U of Iowa must pay $12.8M more to contractor after pediatric hospital dispute

A jury ordered the Iowa City-based University of Iowa to pay an additional $12.8 million to Cedar Rapids, Iowa-based contractor Modern Piping over a 2016 dispute surrounding the construction of the Hatcher Auditorium and the Stead Family Children’s Hospital, according to a Nov. 3 report from The Gazette.

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A jury found the University of Iowa wrongfully blocked the American Arbitration Association from mediating the dispute with Modern Piping on the projects. 

The children’s hospital was originally budgeted for $270.8 million. The total cost has gone over $400 million due to delays and budget overruns, according to The Gazette.

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