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B-186918 1 (1976-08-26)

handle is hein.gao/gaobaddvc0001 and id is 1 raw text is: 


                 MATTETHE COMPTROLLER GENERAL
DECISION                     OF   THE UNITED STATES
                             WASHINGTON. D.C. 20548




FILE:        B-186918               DATE:     August 26, 1976

MATTER OF:       Dubie-Clark Company


DIGEST:

1.  Bid taking exception to liquidated damages provision of IFB
    was properly rejected as nonresponsive since contract awarded
    upon basis of such bid would not be contract offered to all
    prospective bidders.

2.  Bidder's post-bid-opening offer to substitute liquidated
    damages amounting to $26,829 in lieu of $400 a day as required
    in IFB may not be considered. Since bid was nonresponsive,
    alteration of bid after bid opening would be tantamount to
    permitting substitution of new bid.


    On  May 24, 1976, the Office of the Architect of the Capitol
invited competitive bids under invitation for bids (IFB) No. 7652
for the procurement of chilled water and condenser water pumping
units for a new refrigeration plant modifying and enlarging the
Capitol Power Plant.  Four bids were received and opened on June 30,
1976.

     The low bid was submitted by the Dubie-Clark Company. That bid,
however, contained certain exceptions to the specifications includ-
ing an exception to Item 2.4 of the Special Conditions pertaining to
liquidated damages.  By letter dated July 7, 1976, Dubie-Clark was
advised that its exceptions to the IFB appeared to qualify its bid
to a material extent and, therefore, rejection of its bid as non-
responsive was required.

     In a letter dated July 8, 1976, Dubie-Clark protested the con-
templated award of the contract to the second low bidder. In that
letter, Dubie-Clark states that it took exception to Item 2.4, which
provides that the contractor shall be liable to the Government for
liquidated damages at the rate of $400 for each calendar day of delay,
and agreed to liquidated damages amounting to 5 percent of its bid or
$26,829 in lieu of $400 a day. Dubie-Clark also states that the IFB
permits the Government to accept late modifications of otherwise suc-
cessful bids as long as the terms are more favorable to the Govern-
ment.



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