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B-189507 1 (1978-01-18)

handle is hein.gao/gaobadfqb0001 and id is 1 raw text is: rt.A I. i-i,.- /THE CMPYWULLEN UUENURA. *UCSSION h a u s eOATE W WASMINSTON. P.C. Daosu PILS: 5-. MAnISM OW: )507 DAMe: h ly 's, 10 ORC Dredging Inc. DIGEST: Cotractingofficer's:catcellation of solici- tation on basiv that ali bids exceeded Govern- ment *stimate ty more than 25 percent and vere tbrefore unreasonably priced was not unreason- able' and vill 'not be disturbed where agency thoroughly reviewed and-revised estimate in response to protest and where agency provided evidence reasonably supporting 'estimate. Ehe United Bt tesAr Corps of Enginq4ers orbs) issgd. invitation fo b!Lds (fPS)Uo.:,DACWO.-77-B-0059 on grtl.28t 1977, forent1 of a hydralic cutterhead pipe- ine dredge for maintenance dredging oZ the Alabama River. This IrB es isqed under the.- rpa ndutiry Capability Program, thih prc#±ides for -competitidn between Carps dredges w04 cemrcialdredgeu. under the program, where a Corps dredge is aiaile adcap able f performing the advertised work, it asuiedau ibe bauls for compting a.'hlred labor eutiae, which zdpresents the cost of doing the work with tie -Corpua dredge.iThis eaiatedi prepared in accordance. vithjgiaier Regulation 1180 l1SO-lland is used to evalu- ate therptoe reaoatalelness industry' bid. rec'Wivid. IXf thu low trustry bid in viahin 25 percent of the hired labor estimate and is `thervise acceptable, award is made to' that bidder.' ,I tbe lovindusty'bid is 'more than 25kpeicent in ssces's of the estimate, 33 U.S.,C. 5 624 (1970) prohibits ap- pra'riated funds from being used'to pay for the work, and the aleicitation is canceled and the work is performed by the Corps dredge. In the present case, theahired labor'e.tie of . $631,060.50 was preparedibiseidon the Coiipjadredge Collinsu, which was available to performthe work,. The Crsalso cal- cuLatid an estimate of $87,860.00 for attendant costs -which rprisented costs of Corps surveys, sipervision, insjeetion a overhead. This cost was included in the I0B and-was added to industry bids and the hired labor estimate do evaluate inCus- 'try bids. The following bids were received in response to tkik, IFS *q *~' *~~' 'v ~ - 7.. luaU;' *.';.2tK 'a -, ,. -'I' fr ~~*M2'Th-4- 7> *. - -1 9 * at It' - '~ NI 4- - - j *b 1 -

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