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March 20, 2015
Weekly Political Update
Alabama Contractors Association
PO Box 2354
Montgomery, AL 36101
www.alabamacontractors.org
Alabama Contractors Association
An Independent Association of Concerned Contractors and Subcontractors
Fighting to Preserve Our Competitive Bid Laws
2015 Alabama Legislative Session
Thursday, March 19, completed the 8th day of the legislative session. There are 30 days in a
legislative session - so we have 22 days to go.
CM@Risk Update
HB275 by Tuggle, CM@Risk Legislation, was on the agenda in the House State Government
Committee on Wednesday, March 18. I called a Public Hearing on the bill on Thursday of the
previous week. Prior to the Public Hearing ABC drafted an Amendment to the bill to remove the
Design-Build section of the legislation and AIA then endorsed the legislation. Tuggle promptly
cancelled the Public Hearing and I spent the early morning reinstating the Public Hearing on the
bill. The Amendment to the Bill was easily adopted.
This Amendment does not make the bill any better. HB275 Amended is still as bad as it was
before. Nothing was changed to make the bill any better. The entire CM@Risk legislation was
left in the bill.
Over 100 people attended the Public Hearing. Three Advocates and three Opponents were
allowed to speak the bill. Those who spoke on behalf of ACA in opposition to the bill did a
fabulous job. Additionally, Katherine Lynn with the Alabama Building Commission was called on
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Weekly Political Update
to speak by Rep. Tuggle Chair of the Committee (who is also the bill sponsor). She spoke in
favor of the legislation. Tuggle also called on a representative of the University of Alabama who,
amazingly, was not at the meeting.
Tuggle did not call for a vote on Wednesday, indicating he did not have the votes to pass the bill
out of committee. He called another House State Government Committee meeting for Thursday
immediately upon adjournment of the House. Again, he did not have the votes to pass the
legislation out of the committee.
The Senate Companion bill was introduce on Tuesday, March 17. SB239 by Sanford was
assigned to the Senate Financial Responsibility and Economic Development Committee which
is Chaired by Sen. Phil Williams. I have already called a Public Hearing on this bill. I will let you
know when it will go before the Committee.
Members of ACA have been working hard, calling legislators and walking the halls of the State
House, to kill this legislation. ACA is the only entity fighting to kill this legislation which risks the
future of every contractor and subcontractor in Alabama.
ABC and AGC will probably draft another substitute or amendment to this legislation so that they
can tell legislators they have worked out all of the problems with this legislation (as they have
done before).
ABC has 7 lobbyists (9 if you include the AGC lobbyists) working hard to pass this legislation.
Many legislators have told me that they have not heard from constituents on the legislation.
They want to hear from you.
We must continue to call legislators to tell them to oppose the CM@Risk legislation. Tell them
that this legislation will eliminate every local contractor and subcontractor from work on public
works projects. This legislation is bad for contractors, subcontractors, and tax payers. Tell them
that this bill picks winners and losers. The winners are the mega contractors and the losers are
all of the local contractors, subcontractors, and suppliers.
We need contractors from across the state to join ACA in walking the halls March 30,
April 1 and April 2 to help kill this damaging legislation.
Every legislator needs to hear from a constituent. If you have any connection to any
legislator please call them.
If you know contractors or subcontractors who don’t yet know about the bill please call
them.
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Weekly Political Update
SB178: Alabama Department of Transportation CM@Risk Legislation
ALDOT introduced a piece of legislation that would make it legal for them to use CM@Risk on
building projects and roads projects. I met with ALDOT last week and they agreed to amend the
bill to remove the section that allowed for the use of CM@Risk on the construction of buildings.
SB178 was in committee last week and was amended to remove any provisions allowing the
use of CM@Risk on building projects. This bill has not been reported out of committee and has
not received its second reading in the Senate.
SB233: State Licensing Board for General Contractors
Senator Bussman has introduced a piece of legislation to amend the Section of the Code
relating to the State Licensing Board for General Contractors. This bill would require at least
one member of the board as a larger part of his or her business to be a subcontractor. This bill
has been assigned to the Senate Committee on Fiscal Responsibility and Economic
Development and awaits a committee hearing.
Other Bills of Interest
Unemployment Compensation Bill
HB19 by Rep. Jack Williams (R-Birmingham) would alter the formula for calculating the
individual weekly benefit payment. It would provide that an eligible individual who is unemployed
or partially unemployed in any week shall be paid an amount equal to his or her weekly benefit
amount that is reduced by a certain amount of wages payable to the individual for that week.
This bill passed through the House on Tuesday and will now move to the Senate Fiscal
Responsibility and Economic Development Committee.
Career-Tech/Apprenticeship/Education Bills
HB38 by Rep. Alan Baker (R-Brewton) would appropriate $5,000,000 to the Alabama
Community College System for the purpose of providing student scholarships in the careertechnical dual enrollment programs. *No movement yet*
SB109 by Sen. Arthur Orr (R-Decatur) is the apprenticeship bill that would give a $1,000 tax
credit to any company that employs an apprentice. *No movement yet*
ALDOT Competitive Bid
SB50 by Sen. Allen (R-Tuscaloosa) :
Under existing law, a bidder on a public works
project for the Department of Transportation or other awarding authority is required to file a bid
guarantee in the form of either a cashier's check or a bond payable to the awarding authority but
in no event to exceed $10,000. This bill raises the maximum amount of the bid guarantee to not
more than $50,000. * No movement yet*
Craft Training Program
HB227 by Representative Boothe (R-Troy): To create the construction industry Craft Training
Program and the Craft Training Board to be administered within the existing Alabama Building
Commission, or successor agency or department; to establish a fee in the amount of one dollar
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($1) per each one thousand dollars ($1,000) of construction authorized on the issuance of any
nonresidential construction building permit in order to implement the program; and to establish
and define the powers and duties of the Craft Training Board.
COMMITTEE ON BOARDS, AGENCIES AND COMMISSIONS
This week in the Alabama Legislature
Three of the five bills in the Governor’s Made in Alabama Jobs Incentive Package—HB57, HB58
and HB59—moved quickly through the House last week. On Thursday, HB59 passed through
the Senate and is now headed to Gov. Bentley, while both HB57 and HB58 are expected to
soon see a vote on the Senate floor. The fourth bill in the package, HB304—also known as the
Alabama Innovation Act—was recently referred to the House Technology and Research
Committee and will see a committee vote in two weeks. These bills were created specifically for
economic development and retention efforts.
Economic Development bills direct impact
construction in Alabama and are important to the construction industry.
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If you would like information about ACA or CM@Risk legislation or if you have any questions on
these bills or others that you have heard about please contact Heather Davis at
[email protected].
Like to join ACA? Click Here
www.alabamacontractors.org
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