$51 million settlement adds to delays on Hartford, Conn., 41-million-gallon sewer tunnel
HARTFORD, Conn. — A legal battle over Hartford’s massive underground tunnel project has ended, but delays and rising costs continue to challenge completion, according to New Hampshire Public Radio (NHPR).
The Metropolitan District Commission (MDC) recently settled more than $50 million in claims with contractor Kenny Obayashi, a joint venture tasked with building the 4-mile South Hartford Conveyance and Storage Tunnel. The tunnel, which runs under Hartford and West Hartford, is designed to hold up to 41 million gallons of wastewater to prevent untreated sewage from reaching the Connecticut River during storms.
According to NHPR, the dispute centered on engineering reports provided to the contractor ahead of bidding. Kenny Obayashi argued in court that the documents did not accurately reflect groundwater conditions, leading to costly delays and unforeseen expenses as excessive water flowed into the tunnel during excavation.
“While work was proceeding in the initial reach of the Project tunnel, KOJV encountered water inflows that differed substantially and materially from what was indicated to bidders in the Contract Documents,” the contractor stated in court documents, as reported by NHPR, claiming this significantly drove up costs and slowed work.
MDC acknowledged that differing site conditions are common in deep tunneling projects and said it found merit in some of the contractor’s claims. However, it pushed back on other change orders, which totaled more than $100 million. The dispute was sent to federal court in Hartford in 2022 but was dismissed after both sides agreed to settle in March for about $51 million.
The project, originally slated for completion in 2023, now carries a price tag of $335 million and is not expected to be operational until fall 2026. Related costs include $115 million for a pump station, $1.4 million in electrical upgrades, and $38 million for conduit work on New Britain Avenue.
The MDC said state officials reviewed and approved the excess costs.
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