WE NEED YOU

HAVE YOU BEEN HARMED BY HB 1579?

BIAW’s legal department needs your help in its suit against the governor and the Washington Department of Fish and Wildlife (WDFW) to block enforcement of recent legislation. The lawsuit alleges that the bill, HB 1579, was unconstitutionally drafted and vetoed. The bill as written applies to any project in which a hydraulic permit was required, including any residential project involving construction or repair of marine bulkheads. Our legal team has heard from several members that the bill and uncertainty about its provisions and constitutionality have cost their businesses. We are looking for more examples. Examples of harm include: n A project near a waterway that was suspended, canceled, or modified because of the uncertainty of the law due to the bill and its potential for increased fines. n A project that received a fine or civil citation for failure to obtain a permit due to uncertainty about the law caused in part or whole by the bill. n A letter or notice from WDFW threatening legal action regarding a project near a waterway after July 28, 2019. n Any potential customers who have been dissuaded from doing a new construction project or remodel on a home, parcel or structure near a waterway. n A decision to re-focus a business away from projects that are near a waterway and may require a hydraulic permit including any lost revenue, employees who were not hired or terminated, and any other expenses or lost business opportunities due to the change.

IMPACT HARMFUL TO MEMBERS The bill and its impact are critical to our membership. It eliminated the requirement WDFW issue a hydraulic project permit within 45 days and increased the fine from $100 to $10,000 per violation. BIAW argues that the law, as drafted, violates the single-subject requirement of the state constitution, as well as the excessive fines clause. We also assert that the language of the bill as vetoed does not provide adequate authority for WDFW LEGAL VICTORY BIAW, L&I REACH AGREEMENT IN LAWSUIT

BIAW has reached an agreement in its lawsuit with the Department of Labor & Industries (L&I) that prevents the agency from using Workers’ Compensation Funds to implement the governor’s Clean Energy Bill. Under the agreement, BIAW will stay the case to give L&I and the legislature time to correct the budget in the 2020 legislative session. The suit, filed against L&I and the Washington State Treasurer, seeks to bar the use of Workers’ Compensation Funds for purposes unrelated to aiding injured workers.

“This agreement presents a path to resolve the case in a way that is consistent with BIAW’s goals in the lawsuit and with the state constitution. The stay will protect the fund while also avoiding litigation,” said BIAW General Counsel Jackson Maynard.

“We hope the legislature will do the right thing to fix the funding source. If not, we stand ready to pursue the case in court.”

The Workers’ Compensation Fund was established pursuant to Article II, Section 31 of the Washington State Constitution, which requires the legislature to pass bills to protect workers. To bolster this constitutional protection, the Washington State Supreme Court treats the Workers’ Compensation Fund as a “trust” for the benefit of workers.

This session, the legislature passed SB 5116, which was part of Gov. Inslee’s package of environmental bills.

Maynard explained, “This is not a dispute over the policy in the bill. However, taking $625,000 from the Workers’ Compensation Fund for the bill’s implementation is not allowed under the state constitution. We hope this case will deter policy makers from siphoning these funds away from injured workers in the future.”

to fine at all. These questions leave open what version of the law is actually in effect. Please help BIAW in this fight!

If the bill has harmed you, we want to hear from you. Please contact BIAW’s legal department at (360) 3527800 ext. 108 or legal@biaw.com.

EVP VIEWPOINT L&I BENDS

AGREEMENT ON LAWSUIT AGAINST L&I PAVES WAY FOR A RESOLUTION

Fall has always been my favorite time of year. There has always been something special to me about the start of a new school year, both when I was a student and now as a parent. And, of course, September means the return of football and spending Saturday afternoons on Montlake rooting on my Huskies. Go Dawgs! I hope you had a fantastic summer. During my continued travels around the state, our members report that they are busy—which is // GREG LANE great news. But hopefully, you also had a chance to take a break to EXECUTIVE spend some time with your family. VICE PRESIDENT At BIAW, we have been focused on beginning to execute the new Strategic Plan, as well as the anticipated closing on the organization’s purchase of a new headquarters. Here are a couple of other important updates:

PROTECTING THE WORKERS’ COMPENSATION FUND

In July, BIAW filed a lawsuit against the Department of Labor & Industries (L&I) to protect the use of the Workers’ Compensation Fund.

Our suit asked the court to prevent the diversion of money from the Workers’ Compensation Fund to pay for the governor’s Clean Energy Bill, approved by the Legislature this past session. In a surprising move for this early stage in litigation, L&I sought an agreement for a joint stay on our lawsuit. A stay is a temporary hold on the litigation, and the agreement creates a pathway for the potential resolution of the suit.

As part of the stay, L&I offered to ask the Legislature to seek other funding for this program in the next legislative session. In the interim, L&I also agreed not to spend Workers’ Compensation Funds for the implementation of SB 5116. If the Legislature does the right thing and corrects the funding in the supplemental budget, BIAW will voluntarily dismiss the suit. Should the Legislature fail to find alternative financing by the end of the 2020 legislative session, our lawsuit will resume.

I hope you’ll join me in congratulating BIAW General Counsel Jackson Maynard and Associate Counsel Hannah Marcley for their outstanding work in this decisive win defending our members on this critical issue.

LABOR SHORTAGES

As part of a multiyear tracking effort, the National Association of Home Builders (NAHB) released a poll last month that covered 15 specific construction-related occupations. Not surprisingly, they found labor shortages in each category, a steady downward trend NAHB Poll on Labor Shortage in our industry since 2013. Since the polling Builders reporting labor shortages began in the 1990s, the incidence of shortages 83%......................................framing crews reached 69% in 2019, the highest on record. 82%................................ rough carpenters

We all know that these widespread labor 78%................................. finish carpenters shortages dramatically impact the affordabil71%....................bricklayers and masons ity of housing. Earlier this year, we met with Washington State Superintendent of Public 70% 67% 47% ................................ concrete workers ................................................plumbers ..building-maintenance managersInstruction Chris Reykdal to discuss how we can increase trade education in our schools, and he Three-quarters of all respondents expressed a willingness to work with our indus- cited four effects of labor shortage try on this critical issue. 87%..............paying higher wages and Since being appointed as BIAW Workforce Development Manager, Al Audette has been examining existing training programs in our ....................................subcontractor bids 81%....... completing projects on time 78%.........finding subcontractors with ............................... well-trained workers state and assessing where BIAW should focus 75%......................... higher home prices our efforts to address this issue. In the coming months, we will be working with our local associations to expand workforce training in individual communities and recruit more students into the trades.