Coronavirus-caused Slowdown Contrasts with January Figures Showing a Majority of Metro Areas Added Construction Jobs; Officials Note New Infrastructure Funding and Paid Family Leave Fixes are Needed
Construction Firms Are Already Taking Steps to Protect Employees, Most of Whom Already Wear Protective Equipment, While Halting Work Will Undermine Efforts to Add Hospital Capacity
AGC’s Lean Construction Forum Steering Committee Chairman Scott Green, Manager of Construction Technology at Tarlton Corporation extended the baton at last weeks' annual Convention to Jason Schneider, Partner, Director of Project Management at VJS Construction Services, Inc. for the 2020-2022 term.
At the AGC Annual Convention in Las Vegas, Nevada, the Building Division by acclimation elected Robert (Bob) Majerus as Chairman for 2020-2021. Bob is a graduate of Georgetown University with a Bachelor of Arts Degree and has a Law Degree from the University of Notre Dame. He joined Hensel Phelps in 2006 and serves as Vice President and General Counsel, Bob has overall responsibility for contractual and legal matters for the Greeley, Colorado-based organization. Prior to joining Hensel Phelps, Bob was a trial attorney for a private law firm. He began his career with Hensel Phelps as Associate General Counsel before being appointed Vice President and General Counsel.
On Feb. 26, the House Committee on Transportation and Infrastructure passed H.R. 5912, the Expedited Delivery of Airport Infrastructure Act of 2020. This AGC-supported legislation would ensure that Airport Improvement Program (AIP) funds can be used to provide incentive payments to contractors for early completion of eligible projects. Early completion incentives allow owners to identify projects that provide significant public benefits that would be enhanced if the project were completed earlier. Rather than the owner agency establishing unrealistic completion dates, which could discourage some contractors from bidding on those projects, incentive payments allow contractors to determine how best to earn the incentive. AGC applauds the committee for passage of this measure and will continue to support its movement through the legislative process.
On Feb. 19, U.S. Secretary of Transportation Elaine Chao announced the award of $520 million in airport infrastructure grants to 287 airports as part of the Airport Improvement Program (AIP). The AIP grant program awards billions of dollars each year for the planning and development of public-use airports across the country. As part of the AGC-supported fiscal year 2020 funding bill, the program received $3.75 billion in federal funding, $400M more than is authorized by the FAA Reauthorization Act. AGC applauds the Secretary’s announcement and will continue to support investment in our nation’s airport infrastructure.
On Jan. 31, AGC, along with AGC of Western Kentucky and Ray Black & Son, led U.S. Representative James Comer of Kentucky on a tour of the $26.2 million construction of the Paducah Innovation Hub. The facility will house several traditional technical center classes including carpentry, welding, and electricity as well as classes in computer-aided design, engineering, and robotics. During the tour, the group spoke about the workforce shortages facing the construction industry and how facilities like the Paducah Innovation Hub will help address these concerns. Specifically, the group noted a 2019 AGC of America survey that found 85 percent of contractors in Kentucky are having “a hard time filling some or all positions.” During the visit AGC urged Rep. Comer to utilize his role on the House Education and Labor Committee to advocate for increased career and technical education funding. The visit was covered by both the Paducah Sun and West Kentucky Star.
On Feb. 7, the House is expected to pass AGC-supported legislation providing billions in funding to Puerto Rico for disaster relief and recovery efforts. This bill, spurred by the recent earthquake, will help restore, improve, and build critical infrastructure on the island. In addition, the measure will provide $1.25 billion for the Federal Highway Administration’s Emergency Relief Program—funding that will repair roads and bridges not only in Puerto Rico, but also in states across the country that have been damaged by recent natural disasters and other catastrophic events.
On Jan. 29, the House Committee on Ways and Means, which has jurisdiction over federal financing tools and revenue raising measures, held a hearing on infrastructure financing options. The hearing ran in conjunction with the House Democrats releasing their framework for a broad infrastructure bill. The committee heard from a broad swath of witnesses who reiterated the need for a long-term federally supported surface transportation bill and stated that demand for bond financing in the private sector and amongst investors far outstripped the supply of available bonds. AGC expects the committee, in the coming months, to produce legislation or guidance on how to build on existing and/or expired infrastructure financing tools, such as Private Activity Bonds (PABs) and Build America Bonds, as well as explore revenue options for the highway and transit trust funds. AGC will continue to work with the committee on funding options.