Reverse Auction Program

Highlights

REAC just completed a major reverse auction for Physical Inspections.

Please make sure that your staff is prepared to be contacted about scheduling inspections.
- Does the on-site staff have authority to accept the proposed, scheduled date, or does this request need to go to the property manager or owner? Please make sure your staff understands your protocol.
- Do you have any major rehabilitation being undertaken at the project? Contact your HUD Project Manager to ensure that any inspection is scheduled after the rehabilitation completion date. For a list of Ohio Multifamily Hub staff please refer to the Ohio Multifamily Hub Directory.
The RAP - November 2011
NOTIFICATION OF CHANGE TO REAC PROTOCOL: The following notification was emailed to contractors on 10/12/2011. Contractors should ensure inspectors are aware of the protocol change.

Effective Date for the Protocol Change is Auction 110; other clarifications effective as of 10/10/11

Protocol for scattered site properties: (There is no longer a difference between single-family and multi-family scattered site protocols.)

Scattered Sites – (Single-Family & Multi-Family)
The new “scattered site” protocol requires that the inspector visits all property locations to visually verify all building and unit counts prior to generating sample. After generating sample and selecting/entering the buildings/units in the inspection software, the inspector is no longer required to re-visit all locations. Instead, the new protocol requires the inspector to only re-visit and inspect the associated sites for the locations that are selected as part of the sampled buildings/units. If any building is selected as part of the sample on a multiple building location, the entire site for that location must be inspected.

Example #1:(One building per location)

When the Inspector visually verifies the scattered site property, he/she finds that the profile consist of 40 buildings and 80 units, and is scattered over 40 different locations throughout the city. The inspector updates property profile and generates sample. In this case, the software selects 16 buildings and 20 units for inspection. The inspector identifies the units on the rent roll and enters them into DCD. The inspector is now required by protocol to re-visit and inspect the sites associated with only the 16 locations selected as part of the sample and does not have to re-visit the remaining 24 locations.

Example #2: (Multiple buildings at one location)

Inspector visually verifies the scattered site property and observes that it has 20 buildings and 40 units, and is scattered over 16 locations (15 locations have a single building and 1 has 5 buildings). Property information is updated and sample generated. The sample generates 12 buildings and 16 units in the sample (11 locations in the sample have a single building and 1 location in the sample has 5 buildings). When the inspector arrives at each of the 11 locations with a single building he/she must inspect the site around that building. However, when he/she inspects the location with 5 buildings, the entire site must be inspected – even around the buildings not in the sample. The inspector does not have to re-visit the 4 remaining scattered site locations.
Special Offering Statement - The following actions will be cause for termination for default for all awarded inspections:
- Failure to schedule inspections within 20 days of the award email.
- Failure to update and maintain accurate inspection schedule information in HUD's Secure Systems.
- Failure to have an active inspector assigned to a scheduled inspection.
- Failure of inspector to appear for any reason for an inspection scheduled with HUD's Quality Assurance (QA) staff. In these cases QA will conduct the inspection and no payment will be due to the contractor.
Special Announcement: Recently, we have noticed that some contractors are attempting to place last minute bids on several lots during the last hour of the auction. Since several of these lots have proxy bids in place, it may take a few minutes to receive confirmation of a bid. Once the bids are placed, the "Place Bids Button" will be grayed out until the bid is verified; please be patient until the bids are finalized for the lot in question.

All bids placed by the contractors will be finalized on a "first come, first served" basis, and any bids accepted by the auction web site will be considered final. This being said, we expect delays in placing bids during the last hour of the auction, as such we encourage you to place bids as early as possible to ensure that your bids are accepted. HUD will proceed with awarding the auction results based on bids accepted by the auction website. Thank you for your cooperation.
Inspection Review Notice: Contractors should check the Inspection Review Web Page often. It is required that posted challenges be responded to within 3 business days. If no response is received within this time-frame, and REAC was not informed of any IT/ technical difficulties, the inspection WILL BE REJECTED. Rejected inspections are not subject to payment.
Reminder: It is important that inspections are NOT over-scheduled, and that Scheduler is kept up-to-date, as stated in the UPCS protocol. Contractors must ensure that adequate resources are available prior to bidding. Failure to adhere to the UPCS protocol and/or the Purchase Order Terms and Conditions may result in suspension of an inspector, HUD-rejected inspections, and/or denial of participation in the Reverse Auction Program.
The RAP - The Reverse Auction Program's Quarterly Newsletter

The RAP - March 2011
The RAP - October 2010
The RAP - May 2010

UPCS Inspection Protocol Other Hazards - Bed Bug Infestation.

Guiding Documents

Quick References

Contractors

List of Contractors - Please note that this is not an all-inclusive list. It only includes those companies that have approved their information to be posted.

Results

Note: All files below are in MS-Excel format unless otherwise noted.