Abramson v. Georgetown Consulting Group, Inc.

765 F. Supp. 255, 1991 WL 94441, 1991 U.S. Dist. LEXIS 13145
CourtDistrict Court, Virgin Islands
DecidedMarch 25, 1991
DocketCiv. 1990-306
StatusPublished
Cited by6 cases

This text of 765 F. Supp. 255 (Abramson v. Georgetown Consulting Group, Inc.) is published on Counsel Stack Legal Research, covering District Court, Virgin Islands primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Abramson v. Georgetown Consulting Group, Inc., 765 F. Supp. 255, 1991 WL 94441, 1991 U.S. Dist. LEXIS 13145 (vid 1991).

Opinion

MEMORANDUM

HUYETT, District Judge,

Sitting by Designation.

This action raises an issue which is important to the people of the United States Virgin Islands — whether the Virgin Islands Public Services Commission (“PSC”) has authority, independent of the Commissioner of Property and Procurement, to procure services of agents to assist PSC in its investigations of public utilities operating within the territory of the United States Virgin Islands. I conclude that it does.

Plaintiff Ann Abramson, in her capacity as a taxpayer of the United States Virgin Islands, brought this action seeking injunc-tive and declaratory relief against defendants. Plaintiff alleges that the procedure used by defendant PSC, over a period of many years, in appointing agents to aid the PSC in the investigation of public utilities is unlawful because it violates Title 31 of the Virgin Islands Code, which establishes the procurement requirements for most agencies and departments of the Virgin Islands Government. The PSC has appointed defendant Georgetown Consulting Group, Inc. (“Georgetown”) as its agent to assist in numerous investigations of public utilities, including intervening plaintiff Virgin Islands Telephone Corporation (“VI-TELCO”) and intervening defendant Virgin Islands Water and Power Authority (“WAPA”). 1

*257 Defendant PSC moved to dismiss and intervening plaintiff VITELCO moved for summary judgment. By order dated March 15,1991,1 granted the PSC’s motion to dismiss, which this court has treated as a motion for summary judgment, 2 denied VITELCO’s motion for summary judgment, and directed the Clerk to enter judgment in favor of defendants and intervening defendant and against plaintiff and intervening plaintiff. I write now to explain my reasons.

I. STANDARD OF REVIEW

Summary judgment is appropriate if there exists no genuine issue of material fact and the moving party is entitled to judgment as a matter of law. Small v. Seldows Stationery, 617 F.2d 992, 994 (3d Cir.1980). The court does not resolve questions of disputed fact, but simply decides whether there is a genuine issue of fact which must be resolved at trial. Anderson v. Liberty Lobby, Inc., 477 U.S. 242, 249, 106 S.Ct. 2505, 2510-11, 91 L.Ed.2d 202 (1986); Ettinger v. Johnson, 556 F.2d 692 (3d Cir.1977). The facts must be viewed in the light most favorable to the non-moving party, and reasonable doubt as to the existence of a genuine issue of material fact is to be resolved against the moving party. Continental Insurance Co. v. Bodie, 682 F.2d 436, 438 (3d Cir.1982).

With respect to the pending motions for summary judgment, there are no genuine issues of material fact. Although the parties do disagree as to certain facts, these facts are not material and, thus, do not prevent determining the summary judgment motions as a matter of law. All pertinent facts have been made part of the record by the parties.

II. BACKGROUND

The PSC is a state agency created by the legislature to regulate the rates, services, and actions of the public utilities operating within the territory of the United States Virgin Islands. 3 V.I.C. § 273, 30 V.I.C. § 1 et seq. The PSC is composed of seven citizens appointed by the Governor of the Virgin Islands and two senators appointed by the Legislature of the Virgin Islands, who serve only in an ex officio capacity. 3 V.I.C. § 273(b).

In conjunction with its legislative mandate to regulate public utilities, the PSC is authorized to conduct investigations of the operations of public utilities and, in doing so, has broad investigatory and fact-finding powers. The PSC may appoint by written order, pursuant to section 18 of Title 30, agents to assist in its investigation of a utility. The agents are granted the same investigatory powers as those granted to the PSC by the legislature. The expenses incurred in investigating a public utility are assessed to the utility investigated. 30 V.I.C. § 25. Under long-standing PSC administrative procedure, the PSC has appointed consultants, hearing examiners, court reporters, and other agents necessary to assist the PSC with its investigations of public utilities.

During the past ten years, the PSC has issued a series of orders appointing Georgetown, of which Jamshed K. Madan is a principal, as its agent to assist in numerous investigations of public utilities, including VITELCO. See Affidavit of Richard LeLash, President of Georgetown Consulting Group, Inc. Mr. Madan is a recognized expert in the field of public utility regulation. 3

*258 The Department of Property and Procurement is an executive department of the Government of the Virgin Islands, 3 V.I.C. § 211, with general authority over the enforcement of laws relating to government procurement. 3 V.I.C. § 218. Title 31 of the Virgin Islands Code establishes the procurement requirements for most departments and agencies of the Virgin Islands Government. Section 232(1) of Title 31 provides that the Commissioner of Property and Procurement shall “purchase or contract for all supplies, materials, equipment and contractual services, in the manner described in this chapter, required by any and all departments, offices, boards, institutions, and other agencies of the Government of the Virgin Islands, except the Legislature and the Municipal Court.” 31 V.I.C. § 232(1). Sections 230-250 of Title 31 establish a set of regulations to which all Virgin Islands government departments and agencies must adhere when purchasing any supplies, materials, equipment of contractual services. The normal procedure is for the Commissioner of Property and Procurement to secure competitive bids. 31 V.I.C. §§ 235-236. Under certain circumstances, however, open market purchases are permitted. 31 V.I.C. § 239. Open market purchases are permitted within twelve statutory exceptions to the public bidding requirement, including the following:

(4) the purchase or contract is for professional services; provided that such services shall be procured by competitive negotiation, wherever practicable;
(8) the purchase or contract is for property or services for which it is impracticable to obtain competition;....

31 V.I.C. § 239(a)(4) & (a)(8). However, open market purchases or negotiated contracts for services made pursuant to these two exceptions “may be made only after a full explanation of the circumstances requiring the purchase or contract have [sic] been filed with the Governor and the Commissioner of Property and Procurement.” 31 V.I.C. § 239(b).

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765 F. Supp. 255, 1991 WL 94441, 1991 U.S. Dist. LEXIS 13145, Counsel Stack Legal Research, https://law.counselstack.com/opinion/abramson-v-georgetown-consulting-group-inc-vid-1991.