Federal Contractor Report

 

Register today for the 2019 AGC Federal Contractors Conference taking place June 10-12, 2019 in Washington, D.C. This discount offer ends February 19 and space is limited. The Federal Contractors Conference discusses the latest projects, policies and contracting issues facing the industry with federal agencies, including the U.S. Army Corps of Engineers, Naval Facility Engineering Command, Air Force Civil Engineer Center, General Services Administration, Department of Veterans Affairs, Department of State, Natural Resources Conservation Service, and Bureau of Reclamation.

 

The partial government shutdown that began on December 22 continues. AGC is aware of limited impacts on the construction industry to date. As it stands, the E-Verify system — which allows enrolled employers to confirm the eligibility of their employees to work in the United States — is unavailable. In addition, AGC knows of at least two state departments of transportation — New Mexico and Oklahoma — that have cancelled their January lettings.

 

On Jan. 7, AGC of America submitted comments to the U.S. General Services Administration (GSA) on a proposed rule amending the General Services Administration Acquisition Regulation (GSAR). The proposed rule would adopt an additional project delivery method for construction, construction manager as constructor (CMc). Under this construction process, the design and construction manager/general contractor are engaged at the initial stage of the project.

 

On Dec. 17, President Trump signed into law the Small Business Runway Extension Act (H.R. 6330), which modifies the method for assigning size standards for small businesses. Under the existing law, the Small Business Administration (SBA) requires that businesses report their average gross receipts over the previous three years to be categorized as a "small business,” including for federal contractors. The law modifies the SBA reporting requirements to allow businesses to report average earnings over the last five years, rather than three. The law will need to go through the usual SBA and FAR Council rulemaking process before small businesses receive the full benefits of the expanded lookback period.

For more information, contact Jordan Howard at jordan.howard@agc.org or (703) 837-5368.

The chief executive officer of the Associated General Contractors of America, Stephen E. Sandherr, issued the following statement in reaction to the release of the new clean water rule by the U.S. Environmental Protection Agency and the Army Corps of Engineers:

A new measure announced by the Environmental Protection Agency and the U.S. Army Corps of Engineers will provide the kind of clarity needed to ensure that the waters of the U.S. continue to become even cleaner. The newly proposed clean water rule outlines clear and specific guidelines as to which sites require a federal water permit in addition to state and local water permits, and what needs to be done to protect federally permitted waters. As a result, the new measure will enable contractors for all types of construction projects, from schools to local roadways and other infrastructure, to understand which permits they need and proceed without substantial regulatory delay and additional cost.

 

On Jan. 3, President Trump nominated Nicole Nason to serve as the next Federal Highway Administrator. Nason has been serving in the Trump Administration for the past year as an Assistant Secretary at the State Department. AGC has meet with her several times in her current role to discuss U.S. embassy construction issues. Nason has a strong background in transportation, having served as the youngest Administrator of the National Highway Traffic Safety Administration (NTSHA) from 2006-2008 during the Bush Administration. Prior to that she worked as assistant secretary for government affairs at the U.S. Department of Transportation, from 2003-2006, where she worked closely with Congress on the SAFETEA-LU transportation authorization legislation. AGC will encourage the Senate to move expeditiously to confirm Nason.

 

 

Seventy-nine percent of construction firms plan to expand their payrolls in 2019, but an almost equal percentage are worried about their ability to locate and hire qualified workers, according to survey results released by AGC of of America and Sage Construction and Real Estate. The findings are detailed in Contractors Remain Confident About Demand, Worried About Labor Supply: The 2019 Construction Hiring and Business Outlook Report.