News Briefs: January-February 2023

by | Jan 31, 2023

Brief news from January-February 2023 Nuts and Bolts.

OSHA Advisory Committee, Assemble!

The Occupational Safety and Health Administration has sourced new members for its Advisory Committee on Construction Safety and Health, which was established by the Construction Safety Act to provide “advice and assistance in construction standards and policy matters” to the assistant secretary of labor for occupational safety and health. The committee consists of 15 members, one appointed by the secretary of labor, to represent the interests of employers, employees, state safety and health agencies, in addition to the public.

Members generally serve a two-year term and can be appointed to successive terms. The advisory committee meets two to four times per year. Visit osha.gov/advisorycommittee/accsh to learn more about the committee and its members.

COVID-19 Likely No Longer Covered Under Force Majeure

A recent decision by the U.S. Government Accountability Office has shaken up construction contracts. While companies could claim “force majeure” to exempt themselves from contractual obligations during much of the pandemic, this decision challenges ongoing validity of those claims.

The decision was based on the Army Corps of Engineers deeming a bid from Boulder, Colorado–based American Mine Services as nonresponsive because it included a COVID-19 force majeure clause. In reviewing the Corps’ decision, GAO—referencing the Federal Acquisition Regulation—found that “epidemics” and “quarantine restrictions” were already included in the contract between the Corps and AMS. Although AMS claimed that “COVID-19 is considered a force majeure event along with any other similar disease, epidemic or pandemic event,” the GAO concluded that this interpretation limited the rights of the government too much.

Going forward, this precedent likely will be cited in construction contracts in order to exclude challenges resulting from COVID-19 from force majeure clauses due to those clauses pertaining to “unforeseeable” events. This ruling could also affect companies facing supply-chain, materials and other challenges.

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  • Construction Executive

    Construction Executive, an award-winning magazine published by Associated Builders and Contractors, is the leading source for news, market developments and business issues impacting the construction industry. CE helps its more than 50,000 print readers understand and manage risk, technology, economics, legal challenges and more to run more profitable and productive businesses.

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