Audit: City failed to effectively monitor Sunport renovation

Copyright © 2022 Albuquerque Journal

A photograph chance staged to make a big airport construction task glimpse additional alongside than it in fact was cost the town of Albuquerque’s Aviation Department $3,625 in “questionable and unnecessary” charges, according to a lately produced audit.

But that’s just a fraction of the funds auditors say the town could have saved – or recouped – on the Albuquerque Global Sunport’s terminal enhancement task, or Idea.

The Aviation Division compensated principal contractor Flintco $189,779 a lot more than it was obligated to fork out, the city’s Workplace of Interior Audit identified. The section also never pursued from Flintco $753,000 in liquidated damages for challenge delays it could have sought, in accordance to a report that arrived as the city programs its following big Sunport overhaul.

The Aviation Department “over-relied” on its architect consultant, SMPC Architects, and as a result under no circumstances essential Flintco to post for acceptance a design plan or official breakdown of substance and labor expenses, the audit identified, nor did the section – as it could have – need Flintco to find many competitive bids for work it subcontracted.

“The audit found that Aviation did not have the appropriate framework in area to successfully keep an eye on and control undertaking fees and development, ensuing in an more $3 million in change orders and above two several years of job delays just after the unique agreement completion date,” the report states.

The Tip overhauled the ticketing place, baggage assert and outside arrivals sidewalk. It wrapped up in 2020 soon after 26 agreement change orders and price tag $32.9 million – $3.1 million more than the contracted rate. It took about 3½ decades alternatively of the initially prepared 15 months.

Auditors built many tips in their report, and an Aviation spokesman stated the section will heed them. That involves updating policy with improved task command provisions, and assessing irrespective of whether it can request $942,779 from Flintco.

“The Aviation Office is currently consulting with the City’s Legal Division pertaining to the recovery of money,” spokesman Jonathan Little explained in an emailed response to Journal concerns.

Flintco, even so, stated the metropolis has no grounds to seek income from the business, indicating it fulfilled its obligations and the Aviation Section approved its get the job done at project’s completion.

“Additionally, all amounts paid out to Flintco for its operate and the work of its trade contractors have been agreed to and approved by (Aviation) and the Venture architect in advance of payment. There is no foundation for (Aviation) to request restoration of any volume it paid out to Flintco for its do the job on the Job,” Flintco president Steve Eikanger stated in a assertion to the Journal.

The audit states the city could have needed Flintco to pay back $1,500 for every day in damages for delays ensuing from Flintco’s alternative of its electrical subcontractor. Paperwork cited “performance failure of (Flintco’s) electrical subcontractor” for 502 more times on the challenge, and that could have been worth $753,000 in payments again to the town, the audit uncovered.

The venture also price the city $193,404 in “unnecessary” costs, in accordance to the audit, which blamed a “lack of ample overview of change orders.” That integrated $189,779 for Flintco fees that the metropolis was not obligated to fork out simply because it was not element of earlier agreed-upon change orders, plus an additional $3,625 to cover the addition, then removing, of particular ceiling tiles for the sake of a photo opportunity. That tile do the job was “questionable and needless,” according to the report.

“The prior Administration (less than Mayor Richard Berry) asked for ‘to make the carousel glimpse as full as doable for a photograph prospect for Metropolis Administration,’” the audit explained, citing a metropolis administration-asked for modify order. “As a consequence, the key contractor instructed a subcontractor to set up ceiling tiles prior to completion of overhead. When the picture possibility was comprehensive, the primary contractor instructed the exact same subcontractor to take away the tiles to entire the overhead do the job.”

The metropolis soon will embark on an additional main Sunport renovation – this a person to transform the safety checkpoint and make a new foodstuff court docket – and Modest reported it will use a diverse style of deal than it did for the terminal update. It is termed CMAR, or building manager at hazard, and Compact claimed in a assertion it is used “to enable productive administration of job prices, improved interaction, and challenge management.”

Jaynes Corp. is the design manager for the upcoming job, which will cost an estimated $90 million.