YouDig?

Dear YouDig? Archives

11.4.19

Love Stinks

Dear YouDig?,
We are in the middle of a massive addition to our warehouse. The value is high seven figures in construction services.  We don’t do this all the time but we fell in love with the Design-Builder, signed their form and asked them to proceed asap! Well it’s a year later and we are not in love any more.  There are delays and excuses. Subs are calling us directly for payment.  Frankly, we don’t see how this crew will be able to complete the work.  We priced it and it looks like it will cost us 40% more to get a replacement contractor at this stage.  We gave in and called our lawyer whose first question was “Is there a bond?”  We never even thought of it. Are we fools?
-Love Stinks Ya Ya

10.4.19

Don’t Tax the Messenger

Dear YouDig?,
As an Ohio highway contractor we must include an incredible amount of temporary structures on our jobs and even temporary personnel from time to time. We don’t understand why we are getting popped with paying sales taxes on the purchase of these temporary structures and people. We are not a retail store selling to an end user.  ODOT nails us on the price of the job and the Tax Commissioner won’t allow fair exemptions.
-Why O’Why

8.23.19

The effect of tariffs

Dear YouDig?,
I am majoring in construction management in O-H-I-O. Love this stuff. Help me out though. I am getting mixed signals from my professors and from what I read in various publications and social media, including some prominent tweeters. Tell me the truth … how do tariffs on imports from China really affect the construction industry and how can players avoid getting stuck with the unexpected bill?
A- Student

8.12.19

Island Time

Dear YouDig?

We build interstates. We always have a need for good hard working laborers. Yesterday the hall sent us four workers. The first one to walk in was a Rastafarian sporting a wrist full of colorful hemp bracelets and dread locks hanging long down his back (btw – an odd look with a construction hat). The other three were bald. I told him, “You want to work? Tie up the dreads, and take off the bracelets.  We don’t want those locks getting caught in one of our conveyors. Could realllly slow down the job… You know what I mean?” He didn’t like my conditions and went home. Today I received a complaint from the hall… something about his religious freedom. He has to follow our rules…right?

-Not Living On Island Time

6.17.19

Pigs get roasted

Dear YouDig?,
We just finished a project where and  thought we paid all of our subcontractors.  About a month after completion, our accounting department however found that our drywall sub submitted invoices a while back but we failed to pay them.   Later they sent us a mistaken bill that for some reason showed they were paid in full. Looks like they made a mistake in their billing. We have a clause that states that if we don’t get a bill within 90 days then they waive payment. What obligation do we have to call this to their attention?
– Error In Our Favor?