WASHINGTON – President Trump will unveil his long-awaited infrastructure proposal Monday to shift $200 billion over the next decade from other federal programs to pave the way for $1.5 trillion for roads, bridges, waterways and railways. Trump’s approach is to let Congress negotiate the details. His four objectives are to stimulate new investment, streamline federal permitting, invest in rural projects …
Ohio County Files Breach-of-Contract lawsuit Against Surety, Excavating Contractor
Mahoning County commissioners have filed a lawsuit which claims a local excavating company and a Cincinnati bonding company have failed to meet the terms of their contracts. The lawsuit filed Monday in common pleas court claims X-Press Underground Inc. of Petersburg failed to complete its $418,075 contract to replace a pump station in New Middletown. A pump station contains pumps …
Contractors Need to Know Pros and Cons of Direct Payments to Subs
Main contractor Carillion’s entry into liquidation has resulted in many employers seeking to establish relationships with subcontractors, under which they will be paid directly in order to stay on site and finish the relevant project. On the face of it, this seems like an attractive solution, and may leave some employers wondering why they didn’t procure their projects by construction …
Subcontractors: Managing Cash Flow Requires Open Communication
Very few construction projects happen without subcontractors. Some general contractors self-perform all or a portion of the construction work, but, most often, major and minor trades contribute the lion’s share of labor and materials. Read the article >>>
Workers’ Compensation Rate Calculation New Benchmark For Contractors’ Qualification To Bid
A complicated calculation for determining workers compensation premiums has evolved into a do-or-die benchmark on whether contractors are qualified to bid on many jobs, and some say that’s not fair, especially for smaller contractors. It’s called the experience modification rate (EMR), and it’s based on previous workers’ comp claims versus payroll and other factors. The rate can lead to a …
Subs On Athletic Apparel Company’s Expansion Seek Recourse For Pay Disputes
Five years in, the ambitious and ever-evolving headquarters expansion at Nike is finally producing the first completed buildings. It’s also left a trail of angry subcontractors. The strikingly modernistic structures taking shape on Nike’s campus near Beaverton have proved difficult and time-consuming to build. Subcontractors and their lawyers claim in court filings the company and its general contractor, Hoffman Construction, …
Resilient Structures, Infrastructure Among 2018’s Trends In Construction
After a robust 2017, commercial construction companies are anticipating an even stronger 2018, with the majority reporting they plan to expand their staffs, according to Dodge Data & Analytics. As professionals seek to map out 2018 and beyond, there are a number of trends shaping the construction industry. Some are evolutions of past years, such as offsite construction and an …
Court Denies Surety’s Move To Dismiss Case, Finds That Venue Was Proper
Use of the Word “in” Indicates Geography; Use of the Word “of” Indicates Sovereignty: Federal District Court in Maryland Holds That Venue Is Proper in Federal Court in Maryland Where Forum Selection Clause Requires Action to be Brought “In the District or County” Where the Prime Contractor Is Located. Tell me more >>>
Clear Contract Language Is Key When GCs Share Risk of Nonpayment With Subs
Every contract involves the risk of insolvency, and every construction subcontract involves the risk of the owner/developer failing to make the payments that the contractor intends to use to pay its subcontractors. Frequently, general contractors seek to shift this risk onto their subcontractors through the use of clauses which describe payment from the owner to the contractor as a condition …
Contractors Should Ensure Subs, Suppliers Comply With Buy American Act
The federal government has a long-standing preference for incorporating domestic materials and products into public construction projects. While a number of statutes and regulations promote this policy, the Buy American Act of 1933 (BAA) is the oldest and arguably most well-known. The essence of the BAA’s construction provisions sounds simple: the use of foreign-produced materials and products on public construction …