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B-157700, NOV. 15, 1965

B-157700 Nov 15, 1965
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CORNELL AND WOLLENBERG: FURTHER REFERENCE IS MADE TO YOUR LETTER DATED SEPTEMBER 17. THE AIR FORCE HAS INFORMED US THAT THE SMALL BUSINESS ADMINISTRATION HAS DETERMINED THE COMMERCIAL BUILDING MAINTENANCE COMPANY TO HAVE BEEN INELIGIBLE FOR AWARD OF A CONTRACT ON JUNE 29. WE HAVE NO OBJECTION TO THE DEPARTMENT'S INTENTION TO CANCEL THE AWARD. WE HAVE BEEN ADVISED. THE SECRETARY OF THE AIR FORCE IS EMPOWERED UNDER 10 U.S.C. 2305 (C) TO REJECT ALL BIDS WHERE IT IS DEEMED THAT SUCH ACTION WOULD SERVE THE PUBLIC INTEREST. WHEN ALL OTHERWISE ACCEPTABLE BIDS RECEIVED ARE AT PRICES CONSIDERED UNREASONABLE. WE UNDERSTAND THAT THE CUSTODIAL SERVICES REQUIREMENT ORIGINALLY COVERED UNDER THE AFOREMENTIONED INVITATION WILL BE READVERTISED IN THE NEAR FUTURE.

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B-157700, NOV. 15, 1965

TO HALLEY, CORNELL AND WOLLENBERG:

FURTHER REFERENCE IS MADE TO YOUR LETTER DATED SEPTEMBER 17, 1965, PROTESTING ON BEHALF OF MR. ROBERT CECIL HOKE THE AWARD OF A CONTRACT UNDER INVITATION FOR BIDS NO. 04-602-65-143 BY HAMILTON AIR FORCE BASE TO COMMERCIAL BUILDING MAINTENANCE COMPANY.

BY A REPORT DATED SEPTEMBER 28, 1965, THE AIR FORCE HAS INFORMED US THAT THE SMALL BUSINESS ADMINISTRATION HAS DETERMINED THE COMMERCIAL BUILDING MAINTENANCE COMPANY TO HAVE BEEN INELIGIBLE FOR AWARD OF A CONTRACT ON JUNE 29, 1965, UNDER A TOTAL SMALL BUSINESS SET-ASIDE. WE HAVE NO OBJECTION TO THE DEPARTMENT'S INTENTION TO CANCEL THE AWARD.

WE HAVE BEEN ADVISED, HOWEVER, THAT THE AIR FORCE DOES NOT CONSIDER THE BID OF YOUR CLIENT IN THE AMOUNT OF $99,127.20 TO BE A FAIR AND REASONABLE PRICE FOR THE SERVICES TO BE RENDERED. THE SECRETARY OF THE AIR FORCE IS EMPOWERED UNDER 10 U.S.C. 2305 (C) TO REJECT ALL BIDS WHERE IT IS DEEMED THAT SUCH ACTION WOULD SERVE THE PUBLIC INTEREST. THIS AUTHORITY HAS BEEN DELEGATED TO CONTRACTING OFFICERS BY ARMED SERVICES PROCUREMENT REGULATION 2-404.1 (B) AND MAY BE EXERCISED ACCORDING TO SUBPARAGRAPH (VI), WHEN ALL OTHERWISE ACCEPTABLE BIDS RECEIVED ARE AT PRICES CONSIDERED UNREASONABLE.

WE UNDERSTAND THAT THE CUSTODIAL SERVICES REQUIREMENT ORIGINALLY COVERED UNDER THE AFOREMENTIONED INVITATION WILL BE READVERTISED IN THE NEAR FUTURE. WE SUGGEST THAT YOUR CLIENT CONTACT THE BASE PROCUREMENT OFFICE FOR FURTHER INFORMATION ON THE MATTER.

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