Number
13477
Version
Original
Reference
Amendment No. 5 to original Purchase Order RAP12257
Sponsor
Title
Resolution approving Amendment No. 5 to Purchase Order RAP12257 with Nan McKay and Associates (El Cajon, CA) for professional services provided to the Housing Authority of the City of Milwaukee’s Housing Choice Voucher Program related to certain Independent Entity (IE) services for HACM-owned developments, initial eligibility applicants, and recertifications of existing applicants
The current Purchase Order was effective May 16, 2022 and is currently not to exceed $350,000. Amendment No. 5 is for an additional $300,000 to cover current and future invoices through June 30, 2024, for a cumulative total not to exceed $650,000. $294,000 of this additional amount was already specifically included in the RAP Budget passed on January 10, 2024 and staff is confident the balance will be workable within the rest of the budget.
Analysis
Body
WHEREAS, the Housing Authority of the City of Milwaukee (HACM) was in urgent need of a new HUD-approved Independent Entity (IE) to provide certain services for PHA-owned units, including, but not limited to, determination of initial rent to owner and annual redetermination of rent to owner; and
WHEREAS, HACM solicited pricing for a variety of services including these IE services from Nan McKay and Associates, Inc.in April 2022 and HACM submitted the selection of Nan McKay to the HUD local field office for approval as required by regulations, and received approval by HUD; and
WHEREAS, the original award of $50,000 via Purchase Order RAP122527 was effective May 16, 2022 with an option to add four additional one-year terms, upon mutual consent of both parties; and
WHEREAS, in response to the HUD Field Office Corrective Action Plan Recommendation to increase outsourcing of certain functions, HACM amended the Purchase order via Amendment #1 dated November 1, 2022 to outsource a portion of initial eligibility of applicants selected from the waiting list as well as annual recertification of Housing Choice Voucher participants to Nan McKay, as needed: and
WHEREAS, Amendment #2 and Amendment #3 dated 6/28/2023 and 7/21/2023 respectively added a total of $200,000 to the Purchase order, resulting in a total cumulative amount of the award $250,000; and
WHEREAS, on November 9, 2023, the HACM Board of Commissioners approved Amendment #4 to the purchase order for an additional $100,000 and a total cumulative amount to date of $350,000; and
WHEREAS, HACM’s Rent Assistance department has not assigned any new initial eligibility or recertification work to Nan McKay since November 2023 with the goal to complete all work under the contract by June 30, 2024; and
WHEREAS, HACM staff are recommending one final amendment of $300,000 to the purchase order 000 to cover current and future invoices through 6/30/2024, bringing the total of the purchase order to an amount not to exceed $650,000; and
WHEREAS, funds for these services are paid from the HUD Administrative Fee that HACM receives for the voucher program and $240,000 of the $300,000 is specifically included in the 2024 HACM Rent Assistance Program budget and staff believe the budget will sustain the additional $60,000 expense; now therefore, be it
RESOLVED, by the Board of Commissioners of the Housing of the City of Milwaukee that it hereby authorizes Amendment #5 to the Purchase Order RAP122527 with Nan McKay and Associates, Inc. for an additional $300,000, resulting in a total cumulative amount of $650,000; and, be it
FURTHER RESOLVED, that the proper officers of HACM be and hereby are authorized and directed to properly execute a cumulative change order to said purchase order for and on behalf of HACM; and, be it
FURTHER RESOLVED, that all of above is contingent upon receiving the approval of the U.S. Department of Housing and Urban Development, if required; and, be it
FURTHER RESOLVED, that all acts previously performed relative to this matter by the Board of Commissioners of HACM be and hereby are approved, ratified, and confirmed in all respects.
Requestor
Drafter
Housing Management, Ken Barbeau, COS, 4/4/2024