Subpart 6.4
Sealed Bidding and Competitive Proposals
FAR Subpart 6.4 guides agencies in choosing between sealed bidding and competitive proposals to ensure full and open competition in federal contracting.
Overview
FAR Subpart 6.4 addresses the two primary methods of obtaining full and open competition in federal contracting: sealed bidding and competitive proposals. This subpart outlines the regulatory framework for when and how these methods should be used, ensuring that agencies select the most appropriate process based on the nature of the procurement. The subpart serves as a bridge between the general competition requirements in Part 6 and the detailed procedures found in Parts 14 (Sealed Bidding) and 15 (Contracting by Negotiation). Its purpose is to clarify the distinction between these two competitive methods and guide contracting officers in their application.
Key Rules
- Sealed Bidding
- Used when requirements are clear, precise, and award can be made based solely on price and price-related factors.
- Competitive Proposals
- Used when requirements are complex, evaluation factors other than price are significant, or discussions with offerors are necessary.
Responsibilities
- Contracting Officers: Must determine the appropriate competitive method (sealed bidding or competitive proposals) based on the acquisition's characteristics and document the rationale.
- Contractors: Should understand which method applies to their solicitation and prepare responses accordingly.
- Agencies: Ensure compliance with competition requirements and proper selection of procurement method.
Practical Implications
- This subpart ensures agencies use the most effective competitive method for each procurement, promoting fairness and transparency.
- Contractors must be aware of the differences between sealed bidding and competitive proposals to respond effectively.
- Misapplication of the method can lead to protests or delays.