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Wednesday, August 01, 2007

Ind. Decisions - Impact of Fort Wayne Disability Center ruling in other areas of state?

The July 16th Indiana COA decision in Anita Stuller, et al v. Mitchell Daniels, Jr., et al, involving the now-closed Fort Wayne Disability Center (see initial ILB entry here, July 17th entry here, July 20th entry here) caused at least some concern re the Fort Wayne Harrison Square development project (see July 20th entry here).

Today, according to a story ($$$ only) in the Bloomington Herald Times by Sarah Morin, the decision raised at least in question involving a recent Bloomington contract. Some quotes:

A recent court ruling that found state officials violated state law by hiring a private firm to manage a facility without taking bids does not apply to the city of Bloomington — or its hiring of a private firm to manage its downtown parking garages.

REI Real Estate Services takes over operations today of the three public garages.

The three-year contract, which guarantees the Indianapolis firm $11,100 a month for the remainder of 2007, was awarded without other companies placing an offer for parking management. That’s often the case when it comes to service contracts, city officials say.

City legal chief Kevin Robling said it’s different from contracting for products, in which a public bidding process is required by state law.

“One reason the state doesn’t require them (service contracts) to be competitively bid, you may not want to have the lowest bidder design your building,” he said as an example. “I’m guessing that’s the legislative intent.”

But a state law does go a step further in dealing with public-private agreements for services at the state and unigov — consolidated city and county — level, and any other government entity that chooses to adopt the law.

“We haven’t ever done that, don’t know of any that have,” Robling said.

IC 5-23 was cited by the Indiana Court of Appeals in its July 16 ruling that stated Gov. Mitch Daniels and other officials ignored the law when they privatized management of the Fort Wayne State Development Center without opening up a public bidding process.

Posted by Marcia Oddi on August 1, 2007 09:33 AM
Posted to Ind. App.Ct. Decisions