LANSING, Mich. (AP) — A Michigan board has delayed voting on a cigarette tax collection contract after objections were raised by two finalists that lost out.
The State Administrative Board was expected to approve the Treasury Department's recommendation for a five-year contract with Xerox on Tuesday. But the item was removed from the agenda.
A state spokesman says he is checking into why no action was taken.
The Associated Press reported this month that Xerox was in line for the $9.6 million contract despite allegations of bias in the selection process and an offer from a competitor to do the work for at least $1.7 million less.
If awarded the contract, Xerox will provide 450 million counterfeit-resistant stamps a year that are applied to cigarette packs to show taxes have been paid.