- Associated Press - Tuesday, December 16, 2014

AURORA, Colo. (AP) - Deputy Secretary of Veterans Affairs Sloan Gibson is coming to Aurora to try to settle a contract dispute after Colorado’s congressional delegation sent a letter urging the agency to come up with a plan to continue construction of Denver’s new VA hospital.

Kiewit-Turner stopped construction after a federal board of appeals ruled the VA breached its contract.

The appeals board says the VA didn’t produce a design that could be built for the contracted $604 million and the company says it could cost more than $1 billion. The board also found that the VA doesn’t have sufficient funds to pay for construction of the entire project as currently designed and has no plans to ask for more money.

The congressional delegation says it’s concerned about veteran care and the jobs of the 1,400 construction workers involved in the project.

The VA has argued the builder was involved in that design process and that it did not breach the contract. The agency has also rejected the contractor’s demands to be let out of the building contract.

The new hospital will replace an aging facility in east Denver. It will include a traumatic brain-injury center, nursing care and other clinics.

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