B-147459, OCT. 30, 1961

B-147459: Oct 30, 1961

Additional Materials:

Contact:

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

 

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

GOVERNMENT PRINTING OFFICE: REFERENCE IS MADE TO YOUR LETTER OF OCTOBER 20. REQUESTING A DECISION AS TO THE ACTION TO BE TAKEN CONCERNING AN ERROR THE PUBLISHERS PRINTING - ROGERS KELLOGG CORPORATION ALLEGES IT MADE IN ITS BID ON WHICH PURCHASE ORDER NO. 8258 WAS AWARDED. 320 AND THE SIXTH BID WAS IN THE AMOUNT OF $93. THE BID OF THE CORPORATION WAS ACCEPTED ON OCTOBER 6. WALKWITZ OF THE PUBLISHERS PRINTING - ROGERS KELLOGG CORPORATION TELEPHONED AND REQUESTED INFORMATION AS TO WHETHER OR NOT AN AWARD HAD BEEN MADE ON THIS JOB AND THAT WHEN HE WAS INFORMED THAT AN AWARD HAD BEEN MADE TO HIS FIRM. HE SHOULD HAVE NOTED THAT A POSSIBLE ERROR EXISTED IN THE BID OF $30. 878 FROM THE PUBLISHERS PRINTING - ROGERS KELLOGG CORPORATION AND SHOULD HAVE REQUESTED THE CORPORATION TO REVIEW THE SPECIFICATIONS AND CONFIRM ITS BID PRICE BEFORE AWARDING THE CONTRACT FOR THE PAMPHLETS.

B-147459, OCT. 30, 1961

TO THE ACTING PUBLIC PRINTER, GOVERNMENT PRINTING OFFICE:

REFERENCE IS MADE TO YOUR LETTER OF OCTOBER 20, 1961, WITH ENCLOSURES, REQUESTING A DECISION AS TO THE ACTION TO BE TAKEN CONCERNING AN ERROR THE PUBLISHERS PRINTING - ROGERS KELLOGG CORPORATION ALLEGES IT MADE IN ITS BID ON WHICH PURCHASE ORDER NO. 8258 WAS AWARDED.

THE GOVERNMENT PRINTING OFFICE REQUESTED BIDS UNDER JACKET NO. 565730 FOR THE PRINTING AND BINDING OF 1,000,341 COPIES OF A PAMPHLET ENTITLED "OUR FLAG," FOR SHIPMENT ON OR BEFORE NOVEMBER 30, 1961. IN RESPONSE THE PUBLISHERS PRINTING - ROGERS KELLOGG CORPORATION SUBMITTED A BID DATED OCTOBER 2, 1951, OFFERING TO PERFORM THE JOB FOR THE LUMP SUM OF $30,878. FIVE OF THE SIX OTHER BIDS ON THE PAMPHLETS RANGED FROM $36,008 TO $38,320 AND THE SIXTH BID WAS IN THE AMOUNT OF $93,509. THE BID OF THE CORPORATION WAS ACCEPTED ON OCTOBER 6, 1961.

YOU STATE THAT ON OCTOBER 9, 1961, MR. WALKWITZ OF THE PUBLISHERS PRINTING - ROGERS KELLOGG CORPORATION TELEPHONED AND REQUESTED INFORMATION AS TO WHETHER OR NOT AN AWARD HAD BEEN MADE ON THIS JOB AND THAT WHEN HE WAS INFORMED THAT AN AWARD HAD BEEN MADE TO HIS FIRM, MR. WALKWITZ STATED THAT HE HAD RECHECKED HIS ESTIMATE AND HAD FOUND THAT AN ERROR OF $6,000 HAD BEEN MADE IN TRANSFERRING THE INTENDED BID PRICE OF $36,878 TO THE BID FORM.

IN A CONFIRMING LETTER DATED OCTOBER 9, 1961, THE CORPORATION STATED THAT IT COULD NOT POSSIBLY DO THE JOB FOR THE AMOUNT QUOTED WITHOUT INCURRING A SIZEABLE LOSS. IN SUPPORT OF ITS ALLEGATION OF ERROR, THE CORPORATION SUBMITTED ITS ORIGINAL ESTIMATE SHEET, WHICH SHOWS THE NOTATION "QUOTE 36,878.'

YOU STATE THAT THE CONTRACTING OFFICER HAS ADVISED THAT WHEN EXAMINING THE BIDS ON THE PAMPHLETS, HE SHOULD HAVE NOTED THAT A POSSIBLE ERROR EXISTED IN THE BID OF $30,878 FROM THE PUBLISHERS PRINTING - ROGERS KELLOGG CORPORATION AND SHOULD HAVE REQUESTED THE CORPORATION TO REVIEW THE SPECIFICATIONS AND CONFIRM ITS BID PRICE BEFORE AWARDING THE CONTRACT FOR THE PAMPHLETS. YOU ALSO STATE THAT THE CONTRACTING OFFICER HAS STATED THAT THE ERROR IN THE BID OF THE CORPORATION WOULD HAVE BEEN NOTED BY HIM BUT FOR THE FACT THAT THERE WAS A HEAVY WORKLOAD AT THE TIME OF THE AWARD; AND THAT HE HAS STATED FURTHER THAT HE BELIEVES THE PRICE OF $30,878 QUOTED BY THE CORPORATION FOR THE PAMPHLETS IS NOT A FAIR AND REASONABLE PRICE FOR THE WORK INVOLVED.

ON THE RECORD, THERE IS NO ROOM FOR DOUBT THAT THE CORPORATION MADE AN ERROR IN ITS BID, AS ALLEGED. IT IS REPORTED THAT NO WORK HAS BEEN PERFORMED BY THE CORPORATION UNDER THE PURCHASE ORDER. ACCORDINGLY, PURCHASE ORDER NO. 8258 MAY BE CANCELED WITHOUT LIABILITY TO THE CORPORATION.