Now that the House passed the Student Aid and Fiscal Responsibility Act of 2009, which authorizes more than $4 billion for elementary and secondary school facility projects over the next two fiscal years, the Senate is currently working on its version of the bill.The House version of the bill authorizes $2.1 billion in 2010 and 2011 to renovate and modernize facilities for elementary and secondary schools (K-12), and authorizes $2.5 billion in 2011 to renovate and modernize facilities for community colleges. AGC has long-advocated for increased federal investment in school construction, as there is substantial opportunity for investment in upgrading and improving the unmet needs for school construction and renovation, which is estimated to be $3.7 billion. The average age of a public school building is estimated to be over 40 years old, the same age that schools have been documented to deteriorate.The bill was referred to the Senate Committee on Health, Education, Labor, and Pensions (HELP). Committee staff currently working on the bill indicated that the Senate will be writing their own bill language, but that the goal is to match the numbers in the House bill. The unofficial timetable is to finish the bill and have it to the president before the end of the year to maximize the savings and effectiveness of the student aid portions of the bill. Given this timeframe, it is unlikely that there will be time for any hearing on the legislation, as the health care debate has presently taken the majority of attention and resources.While AGC supports the overall bill, it includes the same Buy American language as was included in the American Recovery and Reinvestment Act (ARRA) that AGC continues to oppose. Committee staff currently working on the bill has indicated that while they would like to keep the Buy American language in the bill, they see it as unlikely to make it into the final Senate language. AGC will urge Senators to support the bill without the Buy American restrictions.For more information click here.

President Obama and the U.S. Small Business Administration announced October 21 a new plan to raise the maximum loan size for SBA-backed loans to small business. Specifically, President Obama called for:Increasing the size of SBA's 7(a) loan from $2 million to $5 million.Increasing the size of SBA's 504 loan from $2 million to $5 million for standard borrowers (supporting a total project of $12.5 million) and from $4 million to $5.5 million for manufacturers (supporting a total project of $13.75 million).Increasing the size of SBA's Microloan from $35,000 to $50,000.AGC believes these measures will go a long way to help extend and expand credit to small businesses that need this valuable help now more than ever.   To view a copy of the President's remarks, click here. To view the SBA fact sheet on the proposal, click here.

Secretary of Defense Robert M. Gates announced on October 16 a major shift in its Army Corps senior leadership team. Major General Merdith W.B. (Bo) Temple will become the Deputy Commanding General (DCG) in January 2010. MG Temple has served as the DCG for Civil and Emergency Operations since 2008. MG Temple will succeed Major General Don Riley, who has served the DCG since April 1, 2008. MG William T. Grisoli, who has been serving as the  Deputy Chief of Staff for the Army, was named DGC for Civil and Emergency Operations.MG Grisoli previously held senior positions with the Corps, including commander of its Northwestern and North Atlantic divisions. Prior to his appointment at the Civil Works, MG Temple was DCG for military and international programs.  Lieutenant General Robert L. Van Antwerp remains Commander and Chief of Engineers. MG Jeffrey J. Dorko continues as the DCG for military and international operations.AGC thanks MG Riley for his friendship and his years of service to our nation. We also congratulate MG Temple and MG Grisoli on their new positions as we look forward to working with them to ensure the USACE mission is a success.

Senate Majority Leader Harry Reid (D-Nev.) and the Senate climate change bill's lead sponsor, Senator John Kerry (D-Mass.), are planning strategies for a comprehensive energy and climate change bill that would impose a Thanksgiving deadline for the remaining five committees to act.The initial deadline for action set by Reid was late September, but so far only one of the six panels of jurisdiction, the Energy and Natural Resources Committee, has acted. The health care debate has taken longer than many thought, and is drawing the majority of resources and attention presently in the Senate. Senator Boxer (D-Calif.), chair of the Environment and Public Works Committee and co-sponsor of the Senate climate bill, is hoping to get multiple hearings on the Kerry-Boxer bill as well as a markup done shortly after the end of the month.AGC opposed the House-passed version in June and encourages members to contact their senators in opposition to the bill by using the AGC Legislative Action Center.

With time running out on the 30-day extension on authorization for the highway and transit programs, it remains unclear if the House and Senate can agree on how to proceed. The Senate leadership is attempting to move quickly on an 18-month extension, but that effort has been blocked by Senator George Voinovich (R-Ohio) who believes that a six-year bill with increased funding levels is the best approach for transportation and for the economy. This reflects the position of House Transportation and Infrastructure Committee Chairman Jim Oberstar (D-Minn.), who continues to press for enactment of a six-year measure. The impasse may lead to another short term authorization extension through a continuing resolution, which Congress must enact by October 31 to avoid a government shutdown.There have been some discussions between Congressional leadership and the administration about increasing highway and transit funding in an extension bill as a way to stimulate job growth. With unemployment continuing to increase, the administration is looking for ways to create jobs without taking up additional stimulus legislation. Since state DOTs have been largely successful in putting highway projects out to bid, increasing this funding is being considered.AGC and our Transportation Construction Coalition (TCC) partners have surveyed our membership to the outlook for the highway market and jobs in an effort to demonstrate the need for a long-term, well-funded bill. If you have not submitted the survey please take a few minutes to do so by clicking here. This week the Congressional steel caucus wrote to the House and Senate leadership calling for passage of transportation reauthorization in an effort to preserve and create jobs.

On Wednesday, the Senate Health, Education, Labor and Pensions (HELP) Committee voted Republican Brian Hayes and Democrats Mark Pearce and Craig Becker forward for the National Labor Relations Board (NLRB).   AGC, along with other business groups, sent a letter to the HELP Committee expressing concern over both the committee process of not holding a hearing on Becker as well as concerns with Becker's writings and beliefs with regard to labor law due to his expressed view that labor law and national labor policy can be changed through NLRB decisions as opposed to going through the legislative process. The Employee Free Choice Act, or Card Check, could be affected by Becker's beliefs. Thought it is currently stalled in Congress, components of the Employee Free Choice Act, or Card check, could be implemented by rulings of the NLRB under Becker's guidance.Senator John McCain (R-Ariz.) is expected to put a hold on Becker, preventing a vote in the full Senate, and Senator Orrin Hatch (R-Utah) has also objected to Becker's confirmation.   While this will slow down Becker's nomination, it also will likely hold up the approval of Hayes and. Pearce because NLRB appointments are usually voted on in a package rather than individually.   The timing of any Senate floor vote is uncertain due to the expected hold on the Becker nomination.

AGC's Build Now for the Future, A Blueprint for Economic Growth was released September 30 and calls for commonsense initiatives, tax credits and policy changes designed to stimulate new private- and public-sector demand for construction. During the National and Chapter Leadership Conference in early October, more than 200 Chapter executives and contractors were on hand to deliver the blueprint to Capitol Hill.  Since then, AGC has continued efforts to distribute the plan and is making additional copies available to Chapters to mail to their Congressional delegations. Use AGC's Legislative Action Center to ask Congress to support tax, trade, capital investment and regulatory policies that will boost construction investment, job creation and long-term economic growth.

The administration posted data on October 15 detailing data received from recipients of Recovery Act funds on the Recovery.gov Web site. That data includes all information provided by recipients who were awarded direct federal Recovery-related contracts, grants and loans beginning early in 2009.  The Recovery Act requires the prime and sub-recipients of $25,000 or more to report 30 days after the close of every quarter on how they used the money. The first reporting period began on Oct. 1, 2009 and ended on Oct. 10, 2009.  Based on the data submitted to FederalReporting.gov, a password-protected government Web site created specifically to collect all the data, it is estimated that 30,383 jobs were created or saved so far as a result of the Recovery Act.The reports included the following information:The total amount of Recovery funds each recipient received between Feb. 17, 2009 and Sept. 30, 2009;The total amount of funds expended;A description and location of the project; andThe jobs created or saved.The next reporting period begins January 1, 2010.

AGC and the Clean Air Task Force (CATF) today announced that the two organizations have agreed on principles to require reductions in diesel emissions from federally-funded transportation projects via contract change orders that cover 100 percent of the costs to retrofit equipment.  CATF represents leading environmental groups and targets diesel emissions reductions nationwide. Under the set of "Clean Construction Principles," states would first require successful bidders for federally-funded transportation projects to identify the off-road diesel equipment they plan to use on designated projects.  States would give priority to projects located in areas with poor air quality.  After exploring EPA-approved options for reducing diesel emissions, states would issue change orders requiring contractors to pursue the best of those options.   The change orders would entitle contractors to recover 100 percent of their costs. AGC and CATF have been working with Congressman John Hall (D-N.Y.) to turn these principles into a legislative proposal that the Congressman will pursue as an amendment to the surface transportation reauthorization bill.  Funding to cover the cost of the change orders would be designated in the bill. The announcement was covered by Greenwire/New York Times. To view a copy of the "Clean Construction Principles" click here.

On October 13, the Senate Finance Committee finished its two-week markup of a health care reform bill with a 14 to 9 vote to report the bill out of the committee. The only Republican to support the measure was Senator Olympia Snow (R-Maine).  The final committee vote had been delayed to give the Congressional Budget Office (CBO) time to provide a cost analysis of the bill and the 150 amendments that had been considered during the process. CBO forecasted the bill will cost $829 billion over 10 years, reduce the federal deficit by $81 billion and provide up to 94 percent of all Americans with health care coverage. Several members of the Committee who voted in favor of the bill did so reluctantly, as they only support moving the debate forward but are unwilling to endorse the bill as it is currently drafted.  The issues of major concern remain the inclusion of an employer mandate, tax on "Cadillac" plans, and whether to include a public option.Despite the vote in the Finance Committee, work remains to bring a bill to the floor for a vote. The Senate Health, Education, Labor and Pensions Committee passed its own version of health care reform legislation in July and must now be merged with the Finance Committee's version.  The process is underway and is being spearheaded by Senate Majority Leader Harry Reid (D-Nev.) and administration officials. The process could become contentious as liberal and moderate members of his party square off over the inclusion of a public option. The Democratic leadership must try to craft a bill that can receive 60 votes on the Senate floor.  The leaders plan to hold a vote at the end of October.The House remains in a similar situation. Three committees of jurisdiction passed health care reform legislation in July; however each committee passed a separate bill. The Democratic leadership in the House must craft one bill before it can be sent to a vote by the entire House. The House leaders are confronted with the task of satisfying multiple factions of Democrats in order to garner enough support for passage. No Republicans are expected to support the measure, and groups of Democrats have been outspoken against inclusion of a public option and some even argue that the bill is too moderate. In the end, the bill is expected to easily pass without Republican support. The leaders are hoping to hold a vote the first week of November.Due to the drastically different versions of the House and Senate bills, they will be required to be conferenced together if they pass each chamber before the President can sign one bill into law. As of now it is not guaranteed that the bills could reach this process, but the President and Congressional leaders remain committed to passing a bill this year, likely sometime between Thanksgiving and Christmas.Over the next several weeks AGC will continue to advocate against an employer mandate and the penalties for companies that cannot afford to provide health care. AGC remains concerned that the bills create uncertainties in coverage requirements, negatively affect temporary and seasonal employees, and impose limitations on FSAs, HSAs and HRAs, and expand COBRA mandates. Despite the recent CBO score, AGC remains concerned that the exorbitant costs of the proposed plans will result in increased taxes on individuals and companies.  AGC supports reform that increases coverage, choice and competition in the marketplace. The inclusion of a public plan in the legislation will likely drive private insurers out of the market and the projected savings from the proposed legislation may never materialize, resulting in further tax increases to make up the shortfall.