Audit accuses city of lack of oversight in $73.5M Turner construction contract

New York /
Mar.March 03, 2011 11:09 AM

New York City Comptroller John Liu is set to release a report today that accuses the Bloomberg administration of allowing a city construction contract to balloon to 10 times the intended amount, according to the New York Times. According to the comptroller’s audit, the New York City Economic Development Corporation approved 21 changes to a contract with Turner Construction Company between July 2008 and January 2010, allowing the contract to jump in value to $73.5 million from its original amount, $7.5 million. Turner, which provided management on construction sites including the Brooklyn Army Terminal and Essex Street Market, among others, also received $3.3 million in “inappropriate and questionable payments” from the city. The comptroller’s report blames the city for a “lack of involvement” and oversight in its payments to Turner and claims the EDC “relinquished far too much control and supervision in reviewing an overseeing the work carried out by Turner.” But a spokesperson for the EDC refuted the report’s claims, calling it a sensationalized version of events. “We are disappointed that after a 16-month review, the comptroller’s office has issued an audit report that is flawed, misleading and draws unsupported conclusions,” the spokesperson said. [NYT]


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