Colorado Springs to pay GE Johnson $3 million settlement in Pikes Peak Summit Complex lawsuit
COLORADO SPRINGS, Colo. (KRDO) -- The City of Colorado Springs has agreed to pay $3 million to end its court battle over the Pikes Peak Visitor Center, months after the city claimed portions of the tourist destination were "defective".
GE Johnson, the builder of the summit complex, originally sued the city claiming they were not fully paid for their work.
The builders were responsible for building the visitor center, and due to multiple challenges, the project took more time and resources than initially expected. They claimed they were never compensated for those extra costs, resulting in a breach of contract.
However, the city sued back, claiming the work GE Johnson had done on the West Loop of Pikes Peak and on the wastewater system was defective.
The settlement outlines the agreement the two parties agreed upon. Though GE Johnson originally asked for $5 million from the city, they agreed to a $2.95 million settlement.
The city says the money will not come from taxpayer dollars but from the Pikes Peak America's Mountain enterprise.
In exchange, GE Johnson is responsible for making repairs to the West Loop parking area.
The City of Colorado Springs shared this statement:
"Pikes Peak – America’s Mountain (PPAM), an enterprise of the City of Colorado Springs, and GE Johnson have reached a mutual agreement on outstanding construction concerns for the Pikes Peak Summit Visitor Center, a more than $60 million project, that both parties believe is fair. The settlement of $2.95 million will come from the PPAM enterprise, not from taxpayer dollars. Constructing a building on the summit of a 14’er that welcomes more than a million people annually is an impressive accomplishment, and the City of Colorado Springs and PPAM are proud of the work that brought this community vision to life. The Summit Visitor Center is an asset to Colorado Springs and the entire Pikes Peak region. We encourage people of all ages and abilities to take part in the exciting new experience on the summit of Pikes Peak. Guests will find improved accessibility, engaging interpretive exhibits that share the history of the mountain, a revamped gift shop, and indoor and outdoor dining areas with expansive views. We can all take pride in this once-in-a-generation project."
City of Colorado Springs spokesperson
GE Johnson also shared this written statement:
"GE Johnson and the City of Colorado Springs resolved disputes related to the Pikes Peak Visitor Center project through a settlement that both parties believe is fair. We are proud of the work on the Pikes Peak Summit Visitor Center project, which has received widespread acclaim for the outstanding achievements in construction that made its completion possible, and is an impressive asset for the region."
GE Johnson spokesperson
The city told KRDO that they don't believe the work they previously called "defective" poses a safety concern for visitors.
The city said the issues with the construction center on the long-term sustainability of the road, parking area, and wastewater treatment system.