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UNITED STATES DISTRICT COURT FOR THE DISTRICT OF COLUMBIA PHEENIX USH LLC d/b/a SPIN, Plaintiff, Case No. 25-cv-922 (JMC) v. DISTRICT DEPARTMENT OF TRANSPORTATION, et al., Defendants. MEMORANDUM OPINION Plaintiff Pheenix Ush LLC, doing business as âSpin,â moves for a preliminary injunction to prevent Defendant District of Columbia Department of Transportation (DDOT) and five of its officials (together, âDefendantsâ) from compelling Spin to remove its shared electric scooters and e-bikes from D.C. public spaces. Absent a preliminary injunction, Spin must remove its devices in short order because the DDOT denied it permits to continue offering them in the District. Spin claims that the DDOTâs permit denial violated the companyâs Fifth Amendment rights to due process and equal protection and constituted arbitrary and capricious agency action under D.C. law. The Court finds Spin unlikely to succeed on the merits of any of its claims and will therefore DENY Spinâs motion for preliminary injunction. 1 1 Unless otherwise indicated, the formatting of citations has been modified throughout this opinion, for example, by omitting internal quotation marks, emphases, citations, and alterations and by altering capitalization. All pincites to documents filed on the docket in this case are to the automatically generated ECF Page ID number that appears at the top of each page. 1 I. BACKGROUND A. Statutory and Regulatory Framework Under D.C. statutory law, companies seeking to offer âshared fleet devicesâ such as electric scooters and electric bicycles (âSFDsâ) must apply for a permit with the DDOT. D.C. Code § 50â 2201.03c(a). The statute authorizes the DDOT to set rules governing the application process, and it allows the agency to grant permits either to no SFD operators or any number of SFD operators greater than two. Id. §§ 50â2201.03c(b)(1), (b)(3). Pursuant to that authority, the DDOT has promulgated rules for selection of SFD operators in the District, as well as for the terms and requirements of such permits. See 24 D.C.M.R. §§ 3314, 3317. Those rules provide that the DDOT âmay issue no more than nine (9) shared fleet device permits, during a permit period, and may permit fewer if the Director determines that doing so would be in the interest of protecting public safety, preventing negative transportation impacts, or ensuring reasonable enjoyment of the public space.â Id. § 3314.24. Of those, no more than five may be for âelectric mobility devicesâ (i.e., scooters). Id; see ECF 1-2 at 2. Such permits each have a term of 24 months. 24 D.C.M.R. § 3314.6. The previous set of SFD permits expired on December 31, 2024, and the current set of permits will expire on December 31, 2026. See id.; ECF 1-1 at 7; 24 D.C.M.R. §§ 3314.6. The DDOTâs regulations require the agency to publicize the SFD application process and release an accompanying âadministrative issuanceâ that outlines a âpoints-based scoring systemâ for evaluating applications along a set of enumerated criteria like âequity and affordability,â âsafety,â and âinnovation.â 24 D.C.M.R. §§ 3317.1â4. For the 2025â2026 permit cycle, the DDOT issued its administrative issuance in October 2024 outlining the following four-point scoring rubric for each application question: 2 âą 0 ratings fail to meet the criteria established in the regulations or offer solutions that may worsen or create additional challenges and/or limitations to fulfilling the respective criteria. âą 1 ratings meet the minimum regulatory standards and offer rudimentary solutions, claim[ing] the minimum level of commitment and ability to solving known challenges and concerns. âą 2 ratings meet the minimum regulatory standards and offer basic or typical, but unexceptional solutions, claiming a moderate level of commitment and ability to solving known challenges and concerns. âą 3 ratings significantly exceed the minimum requirements or display more detailed approaches demonstrating (with specific testing, demonstrations, or research and development) a higher level of commitment to solving known challenges and concerns. âą 4 ratings substantially exceed the minimum requirements, display unique or innovative approaches demonstrating (with specific case studies, past performance, or independently verifiable data) the highest level of commitment and ability to solving known challenges and concerns, and have been exhibited effectively in the District or other markets. ECF 1-1 at 9. 2 An âEvaluation Committeeâ of at least two DDOT representatives scores the applications pursuant to that point-based scoring system and the published criteria. Id. §§ 3317.5â 6. The administrative issuance also included question-by-question guidance on how applicants should answer the various questions and what specific information they should provide. See ECF 1-1 at 10â14. The regulations also create an appeals process within the DDOT for applicants denied a permit who âbelieve[] the Evaluation Committee incorrectly scored a permit application.â 24 D.C.M.R. § 3317.8. Such an appeal may be made on three bases: 1. That the DDOT âimproperly or mistakenly applied the scored criteria to the appellantâs original applicationâ; 2 The administrative issuance provided a slightly different four-point rubric for questions regarding the applicantâs âPast Performance,â but that rubric is not at issue in this case. See ECF 1-1 at 9, 12â13. 3 2. That the DDOT âmade a mistake in analyzing or calculating an applicantâs final score (or a component thereof)â; and 3. That the DDOT âimproperly deemed an application as incomplete.â Id. § 3317.9. A Hearing Officer appointed by the DDOT Director reviews those appeals and issues a final report recommending to the Director one of three courses of action: 1. âDismiss[ing] the appeal in its entiretyâ; 2. âRecalculat[ing] appealed scores the Hearing Officer believes were scored in errorâ; or 3. â[R]emand[ing] the application to the review panel for scoring,â if the Hearing Officer finds the applicant was improperly disqualified from the application process. Id. §§ 3317.11â12. The Director then makes a âfinal decision,â which is not further appealable within the DDOT. Id. § 3317.13. The administrative issuance for the 2025â2026 permit cycle included a section called âImportant Datesâ that included an âapplication deadlineâ of November 1, 2024, and a â[m]andatory device demo dayâ of November 4, 2024. ECF 1-1 at 7. The DDOT also circulated a âPermit Application Questionsâ document in late-October 2024. See ECF 1-2. One of the questions asked whether the DDOT â[w]ould be willing to grant a deadline extensionâ so that âoperators [could] deliver more polished and targeted responses,â to which the agency responded that â[a]n extension will not be granted at this time.â Id. at 3. Another question asked whether the âdemonstration on November 4â would be âscored as part of the application.â Id. at 5. The DDOT responded that â[d]emonstrations will not impact the final score of the application, but applications will be considered incomplete without a demonstration.â Id. 4 In addition, the administrative issuance indicated that permits would be âawardedâ on January 1, 2025. ECF 1-1 at 7. And it included a sample, ânot finalâ Permit Operator Agreement (POA) that it said each awardee would be required to sign, subject to âadditional terms and conditionsâ being added âbased on [an awardeeâs] application.â Id. at 6. The sample POA provided for âimmediate permit revocationâ if the awardee did not âlaunchâ its âpermitted operationsâ within 30 days of January 1, 2025, the permit start date, and required the awardee to âimmediately serve the entire District of Columbia upon the first day of permitted operations.â ECF 1-3 at 13. DDOT regulations also spell out consequences for revocation of a SFD permit. If the DDOT Director revokes an operatorâs permit, the operator âshall remove its devices from public space within seventy-two (72) hours.â 24 D.C.M.R. § 3318.6. B. Factual Background 3 1. Spinâs Application Spin applied for two SFD permits in the 2025â2026 application cycle: one for e-scooters (referred to by the DDOT as Permit A) and one for e-bikes (Permit B). ECF 1 ¶ 63. Spin is an incumbent provider, having received permits to offer both types of SFDs in the District since 2019. Id. ¶ 15. In the 2023â2024 application process, Spin received the highest score of any applicant. Id. ¶ 16. In the 2025â2026 process, however, Spin received only the third highest score for each permit. Id. ¶ 66. On November 15, 2024, the DDOT notified Spin that it would not receive either Permit A or Permit B for the 2025â2026 permit cycle. Id. ¶ 64. Instead, the DDOT had awarded each permit to two other operators who received higher scores than Spin, including a company called Bolt. Id. ¶ 40. 3 The Court draws these facts from Spinâs verified complaint, ECF 1, its motion for TRO or preliminary injunction, ECF 3, Defendantsâ response, ECF 13, Spinâs sealed supplemental filing, ECF 15, and the attachments to those documents. 5 2. Boltâs Application Bolt, a non-U.S. company and first-time permit applicant in D.C., also applied for Permits A and B in the 2025â2026 cycle. See id. On October 15, 2024, before the DDOT had published the application details, a representative of Bolt emailed DDOT employees stating that Bolt âunderstands that DDOT is seeking to demo the product the week of 11/4â and asking whether the agency would be âwilling to accommodate the week of 11/11â instead âgiven international shipping and travel schedules.â ECF 13-1 at 5. A DDOT employee responded in the affirmative, stating that the agency âcan accommodate a live demoâ during that week. Id. at 4â5. The agency held Boltâs live demo on November 12, 2024, id. at 1, whereas other applicantsâ â[m]andatory device demo dayâ was November 4, see ECF 1-1 at 7. Ultimately, Bolt received a permit to operate e-scooters in D.C., under Permit A. The DDOT also awarded a Permit A permit to another incumbent operator, and it awarded Permit Bs to two incumbent operators. Apr. 11, 2025 Hrâg Tr. 66:9â12. In total, the DDOT awarded two Permit A permits and two Permit B permits, making Spin the highest scoring non-awardee in both categories. Id. Tr. 66:14â17. Spin later learned that the DDOT had granted Bolt an âadditional grace periodâ to launch operations âafter January 1, 2025.â ECF 1 ¶ 44. 3. Spinâs Appeals Spin submitted appeals of its two permit denials on the basis of âimproper scoring.â ECF 1 ¶ 67. After submission, Spin learned about the above-described âpreferential treatmentâ of Bolt during the application process (specifically, extension of the live demo date), as well as the DDOTâs use of what Spin called a âsecret scoring rubricâ during the scoring process. Id. ¶ 68. As proof of this secret rubric, Spin points to an email sent on November 5, 2025, from DDOT micromobility coordinator Defendant Ted Randell to two other DDOT employees (Defendants 6 William Feeney and Aaron Goldbeck) with the subject line âScoring Criteria.â ECF 1-5 at 2. Randell and the two other employees were, together, the three âscoring committee membersâ who reviewed and scored the SFD permit applications. ECF 1-8 at 5. In that email, Randell stated that its purpose was to âopen a thread here for questions or clarifications on scoring criteria.â ECF 1-5 at 2. The email then stated that the âcurrent [scoring] rubric emphasizes meeting or exceeding District Regulations, innovation, and performance.â Id. It went on to state the following about the scoring system: A score of â2â will effectively be an âaverageâ score, where the operator is restating a requirement or simply meeting the standards of the industry or offering examples of previous solutions or outcomes that are unexceptional. 3s and 4s should be given only when an operator can effectively exhibit âhigherâ or âhighestâ level of commitment and has some proof to back it up, rather than simply promising an outcome. Id. Below that statement and three other bullet points with logistical instructions about the scoring process (e.g., âPlease consolidate scores on a single scoring sheetâ), the email then recited verbatim the âofficialâ descriptions of the 4-point system publicized in the administrative issuance. Compare id., with ECF 1-1 at 9. Randellâs email also included an attached spreadsheet called âSFD Scoring rubric and questions Templateâ that the reviewers used to record their scores. ECF 1-5 at 2. In each section of the spreadsheet, corresponding to each application question category, the template restated the official descriptions of the scoring system from the administrative issuance. See id. at 4â6. On December 30, 2024, after learning of this so-called âsecretâ criteria and the âpreferential treatmentâ of Bolt during the application process, Spin sent a letter to the designated DDOT Hearing Officer, Defendant Karen Calmeise, requesting an evidentiary hearing to address âoutstanding issues of material fact.â ECF 1 ¶ 69; ECF 1-6 at 2. These issues included the âDDOTâs scoring criteria and its application of its scoring criteria to questions in Spinâs 7 Applications,â as well as the DDOTâs âpreferential treatment to other applicants,â specifically Bolt, and its âpolicy regarding exceptions and the panelistsâ decision to not discloseâ that âpreferential treatment.â ECF 1-6 at 2â3. Spin said such a hearing was ânecessary for DDOT to properly consider Spinâs appeal.â Id. at 3. Calmeise responded to Spin on February 20, 2025, stating that she did not find a âformal âin-personâ hearing [to be] necessaryâ because â[t]he issues for [her] determination [were] not dependent on credibility or [the] need to view witness testimony.â ECF 1-7 at 2. Meanwhile, on January 17, 2025, Spin submitted a second set of appeals detailing its full range of objections to DDOTâs scoring of Spinâs application and its purported preferential treatment of Bolt. ECF 1 ¶ 74; see ECF 15 (filed under seal). And on March 11, 2025, Calmeise issued a report and recommendation denying each of the claims in Spinâs amended appeal. ECF 1-8. First, as to use of a âsecretâ scoring criteria, Calmeise found that the language used in Randellâs email to describe scores 2 and 3 âd[id] not significantly differ from the language presented in the [administrative issuance]â and was âmerely a restatement of the published score criteria.â Id. at 6â7. Calmeise then reviewed Spinâs objections to the reviewersâ scores and found that their scoring comments âcomplied with the published score criteriaâ and did not suggest use of a contradictory âsecretâ criteria. Id. at 7â9. For instance, Calmeise acknowledged Spinâs complaint that some reviewer comments referred to âindustry standards,â a term found in Randellâs email but not in the published criteria. Id. at 8â9. But she agreed with the DDOT that â[t]he application of industry standards to the scoring criteria [was] not contradictory to the published criteriaâ because â[a] scoring process that is âblindâ to the best practice of an industry would not be in the best interest of the District.â Id. at 9. She further found that the âstandards of the industryâ term in the Randell email was âvirtually synonymousâ with the published criteriaâs 8 use of the term âminimum regulatory standardsâ and that the published criteria ârequire[d] the applicant to highlight their accomplishments by showing that the operations will be better and/or provide higher services than regulatory/industry standards.â Id. at 7. As to Spinâs complaint of âpreferential treatmentâ accorded to its competitor, Bolt, Calmeise concluded that it fell outside her review authority under the applicable DDOT regulation, 24 D.C.M.R. § 3317.9, âbecause these concerns are not matters of miscalculation or mistake in the score ratingsâ and âthe grounds for review . . . do not extend to complaints of other applicants[â] application process.â ECF 1-8 at 9. And after rejecting Spinâs remaining arguments as also outside the scope of her review (including due process and equal protection challenges at issue in this case), Calmeise recommended dismissal of Spinâs appeal in its entirety. Id. at 10. She issued nearly identical recommendations as to Spinâs Permit A (scooters) appeal and Permit B (bikes) appeals. Compare ECF 1-8 (Permit A appeal recommendation) with ECF 1-9 (Permit B appeal recommendation). On March 26, 2025, Defendant Sharon Kershbaum, Director of the DDOT, issued a decision upholding Calmeiseâs recommendations and confirming that permits would not be issued to Spin for the 2025â2026 period. ECF 1-10 at 2. Kershbaumâs decision further stated that Spin would be âwelcome to apply in any future application periods.â Id. Finally, the decision stated that the DDOT ânow consider[ed] [Spinâs] shared fleet device permit in a state of revocationâ and thus that âall Spin devices must be removed from the public right of way within 72 hours of the date of this letterâ pursuant to 24 D.C.M.R. § 3318.6. Id. The next day, the DDOT informed Spin that it would delay that 72-hour removal deadline until April 6, 2025, ââas long as Spin [was] demonstrating efforts to remove devicesâ and âdisplaying downward deployment trends.ââ ECF 1 ¶ 84 (quoting ECF 1-11 at 2). 9 4. This Suit Spin challenged the DDOTâs permit denial decisions in a suit filed in this Court on March 28, 2025. ECF 1. In a verified complaint, Spin challenged the denial as arbitrary and capricious under D.C. law, as a violation of Spinâs procedural and substantive due process rights under the Fifth Amendment, and as a violation of Fifth Amendment equal protection. Id. ¶¶ 87â 127. 4 That same day, Spin filed a motion for temporary restraining order and preliminary injunction that would preserve the âstatus quoâ by âallowing Spin to continue to operate [its SFDs] as it has been for the past six years, while the merits of this case are resolved.â ECF 3 at 2. And it asked that the Court grant a TRO or administrative stay by April 2 to give Spin time to withdraw its scooters in advance of the agencyâs April 6 removal deadline. Id. The Court held a TRO hearing on April 1, 2025, with all Parties present. See Apr. 1, 2025 Min. Entry. There, the DDOT agreed to postpone the deadline for Spin to remove its SFDs from D.C. public space until April 25, 2025, to allow the Parties to fully brief Spinâs motion for preliminary injunction and the Court to decide it. Defendants filed their opposition to Spinâs motion on April 8, 2025, ECF 13, and Spin replied on April 11, ECF 14. The Court held a hearing on the motion on April 11, 2025. See Apr. 11, 2025 Min. Entry. Spin submitted a supplemental sealed filing on April 14 that included Spinâs complete amended appeal that it had submitted to the DDOT Hearing Officer, along with the DDOTâs response. ECF 15. II. LEGAL STANDARD âA preliminary injunction is âan extraordinary remedy that may only be awarded upon a clear showing that the plaintiff is entitled to such relief.ââ Sherley v. Sebelius, 644 F.3d 388, 392 (D.C. Cir. 2011) (quoting Winter v. Nat. Res. Def. Council, Inc., 555 U.S. 7, 22 (2008)). To prevail 4 Spin also included a count for âInjunctive Reliefâ and another for âDeclaratory Judgment,â which the Court construes as remedies sought rather than legal claims. See ECF 1 ¶¶ 128â47. 10 on a preliminary injunction motion, the movant âmust show (1) a substantial likelihood of success on the merits, (2) that it would suffer irreparable injury if the injunction were not granted, (3) that an injunction would not substantially injure other interested parties, and (4) that the public interest would be furthered by the injunction.â Chaplaincy of Full Gospel Churches v. England, 454 F.3d 290, 297 (D.C. Cir. 2006). However, âwithout a likelihood of success on the merits,â the movant is ânot entitled to a preliminary injunction regardless of their showing on the other factors.â Brown v. Fed. Election Commân, 386 F. Supp. 3d 16, 24 (D.D.C. 2019) (citing Ark. Dairy Co-op Assân, Inc. v. U.S. Depât of Agric., 573 F.3d 815, 832 (D.C. Cir. 2009)). III. ANALYSIS Spin fails to show that it is likely to succeed on the merits of any of its claims, a failure fatal to its preliminary injunction motion. The Court assesses Spinâs due process, equal protection, and D.C. administrative law claims and finds all of them wanting. A. Due Process Spin claims that the DDOTâs âhandling and subsequent denial of Spinâs [permit] application[s]â violated Spinâs substantive and procedural due process rights. ECF 3 at 25. According to Spin, it was deprived of its liberty interest in âpursuing [its] chosen trade or profession,â namely providing SFD services in the Districtâas well as its property interest in the SFD permitsâwithout a rational basis and without adequate procedures like an evidentiary hearing. Id. at 25â27; ECF 14 at 15â17. Defendants counter that Spin has not shown a protected interest and, even if it did, Spin was given sufficient process to challenge the DDOTâs denial decisions. The Court agrees with Defendants that Spin has not established the requisite protected interest to trigger either substantive or procedural due process protections, and Spinâs claim fails 11 as a result. Substantive and procedural due process claims both demand a threshold showing that the defendant âdeprived [the plaintiff] of a constitutionally cognizable liberty or property interest.â Doe v. District of Columbia, 206 F. Supp. 3d 583, 604 (D.D.C. 2016) (citing Washington v. Glucksberg, 521 U.S. 702, 720â22 (1997); Roberts v. United States, 741 F.3d 152, 161 (D.C. Cir. 2014)). Spin establishes neither. Start with Spinâs asserted liberty interest. Spin contends that it has a liberty interest equivalent to the recognized liberty interest in an individual or business âpursuing their chosen trade or profession.â ECF 3 at 25â26. Spin points to cases holding that âformally debarring a corporation from government contract bidding constitutes a deprivation of liberty that triggers the procedural guarantees of the Due Process Clause.â Trifax Corp. v. District of Columbia, 314 F.3d 641, 643 (D.C. Cir. 2003). But the instant case is not equivalent to formal debarment. In the contract debarment cases, a business is prohibited from bidding on or participating in a government program, such as Medicare, often for an indefinite period. See ABA, Inc. v. District of Columbia, 40 F. Supp. 3d 153, 166â167 (D.D.C. 2014). Here, Spin merely lost a permit competition (in which it was allowed to compete) for two specific two-year permits, and nothing prohibits it from entering the competition again for the next permitting cycle. To the contrary, the DDOT Director stated in her denial letter that Spin was âwelcome to apply in any future application periods.â ECF 1-10 at 2. To that fact, Spin responds that even a temporary debarment still counts as an infringement of a protected liberty interest. Thus, that Spin lost a permit only for two years would still suffice. ECF 14 at 16. But neither of the two cases Spin cites for that proposition conducted a constitutional due process analysis or found a protected liberty interest. See Horne Bros., Inc. v. Laird, 463 F.2d 1268 (D.C. Cir. 1972); Friedler v. Gen. Servs. Admin., 271 F. Supp. 3d 40 (D.D.C. 2017). Instead, 12 both involved compliance with regulatory requirements associated with federal contract debarment. Spin offers no other authority for its claim that merely losing a competition for a two- year permit constitutes formal debarment. D.C. Circuit precedent offers Spin another path, but Spin cannot navigate its way there, either. The Circuit has held that âgovernment action precluding a litigant from future employment opportunities will infringe upon [its] constitutionally protected liberty interests only when that preclusion is either sufficiently formal or sufficiently broad.â Taylor v. Resol. Tr. Corp., 56 F.3d 1497, 1506 (D.C. Cir.), amended on rehâg, 66 F.3d 1226 (D.C. Cir. 1995) (emphasis added). To establish that its preclusion is broad enough, even if not formal enough, to trigger protection, Spin must show that it has been âeffectively foreclosedâ from government contracting or employment opportunities by virtue of defamatory statements that âeffectively put [it] out of business.â Old Dominion Dairy Prods., Inc. v. Secây of Def., 631 F.2d 953, 963â64 (D.C. Cir. 1980); see also Trifax Corp., 314 F.3d at 644. In such cases, âwhen the Government effectively bars a contractor from virtually all Government work due to charges that the contractor lacks honesty or integrity, due process requires that the contractor be given notice of those charges as soon as possible and some opportunity to respond to the charges before adverse action is taken.â Trifax Corp, 314 F.3d at 644 (quoting Old Dominion, 631 F.2d at 955â56); see also Reeve Aleutian Airways, Inc. v. United States, 982 F.2d 594 (D.C. Cir. 1993), as amended on denial of rehâg (Mar. 26, 1993). But that circumstance does not apply here, either. At no point in the permit application process, appeal, or denial did Defendants publicly charge Spin with lacking honesty or integrity, nor did they make other affirmative statements that would harm Spinâs reputation. Instead, the DDOT merely gave Spin the third highest score out of eight in the permit competition, which was 13 not enough to win.5 See ECF 1-8 at 3 (Hearing Officer finding that Spin received the third highest score in a âcompetitiveâ process). Indeed, the caselaw makes clear that being denied a permit in a competitive bidding process is not the same as debarment from government contracting. In the federal context, from which the caselaw on debarment generally arises, debarment is defined as ââan administrative action which excludes nonresponsible contractors from government contractingâ and âeffectuate[s] the [federal governmentâs] policy that agencies shall solicit offers from, award contracts to, and consent to subcontracts with responsible contractors only.ââ Friedler, 271 F. Supp. 3d 40 at 43 (quoting Caiola v. Carroll, 851 F.2d 395, 397, 398 (D.C. Cir. 1988)). But Spin has not been excluded from government contracting; to the contrary, it was allowed to bid for a contract of a sort (a permit), lost, and will be allowed to bid again in the next cycle. It has not been found ineligible for future permits, nor has it been found to be ânonresponsible.â Id. Finally, Spin attempts to rely on cases involving individuals denied licenses to practice their profession. But first, none of the cases Spin cites involve a corporation; all involve individuals seeking, and being precluded from, individual employment. See, e.g., Greene v. McElroy, 360 U.S. 474 (1959); Kartseva v. Depât of State, 37 F.3d 1524 (D.C. Cir. 1994). The D.C. Circuit has applied that same basic principle to the context of corporations through its contract debarment cases. See Trifax, 314 F.3d at 643. And, as discussed above, this case does not meet the debarment casesâ requirements. Without a case on point that finds a liberty interest in an international corporationâs winning of a two-year permit to operate within a single city, this Court cannot find a likelihood of 5 To be sure, Spin does allege reputational harm flowing from Defendantsâ decision: that Spin will lose customer goodwill when customers can no longer find Spin devices on D.C. streets. ECF 3 at 29. But Spin characterizes that harm as part of its irreparable injury, not as a harm supporting a protected interest for due process purposes. And indeed, Spin cites no case finding a protected liberty interest where the requisite reputational harm came not from a statement of the government but instead as a follow-on consequence of the governmentâs non-defamatory contract or license denial. 14 success on the merits of Spinâs liberty-interest claim at this point. Spinâs argument would effectively subject every competitive municipal business-permit process to constitutional scrutiny, and Spin offers no binding authority for such a sweeping rule. Changing tack, Spin argues for the first time in its reply that it also has a protected property interest in the permit it lost to its competitors through the challenged DDOT process. ECF 14 at 16â17. For support, Spin cites the D.C. Circuitâs rule outlined in 3883 Connecticut LLC v. District of Columbia, 336 F.3d 1068 (D.C. Cir. 2003), as well as a D.C. Superior Court case applying that rule. See Bird Rides, Inc. v. D.C. Dept. of Transp., No. 2023-CAB-00316, at 9-10 (D.C. Super. Ct. Sept. 20, 2023). Spin contends that, under those cases, it has a protected property interest in the 2025â2026 permits because (a) it submitted its permit application and was denied the renewed permits before its prior permits expired, as in Bird Rides, and (b) Spinâs application answers for this cycle were âjust as good if not better than those from the last application cycle,â the number of permits the DDOT granted was the same as last cycle, and thus Spin had more than a âunilateral expectationâ that it would get another permit. ECF 14 at 17. But those facts do not suffice to create a property interest under 3883 Connecticut. This case concerns Spinâs eligibility for a new permit. To determine whether an applicant has a protected property interest in a new permit, the D.C. Circuit asks whether the applicant had âmore than a unilateral expectation in the permit it seeksâ based on decision-making officialsâ âdiscretion to approve [the] applicationâ under the applicable laws and regulations. 3883 Conn., 336 F.3d at 1072. As the Fourth Circuit has held, in a case cited approvingly by the D.C. Circuit, â[a]ny significant discretion conferred upon the local agencyâ in granting the permit âdefeats the claim of a property interest.â Gardner v. City of Balt. Mayor & City Council, 969 F.2d 63, 68 (4th Cir. 1992) (cited in 3883 Conn., 336 F.3d at 1072). Here, the D.C. statute and regulations give the 15 DDOT discretion to pick new permit holders based on its assessment of each applicantâs performance on a set of criteria. See 24 D.C.M.R. §§ 3317.2â6. Those regulations do not require the agency to grant a permit or renew a previously held permit, nor do they create mandatory or automatic conditions for renewal. See id. In fact, by setting a cap on the number of permits selected, the statute and regulations contemplate that not every applicant will receive a permit. See D.C. Code § 50â2201.03c(b)(3) (granting the DDOT the authority to grant either no shared fleet device permits or any number of permits greater than two); 24 D.C.M.R. § 3314.24 (allowing the issuance of no more than nine permits for shared fleet devices, including no more than five for electric mobility devices, and allowing selection of fewer than that âif the Director determines that doing so would be in the interest of protecting public safety, preventing negative transportation impacts, or ensuring reasonable enjoyment of the public spaceâ). That regulatory context defeats a property interest claim under D.C. Circuit caselaw. See also Lopez v. Fed. Aviation Admin., 318 F.3d 242, 249 (D.C. Cir. 2003), as amended (Feb. 11, 2003). Nonetheless, Spin points to Bird Rides for the proposition that it had a property interest in renewal of its SFD permits because it applied for the 2025â2026 permits while its 2023â2024 permits were still active. See Bird Rides, No. 2023-CAB-00316 at 9. The Superior Courtâs opinion does support that proposition, and it concerned precisely the same regulatory context as this case (albeit for the previous application cycle). But this Court respectfully departs from the Superior Court judgeâs holding. That court reasoned from an opinion of another judge in this District, Psychas v. District Department of Transportation, which held that a permit applicant did not have a protected property interest in a permit that had already expired. No. 18-cv-0081, 2019 WL 4644503 (D.D.C. Sept. 24, 2019). In Psychas, the plaintiffs claimed that they had a protected property interest in a DDOT building permit granted on November 9, 2015, and disputed the 16 contention that the permit had an expiration date or was temporary even though by its terms it had âeffective dates of November 9 through November 20, 2015.â Id. at *2, *12. Instead, those plaintiffs argued, their permit had been âconstructively revokedâ without due process. Id. at *11. Judge Berman Jackson disagreed on the facts, finding that the November 2015 permitâs stated expiration date was indeed an expiration date, and that the plaintiffs therefore did not have an ongoing property interest in that permit after that date. Id. at *11â12. In so holding, Judge Berman Jackson compared those facts with the facts of 3833 Connecticut, which found a protected property interest in an âactiveâ (i.e., not-expired) permit. Id. at *12. The Bird Rides court reasoned from that analysis that an SFD permit holder had a protected property interest in continued operations of its SFDs in the District because it applied for new permits while its prior permits were still active. Bird Rides, No. 2023-CAB-00316 at 10. Despite some argumentative gymnastics on Spinâs part, this Court finds no property interest here. Spin contends that it, like the plaintiff in 3883 Connecticut, had a protected property interest in an active permitânamely, the 2023â2024 SFD permits it had previously been awarded, which had not yet expired by the time Spin applied for the 2025â2026 permits. ECF 14 at 17. But 3883 Connecticut held only that such a permit holder has a protected interest in the âcontinued effectâ of the permit it already holds, and only to the extent that the granting official lacks âdiscretion to revoke or suspend the permit.â 336 F.3d at 1072. If, and only if, the relevant laws and regulations create âan expectation in the continued effect of the permit[]â due to officialsâ lack of discretion to revoke it, then the holder has a property interest in it. Id. at 1073. Spinâs problem is that it cannot explain how it could have an expectation in the continued effect of permits that, by the governing regulationsâ clear terms, expired at the end of 2024. See 24 D.C.M.R. 3314.6(b). Even though Spin purports to claim a protected interest only in the 2023â2024 permits that it was 17 already awarded, ECF 14 at 16, its argument functionally seeks a protected interest in the 2025â 2026 permitsâthe only thing Spin claims Defendants denied it. In 3883 Connecticut and Psychas, by contrast, the plaintiffs claimed (in one case correctly and in the other incorrectly) that their previously awarded permits had ongoing effect of which the government deprived them. Here, the governing statutes and regulations plainly disabled the effect of the 2023â2024 SFD permits after the end of 2024. After that point, all Spin had were expired permits and a denied application for new permits. Neither affords it a property interest. Spin advances one final argument, to no avail. Spin contends that it had more than a âunilateral expectationâ in winning a permit to operate after the end of 2024 because its responses in the 2025â2026 application cycle were âjust as good if not better thanâ its 2023â2024 responses. ECF 14 at 17. Yet, Spin points to nothing in the permit statute or regulations, or DDOT guidance or communications, suggesting that a permit would be awarded as long as the responses were at least as good as before. To the contrary, the regulations provide that applications âshall be scored by an Evaluation Committeeâ every two-year cycle based on a scoring system issued âin advance of the permit applicationâ for each process, and it clearly envisions a competitive process in which prior permit holders and new applicants compete under the same rubric and not all will get a permit. 24 D.C.M.R. 3317.4â5. Spin provides no binding, or even persuasive, caselaw finding a protected property interest on such facts, and the reasoning of 3883 Connecticut and the cases it cites precludes such a finding. In short, Spin is unlikely to succeed on the merits of its due process claim because it has no protected liberty or property interest in the permits that Defendants denied it. 18 B. Equal Protection Next, Spin brings an equal protection claim on the basis that one of its competitors, Bolt, received preferential treatment in the permit application process and was awarded a permit over Spin as a result. ECF 3 at 28â29. According to Spin, that preferential treatment took two forms. First, it claims, the DDOT unfairly granted Bolt an exception to what Spin says was a mandatory deadline for an in-person demonstration for which the DDOT said it would offer no extensions. Id. at 28. And second, Spin alleges, the agency granted Bolt an extension from the requirement to commence operations in the District on January 1, 2025, the permit start date. Id. According to Spin, the DDOT offered Spin neither of those accommodations and thereby treated Bolt more favorablyâand did so without any rational basis. The Court finds that claim, too, unlikely to succeed. To establish an equal protection violation for a âclass of one,â a plaintiff must show â(1) disparate treatment of similarly situated parties (2) on no rational basis.â 3883 Conn., 336 F.3d at 1075 (citing Vill. of Willowbrook v. Olech, 528 U.S. 562, 564 (2000)). Spinâs claim likely fails at the first prong. As Defendants argue, Spin and Bolt were not similarly situated in the relevant sense such that any difference in treatment raises an equal protection issue. With regard to extension of the in-person demonstration date, Defendants note that only Bolt requested an extension of that date; Spin never requested such an extension. ECF 13 at 12; see ECF 13-1 at 5. Indeed, as Defendants point out, Bolt requested an extension even before the DDOT had announced a date. See id. Spin insists that it did not request an extension because the application Q&A that the DDOT released in late-October 2024 stated that such extensions would not be granted. ECF 3 at 12. Yet, as Defendants argue, that question in the Q&A document is best read to reference the deadline for the written application (referring to applicantsâ desires to provide 19 âpolished and targeted responsesâ), see ECF 1-2 at 3, 5, not the demonstration, which is discussed in a different Q&A and which post-dated the November 1 â[p]ermit application deadline.â ECF 1- 1 at 7. Thus, there is no evidence in the Q&A that Spin or other applications could not have requested a different demo date, as Bolt did. Further, even if the Q&A could be read to generally preclude extensions, the record evinces a facially legitimate reason for giving Bolt an extension upon request: the âinternational shipping and travel schedulesâ that Bolt raised in its request email. ECF 13 at 2 (quoting ECF 13-1 at 5). Spin does not contest the truth of that reason, nor does it offer more than a speculative suggestion that the reason was pretextual. See Apr. 11, 2025 Hrâg Rough Tr. 20:23â21:12 (suggesting, admittedly without âsufficient evidence,â that the DDOT denied Spin a permit in order to effectuate an ulterior motive of reducing the total number of scooters on D.C. streets, which the DDOT allegedly considered but failed to do through a rulemaking process and thus âhad to find another way to make that happenâ). The January 1, 2025, launch deadline, which appears in the sample Permit Operator Agreement (POA) attached to the administrative issuance, is even less helpful to Spin. For one thing, Spin was not similarly situated to Bolt at that stage because it never even made it to the point of signing a POA for the 2025â2026 cycle. Thus, we do not know if Spin would have received an extension to the launch date if, for whatever reason, it asked for one. That fact alone dooms Spinâs claim on this point. Even worse for Spin, the administrative issuance made clear that the sample POA was ânot finalâ and âapplicants may have additional terms and conditions written into their POA based on their application.â ECF 1-1 at 6. Thus, the sample POA erected no barrier to the DDOT extending Boltâs January 1 launch date, as the DDOT could simply add a term or condition to Boltâs final POA providing for such an extension. Finally, though it does not much matter, even the sample POA did not require a launch on January 1; it required a launch within 30 days of 20 January 1. See ECF 1-3 at 13 (providing for âimmediate permit revocationâ if the awardee did not âlaunchâ its âpermitted operationsâ within 30 days of January 1, 2025, the permit start date, and required the awardee to âimmediately serve the entire District of Columbia upon the first day of permitted operationsâ). And all the record in this case indicates is that, according to Spin, Bolt had not launched operations as of January 17. ECF 1 ¶¶ 46, 74. Accordingly, the alleged extension appears perfectly consistent with the agencyâs guidance and not an exception at all. Spinâs equal protection argument therefore stalls out. C. D.C. Administrative Law Spinâs final claim asserts that Spinâs permit denial decision was arbitrary and capricious in violation of D.C. administrative law. ECF 3 at 10â25. Because the Court finds Spin unlikely to succeed on the merits of its federal claims, the Court must first determine whether it is likely to exercise supplemental jurisdiction over that claim. Obama v. Klayman, 800 F.3d 559, 565 (D.C. Cir. 2015) (explaining that, in the preliminary injunction context, likelihood of success on the merits includes âa likelihood of . . . establishment of jurisdictionâ). The Court would likely not exercise such jurisdiction. But even if it did, Spinâs D.C.-law claim would likely fail. Either way, preliminary injunctive relief on this claim is not warranted. 1. The Court will likely decline to exercise supplemental jurisdiction A federal court may exercise subject matter jurisdiction over state-law (including D.C.- law) claims that âderive fromâ the same âcommon nucleus of operative factâ as any federal claims such that âthe relationship between the federal claim and the state claim permits the conclusion that the entire action before the court comprises but one constitutional case.â City of Chicago v. Intâl Coll. of Surgeons, 522 U.S. 156, 165 (1997) (quoting Mine Workers v. Gibbs, 383 U.S. 715, 725 (1966)); see 28 U.S.C. § 1367(a). That decision lies within the district courtâs discretion, and 21 the court âmay decline to exercise supplemental jurisdiction over [such] a claimâ if, inter alia, the court âhas dismissed all claims over which it has original jurisdiction.â Id. § 1367(c)(3); see Edmondson & Gallagher v. Alban Towers Tenants Assân, 48 F.3d 1260, 1266 (D.C. Cir. 1995). In exercising its discretion, district courts should weigh âconsiderations of judicial economy, convenience and fairness to litigants.â Gibbs, 383 U.S. at 726. As the Supreme Court has explained, â[n]eedless decisions of state law should be avoided both as a matter of comity and to promote justice between the parties, by procuring for them a surer-footed reading of applicable law.â Id. When it comes to D.C. administrative law claims, courts in this Circuit have expressed a strong preferenceâif not a firm ruleâagainst district courtsâ exercise of supplemental jurisdiction once all federal claims have been dismissed. See Lightfoot v. D.C., 448 F.3d 392, 399 (D.C. Cir. 2006) (instructing that the district court âshould dismissâ a claim brought under the D.C. Administrative Procedure Act (DCAPA) if âthere are no longer any viable federal claims in this suit,â and calling a federal court reviewing a D.C. agency an âanomalyâ); Robinson v. Palmer, 841 F.2d 1151, 1157 (D.C. Cir. 1988) (holding that DCAPA suits without federal claims are âmore properly decided in the first instance by the local courts of the District of Columbiaâ). Applying that Circuit precedent, another judge in this District denied a preliminary injunction on a DCAPA claim because the plaintiff was unlikely to succeed on the merits of its federal claims and the court would thus likely dismiss the DCAPA claim for lack of supplemental jurisdiction. See Classic Cab, Inc. v. D.C., 288 F. Supp. 3d 218, 229â30 (D.D.C. 2018). Those cases counsel against supplemental jurisdiction here, too. Spin pushes back, arguing that its D.C.-law claims does not arise under the DCAPA and thus that the aforementioned cases do not apply. ECF 14 at 9â10. Instead, Spin maintains, the 22 DCAPA âgoverns only âcontestedâ administrative cases,â which this case is not. Id. at 9. To be sure, the DCAPAâs judicial review provision applies by its terms only to âorder[s] or decision[s] of the Mayor or an agency in a contested case.â D.C. Code § 2â510(a). That provision confers exclusive jurisdiction for such suits on the D.C. Court of Appeals. See id.; D.C., Depât of Pub. Works v. L.G. Indus., Inc., 758 A.2d 950, 954 (D.C. 2000). And the Parties here agree that the challenged DDOT decision was not conducted as a contested case under the DCAPA. ECF 13 at 13; ECF 14 at 9; see D.C. Code § 2â502(8) (defining a âcontested caseâ as âa proceeding before the Mayor or any agency in which the legal rights, duties, or privileges of specific parties are required by any law (other than this subchapter), or by constitutional right, to be determined after a hearing before the Mayor or before an agency); id. § 2â509 (prescribing procedures for contested cases). The Court agrees with Spin that, to the extent the caselaw in this Circuit concerns only contested cases, it would not apply here. However, the caselaw does not appear so limited. Neither the Lightfoot nor Robinson courts stated that they were reviewing contested cases or that their supplemental jurisdiction holdings relied on such a finding. Rather, in both cases, the DCAPA challenge concerned the District agencyâs failure to use notice-and-comment procedures for a rulemaking as required under the DCAPA. Lightfoot, 448 F.3d at 398; Robinson, 841 F.2d at 1157. A rulemaking is not a contested case, and a challenge to it thus does not fall under the DCAPAâs judicial review provision. See Debruhl v. D.C. Hackersâ License Appeal Bd., 384 A.2d 421, 425 (D.C. 1978) (distinguishing contested cases from rulemakings under the APA); United States v. D.C. Bd. of Zoning Adjustment, 644 A.2d 995, 999 (D.C. 1994) (holding that rulemakings or other agency actions that do not have âcontested case statusâ are ânot the proper subject of [the D.C. Court of Appealsâ] direct appellate jurisdictionâ). Consistent with that reading, the district court in Classic Cab applied Lightfoot and 23 Robinson in finding jurisdiction unlikely over a challenge to a District agency rulemakingâalso not a contested case. See Classic Cab, Inc., 288 F. Supp. 3d at 229â30. Thus, this Court doubts Spinâs argument that its challenge to the DDOTâs non-contested-case administrative action does not âarise underâ the DCAPA in the sense relevant for the Robinson-Lightfoot supplemental jurisdiction rule. But the Court need not spin its wheels further on this slick terrain. That is because, even if the D.C. Circuitâs cases did not compel this Court to deny supplemental jurisdiction, the Supreme Courtâs instructions in Gibbs counsel in that same direction. First and foremost, the Gibbs Court said that district courts âshouldâ dismiss state claims âif the federal claims are dismissed before trial,â as is likely here. 383 U.S. at 726. Second, federal courts should dismiss claims when âit appears that the state issues substantially predominate.â Id. There is no question that the D.C. law claims make up the bulk of the Partiesâ briefing here. Third, D.C. local courts are more experienced with D.C. administrative agencies and administrative law, and so there is at least some judicial efficiency in having D.C. courts hear cases challenging D.C. administrative action. All told, then, the Court is unlikely to exercise supplemental jurisdiction over Spinâs D.C.- law claims. However, to the extent that further litigation and consideration could change the Courtâs assessment of its supplemental jurisdiction, the Court finds it prudent at this posture to preliminarily assess the merits of Spinâs D.C.-law claim. And indeed, the Court sees some clear judicial efficiency in addressing Spinâs merits claims in full for preliminary injunction purposes given the time pressures Spin is under to clear its vehicles from D.C. streets. 2. Spinâs D.C.-law claim is unlikely to succeed in any event If the Court did exercise supplemental jurisdiction over Spinâs D.C.-law claim, the claim would still be unlikely to succeed on its merits. D.C. courts apply the same standard as applied in the context of the federal Administrative Procedure Act when assessing whether a D.C. 24 administrative agencyâs action is arbitrary and capricious, as Spin claims Defendantsâ actions were. See Wilson v. D.C. Rental Hous. Commân, 159 A.3d 1211, 1214 (D.C. 2017) (citing Motor Vehicle Mfrs. Assân v State Farm Mut. Auto. Ins. Co., 463 U.S. 29, 43 (1983)). Thus, D.C. agency action is arbitrary and capricious âif the agency has relied on factors which [the legislature] has not intended it to consider, entirely failed to consider an important aspect of the problem, offered an explanation for its decision that runs counter to the evidence before the agency, or is so implausible that it could not be ascribed to a difference in view or the product of agency expertise.â Id. (quoting State Farm, 463 U.S. at 43). Spin argues that Defendantsâ denial of the 2025â2026 SFD permits to Spin was arbitrary and capricious for five reasons. See ECF 3 at 11. The Court takes each in turn. i. Preferential Treatment of Bolt An agency acts arbitrarily and capriciously when it âfails to âtreat similar cases in a similar manner unless it can provide a legitimate reason for failing to do so.ââ XP Vehicles, Inc. v. Depât of Energy, 118 F. Supp. 3d 38, 78â79 (D.D.C. 2015) (quoting Indep. Petroleum Assân of Am. v. Babbitt, 92 F.3d 1248, 1258 (D.C. Cir. 1996)). Spin effectively repeats its equal-protection arguments here, pointing again to the in-person demonstration date and launch date extensions. ECF 3 at 12â13. Yet, as already explained, Spin and Bolt were not similarly situated for equal- protection purposes. See supra Section III.B. And for the same reasons, they did not present âsimilar casesâ for arbitrary-and-capricious purposes. Thus, Spinâs D.C.-law claim is unlikely to succeed on this basis. ii. âSecretâ Scoring Criteria Next, Spin claims that the DDOT reviewers improperly applied the âsecretâ scoring criteria articulated in Randellâs email to the other reviewers instead of the official scoring criteria 25 published in the agencyâs administrative issuance. ECF 3 at 14â19. If the reviewers had in fact applied a different scoring criteria than what the agency publicized, their decision very well could have been arbitrary and capricious. âIt is âaxiomaticâ . . . âthat an agency is bound by its own regulations,â and âan agency action may be set aside as arbitrary and capricious if the agency fails to âcomply with its own regulations.ââ Natâl Envât Dev. Assoc.âs Clean Air Project v. EPA., 752 F.3d 999, 1009 (D.C. Cir. 2014) (quoting Panhandle Eastern Pipe Line Co. v. FERC, 613 F.2d 1120, 1135 (D.C. Cir. 1979); Environmentel, LLC v. FCC, 661 F.3d 80, 85 (D.C. Cir. 2011)). Here, DDOT regulations require the agency to include its âpoints-based scoring system . . . in an administrative issuance released in advance of the permit application being published.â 24 D.C.M.R. § 3317.4. The agency was therefore bound by regulation to apply the scoring system it released in its October 2024 administrative issuance. See ECF 1-1 at 9. Yet Spinâs claim falls short because Spin has not met its burden to show that the DDOT failed to apply its published scoring criteria. As the Hearing Officer found, the âsecretâ criteria in Randellâs email did not meaningfully differ from the published criteria for a score of â2â or â3,â as Spin claims. See ECF 1-8 at 6â7. Further, to the extent they differed in minor respects, the record does not show that the reviewers applied the âsecretâ criteria rather than the published criteria. First take the criterion for a â2â score. Under the published scoring system in the administrative issuance, â2 ratings meet the minimum regulatory standards and offer basic or typical, but unexceptional solutions, claiming a moderate level of commitment and ability to solving known challenges and concerns.â ECF 1-1 at 9. By comparison, Randellâs email stated that â[a] score of â2â will effectively be an âaverageâ score, where the operator is restating a requirement or simply meeting the standards of the industry or offering examples of previous 26 solutions or outcomes that are unexceptional.â ECF 1-5 at 2. Spin zeroes in on the term âstandards of the industry,â arguing that Randellâs version âreplace[d] âminimum regulatory requirementsâ with âindustry standards,ââ thereby introducing a concept that, unlike minimum regulatory requirements, are not defined in the D.C. Code or administrative issuance and, in any event, differ from the published criterionâs standard. ECF 3 at 18. But widen the aperture just a bit further, and it becomes difficult to see Randellâs version as doing anything of the sort. The published criterion inquires into not just compliance with âminimum regulatory standardsâ but also whether the applicantâs response âoffer[s] basic or typical, but unexceptional solutions,â and the extent to which it demonstrates a âcommitment and ability to solve known challenges and concerns.â ECF 1-1 at 9. It seems highly reasonable to consider âindustry standardsâ when judging whether proposed solutions are âbasic,â âtypical,â or âunexceptional,â and the extent to which they âsolve known challenges and concerns.â Id. The DDOT argued as much to the Hearing Officer, and the Hearing Officer agreed. See ECF 1-8 at 9. So, too, does the Court. Whatâs more, Randellâs email did not abandon the âregulatory requirementsâ concept; to the contrary, it clearly stated that â[t]he current rubric emphasizes meeting or exceeding District Regulations.â ECF 1-5 at 2. Notably, all five of the scoring criteria (for scores of 0 through 4) referenced âminimum regulatory standards,â âminimum requirements,â or âthe regulations,â and a score of â1â also included the criterion that the response âmeet[s] the minimum regulatory standards,â just as the â2â score did. See ECF 1-1 at 9. So it makes perfect sense that Randellâs email would emphasize what made the â2â score different from the others. Accordingly, Randellâs criterion for a â2â score is perfectly consistent with the published version, and his email does nothing more than what it purports to do: offer âclarifications on scoring criteria.â ECF 1-5 at 2. And further, the reviewersâ use of the term âindustry standardsâ in their 27 scoring comments therefore do not indicate any meaningful departure from the published criteria. Contra ECF 3 at 19 (pointing to reviewersâ comments specifically referencing the âindustry standardâ as proof that the reviewers applied the wrong criterion). Next take the dueling criteria for a â3â score, the other one Spin challenges. The published version states that â3 ratings significantly exceed the minimum requirements or display more detailed approaches demonstrating (with specific testing, demonstrations, or research and development) a higher level of commitment to solving known challenges and concerns.â ECF 1-1 at 9. Randellâs email said that â3s and 4s should be given only when an operator can effectively exhibit âhigherâ or âhighestâ level of commitment and has some proof to back it up, rather than simply promising an outcome.â ECF 1-5 at 2. There, unlike for the â2â score, the Court can discern some potentially meaningful variation: Randellâs version appeared to discard the possibility of earning a â3â through a response that âsignificantly exceed[s] the minimum requirements,â and it instead allowed a â3â score âonly when an operator can effectively exhibit âhigherâ . . . level of commitment and has some proof to back it up.â Id. (emphasis added); see ECF 3 at 18. Yet, ultimately, this difference appears inconsequential. First, again, Randellâs email stated early on that the scoring rubric as a whole âemphasizes meeting or exceeding District Regulations.â ECF 1-5 at 2. So the reviewers were hardly instructed to âdisregard[]â that aspect of the published criteria. ECF 3 at 19. Second, Spin points to no evidence, nor can the Court locate any in the record, that reviewers demanded âa higher level of commitment and certain proof,â as Spin puts it, rather than merely applying the published criterion. Id. at 18. When pressed at oral argument, Spin offered just one example of an application question in which reviewersâ comments purportedly indicated that they improperly demanded âproof to back . . . upâ a claim rather than permitting a response that âsignificantly exceed[ed] minimum requirements.â See Apr. 11, 2025 28 Hrâg Rough Tr. 14:18â15:4. However, upon review, the Court cannot discern in the reviewersâ comments, filed under seal, a requirement of âa higher level of commitment and certain proof,â as Spinâs argument would have it. ECF 3 at 18. Instead, the comments show merely that two requesters gave a â2â score on that question because they found Spinâs response lacking in detail. Requiring a more detailed response is not the same as requiring âproofâ such as âspecific testing, demonstrations, or research and development,â as the published criterion states. ECF 1-1 at 9. Because those commentsâwhich Spin held out as its best example on the â3â score criteriaâare consistent with the published scoring criteria, Spinâs claim that the reviewers applied the wrong criteria once again falls flat. The record also includes other evidence that cuts against Spinâs argument that the reviewers failed to apply the published criteria. For one thing, Randellâs email included the verbatim published criteria right below his âclarifications.â See ECF 1-5 at 2. For another, the scoring spreadsheets into which the reviewers inputted their scores included the verbatim published criteria next to each category of questions. See ECF 1-5 at 4â6; see generally ECF 15 (filed under seal). Additionally, the DDOT gave even more guidance in the administrative issuance in which it also published the scoring rubric, including tips for how to answer many of the specific questions on the application. See ECF 1-1 at 10â14. Spin provides no evidence that the agency disregarded that additional guidance or scored answers inconsistently with it. All told, then, the record simply cannot support Spinâs claim that Defendants applied âsecretâ or improper scoring criteria when scoring Spinâs application, and its D.C.-law claim likely fails on that basis, too. iii. Arguments Heard by Hearing Officer Spinâs third D.C.-law argument against Defendantsâ denial decision asserts that the Hearing Officer that heard Spinâs agency appeal âignore[d]â some of Spinâs arguments, 29 specifically those regarding the âDDOTâs preferential treatment of Boltâ through extension of two deadlines. ECF 3 at 20â21. Hearing Officer Calmeise refused to consider those arguments as part of her review of the DDOT denial decision because she found them to be outside of her authority under the relevant regulation. See ECF 1-9 at 9 (citing 24 D.C.M.R. § 3317.9). According to Spin, that decision was âplainly erroneous or inconsistent with the regulationâ and therefore arbitrary and capricious. ECF 3 at 19 (quoting St. Vincentâs Medical Center v. Burwell, 222 F. Supp. 3d 17, 22 n.2 (D.D.C. 2016)). Not so. 24 D.C.M.R. § 3317.9, the regulation governing a Hearing Officerâs review, permits an appeal to a Hearing Officer only on the following three bases: that the agency (a) âimproperly or mistakenly applied the scored criteria to the appellantâs original applicationâ; (b) âmade a mistake in analyzing or calculating an applicantâs final score (or a component thereof)â; or (c) âimproperly deemed an application as incomplete.â Spin is correct that, while item (a) applies only to the appellantâs scores, item (b) can extend to review of another applicantâs application. ECF 3 at 20. But (b), the item upon which Spin hangs its argument, concerns only âmistake[s]â in the analysis or calculation of an applicantâs scores. As Calmeise explained in her opinion, the issue of preferential treatment or âbiasâ in favor of another applicant was not a âmatter[] of miscalculation or mistake in the score ratings which are the sole issue to be reviewed in this Appeal process,â and âthe grounds for review for this Appeal do not extend to complaints of other applicants[â] application process.â ECF 1-9 at 9. Or, as Defendants put it at oral argument, the review provision Spin cites authorizes reviewing any applicantâs scores, but not other aspects of their application process or whether they were scored at all, which is what Spin requested. Apr. 30 11, 2025 Hrâg Rough Tr. 55:24â56:9. 6 That distinction accords with the wording of the regulation, which encompasses mistakes made âinâ calculating or analyzing a score, not mistakes made âbyâ calculating or analyzing (i.e., the mistake of advancing an applicant to the scoring phase altogether, which was Spinâs complaint). Id.; 24 D.C.M.R. § 3317.9. And, consistent with all that, the agency explicitly stated in its Q&A document that the in-person demonstration (the component of the application process in which Bolt allegedly got preferential treatment) âwill not impact the final score of the application.â ECF 1-2 at 5. Calmeise therefore did not err in disregarding Spinâs preferential-treatment arguments in her review. iv. Ignoring Evidence of Improper Scoring Spin challenges another aspect of Calmeiseâs review, too. According to Spin, Calmeise conducted too cursory a review of its objections to the DDOTâs scoring of its two permit applications, âmak[ing] leaps in logic to quickly concludeâwithin two paragraphsâthat the published rubric and the secret rubric were consistent with one another.â ECF 3 at 21. Such âvague and conclusoryâ reasoning, Spin alleges, is not the ââreasoned decisionmakingâ necessary to support an agency determination.â Id. at 21â22 (quoting Al Ghurair Iron & Steel LLC v. United States, 65 F.4th 1351, 1363 (Fed. Cir. 2023); Innovator Enterprises, Inc. v. Jones, 28 F. Supp. 3d 14, 24 (D.D.C. 2014)). This Court cannot agree. First off, the Hearing Officerâs analysis of this issue exceeded two paragraphs and instead spanned about four single-spaced pages. See ECF 1-9 at 6â9. Second, 6 To be clear, the regulation separately provides for review of whether the agency âimproperly deemed an application as incomplete,â 24 D.C.M.R. § 3317.9, which does concern whether the applicant was scored at all. Appropriately, however, Spin does not rely on that aspect of the provision because Spin does not contend that Boltâs application was âimproperly deemed . . . as incomplete,â but rather than Boltâs application was improperly deemed as complete. Id. (emphasis added). 31 the Hearing Officer considered in some depth the specific scoring objections that Spin raised. And, like this Court, she âf[ou]nd the language in the Randell email does not present a âsecret criteriaâ but is merely a restatement of the published score criteriaâ and further that there was no evidence that application of the email rather than published scoring (if any) caused errors in the scores. For instance, the Hearing Officer considered the submissions of the Parties and found that âthe application of industry standards to the scoring criteria is not contradictory to the published criteria.â ECF 1-9 at 9. Spinâs objection amounts to an argument that the Hearing Officerâs reasoning was imperfect and could have been clearer. Perhaps. But the Supreme Court instructs courts to âuphold a decision of less than ideal clarityâ as long as âthe agencyâs path may reasonably be discerned.â State Farm, 463 U.S. at 43. See also Dist. Hosp. Partners, L.P. v. Burwell, 786 F.3d 46, 61 (D.C. Cir. 2015) (â[I]mperfection alone does not amount to arbitrary decision-making.â). This Court need not nit-pick the agency adjudicatorâs reasoned factual analysis any further to uphold it under the deferential standard of arbitrary-and-capricious review. v. Denial of an Evidentiary Hearing Finally, Spin argues that the Hearing Officer arbitrarily and capriciously refused Spinâs request for an evidentiary hearing about âDDOTâs policy regarding exceptions and the panelistsâ decision to not disclose [Boltâs] preferential treatment to other applicants.â ECF 3 at 23; ECF 1-6 at 2â3. Spin insists that such a hearing is required by the strictures of due process, and that âagency action that denies due process rights is arbitrary and capricious.â ECF 3 at 23 (citing Del Labâys, Inc. v. United States, 86 F.R.D. 676, 681 (D.D.C. 1980)). Of course, one major problem with Spinâs argument is that the agencyâs process did not violate any due process right of Spin because Spin did not have a protected liberty or property 32 interest in the denied permits. See supra Section III.A. Further, to the extent Spin believes its right to an evidentiary hearing arose from some other sourceâor from the agencyâs general obligation for reasoned decision-makingâthe Hearing Officer denied Spin an evidentiary hearing on a reasonable and appropriate basis. As Calmeise explained, she did not need any testimony to assess the issues within her review authority, and the claims of preferential treatment were not within that authority, as discussed above. ECF 1-7 at 2; see ECF 1-8 at 10. All told, Spin has not shown a likelihood of success on any of its claims. The Court must deny Spinâs motion for a preliminary injunction on that basis. Ark. Dairy Coop Assân, Inc., 573 F.3d at 832; Brown, 386 F. Supp. 3d at 24. * * * For the foregoing reasons, Spinâs motion for preliminary injunction, ECF 3, is DENIED. A separate order accompanies this memorandum opinion. SO ORDERED. __________________________ JIA M. COBB United States District Judge Date: April 24, 2025 33
Case Information
- Court
- D.D.C.
- Decision Date
- April 24, 2025
- Status
- Precedential