Contract lawsuit dismissed

Published 1:11 pm Friday, December 23, 2011

A lawsuit against the city of Suffolk was dismissed this week after the city canceled a contract it had signed to purchase a mobile command bus for the police department.

A losing bidder for the project filed the lawsuit. An attorney for the plaintiff says his client plans to bid on the project again when the invitation is re-issued.

The lawsuit involved a mobile command vehicle the Suffolk Police Department planned to purchase with a Port Security Grant of more than $600,000.

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The bus, according to a presentation to City Council by Police Chief Thomas Bennett earlier this year, would help the department improve its response to natural disasters, hostage situations and other incidents.

The city issued the invitation for bids earlier this year and received three responses. One was turned down because it did not include all the necessary information.

Of the other two, Matthews Specialty Vehicles Inc., submitted a bid of $655,292 for the vehicle. Farber Specialty Vehicles submitted a lower bid of $589,000 and was given the contract.

Matthews promptly cried foul, saying that Farber’s bid did not follow the specifications listed in the bid invitation, including for such things as the width and weight of the bus, dimensions of the radiator, construction and flooring materials, the style of cabinets and ceilings and more.

After the lawsuit was filed, Suffolk Circuit Court granted an injunction that prevented the city from proceeding with the purchase until the trial was concluded. Matthews alleged that Suffolk had violated the Virginia Public Procurement Act.

“Matthews has suffered irreparable injury … due to the city impinging on Matthews’ right to fair consideration in the procurement process,” the lawsuit stated.

Earlier this month, the city canceled its contract with Farber and said it would re-issue the invitation for bids. Matthews and the city agreed in a hearing this week that the lawsuit should be dismissed.

“Based on this resolution, my clients decided that there was no need to move forward with the suit any further, since their position regarding the bid process had been validated and the contract canceled,” said attorney Fred Taylor with the law firm of Stallings and Bischoff.

Taylor said his clients regard the decision as just, although they regret having to sue to prove the point.

“The city had clearly violated the regulations of the Virginia Public Procurement Act, and would have continued to do so, but for my client’s doing their civic duty to see that the competitive bidding process was complied with through this bid protest,” Taylor said.

The city is expected to re-issue the invitation for bids in the next several weeks. Taylor said Matthews intends to submit a bid.

“They felt like they offered a superior product and price before, and will do so again, and hope to be shown as the most responsive bidder,” he said.