FAR and DFARS › FAR Part 14: Sealed Bidding › Subpart 14.2
FAR 14.201-8 Price-related factors.
The codified text (eCFR, as of 2026-10-02). Under the Revolutionary FAR Overhaul ↗, agencies follow class deviations with new text for many parts while the formal rules go through the Federal Register: check the solicitation and your contract's clauses, which rule.
In plain English
This section lists price-related factors that may be used to evaluate bids and must be included in the solicitation when they apply. It matters because these factors can affect which bid is considered the lowest cost to the Government, beyond just the bid price itself.
Applies to: Contracting officers evaluating bids for award and bidders submitting bids
What it requires
- Include applicable price-related factors in the solicitation
- Consider transportation costs to designated points when bids are on an f.o.b. origin basis
- Assume $500 as the administrative cost to the Government for issuing and administering each contract awarded under a solicitation when making multiple awards
- Make individual awards for the items or combinations of items that result in the lowest aggregate cost to the Government, including the assumed administrative costs
Key terms: price-related factors · f.o.b. origin basis · lowest cost to the Government · multiple awards · Buy American statute
Written by AI from this section's text. A guide, not legal advice: the text below rules.
The text
The factors set forth in paragraphs (a) through (e) below may be applicable in evaluation of bids for award and shall be included in the solicitation when applicable. (See 14.201-5(c).)
(a) Foreseeable costs or delays to the Government resulting from such factors as differences in inspection, locations of supplies, and transportation. If bids are on an f.o.b. origin basis (see 47.303 and 47.305), transportation costs to the designated points shall be considered in determining the lowest cost to the Government.
(b) Changes made, or requested by the bidder, in any of the provisions of the invitation for bids, if the change does not constitute a ground for rejection under 14.404.
(c) Advantages or disadvantages to the Government that might result from making more than one award (see 14.201-6(q)). The contracting officer shall assume, for the purpose of making multiple awards, that $500 would be the administrative cost to the Government for issuing and administering each contract awarded under a solicitation. Individual awards shall be for the items or combinations of items that result in the lowest aggregate cost to the Government, including the assumed administrative costs.
(d) Federal, State, and local taxes (see part 29).
(e) Origin of supplies, and, if foreign, the application of the Buy American statute or any other prohibition on foreign purchases (see part 25).
Sections it refers to
← 14.201-7 Contract clauses. · 14.201-9 Simplified contract format. →
Rule changes for FAR Part 14
- Federal Acquisition Regulation: Revolutionary Federal Acquisition Regulation Overhaul Parts 14, 28, 36, and 52 ↗ · proposed 2026-09-18 · comments due 2026-10-19
Source: eCFR, 48 CFR chapters 1 and 2 (GPO GovInfo bulk data) ↗. Plain words for the terms: glossary.