Politics & Government

$123.8M Construction Of Union Co. Building Halted By Court Ruling

A court ruling has halted the construction of a massive government complex due to the county dodging public bidding laws.

UNION COUNTY, NJ — A massive project to build a $123.8 million government complex in Union County seemed like a done deal when plans were finalized and demolition began at the site months ago.

But after opponents claimed that the county had skirted state public bidding laws, a state appeals court halted the project on Tuesday.

A three-judge panel found that the project located at 61-99 West Grand Street in Elizabeth, which has been planned since 2020, violated New Jersey's Local Public Contracts Law. There was no public bidding process for the contracts, and Dobco Inc. — a Wayne-based construction and development company that was denied the deal — had filed a lawsuit against Union County after it was passed over for consideration before the contract was awarded.

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Dobco had also filed a lawsuit against Bergen County last year when it was vying for a major $80 million renovation of the historic Bergen County Justice Center.

The court ruling states that Union County has "clearly and convincingly demonstrated imminent irreparable harm, not personal in nature, but rather as representative of all taxpayers in Union County."

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According to NJ.com, records show that the county has already paid $9.3 million on the complex, which came out of the taxpayers' expense.

Despite the fact that Dobco had sued Union County for this project last year, a Superior Court Judge allowed the project to proceed, even when the Bergen County project — which was also accused of skirting public bidding laws — was shut down.

Judges Carmen Messano, Allison E. Accurso and Catherine I. Enright said Union County "made the decision to commit and spend public monies for this project despite knowing of, and indeed planning for, potential adverse results in this litigation."

The judges said they do not conclude that Union County acted with "unclean hands," as it claims.

According to NJ.com, the Union County Improvement Authority attempted to forego the traditional bidding process by using a loophole and classifying the project as a "redevelopment."

By avoiding the public bids, UCIA would have the ability to negotiate construction project terms, eliminate cost overruns, cap the maximum project cost and pick the most qualified project company to handle the construction, officials told NJ.com.

Instead of selecting a contractor through public bid, it was done through a selection committee.

It was also found that the one of the architects selected for project, as well as the construction manager, had later contributed thousands of dollars to the UCIA project manger Bibi Taylor's failed election campaign for state Assembly.

According to the ruling, implementation of Phase 2 of the project will remain pending further proceedings in the trial court.

"We cannot know what the result of public bidding Phase 2 of the project might be; we only know it will not violate the law," the ruling states.

Patch reached out to a Union County official for a comment, but they did not respond immediately.

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