Construction Law Blog
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As part of Washington’s Initiative 1433, approved by voters in November 2016, Washington’s minimum wage will be increased to $13.50 by January 1, 2020. At the time the initiative was approved, Washington’s minimum wage was $9.47 per hour and increased with the cost of living. It was the eighth-highest minimum wage in the country. The federal minimum wage was $7.25. In 2014, Seattle became the first major city to approve a $15 minimum wage.
Initiative 1433 increased the state's minimum wage to $13.50 by January 1, 2020. Thereafter, the minimum wage will be increased with the cost of living. Washington’s minimum wage is set to increase as follows:
On July 6, 2017, Washington’s Governor Jay Inslee signed a new family and medical leave law that will offer paid leave to employees in our state to care for a newborn or newly adopted child or for a serious health condition. Washington’s new law is one of the most generous paid family leave programs in the United States. It was a bipartisan measure, passing the House on a 65-29 vote shortly after the Senate passed it on a 37-12 vote. It is titled the Washington Family Leave Act (WFLA). Contributions to the program will begin in 2019 and benefits will be available to Washington employees starting January 1, 2020.
This paid leave program brings Washington into the small group of states offering paid leave in the United States, which severely lags behind the world in national paid parental leave. According to the WORLD Policy Analysis Center at UCLA, out of 193 countries in the United Nations, only a few do not have a national paid parental leave law: New Guinea, Suriname, a few South Pacific island nations, and the United States.
WSDOT Seeks Retraction of Waiver Excluding Non-Minority Woman-Owned Businesses from Participation Goals
If you are a regular reader of our blog, you will likely recognize that our firm has been actively involved and concerned with the results of Washington State Department of Transportation’s (“WSDOT”) Disparity Study, which impacts both Disadvantaged Business Enterprises (“DBE”) and general contractors who bid on federally-funded projects with DBE goals. On June 1, 2017, WSDOT implemented a “waiver”, which excluded Caucasian women-owned firms (“WBEs”) from qualifying for Condition of Award DBE Goals on federally-funded projects. This drastic action was the result of WSDOT’s highly criticized 2012 Disparity Study conducted by BBC Research & Consulting of Denver, Colorado, which concluded non-minority women-owned firms do not face “substantial disparities” in the federally-funded transportation contracting market.
The implied duty of good faith and fair dealing is implied in every contract, including construction contracts. Generally speaking, this implied duty requires parties cooperate with one another so that they each obtain the full benefit of their contracted bargain. Recently, the Court of Appeals (Division II) in Nova Contracting, Inc. v. City of Olympia discussed this duty’s application to a public works contract.
In early 2014, the City of Olympia published an invitation for bids to replace a culvert that conveyed a creek underneath a paved bike trail. Nova Contracting was awarded the Project. The specifications required that Nova submit a number of submittals, the approval of which was required before Nova could commence work. The contract also provided that the City’s decision with respect to these submittals would be final and that Nova would bear all risk and costs of delays caused by non-approval of any submittals.
The new Part 107 FAA Rules took effect on Monday, August 29, 2016. Unlike the previous requirements for flying a drone commercially, the new rules are much more simplistic and permissive of a broad amount of commercial drone usage.
The following is the basic knowledge you need to legally use a drone on your future projects. To fly a drone commercially, there are now four major requirements:
- You must be at least sixteen years old;
- You must register your drone online;
- You must pass an aviation knowledge test administered at an FAA-approved testing center; and
- You must pass review by the Transportation Security Administration.
Construction contractors increasingly use drones to monitor and document progress on construction sites. Drones are becoming more and more common place in construction. One of our clients, an excavation contractor, uses a drone to fly the project before the bid. The contractor then uses the data gathered from the drone to create a topographic map, inputs the design elevations and plans in a computer, and calculates the quantities as a check of the owner takeoffs. This is an inexpensive check on quantities, which provides the contractor with a leg up in the bidding process.
Companies that do not themselves qualify for federal preferences as small, disadvantaged businesses can help in joint ventures with other qualified companies and enjoy many of the benefits these programs offer.
Federal agencies annually reserve over $12 billion in federal contracting opportunities for award to “8(a)” companies, which are businesses that have successfully applied for determination of being socially and economically disadvantaged under Section 8(a) of the Small Business Administration (“SBA”) Act. In addition, other categories of disadvantaged, small businesses, such as companies owned and controlled by service-disabled veterans, qualify for a growing allotment of set aside contracts and other preferences.
The U.S. Equal Employment Opportunity Commission (the “EEOC”) is responsible for enforcing federal laws that make it illegal to discriminate against a job applicant or employee because of the person’s race, color, religion, sex (including pregnancy, gender identity, and sexual orientation), national origin, age (40 or older), disability, or genetic information. It is also illegal to discriminate against a person because the person complained about discrimination, filed a charge of discrimination, or participated in an employment discrimination investigation or lawsuit.
When issuing citations under the Washington Industrial Safety and Health Act of 1973 (“WISHA”), the Department of Labor and Industries (“L&I”) commonly classifies violations as either “general” or “serious.” The level of severity has an effect on the civil penalty – for example, the civil penalty of “serious” violation can reach $7,000 per violation – as well as the contractor’s safety record. Contractors with poor safety records may pay more for insurance and have a more difficult time procuring work.
On March 25, 2016, the Occupational Safety and Health Administration (“OSHA”) published its final rule on occupational exposure to respirable crystalline silica (the “Silica Rule”). Crystalline silica is a basic component of soil, sand, granite, and many other materials. Silica exposure is classified as a human lung carcinogen and can cause lung cancer, silicosis, chronic obstructive pulmonary disease, and kidney disease. Approximately two million construction workers nationwide are exposed to respirable crystalline silica in their workplace as a result of drilling, cutting, crushing, or grinding silica-containing material, such as concrete and stone.