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CHAPTER 60 - BID OPENING - GATE 5
62.2 - Opening and Reviewing Bids.
In addition to the circumstances cited in the parent text, a bid is considered nonresponsive if:
1. The bid guarantee is in the form of a personal check. A personal check is not an
acceptable form included in item 8 of FS-2400-14 or paragraph 4 of FS-2400-42a.
2. The bid bond is not properly completed or does not include a Power of Attorney.
3. The blanket bid bond, if used, does not include a Certificate of Blanket Bid Bond
Allocation. See FSH 6509.11k, Service-wide Finance and Accounting Handbook.
In the case of tie bids, when opening of sealed bids is not followed by oral auction, a
determination must be made whether rejection of all bids is in the best interest of the
government.
1. If bids are rejected:
a. Do not allow further bidding between the equally highest or tied bidders.
b. Readvertise the offering at the highest bid price. Under no circumstances should
the readvertised rate be less than the previously advertised rate.
c. Readvertise for not less than 30 days.
2. If bids are not rejected:
a. The tied bidders must be congregated at the earliest possible time and lots drawn
to determine the highest bidder.
b. Do not use the alternative method described in the parent text. An equal division
of the sale among the tied bidders is not approved for use in Region 3.
62.3 - Oral Auction.
Oral auctions must be conducted by an individual trained in timber sale auctions. Some general
rules include:
1. Allow only the bidders on posted list of responsive bids to participate.
2. Describe the auction rules and review the conditions of sale before beginning the
auction. Answer questions or obtain assistance from other knowledgeable Forest Service
personnel. Suggested rules include:
a. Allow a 2-minute period after posting last bid for receipt of next bid. Close
bidding, if no bid received in time limit.
b. Announce remaining time not less than 15 seconds prior to expiration when time
limits between receiving bids are set.
c. Specify minimum raise, if any, on any species or species group, such as
increments of $0.05/MBF.
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d. Short recesses may be granted at the request of a bidder. They should not exceed
10 minutes.
3. If all bidders submitting qualifying sealed bids pass without exercising an oral bid,
announce the close of bidding. Announce the rejection of all bids or the exercising of the tie bid
procedure.
4. Oral bidding will be by species or species groups as shown in the advertisement and
bid form.
5. Accept no oral bid unless it results in a higher total than the previous bid. This is, the
highest money return when the price bid is multiplied by the volume estimated to be cut. Do not
consider unestimated species or products of material subject to agreement after award. If an
error is made, give the bidder an opportunity to correct the bid before proceeding.
6. Do not consider offers by bidder to change conditions of sale, even when it will be to
the advantage of the Government in determining the highest bid. However, an offer may
indicate the need to reject all bids and readvertise.
7. Maintain a written record of the auction proceedings, including information given to
bidders, questions from bidders with replies, discussions of contract provisions, and other
pertinent matters in connection with the sale.
8. Maintain a written record of bidding and publicly post as each bid is offered. The
record will show each bid by species or species group and the total amount bid. Computation
must be double-checked for accuracy by two individuals.
9. If a question on bids or bid procedure arises, the Bid Officer should call a recess and
contact a knowledgeable individual for advice.
10. At the close of the auction, the apparent high bidder shall be announced and required
to sign the bid form confirming the high bid. Block 8 of FS-2400-14 is a good place to sign
where it provides for "Confirmation of Oral Bid."
11. Return bid guarantees to unsuccessful bidders and obtain a receipt.