B-131395, APR. 17, 1957

B-131395: Apr 17, 1957

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TO THE SECRETARY OF THE NAVY: REFERENCE IS MADE TO LETTER DATED APRIL 5. N228S-18972 WAS AWARDED. PROSPECTIVE BIDDERS WERE REQUESTED TO ENTER THEIR BID PRICES ON THE SUMMARY BID SHEET. IT INDICATED THAT IT WAS BIDDING ON ITEMS 3. IT WAS QUOTING A TOTAL PRICE OF $518.89. WHICH WAS ACCOMPANIED BY A BID GUARANTEE IN THE AMOUNT OF $300. WAS ACCEPTED AS TO ITEMS 5 AND 28. WHICH WAS RECEIVED BY THE DISPOSAL DIVISION ON FEBRUARY 18. THE COMPANY REQUESTED THAT ITS SUMMARY BID SHEET BE CORRECTED TO SHOW THAT ITS BID PRICE OF $518.89 WAS APPLICABLE TO ITEM 4 AND NOT ITEM 5. THE CALIFORNIA ENGINE PRODUCTS COMPANY INDICATED THAT IT WAS BIDDING ON ITEM 5 AT A TOTAL PRICE OF $518.89. WHICH APPEARS FROM THE INVITATION TO BE AN ABBREVIATION OF THE WORDS "BRIGGS AND STRATTON" .AN EXAMINATION OF THE INVITATION INDICATES THAT BRIGGS AND STRATTON REPAIR PARTS WERE OFFERED FOR SALE ONLY UNDER ITEMS 3 AND 4 AND THAT ITEM 5.

B-131395, APR. 17, 1957

TO THE SECRETARY OF THE NAVY:

REFERENCE IS MADE TO LETTER DATED APRIL 5, 1957, WITH ENCLOSURES, FROM CAPTAIN D. C. MACKENZIE, ASSISTANT CHIEF FOR PURCHASING, BUREAU OF SUPPLIES AND ACCOUNTS, REQUESTING THE DECISION AS TO THE ACTION TO BE TAKEN CONCERNING AN ERROR WHICH THE CALIFORNIA ENGINE PRODUCTS COMPANY, OAKLAND, CALIFORNIA, ALLEGES IT MAKE IN ITS BID ON WHICH CONTRACT NO. N228S-18972 WAS AWARDED.

THE NAVAL SUPPLY CENTER, DISPOSAL DIVISION, OAKLAND, CALIFORNIA, BY INVITATION NO. B-58-57-228 REQUESTED BIDS FOR THE PURCHASE FROM THE GOVERNMENT OF MISCELLANEOUS MATERIALS DESCRIBED UNDER ITEMS 1 TO 58, INCLUSIVE. PROSPECTIVE BIDDERS WERE REQUESTED TO ENTER THEIR BID PRICES ON THE SUMMARY BID SHEET, PAGE 5 OF THE INVITATION, INSTEAD OF OPPOSITE THE DESCRIPTION OF EACH ITEM. PAGE 5 OF THE INVITATION APPEARS TO BE A SUMMARY SHEET CONTAINING FOUR COLUMNS TITLED: (1) ITEM NO., (2) DESCRIPTION, (3) PRICE BID PER UNIT, AND (4) TOTAL PRICE BID. ITEM 4 OF THE INVITATION COVERS ONE LOT OF REPAIR PARTS FOR INTERNAL COMBUSTION ENGINES MANUFACTURED BY THE BRIGGS AND STRATTON CORPORATION AND ITEM 5 COVERS ONE LOT OF REPAIR PARTS FOR INTERNAL COMBUSTION ENGINES MANUFACTURED BY THE WAUKESHA MOTOR COMPANY AND FAIRBANKS MORSE AND COMPANY.

IN RESPONSE TO THE INVITATION, THE CALIFORNIA ENGINE PRODUCTS COMPANY SUBMITTED A BID DATED FEBRUARY 8, 1957, IN WHICH, ON THE SUMMARY SHEET (PAGE 5), IT INDICATED THAT IT WAS BIDDING ON ITEMS 3, 5, 16, AND 28 AND THAT FOR ITEM 5, IT WAS QUOTING A TOTAL PRICE OF $518.89. ALSO, IN ITS BID, ON PAGE 7, OPPOSITE THE DESCRIPTION OF ITEM 4, THE COMPANY ENTERED A TOTAL PRICE OF $518.89. THE BID OF THE COMPANY, WHICH WAS ACCOMPANIED BY A BID GUARANTEE IN THE AMOUNT OF $300, WAS ACCEPTED AS TO ITEMS 5 AND 28, ON FEBRUARY 12, 1957.

BY AN UNDATED LETTER, WHICH WAS RECEIVED BY THE DISPOSAL DIVISION ON FEBRUARY 18, 1957, THE CALIFORNIA ENGINE PRODUCTS COMPANY ADVISED THAT AN ERROR HAD BEEN MADE ON ITS SUMMARY BID SHEET; THAT IN FILING OUT THE BID FORM IT INSERTED A PRICE OF $518.89 OPPOSITE THE DESCRIPTION OF ITEM 4 (REPAIR PARTS FOR BRIGGS AND STRATTON ENGINES) AND THAT IN TRANSFERRING SUCH BID PRICE TO THE SUMMARY BID SHEET, IT INADVERTENTLY LISTED SUCH PRICE AS THE PRICE FOR ITEM 5 (REPAIR PARTS FOR WAUKESHA AND FAIRBANKS AND MORSE ENGINES), ON WHICH ITEM, IT STATED, IT HAD NO INTENTION OF BIDDING ON. THE COMPANY REQUESTED THAT ITS SUMMARY BID SHEET BE CORRECTED TO SHOW THAT ITS BID PRICE OF $518.89 WAS APPLICABLE TO ITEM 4 AND NOT ITEM 5.

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

ON THE RECORD, THERE IS NO ROOM FOR DOUBT THAT THE COMPANY INTENDED BIDDING ON ITEM 4 AND NOT ITEM 5. ACCORDINGLY, AWARD AS TO ITEM 5 OF CONTRACT NO N228S-18952 MAY BE CANCELED WITHOUT LIABILITY TO THE COMPANY AND REFUND MAY BE MADE TO THE COMPANY OF THAT PORTION OF ITS BID DEPOSIT APPLICABLE TO SUCH ITEM.