Matthew J. Barrick, Jr. v. State of New Jersey, Department of Treasury, Division of Property Management and Construction
218 N.J. 247
| N.J. | 2014Background
- Division advertised a 10-year Morris County lease for a DOL one-stop career center via an RFP (Sept 28, 2010).
- Four bidders submitted proposals (Barrick, RMD, Highway Enterprises, Mynt); BAFOs were requested and evaluated; RMD ultimately had the most cost-effective bid after a second BAFO round.
- The RFP included a distance-to-public-transportation requirement of within 1/4 mile; none of the qualified bids met this exact requirement.
- Director determined RMD’s bid was cost-effective and that the distance deviation was de minimis and not outcome-determinative; award to RMD issued Oct. 20, 2011.
- Barrick challenged the award, arguing RMD failed the distance requirement; the Division waived the distance requirement after consultation with DOL; Barrick supplemented his bid with new distance information but the Division retained RMD.
- Barrick appealed to the Appellate Division, which reversed the Director’s award and remanded for Barrick to be awarded or for rebid; the Division and RMD sought Supreme Court review.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether waiver of the distance requirement was proper | Barrick contends waiver breached material RFP terms | Division/Director reasonably concluded waiver did not undermine competition | Waiver was reasonable; not arbitrary or capricious |
| Whether the distance deviation was material to the RFP | Barrick’s supplement should have cured nonconformity | Deviation was de minimis and not outcome-determinative; cost-effectiveness prevails | Deviation not material; award to RMD upheld |
| Whether the mootness issue should be addressed given post-award expenditures | Appellate review should consider mootness | Not resolved due to reversal of Appellate Division; stays advised in bidding disputes | Court did not address mootness for merits; cautions on staying rights; reverse Appellate Division on merits |
Key Cases Cited
- Keyes Martin & Co. v. Dir., Div. of Purchase & Prop., 99 N.J.2d 244 (1985) (public bidding objectives and non-waivable material specifications)
- Terminal Constr. Corp. v. Atl. Cnty. Sewerage Auth., 67 N.J. 403 (1975) (public bidding goals and fairness)
- Trap Rock Indus., Inc. v. Kohl, 59 N.J. 471 (1971) (competition and avoidance of favoritism in bidding)
- In re On-Line Games Contract, 279 N.J. Super. 566 (App. Div. 1995) (materiality test for RFP deviations; timing at bid opening)
- Meadowbrook Carting Co. v. Borough of Island Heights, 138 N.J. 307 (1994) (definition of material deviations in bidding)
- In re Jasper Seating Co., 406 N.J. Super. 213 (App. Div. 2009) (material specifications must be complied with; non-waivable)
- In re Quest Acad. Charter Sch. of Montclair Founders Grp., 216 N.J. 370 (2013) (standards for appellate review of agency decisions)
- Weidner v. Tully Envtl., Inc., 372 N.J. Super. 315 (App. Div. 2004) (judicial review of agency decisions; substantial evidence)
- United States v. Joint Meeting of Essex & Union Cntys., 997 F. Supp. 593 (D.N.J. 1998) (federal analogue on public bidding processes)
- In re Stallworth / Henry v. Rahway State Prison, (various NJ citations in text) ((2011-2010s)) (standard of review for agency action; not substituting judgment)