July 25, 2018

CT Construction Digest Wednesday July 25, 2019

Strong transportation support is very important at the Bond Commission meeting today. The agenda is packed with transportation funding.  Additionally, there will be opposition to the $10 million for the study to provide accurate information on tolling.

Bond Commission Meeting
Legislative Office Building
300 Capitol Ave., Hartford
(there is plenty of parking this time of year)
Room 1E
10am
Wednesday, July 25, 2018

When it comes to the tolling:

  • A study and accurate information on tolling in Connecticut is important
  • Several legislators complained that there was a lack of information during the last legislative session
  • All funding options should be on the table until Connecticut’s transportation funding shortfall is addressed
  • Connecticut needs a long-term user-based funding stream to support its transportation needs
  • Connecticut should be planning now for the future
Please bring as many members, employees, supervisors, leaders, apprentices, and other transportation supporters as possible.

Bond Commission Agenda CLICK HERE


Ribbon cutting held for Meriden Commons I, construction begins on second phase

Mary Ellen Godin
MERIDEN — The boarded up 50-year-old Mills housing project stood in stark contrast Tuesday to the adjacent four-story newly-built Meriden Commons I.
State and local leaders and developers celebrated the completion of the $25 million mixed income Meriden Commons I project and the start of construction on Meriden Commons II. About 100 people attended the ribbon cutting ceremony at the amphitheater on the Meriden Green.
“This is the next step in the process to overall the transformation of downtown Meriden,” said Charlie Adams, regional vice president of Pennrose Properties. “That vision and that excitement of creating two truly mixed-income developments where people of all incomes will have an opportunity to reside. With 7,000 square feet of retail, it’s a great opportunity for some shopping and economic development.”
Pennrose Properties partnered with the Meriden Housing Authority and Stanford Cloud to secure the funding and develop Meriden Commons I and II. About 30 units have been leased to date, and management has signed a lease with a convenience store owner to occupy part of the retail space on the first floor. Pennrose is also in talks with a deli owner and another possible tenant.
Tenants vacated the Mills apartments last year and the three low-rise and two high-rise buildings will be demolished by the end of the year. Adams and others have said the demolition won’t interfere with Meriden Commons II construction.
About 60 Meriden Commons phase one units are income-restricted, meaning potential tenants can earn no more than 60 percent of the area median income. The remaining 15 apartments are market-rate units. The units range from one- to three-bedroom apartments. 
Phase II will have 76 units with a similar income ratio. 
Speakers at the ceremony included representatives from the city, the U.S. Department of Housing & Urban Development, the Meriden Housing Authority, and the General Assembly. Many praised Gov. Dannel Malloy for his investment in affordable housing, the CTrail Hartford Line and transit-oriented developments around train stations.
“This is just another step in that long road to recovery,” Malloy said. “This has been a problem in Connecticut for a long time. We tended to punish our small urban areas, expect them to cut it on their own and did not allow for appropriate asset sharing to make sure those communities had the resources they needed to succeed.”
State Rep. Hilda Santiago, D-Meriden, said she initially had concern for tenants in the Mills, and she wanted a “respectful and dignified relocation where they were part of the process.” Santiago, whose district includes downtown Meriden and who once lived in the Mills, said Connecticut and HUD were both “a great partner.”
The city’s transformation began more than 10 years ago with other lawmakers and city administrations planting the seeds to request funding for the Mills demolition and rebuilding the former HUB site, now the Meriden Green.
HUD began its involvement in the project with a TOD feasibility study grant, a Choice Neighborhood planning grant of $500,000 and a 30-year commitment of $29 million to keep the units affordable, said Field Office Director Suzanne Piacentini.
The Connecticut Housing and Finance Authority provided another $3.2 million in low-income housing tax credits that generated $32 million in equity.
Guests were invited to a tour of model units and the Community Room at Meriden Commons I, located at State and Mill Streets.  The building also has a fitness room, and a retail area and offices for resident coordinators and supportive services. These services will be provided through the combined presence of an onsite resident services coordinator, employed by the management agent, and Columbus House, a state-based supportive services provider.
Each unit has granite countertops, a washer and dryer, and central air conditioning.
“We’re not done yet,” said Timothy Henkel, senior vice president of Pennrose LLC. “We will continue to do our part because now we’re neighbors.”

Developer pitches 108-unit Newington apartment project near busway

Joe Cooper
A Massachusetts-based developer that has been active building new apartments in Greater Hartford is eyeing a $32 million transit-oriented development on a long-vacant lot near a CTfastrak station in Newington.
Dakota Partners Inc., of Waltham, Mass., is asking Newington's Planning and Zoning Commission to create a "workforce assisted housing district (WAHD)" zone at 550 Cedar St. that would include a 108-unit affordable apartment complex.
The proposed three-story rental complex would be named Cedar Pointe.
Newington Town Planner Craig Minor said the proposal will be discussed at the planning board's Aug. 8 meeting and could meet town approval at subsequent meetings.
Under the proposal, the developer is plotting the complex on a 7.7-acre lot owned by Stop & Shop Supermarket, which is no longer interested in developing the land, said Dakota Partners Principal Marc Daigle. The property was formerly housed by automobile dealership Crest Motors.
If approved, Daigle says he expects construction crews of about 220 to break ground in spring 2019 with construction lasting 12 to 14 months.
The redevelopment will be funded mainly through state Department of Housing programs and the Connecticut Housing Finance Authority, according to the application. The state funding programs will dictate the number of units earmarked as lower-cost or workforce units, it said.
Applicants for affordable housing units at Cedar Pointe must meet certain low-income thresholds and prove employment, among other requirements. Daigle says Dakota has identified a need for affordable housing in the Newington area.
The proposal calls for 81 two-bedroom units and 27 one-bedroom units spanning 942 square feet and 708 square feet, respectively, and 152 parking spots.
Maximum monthly rent for one bedrooms will be $410 to $1,046 and two bedrooms will be $486 to $1,249.
Dakota Partners has acquired and developed multi-family rental properties across New England, New York and mid-Atlantic states. The developer has built housing in Hartford, New Milford and Brookfield and has ongoing projects in Suffield, New Britain and Uncainsvile.
Dakota Partners was part of the group that redeveloped a historic six-story building at 179 Allyn St. into 63 apartments and repurposed a former mill at 390 Capitol Ave. into 112-mixed income apartments. They are also currently involved with the $58 million mixed-use "Columbus Commons" development in New Britain that will include 160 residential units.

Downtown North Developer Lays Out Vision, Fields Questions From Hartford Leaders


City council members got their first peek Tuesday at a six-year, multiphase plan to transform four vacant parcels near Dunkin’ Donuts Park into extensive retail and housing that would knit together Hartford’s downtown and North End.
Randy Salvatore, owner of RMS Companies, the group chosen by the city to build 800 apartments and 60,000 square feet of retail space in the long-barren neighborhood, outlined a proposal that would begin with 200 housing units behind the Red Lion Hotel on Trumbull Street. It would continue with 150 apartments near the corner of Trumbull and Market streets, and another 300 at the intersection of Main and Trumbull — directly across from the minor league ballpark.
The second and third phase of the project could be reversed depending on environmental hazards, Salvatore said. City leaders have warned that the parcel near Trumbull and Market, which contains a bunker-like former data-processing center, may have asbestos and PCBs.
A subsequent phase of the development would feature 150 housing units near the three-way intersection of Main Street, Ann Uccello Street and High Street. Apartment buildings in that area would be two-to-three stories high — as opposed to the six- or seven-story structures planned for Trumbull and Market streets — because they are closer to the northern neighborhoods, Salvatore said.
His plan also calls for about 2,000 parking spaces. A large garage with about 1,000 spaces may be located on the property near Market Street to accommodate ballpark spectators. The city is in closed-door negotiations with Salvatore as both sides try to hash out a contract. Salvatore said Tuesday that he has asked for a 99-year lease on all of the parcels. Hartford officials have not released details of the proposed agreement, including whether any tax abatement is involved. RMS Companies was the sole bidder on the project. Kiley Gosselin, Hartford’s interim development director, said the city had a choice of whether to proceed with RMS or select no one, and that Salvatore’s plan fit the criteria.
The New Canaan developer envisions market-rate apartments flanked by substantial retail space, including a 30,000-square-foot grocery store, restaurants, coffee shops and art galleries. The retail would be concentrated on the ground level along Main Street.
The more than $200 million project would be financed primarily with private funds. RMS will also pursue a loan from the Capital Region Development Authority similar to what the group has given others with robust developments, Salvatore said. He did not disclose a dollar amount. Council members expressed cautious optimism about the proposal, but pressed Salvatore and city leaders about the lack of “affordable housing” — units priced for lower- and middle-income households. Jimmy Sanchez, the panel’s majority leader, and John Gale, the assistant majority leader, called for a split of 80 percent market rate and 20 percent affordable apartments.
“All of these projects should have economic diversity in terms of the people who are living there,” Gale said after the presentation at city hall. “That is what makes a city healthy.”
Council members also called for an agreement that requires a percentage of the construction workers to be Hartford residents, and asked that they be paid a “living wage” — salaries that exceed minimum wage.
Salvatore said he would aim for a deal that mandates Hartford residents be hired, and that he would weigh affordable housing as part of his plan.
The council still must approve the project. Gosselin said she hopes to submit a term sheet to the panel this fall with details of a lease agreement.
At least one public hearing is expected to be held before then, though no date has been settled on. A series of community forums will also take place after the proposal is sent to the council.

State Treasurer Will Abstain From $10 Million Toll Study Vote As Opposition Mounts


The State Bond Commission is traditionally a noncontroversial body with plenty of agreement on a variety of construction projects and capital improvements.
But Gov. Dannel P. Malloy’s $10 million study of electronic highway tolls has changed all that. The latest opposition came from State Treasurer Denise Nappier, who said Tuesday that she will abstain from voting at Wednesday’s meeting because she has concerns about the study.
Nappier’s announcement follows objections from Democratic Comptroller Kevin Lembo and two Republican legislators on the 10-member commission who also plan to vote “no.” Malloy chairs the commission, and the measure will pass if he and five fellow Democrats vote in favor.
State Attorney General George Jepsen announced in a radio interview that he would vote in favor of the controversial study after stating that the $10 million is “just a drop in the bucket’’ if it improves the efficiency of tolling as a revenue generator for years to come. 
“It’s a drop in the bucket, to be honest with you,’’ Jepsen told the host, Chaz, on the popular “Chaz and AJ” morning radio show. “It will much more than pay for itself over time.’’
“You’re flushing $10 million down the toilet,’’ responded Chaz, who avoids using his last name on the show. “Why don’t we do the study when we have the next governor?’’
Nappier has issues with Malloy’s proposal, which is rare because she has consistently voted in favor of hundreds of items pushed by Malloy at the bond commission over the past eight years.
“My biggest concern with this proposed study is that it is too narrowly focused,’’ Nappier said. “The state ought to consider a more comprehensive menu of alternative financing sources, including public/private partnerships and other ways we can attract institutional investors, such as pension funds, both domestic and international. I also question the nature and timing of the toll study … that would justify the state’s $10 million expenditure as reasonable.’’
Nappier added, “I would support a reasonable allocation of bonds for a broader study of funding sources, including — but not limited to — tolls. Then, the next governor and legislature could continue this important policy discussion armed with information that they will need to chart the appropriate course forward.’’
Senate Republican leader Len Fasano of North Haven sent a letter Tuesday to Nappier, asking her to consider switching from abstaining to a “no’’ vote.
“I know you are aware that abstaining from this vote translates to a silent ‘yes’ in support of this study, despite your clear opposition to the proposed spending,’’ Fasano wrote. “If you oppose this study, you are duty-bound as treasurer of the state of Connecticut to state your no vote on the record.’’
When asked about Nappier’s planned abstention, the governor’s office replied that the study is necessary.
“This study will give the legislature the necessary information they need to address the state’s future transportation funding,’’ said Chris McClure, Malloy’s budget spokesman. “Connecticut faces significant costs associated with maintaining our existing infrastructure, let alone building a more dynamic system that will decrease traffic, increase safety and help employers to grow more jobs. A complete picture of our options in addressing these needs is a logical and necessary next step toward fixing transportation in Connecticut.”
In a related matter, the head of the state trucking association said Tuesday that politicians have been incorrect in repeatedly stating that out-of-state trucks get a free ride through Connecticut because there are no highway tolls.
Out-of-state truckers actually pay about $26 million to $30 million annually to the state in taxes, said Joe Sculley, president of the Motor Transport Association of Connecticut.
“Through the International Fuel Tax Agreement, out-of-state truckers pay diesel fuel use taxes for the fuel that they use while traveling in Connecticut,’’ Sculley said. “They pay regardless of where the fuel was purchased, which can often be outside of Connecticut.’’
Sculley said out-of-state trucks also pay fees for vehicle registrations to Connecticut that are based on the miles they drive in the state. These facts, he said, are little-known to the general public.
“The industry understands that these programs are complex,’’ Sculley said. “We want the public to know about them because we believe it shapes public perception, which often helps shape policy.’’