Legislative News

ed projects. Working with our partners in the Laborers union, we were able to work out amendments to require the water system itself to have the local hire program instead. A4933 would have preferenced contractor bids using eco-friendly concrete. We were able to secure language requiring that the product be included in specifications and narrowing the definition of “concrete products” to exclude ready mix concrete, sand, stone, gravel, or bituminous concrete or asphalt.

Pension Relief in COVID Package – As you are no doubt aware, another COVID package was passed, providing a third round of stimulus checks, unemployment assistance, food and housing aid, money for small business, and aid to states. Known as the American Rescue Plan Act of 2021, the package also contains significant funding for certain underfunded multi-employer pension plans. That section, the Butch Lewis Emergency Pension Plan Relief Act of 2021, makes certain underfunded plans eligible for direct “special financial assistance” that is not subject to any repayment obligations.

Under the plan, the US Treasury will directly fund eligible pensions 100% for the next 30 years (2051) via a single, lump-sum payment made by the Pension Benefit Guaranty Corporation (PBGC). The measure is expected to total about $86 billion. It does not contain any provisions for taxes or fees on participating employers or any reduction in participating employee benefits. Notably, the bill does not include structural reforms to the multi-employer programs, which many feel are necessary to ensure the long-term viability of these types of plans.

Multi-employer pension plans eligible for the program would include plans in critical and declining status and plans with significant under-funding that have more retirees than active workers in any plan year beginning in 2020 through 2022. Additionally, plans that have suspended benefits and certain plans that have already become insolvent would also be eligible.

As passed, the law is silent as to what this funding will do to an employer’s calculation of withdrawal liability. All eyes will now be on the PBGC as it develops and issues regulations to implement this special assistance program.

UTCA is working to better understand the implications of the measure and will keep you updated as more details become available.

Federal Infrastructure Package Update – The House is beginning work on a new infrastructure package that will be modeled after HR2, the $1.5 trillion dollar plan that passed the House last year but stalled in the Senate. This could be good news for construction as the measure would significantly increase spending levels for highway, transit, and water infrastructure projects. Additionally, the bill is expected to contain UTCA’s language establishing a toll credit marketplace pilot program and adding flexibility to allow the use of toll credits toward transit projects.

That said, we are hearing that it is now unlikely that the Senate will introduce an identical version and is instead looking to craft their own bill. The COVID relief package was passed without minority support, and in response, certain Senators have statUTCA will continue advocating for the industry, but at this time, the path forward remains uncertain. We will keep you up to date as the conversation continues.

Please consider supporting the UTCA PAC, Constructors for Good Government – UTCA continues to be a leading voice for the infrastructure construction industry in Trenton and Washington DC. Whether it is providing expert testimony before business and legislative groups or positively effecting the legislative process, UTCA stands alone in its record of achievement for our industry. This success is only possible with your support and more importantly, by supporting the industry PAC: Constructors for Good Government. (We will be reaching out to you shortly and hope you will consider contributing as a robust PAC greatly strengthens our voice. Thank you for your continued support.)

Members have been invoiced in March for PAC participation. Please take a moment to review the invoice and find a way that you can participate in our PAC. Also new this year is online credit card contributions. Please go to our home page, www.utcanj. org, and click “Donate to Our PAC.”

UTCA's PAC Club Constructors For Good Government 2021 Campaign Is In Full Swing!

Thank you to all our member firms that have donated for 2021.

If you would like to donate, please visit www.utcanj.org and click on "Donate To Our PAC" or call the UTCA office at (732) 292-4300

June Issue of the "Utility & Transportation Contractor" will have a full list of 2021 PAC Contributors

recreational marijuana use legalized in new jersey: employment law implications

By: jonathan landesman, esq. & hope steidle kildea, esq.

On February 22, 2021, New Jersey Governor Phil Murphy signed into law the New Jersey Cannabis Regulatory, Enforcement Assistance, and Marketplace Modernization Act (CREAMMA), legalizing the recreational use of marijuana for adults twenty-one and over. The new law implements a November 3, 2020 ballot referendum passed by New Jersey voters amending the state’s constitution to legalize recreational marijuana use and possession. But the legislation does not stop there; CREAMMA places significant restrictions on employment-related decisions based upon an individual’s marijuana use.

The new law prohibits employers from refusing to hire, discharging, or otherwise taking adverse employment action against an employee or prospective employee solely because the individual uses marijuana. Additionally, CREAMMA prohibits employers from taking adverse employment action against an individual solely due to a positive marijuana drug test result.

Drug-Free Workplace Policies Under CREAMMA

CREAMMA expressly authorizes employers to maintain drugfree and alcohol-free workplace policies. The law’s protections apply to employees’ off-duty, recreational use of marijuana, but do not extend to on-the-job conduct. CREAMMA expressly reserves employers’ rights to prohibit the “use, consumption, impairment, possession, transfer, display, transportation, sale, or growth” of marijuana in the workplace. Additionally, the law affirms that employers are still free to prohibit employee use of or impairment from marijuana during work hours.

Drug Testing: When, Why, and How

In addition to limiting what employers can do with drug test results, CREAMMA also restricts when and why employers can conduct drug testing to the following scenarios:

•Pre-employment drug testing

•Random drug testing of employees in safety-sensitive positions and/or regular drug testing of employees to determine use during work hours

•Post-accident drug testing (i.e., after a workplace accident subject to investigation by the employer) •Reasonable suspicion drug testing (i.e., when an employer reasonably suspects an employee used marijuana during work hours)

•Drug testing in response to observable signs of marijuana intoxication during work hours

Although employers are prohibited from basing employment decisions solely upon a positive test result, CREAMMA does not prohibit employers from considering drug test results when deciding upon the appropriate disciplinary action to take against an employee for related conduct, such as workplace use of, impairment from, or possession of marijuana. Before taking action, employers should consider how they conduct drug tests to ensure compliance with CREAMMA’s standards.

The new law redefines “drug-test” to require a two-part inquiry. First, employers must utilize a “scientifically reliable objective testing method” (e.g., blood, urine, or saliva test). Next, employers must arrange a physical evaluation by a certified Workplace Impairment Recognition Expert (WIRE) to detect marijuana usage or impairment in the individual. Issuance of WIRE certification will be based upon standards and training requirements set forth by the New Jersey Cannabis Regulatory Commission.

Employer Exemptions

Unlike other state laws legalizing recreational marijuana use, CREAMMA’s employment provision does not contain an exemption for safety-sensitive positions (i.e., jobs that could affect the health and safety of the employee, other workers, or the general public). Although the legislation has faced criticism for its potential consequences for workplace safety, it remains unclear whether interpreting regulations will adopt an exemption for safety-sensitive positions.

CREAMMA does provide a carve-out for federal contractors and grantees where compliance would result in the loss of a federal contract or grant. This exemption allows employers that are subject to a federal contract to amend their drug policies as necessary to comply with federal laws and regulations. As a result, employers who are subject to the US Department of Transportation’s regulations for safety-sensitive positions, which prohibit marijuana use and mandate employee drug testing, are still able to take adverse employment action against employees and pro-