Skip to main content

Dealers lobby for change in New York

4/27/2018
The Northeastern Retail Lumber Association – New York (NRLA-NY) announced its 2018 legislative priorities during its annual Lobby Day at the State Capitol in Albany.

Members representing NRLA-NY’s 343-member companies spoke with New York States Senators and Assembly members in support of exempting materialmen from retainage, unemployment insurance reform, and reducing regulatory burdens on small business.

“Our members provide materials to private and publicly funded building projects,” said Dana Schnipper, chair of NRLA-NY’s legislative committee. “Retainage is being used in a greater number of construction projects, placing more of a burden on independently-owned and operated building material dealers.”

Retainage represents an amount of a contract that is withheld on labor until the work is completed in order to ensure that the contractor or subcontractor completed their work properly and has met their obligations to the project. Materials are completed products and once delivered, that portion of the contract is completed, as the materialmen no longer have any control over the products.

Schnipper explained “There is no other industry where a consumer can purchase a completed product but hold back a portion of payment for that product.”

Unemployment Insurance Reform was also on the Lobby Day agenda. According to the NRLA, there are currently bills in the New York State Senate and Assembly that would effectively close a loophole in unemployment insurance regulations.

Jeff Keller, director legislative sffairs at the Northeastern Retail Lumber Association explained, “Currently, if an employee voluntarily leaves a company and then is fired from their new employer less than six months later, the first company’s unemployment insurance is responsible for payment. This leaves the original employer on the hook for potential liability even though they no longer are the employer, have no control over the employee, and have no say in the actions of the new employer.”

The proposed legislation would fix this oversight in unemployment insurance, the NRLA said. The plan calls for employees to still be eligible for unemployment benefits, and it would protect the employer from being liable for additional costs for somebody that is no longer an employee.

The Northeastern Retail Lumber Association – New York (NRLA-NY) has 343 member companies and represents independent lumber and building material dealers, manufacturers, wholesalers, distributors, and other associated businesses in the state of New York. The lumber and building material industry creates over 16,000 jobs in New York, and collects more than $142,000,000 in sales tax revenue for the state.

 
X
This ad will auto-close in 10 seconds