B-149760, FEB. 1, 1963

B-149760: Feb 1, 1963

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TO HUBER-WARCO COMPANY: REFERENCE IS MADE TO YOUR TELEGRAM DATED AUGUST 22. THIS PROCUREMENT WAS INITIATED UNDER THE PROVISIONS OF 10 U.S.C. 2304 (A) (13) WHICH AUTHORIZED NEGOTIATION IF THE PURCHASE OR CONTRACT IS FOR EQUIPMENT THAT THE HEAD OF AN AGENCY DETERMINES TO BE TECHNICAL EQUIPMENT WHOSE STANDARDIZATION AND THE INTERCHANGEABILITY OF WHOSE PARTS ARE NECESSARY IN THE PUBLIC INTEREST AND WHOSE PROCUREMENT BY NEGOTIATION IS NECESSARY TO ASSURE THAT STANDARDIZATION AND INTERCHANGEABILITY. THE METHOD OF IMPLEMENTING PROCUREMENT UNDER THE ABOVE PROVISION OF LAW AND THE FACTORS TO BE CONSIDERED IN DETERMINING WHETHER NEGOTIATION PURSUANT THERETO IS JUSTIFIED ARE SET FORTH IN PARAGRAPH 3 213 OF THE ARMED SERVICES PROCUREMENT REGULATION AND SECTION 3-213 OF ARMY PROCUREMENT PROCEDURE.

B-149760, FEB. 1, 1963

TO HUBER-WARCO COMPANY:

REFERENCE IS MADE TO YOUR TELEGRAM DATED AUGUST 22, 1962, AND LETTERS OF SEPTEMBER 7 AND NOVEMBER 2, 1962, CONCERNING YOUR PROTEST OF THE NEGOTIATED PROCUREMENT OF 3-WHEEL ROLLERS BY THE U.S. ARMY ENGINEER PROCUREMENT OFFICE, CHICAGO, UNDER INVITATION NO. ENG-11-184- (NEG-63-B- 4).

THIS PROCUREMENT WAS INITIATED UNDER THE PROVISIONS OF 10 U.S.C. 2304 (A) (13) WHICH AUTHORIZED NEGOTIATION IF THE PURCHASE OR CONTRACT IS FOR EQUIPMENT THAT THE HEAD OF AN AGENCY DETERMINES TO BE TECHNICAL EQUIPMENT WHOSE STANDARDIZATION AND THE INTERCHANGEABILITY OF WHOSE PARTS ARE NECESSARY IN THE PUBLIC INTEREST AND WHOSE PROCUREMENT BY NEGOTIATION IS NECESSARY TO ASSURE THAT STANDARDIZATION AND INTERCHANGEABILITY.

THE METHOD OF IMPLEMENTING PROCUREMENT UNDER THE ABOVE PROVISION OF LAW AND THE FACTORS TO BE CONSIDERED IN DETERMINING WHETHER NEGOTIATION PURSUANT THERETO IS JUSTIFIED ARE SET FORTH IN PARAGRAPH 3 213 OF THE ARMED SERVICES PROCUREMENT REGULATION AND SECTION 3-213 OF ARMY PROCUREMENT PROCEDURE.

YOUR PROTEST QUESTIONS THE JUSTIFICATION FOR CONTINUING TO PURCHASE THESE ROLLERS AND PARTS THEREFOR AS STANDARDIZED EQUIPMENT AND AS THE RESULT OF THIS PROTEST AN INVESTIGATION WAS CONDUCTED TO ESTABLISH THE EXTENT TO WHICH REPAIR PARTS OF PRESENT-DAY ROLLERS ARE INTERCHANGEABLE WITH THE REPAIR PARTS OF THE MODELS APPROVED FOR PROCUREMENT STANDARDIZATION. THIS INVESTIGATION HAS ESTABLISHED THAT ONE OF THE APPROVED MODELS HAS BEEN CHANGED TO SUCH AN EXTENT THAT REPAIR PARTS INTERCHANGEABILITY IS NO LONGER SUFFICIENT TO JUSTIFY PROCUREMENT STANDARDIZATION.

ACCORDINGLY, PROCUREMENT STANDARDIZATION OF THE 3-WHEEL ROLLER WILL BE CANCELED, PROCUREMENT WILL BE ACCOMPLISHED THROUGH FORMAL ADVERTISING PROCEDURES, AND YOUR COMPANY WILL BE AFFORDED AN OPPORTUNITY TO BID ON THIS PROCUREMENT.