Council OKs Builder for Titan Project : Fullerton: City approves Taylor Woodrow despite controversy surrounding company’s work at John Wayne Airport.

Taylor Woodrow Construction California Ltd.--a company that recently filed a lawsuit against the county and is embroiled in controversy surrounding its work at the John Wayne Airport terminal--is one step away from building a $7.9 million sports complex at Cal State Fullerton.

The City Council on Tuesday approved Cal State Fullerton’s choice of Taylor Woodrow because the contracting company was the project’s lowest bidder, met qualifications required by the California State University system and is involved with successful construction projects at Cal State campuses in Long Beach and San Bernardino.

Final approval of Taylor Woodrow is expected in September when the Cal State University board of trustees vote on the selection. The complex is a joint city and university project.

City Manager William Winter expressed apprehension over the university’s choice of Taylor Woodrow, saying the city is “relying completely” on Cal State Fullerton’s report.

Cal State Fullerton has “done some extensive checking on Taylor Woodrow and feel they can handle the job,” Winter said. “We’re just pleased that we were able to get a bid that meets our cost parameters.”

Since last year, Taylor Woodrow Construction California Ltd. has been under attack by county officials for alleged cost delays in its construction of the John Wayne Airport terminal. In May, the company sued the county alleging breach of contract after it was stripped of the $25-million road and parking garage contract at the airport. The company is seeking $7.2 million in damages.

Besides the Orange County airport terminal, Taylor Woodrow California is involved in a $30-million project on the Anaheim Convention Center, which city officials have said is three months behind schedule.

In addition, Taylor Woodrow Homes California Ltd., a subsidiary of Taylor Woodrow Construction California Ltd., is involved in a dispute with the city of Laguna Niguel, which is threating to halt some housing construction on 99 acres of park land the company received.

Despite the controversy, city officials still are confident in Cal State Fullerton’s choice.

“We’ve had numerous conversations with the university about its choice of Taylor Woodrow,” said City Councilman Richard Ackerman, noting that the “airport issue” was a the primary topic. “But I feel comfortable with the choice.”

Ackerman said a penalty clause is included in the proposed contract, and would fine Taylor Woodrow if it is not able to meet the completion date.

Jay Bond, associate vice president for facility planning for Cal State Fullerton, said the company would be assessed a daily fine of $3,000 every day it goes beyond the completion date.

Depending on whether the board of trustees approves Taylor Woodrow, construction is scheduled to begin Sept. 24. The project is expected to be completed by the fall of 1992.

According to state guidelines regarding the Cal State University bidding process, if a contractor meets the university’s qualifications and guidelines, the school must pick the lowest bidder.

The university was hoping to build the complex for $6 million. But of the three bids submitted in June to the university, Taylor Woodrow was the lowest at $7.9 million. The entire project is expected to cost $10.2 million.

Judy Johnson, a consultant hired by Taylor Woodrow to act as the company spokesperson, defended Taylor Woodrow’s record, saying the company is involved in a wide variety of jobs, and it would be unfair to compare the magnitude of the John Wayne Airport project to a project such as Cal State Fullerton’s sports complex.

Sal Rinella, Cal State Fullerton’s vice president for administration, said the city plans to front the entire $10.2 million for the project, of which $4.7 million will be paid back by the university through annual revenues based on its share of the Marriott Hotel.