Friday, July 24, 2009

A First! One Bidder Completes Our Survey

After about 3 weeks of emails and phone calls, I finally got my eight questions answered by one of the bidding firms thanks to some help from the NY Department of Transportation's press department and the cooperation of the firm's owner.

Difazio Industries

1) You had the lowest bid at $2.3 million. Why is your bid lower than others? Why would the government go with a higher bid?

We are a Staten Island based company and utilized the hometown advantage when putting together our estimate for this project. Generally that results in a lower overall mark-up on the project.

2) How old is your firm?

DiFazio Industries is 5 years old. However we bring over 30 years of heavy/ highway construction experience. Our parents original company was started in 1979 and we started DiFazio Industries in 2004 and began to implement a exit strategy so they can retire.

3) How many employees did you have on January 1, 2009? How many do you have now?

As of January ’09 we had 72 employees, as of today we have 88

4) How many employees will be working on this project? Will you hire any?

Our estimate calls for total 8200 man hours and does not include additional man hours for our sub-contractors. Yes, this project most definitely will help us avoid any layoffs for the balance of the year.

5) How much will be spent on paying your workers for this project?

We have estimated almost 800k of payroll expenses not including sub contractors.

6) How much will be spent on materials?

Permanent materials and construction materials are estimated at 750k

7) Do you do a lot of work for the government? How many projects in total?

Approx. 50% of our work is for government agencies. On average we have approx. 3-6 both public and private projects going on at any one time.

8) If you are awarded the project, when do you expect to begin and to finish?

If awarded we will start 10 days after award and pending winter weather it has a completion date of 4/2010

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