B-129639, NOV. 14, 1956

B-129639: Nov 14, 1956

Additional Materials:

Contact:

Edda Emmanuelli Perez
(202) 512-2853
EmmanuelliPerezE@gao.gov

 

Office of Public Affairs
(202) 512-4800
youngc1@gao.gov

NATIONAL PARK SERVICE: REFERENCE IS MADE TO YOUR LETTER OF OCTOBER 4. STATED TO BE DUE BY REASON OF AN ERROR ALLEGED TO HAVE BEEN MADE IN ITS BID ON WHICH CONTRACT NO. 14-10-028-1075 WAS AWARDED. THE BID OF THE COMPANY WAS ACCEPTED ON AUGUST 27. PURCHASE ORDER NO. 28-357-F WAS ISSUED ON THE SAME DATE REQUESTING DELIVERY OF THE GRASS SEED. THAT ITS BID PRICE OF $0.735 PER POUND FOR THE GRASS SEED WAS ERRONEOUS IN THAT IT WAS BASED ON FURNISHING 85 PERCENT PURE SEED AND NOT 98 PERCENT PURE SEED AS REQUIRED. THAT IT DID NOT HAVE THAT GRADE OF KENTUCKY BLUE GRASS SEED IN STOCK. THE CONTRACTING OFFICER ADVISED THE COMPANY THAT HE WAS WITHOUT AUTHORITY TO CORRECT THE CONTRACT PRICE OF THE SEED AND THAT IN VIEW OF THE URGENT NEED FOR THE SEED.

B-129639, NOV. 14, 1956

TO MR. MANLEY W. ALLEN, AUTHORIZED CERTIFYING OFFICER, NATIONAL PARK SERVICE:

REFERENCE IS MADE TO YOUR LETTER OF OCTOBER 4, 1956, WITH ENCLOSURES, REQUESTING A DECISION AS TO WHETHER YOU MAY CERTIFY FOR PAYMENT AN INVOICE RENDERED BY T. W. WOOD AND SONS, RICHMOND, VIRGINIA, FOR $625, STATED TO BE DUE BY REASON OF AN ERROR ALLEGED TO HAVE BEEN MADE IN ITS BID ON WHICH CONTRACT NO. 14-10-028-1075 WAS AWARDED.

THE PURCHASING OFFICER, NATIONAL CAPITAL PARKS, BY INVITATION NO. 25, REQUESTED BIDS FOR FURNISHING 5,000 POUNDS OF KENTUCKY BLUE GRASS SEED (POA PRATENSIS), PURITY 98, WEEDS 1/10TH OF 1 PERCENT, GERMINATION 85. W. WOOD AND SONS SUBMITTED A BID DATED AUGUST 24, 1956, OFFERING TO FURNISH THE GRASS SEED AT A PRICE OF $0.735 PER POUND. THE BID OF THE COMPANY WAS ACCEPTED ON AUGUST 27, 1956, AND PURCHASE ORDER NO. 28-357-F WAS ISSUED ON THE SAME DATE REQUESTING DELIVERY OF THE GRASS SEED.

UPON RECEIPT OF THE PURCHASE ORDER, THE COMPANY ADVISED BY LETTER DATED AUGUST 28, 1956, THAT ITS BID PRICE OF $0.735 PER POUND FOR THE GRASS SEED WAS ERRONEOUS IN THAT IT WAS BASED ON FURNISHING 85 PERCENT PURE SEED AND NOT 98 PERCENT PURE SEED AS REQUIRED, AND THAT IT DID NOT HAVE THAT GRADE OF KENTUCKY BLUE GRASS SEED IN STOCK. BY TELEGRAM DATED AUGUST 29, 1956, THE CONTRACTING OFFICER ADVISED THE COMPANY THAT HE WAS WITHOUT AUTHORITY TO CORRECT THE CONTRACT PRICE OF THE SEED AND THAT IN VIEW OF THE URGENT NEED FOR THE SEED, THE COMPANY SHOULD MAKE DELIVERY AT THE EARLIEST POSSIBLE DATE. IN A LETTER DATED SEPTEMBER 10, 1956, THE COMPANY ADVISED THAT SHIPMENT OF THE GRASS SEED HAD BEEN MADE FROM KANSAS CITY. BY LETTER DATED SEPTEMBER 12, 1956, THE COMPANY SUBMITTED A SUPPLEMENTAL INVOICE IN THE AMOUNT OF $625 WHICH, TOGETHER WITH ITS TOTAL BID PRICE, IT STATED, REPRESENTS ITS ACTUAL COST. IN SUPPORT OF ITS ALLEGATION OF ERROR, THE COMPANY SUBMITTED A COPY OF ITS MENTION PRICE LIST NO. 21 DATED AUGUST 24, 1956--- THE DATE OF ITS BID--- WHICH SPECIFIES FOR KENTUCKY BLUE GRASS SEED, 21-POUND SEED, 85 PERCENT PURITY, IN 100-POUND BAGS, A PRICE OF $72 PER BAG IN FIVE-BAG LOTS AND A PRICE OF $73 FOR SINGLE BAGS.

THE ABSTRACT OF BIDS SHOWS THAT THE TWO OTHER BIDDERS QUOTED PRICES OF $0.89 AND $0.92 PER POUND FOR THE GRASS SEED. IN VIEW OF THE SUBSTANTIAL DIFFERENCE BETWEEN THE BID OF T. W. WOOD AND SONS OF $0.734 PER POUND AND THE OTHER BIDS ON THE GRASS SEED, THE POSSIBILITY OF ERROR WAS APPARENT AND, IN THE CIRCUMSTANCES, THE BID SHOULD NOT HAVE BEEN ACCEPTED WITHOUT REQUESTING THE COMPANY TO VERIFY ITS BID. THERE APPEARS NO ROOM FOR DOUBT THAT THE BID OF THE COMPANY WAS NOT BASED ON FURNISHING THE GRADE OF GRASS SEED REQUIRED.

ACCORDINGLY, THE INVOICE, UPON WHICH A REFERENCE TO THIS DECISION SHOULD BE MADE, MAY BE CERTIFIED FOR PAYMENT IN THE AMOUNT OF $625.

THE INVOICE AND ACCOMPANYING PAPERS, WITH THE EXCEPTION OF THE ADMINISTRATIVE OFFICER'S LETTER OF SEPTEMBER 21, 1956, ARE RETURNED.