Federal Construction Contracting Made Easy

Stan Uhlig

• Publisher: Berrett-Koehler Publishers
• Year: 2012
• ISBN:
  9781567263725
• Edition: 1
• Topic: Business
• Subtopic: Bookkeeping & Budgets
• Index: Business

Follow the Path to Success in Federal Construction Contracting
Opportunities abound in federal government construction contracting, but the devil is in the details. Companies performing work for the federal government must plan and operate based on very specific guidelines and regulations. Knowing how to work within those strict parameters makes the difference between success and failure.
Federal Construction Contracting Made Easy is your road map to successfully identifying, planning, and completing government construction projects. This book guides you in finding opportunities, preparing winning proposals, and staying in compliance on construction projects. It is the one resource you will need to work in this competitive arena. The book provides guidance on:
• Understanding the Federal Acquisition Regulation and knowing when and how to use it for your benefit and protection
• Preparing quality control and safety programs that comply with federal regulations and processes
• Determining when a change order is required and how to price and properly process
• Identifying a claim and knowing how to process it
Federal Construction Contracting Made Easy is an invaluable resource for construction firms, architect/engineer firms, subcontractors, and vendors that want to do business with the federal government.
Plus! A handy glossary of terms is included.
Bonus: Federal Construction Contracting Made Easy: A Field Guide to the FAR is available as a supplement for project superintendents.

1
Finding and Understanding the Solicitation

• 

  Finding Federal Projects to Bid On
  • 

    Using FedBizOpps
  • 

    Data Universal Numbering System (DUNS)
  • 

    Central Contractor Registration (CCR)
• 

  Understanding the Solicitation
  • 

    Basic Statutory and Regulatory Provisions
  • 

    Acquisition Methods
  • 

    Parts of a Solicitation
  • 

    Amendments
  • 

    Submitting Questions
  • 

    Online Representations and Certifications (ORCA)

The objectives of this chapter are to determine what types of federal projects there are to bid on and to learn how to use FedBizOpps to search for projects, how to read and understand the solicitation and acquisition methods, how to find the pertinent information on the Standard Form (SF) 1442, how to register with the federal government to be able to bid on a project, and how to complete the online representations and certifications. This chapter will walk you through all of these processes. After reading the chapter, you should be able to find projects, understand the solicitation and where to find any information you will need from it, and be able to register with the federal government to perform work with it.

FINDING FEDERAL PROJECTS TO BID ON

The federal government uses three different methods of construction contracting. For very minor works, such as repairing a boiler, that are less than $2,500 in cost, the government has the option of purchasing the service using the federal government VISA credit card. Not all government personnel have this card, but many at each site do. For construction over $2,500 but less than $25,000, the local contracting office may let out the contract. Federal government construction projects having an estimated value of over $25,000 are posted on the official federal government website, www.fbo.gov.

• 

  Using the federal government VISA credit card—This method allows local federal government users to get items repaired and maintained in an expeditious manner. The requirements to follow FAR regulations are minimized, so there is very little paperwork involved. It is as simple as giving a written quote, agreeing with the user on the work and price, and then running the card through your credit card machine. You will need to have your system set up to accept the VISA card, but that can normally be done very quickly. You must get to know the personnel at each base who have access to the VISA card and develop a close relationship with them to get work from them. You can obtain this information from the local base or regional contracting office. The advantage is that they all have an operations and maintenance fund and there is always a need to get work done quickly. The profit margins are normally very good.
• 

  Federal projects up to $25,000—Federal government construction projects that are estimated to be more than $2,500 but less than $25,000 are normally contracted by the local contracting office. Again, the strict FAR requirements are relaxed somewhat to allow time frames to be compressed, and firms are invited to bid based on a local bidders list without the work having to be advertised. Although there is still competition for the contract, the margins again can be quite high. Your firm should make it a point to meet with the local contracting office to get on the bidders list. Each contracting office has a website where you can find the name of the right person to talk to. Typically, there is a large operations and maintenance fund available for each department, and the contracting office is responsible for letting the contracts.
• 

  Federal projects over $25,000—Nearly all federal government projects over $25,000 that are to go out for bid must be advertised on the FedBizOpps website. Every federal agency other than NASA lists its projects on this website. It is imperative that any contractor, subcontractor, vendor, or architect/engineer firm register to use this website and register with the federal government through this website to do business with it. A firm can look up opportunities and view plan holders’ lists without fully registering, but to view the full solicitation, plans, request for proposal (RFP), etc., the firm must be registered in the Central Contractor Registration (CCR) database. Registering in CCR can take up to a week if you don’t already have a Data Universal Numbering System (DUNS) number but only a day or two if you do.

Using FedBizOpps

Using FedBizOpps (www.fbo.gov) is the primary method of finding construction projects to bid on. Other types of solicitations, such as architect/engineer services and construction management services, are also listed on this official government website. Anyone can use the website by setting up a username and password in the “Vendors” area on the home page. Doing so will allow you to view the solicitations listed, as well as the plan holders’ list, but it will not allow you to view all the solicitation documents. You must be fully registered through the CCR process to be able to access those documents.

Data Universal Numbering System (DUNS)

The first step in getting CCR registered is to acquire a DUNS number. You will have to request this number through the Dun & Bradstreet website at http://fedgov.dnb.com/webform. The form is not very difficult to complete, but you must use the same business name shown on your latest tax return or the same Taxpayer Identification Number (TIN) assigned by the IRS. This is important because if there is a difference, CCR will kick back the registration and the process will have to be redone by Dun & Bradstreet. The DUNS number you receive is a location-specific designator, so if you want to register more than one location, you will have to get a DUNS number for each one. Once you have completed the form, it will take one to two business days to receive your DUNS number.

Central Contractor Registration (CCR)

Now that you have your DUNS number, you can start the CCR process. Like the DUNS number, CCR is a location-specific registration, so you must use the location corresponding to the DUNS number. Some of the information you will be asked to provide is mandatory and some is optional. If you are a sole proprietorship, your TIN is either your Employer Identification Number (EIN) or your Social Security Number (SSN). If you need an EIN, you should get one from the IRS before proceeding any further because the CCR process requires that your EIN be active and it can take the IRS two to five weeks to activate a newly issued EIN. CCR will forward the name and TIN to the IRS to confirm that both match their records. The other information you will need to enter into CCR is statistical, such as location information, worldwide organization, North American Industrial Classification System (NAICS) codes, and electronic funds transfer (EFT) information.

The worldwide organization information will be submitted to the Small Business Administration (SBA) to determine the official size of your business. The information for receipts will be for the last three years because the business size is determined using a three-year average.

The North American Industrial Classification System (NAICS) is the standard used by federal statistical agencies in classifying business establishments for the purpose of collecting, analyzing, and publishing statistical data related to the U.S. business economy. You will have to determine which NAICS codes your business corresponds to and enter them into the CCR. Choose as many as you see fit. You should choose quite a number of these because to bid on a project, you will need to have a NAICS code that matches the one(s) listed in the solicitation. The CCR website will direct you to a Census Bureau website that provides a definition for each NAICS code.

CCR also requires that you include your EFT information, which the government will use to pay invoices. This method has proven to be effective, and the required information is easy to enter. The EFT greatly speeds the payment process.

Now that you are CCR registered, you will need to set up a registration in FedBizOpps so that you can search for solicitations and view the attached documents. This is a simple process that requires you to set up a user name and password. The website has a user guide and a video demonstration that will walk you through the process. The site has many handy features to help you limit the time required to search for solicitations. Using the “Opportunities” navigation, you can use the “search” and “advanced search” modes, which will limit the solicitations to only those you are interested in.

I have found that the easiest and quickest way to find projects I’m interested in is to set up my search by using the “advanced search” tab and putting in the states and NAICS codes that match what I’m looking for.

You can use the “Watch List” to list solicitations that you want to follow. You will receive a daily e-mail that outlines any changes affecting a notice on your Watch List target list. You can also set up search agents based on selected detailed search elements. The search agents can be set up on an ad hoc or scheduled basis, allowing you to receive solicitations that align with your designated search criteria. These search tools will help you to target specific types of solicitations and make better use of your time.

UNDERSTANDING THE SOLICITATION

The solicitation is the process by which the federal government advertise...