SP 91710: Freshservice Consultant

Chicago Housing Authority
Contract Requirements
CHA is committed to contracting with vendors who share our values for inclusive and
equitable contracting opportunities. CHA strives to be fair, transparent and practical, and
to optimize the use of public funds through purchasing decisions.
1. Summary of Contract Requirements
HUD Section
S3 Business
Type of 3 Davis- Bacon
M/W/DBE subcontracting (>
Contract (Labor Act
$250,000)
Hours)
Construction Yes Yes Yes Yes
Professional
Service
Yes No Yes No
(licensure
required)
Professional
Service (non-
Yes Yes Yes No
licensure
required)
Professional
Services
(direct Yes Yes No No
services to
residents)
Material &
Yes No Yes No
Supply
Minimum Contract Requirements:
Minority/Women/Disadvantaged Business Enterprises (M/W/DBEs)
Certified Minority, Women, and Disadvantaged Business Enterprises (M/W/DBEs) shall
have the maximum opportunity to participate in the performance of contracts financed in
whole or in part with federal funds. Vendors and their subcontractors or suppliers must
take all necessary and reasonable steps to ensure that M/W/DBEs have the maximum
opportunity to compete for and perform contracts financed in whole or in part by federal
funds. CHA establishes minimum thresholds for all contracts over $50,001. Vendors
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Chicago Housing Authority
Contract Requirements
unable to meet the requirement may propose indirect participation subject to CHA's
written approval.
Section 3 Business Subcontracting - For contracts >$250,000, vendors are required
to subcontract to Section 3 Businesses, unless self-performing. To locate a Section 3
Business, visit the Workforce Opportunity Resource Center (WORC) site. Professional
Services that directly provide social support services for CHA residents are not required
to sub-contract to Section 3 Businesses but are encouraged to sub-contract when
feasible. Vendors unable to meet the requirement may propose indirect participation
subject to CHA's written approval. These may include, but are not limited to mentorship
programs, internships, training, and employment opportunities for non-CHA funded
projects, or payment into CHA's Workforce & Education Fund.
Section 3 Labor Hours
CHA supports Section 3 of the HUD Act of 1968 (12 U.S.C. 1701u) ("Section 3") and its
requirements for Economic Opportunities for Low - and Very Low-Income Persons (24
CFR Part 75). which counts labor hours. All applicable contracts require at least 25% of
the labor hours performed on a project are done so with Section 3 workers and
businesses, of which 5% of those hours must be performed by Targeted Section 3
workers (i.e. CHA residents and HCV participants). Vendors will report these hours via
B2Gnow and/or LCPtracker or through required affidavits based on the contract type.
Davis-Bacon Act and Minimum Wage Requirements:
The Davis-Bacon Acts applies to construction contracts over $2,000 and ensures that all
construction employees are paid in compliance with wage decision of the US Department
of Labor'. Union contractors must ensure the terms of their contracts are in compliance
with wage requirements pursuant to the Davis-Bacon Act.
All CHA contracts must comply with the current local Minimum Wage requirement. The
Minimum Wage Requirements shall be specifically incorporated as a contractual
requirement in any award and agreement resulting from this solicitation for any of the
Selected Respondent's covered employees. The Respondent must consider the
Minimum Wage Requirement in determining its fees for services to be performed or
provided by the Respondent under its fee proposal and other submittals. Note that
Federal wage determinations under the Davis-Bacon Act or HUD-Determined Wage
Rates preempt any conflicting State prevailing wage rate or the Minimum Wage
Requirement when the State prevailing wage rate or the Minimum Wage Requirement is
higher than the Federally imposed wage rate (pursuant to the Preemption of State
Prevailing Wage Requirements (24 CFR 965.101).
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Chicago Housing Authority
Contract Requirements
If an employee is paid less than the prevailing wage for work performed on a construction
project, the employer must make the employee whole by paying them restitution.
The following chart indicates the goals set by the CHA for each type of contract.
Section 3 Labor
Section 3 Business Hours (25% of
Contract MBE/WBE/DBE
Type of Contract Subcontracting which 5% is
Amount Participation
(>$250,000) through CHA
resident hires)***
Construction $50,001+ 30% 10% 25%
Supply & Delivery $50,001 + 20% 3%* N/A
Professional
$50,001 + 20% 3%** 25%
Services
*Or indirect **Excludes direct support service providers *** Required regardless of contract amount
2. Utilization Plan:
This chart is a list of items needed to evaluate a full utilization Plan (UP). All respondents
to CHA solicitations must submit a UP which enables CHA to evaluate how they will fulfill
contract requirements.
To be Completed
Document Name Details
By
This Excel worksheet will list all subcontractors including
but not limited to all M/W/DBE and Section 3 Businesses
Utilization Plan
subcontracting for Direct and if applicable Indirect
(UP) M/W/DBE and
participation credit.
Section 3
Prime Contractor
Businesses
Total final hard cost will be utilized to calculate the
compliance denominator. Insurance, fees, A&E services &
permits are excluded.
Each M/W/DBE
If a Prime is a M/W/DBE and they are self-performing, they
and Section 3
must submit a Letter of Intent. A Letter of Intent for each
subcontractor listed
Letter of Intent sub-contractor that is MWD/BE or Section 3 Business must
on the UP including
also be submitted. The information outlined in the UP must
a self-performing
correspond with the Letters.
Prime Contractor
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Chicago Housing Authority
Contract Requirements
Each M/W/DBE
Letter of M/W/DBE listed on UP, This form must be submitted with every UP and Letter of
Certification including a self- Intent and include current certification letters. Applications
performing Prime are not accepted.
Contractor
This form is only to be used if a vendor cannot meet their
subcontracting requirements and all good-faith efforts,
Waiver Request- including indirect participation, have been exhausted. The
Prime Contractor
M/W/DBE form must include (1) the scope/statement of work and (2)
the reason the Prime cannot meet the commitments
outlined.
If vendor is unable to subcontract to a Section 3 Business
in full or in part, based on the total contract value they will
Other Economic
need to propose indirect participation through the OEO
Opportunities Prime Contractor
section on the UP, or make commensurate payment at
(OEO)
contract signing into the Workforce and Education Fund,
subject to approval by CHA.
3. Reporting Requirements:
Contract
System Details
Requirement
Certified Payroll Reports must be entered into LCPtracker
Construction weekly. This system also tracks compliance with the Davis -
LCPtracker
Contracts Bacon Act and Section 3 hours.
Professional Payments must be entered into B2Gnow for every pay
Services B2GNow application monthly. This system tracks and verifies Prime and
Subcontractor payments made and received.
Additional Information:
(a) COUNTING M/W/DBE AND SECTION 3 BUSINESS (S3B) CREDIT: A self-
performing business that is certified as a Section 3 Business and certified as a M/W/DBE
may proportionally propose percentage credit toward each designation.
(b) PROVIDING OPPORTUNITIES TO SECTION 3 WORKERS: I: Pursuant to the
Additional Provisions for Public Housing Financial Assistance (24 CFR 75.9, Prime and
sub-contractors (including Section 3 Businesses) on CHA/HUD-funded contracts must
ensure that Section 3 workers are provided economic opportunities with the following
preference when applicable: a) residents of the project where the assistance is being
provided; b) residents of other public housing or HCV participants; c) Youthbuild
participants; and d) resident of the metropolitan area.
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Chicago Housing Authority
Contract Requirements
(c) SUBSTITUTION/REMOVAL OF SUBCONTRACTOR: A prime contractor that needs
to remove or substitute a subcontractor on its approved utilization plan must submit a
written request for the removal or substitution of the subcontractor concerned. Only when
Department of Procurement and Contracts (DPC) approves such a request in writing can
the removal or substitution of the subcontractor be done by the prime contractor. Under
no circumstance should a prime contractor unilaterally remove or substitute a
subcontractor on its CHA/HUD-funded contract without prior approval by DPC.
Definitions
A Section 3 Business concern is a business that meets at least one of the following criteria
documented within the last six-month period: (a) At least 51 percent owned and controlled
by low-or very low-income persons; (b) Over 75 percent of the labor hours performed for
the business over the prior three-month period are perfomed by Section 3 workers; or (c)
A business at least 51 percent owned and controlled by current public housing residents
or residents who currenlty live in Section 8-assisted housing
The Davis-Bacon Act directs the US Department of Labor to determine prevailing wage
rates.The Davis-Bacon Act apllies to contractors and subcontractors perforning work on
federal or District of Columbia contracts.The Davis-Bacon Act prevailing wage provisions
apply to the "Related Acts," under which federal agencies assist construction projects
through grants, loans, loan guarantees, and insurance.
Indirect Participation refers to the value of payments made to MWD/BE firms for work that
is done outside of the proposed project or of a commensurate value to Section 3 Business
or CHA residents/participants in other economic opportunities.
Additional information on CHA's contract requirements and forms can be found
at https://www.thecha.org/how-do-business-cha
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