Civil Engineering Reference
In-Depth Information
Owners should not use a BAFO mechanism for trying to get a lower price than was
previously bid. A basis for the BAFO is if changes or other clarifications are made during
the post submittal period, and a revised proposal is deemed too costly, too lengthy with
respect to the schedule, or unnecessary.
Requests for BAFOs must be in writing. The letter requesting BAFO has four essen-
tial elements:
1. Specific notice that discussions have concluded.
2. Notice that this is the opportunity for the proposer to submit a BAFO.
3. A definite, common cutoff date and time that allows a reasonable opportunity for
the preparation and submission of the BAFO.
4. Notice that the final offer must be received at the place designated by the time
and date set in the request.
Concurrent Negotiations
This technique is not widely used in the water and wastewater industry but is available
to owners. Concurrent negotiations are defined as a process when two or more design-
builders are selected for negotiations for a particular project. The point of these negotia-
tions is to put the companies at odds with one another as the owner tries to get the best
“deal.” This can be a complex and burdensome process, and owners are advised to care-
fully consider this before using in its procurement process.
PROCUREMENT APPROACHES:
ADVANTAGES AND DISADVANTAGES
The advantages and disadvantages of the various procurement approaches are summarized
in the following tables: (1) Table 7-4, Advantages and disadvantages for direct negotiation
selection; (2) Table 7-5, Advantages and disadvantages for QBS; (3) Table 7-6, Advantages
and disadvantages for BVS—one step (RFP); (4) Table 7-7, Advantages and disadvantages
for BVS—two step (RFQ/RFP); (5) Table 7-8, Advantages and disadvantages for progres-
sive DB; and, (6) Table 7-9, Advantages and disadvantages for price-based selection.
Using these tables, owners can decide on the relative importance of such advantages
and disadvantages for their project. For example, one advantage may outweigh a few dis-
advantages that an owner deems of minor importance.
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