americana
03-06-2008, 01:01 AM
Today I read an article published in The Wall Street Journal on July 16, 1969. I thought that some of the "high points" might be of interest. Typed by hand; please excuse any errors!
I don't type the whole thing; the point size on my print-out must be 8 point, and I'm getting old! But I think you'll get the point! :D
I thought some fascinating bits were that 15 companies were used to fabricate all the steel, some steel from overseas, special finishing material, there were 4 companies consulting on the plans, and the last sentence!!!
I start with Paragraph 3
"Nearly 190,000 tons of structural steel - more than was required for the Golden Gate bridge - are needed for the $600 million project, including both towers and related concourse areas. The Port Authority figured an order that size could be filled only by U.S. Steel Corp. or Bethlehem Steel Corp., and so invited bids from just these two giants for supplying, fabricating and erecting the steel.
U.S. Steel submitted a big for $122.2 million and Bethlehem asked for $118.1 million. The Port Authority thought both bids were excessive and quietly threw them out. Then it carved up the project and parceled the pieces among smaller steel concerns. Now 15 independent companies are supplying and erecting the same tonnage under separate contracts totalling $85.4 million."
few paragraphs skipped - re: Justice Dept looking into high bids
"If construction of the World Trade Center progesses without much problem, the Port Authority's tactic of breaking the huge job into small segments could pioneer a new way of doing business in heavy construction. "This knocks out the tradition of giving all the big jobs to U.S. Steel or Bethlehem," says one East Coast contractor with undisguised satisfaction. """"""
more paragraphs on specifics of bids
"Part of the $30 million-plus savings might be attributed to the fact that roughly half of the steel is being bought overseas at prices generally $20 to $30 a ton less than the American product. But thought two of the fabricators, both on the West Coast, are buying their steel from Japan, their price advantage is offset by the cost of shipping the foreign steel across the continent by rail . . . "
More paragraphs on bid specifics
Then this kicker:
Consultants Were Hired
On April 9, 1964, the Port Authority hired four construction firms specializing in high-rise buildings to evaluate plans for the twin towers and to review the agency's own cost estimates. In turn, the four consultants - George A. Fuller Co., Turner Construction Co., Diesel Construction Co. and Tishman Realty & Construction Co. - submitted the tower design to U.S. Steel and Bethlehem."
More on costs; bids; Port Authority throws out U.S. Steel Bethlehem Steel bids
"Then it (Port Authority) approached at least 25 steel fabricators, each capable of handling part of the job. Several declined to bid because they thought the Authority was bluffing in hopes of pushing Big Steel's bids down. After months of negotiations, however, 11 fabricators were selected to supply all the steel. Karl Koch Erecting Co. of Carteret, N.J., won a $20 million contract to put up the steel, and smaller contracts were awarded to others for such items as the application of a special finishing material that will make the towers gleam.
Altogether, 15 contracts covering the structural steel work amounted to $3.7 million more than the builder had budgeted, meaning that the 1964 cost estimates, allowing for inflation, turned out to be remarkably accurate.
The coordination required to assemble structures fabricated in different parts of the country is exceptionally tricky. In some cases, seven contractors are supplying parts of the steel needed for a single floor - core columns from Los Angeles, beams from Lynchburg, Va., trusses from St. Louis, and so on.
Ironicaly, a substantial part of this steel is coming from the two industry giants. Atlas Machine & Iron Works of Arlington, Va., contractor for 13,000 tons of exterior wall columns and spandrels, buys big plates from Bethlehem. Pittsburgh-Des Moines Steel Co., Pittsburgh, is getting 6,000 tons from U.S. Steel, Bethlehem and Lukens Steel Corp. Levinson-Steel-Co., also of Pittsburgh, with a contract to supply 15,000 tons, buys mostly from U.S. Steel.
The Port Authority is a self-supporting agency set up in 1921 by the legislatures of New York and New Jersey to construct and operate bridges, tunnels, airports, marine terminals and related facilities. Other than answering "factual questions" from the press and cooperating with the Justice Department inquiry, its officials refuse to discuss the subject of steel for the World Trade Center.""""" END OF ARTICLE
I don't type the whole thing; the point size on my print-out must be 8 point, and I'm getting old! But I think you'll get the point! :D
I thought some fascinating bits were that 15 companies were used to fabricate all the steel, some steel from overseas, special finishing material, there were 4 companies consulting on the plans, and the last sentence!!!
I start with Paragraph 3
"Nearly 190,000 tons of structural steel - more than was required for the Golden Gate bridge - are needed for the $600 million project, including both towers and related concourse areas. The Port Authority figured an order that size could be filled only by U.S. Steel Corp. or Bethlehem Steel Corp., and so invited bids from just these two giants for supplying, fabricating and erecting the steel.
U.S. Steel submitted a big for $122.2 million and Bethlehem asked for $118.1 million. The Port Authority thought both bids were excessive and quietly threw them out. Then it carved up the project and parceled the pieces among smaller steel concerns. Now 15 independent companies are supplying and erecting the same tonnage under separate contracts totalling $85.4 million."
few paragraphs skipped - re: Justice Dept looking into high bids
"If construction of the World Trade Center progesses without much problem, the Port Authority's tactic of breaking the huge job into small segments could pioneer a new way of doing business in heavy construction. "This knocks out the tradition of giving all the big jobs to U.S. Steel or Bethlehem," says one East Coast contractor with undisguised satisfaction. """"""
more paragraphs on specifics of bids
"Part of the $30 million-plus savings might be attributed to the fact that roughly half of the steel is being bought overseas at prices generally $20 to $30 a ton less than the American product. But thought two of the fabricators, both on the West Coast, are buying their steel from Japan, their price advantage is offset by the cost of shipping the foreign steel across the continent by rail . . . "
More paragraphs on bid specifics
Then this kicker:
Consultants Were Hired
On April 9, 1964, the Port Authority hired four construction firms specializing in high-rise buildings to evaluate plans for the twin towers and to review the agency's own cost estimates. In turn, the four consultants - George A. Fuller Co., Turner Construction Co., Diesel Construction Co. and Tishman Realty & Construction Co. - submitted the tower design to U.S. Steel and Bethlehem."
More on costs; bids; Port Authority throws out U.S. Steel Bethlehem Steel bids
"Then it (Port Authority) approached at least 25 steel fabricators, each capable of handling part of the job. Several declined to bid because they thought the Authority was bluffing in hopes of pushing Big Steel's bids down. After months of negotiations, however, 11 fabricators were selected to supply all the steel. Karl Koch Erecting Co. of Carteret, N.J., won a $20 million contract to put up the steel, and smaller contracts were awarded to others for such items as the application of a special finishing material that will make the towers gleam.
Altogether, 15 contracts covering the structural steel work amounted to $3.7 million more than the builder had budgeted, meaning that the 1964 cost estimates, allowing for inflation, turned out to be remarkably accurate.
The coordination required to assemble structures fabricated in different parts of the country is exceptionally tricky. In some cases, seven contractors are supplying parts of the steel needed for a single floor - core columns from Los Angeles, beams from Lynchburg, Va., trusses from St. Louis, and so on.
Ironicaly, a substantial part of this steel is coming from the two industry giants. Atlas Machine & Iron Works of Arlington, Va., contractor for 13,000 tons of exterior wall columns and spandrels, buys big plates from Bethlehem. Pittsburgh-Des Moines Steel Co., Pittsburgh, is getting 6,000 tons from U.S. Steel, Bethlehem and Lukens Steel Corp. Levinson-Steel-Co., also of Pittsburgh, with a contract to supply 15,000 tons, buys mostly from U.S. Steel.
The Port Authority is a self-supporting agency set up in 1921 by the legislatures of New York and New Jersey to construct and operate bridges, tunnels, airports, marine terminals and related facilities. Other than answering "factual questions" from the press and cooperating with the Justice Department inquiry, its officials refuse to discuss the subject of steel for the World Trade Center.""""" END OF ARTICLE