July 18, 2025

CT Construction Digest Friday July 18, 2025

ARTBA Chair Joins Sec. Duffy to Build Momentum for Surface Transportation Reauthorization

What happened: ARTBA Chairman Jeff Nelson of David Nelson Construction July 17 urged the U.S. Department of Transportation (DOT) to pursue sensible reforms during a roundtable discussion with Transportation Secretary Sean Duffy on surface transportation reauthorization.

Duffy told Nelson and other transportation construction industry stakeholders the administration wants to focus on project delivery improvements and reiterated his desire to build more with less money. Nelson highlighted ARTBA’s reauthorization priorities, including Buy America regulations, making work zones safer, concerns with the Occupational Safety and Health Administration’s pending heat rule and the need for growing, not decreasing, investment.

The roundtable was followed by a rally at DOT headquarters that featured construction equipment courtesy of ARTBA member Wagman, Inc. The event launched the administration’s reauthorization effort and featured speakers included members of Congress. Senior DOT officials touted the opening of a portal for citizens to submit reauthorization recommendations.

Why it’s important: The House and Senate have already begun the surface transportation reauthorization process well in advance of current law’s Sept. 30, 2026 deadline. Having the administration pushing for a new law to be enacted on time should prove helpful.

What’s next: ARTBA staff July 9 briefed Federal Highway Administration officials on the association’s reauthorization priorities and will continue working with the administration and Congress to advance the industry’s goals.


Construction costs rise as tariff clock ticks

Sebastian Obando

Construction input prices ticked up 0.2% in June, driven by increases in key materials such as copper and fabricated structural metal products, according to an Associated Builders and Contractors analysis of U.S. Bureau of Labor Statistics’ Producer Price Index data.

Input costs now sit 2.1% higher overall and 2.5% higher for nonresidential construction compared to a year ago, according to the report. Through the first half of 2025, nonresidential prices climbed at a 6% annualized rate.

The June data predates the steepest tariffs set to take effect Aug. 1, leaving contractors bracing for more volatility as additional duties loom.

Contractors absorbed another round of steady cost increases in June, even before the most aggressive tariffs take hold later this summer, according to the Associated General Contractors of America.

Aluminum mill shapes climbed 6.3% over the past year, steel mill products rose 5.1% and lumber and wood products increased 4.8%, according to the report. More extreme increases hit certain structural steel components, including a 22.5% spike in fabricated metal for bridges and 8.3% for bar joists and rebar.

“The fact that construction materials prices are rising even before the steepest proposed tariffs have taken effect doesn’t bode well for what will happen in August if the promised new tariffs are implemented,” said Ken Simonson, AGC chief economist. “Rising construction costs and economic uncertainty are already causing some owners to put projects on hold, which will only get worse if costs jump again.”

The Trump administration raised steel and aluminum tariffs to 50% last month and plans to impose a similar 50% duty on copper on Aug. 1. Broader import restrictions also still remain under consideration.

At the same time, inflation appears once again to be gaining momentum. Core good prices, excluding automobiles, increased at their fastest pace since late 2021 in the June Consumer Price Index report, signaling additional risk for contractors on the horizon, said Anirban Basu, ABC chief economist.

“Nonresidential input price escalation has accelerated in 2025,” said Basu. “While it is unclear how and when trade policy will affect construction materials prices, the impact was evident in June’s CPI release.”

Nevertheless, Basu said many contractors remain upbeat about their margins. That outlook may reflect federal tax changes under the One Big Beautiful Bill Act, which made 100% bonus depreciation permanent and helped offset some pressure from rising input costs.

Economic uncertainty remains extraordinarily elevated,” said Basu. “What is all but certain is that the Federal Reserve will not be cutting interest rates at its July meeting. Despite higher-for-longer interest rates and rising input prices, contractors remain relatively optimistic.”

Still, AGC officials warn confidence may erode if tariff-driven increases persist. If costs spike too sharply, more developers may choose to delay or cancel projects outright, according to the report.

“The construction industry is poised to benefit from greater tax certainty as well as the administration’s efforts to streamline permitting and reduce needless regulatory burdens,” said AGC CEO Jeffrey Shoaf in the release. “Finding a way to provide greater certainty on materials prices is the best way to make sure the new tax and regulatory approach have the best possible impact on economic activity.”


New Haven approves 150-room downtown hotel, though possible bar creates pushback

Brian Zahn

NEW HAVEN — The City Plan Commission approved an application for 150-room extended stay hotel with a restaurant that will be built at the site of an old laundromat.

Pennsylvania-based developer's Residence Inn proposal for Park Street between George and Crown Streets was approved in 3-1. It will build a six-story hotel at the site of a vacant laundromat and medical services office, which will be knocked down.

The vote came after a public hearing, which had been requested by commissioner Alder Adam Marchand, D-25. Marchand, who at a June meeting said he wanted to respect the wishes of his aldermanic colleague Frank Douglass, D-2, in granting the hearing, was the lone vote against the proposal.

“I feel a little bit uncomfortable,” Marchand said. "It has not been definitively demonstrated that this would comply with the parking requirements for a hotel that has a restaurant in it.”

The primary issue for residents testifying against the proposal, most who identified themselves as being affiliated with New Haven Rising or local unions, was the proposal to include a bar in the hotel's lobby because of the potential implications the required license would have on minimum parking requirements.

Attorney Carolyn Kone, who represented the application before the commission, said the specific liquor license is irrelevant, because the 75 parking spaces included in the plan satisfy any minimum requirement.

"Under any scenario this restaurant complies with New Haven zoning,” she said.

One feature of the plan approved Wednesday is that the bar area would be separated by a locking door, making it separate from the rest of the hotel for the purposes of licensing.

Marchand said his support for the application would be contingent upon confirmation about whether the hotel bar would be licensed as a hotel bar or as a restaurant because of the different implications for parking.

Kone said she'd be unable to receive that information without an approved site plan.

City Plan Director Laura Brown said the proposal to make approval contingent upon the liquor commission was without precedent, to her knowledge.

"I don't know if in the past we have ever checked with the liquor commission prior to zoning compliance to ensure that a liquor permit could’ve been attained based on a certain type of use,” she said. “I stand by our staff report," which recommended approval of the application.

Marchand said he did not intend on voting the application down on Wednesday, but he wanted to further delay the application to receive more information. 

At the commission's June meeting, commissioners Leslie Radcliffe and Joshua Hoesen voted against having a public hearing on the application, arguing that the application adhered to the city's zoning regulations. Commissioner Joy Gary, who voted in favor of the public hearing in June, sided with Radcliffe and Van Hoesen in approving the application Wednesday.

The units will have kitchen, dining, living room and bedroom areas and are aimed at people visiting for work — such as traveling nurses — or experiencing hardships, including patients or families of patients at the nearby hospital and families who can't be at their homes due to flooding, fire or other disasters.


Developer proposes 92 apartments across from sub base

Kimberly Drelich

Groton — A developer is proposing 92 apartments across from the Naval Submarine Base to accommodate an increasing demand for housing from Electric Boat workers and the Naval Submarine Base.

The proposal from Crystal Lake LLC, whose principal is Josh Poitras, calls for two three-story buildings of 14,120 square feet and 13,130 square feet. The development would include a clubhouse, storage building, pool, grilling area, fire pit and walking trail, according to the application.

The Planning and Zoning Commission discussed the applications last week and continued a public hearing on a special permit application until Aug. 12. The site plan application will also be on that meeting's agenda.

Project attorney Bill Sweeney said the proposed apartment complex at 0 Crystal Lake Road responds to the need for new multifamily housing to serve the expansion of Electric Boat and support the submarine base. He cited that Groton's 2021 housing market study, updated in 2023, identified the need for up to about 6,500 new housing units in the greater Groton area.

Sweeney said the developer worked closely with the Navy and though the development will not be Navy housing, many service members are looking for high-quality housing in Groton, especially close to where they work.

The Planning and Zoning Commission in January had approved another housing complex, with 54 apartments, at 1002 Route 12, across from the base.

Sweeney pointed out the Crystal Lake Road project is also located across from the submarine base, with an auto repair facility to the immediate west and not far from the Submarine Force Library and Museum. To the south and through a wooded area is a neighborhood of single-family homes, and to the east there are rental apartments along Crystal Lake Road.

The 8.4-acre project site, located within a Commercial, Neighborhood zone and the Nautilus Memorial Design District overlay zone, is steep and there is evidence of past excavation work. He said it also has a limited inland wetlands area, including a manmade one that will be filled with approval from the Inland Wetlands Agency.

The site had a previous zoning approval from 1999 for a multi-unit development that was never built, he said. That approval has since expired.

Sweeney acknowledged recent public discussion over residential development in town and concerns over whether there is enough public space and facilities to support these projects. But he pointed out the Crystal Lake Road site was previously approved for multi-unit dwellings and its topography and location makes it appropriate for little else than residential development.

He added the development has few direct residential neighbors and the developer worked closely with the Navy to ensure the project integrates within the neighborhood and meets the Navy's needs.

When reviewing a traffic analysis, commission member Hal Zod raised concerns over the impact of drivers making a left turn out of the development during morning rush hour to go the submarine base, and whether the road or the timing of the lights would need to be improved to accommodate that.

Sweeney said a traffic engineer will provide an opinion to certify the site's ability to accommodate the drivers taking that turn or determine whether the plan needs to be tweaked.


State DOT gives Stamford $1.43 million to replace Old Long Ridge Road bridge

Ignacio Laguarda

STAMFORD — The city recently received a grant of $1.43 million to help pay for the replacement of an aging bridge on Old Long Ridge Road.

The small bridge, which is about 500 feet north of LaRocca's Country Market, runs over the east branch of the Mianus River in Stamford. It was originally constructed in 1940, according to City Engineer Lou Casolo.

Casolo said the city submitted a grant application to the state in May and received a conditional commitment from the state Department of Transportation to fund 50% of the eligible costs.

Based on the initial application to the DOT, the total budget for the project is $2.87 million. 

An inspection report attached to that application includes a line titled "structure evaluation" in which the bridge receives a grade of two — indicating critical condition — and is described as "intolerable requiring high priority of replacement."

The work would include removing the existing bridge and replacing it with a new precast concrete structure while reconstructing about 70 feet of roadway. 

"The city is currently in the process of requesting local funding authorization and procuring a bridge designer for a project scope to replace the structure due to its condition," Casolo wrote, in an emailed statement.

He added that the bridge — typically a two lane street — is currently reduced to carrying one lane of alternating traffic using a stop control. Once the replacement is complete, the structure will go back to accommodating two lanes of opposing traffic.

"Following the completion of the design and obtaining of all necessary regulatory permitting, bidding for construction will follow," he wrote.

Casolo estimated that the design process could be completed by next summer with construction expected to last an entire year.

"The bridge will remain open to alternating traffic until the start of construction," he wrote. "Afterwards there will be a detour route during construction."

The Connecticut Department of Transportation awarded a total of $17.3 million in grant funding for 15 bridge projects under the state-funded State Local Bridge Program. 

Under the program, which provides funding for locally-owned bridges, the state department provides guidance to local municipalities. Cities and towns are expected to administer all the design and construction aspects of their individual projects.

“This program helps keep locally-owned bridges in good repair, ensuring they remain safe and reliable for all travelers,” said Connecticut Department of Transportation Commissioner Garrett Eucalitto. “As the program continues to deliver real results for communities both big and small, its popularity grows year after year. We’re proud to support these efforts and get the projects to the finish line.”

Since 2016, the program has provided approximately $162 million in grants to Connecticut cities and towns.