Sec.

event prior to the time specified for the opening of bids.

5-2.406-4 Disclosure of mistakes

5-2.406-50

5-2.407-6

award.

after

Submissions to the Comptroller
General.

Equal low bids, preferences.

AUTHORITY: §§ 5-2.201-50 to 5-2.407-6 issued under sec. 205 (c), 63 Stat. 390; 40 U.S.C. 486 (c).

Subpart 5-2.2-Solicitation of Bids

§ 5-2.201-50 Security requirements.

(a) Where making classified information available to contractors or prospective contractors is contemplated, the invitation for bids shall include the appropriate clause required by § 5-7.150, § 5-7.650, or § 5-7.5101. If it is determined that these clauses are not applicable for a particular contract (e.g., a research or personal services contract), the Head of the Service or Staff Office concerned with the procurement shall provide a suitable substitute clause. These clauses require adherence, by the contractor, to the security agreement (DD Form 441) made by industrial concerns with DOD to abide by the Industrial Security Manual for Safeguarding Classified Information. The release of classified information to contractors or prospective contractors shall be effected in accordance with the provisions of § 5-53.202.

(b) In connection with the industrial security program within GSA, the GSA Security Officer provides overall coordination and administration, including the furnishing of technical advice and guidance to contracting officers, maintaining liaison with DOD, and authorizing release of classified information to contractors.

[26 F.R. 12693, Dec. 29, 1961]

(b) Bid openings shall be postponed when an important segment of prospective bidders requests additional time for filing their bids, or the contracting officer is on notice, or has reason to believe, that the specified opening date is not appropriate or is not conducive to the maximum practicable competition.

(c) Bid openings may be postponed, if determined by the contracting officer to be practicable and in the best interests of the Government, when the contracting officer has reason to believe that the bids of an important segment of bidders have been delayed in the mails for causes beyond their control, and without fault [25 F.R. 5573, June 21, 1960]

§ 5-2.203 Methods of soliciting bids. [26 F.R. 725, Jan. 25, 1961]

§ 5-2.203-1 Mailing or delivering to prospective bidders.

(a) The contracting officer shall arrange for the initial distribution of invitations for bids (and preinvitation notices). Initial distribution shall be made to firms included on established bidders mailing lists and to all others whom the contracting officer may select. Distribution of such documents covering new construction and specialized projects designed under the direct supervision of the Office of Design and Construction, Public Buildings Service, may be made by that office.

(b) The initial distribution of invitations for bids shall include quantities required by the Business Service Center, in the region where the invitation for bids originates, for public display or reference and for filling of business and Business public requests for copies. Service Centers shall keep the contracting offices currently advised as to quantities required. In addition, contracting offices shall furnish at least one copy of each invitation for bids included in the Department of Commerce Synopsis of U.S. Government Proposed Procurement, Sales, and Contract Awards to each Business Service Center.

(c) Business Service Centers normally shall handle and record, as provided in § 5-2.204 (a), all requests for invitations for bids.

(d) Firms in debarred or ineligible status will be treated in accordance with § 1-1.604 and § 5-1.604. [26 F.R. 725, Jan. 25, 1961]

Bids shall be solicited through paid advertisements, when authorized by the appropriate head of a service or regional commissioner. Upon request, single copies of invitations for bids, or a brief summary thereof, shall be furnished to newspapers, trade journals, magazines, trade societies, and similar organizations for free publication. (See § 1-2.203-3.) When invitations for bids which include costly material, such as detailed specifications and drawings, are quested by such an organization, the contracting officer shall furnish such material only when he determines that it is in the best interest of the Government to do so.

[26 F.R. 725, Jan. 25, 1961]

§ 5-2.204

re

Records of invitations for bids and records of bids.

(a) Business Service Centers shall submit promptly to the appropriate contracting officer a supplemental list of those (including their addresses) to whom such centers furnished invitations for bids or amendments. The contracting officer shall arrange to furnish such prospective bidders, as well as those solicited pursuant to § 5-2.203-1, with applicable amendments or notices.

(b) For records of bids see § 5-2.401 (d) (8).

[26 F.R. 725, Jan. 25, 1961]

be recorded, if shown. After recording, such bids shall be delivered immediately to the responsible contracting officer who shall acknowledge receipt thereof on the duplicate copy of the list of bidders and record the bidder's name and address on the original list of bidders. Delivery of late bids which bear insufficient postage shall be accepted if received prior to award. The postage due shall be paid if requested by the post office authorities and the bids handled in accordance with § 1-2.303 and this § 5-2.303.

(b) Except as provided in § 5-2.303-2, a bid delivered after the bid opening time by other than the Post Office or by telegraph shall not be accepted. Should a bid custodian find himself unavoidably in possession of such a bid, it shall be immediately time-stamped and handled in the same manner as prescribed above for mail and telegraphic bids, except that in lieu of data as to the time and place of mailing, a notation shall be made on the duplicate copy of the list of bidders by the bid custodian explaining when and how he came into possession of the bid.

§ 5-2.303-2 Consideration for award.

When properly addressed bids are received on time but, through error on the part of the Government, are not opened with other bids in response to the same invitation, such mishandled bids shall be considered for award if an irrevocable award has not been made. If award has been made and the maker of such a bid otherwise would be entitled to award, every effort shall be made to secure consent to cancellation of the award without cost by presenting a full explanation to the bidder who received the award. such bidder refuses to consent to cancellation, a full explanation of the circumstances shall be furnished to the bidder who, except for mishandling, would otherwise be entitled to the award. Complete details of each such case shall be furnished to the appropriate head of service or staff office and a copy thereof retained in the contract file.

If

§ 5-2.303-6 Notification to late bidders. In notifying a bidder of a late bid received before award, the following additional language shall be used for the purpose of establishing a predetermined time limit for his submission of evidence: To assure its consideration, any evidence submitted must be received in this office not later than

(Insert date)

In fixing the date to be entered, consideration should be given to the time required by bidders to develop and prepare evidence in relation to the acceptance period specified by the otherwise apparent low bidder, avoidance of undue delay in procurement operations, and other pertinent factors. As a general rule, bidders should be allowed a minimum of three working days to develop and prepare their submissions. In addition, appropriate allowance should be made for the time required for mail transit of the notification and return of the evidence.

§ 5-2.303-7 Disposition of late bids.

A late bid returned to a bidder shall be accompanied by a statement from the contracting officer that the bid was not considered because of the time of its receipt. § 5-2.304 bid.

Modification or withdrawal of

(b) Each regional Director of Business Services shall designate bid custodians, and alternates as may be required, to perform the functions incident to the receipt, custody, and recording of bids.

(c) Adequate space and facilities shall be provided for the receipt and safeguarding of bids and samples received in conjunction therewith, and for the holding of public bid openings. This shall include the providing of a locking type bid box located within sight of the bid custodian and at an accessible point where bidders or their representatives can readily deposit bids.

(d) Bids received shall be handled as follows:

(1) At the initial point of receipt, envelopes, or other outer covering, containing identified bids received by mail shall be immediately time-stamped or otherwise have legibly indicated thereon the place, date, and time of receipt by authorized personnel, and then shall be delivered by special handling to the bid custodian in the Business Service Center.

(2) Bids received in unidentified or unsealed envelopes or other outer covering and bids opened by mistake shall be handled in accordance with § 1-2.401(b).

(3) When bids received by mail are delivered to the custodian they will immediately be placed in a suitable locked cabinet.

(4) Bids received which bear insufficient postage shall be accepted and, if Post Office authorities so request, payment of the postage due shall be made.

(5) Bids delivered in person by bidders or their representatives shall be deposited immediately in the locked bid box in the Business Service Center. Bid custodians shall have custody of a key or combination to this receptacle and shall remove and time-stamp the contents thereof at least once daily, and in any event, immediately before each bid opening. (See § 5-2.303-1(b) regarding late bids delivered in this manner.)

(6) Telegraphic bids or modifications will be sealed in envelopes immediately upon receipt, appropriately identified, and handled in the same manner as other bids. No information as to the contents of such bids will be divulged by any employees having access thereto.

(7) At the end of each working day, the bid custodian shall place all bids which have accumulated in the bid box in the locked cabinet referred to in § 5-2.401 (d) (3).

(8) As soon as practicable after receipt and prior to the bid opening time, all bids received by the bid custodian shall be recorded, in duplicate, on a separate list for each bid invitation. This list shall include the name and address of each bidder and the date and hour of receipt as shown by the time-stamp.

(9) The bid custodian shall, at the scheduled bid opening time, deliver all bids received in connection with the invitation to the authorized bid opening official, or his designee. At the same time, the pertinent list of bidders, in duplicate, shall be delivered to the bid opening official, or his designee, who shall acknowledge receipt of the bids by signing the duplicate copy of the list and returning it to the bid custodian. The original list of bidders shall become a part of the contract file.

[26 F.R. 726, Jan. 25, 1961]

§ 5-2.402 Opening of bids.

(a) Public bid openings shall be held in the Business Service Center except when determined to be impracticable by the Business Service Center and the contracting officer. The schedule for such openings shall be developed jointly by the Business Service Center and the contracting officer in order to avoid conflicts. The contracting officer shall be responsible for obtaining space for bid openings which are to be held outside the Business Service Center. Whenever, and as soon as, it is justifiably determined to hold the bid opening elsewhere, the contracting officer shall inform the Business Service Center serving the geographic area in which the contracting office is located as to the invitation number and the location where the public bid opening will be held.

(b) All bids shall be opened by the contracting officer, or his designee, responsible for the procurement. The designee shall be a fully qualified employee of the contracting office. However, upon authorization of the head of the service or staff office involved, and the Special Assistant to the Administrator for Congressional and Public Affairs, bids may be opened by selected Business Service Center personnel. Normally, such authorization will be requested only when the geographic distance separating the Business Service Center where bids are to be delivered and the contracting office makes it impracticable for the contracting officer

or his designee to be present to open bids.

(c) Bid openings shall be open to business representatives, members of the press, and the general public.

(d) In order to assure that bids will be opened at the exact time specified, the bid opening official shall verify that the timepiece to be used is accurate.

(e) For the information of those bidders present, approximately one minute prior notice of bid opening will be audibly announced by the bid opening official.

(f) The bid opening official shall take precaution to assure that the exact time of opening has arrived and shall audibly announce this fact citing the invitation or invitations scheduled for opening. He shall then proceed with the opening of bids in full view of the parties present. (See § 1-2.402.)

(g) In reading bids, the following information from each bid shall be announced when considered practicable and feasible in accordance with § 1-2.402(a): The name of the bidder, the unit price for each item bid on, and other pertinent information, such as delivery and discount terms. A copy of each bid submitted in multiple copies shall remain in the bid opening room and be available for public examination until the bid abstract is completed and made available in lieu thereof. Bids submitted in an original only shall be made available for examination in accordance with § 1-2.402 (c).

(h) When invitations for bids provide for the submission of bid or performance bonds or like guarantees, arrangements shall be made by the contracting officer or his designee to have a bonded collection officer present when bids are opened to assume custody of guarantees other than bonds. The contracting officer shall retain bonds for checking of acceptability. As soon as awards have been made, the contracting officer shall request the collection officer to return guarantees other than bonds to unsuccessful bidders. Bonds need not be returned.

(i) A record of persons attending each bid opening shall be maintained. This record shall include, as a minimum, the names of persons present, firms or organizations represented, date and time of opening, and the invitation numbers in which each person is interested. The record may be in any suitable form, such as appropriate notations on the reverse

of GSA Form 289, Abstract of Bids, or GSA Form 1081, Record of Bid Opening. The record shall be made a part of the invitation for bids file.

(j) If two or more bid openings are scheduled for the same date and hour, and are to be conducted by the same bid opening official, normally the bid opening in which the greatest number of persons present is interested shall be conducted first.

(k) When bids are received in more than one copy, the bid opening official shall verify the entries on all copies.

(1) Envelopes in which bids and bid modifications are received shall be retained in a temporary file until after all awards have been made, at which time those which bear notations concerning abnormal receipt conditions shall be made a part of the invitation for bids file and the remainder may be destroyed. [26 F.R. 727, Jan. 25, 1961]

§ 5-2.403 Recording of bids.

(a) The contracting office shall be responsible for the abstracting and tabulation of all bids.

(b) The abstracting and tabulation of bids shall normally be completed within 24 hours after bid opening and a legible copy shall be immediately delivered to the appropriate Business Service Center where it shall be made available for public examination. Late bids determined eligible for consideration shall be included on the tabulation. However, if eligibility is established after delivery of the original tabulation, they shall be recorded separately, identified as an amendment to the original tabulation, and delivered to the Business Service Center.

(c) As soon as possible, but not later than 24 hours after notices of awards have been dispatched to the contractors, a legible copy of the bid tabulation showing the awards made shall be furnished to the Business Service Center where it shall be made available for public examination for a minimum period of 30 days.

(d) The original of all abstracts or tabulations shall be made a part of the official procurement file. [26 F.R. 727, Jan. 25, 1961]

§ 5-2.404 Rejection of bids.

[26 F.R. 1052, Feb. 3, 1961]

§ 5-2.404-2 Rejection of individual bids.

For rejection involving multiple bidding see § 5-2.404-50.

[26 F.R. 1052, Feb. 3, 1961]

§ 5-2.404-50 Multiple bidding.

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 such bidders an unfair advantage over other bidders or would otherwise be prejudicial to the best interests of the Government, such bids shall be rejected. See

§ 5-2.407-6 involving multiple bids which are equal low bids.

[26 F.R. 1052, Feb. 3, 1961]

§ 5-2.406 Mistakes in bids. [26 F.R. 3307, Apr. 19, 1961]

§ 5-2.406-3 Other mistakes disclosed before award.

(a) Upon receipt of evidence in support of an alleged or suspected mistake in bid (other than apparent clerical mistakes within the purview of

§ 1-2.406-2), the contracting officer shall prepare the statement required by § 1-2.406-3(d) (3) (iv), which shall include a recommended course of action. The action recommended shall be compatible with that provided in § 1-2.406-3 (a). The contracting officer shall attach thereto all available documentary evidence specified in § 1-2.4063(d)(3) and forward the statement, in duplicate, as provided in paragraph (b) of this section.

(b) Cases arising in regional offices shall be processed by the contracting officer through channels to the Regional Counsel, who shall review the case for form, technical accuracy of the findings and determination, and general adequacy of the supporting evidence. The Regional Counsel shall transmit the case with appropriate recommendations to the Office of General Counsel. Cases arising in the Central Office shall be forwarded by the contracting officer through channels to the Office of General Counsel.

(c) The case shall be reviewed and approved or disapproved by the General Counsel or his representative (an Associate or Assistant General Counsel). [26 F.R. 3307, Apr. 19, 1961]