Investing in the future Not too `Pharr` to rent Electric birthday
Transcription
Investing in the future Not too `Pharr` to rent Electric birthday
Covering the Industry’s News Texas Style P.O. Box 791290 San Antonio, Texas 78279-1290 PRSRT. STD. U.S. POSTAGE PAID DALLAS, TX PERMIT #1451 Change Service Requested San Antonio Dallas/Fort Worth Austin Houston South Texas South Texas CONSTRUCTION ™ The Industry’s Newspaper www.constructionnews.net (210) 308-5800 Volume 2 Number 10 OCTOBER 2014 Not too ‘Pharr’ to rent Electric birthday The guys from the Pharr office of Blue Line Rental were gearing up recently for the annual Associated General Contractors Rio Grande Valley Chapter (AGC) fishing tournament. L-R: Javiar Gomez, Rick Ruelas, Casey Cavazos and Javiar Ryan Jack Gerdes is indulging in a longtime passion to restore a 1933 Ford Roadster. B lueLine Rental in Pharr, TX. may be just one rental store out of 130 in North America, but it’s going strong. Formerly known as Volvo Rents, the company changed its name and identity this summer. The new brand followed the company’s transition to new ownership. Platinum Equity, a Los Angelesbased operations-focused private equity firm, acquired the business from Volvo at the end of January. Outside sales representative Casey Cavazos has been with the Pharr location since September 2011. He was invited to apply for the job after his state job ended when funding dried up. He says the roughly 15 employees at the deep south Texas location are a close-knit group. “For the most past, we’ve all worked together since 2011 or before,” he said. “We know each other on a personal level. We tend to help each other out.” A recent employee outing to a local bowling alley was a fun event. “A couple of us were pretty good and a couple were pretty horrible,” he laughs. “You know the old saying: Don’t quit your day job.” Another recent day trip involved hauling the company barbecue pit to continued on Page 14 T urning 75 on Aug. 15 has not slowed Metro Electric Inc. founder Jack Gerdes down much – he’s still coming into the office every day and is busy restoring a 1933 Ford Roadster on the side. “I don’t know what to do when I’m not working,” he says. “I got my work ethic from my dad – he never sat down.” Gerdes founded Metro Electric in McAllen 1973 – on July 4 actually. “It was the great July 4th escapade,” he laughs. “The first week was tremendous – then my brand new pickup truck got stolen.” Not to be daunted, Gerdes and his wife, Margaret, now deceased, ran the new shop in town by themselves. “She worked right alongside me,” he remembers. “She was also raising a young family at the time.” Gerdes got his start in the business right out of high school in San Antonio, working as an estimator for an electrical contractor for 17 years. “It was a family owned business and I went as far as I could go,” he said. “I wanted a little more out of life than just working for somebody else.” From those humble beginnings, Metro Electric has grown to a current roster of 190 employees; before the 2008 recession, there were 250. continued on Page 14 Investing in the future I t’s been said that a school is a building that has four walls with tomorrow inside. So when the team at KJM Commercial Inc. of Corpus Christi undertook the $1.5 million build of First Learning Tree school in Rockport, they were investing in the future. The major challenge of the build, according to project manager Patrick Kopecky, was the construction time frame. The build took 185 days. Project supervisor was Robert Nunez. “In order to open the Learning Tree for the fall term, the facility had to completed and ready for the state licensing inspection on a set date,” Kopecky says. “That goal was accomplished, the center passed inspection and opened as scheduled.” What made this project unique, according to Kopecky, was the working relationship with the building’s owner, First United Methodist Church of Rockport and the architect for the project, Ferrell/ Brown & Associates Inc. “This project was unique due to the seamless working relationship of the owner, architect and contractor,” he says. “After bidding the project, the cost exceeded the owner’s budget. KJM Commercial presented value engineering that was acceptable to the owner and architect and met the desired budget. “During construction, numerous changes were made to accommodate the needs and requirements of the owner. The architect was able to quickly provide the necessary documents and KJM Commercial initiated them immediately. Change order cost was approximately 1 percent of the contract amount.” The new school is built with concrete slab on grade, wood framed exterior and interior walls, wood roof trusses with wood deck and composition shinThe challenge of building First Learning Tree school was finishing in time for the students fall term. continued on Page 14 Page 2 South Texas Construction News • Oct 2014 Loving the Valley life I t’s a one-man show at Walker-Perez Architectural Services in Brownsville these days, and that’s just the way owner Calvin Walker likes it. Walker moved to the Rio Grande Valley straight out of college from his home state of Louisiana. A buddy from college called him and persuaded him to come to Brownsville and give the firm, SHW Group Inc. and the area, at least one year. “I told him I know what is going to happen,” Walker laughs. “I knew I was going to end up marrying a Mexican woman and living there the rest of my life.” At the time, in 1967, SHW Group had offices in Harlingen, Corpus Christi and Brownsville. Walker worked for the group for 30 years. “I was partner in charge of the Brownsville office from 1979-1997,” Walker says. But starting in the 1980s, the firm began closing its offices in the Valley. Walker was offered a position in the Dallas office when the decision was made to close its last South Texas office in Brownsville. “I was willing to move to the Dallas area,” he says, “but I realized I had spent 30 years here building my reputation. The more I thought about it, the more I realized I didn’t want to move.” Calvin Walker has played a large part in the redesign of the Brownsville library and that work is continuing. So he sold his ownership in SHW Group, bought the buildings and kept the same phone number and address. “The clients were still having me walk in the door,” Walker says. “The only difference was the checks were made out to Walker-Perez instead of SHW.” The Perez in the name is Carlos Perez, a man who began working for SHW pretty much straight out of high school. He wasn’t an architect, but he had been there even longer than Walker. Walker asked Perez if he could use his name in return for a share of profits, if there were any. Perez, who retired about 5 years ago, agreed. After a few years of struggling with the demands of running a business with employees, Walker downsized and now just hires whatever services he needs. “The past 5-7 years I have focused on doing work for the City of Brownsville,” he says. He also handles governmental work, police and fire and has had a hand in the Brownsville library redesigns. And that premonition about his life if he moved to Brownsville? It all came true. He married his first wife, Yolanda, and the couple had two children – a daughter, Elka and a son, Brian. Sadly, Yolanda passed away from cancer in 1996. His second wife, Marianela, and he have a son, Calvin. “I fell in love with the Latin culture, the strength of the family,” Walker says. “I’m the luckiest guy in the world to have married two beautiful women.” –cw Construction News ON LOCATION Safety services Dora Brazan is ready to help everybody get geared up for safety at SafetyPros in Karnes City. –cw South Texas CONSTRUCTION NEWS South Texas Editor: Cyndi Wright [email protected] 210-308-5800 Construction News Ltd. Home Office P.O. Box 791290 • San Antonio, Tx 78279 210-308-5800 Fax 210-308-5960 www.constructionnews.net Publisher: Editorial/Production: Production Manager: Sales Representative Administration: Buddy Doebbler Reesa Doebbler Sue Johnson Kent Gerstner Kevin Hughes If you are a construction-related company in Aransas, Atascosa, Bee, Calhoun, Cameron, DeWitt, Dimmit, Frio, Goliad, Hidalgo, Karnes, Kenedy, Kleberg, LaSalle, Live Oak, Maverick, McMullen, Nueces, San Patricio, Starr, Victoria, Webb, Willacy or Zavala county and are not receiving a free copy of the South Texas Construction News, call for a Requester Form or visit our website. The South Texas Construction News (ISSN #2327-4670) is published monthly by Construction News Ltd., dba South Texas Construction News, and distributed by mail to construction related companies in the South Texas area. All submissions should be mailed to our editorial offices. We reserve the right to edit any materials submitted. No fees for materials, copy or photographs submitted will be due unless agreed upon in advance in writing. Submissions will be published at our discretion on a space-available basis. Construction News, Ltd., dba South Texas Construction News, will not be liable for errors in copy or in advertisements beyond the actual cost of space occupied by the error. Publisher reserves the right to reject any advertisement at any time. © 2014 Construction News, Ltd. South Texas Construction News • Oct 2014 Page 3 That’s a 10 Rocky’s road L-R: (back row) Oscar Pacheco; Alys Taylor; Robin White; Adam Martinez; Sandy Lenz; Elisa Vasquez; (front row) Emilee Keith; Robert Lopez, AIA; Francisco Lopez (Inset) Laura Bennett runs the firm’s Corpus Christi office. Isaac and Lynn Camacho are happy to celebrate 10 good years in business. A man his brother says was destined to own his own business started Camacho Demolition & Recycling in August 2004. Now the company is celebrating 10 successful years. “My brother has always wanted to own his own business,” says Julian Camacho, business manager He’s talking about owners, Isaac and Lynn Camacho, who began dating in the eighth grade. According to Julian, their father was in the scrap business and even though he passed away in 1976 while Isaac and Julian were small children, they still remembered. Now the company that started as a metals recycling business in Sinton with one yard has expanded to two metal recycling yards (Sinton and Beeville) and two demolition offices (Corpus Christi and Edinburg) and has 70 employees. Cash flow is good today, but it wasn’t always that way. “In the earliest days of the business, Isaac and Lynn hired their first employee, Rosendo Maldonado,” Julian relates. “Isaac and Rosendo would load 40,000lbs of short iron into scrap trailers by hand. They performed all the demolition projects on their own. At the end of the week, Rosendo would get paid. On Monday, he was lending Isaac money to buy more scrap as the company struggled to get cash flow going.” Today, Rosendo is still employed with Camacho and works at the Beeville scrap metal yard. The company is active in its communities, sponsoring a barbecue team and kids showing in area livestock shows. “Lynn has made it a point to have birthday cakes for employees, many times baking them herself,” Julian says. “She has done this since the company started business. She likes to see the expressions on their faces.” –cw A s the founding principal and owner of Lopez Salas Architects, Robert “Rocky” Lopez finds it hard to believe that the firm marked its 15th anniversary in early May. With a decade and a half of history, the industry has changed and Lopez Salas is growing. With 10 people in the San Antonio home office, Laura Bennett, a licensed architect and a principal with the firm, is now operating the Corpus Christi branch. In Corpus, the firm’s work has included jobs at Texas A&M and the Naval Air Station. Lopez Salas is also setting up an office in Austin, where they aim to have fulltime staff soon. Over the course of his career, Lopez observes that Building Information Modeling has changed the way they design buildings and communicate those designs with those who will bid and build them. When he first got out of school in 1985, Lopez, now 53, recalls doing manual drafting until computers slowly worked their way into firms where everyone had to train on them and then sign up for Driving force time to use them. Coming up in the architectural industry doing private work, Lopez modeled his firm to do private work as well. Estimating that 95 percent of the workload was private, with very few exceptions for many years, he says all of that changed in 2009 when Lopez notes they had to reinvent themselves. They turned to the public sector, and hired a marketing director to help them pursue this new market. Also, pursuit of other opportunities led the firm to healthcare, which took off starting with a design study for a hospital in Sweetwater. Additionally, Lopez Salas handles K-12, higher ed, municipal/civic, commercial offices, retail, federal and religious facilities. Since its inception in 1999, its projects have included the City of San Antonio Public Safety Headquarters, the Emergency Operations Center at Brooks City-Base, and Americus Diamond. They also just started work on the Consolidated Rental Car (CONRAC) facility at San Antonio International Airport. –mh Construction News ON LOCATION Gearing up The Geo-Systems team took first place. A 25-year tradition was celebrated at Trophy Club Country Club on Sep. 8 as 167 golfers played two courses, dined at the club and bid on items to raise funds to benefit charity. To date, the Fire Sprinkler Contractors Association of Texas’s (FSCAT) annual golf tournament has raised more than $1.2 million for Texas Scottish Rite Hospital for Children. –mjm At 4-Star Hose & Supply’s new location in Kennedy, Evelyn Altamira, David Vasquez and Brian Medina are gearing up to service the area’s needs. –cw Specializing in Industrial Scrap Metal & Container Service Winners: 1st Place: Geo-Systems (score 52) – Kurt M. Richter, Tiffany Richter, Luke Morrow, Chris Degroot, David Oveson, John Fox 2nd Place: Lone Star Fire Sprinkler (score 52) – Steve Bennett, Brandon Blakenship, Steve Cook, Larry Mathis, Ivan Sparkman, Thomas Winingar 3rd Place: Automatic Fire Protection (score 54) – John Begnaud, Paul Begnaud, Kat Cook, Ken Cook, Greg Mootes, Marty Self Straightest Drive (Hogan): Rachel Noblett, Ameripipe Supply We buy Aluminum, Brass, Copper, Iron, Stainless Steel, Steel, Brass & Radiators Closest to the Pin: Luke Morrow, EPAC Sales and Service 2300 Frio City Rd. 210-927-2727 www.monterreyiron.com Page 4 South Texas Construction News • Oct 2014 Osvaldo Sosa President Harlingen Glass & Mirror Company Inc. Harlingen, Tx O svaldo Sosa says he isn’t a history buff per se, but one of his favorite things to do is jump in the car and travel the back roads of Texas – looking for small communities and towns that have an interesting history. He is lucky that his wife Bettye is just as spontaneous. “Some of these little towns are really interesting,” he says. “While traveling back and forth from jobs in Laredo, I used to just bypass them. We’ve found it very interesting to go in and see the history.” He says when it gets dark, they find a room and start again the next morning – letting the wind blow them where it may. What is your history? I was named after my mother’s grandfather. My mother came from a small community in Nuevo Leon. She was a teacher there before she migrated to the U.S. My father was from Tampico, Mexico. In the U.S., he worked in a canvass company, they made awnings, bags. My mother was a seamstress in the U.S. She worked for a local cleaners that did alterations. She also made curtains. The curtains in my house were made by her. What was your upbringing like? I was born and raised in Harlingen. I wasn’t really athletic in high school, I was more the kid who was skipping school. I worked as a busboy at the country club during high school. My parents divorced and my mother raised us. She taught us to work hard, be honest and save for a rainy day. She always said, “It’s not how you earn the money, it’s how you spend it.” We are all successful. My brother is in the banking business in Austin, my sister is a middle school teacher and my other sister is an obstetrician-gynecologist. What did you do after high school? I attended Texas State Technical College and took classes in accounting, math, real estate and computers. After that, I moved to Illinois where I have family. My aunt and uncle both worked for Caterpillar and they told me they could probably get me a job. I was married to my first wife and we had a daughter. I stayed there five years. (Laughs) The winter of 1977 was brutal so we moved back to Harlingen. What happened when you moved back to Texas? I started working a part-time job repairing and renovating an old building and turning it into a dry cleaners. It was supposed to be a four to five months job, but it lasted two years. It was just me, the owner’s son and another fellow. There was a lot to be done. In 1980, that job ended. I went out looking for work and walked into this little glass shop, Harlingen Glass Company Inc. I talked to the owner, Claudio Gonzales. He had worked for PPG Industries for 25 years and when they closed, he opened his own glass shop in 1978. Was Mr. Gonzales a mentor for you? Yes. He hired me and I started working that next Monday. That was April 1980. The business was located in what used to be a small, two-stall gas station. I had no glass experience at all. At Caterpillar, I was a welder. At the renovation, I was a carpenter. But I started to learn and I learned it quick. I was doing auto glass, mirrors, shower doors, etc. About six months later, he comes over and talks to me and asks if I would like to work in the office. I told him I had never done it before, but I never shied away from anything. That Monday, I walked in and there was no secretary. He had told me there would be a secretary to help me for a week. That same day he had to run errands and he left me alone at the office. A lady and her daughter came in and I was selling her some glass over the counter. The phone rang and I picked it up and kept saying, “Hello? Hello?” The customer had to show me how to answer the phone by pushing the blinking button. Ha ha! You were really learning on the job! Yes, I was. Later on, I started learning the glass business – estimating small jobs, residential, mirrors, shelf drawers and more. We moved into our present location in 1982. Throughout the years, I learned everything except the administration of the whole company and the books. We managed lots of projects from mom and pop stores all the way up to 14 story condos. What happened next? In 2000, I had been there 20 years. I didn’t see myself getting any higher up the ladder. That year, I decided to do something different – I guess it was a mid-life crisis. I decided I was going to do real estate. I went back to TSTC to get my real estate license. I got it and left the glass business in 2000 and went off to sell real estate. The first year was hard, the following year things were looking better. Then Claudio decided to sell the company. He comes into my office, but gave the listing to the broker, not me, so the broker lists the property and equipment, inventory. I actively started looking for a buyer. After awhile, my family and friends start- Several employees have been with Osvaldo Sosa (far right) since 2003 when he opened as Harlingen Glass & Mirror, including, L-R: David Vidales, Bene Diaz, Ray Soliz and Elena Huerta. ed saying, “You know the business, why don’t you buy it?” So I got some money together and made an offer. After some negotiating, we reached an agreement. On Dec. 31, 2002, we closed the deal and while we were in the process, I incorporated my own name: Harlingen Glass & Mirror Company Inc. I didn’t buy his company, just the real estate, furniture, inventory and a couple of jobs. Jan. 1, 2003 was the official first day of business. (Laughing) I like to tell people that because I was in the real estate business when I bought this company, I also made a commission on the side. Tell me about your family. I have four daughters, two biological, one adopted and one I raised – Sandra, Andrea, Veronica and Lizette. The oldest one is 44 and the youngest is 27. They were far enough apart in age that it wasn’t really a challenge raising four daughters. When they were growing up we used to go camping in the hill country and Big Bend, go to Schlitterbahn and go fishing down here. I have seven grandchildren, two girls and five boys. We get to see them about once a month. What do you do for fun? We like to travel around the state of Texas. We like to find spots off the beaten path, take detours and go to estate sales. We have a couple of houses full of things we have bought at estate sales. Not too long ago, we bought a second house in Arroyo, Texas. We furnished that with a lot of stuff from estate sales. When we decide to go, we just jump in the car and go. Take a week off and drive. Not long ago, we went up the coast. Places like Corpus Christi, Port Aransas, Rockport, Fulton and Gonzales. We took two ferries, one in Port Aransas and one in Galveston. We were surprised by the leaning trees in Rockport. We toured some old house. We also went to Goose Island to the “big tree.” We also like to take the train. A long time ago, we took a train trip in Mexico. Besides your stint in Illinois, have you ever traveled outside of Texas? When I was a teen, we would go up north and work the fields – Delaware, Michigan, Indiana, Illinois and California. I spent some time in a farming community named Wellesley, south of San Francisco and also in Pasadena, Calif. Tell me about your employees. We’ve enjoyed a lot of success. We’ve had a lot of repeat customers. Everything worked out smoothly for us. All of the employees stayed when I bought the company. Matter of fact, there are a handful that are still with me. We are currently at 16 employees. We do a company Christmas party every year and we give presents to each other’s kids. There is an incentive program for workplace safety that translates into a bonus right before Christmas. We strive for safety in the workplace. I tell my employees, “I’d rather share the money with you than the insurance company.” They help me maintain a good work environment here. They look forward to their bonus. How’s business? Our main business is commercial – schools, hospitals, banks, shopping centers – it’s about 90%. Auto glass, residential and over-the-counter sales make up the rest. This year and last year were a lot better, but still not back to pre-2008. We do have a backlog and some nice jobs coming up. One of our jobs was over a $1M project for us. We do work down here in the valley mostly, but sometimes travel to Laredo, San Antonio and Corpus Christi. We don’t advertise there, it’s mostly word of mouth from previous customers and general contractors we do business with. We don’t look for work outside of our area. Sometimes a GC will go up there - we’ll follow them or they take us with them. One of the successes we have had is working hand in hand with the general contractor to solve issues. If there is a problem, we don’t shy away from it - we go back and fix it. I learned that from the previous owner, Claudio, and its worked for us. –cw South Texas Construction News • Oct 2014 Page 5 Using key performance indicators to improve results Don’t be caught unaware! Liability insurance audit Byron Hebert, CPA, CTR Director Entrepreneurial Advisory PKF Houston, TX Ally Carter, Commercial Risk Management The Nitsche Group Austin, TX I f you are a football fan as I am, and if you are as old as I am, you may remember football games 35 years ago had only a few key indicators to track a team’s performance. Mostly the tracking consisted of the score at the end of each quarter. Maybe there was an occasional yards rushing statistic for a notable running back or quarterback. Then Monday Night Football was introduced to Howard Cosell. Howard was a New York lawyer who gained notoriety by announcing heavyweight boxing fights and more specifically interviews with Muhammad Ali. Not only was Howard controversial, he had numbers to back up his commentary. Today, you cannot watch a football game without being inundated with statistics about the individual players, the entire offense, defense, and special teams. One thing is for sure, the team with the best overall statistics wins the game. Business is much like the football team playing hard every Monday night to entertain while earning their paycheck. You can be sure they are tracking performance along with the media. You may have previously heard the phrase KPI. It stands for Key Performance Indicators. Every business and employee has KPIs. In the long run, the company that wins the game is the one which tracks and improves their KPIs on a regular basis. How do you start tracking KPIs in your business? The key is to focus on particular areas of concern. Try not to track too many indicators in the beginning. First, identify the area of your business that you feel has the most possibility for improvement; for example, marketing. Much like the football games years ago, you may only be tracking gross revenue each quarter. But what is that really telling you? How are you obtaining the growth you have seen or, more importantly, what is causing any decline? To answer that question, spend some time with your management team. Hold a brainstorming session and agree on the top two or three items contributing to your success or decline in sales. Some items you might identify are sales calls per day, phone calls per day, sales by region, etc. Once you agree on the KPIs to be tracked; you can determine who tracks the measurement and distributes the information on a daily or weekly basis. One of the limiting paradigms you need to discuss with your management team is the concept of revenue minus expenses equals profit. Obviously from a pure accounting standpoint this is the case. However, this concept is limiting and one dimensional. Discuss and enter- tain the concept of people times process equals profit. Now, consider the possibilities this concept presents to you. Sales now becomes a function of ydollars being derived from x-number of sales calls. Therefore, if x-number of sales calls produces y-dollars of sales then an increase of one more sales call per salesperson per day should produce what amount of additional sales per month? REVENUE – EXPENSES = PROFIT VS PEOPLE X PROCESS = PROFIT If sales is a function of x-number of customers being sold a product or service each month at an average price of y, then it would stand to reason the average price of y+$1 would produce how much more sales? I think you get the concept. KPIs will help you track and improve these types of concepts and will have a dramatic and instant impact on your business. As the owner/manager of your own business, there is a key benefit and incentive for you to start tracking your KPIs on a consistent basis. Over time you will be able to manage and predict your company’s financial performance by tracking the KPIs of your organization. Now imagine you are on the golf course, it’s Friday afternoon and you get an updated KPI report on your iPhone. You open it up and see that all of your KPIs are moving nicely in the right direction. It won’t bother you at all that you just put that brand new $4 golf ball in the middle of the lake! Based in Houston, PKF Texas CPAs and Advisors is dedicated to the growth of middle market construction companies and other service/product related businesses in the energy economy. Visit PKFTexas.com for more information. N obody likes to face unplanned expenses. And a liability premium audit can come as an expensive surprise, especially if you have not experienced one for several years. Many business owners are familiar with Workers Compensation premium audits, but may have forgotten that Liability Insurance can also be subject to audit. Although insurance companies have the right to conduct these audits annually, they may not go through the expense of an audit during times of economic down swings. As the economy recovers and business activity increases, insurance companies are more likely to exercise their right to do an annual liability premium audit. So it’s important to keep audits in mind, especially how they work, what you will need, and ways to avoid costly surprises. What policies are subject to premium audit? Commercial General Liability (CGL) coverage, either as a stand-alone policy or part of a Package policy, is subject to premium audit. A notable exception is the Business Owners Policy (BOP) which is generally not subject to audit. Your policy will declare in the “Conditions” if it is subject to premium audit. What is the purpose of a premium audit? The initial liability premium charged at the beginning of a policy term is a deposit only based on an estimate of the rating basis (usually total payroll or receipts/sales) for the current policy year. The insurance company may perform a premium audit to ensure that you only pay a premium based on your actual risk exposure. An accurate audit at the end of the policy term will adjust your final premium up or down when reconciled against the initial premium deposit. An expensive surprise to avoid! If it has been several years since your last liability premium audit, you may discover that you have been inadvertently under-reporting your rating basis (this is a very common occurrence when markets shift). That means you have enjoyed lower premiums for years, however a current audit may now create a large addition to your liability premium (for your policy term just ended – not prior years). What you can do to avoid surprises. Verify that your estimated rating basis (usually total payroll or sales/receipts) is what you anticipate for the year. If your estimate is too low, an audit will create an un-welcomed bill for additional premium. If your estimate is too high, then you will overpay the initial premium deposit and will have to wait until audit for a refund. At the beginning of your policy term, contact your agent to revise your estimate and adjust your initial premium deposit. Be sure to keep accurate records of the information needed to verify your rating basis. This will be invaluable at audit. Throughout the year, monitor your actual numbers in relation to what was estimated. If you are having a great year with higher payroll or gross sales than estimated, it would be wise to set aside money in anticipation of the audit premium that will be due. Subcontractors or Independent Contractors you hire in your operations need to provide you a Certificate of Liability Insurance as proof they are insured. Keep a detailed record of liability certificates on file for your audit. If you can’t provide this proof then they are assumed to be uninsured subs and become covered under your liability policy causing you to pay an additional premium. Contact your agent for advice during the year if you have a material change in your operations. A change in operations may increase or decrease liability risk and create new liability rating classifications and rates on your policy during audit. The Nitsche Group was created with the independent spirit of a small-town businessman in 1949. Then, known as the Hannes Insurance Agency, the company had only two employees at one location in Giddings, Texas. Today, we have more than 100 employees at nine locations across Texas to serve our ever-growing client base. Since joining the agency, Ally and her team have helped companies successfully design and introduce solutions to protect their business and bring greater profits through risk management and innovation. Ally Carter may be reached at (512)808-8106 or [email protected]. Page 6 South Texas Construction News • Oct 2014 OSHA recordkeeping updates Contractors beware: Special requirements for liens on residential homesteads Joann Natarajan Compliance Assistance Specialist OSHA Austin, TX Courtney Willis, President Willis Law, PLLC Addison, TX T exas lien laws provide contractors, subcontractors, and suppliers indispensable tools for getting paid for their work and materials. Lien requirements differ on commercial and residential projects, and liens on residential homestead projects have their own special rules. With the hot residential real estate market in many major Texas cities, renovation and remodeling projects are plentiful, and those involved should be familiar with the requirements for liens on residential and residential homestead projects. First, what’s a “homestead”? Basical- Subcontractors and suppliers on resly, a homestead is real estate that the idential projects must send their fund owner uses as a home. Texas homestead trapping notices to the owner and prime law gives the owner extra protection contractor by the 15th day of the second from creditor claims on the property, and month after the month they provided laimposes additional requirements on bor or materials. If the project is a homecontracts and liens for construction and stead, the notice must contain a statutorily required statement explaining that remodeling projects on the property. Two kinds of liens are available for the owner’s property may be subject to a construction projects in Texas: constitu- lien if the lien claimant is not paid, or if tional liens and statutory mechanic’s and the owner has not retained construction materialman’s liens. Prime contractors, funds. Consult your attorney for the spethose who contract directly with the cific language required for the notice owner, can claim both kinds of lien. Sub- statement. contractors and suppliers are limited to Residential lien affidavits must be filed no later than the 15th day of the statutory liens. On commercial projects and non- third month after the month in which the homestead residential projects, by law claimant provides labor or materials. In constitutional liens attach automatically. addition to the homestead constitutional However, on new-construction home- lien requirements discussed above, the stead projects, prime contractors must homestead mechanic’s lien affidavit meet several requirements to claim con- must conspicuously state at the top “NOstitutional liens. The requirements are TICE: THIS IS NOT A LIEN. THIS IS ONLY AN that prime contractors must have a writ- AFFIDAVIT CLAIMING A LIEN.” ten contract with the owner containing Lastly, the claimant has to provide all terms of their agreement executed notice to the owner (and prime contracbefore starting work or providing materi- tor if the claimant is a subcontractor or als. Additionally, the contract must supplier) within five days of filing the lien. signed by both spouses, if the owners are When starting new residential projects, married, and it must be filed with the contractors and suppliers of all sizes Clerk of the County of the project. should consider whether the job involves For constitutional liens on home- a homestead, and how their lien rights stead remodeling projects, the contract might be affected. Working with an atcannot be signed until the 5th day after torney can help contractors address the owner has applied for project financ- these issues, avoid pitfalls, and develop ing (if the owner is financing); it must al- procedures to ensure notices and affidalow the owner to opt out within three vits are properly drafted and timely filed. days of signing with no penalty; and it This brief overview is intended to merely must be signed at the office of the lend- underscore the special additional requirements for liens on residential homeer, an attorney, or a title company. Statutory mechanic’s liens are avail- stead projects, rather than to provide a able to prime contractors, subcontrac- general survey of all Texas lien law, or to tors, sub-subcontractors, and suppliers, provide specific legal advice. Every case and have the following basic require- is different. If you have questions relating ments. Parties other than the prime con- to a lien, you should contact an attorney tractor (subs, suppliers, etc.) must send who can advise you as to your specific “fund trapping” notices of their claims to situation. the prime contractor and owner. Addi- Willis Law, PLLC offers litigation and tionally, all lien claimants must file a consultation services on commercial and proper lien affidavit with the County residential construction matters stateClerk of the project county, and send a wide. Courtney Willis can be reached at proper notice of the filing of the affidavit (972) 481-1779, or at cwillis@willislawpllc. com. to the owner. Structural Steel Products Pipe, Tubing, Plate & Sheets Metal Building Materials Ornamental Iron & Accessories Cast Iron Spears Fittings Decorative Castings & Designs Toll Free Welders Welding Supplies & Accessories Fax Power Tools Abrasives Shop & Safety Supplies 2042 W. Thompson @ Port San Antonio Paint & Machinery San Antonio, TX 78226 Trailer Products Access Control Products Gate & Door Hardware Pipe Bollards Gate Operators–Farm/Ranch Precut – Painted Residential/Commercial 6-5/8” OD X .188 wall X 7 Ft 210.431.0088 800.725.4776 210.431.0701 www.sss-steel.com T he Occupational Safety and Health Administration’s revised recordkeeping rule includes two key changes: F irst, the rule updates the list of industries that are exempt from the requirement to routinely keep OSHA injury and illness records, due to relatively low occupational injury and illness rates. The previous list of industries was based on the old Standard Industrial Classification (SIC) system and injury and illness data from the Bureau of Labor Statistics (BLS). The new list of industries that are exempt from routinely keeping OSHA injury and illness records is based on the North American Industry Classification System (NAICS) and injury and illness data from the Bureau of Labor Statistics (BLS) from 2007, 2008, and 2009. Second, the rule expands the list of severe work-related injuries that all covered employers must report to OSHA. The revised rule retains the current requirement to report all work-related fatalities within 8 hours and adds the requirement to report all work-related inpatient hospitalizations, amputations and loss of an eye within 24 hours to OSHA. As of January 1, 2015, all employers must report 1. All work-related fatalities within 8 hours. 2. All work-related inpatient hospitalizations, all amputations and all losses of an eye within 24 hours. You can report to OSHA by 1. Calling OSHA’s free and confidential number at 1-800-321-OSHA (6742). 2. Calling your closest Area Office during normal business hours. 3. Using the new online form that will soon be available. Only fatalities occurring within 30 days of the work-related incident must be reported to OSHA. Further, for an in-patient hospitalization, amputation or loss of an eye, these incidents must be reported to OSHA only if they occur within 24 hours of the work-related incident. OSHA regulations require certain employers to routinely keep records of serious employee injuries and illnesses. However, there are two classes of employers that are partially exempt from routinely keeping records. First, employers with ten or fewer employees at all times during the previous calendar year are exempt from routinely keeping OSHA injury and illness records. Second, establishments in certain low-hazard industries are also exempt from routinely keeping OSHA injury and illness records. Since 1982, this list has been comprised of establishments in the divisions of retail trade; finance, insurance and real estate; and the service industry if the three year average lost workday case rate for their major industry group was 75 percent or less of the overall three year average of the lost workday case rate for private industry. OSHA’s revised recordkeeping regulation provides an updated list of low-hazard industries that are exempt from routinely keeping OSHA injury and illness records. The injury and illness rate threshold is based on more recent BLS data. [email protected] 512-374-0271 x232 Future is bright B rundage-Bone Concrete Pumping Inc., the largest concrete pumping service in the United States, recently selected Peninsula Pacific Strategic Partners LLC, a Los Angeles-based investment firm, as an outside investor. “During the restructuring of the company in 2010, a few of the lenders were awarded an equity position in the company,” says President Bruce F. Young. “The last step of our restructuring plan was to recapitalize the business and purchase the lenders equity position giving us a normal working relationship with our lenders. It was determined in September 2013 that the business was in a position to bring in an outside investor to partner with management to accomplish this.” Nearly 100 interested parties were evaluated before Young and CFO John Hudek selected Peninsula Pacific, which acquired the company as a whole and plans no changes to operations or staffing. Brundage-Bone management is part of the new ownership group. Peninsula Pacific consists of longterm investors targeting middle-market businesses with sustainable advantages in durable industries. “Peninsula Pacific is excited to partner with Bruce and the team at Brundage-Bone,” says Brent Stevens, chairman of Peninsula Pacific. “We look forward to supporting management’s growth strategy in the years to come.” Brundage-Bone continues to lead the industry in technology, customer service and safety. This commitment to being the best is what continues to spur its near constant growth, and as a result, Brundage-Bone is now a truly nation- Bruce Young wide company. In a relatively stable marketplace, business largely reflects two factors: the economy and service. While the national economy is out of their hands, BrundageBone considers customer service the backbone of its company and an aspect always worth improving. By building new relationships and retaining customers, Brundage-Bone grows where others might stall. “The team at Brundage-Bone has done a remarkable job over the last several years through very challenging times,” Young said. “The hard work and dedication of our team has positioned us for a strong future.” Brundage-Bone Concrete Pumping has an extensive network of locations across the country. –cw South Texas Construction News • Oct 2014 Fall into some redfish action by Capt. Steve Schultz Sponsored by: Premier Yamaha Boating Center, Majek Boats, E-Z Bel Construction, Power Pole Shallow Water Anchor, Aggregate Haulers, Interstate Batteries, Pure Fishing, Mirr-O-Lure and Columbia Sportswear. I t was an awesome feeling as I backed my Majek Extreme down the ramp early one morning last month. I had gotten the OK from my doctor to resume nor- Page 7 mal daily activities several days before and couldn’t wait to hit the water. The night before, I was excited and somewhat restless like a kid waiting for Christmas morning to arrive. Needless to say, I have missed fishing and being on the water most of this season, but most of all, I really missed being with my clients and friends. I’m looking forward to fishing the remainder of the fall season and can’t wait to get through this unfortunate 2014 year. As we get into October, the water is cooling off from the hot summer months. Redfish will start feeding heavily to fatten up for the winter that’s just around the corner. Most of the fish you will catch will be from 18 to 34 inches in length, but don’t count out hooking into some bull reds up in the 40-inch range. One reason the fishing in October is so good is there is just so much bait around. There are finger mullet, menhaden, shrimp and crabs, all of which are very appealing to reds. As the water gets colder, the bait will move out to the gulf waters and the redfish will follow suit. They will feed all they can in the bays before migrating to the gulf. You can catch redfish on artificial lures, live bait and cut bait. Berkley Gulp probably has caught more redfish since it came on the market than anything else. With the Gulp 3-inch shrimp you really can’t go wrong. I like using the new penny and pearl white colors, but there are several other colors that they have so you may find one that works better for you. Gulps also come in several other styles like the pogey, jerk shad, swimming mullet and a crab imitation. Topwater baits are the most exciting lures to catch redfish on, or any fish in my opinion. It’s some of the most explosive action when a 15lb redfish attacks a surface plug from below and produces a hole in the water the size of a No. 3 washtub. Heddon Spooks, MirrOlure Top Dogs and Rapala Skitter Walks are some of the best topwater plugs to throw. Color is probably not a big factor when throwing into a school of reds, as many of the strikes come from the action and noise the lures produce. They work best in calm, low light conditions and can be very effective at night. Redfish is the hardest fighting fish you will find in our bays and it’s a blast on light tackle, so get out there this fall and get some redfish action. I’m really looking forward to getting back on the water this fall and catching some of these schooling reds I’ve been talking about. I have plenty of openings for October and if the weather stays nice I will be fishing in November also, so pick up the phone and give me a call and let’s wet a line. I can be reached at 361-813-3716 or 361334-3105 or e-mail me at [email protected]. Good luck and good fishing. Page 8 South Texas Construction News • Oct 2014 Ken Milam’s Fishing Line Since 1981, Ken Milam has been guiding fishing trips for striped bass on Lake Buchanan in the Texas Hill Country,. You can hear Ken on radio on Saturday and Sunday mornings, 6-8 AM on AM 1300, The Zone – Austin, or http://www.am1300the zone.com Fall Fishing! O ctober in Texas means cooler weather, football, and archery season. While some people are getting wrapped up in fantasy football and the bow hunters are sitting in their tree stands, the diehard fishermen are enjoying some of the best fishing of the year. The fish are gorging on baitfish in preparation for winter. Some of my favorite top water patterns happen this time of the year. If you are a fly fishermann and you want to catch a striper, now is the time to do it. Although we do not currently offer fly fishing charters, all you need is a buddy with a boat and a pair of binoculars. If you are a kayak fisherman you can get in on the top water action too. When the water starts to cool down the stripers start to travel in larger schools working together to push bait schools into creeks or into the side of long points where they have little chance to escape, and then the feeding frenzy begins. I have seen schools of top water stripers covering close to three acres, and this year I think we will see this again. Believe me, when you see this happening you will know why it’s called a “feeding frenzy”. It will look like bowling balls falling from the sky and hitting the lake. With a keen eye you can spot the action of a feeding top water school several miles away. If you want to take your kids on a truly, memorable fishing trip there is nothing like watching 3-12 pound fish breaking the surface and splashing you in the boat. I know not everyone likes to chase stripers and I should help out the guys who chase largemouth, so here you go. This is the time of year when bass start gorging on shad to prepare for winter and eventually spawn. The trick to catching bass in the fall is to match the hatch. The shad have spawned out and hatched and the lakes are filled with millions of bite sized shad, 2-3” long, and this is what the bass are feeding on. This means it is time to pull out the shallow running crank baits and start fishing shallow flats and pockets along the windy side of the lake. There will always be those pesky cold fronts that come in and “ruin” the fishing, but if you take your time, pull out to deeper water you will likely find the baitfish along with the hungry bass. For this pattern I like a lipless crank bait or a Carolina rig to work submerged rock piles and ledges, and submerged timber. October in Texas means big fish caught on top water plugs, bucket mouth bass tail dancing with your favorite square billed crank bait in her lip, and of course spending time in the pasture. Don’t miss out on this awesome fishing and don’t forget to bring your kids and family along to make memories and carry on the tradition. Send in your photos and outdoor stories STEEL BAR GRATING Metelmex International We are your Steel Bar Grating Headquarters. We are the manufacturer so we can pass the savings on to you. We offer the following: Half or Full Day Fishing Trips Grating in 2’, 3’, 4’, 6’ lengths Ladders & Platforms Skids Stair Treads Cut to fit fabrication All products are bare or galvanized with serrated or smooth surface. Contact us at 210.390.1618 or 855-USGRATING Come by and visit us at 8799 Crownhill Blvd. San Antonio, Tx 78209 All Bait, Tackle & Equipment Furnished • • • • • Your catch Filleted and Bagged for You Furnish your TPWD Fishing License & Refreshments, and WE DO THE REST! Ken Milam Guide Service (325) 379-2051 www.striperfever.com South Texas Construction News • Oct 2014 Page 9 Empty-handed, but fun M Even though, we came home empty-handed, we still had a great time. The two-and-a-half hour trip back to port was not quite as delightful, as most were worn out from sun, fun and fishing. The cabin was full of people sleeping. –cw y husband Jay Hutchison and I took an anniversary trip to Port Aransas in early September and boarded the Wharf Cat, hoping to stock the freezer. Traditional gifts for a 12th anniversary are listed as linen and silk. Linen and silk? Honestly, I couldn’t think of a single item that my Texas guy would like from those materials. Suddenly, I started thinking of things made of silk and came up with the idea of fishing line. Sure enough, there’s actually a product out there called “IronSilk” fishing line. After finding that, I hit on the idea of a coastal getaway. The day of the fishing trip was beautiful, calm winds and blue sky. After a delightful two-and-a-half hour trip out into the gulf, we joined about 20 other people by casting our lines into the sea. As is usual, I out fished my husband, hauling in four beautiful red snapper, which unfortunately I had to throw back since the season had just ended. Other folks on board were luckier. One woman caught two nice King Mackeral and someone else caught an Amberjack. Construction News managing editor Cyndi Wright on the trip out. The wind farms in Taft are so close to the road you feel like you could reach out and touch one of these giants. * The wind kicked up so much on the way out, a deckhand clambered up to the crow’s nest to release the flapping flags. On the way out into federal waters, it looked like we were heading straight into a squall. Submitted to Construction News Celebrating summer Testengeer Engineering Services employee recreation group, TERA, had many employees and their families join in the annual summer trip o Fiesta, Texas in July. The annual summer trip is the biggest event, with 164 attending this year. –cw Page 10 H South Texas Construction News • Oct 2014 HOLT CAT® celebrates grand opening OLT CAT® celebrated a grand opening in Aug. for its new 47,000sf, full-service facility at 10701 US 281 North in Edinburg, TX. The new location expands the company’s presence in Hidalgo County, which currently includes a HOLT Truck Center. The addition of a full-service store will help HOLT continue its strong commitment to serving the communities and businesses of South Texas and the Rio Grande Valley, where HOLT has been a dealer for more than 80 years. “The new Edinburg location is going to make it even easier for our customers operating in the Rio Grande Valley to have convenient access to the heavy equipment products and services they need,” said Dave Harris, HOLT CAT general manager. “It fills in a gap in the mar- ketplace – we bring a unique mix of capabilities customers simply can’t get anywhere else, including the most extensive express parts system in Texas and also the best-trained technicians. Local and state dignitaries attended the grand opening event, joining HOLT CAT® senior executives including CEO Peter M. Holt. Army First Class Sergeant Dana Bowman, a former U.S. Army Golden Knight who is a double-amputee and a wounded warrior advocate, performed a skydiving show at the event. HOLT employs more than 350 veterans, approximately 17 percent of its workforce, and is dedicated to actively expanding job opportunities for those who have served in the armed forces. The new store will feature a full range HOLT CAT® employees unfurl an American flag prior to th grand opening and ribbon cutting. of offerings to serve a variety of customer needs across the construction, oil and gas and paving industries: everything from Cat machine sales, rentals, parts and service to comprehensive rebuild capabilities and custom product fabrication. –cw Construction News ON LOCATION Lights on Priscilla Camareleno mans the front desk at 3-G Electric Co. in Beevile. The company handles residential and commercial needs. –cw STEVE SCHULTZ OUTDOORS, LLC BAFFIN BAY LAGUNA MADRE LAND CUT SPECKLED TROUT REDFISH FLOUNDER FISHING AND HUNTING TRIPS (361) 949-7359 www.baffinbaycharters.com steveschultzoutdoors@ gmail.com U.S. Coast Guard & Texas Parks and Wildlife Licensed South Texas Construction News • Oct 2014 Page 11 Specialty Contractors The marriage of drywall and technology Michael Soreno, President Baker Triangle San Antonio, TX M ichael Sireno, president of Baker Triangle’s San Antonio office, recites a quote he’s tired of hearing. “’It’s not rocket science!’” he says. “If I had a nickel for every time I have heard that about drywall, I could probably buy my own rocket!” While he admits it’s not rocket science, Sireno notes that the drywall industry is utilizing advances in technology to improve the way jobs get done. When Sireno started in construction 32 years ago, there was little to no technology involved. Everything was done off blueprints on the jobsite. He remembers having pagers and being paged when the office was informed of changes, then having to make a phone call to the office so they could track down the details of the change. “There was always a big lag time on the information getting to the jobsites from the architect to the GCs, from the GCs to the subs, and subs out into the field,” he recalls. “A lot of times we were building something and had to go back in and tear it out and redo it the way they wanted it to be built after the changes.” Today, Baker’s foremen carry iPads, allowing them to open electronic drawings anywhere on the jobsite. Since the plans are updated in real time, the crew can get answers on the spot with the most current set of drawings and specifications via software and cloud programs. “We are also using BIM and scheduling software to aid in construction planning and identifying problem areas well in advance of when the crews will be working there,” he explains. “The use of BIM [Building Information Modeling] has helped us to implement some of the ‘Lean Principles’ into our projects and use pre-fabrication to save time on the project and to eliminate waste. “Materials can be ordered to size and fabricated at our warehouse without any of the regular jobsite disruptions. Then, Proposed silica rule hugely expensive to industry Marc Ramsey, Director of Communications American Subcontractors Association Alexandria, VA A fter nearly a year of review and study, on Aug. 18, the Construction Industry Safety Coalition (CISC) filed its final post-hearing brief on the U.S. OSHA’s Proposed Rule on Occupational Exposure to Crystalline Silica. Released by OSHA on Aug. 23, 2013, the proposed rule “seeks to lower worker exposure to crystalline silica,” a natural occurring component of soil, sand, granite and other minerals. Many common construction operations in dozens of specialty trade activities involve silica, including those that cut, grind, crush or drill materials that contain silica, such as concrete, masonry, tile or rock. In its final comments to OSHA, CISC reemphasized its pre-hearing written comments and testimony and presented its final economic analysis. Specifically, CISC said: • OSHA has not identified all of the con- struction tasks and worker job categories that would be affected by the proposed rule, nor has OSHA addressed the omitted tasks and job categories in the technological and economic feasibility analyses. • OSHA has no justification in assuming for all construction worker exposure samples of less than full-shift duration that sampled workers have no exposure for the unsampled remainder of their shift. • OSHA’s analysis does not consider the broad range of tasks and variety of settings and environments in which construction work occurs. the pre-fabricated pieces can be shipped to the project and installed by a smaller crew in a shorter amount of time than traditional construction methods.” The move towards this more technological approach to the planning stage started in the office with electronic drawings and estimating software, he says, noting that now technology is being put to use in the field as well. Sireno learned how to do take offs and price all his jobs by hand, and the first few times he used the estimating software, he did it by hand just to double check the computer to make sure all its calculations were correct. Then, he grew to trust it and could perform checks to make sure everything looked right. When asked about any potential drawbacks to the integration of this technology into their daily operations, Sireno points out one disadvantage in this area. “You’ll see some estimators that if the power goes out, they don’t know how to put a bid together,” he says. “When we train estimators here, we’ll have them price jobs out by hand the old-fashioned way just so if there’s ever an issue, we can actually do that. “Plus, if you ever get a glitch in the computer, if you don’t know how something should look or the way the pricing works, you don’t really have a way to check it. If you understand it, I think it gives you a better edge when you’re actually putting things together and not just relying on the computer to do it all the time.” He adds that trying to stay current with the frequent updates to the software can present a challenge as well. However, he emphasizes that Baker embraces the technology side of the business. They were an early adopter of BIM technology, forming their BIM department about seven years ago. Also, the scheduling software allows them to look ahead at the general contractor’s schedule and use it on their side to calculate how many men they will need on a job for each activity. Sireno points out that a lot of technological advances are starting to be used throughout the construction industry. He adds that a large part of why they use the technology is due to the shortage of skilled workers that is presenting an industry-wide problem right now. He observes that no matter how much technology can help with managing the workload efficiently, they still need people out in the field installing drywall and working on projects. “Construction is one of the largest industries in our country and can be very rewarding,” he says. “And while it may not be rocket science, we build the facilities where the rockets are designed, the schools that educate the rocket scientists, the places of worship and the cities that we all live in.” –mh • OSHA’s assumption about compliance on multiemployer worksites does not account for exposure effects. • OSHA’s assessment of each of the individual construction tasks analyzed failed to consider the broad range of exposures and even if it had done so, did not demonstrate conclusively that a permissible exposure level (PEL) of 50 μg/m3 (micrograms of silica per cubic meter of air) could be met in most operations most of the time. CISC’s economic analysis demonstrates that OSHA grossly underestimated the costs that the construction industry will incur to comply with the proposal. CISC estimates that “compliance with OSHA’s proposed standard would cost the construction industry nearly $3.9 billion per year, nearly eight times larger than OSHA’s estimate.” The American Subcontractors Association (ASA) is a founding member of CISC, which has been an active participant throughout OSHA’s rulemaking process. In its own comments, ASA joined CISC in requesting that OSHA withdraw the proposed rule and offered to engage in a dialogue with OSHA regarding what would be an appropriate approach to dealing with the hazards of silica on construction worksites. ASA Chief Advocacy Officer E. Colette Nelson concluded, “After thoroughly reviewing the rulemaking record developed by OSHA, ASA continues to believe that the Agency has not met its burden with respect to the rule and the construction industry and should withdraw the proposal.” In its comments filed on Feb. 8, ASA told OSHA, “ASA believes that the proposed rule, as it would apply to employers in the construction industry, is so fundamentally flawed that it cannot be remedied through the current rulemaking process.” Under OSHA’s proposed rule, a construction employer would have to measure and keep records of the amount of respirable crystalline silica that its workers are exposed to if it may be at or above 25 μg/m3 (micrograms of silica per cubic meter of air), averaged over an eighthour day. An employer would have to protect its workers if the exposure is above a permissive exposure level (PEL) of 50 μg/m3, averaged over an eighthour day. –cw NEXT MONTH November 2014 Support Your Industry’s Feature Issue Architecture and Engineering 2014 Schedule Jan: Construction Forecast Feb: Construction Safety Mar: Construction Education Call for Ad Space Reservations Apr:Women in Construction May:Concrete Industry Jun: HVAC & Plumbing • • • • San Antonio Austin • Houston Dallas/Fort Worth South Texas July:Electrical Industry Aug:Service Providers Sep: Green Building Trends (210) 308-5800 Oct: Specialty Contractors Nov: Architecture & Engineering Dec: Construction Equipment Page 12 South Texas Construction News • Oct 2014 Hear the region roar Industry FOLKS Michael Hernandez Rodman Bullseye Surveying Co. H e’s a fulltime member of Bullseye Surveying Company in Corpus Christi, but rodman Michael Hernandez also has another gig. You can find him most Thursday through Sunday nights banging his drums in the John Eric band. Hernandez’s musical talent runs in his blood, with many members of his family also inclined. His mother has skill in many instruments and his brother, John Eric, for whom the band is named, is the lead singer. “Music runs all up and down our family,” he says. The John Eric band, which calls its genre ‘Texas Country’, has enjoyed immense success, having a few songs hit the Texas music chart, especially their hit “Johnnie Walker and Me.” “We had a couple of songs do really well down here, but ‘Johnnie’ did a lot for us,” Hernandez says. “Even still, when we play San Antonio or anywhere in Central Texas, we still get requests for ‘Johnnie’.” The epitome of a traveling band, the group plays all over Texas, recently performing in Dallas and then Matagorda. Formerly, Hernandez played fulltime with the Oso Texas band, but found himself with spare time during the week. “My aunt and godmother [Bullseye owner Noella Garza] needed a rodman,” Hernandez explains. “I got my training on the job.” He started out on an as-needed basis, but transitioned to full time in December 2013. He is enthusiastic about his job. “I hooked up with a couple of really good party chiefs [crew leaders],” Hernandez says. “They took me under their wing and have been teaching me everything I need to learn. Really, everyone here is really cool.” As a rodman and instrument man, Hernandez spends the majority of his working day outside. He says there are tricks to working in the heat. “You acclimate to it,” he says. “You get used to it and stay as hydrated as possible.” Other good ideas are sunscreen and long sleeves. “Once you start sweating, that long-sleeved shirt gets wet and when there is a breeze, it cools you down,” he explains. “It also helps with thorns and stinging things. It works, I promise you.” Hernandez started playing the drums at age 11, just a few years before he met the love of his life, Debra. The two have been married for 23 years. And yes, there are musically-inclined children, including Jon, 21, a nursing school student who plays the drums, and daughters, Patricia, 19, who is in college and studying to be a court reporter and Alyssa, 17, a high school senior. Both girls play cello and violin. –cw NAWIC Region 7 members attended the 59th annual national conference in Indianapolis. T he National Association of Women in Construction (NAWIC) held its 59th annual Meeting and Education Conference Sep. 3-7 in Indianapolis, IN. Members attended from all over Region 7, which is comprised of the Austin, Corpus Christi, Dallas, Fort Worth, Houston, San Antonio, Tulsa and Waco chapters. Region 7 chapters and members took home several awards at the awards gala on Sep. 6, including the National Membership Award, PR & Marketing Social Media Award, NAWIC Education Foundation (NEF) Fundraising Champions and the National WIC Week Award. Additionally, Judy DeWeese, San Antonio Chapter member, received the Lifetime Achievement Award, and Francine Hawkins, Dallas Chapter president for 2013-2014, received the Executive Spotlight Award. Serving as national president 20112012, DeWeese has also served as national vice president, national secretary, Region 7 director and San Antonio Chapter president. She currently serves as Region 7 Parliamentarian. Now, at this year’s conference, another Region 7 member, Sandy Field from the Houston Chapter, has been installed as the national president for 2014-2015. –mh Sandy Field, a long-time member of the Houston Chapter, was installed as 2014-2015 NAWIC national president. Judy DeWeese, center, a member of the San Antonio Chapter and past national president, received the Lifetime Achievement Award. Submitted to Construction News Hoorah! Construction News marketing guru Kent Gerstner and his wife, Claudia Gerstner, submitted this proud photo of his stepdaughter, Zully Andrade, who started Basic Training at Fort Jackson, SC and her military career during Labor Day week. Andrade will be a Water Treatment Specialist in the U.S. Army. Please send your proud military moments to Cyndi@ constructionnews.net for inclusion in the paper. –cw South Texas Construction News • Oct 2014 Page 13 Association Calendar Salsa through summer Content submitted by Associations to Construction News ACCA Coastal Bend AIA - Laredo Air Conditioning Contractors of Amer. American Institute of Architects Oct. 10: Noon monthly meeting, Hi-Ho Restaurant, 5703 Morgan, Corpus Christi. RSVP to [email protected] Oct. 4: Second annual Shoot ‘N Cook at South Texas Shooting Complex. Sporting clays and barbecue competition. AGC South Texas NAWIC - Corpus Christi Associated General Contractors Nat’l Assn. of Women in Construction Oct. 23: Fall mixer AIA - Corpus Christi American Institute of Architects Sep. 21: Chapter meetings at Water Street Seafood Company, 309 N. Water St. Corpus Christi. 5:30pm social, 6pm meeting/presentation. A ssociated General Contractors South Texas Chapter (AGC) beat the “Summertime Blues” at the AGC Salsa Showdown & Margarita Shoot Out in Aug. –cw Winners Margaritas: 1st place - STBP Inc., Keith Webster 2nd place - ThyssenKrupp Elevator, Kristin Fletcher Keith Webster, 1st place Margarita Lynn Camacho and Debbie Schibi Salsa: 1st place - Allison Flooring America, Karen Saulus 2nd place - AGC South Texas, Debbie Schibi 3rd place - STBP Inc., Juanita Hernandez Oct. 21: Business meeting, public welcome, the BBQ Man Restaurant, 5:30pm networking, 6pm meeting. Program TBA, $20. Contact Vickie Thompson, 361-299-6278 or 361-4380593. In attendance Up and coming Representing National Women in Construction’s (NAWIC) Corpus Christi Chapter at the recent national convention were, L-R: Teresa Salmans-Smith, United Rentals, and Miki Haas, director Region 5. –cw Tipping the scales O n Sept. 14, the Associated General Contractors Young Contractors Council (AGC) held their very first YCC mixer. Executive director Debbie Schibi had a desire to provide professional development for young industry professionals in the South Texas Chapter area. Conversation started with the board of directors in late 2013 and was introduced in Jan. 2014. Since that time, the YCC has developed a committee and celebrated their first event at the Executive Rio Grande Steel, Sweepstakes he Rio Grande Valley Chapter Associated General Contractors (AGC) held their 29th annual Fishing Tournament Aug. 16 on South Padre Island. There were 101 registered anglers this year. The meal and awards ceremony were held at Tequila Sunset. T Redfish Men: 1st: Martin Torres 2nd Juan Saenz 3rd Ted Veneccia Women: 1st Amanda Parra Sweepstakes 1st place boat: Rio Grande Steel – Kino Flores Jr., Juan Saenz, Ted Veneccia, Ruben Reyes, Martin Torres 2nd: Eberle Materials Inc. – Ted Sunderland, Julian Lopez 3rd: GP7 Construction LLC – Jamie Parra Jr., Amanda Parra Trout Men: 1st: Juan Gonzalez 2nd: Martin Torresd 3rd: Juan Saenz Women: 1st: Amanda Parra 2nd: Rhonda Garza Tournament results Grand Champ Men: Martin Torres, Rio Grande Steel Ltd. Grand Champ Woman: Amanda Parra, GP7 Construction LLC Flounder Men: 1st: Martin Torres Heaviest Redfish: 1st – Juan Saenz; 2nd – Jaime Parra Heaviest Trout: 1st – Martin Torres; 2nd: Ted Sunderland Surf Club with great attendance and enthusiasm. Mike Munoz, Beecroft Construction, is the committee chair and opened the event with a moment of silence in honor of those who lost their lives 13 years ago on Sept. 11. The Committee plans on participating in community service by offering their skills and abilities to support the community’s needs. –cw Page 14 South Texas Construction News • Oct 2014 What would your personalized license plate say? CHILLOUT! John Schneidawind, Director Public Affairs and Media Relations The American Institute of Architects GALnPAL (Gal in Pal: I’m a gal, living in Palacios) Joni Brown, Executive Director Safety Council of the Tx Mid Coast Inc. I’ve actually thought about this before and I can never think of anything, other than that my truck’s name is Earl, and I’d probably just have them say EARL. Lol Felicia Hajek, ABC-TCB JELLO - 1 Brian Medina, 4-Star Hose & Supply DAVID David Vasquez, 4-Star Hose & Supply YRUBSN Tim Thomason, Appleman Design I didn’t get a personalized one, but I got a special one that supports the Texas State Parks and it has a tent on it for camping! If only they’d had one with a kayak on it. Debbie Wertheim, Epicoty/Activant POLO, for obvious reasons. Marco Palacios, CACI International I wouldn’t get one. Nor would I get a tattoo. I can’t think of anything that enduring that I feel compelled to share with the general public. G.A. Lewis, retired Can barely afford my standard plates. No personalized plates for me, they get enough of my money. Sharla Feller, self employed MZAMERICA (just kidding!) Cyndi Wright, editor, Construction News Submitted to Construction News Installed and ready to serve continued from Page 1 — Not to ‘Pharr’ to rent Weslaco and putting on a feast for subcontractors at a job sight. Cavazos started out working the counter as inside sales, but was soon moved to outside sales – a position he says he enjoys. There are three other outside salesman, as well, who travel to job sights, offices and have one-on-one meetings with customers. The store covers the entire Rio Grande Valley and employees are happy about the recent opening of a new office in Corpus Christi. “We are so far down here in South Texas,” Cavazos says. “Delivery drivers could take a whole day to make a delivery – three hours there and three hours back. The Corpus location will get more of the oilfield work.” BlueLine Rental offers a comprehensive line of essential equipment for the construction, commercial and industrial markets, as well as an extensive line of Volvo compact excavators, compactors, wheel loaders, backhoe loaders, compaction equipment, and skid steer loaders. –cw continued from Page 1 — Electric birthday “We are slowly getting back to that point,” Gerdes said. “We don’t have idle time.” Part of that count includes his son, Michael, just an infant when his parents moved to the Rio Grande Valley and now serving as vice president and general manager. “My role here is to be an advisor and as support to him,” Gerdes says. Additionally, two grandsons are working their way up the company ladder: Derek is in estimating and marketing and David works in the service department and in the field. There is a daughter as well, Faith, who worked in the company at one time but now lives in Austin. According to Gerdes, his vision back in the early ‘70s was to run a successful business with repeat customers. “I wanted to become known – as we are now known – as the preferred electrical contractor,” he says. “All that has played out perfectly. We have many clients who will not use anyone else.” Customer service is the top priority for Metro Electric, where jobs can run into the millions of dollars. “Many people can do electrical work,” Gerdes says. “We put our customers in the top and first place. Customers are number one - without them, there is no business. It’s the most important thing in our world.” –cw continued from Page 1 — Investing in the future American Institute of Architects Corpus Christi Chapter (AIA) elected their officers for the 2014-15 year on Sep. 16 at their monthly meeting. L-R: Jacqueline Carlson, AIA, Del Mar College, president; Connie Rivera, A.I.A, TSA Director; Ira Freeman, AIA, Freeman Architecture Studio, president-elect 2015; and Kyle Miller, Assoc. AIA, Turner, Ramirez Architects, director. Not pictured: Jennifer Hilliard, AIA, WKMC Architects, treasurer; Josh Seahorn, AIA, Dykema Architects, secretary; Eric Rivera, AIA, Naismith Engineering Inc., director; Jorge Ollervides, Int’l Assoc. AIA, Fulton Construction, intern director; and Mitch Sanchez, Assoc. AIA, Naismith Engineering Inc., director Inside the building, bright and cheery rooms await the kids. gles, exterior stucco finish, interior wall finish of gypsum board – taped, floated and textured, suspended acoustical ceilings and V.C.T. flooring. “Since this project was in the Texas Department of Insurance Inland 1 zone, exterior building components and equipment were required to meet TDI testing specifications and inspected by a TDI approved windstorm engineer,” Kopecky adds. The 10,296-sf new construction daycare is adjacent to the church. The building is designed for pre-school and younger students with capacities of each room and staffing ratios as set by the State of Texas for licensed day care centers. The facility is a new, free-standing one story structure. “The owners of the project were some of the best you could ask for. There were several weeks that the church staff or parishioners would make sweets for the crews on the jobsite, making for more than a little jealous KJM office staff,” Kopecky laughs. “The children from the daycare would draw pictures and write thank you notes for the superintendent and subcontractors and tape them up on the walls in the new building. Upon move-in day into the new facility, the church’s members came in full force to help move all of the furniture, books and supplies into the building. This project all around is the definition of a team effort.” KJM Commercial, Inc. was founded in 2002 and in less than a year had quickly grown to be one of the most competitive construction firms in South Texas. Chris Hamilton became a partner with the firm a year later, and brought senior level project management experience and an extensive municipal, school and large-scale construction background to KJM. Over the years, KJM has branched out into new territories and currently is building throughout the State of Texas. –cw South Texas Construction News • Oct 2014 Page 15 All in the family Job Sights A family vacation takes a turn towards the cool side. L-R: Jared, Steven, Tim, Thomas, Mary and Madeline A1 Quality Plumbing Services in Houston sent Robert Torres, Adolpho Ramirez and Oscar Losa to work on the new Hampton Inn under construction in Kennedy. –cw A lthough Steve Garza started his career in the counseling business, finances dictated finding something that would pay the bills. So, in 2011, Garza and his wife, Mary Parra Garza opened the doors to GP7 Construction LLC. Garza actually obtained a Master’s degree in counseling and practiced for a few years. He went to Pan Am University on a baseball scholarship after graduating from Falfurrias High School. When he left the counseling field, he became a salesman for CAPA (concrete, asphalt, pipe and aggregate) in Brownsville. He was there for 15 years before branching out on his own. The couple met at an Associated General Contractors (AGC) officer installation event. “I met her through a good friend, Edward Moreno, who is actually her cousin,” Garza said. “Now he is my superintendent.” Mary Garza comes from a family that developed a furniture and loan business in Brownsville. She is now president of Parra Furniture and Parra Loan companies, as well as being the accountant for GP7 Construction. “She is the business side of things,” Steve Garza said. Business has been good for GP7, Garza says, with the normal ups and downs and learning curves. The company is currently working on two Walmart stores. There are nine employees. “We are the only ones who do utility work and we also do erection of buildings,” Garza said. “We are very versatile.” Between them, the couple has five children and that’s where the company’s name comes from: G for Garza, P for Parra and 7 for 5 kids and Steve and Mary. “The company philosophy is simple: Do it once,” Garza says. GP7 Construction handles utlity work, building erection, underground work, commercial construction and highway and road work, among others. –cw Want Reprints? Full Color, Press Quality Digital Reprints available on any item in Construction News – $42 includes tax Jose Resaluto (in cab), Antonio Hernandez, Ariel Nudarete and James Stranacher with AngelBrothers Paving and Utility Contractors of Baytown are working in the summer heat to help widen lanes on U.S. 181. –cw Perfect for framing in the office, a promo item, for the website or as a gift. Digital Press Quality PDF is emailed to you. Print as many as you like. Can also be printed by any graphics service provider, on any paper selection, size, or finish. To request a reprint . . . • Email to: [email protected] • Indicate you would like to purchase a reprint, and a credit card form will be emailed for you to complete and return. If you have any questions, contact the SA home office at (210) 308-5800 G&G Electric’s Joe Moreno, Jerry DeLaRosa and Juan Moreno measure a pipe for a new shopping center in Beeville. –cw Page 16 South Texas Construction News • Oct 2014 More than just a name T he message on my office phone quickly got my attention. On the other end was a sweet voice telling me how she was looking for the parents of Army Staff Sergeant Clayton Bowen. I could tell she was a little uneasy not knowing how I might react to her call. She explained how her daughter, 10-year-old Isabella, took to the pitching mound for her softball team last season, wearing the name of Clay Bowen on the back of her jersey. They now wanted to present the jersey to my wife, Reesa, and me. A call back to Vanessa Mitchell and one to Reesa led to a meeting date at their home in New Braunfels and the start of finding out how this group, The Texas Bombers, had chosen to honor our fallen heroes. So here we were meeting with the Mitchell’s - Bella, Vanessa (mother), Jason (father), Eva (2nd daughter) as well as Coach Scott Smith just a short time after the 5th-year anniversary of Clay’s death in Afghanistan. We were anxious to hear their story and to understand how all this got started. The New Braunfels-based nonprofit Junior Olympic softball organization has chosen to honor soldiers, such as Clay, who have fallen in combat. Grouped from ages 10 to 17, each young woman on 25 different Texas Bomber teams across North, Central, East, South Texas and Houston divisions wears the name of a different soldier. Scott Smith, president of the organization and coach of the 18 and under Gold team, has been in the Army for 23 years. He was inspired to take on the initiative because he felt that some people have become numb and forgotten since we’ve been at war so long. So, he found a way to educate the kids about those fighting for our country and honor their memories. “We want our kids to enjoy the jersey that they put on every time, and we felt like that would be a neat way to bring awareness to the individuals who have fallen in service to our country, and then at the same time, give them an opportunity to honor that individual,” explains Smith. “That’s how it came about, and then it just kind of took off.” Smith’s team designed the jerseys they wore this first season of the initiative, and they placed the name of a fallen soldier from each player’s area on their jersey. When Smith’s team walked into the ballpark for the Ronald McDonald Tournament in Houston, he was overwhelmed by the response they received from the mothers who were crying, to the umpires who were stopping games to inquire about the jerseys. Generating quite an amount of emotion and interest, Smith challenged players to find out about the person whose name they wore onto the field. “ W e wanted then, at the end of the season, for the player to be able to give that jersey to the family of the individual they wore and say, I wore this in honor of your loved one,” he says, noting that he wanted the gift of the jersey to be a surprise once they had located a family member or loved one. A surprise it was and our meeting that day became emotional at times for all of us and required a few pauses from time to time. As Bella stood proudly with Coach Smith as she presented the jersey to Reesa, I wondered to myself what this 10-year-old girl thought about all of this. So many kids today do not understand the sacrifices made by many for them. But with a mentor like Coach Smith and the type of parents she has, Bella and her sister Eva will grow up knowing the importance of it all. “We’re able to show the girls that it’s not just about playing a game; it’s about an organization that respects and honors soldiers,” Vanessa says, holding back tears. “And I think it helps the girls realize look up Clay and found facts and information about him. Quiet and off to the side sister Eva, an 8-year old destined to be a great catcher, looked on. We said our goodbyes to our new friends with the promise to come see Miss Bella pitch a game this season. I wonder who she will honor this year? The Bombers just started the new 2015 season and the jerseys will be military-themed – Marine Corps, Navy, Air Force, Army, and “4 the Fallen,” with whom the Bombers have partnered as the fast pitch arm to their slow pitch softball side of it. – bd/mh To the players, coaches, moms and dads of the Texas Bombers: “I am so honored that this family went so out of their way to try to find me and Buddy. This is not an easy task, to find Isabella (Bella) Mitchell, Coach Smith, a fallen soldier’s family, as this and Reesa Doebbler information is not given out. how lucky they are to play a game that By googling, they found us via Constructhey love, because of individuals who tion News on the internet,” said Reesa fight for us every day. We’re very grateful Doebbler we were able to wear the jerseys.” Buddy and Reesa Doebbler “It makes me proud to be a part of this organization,” said Jason. “This organization is a step above and we walk it like we talk it. Just very proud. “They are all tasked to learn something here. Softball is a game but this is real life.” Bella was a little interview shy this day. She did tell us she used Google to Drilling deeper Alamo Crane is equipped to handle any petroleum related work in the Eagle Ford Shale. Loading coil tubing onto coil trailer in South Texas Large & Sons drilling at the Refinery Terminal Fire Company's training facility with a live fire drill in the background. W From El Paso to Beaumont, Amarillo to Brownsville 35 Years of Service to Texas www.alamocrane.com San Antonio (210) 344-7370 Austin (512) 282-6866 Toll Free (800) 880-0134 hen McKinney Drilling Company bought Large & Sons in Corpus Christi in 1995, Lawrence Wilcox came on as general manager. Prior to that, his career was in architectural drafting and estimating. He says when Large & Sons was offered for sale, he was tempted to buy it, but realized it was a lot of debt for a young professional. Now, he thinks he made the right decision. Large & Sons was founded in the mid-1960s and taken over by sons, John and Terry Large, who ran it until 1994 when it was bought by McKinney. “Since the company had a real good reputation, they kept the name,” Wilcox says. In Corpus Christi, there are about 30 employees. As is the case with many construction companies in South Texas, Large & Sons competes with – and loses to – the oilfields for employees. “Six years ago, we paid higher than average,” he says. “The second the oilfield got big, we are not even close. You can’t outspend oil money.” Predictions have the Eagle Ford Shale going for many years to come, but Wilcox remembers what the oil crash of the 1980s did to the workforce. “When the crash happened in oil in the 80s, all those guys turned to construction,” he says. “There were too many workers, so the pay was low.” So, he says, the oilfield boom of today is good in some ways. “There is a bright side to it,” he predicts. “It will raise what people are making in construction.” Wilcox says the company focuses on safety at all times and has had a previous year of no recordables. He handed out gifts and gift cards at a recent meeting to reward employees for their diligence. Other employee perks are company trips to watch the Hooks, a minor league baseball team of the Texas League, fishing trips and other association events. Large & Sons is a foundation drilling contractor. –cw