B-124248, JUN. 20, 1955

B-124248: Jun 20, 1955

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SACRAMENTO AIR MATERIEL AREA: REFERENCE IS MADE TO YOUR LETTER OF JUNE 6. THE RECORD SHOWS THAT THE BIDS WERE OPENED ON MAY 24. MOFFITT AND TOWNE ADVISED THAT AN ERROR HAD BEEN MADE IN PREPARING ITS BID IN THAT THE PRICE QUOTED IS THE APPLICABLE PRICE FOR ONE -INCH TAPE INSTEAD OF THE REQUIRED THREE-INCH TAPE. THAT THE CORRECT PRICE FOR THE THREE-INCH SIZE IS THREE TIMES THE PRICE QUOTED. WAS FORWARDED. WHEREIN THE LIST PRICE OF THE ONE-INCH SIZE TAPE OF THE TYPE HERE REQUIRED IS SHOWN TO BE $1.90 PER ROLL AND. SHOWN ON THE ABSTRACT IS INFORMATION DISCLOSING THAT BLAKE. ADVISED IN THEIR RESPECTIVE BIDS THAT THEY WERE SUBCONTRACTING 100 PERCENT OF THE STATED QUANTITY OF THE TYPE OF TAPE REQUIRED AND EACH BIDDER SPECIFIED THAT ITS MANUFACTURER AND SUPPLIER WAS THE MINNESOTA MINING AND MANUFACTURING COMPANY.

B-124248, JUN. 20, 1955

TO MR. CHARLES G. MARTIN, CONTRACTING OFFICER, SACRAMENTO AIR MATERIEL AREA:

REFERENCE IS MADE TO YOUR LETTER OF JUNE 6, 1955, SMPPRB, WITH ENCLOSURES, REQUESTING A DECISION AS TO WHETHER A BID SUBMITTED BY BLAKE, MOFFITT AND TOWNE IN RESPONSE TO INVITATION NO. 04-606-55-144 MAY BE CORRECTED, IN VIEW OF THE BIDDER'S ALLEGATION OF ERROR.

THE INVITATION REQUESTED BIDS FOR FURNISHING 504 ROLLS OF THREE-INCH TRANSPARENT ADHESIVE TAPE, 72 YARDS TO THE ROLL. THE RECORD SHOWS THAT THE BIDS WERE OPENED ON MAY 24, 1955, AND THAT, BY LETTER DATED MAY 26, 1955, BLAKE, MOFFITT AND TOWNE ADVISED THAT AN ERROR HAD BEEN MADE IN PREPARING ITS BID IN THAT THE PRICE QUOTED IS THE APPLICABLE PRICE FOR ONE -INCH TAPE INSTEAD OF THE REQUIRED THREE-INCH TAPE, AND THAT THE CORRECT PRICE FOR THE THREE-INCH SIZE IS THREE TIMES THE PRICE QUOTED, OR $5.70 PER ROLL. THE BIDDER REQUESTED PERMISSION TO INCREASE ITS BID PRICE FROM $1.90 TO $5.70 PER ROLL. IN SUBSTANTIATION OF THE ALLEGED ERROR, A PRINTED PRICE LIST, DATED SEPTEMBER 20, 1954, FROM THE LOOSE-LEAF CATALOG OF THE MINNESOTA MINING AND MANUFACTURING COMPANY, ITS SUPPLIER, WAS FORWARDED, WHEREIN THE LIST PRICE OF THE ONE-INCH SIZE TAPE OF THE TYPE HERE REQUIRED IS SHOWN TO BE $1.90 PER ROLL AND, ON THE BASIS SHOWN THEREIN FOR COMPUTING THE PRICE OF WIDER WIDTHS, $5.70 PER ROLL FOR THE THREE-INCH SIZE.

THE ABSTRACT OF BIDS SHOWS THAT THE FIVE OTHER BIDS RECEIVED RANGED FROM $3.39 TO $5.70 PER ROLL. ALSO, SHOWN ON THE ABSTRACT IS INFORMATION DISCLOSING THAT BLAKE, MOFFITT AND TOWNE AND ONE OTHER BIDDER, THE NOLAND PAPER COMPANY, INC., ADVISED IN THEIR RESPECTIVE BIDS THAT THEY WERE SUBCONTRACTING 100 PERCENT OF THE STATED QUANTITY OF THE TYPE OF TAPE REQUIRED AND EACH BIDDER SPECIFIED THAT ITS MANUFACTURER AND SUPPLIER WAS THE MINNESOTA MINING AND MANUFACTURING COMPANY. THE OTHER BIDDER QUOTED A PRICE OF $5.70 PER ROLL AND THE MINNESOTA MINING AND MANUFACTURING COMPANY, THE SUPPLIER FOR BOTH BIDDERS, SUBMITTED THE NEXT LOWEST BID OF $3.39 PER ROLL. UNDER THE CIRCUMSTANCES, IT IS UNLIKELY THAT THE BIDDER INTENTIONALLY WOULD AGREE TO FURNISH THE TAPE AT $1.90 PER ROLL, A PRICE LESS THAN ITS SUPPLIER'S BID PRICE AND SUBSTANTIALLY LOWER THAN THE REFERRED-TO BID OF NOLAND PAPER COMPANY, INC. ALSO, YOU STATE THAT ON A SUBSEQUENT INVITATION THE BIDDER QUOTED A PRICE OF "$1.90 PER ROLL FOR THE ONE INCH WIDTH.'

ON THE BASIS OF THE FACTS AND EVIDENCE OF RECORD, THERE IS NO DOUBT THAT AN ERROR WAS MADE IN PREPARING THE BID, AS ALLEGED. HOWEVER, THE BIDDER'S INTENDED BID IS NOT ESTABLISHED CONCLUSIVELY BY COMPETENT EVIDENCE AS REQUIRED FOR CORRECTION. MOREOVER, IF THE BID WERE CORRECTED, AS REQUESTED, IT WOULD NO LONGER BE THE LOWEST BID RECEIVED.

ACCORDINGLY, SINCE THE ERROR WAS ALLEGED PROMPTLY AND EXPLAINED SATISFACTORILY BY THE BIDDER PRIOR TO AWARD, THE BID OF BLAKE, MOFFITT AND TOWNE SHOULD BE DISREGARDED.