B-133571, SEP. 16, 1957
Highlights
DEPARTMENT OF THE INTERIOR: REFERENCE IS MADE TO LETTER DATED AUGUST 23. OFFERING TO FURNISH A QUANTITY OF NYLON NETTING MAY BE CORRECTED IN VIEW OF THE ERRORS ALLEGED TO HAVE BEEN MADE BY THE COMPANY IN ITS QUOTATIONS. THE CONTRACTOR'S REPLY STATED THAT THE BID WAS BASED ON COTTON INSTEAD OF NYLON AND ASKED THAT ITS PRICE BE AMENDED TO $25.35 PER LENGTH. THE PROCUREMENT OFFICIAL BELIEVED THAT PRICE ALSO WAS QUOTED IN ERROR AND SO NOTIFIED THE COMPANY. THE LATTER ERROR WAS EXPLAINED BY THE BIDDER AS BEING THE RESULT OF THE DIFFERENCE BETWEEN THE CONTRACTING OFFICER'S UNDERSTANDING AS TO THE METHOD OF MEASURING THE MESH. THAT IT WAS CONTEMPLATING SHIPMENT TO THE GOVERNMENT WITHIN ONE WEEK AND IT IS PRESUMED THAT DELIVERY OF THE NETS HAS BEEN EFFECTED.
B-133571, SEP. 16, 1957
TO DIRECTOR, BUREAU OF SPORT FISHERIES AND WILDLIFE, DEPARTMENT OF THE INTERIOR:
REFERENCE IS MADE TO LETTER DATED AUGUST 23, 1957, AND ENCLOSURES, FROM THE ACTING CHIEF, DIVISION OF ADMINISTRATION, REQUESTING A DECISION AS TO WHETHER THE UNIT PRICE OF THE BID OF THE CARRON NET COMPANY, OFFERING TO FURNISH A QUANTITY OF NYLON NETTING MAY BE CORRECTED IN VIEW OF THE ERRORS ALLEGED TO HAVE BEEN MADE BY THE COMPANY IN ITS QUOTATIONS.
THE RECORD DISCLOSES THAT UPON EXAMINATION OF THE PROPOSALS RECEIVED IN RESPONSE TO INVITATION NO, FW3-2936, THE CONTRACTING OFFICER SUSPECTED THAT A MISTAKE HAD BEEN MADE BY THE CARRON NET COMPANY IN ITS OFFER AND THEREFORE REQUESTED THAT ITS PRICE BY VERIFIED. THE CONTRACTOR'S REPLY STATED THAT THE BID WAS BASED ON COTTON INSTEAD OF NYLON AND ASKED THAT ITS PRICE BE AMENDED TO $25.35 PER LENGTH. THE PROCUREMENT OFFICIAL BELIEVED THAT PRICE ALSO WAS QUOTED IN ERROR AND SO NOTIFIED THE COMPANY, POINTING OUT INFORMALLY THE PRECISE NETTING IT DESIRED. THEREAFTER, THE CONTRACTOR REQUESTED THAT ITS SECOND OFFER AGAIN BE INCREASED TO REFLECT THE CORRECT UNIT PRICE OF $38.75, FOR THE PRODUCT THEN UNDERSTOOD TO BE REQUIRED. THE LATTER ERROR WAS EXPLAINED BY THE BIDDER AS BEING THE RESULT OF THE DIFFERENCE BETWEEN THE CONTRACTING OFFICER'S UNDERSTANDING AS TO THE METHOD OF MEASURING THE MESH, AND THAT OF THE CONTRACTOR WHICH, PRESUMABLY, FOLLOWED THE GENERAL TRACE PRACTICE. IT APPEARS FROM THE CONTRACTOR'S LETTER OF JULY 24, 1957, THAT IT WAS CONTEMPLATING SHIPMENT TO THE GOVERNMENT WITHIN ONE WEEK AND IT IS PRESUMED THAT DELIVERY OF THE NETS HAS BEEN EFFECTED.
THE RELATED FACTS AND CIRCUMSTANCES SUPPORT THE CONCLUSION THAT THE PRICES QUOTED BY THE CARRON NET COMPANY WERE IN ERROR AS ALLEGED. SINCE THE CONTRACTING OFFICER BELIEVED THAT THE FIRST TWO OFFERS OF THE COMPANY WERE ERRONEOUS AND HIS BELIEF WAS CONFIRMED, ACCOMPANIED BY SATISFACTORY EXPLANATIONS PRIOR TO AWARD, THE PURCHASE ORDER CONTRACT MAY BE AMENDED TO REFLECT THE INTENDED PRICE OF $775, LESS DISCOUNT, THE NET AMOUNT TO BE PAID BEING $0.50 LESS THAN THE OFFER SUBMITTED BY THE SECOND LOWEST BIDDER. SINCE THE DELAY, IF ANY, IN MAKING PAYMENT IS CHARGEABLE TO THE CONTRACTOR, AND SINCE THE GROSS AMOUNT EXCEEDS THE OFFER OF THE NYLON NET COMPANY, ONLY THE NET AMOUNT OF $759.50 IS AUTHORIZED FOR PAYMENT.