A firm filed a complaint with GAO against the cancellation and reissuance by the city of Chicago of an invitation for bids (IFB) for a partially federally funded construction project. Through an administrative error, the city inadvertently failed to send a material revision of the specifications to several of the companies which had obtained the IFB. It was determined to be in the best interests o...

DIGEST: CANCELLATION OF SOLICITATION AFTER OPENING OF BIDS IS PROPER WHERE PURCHASING AGENT FOR CITY OF CHICAGO UNDER FEDERALLY FUNDED PROCUREMENT COULD REASONABLY DETERMINE BID PRICES TO BE UNREASONABLY HIGH BECAUSE ALL BIDS CONFORMING TO INVITATION EXCEEDED CITY'S COST ESTIMATE. THE CONTRACT WAS TO BE 80 PERCENT FUNDED BY THE URBAN MASS TRANSIT ADMINISTRATION (UMTA). PREMIER WAS THE SECOND LOWES...