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News & Views News & Views
Associated General Contractors of America
Volume 3 * Issue 14 * August 15, 1999

AGC NEWS

Congress Votes to Demolish the Death Tax

On August 5, both the Senate and the House approved a $792 billion tax cut that gradually eliminates the death tax. The bill will be sent in early September to President Clinton who has promised to veto it.

   Under the proposal, the death tax would be gradually decreased beginning in 2001 and then fully eliminated in 2009. Specifically, the bill provides the following: effective in 2001, the unified credit is converted into a unified exemption and rates in excess of 53 percent are repealed; in 2002, rates in excess of 50 percent are repealed; in 2003 through 2006, all rates are reduced by 1 percentage point per year; in 2007, all rates are reduced by 1.5 percentage point; and in 2008, all rates are reduced by 2 percentage points. Beginning in 2009, the death tax is fully repealed.

   Once the tax is repealed, "carryover basis" regime takes effect for transfers of assets at death. For assets that are subsequently sold by the heir, a capital gains tax would apply and the original cost basis (i.e. carryover basis) would be used to determine the amount of the asset's appreciation. (Under current law, the cost basis for inherited assets is the fair market value on the date of the decedent's death i.e. the asset receives a "step up" in basis.) The bill also includes other provisions of benefit to the construction industry such as corporate AMT relief, lower individual capital gains rates, and tax incentives for investment in depressed communities.

For more info: contact Phil Thoden at 703-837-5364 or thodenp@agc.org

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House Passes Blunt Ergonomics Measure; Pro-Business Majority Insists on Science First

The House of Representatives debated and recently passed the Workplace Preservation Act of 1999 (H.R. 987). By a vote of 217­209, the House gave its approval to an important AGC priority. The bill will guarantee a comprehensive study by the National Academy of Sciences to provide an accurate assessment of which injuries could be prevented with ergonomics regulation. The House action is an attempt to address a recent decision by the Occupational Safety and Health Administration (OSHA) to ignore the will of the Congress and rush ahead with a broad and burdensome standard (the draft was released in the spring) without the benefit of adequate independent study. Rep. Roy Blunt (R-Mo.), chief sponsor of H.R. 987, praised AGC members and others in the National Coalition on Ergonomics for their many letters, calls and visits during the weeks leading up to the vote.

   Passage of H.R. 987 was helped tremendously by the support of Louisiana Democrat Chris John and more than a dozen pro-business Blue-Dog (conservative) Democrats. House leaders expect that the Senate companion to H.R. 987--Senator Christopher "Kit" Bond's (R-Mo.) S. 1070--will gain momentum following the House victory. All AGC members are urged to contact their Senators and urge them to co-sponsor and vote for the Sensible Ergonomics Needs Sound Science "SENSE" Act. Call the Senate Switchboard at 202-224-3121.

   To learn how YOUR member voted, check out the AGC Web site, www.agc.org, under Congress at Your Fingertips. For more info: contact Patrick Wilson at 703-837-5363 or wilsonp@agc.org.

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MEETING CHALLENGES TOGETHER







(l-r)Carolyn Guglielmo, Associate Director, 
AGC Safety and Health Services;
R. Bruce Swanson, Director,
Directorate of Construction, OSHA;
Brian Murphy, Vice President, St. Paul F&M;
Ted Hillman, Chair, Safety and Health Committee.

Safety and Health Committee Meets;
OSHA Director Relates Initiatives

Over 70 Safety and Health Committee members, 15 chapter safety professionals and 15 guests met July 21­23 in Minneapolis to continue work on a strategic plan. The subcommittees for government; promotions and marketing; education and training; and performance also convened.
   Bruce Swanson, Director for the Directorate of Construction, updated the committee on current OSHA Regulatory Initiatives. Swanson assured the committee that the construction industry would not be covered in OSHA's proposed ergonomic proposal to be published later this summer. The agency does not have enough ergonomic data or experience in this area to promulgate a rule for construction at this time. The final rule on steel erection is expected by the end of this year. An enforcement directive dated February 10, 1998, which is effective for one year and may be renewed, gives contractors the option of complying with the existing regulation or with the proposed rule, with some limitations. The final rule on the Reporting and Recording of Occupational Illnesses and Injuries (Record-keeping) is expected to be published in the Federal Register in October. The target date for a confined space proposal designed specifically for construction is for December 1999 but may be delayed by the SBREFA review. Other items under discussion were OSHA Partnerships, development of a silica standard, an ACCSH proposed revision to the multi-employer citation policy, and safety and health programs for construction.

   Janine Reid of the Janine Reid Group, Englewood, Colo., presented an interactive workshop on 'Crisis Management and Working with the News Media.' Reid stressed that every company needs to be prepared for the inevitable. Companies should be equipped with the skills necessary to portray their company in the best possible light while working under the worse possible circumstances.

   AGC also entered into a partnering agreement with St. Paul Fire and Marine Insurance Co. to jointly develop both a 40-hour crane operators and a train-the-trainer program. These opportunities will be available to AGC members and chapters early next year and will prepare crane operators to meet the ANSI B.30.5 requirement plus serve as preparation for the National Commission for the Certification of Crane Operators, which has been recognized by OSHA as meeting training requirements.

For more info: contact Carl Heinlein at 703-837-5332 (heinleic@agc.org) and Carolyn Guglielmo at 703-837-5331 (gugliel@agc.org).

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AGC Offers Views on 
Environmental Streamlining

   A key component of last year's TEA-21 legislation, aggressively pursued by AGC, is a provision to expedite the environmental permitting process for transportation projects by requiring a coordinated environmental review between the various federal agencies. The Federal Highway Administration (FHWA) and other agencies have been working to develop an agreement to put this provision into effect. This week the agencies finalized a memorandum of understanding (MOU) outlining the federal agencies' commitments to implement this provision. The MOU establishes broad principles for how the agencies will work together to speed up the review process. The next step is to agree to an action plan to implement the MOU.

   The House Ground Transportation Subcommittee held a hearing recently to determine how far along the agencies are in implementing the provision. There was general bipartisan dissatisfaction with the progress to date. Committee members urged the agencies to expedite development of the action plan.

   In a statement to the subcommittee, AGC pointed out that the goals of the MOU are laudable, but stressed that "the success of the program will be determined by the actions taken to implement these goals." AGC also urged that the agencies move quickly to expedite the MOU. AGC pointed out that the rash of recent environmental lawsuits aimed at stopping vitally needed highway projects further highlights the need for more reason in environmental regulation. AGC stated that, "The environmental streamlining provisions are critical to the realization of the goals of TEA-21. Failure to adequately defend TEA-21 goals, in the face of environmental challenges, will cause disruptions in project delivery that will cost the construction industry, the government and the economy billions of dollars and thousands of lives."

For more info: contact Peter Loughlin at 703-837-5366 or loughlip@agc.org.

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Aviation Bill Moves Slowly
toward Conference
,

   The House has passed the Aviation Investment and Reform Act for the 21st Century (AIR-21), a multi-year reauthorization of the Federal Aviation Administration (FAA) and Airport Improvement Program (AIP). The bill provides dramatic increases for aviation programs including the AIP. AIR-21 also takes the Aviation Trust Fund off-budget. The House has appointed conferees to work out the differences between the House and Senate bills. The Senate was not able to pass a multi-year bill, so they simply passed a 60-day extension of the current program. The House is waiting for the Senate to appoint conferees; they will then try to produce a compromise multi-year bill.

   Please contact your Senators and urge them to go to conference with the House and pass a multi-year bill that spends aviation taxes on our aviation system.

For more info: contact Peter Loughlin at 703-837-5366 or loughlip@agc.org.

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House and Senate Pass
Miller Act Amendments

   The House of Representatives passed H.R. 1219, the Construction Industry Payment Protection Act by a margin of 416­0. The Senate followed suit, passing the bill by unanimous consent. AGC spearheaded the industry compromise resulting in this legislation's introduction.
   The bill raises the payment bond to the value of the contract award, allows receipt of notice through any method that provides written, third party verification of receipt, and prevents any waiver of Miller Act rights prior to the commencement of work.

For more info: contact Loren Sweatt at 703-837-5360 or sweattl@agc.org.

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Midyear Meeting Begins September 30 in Chicago

Three AGC Committees To Conduct Joint Forum

The AGC Public Relations, Workforce Development and Construction Education Committees will conduct a joint forum on Friday, October 1 at 2:00 p.m., in the International Ballroom South, Hilton Chicago and Towers. The forum is co-sponsored by the Construction Futures Advisory Board, and topics of discussion will include construction's industry image, workforce promotion and educational programs. Hear the latest on the Build Up! program, the AGC Online Institute and other industry initiatives. Door prizes will also be awarded.

For more info: contact Dennis S. Day at dayd@agc.org  (703-837-5310) 
or John Heffner at heffnerj@agc.org (703-837-5333). 

Give Your Proposal the Winning Edge;
Attend the Construction Marketing Committee Presentation

Was your most recent response to a request for proposal a winning presentation? Was it so smooth that the owner pulled out the calendar to find out when you're available to move forward on the project? Do you know the techniques that give a proposal the winning edge? You'll learn how to have affirmative answers to these questions at the Construction Marketing Committee's presentation on Thursday, September 30 at 10:15 a.m. at the Chicago Hilton and Towers.

   Jim Frey, Vice President of J. S. Alberici, and Michael J. Reilly, 1998-99 President of the Society of Marketing Professional Services and Director of Marketing with Symmes, Maini & McKee Associates, will demonstrate the winning techniques you'll want to use to make your next proposal a winner. They will describe the objectives your presentation should be based upon verses those objectives many mistakenly choose.

   Frey and Reilly also will explain the presenter's role and how to demonstrate your company's team orientation. Frey will pinpoint the pitfalls that winning proposals avoid. He will expound upon the basic rules of preparation, including how to avoid being overwhelmed or being tempted to "wing it" because there was little time to prepare. They will describe the variations of presentations and how understanding these variations can make preparation more manageable and realistic. In addition, these experienced presenters will explain how to manage nervousness.

   Don't miss these dynamic speakers, whose combined experience in the industry totals 40 years. They will answer your questions during the question-and-answer session that will follow their presentation.

   Frey has worked both as an owner representative and in various capacities for general contractors and design-builders. Reilly has extensive experience in marketing, proposal writing, corporate communications and business development.

For more info: contact Kathy Mapes at 703-837-5376 or mapesk@agc.org

Back By Popular Demand:
AGC Foundation's Silent Auction

   Find just what you're looking for at the AGC Foundation silent auction during the Midyear Meeting, September 30­October 3 at the Hilton Chicago and Towers. The National Associate Members' Council is hosting this year's auction. The eclectic assortment of auction items ranges from weekend getaways to gorgeous handmade quilts to the infamous South Texas Deer Hunt. Personal gift items include collections of fine wine, an original watercolor by Ellen Diederich of North Dakota, and beautiful children's specialty items.

   Silent Auction catalogs will be available for all Midyear Meeting registrants. Bids will be accepted for all items beginning Friday morning, October 1; final bids will be taken and winners declared on Friday evening from 4:30­ 6:00 p.m.

Your support can make this the most successful AGC Foundation silent auction yet. Call Christi Reimer at 703-837-5317 or Michael Youngblut at 703-837-5350 for additional information.

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Supreme Court Limits 
ADA Coverage in Three Cases

   On June 22, the U.S. Supreme Court issued decisions in three significant cases limiting coverage under the Americans with Disabilities Act (ADA). The ADA prohibits discrimination because of an employee's disability or because the employee is regarded as having a disability. The statutory definition of disability includes a physical or mental impairment that substantially limits one or more major life activities. The Court clarified that, when determining whether an individual is disabled, any mitigating measures that lessen the impairment should be taken into account. This significantly limits the number of employees protected by the ADA, since many individuals with impairments are not substantially limited in a major life activity when using corrective measures such as eyeglasses or medication. This landmark ruling settles a split in the circuits and contradicts interpretive guidelines issued by the Equal Employment Opportunity Commission and the Department of Justice.

   The Court also held that individuals who claim that their impairment substantially limits them in the major life activity of work must show that they are unable to work not just in a particular job but in a broad class of jobs. Such a claim will fail if the individual is able to perform, and if the employer regards the individual as able to perform, other jobs utilizing his or her skills. Finally, the Court held that an employer may use compliance with a federal safety standard as a job requirement, even when the noncompliant employee obtains a waiver from the federal agency. Thus, an employer who fired a truck driver for failure to meet DOT's federal vision standards for commercial truck drivers did not violate the ADA, even though DOT granted the employee a waiver of the standard.

For more info: contact Denise Gold at 703-837-5326 or goldd@agc.org.

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AGC National Newsletter, News & Views
ISSN 0161-133X * Published bi-weekly * Cost: $100/year
Associated General Contractors of America
Periodicals Postage Paid at Washington, DC © AGC 1997

CONTENTS


AGC NEWS

Congress Votes to Demolish the Death Tax

House passes Blunt Ergonomics Measure

Safety and Health Committee Meets; OSHA Director relates Initiatives

LEGISLATIVE NEWS

AGC offers Views on Environmental Streamlining

Aviation Bill Moves Slowly toward Conference

House and Senate Pass Miller Act Amendments

AGC to FHWA: Don't Let DBE Regulations Shut Down Highway Program

MIDYEAR MEETING

Three AGC Committees to Conduct Joint Forum

Give Your Proposal the Winning Edge; Attend the Construction Marketing Committee Presentation

AGC's Silent Auction

LEGAL ISSUES

Supreme Court Limits ADA Coverage in Three Cases




© Copyright 2001 The Associated General Contractors (AGC) of America. All Rights Reserved. AGC can be contacted at info@agc.org - 333 John Carlyle Street, Suite 200, Alexandria, Va. 22314 - 703.548.3118 (phone) - 703.548.3119 (fax) - Site designed and maintained by e-Builder, Inc.