OPA released its decision filed by RNV Construction (RNV), represented by its General Manager, from the denial of its protest by the Executive Director of the Commonwealth Utilities Corporation (CUC) regarding CUC-IFB-02-026.

CUC-IFB-02-026 (IFB) was a solicitation for sealed bids for the construction of a Beach Road Sewer System Upgrade (Part A: Southern System), that included the installation of approximately 10,500 linear feet of underground sewer mains and the upgrade of pump stations along Beach Road in the San Antonio area on Saipan.

By letter dated August 8, 2003, RNV filed an appeal with OPA. RNV claims that it is “appealing for a reconsideration of an award as CUC’s denial is unjust and uncalled for.” It further claims that “CUC’s contention for the bid security as the main reason for their rejection is already immaterial.” RNV asks OPA “for a reconsideration of an award as [it] honestly feel[s] that [it] is the lowest responsive bidder.”

OPA found:

1. Bid security is mandatory under CUC-PR §4-101(2) for construction procurement;
2. Rejection of a bid for failure to provide bid security is mandatory under CUC-PR §4-101(2)(c);
3. Pursuant to CUC-PR §3-102 (9)(b) an award in an invitation to bid is made only by presentation of a contract;
4. A Notice of Intent to Award is not a contract;
5. RNV was never awarded a contract under the IFB;
6. The time for acceptance expired under the IFB sixty days after bid opening;
7. CUC did not receive an extension from any of the bidders prior to expiration of the acceptance period and the acceptance period under the IFB expired;
8. RNV did not extend its time for acceptance of its original bid and specifically refused to do so; and,
9. RNV is ineligible for award under the IFB.

The Office of the Public Auditor, therefore, affirms the Decision of the Executive Director not to award the contract to RNV and denies RNV’s appeal.

View/download copy of the decision