Springdale drops park contractor in dispute

Search begins for new contractor to complete work

Construction of Walter Turnbow Park has come to a halt Thursday after Springdale removed JLA Construction from the project. JLA was removed after they missed its Aug. 31 completion date.
Construction of Walter Turnbow Park has come to a halt Thursday after Springdale removed JLA Construction from the project. JLA was removed after they missed its Aug. 31 completion date.

SPRINGDALE -- The city dropped the contractor working on Walter Turnbow Park on Thursday. The downtown work had an Aug. 31 finish date, but sits about one-third complete, according to the city.

A spokesman for contractor JLA Construction of Springfield, Mo., blamed unworkable designs provided by the city, particularly regarding the electrical system, and a site he said needed far more preparation work than the company was told. The company is still waiting on some plans from the city and is willing to complete the job, said the spokesman, who declined to be named.

"It is unfortunate the city has to take such drastic measures, but the city can wait no longer," Melissa Reeves, director of public relations for Springdale, said in a new release Thursday. "The taxpayers and residents of Springdale deserve better, they deserve a quality project completed in a timely manner."

Dropping a contractor mid-project is an unusual step, according to a spokesman for the Arkansas Municipal League, an association that represents Arkansas cities. The league spokesman said he wasn't aware of another instance of such a move by an Arkansas city in recent years.

JLA Construction won the job in December through a competitive bidding process. It was the only bidder.

The plan is to remove cover such as culverts from over Spring Creek in the downtown park between Johnson and Emma avenues and build terraced steps down to the water, among other improvements. The creek is covered where it flows under part of the downtown area. It is open-air along Mill Street just north of Johnson Avenue; flows under Johnson Avenue, Emma Avenue and Meadow Avenue; and is open-air again on the south side of Meadow Avenue.

The Walter Turnbow Park project is fully funded by a $2 million grant from the Walton Family Foundation. JLA was the only bidder with a projected cost of $1.5 million.

JLA Construction "entered into liquidated damages of $1,000 per calendar day" when the Aug. 31 deadline was not met, the release said. In other words, the city reduced the amount it would pay JLA Construction for the finished project by $1,000 a day, as allowed in the contract.

"We sent a letter to JLA Construction and their bonding company, United Fire & Casualty Company, on Aug. 29 informing them that the contractor had 7 days to rectify their failure to perform," the release said.

Contractors on municipal jobs in Arkansas are required to post a performance bond -- an insurance policy to pay for another firm to do the work if the contractor fails to finish it on time. JLA was given 30 more days after the deadline to reach "substantial completion" on the park, according to the city. The company was told at the time that the city would work with the bonding company to complete the project if it did not finish the project satisfactorily, the release said.

"Since the contractor has not reached substantial completion, the City of Springdale has called in the bond and removed the contractor from the project," the statement said. "The contractor was given every opportunity to complete this project in a timely manner; they were not able to do so."

The city will work with United Fire & Casualty to find a new contractor and finish the work, according to the statement.

"At this time, we do not have an estimated completion date," the statement said. "We apologize for any inconvenience caused by the delay in the park's completion."

City leaders have said the park improvements are a focal point of downtown revitalization efforts. The Razorback Greenway runs through the park.

Lisa Ray, vice president of the Downtown Springdale Alliance, said she thinks improvements will be one of the catalysts for revitalization downtown.

Mayor Doug Sprouse said he thinks the park will be the focal point for programming of future outdoor events.

NW News on 11/18/2016

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