SPECIFICATIONS Flashcards
A type of contract with which the design firm invoices on a cost basis up to a stipulated maximum dollar amount that cannot be exceeded.
Guaranteed Maximum Price (GMP)
A unit price bid that accurately reflects the actual anticipated price of each item of work to be performed.
Balanced bid
A surety instrument that guarantees to the owner that the bearer, if awarded the contract, will enter into a binding contract and provide all required bonds.
Bid Bond
A specification that is expressly restrictive in stating that only one or two products will satisfy the quality requirements, or is implied when performance is so narrowly prescribed that only one or two products will satisfy the requirement.
Closed Specification
A bid that is not prepared in earnest, but is presented to appear to be a serious bid. Such bids are usually generated through collaborative efforts with another bidder who does submit a serious bid.
Complimentary Bid
AKA Boilerplate: outlines the roles of the parties to a construction agreement and provide guidance concerning procedures to follow under varying circumstances.
General Conditions
A common procedure in which the owner of a project contracts with a single firm, often called a prime contractor, for its construction. This firm may contract with speciality contractors for portions of the work
General Contract Method
Guidelines or rules enumerated for bidders on a project concerning proper procedures for bid submittal and relevant project information
Instructions to Bidders
A means of notifying the contractor about the decision to award the contract and of specifying when the contract time will start.
Notice to proceed
An open or nonrestrictive specification in which a wide variety (three or more) of products are considered suitable.
Open specification
A surety instrument in which the faithful performance of a contractor is guaranteed up to the face value of the bond.
Performance bond
A descriptive requirement that states the results or the performance of the finished product rather than the specific methods and means used to construct the product.
Performance specification
A meeting between the owner, the general contractor, and the major subcontractors that takes place after the contract is awarded but before construction begins. This conference addresses various matters deemed to be of importance to the project.
Preconstruction conference
A closed specification that names a project made by a particular manufacturer.
Proprietary specification
A performance specification that defines the acceptable product in terms of its ability to satisfy a standard developed by one of several standards organizations.
Reference specification
A bid that conforms to the standards outlined in the instruction to bidders. Only such bids can be considered on public works projects to assure all bidders of fair and equal treatment.
Regular bid
A compilation of general conditions, technical specifications, and other requirements that an agency uses on numerous construction projects. Such documents are prepared by state departments of transportation and many major municipalities.
Standard Specifications
A document that provides the qualitative requirements for a project in terms of materials, equipment, work performed, and so forth.
Technical Specifications
A unit price bind in which the pricing of the various items of work does not reflect the actual anticipated costs, but redistributes those costs to serve a specific objective of the bidder.
Unbalanced Bid
A contract in which payment is based on a contractor’s quoted price per unit of work performed and the owner’s measurement of the total number of such units installed.
Unit Price Contract
A contract in which the contractor is reimbursed for specified incurred costs, with an additional allowance provided for overhead and profit
Cost-Plus Contract
A contract in which the contractor agrees to construct a project for a specified sum of money.
Fixed-Price Contract / Lump Sum Contract
- Agreement
- Conditions
- Drawings
- Specifications
- Adenda
- Misc. documents associated w/ the contract bw the owner and contractor
Elements of the Contract Documents (according to AIA 201-207)
(6)
In the event of conflicting information between specifications and drawings…
Specifications supersede drawings
CLARB / LARE answer
Components of a three-part specification
Part 1: General
Part 2: Product / Materials
Part 3: Execution
Tech Spec Section
PART 1: General
Defines the scope and the ground rules for work to be performed
Lists reference specs (ASTM, etc)
May list related work, required submittal requirements, quality control or quality assurance requirements, warranty, manuals, product handling requirements
Tech Spec Section
PART 2: Product / Materials
The specific materials and products to be used
May outline the performance requirements of each product or manufacturing / fabrication processes to be used in production
Any products specified should be accompanied with an “approved equal” or similar language to keep the spec “open”
Tech Spec Section
PART 3: Execution
Describes the actual means of preparing, installing, or constructing the item in question, as well as any quality or performance requirements (testing) expected
3 Primary Specification Types
Performance
Prescriptive
Proprietary
Specifies the operational requirements of a component or installation; contractor is not instructed on how to accomplish the task, only how the component must function / perform
Performance Specification
Details materials to be used and means of installation
Shifts more design control to the LA / designer and away from the contractor by establishing a set of rules that is to be followed for each project component
Provides more certainly regarding the final product composition than a performance specification
Typically follows the CSI 3-part specification format
Prescriptive Specification
A type of “closed” specification; requires the use of a single approved product or system type for installation without alternates. Typically would list the approved manufacturer and model number
Typically not used / or prohibited in public work
Can increase project costs / prohibits competitive bidding
Proprietary Specification
Often developed by industry professionals and associations. Considered well vetted. Refer to pre-existing standards.
Help to reduce the length of project specifications.
Reference Specifications
examples: ANSI, ASTM, AASHTO, etc
Implies less than 100% complete but considered open for use by owner / public. Typically there are minor corrections that remain from punch list which the contractor must address.
Final payments are made during this phase to contractor excluding a 5-10% retainage
Substantial completion
part of project closeout
3 Primary Documents used in solicitation of bids
- Invitation to Bid
- Instructions to Bidders
- Bid Form
Construction Contract Method Type
Owner will enter into 2 contracts: w/ design firm & w/ contractor.
GC hires subcontractors
Design, bid, and building phases do not overlap
General Contract Method
A guarantee provided by a firm that states that the contractor will fulfill the terms of the contract; if the contractor defaults, the surety will be obligated to satisfy the terms of the contract
More typically used in General Contract types
Surety Bonds
Protects the owner if subcontractors and suppliers are not paid by the prime contractor; surety will pay the sub / suppliers if the prime fails to pay
Typically required on public projects
Payment Bonds
Advertises or otherwise notifies bidders of the proposed project
Invitation to Bid
Typically includes: Nature of project and location Type of contract Bonding requirements Dates in which to perform work Terms of payment Estimated construction costs (sometimes) Time, manner, and place to submit bids Location to obtain bid documents Deposit required on bid documents Owners right to reject bids Requirements regarding prevailing wage rates
Outlines the requirements to prepare and submit a bid properly
Includes detailed guidance to bidders, including the process of award and rejection of bids
Instructions to Bidders
Typically includes:
Procedures / instructions for writing and submitting the bid
Qualifications
A list of all the bid documents
Construction timeframe
Identify responsible parties for testing and site visits
Requirements of a bid guarantee
Insurance to be provided by the contractor
Bonding requirements
Conditions for handling bid irregularities
Bid delivery instructions
Indicates if the bid opening will be closed or public
Describes pre-bid conference (if any)
Provides the template for how the required information is to be conveyed to the owner; standardizes all bids submitted so that they can be compared accurately to one another
Bid Form
Typically includes:
GCs bid price(s) (lump-sum or unit price)
Time of completion
Bid surety
Agreement to provide contract surety
Acknowledgement of having reviewed addenda
List of subcontractors
Experience record, financial statement, plant and equipment inventory
Statement regarding site examination
Signature
Corrections to the bid documents made to correct errors caught by owner or designer OR to provide additional clarification for the contractor. Must be communicated formally to all bidders
Issued by owner (or owner’s rep)
Addenda
Responsible Bidder
Contractor that is qualified to perform the work / execute project
Regular Bid
A bid that complies with bid instructions
e.g. fails to acknowledge addenda, excludes bid security, late, missing info, etc
Contains schedule of prices that will be incorporated into the Agreement
Used in unit price bids in particular
Bid Schedule
A single book or set of documents that contain all of the relevant project documents in one place.
Includes:
Bidding and Contract Requirements
Contract Forms (agreement, bonds, certificates)
Conditions of the Contract (General and Supplementary conditions)
Technical specifications
Project Manual
Agreement Conditions Drawings Specifications Addenda Misc. documents associated w/ the contract bw owner and contractor
Effectively the Project Manual plus the Contract Drawings and minus the Bidding Requirements
The Contract Documents
Bid Solicitation
Instructions to Bidders
Information Available to Bidders
Bid Forms & Supplements
Bidding Requirements
Boilerplate language that outlines the rules under which the project will be built; establishes the rights of the contracting parties
General Conditions
Language that amends or augments the general conditions and is more specific to the project being constructed
Supplementary Conditions
A construction contract is fully executed when
Work is completed and the owner has made final payment
If the contractor defaults on a public project the responsbility is assumed by
The surety company
Bidding of a public project generally requires (4)
- Public advertisement
- Bid bond
- Payment of prevailing wage rates
- Insurance covering liability and property
