25.504
Evaluation examples
FAR 25.504 uses practical examples to clarify how contracting officers should apply evaluation procedures and price factors when comparing foreign and domestic offers under various trade statutes and agreements.
Overview
FAR 25.504 provides illustrative examples to help contracting professionals understand how to apply the evaluation procedures outlined in FAR 25.502 and 25.503 when comparing foreign and domestic offers for supply contracts. These examples assume that only offers acceptable on non-price grounds remain and demonstrate how to apply price evaluation factors and trade agreement considerations. The section references specific scenarios, including the Buy American statute, WTO GPA, Caribbean Basin Trade Initiative, Free Trade Agreements (FTAs), the Israeli Trade Act, and group award situations. The evaluation factor used may vary according to agency-specific regulations.
Key Rules
- Application of Evaluation Procedures
- Contracting officers must use the procedures in FAR 25.502 and 25.503 to evaluate offers, applying price evaluation factors and trade agreement exceptions as appropriate.
- Use of Examples
- The section provides practical examples for different statutory and trade agreement scenarios to clarify how to apply the rules in real-world situations.
Responsibilities
- Contracting Officers: Must apply the correct evaluation factors and procedures, referencing agency regulations as needed, and ensure only acceptable offers are evaluated.
- Contractors: Should understand how their offers will be evaluated under various statutes and trade agreements.
- Agencies: May establish specific evaluation factors or procedures in their own regulations.
Practical Implications
- This section exists to clarify complex evaluation requirements by providing concrete examples.
- It helps contracting professionals avoid misapplication of price evaluation factors and trade agreement exceptions.
- Common pitfalls include misunderstanding which offers are eligible for evaluation and how to apply the correct evaluation factor for each scenario.