“If You Paint it You Bought it”
Have you heard that phrase in job site meetings? Think about it…this puts the painter in the position of having to make sure your work is done properly before he/she begins. This is often discussed when we meet with our GC Partners to explain our expectations.
Similar issues facing finishing trades, as well as general scheduling challenges, will be discussed at the upcoming ASAMW event on October 1, 2024, Building Success Together: A Summit for General Contractors & Subcontractors, at the Bethesda North Marriott. NOTE: THIS IS A DATE CHANGE. What are your thoughts? We expect to see all the GC Partners as well as members who wish to discuss strategies to accomplish fairness. Click here for more information and to register.
Is Low Bid the Best Option?
Would you prefer public work to go “construction manager-build” (CM-Build) or “progressive design-build”? Would you like the DMV to utilize these options on more of the projects you bid? What are the pros and cons?
Some states are looking at a way around low bid to utilize these newer methods. In New York, the City is asking the State to change laws to allow for CM Build and Progressive Design Build. This article from Global Construction Review explains the reasoning behind New York City’s request. Here is another more detailed article from the NY Dept. of Design and Construction. Your comments are welcome.
RETAINAGE – What are You Seeing in Your Contracts?
Retainage is NOT 10%. Most GCs and Owners have failed to revise their contracts to reflect the reality of retainage laws in the DMV. On Maryland Public Work (Md Code 17-110) retention is limited to 5% on bonded jobs. On Maryland Private Work (Md Code 9-304) retainage is limited to 5%. In Virginia Public Work, it is 5% (Va Code 2.2-433). On DC work and Virginia Private Work it is 10% or there is no regulation.
This article from ConsensusDocs provides helpful guidance on how to address retainage issues. For instance:
- Know the law – see above.
- Negotiate a favorable retainage provision in your subcontract.
- Reduce 50% at 50% completion
- Retainage only on material and labor; not fees, insurance, etc.
- Keep good records of retainage received.
- Ensure timely payment of retainage.
Why Do Contracting Companies Have an 82.8% Failure Rate?
A report from the Bureau of Labor Statistics shows 82.8% of construction companies have failed since 1995. This fact should wake up a few people. One company, Siteline, claims it can address the cash flow issues that cause so many of these failures. Click here for a promotional article that hits on many of the issues we regularly raise.
ASAMW Annual Meeting is Next Wednesday, May 29th
The Annual Meeting of ASA of Metro Washington will begin at 11 am on May 29, 2024 at Patsy’s American, 8051 Leesburg Pike in Vienna, VA. Click here to register.
Project Manager Workshop graduates who will be recognized include:
- TJ Boyd
- Nicolas Gantiva, Absolute Builders
- Dale Tingler, Acme Mechanical Contractors of VA, Inc.
- Stevie Van Meter, Acme Mechanical Contractors of VA, Inc.
- Juan Carlos Lopez, AC Metals LLC
- Ren Moore, Branair, Inc.
- Henry Estrada, BSA Contractors, Inc.
- Gerson Fuentes, Calvert Masonry, Inc.
- Ryan Ennis, Ennis Electric Company, Inc.
- Nicholas Hudson, Ennis Electric Company, Inc.
- Jesse Velez, Ennis Electric Company, Inc.
- Will Dellapenna, F.B. Harding, Inc.
- Brandon King, Goldin & Stafford
- Alex Davila, Innovation Mechanical, Inc.
- David Amaya, Innovation Mechanical, Inc.
- Iris Ventura, Keystone Plus Construction
- Corey Jordan, Keystone Plus Construction
- Troy Gudac, Kogok Corporation
- Daryl Johnson, Kogok Corporation
- Kaden Olsen, Pillar Construction
- Erick Guevara, Shapiro & Duncan, Inc.
- Chris Warner, Telligent Masonry, LLC
- Jason Martinez, Telligent Masonry, LLC
- Andrea Martinez, Titan Mechanical, Inc.
- Kamilah Khabir, Titan Mechanical, Inc.
- Ben Lafoon, Houston-Starr Doors, LLC
MEMBER UPDATES
New Members
We welcome Resurface, Inc. and East Coast Rigging & Scaffolding to the ASAMW family!
- Resurface, Inc. – An asphalt paving/sport court contractor in Gainesville, VA, will be a welcome member of our association. We look forward to working with Matt Pelow and his team.
- East Coast Rigging & Scaffolding – We welcome and look forward to working with Hayley Hughes and her team from this company based in Laurel, MD that provides vertical access systems and construction support.
Where is Your Water Damage Response Cart? Ryan Hogan with Preferred Insurance reminds us of the importance of a Water Damage Response Cart on every job site. Click here or above for more.
ADVOCACY
DC – Cindy Athey, Andy Steele and I are meeting with the Director of the Department of Buildings, Brian Hanlon, on May 29th. If you have any issues (permits, CoOs, illegal work, etc.) with his department that you would like us to address, please reply to this email. This new department has made it easier to report illegal construction on their Website here.
Maryland – Please complete this disparity study questionnaire for the State of Maryland. All Subcontractors can explain the seriousness of slow payment by participating in this study.
Virginia – No report