NECA sponsored legislation to ensure contractors are paid timely for "change order" work was voted out of its first policy committee yesterday.  Despite opposition from virtually every public agency in the state, the bill was passed unanimously. The bill (AB-1347) should now be heard in the Appropriations Committee by the end of May. Special thanks to all who visited with our legislators two weeks ago in Sacramento at our annual Day at the Capitol. Between NECA and the American Subcontractors Association, more than 100 personal visits with legislators took place, with AB-1347 as our top priority. Significant hurdles still remain, but moving out of the first policy committee provides the issue with needed momentum.  We will keep you informed on the progress of this important measure as the 2015-2016 California legislative session moves forward.

AB-1347 puts a process in place that requires agencies to respond to a contractor's claim for payment in a timely manner, requires the agency to pay out portions of the work they acknowledge/agree they owe the contractor, and implements a fair process for resolving any disputed portions of a claim.