B-154675, JUN. 17, 1965

B-154675, JUN. 17, 1965

TO GLOBE INDUSTRIES, INC.:

WE REFER TO YOUR LETTER OF MAY 21, 1965, REQUESTING RECONSIDERATION OF OUR LETTER DATED MAY 18, 1965, B-154675, WHEREIN WE ADVISED YOU THAT, IN VIEW OF THE ADMINISTRATIVE CANCELLATION OF ARMY IFB NO. AMC 11-022-64-2308 (E), THE ISSUE OF WHETHER YOUR ELECTRIC RADIO CONTROL MOTOR OFFERED AT THE LOW BID PRICE OF $38.50 MET THAT INVITATION'S STATED REQUIREMENTS APPEARED TO BE ACADEMIC AND WE WERE THEREFORE CLOSING OUR FILE IN THE MATTER.

YOU STATE THAT YOU CANNOT REGARD THE ISSUE PRESENTED BY YOUR PROTEST AS BEING ACADEMIC AS IT WILL APPEAR OVER AND OVER AGAIN AS LONG AS THE DEFENSE PROCUREMENT AGENCY AND PRIME CONTRACTORS FOR THE GOVERNMENT CONTINUE TO PROCURE MOTORS IN ACCORDANCE WITH SINGAL CORPS DRAWING SC-C 65858-C2, AND YOU ASK THAT WE RESOLVE THE MATTER AT THIS TIME AS YOU MAY LOSE PROSPECTIVE ORDERS FOR THE ITEM FROM YOUR CUSTOMERS. APPARENTLY YOU FEEL THAT A LOW BIDDER IS ENTITLED TO A FINAL RULING BY THIS OFFICE ON WHETHER HIS BID IS RESPONSIVE, AND YOU BELIEVE THAT THE RESULT OF THE PROCEDURE FOLLOWED IN THIS CASE THEREFORE IS TO DEPRIVE YOU OF A DECISION BY THIS OFFICE TO WHICH YOU ARE LEGITIMATELY ENTITLED.

THE RIGHT OF A LOW BIDDER TO PROTEST TO THIS OFFICE AGAINST REJECTION OF HIS BID IS BASED SOLELY UPON OUR JURISDICTION TO PASS UPON THE LEGALITY OF THE EXPENDITURE OF APPROPRIATED FUNDS UNDER THE CONTRACT WHICH EITHER HAS BEEN, OR IS PROPOSED TO BE, AWARDED TO ANOTHER BIDDER UNDER THE SAME INVITATION FOR BIDS. HOWEVER, IT IS WELL SETTLED THAT THE QUESTION OF WHETHER AN AWARD IS TO BE MADE UNDER SUCH INVITATION, OR WHETHER ALL BIDS ARE TO BE REJECTED AND THE PROCUREMENT CANCELLED OR READVERTISED, IS PRIMARILY WITHIN THE JURISDICTION OF THE PROCURING AGENCY. CONSEQUENTLY, THE DECISIONS OF THIS OFFICE ON MATTERS INVOLVING THE RESPONSIVENESS OF LOW BIDS OPERATE ONLY TO PRECLUDE OR AUTHORIZE AN AWARD UNDER THE SAME INVITATION, AND WHERE, AS HERE, THE ADMINISTRATIVE AGENCY HAS DETERMINED THAT IT DOES NOT HAVE A CURRENT NEED FOR THE PROCUREMENT AND HAS CANCELLED THE INVITATION IT SEEMS CLEAR THAT A DECISION BY THIS OFFICE AS TO THE RESPONSIVENESS OF THE LOW BID WOULD NOT RELATE TO THE EXPENDITURE OF FUNDS PURSUANT TO AN AWARD UNDER THAT INVITATION OR PRODUCE AN PRACTICAL RESULT IN CONNECTION THEREWITH. WHILE WE APPRECIATE THE PROBLEM YOU MAY BE ENCOUNTERING IN SUPPLYING THE SUBJECT MOTOR TO PROSPECTIVE CUSTOMERS, WE DO NOT FIND THAT SUCH FACTOR ALONE AFFORDS THIS OFFICE A BASIS FOR RENDERING A VALID AND BINDING DECISION IN THE MATTER.

CONCERNING YOUR INQUIRY AS TO WHY GLOBE WAS NOT GIVEN AN OPPORTUNITY TO BID ON THE TWO CONTRACTS EFFECTED BY THE DEFENSE SUPPLY AGENCY, WE ASSUME THAT THE CONTRACT, NO. DSA-7-12911, AWARDED TO YOU BY THE DEFENSE CONSTRUCTION SUPPLY CENTER IN COLUMBUS, OHIO, FOR APPROXIMATELY 150 MOTORS, WAS ONE OF THE CONTRACTS REFERRED TO.IN ANY EVENT, WE ARE SURE THAT DSA WILL RESPOND TO A REQUEST FROM YOU FOR THIS INFORMATION.