Solar Panel Contractor in Default in Improvement Authority Project

August 28, 2014 at 10:00 AM

SOMERSET COUNTY, NJ - Developer SunLight General Capital and its affiliates have received defeault notices and have been dropped from the second-phase solar programs for Somerset and Morris counties, along with the initial program for Sussex County, according to a release from Somerset County.

Among the properties that have had solar panels installed through this program with the Somerset County Improvement Authority are the Bridgewater-Raritan High School, TD Bank Ballpark and the Bridgewater Commons Mall.

According to the release, SunLight was appointed as the developer for the three programs in 2011 after a competitive procurement process in the county. But, the release said, separate default notices were issued after public meetings held by the Somerset County Improvement Authority, which was handling the project locally.

Sign Up for E-News

SunLight, the release said, was in an ongoing dispute with contractor Power Partners MasTec about who was responsible for major delays and cost overruns.

According to the release, procurement documents from the three counties involved said that the contracts and bond funding provided by the county improvement authorities had a guaranteed maximum price, and there would be no payments for delays or cost overruns.

In private arbitration, MasTec was awarded a judgment against SunLight that rendered the developer insolvent, the release said. The award does not apply to the county authorities or the counties themselves.

According to the release, although the counties were not allowed to participate in the arbitration, MasTec has sought recovery by placing liens on the county authorities’ remaining bond funds to satisfy what was a potential arbitration award.

Trial and appellate courts in New Jersey have ruled against MasTec in the lien cases, the release said, and said the contractor has no rights to the bond monies. The New Jersey Supreme Court will hear MasTec’s appeal at an unknown time.

MasTec, the release said, is in federal court also seeking further relief on other matters, and the two county improvement authorities and three counties have reached out to the company to resolve all litigation.

In addition, the release said, the three counties have contacted the agencies that rate their bonds, and, as required by law, the counties have notified the bond-rating agencies that if insufficient program revenue is available because of ramifications from the default notices, the county will honor respective guarantees of debt-service payment on the bonds, beginning with ones due in 2015.

The release said the improvement authorities have also notified the municipalities because the three series of improvement-authority bonds are not in default even though the developer is in default.

The developer, the release said, is required to operate and maintain the existing sites until a successor is found, but the timetable is on hold during settlement discussions.

Construction for the sites that are not finished is on hold as well while arrangements are made. The release said that all but two of the sites have been constructed in Somerset County at this point, and half the sites have been built in Morris and Sussex counties.

TAP Into Another Town's News:

TAP Into Another Town's News:

Sign Up for E-News

Bridgewater-Raritan

Upcoming Events

Wed, December 7, 9:30 AM

Duke Island Park Visitor's Center, Bridgewater

Duke Island Park Walking Group

Health & Wellness

Wed, December 7, 9:30 AM

Duke Island Park Visitor's Center, Bridgewater

Duke Island Park Weekly Walking Group

Health & Wellness

Wed, December 7, 9:30 AM

Duke Island Park Visitor's Center, Bridgewater

Duke Island Park Healthy Walkers

Health & Wellness

Bridgewater Man Arrested for Criminal Mischief Following Motor Vehicle Accident, According to Bridgewater Police Report

December 2, 2016

BRIDGEWATER, NJ - A Bridgewater man was arrested on charges of criminal mischief and underage drinking after being involved in a motor vehicle accident on Washington Valley Road Nov. 24, according to a report from Bridgewater Township Police.

Sergio Mora, 20, was charged with criminal complaints for criminal mischief, hindering his own apprehension and underage consumption of alcohol. He was ...

Somerset Patriots Name Marc Schwartz As Radio Broadcaster

December 5, 2016

BRIDGEWATER, NJ- The Somerset Patriots have announced that Marc Schwartz has been named the radio broadcaster for the 2017 season.

Schwartz was hired as the Somerset Patriots’ Media Relations Manager in November of 2014 and will also continue in that role with the team throughout the year.

"I am beyond excited to begin the next stage of my career as the Somerset Patriots' new ...

Chris Brown Named President at Berkshire Hathaway HomeServices New Jersey Properties

Berkshire Hathaway HomeServices New Jersey Properties is proud to announce the appointment of Chris Brown to President of the 21-office real estate brokerage headquartered in Somerset, New Jersey. Previously serving as Executive Vice President and General Sales Manager, Brown is a member of the company’s ownership team along with Bill Keleher, Seymour and Nancy Litwin, and Steve Janett.

Raritan Valley Habitat for Humanity Celebrates 25th Anniversary

December 5, 2016

SOMERSET COUNTY, NJ - The Raritan Valley Habitat for Humanity, which serves Somerset and Hunterdon counties, celebrated its 25th anniversary and its 50th home at its Dream Builders Gala.

The fundraising event was a night of excitement and gratitude when founders, homeowners, staff, board members, volunteer work crews and friends gathered to celebrate the accomplishments of the ...

‘A Child’s Christmas in Wales' Captures Old-Fashioned Nostalgia at Shakespeare Theatre

MADISON, NJ – It’s clear the Welsh love to sing as the evening moves on with relatives gathering for Christmas dinner at the Thomas home in Wales.

The play opens with three children and then a chorus singing “In the bleak midwinter, frosty wind made moan,” a melancholy tune that conjures visions of Swansea, a village in Wales,  with “fallen snow on ...