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B-141434, DEC. 17, 1959

B-141434 Dec 17, 1959
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GOVERNMENT PRINTING OFFICE: REFERENCE IS MADE TO YOUR LETTER DATED DECEMBER 8. IN VIEW OF AN ERROR ALLEGED BY THE COMPANY TO HAVE BEEN MADE IN ITS BID UPON WHICH THE ORDER WAS PREPARED. AWARD WAS PROPOSED TO THE COMPANY. BY THE ISSUANCE OF PURCHASE ORDER NO. 9566 WHICH WAS PREPARED ON NOVEMBER 18. WHO ADVISED THAT AN ERROR IN ADDITION HAD BEEN MADE IN THE COMPANY'S BID OF $84 AND THAT THE CORRECT PRICE WAS $184 FOR THE JOB. THE FOUR OTHER BIDS RECEIVED FOR THE JOB WERE IN THE AMOUNTS OF $150. THE CONTRACTING OFFICER EXPRESSES THE OPINION THAT THE BID OF $84 DOES NOT REPRESENT A FAIR AND REASONABLE PRICE TO PAY FOR THE 500 PAMPHLETS AND HE STATES THAT HE SHOULD HAVE NOTED THE PROBABILITY OF ERROR IN THE BID BEFORE PREPARING THE PURCHASE ORDER.

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B-141434, DEC. 17, 1959

TO THE HONORABLE RAYMOND BLATTENBERGER, GOVERNMENT PRINTING OFFICE:

REFERENCE IS MADE TO YOUR LETTER DATED DECEMBER 8, 1959, WITH ENCLOSURES, REQUESTING A DECISION AS TO WHETHER THERE MAY BE CANCELED GOVERNMENT PRINTING OFFICE PURCHASE ORDER NO. 9566, PREPARED IN FAVOR OF ROGERS AND LLOYD, BUT NOT YET MAILED, IN VIEW OF AN ERROR ALLEGED BY THE COMPANY TO HAVE BEEN MADE IN ITS BID UPON WHICH THE ORDER WAS PREPARED.

ROGERS AND LLOYD SUBMITTED A BID DATED NOVEMBER 13, 1959, UNDER GOVERNMENT PRINTING OFFICE JACKET NO. 529903, OFFERING TO PRODUCE AND FURNISH, IN ACCORDANCE WITH SAMPLE REQUIREMENTS, 500 COPIES OF A CERTAIN 36-PAGE PAMPHLET FOR $84. AWARD WAS PROPOSED TO THE COMPANY, AS THE LOW BIDDER, BY THE ISSUANCE OF PURCHASE ORDER NO. 9566 WHICH WAS PREPARED ON NOVEMBER 18, 1959, BUT NOT MAILED. ON THE SAME DATE, THE CONTRACTING OFFICER RECEIVED A TELEPHONE CALL FROM MR. L. S. KURTZ, A PARTNER OF THE FIRM OF ROGERS AND LLOYD, WHO ADVISED THAT AN ERROR IN ADDITION HAD BEEN MADE IN THE COMPANY'S BID OF $84 AND THAT THE CORRECT PRICE WAS $184 FOR THE JOB. THE COMPANY REQUESTS THAT IT BE RELIEVED FROM PERFORMING UNDER THE PURCHASE ORDER.

THE FOUR OTHER BIDS RECEIVED FOR THE JOB WERE IN THE AMOUNTS OF $150, $170, $253.20 AND $326, OR CONSIDERABLY IN EXCESS OF THE LOW BID. THE CONTRACTING OFFICER EXPRESSES THE OPINION THAT THE BID OF $84 DOES NOT REPRESENT A FAIR AND REASONABLE PRICE TO PAY FOR THE 500 PAMPHLETS AND HE STATES THAT HE SHOULD HAVE NOTED THE PROBABILITY OF ERROR IN THE BID BEFORE PREPARING THE PURCHASE ORDER. HE FURTHER INDICATES THAT HAD AN EXTRA HEAVY WORK LOAD NOT PREVENTED HIM FROM TAKING THE TIME TO PROPERLY EVALUATE THE BIDS HE UNDOUBTEDLY WOULD HAVE DETECTED THE ERROR AT THAT TIME.

IN VIEW OF THE FOREGOING, AND SINCE ROGERS AND LLOYD HAS FURNISHED ITS ORIGINAL WORK SHEET WHICH SUBSTANTIATES THE ERROR AND SHOWS HOW IT OCCURRED, OUR OFFICE WILL NOT OBJECT TO A CANCELLATION OF PURCHASE ORDER NO. 9566.

THE PAPERS, WITH THE EXCEPTION OF THE UNDATED MEMORANDUM OF MR. L. S. KURTZ AND THE COMPANY'S WORK SHEET, ARE RETURNED HEREWITH.

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