Las Vegas Sun

October 22, 2014

Currently: 62° — Complete forecast | Log in | Create an account

RTC to judge: Stay out of bus system dispute

The Regional Transportation Commission of Southern Nevada is urging a judge to stay out of the dispute over which company should operate the Las Vegas-area bus system.

First Transit Inc. of Cincinnati sued the RTC on Aug. 19 in Clark County District Court in hopes of breaking a logjam on the RTC board over whether it or incumbent Veolia Transportation Services Inc. of Lombard, Ill., will be awarded the contract. (First Transit currently operates the RTC’s paratransit bus service).

The disputed contract, valued at $83 million per year, is for three years but can be extended twice for two years each.

In its lawsuit, First Transit said the court needs to get involved because the current contract expires Sept. 25.

But Zev Kaplan, an attorney for the RTC, told Judge Rob Bare in a court filing this week that there’s no big rush to resolve the issue since the RTC can extend the current pact on a month-to-month basis through March.

"The RTC has exercised its rights under the existing contract to permit the extension, thereby affording the RTC the opportunity to take appropriate steps to reach a resolution of this matter," Kaplan wrote in a court filing. "The court should deny the request for a writ (court order) or injunctive relief as being neither required nor proper as an exercise of the court’s authority at this time."

Attorneys for Veolia, in the meantime, have filed a motion to intervene in the lawsuit – a motion opposed by First Transit.

Veolia, in its filing, agreed with the RTC that the First Transit lawsuit is "undoubtedly premature" and argued Veolia "is a necessary party to these proceedings."

Veolia is represented in the lawsuit by the law firms Weinberg, Wheeler, Hudgins, Gunn & Dial LLC and Kaempfer Crowell Renshaw Gronauer & Fiorentino.

First Transit attorneys with the firm Lionel Sawyer & Collins, however, said Veolia’s proposed intervention "would only create needless confusion, delay and increased costs."

They said that’s because the RTC is already defending itself against the lawsuit and -- as the losing bidder by some $50 million -- Veolia has no "legally cognizable interest and no viable grounds for intervention."

Hearings are set for next week on whether Bare will entertain Veolia’s intervention request as well as on First Transit’s request for a court order requiring the RTC to award it the contract.

During its meeting Thursday, with the litigation under way, the RTC board directed its staff to return at the next meeting with more information on how it can proceed and options for splitting the bus system into multiple smaller contracts.

Join the Discussion:

Check this out for a full explanation of our conversion to the LiveFyre commenting system and instructions on how to sign up for an account.

Full comments policy

Previous Discussion: 1 comments so far…

Comments are moderated by Las Vegas Sun editors. Our goal is not to limit the discussion, but rather to elevate it. Comments should be relevant and contain no abusive language. Comments that are off-topic, vulgar, profane or include personal attacks will be removed. Full comments policy. Additionally, we now display comments from trusted commenters by default. Those wishing to become a trusted commenter need to verify their identity or sign in with Facebook Connect to tie their Facebook account to their Las Vegas Sun account. For more on this change, read our story about how it works and why we did it.

Only trusted comments are displayed on this page. Untrusted comments have expired from this story.

  1. Yesterday the RTC cut the size of the area where paratransit service is available.

    The County and thereby the RTC collects mega-millions of dollars in real estate and sales taxes each year in the far southwest of the Las Vegas Valley, yet provides NO BUS SERVICE AT ALL to those taxpayers who live south of Robindale and west of the 15.

    Yet the 4 corrupt politicians from Clark County and the City of Las Vegas, on the RTC's Board, want to spend an extra $50 Million of taxpayers money paying their cronies at Veolia to provide bus service.

    I consider the Democrat Attorney General, who "advised" the RTC that it must set aside its vote on the bus service contract to be part of the union-pandering crony crew on the RTC Board who want to rip off Clark County's taxpayers and bus riders.

    RTC Board Member Chris Giunchigliani's morally corrupt union pandering, at the expense of taxpayers and the handicapped is especially heinous because of her phony public persona of "caring". She makes me want to vomit. I see her face on TV and think "What a puke".

    Similarly, I hold in very low regard the 4 RTC Directors from Henderson, Boulder City, North Las Vegas and Mesquite who switched sides and voted to spend taxpayers money fighting against the winning bidder's lawsuit. Those four are pukes AND cowards.

    Instead of staying out of the RTC's business, I think the judge should put the RTC into receivership and appoint a Special Master to contract with the low bidder and run the bus system in a way which complies with Federal law, including the equal protection right of residents of the southwestern portion of the Valley to bus service which others receive at taxpayer expense.

    I know, wishful thinking.