Together, AGC of America and its Michigan Chapter have extended the association’s long string of successful efforts to establish that the commercial general liability insurance (CGL) policy sold to construction contractors across the United States does provide coverage for property damage resulting from unexpected and unintended defects in a subcontractor’s workmanship (unless one of the policy’s specific exclusions applies). On June 29, 2020, the Michigan Supreme Court became the latest of many state supreme courts to agree that such damage is an “occurrence.”

On July 1, the U.S. House of Representatives passed a $1.5 trillion infrastructure investment bill—the largest and broadest federal investment in the nation’s infrastructure ever. Among the investment included in the Moving Forward Act (H.R. 2) is more than $500 billion for transportation construction, $130 billion for school construction, and $75 billion for water infrastructure construction. The bill, however, also includes certain untenable policies added during the largely partisan legislative process. Those policies are highly unlikely to advance through the Republican-controlled Senate, which will not consider this infrastructure package, or be enacted given President Trump’s veto threat. The Senate is more likely to consider targeted, more modest infrastructure investment—absent such policies—when it puts forth its pandemic relief bill by the end of July.

Together, AGC of America and its Maryland Chapter have plugged a potential loophole in standard contract provisions intended to preclude costly litigation over the damage that a project suffers during the course of construction. The association’s victory in Maryland’s highest court means the standard provisions will continue to have their intended effect, precluding litigation over property damage that builder’s risk insurance will cover.

Provides Online Tool to Help Workers Determine Eligibility

Provides Online Tool to Help Workers Determine Eligibility
A team of Construction Leadership Council volunteers participated in the latest CLC Community Service event at Harvesters’ regional food bank in Kansas City. During their 4 to 6 p.m. shift on February 27, they processed 520 boxes of food for elderly citizens in need. A shout-out to Emilia Rivera, CLC Community Service Chair and Director of Culture and Training, E&K of Kansas City, Inc., for organizing the event.

The COVID-19 crisis portends a new and troubling outlook for union construction contractors participating in multiemployer pension plans.
The Navigable Waters Protection Rule (NWPR) is in effect as of June 22, 2020. AGC has advocated every step of the way in this multi-year effort and supports the U.S. Environmental Protection Agency (EPA) and the U.S. Army Corps of Engineers’ new rule. The rule appropriately distinguishes between federal and state waters and should bring greater clarity in the field. AGC provided a summary of the rule when the agencies finalized it in January of this year.

Two recent immigration policy changes highlight the need for Congress to enact permanent immigration reform. First, on June 18, the Supreme Court ruled that recipients under the Deferred Action for Childhood Arrival (DACA) can continue to legally work in the country. The decision was the result of recent Trump Administration actions that attempted to roll back the 2012 DACA program. While the decision allows an estimated 80,000 DACA recipients working in the construction industry to continue to do so, the decision presents an opportunity for the Trump administration to continue pursuing an end to the program. It remains important for Congress to extend permanent protections to “Dreamers” and ensure that the construction industry has availability to a legal workforce.

After 11:59 pm on Tuesday, June 30, the Small Business Administration (SBA) will no longer accept applications for Paycheck Protection Program (PPP) loans. As of June 20, there was approximately $128 billion remaining in funding for the program; any contractors interested in applying must have their applications in by the end of the day on Tuesday.