2017 ORS 279C.450¹
Appeal procedure for decision to deny, revoke or revise prequalification
  • hearing
  • costs
  • judicial review

(1) An appeal from a contracting agency’s disqualification or denial, revocation or revision of a prequalification is subject to the procedures set forth in this section and is not subject to ORS chapter 183 except when specifically provided in this section.

(2) Promptly upon receiving notice of appeal from a contracting agency as provided in ORS 279C.445 (Appeal of disqualification), the Director of the Oregon Department of Administrative Services or the local contract review board shall notify the person appealing and the contracting agency of the time and place of the hearing. The director or board shall conduct the hearing and decide the appeal within 30 days after receiving the notification from the contracting agency unless the person appealing and the contracting agency mutually agree to a different period of time. The director or board shall set forth in writing the reasons for the decision.

(3) In the hearing the director or board shall consider de novo the notice of disqualification or denial, revocation or revision of a prequalification, the reasons listed in ORS 279C.440 (Disqualification from consideration for award of contracts) (2) on which the contracting agency based the disqualification or the standards of responsibility listed in ORS 279C.375 (Award and execution of contract) (3)(b) on which the contracting agency based the denial, revocation or revision of the prequalification and any evidence provided by the parties. In all other respects, a hearing before the director shall be conducted in the same manner as a contested case under ORS 183.417 (Procedure in contested case hearing) (1) to (4) and (7), 183.425 (Depositions or subpoena of material witness), 183.440 (Subpoenas in contested cases), 183.450 (Evidence in contested cases) and 183.452 (Representation of agencies at contested case hearings).

(4) The director may allocate the director’s cost for the hearing between the person appealing and the contracting agency whose disqualification or prequalification decision is being appealed. The director shall base the allocation upon facts the director finds in the record and states in the final order that, in the director’s opinion, warrant such allocation of the costs. If the final order does not allocate the director’s costs for the hearing, the costs must be paid as follows:

(a) If the director upholds the decision to disqualify or deny, revoke or revise a prequalification of a person, the person appealing the disqualification or prequalification decision shall pay the director’s costs.

(b) If the director reverses the decision to disqualify or deny, revoke or revise a prequalification of a person, the contracting agency whose disqualification or prequalification decision is the subject of the appeal shall pay the director’s costs.

(5) The decision of the director or board may be reviewed only upon a petition, filed within 15 days after the date of the decision, in the circuit court of the county in which the director or board has the director’s or the board’s principal office. The circuit court shall reverse or modify the decision only if the court finds:

(a) The decision was obtained through corruption, fraud or undue means.

(b) There was evident partiality or corruption on the part of the director or board or any of the members of the board.

(c) There was an evident material miscalculation of figures or an evident material mistake in the description of a person, thing or property referred to in the decision.

(6) The procedure provided in this section is the exclusive means of judicial review of the decision of the director or board. The judicial review provisions of ORS 183.480 (Judicial review of agency orders), the writs of review and mandamus, as provided in ORS chapter 34, and other legal, declaratory and injunctive remedies are not available.

(7) The circuit court may, in the court’s discretion, stay the letting of the contract that is the subject of the petition in the same manner as the court may issue a stay in a suit in equity. If the court determines that an improper disqualification or denial, revocation or revision of a prequalification occurred and the contract has been let, the court may proceed to take evidence to determine the damages, if any, the petitioner suffered and award such damages as the court may find as a judgment against the director or board. The court may award costs and attorney fees to the prevailing party. [2003 c.794 §125; 2005 c.103 §26; 2007 c.288 §13; 2009 c.149 §1]

Notes of Decisions

Under Former Similar Statute (Ors 279.045)

Failure to meet Disadvantaged Business Enterprise goal was ground for rejec­tion of bid, but rejec­tion did not constitute “disqualifica­tion” of bidder, and bidder could not seek review of bid rejec­tion under this sec­tion. Clarke Electric, Inc. v. State Highway Division, 93 Or App 693, 763 P2d 1199 (1988)

Because public contracting laws of [former] ORS chapter 279 do not apply to Legislative Administra­tion Committee, this sec­tion does not provide remedy for per­son ap­pealing disqualifica­tion. Enertrol Power Monitoring Corp. v. State of Oregon, 314 Or 78, 836 P2d 123 (1992)

Atty. Gen. Opinions

Under Former Similar Statute (Ors 279.045)

Constitu­tionality of this sec­tion in limiting judicial review of Public Contract Review Board decision, (1979) Vol 39, p 484

1 Legislative Counsel Committee, CHAPTER 279C—Public Improvements and Related Contracts, https://­www.­oregonlegislature.­gov/­bills_laws/­ors/­ors279C.­html (2017) (last ac­cessed Mar. 30, 2018).
 
2 Legislative Counsel Committee, Annotations to the Oregon Revised Stat­utes, Cumulative Supplement - 2017, Chapter 279C, https://­www.­oregonlegislature.­gov/­bills_laws/­ors/­ano279C.­html (2017) (last ac­cessed Mar. 30, 2018).
 
3 OregonLaws.org assembles these lists by analyzing references between Sections. Each listed item refers back to the current Section in its own text. The result reveals relationships in the code that may not have otherwise been apparent.