OPA denies protest vs PSS food contract
The Office of the Public Auditor has affirmed the Public School System’s decision to deny the protest filed by one of PSS’ food service contractors.
OPA denied the appeal filed by Allied Construction Corporation, which operates Barny’s Pizza, saying it is in the best interest of PSS and the schoolchildren to affirm the contracts awarded by PSS.
The food service contracts are for provision of food to both private and public schools in Saipan. The contracts include breakfast, lunch, and Head Start snacks. Several contractors were hired, as there is no single vendor capable of providing all of the meals at all of the schools.
Barny’s Pizza, one of the five contractors hired by PSS, had filed the protest because it believed the award process was “arbitrary and capricious,” and violated the PSS procurement regulations and Commonwealth law. The company had asked OPA to revoke all contract awards and to disqualify at least two contractors, whose qualifications had been argued questionable.
Public Auditor Michael S. Sablan acknowledged there were problems with the contracts, but said it would be counterproductive to terminate the contracts now.
“In the event the contracts are terminated, the meal programs would be interrupted. This would not only be contrary to the best interest of PSS, but would be contrary to the best interest of the children receiving those meals,” Sablan said.
He added that the term of the initial contracts is almost ending and services for the year have been provided. Terminating the contracts would have no impact for the school year.
Nevertheless, Sablan urged PSS to immediately conduct a new procurement for food service provision in Saipan, and address the concerns raised in the appeal and OPA’s decision.