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Tampa officials drop 2 firms after city finds conflict

An officer with a Tampa construction business that lost city work over a goof turns up with another company, making it ineligible to bid.

DAVID KARP
Published June 28, 2003

TAMPA - A week ago, Mayor Pam Iorio invited reporters into her office to criticize Ryan Construction for building a city-owned home on the wrong lot.

"It's a huge mistake," Iorio said. "I don't understand how it could have possibly happened."

The same day at the city's housing department, Kim Norquist, a city rehabilitation official, signed his name to award another construction company work on a different city house. The approval seemed innocuous enough.

Macale Builders Inc. beat out Ryan Construction in a bid between two companies for the work.

But key executives at the two companies were hardly strangers. Chris Schnitzlercq is vice president of Ryan Construction, and grandson of Ryan Construction head Dean Ryan.

Schnitzler is also treasurer of Macale Builders. His contractor's license is being used to allow Macale Builders to operate.

The next business day after the mayor's sharp comments about Ryan Construction, city officials moved to cut ties to both companies - fast.

On Monday, Ryan Construction was told it was suspended from doing any business with the city housing and community development department.

On Tuesday, Macale Builders was told it could not bid for city work either, because Schnitzler is an officer with both bidding companies.

"We feel that a conflict of interest exists," Norquist wrote in a letter.

It's unclear what caused the delay in recognizing the conflict. Norquist could not be reached at his office or home on Friday. But his boss, assistant department manager David Snyder, said Norquist acted when he recognized the problem.

"He may have been uncertain if Chris (Schnitzler) was still affiliated with Ryan Construction," Snyder said.

Norquist has been dealing with Schnitzler, the grandson of Dean Ryan of Ryan Construction, for years.

Ryan Construction has done millions of dollars of business with the city - much of it under Norquist's supervision. Ryan Construction was also the builder of a South Tampa luxury home for former city housing chief Steve LaBrake, now under federal investigation.

In May, the new mayor's city attorney was reviewing Ryan Construction's work under the former administration. Iorio was outraged that Ryan Construction had built a city-backed house on the wrong lot. She also criticized how the department was run under LaBrake.

That same month Schnitzler appeared at city offices representing a new company, Macale Builders. He put his contractor's license number on an application that qualified Macale Builders to bid on city projects.

On June 11, Macale Builder also filed corporate papers that listed Schnitzler as treasurer and secretary of the company for the first time.

Soon, Macale Builders and Ryan Construction were competing for the same work.

Both wanted to repair the porch of a home in Ybor City where a 73-year-old, low-income woman lives.

The bid for the job was posted for two weeks. Ryan Construction bid $3,195; Macale bid $2,512.

Then, the posting was taken down.

"There was a decision that there was an adequate number of bids," Snyder said.

Normally, the city keeps a bid posted until at least two or three companies put in proposals for the job, Snyder said. The purpose is to foster genuine competition.

Snyder says officials are concerned about whether the city got fair prices on the bids.

Macale Builders has bid on four or five other contracts, although Snyder could not provide details Friday afternoon.

Jeff Bessey, president of Macale Builders, could not be reached for comment.

Schnitzler, vice president of Ryan Construction and treasurer of Macale Builders, declined to explain his relationship with both companies.

"No comment on nothing," he said.

Meanwhile, Corrine Boyd, 73, has been waiting for her porch to be repaired. Last week, three men stopped by and promised they were going to do the work soon, she said. When no one showed up by Wednesday, she called the city again.

She was told there was another delay.

"Again?" she said. "They haven't done anything yet, and it's been since February."

- Times researcher John Martin contributed to this report. Staff writer David Karp can be reached at 226-3376 or karp@sptimes.com

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