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Panel Reluctantly OKs LAX Runway Contract

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Times Staff Writer

After expressing concerns about Tutor-Saliba Corp.’s mixed record on several high-profile construction projects, the city’s Airport Commission on Monday awarded a $253-million contract to the firm to rebuild the southern runway complex at Los Angeles International Airport.

The Sylmar-based contractor will start moving the airport’s southernmost runway 55 feet closer to El Segundo early next year to create space between the parallel runways for a center taxiway. Local and federal officials say that the project is necessary to reduce close calls between aircraft.

The commission voted 5 to 2 to hire Tutor-Saliba, the low bidder for the project, despite questions raised about delays and quality of work at other recent public projects, including a hospital and a high school.

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“This is not an enthusiastic endorsement,” Commission President Alan Rothenberg said after the vote. “This is a case of we don’t have much choice, so we’ll do it.”

The airport staff told commissioners that if they decided to ask for new bids on the runway, prices could soar because of increasing concrete and fuel costs, and the city could lose federal grant money. The city’s airport agency was also likely to get bids from the same two firms, they said. The only other bidder was Omaha-based Kiewit Corp., whose offer was $41 million higher.

During an hourlong debate Monday, airport staff sought to reassure commissioners that they had thoroughly checked Tutor-Saliba’s record.

“They’ve successfully completed major heavy civil work in the last couple of years,” said Mark Massman, a deputy executive director for the airport agency, Los Angeles World Airports. “We received positive comments from the Public Works and Harbor departments.”

The comments did not placate some commissioners, who cited problems with the quality of work and delays attributed to understaffing on projects Tutor-Saliba is building for UCLA and the Los Angeles Unified School District.

Tutor has blamed the issues on design changes by UCLA and the school district and poor performance by subcontractors. The firm is building a replacement hospital at UCLA’s Westwood campus and a high school in Arleta.

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The city’s airport agency already has a stormy relationship with the firm.

In summer 2004, airport officials took the rare step of threatening to remove the company from a $34-million Van Nuys park-and-ride expansion project, saying that Tutor-Saliba had failed to fix construction defects. The project, which included a five-story garage, opened late last year -- several months behind schedule.

“If I were remodeling my house, I wouldn’t call a builder back if I thought the work was defective,” said Valeria Velasco, the commission’s vice president, who voted against giving Tutor-Saliba the contract. “I’m very worried about this project, and I really want accountability.”

The airport staff agreed to provide commissioners with monthly progress reports. The Federal Aviation Administration will also have staff on the job to make sure Tutor-Saliba is following its guidelines on runway safety and quality, Massman said.

Ronald Tutor, the contractor’s president, defended his company’s record repeatedly under questioning by commissioners and said that he is bringing in an experienced manager to oversee the runway project.

“This project is very difficult. We remove, process and pave incrementally and the schedule is so tough and stringent that it takes an enormous amount of quality control,” Tutor told commissioners. “This job is so heavily supervised and watched by the FAA -- there will be penalties if the pavement isn’t up to strength.”

The project will include removing and rebuilding the 11,096-foot-long southern runway, building a taxiway between the parallel runways and shoring up the Sepulveda Boulevard tunnel under the runways so the massive 555-seat Airbus A380 can land on them.

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Workers must remove the old runway and install 600,000 square yards of 19-inch-thick concrete -- enough to build a two-lane road more than 40 miles long.

The project, which will cost $328 million including all contracts, is expected to take 26 months.

The City Council must still approve the environmental documents for the project before work can begin.

Commissioners told Tutor that they plan to hold him personally accountable for work by his firm and several subcontractors.

“I do hold you responsible for your subs,” Commissioner Walter Zifkin said.

“I agree,” said Tutor, who had just complained to commissioners that his firm has been vilified for work done by subcontractors at the Van Nuys FlyAway.

“And we will hold you responsible for your subs on this runway job,” Zifkin said.

At the FlyAway, inspectors found concrete columns in the parking garage were not properly aligned and that concrete used in several columns, some flooring and a ramp was substandard. Tutor has called the problems minor.

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At the meeting, union representatives told commissioners that one of Tutor’s nonunion subcontractors for the runway project built systems at the UCLA hospital that didn’t meet code requirements.

“We have good union contractors available,” said Rusty Roten, a representative for the International Brotherhood of Electrical Workers. “Some are working on this airport.”

Tutor said that particular subcontractor was the low bidder of only two firms for the runway project. “Do they get the work done? Yes,” he said. “Are they difficult? Probably.”

Commissioner Joseph Aredas, who also voted against giving the contract to Tutor, said that subcontractor has been sued by other contractors.

The runway project will be the first major construction at LAX since officials added an upper deck to the horseshoe-shaped roadway and built the Tom Bradley International Terminal for the 1984 Olympics.

Airport officials said they hoped to begin with the project with Tutor-Saliba on a positive note.

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“This is a very important project,” said Lydia Kennard, executive director of Los Angeles World Airports. “This will be a very positive project for LAWA, the board, the mayor and Tutor-Saliba.”

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