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B-178059 1 (1973-07-17)

handle is hein.gao/gaobaaczo0001 and id is 1 raw text is: 



•.,      .             COMPTIROLL.ER GENERAL- OF TH UNITE STgva'


                                                            31193


         -178059                                          July IT, 1973


         Tht Ioorflle Arthur V. Smpon
         Acting IA-ini strat:c r
         Ceneral Services Admlniotration

         Dear Hr. Sanpson:

            We refer to a letter dated February 16, 1973, fran your Coneral
         Counael concerning the request by Union Carbide Corl;'ration, Linda
         Division of flir rn., Alrba:a, for either r't:t -o or refotiva-,
         tion-of c-'ntrnct r..)S/.!J_19,.  1(.ion I.COY) c1iv to a rirtal.e in 14d
         alleged after amnrd.

            Union C.trbldn offered to rmppiy on on irtied 1,275,05 etibte
         faec of )iqui( o rra. to ro t h.r:;c- p.e. ,n royr,.-ville, K.orrh
         Carolinn, at o pri:e of $Of...2.'' :..r u..ie Et   m Ia, trI . iC'cr,
         usao near.J the Conrr.t, .vf-.: nr-..:.', t.3. CsrW...,. :vrt -I tlai;:
         it nmlta:enly uoud a parsa f,'. t!-,.:rv,... yav'c'  v'.9  '
         Scheduln ns an initi:l -.rhrd.'.t S  d.rc'p.,  .t!; 1,.3:1. 2ha. yvor)-
         afhece iuldected thcr. utornvf fo;t:ii:: for t, e:y',n i:ould 1-c .Up
         plied by th GoCVnVrr.r.t, vhcrr.s the o. 1±.::. t - ttfhr 1:c for cV4;,*.:t
         CS-04S-1906431 require. t'o concrs.-tor r , flIr.,., ti.t ntcre f.i-
         itice, In vlew thcrcof, Unicn Cnr A ricat-:rctho th.Lt cr :bid pricu
         chotild hnve ben 't'.SZ722 r c.ib.e £ov.  Y:: t . y ot;cr bid
         received for Item AO030 wao $0.0065 per cubic foot.

            The contracting ofUte  has Gdviscd ua thr, tho 70-pcirccnt
         disparity betr4cn th   two bidn rcc-±vr.d .hotl   h:;-vc C.!);t-.r
         tdth notice of the prot'ability of a mvLt:t:,ke in lhid, Your General
         Councl &nd the contracting oficcr both at-.zcrt tlztt sx.ce the
         contractinA officer did not seek verification of the low bid, no
         valid and b$.udina contract aa coruattated upon its accentance,

            This position Is at variance with the rule enunicatod in 20
         tomp. on. 286, 20S (1940), wheraoae aeted that:
                 ft * * ordinarily no frir conpar6ron :ith other bide
            can be made w.heie only two ..tdoly varitt bids are received,
            there beins no noa reason for considering thea low bd too
            low than for conidering that a nlltke was wade by the hich
            biddnr In quoting a price to high.
                  ti:'....                                                    4see. A
        * .' ,,,.                                          ,rs. C-0. ~ . 9499999:j

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