Federal Construction, Inc., B-279638; B-279638.2, July 2,
Case: B-279638
Agency:
Protester: Federal Construction, Inc., B
Date: 1998-07-02
Denied
Federal Construction, Inc., B-279638; B-279638.2, July 2,
BNUMBER: B-279638; B-279638.2
DATE: July 2, 1998
TITLE: Federal Construction, Inc., B-279638; B-279638.2, July 2,
1998
**********************************************************************
Matter of:Federal Construction, Inc.
File: B-279638; B-279638.2
Date:July 2, 1998
Abel Carreon for the protester.
Robert E. Korroch, Esq., United States Coast Guard, for the agency.
Susan K. McAuliffe, Esq., and Christine S. Melody, Esq., Office of the
General Counsel, GAO, participated in the preparation of the decision.
DIGEST
Agency properly rejected as nonresponsive bid that failed to include
acknowledgment of a material solicitation amendment that affected
contract performance by specifying the size and type of circuit
breaker required by the agency, resolving solicitation ambiguity as to
the actual circuit breaker required.
DECISION
Federal Construction, Inc. protests the rejection of its low bid as
nonresponsive under invitation for bids (IFB) No. DTCGG1-98-B-QEE016,
issued by the Department of Transportation, U.S. Coast Guard (USCG),
for renovations to Chase Hall at the USCG Academy, New London,
Connecticut. Federal's bid was rejected as nonresponsive because it
did not contain an acknowledgment of amendment No. A0001, which the
agency considered material. Federal contends that the amendment
simply clarified solicitation terms and thus was not material; Federal
asserts that its failure to acknowledge the amendment prior to bid
opening should be waived as a minor informality.
We deny the protest.
The IFB, issued on February 13, 1998, was amended on March 6 to, among
other things, add the following provision, regarding electrical wiring
in the laundry room, to sheet 8 of 9 of IFB drawing No. CC-883-7050:
Contractor shall provide new 200-amp circuit breaker (3-phase,
4-wire, 60-cycles) for new Laundry Room Circuit, to be compatible
with existing General Electric (GE) switchgear. (Reference: GE
breaker #TFJ236200). Contractor shall provide all materials and
fittings for a complete circuit installation.
Amendment No. A0001 at 2.
The amendment was issued after a potential bidder pointed out that the
IFB, as issued, did not identify the exact circuit breaker size or
type required. Potential bidders were advised that the amendment had
to be acknowledged and that failure to do so could result in rejection
of the bid.
Seven bids were received in response to the IFB by the March 16 bid
opening. Federal submitted the apparent low bid of $85,219, but
failed to acknowledge receipt of amendment No. A0001 prior to bid
opening. Finding that the amendment affected performance of the
contract and the contractor's obligations under the contract, the
agency rejected Federal's bid as nonresponsive for failure to
acknowledge a material amendment. This protest followed.[1]
Federal protests that the amendment was not material since it only
clarified the contractor's obligations under the contract, and that
its failure to acknowledge the amendment should have been waived as a
minor informality.
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.
Specialty Contractors, Inc., B-258451, Jan. 24, 1995, 95-1 CPD para. 38 at
2. On the other hand, a bidder's 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 where
it imposes legal obligations on a prospective bidder that were not
contained in the original solicitation or if it would have more than a
negligible impact on price, quantity, quality, or delivery. FAR sec.
14.405(d)(2); Specialty Contractors, Inc., supra, at 2.
The IFB included, as an attachment, "specification # 7050," a detailed
work statement for the project which, at section 16140, paragraph
1.4A, regarding quality assurance for wiring devices, required
contractor compliance with "NFPA 70, National Electrical Code" (NEC)
provisions for devices and installation. According to the protester,
the NEC dictates which size of circuit breaker is to be used for
certain types of cables, and an experienced electrical contractor
could deduce from the IFB's cable descriptions that a 200-amp or
225-amp circuit breaker would be required, depending on the cable
involved.[2] Despite the reference to the NEC, however, at least one
prospective bidder had questioned the IFB's failure to specify the
exact size and type of circuit breaker required for the laundry room
electrical wiring work. The agency issued amendment No.
Full decision text continues on ProtestIntel...