Subcontractor News - January 16, 2024

STA Members Ring in the New Year with our Toast to Business Growth Breakfast!

On January 10th, STA members, industry experts and the region's top general contractors descended onto Club 101 in Manhattan for STA's annual speed meeting event and industry forecast panel.

Our expert panel, moderated by STA Executive Director Felice Farber, featured Ana Champeny, Researcher at Citizens Budget Commission, Carlo A. Scissura, Esq., President & CEO of the New York Building Congress, and Carl Oliveri, Construction Practice Leader and partner at Grassi. Industry trends, forecasts for the coming year and defining challenges and opportunities were discussed in front of our over 100 guests.

Our Speed Meetings were also a brilliant success. Nine of the top general contractors in the region - Skanska, Citnalta, Holt, EW Howell, Shawmut, Turner, Consigli, Halmar and Tutor Perini - sat down with STA subcontractors to forge relationships and find out how to work together to continue to build union.

We would like to thank all participants, event guests and panel speakers. We would especially like to thank our sponsor, Microsol Resources.

Help STA with Data on Workers Compensation Occupational Disease Claims

STA is continuing efforts to address the impact of continuous trauma occupational disease claims on subcontractors. Wear and tear type of claims from workers who have spent most of their careers in the construction industry are on the rise and are having a significant impact on a firm’s EMR and a resulting impact on workers compensation premiums. We have had numerous conversations with key personnel at all levels of the Department of Financial Services to seek an equitable adjustment in how these claims are handled.

Data from STA members will help us advocate for you and work with the State to develop a solution to this growing problem. Please let us know approximately how many of these types of claims you have received in the past five years and the length of time the individual worked for you before filing the claim. Please email Felice Farber at [email protected].

Want to get more involved in STA? Join a committee.

Our committees are actively engaged in meeting with government owners, discussing issues and challenges, planning educational events and networking. If you are having an issue you want resolved, see a need for improvement, or want to tackle an issue with a public or private owner, we encourage you to join a committee and get more involved in STA. Please click here for a list of committees. Email [email protected] to join one or more!

WELCOME NEW STA MEMBERS!

GCCOM CONSTRUCTION COMPANY, INC

As we step into the winter season, it's the perfect time for the association to come together and make a positive impact in our community. STA Young Professionals Committee is excited to announce our association-wide inaugural yearly volunteer & donation program: STA Gives Back.

Charities often see an influx of donations and volunteers during the holiday season, which is why STA is committing to the first few months of the new year, a time when many community groups see a downturn in giving. STA has chosen three different charities to support from January to March, with different levels of involvement. We urge all of our members to participate or give.

Click here for the full STA Gives Back program

New Obligations Under Sweeping Corporate Transparency Laws

Not all companies are transparent about the makeup of their ownership structure, but a recently enacted federal law and a pending New York State law targeting money laundering and other illegal financial activities will dramatically change that.

On the federal level, the Corporate Transparency Act, already in effect since Jan. 1, will have wide ramifications for an estimated more than 30 million privately held companies including certain corporations, limited liability companies and limited partnerships.

January Legislative Report

The state legislature convened the 2024 legislative session on January 3. On January 9, Governor Hochul delivered her State of the State address, outlining her priorities for the year. On January 16, the governor will release her 2024-25 budget. STA is monitoring all this activity for policy affecting the construction trades.

Industry News & Regulations

School Construction Authority Capital Plan: What’s Next?

In November the School Construction Authority and the NYC Department of Education released the proposed 2025-2029 five-year capital plan. The proposed $17 billion capital plan is $2.4 billion lower than 2020-2024 plan. An updated plan will be released by February 1^st and will be part of budget hearings held by the New York City Council. The final plan will be approved as part of the City’s budget adoption process in June.

The FY2025-2029 Plan is organized to encompass efforts in four categories: Capacity, Healthy Schools, Capital Investment, and Mandated.

Capacity ($4.98B – 29%): The Plan will continue the City’s long-term commitment of investing in the creation of new seats, not only in areas of current overcrowding and projected enrollment growth, but also to help schools comply with recent state legislation requiring smaller class sizes.

Healthy Schools ($2.25B – 13%): This newly created category will enable SCA to allocate funds strategically for promoting healthier school environments, advocating health and nutrition, and broadening opportunities for physical education.

Capital Investment ($6.37B- 38%): Continues investment in existing infrastructure to provide better facilities for students, teachers and staff.

Mandated ($3.40B – 20%): Provides funding to meet requirements by local law, City agency mandates, and other required elements such as remediation and building code compliance projects, insurance, and emergency projects.

Unlike prior five-year plans which focused primarily on building new seats, as a result of a declining birth rate and a multiyear decline in enrollment, the SCA is shifting their focus to targeted support to schools to achieve compliance with the state’s class size legislation as well as to advance equity and excellence throughout the five boroughs.

STA will continue to keep members updated on that status and details of the SCA’s capital plan

Job Limits for Construction Superintendents

Beginning January 2, 2024, the number of permitted building construction sites that a construction superintendent can be officially designated at the same time will be reduced from five jobs to three. DOB will not issue a permit for a project that requires a construction superintendent if the application names a superintendent who is already designated on three or more active permits.

This new policy is in keeping with Local Law 149 of 2021, which is targeted at reducing the total number permit designations for construction superintendents in stages down to just one job per professional. Construction superintendents who are designated on more than three active jobs must choose which jobs to withdraw from to reduce their total jobs to three.

Service Notice: Construction Superintendents Limitations (nyc.gov)

Reminder: SST Cards Expire after Five Years

Site Safety Training Cards (SST) are required for all workers on a construction site. As a reminder, the cards expire after five years. Cardholders will be required to take a refresher course every five years to renew their SST card. While some of the individual classes that form the basis of the card may have expired, the card itself is current through the expiration date listed on the card. It is the SST card itself that is enforceable on the job site. Please contact STA if you have any questions or issues on this matter.

New Fossil Fuel Installations Phased Out for New Construction

To meet NYC's ambitious carbon emissions reduction goals, the City Council passed Local Law 154 of 2021, which phases out fossil fuels in newly constructed buildings for cooking, heating and service hot water, which impacts appliances such as cooking ranges and clothes dryers.

The first phase of the law goes into effect January 1, 2024, for new buildings or new buildings with existing elements to remain that are 1- and 2-family homes, or buildings less than seven stories high. The law will apply to all other new building construction projects beginning on July 2, 2027.

Applications for New Buildings or Alt-CO New Buildings with Existing Elements to Remain (alterations that must be filed as New Buildings), are required to comply based on the filing date of the initial GC application, as follows: