Glossary

Evaluation criteria

Evaluation criteria are the factors a buyer uses to score proposals and choose a winner, such as technical approach, past performance and price, together with their relative importance. In federal RFPs they appear in Section M, and every factor that will affect the award must be stated in the solicitation.

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01What the rules require

FAR 15.304 requires the solicitation to state all evaluation factors and significant subfactors that will affect the award and their relative importance. It requires price or cost to be evaluated in every source selection, and past performance in most negotiated competitions above the simplified acquisition threshold (see past performance). FAR 15.305 then requires the agency to evaluate proposals solely on the factors and subfactors in the solicitation. State and local rules differ in detail, but almost all require scoring criteria to be published.

02Tradeoff or lowest price technically acceptable

The criteria also reveal the basis of award. In a best-value tradeoff (FAR 15.101-1) the buyer may pay more for a proposal judged better on non-price factors, and the RFP says whether the non-price factors together are more important than, as important as, or less important than price. Under lowest price technically acceptable (FAR 15.101-2), proposals are rated acceptable or unacceptable on non-price factors and the lowest-priced acceptable offer wins, so strengths beyond the minimum earn nothing.

Best-value tradeoffLowest price technically acceptable
FAR reference15.101-115.101-2
How non-price factors are ratedScored, with strengths and weaknessesAcceptable or unacceptable
Who winsThe best value, which may not be the lowest priceThe lowest-priced acceptable proposal
What to writeProven strengths tied to each factorA plain answer to every requirement, at the lowest price

03Reading Section M

  • List every factor and subfactor and its stated weight or order of importance.
  • Note the rating scheme: adjectival ratings, points or pass/fail.
  • Map each factor to the Section L instruction that says where to address it. A mismatch between L and M is worth a question to the contracting officer.
  • Look for words that signal what earns a strength, such as "demonstrated", "innovative" or "reduces risk".

Then organize the proposal so an evaluator finds the answer to each factor where they expect it, and make strengths explicit: evaluators score what is written, not what is implied.

04Discussions and final proposal revisions (BAFO)

In negotiated acquisitions the buyer may award without discussions or hold discussions with the offerors in the competitive range (FAR 15.306). When discussions end, the contracting officer asks each remaining offeror for a final proposal revision by a common cut-off date (FAR 15.307). The older name for that last round is best and final offer, or BAFO, and many state and local buyers still use it. Treat it as a real chance to fix the weaknesses the buyer identified, and change price with the same care as the original pricing: the final revision is evaluated as submitted.

Evaluation criteria: common questions

What does best value mean?

In federal acquisition it is a continuum (FAR 15.101). At one end is a tradeoff, where the buyer may pay more for a better proposal; at the other is lowest price technically acceptable, where the lowest-priced acceptable offer wins. The solicitation says which applies.

Can a buyer evaluate on criteria that are not in the solicitation?

Not in a federal negotiated procurement: FAR 15.305 requires evaluation solely on the factors and subfactors stated in the solicitation. Evaluation against unstated criteria is a common ground for bid protests.

What is a BAFO?

Best and final offer, the older name for the final proposal revision a contracting officer requests when discussions end (FAR 15.307). Many state and local buyers still use the term.

Sources

  1. FAR 15.304 — Evaluation factors and significant subfactorsAcquisition.gov
  2. FAR 15.305 — Proposal evaluationAcquisition.gov
  3. FAR 15.101 — Best value continuumAcquisition.gov
  4. FAR 15.101-1 — Tradeoff processAcquisition.gov
  5. FAR 15.101-2 — Lowest price technically acceptable source selection processAcquisition.gov
  6. FAR 15.306 — Exchanges with offerors after receipt of proposalsAcquisition.gov
  7. FAR 15.307 — Proposal revisionsAcquisition.gov

Related terms

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