Construction Legislative Week in Review
www.agc.org January 28, 2016
Spacer
AGC Home Page
Email our Editor
Search Back Issues
Forward to a Friend
Subscribe
Printer Friendly
AGC Political Toolkit
RSS
Take Action!
On the Inside
FEDERAL CONTRACTING
FAR Council and SBA Issue New Regulations
TRANSPORTATION
CBO Report Shows Dramatic Highway Trust Fund Shortfall
LABOR
AGC Opposes Army Corps-Mandated PLAs
FEDERAL CONTRACTING
FAR Council and SBA Issue New Regulations
Rules Impact Direct-Federal Contractors
 

Snow can close the federal government, but it does not stop the federal regulatory machine. The Federal Acquisition Regulation (FAR) Council and U.S. Small Business Administration (SBA) recently issued final and proposed rules, respectively, that impact direct-federal construction contractors.

The FAR Council issued a proposed rule that would impose a self-reporting requirement on prime contractors who have one or more small businesses serving it as a subcontractor under a contract requiring a small business subcontracting plan. Under the proposed rule, the prime contractor must notify the contracting officer (CO) if: (1) the prime contractor’s payment to a small business subcontractor is reduced; or (2) the payment is more than 90 days past due. The proposed rule would require that a CO record the identity of a self-reporting contractor with a history of late or reduced payments to small business contractors in the Federal Awardee Performance and Integrity Information System (FAPIIS) and take such issues into account as a part of past performance evaluations. Comments are due on or before March 21.

The FAR Council also issued a proposed rule to prohibit contractors from forcing their employees or subcontractor’s employees from signing confidentiality agreements restricting the reporting of waste, fraud or abuse to federal authorities. The proposed rule requires that prime contractors, in order to be eligible for contract award from a federal agency, represent in their bids that they do not require their employees or subcontractors to sign or comply with such internal confidentiality agreements. A new FAR clause would apply to new and existing contracts funded with fiscal year 2015 and beyond funds. Comments are due March 22.

The SBA issued a final rule for the inflation adjustments the agency put in place in June 2014. The rule makes permanent the adjusted monetary small business size standards for inflation, which the agency put forth in an interim final rule raising a number of construction industry small business size standards. Under that rule, the size standard for most small business general contractors increased from $33.5 million to $36.5 million. The size standard for specialty trade contractors increased from $14 million to $15 million. Dredging and cleanup services contractor size standards increased from $25.5 to $27.5 million.

For more information, please contact Jimmy Christianson at christiansonj@agc.org or (703) 837-5325. Return to Top

Share: LinkedIn Twitter Facebook
TRANSPORTATION
CBO Report Shows Dramatic Highway Trust Fund Shortfall
 

In its first analysis of the Highway Trust Fund, following passage of the long-term highway & transit bill known as the FAST Act, the Congressional Budget Office reports that in fiscal year 2021 (the last year of the act’s authorization) the trust fund balance will be zero and that the government will need $113 billion in additional revenue to maintain funding for the ensuing six years. This analysis vividly demonstrates the challenges facing federal surface transportation programs in the future.

The FAST Act provided a transfer of $70 billion from the general fund to support the authorized funding levels in the Act. As those funds are spent over the next six years, there is insufficient revenue flowing into the trust fund accounts to maintain level funding. The report also projects that gas tax revenue will decline in the future, presumably because of more fuel efficiency and alternatively-fueled vehicles. The report does project an increase in revenue from diesel fuel taxes as trucking operations are projected to grow.

Rep. Kevin Brady (R-Texas), chair of the House Ways and Means Committee, will address the AGC Highway & Transportation Division at the 97th Annual AGC Convention to discuss his ideas for fixing the pending trust fund shortfall.  This meeting will take place on March 11 in San Antonio, Texas. Register for the AGC Convention at meetings.agc.org/convention.

For more information, please contact Brian Deery at deeryb@agc.org or (703) 837-5319. Return to Top

Share: LinkedIn Twitter Facebook
LABOR
AGC Opposes Army Corps-Mandated PLAs
 

Recently, AGC sent letters opposing the possible use of a project labor agreement (PLA) mandate posted by the U.S. Army Corps of Engineers Nashville District. The letters address the possible use of mandatory PLAs involving the construction work on the Chickamauga Lock in Chattanooga, Tennessee and Kentucky Lock Addition near Paducah, Kentucky.

AGC neither supports nor opposes contractors’ voluntary use of PLAs on government projects, but strongly opposes any government mandate for contractors’ use of PLAs. AGC is committed to free and open competition for publicly funded work, and believes that the lawful labor relations policies and practices of private construction contractors should not be a factor in a government agency’s selection process.

For more information please contact Jimmy Christianson at 703-837-5325 or christiansonj@agc.org. Return to Top

Share: LinkedIn Twitter Facebook

AGC Townhouse, 53 D Street SE • Washington, DC 20003 • 202.547.1625 (phone) • 202.547.1635 (fax)• www.agc.org
AGC Home | About AGC | Advocacy | Industry Topics | Construction Markets | Programs & Events | Career Development | News & Media

To ensure delivery of AGC’s Construction Legislative Week in Review, please add 'communications@agc.org' to your email address book or Safe Sender List. If you are still having problems receiving our communications, visit our white-listing page for more details.

© Copyright The Associated General Contractors (AGC) of America. All Rights Reserved.