Innovative Refrigeration Concepts

Case: B-271072 Agency: Protester: Innovative Refrigeration Concepts Date: 1996-06-12 Sustained
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B-271072 Jun 12, 1996 Jump To VIEW DECISION RELATED PAGES GAO CONTACTS Highlights The amendment was not material because it did not affect the protester's obligation to supply 600-ton chillers in accordance with the solicitation's requirements. IRC contends that the amendments were not material. 300-ton cooling tower. [1] Amendment No. 0001 was issued to incorporate certain drawings and technical specifications omitted from the original IFB package. The stated operating parameters were entry water temperature of 57 degrees Fahrenheit (F). Amendment No. 0002 was subsequently issued. "ANSWER: The entering water temperature as shown on the chart in Amendment 0001 was incorrect. Six bids were received by bid opening on December 20. It failed to acknowledge amendment Nos. 0002 and 0003. [2] FLETC rejected IRC's bid as nonresponsive on the basis that amendment No. 0002 was material in light of the change in the entry water temperature parameter. [3] FLETC made award to the next low bidder. View Decision Matter of: Innovative Refrigeration Concepts File: B-271072 Date: June 12, 1996 Agency improperly rejected low bid for 600-ton chillers as nonresponsive for failing to acknowledge an amendment that corrected an obvious error in the entry water temperature parameter under which the chillers would be operated; the amendment was not material because it did not affect the protester's obligation to supply 600-ton chillers in accordance with the solicitation's requirements. Attorneys DECISION Innovative Refrigeration Concepts (IRC) protests the rejection of its bid as nonresponsive under invitation for bids (IFB) No. FTC-96-11, issued by the Department of the Treasury, Federal Law Enforcement Training Center (FLETC), Glynco, Georgia, for two 600-ton chillers. The agency rejected the bid because IRC failed to acknowledge amendment Nos. 0002 and 0003. IRC contends that the amendments were not material. We sustain the protest. The IFB schedule required a bid for two 600-ton chillers and one 1,300-ton cooling tower. [1] Amendment No. 0001 was issued to incorporate certain drawings and technical specifications omitted from the original IFB package. Among other things, the information sheet in the amendment included operating parameters for the evaporators on the 600-ton chillers. The stated operating parameters were entry water temperature of 57 degrees Fahrenheit (F), leaving water temperature of 42 degrees F, and flow rate of 1,150 gallons per minute (GPM). Amendment No. 0002 was subsequently issued, and contained the following question and answer: "QUESTION: Chiller capacity - The flow rate and water temperature difference for the evaporator do not equate to the scheduled tonnage (600T). "ANSWER: The entering water temperature as shown on the chart in Amendment 0001 was incorrect. The correct chiller entering water temperature should be 54.5 [degrees] F instead of 57 [degrees] F." Six bids were received by bid opening on December 20. IRC submitted the low bid at $185,976 for the two 600-ton chillers. While IRC's bid acknowledged amendment No. 1, it failed to acknowledge amendment Nos. 0002 and 0003. [2] FLETC rejected IRC's bid as nonresponsive on the basis that amendment No. 0002 was material in light of the change in the entry water temperature parameter. [3] FLETC made award to the next low bidder, Carrier Corporation, at $186,646 on February 9, 1996. IRC protested on that same date. The agency determined that the need for the chillers was urgent and authorized contract performance, notwithstanding the protest. We have been advised that the chillers have been delivered. A bidder's failure to acknowledge a material amendment to an IFB renders the bid nonresponsive, since absent such an acknowledgment the government's acceptance of the bid would not legally obligate the bidder to meet the government's needs as identified in the amendment. Central Atlantic Contractors, Inc., B-243663, Aug. 14, 1991, 91-2 CPD para. 146. On the other hand, a bidders failure to acknowledge an amendment that is not material is waivable as a minor informality. Federal Acquisition Regulation (FAR) Sec. 14.405. An amendment is material only if it would have more than a trivial impact on price, quantity, quality, or delivery of the item bid upon, or the relative standing of the bidders. Id.; FAR Sec. 14.405(d)(2). An amendment is not material, however, where it does not impose any legal obligations on the bidder different from those imposed by the original solicitation or previous and acknowledged amendments. Angus Fire Armour Corp., B-237211.2, Jan. 18, 1990, 90-1 CPD para. 68. No precise rule exist to determine whether a change is more than negligible, but an amendment that merely clarifies an existing requirement is not material and the failure to acknowledge it may be waived. Id. Here, the agency asserts that amendment No.

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