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Vermont Government Affairs Update October 2024
The state of Vermont is a buzz of political calls, emails and events across the state as ballots will be mailed in the next week to all registered voters. In addition, many reports due to the legislature are in the process of completion or have been delivered to answer several questions related to professions including residential contracting, building code studies and education funding.
In response to a huge statewide property tax increase with an average of 14% for every homeowner there are non-governmental organizations (NGOs), chambers of commerce and even Department of Education studies trying to assess and identify reasons and solutions to huge increases. Governor Phil Scott issued a preliminary warning in several public appearances this week that already we know of a 7% increase in 2025’s statewide property taxes based on only healthcare insurance premium increases way before school budgets have even been considered. The sweeping opinion of most of the studies is the attachment of healthcare insurance to education spending has become one of the biggest drivers in increases to budgets. Additionally, para educators and additional staff needed to work with the evolving student landscape has also been an issue. The groups studying these challenges will bring in their opinions for “fixes” which will largely be contradictory as usual, and we will see those in January when the legislature returns.
The Office of Professional Regulation (OPR) has issued a “status report” on a recently created residential contractor registry requirement. The new law requires any contractor who performs $10,000 or more in any one contract with the owner of primary residential property (up to 4 units) to register with OPR while following written contract and insurance requirements. The report suggests the $10,000 threshold requirement for registration should be lower, or non-existent due to a small number of people/firms registering currently. It also, suggests that the registry is insufficient to deal with quality of work issues as the department is not qualified to do so. It also points out that the voluntary certification system created cannot manage safety or quality and refers the reader to consider sending jurisdiction of those issues to the Department of Fire and Safety (DFS). DFS has repeatedly refused to work in the single-family residential market for many reasons. It is likely a bill will be introduced to try to change all three. What this means to commercial contracting firms is that their employees who may be moonlighting on the weekends should be registered in the system to prevent their employers from vicarious liability should someone be driving a work truck or use tools provided by an employer while moonlighting.
At the same time OPR is seeking to create a new jurisdiction under Department of Fire and Safety (DFS) another legislative working group is focused on not only the jurisdictional element but the adoptions of a statewide residential building code. Director of DFS, Michael Desrochers, is a member of the committee and has repeatedly opposed sending jurisdiction of single-family residences to his department due to staffing and funding issues. NGOs involved with the study have already produced “napkin estimate” projections for the cost of the program, licensing of contractors and inspections of buildings. The committee is operating as a rerun of a similar working group from the 2023 and it’s likely that even before the report is written that legislation is already in the works. That legislation would likely ask for all jurisdiction of single-family homes and licensing/registration of residential contractors be moved to DFS. It will then be up to the legislature and advocates on either side what, if anything, comes to pass.
If you have an interest in Vermont’s political and regulatory process, please reach out to Matt Musgrave at matt@abcnhvt.org or 802-881-9117.
Vermont Government Affairs Update September 17, 2024
With the 2024 General Election right around the corner Vermont candidates are out pounding the pavement, attending events and fundraising to keep themselves front of mind with voters through November. With Vermonts new program of mailing absentee ballots to the list of registered voters, people will begin casting theirs as early as the first week of October.
The very low turnout during the primary election which resulted in almost 100% of incumbents winning may be a sign for the general election in November. The low turnout surprised many political analysts in Vermont who were expecting the public to react poorly to a 14% increase in the state property tax which was vetoed by Governor Scott who was eventually overridden by the supermajority. In addition to the property tax and other taxes raised, the public was frustrated by a lack of legislation to make Vermont safer from violent crime and drug trafficking.
The results of the general election will depend on voter turnout, but few see sweeping change coming to Vermont’s legislature. It’s likely that Vermont’s state office candidates and congressional delegates will solidly be won by incumbents and Vermont will most likely vote for the Democratic Presidential Candidate which might stifle the motivation of many to vote.
It’s critical for Vermonters to encourage their friends, peers and coworkers to get out and vote. Some of the challenges pertaining to costs of heat, property taxes and public safety depend on people showing up or mailing in their ballots.
There are 5 competitive Senate races including Grand Isle, Chittenden North, Orange, Orleans and Bennington Counties of which only two have incumbents running. Those races will determine whether the Senate can sustain a gubernatorial veto which wasn’t possible through 2023-2024 which has led to higher taxes, lack of safety legislation and lack of affordability. It’s expected that the House will remain the same holding a supermajority for Democrats supported by Progressives which makes the Senate races so important.
One of the most critical issues Vermonters are facing this year is the formulation and adoption of the “Affordable Heat Act” as dubbed by the legislature. This is a policy intended to reduce fossil fuel usage in in the thermal sector by either incentivizing people to switch out of their fossil fuel burning heat sources to others such as electric heat pumps OR fuel suppliers will pay a surcharge for their fuel which will be handed back to the consumer. Recent studies by consultants working on the policy estimate that fuel costs would go up $2-4/gallon depending on type of fuel. Details of the act and concerns can be seen by CLICKING HERE for a webcast by Matt Cota of Meadow Hill consulting who represents Vermont’s Fuel Dealer Association.
For information about your registration status and who is running in your district you can visit Vermonts Secretary of State website by CLICKING HERE.
First Apprentices Graduate from Vermont’s Newest Multi-Employer Commercial Craft Apprenticeship Program
Graduating Class includes Three Vermonters from Two Employers
Burlington, VT (June 20) – Associated Builders & Contractors NH/VT Chapter (ABC) and ReSOURCE conducted a graduation ceremony, June 20, for three apprentices graduating from the inaugural class of the association’s new carpentry apprentice program.
“We are excited for the graduates of our carpentry apprenticeship program,” said Josh Reap, President & CEO of ABC. “They came into this program with an interest and today graduate as journeyworkers in their craft. These individuals chose to be part of something bigger than themselves and we are proud of them!”
"Taking this course gave me an opportunity to learn the more academic side of the trades,” said Caley Martin, an apprentice with Bread Loaf Corporation. “Getting to learn the same subject at the same time as my peers enabled us to reinforce each other's learning. The wonderful instructors kept it interesting and helped us get a holistic understanding of the building trades from foundation to roof. I hope more students are able to get this opportunity. Big thanks to Bread Loaf for enrolling me."
The Commercial Craft Apprenticeship Program teaches apprentices carpentry skills in a safe, controlled environment. Registered apprenticeship helps people develop their craft faster than stand alone on the job training.
“ReSOURCE has experience empowering individuals and strengthening Vermont through workforce development. We are proud to be a leading the instruction for this growing apprenticeship program. Each person that enters an apprenticeship program is on the path to earning competitive salary, learning new skills, and answering the call to help solve the construction industry’s workforce shortage.” --Tom Longstreth, Executive Director of ReSOURCE
The program required students to complete 310 hours of classroom instruction while working full time for 18 months. Over the course of the program, apprentices also receive wage increases as they master their skills. The program is jointly run by ABC and ReSOURCE and includes several Vermont general contractors that want to solve the workforce shortage by taking an active role in training Vermonters who want to get into a construction career.
"Completing this construction apprenticeship program has taught me proper technique and skills crucial for success in my career. Furthermore, I gained a deeper appreciation for teamwork and the thorough process necessary for completing a successful project,” said Trenten Mead, Carpenter Apprentice with ReArch Company. I’m eager to apply what I’ve learned and be a greater asset in the field. This graduation is just the beginning of the meticulous process of mastering carpentry.”
"Congratulations to all the graduates! As you step into your careers, remember that the skills you've acquired are not just for building structures but for building your future. We are excited to see the remarkable contributions you will make to the construction industry,” said John Illick, CEO of ReArch Company. “Endless job opportunities are available to apprentice graduates and those interested in pursuing a career in the skilled trades. Here’s to the builders of tomorrow and improving lives through the built environment.”
“The State of Vermont is a great partner in helping employers build programs like this, which people skill new hires and upskill incumbent employees,” added Josh Reap. “With their help, we are changing lives more and more for the better. In fact, the second class of apprentices currently numbers nearly two dozen individuals and they will graduate next year. As the program continues to grow, so do the opportunity for careers in a great industry.”
Employers and jobseekers interested in the program can learn more by visiting www.abcnhvt.org or www.resourcevt.org
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ABC NH/VT represents 270 firms in Northern New England. Founded on the merit shop philosophy, ABC NH/VT is a chapter of the national Associated Builders & Contractors, and has the mission of helping members develop people, win work and deliver that work safely, ethically, profitably and for the betterment of the communities in which ABC and its members work. ABC's membership represents all specialties within the U.S. construction industry and is comprised primarily of firms that perform work in the industrial and commercial sectors.
ReSOURCE has been a fixture in Vermont since 1991, empowering individuals and strengthening Vermont communities through Workforce Development, Poverty Relief, and Environmental Stewardship. ReSOURCE is intentionally located in areas with the most need to expand its community impact and increase accessibility for the most disadvantaged Vermont communities. ReSOURCE’s stores and services are open to the public, serving 100,000 people each year and salvaging more than 1,000 tons of diverted waste each year from the landfill. Sales from reuse stores provide poverty relief through the Essential Goods programs—giving free household goods to more than 1,500 people and their families each year and provide funding for our Workforce Development Training programs—directly training over 250 people on average each year, matching Vermont’s urgent need for skilled workers with the training and support local employers need. ReSOURCE excels at adapting to community needs, and as Vermont’s un-and-under employed population has shifted to include more new Americans and Vermonters with disabilities, ReSOURCE has continued to evolve its job skills training to help more Vermonters prepare for and enter the workforce.
Founded in 2007, the Future Leaders in Construction (FLiC) program is a leadership development initiative designed for both emerging leaders and established professionals who are committed to making a significant impact in their work and personal lives. Whether you are working in the field or in the office, FLiC offers a unique and enriching experience by bringing together participants from diverse backgrounds and experiences, fostering a rich environment for learning and growth.
At the heart of the FLiC program is the aim to develop a deeper understanding of oneself, which is the cornerstone of understanding and leading others effectively. Through a series of comprehensive assessments, including DISC (behavioral preferences), listening, conflict styles, and team dynamics, participants can identify their personal leadership styles. This self-awareness lays the groundwork for improving essential communication and listening skills, which are crucial for effective leadership.
FLiC was developed by Jennifer Landon, M.ED, VP of Education and Workforce Development at the Associated Builders and Contractors NH/VT. "The Future Leaders in Construction program is about more than just building skills; it's about building people,” says Landon. “Our goal is to empower both emerging and established professionals to become visionary leaders who can inspire and drive positive change in their workplaces and communities. By fostering a deep understanding of oneself and others, enhancing communication, and cultivating a positive and healthy work culture, we are shaping the future of the construction industry, one leader at a time."
Landon, along with co-facilitators Susan Losapio, PhD, and Dr. Sophia Koustas, teaches two FLiC programs, one in New Hampshire and another in Vermont. Participants attend eight full-day classes over an eight-month period, culminating in a graduation celebration in June. For more information or to join the waitlist for the 2024-2025 program, please contact Jennifer Landon, jennifer@abcnhvt.org.
The 2023-2024 Future Leaders in Construction graduates include the following:
Chris Rowan - Alpine Environmental Inc.
Joel Ruiz - Alpine Environmental Inc.
Brad Rostron - ARC Mechanical Contractors, Inc
John Bisson - ARC Mechanical Contractors, Inc
Lisha Nelson - Associated Builders & Contractors NH/VT
Haley Frazier - Charters Brothers Construction, LLC
Melanie Smith - Charters Brothers Construction, LLC
Samuel J. Marcionek - Charters Brothers Construction, LLC
Rheana Anderson - Cobb Hill Construction
Kevin Hardt - Cormack Construction Management, Inc.
Nicholas DeHaas - Cormack Construction Management, Inc.
Thomas Cracolici - Cormack Construction Management, Inc.
Ben LaFlam - DEW Construction
Cameron Riley - DEW Construction
Codie Lawson - DEW Construction
Colby Luopa - DEW Construction
Devon Wells - DEW Construction
Emily Bastian - DEW Construction
Jason M. Campbell - DEW Construction
Kimberly Lawton - DEW Construction
Robert Wells - DEW Properties
Don E. Lawrence - Engelberth Construction Inc
Chris Spirito - Fulcrum Associates
Matt Ward - Fulcrum Associates
Melissa Field - Fulcrum Associates
Michael K. Mavrogeorge - Fulcrum Associates
Colin O'Connor - Granite State Glass
Patrick Elliott - Granite State Glass
Brian Clews - H.P. Cummings Construction Co.
Emily Balzano - H.P. Cummings Construction Co.
Matt Nutting - H.P. Cummings Construction Co.
Mike Yandow - H.P. Cummings Construction Co.
Zachary Denekas - H.P. Cummings Construction Co.
Allison Bryant - Metro Walls, Inc.
Taylor Prime - Metro Walls, Inc.
Seth M. Hoenes - Multi-Weld Services
Bronson Raspuzzi - North Branch Construction
Chris Ricketts - North Branch Construction
Elizabeth Marchand - NorthPoint Construction Management
Jordan Burke - Optiline Enterprises
Laurie Couture - Optiline Enterprises
Duncan Tilford - PC Construction
Joshua Menard - PC Construction
Martin Pigeon - PC Construction
Mike Steding - PC Construction
Rob Mahoney - PC Construction
Adam Hall - PROCON
Sam Washuk - PROCON
Trevor J Snow - PROCON
Patrick Curran - Turnstone Corporation
George O'Grady - VHV Company
Joe Fischer - VHV Company
Jonathan Laramie - VHV Company
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About Associated Builders and Contractors
Associated Builders and Contractors is a national construction industry trade association representing more than 23,000 members. Founded on the merit shop philosophy, ABC and its 68 Chapters help members develop people, win work and deliver that work safely, ethically and profitably for the betterment of the communities in which ABC and its members work. ABC's membership represents all specialties within the U.S. construction industry and is comprised primarily of firms that perform work in the industrial and commercial sectors.
The annual Safety Awards recognize commendable safety performance of individual firms. The awards convey ABC’s strong support of safety performance in full recognition of the fact that each firm has the responsibility for execution of safety, to ensure an overall safe workplace.
Annual safety awards are for the BEST and MOST IMPROVED safety records, and MOST CREATIVE safety program among “small” and “large” member firms, in each of the following Standard Industrial Classification (SIC) Code major groups, as well as SUPPLIERS:
Congratulations to the 2024 Safety Award Winners.
WASHINGTON, April 23—Associated Builders and Contractors today issued the following statement opposing the U.S. Department of Labor’s final rule that will change overtime regulations under the Fair Labor Standards Act. The final rule increases the minimum annual salary level threshold for exemption in two phases: from the current level of $35,568 to $43,888 on July 1, 2024, and to $58,656 on Jan. 1, 2025. In addition, salary thresholds will update every three years starting on July 1, 2027.
“ABC appreciates that the DOL recognized the value in retaining the methodology used by the prior administration in the 2019 overtime rule update for the phase I increase,” said Ben Brubeck, ABC vice president of regulatory, labor and state affairs. “Regrettably, the DOL decided to use a new methodology for phase II, which results in a 65% increase to $58,656 from the current threshold only nine months from now—further complicating the current economic outlook. Multiple industries, like construction, are grappling with uncertain economic conditions such as inflation, supply chain disruptions, high materials prices and workforce shortages, all of which push operational costs ever higher. Specifically, ABC estimates that the construction industry must hire more than half a million additional workers in 2024 to meet demand.”
“Virtually all of ABC’s members employ workers who qualify for exempt status, and phase II of the final rule will reclassify huge numbers of these employees as nonexempt,” said Brubeck. “This will disrupt the entire construction industry, specifically harming small businesses, as the rule will greatly restrict employee workplace flexibility in setting schedules and hours, hurting career advancement opportunities. These issues will recur repeatedly because the DOL rule will automatically increase the salary level every three years beginning in 2027. Additionally, the rule’s significant increase in the salary level threshold fails to account for disparate income levels in different regions of the country.
“ABC will consider all options, including a legal challenge, against this final rule,” said Burbeck.
On Nov. 8, 2023, ABC submitted comments to the DOL in response to the proposed rulemaking, calling on the DOL to withdraw it.
WASHINGTON, April 23—Associated Builders and Contractors today issued the following statement opposing the Federal Trade Commission’s final rule to ban noncompete clauses. The FTC voted 3-2 to issue the final rule today.
“The final rule to ban all noncompete agreements nationwide—except existing noncompetes for senior executives— is a radical departure from hundreds of years of legal precedent,” said Ben Brubeck, ABC vice president of regulatory, legal and state affairs. “Ultimately, this vastly overbroad rule will invalidate millions of reasonable contracts—including construction project contracts—around the country that are beneficial for both businesses and employees.”
As ABC argued in its comments submitted April 19, 2023, in opposition to the FTC’s unprecedented proposal to ban noncompete agreements:
ABC members have valid business justifications for utilizing noncompete agreements, such as protecting confidential information and intellectual property. This new rule will have a harmful effect on their companies as well as their employees, forcing companies to rework their compensation and talent strategies.
ABC joined the U.S. Chamber of Commerce and 280 business groups in submitting comments urging the FTC to rescind the proposed rule on April 17, 2023.
Concord, NH–The Associated Builders and Contractors New Hampshire/Vermont (ABC NH/VT) is pleased to welcome Jen Beach as its new Membership Director.
“As the Membership Director, Jen will help expand the association’s resources and expertise to serve the region's construction industry,” said Josh Reap, president and CEO of ABC NH/VT. "We are thrilled to have Jen join the team!"
Jen brings to this role more than 15 years of experience in sales and marketing and is a dynamic client relationship manager. She is a founding board member of Project Blackout, a 501(c) nonprofit organization in Windham, NH on a mission to turn out the lights on pediatric cancer.
“I am honored to be selected by ABC to represent the New Hampshire/Vermont Chapter, and look forward to building relationships and providing connections for our members,” said Jen. “ABC is an outstanding organization with top notch members, I look forward to getting to know everyone.”
Jen may be reached via email or call 603-805-9476.
ABC NH/VT is a leader in the construction industry and workforce development, representing over 260 merit shop builders and industry-related firms in New Hampshire and Vermont. The association’s membership includes all specialties within the construction industry, including firms that perform work in the residential, industrial, commercial, and institutional sectors of the industry. ABC is recognized as one of the leading organizations representing America’s business community and the construction industry.
Associated Builders and Contractors today announced it has released an artificial intelligence technology guide for the construction community, which includes definitions, construction use cases and considerations. The purpose of the guide is to provide a level of knowledge to ensure contractors can be active participants in the construction AI conversation.
“ABC helps members realize the potential of AI, which helps contractors complete projects on time, minimize staffing challenges, save money and improve health and safety,” said Matt Abeles, ABC vice president of construction technology and innovation. “The construction industry is faced with a steep worker shortage of more than half of a million in 2024, and promising technologies like AI can help address this challenge. As younger workers become industry leaders, we must approach AI in construction as beneficial with a balanced view that includes continuous evaluation, developing ethical guidelines and increasing awareness about what AI can and cannot do.”
“The possibilities of AI technology may sound endless, but we must first educate ourselves on the basics, and this resource is a starting point to understand AI and its potential impact on the construction industry,” said ABC Director of Construction Technology and Innovation Patrick Scarpati, who authored the guide. “The industry has immense opportunities to evaluate how we can better deliver projects, and we can lean on AI in achieving essential goals like upskilling, workforce development, knowledge transfer, supply chain optimization, enhanced safety design and planning and much more.”
The guide describes uses of AI during the construction project lifecycle, including preconstruction, construction and building maintenance. It also provides definitions of terms, such as deep learning and predictive AI, as well as best practices in drafting office AI policies.
ABC creates the conditions for construction companies to innovate, differentiate, and attract and educate their top talent, ultimately to win and deliver that work safely, ethically and profitably for the betterment of the communities in which they work. ABC continues to invest in helping its members select and understand high-quality construction technology available to them through its Tech Report, Tech Alliance, Tech Marketplace and Safety Tech Guide.
Visit abc.org/ai.
May is Mental Health Awareness Month, and the Associated Builders & Contractors NH/VT (ABC NH/VT) is proud to announce the launch of "Breaking the Stigma", a series of workshops aimed at promoting mental health awareness and well-being within the construction industry.
Taking place every Wednesday throughout the month of May, "Breaking the Stigma" will feature engaging and informative presentations on various topics related to mental health and total human health. These sessions will cover critical areas such as substance use disorders, suicide prevention, psychological safety on the jobsite, and hard hat health.
Key Details:
"We are committed to breaking the stigma surrounding mental health within the construction industry," said Jennifer Landon, VP of Education and Workforce Development, ABC NH/VT. "The Breaking the Stigma series is designed to provide valuable insights, resources, and support to ABC members, fostering a culture of well-being and safety in the workplace."
Registration for "Breaking the Stigma" is now open. Member companies can register their staff by visiting abcnhvt.org/calendar or calling 603-226-4789.
About ABC NH/VT