B-166383, APR. 28, 1969

B-166383, APR. 28, 1969

TO SOUTHWEST PRODUCTS CO.:

REFERENCE IS MADE TO YOUR LETTER OF MARCH 1, 1969, WITH ENCLOSURES, WHEREIN YOU REQUEST, IN EFFECT, THAT AN INVESTIGATION BE CONDUCTED FOR THE PURPOSE OF DETERMINING WHETHER TRANSPORT DYNAMICS, INC., SANTA ANA, CALIFORNIA, IS FURNISHING ROD END BEARINGS, FSN 3120-904-9044, IN COMPLIANCE WITH THE SPECIFICATIONS UNDER PURCHASE ORDERS AWARDED TO IT PURSUANT TO PURCHASE REQUESTS NOS. 63077/252446/69 AND 63077/258951/69, ISSUED BY THE DEFENSE INDUSTRIAL SUPPLY CENTER, DEFENSE SUPPLY AGENCY, PHILADELPHIA, PENNSYLVANIA.

PURSUANT TO THE SMALL PURCHASES PROCEDURES (ARMED SERVICES PROCUREMENT REGULATION 3-600 ET SEQ.), PURCHASE REQUEST -252446 WAS MAILED ON OCTOBER 18, 1968, TO FIVE FIRMS BUT ONLY YOUR FIRM AND TRANSPORT DYNAMICS SUBMITTED UNIT PRICE QUOTATIONS OF $35 AND $15.24, RESPECTIVELY, FOR 90 ROD END BEARINGS. IN REGARD TO PURCHASE REQUEST 258951, IT IS REPORTED THAT THE GOVERNMENT BUYER TELEPHONICALLY SOLICITED QUOTATIONS FOR 137 PLAIN ROD END BEARINGS AND THAT QUOTATIONS OF $35 AND $15.24 PER UNIT -- THE SAME PRICES QUOTED IN RESPONSE TO -252446 -- WERE RECEIVED FROM YOUR FIRM AND TRANSPORT DYNAMICS. BY QUOTATION DATED NOVEMBER 21, 1968, YOU CONFIRMED YOUR ORAL QUOTATION OF $35 PER UNIT FOR THE BEARINGS COVERED BY REQUESTS 252446 AND -258951. TRANSPORT DYNAMICS CONFIRMED ITS ORAL QUOTATIONS OF $15.24 PER UNIT UNDER BOTH PURCHASE REQUESTS BY WRITTEN QUOTATION DATED NOVEMBER 14, 1968, REFERENCING ITS PART NUMBER (01-402- 081) AND A DRAWING OF PLAIN ROD END BEARINGS WHICH IT PROPOSED TO FURNISH. HOWEVER, THIS DRAWING SHOWED A ROD END BEARING DIFFERENT FROM THAT DESCRIBED IN THE PURCHASE REQUEST IN SEVERAL RESPECTS, MOST OBVIOUS OF WHICH WAS THAT IT WAS OF A THREE-PIECE RATHER THAN A TWO-PIECE DESIGN AS SPECIFIED. BUT THE GOVERNMENT BUYER DID NOT NOTICE THESE DIFFERENCES AND ON NOVEMBER 30, 1968, AWARD WAS MADE TO TRANSPORT DYNAMICS FOR THE 90 UNITS COVERED BY REQUEST -252446. ON DECEMBER 6, 1968, AWARD OF THE 137 UNITS COVERED BY REQUEST -258951 WAS ALSO MADE TO THAT FIRM.

THEREAFTER, TRANSPORT DYNAMICS ACKNOWLEDGED RECEIPT OF THE PURCHASE ORDER UNDER REQUEST -252446 AND ADVISED THAT IT "ERRONEOUSLY OMITTED" TO TAKE EXCEPTION IN ITS QUOTATION TO THE DESIGN SPECIFICATION AND REQUESTED ADVICE AS TO THE ACCEPTABILITY OF ITS REVISED DESIGN AS SHOWN ON ITS DRAWING. THE CONTRACTOR STATED THAT "THE PART PROPOSED IS IDENTICAL IN FORM, FIT, AND FUNCTION TO THAT REQUESTED AND WILL EXCEED ALL LOAD REQUIREMENTS SPECIFIED.' BY LETTER DATED DECEMBER 13, 1968, TRANSPORT DYNAMICS ACKNOWLEDGED RECEIPT OF THE OTHER PURCHASE ORDER AND REQUESTED PERMISSION TO DELIVER SUPPLIES DEVIATING IN THE RESPECTS NOTED IN ITS DRAWING. THE CONTRACTOR ADVISED THAT THE DEVIATIONS INVOLVED A THREE- PIECE DESIGN RATHER THAN A TWO-PIECE DESIGN, INCREASED TOLERANCE ON THE BANJO HOOP DIAMETER FROM 1.322/1.302 TO 1.347/1.302, AND NONCHROME PLATING OF THE BALL.

IT IS REPORTED THAT THE DRAWING OF THE BEARING THUS PROPOSED FOR DELIVERY WAS FORWARDED FOR EVALUATION TO WARNER-ROBINS AIR MATERIEL AREA. LETTER DATED JANUARY 20, 1969, THAT ACTIVITY ADVISED THAT THE DESIGN OFFERED BY TRANSPORT DYNAMICS WAS ACCEPTABLE UNDER FSN 3120 904-9044 IF THE WIDTH OF THE BALL WAS CHANGED TO 0.625 INCHES MAXIMUM, 0.620 INCHES MINIMUM, AS SPECIFIED, IN LIEU OF 0.625 INCHES MAXIMUM, 0.603 INCHES MINIMUM. TRANSPORT DYNAMICS AGREED TO THIS CHANGE AND REVISED ITS DRAWING ACCORDINGLY. AS A RESULT OF THE APPROVAL OF THE TWO-PIECE ROD END BEARINGS OFFERED BY TRANSPORT DYNAMICS, IT WAS AUTHORIZED BY TELEGRAM DATED FEBRUARY 26, 1969, TO FURNISH UNDER ITS EXISTING PURCHASE ORDERS BEARINGS CONFORMING TO ITS REVISED DRAWING. FORMAL MODIFICATIONS TO THE PURCHASE ORDERS WERE ISSUED AT A LATER DATE. ADDITIONALLY, THE PURCHASE DESCRIPTION FOR FSN 3120-904-9044 WAS MODIFIED FOR FUTURE PROCUREMENTS TO PERMIT DELIVERY OF THE PLAIN ROD END BEARINGS IN EITHER THE TWO-PIECE DESIGN AS PRODUCED BY YOUR FIRM OR THREE-PIECE DESIGN AS PRODUCED BY TRANSPORT DYNAMICS.

YOU CONTEND THAT THE ACTION OF THE CONTRACTING OFFICER IN PERMITTING TRANSPORT DYNAMICS TO FURNISH A BEARING OF A TWO-PIECE DESIGN IN LIEU OF THE THREE-PIECE DESIGN BEARING AS ORIGINALLY SPECIFIED WAS UNFAIR TO YOUR COMPANY.

IN REGARD TO THE FAILURE OF THE DEFENSE INDUSTRIAL SUPPLY CENTER TO REQUEST YOUR FIRM TO SUBMIT A QUOTATION ON A BEARING OF A THREE-PIECE DESIGN, THE PROCUREMENT AGENCY HAS ADVISED US THAT WHEN THE CENTER WAS ADVISED THAT A THREE-PIECE ROD END BEARING WAS ACCEPTABLE TO THE USING DEPARTMENT, IT SHOULD HAVE SOLICITED A QUOTATION ON THAT ITEM FROM YOUR FIRM. IT ALSO ADVISES THAT THE CENTER HAS BEEN INSTRUCTED TO TAKE APPROPRIATE ACTION TO INSURE THAT IN FUTURE PROCUREMENTS OFFERORS ARE RESOLICITED WHEN SUCH A CHANGE IN REQUIREMENT OCCURS. WE AGREE WITH THE PROCUREMENT AGENCY THAT YOUR FIRM SHOULD HAVE BEEN RESOLICITED ON THE THREE-PIECE ROD END BEARING. SEE B-164473, DATED AUGUST 1, 1968; B- 160602, MARCH 7, 1967, COPY HEREWITH. HOWEVER, SINCE IT IS REPORTED THAT THE BEARINGS WERE REQUIRED ON AN EXPEDITED BASIS AND PRESUMABLY COMPLETE DELIVERY HAS BEEN ACCOMPLISHED, WE ARE UNABLE TO TAKE ANY ACTION WITH REGARD TO THESE TWO PURCHASE ORDERS.