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1. Direct the Authority Attorney to prepare, and authorize the
Executive Director to execute, an agreement with Central Wholesale
Appliance Supply, Inc. in an amount not to exceed $70,000.
2. Direct the Authority Attorney to prepare, and authorize the
Executive Director to execute, an agreement with Howard's
Appliances, Inc. in an amount not to exceed $70,000.
COMMUNITY REDEVELOPMENT AND HOUSING COMMISSION RECOMMENDATION
Recommended that the Housing Authority:
1. Direct the Authority Attorney to prepare, and authorize the
Executive Director to execute, an agreement with Central Wholesale
Appliance Supply, Tnc. in an amount not to exceed $70,000.
2. Direct the Authority Attorney to prepare, and authorize the
Executive Director to execute, an agreement with Howard's
Appliances, Inc. in an amount not to exceed $70,000.
By a vote o~ 6:0 (Hill absent} at its Regular Meeting of October 16,
2001.
u,~
Agreements with Central Wholesale Appliance
Supply, Inc, and Howard's Appliances, Inc.
For Purchase of Stoves and Refrigerators
November 5, 200.
Page 2
IDISCUSSION'
On March 19, 2001, the Housing Authority of the City of Santa Ana (SARA)
approved an agreement with the County of Orange Housing and Community
Development Department (HCD) to provide funding far supportive services
to eligible Section 8 applicants who are also eligible CaIWORKS families.
An allocation of $562,500 was provided from HCD to enable the SARA to
offer unique services to CaIWORKS participants at the time they are
issued a Housing Choice Voucher. These funds may be utilized for payment
of a security deposit, utility deposits, and the payment of up to $600
for the one-time purchase of a refrigerator and/or stove if the family
does not own these appliances. The ane-time purchase of a refrigerator
and/or stove is being provided to ensure that units leased by a Ca1WORKS
Section 8 participant will meet the Housing Quality Standards (HQS)
established by the Department of Housing and Urban Development (HUD).
HCD has required that the SARA pay vendors directly for the purchase of
appliances. This will assist in controlling costs and ensuring timely
delivery sa the unit passes HQS inspection.
Due to the request by HCD, a Request for Proposal (RP'P) for vendors to
supply and install stoves and refrigerators was sent to nine companies
and was advertised in The Orange County Register. Proposals were
received from the fallowing three vendors:
Vendor Location Rating
Central Wholesale Appliance Supply, Inc. Huntington Beach 95
Howard's Appliances, Inc. Santa Ana 90
BAS Appliance Gallery, LLC Los Angeles 50
A committee of City employees representing the Housing Authority, Finance
and Management Services Agency and the City Attorney's office evaluated
the proposals based on an established set of criteria. BAS Appliance
Gallery scared significantly lower then the other two proposals, because
the company could not meet the delivery and set-up requirements as stated
in the RRP.
Staff recommends that the SARA execute a contract with the two highest
scoring proposals, Central Wholesale Appliance Supply, Inc. and Howard's
..Appliances, Inc., in order to allow far flexibility and ensure delivery
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Agreements with Central Wholesale Appliance
Supply, Inc, and Howard's Appliances, Inc.
For Purchase of Stoves and Refrigerators
November 5, 2001
Wage 3
schedules are met if a large quantity of stoves and refrigerators are
needed at one time. Each contract would be in the amount not to exceed
$70,000. Exhibit ]. identifies specifications and pricing.
FISCAL IMPACT
Funds are available in the Assisted Housing CaIWORKS Subsidy account
(account no. 142-148-6954)°
APPROVED AS TO FUNDS AND ACCOUNTS:
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John Reekstin
Exec five Director
JPR/DB/klp
H:Actious12001 HAIAgreePurchStovesl2efrig11-5-01
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Executive Director `'
Finance & Management Services Agency/,~`
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