+-----------+--------------------------------+----+------------------+
| **Guide   |                                |    |                  |
| for       |                                |    |                  |
| Review of |                                |    |                  |
| HOPWA     |                                |    |                  |
| Proc      |                                |    |                  |
| urement** |                                |    |                  |
+-----------+--------------------------------+----+------------------+
| **Name of |                                |    |                  |
| Program   |                                |    |                  |
| Parti     |                                |    |                  |
| cipant:** |                                |    |                  |
|           |                                |    |                  |
| **     ** |                                |    |                  |
+-----------+--------------------------------+----+------------------+
| **Staff   |                                |    |                  |
| Con       |                                |    |                  |
| sulted:** |                                |    |                  |
|           |                                |    |                  |
| **     ** |                                |    |                  |
+-----------+--------------------------------+----+------------------+
| **Program |                                |    |                  |
| Year      |                                |    |                  |
| Under     |                                |    |                  |
| Revie     |                                |    |                  |
| w:     ** |                                |    |                  |
+-----------+--------------------------------+----+------------------+
| **Name(s) |                                | ** |                  |
| of        |                                | Da |                  |
| Revi      |                                | te |                  |
| ewer(s)** |                                | ** |                  |
+-----------+--------------------------------+----+------------------+

**NOTE:** All questions that address requirements contain the citation
for the source of the requirement (statute, regulation, NOFA, or grant
agreement). If the requirement is not met, HUD must make a finding of
noncompliance. All other questions (questions that do not contain the
citation for the requirement) do not address requirements, but are
included to assist the reviewer in understanding the participant\'s
program more fully and/or to identify issues that, if not properly
addressed, could result in deficient performance. Negative conclusions
to these questions may result in a \"concern\" being raised, but not a
**\"finding.**\"

**[Instructions]{.underline}:** This Exhibit is designed to assess the
program participant's compliance with applicable procurement
requirements. It is divided into seven sections: Selected Sample; Small
Purchases; Competitive Sealed Bids; Competitive Proposals;
Noncompetitive Proposals; General Provisions/Procedures; and Bonding and
Insurance. If the program participant's accounting system includes
information on contracts, purchase orders, etc., related to the HOPWA
program, such a system can be a convenient starting point for selecting
procurement transactions to review, following the sampling guidance in
Section 10-5 of the introduction to this Chapter. The HOPWA regulatory
citation for the uniform administrative requirements is 24 CFR 574.605.

Note that the program participant may designate government housing
agencies or nonprofit organizations to serve as project sponsors. When
so designated, these entities are *not required* to follow competitive
procurement procedures but may do so optionally at the discretion of the
HOPWA program participant (see definition of "project sponsor" at 24 CFR
574.3).

A. [Selected sample]{.underline}

1\.

  ---------------------- ------------ ------------- ------------ ---------------
  ask the program                                                
  participant to provide                                         
  the following                                                  
  information for the                                            
  selected sample of                                             
  procurement                                                    
  transactions:                                                  

  **Contractor**         **Amount     **Amount      **Amount     **Procurement
                         Budgeted**   Obligated**   Expended**   Method\***

  1\.                                                                 

  2\.                                                                 

  3\.                                                                 

  4\.                                                                 

  5\.                                                                 

  6\.                                                                 

  7\.                                                                 

  8\.                                                                 

  9\.                                                                 

  10\.                                                                
  ---------------------- ------------ ------------- ------------ ---------------

> **\*** Use the following numbers for these methods of procurement
> \[see 24 CFR 85.36(d)\]:
>
> \(1\) Small Purchase; (2) Sealed Bids; (3) Competitive Proposals; and
> (4) Noncompetitive Proposals.

B. [SMALL PURCHASES]{.underline}

2\.

+------------------------------------------------------------+---------+
| a\. Can the program participant document receipt of an     |         |
| adequate number of price or rate quotations from qualified |         |
| sources for procurements of \$25,000 or less?              |         |
|                                                            |         |
| \[24 CFR 574.605 and 24 CFR 85.36(d)(1)\]                  |         |
+------------------------------------------------------------+---------+
| **Describe Basis for Conclusion:**                         |         |
|                                                            |         |
| **     **                                                  |         |
+------------------------------------------------------------+---------+

+-----------------------------------------------------------------------+
| b\. Describe types of purchases and price or rate quotes received.    |
+-----------------------------------------------------------------------+
| **Describe Basis for Conclusion:**                                    |
|                                                                       |
| **     **                                                             |
+-----------------------------------------------------------------------+

C. [COMPETITIVE SEALED BIDS]{.underline}

3\.

+-----------------------------------------------------------------------+
| Summarize the program participant's formal, competitive sealed bid    |
| process.                                                              |
|                                                                       |
| \[24 CFR 574.605 and 24 CFR 85.36(d)(1)\]                             |
+-----------------------------------------------------------------------+
| **Describe Basis for Conclusion:**                                    |
|                                                                       |
| **     **                                                             |
+-----------------------------------------------------------------------+

4\.

+------------------------------------------------------------+---------+
| a\. Does the program participant receive at least two or   |         |
| more responsible bids for each procurement transaction?    |         |
|                                                            |         |
| \[24 CFR 574.605\]                                         |         |
+------------------------------------------------------------+---------+
| **Describe Basis for Conclusion:**                         |         |
|                                                            |         |
| **     **                                                  |         |
+------------------------------------------------------------+---------+

  ---------------------------------------------------------- ------------
  b\. If the answer to "a" above is "no," do the detected    
  problems appear to be systemic or isolated ?               

  **Describe Basis for Conclusion:**                         

                                                             
  ---------------------------------------------------------- ------------

5\.

+------------------------------------------------------------+---------+
| Does the procurement process lend itself to firm, fixed    |         |
| price contracts and can selection of successful bidders be |         |
| made principally on the basis of price? ?                  |         |
|                                                            |         |
| \[24 CFR 574.605 and 24 CFR 85\]                           |         |
+------------------------------------------------------------+---------+
| **Describe Basis for Conclusion:**                         |         |
|                                                            |         |
| **     **                                                  |         |
+------------------------------------------------------------+---------+

6\.

+------------------------------------------------------------+---------+
| Was the invitation for bids publicly advertised and were   |         |
| bids solicited from an adequate number of known suppliers, |         |
| providing them sufficient time before the date set for     |         |
| opening the bids?                                          |         |
|                                                            |         |
| \[24 CFR 574.605 and 24 CFR 85.36(d)(2)(ii)(A)\]           |         |
+------------------------------------------------------------+---------+
| **Describe Basis for Conclusion:**                         |         |
|                                                            |         |
|                                                            |         |
+------------------------------------------------------------+---------+

7\.

+------------------------------------------------------------+---------+
| Do the IFBs, including specifications and pertinent        |         |
| attachments, clearly define the items or services needed   |         |
| in order for bidders to properly respond?                  |         |
|                                                            |         |
| \[24 CFR 574.605 and 24 CFR 85.36(d)(2)(ii)(B)\]           |         |
+------------------------------------------------------------+---------+
| **Describe Basis for Conclusion:**                         |         |
|                                                            |         |
| **     **                                                  |         |
+------------------------------------------------------------+---------+

8\.

+------------------------------------------------------------+---------+
| Are bids opened publicly at the time and place stated in   |         |
| the IFBs?                                                  |         |
|                                                            |         |
| \[24 CFR 574.605 and 24 CFR 85.36(d)(2)(ii)(C)\]           |         |
+------------------------------------------------------------+---------+
| **Describe Basis for Conclusion:**                         |         |
|                                                            |         |
| **     **                                                  |         |
+------------------------------------------------------------+---------+

9\.

+------------------------------------------------------------+---------+
| Are contracts awarded to the lowest responsive and         |         |
| responsible bidders?                                       |         |
|                                                            |         |
| \[24 CFR 574.605 and 24 CFR 85.36(d)(2)(ii)(D)\]           |         |
+------------------------------------------------------------+---------+
| **Describe Basis for Conclusion:**                         |         |
|                                                            |         |
| **     **                                                  |         |
+------------------------------------------------------------+---------+

[D. COMPETITIVE PROPOSALS]{.underline}

10\.

+------------------------------------------------------------+---------+
| Is the competitive proposal procurement method used only   |         |
| when conditions are not appropriate for the use of formal  |         |
| advertising?                                               |         |
|                                                            |         |
| \[24 CFR 574.605 and 24 CFR 85.36(d)(3)\]                  |         |
+------------------------------------------------------------+---------+
| **Describe Basis for Conclusion:**                         |         |
|                                                            |         |
| **     **                                                  |         |
+------------------------------------------------------------+---------+

11\.

+------------------------------------------------------------+---------+
| Do Requests For Proposals (RFPs) clearly and accurately    |         |
| state the technical requirements for the goods or services |         |
| to be procured?                                            |         |
|                                                            |         |
| \[24 CFR 574.605 and 24 CFR 85.36(c)(3)(i)\]               |         |
+------------------------------------------------------------+---------+
| **Describe Basis for Conclusion:**                         |         |
+------------------------------------------------------------+---------+
|                                                            |         |
+------------------------------------------------------------+---------+

12\.

+------------------------------------------------------------+---------+
| Are proposals solicited from an adequate number of         |         |
| qualified sources, consistent with the nature and          |         |
| requirements of the procurement?                           |         |
|                                                            |         |
| \[24 CFR 574.605 and 24 CFR 85.36(d)(3)(ii)\]              |         |
+------------------------------------------------------------+---------+
| **Describe Basis for Conclusion:**                         |         |
+------------------------------------------------------------+---------+
|                                                            |         |
+------------------------------------------------------------+---------+

13\.

  ------------------------------------------------------------- ---------
  Does the program participant publicize Request for Proposals  
  (RFPs) and honor reasonable requests by parties to compete to 
  the maximum extent practicable? \[24 CFR 574.605 and 24 CFR   
  85.36(d)(3)(i)\]                                              

  **Describe Basis for Conclusion:**                            

                                                                
  ------------------------------------------------------------- ---------

14\.

+------------------------------------------------------------+---------+
| Do the RFPs identify all significant evaluation factors,   |         |
| including price or cost where required, and their relative |         |
| importance?                                                |         |
|                                                            |         |
| \[24 CFR 574.605 and 24 CFR 85.36(d)(3)(i)\]               |         |
+------------------------------------------------------------+---------+
| **Describe Basis for Conclusion:**                         |         |
+------------------------------------------------------------+---------+
|                                                            |         |
+------------------------------------------------------------+---------+

15\.

+------------------------------------------------------------+---------+
| Does the program participant:                              |         |
+------------------------------------------------------------+---------+
| a\. conduct technical evaluations of submitted proposals?  |         |
|                                                            |         |
| \[24 CFR 574.605 and 24 CFR 85.36(d)(3)(iii)\]             |         |
+------------------------------------------------------------+---------+
| b\. determine responsible offerors from such evaluations?  |         |
|                                                            |         |
| \[24 CFR 574.605 and 24 CFR 85\]                           |         |
+------------------------------------------------------------+---------+
| c.  as necessary, conduct negotiations, written or oral,   |         |
|     for final contract award?                              |         |
|                                                            |         |
|     \[24 CFR 574.605 and 24 CFR 85\]                       |         |
+------------------------------------------------------------+---------+
| d\. make awards to the most responsive and responsible     |         |
| offerors whose proposals will be most advantageous to the  |         |
| participant after price and other factors are considered?  |         |
|                                                            |         |
| \[24 CFR 574.605 and 24 CFR 85.36(b)(8)\]                  |         |
+------------------------------------------------------------+---------+
| **Describe Basis for Conclusion:**                         |         |
+------------------------------------------------------------+---------+
|                                                            |         |
+------------------------------------------------------------+---------+

16\.

+----------------------------------------------------------+-----------+
| If architectural/engineering professional services are   |           |
| needed by the program participant, are such proposals    |           |
| evaluated with respect to factors other than price and   |           |
| can the program participant document the basis for       |           |
| negotiations of fair and reasonable compensation?        |           |
|                                                          |           |
| \[24 CFR 574.605 and 24 CFR 85.36(f)\]                   |           |
+----------------------------------------------------------+-----------+
| **Describe Basis for Conclusion:**                       |           |
+----------------------------------------------------------+-----------+
|                                                          |           |
+----------------------------------------------------------+-----------+

17\.

+------------------------------------------------------------+---------+
| For procurement of architectural and engineering           |         |
| professional services, does the program participant        |         |
| maintain a list of qualified offerors who can respond to   |         |
| its RFPs?                                                  |         |
|                                                            |         |
| \[24 CFR 574.605 and 24 CFR 85\]                           |         |
+------------------------------------------------------------+---------+
| **Describe Basis for Conclusion:**                         |         |
+------------------------------------------------------------+---------+
|                                                            |         |
+------------------------------------------------------------+---------+

E. [NONCOMPETITIVE PROPOSALS]{.underline} \[24 CFR 85.36(d)(4)\]

18\.

+----------------------------------------------------------+-----------+
| If the program participant procured services             |           |
| noncompetitively, can it show that other methods of      |           |
| procurement (small purchases, sealed bids or competitive |           |
| proposals) were infeasible because:                      |           |
|                                                          |           |
| -   the items were available from a single source; OR    |           |
|                                                          |           |
| -   a public exigency or emergency was of such urgency   |           |
|     to not permit use of competitive solicitation, after |           |
|     solicitation of a number of sources; OR              |           |
|                                                          |           |
| -   competition is determined inadequate; OR             |           |
|                                                          |           |
| -   approval was granted by HUD?                         |           |
|                                                          |           |
|     \[24 CFR 574.605 and 24 CFR 85\]                     |           |
+----------------------------------------------------------+-----------+
| **Describe Basis for Conclusion:**                       |           |
+----------------------------------------------------------+-----------+
|                                                          |           |
+----------------------------------------------------------+-----------+

F. [GENERAL PROVISIONS/PROCEDURES]{.underline}

19\.

+------------------------------------------------------------+---------+
| Is the program participant ensuring that its awards are    |         |
| not made to any party that was excluded, disqualified, or  |         |
| otherwise ineligible (e.g., suspension, debarment or       |         |
| limited denial of participation) for Federal procurement   |         |
| and nonprocurement programs?                               |         |
|                                                            |         |
| \[24 CFR 574.605,24 CFR 24, Subparts C and J, Executive    |         |
| Order 13224, implemented at 31 CFR Parts 595 through 597\] |         |
+------------------------------------------------------------+---------+
| **Describe Basis for Conclusion:**                         |         |
|                                                            |         |
| **     **                                                  |         |
+------------------------------------------------------------+---------+

20\.

+------------------------------------------------------------+---------+
| For the sample of files reviewed, is there a rationale     |         |
| documenting:                                               |         |
+------------------------------------------------------------+---------+
| a.  the selection of the method of procurement?            |         |
|                                                            |         |
|     \[24 CFR 574.605 and 24 CFR 85\]                       |         |
+------------------------------------------------------------+---------+
| b.  the selection of contract type?                        |         |
|                                                            |         |
|     \[24 CFR 574.605 and 24 CFR 85\]                       |         |
+------------------------------------------------------------+---------+
| c.  contractor selection or rejection?                     |         |
|                                                            |         |
|     \[24 CFR 574.605 and 24 CFR 85\]                       |         |
+------------------------------------------------------------+---------+
| d\. the basis for the cost or price of the contract?       |         |
|                                                            |         |
| \[24 CFR 574.605 and 24 CFR 85\]                           |         |
+------------------------------------------------------------+---------+
| **Describe Basis for Conclusion:**                         |         |
|                                                            |         |
| **     **                                                  |         |
+------------------------------------------------------------+---------+

21\.

+------------------------------------------------------------+---------+
| Is contract pricing always based on a method other than    |         |
| the \"cost-plus-a-percentage-of-cost\" method?             |         |
|                                                            |         |
| \[24 CFR 574.605 and 24 CFR 85.36(f)(4)\]                  |         |
+------------------------------------------------------------+---------+
| **Describe Basis for Conclusion:**                         |         |
|                                                            |         |
| **     **                                                  |         |
+------------------------------------------------------------+---------+

22\.

+------------------------------------------------------------+---------+
| Are procurement procedures in place to ensure that:        |         |
+------------------------------------------------------------+---------+
| a.  purchase orders and contracts are signed by an         |         |
|     authorized program official?                           |         |
|                                                            |         |
|     \[24 CFR 574.605 and 24 CFR 85\]                       |         |
+------------------------------------------------------------+---------+
| **Describe Basis for Conclusion:**                         |         |
|                                                            |         |
| **     **                                                  |         |
+------------------------------------------------------------+---------+

+------------------------------------------------------------+---------+
| b.  items delivered and paid for are consistent with the   |         |
|     items contained in the corresponding purchase order    |         |
|     and/or contract?                                       |         |
|                                                            |         |
|     \[24 CFR 574.605 and 24 CFR 85\]                       |         |
+------------------------------------------------------------+---------+
| **Describe Basis for Conclusion:**                         |         |
|                                                            |         |
| **     **                                                  |         |
+------------------------------------------------------------+---------+

+------------------------------------------------------------+---------+
| c.  timely payment of vendors occurs, once requested, when |         |
|     orders have been delivered, inspected, accepted, and   |         |
|     payment to the vendor has been approved?               |         |
|                                                            |         |
|     \[24 CFR 574.605 and 24 CFR 85\]                       |         |
+------------------------------------------------------------+---------+
| **Describe Basis for Conclusion:**                         |         |
|                                                            |         |
| **     **                                                  |         |
+------------------------------------------------------------+---------+

+------------------------------------------------------------+---------+
| d.  a cost or price analysis is performed in connection    |         |
|     with every procurement action, including contract      |         |
|     modifications?                                         |         |
|                                                            |         |
|     \[24 CFR 574.605 and 24 CFR 85\]                       |         |
+------------------------------------------------------------+---------+
| **Describe Basis for Conclusion:**                         |         |
|                                                            |         |
| **     **                                                  |         |
+------------------------------------------------------------+---------+

+------------------------------------------------------------+---------+
| e.  profit is negotiated as a separate element of price    |         |
|     where price competition is lacking or a cost analysis  |         |
|     is performed?                                          |         |
|                                                            |         |
|     \[24 CFR 574.605 and 24 CFR 85\]                       |         |
+------------------------------------------------------------+---------+
| **Describe Basis for Conclusion:**                         |         |
|                                                            |         |
| **     **                                                  |         |
+------------------------------------------------------------+---------+

23\.

+------------------------------------------------------------+---------+
| Are the contract provisions listed in 24 CFR 85.36(i)      |         |
| appropriately included in the HOPWA-assisted contracts?    |         |
|                                                            |         |
| \[24 CFR 574.605 and 24 CFR 85.36(i)\]                     |         |
+------------------------------------------------------------+---------+
| **Describe Basis for Conclusion:**                         |         |
|                                                            |         |
|                                                            |         |
+------------------------------------------------------------+---------+

24\.

+------------------------------------------------------------+---------+
| Does the program participant have a written code of        |         |
| conduct governing employees, officers or agents engaged in |         |
| the award and administration of contracts supported by     |         |
| grant funds?                                               |         |
|                                                            |         |
| \[24 CFR 574.605 and 24 CFR 85\]                           |         |
+------------------------------------------------------------+---------+
| **Describe Basis for Conclusion:**                         |         |
|                                                            |         |
| **     **                                                  |         |
+------------------------------------------------------------+---------+

25\.

+------------------------------------------------------------+---------+
| Can the program participant document a system of contract  |         |
| administration for determining the adequacy of             |         |
| contractors\' performance?                                 |         |
|                                                            |         |
| \[24 CFR 574.605 and 24 CFR 85\]                           |         |
+------------------------------------------------------------+---------+
| **Describe Basis for Conclusion:**                         |         |
|                                                            |         |
| **     **                                                  |         |
+------------------------------------------------------------+---------+

26\.

+------------------------------------------------------------+---------+
| Can the program participant show that its project sponsors |         |
| or subrecipients are required to follow applicable         |         |
| procurement policies and procedures in the administration  |         |
| of their contracts and purchase orders?                    |         |
|                                                            |         |
| \[24 CFR 574.500 and 605 and 24 CFR 85\]                   |         |
+------------------------------------------------------------+---------+
| **Describe Basis for Conclusion:**                         |         |
|                                                            |         |
| **     **                                                  |         |
+------------------------------------------------------------+---------+

27\.

+------------------------------------------------------------+---------+
| If the program participant uses prequalified lists, are    |         |
| such lists:                                                |         |
|                                                            |         |
| -   current,                                               |         |
|                                                            |         |
| -   developed through an open solicitation process without |         |
|     overly restrictive criteria, and                       |         |
|                                                            |         |
| -   include an adequate number of qualified sources?       |         |
|                                                            |         |
|     \[24 CFR 574.605 and 24 CFR 85\]                       |         |
+------------------------------------------------------------+---------+
| **Describe Basis for Conclusion:**                         |         |
|                                                            |         |
| **     **                                                  |         |
+------------------------------------------------------------+---------+

[G. BONDING AND INSURANCE]{.underline} \[24 CFR 85.36(h)\]

28\.

+----------------------------------------------------------+-----------+
| If contracts have been awarded for construction or       |           |
| facility improvements under the grant program(s), does   |           |
| the program participant:                                 |           |
+----------------------------------------------------------+-----------+
| a.  follow its own requirements relating to bid          |           |
|     guarantees, performance bonds and payment bonds for  |           |
|     construction contracts or subcontracts valued at or  |           |
|     below \$100,000?                                     |           |
|                                                          |           |
|     \[24 CFR 574.605 and 24 CFR 85.36(h)\]               |           |
+----------------------------------------------------------+-----------+
| b.  meet the minimum Federal requirements for bid        |           |
|     guarantees, performance bonds and payment bonds for  |           |
|     construction contracts or subcontracts valued above  |           |
|     \$100,000?                                           |           |
|                                                          |           |
|     \[24 CFR 574.605 and 24 CFR 85.36(h)\]               |           |
+----------------------------------------------------------+-----------+
| **Describe Basis for Conclusion:**                       |           |
+----------------------------------------------------------+-----------+
|                                                          |           |
+----------------------------------------------------------+-----------+