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B-212539 1 (1984-04-17)

handle is hein.gao/gaobadlqt0001 and id is 1 raw text is:                                                             /111 /. -,

                      r THE COMPTROLLER GENERAL
 DECISION                  WA THE UNITEO STATES
                            WSHINGTON. D.C. 20548         I




FILE:        B-212539                DATE: April 17, 1984

MATTER OF:        D. R. Allep & Son, Inc.

DIGEST:


     Where a grantee's solicitation imposes a
     minority business enterprise (MBE) subcon-
     tracting goal on bidders and requires with
     the bid either a commitment statement or an
     explanation as to why the goal cannot be
     met, a bidder's failure to comply with the
     requirement renders the bid nonresponsive in
     circumstance where the bidder would not
     otherwise be committed to the goal or other
     MBE requirements.


     D. R. Allen & Son, Inc. has filed a complaint against
the award of a contract for the construction of two parking
garages to Ruscon Construction Company by a Department of
Housing and Urban Development (HUD) grantee, the City of
Charleston, South Carolina. Essentially, Allen claims that
the decision by the City, concurred in by HUD, to reject
its bid for failure to comply with the minority business
enterprise (MBE) requirements of the solicitation was
improper. We deny the complaint in part and dismiss it in
part.

     The City, a grantee under Title I of the Housing and
Community Development Act of 1974, as amended, 42 U.S.C.
§ 5301 et seq. (Supp. IV 1980), advertised for bids on
May 23, 1983. The solicitation established a goal that 5
percent of the total value of the prime contract be awarded
to minority business subcontractors. The solicitation
stated that award would be made to the lowest priced bidder
that met or demonstrated good faith efforts in meeting
the MBE goal. In this connection, the solicitation
required each bidder to submit an MBE Assurance Statement
in which it was either to demonstrate the ability to meet
the prescribed minority subcontracting goal or to provide a
narrative explaining why it was unable to comply with the

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