Notice of award
A notice of award for construction contracts under sealed bidding must be issued in writing or electronically and include all required details, including bid identification, award price, bond instructions, and work commencement information.
Overview
FAR 36.213-4 outlines the requirements for issuing a notice of award in construction contracts using sealed bidding procedures. The regulation mandates that the notice of award must be provided in writing or electronically and must include specific information to ensure clarity and compliance. This includes identifying the invitation for bids, the contractor’s bid, the award price, instructions regarding payment and performance bonds, and details about the commencement of work or notice to proceed. The section ensures both parties are fully informed of their obligations and the next steps following contract award.
Key Rules
- Written or Electronic Notice
- The notice of award must be issued in writing or electronically and include all information required by FAR 14.408.
- Required Information
- The notice must identify the invitation for bids, the contractor’s bid, the award price, bond requirements, and the start date or notice to proceed.
Responsibilities
- Contracting Officers: Must issue a compliant notice of award, ensure all required information is included, and follow up on bond execution and work commencement.
- Contractors: Must promptly execute and return required payment and performance bonds and prepare for the specified start date or await the notice to proceed.
- Agencies: Must oversee the process to ensure compliance with FAR requirements and timely communication.
Practical Implications
- This section ensures transparency and clarity in the award process for construction contracts using sealed bidding. It helps prevent misunderstandings about contract terms, bond requirements, and start dates. Common pitfalls include missing required information in the notice or delays in bond execution, which can delay project commencement.