18-000371BID
Tallahassee Corporate Center, Llc vs.
Florida Fish And Wildlife Conservation Commission
Status: Closed
Recommended Order on Tuesday, March 27, 2018.
Recommended Order on Tuesday, March 27, 2018.
1STATE OF FLORIDA
4DIVISION OF ADMINISTRATIVE HEARINGS
8TALLAHASSEE CORPORATE CENTER,
11LLC,
12Petitioner,
13vs. Case No. 18 - 0371BID
19FLORIDA FISH AND WILDLIFE
23CONSERVATION COMMISSION,
25Respondent,
26and
27NATHAN LEE HEAD OF TALLAHASSEE,
32LLC,
33Intervenor.
34___________ ____________________/
36RECOMMENDED ORDER
38Pursuant to notice, a final hearing was held in this case
49on February 19 and 20, 2018 , in Tallahasse e, Flor ida, before
61Yolonda Y. Green , a duly - designated Administrative Law Judge of
72the Division of Administrative Hearings (ÐDivisionÑ) .
79APPEARANCES
80For Petitioner: M. Stephen Turner, Esquire
86David K. Miller, Esquire
90John F. Loar, Esquire
94Broad and Cassel , LLP
9821 5 South Monroe Street , Suite 400
105Tallahassee, Florida 32301
108For Respondent : Eduardo S. Lombard, Esquire
115Vezina, Lawrence and Piscitelli, P.A.
120413 E ast Park Avenue
125Tallahassee, Florida 32301
128For Intervenor: M. Chris topher Bryant, Esquire
135Segundo J. Fernandez , Esquire
139Oertel, Fernandez, Bryant & Atkinson, P.A.
145Post Office Box 1110
149Tallahassee, Florida 32302 - 1110
154STATEMENT OF THE ISSUE S
159Whether the Florida Fish and Wildlife Conservation
166Comm issionÓs ( ÐRespondentÑ or ÐFWCÑ) determination that
174Tallahassee Corporate Center, LLC (ÐPetitionerÑ or ÐTCCÑ) ,
181submitted a nonresponsive reply to FWCÓs Invitati on to
190Negotiate (ÐITNÑ) No. 770 - 0235 is contrary to the CommissionÓs
201governing statutes, the age ncyÓs rules or policies , or the
211solicitation specifications; and , if so, whether it was clearly
220erroneous, contrary to competition, arbitrary, or capricious.
227PRELIMINARY STATEMENT
229On July 19, 2017, Respondent , FWC, issued ITN No. 770 - 0235 ,
241soliciting repli es for leased office space in Tallahassee,
250Florida, with a lease term to begin November 1, 2019. Between
261August 15, 2017, and November 2, 2017, FWC issued four a ddenda
273to the ITN, which contained amendments, modifications, and
281explanations to the ITN. On August 10, 2017, FWC issued
291Addendum No. 1 to the ITN, which contained modifications and
301explanations to the ITN in response to proposed vendor
310questions. On August 15 , 2017, FWC issued Addendum No. 2 to the
322ITN , whi ch contained amended answers and modif ications in
332response to proposed vendor questions. On September 18, 2017,
341FWC issued Addendum No. 3 to the ITN, which contained an
352amendment to the revised bid opening location. On November 2,
3622017, FWC issued Addendum No. 4 to the I T N, which contained a
376revised calendar of events.
380On December 11, 2017, FWC posted its Notice of Intent to
391award the contract to Nathan Lee Head, LLC (ÐNLHÑ). On
401December 11, 2017, Petitioner timely submitted its Notice of
410I ntent to protest the Notice of Intent to a ward the c ontract .
425On December 23, 2017, TCC timely filed its Formal Protest and
436Petition for Formal Administrative Hearing. On January 19,
4442018 , the Petition was referred to the Division for a final
455hearing. NLH filed a Petition for Leave to Intervene, which was
466granted.
467On February 5, 2018, Petitioner filed a Motion to Amend the
478Petition (ÐMotion to AmendÑ). On January 23, 2018, the
487undersigned granted the Motion to Amend and ordered the hearing
497to go forward based on the amended Petition .
506Prior to the hear ing, the parties filed a Joint Pre - h earing
520Statement , which included stipulated findings of fact that have
529been incorporated into the Findings of Fact found below.
538The undersigned issued a Notice of Hearing scheduling this
547matter for February 19 and 20, 2018, and it commenced as
558scheduled. At the final hearing, there were no joint exhibits
568offered. However, each party offered Jon Creamer as a witness.
578PetitionerÓs Exhibits 1 through 3, 12, 14, and 15 were admitted
589without objection; and Exhibits 6 thro ugh 8 and 18 were
600admitted over objection. PetitionerÓs Exhibit 5 was proffered ,
608but not admitted into evidence . In addition to Mr. Creamer,
619Petitioner presented the testimony of Todd Hakimi, vice -
628p resident of TCC . RespondentÓs Exhibits 1, 2, and 4 were
640admitted without objection; and Exhibit 3 was ad mitted over
650objection. Interve norÓs Exhibit 1(a) - 1(e) was admitted over
660objection.
661The three - volume Official Transcript for the final hearing
671was filed on February 23, 2018. The parties timely filed thei r
683Proposed Recommended Orders, which have been considered in the
692preparation of this Recommended Order.
697FINDING S OF FACT
701The following Findings of F act are based on exhibits
711admitted into evidence, testimony offered by witnesses, and
719admitted facts s et forth in the pre - hearing stipulation.
730ITN No. 770 - 0235 and Background
7371 . FWC is a state agency that seeks office space to be
750occupied by personnel from six of FWCÓs divisions. FWC
759currently leases office space from TCC , which expires in
768October 20 19.
7712 . On July 19, 2017, FWC issued ITN No. 770 - 0235, seeking
785vendors that could provide 53,000 square feet of office s pace
797for lease. FWC anticipates occupying the space by November 1,
8072019. Between August 15, 2017, and November 2, 2017, FWC issued
818four addenda to the ITN, which contained amendments,
826modifications, and explanations to the ITN.
8323 . There were no bidders that challenged the terms,
842conditions, or specifications contained in the ITN or its
851amendments .
8534 . TCC and NLH were two of t he potential lessors that
866submitted replies in response to the ITN.
8735 . FWC seeks to lease either a buildin g that already exists
886or a non - existing building to be constructed in the future. The
899ITN describes the proposals requested as follows:
906Competitiv e proposals may be submitted for
913consideration under this Invitation to
918Negotiate (ITN) for the lease of office space
926in either an existing building or a non ȃ
935existing (build ȃ to ȃ suit/turnkey) building.
942NOTE: All buildings must comply with the
949Americans w ith Disabilities Act (ADA) as
956stated in Attachment A, Agency
961Specifi cations, Section 6.D., page 32.
967OPTION 1 ȃ an Ò existing Ó building : To be
978considered an Ò existing Ó building, the
985facility offered must be enclosed with a roof
993system and exterior walls mus t be in place at
1003the time of the submittal of the Reply.
1011OPTION 2 ȃ a Ò non ȃ existing Ó building :
1022Offeror agrees to construct a building as a
1030Òbuild ȃ to ȃ suitÓ (turnkey) for lease to FWC.
10406 . Each applicant that submitted a proposal in response to
1051the ITN w as required to meet the specification in Attachment A of
1064the ITN. T he ITN provides as follows :
1073FWC is seeking detailed and competitive
1079proposals to provide built ȃ out office
1086facilities and related infrastructure for the
1092occupancy by FWC. As relates to any space
1100that is required to be built ȃ out pursuant to
1110this Invitation to Negotiate in accordance
1116with this Invitation to Negotiate, see
1122Attachment Ò A Ó which includes the FWC
1130Specifications detailing the build - out
1136requirements.
11377 . The specifications in Atta chment A provided the basic
1148requirements for the potential leased space such that proposals
1157offering existing or non - existing building may be compared and
1168evaluated together.
11708 . The ITN included certain provisi ons to clarify the
1181rights contemplated by t he ITN , and included the following
1191disclaimer:
1192This ITN is an invitation to negotiate and is
1201for discussion purposes only. It is not an
1209offer, contract or agreement of any kind.
1216Neither FWC nor the Offeror/Lessor shall have
1223any legal rights or obligatio ns whatsoever
1230between them and neither shall take any
1237action or fail to take any action in reliance
1246upon any part of these discussions until the
1254proposed transaction and a definitive written
1260lease agre ement is approved in writing
1267by FWC.
1269This ITN shall n ot be considered an offer to
1279lease. The terms of any transaction, if
1286consummated, shall not be final nor binding
1293on either party until a Lease Agreement is
1301executed by all parties. This ITN may be
1309modified or withdrawn by FWC at any time.
13179 . The ITN a lso included a provision expressly reserving
1328FWCÓs Ðright to negotiate with all responsive and responsible
1337Offerors, serially or concurrently, to determine t he best - suited
1348solution.Ñ The term Ð Offeror Ñ was defined by the ITN to mean
1361Ðthe individual submit ting a Reply to this Invitation to
1371Negotiate, such person being the owner of the proposed facility
1381or an individual duly authorized to bind the owner of the
1392facility.Ñ This reservation of rights placed interested lessors
1400on notice that only responsive les sors could be invited to
1411negotiations.
141210 . While TCC and NLH were two of the potential lessors
1424that submitted replies in response to the ITN , the bidders
1434submitted different proposals. TCC submitted a proposal for an
1443existing building, and NLH submitte d a proposal for a non -
1455existing building.
145711 . During an initi al review of all replies, FWC determined
1469TCCÓs reply to be nonresponsive based on TCCÓs response to
1479ITN section IV.G (Tenant Improvements) and a statement titled
1488ÐAdditional ResponseÑ that TCC s ubmitted with its reply. As a
1499result, FWC did not evaluate or score TCCÓs reply. After TCCÓs
1510reply was declared nonresponsive, there were no further
1518negotiation s with TCC regarding the ITN.
152512 . NLHÓs reply passed the initial responsiveness review
1534and wa s then evaluated and scored by FWC. FWC ultimately issued
1546an intended award of the contract to NLH after conducting
1556negotiations.
1557Tenant - Improvement Cap
156113 . The ITN prohibited vendors from proposing conditional
1570or contingent lease rates that included a tenant - improvement
1580cap, or allowance. A tenant - improvement cap reflects the
1590maximum amount the landlord is willing to spend to make
1600imp rovements to leased space. Mr. Hakimi asserted that the
1610tenant - improvement cap would be an incentive to FWC to enter a
1623lease . Ho wever, the tenant - improvement cap would also place a
1636limit on improvements.
163914 . According to ITN section IV.E, any reply offering a
1650lease rate with a tenant - improvement cap would be deemed
1661nonresponsive :
1663FULL SERVICE (GROSS) RENTAL RATE
1668Th e Offeror shall provide FWC with a Full
1677Service (gross) lease structure. Therefore,
1682the lease rate must include base rent,
1689taxes, all operating expenses (including,
1694but not limited to, janitorial services and
1701supplies, utilities, water, insurance,
1705interio r and exterior maintenance, recycling
1711services, garbage disposal, pest control,
1716security system installation and
1720maintenance, and any amortization of
1725required tenant improvements to the proposed
1731space). There shall be no pass through of
1739additional expense s . . . . Offerors must
1748provide their best, firm lease rates. Lease
1755rates that are contingent, involve a basic
1762rate plus Ðcap Ñ or Ðrange Ñ for such things
1772as tenant improvements will be deemed
1778nonresponsive.
177915 . The ITN also provided, in section IV.G, t hat any
1791current lessor must meet all ITN requirements, including those
1800set forth in ITN Attachment A :
1807TENANT IMPROVEMENTS
1809The State requires a Ðturn ȃ keyÑ build ȃ out by
1820the Landlord. Therefore, Offeror shall
1825assume all cost risks associated with
1831delivery in accordance with the required
1837specifications detailed in this ITN,
1842including Attachment A (see pages 28 ȃ 45).
1850Additionally, replies for space which is
1856currently under lease with, or occupancy by,
1863the Florida Fish and Wildlife Conservation
1869Commission does not exclude the Offeror from
1876meeting the requirements specified in this
1882ITN document.
1884Offeror agrees to provide Ðturn ȃ keyÑ
1891build ȃ out/improvements in accordance with the
1898specifications detailed in this ITN.
1903(use an X to mark one of the following):
1912YES ______ or NO______
191616 . TCC responded ÐNOÑ to the statement ÐOfferor agrees to
1927provide Ò turn - key Ó build - out/improvements in accordance with the
1940specif ications detailed in this ITN.Ñ
1946Additional Response
194817 . Not only did TCC include a barred tenant - improvement
1960cap, but TCC also attached an addendum to its proposal, which
1971provided the following:
1974The reality is that as the current Landlord,
1982it would be impossible to ask FFWCC to move
1991out of its existing office space in order to
2000meet the requested Agency Specifications in
2006Attachment A. If this condition makes our
2013response to the Invitation to Negotiate
2019(ITN) Ðnon - responsiveÑ, we stand willing to
2027continu e further negotiations with FFWCC.
203318 . There was no provision in the ITN for additional
2044responses outside what was requested in the ITN. More
2053importantly, the addendum indicated TCC could not comply with
2062the ITN, unless certain conditions were met. M r. Hakimi
2072confirmed the effect of what was written in the addendum when he
2084testified that TCC is unable to meet Attachment AÓs
2093specifications because it presently has a tenant in place ( i.e.,
2104FWC) that prevents it from constructing the building
2112improvement s necessary to comply with ITN Attachment A.
2121Proof of Ownership of Property
212619 . The ITN also provided that to be responsive, each
2137lessor was required to submit certain documentation
2144demonstrating the lessorÓs control of the property proposed for
2153the leased space:
21561. Replies must completely and accurately
2162respond to all requested information,
2167including the following :
2171(A) Control of Property (Applicable for
2177Replies for Existing and/or Non ȃ Existing
2184Buildings).
2185For a Reply to be responsive, it must be
2194submitted by one of the entities listed
2201below, and the proposal must include
2207supporting documentation proving control of
2212the property proposed. This requirement
2217applies to:
22191. The real property (land) ;
22242. The proposed building(s) (or
2229structure(s) ;
22303. The proposed parking area(s). Control
2236of parking includes the area(s) of ingress
2243and egress to both the real property and the
2252building(s).
2253¤ The owner of record of the facility(s)
2261and parking area(s) Î Submit a copy of the
2270deed(s) evidencing clear title to the
2276property proposed .
2279¤ The authorized agent, broker or legal
2286representative of the owner(s) Î Submit a
2293copy of the Special Power of Attorney
2300authorizing submission of the proposal.
230520 . The Special Power of Attorney form was attached to the
2317ITN as Attachment K. TCCÓs certification was executed by TCC
2327president , Lyda Hakimi. However, T CC did not execute
2336Attachment K or include an executed power of attorney to
2346demonstrate that TCC has control of the property.
235421 . The evidence offered at hea ring of the propertyÓs
2365ownership contained in TCCÓs reply was a deed showing DRA CRT
2376Tallahassee Center , LLC to be the property owner. Respondent
2385argued that although TCC owns DRA CRT Tallahassee Center, LLC,
2395the tw o are different legal entities. Because these were two
2406different legal entities, TCC was required to provid e a copy of
2418A ttachment K to its response to be deemed responsive.
2428Broker Commission
243022 . The ITN required lessors to agree to execute a broker -
2443commission agreement, which was at tached to the ITN as
2453Attachment J:
2455Offeror understands FWC is utilizing the
2461services of a Tenant Broker representative
2467for this lease space requirement and the
2474successful Offeror shall execute a
2479Commission Agreement , in coordination with
2484FWC Ó s Tenant Broker repres entative, within
2492fifteen (15) business days of notification
2498of Award.
2500Offeror agrees and acknowledges that a
2506Tenant Broker Commission Agreement is a
2512requirement and the successful Offeror
2517shall be required to execute a Commission
2524Agreement as described a bove .
2530(use an X to mark one of the following):
2539YES ______ or NO______
254323 . The ITN included a schedule for the commission rate
2554based on the total aggregate gross base rent that could be paid
2566ranging from 2.50 percent to 3.50 percent . TCC conditioned i ts
2578reply by agr eeing to pay a two - percent broker commission, which
2591is inconsistent with the commission schedule.
259724 . By offering a lower commission rate, TCC could save
2608money. TCC would then have a competitive advantage over other
2618bidders.
2619TCCÓS Bid w as Nonresponsive
262425 . Based upon the foregoing, TCCÓs bid submission added a
2635tenant - improvement cap, failed to comply with the broker
2645commission rate , failed to provide supporting documents to
2653demonstrate proof of property ownership, and added additional
2661conditions regarding compliance with the ITN requirements. The
2669information requested and terms of the ITN were required for
2679TCCÓs bid to be responsive.
268426 . TCC did not file a challenge to the specifications or
2696any of the requirements of the ITN. I t is n ow too late for such
2712a challenge.
271427. TCCÓs inclu sion of a tenant - improvement allowance
2724l imits the amount that would pay for improvements. The low er
2736broker commission increases t he profit advantage for TCC more
2746than for other bidders , which would be an u nfair advantage over
2758other bidders.
276028 . TCCÓs failure to comply with the terms of the ITN and
2773failure t o provide the required attachment to show proof of
2784ownership were not minor irregularities, which FWC could waive.
2793Therefore, FWC properly determined that TCCÓs bid submission was
2802nonresponsive .
2804Standing
280529 . TCC submitted a bid proposal that did not conform t o
2818the requirements of the ITN and it seeks relief that includes
2829setting aside FWCÓs rejection of its proposal. Therefore, TCC
2838has standing to bring this protest.
284430 . If it is determined that TCC was nonresponsive,
2854NLH has standing to the extent the procurement process could be
2865deemed contrary to competition.
2869CONCLUSIONS OF LAW
287231 . The Division of Administrative Hearings has
2880jurisdiction ov er the subject matter and the parties to this
2891action in accordance wi th s ections 120.569 and 120.57(3 ),
2902Florida Statutes (2017) .
290632 . TCC submitted a bid proposal that did not conform to
2918the requirements of the ITN. Because the relief sought by TCC
2929is to set aside its rejection of PetitionerÓs reply, TCC has
2940standing to bring this protest. Capelletti Bro s ., Inc. v. Dep Ó t
2954of Gen. Serv s . , 432 So. 2d 1359 (Fla. 1st DCA 1983) .
296833 . Petitioner, as the party challenging the proposed
2977agency action, has the burd en of proof in this proceeding and
2989must show that the agency's proposed action is contrary to the
3000agency's governing statutes, rules or policies, or the bid or
3010proposal specifications. A de novo hearing was conducted to
3019evaluate the action taken by the ag en cy. § 120.57(3)(f), Fla.
3031Stat. ; State Contracting & EngÓg Corp. v. Dep Ó t of Transp . ,
3044709 So. 2d 607 (Fla. 1st DCA 1998). The administrative law
3055judge may receive evidence, as wit h any hearing held pursuant to
3067s ection 120.57(1), but the purpose of the p roceeding is to
3079evaluate the action taken by the agency based on the information
3090available to the agency at the time it took the action. I d.
310334 . Agencies enjoy wide discretion when it comes to
3113soliciting and accepting proposals, and an agency's decision ,
3121when based upon an honest exercise of such discretion, will not
3132be set aside even where it may appear erroneous or if reasonable
3144persons may disagree. Baxter's Asphalt & Concrete, Inc. v.
3153Dep Ó t of Transp . , 475 So. 2d 1284, 1287 (Fla. 1st DCA 1985);
3168Cap eletti Bros., Inc. v. State, Dep Ó t of Gen. Serv s. , 4 32 So. 2d
3185at 1363 . Section 120.57(3)(f) establi shes the standard of proof
3196as to whether the proposed action was clearly erroneous,
3205contrary to competition, arbitrary or capricious.
321135 . A decision is co nsidered to be clearly erroneous when ,
3223although there is evidence to support it, after review of the
3234entire record the tribunal is left with the definite and firm
3245conviction that a mistake has been committed. U. S . v. U.S.
3257Gypsum Co. , 333 U.S. 354, 395 (19 48). An agency action is
3269capricious if the agency takes the action without thought or
3279reason or irrationally. Agency action is arbitrary if it is not
3290supported by facts or logic. See Agrico Chem. Co. v. State
3301Dep Ó t of Envt l . Reg . , 365 So. 2d 759, 763 (F la. 1st DCA 1978).
3320An agency decision is contrary to competition if it unreasonably
3330interferes with the objectives of competitive bidding.
3337See Wester v. Belote , 138 So. 721, 723 - 24 (1931).
3348TCCÓs Bid
335036 . In this case, TCC submitted a bid as an Ðexisting Ñ
3363building offeror. Its bid, however, is contrary to proposal
3372specifications with respect to the tenant - improvement cap and
3382the broker commission rate.
338637 . The ITN was issued pursuant to section 255.25, Florida
3397Statutes (2017) , which applies to state ag enciesÓ procurement of
3407leased building space.
341038 . Section 255.25 (3)(a)3. p rovides , in pertinent part :
3421a. If the agency determines in writing that
3429the use of an invitation to bid or a request
3439for proposals will not result in the best
3447leasing value to th e state, the agency may
3456procure leased space by competitive sealed
3462replies . . . .
3467b. The agency shall evaluate and rank
3474responsive replies against all evaluation
3479criteria set forth in the invitation to
3486negotiate and select, based on the ranking,
3493one or more lessors with which to commence
3501negotiations. After negotiations are
3505conducted, the agency shall award the
3511contract to the responsible and responsive
3517lessor that the agency determines will
3523provide the best leasing value to the state.
353139 . Section 2 55.248 defines Ð responsive reply , Ñ as used in
3544255.25 , as a reply Ðsubmitted by a responsive and responsible
3554lessor, which conforms in all material respects to the
3563solicitation.Ñ £ 225.248(7), Fla. Stat. Ð Responsive lessor Ñ is
3573defined as Ða lessor that ha s submitted a bid, proposal, or
3585reply that conforms in all material respects to the
3594solicitation.Ñ § 225.248(8), Fla. Stat.
359940 . A lessor whose reply conform s in all material respects
3611to the ITN may be invited to negotiate. Here, TCCÓs offer was
3623not res ponsive in several areas. First, TCC offered lease rates
3634that included a tenan t - improvement cap. Second, TCC - offered
3646lease rates were contingent on FWCÓs acceptance of terms
3655expressly prohibited by the ITN. Third, TCC failed to
3664demonstrate control of th e property it offered for lease.
3674Fourth, TCC offered a different broker commission than the ITN
3684required lessors to agree to.
368941 . TCC argues that because this procurement involves an
3699ITN and not a request for proposals or invitation to bid, lessors
3711are a llowed to modify their replies during the negotia tion
3722process. TCC is under the impression that the initial ITN
3732replies do not need to conform strict ly to the ITN requirements.
3744A lthough section 255.25 allows FWC and lessors to negotiate to
3755achieve the be st value for the State, the reply submitted must be
3768responsive to the ITN.
377242 . TCCÓs failure to comply with the terms, conditions,
3782and specifications renders a vendor nonresponsive and ineligible
3790for negotiations. As a nonresponsive lessor, TCC was not
3799eligible to participate in negotiations and was not eligible for
3809the ultimate award under the ITN process.
3816TCC Failed to Prove that I ts Bid Submittal was Responsive
382743 . The evidence overwhelmingly established that TCCÓs bid
3836submission did not include al l of the documentation and failed to
3848co mply with the terms of the ITN specifically required to comply
3860with the ITN. It is for these reasons that FWC determined that
3872TCCÓ s bid submission was nonresponsive.
387844 . The determination that TCCÓs bid submission d id not
3889include all of the documentation and full compliance as required
3899by the ITN, however, does not end this analysis . Not all
3911irregularities in bid submissions or deviations from the terms of
3921an invitation to bid are considered material enough to requi re
3932rejection of a bid submittal. Tropabest F oods, Inc. v. DepÓt of
3944Gen. Servs . , 493 So. 2d 50 (Fla. 1st DCA 1986); s ee also Fla.
3959Admin . Code R. 60A - 1.002(13) . A deviation from the requirements
3972of an invitation to bid " is only material if it gives the bid der
3986a substantial advantage over the other bidders and thereby
3995restricts or stifles competition. Ñ Tropabest Foods , 493 So. 2d
4005at 52. See also Robinson Elec. Co. v. Dade Cnty. , 417 So. 2d
40181032, 1034 (Fla. 3d DCA 1982).
402445. In Florida , there are two crite ria that are used to
4036determine whether a deviation is material as follows :
4045(1) whether the effect of waiving the deviation would be to
4056deprive the agency of a ssurance that the contract will be
4067performed and guaranteed according to its specified requireme nts ;
4076or (2) whether the deviation is of such a nature that its waiver
4089would adversely affect competiti ve bidding by placing a bidder in
4100a position of advantage over other bidders or by otherwise
4110u ndermining the necessary common standard of competition. Id .
412046. The First District Court of Appeal has found that, by
4131definition, anything affecting the price of a bid is not a minor
4143irregularity and may not be waive d by the agency. Rather, a
4155deviation affecting price is material and m ay not be waived by
4167the ag ency. Mercedes Lighting & Elec. Supp., Inc. v. Fla. DepÓt
4179of Gen. Servs. , 560 So. 2d 272, 278 (Fla. 1st DCA 1990).
419147. TCCÓs deviations from the ITN requirements were
4199material. As stated above, in the findings of fact above, the
4210deviations affected pric e and afforded TCC a competitive
4219advantage over other bidders .
4224Waiver to Challenge Specifications
42284 8 . TCC also argues that the ITNÓs terms, conditions, and
4240specifications should have been different to accommodate TCC as
4249the current lessor. To the extent TCC seeks through its
4259petition to challenge the ITN terms, conditions, and
4267specifications, TCC has waived that opportunity by failing to
4276timely bring such a challenge. See § 120.57(3)(b), Fla. Stat.
4286TCC also accepted the ITN terms, conditions, and specif ications
4296as published when TCC submitted its reply. The undersigned is
4306without authority to consider a specifications challenge at this
4315stage of the procurement process.
43204 9 . Section 120.57(3)(b) provides as follows:
4328With respect to a protest of the ter ms,
4337conditions, and specifications contained in
4342a solicitation, including any provisions
4347governing the methods for ranking bids,
4353proposals, or replies, awarding contracts,
4358reserving rights of further negotiation, or
4364modifying or amending any contract, the
4370notice of protest shall be filed in writing
4378within 72 hours after the posting of the
4386solicitation . . . . Failure to file a
4395notice of protest or failure to file a
4403formal written protest shall constitute a
4409waiver of proceedings under this chapter.
441550 . Si milarly, t he ITN provided as follows:
4425With respect to a protest of the terms,
4433conditions and specifications contained in
4438this solicitation, including any provisions
4443governing the methods for ranking Replies,
4449awarding contracts, or modifying or amending
4455a ny contract, the notice of protest shall be
4464filed in writing within 72 hours (Saturdays,
4471Sundays, and state holidays excluded) after
4477the posting of the solicitation. For
4483purposes of this provision, the term Ðthe
4490solicitationÑ includes any addendum,
4494respon se to written questions, clarification
4500or other document concerning the terms,
4506conditions, or specifications of the
4511solicitation.
451251. The purpose of requiring solicitation terms,
4519conditions, and specifications to be challenged within 72 hours
4528of publicat ion Ðis to allow an agency, in order to save expense
4541to the bidders and to assure fair competition among them, to
4552correct or clarify plans and specifications prior to accepting
4561bids.Ñ Capeletti Bros., Inc. v. DepÓt of Transp. , 499 So. 2d
4572855, 857 (Fla. 1s t DCA 1986).
457952 . TCC relies on B&L Service, Inc. v. Department of
4590Health and Rehabilitative Services , 624 So. 2d 805 (Fla. 1st DCA
46011993), to argue that the ITNÓs terms, conditions, and
4610specifications may be challenged through a challenge to the
4619award. H owever, B&L Service does not apply here . B&L Service
4631was decided under the previous version of the statutory
4640provision, which applied only to challenges based on project
4649plans or specifications. 1/
465353 . Regarding a protest of the specifications contained in
4663an invitation to bid or in a request for proposals, the previous
4675version of the statute provide that the notice of protest was to
4687be filed in writing within 72 hours after the receipt of notice
4699of the project plans and specifications or intended project
4708plans and specifications in an ITN or request for proposals.
4718§ 120.53(5)(b), Fla. Stat. (1992) (former version of
4726120.57(3)(b)).
472754 . The current version broadens the scope of what must be
4739challenged within 72 hours of the solicitationÓs specifications
4747to avoid a waiver of rights as follows: Ðthe terms, conditions,
4758and specifications contained in a solicitation, including any
4766provisions governing the methods for ranking bids, proposals, or
4775replies, awarding contracts, reserving rights of further
4782negotia tion, or modifying or amending any contract.Ñ
4790§ 120.57(3)(b), Fla. Stat.
479455 . In this case, by failing to raise these complaints
4805within 72 hours of the ITNÓs publicati on, TCC waived the right to
4818raise the allegations in this proceeding.
482456 . In summary, FWCÓs propos ed action regarding ITN
4834No. 770 - 0235 is not contrary to competition, arbitrary , or
4845capricious, and do es not contravene FWCÓs governing statutes,
4854rules , or policies.
4857RECOMMENDATION
4858Based on the foregoing Findings of Fact and Conclusions of
4868Law, it is RECOMMENDED that Florida Fish and Wil dl ife
4879Conservation Commission enter a final order dismissing
4886Tallahassee Corporate Center, LLCÓs Petition.
4891DONE AND ENTERED this 27 th day of March , 2018 , in
4902Tallahassee, Leon County, Florida.
4906S
4907YOLONDA Y. GREEN
4910Administrative Law Judge
4913Division of Administrative Hearings
4917The DeSoto Building
49201230 Apalachee Parkway
4923Tallahassee, Florida 32399 - 3060
4928(850) 488 - 9675
4932Fax Filing (850) 921 - 6847
4938www.doah.state.fl.us
4939Filed with the Cle rk of the
4946Division of Administrative Hearings
4950t his 27 th day of March , 2018.
4958ENDNOTE
49591/ With respect to a protest of the specifications contained in
4970an invitation to bid or in a request for proposals, the notice
4982of protest shall be filed in writing within 72 hours after the
4994receipt of notice of the project plans and specifications or
5004intend ed project plans and specifications in an invitation to
5014bid or request for proposals. § 120.53(5)(b), Fla. Stat. (1992)
5024(former version of 120.57(3)(b)).
5028COPIES FURNISHED:
5030Anthony Justin Pinzino, Esquire
5034Florida Fish and Wildlife
5038Conservation Commis sion
5041Farris Bryant Building
5044620 South Meridian Street
5048Tallahassee, Florida 32399 - 1600
5053(eServed)
5054M. Stephen Turner, Esquire
5058David K. Miller, Esquire
5062John F. Loar, Esquire
5066Broad and Cassel
5069Suite 400
5071215 South Monroe Street
5075Tallahassee, Florida 32301
5078( eServed)
5080M. Christopher Bryant, Esquire
5084Segundo J. Fernandez, Esquire
5088Oertel, Fernandez, Bryant & Atkinson, P.A.
5094Post Office Box 1110
5098Tallahassee, Florida 32302 - 1110
5103(eServed)
5104Eduardo S. Lombard, Esquire
5108Vezina, Lawrence and Piscitelli, P.A.
5113413 East Pa rk Avenue
5118Tallahassee, Florida 32301
5121(eServed)
5122Eugene Nichols "Nick" Wiley II, Exec utive Director
5130Florida Fish and Wildlife
5134Conservation Commission
5136Farris Bryant Building
5139620 South Meridian Street
5143Tallahassee, Florida 32399 - 1600
5148(eServed)
5149Harold G. "Bud" Vielhauer, General Co unsel
5156Florida Fish and Wildlife
5160Conservation Commission
5162Farris Bryant Building
5165620 South Meridian Street
5169Tallahassee, Florida 32399 - 1600
5174(eServed)
5175NOTICE OF RIGHT TO SUBMIT EXCEPTIONS
5181All parties have the right to submi t written exceptions within
51921 0 days from the date of this Recommended Order. Any exceptions
5204to this Recommended Order should be filed with the agency that
5215will issue the Final Order in this case.
- Date
- Proceedings
- PDF:
- Date: 07/10/2018
- Proceedings: BY ORDER OF THE COURT: Appeal dismissed pursuant to Florida Rule of Appeallate Procedure 9.360(b)
- PDF:
- Date: 03/27/2018
- Proceedings: Recommended Order (hearing held February 19 and 20, 2018). CASE CLOSED.
- PDF:
- Date: 03/27/2018
- Proceedings: Recommended Order cover letter identifying the hearing record referred to the Agency.
- Date: 02/23/2018
- Proceedings: Transcript of Proceedings Volumes 1-3 (not available for viewing) filed.
- Date: 02/20/2018
- Proceedings: CASE STATUS: Hearing Held.
- Date: 02/19/2018
- Proceedings: CASE STATUS: Hearing Partially Held; continued to February 20, 2018; 9:00 a.m.; Tallahassee, FL.
- PDF:
- Date: 02/14/2018
- Proceedings: Petitioner's Answers to FWC's First Set of Interrogatories to TCC filed.
- PDF:
- Date: 02/14/2018
- Proceedings: Petitioner's Response to FWC's First Request for Production to TCC filed.
- PDF:
- Date: 02/13/2018
- Proceedings: FWC's Notice of Serving Verified Responses to TCC's First Set of Expert Interrogatories filed.
- PDF:
- Date: 02/13/2018
- Proceedings: Amended Notice of Hearing (hearing set for February 19 and 20, 2018; 9:30 a.m.; Tallahassee, FL; amended as to Venue).
- PDF:
- Date: 02/12/2018
- Proceedings: FWC's Notice of Serving Unverified Responses to TCC's First Set of Expert Interrogatories filed.
- PDF:
- Date: 02/12/2018
- Proceedings: Petitioner's Response to Motions to Dismiss or Strike Amended Petition filed.
- PDF:
- Date: 02/12/2018
- Proceedings: Intervenor's Notice of Service of Answers to Petitioner's First Set of Expert Interrogatories filed.
- PDF:
- Date: 02/09/2018
- Proceedings: FWC's Notice of Serving First Set of Interrogatories to TCC filed.
- PDF:
- Date: 02/08/2018
- Proceedings: Petitioner's Notice of Taking Intervenor Expert Deposition(s) filed.
- PDF:
- Date: 02/08/2018
- Proceedings: Intervenor's Motion to Dismiss or to Strike Allegations of Amended Petition filed.
- PDF:
- Date: 02/08/2018
- Proceedings: Notice of Motion Hearing (Motion hearing set for February 14, 2018; 9:30 a.m.; Tallahassee, FL).
- PDF:
- Date: 02/07/2018
- Proceedings: FWC's Motion to Dismiss or Strike Allegations of Amended Petition filed.
- Date: 02/06/2018
- Proceedings: CASE STATUS: Motion Hearing Held.
- PDF:
- Date: 02/06/2018
- Proceedings: Intervenor's Response in Opposition to Petitioner's Motion to File Amended Formal Protest filed.
- PDF:
- Date: 02/06/2018
- Proceedings: FWC's Motion to Dismiss or Strike Allegations and Response Opposing Motion for Leave to Amend Petition filed.
- PDF:
- Date: 02/06/2018
- Proceedings: Notice of Service of Petitioner's First Set of Expert Interrogatories to Intervenor filed.
- PDF:
- Date: 02/06/2018
- Proceedings: Notice of Service of Petitioner's First Set of Expert Interrogatories to Respondent filed.
- PDF:
- Date: 02/05/2018
- Proceedings: Notice of Service of Petitioner's Answers to Intervenor's First Set of Interrogatories and First Request to Produce filed.
- PDF:
- Date: 02/05/2018
- Proceedings: Petitioner's Response to Intervenor's First Requests for Admission to Petitioner filed.
- PDF:
- Date: 02/05/2018
- Proceedings: Petitioner's Opposition to NLHT's Motion for Protective Order and Argument on NLHT's Discovery Objections filed.
- PDF:
- Date: 02/05/2018
- Proceedings: Petitioner's Opposition to FWC's Motion for Protective Order and Argument on FWC's Discovery Objections filed.
- PDF:
- Date: 02/05/2018
- Proceedings: Petitioner's Motion to File Amended Formal Protest and Petition for Formal Administrative Hearing filed.
- PDF:
- Date: 02/05/2018
- Proceedings: Notice of Telephonic Motion Hearing (motion hearing set for February 6, 2018; 2:00 p.m.).
- PDF:
- Date: 02/02/2018
- Proceedings: Intervenor Nathan Lee Head of Tallahassee, LLC's Motion for Protective Order filed.
- PDF:
- Date: 02/01/2018
- Proceedings: Intervenor's Objections to Petitioner's Notice of Taking Deposition Duces Tecum filed.
- PDF:
- Date: 01/31/2018
- Proceedings: Intervenor's Notice of Service of First Set of Interrogatories and First Request to Produce to Petitioner filed.
- PDF:
- Date: 01/30/2018
- Proceedings: FWCC's Objections to TCC's Notice of Taking Deposition Duces Tecum filed.
- PDF:
- Date: 01/29/2018
- Proceedings: Petitioner's Notice of Taking Corporate Representative Witness Deposition(s) (Duces Tecum) of Nathan Lee Head of Tallahassee LLC filed.
- PDF:
- Date: 01/25/2018
- Proceedings: Petitioner's Notice of Taking FWC Representative Witness Deposition(s) (Duces Tecum) filed.
- Date: 01/25/2018
- Proceedings: CASE STATUS: Pre-Hearing Conference Held.
- PDF:
- Date: 01/25/2018
- Proceedings: Notice of Hearing (hearing set for February 19 and 20, 2018; 9:30 a.m.; Tallahassee, FL).
- PDF:
- Date: 01/24/2018
- Proceedings: Notice of Telephonic Scheduling Conference (scheduling conference set for January 25, 2018; 10:00 a.m.).
- PDF:
- Date: 01/19/2018
- Proceedings: Petition for Leave to Intervene (Nathan Lee Head of Tallahassee, LLC) filed.
Case Information
- Judge:
- YOLONDA Y. GREEN
- Date Filed:
- 01/19/2018
- Date Assignment:
- 01/22/2018
- Last Docket Entry:
- 05/02/2022
- Location:
- Tallahassee, Florida
- District:
- Northern
- Agency:
- ADOPTED IN TOTO
- Suffix:
- BID
Counsels
-
M. Christopher Bryant, Esquire
Address of Record -
Segundo J. Fernandez, Esquire
Address of Record -
John F. Loar, Esquire
Address of Record -
Eduardo S. Lombard, Esquire
Address of Record -
David K. Miller, Esquire
Address of Record -
Anthony Justin Pinzino, Esquire
Address of Record -
Megan S. Reynolds, Esquire
Address of Record -
M. Stephen Turner, Esquire
Address of Record -
William Robert Vezina, III, Esquire
Address of Record -
John F Loar, Esquire
Address of Record