The financial incentives or “Bid Discounts” range between 1% and 10%. Bid discounts allow an original bid amount to be discounted by a certain percentage for purposes of evaluating and determining the low responsive bid. The discounted bid amount will be used in the evaluation process of awarding to the low responsive, responsible bidder.
The original bid amount will be the basis for the contract award. For example, a $100,000 bid with a 10% bid discount would be evaluated at $90,000. However, $100,000 would be paid to the successful bidder.
However, a select group of four (4) bid discounts may be applied individually or in combination with other discounts to exceed the 5% or $100,000 limit—up to a maximum of 10% or $200,000, whichever is lower.