Four-year $52 million marine reconstruction project in Woods Hole is nearly at an end.
Jeanna Shepard

Woods Hole Change Orders Continue to Rankle SSA Governors

As the waterside portion of the multi-million-dollar reconstruction project comes to an end, Steamship Authority governors reluctantly approved more than $1.3 million in change orders.

As the waterside portion of the massive, multi-million-dollar Woods Hole terminal reconstruction project comes to an end, Steamship Authority governors reluctantly approved more than $1.3 million in change orders at their meeting Tuesday.

Governors spent more than an hour discussing and dissecting two change order requests from contractor Jay Cashman Inc., both involving the recent underwater discovery of rocks and boulders that are obstructing the installation of dock pilings.

The two change orders bring the cost of the marine part of the project to more than $52 million — about 20 per cent higher than the original bid price of $43 million, including roughly $9 million in change orders.

The land side portion of the project, which includes a new ticket office in Woods Hole, has not begun. Recent cost estimates are in the range of $30 million.

But with change orders a consistent theme throughout the past four years of marine work, SSA governors on Tuesday wasted no time in expressing their exasperation.

“It’s no secret how horrible I think these change orders are,” New Bedford governor Moira Tierney said. “I don’t know that the process is really providing us the level of scrutiny that we should have, on this contract, with the huge cost overruns.”

“It’s constant . . . I believe we have a fiduciary responsibility to provide a level of scrutiny to what’s going on here that we are not doing right now,” she added.

“When does it stop?” Vineyard governor Jim Malkin asked.

“It doesn’t,” Ms. Tierney replied.

Ms. Tierney requested an informal audit of the process, and Falmouth governor Kathryn Wilson asked whether it was worth not paying the change order, which would cause a work stoppage. But SSA senior managers said it was critical to complete the work before summer, when the third ferry slip will be needed.

Dino Fiscaletti, a consultant on the project, said the underwater issues causing the change orders arose from the challenging Woods Hole seafloor topography.

“These are the kinds of situations the Steamship Authority has been dealing with for the past four years,” Mr. Fiscaletti said. “There’s two large holes we scoured out, one was filled with rocks, one was filled with sand. And we’ve got a head dolphin over the one filled with rocks.”

Frustrated governors approved the two change orders 4-1 and 3-2, with Ms. Tierney dissenting in both votes and Ms. Wilson dissenting in the second one. But all agreed that the nature of the bid process, which allowed for a built-in contingency fund, left them feeling boxed in.

“We keep being driven by these overcharges,” Ms. Wilson said. “What are our options here? We really don’t have any options.”

“I feel like we’re held hostage,” Barnstable governor Robert Jones said. “But I don’t see any getting out of it.”

Governors also pressed senior managers to call in some $700,000 in project credits owed by the contractor. Ms. Tierney vowed that the board would push back on further change order requests.

General manager Bob Davis said he would work with Cashman to account for the project credits. “We will push back,” Mr. Davis said. He also noted that despite the change orders, the project remains under budget.

“It’s not as though these [change orders] aren’t being reviewed. They are being reviewed and vetted prior to the point of coming to the board,” Mr. Davis said.

In other business, boat line treasurer Mark Rozum reported that traffic and revenues through February were nearly at expected levels.

“Our fund balances, at this point, at the end of February, are in relatively good shape,” Mr. Davis said.

At the close of the meeting governors went into executive session to discuss pending litigation in both Barnstable and U.S. District Court.

Comments

Submitted by Anonymous (not verified) on Thu, 04/22/2021 - 13:45

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Kelce OB

Jay Cashman Inc. sure knows how to work the bidding system. Bid low, and then jam through millions in change orders.

Submitted by Anonymous (not verified) on Thu, 04/22/2021 - 14:40

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Vasha Brunelle Vineyard Haven

"When does it stop?" It stops when you decide not to build a $30,000,000 ticket palace.

Up Island Girl Chilmark

Couldn’t agree more! Do we really need a new terminal? The “temporary” one that has been there now for all these years works just fine. There is nothing quaint or charming about the proposed $30 mil one. And is it really necessary?

Janet Azarovitz West Falmouth

Totally agree. The SSA is swallowing more and more of the landslide, creating traffic congestion and noise with no regard for the local population. Besides which we'd all be better served if there were a terminal in New Bedford. Smacks of money grabbing growth.

Katherine Scott Tisbury

I agree.
The new ticket office is fine.
Just say no.
Don't have the $$$.@@

BTW, how it is possible that they just now discovered some boulders?????
Any teenage scuba diver could have established that fact.@@
Wow, just wow.@@
"OK, guys, since we are between some rocks and a hard $$ place, the ticket office part of the project has been canned." @@
Suck it up. @@
I actually like the current ticket office. Especially the adequate bike racks outside.@@
To end with something positive, I also like the fiberglass roof "wings" of the outside waiting area with the chart visual.

Submitted by Anonymous (not verified) on Thu, 04/22/2021 - 16:04

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gina Menemsha/NYC

Oh. this is really old news .. Must the SSA Governors always act so surprised & displeased??? For some reason they don't realize that they are basically a Rubber Stamp..

Submitted by Anonymous (not verified) on Thu, 04/22/2021 - 16:55

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Marine Engineer Woods Hole

How are the contractors supposed to know that the boulders were present. Pretty sure they weren't told about them during the bidding process. How many times have you dug a hole and then realized there is a large rock where you are digging.

Mike Somewhere

Boring probes are usually done prior to construction. This gives the engineers the knowledge they need to design the structure. This also provides the contractor the knowledge they need for an accurate bid. This undoubtedly should have been done, and probably was, meaning the contractor would have known. = no CO for the rocks. Now depending on the contract rock removal budgets may have already been exhausted and this is in addition to the agreed to amounts. Ok, but if the rock was required to be removed, maybe the amount was lowballed. In Any event- it's called beneficial use. Maybe the unit cost should be reviewed and compared to the contract price in the cost breakdown. Pay that amount per unit that exceeds the contracted amount for the CO. Contractor gets paid fairly - Owner doesn't get ripped off.

Submitted by Anonymous (not verified) on Sun, 04/25/2021 - 15:49

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Bob Edgartown

I echo some of the previous comments we do not need a new terminal. Please save us some money and stop with more building. We already give too much money to the employees which may or may not deserve it but we have too many of them.

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