In a unanimous decision, the state Claims Commission agreed that the Arkansas Highway and Transportation Department broke its contract with an out-of-state road construction contractor and that the company is owed nearly $750,000.
The decision, which was finalized Friday, stated that the department is liable for delays in a project involving 7 miles of road surfacing on Interstate 55 last summer that came at the expense of the contractor, APAC-Tennessee.
The contractor secured the bid for milling and constructing more than 7 miles of interstate, as well as the rehabilitation of four bridges along I-55 in Crittenden County, a project it said it could accomplish in 67 days at a cost of $30,000 a day.
But initial work was delayed when the two sides couldn't agree on the appropriate "mix design" of cement to be used in the project, and the project sustained a 22-day setback.
The Memphis-based company and its subcontractors made multiple requests for extensions, according to commission documents. Those requests were denied by the state Highway Department, which said it felt the contractors were at fault for not using cement mixes approved in the contract and added that they were obligated to stick to the timetable in the contract.
The Claims Commission ruled that the mixes required by the department's contract were "totally incorrect" and, if used, would have botched the project entirely.
The commission stated that the Highway Department "unreasonably delayed the approval of [APAC-Tennessee's] proposed changes to the mix" and pointed out that the mix in dispute is now regularly used by the state in other projects.
The commission's recommendation will go to the Legislature for approval.
Metro on 09/16/2014