Bid Security

(a)Requirement for Bid Security. Bid security shall be required for all competitive sealed bidding for construction contracts when the price is estimated by the Procurement Officer to exceed Twenty-Five Thousand Dollars ($25,000). Bid security shall be a bond provided by a surety company authorized to do business in Guam, or the equivalent in cash, or otherwise supplied in a form satisfactory to Guam. Nothing herein prevents the requirement of such bonds on construction contracts under Twenty-Five Thousand Dollars ($25,000) when the circumstances warrant.

(b)Amount of Bid Security. Bid security shall be in an amount equal to at least fifteen percent (15%) of the amount of the bid.

(c)Rejection of Bids for Noncompliance with Bid Security Requirements. When the invitation for bids requires security, noncompliance requires that the bid be rejected unless, pursuant to Policy Office regulations, it is determined that the bid fails to comply in a non-substantial manner with the security requirements.

(d)Withdrawal of Bids. After the bids are opened, they shall be irrevocable for the period specified in the invitation for bids, except as provided in 5211(f) of this Chapter. If a bidder is permitted to withdraw its bid before award, no action shall be had against the bidder or the bid security.