B-129710, NOV. 16, 1956

B-129710: Nov 16, 1956

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PUBLIC PRINTER: REFERENCE IS MADE TO A LETTER DATED NOVEMBER 2. THE BIDS WERE OPENED ON OCTOBER 26. IT WAS FOUND THAT THE STANDARD REGISTER COMPANY WAS THE LOW BIDDER AT A PRICE OF $4. FOUR OTHER BIDS WERE RECEIVED WHICH RANGED IN PRICE FROM $9. THE CONTRACTING OFFICER NOTED THAT THE BID OF THE STANDARD REGISTER COMPANY WAS PROBABLY IN ERROR BECAUSE IT WAS OUT OF LINE WITH ALL THE OTHER BIDS RECEIVED. IT IS REPORTED THAT ON OCTOBER 29. A TELEGRAM WAS FORWARDED TO THE STANDARD REGISTER COMPANY REQUESTING THEM TO REVIEW THE SPECIFICATIONS AND TO CONFIRM THEIR BID PRICE ON THE JOB. IT WAS STATED. IS NECESSARY TO COMPLETE THE WORK. IN CONNECTION THEREWITH IT WAS POINTED OUT IN THE LETTER OF NOVEMBER 2 THAT THE TOTAL QUANTITY OF 463.

B-129710, NOV. 16, 1956

TO THE HONORABLE RAYMOND BLATTENBERGER, PUBLIC PRINTER:

REFERENCE IS MADE TO A LETTER DATED NOVEMBER 2, 1956, WITH ENCLOSURES, FROM THE ACTING PUBLIC PRINTER, REQUESTING A DECISION AS TO WHETHER A BID SUBMITTED BY THE STANDARD REGISTER COMPANY, 548 PENNSYLVANIA BUILDING, WASHINGTON 4, D.C., MAY BE CONSIDERED AS CORRECTED OR DISREGARDED IN AWARDING A CONTRACT FOR THE WORK CALLED FOR THEREBY.

THE RECORD SHOWS THAT ON OCTOBER 18, 1956, YOUR AGENCY ADVERTISED FOR PRICES ON THE PRODUCTION OF 463,000 SETS (PLUS OR MINUS 25,000) OF A 4- PART SINGLE STUB SNAPOUT-STYLE FORM, CARBON INTERLEAVED, 58,000 SETS TO BE SHIPPED ON OR BEFORE NOVEMBER 26, 1956, AND COMPLETE SHIPMENT TO BE MADE ON OR BEFORE DECEMBER 14, 1956. THE BIDS WERE OPENED ON OCTOBER 26, 1956, AND IT WAS FOUND THAT THE STANDARD REGISTER COMPANY WAS THE LOW BIDDER AT A PRICE OF $4,935.58. FOUR OTHER BIDS WERE RECEIVED WHICH RANGED IN PRICE FROM $9,357.23 TO $10,111.92. WHEN EXAMINING THE BIDS, THE CONTRACTING OFFICER NOTED THAT THE BID OF THE STANDARD REGISTER COMPANY WAS PROBABLY IN ERROR BECAUSE IT WAS OUT OF LINE WITH ALL THE OTHER BIDS RECEIVED.

IT IS REPORTED THAT ON OCTOBER 29, 1956, A TELEGRAM WAS FORWARDED TO THE STANDARD REGISTER COMPANY REQUESTING THEM TO REVIEW THE SPECIFICATIONS AND TO CONFIRM THEIR BID PRICE ON THE JOB, AND THAT ON THAT DAY A REPRESENTATIVE OF THE COMPANY TELEPHONED THE CONTRACTING OFFICER AND REPORTED THAT AN ERROR HAD BEEN MADE IN PREPARING THEIR BID. BY LETTER OF OCTOBER 29, 1956, THE BIDDER EXPLAINED THAT THEY HAD REVIEWED THEIR ESTIMATE SHEET AND HAD FOUND THAT DUE TO A ERROR IN COMPUTATION, THEY HAD CHARGED FOR ONLY ONE-HALF OF THE PAPER THAT WOULD BE REQUIRED FOR THE JOB. WITH THE LETTER OF OCTOBER 29, THE LOW BIDDER SUBMITTED ITS ESTIMATE SHEET WHICH SHOWS THAT THEY HAD USED THE QUANTITY OF 8,884 POUNDS OF PAPER IN ARRIVING AT THEIR BID PRICE. THE ESTIMATE SHEET SHOWS A CORRECTION TO 17,768 POUNDS OF PAPER, WHICH QUANTITY, IT WAS STATED, IS NECESSARY TO COMPLETE THE WORK. ON THE BASIS OF THE FOREGOING FACTS, THE LOW BIDDER REQUESTED THAT THEIR BID BE CHANGED FROM THE ORIGINAL QUOTED PRICE OF $10.66 PER THOUSAND SETS, AND IN CONNECTION THEREWITH IT WAS POINTED OUT IN THE LETTER OF NOVEMBER 2 THAT THE TOTAL QUANTITY OF 463,000 SETS AT THE CORRECTED PRICE WOULD BE $6,125.49, WHICH IS MATERIALLY LOWER THAN ANY OF THE OTHER BIDS RECEIVED.

THE CONTRACTING OFFICER HAS STATED THAT HE BELIEVES THE PRICE QUOTED BY THE STANDARD REGISTER COMPANY WAS ERRONEOUS, THAT THE JOB WOULD REQUIRE 17,768 POUNDS OF PAPER, AND THAT THE REVISED PRICE OF $13.23 PER THOUSAND SETS IS A LOW PRICE FOR THIS WORK. THE STANDARD REGISTER COMPANY HAS SUBMITTED EVIDENCE TO ESTABLISH THE EXISTENCE OF A BONA FIDE MISTAKE IN BID. SINCE THE ERROR WAS CONFIRMED SHORTLY AFTER THE BID OPENING AND SINCE THE RECORD SHOWS WHAT THE PRICE WOULD HAVE BEEN EXCEPT FOR THE ERROR, THE INTERESTS OF THE UNITED STATES REQUIRE THAT THE BID BE CONSIDERED AS CORRECTED. ACCORDINGLY, THE BID SHOULD BE CORRECTED AND AS CORRECTED CONSIDERED ALONG WITH THE OTHER BIDS.

THE PAPERS TRANSMITTED WITH THE LETTER OF NOVEMBER 2, WITH THE EXCEPTION OF THE BIDDER'S LETTER OF OCTOBER 29, 1956, AND ESTIMATE SHEET, ARE RETURNED HEREWITH.