and support, and continual system improvements.

9.2. The vendor should provide two (2) live trainings to City staff and system users on an annual basis on the use of the software.

9.3. The vendor must respond to questions or address application concerns from City staff and subrecipients within 48 hours of any request throughout the contract term.

9.4. The vendor will meet annually with the City to review software performance and areas for improvement.

9.5. The vendor will promptly notify the city of any changes in point of contact.

10. Software Maintenance & Upgrades

10.1. All Solution updates and patches are to be provided by the selected vendor as maintenance services.

10.2. The Vendor shall notify the City as early as possible regarding major software upgrades (e.g. v4.0 to v.5.0). The City prefers that upgrades are not forced or automatic, allowing the City to test and apply them at the City’s discretion where feasible.

11. Optional Functionality – Non-HUD Grant Management Module

11.1. The City is interested in understanding whether Proposers offer additional software modules or functionality that support the general administration and management of grants and loans not specific to the U.S. Department of Housing and Urban Development (HUD). Such functionality is not required for the base proposal. The City may, at its sole discretion, elect to procure such optional functionality under a separate funding source.

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11.2. If available, please describe any optional modules or functionality that enable the City to manage grants and/or loans from non-HUD funding sources, which may include but are not limited to:

11.2.1. City-funded grant or loan programs

11.2.2. State or regional funding sources

11.2.3. Federal programs other than HUD

11.2.4. One-time or recurring funding programs

11.3. Identify the types of functionalities offered by your optional modules, including but not limited to:

11.3.1. Creation and Management of Funding Opportunities (e.g. NOFAs)

11.3.2. Online application intake and review workflows

11.3.3. Award tracking and contract management

11.3.4. Budget, expenditure and disbursement tracking

11.3.5. Reporting and outcome tracking

11.3.6. Document management and audit trails

11.3.7. Configurable workflows

11.3.8. User roles and permissions across multiple programs