Kingsley DDA suing company

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A work crew from SRW Contracting Paving is completing site work at Traverse City's new parking deck in the Old Town district while lawsuits pile up against the company. Record-Eagle/Jan-Michael Stump
"It's not like we can come up with $100,000 to pay for this on our own," Kingsley Village Manager Adam Umbrasas said of the crumbling streetscapes. Record-Eagle/Jan-Michael Stump

May 29, 2010

By Bill O'Brien bobrien@record-eagle.com The Record Eagle Sat May 29, 2010, 07:45 AM EDT

TRAVERSE CITY — Kingsley residents aren't happy with gaps, cracks and crumbles that have surfaced in a downtown streetscape project built less than four years ago.

They're even more upset that a company responsible for the flawed work won't make fixes, despite recently hauling in more than $500,000 worth of publicly funded projects in Traverse City and Leelanau County, including almost $400,000 in site work at the city's new Old Town parking deck.

Kingsley's Downtown Development Authority filed suit against SRW Contracting Paving of Williamsburg, alleging the company failed to complete more than $125,000 of needed repairs to its 2006 downtown streetscape project. It's among a host of lawsuits filed in recent weeks against SRW.

"We have this bad work here in the middle of the village," said village manager Adam Umbrasas. "It's highly visible. People are complaining about it all the time."

Umbrasas said officials negotiated a deal with SRW last fall, and the company agreed to repair or replace various curbs, gutters, sidewalks and related items in more than a dozen deteriorated areas. The village agreed to pay up to $7,000 for materials and work was supposed to be completed by June 30. The village filed suit when nothing was done this spring.

"We just want the work done," Umbrasas said, adding that officials couldn't reach SRW by phone, letter or e-mail and heard the company is in "an organized wind-down."

Meanwhile, what's left of SRW crews have been busy at the city's Old Town parking deck, where SRW is a subcontractor for Colasanti Construction Services on the $7.8 million parking barn. City records show SRW is in line to receive more than $385,000 in public money for site work at the deck.

SRW's office telephone is disconnected. Steven R. Wurm is listed in state records as the company's resident agent, and he didn't respond to a message left at his residence.

Russ Stevens, an SRW foreman at the parking deck project, said Thursday he didn't know how to reach Wurm.

"I have no contact with Steve, sir," he told a Record-Eagle reporter.

SRW also is working on a new veterans' memorial plaza outside Leelanau County's Governmental Center in Suttons Bay Township. It received a $151,515 contract from the county board in October. County Treasurer Chelly Roush said the board subsequently approved five change orders for the project, adding another $14,908 to the contract.

Umbrasas said it's frustrating to learn SRW is being paid with public money in other communities while Kingsley is saddled with its crumbling streetscape.

"It's unfortunate they're still getting paid with government dollars ... it's surprising they don't do background checks on these guys," he said.

Other recent lawsuits against SRW were filed by Cornille Concrete of Traverse City, which alleges it hasn't been paid for more than $27,000 in ready-mix concrete and other materials. Michigan Pipe & Valve of Traverse City sued for more than $15,000 for payment of pipe and supplies, and former SRW attorney William Burdette filed a breach of contract suit for more than $45,000 in unpaid fees.

Michael Crowley, owner of Michigan Pipe & Valve, said his company has been paid for items used at the parking deck through a performance bond, but is holding the bag for other items.

"We've been getting paid there ... it's just a lot of other stuff," Crowley said. "SRW did a lot of business with us, but it's been tough. It's been tough for a lot of contractors."

Crowley said he now requires most customers to pay with cash or credit card because of the difficult financial climate.

"I've just got to be careful with who we work with," Crowley said.

Kingsley officials said they're trying to recoup some losses through a performance bond on the streetscape project, but it may be too late to get much reimbursement. Umbrasas said he doesn't want to see Kingsley's problems repeated in other public projects tied to SRW.

"I hope they don't end up in the same scenario we're in," Umbrasas said.