Guidance
Appendix I – pricing guidance
Published 30 November 2021
Applies to England
© Crown copyright 2021
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The following sets out the pricing assessment related to each value band. For each value band listed panel members are required to provide:
High value band - Route A1 (PITT)
- an unqualified commitment to delivering within the budget (based on the available information). This will be assessed as a pass/fail criterion.
- a written response to the price qualitative question on ‘whole life and operational cost’. This will be assessed in the same criterion as outlined in Appendix H, with the maximum score weighted as 10% of the overall bid submission.
High value band - Route A1 (ITT)
- a realistic pricing proposal for the scheme in the form of a completed pricing schedule, the cost proposal is required to bid within the budget in order to be compliant. This will be assessed as outlined in the scoring grid as below, with the maximum score weighted as 19% of the overall bid submission.
- a completed DfE Life Cycle Cost Model (LCC). This will be assessed on the Panel Members outline submission against defined DfE metrics (see LCC model for detail), with the maximum score weighted as 2% of the overall bid submission.
- a written response providing ‘commentary with supporting evidence demonstrating that your pricing proposal for this scheme is realistic and achievable’. This will be assessed in the same criterion as outlined in Appendix H, with the maximum score weighted as 4.5% of the overall bid submission.
- a written response outlining the panel members ‘robust management of identified risk’. This will be assessed in the same criterion as outlined in Appendix H, with the maximum score weighted as 4.5% of the overall bid submission.
High value band - Route A2 (ITT)
- an unqualified commitment to delivering within the budget (based on the available information). This will be assessed as a pass/fail criterion.
- a written response to the price qualitative question on ‘Whole Life and Operational Cost’. This will be assessed in the same criterion as outlined in Appendix H, with the maximum score weighted as 8% of the overall bid submission.
- a completed DfE Life Cycle Cost Model (LCC). This will be assessed on the Panel Members outline submission against defined DfE metrics (see LCC model for detail), with the maximum score weighted as 2% of the overall bid submission.
Medium/low value band – Route A3 (ITT)
- a realistic pricing proposal for the scheme in the form of a completed pricing schedule. This will be assessed as outlined in the scoring grid as below, with the maximum score weighted as 20% of the overall bid submission.
- a completed DfE Life Cycle Cost Model (LCC). This will be assessed on the Panel Members outline submission against defined DfE metrics (see LCC model for detail), with the maximum score weighted as 2% of the overall Bid submission.
- a written response providing ‘commentary with supporting evidence demonstrating that your pricing proposal for this Scheme is realistic and achievable’. This will be assessed in the same criterion as outlined in Appendix H, with the maximum score weighted as 18% of the overall Bid submission.
All value bands - price schedule submission scoring matrix
The following guidance and scoring matrix will be used to assess the bidders price schedule (£) submission made at ITT:
High value band
Bidders will be scored by assessing their compliant overall bid solution against the DfE funding. By way of:
- Step 1: % Difference Between bidders price vs. DfE funding = x
- Step 2: x will then be banded accordingly in accordance with the price assessment matrix (below):
- Step 3: An average percentage will then be taken from all the bidders in Band A.
- Step 4: A calculated average will then be generated. The ‘calculated average is the average of all bids in Band A (or the value at 2.5% below DfE funding, if the average arising out of Step 3 is more than 2.5% below DfE Funding)’
- Step 5: Bidders will have the appropriate score allocated based:
- a) Band A: Variance to calculated average
- b) Other Bands: Variance to DfE Funding
Price Assessment Matrix HVB
| Scoring band | Variance to calculated average | Minimum marks (%) | Maximum Marks (%) |
|---|---|---|---|
| A (up to 5% below DfE funding) | exceeding Plus 2% | 15 | 15 |
| A (up to 5% below DfE funding) | Plus 0.5% to 2% | 16 | 16 |
| A (up to 5% below DfE funding) | Plus/minus 0.5% | 17 | 17 |
| A (up to 5% below DfE funding) | Minus 0.5% to 2% | 18 | 18 |
| A (up to 5% below DfE funding) | exceeding minus 2% | 19 | 19 |
| Scoring band | Variance to DfE funding | Minimum marks (%) | Maximum Marks (%) |
|---|---|---|---|
| B | 6% below DfE funding | 18 | 18 |
| B | 7% below DfE funding | 16 | 16 |
| B | 8% below DfE funding | 15 | 15 |
| B | 9% below DfE funding | 13 | 13 |
| B | 10% below DfE funding | 12 | 12 |
| B | 11% below DfE funding | 10 | 10 |
| B | 12% below DfE funding | 9 | 9 |
| B | 13% below DfE funding | 7 | 7 |
| B | 14% below DfE funding | 6 | 6 |
| B | More 15% below DfE funding | 5 | 5 |
| B | Above DfE funding | 0 | 0 |
Medium/low value band
Bidders will be scored by assessing their compliant overall bid solution against the DfE funding. By way of:
- Step 1: % Difference between bidders price vs. DfE funding = x
- Step 2: x will then be banded accordingly in accordance with the Price Assessment Matrix (below):
- Step 3: An average percentage will then be taken from all the bidders in Band A.
- Step 4: A calculated average will then be generated. The ‘calculated average is the average of all bids in Band A (or the value at 2.5% below DfE funding, if the average arising out of Step 3 is more than 2.5% below DfE Funding)’
- Step 5: Bidders will have the appropriate score allocated based:
- a) Band A: Variance to calculated average
- b) Other bands: Variance to DfE Funding
Price assessment matrix (MVB/LVB)
| Scoring band | Variance to calculated average | Minimum marks (%) | Maximum Marks (%) |
|---|---|---|---|
| A (Between 2% above & 5% below DfE funding) | exceeding plus 2% | 16 | 16 |
| A (Between 2% above & 5% below DfE funding) | Plus 0.5% to 2% | 17 | 17 |
| A (Between 2% above & 5% below DfE funding) | Plus/minus 0.5% | 18 | 18 |
| A (Between 2% above & 5% below DfE funding) | Minus 0.5% to 2% | 19 | 19 |
| A (Between 2% above & 5% below DfE funding) | exceeding minus 2% | 20 | 20 |
| Scoring band | Variance to DfE funding | Minimum marks (%) | Mark |
|---|---|---|---|
| B | 6% below DfE funding | 19 | 19 |
| B | 7% below DfE funding | 17 | 17 |
| B | 8% below DfE funding | 16 | 16 |
| B | 9% below DfE funding | 14 | 14 |
| B | 10% below DfE funding | 13 | 13 |
| B | 11% below DfE funding | 11 | 11 |
| B | 12% below DfE funding | 10 | 10 |
| B | 13% below DfE funding | 8 | 8 |
| B | 14% below DfE funding | 7 | 7 |
| B | More 15% below DfE funding | 5 | 5 |
| C | More than 2% above DfE funding | 16 | 16 |
| C | More than 3% above DfE funding | 13 | 13 |
| C | More than 4% above DfE funding | 10 | 10 |
| C | More than 5% above DfE funding | 7 | 7 |