Monday, August 17, 2009

Responsive Bids and Responsible Bidders

Check the language of your bidding documents for public works projects. Does it distinguish, as it should, between responsiveness and responsibility?

Often, I see language that states the public agency will award to the "lowest responsive and responsible bidder." Technically, this is not correct. Bids are low, not bidders. It's important to understand the difference between the two concepts of responsiveness and responsibility, and how each are evaluated differently.

Responsiveness is always in relationship to a bid received. Is the bid responsive? In other words, does the bid respond to the requirements of the bidding documents? Is the bid signed, was it received on time, and was a bid guaranty submitted are some of the issues surrounding bid responsiveness.

Responsibility, on the other hand, always relates to the bidder. Is the bidder a responsible bidder, or are they capable and qualified to perform the project? Depending on what state you're in, there may be requirements that govern what type of responsibility criteria can be included in the bidding documents. In Washington State, for instance, RCW 39.04.350, governs this issue.

Instead of language that states the public agency will award to the "lowest responsive and responsible bidder," consider something different such the following: award will be made to the "responsible bidder submitting the lowest responsive bid."

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