This Agenda describes important government relations activities and initiatives, grouping them in three categories: (1) Direct Advocacy by NASBP members and or staff, (2) Working with Coalition Partners to accomplish stated legislative goals, and (3) by using NASBP Advocacy Tools as another means to achieve a legislative solution.
You can download a copy of the agenda by following this link: NASBP Government Relations 2022 Agenda
2022 Government Relations Agenda of the National Association of Surety Bond Producers (NASBP)
NASBP, located in Bethesda, MD, is a national trade association whose membership includes firms employing licensed surety bond producers placing bid, performance, and payments bonds throughout the United States, its territories and in certain countries for construction projects and other commercial purposes.
This Agenda describes important government relations activities and initiatives, grouping them in three categories:
(1) Direct Advocacy by NASBP members and or staff, (2) Working with Coalition Partners to accomplish stated legislative goals, and (3) by using NASBP Advocacy Tools as another means to achieve a legislative solution.
- Direct Advocacy
Advocate for the preservation and, where possible, expansion of existing federal, state, and local statutory bonding requirements:
Commercial Surety Legislative Opportunity
- Educate public officials and legislators regarding the crucial public policy reasons underlying bid, performance, and payment bond requirements in relation to private/public works and infrastructure projects;
- Monitor legislative and regulatory efforts to increase statutory bonding thresholds and oppose those that represent material increases;
- Oppose efforts to substitute alternative products for statutorily-required bonds;
- Advocate for the removal of periodic threshold increases to the Miller Act based on inflation e.g. Title 41;
- Advocate for regulatory or statutory changes to require written notice when payment bonds are waived on federal construction contracts;
- Advocate for bonds for the construction portion of Public-Private Partnership (P3) agreements to ensure that construction projects undertaken for public benefit and welfare through P3 contracts offer contracting authorities proper prequalification of entities performing construction services; guarantees of performance from solvent, third-party corporate sureties; and payment remedies for unpaid subcontractors and suppliers;
- Advocate for statutory bonding requirements for the construction portion of the contract when third-parties receive federal loans or grant funds for the undertaking of P3 agreements;
- Support the inclusion of performance and payment bonds as the form of security for the construction portion of rural broadband infrastructure projects; and
- Monitor legislative and regulatory measures authorizing alternative project delivery methods to ensure incorporation of, or reference to, statutory bonding requirements.
- Advocate for bonds as an alternative to letters of credit when small business internet service providers (ISPs) bid on procurement opportunities through the Federal Communications Commission’s (FCC) Rural Broadband Auction and the U.S. Department of Agriculture’s Rural Utilities Service (RUS) ReConnect Program, so such small businesses working capital will not be tied up in an LOC and the FCC and RUS are financially protected in the event the ISP fails to perform.
Advocate for legislation/regulations, that encourage qualified small, disadvantaged, and minority contractors to participate in public construction markets:
- Support legislation that provides education and resource opportunities to small, women, minority, and veteran-owned construction companies to better position them to qualify for surety credit; and
- Support bond guarantee programs that have been reviewed and analyzed for practicality and adhere to current industry practices.
Advocate for New Legislative Initiatives in the States
- Advocate for legislation to allow state agencies to accept the electronic execution and delivery of construction surety bonds and commercial surety bonds, including use of electronic signatures, seals, and powers of attorney and remote notarization.
- Coalition Partners
NASBP is part of the Construction Industry Procurement Coalition (CIPC), which includes 14 national trade and professional organizations such as the American Council of Engineering Companies (ACEC), the Associated General Contractors of America (AGC), the American Subcontractors Association (ASA), the American Institute of Architects (AIA), the Design-Build Institute of America (DBIA) and the Surety & Fidelity Association of America (SFAA).
In 2022, the CIPC may seek to introduce legislation addressing the following procurement reforms:
- Require payment and performance bonds on federal P3 agreements for federal buildings;
- Require better/earlier payment practices for federal change order work;
- Require federal agencies to report during the solicitation process when it is their policy to bundle contracts; and
- Seek additional program opportunities for members of Congress who are members the Congressional Construction Procurement Caucus.
- National Advocacy Tools
Encourage Support and Funding of SuretyPAC — SuretyPAC is the oldest federal PAC that is 100% devoted to representing the surety industry and establishing and nurturing relationships with candidates running for congressional office. NASBP uses SuretyPAC as one of its advocacy tools to engage, educate, and encourage federal legislators to support NASBP’s federal legislative agenda.
Communicate Government Relations Information via Focal Point and Podcast — The government relations staff will continue to keep the membership and other interested parties apprised of NASBP government relations objectives and actions and legislative and regulatory developments via issuance of Focal Point and Let’s Get Surety podcasts as needed and developments occur.
Encourage Participation in Annual Legislative Fly-in — The Legislative Fly-in plays an important advocacy role in NASBP’s Government Relations Program, as it allows NASBP members and staff to engage in policy discussions with congressional offices that may otherwise not be possible without its member’s involvement. Because COVID restrictions are still in place, NASBP may conduct another virtual fly-in in 2022. The 2022 fly-in will be hosted jointly with SFAA, while an outside vendor will likely schedule virtual Capitol Hill visits.
The 2021 virtual fly-in was very well received and attended with over 100 attendees participating in nearly 140 virtual congressional meetings. Of those attendees who responded, 80% rated their overall satisfaction as either highly or very satisfied. The virtual fly-in platform also received high marks where 96% viewed the platform as very high or of high quality. When respondents were asked if they would participate in another virtual fly-in, 100% responded yes.
For Further Information: Contact Larry LeClair, Director, Government Relations at 240-200-1272 or at email@example.com