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NewsJune 27, 2008

Penzel Construction says its construction work at Jackson High School and that of a subcontractor, Drury Construction, exceeded specifications while installing a roof deck on the district's new Events Center. The weather-damaged roof deck is being removed and replaced at a cost of about half a million dollars. Exposure to moisture during construction caused structural problems. But who is to blame and who should have to pay to replace the decking is still being debated...

Penzel Construction says its construction work at Jackson High School and that of a subcontractor, Drury Construction, exceeded specifications while installing a roof deck on the district's new Events Center.

The weather-damaged roof deck is being removed and replaced at a cost of about half a million dollars. Exposure to moisture during construction caused structural problems. But who is to blame and who should have to pay to replace the decking is still being debated.

Construction workers contend Mother Nature is responsible for causing portions of the roof deck to deteriorate. However, the architect said Friday he did not think the roof was installed according to the manufacturer's guidelines, something the contractors vehemently deny. The insurance provider has rejected -- three times -- a claim for payment to cover the cost of replacing the roof deck.

Initial portions of the roof were installed last November, but the final weatherproofing layers of the roof weren't installed because a long spell of rainy weather prevented proper drying of the roof deck. In March, after an ice storm and several rainstorms, the architect decided the initial deck was too damaged and would have to be replaced.

On March 26, Warner Nease Bost Architects sent a letter to Penzel stating that installation "requirements are very specific with respect to protection of the deck from weather and moisture in particular, yet they have been ignored on this project."

Architect Garett Warner said Friday that the manufacturer recommends a temporary roof be put down as soon as deck panels are placed. "Of course, it says not to proceed with putting anything down unless weather predictions are going to be pretty good and to only put down as many panels as you can put down and get covered right away to avoid that issue," Warner said.

Drury Company, the roof deck subcontractor, responded to each of the claims in the architect's letter on June 13 in a letter to Penzel. While Drury acknowledged the manufacturer says the deck "should be made water tight at the completion of that day's work, preferably by the application of the roofing," President Jerry Cummins wrote that the manufacturer also allows for "covering with waterproof film."

The roof deck was covered with a thicker plastic than was required, Phil Penzel, owner of Penzel Construction, said, adding that panels were tested in March but no mold spores were found.

"There's no way it could totally be kept 100 percent dry. All that rain and ice, that's totally beyond our control. It's totally beyond the school's control. That's why people buy insurance," Penzel said.

Builder's risk insurance was provided for the project through the school district. The district is part of the Missouri United School Insurance Council, made up of 470 Missouri districts that pay into a self-insured pool. The company Gallagher Bassett Services investigates claims for the council.

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The district's policy contains a $500,000 self-insured risk. Payment beyond $500,000 is directed to three other insurance carriers. Penzel said he has not received a satisfactory response from the insurance company as to why the claim was rejected.

Penzel said the original claim for replacing the roof deck was slightly under $500,000, but he said delays caused by rejection of the claim have increased the replacement cost to over $500,000. Drury Construction is replacing the deck, even though the insurance issue has not been resolved, in order to keep the project moving along.

An insurance spokeswoman said she could not discuss specifics, but that the claim "relied on expert resources to determine whether the claim was covered by the terms of the insurance agreement."

A June 9 letter from Gallagher Bassett Services to Penzel states the "expert opinion" is that damage "was caused from continuous and repeated exposure to the exterior elements, obstacles and costs inherent to the roof design, lack of control resulting in improper construction sequences, delays caused by construction errors, and failure to provide proper protection."

Penzel maintains proper procedure was followed and that neither Penzel nor Drury construction companies are at fault. Penzel said there is no adversarial friction with the school district. "Ultimately it's an insurance issue," he said.

lbavolek@semissourian.com

335-6611 ext. 123

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