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HomeMy WebLinkAboutOC Procurement and Disbursement Policy for Housing (approved 090319) ATTACHMENT 3 ORANGE COUNTY PROCUREMENT AND DISBURSEMENT POLICY Housing Rehabilitation Programs , Including Local and NCHFA Urgent Repair Activities A . Procurement Policy 1 . To the maximum extent practical , Orange County ( the " County" ) promotes a fair, open and competitive procurement process as required under the North Carolina Housing Finance Agency ' s ( NCHFA ) Urban Repair Program ( URP ) and the County ' s other housing rehabilitation programs . Bids are invited from contractors who are included on the County ' s Approved Contractor Registry . Any current contractor listed with and approved by the County and in good standing ( i . e . no unresolved past performance issues and not listed on the federal or state debarred list ) will receive automatic approval status on the Contractor Registry . 2 . To be listed on the Approved Contractor Registry, a contractor must complete an application , submit proof of insurance and have their recent work inspected and approved by the County ' s Rehabilitation Specialist . Orange County will get on an annual basis all contractors ' insurance renewals . All contractors working on pre4978 properties must have their firms be Renovate , Repair and Paint ( RR & P ) certified . Only contractors with an RR & P certificate on file will be invited to bid on pre - 1978 properties . 3 . A minimum of three ( 3 ) eligible contractors on the County ' s Approved Contractor Registry shall be invited to bid on each job and the lowest , most responsive and responsible bidder shall be selected for the contract . " Responsive and responsible " means the following : ( a ) the contractor is deemed able to complete the work in a timely fashions ( b ) the bid is within fifteen percent ( 15 % ) in either direction of the County ' s cost estimate ; ( c ) the contractor has not been suspended or debarred ; and ( d ) there is no real or perceived conflict of interest . For Orange County' s Local Urgent Repair Program , in emergency situations , a contractor may be selected from the Vendor List given their placement in the rotational process . In addition , for emergency situations , telephone or email bids or quotes will be accepted . Documentation of such bids or quotes will be maintained in the applicable file . See Item 8 below for more information on how Orange County will handle emergency situations . 4 . Although bid packages may be bundled for multiple job sites , the bids for multiple job sites shall be considered separate and apart when awarded and shall be awarded to the lowest responsive and responsible bidder ( s ) for each job site . No contractor shall have more than three ( 3 ) open jobs at any one time . A job shall be considered " open " once a contract is signed . 5 . Bid packages shall consist of an invitation to bid , work write - up ( s ) and bid sheet ( s ) for each job , including instructions for distribution and receipt of bids . For urgent repair activities , contractors will be given no less than seven ( 7 ) days in which to inspect the Page 1 property and prepare bid proposals . Each contractor will need access to all parts of the house in order to prepare a bid . A bid opening will be conducted at the Department of Housing and Community Development ( DHCD ) located at 300 W . Tryon Street, Hillsborough , NC at a specified date and time with all bidders invited to attend . For minor and comprehensive housing rehabilitation activities , contractors will be given no less than ten ( 10 ) days in which to inspect the property and prepare bid proposals . 6 . Bids must include a cost - per- item breakdown with line item totals equaling the submitted bid price . Any discrepancies must be reconciled prior to a contract being awarded . 7 . The County reserves the right to reject any or all bids at any time during the procurement process . 8 . In the event of an emergency situation , the County reserves the right to waive normal procurement procedures in favor of more expedient methods , which may include seeking quotes and bids by telephone , email , fax and the like . Should such methods ever become necessary the transaction will be fully documented . In the event telephone bids are used , the County will call the first three ( 3 ) responsive contractors on the Approved Contractor Registry who have indicated a desire to be on the Telephone Call List . The County will track who has been called and been responsive and will rotate through the full list before beginning the rotation again . 9 . All sealed bids will be opened publicly at the Department of Housing and Community Development located at 300 W . Tryon Street, Hillsborough , NC at a date and time specified in the bid invitation . All bidders are welcome to attend . Within seventy- two ( 72 ) hours of the bid opening , after the review of bid breakdowns and construction schedules , the winning bidder ( s ) will be selected . All bidders and the homeowner will be notified in writing of 1 ) the selection of the winning bid ; 2 ) the amount of the winning bid ; and 3 ) the specific reasons for the selection if the lowest bidder was not selected . 10 . The contractor is responsible for obtaining a building permit for the project before beginning work . The permit must be posted at the house during the entire period of construction . If applicable , the contractor will obtain a permit for lead hazard - related activities . The County Rehabilitation Specialist will closely monitor the construction to make sure that the work is being done according to the work write - up ( which is made a part of the rehabilitation contract by reference ) and in a timely fashion . Local code enforcement officials will , as applicable , inspect the work for compliance with the NC State Building Code and the local minimum housing code , when applicable . The homeowner will be responsible for working with the contractor to clear their personal property from the work areas as needed , as much as practicable . The contractor will be responsible for all clearing and cleaning activities necessary due to construction activities . 11 . Any change to the original scope of work must be in writing in the form of a change order Page 2 to be agreed upon and signed by all parties to the original contract and two representatives of the County . The change order must detail any changes to the original contract price . 12 . No work may begin prior to a contract being awarded and executed and a written order to proceed provided to the contractor . A pre - construction conference and a "walk through " must also be held prior to the commencement of the project . The pre - construction conference can be held at the DHCD and the walk through must be held at the project site . At this time , the homeowner, contractor and the Rehabilitation Specialist will discuss the details of the work to be completed . Project start and end dates will be finalized , along with any special arrangements such as weekend or evening work hours and the disposition of items to be removed from the home . Within twenty-four ( 24 ) hours of the pre - construction conference , the County will issue a " proceed order " formally instructing the contractor to commence work by the agreed upon date . 13 . Orange County is an equal opportunity employer, implements non - discriminatory practices in its procurement and disbursement and will make special outreach efforts to include Minority/Women Business Enterprise ( M /WBE ) businesses within its contractor and subcontractor pool . Contractors will be chosen by the above criteria without regard to race , color, national origin , disability, religion , age , sex/gender, sexual orientation , gender identity and expression , marital status or veteran status . B . Disbursement Policy 1 . All repair work must be inspected by the County ' s Rehabilitation Specialists , the local Building or Minimum Housing Code Inspector, when applicable and the homeowner prior to any payments to contractors . If all construction work is deemed satisfactory and all other factors and written agreements are in order, payment shall be issued upon presentation of an original cost - per- item invoice from the contractor . The contractor should allow up to ( 14 ) business days for processing of the invoice for payment . 2 . The contractor is entitled to request two partial payments and a final payment . The first partial payment may be requested when the work is fifty percent ( 50 % ) complete . The second partial payment may be requested when the work is ninety percent ( 90 % ) complete . When a payment is requested , the Rehabilitation Specialist will inspect the work within three ( 3 ) days , determine the percentage of job completion and calculate a payment based on ninety percent ( 90 % ) of the total work completed ( i . e . resulting in a ten percent ( 10 % ) hold back ) . For urgent repair projects that have contracts that are less than $ 5 , 000 there will be no ten percent ( 10 % ) hold back . 3 . Following the completion of the construction , the contractor and the Rehabilitation Specialist will meet with the homeowner in a post - construction conference . At this time , the contractor will provide to the homeowner the owner ' s manuals and warranties on Page 3 equipment and materials and be available to answer any questions . 4 . When the contractor declares the work complete , the Rehabilitation Specialist will thoroughly inspect the work as part of the project closeout . If any of the work is deemed unsatisfactory, it must be corrected prior to the authorization of final payment . If the contractor fails to correct the work to the satisfaction of the County ' s Rehabilitation Specialist, payment may be withheld until such time as the work is deemed satisfactory . If a dispute occurs , contractors may follow the procedure dealing with complaints , disputes and appeals in the County ' s Urgent Repair Loan Pool Assistance Policy . Contractors must abide by the final decision as stated in the policy . The homeowner, Rehabilitation Specialist and Housing and Community Development Department Director must sign off on the work . After the receipt of the contractor ' s final invoice , inspections , certificate of completion and lien releases , the final payment will be processed . All material and workmanship will be guaranteed by the contractor for a period of one ( 1 ) year from the date of completion of the work . 5 . Orange County assures , through this policy, that adequate funds shall be available to pay the contractor for satisfactory work . 6 . All contractors , subcontractors and suppliers must sign a lien waiver prior to the disbursement of funds . The ange County P curement and Disbursement Policy, as revised , is adopted this day of 20 ORANGE O,- OUUN Y, NC BY : ep air, Board of C 4 Co missioners ATTEST : Page 4