Opinion ID: 1857859
Heading Depth: 2
Heading Rank: 1

Heading: Receiving additional evidence.

Text: Justiciable issues aside, Value contends the proper scope of our review should be limited because of two challenged discretionary rulings made in connection with the first district court decision. Value first claims the district court improperly received additional evidence and contends we should not consider it on appeal. This additional evidence pertained to errors in calculating Medco's technical bid and the interrelationships between Value, Lewin, Unisys, and HMA. Medco uncovered this evidence through a discovery order granted by the district court, and therefore it was not part of the administrative record. When reviewing other agency action a court may base its judicial determination on consideration of an amplified factual record, not just the information available to the agency. Lickteig v. Iowa Dep't of Transp., 356 N.W.2d 205, 208 (Iowa 1984). This principle is derived from Iowa Code section 17A.19(7) which expressly grants a court sitting in review of agency action (except a court reviewing contested cases) the discretion to receive and consider any additional evidence it deems appropriate. Community Action Research Group v. Iowa State Commerce Comm'n, 275 N.W.2d 217, 219 (Iowa 1979). This discretion is for the qualified purpose of highlighting what actually occurred in the agency in order to facilitate the court's search for errors of law or unreasonable, arbitrary, or capricious action. Krause v. State ex rel. Iowa Dep't of Human Serv., 426 N.W.2d 161, 165 (Iowa 1988). This discretion is accorded in those situations where evidence outside the agency record tends to demonstrate the agency exceeded its legal authority or committed other error. See Iowa Power & Light Co. v. Iowa State Util. Bd., 448 N.W.2d 468, 471 (Iowa 1989). The discretion is not without limits; the additional evidence may not be used as a springboard for the trial of factual issues de novo in district court. Krause, 426 N.W.2d at 165. Our review of the record here satisfies us that all of the additional evidence offered by Medco was properly considered by the district court for the limited purpose of highlighting what actually occurred in the bidding process ( i.e., errors in calculating the technical scores and potential conflicts of interest). We reject Value's contention to the contrary.