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089457 1 (1970-01-05)

handle is hein.gao/gaobacvlo0001 and id is 1 raw text is: 


                      UNITED STATES GENERAL  ACCOUNTING OFFICE
     -.                        WASHINGTON,  D.C. 20548

CIVIL DIVISION
                                                                  JAN       S70



                                                    LM089457

           Dear Mr. Spangler:

                In response to a 2ecjiuest from Congressman Lloyd Meeds, the
           General Accounting Office has examined into the procurement of
           cleated plywood containers by the General Sarvices Administration'& l
           The Congressman's request was made on behalf of the Loctwall N
           Corporation, Lynnwood, Washington, which protested a decision       /
           by GSA not to award a contract for containers on which the
           Loctwall Corporation was low bidder.

                Loctwallts protest stemmed from the fact that Loctwall had
           reached the mistaken conclusion that it would be awarded a con-      O   ,
           tract without fail.  Loctwallls conclusion was based, in part,
           on alleged assurances received from GSA personnel and on GSA's
           repeated requests to Loctwall for extensions of its bid accept-
           ance period.

                We believe that the problems experienced as a result of
           Loctwall's mistaken conclusion serve to emphasize the need to
           ensure that preaward communications with prospective suppliers
           do not convey promise that a contract award is forthcoming.  To
           this end, we recommend that GSA take positive steps to reempha-
           size and, where possible, strengthen its current policy in this
           regard.

                An information copy of our report to Congressman Meeds is
           enclosed.

                                            Sincerely yours,




                                            V. L. Hill
                                            Assistant Director

           Enclosures - 2


           Mr. Lewis E. Spangler, Acting Commissioner
           Federal Supply Service                 -
           General Services Administration

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