The following details a plan that was recently presented to me, describing how some in the industry are dealing with the current guideline winterization cost allowables.

If the winterization cannot be performed within the HUD allowable, the contractor must bid the winterization, unless the temperature at the property location is or will be below 40 degrees. If the temperature will drop to below 40 degrees, the property will be winterized and a bid will be submitted after the winterization has been completed.

Please note that, according to the guidelines, work performed prior to bid approval is not claimable or reimbursable.

Please let me know if you would have us follow this procedure with properties in your portfolio.

We will not change our current procedure, whereby we submit bids for any overallowable winterizations, until we are instructed by you to implement the change.