First of all ... can't they do this construction in the winter when there's less traffic using the Beeline? Seems silly to start this in May, unless they were waiting for the dry season to start this project.
Second -- I know some engineers that work with ADOT on road design and construction, and this was always a disaster waiting to happen. The Forest Service insisted on this route despite warnings that this would occur. FS decided this route would require the least impact on the land, and while the theory is a nice one, ultimately, ADOTs preferred route would have required more trees to be cut down and more dirt to be moved, but would also have resulted in a stable roadbed that would not be affected by an area previously known for underground water and its possible effects on a roadway.
Now it has cost a stupid amount of money to fix, and has probably impacted that hillside more than building the road in the alternate location would have. Yay government at work!