HPC of South Bend and St. Joseph County - Standards Update Draft

Home Browse Search

City of South Bend and St. Joseph County Historic Preservation Guidelines 76 For More Information: Should I Hire a Contractor? • What are your payment terms? • Will you share references that I can contact? • Do you carry commercial liability and workmen’s compensation insurance? 6 . Ask for Bids Ask for a bid in writing due by a specific date. Contracts will give a bid as a lump-sum amount, a cost-plus amount, an amount based on time and materials, or a combination of these types. If the project is well-defined and straightforward with little changes of unforeseen problems, a simple lump-sum bid should be possible. However, if the project calls for one of the other bid types, agree to a mark-up of no more than 10%-15% for materials prior to bidding . Consider penalties for projects not completed on time . Or, consider a bonus for a project completed early . Most contractors require a down payment of 25%-30% of the contract total. Upon substantial completion, 90% of the contract is due with the balance paid after the final punch list is completed. Make sure to define and agree to what constitutes substantial completion of the project scope of work . You should not pay in full in advance . Get a copy of the firms’ insurance certificate showing commercial liability and workmen’s compensation and provide that to your insurance agent for review of adequacy . 7 . Check References Check the contractors’ references by phone and in person to gauge the customers’ satisfaction and if the details of the work meet your standards . You might also call the Indiana Secretary of State’s office to make sure no complaints have been lodged against the contractor . Questions you might ask: • Were you satisfied with the work? • Would you hire the contractor again? • Was the crew timely and professional? • Did the crew observe safety procedures? • How did the contractor handle problems? • Was the job completed on time and within budget? • Were change orders handled promptly? • Did the crew maintain a neat and clean job site? 8 . Compare Bids and Select a Contractor Once bids are returned, compare them with your scope of work and initial budget . Base your selection on bids you receive and on the results of your reference checks . If a bid is unclear, or does not appear to include all elements of your scope of work, ask the contractor for a written clarification. Once you have made your choice, ask the contractor to draft a schedule that will allow you to gauge the progress of the project . Make sure you get copies of the contractor’s insurance certificate, with your name listed as an additional insured . And be certain you understand and agree on the payment terms and approach to change orders . 9 . Document Take photos before and daily during including video to develop a record of the progress . Document phone conversations and on-site conversations with an email follow-up stating the agreement that you reached. Set up regular progress meetings with the contractor to review progress and discuss any problems or concerns that might have arisen. Regular, face-to-face communication ensures mutual understanding of the project and a cooperative contractor-client relationship. Some other resources: Homeadvisor.com offers a good overview here . Recommended Books: • Poore, Patricia, ed . The Old House Journal Guide to Restoration . New York, Dutton, 1992. • Litchfield, Michael W. Renovation: A Complete Guide, 5th addition . New York, John Wiley & Sons, Inc., 2019. Return to the Table of Contents DRAFT