B-158867, MAY 12, 1966

B-158867: May 12, 1966

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INCORPORATED: REFERENCE IS MADE TO YOUR LETTER OF MARCH 21. HOWEVER THERE IS NO AUTHORITY FOR PAYMENT OF AN AMOUNT IN EXCESS OF THE PRICE BID BY THE LOWEST ACCEPTABLE BIDDER. THE CLAIMS DIVISION IS BEING INSTRUCTED TO ALLOW THE CLAIM IN AN AMOUNT NOT TO EXCEED THE AMOUNT FOR WHICH THE WIPING RAGS COULD HAVE BEEN OBTAINED UNDER THE NEXT LOWEST BID.

B-158867, MAY 12, 1966

TO ROSE WIPING CLOTHS, INCORPORATED:

REFERENCE IS MADE TO YOUR LETTER OF MARCH 21, 1966, REQUESTING A REVIEW OF CLAIMS DIVISION SETTLEMENT DATED MARCH 16, 1966, WHICH DISALLOWED YOUR CLAIM FOR AN ADDITIONAL $2,406.68 BASED UPON A PRICE OF $0.345 PER POUND FOR THE WHITE WIPING RAGS FURNISHED UNDER ITEM 2 OF CONTRACT GS-05S-2347 AWARDED BY THE GENERAL SERVICES ADMINISTRATION, FEDERAL SUPPLY SERVICE, REGION 5, CHICAGO, ILLINOIS.

UPON RECONSIDERATION IT HAS BEEN DETERMINED THAT YOUR CLAIM MAY BE ALLOWED. HOWEVER THERE IS NO AUTHORITY FOR PAYMENT OF AN AMOUNT IN EXCESS OF THE PRICE BID BY THE LOWEST ACCEPTABLE BIDDER, SCRANTON WIPING CLOTH, CO., OF $0.3320 PER POUND LESS A DISCOUNT OF 1 PERCENT, 30 DAYS. SEE 37 COMP. GEN. 685; SHEPPARD V. UNITED STATES, 95 CT.CL. 407. THEREFORE, THE CLAIMS DIVISION IS BEING INSTRUCTED TO ALLOW THE CLAIM IN AN AMOUNT NOT TO EXCEED THE AMOUNT FOR WHICH THE WIPING RAGS COULD HAVE BEEN OBTAINED UNDER THE NEXT LOWEST BID.