Inactive 8(a) Set-Aside (FAR 19.8)

This is a SOURCES SOUGHT NOTICE to determine the availability and capability of qualified small businesses (including certified 8(a), Small Disadvantaged, HUBZone firms; Veteran-Owned and Service-disa... This is a SOURCES SOUGHT NOTICE to determine the availability and capability of qualified small businesses (including certified 8(a), Small Disadvantaged, HUBZone firms; Veteran-Owned and Service-disabled Veteran-Owned Small Businesses, Women-Owned Small Businesses and Economically Disadvantaged Women-owned Small Business (EDWOSB) to provide the following services. 1.0 Provide Statistical and Economic Analysis and Support Assignments under this contract will cover a broad range of investigative targets and types of violations. The analytical and technical support may take many forms ranging from developing statistical models for fair lending analysis to assisting HUD review of files and documents gathered during the process of the investigations. The Contractor must furnish the necessary personnel, materials, services, equipment, and otherwise do all things necessary for, or incidental to, the performance of these projects. At HUDs request, the Contractor will meet with HUD at HUD headquarters to plan analyses, to inform HUD of the status of work, and to present findings. On an ongoing basis, the Contractor will also be available for less formal reports and consultations via email and telephone. The type of work to be performed may include, but not be limited to: development of research methodologies at the conceptual and applied levels; cleaning and/or entering data provided by HUD; statistical analysis of data sets ranging in sophistication from simple cross-tabulations to multivariate techniques; producing maps and geographic information system (GIS) analyses; evaluation and synthesis of analytical results at both the technical and policy relevant levels; reporting findings to HUD in clearly written, accurate, reports and memos for both technical and nontechnical audiences; providing literature reviews to HUD on relevant fields; and providing industry know-how and industry expertise. 2.0 Provide Analysis that Satisfies Professional Research Standards Professional Standards means that all research and analysis tasks are to be completed utilizing (1) generally accepted research design and evaluation methodologies particularly where development and testing of statistical or economic models are required; (2) organized plans to facilitate reviewing documents regarding the policies and systems being investigated and spotting potential fair housing issues; (3) review of relevant academic and technical literature; and (4) application of relevant industry know-how and industry expertise where relevant. (5) Data analysis must properly utilize advanced statistical techniques where appropriate including parametric regression models such as OLS, GLS, and both binomial and multinomial logistic regression models; hypothesis testing and goodness-of-fit statistics to assess statistical models; statistical matching models; nonparametric regressions (e.g., LOWESS); and density estimation (e.g. kernel density estimation). (6) All evaluation, synthesis, and reporting of analytical results at both the technical and policy relevant levels shall clearly present findings, in both oral and written form, to both technical and nontechnical audiences; and all findings should be accurate, credible, and authoritative. 3.0 Assist HUD in the Identification of Violators of the Fair Housing Act Based on their knowledge of fair housing and fair lending issues, the Contractor will assist HUD by developing new statistical methodology or improving upon the existing statistical methodology HUD has developed over years that will identify persons or entities who may have violated the Fair Housing Act in pervasive and systemic way for further investigation. While many of the cases are lending related, the Contractor may be asked to assist in non-lending cases as well. Examples of lending discrimination may include, among other things, disparities in mortgage denial rates; marketing certain loan products to targeted neighborhoods; refusing to offer loans in targeted neighborhoods; steering borrowers with good credit into higher cost loans; charging excessive broker fees, loan fees, or points; presenting borrowers with written loan terms that differ from those explained orally; charging higher interest rates; and failing to offer borrowers appropriate loan product choices. The potential for lending discrimination also extends to the loan servicing and foreclosure processes. In doing this work, the Contractor will become familiar with the Home Mortgage Disclosure Act (HMDA) data and methodologies for fair lending compliance monitoring, such as HUDs internal procedures and the methodology used by the Federal Reserve Board (See Robert B. Avery, Glenn B. Canner, and Robert E. Cook (2005) "New Information Reported under HMDA and Its Application in Fair Lending Enforcement, Federal Reserve Bulletin, Summer). 4.0 Assist HUD with Analyzing Discriminatory Practices The Contractor will assist HUD by providing analytical and technical support during HUDs investigations involving specific persons or entities (respondents) that have been identified as having potentially violated the Fair Housing Act in pervasive and systemic manner. These investigation targets (respondents) could be the ones identified by the Contractor in performing task 1 in this contract but could also be identified via other channels such as HUDs internal screening and investigations. In lending cases, practices violating the Fair Housing Act include, but not be limited to, disparities in underwriting, pricing, servicing, the availability of loans, or other loan terms and conditions. Issues in non-lending cases include, but are not limited to, the loss of housing opportunities due to policies such as subsidized housing residency preferences, zoning rules, or landlords screening of applicants for rental housing. As requested by HUD, the contractor will provide analytical support, and statistical and economic analysis, in all aspects of its investigations. Contractors will assist HUD in identifying, requesting, and reviewing respondents written policies or guidelines as well as databases needed for statistical analysis. The Contractor shall "clean the data by handling missing values, logically inconsistent values, implausible values, and so on. If required, the Contractor shall scrutinize the accuracy of the data, or a sample of the data, by comparing it to other sources of information, such as the underlying loan documents. The contractor shall recode, create, or impute any variables needed. The contactor shall merge multiple databases when required, for example, combining a respondents administrative data with Census data. In short, the Contractor shall do all that is necessary to convert the data into a form suitable for statistical analysis using standard software such as SAS, Stata, and R; or mapping software such as ArcMap. Using the data and knowledge of the respondents policies, the Contractor will develop an appropriate statistical model and estimate that model using standard statistical software packages. In lending cases, the goal will typically be to replicate the respondents policies and practices, such as their underwriting or pricing policies, in order to determine if a respondent systematically treats similarly-situated individuals differently based on one or more of the prohibited bases. Generally, the Contractor will assist HUD in identifying the appropriate comparison group in order perform a counterfactual analysis. For example, the Contractor may be required to compare accepted applicants or recipients to similarly-situated denied applicants or to a potential applicant pool. Examples include applicants for a loan, rental housing, or a government program. When a similarly-situated comparison group is not easily available, the Contractor will use sophisticated statistical techniques such as regression analysis or statistical matching. For all types of analyses the Contractor will calculate appropriate statistical hypothesis tests, goodness-of-fit statistics, and confidence intervals. When required, contractors will also perform descriptive analysis, such as tabulating the demographics of a respondents housing development or program recipients, or mapping the demographics of census tracts where a respondent makes loans or sites subsidized housing. Descriptive analysis of Census or other data may also be required to determine whether a group harmed by a particular policy, such as renters, surviving spouses, or those with low credit scores, disproportionately consists of a protected class. When appropriate, Contractors will use sophisticated statistical techniques such as kernel density estimation or statistical graphics. In any type of case, the contractor may also be required to conduct other statistical or analytical tasks relevant to HUDs fair housing investigations. Examples include the calculation of economic damages, geocoding, and the use of statistical techniques to impute race or ethnicity, etc. 5.0 Assess Possible Discriminatory Effects of Regulations Under Section 1325 of the Federal Housing Enterprises Financial Safety and Soundness Act of 1992 (FHEFSSA), the Secretary of HUD has fair lending oversight authority over Fannie Mae and Freddie Mac, the two government-sponsored enterprises in the conventional secondary mortgage market. In addition, Title VI of The Civil Rights Act of 1964 prohibits discrimination in programs and activities receiving federal financial assistance. FHEO also reviews HUD regulations such as Federal Housing Administration (FHA) underwriting policies for compliance with the Fair Housing Act. Upon request, the contractor will assist HUD with analyzing the potential discriminatory effects of current or proposed regulations and policies. The subject matter of these analyses may include mortgage lending standards, policies, and practices; the allocation of federal grant money to localities by HUD; the allocation of subsidized housing to individuals; or other regulatory matters. This task will require the contractor to perform the same range of tasks as discussed in Task 2, above. 6.0 Provide HUD with advice on statistical, economic, financial and lending industry issues The Contractor may be asked by HUD to provide consultative advices on various issues, including but not limited to statistical, economic, financial, and lending industry issues, which may or may not be necessarily tied to specific investigations. Examples of these include providing literature reviews to HUD as well as providing industry know-how and industry expertise in assisting HUD in investigations. 7.0 Review and Evaluate Automated Underwriting Systems The contractor shall review, compile, and summarize GSE policies, procedures, processes, analyses, and documentation in order to acquire an understanding of the GSEs mortgage scoring systems, recent changes in these systems, and any implications for fair lending issues. The purpose of this review is to identify issues for further investigation and in-depth analysis. 8.0 Review and Evaluate Automated Valuation Models and Appraisal Standards The contractor shall review, compile, and summarize GSE policies, procedures, processes, analyses, and documentation in order to acquire an understanding of the GSEs Automated Valuation Models (AVMs) and appraisal standards, recent changes in these models and standards, and any implications for fair lending issues. In addition to the details of the AVM, this review may include relevant Dodd-Frank regulations; GSE appraisal standards, guidelines, and rules in place including conflict of interest rules; GSE standardization of appraisal form data; the role of AVMs in the appraisal process; and recent changes in these systems. The purpose of this review is to identify issues for further investigation and in-depth analysis. Some key elements of this review may include: 9.0 Review and Evaluate Automated Underwriting Systems The contractor shall review, compile, and summarize GSE policies, procedures, processes, analyses, and documentation in order to acquire an understanding of the GSEs mortgage scoring systems, recent changes in these systems, and any implications for fair lending issues. The purpose of this review is to identify issues for further investigation and in-depth analysis. 10.0 Review and Evaluate Automated Valuation Models and Appraisal Standards The contractor shall review, compile, and summarize GSE policies, procedures, processes, analyses, and documentation in order to acquire an understanding of the GSEs Automated Valuation Models (AVMs) and appraisal standards, recent changes in these models and standards, and any implications for fair lending issues. In addition to the details of the AVM, this review may include relevant Dodd-Frank regulations; GSE appraisal standards, guidelines, and rules in place including conflict of interest rules; GSE standardization of appraisal form data; the role of AVMs in the appraisal process; and recent changes in these systems. The purpose of this review is to identify issues for further investigation and in-depth analysis. 11.0 Review and Evaluate Other Topics If requested by HUD, the contractor shall review and evaluate GSE policies and conduct in other areas of mortgage lending that may have fair lending implications and fall under HUDs' purview. For example, the GSEs employ servicers; issue guidance to lenders, servicers, mortgage insurers, and other entities; manage foreclosed properties ("REO"); modify the mortgages of homeowners experiencing difficulties; provide or require housing counseling; certify condo, coop, and PUD eligibility; issue debt instruments; hedge with derivative instruments; purchase mortgages; securitize mortgages; sell nonperforming or other loans to private investors; and engage in risk-sharing deals with private investors to reduce GSE mortgage credit risk exposure. However, be advised that generic capability statements are not sufficient for effective evaluation of respondents’ Response must directly demonstrate the company’s capability, experience, and/or ability to marshal resources to effectively and efficiently perform each of the tasks described above in sufficient level of detail to allow definitive numerical evaluation; and evidence that the contractor can satisfy the minimum requirements listed above in compliance with FAR 52.219-14 (“Limitations of Subcontracting”). Failure to definitively address the requirement will result in a finding that respondent lacks the capability of performing the work. Responses to this notice shall be limited to ten pages, and must include: Company name, mailing address, e-mail address, telephone and FAX numbers, website address (if available), and the name, telephone number, and e-mail address of a point of contact having the authority and knowledge to clarify responses with Government representatives. Name, title, telephone number, and e-mail addresses of individuals who can verify the demonstrated capabilities identified in the responses. Business size for NAICS 541990, Size Standard is $16.5 Million and status, if qualified as an 8(a) firm (must be certified by SBA), Small Disadvantaged Business (must be certified by SBA), Woman-Owned Small Business, HUBZone firm (must be certified by SBA), and/or Service-Disabled Veteran-Owned Small Business (must be listed in the VetBiz Vendor Information Pages). DUNS number, CAGE Code, Tax Identification Number, and company structure (Corporation, LLC, partnership, joint venture, etc.). Companies also must be registered in the System for Award Management (SAM) at https://www.sam.gov/portal/SAM/#1 to be considered as potential sources. Identification of the firm's GSA Schedule contract(s) by Schedule number and contract number and SINs that are applicable to this potential requirement are also requested. If the company has a Government approved accounting system, please identify the agency that approved the system. Please submit copies of any documentation such as letters or certificates to indicate the firm’s status (see item #3, above) Teaming arrangements are acceptable, and the information required above on the company responding to this announcement, should also be provided for each entity expected to be teammates of the respondent for performance of this work. To the maximum extent possible, please submit non-proprietary information. Any proprietary information submitted should be identified as such and will be properly protected from disclosure. This notice is for planning purposes only, and does not constitute an Invitation for Bids, a Request for Proposals, a Solicitation, and a Request for Quotes, or an indication the Government will contract for the items contained in this announcement. This request is not to be construed as a commitment on the part of the Government to award a contract, nor does the Government intend to pay for any information submitted as a result of this request. The Government will not reimburse respondents for any cost associated with submission of the information being requested or reimburse expenses incurred to interested parties for responses to this announcement. Responses to this announcement will not be returned, nor there any ensuing discussions or debriefings of any responses. However, information obtained as a result of this announcement may be reflected in the subsequent solicitation, and HUD, OCPO may contact one or more respondents for clarifications and to enhance the Government’s understanding. This announcement is Government market research and may result in revisions in both its requirements and its acquisition strategy based on industry responses. RESPONDENTS MUST SUBMIT CAPABILITY STATEMENTVIA E-MAIL to Darlene Pope at Darlene.Pope@hud.gov. no later than January 5, 2021 1:00 PM Eastern Time for consideration.