Contract Awards - The City of Red Deer

The bidder who follows the rules and submits the low Tender usually gets the work.

Evaluation of the Tenders is fairly straight forward. The Tender Documents are checked in detail for compliance with the Conditions of the Tender. The City does a mathematical check of all Tenders. The City may also do an evaluation of the past performance of the Contractor in terms of completion, quality of work, and payment of debts. If the low bid is within budget and all other requirements are deemed to have been met, then an Award Letter is usually sent out as quickly as possible. If the low bid is not within budget, a report may be prepared and submitted to City Council requesting approval of a revised budget for the project. If approved by City Council, then an Award Letter is sent out as quickly as possible.

Wait for the Award Letter before you do anything!

One thing The City has to live by is the "Get It In Writing" rule. Every Contractor knows that this is simply good business. It is especially true with awarding contracts after the Tenders are opened. Verbal agreements, verbal offers, and handshake deals won't get you paid. And you won't get paid for work not awarded to you, so wait for the Award Letter even if you appear to be the lowest bidder when the bids are opened.

There are reasons:

There may have been a mathematical error in your bid that changed your Total Tender Price.
All bids were still too high for the project budget, the request for a revised budget was rejected by City Council, and all Tenders were cancelled.
Alternatives may be under review:
Your past performance may not be acceptable.

City personnel can give a Contractor unofficial bid results over the telephone, but they cannot and will not award advertised work over the telephone.

Once you have received the Award Letter, take the time to help The City get the rest of the paperwork in order. All paperwork must be completed and the Contract Document signed by both the Contractor and The City before The City will issue a written "Notice to Proceed" letter.

The following paperwork is required:

Contract Document signed by the Contractor and The City
Bonding as specified in the Contract Documents
Proof of Insurance as specified in the Contract Documents
Construction schedule, mix designs and shop drawings as required in the Contract Documents

NOTE: Work Will Not Be Allowed To Proceed Until The City Issues A "Notice To Proceed" Letter