(a) First, a trained and qualified representative of your servicing housing office must visit your dwelling to identify what repairs or renovation are to be done under the Housing Improvement Program. The representative must ensure that flood, National Environmental Protection Act (NEPA) and earthquake requirements are met.
(b) Second, based on the list of repairs or renovation to be done, the representative must estimate the total cost of repairs or renovation to your dwelling. Cost estimates must be based on locally available services and product costs, or other regional-based, industry-recognized cost data, such as that provided by the MEANs or MARSHALL SWIFT. If the dwelling is located in Alaska, documented, reasonable, substantiated freight costs, in accordance with Federal Property Management Regulations (FPMR 101-40), not to exceed 100 percent of the cost of materials, can be added to the cost of the project.
(c) Third, the representative must determine which Housing Improvement Program category the improvements to your dwelling meet, based on the estimated cost of repairs or renovation. If the estimated cost to repair your dwelling is more than $35,000, the representative must approve your dwelling for replacement or refer you to another source for housing. The other source does not have to be for a replacement dwelling; it may be for government-subsidized rental units or other sources for standard housing.
(d) Fourth, the representative must develop a detailed, written report, also called “bid specifications” that identifies what and how the repairs, renovation, or construction work is to be accomplished at the dwelling.
(1) When the work includes new construction, the “bid specifications” will be supplemented with a set of construction plans. The plans must not exceed the occupancy and square footage criteria identified in § 256.11. The plans must be sufficiently detailed to provide complete instructions to the builder for the purpose of construction.
(2) “Bid Specifications” are also used to inform potential bidders of what work is to be done.