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B-192789 1 (1979-08-29)

handle is hein.gao/gaobadhol0001 and id is 1 raw text is: / THE COMPTROLLER GENERAL DECISION * OF THE UNITED STATES ' WASHINGTON. D.C. 20546 ONITE FILE: B-192789 DATE: August 29, 1979 MATTER OF: Second Growth, Inc., Marmot Construction 2LA3 Works, Ltd. and Hoedads, Inc., a Joint DIGEST: Venture # Bidder on Forest Service project is not entitled to bid preparation costs where agency canceled solicitation and performed work in-house since bid greatly exceeded Government estimate. Second Growth, Inc., Marmot Construction Works, Ltd., and Hoedads, Inc., a joint venture, (Second Growth), claims bid preparation costs in the amount of $7,000 ,because the Government estimate of the work to be per- formed under olicitation R6-17-78-28 was faulty ,-w4i-i-ch-b resulted in its cancellation. The solicitation was issued n Ju e 19, 1978,- for flood rehabilitation work in t~fhree are s of/the Wenatchee National Forest. The Government estimate for the solic- ited work was $152,843. The only bid received was from ; Second Growth, at $970,203.65 for the three areas, sub- U ject to acceptance of only two areas, not to exceed an award of $610,000. Since the bid was considerably above the Government estimate for the work,'both the agency and Second Growth1'-'-' _ reexamined the estimate and bid respectively. The Forest Service reports that it conducted a time study of trenching (a large part of the rehabilitation work consists of digging trenches by hand) with the result that it recal- culated the Government estimate as $268,335. Second Growth's recalculated price was lowered to $913,206. No mention was made of a dollar limitation as in the original bid. Since the parties were still far apart and Second Growth's final price again greatly exceeded 2I-

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