Arbitrator Rules for Grunloh Construction in Dispute w/Stew-Stras School District

The Stewardson-Strasburg School District has been ordered to pay Grunloh Construction Company of Effingham almost $400,000 for work performed by Grunloh Construction in connection with the renovation of the high school building in 2011 and 2012.

Arbitrator Andrew Manuel ruled Thursday that Grunloh Construction performed its work in a satisfactory and timely manner under the law, and that Grunloh Construction complied with the terms of its contract with the District.

School officials had previously withheld monies due Grunloh on the grounds that the HVAC system installed at the high school was defective and not suitable for a classroom setting. The contention was that the air handling units made too much noise to be suitable for a classroom setting. The arbitrator ruled that with the guidelines Grunloh had in the design of the project by another firm that Grunloh did its work correctly. The arbitrator also ruled that the District pay Grunloh for the balance of its fees due the firm. The arbitrator did rule that Grunloh Construction owed the District four air handling units that were to serve as backup units at a total cost of about $26,000.

Grunloh attorney Chris Koester said he was "very pleased with the decision" and that his client was "very deserving of this outcome".

Stewardson-Strasburg Superintendent Michele Lindenmeyer said while she was disappointed with the decision, they intend to put the matter behind them and continue to work for the betterment of their students.