Securus Technologies v. Chris Christie, NJ, AG Letter Supporting MTD - DOC Phone Contracts (2017)
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of THe ~~+r y~ja~2k: ~~~~~ ~ ~~~~~~-,;~,~ ~- ~ yk ~ s ~~ T~J ~i:~ ~ h. (,~ S State of New Jersey Jersey State CHRIS CHRISTIE CHRISTIE Governor G overnor ATTORNEY GENERAL GENERAL OFFICE OF OF THE ATTORNEY PORRINO CHRISTOPHER S. PORRTNO CHRISTOPHER DEPARTMENT OF LAW LAW AND ANDPUBLIC PUBLIC SAFETY SAFETY DEPARTMENT Attorney General General Attorney DIVISION LAW D IVISION OF LAW PO Box Box 45029 45029 PO Newark, NJ Newark, NJ 07101 07101 •K IM GUADAGNO KIM GUADAGNO Lt. Governor Governor Lt. MILLER ICHELLE MILLER MICHELLE M Acting Director Director Acting M May 10, 2017 2017 ay 10, J.S.C. Honorable Honorable Kay J.S.C. Kay Walcott-Henderson, Walcott -Henderson, of Court Superior Court of New Jersey Jersey Superior Division, Mercer Mercer County County Law Division, 1 175 South Broad Broad Street Street 75 South Trenton, New Jersey Jersey 08608 08608 Trenton, Inc. v. Christopher Technologies, Christopher Re: Securus Technologies, Inc. v. Securus Re: Governor of New Jersey, et al. al. Christie, Governor of Jersey, et Christie, MER-L-143-17 Docket No.: No. : MER-L-143-17 Docket Dear Judge Dear Walcott -Henderson: Judge Walcott-Henderson: Defendants Christie, This Office represents Defendants Christopher Christie, Christopher Office represents This General Christopher Governor of Christopher S. Attorney General S. Porrino, Porrino, Attorney New Jersey, Jersey, of New G overnor of New Gary Gary of Jersey, New Jersey, Jersey Lanigan, Commissioner of the M. Commissioner of M. Lanigan, the New New Jersey Elizabeth Commissioner and Elizabeth Connolly, Corrections, Department of and Connolly, Commissioner Department of Corrections, of of Human Services above of Human Services in the the Department of in Department the aboveJersey New Jersey the New of referenced matter. matter. Please this letter brief in of aa accept this letter brief in lieu Please accept lieu referenced Dismiss brief in of Motion to of Defendants' Defendants' Motion to Dismiss in support support brief fformal ormal matter. this Complaint in this Plaintiff Securus' Complaint in matter. Plaintiff Securus' AND STATEMENT STATEMENTOF OF FACTS PROCEDURAL HISTORY HISTORY AND FACTS PROCEDURAL Law ("RCL"), ("RCL") , found N.J.S.A. Control New Rate Rate Control Law found at at N.J.S.A. Jersey's New Jersey's ensure 31, August 2016, operates to ensure 30:4-8.12, enacted on on August 31, 2016, operates to enacted 3 0:4-8.12, 1 1 County and County in State State and inmates in for inmates service for telephone service affordable affordable telephone provides: of the RCL provides: the RCL (a) of Subsection (a) institutions. Subsection nal institutions. correctional correctio person appropriate person Treasurer or appropriate [T]he [T]he State Treasurer private or private or county the of county the behalf on behalf of on with contract with shall contract facility shall nal facility correctional correctio not shall not whose rate rate shall vendor whose qualified vendor the qualified the domestic for domestic per minute minute for . cents per 11 cents exceed 11 exceed and who who calls and collect calls and collect pre-paid, and debit, pre-paid, debit, service any any service party any party any to bill to not bill does does not the per exceeding the fee exceeding additional fee charge charge or additional to, limited limited not but but including, including, rate, rate, minute minute account set up fee, surcharge, account call surcharge, any per call account monthly account fee, monthly fee, statement bill statement bill fee. or refund maintenance charge, (a)]. 30:4-8.12(a)]. [N.J.S.A. 30:4-8.12 entities and county county entities State and prohibits State RCL prohibits the RCL above, the forth above, As set forth bills provider that bills service provider telephone service from contracting with any telephone calls. Ibid. domestic calls. for domestic minute for per minute cents per of eleven cents in excess of.eleven contracts for that contracts provides that also provides RCL also n (a) (a) of the RCL Subsection Subsectio bidding ("ICS") are subject to public bidding inmate calling services ("ICS") [...] forth in [...] set forth provisions set procurement provisions "the procurement specifically, specifically, "the N.J.S.A. Statutes". N.J.S.A. Jersey Statutes". New Jersey the New of the 40A of Title 40A of Title 11 of chapter chapter 11 30:4-8.12(a). 30:4-8.12(a) subject to turn, limits contracts subject limits contracts Title 40A, in turn, Title years. five years. exceeding five not exceeding to terms terms not bidding to public bidding public N.J.S.A. maximum duration 40A:11-4.2; N.J.S.A. 40A:11-15(8) (limiting the maximum five to five ions services services to tions for telecommunica telecommunicat contracts for of public public contracts of . years) years). inmates, service for inmates, To further ensure affordable telephone service part: in pertinent pertinent part: law provides provides in the law of the (b) of n (b) subsection subsectio 2 "[a] accept shall not not accept facility shall correctional facility private correctional or private State, county, or telephone for telephone impose aa surcharge surcharge for or impose commission or a commission or receive or receive a the by the imposed .by the charges to the charges imposed addition to in addition inmates in usage by inmates usage N.J.S.A. 30:4-8.12(b) N.J.S.A. 30:4-8.12(b). provider." service provider." telephone service telephone Thus, requiring from requiring ional facilities facilities from prohibits correctional subsection (b) prohibits-correct subsection thereby (b) thereby Subsection (b) commissions. Subsection site commissions. pay site to pay providers to their providers to providers providers by caused to detriment caused financial detriment any financial offset any acts to offset acts to N.J.S.A. 30:4-8.12(b). (a). N.J.S.A. 30:4-8.12(b). subsection (a) in subsection the rate ceiling in shall 2 shall "section 2 that: "section provides that: also provides RCL also , the the RCL Importantly, Importantly telephone for inmate inmate telephone contract for renewal contract orrenewal new or any new to any apply apply to of enactment." enactment." the date after the date of or after in effect effect on or services in services N.J. to C. 30:4-8.11 at C. 30:4-8.11 to as codified codified at 3R, as 37, S1880 S1880 3R, P.L. 2016, c. 37, P.L. 2016, 8.14. ICS 31, 2016, August 31, enacted on August 2016, ICS was enacted RCL was Because the RCL Because the with must comply after that date must comply with that date on or after into on entered into contracts contracts entered cap. rate cap. cent rate eleven cent 2's eleven Section 2's Section remain Existing Existing contracts contracts remain rates the rates charge the continue to charge providers to continue the providers allowing the exempt, allowing exempt, agreed upon at the contract's inception. the Complaint Complaint in provider, filed the Securus, an ICS provider, Plaintiff Securus, Plaintiff 2017. January 18, 2017. matter on January this matter this declaration a declaration Securus Securus seeks a Clauses of the Process Clauses Takings and Due Process that the RCL violates the Takings New of the Clause of the New the Takings Takings Clause and the Constitution and States Constitution United States United the enjoin the injunction to enjoin an injunction as an well as as well Constitution, as Jersey Constitution, Jersey Complaint, In its A-C. its Complaint, C. In ¶¶ ACompl. ¶¶ . Compl. RCL. the RCL enforcing the from State f rom enforcing State significant costs to install and incurs significant Securus explains that it incurs 3 ~3 must that it must and that jails and it systems inin jails systems telecommunications operate telecommunications operate per cents per minute minute cents thirty-three at thirty-three least at least on average, average, on ccharge, harge, even. even. break to break only to the RCL cap - only cap times the three times t hree Id. at 18. Id. ¶ 18. at ¶ similarly-situated -situated similarly the RCLprohibits that prohibits claims the RCL that Securus also claims also Securus without without prisons in New New Jersey Jersey prisons ICS in ICS providing from providing vendors from vendors 22. at ¶ *22. loss. Id. at ¶ Id. at aa loss. operating at operating two two holds currently it holds that it currently that also represents represents Securus also Securus of of New Jersey: New Jersey: in the the State of ICS in State of ICS provision the provision for the for contracts c ontracts ICS to Cape May ICS to the Cape to the to provide provide with County, Cape May County, with Cape first he first tthe County, County, with Passaic with second Passaic the second and the Center; and Center; Correctional County Correctional County 17. 1 Jail. Id. Id. at ¶ 17.1 County Jail. at ¶ Passaic County the Passaic to the ICS to provide ICS o provide tto Contract County Contract Cape May County The Cape A. A. The 26, On March March 26, On Freeholders Chosen Freeholders of Chosen Board of Cape Cape May's May's Board 2013, 2013, a awarding a No. awarding No. 235-13 235-13 Resolution Resolution adopted adopted May Board") Board") "Cape (("Cape install install deliver, "to deliver, furnish, to Securus "to furnish, contract to Securus contract competitive c ompetitive jail and system telephone and jail system telephone new inmate inmate (1) new one (1) one and maintain a nd maintain the documents Court the documents consider to consider for Court to for this this 1 proper is proper It is 1 It documents, documents, public well as as as public as well Complaint the Complaint to in in the to rreferred eferred Sheet Sheet and and Bid Tally Bid Tally to Bidders Bidders to Notice Notice County's County's Passaic Passaic iincluding ncluding at at website public website public County's County's on on Passaic Passaic available available both ((both , s.aspx?bidID=1382&PRINT=YES) 382&PRINT=YES), http://www.passaiccounty h ttp://www.passaiccountynj.org/bidnj.org/bids.aspx?bidID-1 it converting it without converting Dismiss to without Dismiss Motion to this Motion of context the this in of i n the context Gandi, N. Am. N. V. Gandi, Am. V. Popular Banco Popular Banco motion. motion. judgment summary judgment tto a summary o a Ins., 440 Mfrs. v. New Jersey Ins. , 440 New Jersey Mfrs. Myska v. 183 161, (2005) ; Myska 183 (2005); 184 N.J. 161, 184 N.J. 523 523 N.J. 224 dismissed 224 ,, ) N.J. app. Div. app. dismissed Div.), (App. 482 (App. 458, 482 Super. 458, N.J. Super. N.J. 173, Super. 173, 405 N.J. N.J. Super. 405 Promotions, Promotions, Bostick v. v. Bostick NJ Sports Sports ((2015); 2015) ; NJ N.J. 97 v. New 434 N.J. Local New Jersey, Jersey , 434 Local 97 v. 2007); Div. Teamsters 2007) ; Teamsters 178 Div. (Ch. 1 78 (Ch. 2014) . 2014). Div. (App. Div. 412 (App. 393, Super. Su er. 393, 412 4 4 Center" Correctional Center" May County County Correctional Cape May the Cape at the system at management management system Contract"). Ex. A.2 May Contract") ("Cape ("Cape May for for a a provides MayContract Contract provides TheCape CapeMay The 2018. to March March 2018. 2013 to March 2013 from March term from five-year five-year term Ibid. term prior its five-year five-year term commenced its May Contract Contract commenced Because the Cape May to August 31, 2016, the RCL does not impact it. comply with to comply twice to amended twice The Cape May Contract has been amended law. federal federal law. Ibid. Board May Board the Cape Cape May 11, 2014, 2014, the March 11, On March the with new rate caps and the comply with to comply 168-14 to Resolution 168-14 adopted Resolution adopted the mandated by the interstate calls mandated surcharges for interstate of surcharges elimination of elimination on Then, on Ibid. Then, ("FCC").Ibid. ("FCC") Commission CommunicationsCommission Federal Federal Communications 173-16 Resolution 173-16 adopted Resolution May Board Board adopted Cape May 23, 2016, the Cape February 23, February of 22 rates of "call rates regulating "call order regulating FCC order another FCC with another comply with to comply payment the payment and prohibiting prohibiting the types" and call types" all call cents per minute for all earned. Ibid. revenues earned. on revenues commissions on of site commissions Contract County Contract Passaic County The Passaic B. The B. On On Chosen of Chosen Board of County Board Passaic County the Passaic 2010, the 24, 2010, April April 24, R-10-270 Resolution R-10-270 Freeholders Freeholders ("Passaic County Board") adopted Resolution following a Passaic County County following with Passaic contract with a contract Securus a awarding awarding Securus original contract contract is The original B. The Ex. B. process. Ex. bidding process. competitive competitive bidding 2010. dated dated May 25, 2010. Contract") County Contract") ("Passaic ("Passaic -County Ibid. The County Contract Contract ran from April 1, Passaic County term of the Passaic original term original renew at the option to renew one-year option a one-year with a 2013 with March 31, 2013 2010 2010 to March of the Certification Certification of to the Exhibit AA to to Exhibit A" refers refers to "Ex. A" "Ex. Patricia A. Krogman filed in support of this Motion. 2 5 has Contract has County Contract PassaicCounty ThePassaic Ibid. The County. Ibid. the County. of the option of option 2016, on December December 13, 13, 2016, recently on most recently been amended several times, most R-16-1024 Resolution R-16-1024 adopted Resolution Board adopted County Board Passaic County the Passaic when when the basis, month-to-month basis, extension, on aa month-to-month additional extension, ng an additional authorizing authorizi eliminating and eliminating eleven cents cents and at eleven rate at capping Securus' per minute rate time as such time RCL until until such the RCL with the comply with to comply commissions to site site commissions and ("RFP") and for Proposals Proposals ("RFP") Request for new Request issues a new County issues Passaic Passaic County contract. Ibid. of contract. award of new award recommends recommends aa new RFPissued RFPBoard issued County Board Passaic County the Passaic 2017, the February 15, 2017, On February the ICS contract contract for the renewal ICS on its renewal bidders on soliciting bidders 17-005 soliciting 17-005 submitted one Securus submitted response, Securus Ex. C. C. InInresponse, Jail. Ex. County Jail. Passaic Passaic County received prior to April 5, County received Passaic County that Passaic bids that five bids of the five 2017. Ex. D. Ex. Center County Procurement Procurement Center Passaic County However, However, the Passaic proper a proper submit a failure to submit on its failure based on bid based Securus' bid rejected rejected Securus' statement. disclosure statement. stockholder disclosure stockholder 40A:11-23.2(c). N.J.S.A. see also also N.J.S.A. Ibid.; Ibid.; see bid the bid reviewing the still reviewing is still County is Passaic County Passaic contract. Ibid. new contract. awarded aa new yet awarded not yet has not and has submissions and LEGAL ARGUMENT Standard of Review dismissed for be dismissed should be complaint should whether a complaint determine whether To determine granted can be be granted relief can which relief upon which claim upon to state state a claim failure to failure to limited to "inquiry is limited court's "inquiry 4:6-2(e), a court's to Rule Rule 4:6-2(e), pursuant to pursuant examining the legal sufficiency of the facts alleged on the face complaint." of the the complaint." Elecs. v. Sharp Elecs. Mart-Morristownn v. Printing Printing Mart-Morristow 6 the "search[] [] the "search court should should The court (1989). The 746 (1989) 739, 746 N.J. 739, 116 N.J. Corp., • , 116 Corp the whether the to whether to ascertain ascertain and with liberality liberality in depth and with depth in omplaint ccomplaint an an even from even from be gleaned may action gleaned of may be of action of aa cause cause of undament ffundament if to given amend if being given to amend being opportunity of claim, opportunity statement claim, obscure of statement bscure o necessary." ~ necessary." Ibid. Ibid. every every give plaintiffs must must give plaintiffs The court The court the as true "accept as facts and "accept fact and true. the facts inference ofof fact inference rreasonable easonable Super. Super. v. Hanna, v. 366 N.J. Hanna, 366 N.J. Darakjian complaint." Darakjian the complaint." in the alleged in a lleged at 116 supra, at Mart, N.J. 116 N.J. Mart, supra, Printing see Printing 2004) ; see 238, 242 Div. 2004); (App. Div. 238, 242 (App. 746. 746. plaintiff's supporting facts plaintiff's supporting facts "the essential essential Nevertheless, "the Nevertheless, to claim to the for claim for order the in order in presented must must be be presented of action cause action of c ause in that that are insufficient in allegations are insufficient allegations conclusory conclusory ssurvive; urvive; regard." r egard." 193 188, 193 Super. Super. 424 N.J. 188, N.J. Inc. , 424 Tech. , Inc., v. DRS Scheidt v. DRS Tech., Scheidt added). added) . 2012) Div. (emphasis 2012) (emphasis App. Div. ((App. be may not be "The motion motion not may "The the may the discovery that establish discovery may establish that on based the possibility denied possibility on the based denied for requisites for plaintiffs' plaintiffs' legal the requisites the legal claim; rather, rather, claim; equisite rrequisite v. v. itself." Edwards Edwards complaint itself." the complaint from the from be apparent must be apparent claim must c laim Div. 196, 202 (App. Super. (App. Div. 196, 202 Super. 357 N.J. N:J. Co., Co. , 357 Prop. & Cas. & Cas. Prudential Prop. Prudential 2003). 2003) . to the to the are beholden New Jersey are not Jersey in not beholden courts in New state courts Although state Although of of by virtue virtue courts by federal courts on federal placed on limits placed limits urisdictional jjurisdictional New Jersey New Jersey requirement, requirement, and controversy case and controversy case Article III's III's Article that that requirement the the preserved requirement preserved nonetheless have nonetheless courts have c ourts a existence ofof a the existence establish the establish must sufficiently sufficiently plaintiffs must plaintiffs 7 7 context. context. declaratory the declaratory the outside even outside even controversy" "justiciable controversy" "justiciable Schools Schools N.J. v. N.J. v. O'Shea O 'Shea Div. Div. (App. 317-18. 317-18. (App. for for claim laim c 312, 312, Super. Super. N.J. 388 N.J. Corp. , 388 Corp., Construction Construction a for a Thus, Thus, for 2006) . 2006). a a to state to state complaint complaint allegations allegations factual factual include must include must plaintiff aa plaintiff relief,. relief, claim. claim. justiciable to a justiciable to a rise rise giving iving g y, specifically, More specificall Ibid. Ibid. More that that must establish establish must together, taken together, , taken allegations allegations, factual he factual tthe plaintiff's on on plaintiff's predicated predicated right" of right" of "claim holds aa "claim holds plaintiff p laintiff by by denied affirmatively ely denied been affirmativ been have have which which rights," rights," "legal legal " defendant. defendant. 317. at 317. Id. at Id. , self-imposed self-imposed, connotes Justiciability connotes Justiciability on matters matters limitations on jurisdictional limitations constructed jurisdictional -constructed udicially jjudiciallyreview. review. judicial for judicial for ppropriate appropriate a v. v. Action Action Citizen Citizen N.J. See See N.J. 1997) . (App. Div. Div. 1997). 411 (App. 402, 411 Super. 402, Super. N.J. 296 N.J. Corp. , 296 Corp., Motel Riviera Riviera Motel and and breach, breach, the duty, duty, the whether whether into into inquire to to inquire courts courts IIt t requires requires and and determined, determined, identified, identified, judiciallybe judicially can can be asserted asserted rright ight molded. m olded. 281 (1981). (1981) . 87 N.J. 275, 281 N.J. 275, Gladden , 87 v. Gladden, v. Gilbert See See Gilbert justiciability lity ofof justiciabi aspects are aspects are ripeness and ripeness and Mootness ootness M to to granted is is only only granted review review judicial judicial that that with ensuring with ensuring cconcerned oncerned Tpke Tpke N.J. See N.J. harm. See immediate harm. with immediate threatened with plaintiffs threatened tthose hose plaintiffs Trini tas v. v . Trinitas (194 9) ; Betancourt Betancourt 241 (1949); 2 3 5 , 241 N. J . 235, Auth. v . Parsons, Parsons , 3 N.J. . v. Auth 301, 301, Super. Super. 415 N.J. N.J. Hosp., H osp• , 415 v. v. Jackson Div. 2010); (App. Div. 2010) ; Jackson 311 (App. 311 2000) . Div. 2000). (App. Div. 231 (App. 227, 231 227, Super. Super. N.J. 335 N.J. 335 Corrections, of Corrections, Dept. of Dept. as as treated be treated may be defense defense ripeness and a ripeness and defense defense mootness Both Both a a mootness . 4:6-2(e) Rule 4:6-2(e). under Rule under defense claim" defense aa claim" state to to state a "failure "failure a Famil Rezem Family at 393; 393; Rezem at Super. N.J. Super. 434 N.J. 434 supra, 97, supra, Local 97, Teamsters Local Teamsters 8 103 Super. 103 N.J. Super. of Millstone, Millstone, 423 N.J. Borough of v. Borough LP v. Associates, LP Associates, . 2011). (App. Div. 2011) POINT I BECAUSE DISMISSED BECAUSE BE DISMISSED MUST BE COMPLAINT MUST THE COMPLAINT THE "ACTUAL AN "ACTUAL PRESENT AN TO PRESENT FAILS TO SECURUS FAILS SECURUS THE THE UNDER UNDER REQUIRED RSY"SY"ASAS REQUIRED CONTROVER CONTROVE ORY JUDGMENT ACT. DECLARATORY DECLARAT the RCL a declaration declaration that that the Complaint, Securus seeks a In its Complaint, Due and Due Takings and 's Takings Constitutionn's States Constitutio United States the United violates violates the n's 's Constitution NewJersey JerseyConstitutio the New as the well as as .well Clauses, as Process Process Clauses, Securus. as applied to Securus. applied to and as face and its face on its both on Clause, both Takings Takings Clause, Compl. TT ¶~ B. A, B. A, Securus by Securus relief sought sought by such, the the relief As As such, ("DJA"). Act ("DJA"). Judgment Act Declaratory Judgment Jersey Declaratory New Jersey the New implicates the implicates N.J.S.A. 2A:16-50 to -62. DJA, a under the DJA, relief under declaratory relief for declaratory Claim for a claim state a To state establish to establish sufficient to allegations sufficient plaintiff must plead factual allegations 2A:16-61. " N.J.S.A. N.J:S.A. 2A:16-61. controversy.." "actual controversy of an "actual existence of the the existence judgment, enter aa declaratory declaratory judgment, or enter render or to render refuse to may refuse "The court may the terminate the not terminate would not it would entered, it rendered or entered, when, if if rendered when, " proceeding." to the the proceeding. rise to giving rise controversy giving or controversy uncertainty uncertainty or bing ing (circumscrib 235(circumscri N.J. 235 supra, 33 N.J. Parsons, supra, also Parsons, see also Ibid.; see Ibid.; salutary on "the "the salutary based on DJA based the DJA providedbyby the remedies provided remedies not be may not courts may the courts of the jurisdiction of the jurisdiction that the on that ation qualificati qualific Supreme Our Supreme controversy")). Our actual controversy" an actual of an absence of in the absence invoked in invoked requirement " requirement controversy" "actual controversy the "actual that the clarified that Court has clarified Court 9 D functioning functioning opinions, advisory opinions, advisory rendering from rendering from courts precludes courts precludes other other issues or deciding or deciding issues cases, moot cases, moot deciding deciding abstract, n the iin the abstract, adversary adversary affecting affecting conclusively conclusively issues issues contested contested "concrete han "concrete tthan in interest." interest." parties parties in at 240. 240. Id. at Id. where where aa As As a consequence, consequence, of an an of the the existence establishing establishing facts facts existence plead to plead fails to plaintiff fails plaintiff to to entitled not entitled plaintiff isis not controversy," controversy,"thethe plaintiff actual " "actual dismissed. The The must bebe dismissed. complaint must the complaint and the relief, and declaratory relief, declaratory of the of the for the the adjudication remedy for adjudication a remedy provide to to provide designed DJA DJA is is designed has no been no "where there has been "where there Likewise, parties. Likewise, the parties. of the rights of llegal rights egal . DJA is available. the DJA not available. the is not right," right," claimed of the of the claimed invasion . invasion IIbid. bid. judicial judicial DJA to to secure the DJA invoking secure the is is invoking Securus Here, Here, Securus the Cape in the Cape May interests in purported interests its purported regarding regarding its djudication aadjudication legal not have a legal does does not Securus have a But Securus Contracts. But County Contracts. Passaic County a and nd Passaic the contract contract County Passaic County -- the with Passaic with contract contract continued to a a continued rright ight to commenced. has that and that has commenced. process process bidding, and bidding, public to public to iis subject s subject is is a provider until until new provider a new effect in effect only in is only contract is contract The current The current Securus Securus To the the extent extent underway. To process isis underway. that process and that and ssecured, ecured, is is contract contract its extended its extended because harmed because been harmed has been it has it cclaims laims to provide chose to to continue to provide itself continue chose itself Securus RCL, Securus the RCL, to the ssubject to ubject bid to to bid is is free Securus free rate. Securus cent rate. eleven cent the eleven at the services at he services tthe but is not to pass, or to is not but pass, contract or contract County County new Passaic new Passaic ffor the or the County County to Passaic ICS Passaic ICS to provide to to provide continue to continue entitled to entitled llegally egally contract. current contract. its current of its expiration of the the expiration aafter fter 10 continues County continues May County with Cape Cape May with contract Securus' contract Moreover, Securus' Moreover, RCL. By the RCL. by the unaffected by remain unaffected will remain and will 2018, and until 2018, until iin effect n effect As contracts. As renewal contracts. or renewal new or to new applies to only applies RCL only the RCL terms, the iits ts terms, the the to charge to charge continue to to continue entitled entitled legally is is legally Securus Securus a result, result, a County. May County. Cape May in Cape ICS in for ICS rate for original rate original not is not The RCL is The rretroactiv etroactive. e. s allegation allegations factual plead factual to plead to failed has failed Securus has Because Securus Because County County to Passaic to the the Passaic with respect respect with right legal right any legal establishi stablishing ng any e with with right right claimed claimed of its of its invasion an invasion ng an establishing or establishi Contract or Contract not not DJA is the DJA is the Contract, Contract, County May County Cape Cape May the to the to rrespect espect dismissed. be dismissed. must must be Complaint the Complaint and the and available a vailable II POINT II BECAUSE DISMISSED BECAUSE BE DISMISSED MUST BE COMPLAINT MUST THE COMPLAINT THE ON. FOR ADJUDICATION. RIPE FOR NOT RIPE IS NOT CLAIM IS S' CLAIM SECURUS' SECURU Generally Ripeness Generally A. . Ripeness A as as such time time until such until Complaint the Complaint the dismiss dismiss should should This Court Court This of of causes causes into into have ripened ripened have that that issues pled issues and has has pled can and Securus can Securus ction. a action. the the requires that requires that doctrine justiciability lity doctrine is aa justiciabi Ripeness is Ripeness is is case aa case whether of whether determination ion of determinat threshold the threshold make the to to make court c ourt a premature premature rendering avoid avoid rendering thereby and and thereby review review judicial for judicial rripe ipe for decision. decision. of Department t of v. Departmen n v. Ass'n ty Ass Hospitali Park Hospitality Nat'l Park Nat'l 1017 2d 1017 L. Ed. Ed. 2d 155 155 L. 2026, Ct. 2026, S. Ct. 123 S. 808, 123 803, 808, U.S. 803, 538 U.S. 538 IInterior, nterior, two to a twoto a pursuant pursuant ripeness ripeness analyze analyze courts Jersey courts New Jersey ((2003). 2003) . New 11 11 pronged analysis: hardship the hardship (2) the prong; and and (2) fitness prong; (1) the fitness (1) U.S. of U.S. the Office From the Office of Menendez From Robert Menendez Recall Robert to Recall Comm. to prong. Comm. prong. Co. v. Trust Co. Empire Trust (2010); Empire 99 (2010); 79, 99 204 N.J. 79, v. Wells, Wells, 204 Senator v. Senator (1940); 411 (1940); N.J.L. 406, 406, 411 Navigation, 124 N.J.L. and Navigation, Commerce and Board of Commerce Board Jersey New Jersey Inc. v. New Jersey, Inc. Cent. Jersey, North Cent. of North Companies of Hovnanian Hovnanian Companies 9-10 (App. Environmental Protection, 379 N.J. Super. 1, 9-10 Dept. of Environmenta Div. 2005). Supreme New Jersey Jersey Supreme the New 99, the supra, 204 N.J. at 99, Menendez, supra, In Menendez, drawing by drawing test by the ripeness ripeness test Court analyzed the fitness prong of the issues. factual issues. and factual legal and between legal a distinction distinction between as: Menendez as: issue in Menendez framed the issue framed the Court The Court The Uniform the Uniform under the whether, whether, under 19:27A-18, to 19:27A-18, 19:27A-1 to N.J.S.A. 19:27A-1 ("UREL"), N.J.S.A. Election Law ("UREL"), Recall Election Recall submitted had submitted committee had recall committee the recall that the intention that the notice of intention complied petition complied recall petition its recall of its support of Secretary in support with the Secretary with su ra, 204 Menendez, supra, 19:27A-6. Menendez, N.J.S.A. 19:27A-6. of N.J.S.A. provisions of with the provisions with 19:27A-7(a) N.J.S.A. 19:27A-7(a). 88; N.J.S.A. N.J. at 88; The Court characterized this Division's the Appellate Appellate Division's reversed the and reversed legal" and "purely legal" issue issue as "purely pending grounds pending on ripeness ripeness grounds complaint on the complaint dismiss the decision decision to dismiss supra, 204 Menendez, supra, record. Menendez, the record. of the development of factual development further factual statutory of statutory legal issues issues of that legal explained that Court explained TheCourt N.J. at 94. The N.J. issues, to fact-based fact-based issues, opposed to on, as opposed interpretation, regulatory interpretati or regulatory unlikely review because because they are unlikely judicial review are generally fit for judicial Menendez, facts. Menendez, additional facts. of additional development of the development from the to benefit from supra, 204 N.J. at 99. 12 the in Menendez, in Menendez , the issue legal" issue legal" "purely to the "purely to the In contrast contrast In fact -based: is is fact-based: here here iissue ssue an an RCL constitutes constitutes the RCL whether whether the ICS ICS other and other Securus and deprives Securus that deprives taking that nstitutional ional taking unconstitut unco by law by of law process of due process without. without due property their property of their providers of providers a a recoup to to recoup charge must charge must providers what providers below what caps below rate rate caps iimposing mposing return. return. easonable rreasonable the the for for review, review, be ripe ripe to to be issue issue this For For this a court a court to allow to allow sufficient sufficient facts facts allege to allege have to would have Complaint would Complaint similarlyand and similarlySecurus Securus precludes RCL precludes the RCL the whether whether determine o determine tto investments investments initial initial their their recouping from recouping from providers ICS ICS providers ituated ssituated aa reasonable reasonable plus plus costs costs operating operating their their recovering from recovering nd from aand rreturn. eturn. in Menendez , in Menendez, issue issue legal" legal" "purely the "purely to to the In contrast contrast In of of development the development from the from benefit would would benefit that that issue an issue is is an his tthis facts. facts. dditional additional a the the dismiss dismiss should should Court this Court Accordingly, Accordingly, this Complaint. Complaint. the to the respect to with respect distinguishable hable with distinguis also is also is Menendez enendez M has made has made Here, Securus Securus analysis. Here, ripeness analysis. its ripeness of its prong of hardship prong hardship in made made in the showing showing to the to analogous harm" analogous of harm" showing of "sufficient showing no "sufficient no at 100. 100. at N.J. 204 N.J. 204 supra, supra, Menendez, Menendez, Menendez. M enendez. the the In Menendez, In Menendez, ripeness the by invoking the ripeness invoking by that that observed observed Court Court Supreme Supreme Jersey New Jersey UREL UREL the the declaring from declaring from abstain to abstain means to doctrine asas aa means doctrine the acknowledging ing the albeit acknowledg unconstitutional,"tional," albeit y unconstitu "manifestl manifestly " the Appellate the Appellate in the future, the future, in declaration a declaration such a of such possibility of possibility to to recall process process the recall allowed the incidentally allowed decision incidentally Division's decision Division's forward. move m ove forward. to to decision decision its its absent absent that that observed observed Court The Court The 13 13 be would be Menendez would Senator Menendez effect, Senator incidental effect, this incidental reverse this reverse recall of a recall t of establishmennt oversee the establishme to oversee obligated to statutorily obligated statutorily from his consequentially detract from would consequentia committee, which would defense defense committee, harm the public. public. and harm ties and responsibilities l responsibili congressional congressiona N.J. at 100. 204 N.J. supra, 204 supra, Menendez, decision by the Further, Further, a subsequent decision after ional" onal" after unconstituti "manifestly unconstitut was "manifestly process was the process Court that the Court undermine would undermine to proceed proceed would having allowed that very same process to process. electoral process. the electoral confidence in the public confidence public Ibid. Thus, the Thus, harm ed harm had demonstrat Menendez had demonstrated Senator Menendez that Senator found that Court found Court prong. Ibid. hardship prong. the hardship satisfy the to satisfy sufficient to sufficient Here, Securus has failed to show that the RCL has forced it New ICS in New of ICS provision of its provision from its away from resources away to redirect redirect resources to Counties. Also, May Counties. Cape May and Cape Passaic and of Passaic detriment of the detriment to the Jersey to substantial that aa substantial showing that facts showing allege facts failed to allege has failed Securus has Securus threatened in the event that this Court interest will be threatened public public interest public the public Rather, the RCL. Rather, the RCL. invalidate the immediately invalidate to immediately declines to declines RCL: the the RCL: of the ality of constitutionality the constitution upholding the favors upholding interest favors interest prices on requiring lower prices taxpayers by requiring Jersey taxpayers RCL benefits benefits New Jersey and rate cap cap and the rate through the both through ICS, both for ICS, contracts for public contracts public the ties ties and strengthens strengthens the commissions,, and site commissions of site ion of elimination eliminat local and local their families families and and their populations s and inmate population between inmate between communities by ensuring affordable means of communication. allegations factual allegations Complaint omits factual because the Complaint Therefore, because Therefore, hardship the hardship prong or the fitness prong the fitness either the satisfy either to satisfy sufficient to sufficient 14 yet have yet of the the Complaint Complaint have alleged on the face of the facts alleged prong, the prong, to ripen into a claim upon which relief can be granted. the Cape May County Contract to the Respect to With Respect Ripeness With B. Ripeness because it fails to should be dismissed because Complaint should Securus' Complaint Securus' or the the hardship hardship prong allege facts satisfying either the fitness or with test specifically specifically with ripeness test two-pronged ripeness Jersey's two-pronged of of New New Jersey's respect to its Cape May County Contract. entitled to set the same rates as contractually entitled Securus is contractually Securus its contract under its date under contract with effective date the RCL's RCL's effective it set prior to the this Court or does does or Court does whether this of whether Regardless of County. Regardless Cape May County. Cape Plaintiff to Plaintiff threat posed any threat posed to RCL, any operation of the RCL, not enjoin operation expires County Contract May County Contract expires Cape May the Cape until the would not even arise until would 2018. 26, 2018. March 26, on March Ex. A. See Ex. See would threat would then, the Even the threat Even then, adjudication. judicial adjudication. for judicial premature for too premature remain remain too the Upon the Upon will have Plaintiff will 2018, Plaintiff Contract in 2018, expiration of the Cape May Contract duration allowed the maximum maximum duration for the County for May County provided ICS to Cape May re-bid must re-bid County must by N.J.S.A. 40A:11-4.2 and -15(8) before the County bidding requirement. requirement. public bidding the public pursuant to the contract pursuant the contract the The to participate participate in of Securus Securus to ability of the ability limits the way limits no way RCL in no proposal. bid proposal. submitting a bid process by submitting that process that Securus If, as as Securus If, of the rate ceiling set under the RCL effect of net effect the net contends, the contends, uated similarly-situated andsimilarly-sit ofSecurus Securusand ability of the ability impair the is to is to impair return reasonable return recovering a reasonable from recovering providers from ion providers unication telecommunicat telecomm present a able to present be able would be Securus would then Securus investments, then their investments, on their 15 and and real the the real to establish establish to tending tending allegations allegations factual with factual court with court that at that the RCL at enforcement ofof the by enforcement threatened by harm threatened harm iimmediate mmediate ttime. ime. factual factual to to plead plead fails fails here here Complaint the the Complaint contrast, In contrast, In a existence ofof a the existence establish the sufficientto to establish s sufficient allegation a llegations if Even if adjudication. Even judicial adjudication. for judicial ripe for controversy ripe controversy usticiable jjusticiable the to amend the to amend leave leave Plaintiff Plaintiff permit to to permit were were Court Court his tthis amended amended in in its its to plead plead need to would need Securus would facts SeCurus the facts Complaint, the Complaint, to come to to come yet to have have yet to dismiss to dismiss motion survive aa motion to survive Complaint to Complaint ruition. ffruition. because because the Complaint the Complaint dismiss dismiss should should Court this Court Therefore, this Therefore, that that rights rights on purported purported rest rest on therein therein allegations allegations factual tthe he factual uncertain" and and uncertain" contingent, contingent, "future, as "future, d as characterized be characterize can only be an only c See review. See judicial review. for judicial ripe for not ripe are not that are claims that claims purported and nd purported a 302 302 295, 295, Super. Super. N.J. 376 376 N.J. Bergen, N. Bergen, of N. v. Twp. Twp. of Co. v. Co. Realty Realty ndep. IIndep. DOI, v. DOI, Ass n v. Ass'n Hospitality Park Hospitality Nat'l Park Nat'l also see also 2005) ; see 2005); Div. App. Div. ((App. (2003) . 1017 (2003). 2d 1017 L. Ed. Ed. 2d 155 155 L. 2026, Ct. 2026, S. Ct. 808, 123 123 S. 803, 808, 538 5 U.S. 803, 38 U.S. POINT III THE PASSAIC ON THE PASSAIC BASED ON CLAIMS BASED PLAINTIFF'S CLAIMS PLAINTIFF'S MOOT DISMISSED AS MOOT SHOULD BE DISMISSED CONTRACT SHOULD COUNTY CONTRACT COUNTY CONTRACT CONTRACT THE THE ON ON RE-BID RE-BID HAS BECAUSE SECURUS FOR REASONS REASONS REJECTED FOR WASREJECTED BID WAS BUT ITS ITS BID BUT RCL. THE RCL. THE TO TO ELATED UNLRELATED UNLR A on on power power judicial judicial to exercise exercise to decline decline should should court court an an allege allege sufficiently to sufficiently fails to f fails plaintif grounds where where plaintiff mootness grounds mootness harm. of harm. threat of threat mmediate iimmediate . 2014). Div. 2014) (App. Div. 219 (App. 203, 219 203, Super. Super. 436 N.J. 436 N.J. Nugiel, v. Nugiel, Comando v. Comando original the original where the moot where is is moot issue An An issue 16 16 sought, the sought, and the decision decision result, as aa result, and as issue has been resolved, resolved, has been issue on effect existing o~ the no effect the existing practical can have no practical can have when rendered, when rendered, Ibid. Ibid. controversy. c ontroversy. to the that to contends RCL operates operates that the RCL Securus contends Complaint, Securus Complaint, its n its IIn under investments under and ongoing initial initial its and ongoing investments its confiscate effectively confiscate ffectively e County that and that May and with and Passaic County and Passaic Cape May contracts with Cape contracts iits existing ts existing because contracts because renew" these to to renew" contracts these unable even be be unable Securus "may "may even Securus must Securus that charge the must charge paying that rates Securus the rates paying [RCL] "[t]he [RCL] forbids forbids [t]he " ¶ investments." Compl. Compl. ¶ ongoing investments." and ongoing upfront and its upfront on its even on even break o break tto 25. 25. at the directed at the allegations several allegations several directed Securus raises raises Securus to to provide to provide situated to Securus Securus situated similarly similarly of vendors of vendors iinability nability without without the RCL's rate structure RCL's rate structure of the of the confines the confines within ICS I CS within 22 ¶ 22 loss. Id. at ¶ at aa loss. Id. at operating at operating effect effect RCL can can have have no the RCL no practical practical the enjoining enjoining A decision decision A Securus Securus County with Passaic because County because with Passaic contract current contract on Securus' current Securus' on a a RCL on the RCL with the with consistent rate consistent a rate a to charge charge to has agreed has agreed in process bidding Passaic in Passaic public bidding public until the basis, until process the basis, emporary ttemporary the of the whether of whether imminent. Regardless which isis imminent. Regardless concludes, which County concludes, County aa reasonable from reasonable from recovering Securus recovering Securus to prevent to prevent operates RCL operates issued County issued Passaic County already investments, already upfront Passaic investments, on return upfront on its r eturn its proposals proposals one of of the the five five submitted one already submitted already RFP, RFP, Securus Securus iits ts rejected already County rejected and Passaic already County Passaic thereto, and thereto, rresponding esponding Ex. considerations. Ex. rate considerations. unrelated toto rate reasons unrelated for reasons bid for Securus's bid Securus's a to a failure submit to submit on Securus' failure Securus' on based bid bid based Securus' Securus' D (rejecting D (rejecting 17 7 1 by N.J.S.A. as by N.J.S.A. as required statement statement required disclosure disclosure stockholder proper stockholder proper ) 40A:11-23.2(c)). 4 0A:11 -23.2(c) alleges alleges the Complaint insofar as as the insofar Complaint Therefore, Therefore, with contract with existing existing both contract both Securus' Securus' the impairs that RCL impairs t hat the RCL to ability that to renew renew that as ability Securus' as Securus' as well well County, as Passaic County, Passaic is moot. is moot. the issue the issue contract, ontract, c "the to "the As As applied to Securus, applied Securus, to interference to judicial judicial litigation," interference the the litigation," who initiated part[y] who initiated part [y) "can "can County Passaic Contract the Passaic to to the County Contract application the RCL's application enjoin e the RCL's njoin See controversy." See existing existing on the on the controversy." effect effect practical no have h ave no practical Comando, Comando, Super. Super. 436 N.J. supra, N.J. 436 supra, DeVesa DeVesa (quoting at 219 219 (quoting at v. v. Dorsey Dorsey, , J., ). J. , concurring)). concurring) (Pollock, (1993) (Pollock, 420, 428 (1993) 134 N.J. 420, 428 134 N.J. Passaic Passaic harm the harm reveal that that the threatened threatened .reveal RFP results results County's RFP County's has relief already relief has already for declaratory for declaratory request Securus' request underlying Securus' underlying to unrelated the wholly to the wholly of statute unrelated a statute of a the hands at the hands materialized at m aterialized rise to giving rise the statute giving to the statute unconstitutional unconstitutional RCL, allegedly RCL, the the allegedly Complaint. Cs~mplaint. in Plaintiff's in Plaintiff's allegations a llegations this this to RFP 17-005 17-005 renders to RFP of renders of finality finality the lack lack Although the Although of rejection of County's rejection Passaic County's review, Passaic review, for judicial unfit for judicial matter atter m unfit its not for its Complaint for of the the not Complaint dismissal of dismissal bid warrants warrants Securus' bid Securus' of moot of moot assertion its for its assertion but for claims but assertion ofof claims assertion premature premature than other rate other than rate on grounds grounds bid bid on Securus' Securus' By rejecting claims. Byrejecting c laims. facts set of of facts one set the one eliminated the County eliminated Passaic County Passaic considerations, c onsiderations, a to state claim relied a claim to state relied eventually may have eventually may have on which Securus which Securus on granted: been granted: have could have been relief could upon relief which upon which County Passaic County Passaic to Securus to to RFP-17-005 to Securus pursuant RFP-17-005 pursuant contract the awarded contract renewal the renewal a warded 18 bidder. bidder. successful as the the successful as of of set set no remaining is remaining is no there Thus, there Thus, matter matter in in this this proceedings proceedings further further would warrant that would warrant that ffacts acts future. foreseeable future. the foreseeable or in now or in the eeither ither as moot be dismissed as moot should be should dismissed Complaint the Complaint Therefore, the Therefore, of of threat threat an immediate establish an immediate establish neither can neither Securus can because Securus because an nor nor an May County Contract County Contract Cape Cape May its under under its interests interests harm to its harm to its its under its under interest interest any purported purported harm to of harm to any threat of threat iimmediate mmediate Contract. Passaic County Contract. Passaic County CONCLUSION CONCLUSION request request respectfully respectfully Defendants Defendants reasons, reasons, foregoing For the the foregoing For Complaint. the Complaint. of the dismissal of dismissal submitted, Respectfully submitted, Respectfully PORRINO S. PORRINO CHRISTOPHER S. CHRISTOPHER NEW JERSEY OF NEW NEY GENERAL GENERAL OF ATTORNEY ATTOR Defendants, for Defendants, Attorney for Attorney of Governor NJ of NJ Governor Christie, Christie, her Christopher Christop Porrino, S. Porrino, Christopher S. Christopher NJ of NJ General of Attorney Attorney General of of the the Commissioner Lanigan, Commissioner Gary M. Lanigan, Gary Corrections of Corrections Dept. of NJ NJ Dept. the of Commissioner of the Connolly, Commissioner Elizabeth Connolly, Elizabeth of Human Services Services Dept. of NJ Dept. NJ By By: > Dated: Dated: 570 7 G~/~ avAlif Dyke Van Dyke Chanel Chanel Van General Attorney General Deputy Deputy Attorney 165022015 ID No. No. ID Atty 165022015 Atty 19 19