B-130711, FEB. 20, 1957

B-130711: Feb 20, 1957

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UNITED STATES FOREST SERVICE: REFERENCE IS MADE TO YOUR LETTER OF FEBRUARY 12. BY INVITATION NO. 158 BIDS WERE REQUESTED FOR FURNISHING A SPECIFIED QUANTITY OF TREATED PREFABRICATED GLU-LAM STRINGERS. YOU STATE THAT WHEN THE BIDS ON ITEMS 1 AND 2 WERE EXAMINED. IT WAS NOTED THAT AN OBVIOUS ERROR EXISTED IN THE BID OF WEBSTER LUMBER MILLS. A TELEPHONE CALL WAS RECEIVED FROM THE CORPORATION ALLEGING THAT ITS UNIT PRICES FOR ITEMS 1 AND 2 HAD BEEN REVERSED. THE CORPORATION STATED THAT THE PRICES FOR ITEMS 1 AND 2 WERE REVERSED. WITH THE RESULT THAT THE PRICE FOR ITEM 1 SHOULD HAVE BEEN $4. 983.51 AND THE PRICE FOR ITEM 2 SHOULD HAVE BEEN $2. WAS INTENDED FOR ITEM 2. IN WHICH THE CORPORATION WAS QUOTED A PRICE OF $4.

B-130711, FEB. 20, 1957

TO MR. H. P. CAMPBELL, CONTRACTING OFFICER, UNITED STATES FOREST SERVICE:

REFERENCE IS MADE TO YOUR LETTER OF FEBRUARY 12, 1957, WITH ENCLOSURES, REQUESTING A DECISION AS TO THE ACTION TO BE TAKEN CONCERNING AN ERROR WHICH WEBSTER LUMBER MILLS, INC., SEATTLE, WASHINGTON, ALLEGES IT MADE IN ITS BID OPENED ON FEBRUARY 6, 1957.

BY INVITATION NO. 158 BIDS WERE REQUESTED FOR FURNISHING A SPECIFIED QUANTITY OF TREATED PREFABRICATED GLU-LAM STRINGERS, ITEM 1, AND A SPECIFIED QUANTITY OF TREATED LUMBER, ITEM 2, FOR THE BUMPING RIVER BRIDGE. IN RESPONSE WEBSTER LUMBER MILLS, INC., SUBMITTED AN UNDATED BID QUOTING A LUMP-SUM PRICE OF $2,983.51 FOR ITEM 1 AND THE LUMP-SUM PRICE OF $4,816 FOR ITEM 2. THE ABSTRACT OF BIDS SHOWS THAT THE EIGHT OTHER BIDS ON ITEM 1 RANGED FROM $4,716 TO $5,900 AND THAT ON ITEM 2, THE SEVEN OTHER BIDS RANGED FROM $3,121.20 TO $4,488.

IN A MEMORANDUM TO FILES DATED FEBRUARY 6, 1957, YOU STATE THAT WHEN THE BIDS ON ITEMS 1 AND 2 WERE EXAMINED, IT WAS NOTED THAT AN OBVIOUS ERROR EXISTED IN THE BID OF WEBSTER LUMBER MILLS, NC., IN THAT IT APPEARED THAT ITS QUOTATION FOR ITEMS 1 AND 2 HAD BEEN REVERSED, AND THAT BEFORE A LETTER OF INQUIRY COULD BE MAILED TO THE CORPORATION, A TELEPHONE CALL WAS RECEIVED FROM THE CORPORATION ALLEGING THAT ITS UNIT PRICES FOR ITEMS 1 AND 2 HAD BEEN REVERSED.

IN A CONFIRMING LETTER DATED FEBRUARY 6, 1957, THE CORPORATION STATED THAT THE PRICES FOR ITEMS 1 AND 2 WERE REVERSED, WITH THE RESULT THAT THE PRICE FOR ITEM 1 SHOULD HAVE BEEN $4,816 INSTEAD OF $2,983.51 AND THE PRICE FOR ITEM 2 SHOULD HAVE BEEN $2,983.51 INSTEAD OF $4,816. THE CORPORATION REQUESTED THAT ITS BID BE CORRECTED ACCORDINGLY. IN SUPPORT OF ITS ALLEGATION OF ERROR, THE CORPORATION SUBMITTED A PHOTOSTATIC COPY OF ITS ORIGINAL ESTIMATE SHEET WHICH SHOWS THAT IT ESTIMATED THE COST OF THE TREATED LUMBER (ITEM 2) AS BEING $2,841.44 AND THAT TO SUCH AMOUNT IT ADDED FIVE PERCENT TO ARRIVE AT A BID PRICE OF $2,983.51--- THE PRICE, WHICH IT ALLEGES, WAS INTENDED FOR ITEM 2. ALSO, THE CORPORATION FURNISHED A PHOTOSTATIC COPY OF A LETTER QUOTATION DATED FEBRUARY 1, 1957, RECEIVED FROM THE LAMINATED WOOD PRODUCTS COMPANY, TACOMA, WASHINGTON, IN WHICH THE CORPORATION WAS QUOTED A PRICE OF $4,597 FOR THE GLU-LAM STRINGERS REQUIRED UNDER ITEM 1 AND ON SUCH LETTER APPEARS A CIRCLED PEN OR PENCIL NOTATION WHICH READS "BID $4,816.00.'

SINCE THE ABSTRACT OF BIDS SHOWS THAT EACH OF THE SEVEN OTHER BIDDERS WHO QUOTED ON BOTH ITEMS QUOTED A HIGHER PRICE FOR ITEM 1 THAN FOR ITEM 2, IT SEEMS OBVIOUS THAT THE CORPORATION DID NOT INTEND TO OFFER THE MATERIAL COVERED BY ITEM 1 AT A PRICE LOWER THAN THE PRICE QUOTED BY IT FOR ITEM 2. ACCORDINGLY AND SINCE THE INTENDED PRICES ARE CLEARLY ESTABLISHED, THE BID OF THE CORPORATION ON ITEM 1 MAY BE CONSIDERED AS $4,816 AND ON ITEM 2 AS $2,983.51, AND THE BID AS SO CORRECTED MAY BE CONSIDERED ALONG WITH THE OTHER BIDS IN MAKING THE AWARD.

IN THE EVENT THAT AWARD BE MADE TO WEBSTER LUMBER MILLS, INC., A REFERENCE TO THIS DECISION SHOULD BE MADE ON THE CONTRACT.

THE ORIGINAL BID OF WEBSTER LUMBER MILLS, INC., IS RETURNED. THE OTHER PAPERS IN THE CASE ARE BEING RETAINED.