|A procuring agency must include the following information in an ITB according to Oregon statutes and administrative rules.
- Notice of any pre-offer conferences, including:
- Time, date and location.
- Whether attendance is mandatory.
- Provision that statements made by the agency or DAS representatives
at the conference are not binding unless confirmed by written addendum.
- The form and instructions for bid submission including any other
special information, for example, electronic means of submission.
- The name and title of the person receiving bids.
- The designated agency contact (if different).
- A statement that the procuring agency may cancel the procurement or reject any or all bids.
- Time, date and place of bid opening.
- The location of the office where the solicitation document may be reviewed.
- A statement that each bidder must identify whether the bidder is a resident bidder (refer to ORS 279A.120).
- Methods of notifying bidders of addenda.
Definition of need
- Description of the product or service.
- Specification or scope of work for the needed product or service.
- Requirement that contractors perform work according to the highest industry standards for their profession.
- Delivery or performance schedule.
- Inspection and acceptance requirements.
- Contractor’s anticipated duties.
- Expectations for the contractor’s performance.
- A statement that the contractor must use recyclable products to the
maximum extent economically feasible in the performance of the contract
- Requirement for bidder to obtain subcontract labor, materials, or
labor and materials from a supplier registered as an Emerging Small
Business, if applicable.
Bidding and evaluation process
- The anticipated solicitation schedule, deadlines, protest process, and evaluation process.
- Objective evaluation criteria (minimum acceptability and the criteria that will effect bid price or total cost of ownership).
- If multiple awards, the factors used to determine the number of contracts to be awarded
- Applicable preferences that will be considered in evaluation.
- Requirement for a contractor's certification of compliance with Oregon tax laws, if applicable (refer to ORS 305.385).
- Bidder certification of non-discrimination in obtaining required subcontractors, if applicable.
- Requirements for bid security, if reasonably necessary or prudent.
- Contractual terms and conditions clearly specifying the consequences
of a contractor’s failure to perform or meet established performance
Resource: Use one of the provided DAS Procurement Services ITB templates and refer to the ITB Checklist. Note: Agencies must use
the appropriate DAS-supplied Provisional Library when incorporating
other provisions into an ITB.
The requesting agency must
follow its internal and state-level procedures for review and approval
of the ITB document prior to posting the public notice.
After the procuring agency obtains internal and state-level approvals, the agency must advertise the opportunity to potential bidders through a
public notice posted on ORPIN. This informs potential bidders of the
procurement opportunity and strengthens competition.
To promote the
procurement opportunity and foster competition, an agency may supplement
the public notice through additional means. An agency may use mail,
newspaper, Oregon Cooperative Procurement Program (ORCPP) or its website for this purpose, however, the information
provided must be limited to directing potential bidders to the
official notice on ORPIN.
Note: Conducting a solicitation through
ORPIN satisfies an agency’s requirement to provide timely notice and
information to the Governor’s Policy Advisor for Economic and Business
Equity regarding bid solicitations and contract awards (refer to ORS
All public notices must contain the following information:
Official notice of the ITB must appear on ORPIN for a minimum of 14 days
prior to bid opening. Additional notice may be given for any reasonable
- Where, when, how, and for how long the ITB may be obtained.
- A general description of the products or services to be acquired.
- The date that suppliers must file applications for prequalification,
if prequalification is a requirement, and the class of products or
services for which suppliers must be prequalified.
- The office where contract terms, conditions and specifications may be reviewed if unable to access the ORPIN official notice.
- The name, title and address of the individual authorized to receive bids.
- The date the procuring agency will open bids.
- Any other information deemed appropriate.
In certain circumstances, the procuring agency may
determine that a shorter official notice period is in the public's
interest and that the shortened period will not substantially effect
competition. A posting period, however, must not be less than seven
days. If the official posting period is reduced from 14 days, the
procuring agency must document the specific reasons for the shorter time
period in the procurement file.
After the ITB is posted, the procuring agency must manage the
solicitation until bid responses have been received. Solicitation
The procuring agency may conduct a pre-bid conference to explain the
procurement process to potential bidders and allow them to ask questions. Bidder questions and answers to those questions must be posted in ORPIN and made available to all potential bidders. If an answer to a question results in a material change to the ITB, the procuring agency must issue an addendum to the ITB describing the change and post it in ORPIN.
- Facilitating the pre-bid conference (if provided through the solicitation).
- Receiving and responding to potential bidders’ written inquiries regarding the solicitation.
- Processing solicitation addenda, as required.
An addendum is used to
communicate material changes to the ITB, correct minor defects, and
provide information or clarification to potential bidders. If the
procuring agency must amend the ITB, the agency should consider the
impact to the potential bidders and determine if additional time should
be given for submission of bids.
The procuring agency must post
official notice of an addendum to the ITB through ORPIN. Provided there
is no extenuating public interest to retain the bid opening date, the
procuring agency should not issue an addendum less than 72 hours before
the bid opening unless the addendum also extends the bid opening date.
the official public notice of the solicitation and before the award of a
contract, any communication between the procuring agency and potential proposers must occur within the context of the solicitation only. This communication can only occur during the scheduled question and answer time frame allowed by the ITB as it relates to supplier inquiries related to
terms and conditions, specifications, addenda or other related matters.
During this time frame, telephone conversations and meetings with potential
bidders must be documented in the procurement file.
bidders submit written questions regarding a solicitation, the
procuring agency should post the questions and answers on ORPIN. A
record of all material communications regarding the solicitation by
potential bidders must be included as part of the procurement file.
The procuring agency must date and time stamp, but not open, any bid
submitted prior to bid closing. Bids must be stored in a secure place
until the time and date set for bid opening.
At the time, date
and place designated in the ITB for bid opening, the procuring agency
must publicly open all bids received. The names of the bidders and the
amounts of their bids must be read aloud and made available to the
persons present. This information should be recorded at the time of
opening in a bid tabulation or bid abstract and should be posted in
The procuring agency must inspect each bid to ensure that
it is signed by the bidder, verify and secure any required bid bond and
remove any documents designated by the bidder to be confidential. All
other documents must be available for public inspection at the time of
Any bids that arrive after the official due date and
time are considered late and are retained by the state. The procuring
agency may consider a late bidder’s request to return an unopened bid
document at the bidder’s expense.
The procuring agency must protect the integrity of the competitive
procurement process and assure fair treatment of bidders. To accomplish
this, the procuring agency should carefully consider whether it will
allow for waivers, corrections or withdrawals of bids for certain
mistakes. Prior to bid closing, the procuring agency must not allow a
bidder to correct or withdraw a bid for an error in judgment.
mistakes are found in a bid after the bid opening, but before award of
the contract, the procuring agency may take the following actions:
or permit a bidder to correct, a minor informality. A minor informality
is a matter of form rather than substance that is evident on the face
of the bid, or an insignificant mistake that can be waived or corrected
without prejudice to other bidders. Examples include a bidder's failure
- Return the correct number of signed bids or the correct number of other documents required by the ITB document.
- Sign the bid in the designated block, provided a signature appears elsewhere in the bid, evidencing an intent to be bound.
- Acknowledge receipt of an addendum to the ITB document, provided
that it is clear on the face of the bid that the bidder received the
addendum and intended to be bound by its terms; or the addendum involved
did not affect price, quality or delivery.
- Correct a clerical error if the error is evident on the face of the
bid or other documents submitted with the bid, and the bidder confirms
the procuring agency’s correction in writing. Examples include:
- Typographical mistakes.
- Errors in extending unit prices.
- Transposition errors.
- Arithmetical errors.
- Instances in which the intended correct unit or amount is evident by
simple arithmetic calculations. Note: Unit prices must prevail over
extended prices in the event of a discrepancy between extended prices
and unit prices.
a bidder to withdraw a bid based on one or more clerical errors in the
bid only if the bidder shows with objective proof and by clear and
- The nature of the error.
- That the error is not a minor informality or an error in judgment.
- That the error cannot be corrected or waived.
- That the bidder acted in good faith in submitting a bid and in communicating that the alleged error in the bid exists.
- That the bidder acted without gross negligence in submitting a bid that contained the claimed error.
- That the bidder will suffer substantial detriment if they are not granted the permission to withdraw the bid.
- That the state will not face substantial hardship from withdrawal of the bid.
- That the bidder promptly gave notice of the claimed error.
A procuring agency may allow for mistakes in bids to be corrected after
bid opening, however, changes that are prejudicial to public interests
or fair competition are not allowed. The procuring agency must reject
any bid in which a mistake is evident on the face of the bid and the
intended correct bid is not evident or cannot be substantiated from
documents submitted with the bid.
A procuring agency may cancel
awards or orders, or terminate a solicitation due to bid mistakes, but
must support any of these actions with a written determination.
Following award, a bidder is bound by its bid, and may withdraw its bid
or rescind a contract only as allowed by applicable law.
A procuring agency must make its bid award to the lowest responsible and
responsive bidder whose bid meets the ITB requirements and criteria.
The results of the bid opening are limited to the apparent low bidder,
which may or may not be awarded the contract.
After the opening, the
procuring agency must evaluate each bid to determine whether it
complies with all ITB requirements, specifications and ability of the
bidder to perform the contract.
The procuring agency must
consider all applicable preferences (refer to OAR 125-247-0600 and OAR
125-246-0300 through 0324), and then evaluate each bid to determine
which one offers the lowest cost to the state according to the ITB.
bids are received that are identical in price and meet all of the
requirements established in the solicitation, then the procuring agency
must use the following priority to resolve the tie bid:
- Award to the bidder who is offering products or services manufactured, produced or that will be performed in Oregon.
- Award through a random drawing if none or all of the tie bids are
bidders offering products or services manufactured, produced or that
will be performed in Oregon.
Responsive and responsible
As part of an evaluation process, the procuring agency must determine whether the bidder is responsive and responsible.
responsive bid unequivocally commits to the requirements of the ITB. A
responsive bidder is one whose bid substantially complies with the ITB
and all prescribed procurement procedures and requirements and contains
no material defects.
A material defect is one that affects
price, quality, quantity, or delivery terms. Material deficiencies
affecting responsiveness may not be corrected. Some examples of
- The bid does not meet the minimum specifications or requirements for the products, services or construction.
- The bid document makes exception to terms and conditions in the solicitation.
- The bid is submitted without pricing or with conditional pricing.
A responsible bidder has the capability and capacity to carry out all contractual responsibilities, and has:
financial, material, equipment, facility, and personnel resources and
expertise, or has the ability to obtain the resources and expertise,
necessary to meet all contractual responsibilities.
- Completed previous contracts of a similar nature with a satisfactory record of performance.
- A satisfactory record of integrity.
- The legal qualifications to contract with the agency.
- Complied with the tax laws of the state.
- A certification from DAS for training in pay equity provisions of state law.
- Supplied all necessary information related to the determination of responsibility.
- No record of being debarred by the state or agency.
Life cycle costing
An agency must consider the use of life cycle costing as an evaluation method to quantify
the total cost of ownership. This method calculates the cost to
acquire, operate, support and dispose of a product over its useful life.
procuring agency may use this method to include any additional costs
that relate to adverse impacts of a product, for example, impacts to the
environment or public health. Using this method, award of a contract is
not based solely on the lowest price, and a low bid would include life
If an agency elects to use life cycle costing for evaluation, the ITB must:
- Describe how life cycle costing will be considered and applied in the evaluation process and award decision.
- Provide relevant information for the evaluation of the bid, for
example, projected product usage, operating environment, and operating
- Describe any information that a bidder must provide in their bid,
including relevant life cycle costs and supporting information.
Successive rounds of bidding
The procuring agency has the ability to perform successive rounds of
bidding to gain the best offer if the initial ITB documents provide for
this option. In this instance, a bid’s specifications, terms and
conditions, or pricing structure may be revised and reissued for
bidding. Bidders must be allowed adequate time to revise and resubmit
their bids in response to the requirements in the newly revised ITB.
each successive round, scoring of prior bids may be disregarded and new
scoring may be performed based on the new bids. After each round, the
procuring agency may disqualify bidders if the bids did not meet
requirements, or if the bids did not meet a minimum evaluation score. A
disqualified bidder may be reinstated in a later round if the procuring
agency determines that reason for rejection is no longer applicable
based on changes to the ITB.
Multi-step Competitive Sealed Bidding
The multi-step Competitive Sealed Bidding method is a combination of the
Competitive Sealed Proposals process (Phase one) and the Competitive
Sealed Bidding process (Phase two). This method is preferred under
circumstances where an award to the lowest responsive, responsible
bidder is desired, but impractical as the solicitation does not define
the product or services requirements in a manner that permits an award
based on price.
The multi-step Competitive Sealed Bidding method allows the procuring agency to:
- Phase one
- Evaluate technical proposals.
- Rank bidders.
- Perform discussions.
- Allow revised priced proposals, if necessary.
- Phase two
- Identify the lowest, responsive and responsible bidder.
In this process, the procuring agency may instruct bidders to submit
their bid pricing in a separately sealed envelope along with the
technical proposals. Alternatively, the procuring agency may instruct
bidders to submit their bid pricing after technical proposals have been
submitted and evaluated and after completing discussions on the
technical proposals. Regardless of the approach, the priced bids are
only considered in step two and only for those bidders whose unpriced
technical proposals are found acceptable in step one.
procuring agency instructed bid pricing to be submitted during Phase one,
notification of the due date and time for bid pricing should be issued
only to bidders deemed acceptable in Phase one.
If a separate
submission of the bid pricing is required in Phase two, the procuring
agency must provide all bidders whose unpriced technical proposals are
found acceptable in Phase one an opportunity to submit their bid pricing.
Once the procuring agency determines the lowest responsive and
responsible bidder, the agency must document the award determination and
file it in the procurement file. At a minimum, documentation of an
award determination for an ITB must include:
- Bid responses.
- Completed bid tabulation sheet.
- Written justification for any rejection of lower bids.
In addition to these required elements, the procuring agency should also
document any other relevant information used in its award decision.
Examples may include any bids rejected, discussions held with a bidder,
or clarification received from bidders.
After documenting the award determination, and seven days prior to awarding a contract, the procuring agency agency must notify all bidders in writing about the notice of intent to award. The agency must also post the notice of intent to award in ORPIN for at least seven days prior to awarding a contract.
The procuring agency may determine
that circumstances justify prompt execution of a contract, in which case
a shorter award notice period may be provided. If a shorter award
notice period is used, the procuring agency must document the specific
reasons for the shorter notice period in the procurement file.
the notice of intent to award, the procurement files must be made
available according to applicable law, except where applicable law
requires the procuring agency to make information contained in the
procurement files available before any notice of intent to award (refer
to the Public Records Law).
After the intent to award notice period, and as required by the ITB, the
procuring agency must provide the successful bidder a contract, signed
purchase order, price agreement, or other contract documents, as
The successful bidder must promptly execute the
provided contract and complete any actions necessary to complete the
contract, including posting performance security, submitting proof of
insurance when the invitation to bid requires the submission and
agreeing to perform the scope of work and meet the performance standards
described in the ITB.