My Dilemma. Can it be a Marketing Device?

I was called in to provide a bid for an addition for a man with a LE amputation that is wheelchair bound.  The case manager and insurance company want our company to provide a bid for modifying a house for accessibility and a bid for building an addition.  We are competing against other construction companies for this project.   Putting together a good design for this project will take several hours of our design team.  If the client chooses our design and a different builder to do the work than that is several 'donated' hours by us.

I have done designs and construction for this case manager/insurance adjustor team before with very good results.  In fact the case manager was showcasing an addition we built to many of his other clients.

We typically get paid for our designs and provide a bid for free based on the construction specifications and the designs, that is how it has worked in the past with this case manager/insurance adjustor (on several jobs) until we had a job that went bad.

Job that went bad: