Selecting a Qualified Contractor

Under the traditional method of selecting a contractor for a public works construction project, a public agency is required to select the responsible bidder submitting the lowest bid. There are five broad tools available to help ensure that the contractor and their subcontractors are qualified and able to successfully perform the work:

1. Pre-Qualification. Pre-qualification is a decision by an owner to determine, prior to submission of bids, what contractors are qualified and allowed to submit a bid for the project. In Washington State, for public works projects, the Legislature has only authorized the State Department of Transporation to pre-qualify contractors (RCW 47.28.070). Most commentators will suggest that other public agencies in the State do not have authority to pre-qualify contractors on public works projects.
   
   
2. Mandatory Bidder Responsibility Criteria. Prior to the award of any public works project in the State of Washington, the public agency must verify that the contractor under consideration for award meets all six of the mandatory bidder responsibility criteria described in RCW 39.04.350.
   
   
3. Supplemental Bidder Responsibility Criteria. Relevant bidder responsibility criteria may be established and included in bidding documents. While pre-qualification occurs prior to bidding, evaluation of whether bidders meet bidder responsibility criteria occurs after bid submittal and prior to award. In Washington State, RCW 39.04.350 permits public agencies to establish supplemental bidder responsibility criteria.
   
   
4. Subcontractor Responsibility. RCW 39.06.020 establishes subcontractor responsibility criteria that every subcontractor on a public works project must meet. It is the responsibility of the contractor to verify that the subcontractor is in compliance with these criteria prior to award of a contract. Likewise, if a subcontractor hires a lower-tier subcontractor, that subcontractor is responsible for verifying that the lower tier subcontractor meets the responsibility criteria.
   
   
5. Qualification Requirements. Qualification requirements are included in bidding documents and describe the experience and certification requirements for various subcontractors and workers. Evaluation of whether the contractor is in compliance with these requirements occurs after award and prior to the contractor beginning the work for which there are qualification requirements.

And, of course, contractor performance evaluation programs may be part of helping determine whether a contractor is responsible. In addition, bonding companies, through their screening of contractors also helps in the process of determining whether a contractor is capable of performing the work.

If you would like additional information or training about these tools, please contact me. I have prepared a training seminar on the subject of bidder responsibility.