ON THE
HORIZON
Industry
groups push their legislative agendas
By
Chris Thompson
The
budget crisis is going to force construction lobbyists to circle
their wagons, but that doesn't mean they've given up on a host
of other initiatives.
And
John Mielke, government affairs director for the Associated Builders
and Contractors of Wisconsin, said it's important that the industry
stay focused despite the deficit and change in state leadership.
"I
think it's a mistake to say we have a budget crisis, a Democratic
governor and a Republican Legislature, so all we have to do is
protect our turf, bury our heads and wait for the storm to clear,"
he said. "That can't be the only approach to the session.
There are things to push for that won't directly affect the budget."
Those
other issues and those involved in the debate include:
Mold
Mielke:
"The
more the industry talks about it, the less there seems to be a
legislative remedy. It's much more educational, but others outside
the industry might be looking for action. Notice- and right-to-cure
is forward-looking and designed to protect contractors."
Mike
Fabishak, executive vice president of the Associated General Contractors
of Greater Milwaukee:
"There
are a number of ways to attack the issue, such as right-to-cure.
We're concerned about public safety, and that's paramount, but
by the same token, we're also concerned about the mold lawsuits
and how they can compromise a company from a litigation point
of view. It's safe to say the industry is very concerned about
it."
Jim
Boullion, government affairs director for the Associated General
Contractors of Wisconsin:
"The
Wisconsin Education Association Council already has a bill. It
focuses on getting information out to schools to develop an indoor
air-quality plan to implement. We'll work closely with them to
make sure it's effective."
Don
Croysdale, executive director of the American Subcontractors Association
of Greater Milwaukee:
"If
you look at limiting risk transfer in the context of mold, we
can't solve the mold problem until we address limits to risk transfer.
A subcontractor can't spend a lot for mold insurance and then
have everybody else ride his back."
Design/build
Fabishak:
"Design/build,
we anticipate, will come up again, and I think we'll be playing
defensive football to make sure something doesn't get rammed down
the industry's throat that would be unacceptable. Design/bid/build
has been around for quite a while, and now (the Milwaukee Metropolitan
Sewerage District) is proposing that there's a better way to build
the mousetrap, but there's no proof."
Boullion:
"Design/build
and hold harmless will be back for another try. Those issues haven't
changed, and unless somebody can come up with a new spin, I can't
see the outcomes being any different. They're both tough nuts
to crack.
Carol
Godiksen, executive director of the American Council of Engineering
Companies of Wisconsin:
"We'll
continue to look at potential legislation for design/build for
public owners."
Retainage
reduction
Brian
Mitchell, lobbyist for the AGC of Greater Milwaukee:
"Currently
on public projects, it's mandated that the retainage is 10 percent
until a project is 50 percent completed. Frankly, the industry
doesn't work on that kind of margin. It's way high, and what it
amounts to is contractors providing financing for projects. We
reached a compromise for 5 percent over 100 percent of a project,
and that retainage is discretionary."
Croysdale:
"If
we reduce retainage, contractors can sharpen their pencils and
reduce financing charges."
Apprenticeship
tax credit
Mitchell:
"We're
very supportive, and it pays dividends for the state. Because
of the economic climate, we might have to do something modest
to start out. We think it's a positive fiscal impact even though
we're giving people tax credits."
Licensing
proposals
Mielke:
"If
the last session is any indication, we'll be seeing a lot of licensing
proposals for general contractors, roofers and electricians."
Boullion:
"Trade
licensing is going to be discussed, but I don't know how much
time we'll spend on that."
Bill
Babcock, executive director of the American Institute of Architects-Wisconsin
Chapter:
"We're
supporting a proposal to adjust the education and experience requirements
for initial licensing as an architect in Wisconsin. It would increase
the years of experience required if there is no accredited architectural
degree. Right now, it's at seven years, and the proposal is for
10 years. We also support a proposal to get authorizing legislation
to require continuing education for renewal of a license as an
architect."
Lien
rights
Babcock:
"We
support preconstruction-lien rights. Right now, unless you've
turned a shovel of dirt, you can't get lien rights. It's kind
of an anomaly in the lien laws."
Comprehensive
planning
Babcock:
"We
support incentives for comprehensive planning. We think smart
growth is better than dumb growth, and they should be helped with
incentives."
Insurance
help
Babcock:
"We
support a proposal to start up a small-business insurance pool.
Architectural firms are getting hit with large insurance cost
increases."
Water
resources
Godiksen:
"Another
issue that's not really a bill is looking at innovative ways for
working creatively with the (state Department of Natural Resources)
for water resources. It could be potential legislation or an administrative
rule allowing innovative design solutions for water or wastewater
projects."
Public
vs. private consulting work
Godiksen:
On
a state basis, unions are approaching state legislators saying
they need consulting work to be done more by state employees.
Unions want the work to start with them rather than going to the
private sector, but we believe it should be a shared partnership.
National unions are saying it could be done more efficiently and
less expensively in the public sector. Our response is there is
no cost advantage on a national basis."
Qualification-based
selection
Godiksen:
"State
law does not mandate bidding for design professionals. If some
legislator found out it's not mandated, they might make it mandated.
We want QBS to be utilized for selection on all projects, both
public and private. Our recommendation is that QBS be a required
process for selecting consulting engineers."
