SBA Bond Guarantee Program – A Great Tool in Increasing Bonding Capacity

Denise Gillin Bonds, Construction, News

By Nick Newton for AssuredPartners Anyone working in the construction bond industry has seen the scenario where a client or prospect is requesting bonding capacity larger than the standard surety market is willing to provide. While some sureties will utilize tools like escrow or collateral, the SBA Bond Guarantee Program offers an alternative solution, enabling greatly increased capacity for your client. The SBA guarantees 80% of the bond obligation to the surety; 90% for firms that are minority-owned, veteran-owned, and service-disabled veteran-owned, 8(a) and HUBZone certified, and all contracts $100,000 or less. This reduced exposure makes it more palatable for the 42 sureties that participate in the program to offer increased bonding capacity. Click for the program highlights>>>

FMI: Construction Moves Forward, Expect 2023 Boom

Denise Gillin Construction, News

By Tom Jackson for EquipmentWorld.com While there’s no big upswing in the construction economy this year, there is at least forward progress, according to FMI’s 2021 Engineering and Construction Third Quarter Outlook report. Given a contentious election and pandemic, any progress is probably a good thing. And for transportation construction, the outlook turns especially bright after 2022. According to the report, total engineering and construction spending for the U.S. is forecast to end 2021 up 2%, compared to up 5% in 2020.   Get more details here>>>

U.S. Construction Insurance Market: Expect Higher Prices, Increased Security

Denise Gillin Construction, Insurance, News

By Sedat Kunt for ConstructionExec.com From a shortage of skilled workers to supply chain disruptions to the spiraling cost of essential materials, construction companies face substantial pressures. These risks come at the same time as insurance prices are rising and securing coverage is more challenging, threatening the profitability, and even the viability, of certain projects. Insurance pricing in the U.S. and globally, on average, has been increasing for several quarters. As insurers increase scrutiny on all applications—including extensions—companies in the construction industry are experiencing longer placement and renewal timelines and requests from underwriters for additional information. Read three actions you can take for more effective insurance renewals>>>  

Weekend Inspections Signal Tougher OSHA Approach

Denise Gillin Construction, News, Risk Management

By Angela Childers for BusinessInsurance.com After spending the past few months developing a COVID-19 emergency temporary standard, the Occupational Safety and Health Administration has turned its attention to safety issues in the construction industry. In early June, OSHA announced that it would begin a “Weekend Work” enforcement program targeting construction sites on Saturdays and Sundays in a “proactive effort to identify hazardous worksites and to ensure workers end their shifts safely.” This effort specifically seeks to address potential fall protection violations — the most-cited OSHA violation for a decade — and trenching violations, which have also consistently been named by the agency as among the top construction violations. Read more here>>>

Prevent Falls in Construction: National Safety Stand-Down

Denise Gillin Construction, News, Risk Management

The Occupational Safety and Health Administration (OSHA) has designated May 3 – 7, 2021 as the National Safety Stand-Down to prevent falls in construction. Fatalities caused by falls from elevation continue to be a leading cause of death for construction employees, accounting for 401 of the 1,061 construction fatalities recorded in 2019 (BLS data). Those deaths were preventable. The National Safety Stand-Down raises fall hazard awareness across the country in an effort to stop fall fatalities and injuries. What is a safety stand-down? A Safety Stand-Down is a voluntary event for employers to talk directly to employees about safety. Any workplace can hold a stand-down by taking a break to focus on “Fall Hazards” and reinforcing the importance of “Fall …

Construction Braces For Trump’s New Aluminum, Steel Tariffs

Denise Gillin Construction, News

Article by Kim Slowey for “ConstructionDive” High-rises, large residential multifamily projects and infrastructure projects are major buyers of steel and aluminum. Construction companies are likely to begin bracing for a wave of cost increases and the possibility of having to decide whether certain developments are now too expensive to build. Read the article >>>

Trump Considers Private Activity Bonds to Help Address Infrastructure Costs

Joshua Etemadi Bonds, Construction

By Ballard Spahr for “JDSUPRA” The White House released a 53-page framework on Tuesday setting forth its legislative goals for rebuilding America’s infrastructure (the Infrastructure Plan). The Infrastructure Plan is intended “to lead to at least $1.5 trillion in investments to rebuild our failing infrastructure and develop innovative projects” through $200 billion in federal funding to promote state and local governmental and private sector investment over the next 10 years. This would largely shift funding for infrastructure away from the federal government to state, local and private sector funding sources. Read the article >>>

Drones With Thermal Sensors Can Detect Hot Spots, Delamination, Moisture Instrusion, Spalling

Joshua Etemadi Bonds, Construction

In the U.S., commercial drone use has accelerated across many industries. In the last two years, one million new pilots have registered with the Federal Aviation Administration, and by 2020, experts expect seven million drones to be in use. The 2017 Drone Market Sector Report found that construction (design, building inspection or monitoring) is in the top three uses for commercial drone-based services, behind aerial photography, surveying and mapping, and geographic information systems (GIS). The number of construction and engineering companies using drones is expected to continue to grow, as use cases emerge that offer further business value and competitive advantage for companies with drone programs. Read more here >>>

Surety Agreed to Post Bonds to Cover Subs’ Construction Lien Claims

Joshua Etemadi Bonds, Construction

Behind the gleaming glass façade of LaSalle’s new civic centre lies a tangled mess of construction liens and lawsuits still making its way through the courts three and a half years after the building opened to the public. Battling in the civil courts are Piroli Construction, the general contractor on the $13.8-million project, and the Town of LaSalle, as well as several subcontractors who claim they were never paid for work they completed. Tuesday, a Superior Court judge ordered that seven separate lawsuits be dealt with together when and if they ever go to trial. They include Piroli’s $319,000 claim against the town, the town’s counterclaim of $75,000 against Piroli for breach of contract and six construction liens totalling $613,604 naming …

US GDP Growth to Contribute to New Construction in US, Canada

Joshua Etemadi Bonds, Construction

Groundbreakings on several mega projects late last year lifted ConstructConnect’s 2017 total U.S. starts to +11.1% versus 2016, more than the +7.9% set out in the previous quarterly forecast. The out-front timing of those mega project starts also caused trimming of ConstructConnect’s expectations for 2018, which is now being projected at +3.0% year over year versus the prior projection of +4.8%. Read more about the forecast >>>