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B-185200 1 (1976-01-12)

handle is hein.gao/gaobaddtb0001 and id is 1 raw text is: S 5. THE COMPTROLLER GENERAL .s CIS i o . OF THE UNITED STATES WASHINGTON, D. C. 20548 FILE: B-185200 DATE: January 12,1976 MATTER OF: General Electric Company DIGEST: Contract awarded where contracting officer should have suspected error in bid but failed to request verification may be reformed on basis of intended bid price as requested by contractor, since no valid and binding contract is consummated where contracting officer knew or should have known of error and neglected to verify bid, and contractor has furnished documenta- tion to establish intended bid price. General Electric Company (GE), Medical Systems Division, has requested an increase in price in connection with an error alleged to have been made in its bid which is the basis of Veterans Administra- tion (VA) contract V664P-477. Invitation for bids (IFB) 664-11-76AT solicited bids for main- tenance of the General Electric Med II system from July 1, 1975, to September 30, 1976, at the VA Hospital, San Diego, California. GE submitted the only bid of $139.08 per month for a total bid of $2,086.20. Award was made to GE on June 27, 1975. By letter dated July 21, 1975, GE notified the VA Hospital at San Diego that it had made a mistake in its bid. The letter stated in part: The original agreement called for four inspections a year at a cost of $1668.90 per inspection or a total of $6675.60 per year. When I computed this on a 15 month basis, I inadvertently used the cost of one inspection figure of $1668.90 as the annual cost arriving at a monthly cost of $139.08 ($1668.90 divided by 12 x 15) * * *. - 1 -

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