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B-193715 1 (1979-04-02)

handle is hein.gao/gaobadhbc0001 and id is 1 raw text is: THE COMPTROLLER GENERAL Insicm . OF THE UNITED'STATES WASHINGTON, D.C. 20549 FILE: B-193715 DATE: April 2, 1979 MATTER OF: Paragon Mechanical DIGEST: tRequest-b by=<e ta : for contract modification to remedy alleged clerical error in bid price preparation can not be allowed where mistake was unilateral, there was no actual notice, and awardee's lump-sum bid was higher than Govern- ment estimated project cost and less than one percent lower than next lowest bid, thereby precluding possibility that mistake was so apparent as to warrant charging contracting officer with constructive notice. Paragon Mechanical (Paragon) requests reformation of contract No. GS-06B-71060 due to a mistake in bid first alleged after award. The contract, awarded by Region 6 of the General Services Adminis- tration (GSA), is for renovations in the Federal Building in Kansas City, Missouri. The invitation for bids (IFB) was issued by GSA on July 11, 1978, for base work consisting of modernizing 23 rest rooms. The IFB also called for a separate price as Alternate A, for renovation work in the FSS Swing Room. At bid opening on August 10, 1978, Paragon was found to have submitted the low bid of $569,460 for the base contract work, plus $56,250 for Alternate A (total $625,710), The next low bid, submitted by Mid-Western Construction Co., was $578,335 for the base contract work and $49,100 for Alternate A (total $627,435). GSA had estimated the cost of the work at $521,390 for the base contract work and $38,300 for Alternate A (total $559,690). Paragon was awarded the contract, including Alternate A, on September 13, 1978, for $625,710. Paragon commenced work on October 9, 1978. By letter dated October 31, 1978, Paragon first advised GSA that it had discovered a clerical error involving the incorrect carry-forward of subtotals in its bid calculations which caused an understatement of $46,600. Paragon requested price adjustment in this amount, pursuant to the Federal Procurement Regulations (FPR) § 1-2.406-4. This request was denied-by the contracting officer by letter dated November 20, 1978.

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