Procurement Process

Best-Value Tradeoff

A source-selection approach that may pay a price premium for superior non-price advantages.

Best-value tradeoff is a source selection process in which the government may select a higher-priced, higher-rated proposal when its non-price advantages (technical merit, past performance, management) justify the additional cost. It contrasts with lowest-price technically-acceptable (LPTA), where award goes to the cheapest compliant offer. The solicitation must state the evaluation factors and their relative importance so offerors know how price and non-price factors will be weighed.

Primary Sources

Last updated Update cadence: Quarterly, plus on regulatory changes
Change log (1)
  1. LaunchedPublished the glossary covering 48 federal contracting terms with DefinedTerm structured data, primary-source citations, and cross-links into the NAICS, PSC, agency, vehicle, and FAQ pages.

Related Terms

More in Procurement Process

DebriefingLPTAPast PerformancePresolicitation NoticeRFIRFPSources Sought Notice

Related Tools & Directories

← All Glossary Terms