Author: agcnews

U.S. Treasury Outlines How States Can Spend $350 Billion State & Local Government COVID-Relief On May 13, the U.S. Department of Treasury issued an interim final rule (IFR) detailing how the $350 billion in state, local, and territorial government funding provided through the American Rescue Plan Act can be spent. AGC plans to provide comments on how this guidance can be improved to better allow for infrastructure and building construction investment necessary for pandemic mitigation and recovery. Transportation Construction Investment AGC’s call was answered and the IFR clearly states that funding for “government services can include, but are not limited to, maintenance or pay-go…

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AGC Launches Broad Effort to Increase Transparency of SBA’s Decision-Making Process Going Beyond Lawsuit, AGC Submits Detailed Request for Agency Data On May 10, AGC submitted a detailed request for information to the Small Business Administration (SBA) under the Freedom of Information Act (FOIA), seeking: AGC expects the agency to require several weeks to respond to the association’s request and the association intends to work with the agency in a positive and pro-active effort to facilitate a response. If necessary, AGC is, however, prepared to assert its legal rights to the requested information, under the FOIA. AGC filed the request in response to…

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The cost of goods and services used in construction accelerated further in April as more items logged double-digit increases over the past year, according to an analysis by the Associated General Contractors of America of government data released today. Meanwhile, nonresidential contractors struggled with delays in receiving materials and intensifying competition that limited their ability to pass on higher costs. Association officials urged the Biden administration to quickly roll back tariffs and quotas on imported construction materials that are adding to costs and availability problems. “Today’s producer price index report—bad though it is—actually understates the severity of the problems contractors are experiencing,”…

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Government- Mandated Project Labor Agreements & Local Hire Requirements Buried within the U.S. Department of Treasury interim final rule (IFR) on how the $350 billion in state, local, and territorial government funding provided through the American Rescue Plan Act (ARPA) can be spent, is language hinting the Department’s preference for “strong labor standards.” The IFR specifically highlights that water, sewer and broadband investments eligible for these funds are encouraged to use “project labor agreements and community benefits agreements that offer wages at or above the prevailing rate and include local hire provisions.” Projects receiving funding from ARPA will be required…

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Construction employment was unchanged from March to April as nonresidential contractors and homebuilders alike struggled to obtain materials and find enough workers, according to an analysis by AGC of government data released today. Association officials said the industry’s recovery was being hampered by problems getting stable prices and reliable deliveries of key materials, while the pandemic and federal policies were making it harder for firms to find workers to hire. “Contractors are experiencing unprecedented intensity and range of cost increases, supply-chain disruptions, and worker shortages that have kept firms from increasing their workforces,” said Ken Simonson, the association’s chief economist.…

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The U.S. Department of Labor (DOL) Wage and Hour Division (WHD) finalized its recent proposal to officially withdraw a Trump administration final rule clarifying the standard for employee versus independent contractor status under the Fair Labor Standards Act (FLSA). The withdrawal is effective immediately without any replacement or new guidance and employers are advised to rely on past court decisions and WHD guidance to determine whether those workers are employees under the FLSA or independent contractors. AGC has long called for federal clarification of the independent contractor status and preservation of legitimate independent contractor relationships, such as those that have historically existed in the…

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Would Provide $35 Billion in the Nation’s Water Infrastructure On April 29, the U.S. Senate overwhelmingly passed (89-2) the bipartisan Drinking Water and Wastewater Infrastructure Act of 2021 (S.914). The act authorizes more than $35 billion for the Environment Protection Agency’s (EPA) grant programs and revolving loan funds for water and wastewater infrastructure targeting upgrading aging systems, climate change resiliency, implementing new technologies and aiding marginalized communities. Action now moves to the House of Representatives, where AGC will continue to press for robust investment in water infrastructure. For more information, click “Learn More.” The legislation reauthorizes the Drinking Water State Revolving Fund…

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On April 30, AGC and its coalition partners met with the White House Office of Management and Budget (OMB) to raise concerns about and question the need for a federal Occupational Safety and Health Administration (OSHA) COVID-19 emergency temporary standard (ETS) 14 months into the pandemic. AGC highlighted the conflicting messages delivered by the administration. On the one hand, the administration continues to highlight the significant decline in case rates, hospitalizations, and great progress towards ending the pandemic through vaccination efforts. On the other hand, OSHA remains determined to issue an ETS to address what it calls grave dangers posed…

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The U.S. Environmental Protection Agency is working on a new rule related to hexabromocyclododecane (HBCD), a flame retardant chemical that was used from the 1980s until 2017 as an additive to polystyrene to make insulation boards for construction. An EPA risk assessment showed that there is a potential for worker exposure to HBCD particles. EPA has asked AGC to identify small business construction representatives who can advise a panel of government lawmakers on their respective technical and financial abilities to meet clean-up or handling requirements that may be put in place regarding HBCD insulation board. If you are a small…

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Construction Officials Say New Infrastructure Investments, Tariff Relief for Key Construction Materials are Needed to Help Contractors Cope with Continued Economic Impacts of the Pandemic Nonresidential construction spending fell to a two-year low in March as contractors struggled with slumping demand for most project types and growing shortages of materials, transport, and workers, according to an analysis of new federal construction spending data by the Associated General Contractors of America. Officials with the association said project cancellations and widespread supply chain problems are hindering the industry’s recovery. “Every major category of private nonresidential projects has declined over the past year, while…

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