Pubdate: Tue, 31 Dec 2002
Source: Kansas City Star (MO)
Copyright: 2002 The Kansas City Star
Contact:  http://www.kcstar.com/
Details: http://www.mapinc.org/media/221
Author: Dan Margolies and Mark Morris

JACKSON COUNTY CONTRACT WAS IMPROPER, LAWSUIT ALLEGES

A "politically motivated" Jackson County Legislature illegally awarded a 
$628,000 drug-treatment contract last month to a Kansas City company, 
according to a lawsuit filed Monday.

County Court Services Inc., the current contractor, says the Legislature 
gave the contract to Addiction Recovery Services Inc. even though 
independent bid evaluators recommended sticking with County Court Services.

County records show that the evaluators gave Addiction Recovery's proposal 
failing marks, while giving high grades to County Court Services and 
recommending that it retain the one-year contract.

"The legislature improperly and illegally awarded the contract not based on 
the lowest and best bid, but as a result of bad faith, favoritism, 
collusion and/or corruption," the lawsuit states.

Lawsuits against government officials over decisions they made in their 
official capacity are relatively rare. But a lawyer for County Court 
Services, Thomas Schweich, said he had "never seen a company with such low 
scores be awarded a contract like this. The numbers alone prove that 
something is wrong."

Timothy G. Donaldson, owner of Addiction Recovery, did not return calls and 
was not at home when a reporter visited his house on Monday evening.

In interviews last week and Monday, Legislature Chairman Victor Callahan 
defended the Legislature's decision, saying the issue "is ultimately the 
savings to the taxpayer and can we have quality service."

"The Legislature went with the lowest bidder after determining it could do 
the job and approved it unanimously," Callahan said.

Addiction Services' bid was $42,000 lower than the one submitted by County 
Court Services.

Callahan dropped out of the race for re-election in May amid rumors he is 
preparing to run for the Missouri Senate. His last day in office is today.

Jackson County's anti-drug program is funded by a quarter-cent sales tax 
and was approved in 1989. The tax generates about $18 million annually for 
drug prevention, treatment and law enforcement efforts.

The treatment program is an adjunct of the county Drug Court and provides 
services for an average of 400 clients at any given time -- or thousands 
per year. Drug charges are dropped if defendants complete a year or more of 
intense drug treatment, job counseling and other requirements.

It was unclear what effect the lawsuit would have on the program's clients. 
Addiction Recovery had planned to take over operation of the program on 
Thursday morning.

County Court Services is seeking an injunction to prevent that from 
happening. A hearing has been scheduled this morning before Jackson County 
Circuit Judge Jay Daugherty.

Treatment Contract

County Court Services has administered the county Drug Court's treatment 
program since 1995. It and Addiction Recovery were the only firms to submit 
proposals when the contract came up for renewal earlier this year.

At least two independent evaluators reviewed the bids and concluded that 
Addiction Recovery's was seriously deficient. Although its bid was less 
than its competitor's $670,000 proposal, both evaluators recommended that 
County Court Services be given the contract.

Acting independently of one another, the evaluators gave County Court 
Services an average score of 90 out of a possible 100 and Addiction 
Recovery an average of 45.5. Both concluded that Addiction Recovery's bid 
was not responsive to the bid request.

In two sessions in October, the Legislature proposed to award the contract 
to County Court Services. Then, on Oct. 28, Legislator Dan Tarwater, head 
of the Legislature's anti-drug committee, informed contract administrators 
that the contract would be awarded instead to Addiction Recovery, according 
to the lawsuit.

The lawsuit states that County Court Services believes that Tarwater and 
Donaldson "have a personal relationship, as friends and neighbors," that 
may have influenced Tarwater's and the Legislature's decision.

Donaldson is a certified substance-abuse counselor who has owned Addiction 
Recovery since 1998, according to his resume. He also owns Skylander 
Psychological Services Inc., which operates a crisis system for Ray County, 
and Health Productivity Services, which performs drug testing for Jackson 
County's Drug Court.

The lawsuit names the Legislature and Tarwater as defendants. A companion 
action asks the court to declare that the Legislature's action was improper 
and illegal, and to award the contract to County Court Services.

Tarwater did not respond to numerous calls over the past week seeking comment.

Defending The Contract

Callahan last week said that the evaluators' assessment "was important, but 
I think we can't go off the evaluation. You have to evaluate the 
evaluation. It's a beginning point. Sometimes they're wrong or have their 
own agenda."

The evaluations were performed by Bruce Eddy, executive director of 
Resource Development Institute, and Pat Stiler, director of Mid-America 
Addiction Technology Transfer Center. They were hired by Vicki Boyd, deputy 
administrator of the county's anti-drug program.

Callahan said he considered Addiction Recovery well-qualified to do the 
work, noting that it has a similar drug-treatment contract in Clay County.

That program deals with a much smaller caseload, about 25 clients. Clay 
County officials could not be reached for comment.

The lawsuits filed Monday came after the owner of County Court Services, 
Judy Chase, wrote to Legislator Bob Spence on Nov. 4 about her concerns 
over the way the contract was awarded. Five weeks later, Schweich, County 
Court Services' lawyer, sent a letter to Spence, Tarwater and Callahan 
demanding that the contract with Addiction Recovery be rescinded.

Shortly after that, Spence introduced a resolution to re-award the contract 
to County Court Services. The resolution wasn't seconded and died.

Spence on Monday said he introduced the new resolution "because I was 
asleep at the switch when we awarded the contract."

"It wasn't our finest hour, when there's a process set up to grade vendors 
and then it's totally ignored," he said.

Spence said that Tarwater and Callahan later "relieved my mind to some 
extent by pointing out that the current provider got the contract in 1995 
under similar circumstances....They also said the grading process was flawed."

The lawsuits allege that after Dec. 12, unidentified "influential proxies" 
for Tarwater, Callahan and the Legislature promised County Court Services 
"undetermined future government work" if the firm would forgo "exposing the 
improprieties" charged in the lawsuits.

County Court Services said it rejected the overtures. Chase declined to 
comment last week and referred inquiries to Schweich.

Callahan on Monday rejected the allegations about proxies acting on his 
behalf, saying he didn't know "what the lawsuits are talking about."
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