Written Testimony on Senate Bill 49 - ACEC Ohio (House Commerce and Labor Committee, May 26, 2021)
Summary
Written testimony dated May 26, 2021, to the House Commerce and Labor Committee on Senate Bill 49, from the American Council of Engineering Companies of Ohio (ACEC Ohio). The testimony expresses support for the bill, which it says establishes a payment assurance program for registered design professionals, including engineers, architects, landscape architects and surveyors. It states that under current law a design professional cannot file a mechanics' lien because the design work does not improve the physical real estate. It says the bill focuses on commercial property and private work and will be subordinate to any real estate mortgage filed. The closing names Beth Easterday, President of ACEC Ohio.
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“Written Testimony on Senate Bill 49 - ACEC Ohio (House Commerce and Labor Committee, May 26, 2021).”
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Written Testimony to the
House Commerce and Labor Committee
regarding Senate Bill 49
May 26, 2021
Chair Stein, Vice Chairman Johnson, Ranking Member Lepore-Hagan and members of the House
Commerce and Labor Committee, on behalf of the American Council of Engineering Companies of
Ohio (ACEC Ohio) we are writing to express our support for Senate Bill 49.
ACEC Ohio is the voice of Ohio’s engineering industry, comprised of 145 companies representing
over 8000 employees that provide a wide array of engineering and other professional services for all
types of construction and environmental improvement projects.
This bill establishes a payment assurance program for registered design professionals which includes
engineers, architects, landscape architects and surveyors. Many of the companies we represent employ
all named design professionals.
Engineering, architectural and surveying firms are typically involved very early in the construction
project and perform services such as survey/layout work, soil borings and testing, and preparation of
construction plans and specifications. Unfortunately, some projects in Ohio fail to move to
construction for various reasons after services have been completed by the design professional or may
even be constructed without payment for the services to the design professional. Under current law, a
design professional has no protection as the design work does not improve the physical real estate and
therefore the design professional cannot file a mechanics’ lien. The design professionals are being
harmed by this situation as they have been unable to collect fees for the services they have performed.
Design professionals are not looking to get in front of any other lien claimants, but to have a place in
line and the ability to recover costs for the services performed. The bill focuses on commercial
property and private work and will be subordinate to any real estate mortgage filed.
We appreciate the opportunity to share our support of Senate Bill 49.
Respectfully,
Beth Easterday
President
ACEC Ohio
1650 Lake Shore Drive, Suite 200
Columbus, OH 43204
T 614-487-8844 F 614-487-8841
www.acecohio.org
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