Martin v. Louisiana Stadium and Exposition Dist.

349 So. 2d 349, 1977 La. App. LEXIS 3723
CourtLouisiana Court of Appeal
DecidedJune 7, 1977
Docket8494
StatusPublished
Cited by10 cases

This text of 349 So. 2d 349 (Martin v. Louisiana Stadium and Exposition Dist.) is published on Counsel Stack Legal Research, covering Louisiana Court of Appeal primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Martin v. Louisiana Stadium and Exposition Dist., 349 So. 2d 349, 1977 La. App. LEXIS 3723 (La. Ct. App. 1977).

Opinion

349 So.2d 349 (1977)

Wade O. MARTIN, Jr.
v.
The LOUISIANA STADIUM AND EXPOSITION DISTRICT et al.

No. 8494.

Court of Appeal of Louisiana, Fourth Circuit.

June 7, 1977.
Rehearing Denied September 8, 1977.

*352 Sutterfield & Vickery, James R. Sutterfield, New Orleans, for plaintiff-appellant.

Dept. of Justice, William J. Guste, Jr., Atty. Gen., Warren E. Mouledoux, Donald Ensenat, Louis M. Jones, New Orleans, for defendants-appellees, Edwin W. Edwards, Governor, William J. Guste, Jr., Atty. Gen. and Charles E. Roemer, II, Commissioner of Administration.

Kronlage, Dittman & Caswell, Charles A. Kronlage, Jr., New Orleans, for defendants-appellees, The Louisiana Stadium and Exposition District, et al.

James R. Pertuit, New Orleans, for defendant-appellee, Building Engineering Services Co., Inc., Douglas, Nabonne & Wilkerson, Ronald P. Nabonne, Walter J. Wilkerson, New Orleans, Sobol & Trister, *353 Richard B. Sobol, Washington, D. C., for defendant-appellee, Superdome Services, Inc.

Before LEMMON, GULOTTA and BEER, JJ.

GULOTTA, Judge.

Plaintiff appeals from the dismissal of his suit for a declaratory judgment and an injunction in which he seeks to have declared invalid the contracts between the State, the Louisiana Stadium and Exposition District (LSED) and, respectively, Building Engineering Services Company, Inc. (BESCO) and Superdome Services Incorporated (SSI) and to enjoin LSED from making any further disbursements to BESCO and SSI under the terms of the contracts. We affirm.

A chronology of the constitutional amendments and legislative acts adopted in connection with the construction and operation of the Louisiana Superdome is helpful in the consideration of the issues raised in this appeal. In 1966, a constitutional amendment, LSA-Const.1921, Art. 14, § 47, was adopted to create LSED for the purpose of constructing and operating the Superdome. Pursuant to Paragraph (E) of this amendment, a lease and management and operation agreement between LSED and the State of Louisiana was signed on February 1, 1969, whereby the stadium was leased to the State, which in turn executed an agreement for the operation and management of the facility by LSED.

On May 10, 1974, an agreement was entered into between LSED and SSI for janitorial, ticket selling and taking, horticultural, field set-up and security work at the Superdome. On the same date, LSED also entered into an agreement with BESCO for the operation and maintenance of heating, air conditioning and ventilating equipment, plumbing fixtures, electrical equipment, fire protection systems, elevators and escalators and other mechanical equipment at the facility.

Subsequently, the question arose whether or not the agreements were in violation of LSA-R.S. 38:2211 requiring public work contracts exceeding the sum of $5,000.00 to be let out on public bids and also whether the agreements were in violation of LSA-R.S. 38:2217 which provides: "No contract shall be let on a cost-plus basis." Upon request, Attorney General's opinions addressed to these issues were rendered, stating in effect that the aforementioned statutes applied to LSED and that certain agreements were violative of these statutes.

In the wake of these opinions, the Louisiana Legislature adopted Act 651 of 1974 as a curative measure to validate these agreements. In Section 1. of this Act, reference is made to LSA-Const.1921, Art. 14, § 47(T) which authorizes the Legislature to "legislate in any manner and to any extent with regard to the Louisiana Stadium and Exposition District, its governing body and its powers, duties and functions, provided, however, no such changes or legislation shall impair the obligation of any contract or contracts theretofore entered into by the District". Act 651 further makes reference to the facts that LSED is a "body politic and corporate", that certain contracts were entered into between LSED and third parties relating to the operation of the Dome Stadium and that according to opinions rendered by the Attorney General those contracts were violative of the public bid act and of the prohibition in public work contracts against cost-plus agreements. Section 3. of the Act, in pertinent part, provides that the May 10 contracts between LSED and SSI and LSED and BESCO be "ratified, validated and confirmed and shall be deemed to bind the contracting parties, subject to the respective terms and conditions of the contracts".

The trial judge, in written reasons, in pertinent part, stated that BESCO and SSI "both were subject to public bid laws", but that "public bidding was accomplished with both of these contracts". The trial judge further concluded, however, that the SSI and BESCO contracts were "in fact cost plus contracts", but that Act 651 of 1974, which he determined to be constitutional, ratified, among others, the SSI and BESCO *354 contracts. Consistent with those reasons, the trial judge dismissed plaintiff's suit.

In this appeal, we are essentially confronted with three issues: 1) whether LSA-R.S. 38:2211[1] and LSA-R.S. 38:2217[2] apply to the SSI and BESCO contracts with LSED; 2) if these statutes are applicable, whether the contracts are violative of these two statutes; and, 3) whether Act 651 of 1974 validating the agreements is constitutional.

APPLICABILITY OF PUBLIC CONTRACT LAWS

It is LSED's contention that it is constitutionally exempt from compliance with the statutory provisions relating to public contracts. In support of its argument, LSED claims that LSA-Const.1921, Art. 14, § 47(C)[3] and (T)[4] accord to LSED the broad and all extensive authority until directed otherwise by the Legislature, to contract without compliance with the public contract laws. LSED further points out that Paragraph (C) of the constitutional amendment creating the Louisiana Stadium and Exposition District specifically subjects the District to the idle funds act and the Code of Ethics, but omits any requirement that LSED is subjected to the public contract laws. According to LSED this omission creates the implication that LSED is not subject to the public bid law and the law prohibiting cost-plus contracts. We do not agree.

As pointed out by plaintiff, the management and operating agreement between LSED and the State dated February 1, 1969, recites, in essence, that LSED shall comply with the Constitution and statutes of the State.[5] Furthermore, the constitutional amendment creating the Louisiana Stadium and Exposition District provides in Paragraph (A) that the District shall be a "body politic and corporate and political subdivision of the State of Louisiana *355. . . ." The public bid laws are applicable to the State and all political subdivisions of the State. Nowhere in the constitutional amendment creating the District are any exceptions made to the application of the public bid laws or the prohibition against cost-plus contracts.[6] Indeed, by way of contrast, the constitutional amendment creating the District does exempt the State from compliance with the statutes relating to the leasing of the facilities. Paragraph (E) of the amendment provides that the State shall have the right to lease the facilities of the District without compliance with any other constitutional or statutory provisions relative to the leasing of public facilities.

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Bluebook (online)
349 So. 2d 349, 1977 La. App. LEXIS 3723, Counsel Stack Legal Research, https://law.counselstack.com/opinion/martin-v-louisiana-stadium-and-exposition-dist-lactapp-1977.