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Reverse Auction Program

The Reverse Auction Program is planning the following auction:

Auction 337 - Multi-Family
Saturday, April 19, 2014 | 10:00 am - 4:00 pm (EST)

 Preview of Auction 337

  • (NEW) Auction 337 includes approximately 108 Mutli-Family housing properties in 20 states.  The auction is scheduled for Saturday, April 19, 2014, from 10:00 AM until 4:00 PM Eastern time.  The period of performance will be ninety nine (99) calendar days starting April 23, 2014 and ending July 31, 2014.  It is imperative that these inspections be performed within the period of performance.

    *Please note:  Inspections awarded in Auction 337 cannot be scheduled on the following Federal Holidays:

    Memoral Day - May 26, 2014

    Independence Day - July 4, 2014

    For this auction, we need to make you aware of the slightly modified Uniform Physical Condition Standard protocol that you should be applying when you conduct an inspection from this auction.

    On July 27, 2011, the White House Domestic Policy Council, HUD, Treasury and USDA met with several state Housing Finance Agency (HFA) representatives, the National Council of State Housing Agencies and other stakeholders to discuss the Obama Administration’s efforts to reduce duplicative regulations by better aligning federally funded affordable rental housing programs.

In order to accommodate the needs of the various agencies involved, the following slight variations to the UPCS standard protocol should be applied when you conduct an inspection under this pilot program:

Inspector will generate sample based on the property profile developed on-site and not the total number of units from DCD.

  1. Regardless of the current vacancy rate, vacant units will be inspected when selected as part of the sample.If vacant units come up in the sample, the inspector WILL NOT MARK AS VACANT but will go ahead and inspect it.  (Please remember this because if marked as vacant and saved then inspector will not be able to inspect unit.)  Inspector will put comment in the unit comments field – vacant unit inspected.   The current protocol of selecting an alternate unit in the sample due to reasons such as:  resident sickness, unit in litigation, no keys, etc. remains unchanged.
  2. The inspector should add a note as follows: "HUD Inter-Agency  Pilot Program" in the property inspection tab comment section, in addition to the vacancy rate and bed bug information like they already do.
  3. The inspector will include the actual occupancy rate in the Property Section comment box.
  4. Inspectors must call the TAC (1-888-245-4860) and get a TAC # on each inspection since the property profile will need to be changed for each inspection due to the inclusion of non-HUD affiliated units.

Please note that only the inspections included in this auction need to follow these slight modifications to the protocol.

*PLEASE NOTE:  Auction 337 inspections must be conducted utilizing the new 4.0 software.  Due to the small number of inspections for this auction and the 90 day POP offered, we ask that contractors plan to complete these inspections within the established POP. An extension request will only be considered when the property demonstrates that they are unable to accommodate an inspection within the auction POP. Also, in accordance with the terms and conditions of the Purchase Order, paragraph 6.6.2:  if there is an Unsuccessful Inspection, the contractor shall immediately notify PIH-REAC (via the TAC) of an unsuccessful inspection (RUU), report the status of the inspection via Secure System and provide:  a copy of the POA/ED’s written confirmation of the property profile information; the agreed-upon schedule; and prior understanding that the residents were to be notified.  PIH-REAC will confirm the unsuccessful inspection, notify the contractor, and if confirmed, will authorize payment of the unsuccessful inspection price in accordance with section 8.2.

To participate in the bid process for Auction 337, there are six (6) mandatory requirements that eligible contractors must meet:

  1. Have attended the mandatory pre-bid teleconference held February 5,2014;
  2. Be in good standing with HUD and have no outstanding billing issues;
  3. Have no open past due inspections;
  4. Scheduled inspections for recent auctions by the due date;
  5. Be in compliance with confirmation emails for properly scheduled inspections; and
  6. Have no Termination for Default actions in recent auctions or be prohibited from participating in auctions.

PENALTY: If a contractor is found to be in violation of these terms, the contractor will be notified via email and will be prohibited from participating in the next five (5) auctions.

Please note: The estimated duration did not increase per the preview file and PO; however, it should be considered that a 2 day inspection is a 2.5 day inspection when bidding.  The ceiling prices reflect this change in duration.

Ceiling Prices for Auction 337 are as follows:
Duration Ceiling Price
0.5 Day = $575
1 Day = $675
1.5 Days = $1000
2 Days = $1150
2.5 Days = $1300


  • (NEW)  Per Section 5.1 of the Reverse Auction Program’s Purchase Order Terms and Conditions….”inspectors shall not conduct inspection activities on weekends or Federal holidays”.   The remaining federal holidays in 2014 are as follows:

Remaining Holidays in 2014 for Inspection Scheduling

Holiday Day of Week Date
Memorial Day Monday May 26, 2014
Independence Day Friday July 4, 2014
Labor Day Monday September 1, 2014
Columbus Day Monday October 13, 2014
Veterans Day Tuesday November 11, 2014
Thanksgiving Thursday November 27, 2014
Christmas Day Thursday December 25, 2014


Helpful Links for 4.0 - HUD's New Inspection Software Helpful Information for Becoming a RAP Contractor
Helpful Information for Contractors

Click to Access:
The new 4.0 DCD webpage

Click to Access:
RAPID External User Guide - Contractor Management
Introduction to the Bulk Scheduling module (YOUTUBE VIDEO)

Click to Review:
The Scoring Notice

Introduction to Request a Participant ID
Introduction to the Bulk Scheduling module

Click to Access:
Online Inspector Training

Introduction to Request a RAP ID
Introduction to the Search Inspection module (YOUTUBE VIDEO)

Click to Access:
Multi-Family Training (for property representatives & HUD employees)

Introduction to the Contractor Profile View  Module
Inspector Management - Profile View

Click to Access:
Public Housing Training (for property representatives & HUD employees)


Click to Access:
XML Generator and Bulk Scheduling Process

    XML Generator User Guide

*PLEASE NOTE:  An added feature of the 4.0 software is the Bulk Scheduling process.  For those of you interested in exploring the new 4.0 PASS system and using the “Bulk Scheduling” function in the current PASS System, an XML file must be created.  A tutorial is available and an optional tool has been developed to create an XML file for the Bulk Scheduling feature. The XML generator tool checks for the mandatory fields for Bulk Scheduling and does a data validation before uploading the inspection schedule file to Secure Systems. (See above for access to XML Generator.)

  • The RAP Newsletter - November 2012
  • Special Offering Statement - The following actions will be cause for termination for default for all awarded inspections:

    • Failure to schedule inspections within 20 days of the award email.
    • Failure to update and maintain accurate inspection schedule information in HUD's Secure Systems.
    • Failure to have an active inspector assigned to a scheduled inspection.
    • Failure of inspector to appear for any reason for an inspection scheduled with HUD's Quality Assurance (QA) staff. In these cases QA will conduct the inspection and no payment will be due to the contractor.
  • Special Announcement: Recently, we have noticed that some contractors are attempting to place last minute bids on several lots during the last hour of the auction. Since several of these lots have proxy bids in place, it may take a few minutes to receive confirmation of a bid. Once the bids are placed, the "Place Bids Button" will be grayed out until the bid is verified; please be patient until the bids are finalized for the lot in question.

    All bids placed by the contractors will be finalized on a "first come, first served" basis, and any bids accepted by the auction web site will be considered final. This being said, we expect delays in placing bids during the last hour of the auction, as such we encourage you to place bids as early as possible to ensure that your bids are accepted. HUD will proceed with awarding the auction results based on bids accepted by the auction website. Thank you for your cooperation.
  • Inspection Review Notice: Contractors should check the Inspection Review Web Page often. It is required that posted challenges be responded to within 3 business days. If no response is received within this time-frame, and REAC was not informed of any IT/ technical difficulties, the inspection WILL BE REJECTED. Rejected inspections are not subject to payment.
  • Reminder: It is important that inspections are NOT over-scheduled, and that Scheduler is kept up-to-date, as stated in the UPCS protocol. Contractors must ensure that adequate resources are available prior to bidding. Failure to adhere to the UPCS protocol and/or the Purchase Order Terms and Conditions may result in suspension of an inspector, HUD-rejected inspections, and/or denial of participation in the Reverse Auction Program.
  • UPCS Inspection Protocol Other Hazards - Bed Bug Infestation.

Guiding Documents

 Quick References



*Note: All files below are in MS-Excel format unless otherwise noted.

Contact us at: REACReverseAuctionProgram@HUD.GOV