OSHA's 10 regional administrators have been directed in a memo by OSHA Administrator Dr. David Michaels to revise how the current penalty calculation system contained in the Field Operations Manual is being used in enforcement proceedings. The administrative penalty changes are scheduled to take effect over the next several months.The overall goal of the agency is to provide an adequate deterrent to employers using increased penalties.  The average penalty for serious violations will be increased from $1,000 to an average of $3,000 - $4,000, according to the changes.  The following are the most significant changes to the calculation system:An employers' history of violations will expand from three years to five years.10 percent increase in their penalties for employers (up to the maximum) for employers who have been cited for any high-gravity, serious, willful or repeat violations, or have been cited for a failure to abate notice in the previous five years.The time period for repeated violations will be increased from three to five years.Area directors are authorized to offer up to a 30 percent penalty reduction to employers at an informal conference.Where circumstances warrant, at the discretion of the area director, high-gravity serious violations related to standards identified in the Severe Violator Enforcement Program (SVEP) will no longer need to be grouped or combined, but can cited as separate violations, each with its own proposed penalty.No size reduction will be applied to employers with 251 or more employees.10 percent reduction for employers with a strategic partnership agreement will be eliminated.AGC is greatly concerned about the impact of these administrative changes on its members and is working to inform AGC members of these changes. We will continue to have discussions with OSHA to gather more information on the changes and convey the impact they will have on the construction industry.To view a copy of the OSHA memorandum, click here.For more information, please contact Kevin Cannon at (703) 837-5410 or cannonk@agc.org.

EPA recently finalized its new stormwater rules that will impact nearly every construction and development project in the United States. The so-called Construction and Development Effluent Limitations Guidelines (C&D ELG) rule for the first time imposes an enforceable numeric limit on stormwater discharges from sites disturbing 10 acres or more at one time, requires monitoring to ensure compliance with the numeric limit, and requires nearly all construction sites to implement a range of prescriptive erosion and sediment controls and pollution prevention measures. Both the homebuilding industry and the U.S. Small Business Administration have taken legal action to challenge EPA's C&D ELG rule and, in particular, its numeric turbidity standard that dictates how murky stormwater can be when it runs off regulated construction sites. The new C&D ELG requirements, published in the Federal Register on December 1, 2009, will directly apply to a construction site "operator" when they are incorporated into an individual or general NPDES (National Pollutant Discharge Elimination System) stormwater permit that applies to his/her project(s). Construction stormwater permits are good for five years.  States are required by EPA to incorporate the new ELG requirements into their permits upon next reissuance.  For detailed information on the ELG rule and a list of state permit expiration dates, click here for an AGC article. Click here to find out more about the challenges brought against EPA's national stormwater rules.For more information, please contact Leah Pilconis at (703) 837-5332 or pilconisl@agc.org.

The Summer 2010 BIMForum will focus on the primary principles involved in Lean design and construction and how building information modeling (BIM) can best be integrated into Lean construction practices. Anyone interested in learning more about BIM or developing the knowledge and competency needed to successfully implement BIM in your organization is encouraged to attend. Early registration is encouraged.The BIMForum has grown into an industry-leading user's group focused on the application of virtual design and construction for the AEC industry, and includes more than 1,800 members from across the commercial construction Industry. Click here to learn more!

The Senate recently passed legislation to reauthorize Federal Aviation Administration (FAA) programs and funding for two years. Included in the legislation is $8.1 billion for the Airport Improvement Program (AIP), the primary source of federal funding for airport capital projects, $4 billion in FY 2010 and $4.1 billion in 2011.The program is currently funded at $3.5 billion. The Senate bill would also allow six airports (to be determined in the future) to raise the passenger facility charge (PFC) on airline flights from $4.50 to $7.00. The House passed a four-year authorization in July 2009, and included a total of $16.2 billion for AIP grant funding and allows all airports to increase the PFC from $4.50 to $7.00, which is estimated to generate $1billion per year in additional revenue for airport infrastructure investment.AGC is working in support of allowing the PFC ceiling to increase for all airports to $7.00. The House is likely to amend the Senate bill, which will allow the Senate to either ask for a conference to settle the differences or else allow informal negotiations to settle the differences, leading to another exchange of amendments between the House and Senate.To prevent any disruption in the programs, the House passed a bill to extend FAA authorization until July 31, 2010, which changes the way that $745 million in highway funding under the Projects of National and Regional Significance and Corridor programs will be apportioned to states in FY 2010. The Senate has yet to act on the extension.

Would you like to see what topics were presented at past AGC Building Contractors Conferences?  Would you like to view the PowerPoint presentations?  Go to www.agc.org/building and look under "Resources" for presentations since January 2008.

A new contractor reporting database is set to become effective on April 22, 2010, according to GovernmentExecutive.com.  The Federal Awardee Performance and Integrity Information System (FAPIIS), required under the Defense Authorization Act, is designed to enhance the government's ability to review the performance quality and conduct of contractors in order to "protect the government from awarding contracts to contractors that are not responsible sources." The database, which will be managed by the U.S. General Services Administration, will eventually include information for state contracts.  This information will not be added until a comprehensive format for collecting state by state information is established.  Further, the possibility of adding local government information will be explored.For the complete article, please click here.

Save the Date: May 6, 2010 |1:00pm-2:30pm ETFree for AGC Members and Chapters, this AGC webinar will detail the recently enacted health care bill and the sweeping changes to the delivery of health care in the United States. Focusing on the impact on employers in the construction industry as well as their responsibilities and requirements to offer health care benefits to their employees, AGC has partnered with a prestigious law firm experienced in this matter to analyze the impact of the bill on construction employers and suggest preparations that employers should begin implementing to comply with the new law.Plus, AGC's chief economist, Ken Simonson, will close out the event with a preview of the impact the legislation will have on the demand for future health care construction.The webinar will cover the following:·        new employer responsibility requirements·        new insurance reforms·        impact of tax changes·        wellness programs·        impact on collectively bargained employees·        impact on future health care constructionRegistration:AGC Members:  FREENon-Member:  $79To register CLICK HERE.  For additional guidance, please review AGC's analysis here and here.  Please contact Jim Young at youngj@agc,org or 202-547-0133 should you have questions.

When the going gets tough, the tough remodel.  Remodeling, renovating, repurposing, or repositioning - whatever you may call it, developers are looking to refurbish old buildings to get more value out of their properties.  A recent New York Times article examines a few recent renovations, and how they offer a way to receive greater return.  If developers are able to purchase an old building at a reduced price, a portion of the money saved can be used to upgrade it, which in turn brings in better rents.Even if a building is stripped to its foundation, the savings of keeping the existing foundation (versus demolishing it) can be significant.  Not only are materials prices saved, but there is less construction time involved, therefore ushering in tenants quicker.  Other aspects, such as grandfathered zoning and the "green" factor of retrofitting, are also very appealing. For the complete article from the New York Times, click here.

At AGC's 91st Annual Convention and Pavilion in Orlando, Fla.. Mike Kenig from Holder Construction Group in Atlanta was elected Building Division chair and Chuck Greco from the Linbeck Group in Houston was elected Division vice chair.  Eric Stenman from Barnhart-Balfour Beatty, Inc. was also appointed the new chair of the AGC Contract Documents Committee.

According to a recent article, the U.S. General Services Administration has awarded $4 billion of its $5.5 billion of Recovery Act funds to convert existing federal buildings into LEED-certified green buildings.  GSA Administrator Martha Johnson claims that the GSA's green investments "will save taxpayer dollars in energy efficiencies and builld a more sustainable economy."  More than 390 projects have been awarded funds, covering all fifty states, two U.S. territories, and the District of Columbia.For the complete article from GovernmentExecutive.com, please click here.