Wednesday, June 18, 2014

Breaking News- Circuit Court Rules in Favor of City of Louisville on Bid Process

This morning (June 18) the Circuit Court ruled in favor of the City of Louisville after 2 cases were brought before the Court concerning the bid process for debris removal after the April 28 tornado.

In the first case, 4-D Construction and Southern Disaster Recovery claimed that the City was in breech by rescinding the contract initially agreed to between the parties on May 19. The following day after review, it was determined that the submitted proposal did not meet all the requirements of the request for proposals. The Judge ruled that the City's authorization to engage 4-D and SDR was subject to further review, that the City acted upon that review and the city's action was not capricious.

In the second case, DRC services claimed that the scoring process used to chose the contractor was arbitrary in terms of actual dollar amount of the contract. DRC attorney's indicated that their bid was $600,000 below the accepted bid but was scored in a similar manner. The city represented by Taylor Tucker indicated that price was one of 5 elements used in the scoring process and that actual cost of the debris removal was an unknown. Cost per ton of debris and type of debris dictate actual costs of the contract. The Court ruled that there was no evidence that the City acted in a capricious or arbitrary manner.