US DOT has issued a final rule that restricts the use of hand-held mobile telephones by interstate commercial motor vehicle drivers (CMV) and interstate hazmat drivers beginning January 3, 2012. The rule does not restrict or prohibit the use of hands free devices.  The rule does not currently apply to CMV drivers that do not cross state lines; however, states are required to adopt the requirements within three years as a condition for continuing to receive Federal Motor Carrier Safety Assistance grants.

The final rule prohibits CMV drivers from holding, dialing, or reaching for a hand-held cellular phone, including push to talk functions.  The definition of dialing allows the driver to initiate, answer, or terminate a call by touching a single button on a mobile telephone or on a headset. The definition of reaching requires that the hands free device be in “close proximity” to the driver.

CMV drivers who are convicted of a hand-held cell violation twice within a three year period will be disqualified from driving for 60 days. Drivers convicted of a third violation within three years, will be disqualified from driving for 120 days. Violations are also subject federal civil penalties of up to $2,750 per violation. Motor carriers (employers) that allow their drivers to use hand-held cell phones while operating a CMV face a maximum civil penalty of $11,000 per violation. Employers are responsible for the action of their drivers regardless of whether or not such actions are sanctioned.

General Assembly Set to Convene

January 2012
The 2012 session of the Virginia General Assembly is set to convene on Wednesday, January 11. As this is a “long” session, adjournment will not take place until March 10.

The National Elections in November, 2012 will form a back-drop for the session, particularly since we will not only be electing a U S Senator this year, but also a President. The elections will have an impact on the session as each side seeks to distinguish itself in the debates and on the issues.

It will also be a challenging session as the Senate must now cope with a re-organization effort led by the Republicans who feel that, despite a 20- 20 tie between the number of Republican and Democratic Senators, the Lt. Governor’s vote, as President of the Senate, gives them a majority in terms of determining committee chairmanships, composition of committees and overall leadership of the chamber. A lawsuit has been filed by the Democrats in opposition to this effort. Definitely more to follow.

The economy and the need to enact a budget for the next biennium will also present many challenges.

AGC representatives have been working for months in response to various legislative initiatives that are being considered. Most proposals have not been officially introduced yet.

Be assured that AGC will provide full time representation in the deliberations in order to protect the construction industry from poorly conceived legislation and other actions that could prove to be detrimental to the industry.

Regular reports will be provided to keep you up to date on the discussions.

You can also directly track legislation on the General Assembly’s website . . . just go to http://leg1.state.va.us

3 Percent Tax Withholding Mandate Repealed by Senate & House

November 2011
After years of work by AGC and other groups, the U.S. Senate passed H.R. 674, a bill to repeal the 3 percent withholding law after amending it slightly. AGC has made extensive efforts to repeal this onerous mandate.

H.R. 674 passed by a vote of 95 to 0, with one Senator voting “present.” During debate, the Senate voted to amend the bill with provisions to encourage employers to hire unemployed veterans and to require a study of tax compliance by federal contractors. The Senate did not consider any amendments to continue to apply withholding to delinquent taxpayers that Senate Majority Leader Reid contemplated the week of Oct. 31.

The bill went back to the House, and was approved by a vote of 422-0. The legislation was signed by the President on November 21st. The president has stated his support for both H.R. 674 and the veteran employment package. 

The House first passed H.R. 674 by a vote of 405 to 16 on Oct. 27.

AGC Representatives Meet With Top Procurement Officials

November 2011
Each year the Virginia Department of General Services (DGS) conducts a Procurement Forum for procurement officials in the Commonwealth. This year’s forum was held on November 14-16 in Hampton with more than 500 officials in attendance.

It was a great chance to help these individuals understand the consequences of their actions on the industry and the excellent dialogue that ensued.

On November 15 AGC worked with DGS to present a Construction Contractor Panel. Members of the panel, all members of AGC, were: Steve Ballard, S B Ballard Construction Co.; Tom Evans, Southwood Builders Inc.; Phil Kirby, Barton Malow Company; and John Long, Lantz Construction Company.

Panelists were asked to provide comments on what agencies can do to make projects more successful for both the contractor and the agency, with the primary focus relating to use of construction management at risk. Nearly 100 individuals attended this outstanding session.

AGC Works to Protect Construction Interests in Elections

November 2011
While control by the Republicans of the House of Delegates, State Senate and the Governor’s office remains up in the air at this time, likely subject to a few recounts, you can be assured that AGC has been very active this past year in building the relationships needed to protect the interests of the construction industry in the 2012 session, regardless of the outcome of the recounts.

AGC carefully evaluated the various races in the 2011 elections for members of the General Assembly (House of Delegates and Senate), and based on voting records, leadership positions, key committee positions and overall support for the construction industry, contributions were provided to 33 individuals who were on the ballot this year. A total of $41,500 was contributed to candidates on your behalf.

Of the 33 individuals supported, 31 were elected (a success rate of 94%).

Please note that the AGC PAC does not contribute based on party affiliation – the individual’s positions on business issues, past support of the construction industry and ability to help on the key committees that address construction issues are the prime determinants used to select candidates worthy of support. For the record, 21 of the people supported are Republicans – 12 are Democrats.

Thanks to all who support the AGC Political Action Committee. Your support helps the association be more effective in representing the construction industry in the deliberations of the General Assembly.

Please note that we are proud to announce that Leigh Hubbard, Northern Region Manager for AGC, was elected to the school board in King William County.

Government Relations Update

September 2011
AGC hosted two meetings last week with elected officials to share industry concerns. The first session was held in Harrisonburg on August 23 with State Senator Mark Obenshain.

In addition to the economy and its impact on the industry, we also discussed stormwater regulations, the overall lack of infrastructure investment, project labor agreements and the imposition of extremely high “prevailing wage rates” by the US Department of Labor.

And the meeting was followed by an earthquake!

On Friday, August 26, AGC hosted a small meeting in Yorktown with Congressman Rob Wittman. AGC attendees at this session were Royden Goodson, Warwick Plumbing and Heating; Gary Kelley, Clancy and Theys Construction; Bryan Norsworthy, Hudgins Contracting; and Steve Vermillion with AGC.

Topics discussed included overall dissatisfaction with Congress and the Federal government, stormwater regulations (Rob is one of the few people in Congress who actually understands the impact of these regs on construction), Davis Bacon prevailing wage determinations, the Federal 3% withholding law (he agreed to co-sponsor a proposal which would repeal this law) and infrastructure investment.

This session was followed by a hurricane on Saturday.

Overall a very good week in advancing industry interests (although we are glad that we didn’t have any other sessions planned as we’re not sure what other forces of nature would have been released on us!).

From Left: Jim DeLucas (Nielsen Builders); Brent Trumbo (Trumbo Electric); Roy Simmons (Rockingham Redi Mix); Ned Ruby (Liphart Steel); Doug Driver (Lantz Construction); Daniel Blosser (Riddleberger Brothers); Wayne Witmer (Harman Construction); State Senator Mark Obenshain; AGC Chairman of the Board John Long (Lantz Construction) and Jim Blauch (Blauch Brothers)