High School Contractor May Be Removed From State Certified List

     TLT Construction Corporation could lose its certification, following a state investigation of allegations that the general contractor for the Falmouth High School renovation had committed fraud.
     As a result of that investigation, Kevin Flanigan, spokesman for the Massachusetts Division of Capital Asset Management said, his agency notified TLT on July 2 that it was planning to decertify the construction firm. That would mean TLT would be unable to bid on public building projects.
     Last Friday, TLT filed a motion in Suffolk Superior Court, Mr. Flanigan said, to prevent decertification and to add DCAM’s name as a defendant in a lawsuit it has filed against the Massachusetts Attorney General’s office. TLT officials could not be reached for comment.
     As part of that case, Mr. Flanigan said, TLT is appealing a ruling the attorney general’s office made last November in which the company was found guilty of violating public bidding laws when it failed to disclose a complete list of its lawsuits when it bid on the Hyannis Youth and Community Center.
     In that ruling, Assistant Attorney General Brian C. O’Donnell wrote that TLT only listed two specific lawsuits when it submitted a prequalifying bid for the Hyannis project last spring, despite having 33 cases pending or concluded adversely against it over the past five years.
     The attorney general’s decision noted that “it is clear that TLT knew its statements to Barnstable were misleading...The circumstantial evidence presented here leads to an inference that TLT was seeking to enhance its chances of being prequalified by presenting itself in a more favorable light than it would by a more candid disclosure.”
     It is that decision, Mr. Flanigan said, that led DCAM to investigate TLT. While he could not discuss the specifics of the investigation, he said, TLT officials have a 30-day period to appeal DCAM’s decision.
     If TLT is decertified, he said, “it may permit an awarding authority to rescind or void an existing contract.”
     As to whether Falmouth could do this with TLT, it appears unlikely. Falmouth Town Counsel Frank K. Duffy Jr. said it is his understanding that decertification would only relate to future contracts and not impact its current one with the town.
     However, he said, this is contingent on a final ruling, if, and when, TLT is decertified. “When we get a decision on the DCAM decertification, we will review it and make a decision on that document,” he said.
     Falmouth High School Building Committee member John K. Scanlan said it is still the town’s intent to continue with TLT, regardless of DCAM’s decision. “I think the town and we as a committee want the best economic value and continuing with TLT represents the best economic value,” he said. “They are the best ones to finish the job quicker because they are on the site and familiar with the project...That is the direction we are going in right now.”
     While decertification does not appear to impact TLT’s future on the job, Mr. Scanlan admitted it could be costly for the general contractor. “It creates a serious problem for TLT in their future business,” he said. “They do a fair amount of public construction. If they can’t bid on future public construction, that is a significant impact.”
     Currently, TLT is concluding the first phase of the project, which includes classrooms and the auditorium in House A, 10 classrooms in House B, locker rooms and the wellness center in the Robert V. Antonucci Field House, as well as site work.
     The town has set a deadline of August 8 to complete this work, but Christopher R. Cormier, executive vice president of TLT, said last week, phase one will not be finished until two weeks after that date.
     Mr. Scanlan said there are still some issues to rectify that ultimately may push the completion of phase one beyond the August 8 deadline. However, he stressed that this work should not impact the ultimate goal of moving into classrooms in preparation for the start of school.
     In addition to the deadline, the town is in the midst of negotiating with TLT to extend their contract at a fixed price and schedule for phase two of the project. Mr. Scanlan said the town is still clarifying construction documents so that pricing can be clearer, for not only TLT, but the subcontractors on site.
     As part of that negotiation, he said, the town is looking at how TLT performs over the next few weeks. “If they prove they can’t perform, we will have to look at other options,” he said. “How they handle the August 8 completion date, to a certain degree, will flesh out whether they continue on phase two.”