Build We Must

Island builders could be missing out on millions of dollars in stimulus contracts. A difficult certification process along with bonding and other expenses may prevent Island contractors and Island labor from getting back to work.

In order to bid on projects such as school renovations, highway or other municipal construction work worth more than $100,000 a contractor must be certified by the state’s Division of Capitol Asset Management.  Currently, there is not one local construction company that is so certified. The certification is also required of any subcontractors who work on projects of $100,000 or more. A list of certified primes and subs is available on the DCAM website.

In conversations with local contractors, VT was told that the labor of the certification process along with the high cost of bonding, in addition to the higher union scale wages required, would prevent many of the builders from participating. Others, however, are keeping an eye on the money. “We used to be certified, we’ve been bonded. It just got too expensive,” says Leo Desorcy of the Desorcy Company. But that is not to say that they will be staying away. “We are certainly keeping an eye on it,” he adds.

Even without certification or bonding, the stimulus bill may still get some local builders out of bed in the morning. According to Kevin Flanagan with DCAM, it only takes about 4-6 weeks for certification but some of the other money being set aside could go to community and affordable housing. For those projects, a builder would only have to meet the local bidding requirements.

John Abrams of South Mountain Co. tells VT that despite being strictly a design/build firm they will also be looking more actively at the possibilities.