B-147234, NOV. 24, 1961

B-147234: Nov 24, 1961

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THE REQUEST FOR PROPOSAL WAS ISSUED ON DECEMBER 20. DELIVERY WAS REQUESTED WITHIN 130 DAYS. AWARD WAS MADE TO THE FIRM OF ASAHI KOKI ON FEBRUARY 17. ASAHI KOKI HAD A RECORD OF SATISFACTORY PERFORMANCE ON 19 CONTRACTS COMPLETED DURING THE PRECEDING YEAR AND IT WAS PERFORMING SATISFACTORILY ON 7 OTHERS ALL CONTRACTS BEING FOR AUTOMOTIVE PARTS. ASIDE FROM THE FACT THAT THIS WAS A NEGOTIATED PROCUREMENT. IT SEEMS TO US THAT INTERNATIONAL IS THE ONLY PROPER PARTY TO QUESTION THE ADMINISTRATIVE DETERMINATION THAT IT WAS NOT A RESPONSIBLE CONTRACTOR FOR PURPOSES OF THIS PROCUREMENT.

B-147234, NOV. 24, 1961

TO MORSE EXPORT-IMPORT CO.:

WE REFER TO YOUR LETTER OF JULY 28, 1961, PROTESTING ON BEHALF OF INTERNATIONAL INDUSTRIAL DESIGN ENGINEERING BOEKI COMPANY, LTD., AGAINST THE AWARD OF A CONTRACT TO ANOTHER FIRM UNDER REQUEST FOR PROPOSAL NO. 92- 557-61-2388NA, ISSUED BY THE U.S. ARMY PROCUREMENT AGENCY, JAPAN.

THE REQUEST FOR PROPOSAL WAS ISSUED ON DECEMBER 20, 1960, CALLING FOR 2 ITEMS OF AUTOMOTIVE PROPELLER SHAFTS, IN QUANTITIES AS SPECIFIED. DELIVERY WAS REQUESTED WITHIN 130 DAYS, BUT THE GOVERNMENT RESERVED THE OPTION TO ACCEPT PROPOSALS OFFERING LATER DELIVERY.

INTERNATIONAL INDUSTRIAL DESIGN ENGINEERING BOEKI COMPANY, LTD., SUBMITTED THE LOWEST OFFER AS TO PRICE (AT $15.25 PER UNIT FOR BOTH ITEMS, WITH A DELIVERY SCHEDULE OF 210 DAYS FROM DATE OF CONTRACT). HOWEVER, ON FEBRUARY 10, 1961, THE CONTRACTING OFFICER DISQUALIFIED THAT FIRM AS NOT BEING RESPONSIBLE, BECAUSE OF ITS PRIOR AND CURRENT RECORD OF CONTRACT DELINQUENCIES ON AUTOMOTIVE SUPPLY ITEMS. AWARD WAS MADE TO THE FIRM OF ASAHI KOKI ON FEBRUARY 17, 1961, AS THE LOWEST RESPONSIBLE OFFEROR, AT A PRICE OF $15.90 PER UNIT ON BOTH ITEMS, WITH A DELIVERY SCHEDULE OF 165 DAYS FROM DATE OF CONTRACT. THE CONTRACTING OFFICER REPORTS THAT AT THE TIME OF AWARD, ASAHI KOKI HAD A RECORD OF SATISFACTORY PERFORMANCE ON 19 CONTRACTS COMPLETED DURING THE PRECEDING YEAR AND IT WAS PERFORMING SATISFACTORILY ON 7 OTHERS ALL CONTRACTS BEING FOR AUTOMOTIVE PARTS. SUBSEQUENT TO AWARD, ASAHI KOKI RECEIVED AN UNSATISFACTORY PERFORMANCE RATING ON 1 OF THE 7 CURRENT CONTRACTS.

ASIDE FROM THE FACT THAT THIS WAS A NEGOTIATED PROCUREMENT, WHERE AWARD MAY BE MADE ON FACTORS OTHER THAN PRICE ALONE(SEE 40 COMP. GEN. 508), WE MUST DECLINE TO ENTERTAIN A PROTEST FROM A POTENTIAL SUPPLIER CONCERNING THE RESPONSIBILITY OF ANOTHER FIRM AS A PROSPECTIVE CONTRACTOR. IT SEEMS TO US THAT INTERNATIONAL IS THE ONLY PROPER PARTY TO QUESTION THE ADMINISTRATIVE DETERMINATION THAT IT WAS NOT A RESPONSIBLE CONTRACTOR FOR PURPOSES OF THIS PROCUREMENT.