Contracting with HCD

HCD Generally Holds a Contactors meetings with those that have been selected. Please plan to attend in order to better understand our contracting process.

Once a developer has received an award of funding from the County, the following documentation must be submitted to staff:

Insurance (see below section for details)
IRS W-9 (PDF - 84kB)*
Name of the Entity we are entering into contract with
Signatures
Developer Questionnaire

Once all of this information is submitted, staff will draft the contract. Modifications to the contract language are limited to the exhibits where terms specific to each project are documented. Five original executed contracts are due to HCD three weeks prior to the Board of Supervisor meeting date.

Insurance

Insurance is required to execute a Contract with the Board of Supervisors, to pay an invoice and any time a contract is assigned. See the Insurance Procedures (PDF - 30kB)* and exhibits that explain:

Exhibit C7-Bldr Risk (PDF - 14kB)*: This insurance is for properties undergoing construction but where HCD funds are not being used for architecture/engineering costs.
Exhibit C7 Prof Liability-Bldr Risk (PDF - 15kB)*: This insurance is for properties undergoing construction and where HCD funds are being used for architecture/engineering costs.

Join Related Mailing Lists

HCD Developer

Invoicing Procedures

The invoicing policy is in Exhibit B of the Contract. See the Invoice-Budget Change Policy (PDF - 40kB)* for details and a sample invoice and budget change document.

In the Insurance section, under the second attachment, change the language from "This insurance is for properties undergoing construction and where HCD funds are being used for architecture/engineering costs" to "This insurance is for properties undergoing construction and where the HCD budget line items include architecture/engineering costs."
Under the first section titled Loan Closing, the attachment Goldfarb Loan Document Questions must be a Word doc.
The last section titled Loan Closing should say Contract Close-Out

Assigning a Contract

The County attempts to avoid assigning/transferring contracts if at all possible. If the project will be ultimately held in the name of an organization other than the primary nonprofit such as an LP or LLC, we prefer to execute the contract in the name of the intended entity. If not formed yet and you must enter into contract and then transfer the contract to another entity you can use the sample Contract Assignment Agreement (PDF - 15kB)*. You must provide the tax ID and insurance for this organization before the transfer can be complete. Please allow 4 weeks to transfer the contract, and no invoices will be processed in the name of the new organization until the transfer is complete.

Davis-Bacon

Davis-Bacon Prevailing Wage is triggered when HCD restricts 12+ HOME units or if there are 8+ units in a project funded with CDBG-funded construction. Developers must contact the Davis-Bacon Coordinator 6 weeks before the bid is issued. Please see the Davis Bacon Instructions (PDF - 90kB)*. The developer must provide the following information to Davis-Bacon Coordinator:

Budget
Copy of board approval
Copy of contract
Project schedule
Project publication
Draft job specification

When the construction bids are open, the developer must send HCD a copy of the bids.

Prior to awarding the construction contract, normally to the lowest bidder, the developer must provide the following information to the Davis-Bacon Coordinator:

Contractor's exact name, address, telephone number
Owner's Name
License Number
Tax ID Number

Upon completion of the non-procurement list check, the Davis Bacon Coordinator will notify the developer that the construction contract can be executed.

Environmental Review

If the project requested HOPWA funds, the City of Oakland must approve the NEPA. The developer must complete the City of Oakland NEPA Basic Application and submit to HCD.

Loan Closing

Developers must notify HCD three months prior to the construction loan closing. They must complete the Goldfarb Loan Document Questions (PDF - 10kB)* and email it to HCD and the Goldfarb attorney. Developers must inform HCD and the assigned Goldfarb attorney of the loan closing timeline and all related conference calls.

Loan Closing

All of the following close-out documents must be submitted to HCD prior to the retention being paid:

List of Close-Out Documents (PDF - 8kB)*: These are also included in Exhibit B of the Contract
Rent and Occupancy Close-Out Report (Excel - 43kB***): Submit electronically after rent-up is complete.
EveryOneHome spreadsheet (Excel - 132kB***: Report the units that qualify as EveryOneHOMe units.

For Section 3 and MBWBE, the Contractor must begin documenting this information construction starts:

MBWBE (EXCEL - 74kB)***: Submit this forms every year the project is under construction and with the other close-out documents.
Section 3 form (PDF - 95kB): Submit this form every year the project is under construction and with the other close-out documents.
Section 3 Certification Form Residents (PDF - 13kB)*: Contractor must provide this form to residents applying for employment or contracting opportunities to certify if they are Section 3 residents. Submit this with the Section 3 60002 form.
Section 3 Certification Form for Businesses (PDF - 11kB): Contractor must provide this form to businesses applying for contracting opportunities to certify if they are a Section 3 business concern. Submit this with the Section 3 60002 form.
Section 3 HUD Guidance (PDF - 403kB): The Section 3 Clause is in Exhibit D of the Contract and must be included in bid documents.