Contractor Community – May 2020

Re-Open, Renew and Revitalize” Campaign Tells Lawmaker: Economic Recovery Begins with Multi-Year Transportation Investment Package

ASA, along with the Transportation Construction Coalition (TCC), launched an advertising and grassroots campaign designed to encourage Congress to make new infrastructure investments as the major catalyst for economic recovery in the wake of COVID-19.  The primary message of the campaign by the TCC is that reopening, renewing and revitalizing the economy starts with passage of a robust, multi-year transportation bill that creates jobs and keeps goods and services like medical supplies quickly moving to their destinations – now and for decades to come.  

The campaign’s message is directed at two audiences: legislators and their staffs on Capitol Hill and the four primary leaders who are critical to final passage of infrastructure investment legislation: House Speaker Pelosi, House Minority Leader McCarthy, Senate Majority Leader McConnell, and Senate Minority Leader Schumer.  The campaign features four components: cable TV, digital TV, Facebook ads and digital ads.  Please see ASA’s Social Media for the ad.          

ASA Coronavirus Resource Guide

The Center for Disease Control (CDC) is responding to an outbreak of respiratory disease caused by a novel coronavirus (COVID-19) that was first detected in China and has now emerged in almost 90 locations internationally, including 500 confirmed cases within the United States as of March 9, 2020. With the complete clinical picture of COVID-19 not fully known along with the CDC’s expectation that the number of confirmed cases will continue to rise, members of the American Subcontractors Association (ASA) may have concerns regarding the disease and how to handle employment matters during this outbreak. As the situation is emerging and continually evolving, ASA will monitor all federal agency developments and guidance to supply our members with the most up to date information available. The ASA has collected numerous materials from a wide variety of sources and developed this Coronavirus Resource Guide to provide our members with a comprehensive resource to best prepare for employment disruptions as COVID-19 cases continue to be discovered.

ASA has also put together the ASA Coronavirus Employer Guide. To access the MEMBERS ONLY ASA Info Hub:

  1. Go to the Member Login Page.
  2. If you need a Username and Password, create an account.
  3. Once logged into the Info Hub, choose “Resources” from the left-hand menu.
  4. Choose “COVID-19” from the drop-down menu at the top of your screen.

Click Here for the ASA Member Order Form
MCAA Change Order Publication Receives ASA’s Full Support

The 2020 edition of the Mechanical Contractors Association of America’s (MCAA) highly regarded construction management publication, Change Orders, Productivity, Overtime—A Primer for the Construction Industry, has the full support of the American Subcontractors Association (ASA).
ASA supports the contents of the publication as being applicable to subcontractors, which sustain impacts to the same level and the same types, as the mechanical piping and plumbing trades. MCAA will make the publication available to ASA members at the MCAA member rate.
This publication has become a standard in the construction industry and is widely relied upon by mechanical and other specialty contractors, attorneys in construction practices, and consultants.
In a new chapter, lead author Paul L. Stynchcomb, CCM, PSP, CFCC of Vero Construction Consultants Corp. discusses the essential concept of sharing the CPM schedule in its native form between all of the major trades on a construction project. It is the MCAA’s goal to make the construction management and scheduling process more transparent and effective on today’s complex and challenging construction projects, to the benefit of all of the parties to a construction contract. Lawrence M. Prosen, Esquire of Kilpatrick Townsend & Stockton, LLP provided the case citations and some general commentary contained in some sections of the chapter.
This latest chapter, like the others in the publication, was peer reviewed by a panel of industry professionals. Peer review was performed by Robert Beck, President/CEO of John W. Danforth Company in Tonawanda, NY; Rick Freeman, Executive Vice President, Southern Insulation, Inc. in Hyattsville, MD; Brian Helm, President of The Helm Group in Freeport, IL; and Denis St. Pierre, Executive Vice President & COO of Alterman in Austin, TX.
Click here to download the full press release.                      

 ASA Subcontractor Legal Defense Fund
SLDF Crosno Construction Case in the News! 

The Engineering News-Record reported on SLDF’s Crosno Construction, Inc. et al v. Travelers Casualty and Surety of America case, quoting our Attorneys’ Council Chair Dan McLennon and SLDF Chair Scott Holbrook.  A California appellate court ruling on an industry standard “pay-when-paid” contract will have a significant impact on how and when subcontractors are paid for project work. The judgment held that the pay-when-paid clause violated state public policy and did not provide for payment within a reasonable time. The Court specifically referenced ASA’s argument in its opinion, using it to rebut a countervailing argument from the defendant’s amicus. ASA congratulates the Legal Defense Fund and Scott Holbrook on behalf of the entire Subcontractor community for its tremendous work on this case. Please remember to SUPPORT the critical efforts of the SLDF in future cases that may arise in YOUR state!
ASA Attorneys Council COVID-19 Webinar May 28th!

Join us on Thursday, May 28th at 2:00 p.m. EST for an important webinar panel as we address questions regarding the challenges and pitfalls ahead as each state approaches reopening during the COVID-19 pandemic. From written notice and supply chain issues to worker safety and PPE on site, our dedicated group of attorneys is here to guide our subcontractor community through the process. 

Presented By:

  • Dan McLennon, Smith, Currie & Hancock, LLP, Attorneys Council Chair
  • Bethany Beck, Sanderford & Carroll, PC, Attorneys Council Chair-Elect
  • Courtney Little, ACE Glass, ASA Executive Committee
  • Charles Keller, Snell & Wilmer, LLP 

Click here to register for the event! 

Reopening a Business Without Opening Employer Liability #2

This article is from our friends at SESCO Management Consultants, ASA’s Human Resource Partner and one of the stellar member benefits available to ASA Members.  To learn more about the benefits of your ASA membership, click here.

Employers face a myriad of issues in thinking through whether and how to reopen for business, or how to thoughtfully phase out furloughs or teleworking models currently in place for ongoing enterprises. While federal, state, and local authorities haggle over who will decide which businesses can reopen and under what circumstances, employers should start preparing now.

Requiring an Employee to Stay Home

An employer can require an employee to stay home and not work on site in three situations. First, if an employee has returned from traveling internationally. Second, if an employee is exhibiting symptoms of COVID-19 such as a fever (100.4 F or higher) and shortness of breath/difficulty breathing. Third, if an employee has had close contact with someone who has a confirmed diagnosis of COVID-19 (including any person that resides in the employee’s household). In these situations, an employer is not required to pay an employee for the time out and we recommend requiring the employee to provide medical certification of fitness for duty before they return to work on site.

Recommended Phases of Returning to Normal Operations

We recommend employers reopening mirror the phased recovery periods following the three federal government guidelines.

  1. Continuing to follow safety recommendations regarding social distancing; use of personal protective equipment (PPE); disinfection of all common, high-traffic areas; and limiting business travel. Temperature testing may also be considered.
  2. Monitoring your workforce for indicative symptoms.
  3. Continuing to enforce policies and procedures for workforce contact tracing following an employee testing positive for COVID-19. This would include continuing to ask infected associates to identify all individuals who they worked in close proximity to.

Phase One

Under the guidelines, at Phase One, all employers should:

  • Continue to encourage telework, whenever possible and feasible with business operations;
  • Close common areas where employees are likely to congregate, and enforce strict social distancing protocols;
  • Minimize nonessential business travel; and
  • Strongly consider special accommodations for employees who are members of a vulnerable population.
  • Vulnerable individuals include the elderly, pregnant women, people with serious underlying health conditions, and people whose immune system is compromised. If an option, maintain remote work operations for at risk associates.

Phase Two

Under the guidelines, at Phase Two, all employers should:

  • Continue to encourage telework, whenever possible and feasible with business operations;
  • Close common areas where employees are likely to congregate, and enforce moderate social distancing protocols; and
  • Strongly consider special accommodations for employees who are members of a vulnerable population, including providing PPE or an alternative work assignment.

In Phase Two, nonessential business travel can resume.

Phase Three

Under the guidelines, at Phase Three, employers can resume unrestricted staffing at worksites.

SESCO Management Consultants will continue to monitor and report on developments with respect to the COVID-19 pandemic and will post updates in the firm’s COVID-19 Resource Center as additional information becomes available. SESCO retainer clients and members of select associations can call or email SESCO to discuss specific industry, state and/or company questions and concerns. 

Help Defend Our Future by Supporting the Subcontractors Legal Defense Fund

ASA underwrites the legal costs of filing “friend-of-the-court” briefs to inform the Court regarding the broader impact of relevant cases throughout the country. We have won dozens of these cases since 1997, vindicating subcontractor rights today and into the future!

Each year, courts across the country hand down hundreds of decisions on federal and state laws, as well as court-made or “case”law, that apply to subcontractors’ businesses. Many of the decisions impacting subcontractors interpret the contract provisions of subcontract agreements—provisions like pay-if-paid, hold harmless, duty-to-defend, and no-damages-for-delay. Some of these decisions are precedent-setting and carry significance for subcontractors across state lines.

ASA’s Subcontractors Legal Defense Fund supports ASA’s critical legal activities in precedent-setting cases to protect the interests of all subcontractors. ASA taps the SLDF to fund amicus curiae, or  friend-of-the-court,” briefs in appellate-level cases that would have a significant impact on subcontractor rights.

Support the SLDF Today!

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