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HOUSING PRIORITY GAME
If you had a “20 Bean Budget” to spend on housing, what would your priorities be? Place beans in circles to indicate your spending choices. HINT: You won’t have enough beans to get everything in B or C. FEATURE Quality of Structure A Foundation, Roof and Building Materials at Minimum Quality Plumbing, Electrical, and Heating Systems at Minimum Quality Few EnergySaving Features B Average Quality (Three Beans) C Good Quality (Four Beans)
Quality of Systems
Average Quality (Two Beans)
Good Quality (Three Beans)
Energy Efficiency
Some EnergySaving Features (One Bean)
Many EnergySaving Features (Two Beans) Good Quality (Two Beans)
Quality of Interior
Storage
Floors, Walls, Cabinetry and Lighting at Minimum Quality Minimum Storage
Average Quality (One Bean)
Average Storage (One Bean)
Good Storage
Bathroom
1 Bathroom
1 ½ Bathroom (One Bean)
(Two Beans) 2 or More Bathrooms (Two Beans)
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Options Location
Garage (Two Beans) Zoned MultiFamily or Commercial, Heavy Traffic Houses Close Together, Not Much Private Outdoor Space
Full Basement (Two Beans) Zoned Multi- or Single-Family, Moderate Traffic (Two Beans) Houses are Separated, Moderate Amount of Private Space (Two Beans) More Shrubs, Small Trees (Two Beans) Moderate, 1,500 ft2 (Two Beans) Medium (Two Beans) Three Bedrooms (Two Beans)
Family Room (Three Beans) Zoned SingleFamily, Light Traffic (Three Beans) Houses are Far Apart, More than Enough Privacy (Three Beans) Many Shrubs, Large Trees (Three Beans) Large, Over 2,000 ft2 (Three Beans) Large (Three Beans) Four Bedrooms (Three Beans)
Lot Size
Landscaping
A Few Shrubs, No Trees Small, Less than 1,000 ft2 Small Two Bedrooms
House Size
Size of Rooms Number of Rooms
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Cost Cutting Activity
Directions Review the designs, proformas, and budgets for the sample single-family development project. Then, evaluate the estimated costs, and devise a strategy to reduce the costs by 10%. An across-the-board 10% cut is not acceptable. You must specify the areas in which the cuts will be made (i.e. land acquisition, contractor, etc.) and the proposed strategies to reduce the costs (i.e. obtain grants, etc.). Please answer the following questions as you are considering your cost cuts: 1. What market conditions are you most interested in to ensure a successful project? 2. What aspects about the neighborhood should you know about before beginning the project?
3. Are there any obvious financing gaps that should be addressed?
4. Are there other conditions that you would like to know about before proceeding?
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Design and Development for Single Family New Construction
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Design and Development for Single Family New Construction
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Design and Development for Single Family New Construction
CP221
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Design and Development for Single Family New Construction
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Design and Development for Single Family New Construction
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Design and Development for Single Family New Construction
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Client #
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CONTRACTORS BID PROPOSAL
Date: _____________________ From: ________________________________________________ ________________________________________________ ________________________________________________ To: ________________________________________________ ________________________________________________ ________________________________________________ I, the undersigned contractor, have inspected the above listed property and understand the extent and character of the work to be completed as described in the Inspection Report identified as client number _____________________. I propose to furnish all labor, materials, and equipment necessary to accomplish the work, as listed in the above documents on the property located at___________________________for the sum of _________________________________ Dollars ($______________________). I will commence the work within _________ calendar days from the date the notice to proceed is received and will complete the work within _________ calendar days after starting the work. __________________________________________________ Company Name __________________________________________________ Signature __________________________________________________ Title
THIS BID MUST HAVE A BREAKDOWN OF YOUR ESTIMATE ATTACHED.
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Client # _________
PRECONSTRUCTION CONFERENCE REPORT
READ CAREFULLY BEFORE SIGNING I (We), the undersigned, have on this date at _______________________________________ participated in a preconstruction conference prior to the signing of a contract for the rehabilitation of my (our) property. I (We) acknowledge that I (we) understand the terms of the contract, the explanation of the work to be performed by the contractor, the roles of the loan specialist and the construction advisor, and our responsibilities during the construction phase. I (We) have been given an adequate explanation to our questions, if any, and are aware that assistance will be provided by the staff of the housing rehabilitation program as requested. I (We) further understand and acknowledge that the (City/State/ County) housing rehabilitation program assumes no responsibilities for the work performed and does not warrant. ________________________________________________ Signature of Property Owner Date ______________________________________________ Signature of Property Owner Date
I, the undersigned, hereby certify that the preconstruction conference was held on this date between the homeowner(s), loan specialist, construction advisor, and myself. I understand the procedures to be followed for change orders and requests for payment and inspections. I understand and agree that the work performed must meet the standards of performance required by the housing rehabilitation program and established by the program specifications and work write-up.
________________________________________________ Signature of Contractor and Title Date
1, the undersigned, hereby certify that I participated in a preconstruction conference this date. ________________________________________________ Signature of Contractor and Title Date
Q
I, the undersigned, hereby authorize the contractor to commence work on the property known as______________________________________ within _____ days of the execution of this document. The property be available to you to perform the work stated in the contract between ____am and ____ pm, Monday through Friday, unless otherwise specified by the owner. If the contractor does not commence work within the specified time, the owner may upon proper notification, consider the property improvement contract to be in default. I elect to withhold authorization to proceed until a later date at which time a separate Notice to Proceed will be issued. ________________________________________________ Signature of Property Owner Date
Q
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Client #
_________
CONTRACTOR PAYMENT REQUEST
Homeowner: _________________________________________ Address:______________________________________________ Contractor: Address: ________________________________________ ________________________________________ ________________________________________ Type of Payment: _____ Progress _____ Final Date: ______________________ Contract Amount: $________
Contractor:
I hereby request an inspection to receive payment # _____________________ for the amount of $ ________________. I certify that I have satisfactorily completed the necessary work to justify this request and that all bills incurred for labor used and materials furnished in making said repairs and improvements have been paid in full to this date. See attached cost breakdown. Date: ______________
Contractor's Signature:________________________________________
Homeowner:
I/We hereby agree that the work stated by the contractor has been completed and approve payment to the contractor in accordance with the Agreement and contingent upon inspection and concurrence by the Construction Advisor. It is understood that the actual amount disbursed will be based on the findings of that inspection.
Owner's Signature: _______________________________________________ Date: ______________ Owner's Signature:_______________________________________________ Date: ______________
Rehab Specialist:
I hereby certify that all work is completed as indicated on the contractor's Payment request. I hereby request approval of the payment to the contractor in the amount of $_________________. Date: ______________
Rehab Specialist:_______________________________________________
If Applicable, Housing Rehabilitation Programs Manager: I hereby approve the payment to the contractor in the amount of $ ___________________. Housing Rehabilitation Programs Manager:_________________________ Date: ______________
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Client #
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CERTIFICATE OF FINAL INSPECTION
Date: ________________________________________________________ Homeowner Name: Address: ________________________________________________________ ________________________________________________________ Contractor's Name: Completion Date: Total Rehabilitation Cost: _________________________________________________________ _________________________________________________________ $________________________________________________________ ________________________________________________________
The work on the property listed above was performed in accordance with the property evaluation form, and the approved Contractor's proposal for this case.
___________________________________________ Homeowner
______________ Date
____________________________________________ Rehab Specialist ____________________________________________ Director (Agency / Program / Department)
______________ Date ______________ Date
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Client # ____________
CERTIFICATE AND RELEASE
From: _________________________________________________________________ , Contractor To: _________________________________________________________________________ , Owner
Reference Contract entered into the _____ day of _________________, 20_____ between
________________________________ (Owner) of ________________________________ (Address)
and _______________________ (Contractor) of ________________________________ (Address
of Contractor) for the rehabilitation of property at ___________________________________
(Address of Rehabilitated Property).
KNOW ALL MEN BY THESE PRESENT
1. The undersigned hereby certifies that there is due from and payable by the Owner to the Contractor the balance of $ ____________________ pursuant to the Contract and duly Approved Change Orders and modifications. 2. The undersigned further certifies that in addition to the amount set forth in Paragraph 1, there are outstanding and unsettled the following items, which the Contractor claims are just and due and owing by the Owner to the Contractor: A. ________________________________________________________________ B. ________________________________________________________________ 3. The undersigned further certifies that all work required under this Contract including the work required under Change Order No.(s) ____________________________, has been performed in accordance with the terms thereof, and that there are no unpaid claims for materials, supplies, or equipment and no claims of laborers or mechanics for unpaid wages arising out of the performance of this contract. 4. Except for the amount stated under Paragraphs I and 2 hereof, the undersigned has received from the Owner all sums of money payable to the undersigned under or pursuant to the above mentioned Contract or any modification or change thereof. 5. That in consideration of the payment of the amount stated in Paragraph 1 hereof, the undersigned does hereby release the Owner from any and all claims arising under or by virtue of the Contract, except the in Paragraph 2 hereof; provided, however, that if for any reason the owner does not pay in full the amount stated in Paragraph I hereof, said unpaid amount shall be automatically included under Paragraph 2 as an
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amount which the Contractor has not released but will release upon payment thereof. The Contractor further certifies that upon the payment of the amount listed in Paragraph 1, hereof, he will release the Owner from any and all claims of any nature whatsoever arising out of said Contract or modification thereof, and will execute such further releases or assurances as the Owner may request. IN WITNESS WHEREOF, the undersigned has signed and sealed this instrument this date of _______________________________, 20 ____ . ___________________________________________
Company Name
By ___________________________________________ Name and Title ___________________________________________ ___________________________________________ Subscribed and sworn to before me this _____ day of __________________________, 20 ____ . ___________________________________________
Notary Public
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GENERAL CONDITIONS OF THE CONTRACT 1.0 SCOPE 1.1 The work specified herein shall include but not be limited to: all labor, material, equipment, permits, drawings, and completion of the work identified and reasonably inferred as necessary to produce the intended results, by the Contract Documents. Contractor shall show proof of: Home Improvement Commission License, General Contractor License, Proof of Insurance, and Letter Of Credit from material supplier.
2.0
CONTRACT DOCUMENTS: 2.1 Shall consist of the Agreement, the General Conditions of the Contract, the itemized list of work descriptions called out in the Work Write-Up, Appended Diagrammatic Drawings and List; the Specifications, all addenda issued prior to execution of the contract and all other modifications as subsequently agreed to in writing by all parties. Are complementary and what is required by any shall be as required by all. 2.3 By executing the contract, the Contractor represents that he has visited the site, familiarized himself with conditions under which the work is to be performed and correlated his observations with the requirements of the Contract Documents. One set of the Work Write-Up and Addenda or Change Order shall remain on site for the duration of the work.
2.2
2.4
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3.0
AGENCY OFFICE: 3.1 Nothing contained in the Contract Documents shall create any contractual relationships between AGENCY and the Contractor. Will provide General Administration of the Contract. Shall at all times have access to the work. Will endeavor to guard itself and the homebuyer against defects and deficiencies in the work of the Contractor and will reject work, which does not conform to the Contract Document. Will not be responsible for the Acts or Omissions of the Contractor.
3.2 3.3 3.4
3.5 4.0
THE OWNER: 4.1 AGENCY ADDRESS St CITY, STATE ZIP CODE TELEPHONE CONTACT NAME
5.0 THE CONTRACTOR: 5.1 Shall supervise and direct the work. He shall be solely responsible for all Construction means, methods, techniques, sequences and procedures for coordinating all portions of the work. Shall enforce strict discipline and good order among his employees and shall not employ on the work any unfit person or anyone not skilled in the task assigned to him.
5.2
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5.3
Warrants to the owner that all materials and equipment furnished under the Contract will be new unless otherwise specified and that all work will be of good quality, free from faults and defects, and conform to the Contract Documents. Work shall be accomplished by craftsmen skilled in the various trades as in a manner consistent with the standards of the various trades. Work shall conform to all applicable codes. Shall pay required taxes. Shall secure and pay for all permits, fees, and licenses required. Is responsible to the owner for the acts and omissions of all his employees, subcontractors, and all persons performing the work under the Contract. Shall do all cutting, fitting, and patching as required to make all parts fit property. Shall keep the premises free from the accumulation of waste materials1 or rubbish resulting from his work on a daily basis. Upon completion of the work he shall clean all glass, and leave the work area clean of all dirt, dust, and debris resulting from the work. Shall forward all communications to AGENCY. Shall indemnify and hold harmless, the home buyer and AGENCY from all claims, damages, losses, and expenses resulting from performance of the work providing that any such claim is caused in whole or in part by negligent act or omission by the Contractor or anyone employed for the work.
5.4 5.5 5.6
5.7
5.8
5.9 5.10
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6.0 SUBCONTRACTORS: 6.1 The Subcontractor shall be bound by all applicable terms and conditions of the Contract. Under no circumstances shall the General Contractor subcontract any work to the buyer of the building on which work is being done. 7.0 TIME 7.1 By submitting an executed bid, the Contractor agrees to commence work within Ten (10) calendar days from the date of proceed order and to carry out the work expeditiously with adequate forces and shall complete the work within the agreed contract time unless otherwise amended. After the Contract Completion Date, a fee of one hundred dollars ($100.00) per day will be charged for each consecutive day of work not completed.
6.2
8.0 PAYMENT 8.1 8.2 8.2.1 The Contract sum stated in the Agreement is the total amount payable by the owner under the contract. IN PROGRESS PAYMENT: Upon full satisfactory completion of 60% of the work required under the contract and approval of the inspector, AGENCY with release payment of a lump sum not to exceed 50% of the total contract sum. The written request for In Progress Payment shall constitute a representation to AGENCY that all work completed to date is in strict accordance with the requirements of the contract documents and with all applicable code requirements. AGENCY will charge a $50 penalty to contractors requesting inspections for work not completed. A partial payment, if warranted under conditions 8.2.1. and 8.2.2 will be ordered within 24 hours of a passing inspection. Payment is generally available within 15 days of request.
8.2.2
8.2.3
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8.3 8.3.1
FINAL PAYMENT: The written request for final payment shall constitute a representation to AGENCY that all work has been completed in accordance with the requirements of the contract documents and with all applicable code requirements. AGENCY may withhold payment in whole or in part as necessary to protect itself or the homebuyer from loss because of defective work not remedied or where third party claims have been filed. When the aforementioned grounds are removed payment shall be made. Acceptance of final payment will constitute a waiver of all claims by the contractor.
8.3.2
8.3.3
9.0
PROTECTION OF PERSON AND PROPERTY: 9.1 The contractor shall take all reasonable precautions for the safety and damage prevention, to all persons on the work site; all the materials and equipment incorporated or to be incorporated in the work; and all property at or adjacent to the site. The contractor shall comply with all applicable laws, ordinances, rules, and regulations relevant to the safety of persons and property
9.2
10.0 INSURANCE: 10.1.1 The contractor shall be responsible from the commencement of work for all injury or damage of any kind resulting from this work to persons or property. In addition to the liability imposed upon the contractor on account of bodily injury, including death or property damage suffered through the contractor’s negligence1 which liability is not impaired or otherwise affected hereby, the Contractor assumes the obligation to save the owner and to indemnify the owner from every expense, liability, or payment arising out of or suffered through any act or omission of the contractor, or any subcontractor, or anyone either (1) directly or indirectly
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employed or (2) under the supervision of any of them in the prosecution of the work included in this contract.
10.2 The contractor shall, prior to receipt of bids, have on file with AGENCY a certificate from their insurance company showing assurance of Workman’s Compensation coverage or a certificate from the State Workman’s Compensation Board showing proof of ability to pay compensation directly.
10.3
Certificates of insurance must be on file with the AGENCY Office prior to receipt of bids for: Contractors General Liability Insurance: To be taken out in the name of the contractor as insured as follows: Comprehensive General Liability: (1) bodily injury, including death with limits of $50,000 each occurrence and $50,000 aggregate, (2) property damage with limits of $25,000 each occurrence and $25,000 aggregate, and (3) other coverage to be included shall consist of: Independent Contractors, products and completed operations, blanket contractual, XCU (explosion, collapse, and underground coverage), and broad form property damage.
10.4
In addition to the coverage stated above, when the contractor takes sole control of property, he shall maintain in the name of the contractor and AGENCY as insured: a standard fire policy on any existing structure undergoing alterations, repairs, or additions; arid upon materials in and to which are to be made a part of the insured structure to 100% of the insurable value thereof, covering fire, extended coverage vandalism, and malicious mischief. Policy must be endorsed to include alterations, repairs and additions with no limit on vacancy or unoccupied. Certificate of Insurance must be at AGENCY.
10.4.1
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11.0 CHANGES IN THE WORK: 11.1 AGENCY, may, without invalidating the Contract, request changes in the work within the scope of the contract consisting of additions, deletions, or other revisions. Should concealed conditions be encountered which are not recognized as inherent to the nature of the work called for, the contractor shall immediately notify AGENCY for identification of changes required in the work. All such changes shall be executed in writing by AGENCY upon agreement between the contractor and AGENCY. The Contract sum and the contract time shall be adjusted accordingly. AGENCY shall not be responsible to the contractor for any changes in the Contract sum until the change order has been mutually agreed upon and signed.
11.2
11.3
11.3.1
12.0 UNCOVERING AND CORRECTION OF THE WORK: 12.1 If any work should be covered prior to its acceptance by AGENCY or another regulating agency, it must, if required, be uncovered and replaced at the contractor’s expense. The contractor shall promptly correct all work rejected by AGENCY as defective or failing to comply with the contract documents, whether observed before or after substantial completion and whether or not fabricated, installed, or completed. The contractor shall bear all costs of correcting such work.
12.2
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13.0 TERMINATION OF THE CONTRACT: 13.1 If the work is stopped for a period of thirty (30) days under an order of any court or public authority, or as a result of an Act of Government, and through no fault of the contractor, a subcontractor, or their employees, the contractor may upon seven (7) days’ written notice terminate the contract and recover payment for all work executed. If the contractor is adjudged or bankrupt, or if a receiver is appointed on account of his insolvency, or if he persistently or repeatedly refuses or fails to supply enough properly skilled workmen or proper materials, or disregards applicable laws, ordinances, rules and regulations, or is otherwise guilty of a substantial violation of the contract documents, the owner upon seven (7) days’ written notice may terminate the contract.
13.2
14.0 ANTI-KICKBACK REGULATIONS: 14.1 14.2 The contract shall comply with all applicable ―AntiKickback‖ regulations. No staff member of AGENCY and no officer, employee, or agent of AGENCY shall have any personal interest (directly or indirectly) in the contract or in the entity designated by the agreement as the contractor.
15.0 NON-D1SCRIM1NATION: 15.1 The contractor will not discriminate against any employee or applicant for employment because of race, color, religion, sex, or national origin. Contractors will take affirmative action to ensure that applicants are and that employees are treated during employment without regard to their race, color, religion, sex, or national origin.
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16.0 THE BID PROCESS: 16.1 Invitations to bid on AGENCY jobs will be mailed to or made available for pick-up by contractors, on AGENCY’s bid list as jobs become available. Bids are due in the AGENCY Office no later than the specified time and date which will be included in all bid packets.
16.2
16.3
Contractors who are submitting bids for the first- time and have not completed a housing job under the auspices of AGENCY will not be allowed to receive more than one job. Once a contractor has successfully and satisfactorily completed a home improvement in accordance to the Contract Documents, he will be allowed to receive up to two jobs per bid announcement. In the case of a first time bidder submitting the lowest responsive and responsible bid on two or more units, he will be allowed to select the job of his choice with the second unit going to the contractor submitting the next lowest bid. In the event that a qualified non first-time contractor is low bidder on three or more units under a bid packet, he will be allowed to select two of the units with any other units reverting to the next lowest bidder. AGENCY reserves the right to reject and re-bid any property that the low bid (or next lowest bid) is an unrealistic bid, which is defined as a bid extraordinarily low or high based on AGENCY cost projections.
16.4
16.5
16.5.1
17.0
CONTRACTOR SUSPENSION/ TERMINAT1ON: 17.1 Failure to execute the terms of the contract as agreed upon with the homeowner or AGENCY is grounds for termination or suspension. In such a case, the amount needed to complete the job by another contractor shall be deducted from payment due the defaulting
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contractor. 17.2 17.3 Providing false information to AGENCY is grounds for termination. Failure to pay within thirty (30) days of receipt of payment from AGENCY, all subcontractors, suppliers, or any outstanding obligation related to a job under the contract or warranty of the program is grounds for termination or suspension. Termination from another program administered by AGENCY is grounds for termination or suspension.
17.4
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New Construction Contract Address: ________________ Owner: _________________ Contractor: ________________ Contract for New Construction for Sale AGENCY, CITY, STATE (revised August 2001) THIS AGREEMENT made this DATE by and between AGENCY hereinafter referred as ―Owner‖ and NAME hereinafter referred to as ―Contractor‖; WITNESSETH: Owner does hereby employ the Contractor to do all the work and provide all labor, security, materials, tools, machinery, supervision, services, etc., necessary for the construction of the property known as NAME for the total sum of AMOUNT, all in accordance with the plans and specifications which are attached hereto as Attachment ―A‖ and expressly incorporated herein by reference and made a part hereof. 1. CONTRACT TERM A. The Contractor agrees to begin work to be performed under this contract within ten (10) calendar days from the date this Contract is signed by the Contractor. The work to be performed under this contract shall commence on DATE and substantial completion shall be achieved no later than DATE. Failure to complete work within the number of calendar days as stated including extension granted thereto, shall entitle the owner to deduct from the monies due to the Contractor as ―Liquidated Damages‖ an amount of $100.00 for each calendar day of delay in the completion of work.
B.
2.
SCOPE OF WORK A. The Contractor does hereby agree that he will perform the work, in accordance with the plans and specification in
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Attachment A; diligently and in a good workmanlike manner, using the materials specified or materials of at least equal quality. B. The Contractor shall be responsible for obtaining all necessary permits for the work to be performed, and the work being done or any part thereof shall not be deemed completed until the Owner has accepted it as satisfactory. The Contractor shall, on a daily basis, keep the premises clean and clear of debris resulting from his contract work and the work of any and all subcontractors who may be used by the Contractor to complete this work. Upon completion of the work and final cleaning, all debris shall be removed from the construction site and the premises left clean. The cost of any clean up and removal of debris is the sole responsibility of the Contractor and is concluded within the fixed price of the work to be performed under this Agreement. The Contractor shall be responsible for boarding up all units not completed at the conclusion of each workday. The total cost of boarding up all units including the cost of materials is the sole responsibility of the Contractor and is included within the fixed price of the Contract. If the Contractor fails to board up or clean-up the units within a reasonable time after receipt of notice, AGENCY shall have the right to remedy the failure or defect at the Contractor’s expense. The Contractor shall be liable for any damages to the property. AGENCY shall understand the Contractor’s refusal or failure to board up, or clean-up debris to constitute a breach of contract. When adjacent property is affected or endangered by any work done under this contract, it shall be the responsibility of the Contractor to take whatever steps are necessary for the protection of the adjacent property and to notify the Owner thereof of such hazard.
C.
D.
3.
ASSIGNMENTS AND SUBSTITUTION A. The Contractor hereby agrees not to assign or sublet this contract without the written consent of the AGENCY. Request
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for the assignment shall be addressed to the Director of AGENCY B. In the event of any breach of this contract, the Owner may engage the services of another contractor to complete the work and deduct the cost of such completion from any amount due the Contractor hereunder.
4.
INDEMNIFICATION The Contractor covenants and agrees to and does hereby indemnify and hold harmless and defend the Owner, AGENCY, and the U.S. Department of Housing and Urban Development, their agents, servants of employees, from against any and all claims for injuries or damages to persons or property of whatever kind of character, whether real or asserted, arising out of this agreement of the work to be performed hereunder. The Contractor hereby assumes all liability and responsibility for injuries, claims or suits for damages, to persons or property of whatever kind or character, whether real or asserted, occurring during the time the work is being performed and arising out of the performance as same.
5.
INSURANCE A. Neither the Contractor nor any subcontractor shall commence work under this agreement until all insurance required under this paragraph has been secured and such insurance has been approved by the Owner (attach insurance certificate). Worker’s Compensation Insurance The Contractor shall take out and maintain during the life of this contract Worker’s Compensation Insurance for all his employees at the site of the project and, in case any work is sublet, the Contractor shall require the subcontractor similarly to provide Worker’s Compensation Insurance for all the subcontractor’s employees. $100,000 $500,000 $100,000 Each Accident Disease – Policy Limit Disease – Each Employee
B.
Employer’s Liability
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B.
Public Liability and Property Damage Insurance The Contractor shall take out and maintain during the life of this contract such public liability and property damage insurance as shall protect him and any subcontractor performing work covered by this contractor from claims for damage or personal injury, including accidental death, as well as from claims for property damage which may arise from operation under this contract, whether such operation by himself or by one directly or indirectly employed by either of them; and the amount of such insurance shall be as follows: The Contractor shall carry or require that there be carried Manufacturer’s and Contractor’s Public Liability Insurance in an amount not less than One Hundred Thousand Dollars ($100,000) for injuries including accidental death to any one person and for one accident, and protect the Contractor and his subcontractors against claims for injury or death of one or more than one person because of accidents which may occur or result from operations under the contract. Such insurance shall cover the use of all equipment including but not limited to excavating machinery, trenching machines, cranes, hoists, rollers, concrete mixers and motor vehicles in the construction of the rehabilitation embraced in this Contract. The Contractor shall carry during the life of the contract property damage insurance in the amount not less than Fifty Thousand Dollars ($50,000) to protect him and his subcontractors from claims for property damage, which might arise from operations under this contract. Automobile Liability Including owned, non-owned and hired autos (as applicable), in an amount of not less than One Million Dollars ($1,000,000) per occurrence, combined single limit, written on an occurrence form.
C.
D.
6.
WALL CONDITION The Contractor shall remove any and all crackling, scaling, peeling, chipping and loose paint and repaint all surfaces using two (2) coats of non-lead based paint. Where the paint film integrity of the applicable
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surface cannot be maintained, the paint shall be completely removed or the surface covered with a suitable material such as gypsum, wallboard, plywood or plaster before any repainting is undertaken. The Contractor agrees to comply with Federal Regulation 37 CFR 22732-3, which prohibits the use of lead-based paint in residential structures undergoing federally assisted construction or rehabilitation. 7. WARRANTS The Contactor hereby warrants and guarantees the improvements herein provided for a period of one year from the date of final acceptance of all work required by this contract. It is further agreed that the Contractor will furnish the Owner with all manufacturers’ and suppliers’ written guarantees and warranties covering materials and equipment furnished under this contract. 8. PROGRESS PAYMENTS Payment to the Contractor for work completed shall be made upon approval from AGENCY’s Construction inspector and City’s Inspector (if applicable) as provided in Exhibit B. 9. FINAL PAYMENT/LIENWAIVERS The Contractor shall, upon completion of the work, and upon final payment by the Owner, furnish an affidavit certifying that all charges for materials and any other expenses, incurred by the Contractor pertaining to the execution of this contract have been paid in full, to the end that no liens of any kind or character (save and except those between the parties hereto) may be affixed against the above described property. Final payment of the contract amount will be made only after final inspection and acceptance of all work to be performed by the Contractor and the Contractor’s satisfactory releases of liens or claims for liens by the Contractor, subcontractors, laborers, and materials suppliers. 10. TERMINATION A. The Owner may, at any time, terminate the Contract for the Owner’s convenience and without cause. Upon receipt of
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B.
written notice from the Owner of such termination, the Contractor shall cease operations as directed by the Owner in the notice; take actions necessary for the protection and preservation of the work; and terminate all existing Subcontracts, except for work directed to be performed prior to the effective termination date. In the case of such termination, the Contractor shall be entitled to receive compensation for approved work completed through the date of termination.
11.
ENTIRE AGREEMENT This instrument constitutes the entire agreement between the parties and no written oral agreement of any kind exists to charge the provisions hereof. No other work shall be done, nor additional monies paid unless provided for in a previously written contract, approved in writing by the Owner.
12.
CONFLICT OF INTEREST No member of the AGENCY staff shall share any part of this contract or receive any benefit from this contract.
13.
REPORTING The Contractor agrees to submit to the Owner upon request ay information concerning work performed or to be performed under this contract. Executed at LOCATION on this DATE. ___________________ _____________________ Contactor Inspector ____________________ Director, AGENCY ____________________ Witness
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Acquisition Rehab Contract Address: ________________ Owner: _________________ Contractor: ________________ Contract for Acquisition Rehab AGENCY, CITY, STATE THIS AGREEMENT made this ____________day of DATE, by and between AGENCY hereinafter referred as ―Owner‖ and ______________________ hereinafter referred to as ―Contractor‖. WITNESSETH: Owner does hereby employ the Contractor to do all the work and provide all labor, security, materials, tools, machinery, supervision, services, etc., necessary for the construction of the property known as ________________________ for the total sum of $_____________, all in accordance with the plans and specifications which are attached hereto as Attachment ―A‖ and expressly incorporated herein by reference and made a part hereof. 1. CONTRACT TERM A. The Contractor agrees to begin work to be performed under this contract within ten (10) calendar days from the date this Contract is signed by the Contractor. The work to be performed under this contract shall commence on DATE and substantial completion shall be achieved no later than DATE. Failure to complete work within the number of calendar days as stated including extension granted thereto, shall entitle the owner to deduct from the monies due to the Contractor as ―Liquidated Damages‖ an amount of $100.00 for each calendar day of delay in the completion of work.
B.
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2.
SCOPE OF WORK A. The Contractor does hereby agree that he will perform the work, in accordance with the plans and specification in Attachment A; diligently and in a good workmanlike manner, using the materials specified or materials of at least equal quality. The Contractor shall be responsible for obtaining all necessary permits for the work to be performed, and the work being done or any part thereof shall not be deemed completed until the Owner has accepted it as satisfactory. The Contractor shall, on a daily basis, keep the premises clean and clear of debris resulting from his contract work and the work of any and all subcontractors who may be used by the Contractor to complete this work. Upon completion of the work and final cleaning, all debris shall be removed from the construction site and the premises left clean. The cost of any clean up and removal of debris is the sole responsibility of the Contractor and is concluded within the fixed price of the work to be performed under this Agreement. The Contractor shall be responsible for boarding up all units not completed at the conclusion of each workday. The total cost of boarding up all units including the cost of materials is the sole responsibility of the Contractor and is included within the fixed price of the Contract. If the Contractor fails to board up or clean-up the units within a reasonable time after receipt of notice, AGENCY shall have the right to remedy the failure or defect at the Contractor’s expense. The Contractor shall be liable for any damages to the property. AGENCY shall understand the Contractor’s refusal or failure to board up, or clean-up debris to constitute a breach of contract. When adjacent property is affected or endangered by any work done under this contract, it shall be the responsibility of the Contractor to take whatever steps are necessary for the protection of the adjacent property and to notify the Owner thereof of such hazard.
B.
C.
D.
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3.
ASSIGNMENTS AND SUBSTITUTION A. The Contractor hereby agrees not to assign or sublet this contract without the written consent of the AGENCY. Request for the assignment shall be addressed to the Director of AGENCY In the event of any breach of this contract, the Owner may engage the services of another contractor to complete the work and deduct the cost of such completion from any amount due the Contractor hereunder.
B.
4.
INDEMNIFICATION The Contractor covenants and agrees to and does hereby indemnify and hold harmless and defend the Owner, AGENCY, and the U.S. Department of Housing and Urban Development, their agents, servants of employees, from against any and all claims for injuries or damages to persons or property of whatever kind of character, whether real or asserted, arising out of this agreement of the work to be performed hereunder. The Contractor hereby assumes all liability and responsibility for injuries, claims or suits for damages, to persons or property of whatever kind or character, whether real or asserted, occurring during the time the work is being performed and arising out of the performance as same.
5.
INSURANCE A. Neither the Contractor nor any subcontractor shall commence work under this agreement until all insurance required under this paragraph has been secured and such insurance has been approved by the Owner (attach insurance certificate). Worker’s Compensation Insurance The Contractor shall take out and maintain during the life of this contract Worker’s Compensation Insurance for all his employees at the site of the project and, in case any work is sublet, the Contractor shall require the subcontractor similarly
B.
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to provide Worker’s Compensation Insurance for all the subcontractor’s employees. Employer’s Liability
$100,000 $500,000 $100,000
Each Accident Disease – Policy Limit Disease – Each Employee
C.
Public Liability and Property Damage Insurance The Contractor shall take out and maintain during the life of this contract such public liability and property damage insurance as shall protect him and any subcontractor performing work covered by this contractor from claims for damage or personal injury, including accidental death, as well as from claims for property damage which may arise from operation under this contract, whether such operation by himself or by one directly or indirectly employed by either of them; and the amount of such insurance shall be as follows: The Contractor shall carry or require that there be carried Manufacturer’s and Contractor’s Public Liability Insurance in an amount not less than One Hundred Thousand Dollars ($100,000) for injuries including accidental death to any one person and for one accident, and protect the Contractor and his subcontractors against claims for injury or death of one or more than one person because of accidents which may occur or result from operations under the contract. Such insurance shall cover the use of all equipment including but not limited to excavating machinery, trenching machines, cranes, hoists, rollers, concrete mixers and motor vehicles in the construction of the rehabilitation embraced in this Contract. The Contractor shall carry during the life of the contract property damage insurance in the amount not less than Fifty Thousand Dollars ($50,000) to protect him and his subcontractors from claims for property damage, which might arise from operations under this contract. Automobile Liability Including owned, non-owned and hired autos (as applicable), in an amount of not less than One Million Dollars ($1,000,000)
D.
E.
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per occurrence, combined single limit, written on an occurrence form. 6. WALL CONDITION The Contractor shall remove any and all crackling, scaling, peeling, chipping and loose paint and repaint all surfaces using two (2) coats of non-lead based paint. Where the paint film integrity of the applicable surface cannot be maintained, the paint shall be completely removed or the surface covered with a suitable material such as gypsum, wallboard, plywood or plaster before any repainting is undertaken. The Contractor agrees to comply with Federal Regulation 37 CFR 22732-3, which prohibits the use of lead-based paint in residential structures undergoing federally assisted construction or rehabilitation. WARRANTS The Contactor hereby warrants and guarantees the improvements herein provided for a period of one year from the date of final acceptance of all work required by this contract. It is further agreed that the Contractor will furnish the Owner with all manufacturers’ and suppliers’ written guarantees and warranties covering materials and equipment furnished under this contract. PROGRESS PAYMENTS Payment to the Contractor for work completed shall be made upon approval from AGENCY’s Construction inspector and City’s Inspector (if applicable) as provided in Exhibit B. FINAL PAYMENT/LIENWAIVERS The Contractor shall, upon completion of the work, and upon final payment by the Owner, furnish an affidavit certifying that all charges for materials and any other expenses, incurred by the Contractor pertaining to the execution of this contract have been paid in full, to the end that no liens of any kind or character (save and except those between the parties hereto) may be affixed against the above described property. Final payment of the contract amount will be made only after final inspection and acceptance of all work to be performed by the Contractor and the Contractor’s satisfactory releases of liens or claims for liens by the Contractor, subcontractors, laborers, and materials suppliers.
7.
8.
9.
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10.
TERMINATION A. The Owner may, at any time, terminate the Contract for the Owner’s convenience and without cause. Upon receipt of written notice from the Owner of such termination, the Contractor shall cease operations as directed by the Owner in the notice; take actions necessary for the protection and preservation of the work; and terminate all existing Subcontracts, except for work directed to be performed prior to the effective termination date. In the case of such termination, the Contractor shall be entitled to receive compensation for approved work completed through the date of termination.
B.
11.
ENTIRE AGREEMENT This instrument constitutes the entire agreement between the parties and no written oral agreement of any kind exists to charge the provisions hereof. No other work shall be done, nor additional monies paid unless provided for in a previously written contract, approved in writing by the Owner. CONFLICT OF INTEREST No member of the AGENCY staff shall share any part of this contract or receive any benefit from this contract. REPORTING The Contractor agrees to submit to the Owner upon request ay information concerning work performed or to be performed under this contract. Executed at LOCATION on DATE: ___________________ Contactor ____________________ Director, AGENCY ____________________ Witness _____________________ Inspector
12.
13.
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CERTIFICATIONS I, NAME, on behalf of COMPANY, certify that I am the TITLE of the corporation named as Contractor herein, that NAME OF SIGNER who signed this Agreement on behalf of the Contractor was of said corporation; that said Agreement was and is within the scope of its corporate powers. CONTRACTOR SIGNATURE
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FHA Documents for Submission to the Mortgage Company by the Contractors Listed Below are the FHA Documents for Submission to the Mortgage Company by the Contractors. These Apply Only to New Construction. 1. Two Complete Sets of Plans and Specifications which Include: a. Site Plan Submitted for Building Permit b. Elevations c. Floor Plan Layout d. Details e. Final Survey of Site Plan after Final Inspection Builders Certification HUD Form—92541 Description of Material (FHA Specs) 1992-Model Energy Code Calculation* FHA Carpet Letter Certification (FHA Grade)* Subterranean Termite Treatment Builders Certification and Guarantee—NPCA-99A Final Survey (Plot Plans) Final Inspection 2-10 Year Home Buyers Warranty New Construction Subterranean Termite Soil Treatment Record— NPCA-99b
2. 3. 4. 5. 6. 7. 8. 9. 10.
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ACKNOWLEDGEMENTS
U.S. Department of Housing and Urban Development Washington, DC Neighborhood Reinvestment Corporation, Inc. Washington, DC United Housing Memphis, TN Gary Abbot, Executive Vice President Associated General Contractors of New Hampshire Bow, NH Gary Askerooth, Community Development Consultant San Antonio, TX Jim Erchul, Executive Director Dayton’s Bluff Neighborhood Housing Services Saint Paul, MN Bill Fondre´, Vice President G.W. Thiel, Inc. Carpenter Contractors Rolling Meadows, IL Royce E. Kennedy, Building Inspector & Zoning Administrator Village of Silver Lake Silver Lake, WI George Marks, Partner Kramer & Marks Architects Worcester, PA Thomas C. O’Brien, Esq. Gagliardi, O’Brien, Braden, Olson, & Capelli Salem, WI Fred Seifert Jr., Seifert Construction Corporation Mattituck, NY “To everyone who ever made us do over sand castles until we got it right”!
DISCLAIMER
While the information in this document is believed to be accurate, neither the authors, not the reviewers, nor the agencies noted in the acknowledgements, nor any of the employees or representatives make any warranty, guarantee, or representation, expressed or implied, with respect to the accuracy, effectiveness, or usefulness of any information, method, or material in the document, nor assumes any liability for the use of any information, methods, or materials, disclosed herein, or damages arising from such use. _____________________________________________________________________ NeighborWorks Training Institute 63