DEPARTMENT: Neighborhood and Housing Services
DEPARTMENT HEAD: Verónica R. Soto, FAICP, Director
COUNCIL DISTRICTS IMPACTED: 1, 2, 3, 4, and 5
SUBJECT:
FY 2021 CDBG Minor Home Repair Program Delivery Funding
SUMMARY:
Consideration of an ordinance awarding up to $500,000 in FY 2021 Community Development Block Grant (CDBG) funding to Merced Housing Texas for the delivery of a minor home repair program that will provide up to $25,000 in home repairs to 16 owner-occupied housing units.
BACKGROUND INFORMATION:
On August 13, 2020, through Ordinance 2020-08-13-0531, City Council approved the FY 2021 Action Plan and Budget (Action Plan) which allocated $13.35 million in CDBG funding and $5.82 million in HOME funding. This Action Plan set aside $500,000 in CDBG funding for the Minor Repair Program.
On October 2, 2020, the City issued a Request for Proposals (RFP) for Minor Home Repair Program Delivery. The RFP was advertised in the San Antonio Express News, City of San Antonio’s e-Procurement System (SAePS), City’s Bidding and Contracting Opportunities website, TVSA, and outreach notices were sent notifying potential respondents of the RFP and how to apply. A pre-submittal conference was held on October 12, 2020, to allow for Respondent questions and clarification to the RFP. The City has allocated $500,000 in CDBG funding for delivery of a minor home repair program to 16 owner-occupied housing units. Proposals were due on November 2, 2020. The City received applications from two (2) Respondents: Merced Housing Texas, and BG Constructor Solutions, LLC. The response from BG Constructor Solutions, LLC, was deemed non-responsive as RFP was limited to agencies that qualified as subrecipients for housing rehabilitation services, according to HUD regulations. On November 16, 2020, the one responsive proposal received was evaluated by an Evaluation Committee that consisted of representatives from Neighborhood and Housing Services Department. While evaluating the proposal, the Committee considered the following criteria: 1) Organization Capacity, Financial Capacity, and Relevant Experience (60 points), 2) Program Design and Scope of Work (30 points), 3) Section 3 Certification (10 points).
After committee review and discussion, Merced Housing Texas was recommended for award by the evaluation committee based on consensus scoring. Since the RFP was issued according to Federal Government Grant requirements, the recommended award is an exception to the Local Preference Program and the Veteran-Owned Small Business Preference Program. Moreover, the Small Business Economic Advocacy Program requirements did not apply.
ISSUE:
Staff recommends a total of $500,000 in CDBG funding to Merced Housing Texas (Merced) for the delivery of a minor home repair program that will provide up to $25,000 in home repairs to 16 owner-occupied housing units located in Council Districts 1, 2, 3, 4, and 5. Merced was the sole responsive proposal submitted and was selected via consensus by the evaluation panel.
Merced began delivering their Owner-Occupied Repair Program in 2002 and since that time has successfully completed more than 660 housing units utilizing various funding sources to include CDBG funding. Although the City has identified the 16 housing units utilizing an equity metric, Merced, as a sub-recipient, will be responsible for determining homeowner eligibility, developing the scope of work, obtaining appropriate documentation, overseeing rehabilitation work, budget tracking, requests for payment, performance reporting and ensuring compliance with CDBG requirements. Merced anticipates completing rehabilitation on all 16 housing units within six months of contract execution date.
ALTERNATIVES:
An alternative to awarding this funding to the recommended entity would be to reject the recommendation; however, the recommended entity has the necessary experience and capacity to assist the City in meeting the established goals set forth in the FY 2021 Action Plan and Budget. In addition, any other alternative to appropriate funding would delay the timely commitment and expenditure of the federally sourced funds.
FISCAL IMPACT:
This ordinance awards up to $500,000 in FY 2021 Community Development Block Grant (CDBG) funding to Merced Housing Texas for the delivery of a minor home repair program.
RECOMMENDATION:
Staff recommends an ordinance awarding up to $500,000 in Community Development Block Grant (CDBG) funding to Merced Housing Texas for the delivery of a minor home repair program that will provide up to $25,000 in home repairs to 16 owner-occupied housing units. This contract was procured by means of Request for Proposals and the Contract Disclosure Form is attached.