NASBP Focal Point - April 4, 2024

Federal Report

Congress on recess until next week: What lies next for House Speaker Mike Johnson? It is been widely-reported that he is determined to bring a Ukraine aide spending package to the House floor when the House reconvenes after its Easter Recess. This move may trigger a motion-to-vacate the Chair from a certain member of the House Freedom Caucus. It is uncertain if there is wide support from other members of the Republican Caucus to remove Speaker Johnson, which has the potential to throw the House into chaos in an election year, and may bolster the Democratic party's chances to gain control of the House. Will Democrats come to Speaker Johnson's rescue and vote to keep him as Speaker should such a vote be called? According to Minority Leader Hakeem Jeffries, a reasonable number of his caucus have expressed support for Speaker Johnson, including newly-elected Tom Suozzi (D-NY-3rd), which they believe is the "right thing" to do. Things may become quite interesting when Congress returns on Tuesday, April 9.

State Report

New: CA AB 2439 (Quirk-Silva): NASBP and nearly a dozen CA state contracting and business groups sent an letter opposing AB 2439, legislation to expand CA's Public Records Act (PRA) by requiring private businesses such as developers or their agents who receive public funds to be subject to the PRA in connection with records they prepare, own, use, or retain relating to public works projects. The legislation also requires the owner, developer, or their agents to establish written guidelines for accessibility of records. AB2439 was referred to the Assembly Judiciary Committee.

Update: MN SB3785/HF4324 (Hoffman/Vang): Amends chapter 574 to waive bonds for construction projects above $100,000 when awarded to Black, Indigenous, and People of Color (BIPOC)-owned businesses. This waiver exemption is intended to facilitate generational wealth-building within the BIPOC community. SB3578 was referred to the Committee on State and Local Government and Veterans. HF4324 was referred to State and Local Government Finance and Policy. Neither bills are scheduled for a hearing and are unlikely to advance this legislative session.

Update: AZ SB1670 (Gowan): Amends Title 41, 2559.01--State Governments (P3 contracts) to permit a state procurement officer to enter into a P3 contract for construction, operation, and maintenance services of state buildings, and infrastructure or improvements to or on state property. As introduced, SB1670 did not include bonding requirements for P3 agreements. SB1670 approved by the Senate on March 6 and by the House Committee on Government on March 20.

Update: MS HB1060 (Remak) Amends Section 31-5-51 (MS LMA) by increasing the bond threshold from 25K, to $75K for public works contracts. HB1060 passed the House on March 18 but died in the Senate Committee on Finance.

If you are aware of any bills impacting the industry, please reach out to Larry LeClair, NASBP's Director of Government Relations, and let us know.