FAR 36.303-1—Phase One.
Plain-English Summary
FAR 36.303-1 explains what must be included in the first phase of a two-phase design-build solicitation and how the government uses that phase to narrow the field before requesting phase-two proposals. It covers the scope of work, the phase-one evaluation factors, the types of technical factors that may be used, the prohibition on detailed design and price-related factors in phase one, the required phase-two evaluation factors by cross-reference, and the maximum number of offerors that may be invited to phase two. It also addresses the contracting officer’s authority to select only the most highly qualified offerors after phase-one evaluation and the requirement to stay within the stated maximum. In practice, this section is meant to preserve the integrity of the two-phase design-build process by focusing early competition on qualifications and approach rather than price, while still giving offerors enough information to compete intelligently. It also imposes documentation and approval controls when the agency wants to invite more than five offerors to phase two, especially for larger acquisitions. For contractors, this section signals that phase one is about demonstrating capability and team strength, not submitting a detailed design or pricing strategy. For contracting officers, it is a planning and source-selection control section that must be built carefully into the solicitation and file.
Key Rules
Phase One Must Define Scope
The solicitation’s first phase must include the scope of work so offerors understand the project at a high level. This gives the government a basis for evaluating qualifications and approach without requiring detailed design submissions.
Phase-One Factors Are Limited
Phase-one evaluation factors must include technical approach, technical qualifications, and other appropriate factors, but not detailed design or technical information. The rule is intended to keep phase one focused on capability and solution concept rather than full design development.
Technical Qualifications May Be Broad
The solicitation may evaluate specialized experience and technical competence, capability to perform, and past performance of the offeror’s team, including both architect-engineer and construction members. This allows the government to assess the strength of the integrated design-build team, not just one firm acting alone.
No Price Factors in Phase One
Cost or price-related factors are not permitted in phase one. The government must defer price consideration until phase two, which preserves the two-phase structure and prevents early price competition from distorting qualification-based screening.
Phase-Two Factors Must Be Stated
The solicitation must also identify the phase-two evaluation factors by reference to FAR 36.303-2. Offerors need to know in advance how the second phase will be evaluated so they can prepare for the later proposal stage.
Maximum Invitees Must Be Set
The solicitation must state the maximum number of offerors that may be selected for phase two, and that number generally may not exceed five. This cap controls the size of the competitive field after the initial qualification screen.
More Than Five Requires Approval
If the contracting officer determines that more than five offerors is in the Government’s interest and consistent with the two-phase design-build process, the determination must be documented in the contract file. For acquisitions over $5.5 million, the determination must also be approved by the head of the contracting activity, with limited delegation, and the approval must be documented.
Only Top-Ranked Offerors Advance
After evaluating phase-one proposals, the contracting officer must select the most highly qualified offerors and request phase-two proposals only from those offerors, up to the stated maximum. The agency cannot invite more firms than the solicitation allowed.
Responsibilities
Contracting Officer
Draft the phase-one solicitation content, including the scope of work, phase-one evaluation factors, phase-two evaluation factors, and the maximum number of phase-two invitees. Evaluate phase-one proposals, select only the most highly qualified offerors, ensure the number selected does not exceed the solicitation maximum, and document any determination to exceed five invitees.
Head of the Contracting Activity
Approve any determination to invite more than five offerors to phase two for acquisitions greater than $5.5 million, subject to the limited delegation allowed by the regulation. Ensure the approval is placed in the contract file.
Senior Contracting Official (Civilian Agencies)
Serve as the approving official for paragraph (a)(4) determinations in civilian agencies when designated by agency procedures, or act as the advocate for competition for the procuring activity if the agency has not designated a different position. Provide the required approval for more than five phase-two invitees where applicable.
Offerors
Submit phase-one proposals that address the scope of work, technical approach, qualifications, and other stated non-price factors without expecting to provide detailed design or price information. If selected, submit phase-two proposals only when invited by the contracting officer.
Agency
Structure the solicitation and source-selection process to comply with the two-phase design-build framework, including maintaining the required documentation and approval trail in the contract file.
Practical Implications
Phase one is a screening stage, not a full proposal stage, so contractors should focus on qualifications, team strength, and a credible technical approach rather than detailed drawings or pricing.
Contracting officers must be careful not to slip price or cost considerations into phase one, because doing so would conflict with the regulation and undermine the two-phase process.
The solicitation must clearly state the maximum number of phase-two invitees; if the agency later wants to exceed five, the file must support the determination and, for larger acquisitions, show the required higher-level approval.
Past performance can include the whole design-build team, so contractors should coordinate architect-engineer and construction partners early and present them as an integrated team.
A common pitfall is failing to align the stated phase-two factors with the later evaluation plan; the solicitation should be consistent from the start so offerors know what will matter in the second phase.
Official Regulatory Text
(a) Phase One of the solicitation(s) shall include- (1) The scope of work; (2) The phase-one evaluation factors, including- (i) Technical approach (but not detailed design or technical information); (ii) Technical qualifications, such as- (A) Specialized experience and technical competence; (B) Capability to perform; (C) Past performance of the offeror’s team (including the architect-engineer and construction members); and (iii) Other appropriate factors (excluding cost or price related factors, which are not permitted in Phase One); (3) Phase-two evaluation factors (see 36.303-2 ); and (4) A statement of the maximum number of offerors that will be selected to submit phase-two proposals. The maximum number specified in the solicitation shall not exceed five unless the contracting officer determines, for that particular solicitation, that a number greater than five is in the Government's interest and is consistent with the purposes and objectives of the two-phase design-build selection procedures. The contracting officer shall document this determination in the contract file. For acquisitions greater than $5.5 million, the determination shall be approved by the head of the contracting activity, delegable to a level no lower than the senior contracting official within the contracting activity. In civilian agencies, for paragraph (a)(4) of this section, the senior contracting official is the advocate for competition for the procuring activity, unless the agency designates a different position in agency procedures. The approval shall be documented in the contract file. (b) After evaluating phase-one proposals, the contracting officer shall select the most highly qualified offerors (not to exceed the maximum number specified in the solicitation in accordance with 36.303-1 (a)(4)) and request that only those offerors submit phase-two proposals.