N.J. Admin. Code § 17:19-2.1

Current through Register Vol. 56, No. 24, December 18, 2024

Section 17:19-2.1 - Statements required from firms requesting classification

(a) Only those firms holding a valid classification in a trade as issued by the DPMC shall be eligible to bid for work in that specified trade on a public works project, unless otherwise permitted by law. In addition, no bid proposal for a public works project shall be accepted unless every subcontractor in every trade required by law, the bid advertisement, or the bid documents, to be named in the bid proposal holds a valid classification issued by the DPMC in the trade for which that subcontractor is named. Said classification and rating must be valid on the bid due date for the project.

(b) Each DPMC-27 shall be completed in its entirety and all questions must be answered and all requested information must be provided. Incomplete submissions will not be processed by the DPMC. All financial statements shall conform with generally accepted accounting principles and be completed by either a certified public accountant (CPA) or public accountant, pursuant to N.J.S.A. 45:2B-42et seq., who is independent of and not an employee of the firm for which the financial statements are being provided. Information required by the DPMC-27 includes:

1. A financial statement, which may be a certified audited statement, review statement, or compilation of statements, depending upon the aggregate rating being sought by the firm. The firm must submit its most recent financial statement, which shall not be more than 12 months old. The financial statement shall include a cover letter signed by the public accountant or CPA who prepared the document. The financial statement shall include at a minimum a balance sheet, related statements of income and retained earnings and cash flows and notes to financial statements in complete detail and shall comprise at least a six-month accounting cycle. The certified audited financial statements shall have an unqualified opinion.

i. Submission of a compilation of financial statements will limit a firm's maximum aggregate rating to not more than $ 5,000,000.

ii. Submission of a CPA review of financial statements will limit a firm's maximum aggregate rating to not more than $ 15,000,000.

iii. Submission of a CPA's certified audited financial statement will be required for aggregate ratings exceeding $ 15,000,000.

iv. Submission of combined or consolidated statements is not acceptable, unless complete supplementary (combining or consolidating) information is included within the report. This information shall be of such detail as to show the financial condition of the particular firm seeking classification;

v. Where the firm seeking classification is a subsidiary of a parent firm, submission of the parent company's 10K report (annual report required by the U.S. Securities and Exchange Commission) is permissible, if it contains a sufficient separate breakdown of information regarding the financial status and condition of the subsidiary firm. If the 10K report does not provide information clearly reflecting the financial condition of the subsidiary firm, a balance sheet provided by the firm's in-house accountant detailing current assets and liabilities will be acceptable, provided that the information is certified as both accurate and consistent with the 10K report, by the person who has signed the 10K report on behalf of the parent company.

2. A statement as to organization, which shall demonstrate the adequacy of the firm (officers, key management personnel, physical plant and equipment) to undertake a project in the classification(s) requested. A current listing of non-supervisory personnel must also be provided. If the firm uses trades and/or employees from a leasing company, such company must be registered in conformance with N.J.S.A. 34:8-67 et seq. A copy of the leasing agreement and New Jersey Department of Labor Registration of the leasing company must be included;

3. A statement as to prior experience, which shall show the number of years that the firm has been engaged in the contracting business and shall further disclose the firm's experience over that period.

i. In no instance shall a firm with less than one year of such experience be classified, unless the firm demonstrates that its principals have at least five years of experience in each trade for which the firm is seeking classification.

ii. The firm shall indicate the number of years of construction experience that the firm has had by trade, as a prime contractor and as a subcontractor. In such statement, the firm may show the experience of officers, managers and key personnel;

4. A statement as to the past performance and project experience, which shall give an accurate and complete record of work completed in the past five years by the firm giving the names of each project, type of work, location, contract price, and the names of the owner and of the architect/engineer in charge for the owner. At least two significant projects that have been completed must be described for each trade requested. A copy of contracts for the completed significant projects must be provided;

5. A statement that the firm has adopted or will comply with an Affirmative Action Program for Equal Opportunity in accordance with applicable New Jersey and Federal laws, rules and regulations;

6. A statement of the firm's bonding capacity, as required by N.J.A.C. 17:19-2.9, which shall be from a surety authorized to issue bid, performance and payment bonds in the State pursuant to N.J.S.A. 2A:44-143;

7. A statement setting forth the names and addresses of all stockholders, partners or members owning a 10 percent or greater interest in the firm. If one or more stockholders, partners or members are a corporation, partnership or limited liability company owning a 10 percent or greater interest in the firm, the statement shall also set forth the names and addresses of all stockholders, partners or members owning a 10 percent or greater interest in that corporation, partnership or limited liability company. Disclosure of the names and addresses of all stockholders, partners or members owning a 10 percent or greater interest shall continue at each level of ownership until all stockholders, partners or members owning a 10 percent or more interest have been disclosed; and

8. A statement setting forth any other pertinent material and facts that will justify the classification requested by the firm.

(c) All foreign corporations shall include a current certificate of authority to transact business in New Jersey, issued pursuant to N.J.S.A. 14A:13-3 et seq.

(d) All firms shall furnish a current copy of all applicable licenses and permits as required in the DPMC-27. All licenses and permits for electrical, HVACR, and plumbing contractors must be issued in the firm's name. The licensee listed for plumbing must be the designated "bona fide representative" as defined by the "Board of Master Plumbers" or own 10 percent of the firm seeking classification. The licensee listed for HVACR must be the designated "bona fide representative" as defined by the "Board of Examiners of Heating, Ventilating, Air Conditioning and Refrigeration Contractors" or own 10 percent of the firm seeking classification.

N.J. Admin. Code § 17:19-2.1

Amended by 48 N.J.R. 2830(a), effective 12/19/2016