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Tetreau Offers Update On Fairfield Metro Project

It has been just over 30 days since the June Representative Town Meeting where I reported the potential cost overruns on the Fairfield Metro Center Project.  I believe it is important to give everyone an update on our progress since that presentation.  Here is what we have accomplished, so far: 

I have instituted a standing meeting for the project team every day at 4 p.m. This focuses the team on daily progress for each of the initiatives underway to find the best solution for the Town. We are exploring every avenue, every suggestion. 

I have also instituted weekly financial updates with the team leaders and our Town’s Chief Fiscal Officer Paul Hiller. His department is now an integral part of the management process. 

We are working with the Independent Auditor brought on by the Board of Finance to get all their questions answered in a timely fashion. 

We are making progress every day on providing the RTM and the Board of Finance with answers to their list of 58 Questions which were a follow up to the June RTM meeting. 

I have hired a Construction Manager for the duration of the project to make sure we are doing everything possible to minimize the costs to the Town to complete this project. 

I have engaged independent legal counsel to review the project contract and to help us explore all of our options moving forward along with the costs involved.  This firm has not been involved with the Town on any prior legal issues. I shared the opinion of Town bodies that this was an important criterion to remove any question that we have an independent and completely objective opinion.

I have also engaged a second legal counsel to review our contract approval process. Many questions have been asked about the revisions to the Metro Center Project contract last spring from whether this was a revision or a new contract to whether all the money being spent has been properly approved by the various Town bodies. Independent Counsel will help assure us that all the relevant rules and guidelines are being followed regarding contracts and commitments.

 

Our team is exploring every option for securing funds to complete this project. We are talking to the State Department of Transportation about parking revenue options. We are talking with the State Department of Environmental Protection about options for storing the excess contaminated soil. We are talking with the State Department of Economic and Community Development on possible loans or grants to assist with any needed financing. We are talking with Black Rock Realty about their responsibility regarding the disposition of the excess soil and any cost overruns. We continue to work every day to minimize the project costs going forward. 

We have a very tight timeline. We cannot spend more than has been authorized by the Town bodies. This means that in early September, if nothing changes, we will have to stop work on the project.  If we have to stop, this means the costs to restart would be added to the estimates to complete the project. If we terminate the project before completion, we may have significant termination costs and possibly legal costs determining who pays for what – the Town, Black Rock Realty or the State.  This option could result in total expenditures far exceeding the cost to complete the project. 

The immediate goal is to confirm our obligations under our existing agreements, our options for moving forward (or not) and the costs associated with each option. I will be making a detailed presentation to the Board of Selectmen on August 24th. I do anticipate making a request for additional funding that the Board of Selectmen, the Board of Finance and the RTM will all have to approve. My staff and I are fully engaged in providing all the information needed to these bodies to make an informed decision on the least costly and most beneficial option for the Town. 

Mike Tetreau

First Selectman

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