BC & L Pavement Services, Inc. v. Higgins

2002 NMCA 087, 51 P.3d 533, 132 N.M. 490
CourtNew Mexico Court of Appeals
DecidedJune 25, 2002
Docket22,046
StatusPublished
Cited by5 cases

This text of 2002 NMCA 087 (BC & L Pavement Services, Inc. v. Higgins) is published on Counsel Stack Legal Research, covering New Mexico Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
BC & L Pavement Services, Inc. v. Higgins, 2002 NMCA 087, 51 P.3d 533, 132 N.M. 490 (N.M. Ct. App. 2002).

Opinion

OPINION

WECHSLER, Judge.

{1} BC & L Pavement Services, Inc. (BC & L) appealed the decision of Louis Higgins, State Purchasing Agent (Higgins), to affirm the decision of the State Purchasing Office. The State Purchasing Office rejected BC & L’s bid to provide materials and labor for certain treatments to paved surfaces at airports and accepted the bid of Interested Party-Respondent Dismuke Construction Company (Dismuke). BC & L was not licensed at the time of the bid, but obtained a license before the time of contact. Higgins denied BC & L’s protest, and the district court affirmed the denial. We granted BC & L’s petition for a writ of certiorari. We discuss whether the doctrine of substantial compliance applies to the requirement that bidders on construction contracts be licensed at the time of bidding, whether the State Purchasing Office violated the requirement that bids be rejected only on the basis of factors set out in the invitation for bids, and whether BC & L is entitled to relief because Higgins did not follow proper procedures. We affirm the district court.

Standard ofRevieiu

{2} When reviewing the decision of the district court through a writ of certiorari, this Court employs a limited standard of review. C.F.T. Dev., LLC v. Bd. of County Comm’rs, 2001-NMCA-069, ¶¶6-14, 130 N.M. 775, 32 P.3d 784. A writ of certiorari may be issued only on the basis of one of the following four grounds:

(a) a conflict between the district court order and a prior appellate opinion of either this Court or the Supreme Court; (b) a conflict between the district court order and any statutory provision, ordinance or agency regulation; (c) a significant question of law under the New Mexico or United States Constitutions; or (d) an issue of substantial public interest that should be determined by this Court.

Id. ¶ 8. BC & L asserts that each of its issues involves a conflict between the decisions of the district court on the one hand and appellate decisions and statutes or regulations on the other. (BIC ii) This case thus presents issues of law which we review de novo. Sisterly v. Matthews, 2000-NMCA-037, ¶ 22, 129 N.M. 134, 2 P.3d 871 (discussing standard of review).

{3} We do not decide whether there was substantial evidence to support the agency’s decision or whether the agency abused its discretion. C.F.T. Dev., LLC, 2001-NMCA-069, ¶¶ 9-10, 130 N.M. 775, 32 P.3d 784. Those decisions are left to the district court in its appellate capacity. Id.

Facts

{4} BC & L, a Texas corporation, bid on an invitation for bids on a “price agreement” issued by the Purchasing Division of the General Services Department to furnish and apply sealer to asphalt pavement. Under a “price agreement” the successful bidder agrees to furnish goods or services at a specified price for a defined period of time “to a state agency or a local public body which issues a purchase order.” NMSA 1978, § 13-1-71 (1984). The invitation for bids specifically left open the quantity of goods to be purchased. See NMSA 1978, § 13-1-63 (1984) (defining indefinite quantity contract). Invoices were to be sent to the Aviation Division of the New Mexico State Highway and Transportation Department (the Department). Delivery was to be to the Department at “various airports as requested at time of order.”

{5} The invitation for bids did not specify whether a bidder was required to be a licensed contractor in New Mexico at the time of bidding. The parties dispute whether such licensure was required.

{6} It is not clear when BC & L submitted its bid, but it certainly did so before April 20, 2000, when bids were opened. BC & L was formally issued its New Mexico contractor’s license on May 17, 2000.

{7} BC & L was the lowest bidder. Higgins rejected BC & L’s bid because BC & L was not a licensed New Mexico contractor at the time bids were opened on April 20, 2000. Higgins signed a price agreement with Dismuke on May 2, 2000.

{8} BC & L learned of the award to Dismuke by an oral communication with Higgins’ office on May 9, 2000. It filed a protest on May 24th on the grounds that the price agreement included work on federally funded projects to which the requirement to be licensed at the time of bidding did not apply. On June 2nd, it sent another letter adding “a few legal points [which] might clarify the grounds for protest, stated in our earlier letter.” In its June 2nd letter, it contended that Higgins could not add a requirement, namely licensure, which had not been set out in the invitation for bids, and that in any case, BC & L had substantially complied with the licensing requirement. It did not request a hearing or submit further information.

{9} On June 6th, Higgins issued a letter decision rejecting the contention in BC & L’s May 24th protest on the grounds that the invitation for bids concerned only state and locally funded airport projects for which bidders were required to be licensed. Higgins ruled that BC & L’s June 2nd letter did not merely clarify issues raised in the May 24th letter, but raised new issues which were not timely filed pursuant to NMSA 1978, § 13-1-172 (1987) (providing that protest be submitted “within fifteen calendar days after knowledge of the facts or occurrences giving rise to the protest”). However, Higgins ruled on the merits of the issues BC & L raised in its June 2nd letter, determining that the statutory requirement of licensing was included in the invitation for bids as a matter of law. He also ruled that even if BC & L could be said to have substantially complied with the timing component of the licensure requirement, it had obtained the wrong type of license.

{10} BC & L appealed to the district court, raising the issues it had raised in its May 24th and June 2nd letters and adding the arguments that Higgins failed to follow proper procedures and violated due process of law by failing to mention until June 6th the contention that BC & L had failed to obtain the proper license. See NMSA 1978, § 13-1-183 (1999) (providing that procurement code decisions shall be appealed pursuant to NMSA 1978, § 39-3-1.1 (1999)); § 39-3-1.1 (providing for appeal of certain agency decisions to district court). The district court affirmed Higgins, ruling that BC & L violated the statutory requirement that it be licensed at the time of bidding, that the licensing requirement did not need to be stated in the invitation for bids, and that the doctrine of substantial compliance did not apply. It did not reach BC & L’s procedural issues.

Substantial Compliance unth Licensing Requirement

{11} BC & L contends that the district court erred in failing to apply the doctrine of substantial compliance. This doctrine was adopted by Peck v. Ives, 84 N.M. 62, 65-66, 499 P.2d 684

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Cite This Page — Counsel Stack

Bluebook (online)
2002 NMCA 087, 51 P.3d 533, 132 N.M. 490, Counsel Stack Legal Research, https://law.counselstack.com/opinion/bc-l-pavement-services-inc-v-higgins-nmctapp-2002.