B-131175, MAR. 28, 1957

B-131175: Mar 28, 1957

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PUBLIC PRINTER: REFERENCE IS MADE TO YOUR LETTER OF MARCH 21. THE BIDS WERE OPENED ON MARCH 6. OF $11.22 PER THOUSAND SHEETS WAS REJECTED BECAUSE IT WAS BASED ON A SHEET SIZE OF 22 BY 34 INCHES RATHER THAN A SHEET SIZE OF 34 BY 44 INCHES. FOUR OTHER BIDS WERE RECEIVED WHICH RANGED IN PRICE FROM $19.85 TO $102.30 PER THOUSAND SHEETS. YOU REPORT THAT AWARD WAS MADE TO THE FRANK PARSONS PAPER COMPANY. PURCHASE ORDER NO. 12841 WAS ISSUED FOR A TOTAL OF $794 AND FORWARDED TO THE LOW BIDDER. SEVERAL DAYS LATER IT WAS NOTED THAT THE BID OF THE FRANK PARSONS PAPER COMPANY. WAS PROBABLY IN ERROR SINCE THE PRICE WAS UNUSUALLY LOW IN COMPARISON WITH THE OTHER BIDS AND WITH THE PRICES PREVIOUSLY PAID FOR THIS TYPE OF CARBON PAPER.

B-131175, MAR. 28, 1957

TO HONORABLE RAYMOND BLATTENBERGER, PUBLIC PRINTER:

REFERENCE IS MADE TO YOUR LETTER OF MARCH 21, 1957, REQUESTING A DECISION AS TO WHETHER A CONTRACT WITH THE FRANK PARSONS PAPER COMPANY, INC., 16TH AND OKIE STREETS, N.E., WASHINGTON 2, D.C., FOR FURNISHING A QUANTITY OF CARBON PAPER, MAY BE CANCELLED WITHOUT LIABILITY TO THE TO THE CONTRACTOR.

THE RECORD SHOWS THAT ON FEBRUARY 26, 1957, YOUR AGENCY ADVERTISED FOR BIDS FOR FURNISHING 40,000 SHEETS (PLUS OR MINUS 10 PERCENT) OF BLACK PENCIL CARBON PAPER, SINGLE-FACED, 34 BY 44 INCHES, BASIS: UNCOATED: 20 BY 30 INCHES-1,111-18 POUNDS. THE BIDS WERE OPENED ON MARCH 6, 1957, AND THE BID BY THE TECHNICARBON COMPANY, INC., OF $11.22 PER THOUSAND SHEETS WAS REJECTED BECAUSE IT WAS BASED ON A SHEET SIZE OF 22 BY 34 INCHES RATHER THAN A SHEET SIZE OF 34 BY 44 INCHES, AS REQUIRED BY THE SPECIFICATIONS. FOUR OTHER BIDS WERE RECEIVED WHICH RANGED IN PRICE FROM $19.85 TO $102.30 PER THOUSAND SHEETS.

YOU REPORT THAT AWARD WAS MADE TO THE FRANK PARSONS PAPER COMPANY, INC., AS THE LOW BIDDER AT THE BID PRICE OF $19.85 PER THOUSAND SHEETS, AND ON MARCH 7, 1957, PURCHASE ORDER NO. 12841 WAS ISSUED FOR A TOTAL OF $794 AND FORWARDED TO THE LOW BIDDER. SEVERAL DAYS LATER IT WAS NOTED THAT THE BID OF THE FRANK PARSONS PAPER COMPANY, INC., WAS PROBABLY IN ERROR SINCE THE PRICE WAS UNUSUALLY LOW IN COMPARISON WITH THE OTHER BIDS AND WITH THE PRICES PREVIOUSLY PAID FOR THIS TYPE OF CARBON PAPER. THE CONTRACTING OFFICER HAS ADVISED THAT THE ERROR SHOULD HAVE BEEN NOTED BEFORE AWARD AND THAT AS SOON AS IT WAS NOTED HE REQUESTED VERIFICATION OF THE PRICE QUOTED BY THE FRANK PARSONS PAPER COMPANY, INC.

BY LETTER OF MARCH 13, 1957, THE PARSONS COMPANY ADVISED THAT THEY HAD BEEN INFORMED BY THEIR SUPPLIER THAT THE LATTER HAD MISREAD THE INQUIRY AS BEING FOR ONE-TIME CARBON PAPER AND HAD BID THE APPROPRIATE PRICE FOR IT, AND THAT THEY WERE UNWILLING TO QUOTE ON PENCIL CARBON IN THE REQUIRED WEIGHT BASED UPON YOUR SMUDGE SPECIFICATIONS. IT WAS STATED ALSO THAT THE SUPPLIER WAS COMPLETELY UNABLE TO MEET YOUR SPECIFICATIONS ON THIS INQUIRY FOR BLACK PENCIL CARBON.

YOU STATE THAT YOUR OFFICE PURCHASES BOTH ONE-TIME CARBON AND BLACK PENCIL CARBON EVERY FEW WEEKS; THAT THE LAST FOUR PURCHASES OF BLACK PENCIL CARBON EVERY FEW WEEKS; THAT THE LAST FOUR PURCHASES OF BLACK SHEETS; THAT THE LAST FOUR PURCHASES OF ONE-TIME CARBON RANGED FROM $17.35 TO $20.20 PER THOUSAND SHEETS, AND THAT IT WOULD APPEAR,THEREFORE, THAT THE FRANK PARSONS PAPER COMPANY, INC., BASED THEIR QUOTATION ON ONE-TIME CARBON RATHER THAN BLACK PENCIL CARBON AS DESCRIBED IN YOUR SPECIFICATIONS.

THE RECORD INDICATES THAT THE BID OF THE COMPANY WAS SO FAR OUT OF LINE WITH THE OTHER BIDS THAT, TOGETHER WITH THE PREVIOUS EXPERIENCE OF YOUR OFFICE IN PURCHASING SIMILAR PAPER, THE CONTRACTING OFFICER SHOULD HAVE BEEN ON NOTICE OF PROBABLE ERROR THUS REQUIRING VERIFICATION BEFORE AWARD. SINCE THERE SEEMS TO BE NO DOUBT THAT THERE WAS IN FACT A BONA FIDE ERROR IN BID ON THE PART OF THE FRANK PARSONS PAPER COMPANY, INC., THE CONTRACT SHOULD BE CANCELLED WITHOUT LIABILITY TO THE CONTRACTOR.