In general, price competition is the best way to make money go further. That is why the City of Oviedo advocates competition “wherever practical” in an effort to promote fairness and better pricing.Verbal Quotes are used for purchases over $1,000 but less than $10,000. The using department will contact the suppliers to obtain quotes. Written Quotes are required when the purchase is over $10,000 but less than $34,999. The using department will generally contact the suppliers for quotes. Formal Solicitations are required when the purchase is anticipated to exceed $35,000. There are two basic types of formal solicitations:

    * Invitation to Bid (ITB)
    * Request for Proposal (RFP)

Both the ITB and RFP require advertisement in the local newspaper. This is accomplished by placing a legal advertisement in the Sunday edition of the Orlando Sentinel. The intent of these types of solicitations is to generate as much involvement as possible with qualified suppliers. The primary difference between the two types of solicitations is the award criteria. Generally, the ITB is awarded to the lowest, responsive and responsible bidder. A RFP is awarded to the responsive and responsible proposer receiving the highest overall ranking as decided by a selection committee. During the RFP evaluation process, the top ranked respondents may be asked to give a formal presentation to the committee. Additionally, the price and other terms of agreement may be negotiated with the firm receiving the highest overall ranking by the committee. There is one additional type of formal solicitation that is required by Florida State Statute 287.055, known as the “Competitive Consultants Negotiation Act.” This solicitation is known as a Request for Qualifications (RFQ). This solicitation is used whenever the services of a professional engineer, architect, or surveyor are required. A RFQ is similar to a RFP with the only main difference being the RFQ does not take cost into consideration, only the qualifications of the firm.