Construction employers added 19,000 jobs in November, reaching the highest employment level since November 2008, but a drop in public sector investments in construction projects held down employment among heavy and civil engineering firms, according to an analysis by the Associated General Contractors of America. Association officials noted that recent construction spending numbers show a decline in most categories of infrastructure investment.
Construction employment declined or was stagnant in 131, or 37 percent, of 358 metro areas between May 2015 and May 2016, according to a new analysis of federal employment data released today by the Associated General Contractors of America. Association officials said. The data comes as years of underfunding have contributed to declining highway, transit and other public infrastructure just 60 years after President Eisenhower signed the first interstate highway act.
On Wednesday, the House Ways and Means Subcommittee on Tax Policy held its second hearing on reform America’s tax code. At the hearing, Congressmen Bob Goodlatte (R-Va.) and Roger Williams (R-Texas) presented legislative proposals to reform the income-tax system so that it is fairer and simpler for taxpayers. AGC will continue to monitor these legislative proposals and promote reforms that provide clarity, simplicity and certainty for construction firms.
AGC submitted comments on the Federal Acquisition Regulation (FAR) Council’s proposed rule to require prime contractors to self-report late or reduced payments to contracting officers. Under the proposed rule, unjustifiable delays or reductions in subcontractor payment under the terms and conditions of the subcontract would lead to a negative past performance review for the prime contractor. AGC’s comments concluded that the proposed rule is unnecessary and needlessly burdensome given existing Prompt Pay Act safeguards and small business subcontractor payment acceleration executive measures.
Requests Improved Data Reporting to Encourage CO Accountability
AGC, along with the American Subcontractors Association, called on the Federal Acquisition Regulation (FAR) Council to improve the data federal agencies collect regarding the administration of change orders in response to the Council’s information request. AGC’s recommendations would require federal agencies to collect a range of data regarding the timeliness of action by the contracting officer (CO) in an effort to encourage greater CO accountability.
Urge Your Congressman to Delay Implementation
Please contact your member of Congress to urge them to delay implementation of the Blacklisting Executive Order. This President Obama executive order will require federal prime and subcontractors to report violations of 14 federal labor laws and "equivalent" state labor laws during the previous three years, and again every six months, on federal contracts over $500,000.
Encourage Redevelopment of $8 Billion of Federal Real Property
This week, the House Transportation and Infrastructure Committee unanimously approved two AGC-supported bills that would encourage federal agencies to dispose of, consolidate, or redevelop at least $8 billion of excess or underutilized civilian federal real property. The Public Buildings Reform and Savings Act, H.R. 4487, and the Federal Assets Sale and Transfer Act, H.R. 4465, would:
ÃÛÌÒµ¼º½ Calls for Change Order Oversight & Funding to Implement VA Reforms
This week, AGC called on the House Appropriations Subcommittee for Military Construction and the Department of Veterans Affairs (VA) to conduct oversight into DOD construction agencies’ delay in executing and paying change orders on construction projects and need for adequate VA construction program funding to implement a host of recent reforms.
AGC Federal Contractors Conference; May 9-11 in DC
The difference between AGC’s Federal Contractors Conference (FEDCON) and other federal construction meetings is that, at FEDCON, construction contractor attendees drive the agenda. As such, for this year’s conference—held May 9-11 in at the Mayflower Hotel in Washington, D.C.—AGC is currently seeking your questions for consideration during its meeting with headquarters leaders of the Naval Facility Engineering Command. To see our draft agenda for these session, please click here. To register, please click here.
Water Resources Development Act Consideration Underway
As part of the Water Resources Reform and Development Act of 2014, the U.S. Army Corps of Engineers recently submitted an annual report to Congress that identifies about $13 billion worth of potential Civil Works Program projects for study, modification or construction. The report identifies 12 potential projects valued at about $3.663 billion with signed Chief of Engineers (COE) reports, 10 potential projects valued at about $2.980 billion with pending COE reports and 26 potential projects valued at $6.445 billion that state and local entities requested. Potential projects with signed COE reports have been fully vetted within USACE and are ready to enter the planning phase of construction. Projects recommended by state and local entities require further USACE study if authorized.