Attorneys fail in court to stop city's Sinclair demolition bidding process

Attorneys for two demolition contractors failed in federal and state court this afternoon to win injunctions to stop tonight's scheduled award of a city contract to demolish the Sinclair plant.    

At the same time, Assistant City Attorney Mo Sheronick told a federal judge that, as he understood it, the City Council is likely to throw out the 11 demolition bids tonight and start the bidding over.

Cedar Rapids attorney Tim White, who is representing Rachel Contracting of St. Michael, Minn., argued in front of U.S. Chief District Court Judge Linda Reade that she should grant an injunction to stop the city from awarding a demolition contract to a firm other than Rachel.

Rachel and another of 11 firms did not follow the city's bid specifications, which said the Sinclair demolition debris should be taken to the local 'Mount Trashmore' landfill.

White tried to make the case that the Mount Trashmore or Site 1 landfill is unlined and is poorly suited to handle asbestos-containing material and other dangerous waste from the Sinclair plant. He also noted that his firm's bid of $5.56 million was $4 million less than the nine firms that followed the city's bid rules and agreed to take the material to Mount Trashmore. Rachel and a second firm, Veit Specialty Contracting, both planned to take the Sinclair debris to much cheaper out-of-state landfills.

The city's Sheronick successfully argued in federal court that the Iowa Department of Natural Resources had approved the Mount Trashmore site for the Sinclair debris and the the Federal Emergency Management Agency had agreed to pay the demolition costs. It was the government agencies' role to make those decisions, not Rachel Contracting.

Additionally, Sheronick said it was the city of Cedar Rapids' right to design bid specifications for Cedar Rapids, not Rachel Contracting.

Judge Reade rejected White's call for a temporary injuction saying she did not think it would succeed on its merits should the litigation continue. She also did not think the company would suffer irreparable harm if the injunction were not granted.

Sheronick said a move by Veit in Linn County District Court to secure an injunction against the city also failed.