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Virginia AGC eBulletin

Volume XXVIII, Issue 4 - February 17, 2012    

Capitol Carousel – February 16, 2012

Now that crossover (the deadline for each legislative body to complete deliberations on legislation introduced within that body) has now come and gone, the pace will slow slightly as more time will be available for debate on the remaining issues.        

To date this has been a successful session for the construction industry in terms of preventing actions which could prove to be burdensome and expensive for the industry. Among the issues we have addressed along these lines include:        

Project Labor Agreements – legislation has been passed by each body (HB 33 and SB 3) to prevent imposition of project labor agreements on public projects in the Commonwealth.        

Mechanics Liens – one proposal was introduced that would have required use of mechanics lien agents on commercial construction projects. As it would have added another required action for those seeking to file liens, and it was determined that the change would not benefit the construction industry, AGC successfully worked with others to get the proposal withdrawn.        

A more difficult lien proposal also faced the industry this year. HB 1265 would have had a major negative impact on the entire construction industry. It would have required any possible lien claimant to give the owner notice of the intent to file the lien at least 60 days in advance, and to include a complete copy of the mechanics lien with the notice. Considering the 90 day limit to file a lien, and industry payment practices, the proposal would have required potential lien claimants to go to the expense of preparing the lien before payment was even due. AGC worked with two other construction groups and totally re-wrote the legislation to focus it exclusively upon residential construction (as that was the Delegate’s concern). The revised legislation passed the House of Delegates.        

Preferences - numerous proposals were introduced to provide preferences for in-state contractors, companies and individuals who are located in particular areas, specific products from a particular area, those with apprenticeship programs favored by certain criteria and on the basis of sex or race. AGC believes that use of preferences distort free and open competition. Thus, AGC opposed these measures. Most have been defeated.        

Day Labor – a proposal was introduced (HB 1077) which would have required firms that supply day labor to utilize the federal e-verify system for these workers. AGC was concerned about this proposal since: as drafted, it could have impacted providers of all temporary workers; and because of the fact that it set a bad precedent by singling out a particular type of employer for compliance with this law. Proposal was carried over.        

Cooperative Procurement – at the request of the Governor, legislation was introduced (HB 1295 and SB 679) to eliminate a variety of programs and mandates. One of the items included for elimination was a limitation that AGC helped to get enacted just two years ago relating to cooperative procurement. Without this restriction, some localities had utilized cooperative procurement in a manner which totally eliminated competition by local contractors in the procurement process.        

Best Value Contracting – a proposal was introduced (SB 260) which would have permitted localities to include a wide variety of factors other than price into the competitive bid system. It was withdrawn. It was our understanding that this proposal was introduced on behalf of the construction unions.        

Among the issues still to be resolved are an increase in funding for transportation, and a constitutional amendment relating to eminent domain.        

AGC fully supports increased funding for transportation infrastructure. The Commonwealth has not been meeting its financial obligations in this area for years. Proposals are in play in each body to provide some additional funding, but the approaches taken vary significantly, and could still cause problems.        

HB 1248 would increase the share of the general sales tax devoted to transportation.

SB 639 would index the gas tax to allow it to increase over time with inflation.     

With regard to the eminent domain proposal, while AGC certainly supports property rights and opposes unfair taking of private property, the association is concerned, based on the information we have reviewed on the subject, that the language of the current amendment is flawed and will have a severe negative impact on economic development in the Commonwealth.  Regardless, it appears that the issue will now go on a ballot for consideration by the voters.       

Helping You Overcome Challenges

The construction industry is changing….new methods of managing projects, new issues to be addressed, new opportunities are coming available and some continuing problems remain. AGC developed its schedule of seminars for the first half of 2012 with the aim of helping you and your firm adjust to these challenges. Each of these classes is scheduled at the AGC Office. Detailed below is information on some of these programs. Just click on the ones of interest for more information.        

Key Industry Changes      February 28     9:00 AM – 1:00 PM        

Many issues are impacting you now, including “green”, weatherization opportunities, Building Information Modeling and financial issues. This fast paced program is designed to give up updates on these issues and more.        

Getting Paid      March 7     9:00 AM – 1:00 PM        

Perhaps the only thing worse than not getting work is not getting paid for the work you do. This program will provide advice on how you can be more effective in collecting funds due to your firm.        

Building Information Modeling – Technology       March 27 & 28     8:00 AM – 5:00 PM each day        

Building Information Modeling (BIM) is one of the new management tools that can help you better plan and manage your projects. This class is based on a four part training program developed by AGC of America. It is an outstanding program, and graduates of all four classes are eligible for a nationally recognized accreditation program.        

Regulatory Updates      April 3     8:00 AM - Noon        

The list of regulations you must comply with is ever expanding. In this four hour program, you will receive updates on many recent developments in the regulatory arena which impact you.        


Integrated Design & Delivery Solutions (IDDS)

CIB Presents an International Workshop
April 18-19, 2012         
Washington, DC        

The International Council for Research and Innovation in Building and Construction (CIB) will be holding a one-day international workshop on April 18, 2012, to showcase global research, technology and innovative practices in architecture, engineering and construction (AEC).  Representatives from Virginia Tech are helping with this program.          

For more information and to register go to www.nist.gov/el/cib.cfm

$2500 Scholarships Available

The Associated General Contractors of Virginia is offering a maximum of three $2,500 scholarships for students pursuing careers in the construction industry.        

• Applicant must be currently enrolled in a four year college or university
• Applicant must be a December 2012 or Spring 2013 graduate
• Applicant must be planning a career in construction
• Applicant must be pursuing a B.S. degree in construction or civil engineering
  (a dual degree with construction and/or civil engineering as one part is acceptable)
• Applicant must be a Full Time resident of Virginia       

Please note: an interview at the AGC Office in Glen Allen, Virginia may be required if selected as a finalist for a scholarship.        

For information and an application, please contact: here at your school, or contact the AGC office.              
AGC of Virginia • P. O. Box 5700 • Glen Allen, VA 23058 • (804) 364-5504        

For a AGCVA Scholarship Application Form click HERE
Applications due to AGC office by March 9, 2012             

THANK YOU!!! to the following Central Region Sponsors

AGCVA - 11950 Nuckols Road - Glen Allen, VA 23059 - (804) 364-5504

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