Glossary
Public RFP terms estimators should know
Short definitions for language that shows up in go/no-go reviews — not a substitute for reading the solicitation.
- RFP / IFB / RFQ
- Request for Proposal, Invitation for Bid, and Request for Qualifications. Public owners use these labels differently; always read submission rules, not just the title.
- Addendum / Addenda
- Owner-issued changes after the original solicitation. Late addenda often move deadlines, bond amounts, or scope — re-check go/no-go after each material addendum.
- Bid bond
- Security that you will enter the contract at the bid price. Size is often a percent of bid; it is an early capacity filter with your surety.
- Performance / payment bond
- Post-award bonds guaranteeing completion and payment to subs/suppliers. Frequently 100% of contract value on public work.
- Liquidated damages (LDs)
- Contractual daily (or periodic) amounts owed for late completion. High LDs plus aggressive schedules are a common NO-GO pairing.
- Prevailing wage / Davis-Bacon
- Required wage and fringe rates on covered public work, with certified payroll. Changes unit costs and admin burden versus open-shop private work.
- DBE / MBE / WBE / HUB / SWaM
- Diversity certification programs. Goals may be aspirational or enforceable; program names and rules vary by state and agency.
- Pre-bid / site walk
- Meetings before bid day. Mandatory attendance is often a hard requirement — missing it can void an otherwise good bid.
- Responsible / responsive bidder
- Responsive means the bid form is complete and follows instructions. Responsible means the owner judges you capable (license, bonding, experience).
- SAM.gov / UEI
- Federal award systems and Unique Entity ID. Required for many federal or federally funded solicitations even when the owner is local.
Faster path with RFPCheck
RFPCheck extracts many of these concepts from the PDF into a stoplight report. Always confirm amounts and mandatory language in the source documents.