Winning the bid is just the beginning. As low bidder, you face a series of responsibilities and timelines that lead to contract execution and project start. Understanding these obligations helps you transition smoothly from bidding to building.
Immediate Post-Bid Responsibilities
Bid Opening
At Public Bid Opening
- Results announced publicly
- Confirm your number heard correctly
- Note other bidders' prices
- Receive apparent low bidder notification (sometimes)
After Opening
- Document results for your records
- Begin preparing for award process
- Don't celebrate prematurely
- Start post-bid checklist
Bid Validity Period
Standard Periods
- Public projects: 30-90 days typical
- Private projects: varies by invitation
- Extended holds sometimes requested
Your Obligations
- Honor pricing during validity period
- Don't withdraw without valid grounds
- Maintain bond availability
- Keep subcontractor commitments valid
Bid Review Process
Owner's Evaluation
What Owners Check
- Bid completeness
- Responsiveness to requirements
- Arithmetic verification
- Subcontractor listing compliance
- Required form submissions
Common Issues Found
- Missing signatures
- Incomplete forms
- Arithmetic errors
- Listing violations
- Qualification concerns
Responding to Bid Review
Clarification Requests
- Respond promptly and completely
- Document all communications
- Get any agreements in writing
- Involve legal if questions are complex
Error Discovery
- Material errors may allow withdrawal
- Clerical vs. judgment errors distinction
- Documentation critical
- Know your rights and obligations
Award and Execution Timeline
Notice of Intent to Award
What It Means
- Owner intends to contract with you
- Protest period typically follows
- Not yet final award
- Begin mobilization planning
Your Actions
- Acknowledge receipt
- Begin contract preparation
- Alert bonding company
- Confirm subcontractor commitments
Protest Period
Purpose
- Allow unsuccessful bidders to challenge
- Typically 5-10 business days
- Must be resolved before final award
- May delay contract execution
If Protest Filed
- Cooperate with owner's process
- Provide documentation as requested
- Maintain bid validity
- Consult legal if named in protest
Contract Execution
Owner Preparation
- Final contract documents assembled
- Insurance requirements confirmed
- Bond requirements specified
- Execution timeline provided
Contractor Requirements
- Review contract carefully
- Negotiate only if allowed
- Execute by deadline
- Provide required bonds/insurance
Bonding Requirements
Performance Bond
Purpose: Guarantees project completion
Requirements
- Typically 100% of contract value
- Surety company approved
- Executed before contract
- Must meet owner specifications
Your Actions
- Alert surety immediately after opening
- Provide contract for bond preparation
- Submit bond with contract documents
- Confirm surety acceptance
Payment Bond
Purpose: Guarantees payment to subs and suppliers
Requirements
- Typically 100% of contract value
- Protects subcontractors/suppliers
- Required on most public projects
- Some private projects require
Your Actions
- Usually provided with performance bond
- Same execution timeline
- Surety processes together
Bond Execution Timeline
Typical Sequence
- Win bid → notify surety immediately
- Receive award → send contract to surety
- Surety reviews → issues bonds
- Submit bonds → with executed contract
Common Problems
- Delayed surety notification
- Contract terms surprise surety
- Capacity issues discovered late
- Paperwork delays
Insurance Requirements
Certificate Requirements
Common Coverages Required
- General liability
- Workers' compensation
- Auto liability
- Umbrella/excess
- Professional liability (sometimes)
Certificate Issuance
- Request from insurance agent
- Verify limits meet requirements
- Confirm additional insured endorsements
- Submit with contract documents
Special Requirements
Additional Insureds
- Owner
- Architect/engineer
- Construction manager
- Lenders
Endorsements
- Waiver of subrogation
- Primary and non-contributory
- Per project aggregate
- Completed operations
Timeline
Best Practice
- Review requirements before bidding
- Confirm coverage availability
- Alert agent when low bidder
- Submit certificates with contract
Subcontractor Commitments
Confirming Subcontract Prices
Post-Award Actions
- Contact all listed subcontractors
- Confirm pricing still valid
- Begin subcontract process
- Address any issues immediately
Potential Problems
- Sub price was conditional
- Material prices changed
- Sub overcommitted
- Scope misunderstandings
Subcontract Execution
Timeline Pressure
- Flow-down requirements
- Bonding requirements for subs
- Insurance certificate collection
- Pre-construction needs
Best Practices
- Standard subcontract form ready
- Clear scope exhibits prepared
- Insurance requirements specified
- Payment terms defined
Pre-Construction Requirements
Submittals and Schedules
Common Requirements
- Project schedule
- Schedule of values
- Submittal schedule
- Safety plan
Typical Deadlines
- Within 10-30 days of contract
- Approval required before work
- May affect first payment
- Critical path to start
Pre-Construction Meeting
Purpose
- Introduce project team
- Review procedures
- Clarify requirements
- Establish communication
Preparation
- Review contract requirements
- Prepare questions
- Bring key personnel
- Document meeting outcomes
Notice to Proceed
What It Means
- Official authorization to start
- Contract time begins
- Mobilization authorized
- Project is active
Your Response
- Acknowledge receipt
- Confirm start date
- Begin mobilization
- Start schedule tracking
Setting Up for Success
Administrative Setup
Project Files
- Contract and amendments
- Insurance and bonds
- Subcontracts
- Correspondence
Systems
- Cost tracking
- Schedule management
- Document control
- Payment processing
Team Mobilization
Key Personnel
- Project manager assignment
- Superintendent identification
- Administrative support
- Safety personnel
Communication
- Contact lists
- Reporting procedures
- Meeting schedules
- Emergency protocols
Subcontractor Coordination
Kick-Off Activities
- Sub coordination meeting
- Schedule review
- Submittal coordination
- Safety orientation
Common Post-Bid Problems
Award Delays
Causes
- Funding issues
- Protests
- Political changes
- Document problems
Your Options
- Extend bid validity if requested
- Negotiate pricing adjustments
- Consider withdrawal grounds
- Maintain patience
Scope Clarification Disputes
Situation: Owner interprets scope differently than you bid
Response
- Reference bid documents
- Document your interpretation basis
- Seek clarification meeting
- Consider change order if truly extra
Subcontractor Issues
Situation: Listed sub can't perform
Response
- Document the issue
- Understand substitution rules
- Propose qualified replacement
- Follow required procedures
Pricing Errors Discovered
Situation: Significant error found after bid
Response
- Evaluate materiality
- Understand withdrawal rights
- Document error evidence
- Seek legal advice if significant
Conclusion
The post-bid period is critical for setting up project success. The transition from bidding to contract execution requires attention to deadlines, documentation, and relationship management.
Treat the post-bid period with the same discipline as bid preparation. Missing a bond deadline or insurance requirement can jeopardize the contract award you worked hard to win.
Build a post-bid checklist and use it consistently. Know your obligations, meet your deadlines, and communicate proactively with owners and subcontractors. The effort invested in clean contract execution pays off throughout project delivery.
ConstructionBids.ai tracks your bid submittals and award status, helping you manage the post-bid period for multiple opportunities simultaneously.
