Thank you for your feedback. Below is the full text of the resolution I will be proposing at our meeting. It builds on the RE committee's proposal and incorporates all of your requests, as best as I could.
ROSEMONT RFP EVALUATION RESOLUTION
WHEREAS the SHFC Board has long deliberated over how best to address the property Rosemont at Oak Valley,
WHEREAS upon purchasing the property in September of 2019, Winter Storm Uri devastated the property in February of 2021,
WHEREAS subsequent to Winter Storm Uri the residents of Rosemont have faced hardships that SHFC is not fully organizationally or financially equipped to fully address,
WHEREAS the SHFC Board has consensus that disposing of the property to a mission-minded organization would be in the best interest of the residents of Rosemont,
WHEREAS SHFC has published a Request for Proposals (RFP) for Rosemont,
NOW THEREFORE BE IT RESOLVED that the SHFC Board requests SHFC staff to prepare evaluation scores utilizing the scoring system specified in the appendix below,
BE IT FURTHER RESOLVED that the scores and recommendations prepared by staff resulting from the use of the scoring system specified in the appendix below are not binding to the Board,
BE IT FURTHER RESOLVED that the initial proposal rankings resulting from the use of the scoring system specified in the appendix below are not binding to the Board and are intended to facilitate discussion and the possible selection of a winning bid,
BE IT FURTHER RESOLVED that SHFC staff is encouraged to make reasonable judgements in interpreting criteria and scoring proposals wherever the scoring system specified in the appendix below do not provide sufficient clarity.
All proposals will receive a (1) pass/fail tenant responsiveness score and (2) a point-based proposal value score.
Tenant Responsiveness Score
A proposal will receive a “pass” designation on this measure if it meets all of the following sub-criteria:
Detail how it is a mission-driven organization and has achieved its mission
Provide a permanent affordability plan that features a commitment of a 99-year restrictive covenant be placed on the property that guarantees affordability at at 60% AMI rent levels, provides City of Austin Rental Housing Development Assistance tenant protections, and will restrict rent increases on renewing tenants to a maximum of 3% or the rate of inflation per year or a reasonably equivalent plan that covers rent levels, tenant protections, and rent increase restrictions
Detail how it plans to rehabilitate and maintain the property, including using licensed professional contractors and conducting mold and moisture testing. The following areas must be addressed in the proposal: mailboxes, lighting, security, root causes of mold, leaks, appliances, foundation issues, and ensuring all units have walls, ceilings and flooring
Detail what its plans will be to temporarily relocate tenants for property rehabilitation and how it will ensure that tenants are treated fairly, including that tenants will not experience an increased financial burden as a result of the relocation
Proposal will commit to not displace existing tenants by imposing screening criteria in excess of what is required by government funders
Commit to not increasing rents for at least a year after purchase or until renovations are completed, whichever is longer
Detail the process of how they will re-evaluate rent increases that have been imposed since Winter Storm Uri
Proposals that do not meet all of this criteria will be given a “fail” designation on tenant responsiveness.
There are a total of 100 points in the value scorecard, with up to 10 possible bonus points.
Price (10 points)
The bid is awarded 10 points if it meets or exceeds the minimum acceptable price set by the Board during executive session. Partial points may not be awarded; it is zero or 10.
Funding Availability (5 points)
The bid is awarded 5 points if it provides credible evidence that it will secure required funding. Partial points may not be awarded; it is zero or 5.
Permanent Affordability Plan (35 points)
The bid is awarded points in accordance with the following sub-criteria scale.
The developer will enter into a 99-year restrictive covenant ensuring provision of 280 affordable units (all at or under 60% AMI, averaging out to 50% AMI) after the expiration of the existing affordability requirements (25 points)
Rent increases on renewing tenants will not increase more than the greater of 3% or the rate of inflation (8 points)
The bid commits to not increasing rent on tenants relocated for rehabilitation (2 points)
If the bid can not commit to the full 280 affordable units, then points will be prorated by share of the total target unit count. For example, 140 affordable units (50% of the target unit count) would net 12.5 points (50% of the points).
Tenant Protections (20 points)
The bid is awarded 15 points if it meets ALL of the following sub-criteria:
The new owner agrees to meet all of the City’s RHDA tenant protections
The new owner will agree that current tenants have the right to return to Rosemont in the event of displacement as a result of rehabilitation
The new owner will not charge rent to tenants while they are out of their unit
The new owner will allow tenants that do not want to relocate to break their lease
The bid is awarded 5 points if it meets the following sub-criteria:
The new owner will test for dangerous mold in all units
Development and Rehabilitation Experience (10 points)
The bid is awarded 5 points for each item in the sub-criteria below for up to a total of 10 points.
5 years or more of affordable multifamily housing development and/or operation
Development and/or operation of 3 or more projects in Travis County
Successfully completed rehabilitation project above 20 units
Property Management (10 points)
The bid is awarded 10 points if it meets ALL of the following criteria:
The proposed property management company can credibly evidence it has a track-record of achieving high satisfaction with tenants in affordable housing developments
The proposed property company will commit to fixing broken mailboxes within 30 days of starting management
The proposed property management company will commit to hire a security company
The proposed property management company will explicitly commit to complete all repairs, including: causes of dangerous mold, leaks, broken appliances, foundation issues
The proposed property management company will ensure every unit has walls, floors and ceilings
Support Services (10 points)
The bid is awarded 10 point if it provides (a) ALL of the following services:
On-site child programs
On-site youth services
On-site adult services
Transportation for residents to off-site support services
AND (b) provides evidence that the purchaser and its partners have a credible track record of achieving high tenant satisfaction with resident services (including children’s services). Evidence of tenant satisfaction may include satisfactory metrics for: response time to repairs, completed repair requests, correction of code violations, and attention to tenant health, safety and security.
Bonus: Price (10 points)
A bonus of up to 10 points is awarded to a proposal that meets or exceeds the bonus thresholds set by the Board during executive session. Partial points are allowed on the scale selected by the Board in Executive Session.