HUD ISSUES LETTER ON PERFORMANCE BASED CONTRACT ADMINISTRATORS

In a letter dated August 11, 2011, Janet M. Golrick, HUD Acting Deputy Assistant Secretary for Multifamily Housing Programs, issued a letter regarding Performance Based Contract Administrators (PBCA's).

HUD had recently announced the award of PBCA contracts in 53 states and territories. However, Ms. Golrick's letter notes complaints filed with the Government Accounting Office (GAO) by unsuccessful bidders, and HUD's interest in avoiding delays caused by litigation that could negatively impact residents, as well as housing providers.

Accordingly, HUD intends to re-evaluate its selection procedures and there will be a "re-compete" for PBCA contracts in 42 states/territories. Incumbent PBCA's will be afforded an opportunity to serve as interim PBCA's for six months under an amended contract, with reduced responsibilities and a reduced administrative fee.