Hwy 290 Renovation Contractor in Default

13,046 Views | 48 Replies | Last: 10 yr ago by rjamizon
Gap
How long do you want to ignore this user?
TXDOT has declared the contractor doing a major portion of the 290 renovation in default. Why did they hire Grupo Tredeco of Mexico to do this work in the first place? This contractor was doing the work from Pinemont to W Little York and was already 6 months behind after being on the job less than 21 months. It is only the 2nd time ever that a contractor has defaulted on major Houston highway work. Will the 290 pain ever end?

Slow going on U.S. 290: Work halts; delays possible after contractor default
BBRex
How long do you want to ignore this user?
I was wondering why work had seemed to completely stop on that stretch.
98Ag99Grad
How long do you want to ignore this user?
So you're saying going with the lowest bid isn't always the best thing? Shocking.
CrossBowAg99
How long do you want to ignore this user?
They will pull the bond and the 2nd bidder will get a shot. Just hope that Williams Brothers in the 2nd bidder.

schmendeler
How long do you want to ignore this user?
Is there a historical problem with contractors based in Mexico? What is the problem with awarding them the contract absent hindsight?
rjamizon
How long do you want to ignore this user?
quote:
Is there a historical problem with contractors based in Mexico? What is the problem with awarding them the contract absent hindsight?


I would say as a tax paying American, we shouldn't be paying foreign companies to do work American ones can do. Even if it costs more.
sts7049
How long do you want to ignore this user?
So pay more bc 'Merica. Got it
MaysAggie2015
How long do you want to ignore this user?
Grupo Tredeco is one of the big family owned companies in Mexico. The family lives in Houston. It will be interesting to see if there is more to this story.
Furlock Bones
How long do you want to ignore this user?
http://www.topix.com/forum/city/el-paso-tx/TJFQT4FNE4PR5ITHC

i just googled the company and found this little message board talking about them defaulting on another txdot project near el paso plus funds siezed by the feds.

this looks to be a gigantic fluster cluck. even moreso, than we all predicted. if you live out in NW Houston and have to commute, sell your house now. this is never getting done.
MaysAggie2015
How long do you want to ignore this user?
Hide your kids, hide your wives, hide your husbands.... Yikes! Multiple defaults? No bueno.
Ragoo
How long do you want to ignore this user?
This the stretch from hwy 6 to 99?
Chuck Gay
How long do you want to ignore this user?
No, closer to 610 from Pinemont to W Little York.
AgLA06
How long do you want to ignore this user?
quote:
They will pull the bond and the 2nd bidder will get a shot. Just hope that Williams Brothers in the 2nd bidder.


While I completely agree, it is probably not going to be William's Brothers ( even though I wish it was). If I remember correctly, certain portions of large projects like this have to be given to minority owned companies. William's Brothers typically gets the large majority while these smaller companies typically get one or two sections.

It's why you see the William's Brothers sections way ahead of schedule and a couple of small sections lagging behind. Everyone then *****es that they should be out there finishing without understanding it is another company's work.
rjamizon
How long do you want to ignore this user?
quote:
So pay more bc 'Merica. Got it


Qatar found some really cheap labor to help them prepare for the World Cup. Using your logic, we should do the same. Right?
BMX Bandit
How long do you want to ignore this user?
the best company at the best price is who should be used, regardless of what country it is based in.

crazy concept for some I guess.
sts7049
How long do you want to ignore this user?
quote:
quote:
So pay more bc 'Merica. Got it


Qatar found some really cheap labor to help them prepare for the World Cup. Using your logic, we should do the same. Right?


sure. there is no middle ground there at all.
Texaggie7nine
How long do you want to ignore this user?
7nine
Chuck Gay
How long do you want to ignore this user?
I'm curious if Mexican oligarchs such as this can set up a US subsidiary and then claim to be a minority business and get special consideration on construction projects like this. If that is true, talk about a screwed up system when a historically wealthy and above the masses group from Mexico is given special consideration over a white male owned first generation college attendee's business simply because of the color of their skin. If this is the case, the laws have to be changed to stop things from happening that were not the intent. Sorry in advance for the vent.
Ragoo
How long do you want to ignore this user?
quote:
quote:
They will pull the bond and the 2nd bidder will get a shot. Just hope that Williams Brothers in the 2nd bidder.


While I completely agree, it is probably not going to be William's Brothers ( even though I wish it was). If I remember correctly, certain portions of large projects like this have to be given to minority owned companies. William's Brothers typically gets the large majority while these smaller companies typically get one or two sections.

It's why you see the William's Brothers sections way ahead of schedule and a couple of small sections lagging behind. Everyone then *****es that they should be out there finishing without understanding it is another company's work.
government
Alex Bregman
How long do you want to ignore this user?
The only positive is thankfully it isn't the 290/610 interchange portion.
Jaydoug
How long do you want to ignore this user?
quote:
I'm curious if Mexican oligarchs such as this can set up a US subsidiary and then claim to be a minority business and get special consideration on construction projects like this. If that is true, talk about a screwed up system when a historically wealthy and above the masses group from Mexico is given special consideration over a white male owned first generation college attendee's business simply because of the color of their skin. If this is the case, the laws have to be changed to stop things from happening that were not the intent. Sorry in advance for the vent.


Haha. Looks like you don't do government work. Common place. There are minority/women/veteran owned companies that just act like a store front with a tiny fraction of the actual work and sub to other companies so the government monies get funneled through these entities and make a quota.
Chuck Gay
How long do you want to ignore this user?
I'm very aware of how it works in the federal space. I've worked with many minority owned businesses where they were the prime and we were their sub. Heck we even had some situations where a lockbox was created and the funds where disbursed from the government from there because we didn't know if we would get paid without such an arrangement. I've just never run across a situation where they may have been a subsidiary of a foreign owned business.
LostInLA07
How long do you want to ignore this user?
I'm sure it's not as simplistic as a direct subsidiary
88jrt06
How long do you want to ignore this user?
****, I've lost at least 500 projects to **** like this.


Some sorry **** for our NW folks.
Impacts me bigtime, as well.
tmaggie50
How long do you want to ignore this user?
In construction, the whole minority owned plays a real role. It's a terribly stupid concept.
schmellba99
How long do you want to ignore this user?
Grupo Tradeco's US division was recently shut down because they were more or less nothing but a front to launder money for the Mexico City HQ.

They also walked off of a project in El Paso as well.

Shocking, I know, to hear that a Mexican company has a bit of a corruption problem.
Martin Q. Blank
How long do you want to ignore this user?
quote:
Is there a historical problem with contractors based in Mexico? What is the problem with awarding them the contract absent hindsight?
They're from Mexico. A third world country whose system is corrupt and built on cutting corners.
CrossBowAg99
How long do you want to ignore this user?
quote:
quote:
They will pull the bond and the 2nd bidder will get a shot. Just hope that Williams Brothers in the 2nd bidder.


While I completely agree, it is probably not going to be William's Brothers ( even though I wish it was). If I remember correctly, certain portions of large projects like this have to be given to minority owned companies. William's Brothers typically gets the large majority while these smaller companies typically get one or two sections.

It's why you see the William's Brothers sections way ahead of schedule and a couple of small sections lagging behind. Everyone then *****es that they should be out there finishing without understanding it is another company's work.


a % of the project has to go to a minority business. They are not required to be the prime. I wouldn't be surprised if the minority requirement would be relaxed in this situation if needed due to extenuating circumstances
CrossBowAg99
How long do you want to ignore this user?
quote:
I'm curious if Mexican oligarchs such as this can set up a US subsidiary and then claim to be a minority business and get special consideration on construction projects like this. If that is true, talk about a screwed up system when a historically wealthy and above the masses group from Mexico is given special consideration over a white male owned first generation college attendee's business simply because of the color of their skin. If this is the case, the laws have to be changed to stop things from happening that were not the intent. Sorry in advance for the vent.


They shouldn't be able to do that because there are asset requirements as well. If your worth $100 MM you don't qualify
AgLA06
How long do you want to ignore this user?
Depends on how the company is formed or who's name it is in. Pretty easy to have someone listed as 51% owner while money is distributed differently.
Icecream_Ag
How long do you want to ignore this user?
quote:
No, closer to 610 from Pinemont to W Little York.
So are these the guys that have doing the same freaking intersection for the 15 years I've lived in the area? When I moved to College Station in 1999 they were working on one of the intersections around there, and they are still working on them.
Ferris Wheel Allstar
How long do you want to ignore this user?
I will give William Bros credit, they have their s*** together for once on the 290-610 interchange.
98Ag99Grad
How long do you want to ignore this user?
Webber has some of that job as well. I think they did the portion around 529.
Jack Klompus
How long do you want to ignore this user?
OHL has a section also, they're further out past the tollway though.
YellAg2004
How long do you want to ignore this user?
My290 Overview Map
Page 1 of 2
 
×
subscribe Verify your student status
See Subscription Benefits
Trial only available to users who have never subscribed or participated in a previous trial.