News and Views

January 2009 Archive

PM Series: Cost Control DVD

Friday, January 30, 2009

This DVD provides extensive coverage of an essential subject-the significance of which is often not well understood or appreciated by the project management team. The video notes that cost controls should begin with the budget estimate, and if done well, are applicable forecasting performances in considering new projects. Data collection, equipment, labor, materials, subcontractors, and change orders are also noted. 82 minutes. 2005. Item #2617D

To order go to www.agc.org/bookstore or call 1-800-242-1767.

FREE Practical Tips for Contractors

Friday, January 30, 2009

Philip E. Beck, Esq., an AGC member, respected attorney and ConsensusDOCS user, recently wrote an article providing a variety of practical tips to help contractors.  Mr. Beck's article, "Tools for Tough Times - Practical Tips for Contractors Who Want to Protect Themselves Financially and Better Manage Tight Economic Conditions", is especially timely in light of the current state of the economy.  Mr. Beck provides helpful advice for all stages of the construction process, from contractual considerations to managing financial risks.  He discusses 10 specific issues that all Contractors should be sure to address in their financial risk management programs.  As Mr. Beck aptly quotes in his conclusion, "The fishermen know that the sea is dangerous and the storm in terrible, but they have never found these dangers sufficient reason for remaining ashore."  Mr. Beck's article provides Contractors with an array of useful tips to help them "navigate through the storm".

Click here to view Mr. Beck's article in its entirety.

AGC BIMForum Chair Named One of ENR Top 25 Newsmakers of 2008

Friday, January 30, 2009

John Tocci Sr., chair of the AGC BIMForum, was named one of the Top 25 Newsmakers of 2008 by Engineering News-Record (ENR) in its January 12, 2009 issue.  John Tocci is the Chief Enabling Officer of Tocci Building Companies in Woburn, Mass., and has been an active member of AGC on the local and national levels for many years.

Tocci has served as chair of the AGC BIMForum since 2006 and is a member of AGC's Private/Public Industry Advisory Council (PIAC).

Click here to view the ENR article.

For more information, contact Mike Stark at (703) 837-5365 or starkm@agc.org.

AGC Presents New Tool for Students and Young Professionals

Friday, January 30, 2009

In conjunction with the National Championship and AGC's 90th Annual Convention, AGC of America will host the AGC Campus, a new forum for students and early-career professionals to learn more about careers in construction.  Participants can take advantage of interactive education and training sessions and network with leading construction employers and industry experts. AGC Campus will take place at the Convention March 5-6. Students and faculty can register to attend this event by clicking here. For recruiting and sponsoring opportunities, please visit the AGC Campus Web site.

For more information, please contact Carrie Harper at harperc@agc.org.

Focus Four Hazards in Construction 2009 Safety Training

Friday, January 30, 2009

The Focus Four Hazards in Construction training program is offered free at various locations nationwide due to the Susan Harwood Training Grant from the Occupational Safety and Health Administration (OSHA).  The Focus Four Hazards in Construction are falls, electrocutions, struck-by's and caught-in's. These hazards account for the greatest number of fatalities in the construction industry, and this information was used to develop the training program.  Over the last 11 years, on average, 640 workers were killed despite OSHA standards and special emphasis enforcement programs.

Visit www.agc.org/focusfour for training dates near you.

For more information, contact Michele Myers at (703) 837-5410 or myersm@agc.org.

AGC Hosts Public Private Partnership Workshop to Examine Both Contractor Risks and Rewards

Friday, January 30, 2009

AGC's meeting in conjunction with the NCPPP, Partnerships for Growth in Infrastructure, attracted attendees eager to learn the legislative, financial and risk management principles critical for contractors who are contemplating public-private partnerships. AGC's unique perspective as a contractor organization provides insights on how PPP opportunities should be evaluated by contractors (including the legislative environment and the contract with the owner and concessionaire).

The one-day meeting included state and local legal perspectives, government owner's decision making processes, bonding companies perspectives and financiers perspectives.  In addition, contractors presented case studies based on their own experience.

For more information, contact Jeff Shoaf at (202) 547-3350 or shoafj@agc.org.

Prepare for Many HR Changes in First Quarter 2009

Friday, January 30, 2009

January marks the start of several changes in federal employment mandates.  Visit the AGC Web site for details on the following changes:

  • ADA Amendment (Effective 1/1/2009)
  • FMLA Amendment (Effective 1/16/2009)
  • Changes for Certified Payroll Records (Effective 1/19/2009)
  • Changes to Form I-9 (Effective 2/2/2009)
  • E-Verify Use Mandated (Effective 2/20/2009)

For details, click here.

E-Verify Mandate for Federal Contractors Delayed Again

Friday, January 30, 2009

The federal government has agreed to further delay implementation of a rule requiring federal contractors and subcontractors to use the Department of Homeland Security's E-Verify system to verify employment eligibility. An official announcement is expected to be published in the Federal Register on January 30.

The Federal Acquisition Regulation (FAR) Council issued the final rule on November 14, 2008, requiring contracting officers to mandate contractor use of E-Verify in solicitations issued and contracts awarded after January 15, 2009. In response to a legal challenge to the rule, the government agreed two weeks ago to suspend the rule until February 20. Yesterday, the government agreed to delay implementation until May 21. The plaintiffs in the lawsuit requested the extension after President Obama's Chief of Staff Rahm Emanuel issued a memorandum directing federal agencies to consider extending by 60 days the effective dates of all regulations already issued but not yet in effect, in order to allow the new Administration a chance to review any "questions of law and policy raised."

Click here for a list of Frequently Asked Questions (FAQ's) for Federal Contractors & E-Verify. Visit the AGC Web site for critical components of the final rule.

For more information, contact Denise Gold at (703) 837-5326 or goldd@agc.org.

Federal Agencies Issue New ‘Dredge and Fill' Permit Guidance

Friday, January 30, 2009

In December 2008, the U.S. Environmental Protection Agency (EPA) and the U.S. Army Corps of Engineers (Corps) issued joint guidance on the extent of federal control over water and wetlands.  Currently, a construction project owner or operator must receive approval from the Corps before building (i.e., conducting dredge and fill activities) in federally-controlled waters/wetlands.

AGC commented on the 2007 draft version and brought meaningful change to the guidance.  Previously, a 2006 Supreme Court decision set some limits on what waters are subject to federal control, and the most recent guidance explains how both the Corps and EPA plan to exercise authority based on the decision.

Click here for more information, or contact Leah Pilconis at (703) 837-5332 or pilconisl@agc.org.

Simonson Says: Job Woes Spread, Underscoring Urgency of Stimulus and Credit Market Thaw

Friday, January 30, 2009

Construction job gains were confined to only three oil-producing states - Oklahoma, Louisiana (both 4 percent) and Texas (1 percent) - plus the District of Columbia (2 percent). At the other extreme were Utah (-22 percent), Arizona (-21 percent), South Carolina (-17 percent), Florida and Michigan (both -16 percent). Some of these states posted double-digit construction job increases just a few years ago, whereas Michigan has been shedding jobs all decade. Even the states that are still in the plus column had much larger gains in most of 2008, showing how ubiquitous the construction slump has become.

The stimulus bill that the House passed on January 28 would slow the hemorrhaging in every state and turn losses into gains in some places. A study prepared last year for AGC by Professor Stephen Fuller of George Mason University showed that $1 billion of spending on nonresidential construction would add or save 28,500 jobs economy-wide, including 9,300 construction jobs. The House-passed version of the stimulus bill would pump roughly $150 billion into construction over two years, saving or creating between 600,000 and 700,000 construction jobs. Additional construction jobs would result from tax provisions that would trigger demand for structures and from other tax cuts and spending that would strengthen overall economic activity.

The Senate version of the stimulus bill would allocate spending somewhat differently but fund roughly the same amount of construction. Thus, either bill would provide a significant boost to construction - if the money is obligated quickly.

A second problem dragging down construction has been the lack of bank credit for developers and access to municipal bond markets for public agencies. Some news reports suggest these markets have begun to re-open.

AGC wants to hear your experience with credit availability. Please email simonsonk@agc.org to say whether you have seen greater, less or no change in availability of credit for construction in recent weeks.