MaineCentric is challenging the state’s liquor distribution contract.
AUGUSTA – An Auburn company has filed a lawsuit in Kennebec County Superior Court, challenging the state’s award of its lucrative liquor distribution contract to a competitor.
Todd Prawer, owner of MaineCentric and SPC Transport, said the suit was filed after his attorneys reviewed the state’s procedure in awarding the $126 million contract to Martignetti Co., a Massachusetts-based company.
“There were legal issues that our attorneys felt were not followed,” said Prawer. “That’s why we’re going through this process.”
MaineCentric and another Maine competitor, Maine Liquor, challenged the state’s action to an appeals panel, which upheld the award to Martignetti on March 9. Both companies had 30 days to file suit in Superior Court. Maine Liquor filed its lawsuit Thursday.
At stake is the right to market and distribute liquor to nearly 300 state agency stores for 10 years. Both Maine companies allege procedures weren’t followed during the bidding process and that the state’s scoring process was flawed.
The state decided to privatize its liquor distribution operation last fall as a means to plug a budget shortfall. The winning bidder would agree to pay the state $75 million when the deal was signed, which would be used to fill a $125 million gap in the current budget.
Lee Umphrey, spokesman for Gov. John Baldacci, said he’s sure the cases will be settled quickly and that the state will prevail.
“The process was a good one and the rationale behind the selection of the company was solid, so we’re confident the decision will be validated,” said Umphrey.
The state needs to receive the $75 million before June 30 to apply to the budget shortfall this fiscal year. Umphrey said he expects the courts will realize the need for a timely resolution of the cases and schedule them accordingly.
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