With hurricane season upon us, the annual tradition of the construction industry hoping to avoid significant weather events begins. Florida has not had recent luck on this front. Hurricane Irma in 2017 and Hurricane Michael in 2018 remind us of the impact a storm can have on a construction project. Because of that, it's worth taking time now, before storm season heats up, to ensure your project is as ready as possible.

First, if you have not already done so, break out the hurricane plan agreed to at the beginning of a project. Don't have one? You weren't expecting your project to extend into hurricane season? Good news is that it's not too late if your project does not have a plan in place.

While each project presents different risks, a hurricane plan should, at minimum, outline how the job site will be safely and efficiently secured leading up to, during and after a storm. Include timelines for site preparation, site safety protocols, methods and locations for securing equipment and materials, and a process for the safe return to work. Assign specific responsibilities to key project personnel so that project teams know who is responsible for what when a storm approaches. A plan should include information on interacting with local building departments and emergency management personnel. More detailed plans could also address specifics like storing extra fuel for generators or dealing with storm water management. It may also be helpful to identify your claims teams now, which may include project staff, attorneys, delay experts, claims consultants and accountants.

Second, try a practice run. Do not wait until a storm is on its way to see if your plan is sufficient. At that time, there will be fewer resources, more stress and more opportunity for mistakes. Not only may project teams have multiple jobs to secure, they will likely have their own families and homes to prepare. A test run can minimize mistakes and may identify gaps in a plan. With this information, stakeholders can address these gaps before it's too late.

Third, document and take inventory of the project status before a storm hits. Record the status of the work and the equipment and assess the amounts and types of materials being stored on-site. This pre-storm information can be invaluable in justifying an insurance claim for any resulting damage. Speaking of insurance, developers and contractors should review the project's builder's risk policy. Have a refresher (or first look) at the notice requirements, the claim documentation requirements and understand the requirements for dealing with significant storm damage. Remember also that windstorm coverage typically has a higher deductible. It may be a good idea to check that capital reserves are available to cover what could be a significant out-of-pocket expense.

Fourth, update the project schedules if you have invested in “soft cost coverage” to deal with the financial impact of a delay. If project scheduling requirements have been ignored or are lagging behind, it is time to bring the schedules up to date. With hurricanes, projects will likely experience delay before, during and after a storm. It could be months before a project returns to full capacity. Considering the cost of buying this delay coverage, it is incumbent on stakeholders to update and maintain accurate project schedules to maximize any potential recovery.

Fifth, start post-storm damage assessment and recovery as soon as it's safe to return and occupy the project. Designated personnel should evaluate safety conditions, measure damage and determine clean-up requirements. Document the time spent on storm-related activities and record the damage with video and pictures. This will be essential to supporting a claim. Also, remember that some damage may not be visible right away, so post-storm assessment needs to be a going concern until the project is restored to pre-storm conditions.

Dealing with severe weather is an unfortunate, but known risk for the construction industry in Florida. However, known risks can be planned for and insured. It is up to industry stakeholders to have their projects ready to face the upcoming storm season.

Joshua M. Atlas is a partner at Saul Ewing Arnstein & Lehr's West Palm Beach office and a member of the construction and commercial litigation practices. Atlas represents a variety of clients, including general contractors, subcontractors and equipment suppliers in disputes related to both public and private construction projects.