502.02

Northern Arizona University
Purchasing Policy and Procedure

Acceptance or Rejection of Bids

POLICY:

Purchasing Services may accept some bids or proposals submitted by vendors and reject others because of irregularities or other factors. Bids or proposals may be accepted or rejected under the following conditions.

CONDITIONS UNDER WHICH BIDS OR PROPOSALS MAY BE ACCEPTED

ENVELOPE NOT SEALED

An unsealed envelope may be treated as a minor informality and is not cause for rejection of the bid or proposal.

ERASURES OR CORRECTIONS

Erasures or corrections to a bid or proposal may be treated as minor informalities and are not cause for rejection of the bid or proposal. If erasures or corrections are noted at the time of opening and reading of bids or proposals, however, a verbal announcement will be made and a notation included in the bid or proposal file.

FAILURE TO SUBMIT SUBCONTRACTORS LIST

Failure to include a subcontractor list with a bid or proposal is not cause for rejection of the bid or proposal. The requirement for the submission of a subcontractor list is for the purpose of determining the qualifications of the subcontractors. The failure to include a subcontractor list may be corrected by the bidder or proposer by submission of a subcontractor list within a reasonable time as specified by the Director of Procurement.

MODIFICATION OF BIDS OR PROPOSALS BEFORE OPENING

Bidders or proposers may modify bids or proposals, or correct mistakes discovered before the time and date set for opening, provided the modifications or corrections are made in writing.

CONDITIONS UNDER WHICH BIDS OR PROPOSALS MAY BE REJECTED

BIDS OR PROPOSALS NOT SUBMITTED ON UNIVERSITY FORMS

Bids or proposals that are not submitted on University forms may be rejected provided it is made clear in the solicitation that University forms are to be used for submission of bids or proposals and that failure to do so will cause rejection of the bid or proposal. Otherwise, the failure to submit proposals on NAU forms will be treated as a minor informality.

INSUFFICIENT COMPETITION

If only one (1) bid or proposal is received in response to a solicitation, an award may be made if the Director of Procurement determines that the proposed price is fair and reasonable, that other prospective bidders or proposers had a reasonable opportunity to respond and that time constraints do not allow for a new solicitation. Such a determination shall be documented in the bid file. Otherwise, the bid or proposal may be rejected for insufficient competition.

LOW PRICE UNREASONABLE

If the lowest price received in response to a solicitation does not seem reasonable after a price analysis, the bids or proposals may be rejected and a new solicitation issued.

MODIFICATION OF BIDS OR PROPOSALS AFTER OPENING

Bidders or proposers may not withdraw a bid or proposal or correct a mistake based on an error in judgment after the bid or proposal opening. Minor informalities in a bid or proposal may be waived or corrected if correction is advantageous to the University. If a non-judgmental mistake is obvious and the intended bid or proposal is evident on the face of the bid or proposal, the bid or proposal shall be corrected to reflect the intended bid or proposal. If an obvious error is evident on the face of the bid or proposal but the intended bid or proposal is not evident, the bidder or proposer may be allowed to withdraw the bid or proposal without penalty. If the bidder or proposer establishes by clear and convincing evidence that a non-judgmental mistake was made, the bidder or proposer may be allowed to withdraw the bid or proposal without penalty.

NON-RESPONSIVE BIDS OR PROPOSALS

Bids or proposals may be rejected as non-responsive if they fail to conform in all material respects to the solicitation.

SIGNATURE MISSING

Bids or proposals that do not have the signature of the vendor's representative shall be rejected provided it is made clear in the solicitation that a signature of the bidder's or proposer's representative is required and that failure to provide it will cause the bid or proposal to be rejected. Otherwise, failure to sign the bid or proposal will be treated as a minor informality.

CONDITIONS UNDER WHICH BIDS OR PROPOSALS SHALL BE REJECTED

BID BOND NOT INCLUDED

If the solicitation requires the submission of a bid bond, failure to submit such bond shall cause rejection of the bid or proposal as non-responsive.

FAILURE TO MEET REQUIREMENTS

Failure to meet specifications, required delivery time, or the requirements specified in the solicitation shall be cause for rejection of the bid or proposal.

LATE BIDS OR PROPOSALS

Bids or proposals not received at the date, time, and location specified in the solicitation shall not be considered. Late bids or proposals shall be so noted on the envelope and shall be returned to the bidder or proposer. A notation shall be recorded in the bid or proposal file. It is the responsibility of the bidder or proposer to ensure that the bid or proposal is received on time.

TELEFAX, TELEGRAPH OR TELEPHONE BIDS OR PROPOSALS

Telefax, telegraph or telephone responses to invitations for a formal sealed bid or proposal shall not be considered.

CONFLICT OF INTEREST

Bids or proposals submitted by an individual or firm that developed the specifications or plans for a project shall not be considered.