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B-184238 1 (1975-07-30)

handle is hein.gao/gaobadckw0001 and id is 1 raw text is: THE COMPTROLLER GENERAL DECISION * OF THE UNITED STATES WASHINGTON, D.C. 20548 FILE: B-184238 DATE:July 30,1975 q 73 MATTER OF: Capitol Aviation, Inc. DIGEST: 1. Contractor alleging mistake in bid after award is not entitled to price increase where contracting officer had no actual or constructive notice of mistake prior to award. Variation of 13 percent between low and next low bid is not sufficient by itself to constitute constructive notice where broad range of bids are received. 2. Contractor is not entitled to price increase where cost of performance has become more expensive since there is no price escalation clause in contract. This case involves (1) an allegation of mistake in bid by the contractor, Capitol Aviation, Inc. (Capitol) (now Cessna Aircraft Company - Capitol Zone), in contract (No. 14-16-001-544LE) awarded by the Fish and Wildlife Service (FWS) and (2) a subsequent request for an increase in price by Capitol based upon increased prices for parts and freight. Bids were solicited by FWS on January 8, 1974, for a factory remanufactured aircraft engine under IFB No. SFW1-1243, and ten bids were opened on February 12, 1974. Capitol submitted the low bid of $3,550 consisting of $4,850 for the aircraft engine less $1,300 for engine exchange credit. The next lowest bid was $4,097 consisting of $5,397 for the engine less $1,300 exchange credit. The remaining bids after deduction of the exchange credit ranged from $4,257 to $4,912. The contract was awarded to Capitol on March 7, 1974. After the award was made, Capitol alleged a mistake in bid and submitted supporting evidence to the contracting officer. Capitol claimed that it had used the wrong calculator tape in pre- paring its bid and that the intended bid was $4,110 consisting of $5,410 for the engine less the $1,300 exchange credit. The evidence was submitted to the Director, Office of Management Services, Depart- ment of the Interior for a determination under FPR § 1-2.406-4(b). The administrative determination of September 9, 1974, found that there was not clear and convincing evidence to support the claim and that the contracting officer had no constructive notice of an error in the bid submitted by Capitol. The matter has now been submitted to our Office for review. - 1 -

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