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BobP4 (Florida)
Posts: 6
Posted:
Our HOA board voted, via a motion, to bid all contracts that were up for renewal. An unsolicited offer came in for one contract and some members want to stop the bidding process and consider the offer. Isn't it necessary that the Board must first pass a motion to abandon the previous bidding policy before considering the offer?
MicheleD (Kentucky)
Posts: 4,491
Posted:
Some -- what -- members want to stop the bidding process?

Board members?

Or association members?

To be honest, I'm always leery of unsolicited bids.

How did the contractor know the project was up for a bid?

How can an unsolicited offer/bid/quote be compared to bids/quotes that were submitted as a result of a formal Request for Proposal or Request for Quote?

It would be comparing apples to oranges.

And, if for some reason the unsolicited bid somehow "matched" the RFQ, then I would be even more suspicious.

But if the board wanted to go ahead and accept/review the unsolicited bids alongside the ones that were submitted based on an RFQ, then it's not big complicated process. All they would have to do is simply make a motion and pass it. They wouldn't have to abandon the previous policy, simply make a motion to accept this bid, too. They can even start reviewing it before the motion is made/passed.

But (aside from it being unsolicited) it doesn't even appear to be contrary to their bidding "policy," in that what they voted for was to accept bids on all contracts that were up for renewal. This is a "bid," solicited or unsolicited.

It's not like they are granting a contract without receiving a bid on it, right?

BobP4 (Florida)
Posts: 6
Posted:
Forgot to mention that the unsolicited bid was received BEFORE the RFP was even sent out. It came from our current contractor who knew we were in the process of going out for bid. The members mentioned are Board members.

Thanks
MicheleD (Kentucky)
Posts: 4,491
Posted:
Quote:
Posted By BobP4 on 12/02/2009 9:34 PM
Forgot to mention that the unsolicited bid was received BEFORE the RFP was even sent out. It came from our current contractor who knew we were in the process of going out for bid. The members mentioned are Board members.

Thanks

Well, that's only slightly better. At least it was someone who is at least familiar with your organization and the project.

I don't see anything wrong with accepting and reviewing his bid. . . WOULD he have been included in the bidding process?

The thing is, as I think about this some more, I would probably send his quote back to him with a copy of the RFQ and respectfully request that he review his quote and re-submit it after he follows the submission instructions in the RFQ.

That would be the only fair way to handle it so that all the bidders have the same specs to work from, even if he IS the current vendor.
BobP4 (Florida)
Posts: 6
Posted:
I agree we should continue to go out with the RFP and include this contractor. This way he can see what the specs are and we can compare all the bids together. Thanks
SusanW1 (Michigan)
Posts: 5,202
Posted:
I'd like to see the original motion.

Bids submitted before the Board set the parameters of the job should not be considered. However, if the contractor wants a RFP packet, I don't see why he or anyone else can't bid the job now. (Except if your motion put dates or other restricted conditions on the bid process)

Anyway, just a policy/procedure passed by the board that all bids should come in via a RFP would be enough.

BobP4 (Florida)
Posts: 6
Posted:
The original motion was just that all current contracts will be bid prior to their existing contract renewal date. We did not specify via an RFP, RFQ, spec, etc. This bid was received before the RFP was complete and issued. It had no terms and conditions, just wanted an extension of original contract and proposed a lower cost for the same work. I think the board should go out for bid and give this contractor a packet so we can compare apples and apples.

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