Physical Inspection Services

>> GOOD AFTERNOON EVERYBODY. I'M GLAD TO SEE SOME FRIENDS I HAVEN'T SEEN IN A WHILE, I'M GLAD YOU'RE HERE. I'M GOING TO INTRODUCE THE PANEL AND HOPEFULLY I WON'T MESS ANYBODY'S NAME UP. JUST ONE PERSON'S, AND I'VE BEEN PRACTICING. THEN WE'LL GET ON WITH THE PROGRAM. SO FIRST PERSON HERE IS JOEL LAFAMIEUX, FROM DENVER CONTRACTING, HE IS A 2 CONTRACTING OFFICER WITH THIS PARTICULAR ACTION, AND D.J.LAVOY, DIRECTOR ASSISTANT SECRETARY FOR RIAC, PATRICK EVANS, PIH'S I.T. DIRECTOR AND TERRY HOLCOMB AT THE END HERE, HE IS WITH RIA AND A RETRAINER AND ALSO SUBJECT MATTER EXPERT ON THE INSPECTIONS. SO JUST A COUPLE OF THINGS REAL QUICK. IF YOU HAVE ANY QUESTIONS, PLEASE, COME UP TO THE MIC. WE'VE BEEN INSTRUCTED TO TELL EVERYBODY THAT, SO THAT -- BECAUSE THIS IS ALL BEING TAPED, SO PLEASE COME UP TO THE MIC IF YOU HAVE ANY QUESTIONS. OTHER THAN THAT, LET'S MOVE FORWARD. >> THANK YOU BRIAN. GOOD AFTERNOON EVERYBODY. WE'RE GLAD YOU'RE HERE. A LOT OF FAMILIAR FACES THAT WE'VE SEEN FROM WAY BACK IN THE DAYS WHEN THE RIAC STARTED AND MANY OF YOU WERE MAJOR CONTRIBUTORS IN THE SUCCESSES WE HAVE ENJOYED. TODAY IS A REALLY IMPORTANT DAY FOR ALL OF YOU AND FOR US IN THAT WE WANT TO SHARE A LOT OF INFORMATION ABOUT THIS VENTURE THAT WE ARE ASKING YOU TO BE PARTNERS WITH. IN THE WORLD WE LIVE IN, YOU NOTICE THERE WAS BACKGROUND MUSIC. HOW MANY TIMES HAVE WE BEEN TO HUD AND SAT IN CHAIRS AND LISTENED TO MELODIC BACKGROUND MUSIC? THE ANSWER IS IT NEVER USED TO HAPPEN. IT'S A NEW PLACE. WE'RE DOING A LOT OF THINGS DIFFERENTLY, WE'RE TRYING TO BE MUCH SMARTER, WE'RE TRYING 3 TO BE MUCH MORE PROGRESSIVE, WE WANT TO BE MORE TECHNOLOGICALLY SAVVY. WE LEAD A LOT OF THAT EFFORT IN THE RIAC, ALL OF HUD IS GOING IN THAT DIRECTION UNDER THE SECRETARY. I'M GOING TO STEP UP TO THE PODIUM AND GO THROUGH A SLIDE PRESENTATION, AND BECAUSE THIS IS ALL BEING RECORDED, A, I'LL REMIND YOU AGAIN, IT'S ALL BEING RECORDED, AND B, WE ARE GOING TO BE SHARING THIS WITH FOLKS WHO WEREN'T ABLE TO MAKE IT HERE TODAY, SO THAT EVERYBODY HAS AN OPPORTUNITY TO LISTEN TO THE DIALOGUE. ONE OF THE THINGS -- AND THERE ARE MANY -- THAT WE WOULD LIKE TO SEE ACCOMPLISHED TODAY, AND THAT IS THE OPPORTUNITY FOR YOU, SITTING IN THE AUDIENCE, TO NETWORK. AS YOU HEAR WHAT WE ARE ASKING YOU TO CONSIDER BEING PARTNERS WITH US IN, YOU WILL SEE THAT THERE'S A LOT OF ASPECTS OF THIS THAT ARE DIFFERENT FROM THINGS WE MIGHT HAVE DONE IN THE PAST IN TERMS OF THE WAY WE DID OUR BUSINESS. AND FOR THAT REASON, WE ARE GOING TO ASK ALL OF YOU TO REALLY THINK HARD ABOUT ALL OF THE WAYS THAT YOU MIGHT CONSIDER DOING THIS. THE GENTLEMAN TO MY RIGHT, JOEL, GOOD FRIEND WHO SUPPORTS US ALL THE TIME, IS THE REFEREE, WITH THE WHISTLE. AND HE IS GOING TO KEEP ME AND ALL OF THE REST OF US SITTING UP HERE ON THE STRAIGHT AND NARROW, WHICH WE HAVE TO DO IN THE WORLD WE 4 LIVE IN. SO AT THIS POINT I'M GOING TO TURN IT OVER TO JOEL AND HE WILL GIVE US THE RULES OF THE ROAD THAT WE NEED TO ADHERE TO. IF HE INTERRUPTS ME OR ANYONE HERE AND SAYS NOT SO FAST, BIG BOY, I AM NOT GOING TO TAKE IT PERSONALLY. I AM GOING TO UNDERSTAND THAT THIS IS SOMETHING THAT IS NOT APPROPRIATE AT THIS POINT IN TIME UNDER THE RULES OF THE ROAD TO BE TALKING ABOUT. SO THAT'S THE WAY WE HAVE TO DO IT, THAT'S THE WAY IT IS, AND I KNOW ALL OF YOU RECOGNIZE AND APPRECIATE THAT. SO JOEL WITH SHARE WITH YOU THE RULES, AND THEN WE WILL GET GOING FROM THERE. >> I JUST WANT TO WELCOME EVERYBODY AND THANK EVERYBODY FOR COMING OUT TODAY. I FLEW IN FROM DENVER SO IT'S EXCITING FOR ME TO COME HERE, FIRST TIME FOR ME TO COME VISIT HUD IN D.C. REALLY I JUST WANT TO GET IT OUT THERE TO BEGIN WITH THAT WE'RE REALLY IN THE MARKET, RESEARCH PHASES OF THIS AND WE'RE DOING THIS SO THAT WE CAN LET INDUSTRY KNOW WHAT WE'RE LOOKING AT AND WHAT WE'RE THINKING ABOUT DOING AND THAT WAY YOU GUYS CAN GIVE US YOUR FEEDBACK AND WE CAN HELP TO MAKE A BETTER PRODUCT THAT'S GOING TO MEET OUR NEEDS AND HELP YOU GUYS BE ABLE TO MEET OUR NEEDS TO THE BEST OF OUR ABILITY, RIGHT? WE HAVE A GOOD FRAMEWORK OF WHAT WE WANT, BUT WE WANT FEEDBACK SO WE MAKE SURE TO GET THE BEST PRODUCT ON THE 5 STREET FOR US AND THE BEST PRODUCT THAT'S GOING TO WORK IN THE WAY THAT YOU KNOW IS THE BEST WAY TO DO BUSINESS. THAT BEING SAID, BECAUSE WE'RE IN THE MARKET RESEARCH PHASE, WE DON'T HAVE A LOT OF THINGS IRONED OUT AS FAR AS EVALUATION CRITERIA, HOW WE'RE GOING TO LOOK AT THAT STUFF AND THAT WILL COME OUT LATER ON, ONCE WE GET INTO THE SOLICITATIONS AND THINGS LIKE THAT, SO THOSE TYPES OF QUESTIONS I WON'T BE ABLE TO ANSWER, NOT BECAUSE I DON'T WANT TO BUT BECAUSE IT'S UP IN THE AIR AND WE HAVEN'T QUITE NAILED THAT DOWN, SO WE'RE MORE TRYING TO TELL WHAT OUR INTENT IS, GIVE YOU THE OPPORTUNITY TO ASK QUESTIONS WHEN THINGS DON'T SEEM CLEAR, SO THAT WHEN IT COMES OUT, YOU WILL BE ABLE TO KNOW. AND THAT'S REALLY THE ONLY RULES THAT I HAVE FOR NOW, UNLESS SOMETHING HAPPENS. LIKE C.J. SAID, IF I INTERRUPT YOU, I'M NOT TRYING TO BE RUDE, I'M JUST TRYING TO MAKE SURE THAT WE ALL KEEP A LEVEL PLAYING FIELD AND DON'T GET AHEAD OF OURSELVES IN THE GAME. >> THANK YOU JOEL. HE HIT UPON A VERY GOOD POINT, JOEL D. THAT I DO WANT TO EMPHASIZE AS I MIGRATE TO THE MICROPHONE AND GO THROUGH THE PRESENTATION. WE HAVE A BUSINESS PLAN THAT YOU WILL SEE DISCUSSED IN THESE SLIDES, AND WE BELIEVE IT TO BE A GOOD BUSINESS PLAN. WE DO NOT TABLE TO BE THE BEST BUSINESS PLAN. THE BEST WILL ONLY COME FROM 6 LISTENING TO WHAT YOU ALL HAVE TO SAY AND GIVING US YOUR IDEAS AND THOUGHTS SO THAT WE CAN GET TO SOMETHING THAT IS REAL, AND THAT ALSO IS SOMETHING THAT WE CONSIDER ALL OF THESE ASPECTS TO GET TO A BUSINESS SOLUTION THAT WE BELIEVE WILL WORK. SO FOR THAT REASON, WE ARE GOING TO BE LOOKING FOR DIALOGUE. THAT IS WHAT THE PURPOSE OF TODAY IS. AND ONCE AGAIN, TO EMPHASIZE, THE FACT THAT IT'S ALL BEING RECORDED SO THAT EVERYONE CAN LOOK AT THIS, IT'S REALLY IMPORTANT, AND AT THE END OF EACH SLIDE, I'M GOING TO STOP SO THAT WE CAN MAKE THIS FLOW, AND I'M GOING TO ASK ANYONE THAT HAS A QUESTION TO GO TO THE MICROPHONE AND THEN LET'S HAVE THAT DIALOGUE. UNDERSTAND THAT THERE IS PROPRIETARY KNOWLEDGE, UNDERSTAND THERE ARE PEOPLE THAT REALLY KNOW THE BUSINESS AND DON'T WANT TO SHARE IDEAS. I TOTALLY GET THAT. BUT WE WILL NOT GET THE BEST PRODUCT POSSIBLE IF WE DON'T SHARE ENOUGH IDEAS TO UNDERSTAND THAT THE FRAMEWORK OF THIS IS WHAT IT NEEDS TO BE TO BE SUCCESSFUL. WITH THAT WE'LL JUST TALK IN JUST A SECOND. >> A FEW GENTLEMEN ON THE LEFT THAT ARE THERE ARE THE SUBJECT MATTER EXPERTS. EVERYBODY HEAR ME IN THE BACK OF THE ROOM? >> YES. >> AND THE SUBJECT MATTER EXPERTS, TERRY AND PATRICK, WILL DEFINITELY BE TALKING TO YOU ABOUT THE AREAS THAT ARE 7 HAVING TO DO WITH THE TECHNICAL ASPECTS, A VERY IMPORTANT COMPONENT AND INSPECTION PROTOCOLS AND THE WAY THIS IS GOING TO WORK. SO BEAR WITH ME. WE WILL START WITH, I THINK -- HERE WE GO, I KNEW WE WOULD START OFF WELL -- TADA, IF YOU WOULD LOOK AT THE -- WHEREVER IT APPLIES TO YOU, WHATEVER YOU WANT TO BE DOING AS YOU LOOK AT THIS, PEOPLE HAVE ASKED THEMSELVES MANY TOMBS, SO WHAT IS HUD DOING. GOOD QUESTION. IN THIS PARTICULAR CASE, WE ARE LAYING THIS OUT IN THE FORMAT THAT YOU SEE ON THIS PARTICULAR SLIDE BECAUSE WE WANT EVERYONE TO SEE A FULL EXPRESSION OF THE DIALOGUE. I AM NOT GOING TO INSULT YOUR INTELLIGENCE AND STAND HERE AND READ TO YOU WORD FOR WORD WHAT THIS SAYS. WE JUST WANT EVERYONE TO BE ABLE TO SEE WHAT THIS PARTICULAR COMPONENT IS. THIS CONTRACT ACTION IS AN INDEFINITE QUANTITY CONTRACT THAT YOU CAN SEE THAT IS SPELLED OUT. WHAT THAT MEANS, WITH A 12 MONTH BASELINE AND FOR 12 MONTHS AFTERWARDS, I.E., FIVE YEARS. THE TYPE OF INSPECTIONS THAT WE ARE LOOKING AT DOING ARE ALSO LISTED RIGHT BELOW IT. AND WE ARE GOING TO TALK ABOUT SOME OF THESE AS WE GO DOWN THE ROAD. BUT THE FIRST BLOCK OF WORK THAT WE WOULD BE ASKING YOU TO DO IS THAT OF CONDUCTING HQS INSPECTIONS, HOUSING QUALITY STANDARDS. THOSE PARTICULAR INSPECTIONS ARE WHAT THE CURRENT PROTOCOL 8 CALLS FOR FOR THE VOUCHER PROGRAM THAT IS DONE AROUND THE COUNTRY. I'LL DIGRESS FOR A SECOND FOR SOME OF YOU THAT MAY NOT KNOW SPECIFICALLY HOW THAT'S DIFFERENT, BECAUSE YOU CAN SEE THE REST THAT IS THERE, UPCS, UPCSV, WHICH WE WILL TALK ABOUT IN A FEW MINUTES MORE SPECIFICALLY, THEN YOU SEE WHITE HOUSE, UNITED STATES DEPARTMENT OF AGRICULTURE, IRS, AND OTHER QUALITY STANDARDS THAT ARE OUT THERE. SO HERE IS THIS MENU. MANY OF YOU HAVE BEEN INVOLVED FROM DAY ONE ON WHAT WE AFFECTIONATELY CALL UPCS, YOU ARE FAMILIAR WITH IT, YOU WORKED THROUGH THE FIRST VERSION, YOU WORKED FOR 2.3, YOU ARE WORKING WITH 4. O, OUR CURRENT VERSION. SOME OF YOU MAY BE VERY EXPERIENCED AT HQS, HOUSING QUALITY STANDARDS. THE BASIC DIFFERENCE IS THAT THE INSPECTION PROTOCOL FOR THOSE THAT ARE FAMILIAR, OR NOT FAMILIAR, IS A LIST OF 79 ITEMS, ALL PASS-FAIL, AND IT IS A 100 PERCENT INSPECTION. WHAT I MEAN BY THAT IS THAT ALL THE UNITS HAVE TO BE INSPECTED. SO THE BUSINESS RULES THAT GO THROUGH THAT ARE ONES THAT ARE MUCH DIFFERENT OF THE SAMPLING METHODOLOGY THAT WE USE FOR UPCS. MUCH DIFFERENT. WHY ARE WE DOING ALL OF THIS? WE ARE DOING IT BECAUSE WE WANT TO ENSURE THAT NO MATTER IF YOU LIVE IN VOUCHER PROGRAM, BRICK AND MORTAR, OR WHATEVER, THAT THE STANDARDS FOR THE PEOPLE THAT LIVE 9 THERE MEET THE STATUTORY REQUIREMENT OF DECENT, SAFE AND SANITARY, AND TO GET TO THAT REALM, WE HAVE TO BE DOING A BETTER JOB OF LOOKING AT THOSE STANDARDS TO MAKE SURE THEY ARE BEING ENFORCED. SO I'VE COVERED THE FIRST SLIDE. ARE THERE ANY SPECIFIC QUESTIONS ON THAT SLIDE? YOU DON'T HAVE TO RAISE YOUR HAND, JUST MIGRATE TOWARD THE MICROPHONE AND WE WILL TAKE THE QUESTION AND THEN GO TO THE NEXT SET. I SEE NO MIGRATIONS, OKAY? LET'S GO TO THE NEXT SLIDE. THAT WAS GOOD. THAT WAS THE NEXT SLIDE. THERE WE GO. WHY ARE WE DOING THIS? CONTINUING. AS WE LOOK AT A NUMBER OF ISSUES THAT I JUST TALKED ABOUT A MINUTE AGO, ONE OF THE THINGS THAT WE HAVE TO DO RIGHT NOW FROM A MANAGEMENT DECISION AND OTHER DIRECTION IS TO INITIALLY COMPLETE 10,000 HQS INSPECTIONS. WE HAVE DONE ABOUT 1000 OF THESE IN HOUSE TO GET THE PROCESS DOWN TO THE POINT THAT WE ARE VERY COMFORTABLE WITH THE WAY THAT WE WOULD REQUIRE IT TO BE DONE, AND WHAT WE WOULD THEN BE ASKING IN SOME OF THE INITIAL TASK ORDERS ONCE WE HAVE THESE CONTRACTS IN PLACE WOULD BE TO CONTINUE THIS EFFORT, ALONG WITH ADDITIONAL INSPECTIONS THAT WOULD FOLLOW. THE NEXT PARTICULAR COMPONENT THAT YOU SEE THERE DESCRIBING ANSWERING THE QUESTION OF WHY SPEAKS TO DELIVERING TOGETHER, WHICH WAS AN 10 INTERNAL HUD INITIATIVE, LOOKING AT THE BROAD SPECTRUM OF AREAS THAT WE ASK DIFFERENT RULES TO BE FOLLOWED IN TERMS OF HOUSING AUTHORITIES AND REALIZING THAT WE NEEDED TO DO A BETTER JOB INTERNALLY COORDINATING WHAT THOSE ACTIVITIES NEED TO LOOK LIKE. WE PUT TOGETHER A PROJECT OF DELIVERING TOGETHER, AND ONE OF THE THINGS I JUST KIND OF TOUCHED UPON A MINUTE AGO, WE WANT TO HAVE A SINGLE STANDARD FOR ALL OF THE HUD PROPERTIES, REGARDLESS OF THE PROGRAM BY WHICH THEY ARE FUNDED. THE NEXT BULLET IS BASICALLY LOOKING AT THAT AREA THAT WE REFER TO AFFECTIONATELY AS THE WHITE HOUSE INITIATIVE. WHAT THAT WAS ABOUT IS THAT WE HAVE IN THE WORLD OF TAX CREDITS THE UPS STANDARD FOR THE IRS. EVERYBODY, I WOULD ASSUME, IS FAMILIAR WITH THE TASK PRODUCT PROCESS AND THERE IS A REQUIREMENT EVERY THREE YEARS THAT THE PROPERTIES BE INSPECTED DURING THE LIFE OF THAT TAX CREDIT, BE IT 4 PERCENT OR 9 PERCENT AND THE IRS WANTS TO BE ABLE TO AUDIT THAT INFORMATION. AT THE SAME TIME, THE STATE FHAS ARE THE ONES THAT RECEIVE THE TAX CREDIT FUNDING. THEY ARE RESPONSIBLE FOR CONDUCTING THE INSPECTIONS. SO AN UNINTENDED CONSEQUENCE IN THE PAST WAS THAT WE HAD INSPECTORS, BECAUSE IT WAS THREE DIFFERENT ENTITIES, FHA, MORTGAGEES, AND HUD, ALL WITH A VESTED INTEREST. WE WOULD SOMETIMES 11 UNINTENTIONALLY SHOW UP WITHIN DAYS OF EACH OTHER TO ALL CONDUCT THE SAME INSPECTION. NOT NECESSARILY THE BEST INTERESTS OF THE CITIZENRY AND ALSO NOT THE MOST COST EFFICIENT OR EFFECTIVE WAY OF DOING BUSINESS, SO WHAT THE WHITE HOUSE INITIATIVE IS ABOUT AND WE'RE NOW INTO THE THIRD YEAR IS TO GET TO A SINGLE INSPECTION, AND IT'S WORKING VERY, VERY WELL. WE DID A VERY SMALL PILOT THE FIRST YEAR, A SMALLER PILOT, AND NOW IN THIS YEAR, FY14, WE ARE DOING THE LARGER PILOT. WE HAVE 27 STATES THAT ARE ON LINE TO BE ABLE TO DO THIS WITH US, SOME VERY LARGE STATES, NEW YORK, TEXAS, CALIFORNIA, ET CETERA. THE SCALE IS RELATIVELY SMALL AT THIS POINT. WE ARE STILL WORKING THROUGH THE PROTOCOLS OF EXCHANGING INFORMS. BUT I THINK ALL OF YOU THAT HAVE BEEN IN THE BUSINESS FOR A WHILE UNDERSTAND THAT WHERE THIS CAN GO IS VERY, VERY LARGE, AND THAT IF WE FOUND THE RIAC, HUD, INSPECTING AS THE PRIMARY SOURCE FOR ALL OF THESE OR A LOT OF THESE PARTICULAR STATE TAX CREDIT DEALS, DURING THE LIFE CYCLE OF THIS, THERE'S AN AWFUL LOT OF WORK INVOLVED IN DOING THAT. IT WOULD BE TO THE UPS STANDARD. THAT IS WHAT WE ARE LOOKING AT WHEN WE TALK ABOUT THE WHITE HOUSE INITIATIVE. THE CONTRACT SERVICE PART THERE IN THE LAST BULLET BASICALLY TALKS TO, ONCE 12 AGAIN, THE FACT THAT WE'VE GOT AN AWFUL LOT OF PROPERTIES, AN AWFUL LOT OF THINGS THAT ARE GOING ON, AND THAT WE NEED TO DO A BETTER JOB OF THE SCHEDULING COMPONENT, ET CETERA, BECAUSE I THINK ALL OF YOU CAN APPRECIATE THIS, WE ALL LIVE IN A HOME OF SOME SORT AND WE ALL HAVE BUSY LIVES. THE SAME THING APPLIES TO PEOPLE THAT LIVE IN ASSISTED OR AFFORDABLE HOUSING. WE WANT TO BE ABLE TO PROVIDE THEM THE COMMON COURTESY OF THE 2-WEEK NOTICE, WE WANT THEM TO BE ABLE TO UNDERSTAND THAT WE WANT TO COME IN AND LOOK AT THE PROPERTY AT LEAST ONCE, ET CETERA, ET CETERA, SO TRYING TO GET THIS ALL DOWN TO SOMETHING THAT WORKS AND IS MANAGEABLE IS ONE OF THE MANDATES, WORKING WITH THE WHITE HOUSE AND THE OTHER INITIATIVES WE'RE DOING, THAT WE WANT TO MAKE DARN SURE IT WORKS CORRECTLY. THAT'S THE END OF THAT SLIDE. ANY QUESTIONS? DOING PRETTY GOOD SO FAR. OR NOT! >> ALL RIGHT. LET'S SEE IF I CAN GET THE BUTTON RIGHT. THE NEXT SLIDE STARTS TALKING TO THE NUTS AND BOLTS OF WHAT THIS WILL LOOK LIKE. AND WHAT YOU SEE UNDERLINED VERY CAREFULLY IS THE WORD "ANTICIPATED". THAT IS OUR CURRENT THINKING, THAT IS THE CURRENT NUMBERS WE'RE LOOKING AT. SO WE'RE THINKING RIGHT NOW, LOOKING AT WHAT'S ON THE HORIZON AND THE WORK WE HAVE TO DO, THAT WE WOULD SEE SOMETHING IN THE MAGNITUDE OF 13 8000. SOMEWHAT OF A FLOOR. AND IT COULD GO AS HIGH AS 50,000 IN TERMS OF A CEILING. I WOULD TELL YOU THAT THOSE NUMBERS ARE BASED UPON A LOT OF PENCIL AND -- SHARP PENCIL AND PAPERWORK. THEY ARE SUBJECT TO CHANGE. HENCE THE WORD ANTICIPATED. BUT IT GIVES YOU A SENSE OF THE VOLUME THAT WE ARE TALKING ABOUT THAT WE WOULD BE DOING UNDER THESE PROPOSED ACTIONS THAT WE ARE NOW TALKING ABOUT TODAY. I'VE ALREADY TALKED ABOUT RESIDENT NOTIFICATION. I KEEP REINFORCING IT. IT'S SOMETHING THAT MAKES THE HQS COMPONENT A LITTLE BIT DIFFICULT FOR US, AND THAT'S PART OF WHAT WE ARE GOING TO DESCRIBE AS WE GO THROUGH THIS. BUT IT'S SOMETHING THAT WE HAVE TO WORK THROUGH IN THAT THE WAY THE HQS INSPECTIONS HAVE TO BE CONDUCTED, WHICH I WILL TOUCH UPON. THE THIRD BULLET IS THAT ONE OF THE BIG CHANGES THAT WE ARE GOING TO BE TALKING ABOUT IS THAT WE ARE USING HUD-CERTIFIED INSPECTORS, TRAINED IN THE APPROPRIATE TOOL NOW, AND WE ARE GOING TO TALK ABOUT HOW WE ARE GOING TO BE SHIFTING THOSE RESPONSIBILITIES AS WE GO FORTH TO THE MODEL THAT WE ARE PROPOSING. WE ARE LOOKING AT THE FACT, BECAUSE YOU ARE GOING TO HAVE TO BE DO THIS ON SOMEWHAT SIMILAR PROTOCOLS DOWN TO THE PROPERTY LEVEL, ET CETERA, AND I THINK YOU ALL UNDERSTAND WHAT THAT MEANS. THE DISCREPANCIES AND THE 14 OTHER COMPONENTS ADDS A NEW DIMENSION AND YOU SEE THE WORD DIGITAL CAMERA IMAGE. AN INITIATIVE THAT WE HAVE IN PLACE THAT WE HAVE USED FOR OUR FIRST 1000 HQS INSPECTIONS, AND WE'RE GOING TO BE COMING TO YOU WITH THAT PARTICULAR REQUIREMENT, AT THE APPROPRIATE TIME -- NOT NECESSARILY RIGHT IN THE VERY BEGINNING -- IS THAT WE ARE GOING TO BE ASKING FOR THE CAPABILITY TO BE ABLE TO TAKE PICTURES, WHICH SOFTWARE TODAY RIGHT DOWN TO YOUR HAND-HELD TELEPHONE AND MINI PRACTITIONERS, ALREADY DO, OF CERTAIN LEVELS OF DISCREPANCIES SO THAT WE HAVE A MUCH STRONGER RECORD AND MUCH STRONGER CASE WHEN NECESSARY AS TO THE CONDITION OF THE PROPERTY. A PICTURE IS WORTH A THOUSAND WORDS, AND ONE OF THE THINGS WE FIND MANY TIMES IS THAT PEOPLE DON'T NECESSARILY UNDERSTAND A MARK OF A PARTICULAR DISCREPANCY BUT THE PICTURE THAT ACCOMPANIES IT MAKES IT A VERY CLEAR AND DISTINCT OBSERVATION AND CHANGES THE WHOLE GAME, WHETHER IT IS A HOUSING AUTHORITY DEALING WITH AN OWNER AND THE CONDITION OF THE PROPERTY OR IT IS HUD AS THE FEDERAL REGULATOR DEALING WITH A PHA OR MULTI-FAMILY ENTITY, TO EASILY DEMONSTRATE THIS IS WHAT WE SEE, THIS IS WHAT IT LOOKS LIKE, AND I THINK WE CAN GET TO ACKNOWLEDGMENT IF NOT CONSENSUS IN FAIRLY SHORT ORDER WITH THAT CAPABILITY. INSPECTION DATA, ET CETERA, THAT WE ARE LOOKING AT HERE TO THE TOOLS AND THE SECURE 15 SYSTEM COMPONENTS, THIS WORD THAT I HAVE THERE IS "PASS". THE PROPERTY ASSESSMENT SUB SYSTEM. ALL OF YOU ARE VERY FAMILIAR. WHAT THAT REFERS TO, IT'S ALL GOING TO STAY WITHIN THE CONFINES OF PASS BUT THE ACTUAL DYNAMICS ARE GOING TO CHANGE AS WE GO ALONG, JUST DRIVEN BY THE FACT THAT WE HAVE TO CHANGE OUR BUSINESS MODEL. ANY QUESTIONS OR COMMENTS? >> I WOULD LIKE TO SAY SOMETHING. >> PLEASE DO JOEL. >> WHEN WE ARE TALKING ABOUT ANTICIPATED VALUES, AND WE SPOKE ABOUT IN THE BEGINNING ABOUT AN IDIQ, WE ARE ANTICIPATING DOING A MULTIPLE WARD IDIQ SO THAT WE WOULD COMPETE THE INSPECTIONS DEPENDING UPON HOW THEY COME DOWN, IF THEY COME DOWN IN A SET OF 8000 OR -- THAT WILL BE WORKED OUT IN THE SOLICITATION WHEN WE ARE ESTABLISHING THE IDIQS, BUT WE ARE ANTICIPATING MULTIPLE WARD IDIQS WHERE WE WOULD HAVE SEVERAL DIFFERENT COMPANIES AND FROM THAT WE WOULD COMPETE THE ACTUAL ACTIONS FOR THE INSPECTIONS. IN THIS FACE WE'RE TALKING ABOUT, WHEN WE'RE SETTING UP THE IDIQ AND FOR THE ACTUAL INSPECTIONS, THOSE ARE ANTICIPATED RIGHT NOW MINS AND MCS THAT WE THINK WOULD GO UNDER THE IDIQ BUT COMPETED UNDER THE AWARDEES OF THE IDIQ. I WANT TO MAKE SURE THAT WAS CLEAR FOR YOU GUYS. >> I APPRECIATE THAT, AND I WOULD CLARIFY FOR ALL OF YOU, IT'S NOT LIKELY THAT WE WOULD 16 SAY HERE, GO DO 8000 INSPECTIONS. IT WOULD BE BROKEN DOWN INTO A MUCH MORE DIGESTIBLE CHUNK, BUT THANK YOU FOR THAT CLARIFICATION. IT'S AN IMPORTANT POINT. YES, SIR? >> MY QUESTION IS IN LINE WITH WHAT YOU ARE TALKING ABOUT HERE. WE ARE TALKING ABOUT 8000, TO 50,000 INSPECTIONS. IN THE HQS WORLD, THAT WOULD BE 8000 DWELLING UNITS AND IN THE RIAC WORLD, 8000 ENTIRE COMMUNITIES WITH US, YOU KNOW -- SAMPLE. >> IT'S AN ASTUTE OBSERVATION, YES. >> COULD WE ADDRESS WHETHER WE'RE TALKING ABOUT 8000 DWELLING UNITS OR IS THIS A MIX OF HQS STYLE AND UPCS STYLE WHERE THERE'S A SAMPLE? >> THAT'S A GREAT QUESTION. SO IS THIS ALL, AS I SAID EARLIER, REMEMBER, HQS IS AT THE UNIT LEVEL, OR IS THIS ALL JUST PROJECTS AND JUST AS YOU OBSERVED, IT'S A COMBINATION, SO THINK OF THOSE AS PARTICULAR CONTRACT ACTIONS TO JOEL'S POINT THAT WE WILL BE BREAKING DOWN TO DIGESTIBLE, AND I MEAN AS IN MANAGEABLE QUANTITIES. IT WOULDN'T BE GO DO 8000 UNITS PERHAPS, BUT IT WOULD DEFINITELY BE SOMETHING WHERE WE WOULD TAKE BASED UPON THE GEOGRAPHY, THE COST, THERE'S A BUNCH OF THINGS INVOLVED FROM AN INTERNAL REASON, THAT WE WOULD BREAK IT DOWN TO THAT. WE DON'T FORESEE COMBINING HQS AND UPCS IN THE SAME TASK ORDER. IT WOULD BE A DISTINCT TASK 17 ORDER FOR EACH ONE BECAUSE THERE'S A -- THERE'S A CERTAIN SET OF REQUIREMENTS THAT GO FOR EACH ONE SO YOU WOULD SEE THE HQS UNIQUE, UPCS UNIQUE AND FOLLOWING FROM THAT POINT. YES, SIR? >> TO JOEL'S COMMENT, IT PROMPTED A QUESTION, WHICH DO YOU FORESEE THE SOLICITATIONS BEING BEST QUALIFIED, LOWEST QUALIFIED OR A MIX? >> WE ANTICIPATE GOING OUT IN THE INITIAL SOLICITATION FOR THE IDIQ AS BEST VALUE, TRADEOFF PROCESS, WHERE WE'RE GOING TO LOOK AT THINGS, PAST PERFORMANCE, DIFFERENT TECHNICAL APPROACHES, STUFF LIKE THAT, THEN HOPEFULLY, WE WANT TO DO THE ACTUAL INSPECTION TASK ORDERS AS LIKE A LOWEST PRICE, TECHNICALLY ACCEPTED TYPE OF ACTION, OR THAT PROCESS MAY KIND OF EVOLVE AS WE GO THROUGH DOING TASK ORDERS. BUT THE IDIQ PROCESS WILL BE A TRADEOFF PROCESS. >> GOOD ANSWER. YOU KNOW, I MADE A SLIGHT FAUX PAS AND I'M GOING TO CORRECT IT NOW. HERE I AM, ASKING TO ENHANCE NETWORKING AND I'VE NOT DONE AN IMPORTANT STEP IN THAT REGARD, AND THAT IS THIS: I WOULD LIKE EACH OF YOU TO STAND UP, STARTING IN WHATEVER ORDER -- I WANT TO START RIGHT HERE, AND GIVE US YOUR NAME, THE COMPANY YOU REPRESENT, AND ANY OTHER SALIENT POINTS YOU'D LIKE TO SHARE. SHORT PLEASE. SIR? >> AND YOU DON'T HAVE TO GO TO THE MICROPHONE. 18 THANK YOU. >> [INAUDIBLE] >> THANK YOU MATT. >> [INAUDIBLE] >> LET'S START -- JAMIE? >> [INAUDIBLE] >> >> WE'LL DO THAT WHOLE SECTION AND COME BACK UP TO THE ROW. GO AHEAD. >> [INAUDIBLE INTRODUCTIONS] >> [INAUDIBLE INTRODUCTIONS] >> THANK YOU, IS THERE ANYONE I MISSED? I SHOULD HAVE DONE THAT -- SORRY. >> [INAUDIBLE INTRODUCTIONS] >> THANK YOU. YOU CAN HEAR FROM EVERYBODY'S INTRODUCTION, SELF INTRODUCTIONS, AND THE DIFFERENT FIRMS THAT THEY ARE A PART OF THAT WE HAVE A TREMENDOUS WEALTH OF KNOWLEDGE AND EXPERIENCE IN THE ROOM. AND ONCE AGAIN, ONE OF THE INTENDED CONSEQUENCES OF THIS INDUSTRY MEETING IS TO ENHANCE AND ENCOURAGE THE NETWORKING NECESSARY TO GET TO THE SOLUTION. SO THERE WILL BE LISTS OF PEOPLE, I THINK, THAT JOEL WILL BE LOOKING AT, AND I THINK WE PROVIDE THAT, DO WE NOT, OF ALL THE ATTENDEES? >> WE HAVEN'T REALLY, BUT THE WEBCAST IS GOING TO BE RECORDED AND WE CAN TALK THROUGH WHAT WE ARE GOING TO -- >> SO EVERYBODY CAN SEE WHAT THE CONTEXT -- >> I DON'T WANT TO GIVE OUT OTHER E-MAILS TO EVERYBODY ELSE, SO IF YOU WANT TO CONNECT WITH SOMEBODY, PROBABLY CONNECT NOW. 19 >> OKAY. >> I DON'T WANT TO -- I'D RATHER YOU MAKE THE CONNECTION THAN ME SEND IT OUT, YOU YELL AT ME FOR HAVING EVERYBODY E-MAIL YOU ALL THE TIME. >> OKAY, WE'LL FOLLOW THE RULES BUT WE'LL MAKE SURE THAT ALL OF YOU HAVE THE OPPORTUNITY TO CONNECT IN A WAY THAT MAKES THE MOST SENSE. DID I SEE A HAND? >> YES. >> [INAUDIBLE QUESTION] >> >> CAN WE DO THAT, PUT A LIST OF EVERYBODY HERE? >> WE CAN TALK AFTERWARDS AND I'LL FIGURE SOMETHING OUT. WE HAVE A WAY FOR PEOPLE ONLINE TO MAKE QUESTIONS SO IF WE HAVE QUESTIONS THAT WE DON'T GET ANSWERED, I'LL POST AN AMENDMENT THAT HAS ANY OF THE QUESTIONS AND WE'LL TALK THROUGH WITH OUR -- >> WHAT THEY ARE LOOKING FOR IS CONTACT INFORMATION. >> RIGHT. I'LL FIGURE OUT A WAY THAT WE CAN DO IT TO WHERE EVERYBODY WILL BE OKAY. >> [INAUDIBLE COMMENT] >> SO MAYBE WE CAN HAVE YOU LIKE INITIAL NEXT TO YOUR NAME ON THE WAY OUT IF YOU WANT TO BE ON THERE, AND IF YOU DON'T, THAT WAY WE'LL CROSS YOU OUT AND DO IT LIKE THAT. >> PRIVACY ACT! >> YES, WILL THAT WORK? >> OKAY, HOW ABOUT THAT, WE'LL DO IT BY EXCEPTION, IF YOU DON'T WANT YOUR INFORMATION TO BE SHARED, GO AND TELL AT THE REGISTRATION ON THE TABLE, ROSE WILL BE 20 OUT THERE -- SO ON THE WAY OUT, ROSE WILL BE OUT THERE, LET HER KNOW, SHE WILL MARK YOU OFF THE LIST AND WE'LL SEND THE LIST OUT TO EVERYBODY ELSE. DOES THAT WORK? >> DOES THAT WORK FOR EVERYBODY? >> GOOD. SLIGHT INTERRUPTION BUT WE HAD TO MAKE SURE WE DID THAT. WE ARE AT THE POINT, INSPECTION CAPABILITIES AND GOING TO THE NEXT SLIDE. LET'S SEE. NO, I DIDN'T COVER -- NO. WE'RE ON PAGE FIVE. WHICH I HAVE TO CHANGE. MAINTAIN TO ACCEPT, ET CETERA. I STARTED TALKING EARLIER, AND I PROBABLY SHOULD GO BACK TO IT, AND I WILL DISCUSS IT JUST BRIEFLY -- PROBABLY AS GOOD A POINT AS ANY -- WHAT WOULD BE THE SUCCESSOR TO UPCS -- EXCUSE ME, HQS, AS WE LOOK AT THIS, AND -- WELL, TELL YOU WHAT, LET ME COVER THE NEXT SLIDE. IT WOULD BE EASIER THAT WAY. I'LL STAY WITH THIS FORMAT. YOU CAN SEE THAT WE ARE TALKING NOW ABOUT HOW THIS WOULD WORK. SO ENVISION THAT WE WOULD EXPECT YOU TO BE USING THE PROTOCOLS YOU KNOW, WHICH IS UPCS, YOU WOULD BE USING HQS. I WILL DESCRIBE WHAT UPS LOOKS LIKE IN A FEW MINUTES, AND WE WOULD TALK ABOUT ANY OTHER PROTOCOLS THAT WOULD EVOLVE AND THERE ARE SOME THAT OTHER AGENCIES ARE LOOKING AT THAT WE MIGHT HAVE A REQUIREMENT PARTICULARLY BECAUSE OF THE WHITE HOUSE INITIATIVE OR INVOLVED IN. 21 THEY WOULD NOT BE SOMETHING, NOT EVERYBODY -- I MEAN EVERYBODY WOULD HAVE THE OPPORTUNITY TO USE THAT PROTOCOL SHOULD WE PUT THAT IN PLACE. BUT WE'RE TELLING EVERYBODY, IT'S NOT JUST WHAT WE'VE DONE IN THE PAST, WHICH IS PRIMARILY UPCS INSPECTIONS. IT'S A BROADER MENU OF THE TYPE OF INSPECTIONS THAT WE WANT TO SEE. YOU CAN SEE READING THIS, MAINTAIN THE CAPABILITY, AND I APOLOGIZE, I'M GOING TO READ THIS FIRST ONE, BECAUSE THIS IS REALLY A DIFFERENCE, TO ACCEPT AND TRANSFER DETAILED INSPECTION INFORMATION AND INSPECTION RESULTS. THAT IS GOING TO LOOK SOMETHING LIKE THIS. CURRENTLY, IN OUR REVERSE AUCTION, WE MAINTAIN THE ENTIRE SYSTEM ON THE INSIDE OF THE HUD FIRE WALL. WHAT WILL BE DIFFERENT AS WE ARE ENVISIONING, AND WE DO REALLY WANT TO HEAR YOUR FEEDBACK, FOR A NUMBER OF REASONS, MANY HAVING TO DO WITH CAPACITY INTERNAL TO US, WHAT WE ARE LOOKING AT, AND ALSO FOR THE QUALITY ASSURANCE RESPONSIBILITIES, WE ARE LOOKING AT A MUCH DIFFERENT MODEL IN THAT THE TASK ORDER WOULD BE ISSUED, THE AWARDEE WOULD THEN HAVE A SPECIFIC TIME PERIOD, AS WE NORMALLY DO RIGHT NOW, THAT THEY WOULD HAVE TO CONDUCT THESE INSPECTIONS, BUT WHAT'S MUCH DIFFERENT, RATHER THAN THE PROCESS GOING ON WITHIN OUR DOMAIN, IS THAT YOUR DOMAIN WOULD BE THAT WHICH WOULD BE CONTROLLING THE 22 PROCESS GOING FORWARD. SO WE WOULD GIVE YOU -- LET'S SAY FOR CONVERSATION'S SAKE, THE 500 ADDRESSES OF THE PLACES WE WANTED INSPECTED. AND FROM THAT POINT ON, IT WOULD BE HELD WITHIN YOUR INFRASTRUCTURE, PREFERABLY CLOUD, THAT WOULD BE THERE, AND YOU WOULD BE DOING THE SCHEDULING, YOU WOULD BE CONDUCTING THE INSPECTIONS, YOU WOULD BE RESPONSIBLE FOR THE QUALITY ASSURANCE, ET CETERA, WITH US HAVING THE ABILITY TO CONTINUOUSLY MONITOR FOR QUALITY INSPECTION PURPOSES. BUT THE THING THAT IS REALLY DIFFERENT IS THAT YOU ARE CONDUCTING THE ENTIRE PROCESS ON YOUR SERVERS, YOUR INFRASTRUCTURE. WE WOULD THEN SEE A COMPLETED PRODUCT THAT WE WOULD, AT OUR TILE AND CHOOSING, BUT OBVIOUSLY UNDERSTANDING PROMPT PAYMENTS, ET CETERA, WE WOULD THEN BE GOING INTO YOUR PARTICULAR SITE AND WE WOULD BE PULLING THAT INFORMATION TO DO OUR QA AND ALSO BE READY FOR THE INVOICES THAT WILL BE COMING, AND WE WILL BE TALKING ABOUT PAYMENT LATER. SO THE ENTIRE PROCESS WOULD THEN BE RESTING, IF YOU WOULD, WITH THOSE FIRMS THAT WERE ON THE LIST AND THE ONES THAT ARE COMPETING FOR THESE TASK ORDERS. MUCH DIFFERENT THAN WHAT WE HAVE DONE IN THE PAST. IT HAS WITH IT A LOT OF RESPONSIBILITIES, BUT WE ARE ASKING IN THIS CASE TO BE SHARING RESPONSIBILITIES MUCH MORE THAN WE DO CURRENTLY IN OUR REVERSE AUCTION MODE. 23 FOR THOSE THAT HAVE BEEN WITH US FOR A LONG TIME, THIS IS VERY SIMILAR, IN MANY WAYS, TO WHAT WE HAD DONE IN THE PAST IN TERMS OF PARTICULARLY THE QUALITY ASSURANCE AND THE PARTICULAR ASPECTS OF THE INSPECTION TO BE DONE BY THAT CONTRACT ENTITY THAT IN FACT IS CONDUCTING THE INSPECTION. I'M GIVING YOU THAT OVERVIEW, BUT YOU CAN SEE THE WEB BASE, DATA BASE. I'VE ALREADY TOUCHED THAT POINT. WE'RE ALSO LOOKING THAT WE CAN GET TO IT ANY TIME, 24 HOURS A DAY, SEVEN DAYS A WEEK. THE QUALITY ASSURANCE, I KIND OF TOUCHED UPON. I CAN'T EMPHASIZE IT MUCH MORE THAN THAT. WE WILL TALK ABOUT THE TRENDING ASPECTS IN A COUPLE OF MINUTES. BUT THE QUALITY ASSURANCE COMPONENT HAS TO DO WITH THE QUALIFICATIONS OF THE INDIVIDUAL WHO IS CONDUCTING THE INSPECTION, THAT -- IT HAS TO DO WITH THE QUALITY OF THE INSPECTION ITSELF. BASICALLY YOU ARE CERTIFYING THAT YOU ARE SENDING US A GOOD INSPECTION AND THAT'S BASICALLY WHAT CHANGES FROM WHAT WE'VE DONE BEFORE. I GENERATED QUESTIONS. THAT'S GOOD. >> YES. >> I NEED CLARIFICATION. YOU HAVE MAINTAINED THE CAPABILITIES TO ACCEPT. DOES THAT MEAN CREATE AND MAINTAIN OR DOES IT MEAN MAINTAIN? ARE YOU GOING TO PROVIDE THE BASIC DIGITAL FRAMEWORK TO -- IN OTHER WORDS ARE YOU JUST 24 GOING TO, LIKE, TAKE YOUR CURRENT SCHEDULING CAPABILITIES AND MOVE THEM OVER WHERE WE MAINTAIN THEM OR DO WE HAVE TO DEVELOP FROM SCRATCH -- >> WHY DON'T YOU TAKE A SHOT AT THAT. MY I.T. EXPERT -- THAT'S A GOOD QUESTION. >> I THINK THE VIEW THAT WE ARE TAKING IS THAT SAY WE AWARD YOU 500 HQS INSPECTIONS. WE WOULD PROVIDE YOU THE DETAILS OF WHAT ADDRESSES THOSE ARE, WHAT PROTOCOL WE'RE GOING TO BE USING, ET CETERA. FROM THAT -- AND YOU WOULD HAVE A TIME FRAME THAT THAT WILL BE DONE IN, WHATEVER THAT TIME FRAME IS. FROM THAT POINT ON, YOU WILL BE RESPONSIBLE FOR WORKING WITH THE PROBABLY AGENTS TO BE ABLE TO SCHEDULE WHEN THEY ARE GOING TO BE SCHEDULED, SO WE'RE GOING TO PROVIDE YOU THE RAW DATA OF WHICH ARE THE PROPERTIES THAT YOU ARE GOING TO BE INSPECTING, THEIR ADDRESSES, AND SO ON, BUT FROM THAT POINT ON, YOU WOULD BE RESPONSIBLE FOR SCHEDULING WHICH OF YOUR EMPLOYEES WILL BE DOING THAT, WORKING WITH PROPERTY AGENTS, MAINTAINING THAT. WE WOULD HAVE THE ABILITY TO BE ABLE TO PULL THAT INFORMATION AT ANY POINT TO SAY WE CAN LOOK AT YOU ARE GOING TO BE DOING ONE FIRST STREET, THURSDAY, 2:00 IN THE AFTERNOON AND THIS IS THE INSPECTOR THAT IS GOING TO BE DOING THAT. >> BUT WILL THERE BE -- LIKE RIGHT NOW YOU HAVE TO 25 DOWNLOAD YOUR PROFILE FOR THE RIAC INSPECTIONS. FOR RIAC INSPECTIONS, LET'S JUST SAY -- FOR HQS, I COULD SEE WHERE IF YOU'RE JUST USING A FORM, THERE'S NO NEED TO DOWNLOAD. THAT'S A GUESS. BUT FOR RIAC, AS FAR AS THE INFRASTRUCTURE, TO DOWNLOAD, YOU KNOW, THE PROPERTY PROFILES AND THE REUPLOADS, WE HAVE TO CREATE THAT WHOLE INFRASTRUCTURE? OR WILL WE CONTINUE TO USE HUD'S? >> WE ARE GOING TO PROVIDE THE PROPERTY PROFILES FOR YOU. >> BUT THAT'S IT. >> THAT WILL BE IT. >> WE HAVE TO COME UP WITH A WAY TO UPLOAD AND DOWNLOAD THE PROFILE. >> WE WILL PROVIDE YOU THE 500 PROFILES AND THE TIME FRAME AND THE PROTOCOLS YOU ARE GOING TO BE USING, BUT AFTER THAT, IT'S YOUR RESPONSIBILITY TO SCHEDULE, ET CETERA, MAINTAIN THAT INFORMATION IN A WAY THAT WE CAN OBTAIN THAT INFORMATION WHEN WE NEED IT. >> AND TO THAT POINT, IT'S A GREAT QUESTION. SO WE'RE SHARING WITH YOU THAT -- AND THERE ARE TWO SIDES TO THIS. WE COULD SEE HERE'S ALL THE SOFTWARE, USE IT. THAT HAS LIMITATIONS IN ITSELF BECAUSE WE KNOW THERE ARE BETTER SOLUTIONS OUT THERE. SO WE'RE SAYING THIS IS WHAT WE WANT THE BUSINESS MODEL TO LOOK LIKE. YOU SCHEDULE, WE'LL TELL YOU THE PROPERTIES. 26 FROM THAT POINT ON, YOU OWN THE PROCESS. WE WANT TO SEE THE FINISHED PRODUCT THAT WE CAN RETRIEVE, CHECK FOR QUALITY AND PAY YOU ON. THAT'S WHAT'S DIFFERENT. >> SO EVEN LET'S SAY FOR UPCS, WE'LL HAVE TO COME UP WITH OUR OWN INSPECTION SOFTWARE FROM SCRATCH? OR YOU KNOW -- >> WELL, THE 4. O, IF I UNDERSTAND THE QUESTION, YOU'RE GOING TO USE 4. O. >> OKAY. >> AND I'M GOING TO TALK ABOUT HQS IN A SECOND. I DIDN'T DO A THOROUGH JOB ON THAT SO THAT MIGHT BE A CONFUSION BUT YEAH, YOU'RE GOING TO OWN THE PROCESS FROM THE TIME YOU ARE AWARDED. YOU WILL BE GIVEN THE INFORMATION, EVERYTHING YOU NEED, TO BE ABLE TO CONDUCT THE INSPECTIONS AND YOU WILL DO ALL OF THE INSPECTIONS, SCHEDULING, THE ENTIRE PROCESS, AND GIVE US THE INFORMATION WE CAN RETRIEVE TO DO QUALITY ASSURANCE AND PAY ON. >> I'M SORRY TO KEEP ASKING. SO WE HAVE TO CREATE OUR OWN VERSION, BASICALLY, AND -- >> THAT'S WHAT WE WANT TO HEAR, BECAUSE THAT'S PART OF THIS DIALOGUE TODAY. I'M GIVING YOU A WAY WE'RE LOOKING AT DOING THIS. >> RIGHT. >> I THINK YOU ARE THINKING MORE OF THE WAY THAT WE -- WE WANT TO BE ABLE TO RETRIEVE THE INFORMATION. >> YES. >> WE DON'T CARE HOW WE GET THE INFORMATION. BUT THE PROTOCOLS AND 27 EVERYTHING THAT'S REQUIRED TO BE DONE THROUGH THE INSPECTIONS, WE'RE GOING TO GIVE YOU ALL THE PROTOCOLS, EVERYTHING THAT NEEDS TO BE DONE. HOW YOU STORE THE INFORMATION AND MAKE IT ACCESSIBLE TO US SO THAT WE CAN QUALITY CHECK WHAT WAS COMPLETED, WE ARE NOT GOING TO REALLY GET DEEP INTO THAT I.T. PART OF IT. JUST THAT WE NEED TO HAVE THE ABILITY TO ACCESS THE PICTURES AND THINGS LIKE THAT WHEN WE ARE REQUESTED TO SHOW THE INFORMATION AND FOR US TO QC IT. SO I DON'T THINK WE ARE THINKING -- I DON'T THINK IT'S IN THE MIND-SET OF WHAT WE ARE ANTICIPATING AS TO ACTUALLY HAVING TO DEVELOP SOMETHING TO DO THAT. IF THERE IS A REQUIREMENT TO ACTUALLY DEVELOP THE SOFTWARE, THEN WE MAY NEED TO THINK THROUGH IT A LITTLE MORE, BECAUSE I DON'T THINK THAT'S REALLY WHAT WE ARE LOOKING AT TRYING TO DO, CORRECT? >> CORRECT. >> SO WE'RE NOT TRYING TO GET YOU A DEVELOP A SYSTEM TO GO OUT AND DO THE INSPECTIONS AND STUFF. WE'RE GOING TO PROVIDE THE PROTOCOLS, THE I.T. PORTION OF MORE OF WHAT WE ARE LOOKING FOR, TO BE ABLE TO HAVE THE IMAGES AND DATA STORED SO THAT WE CAN PULL IT WHENEVER WE NEED TO AND IT'S ACCESSIBLE TO US, BUT NOT THAT -- WE DON'T WANT TO CREATE A SITUATION WHERE YOU'RE HAVING TO DEVELOP AN ENTIRE SOFTWARE SYSTEM IN ORDER TO HANDLE IT. 28 THAT'S KIND OF WHY WE'RE HAVING THIS CONVERSATION, SO MAKE SURE THAT'S NOT WHAT OUR INTENTIONS WOULD REQUIRE. SO YOU ARE SAYING THAT BY SAYING THAT, YOU THINK YOU WOULD HAVE TO DEVELOP A SYSTEM IN ORDER TO DO THE INSPECTION? >> ACTUALLY THE WAY YOU HAVE IT, I WANTED IT TO SAY MAINTAIN BUT I WANTED TO MAKE SURE YOU DIDN'T MEAN CREATE AND MAINTAIN. >> WE ARE THINKING WE WOULD DO THE INSPECTIONS, PROTOCOLS AND ALL THAT STUFF, HAND THAT OUT. THE ONLY PART IN THE AIR THAT WE WOULD BE LOOKING AT, IN SOLICITATION AND IDIQSS, HOW WE ACCESS THAT INFORMATION, ONCE SOMEONE GOES TO THE ADDRESSES, PHYSICALLY DOES THE INSPECTION, INPUTS THE DATA INTO WHATEVER MECHANISM WE ARE ABLE TO ACCESS IT AND WE'RE ABLE TO LOOK AT IT. >> STILL ONE THING I'M NOT CLEAR ON, S4, IS IT GOING TO GO AWAY OR NOT GO AWAY? >> 4. O? >> YES. >> THAT'S A GOOD QUESTION. THE ANSWER IS IT'S NOT GOING AWAY. THAT IS THE CURRENT VERSION, THE CURRENT PROTOCOL WE'RE UTILIZING FOR THE INSPECTIONS, SO WE ARE NOT ENVISIONING CHANGING 4. O. I'M GOING TO TALK TO STANDARDS IN ANOTHER SLIDE THAT GOES ON. I MEAN, IF THAT HELPS YOUR QUANDARY OR YOUR QUESTION, 4. O REMAINS 4. O, THAT'S THE STANDARD BY WHICH WE EXPECT THE INSPECTIONS TO BE CONDUCTED TO. 29 I THINK WHAT WE ARE TRYING TO FRAME HERE IS THAT THE ENTIRE PROCESS, FROM THE TIME THAT THE TASK ORDER HAS BEEN AWARDED, WILL BE THAT INDIVIDUAL ENTITY THAT HAS BEEN AWARDED THAT. THEY WILL BE RESPONSIBLE FOR EVERYTHING, FROM CONDUCTING AND NOTIFYING AND ALL THE THINGS THAT WE NOW DO TO OUR SOFTWARE WILL BE DONE BY THAT PARTICULAR ENTITY, AND THEY WILL BE RESPONSIBLE FOR GIVING US A FINISHED PRODUCT, AND WE -- THAT WE CAN ACCESS. WE WILL PULL, NOT A PUSH. WE WILL FULL AND MAKE SURE WE CHECK IT FOR QA AND DO THE PROMPT PAYMENT NECESSARY TO MAKE SURE THAT WE PAY ON TIME. >> I MEAN, THERE'S STILL A GAP IN THERE. BECAUSE. >> CAN I CHIME IN HERE? AT THE MOMENT, WHEN YOU HAVE A REVERSE AUCTION, YOU PULL THAT ONE OR TWO OR THREE INSPECTIONS AT A TIME. SO AN INSPECTOR WILL PULL DOWN THE INSPECTION, WILL SCHEDULE IT THROUGH OUR SYSTEM. >> WELL, AS THE CASE MAY BE, WE DO ALL THAT SEPARATELY AND SYNC OUR SYSTEMS BUT THE BOTTOM LINE, THE SYSTEM, THE ACTUAL FRAMEWORK FOR THE INSPECTION. >> SO YOU WILL RECEIVE THE FRAMEWORK AND INSTEAD OF SAYING ONE OR TWO, HOW EVER MANY YOU WIN, YOU'RE GOING TO GET THOSE IN ONE. >> THAT'S HOW WE DID IT IN THE EARLIER DAYS. >> SO THEN YOU'RE GOING TO WORK OUT WITH THE PROPERTY OWNER, WITH THE TENANTS, AND 30 DO THE INSPECTIONS, YOU ARE GOING TO PERFORM THE INSPECTION, YOU ARE GOING TO REVIEW THOSE INSPECTIONS ON YOUR OWN SYSTEM. >> OKAY. >> OKAY? ONCE THAT REVIEW AND THAT QC PROCESS IS COMPLETE, THEN WE WILL BE ABLE TO PULL THAT COMPLETED INSPECTION, BECAUSE IF YOU'RE IN THE MIDDLE OF QCING IT, WE DON'T WANT TO PULL SOMETHING THAT YOU ARE IN FLIGHT WITH, SO ONCE YOU HAVE A COMPLETE INSPECTION, WE CAN THEN PULL ALL 500 BACK AT ONE TIME OR HOWEVER MANY WE'VE GOT AT ONE TIME, RATHER THAN YOU PUSHING THEM BACK TO US AS YOU CURRENTLY DO AND WE WILL PERFORM OUR OWN WORK ON THAT. SO YOU WILL BE HOLDING THE INSPECTION RESULTS ON SOMETHING MORE THAN JUST THE CURRENT HANDHELD THAT YOU DO TODAY. THAT'S WHAT WE ARE ENVISIONING, THAT YOU WILL BE HAVING A REVIEW PROCESS AND SCHEDULING PROCESS ON YOUR SIDE FOR THOSE INSPECTIONS RATHER THAN USING OUR SOFTWARE TO DO THAT. >> OKAY. >> DOES THAT ANSWER THE QUESTION? >> DOES THAT HELP? >> RIGHT, YEAH. >> HIS QUESTION IS ARE YOU EXPECTING US TO USE THIS PROCESS TO CREATE ORIGINAL TYPES OF INFRASTRUCTURE TO COMPLETE THIS TASK? >> YOU NEED TO HAVE THAT -- I'M NOT EXPECTING THAT. WHAT I'M SAYING, YOU NEED TO HAVE THAT CAPABILITY TO BE A PART OF THIS, BECAUSE THAT'S 31 WHAT IT'S GOING TO REQUIRE. >> [INAUDIBLE QUESTION] >> THERE ARE OTHER ENTITIES OUT THERE THAT HAVE THIS. SO HOWEVER IT WORKS, YOU NEED TO HAVE THAT CAPABILITY TO BE IN THIS PARTICULAR PROCESS WE ARE DESCRIBING. >> I'M SORT OF IN THE DISCUSSION MODE NOW, WHERE I SEE WE WILL DOWNLOAD FROM SDR BUT HAVE THE CAPABILITY TO VIEW THE UPLOADS BUT WE DON'T UPLOAD THEM TO YOU, WE KEEP IT AFTER THE UPLOAD AND SEND IT TO YOU A DIFFERENT WAY? >> YES. >> SO WE WILL -- WE HAVE BEEN SETTING MORE INDUSTRY STANDARDS FOR THE INSPECTION, SO WE ARE GOING TO HAVE A SET OF PROTOCOLS, WE HAVE A PRODUCT THAT WE DO, BUT THAT WOULD NOT BE THE ONLY PRODUCT THAT COULD BE USED, AS LONG AS YOU -- THERE ARE A SET OF GOVERNING RULES THAT SAY YOU HAVE TO INSPECT IT IN A PARTICULAR WAY. IF YOU WISH TO USE A DIFFERENT PRODUCT THAT YOU HAVE, AS LONG AS IT COMPLIES WITH THOSE PROTOCOLS, THAT WILL BE YOUR CHOICE. >> OKAY. >> SO YOU COULD USE THAT. THEN WE WOULD TRANSFER IT BACK TO US IN AN INDUSTRY-AGREED FORMAT. >> THANK YOU. >> OKAY. >> GOOD QUESTIONS. >> SIR? >> I'M GOING TO SPIN OFF ON YOUR INDUSTRY FORMAT. IS IT POSSIBLE WHEN YOU PROVIDE THE 500 INSPECTIONS OR WHATEVER THAT YOU DO IT IN LIKE A STANDARD FORMAT, A PIC FILE, SINCE OUR SCHEDULING 32 MODULE NOW, WE CAN OBTAIN THAT INFORMATION AND WE SCHEDULE THROUGH THERE? ARE YOU GOING TO HAVE A STANDARD FORMAT FOR IT? >> YES, WE ARE LOOKING AT MORE THAN JUST A HUD FORMAT. AND NO OTHER AREAS IN HUD, WHEN THEY DEAL WITH PROPERTIES, USE THINGS LIKE MOST STANDARDS OR NEM STANDARDS OR GEOGRAPHICAL STANDARDS, WE WILL BE LOOKING AT GETTING FEEDBACK FROM YOU, AS TO WHICH OF THAT TYPE OF STANDARDS OR WHICH COMBINATIONS OF THOSE STANDARDS WOULD BE THE MOST APPROPRIATE FOR THIS TYPE OF INFORMATION. >> WE CURRENTLY PULL ALL OF THEM IN. >> WE WILL BE LOOKING AT THOSE TYPES OF STANDARDS THAT APPLY ACROSS OTHER AREAS, AS WELL AS IN TRYING TO -- >> INCLUDING USDA, ET CETERA. >> YES, SO WE DON'T HAVE A RIAC OR PHA OR HUD STANDARD, WE TRY TO MAKE USE OF WHAT'S ALREADY BEEN DEVELOPED. >> GOOD, THANK YOU. >> THANK YOU. YES, SIR? >> I'VE GOT A COUPLE OF QUESTIONS. NUMBER ONE, UNDER THE IDIQ, DO YOU HAVE A SENSE AS TO HOW MANY FIRMS YOU'RE LOOKING TO PLACE UNDER THAT VEHICLE? THEN SECONDLY, DO YOU ENVISION ANY KIND OF SMALL BUSINESS CARVEOUTS AND WHAT TYPE. LASTLY -- >> CAN WE DO THEM AT ONE TIME? IT'S FRIDAY AFTERNOON AND WE'RE ALREADY OVERWHELMED. I'M GOING TO LET YOU DO THE 33 FIRST ONE JOEL. >> SO THE FIRST ONE IS WE ANTICIPATE RIGHT NOW, WHAT WE ARE THINKING, IS 3-7 BUT IT WOULD REALLY DEPEND ON THE TYPE OF RESPONSE THAT WE GET TO IT. THE EVALUATIONS THAT WE GO THROUGH AND STUFF LIKE THAT. BUT THAT'S KIND OF THE RANGE THAT WE'RE DOING. BECAUSE WE WANT TO LOOK AT OUR MINIMUMS AND MAXIMUMS, WE WANT TO ENSURE THERE'S ENOUGH WORK THAT EVERYBODY WOULD BE ABLE TO DO STUFF AND STAY INTERESTED AND THINGS LIKE THAT. BUT WE DON'T WANT TO HAVE A SMALL NUMBER SO THAT PEOPLE ARE OVERWHELMED BY THE VOLUME. SO WE ARE TRYING TO FIND THAT KIND OF SWEET SPOT AND IT'S REALLY GOING TO DEPEND UPON WHAT KIND OF RESPONSE WE GET TO THE ACTUAL SOLICITATION. AS FAR AS THE SET ASIDE, NOTHING IS REALLY -- THIS IS STILL PART OF THE MARKET RESEARCH PROCESS, AND THERE'S A GOOD CHANCE WE'RE GOING TO GO BACK OUT WITH ANOTHER RFI AFTER THIS, AFTER WE HAVE REFINED OUR REQUIREMENTS A LITTLE MORE BASED OFF THESE DISCUSSIONS AND THINGS LIKE THAT TO ENSURE THAT WHAT WE ALL DISCUSSED IN HERE AND HOW THIS CHANGES OUR FRAME OF THINKING FROM A CONTRACTING AND PROGRAM SIDE, THAT WE INCORPORATE KIND OF THIS DIALOGUE THAT WE'RE HAVING THERE AND SEE WHEN WE GO BACK OUT. SO IT'S GOING TO BE GOOD TO -- WHEN THAT COMES OUT AGAIN, TO RESPOND TO THAT, SO THAT YOU CAN GIVE US YOUR INPUT IN 34 THAT INFORMATION, TOO. BECAUSE WE WILL BE LOOKING FOR MORE INFORMATION TO MAKE SURE WE'VE KIND OF SHARPENED OUR PENCILS BASED OFF OF THIS AND OUR PREVIOUS RFI AND THINGS LIKE THAT. YOU HAD ANOTHER ONE. >> THE LAST QUESTION IS IN TERMS OF FILE STORAGE, WOULD SHARE POINT BE ACCEPTABLE FOR THIS TYPE OF ENGAGEMENT? >> WE ARE LOOKING MORE AT INDUSTRY STANDARDS, SO ARCHITECTURE, WEB SERVICES, MUCH MORE OF AN INDUSTRY STANDARD TO EXCHANGE DATA BETWEEN BUSINESS TO BUSINESS OR BUSINESS TO GOVERNMENT. SO WE ARE LOOKING MORE IN THAT THAN SORT OF A WINDOWS PROPRIETARY FORMAT. WE'RE NOT TRYING TO SPECIFY A PARTICULAR SOFTWARE VENDOR, OR A PARTICULAR HARDWARE VENDOR. WE ARE LOOKING AT SOMETHING THAT WOULD BE MUCH MORE JUST AN INDUSTRY STANDARD, AND IF YOU WISH TO DO IT ON AN IPAD OR ANDROID OR TABLET OR A -- YOU CAN DO THAT, AS LONG AS YOU MEET THE PROTOCOLS AND THE STANDARDS, WE WOULDN'T BE BASICALLY DICTATING WHICH HARDWARE OR SOFTWARE PLATFORM YOU USE. IT WILL BE MORE OF A SET PROTOCOL A SET OF STANDARDS AND WE WOULD BE LOOKING AT THAT. >> AND IT WOULD COME DOWN TO SOMETHING THAT WOULD GO INTO OUR EVALUATIONS OF THE SOLICITATION. WE'RE GOING TO PUT THE PROTOCOLS AND STANDARDS IN THERE, YOU ARE GOING TO COME UP WITH THE BEST WAY TO DELIVER IT, AND WE ARE GOING 35 TO LOOK AT THAT AND SEE IF, BASED ON TECHNICAL CRITERIA, IF WE THINK THAT THAT IS GOING TO MEET OR -- THOSE TYPES OF THINGS. SO THAT KIND OF THING. WE'RE NOT GOING TO STEP OUT AND SAY WE NEED YOU TO DO THIS. WE WANT TO GET AWAY FROM DOING THOSE TYPES OF THINGS AND MOVE TO YOU TELLING US WHAT YOU THINK IS GOING TO WORK BEST AND US THINK THROUGH IT ON THE TECHNICAL EVALUATION SIDE AND DETERMINE HOW WE CONTINUING WILL WORK TOO. >> THANK YOU. >> GREAT QUESTIONS, THANK YOU. YES MA'AM? >> TO THAT POINT, I'M ASSUMING -- I'M STARTING THE BASIS THAT WHATEVER THIS IS, WHETHER IT'S COMMERCIAL OFFICE SOFTWARE, OR SOMETHING WE NEED TO BUILD TO MAINTAIN THIS DATA BASE, IT'S GOING TO HAVE COST INVOLVED, SO NO MATTER HOW MINIMAL. SO MY QUESTION IS, AS A PART OF THE IDIQ, WILL THE FIRM JUST NEED TO SHOW YOU A PLAN FOR THAT? OR IS THIS SOMETHING THAT WE HAVE TO HAVE, YOU KNOW, READY TO ROCK AND ROLL AT THE TIME THAT WE SUBMIT THE RFP? >> WHEN WE DO THE IDIQ, WE WILL HAVE THAT GUARANTEED MINIMUM. SO PROBABLY WHATEVER PORTION OF THAT MINIMUM WE DO ON AN IDIQ WILL EITHER GO TO DEVELOPING THAT INFRASTRUCTURE OR WE HAVE THE REQUIREMENT FOR INSPECTIONS ALREADY RIGHT NOW IN PLACE THAT WE NEED TO GET DONE. 36 SO IT'S REALLY GOING TO DEPEND ON HOW THE TIMING WORKS OUT OF THE SOLICITATION COMING OUT AND HOW WE WOULD DO THAT BUT IT WOULD BE SOMETHING WE WOULD ANTICIPATE EITHER DOING UNDER THAT MINIMUM REQUIREMENT THAT WE'RE REQUIRED TO DO OF THE IDIQ, WOULD BE DEVELOP THANK PLATFORM, OR GETTING IT IN PLACE OR WHATEVER, OR WITH THE FIRST TASK ORDER, IF WE BREAK UP THE INSPECTION REQUIREMENT WHERE WE HAVE 10,000, WE'VE ALREADY DONE ABOUT 1000 THEMSELVES, DEPENDING UPON THE TIMING OF IT, WE WILL BREAK IT UP OR DO -- WE ARE LOOKING AT THE LOGISTICS COMPLETELY OF HOW THAT WOULD WORK. IT WOULD FALL SOMEWHERE IN THAT FRAMEWORK BUT I CAN'T REALLY SPECIFICALLY ANSWER IT. >> SOW WE HAVE TO HAVE SOMETHING READY TO GO AT THE TIME WE SUBMIT THE RFP? >> NOT NECESSARILY. IT IS SOMETHING WE WOULD EVALUATE. I WOULDN'T SAY YOU HAVE TO HAVE YOUR SYSTEMS IN PLACE BY THE TIME WE'RE EVALUATING THE PROPOSALS AND STUFF LIKE THAT, BUT YOU WOULD HAVE TO HAVE SOME SORT OF PLAN OF HOW IT WAS GOING TO WORK. >> RIGHT. >> THEN WE WOULD EXPECT NOT TOO LONG AFTER THE IDIQS WERE AWARDED THAT IT WOULD BE WORKING AND IN PLACE. >> OKAY. >> IN THE CAPACITY OF -- >> BECAUSE OBVIOUSLY, THE -- >> I WOULDN'T EXPECT YOU TO DEVELOP SOMETHING JUST FOR A PROPOSAL, BECAUSE THEN YOU 37 MAY BE HOLDING SOMETHING WITH NOTHING TO DO WITH IT AND NO MONEY TO SHOW FOR IT. >> OKAY, THANK YOU. >> THANK YOU. >> ALL RIGHT. I'D LIKE TO MOVE AWAY FROM THE I.T. PART, BECAUSE I THINK THAT'S LIKE REALLY -- I WANT TO TALK ABOUT PERSONNEL AND FIELD ON THE GROUND. FEET ON THE GROUND, ACTUALLY. THE FIRST PHASE LOOKS LIKE ITS EMPHASIS ON HQS, QCS INSPECTIONS, RIGHT? >> CORRECT. >> WHAT ARE WE TRYING TO ACCOMPLISH HERE? ARE WE TALKING ABOUT -- BECAUSE WE NEED TO KNOW THE LOGISTICS. ARE WE TALKING ABOUT DOING THE QC INSPECTIONS THAT HOUSING AUTHORITIES ARE REQUIRED TO DO INTERNALLY AND REPLACING THAT ASPECT OF IT, OR ARE WE DOING QCS BASICALLY ON THEIR QCS? >> OR ARE WE DEALING WITH JUST TROUBLED AGENCIES? >> I UNDERSTAND AND IT'S A GREAT QUESTION AND I SHOULD HAVE COVERED IT EARLIER BUT I DIDN'T. LET ME DO IT NOW WITH THIS PROMPT. WHAT WE ARE DOING IN THIS FIRST ROUND OF 10,000 HQS INSPECTIONS WITH MANY MORE TO FOLLOW, MOST LIKELY, FOR THOSE THAT READ THE BUDGET, WHAT WE ARE DOING IS CHECKING TWO THINGS: WE ARE CHECKING FOR THE CONDITION OF THE PROPERTY, TO THE HQS INSPECTIONS, AND WE ARE ALSO CHECKING AS TO THE CONDUCT OF THE INSPECTION BY THE PARTIES THAT ARE DOING IT. WHAT THAT REQUIRES IS THAT 38 YOU, THE INDIVIDUAL INSPECTOR, BOOTS ON THE GROUND, TO USE YOUR WORDS, WOULD BE SIMULTANEOUSLY DOING THAT INSPECTION WITH THE PHA. THE ENTITY, CONTRACTOR, OR EMPLOYEE THAT'S DOING IT. >> A FOLLOW-ALONG. >> YOU ARE GOING WITH THEM, IS THE WAY THAT WE HAVE DONE THIS. NOW, WE ARE CERTAINLY WILLING TO LISTEN TO SOMETHING THAT MAY BE A CONCERN, BUT WHAT WE HAVE FOUND IN THE 1000 PLUS THAT WE HAVE DONE, IT WORKED FINE, AND THE MAIN REASON IS, YOU REMEMBER WHAT'S DIFFERENT IN THIS CASE, WE ARE DOING 100 PERCENT IN THAT GIVEN TIME PERIOD. SO BECAUSE IT'S NOT A SAMPLE, WHICH COMPLICATES THINGS A LITTLE BIT IN TERMS OF KNOWING FROM YOUR OWN EXPERIENCE, IF THAT PARTICULAR HOUSING AUTHORITY ON THE FIRST OF FEBRUARY, AND THEY HAVE TO DO THESE, PARTICULARLY THE LARGE HOUSING AUTHORITIES, WHICH IS WHERE WE'RE FOCUSING TO START WITH, ARE DOING 100 A DAY, WHICH IS WHAT IT TAKES IF THEY HAVE A LARGE PROGRAM, 10 ON THE DICE THAW SCHEDULE AND WE'RE NOT GOING TO TELL YOU WHICH WAYS TO GO, WE'RE GOING TO TELL YOU WHAT WE WANT FOR AN OUTCOME, THAT WOULD BE THE DAY THAT YOU ACCOMPANY THAT PARTICULAR INSPECTOR AND YOU WOULD MAKE YOUR OWN SET OF OBSERVATIONS, CHECKING FOR TWO THINGS, A, YOUR OWN SET OF OBSERVATIONS AS TO THE CONDITION OF THE PROPERTY AT THE HQS STANDARDS, AND YOUR OBSERVATION AS WHO HOW WELL OR NOT THAT INDIVIDUAL 39 INSPECTOR DID THEIR JOB OF FOLLOWING THEIR STANDARDS. DOES THAT ANSWER THE QUESTION? >> WELL, YES. >> IT'S NOT DIFFERENT THAN ANYTHING WE'VE DONE IN THE PAST. >> I UNDERSTAND. AND THERE'S A LOT OF LOGIC FOR THAT. BUT AS FAR AS DOING THE PARALLEL INSPECTION, I MEAN, THERE ARE NINE SOFTWARE, TABLET, COMPUTER, DATA COLLECTIONS, SO ON, SO FORTH, ARE WE SHADOWING THE INSPECTOR? I LOVE THAT WORD. SHADOWING THE INSPECTOR? >> WE'VE USED THAT WORD BEFORE. YES, WE ARE SHADOWING CONCURRENT, WHATEVER YOU WANT TO USE. I'M GOING TO TALK IN THE NEXT SLIDE ABOUT SPECIFICALLY THE SOFTWARE APPLICATION, BECAUSE UNLIKE UPCS, WE DON'T HAVE A PROTOCOL HARD AND FAST FOR THE INSPECTION CRITERIA IN THE CASE OF HQS. THERE'S AN AWFUL LOT OF DISCRETION, BECAUSE REMEMBER, IT'S PASS-FAIL. WE DON'T DO LEVEL ONE, TWO, THREE, WE DON'T DO ANY OTHER PARTS. BUT LET ME TURN TO TERRY TO MAKE SURE THAT I'M TALKING TO THE SUBJECT MATTER EXPERT HERE, BECAUSE I DON'T WANT TO MISSTATE ANYTHING. >> YOU WILL BE SIDE BY SIDE, SHADOWING THE CONTRACT INSPECTOR OR THE HOUSING AUTHORITY INSPECTOR OR EMPLOYEE AND CONDUCTING AN HQS INSPECTION BY FEDERAL REGULATION, BECAUSE WHAT WE 40 HAVE FOUND IN ALL THE PREVIOUS INSPECTIONS THAT WE HAVE DONE IS THAT THE INDIVIDUAL HOUSING AUTHORITIES HAVE ADAPTED OR ADOPTED ADDITIONAL CODES, LOCAL BUILDING CODES, OR LOCAL HOUSING CODES, AND THEIR OWN ADDITIONAL ABOVE THE FEDERAL HQS REQUIREMENTS, AND A LOT OF THEM ARE IN LINE WITH THE UPCS, BUT YOUR GOAL RIGHT NOW AS THE QC OF THE HOUSING AUTHORITY ON THE HQS WILL BE THE HQS FEDERAL REGULATIONS WITHOUT THE LOCAL CODE EXCEPTIONS OR WITHOUT THE HOUSING AUTHORITY REQUIREMENTS THAT ARE OVER AND ABOVE THAT REGULATION. THAT'S WHAT WE ARE ASKING YOU TO DO. >> OKAY. SO IT BASICALLY IS JUST A MANPOWER SITUATION, TRAVEL, MANPOWER, YOU GET THERE, YOU DO IT, IT'S A DONE DEAL, YOU NOTIFY THE HOUSING AUTHORITY THAT YOU ARE GOING TO BE DOING IT. SO THERE'S NO CALL CENTER, NO PAPER MAIL NOTIFICATION, NOTHING. >> VERY SIMPLE. >> OKAY. >> THEY ARE THE ONE DOING ALL THE SCHEDULING, THEY ARE THE ONES THAT SET IT ALL UP, YOU ARE SHADOWING, TO USE YOUR WORD, SHOWING UP, CONDUCTING THE INSPECTION, USING ONLY OUR STANDARDS, AND TO TERRY'S POINT, WHAT WE ARE COMING TO REALIZE, IN THE ONES SO FAR, THEY TAKE THE 79 AND DOUBLE IT WITH EVERYTHING, LOCAL CODE, ET CETERA, ET CETERA. WE'RE NOT ASKING ANYTHING ABOUT THAT PART OF THE INSPECTION. 41 WE WANT TO SEE THE HQS STANDARDS, ARE THEY, IN FACT, FOLLOWING THOSE STANDARDS TO THE BEST JUDGMENT OF THE INSPECTOR CONDUCTING THE INSPECTION, AND GIVE US BACK YOUR RESULTS TO THE STANDARD AND THEIR COMPLIANCE WITH HQS. >> OKAY. IS THAT WHAT THAT 8000-50,000 REPRESENTS INITIALLY? >> NO. THAT 8000-50,000 IS WHAT WE ARE ENVISIONING. REMEMBER I USED THE WORD ANTICIPATED FOR THE NEXT FIVE YEARS, PER YEAR. THE FIRST TRANCHE THAT WE ARE GOING TO BE LOOKING AT TO YOUR VERY GOOD QUESTION IS GOING TO BE THE HQSRY ARE DESCRIBING NOW. THAT'S OUR IMMEDIATE NEED, BUT THERE ARE OTHER REQUIREMENTS THAT ARE GOING TO BE EVOLVING QUICKLY BEHIND IT. >> YEAH, AND BASICALLY THAT DOESN'T INCORPORATE ANY I.T. >> NO. >> DEVELOPMENT. I MEAN, THAT COULD ACTUALLY START TOMORROW. >> CORRECT. >> ALL RIGHT, THANK YOU. >> OKAY? GOOD QUESTION. DOES THAT ANSWER THAT PART? OKAY. I THINK WE'VE TALKED A LOT ABOUT SLIDE FIVE. WE'RE DOING REAL WELL HERE, I THINK. SO SLIDE SIX, WE PROBABLY HAVE TOUCHED UPON SOME OF THIS ALREADY IN ONE FASHION OR ANOTHER. WE GIVE YOU THE LINK TO LOOK AT IT. 42 ALL OF YOU I BELIEVE IN THE ROOM ARE PROBABLY FAMILIAR WITH ONE FASHION, 4. O PROTOCOL. THAT'S WHAT WE'RE ASKING FOR FOR UPC, AND THIS IS A GOOD TIME TO ASK -- WHAT WE ARE GOING TO ASK IS THE 52508 OR 52580-A, REAL SIMPLE, AND I'LL HAVE TERRY EXPLAIN JUST A LITTLE BIT ABOUT WHAT THAT PART WILL LOOK LIKE IN TERMS OF THE FORMAT, THEN I WILL TALK ABOUT UPCSB. >> AS FAR AS THE FORMAT, AS LONG AS YOU ARE USING WHAT THEY ARE USING ON THE LAPTOP OR THE UPD, AS LONG AS WE GET THE 52580 FORM, AND WE WILL BE REQUESTING A HARD COPY OR A SOFT COPY OF THE ORIGINAL HQS INSPECTION THAT WAS CONDUCTED BY THEIR INSPECTOR, SO WE CAN MAKE SIDE BY SIDE COMPARISONS. THE 52580 FORM ITSELF, THERE'S A 52580-A IS A LONG FORM, THEN YOU HAVE A SHORT FORM, ONE IS EIGHT PAGES, ONE IS 30. I DON'T KNOW WHY THEY CALL ONE SHORT AND ONE LONG, BUT THEY ARE BOTH VERY, VERY LONG. EITHER ONE OF THOSE FORMS IS ACCEPTABLE. AGAIN, IT GETS INTO THE SIDE BY SIDE INSPECTION. THOSE PROVIDED TO US WE WILL DO THE QUALITY CONTROL, QUALITY ASSURANCE REVIEWS, PRIOR TO PAYMENT. >> [INAUDIBLE QUESTION] >> JUST THE HQS PART. >> REAL SIMPLE. OKAY? GREAT QUESTION. SO LET ME TALK ABOUT UPCS -- YES SIR? GO AHEAD. 43 GO TO THE MICROPHONE SO FOLKS CAN KNOW OUR QUESTIONS SO WE CAN BE FAIR TO EVERYBODY THROUGHOUT THE GREAT LAND OF AMERICA THAT MIGHT BE WATCHING THIS SOMEDAY. >> WILL YOU BE ASKING THE VENDOR TO DO THE COMBINATION OF THE TWO IN. >> NO, TWO. >> ARE THERE DISCREPANCIES OR WILL YOU BE -- >> WE WILL BE DOING THE REVIEWS, THE SIDE BY SIDE COMPARISON BETWEEN THE ORIGINAL, VERSUS THE CONTRACTOR. >> GO AHEAD. >> ON THE INITIAL 8000, THAT IS THE CASE. >> OKAY. >> OKAY? >> WE'RE GOING TO BE THERE SIDE BY SIDE SHADOWING THEM? >> SURE. >> THE VENDOR CAN GIVE YOU THAT AT LEAST ON THE FIRST LEVEL, THEN YOU CAN LOOK AT THAT ON THE -- IN MORE DEPTH IF THAT IS -- >> ANOTHER WAY OF SAYING IT, WE'RE LOOKING FOR YOUR OBSERVATIONS. WE WILL MAKE THE JUDGMENTS. >> BUT WE ARE EXPECTING YOU TO HAVE REVIEWED YOUR OWN WORK. >> FOR COMPLETENESS, ET CETERA. >> YOU HAVE QUALITY CONTROL. ONE THING I DO WANT TO POINT OUT AND MAKE A POINT OF IS THE 52580 FORM MUST BE COMPLETED FULLY. IT MUST BE COMPLETE. ALL TS CROSSED, IS DOTTED, RIGHT? >> OKAY. >> JUST WANT TO CONFIRM, SO IF I HEAR YOU CORRECTLY, 44 YOU'D RATHER HAVE IT IN A HARD OR SOFT FORM AS OPPOSED TO GETTING DATA? >> I THINK IT'S GOING TO BE MUCH EASIER FOR MOBILITY PURPOSES AND COMPARISON PURPOSES TO HAVE SOFT COPIES. >> I AGREE. >> YES, SOFT. >> JUST MAKING SURE. SO THERE IS NO PREFERENCE FOR MAKING IT DATA, THEN. >> EXACTLY. >> THANK YOU. >> SO UPCSV. THE FIRST PART SPEAKS FOR ITSELF. V IS VOUCHER. NO SURPRISE. WHAT WE ARE LOOKING AT, AND WE'VE ALREADY BUILT A PROTOTYPE IN HOUSE, BUT DOWN THE ROAD, AND I CAN'T TELL YOU THIS IS IN THE END OF '14, EARLY '15, BUT NOT THAT FAR AWAY, KNOWING ALL THE LIMITATIONS OF HQS, AS I THINK MANY OF US ARE VERY FAMILIAR WITH, 79 PASS-FAILS GIVES IT A -- IS PROBLEMATIC IN TERMS OF WHAT WE SEE FOR RESULTS, PARTICULARLY IN WHAT WE'VE LOOKED AT SO FAR IN OUR OWN RESULTS. WE ARE LOOKING AND ENVISIONING TAKING THAT COMPONENT OF THE UPCS, TAKING THE UNIT AND ONLY THE UNIT, AND THAT WOULD BE THE CORE OF WHAT WE WOULD INSPECT, TO THE SAME STANDARDS AS WHAT WE DO RIGHT NOW IN UPCS. THERE WOULD BE A COUPLE OF ADDITIONAL ITEMS THAT WOULD BE GOING INTO IT. ONE OF THE THINGS THAT IS QUITE DIFFERENT IN THE WORLD OF VOUCHERS, BECAUSE IT'S 100 PERCENT, IS THAT EVERY DISCREPANCY HAS TO BE 45 ADDRESSED WITHIN 30 DAYS. SO THE DISCREPANCIES TAKE ON A DIFFERENT IMPORT. THE SCORING IS NOT QUITE THE DRIVER THAT IT IS IN THE SAMPLING METHODOLOGY THAT WE DO IN UPCS. THE SCORING IS RELEVANT PARTICULARLY FOR US FROM A QUALITY ASSURANCE PERSPECTIVE, FROM A TRENDING PERSPECTIVE. BUT IT'S THE OBSERVATION OF DISCREPANCIES PER UNIT AND CORRECTION OF THOSE WITHIN A SPECIFIED TIME PERIOD THAT STILL DRIVES THE PROCESS. BUT WE WANT TO GET IT TO BE SOMETHING, AS I SAID EARLIER, UPCS IS A STANDARD, THIS IS A DERIVATIVE OF UPCS, THAT SPEAKS TO A LOT SMALLER UNIVERSE OF THE UNIT ITSELF. FOR THOSE THAT ARE OR ARE NOT FAMILIAR, I COULD HAVE ONE UNIT, TWO UNITS, THREE UNITS, IN A 100 UNIT BUILDING THAT HAPPEN TO BE VOUCHER UNITS. THAT'S ALL I'M REALLY CONCERNED ABOUT, FROM THE TIME I GO THROUGH THAT DOORWAY, IS THAT PARTICULAR UNIT AND ITS CONTENTS. THERE ARE A COUPLE OF AREAS WE'RE LOOKING AT TO MAKE SURE WE GET THOSE IMPORTANT THINGS, EGRESS, FIRE ISSUES, THINGS OF THAT NATURE, OR PERHAPS COMMON ENTRANCE, WHAT YOU ARE LOOKING AT, BUT THE MAJORITY OF IT IS FOCUSED ON THE UNIT AND ITS CONDITION TO THE STANDARDS WE KNOW AS UPCS. SO YOU WILL BE HEARING A LOT MORE ABOUT THAT, BUT FOR CLARITY, IN THIS INITIAL ASPECT, WE'VE HAD SOME GREAT QUESTIONS ON IT, IT'S HQS AS WE KNOW IT TODAY, AND SOMEDAY 46 SOON, IT WILL EVOLVE TO UPCSV AND YOU WILL ALL BE GIVEN THE OPPORTUNITY TO TRAIN, UNDERSTAND, SEE THE SOFTWARE, THE STANDARDS, ET CETERA, THAT GO WITH THAT. ANY QUESTIONS ON UPCSV AND WHAT IT MIGHT LOOK LIKE? OKAY? LET'S GO TO THE NEXT SLIDE, WHICH IS SLIDE SEVEN. OH, I'LL ON SEVEN, OKAY. SOMEBODY HELP ME. THE PHOTO PART, WE KIND OF TOUCHED UPON. WE DON'T CURRENTLY USE IT IN 4. O. WHAT WE ARE LOOKING AT, YOU CAN SEE THE WORDS WILL REQUIRE PHOTOS AT A MINIMUM OF THREE LEVEL DEFECTS. THAT'S WHAT WE WANT TO HEAR YOUR DIALOGUE ON. WHAT WE ARE ENVISIONING NOW FOR THE HQS INSPECTION IS DOING THIS AT SOME POINT IN TIME. WE DID IT WITH OUR FIRST INSPECTIONS WE DID. IT WASN'T PARTICULARLY DIFFICULT, TECHNOLOGY BEING WHAT IT IS NOWADAYS. WE WOULD LIKE TO HEAR FROM YOUR PERSPECTIVE HOW DIFFICULT IT MIGHT TO BE TAKE THE HQS AS YOU KNOW IT TO THE FORM THAT TERRY DESCRIBED AND ADD PHOTOS TO THAT. PARTICULARLY SINCE WE WANT TO STAY SOFT. ANY THOUGHTS, COMMENTS, ON BEING ABLE OR THE CAPACITY? WE KNOW AN INDUSTRY THAT'S DONE IN MANY PLACES. IT'S NOT ANYTHING THAT'S BEYOND ANYBODY'S PARTICULAR CHALLENGE. SO ANY COMMENTS? THOUGHTS ABOUT REQUIRING THAT IN THE BEGINNING FOR THE 47 REASON THAT WE'RE SAYING? AND IT'S VERY SIMPLE, AND I WILL EXPLAIN IT JUST A LITTLE BIT SO YOU CAN KIND OF UNDERSTAND THE BACKGROUND. WE ARE APPROPRIATED ABOUT $20 BILLION A YEAR FOR THE VOUCHER PROGRAM BY THE CONGRESS ON AN ANNUAL BASIS. IT IS THE RESPONSIBILITY OF HUD TO ENSURE THAT WE ARE MEETING THE STANDARD OF DECENT, SAFE AND SANITARY. TO THOSE RESIDENTS, WHICH IS VERY IMPORTANT THAT THAT STANDARD BE MET. TO THOSE PROPERTY OWNERS IT'S VERY IMPORTANT THAT THAT STANDARD BE MET. THERE ARE ISSUES OVER THE JUDGMENT CALLS INVOLVED IN THE CURRENT PASS-FAIL. WE STRENGTHEN THE HAND OF ALL ASSOCIATED WITH THIS BY VIRTUE OF THE PHOTOS. THAT'S THE LOGIC THAT I'M EXPRESSING. WHAT I'M INTERESTED IN HEARING, WE CAN DO THIS, WE SHOULD CONSIDER THIS CAPABILITY BECAUSE WE KNOW WE WANT TO BE ABLE -- WE'VE ALREADY DONE IT, WE WANT TO BE ABLE TO LOOK AT THAT AS BEING ONE OF THE THINGS THAT WE WOULD INCLUDE RIGHT OFF IN THE GET-GO FOR THE REASONS I THINK ALL OF YOU UNDERSTAND. YES, SIR? >> I THINK THAT'S AN EXCELLENT IDEA. I KNOW IN OUR EXPERIENCE IN PROVIDING INSPECTION SOFTWARE, THAT HAS BEEN SOMETHING THAT THERE'S A LOT OF AMBIGUITY, OBVIOUSLY, A LOT OF TRAINING THAT GOES INTO THESE TYPES OF THINGS. YOU GET INDIVIDUALS OUT THERE, AND TO BE ABLE TO 48 ALLOW THE EASE OF DETERMINING YEAH, THIS IS WHAT THIS IS, YOU CAN SPEND A WHOLE LOT OF TIME WRITING THAT UP, PUTTING THAT INTO A NOTE SECTION, OR YOU CAN TAKE THAT PICTURE, CUT DOWN ON THE TIME IT TAKES YOU TO BE AT THE FACILITY, AND INSTANTLY, MOST PEOPLE ARE ABLE TO SEE YOU YEAH, THIS MEETS THE LETTER OF THE LAW OR DOESN'T. PHOTOS ARE SOMETHING THAT, IN TERMS OF CUTTING DOWN ON THE TIME IT TAKES PER UNIT TO DO THINGS, IN TERMS OF ACCURACY, QUALITY, IT'S JUST SOMETHING THAT I THINK IS GOING TO BE THE EXPECTATION RATHER THAN THE -- AND ENHANCEMENT DOWN THE ROAD FOR ANYONE DOING ANY TYPE OF INSPECTION. >> GOOD POINT, THANK YOU. ANY OTHER QUESTIONS? YES, SIR. >> TO FOLLOW UP, MOST SUCCESSFUL HQS INSPECTION PROGRAMS AROUND THE COUNTRY ALREADY DO THIS. PRIMARILY THE OUTSOURCE ONES, PRIMARILY FOR JUSTIFICATION OF NO ENTRIES, NO SHOWS, YOU GOT TO TAKE A PICTURE OF THE CAR NEXT DOOR, SO ON, SO FORTH, BECAUSE THERE'S REVENUE INVOLVED. AND I THINK THE BIGGEST PROBLEM WITH BE -- WOULD BE WHEN IT APPLIES TO NUMBERS OF LEVEL THREES AND THAT TYPE THING IS CAPACITY AND THE MOBILITY. >> YOU MEAN BANDWIDTH -- WE'RE TALKING WINDOWS, BASES, IPAD -- I DON'T WANT TO THROW ANY NAMES AROUND, BECAUSE WE'VE BEEN HERE WITH THIS, THROUGH THE DECADES WITH THE TABLETS AND MOBILITY AS INSPECT OF IT AND WHETHER 49 YOU'VE GOT TO LAUNCH ALL THIS STUFF TO THE CLOUD OR KEEP IT INSIDE, AND WHAT YOU WANT FOR RESOLUTION, ESPECIALLY IF THERE'S A LIABILITY SCENARIO. SO THOSE THINGS HAVE TO BE WORKED OUT. SO WE'RE TALKING COST. >> OKAY. >> SO AM I HEARING A DOABLE? >> YEAH. >> GOOD. >> I JUST WANT TO SAY THE SAME THING. THE PICTURES HAVE ALREADY BEEN DONE. I WANTED TO POINT OUT THAT ROYCE IS ANOTHER THING THAT YOU MIGHT WANT TO CONSIDER. HAVING A MESSAGE. BECAUSE SOMETIMES, PICTURES ARE NOT ABLE TO TAKE A GOOD PICTURE, DEPENDING UPON THE DISCREPANCY. SO A VOICE MESSAGE CAN BE ALSO USEFUL TO CLARIFY THE DISCREPANCY. >> OKAY. GOOD POINT. THANK YOU. >> YES. >> YOU WANT TO ADD -- WAS GOING TO SAY, I WAS TURNING TO PATRICK. >> WHEN WE ARE TALKING ABOUT THE QC OR THE INSPECTIONS, THE PHOTOS WILL ALLOW SOMEBODY ELSE WITHIN YOUR ORGANIZATION TO CONFIRM THAT IT DOES MEET WHAT THE INSPECTOR SAID AT THE TIME, SO IT WILL ALLOW THAT OPPORTUNITY SO, WHEN IT COMES BACK TO US FOR OUR REVIEW, THERE BE MUCH LESS DISCREPANCIES. SO I THINK WHAT YOU'VE BEEN TELLING ME, THAT -- THE SPRINKLER HEAD, WHETHER IT'S PAINTED ON THE SIDE OR ON THE 50 HEAD, I THINK SOMEBODY HAS BEEN TALKING TO ME ABOUT THAT, THAT SORT OF GIVES YOU A WAY FOR YOUR COMPANY TO BE ABLE TO REVIEW THE RESULTS OF YOUR INSPECTOR BEFORE YOU SEND IT TO US. SO THAT WE GET A GOOD QUALITY PRODUCT AND YOU DELIVER US A GOOD QUALITY PRODUCT. >> THANK YOU. >> TERRY? ANYTHING TO ADD? >> YES. BY TAKING A PHOTO, YOU ARE BASICALLY PUTTING QUALITY ASSURANCE WITH THE INSPECTOR. EVERY TIME THEY MAKE A RECORDING IN THE INSPECTION, NOW THEY HAVE TO NOT ONLY PROVE IT, OR IT HAS TO BE IN LINE WITH THE DEFICIENCY THAT'S NOTED, NOW THEY ARE PROVING THAT IT IS IN LINE. IT'S A SELF QUALITY ASSURANCE TOOL BUILT? >> THANK YOU, TWO GOOD POINTS. >>> SO THE QUALIFICATIONS AND THE TRAINING OF THE INSPECTOR IS GOING TO BE THE RESPONSIBILITY OF THE CONTRACTOR. WE ARE NOT GOING TO TELL YOU THAT THE PERSON HAS TO BE THIS, THIS, THIS, THIS AND THIS. WE ARE GOING TO GIVE YOU A MINIMUM AND BASIC QUALIFICATION, BUT IT'S GOING TO BE YOUR CALL AS TO THE NUMBER OF PEOPLE YOU EMPLOY. YOU ARE GOING TO DO THE QUALIFIER SUCH AS UPSV OR ANYTHING WE PICK UP UNDER THE WHITE HOUSE INITIATIVE, AND YOU ARE GOING TO BE THE ONE WHO IS GOING TO PROVIDE THAT TRAINING. IT'S NOT GOING TO BE HUD. WE ARE GOING TO ASK YOU TO GIVE US A WEEKLY REPORT AS WE SEE YOUR INSPECTORS PRIMARILY TO LOOK AT YOUR CAPACITY AND YOUR ABILITY TO GET THE JOB DONE. SO WE WANT TO HAVE A CLEAR UNDERSTANDING OF WHERE YOU ARE IN YOUR ABILITY TO WORK AND DO THE THINGS WE ARE ASKING OF YOU AS WE DO THAT. I'M GOING TO CONTINUE, AND I WILL TAKE THE QUESTIONS AT THE EBBED END OF TRAINING. SO LET'S GO TO SLIDE 9 TO CONTINUE THE DIALOGUE. WE ARE GOING TO PROVIDE TO YOU A TRAINED TRAINER CLASS, SPECIFICALLY ON UPCS THAT WE WILL DO WITHIN 90 DAYS OF THE DATE OF THE AWARD. IF YOU ALREADY HAVE PEOPLE WORKING FOR YOU THAT ARE ALREADY CERTIFIED UNDER THE CURRENT PROTOCOL, THEY ARE READY TO GO. WE ARE GOING TO HAVE YOU HAVE THE ABILITY NO LATER THAN 90 DAYS, AND WE ARE LOOKING AT YOUR CAPABILITIES AND LOOKING TO DO THAT EARLIER BASED UPON YOUR REQUIREMENTS. YOU WILL HAVE THAT CORE TRAINING PROVIDED TO YOUR TRAINER, MASTER TRAINER, HOWEVER YOU WANT TO LABEL IT, AND FROM THAT POINT THAT PERSON WITH THAT QUALIFICATION IS GOING TO BE THE ONE THAT DOES YOUR TRAINING OR PERSONS, PLURAL. WE ARE GOING TO ALLOW YOU TO USE OUR TOOLS AND GO INTO OUR LEARNING MANAGEMENT SYSTEM TO START DOING THE PHASE 1 TRAINING WHICH IS HOW MANY HOURS, TERRY? >> APPROXIMATELY ONE WEEK OF ONLINE TRAINING PRIOR TO ATTENDING THE CLASSROOM TRAINING. >> THAT WILL WEED OUT THE WEAK HEARTED AS THEY START GOING THROUGH DOING THIS AND SEEING WHAT WE ARE EXPECTING, BUT I THINK IN SERIOUSNESS, IT GIVES A GOOD IDEA FOR PEOPLE, PARTICULARLY YOUR NEW ENTRIES, A GOOD WAY TO GET A BASELINE AS WE GO THROUGH PRODUCTIVE TRAINING. I'M GOING TO TURN IT OVER TO THE EXPERTS. >> WHAT WE ENVISION IS WE PROVIDE ACCESS TO THE LMS SYSTEM OR WHOEVER YOU DEEM QUALIFIED FOR THE UPCS TRAINING AND THEY WOULD ACCESS OUR PROGRAM AND ACCESS THE TRAINING TEAM AND GET THE I.D. NUMBERS AND GO ONLINE AND DO THE TRAINING WHETHER IT'S A SELF PACED PROGRAMS, AND IF THEY CAN DO IT IN THREE DAYS, THREE DAYS IS GREAT, IF NOT, FIVE DAYS. ONCE THEY COMPLETE THAT, THE ONUS WOULD FOLLOW ON YOU TO COMPLETE THE CLASSROOM TRAINING AND ONCE THEY COMPLETE THE CLASSROOM TRAINING THERE WILL BE CRITERIA YOU SET AND PROVIDE WHAT DEEMS THEM QUALIFIED TO CONDUCT THE UPCS INSTRUCTION ON THEIR OWN. CURRENTLY WE CALL THAT PHASE 2. WE CONDUCT THAT SIDE BY SIDE WITH A QA INSTRUCTOR AND THAT PROCESS WILL GO AWAY, AND IT WILL ALL FALL BACK IN YOUR HANDS. THE WHOLE TRAINING PROCESS WILL BE IN YOUR CONTROL. WE WILL JUST MAINTAIN A PRESENCE AT YOUR TRAINING SITE, OR DURING YOUR TRAINING TO ENSURE YOU ARE TEACHING TO A CERTAIN STANDARD AND THE INFORMATION PROVIDED IS RELEVANT. THAT'S BASICALLY IT. >> SO THE CERTIFICATION IS YOUR RESPONSIBILITY. AT THE END OF THE DAY WE ARE GIVING ALL THE TOOLS TO YOU. WE HAVE THE REGULATORY OVERSIGHT REQUIREMENTS AND WILL BE ABLE TO LOOK AT YOUR PROGRAM FROM A QUALITY CONTROL PERSPECTIVE, BUT WE ARE TELLING YOU WE DON'T WANT TO TIE YOUR HANDS BUT WE ARE HOLDING YOU RESPONSIBLE FOR THE OUTCOME. IE, YOU PICK THE INSPECTOR AND MAKE SURE THE INDIVIDUAL HAS THE NECESSARY QUALIFICATIONS AND I SHOULD NOTE THE REASON WE ARE DOING THE COMPONENT WE SPOKE OF WHICH IS THE PHASE ONE WITH THE ONLINE, THAT'S TO GIVE THE PERSON THE NUMBER SO THAT WE CAN THEN TRACK FROM THEN ON WHO THAT PERSON IS FOR INSPECTION PURPOSES, ET CETERA, AND THAT'S HOW WE FOLLOW THE INSPECTOR QUALITIES AND THE INDIVIDUAL HAS THEN GOT THAT NUMBER, AND THAT NUMBER IS GOING TO BE THE LABEL OF WHO DID THAT INSPECTION ALL THE TIME FOLLOWING THEY ARE DOING THE INSPECTIONS BUT AFTER THAT POINT, YOU OWN THE PROCESS, AND WE WILL BE QUALITY ASSURING, AND COMING TO TRAINING CLASSES UNAINNOCENSED TO ENSURE WE ARE COMFORTABLE WITH YOUR DUE DILIGENCE, BUT YOU OWN THE PROCESS. YES, SIR. >> I WANTED TO  I'M SORRY. I WAS GOING TO HAVE A SECOND LONGER TO THINK ABOUT THIS. IS THE ACTUAL TRAINING AND COMPLETING INSPECTIONS, THAT'S ALL GOING TO BE UNDER THE SAME IDQ OR IS IT POSSIBLE THAT SOMEONE COULD SET UP JUST TO DO CERTIFICATION TRAINING AS A SEPARATE THING? MAYBE YOU CAN ADDRESS THAT. >> IF I UNDERSTAND YOUR QUESTION, WOULD THERE BE A SEPARATE ACTION WHERE WE WOULD PROVIDE THIS? IS THAT WHAT YOU ARE ASKING? >> OR A SEPARATE CONTRACTOR SAYING POSSIBLY DOING THE TRAINING. WE HAD ANTICIPATED THE WAY WE ARE LOOKING AT IT NOW AS BEING A PART OF THE IDIQ'S AND THE CONTRACTORS DOING THE INSPECTIONS HANDLING THE TRAINING PORTION, US PROVIDING THE ONLINE CAPABILITIES BECAUSE THE OTHER ASPECTS OF THE TRAINING THAT HUD HAS HANDLED INTERNALLY AND GIVEN OUT IN THE PAST WOULD BE IN CONTROL OF THE CONTRACTORS THAT ARE DOING THE INSPECTIONS AND WE WOULD TAKE ON MORE OF A QUALITY CONTROL ROLE IN WHICH WE WOULD JUST VERIFY WHATEVER YOU PUT IN AS THE WAY THAT YOU ARE GOING TO DO THE TRAINING THAT THAT'S REALLY THE WAY YOU ARE DOING IT OR THAT YOU ARE DELIVERING THE TRAINING IN THE MANNER THAT YOU SAID THAT YOU WERE. YOU ARE MAINTAINING THE PROCESS OF THE TRAINING IN KEEPING PEOPLE QUALIFIED IN THAT. >> DOES THAT ANSWER YOUR QUESTION, OR DID WE THOROUGHLY CONFUSE YOU? THANK YOU. YES, MA'AM. >> AN OBSERVATION ON THE SAME POINT, I THINK IT'S MAYBE TO HAVE ONE THIRD PARTY PERFORM THE TRAINING TO ENSURE CONSISTENCY IN TRAINING AS OPPOSED TO 7 CONTRACTORS THAT INSTRUMENTS AN ELEMENT OF INCONSISTENCY, PERHAPS. >> GOOD POINT. WE WILL TAKE A BRD. BEFORE WE TAKE THE QUESTION, HERE IS WHAT WE ARE TRYING TO DO. WE WANT YOU TO UNDERSTAND THAT YOU ARE RESPONSIBLE FOR THE QUALITY OF THE INSPECTION. IF I TAKE OVER THE RESPONSIBILITY FOR CERTIFICATION AND TRAINING AND ALL THE OTHER COMPONENTS, I CAN'T REALLY HOLD YOU RESPONSIBLE FOR THE OUTCOME. SO I'M TELLING YOU YOU ARE RESPONSIBLE FOR THE OUTCOME; THEREFORE I WILL GIVE YOU THE TOOLS TO BE ABLE TO DO THAT WITH WHAT YOU EXPECT BUT YOU MUST BE THE ONE THAT OWNED THE PROCESS TO GET TO THE DESIRED OUTCOME WHICH IS A GOOD INSPECTION REFLECTING THE CONDITION OF THAT PROPERTY. IT'S JUST THAT SIMPLE. YES, SIR. >> I WOULD LIKE TO DISCUSS A VAGUE TIMING HERE. THERE'S A NUMBER OF CERTIFIED REACT INSPECTORS OUT THERE. >> YOU MEAN CONTRACT. >> WHEN WILL THE REVERSE AUCTION END IN TIMING WISE AFTER THE HQS START UP. THERE'S NOTHING TO STOP ME FROM RECRUITING CERTIFIED CERTIFIED REACTION INSPECTORS. THEY STAY CERTIFIED AND NOT HAVE ANY TRAINING. IS THAT A POSSIBLE TIMING ELEMENT? >> IT'S A GREAT QUESTION. WE ARE NOT GOING TO STOP THE REVERSE AUCTION PROCESS. THE MARKETPLACE IS THE MARKETPLACE. THE PEOPLE THAT END UP DOING A VERSUS B IS GOING TO BE YOUR CALL. >> OR BOTH. >> SURE. BECAUSE THAT ENTITY THAT MAY OR MAY NOT BE FAMILIAR WITH THE REVERSE AUCTION, WE COME OUT EVERY MONTH OR SO AND GET A LIST OF PROPERTIES THAT ARE INSPECTED AND INDIVIDUALS AND OR COMPANIES COMPLETE THAT WORK. WE TOTALLY UNDERSTAND AND APPRECIATE YOU MIGHT MAKE A MORE INTERESTING OFFER TO A CURRENT PERSON DOING REVERSE AUCTION, AND THEY MAY COME TO YOUR DOMAIN. THAT'S WHAT THE MARKET DOES. WE HAVE TO MANAGE THROUGH THAT. I TOTALLY UNDERSTAND THAT RISK FROM THE GOVERNMENT PERSPECTIVE BUT IN THE REVERSE AUCTION MODE I DO NOT HAVE THE RESOURCES TO DO ALL THE INSPECTIONS WE ARE REQUIRED TO DO AND HENCE WE ARE HAVING THIS CONVERSATION. >> WHEN YOU ARE TALKING ABOUT RECERTIFICATION TO DO FUTURE UPCS OR UPCSV OR WHATEVER AS FAR AS COMPLIANCE GOES, WHAT ABOUT HQS? THERE IS NO QUOTE CERTIFICATION? >> GOOD QUESTION. TERRY. >> EXACTLY THE POINT. AGAIN, IT WILL FALL BACK ON YOU AS A CONTRACTOR TO GATHER THE QUALIFIED PEOPLE OR IDENTIFY THE QUALIFIED PEOPLE AND BRING THEM IN THE TRAINING AND PROVIDE THE HQS TRAINING THAT WILL GET THEM OUT THE DOOR AND PROVIDE US WITH A GOOD VALUED HQS INSPECTION ON THE FEDERAL REQUIREMENTS. THAT'S THE ONUS AGAIN FALLS BACK ON YOU. >> WE ARE GOING TO BE DOING TRAINING FOR HOW TO RECRUIT THE REACT CERTIFIED INSPECTORS TO SAY HEY, LEARN THE HQS, AND IT'S NOT GOING TO LAST, BUT TAKE THE CLASS HOPEFULLY. YOU ARE GOING TO GO OUT AND DO QC INSPECTIONS AND REPORT, AND THAT'S I PRESUME WHY YOU STILL NEED THE HOUSING AUTHORITY INSPECTOR'S INSPECTION, AND THE QC CONTRACTED BY HUD INSPECTION, AND YOU ARE GOING TO MANUALLY COMPARE THEM AS OPPOSED TO QUALIFIED QC SAYING HERE IS THE PROBLEMS. I KNOW YOU CAN DECERTIFY PEOPLE ON THE SPOT AND SO ON AND SO FORTH FOR FOULING UP. BUT HOW DO WE MANAGE THAT? IS THAT GOING TO REQUIRE MORE HQS, QC? >> THAT'S GOING TO BE WORKED OUT. >> YOU ARE GOING TO TRY. >> LET'S GO THROUGH THE DIALOGUE A LITTLE BIT BECAUSE IT'S A VERY RELEVANT AND IMPORTANT POINT WITH WHAT WE ARE TRYING TO ACCOMPLISH. ALL OF US IN THIS ROOM UNDERSTAND THAT HQS HAS NOWHERE NEAR THE STRUCTURE OR THE CERTIFICATION REQUIREMENTS BY THE NATURE OF THE BEAST THAT EXIST IN UPCS, HOWEVER, WHEN WE DO THE HQS INSPECTIONS WE MUST FOLLOW THE REGULATIONS THAT APPLY. SO WHEN YOU ARE CONDUCTING THEM, SHOULD YOU BE THE PARTY THAT'S GOING TO BE DOING THAT, YOU ARE SHADOWING, GREAT WORD, WE USE IT OURSELVES, THAT INDIVIDUAL RECORDING TWO THINGS: THOSE OBSERVATIONS YOUR INSPECTOR SEES AND LOOKING TO SEE IF IN FACT THAT INSPECTOR FOLLOWED THEIR OWN PROTOCOL. THE COMPARISON IS YOU TAKE A COPY OF THEIR INSPECTION, PLUS THE ONE YOU DID AND YOU GIVE IT TO US. WE WILL MAKE THE JUDGMENT AS TO WHETHER IT FOLLOWED WITHIN THOSE STANDARDS. WE ARE ASKING YOU TO MAKE SURE YOU COMPLETE THE ENTIRE INSPECTION FORM. THAT IS YOUR REQUIREMENT TO MAKE SURE YOU DO THAT. IS THIS THE BEST OF BOTH WORLDS? NO, IT IS NOT. WESTBOUND THE RULES WE ARE OPERATING THAT'S ALL WE CAN DO. HQS IS VERY SOFT. WE KNOW THAT. LIKE I SAID, WE WERE QUITE SURPRISED. I WAS SURPRISED AND A LOT OF YOU PROBABLY NOT THAT THERE WERE IN SOME CITIES, 39, 40, 50 ITEMS LOOKING AT LOCAL CODE, ET CETERA, ET CETERA. THIS IS A RELATIVE END TO THE SCOPE OF FIVE YEARS WHAT I'M DESCRIBING IS A RELATIVELY SHORT ENDEAVOR. AT THE SAME TIME WE ARE GOING TO ASK YOU TO BE DOING UPCS WITH PEOPLE THAT HAVE BEEN CERTIFIED TO BE DOING UPCS INSPECTIONS AND WE PROVIDE THE SOFTWARE FOR UPCSV AND WE WILL BE GOING THROUGH THE TRAINING EXERCISE WE ARE DESCRIBING, AND IT'S NO DIFFERENCE THAN A DERIVATIVE OF UPCS, AND WE ARE JUST LOOKING AT THE UNIT. YOU HAVE THE SAME MATERIAL, AND WE WILL GET YOU STARTED WITH ALL THE MATERIAL, AND YOU WOULD BE THE ONE THAT WOULD BE CERTIFYING THE CAPABILITIES AND QUALIFICATIONS OF YOUR PEOPLE AND CONDUCTING THOSE INSPECTIONS. I'M TRYING TO SIMPLIFY IT HERE. BUT HQS, WE HAVE TO LIVE WITHIN THE CURRENT RULES, AND THE RULES GIVE US NOT A LOT OF DISCRETION IN TERMS OF BEING ABLE TO TIGHTEN ANYTHING. IT IS WHAT IT IS. YES, SIR. >> ON THE HQS SIDE, IF THE PHA INSPECTION PASSES BUT OUR INSPECTION FAILS, WHAT HAPPENS TO THE ENFORCEMENT SIDE? DOES IT PASS BACK TO PHA? >> WE HAVE SEEN SOME OF THOSE, AND THAT'S ONE OF THE THINGS WE HAVE TO OBSERVE. WHAT WOULD THAT TELL ME? THAT WOULD TELL ME  IF I GOT IT RIGHT, THE PHA PERSON PASSED, BUT THE CONTRACT PERSON OR OUR PERSON, SPEAKING TO THE PAST, FAILED IT. >> CORRECT. >> THAT WOULD TELL ME THEY WERE NOT FOLLOWING THE STANDARDS. THAT WOULD BE MY DETERMINATION. >> WHAT WOULD HAPPEN WITH A 24 HOUR  SOMETHING YOU HAVE TO COMPLETE IN 24 HOURS TO 30 DAYS. >> THE ONLY OBSERVABLE DISCREPANCIES THAT COUNT ARE THE PHA'S. OURS IS NOT GOING TO BE INSERTED, BY THE WAY YOU HAVE TO FIX THESE TWO. IT'S SPECIFICALLY FOR A QUALITY CONTROL CHECK. PHA IS STILL TOTALLY RESPONSIBLE FOR WHAT THEY OBSERVE. OKAY? YES, SIR. >> I WANTED TO TALK TO SOMETHING ON THAT. WHEN YOU DO QUALITY CONTROL INSPECTIONS, THEY ALWAYS SUPERSEDE THE REGULAR INSPECTIONS, SO YOU FIND MORE DISCREPANCIES AS THE QC, YOU HAVE TO NOTIFY THE PHA AND FOR THEIR SAFETY, THEY HAVE TO ADDRESS THOSE DEFICIENCIES, AND IF WE FIND ADDITIONAL ISSUES, SOMEHOW IT SHOULD BE COMMUNICATED TO THE PHA SO THEY CAN ADDRESS IT. >> ARE YOU TALKING ABOUT HELP AND SAFETY TYPE THINGS? >> ANY KIND OF DEFICIENCY. YOU MIGHT HAVE THAT RISK THAT YOU KNEW OF AN ISSUE AND YOU DID NOT ACT UPON, AND THAT CAN BE ANOTHER ONE. >> IT'S A GOOD QUESTION, AND I WILL ANSWER IT WHAT THE PURPOSE OF WHAT WE ARE DOING IN THE ROUND THAT I'M DESCRIBING IS MORE TO A SURVEY THAN QUALITY CONTROL COMPONENT. WE NEED TO HAVE A BETTER UNDERSTANDING OF THE COMENGS OF THE PROBLEM. WE LOOKED AT 1200, BUT REMEMBER THERE ARE 2.3 MILLION UNITS THAT ARE VOUCHERED. THERE'S A WHOLE LOT MORE OUT THERE THAN WHAT WE HAVE SEEN IN OUR FIRST LOOK. THAT MEANS WE WANT TO HAVE A BETTER UNDERSTANDING FROM A SURVEY. SO I DON'T ENVISION US TAKING THE FEDERAL AND SAYING HERE YOU MUST CORRECT THESE, YOU BEING THE FEDERAL, BECAUSE YOU REPRESENT US, VERSUS THE PHA AND SAYING WELL, YOU ARE WRONG AND WE ARE RIGHT. WE ARE NOT GOING TO GET INTO THAT KIND OF A CONVERSATION. ALL WE ARE GOING TO DO IS TAKE THE RESULTS AND GO FORWARD. WE COULD FIND  AND WE WILL HAVE TO TALK ABOUT THIS INTERNAL TO US  IF THERE'S SOME OBVIOUS SAFETY HAZARD AND THE PERSON DOESN'T SAY ANYTHING, WE WILL THINK ABOUT HOW WE WILL ADDRESS THAT TO MAKE SURE WE DON'T, AS YOU REPRESENT THE GOVERNMENT, DON'T DO ANYTHING ABOUT IT WHEN WE KNOW IN FACT THERE IS A DANGER. THAT'S GOING TO BE A CAVEAT AS ONE OF THE THINGS YOU HAVE TO BE AWARE OF. BUT BEYOND THAT, OUR LIST WILL NOT BE THE OPERATIVE LIST FOR DISCREPANCIES. >> I HAD A DIFFERENT QUESTION ON THE ASSIGNMENTS. WOULD YOU CONSIDER ASSIGNING UNITS BY THE INSPECTION TYPE OR WILL IT BE A COMBINATION? ARE YOU GOING TO BE PUTTING UP FORBID INSPECTIONS SEPARATE THAN UPCS OR DIFFERENT TYPES. >> INDIVIDUAL TASK ORDERS. >> YOU WERE SAYING EARLIER THAT YOU DON'T ANTICIPATE LUMPING HQS WITH UPCS, AND WE WOULD IN ALL LIKELIHOOD PUT THEM OUT AS SEPARATE COMPETITIVE ACTIONS FOR TASK ORDERS, AND THAT WAY NOTHING WOULD GET ALL MUDDLED AND PROTOCOLS DON'T GET ALL CRAZY. THERE COULD BE TASK ORDERS RUNNING AT THE SAME TIME BECAUSE OF THE WAY THEY COULD BE BROKEN UP AND ONE COMPANY MAY HAVE MORE THAN ONE TASK ORDER OPERATING. BUT WE DON'T AT THIS POINT ANTICIPATE PUTTING OUT A TASK ORDER THAT WOULD JUST BE WE JUST GOT 5,000, AND THEY ARE A MIXTURE OF ALL OF THESE DIFFERENT KINDS, THAT THEY WOULD IN ALL LIKELIHOOD BE SPLIT UP FOR US AND FOR YOU TO BE ABLE TO KEEP EVERYTHING STRAIGHT AS TO WHAT THE PROTOCOLS OFFER YOU. >> GOOD QUESTIONS. THANK YOU. ON THIS TOPIC, ANYMORE QUESTIONS ON TRAINING AND ALL THE THINGS ASSOCIATED THERE WITH? WE ARE MAKING PROGRESS. LET'S GO TO QC REQUIREMENTS. I'M GETTING ALL KINDS OF HELP. I LOVE IT. THIS IS  EXCUSE ME IF I MAKE A MISTAKE, JOEL. THIS IS BOILER PLATE. IS THAT A GOOD WORD? WHAT I MEAN BY THAT IS THE LANGUAGE A LOT OF YOU WILL RECOGNIZE HERE ARE THINGS THAT WE THE GOVERNMENT EXPECT YOU THE CONTRACTORS TO DO FOR US IN TERMS OF QUALITY CONTROL. SO YOU CAN CERTAINLY READ IT. I'M NOT GOING TO GO THROUGH ALL THE ITEMS ON HERE, BUT ONCE AGAIN, IT EMPHASIS WITH SPECIFICITY WE ARE HOLDING YOU RESPONSIBLE FOR THE QUALITY OF THE PRODUCT OF THE INSPECTION, AND WE WILL CONDUCT APPROPRIATE QUALITY CONTROL TO ENSURE WE ARE GETTING WHAT THE TAXPAYERS EXPECT, WHICH IS A GOOD INSPECTION FOR THE BEST PRICE WE CAN GET. THAT'S WHAT WE ARE LOOKING FOR. SO THIS KIND OF LAYS OUT ALL THE COMPONENTS OF THE PLAN THAT YOU WOULD HAVE TO SEE AND YOU WOULD SEE IN THE PARTICULAR ACTION WE ARE ASKING FOR. YOU WANT TO ADD ANYTHING TO THAT? >> THE REAL SPECIFICS OF HOW WE WOULD DO QUALITY CONTROL MEASURES AND THINGS LIKE THAT WOULD BE MEASURED OUT IN A QUALITY ASSURANCE SURVEILLANCE PLAN AND QC PLAN AND STUFF LIKE THAT, AND YOU WILL GET MORE INFORMATION ON THAT AS WE IRON OUT THE DETAILS, BUT THIS IS KIND OF A BROAD STROKE OF THE TYPES OF THINGS WE DO AS FAR AS QUALITY CONTROL, THINGS LIKE THAT. >> ANY QUESTIONS ON THIS PARTICULAR ASPECT? OKAY. THIS IS WRITTEN TO MAKE SURE EVERYBODY UNDERSTANDS WE EMPHASIZING A DIFFERENT MODEL, WHICH IS YOU ARE ACCOUNTABLE FOR THE PRODUCT, NOT THAT YOU HAVE NOT BEEN IN THE PAST, BUT WE DIDN'T FACILITATE OR ENABLE YOU TO DO THAT. WHEN WE WERE THE ONES THAT WERE DOING MOST OF THE FRONT END AND THE BACK END, ALL WE COULD LOOK AT WAS THE WORK OF AN INDIVIDUAL INSPECTOR, AND THAT IS NOT WHAT WE ARE GOING TO BE LOOKING AT ANYMORE. OBVIOUSLY INDIVIDUAL INSPECTORS AND THEIR ACTIONS ARE IMPORTANT BUT THE PARTY THAT IS RESPONSIBLE TO MAKE SURE WE GET THE RIGHT OUTCOME IS THE CONTRACT OR FOR WHOM THAT INDIVIDUAL WORKS. THAT'S THE LEVEL WE ARE GOING TO BE FOCUSING ON ANY ACTIONS WE ARE GOING TO TAKE IF WE DO NOT SEE THE ACTIONS BEING MET. YES, WE WILL LOOK AT INDIVIDUAL INSPECTORS, BUT IT'S GOING TO BE THE COMPANY, THE CONTRACTOR, THAT'S WHERE WE ARE GOING TO BE COMING BACK TO MAKE SURE THAT WE ARE GETTING THE RIGHT STANDARDS. ANYTHING YOU WANT TO ADD TO THAT, JOEL? >> JUST WHAT I WANT TO SAY IS WHAT WE ARE TRYING TO DO IS MOVE AWAY FROM THE SERVICE CONTRACTS THAT WE SET UP THAT HAVE BECOME MORE AND MORE LIKE PERSONAL SERVICE CONTRACTS. WE WANT TO GIVE YOU THE ABILITY TO CONTROL THE WAY THAT THINGS ARE DONE. WE JUST WANT TO CONTROL WHAT WE GET AS A RESULT. WE WANT YOU TO BE HELD ACCOUNTABLE FOR, YOU KNOW, THE THINGS THAT YOU DO, AND WE WANT TO STOP TELLING YOU HOW TO DO THINGS SO THAT THAT WAY YOU CAN DO THINGS THE BEST WAY YOU KNOW HOW, AND WE CAN HOLD YOU TO THE STANDARDS THAT WE ARE SETTING AND NOT TELL YOU HOW THE PROCESS NEEDS TO WORK. >> QUESTIONS, GOOD. OKAY. >> I REALIZE THAT WE ARE NOT AT THE STAGE WHERE THIS IS A REQUEST FOR PROPOSALS BUT THE THING THAT KIND OF CERNTION ME IN ALL OF THIS THAT I'M TRYING TO GET MY HEAD AROUND, ARE WE GOING TO BE ASK TO BOTTOM LINE BID IT'S $500 PER INSPECTION NOT KNOWING IF IT'S AN HQS, UPCSV OR A WHOLE MENU OF THINGS WE ARE BIDDING ON? >> IF I UNDERSTAND YOUR QUESTION, ENVISION, WE ASK YOU TO DO A THOUSAND HQS INSPECTIONS, AND THESE ARE THE CITIES THAT WE EXPECT YOU TO DO THEM IN, AND THIS IS THE TIME PERIOD THAT WE EXPECT TO HAVE THEM COMPLETED. NEXT SCOPE OF WORK, THESE ARE THE 300UPS INSPECTIONS WE EXPECT YOU TO DO AND THESE ARE THE LOCATIONS WE ANTICIPATE AND ANY OTHER RELEVANT INFORMATION YOU NEED TO KNOW, THAT'S HOW IT'S GOING TO BE ORGANIZED. WE ARE GOING TO DO EVERYTHING POSSIBLE SO THERE'S NO CONFUSION OR MISUNDERSTANDING AS TO WHAT WE WANT DONE. >> AND THE PROPOSAL FOR THE IDIQ'S WON'T BE JUST THIS IS A BLANKET INSPECTION. ALL THE REQUIREMENTS FOR EACH TYPE OF INSPECTION, HOW THEY WILL BE DONE AND EVERYTHING WILL BE LAID OUT IN THE PERFORMANCE WORK STATEMENT FOR THE IDIQ. SO WE WILL BE LOOKING AT AND EVALUATING PRICE WISE WHEN ESTABLISHING IDIQ THE COST OF EACH DIFFERENT TYPE OF INSPECTION, AND NOT JUST A BLANKET TRM OF INSPECTION WOULD COVER EVERYTHING. THERE'S DIFFERENT ASPECTS AND REQUIREMENTS FOR EACH ONE. SO WHEN WE ARE DOING THAT, IT WOULD BE SETTING UP FOR EACH DIFFERENT TYPES OF INSPECTION, AND NOT JUST A BLANKET INSPECTION, HEY, THIS IS WHAT YOU SAID AN INSPECTION IS, AND YOU CAN'T CHANGE WHAT YOU ARE SAYING, TYPE OF A THING AND TASK ORDERS WILL BE COMPETITIVE AND THINGS LIKE THAT. >> YOU MIGHT WANT TO EXPLAIN IDIQ AND TASK ORDERS. >> I WILL SIT BACK UP HERE SO I CAN COMPLETE THAT. THE THING I'M TRYING TO AVOID IN MY MIND IS HAVING COMMITTED TO DOING A CERTAIN TYPE OF WORK AT A CERTAIN PRICE AND BE HANDED A CARRY A SECOND TASK ORDER WHERE I'M OBLIGATED TO COME IN AND DO THEM FOR THE SAME PRICE UNDER CONDITIONS THAT DON'T SEEM DIFFERENT TO YOU BUT SEEM REALLY DIFFERENT TO US IN TERMS OF WHERE WE HAVE GOT FEET ON THE GROUND, THAT SORT OF THING. >> SO BECAUSE WE ARE GOING TO BE COMPETING THE TASK ORDERS, THAT'S KIND OF WHY WE WANT TO DO IT IN THAT ASPECT. WE DON'T WANT TO SET SOMETHING UP WHERE WE ARE SAYING HEY, THIS IS BOTTOM LINE NOTHING CHANGES, WE ARE GOING TO TELL YOU GO DO THESE INSPECTIONS. WE HAVE CHOSEN YOU. WE ARE GOING TO BE GOING OUT AND REQUESTING PROPOSALS FOR TASK ORDERS. IT'S FOR ALL THE PEOPLE THAT ARE ESTABLISHED IN THE IDIQ'S, AND FROM THAT WE WILL BE EVALUATING THEM. SO IF THINGS CHANGE A LITTLE BIT OR IF THERE'S SOMETHING SPECIFIC THAT'S DIFFERENT FOR THE LOCATION OR THE TYPE OF INSPECTION, WE CAN TAKE THOSE THINGS INTO ACCOUNT RATHER THAN SETTING SOMETHING UP WHERE WE ARE JUST ORDERING WITHOUT SAYING ANYTHING. THAT'S WHY WE WANT TO HAVE THAT COMPETITIVE PROCESS, BECAUSE WE DON'T WANT YOU TO BE STUCK IN A SITUATION EITHER. WE WANT TO HAVE A BENEFICIAL RELATIONSHIP FOR US WHERE WE ARE GETTING WHAT WE NEED BUT WHERE YOU ARE GETTING WHAT YOU NEED, TOO, TO MAKE PROFIT AND DO ALL THE THINGS YOU DO. >> EACH TASK ORDER COULD VERY WELL HAVE A COMPLETELY DIFFERENT PRICE. IT ALL DEPENDS WHAT WE ARE ASKING, THE SCOPE, THE LOCATION, ET CETERA, ET CETERA. EACH ONE IS COMPLETED. >> I ACTUALLY HAVE A FOLLOW UP AND A COMMENT. I ENVISION OR ASSUME YOU WILL MAKE THE TASK ORDERS FIXED PRICE TASK ORDERS, AND IF IN FACT IT IS GOING TO BE A FIXED PRICE TASK ORDER ARE YOU GOING TO DO IT ON A UNITY LEVEL OR INSPECTION LEVEL AND IF YOU DO THAT, ARE YOU GOING TO CONSIDER GEOGRAPHY, AND YOU MIGHT LUMP TWO HOUSING AUTHORITIES TOGETHER IN AN INSPECTION PLAN IN MICHIGAN, AND ONE IN DETROIT MIGHT BE A DIFFERENT PRICE THAN ONE IN FLINT. HOW ARE YOU GOING TO DEAL WITH THAT IN TERMS OF THE FIXED PRICE TASK ORDER? >> WE ARE TRYING TO BE AS REASONABLE AND UNDERSTANDING OF THE MARKET AS YOU ARE. WE WOULD WANT TO ORGANIZE THE TASK ORDERS IN A WAY THAT MADE PERFECT SENSE UNDERSTANDING WHERE YOU SIT. YOU WOULD NOT SEE A NEW YORK CITY WITH A SAN DIEGO AND A DETROIT WITH A ST. LOUIS. I MEAN, YOU WOULD SEE THIS IN A GEOGRAPHICAL BOUND THAT MAKES SINCE, ESPECIALLY FOR HQS. THE THING THAT'S DIFFERENT FOR HOUSING AUTHORITIES, WHEN I WAS IN MIAMI, WE HAD 16,000 VOUCHERS AND IN DETROIT THERE'S 8,000. THE BIGGER CITIES, WHERE THE MAJORITY OF THEM ARE, WE COULD BE LOOKING AT THIS, AND WE HAVEN'T MADE THE FINAL DETERMINATION, IT COULD BE DOWN TO A SPECIFIC CITY IN TERM OF THE TASK ORDER. IT HAS TO BE SOMETHING THAT MAKES SENSE, BECAUSE THEY ARE ALL QUITE DIFFERENT. >> JUST SORT OF MY COMMENT THAT I CAME UP TO HERE ABOUT WAS THAT A LOT OF US  LET'S SAY YOU AWARD 7 CONTRACTORS, AND A LOT OF US WILL BE PROBABLY USING THE SAME INSPECTORS, AND THERE WILL BE SOME OVERLAP IN TERMS OF USING INSPECTORS. IN TERM OF THE TRAINING PERSPECTIVE. THIS ISN'T A QUESTION, BUT COMMENTS ON THIS. IN TERMS OF THE TRAINING INSPECTORS HOLDING DIFFERENT STANDARDS AND HOLDING DIFFERENT TRAINING ACROSS SEVEN ENTITIES MAY BE AN ISSUE, AND THE SECOND THING IS JUST KEEPING IN MIND WHEN YOU ARE ISSUING THE TASK ORDERS IF THERE'S 7 DIFFERENT PEOPLE THAT CAN BE USING SOME OF THE SAME INSPECTORS GEOGRAPHICS BE TAKEN INTO CONSIDERATION. >> EXACTLY. ONE OF THE ISSUES WE HAVE NOW, WE ARE CONTRACT INSPECTOR CERTIFIED AND CERTIFIED CONTRACT INSPECTOR LIMITED. SO IN THE CURRENT MODEL, WE CANNOT GET ALL THE WORK WE HAVE DONE. THEREFORE WHAT THIS IS ABOUT IS GROWING THE POPULATION OF ENTITIES AND INSPECTORS THAT WOULD BE DOING THIS WORK, AND WE UNDERSTAND THERE'S AN IMMEDIATE THRESHOLD OF PEOPLE THAT NOW ARE CERTIFIED, AND WE ARE SAYING AS WE PROGRESS INTO THIS NEW MODEL, WE ENVISION IN PARTNERSHIP BUT ENVISION GROWING A LARGER UNIVERSE IN PEOPLE THAT ARE INTERESTED IN DOING THIS. THERE'S AN AWFUL LOT OF INSPECTORS IN THE COUNTRY, FEMA HAS A TON OF FOLKS. WE THINK THE MARKETPLACE WILL DRIVE WHAT WE THINK WILL COME ABOUT. >> WANT TO ADD SOMETHING TO THAT, JOEL? >> I WANT TO TALK ABOUT ESTABLISHING THE IDIQ. WHEN WE ESTABLISH AN IDIQ, WE HAVE TO EVALUATE PRICING, AND SO WE WILL HAVE TO LOOK AT A WAY AND COME UP WITH A WAY WHERE IT'S NOT NECESSARILY WE HAVE TO COME UP WITH A LIST OF EVERY CITY THAT WOULD SAY AN INSPECTION IN DETROIT COST THIS MUCH AND AN INSPECTION HERE COSTS THIS MUCH. IT'S STILL SOMETHING WE ARE WORKING THROUGH, BECAUSE WE ARE REQUIRED BY THE FEDERAL ACQUISITION REGULATIONS TO LOOK AT THE PRICE, SO IT'S SOMETHING WE HAVE TO THINK THROUGH MORE ON OUR SIDE THAT MAKES SENSE SO THAT WE CAN MAKE IT TO WHERE WE DON'T PUT YOU IN A SITUATION WHERE IT'S REALLY COSTING YOU MORE TO DO AN INSPECTION THAN IT IS THAT YOU ARE GETTING PAID FOR IT. IT'S SOMETHING THAT I HAVE TO WORK THROUGH WITH ME AND OTHER PEOPLE THAT I'M WORKING WITH THAT KIND OF THINK THROUGH IT, SO IT WORKS FOR BOTH. THAT MAY BE SOMETHING TO IT. IF WE GO OUT FOR MORE INFORMATION THAT WE MIGHT SPIT BALL AN IDEA AND ASK FOR FEEDBACK ON THAT, TOO. >> GOOD POINT. YES, SIR. >> REGARDING THE SCHEDULE AND TIMELINES, DO YOU HAVE A SET SCHEDULE FROM THE TIME THAT THE PROPERTY IS ISSUED TO THE CONTRACTOR TO DETERMINE THAT HE COMPLETES THE WORK. >> OUR CURRENT PRACTICE  GO AHEAD. >> THE CURRENT PERFORMANCE PERIOD, I BELIEVE, IS 90 DAYS FROM THE WORD OF THE ROUTE CONTRACT. BUT THAT I GUESS VARIES DEPENDING ON WHEN YOU FILE THE EXTENSION. IT'S GOING TO VARY AGAIN BY CONTRACT OR BY TASK ORDER. >> IF I UNDERSTAND YOUR QUESTION, FROM THE NEW MODEL, AND WE ARE NOT GOING TO TELL YOU IT'S 90, IT'S SOME OTHER PART WE ARE GOING TO BE LOOKING AT. IN THE CURRENT MODEL WHEN YOU COMPETE IN THE REVERSE AUCTION, AND YOU ARE AWARDED, THEN YOU HAVE TO FINISH IT IN 90 DAYS, AND USING THAT AS A BENCHMARK, WE CAN GO UP AND DOWN, AND HQS IS DIFFERENT THAN WHAT WE DO FOR UPCS. WE EXPECT TO HAVE A FINISHED PRODUCT. >> SECOND QUESTION REGARDING THE REPORT THAT I HAVE ON MY SYSTEM. AM I REQUIRED TO HAVE SOME SORT OF RETENTION OR ARCHIVE OF THE DATA FOR YOU FOR A CERTAIN PERIOD OF TIME AND WHAT WOULD THAT TIMELINE BE? >> IT'S ACTUALLY A VERY GOOD QUESTION. IT'S SOMETHING, I THINK, WE ARE GOING TO HAVE TO THINK ABOUT, BECAUSE WE ARE GOING TO NEED TO PULL THAT INFORMATION, AND ONCE WE PULLED IT, WE MAY BASICALLY SAY, YOU KNOW, WE NEED TO KEEP IT FOR 30 DAYS, AND THEN, YOU KNOW, YOU CAN DELETE IT. BUT YES, IT'S SOMETHING WE WILL HAVE TO CONSIDER. >> SOMETHING TO THINK ABOUT WHEN WE DID THE HEALTHY HOMES AND WE WERE GETTING REQUEST FOR REPORTS UP TO FIVE YEARS AFTER THE CONTRACT WAS DONE. >> WE ENVISION PULLING A COMPLETE COPY OF YOUR INFORMATION. >> I WOULD ENVISION IT WOULD BE A RELATIVELY SHORT TIME PERIOD. WE ARE NOT ASKING YOU TO HAVE A DATA WAREHOUSE FOREVER AND EVER. IT'S SOMETHING WE WOULD TAKE RESPONSIBILITY FOR SHORTLY AFTER WE TOOK IT. GOOD QUESTION. OKAY. FAVORITE SUBJECT OF EVERYBODY AT THE END OF THE DAY. PAYMENT. WE ALL HAVE BILLS TO PAY AND PEOPLE TO KEEP EMPLOYED. AS YOU CAN SEE, IT SPEAKS TO ITSELF. WE ARE LOOKING, UNLIKE THOSE THAT MIGHT BE FAMILIAR WITH REVERSE AUCTION, IT'S A DEBIT CARD AND PAID UPON COMPLETION. THIS IS A MUCH DIFFERENT MODEL. WE WOULD SEE BASED ON THE TASK ORDER THE INVOICE, AND WE ENTER THE PROMPT PAYMENT ACT AND WANT IT PAID AS SOON AS POSSIBLE. LET'S SAY WE HAD 500 OUT THERE AND WE SAID 90 DAYS, AND THEY WERE DONE BY THE 80th DAY AND IT HAPPENED TO BE AT THE END OF THE MONTH. WHATEVER BILLING CYCLE WE SET UP, WE WOULD PULL THEM AND MAKE SURE THEY ARE HAPPY WITH THE RESULTS. ANYTHING YOU WANT TO ADD TO THAT, JOEL? >> BASICALLY THE WAY IT WOULD WORK WOULD BE MORE OF WHEN YOU HAVE BEEN AWARDED A TASK ORDER, AND YOU HAVE COMPLETED IT, AND WE HAVE ACCEPTED IT, WITHIN WHATEVER WE HAVE ACCEPTED WITHIN A MONTHLY TIME FRAME, YOU WOULD BE ABLE TO SUBMIT. SO THE FIRST OF JANUARY YOU WOULD BE ABLE TO SUBMIT WHATEVER WE ACCEPTED THROUGH DECEMBER. THAT TYPE OF FRAMEWORK. RATHER THAN AS SOON AS YOU COMPLETE IT, WE PAY FOR IT. IT WOULD BE WE HAVE ACCEPTED IT AND DID WHATEVER COMPARISON OR WHATEVER PROCESS WE LAID OUT FOR THE ACCEPTANCE, AND ONCE WE ACCEPTED IT, YOU WOULD BE ABLE TO INVOICE THE NEXT MONTH. SO IF YOU HAD AN ON GOING TASK ORDER THAT'S 90 DAYS OF 2,000 INSPECTIONS AND YOU DID 1,000 IN THE FIRST TWO MONTHS, AND THEY HAD BEEN ACCEPTED BY US, THEORETICALLY, YOU WOULD BE ABLE TO INVOICE FOR THE ONES THAT HAVE BEEN COMPLETED AND ACCEPTED THE PREVIOUS MONTH. DOES THAT MAKE SENSE, EVERYONE? >> 30 DAYS. >> RIGHT, RIGHT. CASH LAW, VERY IMPORTANT. THAT'S WHY WE WANT TO PAY ON A MONTHLY BASIS. >> QUESTION ABOUT PAYMENT, IT SOUNDS BY THE DISCUSSION THAT THE ITEM BEING PAID FOR IS A COMPLETE INSPECTION. SO IN THE SOLICITATION THAT I'M ENVISIONS, YOU HAVE COMPUTER, STORAGE, NETWORK, TRAINING, AND A LOT OF OTHER SERVICES ONE MIGHT INVOICE FOR UNLESS THE EXPECTATION IS THE VENDOR ROLLS IT UP AND COMES UP WITH A COMPOSITE PRICE THAT ROLLS THAT INTO A COMPLETE SERVICE. IS THERE ANY OTHER PAYMENT OF SERVICE INCLUDED IN THE CONTRACT? >> THAT'S SOMETHING WE WOULD HAVE TO TALK ABOUT ON OUR SIDE, TOO. BUT WE WOULD HAVE TO DO SOMETHING FOR COMPUTER STORAGE AND THINGS LIKE THAT, AT LEAST IN THE FRONT END OF HOW IT'S GOING TO BE SET UP OR DEPENDING ON THE FEEDBACK THAT WE GET BETWEEN US TALKING AND FROM YOU IN THE INDUSTRY. BUT I DON'T KNOW  I THINK THE WAY THAT WE HAVE BEEN THINKING ABOUT TRAINING THAT WE ARE PROVIDING IT SO YOU CAN KEEP PEOPLE TRAINED AND DETERMINE THAT THEY CAN WORK ON THE CONTRACTING, COMPLETE THE INSPECTIONS AND STUFF, NOT THAT WE WOULD BE PAYING MONTHLY FOR YOU TO KEEP TRAINING PEOPLE. IT WOULD BE YOU MAINTAINING THE TRAINING IN ORDER TO BE ABLE TO HAVE INDIVIDUALS THAT  AND THAT'S WHY WE WANT TO TAKE THE ASPECT OF US GIVING YOU THE TRAINING AND SAY THIS IS THE WAY IT'S GOING TO BE TRAINED. WE GIVE YOU ACCESS TO THE TRAINING SO YOU CAN GIVE THE TRAINING TO WHOEVER YOU NEED TO GO OUT AND COMPLETE THE INSPECTIONS AND IT BECOMES MORE OF AN INCENTIVE SO YOU HAVE PEOPLE THAT ARE TRAINED IN ORDER TO GO OUT AND DO THE INSPECTIONS AND NOT YOU GETTING PAID TO TRAIN PEOPLE TO BE ABLE TO DO INSPECTIONS. DOES THAT MAKE SENSE? >> I UNDERSTAND THAT POINT OF VIEW, AND I GUESS FROM THE CORPORATE SIDE, WHILE WE ARE TRAINING THOSE PEOPLE, SOMEBODY IS INTERNALLY PAYING THOSE TRAINERS, AND THAT TIME NEEDS TO BE CANNED FOR JUST ON A BASIC CORPORATE GOVERNMENT ACCOUNTING FASHION, AND WHAT I'M GETTING AT IS YOU WOULD NATURALLY ROLL THAT UP, I GUESS, IS WHAT YOU ARE SAYING. AGAIN, BACK TO MY QUESTION. AT THE MOMENT, IT SOUNDS LIKE THE UNIT OF PAYMENT ON AN INVOICE IS AN INSPECTION. >> CORRECT. >> AND I WOULD SUGGEST YOU MIGHT GIVE SOME THOUGHT TO OTHER ITEMS TO BE PAID FOR. THEN I WOULD ALSO SAY REGARDING THE IDIQ AND THE COMPETITION AND THE PRICING, IT ALSO MIGHT BE INTERESTING TO CONSIDER LINE ITEMS THAT ACCOUNT FOR SERVICES AT A LEVEL GRANULARITY, AND OTHER PRICE COMPONENTS, JUST A SUGGESTION. >> THAT WAS A GOOD POINT. WE REALIZED THAT THE MARKETPLACE PER TASK ORDER WILL DETERMINE. OBVIOUSLY YOU HAVE OVERHEAD AND OBVIOUSLY CASH IS KING. WE UNDERSTAND THAT, AND THAT'S WHY THE INDIVIDUAL TASK ORDERS WILL DELINEATE. BUT WE HAVE TO GO BACK AND LOOK AT THE FRONT END PIECE. >> IF I MIGHT WHILE I'M STANDING HERE, THE OTHER THING THAT DIDN'T SEEM RESOLVED IN MY MIND BACK TO THE DATA IT FORMAT QUESTION, IF YOU HAVE FIVE IDIQ HOLDERS, JUST TO PICK A NUMBER, AND EACH OF THEM IS STORING THEIR INSPECTIONS IN WHATEVER FORMAT APPARENTLY THEY WANT, AND YOU HAVE FIVE DIFFERENT POTENTIAL FORMATS THAT YOU NEED TO COLLECT AND PULL DATA FROM AND ANALYZE, AND IT SEEMS TO ME IF YOU TAKE A LOOK AT  LET'S TAKE THE I.R.S. WHAT THE I.R.S. DOES IS PUT DOWN A STANDARD AND SAYS I DON'T CARE WHAT IT LOOKS LIKE ON THE USER END BUT THIS IS THE FORMAT YOU NEED TO SEND TO ME. WE DON'T HAVE TO FIGURE THAT OUT. YOU SAY THIS IS A FORMAT, AND YOU LET THE PROGRAMMERS ON THE VENDOR SIDE FIGURE OUT WHAT IT NEEDS TO LOOK LIKE, SO WHEN YOU GET IT, YOU DON'T GET 7 DIFFERENT TYPES OF FORMAT THAT YOU HAVE TO SORT OUT JUST AS A SUGGESTION. >> NO. WE WOULD PROVIDE THE INFORMATION TO YOU ABOUT EACH TYPE OF INSPECTION, WHETHER IT BE HQS OR UPCS BECAUSE EACH TYPE OF INSPECTION WOULD HAVE SLIGHTLY DIFFERENT INFORMATION BUT WE WOULD PROVIDE IT TO ALL SEVEN VENDORS IN AN IDENTICAL WAY. THERE WOULDN'T BE 7 DIFFERENT. WHEN WE RECEIVE THE INFORMATION IT WOULD BE AN IDENTICAL WAY FROM ALL 7 VENDORS. IT WOULD BE ONE FORMAT FOR UPCS INSPECTION, AND IT WOULD BE ONE FORMAT FOR HQS INSPECTION, AND IT WOULD BE ONE FORMAT REGARDLESS OF THE VENDOR. >> SO YOU WOULD DEFINE THE I.T. FORMAT. >> YES. I WAS TALKING ABOUT USING INDUSTRY STANDARD FORMAT TO EXCHANGE INFORMATION AND USING THE INTERCHANGE OF MID MO WOULD BE DEFINING THE EXACT FORMAT THAT THE DATA WOULD BE TRANSFERRED IN. >> WE WOULD SPELL THAT OUT VERY CLEARLY FOR THE REASONS YOU SAY. >> WHAT WE WERE TRYING TO SAY BEFORE, WE DON'T WANT TO DICTATE HOW YOU ARE DIGITALLY STORING STUFF TO ALLOW US TO ACCESS AT WHATEVER MEANS THAT YOU ARE USING AS A PLACE OF STORAGE WHERE WE CAN PULL IT AND RETRIEVE IT FROM. WE WANT TO BE ABLE TO PULL THE DATA THAT WE NEED AS IT'S REQUIRED BY US. >> THANKS. >> THANK YOU. >> YES, MA'AM. >> JUST GOING BACK TO THE UNIT PRICING ISSUE, ONE THING THAT I ENVISION BEING A PROBLEM IS BECAUSE OF THE ECONOMY TO SCALE, AND AS SOON AS A CONTRACTOR WINS A LARGE SCOPE OF INSPECTIONS, IT ALMOST AUTOMATICALLY MAKES THE SECOND SET OF INSPECTIONS CHEAPER FOR THEM FOR THE EXACT REASON HE WAS SAYING. IF THE TRAINING COSTS AND I.T. COSTS ARE BUILT INTO THE INSPECTION LEVEL, THE MORE YOU GET, THE CHEAPER IT'S GOING TO BE. I SEE THAT AS A PROBLEM. >> EXCUSE ME. GO AHEAD. >> I SEE IT AS A PROBLEM WITH AN IQC, IF SOMEBODY IS GET AGO THOUSAND INSPECTIONS AND SOMEBODY IS GETTING 5,000 INSPECTIONS, THE PERSON WHO GOT A THOUSAND INSPECTIONS OR NO EXPENSES IS AUTOMATICALLY GOING TO HAVE A MORE EXPENSIVE PRICE AND BE SORT OF BID OUT OF THE FUTURE TASK ORDERS. IT'S JUST AN OBSERVATION. >> IT'S AN EXCELLENT POINT AND WE HAVE TO KEEP THAT IN MIND TO MAKE SURE WE ARE FAIR THROUGHOUT THE PROCESS. NOBODY WINS IF WE START HAVING PEOPLE THAT ARE FAILING. SO WE WANT TO MAKE SURE WE DO THIS IN A WAY THAT KEEPS EVERYBODY VIABLE THROUGHOUT THE ENTIRE LIFE OF THE CONTRACT. ANY OTHER QUESTIONS, COMMENTS? I HAVE ONE  WHILE YOU ARE STANDING UP, LET ME READ WHAT CAME TO US. I WANT TO ANSWER IT FOR ALL OF YOU, AND THE QUESTION IS. AS HUD/VHA TUNED TO THE PRESENCE AND MITIGATION OF RADON, ASBESTOS, LEAD BASED PAINT AND MOLD AND HOUSING STOCK WOULD THEY INCORPORATE LAB TESTING AS TASK ORDERS FOR THE CONTRACT? AND THE ANSWER IS NO. WE ARE DOING UPCS, AND WE ARE DOING HQS, AND EVENTUALLY UPCSV. IT'S A GREAT QUESTION, AND DEFINITELY AN IMMEDIATE NEED TO ALL THE PEOPLE THAT ARE AFFECTED BY IT. BUT IT'S NOT IN OUR PROTOCOL, AND IT WILL STAY THE SAME. >> YES, SIR. >> SORRY IF IT'S BEEN ANSWERED BEFORE. IS THERE AN ANTICIPATED CONTRACT VALUE FOR THE IDIQ'S? >> THAT'S STILL UP IN THE AIR THE WAY THAT WE ARE DOING THAT. ALL THE REQUIREMENTS WILL COME OUT AS WE GET TO THAT STAGE OF IT. BUT RIGHT NOW WE ARE REALLY JUST GOING OFF WHAT WE THINK ON THE INSPECTION LEVEL WOULD BE AT THIS POINT, SO THAT  AND IT MAY NOT GET ANYMORE DETAILED THAN THAT WHEN THE SOLICITATION COMES OUT. YOU MAY HAVE TO DERIVE HOWEVER MANY INSPECTIONS WE ARE SAYING, AND ABOUT WHAT THE VALUE WILL BE. >> THANK YOU. >> TWO POINTS. OBVIOUSLY I'M GETTING THIS WARM FEELING THAT THERE'S MORE AND MORE CONTRACT TRUST, PATRIOTISM REGARDING OUTSIDE CONTRACTORS, AND WE ARE ALL TRYING TO DO THE SAME THING. BUT I WANT TO ADDRESS ONE THING ABOUT CONFLICTS OF INTEREST. SINCE MORE IS RELIED FOR THE COMPLETE TASK ON THE CONTRACTOR HERE, AND I'M SURE IT HAS TO DO WITH BUDGETARY CONSIDERATIONS AND EVERYTHING ELSE GOING ON, AND THE CONSOLIDATION OF ESPECIALLY THE INSPECTIONS, TO START OFF AS ON THE CORPORATE SIDE, BASICALLY THERE'S A BIG INVESTMENT TO BE ABLE TO COVER ALL THE TASKS. EVERYTHING ELSE, AS THIS DEVELOPMENT GOES ON, TO BE ABLE TO HAVE THOSE EXPENSES UP FRONT, THIS IS A 12 MONTH DEAL COMING OUT OF THE GATE, CORRECT? >> CORRECT. >> AND THEN POTENTIAL ADD ONS. >> A YEAR AFTER FOR A TOTAL OF FIVE. >> I CAN FORESEE, THE NUMBERS GOING TO MY HEAD, IT SHOULD BE A THREE YEAR START UP AND TWO ADDITIONAL YEARS, I MEAN, BASED ON CONTRACTS. ONE YEAR AND YOUR START UP THING PROBABLY 90 DAYS BEFORE REVENUE STARTS COMING IN. >> WHAT WOULD YOU THINK? SINCE WE ARE DOING AN IDIQ PROCESS, WE HAVE TO HAVE A GUARANTEED MINIMUM. WHAT WOULD YOU THINK WOULD BE A REASONABLE  I'M NOT SAYING  WE HAVE KIND OF A NUMBER. I WOULD LIKE TO HEAR YOURS. >> YOU HAVE A UPCSV THAT WE HAVE BEEN DEALING WITH THIS ORGANIZATION FOR A NUMBER OF YEARS, AND IF THEY SAY ONE YEAR, IT'S 36 MONTHS, AND STUFF LIKE THAT. THERE ARE THINGS TO BE DONE. THERE'S A THE LO OF THINGS TO BE DONE. IF BASICALLY THIS WAS HQSQC, YOU KNOW, PHASE 1, YOU KNOW, ONE YEAR, WHATEVER, THAT'S EASY, BUT WHEN YOU START TALKING ABOUT ALL THE OTHER. ESPECIALLY WE ARE INVOLVED WITH THE DEMONSTRATION WITH TAX CREDIT AND EVERYTHING. I KNOW  I'M IN THREE STATES THAT ARE ON THE ALIGNMENT, AND IT'S BECOMING A TASK, ESPECIALLY ON THE INDEPENDENT SIDE FOR THE CONTRACTOR WHEN REACT COMES IN AND STEPS IN AND PULLS AN INSPECTION OUT OF A SCHEDULE. IT BECOMES NONPROFIT. SO THERE'S A LOT OF STUFF IN THE TIMING. OF COURSE WE ARE NOT AT A POINT TO SAY YES, 90 DAYS WE ARE GOING TO ROLL OUT THERE AND DO UPCS WITHIN 12 MONTHS, BUT IT IS VERY DIFFICULT COST WISE TO START UP. WE HAVE BEEN DOING IT FOR A LONG TIME, AND IT WOULDN'T BE. BUT TO BE ABLE TO SAY IS THIS GOING TO BE BROKEN DOWN AND AWARDED ON HUD REGENTS? THAT MAKES YOU THINK A WHOLE LOT DIFFERENTLY, ESPECIALLY ON QUESTIONS ASKED ABOUT LOGISTICS AND WHAT IS YOUR SCOPE OF SERVICE. >> PART OF OUR ISSUE NOW IS WE KNOW WHAT WE CURRENTLY HAVE. WE CAN KIND OF ANTICIPATE THE VOLUME OF INSPECTIONS THAT WE HAVE. >> GEOGRAPHICALLY? >> NOT REALLY. WE DON'T KNOW HOW THEY ARE GOING TO COME DOWN. THAT'S PART OF THE ISSUE, AND PART OF THE REASON WE WANT TO PUT OUT AN IDIQ TYPE FORMAT. SO AGAIN, BACK TO MY QUESTION. JUST SPIT BAWLING, BALLPARK WOULD YOU THINK WOULD BE REASONABLE? >> I DON'T THINK THERE IS HARDLY ANY START UP COSTS EXCEPT MANPOWER, AND YOU ARE TALKING ABOUT A 52580. YOU HAVE THE 20 PAGE THAT TELLS YOU EVERYTHING YOU NEED TO DO ON THE LEFT HAND SIDE. AS FAR AS THE FILLABLE FORM AND WHATEVER, THAT'S A PRETTY EASY COMPARISON. SO ESPECIALLY THE LARGER TROUBLED HOUSING AUTHORITIES THAT HAVE BAD CEMENT TYPE THING, YOU COULD WALK IN AND DO THAT FAIRLY QUICK, YOU KNOW, AS STAGE ONE AND ROLL WITH THAT AND THEN FIND OUT. THERE'S GOING TO BE A TRAINING. THERE'S GOING TO DEFINITELY BE A TRAINING EDGE ON THE HQS SIDE, AND IT'S PRETTY EASY, ESPECIALLY IF THEY COME FROM ANOTHER INSPECTION PROGRAM. THERE'S A LOT OF QUESTION MARKS, ESPECIALLY WHEN WE GET INTO THE TAX CREDIT THING AND GOING DOWN THE ROAD, THERE'S GOING TO BE ON GOING DEVELOPMENTS ON THE CORPORATE SIDE, THE CONTRACTOR SIDE. THERE'S NOT A ONE FIX FOR EVERYTHING COMING OUT OF THE GATE. SO I SUGGEST THREE YEARS AND TWO OPTIONAL YEARS. >> THE PROBLEM IS THE WAY THAT THE MONEY  THE MONEY IS WHAT DICTATES THE WAY THAT WE CAN ESTABLISH CONTRACTS. >> HOW ABOUT TAX CREDITS? >> THE WAY THAT THE MONEY COMES IN AND THE WAY THAT IT'S EARMARKED AND THE WAY THAT IT'S  THE COLOR OF THE MONEY, AS YOU SAY, DICTATES THE WAY THAT WE CAN DO CONTRACTING. SO IN GENERAL, IT'S DIFFICULT FOR US TO DO A THREE YEAR BASE PERIOD AND STUFF LIKE THAT, AND I DON'T KNOW THAT THAT'S GOING TO BE A POSSIBILITY. AND THAT'S WHY WE ARE WORKING UNDER THE ASSUMPTION THAT IT'S GOING TO HAVE TO BE A BASE PERIOD OF 12 MONTHS, PLUS FOUR 12 MONTH OPTIONS. >> IT'S DIFFICULT FOR MANY COMPANIES HERE TO SAY. WE GEAR UP TO ABLE TO PRIDE ALL OF THOSE SERVICES AND A LOT OF THOSE ARE QUESTION MARKS. IF YOU SAID HQSQC, THAT'S EASY FOR MOST OF US. >> WHAT WE HAVE RIGHT NOW, THE INITIAL INSPECTIONS THAT WE HAVE TO DO ARE WHAT  WHAT FORMAT? >> HQS. >> THOSE ARE THE ONES WE HAVE. ALL THE OTHER THINGS ARE CAPABILITIES THAT WE ANTICIPATE USING UNDER THIS IDIQ, BUT THERE'S NOT CURRENTLY THE REQUIREMENT HARD AND FAST TO DO THEM. >> I UNDERSTAND. BUT THERE HAS TO BE A METHOD OF A THOUGHT PROCESS. >> AND THERE HAS TO BE SOME KIND OF A TASK ORDER THAT COMES OUT FOR IMPLEMENTING THE PROTOCOLS OR SOMETHING LIKE THAT FOR WHEN WE MOVE INTO THOSE NEW TYPES OF INSPECTIONS, AND I MEAN THAT'S. >> AND THE START UP ON THE HQSQC'S, EVERYBODY KNOWS 80% OF THE ACTIVITY OUT THERE IS STILL ON PAPER. TONS OF STORAGE ROOM. YOU COULD BE QUALIFIED INSPECTOR AND A SCANNER, AND YOU ARE IN BUSINESS. >> RIGHT. >> NO. TRANSFERRING YOUR INFORMATION TO US WOULD BE ELECTRONIC. >> YOU ARE TALKING 52580, SO IT WOULD BE A PDF FORM? >> NO. >> BUT IT DOESN'T EXIST NOW. GPNA AND EVERYTHING ELSE IS WORKING. IT DOESN'T EXIST NOW. >> NO. BUT WE WILL BE EXPECTING IT IN A FORMAT. >> INSPECTION SIDE IS THE SAME THING. FILLING OUT A 52580. >> IT WOULD BE TRANSFERRED INTO A WAY WE WOULD BE ABLE TO READ YOUR RESULTS IN A MACHINE READABLE FORMAT. >> WE NEED IT TO DEVELOP THAT INPUT DEVICE, FRONT END DEVICE. >> YES. >> SO THERE'S A NUMBER STAGES IN DIFFERENT FORMATS. >> YOU WOULD BE PULLING DOWN THE INFORMATION ELECTRONICALLY FROM US AND TRANSMITTING IT BACK. >> THANK YOU. >> THIS IS JUST A COMMENT AGAIN. IT SEEMS LIKE THERE'S A LOT OF SUBSIDIZING THE BUILD OUT. GIVEN THE WAY THAT YOU HAVE TALKED ABOUT DEVELOPING AND DELIVERING THIS AS AN IDIQ, IT WOULD SEEM THAT WOULD BE SOMETHING BECAUSE THERE ARE COST CAPABILITIES OUT THERE, THAT WOULD JUST BE PRICED INTO WHATEVER COMES OUT. YOU ARE GOING TO SAY GIVE US 500 OF THESE, AND THAT CAPABILITY WOULD BE PRICED INTO IT. IS THAT HOW. >> I THINK THAT'S HOW WE ENVISION IT. THE WAY WE ARE THINKING ABOUT IT IS HOW IT WOULD WORK ON YOUR SIDE OF IT. A LOT OF TIMES WE THINK THEY WORK ONE WAY, AND IT MAY NOT BE AS EASY AS IT SEEMS TO US OR THAT CAPACITY. SO WE HAVE THAT MINIMUM GUARANTEE, AND IN ORDER TO DO THAT, IT MAY BE A PART OF THAT MINIMUM INITIALLY THAT SAYS, YOU KNOW, THE FIRST TASK ORDER IS TO GET THAT INITIAL COMPONENT OF THE DATA TRANSFER COMPONENT ESTABLISHED AND MOVING WITH THAT. THAT'S WHY I WAS TRYING TO GET SOME SORT OF NUMBER IDEA OF WHAT YOU WOULD THINK THAT WOULD BE, AND IT MIGHT BE SOMETHING THAT WOULD COME OUT INTO THE RFI OR SOMETHING. >> I'M SORRY. I WOULD THINK THAT THAT WOULD BE A PART OF  IF IT'S A COMPOSITION PACKAGE IT WOULD BE PART OF WHAT THE VENDOR WOULD PROVIDE TO THE PERSON THAT'S DOING THE INSPECTIONS. WHEN YOU PURCHASE THAT, I KNOW, YOU KNOW, FOR AN INSPECTION PACKAGE THAT SHOULD BE A PART OF IT. >> AND YOU WOULDN'T BE DEVELOPING YOUR OWN  YOU WOULD BE USING THE EQUIVALENT OF QUICKEN BOOKS OR THAT SORT OF SOFTWARE AS PART OF YOUR  TO BE ABLE TO TRANSFER INFORMATION BETWEEN US AND YOU. >> ABSOLUTELY. THANK YOU. >> THANK YOU. YES, SIR. >> ON THE HQS INSPECTION, BEING AT 100%, WOULD IT BE ASSIGNED BY AGENCY, SO THE TASK ORDER WOULD BE GO THROUGH DETROIT'S HQS INSPECTIONS? THAT WOULD TAKE AN ENTIRE YEAR, BECAUSE YOU ARE NOT DOING THE SCHEDULING. WOULD THAT TASK ORDER BE FOR THE FULL YEAR? >> NO. GREAT QUESTION. ONCE AGAIN, WE ARE DOING A SURVEY. TAKE DETROIT, AND HAVING SPENT TWO YEARS THEIR I'M FAMILIAR WITH THE PROGRAM. LET'S SAY THEY HAVE 6,000 UNITS. WE WOULD ASK YOU TO DO A SAMPLE OF PERHAPS 200. IN OTHER WORDS, A SPECIFIC NUMBER WE WOULD ANTICIPATE WOULD BE THE VOLUME FOR A PARTICULAR TIME PERIOD, AND REMEMBER YOU ARE SHADOWING, YOU ARE SHADOWING THEM, AND WE HAVE TO REALIZE TIME IS MONEY, ET CETERA, ET CETERA. IT'S A SAMPLE TO SEE HOW WELL THEY ARE DOING AND THAT'S IT. >> WE WOULDN'T GET ADDRESSES AT THAT POINT. THE NEXT 200 INSPECTIONS OVER THE NEXT 90 DAYS, AND CONTACT DETROIT TO SEE WHAT 200 THEY ARE DOING. >> RIGHT. WE ARE FOLLOWING THEIR SCHEDULE. SHADOWING. YES, SIR. >> KNOWING WE ARE IN THE EARLY STAGES, IS IT POSSIBLE YOU CAN SORT OF GIVE US A TIMELINE OF WHAT THE ANTICIPATED AWARD DATE, IS THIS SOMETHING THAT WILL HAPPEN THIS FISCAL YEAR OR WE LOOKING AT NEXT FISCAL YEAR? >> IT WILL COME OUT SOMEDAY. >> IS THERE A SONG THAT GOES WITH THAT, JOEL? >> WE ANTICIPATE IT BEING THIS FISCAL YEAR. WE HAVE REQUIREMENTS TO DO HQS INSPECTIONS THIS FISCAL YEAR, AND WE ARE TRYING TO GET THROUGH THIS PROCESS AND BE ABLE TO AT LEAST DO THOSE IF POSSIBLE UNTIL THIS UMBRELLA OF THE IDIQ'S. THE FEDERAL SYSTEM. SO BEFORE END OF SEPTEMBER, NOT NEXT JANUARY, OCTOBER. WE ANTICIPATE IT BEING OUT SOMETIME THIS YEAR, HOPEFULLY WITHIN THE NEXT COUPLE MONTHS. WE ARE TRYING TO TALK THROUGH, WE NEED TO GO BACK OUT, AND AFTER GOING THROUGH THE COMMENTS AND INTERACTIONS THAT WE HAVE HERE, IF WE FEEL LIKE WE NEED TO REVISE THE PERFORMANCE WORK STATEMENT THAT EVERYBODY SAW THAT WAS POSTED AND GO BACK OUT FOR ANOTHER RFI AND ASK FOR A LITTLE MORE FEEDBACK AS WE KIND OF FINE TUNED IT, AND LOOK AT THE RESPONSES THAT WE GET AND ENSURE WE ARE ALL ON THE SAME PAGE FROM THIS AND FROM THAT, AND WE WILL BE ABLE TO MOVE FORWARD. SO I WOULD LOVE TO BE ABLE TO TELL YOU WHEN THAT'S GOING TO HAPPEN. BUT THERE ARE A LOT OF THINGS KIND OF UP IN THE AIR RIGHT NOW THAT WE ARE TRYING TO WORK OUT AND ENSURE WE ARE ALL INDUSTRY AND HUD ARE ALL ON THE SAME PAGE. WE DON'T WANT TO PUT SOMETHING OUT THAT'S GOING TO CAUSE MORE QUESTIONS THAN GIVE US SOLUTIONS. WE WANT TO MAKE SURE EVERYBODY IS TALKING TOGETHER ON THIS. >> YES, SIR. >> NOT SO MUCH A QUESTION AS A COMMENT. ONE OF THE GREAT THINGS ABOUT HAVING THIS GROUP OF PEOPLE IN THE ROOM IS THERE'S PEOPLE WITH DIFFERENT INDUSTRIES WITH COMPLETELY DIFFERENT PERSPECTIVES, BUT THAT'S ALSO ONE OF THE PROBLEMS. SOME OF US DON'T UNDERSTAND WHAT THE OTHERS DO. HQS THING, I'M FOLLOWING UP THINKING WE ARE EXPECTED TO PRICE INSPECTIONS, LET'S SAY, IN DETROIT PER INSPECTION WITHOUT KNOWING IF THAT INSPECTOR THAT WE ARE FOLLOWING IS GOING TO DO 10 INSPECTIONS THAT DAY OR 20 OR  BECAUSE WE SHOW UP AS MR. HOLCOMB. INSPECTORS BEHAVE VERY DIFFERENTLY WITH QA REPS PRESENT. SO IT MAKES IT AN UNKNOWN QUANTITY FOR US. >> IT'S A VERY GOOD POINT. WE WILL BE DOING A LOT OF INITIAL SURVEYING, SO YOU WILL KNOW AS MUCH AS POSSIBLE. WE SAY WHAT IS YOUR NORMAL DAILY OUTPUT. WE UNDERSTAND WHEN THE POLICEMAN IS SITTING BEHIND YOU YOU PROBABLY DRIVE THE SPEED LIMIT. WE GOT THAT. BUT THEY ALSO UNDERSTAND THEY ARE GETTING PAID TO GET THEIRS DONE, AND THEY CAN'T ALLOW A BACKLOG BECAUSE THEY HAVE A REQUIREMENT ONCE THEY HAVE A SCHEDULED INSPECTION UNDER REVERSION OR INITIAL, AND IT'S GOT TO BE DONE WITHIN A CERTAIN TIME PERIOD OR THEY CAN'T COLLECT ANY MONEY FOR THE UNITS. THERE'S A LOT OF COMPELLING FORCES. WE CAN TELL YOU HOW MANY IN A GIVEN TIME PERIOD BASED ON THE CAPABILITY. IF YOU THOUGHT IT WAS GOING TO BE 50 IN A WEEK AND IT'S 50 IN A YEAR, OBVIOUSLY WE HAVE GOT A PROBLEM. WE HAVE GOT TO GIVE YOU THAT, SO YOU CAN PRICE IT RIGHT, OKAY? >> ANY OTHER QUESTIONS, COMMENTS? WELL, GREAT CONVERSATION, AND WE REALLY ARE LOOKING FORWARD TO MOVING ON THIS. I AM GOING TO KEEP THE PRESSURE UP AS THE OPERATOR LIKE YOU CAN'T BELIEVE. WE HAVE GOT A GREAT PARTNERSHIP WITH JOEL AND THE FOLKS IN DENVER TO HELP US GET THERE AND DO THIS IN THE RIGHT WAY, AND WE REALLY NEED YOUR INPUT TO REMIND YOU IF YOU DON'T WANT TO SHARE THE FACT YOU WERE HERE, PUT YOUR NAME AND INITIAL NEXT TO YOUR NAME, AND WE WILL NOT SHARE IT. OTHERWISE, PLEASE DO, WE WILL SHARE ALL THE CONTACTS, AND WE ARE GOING TO BE COMING BACK OUT BASED ON THE INPUT OF THIS MEETING AND ANYTHING ELSE WITH WHAT WE BELIEVE TO BE A MORE ACCURATE REQUIREMENT. THEN WE WILL BE MOVING FROM THAT, BUT IT'S REALLY IMPORTANT THAT WE GET STARTED MUCH SOONER THAN LATER, AND THE FIRST WILL BE HQS INSPECTIONS. DO WE HAVE ANOTHER QUESTION OR COMMENT? >> I WAS GOING TO LET THIS GO, BUT SINCE WE ARE DEALING WITH THE REAL ESTATE ASSESSMENT CENTER AND THE BIG CONFLICT OF INTEREST RULINGS REGARDING REACT CERTIFIED INSPECTORS, IS THAT GOING TO BE THROWN OUT THE WINDOW WHEN YOU TALK ABOUT AS A REACT CERTIFIED INSPECTOR, HE'S GOING TO BE DOING UPCS OR TAX CREDIT ON ONE SIDE IN A PARTICULAR JURISDICTION AND CONSULTING WORK AND DATA COLLECTIONS FOR GPNA'S OR ENERGY AUDITS FOR THE SAME HOUSING AUTHORITY? CAN WE SAY TRUST US AND THROW THAT OUT? >> IT'S A GREAT QUESTION, AND FOR THOSE THAT MIGHT NOT BE FAMILIAR. >> THAT'S GOING TO HAPPEN A LOT. >> IT DOES. WE HAVE TO WORK THROUGH IT. WHAT HAPPENS IN THE MARKETPLACE? WE HAVE 140 SOMETHING 150 INSPECTORS, AND SOME FOLKS DO A MINIMUM OF INSPECTIONS TO STAY CURRENT AND CERTIFIED WITH US, AND SPEND A MAJORITY OF THEIR TIME PROVIDING CONSULTING SERVICE TOSS HOUSING AUTHORITIES ON HOW TO BE SUCCESSFUL IN PASSING THE INSPECTION. THE MARKETPLACE, WE UNDERSTAND THAT. AT THE SAME TIME, WE ARE TAKING A GOOD LOOK AT IT RIGHT NOW, BECAUSE WE HAVE TO MAKE SURE THAT THE PEOPLE DOING THE INSPECTIONS ALSO REMAIN CURRENT. WE ARE GOING TO LOOK AT THE THRESHOLD OF THE NUMBER THAT INDIVIDUALS HAVE TO DO EVERY GIVEN YEAR, AND I'M SPEAKING TO REVERSE AUCTION AND ONLY REVERSE AUCTION. BECAUSE REMEMBER THE WHOLE DYNAMIC CHANGES WITH THE IDIQ. THE COMPANIES THAT ARE ON THE LIST OF THE IDIQ BEAR TOTAL RESPONSIBILITY FOR THE QUALITY OF THE INSPECTION, AND IF THE ENTITY BEING INSPECTED WANTS TO GO OUT AND BUY THE SERVICES OF HOW TO DO WELL, GOD BLESS THEM. THIS IS AMERICA, AND THEY HAVE THE RIGHT TO DO THAT. HOWEVER, THE INDIVIDUALS PROVIDING THAT CAN IN NO WAY GUARANTEE THE OUTCOME SHOULD THEY CHOOSE TO OR SHOULD THEY NOT. OUR ROLE IS TO MAKE SURE THE INDIVIDUALS DOING THE GOVERNMENT INSPECTION ARE QUALIFIED TO BE DOING THAT UNDER REVERSE AUCTION, AND YOUR ROLE UNDER THE IDIQ IS TO MAKE SURE THE INDIVIDUALS DOING THE INSPECTION ARE QUALIFIED TO DO THAT. WE ARE NOT GOING TO STEP IN THE DOMAIN TELLING INDIVIDUALS BEING INSPECTED, BE IT WHITE HOUSE, BE IT WHATEVER, YOU CAN'T HAVE A CONSULTANT HELP YOU. I UNDERSTAND WHAT YOU ARE SAYING FROM A CONFLICT OF INTEREST PERSPECTIVE. BUT WE HAVE HAD CRIMINAL ENDEAVORS AND THINGS POP UP IN THAT REGARD. INDIVIDUALS THAT BUY THAT SERVICE DO IT AT THEIR OWN RISK. I DON'T KNOW IF I HELPED OR HINDERED OR CONFUSED. >> I THINK THE APPROACH IS DIFFERENT. I'M TALKING ABOUT AN INDIVIDUAL, AND IF HE'S WORKING ON A CONTRACT FOR A HOUSING AUTHORITY, WHICH IS A GOVERNMENT ENTITY, AS HUD IS, AND HE'S DOING DATA COLLECTION ON APP ENERGY AUDIT, CAN HE TWO MONTHS LATER GO DO THE HQS QUALITY CONTROL INSPECTIONS? >> WHO IS RESPONSIBILITY FOR THE QUALITY OF THE INSPECTION IN THE ONES WE ARE TALKING ABOUT? >> THE CONTRACTOR. >> THEN GO. >> LEAVE IT AT THAT. >> I JUST WANT TO SAY A COUPLE THINGS BEFORE WE CLOSE OUT. I WANT TO CLARIFY AND MAKE EVERYBODY IS AWARE, THE WAY WE ARE LOOKING AT THE EVALUATION CRITERIA WILL GO OUT IN THIS. THIS IS AN OPEN DIALOGUE MARKET RESEARCH, AND DON'T FORM ANY FINAL OPINIONS, AND THERE MAY BE AN RFI THAT COMES OUT SOON TO DISCUSS ANY OTHER QUESTIONS OR CONCERNS OR CHANGES THAT WE MADE TO GET A LITTLE MORE FEEDBACK FROM YOU. WE WILL PROBABLY STILL BE HERE HANGING OUT IN THE ROOM ONCE WE FINISH FOR A A LITTLE WHILE. I'M HAPPY TO TALK TO ANYBODY. BUT NONE OF US WILL ANSWER ANY QUESTIONS, BECAUSE WE WANT TO KEEP EVERYBODY ON A LEVEL PLAYING FIELD. IF YOU HAVE ANY QUESTIONS, ASK THEM NOW. OTHERWISE WE WILL BE HAPPY TO SAY HI. I DON'T KNOW ANYBODY HAS TO LEAVE. I DON'T HAVE TO GO ANYWHERE. I WILL BE HAPPY TO SAY HI, AND SHAKE YOUR HAND. BUT WE WON'T BE ANSWERING ANY OTHER QUESTIONS ONCE THE FORUM IS CLOSED. THIS WEBCAST WAS RECORDED. SO WE WILL SEND OUT THE LINK FOR IT. IF THE LINK CHANGES FOR SOME REASON, WE WILL SEND OUT A LINK SO YOU CAN GO BACK AND VIEW IT IF YOU WANT TO SIT THROUGH THREE HOURS OF FUN AND EXCITEMENT AGAIN, GO FOR IT. >> IF YOU ARE HAVING TROUBLE SLEEPING TURN THAT BAD BOY ON, AND THERE YOU WILL BE ABOUT. >> IF SOMETHING CAME UP OR THERE'S A PART YOU DON'T QUITE REMEMBER OR CAN'T READ YOUR HANDWRITING, IT WILL BE AVAILABLE FOR YOU TO GO BACK AND VIEW IT AT A DIFFERENT TIME. >> THANK YOU, JOEL. ONE LAST TIME, IS THERE ANYBODY THAT HAS QUESTIONS FOR ALL OF US? BECAUSE WE HEARD THE RULES FROM THE EMPIRE, THEY HAVE TO BE QUESTIONS FOR ALL OF US HERE. FROM THAT POINT ON, YOU WILL BE COMMUNICATING WITH JOEL FOR SPECIFIC QUESTIONS, BUT WE DO WANT YOUR COMMENTS, BECAUSE WE WANT TO PUT OUT THE BEST PRODUCT WE CAN AS WE LOOK FORWARD TO PUTTING OUT. >> I KNEW THERE WOULD BE SOMEBODY WAS PLANNING ON ASKING ME A QUESTION. >> SOMETHING SIMPLE. I UNDERSTAND YOU CAN'T ANSWER QUESTIONS THAT MAY GIVE ONE OF US AN ADVANTAGE. IS IT NECESSARY FOR COMMENTS THAT WE WOULD LIKE TO SHARE WITH YOU TO BE PUBLIC RECORD FOR EVERYONE ELSE OR ARE WE WELCOMED TO SEND YOU UNSOLICITED SUGGESTIONS. >> YOU CAN SEND ME THINGS. I CAN'T GUARANTEE I WILL READ THEM OR USE THEM. I WILL LOOK AT THEM. BUT IN ALL LIKELIHOOD, E MAIL THEM TO ME IF I HAVE ANYTHING, AND IF I DO NEED TO USE IT, IT'S EASY FOR ME NOT TO MISQUOTE YOU. IF YOU HAVE ANYTHING, E MAIL ME AND IF I NEED TO PUBLISH IT, I CAN. THAT WORKS. THAT'S A GOOD CAVEAT. I WILL ANSWER IN RESPONSE TO E MAILS IF THERE NEEDS TO BE SOME KIND OF RESPONSE THAT EVERYBODY CAN SEE, I CAN USE THAT OR PUT IT INTO AN RFI. ANYTHING ELSE? >> THANK YOU ALL VERY MUCH FOR BEING HERE, AND WE LOOK FORWARD TO MOVING FORWARD. >> THANKS. [APPLAUSE]