Montana Department of Transportation

Malcolm “Mack” Long, Director

COVID-19

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Subcontracting Resources

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NEW: ELECTRONIC SUBCONTRACTS

Electronic Subcontracts administered in DocuSign will be accepted beginning with the September 9, 2021, Bid Letting.

NOTE: Any Construction contract let prior to September 9, 2021, will retain the signed original subcontract requirement.

New Subcontract Requirements:

Electronic (DocuSign) PDF Format

• All Construction subcontract agreements are required to be submitted utilizing the electronic DocuSign PDF format beginning with the September 9, 2021, Bid Letting.

• DocuSign is the only acceptable format and scanned versions will not be accepted.

• More information can be found at DocuSign.com.

• Contracts awarded prior to September 9, 2021, will retain the signed original subcontract requirement.

Consent of Surety from Surety/Bonding Agent

• Consent of surety is required for First Tier Subcontracts Per CFR 28.106-5:
Electronic Code of Federal Regulations (eCFR)
Lower tier subcontracts do not fall under the requirement.

New Process: Consent of surety language will be inserted and made part of the subcontract agreements to obtain consent from the Surety Agent. The following exact language must be included in first tier subcontract agreements. Include the Surety Agency, Surety Agent Name and the Contract Bond Number which can be found on the back pages of the MDT Contract. The signature block to be generated in DocuSign prior to sending for signatures.

Copy and paste the text below:

SUBCONTRACT CONSENT OF SURETY: On behalf of_____________________________ Surety Agency, Contract Bond Number:
_______________, hereby grants consent to the subcontract agreement herein.

Agent Printed Name: ________________________

Agent Signature: ____________________________
                                                                     E-Sign

Subcontractor's Checklist

• The Subcontractor's Checklist will be inserted and made part of the subcontract agreement.

For Chrome and Edge: Right click on the link, click on Save Link as, to save the file to your computer.

Three options available:
OPTION 1: First Tier
OPTION 2: Lower Tier
OPTION 3: First Tier with Consent of Surety

Contracts awarded prior to September 9, 2021, please use the Subcontractor's Checklist.

Assignment & Labor Provisions language

• Per Subsections 108-1-01 and 108-1-02, the following exact paragraphs must be inserted and made part of the subcontract agreement:

"In consideration of being awarded this subcontract, and in consideration of having this subcontract approved by the State of Montana, the Subcontractor hereby assigns to the State of Montana any and all claims or causes of action for any antitrust law violations, or damages arising there from, as to goods, materials, and services purchased under the terms of this subcontract or any change order that may result from this subcontract."

"The Subcontractor agrees to comply with all of the labor provisions contained in the attached Required Contract Provisions and Federal Prevailing Wage/Davis Bacon Wage Decision."

Contracts awarded prior to September 9, 2021, please use the Required Subcontract Language Prior to September 2021.

Seven (7) day Prompt Payment

• MCA 28-2-2103 (2) (a) Within 7 days after a contractor receives a periodic or final payment from an owner or a state agency, the contractor shall pay the subcontractor, if any, the full amount due the subcontractor in accordance with the subcontract for work performed or materials provided in accordance with that subcontract.
28-2-2103. Payment to contractor and subcontractor, MCA

• Include the following in subcontract agreement (all tiers) –
Payment to subcontractor will be made within seven (7) days after periodic or final payment from owner.

EEO

All contractors and subcontractors doing work on a Montana Federal-Aid Highway Project must complete the Montana EEO Policy Statement Submission Form (online) and receive their completed EEO Policy Statement from MDT prior to starting work. It must be printed and posted on the bulletin board at each Montana Federal-Aid Highway Project job site.

• Confirm subcontractor has a current year EEO submitted:
EEO Submissions

If subcontractor is not listed, subcontractor can submit at the following: EEO Policy Statement Information

Scope of Work

• Subcontracted items must be tied to a bid item.

Please use the following format:
Bid format
Click on image to view a larger image

• Scope of work must include Bid Item Number, Bid Item Description, Units, Unit Price and Extended Pricing. NOTE: If a subcontractor is doing part of an item (ex: hauling only) asterisk the item and indicate what part of the work the subcontractor is providing (materials, equipment or labor). This affects the percentage subcontracted. If this detail is not provided, the item will NOT be treated as a partial item.

Submit Electronic (DocuSign) Subcontract

Submit Electronic DocuSign PDF Subcontracts to the following email address: mdtconstagreements@mt.gov

Option 1: In DocuSign, enter the email address above as “receive a copy” and the fully executed subcontract agreement will be submitted automatically.
Option 2: If you prefer to send the electronic (DocuSign) pdf subcontract agreement after execution in DocuSign, email the electronic (DocuSign) pdf subcontract to the address listed above.

NOTE: Files larger than 10MB, submit using the State of Montana File Transfer Service: File Transfer Service

Once submitted, the subcontract agreement will proceed to the review and consent stages. A consent report will arrive via email when subcontract is fully consented and approved.

Subcontractors may not proceed to work on contracts unless a fully executed subcontract agreement has been approved by the Construction Engineering Services Bureau.

Additional Resources

Please feel free to contact us with questions.

All contractor / subcontractor resources provided on this page are only applicable to MDT Construction contracts.