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B-194471 1 (1979-08-02)

handle is hein.gao/gaobadhli0001 and id is 1 raw text is: 


                       7 THI COMPTROLLER GENERAL
 DECISION      .  .    * OF  THE   UNITED STATES
                       : WASHINGTON. D.C. 20548




FILE:  B-194471                DATE: August 2, 1979

MATTER   OF: Lakeside Corporation; McGrew
               Brothers Saw Mills, Inc.

DIGEST:

      Where eventual high aggregate bidder
      decreased price on one timber species
      (but not below written price bid) dur-
      ing oral auction contrary to provision
      in Forest Service Manual, since this
      did not prejudice other bidders and
      rejection of all bids and resolicita-
      tion would not benefit competition,
      award, if otherwise proper, should be
      made to high bidder.


      The Forest Service, Winema National Forest (Region
6), conducted a timber sale on March 19, 1979. On that
date, the written bids received on the sale were opened
and immediately thereafter a sales auction was conducte
among those bidders who had submitted acceptable written
bids and who desired to participate in the auction.
Eight bidders submitted written bids; three of those
bidders participated in the auction. During the auction,
McGrew Brothers Saw Mills, Inc. (McGrew), decreased its
bid price on one of the three timber species being offered,
although the decrease was not below its original written
bid price and the resulting McGrew aggregate price on all
three species was greater than the previous aggregate
price it had bid.  This change was remarked upon at that
time, but when the auction participants were asked if
they objected to this manner of bidding no objections
were made.  At least once during the later bidding another
firm decreased its bid price on one species, and again no
objections were raised.  McGrew eventually won the auction
by submitting the highest aggregate price for all three
species.

     On March 23, the Lakeside Corporation (Lakeside), a
bidder who had not participated in the auction portion of
the procurement, protested against the award of any contract
because of alleged improper bidding procedures  The reason

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