Construction, business leaders back federal bill to override scaffold law on public projects

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Elizabeth Crowley

New York Construction Report staff writer

About 50 business and civic organizations have launched a statewide coalition aimed at reforming New York’s Scaffold Law, a 19th-century statute critics say drives up construction costs without improving worker safety.

The group, called Build More New York, is backing the federal Infrastructure Expansion Act, introduced by Rep. Nick Langworthy, R-N.Y. The measure would override the Scaffold Law for federally funded projects and replace it with the comparative negligence standard used in every other state.

“This commonsense legislation replaces outdated absolute liability rules with a fair and modern comparative negligence standard for federally assisted construction projects,” said Mike Fazio, executive vice-president, New York State Builders Association. “This long-overdue reform will help reduce fraud, lower insurance premiums, and establish a more balanced legal framework for both builders and workers. Escalating insurance costs threaten the viability of construction projects, drive up consumer costs, and delay critical development needed to address housing and infrastructure demands.

“This legislation is a necessary step toward restoring fairness and long-term sustainability in construction-related liability policies.”

New York is the only state that imposes an absolute liability standard on property owners and contractors for gravity-related injuries at construction sites. According to the Building Trades Employers Association, that rule inflates construction costs by about 10 percent and has driven many insurers out of the state.

“Every union contractor in New York will tell you the same thing: the Scaffold Law is crushing their businesses by driving insurance costs to the highest in the nation,” said Elizabeth Crowley, president of the association and president CEO at Building Trades Employers’ Association. “Congressman Langworthy’s bill is a lifeline — it will finally level the playing field, protect good-paying union jobs, and free up resources to build the projects New Yorkers urgently need.”

Supporters say reform is critical to lowering housing and infrastructure costs. A 2014 study by the Rockefeller Institute estimated the law adds $785 million annually to public construction expenses, diverting taxpayer money from schools, roads and other projects into litigation and insurance premiums.

Supporters also argue the law does not improve worker safety. Injury rates on projects in New York are higher than in most other states, and Illinois saw a decline in construction fatalities after repealing a similar law in 1995.

Langworthy’s bill, H.R. 3548, would apply only to projects receiving federal funds, but advocates hope it will push state lawmakers to repeal the Scaffold Law altogether.

“New York is the only state still bound by the outdated Scaffold Law — a 19th-century statute that drives up costs, fuels fraud, and diminishes the value of taxpayer-funded infrastructure investment,” said Ron Epstein, president of the New York Construction Materials Association. “This legislation delivers the long-overdue reform needed to restore fairness, strengthen insurance competition, and ensure federal dollars go toward building projects — not litigation.”

The coalition includes the Business Council of New York State, the Real Estate Board of New York, the Associated General Contractors of New York State, and chambers of commerce from Buffalo to Long Island.

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