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Solicitations, proposals and contract management

Tradeoff (Best Value Tradeoff)

Tradeoff stands for Best Value Tradeoff. In a tradeoff source selection, the government weighs price against non-price factors like technical approach and past performance. It may award to a proposal that is not the lowest priced if the benefits are worth the difference.

The decision must be documented with the reasons for paying more. All factors and their relative importance must be stated in the solicitation, usually in Section M.

Why it matters to a small contractor

Tradeoffs are your chance to win on quality. Show specific strengths the evaluator can write down: a dedicated supervisor, faster response times, certified techs, proven results on similar sites. Vague claims like 'high quality service' give the evaluator nothing to credit.

Example

A tradeoff buy for fire sprinkler inspection gets two acceptable proposals. One is $8,000 cheaper, but the other has a two-hour emergency response and three similar contracts with excellent ratings. The agency documents why the stronger proposal is worth the extra cost and awards it.

Tradeoff: common questions

Is a tradeoff the same as best value?

A tradeoff is one way to get best value. LPTA is another.

How do I find out why I lost a tradeoff?

Request a debriefing if you are entitled to one. It should cover your significant weaknesses and the overall ratings of the winner.

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