08-003380BID
Spinella Enterprises, Inc. vs.
Department Of Environmental Protection
Status: Closed
Recommended Order on Thursday, October 2, 2008.
Recommended Order on Thursday, October 2, 2008.
1STATE OF FLORIDA
4DIVISION OF ADMINISTRATIVE HEARINGS
8SPINELLA ENTERPRISES, INC., )
12)
13Petitioner, )
15)
16vs. ) Case No. 08-3380BID
21)
22DEPARTMENT OF ENVIRONMENTAL )
26PROTECTION, )
28)
29Respondent. )
31)
32RECOMMENDED ORDER
34This case came before Administrative Law Judge John G.
43Van Laningham for final hearing by video teleconference on
52August 7, 2008, at sites in Tallahassee and Lauderdale Lakes,
62Florida.
63APPEARANCES
64For Petitioner: Cas Spinella
68Spinella Enterprises, Inc.
712016 Sacramento
73Weston, Florida 33326
76For Respondent: Suzanne B. Brantley, Esquire
82Department of Environmental Protection
86The Douglas Building, Mail Station 35
923900 Commonwealth Boulevard
95Tallahassee, Florida 32399-3000
98STATEMENT OF THE ISSUE
102The issue in this bid protest is whether Respondent acted arbitrarily when it decided to reject all of the bids it had
124received in response to a solicitation seeking bids on a contract
135for roof repairs.
138PRELIMINARY STATEMENT
140On January 10, 2008, the Florida Department of Environmental
149Protection issued an Invitation to Bid, which sought competitive
158bids from roofing contractors interested in performing roof
166repairs on several buildings located in a state park. After
176opening the bids on February 12, 2008, the Department determined
186that Petitioner Spinella Enterprises, Inc., had quoted the lowest
195price for the work. A notice of intent to award a contract to
208Spinella Enterprises was posted on February 19, 2008.
216Thereafter, a disappointed bidder initiated a protest. On
224May 16, 2008, while this first protest was pending, the
234Department gave notice of its intent to reject all bids and start
246over. Spinella Enterprises timely protested the decision to
254abort the instant procurement.
258The Department referred the matter to the Division of
267Administrative Hearings ("DOAH") on July 10, 2008. The final
278hearing took place as scheduled on August 7, 2008. At the
289hearing, Spinella Enterprises presented the testimony of its
297president, Cas Spinella, and offered Petitioner's Exhibits 1 and
3062, which were received in evidence. During its case, the
316Department called Michael Renard, the project administrator, as a
325witness. The Department also offered Respondent's Exhibits 1-3,
3335-8, and 10, which were admitted.
339The final hearing transcript was filed on September 4, 2008.
349The Department timely filed a Proposed Recommended Order ahead of
359the established deadline, which was September 15, 2008. Spinella
368Enterprises did not submit a Proposed Recommended Order.
376Unless otherwise indicated, citations to the Florida
383Statutes refer to the 2008 Florida Statutes.
390FINDINGS OF FACT
3931. On January 10, 2008, the Florida Department of
402Environmental Protection (the "Department" or "DEP") issued an
411Invitation to Bid (the "ITB"), the purpose of which was to
423solicit competitive bids from qualified contractors on a project
432whose scope of work envisioned repairs to the wind-damaged roofs
442of several buildings located on the grounds of the Hugh Taylor
453Birch State Park in Fort Lauderdale, Florida.
4602. Some of the buildings to be repaired were single-family
470residences. Work on these structures accordingly needed to
478conform to the requirements prescribed in the 2007 Manual of
488Hurricane Mitigation Retrofits for Existing Site-Built Single
495Family Residential Structures (the "Manual"), which the Florida
504Building Commission (the "Commission"), following an explicit
512legislative directive, see Section 553.844(3), Florida Statutes, 1
520recently had adopted, by incorporative reference, as a rule. See
530Fla. Admin. Code R. 9B-3.0475 (2007). 2 The Rule had taken effect
542on November 14, 2007, giving the Manual's contents the same
552status and force as the Florida Building Code. Id.
5613. Just before the Department issued the ITB, the
570Commission had approved, at a meeting on January 8, 2008, a
581modified version of the Manual, which it called the 2007 Manual
592of Hurricane Mitigation Retrofits for Existing Site-Built Single
600Family Residential Structures, Version 2 (the "Revised Manual").
6094. In consequence of the Commission's approval of the
618Revised Manual, the Florida Department of Community Affairs
626("DCA") caused a Notice of Proposed Rule Development to be
638published on January 25, 2008, in the Florida Administrative
647Weekly . This official advertisement announced that the
655Commission intended to amend Rule 9B-3.0475, so that its
664incorporative reference would mention the Revision Manual instead
672of the Manual. See 34 Fla. Admin. W. 461-62 (Jan. 25, 2008). 3
6855. DCA caused a Notice of Proposed Rule respecting the
695intended revision of Rule 9B-3.0475 to be published on
704February 1, 2008, in the Florida Administrative Weekly . See 34
715Fla. Admin. W. 605 (Feb. 1, 2008). 4
7236. On February 5, 2008, the Department issued Addendum
732No. 4 to the ITB (the "Addendum"). The Addendum provided in
744pertinent part as follows:
748Bidders shall bid the project as specified
755despite the recent change in Rule 9B-3.0475
762relating to hurricane mitigation retrofits.
767Any additional water barrier will be
773accomplished by Change Order after award of
780the contract.
782(The foregoing provisions of the Addendum will be referred to
792hereinafter as the "Directive").
7977. On February 12, 2008, the Department opened the bids it
808had received in response to the ITB. Ten (out of 12) of the bids
822submitted were deemed responsive. The bid of Petitioner Spinella
831Enterprises, Inc. ("Spinella") was one of the acceptable bids.
8428. On February 19, 2008, DEP posted notice of its intent to
854award a contract to the lowest bidder, namely Spinella, which had
865offered to perform the work for $94,150.
8739. The second lowest bidder was The Bookhardt Group
882("Bookhardt"). Bookhardt timely protested the intended award,
891raising several objections, only one of which is relevant here.
901In its formal written protest, dated March 3, 2008, Bookhardt
911alleged that "[t]he new State of Florida law F.S. 553.844 was not
923part of the solicitation."
92710. On April 4, 2008, Rule 9B-3.0475, as amended to
937incorporate by reference the Revised Manual, took effect. See
946Fla. Admin. Code R. 9B-3.0475 (2008).
95211. On May 16, 2008, DEP posted notice of its intent to
964reject all bids received in response to the ITB. (Bookhardt's
974protest, which remained pending, had never been referred to DOAH
984for a formal hearing.) Spinella timely protested the
992Department's decision to reject all bids.
99812. In an email sent to Spinella on July 22, 2008, DEP's
1010counsel explained the rationale behind the decision:
1017The reason the Department rejected all bids
1024follows. When the Department posted the
1030notice of intent to award the contract to
1038Spinella Enterprises, Inc., the second low
1044bidder (Bookhardt Roofing) protested the
1049intent to award. The second low bidder's
1056basis for protesting the intended award was
1063that Addendum 4 directed bidders to ignore
1070certain rules of the Construction Industry
1076Licensing Board [ sic ], which had become
1084effective after the bid opening, which was
1091not in accordance with the law. As a result,
1100this may have caused confusion and the
1107Department had no assurance that bidders were
1114bidding the project correctly. In addition,
1120the statement in Addendum 4 that the
1127Department would add the required moisture
1133barrier afterward by change order set up a
1141situation where bidders had no idea how much
1149the Department would be willing to pay for
1157the change order. Further, the moisture
1163barrier was not the only thing required by
1171the new rules. Potential bidders may not
1178have bid due to these uncertainties. The
1185Department agreed with Bookhardt's assertions
1190and rejected all bids . . . .
119813. Notwithstanding Spinella's protest, the Department
1204issued a second invitation to bid on the project in question. As
1216of the final hearing, the bids received in response to this
1227second solicitation were scheduled to be opened on August 12,
12372008.
1238Ultimate Factual Determinations
124114. The Department's decision to reject all bids is
1250premised, ultimately, on the notion that the Directive told
1259prospective bidders to ignore an applicable rule in preparing
1268their respective bids. 5 If this were true, then the Directive
1279could have been a source of potential confusion, as the
1289Department argues, because a prudent bidder might reasonably
1297hesitate to quote a price based on (possibly) legally deficient
1307specifications.
130815. The Directive, however, did not instruct bidders to
1317ignore an applicable, existing rule. Rather, under any
1325reasonable interpretation, it instructed bidders to ignore a
1333proposed rule and follow existing law. Such an instruction was
1343neither confusing nor inappropriate.
134716. To be sure, the first sentence of the Directiveat
1357least when read literallymisstated a fact. It did so by
1367expressing an underlying assumption, i.e. that Rule 9B-3.0475
1375recently had been changed, which was incorrect. In fact, as of
1386February 5, 2008, the Rule was exactly the same as it had always
1399been. (It would remain that way for the next two months, until
1411April 6, 2008). 6 DEP's misstatement about the Rule might,
1421conceivably, have confused a potential bidder, at least
1429momentarily. But DEP did not factor the potential for such
1439confusion into its decision to reject all bids, and no evidence
1450of any confusion in this regard was offered at hearing. 7
146117. More important is that the unambiguous thrust of the
1471Directive was to tell bidders to rely upon the "not recently
1482changed" Rule 9B-3.0475, which could only have meant Florida
1491Administrative Code Rule 9B-3.0475 (2007) as originally adopted,
1499because that was the one and only version of the Rule which, to
1512that point, had ever existed. Thus, even if the Department were
1523operating under the mistaken belief, when it issued the Addendum,
1533that Rule 9B-3.0475 recently had been amended; and even if, as a
1545result, DEP thought it was telling prospective bidders to ignore
1555an applicable , existing rule, DEP nevertheless made clear its
1564intention that prospective bidders follow the original Rule 9B-
15733.0475, which was in fact the operative Rule at the time, whether
1585or not DEP knew it.
159018. Indeed, as any reasonable potential bidder knew or
1599should have known at the time of the Addendum, (a) the Commission
1611recently had approved the Revised Manual, but the contents
1620thereof would not have the force and effect of law unless and
1632until the Revised Manual were adopted as a rule, which had not
1644yet happened; (b) the Commission had initiated rulemaking to
1653amend Rule 9B-3.0475 so as to adopt the Revised Manual as a rule,
1666but the process was pending, not complete ; (c) Rule 9B-3.0475 had
1677not been amended, ever; and, therefore, (d) the Manual still had
1688the force and effect of law. See endnote 6. The Directive
1699obviously could not alter or affect these objective facts.
170819. At bottom, then, a reasonable bidder, reviewing the
1717Directive, would (or should) have concluded either (a) that the
"1727recent change" which DEP had in mind was the Commission's
1737approval of the Revised Manual (or the subsequent announcement of
1747the proposed amendment to Rule 9B-3.0475) or (b) that DEP
1757mistakenly believed the Rule had been changed, even though it had
1768not been. Either way, a reasonable bidder would (or should) have
1779known that the Department wanted bidders to prepare their
1788respective bids based not on the Revised Manual, but the Manual.
1799In other words, regardless of what DEP subjectively thought was
1809the existing law, DEP clearly intended (and unambiguously
1817expressed its intent) that bidders follow what was, in fact,
1827existing law. This could not have confused a reasonable bidder
1837because, absent an instruction to exceed the minimum required
1846legal standards (which the Directive was not), a reasonable
1855bidder would have followed existing law in preparing its bid,
1865just as the Directive required.
187020. Once it is determined that the Directive did not, in
1881fact, instruct bidders to ignore an applicable, existing law, but
1891rather told them to rely upon the applicable, existing law
1901(notwithstanding that such law might change in the foreseeable
1910future), the logic underlying the Department's decision to reject
1919all bids unravels. Simply put, there is no genuine basis in
1930logic or fact for concluding that the Addendum caused confusion.
194021. The other grounds that DEP has put forward do not hold
1952water either. Contrary to the Department's contention, the
1960possibility that a Change Order would be necessary if an
"1970additional water barrier" were required could not possibly have
1979confused potential bidders or caused them to be uncertain about
1989how much money the Department would be willing to pay for such
2001extra work. This is because Article 27 of the Construction
2011Contract prescribes the procedure for entering into a Change
2020Order, and it specifies the method for determining the price of
2031any extra work. See ITB at 102-05.
203822. The fact that the proposed amendment to Rule 9B-3.0475,
2048if it were to be adopted and become applicable to the instant
2060project, might require other additional work, besides a water
2069barrier, likewise could not reasonably have caused potential
2077bidders to refrain from bidding, for the same reason: The
2087Construction Contract contains explicit provisions which deal
2094with the contingency of extra work or changes in the work. Id.
210623. In sum, DEP's intended decision to reject all bids
2116cannot be justified by any analysis that a reasonable person
2126would use to reach a decision of similar importance. It is,
2137therefore, arbitrary.
2139CONCLUSIONS OF LAW
214224. DOAH has personal and subject matter jurisdiction in
2151this proceeding pursuant to Sections 120.569 and 120.57(1),
2159Florida Statutes, and the parties have standing.
216625. Section 120.57(3)(f), Florida Statutes, provides that
2173in a proceeding brought to protest the intended rejection of all
2184competitive proposals, the standard of review shall be whether
2193the proposed agency action is "illegal, arbitrary, dishonest or
2202fraudulent." This standard derives from Department of Transp. v.
2211Groves-Watkins Constructors , 530 So. 2d 912, 914 (Fla. 1988), a
2221case in which the Florida Supreme Court held that the
2231administrative law judge's "sole responsibility [in reviewing a
2239decision to reject all bids] is to ascertain whether the agency
2250acted fraudulently, arbitrarily, illegally or dishonestly." (The
2257parties here stipulated that the Department had not acted
2266fraudulently, illegally, or dishonestly, leaving only the
2273question of whether the Department's intended decision is
2281arbitrary.)
228226. The burden of proof rests with the party opposing the
2293proposed agency action. See State Contracting and Engineering
2301Corp. v. Department of Transp. , 709 So. 2d 607, 609 (Fla. 1st DCA
23141998). As the protesting party, Spinella must sustain its burden
2324of proof by a preponderance of the evidence. Department of
2334Transp. v. J.W.C. Co., Inc ., 396 So. 2d 778, 787 (Fla. 1st DCA
23481981).
234927. In Scientific Games, Inc. v. Dittler Brothers, Inc .,
2359586 So. 2d 1128, 1131 (Fla. 1st DCA 1991), the First District
2371Court of Appeal described the deference to be accorded an agency
2382in connection with a competitive procurement:
2388The Hearing Officer need not, in effect,
2395second guess the members of the evaluation
2402committee to determine whether he and/or
2408other reasonable and well-informed persons
2413might have reached a contrary result.
2419Rather, a "public body has wide discretion "
2426in the bidding process and "its discretion,
2433when based on an honest exercise" of the
2441discretion, should not be overturned "even if
2448it may appear erroneous and even if reasonable persons
2457may disagree."
2459(Citations omitted; emphasis in original).
246428. In Gulf Real Props., Inc. v. Department of Health and
2475Rehabilitative Servs. , 687 So. 2d 1336, 1338 (Fla. 1st DCA 1997),
2486the court upheld an agency's intended rejection of all bids,
2496stating that "an agency's rejection of all bids must stand,
2506absent a showing that the 'purpose or effect of the rejection is
2518to defeat the object and integrity of competitive bidding.'"
252729. An arbitrary decision is one that is not supported by
2538facts or logic, or is despotic. Agrico Chemical Co. v.
2548Department of Environmental Regulation , 365 So. 2d 759, 763 (Fla.
25581st DCA 1978). Under the arbitrary and capricious standard, "an
2568agency is to be subjected only to the most rudimentary command of
2580rationality. The reviewing court is not authorized to examine
2589whether the agency's empirical conclusions have support in
2597substantial evidence." Adam Smith Enterprises, Inc. v. State
2605Dep't of Environmental Regulation , 553 So. 2d 1260, 1273 (Fla.
26151st DCA 1989). Still,
2619the reviewing court must consider whether the
2626agency: (1) has considered all relevant
2632factors; (2) has given actual, good faith
2639consideration to those factors; and (3) has
2646used reason rather than whim to progress from
2654consideration of each of these factors to its
2662final decision.
2664Id.
266530. The second district has supplied the following test for
2675determining whether a decision was arbitrary: "If an
2683administrative decision is justifiable under any analysis that a
2692reasonable person would use to reach a decision of similar
2702importance, it would seem that the decision is neither arbitrary
2712nor capricious." Dravo Basic Materials Co., Inc. v. State Dep't
2722of Transportation , 602 So. 2d 632, 634 n.3 (Fla. 2d DCA 1992).
2734As the court observed, this "is usually a fact-intensive
2743determination." Id. at 634.
274731. To summarize, in reviewing an agency's intended
2755decision to reject all bids, the administrative law judge must
2765give substantial deference to the agency's determination, owing
2773to its wide discretion in procurement matters. There is an
2783appreciable difference, however, between according the respect
2790that deference entails and affixing the rubber stamp.
279832. As set forth in the preceding Findings of Fact, the
2809undersigned has determined as matter of ultimate fact that the
2819Department's intended decision is arbitrary. The rationale
2826behind this fact-intensive determination was given above. To the
2835extent any of the findings of fact herein are deemed to be legal
2848conclusions, such findings are hereby incorporated by reference
2856as if set forth in this Conclusions of Law section of the
2868Recommended Order and adopted as legal conclusions.
287533. The facts of this case call to mind Caber Systems, Inc.
2887v. Department of General Services , 530 So. 2d 325 (Fla. 1st DCA
28991988). In Caber , as here, the agency decided to reject all bids
2911after a disappointed bidder had protested the intended award.
2920Unlike this case, however, in Caber the administrative law judge
2930found, as a matter of fact, that the invitation to bid was
"2942seriously flawed in several respects." Id. at 331. Indeed, the
2952bid specifications were so ambiguous, a finding of fact was made
2963that the invitation to bid had failed clearly to reflect either
2974the agency's or anyone else's intent. Id. The court held that,
2985in view of the hopelessly ambiguous specifications, the agency's
2994rejection of all bids was neither arbitrary nor capricious, even
3004though the decision to pull the plug on the procurement had been
3016made while the first protest remained pending. Id. at 336.
302634. In the instant case, the Addendum was not confusing,
3036ambiguous, or fatally flawed. Rather, although the Directive, as
3045written, incorrectly suggested that there had been a recent
3054change in Rule 9B-3.0475 (when in fact there recently had been
3065published only a proposed amendment to the Rule), it nevertheless
3075clearly and plainly stated DEP's intent that bidders follow the
3085applicable, existing law. Caber , therefore, is distinguishable
3092on this basis and hence inapposite. 8
309935. One final issue remains to be discussed. At hearing,
3109DEP admitted that, notwithstanding Spinella's timely bid protest,
3117it already effectively had implemented its intended decision to
3126reject all bids by issuing another invitation to bid on the very
3138project at stake in this case; indeed, as of the final hearing,
3150bids submitted in response to the second solicitation were
3159expected to be opened within a matter of days. No evidence was
3171presented to establish that, before taking this action, the
3180agency head had set forth in writing particular facts and
3190circumstances demonstrating that the failure to proceed at once
3199with this procurement would present an immediate and serious
3208danger to the public. By pressing ahead with its efforts to let
3220the contract in question, DEP violated Section 120.57(3)(c),
3228Florida Statutes. 9
323136. As Spinella argued at hearing, the Department's actions
3240threaten to make unavailable the administrative relief to which
3249Spinella otherwise would be entitled if his protest were
3258successful, namely final agency action awarding Spinella the
3266subject contract. The unavailability of administrative relief
3273would not make this case moot, however, because there are
3283judicial remedies available, such as injunctive or other
3291equitable relief, reliance damages, and the recovery of protest
3300costs, to rectify the losses caused by DEP's wrongful denial of
3311Spinella's bid. See Miami-Dade County Sch. Bd. v. J. Ruiz School
3322Bus Serv., Inc. , 874 So. 2d 59 (Fla. 3d DCA 2004).
3333RECOMMENDATION
3334Based on the foregoing Findings of Fact and Conclusions of
3344Law, it is RECOMMENDED that the Department enter a final order
3355finding that its decision to reject all bids was arbitrary.
3365Because the Department elected not to comply with the statutory
3375directive to abate this procurement pending the outcome of
3384Spinella's protest, with the result that the contract at issue
3394possibly has been awarded already to another bidder; and because
3404the choice of remedies for invalid procurement actions is
3413ultimately within the agency's discretion, the undersigned
3420declines to make a recommendation regarding the means by which
3430DEP should rectify the harm to Spinella, but he urges that other
3442appropriate relief be granted if Spinella cannot be awarded the
3452contact.
3453DONE AND ENTERED this 2nd day of October, 2008, in
3463Tallahassee, Leon County, Florida.
3467___________________________________
3468JOHN G. VAN LANINGHAM
3472Administrative Law Judge
3475Division of Administrative Hearings
3479The DeSoto Building
34821230 Apalachee Parkway
3485Tallahassee, Florida 32399-3060
3488(850) 488-9675 SUNCOM 278-9675
3492Fax Filing (850) 921-6847
3496www.doah.state.fl.us
3497Filed with the Clerk of the
3503Division of Administrative Hearings
3507this 2nd day of October, 2008.
3513ENDNOTES
35141 / In pertinent part, the statute provides as follows:
3524[T]he Florida Building Commission shall
3529develop and adopt . . . measures [to
3537incorporate recognized mitigation techniques
3541for lessening the destructive effects of
3547hurricanes on site-built, single-family
3551residential structures constructed before the
3556implementation of the Florida Building Code]
3562by October 1, 2007, by rule separate from the
3571Florida Building Code, which take immediate
3577effect and shall incorporate such
3582requirements into the next edition of the
3589Florida Building Code.
3592§ 553.844(3), Fla. Stat.
35962 / Florida Administrative Code Rule 9B-3.0475 (2007) provided as
3606follows:
3607The 2007 Manual of Hurricane Mitigation
3613Retrofits for Existing Site-Built Single
3618Family Residential Structures is hereby
3623adopted by reference. The manual provides
3629requirements for construction in addition to
3635those contained in the Florida Building Code
3642as adopted by Rule 9B-3.047, F.A.C., that
3649shall be enforced as provided in the manual
3657and as required by Section 553.844, F.S. A
3665copy of the manual may be obtained from the
3674Florida Building Commissions website,
3678www.floridabuilding.org. If any person
3682encounters any difficulty utilizing the
3687website, assistance is available by calling
3693the Codes and Standards Unit at (850)487-
37001824.
37013 / The undersigned has taken official recognition of the public
3712announcement which appeared in the Florida Administrative Weekly .
37214 / The undersigned has taken official recognition of the public
3732notice which appeared in the Florida Administrative Weekly .
37415 / In her email of July 22, 2008, DEP's counsel asserted that
3754the Directive had instructed "bidders to ignore certain rules
3763. . . which had become effective after the bid opening, which was
3776not in accordance with the law." This statement implies that the
"3787certain rules" which were to be ignored were applicable rules
3797because, logically, there would be nothing problematic about
3805instructing bidders to ignore inapplicable rules. Yet, while the
3814statement acknowledges that the "certain rules" in question took
3823effect after the bid opening , it avoids mentioning that the
3833subject rules were, for that reason, not in effect (and thus not
3845applicable) at the time the Addendum was issued. The statement
3855thus seems designed to leave the impression that the Directive
3865referred to an applicable rule, even as it hints that such was
3877not the case.
3880Regardless, the Department's position makes sense only if
3888the Directive is understood as an instruction to ignore an
3898applicable, existing law. This is because, first, the Directive
3907actually told bidders (in so many words) to ignore the "recent
3918change in Rule 9B-3.0475"language which suggested that the
"3927recent change" was already in effect. Second, if the Department
3937had meant merely to instruct bidders, through the Directive, to
3947ignore the recently proposed (but currently ineffective)
3954amendment to Rule 9B-3.0475, such an instruction would have been
3964fully in accord with the law, and should not have been confusing
3976to any reasonable bidder, even if the Department believed that
3986the proposed amendment likely would become effective after the
3995bid opening. (It is, of course, easy to imagine scenarios in
4006which compliance with a proposed amendment to the building code
4016would be impermissible. Suppose, for example, the Revised Manual
4025promised to relax certain standards found in the Manual. In that
4036event, builders would continue to be required to meet the more
4047stringent standards contained in the Manual until such time as
4057the Revised Manual were adopted as a rule.) Therefore, the
4067Department needs for the Directive to be understood as an
4077instruction to ignore applicable , existing law if its rationale
4086for rejecting all bids is to be deemed coherent.
40956 / The law in this regard is clear and unambiguous. Section
4107120.54(1)(i)1., Fla. Stat. (2008), states:
4112A rule may incorporate material by reference
4119but only as the material exists on the date
4128the rule is adopted. For purposes of the
4136rule, changes in the material are not
4143effective unless the rule is amended to
4150incorporate the changes.
4153(Emphasis added.)
41557 / It is debatable, moreover, whether such confusion would have
4166been reasonable. Article 16 of the Construction Contract
4174required a bidder to represent that it was "fully informed with
4185regard to all applicable local, state, and federal laws,
4194ordinances, rules, regulations, and codes (the 'Laws') governing
4202the Work . . . ." See ITB at 90. Any bidder who made this
4217representation in good faith would have known that Rule 9B-3.0475
4227had not been "recently changed" as of February 5, 2008.
42378 / Because Caber is inapposite, the undersigned need not decide
4248here whether Caber should be revisited in light of subsequent
4258statutory changes. Of particular interest, however, is that,
4266some two years after Caber was decided, it became necessary to
4277bring a specifications protest within 72 hours after receipt of
4287the invitation to bidor be deemed to have waived the right to
4299do so. Legislation enacted in 1990 inserted the following
4308a protest of the specifications contained in an invitation to bid
4319or in a request for proposals, the notice of protest shall be
4331filed in writing within 72 hours after the receipt of notice of
4343the project plans and specifications or intended project plans
4352and specifications in an invitation to bid or request for
4362proposals, and the formal written protest shall be filed within
437210 days after the date the notice of protest is filed." Ch. 90-
4385302, Laws of Fla. This particular provision, which despite
4394undergoing some revisions over the years retains the same basic
4404meaning, is currently found in § 120.57(3)(b), Fla. Stat.
4413Given the requirement that specifications be protested
4420immediatelywhich was not the law at the time of Caber there is
4432now reason to view with some suspicion an agency's decision to
4443reject all bids on the basis of alleged problems with the
4454specifications when, as happened here, the purported deficiencies
4462have been brought to the agency's attention by the protest of a
4474disappointed bidder. The concern, of course, is that the agency
4484may have favored a preferred bidder by granting it relief on
4495grounds which the bidder, having failed to bring a timely
4505specifications protest, clearly had waived, and by doing so
4514effectively have circumvented the deadline that § 120.57(3)(b)
4522imposes.
45239 / Section 120.57(3)(c), Fla. Stat., states:
4530Upon receipt of the formal written protest
4537that has been timely filed, the agency shall
4545stop the solicitation or contract award
4551process until the subject of the protest is
4559resolved by final agency action, unless the
4566agency head sets forth in writing particular
4573facts and circumstances which require the
4579continuance of the solicitation or contract
4585award process without delay in order to avoid
4593an immediate and serious danger to the public
4601health, safety, or welfare.
4605COPIES FURNISHED :
4608Cas Spinella
4610Spinella Enterprises, Inc.
46132016 Sacramento
4615Weston, Florida 33326
4618Suzanne B. Brantley, Esquire
4622Department of Environmental Protection
4626The Douglas Building, Mail Station 35
46323900 Commonwealth Boulevard
4635Tallahassee, Florida 32399-3000
4638Michael W. Sole, Secretary
4642Department of Environmental Protection
4646The Douglas Building
46493900 Commonwealth Boulevard
4652Tallahassee, Florida 32399-3000
4655Tom Beason, General Counsel
4659Department of Environmental Protection
4663The Douglas Building, Mail Station 35
46693900 Commonwealth Boulevard
4672Tallahassee, Florida 32399-3000
4675Lea Crandall, Agency Clerk
4679Department of Environmental Protection
46833900 Commonwealth Boulevard
4686Mail Station 35
4689Tallahassee, Florida 32399-3000
4692NOTICE OF RIGHT TO SUBMIT EXCEPTIONS
4698All parties have the right to submit written exceptions within 10
4709days from the date of this Recommended Order. Any exceptions to
4720this Recommended Order should be filed with the agency that will
4731issue the Final Order in this case.
- Date
- Proceedings
- PDF:
- Date: 10/02/2008
- Proceedings: Recommended Order cover letter identifying the hearing record referred to the Agency.
- Date: 09/04/2008
- Proceedings: Transcript of Proceedings filed.
- Date: 08/07/2008
- Proceedings: CASE STATUS: Hearing Held.
- PDF:
- Date: 07/15/2008
- Proceedings: Notice of Hearing by Video Teleconference (hearing set for August 7, 2008; 9:00 a.m.; Lauderdale Lakes and Tallahassee, FL).
Case Information
- Judge:
- JOHN G. VAN LANINGHAM
- Date Filed:
- 07/14/2008
- Date Assignment:
- 07/14/2008
- Last Docket Entry:
- 11/04/2008
- Location:
- Lauderdale Lakes, Florida
- District:
- Southern
- Agency:
- ADOPTED IN TOTO
- Suffix:
- BID
Counsels
-
Suzanne B. Brantley, Esquire
Address of Record -
Cas Spinella
Address of Record