Agency of Administration warns House cuts could delay correctional facility projects

Nick Kramer, chief operating officer for the Agency of Administration, told the Senate Committee on Institutions on April 10 that an April 8 agency letter highlights several House changes to the Governor's recommended capital bill that the administration believes merit further review.

Kramer began the briefing by praising one House action: "we were thrilled to see this year that the entirety of that transfer is retained in the capital bill," referring to the statutory cash fund transfer the Governor had recommended. He said the full transfer is an important fiscal discipline amid federal revenue uncertainty.

But Kramer told senators the letter flags a handful of specific reductions that could affect projects already underway. He said the House cut $2 million from a statewide door-control replacement line the administration had proposed to finish work at the Northeast Correctional Facility and the Caledonia Community Work Camp. "If we don't have the guarantee of this money moving forward, what the project team will have to do is postpone this phase of bidding and this could result in a delay of 6 to 8 months," Kramer said, noting a signed construction-management contract is already in place for that work.

Committee members pressed timing and accounting questions. Kramer and other agency staff said prior appropriation documents used during House markup showed large sums previously appropriated but low expenditure records in the House presentation; the agency reported an unexpended prior balance of about $150,000 before the contract milestone that triggered major spending. Kramer described how milestone spending can change a project's apparent readiness between fall planning and House action, and recommended the committee follow up with project managers for exact dates and spending details.

Kramer also said the House reduced a boiler-replacement appropriation for the Northern State Correctional Facility (Newport) by $1 million, a change he said would raise out-year costs and cause a modest delay. Senators and Kramer connected that cut to three-acre stormwater compliance work at several state properties. The agency reported eight state-managed properties in the stormwater pipeline (including correctional properties such as Middlesex and the Flagg Road complex) and said the House trimmed $1.5 million from the stormwater line across two fiscal years. "These are large, complex, expensive projects," Kramer said, urging the committee to hear from A&R and DEC staff on permitting and remediation timelines.

Senators asked whether stormwater remediation could gate other projects. Kramer agreed it could, citing Newport as an example where pond or wetlands work may need to be completed before new boiler equipment can be operated.

The committee also discussed a proposed $3 million capital request to expand Wi‑Fi in state correctional facilities. Kramer said DOC and the Community Broadband Board have pursued federal and congressional-delegated funding and that a forthcoming federal decision could cover some or all of the project. He warned the project carries recurring operating costs and security and planning needs: "this is not a straightforward endeavor," he said, and the agency felt it was premature to allocate $3 million from state capital capacity while other funding avenues were being pursued.

On a long-running site-search for the so-called "Mr. Glenn" correctional facility, Kramer said the administration has approximately $15.5 million in prior appropriations that are unspent and unallocated and would suffice to move quickly if a viable site were identified. For that reason, he said, an additional $1.25 million proposed by the House is "not necessary at this point." Kramer closed by offering to return with department project managers to answer technical follow-ups.

The committee did not take formal votes during the session; members asked for follow-up briefings from project managers and state technical staff on contract timing, permit status and the specific list of stormwater sites. The committee is scheduled to continue capital-bill work next week.