Multi-Stage Bidding

Definition - NIGP Definition

Definition - NIGP A method of source selection involving two competitive steps, combining the elements of both competitive sealed bids and competitive sealed proposals. The first step may require the submission of technical and price proposals with only the technical proposals being evaluated and scored. The second step involves the opening of price proposals of those firms who have achieved the highest technical scores.

Advantages of Multi-Stage Bidding

Advantages of Multi-Stage Bidding Allows pre-qualification screening process Allows more flexibility with potentially acceptable bid responses Allows request for additional information from bidders

Advantages of Multi-Stage Bidding Larger potential pool of qualified bidders Award made to low bidder No cost benefit analysis required Other

Dis-Advantages of Multi-Stage Bidding

Dis-Advantages of Multi-Stage Bidding New procedure-training Time duration of process Award made to low bid Other

Prequalification Procedures

Prequalification Procedures Publish the solicitation as required by the jurisdiction state type of procurement item being solicited State scope of work Conduct as many stages as determined to be appropriate

Prequalification Procedures Requirements for and purpose for each stage to be published in bid Criteria not to be so restrictive to unreasonably limit competition Instructions, Due dates and time for each stage are established Evaluation criteria are established

Prequalification Procedures No pricing to be submitted during qualification stage(s) Bids in a subsequent stage will only be accepted from bidders deemed qualified in the previous stage

Prequalification Questions

Prequalification Questions Do all stages need to be listed in the original bid ? Do performance rating criteria need to be included? Is a bid rejected if pricing is submitted during a qualification stage? Do notifications need to be sent after a bidder is deemed unacceptable?

Case Study

Final Stage

Solicit bids from bidders who are prequalified Award to low bidder Final Stage Solicit bids from bidders who are prequalified Award to low bidder

Multi-Stage Questions

Multi-Stage Questions Can Process be used for multiple award contracts? Can Process by used for term contracts? What are examples of commodities or services where this is the optimal tool?

Creation of Approved Vendor Lists Caution

Creation of Approved Vendor Lists Request for Qualifications (RFQ)

Creation of Approved Vendor Lists Code requires additional procedures Pre-qualified vendor lists only good for 18 months Units may limit bid participation to pre-qualified bidders for the specified item(s) RFQ may not be used if only 1 vendor is placed on list. Rfq process to be cancelled

Creation of Approved Vendor Lists Code requires additional procedures Written justification to be sent to all suppliers who are not put on list To include reasons that the supplier did not meet qualification requirements

Creation of Approved Vendor Lists Code requires additional procedures Make approved vendor list available to public within 30 days after RFQ due date

Questions