Wednesday, May 9, 2018

To Successfully Bid On Public Works Projects You Have To Understand The Rules

By Ann Burns


If you want to succeed in the construction, electrical, plumbing, or road repair business, finding reliable repeat customers, with substantial orders, is the best way to do it. You might become a preferred contractor for architects and developers. You may have considered bidding on public works projects, but do not know how to go about it. Municipalities can be great sources of business, but you have to know what agencies are looking for and how the decision makers think.

Municipalities are looking for responsive bids. Your bid won't be considered responsive unless it is submitted within the allotted time and includes all the information asked for. This is mostly a matter of taking your time and following directions to the tee. Your deadline is determined by the bidding clocks that hang on the walls of agency offices. No other clocks matter. If you don't get your bid in on time or leave it at the wrong office, you're non-responsive.

In addition to a complete bid form, you need to include all the documentation the agency requests. This can include a bid guarantee and an acknowledgement that you were at all the required pre-bid meetings. This information is easily checked. You may have to include a bid responsibility questionnaire.

Another prerequisite for getting a contract is to show you are an responsible bidder. You must have a tax number making you a registered contractor. You have to show you have up to date industrial insurance and workers comp. Violating labor laws and being disqualified under the rules and regulations of the city will preclude you from winning the bid.

Your bid information will be verified using several sources. Most states provide public information through their websites. There are listings on all the registered contractors in the state, their tax numbers, and whether or not their insurance is current. There is a list of disbarred contractors as well. Cities check to see if you are registered with the Department of Revenue.

Agencies can add supplemental criteria to the award process. They have the authority to eliminate contractors who haven't paid their state taxes or have wage violations. Federal debarment can be a factor in elimination. Many cities will throw out bids from contractors who have violated bidding rules in the past or have been terminated for cause. Depending on the project, the municipality may make past experience a requirement.

Staff will open bids on the advertised day and select the lowest responsive bidder. They will notify the winning contractor within forty-five days. If you are awarded the contract, you have no more than twenty business days to submit a signed contract, certificate of insurance, and performance and payment bonds.

Government contracts can be very profitable sources of business. To get the contracts, you have to know what you're doing. Mistakes nearly always end up in the non-responsive category. Experienced contractors who follow directions to the letter are the ones who get the jobs.




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