B-124232, JUN. 17, 1955
Highlights
BUREAU OF RECLAMATION: REFERENCE IS MADE TO YOUR LETTER OF JUNE 6. BIDS WERE REQUESTED FOR FURNISHING 3. IT WAS NOTED THAT THE BID OF THE PRATT-GILBERT HARDWARE CO. WAS SUBSTANTIALLY LOWER THAN THE OTHER BIDS RECEIVED AND. THE COMPANY WAS REQUESTED TO VERIFY ITS BID. THE SUPPLIER ADVISED THE COMPANY THAT THE NYLON ROPE MANUFACTURED BY IT MET THE SPECIFICATIONS BUT THAT THE PRICES QUOTED BY IT WERE TEMPORARILY WITHDRAWN. THE COMPANY ADVISED THAT THE CORRECT PRICE FOR THE NYLON ROPE IS $3.30 PER POUND. OF $173.40 IS COMPLETELY OUT OF LINE WITH THE OTHER BIDS. THERE APPEARS TO BE NO DOUBT BUT THAT THE BID OF $173.40 FOR THE NYLON ROPE WAS ERRONEOUS. SINCE IT WAS BELIEVED THAT THE BID OF THE COMPANY WAS ERRONEOUS AND SINCE SUCH BELIEF WAS CONFIRMED AND THE ERROR WAS EXPLAINED BY THE COMPANY PRIOR TO AWARD.
B-124232, JUN. 17, 1955
TO MR. E. A. BENSON, CONTRACTING OFFICER, BUREAU OF RECLAMATION:
REFERENCE IS MADE TO YOUR LETTER OF JUNE 6, 1955, WITH ENCLOSURES, REQUESTING A DECISION AS TO THE ACTION TO BE TAKEN REGARDING AN ERROR THE PRATT-GILBERT HARDWARE CO. ALLEGES IT MADE IN ITS BID OPENED APRIL 18, 1955.
BY INVITATION NO. 304-55-1893, BIDS WERE REQUESTED FOR FURNISHING 3,600 FEET OF 1/2 INCH NYLON ROPE. IN RESPONSE TO THE INVITATION, THE PRATT- GILBERT HARDWARE CO. SUBMITTED A BID DATED APRIL 13, 1955,OFFERING TO FURNISH THE NYLON ROPE AT A PRICE OF $57.80 PER ONE HUNDRED POUNDS, OR FOR A TOTAL PRICE OF $173.40.
YOU STATE THAT, UPON EVALUATING THE BIDS, IT WAS NOTED THAT THE BID OF THE PRATT-GILBERT HARDWARE CO. WAS SUBSTANTIALLY LOWER THAN THE OTHER BIDS RECEIVED AND, THEREFORE, THE COMPANY WAS REQUESTED TO VERIFY ITS BID. THE RECORD DISCLOSES THAT BY TELEGRAM DATED APRIL 18, 1955, THE COMPANY CONTACTED ITS SUPPLIER AND THAT BY TELEGRAM DATED APRIL 21, 1955, THE SUPPLIER ADVISED THE COMPANY THAT THE NYLON ROPE MANUFACTURED BY IT MET THE SPECIFICATIONS BUT THAT THE PRICES QUOTED BY IT WERE TEMPORARILY WITHDRAWN. IN A LETTER DATED APRIL 21, 1955, THE COMPANY REQUESTED THAT IT BE PERMITTED TO WITHDRAW ITS BID FOR THE REASON THAT ITS SUPPLIER HAD WITHDRAWN ITS QUOTATION. BY LETTER DATED JUNE 2, 1955, THE COMPANY ADVISED THAT THE CORRECT PRICE FOR THE NYLON ROPE IS $3.30 PER POUND. THE LETTER, THE COMPANY STATED THAT THE ERROR IN ITS BID RESULTED FROM AN ERROR IN TRANSCRIPTION.
THE ABSTRACT OF BIDS SHOWS THAT THE TOTAL PRICES QUOTED BY THE FIVE OTHER BIDDERS ON THE NYLON ROPE RANGED FROM $632.66 TO $892.80. THUS, THE BID OF THE PRATT-GILBERT HARDWARE CO. OF $173.40 IS COMPLETELY OUT OF LINE WITH THE OTHER BIDS.
ON THE BASIS OF THE FACTS AND EVIDENCE OF RECORD, THERE APPEARS TO BE NO DOUBT BUT THAT THE BID OF $173.40 FOR THE NYLON ROPE WAS ERRONEOUS. ACCORDINGLY, SINCE IT WAS BELIEVED THAT THE BID OF THE COMPANY WAS ERRONEOUS AND SINCE SUCH BELIEF WAS CONFIRMED AND THE ERROR WAS EXPLAINED BY THE COMPANY PRIOR TO AWARD, THE BID MAY BE DISREGARDED IN MAKING THE AWARD.