The U.S. Environmental Protection Agency (EPA) Administrator Scott Pruitt signed an agency-wide directive (and accompanying memo) on Oct. 16 that imposes steps to end the practice known as “sue and settle” – which is a quick resolution of citizen suits by environmental groups against the EPA, involving the agency’s failure to comply with statutory deadlines for issuance of regulations. Such agreements are oftentimes reached with little to no public input or transparency, EPA said, calling such a practice “regulation through litigation.” AGC has long expressed concern that special interest groups are using these lawsuits to force the EPA to issue regulations that advance their interests and priorities. The chief executive officer of AGC praised EPA for “putting an end to back room agreements ... [and] making sure that all affected parties have an opportunity to contribute to the discussion about measures needed to protect our environment.”
On October 18, AGC submitted recommendations to the U.S. Army Corps of Engineers (USACE), highlighting the regulatory burden on the construction industry and offered specific program modifications and solutions relating to performing work with USACE.
Construction-industry collective bargaining negotiations settled so far this year resulted in an average wage-and-benefit increase of 2.6 percent or $1.44, according to the latest Settlements Report issued by the AGC-supported Construction Labor Research Council (CLRC). Settlements reported between January and September 2017 resulted in an average first-year wage-and-benefit increase of 2.8 percent or $1.62. For newly negotiated multiyear agreements, the average second-year increase was 2.9 percent or $1.69. Settlements this year maintain an upward trend that has continued since 2011.
The House Committee on Education and the Workforce recently approved the Save Local Business Act, which would clarify that two or more employers must have “actual, direct, and immediate” control over employees to be considered joint employers under the National Labor Relations Act (NLRA) and the Fair Labor Standards Act (FLSA). The changes are significant and have the potential to disrupt the long-standing standards in labor law and the well-settled subcontracting practices in the construction industry. Due to the significance of the changes, AGC delivered a letter to Congress in advance of the committee action encouraging support of the legislation.
Represents Construction Industry before White House, DOL & DOT
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In late September, the Federal Highway Administration (FHWA) reinstated, on a temporary basis, a requirement that states account for on-road greenhouse gas emissions (GHG) when planning transportation improvement projects. On Oct. 5, FHWA proposed a rulemaking to formally repeal the measure with a goal of finalizing it by spring 2018. FHWA pointed out that a GHG measure is not required by statute and is a burdensome and an unnecessary addition to the planning review. FHWA limited the comment period to 30 days in an effort to eliminate this requirement before states would be required to implement it.
The Trump Administration reinforced its commitment to ensure that the Federal environmental review and permitting process for infrastructure projects is coordinated, predictable, and transparent.. President Trump, through Executive Order (EO) 13807, Establishing Discipline and Accountability in the Environmental Review and Permitting Process for Infrastructure Projects, issued on Aug. 15, identified concerns with the Environmental Impact Statement (EIS) process required under the National Environmental Policy Act (NEPA) – including lack of coordination among federal agencies, overlapping statutory requirements, and redundant processes – and called on federal agencies to undertake reforms.
Construction employment increased by 8,000 jobs in September to the highest level since October 2008, amid a tight labor market that may be keeping contractors from hiring as many workers as they need, according to an analysis of new government data by the Associated General Contractors of America. Association officials said construction employment gains would have been higher if more high school students were exposed to construction as a possible career option.
On Tuesday, AGC Chief Executive Officer Stephen E. Sandherr and Tom Couling (Zachry Constr), the chair of AGC’s environmental forum, joined senior officials at the U.S. Environmental Protection Agency (EPA) in the launch of the agency’s Smart Sectors program. EPA invited AGC to partner on an aggressive effort to eliminate or improve harmful rules that have failed to deliver results and stifled economic growth.