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Presentation, discussion, and possible action on the selection of International Center for Appropriate and Sustainable Technology to administer the Bipartisan Infrastructure Law Department of Energy Weatherization Assistance Program in El Paso and Hudspeth counties and authorization to re-release a Request for Applications
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RECOMMENDED ACTION
recommendation
WHEREAS, the Texas Department of Housing and Community Affairs (the Department) administers the Weatherization Assistance Program (WAP) in Texas through a network of 21 subgrantees using Department of Energy (DOE) WAP funds;
WHEREAS, on November 15, 2021, the President of the United States signed the Infrastructure Investment and Jobs Act (i.e., Bipartisan Infrastructure Law (BIL)) into law which provided the Department with an additional $173 million in DOE weatherization funding;
WHEREAS, on December 9, 2021, the Board authorized staff to procure a statewide/regional multifamily BIL DOE WAP provider to assist the current WAP subgrantee network in providing weatherization assistance throughout Texas to assist in effectively expending and utilizing the funding allocated to Texas in the BIL;
WHEREAS, on August 16, 2023, Department staff released a Request for Applications (RFA) seeking qualified organizations to submit an application to administer BIL DOE WAP in the state of Texas and received three responses;
WHEREAS, because the RFA required applicants to demonstrate that they possessed the staff and organizational capacity to deliver the proposed services as well as demonstrate positive past performance with DOE WAP, International Center for Appropriate and Sustainable Technology (ICAST) is the only applicant of the three applicants that is qualified to administer the BIL DOE WAP;
WHEREAS, ICAST has satisfied the threshold requirements and the Previous Participation Review Approval Process and is being recommended for an initial award of approximately $4.1 million to administer BIL DOE WAP in El Paso and Hudspeth counties; and
WHEREAS, the Department did not receive a sufficient number of applications from qualified organizations to administer BIL DOE WAP in other regions of Texas and the RFA originally released has closed, staff also seeks Board approval to issue another RFA, with some modifications and to keep the new RFA open on an ongoing basis or until a sufficient quantity of viable applications have been received;
NOW, therefore, it is hereby
RESOLVED, that the Executive Director and his designees, be and each of them hereby are authorized, empowered, and directed, for and on behalf of the Department, to designate ICAST as a BIL DOE WAP service provider for El Paso and Hudspeth counties and to be issued a contract for a BILWAP award according to the formula in 10 TAC §6.404 as described in the RFA and to remain the BILWAP service provider in El Paso and Hudspeth counties thereafter as long as there is not good cause to terminate or until there is insufficient funding to justify their need; and
FURTHER RESOLVED, that Department staff be granted the authority to release another RFA, with modifications, seeking qualified organizations to administer BIL DOE WAP in other regions of Texas and to keep the RFA open until a sufficient quantity of viable applications have been received.
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BACKGROUND
The Department administers DOE WAP in Texas which is operated by a network of 21 private nonprofits and local government entities (i.e., subgrantees). Weatherization funding makes homes more energy efficient, safer and healthier for low income Texans. Each year the Department receives an annual allocation of WAP funds from DOE in the amount of approximately $8 million. In addition to the annual allocation, the BIL was signed into law on November 15, 2021, injecting an additional $173 million into Texas’ WAP, a 2000% increase in funding.
Because subgrantees have had difficulty in the past expending their yearly allocation of DOE WAP funding, in part due to DOE WAP requirements being quite stringent, the Department recognized that additional help was needed and sought Board approval to issue an RFA seeking qualified organizations to assist in the administration of the new BIL DOE WAP funding. On December 9, 2021, the Board granted staff the authority to release such an RFA hoping to receive either a viable statewide application to administer BILWAP or a sufficient number of viable regional applications to administer BILWAP in the major metropolitan regions of Texas (i.e., Houston, Dallas-Fort Worth, San Antonio, Austin, El Paso). There was significant delay between the Board’s initial approval, and the actual issuance of the RFA because staff was awaiting further guidance from DOE on basic guidance and requirements of the BILWAP. The RFA stated that the Department is seeking one or more subgrantees to provide DOE weatherization services, either regionally or statewide, to multifamily rental households and shelters and that they must have experience with federal and state requirements governing DOE WAP and have staff that possess the required DOE weatherization certifications.
Staff received three applications to provide regional weatherization services. Staff evaluated each application and found only one, ICAST, that satisfied the RFA requirement that the applicant have experience with federal requirements governing DOE WAP and have staff that possess the required DOE weatherization certifications. Notices of denial and appeal rights were sent to the two applicants not recommended for award and one applicant (i.e., Adults and Youth United Development Association), filed a timely appeal to both the Executive Director and the Board which is addressed in the preceding Board Action Request (item #449) of this Board Book. Please refer to the table below for a list of applicants, counties for which they applied and initial approximate award amount for the recommended awardee. The estimated award funds are to be utilized to cover costs related to administration, direct program staff costs, and for the provision of direct client services and assistance.
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Applicant |
Counties |
Approximate Initial BILWAP Award Amount |
|
Adults and Youth United Development Association, Inc. (AYUDA) |
El Paso, Hudspeth, Presidio |
NA |
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International Center for Appropriate and Sustainable Technology (ICAST) |
El Paso, Hudspeth |
$4,100,000 |
|
Texas Neighborhood Services |
Jack, Wise, Shackelford, Stephens, Palo Pinto, Parker, Callahan, Eastland, Erath, Hood, Johnson, Ellis, Brown, Comanche, Somervell, Hamilton, Bosque, Hill, Coleman |
NA |
The Previous Participation Review Approval Process includes a review of DOE awards prior to contract execution. This award is subject to this review and the review has been performed. ICAST has been recommended for award with no conditions.
Staff recommends that ICAST be designated as a BILWAP service provider and awarded a BILWAP contract for El Paso and Hudspeth counties. They will remain a BILWAP service provider for El Paso and Hudspeth counties as long as they remain in good standing or until there is insufficient funding to justify their need.
ICAST is a highly qualified organization and capable of successfully administering BILWAP as demonstrated in their application. ICAST has managed the multifamily WAP for the state of New Mexico since 2013 and also manages Tennessee’s multifamily WAP. If the Board approves, actions will be taken by Department staff in collaboration with ICAST to provide multifamily weatherization services to eligible households in El Paso and Hudspeth counties.
Staff also recommends that in order to hopefully identify additional qualified providers, that the Department issue another RFA with the same general requirements, but with some modifications to make the geographic areas more flexible, and therefore more attractive to applicants. The RFA when reissued would have an initial application period, but staff would have the ability to keep the NOFA open in regions where there are no qualified applicants, to allow experienced providers to respond at any time.