The chief executive officer of the Associated General Contractors of America, Stephen E. Sandherr, issued the following statement in reaction to release today of House Democrats’ Proposed Coronavirus Recovery Measure:
“It is encouraging to see House Democrats moving quickly on legislation intended to help the economy recover from the coronavirus. Their proposal includes measures that will help construction firms that have been hard-hit by declining demand and uncertainty about future market conditions. But the proposal’s authors missed an opportunity to address some of the most significant challenges facing the industry.
“On the positive side, the measure includes some needed relief for state highway programs that have been hammered by declining gas tax revenue amid broad economic lockdown measures. The measure also includes an expansion of the employee retention tax credit that will benefit construction firms that have worked to retain employees. It authorizes composite retirement plans, which hold great potential to address the challenges facing multiemployer retirement plans in which many construction firms participate and provides other needed pension relief. And it includes measures to help construction firms working on federal projects cope with schedule delays and other impacts related to the coronavirus.
“The measure, however, fails to include any safe harbor language to protect firms that are safeguarding workers and the public from the coronavirus from limitless litigation. Meanwhile, the proposed repeal of the net operating loss carryback provision will punish firms, especially family-owned businesses, that suffered losses of $250,000 or more this year. This will make it even harder for these firms to retain staff. And the proposed expansion of the unemployment supplement through January 31 will make it more challenging for firms to rehire employees once demand begins to rebound.
“We appreciate that this measure advances a much-needed debate about the best way to re-start the economy. That is why we will continue to work with members of both parties to craft measures, including liability protections, new infrastructure investments and pension relief, that will help the construction industry recover and rebuild.”
Related Stories
Market Data | Jul 25, 2017
What's your employer value proposition?
Hiring and retaining talent is one of the top challenges faced by most professional services firms.
Market Data | Jul 25, 2017
Moderating economic growth triggers construction forecast downgrade for 2017 and 2018
Prospects for the construction industry have weakened with developments over the first half of the year.
Industry Research | Jul 6, 2017
The four types of strategic real estate amenities
From swimming pools to pirate ships, amenities (even crazy ones) aren’t just perks, but assets to enhance performance.
Market Data | Jun 29, 2017
Silicon Valley, Long Island among the priciest places for office fitouts
Coming out on top as the most expensive market to build out an office is Silicon Valley, Calif., with an out-of-pocket cost of $199.22.
Market Data | Jun 26, 2017
Construction disputes were slightly less contentious last year
But poorly written and administered contracts are still problems, says latest Arcadis report.
Industry Research | Jun 26, 2017
Time to earn an architecture license continues to drop
This trend is driven by candidates completing the experience and examination programs concurrently and more quickly.
Industry Research | Jun 22, 2017
ABC's Construction Backlog Indicator rebounds in 2017
The first quarter showed gains in all categories.
Market Data | Jun 21, 2017
Design billings maintain solid footing, strong momentum reflected in project inquiries/design contracts
Balanced growth results in billings gains in all sectors.
Market Data | Jun 16, 2017
Residential construction was strong, but not enough, in 2016
The Joint Center for Housing Studies’ latest report expects minorities and millennials to account for the lion’s share of household formations through 2035.
Industry Research | Jun 15, 2017
Commercial Construction Index indicates high revenue and employment expectations for 2017
USG Corporation (USG) and U.S. Chamber of Commerce release survey results gauging confidence among industry leaders.