Robins & Morton State Their Case in Hospital Project Delays

The Reagan Hospital District Board of Trustees received a letter from Robins & Morton Monday night outlining why the new hospital complex project is behind schedule, and why it is not their fault.
The letter states that "recent statements by representatives of Reagan Hospital District (RHD) in the local newspaper lead us to conclude that the District Board is unaware of many of the facts behind the project delay, including the real cause of the delay."
The letter identifies a 156 calendar day delay to the project stemming from the removal of the mechanical and pluming equipment from the project in March 2014.
"As you are aware," the letter reads. "The March 2014 project estimate based upon the RHD plans and specifications for the project was well over the RHD budget – by about $5 million. Ultimately the Guaranteed Maximum Price (GMP) was set at $25.8 million. This price was a result of a number of changes in cost allocations including the removal of the line item estimate value of the Air Handling Units (along with other components) from the GMP. This serves to illustrate that even with the GMP established, RHD knew that the project costs were greater than RHD's budget for the project."

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