For the second time this month, Atlantic Aviation on Thursday sued San Jose, faulting the city for failing to follow state and local laws when it selected Signature Flight Support last month to develop an $82 million elite corporate jet center at San Jose's airport.
The Signature facility will cater to private and corporate jets, including the growing fleet owned by top Google executives.
Atlantic's complaint, filed in Santa Clara County Superior Court, asks the court to reject all responses to the request for proposal and to reissue the bid to develop a facility on the airport's west side.
The city received three bids for the project, two of which -- including Atlantic's -- were rejected after city staff said they did not fulfill the requirements of the bidding process.
Atlantic's complaint alleges that the city allowed Signature to alter its bid at the last minute and overlooked deficiencies in its proposal.
It also alleges that Signature's bid claimed that all $82 million of its capital investment would come from Signature. Atlantic said documents reveal that Signature is only investing $28 million into the project, with the rest coming from Blue City Holdings, which manages the corporate jet fleet for Google executives.
"The RFP did not include the particular contract language as Atlantic suggests. They are simply wrong,'' said San Jose City Attorney Rick Doyle. "We think competition is good. Atlantic is apparently afraid of competition.''
-- Tracy Seipel, Mercury News