$250M Agreement Reached to Settle All Purple Line Claims and Terminate Litigation

Photo Courtesy: Maryland Transit Administration

The State of Maryland and its partners – Meridiam, Star America, and Flour – today announced they have reached a $250 million agreement that settles all outstanding financials and terminates the current litigation regarding the Purple Line project.

While the agreement is pending review by the Maryland Board of Public Works (BPW), the parties have agreed to put all pending claims and litigation on hold. As a part of the settlement agreement, Purple Line Transit Partners P3 Agreement will proceed with just Meridiam and Star America as P3 developers and equity partners.

From the press release:

This agreement is a major step toward completing the Purple Line, a transformative project for our state and the region,” said Governor Larry Hogan. “I would like to thank Greg Slater and our partners at Meridiam and Star America for coming together to find a path forward that will lead to a new contractor. We continue to make progress on all of the highest priority transportation projects across Maryland.”

If approved by BPW, Meridiam and Star America would initiate a solicitation for a new design-build contractor in coordination with the Maryland Department of Transportation (MDOT) and Maryland Transit Administration (MTA). In the interim period, MDOT and MTA will retain oversight of hundreds of contracts and purchase orders to continue delivery of the Purple Line. Purple Line work currently underway includes: light rail car manufacturing, bridge work, stormwater drainage, paving, utility and pump station construction. MDOT and MTA will continue work while also focusing on reducing risks in the upcoming solicitation by completing design, acquiring permits and advancing utility work along the Purple Line corridor.

“When you are trying to solve complex issues, collaboration is the key. In big projects like this, there are challenges you will encounter, and it takes a good partnership to work together productively on solutions,” stated Transportation Secretary Gregory Slater. “Even in the most challenging parts of the negotiations, Chairman Garvey and I spoke every day focused on coming together to deliver this project for the citizens of Maryland.”

Read full press release.