LEGISLATIVE UPDATE

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As in recent years, most of the legislative activity of the Association’s Government Affairs Committee has been through the Alliance for Construction Excellence (ACE) – an umbrella group of seven local specialty construction trade associations.  ACE is engaged in legislative sessions in Virginia, Maryland, and the District of Columbia.  As the legislative sessions in Virginia and Maryland have adjourned, we highlight the following two bills that may have the most impact on your businesses:

Maryland House Bill 1231: Real Property – Construction Contracts – Retention Proceeds

This Bill revised the existing law to:

  • establish that a certain remedy for the payment of an undisputed amount owed under a construction contract applies to certain retention proceeds;
  • reduce the minimum contract amount from $250,000 to $100,000, for the purpose of the applicability of certain provisions of law relating to retention proceeds; and
  • require undisputed retention proceeds retained by an owner be paid within 90 days after the date of substantial completion.

Governor Larry Hogan signed the Bill into law on April 30, 2019.  The new law will go into effect on October 1, 2019.  For more information, visit legislative tracking and reporting service, LegiScan.

Maryland Senate Bill 300: Prevailing Wage Rates – Public Work Contracts – Suits by Employees

Enacted on March 28, 2019, this Bill:

  • authorizes certain employees to sue to recover the difference between certain prevailing wage rates and certain amounts under certain circumstances;
  • provides that a certain determination by the Commissioner of Labor and Industry does not preclude certain employees from filing a certain action; and
  • provides for the liability of certain contractors and subcontractors under certain circumstances.


This law will go into effect on October 1, 2019. For more information, visit legislative tracking and reporting service, LegiScan.

The Chapter thanks Tim Miller of Freestate Electric, Matt Rog of Rog Services, and Clint Perdue of Kelly Electric for serving on the Government Affairs Committee.  Their involvement is critical to the Association’s ability to monitor and impact legislative developments in the region.  The Committee welcomes the participation of additional NECA members as well.