70:07:02:09. Maximum bidding capacity rating. The criteria for determining maximum bidding capacity ratings are as follows:
(1) The prospective bidder's ability to finance the work as shown by the prospective bidder's audited financial statement, surety statement, surety bond or supplemental documents;
(2) The amount, condition, and availability of the prospective bidder's equipment;
(3) The experience of the prospective bidder's personnel; and
(4) The prospective bidder's previous record with the department and other awarding authorities.
A maximum bidding capacity rating may not exceed ten times the amount of a prospective bidder's working capital. The committee may honor a bank line of credit to increase the prospective bidder's working capital. The prospective bidder shall state the line of credit on a form furnished by the committee and is valid for the period of the prospective bidder's prequalification. The committee may declare the prospective bidder ineligible for prequalification if the prospective bidder has been deficient, as determined by the committee, in any of the criteria listed in this section.
If a certification of surety is furnished in accordance with subdivision 70:07:02:04(1), the maximum bidding capacity rating must conform to the bonding limitations established by the surety on the prospective bidder's behalf.
If an audited financial statement is furnished, the per contract bidding capacity is 50 percent of the maximum bidding capacity.
Source: SL 1975, ch 16, § 1; 8 SDR 45, effective October 28, 1981; 13 SDR 129, 13 SDR 134, effective July 1, 1987; transferred from § 70:01:05:07, 19 SDR 154, effective April 11, 1993; 25 SDR 145, effective May 30, 1999; 40 SDR 121, effective January 6, 2014.
General Authority: SDCL 31-5-10.
Law Implemented: SDCL 31-5-10.
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