News Maker - OKLAHOMA

OKLAHOMA:  Effective November 1, 2013 HB 1087 becomes law.  Signed by the Governor on 4/22/2013, HB 1087 titled "Liens; mechanics' and materialmen's liens; providing for lien filing to include payment of profit and overhead costs; effective date" allows for a lien upon the whole of said tract or piece of land, the buildings and appurtenances in an amount inclusive of all sums owed to the person at the time of the lien filing, including, without limitation, applicable profit and overhead costs.

The bill added the provisions for the additional items: Applicable profit and overhead costs.

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News Maker - MISSISSIPPI

MISSISSIPPI:  HB1283 has died in committee.   The summary of the bill includes the following:  An Act To Provide For The Enforceability Of Mechanic's And Materialmen's Liens; To Require The Filing Of A Statement Regarding A Lien; To Require Written Notice To Owners That A Lien May Be Instituted If Payment Is Not Made; To Specify Persons Deemed Not To Be An Original Contractor; To Require A Pre-lien Notice And Provide For The Contents Of Such Notice; To Amend Sections 85-7-131, 85-7-133 And 85-7-135, Mississippi Code Of 1972, In Conformity; And For Related Purposes.

We'll watch for a re-introduction next session.

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News Maker - IOWA

IOWA:  On July 1, 2013, HF 565 became Law.  Originally introduced on March 13, 2013 as HF 565, the bill is title "An Act relating to mechanics liens and the mechanics notice and lien registry".

HF 565 makes conforming language corrections relating to the posting of pre-commencement and preliminary notices on the mechanic’s notice and lien registry. General Contractors and Owner-Builders will not have to send precommencement notices to the owner-buildersSecretary of State will provide proof of service for notices posted on the registry site.Each claim posted shall be indexed on the registry website. False, forged or fictitious information posted by anyone on the registry is now subject to penalty. Two years after a preliminary notice has been posted, it will be declared inactive unless renewed.

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News Maker - MARYLAND

Maryland:  On July 1, 2013 Maryland House Bill HB560 became law.   The new law titled "Public-Private Partnerships add Maryland to growing list of states requiring Payment Bond Protection for Public/Private jobs matching the state's little Miller Act.

"REQUIREMENTS  FOR THE  PRIVATE  ENTITY TO  PROVIDE PERFORMANCE  AND PAYMENT  SECURITY  IN  A  FORM AND  IN  AN AMOUNT DETERMINED  BY  THE RESPONSIBLE  PUBLIC  ENTITY, EXCEPT  THAT REQUIREMENTS FOR THE  PAYMENT SECURITY FOR CONSTRUCTION CONTRACTS SHALL  BE  IN ACCORDANCE  WITH  TITLE 17,  SUBTITLE  1 OF  THIS  ARTICLE, INCLUDING  THE REQUIREMENT  THAT  PAYMENT SECURITY  SHALL  BE ESTABLISHED  ON  THE VALUE  OF  THE CONSTRUCTION  ELEMENTS  OF  THE PUBLIC–PRIVATE PARTNERSHIP AGREEMENT AND NOT ON THE TOTAL VALUE OF THE PUBLIC–PRIVATE PARTNERSHIP AGREEMENT."

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News Maker - FLORIDA

FLORIDA:  On June 27th Florida Governor Rick Scott signed HB 85 adding Florida to the growing list of states with a fair set of laws to facilitate public-private partnerships (P3s).  P3s transfer responsibility for certain public projects to private companies, enabling the state to utilize public funds for other purposes while still moving  forward with needed construction and improvements.   P3 legislation typically, and in this case, includes requirements for payment bond protection on projects that meet the state's public construction thresholds.

Qualifying projects under HB 85 include:

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News Maker - MISSOURI

MISSOURI - On June 28, 2013 the Governor signed SB 357 into law.  SB 357 "Modifies the law relating to mechanics' liens for rental machinery and equipment" sponsored by Rep. Gary Romine has been signed by the House Speaker and was delivered to the Governor for his signature. 

The act extends the written notice provisions from the current 5 days to the new 15 business days of the commencement of the use of the rental machinery or equipment  to  the  property  owner that rental machinery or equipment  being used upon their property.  The notice shall identify the name of the entity that rented  the  machinery or equipment, and  the  machinery or  equipment being rented, and the rental rate.

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News Maker - RHODE ISLAND

RHODE ISLAND -   Senate Bill 97 an act titled "An Act Relating To Property - Mechanics' Liens (would Repeal 34-28-4.1 Of The General Laws Which Compels Notification By A Contractor Of Possible Mechanics' Liens Prior To Commencing Any Work On A Construction Project Within 10 Business Days Of Commencing Work.)" is currently being studied.

 As the title suggests the Act would remove the Prime Contractor's requirement to serve owner Notice of Possible Mechanic's Lien within 10 days of first furnishing. 

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News Makers - OKLAHOMA

 OKLAHOMA - Oklahoma HB 2237 sponsored by Rep. Joe Dorman has been referred to the Rules Committee. As introduced the Act relates to liens; amending 42 O.S. 2011, Sections 142, 142.6, 143 and 150, which relate to mechanics' and materialmen's liens; modifying requirements for filing statement; decreasing time for filing statement; correcting statute citations; specifying time for filing statement; removing pre-lien notice exceptions; adding requirement for filing statement; increasing time for filing statement; and providing an effective date.

Specifically the Act eliminates the Prime Contractor's 4 month window for filing a lien, requiring all liens to be filed with 90 days of last furnishing.  The Act also eliminates the two NTO exceptions, (1) the residential exception and (2) the $10,000 threshold exception.

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News Maker - NEVADA

 NEVADA - Senate Bill 251 continues to move through the Nevada legislature. The act titled: Revises various provisions governing contracts for the performance of any kind of labor and for work, material or equipment for the construction, alteration or repair of property or improvements to property, requires certain owners and lessees to obtain the services of an escrow agency and to establish trust accounts for amounts withheld from payment to contractors and subcontractors; requiring those owners and lessees to record a notice of establishment of a trust account and a verification of compliance under certain circumstances; establishes requirements for administering such trust accounts; providing that a lien claimant has a lien against such retention amounts and trust accounts under certain circumstances; expandis the scope of provisions concerning the liability of an original contractor for the indebtedness for labor incurred by a subcontractor; and provides other matters properly relating thereto.

These new provisions apply to contracts over $1,000,000.  Assuming the act is signed into law it would become effective on July 1, 2013.

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News Maker - INDIANA

INDIANA -  Senate Bill 436 sponsored by Sen Ronnie J. Alting has been referred to Committee on Civil Law. The Bill, AN ACT to amend the Indiana Code concerning property.   The bill provides that persons that sell or furnish on credit material, labor, services, equipment, or machinery: (1) for the original construction of a single or double family dwelling for the intended occupancy of the owner upon whose real estate the construction takes place, or for the original construction on, alteration to, or repair to any real estate or improvements; and (2) to a contractor, a subcontractor, a mechanic, or anyone other than the owner of the real estate or the owner's legal representatives; must furnish the owner of the real estate with a written notice of the provision of materials, labor, services, equipment, or machinery and the existence of lien rights. Provides that the notice must be: (1) furnished to the owner; and (2) filed in the recorder's office of the appropriate county; not later than 10 days after the first date the materials, labor, services, equipment, or machinery is provided. 

The bill basically reduces the current 60 day timeframe for serving notice to 10 days.

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