Hudson Reporter Archive

Construction stopped Long-awaited grade school addition in limbo; FBI may take a look

The construction of a long-awaited extension to a North Bergen grade school, which was more than a year behind schedule, stopped completely two months ago after the contractor went out of business.

Work began on the addition to the Lincoln School on 64th Street in the summer of 2001. The proposed three-story extension was slated to become the permanent home of the district’s Early Childhood (pre-kindergarten) program for 4-year-old students.

The project had been delayed at first because home heating oil tanks were found in the soil on the site. After that, the work seemed to be moving in the right direction, with concrete being poured and steel exterior work being erected.

However, contractor Raimundo Construction and its subsidiary companies ran into some severe financial difficulties and deserted incomplete jobs, including a strip mall in New York and another school extension project in Westchester County, N.Y. They also left the North Bergen project with less than 30 percent of the job completed.

Raimundo ceased operations two months ago and filed for Chapter 11 bankruptcy protection.

“Right now, we’re in the legal process of seeing what we can do,” said Superintendent of Schools Peter Fischbach. “Our attorneys and our architect are meeting with the bonding company [that supplied the performance bond for Raimundo to secure the work] to deal with the problems that Raimundo left us with. We have to determine what percentage of the work has been done and the architect has to determine the quality of the work that has been done and what still has to be upgraded.”

Added Fischbach, “We did know there were some concrete problems; that some work had to be done to the concrete after it was poured. Plus, there were also problems with the roof as well.”

One of the most significant obstacles that the North Bergen Board of Education will have to handle is the fact that Raimundo Construction had been paid already for some of the work.

“We cannot recoup those funds,” Fischbach said. “But there are subcontractors who did some acceptable work, like some structural work, electrical work and windows. A small amount of work is being done by subcontractors.”

Until the legal issues are resolved between the bonding company and the Board of Education’s attorneys, none of the work will be completed.

“It’s extremely frustrating,” Fischbach said. “We still can’t relieve our overcrowding situation. The extension should have been completed by September. Now, even if we get started again with a new contractor, I don’t think we can get everything done by next September. Our staff is dealing with the overcrowding as best as possible.”

The Early Childhood program continues to thrive at the temporary site inside Bruins Stadium in North Hudson Braddock Park, where temporary classroom trailers are used.

But there were hopes to move the students to the permanent location by the end of the current school year. That will not happen now.

“We have to find out who’s responsible for the daily operations, whether the bonding company will be responsible for finding a replacement for the general contractor,” Fischbach said. “We believe that they are responsible. That’s what we’re trying to resolve.”

Feds looking

The FBI and the U.S. Attorney’s Office in Newark have been conducting a probe into township corruption since January of 2002 that has netted the convictions or guilty pleas of six former town officials, including former Township Administrator Joseph Auriemma. Last week, a source close to the investigation said that the FBI may look at the Lincoln construction deal, although there is no guarantee that they will find enough to warrant a probe.

According to a school source, Raimundo Construction did not submit the low bid to do the work. However, owner Frank Raimundo took the matter to Hudson County Superior Court, stating that his firm didn’t get a fair shot at receiving the initial bid. After a hearing, a judge ruled in favor of Raimundo, giving his firm the extension project.

Superintendent of Schools Peter Fischbach said that no federal investigators have contacted him and asked for any information to date.

“No one has contacted me at any time,” Fischbach said. “I haven’t heard anything about any investigation.”

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