BIDDING OR NEGOTIAITION PHASE

Bidding & Negotiation involves organizing a bidding process, making a contractor selection,

and negotiating a construction contact (Hutter Architects). It comes after the phase known as

"construction documents phase" and ends with the creation of construction bidding documents that

have been approved by the owner and distributed to potential bidders for submission of proposals

to provide construction services as well as the incorporation of any substitutions or modifications

that the owner may, as a result of the bidding and negotiation process, approve for inclusion in the

construction documents.

In this phase, the architect prepares bid documents such as construction contract forms for

contract letting, invitation and instruction to bidders, forms for bidders’ proposals, general /

specific conditions of contract, etc. The Architect assists the property buyer from the early stage

of establishing a list of prospective contractors to awarding of the construction contract.

A comprehensive set of construction documents, created by the architect and their team, should

contain all the necessary details for contractors to estimate the cost to build the project as the first

process of bidding and negotiation.

Then promoting the project to the invited bidders where contractors and tradespeople are given

access to the construction paperwork during this time so they can study, ask questions, and estimate

costs. Depending on the delivery mechanism, this process might be done in a variety of ways. It

can be done online, but there are still certain paper-based distribution methods used.

The question-and-answer process for the bid, 3–4 weeks are allotted for this step, during which

time anyone wanting to estimate the cost to construct the work must review the documents.
Complete sets of the bid documents are provided for use in the bidding process, in as many sets as

necessary for successful bidding. The documents in question are offered to bids at a price covering

all direct and indirect expenses related to their creation, packing, replication, and delivery. (SPP

202 Design Services, 2022). This is closely related to the second process. Within this

predetermined period, the contractors may request explanations, product substitutes, or other

information. Additionally, it is the architect's responsibility to keep informing all the contractors

who are submitting bids for the work throughout this time.

After that is the reception of bids this is when everyone is required to submit their bid with a

specific day and time. This is a frantic race to the finish line, with bids arriving at the last minute.

The general contractor or construction manager compiles all the trade bids they receive into a

single number that is used to calculate the project's cost.

The evaluation and selection phase take place where it involves the owner, architect, and any

other involved stakeholders reviewing all bids and bid document requirements. The Architect and

the owner examine each bid when it has been received, opened, and read. A minimum of three 3

bids is often needed for an appropriate appraisal, although an owner might decide to forego the

minimum and move through with any of the submitted offers. It should be highlighted that there

is occasionally a little increase in the likelihood of cost overruns as a result. After compiling all

submitted bids, the architect creates a bid tabulation or bid tab that tabulates all bidders, their

individual bids, and any qualifying elements before recommending which offer the owner should

accept.The goal is usually to find the best value for the project; this is not always the lowest bid.

The objective of this meeting is to allow the Architect & Engineers to provide transparency to the

bidders by giving a summary of the more critical and complicated aspects of a project and

providing the proposed bidders a prospect to ask clarifying questions. The Architect records all
questions, and responses are disseminated to all proposed bidders to ensure no bid impropriety. If

the questions posed are significant enough to warrant mutations to the construction documents to

respond to, a Bid Addendum or Bid Addenda is constructed by the Architect & Engineers and

issued to all proposed bidders. It typically does not extend the bid due date but should be evaluated

on a case-by-case basis. (Importance of the Bidding & Negotiation Phase - EVstudio, 2020). This

review process also ensures that bidders meet all the specifications outlined in the request. It may

also provide time for the contractors to provide clarification on the bid number.

Ultimately this stage of the process varies depending on the delivery method and the number

of project stakeholders. The final phase is when bids are reviewed and the contractor who will

build the project is chosen. It is now common for there to be a significant amount of paperwork.

During this step, all the details and nuances of the legality of the contractual relationships are

established and the construction can start once this one is completed. Once the building documents

are completed, an announcement is often published in a local newspaper or, more likely, through

social media and other online resources. In most cases, two weeks is the minimum baseline, and

four weeks is a more realistic allowable time for the proposed bidder to obtain and review the

construction documents. (Importance of the Bidding & Negotiation Phase - EVstudio, 2020)

The Bidding and Negotiation Phase, or B&N, is the stage of any project that does the most to

maintain a balance between budget and cost. Owners may get complete and, with any chance,

reasonable bids from general contractors who will do the job by using competitive bidding.

Without a competitive bidding environment, general contractors have little to no motivation to

provide an owner with the most accurate estimate of the expenses of construction. If a bid is

received that is higher than anticipated, Architects & Engineers will also be unable to conduct a

due diligence examination of the projected expenses. Based on observations and the Contractor's
Applications for Payment, it calculates the amount owed and payable to the contractor and issues

corresponding certificates for such amounts. These Certificates will guarantee the Client that the

work has progressed to the designated stage and that the contractor's work quality complies with

the contract documents to the best of his knowledge. The Architect must conduct the required

assessment to identify the actual and final completion date and provide the contractor with the

final Certificate of Payment. (SPP 202 Design Services, 2022)

 RRFERENCES

Bidding and negotiation. Hutter Architects. (2022, August 29). Retrieved September 1, 2022, from

https://www.hutterarchitects.com/services/bidding-and-negotiation/

“Home.” Professional Regulatory Board of Architecture (16 Nov 2006 - 23 Nov 2012), 9 Oct.

2019, https://www.architectureboard.ph/.

SPP 202 design services. Philippine Architecture 101 - College and University Notes - UST UPD

FEU UE SLU CIT. (n.d.). Retrieved September 1, 2022, from

http://philarchitecturenotes.weebly.com/spp-202-design-services.html

SPP 202 Design Services. (n.d.). Philippine Architecture 101 - College and University Notes -

UST UPD FEU UE SLU CIT. http://philarchitecturenotes.weebly.com/spp-202-design-

services.html

PROFESSIONAL REGULATORY BOARD OF ARCHITECTURE RESOLUTION NO. 03 Series of 2020

POSTPONING THE JUNE 2020 LICENSURE EXAMINATION FOR ARCHITECTS AND

RESCHEDULING THEREOF. (n.d.). Retrieved September 1, 2022, from

https://www.prc.gov.ph/sites/default/files/2020-03prcARCHI_0.pdf

020: The Construction Bid Process | Life of an Architect. (2019, March 17).

Www.lifeofanarchitect.com. https://www.lifeofanarchitect.com/the-construction-bid-process/