How are bids typically evaluated before being awarded?

Bids are typically evaluated through a detailed evaluation process to ensure that the selection is not solely based on the price but also considers various other important factors. This comprehensive approach may include assessing the bidder's qualifications, experience, technical capabilities, compliance with specifications, and understanding of the project requirements.

A detailed evaluation process helps public agencies make informed decisions that align with their goals, such as quality, reliability, and overall value. By evaluating bids in this manner, agencies can identify bidders who not only offer competitive pricing but also demonstrate the capacity to deliver the project successfully and meet all regulatory and quality standards.

In contrast, evaluating bids purely on the lowest price can overlook critical elements that might affect the project's success. Similarly, relying solely on company reputation may not provide a complete picture of a bidder's current capability and suitability for a specific project. Lastly, using a lottery selection method is generally not a standard practice in bid evaluation for public works, as it removes the merit-based consideration that is essential for accountability and transparency in public spending.