720 CMR 5.02 - Application for Prequalification of Contractors

(1) General. Any Contractor proposing to bid on work under the direction of the Department, and or city or town for which prequalification is required, must furnish for approval by the Prequalification Committee a statement on forms provided by the Department setting forth its Aggregate Bonding and Single Bonding Capacity, financial information, adequacy of plant and equipment, organization, experience and any other pertinent facts as required. The Application for Prequalification form may be obtained from the Department through its Construction and Contracts Engineer, Massachusetts Highway Department, Ten Park Plaza, Boston, MA 02116-3973 (Tel. No. (617) 973-7620).
(2) Confidentiality. All information furnished in any statement or Application for Prequalification by a Contractor shall be held in strict confidence by the Department and its agents, and shall be used only to determine the Contractor's Aggregate Bonding Capacity, Single Contract Limit(s) and the class(es) of work it shall be entitled to undertake in accordance with 720 CMR 5.00. No information contained in any such statement or Application for Prequalification shall be imparted or disclosed to any other person without the written consent of the Contractor.
(3) "Out of State" Contractors. All out-of-state Contractors must show proof of registration with the Secretary of State by submitting a Certificate of Good Standing (Foreign Corporate Certificate) to do business in Massachusetts.
(4) Joint Ventures.
(a) Subject to the following provisions, two or more Contractors (Joint Ventures) may combine for occasional bidding purposes, by submitting a joint bid:
1. All Joint Ventures must be prequalified.
2. At least one of the Joint Venturers must be Prequalified in the class of work specified in the contract documents.
3. The Single Contract Limit of each Joint Venturer may be combined to establish the Single Contract Limit of the Joint Venture. The Single Contract Limits can only be combined when they are in the same class of work.
4. The Aggregate Bonding Capacity of each Joint Venturer may be combined to establish the Aggregate Bonding Capacity of the Joint Venture. Aggregate capacitiescan only be combined when they are in the same class of work.
5. The Department may require submission of a copy of the Joint Venture agreement or other information deemed necessary.
(b) If continuous joint venture bidding is desired, a combined Application for Prequalification may be submitted. The Joint Venture shall be considered in effect until one of the Contractors notifies the Department in writing that the Joint Venture is concluded.
(5) Submitting an Application for Prequalification. A request for Prequalification will not be considered until a completed Application has been submitted. Applications for Prequalification shall be submitted at least 14 calendar days preceding the day set for opening of bids for work upon which a Contractor intends to bid. Completed applications for prequalification submitted less than 14 days preceding the date which is set for bids to be opened may not be executed or acted upon prior to the bid opening date. A Contractor may file a new Application for Prequalification at any time.
(6) Class of Work Desired. Each Contractor shall indicate, in the place provided in the Application for Prequalification, the particular class or classes of work upon which it desires to be prequalified for bidding purposes; but such indication shall not be binding upon the Prequalification Committee in classifying a Contractor.
(7) Equipment. Contractors must show that they have appropriate and sufficient equipment available to satisfactorily perform the contemplated class or classes of work. In lieu of actual equipment on hand, the Contractor may show financial resources sufficient to provide the necessary equipment, and may show that it will have sole jurisdiction over the equipment for a period of not less than 12 months from the date of application. In addition to a complete description, a statement as to the condition of each piece of equipment may be required. The Department shall have the right to inspect all equipment in order to determine its operating condition.
(8) Sureties. Contractor's Surety must be authorized to do business in the Commonwealth of Massachusetts and satisfactory to the Department. "Satisfactory", for the purposes of 720 CMR 5.02(8), shall mean rated B+ or better by A.M. Best Company or such other evaluation as may be designated by the Department from time to time. The Contractor shall present, along with its Application for Prequalification, a letter from an authorized representative of the Surety setting forth the Contractor's Aggregate Bonding Capacity and single Contract Limit and any limitations imposed thereon by the Surety. Signing authorization such as Power of Attorney or Attorney-in-Fact must accompany such letter.
(9) Action on Requests for Prequalification. Each Contractor's Application for Prequalification shall be reviewed by the Prequalification Committee. The Committee shall analyze each statement, verify, to the extent necessary, the information set forth therein, including the Contractor's Aggregate Bonding Capacity, and establish the Single Project Limit(s) of the Contractor and the class(es) of work the Contractor shall be entitled to undertake. Whenever the Committee is not satisfied with the sufficiency of the information contained in any Application for Prequalification it may require the Contractor to submit additional information and, pending the filing of such additional information, the Committee may refuse to allow the Contractor to bid on any work. The Committee may require a personal interview with principals and key employees of a Contractor when considering its qualifications. After receipt of a Contractor's Application for Prequalification and such other information as has been requested by the Prequalification Committee, the Prequalification Committee shall render its determination. This determination shall consist of either a Prequalification Certificate setting forth the Contractor's Aggregate Bonding Capacity, Single Contract Project Limit(s) and class(es), or a written determination denying all or part of Contractor's Application for Prequalification. The determination of the Prequalification Committee shall be subject to the Contractor's right of appeal as set forth in 720 CMR 5.07.


720 CMR 5.02

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