• Step #1 - Preparing the Documents
• Step #2 - Preparing the Bids
• Step #3 - Submitting the Bids
• Step #4 - Forwarding the Bids to Prime Contractors
• Step #5 - Bid Depository Administration
• Step #6 - Prime Contractor's Bid Closing
• Step #7 - Award of the Contract

Note: The steps listed below are subject to the time frames and specific Bid Depository Rules of procedure in accordance with the jurisdiction of the Bid Depository being used.

Step #1 - Preparing the Documents

The Owner/Tender Calling Authority sets a closing date and time for the project. The Bid Depository will advise the Owner/Tender Calling Authority if there are other closings booked so as to maximize bid coverage. The number of closings on a specific day may be limited. Project Documents (Invitation to Bid, Instruction to Bidders and Bid Form) list the trade sections/divisions (or scope of work definitions of trades) closing through Bid Depository, Closing locations, time of closing and date of closing (usually 2 days before Prime Contractor's tender closing).

Step #2 - Preparing the Bids

Prime Contractors confirm with the Bid Depository their intention to tender by a certain number of days prior to Bid Depository closing. Trade contractors obtain the list of confirmed Prime Contractors from the Bid Depository and prepare bids for those to whom they wish to submit a bid. Bids are prepared based on the sections/divisions of the project specifications along with standard exclusions (or scope of work definitions of trades) being bid. Trade contractors wishing to participate in the Bid Depository closing purchase tender envelopes from the Bid Depository (income from envelope sales operates the Bid Depository). Trade contractors wishing to bid through the Bid Depository DO NOT have to be members of a construction association.

Step #3 - Submitting the Bids

Trade contractors submit their bids (using a standard Bid Form) to the Bid Depository; one bid in each of two separate coloured envelopes for each Prime Contractor to whom they are bidding. Bids must include all related separate, alternate or unit prices. If bonds are required, a Bid Bond and/or Agreement to Bond is submitted with the bid. If the bid amount is below a prescribed threshold for bonding then a separate notice that bonding is not required is usually submitted with the bid.

Step #4 - Forwarding the Bids to Prime Contractors

The Bid Depository collects and sorts the appropriate coloured envelope and forwards them to the Prime Contractors, along with a list of which Trade contractors bid. The actual bid envelopes are not opened by the Bid Depository staff. A "who bid to who" list is then prepared by the Bid Depository and forwarded to the Owner/Tender Calling Authority.

Step #5 - Bid Depository Administration

The Bid Depository deals with any irregular bids, withdrawn bids, bonding irregularities or complaints if there are any. The "who bid to who" list is updated for any changes and forwarded to the Owner/Tender Calling Authority.

Step #6 - Prime Contractor's Bid Closing

The Prime Contractors' bidding closes. The Owner/Tender Calling Authority ensures that all bids include one selected Bid Depository Trade contractor price for each section or division (or scope of work definitions of trades) required to close through Bid Depository. If the Bid Depository is informed of any Bid Depository irregularities or is requested to review the list of named Trade contractors of the Prime Contractor, they will conduct an investigation and provide a ruling or opinion.

Step #7 - Award of the Contract

After the Owner/Tender Calling Authority awards the contract to the successful Prime Contractor, the Prime Contractor enters in contracts (using standard industry contracts or as mutually agreed) with the Bid Depository Trade contractors they have named on their bid form. After contract award Bid Depository bidders may request to view the bids from their competitors. Should any scope of work issues arise after award of the contract, the Bid Depository will provide an opinion.

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