Seattle Washington Building Expert Directory

No Friday Night Lights at $60 Million Texas Stadium: Muni Credit

March 26, 2014 — Darrell Preston and Aaron Kuriloff – Bloomberg
Pervasive cracking has shuttered the $60 million home of a high-school football championship team in Texas after less than two years. Investors in the tax-free bonds that paid for the stadium are unscathed. Taxpayers in Allen Independent School District north of Dallas and the $29 billion Texas Permanent School Fund, a state bond insurer, are responsible for $119 million of debt that paid for the venue and other facilities, leading officials to find a new site for graduation and possibly games after closing 18,000-seat Eagle Stadium last month. The development suggests the fund, created in 1854 to help pay for education, shouldn’t be used for stadiums, said Colby Harlow, president of hedge fund Harlow Capital Management. The Permanent Fund has top credit ratings and secures about $55 billion of bonds, according to the Texas Education Agency. The pool has at times reached the limit of debt it can back, preventing districts from accessing it. The guarantee is still a boon to bondholders. Mr. Merelman may be contacted at smerelman@bloomberg.net; Mr. Sillup may be contacted at msillup@bloomberg.net Read the court decision
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Reprinted courtesy of Darrell Preston and Aaron Kuriloff, Bloomberg

The “Program Accessibility” Exception for Public Entities Under the ADA

September 10, 2014 — Garret Murai – California Construction Law Blog
Public owners, as well as private owners and tenants of commercial and retail properties, are at risk of lawsuits brought under the Americans with Disabilities Act of 1990 (“ADA”) and related state law alleging that their facilities are not accessible by those with disabilities. A common misperception among private owners and tenants is that facilities constructed before the ADA went into effect in 1992 are exempt or “grandfathered” from the ADA’s requirements. Not so. At least generally. If, however, you are a public entity, there is such an exception. Lucky you. Under the ADA, public facilities constructed prior to January 26, 1992 need not be “accessible to and usable by individuals with disabilities” so long as a public entity’s “service[s], program[s] and activit[ies], when viewed in [their] entirety, [are] readily accessible to and usable by individuals with disabilities.” Known as “program accessibility,” the exception has left many public entities scratching their heads as to what they can and must do. Read the court decision
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Reprinted courtesy of Garret Murai, Kronick Moskovitz Tiedemann & Girard
Mr. Murai may be contacted at gmurai@kmtg.com

Winners Announced in Seattle’s Office-to-Residential Call for Ideas Contest

July 10, 2023 — Ryanne Mathisen - Ahlers Cressman & Sleight PLLC
On June 7, 2023, the City of Seattle announced three winners of its Office to Residential: Call for Ideas contest for which it received a total of 13 submissions. Hybrid Architecture, LLC, took first place; Gensler, Seattle Office Project Team took second; and the Miller Hull Partnership took third. Seattle’s Department of Construction and Inspections will study the submissions and determine what legislative and regulatory modifications would be necessary to support and further these proposals and other future office-to-residential conversion projects. Seattle will also be holding a series of exhibitions over the coming weeks where project submissions will be available to the public. On June 14, 2023, from 5:30 PM to 7:30 PM, a reception will be hosted by the Seattle Architecture Foundation and the City at the American Institute of Architects. The gallery will also be open to the public from 10:00 AM to 5:00 PM on June 21, 28, and July 5. After June 14, 2023, those interested can access contest submissions at the project website. Seattle’s primary goal with this contest was to provide a vision for the future of downtown and begin charting a concrete path to getting there. Since working from home has become more common following the COVID-19 pandemic, vacancy rates in many office buildings have risen sharply, while housing availability and affordability remain ongoing issues. If Seattle can show a realistic—and profitable—path to converting commercial office spaces into residences, it would be addressing both problems, killing two birds with one stone. Read the court decision
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Reprinted courtesy of Ryanne Mathisen, Ahlers Cressman & Sleight PLLC
Ms. Mathisen may be contacted at ryanne.mathisen@acslawyers.com

Question of Parties' Intent Prevents Summary Judgment for Insurer

December 02, 2015 — Tred R. Eyerly – Insurance Law Hawaii
The insurer's and insured's intent as to which entities were to be insured prevented the insurer's motion for summary judgment. Chaus v. State Farm Fire & Cas. Co., 2015 U.S. Dist. LEXIS 136311 (E.D. La. Oct. 5, 2015). Water damage from a broken pipe occurred at the insured's building. Blaze Chaus LLC owned the building.The building was occupied by two entities which provided health care services: Dr. Kelly G. Burkenstock, M.D. and Azure Spa, Inc. Dr. Burkenstock was the sole owner of all three entities. The application for commercial insurance was submitted by "Dr. Kelly G. Burkenstock, d/b/a/ Blaze Chaus LLC." The application requested a "Physicians and Surgeons Endorsement" and reflected that the business activities of the applicant as "Internal Medicine Doctor." Read the court decision
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Reprinted courtesy of Tred R. Eyerly, Insurance Law Hawaii
Mr. Eyerly may be contacted at te@hawaiilawyer.com

Rulemaking to Modernize, Expand DOI’s “Type A” Natural Resource Damage Assessment Rules Expected Fall 2023

December 23, 2023 — Amanda G. Halter, Jillian Marullo & Ashleigh Myers - Gravel2Gavel Construction & Real Estate Law Blog
The U.S. Department of the Interior (DOI) anticipates proposing a new rule that would revise its “Type A” Natural Resource Damage Assessment (NRDA) regulations under the Comprehensive Environmental Response, Compensation, and Liability Act (CERCLA) in Fall 2023. The proposed rule would modernize DOI’s rarely used simplified Type A procedures for assessing damages for natural resource injuries tailored at sites involving minor releases of hazardous substances, with a smaller scale and scope of natural resource injury occurring in either coastal and marine areas or Great Lakes environments (the “Type A Rule”). (See 88 Fed. Reg. 3373; see 43 C.F.R. Pt. 11 Subpt. D.) The Type A Rule was last updated in 1997. DOI previewed the proposal in January 2023 in its Office of Restoration and Damage Assessment’s (ORDA) Advanced Notice of Proposed Rulemaking (ANPR). In the ANPR, the ORDA surmised that the Type A Rule was rarely used in part because of its restricted scope, but also because “the model equation for each Type A environment is the functional part of the rule itself—with no provisions to reflect evolving toxicology, ecology, technology, or other scientific understanding without a formal amendment to the Type A Rule each time a parameter is modified.” Calling the existing rule “inefficient and inflexible,” the ORDA stated that its proposal to reformulate the rule “as a procedural structure” would “modernize the Type A process and develop a more flexible and enduring rule than what is provided by the two existing static models” (88 Fed. Reg. 3373). Reprinted courtesy of Amanda G. Halter, Pillsbury, Jillian Marullo, Pillsbury and Ashleigh Myers, Pillsbury Ms. Halter may be contacted at amanda.halter@pillsburylaw.com Ms. Marullo may be contacted at jillian.marullo@pillsburylaw.com Ms. Myers may be contacted at ashleigh.myers@pillsburylaw.com Read the court decision
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Balancing Risk and Reward: The Complexities of Stadium Construction Projects

April 15, 2024 — Gregory A. Eichorn - Peckar & Abramson, P.C.
From grand designs to opening day, stadium construction projects present a captivating blend of high-profile opportunities and significant challenges and risks. Navigating this complex landscape is not easy, but when managed properly, the potential rewards, both in terms of reputation and finances, can make it a gamble worth taking. While each stadium project is different, some of the more common risks include:

Securing adequate labor, materials and equipment based on the size of the project;
Logistical concerns regarding the concurrent performance of multiple trade scopes on a single site;
Protection of work in place from weather due to the large footprint of the stadium project;
Cash flow issues caused by protracted change order processing, conflicting and/or onerous payment requirements from project financing entities, and reimbursement of considerable monthly general condition costs; and
Meeting the schedule requirements for the project.

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Reprinted courtesy of Gregory A. Eichorn, Peckar & Abramson, P.C.
Mr. Eichorn may be contacted at geichorn@pecklaw.com

Heat Exposure Safety and Risk Factors

July 04, 2023 — The Hartford Staff - The Hartford Insights
Summer is here and being outside in the heat can take a toll on your body if you’re not properly prepared. It’s important to regulate your body temperature by both hydrating and gradually acclimating your body to withstand the increasingly hot conditions. Your body has “heat control mechanisms” which get overworked in hot, humid and poorly ventilated areas. When you’re exercising or doing physical labor, your muscles generate heat as a metabolic by-product. Sweating can dissipate heat when the air is dry or a breeze is blowing. But when humidity rises and the air becomes denser, sweat doesn’t evaporate from the skin as readily. When this occurs, your core body temperature becomes too high and you can suffer from heat cramps, heat exhaustion or heat stroke. This heat stress can occur suddenly and be very dangerous, that’s why it’s important to be able to recognize the warning signals. This chart will help you identify your body’s heat stress signals and apply the appropriate action to prevent heat-related problems. Read the court decision
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Reprinted courtesy of The Hartford Staff, The Hartford Insights

Agree First or it May Cost You Later

May 08, 2023 — Bill Wilson - Construction Law Zone
Business relationships often begin before parties execute a written agreement containing the terms and conditions by which the relationship will be governed. With little more than a Letter of Intent (“LOI”) or Letter of Award (“LOA”) one party is typically pressured to begin investing time and money to start preliminary work on a project. If such LOI or LOA contains nothing more than an agreement to agree later, the performing party should minimize its investment until the later agreement is executed. A recent court decision in New York confirmed the danger to the performing party under “agreement to agree” provisions. In Permasteelia North America Corp. v. JDS Const. Group, LLC, 2022 WL 2954131 (N.Y. Sup. CT. 7/22/22), the plaintiff subcontractor allegedly performed $1.9 million worth of preliminary work under nothing more than a LOA with an agreement to agree provision. Issues arose, and the parties never entered any later written agreement. The general contractor refused to pay the plaintiff anything for its preliminary work. In response, the plaintiff filed suit against the general contractor asserting four counts: foreclosure of its lien, breach of contract, unjust enrichment, and account stated. All four counts were based on an alleged oral “handshake deal” for subcontract work for the project. The general contractor’s LOA stated that neither party would be bound “unless and until the parties actually execute a subcontract.” During discovery, the plaintiff admitted that neither party intended to enter into any contract until its potential terms were negotiated, reduced to writing, and signed. Moreover, the plaintiff only offered one set of meeting minutes and a few project agendas to support its alleged “handshake deal.” Once these necessary undisputed facts were confirmed, the defendant moved for summary judgment on all four counts. Read the court decision
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Reprinted courtesy of Bill Wilson, Robinson & Cole LLP
Mr. Wilson may be contacted at wwilson@rc.com

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