B-143399, JUL. 12, 1960

B-143399: Jul 12, 1960

Additional Materials:

Contact:

Edda Emmanuelli Perez
(202) 512-2853
EmmanuelliPerezE@gao.gov

 

Office of Public Affairs
(202) 512-4800
youngc1@gao.gov

BUREAU OF SPORT FISHERIES AND WILDLIFE: REFERENCE IS MADE TO YOUR LETTER OF JULY 1. TO HAVE BEEN MADE IN ITS BID OPENED ON JUNE 16. STATES THAT IT WAS NOTED THAT THE BID OF THE PACIFIC CORRUGATED CULVERT CO. WAS OUT OF LINE WITH THE OTHER TWO BIDS AS WELL AS WITH THE GOVERNMENT ESTIMATE. THE COMPANY WAS REQUESTED BY TELEGRAM DATED JUNE 17. THE BASIC RULE IS THAT BIDS MAY NOT BE CHANGED AFTER THE TIME FIXED FOR OPENING. WHERE THE CONTRACTING OFFICER IS ON NOTICE OF PROBABLE ERROR PRIOR TO ACCEPTANCE. DOES NOT EXTEND TO PERMITTING A BIDDER TO RECALCULATE AND CHANGE HIS BID TO INCLUDE FACTORS WHICH HE DID NOT HAVE IN MIND WHEN HIS BID WAS SUBMITTED. IN THE PRESENT CASE THE COMPANY DOES NOT SEEK TO HAVE ITS BID CORRECTED SO AS TO INCLUDE THEREIN A PREVIOUSLY CALCULATED ITEM WHICH IT ACTUALLY INTENDED TO INCLUDE.

B-143399, JUL. 12, 1960

TO MR. W. E. CORGIN, CHIEF, DIVISION OF ADMINISTRATION, BUREAU OF SPORT FISHERIES AND WILDLIFE:

REFERENCE IS MADE TO YOUR LETTER OF JULY 1, 1960, REQUESTING A DECISION AS TO THE ACTION TO BE TAKEN CONCERNING AN ERROR ALLEGED BY THE PACIFIC CORRUGATED CULVERT CO. TO HAVE BEEN MADE IN ITS BID OPENED ON JUNE 16, 1960.

THE BUREAU OF SPORT FISHERIES AND WILDLIFE, PORTLAND, OREGON, BY INVITATION NO. SFW1-267, REQUESTED BIDS FOR FURNISHING A QUANTITY OF ASBESTOS-BONDED AND ASPHALT-COATED GALVANIZED, CORRUGATED METAL CULVERTS AND ACCESSORIES. IN RESPONSE THE PACIFIC CORRUGATED CULVERT CO. SUBMITTED A BID DATED JUNE 9, 1960, OFFERING TO FURNISH THE METAL CULVERTS AND ACCESSORIES FOR THE LUMP SUM OF $3,420. THE ABSTRACT OF BIDS SHOWS THAT THE TWO OTHER BIDDERS QUOTED PRICES OF $5,476.96 AND $5,614.32.

IN HIS REPORT OF JUNE 24, 1960, THE ADMINISTRATIVE OFFICER AT PORTLAND, OREGON, STATES THAT IT WAS NOTED THAT THE BID OF THE PACIFIC CORRUGATED CULVERT CO. WAS OUT OF LINE WITH THE OTHER TWO BIDS AS WELL AS WITH THE GOVERNMENT ESTIMATE. IN VIEW THEREOF, THE COMPANY WAS REQUESTED BY TELEGRAM DATED JUNE 17, 1960, TO VERIFY ITS BID PRICE. BY TELEGRAM DATED JUNE 17, 1960, THE COMPANY ADVISED THAT IN COMPUTING ITS BID PRICE IT OVERLOOKED THE REQUIREMENT THAT THE MATERIAL BE ASPHALT-DIPPED AND ASBESTOS-BONDED. IN SUPPORT OF ITS ALLEGATION OF ERROR AND ITS REVISED BID PRICE, THE COMPANY SUBMITTED ITS WORKSHEETS AND CERTAIN PRINTED PRICE LISTS.

THE BASIC RULE IS THAT BIDS MAY NOT BE CHANGED AFTER THE TIME FIXED FOR OPENING. THE EXCEPTION TO SUCH RULE, WHICH PERMITS CORRECTION OF A BID UPON SUFFICIENT EVIDENCE TO ESTABLISH THAT THE BIDDER ACTUALLY INTENDED TO BID AN AMOUNT OTHER THAN THAT SET FORTH IN THE BID, WHERE THE CONTRACTING OFFICER IS ON NOTICE OF PROBABLE ERROR PRIOR TO ACCEPTANCE, DOES NOT EXTEND TO PERMITTING A BIDDER TO RECALCULATE AND CHANGE HIS BID TO INCLUDE FACTORS WHICH HE DID NOT HAVE IN MIND WHEN HIS BID WAS SUBMITTED, OR AS TO WHICH HE HAS SINCE CHANGED HIS MIND. SEE 17 COMP. GEN. 575, 577. IN THE PRESENT CASE THE COMPANY DOES NOT SEEK TO HAVE ITS BID CORRECTED SO AS TO INCLUDE THEREIN A PREVIOUSLY CALCULATED ITEM WHICH IT ACTUALLY INTENDED TO INCLUDE, BUT WHICH WAS INADVERTENTLY OMITTED FROM THE AMOUNT OF ITS ORIGINAL BID. RATHER IT PROPOSES TO CHANGE AND INCREASE ITS BID BY THE AMOUNT WHICH IT NOW CONSIDERS NECESSARY TO COVER THE COST OF REQUIRED ITEMS WHICH IT OVERLOOKED IN MAKING THE BID.

IN THE CIRCUMSTANCES, THE BID OF THE PACIFIC CORRUGATED CULVERT CO. MAY NOT BE CORRECTED. HOWEVER, SINCE IT WAS BELIEVED THAT THE BID WAS ERRONEOUS AND SINCE SUCH BELIEF WAS CONFIRMED AND THE ERROR WAS EXPLAINED BY THE COMPANY PRIOR TO AWARD, THE BID OF THE PACIFIC CORRUGATED CULVERT CO. MAY BE DISREGARDED IN MAKING THE AWARD.

THE PAPERS, WITH THE EXCEPTION OF THE ADMINISTRATIVE OFFICER'S REPORT OF JUNE 24, 1960, ARE RETURNED.