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Construction Groups Sue Over Gov.'s Freeze

ALBANY-The suit filed here by four trade associations comes as the impasse over the state budget continues; a NYSDOT spokeswoman declines to comment.

By Paul Bubny | Updated on April 18, 2010

ALBANY-A coalition of trade associations representing New York’s heavy construction industry on Friday filed a lawsuit in New York State Supreme Court over Gov. David Paterson’s freeze on payments for hundreds of infrastructure projects until the impasse over the state budget is resolved. The suit, filed in Albany, names acting transportation commissioner Stanley Gee and New York State Department of Transportation CFO Ronald Epstein as respondents. A spokeswoman for NYSDOT tells GlobeSt.com the department is reviewing the lawsuit and cannot comment.

The coalition includes the New York City-based General Contractors Association, the Construction Industry Council of Westchester and Hudson Valley, the Long Island Contractors’ Association and the Albany-based Associated General Contractors of New York State. Representing the coalition is Al DelBello, formerly lieutenant governor and now a partner with White Plains-based law firm DelBello Donnellan Weingarten Wise & Wiederkehr.

Earlier this month, when Paterson issued the order affecting 506 projects statewide, GCA managing director Denise Richardson told GlobeSt.com the industry was assessing the likelihood of the freeze extending past the April 14 expiration of an emergency spending appropriation. Should the budget battle be protracted, as it has been in previous years, there will be projects shut down and workers laid off, Richardson said.

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