B-160418, FEB. 28, 1967

B-160418: Feb 28, 1967

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TO THE SINGER COMPANY: REFERENCE IS MADE TO TELEGRAM DATED NOVEMBER 17. 300 WAS RECEIVED FROM NELSON-ROSS ELECTRONICS. YOUR BID WAS SECOND LOW IN THE AMOUNT OF $3. YOUR LETTER OF PROTEST STATES THAT AN AWARD WAS MADE TO NELSON -ROSS ELECTRONICS. THAT AWARD SHOULD HAVE BEEN MADE TO YOUR COMPANY AS THE LOWEST RESPONSIVE BIDDER. SINCE THE NELSON ROSS BID WAS NONRESPONSIVE FOR FAILURE TO MEET THE REQUIREMENTS OF THE SPECIFICATIONS. THE FEDERAL COMMUNICATIONS COMMISSION REPORTS THAT ALL BIDDERS WERE ADVISED OF THE COMMISSION'S INTENTION TO ACCEPT THE NELSON-ROSS BID AS THE APPARENT LOW RESPONSIVE BID. IN VIEW OF THE PROTEST FILED IN YOUR BEHALF BY BURLINGAME ASSOCIATES THE AWARD WAS HELD UP PENDING A REVIEW OF ALL FACTORS CONCERNING IFB 67-4.

B-160418, FEB. 28, 1967

TO THE SINGER COMPANY:

REFERENCE IS MADE TO TELEGRAM DATED NOVEMBER 17, 1966, FROM BURLINGAME ASSOCIATES, AS YOUR REPRESENTATIVES, AND TO YOUR CONFIRMING LETTER OF NOVEMBER 28, 1966, WITH ENCLOSURES, PROTESTING AWARD TO ANY OTHER BIDDER UNDER INVITATION FOR BIDS (IFB) NO. 67-4, ISSUED BY THE FEDERAL COMMUNICATIONS COMMISSION.

THE ABOVE INVITATION REQUESTED BIDS FOR FURNISHING ONE "SPECTRUM ANALYZER IN ACCORDANCE WITH ATTACHED SPECIFICATIONS.' THESE SPECIFICATIONS INCLUDED THE FOLLOWING:

"SWEEP WIDTH: CONTINUOUSLY ADJUSTABLE BETWEEN AT LEAST

100 KILOCYCLES AND 1000 KILOCYCLES.'

THE LOW BID OF $2,300 WAS RECEIVED FROM NELSON-ROSS ELECTRONICS, INC., YOUR BID WAS SECOND LOW IN THE AMOUNT OF $3,355, AND TEKTRONIX, INC., BID $4,445.18. YOUR LETTER OF PROTEST STATES THAT AN AWARD WAS MADE TO NELSON -ROSS ELECTRONICS, INC., BUT THAT AWARD SHOULD HAVE BEEN MADE TO YOUR COMPANY AS THE LOWEST RESPONSIVE BIDDER, SINCE THE NELSON ROSS BID WAS NONRESPONSIVE FOR FAILURE TO MEET THE REQUIREMENTS OF THE SPECIFICATIONS, IN THAT IT CALLS FOR SWEEP WIDTH IN EIGHT FIXED POSITIONS INSTEAD OF BEING CONTINUOUSLY ADJUSTABLE TO 1,000 KILOCYCLES.

THE FEDERAL COMMUNICATIONS COMMISSION REPORTS THAT ALL BIDDERS WERE ADVISED OF THE COMMISSION'S INTENTION TO ACCEPT THE NELSON-ROSS BID AS THE APPARENT LOW RESPONSIVE BID, BUT IN VIEW OF THE PROTEST FILED IN YOUR BEHALF BY BURLINGAME ASSOCIATES THE AWARD WAS HELD UP PENDING A REVIEW OF ALL FACTORS CONCERNING IFB 67-4. THIS REVIEW DISCLOSED THAT YOUR PROTEST HAD MERIT, IN THAT THE NELSON-ROSS BID FAILED TO MEET THE CONTINUOUSLY ADJUSTABLE SWEEP WIDTH SPECIFICATION OF THE IFB, AND SINCE THIS DEVIATION WENT TO THE SUBSTANCE OF THE BID THE BID MUST BE CONSIDERED NONRESPONSIVE AND REJECTED.

IT HAS ALSO BEEN REPORTED BY THE COMMISSION THAT ITS ESTIMATE OF THE COST OF A SPECTRUM ANALYZER OF THE TYPE SOUGHT UNDER IFB 67-4, AND THE AMOUNT BUDGETED FOR THIS ITEM, WAS CONSIDERABLY LESS THAN THE AMOUNT OF YOUR SECOND LOW BID PRICE; THAT THE BIDS RECEIVED REVEALED THAT THE NEEDS OF THE COMMISSION MIGHT BE SATISFIED BY A LESS EXPENSIVE ANALYZER DIFFERING FROM THE SPECIFICATIONS UPON WHICH THE BIDS WERE INVITED; AND THAT ALL BIDS WERE THEREFORE BEING REJECTED AND CONSIDERATION WOULD BE GIVEN TO THE ISSUANCE OF A READVERTISEMENT USING REVISED SPECIFICATIONS. SECTIONS 1- 2.404-1 (B) (4) AND (5) OF THE FEDERAL PROCUREMENT REGULATIONS AUTHORIZE THE CANCELLATION OF INVITATIONS WHEN ALL BIDS RECEIVED ARE AT UNREASONABLE PRICES OR THE BIDS RECEIVED INDICATE THAT THE NEEDS OF THE GOVERNMENT CAN BE SATISFIED BY A LESS EXPENSIVE ARTICLE DIFFERING FROM THAT ON WHICH THE BIDS WERE INVITED, AND THE IFB IN THIS CASE SPECIFICALLY RESERVED TO THE GOVERNMENT THE RIGHT TO REJECT ANY OR ALL BIDS.

ON THE BASIS OF THE PRESENT RECORD, AND FOR THE REASONS STATED ABOVE, IT WOULD APPEAR THAT BOTH THE REJECTION OF THE NELSON-ROSS BID AND THE SUBSEQUENT DETERMINATION TO CANCEL THE INVITATION ARE IN ACCORD WITH PERTINENT REGULATIONS AND DECISIONS OF THE COURTS AND OF THIS OFFICE. ACCORDINGLY WE DO NOT PROPOSE TO TAKE ANY FURTHER ACTION IN THE MATTER.