RM 12-05-80 - Laserfiche WebLink

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South Bend R development Commiss:i:on Regular Meet.ng December 5, 1980 6. NEW BUSINESS b. cont6nued... Mrs. Baumgartner Yes. It is still not com- plet . If you notice, you have both bids and prop sals in front of you, and this is not a bid, just a proposal. Ms. ,auburn: Would you like to clarify that? Mrs. Baumgartner; Certainly. The money that is b inch spent here is the homeowner's money, tech ically we are not obligated to bid. We did id 312 Loans this year just for expediency, it allows us to get a starting date a lot quicker than people can get going if they are out getting estimates and contacting the contractors. There is a very great time delay in that and that is why we did bid the 312 Loans. Additionally, then it was all on proposal basis. Mr. McMahon: As Kathy indicated a moment ago, there has been a re- thinking with respect to the Commission's involvement or the City's involve- ment as a contract signatory. The Legal Depart- ment is currently reviewing this entire question. The IUD guidelines that have come down recently have indicated that we should not be signing thes contracts and that it should be a contract stri tly between the homeowner and the contractor. The -egal Department is putting together some guid lines in that regard to identify those areas wher we should take exception to it in order to prot ct the interest of the City. The fact that we a e in the stage of going from one procedure to a other is reflected by the fact that we have a number of these that were bid under the old process and a number of them for which proposals were sought under the process we are going to find ourselves into in the near future. Ms. uburn: Who bears the liability if the con- trac or defaults on performance or if the per- form nce is below code? Does that come back to the ureau of Housing, or the Redevelopment Comm scion? Mrs. Baumgartner: In the contracts now or the prop sed contracts? 8