BRAINERD — City officials in Brainerd want to review their construction contracts and city policies to determine the financial responsibility in the event a subcontractor cannot complete work.
The discussion comes after a federal ruling in July barring Anderson Brothers Construction from bidding on government contracts that exceed $35,000. The federal government’s ruling stated the ineligibility was based upon “adequate evidence of conduct indicating a lack of business honesty or integrity” or based on "initiation of proceedings to determine final ineligibility.” While no specifics are given in the ruling, it comes after Anderson Brothers agreed in April to pay $1,295,610 to resolve allegations it violated the False Claims Act and the Minnesota False Claims Act from 2017 through 2022. The resolved claims, the U.S Attorney’s Office reported, were allegations only and, at that time, there had been no determination of liability.
Because Anderson Brothers was a subcontractor on two projects in Brainerd, City Council members voted Sept. 2 on change orders for the projects, allowing the general contractor to hire a new subcontractor for asphalt work.The two projects in question are the reconstruction on Beech Street and Oakridge Road, and the roundabout construction at South Sixth and Willow streets. Landwehr Construction is the general contractor on both projects and had hired Anderson Brothers for asphalt work. Landwehr has since hired Knife River to complete that work, but...
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