The design and construction industry is a feat of multi-tasking. There are many participants that have different responsibilities, work for different companies, and have different contracts with the clients. These interests are aligned in the delivery of a structure, but can be complicated by the need to deliver faster, less expensive, and with different internal goals.
The design and construction industry is a feat of multi-tasking. There are many participants that have different responsibilities, work for different companies, and have different contracts with the clients. These interests are aligned in the delivery of a structure, but can be complicated by the need to deliver faster, less expensive, and with different internal goals.
October 18-19, 2016 | Atlanta, GA
Registration is open for AGC of America’s premier Building Contractor’s event! BuildCon 2016 brings together high-level leaders in the building construction industry to share, learn and discuss the issues that are essential to them and their business.
Contributed by Thompson E. Penney, FAIA, LS3P and Ryan Abbott, Sundt Construction, Co-Chairs of the National AIA-AGC Joint Committee
In an industry that is evolving at an exponential rate and growing increasingly complex and interrelated, the lines between architecture and construction are rapidly blurring.
<p>A new <a href="https://www.gpo.gov/fdsys/pkg/FR-2016-05-31/pdf/2016-12494.pdf"><u>rule</u> </a>by the Small Business Administration makes several changes to small business contracting regulations. These changes, set to go into effect June 30, are aimed at increasing small-business competition and enabling small businesses to potentially obtain larger contracts without increasing compliance costs. In April, AGC <a href="http://newsmanager.commpartners.com/agcleg/downloads/AGC%20Comments%20on%20SBA%20Performance%20of%20Work%20Prop%20Rule.pdf"><u>submitted comments</u></a> on the proposed rule.</p>
This week, 132 members of the House of Representatives sent a letter to House Ways and Means Committee Chairman Kevin Brady (R-Texas) and Ranking Democrat Sander Levin (Mich.) in support of fixing the Highway Trust Fund as part of comprehensive tax reform. Thanks to the AGC members who met with their representatives during the TCC Fly-In or contacted their representatives asking them to sign the letter.
<p>On May 25, the House Natural Resources Committee passed legislation that with sensible fiscal reforms—and no taxpayer dollars for a bailout—to address the financial crisis in Puerto Rico. The <a href="http://newsmanager.commpartners.com/agcleg/downloads/2016-05-23%20Puerto%20Rico%20Letter.pdf">AGC-backed</a> bill would create a debt-restructuring process, empower a federal oversight board to supervise the territory’s fiscal affairs and create a redevelopment authority that will help rebuild Puerto Rico’s infrastructure. As it stands, many Puerto Rican government entities are unable to pay contractors for work completed on government construction projects and the public and private construction markets there remain on life support.</p>
<p>On May 24, AGC objected to the Department of Defense’s <a href="https://www.gpo.gov/fdsys/pkg/FR-2016-03-25/pdf/2016-06725.pdf"><u>proposed change</u> </a>to the Defense Federal Acquisition Supplement (DFARS) that would prohibit the use of any cost-plus system of contracting for military construction and military family housing projects governed under Title 10 of the U.S. Code. AGC noted that a blanket prohibition of the use of a cost-plus system will prevent federal construction owners from selecting the best contracting and project delivery methods to meet the demands of any given construction project.</p>
<p>On May 17, the House Oversight and Government Reform Committee unanimously approved AGC-supported <a href="https://www.congress.gov/114/bills/hr5199/BILLS-114hr5199ih.pdf"><u>legislation</u> </a>that would (1) require civilian federal agencies—non-Department of Defense agencies—to utilize the two-step design-build selection process for design-build projects greater than $3 million, thereby limiting one-step design-build procurements; and (2) help prohibit reverse auctions for certain construction services. Introduced by Rep. Mark Meadows (R-N.C.), the bill—H.R. 5199—is nearly identical to the <a href="https://www.agc.org/news/2016/02/11/agc-backed-procurement-legislation-passes-senate-panel"><u>AGC-backed legislation</u></a> passed by a Senate Committee in February. AGC will continue to push for enactment of these procurement reforms.</p>
<p>On May 16, the Federal Acquisition Regulation (FAR) Council issued an AGC-supported <a href="https://www.gpo.gov/fdsys/pkg/FR-2016-05-16/pdf/2016-11003.pdf"><u>final rule</u></a> that effectively limits the second-step (“short-list”) of the two-step design-build procurement process to no more than five teams. Through <a href="https://www.agc.org/news/2014/12/05/agc-advances-legislative-priorities-defense-bill"><u>AGC’s efforts</u></a>, this reform was passed by Congress in 2014. For AGC’s comments on that proposed rule, click <a href="http://newsmanager.commpartners.com/agcfed/downloads/AGC%20Comments%20on%20FAR%20Council%20Design%20Build%20Prop.%20Rule.pdf"><u>here</u></a>.</p>