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
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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
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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
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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 :
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