Thursday, May 10, 2018

Bidding Successfully On Public Works Projects Requires Knowledge Of The Rules

By Ann Burns


To survive in the plumbing, electrical, and construction businesses you need reliable clientele who will give you sizable jobs on a recurring basis. Creating positive relationships with developers and architects is one way to do it. You might also try your hand at bidding on municipal contracts. These can be wonderful sources of good business, but if you don't know the most effective ways to bid on public works, the jobs will stay out of your reach.

First of all, you must know what a responsive bid is. The city considers a bid submitted on time with all the information required, to be a responsive bid. All you really need to make your bids responsive is to pay attention and follow the directions exactly. Most municipalities have official bidding clocks. Your bid must be submitted before that clock hits the deadline time. When you are late, or go to the wrong place, your bid will be considered non-responsive.

All the additional documentation the municipality requests has to be included along with your sealed bid. This usually includes a bid guarantee. Acknowledgement of your attendance at all mandatory pre-bid meetings might be part of the package. A complete bid responsibility questionnaire may also have to be included.

In addition to submitting a responsive bid, you must demonstrate you are a responsible bidder. You must be a registered contractor with a tax or business license number. You must have industrial insurance and workers compensation. You have to be free of labor law violations. There must be no municipality regulations that disqualify you.

Cities use several sources to confirm information. Many states have websites that include public information about contractors for example. Municipalities can get access to contractors' tax numbers, and check to see if they have active insurance policies. A list of disbarred contractors is available as well. Municipalities can find out if the Department of Revenue has you registered.

Some agencies will apply supplemental criteria to the bid award process. They can void applicants with outstanding state tax delinquencies, federal debarment, and wage violations. If you have previously violated public bidding regulations or been terminated for cause, your bid could be thrown out. Some agencies also require that you've got previous experience with a similar project.

Once the bids are open, the staff goes through them and selects the lowest responsive bid. As the contractor you will be notified of your selection usually within thirty to forty-five days after bid closing. Once you have been notified you will have ten to twenty business days to submit your signed contract along with your performance and payment bonds, and certificate of insurance.

Government contracts are one way to ensure you have steady business. Not all contractors are interested in taking the time to go through what can be a laborious process. If you decide it's worth it, you should take your time to make sure you submit a complete bid. Those who don't are put in the non-responsive category and eliminated.




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