The long-stalled Pellicano Drive widening project remains in limbo as a crucial court hearing did not render a conclusion this week.
A ruling in the bankruptcy court Wednesday would have determined whether the surety – the performance bond company secured by J.A.R. Concrete at the start of the project – could have resumed responsibilities of construction while ongoing litigation between the Camino Real Regional Mobility Authority and the contractor is resolved.
The closing arguments for the bankruptcy court hearing will be scheduled at a later date to be determined, CRRMA Executive Director Raymond Telles told El Paso Matters.
The county of El Paso entered into a contract with the CRRMA for the project in 2017. The CRRMA, which partners with local governments to oversee road and transportation projects, awarded the contract to J.A.R. Concrete.
The original $21.6 million reconstruction of the 3.1-mile stretch of Pellicano Drive from Joe Battle Boulevard to Darrington Road/Berryville Street was supposed to be completed in July 2022, but was derailed by delays due to J.A.R. filing for bankruptcy and the litigation that followed.
“The constituents and the businesses in that area are incredibly, incredibly frustrated and justifiably angry about the delays in this project,” said County Commissioner Iliana Holguin, whose precinct encompasses the construction area.
The stretch of road connects two growing parts of the city and county, and runs in front of Alamo Drafthouse East, John Drugan School and a slew of developing businesses, including fast food restaurants.
Holguin said not only is the delay a major inconvenience and safety concern, but the longer it takes to complete the expansion, the more it will cost. There is not a current estimate of how much more that might be, she said.
J.A.R. Concrete started construction in 2020, but the work slowed down in 2022 and stopped in mid-2023.
J.A.R. did not return emailed requests for comments. The company’s phone number is disconnected and its website appears to be no longer active.
The CRRMA filed a default order against the company in December 2022, which would have triggered the surety company’s requirement to take the project over. But J.A.R. filed for bankruptcy in 2023 and claimed wrongful default, which halted that process, Telles said.
“A long list of everything that could go wrong has gone wrong to delay the project,” Telles said.
Meanwhile, less than 50% of the required construction has been completed, including the installation of concrete and asphalt, the roadway base, lighting, sidewalks and a shared-use path and stormwater and sewer facilities.
A project to widen Pellicano Drive east of Loop 375 on the city’s Eastside remains on hold after numerous delays, Nov. 13, 2024. (Cindy Ramirez / El Paso Matters)
For now, the two-mile stretch from Joe Battle Boulevardto Aircoupe Way is partially open, with traffic flowing in both directions on one side of the street lined with orange-and-white barrels.
Telles said the CRRMA has been working with the surety to develop an interim plan to help alleviate congestion in portions of the roadway while litigation continues. The plan would aim to complete the north portion of the roadway from Joe Battle Boulevard to Aircoupe Way with available project funds to increase the traffic flow at the busy intersection.
“The idea of this interim phase would be to get something done while we continue to fight in the courts about the rest of it,” Telles said.
The surety is expected to provide recommendations on contractor bids in about six weeks, Holguin said.
“We’ve been working these past two years to really try to find a solution, and I think that we’re at that point now where we can finally start moving forward,” Holguin said.
The original work included improvements that will, once completed, have a six-lane divided roadway with raised medians, concrete pavement, curb and gutter, sidewalks, landscaping, safety lighting, storm drainage, signing and striping.
There is no completion date for the full project.
Disclosure: Raymond L. Telles, CRRMA executive director, is a financial supporter of El Paso Matters. Financial supporters play no role in El Paso Matters’ journalism. The news organization’s policy on editorial independence can be found here.
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