Bid Preparation & Submission Flashcards

What is the primary purpose of a bid bond in construction bidding?

Answer: To ensure the bidder will enter into contract if awarded

A bid bond guarantees that if a contractor is awarded the project, they will execute the contract and provide required performance and payment bonds.

Which document typically outlines the legal conditions, owner-contractor relationship, and contract terms in a bid package?

Answer: General Conditions

The General Conditions define the rights, responsibilities, and relationships of all parties involved and establish legal and procedural framework for the project.

A contractor receives an addendum two days before bid submission. What is the correct action?

Answer: Incorporate changes and acknowledge the addendum in the bid

All addenda must be acknowledged in the bid and their changes incorporated into pricing to ensure the bid is responsive.

What does the term 'bid shopping' refer to in construction?

Answer: A general contractor revealing subcontractor bids to competitors to obtain lower prices

Bid shopping is the unethical practice where a GC reveals a sub's bid price to other subs to pressure lower numbers after bid opening.

When preparing a unit price bid, what does the estimated quantity represent?

Answer: An owner's approximation used for bid comparison purposes

In unit price contracts, quantities are owner-estimated approximations for comparison; actual payment is based on measured quantities in place.

Which of the following best describes a 'responsive bid'?

Answer: A bid that conforms to all requirements of the invitation for bids

A responsive bid complies with all material requirements of the solicitation; non-responsive bids may be rejected regardless of price.

What is a 'bid tabulation' used for?

Answer: Comparing all received bids side-by-side to evaluate pricing and compliance

A bid tabulation lists all submitted bids in a comparative format, allowing owners to evaluate prices and identify the apparent low bidder.