July 1, 2021
The Honorable Phil Mendelson
Chairman
Council of the District of Columbia
1350 Pennsylvania Avenue NW, Suite 504
Washington, DC 20004-3003
Dear Chairman Mendelson:
Pursuant to D.C. Official Code 2-352.02, I have enclosed, for consideration by the Council of
the District of Columbia, the Council Contract Summary for the Agreement to Enter into a Long
Term Subsidy Contract (ALTSC) between the District of Columbia Housing Authority
(DCHA) and TM Jacob 1530 LLC (the Owner) and the resolution cited as the Local Rent
Supplement Program Contract No. 2020-LRSP-07A Approval Resolution of 2021. DCHA
proposes to provide a housing subsidy to the Owner in the initial annual amount of $1,024,320
for a multi-year term of fifteen (15) years, in support of the Districts Local Rent Supplement
Program (LRSP) to provide affordable housing units at MDXL Flats Apartments located at
1530 First Street, SW.
As always, I am available to discuss any questions you may have regarding the proposed LTSC.
In order to facilitate a response to any questions concerning this ALTSC, please have your staff
contact me at (202) 535-1513.
I look forward to your favorable consideration of this proposed ALTSC agreement.
Sincerely,
Brenda Donald
Interim Executive Director, District of Columbia Housing Authority
Enclosures
BD/hg
cc: Nyasha Smith, Secretary to the Council
Date: July 1, 2021
Pursuant to section 202(c) of the Procurement Practice Reform Act of 2010, as amended, D.C. Official
Code 2-532.02(c), the following contract summary is provided:
COUNCIL CONTRACT SUMMARY
(A) Contract Number: 2020-LRSP-07A
Proposed Contractor: TM Jacob 1530 LLC (the Owner)
Contract Amount (Base Period): $1,024,320 initial annual amount
Unit and Method of Compensation: Housing Assistance Payments, paid monthly
Term of Contract: 15 Years
Type of Contract: Agreement to Enter into a Long-Term Subsidy
Source Selection Method: See D below
(B) For a contract containing option periods, the contract amount for the base period and for
each option period. If the contract amount for one or more of the option periods differs
from the amount for the base period, provide an explanation of the reason for the
difference:
This is a multi-year contract.
(C) The goods or services to be provided, the methods of delivering goods or services, and any
significant program changes reflected in the proposed contract:
Pursuant to D.C. Official Code 2-352.02, I have enclosed, for consideration by the Council of
the District of Columbia, the Council Contract Summary for the Agreement to Enter into a Long
Term Subsidy Contract (ALTSC) between the District of Columbia Housing Authority
(DCHA) and TM Jacob 1530, LLC (the Owner). DCHA proposes to provide a housing
subsidy to the Owner in the initial amount of $1,024,320 annually for a multi-year term of fifteen
(15) years, in support of the Districts Local Rent Supplement Program (LRSP) to provide
affordable housing at MDXL Flats Apartments located at 1530 First Street, SW.
(D) The selection process, including the number of offerors, the evaluation criteria, and the
evaluation results, including price, technical or quality, and past performance components:
In June 2019, the District of Columbias Department of Housing and Community Development
(DHCD) issued a Request for Proposals (RFP) regarding the availability of funds from
multiple district agencies, including DCHA, DHCD, the Department of Behavioral Health, the
Department of Human Services, and the District of Columbia Housing Finance Agency. Of the
total proposals received, certain developers were chosen to work with DCHA and others to
develop affordable housing and permanent supportive housing units for extremely low income
families making zero to thirty percent of the areas median income, as well as the chronically
homeless and individuals with mental or physical disabilities throughout Washington, DC.
After meeting the requirements for DHCD review and LRSP subsidy eligibility, proposals were
evaluated on various underwriting and prioritization criteria including financial feasibility, project
sustainability, development team capacity, amount of capital requested, nonprofit participation,
and furtherance of the development of affordable housing. Additionally, DCHA has determined
that the proposed project meets the District of Columbias Consolidated Plan and the Mayors
goal for providing affordable housing opportunities in neighborhoods.
(E) A description of any bid protest related to the award of the contract, including whether the
protest was resolved through litigation, withdrawal of the protest by the protestor, or
voluntary corrective action by the District. Include the identity of the protestor, the grounds
alleged in the protest, and any deficiencies identified by the District as a result of the
protest:
None.
(F) The background and qualifications of the proposed contractor, including its organization,
financial stability, personnel, and performance on past or current government or private
sector contracts with requirements similar to those of the proposed contract:
MDXL Flats Apartments MDXL Flats (project) involves the new construction of 101 units of
affordable rental housing at the intersection of First and Q Streets SW Washington, DC. The
Owner/Borrowing Entity of this property will be TM Jacob 1530 LLC, a Joint Venture (JV)
between UPO Community Development Corporation (51% JV member) and TM Associates
Development, Inc. (39.2% JV Member) and 1530 1st Street SW, LLC (9.8% JV Member). The
JV acquired the project in March 2018 and is the current owner for the property. TM Associates
Development, Inc. will be the Sponsor/Developer of the project. TM Jacob 1530 LLC will utilize
a combination of Low-Income Housing Tax Credit (LIHTC) equity, bank or tax-exempt bond
debt, DHCD loans, deferred developer fee, and net operating income to finance the ~$68M
development budget.
The project will include twenty-one units (21%) reserved for permanent supportive housing that
will include an array of support services offered by UPO and their network of partner
organizations. Five units (8% of total units) will be fully accessible, meeting the full Uniform
Federal Accessibility Standards (UFAS) requirements and an additional five units will meet Type
A requirements. Four of the twenty-one PSH units (21% of PSH units) will be UFAS units. The
project design includes 1-, 2- 3-and 4-bedroom units. 100% of the units will be affordable to
households earning incomes at or below 50% of AMI. 21 of the units will be affordable to
households earning incomes at or below 30% of AMI.
Mohan Jacob acquired the property originally to develop a commercial office space. Mariam and
Mohan Jacob decided to develop the property as a two-story 12,000 ft. building custom built for a
school for Special Education children assigned to the DC school system. High Road Middle
School was developed and started at the building in 2006 and continued until 2016. This school at
this property became a model for the (Special ED) children and they were able to build it
specifically to meet the specific needs of the children attached to the school. Mr. Jacob was the
developer and general contractor for the School. Mr. Jacob has extensive construction experience
of 35 years, working as a contractor for the various federal agencies around Washington DC area.
Mariam and Jacob took a personal interest with his constructions team in developing this project
on time with excellent quality and exceeding expectations of the tenants. This building has served
for 11 years for the school system until the contractor completed the term contract successfully
with the DC school system. The building is still at the site looks almost like the date it was built
and occupied. This speaks for the quality of the original building construction and the minimal
maintenance required as the infrastructure and the finishers were built to last.
Aware of the Districts affordable housing crisis, Mr. Jacob felt this project would answer the call
to produce quality affordable housing for individuals and families at or below 50% AMI in a
rapidly gentrifying neighborhood. Mr. Jacob reached out to TM Associates to partner in this
project as a Phase II to the recently DHCD awarded affordable housing development known as
1550 First Street SW (MDX Flats). MDX Flats is scheduled to complete construction in June
2021. TM Associates Development, Inc. has over 40 years of experience in affordable housing
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development and management throughout the mid-Atlantic region and currently own and manage
over 240 properties (12,000+ units). TM has successfully partnered with UPO on four different
projects in Virginia and one in the District. UPOs non-profit participation coupled with their
experience of providing supportive housing services within the District made a perfect pairing to
complete the JV. Mr. Jacob is a partner who will be working side-by-side with the development
team for the oversight of design and construction of the proposed Work Force Affordable housing
facility.
The JV has met with the Ward 6 ANC board regarding the development of this project and has
toured the site with them as well as taken a neighborhood tour to garner feedback from the local
community to address their certain needs. The development of this project was met with full
support by the ANC. In addition, the JV met with Ward 6 Council Member Charles Allen to brief
him on the proposed development. Furthering their community outreach efforts, the JV has also
met with and has the support of the Community Benefits Coordinating Council, whose agenda is
to maintain social diversity in both Southeast and Southwest quadrants of Washington, DC.
(G) A summary of the subcontracting plan required under section 2346 of the Small, Local, and
Disadvantaged Business Enterprise Development and Assistance Act of 2005, as amended,
D.C. Official Code 2-218.01 et seq. (Act), including a certification that the
subcontracting plan meets the minimum requirements of the Act and the dollar volume of
the portion of the contract to be subcontracted, expressed both in total dollars and as a
percentage of the total contract amount:
Not applicable.
(H) Performance standards and the expected outcome of the proposed amount:
The housing subsidy shall be used solely to support housing costs associated with the affordable
housing units at MDXL Flats Apartments located at 1530 First Street, SW in support of the
Districts Local Rent Supplement Program (LRSP). The project is consistent with the Districts
goal of increasing affordable housing, especially among low-to-moderate income residents and
preserving existing affordable housing opportunities in the District. Additionally, the Owner is
required to fulfill all conditions as set forth in the ALTSC Agreement within the agreed upon time
frames. Failure to fulfill the terms of the ALTSC Agreement will constitute default.
(I) The amount and date of any expenditure of fund by the District pursuant to the contract
prior to its submission to the Council for approval:
None.
(J) A certification that the proposed contract is within the appropriated budget authority for
the agency for the fiscal year and is consistent with the financial plan and budget adopted in
accordance with D.C. Official Code 47-392.01 and 47-392.02:
CFO Certifications are attached.
(K) A certification that the contract is legally sufficient, including whether the proposed
contractor has any pending legal claims against the District:
Legal Sufficiency Memo is attached.
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(L) A certification that Citywide Clean Hands database indicates that the proposed contractor
is current with its District taxes. If the citywide clean hands Database indicates that the
proposed contractor is not current with District taxes, either: (1) a certification that the
contractor has worked out and is current with a payment schedule approved by the
District; or 92) a certification that the contractor will be current with its District taxes after
the District recovers any outstanding debt as provided under D.C. Official Code 2-
353.01(b):
Clean Hands certification is attached
(M) A certification from the proposed contractor that it is current with its federal taxes, or has
worked out and is current with a payment schedule approved by the federal government:
Federal Tax Certification is attached.
(N) The status of the proposed contractor as a certified local, small, or disadvantaged business
enterprise as defined in the Small, Local, and Disadvantaged Business Enterprise
Development and Assistance Act of 2005, as amended; D.C. Official Code 2-218.01 et seq.:
TM Jacob 1530 LLC is not certified as a local, small, or disadvantaged business enterprise.
(O) Other aspects of the proposed contract that the Chief Procurement Officer considers
significant:
Not applicable.
(P) A statement indicating whether the proposed contractor is currently debarred from
providing services or goods to the District or federal government:
Included in the legal sufficiency memo, attached.
(Q) Any determination and findings issue relating to the contracts formation, including any
determination and findings under D.C. Official Code 2-352.05 (privatization contracts):
None.
(R) Where the contract, any amendments or modifications, if executed, will be made available
online:
The contract will be made available on the DCHA website.
(S) Where the original solicitation, and any amendment or modifications, will be made
available online:
Original solicitation was published 6/28/19 and extended through 9/30/19. See link:
http://dhcd.dc.gov/service/rfps-rfas-sfos.
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Government of the District of Columbia
Office of the Chief Financial Officer 1101 4th Street, SW
Office of Tax and Revenue Washington, DC 20024
Date of Notice: June 10, 2021 Notice Number: L0005732135
TM JACOB 1530 LLC FEIN: **-***5518
1375 PICCARD DR STE 150 Case ID: 846721
ROCKVILLE MD 20850-4351
CERTIFICATE OF CLEAN HANDS
As reported in the Clean Hands system, the above referenced individual/entity has no outstanding
CO
liability with the District of Columbia Office of Tax and Revenue or the Department of Employment
Services. As of the date above, the individual/entity has complied with DC Code 47-2862, therefore
this Certificate of Clean Hands is issued.
TITLE 47. TAXATION, LICENSING, PERMITS, ASSESSMENTS, AND FEES
CHAPTER 28 GENERAL LICENSE
SUBCHAPTER II. CLEAN HANDS BEFORE RECEIVING A LICENSE OR PERMIT
D.C. CODE 47-2862 (2006)
PY
47-2862 PROHIBITION AGAINST ISSUANCE OF LICENSE OR PERMIT
Authorized By Marc Aronin
Chief, Collection Division
To validate this certificate, please visit MyTax.DC.gov. On the MyTax DC homepage, click the
Validate a Certificate of Clean Hands hyperlink under the Clean Hands section.
1101 4th Street SW, Suite W270, Washington, DC 20024/Phone: (202) 724-5045/MyTax.DC.gov
CERTIFICATIONS
I hereby certify that the proposed for the Agreement to Enter into a Long Term Subsidy Contract
(ALTSC) between District of Columbia Housing Authority (DCHA) and TM Jacob 1530
LLC to provide annual subsidy for twenty-one (21) affordable housing units, for a term of fifteen
(15) years, in the initial annual amount of One Million Twenty Four Thousand Three Hundred
Twenty Dollars and Zero Cents ($1,024,320.00) to be financed from DCHAs allocation of Local
Rent Subsidy funds, is in compliance with the applicable Federal and District of Columbia (the
District) Regulations and the DCHAs policies and procedures.
7/1/21
Brenda Donald Date
Interim Executive Director, DCHA
I have reviewed this proposed ALTSC action and have determined that upon the Districts
release of the Local Rent Subsidy funds and the satisfaction of all requirements of the LTSC,
DCHA will make available of One Million Twenty Four Thousand Three Hundred Twenty
Dollars and Zero Cents ($1,024,320.00) in initial annual subsidy. This action is within DCHAs
apportionment and budget authority, and is within the Districts Financial Plan and Budget for
FY21, and such funds are available for administration by DCHA to support the action.
7/1/21
John Sarah Date
VP and Chief Financial Officer, DCHA
MEMORANDUM
TO: Brenda Donald
Interim Executive Director
Carolyn Punter
Sr. Vice President, Housing Choice Voucher Program
FROM: Andrea Powell
Deputy General Counsel
DATE: July 1, 2021
SUBJECT: Local Rent Supplement Program Agreement to Enter into a Long Term
Subsidy Contract between the District of Columbia Housing Authority and
TM Jacob 1530 LLC
This memorandum responds to a request that the Office of the General Counsel review the
proposed Agreement to Enter into a Long Term Subsidy Contract (ALTSC) between the
District of Columbia Housing Authority (DCHA) and TM Jacob 1530 LLC (the Owner) for
legal sufficiency:
Project:
MDXL Flats Apts MDXL Flats (project) involves the new construction of 101 units of
affordable rental housing at the intersection of First and Q Streets SW Washington, DC. The
Owner/Borrowing Entity of this property will be TM Jacob 1530 LLC, a Joint Venture (JV)
between UPO Community Development Corporation (51% JV member) and TM Associates
Development, Inc. (39.2% JV Member) and 1530 1st Street SW, LLC (9.8% JV Member). The
JV acquired the project in March 2018 and is the current owner for the property. TM Associates
Development, Inc. will be the Sponsor/Developer of the project. TM Jacob 1530 LLC will utilize
a combination of Low-Income Housing Tax Credit (LIHTC) equity, bank or tax-exempt bond
debt, DHCD loans, deferred developer fee, and net operating income to finance the ~$68M
development budget.
The project will include twenty-one units (21%) reserved for permanent supportive housing
that will include an array of support services offered by UPO and their network of partner
organizations. Five units (8% of total units) will be fully accessible, meeting the fu