B-126122, DEC. 7, 1955

B-126122: Dec 7, 1955

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PUBLIC PRINTER: REFERENCE IS MADE TO YOUR LETTER OF NOVEMBER 18. IN YOUR LETTER YOU STATE THAT THE CONTRACTING OFFICER TOOK NOTICE OF THE PROBABILITY OF ERROR IN THE CORPORATION'S UNIT BID PRICE OF $6.08 FOR THE 50 PIECES OF 4 FEET BY 8 FEET BY 1/2 INCH PLYWOOD CALLED FOR UNDER ITEM NO. 2 SINCE IT WAS OUT OF LINE WITH THE FIVE OTHER BIDS THEREON RANGING FROM $6.94 TO $9.088 PER PIECE AND SINCE THE CORPORATION'S BID PRICE ON THE 1/2 INCH PLYWOOD WAS ALMOST 35 PERCENT LESS THAN ITS BID FOR THE 50 3/4 INCH PIECES CALLED FOR UNDER THE SAME ITEM. THE PRICES FOR THE 1/2 INCH PIECES WERE ONLY ABOUT 20 PERCENT LESS THAN THE PRICES QUOTED FOR THE 3/4 INCH PIECES. UPON BEING REQUESTED BY TELEPHONE TO REVIEW THE SPECIFICATIONS AND CONFIRM ITS PRICES THE CORPORATION ADVISED VERBALLY AND BY CONFIRMING LETTER THAT IT MADE AN ERROR ON ITEM NO. 2 SINCE IT INADVERTENTLY "OVERLOOKED THE FACT THAT ITEM NO. 2 CALLED FOR "GOOD BOTH SIDES" AND THUS BID WAS FIGURED "GOOD ONE SIDE.'" THEREFORE.

B-126122, DEC. 7, 1955

TO THE HONORABLE RAYMOND BLATTENBERGER, PUBLIC PRINTER:

REFERENCE IS MADE TO YOUR LETTER OF NOVEMBER 18, 1955, WITH ENCLOSURES, REQUESTING A DECISION AS TO WHETHER A BID DATED NOVEMBER 1, 1955, SUBMITTED BY JOHNSON AND WIMSATT, INC., ON ITEM NO. 2 OF INVITATION ISSUED OCTOBER 27, 1955, ON PURCHASE REQUISITIONS NOS. 3735, 3887, 3888, AND 4167, MAY BE DISREGARDED IN VIEW OF THE BIDDER'S ALLEGATION OF ERROR.

IN YOUR LETTER YOU STATE THAT THE CONTRACTING OFFICER TOOK NOTICE OF THE PROBABILITY OF ERROR IN THE CORPORATION'S UNIT BID PRICE OF $6.08 FOR THE 50 PIECES OF 4 FEET BY 8 FEET BY 1/2 INCH PLYWOOD CALLED FOR UNDER ITEM NO. 2 SINCE IT WAS OUT OF LINE WITH THE FIVE OTHER BIDS THEREON RANGING FROM $6.94 TO $9.088 PER PIECE AND SINCE THE CORPORATION'S BID PRICE ON THE 1/2 INCH PLYWOOD WAS ALMOST 35 PERCENT LESS THAN ITS BID FOR THE 50 3/4 INCH PIECES CALLED FOR UNDER THE SAME ITEM, WHEREAS IN THE OTHER BIDS, THE PRICES FOR THE 1/2 INCH PIECES WERE ONLY ABOUT 20 PERCENT LESS THAN THE PRICES QUOTED FOR THE 3/4 INCH PIECES.

UPON BEING REQUESTED BY TELEPHONE TO REVIEW THE SPECIFICATIONS AND CONFIRM ITS PRICES THE CORPORATION ADVISED VERBALLY AND BY CONFIRMING LETTER THAT IT MADE AN ERROR ON ITEM NO. 2 SINCE IT INADVERTENTLY "OVERLOOKED THE FACT THAT ITEM NO. 2 CALLED FOR "GOOD BOTH SIDES" AND THUS BID WAS FIGURED "GOOD ONE SIDE.'" THEREFORE, IT REQUESTED THAT ITS BID BE DISREGARDED AS TO ITEM NO. 2. BY SUBSEQUENT LETTER DATED NOVEMBER 30, 1955, IT FURNISHED ITS WORKSHEET SHOWING THAT ITS UNIT BID PRICE FOR THE 1/2 INCH PIECES WAS BASED ON "GOOD ONE SIDE," AND ITS PRINTED INVENTORY OF STOCK ON HAND AS OF NOVEMBER 15, 1955, SHOWING A PRICE OF $190.50 PER THOUSAND FEET, AMOUNTING TO APPROXIMATELY $6.08 PER PIECE, FOR THE 4 FEET BY 8 FEET BY 1/2 INCH PIECES "GOOD ONE SIDE," INTERIOR GRADE, PLYWOOD AND A PRICE OF $2.29 PER THOUSAND FEET, OR ABOUT $7.33 PER PIECE, APPROXIMATELY 20 PERCENT HIGHER IS SHOWN FOR THE SAME SIZE PLYWOOD OF IDENTICAL QUALITY,"GOOD BOTH SIDES.' THUS, ON THE BASIS OF THE FACTS AND EVIDENCE OF RECORD THERE IS NO DOUBT THAT A BONA FIDE ERROR WAS MADE IN THE BID AS ALLEGED.

ACCORDINGLY, SINCE IT WAS BELIEVED THE BID WAS ERRONEOUS AND SINCE SUCH BELIEF WAS CONFIRMED AND THE ERROR HAS BEEN ESTABLISHED SATISFACTORILY BY THE BIDDER'S EXPLANATION AND ITS LIST OF PRICES FURNISHED, THE BID OF JOHNSON AND WIMSATT, INC., AS TO ITEM NO. 2, SHOULD BE DISREGARDED.

THE PAPERS, WITH THE EXCEPTION OF THE BIDDER'S LETTERS OF NOVEMBER 15 AND NOVEMBER 30, 1955, ITS WORKSHEET, AND ITS INVENTORY DATED NOVEMBER 15, 1955, ARE RETURNED.