Determining Responsive and Responsible Bids and Proposals

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    Determining Responsive BidsDetermining Responsive Bidsand Responsible Bidders andand Responsible Bidders and

    OfferorsOfferorsPresenter:Presenter:

    J. Peter Stamps, CPPO, VCOJ. Peter Stamps, CPPO, VCO

    VA Dept of General ServiesVA Dept of General Servies

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    DefinitionsDefinitions

    ! Responsive

    VPPA " #.#$%&'(. Definitions

    Responsive bidder means a person )*o

    *as s+bmitted a bid t*at onforms in allmaterial respets to t*e nvitation for Bid.

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    Definitions on-t.Definitions on-t.

    ! Responsible

    VPPA " #.#$%&'(. Definitions

    Responsible bidder or offeror means aperson )*o *as t*e apabilit, in allrespets, to perform f+ll t*e ontratre/+irements and t*e moral and b+siness

    integrit and reliabilit t*at )ill ass+regood fait* performane, and )*o *asbeen pre/+alified, if re/+ired.

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    Definitions on0tDefinitions on0t

    ! nformalit

    VPPA " #.#$%&'(. Definitions

    Informality means a minor defet orvariation of a bid or proposal from t*ee1at re/+irements of t*e nvitation to Bid,or t*e Re/+est for Proposal, )*i* does

    not affet t*e prie, /+alit, /+antit ordeliver s*ed+le for t*e goods, serviesor onstr+tion being p+r*ased.

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    Responsive bidsResponsive bids

    B definition, to be eligible for a)ard, a bid

    m+st respond and onform to t*e

    re/+irements of t*e 2B.

    31amples of non$responsive bids:

    ! A bid t*at fails to meet t*e essential

    re/+irements of t*e 2B.

    ! A bid t*at does not onform to t*e

    speifiations.

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    Responsive bids on-tResponsive bids on-t

    ! A bid t*at fails to onform to t*e deliver

    s*ed+le or permissible alternatives set

    fort* in t*e 2B.

    ! A bid see4ing to /+alif t*e terms and

    onditions of t*e 2B, or ot*er)ise see4ing

    to limit ontrator liabilit, or to limit t*e

    agen-s rig*ts.

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    Responsive bids on-tResponsive bids on-t

    ! A vendor t*at /+alifies its prie in s+* a

    manner t*at t*e firm-s bid prie annot be

    determined.

    ! 5a4ing a bid ontingent +pon also

    reeiving a)ards on ot*er bids +rrentl

    +nder onsideration.

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    nformalitnformalit

    6*e VPPA defines an informalit andman agenies *ave adopted a poli of

    not re7eting bids )*en t*e deviation is not

    onsidered material.

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    nformalit, on-t.nformalit, on-t.

    6*e re7etion of a non$responsive bid *as*ars* onse/+enes for t*e bidder and

    o+ld deprive t*e agen of t*e advantage

    of t*e re7eted bid 8+s+all t*e lo) bid9.

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    nformalit, on-t.nformalit, on-t.

    ! An informalit is a matter of form and not

    of s+bstane or pertains to some

    immaterial or inonse/+ential defet or

    variation from t*e exact requirementof

    t*e bid.

    ! 6*e orretion m+st not be pre7+diial to

    ot*er bidders.

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    nformalit, on-t.nformalit, on-t.

    6*e APSP5 8Vendors 5an+al9 states:

    6*e pro+ring agen ma, in its sole

    disretion, )aive s+* informalities or

    permit t*e bidder;offeror to orret t*em,

    )*i*ever proed+re is in t*e best interest

    of t*e Common)ealt*.

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    nformalit, on-t.nformalit, on-t.

    31amples of informalities:

    ! 2ail+re of bidder to ret+rn t*e re/+ested

    n+mber of opies of bids.

    ! 2ail+re of bidder to sign its bid, but only if

    t*e +nsigned bid is aompanied b ot*er

    material indiating t*e bidder-s intentions

    to be bo+nd, s+* as a letter signed b t*e

    bidder indiating t*e bidder-s intentions.

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    nformalit, on-t.nformalit, on-t.

    ! 2ail+re of a bidder to a4no)ledge reeipt

    of an addend+m, b+t onl if 8a9 t*e bid

    reeived learl indiates t*at t*e bidder

    reeived t*e amendment< or 8b9 t*e

    addend+m involves onl a matter of form

    )*i* *as no effet +pon prie, /+antit,

    /+alit, or deliver.

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    =*at *appens if o+

    determine a bid as non$responsive>

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    APSP5 &.#(: f a bid is fo+nd to

    be non$responsive, a notation as

    to )* it is non$responsive s*allbe made, and signed b t*e

    b+er;ontrat offier and

    inl+ded in t*e ontrat file.?

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    Can a proposal in response to an

    R2P be determined non$responsive>

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    6*e VPPA onl defines a

    responsive bidder? as it relates toa bid in response to an 2B.

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    ResponsibilitResponsibilit

    ! @GP defines a responsible bidder orofferor as A ontrator, b+siness entit orindivid+al )*o is f+ll apable to meet all of

    t*e re/+irements of t*e soliitation ands+bse/+ent ontrat. 5+st possess t*e f+llapabilit, inl+ding finanial and te*nial,to perform as ontrat+all re/+ired. 5+st

    be able to f+ll do+ment t*e abilit toprovide good fait* performane.?

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    Responsibilit on-t.Responsibilit on-t.

    ! Allo)s for onsideration of t*e

    management of t*e firm, finanial strengt*,

    et*is and past performane as )ell as

    te*nial apabilities of t*e s+pplier.

    ! Re/+ires an ob7etive 8fat based9

    7+dgment vers+s a s+b7etive 8g+t$feeling97+dgment.

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    Responsibilit on-t.Responsibilit on-t.

    6*e California S+preme Co+rt determined

    t*at an a)arding bod ma @O6 delare a

    bidder non$responsible merel bea+se

    anot*er bidder is more responsible.

    6*e o+rt sided )it* t*e re7eted bidder

    over t*e Cit of ngle)ood, CA onl+ding

    t*at ontrats ma not be a)arded on t*ebasis of relative s+periorit.

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    Responsibilit on-tResponsibilit on-t

    2ators to onsider in determining

    responsibilit:

    ! Reg+lar dealer

    ! 31periene

    ! ntegrit, Perseverane, and Reliabilit

    ! Capait, 2ailities, and 3/+ipment! 2inanial

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    Responsibilit on-tResponsibilit on-t

    =*at do o+ need to do if o+ determine abidder or offeror is not responsible>

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    Responsibilit on-tResponsibilit on-t

    APSP5 ((.# :

    f t*e p+bli bod determines t*at t*e

    apparent lo) bidder is not responsible, it

    s*all proeed as follo)s:

    Prior to iss+ane of a )rittendetermination of non$responsibilit, t*e

    p+bli bod s*all:

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    Responsibilit on-tResponsibilit on-t

    8i9 notif t*e bidder in )riting of t*e res+lts

    of t*e eval+ation

    8ii9 dislose t*e fat+al s+pport in its

    determination, and

    8iii9 allo) t*e bidder to inspet an

    do+ments t*at relate to t*e

    determination )it*in five 89 b+siness

    das after reeipt of t*e notie.

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    Responsibilit on-tResponsibilit on-t

    ! =it*in ten 8('9 b+siness das after reeiptof t*e notie, t*e bidder m+st s+bmitreb+ttal information *allenging t*e

    eval+ation.! 6*e p+bli bod s*all iss+e its )ritten

    determination of responsibilit 8inl+ding

    an reb+ttal information9 )it*in five 89b+siness das of t*e date t*e p+bli bodreeived s+* reb+ttal information.

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    Responsibilit on-tResponsibilit on-t

    ! 6*e notie iss+ed b t*e p+bli bod s*all

    be final +nless t*e bidder appeals t*e

    deision )it*in ten 8('9 das after reeipt

    of t*e notie, b+ invo4ing administrativeproed+res meeting t*e standards of t*e

    Code of Virginia, " #.#$%&, if available,

    or in t*e alternative b instit+ting legalation as provided in t*e Code of Virginia,

    " #.#$%&%.

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    Responsibilit on-tResponsibilit on-t

    5a a vendor protest t*at

    anot*er vendor is notresponsible>

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    Responsibilit on-tResponsibilit on-t

    VPPA " #.#$%&'

    @o protest s*all lie for a laim t*att*e seleted bidder or offeror is

    not a responsible bidder or

    offeror.

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    Case St+dies

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    Case St+diesCase St+dies

    (. Can a p+bli entit a)ard a ontrat to

    t*e apparent lo) bidder if t*is bidder fails

    to a4no)ledge an addend+m as re/+ired

    in t*e bid speifiations>

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    Case St+diesCase St+dies

    #. f a p+bli entit re7ets all bids d+e to

    t*e fat t*at t*e lo)est bid )as non$

    responsive and re$bids t*e pro7et, an

    t*e seond lo) bidder on t*e first bid laim

    rig*ts to t*e ontat>

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    Case St+diesCase St+dies

    &. Can a p+bli entit deide to re7et a

    bid if t*e bidder )as eno+raged to s+bmit

    a bid b t*e pro7et ar*itet b+t failed to

    attend a mandator pre$bid onferene>

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    Case St+diesCase St+dies

    %. Can a p+bli entit )aive t*e

    re/+irement for t*e agent-s signat+re on

    t*e bid as informalit>

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    Case St+diesCase St+dies

    ! . Can a p+bli entit )aive, as

    informalit, t*e fail+re of a bidder to s+bmit

    t)o alternative prod+ts as re/+ired in t*e

    bid speifiations>

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    +estions