Maryland to pay $250 million to settle Purple Line disputes, replace construction contractor

[marmar]

(Baltimore Sun) The Maryland Department of Transportation has agreed to pay $250 million to settle a dispute over cost overruns that caused the construction contractor to quit the Purple Line light rail project in Montgomery and Prince George’s counties in September.

The settlement, which is pending approval by the state Board of Public Works, would allow construction to resume by ending all litigation, salvaging the public-private partnership with two of the contractors — Meridiam and Star America — and replacing Texas-based Fluor Corp., the project’s primary builder.

The settlement amounts to less than a third of the $800 million in overruns that Purple Line Transit Partners, the consortium of contractors, had claimed due to more than two years of delays to the project. Gov. Larry Hogan, a Republican, had accused the companies of trying to “gouge” Maryland taxpayers.

“This agreement is a major step toward completing the Purple Line, a transformative project for our state and the region,” Hogan said in a statement. .............(more)

https://www.baltimoresun.com/politics/bs-md-pol-purple-line-settlement-20201124-cdmdcshqe5b7hhn56t54m3bjcu-story.html