Construction ManagementConstruction Management basics. Learn what every Construction Manager must know, from laws, regulations, management techniques, and much more. This section is divided per category including schedules, economics, contracts, laws, regulations, and single details that will make you a better Construction Manager.ContractsConstruction contracts discuss from A to Z. Everything that a construction contract covers is right here explained and discussed. Contract Basics Contract Documents Contract Types Design Build Contracts Lump Sum Contracts Sub-Contracts or Direct Hire Construction InsuranceEvery construction project and builder must have plenty of construction insurances to provide the owner with a tool on which he can rely upon. Construction Insurance Builder's Risk Performance Bond Hold Harmless Agreements Liability Insurance Professional Liabilty Insurnace Flood Insurance Estimates and BidsA good estimate might open contract opportunities for you and your company. Helpful bid tips, estimating softwares, bidding tips and solution to common mistakes are covered under this section. Construction Bids Avoid These Common Mistakes Bid Bond Bids on Government Projects Estimating Software Bid a Commercial Project How to Protest a Bid Construction InsuranceEvery construction project and builder must have plenty of construction insurances to provide the owner with a tool on which he can rely upon. Construction Insurance Builder's Risk Performance Bond Hold Harmless Agreements Liability Insurance Professional Liabilty Insurnace Flood Insurance List of Construction InsuranceConstruction insurances are required on every single construction project. Construction insurances can provide coverage for material, risks, natural disasters, employees and even your own business. However, the insurance industry along with the construction industray are always looking to comprehend and provide the latest coverage on every single and unique situation. Here you will find the most common insurances used in the construction industry1.Liability Insurance CoverageLiability Insurance Liability insurance will protect contractors, home builders and remodelers against injuries, accidents or property damage suffer on the job. While working on construction projects, workers can accidentally damage a property mishandling materials and tools, or while remodeling process is under way.

Common business standards require you to provide evidence of construction liability insurance before repairing or remodeling homes. Sub contractors also are required to present their evidence before entering or starting their participation in a construction job.Residential Building

This insurance is essential on the home building business, because sometimes homeowners may want to sue contractors for damages occur during the construction process. Or in the event of injury, workers may want to file litigation against the homeowner or contractor. Having good construction liability insurance protects builders from lawsuits or when they suffer loss from unexpected conditions.

Your contract must required every sub to have expedited their own liability insurance and having you exempt of responsibility from any damage that they might produce during the construction progress. The amount of the liability insurance is directly related to the amount of money that the contractor is executing, and it is recommended to have an insurance coverage of two or three times the amount of construction project budgets.Commercial Contractors Usually commercial contractors are expected to have multi-million insurance coverages, allowing covering any related injury or damage due to the construction. Normally, commercial contractors with higher risk of damages, for example, roofing contractor, or contractors who perform on high specialized trades are the ones with the biggest insurance coverage. Indemnity corporations charge policy holders a modest down payment and monthly fees to finance premiums over six months to a year. Limits on Liability Insurance

Construction liability insurance has also its limitation. You must set limits per each occurrence and limits for aggregated values. Limitations are also set for fire damage to property under construction as well as medical expenses for injured workers on the jobsite that might not be covered under workers compensation. Covered damages also include liability for personal and advertising injury; that is litigation produced from claims that the contractor's promotional advertising in someway caused the homeowner or other interested party to incur a financial or personal loss. No matter how large or small the job, in the building trades, having adequate insurance against liability is always the best policy.2.What is Builders Risk Insurance?

Top of FormBottom of FormShare this About.com About Money Construction . . . Construction Management Insurances What is Builders Risk Insurance?Information of coverage and exclusion of the Builder's Risk Insurance.

By Juan Rodriguez Construction Expert Share thisConstruction Categories Construction Management Information About Diffferent Construction Materials- Information Related to New Construction Projects Latest Technology Trends for Builders Construction Inspection Tips and Regulations Government Requirements for Contractors and Builders Tips, How-To's and Hints on Remodeling History and Planning Behind Great Construction Projects Tools and Resources for Construction Professionals Tips for Builder and Contractors Construction Design Glossary Blog Construction Management Home Builders Information Construction Industry: Tips and Hints Updated Articles and Resources Free Email NewsletterTop of FormLet About.com send youthe latest from ourConstruction Expert.Bottom of FormWhat is Builders Risk Insurance?Builders Risk Insurance, people also refer to it as Course of Construction, is some kind of property insurance. It's a form of insurance, which covers a building where the building is presently being constructed. It can cover just the structure, or also the materials on site waiting to be installed or transported to the job site.The builder's risk insurance policy will pay for damages up to the coverage limit. The limit must accurately reflect the total completed value of the structure (all materials and labor costs, but not including land value). The construction budget is the best source for determining the appropriate limit of insurance.Builders Risk insurance policies can often be written in terms of three-months, six-months, or 12-months. If the project is not completed by the end of the initial policy term, it can often be extended, but usually only one time.What Does a Builder's Risk Covers?

The builders risk policy will provide coverage for damage done to the insured structure from a wide variety of events. Damage from the following events will be covered by most policies: Fire Wind (may be limited in coastal areas) Theft Lightning Hail Explosion Vandalism Vehicles/AircraftYou should read your course of builder's risk insurance policy to be familiar with its limitations and exclusions. Limited coverage is provided for collapse. Standard exclusions include: Earthquake Employee theft Water damage Weather damage to property in the open War Government action Contract penalty Voluntary parting Mechanical breakdownAn important exclusion which should be read in its entirety excludes coverage for damage resulting from faulty: design, planning, workmanship and materials. Earthquake and flood coverage may be purchased in some areas. Extensions of coverage may be provided for certain situations. The coverage for these may be limited. Common builder's risk insurancecoverage extensions include: Property in transitA coverage extension to protect your property from loss while being transported to the jobsite. ScaffoldingCoverage is extended to apply to scaffolding, construction forms and temporary structures, but only while they are at a location you have reported. Property in temporary storage Property that will be used or installed in the secured location and pertaining to the insured company. Fire department service chargeWhen the fire department is called to save or protect covered property from a covered cause of loss. Debris removalThe builder's risk insurance policy will pay your expenses to remove debris of covered property. This debris must result from a loss that is covered under this form. Sewer and Drain BackupWater damage from the back-up of sewers and drains is usually covered. Valuable papers (site plans, blueprints, etc)Important Notes

Some additional information that you should know: The insurance will not cover the property of others. Sub-contractors are required to have their own insurance. There is no coverage for tools or equipment. No coverage for liability. It does not cover accidents in the job site. Usually coverage ends when the building is completed, or occupied. The premium for the annual policy is fully earned.3.Performance Bonds

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Lawrence Sawyer/E+/Getty Images Performance Bonds guarantee for the satisfactory completion of a project. This will require having a collateral property or investment to back up the requirements of the surety agency. A performance bond is usually issued by a bank or an insurance company, both of which act as a surety.Performance Bonds: How They Work?The Government requires performance bonds and payment bonds for projects to protect the tax payers investment. The private sector also requires the issuance of performance bonds. Common performance and payments bonds for government projects consist of building bridges and roads. If the contractor does not completion the project specified in the contract the surety bonding company will either pay for the completion of the project or hire a contracting firm to complete the project.Top of FormBottom of FormShare this About.com About Money Construction . . . Construction Management Insurances Performance BondsPerformance Bonds Basics

By Juan Rodriguez Construction Expert Share thisAds Performance Bond Bail Bond Companies Surity Bond Payment Bond License Bond Construction Bond Construction InsuranceConstruction Categories Construction Management Information About Diffferent Construction Materials- Information Related to New Construction Projects Latest Technology Trends for Builders Construction Inspection Tips and Regulations Government Requirements for Contractors and Builders Tips, How-To's and Hints on Remodeling History and Planning Behind Great Construction Projects Tools and Resources for Construction Professionals Tips for Builder and Contractors Construction Design Glossary Blog Construction Management Home Builders Information Construction Industry: Tips and Hints Updated Articles and Resources Free Email NewsletterTop of FormLet About.com send youthe latest from ourConstruction Expert.Bottom of FormTop of FormYou can opt-out at any time.Please refer to our privacy policy for contact information.Bottom of Form

Lawrence Sawyer/E+/Getty Images Performance Bonds guarantee for the satisfactory completion of a project. This will require having a collateral property or investment to back up the requirements of the surety agency. A performance bond is usually issued by a bank or an insurance company, both of which act as a surety.Performance Bonds: How They Work?The Government requires performance bonds and payment bonds for projects to protect the tax payers investment. The private sector also requires the issuance of performance bonds. Common performance and payments bonds for government projects consist of building bridges and roads. If the contractor does not completion the project specified in the contract the surety bonding company will either pay for the completion of the project or hire a contracting firm to complete the project.AdsBest SIP Investment Planswww.myuniverse.co.in/ZipSipInvest in best top funds & avail higher returns. Invest in 2 Mins.Reliance Life Insurancereliancelife.com/Life_Insurance1Cr Cover @ Rs450 or 50 Lac @ Rs253 Per month, Policy Term up to 35 yrsNo-Annual Fee Credit Cardwww.policybazaar.com/credit-CardsGet Best Credit Card For Free, Apply Online in 2 min Now. Performance Bond Bail Bond Companies Surity Bond Payment Bond License BondA performance bond will protect the owner against possible losses in a case a contractor fails to perform, or is unable to deliver the project as per established and the contract provisions. Sometimes the contractor defaults or declares himself in bankruptcy, and then in those situations the surety is responsible to compensate the owner for the losses. Such compensation is defined as the amount covered under the performance bond.Payment from the performance bond is available only to the project/property owner. No one else can make claims against it. In order for a performance bond to be effective, the contract must be specific about the work to be done. A contractor cannot be held accountable for vague descriptions that are open to interpretation.Performance Bonds BenefitsPerformance bonds ensure that: The owner of a project is assured of the completion of the project. The owner does not need to incur additional costs.There are also some drawbacks with the Performance Bonds. The drawbacks of performance bonds are: Sometimes, the surety tries to establish that the owner did not comply with the technical conditions of a bond to avoid paying the compensation. Sometimes the surety will try to prove, that the owner may have to settle for the least expensive remedy to the problem. The owner needs to quantify the losses that might have been suffered when a trader or contractor fails in their performance. If the owner underestimates the losses and the future cost of the completion of the project, the owner may not be able to recover the shortfall from the surety.Performance Bonds RequirementsSurety and financial institutions have different requirements depending on the capacity of the contractor, the volume of the project being ensured and the projects challenges. Usually they ask for the following: At least two years of CPA prepared financial statements. Copy of the contract that is being awarded. Application of the surety. If you own real estate, it will help you and will accelerate the process.4.Hold Harmless AgreementA hold harmless agreement is a contract clause typically found in construction contracts . The Hold Harmless agreement is commonly provided by the subcontractor to the contractor, builder, or others related professionals insuring against all work being executed by the subcontractor. The provisions under a Hold Harmless agreement will minimize the risk of being part of a litigation or allow you to pursue a claim for indemnity if a subcontractor or any of his employees sustain an injury. A hold harmless agreement clause in a contract document should have a specific language to protect the contractor or the intended parties. The agreement must include provisions to neglect any kind of claims, damages, losses, expenses or any other cause of action to the contractor, if any type of problem or dispute arises in the construction project.The hold harmless agreement protection will vary depending on the jurisdiction that the contract is being executed. In some cases, the hold harmless agreement will protect the contractor from claims brought by corporations or companies not forming part to the agreement.Three Basic Types of Hold Harmless AgreementsThere are three basic types of Hold Harmless Agreements in the construction industry: Broad Form, Limited Form and Intermediate Form.1. Broad FormThe subcontractor being insured, assumes all related liability for accidents, its own negligence, general contractor negligence and the combined negligence between contractor and subcontractor. This is not the recommended form of agreement due to its broad responsibility terms, and many jurisdictions prohibit this form of hold harmless agreement. In some cases to validate this type of agreement, the subcontractor must finance its own liability with an additional insurance policy.2. Intermediate FormUnder this form of agreements the sub contractor assumes all liability for accidents and negligence. The subcontractor is responsible for his related actions and will not be held accountable for the general contractor's accidents or negligence. This is one of the most common used types of hold harmless agreement. It is not dependent on whether it was subcontractor's fault or not, it only depends on whom was executing the accident or who was acting in a negligent way. In the case that both parties were negligent, the subcontractor will be held responsible for his actions and will be liable for his actions and omissions.3. Limited-FormIn a hold harmless limited-form agreement, the subcontractor will be held accountable only for the accident or negligence but on a limited form. The subcontractor will assume liability only to the proportional part of what was his responsibility. This type of agreement will limit the liability of the subcontractor only to his responsibility, and will include other, under their respective hold harmless agreements for their corresponding part of the accident or negligence.5.What is a Bid Bond?What is a Bid Bond?A bid bond is important to show proof of guarantee to the project owner that you can comply with the bid contract and also that you can accomplish the job as laid out in the contract. A bid bond is a guarantee that you provide to the project owner stating that you have the capability to take on and implement the project once you are selected during the bidding process. Normally, project owners do not know if a contractor is financially stable or has the necessary resources to take on a project. However, because of a bid bond, they will be more comfortable to award a project to a contractor knowing that if the project fails, they can collect compensation from the surety bond.

What Happens if the Construction Bond Obligation is Not Met? If the bid bond obligations are not met, the principal-usually referring to the contractor- and the surety are liable for the bond jointly and severally. There are penalties that apply for failure to comply with bond obligations. The principal and surety are liable on the bond for any additional costs the owner incurs in selecting and awarding another contractor. This usually is the difference in dollar amount between the low bid and the second low bid. The penal sum of a bid bond often is ten to twenty percent of the bid amount.How Bid Bonds WorkRequesting a bid bond will keep contractors from submitting frivolous bids, because they would be obligated to perform the job, or at least pay the bond premiums. Bond-issuing companies perform comprehensive credit and financial reviews before agreeing to provide bonds for a company. During bidding, various contractors estimate what the job will cost to complete. They submit this price to the owner in the form of a bid. This usually means that the bonding company will pay the owner the difference between the lowest and next lowest bid. Sometimes, the bonding company may sue the contractor to recover these costs. The possibility of lawsuits depends on the terms of the bond. Bid Bond RequirementsUnder the Miller Act, which is still the standard today, all bidders are required to submit bid bonds on any federal project. Many private firms have copied this trend to protect themselves from risk during the bid process. Getting surety bond is very important if you want your company to become competitive in the construction industry. In some localities, a surety bond is required so you can obtain licenses and permits. Most importantly, almost all project owners and developers will require a bond from you before you can bid on their projects.Federal surety bond requirements may be met in different ways: Surety bonds issued by an approved corporate surety. Surety bonds issued by an individual surety that pledges certain defined types of assets.Individuals may act as sureties to satisfy bonding requirements on federal projects if they have acceptable assets in the required amounts to support the bonds. To support bonds issued by individual sureties, agencies may only accept: Cash. Marketable assets. Letters of credit from a federally insured financial institution.Acceptable assets include cash or certificates of deposit; U.S. agency securities; stocks and bonds traded on the New York, American and other exchanges, among others. There are also unacceptable assets. These assets are those that may be difficult to liquidate, like a life estate in real property, jewelry, individuals surety home, and several others.Flood InsuranceTop of FormFlood Insurances are typically covered by the National Flood Insurance Program. A flood can be considered a general or temporary condition occurring on two or more acres of land, or affecting two or more properties. Flood insurances typically have a queue of 30 days, before entering its coverage period, to avoid insurance solicitations only when a flood event is expected. Floods can occur in the following forms: Tidal Water Overflow of inland water Unusual accumulation of runoff water Mudflows Water exceeding normal levelsFlood Insurance Mandatory RequirementsFlood insurances are required on high risk areas as determined by the NFIP, and strongly recommended on moderate-to-low risk areas. However, flood insurance is limited on basement and areas below the lowest elevated floor depending on the flood zone and date when it was built. Limited coverage might also be suggested on crawl spaces, enclosed areas beneath elevated buildings and other low-lying areas.Flood Insurance CoverageFlood Insurance claims average over the last ten-year period have been over $30,000. Flood insurance policies are dependent on several factors but most of them will cover damage to your property and personal belongings. For businesses, Flood Insurance will pay up to $500,000 for the building and $500,000 for the contents. Building Property The building and its foundation Mechanical and electrical components Home appliances A/C units, heating equipment Permanently installed wall divisions Blinds Debris Removal Carpet floorsFlood Insurance LimitationsAs any insurance, Flood Insurance coverage has also some limitations that you must know, before starting a new insurance period. Damage or moist that could have been avoided by the building owner. Currency, money and stock certificates Items located outside the covered structure Temporary housing expenses Economic loss caused by business interruption

Estimates and BidsA good estimate might open contract opportunities for you and your company. Helpful bid tips, estimating softwares, bidding tips and solution to common mistakes are covered under this section. Construction Bids Avoid These Common Mistakes Bid Bond Bids on Government Projects Estimating Software Bid a Commercial Project How to Protest a Bid 1.Bids: Looking for Construction Bids?Bids: Looking for Construction Bids?Bids and bidders are needed. The federal government is looking for all types of construction companies to bid on their construction projects. Many of the projects required to have a small business, local contractors, minority contractors, and tribal firms among others. But how do you get into that kind of business? We will present some of the most common resources used in the construction industry to get bids, request for proposals and request for qualification for several of opportunities waiting for you. The majority of the projects go out to bids starting on June through September, when the fiscal year comes to an end.Bids:Initial RequirementsAs a contractor, you must prepare a business plan, containing the ideas on how you are going to sell your services, complete list of offerings, financial data and support documents that will complement your knowledge in the industry. Your local small business administration office, can help you on the preparation of your business plan. Remember is not only your experience, you also need some financial backup. If you are starting a new company or havent done the IRS registration, you must enlist and get an employee identification number (EIN, Federal ID Number), this is a requirement if you want to bid on federal or government projects.Apply for a Dunn & Bradstreet number (also called D&B or Dunns). This register is necessary if you want to get listed in the Central Contractor Registration (CCR), to the government. You control the accuracy of your business information and it will be accessible to all Federal agencies with which you do business. You have access to update your information whenever necessary. Annual renewal is required to remain active. Many agencies will use this system for payment and contract formation purposes.Furthermore, you might want to register with ORCA. ORCA is an e-Government initiative that was designed by the Integrated Acquisition Environment (IAE) to replace the paper based Representations and Certifications (Reps and Certs) process.Finally you can also select your NAICS code. The North American Industry Classification System (NAICS, pronounced Nakes) was developed as the standard for use by Federal statistical agencies in classifying business establishments for the collection, analysis, and publication of statistical data related to the business economy of the U.S.Bid SourcesOnce you got all your initial requirements ready and filled out, then you must start looking for bidding opportunities and construction bids. Here is a list of common places where to find bids, proposals, and solicitation information. FBO- This is a free service. You have a good bit of flexibility in setting up your firm's profile. They also have an automatic notification system that, given your parameters, will send an email with projects that fit your requirements and inform you of the bids and new construction going out. PTA Centers- They provide a wealth of information and technical assistance. They are a local resource available at no or nominal cost that can provide assistance to business firms in marketing products and services to the Federal, state and local governments. Daily Journal of Commerce- The daily journal of commerce will list the local opportunities available for you to bid. The DJC provides news and public records for local business professionals in the industries of construction, architecture, engineering, commercial real estate and law.There are also other sites that will require you a subscription sometimes for a small amount of money that will email you with the latest information depending on your requirements and parameters, such as: Gov Directions - It is inexpensive and accurate. ONVIA- This website track, analyzes and reports the spending of more than 89,000 federal, state and local government agencies, giving companies a single source for conducting open, intelligent and efficient business with government. Finally, one last source is the input from friends, colleagues and other professionals to get bids and solicitation announcements. Bids: Common Bidding Errors and RecommendationsHere are some common errors found when bidding construction projects. There are other items that you must also consider on a bid like: overhead percentage, mobilization, warranties, experience, fill-in every line on the bid form, contingencies and allowances. Remember the key to a successful bid is a mix of experience, performance and remember to follow the instruction to bidders.1. Bid Error: Arithmetic Common bidding errors on calculation and using the wrong scale will lead you to the most common error when placing a bid. Recommendation: Use bidding software or an electronic calculator with a recording tape. Remember always to double-check quantities and pricing. 2. Bid Error:Improperly Pricing Verify the quantities and supplies needed; check if the bid requires a lump sum or a unit price. Recommendation: Pay special attention when reading the instruction to bidders. 3. Bid Error: Incorrect Allowances Allowing too much or too little amount to perform a job might send a signal to the owner or the manager that something on your bid is wrong. Recommendation: Prepare a detailed proposal for the allowance and prepare a complete take-off for this job. Present the number as requested in the proposal, fixed price, unit price, lump sum, or per instructed. 4. Bid Error: Incorrect Units Check the schedule of values to verify if they are requiring the bid on a lineal feet, yards or meter unit. Recommendation: Double Check and prepare a separate list with the requested units 5. Bid Error: Labor Rates Labor rates vary widely from jurisdiction to jurisdiction. Some projects require you to comply with Davis-Bacon Act, local union salary rates, among others. Recommendations: Consult local business, laws and other reliable resources to get the correct rates and how to incorporate them to your bid. Special attention must be given to overtime rates. 6. Bid Error: Unfamiliarity With Project Site Huge mistake! Some contractors present bid by merely completing a take-off from construction drawings. Recommendation: Complete a Due Diligence assessment and verify that field conditions are represented on construction drawings. 7. Bid Error: Transportation Costs That huge piece of steel or that unique material must be transported by train, plane, of overnight. Request a quotation for the delivery of the material and plan its delivery. Broker costs or special taxes might add up to unexpected quantities. Recommendation: Prepare a logistic plan of when and how the material will be transported. Remember to provide specific or realistic date and stick to that quotation as long as you can. 8. Bid Error: Regulations Every jurisdiction has a local or state code that must be followed. Sometimes these codes request for special equipment or additional pieces that were not part of the initial bid. Recommendation: Hire or consult a local expert that will help you on the assessment of the construction codes 9. Bid Error: Quality Sometimes contractors tend to work in certain ways, but specific regulations might require to bring specialized contractors, even licensed contractors, to perform a job. When bidding be sure that every requirement is being met, and that the proposed workmanship is appropriate. Recommendation: Look for high specialized items under the contract and request a quotation from specialized contractors, this will guarantee that you will be in compliance with all requested labor quality. 10. Bid Error: Minor Items Minor items tend to present major costs. Sometimes a bid proposal will not require presenting a bid number for waste disposal, or even scaffolding; but be aware that adding these little costs can lead to a significant portion of your bid total. Recommendation: Analyze and list all necessary equipment to perform a job, no matter how small that equipment can be or how short its usage will be. 3.What is a Bid Bond?What is a Bid Bond?A bid bond is important to show proof of guarantee to the project owner that you can comply with the bid contract and also that you can accomplish the job as laid out in the contract. A bid bond is a guarantee that you provide to the project owner stating that you have the capability to take on and implement the project once you are selected during the bidding process. Normally, project owners do not know if a contractor is financially stable or has the necessary resources to take on a project. However, because of a bid bond, they will be more comfortable to award a project to a contractor knowing that if the project fails, they can collect compensation from the surety bond.

What Happens if the Construction Bond Obligation is Not Met? If the bid bond obligations are not met, the principal-usually referring to the contractor- and the surety are liable for the bond jointly and severally. There are penalties that apply for failure to comply with bond obligations. The principal and surety are liable on the bond for any additional costs the owner incurs in selecting and awarding another contractor. This usually is the difference in dollar amount between the low bid and the second low bid. The penal sum of a bid bond often is ten to twenty percent of the bid amount.How Bid Bonds WorkRequesting a bid bond will keep contractors from submitting frivolous bids, because they would be obligated to perform the job, or at least pay the bond premiums. Bond-issuing companies perform comprehensive credit and financial reviews before agreeing to provide bonds for a company. During bidding, various contractors estimate what the job will cost to complete. They submit this price to the owner in the form of a bid. This usually means that the bonding company will pay the owner the difference between the lowest and next lowest bid. Sometimes, the bonding company may sue the contractor to recover these costs. The possibility of lawsuits depends on the terms of the bond. Bid Bond RequirementsUnder the Miller Act, which is still the standard today, all bidders are required to submit bid bonds on any federal project. Many private firms have copied this trend to protect themselves from risk during the bid process. Getting surety bond is very important if you want your company to become competitive in the construction industry. In some localities, a surety bond is required so you can obtain licenses and permits. Most importantly, almost all project owners and developers will require a bond from you before you can bid on their projects.Federal surety bond requirements may be met in different ways: Surety bonds issued by an approved corporate surety. Surety bonds issued by an individual surety that pledges certain defined types of assets.Individuals may act as sureties to satisfy bonding requirements on federal projects if they have acceptable assets in the required amounts to support the bonds. To support bonds issued by individual sureties, agencies may only accept: Cash. Marketable assets. Letters of credit from a federally insured financial institution.Acceptable assets include cash or certificates of deposit; U.S. agency securities; stocks and bonds traded on the New York, American and other exchanges, among others. There are also unacceptable assets. These assets are those that may be difficult to liquidate, like a life estate in real property, jewelry, individuals surety home, and several others.4.Bid Tips - Government ProjectsBid Tips on Government ProjectsThese bid tips will increase your opportunity to be contracted. If your bid proposal doesnt have the correct ingredients or is poorly targeted, you will be eliminated from competition, without being able to bid fairly with other contractors. Avoid these bid errors when making your proposals for government projects.1. Bid Language. Remember, being simple will allow you to get benefits, contract and bid doors will be open for you. Keep it simple, avoid confusing language, and be straight to the point, present facts not ideas. The wording that you use will be the key for someone to keep reading your bid or to put it aside. Dont use long sentences and paragraphs, its distracting and probably the reader will lose all connection with your idea.2. Dont Risk Current Projects. Sometimes you will bid on something that, maybe you cant complete or don't have the available personnel to do it. Make sure and convince your reader using past projects or past experiences that you have the necessary skills to do it. You will then re-focus on gather resources to the new project while your other projects will be left unattended from you or your staff.3. Credit Cards. Actually many government agencies makes transactions using credit cards, and sometimes is a requirement on the bid proposal, for you to present evidence that you can be paid using plastic.4. Using Incorrect Bid Units. The most common mistake. Bid what they ask you in the units they are requiring to do so. Sometimes they require you to submit a bid price for linear feet, instead your past experience has allowed you to quote based on linear meter. Dont use meters if they ask for feet. It may appear like a mistake, but it can cost you, and present the image that you are not careful.5. Clean bids. Imagine, if your bid is a mess, what can they expect from you in a project? Check every piece of paper not only in the front but also in the back, your papers should be neat and clean, and remember to number the pages and bind everything. Remember every piece of paper is justified and has one specific purpose.6. Agencies need. Don't discard any agency just because of their name. You will get surprised to know all the requirements needed from some agencies, it might sound strange but dont close the doors.7. Bid your skill. Instead of presenting vague or general ideas of your business, nail the proposal by answering specific requirement solicitations. Present specific ideas on how to solve the problem, what would you do and how would you do it.8. Bid Time. Time is essential. Every bid proposal has a deadline that you must meet. Failing to do so will let you out of business immediately. Dont wait until the last moment to send your bid proposal, sometimes the mail get stuck with lots of letters, specially during the holiday season. 9. Out-Bid Your Competitors. How you would be highlighted from other competitors? What can you complete or do different than the others? What benefits are we going to receive from you?Sometimes winning a bid government is not an easy job, but with these guides you will be so close to get one, that it is worth a try.5.Estimating Software1. Bid4Build Bid4Build is one of the most advanced, easy to use, construction estimating software systems available on the market today for the price. Designed for all sizes of general and subcontractors, Bid4Build construction software generates bids, cost estimates and reports, quickly and accurately so you can win the work and build your customer base. Bid4Build is well suited for all types of residential construction, insurance estimating, electrical estimating, home remodeling, and many areas of commercial construction. The program comes with an extensive item cost database that can be customized by adding, deleting or changing line item entries as well as line item costs. 2. ProContractor MX ProContractorMX is composed of four integrated applications; ProContractorMX Digital Takeoff, ProContractorMX Estimator, ProContractorMX Earthwork and ProContractorMX Earthwork Digital Takeoff. ProContractorMX Digital Takeoff to aid in creating accurate estimates.ProContractorMX can compensate for possible inaccuracies in scale by simply applying a known distance for reference.ProContractorMX Estimator has an Import/Export Tool that can import files with a .txt or .csv extension (ASCII files)3D visual assemblies allow users to actually see what a project will look like based on take-offs and estimate information.ProContractorMX Earthwork lets you create estimates, purchase orders and change orders for earthwork jobs that involve cut and fill work, excavation and other jobs. Three dimensional views in Earthwork offer 3. Goldenseal Basic Retailers, service businesses, professionals or smallscale manufacturers will benefit from Goldenseals integrated package of estimating software and project management software designed for both Macintosh and Windows computers. For unsurpassed features and flexibility, Goldenseals complete version has extra money management features such as job costs, general accounting, payroll, project billing, customer billing and inventory tracking.Goldenseal is designed primarily for small to medium sized construction companies or subcontractors with an emphasis on small construction jobs. 4. BID2WIN BID2WIN offers an impressive construction estimating software package. The massive feature set and advanced technologies come together in a streamlined and easy to use system.BID2WIN estimating and bidding software is a comprehensive program engineered to help you with the entire process, from effectively estimating to successfully bidding on construction projects. The software is specifically designed for heavy highway construction, and like the physical outcome, is large in scope but utilizes the necessary heavy-duty tools to get the job done right. 5. Work In Progress 6 Work In Progress is a highly integrated, complete construction management system containing nine primary screens: Invoice View, Draws & Deposits View, Checkbook View, Customer Billing & Payments View, Purchase Orders & Budgets, Change Orders, Payroll, Quickest View and Taskmaster View. The program has succeeded in integrating each of these areas of management into one program quite well; its design is so simple that small construction companies and subcontractors that have struggled to stay organized in these areas will sing its praises6.Bidding Commercial Construction ProjectsHow to Bid Commercial ProjectsMany people interested in the construction industry asks , how to bid construction. There is no set way on how to bid construction; but coming up with the most accurate cost estimate and developing the lowest bid is a tried and true method.The construction bid process is the process in which a general contractor (and, in some cases, the architect), is selected to work on a construction project. In some cases, the only thing that matters in the construction bid process is presenting the lowest price to the owner; in other cases, the contractor 's qualifications are as important, if not more important, than having the lowest dollar amount. How to Bid Construction Projects Knowing how to bid construction jobs makes the difference between success and bankruptcy for a construction contractor. If a contractor does not know how to bid construction jobs, they will have no chance at ever turning a profit.In today's marketplace, the best way on how to bid construction jobs is to allow a capable estimator with years of experience work with a computer program to come up with the best (and lowest) possible cost. Construction bid software can be purchased by a general contractor and installed on their computers, or, increasingly, it can be web-based. Construction bid software can be very general, covering the entire project, or it can be highly specific, depending on the contractor's needs. There are programs aimed at certain segments of the construction industry, from residential, general or heavy construction. There are programs for carpentry estimating; conceptual estimating; concrete estimating and insurance claims estimating, as well as any miscellaneous estimating work that needs to be done. To enhance the online construction bid, there are software programs specializing in plumbing, piping and HVAC, as well as repair and remodeling tasks.The benefits of construction bid software are substantial. Using software programs that develop budgets and establish cost baselines, general contractors are able to keep track of the financial status on a daily or hourly basis as opposed to, far less frequently, when the work was being done by an employee. All budgetary information is stored in one location and is easily accessed, contrary to when it was manually placed in separate files. The likelihood of errors is also far less than it would be if the computations were done by hand. Having people and machines that know how to bid construction projects will be a major step in ensuring commercial success.Construction Bid ProposalA construction bid proposal is the basis on which many construction companies are hired to serve as the primary contractor on a project. Without a construction bid proposal, there would be no way to establish the overall cost of a project, which would throw the project and the contractor-client relationship into chaos.In the traditional method of selecting a contractor, an architectural firm is hired by the property owner to develop a design for the building or project. Once that design is completed and approved by the client, the architect then puts the design out for construction contract bids. While the architect may want to know more information about a contractor than their price, the bottom line is the primary reason for the selection of most contractors. In some cases, the bid is the only thing that is presented and the lowest bid gets the project.There are plenty of ways to judge a construction bid proposal, beyond the simple baseline price. With the design-bid construction method, construction bid proposals cover more than just the price to build. The design-build method combines the architect and contractor as a unified team, where they present not only their price to build the project, but their architectural design as well. A design-build construction bid proposal includes an all-inclusive price, including the cost of design and construction. Design-build supporters believe this method is not only more efficient, but leads to lower costs as well.Construction Bid TemplateConstruction Bid TemplateA construction bid template is the required document on which construction companies present their formal bid in their effort to win a project. Without the construction bid template, the entire process in selecting a general contractor to take on the construction process would be changed and its legality questioned.A construction bid template is required for any project, regardless of the building method used. In the traditional method of selecting a contractor, an architectural firm is hired by the property owner to develop a design for the building or project. Once that design is completed and approved by the client, the architect then puts the design out for bids. While the architect may want to know more information about a contractor than their price, the bottom line is the primary reason for the selection of most primary contractors. In some cases, the bid is the only thing that is presented and the lowest bid gets the project.While construction bid templates carry the all-important bottom lines, there are other factors, beyond the simple baseline price that can determine a project winner. With the design-bid construction method, construction project bids cover more than just the price to complete a building. The design-build method combines the architect and contractor as a unified team, where they present not only their price to build the project, but their architectural design as well. Design-build construction project bids include an all-inclusive price, including the cost of design and construction. There are a number of different ways to take part in the process in today's construction industry, but each can be effective and meet the needs of the client. A construction bid template is needed in all of them.Construction Project BidsConstruction project bids are the basis on which many construction companies are hired to serve as the primary contractor on a project. Without construction project bids, there would be no way to establish the overall cost of a project, which would throw the project and the contractor-client relationship into chaos.In the traditional method of selecting a contractor, an architectural firm is hired by the property owner to develop a design for the building or project. Once that design is completed and approved by the client,the architect then puts the design out for construction contract bids. While the architect may want to know more information about a contractor than their price, the bottom line is the primary reason for the selection of most primary contractors. In some cases, the bid is the only thing that is presented and the lowest bid gets the project.There are other types of construction project bids, beyond the simple baseline price. With the design-bid construction method, construction project bids cover more than just the price to build a building. The design-build method combines the architect and contractor as a unified team, where they present not only their price to build the project, but their architectural design as well. Design-build construction project bids include an all-inclusive price, including the cost of design and construction. Design-build supporters believe this method is not only more efficient, but leads to lower costs as well.The construction manager at-risk (CM at-risk) method is another way construction project bids are submitted. Under the CM at-risk method, the contractor and architect operate separately, but the contractor is involved in the process from the beginning and serves as liaison for the client dealing with the architect. CM at-risk bids are not blind, and the client can select whichever contractor he believes is best-suited to handle the project. The contractor's bid comes in the form of the guaranteed maximum price, which states the cost of pre-construction services and the construction process itself will not go over a certain total.There are different ways to submit construction project bids in today's industry, but they must be effective and must met the needs of the client.Construction Bid SheetConstruction Bid SheetA construction bid sheet is the required document on which construction companies present their formal bid in their effort to win a project. Without the construction bid sheet, the entire process in selecting a general contractor to take on the construction process would be changed and its legality questioned.A construction bid sheet is required for any project, regardless of the building method used. In the traditional method of selecting a contractor, an architectural firm is hired by the property owner to develop a design for the building or project. Once that design is completed and approved by the client, the architect then puts the design out for bids. While the architect may want to know more information about a contractor than their price, the bottom line is the primary reason for the selection of most contractors. In some cases, the bid is the only thing that is presented and the lowest bid gets the project.While construction bid sheets carry the all-important data, there are other factors, beyond the simple baseline price that can determine a project winner. With the design-bid construction method, construction project bids cover more than just the price to build. The design-build method combines the architect and contractor as a unified team, where they present not only their price to build the project, but their architectural design as well. Design-build construction project bids include an all-inclusive price, including the cost of design and construction. There are a number of different ways to take part in the process in today's construction industry, but each can be effective and meet the needs of the client. A construction bid sheet is needed in all of them.Software for Bidding PurposesA good method of how to bid construction is to use construction bid software. Construction bid software is used largely by general contractors as part of the cost estimation and budgeting processes when developing a bid for a new project. It was introduced the industry two decades ago, and it has made a major impact in a short period of time. What was once a major issue of concern for all construction projects, can now be done quickly and efficiently.The main benefit of estimating software is the way it automates job costing. The software typically comes with a database of construction costs, updated monthly by subscription. Many builders will prefer to keep their own database for job costing so that the software will more accurately reflect local costs and price fluctuations in the market. Simply having material and labor costs at hand makes the estimators job easier. Estimators can also use the software to define a jobs materials and labor hours. The software takes this definition and calculates the job cost from a database of labor and material costs. In this way, the estimator only needs to choose a job he has defined in the database, and the software does the rest. This minimizes the chance that some procedure or material will accidentally be left out of the equation.Another benefit of estimating software is that it allows the builder to look at the final job costs and compare them with the initial bid. Bids can then be reviewed to see how they can be made more accurate. The estimator may decide to alter the definition of a particular job within the software database, calling for less of a material or fewer labor hours. Construction bid software is not overly expensive, with most programs falling into a price range between $60 and $250, depending on the capabilities of the software. Most construction bid software is designed to work within Microsoft's Excel program, though some of them are stand-alone. The benefits of construction bid software are substantial. Using software programs, general contractors are able to keep track of the financial status on a daily or hourly basis contrary to, far less frequently when the work was being done by an employee. All budgetary information is stored in one location and is easily accessed, in contrast to it was manually placed in separate files. The likelihood of errors is also far less than it would be if the computations were done by hand. Learning how to bid construction properly can help a project's bottom line, as it reduces the number of employees needed to successfully see it through to completion.Online Construction Bids SystemsOnline Construction Bids SystemsThe development of the Internet over the past two decades has significantly changed many aspects of the construction industry. For more than a century, a company bidding on a project had to send large amounts of paperwork to a potential client for consideration; now, an online construction bid can be made, finishing the bid process with the click of a mouse. An online construction bid can be assembled and sent through the use of construction bid software. Construction bid software is used largely by general contractors as part of the cost estimation and budgeting processes when developing a bid for a new project. What was once a major issue of concern for all construction projects can now be done quickly and efficiently.There are multiple sites that allow you to view, download and print construction drawings in order to complete a bid proposal, The company must register and complete all the requirements to have access to this database. Then all information is shared among all contractors, and the notification regarding due date and changes is sent through email systems. There are several steps prior to complete an online bidding system.The Procurement System for Construction provides support for:1. Selection of appropriate procurement and contracting strategies, and nomination of an appropriate Principal in the contracts.2. Preparation of tender documents and contracts based on standard forms.3. Selection of contractors and consultants with proven performance records.4. Effective management of contracts, including clause commentaries, sample letters and checklists.5. Maintenance of an effective performance management system through monitoring and reporting.6. Resolution of contractual claims and disputes.Making an online construction bid is quick and far easier than the hours or days it would take to assemble and send a bid through traditional methods.Working with ContractorsThere are going to be situations when you dont have the time, inclination or skill to make a particular home repair or do some of the work you need done. We all hire someone to fix something in our house at some point, including me. Learn when to use and how to select and manage a home repair or maintenance contractor.Types of ContractorsTypes of ContractorsThis article is geared more toward selecting a person or company to make repairs or perform maintenance on your home rather than selecting a General Contractor (GC) or Builder. A General Contractor or Builder is a company that will construct a major renovation project or build a new home. For these types of projects please see the Before You Remodel Your Home article by About Architecture Guide Jackie Craven.

The Repair and Maintenance contractor you will need is usually different than a GC.

Typically youll be dealing with a type of tradesman called a subcontractor for home repair instead of a General Contractor who hires and manages multiple subcontractors to build a home or do a major renovation. The GC is the overall coordinator of a larger project. Typically, he or she does not provide the labor to build the house. That comes from the subcontractors or the "trades" (construction trades). On a new home or larger renovation or expansion project, these may include the excavator, concrete sub, rough framing carpentry crew, roofer, plumber, electrician, finish carpenter, painter, flooring, etc. The GC hires these subcontractors directly and "holds" their contracts. That means they work for him, they are under contract to him and he pays them. You would have a contract with only the GC if you hired one.

The GC makes his money by marking up the subcontractors' costs as a % of the construction amount (common) or as lump sum fee (not too common). For this fee he or she provides the management and scheduling of subs, paying the subs, provides supervision of the construction, provides dumpsters, port-a-john, insurance and other miscellaneous things you need to build a house or construct an addition. The subcontractors make their money by charging for labor and by marking up material. The GC is the generalist and the subcontractors are the specialists. But when you need a specific thing fixed in your home, you need a specialist. And that person is the specialty subcontractor, for example, a plumber.When it comes to hiring someone for maintenance tasks a lot of people who do this work may not be a licensed subcontractor at all. They may just be a guy with a truck, for example a gutter cleaner, or leaf-raker or sometimes a painter. Although using these types of people may work out, you must be careful since workmanship concerns and liability issues still exist but you wont have the legal protection you have when using a licensed contractor. So I recommend just avoiding the temptation altogether and always use a licensed contractor.Deciding When to Use a ContractorDeciding When to Use a ContractorMaking the decision to use a contractor is one that is often personal. It will come down evaluating: Your comfort level with the task at hand; Your time; Your budget.If youre venturing beyond a simple home repair project to new technically challenging installations such as adding electrical circuits or adding a sink, you should first check to see if a permit is required from your local building department. You dont need a permit for many home repairs but you may need a permit for new work especially for electrical, heating, cooling and plumbing. In some cases, the permit will require that a licensed contractor do the work to protect the publics health, safety and welfare. In some cases it may be required that the local Building Inspector review your work during construction and after its completion.If you find that a licensed contractor is not required for the permit or that the work you want to do can be covered under a Home Owners Permit then Id suggest you ask yourself three questions: Do I feel confident in making (or at least comfortable trying) this repair? Are the consequences acceptable if it takes me longer to do the project than I anticipate? Do I really want to try this project?If you answer no to any of the above questions, you should probably hire a contractor for the repair. If you answered yes to them all, you should give it a shot and do the repair yourself. Thats the only way to gain experience and confidence.Selecting a ContractorHow To Select a Good ContractorThis may seem daunting but selecting a good subcontractor is really pretty straightforward. A good tip I can give you is try to select contractors you may need on an urgent basis before you need them. Why? Because if you have an emergency repair and need to find someone quickly (who is also good and fair) you dont have time to go through a lengthy selection process. And the WORST thing you can ever do is picking someone from the Yellow Pages without interviewing them first. Im not talking about getting a bid for work you dont need, but try to at least get the names before you need them of some well recommended emergency contractors, like a plumbing or heating contractor.The easiest, and one of the best ways to select a possible contractor, is to get references from friends, family or a Realtor you trust. Please, do not just use the Yellow pages and hire someone.Once you have some names, meet with them, look for chemistry or rapport between you and them and observe their level of professionalism. Courtesy, respect, punctuality and the ability to communicate are some of the most important attributes a contractor can have next to their basic competency. Actually, no matter how good someone is, if they dont click with you on these points, dont hire them. Period.Im sorry to say that I have to suggest you should also be observant for signs of substance abuse such as alcohol or marijuana. If you suspect anything here, do not hire the contractor.Heres a checklist of things to consider when selecting your contractor.Lets use ratings of Best, Good, OK, Fair and Reject to classify some of these items.Getting Names of Possible Contractors: You have had good personal prior experience working with contractor [BEST] Reliable referral from direct experience of family or friends [GOOD] You know of the contractor's reputation but have no direct experience [OK] You found them from a trade association or general advertising [FAIR]

State Contractor Licensing (they must provide the number if licensed): Licensed; has never had a complaint filed or had disciplinary action taken [BEST] Licensed; has no prior complaints filed for at least 3 or more years [FAIR] Licensed; current complaints or actions against them within the past 3 years [REJECT] Contractor has no license [REJECT]

Insurance (ask to see their certificates): Workman's Compensation and General Liability [BEST] General Liability only (bodily injury and property damage) [GOOD] Contractor has no insurance [REJECT]

Business Longevity: In business more than 10 years with the same name [BEST] In business 5 or more years with the same name [GOOD] In business 1 to 5 years with the same name [OK] New business under 1 year [FAIR]

Stability and Permanence: Has a physical business office and address [BEST] Has only a Home office or answering service [FAIR] Cell phone contact only, no office [REJECT]

Reference Check (yes, you should check references) Positive prior current references from at least 5 customers [BEST] 1 to 4 positive references from past customers [FAIR] No real references or negative references provided [REJECT]Selecting a ContractorBottom of FormHow To Select a Good ContractorThis may seem daunting but selecting a good subcontractor is really pretty straightforward. A good tip I can give you is try to select contractors you may need on an urgent basis before you need them. Why? Because if you have an emergency repair and need to find someone quickly (who is also good and fair) you dont have time to go through a lengthy selection process. And the WORST thing you can ever do is picking someone from the Yellow Pages without interviewing them first. Im not talking about getting a bid for work you dont need, but try to at least get the names before you need them of some well recommended emergency contractors, like a plumbing or heating contractor.The easiest, and one of the best ways to select a possible contractor, is to get references from friends, family or a Realtor you trust. Please, do not just use the Yellow pages and hire someone.Once you have some names, meet with them, look for chemistry or rapport between you and them and observe their level of professionalism. Courtesy, respect, punctuality and the ability to communicate are some of the most important attributes a contractor can have next to their basic competency. Actually, no matter how good someone is, if they dont click with you on these points, dont hire them. Period.Im sorry to say that I have to suggest you should also be observant for signs of substance abuse such as alcohol or marijuana. If you suspect anything here, do not hire the contractor.Heres a checklist of things to consider when selecting your contractor.Lets use ratings of Best, Good, OK, Fair and Reject to classify some of these items.Getting Names of Possible Contractors: You have had good personal prior experience working with contractor [BEST] Reliable referral from direct experience of family or friends [GOOD] You know of the contractor's reputation but have no direct experience [OK] You found them from a trade association or general advertising [FAIR]

State Contractor Licensing (they must provide the number if licensed): Licensed; has never had a complaint filed or had disciplinary action taken [BEST] Licensed; has no prior complaints filed for at least 3 or more years [FAIR] Licensed; current complaints or actions against them within the past 3 years [REJECT] Contractor has no license [REJECT]

Insurance (ask to see their certificates): Workman's Compensation and General Liability [BEST] General Liability only (bodily injury and property damage) [GOOD] Contractor has no insurance [REJECT]

Business Longevity: In business more than 10 years with the same name [BEST] In business 5 or more years with the same name [GOOD] In business 1 to 5 years with the same name [OK] New business under 1 year [FAIR]

Stability and Permanence: Has a physical business office and address [BEST] Has only a Home office or answering service [FAIR] Cell phone contact only, no office [REJECT]

Reference Check (yes, you should check references) Positive prior current references from at least 5 customers [BEST] 1 to 4 positive references from past customers [FAIR] No real references or negative references provided [REJECT]

Experience Specializes in the work you want performed [BEST] Can perform the work you want but also does other types of work [OK] Little to no experience in the work you want performed [REJECT]

Scope and Price: (All Items are Required) Detailed description of the scope of work Assumptions (if any) are clear and accurate Contractor DID NOT offer discount to sign up now Contractor will Guarantee the work All verbal Contractor representations are in writing No more than 25% to 33% asked for up front Final payment not required until work is complete

Government Contracts: Bid Protest ProcedureGovernment Contracts: Bid Protest ProcedureUnsuccessful bidders have become a nightmare in all construction contracting. Public and utility procurers must be very careful when awarding public contracts to ensure full compliance and implementing effective remedies to deal with this type of issues.The increase in the number of challenges can be explained by: unsuccessful bidders becoming increasingly aware of their rights; procedural changes that have enabled unsuccessful bidders to obtain the background material required for a challenge; and the current financial climate, which has reduced the number of contracts awarded, so unsuccessful bidders may be prepared to challenge the award of a contract.What is Bid ProtestA bid protest is a challenge to the award or proposed award of a contract for procurement of goods and services or a challenge to the terms of a solicitation for such a contract. A bid might be protested or cancelled by an interested party when it claims that the selection procedure was based on improprieties in the award of the contract. An interested party could be a potential bidder for the contract or an actual bidder that did not win the contract. Other factors, such as the bidders standing in the competition and the nature of the issues raised may affect whether it qualifies as an interested party. One of the key requirements to prevail under a formal bid protest is a showing that the protester has been prejudiced by improper agency activities. A protester who prevails is entitled to a remedy, usually in the form of corrections in the bidding process or monetary damages. When to Protest a BidProtesting a bid must be done following procurement instructions and must be filed before the time for receipt of initial proposals. If the protest challenges the award of the contract, it must usually be filed within 10 days of when the protester knows or should know of the basis of the protest. Regulations and norms to timely file a protest depend on each particular circumstance and those instructions should be strictly followedWhat Happens after a Bid has Been ProtestedWhen the bid has protested, the corresponding agency or procurement division must within a reasonable time present a report with their findings. Shortly after, the protester must file comments addressing the initial report after receiving it. Failure to file comments might result in dismissal of the bid protest. The procurement office might decide to re-evaluate proposals, choose a new bidder, amend a decision, or take other actions.What Happens When the Bid Protest Is ValidWhen the bid protest has been validated and found admissible by the procurement agency, the agency should decide on one of these alternatives: Refrain from exercising options under the contract; Terminate the contract; Recompete the contract; Issue a new solicitation; Award a contract consistent with statute and regulation; or Such other recommendation(s) as the agency determines necessary to promote complianceHow to Present a Bid ProtestA detailed statement to present a bid protest must include:1. The facts upon which the protest is based.2. Present each and every procedure that was violated and how it was violated.3. Specify each reason that all other bidders that participated in the process should not be considered to be awarded the contract.4. Submit all relevant exhibits that will clarify any single concern that the procurement agency should have.5. The bid protest is a document that shall not be amended; the bid protest should include all possible violations.