The Connecticut legislature has passed House Bill 6650, entitled “An Act Implementing the Provisions of the Budget concerning the Judicial Branch, Child Protection, Criminal Justice, Weigh Stations and Certain State Agency Consolidations.” The bill, now Public Act No. 11-51, which is expected to be signed by Governor Malloy as part of his initiative to streamline Connecticut’s state government, will go into effect on July 1, 2011, and will have an immediate impact upon the administration of vertical construction projects with the State of Connecticut. This legislation dissolves the Department of Public Works (“DPW”) and establishes a Department of Construction Services (“DCS”) as an independent executive branch agency responsible for non-highway public works construction and construction management including administering most state capital improvement projects and selecting consultants to assist on those projects.

Once the bill is signed into law, Governor Malloy will appoint a new Commissioner of Construction Services, who will oversee the construction and development of state-owned buildings and real estate. Enforcement of the Fire Safety Code and the State Building Code will also be shifted from the Department of Public Safety to DCS. Consolidating Fire Code and Building Code enforcement to the new agency should help to avoid many of the code compliance headaches that public contractors have encountered in Connecticut over the past decade.

The bill also divides the responsibility for reviewing and approving school construction grant applications between the Department of Education and DCS. With the dissolution of the DPW, the Department of Administrative Services (“DAS”) will assume the responsibility for sales, lease and acquisition of property for state agencies, and the supervision, security and maintenance of state buildings and grounds.

There are some instances in which functions currently within DPW will be shared by DAS and DCS. The Commissioner of DAS will assist the attorney general’s office in negotiating purchase, sale and leasing of real estate. When a lessor of state property proposes alterations or additions in excess of $500,000, the Commissioner of DAS must consult with the Commissioner of DCS. The Commissioner of DCS will also assist the attorney general’s office in negotiating construction contracts.

This significant shake-up and restructuring of Connecticut state agencies will hopefully facilitate the administration of non-highway public works in Connecticut. Construction firms looking to bid public works’ projects in Connecticut in the coming months need to be prepared for potential changes once the new agency embarks on its mission.