Shame on the Port Authority

July 1, 2008 06:14 AM EDT by Alexis Glick

Shame on the Port Authority

This morning I have to take a departure from my normal stock market analysis and talk about the cover of the NY Post. On one side of the cover it says, “BIG FAT ZERO.” It’s certainly not the best cover title that they have come up with, but it is a story that has everyone in New York and frankly many around the country very mad. I’m furious! The basis for the article was an announcement by the Port Authority’s Executive Director Chris Ward that the re-building of Ground Zero can no longer meet any of its deadlines and will take two more months, if not more, to assess the situation.

In a 34-page report delivered to Governor Paterson, Ward listed 15 “essential decisions” yet to be made. The memorial site for those who died on 9/11 was supposed to be complete for the 10th Anniversary of 9/11. The Port Authority says meeting that deadline is impossible. Also impossible deadlines to meet: the building of the Freedom Tower, the focal point of this project; the PATH transit hub, known as the Calatrava Transit Hub, which is now estimated to cost an additional $1 billion dollars, and the dismantling of the highly controversial, environmentally unsafe and site of the fire where two firefighters were killed, the Deutsche Bank tower.

What is the real problem besides the unbelievable embarrassment this has caused this city and this country? Two dozen federal, state and city agencies are involved in rebuilding this site. Not one of them has figured out how to work with one another toward a common goal with a proposed $16 billion dollar budget. Yes, there have been three governors since this project began, but enough is enough. Put one person in charge who has veto authority with the remaining agencies.

This is not the first time this project has been delayed or dates pushed off. It started with the botched job by Larry Silverstein, the leaseholder and original developer when he missed every deadline in sight. Although, to his credit, now he has begun rebuilding Tower 3 and 4 and says all three of his buildings will be done by the end of 2012. The Port Authority, which took over in 2006 because of Silverstein’s failure to meet deadlines, has to shoulder much of the responsibility. The original completion date for the Freedom Tower was 2008, now maybe 2012, the Transit Hub was 2009, now no date attached, and the World Trade Center Memorial was 2009, now no date attached.

If Bill Gates, Rupert Murdoch or Steve Jobs were in charge, this job would have been completed! Yes, there are 26 separate but related projects on 16 acres and 19 public agencies, two private developers and 101 construction contractors and subcontractors involved, but it is July 1, 2008, and what do we have to show for the lives lost and the families who travel to this city everyday to remember the loved ones who have passed away? At what point do we say give this project to an executive who can get it done? Is it time to call Sam Zell or another real estate mogul? If the costs are getting higher, that’s because we have taken WAY TOO LONG. Of course costs for things like steel and copper and construction items are rising. I am not downplaying the huge undertaking to complete this project: five major skyscrapers, as much office space as downtown Atlanta, 500,000 square feet of shops, a performing arts center and the third-largest transportation hub. When it is finally completed, it will be the standard by which other developers across the world look to replicate but between now and then, someone needs to take control or we’ll be writing about this two years from now.

7 Comments

chuck

As a donar/member for the 9/11 Memorial and I'm pleased to say I'm now a bona fide member becouse I made a contrubition,the memorial should've been up by now. The Freedom Tower should be up by now. My nom: get Donald Trump involved. He would get up and ditch the Port Authrity.

July 6, 2008 at 7:18 pm

Dr. Remick

Shame on the Port Authority - very true. But you're way off the mark on Larry Silverstein. He's the only one who built anything at the WTC site - work on 7 World Trade Center started in May 2002 and the building opened in May 2006. It has filled up with tenants from all over town, paying top dollar for the greenest building in New York. Silverstein had no say in selecting a Master Plan for the site (that was Gov. Pataki) but he had to pay $120 million a year in rent to the Port Authority - for a hole in the ground. They he was publicly flayed by New York's politicians for dragging his heels, when it turns out that it was the Port Authority that was screwing up all along. Silverstein designed his three other towers in record time - meeting every design deadline. Those buildings are under construction. He brought the Four Seasons downtown and is building the city's tallest apartment tower two blocks north of the WTC. The man has singlehandedly transformed downtown, just like Robert DeNiro did with Tribeca in the 80s. Next time you venture from your normal stock market analysis, why don't you take a trip down to 7 World Trade Center and see for yourself. Its easy to find - its the only building at the World Trade Center site.

July 1, 2008 at 9:51 pm

Corey

If you think China develops things so well, go live there. Just don't forget your gas mask. China's air in just about every city is worse than LA air ever got. Someone who was in Beijing for 4 months said even on a sunny day you never saw the sun because the smog haze was so bad. I am not defending the dismal job done so far on the ground zero project, but touting China as an example?! Are you crazy?! They'd find ways to put asbestos and lead in every floor of every building, especially in areas with kids! I wouldn't feed my dogs Chinese products, and hey, maybe that's why they're still alive! :) The real problem is government regulations for contracting. The requirements are to hire cheap regardless of work quality, not to mention the capability of the contractor to even do the work in any fashion, so you hire the cheap firm and wait months for them to start, only to see idiots walking around doing nothing, and doing that badly, before you can fire them and hire the next cheapest, who spend months doing very little badly, and eventually you get to a firm who can do an average job for a reasonable price, for a greater total cost of project and years later than if you had hired the most qualified firm in the first place. It appears that ground zero is now at the stage of hiring a good firm to actually get the work done.

July 1, 2008 at 11:32 am

Henster

Gates, Murdoch and Jobs, whatever their successes, haven't done anything comparable. A better example? China. The Olympics will cost 20 billion dollars. They will significantly improve infrastructure as well as bring global attention to China's development, which has included building cities many times the size of the Port Authority project. The Chinese have planned and executed the project while we remain mired in incompetence and inaction. Not much is built in the US anymore. This project is a good example of why--disgraceful in light of its symbolic importance.

July 1, 2008 at 9:23 am

JD

Fairly easy to comment on a topic with which you have little or no experience. It's dismal to see continual delays, but rushing major contructions efforts are how jobs become dangerous and poorly constructed. Do it once; do it right, even if it takes time. You suggest "someone" to be in complete control - are you up for the task? Stick to the stocks - Construction on a world-class level isn't that easy.

July 1, 2008 at 9:01 am

Alex

If you want to buy into this non-event, as if it holds some real significance, go right ahead. And yet you swallow the official 9/11 account without question. You've got your priorities all mixed up.

July 1, 2008 at 8:33 am

james bogin

Turn the project over to the Chinese. They are used to completing huge projects. The current generation of Americans seem incapable of doing anything constructive at all.

July 1, 2008 at 8:24 am

about this blog

Alexis Glick is an anchor for FOX Business Network. Prior to joining FOX, Glick served as a correspondent for the Today Show and co-anchored the third hour of that program. Before her stint at NBC News, she was the senior trading correspondent for CNBC and reported from the floor of the New York Stock Exchange.
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