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AGC Advocacy: AGC Moving Construction
Agenda on Capitol Hill
AGC leads the construction industry
on legislative issues
AGC began 2006 with a landmark achievement when the U.S.
Commerce Department announced in January an agreement-in-principle
with Mexico to lift the tariff on Mexican cement. In the past
two years, as a result of increased worldwide demand for cement,
particularly after the tsunami in Asia and the hurricanes
in the Gulf Coast, domestic producers have not been able to
meet domestic demand. In fact, 30 million tons of imported
cement entered the U.S. market last year, and 32 states reported
cement shortages.
For more than a year, AGC worked with the Commerce Department
to lift the tariff on Mexican cement so that supply can meet
demand. AGC and its members took to Capitol Hill and the airwaves
last fall at its legislative conference. AGC received support
from a number of governors and assistance from members of
Congress from Arizona, Florida, New Mexico, South Dakota,
Texas, Utah, Washington and many others.
It was apparent that Commerce officials recognized AGC as
a credible industry source. This is an excellent example of
AGC showing leadership in the industry because most other
construction associations were not engaged in this issue.
In 2006, AGC remains committed to ensuring a healthy construction
economy, continuing to advocate on behalf of its members for
permanent tax cuts, association health plans, sensible immigration
reform, wastewater infrastructure, multi-employer pension
plans and contractor liability issues, among others.
AGC leads the construction industry on tax reform issues,
which include promoting more favorable tax policies for the
long term, aggressively supporting permanent repeal of the
death tax, lowered capital gains and dividends rates, and
repeal of the alternative minimum tax.
AGC also supports the passage of association health plans
legislation, which would allow small businesses to join together
through industry and professional associations to purchase
affordable health benefits for their workers.
AGC is spearheading efforts to ensure that union multi-employer
pension plans receive needed flexibility that will help sustain
pension plans during good times and make the plans more reliable
for its member companies and their employees. The U.S. House
of Representatives has acted, and AGC is urging the U.S. Senate
to act in early 2006.
AGC was a leading advocate for theClean Water Trust Act,
H.R. 4560, introduced in the House in December, which calls
for more than $7 billion per year for five years to be spent
on wastewater infrastructure. AGC will continue to work for
this legislation to become a reality.
AGC has worked for more than five years to pass the Water
Resources Development Act reauthorization, legislation that
authorized billions of dollars in U.S. Army Corps of Engineers
projects for navigation, flood control, environmental restoration
and hydroelectric power. The bill, H.R. 2864, passed the House
last year and was reported from the Senate committee last
summer. AGC will continue to focus efforts urging Senate leaders
to allow consideration of S. 728 by the full Senate this year.
More than half of the 1,682 managed federal buildings require
repairs and alterations, and the need for military housing
is at an all-time high. Changes in the procurement landscape
are expected, with agencies looking into contract awards,
and the increased use of multiple-award construction contracting.
Because of these changes, in 2006 AGC will actively work with
its federal agency partners-including the military construction
agencies, the U.S. Small Business Administration and Congress-to
ensure a fair and reasonable contracting environment for AGC
federal contractors.
AGC supports efforts to prohibit the use of reverse auctions
to procure federal construction services. A bill was passed
by the House last year that included a ban on the purchase
of construction services using reverse auctions. AGC will
continue to push for the prohibition.
AGC is alarmed by the aggressive nature of tort lawyers towards
construction contractors who assist after disasters. AGC has
worked to have two bills introduced to combat this attack
on the industry. The first bill is the Good Samaritan Volunteers
Act, H.R. 3713, legislation that protects contractors who
volunteer to assist in rescue and recovery after a catastrophe.
AGC is worried that construction entities will be targeted
by tort lawyers for decisions made by the federal government
in the Hurricane Katrina clean-up. AGC has worked to introduce
the Gulf Coast Recovery Act, S. 1761, legislation that will
protect construction contractors who are carrying out orders
from the federal government in a disaster situation.
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