With the passage of the American Recovery and Reinvestment Act of 2009 (ARRA), the federal government invested approximately $25 billion in green building, and became a key market driver in the construction industry. State and local governments have also adopted new green building regulations. But green building projects raise new risks and liabilities. For example:… Continue Reading
In October 2009, President Barack Obama signed Executive Order 13514, which sets numerous green requirements for the federal government. The EO will certainly impact construction contracts with the federal government. According to the White House’s Press Release, the Executive Order requires agencies to meet a number of energy, water and waste reduction goals: 26% improvement… Continue Reading
If you are working on a construction project funded by the American Recovery and Reinvestment Act (or you have any hint that you are), you need to be aware of your responsibility to pay Davis-Bacon wages. Section 1606 of the American Recovery and Reinvestment Act (ARRA) sets out the Davis-Bacon wage requirements: Notwithstanding any other provision… Continue Reading
My last post warned that subcontractors on Federal construction projects should be alert to whether the Government designated the prime contract as a “commercial items’ contract, rather than a construction contract. Agencies often assume that in a “commercial items” contract — even if the contract is for purchase of construction-related services — the prime contractor is… Continue Reading
Federal agencies love green building certification. According to the United States Green Building Council, 14 federal agencies have implemented initiatives supporting LEED certification, a type of green building rating system. I had never quite understood why federal agencies were so focused on green building certification for new construction projects. That was, until I read this: U.S.… Continue Reading
Subcontractors seeking a piece of the Federal construction spending (pdf) boom beware: you can find yourself with no easy options to collect from a nonpaying prime, if the prime contract — the one you thought was a construction contract — is actually a “commercial items” contract, and the prime contractor did not get a payment bond.… Continue Reading
On Monday, I discussed conflicts between military construction and green building certification. Green building certification was originally created for commercial office buildings, which can create some odd applications in military construction. While we have have already discussed energy efficiency, bicycle racks and HVAC systems, there is one component of military construction that conflicts directly with… Continue Reading
