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Nearly $400M State Contract Protested By AT&T

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TALLAHASSEE, Fla. (CBSMiami/AP) — Telecommunications company AT&T is raising questions about a new contract awarded to a rival to provide phone and internet services to the state of Florida.

AT&T now has the current contract which expires in 2016. But the company contends the administration of Gov. Rick Scott changed the requirements for a new contract after bids had been initially submitted.

AT&T's filing with the Department of Management Services contends "material changes" provided a competitive advantage to a subsidiary of Florida-based Harris Corp.

A DMS spokeswoman said she could not comment on the protest. A spokesman for Harris also declined comment.

AT&T paid a $3.6 million bond in order to challenge the contract. That equals about 1 percent of what AT&T was asking to get paid if it won the bid. The contract awarded by DMS is for seven years with an option for a seven-year renewal.

(TM and © Copyright 2015 CBS Radio Inc. and its relevant subsidiaries. CBS RADIO and EYE Logo TM and Copyright 2015 CBS Broadcasting Inc. Used under license. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed. The Associated Press contributed to this report.)


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