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Dan Haar: Transportation crisis needs compromise
Just after 2 p.m. on Thursday, employees and guests gathered at ASML along Route 7 in Wilton as the technology manufacturer broke ground on the first of three expansion rounds. The maker of equipment for the semiconductor industry is one year into a 4-year ramp-up adding more than 500 people.
An intersection right in front of the building was slated for a much-needed redo. But a few months ago, the state Department of Transportation postponed the work, part of a delay in $4.3 billion worth of road and bridge improvements due to lack of money.
So the state’s progress in making upgrades is of more than passing interest to the Netherlands-based company, not least because its employees come from all over Fairfield County and beyond, hardly a paradise of smooth traffic.
At precisely the moment when ASML shovels hit the ground, the office of Gov. Dannel P. Malloy fired up an angry missive attacking Sen. Len Fasano, R-North Haven, the Senate Republican leader, in a spat over how to finance the state’s $60 billion-plus transportation program for the next generation.
Just after 2 p.m. on Thursday, employees and guests gathered at ASML along Route 7 in Wilton as the technology manufacturer broke ground on the first of three expansion rounds. The maker of equipment for the semiconductor industry is one year into a 4-year ramp-up adding more than 500 people.
An intersection right in front of the building was slated for a much-needed redo. But a few months ago, the state Department of Transportation postponed the work, part of a delay in $4.3 billion worth of road and bridge improvements due to lack of money.
So the state’s progress in making upgrades is of more than passing interest to the Netherlands-based company, not least because its employees come from all over Fairfield County and beyond, hardly a paradise of smooth traffic.
At precisely the moment when ASML shovels hit the ground, the office of Gov. Dannel P. Malloy fired up an angry missive attacking Sen. Len Fasano, R-North Haven, the Senate Republican leader, in a spat over how to finance the state’s $60 billion-plus transportation program for the next generation.
The gas taxes and tolls appear politically dead for this year, an election year. Cut spending? Malloy has already pared more than 7,000 state employee jobs. His view — as he prepares to exit the office — is that we can’t come up with the money without identifying at least some new source to pay back the added debt.
“There are going to be some years where we’re going to need to borrow $3 billion or $5 billion,” said Ben Barnes, Malloy’s budget and policy chief.
For now, Barnes and many Democrats want to divert as much as $75 million in added revenue coming into the state’s coffers, beyond what the state forecast just a few months ago.“There’s plenty of good things to spend money on, but the transportation system is our future,” Barnes said, as lawmakers from both parties have other plans for the cash.
Both sides agree on accelerating the move of sales taxes on new cars from the general fund to transportation. That will total $250 million a year by 2020, leaving a hole in the regular government budget.
$400 million question
The bigger dispute is whether Malloy has built enough fat into bonded debt that the state could finance the transportation program with it.
Fasano’s Exhibit A? A so-called governor’s contingency portion of state borrowing, totaling $400 million a year — parks, playgrounds, gazebos, open land and the like, in Fasano’s view.
“It’s nice to have parks,” he said, but added, “Three years ago if the Department of Transportation did my plan, he would have had the money to do the infrastructure.”
Absolute nonsense, Malloy and Barnes say. Fasano’s plan simply doesn’t work.
“It’s easy to point to some of the fluffy things, but those don’t take up a lot of money,” Barnes said. Under the Republican plan, “All the big transformational urban development projects would go away, the affordable housing would go away, school construction would be constrained.”
Besides, he said, it’s not safe to assume Connecticut will receive $710 million every year from the federal government for transportation, especially under President Donald Trump, since that authorization expires in two years.“He just wants to reduce the reach and the potential of government to make the lives of our citizens better because he doesn’t think that’s what government should do,” Barnes snapped.
“The governor has got $400 million in a slush fund,” Fasano shot back. “His inaccuracies are baffling.”
He added, “Over the last seven years Governor Malloy has not put forward a single workable transportation plan.”
Who’s right?
Here’s what the facts show: The latest Republican plan would pay for transportation by eliminating $255 million in yearly bonded outlays for economic development — that aid to ASML, for example. It would increase, not decrease, school borrowing, by $75 million to $575 million a year. It would eliminate the state’s computer upgrades — which allow agencies to do with fewer employees — saving $80 million a year. It would reduce urban aid by $75 million a year.
The upshot: No, we can’t do this without some new revenue sources. All the money isn’t there. Tolls make the most sense for the simple reason that out-of-state drivers and interstate truckers would pay half of it, perhaps even more.
But yes, there is fat in the bonding budget, some of which could migrate to transportation funding.
For 2018, we can get by on the $900 million in transportation bonds the state issued in January. Eventually, Republicans need to live with dedicated revenues for highway and bridge upgrades and Democrats need to borrow less for general capital projects.
Bridgeport casino bill passes House
HARTFORD — A bill that could bring a new casino to Bridgeport was approved Friday by the House — but faces an uncertain future in the state Senate.
“This is a jobs bill,” said state Rep. Steven Stafstrom, D-Bridgeport, at one point during an hourslong debate.
“This is an economic development bill,” Stafstrom said. “This is also a tax-relief bill.”
The bill passed the House by a 77-73 vote and now heads to the Senate, where opposition is waiting, and no one is making solid bets on its passage.
Technically, the legislation directs the state to issue a request for proposals for a new casino somewhere in Connecticut, including Bridgeport. A selected proposal would return to the General Assembly for final approval.
But the bill is clearly directed at Bridgeport, considering MGM Grand has proposed a $700 million seaside resort in the city and a job training center in New Haven. MGM has promised to create 2,000 permanent jobs and 5,000 construction jobs.
The Las Vegas gambling enterprise pledged to more than cover the $250 million a year the Mashantucket Pequot and Mohegan tribes now pay the state from slot revenue from their casino resorts in southeast Connecticut.
“MGM is willing to invest in one of the most distressed areas in the country,” said state Rep. Chris Rosario, D-Bridgeport. “I think we should listen.”
Bridgeport Mayor Joe Ganim also welcomed the House vote.
“This vote sends a strong signal to the business community that we support fair play in the marketplace, we support open competition and we open for business,” Ganim said. “If we do invest in real growth on the Bridgeport waterfront, we can attract tourists and investors from the New York City region, the largest metropolitan area in the country, and beyond.”
Unlike most bills, the legislation did not divide lawmakers by party. Instead, it pit legislators from Bridgeport and New Haven against those representing southeastern Connecticut and the East Windsor area, where the tribes already have legislative approval to build a smaller casino to buffer competition from an MGM Grand casino in Springfield, Mass., set to open this summer.
Supporters talked about giving Bridgeport a fair deal to redevelop, while opponents worried about losing slot revenue, and the joint tribal East Windsor venture would suffer financially if another casino is built in the state.
“I’ve never seen a proposal that cannibalizes one part of the state for sake of another part of the state,” said state Rep. Kevin Ryan, D-Montville.“The Mohegans and Pequots have a long history in this state and have provided a lot of revenue to the state — $7.5 billion — and we have all benefited from that,” Ryan said.
Future uncertain
Whether the Bridgeport bill can pass the state Senate, which is divided evenly between Republicans and Democrats, is unclear.
At least two Democratic senators, Tim Larson, of East Hartford, and Catherine Osten, of Sprague, support the East Windsor casino and are sure to vote against the so-called Bridgeport bill.
Despite having legislative approval, the East Windsor casino is stalled over a lack of federal approval for changes to the compacts between the state and tribes. Those compacts give the tribes exclusive right to offer gambling on their reservations.
State Sen. Toni Boucher, R-Wilton, said that while she is “leaning” against supporting the bill some GOP senators might vote for the legislation.
“People are all over the place,” Boucher said, referring to the Republican Senate caucus.
Boucher added the Republican caucus — because no expected the bill to come before the Senate — has not taken a straw poll.
State Sen. Carlo Leone, D-Stamford, predicted passage in the Senate is “questionable.” Leone said he won’t vote for the bill because he does not believe MGM can produce enough revenue to make up for that lost from the tribes.
“I don’t think it gets done,” Hwang said, referring to passage of the bill.
Meanwhile, MGM Grand cheered passage by the House and turned to the next step.
“The state is one step closer to adopting a best-in-class process for possible selection of a commercial casino operator,” said Uri Clinton, MGM senior vice president.
“We look forward to continuing this discussion and supporting the legislation as it continues to move through the legislative process,” Clinton said.
Big money
The tribes warned the 25 percent of slot revenue — about $250 million a year — paid to the state in exchange for the exclusive right to operate a casino on their reservations would be withheld if the request for proposals bill becomes law.
“Let’s be clear, the only thing this bill accomplishes is to place in jeopardy nearly $1.4 billion is state tax revenue, $328 million of which is slated to go directly to cities and towns,” said Andrew Doba, a spokesman for the joint tribal venture in East Windsor.
The Court Street structure has been closed to traffic on both levels since early March. Parking staff and officials have been adding additional spaces for vehicles along the Main Street corridor to compensate for the 180 lost when the lot was shut down.
Already, 130 spots have been restored or replaced, according to Mayor Dan DrewOnce the garage is gone, the lot will be replaced with a layer of gravel as a temporary parking measure.
The razing process began Tuesday as machine operators removed portions of the Court Street garage that had been reduced to rubble. By Thursday, Drew said on his Facebook page, areas at the center of the arcade had begun to cave in.
“These two major holes in the center of the structure were made with one tap of the backhoe seen in the photos,” Drew said in a description of several photographs he posted taken from the top of the Middlesex Mutual building.
“This is the area where the structure was weakest, and where you could stand on the lower level and peer through the top deck at blue sky. I’m glad we closed the structure when we did,” Drew added.
The 50-year-old building has been experiencing significant damage from crumbling concrete for years.
Crews didn’t expect the arcade to be so compromised, the mayor added.
“The structure is so brittle that it’s crumbling as the heavy equipment digs into it. We were expecting major chunks to have to be ground down, but the structure is falling apart as it’s being demolished,” the mayor said, comparing the concrete to “flaky plaster.”
The lower level of the arcade was closed in December 2013 due to crumbling concrete and other hazards.
The original rerouting plan had lower Court Street slated to become a one-way road. The city has reworked the on-street parking configuration so traffic can flow in both directions, Drew said.
Police Chief William McKenna will be assigning more police vehicles for officers to take home, the mayor added, so there will be less personal cars parked filling up the police lot and Dingwall Drive.
Old Lyme streetscape project on Hartford Avenue completed
Old Lyme — After years of planning, local officials and members of the Sound View community gathered on Friday to celebrate the completion of streetscape improvements to Hartford Avenue in Sound View.
The streetscape project features handicap-accessible sidewalks, "bump-outs," landscaping, improved drainage, bike racks and a share-the-road bikeway on Hartford Avenue.
"This was a decadeslong project in the making, so I really have to thank the town," said Selectwoman Mary Jo Nosal, who oversaw the project with the Sound View Improvements Committee. Nosal spoke to a group of local officials, area residents and business owners at the celebration at the Shoreline Community Center.
Nosal listed all those who participated in the "team effort" to make the project a reality. "Thank you all," she said. "This is your prize."
First Selectwoman Bonnie Reemsnyder joked that Nosal forgot one firm: "MJN" for Mary Jo Nosal, and attendees laughed and applauded.
"She really made this happen," Reemsnyder said.
Sound View Improvements Committee Chairman Frank Pappalardo said the improvements were a long time coming, and local officials cut a ribbon outside with a backdrop of the new streetscape on Hartford Avenue.
Years of planning
Town reports going back to the 1940s and 1950s reference the need to do something about Sound View, according to Alison Mitchell, co-chair of the Old Lyme Historical Society.
Nosal said the town had wanted a project to calm traffic, bring visitors to the area, improve business and potentially extend the season. CLICK TITLE TO CONTINUE