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Page 26 of 49 <br />factors such as discounts, transportation cost, and life cycle costs must be <br />considered in determining which bid is lowest. Payment discounts will only be <br />used to determine the low bid when prior experience indicates that such <br />discounts are usually taken advantage of; and <br />(E) Any or all bids maybe rejected if there is a sound documented reason. <br />(2) Proposals. A procurement method in which either a fixed price or cost -reimbursement <br />type contract is awarded. Proposals are generally used when conditions are not <br />appropriate for the use of sealed bids. They are awarded in accordance with the <br />following requirements: <br />(i) Requests for proposals must be publicized and identify all evaluation factors and <br />their relative importance. Proposals must be solicited from an adequate number of <br />qualified offerors. Any response to publicized requests for proposals must be <br />considered to the maximum extent practical; <br />(ii) The non -Federal entity must have a written method for conducting technical <br />evaluations of the proposals received and making selections; <br />(iii) Contracts must be awarded to the responsible offeror whose proposal is most <br />advantageous to the non -Federal entity, with price and other factors considered; <br />and <br />(iv) The non -Federal entity may use competitive proposal procedures for <br />qualifications -based procurement of architectural/engineering (A/E) professional <br />services whereby offeror's qualifications are evaluated and the most qualified <br />offeror is selected, subject to negotiation of fair and reasonable compensation. <br />The method, where price is not used as a selection factor, can only be used in <br />procurement of A/E professional services. It cannot be used to purchase other <br />types of services though A/E firms that are a potential source to perform the <br />proposed effort. <br />(c) Noncompetitive procurement. There are specific circumstances in which noncompetitive <br />procurement can be used. Noncompetitive procurement can only be awarded if one or <br />more of the following circumstances apply: <br />(1) The acquisition of property or services, the aggregate dollar amount of which does not <br />exceed the micro -purchase threshold (see paragraph (a)(1) of this section); <br />(2) The item is available only from a single source; <br />(3) The public exigency or emergency for the requirement will not permit a delay <br />resulting from publicizing a competitive solicitation; <br />(4) The Federal awarding agency or pass -through entity expressly authorizes a <br />noncompetitive procurement in response to a written request from the non -Federal <br />entity; or <br />(5) After solicitation of a number of sources, competition is determined inadequate. <br />§200.321 Contracting with small and minority businesses, women's business enterprises, <br />Agreement No. R22AP00352 Agreement Template <br />Recipient Name: City of Santa Ana (0112021) <br />