CT Construction Digest February 3, 2022
Federal grand jury looking into State Pier, school projects
New London — A federal grand jury has issued a subpoena for documents involving Kostantinos “Kosta” Diamantis, the former head of state school construction project grants who was picked a year ago by Gov. Ned Lamont to oversee the Connecticut Port Authority’s State Pier project.
The subpoena was issued on Oct. 20, shortly before Diamantis was placed on leave from his position as deputy secretary in the Office of Police and Management during probe of the hiring of his daughter Anastasia for a state position in the Division of Criminal Justice.
Diamantis had been both the deputy secretary of the OPM and director of the Office of School Construction Grants and Review and had been involved in the approval process of New London’s $150 million school construction budget. He retired following his suspension.
The subpoena, obtained by The Day on Wednesday as part of a Freedom of Information Act request, reveals that the FBI requested all electronic communications starting from Jan. 1, 2018, involving Diamantis and “(1) the planning, bidding, awarding, and implementation (including the construction process) of school construction projects; (2) the planning, bidding, awarding and implementation of hazardous materials abatement projects; and (3) the Connecticut State Pier infrastructure improvements project.”
A grand jury subpoena is used by the federal government to gather evidence as part of an investigation. The focus of the investigation remains unclear.
Hartford Courant columnist Kevin Rennie first raised questions on Oct. 1 about Chief State's Attorney Richard Colangelo Jr.'s hiring of Anastasia Diamantis, at the same time Colangelo was petitioning Anastasia's father and other officials for raises for himself and other prosecutors.
The report from a separate independent ethics investigation of Colangelo, Diamantis and his daughter, which the state released Wednesday, said the three gave conflicting accounts to investigators that “cast doubt on the integrity of the circumstances surrounding Anastasia's hiring,” the Associated Press reported. Colangelo denied there was an improper motive, but the report said “multiple (Criminal Justice) Division officials confirmed expressing concerns to Mr. Colangelo in June 2020 that the Division's hiring of Anastasia created at least an appearance of a conflict.”
Former Connecticut U.S. Attorney Stanley A. Twardy Jr. was commissioned by the governor’s office to examine whether Colangelo’s hiring of Anastasia violated state ethics rules, the Connecticut Mirror reported Wednesday, but neither his inquiry nor his report dealt with the construction projects under review by the FBI.
At the time that Anatasia Diamantis was hired by Colangelo, she had a second job working for Construction Advocacy Professionals, a school construction management company, the CT Mirror first reported on Dec. 3. That position was not on her resume but was referenced in emails she wrote that were obtained under the Freedom of Information Act, the Mirror reported.
Colangelo had told the Mirror in an interview that he was aware of Anastasia’s outside employment, but he and Anastasia gave conflicting accounts to Twardy regarding whether she disclosed it. When asked if he was aware of allegations by a "former CAP employee that Anastasia was a 'ghost employee' at CAP to bribe Mr. Diamantis in his then position as Deputy OPM Secretary, Mr. Colangelo stated he had no knowledge of those allegations at that time," Twardy wrote. "He stated that had he been aware of those allegations at that time, he might have followed up with Anastasia concerning her then concurrent part-time employment with CAP."
Colangelo's office said he was reviewing the report before he would comment, the Mirror and other news sites reported.
In a follow-up request to the state Department of Administrative Services, documents show federal authorities on Oct. 28 requested that DAS prioritize keywords in its search for responsive documents. Those keywords did not include State Pier or the Connecticut Port Authority. They did include: Anastasia, Daughter, Antonietta, DiBenedetto-Roy, DiBenedetto, Roy, "Construction Advocacy Professionals" or "CAP" (all capitals), Capyourbudget.com, FBI, Gift, Wedding, Guiliano, Ouellette and other names.
With Diamantis gone, the Connecticut Port Authority in December introduced Noel Petra, deputy commissioner of the state Department of Administrative Services, as the person to lead oversight of the State Pier project.
In October 2019 the authority entered into a memorandum of agreement with the Office of Policy and Management and Department of Administrative Services for management and support services relating to the project’s construction and procurement activities.
STAMFORD — Less than a day after an outdoor patio collapsed at one of its Harbor Point buildings, Stamford’s biggest developer said it would launch new building inspections at some of its high rises.
Building management at the Allure — a luxury apartment complex built in 2017 by Building and Land Technology — told residents Tuesday afternoon that part of a fifth-floor outdoor terrace collapsed over part of its garage. City fire and building officials have ruled the area structurally sound and safe for residents.
The company later announced that “no one was injured and no property was damaged.”
BLT told residents in an email that the construction and engineering teams on site ruled called the collapse “an isolated incident.”
But in the wake of the collapse, the company told The Stamford Advocate that it would take a critical look at some of its properties.
“As the safety, health and wellbeing of our residents is always our top priority, we plan to ensure this remains an isolated incident by further inspecting our properties,” a BLT spokesperson said.
Though the company emphasized Allure’s structural integrity, there are still questions on what caused the accident.
“BLT engineers and city building officials are investigating the root cause of this incident and then setting a timetable for remedial work,” BLT said in its statement. The city confirmed that it will “conduct visual inspections of other similar locations” throughout the city.
“The City expects full cooperation with that effort,” mayoral spokeswoman Lauren Meyer wrote Wednesday night in a press release.
Regardless of reassurances from the city and BLT, some residents found themselves filled with concerns over the collapse. Maris Cohen, who moved to the Allure in July 2020 from New York City, said she’s uneasy with how little information she currently has on the accident.
“It could be that it really is structurally sound, but this building was built like two years ago,” she said shortly after the incident.
Cohen and other Allure tenants lamented on social media that they knew little about what had happened and expressed serious concerns about the future of the building.
DANBURY — Negotiations between the city and the developers of the Summit have hit a snag when it comes to the proposed career academy that has put into jeopardy the future site of the $144.5 million school.
Mayor Dean Esposito terminated negotiations between the city and developers a few days ago, disagreeing with some terms, he said. The two sides are expected to meet Thursday, however, to see if they can move forward with an agreement.
“My goal right now is to open up negotiations again with (SC Ridge LLC) and hopefully come to a better agreement,” Mayor Dean Esposito said. “The terms we met with and they had were unacceptable to us.”
At the crux of the negotiations is the city’s purchase of three pods in the 1.2 million-square-foot, mixed-use building on the west side to build a school serving 1,400 middle and high school students. Danbury and the developers have worked closely on the project, which is meant to address rapid student enrollment increases.
The negotiations trouble comes days after word the estimated cost of the project has increased 46 percent to $144.5 million. City officials hope a state grant will cover 80 percent of the cost. The Zoning Commission last week approved a master plan for the Summit that included the academy and reduced the number of apartments.
Mike Basile, the Summit’s project manager, confirmed his group is scheduled to meet with the city on Thursday.
“We are hopeful that we can come to terms,” he said in a text message.
The uncertainty, however, led Superintendent Kevin Walston to email school board members on Wednesday evening to tell them the negotiations had “collapsed” and the city couldn’t proceed with construction of the school at the Summit site.
“To be clear, the Career Academy is still moving forward,” he wrote. “This setback only affects the location on which our students and teachers will sit.”
He said district leadership has begun internal discussions about alternative construction locations and will proceed with the concept the board approved.
“I personally took this news very hard as this academy has been a deeply personal project for me and my leadership team, who was invested in it since its conception,” Walston said. “But due to the nature of the circumstances, we commend the city for acting with integrity and understand the need to change course.”
Negotiation breakdown
Anthony Rizzo, Jr, owner of Rizzo Corp., construction contractor for the Summit, hopes a deal could be reached within a couple weeks, if not sooner.
“From everything I see, I believe both parties want to get it done,” he said.
The parties started negotiations a few weeks ago and had come to a “nice agreement we were all in favor of,” Esposito said. Three items related to the career academy and negotiations were placed on the agenda for City Council’s Tuesday meeting.
“It was an agreement that we both liked,” Esposito said. “The price was right and the terms were right. I do believe that we can come back to the table and get closer to what we were looking at that day.”
The day after, the Summit returned with new concessions, and Esposito said he made the “really tough” decision to walk away to pursue other options for the schools.
Danbury could build the academy on city-owned or privately owned property if plans for the Summit fall through, Esposito said.
“The two new locations are doable as far as price, as well,” he said.
Under one option, the city would build an addition onto the Broadview Middle School campus and construct a free-standing building near Danbury High School. The career academy curriculum the school district has been creating would be at the “forefront” of those schools, Esposito said.
This could be potentially less expensive than the existing plan because it’s city-owned property, he said.
With a more “extreme” option, the school would be built partially with an existing building a privately owned property, he said. He declined to go into details.
He said the school could still open in fall 2024 as planned “if we expedite the process.”
Confusion
Esposito’s withdrawal of the items on the council’s agenda sparked confusion on Tuesday and Wednesday with not all city leaders entirely sure the status of negotiations, nor the future of the project.
Democratiac Councilman Duane Perkins said he’d like the city to communicate the status of the project.
“That may go a long way in helping to calm some nerves and give some assurance that the project is moving forward,” he said Wednesday.
Vinny DiGilio, City Council president, said the items were withdrawn from the agenda because “it was just not ready for the action to be taken.”
“I very much know it’s a priority for the mayor,” he said. “The mayor is quite an open-minded person, but he’s representing the students and the taxpayers of Danbury to make sure all the aspects of the negotiations and the deal and the proposal are mutually beneficial.”
Democratic Councilman Ben Chianese didn’t know the status of the negotiations on Wednesday, but was part of a group touring the Summit with developers last week.
“It was all positive,” he said. “They wanted to see this done. They were eager to get it going. They didn’t want to see any delays.”
Cost increase
Danbury again will need to seek legislation to receive state funding due to the expected increased cost.
Connecticut’s Office of School Construction Grants has been considering Danbury’s grant application through a pilot program created through state legislation, rather than the typical process. This is because, unlike other school construction projects, the school would be built from an existing commercial building and on private property.
“As you know, the project price changed dramatically due to external factors (inflation, supply chain, and construction costs) which has affected the entire process and it is now up to the municipality to pursue this through the legislation,” John McKay, spokesman with the Department of Administrative Services, said in a statement. “OSCGR [Office of School Construction Grants] is giving Danbury as much assistance as possible to facilitate their school needs and we look forward to working with them.”
State Rep. Ken Gucker, D-Danbury, told the council Tuesday night that he’d do everything he could to ensure the state funds the project.
“How we go forward is we do the best for our students,” he said. “We do our best to support public education that will help all kids, we support our teachers, we make sure this project goes forward.”
Gucker said the mayor told him a couple weeks ago the city would need the delegation’s support due to rising costs for the academy, but Gucker didn’t realize the increase was so significant until he saw the council agenda on Monday.
In its school construction grants, Connecticut typically covers 80 percent of “eligible” costs, but Gucker said he’s heard the state would reimburse the city a “straight” 80 percent.
The increase is “substantial,” but the cost to the city would only be roughly $9 million more if the state covers 80 percent of the cost, DiGilio said.
“At first glance it’s shock and awe with such a large increase — 46 percent, I think is what I noticed — but when you really break it down, it’s much more palatable and in the total project perspective, not too bad.”
Warren Levy, the council’s Republican majority leader, said the increase “hurts” but is understandable given costs are rising elsewhere.
“We all know that we’ve seen the expenses go up in our grocery bill, certainly on the gas in our car and the interruptions in the supply chain has caused shortages, which has driven costs up,” he said.
But Perkins questioned the extent COVID factors played in the cost increase.
“It just seemed a little unusual, even if you factor in COVID and inflation and worldwide logistic problems,” he said. “It just seems a little exorbitant.”
In his letter to the council, the mayor had said the design drawings and educational needs were among the factors.
State Sen. Julie Kushner, D-Danbury, said she’ll push for the grant approval. She sees the career academy as a model for the state and nation. The school would allow students at the academy and Danbury High School to study various career pathways.
“I’m still very committed to the career academy,” she said. “It’s going to be great for Danbury. The thing I love about the career pathways and the career academy and the whole approach is it’s not going to be just for a segment of kids. It’s going to be for all of Danbury.”
DANBURY — Blueprints for the biggest development of apartments and commerce in the city have prompted concerns about safety, circulation, and environmental impact as the 1.3 million-square-foot project faces its first public hearing.
“[O]n the potential problem of emergency access should an emergency along or within the main access drive prevent access to any part of the development … (t)he issue of public safety is a serious concern that requires mitigation,” said Jennifer Emminger, Danbury’s deputy planning director, in a lengthy 10-page notice to the developer of WestConn Park on Mill Plain Road. “[A] second means of access must be provided.”
Emminger is referring an 11-building proposal by Danbury developer Albert Salome for apartments, offices, stores and assisted-living facility on 31 acres in the heart of the booming west side. The project, which would include a bank, a restaurant, a coffee house and retail shops along Mill Plain Road, would require 1,000 parking spaces and attract 650 more vehicles during rush hour on the already congested stretch between the Stop & Shop and Amity Lane.
Traffic promised to be a focus during the first public hearing about the proposal by the city’s Planning Commission on Wednesday.
The developer’s traffic consultant estimates that the level of service at the nearest intersections with traffic lights would “degrade” from a current rating of “C” to a rating of “D” in 2025 if WestConn Park is developed as planned.
If “D” sounds like a bad rating, it is, according to the developer’s traffic consultant, Vanasse Hangen Brustlin, of Wethersfield.
“Similar to a report card, (level of service) designations are letter based, ranging from A to F, with A representing the best operating condition (lowest vehicle delays) and F representing the worst operating condition (highest vehicle delays), VHB said in a 200-page report submitted to the city’s Planning Department.
Salame’s proposal for a mostly undeveloped landscape south of Western Connecticut State University’s west side campus and west of a residential neighborhood calls for 200 apartments in three four-story buildings, a 90-bed assisted living facility, a 50,000-square-foot office building with a garage, a two-story retail and office building, a bank with a drive-thru window, a 100-seat restaurant, a 30,000-square-foot building with shops, and a coffee house.
To make all those elements work, a narrow private road on the western border of the property called Amity Lane would be widened, extended, and fitted with traffic lights.
The property is the same location that Salame was marketing in 2005 as a science park.
WestConn Park is the largest and latest development on the west side of Danbury, which continues to be one of the fastest-growing cities in the state.
One mile west of the WestConn Park proposal, construction is underway on a 45,000-square-foot Caraluzzi’s Market and liquor store, for example. Further west and south, near the New York border, redevelopment is underway at the 1.2 million-square-foot office park known as the Summit, where the city hopes to build the first condominium-style high school and middle school in Connecticut.
Unlike the Summit, which last week had revisions to its master plan approved, Salame and WestConn Park are just beginning land use review.
Safety is at the top of Danbury’s concerns, particularly with last week’s winter storm still fresh in officials’ minds.
“The (Planning) Department is concerned about whether the project site can adequately and safely operate during inclement weather conditions,” Emminger said. “The applicant must provide a plan that addresses snow removal or winter maintenance on the site.”
Among the two-dozen issues Emminger raised in her notice to the developer were requests for more information about blasting, about how retaining walls as high as 50 feet would be constructed, and about rights the developer is yet to secure from neighboring property owners to make the site’s infrastructure work.
In addition, Emminger and other city officials want the developer to build sidewalks — not only on Mill Plain Road but within WestConn Park itself.
“The absence of connecting sidewalks within the development promotes and encourages auto dependency as the primary means of access, rather than walking or bicycling,” Emminger said. “Residents would be required to walk along the edge of the main access drive if they wish to visit any of the commercial business within the development. Additionally, the lack of sidewalks provides little-to-no options for residents and school age children who require access to school bus or public transportation along Mill Plain Road.”