Economic Development and Government Relations

Your ASA San Diego Government Relations Committee continues to be your advocate with local public agencies, and the greater San Diego contracting community, concerning ourselves with issues such as prompt payment, retention practices, subcontract clauses, and project delivery methods, specifically as they relate to subcontractor bid listing laws.

We have found that by being proactive with the owners directly, we can promote an agenda that ultimately supports the issues common to the trade subcontractors.

ASA San Diego Government Relations Achievments

On Oct. 9, 2013 California Gov. Jerry Brown (D) signed into law ASA of California-supported bills — S.B. 293 and S.B. 474 — that will provide welcome relief to construction subcontractors in the state and may even help some stay in business.

The new laws ultimately will help improve cash flow for, and limit unfair transfer of risk to, the state’s construction subcontractors.

”California construction subcontractors scored a crucial legislative victory,” said ASAC President Santo Pernicano, Area-West Fence Company, Lakeside, Calif. “In today’s tough economic environment, reforms were urgently needed that improve cash flow and protect subcontractors from unfair risk transfer.  To read more about these bills click HERE

U.S. House Votes to Repeal 3 Percent Withholding Requirement — ASA Pushes for Repeal Vote in Senate

Several years of hard work by ASA’s grassroots activists paid off on Oct. 27, when the U.S. House of Representatives voted to repeal the 3 percent tax withholding requirement on public contracts. The House passed repeal legislation (H.R. 674) by a vote of 405-16 (yeas-nays). “The House acted decisively to repeal this burdensome law that, if implemented, would reduce the cash flow of government contractors while increasing their record-keeping requirements,” said 2011-12 ASA President Kerrick Whisenant, Cornerstone Detention Products Inc., Tanner, Ala. Without repeal, the tax withholding requirement is scheduled to take effect on Jan. 1, 2013. “The Senate should swiftly bring repeal legislation to a vote.” In a statement released by the White House on Oct. 25, the Obama administration said it “supports passage of H.R. 674” and that the legislation “would reduce a burden on government contractors who otherwise comply with their tax obligations, particularly small businesses.” ASA is working with key senators to end debate and bring repeal legislation to a vote in the Senate. For more information, contact ASA at (703) 684-3450, Ext. 1317, or GovernmentRelations@asa-hq.com.