News: Construction Design & Engineering

ABC Chairman’s Message: Update from our Beacon Hill team

John Cruz

The two-year state formal legislative session came to a particularly chaotic end on July 31st. This month I would like to use this message to provide an update from our Beacon Hill team of lobbyist John Bartley and government affairs consultant Shelley Kaleita, and thank them for their excellent work.

Just days before the session ended, lawmakers appeared blindsided by the news that a 1986 law that limits state revenue growth to the growth in statewide wages would be triggered for the first time in 35 years, which will require the commonwealth to rebate an estimated $3 billion to state taxpayers.

The last-minute surprise short-circuited several major bills legislators were racing to agree upon before the session ended. Despite that, the session was, on balance a pretty good one for ABC members.

We and other industry organizations successfully beat back wage theft legislation that held businesses vicariously liable for any wage violations of companies they hire. Similarly, a bill we have also opposed for several sessions that would redefine the definition of fraud specifically for construction and eliminate the requirement that harm result from the alleged fraud also failed to pass. There was more good news in our successful opposition to legislation that would have expanded prevailing wage to include off-site prefabrication.

As always, there were some disappointments during the session. All of us are well aware of the labor shortage our industry faces. Yet language that would have loosened hiring restrictions that in some cases require up to five journeypersons for each apprentice was not included in a final economic development bill (fate of which is unknown since it is still in conference committee amid the fracas over the 1986 law and the legislative session is over).

Also on the very important ratio issue, we are pleased that ABC MA’s work to draw attention to the problems ratios cause by limiting apprentice employment is getting more attention, including from Gov. Baker and Labor Secretary Rosalin Acosta.

We also planted seeds during this session that will pay dividends in the future. We were awarded pre-apprenticeship and diversity grants that are allowing us to provide pre-apprenticeship training to several cohorts of diverse students interested in entering our industry. Funding for a diversity study will give ABC MA members the information they need to attract and retain the diverse workforce needed to meet the growing demand for our services.

Government relations is an extremely complex endeavor – particularly for an association of open-shop construction contractors in Massachusetts. But we emerged from this session having made progress on important workforce development issues and having avoided proposals that would have made it more difficult for us to compete.

John Cruz is the chairman of Associated Builders and Contractors Inc.-Mass. Chapter and president & CEO of The Cruz Companies, Roxbury, Mass.

READ ON THE GO
DIGITAL EDITIONS
Subscribe
READ ON THE GO
DIGITAL EDITIONS
Subscribe
Quick Hits
STAY INFORMED FOR $9.99/Mo.
NEREJ PRINT EDITION
Stay Informed
STAY CONNECTED
SIGN-UP FOR NEREJ EMAILS
Newsletter
Columns and Thought Leadership
Shawmut Design and Construction breaks ground on the 195 District Park Pavilion in Providence, RI

Shawmut Design and Construction breaks ground on the 195 District Park Pavilion in Providence, RI

Providence, RI Shawmut Design and Construction celebrated the ceremonial groundbreaking for the 195 District Park Pavilion, marking the start of construction on a facility that will feature year-round dining and support space for park operations. In addition to the 3,500 s/f building, the project will include infrastructure upgrades
The New England Real Estate Journal presents<br> the First Annual Project of the Year Award! Vote today!

The New England Real Estate Journal presents
the First Annual Project of the Year Award! Vote today!

The New England Real Estate proud to showcase the remarkable projects that have graced the cover and center spread of NEREJ this year, all made possible by the collaboration of outstanding project teams. Now, it's time to recognize the top project of 2024, and we need your vote!
Investing in a falling rate environment - by Harrison Klein

Investing in a falling rate environment - by Harrison Klein

Long-term interest rates have fallen by 100 basis points, and the market is normalizing. In December of 2022 I wrote an article about investing in a high interest rate, high inflation market. Since then, inflation has cooled off, and the Fed has begun lowering their funds rate.
The 2024 CRE markets: “The Ups” (industrial) and “The Downs” (Boston class B/C office) - by Webster Collins

The 2024 CRE markets: “The Ups” (industrial) and “The Downs” (Boston class B/C office) - by Webster Collins

The industrial markets have never been stronger. What has happened is that the build out of Devens with new high-tech biotech manufacturing with housing to service these buildings serves as the connector required to really make the I-495 West market sizzle. Worcester has been the beneficiary