TTC launches $10M lawsuit against contractor managing Vaughan's subway station

YorkRegion.com
Aug. 20, 2014
Adam Martin-Robbins

The TTC has launched a multi-million lawsuit against the firm hired to manage construction of Vaughan’s subway station and it’s possible the opening of the subway extension could be delayed — again.

The $10-million, breach-of-contract lawsuit against Arup Canada alleges the company failed to meet building and electrical codes and did not use skilled and competent staff, according to a report published by the CBC Wednesday morning.

It also alleges Arup failed to meet the contract’s schedule.

None of the allegations have been proven in court.

TTC spokesperson Brad Ross refused to discuss details of the lawsuit, but said it’s “not unusual to have claims” between contractors and owners with projects of this magnitude.

The 8.6-kilometre Toronto-York Spadina subway extension includes six new stations and is projected to cost about $2.6 billion.

The Vaughan Metropolitan Centre Station, near Hwy. 7 and Jane Street, is the last stop on the line.

Ross noted there have been issues with other contractors as well, including the one working on the Pioneer Village Station, formerly known as Steeles West.

Andrew McAlpine, a principal with Arup Canada, said the company believes the various issues can be resolved.

“We are proud of our contribution to this spectacular project,” he wrote in an e-mail statement. “The lawsuit is general in nature, filed over six months ago, and primarily related to commercial issues that we were unable to conclude in negotiation. While we are responding in due course, we remain confident of an amicable resolution and continue to keep our focus on delivering a successful project to improve public transportation in York Region and the City of Toronto.”

The subway extension was originally slated to open in 2015, but the TTC announced about two years ago the project was behind schedule and the completion date was pushed back to 2016.

That delay was due, in part, to a fatal accident involving a construction worker at the station site at York University as well as issues with contractor performance.

Ross said that at this point, the TTC still plans to open the line just more than two years from now, but he noted there are “challenges” and the agency might have to re-evaluate that timeline.

“We are on schedule for the fall of 2016, that remains our schedule. There are challenges with respect to that schedule and we are working with all of our contractors to see what’s possible,” he said.

“There will be a public report that we will present to our board early in the new year with respect to some of these schedule issues that we’re having. But, right now, we remain on target for the fall for 2016 and that’s what we’re working toward.”

The prospect of another delay isn’t sitting well with local politicians.

Mayor Maurizio Bevilacqua declined to comment on the lawsuit, but called a potential delay “unfortunate” before trying to put a positive spin on things, saying:

“Before you know it the subway will be here. In the meantime, transit improvements are in progress, and the VMC is taking shape — witness the emergence of the Cortel Group’s Expo City, the tallest building in Vaughan.”

Regional Councillor Michael Di Biase, meanwhile, called the news “very disappointing”.

“I’m looking forward to it, everybody’s looking forward to it, so to have any more delays, that’s terrible,” he said. “We’re building up excitement for the subway opening, so I’m disappointed.”

Concord/North Thornhill Councillor Sandra Yeung Racco said she, too, is disappointed.

“I’m really hoping that they will work it out so they can avoid any delays because I don’t want to see any more delays than we already have,” she said. “I really think that we need to move ahead.”

Transportation Minister and Vaughan MPP Steven Del Duca echoed those comments.

“Any information or news that comes out that suggests there might be any additional delays in this project, that we know is very, very important for the community in Vaughan and beyond Vaughan, is disappointing to hear,” he said. “Having just come through an election campaign, I know that our residents in Vaughan are very much looking forward to having this line operate. I sincerely hope that the TTC will work as hard, as I’m sure it will, to make sure we stay on track with having the line run in 2016.”

Del Duca added he intends to contact TTC chairperson and North York Councillor Maria Augimeri to discuss what’s happening with the project. 

“I plan to give her a call to find out more about what’s taking place … so she can understand, as I’m sure she already does, about the importance of making sure this stays on track and gets delivered on time,” he said. 

Del Duca said it’s unlikely that the province, despite investing $870 million in the subway extension, will step in and take over management of the project, which is currently in the TTC’s hands.

“I don’t believe there’s any chance that will happen and I’m not sure that would be entirely helpful, given how much work has been put into this by the TTC,” he said. “I wouldn’t want to get into a territorial, almost tribal, fight over this.”