It's been a while, and the project is still alive:
No more SpecC. Sorry, I switched my OS to Dragonfly BSD and would have had to rebuild the SpecC build system for the fourth time, so I am now planning on writing the VC (the core of the OS) in plain C. I still think SpecC is the best RTL out there and the acual compiler code is fine, but I can't countenance inflicting the horrible, broken build process on other developers, and it isn't strictly necessary.
Fixed up some of the documentation, - The sourceforge.net wiki stuff is much more readable and understandable now. I still need to flesh out the VC documentation and the Controlix FAQ some more, but it is getting there.
Planning on writing a bunch of userspace binaries corresponding to the VC instructions, so I can wire them together with bash scripts to test with before having to code the VC.