B-126376, DEC. 23, 1955

B-126376: Dec 23, 1955

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VETERANS ADMINISTRATION: REFERENCE IS MADE TO A LETTER DATED DECEMBER 15. 3 (STOPCOCKS) WAS ACTUALLY INTENDED AS THE PRICE FOR IRRIGATING SYRINGES COVERED BY ITEMS 4. WAS COMPLETELY OUT OF LINE WITH THE OTHER RESPECTIVE BIDS THEREON. COULD NOT PROPERLY HAVE BEEN ACCEPTED WITHOUT VERIFICATION. 3 WAS ERRONEOUS. THE BIDDER'S EXPLANATION IS CORROBORATED BY THE FACT THAT THE PRICE OF $0.60 WAS WITHIN THE RANGE OF BIDS ON ITEMS 4. SINCE IT WAS BELIEVED THAT THE BID OF THE CORPORATION WAS ERRONEOUS. SINCE SUCH BELIEF WAS CONFIRMED AND THE ERROR SATISFACTORILY EXPLAINED BY THE CORPORATION PRIOR TO AWARD.

B-126376, DEC. 23, 1955

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

REFERENCE IS MADE TO A LETTER DATED DECEMBER 15, 1955, WITH ENCLOSURES, FROM THE ACTING ADMINISTRATOR, REQUESTING A DECISION AS TO THE ACTION TO BE TAKEN RELATIVE TO AN ERROR THE GOODMAN-KLEINER CO., INC. ALLEGES IT MADE IN ITS BID DATED NOVEMBER 14, 1955, IN RESPONSE TO INVITATION NO. A- 124-I.

THE VETERANS ADMINISTRATION, PROCUREMENT DIVISION, WASHINGTON, D.C., BY THAT INVITATION REQUESTED BIDS FOR FURNISHING, AMONG OTHER ITEMS, VARIOUS QUANTITIES OF STOPCOCKS, 3 WAY, SYRINGE AND NEEDLE ATTACHMENT, TO BE DELIVERED TO THREE SPECIFIED DESTINATIONS, ITEMS 1, 2, AND 3. RESPONSE, THE GOODMAN-KLEINER CO., INC. SUBMITTED A BID OFFERING TO FURNISH THE STOPCOCKS UNDER ITEMS 1, 2, AND 3 AT A PRICE OF $0.60 EACH.

UPON BEING REQUESTED TO VERIFY ITS BID, THE COMPANY ADVISED THE CONTRACTING OFFICERS, BY LETTER DATED DECEMBER 2, 1955, THAT THE PRICE OF $0.60 EACH QUOTED FOR ITEMS 1, 2, AND 3 (STOPCOCKS) WAS ACTUALLY INTENDED AS THE PRICE FOR IRRIGATING SYRINGES COVERED BY ITEMS 4, 5, AND 6. THE COMPANY THEREFORE REQUESTED THAT ITS BID BE CORRECTED ACCORDINGLY.

THE LIST OF BIDS IN THE ACTING ADMINISTRATOR'S LETTER SHOWS THAT THE TWO OTHER BIDDERS ON ITEMS 1, 2, AND 3 QUOTED PRICES RANGING FROM $1.41 EACH TO $1.47 EACH. THUS, THE BID OF THE GOODMAN-KLEINER CO., INC., OF $0.60 EACH FOR ITEMS 1, 2, AND 3, WAS COMPLETELY OUT OF LINE WITH THE OTHER RESPECTIVE BIDS THEREON, AND COULD NOT PROPERLY HAVE BEEN ACCEPTED WITHOUT VERIFICATION.

ON THE RECORD, THERE APPEARS TO BE NO DOUBT BUT THAT THE BID OF $0.60 EACH FOR ITEMS 1, 2, AND 3 WAS ERRONEOUS, AND THE BIDDER'S EXPLANATION IS CORROBORATED BY THE FACT THAT THE PRICE OF $0.60 WAS WITHIN THE RANGE OF BIDS ON ITEMS 4, 5, AND 6. ACCORDINGLY, SINCE IT WAS BELIEVED THAT THE BID OF THE CORPORATION WAS ERRONEOUS, AND SINCE SUCH BELIEF WAS CONFIRMED AND THE ERROR SATISFACTORILY EXPLAINED BY THE CORPORATION PRIOR TO AWARD, THE BID OF THE GOODMAN-KLEINER CO., INC. AS TO ITEMS 1, 2, AND 3 MAY BE DISREGARDED IN MAKING THE AWARD.