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B-177519 1 (1973-05-18)

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                   COMr'TROLLER GENEA . OF TIlE Urn:D STATM




   B-177519                             May 18, 1973          3


   The lonorable Rogers C. B. Mortvn
   The Secretary of the Interior

   Dear 14r, SecretaryT

        We refer to the letter of January 2(i, 1973, from the ActinS Director
   of Survey and Rviev  furnichtns a report cm the protests of the Hydra-
   price Corporation against the pancellat.Wn after bid openinr of. ational
   Park Service (fl'S), Denver Reion, invitetioto for bids Nio. DSC-3, and
   the proposed award to Alandale Contruction Co. under retvised invitation
   for bids e. nDSC-4. Kendall [Ilosn Company has alo proterted against
   the rejection of its bid under the revisud invitatioa,

        The initial invitationt DSC-3, reqwinted that bids on a brand name
   or equal basis be submitted by August 16, .1972, tor furniuhlng certain
   marine sanitary facilities. After bids had been opened, it vas discovered
   that the brand namas or equal claunse requtred by paragraph 1-1,307-6()(2)
   of tbe Federal Yrocurement Iegulatioau (FPR) hd bean inadvertently
   eliminated from the   ppleental Provisions of the invitation. In addi-
   tir, the bid prices received exceeded the amuunt of funds available for
   the procuren:,it. Conequently, the cotracting offltcer canceled the
   invitatiun ant. revised the specifications by IncludingE tbe required brand
   nave or equal clnune and by deleting certain schedulto of vork. Thin wan
   accompliuhed by the tenuanco of invitation DSC-4.,

        llydrpriwo proteuto the cancellation of Jnvitati mn DSC-3 on the
   basis that the oitnaion of the brand name or equal clause dil not
   rentrict competition ed, consequentl.y, it should not, have been usnd an
   a groumd for cancellation. It alco bvlieven that if %he bid prices cub-
   mittcd were hisner than the amount of funds available for the procurementt
   the contracting officer could have remedied thi situati'oi nrply by
   awarding a contract for fewer work nchedules.

        We cannot take exception to the cuntrati s oftice,s determination
   to cancel DSC-3 for the stated reason, As notcd in the itantrating
   officer's report, a large percertage of the eorh is idexatified by
   reference to brand ne items, When end items or compontnts are .tdentifiod
   in a solicitation by brand name or equal deecriptont, tlo brand mo or
   equal clause proscribed in YPR 1-1.307-4 must be includOd. Thie clauo is
   necesoary bec:t, it provides a vytdcle for identitying the product a
   bidder proposes to furth and insures that the procu.cment activit7
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