Pennsylvania Code › Title 67 - TRANSPORTATION › Part I - Department of Transportation › Subpart B - Nonvehicle Code Provisions › Article III - Highways › Chapter 457 - PREQUALIFICATION OF BIDDERS › Section 457.5 - Classification

Current through Register Vol. 54, No. 28, July 13, 2024
(a) The contractor
					 or subcontractor shall be classified according to the type of work and amount
					 of work for which his experience and financial capacity will qualify him to
					 bid. The types of work, as described in Department of Transportation
					 Specifications, Publication 408, are listed as follows:
WORK
CODE
SECT.
CLASSIFICATION
EARTHWORK
A
200
CLEARING & GRUBBING
B
200
BUILDING
								  DEMOLITION
C
200
EXCAVATING &
								  GRADING
BASE COURSE
D
300
RIGID BASE COURSE
E
300
FLEXIBLE BASE
								  COURSE
PAVEMENT
F
400
BITUMINOUS PAVEMENT
F1
400
BITUMINOUS
								  PAVEMENT PATCHING AND REPAIR
G
500
RIGID PAVEMENT
G1
500
RIGID PAVEMENT
								  PATCHING & REPAIR
INCIDENTAL CONSTRUCTION
H
600
DRAINAGE, WATER MAIN, STORM SEWER
J
600
GUIDE RAIL,
								  STEEL MEDIAN BARRIER, FENCES
J1
600
CONCRETE MEDIAN
								  BARRIER
K
600
CURBS,
								  SIDEWALKS, INLETS, MANHOLES, ETC.
L
600
SLAPJACKING-SUBSEALING
ROADSIDE DEVELOPMENT
M
800
LANDSCAPING
TRAFFIC ACCOMMO-DATIONS AND CONTROL
O
900
PAVEMENT MARKINGS
P
900
HIGHWAY/SIGN
								  LIGHTING, SIGNAL CONTROL
Q
900
MAINTENANCE AND
								  PROTECTION OF TRAFFIC
R
900
SIGN PLACEMENT
								  (POST/ STRUCTURE MOUNTED)
R1
900
SIGN STRUCTURES
STRUCTURES
S
1000
CEMENT CONCRETE STRUCTURES
S1
1000
CULVERTS &
								  SINGLE SPAN BRIDGES TO 80 FT
S2
1000
REPAIR AND
								  REHABILITATION OF STRUCTURES
S3
1000
MODIFIED
								  CONCRETE DECK OVERLAYS
T
1050
ERECTION
								  (STRUCTURAL MEMBERS)
T1
1018
BRIDGE REMOVAL
U
1005
PILE DRIVING
V
1070
STEEL PAINTING
								  (HIGH PERFORMANCE)
V1
1071
STEEL PAINTING
								  (CONVENTIONAL)
MISCELLANEOUS
Y
OTHERS
(b) Miscellaneous work as determined by the
					 Chief Counsel, as not within the purview of the act, will be excluded by the
					 Deputy Secretary for Highway Administration from the requirements of this
					 chapter. When this is done, the bid proposal shall so state.
(c) The classifications of work listed in
					 subsection (a) may be further defined by the Contract Management Division, if
					 needed, to provide for additional types of specialties generated with expanded
					 programs.
(d) Each prequalified
					 contractor shall be eligible to bid on projects in which the types of work for
					 which he is classified constitute at least 50% of the project.
(e) Each contractor or subcontractor shall be
					 classified for one or more types of work in accordance with his adequacy of
					 plant and equipment, organization, prior experience, record of construction and
					 other pertinent, relevant and material facts which may affect the
					 classification. A contractor or subcontractor who has been assigned
					 classifications of excavation and grading; bituminous pavement or rigid
					 pavement; drainage, water mains, storm sewers; and cement concrete structures
					 (all types) will be considered a general highway contractor. A proposal from a
					 contractor with a general highway contractor designation need not be reviewed
					 for the 50% classification requirement unless specialty items predominate. The
					 contractor or subcontractor shall be assigned an ability factor and given a
					 capacity rating which will designate the quantity of work upon which he will be
					 eligible to bid. The Prequalification Office shall give notice of the
					 classification and rating.
(f) The
					 maximum capacity rating shall be a flat sum determined as follows:
(1) The formula, Q = F (C+1/2L+1/2E), shall
					 be used to determine the maximum capacity rating. A contractor whose maximum
					 capacity exceeds $100 million as determined by this formula, will be considered
					 to have unlimited financial capacity.
(2) When the contractor elects to exercise
					 the option as specified in §
												457.4(a)(5), the
					 contractor shall be assigned in lieu of the Contractor's Financial Statement,
					 Form 4300, Part 1, a flat sum factor of $50,000; and the formula Q = F
					 ($50,000) shall be used to determine the maximum capacity rating.
(3) The symbols used in the formula in
					 paragraphs (1) and (2) shall have the following meaning:
(i) Q = Maximum capacity rating.
(ii) C = Net working capital.
(iii) F = Assigned ability factor (1 to
					 15).
(iv) L = Line-of-credit
					 statements.
(v) E = Book value of
					 equipment.
(4) The
					 following limitations apply to the terms in paragraph (3):
(i) Net working capital shall be current
					 assets less current liabilites.
(ii) Current assets shall be easily
					 negotiable assets that may readily be turned into cash.
(iii) Current liabilities shall be
					 obligations due within a 1-year period.
(iv) A Line-of-Credit statement shall be the
					 form, executed by a bank on page number 20 of the financial statement of the
					 contractor.
(v) Book value of
					 equipment shall be total cost less depreciation actually applied. This
					 equipment factor shall include not only book value of company-owned equipment
					 but also the book value of the contractor's share of equipment owned by a joint
					 venture.
(5) If the
					 maximum capacity rating (Q) is a positive number, a certificate as a prime
					 contractor will be issued. If the contractor has had a negative working capital
					 for 2 consecutive fiscal years, the Department will request additional
					 documentation to support the contractor's financial capabilities even if the
					 maximum capacity rating (Q) is a positive number as a result of a line of
					 credit or book value of equipment, or both. If the Department still considers
					 the contractor's financial status to be questionable, the Department will
					 prequalify the contractor to perform work only as a subcontractor.
(6) If the net working capital (C) is a
					 negative amount, the Department has the right to reduce the qualification
					 amount or to reject the application.