B-120697, AUGUST 20, 1954, 34 COMP. GEN. 86

B-120697: Aug 20, 1954

Additional Materials:

Contact:

Edda Emmanuelli Perez
(202) 512-2853
EmmanuelliPerezE@gao.gov

 

Office of Public Affairs
(202) 512-4800
youngc1@gao.gov

WHOSE BUSINESS ADDRESS WAS FOUND TO BE AN UNOCCUPIED PRIVATE HOME. WHOSE NAME WAS NOT KNOWN TO THE VARIOUS LICENSE BUREAUS AS A REGULAR DEALER OR SUPPLIER IS NOT "A RESPONSIBLE BIDDER" WITHIN THE MEANING OF THAT TERM WHICH CONTEMPLATES CONSIDERATION NOT ONLY OF THE FINANCIAL RESOURCES OF THE BIDDER. 1954: FURTHER REFERENCE IS MADE TO YOUR LETTER OF JULY 12. THIS OFFICE NOW IS IN RECEIPT OF A COMPLETE REPORT IN THE MATTER WHICH. SOLUTION SERVICE WAS NOT LISTED IN THE TELEPHONE DIRECTORY. AN ATTEMPT WAS MADE TO INSPECT THE ESTABLISHMENT AT THE ADDRESS GIVEN. - BUT SUCH ADDRESS WAS REVEALED TO BE A PRIVATE HOME APPEARING TO BE UNOCCUPIED. NEITHER WAS SUCH COMPANY LISTED IN THE VARIOUS LICENSE BUREAUS WHICH AUTHORIZE THE MANUFACTURE AND SALE OF SOLUTIONS.

B-120697, AUGUST 20, 1954, 34 COMP. GEN. 86

BIDS - ACCEPTANCE OR REJECTION - BIDDER'S QUALIFICATIONS LOW BIDDER FOR CONTRACT TO SUPPLY X-RAY SOLUTIONS, WHOSE BUSINESS ADDRESS WAS FOUND TO BE AN UNOCCUPIED PRIVATE HOME, WHOSE NAME WAS NOT KNOWN TO THE VARIOUS LICENSE BUREAUS AS A REGULAR DEALER OR SUPPLIER IS NOT "A RESPONSIBLE BIDDER" WITHIN THE MEANING OF THAT TERM WHICH CONTEMPLATES CONSIDERATION NOT ONLY OF THE FINANCIAL RESOURCES OF THE BIDDER, BUT ALSO HIS INTEGRITY, FITNESS, CAPACITY, AND ABILITY TO FULFILL THE CONTRACT REQUIREMENTS SUCCESSFULLY.

ACTING COMPTROLLER GENERAL WEITZEL TO HENRY O. WILLIER, AUGUST 20, 1954:

FURTHER REFERENCE IS MADE TO YOUR LETTER OF JULY 12, 1954, PROTESTING THE ACTION OF FREEDMEN'S HOSPITAL IN REFUSING TO MAKE AN AWARD OF A CONTRACT TO THE D.C. SOLUTION SERVICE, REPORTED TO BE A SUBSIDIARY OF YOURS, COVERING THE FURNISHING OF X-RAY SOLUTIONS PURSUANT TO INVITATION NO. 847, DATED JUNE 10, 1954.

THIS OFFICE NOW IS IN RECEIPT OF A COMPLETE REPORT IN THE MATTER WHICH, IN SUBSTANCE, INDICATES THE FOLLOWING:

THE INVITATION TO BID SPECIFICALLY REQUIRED THAT EACH BIDDER STATE THE PRICE PER GALLON BEING ALLOWED FOR USED FIXER SOLUTION FROM WHICH METALS MAY BE RECLAIMED. SINCE THE D.C. SOLUTION SERVICE FAILED TO COMPLY WITH THIS REQUIREMENT, THE SUPPLY OFFICER AT FREEDMEN'S HOSPITAL ATTEMPTED TO CONTACT YOUR FIRM BOTH FOR THE PURPOSE OF ADVISING IT OF ITS FAILURE TO COMPLY WITH THE REQUIREMENTS AND TO CONDUCT A THOROUGH INVESTIGATION RELATIVE TO THE COMPETENCY OF THE SERVICE. HOWEVER, NO CONTACT COULD BE MADE THROUGH THE TELEPHONE NUMBER GIVEN, SINCE THE D.C. SOLUTION SERVICE WAS NOT LISTED IN THE TELEPHONE DIRECTORY. IN ADDITION, AN ATTEMPT WAS MADE TO INSPECT THE ESTABLISHMENT AT THE ADDRESS GIVEN--- 5722 FIRST STREET, N.W.--- BUT SUCH ADDRESS WAS REVEALED TO BE A PRIVATE HOME APPEARING TO BE UNOCCUPIED, LOCATED IN A RESIDENTIAL DISTRICT AND BEARING A " FOR SALE" SIGN. NEITHER WAS SUCH COMPANY LISTED IN THE VARIOUS LICENSE BUREAUS WHICH AUTHORIZE THE MANUFACTURE AND SALE OF SOLUTIONS, NOR WAS THE HOSPITAL ABLE TO ESTABLISH THAT SUCH SERVICE SUPPLIED X-RAY SOLUTIONS TO ANY OTHER INSTITUTION OR INDIVIDUAL IN THE DISTRICT OF COLUMBIA. IN VIEW THEREOF, THE HOSPITAL HAD NO ALTERNATIVE EXCEPT TO ACCEPT THE BID OF THE ACME SOLUTION COMPANY WHICH WAS KNOWN TO BE A DEPENDABLE BUSINESS PERFORMING THE SERVICES REQUIRED BY THE HOSPITAL.

WITH RESPECT TO YOUR CONTENTION CONCERNING THE COMPETENCY AND RESPONSIBILITY OF YOUR FIRM, IT SHOULD BE POINTED OUT THAT THE WORD "RESPONSIBLE" IMPORTS SOMETHING MORE THAN PECUNIARY ABILITY, AND IN THE SELECTION OF THE LOWEST RESPONSIBLE BIDDER, PUBLIC OFFICERS ARE REQUIRED TO CONSIDER NOT ONLY THE FINANCIAL RESOURCES OF THE BIDDER, BUT ALSO HIS INTEGRITY, FITNESS, CAPACITY, AND ABILITY SUCCESSFULLY TO FULFILL THE CONTRACT REQUIREMENTS. O-BRIEN V. CARNEY, 6 F.1SUPP. 761; KELLING, ET AL. V. EDWARDS, ET AL., 116 MINN, 484, 134 N.W. 221 AND KOICH V. CVAR, 110 P.2D 964. IN VIEW THEREOF, AND SINCE THE SUPPLY OFFICER AT FREEDMEN'S HOSPITAL WAS UNABLE TO DEVELOP ANY INFORMATION EVEN TO ESTABLISH THE EXISTENCE OF THE D.C. SOLUTION SERVICE, IT IS OBVIOUS THAT HIS ACTION IN THE INSTANT CASE WAS JUSTIFIED.

ACCORDINGLY, THIS OFFICE WOULD NOT BE WARRANTED IN QUESTIONING THE ADMINISTRATIVE ACTION TAKEN.