BIDDING PROCESS

Following completion of the construction plans and specifications, the regulatory approval
process begins. Since the regulatory agencies are so numerous and varied in their areas of
authority, It is very difficult to describe them all even naming them all would be an difficult
job specially in country like India were they easily the number may run over even more
than 100.It is sufficient to say that it is the responsibility of the design professional to be
fully aware of the applicable codes, rules, regulations and required approvals needed for
each respective project.

Normally, following the receipt of all necessary approvals and signed easements, the client
authorizes the engineer to commence the bidding process which is described in short step
be step:

Each proposed project has its own special parameters. Some may have state or federal
wage rate requirements, special minority regulations, federal non-discrimination clauses,
etc. All these special provisions and regulations must be incorporated into the bidding
documents that accompany the plans and specifications.

After the bidding packet; i.e., bidding documents, plans and specifications have been
assembled, the advertisement for bids is prepared and properly published in the local
newspapers and other applicable publications such as trade journals, builders exchanges,
etc. At this time it is customary to send bidding packets to the client, builders exchanges
and appropriate contractors, sub-contractors and suppliers.

During the period from first publication date of the Ad for Bids until the bid opening, the
engineer must be reasonably available to respond to questions from prospective bidders
(contractors) concerning any item in the bidding documents, plans and specifications.
Sometimes a pre-bid conference is held to answer questions from contractors.

If a question or concern is significant, the engineer prepares a written addendum and

issues it to all plan holders, prior to the bid opening. This document is intended to clarify
any misunderstandings or correct any discovered error well in advance of bid opening so all
prospective bidders are on a level and fair playing field.

When the time arrives for the bid opening, it is customary for the client or the engineer to
declare the bidding closed. This is a formal process and should be a public event with an
attendance sign-up sheet to document who were present.

All bids must be delivered in a sealed envelope prior to the time of closing and should be
initialled by the receiving clerk. Following the bid closing, the engineer and client open
each bid in order of receipt and read aloud each respective bidders proposal.

Following the reading, those in the audience are excused and the engineer is assigned the
task of reviewing each bid proposal in detail. Checking the math, bid bond and other
applicable documents required. Usually, within a few days after bid opening, the engineer
issues an official bid tabulation to all plan holders and the client.

At this point in time, the engineer makes a recommendation to the client. If the low
bidder has a bona fide bid bond, reasonably balanced bid, good references and has
complied with all specific bidding requirements, he is recommended by the engineer.

If the client agrees, a Notice of Award is issued to the successful contractor, usually
through the engineer. Within a ten to fifteen day period, the contractor supplies a
Performance Bond, Payment Bond, Insurance Certificate and other relevant contract
documents to the engineer who assembles them into the contract for the clients attorney to
review.

Following the attorneys certification or the contract, the engineer notifies the contractor
and sets a date for the Pre-Construction Conference.