14 - Construction of single-family homes under the TDHCA Program Grant

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Item No. 14 Memorandum TO: Mayor, Mayor Pro -Tem & City Council Grayson Path, City Manager FROM: Charles Edwards, Resource Management & Consulting Co. SUBJECT: BID FROM RON DOE FOR CONSTRUCTION OF SINGLE-FAMILY HOMES UNDER THE TDHCA HOME PROGRAM GRANT DATE: June 28, 2021 Background: Paris participates in the Texas Department of Housing and Community Affairs (TDHCA) HOME program, which provides reconstruction of existing dilapidated owner occupied housing for qualified persons. Resource Management & Consulting Co. administers the program for the City to ensure grant compliance. To date, 46 applications have been received by the City. Eight (8) homes been approved by the TDHCA. Status of Issue: In October of 2020, requests for bids were issued by the City for the reconstruction of the homes. Two (2) bids were received, and a recommendation was made and accepted by council to accept the bid from Ron Doe Homes. Since this time, construction costs have risen significantly creating the need to re -bid the project. A request for bids was issued by the City on May 27, 2021. Two (2) bids were received at the bid opening on June 21, 2021, one from Ron Doe Homes and one from A T Construction. Bids were reviewed in accordance with grant requirements by Resource Management. A recommendation to accept the bids (bid tab attached) from Ron Doe Homes was made. Individual contracts will be entered into by the builder, City and HOME Program applicants upon State approval. Budget: The current available grant construction budget is $135,000 - $150,000. The City match per home is 15% of construction costs. This will come in part from waived fees and demolition services contributed by the City. The City budget for the program this fiscal year is $80,000.00. This would provide match for approximately eight (8) homes to be served. Recommendation: Accept the bid from Ron Doe Homes for the construction of single-family homes under the TDHCA HOME Program grant, authorizing the City Manager to negotiate and execute all necessary documents.