HomeMy WebLinkAbout8955 Appraisal Services Scope of WorkRFQ# 8955
Request for Qualifications
Appraiser Services
The scope of work shall be finalized upon the selection of the service firm(s) or individuals. The
respondent’s submission shall have accurately described an understanding of the objectives and scope
of the requested products, services, and provided an outline of the process used to implement the
requirements of the scope of work and services. It is anticipated that the scope of work will include,
at a minimum, the following:
A: INTRODUCTION
In accordance with the provisions of Texas Government Code, Chapter 2254, the City of Denton
(City), a home-rule city of the State of Texas, is requesting submissions to select firm(s) with
demonstrated experience in providing appraisal services. Firm(s) may submit on any and all of the
individual categories of work relating to real estate fair market valuation on property acquisition
on City, State and Federal infrastructure projects in conformance with the Uniform Standards of
Professional Appraisal Practice (USPAP), the Code of Professional Ethics and Standards of
Professional Appraisal Practice of the Appraisal Institute; The Texas Property Code and any other
applicable state appraisal regulations as described in this document. The responses shall be
submitted to the City in a sealed submission.
The City wants to establish an eligibility list of appraisal firm(s) that have demonstrated
competence and qualifications to perform appraisal services. To be placed on the eligibility list,
appraisal firm(s) must be able to meet our expectations as outlined in this solicitation. This
solicitation is for Professional Services for a single project or multiple projects over the period of
three (3) years.
The pre-qualified list of firms(s) shall have the ability to accomplish all aspects of the requested services.
B: SCOPE OF WORK
Description of Work
The City of Denton is seeking to pre-qualify respondents to provide appraisal services for a period
of three years. Respondent must follow the guidelines and requirements of the Standards Rule 2-2(a)
of the 2020-2021 edition of USPAP. Major work categories include:
Salient Facts and Valuation Summary
• Summary of Salient Facts – Example A attached
• Valuation Summary
• Appraiser takes into consideration the definition of value, the purpose of the
appraisal, property type, and adequate compilation of data for determining value,
a relative weight, as applicable, in each approach to be able to reach a final
estimation of value.
RFQ# 8955
Request for Qualifications
Appraiser Services
General Information
• Identification of Subject and Project
• Current Ownership and Sales History – Example B attached
• Inspection
• Purpose of the Appraisal
• Definition of Market Value
• Intended Use and User
• Report Format
• Prior Services
• Scope of Work
• Valuation Methodology
• Research and Analysis
• Extraordinary Assumptions and Hypothetical Conditions
• Jurisdictional Exceptions
• Case Law and Legislative Precedents
• Personal Property and Trade Fixtures
• In addition to completing appraisals, the appraiser shall also provide “expert witness”
testimony in court proceedings and meet with staff on short notice in the event of
“emergency” circumstances.
• Contractors shall provide assistance on general requests such as affidavit forms,
clarifications on commitments, etc.
Market Area Analysis
• Sales Comps, Cost, Income, and any combination thereof.
Whole Property Analysis
• Land Analysis
• Real Estate Taxes
RFQ# 8955
Request for Qualifications
Appraiser Services
Whole Property Valuation Methodology
• Applicability of Valuation Approaches
➢ Direct Sales Comparison
➢ Cost Approach
➢ Income (Capitalization) Approach
• Highest and Best Use
• Land Valuation
• Conclusion of Value – Whole Property
• Exposure Time – Whole Property
Part to Be Acquired
• Highest and Best Use – Part to be Acquired.
• Aerial Photograph indicating subject easement and existing easement(s) – Exhibit C
attached
Remainder After Analysis
• Highest and Best Use – Remainder After
• Land Valuation – Remainder After
• Damages to the Remainder (if any)
• Fee and/or Easement Real Property Interests
Property Map Information
• Aerial Overlays and GIS Maps
• Signed and sealed survey exhibits, legal descriptions showing encumbrances that
affect the acquiring easement.
• County District Property Information
• Plat Map
Compensation Summary
An appraisal review report shall be completed and delivered to the City within a specified period
of time from the date of the Notice to Proceed. The report shall not be deemed received by the
City and no payment shall be due and payable to the appraiser until the report has been delivered
to, reviewed by, and accepted by the City. Payment for the appraisal review shall be within 30
days of the receipt, review, and written acceptance of the appraisal by the City. All invoices shall
be submitted per current Department procedures. Any omission or incorrect data may result in
RFQ# 8955
Request for Qualifications
Appraiser Services
returning said invoice(s) for corrections, thus resulting in a delay of payment. Appraisals may be
amended, as needed, to include expenses related to the legal defense of the appraisal—such as
expert witness fees and preparation costs—which may be submitted to the City’s outside legal
counsel for review.
Here are some potential additions to enhance clarity or context, concerning expert witness
compensation:
* "Please ensure all supporting documentation for these expenses is compiled and readily
available."
* "The City's contracted outside attorney.
* "A detailed breakdown of these expenses should be submitted."
* "These expenses will be reviewed for reasonableness and approval before payment."
Credentials/Certifications/Licenses
Contractor shall secure and pay for all fees for all necessary statutory and regulatory
authorizations, permits, approvals, certifications, licenses, and insurance required by the
laws of Federal, State, County, and municipal laws, 36 ordinances, rules and regulations
that are required in order to perform the services stated in RFQ. Contractor shall maintain
these licenses and permits in effect for the duration of the contract agreement.
Respondent/Contractor will notify City immediately of loss or suspension of any such
licenses and permits. Failure to maintain a required license or permit may result in
immediate termination of the contract agreement.
Assumptions and Limiting Conditions
The Appraiser shall set forth in the Appraisal Report all Assumptions and Limiting
Conditions that may affect the analyses, opinions, and conclusions. No limiting conditions
or assumptions shall modify or eliminate any requirement of this contract unless
specifically approved in writing by City.
Addenda
• Appraiser Qualifications
• Definitions
Additional services not included in basic services may be requested by the City in writing and
would be executed only upon acceptance by both parties of the scope and costs of each additional
service.
C: EXPECTATIONS OF THE CITY DURING AND AFTER CONCLUSION OF THE
PROJECT
The City wants to establish a prequalified list of appraisal firm(s) that have demonstrated
RFQ# 8955
Request for Qualifications
Appraiser Services
competence and qualifications to perform appraisal services at a fair and reasonable price.
Appraisal firm(s) must be able to provide all services listed in B: Scope of Work. RFQ submissions
and subsequent documentation will comply with all Federal, State, County, and City laws,
regulations, and licensing. The successful firm will provide a competent and experienced contract
administration liaison to work with the City and any selected contractor(s). Deliverables and
specific project scopes will be determined in writing for each project awarded under this RFQ.
D: OBJECTIVE – Term of Contract
The purpose of this Request for Quotation (RFQ) is to establish a list of qualified firms to provide
Real Estate Appraisal Services to support the needs of the City. Inclusion on the list does not
guarantee the award of work, as the City reserves the right to select individual appraisers or firms
on an as-needed, indefinite-quantity basis. No minimum amount of work is guaranteed to any
selected appraiser or firm. It is the intention of the City of Denton to award a contract for three(3)
years, effective from the date of award.
E: PROFESSIONAL SERVICES REQUESTED
All appraisal services will be performed under the direct supervision of a Texas State Certified
Appraiser. The services will meet or exceed the minimum standards of practice established by the
Code of Professional Ethics and Standards of Professional Appraisal Practice.
Appraisal firm(s) or individual appraisers must possess knowledge of determining real property
valuation according to the Texas Property Code, Chapter 21.
Appraisal firm(s) must be registered by the State of Texas to provide services in the State. All fees
and taxes are the responsibility of the offeror.
Include copies of current licenses or certifications of the Texas State Certified Appraiser and any
other firm employee who will be signing and/or sealing official documents.
The firm(s) shall not substitute or replace the Texas State Certified Appraiser, or any other major
staff involved with this contract, without the written acceptance by the City.
F: FIRM RESPONSIBILITIES
The successful firm(s) shall perform all necessary actions as defined by each awarded contract that
results from this RFQ. Due to the uniqueness and variability of projects subject to this RFQ,
appraisal firm(s) responsibilities and project scopes, schedules and budgets shall be negotiated
and agreed upon in writing at the time services are required.
G: CITY RESPONSIBILITIES
Like the Firm’s responsibilities above, the City shall perform all necessary actions as defined by
each awarded contract pursuant to this RFQ. Due to the uniqueness and variability of projects
subject to this RFQ, the City’s responsibilities shall be negotiated and agreed upon in writing at
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Request for Qualifications
Appraiser Services
the time services are required.
G.1 Provide title commitment and/or title report of each parcel to be appraised.
G.2 Provide a survey showing encumbrances that affect the acquiring easement is required and the City
did not provide a survey, and the contractor requires the survey or staking of any parcel, it shall submit
a written request to the Department specifying the project, parcel and exact area to be surveyed or
staked, and shall submit written permission from the landowner or other appropriate party to allow
entry onto the real property.
G.3 Process and issue all requests for payment of agreed fees for each completed parcel.
H: PRICING
Compensation for each contract shall be negotiated on a cost-plus expenses basis. Payment will
be made within 30 days of receipt of the Firm’s monthly invoice to be paid per the Firm’s rate
attached to each contract resulting from this RFQ.
The Purchase Order Number must be on the face of the invoice. Invoices submitted without the
correct Purchase Order Number shown may be returned without payment to the Firm for
correction. Corrected invoices will be subject to the same payment provisions as original invoices.
Any travel will be reimbursed at cost ONLY after receipts and a documented time sheet for travel
computed to and from the subject parcel(s) for appraisal are received, verified, and approved.
Travel reimbursement would only be applicable if the Appraiser travels outside a 75-mile radius
from the city and must use the gsa.gov website for mileage reimbursement. Travel outside the 75-
mile radius must be approved in advance by the city.
I: INSURANCE
Without limiting any of the other obligations or liabilities the Contractor at its own expense shall
purchase and maintain liability insurance and shall likewise ensure that all of his Consultants,
Subcontractors and their Sub-subcontractors (collectively referred to as "Contractor") purchase
and maintain such insurance, as will protect them from claims set forth below which may arise out
of or result from the Contractor's operations under the Contract, whether such operations are
carried out by the Contractor, by any Consultant, Subcontractor, or by anyone directly or indirectly
employed by the Contractor or any Subcontractor, or by anyone for whose acts any of them may
be liable. The contractor is solely responsible for payment of all deductibles and retentions
associated with the claims filed. See attachment “Insurance Requirements” under the attachment
tab on Ionwave.
J: MINIMUM QUALIFICATIONS
The appraisal firm(s) scores will be based on the following criteria:
J1. The appraisal firm(s) must possess a State of Texas Appraiser License as a minimum
RFQ# 8955
Request for Qualifications
Appraiser Services
requirement.
J2. A minimum of five (5) years of experience appraising complex appraisals, with specific
experience in the valuation of large parcels of local commercial and industrial land suitable for
subdivision and sale to the marketplace over a period of time. Experience in aviation of real
property for governmental entities on federally funded projects is considered a plus.
J3. The appraisal firm(s) must have a minimum of three (3) years of experience appraising various
real property and federally funded projects for a governmental entity, and appraisal experience in
eminent domain.
J4. The appraisal firm(s) must demonstrate the ability to respond/accept the scope of
service/engagement letter within 48 hours of receipt and deliver appraisal reports within 20-30
days.
J5. The appraisal firm(s) must possess a minimum of three (3) years or more within the past six
(6) years in eminent domain testimony, provide a letter of evaluation from past clientele, and
provide a sample appraisal report with an emphasis on accuracy, legibility, neatness, and
organization. Additional points will be given to appraisal firms with appraisers who are members
of the Appraisal Institute (MAI).
J6. A minimum of five (5) years of experience appraising complex appraisals, with specific
experience in the valuation of an electric utility business or its assets, power plants, transmission
systems, and distribution networks. Experience in providing an electric business appraisal for
governmental entities on federally funded projects is considered a plus.
J7. The appraisal firm(s) must have a minimum of three (3) years of experience assessing rental
property worth and determining fair market rental rates.
J8. The appraisal firm(s) must demonstrate at least three (3) years of experience in assessing the
value of leased fee properties to determine the City's ownership interest.
K: SELECTION CRITERIA
All responding firms will be evaluated. Only those who meet the Minimum Qualifications outlined
in Section J and achieve a minimum score of 80% will be included on the pre-qualified list. Firms
on this list will be contacted each time an appraisal opportunity becomes available.
RFQ# 8955
Request for Qualifications
Appraiser Services
a) Identification and understanding of the City's requirements for this project (FACTOR:
20%)
The respondent's understanding of the objectives and scope of the requested services of the primary
areas, in a clear and concise written expression. The respondent will provide the information and
documentation requested as part of the criteria consideration, which is a critical component of the
evaluation.
b) Past Performance, experience, capabilities, qualifications, and references on projects of
this magnitude and complexity (FACTOR: 30%)
• Eminent Domain Experience, Residential and Commercial Relocation Experience,
Familiarity with appraisal form requirements set by U.S. Corps of Engineers and Texas
Department of Transportation (TxDOT).
• Experience, analyzing and providing non-aeronautical land lease rate for aviation sites
based on FMV using the USPAP definition.
• Experience, Familiarity with Energy and Electrical Utilities Valuation Appraisals based on
FMV.
The respondent's successful experience in projects within the primary areas similar to the scope
of work requested in this RFQ will be a major consideration. Based on the past performance of
both the individual project personnel and the respondent, The City will determine if the
respondent has the track record to provide the required services in successfully administering
similar projects.
The qualifications of the respondent in terms of experience, service capability and resources will be
reviewed to assess the ability of the respondent to successfully complete projects to be assigned
under this RFQ. The firm’s ability to provide the necessary professional and technical expertise and
supervision will be a major consideration.
Relevant experience and capabilities will be demonstrated by providing the following relating to
previous appraisal projects.
a. Range of size and scope of individual projects or assignments
b. Description of professional services firm provided for the project.
c. Identification of personnel involved in the submitted contract or program, along
with explanations of their role.
d. Provide references for any two (2) of the projects listed. The references should include.
i.Agency or Owner's name, address, contact person, and telephone number or
Project name and location.
ii.Owner's representative who serves as the day-to-day liaison during property
appraisal.
RFQ# 8955
Request for Qualifications
Appraiser Services
e. History of successful completion of right-of-way appraisals.
f. History of meeting deadlines including but not limited to capabilities and
capacity to accomplish work within budget and to meet scheduling requirements.
g. A summary of qualifications, including a list of complex appraisals or past aviation
clients, up to three (3) compensation aviation client references, and a sample appraisal
report.
h. A summary of qualifications, including a list of complex appraisals or past energy and
electrical utility clients, up to three (3) compensation electric client references, and a
sample appraisal report.
c) Key personnel and Project Team available for work categories submitted (FACTOR:
10%).
The qualifications and experience of the individuals who will be directly assigned to the primary areas
is a major evaluation factor to be considered. The personnel cited shall be designated as to whether
they are an employee, consultant, or contract employee of the RFQ respondent. Their educational
and professional credentials as well as direct experience on similar projects, will be considered in
evaluating the respondent. Experience with other municipally funded projects and familiarity with
municipal requirements and procedures will also be considered in the evaluation process.
d) Ability to meet schedules for each category of service submitted upon (FACTOR: 40%)
Respondents shall demonstrate methodology and examples of the ability to meet both fast-track and
more conservatively scheduled projects resulting from this RFQ.
The total possible score of the submissions shall be scored and weighted as indicated above. Based on
the outcome of the computations performed, each submission will be assigned a raw score. The
assigned weight will then be applied to these scores to calculate an overall score for each submission
for completion of the final scoring process.
L: CONTRACT AWARDS
When an appraisal project becomes available, the City will utilize Ionwave to notify all firms
included on the pre-qualified vendor list. A formal request for pricing and schedule availability will
be issued. All responses will be thoroughly evaluated, and the contract will be awarded to the firm
that offers the best overall value to the City. The award information for each project will be
published on Ionwave.
M: APPROVED APPRAISER REMOVAL
An appraiser may be removed from the Pre-Qualified Appraiser List if:
• An appraisal fails to meet the Scope of Work on a repeated basis.
RFQ# 8955
Request for Qualifications
Appraiser Services
• If an appraisal firm fails to provide Exhibit A, B, and C on a repeated basis.
• If an appraisal firm is unavailable to accept an assignment on more than two occasions.
• If it is determined by the Assistant District Attorney that an appraiser's performance as an
expert witness in a condemnation proceeding or jury trial was unsatisfactory.
• If the appraiser is debarred, suspended, proposed for debarment, declared ineligible, or
voluntarily excluded from covered transactions by any Federal department or agency.
• An appraiser has been convicted of or had a civil judgment rendered against them for
commission of fraud or a criminal offense in connection with obtaining, attempting to
obtain, or performing a public transaction or contact under a public transaction; violation
of Federal or State antitrust statutes, or commission of embezzlement, theft, forgery,
bribery, falsification, or destruction of records, making false statements, or receiving stolen
property.
• Is indicted for or otherwise criminally or civilly charged by a governmental entity (Federal,
State, or local) with commission of any of the offenses enumerated in a Contractual
Liability.
• PUBLIC INFORMATION NOTIFICATION The city considers all materials, information,
communications and correspondence in any form from the respondents to this RFQ to be
non-proprietary and non-confidential and, therefore, subject to public disclosure under the
Texas Public Information Act (Texas Government Code 552.001-1 et seq.) after the
contract is awarded. Respondents are informed that the city will abide by all statutes, court
rulings and opinions of the Texas Attorney General concerning disclosure of RFQ
information. Should any part or section be considered by the Respondents to be
“proprietary” or “confidential” in nature, each page or section should be designated as
“proprietary” or “confidential.