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ASAC is pleased to inform you that the "change order and timely payment" bill, AB 1347, passed the policy committee in the Assembly yesterday. Although it was hotly contested by numerous public agencies the supporting trades pushed it through. It should now be heard in the Appropriations Committee by the end of May.
ASAC thanks all who visited their legislators 2 weeks ago while in Sacramento for the California Subcontractors Legislative Conference; more than 100 personal visits with legislators took place and AB 1347 was the top priority.
We also thank all who took 10 minutes on Tuesday to phone the three Republicans on the committee who were rumored to be less than comfortable with the measure. In the end they all voted in favor. Your personal effort makes it happen!
We'll keep you posted as this bill, and others that impact subcontractors and suppliers, make their way through the legislative process in Sacramento.
(Updated May 4, 2015)
The third annual California Subcontractors Legislative Conference on April 21, 2015 was considered a great opportunity for subcontractors to Capitalize on Success in Sacramento. The gathering was organized with the goal of giving subcontractors and suppliers a voice, to have them speak to their legislative representatives and inform them of their view on a few very important legislative bills currently being considered by the legislature.
Subcontractors and suppliers and industry service providers gathered at the Sheraton Grand Sacramento to discuss pending legislation.
The day’s program began with Marc Connerly, Executive Director, Roofing Contractors Association of California explaining How a Bill Becomes Law.
Assembly Member Das Williams, was presented an appreciation award for Authoring AB 1705 in 2014, the “substantially complex” bill that helps protect the 5% cap on retention in public works. This bill was sponsored by ASAC last year, and signed by Governor Brown, taking effect January 1 of 2015. The plaque was presented by Brett Eckles, ASAC President.
Skip Daum, ASAC Legislative Advocate, Assembly Member Das Williams, Dan McLennon of McLennon Law, and Brett Eckles, Eckles Construction are pictured after the award presentation.
A panel discussion of Controlled Insurance Programs, OCIPS & CCIPs, was led by Dan McLennon. Jay Wilson of DPR Construction represented the General Contractors. Dave Stefko of Eberhard Company spoke on behalf of subcontractors, and Greg Magda of Alliant Insurance Services gave the Insurance Carrier and Owner points of view.
Preparing for Economic Rebound through Legislation was the topic of the second panel discussion. Participating on this panel were Greg Long of Long Electric, Dan Fitzgerald of Pacific Southwest Structures, and Scott Holbrook of Crawford & Bangs LLP.
Dan McLennon, Esq., ASAC Government Relations Chairman, McLennon Law Corporation, who also served as the day’s master of ceremonies; Skip Daum, ASAC Legislative Advocate; Frank Nunes Executive Director of the Wall And Ceiling Alliance; and Pete Spencer of Audio Associates rounded out the program with information about how to lobby and what to say regarding the three bills being lobbied at the Capitol.
Attendees had the opportunity to visit their own senator and assembly member after learning how to lobby their position on three bills affecting the construction industry. Talking points were provided.
AB 1347 Timely payment to Contractors for extra and Changed Work: SUPPORT
1. Payments to subcontractors for changed or extra work are frequently late, deferred, or denied
2. Public entities claim they cannot timely meet to approve payments
3. Public entities claim to have no written record of changes that they requested
4. Expedites claim communications and payments to subcontractors
5. Requires timely payment for undisputed work performed
6. Lays out a process for claim resolution…nonbinding mediation
7. Unpaid claims accrue interest
AB 1315 Responsibility for Water Pollution and Runoff designs for their Projects: SUPPORT
1. Reaffirms the duty of public entities to provide complete designs for their projects
2. Prevents shifting to contractors surprise unpaid extra work to design water management plans
3. Prevents a shift in liability onto contractors for design errors
4. Subcontractors do not ordinarily carry errors and omissions insurance; this bill would keep them from having to pay high insurance premiums that potentially increase project costs
AB 846 Changes the timing of court action on Mechanics Liens: OPPOSE
1. No demonstrable need to change this complicated law
2. Any owner may alleviate a delay in service of a lien action by simply filing an answer to the complaint
3. Project owners can remove liens by recording lien release bonds
4. Courts already have “case management” procedures to weed out stale claims
San Diego ASA was well represented by Dan Fitzgerald, Nancy Grimes, Anne Wright, Rebecca Llewelllyn, Ron Meler, and Pete Spencer.
Some of the attendees at the Third Annual California Subcontractors Legislative Conference.
Members of the Los Angeles Painting & Finishing Contractors Association
Sean Cline and Kimberley Collingwood greeted attendees.
Planning and marketing the event was a joint effort among the hosting organizations/companies. They determined the day’s program, their logo appeared on the conference materials, and their identity and issues were presented to legislators and key capitol staff. The nineteen sponsoring organizations are:
ð American Subcontractors Association California
ð Associated Roofing Contractors of the Bay Area Counties
ð Associated Subcontractors Alliance
ð Crawford & Bangs LLP
ð Los Angeles Painting & Finishing Contractors Association
ð Mason Contractors Association of California
ð McLennon Law Corporation
ð Northern California Glass Management Association
ð Northern California Painting & Finishing Contractors
ð Painting & Decorating Contractors of California
ð Plumbing Heating Cooling Contractors
ð Roofing Contractors Association of California
ð Southern California Glass Management Association
ð Surety Association of San Diego
ð The Blue Book Building & Construction Network
ð Union Roofing Contractors Association
ð Wall and Ceiling Alliance
ð Western Steel Council
A special thank you goes to Sandy Caples of CONTRACTOR NEWS PUBLICATION SERVICES. Sandy used her special talents as a photographer to capture the pictures included in this article. You can contact Sandy at 760-466-7790 or by e-mail: firstname.lastname@example.org.
Visit their website at www.contractor-news.com.
Should you wish to participate in planning the event and agenda as an event sponsor for 2016, please contact ASAC Executive Director, Jordi Grant, using the information provided below.
AMERICAN SUBCONTRACTORS ASSOCIATION CALIFORNIA INC.
TOLL-FREE: 888-310-ASAC (2722)
(Updated May 4 2015)
New Construction Laws for 2015
Over 4200 bills were introduced by the California Legislature in the 2013-2014 session. Below are summaries of some of the more important bills affecting contractors in their roles as contractors, effective January 1, 2015 unless otherwise noted.
Each of the summaries are brief, focusing on the gist of the bill, while most of the bills have additional provisions that are not mentioned. Links are provided to the full text of each of the bills for those wanting to know in detail the provisions of the new law. Lastly, reference is made to failed bills that are likely to be revisited next session.
Many other bills will impact contractors in other roles, such as being businesses, taxpayers, and employers. For changes in the laws affecting employers in 2015, please visit the Employment Law Notes page of the McLennon Law Corp. website.
This article was provided by Daniel F. McLennon of McLennon Law Corp. (MLC) Dan is the Chairman of the ASAC Government Relations Committee and a member of both the ASAC and Bay Area Chapter ASA Boards of Directors. Special thanks to ASAC Legislative Advocate Skip Daum of Capitol Communications Group for his assistance in sifting through and summarizing bills.
Click Here for a List of the New Construction Laws for 2015
(Updated March 7, 2015)
ASA OF CALIFORNIA MEETINGS Open to all ASA Members
ASAC Government Relations Committee (GRC)
June 1, 2015 - 11:00 a.m.
ASAC Annual Meeting
June 3, 2015 -- 11:00 a.m.
Both are Teleconferences.
Contact Executive Director Jordi Grant to get involved!
(Updated April 29, 2015)
ASAC Appreciates YOUR Help!
Once again as we work in a very active legislative session, ASAC leaders anticipate your doing your part, helping our Subcontractor community when we ask for your letters and phone calls.
Remember -- We only ask when we truly believe your efforts will be influential in determining the direction a bill or movement heads.
Those efforts do make a difference! There's strength in numbers!!!!!
Notes on the ASAC Website Layout: The American Subcontractors Association of California (ASAC) website is divided into the sections covering ASAC strengths as an association. We have our Legislative Advocacy program tracking and developing the new construction laws in Sacramento. The ASAC, also, is very fortunate to have a Judicial Advocacy program run by the finest construction attorneys up and down California to follow and try the latest construction cases in California's courts. And, lastly, ASAC has an expanding Benefits program from insurance offerings, to the website which has been developed to help keep subcontractors and suppliers informed of the latest construction issues affecting their daily business.