THE VIRGINIAN-PILOT
Copyright (c) 1997, Landmark Communications, Inc.
DATE: Saturday, January 25, 1997 TAG: 9701250305
SECTION: LOCAL PAGE: B1 EDITION: NORTH CAROLINA
SOURCE: BY ANNE SAITA, STAFF WRITER
DATELINE: CURRITUCK LENGTH: 59 lines
Currituck County officials have decided to hold off on firing general contractor Trafalgar House Construction Inc. for failing to build a high school on time.
The county's Board of Commissioners and Board of Education each voted unanimously Thursday night to delay sending a final termination notice to Trafalgar House, which is responsible for overseeing the construction of a $16 million school, which is more than six months behind schedule.
That final notice was to be sent Friday.
The boards voted last week to terminate their contract with Trafalgar House for several reasons, including allegations of poor workmanship and failure to meet project deadlines.
A Trafalgar House official said earlier the delays cannot be solely attributed to his firm, and that other parties in the project must accept responsibility for problems.
Chief Executive Officer Domenic Macaione also denied that his company has failed to correct discrepancies that school officials said are approaching a half-million dollars. The discrepancies are far from that amount and are being corrected at the company's expense, he said.
``We think it's unfair that the county has chosen to identify us as the bad guys for this project,'' said Macaione, who also is president of Trafalgar House's parent company, Kvaerner Construction of Tampa, Fla.
``Our hands are tied when other people don't perform,'' he said in an interview last week.
Thursday's votes came after a 90-minute closed session with both boards, various school and county officials and attorneys.
After the meeting, Commissioner Paul O'Neal said a concern among both boards is the possibility of the ``surety,'' American Home Assurance Co. of New York, rehiring Trafalgar House when it takes over the project.
That apparently is among the issues being negotiated.
When a contract is terminated, the bonding company - also known as the surety - automatically assumes responsibility for completion of the project.
That firm can bring in its contractors or rehire those already experienced with the project.
``The boards want some assurances that quality construction will be the end result, no matter who does the work,'' said Rod Malone of Raleigh, an attorney working with the boards on the contract dispute.
``It's in everybody's interest that whoever completes the project does so quickly and with quality work,'' Malone said.
The attorney said negotiations should be wrapped up by early next week, and that another vote is expected soon on the termination. ILLUSTRATION: THE LATEST DEVELOPMENT: The School Board will delay
sending a termination notice to Trafalgar House, which is
responsible for overseeing construction of a new high school.
THE PROBLEMS: The board alleges poor workmanship on the $16 million
project, as well as failure to meet deadlines.
THE CONTRACTOR SAYS: The delays cannot be attributed to his firm
alone; other parties must take responsibility.