UI paid millions to keep Modern Piping off  Pharmacy Building project

UI paid millions to keep Modern Piping off  Pharmacy Building project
Hunter
4/17/19

An ongoing feud between the University of Iowa and one of their contractors cost the school millions when they bid out specs on a new Pharmacy building.

According to reports in the Daily Iowan and the Cedar Rapids Gazette, the UI rejected Modern Piping as a subcontractor on the building and the change added $3.9 million to the bid.

In early 2017, the school chose Miron Construction out of Wisconsin to build the new 296,000 square foot College of Pharmacy buidling.

That March 1st, Miron provided the UI with a list of proposed subcontractors, one of which was Modern Piping. The very next day UI senior construction Project Manager, Krista Scranton, sent a letter to Miron objecting to Modern Piping’s participation in the project and requested Miron to propose another subcontractor. Miron then submitted Ryan and Associates of Davenport as a replacement subcontractor, and the University made change orders to the contract increasing the costs.

The University then instructed Miron to proceed with Ryan and Associates before getting official approval, which was eventually granted.

In a response to the story, Modern Piping CEO Ken Brown said that his company was at one time the preferred mechanical contractor on campus, citing the new Art Building, the Kinnick Press Box and other projects. He added that any disputes were addressed through discussion and negotiation.

Brown told the Gazette, “Upon the change in leadership some years ago, the culture has changed significantly. Any efforts to amiably resolve these disputes has become unsuccessful, if even allowed to be attempted.”

A spokeswoman for the University told the Gazette that the building is still within its approved budget and should be completed by early next year.