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During a bid, price is the most deciding factor for award. Bid examples include: construction, equipment, materials and supplies.
An RFP (Request for Proposals) or RFQ (Request for Qualifications) is used more where price is a consideration, but not the most weighed factor. Other factors considered include:
1. Qualifications in Relation to Specific Project to be Performed
2. Experience, Competence, and Capacity for Performance
3. Work Method and Location of Facilities
4. Past Performance
5. Price (not considered in an RFQ)
RFQ's are only done for architectural, engineering and legal services.