Informal RFPs

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Informal RFPs
Presented by Jan Giffin, CPPB,
VCO jan.giffin_at_dgs.virginia.gov
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Informal RFPs

• Informal RFP Unsealed RFP
• Which Procurement Method to use?
• When to use Unsealed Proposals?

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Small Purchase Procedures

• VPPA allows public bodies to establish small
  purchase procedures, if adopted in writing, not
  requiring the use of competitive sealed bidding
  or competitive negotiation for single or term
  contracts not expected to exceed 50,000. Small
  purchase procedures shall provide for competition
  wherever practicable.
• For state agencies this is done by DGS/DPS in
  the APSPM. Agencies may develop internal
  procedures that may be more restrictive than the
  APSPM but NOT less restrictive.

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Delegated Authority

• State Agencies have a general delegation of
• 50,000 - Goods Printing
• Unlimited Services
• Select state agencies have requested through DPS
  an increase in delegation for goods and/or
  printing varying from 100K to unlimited.

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Delegated Authority

• Localities and Authorities
• Are governed by the Virginia Public Procurement
  Act (VPPA)
• Must adopt their own small purchase procedures
  in writing and are not governed by the Agency
  Procurement Surplus Property Manual (APSPM)

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Small PurchaseCompetitive Requirements

• PIM-021 issued October 2, 2006, incorporates
  changes resulting from Executive Order 33
• Procurements up to 50,000 shall be set-aside
  exclusively for DMBE-certified small businesses

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Small PurchaseCompetitive Requirements
Solicit 1 DMBE-certified small business Solicit
4 DMBE-certified small businesses

• Up to 5,000
• Over 5,000 to
• 50,000

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Informal RFPs

• Unsealed RFP Informal RFP
• Value up to 50,000
• Set-aside for DMBE-certified small business
  unless exempted by APSPM 3.10g

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Informal RFPs

• Prepare written solicitation
• (No written determination is required to use
  unsealed Competitive Negotiation)
• Designate in title of solicitation that
  procurement is set-aside for small businesses
• Format of designation SET-ASIDE FOR SMALL
  BUSINESSES Title xxx

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Informal RFPs

• Include statement of needs, description,
  deliverables
• Include general and special ts cs, pricing
  schedule
• Review insurance and licensing requirements and
  include in RFP if needed
• Include evaluation criteria weights in the
  Solicitation when Issued

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Informal RFPs

• Include Pre-proposal conference or Site Visit
  information (if needed)
• Use mandatory verbs sparingly in the Statement
  of Needs section
• Specify what the agency will provide
• Specific proposal instructions should state
  exactly what the Offeror is to submit as a
  complete proposal

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Informal RFPs

• Solicit a minimum of four (4) DMBE-certified
  small business sources
• May fax, send electronically, or mail to offerors
• Post on VBO (optional)

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Receive Informal Proposals

• Receive responses by due date time
• Be consistent with the timing device used to
  signify the time of closing
• Offers may be opened and evaluated upon receipt

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Evaluation

• Check to see that all information required in the
  specific proposal instructions has been received
• All offers are evaluated against the criteria
  established
• Buyer or end user may evaluate and rank offers or
  a committee may evaluate and rank

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Evaluation

• Offers are generally NOT nonresponsive
• Those missing information after the request to
  remedy the deficiency should receive a lower
  score
• Responsibility Issues
• References provided are checked
• Inspections are made
• Licenses are verified

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Oral Presentations

• If needed, oral presentations are scheduled (by
  phone or in person)
• Negotiation is NOT done at this time

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Rank Offers

• Assign points in accordance with the evaluation
  criteria in the RFP
• Assign points for pricing
• Rank Offers

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Negotiations

• Select points to negotiate
• Develop negotiation strategy
• NEGOTIATE!

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Award Informal RFPs

• Select offeror making the best proposal
• Develop a two-party contract that incorporates
  the RFP and the Offerors proposal, as negotiated
• Include milestones, such as progress reports /
  deliverables, for payment schedule
• If appropriate, assign Contract Administrator in
  writing, providing roles and responsibilities
• Place order through eVA

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Post Award Activities

• Obtain performance payment bonds, if required
• Verify insurance requirements, if requested in
  RFP
• Post Notice of Intent to Award or Notice of
  Award in VBO (optional)
• Administer contract

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Best Value

• Unsealed Best Value Acquisition (BVA)
• Handled in the same manner as an unsealed RFP!

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When to Use Unsealed BVA

• Use best value when it is essential to
  evaluate and compare factors in addition to
  quality or price in order to select the most
  advantageous offer.
• Provides more flexibility
• Cost improvements
• Product quality improvement
• Allows trade-offs

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How is Unsealed BVA Different?

• Criteria is of the same importance or may state
  in order of decreasing importance
• Rating scoring method
• Adjectival
• Color
• Numerical
• Go/No-Go eliminate ones not meeting mandatory
  requirements

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How is Unsealed BVA the Same?

• Evaluate criteria first, except price
• Consider price against trade-offs and benefits
• Buyer or end user may evaluate
• Must Negotiate
• Award to the responsible offeror with the best
  value offer