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BIDDING and PROCUREMENT

I. INTRODUCTION

II. QUALIFICATION OF BIDDERS

III. WORK PACKAGES

IV. CONSTRUCTION DOCUMENTS

V. BIDDING INFORMATION

Invitation to Bidders

Instruction to Bidders

Bid Forms

Alternates

Addenda

VI. CONTRACTUAL INFORMATION

Agreement

General Conditions

Special Conditions

VI. BONDS

VII. INSURANCE

VIII. TECHNICAL INFORMATION

Drawings

Specifications

IX. ANALYSIS OF BIDS

X. AWARD OF CONTRACT
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BIDDING and PROCUREMENT

I. INTRODUCTION
Deciding to bid on a project is not a trivial matter for Construction
Company since significant time and costs are incurred in preparing a bid. A
motivation to bid varies depending on number of factors.
In a strong economic market, contractors are more able to choose which
projects to bid on, while in a slower economic market, the contractor may have to
bid on less desirable work.
The company’s main motivation is to receive a good return on its
investment. For a firm to grow and prosper, it must have profit to invest in itself. If
a project has the ingredients necessary to return a good profit the motivation to
bid is high. The ingredients are different for different firms however depending on
the expertise in the company one firm can turn a good on a project while another
can only get by.
The factors that make one company succeed over another include:
 their relationships with key subcontractors
 their knowledge of and experience with the specific type of
project
 their ability to buy out the job
 their estimating capability
 their project team setup
 their safety record
 how efficiently they conduct on their business
 overhead costs
 Aside from the profit motive, companies may bid on projects for other
reasons:
If it wants to establish a relationship with a new client or maintain one with
an established client, a company may bid on less profitable project, and a project
that is unusual and can add variety to the company’s portfolio will spark interest
even if the project margins look low.
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If the project has a high publicity quotient or benefits the community the
company may view it as a marketing strategy. In these cases, long term goals
concerning client relationships or community recognition outweigh the short-term
goal of profits.
Once a company decides to bid on a project no matter what its motivation,
it enters into a process common to all construction companies. Estimators solicit
prices from a number of subcontractors. The subcontractors do material takeoffs
from drawings and specifications that result in the quantities required on the job .
These quantities are then multiplied by the unit cost, and the unit cost is
established by talking with the vendors and suppliers.
For example: determining the board-foot price of lumber or a cost for a fan
coil unit. This total cost is the cost for material. A similar exercise is done for
labor and equipment.
The total of the costs of material plus equipment is the direct cost of the
work. The estimator then must add administrative costs for running the job at the
job site. These are the field indirect costs of the work. Overhead is what it
costs of the company to run its business and a portion is factored into each
project.
Finally, the company determines how much profit is reasonable for the job.
This is done by : analyzing the market, the motivations for doing the work, and
how busy the company is at the time of the bid.
Final price then combines actual estimates for the cost of the work
coupled with an analysis of the competition .
Direct Cost + Indirect Cost = Cost of the work
Cost of the work + % for overhead and profit = Total cost of the owner

II. QUALIFICATION OF BIDDERS

Before company is awarded a job, even if it is the low bidder, it will likely be put
through a qualification process. There are two methods of qualifying bidders: pre-
bid and post-bid qualifications.
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 Pre-bid qualification – requires the interested contractor to submit

information about the firm before the bid documents are released. This is
usually done while contract documents are being finalized so that time is not
spent during the bid period with the pre-bid prequalification. It should be done
close enough to bid dates so that the information is applicable especially
information regarding current projects.
 Post-bid qualification – are submitted with the bid and reviewed by the
owner during the bid opening and analysis. In either case, qualification is
determined by evidence of capability from previous jobs, financial strength
and stability, previous commitments, personal availability and safety record.
The advantage of pre-qualifying bidders is that, when the bids are received,
the lowest bidder can usually be selected. This saves time and potential
disputes with bidders disqualified after the bid on the basis on financial or
technical ability.
 Pre-qualifying bidders - No bidding and/or award of contract for a
construction project shall be made unless the detailed engineering
investigations, surveys and designs for the project have been sufficiently
carried out in accordance with the standard and specifications prescribed by
the head office/agency/corporation concerned.
Schedule of detailed engineering activities shall include the following:
 Survey
 Site Investigations
 Foundation Investigations
 Soils and Material Investigation
 Preparations of Specifications
 Preparation of Design
 Preparation of Program of Work
 Preparation of Proposed Construction schedule over six (6) months.
 Preparation of Site or Right-of-way plans including schedule of Acquisition
 Preparation of utility Relocation plan.
 Preparation of submission of Design Report.
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 Environment Impact statements for major project.

 Preparations of BID/TENDER Documents.

II. WORK PACKAGES

 One of the advantages of construction management delivery method is that it
is possible to package the work to the best advantage of the project in terms
of both price and efficiency. It also allows for fast- tracking the work so that
parts of the project the foundation for instance can be bid and started before
the entire design package is assembled. This, can save time on the project.
There are a number of drawbacks to fast-tracking a project, the biggest of
which is the potential for changes as other related parts of the design are
fully developed. But if the schedule is paramount, fast tracking can be of
great benefit.
 Even when the project is fully designed before it is bid, there are a number of
advantages to breaking the project into various work packages:
1. it allows for the incorporation of local practices. For instance, if the local
market has small, reputable mill houses but not one large entity, the
construction manager can break the work down so that the local firms can
share the work. This saves the price of having to get material and labor
from a distance. Conversely, if large subcontractors are available for the
job, the construction manager might package pieces together to make the
job more attractive and get better prices.
2. packaging the work reduces overhead: the more packages the fewer
mark ups. Subcontractors usually mark up their work 20%. A general
contractor typically mark up the subcontractors’ work 10%.
 In the construction management mode of project delivery, the subcontractor
may be contracted directly to either the owner or the construction manager.
In either case, the owner takes part in selecting the subcontractors chosen to
bid and in awarding the contract. However, even with all the potential savings
in cost and time and the possibility of better owner control over the
subcontractor.
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 Disadvantages in splitting the work into separate packages

 Omission responsibility. A general contractor who is pricing work
usually includes work common to multiple trades in his or her own
number. If this work is not parceled out to the subcontractors, there may
be a change order or a dispute over who will perform the work.
Examples include drilling cores needed to run conduit, patching after the
conduit is run, furnishing scaffolding needed by multiple trades, and
cleaning up at the end of the day.
 Redundancy of work. Two or more trades could end up with part of the
same scope. For instance, if the mechanical contractor has the control
wiring in his or her scope and the electrical contractor, and add time as
the problem gets sorted out.
 Poor Coordination. Coordination necessary between the different
trades must be incorporated into the project. Otherwise, there is a risk of
disputes and time spent sorting out who is doing what when. A
construction manager can provide such coordination and the leadership
necessary to produce the work.
 Improper Packaging. Much of the success of packing relies on the
skills of construction manager. If the work is put together incorrectly,
there may be little interest in bidding, or the bids will come in high.

III. CONSTRUCTION DOCUMENTS - it translate the owner’s needs so that

the contractor can execute them correctly. They are the communication link
among all parties in the project. The standardization of construction documents
has evolved over time. Current practice is to bind all the narrative pieces into
one document that accompanies the drawings to form the complete package.
The package is divided into three general sections, the Bidding, the
Contractual, and the Technical ( each of which is made up of many
subsections.)
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The bid requirements, the agreement, technical specifications, drawings,

addenda and contract modifications all form part of the construction documents.

V. BIDDING INFORMATION - The bid documents are sent out with the
drawings and specifications and are often bound in the specification book. They
do not, however, form a part of the contract. Therefore, if legal provisions are
stated here, they need to be repeated in the contract documents. This section of
the documents contains the invitation to bid, the instruction to bidder, and the bid
from itself.
 Invitation to Bidders - it is a request for pricing. The owner usually
prepares it with the assistance of the designer or construction manager.
Although not officially part of the specifications, it includes information that is
relevant to the project:
 The type of project – different types of project attract different
contractors. For example: a road project may be attracted to a highway
contractor but probably not to a contractor who specializes in industrial
plants.
 The size of the project – small contractors can only handle a
certain workload and large contractors might find it unprofitable to bid on
a project under a specific size.
 The location of the project – many contractors are local or regional
in their ability to staff a job. If the staff has to travel any distance, there
will be additional costs.
 Bid due date – this helps the contractor staff the bid correctly so that
all prices can be gathered in the allotted time
 Start and completion of dates – contractors use these to gauge
whether or not the applicable staff is available for the duration. This
could affect their price if they have to get labor from a distance.
 Bonds – if these required, the owner needs to let the contractor know.
Some will elect not to bid with requirement.
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 Document location – bid documents can usually be picked up at the

architect’s or construction manager’s office, but there may be centrally
located plan room as well.
 Legal requirements – several items might be addressed here. The
owner may want to describe the circumstances under which the bid
would be disqualified or explain under what circumstances the
contractor could withdraw the bid.

 Instruction to Bidders - The instructions to bidders are usually bound in

the specifications. Although they may repeat some of the information in the
invitation to bid or on the bid form, the instructions are concerned with the
following:
 Bid due date
 Instructions about filling out the form
 Places to indicate fees for additional work
 Unit prices
 Location to deliver the bid
 Method of awarding contracts
 Expected dates of award and start of project
Contractor for government project:
1. He should be a Filipino Citizens (single proprietorship) or Partnership or
corporation duly organized under the laws of the Philippines, and at least
seventy five percent (75%) of the capital stock of which belongs to Filipino
citizens.
2. Contractors forming themselves into a joint venture i.e., a group of two or
more contractors that include to be jointly and severally responsible for a
particular contract, shall for purpose of bidding tendering comply with LOI
630, and, aside from being currently and properly accredited by the
*PCAB; the Philippine contractors Accreditation Board, shall comply with
the provisions of R.A. 4566, provided that joint ventures in which Filipino
Ownership is less than seventy five percent (75%) may be prequalified
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where the structures to be built require the application of techniques

and/or technologies. Which are not adequately possessed by a Filipino
entity as defined above.
Category “AAA” - multimillion budget and for foreign contracts
Category “A”- large size projects
Category “B”- medium size projects
Category “C”- small-medium size projects
Category “D”- small size projects
3. Specialty contractors - painting, waterproofing, landscaping and other.

 Bid Forms - The bid form is the document upon which the bidder submits
the prices. The form is usually prepared by the designer, with blanks left to
be filled out by the bidder. This makes the bids more easily comparable.
Items include some or all of the following:
 Name of contractor
 Price breakdown for the major trades, which can guide progress
payments and assist the review of the bid’s accuracy
 Amount of the bond
 Alternates: that is, the prices of other materials or altered scope of work
 Fees for additional work so the owner can set parameters for any fees
allowed within changes orders
 Unit prices if quantities are unclear and cannot be figured accurately until
construction: for example, the excavation of rock. Which can be priced by
the cubic yard: or asbestos removal. Which may require a prices for items
encountered once walls are opened up, such as elbow wraps, duct
penetrations, and gaskets
 Time required for the job so the contractor can decide the most efficient
way to do the work and set his or her bid accordingly
 Space for the contractor to acknowledge receipt of all addenda issued
after the bids have gone out
 Key subcontractor
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 Legal status: for example, if the company bidding is a corporation, a

partnerships, or an individual
 Signature, title, and date

 Alternates - In certain situations an owner wants to explore the cost for

supplying an alternate material or method of construction. An alternate is a
request for a price for substituting one material for another, for adding to the
scope of work, or for deducting from the scope. Some bid documents contain
many alternates to price by the contractor.
Two ways to present alternates:
1.The additive alternate is usually the best method for the owner since it is
priced as a new item. Owner usually prefers the additive alternate
because brings in the best price.
2.The deduct alternate may leave some of the cost in the price. Designers
like the deduct better because they can produce a complete set of
documents that can then be deducted from more easily.

 Addenda - After the documents are issued but before the bids are due,
changes often need to be made. The most common reason is the need to
correct simple mistakes in the bidding documents. Contractors dig deeply
into the documents and can spot things missed by the drafter or specification
writer.
 Often the contractor may propose a better method or product to fit the
character of the project. Also, the owner is often making a final review of
the document during the bid period. This may generate additional
requests that need to be included in the bid documents. Sometimes
addenda simply complete documents that had to get on the street
before totally complete. There may also be additional general
instructions or a change in the bid date.
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 Addenda are competitively priced by the contractors who are bidding

the job and are acknowledged on the bid form in the space provided. If
an addendum comes late in the bidding period, the bid time might be
extended. Between the time if the bid opening and the signing of an
agreement there should be no changes to the scope of work. This clear
the way for straightforward negotiations between the owner and the
contractor concerning terms of the agreement. If changes are needed,
they will be treated as changed to the contract after the initial
negotiations are completed.

VI. CONTRACTUAL INFORMATION - Many contracts are issued during

the course of a project. One of the first is to the architect and the construction
manager for preconstruction design and technical services. The contract issued
with the construction documents goes to the firm (whether is a construction
manager or a general contractor) that will perform the work. This contract
includes an agreement, general conditions, special conditions sample of the
bond (if required), insurance requirements and a sample insurance form. The
construction manager and the general contractor, in turn issue subcontractor
contracts for the work to be done by the specialty trades after the project is
awarded. These often tie the subcontractors to the conditions of the contract as
laid out in the bid documents.
 Agreement - There are several forms of contracts, as discussed in the
chapter, but general provisions are common to most agreements:
1. Identification of the parties - Owner and contractor are fully described
here. By signing the contractor, both parties accept its obligations. The
owner ma be a tenant but is still liable for payment to the contractor. The
contractor may be a specialty trade but is obligated to perform the
services as outlined in the contract.
2. Description of the project and the work - The contract with the prime
contractor may include just the construction work on the project or may be
inclusive, such as covering services typically assigned to the owner. To
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establish a baseline in the scope of work, the description must be clear.

One method is to refer to the drawing and specifications with all addenda
as the basis of the scope. However, if the extent of the work is more far-
reaching, then a detailed and clear narrative description should be
included. If changes are requested in the future, this description will form
the basis of negotiations.
3. Date of start - The date that the contractor is expected to start is
important. He or she usually can hold the quoted price for a certain period
(for example, thirty days): but if the commencement date is further away
than indicated in the bid, the price must be reevaluated. There are a
number of reasons why the date can vary. The owner may need to obtain
permits or community approval to develop the site, or there may be delays
caused by the discovery of hazardous materials. Conversely, the owner
may want to start immediately before the terms of the contract are settled.
In this case, a letter of intent will be issued to bridge the time. Work will
continue after this date (punch-list items, for instance) but the owner
expects to be able to use the facility in it’s entirely by this time.
4. Liquidated damages - An owner may elect to include this clause if late
completion of the work will cause hardships. The clause denotes a specific
sum not related to the scope of work to be completed that covers
damages included by the owner as a result of the contractor’s failure to
complete the work in the time specified.
5. The contract sum - This is the amount of money that the owner has
agreed to pay the contractor for the scope of work as outlined in the
construction documents. It includes the base bid with any accepted
alternates.
6. Progress payments - Unless the scope of work is minor and short, the
contractor usually receives interim payments (most often monthly) during
the progress of the work. Typically the designer reviews the work
accomplished during that month and approves or adjusts the sum
submitted by the contractor.
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7. Interest rates - If the contractor is not paid within a specified time (usually
thirty or forty-five days), agreed-upon interest rates will be charged to the
owner.
8. Retainage - A percentage of the work in place is retained by the owner as
protection against work that is not done correctly or sufficiently. It ensures
that the contractor will finished the project particularly as the project nears
completion. Typical retainage is completed or can be eliminated entirely at
this point. Retained monies released at the time of substantial completion.
9. Final payment - This is a significant event for the owner and the
contractor. The owner is essentially waiving all claims against the
contractor and proclaiming satisfaction with the job. The contactor, by
accepting final payment, is waiving all claims against the owner except
those enumerated in writing as outstanding.
10. Enumeration of contract drawing - The list constitutes the entire
agreement between owner and contractor. It includes the agreement
conditions of the contract, drawings specifications, and any addenda and
accepted alternates.
 General Conditions - The purpose is to establish the legal
responsibilities, obligations, authority, rights of all parties involves in the
project. As their name implies, these conditions are general in nature and
apply any construction project. Although the owner can devise his or her own
general conditions, most prefer to use a standard version- often called the
boilerplate. This version is understood by all parties, includes tested
language that has stood up over time, and has been revised as needed.
 Special Conditions - These are sometimes called supplementary
conditions or special provisions of the contract. They are intended to
supplement the general conditions requirements such as provisions for
prevailing wages and additional insurance requirements. Sometimes owner
requirements on the job such as parking use of toilet facilities and working in
occupied spaces appear in supplementary conditions. However, because
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these are not contractual in nature they are properly part of general
conditions.

VI. BONDS - If the contractor fails to perform in accordance with the contract,
a bond will protect the owner. Sometimes an owner requires a bond from the
contractor. The owner will pay for this bond but wants to know before entering
into an agreement the amount of money required. If a contractor has an
agreement with the owner to perform a certain scope of work for a specific price
and doesn’t complete or find someone to complete the work. However, the
bonding company is responsible only up to the amount of the contract.
There are types of bonds commonly required in construction:
1. Bid bonds - These are furnished with the bids and basically guarantee that
the contractor will enter into a contract with the owner for the price of the bid.
If the contractor withdraw, he or she agree to pay a percentage of the bid
cost as stipulated in the bid documents-usually 5 to 10 percent of the bid
itself. The purpose of the bid bond is to ensure that a bidder doesn’t withdraw
his or her bid after becoming the successful candidate. If the bidder does
withdraw, the owner will be compensated for the time it costs to get another
bidder. Bid bonds are returned to all bidders upon acceptance of the lowest
bid and to the lowest bidder after the contract is signed.
2. Performance bonds - These guarantee that a contract will perform the
contract in accordance with the terms of the agreement. If the contractor
goes bankrupt or otherwise cannot complete the work, the bonding company
becomes liable for it. However, liability is only for the cost of the contract and
does not cover all delays and indirect costs that usually result when a
contractor pulls out in the middle of a job.
3. Payment bond - Also called labor and material bonds, these assure the
contractor will pay all bills, thus leaving the owner unharmed by claims and
liens. When a contractor goes bankrupt, he or she usually leaves unpaid
bills. The owner does not want to be left responsible, particularly for bills for
material, labor, and equipment that the defaulting contractor has already
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invoiced and been paid for. The payment bond is usually purchased at the
same time as the performance bond from the same company and will cover
the cost of unpaid bills in a default situation.

VII. INSURANCE - There are many forms of insurance that a contractor can
purchase to protect against risks during a construction project.
Three are obligated by contract and law for the life of the project:
 Worker’s compensation is state law that compensates employees who are
injured on the job. This insurance covers disability and medical treatments for
injuries resulting from accidents that occur during employment. Usually
workers are eligible after a specific number of lost workdays and are
compensated at percentages of their salaries. If an injury is permanent, they
may be paid a fixed sum. Premiums for this coverage are based on payroll.
 Comprehensive liability protects the contractor against third-party claims. It
covers injury to non-workers at the site, damages caused by construction
vehicles, damage occurring after completion but as a direct result of the
contractor’s work, damage caused by subcontractors, and sometimes injury
to workers beyond and distinct from worker’s compensation claims.
 builder’s risk protects against property damage during construction. It
covers losses resulting from fire, smoke, water, explosions, vandalism, and
theft. The general contractor can obtain this insurance, but the owner may
elect to carry it. If so, the contractor should examine the policy to make sure
he or she is covered sufficiently. For instance, the contractor should
determine the amount of deductible provided for within the policy (generally a
large value) and understand who pays the deductible’s value in the event of a
loss.
 Umbrella liability is a fourth type of insurance often carried by the contractor
is. This works as excess coverage for the other three in case of catastrophic
incidents and also boosts the coverage on all.
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VIII. TECHNICAL INFORMATION - since different parties are assembling

the plans and specifications, inconsistencies are possible. The contract usually
spells out how they should be handled. Normally, the specifications will govern.
However, the contact may call for the designer to resolve the conflict. When an
item shows up in one place but not the other the contractor is usually asked to
assume that it exists. If the contractor identifies such an item, he or she should
ask for clarification from the designer or call it out as a qualification from the
designer or call it out as a qualification in the bid from itself.
The technical information is presented in two formats, drawings (graphic),
and specifications (narrative), they do not exist independently but as a unit.
Information is usually only shown in one of the two places; however, both deal
with the same components.
 Drawings - Many professionals are involved in developing the drawings.
For building projects, the architect coordinates and guides the efforts of all
the other professionals. For highway projects or more complicated industrial
efforts, the engineer plays that role. No matter who leads the effort, there are
general guidelines that everyone follows so that coordination is simpler and
translation in the field more predictable.
 Specifications - The technical specifications are written descriptions of
the quality of the project. They detail the materials, equipment, and
workmanship to be incorporated into the project. The specifications may be
written by an in-house group or by a consultant whose primary business is
specification writing. Engineers usually write the engineering sections; but no
matter how the specifications are written the designer provides direction and
overall coordination.

Types of Specifications
1. Design specification. - These are also known as descriptive
specifications. They are detailed descriptions of materials, workmanship,
and installation and erection procedures. The contractor’s obligation is to
follow the instructions as laid out in the specifications. The owner takes
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responsibility for the results. This puts a huge burden on the designer to
understand and specify how the building is put together and can lead to a
good product as long as the system being described is a proven assembly.
2. Performance specifications. - These lay out the expected result of the
work leave the methods to the contractor performance maybe expressed in
a number of ways, depending on the item for example in terms of
operational capacity, functional qualities, appearance, finished, color,
texture, structural tolerance, mechanical parameters, and so on.
Performance specification gives an incentive to the contractor to devise
innovative approaches to work. If these are identified before the bid, he or
she is in a better position to win the project. If they are identified after the
bid, it could mean an increased profit margin. Either way, as long as the
owner gets the desired result, and the project is successful.
3. Proprietary specifications. - These state exactly the product of methods to
be used. Sometimes they may allow for some specific alternate or have an"
equal” clause. The propose is to ensure that the owner gets a preferred
products or method, in large facilities it is often important to maintained a
specific valve or type of ceiling tile so that maintenance is easier.
4. Open specifications. - These are nonrestrictive and allow many different
choices with in set criteria. A number of different manufacturer may be listed,
giving contractor great lee-way in getting the best price.

IX. ANALYSIS OF BIDS - Once all the bids have been received, the
construction manager tabulates them in a spreadsheet. A bid which does not
comply with the conditions or requirements of the bid documents shall be
rejected by the Committee of Awards. At the time of the opening of bids there
shall be at least two (2) competing bidders. In case there is only one bidder, the
bid shall be returned unopened and the projects shall be advertised anew for
bidding. Should after rebidding, there shall be still only one bidder, the project
maybe undertaken by administration or thru negotiated contract.
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If the bidders provide pricing that is outside the plans and specifications, the
project team needs to decide how to handle this. Generally, the following
guidelines are used:
 If the bidder, who is low, even without alternate, suggests an equal to or
better alternate that makes him or her even lower, the owner has the option
of accepting this bid.
 If the bidder who is not low provides unequal but acceptable alternate that
then makes him or her low, the owner has the option of giving the other
bidders in contention the opportunity to bid his alternate as well.
 If the bidder who is not low and wont ever be low suggests an acceptable
alternate, the owner has the option of having the low bidder price this
alternate.
 If the bidder who is not low provides unequal but acceptable alternate that
then makes him or her low, the owner has the option of giving the other
bidders in contention the opportunity to bid his alternate as well.
 If the bidder who is not low and wont ever be low suggests an acceptable
alternate, the owner has the option of having the low bidder price this
alternate.

X. AWARD OF CONTRACT
 Award of the contractor can be as simple as accepting the lowest bidder, and
in the end it often is this simple. However, many factors come into play when
bids are received.
 The apparent low bidder can turn out not to be the lowest after the de-
scoping session takes place. The low bidder may be too far from the other
bidders, raising the suspicion that he or she has missed something
 By law the bidder is required to honor the price, no matter what; but nobody
wants a contractor on the job who is not going to do well.
 Bids often come in with information missing: for example, receipt and
acknowledgement of addenda, signatures, exclusions that mean they
haven’t; addressed all conditions.
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 In all cases, the owner has the right to reject or accept the bids. Minor
clerical, errors are usually okayed for correction: but in general, if a bidder
has not met the requirement of the bid, the bid will be rejected
 Once the bid is accepted, contract negotiations begin. Since the contractor
has already had opportunity to review the contract, this is normally a
straightforward process.
 However, even the simplest negotiations can take time. If the owner wants to
save time, he or she might opt to send the contractor a letter of intent.
 This usually states a specific time periods, method of payment and conditions
of termination if the negotiations fall through.
 The contractor can start mobilizing for the job but should not commit anything
outside the scope of the letter of intent. Once the owner and the contractor
sign the contract the construction phase begins.

NOTE:
A “NOTICE OF PROCEED” is given to the winning contractor after the
“NOTICE OF AWARD” when the agency is ready to start the project.