"Panel urges contract OK for upgrades to Mineta San Jose Airport"

Tuesday, October 3, 2006

Panel urges contract OK for upgrades to airport
By Deborah Lohse
The San Jose (CA) Mercury News


San Jose's airport commission voted 6-1 Monday to recommend city council
approval for a massive contract with Hensel Phelps Construction to upgrade
Mineta San Jose International Airport.

Commission chairwoman Catherine Matsuyo Tompkison-Graham voted against
recommending the contract because she said she has not yet seen it. The
commission also voted 6-1 to recommend having the city manager's office,
rather than the city council, approve many of the ``task orders,'' or
interim contracts, that Hensel Phelps will need to complete the work by
mid-2010.

The contract, which is still being finalized, is expected to be worth as
much as $713 million, and would include demolishing and rebuilding Terminal
C, upgrading Terminal A, and creating a new Terminal B, as well as various
roadway and baggage-handling upgrades. Hensel Phelps will do the work under
a ``design build'' contract, overseeing the entire project rather than
putting each project out for a fresh bid.

Previous contract negotiations between city officials and Bechtel
Infrastructure Group fell apart over insurance issues. Dave Moss, deputy
director for airport planning, said Bechtel had sought to cap its liability
exposure in the contract, but such a request ``has not been an issue'' with
Hensel Phelps. Moss said he expects to council to vote on the contract Oct.
17.

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