Liens on Tim Horton's Field stadium property won't affect the city
The head of the city’s Pan Am committee says he’s not concerned that a number of subcontractors have liens on the new Tim Horton’s Field stadium property.
Coun. Lloyd Ferguson, a construction industry veteran, says he’s aware that subcontractors have placed liens on the stadium because they haven’t been paid, but says the actions it won't impact the city taking ownership of the stadium, which is eight months overdue.
“This is a tempest in the teapot,” he said.
Such disputes between suppliers, contractors and subcontractors happen, he said, so the affected parties file liens.
Infrastructure Ontario (IO) is in charge of the project, and has hired the Ontario Sports Solutions (ONSS) construction consortium, which includes Kenaidan Constracting of Mississauga and Bouygues Building of France.
City officials are doing final inspections on the $145-million, 22,500-seat stadium, which was due to be completed on June 30, 2014. The project has been plagued with delays that caused the Hamilton Tiger-Cats to play nearly all of their season at McMaster University, playing their first game in the new stadium on Labour Day.
Once the building is substantially completed, IO will hand it over to the city.
The Toronto Star is reporting that four subcontractors are claiming a combination of more than $2 million in unpaid overtime and services, and that they have registered liens. Clifford Masonry, Reimar Construction, Brascon Stainless Steel Fabricators, and Lancaster Group are owed money, the paper says, with Clifford's claim at more than $1 million.
ONSS has insurance against liens, through a bond, said IO spokesperson Terence Foran. IO's project agreement with ONSS requires that the consortium clear liens before the city takes over the tsadium, he said.
"Bonding the liens protects the City of Hamilton as the owner, and Ontario Sports Solutions will deal with the subcontractors directly to resolve any further concerns," he said.
Tony DiMaria, manager of the Bricklayers and Masons Union local 1, also says liens aren't unusual. His union has a $25,000 lien on the property for some union members who were owed money after a masonry subcontractor went bankrupt during construction.
Liens are especially common in projects that are overdue like the stadium. IO is withholding $89 million from the consortium until the stadium is finished.
Once it gets that money, DiMaria said, "it will go down the pipeline, but in the meantime, they have to protect themselves."
"It’s to be expected and it's probably going to get a little bit worse before it gets better."
The city is contributing about $40 million to the $145-million, 22,500-seat stadium, which will host the soccer games for the 2015 Pan Am Games.