B-135728, APR. 11, 1958

B-135728: Apr 11, 1958

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GOVERNMENT PRINTING OFFICE: REFERENCE IS MADE TO YOUR LETTER OF APRIL 3. SINCE THE CONTRACTING OFFICER NOTED THAT THE BID OF $299.67 FROM KNUTH BROTHERS WAS PROBABLY IN ERROR BECAUSE THE BID WAS SO MUCH LOWER THAN THE NEXT LOW BID OF $505.05. A TELEGRAM WAS FORWARDED TO THEM REQUESTING THAT THEY REVIEW THE SPECIFICATIONS AND CONFIRM THEIR BID PRICE ON THIS JOB. IN A LETTER OF THE SAME DATE KNUTH BROTHERS CONFIRMED THEIR ERROR AND FORWARDED THEIR ESTIMATE SHEET WHICH SHOWS THAT THE PRESS CHARGE WAS NOT EXTENDED TO THE TOTAL COLUMN AND THEREFORE WAS NOT INCLUDED IN THE PRICE PER THOUSAND SETS. THE CONTRACTING OFFICER HAS REPORTED THAT HE BELIEVES THE PRICE OF $299.67 AS QUOTED BY THE BIDDER TO BE IN ERROR BECAUSE THE AMOUNT IS NOT A FAIR AND REASONABLE PRICE TO PAY FOR THE WORK AS DESCRIBED IN THE SPECIFICATIONS.

B-135728, APR. 11, 1958

TO HONORABLE RAYMOND BLATTENBERGER, PUBLIC PRINTER, GOVERNMENT PRINTING OFFICE:

REFERENCE IS MADE TO YOUR LETTER OF APRIL 3, 1958, REQUESTING A DECISION AS TO THE ACTION TO BE TAKEN CONCERNING AN ERROR KNUTH BROTHERS ALLEGE THEY MADE IN THEIR BID DATED MARCH 25, 1958.

IT APPEARS THAT ON MARCH 13, 1958, YOUR OFFICE ADVERTISED FOR PRICES ON THE PRODUCTION OF 21,000 (PLUS OR MINUS TEN PERCENT) SETS OF 7-PART, SINGLE STUB CARBON INTERLEAVED SNAPOUT STYLE SET, 8 BY 10 1/2 INCHES, TO BE SHIPPED ON OR BEFORE MAY 2, 1958. IN RESPONSE THERETO KNUTH BROTHERS SUBMITTED A BID OF $299.67. NINE OTHER BIDS RECEIVED RANGED IN PRICE FROM $505.05 TO $914.97.

SINCE THE CONTRACTING OFFICER NOTED THAT THE BID OF $299.67 FROM KNUTH BROTHERS WAS PROBABLY IN ERROR BECAUSE THE BID WAS SO MUCH LOWER THAN THE NEXT LOW BID OF $505.05, A TELEGRAM WAS FORWARDED TO THEM REQUESTING THAT THEY REVIEW THE SPECIFICATIONS AND CONFIRM THEIR BID PRICE ON THIS JOB. ON MARCH 31, 1958, MR. KNUTH TELEPHONED THE CONTRACTING OFFICER AND ADVISED THAT AN ERROR HAD BEEN MADE IN THEIR BID TO THE EXTENT THAT HE HAD FAILED TO EXTEND THE PRESS TIME WHICH RESULTED IN AN INCORRECT PRICE PER THOUSAND SETS. IN A LETTER OF THE SAME DATE KNUTH BROTHERS CONFIRMED THEIR ERROR AND FORWARDED THEIR ESTIMATE SHEET WHICH SHOWS THAT THE PRESS CHARGE WAS NOT EXTENDED TO THE TOTAL COLUMN AND THEREFORE WAS NOT INCLUDED IN THE PRICE PER THOUSAND SETS.

THE CONTRACTING OFFICER HAS REPORTED THAT HE BELIEVES THE PRICE OF $299.67 AS QUOTED BY THE BIDDER TO BE IN ERROR BECAUSE THE AMOUNT IS NOT A FAIR AND REASONABLE PRICE TO PAY FOR THE WORK AS DESCRIBED IN THE SPECIFICATIONS.

ON THE BASIS OF THE FACTS AND EVIDENCE OF RECORD, THERE APPEARS NO ROOM FOR DOUBT THAT THE BIDDER MADE AN ERROR IN ITS BID. IN VIEW OF THE FACT THAT THE ERROR IN BID WAS NOTED BY THE CONTRACTING OFFICER UPON EXAMINATION OF THE BIDS AND THE BIDDER HAS CONFIRMED AND EXPLAINED THE ERROR TO THE SATISFACTION OF THE CONTRACTING OFFICER, THE BID OF KNUTH BROTHERS MAY BE DISREGARDED.

THE PAPERS, WITH THE EXCEPTION OF THE LETTER FROM THE BIDDER DATED MARCH 31, 1958, ARE RETURNED AS REQUESTED.