Accept Cookies?
Print Page   |   Contact Us   |   Sign In   |   Register
Search
Small & Emerging Contractors

 

Government Relations - General Information (Public)

SFAA and AIA Defeat Onerous Public Official Bond Bill in New HampshireOpen in a New Window

SFAA and AIA Defeat Onerous Public Official Bond Bill in New Hampshire 

SFAA and AIA opposed and defeated HB 204, which would have permitted inhabitants of the State to make claims on the bonds required for state officials, clerks, and employees to seek indemnity against losses resulting from the official or employee's failure to perform their duties or from an official or an employee's fraudulent act or omission.

Members should visit Government Relations / General Info (Members) for more information.


 

This Week in Surety & Fidelity LegislationOpen in a New Window

SFAA has replaced the monthly overview reports with the weekly legislative update on Surety & Fidelity legislation.  Reports are available for Members on the Weekly Legislative Reports page.

Members may sign up to receive email notifications by subscribing to the "Legislative-Regulatory Alert" group.


 

 

Multiple Government Affairs updates postedOpen in a New Window

 

SFAA Addressing Bonding Requirements in Port Authority Bills in Florida and Oregon

Oregon HB 2750, which would allow the Port of Hood River to conduct tollway projects within its district. The bill would allow private entities to own and operate the tollway in an agreement with the port. Except for the prevailing wage laws, the bill would exempt these projects from the existing public procurement laws for construction contracts so that the Little Miller Act would not apply. SFAA is seeking amendments to require bonding for these projects.

In Florida, HB 737 would renew the charter for the Port of Palm Beach District. SFAA reviewed the bonding issue and under current law, under which the port authority is a political subdivision of the State. Political subdivisions are subject to the Little Miller Act.

Members should visit Government Relations / General Info (Members) for more information.

 

States Interest in Public-Private Partnerships Remain High in 2017

Members should visit Government Relations / General Info (Members) for more information.

 

SFAA and AIA Opposing Bond Threshold Increase for Indiana Educational Institutions

Indiana HB 1117 has been amended in the Senate to provide that contractors would not have to furnish a performance bond or a payment bond on public works contracts under $500,000 with a state educational institution if the institution agrees to waive the bond requirement. Originally, the bill only pertained to the partial release of a subdivision bond. The bill passed the Senate and has been sent to the House for approval. SFAA and AIA are opposing the bill.

Members should visit Government Relations / General Info (Members) for more information.

States Consider Model Law on Notaries with Bonding Requirements

In 2017, some states have introduced bills this year to implement the Revised Uniform Law on Notarial Acts from the National Conference of Commissioners on Uniform State Law (NCCUSL). The model provides that the notary must post a bond or its functional equivalent and leaves it to the state to decide the amount required. The model gives the state agency implementing the law the authority to determine what forms of security would be accepted through regulations. Bills currently are pending in: Idaho (HB 125/HB 209), Indiana (SB 539), Kentucky (HB 218/HB 539), Minnesota (SB 893/HB 1609), and Washington (SB 5081).

Members should visit Government Relations / General Info (Members) for more information.

Pennsylvania Bill would Eliminate Discretionary Security Requirements in Little Miller Act

In Pennsylvania, SB 493 would revise the Little Miller Act to repeal the broad discretion granted to state and local public contracting entities to accept "any financial security" to secure performance and payment obligations, and to set forth specific acceptable forms of security. The bill would limit the security that may be furnished to performance and payment bonds, letters of credit, or escrow accounts in an amount equal to 100% of the contract.

Members should visit Government Relations / General Info (Members) for more information.

 

Recently Introduced P3 Legislation

Members should visit Government Relations / General Info (Members) for more information.

 

SFAA Addressing Little Miller Act Bills in Tennessee

Tennessee HB 1036/SB 884 would increase the bond threshold from $100,000 to $200,000 for contracts let by the State Building Commission for state building projects. SFAA is working to defeat the bill.

Legislation also has been introduced under SB 681/HB 981 that would revise Tennessee’s Little Miller Act so that the bonds required for public construction contracts would have to be for a minimum of 25% of the contract price. Currently, the bonds must be equal to 25% of the contract price.

Members should visit Government Relations / General Info (Members) for more information.

 

P3 Bill Sent to Governor in Utah

Legislation has passed in Utah under SB 204 that would make minimal revisions to the existing public procurement code to authorize state and local procurement units to use public-private partnerships (P3) for public works projects. The bill does not specify any additional requirements for the P3 other than what is in the existing law, which includes the Little Miller Act. The bill is on the Governor’s desk for signing.

Members should visit Government Relations / General Info (Members) for more information.

 

SFAA and Industry Partners Obtain Changes in Virginia Contractor Prequalification Bill Sent to Governor

Virginia HB 2017 is heading the Governor’s desk. Under existing law, for non-transportation public construction contracts that exceed $100,000 and are less than $500,000, contractors must be prequalified under the existing law's standards when bonds are not required. The bill provides that a locality may waive the requirement for prequalification of a bidder upon a written determination made in advance that waiving the requirement is in the best interests of the locality, but only under the following circumstances: 1) the bidder has a current Class A contractor license; 2) the contract amount is in excess of $100,000 but less than $300,000; 3) the locality cannot enter into more than ten such construction contracts per year; and 4) the provisions for waiving the prequalification would expire on July 1, 2021.

Members should visit Government Relations / General Info (Members) for more information.


 

End of Legislative Session Reports postedOpen in a New Window



End of 2017 Legislative Session report added for Virginia and Wyoming for Members only.

Previous reports posted for 2016:  Alabama, Alaska, Arizona, California, Colorado, Connecticut, Delaware, Florida, Georgia, Hawaii, Indiana, Kansas, Kentucky, Idaho, Illinois, Louisiana, Maine, Maryland, Minnesota, Mississippi, Missouri, Nebraska, New Hampshire, New Mexico, New York, North Carolina, Oklahoma, Rhode Island, South Carolina, South Dakota, Tennessee, Oregon, Utah, Vermont, Virginia, Washington, West Virginia, Wisconsin and Wyoming.


Navigate to Government Relations / End of Legislative Session Reports


 

Monthly Comprehensive Legislative Reports posted for MembersOpen in a New Window

   

Comprehensive Legislative Reports for March 2017 (Commercial Surety; Contract Surety; Fidelity) posted for Members only.

Or navigate to any of the following:


 

 

U.S. Department of Labor accepts SFAA's proposed ERISA formOpen in a New Window

U.S. Department of Labor accepts SFAA's proposed ERISA form 

SFAA is pleased to announce that it has reached an agreement with the Department of Labor Employee Benefits Security Administration (“EBSA”) regarding its standard form language providing ERISA fidelity coverage. Section 412 of ERISA and related regulations require that “handlers” of plan funds be bonded. This requirement is usually met with a fidelity bond.  Since 2015, EBSA Regional Offices have objected to SFAA’s standard fidelity bond language, opining that such language did not comply with section 412 of ERISA or with 29 CFR 2580.412-9.

SFAA immediately engaged in discussions with EBSA and proposed revised language contained in a new ERISA Dishonesty Bond. Those discussions and negotiations finally have borne fruit. EBSA staff recently has advised that the language in the ERISA Dishonesty Bond is acceptable and addresses fully EBSA’s concerns. SFAA will be filing the form with state insurance departments and should be available for use in the fourth quarter of 2017.

 

U.S. EPA Delays Controversial Hard Rock Mining RuleOpen in a New Window

U.S. EPA Delays Controversial Hard Rock Mining Rule 

The U.S. Environmental Protection Agency (EPA) extended by four months the comment period on its proposed rules to establish financial responsibility requirements for hard rock mining operations for metals and non-metallic fuel minerals to implement §108(b) of the Comprehensive Environmental Response, Compensation, and Liability Act (CERCLA). Surety bonds would be accepted to meet the requirement. The EPA also is considering limiting or eliminating the option for coal companies to self-bond. SFAA will be developing comments on the proposed rules.

Members should visit Government Relations / General Info (Members) for more information.


 

Federal/State Regulatory Reports for February 2017 posted for MembersOpen in a New Window

 

Regulatory reports for February 2017 have been posted on rules affecting Commercial Surety and Contract Surety that were recently proposed or adopted.

 For Members only (or from the menu, select "Government Relations" / "Federal/State Regulations")


 

 

Federal Construction Industry Procurement Reform Coalition Legislation for this CongressOpen in a New Window

Federal Construction Industry Procurement Reform Coalition Legislation for this Congress 
Members should visit Government Relations / General Info (Members) for more information.

 

States Interest in Public-Private Partnerships Remain High in 2017Open in a New Window

  States Interest in Public-Private Partnerships Remain High in 2017 
Members should visit Government Relations / General Info (Members) for more information.

 

Key P3 Stakeholder Group Urges U.S. EPA to Require Bonding for WIFIA-Financed ProjectsOpen in a New Window

  Key P3 Stakeholder Group Urges U.S. EPA to Require Bonding for WIFIA-Financed Projects 
Members should visit Government Relations / General Info (Members) for more information.

 

New Hampshire Bond Threshold Bill Amended to Lower Proposed IncreaseOpen in a New Window

New Hampshire Bond Threshold Bill Amended to Lower Proposed Increase 

As originally introduced, New Hampshire HB 371 would have increased the state bond threshold from $35,000 to $150,000. Following a committee hearing on the bill, with materials from SFAA, AIA state counsel has addressed the misconceptions about how much the bonds cost and whether the contractor or the public contracting entity pays the cost that some small contractors had raised. The bill has been amended so that the bond threshold is increased from $35,000 to $75,000 instead of $150,000. The bill also was amended to allow political subdivisions to opt-out of the bonding requirements. SFAA is reviewing the Little Miller Acts to assess this provision and will continue to work with AIA to address the bill.

Members should visit Government Relations / General Info (Members) for more information.


 

New Mexico P3 Bills Introduced with SFAA and AIA’s Bonding ProvisionsOpen in a New Window

  New Mexico P3 Bills Introduced with SFAA and AIA’s Bonding Provisions 

Bills recently introduced in New Mexico to authorize State and local governments to use public-private partnerships (P3) include bonding provisions that SFAA and AIA previously obtained in prior sessions in addressing P3 bills.  These bills include SB 426 (tourism services buildings and facilities), SB 418 (behavioral health services buildings and facilities), HB 275 (all public works projects), and SB 143 (telecommunications infrastructure and public building projects for the conservation of natural resources).

Members should visit Government Relations / General Info (Members) for more information.


 

SFAA Urges EPA to Include Bonding Requirements in Regulations to Implement WIFIAOpen in a New Window

SFAA Urges EPA to Include Bonding Requirements in Regulations to Implement WIFIA 

SFAA and NASBP submitted comments to the U.S. Environmental Protection Agency (EPA) to address an interim final rule to implement the Water Infrastructure Finance and Innovation Act (WIFIA). The law allows the EPA to provide secured loans and loan guarantees to eligible water infrastructure projects. The EPA will enter into credit agreements that are negotiated between the project sponsor and the EPA. The regulations largely deal with repayment of WIFIA loans and loan guarantees. The comments from SFAA and NASBP urge that the interests of the federal government should be protected on water projects, including when federal funds are at risk, through bonding requirements.

Members should visit Government Relations / General Info (Members) for more information.


 

SFAA and AIA Addressing Bond Threshold Indexing in WisconsinOpen in a New Window

SFAA and AIA Addressing Bond Threshold Indexing in Wisconsin 

SFAA and AIA are working to eliminate the statutory indexing requirement for the Little Miller Act bond threshold in Wisconsin. The law provides a process in which the threshold may be adjusted for inflation every two years. We are seeking to eliminate the indexing and freeze the bond thresholds at the current levels and are working to pass these provisions in 2017.

Members should visit Government Relations / General Info (Members) for more information.


 

SFAA & AIA Addressing Virginia Bill to Repeal Mandatory Pre-qualification When Bonds Are WaivedOpen in a New Window

SFAA & AIA Addressing Virginia Bill to Repeal Mandatory Pre-qualification When Bonds Are Waived 

SFAA, AIA, and its industry partners are addressing Virginia HB 2017, which would permit local governments to waive the mandatory prequalification requirement on non-transportation construction contracts between $100,000 and $500,000 when bonds are not required.

Members should visit Government Relations / General Info (Members) for more information.


 

SFAA and AIA Seeking Bond Requirements in Indiana P3 LawsOpen in a New Window

SFAA and AIA Seeking Bond Requirements in Indiana P3 Laws 

SFAA and AIA are pursuing amendments to the P3 laws in Indiana for public facilities, the Department of Transportation, and the Indiana Finance Authority to require a performance bond and a payment bond. We also are seeking to revise the definition of "public funds" so that bonding will be required for P3s.

Members should visit Government Relations / General Info (Members) for more information.


 

Bill for Alternative Project Delivery Returns in Illinois with SFAA Bonding ProvisionsOpen in a New Window

  Bill for Alternative Project Delivery Returns in Illinois with SFAA Bonding Provisions 

Legislation has been reintroduced in Illinois under HB 2755/SB 1320 that would authorize the use of the design-build and construction manager/general contractor project delivery methods for transportation facility projects. The bill specifies that these projects are subject to the Little Miller Act, a provision which SFAA and AIA obtained in last year’s bill.

Members should visit Government Relations / General Info (Members) for more information.


 

Hawaii Legislation Attempts to Address Bonds from a Captive InsurerOpen in a New Window

  Hawaii Legislation Attempts to Address Bonds from a Captive Insurer 

Hawaii HB 1415/SB 1280 would address a situation involving a contractor that formed a captive insurer to write bonds and defaulted on a project. The bill would require the surety company issuing the bond to be independent from the parties that were awarded the bid. The bill would require the surety company to be listed on the Treasury Department's Circular 570. The legislation is intended to. The bill also would prohibit a surety company or bond company from being revoked or dismissed until 90 days after the completion of the project and the settlement of all claims, torts, and liens. SFAA is working to address this legislation and the problems that were the impetus for it.

Members should visit Government Relations / General Info (Members) for more information.


 

Policy Agenda for Administration and Congress Begins to Take ShapeOpen in a New Window

Policy Agenda for Administration and Congress Begins to Take Shape 

Things are starting to take shape in the 115th Congress and the new Trump Administration as the Senate works through cabinet nominations and the House begins work on the budget.

Members should visit Government Relations / General Info (Members) for more information.


 

SFAA and AIA Oppose Bond Threshold Increase in North DakotaOpen in a New Window

  SFAA and AIA Oppose Bond Threshold Increase in North Dakota 

SFAA and AIA are seeking to defeat North Dakota SB 2146 would increase the bid, payment and performance bond thresholds from $100,000 to $150,000. The bill is being promoted as an effort make the laws consistent with other procurement-related thresholds, which were raised to $150,000 in the last session. The bill also may be a means of cutting costs for the State. The bill has passed the Senate and needs to be addressed in the House.

Members should visit Government Relations / General Info (Members) for more information.


 

SFAA & AIA Seek Defeat of Virginia Bill to Repeal Mandatory Pre-qualification When Bonds are WaivedOpen in a New Window

  SFAA and AIA Seek Defeat of Virginia Bill to Repeal Mandatory Pre-qualification When Bonds are Waived 

SFAA, AIA, and its industry partners recently testified against Virginia HB 2017, which would unravel the compromise that SFAA and AIA reached in 2011 when the bond threshold was increased from $100,000 to $500,000 for non-transportation projects.  HB 2017, as introduced this year, would permit a local government to waive the prequalification requirement with a written determination that the waiver is in its best interests.  The bill has passed out of committee with an amendment to limit the waiver to ten non-transportation construction contracts in one year for Class A contractors only.  SFAA and AIA will address the bill on the House floor.

 Members should visit Government Relations / General Info (Members) for more information.

 

SFAA Gears Up to Address Surety Issues in CongressOpen in a New Window

  SFAA Gears Up to Address Surety Issues in Congress  
Members should visit Government Relations / General Info (Members) for more information.

 

SFAA Warns NY Insurance Regulators of Negative Impact of New Commercial Crime Policy RequirementsOpen in a New Window

  SFAA Warns New York Insurance Regulators of Negative Impact of New Commercial Crime Policy Requirements 

The New York Department of Financial Services (Department) adopted regulations that prohibit commercial crime insurance policies from excluding coverage for losses caused by employees who have been convicted of a criminal offense, if the employer knew about the conviction prior to the loss and followed the procedure in the Corrections Law in determining whether to hire the person. SFAA objected to these regulations when they were proposed and urged the Department not to implement them. SFAA’s Crime Protection Policy is not intended to insure against unsound management practices, and the regulations may have the unintended result of making the coverage less available and/or more expensive.

Members should visit Government Relations / General Info (Members) for more information.


 

D.C. City Council Passes Bill to Improve Bonding for Joint Ventures ProgramOpen in a New Window

  D.C. City Council Passes Bill to Improve Bonding for Joint Ventures Program 

SFAA successfully persuaded the District of Columbia City Council to introduce and pass LB 863, which is a bill that would revise a bond requirement in current law for joint ventures (JV) that include a certified business enterprise (CBE). The bill repeals a requirement for the bonds for the project that the joint venture performs to be provided by the CBE. The bill also repeals a provision that the CBE is solely and individually liable as the principal to the surety for at least 51% of each claim asserted under the bond. The bill was amended to require the CBE with the majority interest in the JV to demonstrate it has a bonding capacity equal to 51% of the total contract amount. The amended bill also includes reporting requirements for JVs regarding its income from the contract, as well as reporting requirements for DSLBD regarding its compliance enforcement practices. A CBE is a local, small, disadvantaged, or veteran-owned business. The bill now goes to the Mayor for signing, whose support SFAA already has obtained for enacting this bill.

Members should visit Government Relations / General Info (Members) for more information.


Government Relations - General Info (Public)

Item Name Posted By Date Posted
US Dept. of Labor accepts SFAA proposed ERISA form PDF (198.39 KB)  more ] Administration 3/3/2017
SFAA and AIA Working with Indiana Attorney General PDF (81.72 KB)  more ] Administration 2/23/2016
Bond Waiver Bill Resurfaces in Cuyahoga County, OH PDF (156.11 KB) Administration 2/9/2016
Wisconsin - New Draft of Surety Indexing Bill ... PDF (142.4 KB)  more ] Administration 1/27/2016
Proposed Bonding Amendments for Federal Water ... PDF (142.93 KB)  more ] Administration 1/27/2016
Oklahoma - Transportation & Public Facility P3... PDF (156.37 KB)  more ] Administration 1/27/2016
Congress and States Start to Convene 2016 Sessions PDF (166.5 KB)  more ] Administration 1/7/2016
President Signs Two Surety Provisions into Law PDF (149.47 KB)  more ] Administration 11/30/2015
Final Congressional Conference Report on NDAA ... PDF (149.44 KB)  more ] Administration 9/30/2015
President Signs 3-Month Extension to Highway Act PDF (149.84 KB) Administration 8/3/2015
US House Makes First Move on Extending Highway ... PDF (163.37 KB)  more ] Administration 7/15/2015
Congress Gives VA Construction Short Term Patch PDF (38.06 KB) Administration 6/18/2015
IL Bond Form for Commercial Drivers License Test.. PDF (95.59 KB)  more ] Administration 6/12/2015
Federal Construction Coalition Procurement ... PDF (108.85 KB)  more ] Administration 6/9/2015
Nevada Adjourns - Update on Key Surety Legislation PDF (108.66 KB) Administration 6/9/2015
New York $500,000 Bond Threshold Bill to be Heard PDF (108.55 KB) Administration 6/8/2015
Construction Coalition Bill Introduced in Senate PDF (109.15 KB) Administration 6/5/2015
Congress Extends Funding for VA Hospital Project.. PDF (108.96 KB)  more ] Administration 5/26/2015
Congress Heads to Recess without a Solution to ... PDF (121.69 KB)  more ] Administration 5/21/2015
Short Term Extension Likely for Highway Trust Fund PDF (110.28 KB) Administration 5/21/2015
Connecticut Nullum Tempus Bill Passes Legislature PDF (109.32 KB) Administration 5/20/2015
SFAA Comments on Commerce Dept. Bond Waivers ... PDF (95.65 KB)  more ] Administration 5/19/2015
Bills to Transfer Control of VA Construction ... PDF (94.18 KB)  more ] Administration 4/30/2015
Connecticut Nullum Tempus Bill Amended Favorably PDF (96.38 KB) Administration 4/7/2015
New Commercial Surety Bond Opportunity Passes ... PDF (95.5 KB)  more ] Administration 3/31/2015
Sureties in Iowa Fight Bond Waiver PDF (95.62 KB) Administration 3/18/2015
CT Nullum Tempus Bill to be Heard in Committee PDF (109.05 KB) Administration 3/4/2015
SFAA Participates in Joint Trade Comments on ... PDF (62.65 KB)  more ] Administration 2/12/2015
US House Small Business Subcommittee Hearing... PDF (1.17 MB)  more ] Administration 2/12/2015
Congress Enacts New Bond Requirement for ... PDF (50.72 KB)  more ] Administration 1/5/2015
Infrastructure Bills Are Moving in New Jersey PDF (65.83 KB) Administration 12/19/2014
Threshold for Payment Security under Miller Act PDF (64.75 KB)  more ] Administration 12/12/2014
Surety Issues in Congress Wait Until Next Year PDF (54.55 KB) Administration 12/11/2014
Summary of Mid-Term Election Results PDF (50.47 KB) Administration 11/5/2014
Treasury Dept. Issues Final Rules on Sureties ... PDF (65.06 KB)  more ] Administration 10/22/2014
Page 1 of 4
1  |  2  |  3  |  4

1140 19th Street, NW, Suite 500 · Washington, DC 20036-6617
Phone: 202-463-0600 · Fax: 202-463-0606

Contact Us

 

Follow SFAA: TwitterFacebookLinkedInRSS FeedSFAA NewsFlash

- Legal Notices and Disclaimers -

 

Copyright © 2017 The Surety & Fidelity Association of America