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Friday, December 23, 2005

Ind. Decisions - Judge allows takeover of state center to proceed

"Judge allows takeover of state center to proceed" is the headline to this story by Sara Eaton in the Fort Wayne Journal Gazette this morning. Some quotes:

The takeover of the Fort Wayne State Developmental Center on Jan. 1 is no longer in jeopardy after an Allen Superior Court judge on Thursday refused to grant a preliminary injunction preventing it.

An employee, Anita Stuller, and her union filed a lawsuit against Gov. Mitch Daniels, Family and Social Services Secretary Mitchel Roob and another state leader this month. The lawsuit sought to at least temporarily stop the takeover of the center and to force the state to go through a bidding process before giving control to a private company. * * *

Judge Nancy Eshcoff Boyer heard arguments from attorneys on both sides this week. She issued a ruling Thursday against Stuller and the union, American Federation of State, County and Municipal Employees Council 62.

According to the ruling, attorneys Mary Jane Lapointe, Gary Price and Daniel Serban argued that state law requires FSSA to complete a bidding process before privatization occurs. Attorneys Steven Jackson and Michael James argued the state is not required to have a bidding process but is entitled to buy public services using any method the state feels is appropriate.

The bidding process in this case was not applicable, according to Boyer’s ruling. Boyer also noted in the ruling that Stuller and the union failed to prove that the lack of a bidding process in giving the contract to Liberty would cause irreparable harm. Additionally, they failed to answer questions asked of them by Boyer during the hearing, according to the ruling.

Serban said late Thursday his clients disagreed with the ruling and will be discussing their options.

The ILB is attempting to obtain a copy of the ruling, and will post it here when received.

Posted by Marcia Oddi on December 23, 2005 08:22 AM
Posted to Ind. Trial Ct. Decisions | Indiana Government | Indiana Law