Section 3-122-194 - Identical bidding and price fixing(a) The term "identical bidding" means the submission by offerors of the same total price or the same price on a particular line item. The submission of identical offers may or may not signify the existence of collusion. In some instances, price controls imposed by state or federal governments result in the submission of identical offers. Identical offers for supplies are more likely to occur in the absence of collusion if: (1) The supply is a commodity with a well-established market price or a brand name with a "suggested retail price;"(2) The quantity being purchased is small in relation to the supplier's total sales;(3) Early delivery is required; or(4) Transportation expenses are low relative to total costs.(b) In seeking to determine whether collusion has taken place, the procurement officer should view the identical offers against present and past pricing policies of the bidders or offerors, the structure of the industry involved including comparisons of prices f.o.b. shipping point and f.o.b. destination, and the nature of the supply, service, or construction involved, as whether it is a basic chemical or metal. Identical offers may also result from resale price maintenance agreements which are described in section 3-122-83. Any other attempt by offerors to fix prices should also be reported.[Eff 12/15/95; comp 11/17/97; comp MAR 21 2008] (Auth: HRS § 103D-202) (Imp: HRS § 103D-319)