Work on dorm goes on despite AG ruling

Construction of a 400-student housing development contracted by the University of Massachusetts at Lowell is continuing despite a recent ruling by the state attorney general's office that the university violated public bidding laws in awarding the $20 million project.

Labor officials and some public contracting specialists criticized the ongoing work, saying it flouted the state's decision and sidestepped bidding regulations. The university said the construction is private and in the hands of the developer, Brasi Development of Lowell, which plans to lease the property to the university beginning next fall.

The dispute began last week after the state backed a complaint by Academic Village, a nonprofit dormitory developer in Medfield that had been vying for the dormitory contract. The attorney general's office ruled that the dormitory should be considered a public project and, therefore, must comply with state bid laws. But it did not order construction to stop, which construction lawyers said is not unusual.

University officials contend that the housing complex is private because Brasi is building it independently and will continue to own and maintain the facility after its completion. University officials said the decision to begin preliminary construction is Brasi's alone.

"It's a private enterprise doing private work," said Louise Griffin, the university's vice chancellor for administration and finance. "I don't think it's any of our business."

Jack Kendrick, president and chief executive officer of Academic Village, said he expects to seek an injunction to halt construction of the dormitory.

"If the AG's office won't take action, we will," said, "How do you bring a project into compliance after the fact without bringing other proposals back into the fold?"

In its decision, however, the attorney general's office found that the university spearheaded the project and is effectively directing construction by specifying design plans and deadlines. Lowell developer James McClutchy, the head of Brasi Development, did not return a call seeking comment.

A spokesman for the attorney general's office said lawyers are negotiating with UMass-Lowell officials to resolve the dispute, but declined to say whether moving forward with construction undermines the process.

"Our office is working to bring the project in accordance with public bidding laws," said Harry Pierre, a spokesman for Attorney General Martha Coakley. Pierre said Coakley's office is concerned about the situation but does not want to rush into a decision that would delay or dash the project.

"You can't just throw a wrench into the whole plan," he said. "We need to talk it through."

Pierre declined to comment on how the project could comply without going out to bid again.

Griffin and other university officials said that the bid process was fair and open and that the Brasi development is the best project for the university, which is facing a campus housing crunch.

University officials took issue with the state's ruling, saying their legal counsel had assured them that the project was rightfully private and not subject to public construction laws. It is common for public entities to lease private space, they noted.

The attorney general's office, however, said this case was different because the "construction project is being performed at the behest of UML." Robert Garrity, a Boston lawyer who specializes in public construction law, said the attorney general's decisions in such cases are not binding but are legally influential.

"If you are the protesting party, and you go into court, the first thing you'll do is wave the AG's office decision," said Garrity, who is not involved in the UMass case.

Senator Mark C. Montigny of New Bedford, who has fought against laws that allow public universities to circumvent the public bidding process, said the projects must be subject to strict oversight.

"If it's a clear violation, construction shouldn't continue," he said.