B-153461, MAY 22, 1964

B-153461: May 22, 1964

Additional Materials:

Contact:

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

 

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

INC.: FURTHER REFERENCE IS MADE TO YOUR LETTER OF JANUARY 31. WHICH WAS ISSUED BY THE SALES BRANCH. WAS 11:00 A.M. THE OPENING OF BIDS WHICH HAD BEEN TIMELY RECEIVED WAS COMMENCED AT 11:00 A.M. TWO ADDITIONAL BIDS WERE RECEIVED AND WERE OPENED AND CONSIDERED. ON THE BASIS OF EVIDENCE WHICH INDICATED THAT THEY HAD BEEN SENT BY CERTIFIED MAIL IN TIME TO HAVE ARRIVED AT THE BID OPENING OFFICE BY 8:30 A.M. ONE OF THE LATE BIDS WAS FROM THE CALIFORNIA JOBBING CO. THE POST OFFICE AT DALLAS HAS ADVISED THAT THE BID MAILED AT THAT TIME SHOULD HAVE BEEN DISPATCHED ON ONE OF FIVE AIR FLIGHTS WHICH WOULD HAVE CAUSED IT TO REACH THE DALLAS POST OFFICE BY MIDNIGHT ON DECEMBER 25 AND UNDER NORMAL CONDITIONS THE BID WOULD HAVE BEEN AVAILABLE FOR DELIVERY TO THE BID OPENING OFFICE BY :00 OR 8:30 A.M.

B-153461, MAY 22, 1964

TO MCDERMOTT ASSOCIATES, INC.:

FURTHER REFERENCE IS MADE TO YOUR LETTER OF JANUARY 31, 1964, AND SUBSEQUENT CORRESPONDENCE, PROTESTING AWARD TO ANOTHER BIDDER OF A CONTRACT FOR ITEM 16 UNDER SALES INVITATION NO. 7UPS-64-141, DATED DECEMBER 9, 1963.

THE INVITATION, WHICH WAS ISSUED BY THE SALES BRANCH, PERSONAL PROPERTY DIVISION, UTILIZATION AND DISPOSAL SERVICE, GENERAL SERVICES ADMINISTRATION, DALLAS, TEXAS, SOLICITED BIDS ON VARIOUS ITEMS OF SURPLUS MISCELLANEOUS AIRCRAFT AND OTHER PARTS. THE TIME SPECIFIED FOR BID OPENING AT THE GSA BUSINESS SERVICE CENTER, DALLAS, WAS 11:00 A.M., CENTRAL STANDARD TIME, DECEMBER 26, 1963.

THE OPENING OF BIDS WHICH HAD BEEN TIMELY RECEIVED WAS COMMENCED AT 11:00 A.M. ON DECEMBER 26 AND COMPLETED AT 1:30 P.M., THE SAME DAY. SHORTLY, THEREAFTER, BUT PRIOR TO AWARD, TWO ADDITIONAL BIDS WERE RECEIVED AND WERE OPENED AND CONSIDERED, IN ACCORDANCE WITH APPLICABLE REGULATIONS, ON THE BASIS OF EVIDENCE WHICH INDICATED THAT THEY HAD BEEN SENT BY CERTIFIED MAIL IN TIME TO HAVE ARRIVED AT THE BID OPENING OFFICE BY 8:30 A.M. ON DECEMBER 26, OR WELL BEFORE THE TIME SET FOR BID OPENING.

ONE OF THE LATE BIDS WAS FROM THE CALIFORNIA JOBBING CO., WHICH PRESENTED A CERTIFIED MAIL RECEIPT SHOWING THAT THE BID HAD BEEN MAILED AT OAKLAND, CALIFORNIA, ON DECEMBER 24, 1963, AT 1:30 P.M., AS ALSO EVIDENCED BY THE POSTMARK ON THE BID ENVELOPE. THE POST OFFICE AT DALLAS HAS ADVISED THAT THE BID MAILED AT THAT TIME SHOULD HAVE BEEN DISPATCHED ON ONE OF FIVE AIR FLIGHTS WHICH WOULD HAVE CAUSED IT TO REACH THE DALLAS POST OFFICE BY MIDNIGHT ON DECEMBER 25 AND UNDER NORMAL CONDITIONS THE BID WOULD HAVE BEEN AVAILABLE FOR DELIVERY TO THE BID OPENING OFFICE BY :00 OR 8:30 A.M. ON DECEMBER 26.

SINCE THE CALIFORNIA JOBBING CO., BID OF $8,713.99 ON ITEM 16 WAS HIGHER THAN YOUR PREVIOUS HIGH BID OF $8,459.97 ON THE ITEM, AN AWARD ON THE ITEM WAS MADE TO THE CALIFORNIA JOBBING CO., ON DECEMBER 30, 1963. YOUR PROTEST AGAINST THE AWARD IS ASSERTED ON TWO GROUNDS--- FIRST, THAT THE HIGH BID WAS NOT TIMELY RECEIVED, AND, SECOND, THAT THE HIGH BID WAS NOT PUBLICLY OPENED AS REQUIRED BY THE INVITATION.

GENERAL SERVICES ADMINISTRATION ORDER ADM 2836.1, WHICH ESTABLISHES THE POLICY AND PROCEDURE FOR THE HANDLING OF BIDS AND BID INVITATIONS, IS APPLICABLE TO SALES OF GOVERNMENT PROPERTY. UNDER PARAGRAPH 3.C., LATE BIDS ARE REQUIRED TO BE HANDLED IN ACCORDANCE WITH FEDERAL PROCUREMENT REGULATION 1-2.303, WHICH READS, IN PERTINENT PART, AS FOLLOWS:

"1-2.303-1. GENERAL.

"BIDS RECEIVED AT THE OFFICE DESIGNATED IN THE INVITATION FOR BIDS AFTER THE EXACT TIME SET FOR OPENING OF BIDS ARE LATE BIDS. LATE BIDS SHALL NOT BE CONSIDERED FOR AWARD EXCEPT AS AUTHORIZED IN THIS SECTION 1-2.303.

"1-2.303-2. CONSIDERATION FOR AWARD.

"A LATE BID SHALL BE CONSIDERED FOR AWARD ONLY IF:

(A) IT IS RECEIVED BEFORE AWARD; AND EITHER

(B) IT WAS SENT BY REGISTERED MAIL OR BY CERTIFIED MAIL FOR WHICH AN OFFICIAL DATED POST OFFICE STAMP (POSTMARK) ON THE ORIGINAL RECEIPT FOR CERTIFIED MAIL HAS BEEN OBTAINED, OR BY TELEGRAPH IF AUTHORIZED, AND IT IS DETERMINED THAT THE LATENESS WAS DUE SOLELY TO A DELAY IN THE MAILS (BASED ON EVIDENCE PURSUANT TO SEC. 1-2.303-3), OR TO A DELAY BY THE TELEGRAPH COMPANY, FOR WHICH THE BIDDER WAS NOT RESPONSIBLE; OR

"1-2.303-3. MAILED BIDS.

(B) CERTIFIED MAIL. THE TIME OF MAILING OF A LATE BID FOR WHICH A POSTMARKED RECEIPT FOR CERTIFIED MAIL WAS OBTAINED SHALL BE DETERMINED BY THE OFFICIAL POST OFFICE STAMP (POSTMARK) ON THE ORIGINAL RECEIPT FOR CERTIFIED MAIL, TO BE FURNISHED BY THE BIDDER, SHOWING THE DATE OF RECEIPT BY THE POST OFFICE AT THE TIME OF MAILING. IF THIS POSTMARK SHOWS THE HOUR OF MAILING AS WELL AS THE DATE, THE TIME OF MAILING SHALL BE DEEMED TO BE THE LAST MINUTE OF THE DATE SHOWN, EXCEPT THAT WHERE THE RECEIPT FOR CERTIFIED MAIL IDENTIFIES THE POST OFFICE STATION OF MAILING THAT THE BUSINESS DAY OF THAT STATION ENDED AT AN EARLIER TIME, THE TIME OF MAILING SHALL BE DEEMED TO BE THE LAST MINUTE OF THE BUSINESS DAY OF THAT STATION. IF THIS POSTMARK DOES NOT SHOW THE DATE OF MAILING, THE BID SHALL BE DEEMED TO HAVE BEEN MAILED TOO LATE.

(C) DELIVERY TIME. INFORMATION CONCERNING THE NORMAL TIME FOR MAIL DELIVERY SHALL BE OBTAINED BY THE PROCURING ACTIVITY FROM THE POSTMASTER, SUPERINTENDENT OF MAILS, OR A DULY AUTHORIZED REPRESENTATIVE FOR THAT PURPOSE, OF THE POST OFFICE SERVING THAT ACTIVITY. WHEN TIME PERMITS, SUCH INFORMATION SHALL BE OBTAINED IN WRITING.'

THE REGULATION REQUIRES THE CONSIDERATION OF TIMELY MAILED BIDS RECEIVED BEFORE AWARD WHEN THE TIME AND TYPE OF MAILING ARE ESTABLISHED IN THE PRESCRIBED MANNER. THE REGULATION CLEARLY CONTEMPLATED SITUATIONS IN WHICH SUCH BIDS WILL BE RECEIVED AFTER THE PUBLIC BID OPENING HAS BEEN COMPLETED, AND THE PROVISION IN THE INVITATION FOR BIDS STATING THAT BIDS WILL BE PUBLICLY OPENED MUST BE READ IN CONJUNCTION WITH, AND AS QUALIFIED BY, THE PROVISIONS CONCERNING THE HANDLING OF LATE BIDS, WHICH ALSO APPEAR IN THE INVITATION.

THE EVIDENCE SUBMITTED BY THE CALIFORNIA JOBBING CO., AND THE STATEMENT OF THE DALLAS POST OFFICE REGARDING THE TIMELY MAILING OF THE COMPANY'S BID COMPLY WITH THE REQUIREMENTS OF FPR 1-2.303. THEREFORE, THE BID, ALTHOUGH NOT RECEIVED UNTIL AFTER THE PUBLIC OPENING OF THE TIMELY RECEIVED BIDS, WAS PROPERLY CONSIDERED FOR AWARD.