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American Subcontractors Association News

ASA Reports P3 Payment Protection Trend to FHWA

In supplemental comments filed on May 31, 2013, ASA told the Federal Highway Administration that “state governments increasingly recognize that, given the unpredictable diversity of public-private partnerships, they need to provide reliable payment protection to the construction subcontractors and suppliers on such projects.” ASA Chief Advocacy Officer E. Colette Nelson reported that since she had filed comments on April 10, 2013, three additional state legislatures — Florida, Maryland, and North Carolina — had passed laws requiring payment bonds on projects financed through public-private partnerships, bringing the total to seven. ASA again urged the Department of Transportation “to incorporate into model contracts payment protections for subcontractors and suppliers at least as effective as those provided by the 1935 Miller Act on construction undertaken directly by a Federal agency or by the so-called Little Miller Acts of the various States for construction projects undertaken by a state agency.”