Management System: Non-Management and Operating Contracting
Subject Area: Construction/Architect-Engineering (A-E)

Procedure 3. Evaluating Construction and Architect-Engineering Proposals, Bids, or Offers

Management System Coordinators
Process Steward:
Implementation Lead:
Subject Matter Expert:
Subject Area Point of Contact:

Latest MS Specific Document Revision Date 12/16/2022
Latest MS Total Biennial Review Completed 12/16/2022
SCMS Revision 4.0

1.0  Applicability

This procedure applies to Contract Specialists (CSs), Contracting Officers (COs), the Source Evaluation Board (SEB) (if applicable), technical representatives, and Small Business Program Managers.

2.0  Required Procedure

After the solicitation has been released and offerors have submitted proposals, the proposals are evaluated consistent with the stated criteria listed in the solicitation and the Rating Plan. The CS checks bids/proposals for completeness and compliance and records the offerors qualification information on the Standard Form 330, Architect‑Engineer Qualifications.  Based on solicitation method, proceed to appropriate step.

Sealed Bidding- Invitation for Bid (IFB), go to Step 1.

Negotiated Procurement, go to Step 5.

Two-Phase Design Build, go to Step 6.

Architect‑Engineering, go to Step 11.

NOTE: No contract for the construction of a project will be awarded to the firm that designed the project or its subsidiaries or affiliates, except with the approval of the head of the agency or authorized representative.

Sealed Bidding - Invitation for Bids (IFB)
Step 1 Provide cost advisors the technical evaluation of cost with any recommended cost realism adjustments and obtain final cost report from cost advisors.
Step 2 Financial Advisor provides a report to the CO.
Step 3 Records all bids on Standard Form 1409, Abstract of Offers.
Step 4  Confirm contractor is responsible, create a negotiation memorandum in a format commensurate with the value of award, conducts negotiations with the selectee, and documents the outcome of the negotiations. 
Negotiated Procurement
Step 5

See Department of Energy Acquisition Guide, Chapter 15, Contract by Negotiation

Two-Phase Design Build
Step 6 After evaluating Phase One, the CO selects the most highly qualified offerors (not to exceed the maximum number specified in the solicitation in accordance with FAR 36, Construction and Architect‑Engineer Contracts) and requests only those offerors submit Phase Two Proposals. 
Step 7

For Phase Two, the CS, CO and the SEB Chairperson provide cost advisors technical evaluation of cost with any recommended cost realism adjustments and obtain final cost report from cost advisors.

Step 8 Financial Advisor provides a Financial Advisor Report to the CO.
Step 9 Prepares source selection documentation and obtains CO approvals.
Step 10
Confirm contractor is responsible, create a negotiation memorandum in a format commensurate with the value of award, conducts negotiations with the selectee, and documents the outcome of the negotiations. 
Architect‑Engineering (A-E)
Step 11

Evaluate each potential contractor in terms of its:

  • Professional qualifications necessary for satisfactory performance of required services;

  • Specified experience and technical competence in the type of work required, including, where appropriate, experience in energy conservation, pollution prevention, waste reduction, and the use of recovered materials;

  • Capacity to accomplish the work in the required timeline;

  • Past performance on current/previous contracts with Government agencies and private industry in terms of cost control, quality of work, and compliance with performance schedules;

  • Location in the general geographical area of the project and knowledge of the locality of the project, provided that application of this criterion leaves an appropriate number of qualified firms, given the nature and size of the project; and

  • Acceptability under other appropriate criteria.  After the design competition is approved, evaluation of the firms on the basis of their conceptual design of the project. 

NOTE: Design competition may be used when (1) unique situations exist involving prestige projects, such as the design of memorials and structures of unusual national significance; (2) sufficient time is available for the production and evaluation of conceptual designs; and (3) the design competition, with its costs, will substantially benefit the project.

Step 12 Holds discussions with at least three of the most highly qualified firms regarding concepts, the relative utilization of alternative methods and feasible methods to prescribe the use of recovered materials and achieve waste reduction and energy-efficiency in facility design.
Step 13

SSA reviews the recommendations of the evaluation board and advice of appropriate technical and staff representatives in order to make the final selection.

NOTE: The final selection lists in order of preference of the firms considered most highly qualified to perform the work. If the firm listed as the most preferred is not the firm recommended as the most highly qualified by the evaluation board, the SSA provides for the contract file a written explanation of the reason for the preference. All firms on the final selection list are considered “selected firms” with which the contracting officer may negotiate.

Step 14

SSA is not to add firms to the selection report. If the firms recommended in the report are not deemed to be qualified or the report is considered inadequate for any reason, the SSA will record the reasons and return the report through channels to the evaluation board for appropriate revision.

Step 15

Unless specified by the SSA, the final selection authorizes the CO to begin negotiations. The evaluation board is to be promptly informed of the final selection.

Step 16 Confirm the contractor is responsible, creates a negotiation memorandum in a format commensurate with the value of award, conducts negotiations with the selectee, and documents the outcome of the negotiations.

3.0  References