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Draft Report

Procuring, Managing, and Evaluating the Performance of Contracted TMC Services

Project description/location;

Budgeted costs;

Specific disciplines sought;

Contract terms;

Description of qualification package; and

Rating criteria.

As a precursor to RFPs, RFIs can be used to collect written information about the capabilities of various contractors as the first step in gathering basic information; An RFI will have enough information to indicate the scope of the project and will provide contact information for full RFP or other RFQ document.

An RFP is an invitation to submit proposals on a specific commodity or service that may include a bidding process.  The winning contractor will have the responsive proposal with the combination highest technical score and (weighted) price.  While longer than other processes, the RFP process allows input from a greater variety of technical experts so that all proposal components, risks, and benefits can be understood by the procuring agency’s project team.  RFPs typically involve information on project approach and technical capability in addition to price information, contractor financial information, and project references.  Final selection is based on proposed services or goods as well as cost.  The RFP process is often used when services or goods are not well defined, and it allows for some creativity in responses from the contractors.

ITBs allow for a final selection based on cost only and are best for the purchase of commodities or well-defined services.  The lowest price responsive bid is the winning proposal.  Unless every detail of TMC operations is known and defined, ITB is not an effective procurement method given the unknowns in TMC services as well as the technical expertise required.

An ITN is an expression of willingness to negotiate; that is, the procuring agency advertises the invitation to receive offers, and the contractor providing the most desirable outcome becomes the leading contender for the contract unless the negotiations fail.  At that point, the procuring agency would look to the second-rated contractor, and so on.  The “most desirable proposed outcome” is from the vendor who provides the highest overall value based on objective factors that include price, quality, design, and workmanship.  Contractors generally have to go through a qualifications process to show they have the necessary qualifications, experience, and capabilities to meet the project requirements as described by the project’s scope of services.  Oral presentations or technical proposals may or may not be required, and upon selection of the lead contractor, the negotiation process may begin.  The negotiations take place until either an acceptable contract is agreed upon or it is determined that an acceptable agreement cannot be reached, in which case negotiations begin with the next-ranked vendor until an agreement is

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