As reported in a previous issue of Pipeline, MA HB 2808 (Rep. John H. Rogers D-12^th) amends a Massachusetts statute to allow the construction manager at-risk (CMAR) to have the option to use subcontractor default insurance (SDI) in lieu of statutorily required performance and payment bonds for certain trade contracts. Trade contractors not covered through SDI must submit payment and performance bonds to the CMAR at no additional cost to the CMAR or awarding agency. NASBP opposes HB 2808, because the bill would unfairly favor SDI over statutory bonds.

NASBP has retained a lobbyist to represent our interest, and he is working with our Massachusetts members in reaching out to members of the Massachusetts General Assembly to educate them on the bill. A public hearing was held on October 6 where NASBP Regional Director Mike Regan, a NASBP retained lobbyist, and Surety & Fidelty Association of America testified in opposition. A copy of NASBP’s letter in opposition to HB 2808 can be found here.

If you become aware of any similar issues in your jurisdiction, contact NASBP Manager of State Relations Shannon Crawford at scrawford@nasbp.org.