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StumbleMGM Mirage to pay CityCenter subcontractors soon
Wednesday, May 26, 2010 | 1:10 p.m.
Sun Archives
- MGM Mirage seeks CityCenter subcontractors meeting (5-25-10)
- MGM Mirage, Perini spar over CityCenter after Gibbons meeting (5-21-10)
- New group enters dispute between MGM Mirage, Perini (5-20-10)
- MGM Mirage says it’s working on CityCenter subcontractor claims (5-14-10)
- Gibbons to meet with builder over CityCenter (5-10-10)
Casino operator MGM Mirage is pledging to quickly pay some 600 subcontractors who helped build the $8.5 billion CityCenter complex on the Las Vegas Strip.
Bobby Baldwin, the company's chief design and construction officer who oversaw the project, said at a Wednesday meeting with Nevada Gov. Jim Gibbons that paying the subcontractors is the right thing to do.
The meeting comes one day after MGM Mirage invited subcontractors to a June 9 meeting at the Aria Resort & Casino, the centerpiece of CityCenter.
MGM Mirage has been embroiled in a dispute with its general contractor, Perini Building Co., over the final amount due for CityCenter's construction. Perini says MGM Mirage owes $490 million while MGM Mirage says it owes far less.
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Thanks you Governor. Getting the local subs paid means millions for Nevada.
Of course it is the right thing to do, DUH? MGM did not manage the project properly and now they have to pay for it. Time to fire the project manager.
Ummmm.....let's see the project opened in December....now it's almost June......Well, that sounds about how the rest of the project went as far as the subcontractors getting paid goes. Delay, Delay, Delay.....
don't hold your breath
I wonder how much they are going to pay re all the changes and delays which was caused by MGM. What about the safety of the project where safety was never enforced and we lost some good people. They should all be held accountable and should be indicted for the people who died by making the contractors work in UNSAFE conditions!!
If you recently were born or moved to America you would think that the "norm" would be NOT to pay for things that you agreed to (Homes, Cars, Credit Cards, Massive Loans from Banks, etc).
Certain Americans believe that it is ok not to pay for what you agreed to and it is further encouraged by the banks by adjusting dead beats' loans who agreed to adjustable rate mortgages but now "can't afford" or who were "tricked" into them and those of us who can afford them and look to refi are denied because we pay on time. Brilliant. The right thing to do might be to pay your bills that you agreed to when you signed on the dotted line. That and allow those who can and will stay in their home to refi to a rate that others are being given - even though they are the dead beats.
This is fantastic news for the subcontractors.
Congratulations MGM Mirage for your pledge to pay the subs quickly.
The economy of Las Vegas will get a huge uplift, as the subs pay their subs and so on down even to the unpaid individual workers.
It looks like June will be a booming month for Las Vegas with all the MGM money being spread around.
What, Canada doesn't have any newspapers?
I would hope that MGM pays the subcontractors who complied with the contract documents and provided all notices required before executing changed work and that they don't pay the ones that have no business operating a contracting firm.
If MGM pays subcontractors who didn't comply with the contract documents they'll be setting precedence to the remaining schmucks in the industry that continue to desecrate the construction industry and our economy with their cheap bids that are below reputable companies costs that work in strict compliance of the contract documents.
Remember, the project was put out to bid, the contractors all screamed, PICK ME, PICK ME , PICK ME, we will do the job requested for this much money and we will do it in strict compliance of the contract document and the main contract between MGM and Perini. For all that failed to comply with the contract, no payment should be made. Where compliance with the contract was followed and their entitlement can be proved, payment should be made. In either case, that was what was agreed upon, now live with it, accept, and move on and quit whining.
Pay up MGM scumbags. Baldwin you disgust me, as a poker player you should know that paying up your debts is primary to maintaining a reputation. Pay up!
Any guesses as to how much they will pay? I won't be surprised if the contractors get 60 cents on the dollar. This story ain't over.
Chunky says:
This is nothing more than a PR campaign by MGM because Perini beat them to the press with it. They'll claim to try to pay the subs (hopefully someone does) as a move to flank Perini out of their position in the fight. Sadly, it is unlikely the majority of the subs will see any money any time soon as it's all a PR ploy.
CityCenter's Marketing Exec Director, T. Nalewak treated us so poorly we wouldn't take work from them again unless they are the last game in town. She used the same tactics of withholding final payment despite a signed COD contract combined with oppressive risk management and legalese during the contract negotiation process. All their payments were late to us and they continually played the "surprised and offended" game when we threatened to stop work due to missed payments.
They were/are an 800lb gorilla and I'm glad to see Perini and the subs treating them like the corporate cockroaches they are.
The whole group of them from Murren to Nalewak were so far over their heads in residential design, marketing and sales it's a wonder they've closed on anything at all. Harmon / Perini simply became the scape-goat.
That's what Chunky says and he also wonders why the Unions are not out there picketing the whole darn project.
All the subcontractors should be extremely proud of the piece of junk they helped to build. Aria and Vdara look like a high tech prison. I had more fun browsing through the new Walgreens next door.