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Texas' Leading Newspaper $3.00 Dallas, Texas, Sunday, March 16, 2014
GOVERNMENT CONTRACTS
Agents
hiding in
the open
Popularity of undercover work raises
concerns about abuses, entrapment
FROM WIRE REPORTS
WASHINGTON — The federal government
has significantly expanded undercover opera-
tions in recent years, with officers from at least
40 agencies posing as businesspeople, welfare
recipients, political protesters and even doctors
or ministers to ferret out wrongdoing, records
and interviews show.
At the Supreme Court, small teams of under-
cover officers dress as students at large demon-
strations outside the courthouse to look for sus-
picious activity, according to officials familiar
with the practice. At the Internal Revenue Ser-
vice, dozens of undercover agents chase suspect-
Andy Jacobsohn/Staff Photographer ed tax evaders by posing as accountants or drug
dealers or yacht buyers, court records show.
Karin Quinn of Frisco says her sons, sixth-grader Conor (left) and seventh-grader Quinn, report math “instruction goes so fast that
Undercover work was once largely the do-
they cannot grasp the stuff.” Frisco ISD has acknowledged frustrations but says testing has found students are making progress.
main of the FBI, but changes in policies and tac-
tics over the last decade have resulted in under-
More math problems or answers? cover teams run by agencies in virtually every
corner of the federal government, according to
Parents, teachers and local mixed reviews of revised standards Texas Association of School Ad-
ministrators. AUSTIN
school officials across Texas are “It appears that everything
complaining that this year’s up-
graded math standards are leav-
ing too many students behind.
sion to this week’s agenda.
Count Frisco mom Kristen
Tripphahn among those hoping
“This is a train wreck,” Trip-
phahn said.
The new standards were ap-
they could do was not enough
and the amount of time they had
to prepare teachers was not suffi-
Perry aide
The outcry is not universal, for relief. Her son, a fifth-grader, proved by the state board in 2012. cient,” he said.
but it is widespread enough a
third of the way through the
school year that the State Board
hadn’t been used to struggling in
math. Until this year. She says the
school gave no warning that the
And this fall, district officials
across the state said they’d done
their best to get ready.
The early reviews are no worse
than mixed, said Monica Marti- promoted
of Education has added a discus- work would get a lot harder. But now many say their plans See BOARD Page 17A
despite DWIs
Governor knew official had 3 alcohol
Light winter mix possible NATION MINORITY- AND WOMEN-OWNED BUSINESSES
offenses, pressed DA to quit after 1
HealthCare.gov gets better start
H 40
The health-insurance marketplace opened
Saturday and performed better than last
Feds rip local agency By CHRISTY HOPPE
Austin Bureau
L 37 choppe@dallasnews.com
Metro, back page
year. Some consumers, however, did re-
port long delays using HealthCare.gov. 10A for certification denial AUSTIN — When Gov. Rick Perry tried to
INSIDE
Also: An adviser’s comments about the force a district attorney from office for drunken
Lottery 2A Puzzles 13-15E
health care law fuel calls for its repeal. 10A
Reversal follows ruling staffing firm after making nu- driving, he cited outrage at her behavior and a
merous unfair demands for loss of confidence in her ability to do the job.
Nation
World
4-11A
14-22A
Jumble
Jobs
9D
Sec. J
METRO that it made unfair information from the compa- But on his own staff, Perry has hired and pro-
Weather 12B Auto 18-19C ER clinics may wound your wallet demands of company ny. moted a top adviser with three intoxication of-
Sports TV 2C Travel Sec. K Customers who go to free-standing emer- The U.S. Department of fenses on his record.
Business Sec. D Editorials 2P gency rooms for treatment are receiving By KEVIN KRAUSE Transportation’s office of civil Wayne Roberts, who now heads up the gover-
Movies 2E Letters 2-3P sticker-shock bills, Watchdog warns. 1B and ED TIMMS rights overturned the North nor’s signature creation, the Cancer Prevention
Staff Writers
Central Texas Regional Certi- and Research Institute of Texas, was convicted of
©2014, The Dallas Morning News SPORTSDAY The federal government fication Agency’s decision and driving while intoxicated in 1990 and 2006. He
As football dads, ex-Cowboys fret has sternly rebuked a North strongly criticized it in a letter also was fined in 2000 on a charge of public in-
Former Dallas Cowboys are not immune to Texas agency that certifies for not knowing the law and toxication in Virginia.
fear while watching their sons play foot- businesses owned by minori- for using a process “more akin Perry made him budget director in December
ball. 1C ties and women for denying
certification to a temporary See FEDS Page 16A See PERRY Page 17A
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Metro
ON THE FRONT PAGE
Parents say no to STAAR testing
STAAR testing starts next week, and one Waco couple is trying to
opt out, sending a letter to the school, posting it online and drawing
the attention of organizations that oppose high-stakes testing.
Minority
contracts
at issue
Commissioners fault
An officer walks along Victory Plaza
Lane during the standoff. As of late certification agency but
Photos by G.J. McCarthy/Staff Photographer Tuesday, police were trying to deter- hold off on making changes
A Dallas police officer lobbed tear gas canisters into a unit of The Vista Apartments, where a man mine whether the man captured in the
held police at bay Tuesday. The incident led to the lockdown of nearby buildings. fifth-floor unit would be charged. By KEVIN KRAUSE
and ED TIMMS
Staff Writers
Standoff ends without injuries The lone agency that certifies mi-
nority businesses for Dallas County
came under fire Tuesday from county
commissioners, who questioned its
Police detain man who shot fifth-floor apartment window. “You have somebody in an elevated side of Woodall Rodgers Freeway. management and oversight while
SWAT officers used tear gas to end position that you don’t know what But after all the trouble, investiga- considering whether to allow other
out apartment window, take the standoff without injuries shortly their intent is when you get there,” he tors were still trying to determine late entities to provide such certification.
him for mental evaluation before 1 p.m., but the incident shook said. Tuesday whether to charge the man, County Judge Clay Jenkins wants
some residents of The Vista Apart- The apartment building is within who was receiving a psychological to know whether the county should
By TRISTAN HALLMAN ments in the 2300 block of North a stone’s throw of the Perot Museum evaluation at a local facility. They had allow other organizations in addition
and CHRISTINA ROSALES Houston Street. Police had saturated of Nature and Science and the W Ho- not recovered a gun yet, either. to the North Central Texas Regional
Staff Writers
the downtown area and blocked off tel. Police locked down those two Police didn’t release the man’s Certification Agency to certify busi-
Dallas police put the Victory Park streets starting about 10 a.m. because buildings, as well as the Dallas World name, but neighbors and other news nesses seeking county work. He said
area on lockdown for nearly three of the dangers of an active shooter in a Aquarium and Booker T. Washington accounts identified him as David Ar- doing so would give those firms more
hours Tuesday while engaged in a “highly populated area,” Deputy Chief High School for the Performing and opportunities to do business with the
standoff with a man who shot out his Scott Walton said. Visual Arts, which are on the other See POLICE Page 8B county.
Ultimately, however, commis-
sioners decided to have staff mem-
bers study the matter for a couple of
INSIDE PLANO weeks before deciding whether to
Suspension over, make changes. Some commissioners
minister says
The Rev. Bill McElvaney of
the United Methodist
Abbott sides with hospital in lawsuit said they should wait for the conclu-
sion of a racial-disparity study being
done by a county consultant.
Church says that he be- Baylor accused of protecting Abbott. The suits challenge Ironically, that was the same rea-
Abbott filed mo- the constitutionality of son commissioners gave in Septem-
lieves his suspension for
conducting a same-sex
a neurosurgeon whose tions to intervene in a state law that re- ber 2011for delaying any action when
wedding is over. 7B patients died or were maimed three separate federal quires the plaintiffs to Commissioners Court Administra-
court suits brought prove that Baylor act- tor Darryl Martin proposed identical
DART arrives at By DOUG J. SWANSON against Baylor Plano ed with actual intent changes for the minority certifica-
D/FW on Aug. 18 Staff Writer
by former patients of to harm patients. Ab- tion process.
dswanson@dallasnews.com
DART will begin running GREG Dr. Christopher CHRISTOPHER bott seeks court per- The suggested change comes af-
light-rail trains to Dallas/ The Baylor Regional Medical Cen- ABBOTT Duntsch. They have DUNTSCH mission to defend the ter The Dallas Morning News report-
Fort Worth Airport on ter at Plano, accused of protecting a alleged that Baylor statute. ed earlier this month that the county
Aug. 18. 8B neurosurgeon who allegedly killed and knew Duntsch was a dangerous physi- If Abbott’s position is upheld, the currently accepts certification only
Ratcliffe picks up maimed patients, gained an ally this cian but did not stop him from per-
week in Texas Attorney General Greg forming back surgery. See ABBOTT Page 9B See MINORITY Page 8B
key endorsements
John Ratcliffe has
grabbed the endorse-
ment of two Washington
conservative groups in his TEXAS COMMISSION ON ENVIRONMENTAL QUALITY
primary runoff with Rep.
Ralph Hall. 9B
ALSO
Panel to end EPA standoff, vote on greenhouse gas permits
■ Cedar Hill ISD names By RANDY LEE LOFTIS taking over the permits from the voted to end a standoff over per plant: an EPA greenhouse have sought permits.
Environmental Writer
superintendent finalist. 5B
rloftis@dallasnews.com
Environmental Protection greenhouse gas permits. permit and a TCEQ permit for One is ExTex LaPorte L.P.’s
■ Trial starts for woman Agency. The EPA has issued The EPA launched the per- all other pollutants. Mountain Creek natural-gas
accused of running over Texas regulators are to vote them in Texas since 2011. mits in 2010. Texas refused to The EPA said Texas compa- power plant in Dallas County.
pregnant cousin. 7B Wednesday on issuing green- Permits cover power plants, join in as part of a broader resis- nies deserved one-stop permits. Others are Southern Power’s
house gas permits to new or ex- refineries and some other in- tance to controlling global- The Legislature agreed. TCEQ Trinidad natural-gas power
INSIDE panding industries — some- dustries. They apply to new warming-related emissions. commissioners will vote in Aus- plant in Henderson County and
County roundup 2-3 thing they loudly refused to do greenhouse gas emissions equal The strategy threatened to tin. Voting no “would represent Targa Gas Processing LLC’s
Norma Adams-Wade 5 three years ago. to 100,000 tons of carbon diox- impede industries by forcing a failure to implement legisla- Longhorn plant in Wise County.
Obituaries 6-7 Some plants are in North ide per year. them to go straight to the EPA, tive directive,” agenda backup
Weather 10 Texas. The Texas Commission The TCEQ is following or- which has few permit reviewers. material says. Follow Randy Lee Loftis on
on Environmental Quality is ders. In 2013, the Legislature It also required two permits Since 2011, 83 Texas plants Twitter at @RandyLeeLoftis.
. . . . . . . .
8B Wednesday, March 26, 2014 REGION dallasnews.com The Dallas Morning News
DALLAS COUNTY
Minimum
wage hike
proposed
Jenkins urges paying “You are going to see our
bids go way up across the
contract workers at board,” he said.
least $10.25 an hour Democrats John Wiley
Price and Elba Garcia ex-
By MATTHEW WATKINS pressed concern that Jen-
Staff Writer
mwatkins@dallasnews.com
kins’ proposal could make it
harder for the county to
Dallas County Judge handle future financial bur-
Clay Jenkins on Tuesday dens.
proposed raising the mini- “I would like to see the
mum wage for private em- details of any proposal be-
Lara Solt/Staff Photographer ployees who do contract fore it goes forward,” Garcia
Dallas County Judge Clay Jenkins and Commissioner John Wiley Price discuss allowing entities besides the North Texas work for the county. said. “We need to look at the
Regional Certification Agency to also certify businesses as minority-owned. Full-time contract work- numbers to see what the
ers who handle janitorial cost will be.”
EDITORIAL
Ending an era
We’ve urged more times than we can recall for Rep. Ralph Hall to step aside in favor of a fresh voice
representing the 4th Congressional District. Now, two national conservative groups, Club for
Growth and the Madison Project, agree. They are publicly backing Republican challenger John
Ratcliffe’s bid to unseat the 17-term incumbent. At 90, Hall is the oldest member of Congress,
which is no longer a badge of honor. Ratcliffe, a former U.S. attorney and mayor of Heath, gives dis-
trict voters a chance to break from the past. They should seize it.
CORRECTION: An editorial in Friday’s paper inaccurately described the maximum percentage retail-
ers can keep of the planned 5-cent plastic bag fee. Retailers can keep 10 percent of the fee under the new
law.
Metro
INSIDE
Dallas officers fired
Dallas police commanders fired three
officers — including one for allegedly
using excessive force. 7B
FRISCO TRANSPORTATION
District
veteran to
take reins
New superintendent has
experience in the classroom
and on the front lines
By JULIETA CHIQUILLO
Staff Writer
jchiquillo@dallasnews.com
Total collected
since they actually had daily contact but she went back to Our bridges, and we still do a lot
with the students,” Dankel said. “We Calling for the faith and fel- profit offers resources to able for those that are not in of that.” $310,000
really felt it was important.” lowship offered alongside it. homeless people in Dallas, shelters, and that’s what our Walker said their num-
McDaniel will replace J.D. Kenne- “A friend of mine had but it is not a shelter. While primary target is,” Walker bers show that for every Send your check or money
order payable to:
dy, who will retire in December. He brought me up here about a it is a faith-based organiza- said. homeless person in a shel-
praised Kennedy’s leadership and said year and a half ago,” said tion, it is not tied to any one The organization started ter in Dallas, there are four The Dallas Morning News
the district of 24,565 students will keep denomination, said Wayne about 13 years ago, he said. more people sleeping out- Charities
Hamilton, 52. “At first it was
5500 Caruth Haven Lane
moving down the same path. just for the coffee and the Walker, executive director It became a nonprofit in side.
Dallas, Texas 75225-8146
“I think we have room for some def- clothes, and stuff like that, and pastor. 2009. Our Calling is one of “There’s about 2,000
Phone: 214-346-5546
inite improvement, but our mission but as I kept coming back, “We kind of started as a 25 agencies receiving funds shelter beds in Dallas, so
and vision will remain the same,” and watching the other homeless ministry of a from The Dallas Morning there’s a lot more people Make credit card donations at
McDaniel said. church or a bunch of News Charities this year. that are sleeping outside ev- dmncharities.com
members interact with peo-
The McKinney ISD board of trust- ple and talk to them about churches that got together. “Before that, we were ery single night,” he said. Follow the campaign on
ees picked McDaniel as the lone finalist God and stuff, I wanted to Even if you look around to- just kind of a grassroots Our Calling’s resource Twitter at @DMNcharities
for superintendent at a meeting Nov. 11. be a part of it.” day in Dallas, there’s not a group of volunteers,” Walk- or on Facebook at
State law requires a waiting period of The East Dallas non- whole lot of resources avail- er said. “We started this to See CENTER Page 5B facebook.com/DMNcharities.
21days for the hire to become official.
The district reviewed a pool of
about 100 applicants, which the school
board narrowed to 32 candidates. MINORITY- AND WOMEN-OWNED BUSINESSES
Trustees took into account feedback
from focus groups, which asked for a
leader who would stay in the job “for a
while,” Dankel said.
New staffing firm to run show at certification agency
Both Kennedy and his predecessor, Questions had been North Texas agency that Temps 1 Personnel handled sity programs. right direction,” said Dallas
Tom Crowe, announced retirement certifies minority- and all staffing for the NCTRCA, The NCTRCA also said it County Judge Clay Jenkins.
plans after five years at the helm. raised over efficiency women-owned businesses. from its executive director will implement a new com- “We all benefit from a trans-
of secretive group The North Central Texas to its receptionist. puter system that would parent process that leads to
See NEW Page 7B Regional Certification But NCTRCA officials help speed up the certifica- a diverse workforce.”
By KEVIN KRAUSE Agency has faced questions said the board of directors tion process for new appli- The changes come after
and ED TIMMS in recent years about its recently awarded its new cants and those seeking an- The Dallas Morning News
Staff Writers
INSIDE performance and efficiency staffing contract to Armand nual renewals. The agency reported problems with the
County by County 2-3 For the first time in years, while attempting to keep its Resource Group (ARG), a has dealt with backlogs and NCTRCA’s management,
Obituaries 6-7 a different staffing company records from the public. For New Jersey company that complaints that it is slug- oversight and operations,
Weather 8 will soon take over the daily more than a decade, Dallas specializes in setting up and gish and unhelpful.
operations of a troubled workforce supplier All monitoring business diver- “It looks like a step in the See TROUBLED Page 5B
. . . . . . . .
The Dallas Morning News dallasnews.com DALLAS Tuesday, November 25, 2014 5B
Center seeks out homeless people to aid attorney for the certification
agency said recently that the
new staffing vendor will have
ly criticized it for not know-
ing the law and for using a
process “more akin to a legal
to seek certification else- summons followed by adver-
Continued from Page 1B tion. We don’t buy it if we don’t es, Walker said. where to avoid any percep- sarial questioning.”
AT A GLANCE have it,” Habashy said. “It keeps me grounded,” tion of impropriety. Although the NCTRCA
center is located on South Our Calling Habashy said volunteers Hamilton said. A copy of the new signed was created and is financed
Haskell Avenue, but its staff have a unique opportunity to Hamilton recently found contract that is effective Dec. by the city of Dallas and oth-
visits more than 1,200 loca- Our Calling focuses on four invest in the lives of those they out that she may qualify for 1 was not immediately avail- er local governments, it sued
tions in Dallas looking for main areas: Bible study and life serve, whether it’s helping housing, but she will continue able. But the contract was The News in 2012 to block
homeless people in need of as- skills, mentoring and with a search-and-rescue to come back and help, she worth between $310,000 the release of agency records.
sistance, said Jonathan Ha- discipleship, addiction team or taking time to serve in said. and $350,000 annually dur- After a one-day trial, a
recovery (12-step meetings) the cafe and get to know the “I think it’s a great opportu- ing the past four years, re- state district judge conclud-
bashy, director of develop-
and resource distribution. The
ment. people there. nity for those who are out on cords show. ed last year that the agency
resource center is at 500 S.
“They’re out there, and Haskell Ave. It is open Monday
“The invitation that Our the streets to be able to have The agency said in a news was a “governmental body”
they’re not receiving services through Friday, though hours Calling extends is to come and somewhere to come to, where release that ARG is a “nation- for the purposes of open-re-
elsewhere,” Habashy said. and services vary by day. For invest,” Habashy said. “It’s a they can get some time of fel- ally-recognized leader with cords requests. He instruct-
While the staff doesn’t al- more information about the unique risk that you take.” lowship, plus be able to get a experience in certification ed the agency to release in-
ways take resources directly to organization, visit Some of the volunteers are hot meal and the clothes that practices and policies for dis- formation.
those locations, they make ourcalling.org or call homeless. Hamilton, who has they need, blankets, stuff like advantaged, minority, wom-
connections with people, and 214-444-8796. been coming to Our Calling that, to just kind of survive out en, and small businesses.” kkrause@dallasnews.com;
let them know where to find for about 18 months, now vol- on the streets,” Hamilton said. An ARG employee recent- etimms@dallasnews.com
help when they’re ready, he source guide to area homeless unteers at the resource center
d d h l h l f d k
14A
EDITORIAL
A small mercy
Sometimes, it’s the little mercies we need to
be thankful for. That’s what the district attor-
ney of Morehouse and Ouachita parishes in
Louisiana showed this week when he dis-
missed a ticket for a 16-year-old Texas boy
who fell asleep at the wheel and caused an ac-
cident that killed five members of his family.
The prosecutor summed it up clearly. “This
young man has been punished enough,” Jer-
ry Jones told The News-Star. “There is no
need to add to his pain.” The crash claimed
the lives of Michael and Trudi Hardman and three of their children. The ticket probably should
never have been written. Jones saw that and offered a little kindness and common sense in the
midst of a terrible accident.
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Schutze
The Way Dallas Certifies Minority Contractors Is
a Sucker's Game, News Shows
By Jim Schutze Wed., Mar. 19 2014 at 7:00 AM 89 Comments
Categories: Schutze
Ed Timms and Kevin Krause had a great story
in The Dallas Morning News on Sunday
about a local agency that certifies businesses
as minority or womenowned. The North
Central Texas Regional Certification Agency
seems to be sort of the same outfit as
something called All Temps 1 Personnel.
The agency was set up to rule on whether
companies are really minority or women
owned, but its entire staff is provided by All Wickipedia Commons
Temps. From time immemorial, someone has played
the fool. Apparently now it's us.
All Temps, wouldn't you know, has had no
problem getting certified as a minorityowned company and no problem getting local
government contracts, $30 million worth in the last 10 years. Timms and Krause ran down
other minorityowned staffing companies who couldn't get certified to save their lives.
Some just gave up.
Let me run it by you again. Local government in Dallas County, very much under the
influence, not to say the thumb, of Dallas County Commissioner John Wiley Price, sets up a
certification agency that serves as the gateway for local minority government contracting.
Krause and Timms found other cities in Texas that did their own certifying, but, no, we
needed a special outside agency for that.
So our local outside agency somehow becomes the Siamese twin of a forprofit staffing
company. The outside agency certifies its twin, the staffing company, as minorityowned up
one side and down the other, and the twin runs out and gloms on to a rich stack of
contracts. But other minority companies that are potential competitors to All Temps come
along, foolishly take this for a straightup process, apply for their own certification, and
their records keep getting lost, surprise, surprise.
Racial discrimination in business and in public contracting has been a serious problem in
the past. It's reasonable for communities to want to cleanse themselves of that issue. But
Dallas has a particular problem. Somehow the whole business of minority contracting here
has wound up having the exact opposite effect of anything that could have been intended.
The way it works here, hardworking honest companies get shut out, and the scammers
rush in.
Six years ago when Commissioner Price was engaged in his partially successful campaign to
sabotage a huge industrial project in his own district called The Inland Port, he demanded
that the main developer, The Allen Group, provide a list of all certified minority
subcontractors it used in businesses in California. Those businesses were unrelated to
Allen's Dallas operation, and the demand had no basis in law.
I called the Allen Group to ask what they were doing about Price's demand. Richard Allen,
head of the company, told me he wanted to cooperate but could not. He said he could not
provide a list of certified minority subcontractors in California because he didn't have any. I
asked why.
He told me that, first of all, as an Anglo, he was in the minority in his part of California.
Secondly, he said, virtually all of the subcontractors his company used in construction were
Latino. Every one. But not a single one of them had ever signed up for minority
certification. I asked why.
"They don't want to mess with it," he said. "They just go out and do the work."
Reading Timms' and Krause's piece Sunday, I wondered how many more strong minority
companies we might have in the Dallas region if the North Central Texas Regional
Certification Agency had never been formed. And now that we see how it works, I wonder
how much longer we are expected to stand here like suckers and not say anything.
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Plaintiff,
On May 21, 2013, this case was called to trial. Atfer proper notice was given, Plaintiff`
the "Agency") and Defendant and Counter-Plaintiff The Dallas Morning News, Inc. ("The
News") appeared by and through their attorneys of record and announced that they were ready to
proceed, with trial. Neither party having demanded a jury, the case was tried to the Court. All
matters in controversy were submitted to the Court, except for the issue of the reasonable
attorneys' fees and costs to be awarded upon final judgment, which issue was reserved .for
further proceedings.
The Court heard the arguments of counsel and the testimony of witnesses and considered
the submission of all adrnitted cxhibits and the parties' stipulations of fact. On the basis of tile
crediblc evidence, arid consideri the applicable law as well as the objections of the Plaintiff,
the Court now enters its Findings of Fact and Conclusions or I,avv, as rollows:
06/17/2013 10:58 2146536001 14TH DISTRICT COURT PAGE 03/12
i. FINDINGS OF FACT
bodies, including thc cities of Dallas, Fort Worth, Irving, Lancaster, and Mesquite; Dallas
County; D/FW International Airport; the Dallas and Irving independent school districts; Dallas
Area Rapid, Transit; Fort Worth Transportation Agency; North Texas Tollway Authority: Tarrant
County College District; Dallas County Community College District; Dallas County Schools:
governmental, entities' and its members who are nongovernmental bodies as "associate
members,'
which came from public runds paid to the N.C.T,R,C,A, by the Agency's governmental member
entities.
deposited into N.C.T.R.C.A.'s general operating account and a •e used to pay, among othcr
things, thc Agency's employee salaries, office rent, office utilities, insurance premiums, and
postage.
7. N,C,T,R,C,A, receives public funds from governmental bodies for its general
support.
06/17/2013 10: 58 2146536001 14TH DISTRICT COURT PAGE 04/12
Cooperation Agreements pursuant to Chapter 791 of the Texas Government Code. These
9. On May 16, 2013, ifve da.ys before this case was called to trial, N.C,T.R,C.A.
demanded that each of its member governmental entities execute new "membership" agreements
that ),vould supersede the member governmental entities' Interlocal Cooperation Agreements
under Chapter 791 of the Texas Government Code. further dem.anded thin
member governmcnLil entities e • CCLI I,C and return the new "minbership" agreements hy May 20,
governmental hodic..,s. For example, other governmental bodies, including the State of Texas and
the City of' Houston, peribrm the same type o:l' minority- and women-owned business
12. The operative lnterlocal Cooperation Ag,reement between the City of Dallas and
N.C.T.R.C.A,, !b y c N arnple, provides that the Agency performs certifications of minority- and
women-owned busines ses and "other related services for the Disadvantaged Business Enterprise,
of the N.C.T.R.C.A., it would be required to perform its own, internal certifications of minority-
06/17/2013 10:58 2146536001 14TH DISTRICT COURT PAGE 05/12
14. The operative 1nterlocal Cooperation Agreements for the N.C.T,R.C.A.'s Four
largest member governmental entities—City of Dallas, City or Fort Worth, D/FW Airport, and
Dallas County provide that the "N.C.T.IZ,..C,A, will at all times be acting as the duly constituted
authority and instrumentality of the Participants kid -Hied as the member governmental entities]
15. The entity now known as the N.C.T.R.C.A. was founded in .Tune 1989 pursuant to
Chapter 791 of the Texas Goverarnent Code. According to the MOU, the ninc founding
governmental bodies Formed the N.C.T.R,CA, "10 demonstrate thc [founding] intergovernmental
entities' commitment to coordinale the goals and objectives or their respective programs in
mutual support and cooperation with other such entitics in order to further a comprehensive
16, The N.C.T.R.C.A.'s website states the following: "in June 1989, an Intel-local
Cooperation Agreement was entered into betvveen nine founding member entities, creating the
N.C.T.R.C.A. For the purpose of jointly providing certification and other related serviee,s For the
Interlocal Cooperation Agreements are not specific, definite, or tied to a measurable amount of
18. The amount of public funcis received by N,C.T.R,C,A. from each of its member
governmental entities is not dependent on whether or how much the N.C.T.R.C.A. performs a
service for the member governmental entity, nor is there a correlation between the funds received
and tl-se amount of service provided. Rather, N,C.T.R.C,A.'s annual "membership feesscss
a.ecl
member governmental entity pays the Agency the same amount of' money, an "annual
appropriation," even lithe member governmental entity never uses the Agency's 5CINiCOS.
purpose or objective,
disadvantaged, minority and woman-owned ifrms, benelit from the programs offered by the
governmental entities share this common purpose and objective, Indeed, the central, il' not solc,
purpose of thc N.c.T.R..c..A. is to enable its member governmental entities to adhere to their
policies on hiring bona ride minority- and women-ownecl businesses to perform government
contracts.
nineteen members of the Board of .Dircetors, sixteen of whom are employees of governmental
bodies who serve on the Board of .' Directors els representatives of the member governmental
entities, The sixteen board members who represent the N.C.T.R.C.A,'s rnenther governmental
entities have full voting rights. The three other members of the 1.30ard of Directors arc
06/17/2013 10: 58 2146536001 14TH DISTRICT COURT PAGE 07/12
employees of N.C.T.R.C.A.'s a.ssociate members and are only permitted to vote on the
N,C.T.R,C.A.'s budget.
23. Six entities are authorized to perform certiifcations for the Federal Disa.dvantaged
Business Enterprise Programs in TeNaS under the Texas 'Unif ied Certification 'Program:
24. N.C,T.R.C.A, received a request macle pursuant to the Texa.s Public rill:on-nation
Act (`-•.P.1.A,") by 11 .7(? News ' employee, on June 26. 2012 (the "T,P.I.A. Request").
25. N.C;II.R.C.A, did nol seek an opinion rrorn the Ortice or the Texus Attorney
General ("Attorney General") pursuant to Section 552.301 of the T,P.LA. within ten business
26. N.C.T.R.C.A. sent a letter to The News responding to the T,P,I.A. Request and
attached a ruling from the Attorney General dated October 26, 2011.
27. On July 27, 2012, Tho News sent a letter to the Attorney General, challenging thc
request for a responsv to The Neri.v` lottor Elated July 27. 701
30. On November 30, 2012, the Attorney General issued a letter ruling that found the
N,C.I.R.C.A. is a "g overnmental body" as defined in the T,P.I.A. and is therefore subject to the
T.P.I.A The Attorney General's letter ruling .further found that the N.C.T.R.C.A. could
06/17/2013 10: 58 2146536001 14TH DISTRICT COURT PAGE 08/12
withhold information responsive to the T.P.I.A. Request pursuant to Section 552.128 of the
T,P,I.A.,
proprietary interests and not to any such interests or similar interests of a governmental body.
individuals and businesses certified and/or decertified by the N.C.T.R.C.A., does not constitute a
trade secret owned by the N.C,T.R.C.A,. Such information is publicly available from, for
example, the City of Fort Worth's website and the Texas Unified Certification Program's
website.
33. No third party has objected to the release of information responsive to the T.P.I.A
34. The Attorney Genearl's leiter ruling dated November 30, 2012 is the first time the
Attorney Gemi:ral addressed whether the N.C.I.R.C.A. is a governmental body subj eel to the
in a reported decision.
35. N.C.T,R.C.A. failed to submit sufficient evidence to prove the content of any
Chapter 67, Water Code that provides a water supply or wastewater service, or both, and is
37, N.C,T.R.C.A, is not a nonproift corporation that is el igiblQ to receive funds under
the federal community services bloek grant program and that is authorized by this state to serve a
38. N.C.T.R.C.A. is a non-profit entity under Texas law that ha5 qualiifed for tax-
exempt status Linder section 501(c)(3) of the Internal Revenue Code of 1986
39. Providing a vendor pool list of certified disadvantaged minority and/or women
functions" as "functions normally associated with the routine operation of government, including
tax aViCSSITIClit and collection, personnel services, purchasing, records management services, data
41.. N.C.T.R.,C.A. receives funds from the Following sources: (a) annual fees .f•om
42. The 7\1 (21 , 1).s is not a state or local govenrmental entity in thc state of Texas,
Disadvantaged Business Enterprise •rograms in Texas prior to joining the N.C.T.R.C.A.: City or
Dallas, City of Fort Worth. DFW Internation41 Airpori, County Community College
District, Dallas Area i apid Transit. and Fort Worth Transit Authority.
the T.P.I.A
hereinabove in Findine of Fact No. 9 was specifically calculated to alter the N.C.T.R.C.A.'s
essential eonsiitu.ent method of doing business and specifically to thwart a determination by this
Court of its functionality (and responsibility under thc T.P.I.A,). Thcsc ersatz amended
"membership agreements" are ineffective in their effort to prevent N.C.T.R.C.A. f •om being
Association, 850 F.2d 224 (5th Cir. 1988) to the credible evidence in this case, the N.C.T.R.C.A
qualifies as an entity that is supported by public funds under each of the three Kneeland factors.
governmental body within the meaning of the T.P.I.A., and is ther efore subject to the T.P.I,A
of the T.P.I.A. in connection with the T.P.I.A. Request, there is a legal presumption that
information responsive to the T.P. L A. Request is public and must he released under the T.P.1.A..
responsive to the T.P.1.A. Rcq4se4t sufficient to overcome the legal presumption that such
8. Section 552.110 of t17c T.P.I.A. applies to third-party proprietary interests and not
10. The News is entitled to a writ of' mandamus pursuant to Section 552.301 of the
11. The News is entitled to the recovery of reasonable attorneys' fees and costs
pursuant to Section 37.009 of thc Texas Civil Practices and Remedies . Code and Section 552,323
of the `I`.]'.T.^l.,
12. pr
The News is the "evailing party" for purposes of Section 37.009 of thc Texas
Civil Practices and Remedies Codu and the "substantially prevailing party" for purposes of
13. N.C.',1 .R.C.A, failed to show that it autcd in reasonable reliance. on: (1) a
judgment or an order of a court applicable to the N.C.T.R.C.A.; (2) the published opinion of an
14. The News is entitled to postjudgment interest at the maximum legal rate.
16. N.C.T.R.C.A, is not entitled to the rccoV/cry of reasonable attorneys' feu and
costs,
17. N.C.I.R,C.A. is not a "pr evailing party" l'or purposes of Section 37.009 of the
Texas Civil Practices and Remedios Code or a "substantially prevailing party " for purposes of
19 All Finding of Fact which arc more properly (.onclusion of' Law.
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^ —^...,_
:11,1 DGE PrdS1DING