Monthly News & Updates

February 2023

PRESIDENT'S MESSAGE

Dear Readers,

I would like to take this message to call on all of our members to support our association this April at our 2023 Construction Awards Gala.

Your support will help our association operate effectively to advocate on behalf of all of New York City’s union subcontractors as well as organize networking and educational opportunities. In 2023, STA lobbied on behalf of its members for Material Price Escalation relief. The bill passed both houses of the state legislature and while it was ultimately vetoed by the Governor, we continue to pursue this issue in 2023. We held many direct committee meetings with public agencies, and we have upcoming plans for our “Meet the CM/GC Purchasing Agents” on June 1, 2023, as well as other collaborative events. The money raised from the awards dinner goes directly to funding these types of programs for our members.

Beyond being a fundraiser, however, this night brings together professionals from all aspects of the building process into one room to celebrate and strengthen union construction. In an ever-evolving New York City industry, the unity of owners, general contractors, construction managers, subcontractors and labor leaders is vital to maintaining our market share.

ANTHONY ACERRA

Principal, ACL Steel

President, STA Board of Directors

EXECUTIVE DIRECTOR'S MESSAGE

OUR FIRST MONTH TOGETHER

It has been an exciting first month at the STA. We are hard at work advocating for the subcontracting industry at City Hall and in Albany and working to advance key recommendations from the City’s Capital Reform Task Force that benefit subcontractors.

STA continues to advocate for equitable relief to help subcontractors recover from the recent spike in material prices and recently presented testimony on this issue at a Joint State Budget Hearing. We are setting up partnering meetings with key agencies to address critical project delivery issues and advocating for improved transparency in payments and change orders.

Education – A Key New STA Priority

Another STA important initiative is the development of a program to provide our members with the education and resources to help you run your business more effectively and better understand the market.

FELICE FARBER

STA Executive Director

Legal Log

ANDREW RICHARDS

Co-Managing Partner(LI), Kaufman Dolowich Voluck,

Attorneys at Law

Legal Counsel, STA

Commencing a Lien Foreclosure Action as a Condition Precedent to Suing the Prime Contractor

Many prime contracts require a subcontractor to commence a mechanic’s lien foreclosure action and bring that action to a conclusion prior to commencing an action directly against the prime contractor for sums owed for work performed. This clause was “invented” after the courts held that a “pay if paid” clause that states that the subcontractor gets paid only if the owner pays the prime contractor is void and unenforceable. This rule of law was determined because the shifting of the risk of payment would constitute a waiver of the subcontractor’s lien rights under section 34 of the Lien Law. Prime contractors inserted the clause requiring the lien foreclosure action in order to circumvent the fact that the “pay if paid” clause is void and unenforceable.

Top 10 Construction Industry Trends For 2023

CARL OLIVERI

Construction Practice Leader

Grassi Advisors & Accountants

Many construction contractors are only now feeling the COVID-19 impact that most other industries experienced in 2020. In the new year, they will face dwindling backlogs, material price increases, continued labor concerns, interest rate hikes on capital expenditures and other significant challenges.

To help contractors navigate the road ahead, Grassi’s Construction team has issued their annual outlook of the Top Contractor Strategies for a profitable 2023. From tried-and-true financial tools to new trends for combating inflation and risk, these are the planning opportunities your construction company won’t want to miss.

NY union head: Material prices are construction’s ‘biggest challenge’

Felice Farber describes herself as “a public policy wonk.” A former lawyer and government affairs officer for the General Contractors Association of New York, she said her passion lies at the intersection of construction and public policy.

Farber was appointed executive director of the Subcontractors Trade Association — a New York City-based association of union subcontractors — in January, becoming the first woman to hold the role in the group’s 66-year history.

Ogletree Deakins

Contact: Michael Rubin

Specialty: OSHA Defense Attorney

8529 Six Forks Road, Forum IV, Suite 600

Raleigh, NC 27615

Telephone: 919-789-3114

[email protected]

www.ogletree.com

View Member Profile

Contact Samantha Sweeney-Annarumma at [email protected] to be featured on STA's LinkedIn with a member profile!

STA Partners with Mutual of America for STA 401(k) Program

The Subcontractors Trade Association (STA) has teamed up with Mutual of America to offer our members a comprehensive array of retirement plan services through a Multi-Employer Plan (MEP).

For this MEP, STA acts as the plan organizer, and our members may join the plan through participation agreements. This plan is a great idea for many of our members, especially those businesses with a small number of employees, as an MEP will save you money on administrative costs, among other cost-cutting factors.

Please click here and here for more information!

STA wants to put your news in our monthly newsletter and share on the STA’s LinkedIn page!

Please send photos, company news or anything else you wish to share with STA to [email protected] to be featured in our next newsletter and on our LinkedIn page.

Mark Your Calendars for These

Upcoming Meetings and Events

2023 CONSTRUCTION AWARDS DINNER

Wednesday, April 12, 2023

6:00 p.m.- 9:00 p.m.

Gotham Hall – 1356 Broadway, New York, NY 10018

ANNUAL MEMBERSHIP MEETING

“Let’s Do Business” Speed Meetings

Thursday, June 1, 2023

Club 101, 101 Park Avenue

5:30pm-8:00pm

2023 ANNUAL GOLF OUTING

Monday, July 17, 2023

9:30 a.m. - 7 p.m.

North Hills Country Club

WORKERS’ COMP BREAKFAST SEMINAR PRESENTED BY AMERICAN GLOBAL

Thursday, May 4, 2023

LaGuardia Marriott

102-05 Ditmars Blvd, Queens, NY 11369

8:00am – 10:00am

New York's massive budget surplus gives Hochul money to spend

Gov. Kathy Hochul kicked off her first term with a $227 billion budget proposal that she says will prep New York for an economic revival, thanks to a budget surplus and an aim of building more affordable housing in the New York City suburbs.

Extend the 421a Deadline for Construction

Developers might get an extra four years to complete projects that were in danger of losing a property tax break that some call essential to getting financing.

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