The filing of an appeal by Cable One for denial of a bid protest with regard to bringing broadband service into the area caused the Navajo County Board of Supervisors to authorize the Navajo County School Superintendent Jalyn Gerlich to hire outside legal counsel to represent the Navajo-Gila County Schools and Libraries Technology Consortium at the meeting on June 26. The superintendent was also authorized to hire Robert Haws as a hearing officer with the costs not to exceed $50,000.
The consortium was formed to bring an affordable and reliable broadband service to the schools and libraries of Navajo and Gila County. As the superintendent, Gerlich is a member of the consortium and is the appointed fiscal agent.
Earlier this year, the consortium through the superintendent, opened the broadband project for bids. The consortium awarded the bid to a company known as Red Rock. The award of the bid was challenged by Cable One, who also bid on the project.
Cable One’s initial bid protest was denied. Through those legal proceedings, the consortium was represented by the Flagstaff law firm, Hufford, Horstman, Mangini, Parnell and Tucker. The costs of the bid protests were paid for by the School Risk Retention Trust, which provides certain legal services to NCSS under a pre-paid legal plan.
Unfortunately, the Trust does not cover additional legal services for the bid protest appeals and for that reason, the NCSS will incur certain legal costs on behalf of the consortium as a result Cable One’s appeal.
Additionally, the NCSS has been authorized to hire a hearing officer as a first step in dealing with Cable One. In the event the Consortium is successful in defending the appeal, these additional costs may be recovered.
The NCSS is also aware that Red Rock has filed suit against Cable One in Maricopa County Superior Court, seeking to enjoin Cable One’s bid protest appeal in front of the hearing officer for various legal reasons. The consortium will be part of those legal proceedings as well.
The overall plan is for the costs of defending the bid protest, any follow up on appeal to the Superior Court and the current litigation in Maricopa County Superior Court to be paid for by the Consortium members, which would reimburse the NCSS through a cost-sharing agreement, these bills have to be paid for in an on-going basis. At this time it is not anticipated that the costs will exceed $50,000.
