WIXLIB

City of Pittsfield Department of Community DevelopmentAHIP PROGRAM GUIDE:Information for Homeowners &ContractorsDear Homeowner & Contractor:The City of Pittsfield ‘At-Home In Pittsfield Program’ (AHIP) in intended provide targetedspecific rehabilitation to moderate-to-low income homeowners within the City ofPittsfield. To ensure funds are spent responsibly, the housing specification standardsfrom the City’s US Department of Housing and Urban Development (HUD) CommunityDevelopment Block Grant (CDBG) Housing Rehabilitation Program are to be utilized whensubmitting estimates for AHIP funding. These standards establish the minimum and insome cases, maximum product and material performance covered by the program. Please review this document prior to requesting estimates from contractors andsubmitting estimates to the Department of Community Development (DCD)

PART I: FUCTION OF PROGRAMEligible Home Improvements Covered by AHIP RoofingGutters & DownspoutsWindows & Doors Replacement *Siding Installation *Porch Repairs *Chimney Repairs* Contractors will need to comply with EPA’s Renovation, Repair, & Paint regulations foractivities on pre-1978 homes which requires lead safe practices. For information, please referto: d-painting-programHome Improvements Not Covered by AHIP Changes of any component for aesthetic appealExterior painting on components replaced through AHIPOwner Selected Home ImprovementStep 1. The homeowner(s) select the eligible home improvement(s) they would like doneat the property, starting with the most needed home repair.Step 2. Once the homeowner’s application is approved, the homeowner shall contact DCDStaff for verification of homeowner anticipated exterior home improvement. DCD willprovide a letter of eligible home improvements to the homeowner to provide to thecontractors for estimates. Homeowners shall provide the letter of eligible homeimprovements to each estimating contractor.Step 3. The homeowner will then acquire at least (3) estimate from qualifying contractors.Obtaining (3) or more estimates is standard practice when projects are financed withpublic funds.Step 4. Once the estimates are received, the homeowner shall submit (3) estimates foreach eligible home improvement to DCD staff for further review and approval.AHIP PROGRAM GUIDE: Program Function & Submittal Standards (v. 7.30.21)1 OF 12

Key Takeaways: Homeowners are responsible for requesting and reviewing references fromcontractors they contact for estimates. Contractors are responsible for defining the scope of work within their estimatesbased on the DCD’s letter of eligible home improvements and their own professionaljudgementProject Planning & FinancingProject Funding: The AHIP program will fund the lowest of the (3) estimates for eacheligible home improvement.Contingency Reserve: DCD will add 10% contingency reserve onto the submittedestimates. The contingency reserve will cover any unforeseen rehabilitation or issuesfound during the course of construction. Contractors and/or any other party involvedcannot see any issues that are not visible and therefore, contingency funds ensure thatthe homeowner is not over budget during the construction phase of the project.Contingency funds are only accessible through a change work order, at the discretion ofthe City staff. Contingency reserve funds are only accessible through a change work order,only after inspection and approval by DCD staff.Closing Costs: The current closing costs to secure the grant are 480. This costs will becovered by the grant unless the homeowner’s total estimated home improvements (i.e.,total of windows, siding, etc.) is over the grant limits, including the 10% contingencyreserve. Key Takeaways DCD applies 10% contingency to all projects during the review process. This coversunforeseen issues that may be uncovered during the rehabilitation process. Access tothese funds are only through a change work order. If the project is over budget during the construction phase, the homeowner will needto cover the costs over-run.AHIP PROGRAM GUIDE: Program Function & Submittal Standards (v. 7.30.21)2 OF 12

Submittals for DCD ReviewReview of Estimates: DCD will review the submitted documents and break down the costfor each requested home improvement. If the estimates are beyond the grant cap, thehomeowner will need to either: Reduce the number of home improvements (i.e., scope of work reduction)Or provide personal funds to cover the difference Key Takeaway: DCD will finance only the lowest estimate. If the homeowner chooses other than thelowest estimate, they must contribute the difference between the lowest estimate andthe one they chose. This additional cost will be required from the homeowner prior toclosing on the contract in the form of a ‘money order’.The DCD Agreement & Construction ContractSigned Agreement with DCD: Homeowners will have a signed agreement with the Cityto secure home improvement funding. The agreement with the City will place a forgivablelien on the property for (7) years. This is intended to prevent homeowners from usingpublic funds to renovate and profit from the AHIP program.Homeowner and Contractor Construction Agreement: The homeowner will haveseparate lump-sum contract their selected contractor. This is a signed agreementbetween the homeowner and the contractor. Key Takeaways Once the homeowner and contractor agreement is signed, only changes regarding‘unforeseen circumstances’ will be approved by AHIP. Changes will need to beinspected and approved by DCD staff prior to amending the contract. The City is not a party within the construction agreement. DCD is providing fundingand homeowners are defining the scope of work, obtaining estimates, and aredeciding which contractors they willingly enter into an agreement with. Homeowners may have multiple contracts with different contractors if thehomeowner is requesting more than one home improvement. For instance, somecontractors may only perform roofing work and may not cover siding or chimneyrepairs.AHIP PROGRAM GUIDE: Program Function & Submittal Standards (v. 7.30.21)3 OF 12

Permits & Construction DrawingsBuilding Permits: Awarded contractors are responsible for apply for and obtaining allapplicable permits after the contract is closed on and prior to the start of work.Contractors are responsible for coordinating and acquiring code required inspections withthe Building Inspection Department.Construction Documents (where applicable): In most cases, prescriptive (i.e., followingthe requirements of the building code) allows for contractors to design and apply forbuilding permits on one and two family residential buildings. Please budget for thesedesign services and permitting fees within your estimates. Key Takeaway Contractors are responsible for obtaining permits and inspections. Please note thatporch and chimney repairs may require construction documents depending on the sizeof the repair or type of reconstruction. Please budget for these design services, ifneeded, and permitting fees within your estimates.Payment Schedule for Each Construction AgreementHome Improvement Regulations: The State of Massachusetts has regulations pertainingto home improvement contracting. Under the Home Improvement Contractor law (perMGL chapter 142A), contractors cannot request more than one-third (1/3) of the contractprice up front. Additionally, final payment cannot be requested until the contract iscompleted to the satisfaction of all parties.Payment Requests: Contractor payment requests are to accurately describe thematerials and services being invoiced. The homeowner’s name, address, and project shallbe on all submitted invoices. The contractor shall also include their name and address onthe payment request. The invoices shall be sent to:At-Home In Pittsfield ProgramCity Hall, Room 20570 Allen St.Pittsfield, MA 01201First Payment: Contractors may submit one-third of the contract amount after theclosing of the Homeowner and Contractor construction agreement.Progress Payment: The contractor may request one-third payment as a progresspayment during the construction phase of the project. This is at the discretion of thecontractor.AHIP PROGRAM GUIDE: Program Function & Submittal Standards (v. 7.30.21)4 OF 12

Final Payment: The final one-third (or two-thirds) of the construction amount will be paidafter the building permit and inspection final inspection approval is obtained from theBuilding Inspection Department. The contractor is responsible for coordinating andobtaining all applicable code inspections.Homeowner Final Authorization: After the final invoice has been submitted, thehomeowner will be presented with the Release of Final Payment document once theBuilding Inspection Department has performed code inspections. Key Takeaways Massachusetts Laws regulate the amount of funding the contractor can request upfront. Checks take approximately (3) weeks from the time they are submitted to the timethey are ready for issuance.AHIP PROGRAM GUIDE: Program Function & Submittal Standards (v. 7.30.21)5 OF 12

PART II: MATERIALS & SPECIFICATIONSGeneral Requirements, Specifications & Material StandardsAHIP Specifications: The specifications for materials to be installed in the project describematerials that are of mid-grade quality. In other words, the materials are not the leastexpensive or most expensive and are expected to have good durability. NOTE: The program will not allow for the upgrading of materials, regardless ifthe homeowner offers to pay the extra cost. It is the City’s belief that if ahomeowner has the money for upgrades, the money should instead be applied tothe financing of the basic projectComplete Installation: The contractor needs to specify the project for a ‘completeinstallation’. This means that the materials need to be installed per the manufacturer’sinstallation instructions and per Massachusetts building codes. Additionally, anyhazardous materials are addressed per state and federal regulations. NOTE: Awarded contractors shall abate any hazardous materials as part of thescope of work. These costs will not be covered (i.e., Change Work Order) if theawarded contractor did not anticipate these abatement costs prior to signing theHomeowner and Contractor Agreement.Standard Colors without Upgrades: The program will allow only standard materials andcolors only. The AHIP Program does not permit or finance any additional upgradesregardless if homeowner wants to purchase the upgraded material.Manufacturer and Contractor Warranty: Each component shall be specified and installedto meet the manufactures warranty. Additionally, the contractor will provide a (1) yearwarranty against installation defects, a one year is a standard industry warranty forworkmanship. NOTE: The awarded contractor ensures and verifies that the installation meetsmanufactures requirement(s).AHIP PROGRAM GUIDE: Program Function & Submittal Standards (v. 7.30.21)6 OF 12