AASHTO Audit Guide Delayed

Despite the effort to have the revised AASHTO Audit Guide ready for a final approval by the AASHTO Audit Group at their annual convention in July, certain portions of the draft are still being revised.

The new plan is to have a final draft ready by mid August and to have the states ratify it by written or electronic ballot.

The goal is to have the full AASHTO approval occur at AASHTO’s annual meeting in October, and then to have FHWA begin any necessary rulemaking early in 2010.

For a copy of the most recent draft of the guide go to http://audit.transportation.org/?siteid=43 and select the current draft (with or without comment versions are available)

This updated guide will (if adopted as expected) significantly change allowable cost practices in the states that have established individual state policies on costs, as the primary purpose of this update to the guide is to standardize the states to FAR standard practices.

Delay on Transportation Act Seems Likely

The House Ways & Means Committee has announced they will not take up a renewal of the soon to expire Surface Transportation authorization until after they have finished with Health Care Reform.

With Health Care now looking like it will extend into at least September (with the August Recess) it appears unlikely that Transportation will be not be finalized in time to prevent a lapse in September.

Look for an extension of current programs at current funding levels.

However, the Administration has proposed an 18 month extension.

Also complicating matters is the shortage in the Highway Trust fund that will begin to reduce spending next month if this is not fixed.

Transportation uncertainty is likely to delay transportation construction in states as they are unlikely to be able to make long-term project plans with uncertain funding.

Firms are likely to see lower new starts until this issue is respolved on a long term basis.

September 8 Appears to be E-verify deadline

After several delays, Congressional pressure to implement the requirment for E-verify use by all federal contractors is no o track to actually go into effect on September 8.

As part of the final rules, the requirment to terminate employees within 30 days following a "no-match" result has been modified.