B-136340, JUN. 10, 1958

B-136340: Jun 10, 1958

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PUBLIC PRINTER: REFERENCE IS MADE TO YOUR LETTER OF JUNE 3. HE NOTED THAT THE BID OF THE COMPANY WAS FAR OUT OF LINE WITH ALL OTHER BIDS RECEIVED AND THE GOVERNMENT PRINTING OFFICE ESTIMATE OF $1. THAT THE COMPANY REPLIED BY TELEPHONE ON THE SAME DAY AND ADVISED THE CONTRACTING OFFICER THAT THE BID WAS IN ERROR. THE COMPANY CONFIRMED ITS TELEPHONE CONVERSATION WITH THE CONTRACTING OFFICER AND STATED THAT ITS TOTAL PRICE FOR THIS WORK SHOULD HAVE BEEN $1. WITH THIS LETTER THE COMPANY SUBMITTED THE ORIGINAL ESTIMATE SHEET WHICH SHOWS THAT THE COST OF DEVELOPING POSITIVES WAS NOT INCLUDED IN ITS BID. IN VIEW OF THE FACT THAT THE ERROR WAS NOTED BY THE CONTRACTING OFFICER UPON EXAMINATION OF THE BIDS AND THE COMPANY HAS CONFIRMED AND EXPLAINED THE ERROR TO THE SATISFACTION OF THE CONTRACTING OFFICER.

B-136340, JUN. 10, 1958

TO HONORABLE RAYMOND BLATTENBERGER, PUBLIC PRINTER:

REFERENCE IS MADE TO YOUR LETTER OF JUNE 3, 1958, WITH ENCLOSURES, REQUESTING A DECISION AS TO THE ACTION TO BE TAKEN CONCERNING AN ERROR STROMBERG ALLEN AND COMPANY ALLEGES IT MADE ON ITS BID DATED MAY 9, 1958.

IT APPEARS THAT ON MAY 7, 1958, YOUR OFFICE ADVERTISED FOR PRICES ON THE PRODUCTION OF 14,500 COPIES OF ONE POSTER, TRIM SIZE 29 BY 22 INCHES, PRINTED ON ONE SIDE ONLY WITH A 4-COLOR PROCESS, POSITIVES TO BE DEVELOPED FROM ART WORK AND COPY FURNISHED BY YOUR OFFICE, SHIPMENT TO BE COMPLETED ON OR BEFORE JULY 7, 1958. IN RESPONSE STROMBERG ALLEN AND COMPANY SUBMITTED A BID OF $392. EIGHT OTHER BIDS RECEIVED RANGED IN PRICE FROM $1,070 TO $2,180. IT APPEARS FURTHER THAT WHEN THE CONTRACTING OFFICER EVALUATED THE BIDS, HE NOTED THAT THE BID OF THE COMPANY WAS FAR OUT OF LINE WITH ALL OTHER BIDS RECEIVED AND THE GOVERNMENT PRINTING OFFICE ESTIMATE OF $1,200 FOR THIS JOB.

YOU STATE THAT BY TELEGRAM DATED MAY 28, 1958, THE CONTRACTING OFFICER REQUESTED THE COMPANY TO REVIEW THE SPECIFICATIONS AND TO CONFIRM ITS BID PRICE; THAT THE COMPANY REPLIED BY TELEPHONE ON THE SAME DAY AND ADVISED THE CONTRACTING OFFICER THAT THE BID WAS IN ERROR; THAT IT STATED THE COST OF DEVELOPING POSITIVES HAD NOT BEEN INCLUDED IN ITS ESTIMATE SINCE IT BELIEVED YOUR OFFICE WOULD FURNISH THEM AND THAT THE COST OF THIS OPERATION WOULD AMOUNT TO $900. IN A LETTER OF THE SAME DATE, THE COMPANY CONFIRMED ITS TELEPHONE CONVERSATION WITH THE CONTRACTING OFFICER AND STATED THAT ITS TOTAL PRICE FOR THIS WORK SHOULD HAVE BEEN $1,292 INSTEAD OF $392 WHICH IT QUOTED. WITH THIS LETTER THE COMPANY SUBMITTED THE ORIGINAL ESTIMATE SHEET WHICH SHOWS THAT THE COST OF DEVELOPING POSITIVES WAS NOT INCLUDED IN ITS BID.

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

THE PAPERS, WITH THE EXCEPTION OF THE COMPANY'S LETTER DATED MAY 28, 1958, ARE RETURNED AS REQUESTED.