Obama Presidential Center Grapples with Cost Overruns, Delays, and a Discrimination Lawsuit
The construction of the long-awaited Obama Presidential Center in Chicago, intended as a tribute to former President Barack Obama’s legacy, has been beset by challenges since its inception. Despite an ambitious plan for diversity, equity, and inclusion (DEI), the project has encountered significant cost overruns, delays, and a racially charged lawsuit filed by a minority contractor.
Ambitious DEI Goals Overshadowed by Cost Inflation
From the outset, the Obama Foundation touted DEI as a cornerstone of the Obama Presidential Center. Aiming to set a precedent for major construction projects in Chicago, the project set ambitious diversity quotas, with 35% of contracts allocated to minority-based enterprises (MBEs).
However, escalating costs have overshadowed these lofty goals. The initial budget of $350 million has ballooned to $830 million, according to the foundation’s previous annual reports, with no publicly available figures for updated projected costs.
Racially Charged Lawsuit Alleges Discrimination
The project’s commitment to DEI has been severely tested by a lawsuit filed by Robert McGee, the Black co-owner of II in One Construction, a minority-owned subcontractor. McGee alleges that Thornton Tomasetti, a New York-based company overseeing structural engineering services, discriminated against II in One based on race.
According to the lawsuit, Thornton Tomasetti changed standards and imposed new rules that resulted in massive cost overruns for II in One, putting it on the brink of bankruptcy. McGee further claims that Thornton Tomasetti’s accusations of inexperienced and unqualified work were false and defamatory.
Thornton Tomasetti’s Defense and Counterclaims
In response to the lawsuit, Thornton Tomasetti has asserted that the challenges with the concrete work were solely due to the subcontractors’ underperformance and inexperience. The company’s memorandum, which McGee alleges served as the basis for the lawsuit, cited cracked slabs and exposed rebar to support its claims.
Thornton Tomasetti has argued that it "bent over backwards" to assist the subcontractor team and that it will not tolerate contractors blaming their shortcomings on the design team.
Obama Foundation’s Involvement and Response
The Obama Foundation has emphasized that it is not a party to the lawsuit and that it will not cause any delays in the concrete work, which has reportedly been largely completed. The foundation has stated that if it believed any vendor was acting with a racist intent, it would take appropriate action.
Community Concerns and Environmental Impact
In addition to the legal and financial challenges, the Obama Presidential Center has faced opposition from some community activists who claim it will lead to displacement and gentrification in the South Side of Chicago. Environmental concerns have also been raised about the project’s potential impact on trees and bird habitats.
Status and Timeline
Despite the setbacks, the Obama Presidential Center project is expected to open sometime in 2026. Construction was initially anticipated to begin in 2018 but was delayed until 2021.
Conclusion
The Obama Presidential Center has become a focal point for both celebration and controversy. While intended as a tribute to former President Obama’s legacy, the project has faced significant challenges, including cost overruns, delays, and a racially charged lawsuit. The outcome of these challenges will shape the future of the center and its impact on the local community.
