ALEXANDRIA, Va. — According to a survey of American Subcontractors Association (ASA) members, the top three payment issues that subcontractors say have an impact on their business are slow final payment, pay-if-paid clauses, and late progress payments. In order to address these and other payment problems, ASA has designated 2003 as Payment Advocacy Year (PAY).

“During Payment Advocacy Year, subcontractors are looking carefully at the causes of payment problems and developing solutions to address them,” said ASA president Anne Bigane Wilson, CPC, P.E. “Unfortunately, the construction industry is plagued by laws, contracts, and traditional practices that reinforce the untenable position that nonpayment, or late or partial payment, for work properly performed is acceptable.”

Wilson explained that the PAY program will focus on educating subcontractors on how to cope with and make progress toward eliminating payment problems, and how subcontractors can make the case to enact policies and legislation when necessary.

ASA will provide subcontractors with tools to combat unacceptable payment practices on construction projects. Over 50 state and local chapters of ASA are participating in PAY, and ASA is distributing a monthly newsletter in 2003 to construction industry leaders to coordinate the campaign.

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Publication date: 01/20/2003