Multiple contractors working on the Obama Presidential Center in Chicago allege they remain unpaid or underpaid as the facility opened in June 2026, but the foundation maintains it hired a separate construction manager responsible for all subcontractor payments. The dispute involves millions in claimed compensation and accusations of racial discrimination in contract management.

Payment Dispute Details Surface

Contractor Mike Owen claims he is owed nearly four million dollars for work on the presidential library complex. At least one Black-owned business, II in One owned by Bob McGee, filed a lawsuit in January 2025 seeking roughly forty million dollars in compensation. McGee alleged the engineering firm Thornton Tomasetti subjected his company to discriminatory treatment including unreasonable rules, excessive inspections, and burdensome paperwork not applied to non-minority contractors on the same project.

The Obama Foundation contracted with Lakeside Alliance, a group composed of multiple Black-owned firms, to serve as construction manager for the entire project. According to this arrangement, Lakeside bore responsibility for hiring, managing, and paying all subcontractors. Reports indicate the Obama Foundation has no direct payment disputes with Lakeside itself, though subcontractors claim they have not received full compensation for completed work.

Engineering Firm Defends Quality Standards

Thornton Tomasetti, the structural engineering firm named in McGee’s discrimination lawsuit, prepared a memo defending its oversight of the concrete work. The firm stated that construction issues were driven by the underperformance and inexperience of Concrete Collective, the joint venture including McGee’s company. The memo included photographs showing cracked concrete slabs and exposed rebar. Thornton Tomasetti claimed it spent hundreds of hours reviewing corrective work to assist what it called a questionably qualified subcontractor team.

McGee’s complaint stated he may be forced to seek bankruptcy protection due to the payment dispute. His lawsuit alleges the Obama Foundation relied on false and discriminatory actions when denying his company’s claim for additional compensation. Omar Shareef, president of the African American Contractors Association, confirmed contractor payment issues to media outlets investigating the allegations.

Legal Questions Remain Unresolved

No court has yet determined whether subcontractors are owed compensation or how much responsibility, if any, lies with the Obama Foundation versus Lakeside Alliance or individual contractors. The contractual language governing payment obligations between all parties has not been made available for independent review. The fact-checking organization Snopes left the overall claim unrated due to the complexity of contractor relationships and ongoing legal proceedings. Fox News and Crain’s Chicago Business both published investigations about the payment disputes, though reports differed on which contractors experienced problems and the level of contextual detail provided about the multi-layered contracting structure.