Iowa authorities fault Nebraska prison contractor

The contractor picked to build Nebraska’s new prison is facing claims of millions of dollars in damages for construction errors and delays on a jail it built in Sioux City, Iowa.

A collapsed wall, missing security bars in ductwork, a delay by more than a year in completing the jail -- those are among complaints by Iowa authorities against Hausmann Construction of Lincoln and two other firms in a 22-page letter released Monday.

Nebraska announced last month it intends to award Hausmann a $313 million contract to build a new, 1,512-bed state prison in Lincoln.

But in their letter, lawyers for Woodbury County, Iowa and its Law Enforcement Center Authority accuse Hausmann of “general failure to provide adequate manpower or (a) proper schedule to timely complete the work” on the 498-inmate jail, which opened last year.

The letter also accuses Goldberg Group Architects and Introba, an engineering firm, for contributing to damages.

It says that of the $3 million the county has retained before making a final payment to Hausmann, it could hypothetically be entitled to keep $2.25 million for damages.

The letter says Iowa authorities are willing to engage in mediation before filing a lawsuit.

Neither Hausmann Construction nor its lawyer could be reached for comment. But a spokesperson for the Department of Correctional Services said officials there "remain confident in our selection and look forward to working with Hausmann Construction."