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Federal Judge Issues Permanent Injunction Against Overtime Rule

On Aug. 31, the U.S. District Court for the Eastern District of Texas granted a motion for summary judgment against the U.S. Department of Labor’s (DOL) burdensome and costly overtime rule and converted his earlier preliminary injunction (issued Nov. 22, 2016) to a permanent injunction.
 
ABC participated in the business coalition that achieved this outcome, and ABC General Counsel Maury Baskin of Littler Mendelson P.C. filed the successful motion for summary judgment.  

As a result of this final judgment by the district court, the pending appeal from the preliminary injunction is now moot and is expected to be dismissed. 

The Trump administration will have until Oct. 31 to decide whether to file a new notice of appeal from the judge’s final order.  ABC hopes the administration will not appeal, and instead will focus its efforts on proposing a new rule, which is already underway at DOL

Background:

On May 23, 2016, DOL issued the Defining and Delimiting the Exemptions for Executive, Administrative, Professional, Outside Sales and Computer Employees final rule, also known as the overtime final rule. This would have changed the federal exemptions to overtime pay under the Fair Labor Standards Act for “white collar” workers by doubling the current minimum salary level for exemption from $23,660 to $47,476 per year and automatically increasing it every three years. 

On Sept. 20, 2016, ABC and a coalition of business groups filed a lawsuit against the final rule, and on Nov. 22 it was blocked from going into effect.

On July 26, 2017, the DOL issued a Request for Information (RFI) related to the final overtime rule. The public may submit comments on the RFI until Sept. 25, 2017. 

ABC has been a vocal opponent of the overtime rule, submitting comments along with more than 900 ABC members and as a member of the Partnership to Protect Workplace Opportunity. ABC supported legislation that would prevent DOL from implementing the rule and that would have delayed its implementation. 

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EPA To Hold Public Meetings on WOTUS Rule

Last month, the U.S. Army Corps of Engineers and the U.S. Environmental Protection Agency (EPA) released a schedule of meetings that will offer the public the chance to discuss the definition of “Waters of the United States (WOTUS).”

Following a proposal to rescind the Obama-era WOTUS rule in July, EPA and the Corps published a notice in the Federal Register on Aug. 28.

The first meeting of the series will be a teleconference focused on small entities on Tuesday, Sept. 19, from 1 to 3 p.m. EDT. The Corps and EPA will also conduct an in-person meeting for small entities at the EPA’s headquarters (1200 Pennsylvania Avenue NW, Washington, DC 20003) on Monday, Oct. 23, from 9 to 11 a.m. EDT.

Additionally, EPA and the Corps will be hosting several WOTUS webinars that focus on such sectors as agriculture, mining, construction and transportation, and conservation. The webinar for construction and transportation will be held on Tuesday, Oct. 3, from 1 to 3 p.m. EDT.  

Learn more about the schedule of public meetings here.

Since Oct. 9, 2015, the 2015 WOTUS final rule has been under a nationwide stay by the U.S. Sixth Circuit Court of Appeals. ABC has been a vocal opponent of the WOTUS rule since it was first proposed in April 2014, and recently submitted comments to the EPA on this and other burdensome EPA regulations in May 2017, stating that this rule could “lead to a flood of unnecessary and excessive permitting requests that would create project delays and increase costs.” 

ABC will continue to provide updates on the WOTUS rule through Newsline.

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Citizenship and Immigration Services to Require Using Updated Form in September

On Sept. 18, the U.S. Citizenship and Immigration Services (USCIS) will require employers to use the revised version of Form I-9, Employment Eligibility Verification, with a revision date of 07/17/17 N. Employers must continue following existing storage and retention rules for any previously completed Form I-9. The USCIS press release includes the following changes:

Revisions to the Form I-9 instructions:

• USCIS changed the name of the Office of Special Counsel for Immigration-Related Unfair Employment Practices to Immigrant and Employee Rights Section.
• USCIS removed “the end of” from the phrase “the first day of employment.”

Revisions related to the list of acceptable documents on Form I-9:

• USCIS added the Consular Report of Birth Abroad (Form FS-240) to List C. Employers completing Form I-9 on a computer will be able to select Form FS-240 from the drop-down menus available in Sections 2 and 3 of List C. E-Verify users will also be able to select Form FS-240 when creating a case for an employee who has presented this document for Form I-9. 
• USCIS combined all the certifications of report of birth issued by the Department of State (Form FS-545, Form DS-1350 and Form FS-240) into selection C #2 in List C.
• USCIS renumbered all List C documents except the Social Security card. For example, the employment authorization document issued by the Department of Homeland Security on List C changed from List C #8 to List C #7.

Further, ABC’s general counsel, Littler Mendelson P.C., prepared an analysis of the revised form and stated that “Although these changes are minimal, employers should take note of them to remain in compliance.  Particularly with regard to the revisions in the Section 1 instructions, employers should revisit their internal Form I-9 policies to ensure that employees are completing Section 1 no later than their first day of employment.”

Employers can use the revised Form I-9 or continue using Form I-9 with a revision date of 11/14/16 N through Sept. 17.

In accordance with the revised form, USCIS also revised the Handbook for Employers: Guidance for Completing Form I-9 (M-274).

More information on the revised Form I-9 can be found on the USCIS website

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Southcon Building Group Earns AQC Credential

SouthCon Building Group LLC of Mount Pleasant, S.C., a member of ABC’s Carolinas Chapter, has been awarded Accredited Quality Contractor (AQC) status by ABC.

The AQC program recognizes and honors construction firms that document their commitment to excellence in five key areas of corporate responsibility: quality, safety, employee benefits, training and community relations.  A company that meets the criteria set forth in the program and has earned Safety Training Evaluation Process (STEP) Gold, Platinum or Diamond status is formally designated an “Accredited Quality Contractor.”      

Companies selected as an Accredited Quality Contractor receive:

• Wide recognition within the industry and business community and with the public 
• Authorization to use AQC language in bid documents
• Permission to use the AQC logo on letterhead, business cards and jobsite signs
• Access to AQC marketing materials such as hard hat stickers, membership plaques, etc. 
• Points on ABC National Excellence in Construction® award submissions
• Mention in the December issue of ABC’s magazine, Construction Executive, as well as eligibility to purchase specially priced packages for half-page, full-page and two-page designs

For more information, visit abc.org/aqc or contact aqc@abc.org

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Hurricane Harvey Rebuilding: Know the Hazards and Be Safe!

We have all been affected by the scenes that continue to unfold of the devastation caused by Hurricane Harvey, one of the worst natural disasters ever to hit our country.  When the flood waters recede, ABC contractor members and their employees will be asked to help rebuild Houston and other communities along the Texas Gulf Coast.
 
For those planning to work in areas affected by Hurricane Harvey, ABC National has collected helpful information from the Occupational Safety and Health Administration (OSHA), the Centers for Disease Control (CDC) and the National Institute for Occupational Safety and Health (NIOSH) about the common hazards associated with recovery and rebuilding.
 
Electrical Hazards
Expect to find standing water throughout a flood zone. If water has been present anywhere near electrical circuits or electrical equipment, turn off the power at the main breaker or fuse on the service panel. Never enter flooded areas and touch electrical equipment if the ground is wet.
 
Carbon Monoxide 
Gasoline and diesel-powered generators, pumps and pressure washers all release carbon monoxide, a deadly, colorless, odorless gas. These devices must be operated out-of-doors and never inside confined spaces. When placed outside, position the device downwind of the work area.
 
Rodents, Snakes and Insects
Both live and dead animals can spread diseases such as rat bite fever and rabies. Dispose of dead animals as soon as possible. If bitten or scratched, seek medical attention immediately.

Watch where you place your hands and feet when removing debris. If possible, do not place your fingers under debris you are moving. Wear heavy gloves. If you see a snake, step back and allow it to proceed. A snake’s striking distance is about half the total length of the snake.

Watch out for fire ants; their bites are painful and can cause blisters. Severe reactions to fire ant bites (such as chest pain, nausea, sweating, loss of breath, serious swelling or slurred speech) require immediate medical treatment.  

Chemical and Biological Hazards
Floodwaters may contain chemicals and biohazards due to direct contamination by untreated raw sewage, dead animals, rotting food, etc. 

Detailed flood preparedness guidance from OSHA and the CDC, including a comprehensive list of related OSHA resources in English and Spanish, provide excellent content for a tool box talk or a pre-task plan discussion, and they can be used to augment a site-specific or new hire safety orientation. All six of core leading indicators from the 2017 Safety Performance Report can—and should—play a role in the safe delivery of reconstruction projects by our ABC contractor members and their employees.

Please don’t hesitate to contact Steve Wiltshire, director of safety at ABC National, if you need any further information, and remember to be careful.

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President Trump Launches Tax Reform Push

President Trump kicked off his push for tax reform with a speech at a manufacturing facility in Springfield, Mo., making the case that a “pro-growth, pro-jobs, pro-worker, and pro-American” tax code is the key to revitalizing Main Street businesses, bringing back jobs and keeping the United States competitive in the global economy. The event, attended by local small business leaders including more than a dozen members of ABC’s Heart of America Chapter, marked the opening salvo in the White House’s effort to sell a highly anticipated tax bill that sits atop the GOP’s fall legislative agenda.

While short on specifics—the precise text of the bill has been a closely guarded secret by the so-called “Big Six” principals responsible for the overhaul—the speech made a strong case for the urgency of reform and the imperative of fixing a broken tax code riddled with loopholes that help the rich and connected while holding back middle-class families and small businesses.

In today’s speech, President Trump committed to “bring back main street by reducing the crushing tax burden on our companies and on our workers.” He continued by insisting that the reformed tax code be “simple, fair and easy to understand.”:
 
“That means getting rid of loopholes and complexity that primarily benefit the wealthiest Americans and special interest… [Tax reform] must benefit loyal hardworking Americans and their families.”

The president’s words ring particularly true to merit shop contractors. A capital-intensive, low-margin, domestically oriented business comprised largely of small, family-owned and closely held firms, construction doesn’t lend itself to the provisions that are exploited by large, multinational corporations. According to analysis by the U.S. Department of Treasury, the construction industry pays the highest effective tax rate of any sector of the nation’s economy.

ABC National staff is highly engaged in the emerging tax reform discussion on Capitol Hill and will continue to update Newsline readers as the process moves forward.

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OSHA Launches Electronic Portal for Injury and Illness Records

On Aug. 1, the Occupational Safety and Health Administration (OSHA) launched the Injury Tracking Application, which is the web-based form employers can use to submit their injury and illness data. The launch comes right after OSHA closed the comment period on delaying the electronic reporting portion of the final rule, “Improve Tracking of Workplace Injuries and Illnesses,” from July 1 to Dec. 1, 2017. On Aug. 16, OSHA shut down the website for a brief period of time after the Homeland Security Department informed the agency of the potential compromise of a user’s information. 

Employers should understand that while OSHA has launched its website, they are not required to submit their data there until Dec. 1, 2017. The administration has announced that it intends to issue a proposed rule that will reconsider, revise or remove provisions of the final rule in October. 

More information on the final rule can be found on OSHA’s webpage

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Architectural Metals Earns AQC Credential

Architectural Metals Inc. of Portland, Mich., a member of ABC’s Western Michigan Chapter, has been awarded Accredited Quality Contractor (AQC) status by ABC.

The AQC program recognizes and honors construction firms that document their commitment to excellence in five key areas of corporate responsibility: quality, safety, employee benefits, training and community relations.  A company that meets the criteria set forth in the program and has earned Safety Training Evaluation Process (STEP) Gold, Platinum or Diamond status is formally designated an “Accredited Quality Contractor.”      

Companies selected as an Accredited Quality Contractor receive:

• Wide recognition within the industry and business community and with the public 
• Authorization to use AQC language in bid documents
• Permission to use the AQC logo on letterhead, business cards and jobsite signs
• Access to AQC marketing materials such as hard hat stickers, membership plaques, etc. 
• Points on ABC National Excellence in Construction® award submissions
• Mention in the December issue of ABC’s magazine, Construction Executive, as well as eligibility to purchase specially priced packages for half-page, full-page and two-page designs

For more information, visit abc.org/aqc or contact aqc@abc.org

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Fox News: ABC CEO Michael Bellaman Talks Infrastructure

In a live interview on Fox News on Aug. 20, ABC President and CEO Bellaman praised President Trump’s recent executive order streamlining infrastructure permitting, saying it goes a long way towards eliminating construction delays and sets the table for when legislation is passed. But we have “a whole lot to do” before infrastructure rebuilding can begin.

In particular, construction industry leaders need flexibility to implement an “all-of-the-above” training approach to close a skills gap in construction so that complex infrastructure projects can move forward quickly, safely and cost-effectively.

Bellaman said that for every $1 million dollars spent on infrastructure rebuilding, 6.7-7.1 jobs are created, potentially creating a shortfall of 600,000 to 700,000 workers on top of the 500,000 unfilled jobs in construction right now. 

In terms of paying for $1 billion of infrastructure projects, Bellaman called for a combination of public-private partnerships, matching funds with state funds and solely federal funds to address the specific requirements of different infrastructure projects that provide a variety of services. 

Recognizing the current efforts of Congress, Bellaman wants to see legislative action on an infrastructure plan soon. He said there is a great desire among cabinet officials, agency executives and business leaders to get something done. “The infrastructure opportunity for the United States of America is tremendous,” he said.

Share the Fox News interview on Twitter, Facebook and LinkedIn

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ABC Members Named to Top Commercial Solar Contractors List

Twenty percent of the top 25 commercial solar contractors of 2017 are ABC members. The firms were ranked by Solar Power World according to their number of kilowatts installed in 2016.

#4: DKD Electric, Albuquerque, N.M.
#5: Hypower, Fort Lauderdale, Fla.
#7: Faith Technologies, Menasha, Wisc.
#15: M Bar C Construction, San Marcos, Calif.
#16: Wilson Electric, Tempe, Ariz.

While primarily focused on the commercial market, the companies in the ranking may also work in the residential or utility markets. This list’s highest-ranked ABC member, DKD Electric of New Mexico, was responsible for installing 220,400 kilowatts in 2016 and 370,120 kilowatts overall.

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