B-179315, AUG 17, 1973
Highlights
009 UNDER ITEM 69 OF SALES INVITATION NO. 7DPS-73-166 MAY BE RESCINDED BECAUSE THE CONTRACTING OFFICER WAS ON CONSTRUCTIVE NOTICE OF POSSIBLE ERROR. WE HAVE REVIEWED THE ADMINISTRATIVE FILE AND. THE HIGHER OF WHICH WAS ACCEPTED. (2) THE PREDETERMINED UPSET PRICE WAS $450. (3) THE NEXT HIGHEST BID WAS $496.95. IT MAY BE CONCLUDED THAT THE CONTRACTING OFFICER WAS ON NOTICE OF POSSIBLE ERROR IN THE BID OF JOHNSON. SINCE BID VERIFICATION WAS NOT REQUESTED PRIOR TO AWARD.
B-179315, AUG 17, 1973
SALES CONTRACT AWARDED TO JOHNSON LUMBER COMPANY FOR A 1966 USED FORD CAB AND CHASSIS AT A PRICE OF $1,009 UNDER ITEM 69 OF SALES INVITATION NO. 7DPS-73-166 MAY BE RESCINDED BECAUSE THE CONTRACTING OFFICER WAS ON CONSTRUCTIVE NOTICE OF POSSIBLE ERROR.
TO MR. ARTHUR F. SAMPSON:
WE REFER TO A LETTER DATED JULY 27, 1973, WITH ENCLOSURES, FROM YOUR GENERAL COUNSEL, RECOMMENDING RESCISSION OF SALES CONTRACT NO. GS-07 DPS)- 30158-57, AWARDED TO JOHNSON LUMBER COMPANY FOR A 1966 USED FORD CAB AND CHASSIS AT A PRICE OF $1,009 UNDER ITEM 69 OF SALES INVITATION NO. 7DPS-73 -166.
WE HAVE REVIEWED THE ADMINISTRATIVE FILE AND, ON THE BASIS OF THE INFORMATION CONTAINED THEREIN WHICH DISCLOSES THAT (1) JOHNSON SUBMITTED TWO BID PRICES ON ITEM 69, THE HIGHER OF WHICH WAS ACCEPTED; (2) THE PREDETERMINED UPSET PRICE WAS $450; AND (3) THE NEXT HIGHEST BID WAS $496.95, IT MAY BE CONCLUDED THAT THE CONTRACTING OFFICER WAS ON NOTICE OF POSSIBLE ERROR IN THE BID OF JOHNSON. ACCORDINGLY, AND SINCE BID VERIFICATION WAS NOT REQUESTED PRIOR TO AWARD, THE SALES CONTRACT MAY BE RESCINDED AS RECOMMENDED.