Project Bids have no value unless everyone is bidding the same thing, the same way, at the same time…
While HOA Boards, Owners, and Property Managers often refer to the “fiduciary responsibility” of community leaders, this is a task that is often easier said than done. There is a responsibility for community stakeholders to make sure resources are allocated in the most efficient and effective manner possible. For capital improvement projects this means conducting a formal, sealed bid.
We firmly believe in a formal bid process. For Community Planners, this means:
- A mandatory Pre-Bid Meeting for all bidders.
- A Bid Form that is the only acceptable format for bid submission.
- And the requirement that bids be sealed and opened only in the presence of the Board.
Bids are an extension of good project planning. That is, bid documents formally communicate to bidders the ideas and standards the HOA has formulated over the course of the planning process. Once made aware of them, bidders are responsible for the project details, rules, and obligations set forth in the bid materials. Perhaps more importantly, the HOA is seeking affirmation of its vision for the project. A good bid event will, by necessity, produce comment and input from bidders. Since the bidders bring experience and qualifications to the project, their input either confirms the soundness of your plan or provides ideas that ultimately make the project plan better.
Finally, what bidders want is a fair opportunity for work. When they feel they are in that situation, Contractors will make a greater effort to be competitive…which reduces projects cost. Provides the best value to the community, and frees up community resources for other needs.
