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B-193692 1 (1979-03-23)

handle is hein.gao/gaobadhbj0001 and id is 1 raw text is: L1,LER THE COPRLE GENERIAL DECISION . OF THE UNITED STATES WASHINGTON. D.C. 20548 B- 19 3692 Lilly Distributing Company of San Antonio LC, 37 DIGEST: 1. A3kgency rejection of low bidjon basis of suspected mistake was reasonable despite bidder's assertion that no error was made, where unit price of item in question was substantially below'both other bids received and bidder's previous bids for that item, and bid as corrected would not be low. 2. Agency refusal to permit bidder to waive error and accept award at original price bid is proper where bid as corrected would no longer be low since acceptance would be unfair to other bidders. Lilly Distributing Company of San Antonio (Lilly) has protested the award of a contract to Dairy Rich, vLSO Inc. (Dairy Rich) under Invitation for Bids (IFB) No. DLAl3H-79-B-0158 issued by the Defense Logistics Agency, Defense Personnel Support Center, Philadelphia, Pennsylvania (DLA). Lilly maintains that it, rather than Dairy Rich, was entitled to the award as the low bidder. For the reasons given below, we think that the award to Dairy Rich was proper. Bids were solicited on various groups of dairy products, including a group of ice cream products, and were required to be made on an all or none basis for each group. Bid opening took place as scheduled on November 8, 1978, and Lilly was the apparent low bidder on the group of ice cream products with a bid of $183,650. Dairy Rich was the next low bidder at $201,810.50. Upon reviewing the two low bids, the DLA procure- ment agent noted a significant difference between the unit prices of Lilly and Dairy Rich for items 38, 40, 41, 43 and 53. (Items 38 and 41 were for quantities of ice cream in two and one-half or three gallon containers and items 40 and 43 were for quantities of ice cream FILE: MATTER OF: DATE: March 23, 1979

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