A battle between the Honolulu Authority for Rapid Transportation (HART) and its contractors, Shimmick/Traylor/Granite Joint Venture (STG) is continuing in the US Pacific state Hawaii over rail delays.
Local news publication Honolulu Civil Beast revealed plans for the Authority to sue STG for as much as $40,000 for each day of delays.
Go deeper with GlobalData
The delays, and subsequent lawsuit, relate to the new infrastructure around the Hawaiian capital’s airport rail line. The light rail “Skyline” opened its first leg in the western suburbs of Honolulu in June 2023, and the airport line (including three new stations, all part of the STG contract) is due to open in the coming months. A final third phase is planned from Pearl Harbour across the city’s downtown.
The delays have already led to lawsuits between the contractor and HART. A 2023 suit brought by STG over “construction delays blamed on HART” was settled out of court for $59m in December.
The December agreement reassigned the completion date of several stations and a 5-mile guideway to February 2024. It now appears construction will continue until at least June.
HART said its original contract with STG “allowed for liquidated damages of up to $40,000 per day for delays.”
US Tariffs are shifting - will you react or anticipate?
Don’t let policy changes catch you off guard. Stay proactive with real-time data and expert analysis.
By GlobalDataThe monies will be deducted from the settlement the two entities struck at the end of 2023, as much of the $59m was to be paid in instalments.
