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September 13, 2018

Graham Construction disputes government’s take on Grande Prairie hospital problems


The Alberta government terminated the services of Graham Construction Monday and is now looking for a new builder for the Grande Prairie Regional Hospital project, the infrastructure department said.

However, the company said it wasn’t fired — it quit.

On July 30, a notice of default was issued to the contractor responsible for the new build, months after it was set to open.

Graham Construction and Engineering was given 15 days to present a plan to put construction back on track. If the company couldn’t do that, it would be off the job, the government said.

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The province said Graham Construction submitted a mitigation strategy on Aug. 17 but “after thorough review, the plan did not provide the certainty that was needed in terms of timeline and budget to complete the project.”

On Monday, the province said Alberta Infrastructure will issue an invitational request for proposal (RFP) for a new project construction manager, who is expected to be hired by late October.

“I have been clear that this project is a government priority and that’s why we are taking action to construct this hospital as quickly as possible. The actions taken today will provide greater certainty around the completion of the new hospital.”

Late Monday night, Graham Construction issued a statement to Global News in which it said it was “deeply disappointed” by the government’s actions and that the province omitted “a key fact.”

The company said the letter it sent to Alberta Infrastructure on Aug. 17 served as notice that it was terminating the contract, not the other way around.

Keep reading on Global News


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