Subcontractors are close to reaching an agreement with the Port Authority of New York and New Jersey over the approximately $50 million that they say they are owed for construction work performed on the National September 11 Memorial & Museum, according to sources familiar with the negotiations.
The subcontractors haven't been paid in about six months because they have been caught in the middle of a dispute between the Port Authority, which owns the World Trade Center site, and the Sept. 11 Memorial & Museum. The two sides have been arguing over which is responsible for $150 million in costs on the project. The subcontractors are negotiating with the Port Authority, because it signed their contracts.
A representative from the Subcontractors Trade Association did not speak of the companies' financial plight as had been planned at today's Port Authority board meeting because of the promising negotiations.
However, even if the Port Authority does agree to pay the subcontractors, there is still the larger issue of who is responsible for the $150 million. It is likely that negotiations between the Port Authority and Memorial staff must be progressing well, if the Port Authority is close to agreeing to pay contractors, as it signals that the Port Authority wants the subcontractors to quickly get back to work once, the dispute is resolved.
Construction on the museum has been at a virtual standstill for about six months because of the feud. As a result, it will miss its planned opening on the 11th anniversary of the attacks.
It has been reported that the dispute has cost 12 contractors affiliated with the Subcontractors Trade Association a total of $38 million, while one contractor who is not part of the organization is out $12 million.
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