On April 8, New Jersey Gov. Phil Murphy entered Executive Order No. 122 (EO 122), which expands prior business closure orders to include many construction projects throughout the state. Aside from exceptions identified below, all construction projects must cease operations by 8:00 p.m. on Friday, April 10, 2020 and are postponed until further notice.

Under EO 122, the following “essential construction projects” — which continue to serve an essential function to New Jersey residents and/or are tied to public health and safety — are permitted to continue operations, provided that contractors adopt certain policies delineated in EO 122 to prevent the spread of disease:

• projects necessary for delivery of health care services
• projects involving higher education facilities (such as colleges and universities)
• projects involving pre-K through grade 12 schools
• affordable housing projects
• existing projects involving occupied single-family homes or an occupied apartment unit
• existing projects involving residential units for which a legally binding agreement has been signed for the rental or purchase of the unit for occupancy by a certain date
• transportation projects
• utility projects
• projects at facilities that offer manufacturing, distribution, storage or servicing of goods or products sold for online retail sale or essential retail businesses
• projects involving data centers that are critical to a business’s ability to function
• projects involving delivery of essential social services, such as homeless shelters
• projects that support law enforcement and first responders in responding to coronavirus
• public projects or other projects that must be completed to meet deadlines established by the federal government
• emergency repairs to ensure health and safety.

EO 122 also permits limited work on “non-essential construction projects” if the work is required to secure the site, protect structural integrity of buildings, abate hazards, remediate a site, or ensure the site is safe and protected during suspension of the “non-essential construction projects.”

EO 122 further sets forth the policies that must be put into place in order for the “essential construction projects” to proceed, including:

• prohibiting nonessential visitors
• limiting in-person groups to fewer than 10 people
• requiring social distancing
• staggering work times and lunch
• restricting access to common areas
• requiring workers and visitors to wear cloth face coverings
• instituting infection control practices
• limiting sharing of tools, equipment and machinery
• providing sanitization materials
• sanitizing high-touch areas.

EO 122 also establishes specific guidelines for “essential construction projects” in the event that a worker at a site shows symptoms of and/or is diagnosed with COVID-19. In light of EO 122, the parties to “essential construction projects” should meet and confer to establish the required protocols to ensure that the projects can continue seamlessly, safely and in accordance with the governor’s orders. Likewise, parties to “non-essential construction projects” should meet and confer to determine what steps are necessary to safely secure project sites while the projects are suspended.

Pepper Hamilton and Troutman Sanders maintain a COVID-19 Dedicated Resource Center to help guide clients through the challenges presented by COVID-19.