1-00 45 11 Bidders Prequalifications.pdf

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BIDDERS PREQUALIFICATIONS

CITY OF FORT WORTH [Insert Project Name] STANDARD CONSTRUCTION SPECIFICATION DOCUMENTS [Insert Project Number] Revised August 13, 2021

SECTION 00 45 11 1

BIDDERS PREQUALIFICATIONS 2

1. Summary. A Bidder or their designated subcontractors are required to be prequalified or 4 have applied for prequalification by the City for the work types requiring prequalification 5 prior to submitting bids. To be considered for award of contract the Bidder must submit 6 Section 00 45 12, PREQUALIFICATION STATEMENT for the work type(s) listed with 7 their Bid. Any contractor or subcontractor who is not prequalified for the work type(s) listed 8 must submit Section 00 45 13, PREQUALIFICATION APPLICATION in accordance with 9 the requirements below. The information must be submitted seven (7) days prior to the 10 date of the opening of bids. Subcontractors must follow the same timelines as contractors 11 for obtaining prequalification review. Bidders or Subcontractors who are not prequalified at 12 the time bids are opened and reviewed may cause the bid to be rejected. 13 The prequalification process will establish a bid limit based on a technical evaluation and 16 financial analysis of the contractor. For example, a contractor wishing to submit bids on 17 projects to be opened on the 7th of April must file the information by the 31st day of March 18 in order to eligible to work on these projects. In order to facilitate the approval of a Bidder’s 19 Prequalification Application, the following must accompany the submission. 20

a. A complete set of audited or reviewed financial statements. 21

(1) Classified Balance Sheet 22

(2) Income Statement 23

(3) Statement of Cash Flows 24

(4) Statement of Retained Earnings 25

(5) Notes to the Financial Statements, if any 26

b. A certified copy of the firm’s organizational documents (Corporate Charter, Articles 27 of Incorporation, Articles of Organization, Certificate of Formation, LLC 28 Regulations, and Certificate of Limited Partnership Agreement). 29

c. A completed Bidder Prequalification Application. 30

(1) The firm’s Texas Taxpayer Identification Number as issued by the Texas 31

Comptroller of Public Accounts. To obtain a Texas Taxpayer Identification 32 number visit the Texas Comptroller of Public Accounts online at the 33 following web address www.window.state.tx.us/taxpermit/ and fill out the 34 application to apply for your Texas tax ID. 35

(2) The firm’s e-mail address and fax number. 36

(3) The firm’s DUNS number as issued by Dun & Bradstreet. This number 37 is used by the City for required reporting on Federal Aid projects. The DUNS 38 number may be obtained at www.dnb.com. 39

d. Resumes reflecting the construction experience of the principles of the firm for firms 40 submitting their initial prequalification. These resumes should include the size and 41 scope of the work performed. 42

e. Other information as requested by the City. 43

2. Prequalification Requirements 45

a. Financial Statements. Financial statement submission must be provided in 46 accordance with the following: 47

(1) The City requires that the original Financial Statement or a certified copy 48 be submitted for consideration. 49 http://www.window.state.tx.us/taxpermit/ http://www.dnb.com/

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Revised August 13, 2021

(2) To be satisfactory, the financial statements must be audited or reviewed 1 by an independent, certified public accounting firm registered and in 2 good standing in any state. Current Texas statues also require that 3 accounting firms performing audits or reviews on business entities within 4 the State of Texas be properly licensed or registered with the Texas State 5 Board of Public Accountancy. 6

(3) The accounting firm should state in the audit report or review whether 7 the contractor is an individual, corporation, or limited liability company. 8

(4) Financial Statements must be presented in U.S. dollars at the current rate 9 of exchange of the Balance Sheet date. 10

(5) The City will not recognize any certified public accountant as 11 independent who is not, in fact, independent. 12

(6) The accountant’s opinion on the financial statements of the contracting 13 company should state that the audit or review has been conducted in 14 accordance with auditing standards generally accepted in the United 15 States of America. This must be stated in the accounting firm’s opinion. 16 It should: (1) express an unqualified opinion, or (2) express a qualified 17 opinion on the statements taken as a whole. 18

(7) The City reserves the right to require a new statement at any time. 19

(8) The financial statement must be prepared as of the last day of any month, 20 not more than one year old and must be on file with the City 16 months 21 thereafter, in accordance with Paragraph 1. 22

(9) The City will determine a contractor’s bidding capacity for the purposes 23 of awarding contracts. Bidding capacity is determined by multiplying the 24 positive net working capital (working capital = current assets – current 25 liabilities) by a factor of 10. Only those statements reflecting a positive 26 net working capital position will be considered satisfactory for 27 prequalification purposes. 28

(10) In the case that a bidding date falls within the time a new financial 29 statement is being prepared, the previous statement shall be updated with 30 proper verification. 31

b. Bidder Prequalification Application. A Bidder Prequalification Application must be 32 submitted along with audited or reviewed financial statements by firms wishing to be 33 eligible to bid on all classes of construction and maintenance projects. Incomplete 34 Applications will be rejected. 35

(1) In those schedules where there is nothing to report, the notation of 36 “None” or “N/A” should be inserted. 37

(2) A minimum of five (5) references of related work must be provided. 38

(3) Submission of an equipment schedule which indicates equipment under 39 the control of the Contractor and which is related to the type of work for 40 which the Contactor is seeking prequalification. The schedule must 41 include the manufacturer, model and general common description of 42 each piece of equipment. Abbreviations or means of describing 43 equipment other than provided above will not be accepted. 44

3. Eligibility for Award of Contract 46

a. The City shall be the sole judge as to a contractor’s prequalification. 47

b. The City may reject, suspend, or modify any prequalification for failure by the 48 contractor to demonstrate acceptable financial ability or performance. 49

c. The City will issue a letter as to the status of the prequalification approval. 50

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d. If a contractor has a valid prequalification letter, the contractor will be eligible to 1 perform the prequalified work types until the expiration date stated in the letter. 2

END OF SECTION 8

BIDDERS PREQUALIFICATIONS