Unions Protest Hensel Phelps Contracts

Members passed out pamphlets to people saying there are huge costs over-runs at projects that Hensel Phelps is building. Hensel Phelps is the general contractor at Concourses A and C at the Denver International Airport, as well at the Colorado Convention Center expansion and the 1,100-room Hyatt convention center hotel.

Hensel Phelps, based in Greeley, in northern Colorado, uses both union and non-union subcontractors. However, it doesn't have an agreement with the carpenter's union in Denver, although it recently hired a subcontractor that used union carpenters on a parking garage that is part of the convention center.

Ron Norby, vice president at Hensel Phelps, says the group's charges are without merit. "All of our work at Denver International Airport has been accomplished within the time period allowed under the contract to the satisfaction of the city and county of Denver," Norby says. "Work that has exceeded the original budgets is due to scope increases requested by the city which also increased the contract price. All of our work has been accomplished and settled without claims."

Neal Hall, business manager of the Colorado Building & Construction Trades Council, says that a number of union subcontractors requested that he cancel the protest march, but he refused. He says it's not just about Hensel Phelps. He says Hensel Phelps is making low-ball bids on projects, and then it uses change orders to make more money.

A number of union contractors who were hired by Hensel Phelps say they don't agree with the protests. And city officials say Hensel Phelps is not responsible for cost overruns at city projects, despite claims of the council.

The pamphlets the union members handed out notes that the convention center expansion was originally slated to cost $268 million but the final cost to date is $308.7 million, at a time when the city's budget overruns are estimated at $32 million. But Norby says that Hensel Phelps is not responsible.