Competitive sealed bidding
HRS §103D-302
in effect103D-302. Competitive sealed bidding
(a) Contracts shall be awarded by competitive sealed bidding except as otherwise provided in section 103D-301. Awards of contracts by competitive sealed bidding may be made after single or multi-step bidding. Competitive sealed bidding does not include negotiations with bidders after the receipt and opening of bids. Award is based on the criteria set forth in the invitation for bids.
(b) An invitation for bids shall be issued,
and shall include a purchase description and all contractual terms and
conditions applicable to the procurement. If the invitation for bids is for
construction, it shall specify that all bids include the name of each person or
firm to be engaged by the bidder as a joint contractor or subcontractor in the
performance of the contract and the nature and scope of the work to be
performed by each. Construction bids that do not comply with this requirement
may be accepted if acceptance is in the best interest of the State and the
value of the work to be performed by the joint contractor or subcontractor is
equal to or less than one per cent of the total bid amount.
(c) Adequate public notice of the invitation
for bids shall be given a reasonable time before the date set forth in the
invitation for the opening of bids. The policy board shall adopt rules which
specify:
(1) The form that the notice is to take;
(2) What constitutes a reasonable interim between
publication and bid opening; and
(3) How notice may be published, including
publication in a newspaper of general circulation, notice by mail to all
persons on any applicable bidders mailing list, publication by any public or
private telecommunication information network, or any other method of
publication it deems to be effective.
(d) Bids shall be opened publicly in the
presence of one or more witnesses, at the time and place designated in the
invitation for bids. The amount of each bid and other relevant information
specified by rule, together with the name of each bidder shall be recorded.
The record and each bid shall be open to public inspection.
(e) Bids shall be unconditionally accepted
without alteration or correction, except as authorized in this chapter or by
rules adopted by the policy board.
(f) Bids shall be evaluated based on the
requirements set forth in the invitation for bids. These requirements may
include criteria to determine acceptability such as inspection, testing,
quality, workmanship, delivery, and suitability for a particular purpose.
Those criteria that will affect the bid price and be considered in evaluation
for award shall be as objectively measurable as possible, such as discounts,
transportation costs, total or life cycle costs, and the bidder's past
performance, if available. The invitation for bids shall set forth the
evaluation criteria to be used. No criteria may be used in bid evaluation that
are not set forth in the invitation for bids.
(g) Correction or withdrawal of inadvertently
erroneous bids before or after award, or cancellation of invitations for bids,
awards, or contracts based on such bid mistakes, shall be permitted in
accordance with rules adopted by the policy board. After bid opening no
changes in bid prices or other provisions of bids prejudicial to the interest
of the public or to fair competition shall be permitted. Except as otherwise
provided by rule, all decisions to permit the correction or withdrawal of bids,
or to cancel awards or contracts based on bid mistakes, shall be supported by a
written determination made by the chief procurement officer or head of a
purchasing agency.
(h) The contract shall be awarded with
reasonable promptness by written notice to the lowest responsible and
responsive bidder whose bid meets the requirements and criteria set forth in
the invitation for bids. In the event all bids exceed available funds as
certified by the appropriate fiscal officer, the head of the purchasing agency
responsible for the procurement in question is authorized in situations where
time or economic considerations preclude resolicitation of work of a reduced
scope to negotiate an adjustment of the bid price, including changes in the bid
requirements, with the low responsible and responsive bidder, in order to bring
the bid within the amount of available funds.
(i) When it is not practicable to initially
prepare a purchase description to support an award based on price, an
invitation for bids, which requests the submission of unpriced offers to be
followed by an invitation for bids limited to those bidders whose offers have
been qualified under the criteria set forth in the first solicitation, may be
used. If a multi-step sealed bidding process is used, the notice and the
invitation for bids shall describe each step to be used in soliciting,
evaluating, and selecting unpriced offers. [L Sp 1993, c 8, pt of §2; am L
1994, c 186, §9; am L 1995, c 178, §7; am L 1997, c 352, §23; am L 2021, c 188,
§4]
Source: Hawaii State Legislature (capitol.hawaii.gov), via Internet Archive capturesURL: http://www.capitol.hawaii.gov/hrscurrent/Vol02_Ch0046-0115/HRS0103D/HRS_0103D-0302.htmFetched: 11/10/2026