In part one of this two-part series the Greensboro construction law lawyers from Cotney Construction Law discussed some important information from the North Carolina Department of Transportation’s (NCDOT’s) “Standard Specifications for Roads and Structures” including some of the official guidelines governing:
- Purchase Order Bidder Prequalification
- Electronic Bids
- Non-Collusion Certification
Now, we will continue to discuss other important standards and specifications for NCDOT projects. Maintaining compliance with every detail of this 829-page document can be challenging, so consult a Greensboro contractor attorney for assistance with all of your legal compliance needs.
Section 102-14 — Rejection of Bids
Contractors who submit bids in violation of Articles 102-8, 102-9, and 102-10 of NCDOT’s Standard Specifications for Roads and Structures will be labeled “irregular” and likely rejected. In other words, contractors must correctly prepare and submit bids; procure non-collusion, debarment, and gift ban certifications; and acquire a bid bond or bid deposit. Unbalanced unit or lump sum bid prices may also result in a rejected bid. Other stipulations regarding applicable laws for bidders are outlined in Chapter 87 of the General Statutes of North Carolina.
Section 103-4(B) — Title VI and Nondiscrimination
NCDOT requires all contractors bidding on public projects to handle all aspects of their business in accordance with Title VI of the Civil Rights Act of 1964 (78 Stat. 252) and the Regulations of the Department of Transportation (49 CFR, Part 21). NCDOT is also responsible for awarding bids to the lowest responsible bidder without discriminating against race, color, or national origin.
Section 104-2 — Supplemental Agreements
Amendments to a contract are permitted if they are needed to sufficiently complete the project according to the engineer. This can be accomplished in the form of a supplemental agreement. If approved by the engineer and contractor, supplemental agreements can be added to the contract to help improve the quality of these public projects.
Section 104-7 — Extra Work
If extra work is needed to complete a project according to the project specifications, the contractor will be responsible for supplying the necessary provisions of materials and labor. Before extra work starts, it must be authorized by the engineer. The guidelines dictating payment for extra work are covered by Subarticle 104-8(A), but essentially, the contractor and engineer must agree on any additional compensation before the commencement of work. However, if the engineer determines that the work is not extra work, he or she will provide a written notification detailing this determination.
Section 107-15 — Liability Insurance
Contractors are responsible for purchasing an original standard Association for Cooperative Operations Research and Development (ACORD) form certificate of insurance to prove that they possess general liability coverage for bodily injury and property damage valued at $5,000,000. North Carolina contractors can meet this criterion with a single general liability insurance policy or a combination of a general liability policy and excess liability or umbrella policy.
Disclaimer: The information contained in this article is for general educational information only. This information does not constitute legal advice, is not intended to constitute legal advice, nor should it be relied upon as legal advice for your specific factual pattern or situation.