12-002870BID
Commercial Industrial Corporation vs.
Department Of Transportation
Status: Closed
Recommended Order on Tuesday, November 20, 2012.
Recommended Order on Tuesday, November 20, 2012.
1STATE OF FLORIDA
4DIVISION OF ADMINISTRATIVE HEARINGS
8COMMERCIAL INDUSTRIAL )
11CORPORATION , )
13)
14Petitioner , )
16)
17vs. ) Case No. 12 - 2870BID
24)
25DEPARTMENT OF TRANSPORTATION , )
29)
30Respondent . )
33)
34RECOMMENDED ORD ER
37Pursuant to notice, the final hearing was held in this case
48on September 28, 2012, in Tallahassee, Florida, before
56Administrative Law Judge Elizabeth W. McArthur of the Division of
66Administrative Hearings.
68APPEARANCES
69For Petitioner: Commercial Indust rial Corporation, pro se,
77b y its designated representative,
82Jay T. Blankenfeld, Vice - President
8811810 Northwest 115th Avenue
92Reddick, Florida 32686
95For Respondent: C. Denise Johnson, Esquire
101Department of Transportation
104Haydon Burns Building, Mail Station 58
110605 Suwannee Street
113Tallahassee, Florida 32399
116STATEMENT OF THE ISSUE
120The issue in this case is whether Respondent ' s intended
131decision to award a contract, challenged by Petitioner, is
140contrary to Responde nt ' s governing statutes, rules, policies, or
151the proposal specifications.
154PRELIMINARY STATEMENT
156The Department of Transportation (Department or Respondent)
163issued a request for proposals (RFP) for a " low bid design - build "
176project for the Daytona Avenue bri dge replacement in Volusia
186County, designated as procurement contract n o. E5R63 (the
195Project). On July 2, 2012, the Department posted notice of its
206intended decision to award a contract for the Project to Gregori
217Construction & Engineering, Inc (Gregori). A competing proposal
225submitted by Commercial Industrial Corporation (Commercial or
232Petitioner) was declared non - responsive.
238On July 3, 2012, Commercial timely filed a notice of protest
249pursuant to section 120.57(3), Florida Statutes (2012). 1/ On
258July 10 , 2012, Commercial timely filed a formal written protest,
268specifying the reasons for its challenge to the Department ' s
279decisions. Commercial protested the decision to declare its
287proposal non - responsive due to non - compliance with certain
298pre - qualification requirements, because Commercial asserted that
306this was a " minor informality " that the Department could have
316waived. Commercial also protested the contract award to Gregori.
325Commercial contended that the proposals of Gregori and a third
335bidder should ha ve been deemed non - responsive because the prices
347bid by these two bidders were higher than the " advertised not to
359exceed budget amount. "
362Following an unsuccessful attempted resolution meeting
368pursuant to section 120.57(3)(d)1., the Department referred
375Comm ercial ' s protest to the Division of Administrative Hearings .
387The final hearing was scheduled, and an O rder of P re - H earing
402I nstructions was entered to establish expedited pre - hearing
412procedures, including shortened discovery deadlines, necessitated
418by the accelerated statutory time - frames for bid protest
428proceedings.
429The Department served interrogatories and requests for
436admissions on Commercial. Pursuant to the expedited discovery
444schedule, Commercial was required to serve its responses and
453objections by delivery to the Department no later than
462September 19, 2012. This deadline was not met. The Department
472notified Commercial that its discovery responses were past due
481and allowed Commercial until noon on September 21, 2012, to
491respond. Commercial served answers to the Department ' s
500interrogatories by the extended deadline; however, Commercial did
508not serve written responses or objections to the requests for
518admissions.
519On September 24, 2012, the Department filed a motion to deem
530admitted the matters on whi ch admissions were requested. A
540telephonic motion hearing was conducted. Commercial was self -
549represented by its designated corporate representative, Jay T.
557Blankenfeld, v ice - p resident. Mr. Blankenfeld acknowledged that
567Commercial had received the reques ts for admissions. Although he
577apologized for not responding by the due date or by the extended
589due date, he offered no excuse to justify that omission. By
600O rder entered September 25, 2012, the Department ' s motion was
612granted, and the 19 paragraphs on wh ich admissions were requested
623were deemed admitted for purposes of this proceeding. 2/
632The parties filed a joint pre - hearing stipulation on
642September 27, 2012, in which they stipulated that the 19
652paragraphs in the Department ' s requests for admissions were
" 662admitted facts. " These admitted facts are incorporated in the
671findings of fact below. Notwithstanding the admitted facts,
679Commercial stated as its position that it considers its failure
689to meet the pre - qualification requirements to be a " minor
700informali ty, " considering the experience of the person who was
710not pre - qualified. Commercial also reiterated its position that
720the other two bidders should have been disqualified for their
730prices " exceeding the maximum budget amount. " In addition,
738Commercial asse rted a new position, contending that Gregori ' s
749proposal should have been disqualified for another reason besides
758the price. The Department objected to Commercial ' s attempt to
769inject a new issue, not pled in the formal written protest.
780At the outset of the final hearing, Commercial withdrew the
790new position it had attempted to raise in the joint pre - hearing
803stipulation. The parties offered Joint Exhibits 1 and 2, which
813were admitted in evidence. Petitioner presented the testimony of
822Mr. Blankenfeld, who w as allowed to testify in narrative form.
833Petitioner also was permitted to present testimony of the
842Department ' s representative, Alan Hyman, P.E., director of
851T ransportation O perations for the Department ' s District 5.
862Petitioner was permitted to offer Resp ondent ' s Exhibits 2 and
8746A through 6E, 3/ which were admitted in evidence.
883Respondent presented the testimony of Mr. Hyman and Michelle
892Sloan, procurement services manager s for District 5. Respondent
901did not offer any additional exhibits besides the two jo int
912exhibits and the two Respondent ' s Exhibits that were offered by
924Petitioner and admitted.
927The evidentiary record was closed at the end of the final
938hearing. The one - volume Transcript of the final hearing was
949filed on October 23, 2012. The parties time ly filed their
960Proposed Recommended Orders (PROs) by the deadline of November 2,
9702012. To the extent the PROs are based on the evidentiary record
982made at the final hearing, they have been considered in the
993preparation of this Recommended Order. 4/
999FINDING S OF FACT
1003Admitted Facts Per Joint Pre - Hearing Stipulation
10111. The Department advertised for proposals and bids for the
1021Project under procurement contract number E5R63.
10272. Commercial was a bidder on the Department ' s contract
1038E5R63 for the Project.
10423. Comm ercial reviewed the Department ' s advertisement for
1052proposals and bids for the Project.
10584. The Project consists of replacing the existing Daytona
1067Avenue Bridge (Bridge No.: 795502).
10725. The Project was advertised as a low bid design - build
1084Project.
10856. Comm ercial did not file a challenge to the
1095specifications for the Project.
10997. The advertisement for the Project included pre -
1108qualification requirements for design professionals and pre -
1116qualification work class requirements for the contractor.
11238. The adverti sement for the Project included requirements
1132for design professional services 8.1 and 8.2, Florida
1140Administrative Code Rule Chapter 14 - 75. 5/
11489. The bids and technical proposals for the Project were
1158due at the Department ' s District 5 offices by no later th an
11722:30 p.m., on June 18, 2012.
117810. Commercial submitted a technical proposal for the
1186Project in response to the advertisement for procurement E5R63.
119511. Commercial submitted a bid price for procurement E5R63.
120412. The technical proposal submitted by Com mercial for
1213procurement E5R63 did not contain a firm or individual
1222pre - qualified by the Department to perform work types 8.1 and
12348.2.
123513. District 5 representatives contacted Commercial and
1242sought to clarify who had been identified in Commercial ' s
1253technic al proposal to meet the pre - qualification requirements for
1264work types 8.1 and 8.2.
126914. Andrus Gaudet was identified in response to the inquiry
1279regarding who would satisfy work type 8.1 and 8.2 pre -
1290qualification requirements.
129215. As of June 18, 2012, Andr us Gaudet had not been pre -
1306qualified by the Department in work types 8.1 and 8.2 under rule
1318chapter 14 - 75.
132216. The Department determined that Commercial was non -
1331responsive based on its failure to include a firm or an
1342individual possessing the pre - qualific ation requirements in work
1352types 8.1 and 8.2 as advertised in the procurement solicitation.
136217. The advertisement states on page one that " all
1371qualification requirements must be met prior to the Response
1380Deadline. "
138118. The Department sent a letter to Com mercial that informs
1392all responding firms that in order to be considered for the
1403award, the team must be pre - qualified in the areas in the
1416advertisement.
141719. Commercial could not be considered for award of this
1427contract since it did not comply with the pr e - qualification
1439requirements.
1440Additional Findings of Fact
144420. The Department ' s advertisement summarized the key terms
1454for the Project, which included the following:
1461NOT TO EXCEED BUDGET AMOUNT OR MAXIMUM
1468BUDGET AMOUNT OR BUDGET AMOUNT*: $798,000
1475* Actu al commitment and final execution of
1483this contract is contingent upon an approved
1490legislative budget and availability of funds
1496ESTIMATED CONTRACT TIME: 300 Contract Days
1502SELECTION PROCEDURE: Low Bid Design - Build
1509RESPONSE REQUESTED: Fax Or der Form
1515STIPEND AMOUNT: No Stipend
1519PREQUALIFICATION REQUIREMENTS:
15211) CONTRACTOR - WORK CLASS REQUIREMENTS
1527Minor Bridges
15292) DESIGN - PROFESSIONAL SERVICES WORK TYPE
1536REQUIREMENTS
1537Major: 4.1.2 - Minor Bridge Design
1543Mino r: 3.1 -- Minor Highway Design
15504.1.1 -- Miscellaneous Structure
15547.1 -- Signing, Pavement Marking
1559and Channelization
15618.1 -- Control Surveying
15658.2 -- Design, Right of Way, and
1572Construct ion Surveying
15759.1 -- Soil Exploration
15799.2 -- Geotechnical Classification
1583Lab Testing
15859.3 -- Highway Materials Testing
15909.4.1 -- Standard Foundation
1594Studies
1595TECHNICAL QUESTIONS SHO ULD BE ADDRESSED TO:
1602http://www2.dot.state.fl.us/construction/bid
1603questionmain.asp .
160521. The selection procedure for a low bid design - build
1616p roject is that the Department ' s technical review committee
1627starts with the lowest price bidder and reviews that bid der ' s
1640technical proposal to determine if it meets the technical
1649requirements or if it is non - responsive. If the lowest bidder ' s
1663technical proposal is deemed non - responsive, the technical review
1673committee proceeds to review the technical proposal of the ne xt
1684lowest bidder. The technical proposals of other bidders are not
1694reviewed at all for responsiveness unless and until the committee
1704deems the lowest bidder ' s proposal non - responsive. The technical
1716review committee prepares its recommendations as to the
1724responsiveness of the proposals reviewed and identifies which
1732bidder, if any, should be deemed the lowest responsive bidder.
1742The technical review committee recommendations are then submitted
1750to the selection committee, which makes the final decision that
1760is posted as the Department ' s intended decision.
176922. Commercial submitted the lowest bid for the Project in
1779the amount of $780,000. Therefore, the technical review
1788committee began with a review of Commercial ' s technical proposal.
1799After that review, the technical review committee made the
1808following recommendation:
1810The Technical submitted by [Commercial] was
1816reviewed and is recommended as non -
1823responsive. [Commercial] did not identify
1828how the advertised prequalification
1832requirement on 8.1 - - Control Surveyin g
1840and 8.2 - - Design, Right of Way, and
1849Construction Surveying would be met within
1855their Technical.
185723. The technical review committee proceeded to the next
1866lowest bidder, Gregori, with a bid price of $817,500. Gregori ' s
1879technical proposal was reviewed and found to meet the technical
1889requirements for the Project. The technical review committee
1897recommended that Gregori be deemed the lowest responsive bidder.
190624. The decision to award the contract to Gregori was made
1917by the selection committee, which agreed with the technical
1926review committee ' s recommendations. Before making that
1934decision, the selection committee considered whether Gregori ' s
1943bid price was reasonable. The selection committee made the
1952judgment that Gregori ' s bid price, which exceeded the eng ineer ' s
1966estimate used to establish the budget amount by a relatively
1976small percentage, was reasonable.
198025. Funds for contracts must be provided for in the Work
1991Program. When an RFP is issued, the Department sets aside funds
2002in the Work Program in the est imated budget amount. Therefore,
2013in order for the selection committee to award a contract for a
2025bid price that exceeds the estimated budget amount, the
2034selection committee must get approval to fund the excess amount
2044in the Work Program. In this case, the selection committee
2054obtained approval to add $20,500 -- the amount by which Gregori ' s
2068bid price exceeded the advertised budget amount -- to the Work
2079Program.
208026. Commercial did not contend or attempt to prove that
2090Gregori ' s bid price was unreasonable. Inst ead, Commercial ' s
2102challenge to the intended contract award was that the Department
2112was required to reject the bid as non - responsive , because the
2124bid price exceeded what Commercial referred to as the
" 2133advertised not to exceed budget amount. " Thus, Commerci al ' s
2144challenge hinges on its characterization of the advertisement as
2153specifying a " not to exceed budget amount. " However, the actual
2163language in the advertisement was: " NOT TO EXCEED BUDGET AMOUNT
2173OR MAXIMUM AMOUNT OR BUDGET AMOUNT*: $798,000. " Commer cial was
2184unable to point to any statute, rule, or RFP specification that
2195narrowed the quoted language or that required the Department to
2205deem a proposal non - responsive solely because the bid price is
2217higher than the advertised budget amount. Without more, the
2226dollar amount identified in the advertisement cannot be
2234considered a " not to exceed budget amount. " Instead, the amount
2244was either a " not to exceed budget amount, " or a " maximum
2255amount, " or simply a " budget amount. "
226127. Commercial unsuccessfully att empted to prove that the
2270Department ' s prior practice was to declare non - responsive any
2282bids over the advertised budget amounts. To support its
2291position, Commercial relied on the Department ' s prior practice
2301in connection with an earlier solicitation for th e same bridge
2312replacement project, designated contract no. E5R48 (project
2319E5R48), which resulted in a Department decision to reject all
2329bids and re - advertise.
233428. The evidence established that the advertisement for
2342project E5R48 set forth a " NOT TO EXCE ED BUDGET AMOUNT OR
2354MAXIMUM BUDGET AMOUNT OR BUDGET AMOUNT " of $650,000. The
2364advertisement specified the same " PREQUALIFICATION REQUIREMENTS "
2370in the same work type categories as did the advertisement for
2381the Project at issue here.
238629. Potential bidders were given the opportunity to review
2395the RFP and submit questions to the Department. The questions
2405and answers were posted. One question/answer provided as
2413follows:
2414[Question:] The advertisement makes mention
2419of a Maximum Budget for the project. The
2427R FP is silent as to a Maximum Allowable Bid
2437for the project. Is the budget estimate
2444provided in the Advertisement a maximum bid
2451price and will our bid be non - responsive if
2461it is over that amount?
2466[Answer:] No.
246830. Technical proposals and bids were subm itted by two
2478bidders in response to the solicitation for project E5R48.
2487Following the same selection procedure as for the Project at
2497issue in this case, the technical review committee first
2506reviewed the technical proposal of the bidder with the lower
2516bid, which was in the amount of $798,000. The technical review
2528committee recommended as follows regarding the lower bidder:
2536The Technical submitted by United
2541Infrastructure Group was reviewed and is
2547recommended as non - responsive. United
2553Infrastructure Group did not identify how
2559the advertised prequalification requirement
2563on 9.3 - - Highway Materials Testing would be
2572met within their Technical.
257631. The technical review committee for project E5R48 did
2585not also recommend that the United Infrastructure Group ' s
2595pro posal be declared non - responsive for the additional reason
2606that its bid of $798,000 exceeded the advertised budget amount
2617of $650,000.
262032. The technical review committee for project E5R48 then
2629considered the other bidder ' s proposal, with a bid price of
2641$1 ,100,000. However, it did not proceed to review that bidder ' s
2655technical proposal for compliance with technical requirements,
2662for the following reason:
2666The Technical submitted by Superior
2671Construction Company has not been reviewed.
2677The bid submitted by Su perior Construction
2684Company is 69% over the Department ' s
2692advertised Budget Amount.
2695The Technical Review Committee recommends
2700rejecting all bids and readvertising this
2706project.
270733. The selection committee for project E5R48 agreed with
2716the technical revi ew committee ' s recommendations and made the
2727decision to reject all bids and re - advertise. The Department ' s
2740representative at the final hearing, who served on the selection
2750committees for both bid solicitation rounds for the Daytona
2759Avenue bridge replaceme nt project , confirmed that the selection
2768committee ' s decision to reject all bids for project E5R48 was
2780not based on a determination that the two bids were " non -
2792responsive " because the bid prices were higher than the
2801advertised budget amount. Instead, the lower bidder for project
2810E5R48 was deemed non - responsive for the same reason that
2821Commercial was deemed non - responsive in this case (non -
2832compliance with all pre - qualification requirements as of the
2842response due date); and the only other bidder proposed a p rice
2854that was found to be unreasonably high.
286134. The Department has the discretion to award contracts
2870when the amounts bid are higher than the advertised budget
2880amounts, absent an RFP specification to the contrary. In
2889deciding whether to exercise th at discretion, one factor the
2899Department considers is the magnitude by which the bid price
2909exceeds the advertised budget amount. For project E5R48, after
2918the low bidder was found non - responsive, the only other bid was
2931so much higher than the advertised bu dget that the Department
2942reasonably exercised its discretion to reject all bids and
2951re - advertise.
295435. When bids come in much higher than estimated for a
2965project, the Department will go back to review the engineer ' s
2977estimate from which the budgeted amount was derived to determine
2987if something needs to be changed in a re - advertisement, such as
3000clarification of the project terms, increase in the budget
3009amount, or both. In this case, the Department clarified the
3019P roject terms and increased its budget amount in the
3029re - advertisement of the Project (but not nearly to the level of
3042the very high bid that the Department refused to consider).
305236. The Department ' s exercise of discretion in the prior
3063solicitation round to not consider a bid exceeding the budgeted
3073am ount by 69 percent does not dictate that the Department reject
3085Gregori ' s bid as non - responsive. Instead, the Department ' s
3098prior practice was shown to be entirely consistent with the
3108Department ' s exercise of discretion in this case to consider
3119Gregori ' s bi d that was only three percent higher than the
3132advertised budget amount.
313537. Petitioner failed to prove any Department 's prior
3144practice of rejecting bids as non - responsive when they exceed
3155the advertised budget amount. The evidence showed otherwise.
316338. The evidence regarding project E5R48 also demonstrated
3171that the Department ' s prior practice has been to reject proposals
3183as non - responsive for failure to meet the advertised
3193pre - qualification requirements as of the response submission
3202deadline. That pri or practice is consistent with the
3211Department ' s decision to deem Commercial ' s proposal non -
3223responsive because the proposal failed to satisfy all of the
3233advertised pre - qualification requirements as of the response
3242submission deadline of June 18, 2012.
3248CONCL USIONS OF LAW
325239. The Division of Administrative Hearings has
3259jurisdiction over the parties and the subject matter of this
3269proceeding. §§ 120.569 and 120.57(3), Fla. Stat.
327640. Commercial's protest to the Department's proposed
3283contract award is governed by section 120.57(3)(f), which
3291provides as follows:
3294Unless otherwise provided by statute, the
3300burden of proof shall rest with the party
3308protesting the proposed agency action. In a
3315competitive - procurement protest, other than
3321a rejection of all bids, propos als, or
3329replies, the administrative law judge shall
3335conduct a de novo proceeding to determine
3342whether the agency's proposed action is
3348contrary to the agency's governing statutes,
3354the agency's rules or policies, or the
3361solicitation specifications. The stan dard
3366of proof for such proceedings shall be
3373whether the proposed agency action was
3379clearly erroneous, contrary to competition,
3384arbitrary, or capricious.
338741. The court in Colbert v. Dep artment of Health , 890
3398So. 2d 1165, 1166 (Fla. 1st DCA 2004), defined the clearly
3409erroneous standard to mean that "the interpretation will be
3418upheld if the agency's construction falls within the permissible
3427range of interpretations. If however, the agency's
3434interpretation conflicts with the plain and ordinary intent of
3443the law, judicial deference need not be given to it." (Citations
3454omitted.)
345542. An agency action is "contrary to competition" if it
3465unreasonably interferes with the purposes of competitive
3472procurement, which has been described in Wester v. Belote , 138
3482So. 7 21, 723 - 724 (Fla. 1931), as protecting the public against
3495collusive contracts and to secure fair competition upon equal
3504terms to all bidders.
350843. A capricious action has been defined as an action,
"3518which is taken without thought or reason or irrationally. "
3527Agrico Chemical Co. v. Dep't of Envtl . Reg . , 365 So . 2d 759, 763
3543(Fla. 1st DCA 1978), cert. denied , 376 So. 2d 74 (Fla. 1979).
"3555An arbitrary decision is one that is not supported by facts or
3567logic[.]" Id. The inquiry to be made in determining whether an
3578agency has acted in an arbitrary or capricious manner involves
3588consideration of "whether the agency: (1) has considered all
3597relevant factors; (2) has given actual, good faith consideration
3606to those factors; and (3) has used reason rather than whim to
3618progress from consideration of these factors to its final
3627decision." Adam Smith Enter prises v. Dep't of Env t l . Reg . , 553
3642So. 2d 1260, 1273 (Fla. 1st DCA 1989). The standard has also
3654been formulated by the court in Dravo Basic Materials Co. v.
3665Dep't of Tr ansp. , 602 So. 2d 632, 634 n.3 (Fla. 2d DCA 1992) , as
3680follows: "If an administrative decision is justifiable under any
3689analysis that a reasonable person would use to reach a decision
3700of similar importance, it would seem that the decision is neither
3711arbitr ary nor capricious."
371544. Although competitive - procurement protest proceedings
3722are described in section 120.57(3)(f) as de novo, courts
3731acknowledge that a different kind of de novo is contemplated than
3742for other substantial - interest proceedings under sec tion 120.57.
3752Competitive - procurement protest hearings are a "form of
3761intra - agency review[,]" in which the object is to evaluate the
3774action taken by the agency. State Contracting and Eng ' g Corp. v.
3787Dep't of Transp. , 709 So. 2d 607, 609 (Fla. 1st DCA 1998) .
380045. Applying these standards to this case, Commercial has
3809failed to meet its burden of proving that the Department's
3819intended contract award to Gregori is clearly erroneous,
3827arbitrary, capricious, or contrary to competition. Commercial
3834failed to demons trate that the Department's intended contract
3843award to Gregori is contrary to any statute, rule, policy, or RFP
3855specification.
385646. Commercial's protest hinges on its erroneous
3863characterization of the Department's advertisement for the
3870Project as stating a "not to exceed budget amount." Instead, as
3881found above, the advertisement set forth an amount that was
3891described in the alternative as either a "not to exceed budget
3902amount," or a "maximum amount," or simply a "budget amount."
391247. Commercial argued th at the Department had to treat the
3923budget amount in this RFP the same way it treated the budget
3935amount in the prior RFP issued for this same project for which
3947the Department decided not to award a contract. Commercial's
3956argument is the death knell to its protest. In the course of
3968that prior solicitation, the Department made clear in responding
3977to questions by the bidders that the advertised budget amount was
3988not a maximum amount and that bids exceeding the budgeted amount
3999would not be disqualified as non - responsive.
400748. The Department's witnesses reasonably explained that
4014while a proposed price exceeding the budgeted amount is not
4024automatically deemed non - responsive, the Department may conclude
4033that the degree to which the budgeted amount is exceeded is s o
4046high that the Department is unwilling to award the contract.
4056That is what happened in the prior solicitation round for this
4067Project: the only responsive bidder proposed a price that was
4077nearly twice as much as the budgeted amount.
408549. Contrary to Comm ercial's argument, the Department's
4093decision challenged here is entirely consistent with its actions
4102in connection with the prior RFP. Just as the Department
4112responded to a bidder's question then, the fact that Gregori's
4122bid price was higher than the budg eted amount did not mean that
4135Gregori's bid was non - responsive. Instead, it only meant that
4146the Department would take a closer look at the proposal compared
4157to its own budget estimate to determine whether the higher price
4168was reasonable. The Department r easonably exercised its
4176discretion to determine that Gregori's bid was reasonable, even
4185though it was higher than the budget amount. Commercial
4194presented no evidence to suggest that the Department's exercise
4203of discretion was arbitrary, capricious, clearl y erroneous, or
4212contrary to competition. Instead, Commercial's sole contention
4219was that the advertised amount had to be treated as a "not to
4232exceed" or "maximum" b id amount. This argument is rejected.
424250. Commercial admitted that its lower bid could not be
4252considered because Commercial failed to meet the advertised
4260pre - qualification requirements in two work - type categories by the
4272response due date of June 18, 2012. Commercial was on notice
4283that pre - qualification was required in all advertised work
4293categ ories by the response due date. The RFP specifications
4303confirmed that "[p]roposers are required to be pre - qualified in
4314all work types required for the project. " Commercial did not
4324challenge this RFP requirement and, thus, cannot challenge the
4333pre - qualifi cation mandate now. See § 120.57(3)(b) (" With respect
4345to a protest of the terms, conditions, and specifications
4354contained in a solicitation, . . . the notice of protest shall be
4367filed in writing within 72 hours after the posting of the
4378solicitation. "); ac cord RFP Protest Rights ("any person who is
4390adversely affected by the specifications contained in this [RFP]
4399must file a notice of intent to protest in writing within
4410seventy - two hours of the receipt of this [RFP].").
442151. The Department's determination that Commercial's bid
4428was non - responsive due to its failure to meet the pre -
4441qualification requirements in all advertised work categories was
4449not shown to be contrary to any statute, rule, policy, or RFP
4461specification, nor was it shown to be clearly erroneo us,
4471arbitrary, capricious, or contrary to competition.
447752. The Department's determination that Commercial's bid
4484was non - responsive was shown to be consistent with the
4495Department's prior practice. In the prior solicitation round for
4504the Daytona Avenue b ridge replacement, pro ject E5R48, the
4514Department determined that another bidder's bid was non -
4523responsive for the same reason that Commercial's bid was deemed
4533non - responsive in this case: failure to meet pre - qualification
4545requirements in all advertised wor k categories.
4552RECOMMENDATION
4553Based on the foregoing Findings of Fact and Conclusions of
4563Law, it is RECOMMENDED that a final order be entered by
4574Respondent, Department of Transportation, dismissing the formal
4581protest of Petitioner, Commercial Industrial C orporation.
4588DONE AND ENTERED this 20th day of November , 2012 , in
4598Tallahassee, Leon County, Florida.
4602S
4603ELIZABETH W. MCARTHUR
4606Administrative Law Judge
4609Division of Administrative Hearings
4613The DeSoto Building
46161230 Apalachee P arkway
4620Tallahassee, Florida 32399 - 3060
4625(850) 488 - 9675
4629Fax Filing (850) 921 - 6847
4635www.doah.state.fl.us
4636Filed with the Clerk of the
4642Division of Administrative Hearings
4646this 20th day of November , 2012 .
4653ENDNOTE S
46551/ All statutory references are to the Flor ida Statutes (2012).
46662/ Instead of offering a reason for not timely responding to the
4678requests for admissions, Mr. Blankenfeld said that Commercial had
4687no problem with the 19 paragraphs on which admissions were
4697requested. As explained to Mr. Blankenfeld , these admissions
4705included the ultimate fact in paragraph 19 that "Commercial could
4715not be considered for award of this contract since it did not
4727comply with the pre - qualification requirements." However, the
4736admissions did not cover the subject of Commer cial's separate
4746argument that the other two bidders' proposals should have been
4756deemed non - responsive based on prices exceeding the alleged "not
4767to exceed budget amount." Therefore, the undersigned explained
4775that Commercial would be permitted to present e vidence at the
4786final hearing regarding this part of its challenge, which was not
4797resolved by the admissions.
48013/ The Transcript's exhibit index identifies Exhibits 2 and 6 as
4812Petitioner's exhibits. While these exhibits were offered by
4820Petitioner, they w ere marked and received as Respondent's
4829exhibits.
48304/ Petitioner's PRO improperly proposed a finding of fact that
4840was based on an attached document. The document attached to
4850Petitioner's PRO was not offered in evidence at the final hearing
4861and , indeed, was not even in existence as of the final hearing.
4873As made clear at the conclusion of the hearing, the evidentiary
4884record was closed, and the undersigned would only consider
4893proposed findings of fact that had evidentiary support in the
4903record. See § 120. 57(1)(j), Fla. Stat. (" Findings of fact . . .
4917shall be based exclusively on the evidence of record[.]").
4927Therefore, the document attached to Petitioner's PRO has not been
4937considered and cannot be the basis for any F inding of F act.
49505/ Rule chapter 14 - 75 is entitled , "Qualification, Selection, and
4961Performance Evaluation Requirements for Professional Consultants
4967to Perform Work for [the Department]." The work - type categories
4978are codified in rule 14 - 75.0 0 3.
4987COPIES FURNISHED:
4989Ananth Prasad, Secretary
4992Dep artment of Transportation
4996Haydon Burns Building, Mail Station 57
5002605 Suwannee Street
5005Tallahassee, Florida 32399 - 0450
5010Gerald B. Curington, General Counsel
5015Department of Transportation
5018Haydon Burns Building, Mail Station 58
5024605 Suwannee Street
5027Tallahassee , Florida 32399 - 0450
5032Deanna Hurt, Clerk of Agency Proceedings
5038Department of Transportation
5041Haydon Burns Building, Mail Station 58
5047605 Suwannee Street
5050Tallahassee, Florida 32399 - 0450
5055C. Denise Johnson, Esquire
5059Department of Transportation
5062Haydon Burns B uilding, Mail Station 58
5069605 Suwannee Street
5072Tallahassee, Florida 32399
5075Jay Tyler Blankenfeld
5078Commercial Industrial Corp oration
508211810 Northwest 115th Avenue
5086Reddick, Florida 32686
5089NOTICE OF RIGHT TO SUBMIT EXCEPTIONS
5095All parties have the right to sub mit written exceptions within
51061 0 days from the date of this Recommended Order. Any exceptions
5118to this Recommended Order should be filed with the agency that
5129will issue the Final Order in this case.
- Date
- Proceedings
- PDF:
- Date: 11/28/2012
- Proceedings: Transmittal letter from Claudia Llado forwarding Respondent's Exhibits, which were not admitted into evidence to Respondent.
- PDF:
- Date: 11/20/2012
- Proceedings: Recommended Order (hearing held September 28, 2012). CASE CLOSED.
- PDF:
- Date: 11/20/2012
- Proceedings: Recommended Order cover letter identifying the hearing record referred to the Agency.
- PDF:
- Date: 11/02/2012
- Proceedings: Commercial Industrial Corporation Proposed Recommended Order filed.
- Date: 10/23/2012
- Proceedings: Transcript (not available for viewing) filed.
- Date: 09/28/2012
- Proceedings: CASE STATUS: Hearing Held.
- Date: 09/25/2012
- Proceedings: CASE STATUS: Motion Hearing Held.
- PDF:
- Date: 09/24/2012
- Proceedings: Notice of Telephonic Motion Hearing (motion hearing set for September 25, 2012; 1:15 p.m.).
- PDF:
- Date: 09/24/2012
- Proceedings: Motion to Declare As Admitted the Request for Admissions Propounded Upon Petitioner filed.
- PDF:
- Date: 09/14/2012
- Proceedings: Notice of Serving Respondent, Department of Transportation's, First Set of Interrogatories to Petitioner filed.
- PDF:
- Date: 08/30/2012
- Proceedings: Amended Notice of Hearing (hearing set for September 28, 2012; 9:30 a.m.; Tallahassee, FL; amended as to time of hearing).
Case Information
- Judge:
- ELIZABETH W. MCARTHUR
- Date Filed:
- 08/28/2012
- Date Assignment:
- 08/29/2012
- Last Docket Entry:
- 12/10/2012
- Location:
- Tallahassee, Florida
- District:
- Northern
- Agency:
- ADOPTED IN TOTO
- Suffix:
- BID
Counsels
-
Jay Tyler Blankenfeld
Address of Record -
C. Denise Johnson, Esquire
Address of Record -
C. Denise Johnson, Assistant General Counsel
Address of Record