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File #: 20-1143    Version: 1 Name: AAHC purchasing policy
Type: Resolution Status: Filed
File created: 7/26/2020 In control: Housing Commission
On agenda: 7/28/2020 Final action: 7/28/2020
Enactment date: Enactment #:
Title: To Approve an Amendment to the AAHC Procurement Policy
Title
To Approve an Amendment to the AAHC Procurement Policy

Memorandum

The Ann Arbor Housing Commission's Purchasing Policy details its policies and procedures for the management of its procurement of goods and services. 24 CFR 85.36 used to regulate procurement using federal funds.

Expenditures of non-federal funds do not have to follow federal procurement regulations. Non-federal funds include Voucher Housing Assistance Payments (HAP), Voucher Administrative Fees, tenant rent, City general funds and Continuum of Care administrative fees and rental assistance. However, to simplify the procurement process, the AAHC's procurement policy includes the same requirements for federal and non-federal funds.
The following are the federal threshold levels:
1) Micro-purchase (1 reasonable quote required if under $10,000)
2) Small Purchase Simplified Acquisition (reasonable number of quotes required between $10,000 - $250,000)
3) Sealed public bid (sealed bid required if over $250,000)
It is recommended that the AAHC board add tenant supportive services provided by non-profit service providers to the list of exempted activities that can use a qualification-based method instead of a numerical bidding method. Two sections of the Procurement policy need to be amended to add "tenant support services":
Section 5.4.2 Form of Solicitation. Other than A/E services, developer-related services, tenant support services (except when federally required) and energy performance contracting, competitive proposals shall be solicited through the issuance of an RFP.

Section 5.4.6 A/E Services. The Agency shall contract for A/E services using Qualifications-based Selection (QBS) procedures, utilizing a Request for Qualifications (RFQ). Sealed bidding shall not be used for A/E solicitations. Under QBS procedures, competitors' qualifications are evaluated and the most qualified competitor is selected, subject to negotiation of fair and reasonable compensation. Price is not used as a s...

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