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B-217016 1 (1984-12-11)

handle is hein.gao/gaobadmbk0001 and id is 1 raw text is: T COMPTROLLIER ENERAL DECISION .' OP THE UNITSO STATES WASHINGTON. 0.C. 20548 FILE: B-217016 DATE: December 11, 1984 MATTER OF: Integrity Management International, Inc. DIGEST: 1. GAO furnishes views on court suit where United States District Court for the Northern District of California has requested an opinion. Views are based solely on court record transmitted to GAO. 2. Bid for base period's and option periods' services is not mathematically unbalanced on its face where base period's price is only 15 percent higher than option periods' prices; moreover, examination of bidder's post-bid-opening explanation as to why base period price was higher confirms conclusion that bid is not mathematically unbalanced. Bidder would not receive a windfall if options are not exercised. 3. Even if low bid contained unbalanced prices for high-volume items as compared with low-volume items, there is no indication that estimates for items were erroneous; consequently, low bid may be accepted. 4. GAO will not consider whether bid is materi- ally unbalanced where bid is found not to be mathematically unbalanced. The United States District Court for the Northern District of California has requested our opinion in a case pending before the court, Integrity Management Interna- tional, Inc. (IMI) v. The Honorable John 0. Marsh, Jr., Secretary of the Army, Civil Action No. C-84-6900 EFL, which involves the propriety of a laundry service contract awarded to East Coast Support Services, Inc. (East Coast), for a base year period (October 1, 1984, to September 30, 1985), plus up to 2 additional option years. Our knowledge of the facts and issues involved in this civil action is derived solely from the court record which has been furnished to us. 030'74/

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