Incentives for Prime Contractors

1
Incentives for Prime Contractors

• If Prime waives the bonding requirements
• and the ESB sub fails to perform
• Prime sends the ESB Program Manager
• - a copy of the original requirement for bonding
• - the written agreement waiving the bonding
  for ESB
• - a letter explaining why the ESB was unable
  to
• obtain the bonding
• - documentation of the circumstances
  surrounding
• the ESBs failure to perform
• - a billing requesting payment for actual
  costs incurred (not to exceed 5,000)
• ESB Program Manager will approve and send Project
  Engineer a memo to enter the reimbursement
  payment on the next project pay estimate