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B-272109 1 (1996-06-28)

handle is hein.gao/gaocrptaeho0001 and id is 1 raw text is: 


Comptroller General
of the United States
Washington, D.C. 20548

Decision



Matter of: Carter Construction Company, Inc.

File:       B-272109

Date:       June 28, 1996

George E. Pike, Jr., Esq., Hoffman & Pike, for the protester.
Roger L. Pentzien, Pentzien Inc., an intervenor.
Lester Edelman, Esq., Department of the Army, for the agency.
Win. David Hasfurther, Esq., and Michael R. Golden, Esq., Office of the General
Counsel, GAO, participated in the preparation of the decision.
DIGEST

Agency properly rejected as nonresponsive a bid accompanied by a bid bond in
which the monetary amounts set out for the penal sum of the bond and the liability
limit of the surety resulted from alterations to the original amounts set out in the
bond and the bid or documents submitted with the bid did not establish whether
the surety was bound by these altered amounts.
DECISION

Carter Construction Company, Inc. protests the rejection of its bid under invitation
for bids (IFB) No. DACW66-96-B-0027, issued by the U.S. Army Corps of Engineers
for the lease of a cutterhead hydraulic pipeline dredge to be fully operated with
attendant plant and snagging equipment. The bid was rejected as nonresponsive
after the agency determined Carter's bid bond to be defective. The agency intends
to award to Pentzien, Inc., the second low bidder.

We deny the protest.

The IFB, issued on April 10, 1996, required bidders to submit prices for a hydraulic
dredge with an 18-inch pump discharge and for a hydraulic dredge with a 20-inch
pump discharge. Award would be made for only one of the dredges. Bidders were
also to submit with their bids a bid bond or other suitable bid guarantee in the
lesser amount of 20 percent of the bid price or $3,000,000. Bids were opened on
May 14. Carter, the low bidder at $1,322,252, submitted a Standard Form 24 bid
bond in the amount of 20 percent of its bid price, not to exceed $300,000. The bond
was signed by the President of Carter and by the attorney-in-fact of the corporate


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