B-170797, OCT. 22, 1970

B-170797: Oct 22, 1970

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LOW BIDDER WHO HAS BEEN DETERMINED TO HAVE QUALIFICATIONS TO SATISFY THE REQUIREMENTS OF THE INVITATION ESTABLISHED BY AN ADMINISTRATIVE REPORT AND HAVE A RECORD OF FURNISHING SATISFACTORY EQUIPMENT MUST HAVE PROTEST BY SECOND LOW BIDDER AGAINST QUALIFICATION DENIED. THERE IS NO BASIS FOR THE OBJECTION TO AWARD. TO JOHNSON SERVICE COMPANY: FURTHER REFERENCE IS MADE TO YOUR LETTERS DATED SEPTEMBER 8. THE ABOVE-REFERENCED INVITATION WAS ISSUED ON JUNE 30. THE FOLLOWING BIDS WERE RECORDED AT THE BID OPENING ON AUGUST 6. WAS $399. THESE REQUIREMENTS ARE CONTAINED IN SECTION 1.4 OF THE TECHNICAL PROVISIONS AND PARAGRAPH 6 OF THE SUPPLEMENT TO STANDARD FORM 22. SHALL ESSENTIALLY DUPLICATE MATERIALS AND EQUIPMENT THAT HAVE A HISTORY OF SATISFACTORY USE AT LEAST FIVE YEARS. * * * * * "6.

B-170797, OCT. 22, 1970

BID PROTEST - BIDDER QUALIFICATION DENIAL OF PROTEST AGAINST EXPERIENCE REQUIREMENTS OF SUCCESSFUL BIDDER TO FURNISH AND INSTALL BUILDING MONITORING SYSTEM AT AN A.E.C. FACILITY AWARDED TO HONEYWELL, INC. LOW BIDDER WHO HAS BEEN DETERMINED TO HAVE QUALIFICATIONS TO SATISFY THE REQUIREMENTS OF THE INVITATION ESTABLISHED BY AN ADMINISTRATIVE REPORT AND HAVE A RECORD OF FURNISHING SATISFACTORY EQUIPMENT MUST HAVE PROTEST BY SECOND LOW BIDDER AGAINST QUALIFICATION DENIED. SINCE THE LANGUAGE OF THE REQUIREMENT DOES NOT PRECLUDE MODIFICATION OF OBSOLETE PARTS, AND THE BIDDER MUST COMPLY WITH SPECIFICATIONS AND ITS ABILITY TO DO SO HAS BEEN ESTABLISHED, THERE IS NO BASIS FOR THE OBJECTION TO AWARD.

TO JOHNSON SERVICE COMPANY:

FURTHER REFERENCE IS MADE TO YOUR LETTERS DATED SEPTEMBER 8, 1970, WITH ENCLOSURE, AND SEPTEMBER 24, 1970, PROTESTING THE AWARD OF A CONTRACT TO HONEYWELL, INC., UNDER INVITATION FOR BIDS (IFB) NO. 292-70 22, ISSUED BY THE ATOMIC ENERGY COMMISSION (AEC).

THE ABOVE-REFERENCED INVITATION WAS ISSUED ON JUNE 30, 1970, FOR THE FURNISHING AND INSTALLATION OF A BUILDING MONITORING SYSTEM AT AN AEC FACILITY. THE FOLLOWING BIDS WERE RECORDED AT THE BID OPENING ON AUGUST 6, 1970:

HONEYWELL, INC.$ 392,299

JOHNSON SERVICE CO. 465,519

HOUSTON RESEARCH, INC. 747,975

WISMER & BECKER CONTRACTING ENGINEERS 1,053,729 THE GOVERNMENT ESTIMATE, PREPARED BY BERNARD JOHNSON ENGINEERS, INC., THE AEC'S ARCHITECT-ENGINEER FOR THIS PROJECT, WAS $399,700.

THE RECORD INDICATES THAT AT BID OPENING, AND BY LETTER OF THE FOLLOWING DAY TO THE PROCURING ACTIVITY, YOUR FIRM EXPRESSED DOUBT WHETHER HONEYWELL SATISFIED THE EXPERIENCE REQUIREMENTS OF THE INVITATION. THESE REQUIREMENTS ARE CONTAINED IN SECTION 1.4 OF THE TECHNICAL PROVISIONS AND PARAGRAPH 6 OF THE SUPPLEMENT TO STANDARD FORM 22, INSTRUCTIONS TO BIDDERS, WHICH RESPECTIVELY PROVIDE AS FOLLOWS: "1.4 STANDARD PRODUCTS: MATERIALS AND EQUIPMENT TO BE PROVIDED SHALL BE THE STANDARD CATALOG PRODUCTS OF MANUFACTURERS REGULARLY ENGAGED IN THE MANUFACTURE OF PRODUCTS CONFORMING TO THESE SPECIFICATIONS, AND SHALL ESSENTIALLY DUPLICATE MATERIALS AND EQUIPMENT THAT HAVE A HISTORY OF SATISFACTORY USE AT LEAST FIVE YEARS.

* * * * * "6. RECORD OF EXPERIENCE ALL BIDDERS MUST BE PREPARED TO SUBMIT A LIST OF FIVE SIMILAR SUCCESSFUL INSTALLATIONS. ALL SYSTEM COMPONENTS SHALL HAVE A FIVE YEAR HISTORY OF USAGE. ALL BIDDERS SHALL BE REGULARLY ENGAGED IN THE INSTALLATION OF THE TYPE SYSTEM DESCRIBED IN THE TECHNICAL PROVISIONS."

IT IS ADMINISTRATIVELY REPORTED THAT THE AEC ALBUQUERQUE OPERATIONS OFFICE CONCLUDED, BASED UPON AN ANALYSIS OF THE MATERIAL SUBMITTED BY HONEYWELL IN SUPPORT OF ITS BID, THAT HONEYWELL WAS RESPONSIVE TO THE REQUIREMENTS OF THE IFB, INCLUDING SECTION 1.4 OF THE TECHNICAL PROVISIONS. THE INFORMATION SUBMITTED BY HONEYWELL INCLUDED A PARTIAL LIST OF LOCATIONS WHERE HONEYWELL SYSTEM 111 MONITORING SYSTEMS HAD BEEN INSTALLED. HONEYWELL OFFERED TO PERFORM THE CONTRACT WITH EITHER ITS SYSTEM 111 OR DELTA 2000 SYSTEM.

IN ADDITION TO ITS OWN ANALYSIS OF THE HONEYWELL MATERIAL, THE AEC REQUESTED ITS ARCHITECT-ENGINEER TO REVIEW THE HONEYWELL SYSTEM III AND DELTA 2000 SYSTEMS FOR COMPLIANCE WITH THE SPECIFICATIONS. BY LETTER OF AUGUST 17, 1970, THE ARCHITECT-ENGINEER ADVISED THE PROCURING ACTIVITY: " *** WE HAVE REVIEWED THE SYSTEMS 111 AND D-2000 OF HONEYWELL AND OUR SPECIFICATIONS. IT APPEARS THAT THE SYSTEM 111 WILL MEET THE SPECIFICATIONS. THE SYSTEM D-2000 APPEARS SUITABLE BUT THE LACK OF INFORMATION AND HISTORY OF USE CONCERNING THE SYSTEM PRECLUDE ITS ACCEPTANCE WITHOUT REVISING PARTS OF THE SPECIFICATIONS."

SINCE THE ANALYSES BY THE AEC AND ITS ARCHITECT-ENGINEER CONCLUDED THAT THE HONEYWELL SYSTEM 111 MET THE REQUIREMENTS OF THE INVITATION, AWARD WAS MADE TO THAT FIRM ON AUGUST 21, 1970. ON SEPTEMBER 8, 1970, YOU PROTESTED TO THIS OFFICE, REITERATING YOUR CONTENTION THAT THE HONEYWELL EQUIPMENT FAILS TO MEET THE REQUIREMENTS OF SECTION 1.4 OF THE TECHNICAL PROVISIONS AND PARAGRAPH 6 OF THE SUPPLEMENT OF STANDARD FORM 22, QUOTED ABOVE.

THE SPECIFICATIONS FOR THE INSTANT PROCUREMENT WERE DRAFTED BY BERNARD JOHNSON ENGINEERS, INC., AS ARCHITECT-ENGINEER FOR THE PROJECT. BY LETTER OF SEPTEMBER 23, 1970, WRITTEN IN RESPONSE TO YOUR PROTEST, THAT FIRM ADVISED THE PROCURING ACTIVITY: "SECTION 1.4 STATES THAT THE 'MATERIALS AND EQUIPMENT TO BE PROVIDED SHALL BE THE STANDARD CATALOG PRODUCTS ... AND SHALL ESSENTIALLY DUPLICATE MATERIALS AND EQUIPMENT THAT HAVE A HISTORY OF SATISFACTORY USE FOR AT LEAST 5 YEARS.' THE USE OF THE WORDS 'ESSENTIALLY DUPLICATE MATERIALS AND EQUIPMENT' CONVEY CLEARLY THAT THE SPECIFICATION WRITER DID NOT INTEND THAT ONE TOTAL SYSTEM, WITH ALL PARTS AND COMPONENTS BEARING ONLY ONE RELATIONSHIP WITH EACH OTHER, MEET THE 5 YEAR HISTORY TEST. IT WAS NOT INTENDED THAT THE SYSTEM FURNISHED TO MEET THE SPECIFICATIONS BE IDENTICAL WITH OPERATING SYSTEMS HAVING A HISTORY OF SATISFACTORY USE FOR AT LEAST 5 YEARS. "THE RECORD OF EXPERIENCE REQUESTED BY PARAGRAPH 6 OF SF-22 *** WAS NOT INTENDED TO RESTRICT REPUTABLE AND COMPETENT CONTRACTORS, REGULARLY ENGAGED IN THIS FIELD. THE CONTRARY, THE CLAUSE WAS INTENDED TO AVOID 'EXPERIMENTATION' BY COMPANIES NOT REGULARLY ENGAGED IN THE TYPE SYSTEM DESCRIBED AND THEREFORE OFFERING GENERALLY A 'FIRST OF A KIND' APPROACH. IT WOULD BE OUR OPINION, BASED ON THE WRITER'S INTENT, THAT THE GOVERNMENT SHOULD NOT BE RESTRICTED IN THE REVIEW AND SELECTION OF COMPONENT PARTS OF THE TOTAL SYSTEM, BECAUSE OF THE HISTORY OF THAT ONE PART OR BECAUSE OF ITS RELATIONSHIP TO OTHER PARTS (I.E. REQUIRING AN IDENTICAL APPROACH). FOR EXAMPLE, A COMPANY MAY QUALIFY ITSELF BY LISTING FIVE SIMILAR INSTALLATIONS, AT LEAST FIVE YEARS IN AGE. YET, THIS SHOULD NOT RESTRICT THE GOVERNMENT TO USING AN OBSOLETE PART, REVISED BECAUSE OF THIS EXPERIENCE, SIMPLY TO MAINTAIN AN AGE REQUIREMENT ON ALL PARTS."

IN VIEW OF THE FOREGOING, AND FROM THE STATEMENT OF FACTS REPORTED BY THE AEC, WHICH OUR OFFICE MUST ACCEPT AS CORRECT ABSENT SUFFICIENT EVIDENCE TO OVERCOME THE PRESUMPTION OF ITS CORRECTNESS, IT IS APPARENT THAT HONEYWELL HAS OFFERED TO SUPPLY A TYPE 111 SYSTEM, WHICH THE AEC REGARDS AS ESSENTIALLY DUPLICATING EQUIPMENT WHICH HAS A HISTORY OF SATISFACTORY USE FOR AT LEAST FIVE YEARS, AND OF WHICH THERE ARE AT LEAST FIVE SIMILAR SUCCESSFUL INSTALLATIONS. IN SUCH CIRCUMSTANCES, WE FAIL TO SEE A PROPER LEGAL BASIS TO QUESTION THE VALIDITY OF THE AWARD TO HONEYWELL, INSOFAR AS THE EXPERIENCE REQUIREMENTS OF THE INVITATION ARE CONCERNED.

YOU FURTHER CONTEND THAT THE FOLLOWING MODIFICATIONS TO THE HONEYWELL SYSTEM 111 ARE REQUIRED IF THAT EQUIPMENT IS TO MEET THE INVITATION SPECIFICATIONS:

"1. THE CONSOLE MUST BE BUILT SO THAT A SECOND PROJECTOR CAN BE ADDED WITHOUT CHANGING THE CONSOLE DESIGN.

"2. MEANS MUST BE EMPLOYED TO ALLOW INTERCOMMUNICATION ACTION AND SCANNING TO TAKE PLACE SIMULTANEOUSLY AND WITHOUT INTERFERENCE.

"3. ALL INPUTS MUST BE SCANNED SEQUENTIALLY ON A CONTINUOUS BASIS. SCAN RATES SHALL BE A MINIMUM OF SEVENTY (70) POINTS PER SECOND FOR DIGITAL INPUTS AND TWENTY-FIVE (25) POINTS PER SECOND FOR ANALOG INPUTS.

"4. ANALOG TEMPERATURE SENSORS MUST BE RESISTANCE ELEMENTS AND THERE MUST BE A BRIDGE CIRCUIT SUPPLIED FOR EACH POINT."

REGARDING YOUR FIRST ALLEGATION, WE ARE ADVISED THAT A SECOND PROJECTOR CAN BE ADDED, WITHOUT CHANGING THE CONFIGURATION OF THE CONSOLE, BY MOUNTING THE PROJECTOR IN THE SPACE PROVIDED AND MAKING THE PROPER PLUG-IN TYPE ELECTRICAL CONNECTIONS. WITH REGARD TO YOUR SECOND ALLEGATION, IT APPEARS THAT THE HONEYWELL SYSTEM HAS DEDICATED WIRES FOR USE WITH THE INTERCOM WHICH ARE USED TO TRANSMIT AND RECEIVE RADIO SIGNALS WITHOUT TIME SHARING. THUS, THERE IS NO INTERFERENCE BETWEEN THE INTERCOM AND THE SCANNING. REGARDING YOUR THIRD ALLEGATION, WE ARE ADVISED THAT THE HONEYWELL SYSTEM CAN CONTINUOUSLY AND SEQUENTIALLY SCAN ALL POINTS IN THE SYSTEM. ALTHOUGH THE PUBLISHED SCAN RATE FOR THE SYSTEM 111 FOR ANALOG POINTS IS 17 POINTS PER SECOND, THE SPECIFICATION REQUIREMENT OF 25 POINTS PER SECOND MAY BE OBTAINED BY MECHANICAL ADJUSTMENT OR A MINOR CHANGE IN STANDARD COMPONENT OPERATIONS. REGARDING YOUR FOURTH ALLEGATION, ANALOG TEMPERATURE SENSING WILL BE ACCOMPLISHED BY USING RESISTANCE BULBS AND SEPARATE BRIDGE CARDS FOR EACH POINT. IT IS THE OPINION OF AEC ENGINEERS THAT A BRIDGE CARD MEETS THE REQUIREMENTS OF A BRIDGE CIRCUIT.

IN VIEW OF THE ABOVE, WE MUST CONLUDE THAT THE HONEYWELL SYSTEM 111 WILL COMPLY FULLY WITH THE SPECIFICATIONS, AND SINCE WE HAVE BEEN ASSURED BY THE AEC THAT IT WILL NOT ACCEPT THE DELTA 2000 SYSTEM UNLESS IT IS SHOWN TO BE IN FULL COMPLIANCE WITH ALL SPECIFICATIONS, INCLUDING SECTION 1.4 OF THE TECHNICAL PROVISIONS AND PARAGRAPH 6 OF THE SUPPLEMENT TO STANDARD FORM 22, YOUR PROTEST MUST BE DENIED.