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File #: R13541    Version: 0
Type: Housing Authority Resolution Status: Passed
File created: 12/6/2024 In control: HOUSING AUTHORITY
On agenda: 12/11/2024 Final action: 12/11/2024
Effective date:    
Title: Resolution approving final Amendment #6 in the amount of $120,000 to Purchase Order RAP122527 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 of applicants, and recertifications of existing participants In April 2024, Amendment #5 added $300,000 based on an estimate of the number of reexaminations processed for the voucher program and the number of applicants that submitted initial eligibility information that needed to be processed. More participants submitted information and were processed than originally estimated, resulting in an additional $120,000 owed to Nan McKay during the period. The initial eligibility and reexamination work was completed by September 30, 2024, and the IE services continue until 12/31/2024. After that date, this PO will end and it will be up to...
Sponsors: THE CHAIR
Date Ver.Action ByActionResultTallyAction DetailsMeeting DetailsVideo
12/11/20240 HOUSING AUTHORITY ADOPTED

Minutes note: Ken Barbeau, HACM’s Chief Operation Officer – Program Services, explained that the final Amendment #6 in the amount of $120,000 is for work already completed. Mr. Barbeau stated that all work ended on September 30, 2024, and the contract with Nan McKay will be terminated on December 31, 2024. Commissioners discussed the final invoicing for Nan McKay and any outstanding work yet to be completed. Commissioner Yepez-Klassen noted that this would be the last time this item would be brought before the Board for additional funding. Commissioner Moore stated that the time has come for the HACM to tighten their processes. Chair Hayslett made a recommendation to put efficiencies into place to prevent this overspending on a contract from happening again moving forward.
Pass6:0 Action details Meeting details Not available

Number

13541

 

Version

Original

 

Reference

 

Sponsor

The Chair

 

Title

Resolution approving final Amendment #6 in the amount of $120,000 to Purchase Order RAP122527 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 of applicants, and recertifications of existing participants

 

In April 2024, Amendment #5 added $300,000 based on an estimate of the number of reexaminations processed for the voucher program and the number of applicants that submitted initial eligibility information that needed to be processed. More participants submitted information and were processed than originally estimated, resulting in an additional $120,000 owed to Nan McKay during the period. The initial eligibility and reexamination work was completed by September 30, 2024, and the IE services continue until 12/31/2024.  After that date, this PO will end and it will be up to CVR Associates as to whether they wish to continue any contract services with them for IE services.

 

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, Amendments # 2, 3, 4, and 5 dated 6/28/2023, 7/21/2023, 11/9/2023, and 4/10/2024 respectively increased the total amount of the contract to a cumulative $650,000; and

 

WHEREAS, during Amendment #5, Nan McKay and HACM estimated the amount of funding needed to complete the contract, but the number of participants submitting for recertification and applicants submitting for initial eligibility was underestimated; and

 

WHEREAS, HACM staff are recommending one final Amendment #6 of $120,000 to the purchase order RAP122527 to cover current and future invoices through 12/31/2024 to be paid from the HUD Administrative Fee that HACM receives to manage the voucher program; now therefore be it

 

RESOLVED, by the Board of Commissioners of the Housing of the City of Milwaukee that it hereby authorizes Amendment #6 to the Purchase Order RAP122527 with Nan McKay and Associates, Inc. for an additional $120,000, resulting in a total cumulative amount of $770,000 with the contract to end on December 31, 2024; 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, 12/6/2024