Paving roads, building bridges, and repairing schools are all example of government projects. When governments, at the local and state level, decide to proceed with a project they open the job to bids. The city council, board of commissioners, or even the state legislature go through the same process to determine who wins the bid. And it isn’t always the lowest bidder.
Any company or individual who feels that their bid was wrongfully denied, for instance, they may feel they can perform the service at the best price and best quality, they can contest the bid award by using a bid protest bond.
Surety Bond To The Rescue
Governments have to follow certain protocol in Kansas when determining who to award a bid to. The amount of time the project has to be open for a bid, the discussion of proposals, and the dollar amount of each bid are all part of the public record.
When a company feels they have delivered the best bid and that they have been looked over in, perhaps, an unlawful way then the protest bond is the fastest way to receive an answer. The bid protest bond has to cover the amount of the bid so the government isn’t hindered wrongfully.
What Does A Bid Protest Bond Do?
A bid protest bond is a surety bond that essentially halts the bidding process. The project is not allowed to move forward while the bidding objection is addressed. Courts in Kansas require the bid protest bond so that government projects are not hindered with more red tape than necessary.
The cost of a bid protest bond generally covers the cost of the bid, court fees, and any applicable interest. Generally speaking, the only time this bond can be used is within 72 hours after the bid award has been announced. Contact Jurisco to learn more about Kansas requirements for bid protest bonds.