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LCD-78-224 1 (1978-05-24)

handle is hein.gao/gaobaaxjd0001 and id is 1 raw text is: 


DOCOUiSUT USIRE


06099 - [BaI66517]

rVdministration of Contracts for Shipments of Personal
Property]. LCD-78-224; B-157476. Raw 24, 11 -73. 3 pp.

Report to Secretarye Department of Defen.e; by Robert G.
Rothwell (for Fred J. Shafer* Directt..'* Logistics and
Cosuvicatious Div.).

Issue Area: Facilities and azerial fiaagement (700); Shipments
    of Material to Achieve Lowest Ovarall Cost. 1710).
Contact: Logistics and Cogaunications Div.
Budget Finction: Mational Defense: Department of Defense -
    Procuremeut & Contracts (058).
Organization Concerned: Depattsent of the Air Force.
Congressional Relevance: House Committee on Armed Services;
    Senate Committee cL Armed Services.
Authority: A.S.P.R. 22-602.

         The practices and procedures fox soliciting bids for
services required incident to soving personal effects of
military personnel to and from three Jstallations in Colorado
were reviewed. Procurement regulations state that when a
requirement does not exist for a service included in the
solicitation schedule, the statement no requirement will be
added. Personnel responsible for transportation and traffic
management functions at the three installatioas have been
estimating requirements for services which tbey uve zegularly
based on past experiences. many of these regiresents have been
forecast when no known need existed. Since contracts are awarded
to the lowest responsible bidder based on the overall price bid,
experienced firms having knowledge that many services for which
bids are solicited are seldom or never used have consistently
bid no charge on the unused requirements, obtaining an edge
ove the compet.tion. The problem of including unused or
inf.-,quently used requirements in solicitations should be
brought to the attention of all personnel responsible for
estimating requirements and soliciting bids. (RBS)

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