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Chapter 6 Construction Project Bidding
This is a mind map about Chapter 6 Construction Project Bidding. It is based on the construction and real estate economics textbook of the Intermediate Economist Practical Professional. It can be used for exam preparation in 2022 and will be updated simultaneously in 2023.
Edited at 2022-11-25 21:27:17- bacteria
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Chapter 6 Construction Project Bidding
- bacteria
This is a mind map about bacteria, and its main contents include: overview, morphology, types, structure, reproduction, distribution, application, and expansion. The summary is comprehensive and meticulous, suitable as review materials.
- Plant asexual reproduction
This is a mind map about plant asexual reproduction, and its main contents include: concept, spore reproduction, vegetative reproduction, tissue culture, and buds. The summary is comprehensive and meticulous, suitable as review materials.
- Reproductive development of animals
This is a mind map about the reproductive development of animals, and its main contents include: insects, frogs, birds, sexual reproduction, and asexual reproduction. The summary is comprehensive and meticulous, suitable as review materials.
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Chapter 6 Construction Project Bidding
Tendering and bidding laws and regulations
1. Tendering and Bidding Law
(1) Bidding
1. Tendering method
public bidding
invitation to bid
2. Bidding documents
(1) The legal tenderer shall prepare bidding documents based on the characteristics and needs of the bidding project.
(2) The bidding documents shall include all substantive requirements and conditions such as the technical requirements of the bidding project, standard bid quotation requirements and bid evaluation standards for bidder qualifications, as well as the main terms of the contract to be signed.
(3) The bidding documents shall not require or indicate specific production suppliers or other contents that tend to favor or exclude potential bidders. The tenderer shall not disclose to others the names and numbers of potential bidders who have obtained bidding documents, or other information about the bidding that may affect fair competition.
(4) If the tenderer makes necessary clarifications or modifications to the issued tender documents, it shall notify all recipients of the tender documents in writing at least 15 days before the deadline for submission of tender documents required by the tender documents.
3. Other provisions
(1) If the tenderer has a minimum bid, the minimum bid must be kept confidential.
(2) For projects that require bidding according to law, the minimum period from the date the bidding documents are issued to the deadline for bidders to submit bidding documents shall not be less than 20 days.
(2) Bidding
1. Joint bidding
Two or more legal persons or other organizations may form a consortium and bid jointly as one bidder. All parties to the consortium should have the appropriate capabilities to undertake bidding projects. If the state or bidding documents stipulate the qualifications for bidders, all parties to the consortium shall meet the corresponding qualifications. For a consortium composed of units in the same major, the qualification level shall be determined according to the unit with the lower qualification level.
All parties to the consortium shall sign a joint bidding agreement, clearly stipulate the work and responsibilities that each party intends to undertake, and submit the joint bidding agreement together with the bidding documents to the tenderer. If a consortium wins the bid, all parties to the consortium shall jointly sign a contract with the tenderer and bear joint and several liability to the tenderer for the winning project.
2. Tender documents
(1) Contents of bidding documents
(2) Delivery of bidding documents
3. Other provisions
Bidders shall not collude with each other in bidding quotations, exclude other bidders from fair competition, or damage the legitimate rights and interests of the tenderer or other bidders. Bidders shall not collude with the tenderer in bidding to harm national interests, social public interests or the legitimate rights and interests of others. Bidders may not bid at a price lower than the cost, bid in the name of others, or use other methods to fraudulently win the bid. Bidders are prohibited from bribing the tenderee or members of the bid evaluation committee to win the bid.
(3) Bid opening, bid evaluation and bid winning
1. Bid opening
2. Bid evaluation
(1) Composition of the bid evaluation committee
(2) Clarification or explanation of bidding documents
(3) Bid evaluation
Able to meet the comprehensive evaluation standards stipulated in the bidding documents to the greatest extent possible.
Be able to meet the substantive requirements of the bidding documents and have the lowest evaluated bid price.
3. Winning the bid
The tenderer and the winning bidder shall enter into a written contract in accordance with the bidding documents and the winning bidder's bidding documents within 30 days from the date of issuance of the bid winning notice.
For projects that require bidding according to law, the tenderer shall submit a written report on the bidding status to the relevant administrative supervision department within 15 days from the date the successful bidder is determined.
2. Regulations for the Implementation of the Tendering and Bidding Law
(1) Bidding
1. Scope and method of bidding
(1) Projects that can be invited for bidding
1) The technology is complex, has special requirements or is restricted by the natural environment, and there are only a small number of potential bidders to choose from;
2) The cost of using public bidding accounts for a large proportion of the project contract value.
(2) Projects that do not require bidding
1) It requires the use of irreplaceable patents or proprietary technologies;
2) The purchaser can construct, produce or provide on his own in accordance with the law;
3) Franchise project investors who have been selected through bidding can construct, produce or provide by themselves in accordance with the law;
4) Projects, goods or services need to be purchased from the original winning bidder, otherwise construction or functional supporting requirements will be affected;
5) Other special circumstances stipulated by the state.
2. Bidding documents and qualification review
(1) Prequalification announcement and bidding announcement
(2) Prequalification
3. Implementation of bidding work
(1) Prohibition of bidding restrictions
1) Provide different project information to potential bidders or bidders for the same bidding project;
2) The set qualifications, technical and business conditions are incompatible with the specific characteristics and actual needs of the bidding project or have nothing to do with the performance of the contract;
3) For projects that require bidding according to law, performance and awards in specific administrative regions or specific industries will be used as bonus points or bid winning conditions;
4) Adopt different qualification review or bid evaluation standards for potential bidders or bidders;
5) Limit or designate specific patents, trademarks, brands, origins or suppliers;
6) Projects that require bidding according to law illegally limit potential bidders or the ownership or organizational form of bidders;
7) Use other unreasonable conditions to restrict or exclude potential bidders or bidders. The tenderer shall not organize a single or some potential bidders to visit the project site.
(2) General contracting bidding
The tenderer may conduct general contracting bidding for all or part of the project and the goods and services related to the project construction in accordance with the law.
(3) Two-stage bidding
For projects that are technically complex or for which technical specifications cannot be precisely drawn up, the tenderer may conduct bidding in two stages.
In the first stage, the bidder submits technical suggestions without quotation in accordance with the requirements of the bidding announcement or bidding invitation. The tenderer determines the technical standards and requirements based on the technical suggestions submitted by the bidder and prepares the bidding documents.
In the second stage, the tenderer provides bidding documents to the bidders who submitted technical suggestions in the first stage, and the bidders submit bidding documents including the final technical plan and bid price in accordance with the requirements of the bidding documents.
If the tenderer requires the bidder to submit a bid deposit, it should be submitted in the second stage.
(4) Bid validity period
The tenderer shall indicate the validity period of the bid in the bidding documents. The bid validity period is calculated from the deadline for submission of bid documents.
(5) Bid security deposit
If the tenderer requires the bidder to submit a bid deposit in the bidding document, the bid deposit shall not exceed 2% of the estimated price of the bidding project.
The validity period of the bid bond shall be consistent with the validity period of the bid.
The tenderer shall not misappropriate the bid security deposit.
(6) Bid floor and bid price limit
The tenderer can decide at its own discretion whether to prepare a minimum bid. A bidding project can only have one minimum bid. The bottom bid must be kept secret.
(2) Bidding
1. Basic requirements for bidding
2. Bidding collusion and fraud
(1) Bidders collude with each other in bidding
1) If any of the following circumstances occurs, the bidders are colluding with each other in bidding:
① Negotiate between bidders on the substantive content of bidding documents such as bid quotations;
②The bidders agree on the winning bidder;
③The bidders agree among themselves that some bidders will give up the bid or win the bid;
④ Bidders who are members of the same group, association, chamber of commerce and other organizations bid collaboratively in accordance with the requirements of the organization;
⑤ Other joint actions taken by bidders to win the bid or exclude specific bidders.
2) If any of the following circumstances occurs, the bidders will be deemed to have colluded with each other in bidding:
① Tender documents for different bidders are prepared by the same unit or individual;
② Different bidders entrust the same unit or individual to handle bidding matters;
③The project management members stated in the bidding documents of different bidders are the same person;
④The bidding documents of different bidders are abnormally consistent or the bidding quotations are regularly different;
⑤The bidding documents of different bidders are mixed with each other;
⑥The bid deposits of different bidders are transferred from the accounts of the same unit or individual.
(2) Collusion between the tenderer and the bidder in bidding
1) The tenderer opens the bidding documents and leaks relevant information to the bidders before the bid opening;
2) The tenderer directly or indirectly leaks information such as the base bid and members of the bid evaluation committee to the bidder;
3) The tenderer expressly or implies that the bidder lowers or raises the bid price;
4) The tenderer instructs the bidder to withdraw or modify the bidding documents;
5) The tenderer expressly or implies that the bidder provides convenience for a specific bidder to win the bid;
6) Other collusive behaviors between the tenderer and the bidder in order to win the bid for a specific bidder.
(3) Fraudulent situations
1) Use forged or altered license documents;
2) Provide false financial status or performance;
3) Provide false resumes and labor relationship certificates of the project leader or main technical personnel;
4) Provide false credit status;
5) Other acts of fraud.
(3) Bid opening, bid evaluation and bid winning
1. Bid opening
2. Bid Evaluation Committee
3. Bid evaluation
The bid base can only be used as a reference for bid evaluation. Whether the bid price is close to the bid base shall not be used as a condition for winning the bid, nor shall the bid price exceed the fluctuation range of the bid base as a condition for rejecting the bid.
4. Bid rejection
(1) The bidding documents are not stamped by the bidding unit and signed by the person in charge of the unit;
(2) The bidding consortium did not submit a joint bidding agreement;
(3) The bidder does not meet the qualifications specified by the state or bidding documents;
(4) The same bidder submits two or more different bidding documents or bid quotations, except where the bidding documents require the submission of alternative bids;
(5) The bid price is lower than the cost or higher than the maximum bid limit set in the bidding documents;
(6) The bidding documents do not respond to the substantive requirements and conditions of the bidding documents;
(7) Bidders have committed illegal acts such as collusion in bidding, fraud, and bribery.
5. Clarification of bidding documents
6. Winning the bid
7. Signing a contract and performing it
The tenderer shall return the bid security deposit and bank deposit interest for the same period to the winning bidder and the unsuccessful bidder at the latest within 5 days after the signing of the written contract.
The performance bond shall not exceed 10% of the winning contract amount.
(4) Complaints and handling
1. Complaint
2. Processing
Construction project survey and design bidding
1. Engineering survey and design bidding
(1) Publish a bidding announcement or issue a bidding invitation
1. Engineering survey and design bidding announcement
content include:
①Tender conditions;
②Project overview and bidding scope (explain the construction location, scale, survey/design service period, bidding scope, etc. of this bidding project);
③Bidder qualification requirements;
④ Obtain bidding documents;
⑤Submission of bidding documents;
⑥Tender announcement release media;
⑦Contact information of the tenderer and tendering agency.
2. Engineering design bidding invitation letter
content include:
①Tender conditions;
② Project overview and bidding scope (explain the construction location, scale, survey/design service period, bidding scope, bidding section division, etc.) of this bidding project;
③Bidder qualification requirements;
④ Obtain bidding documents;
⑤Submission of bidding documents;
⑥ Confirmation of whether to participate in the bidding;
⑦Contact information of the tenderer and tendering agency.
(2) Pre-qualification of bidding units
1. Pre-qualification content
(1) Qualification requirements
(2) Financial requirements
(3) Performance requirements
(4) Credibility requirements
(5) Qualification requirements for project leaders
(6) Requirements for other key personnel
(7) Survey equipment requirements
(8) Other requirements
2. Bidder’s violations
(1) It is an affiliated organization (unit) of the tenderer without independent legal personality; (2) It has an interest in the tenderer and may affect the fairness of the tender; (3) It is the person in charge of the same unit as other bidders of this tender project ; (4) There is a holding or management relationship with other bidders of this bidding project; (5) It is the agent of this bidding project; (6) It is the bidding agency of this bidding project; (7) It has relationships with other bidders of this bidding project; The construction agent or the bidding agency are both the same legal representative; (8) There is a holding or shareholding relationship with the construction agent or bidding agency of this bidding project; (9) The bidding qualification is suspended or canceled in accordance with the law; (10) Ordered to suspend production and business, suspend or revoke licenses, suspend or revoke licenses; (11) Enter into liquidation procedures, or be declared bankrupt, or otherwise lose the ability to perform; (12:) Major surveys have occurred within the last three years/ Design quality issues (subject to the administrative penalty decisions of relevant industry authorities or relevant legal documents issued by judicial authorities); (13) Listed on the list of companies with serious violations of laws and untrustworthy practices by the industrial and commercial administration authorities in the national enterprise credit information disclosure system; ( 14) The Supreme People's Court has listed the person on the "Credit China" website (www.creditchina.gov.cn) or the credit information sharing platform at all levels as a person subject to enforcement for breach of trust; (15) The bidder or its legal representative has been listed in the "Credit China" website (www.creditchina.gov.cn) or the credit information sharing platform at all levels; The person or person in charge of the project to be appointed has committed a crime of bribery (subject to the inquiry results issued by the Procuratorate’s Occupational Crime Prevention Department); (16) Other circumstances stipulated by laws, regulations or the appendix in the Instructions to Bidders.
(3) Preparation and sale of bidding documents
1. Composition of bidding documents
(1) Public bidding (or invitation to bid)
(2) Instructions to bidders
(3) Bid evaluation method
(4) Contract terms and format
(5) Requirements of the contractor
(6) Tender document format
(7) Other information specified in the previous attachment to the Instructions to Bidders
2. Clarification and modification of bidding documents
(1) Clarification of bidding documents
(2) Modification of bidding documents
3. Sale of bidding documents
4. Objections to bidding documents
(4) Organizing a stampede site
1. If the attachment to the Instructions to Bidders stipulates the organization of site visits, the tenderer shall organize bidders to visit the project site at the time and place specified in the Attachment to the Instructions to Bidders.
2. Some bidders failed to participate on time, which will not affect the normal progress of the site survey.
3. The bidder shall be responsible for the expenses incurred in visiting the site.
2. Engineering survey and design bidding
(1) Contents of bidding documents
Engineering survey and design bidding documents include:
(1) Tender letter and tender letter appendix;
(2) Identity certificate of the legal representative (applicable when there is no authorized agent) or power of attorney (applicable when there is an authorized agent);
(3) Consortium agreement (if any);
(4) Bid security deposit;
(5) Survey/design cost list;
(6) Qualification review information;
(7) Survey outline/design plan;
Survey content
① Survey project overview; ② Survey scope and survey content; ③ Survey basis and survey work objectives; ④ Survey organization setup (block diagram) and job responsibilities; ⑤ Survey description and survey plan; ⑥ Planned survey personnel and survey equipment; ⑦ Measures to ensure survey quality, progress, confidentiality, etc.; ⑧ Survey safety assurance measures; ⑨ Analysis of survey work priorities and difficulties; ⑩ Rational suggestions for the survey of this project.
Design content
① Overview of the design project; ② Design scope and design content; ③ Design basis and design work objectives; ④ Design organization setup (block diagram), job responsibilities; ⑤ Design description and design plan; ⑥ Designers to be invested; ⑦ Design quality, Guarantee measures such as progress and confidentiality; ⑧Design safety assurance measures; ⑨Analysis of key points and difficulties in design work; ⑩Reasonable suggestions for the design of this project.
(8) Other information specified in the previous attachment to the Instructions to Bidders.
(2) Preparation of bidding documents
(3) Sealing and submission of bid documents
(4) Modification and withdrawal of bidding documents
3. Engineering survey and design bid opening and bid evaluation
(1) Bid opening
1. Bid opening time and place
2. Bid opening procedure
(2) Bid evaluation
1. Bid evaluation method
2. Bid evaluation procedure
(1) Preliminary review
(2) Detailed review
3. Bid evaluation results
Construction project construction tendering and bidding
1. Construction bidding methods and procedures
(1) Construction bidding method
1. Public bidding
(1) Advantages
A wide range of contractors to choose from
Bidding competition is fierce and the selection rate is higher
It is helpful for the tenderer to hand over the project to a reliable contractor for implementation and obtain a competitive commercial quotation.
Bribery behavior in the bidding process can be avoided to a large extent.
(2) Disadvantages
Preparing for bids, pre-qualifying bid applicants and evaluating bids is a heavy workload, and the bidding time is long and expensive.
2. Invitation to tender
(1) Advantages
There is no bidding announcement or prequalification, which simplifies the bidding process, thus saving bidding costs and shortening the bidding time.
Moreover, since the tenderer has a better understanding of the bidder's past performance and contract performance capabilities, it can reduce the risk of the contractor's default during contract performance. For projects with smaller procurement targets, it is more advantageous to use invitation bidding.
In addition, some engineering projects are highly professional, have fewer potential bidders qualified to undertake them, or need to complete tasks in a short period of time. If it is not appropriate to use public bidding, invitation bidding should also be used.
(2) Disadvantages
Due to the low intensity of bidding competition, the winning contract price may be increased, and some technically or quotationally competitive contractors may be excluded from participating in the bidding.
(2) Construction bidding procedures
2. Construction bidding planning
(1) Division of construction bid sections
1. Project characteristics
2. Impact on project cost
3. Give full play to the expertise of the underwriting unit
4. Construction site management
5. Other factors
(2) Construction contract pricing method
(3) Selection of construction contract type
1. Project complexity
2. Engineering design depth
3. Advanced level of construction technology
4. Urgency of construction period
3. Construction bidding and quotation strategies
(1) Basic strategy
1. You can choose to quote a high price
(1) Projects with poor construction conditions (such as difficult conditions, small sites, or located on traffic arteries, etc.)
(2) Technology-intensive projects with high professional requirements, and the bidding unit has expertise in this area and has a high reputation.
(3) Small projects with a low total price, and projects that the bidding unit is unwilling to do but is invited to bid, and it is inconvenient not to bid.
(4) Special projects, such as port terminals, underground excavation projects, etc.
(5) Projects with few bidding opponents
(6) Projects with tight construction deadlines
(7) Projects with unsatisfactory payment conditions
2. You can choose to quote a low price
(1) Projects with good construction conditions
(2) Projects that are simple in work and large in volume and can be completed by other bidders (such as large amounts of earthworks, general housing construction projects, etc.)
(3) When the bidding unit is eager to enter a certain market or region, or although it has been operating in a certain region for many years, it is about to face a situation where there are no projects and there is no construction site for machinery and equipment to be transferred.
(4) There is a project nearby and the project can utilize the mechanical equipment and labor services of the project, or the project can be completed unexpectedly in a short period of time if possible.
(5) Projects with many bidding rivals and fierce competition
(6) Non-urgent projects
(7) Projects with good payment conditions
(2) Quotation skills
1. Unbalanced quotation method
(1) For projects that can be settled early (such as basic engineering projects with preliminary measures, earthwork projects, etc.), the quotation can be appropriately increased to facilitate capital turnover and increase the time value of funds. The quotations for later engineering projects (such as equipment installation, decoration projects, etc.) can be appropriately reduced.
(2) After project quantity accounting, for projects where the quantity of work is expected to increase in the future, the unit price should be appropriately increased, so that more profits can be made at the time of final settlement; and for projects where the quantity of work is likely to decrease in the future, the unit price should be appropriately reduced, so that when the project is settled, There won't be much loss.
(3) If the design drawings are unclear and it is estimated that the project volume will increase after modification, the unit price can be increased; if the project content is unclear, the unit price can be reduced, and opportunities to increase the unit price can be sought through claims during the project implementation stage.
(4) A detailed analysis of the tentative projects is required.
(5) In a mixed unit price and lump sum contract, when the tenderer requires certain projects to be quoted on a lump sum basis, it is advisable to quote a higher price.
(6) Sometimes the bidding documents require bidders to submit a "comprehensive unit price analysis table" for projects with large quantities of work. When bidding, the labor costs and mechanical equipment fees in the unit price analysis table can be quoted higher, while the material costs can be quoted lower .
2. Multi-plan quotation method
3. Capital guaranteed quotation method
4. Sudden price reduction method
5. Other quotation techniques
(1) Quotation of daily labor unit price
(2) Quotation of tentative amount
(3) Quotations for available projects
(4) Add suggested solutions
(5) Adopt subcontractor’s quotation
(6) Promise preferential conditions
4. Construction bid evaluation
(1) Preliminary review
1. Preliminary review content
(1) Formal review of bid documents
Whether the submitted business license, qualification certificate, and safety production license are consistent with the name of the bidding unit
Whether the tender letter is signed by the legal representative or his authorized agent and stamped with the unit seal
Whether the format of the bidding document meets the requirements of the bidding document
Whether the consortium bidder has submitted a consortium agreement, whether the membership composition of the consortium has changed from the pre-qualified membership composition, and whether the content of the consortium agreement is consistent with the requirements of the bidding documents
uniqueness of quotation
(2) Bidder qualification review
(3) Review of responsiveness of bidding documents to bidding documents
(4) Rationality review of construction organization design and project management organization setup
Rationality of construction organization
The rationality of the construction schedule
The rationality of project organization structure
Machinery and equipment to be put into construction
2. Clarification and explanation of bidding documents
3. Tender deviations and their handling
(1) Major deviation
1) Failure to provide a bid guarantee in accordance with the requirements of the bidding documents or the bid guarantee provided is defective;
2) The bidding documents do not have the signature and official seal of the authorized representative of the bidding unit;
3) The completion period of the bidding project specified in the bidding document exceeds the time limit specified in the bidding document;
4) Obviously does not meet the requirements of technical specifications and technical standards;
5) The goods packaging method, inspection standards and methods stated in the bidding documents do not meet the requirements of the bidding documents;
6) The bidding document contains conditions that are unacceptable to the bidding unit;
7) Failure to meet other substantive requirements specified in the bidding documents.
If the bidding document has any of the above circumstances and fails to make a substantial response to the bidding document, the bid shall be invalidated unless the bidding document otherwise stipulates major deviations.
(2) Minor deviations
(2) Detailed review
1. Reviewed lowest bid price method
Generally applicable to bidding projects that use general technology for construction, the performance standards of the project are the general level in the specifications, or the bidding unit has no special requirements for construction.
2. Comprehensive evaluation method
It is suitable for the bid evaluation of more complex engineering projects. Due to the large investment amount, long construction period, complex technology and wide range of specialties involved, there are many uncertain factors in the construction process.
(3) Bid evaluation report
1. Basic information and data table
2. List of members of the bid evaluation committee
3. Bid opening record
4. List of bids that meet the requirements
5. Description of abandoned bids
6. List of bid evaluation criteria, bid evaluation methods or bid evaluation factors
7. Reviewed price or rating comparison list
8. Ranking of evaluated bidders
9. Recommended list of successful bidders and matters to be dealt with before signing the contract
10. Minutes of clarifications, explanations, corrections and matters