OSHA inspectors and city building officials are usually the people that can make life pretty uncomfortable for construction companies, but it’s a whole different story when the FBI comes calling. A new stadium for the Double-A minor league baseball team, the Hartford Yard Goats, was supposed to open before the 2016 season, but delays and cost overruns have pushed that opening well into 2017. Now, the FBI is investigating, according to the Hartford Courant.
Originally budgeted for $56 million of taxpayer dollars, the new stadium’s budget later ballooned to $63 million and now stands at $71 million. The cost increased, along with the overall delays, eventually lead to the firing of the project’s original developers in mid-2016. Since then, FBI agents have been contacting people with knowledge of the project, the Courant reported.
The mayor of Hartford told the Courant that the investigation was prompted by his administration and is focused on the the original developer. Anonymous sources elaborated to the Courant that as much as $8 to $12 million may still be outstanding to subcontractors.
The developer, on the other hand, believes the company was wrongfully terminated and the fees due are under dispute and the outcome will be decided by a judge. Several lawsuits have also been filed, both by and against the developer.
It’s never a good situation when a company gets fired and when a slew of lawsuits are filed, but it will be interesting to see how the FBI’s involvement will take it further.
Full Story: FBI Launches Probe Into Dunkin' Donuts Park Construction Payments | Hartford Courant
Even though OSHA recently eliminated the need for employers to electronically submit OSHA Forms 300 and 301, citing privacy concerns, companies are still responsible for submitting OSHA Form 300A – and the deadline is fast approaching.
Multi-employer worksites are extremely common in the construction industry, but they can still make work extremely complicated. One of those complications results when a subcontractor receives a governmental violation, such as an OSHA violation. As a controlling employer on the site, can a general contractor be held responsible for safety hazards of a subcontractor? One court says yes.
Be careful - owners and contractors are now being held criminally liable for their carelessness and disregard of safety protocols.
Last November, Manhattan District Attorney Cyrus R. Vance Jr. announced felonious assault charges against a contractor’s superintendent and a manufacturer’s branch manager after two men suffered horrific injuries on a New York jobsite. Last week, OSHA formally announced citations against the St. Louis, Missouri based contractor.
Manhattan District Attorney Cyrus R Vance Jr strikes again on his hard stance against corruption and safety negligence in the construction industry. A Few weeks ago, he announced assault charges against a superintendent and a manager after 2 construction workers were seriously injured on a jobsite. In 2016, he successfully convicted a construction foreman of criminally negligent homicide and reckless endangerment after a laborer was killed in a trench collapse that he was overseeing. Just last week, Vance announced charges against formers Turner Construction and Bloomberg LP executives in a $15M bid-rigging and commercial bribery conspiracy.
In September of 2017, OSHA’s new standard on exposure to respirable crystalline silica went into effect in the construction industry. The rule lowered the allowable exposure to the harmful substance to 50 micrograms per cubic meter, a measurement that we’re all familiar with [/sarcasm]. After a full year of enforcement, OSHA is considering making a change to the rule.
Three common construction contract provisions—hold harmless, indemnification, and duty to defend—are often found together taking a form something like this:
The Trump administration recently released its Spring 2018 Unified Agenda of Regulatory and Deregulatory Actions and, contained within it, is a series of regulations that federal agencies plan to either amend or eliminate.
Last November, OSHA issued a final rule that would finally allow them to enforce language, which has been in their standards since 2010, requiring construction crane operators to be formally qualified to operate the equipment. The first day of enforcement for that rule had been set for November 10, 2018, but the agency has recently proposed a new rule that would pull back some of the initial requirements.