Purestone Files Protest Over Lajuna Point CLTC Property

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The CLTC began an RFP process and was about to award a project to Purestone LLC to quarry land in the Lajuna Point Area in Yigo before it had the rules and regulations necessary to conduct such deals. Ultimately the deal was cancelled by the recently passed rules and regulations that require the CLTC to start the RFP process over again.

Guam – The Chamorro Land Trust Commission began negotiating with a company called Purestone to quarry the Lajuna point property prior to having rules and regulations in place.

 

 They ultimately stopped the negotiating process but now that rules and regulations are in place the company has filed a protest because they now have to start over and compete against two other companies for the lease.

 Purestone LLC has filed a procurement protest with the office of Public Accountability over a lease of CLTC property in the Lajuna point area of Yigo for a quarry and affordable housing project. Purestone says they were awarded the lease but were told to stop and await a set of rules and regulations that are required for the CLTC to lease out any commercial property.

 Why did the Government of Guam issue an RFP award it and begin negotiation with Purestone LLC before it had rules and regulations in place? “We knew that we couldn’t do a lease or license without the rules and regulations in place so we were doing basically as an extraction agreement and as we were going through the negotiation process after the solicitations had been evaluated a new attorney came in for the Chamorro Land Trust Commission and upon her review of the whole process found that we probably shouldn’t be proceeding forth with this because the rules and regulations were not in place.”

 CLTC Administrator Mike Borja says that this is when the whole solicitation process and negotiations stopped. “We never came to a conclusion of the negotiations for the agreement at any time so we never signed anything for them to proceed.”

 According to the protest itself the negotiated contract with Purestone LLC was completed on Sept. 9th of 2014 but after review by the Assistant A.G. CLTC land management director and GEDA it was recommended that Purestone postpone any further action until rules and regulations were put in place.

 The CLTC then began to push for the passage of a set of rules and regulations. The first bill failed but a second bill was passed and signed into public law 175-33 earlier this year. The problem is that this law essentially cancels the RFP for Lajuna point and requires that the CLTC start all over again with the RFP process.

 This is why Purestone is now protesting. Purestone asserts that the public law does not void the RFP and that Purestone has the right to move forward with the contract that was negotiated in good faith with the Guam Economic Development Authority and the Chamorro Land Trust Commission. 

 According to the protest Purestone is competing with Hawaiian Rock Products, Perez Brothers Inc. and Smithbridge Guam for the Lajuna point project.