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bouterling by the Government are

ss the mis proposal received utmen tages to the Government, and shred before s determination of the intre sange bes been made. Th) Any modification of a proposa best to the same conditions as in (

1) The only seceptable evli The date of malling of a lat O modification sent either by reg!! or certified mail is the U.S. Pos tegelpt from the U.S. Postal Servic postmark shows a legible date, 1

proposals but shall be handled in accord or modification of proposal shall be deemed ance with $ 1-3.805.

to have been malled late. (The term "post(38 FR 26914, Sept. 27, 1973]

mark” means a printed, stamped, or other

wise placed impression that is readily identiEFFECTIVE DATE NOTE: The Note in $ 1 fiable without further action as having been 3.802-1(a) becomes effective Aug. 22, 1972. supplied and affixed on the date of malling

by employees of the U.S. Postal Service.) § 1-3.802–2 Alternate procedures for

(2) The time of receipt at the Government consideration of late proposals.

Installation is the time-date stamp of such (a) When the head of the agency, or

Installation on the proposal wrapper or other his designee, determines that the proce

documentary evidence of receipt maintained dures set forth in § 1-3.802–1 are not ap

by the installation. plicable to certain classes of negotiated

(d) Notwithstanding (a) and (b) of this

provision, a late modification of an otherwise procurement conducted by his agency,

successful proposal which makes its terms he may authorize the adoption of the fol

more favorable to the Government will be lowing procedures for consideration of considered at any time it is received and may late proposals and modifications (except be accepted. where the procurement of general pur (e) Proposals may be withdrawn by writpose automated data processing equip ten or telegraphic notice received at any ment is involved unless use of the pro

time prior to award. Proposals may be withcedures set forth in this $ 1-3.802–2 is

drawn in person by an offeror or his author

ized representative, provided his identity is expressly authorized by the Commis

made known and he signs & receipt for the stoner, Automated Data and Telecom

proposal prior to award. munications Service, GSA).

NOTE.-The term (b) Requests for proposals that fall

"telegram” includes

mailgrams. within a class of negotiated procurement for which it has been determined, in ac

(c) Proposals that are received in the cordance with $ 1-3.802–2(a), that the

office designated in the request for prorequirements of § 1-3.802–1 are not ap

posals before the time specified for their plicable shall contain the following

receipt shall be evaluated to determine provision:

which proposals are within the competi

tive range established for the procureLATE PROPOSALS, MODIFICATIONS OF PROPOSALS,

ment action. There may be cases where AND WITHDRAWALS OF PROPOSALS

lateness due solely to a delay in the mails (a) Any proposal received at the office de

or mishandling after receipt at the Govsignated in the solicitation after the exact

ernment installation results in a protime specified for receipt will not be considered unless it is received before award is

posal being received by the contracting made, and:

officer after the competitive range has (1) It was sent by registered or certified

been determined. In such cases the late mail not later than the fifth calendar day

proposal shall be evaluated, and, if prior to the date specified for receipt of of found to be within the competitive range, fers (e.g., an offer submitted in response to a shall be given the same consideration solicitation requiring receipt of offers by the as other proposals within the competi20th day of the month must have been malled

tive range. by the 15th or earlier); (2) It was sent by mall (or telegram 1f au

(d) A late proposal that is delayed due thorized) and it is determined by the Gov

to circumstances other than those set ernment that the late receipt was due solely

forth in the provision contaned in § 1to mishandling by the Government after re 3.802–2(b) which offers significant cost celpt at the Government installation;

or technical advantages to the Govern(3) It is the only proposal received; or ment shall be evaluated provided it is (4) It offers significant cost or technical

received before a determination of the advantages to the Government, and it is received before a determination of the compe

competitive range has been made. Where titive range has been made.

the evaluation results in a determination (b) Any modification of a proposal is sub

that the proposal is within the competiject to the same conditions as in (a) of this

tive range, the proposal shall be given provision.

the same consideration as other pro(c) The only acceptable evidence to posals within the competitive range. establish:

However, where only one proposal is in(1) The date of malling of a late proposal volved and it is received after the time or modification sent either by registered mall or certified mall is the U.S. Postal Service

specified, a determination of the compostmark on the wrapper or on the original

petitive range is not to be made and the receipt from the U.S. Postal Service. If neither proposal may be evaluated and considpostmark shows a legible date, the proposal ered for award provided that the re

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a procurement, Bometer, they are
aliable where their use would be of

mapuropriate Winile the lowest
Au best cost to the Government is
seu tine deciding factor in source se

in many instantes, award of
sat properit may be influenced by

sal which promises the greatest,
less the Government in terms of use
erstormance, nitimate productbliky,
mil potential and other factors in
Po be the case, for example, when pih
sa research and development, spertai
professional services such as a
regineer services) or when he
mbursement type contracting in antion
thed (see 1-3.805-2).

Alter reeipt of initial programa
miten or oral discussions shall be con
usted with all responsible offerte
smiltest proposals within a wa
we range, price and other factors
thered, except that this CA
sed not necessarily be applied

D) Procurements not in een
10 in accordance with all you
procedures (see Subpart. La

Procurements in what is
prices are fixed by law or regis
(3) Procurementa in Wien
dellvery will not permit sok flur
(4) Procurements of the
portion of partial settes op
business restricted advertising

(6) Procurements in wice clearly demonstrated from the of adequate competition prlor cost experiences with a or service that are shares of favorable initial proposal wian slon would result in a taite able price: Procided, That

basic issues shall be the objective of the contract negotiations. Oral discussions or written communications shall be conducted with offerors to the extent necessary to resolve uncertainties relating to the purchase or the price to be paid. Basic questions should not be left for later agreement during price revision or other supplemental proceedings. Cost and profit figures of one offeror or contractor shall not be revealed to other offerors or contractors. § 1-3.805 Selection of offerons for

negotiation and award. & 1-3.805-1 General.

The procedures set forth in this $ 13.805–1 are generally applicable to negotiated procurement. However, they are not applicable where their use would be clearly inappropriate. While the lowest price or lowest cost to the Government is properly the deciding factor in source selection in many instances, award of a contract properly may be influenced by the proposal which promises the greatest value to the Government in terms of possible performance, ultimate producibility, growth potential, and other factors as may be the case, for example, when procuring research and development, special or professional services (such as architect-engineer services) or when costreimbursement type contracting is anticipated (see § 1-3.805–2).

(a) After receipt of initial proposals, written or oral discussions shall be conducted with all responsible offerors who submitted proposals within a competitive range, price and other factors considered, except that this requirement need not necessarily be applied to:

(1) Procurements not in excess of $10,000 in accordance with small purchase procedures (see Subpart 1-3.6);

(2) Procurements in which rates of prices are fixed by law or regulations;

(3) Procurements in which time of delivery will not permit such discussions;

(4) Procurements of the set-aside portion of partial set-asides or by small business restricted advertising; or

(5) Procurements in which It can be clearly demonstrated from the existence of adequate competition or accurate prior cost experience with the product or service that acceptance of the most favorable initial proposal without discussion would result in a fair and reasonable price: Provided, That the request

for proposals contains a notice to all offerors of the possibility that award may be made without discussion of proposals received and hence, that proposals should be submitted initially on the most favorable terms, from a price and technical standpoint, which the offeror can submit to he Government. In any case where there is uncertainty as to the pricing or technical aspects of any proposals, the contracting officer shall not make award without further exploration and discussion prior to award. Also, when the proposal most advantageous to the Government involves a material departure from the stated requirements, consideration shall be given to offering the other firms which submitted proposals an opportunity to submit new proposals on a technical basis which is comparable to that of the most advantageous proposal: Provided, That this can be done without revealing to the other firms any Information which the offerer does not want disclosed to the public (see § 1-3.103(b)).

(b) Whenever negotiations are con. ducted with more than one offeror, no indication shall be given to any offeror of a price which must be met to obtain further consideration since such practice constitutes an auction technique which must be avoided. Likewise, no offeror shall be advised of his relative standing with other offerors as to price or be furnished information as to the prices offered by other offerors. After receipt of proposals, no information regarding the number or identity of the offerors participating in the negotiations shall be made avallable to the public or to any one whose official duties do not require such knowledge. Whenever negotiations are conducted with several offerors, while such negotiations may be conducted successively, all offerors selected to participate in such negotiations (see § 1-3.8051(a)) shall be offered an equitable opportunity to submit such price, technical, or other revisions in their proposals as may result from the negotiations. AU such ofterors shall be informed of the specified date (and time if desired) of the closing of negotiations and that any revisions to their proposals should be submitted by that date. In addition, all such offerors shall be informed that after the specified date for the closing of negotiations, no information (other than pre-award notice of unacceptable proposals or offers) will be furnished to


mest pays and only secondarily with the ventual cost and profit to the contractor. | 11-3,807 Pricing techniques. | 11-3.807-1 General.

6) Policles set forth in this Subpar H8 may be applied in a variety of way

the evaluation of offerors or con v stors' proposals and in the negotia in of contract prices. This $ 1-3.80 i seribes the principal price and cos faluation techniques and the circum tances under which each may be use They are equally applicable to initial ar absequent price negotiations. b) For the purpose of this $1–3.80 the terms "adequate price competitio and "established catalog or market pric d commercial Items sold in substant quantities to the general public" shall construed in accordance with the follo

ng general guidelines.
(1) Adequate price competition.
Price competition exists if offers are
Melted and (A) at least two respons
diferors (B) who can satisfy the purch
er's (e.g.

, the Government's) requ ments (C) Independently contend fo contract to be awarded to the respon and responsible offeror submitting lowest evaluated price (D) by submit priced offers responsive to the expre requlrements of the solicitation. Whe there is price competition for a g procurement is a matter of judgmen be based on evaluation of whether of the foregoing conditions (A) thr D) is satisfied. Generally, in ma this judgment, the smaller the nu of offerors, the greater the need for

evaluation. (If conditions (A) through (

above are met, price competition be presumed to be "adequate" unle purchaser (e.g., the contracting o

(A) The solicitation was made conditions that unreasonably do one or more known and qualified ors an opportunity to compete; B) The low competitor has determinative advantage over th competitors that he is practica mune to the stimulus of compet proposing a price (e.g., a detern advantage because substantial co 2 start-up or other nonrecuri Denses, have already been abs connectlon with previous sales, t)

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