Contractors building Studebaker East face fines

A five-month delay in the construction of Studebaker East has affected living conditions for students.

The construction was to be completed in March, Director of Housing and Residence Life Alan Hargrave said.

Now the out-of-state contractors working on the delayed dorm are facing fines for not completing the job on time, as the contract stated.

Kevin Kenyon, associate vice president of Facilities Planning and Management, said it is the contractor's responsibility to deliver the job on time, which they were unable to do.

The contractors are facing a $5,000 a day fine until the job is completed, which has been in effect since March.

Kenyon said an assumption of litigation could be made, but there has not been any discussion at this point.

When the contractors reach their substantial completion time in September, the university will take over to prep the building for move-in.

"Right now we are expecting them to finish - it's certainly behind schedule - but we expect it," Kenyon said.

Students expecting to live in Studebaker East were given a choice of either living in Johnson A until the completion of the building or in an entirely separate living space.

Sophomore public relations major Alex Bontrager is among the students who were supposed to be living in Studebaker East this Fall Semester, but said she isn't upset about the change of plans.

"I think you might have a couple people that are frustrated, but we're all saving time and money, so that fact in itself eliminated that frustration," Bontrager said.

Bontrager said she received a letter from the University in the middle of the summer stating she would not be able to move into Studebaker East for the Fall Semester and would instead be living in Johnson A until the building was finished.

"I absolutely love the atmosphere," Bontrager said. "Everybody is happy and welcoming, and I think it is going to get better when we do move, because we'll all be closer."

This is the first project a contractor for the University has not completed on time, which Kenyon said is disappointing, "because it impacts our students, it impacts our office, our revenue and our reputation to be able to deliver projects on time."

Although it is a disappointment to the University, the students affected said they are satisfied they don't have to pay the substantial price difference for the new building.

Freshman Derek Richter said his parents were upset before they realized they would be paying less for a more accommodating residence hall.

"At first I was a little upset, but it's not that big of a deal because eventually we'll be there [Studebaker East]," Richter said.

As for the financial losses the university and the contractors will face, Associate Vice President for Marketing and Communications Tony Proudfoot said the damages cannot be determined until the job is completed.

"The financial impact of a delay is why we have a liquidated damages provision in the contract," Proudfoot said.

Proudfoot said in an earlier statement that the University worked closely with the contractors to ensure that the job would be completed on time.

"While the exterior site work is complete, work on the interior continues, and we believe we remain on a good path to open on the time frame described earlier," Proudfoot said.

"At this point we feel the adjustments we've made have gone as well as can be expected." 


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