Bidding and Awarding a Public Works Contract
This page provides a general overview of the public works bidding and award procedures for local governments in Washington State, including pre-bid meetings, sealed bid receipt, public bid opening, responsive bids, mandatory and supplemental responsible bidder criteria, notices of award, and bid protests.
It is part of MRSC’s series on Public Works Contracts.
New legislation:
- Effective July 27, 2025, HB 1633 modifies the requirements for bidders to submit lists of licensed subcontractors for HVAC, plumbing, or electrical work on public works projects with an estimated cost of $1 million for more.
- Effective July 1, 2026:
- Effective July 1, 2027, HB 1549 modifies the mandatory bidder responsibility criteria regarding prevailing wage training.
For more information, see our blog post 2025 Legislative Session Outcomes for Procurement. We will also update this webpage once the new legislation has taken effect.
Overview
RCW 39.04.010 requires local agencies to award public works contracts to a responsible bidder submitting the lowest responsive bid. "Responsiveness" and "responsibility" are two separate concepts that are determined independently. Agencies may not negotiate with any of the bidders.
In addition, many agency statutes require the submission of sealed bids for public works contracts, with the bids opened and read aloud at a public bid opening. Sealed bidding is designed to maintain confidentiality and security and prevent external influence ("bid tampering") during the bid acceptance process. This is generally required for larger contracts but might not be required for smaller contracts or informal procurement processes. Always consult your agency's statutes and procurement policies.
Some submissions may involve errors, omissions, or other irregularities, and agencies must decide how to handle them.
Pre-Bid Meetings & Site Visits
Public agencies often hold a pre-bid meeting for interested contractors (sometimes called a pre-bid conference) shortly after advertising a public works project.
A pre-bid meeting allows the public agency (owner) to brief prospective bidders on the project scope, needs, challenges, and submittal requirements, as well as to answer questions. This can help contractors prepare more accurate bids and reduce errors or misunderstandings.
Site visits – which can be combined with the pre-bid meeting or held separately – can also be used to help contractors better understand the physical nature of the project.
Mandatory Pre-Bid Meetings
For particularly unique or complex projects, some agencies require contractors to attend the pre-bid meeting and/or site visit in order to submit a bid. While MRSC generally cautions against such mandatory pre-bid meetings, ultimately the decision is up to each agency in consultation with its legal counsel.
There is no state law specifically allowing or prohibiting mandatory pre-bid meetings. Some argue that mandatory pre-bid meetings are an impermissible method of restricting competition through a pre-qualification process. Others suggest that there is nothing specifically prohibiting the use of mandatory pre-bid meetings, but that they should be used carefully.
The potential advantages of a mandatory pre-bid meeting include:
- All bidders will receive the same information first-hand and will be more familiar with the project and submittal requirements. This can lead to better and more complete bids and potentially reduce change orders or disputes during the project.
- A mandatory pre-bid conference can help screen out casual or unqualified bidders.
On the other hand, there are also some possible disadvantages:
- Agencies might lose out on good bidders who are unable to attend the meeting, shrinking the pool of bidders and reducing competition.
- Making something mandatory in the bid process adds another requirement for contractors and agency staff to manage (such as tracking attendance).
- It is unclear what the outcome of a bid protest might be if a contractor is denied the opportunity to submit a bid because they were unable to attend a mandatory pre-bid meeting.
Consult your agency's legal counsel about your specific requirements.
Practice Tips: For pre-bid meetings:
- Schedule the meeting(s) and/or site visit(s) when you think it will be most convenient for bidders. Make sure there is enough time between the pre-bid meeting and the bid submittal deadline for bidders to incorporate any new information into their bids and for your agency to issue any addenda (if necessary) in response to questions raised at the meeting.
- Make sure the bid advertisement clearly states the meeting time and place, as well as whether the meeting is mandatory or optional. If your agency wishes to encourage attendance without making it mandatory, consider providing multiple time/date options and "strongly encouraging" attendance.
- Provide a written agenda to the attendees. The agenda should include language that verbal comments made at the meeting will not change the bid documents, and that only properly issued addenda will change the bid documents. State this verbally at the meeting, too.
- Describe the project background and technical scope of work. Make sure to include any unusual details such as restricted site access or use of the site by others.
- Provide an overview of the mandatory and (if applicable) supplemental bidder responsibility criteria, as well as any administrative details that might be unfamiliar such as plan holders registration.
- Remind bidders of the deadline for them to submit questions about the bid documents as well as the place, format, and deadline to submit bids.
- Remind bidders that their bid price must include all project costs, including (but not limited to) bonds, insurance, prevailing wages, overhead, profit, etc.
- Ask bidders if they have any questions.
For Mandatory Pre-Bid Meetings:
- Require that a person knowledgeable about the technical aspects of the project attend.
- Consider providing multiple time/date options – possibly including at least one time in the evening or outside normal work hours – to accommodate scheduling conflicts and increase the likelihood that contractors can attend.
- Maintain sign-in sheets to track attendance. To ensure contractors attend the entire meeting, consider requiring them to sign in when they arrive and sign out when they leave. Establish standards for how late is too late to arrive and how early is too early to leave.
Sealed Bid Receipt
These sealed bid receipt instructions apply primarily to traditional "hard copy" bid submissions. If an agency is using an electronic bidding platform, the time/date stamp and other elements of the bid receipt process will generally be automated.
When a public agency receives a bid, the agency should time- and date-stamp the envelope to document when it was received. The agency should designate an official clock that displays the time in minutes and seconds, since it is common for bidders to submit bids at the last minute after they have finished getting updated prices from their subcontractors and suppliers.
Staff receiving bids should make sure that the envelope is sealed and, if not, should instruct the bidder to seal the envelope. Staff should also review the face of the bid envelope to make sure it includes the key information required in the bid documents, such as the bidder name and project name/number.
To prevent bids from accidentally being opened early, it is helpful to provide training to reception and mail room staff to make sure they understand not to open any mail that is indicated as including a bid.
All bids that are submitted for a particular project should be stored in a single, secure location that is not accessible to bidders or the public. Received bids should not be left unattended in an unsecured location.
If an agency has multiple solicitations ongoing at the same time, the bids for each project should be kept separate to prevent mistakes.
Practice Tips: The agency should post signs clearly indicating where bids are required to be submitted. To avoid potential confusion, the agency should not post signs to the bid opening room before the bid submittal deadline.
The agency should also post a sign indicating which clock is official. The best practice is to use an electronic atomic time clock, which automatically syncs to the current date and time. If the agency is not using an electronic atomic time clock, staff should verify on the bid submittal day that the time on the official time clock is accurate and matches the official U.S. government time (time.gov).
Make sure that someone knowledgeable about the bid receipt procedures is at the bid receipt counter continuously starting at least one hour before the bid submittal deadline.
Late Bids
If a bidder attempts to deliver a bid after the bid submission deadline, the agency should not accept the bid. The agency should receive the bid only to time-stamp the envelope and make a photocopy of the outside of the envelope showing the time-stamp. The agency should keep the photocopy for documentation purposes and immediately return the unopened envelope to the bidder. The bid should not be opened or read.
Practice Tip: If the bidder refuses to accept the bid back, staff should verbally tell the bidder that the bid is non-responsive and will not be opened or read. The unopened envelope should then be returned immediately to the bidder by certified mail, return receipt requested, along with a letter explaining that the bid was received after the deadline. If a contractor claims extenuating circumstances, refer them to your agency’s attorney.
Public Bid Opening
All bids for a particular project must be opened at the time and place specified in the bidding documents, and in accordance with any applicable state laws or local policies. The bids may be opened in any order determined by the agency – for instance, they may be opened in the order they were received, in alphabetical order, or randomly.
Agency staff should read the bids out loud and record the prices on a bid tabulation form. After bids have been opened and read, the agency should go through a methodical bid evaluation process to determine if each item and number presented on the bid is clear, whether each bid is responsive, and whether the lowest bidder is a responsible bidder.
The agency should keep careful track of all bids after they are opened to avoid losing any of the bids and invalidating the bidding process.
Practice Tip: It is helpful to have a pre-determined script for agency staff to follow when reading bids aloud. For each bid, the staff member should state the following information:
- The bidder’s business name,
- Whether a sufficient bid guarantee has been included with the bid,
- Whether all addenda (if applicable) have been acknowledged, and
- The dollar amount of the bid, including the base bid as well as any additives or alternates.
The person reading the bids should publicly read and disclose all information present or not present without making any judgments about whether the bid is responsive or non-responsive. If a potential irregularity or deficiency is observed, the bid reader should disclose such information and state that all bids will be evaluated after bid opening to determine whether each bid is responsive.
Responsive Bids
Responsive bids are bids that are submitted on time with all of the information the agency requested. Typically, bidders must provide the following information at the time of bidding:
- Sealed bids, with the name of the project and the time and date of the bid opening clearly stated on the outside of the bid packet
- Bid guarantee in the form of a bid bond, cashier’s check, certified check, or personal money order
- Lump sums, unit prices, and total prices in the spaces provided on all of the bid forms, including all appropriate sales taxes
- Receipt of addenda acknowledged
- Acknowledgment of attendance at mandatory pre-bid meeting, if so required by the agency (agency to verify). (Deciding to require a mandatory pre-bid meeting should be evaluated for each project based on the particular circumstances of the project. Such process should then be managed very carefully.)
- Non-collusion affidavit certificate
- Mandatory bidder responsibility questionnaire with all items filled in
While it is possible to do a brief check when the bids are first opened, the agency must reserve the right to ascertain full compliance with the bid proposal requirements after a more detailed review.
Additional items may be required at or shortly after bid opening:
- If supplemental bidder responsibility criteria are required: A separate questionnaire must be filled out and submitted after bid opening, as discussed later on this page.
- For projects with an estimated cost of $1 million or more (RCW 39.30.060): By the bid submittal deadline, each bidder must submit a list of all licensed subcontractors for HVAC, plumbing, or electrical work—including proof of license—that the bidder will contract with. Any errors that the public agency identifies in the proof of licensing information must be corrected by the bidder within 48 hours of submittal. In addition, within 48 hours after the bid submittal deadline, the bidder must submit a list of all subcontractors for structural steel installation and rebar installation. If the bidder does not plan to use subcontractors, it must name itself for the covered work (as long as the bidder is properly licensed).
Mandatory Bidder Responsibility Criteria
Responsible bidders, as defined in RCW 39.04.010 and 39.04.350, must meet a number of mandatory criteria. The bidder must:
- Be a registered contractor and – for plumbing, elevator, and electrical contractors – have a valid license
- Have a current Unified Business Identifier (UBI) number
- Have industrial insurance/workers’ comp coverage, which means they normally cannot be sued for damages if a work-related injury or illness occurs. For more details, see L&I's publication Employers’ Guide to Workers’ Compensation Insurance in Washington State.
- Have an Employment Security Department (ESD) account
- Have a state excise tax registration number
- Not be disqualified from bidding under RCW 39.06.010 or 39.12.065(3)
- Not have any apprenticeship violations, if applicable
- Certify through a sworn statement or an unsworn declaration under penalty of perjury that they are not a willful violator of labor laws in reference to RCW 49.48.082 within the past three years. MRSC has developed a model statement (.docx) to satisfy this requirement.
- Have received training, provided by the Department of Labor and Industries or by a provider whose curriculum has been approved by L&I, on the requirements related to public works and prevailing wages. However, bidders that have completed three or more public works projects and maintained a valid business license in Washington for at least three years are exempt from this requirement. For more information as well as training opportunities for businesses, see L&I's webpage on Contractor Training.
Verifying Mandatory Responsible Bidder Status
The certification that the bidder has not violated labor laws in the last three years is the only criteria that may be satisfied by a sworn statement.
All other criteria must be verified by the agency, except for the ESD number which cannot be verified online and must be provided by the bidder. However, public agencies may ask bidders to submit a Bidder Information sheet to help verify these criteria.
State agencies provide several resources to verify the status of a contractor:
- Verify a Contractor, Tradesperson or Business provides information about every registered contractor, including the UBI number, status of the industrial insurance/workers’ comp account, and contractor training status.
- Debarred Contractors List provides a list of contractors disqualified from bidding. Print out the search results and keep them in the project file.
- The Department of Revenue Business Lookup Tool allows you to search for business licenses and tax accounts.
- Employment Security Department regulations do not allow online verification of a contractor’s ESD account. To verify the account, agencies may request a Bid Letter or require the contractor to file the account number with the agency as part of a bid submittal or small works roster application.
Also see the Mandatory Bidder Responsibility Checklist, originally developed by Mike Purdy for CPARB and updated in 2021 by MRSC, which can be used to document whether a bidder meets the mandatory responsible bidder criteria.
Supplemental Bidder Responsibility Criteria
In addition to the mandatory bidder responsibility criteria, RCW 39.04.350(3) allows agencies to adopt relevant "supplemental" bidder responsibility criteria for individual projects.
Many local agencies have developed supplemental criteria on two levels:
- A basic level that may include such things as no delinquent state taxes, no federal debarment, minimal prevailing wages violations, no excessive claims against retainage and bonds, no public bidding violations, no termination for cause or default, and no unwarranted lawsuits with respect to public contracting.
- A secondary level whose criteria relate to the nature of a specific project. For example, an agency might require that a contractor must have completed three projects of a similar scope and dollar volume within the past five years.
The Capital Projects Advisory Review Board (CPARB) has developed Bidder Responsibility Guidelines that includes guidance on developing supplemental criteria. To view the most recent version, see CPARB's Background and Reference page and click on "Bidder Responsibility Guidelines."
Any supplemental bidder responsibility criteria and associated evaluation methods must be provided in the invitation to bid or bidding documents. A prospective bidder may request, in a timely manner before the bid submittal deadline, that the agency modify the supplemental criteria. The agency must evaluate the request, and if the agency agrees to change the criteria it must issue an addendum.
The bidding documents should specify the deadline for the apparent low bidder to submit evidence of supplemental bidder responsibility and should reserve the right to request such documentation from other bidders (such as the next-lowest bidder) as well. The CPARB guidance suggests that evidence of supplemental bidder responsibility should be submitted within 48 hours after the bid submittal deadline. However, CPARB notes that the deadline can be adjusted by the agency if needed, either adopting one standard for all projects or changing it on a project-by-project basis.
Practice Tip: Requiring supplemental bidder responsibility criteria can possibly limit the number of bidders (potentially increasing the price of the bids) and can impact whether the low bidder is eligible to be awarded a contract. Make sure any supplemental bidder responsibility criteria are relevant for the project and type of work.
Responsible Subcontractor Criteria
RCW 39.06.020 requires a public works contractor to verify responsibility criteria for each first tier subcontractor, and a subcontractor of any tier that hires other subcontractors must verify responsibility criteria for each of its subcontractors. Verification is to include that, at the time of subcontract execution, each subcontractor meets the responsibility criteria listed above and in RCW 39.04.350(1) and additionally - if applicable - possesses an electrical contractor license, elevator contractor license, or plumbing contractor license.
This verification requirement, as well as the responsibility criteria, must be included in every public works contract and subcontract of every tier. However, agencies are not required to independently verify subcontractor responsibility or keep subcontractor records.
Notice of Award and Notice to Proceed
After all the bids are opened, the agency should identify the apparent low bidder for the record, but note that agency staff will review the bids submittals for completeness and numerical accuracy. Once this review is completed, generally within a maximum of 30-45 days, agency staff will recommend award of the contract to a responsible bidder with the lowest responsive bid. The agency must allow adequate time for bidders to submit written bid protests, as described below, before awarding the contract.
Upon approval by the agency’s governing body or designated staff person, a Notice of Award is sent to the contractor, which requires them to submit the following, typically within 10 or 20 business days after the date of the Notice:
- Signed contract
- Performance and payment bonds
- Certificate(s) of insurance
Before signing the contract, the local government should review and approve the contractor's performance and payment bonds, review and approve the contactor's insurance documentation, and obtain written authorization from the contractor noting how the contractor wants retainage to be handled.
Once it is time to sign the contract, the contractor should always sign the contract first. After the contractor has signed, the local government should review the contract to ensure that the contractor has not made any changes.
Practice Tip: MRSC recommends that local governments not sign a contract provided by a contractor unless it has been reviewed by the agency’s legal counsel for compliance with state and local laws. Similarly, if a hired designer or consultant provides you with a contract to use, we recommend you have it reviewed by your legal counsel before use.
After the contract has been signed by both parties, the agency will issue a Notice to Proceed, usually transmitting the signed contract and stating the official time of completion of the contract based on the contract documents. Many agencies also remind the contractor that prior to any payment under the contract, the contractor must provide an approved statement of intent to pay prevailing wages from the contractor and any subcontractors that work in any given pay period.
Awarding to the Second-Lowest Bidder
Certain local governments, if authorized by statute, may award public works contracts to the second-lowest responsible bidder submitting a responsive bid if both of the following conditions are met:
- The legislative body (city council, board of commissioners, etc.) issues a written finding that the lowest responsible bidder has delivered a project to the agency within the last three years which was late, over budget, or did not meet specifications, and the legislative body does not find in writing that the bidder has shown how they would improve their performance to be likely to meet project specifications; AND
- The second-lowest responsible bidder submitted a bid within 5% of the lowest bid and meets the same criteria as the lowest bidder.
For the agency-specific statutes, see:
- RCW 35.23.352(2) for second class cities, towns, and (via RCW 35A.40.200) code cities
- RCW 35.22.620(12) for first class cities
- RCW 52.14.110(3) for fire protection districts
- RCW 54.04.070(8) for public utility districts (PUDs)
- RCW 57.08.050(8) for water-sewer districts
Any second class city, code city, or town that awards a contract to the second-lowest responsible bidder under those criteria must make an annual report to the state Department of Commerce including the total number of bids awarded to certified minority or women contractors and describing how notice was provided to potential certified minority or women contractors. See RCW 35.23.352(14).
It does not appear that this reporting requirement applies to any of the other local government types listed above.
Bid Protests
Agencies should anticipate bid protests and have procedures in place for handling them. For all competitively bid projects, the awarding agency, within two business days of the bid opening, must provide copies of the bids it received if requested by a bidder (RCW 39.04.105).
The agency may not award the contract during this two-day window, and if bid copies are requested by a bidder, the agency must wait at least two full business days after providing copies before awarding the contract. (A “business day” does not include intermediate Saturdays, Sundays, or legal holidays.)
If a written protest is submitted within (a) two full business days following the bid opening, or (b) two full business days following when the municipality provided copies of the bids to those bidders requesting them, the agency may not execute a contract for the project with anyone other than the protesting bidder without first providing at least two full business days’ written notice of its intent to execute a contract for the project.
Practice Tip: To implement the statutory bid protest requirement, an agency may wish to consider a policy similar to this:
- Only bidders that submitted a bid, subcontractors, or others that can show substantial economic interest in the bid award and who are aggrieved, are eligible to protest. After bid opening, protests are limited to issues related to bid opening, evaluation of bids, and intention to award decisions, and are further limited to those items that were not known or could not have been reasonably known prior to bid opening.
- Within 2 full business days (the equivalent of 16 business hours) after the advertised date and time of bid opening, as amended (Saturday, Sunday, and legal holidays excluded), any party planning to protest must file written notice of such intention with the official named in the bid document for that purpose. If no notice is received by that official within the 2 business days, all eligible protesters will be considered to have waived their right to protest. Notice of intention must stipulate (1) name, address, and phone number of the aggrieved person; (2) the bid number and title for under which the protest is submitted; (3) the grounds for protest.
- After the two business days have passed from bid opening date/time, the agency will proceed as follows.
- If a notice of intent to protest was filed with the City during the 2 days following bid opening, the City may, in the City’s determination, suspend the award decision to allow consideration of the protest before award is made; or declare its intent to award and wait a minimum of 16 business hours (2 business days as defined above) before entering into a contract. Written notice of intent to execute a contract shall be met by either one of the following methods:
- Public posting by the City with a named intent to award indicated on the posted tabulation, made public or accessible to the public by telephone and/or posting on the City internet location designated for bid results; or
- A City Council memorandum request to authorize award to the apparent successful bidder. The first memorandum request that is submitted to Council for work session consideration shall be considered notice of intention to award.
Proof of Insurance
Every agency must require proof of insurance coverage from all contractors and subcontractors via endorsements naming the agency as additionally insured on those policies for all projects, regardless of dollar size. Each agency should review potential risks for each project with its risk manager and/or insurance carrier.
If your agency does not have standard insurance requirements, you may use Section 1-07.18 of the Local Agency General Special Provisions (GSPs) regarding Public Liability and Property Damage Insurance. There are several other GSPs regarding insurance that an agency may want to consider using depending on the size and complexity of the project.
Examples of Public Works Bid Documents
Below are selected examples of public works bidding and award documents.
Templates and Supplemental Bidder Responsibility Criteria
Note that these may not reflect the new bidder responsibility criteria and requirements that took effect between 2017 and 2019, as described above. We are in the process of seeking more recent documents that comply with the new legislation.
- Kitsap Transit Supplemental Bidder Responsibility Criteria (2019) – Addresses bidding crimes and termination for cause or default
- Olympia Supplemental Bidder Responsibility Criteria (2015) – Addresses topics such as bidding crimes, claims against retainage/bonds, lawsuits, and termination for cause/default, as well as completion of similar projects. Includes sample notification letters to bidders that have been determined not to meet the responsibility criteria
- Port of Bellingham Bidder's Checklist (2019) – Indicates which forms must be submitted (1) as part of the bid proposal package, (2) within 5 calendar days after the notice of award, and (3) prior to the notice to proceed.
- Port of Shelton Invitation to Bid Template
Asbestos/Hazardous Materials Abatement
- Arlington Asbestos Abatement Request for Bids (2022) – Removing asbestos from two city-owned buildings that will be demolished. Contract is only for asbestos abatement prior to demolition; includes sample small public works roster agreement under $50,000, asbestos testing results, and other supporting documents.
- Sultan Asbestos Abatement Invitation to Bid (2024) – Removing asbestos from city-owned residential building. Includes asbestos testing results.
Building Demolition
- Federal Way Building Demolition Request for Bids (2023) – Demolishing former downtown Target building now owned by city, including decommissioning utilities. Includes standard public works contract and other supporting documents, special provisions to standard specifications, permit requirements, and drawings.
- Lakewood Nuisance Abatement and Building Demolition Invitation to Bid (2022) – Removing or repairing dangerous buildings and other nuisance conditions associated with mobile home park, including demolition of certain units. Includes bid proposal form, bidder’s checklist, property map, and asbestos report.
- Sumner Building Demolition Request for Bids (2024) – Demolishing city-owned building, including asbestos abatement and removal of underground oil tank, parking lot, sidewalks, and vegetation. Small works roster project; includes sample contract, bid item description, and hazardous material report.
Tree Trimming & Removal
- Cheney Electrical Line Clearance (Tree Trimming) ITB (2024) – Public works contract for tree trimming and removal near electrical lines. Includes alternate for emergency work during significant storms, plus line clearance specifications/standards.
Additional Public Works Bid Documents
We will be adding more examples in coming months; for additional sample documents regarding purchasing and contracting, you can search or browse MRSC's Sample Document Library: RFP/RFQ/Bid Documents.
