How to do Business. with Charlotte-Mecklenburg Utilities.
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1 How to do Business with Charlotte-Mecklenburg Utilities
2 How Charlotte-Mecklenburg Utilities Purchases Products and Services 2 & 3 l About Water and Sewer Projects 4 & 5 l Notification of Bid Opportunities 6 & 7
3 Overview Because your business is important to us, we are providing this information booklet to assist your business in promoting and marketing products and services to Charlotte-Mecklenburg Utilities. Included is an overview of the bidding process, how to find project information, Small Business Compliance, and information concerning the City of Charlotte s vendor list. Advertisement to Award 8 l Evaluation for Award 9 l Bonding 10 l Bids and Bidders 11 l Small Business Opportunity Program 12
4 Products & Services The process begins by soliciting offers from prospective bidders. The solicitation is the announcement to the public of the method to be used to purchase the product or service. The dollar value, as well as the type of product or service determines the method used and the response the bidder should submit. Most Charlotte-Mecklenburg Utilities service and construction contracts are solicitated via an Invitation To Bid or Request For Proposals. Purchases of supplies and materials are procured by either a formal Invitation To Bid, or an informal Request For Quote. -2-
5 Request for Quote (RFQ) Is used when Product or service is under the formal threshold. Bidders may quote on items by telephone, fax or informal written quotations. Invitation to Bid (ITB) Is used when Product or service is over the formal threshold. A sealed bid procedure is used to procure products or services based on detailed specifications. Request for Proposal (RFP) Is used when Specifications for service and commodity purchases can not be easily described in concrete terms and/or factors other than price need to be considered. Alternate terms and conditions for project completion or service delivery may be suggested by vendors. -3-
6 Contractors interested in bidding as a Prime must purchase a set of plans and drawings (if applicable) from the administering contract office. Price of plans is project based. About Water & Sewer Projects Point of Contact Charlotte-Mecklenburg Utilities Contracts Administration (704) To Purchase Plans Charlotte-Mecklenburg Utilities 5100 Brookshire Boulevard Or the consultant, as directed in the advertisement To View Plans Local AGC Office Dodge Plan Room The consultant, as indicated in the advertisement Charlotte-Mecklenburg Utilities Metrolina Minority Contractors Association -4-
7 Charlotte-Mecklenburg Utilities awards contracts related to improvement, maintenance, and construction of the City s water and sewer main systems, water and sewer treatment plant upgrades and expansions, and related equipment purchases. Examples of the type of contracting and subcontracting opportunities used throughout Charlotte-Mecklenburg Utilities are: Contracting Opportunities Professional engineering consultation HVAC Electrical Water and sewer main construction Treatment plant construction Manhole rehabilitation Tunneling Subcontracting Opportunities Asphault laying Concrete work Grading and clearing Painting Hauling Landscaping -5-
8 Notification of Bid Opportunities Charlotte-Mecklenburg Utilities makes every effort to keep the public informed of all bid opportunities, in an attempt to solicit as much competition as possible. It is the practice of Charlotte-Mecklenburg Utilities to utilize the City s Vendor Management Sysyem (VMS), which categorizes companies based on NIGP codes, to identify potential bidders for goods and services. Additionally, solicitations may be sent to businesses that have expressed an interest in doing business with Charlotte-Mecklenburg Utilities, but are not currently registered in VMS. All interested bidders, meeting any previous experience requirements, are encouraged to participate. -6-
9 Public Advertisement Construction projects over the formal threshold - CMU s website ( The Charlotte Observer, The Charlotte Post, Carolinas AGC, FW Dodge McGraw Hill, and the Office of Small Business Development newsletter. Goods and supplies over the formal threshold - CMU s website ( The Charlotte Observer, and the NC Interactive Purchasing System website ( Architectural, Engineering and Surveying - Vendors registered in the City s vendor list are notified of propsal opportunities. The vendor list is searched, based on NIGP codes, matching the categories of goods or services solicited. All solicitations for goods, supplies, and services under the formal threshold are made via best practices established by the City of Charlotte. The City s vendor list is used to identify those companies, based on NIGP codes, matching the categories of goods and services being solicited. City s Vendor Registration To be included in the City s vendor list, you must complete and submit a vendor application. This application is available online at -7-
10 From Advertisement to Award The formal process for procurement of goods, supplies, services, and construction, follows a process, which is governed by the North Carolina General Statutes, as well as best practices established by the City of Charlotte. Advertisement placed a minimum of 30-days prior to bid opening Pre-bid or Pre-proposal Meeting, approximately 2 weeks following advertisement Bid/proposal opening Bid/proposal evaluated If rejected If accepted Contract recommended to City Council by CMU Contract awarded -8-
11 Evaluation for Award Awarded contracts become binding when a contract document has been approved by City Council, and signed by all parties. Prior to award, bids and bidders are evaluated, to ensure award is made to the responsive, responsible low bidder. Some of the criteria evaluated are: Approriate bid bond included with bid Acknowledgement of receipt of any and all addendum (if applicable) Compliance with all the specifications Absence of any mathmatical errors Previous experience requirements met, when specified Small Businness Opportunity Program requirements met -9-
12 Bonding Types of bonds required: Bid Bond (5% of bid) Performance Bond (100% of award amount on contracts over $300,000) Payment Bond (100% of award amount on contracts over $300,000) Who A prospective bidder Successful low bidder Successful low bidder Why Assures that a bidder will not withdraw the bid within the period specified for acceptance Assures that a bidder will complete the project and deliver within the terms of the contract Assures that a contractor will pay all suppliers and subcontractors used on a particular project Assures that a bidder will execute a written contract Assures that a bidder will furnish performance and payment bonds, insurance certification which may be required on the project When Submitted with the bid Submitted to the owner with signed agreement Submitted to the owner with signed agreement -10-
13 Responsive Bids and Point of Contact A responsive bid: Responsible Bidders A responsible bidder: Is submitted on time Is prepared according to specifications and instructions Is submitted with a bid bond or security deposit Has the skill, judgement and integrity necessary to faithfully perform the contract Has sufficient financial resources and ability Includes acknowledgement of each addenda -11-
14 City of Charlotte Small Business Opportunity Program On August 27, 2002, the North Carolina General Assembly authorized the City of Charlotte to establish a race and gender neutral small business enterprise program to promote the development of small businesses in the Charlotte Metropolitan Statistical Area (MSA). The bill authorized the City to establish bid and proposal specifications that include goals and good faith efforts requirements to enhance participation by small businesses in City contracts. This program applies to all aspects of the City s contracting and procurement programs, and seeks to enhance competition in City contracting and promote economic growth and development in the Charlotte MSA by increasing small business enterprise utilization in City contracting promoting exisiting small business growth and profitability in the Charlotte MSA promoting small business start-up and development in the Charlotte MSA For more information on the Small Business Opportunity Program, and the certification process, visit
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16 Charlotte-Mecklenburg Utilities 5100 Brookshire Boulevard Charlotte, NC (704)
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