FASA’s Preparation Guide for 2024 Natural Disasters
As Hurricane Beryl wreaks havoc in Houston, TX, we remind all ASA members about the Foundation of the American Subcontractors Association (FASA) preparation guide for natural disasters. The guide cites statistics from the Federal Emergency Management Agency (FEMA) that 40% of businesses do not reopen following a natural disaster. Ninety percent of companies fail within two years of experiencing a natural disaster, according to the United States Small Business Administration.
HOW NATURAL DISASTERS CAN AFFECT THE CONSTRUCTION INDUSTRY
- Demand for skilled workers increases
- Logistical issues for local travel to construction site and environmental issues impact access to site
- Materials used for restoration and recovery become scarce and difficult to obtain
- Large scale damage for equipment and supplies
- Overall cost of project increases
- Disruptions and delays occur as a natural result of the above issues
- Unforeseen delays can also create contractual issues and lead to litigation
WHAT THE GUIDE INCLUDES
FASA's guide offers guidance, including the following:
- Federal resources to consult or contact before, during and after the event
- Insights on commercial property insurance, specifically for the types of disasters it may not cover: flood, hurricanes and earthquakes.
- Legal and contract considerations on projects following a disaster
Please visit the FASA website for the FASA Natural Disaster Guide.