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Democratic Party uses state contractor money to support Malloy

The Connecticut Democratic Party asked federal regulators earlier this month for permission to use a stockpile of cash from state contractors to support the reelection of Gov. Dannel Malloy, but rather than wait for a response the party began mailing advertisements using the money.

Since at least 2013, the state Democratic Party has used its federal account to collect donations from state contractors who are banned from giving directly to candidates or the party’s state account. The Federal Elections Commission has not ruled on the party’s request to use the money to influence a state election.

In many states, federal rules are stricter than state rules making it unlikely parties would use federal money for state candidates. However, in Connecticut the federal rules are more permissive in the sense that they don’t prevent state contractors from making contributions.

The ban includes owners and top decision makers at companies that have state contracts or receive state aid.

The most prominent example of this conundrum was Northeast Utilities CEO Thomas May, who solicited donations from his employees to support Malloy’s reelection through the federal account. At the time, it was thought the federal account could not directly help Malloy, but with the latest request to the FEC the link became clearer.

State law does allow parties to indirectly transfer federal account money to the state account by routing it through a national party committee.

The Democratic Party, through its federal account, has raised money from numerous state contractors and recipients of state aid, contributors who can’t give to the same party’s state account. The ban was put in place after Republican ex-Gov. John Rowland resigned and pleaded guilty to a federal corruption charge.

A number of employees at Northeast Utilities donated a year ago after the company’s CEO sent his controversial email. Employees of DOT contractor HAKS Engineers gave the party $45,000 last year and another $10,000 this year. Some of those donations may have been solicited at an event attended by Malloy. Leaders of a joint venture selected by DOT for a $500 million project in Stamford last year gave the party nearly $100,000 in donations since the agency made its decision – and while it negotiated a final agreement.

At least two medical marijuana dispensaries gave to the Democratic Party’s federal account. The Board of Regents chairman appointed by Malloy gave the maximum gift of $10,000 right before his appointment and again this year – as did his wife. One former donor to the Republican Party cynically redirected his support to the Democratic Party’s federal account after Malloy’s election; one of his companies went on to receive $6 million in borrowed state money.

The party also raised money from affordable housing developers, First Five companies, Mystic Aquarium and other recipients of state aid.

Brookfield Board of Education confirms termination of superintendent

The Brookfield Board of Education unanimously voted Thursday to terminate Superintendent Anthony Bivona, confirming a decision the board originally made in May.

The same board that fired Bivona earlier this year sat in judgment of him during a multi-part hearing that stretched on for months.

The board fired Bivona, who led the district for seven years, after auditors discovered the district had been using a gimmick to balance its budget. Bivona’s longtime business manager, Art Colley, resigned under scrutiny earlier this year.

The audit found that $1.3 million in school district bills had been pushed into the subsequent fiscal year. The town approved a supplemental appropriation of more than $1.1 million to bring the school district’s budget back into balance.

Bivona claimed throughout the hearing process he didn’t know what Colley was doing. The board’s attorney claimed Bivona should have known and the board agreed with his conclusion. Bivona’s attorney argued political pressure led to the firing making it arbitrary and illegal.

MDC liens property owned by Mayor Segarra’s husband for unpaid water bills

The Metropolitan District Commission has placed a lien for more than $2,000 in unpaid water bills on condos owned by Hartford Mayor Pedro Segarra’s husband, Charlie Ortiz.

Ortiz owns a number of properties in the city, including five of the units at 57 John St. where the MDC placed the $2,418 lien.

A spokeswoman for the mayor did not respond to requests for comment.

According to an attorney for the MDC, the lien is on all six units but each unit owes one-sixth the amount. The MDC will release the liens on each unit if its owner pays a proportionate share of the unpaid fees, plus a $26 release fee.

Rising MDC bills has become an issue for some South End residents, says Hyacinth Yennie, chairwoman of the Maple Avenue Revitalization Group.

Yennie said MDC bills have gone up, in some cases more than double, and they “are going out in a threatening way.”

She said one woman with a $900 bill told the MDC she couldn’t pay it all at once. “She was told, ‘No, you better send it all.’”

Carmen Duhaney, a South End resident, said her MDC bill went up from $210 per quarter to more than $400 per quarter. “It’s not affordable,” she said.

“Customer service was very nasty to her,” Yennie said. “They’re like pitbulls.”

Yennie said it’s also important to have oversight of the MDC. “There is no accountability when it comes to spending our money,” she said, explaining voters approved an $800 million MDC project in 2012. “We knew we were going to have to pay, but we didn’t know at what cost.”

“The plan is to have a meeting with the mayor,” Yennie said. “He’s so into this stupid stadium, I’m not sure I can get a word in.”

Out-of-state developer, donor gets another $1.3 million; total support $43 million

A Norwalk affordable-housing project received another $1.3 million in state support, bringing total government support to more than $43 million for a project with an out-of-state developer.

Boston-based Trinity Financial is leading the $110 million Washington Village redevelopment.

Patrick Lee, a co-founder and executive vice president of the company, gave $7,500 to the Connecticut Democratic Party’s federal account since 2013. State law would prohibit Lee, as a beneficiary of state funding, from making donations to candidates for state office or to the state party’s account to benefit those candidates. However, recipients of state funding and state contractors can give to the same party’s federal account.

The latest batch of funding is $1.3 million for brownfield remediation. Previously, the project received:

  • $30 million from the U.S. Department of Housing and Urban Development’s Choice Neighborhoods Initiative, which hopes to convert affordable housing into mixed-income housing.
  • $9.8 million from the state Department of Housing, passing through federal money intended for the Superstorm Sandy recovery.
  • $1.89 million as a low-income housing tax credit.

In November 2013, the party received thousands in donations from others with affordable-housing business, also through its federal account.

Teachers’ union official with state appointment describes herself online as a proud “union thug”

AFT Union Thug highlightA Connecticut teachers’ union official who holds an appointed position in state government calls herself a “union thug and proud of it” on her Twitter page.

Jean Morningstar is second vice president of the American Federation of Teachers Connecticut. Gov. Dannel Malloy appointed her to serve on the State Contracting Standards Board last year.

A recent tweet included a picture of Morningstar posing with Malloy.

After a fight over education reform including proposed changes to teacher tenure, Malloy and AFT have grown close again.

Malloy and AFT national President Randi Weingarten are expected Friday to tour schools together in Meriden and New Haven.

Last month, Malloy appointed Erin Benham, one of 22 AFT Connecticut vice presidents, to the State Board of Education.

In 2012, Malloy appointed Sharon Palmer, then president of AFT Connecticut, to serve as labor commissioner.