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B-184332 1 (1976-06-07)

handle is hein.gao/gaobaddla0001 and id is 1 raw text is: C THE COMPTROLLER GENERAL DECISION OF THE UNITED STATES WASHINGTON, D. C. 20548 FILE: B-184332 DATE: June 7, 1976 MATTER OF: ILC Steinthal, Inc. DIGEST: 1. Where mistake in low bid was alleged prior to award and bidder presented clear and convincing evidence of nature and existence of mistake and bid actually intended, and corrected bid does not displace any other bidder, GAO will not disturb administrative determination to allow correction since there is reasonable basis therefor even though correction significantly narrows the price differential. 2. Contention that corrected bid should be calculated on minimum hours of labor and cost of materials contemplated by other bidders is without merit as bidder alleging mistake must only prove what he intended to bid and not what is reasonable bid. ILC Steinthal, Inc. (Steinthal), protests the award of a contract to Pioneer Recovery Systems, Inc. (Pioneer), and the modification of Pioneer's bid to supply droughe chute canopies, PN 25-5865-501, under invitation for bids (IFB) F41608-75-B-0769 issued by the United States Air Force (Air Force), Directorate of Procurement and Production, Kelly Air Force Base, Texas. Twelve sources were solicited and the four bids received at the March 31, 1975, bid opening were $824.64 (Pioneer), $1,133.97 (Stein- thal), $1,188.00 (Mills Manufacturing Corp.), and $1,970.00 (Switlik Parachute Co.). Due to the variance of the low bid with the other bids, Pioneer was requested to review and confirm its bid price. Pioneer alleged in response that a mistake in bid had been made and forwarded. its cost worksheet as evidence of the alleged error. The mistake was said to have been caused by a clerical error in the placement of a decimal point in extending the total labor hours which were estimated at 42.55 hours at a labor rate of $2.60 per hour. However, erroneous multiplication of the two resulted in total shop labor being given as $11.06 instead of $110.63. On the basis of the alleged mistake, Pioneer requested modification of its bid from $824.64 each to $1,089.70 each. Pursuant to the provisions of Armed Services Procurement Regulation (ASPR) § 2-406.3(a)(3), (1974 ed.), the Air Force made the determination that Pioneer could modify so much of its bid as was affected by the unit price error. - 1 -

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