B-125342, SEP. 13, 1955

B-125342: Sep 13, 1955

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VETERANS ADMINISTRATION: REFERENCE IS MADE TO YOUR LETTER OF AUGUST 26. 4 BIDS WERE RECEIVED ON EACH OF THESE 3 TEMS: TABLE ITEM 1 ITEM 2 ITEM 3 10 EACH 10 EACH 4 EACH THE SWARTZBAUGH MFG. BELIEVING THAT THE BID OF THESHAMPAINE ELECTRIC COMPANY WAS IN ERROR. ALLEGED ERROR IN ITS BID IN THAT ONE OF ITS CLERKS INSERTED THE RIGHT FIGURE IN THE WRONG COLUMN SO THAT ITEM 1 SHOULD HAVE BEEN QUOTED AT $277 AND ITEM 2 AT $592. THE COMPANY FURTHER STATED THAT THE UNIT PRICE OF ITEM 3 REFLECTS AN ADDITIONAL FREIGHT CHARGE OF $40 WHICH WAS ERRONEOUSLY ADDED TO THE BASE PRICE OF ITEM 2 INSTEAD OF ITEM 3. SINCE IT WAS BELIEVED THAT THE BID OF THE SHAMPAINE ELECTRIC COMPANY WAS ERRONEOUS AND SINCE. SUCH BELIEF WAS CONFIRMED AND THE ERROR WAS EXPLAINED PRIOR TO AWARD.

B-125342, SEP. 13, 1955

TO HONORABLE H. V. HIGLEY, ADMINISTRATOR, VETERANS ADMINISTRATION:

REFERENCE IS MADE TO YOUR LETTER OF AUGUST 26, 1955, WITH ENCLOSURES, RELATIVE TO AN ERROR WHICH THE SHAMPAINE ELECTRIC COMPANY, NEW ROCHELLE, NEW YORK, ALLEGES IT MADE IN ITS BID DATED JULY 29, 1955, SUBMITTED IN RESPONSE TO INVITATION NO. M-7 DATED JULY 12, 1955, ISSUED BY THE VETERANS ADMINISTRATION.

THE INVITATION REQUESTED BIDS ON 11 ITEMS OF SERVICE TRUCKS, ITEM 1 BEING FOR 10 CONVEYORS, FOOD, COLD, AND ITEMS 2 AND 3 BEING FOR, RESPECTIVELY, 10 EACH AND 4 EACH CONVEYORS, FOOD, ELECTRICALLY HEATED. IN RESPONSE TO THE INVITATION, 4 BIDS WERE RECEIVED ON EACH OF THESE 3 TEMS:

TABLE

ITEM 1 ITEM 2 ITEM 3

10 EACH 10 EACH 4 EACH THE SWARTZBAUGH MFG. CO. 268.00 640.00 640.00 THE FISCHMAN CO. 269.50 543.50 543.50 S. BLICKMAN, INC.

498.00 710.00 760.00 SHAMPAINE ELECTRIC CO. 592.00 277.00 317.00

THE CONTRACTING OFFICER, BELIEVING THAT THE BID OF THESHAMPAINE ELECTRIC COMPANY WAS IN ERROR, REQUESTED THE BIDDER TO VERIFY THE BID IN LETTER OF AUGUST 4, 1955. THE COMPANY, IN ITS REPLY OF AUGUST 10, 1955, ALLEGED ERROR IN ITS BID IN THAT ONE OF ITS CLERKS INSERTED THE RIGHT FIGURE IN THE WRONG COLUMN SO THAT ITEM 1 SHOULD HAVE BEEN QUOTED AT $277 AND ITEM 2 AT $592, RESPECTIVELY. THE COMPANY FURTHER STATED THAT THE UNIT PRICE OF ITEM 3 REFLECTS AN ADDITIONAL FREIGHT CHARGE OF $40 WHICH WAS ERRONEOUSLY ADDED TO THE BASE PRICE OF ITEM 2 INSTEAD OF ITEM 3.

THE COMPANY'S BID PRICES ON THE THREE ITEMS DO APPEAR TO BE OUT OF LINE WITH THE PRICES QUOTED IN THE THREE OTHER BIDS RECEIVED AND THERE APPEARS NO DOUBT THAT THE COMPANY MADE A MISTAKE AS ALLEGED. ACCORDINGLY, SINCE IT WAS BELIEVED THAT THE BID OF THE SHAMPAINE ELECTRIC COMPANY WAS ERRONEOUS AND SINCE, UPON REQUESTING VERIFICATION, SUCH BELIEF WAS CONFIRMED AND THE ERROR WAS EXPLAINED PRIOR TO AWARD, THE BID SHOULD BE DISREGARDED.