Meco of Costa Rica sued the Salvadoran government and Fomilenio for $1.3 million related to increased costs in the contract to build a road.
Elsalvador.com reports: "An international arbitration court has ruled in favor of the Salvadoran government and the Millennium Fund of El Salvador (Fomilenio) who the Costa Rican company MECO sued for $ 1.3 million alleging that El Salvador breached the "financial suitability" clause of the contract for construction of section II of the Northern Longitudinal Highway: Metapan-Santa Rosa Guachipilín. The 'financial suitability', that MECO refers to concerns the calculation of the cost increases of the work over time (known as polynomial formula). "The company explained that this formula did not cover the increases in material that might be seen during the course of the execution of the work.
Resonant rubblization is the process of fracturing existing PCC pavement, in place, ready for a direct asphalt overlay.
Resonant rubblization was the method of choice on one of the busiest and most heavily traveled roads in Panama City, Panama, Avenida Domingo Diaz. Including multiple projects with various contractors throughout Central America that past 5 years, rubblization of Avenida Domingo Diaz was successfully performed in 2012 with the consortium ICA-MECO. Rubblization, with a hot mix asphalt overlay, is proven to have an initial design life of 22+ years, while being 65% less expensive and 5 times faster compared to total reconstruction.
Puerto de La Union and the Northern Highway: two major infrastructure projects in the same country which produce very different results depending on who's running them.
An editorial Laprensagrafica.com gives a very clear summary of the facts: the Northern Highway project, managed by Fomilenio with US-funds from the Millennium Challenge Account, who participates in the investment and its supervision.
The abandonment of work on section 3-B of the Longitudinal del Norte in El Salvador by the company in charge, has obliged Fomilenio to hire another company to complete the road.
An article in Laprensagrafica.com reports that "The Colombian consortium Contein-Cortázar and Gutiérrez-La Herrera left the construction site of section 3-B of the Highway Longitudinal del Norte a little over a week ago.
The Road Maintenance Fund of El Salvador will get $25 million for the payment of maintenance contracts on the Longitudinal del Norte highway.
An article in Laprensagrafica.com reports that, "The Millennium Challenge Corporation (MCC) has given the green light to the disbursement of $25 million which had been frozen due to the limited progress that had been made in providing financial stability for the Road Maintenance Fund (FOVIAL) . "
The Northern Highway, being developed by Fomilenio at a cost of $270 million, is the foundation which supports development, economic growth, and integration of the area.
A statement by Fomilenio reads:
The construction of the Northern Highway, a work being carried out by FOMILENIO through the Road Connectivity Project has a cost of $269.2 million dollars.
The project has been allocated $269.2 million for the construction of 13 projects and 24 bridges, three of which cross the Lempa River.
A press release by Fomilenio reads:
219 km that will drive economic development in the Northern Zone
The route, considered the most anticipated, was designed 50 years ago. And today, its construction represents the hope of improving connectivity and commerce for the 850,000 inhabitants living in 94 municipalities in the Northern Zone of El Salvador.
A loan from the Central American Bank for Economic Integration is intended to improve rural roads in the north.
The improvement works on rural roads will allow access to the Longitudinal del Norte Highway from the municipalities of the Department of Chalatenango.
"The FMLN deputy Inmar Reyes said the money will be used for connections in the north of the country where there are municipalities where the Longitudinal del Norte bypasses them making it necessary to improve road infrastructure so that they can have access to this new communication path.
With a $ 34.6 million investment, the construction of section 2A of the Northern Highway in El Salvador has been completed.
With the construction of the first 23 miles of the CLN, the Road Connectivity FOMILENIO project has enabled 63.934 local residents to mobilize their products in less time, has joined two municipalities which for years had been separated by the Rio Lempa and improved access to basic services like education and health.
Five proposals were received for the construction of Section 7 of the Northern Highway.
The road will connect the towns of Corinth, Lislique and Anamorós, with a length of 16 kilometers.
The amounts proposed for the construction ranged from $ 12.9 million to $ 22.4 million.
To evaluate offers, FOMILENIO has formed a committee to begin an evaluation process starting Tuesday, and is expected to award the contract in the month of December, hoping to start construction work in 2011.
Stretch "3B" of El Salvador's major new road will be built by the consortium formed by Contein Cortázar and Gutiérrez-La Herrera.
The $18.4 million contract comprises the design and construction of 22.7 km of surface transport infrastructure of which 4.2 km is brand new while 18.5 km represents the widening and upgrading of an existing highway.
The project also includes the building of a 37.8 meter long and 10.2 meter wide bridge over the Guancora river. It is being supervised by Planeamiento Arquitectura, S.A. de C.V. at a cost of $0.56 million.
Of the $461 million Fomilenio donation, the government institution created to administer the projects has now committed $358 million.
September will mark three years since the signing of the agreement between the Millennium Challenge Corporation (MCC), the US government and El Salvador.
"The agreement is divided into three major components: human development, production development and the 'northern longitudinal highway' and was signed in 2007," comments Vincent Ruddy, MCC director for El Salvador, according to Laprensagrafica.com.
Six companies have bid to construct Section 3B of the Salvadoran highway that traverses the north of the country.
The participating companies presented offers of between $20 and $31 million include Astaldi, FCC Cosntrucciones, Constructora Santa Fé and Equipos de Construcción.
"The project comprises the design and construction of the works required for the project to run efficiently and deliver a functioning highway that, 'improves the infrastructure network in the north of El Salvador between Guarjila and the "Nombre de Jesús" bridge'. It will be carried out in two stages: design and construction," reports Diariocolatino.com.