WASHINGTON - President Donald Trump expressed misgivings about his administration's infrastructure plan Friday at Camp David, telling Republican leaders that building projects through public-private partnerships is unlikely to work - and that it may be better for the government to pursue a different path.
Then on Saturday morning, Gary Cohn, the president's chief economic adviser, delivered a detailed proposal on infrastructure and public-private partnerships that seemed to contradict the president. He said the administration hoped $200 billion in new federal government spending would trigger almost $1 trillion in private spending and local and state spending, according to people familiar with his comments. Cohn seemed to present the plan as the administration's approach, although the president had suggested such an approach might not work.
The seemingly contradictory statements, made within 24 hours of each other, show the uncertainty of the administration's approach to its top legislative priority in 2018: building roads, bridges and highways. Trump and his White House have been determined to pitch an infrastructure plan in 2018, despite Republican misgivings about the cost, a rapidly rising deficit and a preference to consider others matters first.
White House officials and Hill aides confirmed the president's comments. Another White House official briefed on the comments said that Trump was musing aloud and that the administration still planned to pursue public-private partnerships for infrastructure. This person, though, said Trump had continually expressed skepticism behind the scenes about such a plan.
"He doesn't think they will work," this person said.
Trump and Cohn have had a rocky relationship after the economic adviser criticized the president's comments about white-supremacist riots in Charlottesville, suggesting that there were "many fine people on both sides." Several White House advisers have said recently that the former Goldman Sachs banker may exit. Asked about that Saturday, Trump pulled Cohn up to a news conference stage and asked if he was staying. The economic adviser said yes and that he was having fun. "Gary, hopefully, will be staying for a long time," Trump said. "Now, if he leaves, I'm going to say: 'I'm very happy that he left.' OK? All right?"
"I'm happy," Cohn said. Republicans are loath to spend $1 trillion on infrastructure, as the deficit is expected to grow considerably after the tax plan passed in December. Trump did not specifically delineate how he would pay for the projects without the partnerships.
During the campaign, Trump promised a $1 trillion infrastructure plan that he said would create millions of jobs through a combination of investments from the federal government and private companies. Staff members at the White House have spent months assembling a package of ideas, though his first budget just allocated $20 billion a year over 10 years for the mostly unspecified projects.
In September, though, Trump began musing to Democrats and others that the public-private partnership idea might not work. He referenced at least once, for example, some projects in Indiana that he believed did not work out the way the private sector had promised. In 2014, then-Gov. Mike Pence arranged a deal with Isolux Corsan, a Spanish construction firm, to extend a stretch of interstate in the southern part of Indiana. The firm had turned in the lowest bid but never completed a project in the United States before, and it fell behind schedule. The state of Indiana had to eventually dissolve the partnership and issued public debt to finish the project, though it still remains incomplete. CLICK TITLE TO CONTINUE
Long-range plan highlights need for improvements to state’s transportation network
Aging infrastructure, congested highways, and increased demand for rail and bus service are among the transportation challenges confronting the state as it looks ahead to the future, according to an updated long-range plan from the state Department of Transportation.
DOT is asking for feedback on the draft plan that calls attention to the state's transportation needs through the year 2050, as well as the state's dwindling funding for transportation. It is available online on the state DOT's website, bit.ly/CT-DOT.
"At the same time that the state is innovating and competing for business and talent, we face the challenge of reconstructing our aging infrastructure that suffers from years of deferred maintenance and underinvestment," the plan states. "These realities are exacerbated by the economic and social impacts caused by significant traffic congestion, an aging population with potentially reduced mobility choices, and diminishing sources of revenue."
For Eastern Connecticut, DOT's strategy concentrates on upgrading Interstate 95, Shore Line East rail service, freight rail and the Port of New London, the plan states.
The DOT says the plan, which was released Dec. 18 and updates a 2009 version, will serve as a "framework for near- and long-term decision-making." The agency said it relied on Gov. Dannel P. Malloy's 30-year transportation plan, 'Let's Go CT,' along with comments from the public and other officials, to develop the report.
The 164-page plan, which points to $100 billion in long-term transportation needs, outlines the current state of Connecticut's transportation system, including highways, bridges, public transportation, pedestrian and bicycle traffic, rail, ports and air travel.
Connecticut's transportation network
The primary goal of the plan is fixing and maintaining the state's transportation network, as delaying maintenance "increases safety risks, hinders economic prosperity, and burdens taxpayers," according to the report.
The plan states that deficient roads and bridges lead to an annual "$2.6 billion in operating costs, fuel, and accidents."
Drawing on data from the Federal Highway Administration, the report points to the stretch of I-95 between Old Lyme and East Lyme as one of the most congested stretches of road on the National Highway System in Connecticut in 2016. I-95 from New York to Bridgeport and from West Haven to New Haven, along with sections of I-84, I-91 and CT-5, also were listed.
"This review corroborates the Department's emphasis on the need for congestion relief and the reconstruction of sections of I-95 and I-84," the plan states.
The report also highlights the condition of Connecticut's roads: "Pavement on 77 percent of town-maintained road system mileage is in poor condition, while a significant, but much lower proportion of the state maintained system (23 percent) is in poor condition," the plan states.
The state, towns and cities should invest more in repairs to bridges in fair and poor condition across the state, since timely repairs lead to lower costs in the long-run, according to the evaluation.
"13.1% of bridges owned and maintained by towns or municipalities are in poor condition and 6.2% of state owned and maintained bridges are in poor condition," according to the plan.
The state is experiencing a rise in commuter rail ridership. Overall, since 2009, ridership on Shore Line East is up by 10.9 percent and ridership on the New Haven Line is up by 9 percent, according to the report.
"There are solid indications that there is unmet demand for additional fast, convenient and reliable commuter rail service," the report states.
With the state's aging population — the number of individuals in Connecticut aged 70 to 74 and aged 75 to 79 are projected to grow by 87 percent and 110 percent by 2040, according to the report — DOT also anticipates an increased demand for public transit and paratransit options.
The DOT further states in the report that it has worked over the past few years to improve Connecticut's "pedestrian and bicycle transportation network."
Funding at issue
Though emphasizing the need for investment in infrastructure, the state DOT's plan "forecasts a substantial and widening gap between the Department's ability to meet its responsibilities and the funds available to do so," without additional money.
The report says that if the state doesn't increase funding to the Special Transportation Fund, the DOT "would be forced to significantly revise its operating budget and its 5-year capital program."
"Since some of these projects must ultimately be completed to protect life safety, these delays would only serve to drive up costs and restrain future economic growth in the state," the plan states.
Gov. Malloy made a similar announcement about the status of the Special Transportation Fund last month, based on another report from the state DOT and Office of Policy and Management, that some infrastructure projects planned for the next five years are "at-risk" unless the state boosts funding to the transportation fund. CLICK TITLE TO CONTINUE
Tribes Still Not Ready To Commit To East Windsor Casino Construction Timeline
The tribal operators of Foxwoods Resort Casino and Mohegan Sun Friday would not commit to an exact date for construction of a jointly-run casino in East Windsor, having missed the target of the end of last year.
“I would certainly say it is fair to say in the first quarter of this calendar year,” Felix Rappaport, president and chief executive at Foxwoods, said Friday. “What you’re likely to see in the early part of 2018 has a lot more to do with demolition and site preparation.” The Mashantucket Pequots and Mohegan tribes won approval in last year’s regular session of the General Assembly to establish a “satellite” casino off 1-91 on the site of a long-abandoned movie theater. The tribes together had formed MMCT Venture and purchased the theater property. Meanwhile, MGM Resorts International’s $950 million casino and entertainment complex in Springfield — which the East Windsor venue is supposed to compete against — is on track to open in September. MGM already is conducting job fairs and will soon be training casino dealers.
In a joint interview with The Courant Friday, Rappaport and Mario Kontomerkos, chief executive of Mohegan Gaming & Entertainment, declined to comment on whether the lack of a clear approval from the federal Bureau of Indian Affairs would delay construction beyond demolition and clearing the East Windsor site.
“We have the best experts politically and legally to handle our side of the question,” Rappaport said. “And I believe we are on the right side of the question.”
The casino expansion legislation signed by Gov. Dannel P. Malloy requires BIA approval that the satellite casino does not violate existing slot machine revenue-sharing agreements with the state, which brought $270 million to state coffers last year. CLICK TITLE TO CONTINUE
Plans for Dillon Stadium Take Shape, With Public Funding Included
State and city leaders will move ahead with a plan to redevelop the badly aging Dillon Stadium, with a goal of gaining approval from government agencies by February and completing the facility by March 2019.
But this time, instead of allowing the soccer team’s owners to oversee construction efforts, the Capital Region Development Authority will manage the project. As much as $7 million in public funds would be committed to the enterprise.
A new soccer team, backed by the United Soccer League, is expected to begin playing at the Colt Park stadium in spring 2019.
“We’ve had very strong vibes when it comes to soccer,” Michael Freimuth, head of CRDA, said. “There is a true interest. The question is: Is it sustainable, and at what price points?”
CRDA and city officials are mulling over the numbers now, Freimuth said, with the hope of sending a proposal to the city council by February. The plan will also need approval from the state bond commission.
The authority in November recommended Hartford Sports Group, led by Woodbridge businessman Bruce Mandell, to be the primary tenant at the facility.
Mandell said he and his partners would commit $7 million to $10 million of their own money to launch the soccer team, and asked for another $10 million in public funds to upgrade the stadium, now closed to the public and in need of substantial repairs.
After inquiries from CRDA, Mandell reduced the scope of work and dropped his request to $6.7 million. The new proposal eliminated the artificial turf field planned for the stadium, but Mandell said he’s exploring other ways to pay for it.
Also included in Mandell’s pitch were new locker rooms, restrooms, press box, concession stands and refurbished bleachers that bring the facility in line with requirements set forth by the Americans with Disabilities Act. The renovated stadium would seat 6,000 fans.
CRDA chose Hartford Sports Group from among three firms that applied to revamp the outdated arena. Mayor Luke Bronin then directed the authority to pursue an agreement with Hartford Sports. CLICK TITLE TO CONTINUESacred Heart Academy to build school center
HAMDEN — Beginning in June, Sacred Heart Academy will begin construction of a new school center, the academy’s first addition since 1984.
The school recently embarked on the capital campaign “Ever Higher” to support raising funds for the $5 million project, of which about $4.4 million has already been gathered through donations. It marks the start of phase I of the master plan approved in 2015.
“The new building will be the hub of the school and all the different entities will be represented there,” President Sister Sheila O’Neill said. “We want the kids to feel part of it.... All key administrators will be more visible and accessible.”
Moving to the new building will be the main office, the president’s office, principal’s office and offices for admissions and alumnae affairs, and the school’s main entrance will be clearly signaled, unlike now, O’Neill said. The center will also incorporate space for a student gathering space and new conference rooms, which will provide meeting spaces for alumnae, academic departments, advisory council and parents’ clubs.
The new student space will be a gathering spot for students before, after and between classes. Many students are at school 7 a.m to 7 p.m. and currently the only areas for them to gather are the cafeteria and then the library in the evening after the cafeteria closes, director of mission advancement/campaign Debbie Camner said. The commons will include a gallery to display students’ and visiting artists’ works.
“Community is really important and we want the kids to be part of everything that goes on,” O’Neill said. “We don’t want them stashed off in a corner someplace.”
The plans call for the new center to be constructed in front of the existing building, connecting the Philip Paolella Jr. Recreation Center and the original main entrance. The new space is 7,500 square feet and builders will break ground in summer 2018, with completion in time for the start of the 2019-2020 academic year, Camner said. CLICK TITLE TO CONTINUE
Scinto plans shopping center on Shelton’s Bridgeport Avenue
SHELTON — Bridgeport Avenue, which some city residents believe is becoming another Boston Post Road, might be getting busier.
Two weeks after closing a public hearing on the 10-building Fountain Square proposal, Shelton’s Planning and Zoning Commission will be opening another during their meeting Tuesday at 9 p.m. This time, the proposal will be R.D. Scinto Inc.’s plan to build a 26,200-square-foot shopping center on roughly 3 acres of land at 899-905 Bridgeport Avenue.
“It’s going to be a beautiful development and a great addition to Bridgeport Avenue,” said Robert A. Scinto, chief operating officer of R.D. Scinto. “I’d like to bring some of southern Fairfield county to northern Fairfield county.”
If approved, Scinto would like to see a boutique, a high-end clothing store and a New Haven-style pizzeria in a terracotta-style building adorned by trees and flowering plants. However, he said, nothing has been finalized.
Changing proposal
Scinto’s proposal would require demolition of the five vacant blighted buildings on the site. Those include a 5,721-square-foot office building, a 22,886-square-foot warehouse and three what appear to have been single-family homes. The property also once housed a fitness center, a dental office and a weight-loss business. It is between exits 11 and 12 on Route 8.
Facing opposition
Also on Tuesday, the Scintos are expected to ask that the previously approved planned development containing a hotel at 899-905 Bridgeport Avenue be revised to include their shopping center proposal.
“I don’t understand how the commission can consider totally changing the design of a planned development district after it has already been approved for a hotel and restaurant,” said Greg Tetro, a leader in Save Our Shelton, a grassroots group of city residents who say they are opposed to over-development. “It’s like playing musical chairs.”
Tetro and his group have repeatedly questioned the wisdom of allowing more retail on Bridgeport Avenue when there are several vacancies and a national trend of traditional anchors closing stores.
“I saw a report on WFSB that 2017 made history for the number of retail establishments closing or going into bankruptcy,” he said. “The only stores that seem to be growing are dollar stores. Is that what we want in Shelton to go along with all our nail salons? You can only have so much redundancy.”
Previously another developer received approval to build a hotel and restaurant on the site. But those plans were scuttled when a group of New Jersey developers formed Fountain Square. For the past two months, the Planning and Zoning commission listened to Fountain Square’s proposal to build a four-story, 123-room hotel, a 14,200-square-foot pharmacy with a drive through, 13,200 square feet of office space, 32,600 square feet of retail, a bank, three restaurants and a coffee shop just a half mile away on 19-acres at 801 Bridgeport Avenue. That proposal is expected to be discussed by commission members Tuesday. “I don’t expect a vote until a February meeting,” said Virginia Harger, the city’s new Planning and Zoning Commission chairwoman.
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Getting There: Expect a bumpy road in 2018
I recently reviewed my transportation predictions for 2017 and gave myself a B+ for a final grade. Not bad for a guy who doesn’t even own a crystal ball.
This week, I’m doubling down on some predictions and offering a few new ones. So tuck this column away and give me a prognostication grade this time next year.
Metro-North
Commutes: You’re not going to like this one. With the Special Transportation Fund (STF) imperiled (see below), I predict there won’t be money to pay for the additional M8 railcars on order for delivery in 2019. Crowding will continue to the point that ridership will peak and start to drop. Adding insult to toe-stepping injury, there will be calls for another fare increase of at least 10 percent. Ouch.
As he threatened, Gov. Dannel Malloy will cut transportation spending when the Legislature does not act on new funding sources for the STF. Even before the STF runs dry, expect reduced or eliminated train service, fewer road repairs, less snow plowing, etc. It’s going to be bad, really bad.
Lock box
Before we see discussion of new tolls or taxes, we will need a lock box on the STF. We will have a chance to vote on that in a November referendum. But I predict the vote will be “no” — not because we don’t need a lock box, but because the one proposed won’t be secure enough to persuade cynical voters it would be pilfer-proof. A “no” vote on the lock box will put any new tolls or taxes for transportation in question.
Our next governor
This is a hard one to call because none of the dozens of early-announced would-be candidates for governor have said anything about transportation. They all know this is going to be a crucial issue. But they also know voters don’t want any new taxes or tolls. So, who among this gaggle of wannabe governors will have the guts to be honest on this issue? That’s the man (or woman) who’ll get my vote, if s/he exists.
Positive train control
In the wake of the recent Amtrak crash near Tacoma Wash., this technology to control our trains is years late, millions over budget and in some peril. Despite a three-year extension by Congress, I fear Metro-North will not have Positive Train Control up and running by the Dec. 31 deadline.
Infrastructure spending
Fresh from his first (and only) legislative victory in 2017, President Donald Trump will bask in the glory of his mighty tax cut, but he will not be able to get Congress to make good on his promise to spend $1 trillion to rebuild our nation’s infrastructure. Why? Because deficit-concerned Republicans won’t stomach the cost and so despise the Democrat-dominant Northeast that they’ll say “no way” to our multibillion dollar projects. CLICK TITLE TO CONTINUE
Bridgeports East Side Train Station On Hold
BRIDGEPORT — Two thousand and eighteen is here, and the new East Side train station is no closer to being built than when announced four years ago by the governor with a 2018 opening date.
“As it stands right now, the proposed Barnum Station is essentially on hold while questions are being debated regarding the long-term solvency and sustainability of the (state’s) Special Transportation Fund,” Judd Everhart, a spokesman for the Connecticut Department of Transportation, wrote in an email last week.
Translation: There is no money.
The project was first announced by Gov. Dannel P. Malloy during a visit to Bridgeport in late summer 2014.
Critics at the time charged that Malloy’s decision and the ambitious opening date was politically calculated to win urban votes that November in a tough, but ultimately successful, bid for a second term.
The Barnum Station had, in fact, been pursued by then-Mayor Bill Finch’s administration and local business leaders as an economic driver to lure new development and tenants to the troubled East Side.
But a Freedom of Information Act request by Hearst Connecticut Media revealed Malloy’s announcement had caught key DOT staff off guard.
During a DOT-hosted public hearing last year on the East Side, state officials sought to lower expectations about when the station would actually be constructed and open for business. They noted the design was only 15 percent complete and the operational date moved to 2021 — depending on the availability of funding.
The price tag, which ballooned over the years from $48 million to $300 million in part because of demands to accommodate not just Metro North trains but Amtrak’s high speed ones, is challenging given Connecticut’s and Bridgeport’s budget problems. In fact some people who testified at last winter’s hearing argued the Barnum Station — which would technically be Bridgeport’s third Metro North stop counting the downtown transit hub and the Fairfield Metro just over the border — should be scrapped in favor of investing available money into improving the state’s existing transportation infrastructure.
Everhart insisted that the Malloy administration “remains supportive of this project” and noted state money footed the initial $2.5 million design tab. But, as Everhart also noted, the Special Transportation Fund is in trouble because of a loss of gas taxes and other issues. CLICK TITLE TO CONTINUE