Agency Housing Finance Agency

Contractor Discovery Field Inspections

SWIFT Contract Number 136961

Project Name HUD Certified REAC Inspector

Project Number (if applicable) {Empty}

Summarize purpose of the contract, including why it was necessary: Minnesota Housing finances affordable rental housing, and in certain cases, the US Department of Housing and Urban Development (HUD) has agreed to share the loan risk through the HUD Risk Sharing first mortgage program with Minnesota Housing. One of HUD's requirements is that the primary lender arrange and pay for third-party property inspector to conduct property inspections under HUD's Real Estate Assessment Center (REAC) protocols. Inspectors performing REAC inspections must be HUD-trained and certified to be allowed to perform these inspections. Minnesota Housing has no inspectors performing REAC inspections, and in fact, could not perform REAC inspections on their own portfolio due to conflict of interest concerns.

Project Duration

Start Date Thu, 02/01/2018 - 00:00

Original end date Fri, 01/31/2020 - 00:00

Actual end date Tue, 01/31/2023 - 00:00

Did project finish on time? Yes

Total billable hours utilized (if applicable) {Empty}

Contract Amounts

Original contract: $60000

Amendments $48000

Contract total $108000

Did project finish within budget? Yes

What was the funding source? State Operating Budget for Asset Management

Is this a sole source contract? No

If this was a single source contract, explain why the agency determined there was only a single source for the services (if applicable) {Empty}

Evaluator Name Cameron Oyen

Evaluator Email Address cameron.oyen@state.mn.us

Evaluate the contractor's timeliness All HUD-required REAC inspections were performed on-time; exceptions being at the direction of HUD due to HUD-initiated COVID-19 restrictions.

Evaluate the contractor's quality As the REAC protocols are HUD's, this HUD-certified REAC inspector performed to HUD's, and thus Minnesota Housing's satisfaction.

Evaluate the contractor's cost Discovery Field Inspections was the sole respondent to the open RFP. There was no direct competition against which to judge the original bid. When REACs resumed at HUD's discretion, and under very strict COVID-19 protocols, the contract amount was amended upward by 23%. But as this contractor is also a Master Scheduler and often advises HUD on their REAC inspection protocols, we feel the costs were reasonable.

Evaluate the contractor's overall performance Discovery Field Inspections performed as expected and even exceeded expectations by virtue of additional value provided as a Master Scheduler

Would you engage the contractor's services again? Yes

Describe any negative action taken during the duration of this contract (i.e., termination, pursuit of suspension, etc.): None

Please rate the overall experience with the contractor 5 - very satisfied