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2.405) and shall document the file to so indicate.

Subpart 24-2.4-Opening of Bids and

Award of Contract

§ 24-2.303 Late bids.

§ 24-2.303-1 General.

The late bid regulations and procedures of 41 CFR 1-2.303 shall not be waived, even if a bid is only slightly late (e.g., several minutes) or none of the other bidders will be prejudiced by consideration of the late bid.

$ 24-2.303-6 Notification to late bidders.

In setting the date to be inserted in the notice to late bidders contained in 41 CFR 1-2.303-6, consideration should be given to the time required by the bidder to develop and prepare the required evidence in relation to the acceptance period specified by the otherwise apparent low bidder, avoidance of undue delay in the procurement cycle, and other pertinent factors. As a general rule, the bidder should be allowed a minimum of three (3) working days in addition to a time allowance for transmitting the notice to, and receipt of the evidence by, the Contracting Officer. The bidder shall be notified immediately in writing if his bid cannot be considered for award because of lateness.

§ 24-2.401 Receipt and safeguarding of

bids. Envelopes, or other outer covering, containing identified bids, shall be stamped to show the Office of receipt, time and date. The bids shall immediately be turned over to the Contracting Officer who will be responsible for their safekeeping until the official opening. Each procuring activity shall be responsible for establishing proce. dures for the safeguarding of bids. Unidentified bids and bids that are opened by mistake shall be handled in accordance with 41 CFR 1-2.401(b). The Contracting Officer shall retain in the file a copy of the envelope, wrapper, or other container (bearing the required documentation) of a bid which was opened by mistake or which was opened for purpose of identification.

§ 24-2.303-7 Disposition of late bids.

A late bid which is not for consideration shall be held unopened until after award and then returned to the bidder (unless other disposition is requested or agreed to by the bidder). The return of a late bid which cannot be considered for award shall be accompanied by a statement from the Contracting Officer that the bid was not considered because of its late receipt. If the late bid had to be opened for identification purposes or was opened by mistake, this fact shall be included in the statement from the Contracting Officer accompanying the returned bid. In all cases where a late bid is not considered and returned to the bidder, the file shall be documented with all information relating to the determination of late receipt which shall include a copy of the late bid envelope.

§ 24-2.402 Opening of bids.

The bid opening will be conducted by the Contracting Officer or his duly authorized representative designated as the bid opening officer. At the bid opening, the relative merits of any bids shall not be discussed by the person opening the bids, or the Contracting Officer, with the bidders, their representatives, casual observers, or Department personnel. No statement shall be made by the person opening the bid or the Contracting Officer at a bid opening bearing on the award, the possibility of a readvertisement, mistakes in bids, the responsiveness or responsibility of any bidder, etc. Oral instructions shall not be given to bidders at any time during the opening. Protests of bidders and inquiries regarding the award of the contract shall be referred to the Contracting Officer after the completion of the bid opening. Bidders are cautioned that information obtained at bid opening from other than the Contracting Officer may only be relied upon by the bidder at the bidder's own risk. After all bids have been opened, read aloud and recorded, the bid opening officer shall state that opening of bids has been completed.

Government, these bids will be rejected. When a tie situation occurs in which the requirement stipulated in 41° CFR 1-2.407-6 has to be applied, only one of the multiple bids shall be considered.

8 24-2.406 Mistakes in bids.

$ 24-2.402-50 Marking of bids.

Under no circumstances will any individual make any marks or notations on the bid or its accompanying documents. Erasures and any other changes to the bid must be initialed by the individual executing the bid document. If such erasures or changes are not initialed, it shall be handled in accordance with 41 CFR 1-2.405. If through error or for some other reason marks are made on a bid or its accompanying documents by a Goyernment employee, the markings should not be erased or eradicated; instead, the individual so marking the bid shall prepare a signed explanation of the marking for insertion in the file for future reference, showing when, how, and why the notations or markings were made. If the marked bid is accepted, explanation with regard thereto should be made on the statement of award.

§ 24-2.406-3 Other mistakes disclosed

before award. Mistakes in bid discovered prior to award (other than obvious clerical errors) shall be submitted to the following authorities for determinations in accordance with 41 CFR 1-2.406-3:

(a) Director, Office of Procurement and Contracts for all Departmental Programs, except as set forth in Item (b) below.

(b) Director of the appropriate Departmental Area or Insuring Office for the Property Disposition AcquiredProperty Program. Each determination made hereunder will be coordinated with the Office of General Counsel prior to notification to the bidder. The Contracting Officer shall be notified promptly of the course of action to be taken.

§ 24-2.406-4 Disclosure of mistakes after

award.

8 24-2.402-51 Timing of acceptance and

withdrawal. Bidders may not withdraw their bids after bid opening unless the notice of withdrawal was mailed prior to the time set for bid opening and handled in accordance with 41 CFR 1-2.305. The Contracting Officer's letter accepting the bid, when written acceptance is required, is effective when mailed. Therefore, a binding contract is effected where acceptance has been mailed by the Contracting Officer before the letter from the bidder advising of withdrawal of bid is received.

Pursuant to 41 CFR 1-2.406-4(d), the Director, Office of Procurement and Contracts is delegated authority to make the determinations under 41 CFR 1-2.406-4. Mistakes in bids discovered after award shall be submitted to the Director, Office of Procurement and Contracts accompanied by the data set forth in 41 CFR 1-2.406-4(f). Each determination made hereunder will be coordinated with the Office of General Counsel prior to notification to bidder.

8 24-2.404 Rejection of bids.

§ 24-2.407 Award.

$ 24-2.404-50 Rejection of bids in multiple

bidding situations. When more than one bid is received from a person or firm, or affiliates thereof, in response to an invitation for bids, such bids shall be considered for award if responsive and otherwise acceptable. If the Contracting Officer determines that these bids would give a bidder an unfair advantage over other bidders or would otherwise be prejudicial to the best interest of the

§ 24-2.407-1 General.

Pursuant to 41 CFR 1-2.407-1, awards shall be made by mailing or otherwise furnishing to the successful bidder a properly executed award document or notice of award. A notice of award may be approved by the Contracting Officer for administrative reasons when the urgency for the con

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$ 24-2.407-8 Protests against award.

The following identifies the responsible agents and sets forth procedural requirements for handling protests, except for protests against awards under National Housing Act contracts. For the purpose of definition, as used in this section “working days” means the working days of the Agencies of the Federal Government, excluding Saturdays, Sundays and Federal holidays, as specified in 5 U.S.C. 6103.

(a) Protest before award-(1) Resolution by procuring office. Interested parties are urged to seek resolution of their complaints initially with the procuring activity. The Contracting Officer shall act on any protest filed with the procuring activity (see 41 CFR 12.407-8(a)) unless it is known that a protest has been filed concurrently with the General Accounting Office (GAO). Where a written protest is filed directly with the procuring activity, full consideration shall be given to the protest with the protestant notified in writing of the final decision on the protest within thirty (30) working days from the date of receipt by the Agency except where GAO views are required, in which case the time for rendering a decision shall be ten (10) working days from receipt of GAO views: Where the Contracting Officer makes a determination to award a contract notwithstanding a protest as authorized by 41 CFR 1-2.407–8(b)(4), the Head of the Procuring Activity shall approve such a determination prior to award. The appropriate official mentioned above shall notify the Office of General Counsel of intent to make award. Pursuant to 41 CFR 1

2.407-8(b)(3), the Office of General Counsel shall notify the GAO of such proposed action. Parties interested in protesting directly to GAO, shall do so in accordance with the General Accounting Office Regulations 4 CFR Part 20.

(2) Responsibility. The Office of General Counsel has the responsibility for handling matters relating to protests against award of contracts within the Department of Housing and Urban Development and for liaison with the GAO. All communications concerning a protest written or otherwise directed to GAO shall be coordinated with the Office of General Counsel. All written communications from the Department to GAO shall be by the Office of General Counsel. The Contracting Officer has the responsibility for furnishing the Office of General Counsel with all information relating to the protest.

(3) Times for filing. The times for filing are as follows:

(i) Protests based on alleged improprieties in any type of solicitation which are apparent prior to bid opening or the closing date for the receipt of proposals shall be filed prior to the dates established in paragraph (a)(1) of this section. In other cases, protests shall be filed to be received in the Department of HUD or GAO not later than five (5) working days after the basis for protest is known or should have been known, whichever is earlier. Where such protest has been filed initially with the HUD's procuring activity any subsequent protest to the GAO must be delivered to the GAO within five (5) working days after notification of adverse action by HUD's procuring activity. GAO will consider the protest only if the initial protest was timely filed with the procuring activity.

(ii) Any additional statements by the protester in support of the protest to the GAO shall be mailed or otherwise furnished to the GAO, and two (2) copies sent to the procuring activity, no later than five (5) working days after filing of the initial protest.

(4) Notice of protest and submission of report. (i) Upon being advised by GAO of the receipt of a protest, the Office of General Counsel will inform the procuring activity immediately.

The Contracting Officer shall prompt- ments shall be filed with the Office of ly notify in writing the contractor or General Counsel, General Accounting all bidders or offerors who, in the Office within ten (10) working days opinion of the Contracting Officer, after receipt with copies to the procurappear to have a reasonable prospect ing activity and Office of General of receiving an award if the protest is Counsel, Department of HUD. denied. Upon receipt by the Depart- (iii) If GAO requests additional inment of a written request for a formal formation, a supplementary report report from the GAO relating to a

shall be transmitted to GAO within protest, the Office of General Counsel

five (5) working days after the Depart. shall make the complete formal

ment receives the request and shall report, or a written statement setting

follow the procedures set forth in 24 forth the reasons for any delay and

CFR 2.407-8(a)(4). the expected date of submission to

(b) Protest after award. Protests ini. GAO within twenty-five (25) working

tially received after contract award are days, unless a different time is stipu

subject to the procedure in this 24 lated by GAO, after receipt of the

CFR 2.407-8 and 41 CFR 1-2.407-8(c). GAO request. Except to the extent that withholding of information is

(c) Responsibility for data. The

Office of General Counsel shall mainpermitted or required by law or regulations, copies of the protest and any

tain records relating to all protests resupplemental information later filed

ceived. The records shall contain adeby the protester may be furnished to

quate data to show the number and the parties previously notified of the

nature of formal protests received protest. These parties shall be advised

(whether filed directly with the Deto communicate directly with GAO if

partment or with GAO), their disposithey desire to comment on the protest.

tion and the time for resolution. These (ii) The report shall include the doc

records will be reviewed annually in uments and statements required by 41

order to update protest procedures. CFR 1-2.407-8(a)(2), identify the GAO file number assigned to the protest

$ 24-2.407-50 Award when only one bid is and shall be concurred in by the Con

received. tracting Officer. If appropriate, the When only one bid is received in rereport shall state the urgency of the sponse to an invitation for bids, such procurement and the extent to which

bid may be considered and accepted if a delay in award may result in signifi- the Contracting Officer makes a writcant performance difficulties or addi- ten determination that (a) the specifitional expense to the Government.

cations were clear and not unduly reWhere the statement of urgency is not strictive, (b) adequate competition was appropriate, the report shall state the

solicited and it could have been realength of time an award may be de

sonably assumed that more than one layed without significant expense or

bid would have been submitted, (c) the difficulty in performance. The report

price is reasonable, and (d) the bid is shall be transmitted by a covering

otherwise in accordance with the inviletter addressed to the individual in

tation for bids. Such a determination GAO who signed the request and shall

shall be placed in the file. state that copies thereof have been sent to the protestant and any other

§ 24-2.408 Information to bidders. named parties who have been given notice of the protest. The external dis

On all contracts in excess of $5,000, tribution shall be shown on the origi- except for the conditions stipulated in nal of the letter to GAO. In addition, 41 CFR 1-2.408(a) (1) and (2), the unletters shall be sent to the protestant successful bidders shall be given a noand other interested parties enclosing tification of rejection by one of the a copy of the completed report and methods set forth in 41 CFR 1shall advise recipients that any com- 2.408(b).

PART 24-3—PROCUREMENT BY

NEGOTIATION

Source: 41 FR 55805, Dec. 22, 1976, unless otherwise noted.

Subpart 24-3.101-Exceptions to Normal Negotiation Procedures

Subpart 24—3.101-Exceptions to Normal

Negotiation Procedures Sec. 24-3.101-50 Noncompetitive procurements. 24-3.101-51 Unsolicited proposals.

Subpart 24-3.103—Dissemination of

Procurement information

24-3.103-1 Publicizing procurement ac

tions. 24-3.103-2 Release of information during

the solicitation phase. 24-3.103-3 Release of information during

the evaluation phase. 24-3.103-4 Postaward release of procure

ment information. 24-3.106 Preproposal conferences.

or

Subpart 24-3.150—Treatment of Proposal

Information

24-3.150-1 General. 24-3.150-2 Disposition of unsuccessful pro

posals. 24-3.150-3 Use of successful proposals.

Subpart 24-3.4-Type of Contracts

24-3.405-3 Cost-sharing contract. 24-3.408 Letter contract.

8 24-3.101-50 Noncompetitive procure

ments. (a) General. All departmental procurement shall be accomplished on a competitive basis to the maximum practical extent. Procurement without competition shall be limited to those circumstances where only one firm, or. ganization or individual can provide the required supplies services within the time required and at a reasonable price. Program offices recommending procurement on a noncompetitive basis shall submit a detailed summary of the factual circumstances supporting sole source procurement to the Contracting Officer. The Con. tracting Officer shall review the summary in accordance with the criteria outlined in paragraph (c) of this section. If, in the judgment of the Contracting Officer, the noncompetitive procurement is adequately supported, he shall prepare a document entitled “Justification for Noncompetitive Procurement.” The document shall comply in all respects with the requirements of paragraph (c) of the section and be signed and inserted in the procurement file by the Contracting Officer.

(b) Exclusions. The provisions of this § 24-3.101-50 do not apply to: (1) Procurements of architect-engineer services; (2) procurement of utility ser. vices where the services are available from only one source; (3) 8(a) procurements with the Small Business Administration; or (4) purchases from mandatory Federal Supply Schedule contracts which list only one source.

(c) Justification for noncompetitive procurement. The document entitled "Justification for Noncompetitive Procurement” shall completely discuss the circumstances which render competitive negotiation impractical or not feasible and identify the exclusive capabilities which the proposed contractor possesses and which meet the requirements of the procurement.

Subpart 24–3.6—Small Purchases

24-3.601 Nonconstruction contracts.

Subpart 24-3.7—Negotiated Overhead Rates

24-3.702 General. 24-3.707 Overhead ceilings.

Subpart 24-3.8—Price Negotiation Policy and

Techniques 24-3.801-2 Responsibility of contracting of

ficer. 24-3.802 Preparation for negotiation. 24-3.805 Selection of offerors for negotia

tion and award. 24-3.805-1 Policy. 24-3.805-2 Procurements not expected to

exceed $250,000. 24-3.805-3 Procurements expected to

exceed $250,000.

Subpart 24-3.51- Protests Against Award

24-3.5101 Negotiated procurement pro

tests. AUTHORITY: Sec. 7(d), Housing and Urban Development Act (42 U.S.C. 3535(d))

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