3/27/20 - Empire State Development's Guidance on Construction Sites

Empire State Development just updated the guidance on what industries are considered essential business services. The exact text is included below in italics and the link to the ESD guidance is provided as well. Essential Business Services includes roads, bridges, transit facilities, utilities, hospitals or health care facilities, affordable housing, and homeless shelters. All other construction, except emergency work, must shut down. Please note the following:

  • Social distance must be maintained at every site for all workers

  • Social distance includes elevators/meals/entry and exit

  • Sites that cannot maintain distance and safety best practices must close

  • This will be enforced by state and local government

  • Fines for violating this order will be up to $10,000 per violation

Click here to read the full executive order. Copied from the EO.

"9. Construction All non-essential construction must shut down except emergency construction, (e.g. a project necessary to protect health and safety of the occupants, or to continue a project if it would be unsafe to allow to remain undone until it is safe to shut the site). Essential construction may continue and includes roads, bridges, transit facilities, utilities, hospitals or health care facilities, affordable housing, and homeless shelters. At every site, if essential or emergency non-essential construction, this includes maintaining social distance, including for purposes of elevators/meals/entry and exit. Sites that cannot maintain distance and safety best practices must close and enforcement will be provided by the state in coordination with the city/local governments. This will include fines of up to $10,000 per violation. For purposes of this section construction work does not include a single worker, who is the sole employee/worker on a job site."


Now with the NYS guidance that non-essential construction sites must close in addition to other businesses that have already closed, many more of you are temporarily laying off workers. Your cash flow won’t last too long with no revenue being generated and if you paid your workers you probably would not be able to recoup those funds. The best course of immediate action is to let them apply for unemployment.


Also contact your short-term disability and paid family leave carrier to see what coverage might be available for any of your workers.


Your professionals at Castellano Korenberg & Co. are always available to assist you through this tough time of trying to make sense of all the new regulations being passed. Stay up to date with the most recent information by visiting castellanokorenberg.comcall us at 516-937-9500, or contact your CK professional for more information.



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