Contract Negotiations

Definition: Best value concepts may be considered when procuring goods and nonprofessional services as long as the criteria, factors, and basis for consideration of best value and the process for the consideration of best value shall be as stated in the Invitation to Bid.

1. Competitive (Best Value) -- A formal bid submitted by a vendor in a sealed envelope that is to be opened publicly at a designated place, time, and date. Achieving the best available value for money in the acquisition of goods and services to deliver, or support delivery of, government programs.
2.   Non-Competitive (Sole Source) --    Noncompetitive contract negotiations are exchanges that take place between    the Government and a single contractor. They may take place before or after    contract award. 

Limitations: Best value concepts may not be used when procuring construction or professional services.

1. Competitive (Best Value) -- The lowest bid does not always indicate the best value.
2. Non-Competitive (Sole Source) -- Procurement by noncompetitive proposals may be used only when the award of a contract is infeasible under small purchase procedures, sealed bids, or competitive proposals and at least one of the following circumstances applies: (1) The item is available only from a single source; (2) The public exigency or emergency for the requirement will not permit a delay resulting from competitive solicitation; (3) The agency authorizes noncompetitive negotiations; (4) After solicitation of a number of sources, competition is determined inadequate; or (5) The item is an associated capital maintenance item that is procured directly from the original manufacturer or supplier of the item to be replaced.