B-171061, JAN 29, 1971

B-171061: Jan 29, 1971

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ALTHOUGH THE SOLICITATION STATED THAT ITEM 2 IS AN OPTION WHICH IS TO BE SUPPLIED ONLY IF AND TO THE EXTENT THE OPTION IS EXERCISED. SINCE THE NET EFFECT OF THE BID WAS TO INCLUDE THE REPAIR KIT AND NO PREJUDICE TO OTHER BIDDERS IS EVIDENT IN MAKING THE AWARD TO PROTESTANT. THERE IS NO BASIS TO OBJECT TO THE AWARD TO ELECTRONIC PRODUCTS DIVISION. SECRETARY: REFERENCE IS MADE TO A LETTER RECEIVED IN THIS OFFICE ON NOVEMBER 25. THE REMAINING ITEM IS NOT AT ISSUE. A NOTE IN THE BID FORM DIRECTLY UNDER THE ITEMS STATES: "OPTION ITEM TO WHICH CLAUSE ENTITLED 'OPTION FOR ELECTRONIC MAINTENANCE REPAIR PARTS' IS APPLICABLE AND WHICH IS TO BE SUPPLIED ONLY IF AND TO THE EXTENT SAID OPTION IS EXERCISED.

B-171061, JAN 29, 1971

BID PROTEST - BIDDER RESPONSIVENESS - OPTIONS DECISION AFFIRMING THE PROTEST OF ELECTRONIC PRODUCTS DIVISION, THE SINGER COMPANY IN CONNECTION WITH AN INVITATION SOLICITING BIDS FOR CERTAIN METERS ON A BRAND NAME OR EQUAL BASIS AND FOR A MAINTENANCE REPAIR KIT. PROTESTANT, SECOND LOW BIDDER INCLUDED IN ITS BID ON THE METERS THE PRICE FOR ITEM 2 - THE REPAIR KIT, ALTHOUGH THE SOLICITATION STATED THAT ITEM 2 IS AN OPTION WHICH IS TO BE SUPPLIED ONLY IF AND TO THE EXTENT THE OPTION IS EXERCISED; SINCE THE NET EFFECT OF THE BID WAS TO INCLUDE THE REPAIR KIT AND NO PREJUDICE TO OTHER BIDDERS IS EVIDENT IN MAKING THE AWARD TO PROTESTANT, THERE IS NO BASIS TO OBJECT TO THE AWARD TO ELECTRONIC PRODUCTS DIVISION, THE SINGER COMPANY.

TO MR. SECRETARY:

REFERENCE IS MADE TO A LETTER RECEIVED IN THIS OFFICE ON NOVEMBER 25, 1970, SER 121-00C, FROM THE DIRECTOR OF CONTRACTS, NAVAL ELECTRONIC SYSTEMS COMMAND, CONCERNING THE PROTEST BY THE ELECTRONIC PRODUCTS DIVISION, THE SINGER COMPANY, AGAINST THE AWARD OF A CONTRACT TO ELECTRO METRICS CORPORATION, UNDER INVITATION FOR BIDS NO. N00039-71-B 0202.

ITEM 1 OF THE INVITATION SOLICITED BIDS FOR CERTAIN METERS WITH MANUALS ON A BRAND NAME OR EQUAL BASIS; ITEM 2 CALLED FOR MAINTENANCE REPAIR ITEMS FOR ITEM 1. THE REMAINING ITEM IS NOT AT ISSUE. A NOTE IN THE BID FORM DIRECTLY UNDER THE ITEMS STATES:

"OPTION ITEM TO WHICH CLAUSE ENTITLED 'OPTION FOR ELECTRONIC MAINTENANCE REPAIR PARTS' IS APPLICABLE AND WHICH IS TO BE SUPPLIED ONLY IF AND TO THE EXTENT SAID OPTION IS EXERCISED. OPTION WILL BE EXERCISED BY THE COMMANDING OFFICER, ELECTRONIC SUPPLY OFFICE."

THE LOW BIDDER, ELECTRO METRICS CORPORATION, OFFERED AN "OR EQUAL" FOR ITEM 1. THE DATA SUBMITTED WITH THE BID SHOWED THAT THE ITEM OFFERED SUBSTANTIALLY EXCEEDED THE MAXIMUM WEIGHT AND SIZE LIMITS INCLUDED IN THE SALIENT CHARACTERISTICS SET FORTH IN THE INVITATION. ACCORDINGLY, THE BID WAS REJECTED AS NONRESPONSIVE.

THE SECOND LOW BIDDER, ELECTRONIC PRODUCTS DIVISION, THE SINGER COMPANY, BID ON THE BRAND NAME EQUIPMENT (ITEM 1).

THE ELECTRONIC PRODUCTS DIVISION, THE SINGER COMPANY, IN ITS BID STATED THAT THE PRICE FOR ITEM 2 WAS "INCLUDED IN ITEM 1." IN RESPONSE TO A REQUEST FOR CLARIFICATION OF ITS BID, THE BIDDER ADVISED BY LETTER DATED OCTOBER 20, 1970, THAT THE PRICE FOR ITEM 1 INCLUDED THE SPECIFIED EQUIPMENT WITH MANUALS, AND ALSO A RECOMMENDED SPARE PARTS KIT. IT WAS STATED THAT THE NOTE UNDER ITEM 2 DID NOT SPECIFICALLY STATE THAT THE BIDDER SHOULD NOT QUOTE A PRICE FOR THE ITEM AS PAST SOLICITATIONS HAVE UNDER SIMILAR CIRCUMSTANCES AND THAT UNDER PREVIOUS PROCUREMENTS FOR THE EQUIPMENT GOVERNMENT AGENCIES HAVE INCLUDED THE SPARE PARTS KIT (MAINTENANCE REPAIR PARTS) AS A MATTER OF COURSE. IT WAS FURTHER STATED THAT THE SPARE PARTS KIT INCLUDED IN THE QUOTATION FOR ITEM 1 HAS A UNIT PRICE OF $315 EACH FOR THE QUANTITY INVOLVED.

IT IS REPORTED THAT SINCE THE NET EFFECT OF THE BID OF THE SECOND LOW BIDDER IS TO INCLUDE A SPARE PARTS KIT, WHICH ACTUALLY WAS NOT REQUIRED, NO PREJUDICE TO OTHER BIDDERS IS EVIDENT IN MAKING AN AWARD TO THE SECOND LOW BIDDER, BASED ON THE CONFIRMATION. THEREFORE, IT IS PROPOSED, SUBJECT TO OUR APPROVAL, TO MAKE AWARD TO ELECTRONIC PRODUCTS DIVISION, THE SINGER COMPANY, ON THE BASIS OF ITS BID PRICE, WHICH INCLUDES A SPARE PARTS KIT.

UNDER THE CIRCUMSTANCES, AND SINCE THE BID IS LOW IN ANY EVENT, WE SEE NO BASIS TO OBJECT TO THE PROPOSED AWARD TO THE ELECTRONIC PRODUCTS DIVISION, THE SINGER COMPANY.