B-149360, JUL. 19, 1962

B-149360: Jul 19, 1962

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TO THE SECRETARY OF THE NAVY: REFERENCE IS MADE TO A LETTER DATED JULY 5. B-68-62-651 IN VIEW OF AN ERROR ALLEGED TO HAVE BEEN MADE IN THE BID. WHICH WAS ISSUED ON APRIL 23. SEVEN OTHER BIDS WERE RECEIVED FOR ITEM NO. 5 RANGING FROM 611.99 PESOS TO 101.01 PESOS. THE ACQUISITION COST OF THE ITEM WAS $980 IN 1945. THE SAME DATE BIDS WERE OPENED. 156.00 PESOS WAS INTENDED FOR ITEM NO. 4. THAT DUE TO HER HASTE IN PREPARING THE BID THE PRICE WAS INADVERTENTLY PLACED AFTER ITEM NO. 5. IT IS OBVIOUS THAT MRS. SINCE THE ERROR WAS ALLEGED IMMEDIATELY AFTER THE OPENING OF THE BIDS AND BEFORE AWARD. ARE RETURNED HEREWITH.

B-149360, JUL. 19, 1962

TO THE SECRETARY OF THE NAVY:

REFERENCE IS MADE TO A LETTER DATED JULY 5, 1962, WITH ENCLOSURES, FROM THE ACTING ASSISTANT CHIEF FOR SUPPLY MANAGEMENT, BUREAU OF SUPPLIES AND ACCOUNTS, REQUESTING OUR DECISION AS TO WHETHER THERE MAY BE DISREGARDED THE HIGH BID OF MRS. EUSTOLIA OBIAS FOR ITEM NO. 5 UNDER SALE INVITATION NO. B-68-62-651 IN VIEW OF AN ERROR ALLEGED TO HAVE BEEN MADE IN THE BID.

IN RESPONSE TO THE INVITATION, WHICH WAS ISSUED ON APRIL 23, 1962, BY THE SUBIC BAY NAVAL SUPPLY DEPOT, PHILIPPINES, MRS. OBIAS SUBMITTED A BID OFFERING TO PURCHASE ITEM NO. 5, COVERING ONE TRAILER MOUNTED TANK FOR 2,156.00 PESOS. SEVEN OTHER BIDS WERE RECEIVED FOR ITEM NO. 5 RANGING FROM 611.99 PESOS TO 101.01 PESOS. THE ACQUISITION COST OF THE ITEM WAS $980 IN 1945. BY LETTER DATED MAY 22, 1962, THE SAME DATE BIDS WERE OPENED, MRS. OBIAS ADVISED THE DISPOSAL OFFICER OF THE SUPPLY DEPOT THAT HER BID OF 2,156.00 PESOS WAS INTENDED FOR ITEM NO. 4, COVERING A 1/2-TON PICKUP TRUCK, BUT THAT DUE TO HER HASTE IN PREPARING THE BID THE PRICE WAS INADVERTENTLY PLACED AFTER ITEM NO. 5. IN VIEW OF THE ERROR MRS. OBIAS REQUESTS PERMISSION TO WITHDRAW HER BID.

CONSIDERING THE RELATIVELY HIGH PRICE OF 2,156.00 PESOS OFFERED BY MRS. OBIAS FOR ITEM NO. 5, WHICH CARRIES A 1945 ACQUISITION COST OF ONLY $980 FOR A TANK DESCRIBED AS BEING A "USED--- DEFECTIVE TANK ASSEMBLY," AND WHEN COMPARING THE AMOUNTS OF ALL BIDS RECEIVED FOR BOTH ITEMS NOS. 4 AND 5, IT IS OBVIOUS THAT MRS. OBIAS MADE AN ERROR IN HER BID ON ITEM NO. 5 AS ALLEGED. THEREFORE, SINCE THE ERROR WAS ALLEGED IMMEDIATELY AFTER THE OPENING OF THE BIDS AND BEFORE AWARD, AND SINCE A SATISFACTORY EXPLANATION HAS BEEN MADE AS TO HOW THE ERROR OCCURRED, MRS. OBIAS MAY BE PERMITTED TO WITHDRAW HER BID ON ITEM NO. 5 WITHOUT OBLIGATION TO HER.

THE PAPERS, WITH THE EXCEPTION OF THE STATEMENT OF FACTS OF THE CONTRACTING OFFICER, ARE RETURNED HEREWITH.