Code of Massachusetts Regulations
700 CMR - DEPARTMENT OF TRANSPORTATION
Title 700 CMR 14.00 - Prequalification of Contractors and Subcontractors
Section 14.03 - Aggregate Bonding Capacity and Single Contract Limits for Contractors

Universal Citation: 700 MA Code of Regs 700.14

Current through Register 1531, September 27, 2024

(1) Aggregate and Single Bonding Capacity. The Prequalification Committee shall verify the Contractor's Aggregate Bonding Capacity and Single Bonding Capacity, as is evidenced by a letter from the Surety's authorized representative in accordance with 700 CMR 14.02(8). Unlimited Aggregate Bonding Capacities shall not be allowed.

(2) Classes of Work. The Prequalification Committee may prequalify Contractors in one or more of the classes of work. The Classes of Work established by the Prequalification Committee, and the definitions of and/or the prequalification requirements of such Classes of Work, may be amended by the Prequalification Committee from time to time. The Prequalification Committee may also establish additional Classes of Work for specialized contracts. Contractors will be notified of such special Classes of Work in the Notice to Contractors, Advertisement for Bids, or Instructions to Proposers for the particular project, and may apply for Prequalification in such special Classes of Work in accordance with 700 CMR 14.02(9)

(3) Single Contract Limit. The Prequalification Committee may establish a Single Contract Limit for the Contractor in any Classes of Work for which the Contractor has been Prequalified. A Single Contract Limit may be established, if, in the opinion of the Prequalification Committee, the Contractor does not have adequate experience, responsibility, competency, or equipment necessary to undertake an individual contract valued at the Contractor's Single Bonding Capacity within that Class of Work. In establishing Single Contract Limits, the Prequalification Committee shall consider, but shall not be limited to considering, the Contractor's competency and responsibility, the amount and condition of its equipment, the experience of its principal or key personnel, its history of payment to subcontractors and material suppliers, and previous work experience.

(4) Duration of Prequalification Status. Prequalification certification shall remain in effect for a duration of time stipulated in the Prequalification Certificate with a maximum of 12 months as indicated in the Prequalification Certificate.

(a) The Prequalification Committee may revise the duration of a Contactor's Prequalification Status at any time.

(b) If a material change has occurred in the Contractor's bonding capacity surety, or financial condition, or if the Contractor has undergone any change in the name or structure of the firm, its officers, or ownership, written notice shall be given to the Prequalification Committee by the Contractor, whereupon a new Application for Prequalification or a letter verifying Contractor's Aggregate and Single Bonding Capacity shall be required and the Contractor's Prequalification status and Single Contract Limit(s) may be revised. Should the Aggregate or Single Bonding capacity of a Contractor change, a letter from the surety stating this fact must be submitted to the Prequalification Committee.

(c) The Prequalification Committee may at any time request, in writing, that the Contractor furnish additional information relative to its Prequalification status and Single Contract Limit(s). Such request shall set forth the reason such information is required. If the requested information is not filed within 30 days from date of such request, the Contractor's Prequalification Certificate may be revoked, and, if revoked, bids from the Contractor shall not be accepted.

(d) Requests by Contractors for the revision of Aggregate and Single Bonding Capacity, Single Contract Limits or for additional classes of work may be considered by the Prequalification Committee at any time. Unless otherwise approved by the Prequalification Committee, such requests must be submitted at least 21 calendar days prior to a bid opening in order to receive consideration for that bid opening.

(e) A Prequalification Certificate may be modified based on one or more of the reasons set forth in 700 CMR 14.06(1) and 14.06(3), or based on evaluations of the quality of the Contractor's performance by the Department or Other Awarding Authority, whether as a general contractor or subcontractor. The Department may establish procedures and forms to be used by the Department and Other Awarding Authorities to evaluate the Contractor's performance.

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