Dive Brief:
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Contractors in Fargo, ND, might be adding “be on time” to their list of new year’s resolutions after the city fined a handful of them nearly $750,000 for missing their deadlines this year.
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Construction on $30.3 million worth of public works projects was not completed on time or at all in 2014, prompting city officials to raise the fines to the higher levels common in neighboring North Dakota and Minnesota.
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Contractors reportedly asked the City Commission for approximately 1,399 days worth of extensions this year, and are expected to appeal most of the fines.
Dive Insight:
Shortages of labor and construction materials—most notably, concrete—contributed to many delays in Fargo and nearby states, especially for road construction jobs. But even contractors with good reason to miss their deadlines are getting little sympathy from government officials, business owners and the public, all of whom complain that delays hurt businesses, clog roadways, and inconvenience residents and commuters.
In addition to potentially having to pay the fines, construction firms are losing jobs to the delays. In Fargo, for example, authorities are considering tabling some high-ticket road construction projects as delays and the competition for labor push costs higher.