The city of Washington and the company conducting work at the airport have come to an agreement over a contract dispute.

The council Monday night unanimously approved an ordinance settling a lawsuit filed by Raineri Construction, LLC.

The company was contracted for a project at the municipal airport to install a new concrete apron at the fueling station. The project to replace the asphalt with concrete in front of the two airplane fueling stations was awarded in September 2017.

The suit stems from nonpayment to Raineri for the project that was delayed several months. It was filed Feb. 19 in Warren County Circuit Court, where the airport is located.

Work began in the spring of 2018. Raineri was the low bidder for the work at the cost of $268,794.55.

Raineri was required to have completed the work within 35 days of the start time.

The final sum to be paid to Raineri, including change orders, is $285,967.86.

Under the terms of the settlement, the city will pay Raineri all but $14,298.39, which will be paid within five days of the completion of the project.

“We are holding that back until the panels are completed and accepted by the city,” said Washington Public Works Director John Nilges.

The project was funded through a state block grant through the airport improvement program administrated by the Missouri Department of Transportation.

There are no liquidated damages assessed to Raineri for the amount of time the project was behind schedule, according to City Administrator Darren Lamb.

Lawsuit

The suit alleges that Raineri representatives had stated during a meeting with city staff and Crawford, Murphy & Tilley, Inc., the project engineer contracted with the city, that the company would use a “laser screed” to place concrete on the terminal opening.

The company contended they were later told that the concrete must be applied with different equipment, specifically a “slip form paver.”

The suit alleges the company experienced delays due to the equipment requirement.

On June 25, 2018, Nilges reported to the city council that the project was two months behind schedule. He noted that many of the delays were due to the fill rock required in the bid specifications that was not available at a local quarry.

Nilges said the contractor trucked in rock from St. Joseph. The fill rock specs are based on federal requirements.

In the suit, Raineri alleges the city required more specific rock fill than required in the contract to fill “soft spots.”

When Nilges told the city council the project was nearly two months behind schedule he explained that the contractor could be charged $750 per day if it was behind schedule.