The U.S. Environmental Protection Agency (EPA) has abruptly decided to abandon the first nationwide numeric limit on the amount of sediment that can cloud the water running off of construction sites.  Citing evidence that both AGC and the National Association of Home Builders (NAHB) included in their comments on EPA's original proposal - and in direct in response to a lawsuit that NAHB subsequently filed - EPA has admitted that its new "Effluent Limitations Guidelines"  for the "Construction and Development Industry" (C&D ELG) are fundamentally flawed.  Click here to read the August 13 motion that EPA filed with a federal court of appeals asking it to declare that its numeric turbidity limit is void and to send that limit back to the agency for reconsideration.  EPA also has asked the court to put the pending lawsuit on hold until it completes the rule review process.Courts of appeals generally prefer to allow agencies to correct their own mistakes rather than wasting the courts' and the parties' resources reviewing an admittedly incorrect rulemaking record.  In this instance, EPA has concluded that it improperly interpreted the data underlying the numeric limit it adopted.  All parties to the pending lawsuit agree that EPA's request to vacate and remand the rule is appropriate.  However, the other requirements of the ELG remain in effect: The rule also specifies the exact types of erosion and sediment controls that contractors must use, at a bare minimum, to control stormwater runoff on all construction sites that disturb one or more acres of land.Over the next 18 months, EPA plans to re-examine its numeric turbidity limit through a "narrowly-tailored notice-and-comment rulemaking and, if necessary, revise [it]."  EPA will gather and review additional materials, including the applicability of the numeric limit to cold weather sites and to small sites that are part of a larger project.  EPA also may take further action specific to linear gas and electric utility projects.  EPA is expected to issue interim stormwater management guidance for construction site operators as the agency works to refine the rule.Throughout the rulemaking process, AGC worked with and supported NAHB, contributing to the research that ultimately formed the foundation for the lawsuit.  AGC and NAHB also combined forces to submit detailed comments demonstrating that EPA had significantly underestimated the cost and impact of a nationwide numeric turbidity limit.  Independently, AGC also participated in the small business review of the originally proposed limit, and AGC continues to coordinate with the Small Business Administration - which has also called on EPA to reconsider its numeric turbidity limit.For more information, please visit AGC's Environmental Observer here.

According to Prudential, the commercial market may bounce back sooner than expected, particularly in larger cities.  Marc Halle of Purdential Global Real Estate Fund estimates that because the market bottomed faster that the 1990s downturn, it will bounce back quicker. Because of financing limitations, there is less demand on the market, fostering greater competition between investors with cash.  Halle also noted that many buildings in large cities whose loans are in default are near-full occupancy and are producing income.  Other owners are able to extend their loans, but this is not the case in smaller or mid-tier cities, which will likely endure more contraction.For more details from Reuters, please click here.

According to Reed Construction Data's Jim Haughey, 13 states have budget reserves of one percent or less, thus making interim spending cuts inevitable.  Many states budgeted for additional stimulus funds, and they will have to trim their budgets if additional grants are not received.  Only 17 states have reserves of five percent or more, an amount that is enough to maintain spending even with budget shortfalls.  This means that most states will need to expect construction budget cuts.For more from Reed Construction Data, please click here.

AGC has compiled a new resource for all things Buy American on its website. The new page describes the differences between "Buy American," "Buy America," and the Recovery Act Buy American provisions.The page also catalogues AGC's standing policy of opposition to expansion of the Buy American Act, a description of the Recovery Act rules and regulations governing the Recovery Act Buy American provisions (both for direct-federal and federal-aid work), AGC's analysis of several key provisions of the rules and regulations, and a catalogue of waivers guidance from agencies that have construction portfolios. This valuable new comprehensive resource is located at www.agc.org/buyamerican and will be updated on an ongoing basis as new information is released from the agencies.For more information, contact Scott Berry at (703)837-5368 or berrys@agc.org.

Five leading construction industry associations joined the ConsensusDOCS Coalition last month. With the addition of these organizations, we continue to expand the participation of DOCS - design professionals, owners, contractors, subcontractors and other industry-related stakeholders.The new coalition members are:Women Construction Owners & Executives, USA (WCOE)Door and Hardware Institute (DHI)National Ground Water Association (NGWA)American Society of Professional Estimators (ASPE)Construction Specifications Institute (CSI)ConsensusDOCS are the only standard contract documents with a coalition of 28 leading construction industry associations, including The Associated General Contractors of America.As an AGC member, you receive a 20 percent discount on all ConsensusDOCS products.  Just visit www.ConsensusDOCS.org and enter:Partner Code: AGCPromotional Code: 100For more information, contact Carrie Ciliberto at cilibertoc@agc.org or (703) 837-5367.

The new content launched August 18, 2010!That's right, the release of AGC's second edition of the Building to LEED® for New Construction curriculum is just around the corner, and we have a great webinar opportunity for Chapters to prepare for the updated offering and begin scheduling Fall courses. This will be a great opportunity to help your members pursuing LEED® certification on their projects or those looking to maintain their professional accreditation.August 26, 2010 - Webinar: Building to LEED for New Construction Train-the-TrainerProgram will provide the skills essential to effectively instruct the second edition Building to LEED courses - specifically how to teach adult learners, encourage interaction among participants and use the course manuals to prepare for and deliver courses. Registrants of this webinar will receive a copy of the Building to LEED for New Construction, 2nd Edition, Instructor's Guide as part of their registration fee-only $99 for chapter registrants! The program will cover:-The Building to LEED course learning objectives-The target course audience and how to adapt the course to fit a wide-range of participants.-The major differences between LEED v2.2. and 3 and how they are identified in the course.-The difference between design and construction submittals-How to recognize situations in which they should bring their own examples into the class to demonstrate the impact of LEED on a contractor-The various exercises included in the new courseCLICK HERE to learn more or register for the program. Chapters who wish to have their fall offerings of Building to LEED promoted during these webinars should send them to curriculum@agc.org.For more information please contact Stephanie Mullins at mullinss@agc.org or (703) 837-5387.

According to Reed Construction Data, the value of June construction starts rose almost three percent from May, higher than the typical seasonal gain.  Year to date values are up 13 percent from 2009 starts in the same time period.  Values have been steady for four months and are almost 50 percent above the June 2009 low point, but are still 25 percent below the peak.  Starts are exepected to remain stable over the next few months and rise at the end of this year. For more on June's construction starts from Reed Construction Data, please click here.

The 2011 AGC Building Contractors Conference will be held September 21-24, 2011 at the Westin La Cantera Resort in San Antonio, Texas.  Registration will open in Spring 2011.  Don't forget to mark these dates down on your calendar!

AGC and other groups sent a joint letter to all members of the U.S. House of Representatives in support of the Community Recovery and Enhancement Act (CRE Act), introduced in late July by Congresswoman Shelley Berkley (D-NV).The intent of this legislation is to help incentivize investment in commercial real estate.  The Community Recovery and Enhancement Act will enable banks to convert troubled loans into performing assets through modest tax incentives to attract new equity capital to existing commercial real estate projects.  The new investments would be specifically used to pay down debt, resulting in lower loan-to-value ratios of existing loans as well as improved debt coverage ratios.To read the letter click here.

New rule will take effect Nov. 8, 2010 The U.S. Department of Labor's Occupational Safety and Health Administration (OSHA) issued on July 28, 2010 a new rule addressing the use of cranes and derricks in construction.  Approximately 267,000 construction, crane rental and crane certification establishments employing about 4.8 million workers will be affected by the final rule. Read the changes to the final rule from the proposed rule here.Since OSHA announced its decision to establish a Crane and Derrick Negotiated Rulemaking Advisory Committee (C-DAC) under the Negotiated Rulemaking Act (NRA), the Occupational Safety and Health Act (OSH Act) and the Federal Advisory Committee Act (FACA) in 2003, AGC participated on the C-DAC Committee and commented extensively on the proposed rule. AGC's comments centered on crane operator qualification and certification, as well as the scope, definitions, fall protection, inspections, and assembly/disassembly requirements of the rule. AGC also held a series of conference calls with members and Chapters to review and solicit comments on the proposal.The previous rule, which dated back to 1971, was based on 40-year-old standards. The new rule is designed to prevent the leading causes of fatalities, including electrocution, crushed-by/struck-by hazards during assembly/disassembly, collapse and overturn.  It also sets requirements for ground conditions and crane operator assessment.  In addition, the rule addresses tower crane hazards, addresses the use of synthetic slings for assembly/disassembly work, and clarifies the scope of the regulation by providing both a functional description and a list of examples for the equipment that is covered.The new rule will take effect on Nov. 8, 2010. To view AGC's comments on the proposed regulations, click here, and the changes in the final rule here. The complete rule is available here. The regulation text is available here. For additional information, please contact Kevin Cannon at (703) 837-5410 or cannonk@agc.org.