Civic works and operations committee awarded a contract yesterday for the supply and maintenance of 200 transit shelters to Mediacom Inc., even though a rival firm said it could give the city a better deal.
Under the contract, Mediacom will install and maintain 50 new transit shelters in 1982 and 150 more by the end of 1984. It also will pay the city $50,000 a year for the right to advertise on the shelters.
However, Harold Kron, president of Trans-Shel Group of Fort Lee, N.J., complained about the way in which the tender award was made and said he could provide the city with a better deal.
Kron, accompanied by his lawyer, said after the meeting his firm's proposal would generate four times more revenue to the city, provide more transit shelters and provide them sooner.
Trans-Shel chose not to submit the proposal, however, because it did not meet the city's specifications, Kron said. he was told the specifications would not be bent, he said.
But Kron said the Mediacom tender also did not meet the specifications.
A report from the administration said Mediacom submitted two bids, one based on the city's requirements and an alternative proposal which, under the city's rules, councillors had the right to reject.
However, the report said the alternative would result in a "very substantial benefit to the city," and recommended its "informality" be waived.
Rick Borland, director of transit, said the administration felt the procedure was proper.
City lawyer Gordon Carnegie told councillors it would be unjust to open a new tender competition because Mediacom's bid already had been made public.
"It would be grossly unfair to that tenderer to reopen tenders and I think it would definitely undermine the tender procss," said Carnegie.
The city had asked advertising companies to bid on the supply of the 200 new shelters and the maintenance of its 310 existing shelters, which cost as much as $5,000 each. But it received only two responses.