Effect of a Commission Determination that a Contractor is Disqualified

PURPOSE: This rule states the effect of a determination to disqualify with respect to bidding or participating in any new commission contract and further establishes the commission’s authority to grant an exception. (1) Effect of Disqualification. Any contractor that is disqualified may not bid on or participate in any commission contract awarded after the effective date of disqualification as a contractor, subcontractor or supplier during the period of disqualification. The disqualification shall not prohibit the contractor from concluding the work on the commission contracts it previously had obtained prior to the effective date of its disqualification or from participating as a subcontractor on any commission project if it had already been approved by the department to act prior to the effective date of its disqualification, unless the commission terminates any of these contracts for misconduct under the provisions of section 108.13 of the Missouri Standard Specification for Highway Construction. (2) Effect of Disqualification of Related Persons. Each person, firm, or corporation which is an affiliate, principal, or a successor of a disqualified contractor shall be disqualified to the same extent and for the same time as that contractor, unless the chief engineer grants a specific exception for good cause shown. A request for an exception by the affiliate, principal, or successor must be made in the same manner as provided in this chapter for reinstatement of a contractor previously declared disqualified, but the request may be made at any time after the contractor is notified of the recommendation for its disqualification. The chief engineer may grant an exception if it finds that an affiliate or principal of the disqualified contractor did not conspire or participate in, and was not aware at the time of the acts which resulted in the disqualification. AUTHORITY: Art. IV, section 29, Mo. Const., sections 226.020, 226.150, 227.030, 227.100 and 227.210, RSMo (1994), 226.130, RSMo (Cum. Supp. 1996) and Title 49 Code of Federal Regulations part 29.* Original rule filed Dec. 12, 1996, effective June 30, 1997. *Original authority: 226.020, RSMo (1939); 226.130, RSMo (1939), amended 1993, 1995; 226.150, RSMo (1939), amended 1977; 227.030, RSMo (1939); 227.100, RSMo (1939), amended 1963, 1967, 1969; and 227.210, RSMo (1939).