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B-184730 1 (1975-10-24)

handle is hein.gao/gaobadctw0001 and id is 1 raw text is: THE COMPTROLLER GENERAL DECISION . OF THE UNITED STATES WASHINGTON, D.C. 20549 FILE: B-184730 DATE: October 24, 1975 MATTER OF: Montana Electric Supply 9 7-Sf DIGEST: Where, after award, contractor alleges mistake in bid price which was only 5 percent lower than next lowest bid and 20 percent lower than Government estimate, such error was not so great as to have placed contracting officer on con- structive notice of the possibility of a mistake in bid. Hence, no relief may be granted from contract awarded to contractor. The Department of the Interior has requested our decision regarding a mistake in bid alleged by Montana Electric Supply, and the award to it of Contract No. 4-01-01-04800. In response to an advertised IFB for the purchase of certain trans- mission line vibration dampers, the following two bids were received: Montana Electric Supply . . . . . . $15,369.81 Dakota Electric Supply Co. .... $16,215.45 The Government estimate was $18,491.70. Thus, Montana's bid was 5 percent lower than the next lowest bid and 20 percent lower than the Government estimate. Award was made to Montana as the lowest responsive, responsible bidder. The materials furnished by Montana's supplier, Alcoa Conductor Prod- ucts Company, did not meet specifications and were subsequently returned to Alcoa. In a letter to Montana, Alcoa has stated: The bare truth of the matter is that we made a mistake on our original quotation to you. We quoted dampers to fit over the bare conductor--not over the armor rods as specified. Alcoa has provided the contracting officer with copies of its quotation to Montana, correspondence and price lists to show that the price given Montana was for the wrong item, which was less expensive than the correct item. Alcoa later shipped complying dampers, for which Montana has been paid the contract price. Because the complying materials were higher in price than those originally furnished by Alcoa,. Montana has requested that its contract price be increased by $3,522.87. - 1 -

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