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B-186030,B-186509 1 (1977-02-10)

handle is hein.gao/gaobadejr0001 and id is 1 raw text is: fjTK\ CCMPTROLLUR UKIdENAL DECISION * 01 oTHE UNIT3W UTATUS WAsPIiNUTON, D.O. UO543 FILE: 4-186030, 8-186509 DATE; febrary 10, 1977 MATTER OF: ampton Wtropolitan Oil Co.; Utility Petroleum, Inc. (keconsideratio,) DIGEST: Prior decis ,oi upholding agency'. cancellation of portions of solicitation after bid opening is affirmed since it has not been shown that decizion vas.based on errors of fact or law. Hawton'.Ketropo itan Oil Company has requested reconsideration of our decision in R=qppow Itropolitan Oil Co; Utility Petroleum, Inc., 3-186030, B-186509, December 9, 1976, 76-2 CPD'471, in which we upheld the cancellation by the Defense 'Supply Agency (DSA) of the portions of invitation for bids (IFB) No. DSA600-76-B003 on which Hampton end another firm were the apparent low bidders. r, The 17B, which.solicited bid. fdr the furnishing of patroleum products, tequired bidders to submit a referenice price to be used in connection with economie priceadjustmnt provisions. The ref- erence price could be either a c'aany's pdated price or a pub- lished price. Although Hampton submitted' i s own posted prices as its riference prices. DSA believed,,att hGovernment would not be-aeqitely'protteted by such ,reerence prices because it appeared ? that Hampton did not 6ae sbstantial commercial sales andtherefore could increase it. eiftiesents ider the ednomic-price adajutment proviaion' byi4isedikinaytraining its posted'prices. However, because the IFB did not define what was intended by the terms,posted prici and published'price, -the contractfii officer concb~ded that Hampton could have ben isled by the IFB into believing that it could tie its reference price to its posted price. He therefore decided to cancel the. applicable portions of the IFB and to resolicit with an adequate description of what the Government required as an acceptable reference price. We held that the contracting officer's actions were not improper In its request for reconsideration, Hampton states that it was not misled and that in any event it could not have raised - 1 -

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