BECHTEL LAST month lost its bid to manage the World Trade Center clean-up operation in the aftermath of the New York terrorist attacks.
Bechtel was widely expected to be appointed programme manager at the site dubbed Ground Zero, replacing New York City's Department of Design & Construction.
The department wanted to hire a manager so it would be free to concentrate on its £1.1bn construction plan for the city.
San Francisco-based Bechtel was the favourite to take over despite a late counterbid from Bovis Lendlease LMB.
Bovis, which has worked on the site as a contractor since 11 September with Amec, Tully and Turner, is now expected to rebid for the management role.
It claims its bid would be considerably cheaper.
'We are in the process of refining our earlier proposal to take the lead for the remainder ofthe work with Amec and Tully as sub-contractors, ' said a Bovis source.
It is thought Bechtel's bid was rejected because of unrest from construction unions on the site. They are thought to have been worried that Bechtel would bring in non-union labour.
Firms that had worked on the site since the collapse of the World Trade Center twin towers were also reported to be unhappy at an outside firm taking over.