Should Disappointed Bidder Be Allowed to Recover its Bid Preparation Costs?
In Pennsylvania, a general rule of public bidding is that a disappointed bidder cannot recover lost profits or other costs for the reason that the bidding laws are for the benefit of the taxpayers and not the bidders themselves. But what of the disappointed bidder, whose bid is wrongfully rejected but where injunctive relief is […]
Public Bidding 101: Bid Mistakes and Bid Withdrawals
This post is one in a continuing series on the basic tenets of public bidding in Pennsylvania. The subject of today’s post is bid mistakes and withdrawal of bids. I am often asked whether a bidder can withdraw its bid due to a mistake in price. The answer is not so simple. Typically, public bids are binding on […]
$500K Settlement for Ohio Contractor in DBE Case on Cleveland Airport Project
Federal prosecutors in Ohio recently announced that an Ohio contractor has agreed to pay the U.S. Justice Department $500,000 to settle complaints that the contractor improperly claimed credit for minority contractors on a $130 million runway expansion at Cleveland Hopkins International Airport. Federal prosecutors accused the contractor of submitting false claims that made it appear that […]
What is the PA Unified Certification Program?
The Pennsylvania Unified Certification Program (PA UCP) was created as a result of a change in the Disadvantaged Business Enterprise (DBE) regulations issued by the U.S. Department of Transportation, and is designed to provide “one-stop shopping” for firms seeking certification as a DBE in accordance with 49 CFR Part 26 and as an Airport Concession DBE (ACDBE) […]
Philadelphia Revokes Certification Of MBE Supply Firm; Second Action In 12 Months
In January, the City of Philadelphia’s Office of Economic Opportunity revoked the 25-year-old certification of a minority-owned supply firm and announced that it would seek to bar another contractor from receiving City contracts for three years. The OEO’s action was reported in The Philadelphia Inquirer. The OEO’s revocation was the second time in 12 months that the […]
Renegotiation Of Prices For Contract Extension Held Unlawful; Competitive Bidding Required
Recently, in Hanisco v. Township of Warminster, the Commonwealth Court ruled that Warminster Township improperly negotiated new pricing for an extension of a waste services contract. The Court held that the township should have let the new contract by competitive bidding. While the general rule is that a municipality may extend and renew public contracts without the need […]
Should The Prevailing Wage Act Be Amended?
The Pa. Prevailing Wage Act mandates the payment of specified wages for publicly-funded public works contracts of $25,000 or more. The wages are typically tied to the wages established by area collective bargaining agreements. Currently, there are a number of proposed amendments to the Act which would alter application of the Act to different public contracts. House […]
PENNVEST Announces $115 Million In Water And Wastewater Projects
On April 25, 2012, the Pennsylvania Infrastructure Investment Authority (PENNVEST) announced the investment of $115 million in 28 non-point source, drinking water, and wastewater projects in 17 counties. In the PENNVEST press release, Governor Tom Gorbett is quoted: “These projects will significantly contribute to improved waterways, including the Chesapeake Bay, and will also create hundreds of new […]
Public Bidding 101: Responsiveness
This post is one in a continuing series on the basics of public bidding in Pennsylvania. The topic of this post is “responsiveness.” The term “responsiveness” refers to whether a bid is compliant with the requirements specified in the invitation to bid. For a public bid to be accepted, it must be “responsive” to the bidding […]
Christopher I. McCabe, Esq.
