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The Construction Advantage – Issue 11

Welcome to the first Thanksgiving edition of The Construction Advantage! In this issue, we bring you yet another tale of a mechanics lien case and a priority between an engineer and a lender in a failed golf course project....more

A Bridge To Somewhere: Public Private Partnerships and America's Infrastructure Dilemma

Deferring infrastructure investment is not a viable option. Studies show that deferring timely maintenance, repair, and replacement can greatly increase the total cost of infrastructure repairs by a ratio of 15:1 to more than...more

Statutory Limit on Change Orders Bars Contractor Claim in Virginia

A recent Virginia case strictly construing a statutory limit on the amount of contract change orders has raised concerns among contractors doing business with Virginia state and local agencies. In Carnell Construction Corp....more

Illinois Supreme Court Holds Subcontractor Should Have Proceeded Against Project Bond

Last month, a divided Supreme Court held that a subcontractor on a public works program should have timely proceeded against the project bond, and had no remedy against the Village after the general contractor went bankrupt...more

PilieroMazza Legal Advisor - Fourth Quarter

In this issue: - Court of Federal Claims Invalidates Key Component of the SBA’s Nonmanufacturer Rule - At the Crossroads of M&A and Government Contracts – The Novation Process - What Every Business Owner...more

Liquidated Damages in Your Contract? Not So Fast

Parties often include terms in a contract providing for predetermined damages, or liquidated damages, in the event of a breach by one of the parties. In construction contracts, liquidated damages provisions typically apply to...more

It's Official: $10.10 Minimum Wage For Government Contractors

The U.S. Labor Department (DOL) published final regulations implementing President Obama’s Executive Order, raising the minimum wage to $10.10 per hour for workers on government contracts. The new minimum wage will take...more

The Texas Department of Transportation Shortlists Three Development Teams for the Grand Parkway Segments H, I-1 and I-2 Project

On July 31, 2014, the Texas Department of Transportation (TxDOT) issued a Request for Qualifications (RFQ) soliciting qualifications from teams interested in entering into a design-build contract and a comprehensive...more

Six Teams Submit SOQs for Reissued UC Merced 2020 Project RFQ

The Regents of the University of California (the “Regents”), on behalf of the University of California, Merced (“UC Merced”), announced on October 30, 2014 that it received Statements of Qualifications (SOQs) from six teams...more

Orange County Transportation Authority Issues Request for Qualifications for the I-405 Improvement Project

On October 27, 2014, the Orange County Transportation Authority (OCTA) issued a Request for Qualifications (RFQ) soliciting statements of qualifications (SOQs) from qualified firms interested in submitting proposals for the...more

Minimum Wage Rising for Workers on Federal Contracts

A new federal rule raises the minimum wage for employees working on federal contracts from $7.25 per hour to $10.10 per hour. The rule will affect employees working under contracts issued for solicitation starting on or after...more

DOL Issues Final Rule on Enforcement of Contractors' Minimum Wage Executive Order

On October 1, 2014, the Department of Labor (DOL) issued its "Final Rule" on enforcement of Executive Order No.13658: Minimum Wage for Contractors, which was signed by President Obama on February 12, 2014.The Executive Order...more

Chile Announces New Public Land Concessions for Non-Conventional Renewable Energy Projects

On October 1, 2014, Víctor Osorio, Chile’s Minister of Natural Resources, announced that 200 public land concessions were being made available, through a cooperation agreement with the Ministry of Energy, to Non-Conventional...more

State and Federal Departments of Labor Joining Forces to Fight Employee Misclassification

Last month, major North Carolina newspapers ran a series of investigative reports alleging that construction companies with federal contracts routinely misclassify employees as independent contractors. While these articles...more

No Damage for Delay Clauses Have Limits on Louisiana Public Works Projects

The Louisiana Public Works Act prohibits “no damage for delay” clauses in contracts for publicly bid projects. Recently, the State of Louisiana tested the boundaries of that prohibition by including a provision in a public...more

California Takes Significant Strides Toward Design-Build

New Law Consolidates Certain Design-Build Authorizations Under a Single Statute - The adoption of Senate Bill 785 signifies strong movement toward authorizing design-build procurement in California at the state and...more

FDOT Announces Apparent Best Value Proposer for I-4 Managed Lanes Project

The Florida Department of Transportation (FDOT) announced today that it has selected I-4 Mobility Partners as the apparent best value proposer to design, build, finance, operate and maintain the I-4 Ultimate project. ...more

Final Rule Issued for $10.10 Minimum Wage for Federal Contractors

In February 2014, President Obama issued Executive Order 13658 to raise the minimum wage for federal construction and service contractors to $10.10 for all employees. Executive Order 13658 instructed the Department of Labor...more

Minimum Wage for Federal Contract Workers Will Increase to $10.10 on January 1

The U.S. Department of Labor (DOL) has raised the minimum wage for federal service and construction contract workers to $10.10, in a final rule that takes effect January 1, 2015. This final rule implements Executive Order...more

Enactment of SB 785 Clears Caltrain Electrification for Design-Build

California Governor Edmund G. Brown, Jr., has signed California Senate Bill (SB) 785. As my colleague Nancy Smith has observed, enactment of SB 785 is a major step forward for the State of California, because now many more...more

Federal Contractor Minimum Wage Provisions Finalized

In July, we alerted government contractors and subcontractors to the Department of Labor’s (DoL) Proposed Rule to implement Executive Order (EO) 13658, which raises the minimum wage for covered employees working directly on,...more

Final Rule Raising Minimum Wage for Federal Contractors

The Secretary of the U.S. Department of Labor (DOL), Thomas Perez, recently issued the final rule raising the minimum wage for workers on federal service and construction contracts to $10.10 per hour. The final rule enacts...more

Four bills broaden the appeal of IFDs as a funding mechanism for local infrastructure, environmental mitigation, private...

Four bills affecting infrastructure financing districts, a funding mechanism for infrastructure and development projects that benefit the broader community, were recently signed by Gov. Jerry Brown. IFDs, created in 1990,...more

Louisiana Public Bid Law Update: Two Big Wins in the Louisiana First Circuit for Unsuccessful Bidders Disputing Public Bid Awards

Last month, the Louisiana First Circuit Court of Appeal issued two decisions in favor of unsuccessful bidders on public projects. In Phylway Const., LLC v. Terrebonne Parish Consol. Government, 2013-1589 (La. App. 1...more

OMB Finally Approves New Scheduling Letter And Itemized Listing

Three years after submitting its proposed revisions to the Office of Management and Budget, the Office of Federal Contract Compliance Programs announced yesterday that it has finally received approval for its revised...more

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