completed by the Small Business Specialist or Small Business Representative in accordance with the referenced instructions).

(c) Equal or identical bids. See § 591.406-4 (b) for distribution of copies of invitations for bids in connection with the procedure on the submission of information on equal or identical bids.

(d) Classified purchases. See AR 380-5 for instructions as to the distribution of classified documents. In such cases, instead of the action indicated in paragraph (a) of this section, a letter will be forwarded to the office named therein, in substance as follows:

(e) Other internal distribution. Heads of Procuring Activities may direct such additional internal distribution of invitation for bids as may be considered necessary.

[22 F. R. 1806, Mar. 20, 1957]

§ 591.251 Amendments to Invitations for Bids. (a) Amendment(s) to Invitation for Bids must be distributed to all recipients of the Invitation for Bids. Amendment(s) to Invitation for Bids shall provide that the bidder may acknowledge receipt of the amendment(s) by so stating in the bid or by separate letter or telegram to the issuing office prior to bid opening. When amendment(s) to the Invitation for Bids are issued, the date set for opening of bids shall be postponed when necessary to afford bidders sufficient time to receive, consider, and acknowledge receipt of the amendment(s). In the event an amendment involving a change in pricing is not acknowledged prior to the opening of the bids, the bid shall be considered as not responsive, and further inquiry as to receipt need not be made.

(b) Any information given to a prospective bidder on an Invitation for Bids shall be furnished promptly to all other prospective bidders as an amendment to the invitation if such information is necessary to bidders in submitting bids on the invitation, or if lack of such information would be prejudicial to uninformed bidders. No award shall be made on the invitation unless such amendment has been issued in sufficient time to permit all prospective bidders to consider such information in submitting or modifying their bids.

(c) Amendments, if issued, will refer to the number, date of issue, and opening date of the original invitation, will clearly indicate the nature of the changes made therein, and will be numbered serially as issued. For example, the first amendment would be "Amendment 1."

[22 F. R. 1806, Mar. 20, 1957] Prior Amendments

1955: 20 F. R. 5485, Aug. 2.

§ 591.252 Identification of items by broad category. The item or category of items being procured will be shown in proper, simple nomenclature in large bold type on the face of each Invitation for Bid and Request for Proposal issued. [22 F. R. 1806, Mar. 20, 1957]

Prior Amendments

1955: 20 F. R. 5485, Aug. 2.

SUBPART C-SUBMISSION OF BIDS

§ 591.302 Time of submission. [Added, 22 F. R. 3174, May 4, 1957; revoked, 22 F. R. 7175, Sept. 7, 1957]

§ 591.302-1 Determinations concerning late bids. [Added, 22 F. R. 3174, May 4, 1957; revoked, 22 F. R. 7175, Sept. 7, 1957]

§ 591.302-2 Records. [Added, 22 F. R. 3174, May 4, 1957; revoked, 22 F. R. 7175, Sept. 7, 1957]

SUBPART D-OPENING OF BIDS AND AWARD OF CONTRACT

§ 591.402 Recording of bids—(a) Procedure. Only approved abstract of bids forms will be used for the recording of bids. For every invitation for bids, an abstract of bids form will be prepared as soon as practicable after bids have been opened or as soon as it is decided to cancel the invitation before opening the bids. Since the copy of the abstract furnished to the Procurement Information Center is exhibited to the public. care will be exercised in making the entries on that copy. Information, such as debarment, irresponsibility, or apparent collusion of bidders, will not be entered on the abstract of bids. but will be the subject of a separate classified communication, addressed to the Procurement Information Center, Office of the Deputy Chief of Staff for Logistics. Department of the Army, Old Post Office Building, Twelfth and Pennsylvania Avenue NW., Washington 25, D. C.

[Paragraph (a) amended, 20 F. R. 5486, Aug. 2, 1955]

(i) Not responsible bidders. (1) The lowest bid as to price may be rejected by the Contracting Officer if the bidder is determined to be not responsible. For the elements to be considered in determining responsibility see § 590.307 of this subchapter.

(2) Prior to rejecting the lowest bid when it has been received from a firm believed not to be a source of supply, as defined in §1.201-9 of this title and § 590.201-9 of this subchapter, a request will be submitted to the Head of the Procuring Activity concerned for (i) a review of the facts and (ii) authority to reject the bid on the basis that the bidder does not qualify as a "source of supply." In forwarding such requests, Contracting Officers will be careful to verify all statements contained therein which are given as the basis for rejection, in order that there may be no just cause for complaint.

(b) Cases not encompassed by the delegation referred to in paragraph (a) of this section and those doubtful cases which the delegates elect to submit to higher authority for determination will be forwarded direct to the Deputy Chief of Staff for Logistics, Department of the Army, Attn: Chief, Contracts Branch (with copy to the Head of the Procuring Activity concerned), and shall include, in addition to the supporting data required, the contracting officer's statement of findings and recommendations as called for by § 2.405-2 (e) (5) of this title, in triplicate, as well as a clear statement that an award has not been made.

(c) Where it is known or apparent that resolution of the matter cannot be accomplished prior to expiration of the bid acceptance time, the contracting officer will seek appropriate extensions of bid acceptance periods from the bidder alleging the mistake and any other bidders whose bids are within the zone of consideration.

(d) Where circumstances require such prompt action as to preclude transmittal of the case by mail, contracting officers will use telegraphic, telephonic, or radio means of communicating with the appropriate higher authority, furnishing, so far as possible, the information called for by § 2.405-2 (e) of this title.

(e) Notice to contracting officers of determinations made by higher authority and instructions based thereon will be issued by the head of a technical service when so authorized, or by the Deputy Chief of Staff for Logistics (Chief, Contracts Branch), to the Head of the Procuring Activity, except that in the latter instance contracting officers may be notified direct in cases requiring expeditious action and the Head of the Procuring Activity notified simultaneously.

CODIFICATION: $ 591.405-2 was added, 20 F. R. 3505, May 19, 1955, and revised, 23 F. R. 6104, Aug. 9, 1958.

§ 591.405-3 Disclosure of mistakes after award. (a) Where a mistake in bid or proposal is alleged or disclosed after award, the case shall be forwarded through channels to the head of the procuring activity concerned and shall include the following information:

(1) The data listed in § 2.405-2 (e) (1) to (4) of this title;

(2) A copy of the quotation or proposal, submitted by the contractor, where the procurement was negotiated, in lieu

of the invitation for bids specified in § 2.405-2 (e) (2) of this title;

(3) A copy of the contract and any change orders or supplemental agreements thereto; and

(4) A signed statement by the contracting officer (i) describing the supplies or services involved, (ii) specifying how and when the mistake was alleged or disclosed, (iii) summarizing the evidence submitted by the contractor and any additional evidence considered pertinent, (iv) stating, in cases where only one bid or proposal was received, the most recent contract price for the supplies or services involved, or in the absence of a recent contract for the item, the contracting officer's estimate of a fair price for the item, (v) setting forth his opinion whether a bona fide mistake was made and whether he was, or should have been, on constructive notice of any error in the bid or proposal prior to the award, together with the reasons for or data in support of such opinion (vi) setting forth his recommendation in the matter and the basis therefor, and (vii) disclosing the status of performance and payments under the contract including contemplated performance and payments, if applicable.

(b) Heads of procuring activities are authorized, without power of redelegation of such authority, to rescind or reform contracts provided that:

(1) In the case of a contract to be rescinded in its entirety, the original contract price does not exceed $500.

(2) In reforming a procurement contract, (i) a resultant deletion of an item from the contract does not reduce the original contract price by more than $500 or (ii) a resultant increase in price does not exceed $500, or the price of the next higher bid or proposal for the item of supplies or services concerned if such a higher bid or proposal was submitted:

(3) In reforming a sales contract, (i) a resultant deletion of an item from the contract does not reduce the original contract price by more than $500 or (ii) a resultant decrease in price does not exceed $500 or the price of the next lower bid or proposal for the item of supplies or services concerned if such a lower bid or proposal was submitted; and

(4) The Head of the Procuring Activity concerned finds that the evidence is clear and convincing that a mistake in bid or proposal was made by the con

tractor, that the mistake was mutual or that the contracting officer was or should have been on constructive notice of the error prior to award, and determines that the contract price should be increased in a procurement contract, or decreased in a sales contract, or that the contract or the item of supplies or services involved in the error should be rescinded. [23 F. R. 6104, Aug. 9, 1958]

Prior Amendments

1955: 20 F. R. 3506, May 19. 1956: 21 F. R. 244, Jan. 12.

§ 591.405-50 Distribution of administrative determinations and Comptroller General decisions-(a) To the Deputy Chief of Staff for Logistics, Department of the Army. (1) The Chief of Engineers, the Chief of Ordnance, and the Quartermaster General will furnish to the Chief, Contracts Branch, Office of the Deputy Chief of Staff for Logistics, by the 10th of each month the following information relative to each administrative determination made during the preceding calendar month under the delegation of authority referred to in § 591.405-2 (a): (i) Copy of the Contracting Officer's statement described in § 2.405-2 (e) (5) of this title; (ii) copy of the determination referred to in § 2.405-2 (a) of this title; and (iii) such additional data as are material to the determination.

(2) Heads of Procuring Activities will furnish to the Chief, Contracts Branch, Office of the Deputy Chief of Staff for Logistics, by the 10th of each month the following information relative to each administrative determination made during the preceding calendar month under the delegation of authority referred to in § 591.405-3 (b): (i) Copy of the Contracting Officer's statement described in § 591.405-3 (a) (2); (ii) copy of the determination referred to in § 591.405-3 (b) (2); and (iii) such additional data as are material to the determination.

(b) To Disbursing Officer. The Contracting Officer will furnish a copy of the administrative determination, or a copy of the decision of the Comptroller General, if any, respecting a mistake in bid, to the Disbursing Officer to support any payment made or to be made by him.

(c) To General Accounting Office with Standard Form 1036. (§ 591.406-5.)

(d) To contract files. (§ 591.203 and § 592.308 of this subchapter.)

[22 F. R. 3174, May 4, 1957]

Prior Amendments

1955: 20 F. R. 3506, May 19. 1956: 21 F. R. 4275, June 19.

§ 591.405-51 Title II of the First War Powers Act, 1941. Mistake in bid cases processed under authority of Title II of the First War Powers Act, 1941, as amended, will be governed by Subpart D, Part 606 of this subchapter. [20 F. R. 3506, May 19, 1955]

§ 591.407 Information to bidders(a) Unclassified awards. In the case of all unclassified formally advertised contracts, the purchasing office will notify unsuccessful bidders of the fact that their bids were not accepted, and extend the appreciation of the purchasing office for the interest the unsuccessful bidder has shown in submitting a bid. Should additional information be sought, purchasing offices will either provide the unsuccessful bidder with the name and address of the successful bidder, together with the contract price, or inform the inquirer that a copy of the Abstract of Bids is available for inspection at the purchasing office or at the Procurement Information Center, Office of the Deputy Chief of Staff for Logistics, Department of the Army, Old Post Office Building, Twelfth Street and Pennsylvania Avenue, NW., Washington 25, D. C., in the event this latter location is more convenient from a geographical viewpoint than the purchasing office. (§ 591.450 (c).) [Paragraph (a) amended, 22 F. R. 3174, May 4, 1957]

contra

§ 591.408 Synopses of contract awards.

[20 F. R. 3506, May 19, 1955]

§ 591.408-1 Statement of policy. [Added, 20 F. R. 3506, May 19, 1955; revoked, 20 F. R. 5486, Aug. 2, 1955]

§ 591.408-2 Preparation and transmittal of synopsis. [Added, 20 F. R. 3506, May 19, 1955; revoked, 20 F. R. 5486, Aug. 2, 1955]

§ 591.408-50 Preparation and transmittal of synopsis. (a) Purchasing offices shall prepare and forward single copies of synopses of contract awards, using the same format as synopses of proposed procurements, § 591.206-50, to the address below, by air mail, before the close of business at the end of each week.

U. S. Department of Commerce 433 West Van Buren Street Room 1300

Chicago 7, Illinois

(b) Synopses of contract awards shall contain the following information:

(1) The name and address of purchasing office;

(2) A clear and concise description of the supplies or services being procured, sufficient for understanding by interested persons, which will include, as appropriate, abbreviations, commonly used names of supply items, basic materials from which fabricated, general size or dimensions, citation to specification or drawing number, or other identifying data, such description to be followed by the contract number and, in parentheses, by the applicable number of the invitation for bids or request for proposals; (3) The quantity of items;

(4) The dollar amount of the award; (5) The name and full address of the Contractor; and

(6) When requested by the Prime Contractor, a statement of industries, crafts, processes, or component items in or for which subcontracts are available and subcontractors are desired, in substantially the following form: "Prime Contractor has subcontract work for the following: (insert the applicable industries, crafts, processes, or component items), and desires that subcontractors be located in (insert the general area, if any, indicated by the Prime Contractor, such as Southeast States, West Coast, New England, etc.)"

(c) In addition to the addresses specified in paragraph (a) of this section, one copy of the synopsis will be forwarded by mail to the Procurement Information Center, Office of the Deputy Chief of Staff for Logistics, Department of the Army, Old Post Office Building, Twelfth and Pennsylvania Avenue NW., Washington 25, D. C.

[20 F. R. 5486, Aug. 2, 1955]

§ 591.452 Protest. Protests or objections, raised at any time by any party having a legitimate interest, to actions taken or to be taken by a Contracting Officer in connection with a particular procurement, will be processed in accordance with the following instructions:

(a) Where a protest is made prior to making an award, the award will not be made pending resolution of the protest, except that awards may be made in such cases where the items to be procured are urgently required, delivery will be unduly delayed by failure to make award promptly, or it is otherwise in the best interest of the Government. The Contracting Officer will document the contract file in sufficient detail to substantiate the need for an immediate award, and will advise the protesting party in writing of such decision to proceed.

(b) Every effort will be made to resolve protests at the lowest possible level. However, if in the opinion of the Contracting Officer, or higher echelons, it is considered desirable and in the best interests of the Government, the protest will be submitted to higher authority for resolution.

(c) Where the person making the protest has indicated he intends to carry the protest to a certain higher level of authority, the Contracting Officer will submit the protest, through channels, to the indicated level of authority for final resolution.

(d) Where a protest affects another bidder, a contractor, or any other party having a legitimate interest, the Contracting Officer normally will give prompt notice of the protest to such parties in order that they may take appropriate action on their own behalf. The extent of the information to be furnished to affected parties will require exercise of judgment on a case by case basis, giving due weight to salient aspects of the particular matter. These aspects may include, but are not necessarily limited to, legal considerations, the interest of the Government, equitable consideration for the interests of affected parties, and mitigation of losses or other injuries to

any and all parties concerned. It must be emphasized to the recipients of such a notice of protest that the notice in no way relieves them of any obligations, under a contract or otherwise, but is primarily intended to afford them a fair opportunity to be heard by, and to present evidence for the consideration of, the agency which will render a decision in the case.

(e) Protests submitted for final resolution to levels of authority higher than the head of a Procuring Activity will be forwarded to the Deputy Chief of Staff for Logistics, Department of the Army, ATTN: Chief, Contracts Branch.

(f) In submitting protests to higher authority, the Contracting Officer will forward a completely documented case, including the following:

(1) A signed statement from the person making the protest setting forth the complete facts on which the protest is based together with any additional supporting evidence.

(2) A signed statement, when relevant, from other persons or bidders affected by or involved in the protest, setting forth the complete facts with respect to their position in the matter, together with any additional supporting evidence.

(3) A copy of the bid of the protesting bidder and a copy of the bid of the bidder to whom award has been made or who is being considered for the award, if relevant to the protest.

(4) A copy of the invitation for bids including, where practicable, pertinent specifications, if relevant to the protest.

(5) A copy of the abstract of bids. (6) Any other documents which are relevant to the protest.

(7) A signed statement from the Contracting Officer setting forth his findings, actions, and recommendations in the matter, together with any additional information and evidence deemed to be necessary in determining the validity of the protest.

(g) Protest cases submitted by Contracting Officers to higher levels of authority for forwarding to the Chief, Contracts Branch, Office of the Deputy Chief of Staff for Logistics, Department of the Army, will contain the recommendations of such intervening levels of authority through which the protest is transmitted.

(h) Protests filed with echeions of a Procuring Activity other than the Con