October 2018
Free Nov. 13 ASA Webinar Examines Ways to Improve Communications Between GCs and Subs
In the complimentary Nov. 13 ASA webinar, “The Soft Side of Scheduling: Improving Communications Between GCs and Subcontractors,” presenter Steve Groth, vice president, director of operations, Chiaramonte Construction, Washington, D.C., will examine ways to improve project management communication between GCs and subcontractors specifically as it relates to the project schedule from development to finalization and use during the project.
As a construction management professional, Groth’s 35-year career as a general contractor and construction manager has provided him the opportunity to lead pre-construction and construction operations that resulted in the successful completion of over $800 million in construction projects and the growth and success of organizations.
This webinar will take place from noon to 1:30 p.m. Eastern time. Registration is complimentary for ASA members and nonmembers. Register online.
Foundation of ASA Updates Lien & Bond Claims in the 50 States for 2019
Construction subcontractors and suppliers rely on mechanic’s lien and payment bonds to assure their payment. To help you learn your lien and bond rights in the states in which your company does business, the Foundation of ASA has updated its Lien & Bond Claims in the 50 States, a digital manual which outlines the lien and bond laws in each state and the District Columbia.
A mechanic’s lien is a claim against property to secure a debt, such as a debt owned to a construction subcontractor for the value of work performed and materials furnished on a construction project. A payment bond, which is required on most public construction, assures the owner that the prime contractor will pay its subcontractors and suppliers. The FASA manual provides a summary of the basic requirements of each state’s lien and bond laws, including who is covered; critical deadlines for notices, claims and suits; filing procedures; and more.
The summary of laws was prepared by Donald W. Gregory, Esq., and Eric B. Travers, Esq., Kegler, Brown, Hill & Ritter, Columbus, Ohio, ASA’s general counsel, with input from attorneys from around the country.
Lien & Bond Claims in the 50 States (Item #3006) is $55 for ASA members and $80 for nonmembers.
ConsensusDocs Coalition Publishes Lean Addendum
ASA and 39 other industry leading associations that are a part of the ConsensusDocs coalition on Sept. 6 announced the industry’s first Lean Addendum standard contract document. The ConsensusDocs 305 utilizes Lean tools and processes without an Integrated Project Delivery agreement.
Not all owners may procure design and construction services with an IPD or integrated Lean project delivery agreement. The ConsensusDocs Lean Addendum provides a contractual mechanism for owners, architects, engineers, general contractors, and subcontractors alike to take advantage of Lean construction efficiencies and memorialize in writing a more collaborative and cooperative culture on projects.
Joe Cleves, partner at Taft law firm in Cincinnati, who served as chair for the ConsensusDocs coalition working group that developed the Lean Addendum, explained: “This new standard addendum is perfect for all stakeholders involved in the design and construction process interested in incorporating Lean processes on CM At-Risk projects. Publication of this document will benefit the industry in adopting Lean tools, which have a demonstrated increase in construction productivity.”
The ConsensusDocs coalition was first to publish a standard IPD agreement in 2007. The Lean Addendum is significantly shorter than other integrated forms of agreement, such as the ConsensusDocs 300 standard IPD agreement. The ConsensusDocs 305 coordinates well with a CM At-Risk agreement as the underlying prime agreement, such as the ConsensusDocs 500 CM At-Risk agreement. Many would characterize the use of a CM At-Risk agreement with the Lean Addendum as an “IPD-lite,” “IPDish,” or “transitional” IPD agreement.
ConsensusDocs standard construction contracts are the only contracts written and supported by a coalition of leading design and construction industry organizations. With a catalog of 100+ contract documents addressing all project delivery methods, ConsensusDocs contracts incorporate fair risk allocation and best practices to represent a project’s best interests. The Coalition’s organizations collectively represent hundreds of thousands of design professionals, owners, contractors, subcontractors, and sureties. ASA is a founding member of the ConsensusDocs coalition. ASA members can save 20 percent off ConsensusDocs subscription packages by using the promotional code ASA100 during checkout at www.ConsensusDocs.org.
Applications for ASA’s National Construction Best Practices Award Are Due Nov. 2, 2018
The deadline for applications for ASA’s National Construction Best Practices Award is Nov. 2, 2018. The best practices award recognizes prime contractors that exemplify the values of subcontractors, treat subcontractors fairly through use of level-playing-field contract terms, and consider subcontractors part of their core project teams. ASA encourages you to invite your best prime contractors to apply for these awards. Details, resources, and the application are located under “About ASA” on the ASA Web site.
OSHA Releases Series of New Training Videos on Silica Standard
The U.S. Department of Labor’s Occupational Safety and Health Administration on Aug. 22 released a series of training videos on OSHA’s standard for respirable crystalline silica in construction. The six new videos instruct users on methods for controlling exposure to silica dust when performing common construction tasks, or using construction equipment. The videos cover topics including handheld power saws, jackhammers, drills, and grinders.
On Aug. 13, OSHA released a set of 53 frequently asked questions to provide guidance to employers and employees on the silica standard. ASA is a member of the Construction Industry Safety Coalition, which was an important contributor to the formulation of this FAQ.
The development stemmed from litigation filed against OSHA by numerous construction industry trade associations, including ASA, challenging the legality of the new silica rule. Under the Occupational Safety and Health Act of 1970, employers are responsible for providing safe and healthful workplaces for their employees. OSHA’s role is to help ensure these conditions for America’s working men and women by setting and enforcing standards, and providing training, education and assistance.
Visit OSHA’s silica standard for construction page for more information and resources on complying with the standard.
Before You Bid or Negotiate Your Next Contract, Consult FASA’s Retainage Laws in the 50 States
Before you bid or negotiate your next contract, be sure to know the laws regarding retainage where the project is located. FASA’s Retainage Laws in the 50 States 2018 summarizes retainage laws in the states and the District of Columbia. Each state entry reviews critical factors in retainage laws for public and private work, including the rate permitted, release milestones and any options to provide alternative securities in lieu of retainage.
In most states, retainage is a typical practice in both public and private construction contracts. The mandatory or permissive nature of retainage varies from state to state. In a few states, the retained funds may be held in escrow, to be paid back to the contractor or subcontractor with interest. Some states also permit contractors and subcontractors to substitute securities in lieu of retainage. Other states require contracting agencies or owners to reduce or even eliminate the rate of retainage once a certain portion of the contract is complete.
The ASA-member law firm and ASA general counsel, Kegler, Brown, Hill and Ritter in Columbus, Ohio, prepared the manual, which contains contributions from construction attorneys from across the country.
Retainage Laws in the 50 States is available under “Contracts and Project Management” in the Member Resources area of the ASA Web site by logging-in at “LogIn/Access Member Resources” on the ASA Web site at www.asaonline.com.
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