Novi Business Says State is Shutting Them Out of Office Supply Contract

A Novi office supply business says it and other small businesses in Michigan have been shut out of a multimillion-dollar contract with the state because of unfair bidding requirements and operations.

According to an article in the Detroit Free Press, the state is now in its third round of bidding after two controversial happenings. First, the state's top purchasing official quit to lobby for the company trying to keep the contract. Next, the state decided to add a requirement that any bidder have retail outlets all around Michigan — a requirement only national giant companies can meeting. 

Reuben Levy, president of Global Office Solutions in Novi, said the most recent stipulation is "completely ridiculous" and unnecessary for the contract.

"It's very frustrating, especially with the economic times and all the push for small businesses," he said.

Officials deny that they tailored the bidding requirements for Office Max, which held the contract, Office Depot or Staples, according to the Free Press.

Levy also said that he is disappointed in the state for not supporting veterans, like his partner, Bradley Lott, a retired Marine Corps major general who is president of True North in Port Huron. Together, they make up True North Global Office Solutions, which was one of the original bidders for the contract last October.

"It's simply not right. It's just not right going through. And the losers at the end of this are all the citizens, all the taxpayers, small businesses, service-disabled veterans," he said. "I think there needs to be some change and some oversight."

Levy said his company has hired attorneys and that letters have been sent to Gov. Snyder from the National Products Association questioning the situation.

"Right now we're hoping that they're going to take a look at this and open this up and say, yep, OK, this is wrong," Levy said. "We're not asking to just hand the contract over. We know we've got to bid and we've got to earn it. But at this point, we're saying, give us a fair opportunity."