Subject: Proposal for Foster City Home Rehabilitation Program Organization & Project Overview
Habitat for Humanity Greater San Francisco (HGSF), a 501(c)(3) organization and one of approximately 1,000+ registered U.S. affiliates of Habitat for Humanity International, was formed in August 2008 through the merger of Peninsula Habitat for Humanity and Habitat for Humanity San Francisco. Prior to the merger, Peninsula Habitat had served the community since 1989, and Habitat San Francisco had served the community since 1992. HGSF has provided homeownership opportunities for 306 local families in the past 35+ years and remains one of very few providers of affordable homeownership opportunities in Marin, San Francisco, and San Mateo counties serving households that earn below 80% of the Area Median Income (AMI). HGSF has built 286 homes in these three geographic communities with zero homes foreclosed.
Our affiliate takes a multi-disciplinary approach to homeownership, serving as the homebuilder, mortgage company, educator, and long-term partner. For over 35 years our teams have been developing new affordable housing opportunities, and more recently refurbishing existing homes to address low-income household displacement in our tri-County service area through our Home Preservation Program. Our home preservation program focuses on repairs that address safety, accessibility, and health for homeowners on limited incomes.
From installing new windows to putting in insulation or replacing stairs, this work helps keep longstanding homeowners in their homes.
The Home Preservation program is supported by a dedicated team of full-time professionals with extensive experience in affordable housing and residential rehabilitation. Abraham Vicente, Senior Home Preservation and Outreach Specialist, leads outreach for the Home Preservation Program, helps prepare homeowner loan packages, and supports homeowners through the application process. Lidia Vieyra, the Senior Loan Officer, is responsible for underwriting loans, ensuring applicant eligibility, preparing loan documents, and closing loans. Pamela Diaz serves as the Home Preservation Construction Manager, leveraging more than eight years of experience in construction and bid management for residential housing to oversee the Construction Program. The Home Preservation Project Managers, Kevis Halphen and Conor Hanvey, and Home Preservation Technician, Patrick Kelly, conduct initial home site visits, develop work scopes and budgets, and manage various aspects of repair work, including coordinating in-house labor, subcontractors, and tracking project costs.
The goal of this project is to preserve affordable homeownership in Foster City through the rehabilitation of homes occupied by low-income homeowners, particularly elderly homeowners, where deferred maintenance places them at risk of injury, poor health, and displacement. This funding will help cover construction and administrative costs associated with operating this program.
With support from Foster City, HGSF will provide approximately 3 rehab loans per year in amounts of up to $75,000 per loan to low-income homeowners (including mobile home and houseboat owners) at or below 80% of AMI. Loan payments will be deferred for a period of 30 years and loans will have a 0% interest rate. Once a loan is paid back, funds will go back into a HGSF-controlled reuse account. HGSF will administer all aspects of this program, originate all loans, as well as self-perform all repairs using in-house, dedicated construction staff or selected subcontractors that we will oversee.
HGSF will provide prospective clients with a description of income eligibility requirements and a list of documents necessary to prove household income. To be considered for a rehab, an applicant must submit income documentation for all eligible household members and statements for assets. HGSF’s Loan Officers will review all documents to verify sources of income and use a standard income calculation worksheet to ensure that the maximum household income is at or below 80% of AMI for San Mateo County per the State of California Housing and Community Development Department (HCD) income limits.
HGSF typically holds a lottery to identify households. Once accepted, HGSF staff will inspect the home, discuss areas of concern with the applicant, and confirm and determine that the repairs fall within the allowable categories. Based on the findings documented during the home assessment, staff will develop a scope of work that reflects eligible improvements. The Scope of Work is the document used to itemize all eligible improvements proposed to be completed and develop an overall cost estimate for the eligible improvements. The cost estimate will form the basis of the loan amount.
HGSF secures building permits and other approvals following home inspections and prior to the start of rehab work. The cost estimate shall include a contingency to account for any unforeseen costs.
HGSF’s mission is founded in social equity. As such, our projects have always and continue to target underserved communities. Emphasis will be placed on marketing to homeowners from diverse backgrounds through targeted outreach through specific institutions in San Mateo County.
Fees
Fee Amount Per Loan Award Total – 9 Loans
Loan Cap $75,000 $675,000
Admin Cap 25% or $18,750 $168,750
Lending & Servicing *$2,000 $18,000
Total Requesting $861,750
*See Project Construction Management Fees and Team section for more details on amount City will pay to Consultant for uncompleted loans.
No Conflict of Interest & Acknowledgement
Conflict of Interest
There is no conflict of interest relative to the services to be provided pursuant to this RFP.
Habitat for Humanity Greater San Francisco, Inc. (“HHGSF”) and its leadership and staff are subject to legal requirements relating to conflicts of interest. For example:
• The California Nonprofit Public Benefit Corporation Law (the “Nonprofit Law”) limits transactions between HHGSF and its directors, and provides that a majority of the board of directors must meet a specified independence standard. • California corporation law principles provide that directors owe HHGSF a duty of loyalty, which requires a director to act in the interest of the organization rather than in the personal interest of the director.
• Federal tax law and HHGSF’s Articles of Incorporation provide that no part of the net earnings or assets of HHGSF may inure to (benefit) its directors, officers, and other private persons.
• Federal tax law requires public disclosure regarding, among other things, relationships between HHGSF and its leaders, the independence of HHGSF’s board, and the compensation of HHGSF’s leadership.
HHGSF adopted this Conflict of Interest Policy (this “Policy”) and these procedures to facilitate compliance with these laws and provide procedures for addressing situations that involve, or may appear to involve, conflicts of interest. These procedures shall be administered by HHGSF’s Chief Operating Officer. The full Conflict of Interest Policy adopted by our Board of Directors is available upon request.
Acknowledgment
Habitat for Humanity Greater San Francisco will have a valid business license in Foster City during the term of the award.
Draft Scope of Work
SCOPE OF WORK
FOSTER CITY HOME REHABILITATION PROGRAM
(Will be included in Exhibit A of Agreement)
1.0 Basic Services
CONSULTANT will provide services of program administration, distribution of loan funding, and performance of construction work. The Home Rehabilitation Program is described below.
a. Program Summary: Foster City’s Home Rehabilitation Program uses a CONSULTANT to aid in the preservation of homes owned by low and very low - income households in Foster City. The City provides funding for the Program and CONSULTANT manages the loan Program, serves as the lender, and manages and provides construction services for each project.
b. Program Goal: The Program goal is to finance and construct 18 low -income Homeowner rehabilitation projects by 2031 to support housing preservation. The City of Foster City’s 2023 -2031 Housing Element Program H -B-2-a calls for 18 new loans by 2031, or three (3) per year, including a total of nine (9) very low - income loans and nine (9) low-income loans.
EDIT: “Construct” should be changed to “repair”.
EDIT: Add “home repair” between “18 new” and “loans” so it reads “18 new home repair loans”.
NOTE: Habitat is able and willing to perform all projects over a shorter time period should funding be available.
c. Program Funding: Funding for this Agreement shall be $500,000 for loans, excluding CONSULTANT FEES. The objective will be to issue three (3) or more loans per year for the term of the Agreement with the CONSULTANT. d. CONSULTANT Fees: City shall pay CONSULTANT fees for program management, including loan administration and construction management, as described in Exhibit B of this executed Agreement.
e. Program Participants: participants in the program include the City of Foster City (“City”): provides funding for loans and helps promote the Program; the CONSULTANT: administers and manages the program, lends loans, serves as general contractor for rehabil itation projects; and, Low and very low -income Foster City homeowners (“Homeowner” or “Applicant”): commit to repayment
of the loan upon expiration of the loan or another repayment event, as defined in the Program Guidelines.
f. Program Period: the Home Rehabilitation Program will start by January 1, 2026 and continue until December 31, 2031 to coincide with the 2023 -2031 Housing Element cycle. The City may elect to extend the Program through the next Housing Element Cycle. The City will re-evaluate program needs and funding for years 2029-2031. The term of the Agreement with the CONSULTANT shall be for a period of time as determined by the City within the Program Period.
NOTE/EDIT: Habitat is proposing a three-year program period starting January 1, 2026 through December 31, 2028 with potential for additional funding and extension through December 31, 2031.
g. Term of Agreement: the term of the Agreement for Professional Services between the City and CONSULTANT will be for two years with a one-year optional renewal.
1. Program Provisions
1. Program Applicants: Foster City Homeowners will be invited to apply to the Program. The City of Foster City will promote the Program using a variety of methods including methods such as advertising in the Islander and the City’s newsletter, social media, a nd the City’s website, and direct mail to targeted census tracts.
EDIT: Add the following line at the end of the paragraph “Habitat will conduct outreach to potential program participants through a robust range of touch points including presentations and flyers to Community and Faith Based Organizations, direct mail, email and social media.”
2. Application Processing: CONSULTANT will process applications, loan and project approvals, issue and administer loans pursuant to CONSULTANT’S application processing procedures, which shall be submitted to and approved by the City.
3. Application Selection: CONSULTANT will hold a lottery, or other method approved by the City, to select Applicants to apply for the Program and create a waitlist or interest list.
a. Preference: There is a preference for Applicants with property located in a census tract with geographic targeting for disabilities (6080.25 or 6083) and/or if the Applicant falls into is in one or more of the following demographic categories: a veteran of the US Armed Forces; someone with a disability; a senior, aged 62 or over.
b. Income Eligibility: homeowners with household incomes of less than 80% of Area Median Income (AMI) using income limits issued by the STATE
OF CALIFORNIA HOUSING AND COMMUNITY DEVELOPMENT DEPARTMENT (HCD) will be eligible
for low-income loans, and homeowners with incomes of less than 50% of AMI using income limits from HCD will be eligible for very low-income loans.
4. Loan Terms
a. CONSULTANT will underwrite and issue loans according to approved Program Guidelines.
EDIT: Add after the first sentence “Upon completion, CONSULTANT will move loans to AmeriNat for servicing.”
b. CONSULTANT will monitor and implement repayment events. A repayment event, including the expiration of the loan, breach of the Program rules, sale of the property, and other factors as specified in the Program Guidelines, require repayment of the loan in full.
c. CONSULTANT will process Loan repayments that occur prior to termination of this Agreement with the CONSULTANT will be transferred to the Loan Fund for re-use in the Program. Issuing of new loans will end at the termination of the Agreement with the CONSULT ANT unless a renewal is executed. After Agreement termination, CONSULTANT agrees to reimburse the City of all loan funds.
EDIT: replace “with the CONSULTANT will be transferred” to “with repayments being transferred”
EDIT: Delete final sentence in paragraph and replace with “At the end of the 3 year grant period, any funds in the reuse account will remain there at termination of agreement .”
5. Construction Provisions
a. CONSULTANT will manage and perform construction using a limited selection of materials, finishes, and fixtures.
b. CONSULTANT’s construction team includes their employees and contractors, and, at their discretion, volunteers, if applicable.
EDIT: add at the end of the sentence “and the homeowner agrees.”
c. CONSULTANT will maintain a valid business license with the City of Foster City during the term of the Agreement.
d. CONSULTANT will comply with prevailing wage laws, if applicable.
3.0 Payments
a. The City will pay the CONSULTANT per Exhibit B for this Agreement within 30 days of receipt of invoices, provided the City has sufficient funding to continue the program.
EDIT: Add after the first sentence “This includes the initial $500,000 of funds for lending.”
b. CONSULTANT will issue loans to eligible applicants by the expiration of this Agreement. CONSULTANT will refund any unused award or administration funds to the City of Foster City within 30 days of the termination of this Agreement. c. CONSULTANT is responsible for payment of awards to homeowners and obtaining proper documentation and receipts, or, if work is performed by CONSULTANT, keeping appropriate accounting records.
EDIT: “payment of awards” should be changed to “lending”.
4.0 Reporting
CONSULTANT shall submit annual reports to the City of Foster City per the Program Guidelines.
Draft Program
Guidelines
PROGRAM GUIDELINES
FOSTER CITY HOME REHABILITATION PROGRAM
(Will be included in Exhibit A of Agreement)
PART ONE: APPLICANT AND PROPERTY REQUIREMENTS
1. Applicant Qualifications
• The Applicant is the Owner of the Property
• The Property is the primary residence of the Owner.
• The Applicant does not have any other loans issued through or by the City of Foster City.
• The Applicant’s household income at time of application does not exceed the State of California Housing and Community Development Department (HCD) income limits for 50% of AMI for very low -income households or 80% AMI for low-income households.
• Applicant agrees to allow CONSULTANT to certify their income using CONSULTANT’s standard income certification process.
2. Eligible Properties
• The property is a single dwelling unit, attached or detached, or duplex located in Foster City.
• There is no other active loan through the City of Foster City for the property.
• The property has two or fewer other loans, including a mortgage, and the loan-to- value of the loans is no higher than 90% for all loans.
PART TWO: PROJECT ELIGIBILITY
1. Project Requirements
• Projects will be managed and constructed by CONSULTANT.
EDIT: change this sentence to “Projects, including construction, will be managed by CONSULTANT.”
• The project meets accessibility requirements, if applicable. • The project complies with local and state building codes and permit requirements.
• CONSULTANT agrees to comply with Federal and State prevailing wage laws.
EDIT: add “, if applicable” to the end of the sentence.
2. Eligible Uses of Loan Funds
• Loan funds may be used for construction materials and labor for rehabilitation of an existing unit. Typical items include, but are not limited to, window replacement, roof repair or replacement, kitchen remodeling, bathroom remodeling, flooring replacement , and installation of solar photovoltaic panels.
EDIT: End the sentence after “replacement” and change “flooring” to “flooring repair and” so it should read “flooring repair and replacement.” and delete “and installation of solar photovoltaic panels”.
EDIT: Add the following sentence to the end of the paragraph “CONSULTANT may provide homeowners with referrals to partners that provide installation of solar photovoltaic panels as a grant to the homeowner.”
• Rehabilitation is defined as any construction work or replacement requiring a city - issued permit that does not add square footage to the Property, or work that does not require a city permit that results in an upgrade to the home such as painting, replacing appliances, installation of new hardware, new flooring, or safety-related equipment in bathrooms, etc. Please note that install ation must be performed according to the manufacturer’s instructions.
• Demolition work necessary for the rehabilitation.
• Site work, such as water/sewer/septic repair or replacement, or utility improvements.
• Permit costs beyond those that are waived through participation in this Program.
• Other hard or soft costs approved at the discretion of the City
2.3 Ineligible Projects/Uses of Funds
• Building additions resulting in additional square footage to the building.
• Unreasonable costs. CONSULTANT will determine, in its sole discretion, costs deemed excessive or unreasonable or uses deemed ineligible. Ineligible uses of funding include, but are not limited to, costs associated with construction items or materials of a luxury nature or furnishings.
PART THREE: LOAN TERMS
1. Basic Terms
Loan terms, including term of loan, interest rate, deferred payment schedule or balloon payment, downpayment and other loan terms shall be determined by the City prior to execution of the Agreement with the CONSULTANT. Loan terms are as follows:
a. Maximum loan amount: $ , including hard and soft costs.
EDIT: $75,000 or as agreed upon
b. Loan term: years
EDIT: 30 year
c. Interest rate for low-income loans: %
EDIT: 0% or as agreed
d. Interest rate for very low-income loans: %
EDIT: 0% or as agreed
e. Downpayment amount, if any: $
EDIT: delete this bullet; there will be no downpayment
f. Monthly or annual payment amount, if any:
EDIT: delete this bullet; payments are deferred for 30 years
g. Payments deferred for years or balloon payment due upon loan expiration or repayment event as described below.
EDIT: 30 years
2. Additional Loan Provisions
• Subordination is permitted to primary mortgage and home equity loan/line of credit (other situations subject to written approval by the City). • The City retains the right to sell the loan.
• Loan signatories: spouses and registered domestic partners shall sign the Loan Documents unless title is clearly held as the owner’s sole and separate Property.
EDIT: Delete “The City retains the right to sell the loan.” EDIT: Change “spouses and registered domestic partners” to “individuals on title”.
• Non-occupant parents, ex-spouses, siblings, and/or children who are listed on title to the real Property or as registered owners of the unit will be
required to co -sign the Loan Documents and shall be equally liable to repay the Rehabilitation Loan.
• The construction of the Project must be completed within 12 months of loan approval. Completion is defined as the date of issuance of the Temporary Occupancy Certificate.
EDIT: Change “Temporary Occupancy Certificate” to “Signed permit card or certificate of occupancy.”
3. Repayment events
The loan shall be payable in full to the City of Foster City, with any accrued interest, within 30 days of any of the following events:
EDIT: Change “City of Foster City” to “CONSULTANT, to be held in a reuse account,”
1. The loan expires without execution of an extension.
2. There is a change in Property ownership: the unit or any interest therein is sold, conveyed, or transferred.
3. The Homeowner dies and the Loan is not assumed by another eligible borrower.
EDIT: change “dies” to “passes away”
4. The Property is no longer owner -occupied, or the Homeowner no longer occupies the unit as their principal residence for reasons with limited exceptions.
5. The lot is split.
6. The Homeowner breaches one or more provisions of the Loan Documents that remains uncured for 30 or more days.
7. Property taxes or mortgage on the Property become delinquent.
8. The Homeowner fails to maintain hazard insurance for the Property.
EDIT: Add “or provide proof of” after “maintain”.
PART FOUR: SELECTION PROCESS
1. Selection Process
• CONSULTANT will manage the application and lottery process to create a waitlist, or other process approved by the City. • Application deadlines shall be set annually by CONSULTANT.
EDIT: delete “annually”.
• Applications meeting the following criteria will receive a preference:
o First Priority: The Property is located in census tract with geographic targeting for disabilities (6080.25 or 6083) and/or the Applicant falls into is in one or more of the following demographic categories: a veteran of the US Armed Forces; someone with a disability; a senior, aged 62 or over.
o Second Priority: All other income-qualified Applicants.
2. Steps in Processing Applications:
a. Applicant submits a Program application and application fee, if applicable, to CONSULTANT by the application deadline. The application shall include Homeowner information, property information, income data, and a project summary.
EDIT: delete “and application fee, if applicable,”.
EDIT: delete “and a project summary”, add “and” before “income data” end sentence after “data”.
EDIT: Add at end of paragraph “There is no application fee for this program.”
b. CONSULTANT sorts applications by preference category, runs a digital lottery to create a waitlist, or other method approved by the City, and notifies applicants of their place on the waitlist. Applicants who are not selected for eligibility review will rem ain on the waitlist. Applicants are responsible for providing current contact information.
c. CONSULTANT notifies Applicants in preference waitlist order to initiate the application eligibility review process.
d. Upon CONSULTANT’s approval of the application, CONSULTANT will provide pre- approval authorization and reserve available Loan funds for the individual project for a period of 90 days.
EDIT: change “for a period of 90 days” to “after construction contract is signed.”
e. CONSULTANT will refund the application fee, if applicable, if the application is ineligible for the Program.
EDIT: delete this entire bullet.
f. CONSULTANT will conduct project feasibility, schedule, and cost estimate report.
g. If the project is approved for eligibility, the Applicant and CONSULTANT will execute Loan and Project Agreements.
h. Homeowners will also have access to no -cost “office hours” with a Technical Assistance
advisor to answer any questions about their project.
i. CONSULTANT will obtain all required permits and City approvals and manage construction of the project.
j. CONSULTANT has 12 months to construct the project.
EDIT: change “construct the project” to “complete the construction work identified in the Construction Scope of Work.”
PART FIVE: ONGOING OBLIGATIONS
1. Ongoing Homeowner Obligations
Homeowners have the following ongoing obligations during the Application Period and, if approved, during the term of the loan:
• Provide all relevant documentation for eligibility, including property ownership and financing documentation, income certification and preference verification.
• Submit a complete application and application fee if applicable.
Incomplete applications will be rejected. The application fee will be refunded if the application is deemed ineligible for the Program, and for approved applications within 30 days of the initiation of construction. If the Homeowner is approved but declines to proceed, the application fee, if applicable, is non-refundable to offset administrative costs. • Execute and comply with all terms of the Loan Agreement and the Project Agreement.
• Notify CONSULTANT of any of the repayment events as outlined in Table 1 below and submit an annual affidavit that no loan repayment events have occurred in the last year and indicate if any repayment events are anticipated in the next year.
• Pay the loan principal and interest in full, to the City of Foster City upon an eligible Repayment Event.
Table 1. Repayment Events
# Repayment Event Homeowner
must notify
CONSULTANT
and
the City of event
Repayment
Deadline
1 There is a change in
Property ownership: the
unit or any interest
therein is sold,
conveyed, or
transferred
30 days prior to
event
Upon date of close
of escrow,
conveyance, or
transfer
2 The Homeowner dies and
the Loan is not assumed
by another eligible
borrower
Within 30 days
after event
Within 60 days after
event
3 The Property is no
longer owner-
occupied, or the
Homeowner no longer
occupies the unit as
their principal
residence for
reasons with limited
exceptions
30 days prior to
event
Within 30 days of
event
4 The loan expires without
execution of an
extension; the Loan Term
may be extended for five
(5)-year increments up to
a maximum
of 30 years
n/a –
CONSULTANT
will notify
Homeowner
Upon expiration
date
5 The lot is split 30 days prior to
event
Within 30 days of
event
6 The Homeowner breaches
one or more provisions of
the Loan or Project
Agreement
that remains uncured for
30 or more days
Within 30 days of
breach
Within 30 days of
event
7 Property taxes or
mortgage on the Property
become
delinquent
Within 30 days
after event
Within 60 days of
event
8 The Homeowner fails to
maintain hazard insurance
for
the Property
Within 30 days
after event
Within 60 days of
event
2. Ongoing Obligations of CONSULTANT
CONSULTANT has the following ongoing obligations during the Program Period:
• Determine lottery dates annually and coordinate with the City to ensure promotion of the Program prior to the deadlines. • Manage the application, lottery, and approval process. • Underwrite and administer loans.
• Submit annual reports to the City on loan and construction activities, including property addresses, loan amounts and terms, construction documents, loan fund balance, and other information as requested by the City.
• Maintain application, loan, and project files for a time period according to the City of Foster City’s Records Retention Policy.
• Permit the City to inspect or audit files upon request and with reasonable notice.
• Inform the City of any loan repayment events that occur prior to or on date of termination of this Agreement and deposit any loan repayments into the loan fund.
• Remit to the City within 30 days any remaining unused loan funds after termination of this Agreement, unless the City agrees to extend the Program to the next housing Element Cycle.
• Submit invoices to the City of Foster City for CONSULTANT fees within 30 days of loan approval.
• Provide a warranty for construction work for a minimum of one year. • Coordinate with the City regarding required documentation and support materials for additional opportunities to expand funding for the Program.
• Comply with reporting and records requirements as stated in Sections
5.4 and 5.5 below.
3. Ongoing Obligations of City of Foster City
The City has the following ongoing obligations during the Program Period:
• Promote the Program on the City’s website, social media platforms, electronic billboard, electronic newsletter, etc., as long as funding remains available.
• Payment to CONSULTANT within 30 days of receipt of invoices. • Continue to seek additional funding opportunities for the Program. • Conduct annual monitoring of loans and administer any repayment events.
• The City will put a lien on any property in which the Homeowner fails to meet the loan repayment deadline.
4. Submit Reporting to City of Foster City on Program Funding a. CONSULTANT shall submit a spreadsheet to the City of Foster City annually with data for each award, including homeowner name, Foster City property address, loan amount, project description, project timeline, and permit data. The report shall be due by January 31 each year.
b. CONSULTANT shall provide a final report upon the completion of all homeowner loans. The report shall include the number of homeowners served, names and addresses, project descriptions, dates of loan, loan interest rate, loan term, payments, outstanding pay ments, and amount of loans for each homeowner.
5. Maintain Records and Documentation
a. For each approved loan, CONSULTANT shall maintain a copy of the application, eligibility determination documentation, project description, project documentation, a form that shows the total project cost and date of completion of the project and the name of the CONSULTANT representative who approved the loan, the loan funding amount awarded, receipts or invoices and copies of checks for payments related to the project. b. CONSULTANT agrees to keep electronic and/or hardcopy of documentation for a period of years as directed by the City to comply with the City’s Records Retention Policy.
6. Program Marketing
a. CONSULTANT shall market the program on its website and through the distribution flyers provided to CONSULTANT by the City to interested parties, tabling, if applicable, and other means as appropriate. b. CONSULTANT will coordinate with the City to promote the program on the City’s website, electronic billboard, electronic newsletter, and, if budget permits, through advertising in the Islander and/or direct mail to homeowners in low-income census tracts.
Professional Services
Agreement
Professional Services Agreement
• General Liability
o Request was for $2M occurrence / $5M aggregate.
EDIT: $4M aggregate.
• Auto Liability
o Request was for $2M per occurrence and to name City as Additional Insured and Waiver of Subrogation.
EDIT: delete “and to name City as Additional Insured and Waiver of Subrogation.”
• Professional Liability
o Request was for $5M per occurrence and aggregate.
EDIT: This requirement should be waived by the City.
TERMS AND CONDITIONS
3. Compensation; Expenses; Payment
NOTE: Habitat would like to ask for the loan funds upfront, which would make the last paragraph of this section not needed.
Insurance Requirements
1. CONSULTANT’s Duty to Show Proof of Insurance
1.1 Bullet 4 “Professional Liability Insurance”
NOTE/EDIT: Habitat’s insurance limit is $2,000,000 not $5,000,000.
2. City as Additional Insured
NOTE/EDIT: Habitat is unable to add the City as additional insured for Auto.
Loan Management
Process
Loan Management Process
Habitat for Humanity Greater San Francisco (HGSF) will be responsible for complying with federal and state lending regulations and lending to homeowners who occupy their homes as their primary residence. Below is a list of key tasks and activities HGSF is proposing to manage. Fees are listed in the Project Construction Management Fees and Team attachment:
• Oversee loan application process – loan origination
o Underwriting
o Credit reports
o Appraisal
o Title reports
• Determine application eligibility or denial
o Inform homeowner in writing of eligibility or denial
• Draft and execute loan docs (deed of trust and promissory note) o Preparation of loan documents
o Loan education for homeowners
o Disclosures
o Loan closing
• Draft and execute loan modification at end of project including:
o True-up
o Change orders
• Move to servicing w/ AmeriNat
Project Construction
Management Fees
and Team
Project Construction Management Fees and Team
Key Personnel
Construction Manager – Home Preservation
Home Preservation Assistant Project
Manager
Home Preservation Project Manager
Home Preservation Project Manager
Senior Home Preservation Technician
Senior Construction Project Manager
Senior Loan Officer
Director of Public Funding & Grants
Senior Home Preservation and Outreach
Specialist
Fees
Fee Amount Per Loan Award Total – 9 Loans
Loan Cap $75,000 $675,000
Admin Cap 25% or $18,750 $168,750
Lending & Servicing *$2,000 $18,000
Total Requesting $861,750
*See below for more details on amount City will pay to Consultant for uncompleted loans.
Consultant will be paid program management fees including loan administration and construction management as follows:
• Loans will be up to $75,000 per project
o Applicant will pay construction fees through their loan at approx. $16,450.
• Administrative Fees, in addition to home repair loans:
o Completed Loans - 25% flat fee of total loan amount
▪ Outreach & Marketing are included in this flat fee.
▪ Construction Manager and Tech fees are included in this flat fee until Notice to Proceed is issued.
• Lending and Servicing – estimated at approx. $2,000 per project o City will reimburse lending fees to HGSF, including: Title, credit, and appraisal/Comparable Sales Research
o Completed Loans – see Administrative Fees above
o Uncompleted Loans - Applications that are not originated are reimbursed by the following schedule:
▪ Intake only and not completed – $500
▪ Completed Application Reviewed by Loan Dept - $2,500
o Servicing of issued loans will be completed by AmeriNat who will also provide annual residency checks and proof of insurance. Costs for servicing will be paid by HGSF and reimbursed by the City at the time the loan is moved to servicing.
General Contractor Name and License Number:
Habitat for Humanity Greater San Francisco Inc. - # 728481
Typical Project
Costs
Typical Project Costs
Typical Habitat for Humanity Greater San Francisco Home Preservation Program home repair costs range from $8,000 to $45,000. Some example repairs and their costs are listed below.
Repair cost range is based on current (October 2025) pricing. These amounts will change as materials and labor costs adjust.
a. Kitchen remodel - $15,000-$30,000
b. Bathroom remodel - $9,000 - $12,000
c. Roof replacement - $20,000 - $36,000
d. Window replacement (full house) - $15,000 - $45,000
e. Interior painting - $8,000 - $15,000
f. Exterior painting - $15,000 - $30,000
g. Flooring replacement (full house) - $8,000 - $15,000 h. Purchase and installation of solar photovoltaic panels (prior to any rebates or other incentives) - Note: Photovoltaic installation will be referred to our partner Grid Alternatives since they have a program to provide this through a grant.
References
References
Experience and History
Habitat for Humanity Greater San Francisco (HGSF), a 501(c)(3) organization and one of approximately 1,000+ registered U.S. affiliates of Habitat for Humanity International, was formed in August 2008 through the merger of Peninsula Habitat for Humanity and Habitat for Humanity San Francisco. Prior to the merger, Peninsula Habitat had served the community since 1989, and Habitat San Francisco had served the community since 1992. HGSF has provided homeownership opportunities for 306 local families in the past 35+ years and remains one of very few providers of affordable homeownership opportunities in Marin, San Francisco, and San Mateo counties serving households that earn below 80% of the Area Median Income (AMI).
In addition to new construction and a home sales program, HGSF has successfully administered a home rehabilitation and repair program since 2011. This program, which we call our Home Preservation Program, is primarily active in the City of Daly City, the City of Redwood City, and Menlo Park’s Belle Haven neighborhood. These communities have substantial rates of low-income homeownership, have significant deferred home maintenance, and are all designated as “susceptible to displacement’ according to UC- Berkeley's Urban Displacement Project.
In the last four years, HGSF has completed 56 rehabs or repairs valued at up to $75,000 as part of this program. Over this period, our focus has been on complex repairs that address the structural safety and health of a home in order to thwart the pervasive displacement of vulnerable homeowners.
Local Government References
1. Redwood City, Alin Lancaster, Housing Sustainability Manager, 650-780-7299, [email protected]
2. Marin County, Leelee Thomas, Deputy Director, 415-473-6697, [email protected]