Litigation Settled Over Pump Station Project

The Parsippany-Troy Hills Township Council passed a resolution Tuesday night to settle litigation with a contractor over a discrepancy on a pump station replacement project.

The township entered into an agreement with Dulaine Contracting, Inc. in August 2010 to construct a new pump station to replace the abandoned South Beverwyck No. 1 Pump Station for $664,388.

The company was responsible for “providing and installing a complete system for dewatering the construction site as required to properly construct all structures in the dry,” the resolution states.

“There were some site inspections and discrepancies that occurred,” said town Attorney John Inglesino. “[Dulaine] alleged that the township misrepresented the condition of the site in that the subsurface of water was higher than anticipated.”

“It resulted in Dulaine having to undergo a process called watering,” he said. “They couldn't put the pumps in, in the saturated condition.”

The work was finished in July 2012 and Dulaine had been paid $547,000 up to that point.

The company alleged that dewatering efforts for the installation of a wet well resulted in an additional expense of $146,029.22.

“The dispute on the watering went into mediation, and a settlement was recommended in the total price of $175,000,” said Inglesino.

The $175,000 also included the additional money owed under the contract, he said.

“There has been now a total of $722,000 paid to Dulaine,” said Inglesino. “The project came in on time, but $57,000 over the original budgeted amount. This resolution will result in the satisfaction of all claims and spares the township additional litigation costs.”