Responding to federal concerns about potential cost overruns that could impact promised project funding, officials in charge of the $8.7-billion Hudson River rail link between New Jersey and Manhattan have halted project procurement and land acquisition for 30 days as they review costs. Officials appear confident that costs for the Access to the Region’s Core (ARC) project are set to stay on track in the current competitive construction market. In a Sept. 9 statement, James Weinstein, executive director of project leader New Jersey Transit, announced the month-long halt after completion of a five-month cost study by the Federal Transit Administration
The market is generally healthy and steadily growing, and margins are up for large specialty contractors. Further, advances in design tools and owner demand for collaboration are giving subcontractors a seat at the table early on in projects.