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    Thursday, May 09, 2024

    Steiner seeks permission to sue state over Seaside contract

    Editor's note: This version clarifies the identity of Dana Award's wife.

    Waterford — The would-be developer of the property known as Seaside filed a claim Tuesday seeking permission to sue the state for breach of contract to purchase the site, and also filed a lawsuit Tuesday against the Planning & Zoning Commission member who cast the deciding vote against a needed zoning change.

    Attorneys Lewis Wise and Andrew Krevolin, who represent Seaside in Waterford, the company formed by developer Mark Steiner, said their client is seeking $20 million in total damages from the state and Planning & Zoning Commission member Dana Award.

    The damage award amount represents funds spent by Steiner on his development proposal as well as lost future profits on his plan to create an inn, restaurant and residences at the 32-acre shoreline site, the attorneys said.

    The legal action consists of a request with the state Office of the Claims Commissioner for permission to sue the state.

    “We had a contract to purchase the property from the state with no deadline, contingent on obtaining all zoning approvals, and we had been making progress on doing all that,” Wise said.

    In the contract, Steiner agreed to pay the state $8 million for the property, and paid a $250,000 deposit, which has not been returned, the claim states.

    Wise said Steiner was “lining up people from Ocean House,” the Watch Hill resort, to support his development when Malloy announced in September that the contract to sell the property was being terminated and that the former Seaside Center for the Developmentally Disabled would be turned into a state park.

    The state said Steiner was in default on the contract, a claim Steiner and his attorneys deny.

    Since then, the state Department of Energy and Environmental Protection has been working with a consultant and hosting public meetings to gather input on how the park should be developed. No decision on plans for the park has been announced yet.

    At the time of Malloy’s announcement, an appeal filed by Steiner to the Planning & Zoning decision was pending. Because the contract was terminated, Steiner no longer has standing to pursue the appeal, the claim states.

    The lawsuit against Award contends that he had a conflict of interest and should have recused himself from voting on the zone change request. Award’s home at 11 Woodsea Place abuts Seaside; his wife was a plaintiff in an earlier appeal of a case brought by fellow Seaside neighbor Kathleen Jacques involving the property; and he made public comments opposed to the redevelopment of Seaside, Wise said.

    In addition, attorneys for both Steiner and the town asked Award to recuse himself from voting, but he declined, Wise said.

    Award could not be reached to comment Tuesday. Gian-Carl Casa, spokesman for the state Office of Policy and Management, said the governor’s office would not comment on the claims.

    Waterford First Selectman Dan Steward said the town attorney would represent Award in the case. DEEP’s planning for the park should be put on hold until the legal issues are resolved, he said.

    Dennis Schain, spokesman for DEEP, said the agency would not comment directly on the case, but that plans to develop the state park are continuing.

    “It is the governor’s vision that we create a new state park at Seaside,” he said. “It’s a once-in-a-lifetime opportunity to increase access to the shoreline for residents and visitors, and we’re going to make that happen.”

    j.benson@theday.com

    Twitter: @BensonJudy 

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