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B-185268 1 (1976-02-10)

handle is hein.gao/gaobaddqo0001 and id is 1 raw text is: 




                 C..  ~      THE  COMPTROLLER GENERAL
DECISIOlNl N           *    OF THE UNITED  STATES
                             WASHINGTON, D.C . 20546

                                                   (to,


FILE:         B-185268              DATE:   February 10, 1976

MATTER OF:       Microfilm Communications Systems, Inc.


DIGEST:

1.  Invitation requirement that equipment to perform contract
    be in place and operable is matter of responsibility.
    Wording of requirement calling for that condition to
    exist at the time the contractor's bid is submitted may
    not turn matter into question of bid responsiveness and
    -cause rejection of bid. Responsibility of bidder is for
    determination after time for bid opening.

2.  Possibility that price structures and schedules of incumbent
    contractor may be known to and utilized by competitors for
    underbidding incumbent allegedly resulting in deleterious
    performance has no bearing on award to other than incumbent
    since logical, but legally impermissible, extension of
    arguments would result in all contracts being awarded to
    incumbents as matter of course and there is no legal pro-
    hibition to below-cost bidding.


    Microfilm  Communications Systems, Inc. (Microfilm), protests
any award of a contract to the Microforms Management Corporation
(Microforms) under invitation for bids No. N00612-76-B-0004,
issued by the Naval Supply Center, Charleston, South Carolina.
Award has been withheld pending our decision.

     Microfilm, the incumbent contractor, believes that, because
 its price structures and pricing schedules were matters of common
 knowledge, other bidders were able to bid below Microfilm prices
 to obtain the award. These bidders, including Microforms, are
 allegedly lacking in the experience and knowledge to prepare bids
 based upon true costs, and their actual performance will probably
 prove to be deleterious to the interests of the Government. It
 is also contended that the Microforms bid should not be accepted
 since at the time of bid opening that firm did not comply with
 subparagraph (e) of the invitation, QUALIFICATION OF BIDDERS,
 which requires as follows:


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