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December 28, 2006

State wins auto emissions lawsuit

PROVIDENCE – The two-month battle over the state’s multimillion-dollar contract for auto emissions testing is finished.

Superior Court Judge Michael A. Silverstein ruled this afternoon in favor of the state’s purchasing officials, who decided to hire a new company, SysTech International LLC., to supervise the state’s vehicle emission and safety inspection programs.

The ruling saves the emissions program from descending into limbo over the uncertainty of who would conduct the state-mandated tests, which are part of motor vehicle inspections, in the new year.

The lawsuit against the state was brought by Applus Technologies Inc., the state’s current contractor. For the past seven years, Applus charged $13 for each vehicle tested in the state. When the contract went out to bid this year, Applus proposed to charge $8.95 per vehicle while SysTech proposed to charge $4 per vehicle.

In the suit, Applus Technologies said state officials acted in bad faith by giving concessions to their competitor and ignoring the advice of a review committee which favored their company.

In Silverstein’s ruling, he said “there is simply no evidence before the court that suggests bad faith, corruption, political or otherwise, of the purchasing agent.”

Silverstein also said it was up to the state’s purchasing agent to make a final selection.

“Ultimately, the taxpayers of Rhode Island have won here,” said Brian P. Stern, the executive of the Department of Administration. “We’ve sent a message to all businesses out there that the state is open for business.”

The transfer of auto testing programs in the state’s 294 inspection stations starts on Monday, New Year's Day, with Tuesday the first day of implementation. Applus and SysTech representatives promised state officials that they will make sure the handover goes smoothly.

-- Journal environment writer Michelle J. Lee

Posted by Steve Peoples  at 5:55 PM | Permalink

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