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HomeMy WebLinkAbout1976-10-20 Board of Public Works Memo 7 Jh�i��Vno�ia eaCt`i �i��dccc�ucdeftd ���� �rce a��///Grrn tareer �1��aix1 �p ��I..F�ean'fiinanL �ivLtrGe+�n�z�i Jr+�rdfiried� _ eZevereFe �(�pptcc� �(�utpp�� �iaerrrona»t -Uereten 700 Toa�n�riil�e Jtw,et '40-1&1 mea October 20, 1976 H. Theodore Cohen, Esquire Tyler Reynolds & Craig One Boston Place Boston, Mass. 02108 RE: Sanitary Sewer Mains Reading, Mass. Dear Sir: We have reviewed the protest of DiIdartino Brothers Co. , Inc. against the Town of Reading concerning the above-mentioned project at a conference held at the Office of the General Counsel, Department of Labor and Industries on October 19, 1976. The basis of DiMartino' s protest is that he as General Contractor is seeking the return of his bid deposit and the Town of Reading seeks to retain it as liquidated damages due to the failure of DiMartino, the General Contractor, to do the work. Our standard of review in cases such as these are quite restricted. It is not our function to substitute the administrative judgement of the Department of Labor and Industries over that of the public awarding authority. It is the public owner who has the primary responsibility and legal obligation to make the determination as to who in their opinion is the low responsible and eligible bidder. We provide an overview . Historically, prior to 1961, the return of deposit section was limited to, "in case of death, disability or other unforseen circumstances" which might occur after the bid had been submitted, the juxta- position of the "bona fide clerical or mechanical error" clause be- fore it, expanded the term to errors of copying, transference or transcription, including mistakes of arithmetical computation which occur during the final stages of bid preparation. The main H. Theodore Cohen, Esquire October 20, 1976 Tyler Reynolds & Craig Page 2 object to be accomplished was to relieve contractors of the financial hardship resulting from inevitable errors which occur during the last minute calculations and compilations required by competitive bidding. Lincolm Sudbur Re Sch. D. Vs . Brand J. Jordan Corp. , 356 Mass . NE In the matter before us , the contractor did duly inform the Town of Reading of his inability to acquire a performance bond after con- tacting at least 8 bonding companies . It must be pointed out that the intent of this statute is to ascertain the lowest eligible and responsible bidder and not take advantage of a low bid when "un- foreseen circumstances" develop. Here the documentation presented by DiMartino indicates that an obvious "good faith" effort was made by him to obtain suitable bonding. It would seem that on consideration of all these circumstances that the entire bid deposit be returned to the contractor, and he not be penalized for being unable to attain sufficient bonding as mandated by law. Very truly yours , th %J4J s SEL cc: Attorney John M. Corcoran