US'XTED STATES Ki;V7.F.C::ME;.T>vL FROTHCTICK AGENCX
Kegj.cn V
NOTICE
TO: Construction Grant Program Branch and
Section Chiefs
FROM: Todd A. Cayer, Assistant Divisipn-Director
for Construction Grants
DATE: August 2, 1973
SUBJECT: Program Requirements Memorandum {PRM) No. 79-10 Subject:
'"Qualification of Major Items of Equipment"
Attached for your information is a copy of the subject Program
Requirements Meirsorandum. Each Branch Chief is hereby requested to
suggest/recornnxend implementation procedures/nethodoiogy, lesd
responsibility, etc., by close of business of the fifth full workday
after the: date of this notice. In addition, by copy of t-his notice,
each State agency—particularly those with- a State Management
Assistance Program, 205 Delegation Agreement, if the content of the
PRM. pertains to a function contained therein--:! s invited to vrite
or call tr:e SMAP Manager, or me, to provide consents.
In the evcm. the implementation procedures require additional copies
before s'.aff members receive a copy via the EPA/GSA Denver n\ail-out
contract,- reproduction will be handled centrally. In the int.trini,
please re:.rain from xeroxing copies.
Attachment
Cy to: C. Sutfin, Director,- 5K
J. Htuilon, SMAP Manager
Rr Lee, Management System Coordinator
*T. Wallin, Chief, Grant Adm. Section, JEPA
*J. Kreiger, .Chief, Facilities Dev. Branch, IMSPCB
*R. Hinshon, Chief, Grants Acm. Section, MDNR
*P. Beaton, Chief, Facilities Section, MPCA
*G. Binder, Chief, Div. of Public Wastewater, OEPA
*P. Harder, Chief, Gr&r.t-in-Aid Section, V7DNP.
*Copy fon^ardcd to the respective FPB State Section Chief for inclusior
in*the daily C03 mailout of State copies of project correspondence.
02-27-79'
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$3?s1 1 UNITED STATES ENVIRONMENTAL. PROTECTION AGENCY
'.•/ WASHINGTON. O.C. 20460
1 2 JUL 1373
OFFICE OF WATER AND
HAZARDOUS MATERIALS
Construction Grants
Program Requirements Memorandum
PRM No. 79-10
SUBJECT: Qualification of Major Items of Equipment
FROM: John T. Rhett, Deputy Assistant Administrate; O
for Hatar Program Operations (WH-546) f
TO: Regional Administrator
Reaions I-X
Purpojie
This memorandum sets forth guidance for. the qualification of r-z.jor
items of equipment for consti-jction grant projects. T'r.is guidance -!•• appro-
priate for use daring either Step 2 or Step 3 phases of conxtructior .
The following qualification procedures ar« :cr- optional use by
Environmental Protection Agency (EPA) grantees we c'esirs to qualify major
ite-,ns of equipment for construction grant projects v;ith the aoprovci of the
EPA regional offices. Under 40 CFR 35.935-2,^5 FR WO/l , September 27, 1973)
the Regional Administrator may reviev/ grantee procurements including equip-
ment qualification and may request additional grantee actions consistent
with applicable statutes and regulations.
Qualification is a system that may be used to ease the administrative
burden of determining responsive, responsible bidders on equipment. However,
qualification is not a conclusive determination of responsibility and a
qualified equipment bidder or offerer may be rejected as ncnresponsi ve on
the basis of subsequently introduced information e.g., shop dravnngs. In all
cases the equipment furnished must comply with the specifications.
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There are a number of necessary minimimi requirements for any quali-
fication system. Whether the qualification procedure is to take place in
Step 2 or Step 3, all of these requirements must ba .-net. If the qualifica-
tion is to occur during Step 2 the qualification information package will
not contain plans and specifications. Therefore a qualification information
package containing the relevant information must be prepared. This package
must contain enough specific detail regarding performance and quality to
assure that equipment sources will thoroughly understand what is required
of the specified equipment,
Adequate advertisement is critically important to assure that knowledge
of the project is widespread and so that new manufacturers, small firms and
minority businesses are provided an opportunity to compete. Adequate time
must be allowed for submission of the necessary information for qualification
review since an overly strict time frame would li.Tsit ccrioetition. This
should conform to 40 CFR 35.938-4(b) ,(43 FR 44080, September 27, 1978),
generally 30 days. Adequate time must also be provided "or the engineering
evaluation of the qualification packages submitted.
A. Advertisement
The grantee is responsible for accomplishing aiic-cuata advertiser'.-it for
qualification. Whether qualification occurs durinc 5':;33 2, or during Step 3,
the advertisement procedure shall conform ~o Section 35.938—l(a) or lie EPA
regulations. The advertisement procedure for qualification shall «";o conform
to the local regulations regarding advertisement? for construction .ids.
In addition to advertisements, private mailings to krown equipment sources
may be made. Mailing lists of equipment sources are available from ~rade
join-rials and technical associations. The.advertir.r:rn?nt shall contain all
information needed by the sources to properly subrni*: information regarding
their equipment for consideration. The advertisement shall include ;:ie
following as a minimum:
1. Address and telephone number of grantee.
2. Name, size and type of plant.
3. Name, address, and telephone number of the designer and
name of contact for inquiries.
4. Location where qualification information package can be obtained.
5. Cost of qualification information package — (this should not exceed
the price that bidders must pay to obtain bidding documents).
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£, Brief schedule of equiprent needed in che construction project
that, is to be qualified (a.g., filter press).
7. Locations of qualification information for review by interested
individuals. These locations should be the S2r*e as those used
for additional information for contractors interested in bidding.
8. Deadline for submittal of qualification packages by equipment
sources. This should be a iirinimuni of 30 days from date of
advertisement to allow adequate time for equipment sources to
prepare their qualification package. Longer time periods should
•be provided for qualification submission for complex systems.
S. Qualification Information Package
The qualification information package, prepar-ed ty the design engineer,
shall include the construction bid package plans and >:;cificaticns or
suitable extracts of this information if qualification occurs dur:ng Step 2.
These specifications snail be performance specifications wher* possible and
in all other-cases conform to tne tvo brand nsrr.es-or e:.:-al requirerr'.^r.t. In
addition to the plans and specifications, a description of the pac'\:::;e the
equipment sources submit for qualification con si cere: "10:1 should be included.
The equipment sources should submit catalog cuts or readily avi lable
specifications and drawings of their aquipir.ent ana 3~y suppleventsr\ information
that v/ould be helpful in the evaluation. It should re stressed tlj.~ shop
drawing quality submittals are not required or v^ntsc in this phas;: :f the
project.
All equipment manufacturers or distributors Intsrsstsd in supplying their
equipment for the project must submit a aualificaticr. package for .v.v..roval,
including the suppliers who propose to furnish the r:suipi~eni: ivhic.r -.:;/
have been preliminarily named to indicate the salient: requirements CT the
equipment desired. This is required so that all s-aui picric offerers rave tne
same opportunity to submit information for consideration, ar.cl to assure that
the equipment offered fully-meets all requirements of the specifications.
•A time schedule of the qualification and bidding process must be
included in the qualification information package.
C_ Evaluation
Evaluation of the qualification submission shall be completed by
the design engineer within 30 days from date of closing of submittals of
qualification packages. At the end of the review period, the grantee
v/ill notify all proposers of their status (fay registered mail return
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receipt requested). Such correspondence should contain notice consistent
with EPA protest regulations described below that any protest actions must
take pl'dce within the time limitations described in 40 CFR 3S.939(b), (43
FR 44083, September 27, 1978). 3y addendum to the specifications, the
grantee will' notify the holders of the bid package of the equipment that
has been qualified for the specific project.
D. Protest Procedures
Protest procedures regarding qualification must conform to EPA reg-
ulations 40 CFR Section 35.939, {43 FR 44083, September 27, 1978).
The proposer of any equipment qualified as a result of a protest
will be notified by the grantee and a further addendum to the specifications
will be sent to the bid package holders.
In those cases when qualification takes place during Step 3 the
entire process (including pretests to the grantee-, if any) should take place
within tne time frame of the advertisement for construction bids and tne bid
opening. When qualification takes place during the Step 2 adequate time
must be allowed for sucmittals and prcrapt determination of qualified
equipment must be made. All protests should be resolved before the bidding
process. In order to satisfy this requirement, grantees must stite in the"
qualification information package and notification to proposers of their
status that any decision on qualification is final grantee action and the
time for protests under 40 -CFR 35.939(b), (43 FR 44083, September 27, 1978),
begins to run from the date the proposers receive notification of their
status from the grantee. Failure to protest within one week of this time
period will result in finding the protest untimely. Consistent with the
procedures of this memorandum, after determination of the qualified equip-
ment no other equipment can be considered.
Qualification does not exempt the supplier from meeting the
specifications. The specifications are the final authority for acceptance
of equipment. Approval of a qualification package does not eliminate the
need for shop drawing submittals and approvals during construction.
E. Construction Delays
If bidding is significantly delayed, then the qualification process may
be.reopened by the grantee with the EPA regional office approval in order-
to, allow consid"eraMen of equipment sources that may then be interested in
supplying equipment. In such cases the previously qualified equipment need
not be reconsidered.
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F. Other Qua!ifi cation Procedures
Qualification procedures consistent with state or local law which
provide the same considerations in terms of competition may be used
in lieu of these procedures.
6. Public Inspection
On the c'Jt off date for subtm'ttal of qualification packages for evaluation
a list of all equipment sources that have submitted qualification packages
shall be published. Whether the packages themselves become available for
public inspection will be decided by local ordinances on the subject of
public disclosure.
H. Costs
The cost incurred by the grantee incidental tc qua 1 ification of
major items of ecuipment for inclusion in a construct:or; grant project are
eligible for construction grant funding during the stsp in which tney are
undertaken.
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