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The Value of a Gift
D
oes anyone remember holiday seasons? The creepy Halloween costumes and haunted houses gave way to turkey dinners and tales of the Mayflower. And only after we gorged ourselves on cranberry sauce and sweet potatoes did we pay any attention to the notion of Christmas. Those days are history. Even as early as October, the major retailers already have begun planting the seeds of Christmas. What begins as a simple aisle of evergreen will soon explode into an all out assault on the senses with flashing lights, singing reindeer novelties, cinnamon fragrance or anything else to prey upon our winter consumer impulses. While many of us will succumb to these frivolous temptations, what would be worse is waiting until the last minute. Last-minute shoppers are bad gift givers. Everyone has one in their family, and they are remembered for the neverused appliances, pre-owned DVDs and stale popcorn. It’s okay because they are family, and we love them regardless. Unconditional love, however, is not reserved for companies in the hearts of clients and employees. This is why we need to start thinking about the holiday season today. A well planned gift can help retain existing clients and employees, but a poorly planned gift may have the opposite effect.
CORPORATE HEADQUARTERS 1330 Arrowhead Court Crown Point, IN 46307 Publisher/Editor Andrea M. Pearman andrea@buildingindiananews.com Director of Advertising Liza Hilliard liza@buildingindiananews.com Senior Writer Adam Madison adam@buildingindiananews.com Creative Director Jen Labriola jen@buildingindiananews.com Special Projects Coordinator Amber Price amber@buildingindiananews.com Accounting Jennifer Kasza jennifer@buildingindiananews.com
The price of the item in question also is a critical factor to consider because the recipient will equate the cost of the item to the amount of value placed on the relationship. Consider your best employee or most reliable customer. Are they worth more than a stale tin of caramel popcorn? How about an expensive bottle of wine? A Kindle Fire?
Office Manager Carrie Sovola carrie@buildingindiananews.com
It’s also important to get to know the recipient and use commonsense before presenting the gift. Caramel popcorn is not for a diabetic. And wine is not for recovering alcoholics. Poorly planned gifts are disastrous and could potentially define your company as careless or thoughtless, despite its best intentions.
Indianapolis Office Business Development Manager Lee Ann Richardson leeann@buildingindiananews.com 888.226.0330
Warsaw Office Business Development Manager Julie Monteith julie@buildingindiananews.com 888.226.0330
This is why we have dedicated this issue’s marketing department on the subject. Author Betanda Schalasky is the Diversifed Marketing Strategies marketing queen, who has 25 years of experience helping her make the right decisions. The column can be found on page 66 and is a worthy reading investment for generous business owners. Kind Regards,
Building Indiana News is published by Diversified Marketing Strategies
Andrea M. Pearman Publisher Visit us at 3dms.com Subscriptions: Standard rates: $25.95/year Single copy price: $6.95 2006 Communicator Awards’ Award of Distinction 2009 Communicator Awards’ Award of Excellence 2011 Communicator Awards’ Award of Distinction
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Copyright ©2011 Building Indiana News is published six times a year. Address correspondence to: 1330 Arrowhead Court, Crown Point, IN 46307. Publisher reserves the right to accept or reject any editorial or advertising matter. Publisher assumes no responsibility for return of unsolicited manuscripts or art. No part of this publication may be reprinted or otherwise duplicated without the written permission of the publisher. For general reprint information, contact Building Indiana News at andrea@buildingindiananews.com. All opinions and views are solely those of the participants or editors and are not necessarily the views of magazine sponsors.
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Contents S E P T/O C T
04 Publisher’s Desk 08 Contributors 09 Business Buzz 26 People News E X P E R T A DV I C E
30 State of the Industry
DE P A R T M E N T S
48
44
RULE OF LAW A Foreign Affair
52
Construction
Mission to Move
54
60
Safety Zone Behavioral-based Safety System Auditing
Bottom Line The Cost to Build a House
PHOTO FEATURE The Big Schmooze
38
Being Productive Diverse Portfolios
Porter hospital
Pride in our Workmanship
REAL ESTATE Rebuild: From the Inside Out
Care in our Stewardship
Worker’s Comp Right to Dispute
62
The Creative Workplace
your well-being
66
Lifelong Learning
68
Green & Sustainable
Watch Out!
Making It
70 Marketing
42
72 Economic Development
44
Willkommen
Small Business Spotlight Prescription for Success Cover Story
Economy Builders
46
FACTS & STATS Construction Statistics
68
Time to Give
Southern Hospitality
74 Last Word
Full Circle
40 Mass Production
Trust in our Relationships
River Revenue
64
28
Determination in our Commitment to Safety
62 Construction
36
F E AT U R E S
Milton-Madison Bridge Crossing Boundaries
34
CONSTRUCTION
56 LOGISTICS
Talking Discipline
FOUNDATION STONES
2012
EVE R Y I S S U E
32
THE AMERICAN GROUP OF CONSTRUCTORS
Price Relief
“A sure foundation inspires confidence, encourages creative thinking, and enables us all to achieve wonderful things...”
Phone: 877-937-1508 | Fax: 219-937-1512 www.tagconstructors.com
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Contributors
Dana Rifai
Dana Rifai is an attorney at Burke Costanza & Carberry in Merrillville where she is a member of the Business and Personal Services Group. She counsels clients in business, estate planning, probate and family law. She initiated the firm’s immigration practice and has been successful in assisting clients with visa and naturalization applications.
Dana grew up in Valparaiso and received an honors academic scholarship from Indiana University Purdue University. She received her law degree from Valparaiso Law School and served as member of the civil law clinic. Shannon Posey Shannon Posey is corporate health and safety director for CertifiedSafety. He has more than 17 years of experience directing health and safety management at the corporate, project, and plant levels for industrial construction, energy, environmental and industrial service companies. He has designed, developed and implemented advanced safety and health management systems and programs for national and international projects. Posey is responsible for the management and
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direction of health, safety and environmental policies for all aspects of CertifiedSafety’s business. He has a bachelor’s degree in environmental science and chemistry and has held licenses/certifications through the Board of Environmental Auditor Certifications and the Board of Certified Safety Professionals. Mary Kay Gaboyan Mary Kay Gaboyan is the mortgage sales manager and vice president for Horizon Bank. She is responsible for managing the Mortgage Loan Officers for northern Indiana and Michigan. Gaboyan previously has 19 years mortgage banking experience and is involved with the American Heart Association’s “Go Red for Women.” Steve Martin Steve Martin is a publicist in the Department of Marketing and Communications at the Purdue Research Foundation. The mission of the Purdue Research Foundation is to advance Purdue University’s quest for preeminence in discovery, learning and engagement through effective stewardship of assets. Dewey Pearman Dewey Pearman serves as executive director for the Construction Advancement Foundation. He has a master’s in economics from Indiana State University. The foundation promotes the union construction industry of northwest Indiana by helping to enhance its efficiency and competitiveness via labor relations and government management, education, training, safety and workforce development.
Betanda Schalasky Betanda Schalasky is the marketing queen for Diversified Marketing Strategies. She provides unique and customized promotional items for companies in every industry. Laura Musall Laura Musall is a Fishers-based writer and public relations consultant who works with Indiana architects and the American Institute of Architects Indianapolis. The Indiana chapter of the American Institute of Architects is a nonprofit professional association representing the interests of and providing services to nearly 700 architects and affiliated design professionals. Ken Simonson Kenneth D. Simonson has been chief economist for the Associated General Contractors of America, a national construction trade association since 2001. He provides insight into the economy and what it implies for construction and related industries through frequent media interviews, presentations and The Data DIGest, his weekly one-page e-newsletter. Ken has 35 years of experience analyzing, advocating and communicating about economic and tax issues. Before joining AGC, he was senior economic advisor in the U.S. Small Business Administration’s Office of Advocacy. Earlier, he was vice president and chief economist for the American Trucking Associations. He also worked with the President’s Commission on Industrial Competitiveness, the U.S. Chamber of Commerce, the Federal Home Loan Bank Board and an economic consulting firm. Correction: Deann Patena is director of sales and marketing for Radisson Hotel at Star Plaza. www.buildingindiananews.com
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Liza Hillard Liza Hillard is an advertising and marketing specialist with Diversified Marketing Strategies. She is a Crown Point native and graduate of Valparaiso University with bachelor’s degree in physical education, health, Spanish and education.
Online Communities Bring an Audience
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f you’re planning industry-wide conferences, tradeshows or business event, proper utilization of social media will maximize attendance and expedite the process. At least 300 million people are connected via Facebook. For most of the population, it’s an easy way to retain connections with friends we would have forgotten years ago if their pictures didn’t greet us every time we checked our statuses. We now have instant access to every person of significance throughout the course of our lives. Now imagine you wrote an article for a newspaper. A simple cut and paste would alert every one of these people, which would make for a very happy editor when everyone clicked through and praised the content. A similar phenomenon occurs when planning events. Remember how easy it was for the coordinator of the high-school reunion to track you down? Everyone is connected. Tracking down clients, industry leaders and business owners can be just as easy to find. The trick is to build a professional Facebook page, where colleagues and like-minded professionals can congregate. Most municipalities maintain their own pages, which helps when planning city events. The same is true for trade associations hosting seminars and workshops. Twitter also connects people with common grounds, but announcing an event here is more like shouting into a crowded room. Active LinkedIn users already have their professional contacts listed for them, and this medium should be utilized. A downside to social media is it www.buildingindiananews.com
only alerts people that already know of your existence. Facebook does provide phenomenal advertising opportunities that can break down populations into precise demographics, but you better be willing to pay for it. A more cost-effective strategy is to post your event on Web calendars. The Web users that click-through to these sites enter through Google, as they specifically search for topics related to that business community. Others keep these pages bookmarked and consult them month after month when planning their work schedules. Often they are region specific. For instance, most northwest Indiana events can be found at Nwibusinessevents.com. These events offer great opportunities for networking, fundraising and learning. Often times, entertainment opportunities along with gourmet dinners and cocktail hours are conveniently worked into the programs. The many awards programs also offer recognition to the peers and coworkers that deserve attention. “If it were not for events such as these, our organization would not be nearly as successful,” says President of United Way of Porter County Sharon Kish. “Events like The Big Schmooze help us build connections with the people that
continuously dedicate their time and money to help charitable organizations such as ours. They also are perfect for fundraisers and building awareness.” Kish says she always pays close attention to online calendars when planning her schedule for the year. She also relies on them for advertising her own events such as charitable golf outings and marathons. Nwibusinessevents.com is one of her best options. “Not only is it a quick and easy reference point, there are so many other hidden perks, Kish says. “By securing a calendar listing on Nwibusinessevents. com, companies also are securing print coverage in Building Indiana magazine and several spots on the Web that can all link back to our company Web site.” The introductory rate is only $25 for individual events. This deal also secures placement in the magazine’s calendar ad, biweekly event-ticker e-mail blasts and flyers that circulate the business community. Placement also is guaranteed at Buildingindiananews.com and Thinkdiversified.com. This rate, however, increases to $100 per event on Jan. 1, 2013. 9
Influential Women Make Donation Influential Women of Northwest Indiana donated $10,000 to the United Ways of Lake and Porter counties and their partner agencies, capping an energetic season for the region’s premier women’s organization. The donation marked a 25 percent increase over last year’s contribution, totaling nearly $20,000 over the past two years. This year, the United Ways of Lake and Porter counties each accepted a $5,000 check, and immediately gave $2,500 to each of the four chosen nonprofits for this year’s donation: Visiting Nurse Association of Porter County, Boys & Girls Clubs of Northwest Indiana, Catholic Charities of the Diocese of Gary and Housing Opportunities. Representatives from each of the organizations accepted the donations, which will impact the communities of northwest Indiana. Sponsors for the event included presenting sponsors: Franciscan Alliance, United Way and NIPSCO; platinum sponsor: Diversified Marketing Strategies; gold sponsors: Building Indiana News, Century 21 Executive Realty Dawn Collins, Schepel Auto Group and the Post-Tribune; silver sponsors: Community Healthcare System–Community Foundation of Northwest
Jasper County Airport Earns Grant A federal grant from the Federal Aviation Administration was awarded to the Jasper County Airport to improve the airport’s drainage system. Jasper County Airport Authority President Andrew Andree explained that the federal dollars will allow the Jasper County Airport Authority to improve the drainage system surrounding existing facilities. Without upgrades to the existing drainage system, future work on the airport such as expanding or moving the hangars, runways, or terminals, would be impossible. This award totals $150,000.
Hotels Make Gains in July The South Shore Convention and Visitors Authority received the Smith Travel Research report for the month of July, showing an increase in occupancy over last year as well as above the national average. Lake County experienced a seven percent increase in hotel occupancy in July over last year. Porter County experienced a 12 percent increase, and LaPorte
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Starke County Welcomes Bioscience Company The Starke County Economic Development Foundation announced that Kemin, a global bioscience company, has chosen the Starke County community of North Judson as the location for a new facility that will process a proprietary variety of spearmint with both flavoring and preservation properties for health, food, companion animal, and personal care industries. Kemin began working with North Judson mint farmers in 2010 to design and construct a 7,000-square-foot manufacturing facility that Kemin uses to process its proprietary spearmint. Kemin has eight local employees at the factory and has entered into an agreement to grow and harvest Kemin spearmint.
Hammond Trails Taking Shape
Insurance
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County experienced a three percent increase over last year. The authority believes a large part of the increase is due to sporting events brought to the area. During the month of July, the National Softball Association Girls Fast Pitch “B” World Series had games in all three counties, booking more than 4,000 rooms in five counties and three states. NSA opening ceremonies had an estimated 10,000 attendees and 7,500 players, fans and families watching the games. Rooms booked during this event had an economic impact of $1.1 million and generated more than $400,000 in hotel revenue.
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Northwest
Indiana and U.S. Steel; bronze sponsors: Hinshaw & Culbertson, Berglund Construction, The Moran Group, Fair Oaks Farms, Kvaerner North American Construction, Barney Enterprises Management Services and Komyatte & Casbon, P.C.; bar sponsors: Centier Bank, Krieg Devault, Construction Advancement Foundation, Hoeppner Wagner & Evans and Horizon Bank.
Work has begun on Wolf Lake South Park Trail in Hammond, which will complete the 129th Street project. It will tie into an expansion of the network of shoreline trails in northwest Indiana and serve as the entrance to Wolf Lake Memorial Park. Work now is three quarters complete and is scheduled to be finished by November. The two trails will stretch for more than a mile and connect to the Forsythe Park Trail in Hammond and the Lake George Trail, which runs to the Lakefront Park in Whiting via the newly opened pedestrian bridge spanning Indianapolis Boulevard. www.buildingindiananews.com
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Healthcare Company Planned for Gary Positron Corp., a molecular imaging healthcare company, received approval of a pledge resolution for $15 million in tax increment financing bonds from Gary’s redevelopment commission towards the development of Positron’s 70 MeV cyclotron project. The city will assist in sourcing the appropriate allocation of New Market Tax Credits that could cover approximately $15 million, or 33 percent, of the estimated total development costs for the project. Positron seeks to raise approximately $65 million for this project through a combination of debt, equity and incentives. Positron’s development plans are expected to create more than 50 permanent jobs in Gary over the next five years. These jobs are a combination of highly skilled scientific and technical
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positions, as well as production, manufacturing, maintenance, security, shipping and receiving positions. The company estimates the development of the facility will create 100-150 construction jobs during the project.
South Shore Gets Green The Northern Indiana Commuter Transportation District entered a partnership with Northern Indiana Public Service Company to power 41 daily trains with wind and solar energy resources. To assure the electricity used by the South Shore Line to power its train system can be attributed to renewable energy, NIPSCO has purchased renewable energy certificates for the train system. The certificates are the environmental attributes that are derived when electricity is generated from renewable and/or environmentally friendly sources. There is no cost increase to riders, the South Shore Line or NIPSCO customers. These certificates will be certified through Green-e, a recognized national organization that ensures they are created from the proper sources and are properly claimed. NIPSCO purchased the certificates for a six-week period from July 16 through Aug. 30.
Staffing Company Makes Acquisition Peoplelink Staffing Solutions acquired Hamilton Personnel of Buena Vista, Va., a professional contingent staffing company. The purchase will serve Peoplelink’s customers in the Buena
Vista, Lexington, Augusta County and Roanoke marketplace. Peoplelink operates an office in that market and will consolidate the Hamilton branch into their current operation. For daily news from northwest Indiana and around the state, visit our blog at www.buildingindianablog.com and follow us on Twitter @BuildingIndiana.
Northeast Patrick Industries Expands in Kosciusko County Patrick Industries, a manufacturer and distributor of building and component products for recreational vehicles, manufactured housing and industrial markets, plans to expand operations at its AIA Countertops division in Syracuse, creating up to 65 new jobs by 2014. The company plans to invest up to $3 million to purchase, renovate and equip a 142,000-square-foot facility. New manufacturing equipment will be installed to support additional product lines including new granite and quartz counter top fabricating lines. The AIA Countertops division, which currently has approximately 175 full-time employees in Syracuse, has been and expects to continue hiring additional manufacturing and production associates in conjunction with its growth needs. The Indiana Economic Development Corp. offered Patrick Industries up to $325,000 in conditional tax credits based on the company’s job creation plans. These tax credits are performance-based, meaning until Hoosiers are hired, the company is not eligible to claim incentives. The town of Syracuse approved additional property tax abatement at the request of the Kosciusko Economic Development Corp.
University Breaks Enrollment Record The University of Saint Francis’ recent enrollment elevates this year’s number of students to the largest in the school’s his12
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tory. The university is welcoming 2,366 students this fall. The sustained growth from last year’s 2,350 enrollment is attributed to financial aid packages to direct out-of-high-school students, retention initiatives and the launch of adult learning options offered through a new Virtual Campus. A new policy to provide financial aid to 100 percent of first-time, full-time undergraduate applicants attracted a higher number of high-school students. This year, the university will award an estimated $13.5 million in institutional aid, according to the Financial Aid Office. In 2011-2012, average tuition after university, state and federal gift aid was $9,814 for full-time undergraduates—a figure competitive with public institutions. USF expects enrollment to increase with new affordable and flexible adult learning programs offered online through a newly formed Virtual Campus. The eight-week accelerated course format is designed with the working adult in mind. Two fully online degrees—the 12-month Master of Business Administration and
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In addition to improving connectivity between business districts, recreational areas and communities, the trail projects also provide needed construction jobs to the region. Walsh & Kelly is responsible for the $580,268 129th Street trail, Hasse Construction built the $4 million pedestrian bridge and Dyer Construction of Dyer was awarded the contract for the $1 million Wolf Lake South Park Trail. All three projects were designed by SEH of Indiana. Remaining work on the 129th Street trail includes crossing mats and rail replacement at a railroad crossing, landscaping, and bench and bike rack installation.
the 12-month Registered Nurse to Bachelor of Science in Nursing—have attracted a total of 35 students in this introductory term.
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Allen County recently was awarded an economic expansion grant that is expected to create 400 jobs. R3 Composites Corp. plans to invest $4 million in the project and under the grant program is expected to have more than $330,000 reimbursed over five years. The Journal Gazette reports that 75 percent of the grant will be covered by the city and the county will pick up the rest. A joint initiative by Steel Dynamics and copper producer La Farga is expected to receive more than $100,000 over seven years under the same program. That $36 million project in New Haven is expected to involve 35 jobs.
Companies Turn Garbage to Gas Waste Management of Indiana, Wabash Valley Power Association and Hendricks Power Cooperative recently dedicated a renewable energy generation facility that uses gas from landfill waste to generate electricity. This follows the fourth landfill gas-to-energy plant at the Twin Bridges Recycling and Disposal Facility. With the addition of the 3.2 megawatts of power from Twin Bridges IV, the site now generates enough electricity to power approximately 14,000 homes. Twin Bridges IV represents Wabash Valley Power’s 14th landfill gas-to-energy facility, each of which is located throughout the northern half of Indiana on landfills owned by Waste Management. Through an exclusive partnership, Wabash Valley Power owns the power plants, while Waste Management of Indiana supplies the landfill gas and serves as the plant operator. Fuel for the Twin Bridges landfill gas-to-energy facility is derived from wastes buried in the landfill, which generate methane gas. A network of recovery wells and pipes control and collect the methane and convey it to an on-site power plant. There the gas is condensed, purified and used as fuel to drive engines that, in turn, drive electricity generators. The engines used in this process are manufactured by Caterpillar, Inc. at its Lafayette Engine Center. At Twin Bridges IV, two 20-cylinder engines burn landfill gas (methane), each of which generates 1.6 megawatts of electricity. The facility is designed to be scalable, with the ability to grow to four engines as the landfill’s gas generation increases in future years.
Columbus Manufacturer Expands Master Power Transmission, a manufacturer of industrial gearboxes, will expand its operations in Columbus, creating up to 48 new jobs by 2016. The Greenville, S.C.-based company will invest $3.6 million to renovate and equip an additional 30,000 square feet of production area in its current 220,000-squarefoot facility. As part of a series of initiatives, Master PT has purchased new manufacturing equipment to support additional product expansion. Master PT, which currently has 56 full-time employees in Columbus, has already begun hiring new machinist and manufacturing associates.
SBA Offers Disaster Loans The U.S. Small Business Administration announced that federal economic injury disaster loans are available to small businesses, small agricultural cooperatives, small businesses engaged in aquaculture and most private non-profit organizations of all sizes located in Elkhart, LaGrange, St. Joseph and Steuben counties in Indiana as a result of drought that began
on July 17. The program is available to eligible farm-related and nonfarm-related entities that suffered financial losses as a direct result of this disaster. With the exception of aquaculture enterprises, SBA cannot provide disaster loans to agricultural producers, farmers, or ranchers. Nurseries are eligible to apply for economic injury disaster loans for losses caused by drought conditions. Loan amounts can be up to $2 million, with interest rates of three percent for non-profit organizations and four percent for small businesses. Terms can be up to 30 years. The SBA determines eligibility based on the size of the applicant, type of activity and its financial resources. The agency sets loan amounts and terms based on each applicant’s financial condition. These working capital loans may be used to pay fixed debts, payroll, accounts payable, and other bills that could have been paid had the disaster not occurred. The loans are not intended to replace lost sales or profits.
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Allen County Gets Grant
In concert with the Northeast Indiana Regional Partnership, the Whitley County Economic Development Corp. now plans to conduct an intensive outreach effort to establish a new concentration of packaging capabilities to support the array of full-service medical and other manufacturing companies.
JCR Automation Buys New Haven Building JCR Automation announced plans to purchase an existing building in New Haven. The facility will be expanded an additional 9,000-square-feet for manufacturing and warehouse space. Its current location will relocate to the new site upon its
WCEDC Targets Medical Packaging Following the completion of industry market research, the Whitley County Economic Development Corp. launched an intensive and targeted initiative to attract and develop a new medical-focused packaging concentration for the region. Whitley County is well-positioned for the development of a medical device and disposable-centered packaging concentration. All of the strategic elements—$8 billion worth of nearby medical device manufacturing operations, a state-of-the-art sterilization facility, strategic logistics capacity and location, an experienced workforce and packaging-ready facilities and expertise—are already in place to build a profitable and growing packaging concentration.
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If you require more information or would like to speak with us directly, please feel free to contact BCRC at anytime.
Fort Wayne International Airport is the first airport in Indiana to receive a federal grant dedicated to improving air quality and reducing aircraft emissions. The Federal Aviation Administration’s Voluntary Airport Low Emission grant allows airports to invest in low-emission vehicles, major infrastructure enhancements, and other air quality improvements. Officials at the airport plan to use the grant to improve the electrical capacity of the terminal, enabling the installation of pre-conditioned air units on passenger loading bridges. The new units will remove the need to use an aircraft’s auxiliary power unit or other ground support equipment and allow aircraft to connect to the terminal building’s cleaner, centralized heating and cooling system. In completing the $1 million electrification project, aircraft emissions will be significantly reduced and the airport will lead the state in progressive and innovative airport infrastructure.
construction. Construction is expected to take about 18 months, making the academic center ready to open in January 2015. The 60,000-square-foot building will be constructed north of the Wilfred Uytengsu Sr. Center on the Fort Wayne campus. It will have an academic wing and a library wing, joined at a rotunda area with a multi-flex auditorium and theater.
RV Company Buys Lighting Company Patrick Industries acquired the business and certain assets of Elkhart-based Gustafson Lighting, a manufacturer and distributor of interior and exterior lighting products, ceiling fans and accessories including glass and glass pads, hardware and lampshades for the RV industry. Patrick Industries estimates Gustafson’s annualized 2012 revenues to be approximately $12 million. Gustafson marks Patrick’s fifth acquisition since June 2011. The business will continue to operate on a stand-alone basis under the Gustafson brand name in its current facility in Elkhart. The purchase price for the assets including the building approximates $2.8 million. The acquisition was funded under the Patrick Industries revolving credit facility and was completed pursuant to a foreclosure and private sale under the Uniform Commercial Code with Capital Source Finance.
Chinese Company Moves to Columbus
BCRC is very passionate about what we do. Our services promote the well-being and safety of employees in the workplace. Empowering our members with information is just one way BCRC does this. It is our purpose to provide a vehicle to help establish and maintain a workplace free of the destructive effects caused by the use of drugs and alcohol.
Fort Wayne Airport Earns Federal Grant
Sunjoy USA, a subsidiary of Sunjoy (Fujian) Power Machinery of China, will open its first U.S. operation in Columbus. Sunjoy is a manufacturer and exporter specializing in gasoline and diesel generator sets. The Columbus facility will initially serve the company’s marketing and sales efforts in the United States, followed by logistics and subassembly operations, as its U.S. business grows. Sunjoy plans to hire a sales executive and assistant. For its initial operations, Sunjoy will co-locate at the LHP Techtop building in the Woodside Northwest Industrial Park. Sunjoy has a long relationship with Techtop’s parent company, Techtop Shanghai, which opened its local operations in 2008 as a joint venture with local Columbus firm, LHP Technologies.
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New Facility Moves to LaGrange Spectrum Finishing is expanding its facilities in LaGrange County following a tax abatement program that was secured through the Town of LaGrange and the LaGrange County Economic Development Corp. The tax abatement was requested by M&E Investments, representing Spectrum Finishing, and the LaGrange County Economic Development Corp. It was approved unanimously by the Town of LaGrange. The abatement is for a period of 10 years and is for the addition of a 9,000-suare-foot building, valued at approximately $260,000. The expansion will allow the company greater flexibility with their distribution and logistics operations, which has been taxed with the growth of the furniture industry in LaGrange County and the region. In addition to 10 new jobs being created, an additional 33 jobs will be retained, bringing their total employment to at least 43 employees.
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completion. This relocation and expansion will add four full-time employees to its existing staff of 16. JCR Automation is involved with various industries but focuses on its continuous process product line for the high-speed progressive die stamping industry. The company also has a solid reputation for custom automation, test equipment, and vision system inspection integration. This recent investment will allow JCR Automation to increase its manufacturing capabilities. JCR Automation plans to invest $200,000 in the new facility and $300,000 in new equipment. The Allen County Council will be asked to consider phasing in real and personal property taxes associated with the project. JCR Automation could save approximately $15,013 while still paying over $37,471 in local property tax over five years.
Fort Wayne Company Gets Military Contract ITT Exelis has been awarded a Rapid Equipping Force contract to provide Mission Command On the Move (MCOTM) systems for the U.S. Army 2nd Infantry Division in South Korea. Called Global Network on the Move-Active Distribution, or
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Indiana Tech Plans Academic Center
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Indiana Tech is planning construction of a new academic center in Fort Wayne to accommodate growth in enrollment and expansion of degree programs. The estimated cost of the project is $15 million, and the university has a goal of raising half that total before starting www.buildingindiananews.com
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a field service representative and integration support. For daily news from northeast Indiana and around the state, visit our blog atwww.buildingindianablog.com and follow us on Twitter @BuildingIndiana.
Central Drug Breakthrough in West Lafayette Biopharmaceutical company Endocyte in West Lafayette is developing targeted small molecule drug conjugates (SMDCs) and companion imaging diagnostics for personalized therapy. The company utilizes a SMDC targeted to the folate receptor that may provide a promising treatment for patients with autosomal-dominant polycystic kidney disease. In a mouse model of polycystic kidney disease, treatment with a folate-conjugated form of rapamycin, FC-rapa, strongly attenuated proliferation and growth of renal cysts and preserved renal function. The results were published online ahead of print in the Journal of the American Society of Nephrology and will be available in print in the October issue.
Digonex Gets U of W Contract Indianapolis software developer Digonex’s Sports & Entertainment Analytical Ticketing System, an automated, dynamic pricing system for event ticketing will be used by the University of Washington. The Huskies will use the system to analyze ticket sales and buying patterns to set single game ticket prices during the men’s basketball season. The school hopes to implement the pricing solution at Husky Stadium in 2013 when the football team returns following renovations. The University of Washington has traditionally used a tiered-pricing structure, which does not always take into account the numerous factors that can affect demand for tickets like team performance, league position, opponent, scheduling, econometric and behavioral factors. Prices will vary for single game tickets based on those and other influences. 18
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Indianapolis Manufacturer Serves Volvo EnerDel, an Indianapolis-based manufacturer of lithium-ion batteries and energy storage systems, received a second supply order from Volvo Car Corp. to manufacture its 24 kWh, lithium-ion battery pack to power Volvo’s C30 electric car. EnerDel was initially selected by Volvo as its battery supplier for the Volvo C30 Electric in September 2009 when the car was announced as part of Volvo’s “Drive-E Towards Zero” strategy. EnerDel will start manufacturing the additional multi-milliondollar order at the beginning of September with an expected final delivery slated for 2013. The split-pack design (tunnel and tank) that EnerDel designed, with integration support from Volvo’s engineering team, will again be manufactured to Volvo’s exacting specifications.
DNR Aquires Parke Property The Department of Natural Resources’ Healthy Rivers Initiative acquired 100 acres. The forested parcel features white oaks, tulip poplars, and northern hemlock trees uncommon in Indiana. Some are reported to be 200 years old. The site also features steep, variable topography and bluffs overlooking the creek. The acquisition is the most recent achievement for HRI. Gov. Mitch Daniels launched the program in 2010 to secure permanent conservation protection of nearly 70,000 acres along Sugar Creek, the Wabash River and the Muscatatuck River. To date, almost 30,000 acres have been protected. The Parke County purchase was made with Wildlife and Sport Fish Restoration Funds. Thus far, Indiana has received more than $230 million in WSFR funds for land acquisition, fish and wildlife management, and public access.
Greens go Online Green Bean Delivery, an online home delivery service that provides organic produce and natural groceries to its members, is expanding services to greater Muncie. The company is the Midwest’s most extensive network of farmers and artisans with organic and sustainable practices. Green Bean Delivery was founded in 2007 by husband and wife team Matt Ewer and Elizabeth Blessing who designed their company to make organic produce and natural groceries convenient, affordable and accessible to Midwest communities. Focused on home delivery, the company distributes organic, local and sustainably grown foods directly to consumers’ doorsteps.
High-Tech Center Opens in Indy Appirio, a technology-enabled cloud service provider, plans to open a new office and cloud computing development center in Indianapolis, creating up to 300 high-wage jobs by 2015. The San Francisco-based company, with offices in Europe and Asia Pacific, plans to invest more than $2 million to grow its team and presence in Indianapolis including leasing, renovating and equipping 12,500 square feet of space in the Pan American Office www.buildingindiananews.com
BUSINESS BUZZ
GNOMAD, the system provides broadband, on-the-move, satellite connectivity through the integration of several commercial-off-the-shelf products. It delivers a modular communications system to extend network connectivity to the lowest possible echelon on the battlefield. The contract award is in support of the unit’s operational needs statement that required a MCOTM system to support contingency missions in South Korea. Exelis also provided GNOMAD systems for the 4th Infantry Division while it was deployed to Iraq in 2011. The systems being delivered will have the same configuration as those used in Network Integration Exercise 12.1 at Fort Bliss, Texas, and White Sands Missile Range, N.M., that hosted mission command applications such as Command Post of the Future. The new systems will first be used in an upcoming exercise in South Korea and then, pending Army and unit approval, remain in country with the 2nd Infantry Division. Under the contract, Exelis will provide the GNOMAD systems,
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Dow AgroSciences Develop Genetic Tools Dow AgroSciences in Indianapolis entered a research collaboration with the Victoria Department of Primary Industries to develop novel plant genetics tools designed to increase crop performance. Under the agreement, Dow AgroSciences will work with the Department of Primary Industries through its commercial arm, Agriculture Victoria Services to apply transformational technologies for developing elite crop varieties. The collaboration
BUSINESS BUZZ
builds upon the current research and development program in plant genomics between DPI and Dow AgroSciences, initiated in 2009, aimed at developing new crop varieties with improved productivity, agronomic and product quality traits. Dow AgroSciences’ decision to further its investment in Victoria confirmed the world-class standing of DPI’s scientists and research infrastructure. The research program would be based at DPI’s research facilities at Horsham and the new $230 million center for AgriBiosciences currently under construction at Bundoora.
Packaging Company Grows Royal Box Group, a manufacturer and distributor of packaging and display products, will expand operations in Greenfield, creating up to 32 new jobs by 2017. The company, which currently has 16 locations across the country, will invest more than $3.8 million to construct and equip a new manufacturing facility. As part of the project, the company will purchase new manufacturing machinery and information technology equipment for the 47,000-square-foot expansion, with construction and new hiring expected to commence before the end of the year. The company, which currently has more than 35 full-time employees in Greenfield, plans to begin hiring additional manufacturing and sales associates later this year.
Indiana Business Climate Applauded Indiana was ranked as the best place to do business in the Midwest and the fifth best nationwide in the Pollina Corporate Top 10 Pro-Business States for 2012 study, co-published with the American Economic Development Institute. This is the fourth ranking in less than a year in which the Hoosier state’s business climate scored a top-ten national finish. The study, now in its ninth year, is based on 32 factors controlled by state government including taxes, human resources, education, energy costs, infrastructure spending, workers compensation laws, economic incentive programs and state economic development efforts. Indiana’s ranking in the report has moved up 18 places since 2010, earning it the title of “most improved state” this year. Indiana’s 5th place ranking makes it the only Midwest state and the only northern state in the publication’s top-ten. Among neighboring states, Kentucky ranked 28th, Ohio ranked 20th and Michigan ranked.
Inc. Names Fast Growing Companies Professional SEO and inbound marketing firm Slingshot SEO, and Cicero-based innovative senior living developer Mainstreet Property Group have again been named two of the country’s fastest growing private companies by Inc. magazine. Founded in 2006 by three friends from Zionsville, Slingshot SEO’s No. 136 rank was based on its three-year revenue growth rate of 2,391.1 percent with 2011 revenues of $10.9 million. This 20
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is the second year that Slingshot SEO was ranked on the list. Last year, they were ranked No. 58. Other Indiana companies named on the 2012 Inc. 500 Fastest Growing Companies list include Onsite OHS (Princeton – No. 101); Day Online Solutions (New Albany – No. 176); Livin’ Lite Recreational Vehicles (Wakarusa – No. 202); StrataShops (Elkhart – No. 326); and Stonegate Mortgage (Fishers – No. 478). ranked 48th.
Credit Union Breaks Ground Local Brownsburg residents will soon see construction on a new Indiana Members Credit Union branch. Indiana Members Credit Union in central Indiana breaking ground on its first branch in Brownsburg. The project will become IMCU’s 24th location. IMCU expects to open the branch in early 2013. The full-service branch will include a drive thru and a surcharge-free Alliance One ATM. The credit union provides consumer products and services including checking, various consumer loans and mortgage lending products as well as commercial lending products and services. For daily news from central Indiana and around the state, visit our blog at www. buildingindianablog.com and follow us on Twitter @BuildingIndiana.
South IU’s Hoosiers Secure Stadium Naming Rights The Indiana Hoosiers and its athletic multimedia rights holder, Indiana University Sports Properties, announced that Fanfare Tickets has secured naming rights to the Stadium Club at Memorial Stadium. The newly named “Fanfare Tickets Stadium Club” is located on the fourth level of the Memorial Stadium Press Box and features a private elevator entrance and 300 theatre-style cushioned seats. By stamping its name on the Stadium Club, Fanfare Tickets expands its www.buildingindiananews.com
multi-year partnership with IU Athletics and increases its visibility among the student body, alumni and fans.
Salem Company Surpasses Hiring Goals GKN Sinter Metals announced the expansion of its operations in Salem. In 2010, the company committed to create up to 50 jobs by 2013 and has exceeded that goal, adding more than 75 net new jobs as of August 2012. GKN, a powder metal components manufacturer, committed in December of 2010 to invest $3.45 million to equip its 220,000-square-foot facility in Washington County. The company has since invested $7.1 million and plans to invest an additional $4 million in the next year. As part of the project, the company purchased compaction presses, sintering furnaces and automation for the furnaces and presses.
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Tower in Indianapolis. The new office, which is expected to open its doors in October, will be the company’s second U.S. office and a key location for training and developing its cloud architects. Appirio, which already has 20 employees on the ground in Indianapolis, is actively recruiting for a number of positions to join its team of more than 500 cloud experts across the globe. The Indiana Economic Development Corp. offered Appirio up to $5.6 million in conditional tax credits and up to $200,000 in training grants based on the company’s job creation plans. These tax credits are performance-based, meaning until Hoosiers are hired, the company is not eligible to claim incentives. The city of Indianapolis will consider additional property tax abatement at the request of Develop Indy. Also, the Indy Partnership provided site selection assistance and data analysis.
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Tubing Manufacturer Grows in Jackson County BUSINESS BUZZ
Harrison County Extends Road A mile of public roadway Federal Drive/Pacer Court in Corydon that opened last year now extends from the retail/office complex that is near the I-64, Ind.-135 intersection and connects with Corydon-Ramsey Road and Hospital Drive, providing additional access to the Harrison County Hospital complex. Working together with two private developers, the Chamber of Commerce and the county engineer, the Economic Development Corp. obtained a loan from the county to construct the road, water, sewer, and storm drainage system to encourage immediate business development in the area. The corporation has agreements in place for the land owners to repay the $1.6 million development costs as they make sales of their property. Northfield commercial development owners Edsel Byrd, Patrick Thompson and John Hall sold a parcel of their real estate to Farm Credit Mid-America and paid the Economic Development Corp. based on an agreed upon schedule according to the linear footage of roadway that was involved in the sale. As a result, the corporation has now paid the county $57,228.
Bridge Projects Moving Forward Indiana released its final Request for Proposals (RRP) for the East End Crossing of the Ohio River Bridges Project, which will begin the selection process for contractors. The RFP concludes the East End Crossing’s industry review phase, when Indiana announced the four short-listed proposer teams. Since then, Indiana has conducted a series of one-onone meetings with each team, getting feedback and ideas about the information that will be included in the RFP. The four teams now must submit plans and bids for design, construction, financing and maintenance of the East End Crossing. Responses are due in late October. A contracting team will then be selected, and the procurement will reach commercial close with a public-private agreement by the end of 2012. The RFP is separate from the advance construction work on the East End Crossing announced by Indiana in late May. Indiana has already opened bids for a 3,000-foot road extension that will ultimately connect State Road 265 and the future East
End Bridge to the River Ridge Commerce Center.
Water Quality Trading Program Signed Indiana Agriculture Director Joe Kelsay of the Indiana State Department of Agriculture and Commissioner Tom Easterly of the Indiana Department of Environmental Management recently joined representatives from Kentucky and Ohio to participate in the signing of the Ohio River Basin Water Quality Trading Project: Pilot Trading Plan by the states of Indiana, Kentucky and Ohio. The Electric Power Research Institute conceived of the pilot project which was developed in conjunction with the states of Indiana, Ohio, Kentucky, the U.S. Department of Agriculture Natural Resources Conservation Service, American Farmland Trust, the Ohio Farm Bureau, and ORSANCO. This project intends to develop and implement a completely voluntary, private-sector, interstate pilot trading program to provide a viable option for complying with future nutrient regulations. The pilot tests the specific protocols for the creation and purchase of credits for total nitrogen and total phosphorus in the Ohio River Basin beginning in 2012 and continuing through 2015. The goal is to establish a private sector trading market that is self sustaining and does not involve government subsidy. Indiana counties participating will include Wayne, Dearborn, Ripley Ohio, and Switzerland.
USI Breaks Ground for Theater The University of Southern Indiana will build a $16.7 million teaching theater, which will be constructed using locally-sourced and recycled materials such as those utilized in the construction of University Center East—clay pipe from Can Clay Corp. of Cannelton, chair legs from Jasper Chair Company and Bedford limestone. In addition, the theater will include a sound baffle system with acoustic panels created with Toyota Sienna dashboards donated by Princeton-based Toyota Motor Manufacturing. The theater is scheduled for completion in the fall of 2014. The theater’s red sandstone exterior is homage to the Smithsonian Institution’s Castle. Built in 1855, it is the oldest building on the National Mall. Congressman Robert Dale Owen was chair of the Smithsonian Building Committee. His brother, geologist David Dale Owen, recommended it be built from red sandstone. Both Owens resided in New Harmony for a time, and USI is one of the sponsors of Historic New Harmony, an initiative to create and retain interest in the history and current life of the village. The theater was designed by Holzman Moss Bottino Architec22
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BUSINESS BUZZ
Seymour Tubing Inc. a division of a Japanese steel pipe supplier, plans to expand its operations in Jackson County, creating up to 18 new jobs by 2014. The company, which currently employs more than 390 Hoosiers, plans to begin hiring additional manufacturing, production and quality control associates later this year. STI, which manufactures carbon and stainless steel tubing components used by carmakers, will invest $20 million to construct and equip an additional 51,000 square feet of manufacturing space at its current facility in Seymour. As part of the project, the company will purchase new manufacturing and tube-forming equipment for the facility, which is slated to be operational July 2013.
ture of New York. The general contractor is Empire Construction, mechanical contractor Deig Brothers Construction, and electrical contractor Alva Electric with mechanical, electrical, and plumbing engineering by Hafer Associates. Estimates are that more than 100 construction jobs will result from the twoyear project.
Toyota Indiana announced the addition of 60 new production positions to its production site in Princeton. The full-time positions will be offered to members currently employed through Aerotek as part of Toyota’s variable workforce. Toyota announced the expansion of the Highlander SUV production to include a hybrid version as well as export versions for Russia and Australia. This expansion will result in an additional $400 million investment and 400 jobs at the Indiana plant.
Indianapolis Restaurant Expands Breakfast, brunch and lunch restaurant First Watch expanded its presence in Indianapolis with the opening of a new restaurant downtown by the Market Tower building. The 4,000-square-foot restaurant is now the second First Watch in the Indianapolis market. First Watch debuted in Indianapolis earlier this year with the opening of its first restaurant across from the Fashion Mall at the Keystone Crossing Shoppes. The company expects to open a total of five to six restaurants in the market over the next two to four years. Each restaurant employs about 25 local employees.
Lebanon Opens High School Lebanon Community School Corp. opened its new high school. An exciting component of the new building is a 110,000-square-foot City Center. It’s the first-ever partnership
between the city and the school corporation to provide a large hall for public meetings, corporate retreats, conventions and other public and private events. The center isn’t expected to open until December. Phase 2 of the new high school is scheduled for completion in December. Phase 3 will be finished July 2013, and the entire project is scheduled for completion in January 2014.
Indianapolis Zoo Lands Grant The Indianapolis Zoo secured a $2 million grant from the Dean and Barbara White Family Foundation for the Campaign for Conservation and Community: Saving the Orangutans. The grant is a significant contribution to the zoo’s $30 million campaign goal and comes from the foundation of Crown Point entrepreneur Dean White of Whiteco Industries. White, who along with his son, Bruce, are the co-founders of White Lodging based in Merrillville. Among the Whites’ and White Lodging’s high-profile developments is the 1,625-room four-hotel project at Marriott Place in downtown Indianapolis including the JW Marriott Hotel that overlooks the Indianapolis Zoo. The International Orangutan Center will be a state-of-theart home to some of the world’s most endangered primates, and will impact the economic life of the community as millions of people, both local and tourists, visit what is being proclaimed as the world’s best zoo exhibit. It will open Memorial Day Weekend 2014.
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USDA Funds Utilities Agriculture Secretary Tom Vilsack announced that rural electric utilities in 18 states will receive loan guarantees to make improvements to electric lines, transmission facilities and to reduce peak electric loads by deploying smart grid technologies. The cooperative is using funds to build and improve a distribution line, transmission line and will invest almost $7.4 million for smart grid system enhancements. In all, service will be upgraded for about 1,500 SEC members. With this funding, USDA Rural Development moves closer to reaching its goal to fund more than $250 million for smart grid technologies.
University Earns Grant The University of Southern Indiana’s Department of Sociology, Anthropology and Criminal Justice Studies received a grant of $60,241 from the National Parks Service’s American Battlefield Protection Program to fund archaeological research at Fort Ouiatenon near West Lafayette. Fort Ouiatenon is the site of USI’s 2013 Archaeological Field School to be led by Michael Strezewski, assistant professor of anthropology. Ten USI students will participate in the field school and a five-week excavation of the site next summer. The archaeological remains of the fort and the surrounding area are owned by the Tippecanoe County Historical Association. The grant is one of 27 National Park Service grants totaling $1.35 million to preserve and protect significant battle sites
from all wars fought on American soil. Funded projects preserve battlefields from the Colonial-Indian Wars through World War II and include site mapping (GPS/GIS data collection), archaeological studies, National Register of Historic Places nominations, preservation and management plans.
IT Company Expands in Indy Bell Techlogix, IT service provider, plans to expand its corporate headquarters and operations center in Indianapolis, creating up to 204 new jobs by 2016. Bell will invest $1.4 million to lease, renovate and equip its facility in the Mayflower Business Park in the Indianapolis metropolitan area. The 100,000-square-foot facility, of which Bell will occupy 53,000 square feet, is expected to be operational by the end of October. The company employs approximately 450 Hoosiers at its three Indiana locations including 200 employees in Indianapolis. Bell has already begun hiring professionals in Indianapolis with skills ranging from call center service desk agents and computer depot personnel to highly skilled IT engineers and architects. The company also plans to fill positions to support Bell’s corporate headquarters including executive management, sales, marketing, internal IT, human resources and finance.
For daily news from southern Indiana and around the state, visit our blog at www.buildingindianablog.com and follow us on Twitter @BuildingIndiana.
WORK WITH A BANK THAT KNOWS BUSINESS We run a business too. So we know what it takes to help you grow, to add new locations and to satisfy our customers. Take Ed and Dawn McIver, for instance; owners of MicroWorks, Inc. and our customers since 2008. With our help, the McIvers were able to expand their business from home to a free-standing microbiological consulting, testing and training facility in Crown Point. Working with our customers to satisfy their unique business needs is what You First Banking at Peoples is all about. It’s business that is built on relationships, not just transactions. And we’re proud of our track record. This year, and for the past six years, Peoples Bank has been named a top 200 performing community bank in America. Hear more about our full range of business banking services by contacting one of our commercial bankers today at 219-853-7500, or visit us at ibankpeoples.com.
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BUSINESS BUZZ
BUSINESS BUZZ
Toyota Begins Hiring Process
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Henegar to Direct ACLU
IDI Appoints New President
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Old National Bancorp appointed former Chief Justice Randall Shepard to its corporate board of directors to fill a vacancy created by the retirement of Joseph Barnette. He is a graduate of Princeton University as well as Yale Law School. He earned a Master of Laws degree in the judicial process from the University of Virginia. Shepard served in city government and as a judge in Evansville and Vanderburgh County before being appointed to the Indiana Supreme Court in 1985. In 2006, he was appointed by U.S. Supreme Court Chief Justice John Roberts to serve on a committee that advises the U.S. Supreme Court.
Autism Center Hires Therapist The Behavior Analysis Center for Autism hired Deana Krizek, MS, OTR/L as an occupational therapist. She will evaluate clients, create and review individual plans of care related to the clients’ functional activities of daily living, document consultations with staff and clients, attend parent and clinical meetings and offer education for staff and clients. She is based out of the BACA Prep facility in
Indiana Dean to Retire Gary R. Roberts, dean of the Indiana University Robert H. McKinney School of Law on the IUPUI campus, will retire as dean of the school on June 30, 2013. Roberts will remain on the law school faculty after his retirement. Roberts, who joined the school as dean in July 2007, has overseen a dramatic transformation at the law school, the most visible sign of which was a $24 million naming gift in December by an Indianapolis business leader, which resulted in the establishment of five endowed chairs and a $17.5 million scholarship endowment for the school.
Annala Retires From United Way Ellen K. Annala will retire from United Way of Central Indiana. Annala’s retirement will complete 23 years in
leadership of the organization serving a six-county region. She was the first female chief executive of United Way of Central Indiana and previously headed up United Way’s then Community Service Council. During her tenure, United Way has raised more than $837 million for the community in annual campaign, grants and other giving. Net assets have increased more than 300 percent including an endowment that increased from less than a million to nearly $70 million. Annala is credited with deploying staff and setting up United Way operations in Boone, Hancock, Hamilton, Hendricks and Morgan counties.
Clark Takes on Leadership Role Faegre Baker Daniels named J. Murray Clark, former Indiana state senator and Indiana Republican Party chairman, as the firm’s Indianapolis office leader. A partner on the firm’s government and real estate and construction teams, Clark advocates for clients before state and local governments and practices administrative law, handling a variety of regulatory and financing issues. He also represents the firm’s clients in real estate, zoning and land use. Clark will guide the firm’s community initiatives and serve as a representative of the firm in the Indianapolis community. In this role, Clark succeeds former partner Jacqueline A. www.buildingindiananews.com
Former Indianapolis Deputy Mayor Jane Henegar was named executive director of the American Civil Liberties Union of Indiana, succeeding Gilbert Holmes. Henegar’s appointment builds upon the ACLU of Indiana’s “Raising the Bar for Civil Liberties” campaign to expand the organization’s capacity for education outreach and legal assistance throughout the state. Most recently, Henegar taught political science at Butler University and led the Indiana Bar Foundation’s Project Citizen to teach
Love Joins Technology Company Avectra announced that fundraisingtechnology leader Jay Love will join the company as senior vice president. Prior to joining Avectra, Love served as CEO of Social Solutions, a provider of outcome- and case-management software for social service agencies. Love was co-founder and CEO of eTapestry online fundraising software, which sold to Blackbaud in 2007.
Prior to eTapestry, Jay was president and CEO of Master Software Corp. a provider of Fund-Master database products for the nonprofit sector. During his tenure at MSC, Jay was responsible for the implementation of nearly 12,000 nonprofit database systems all over the world. Love is a frequent speaker for the charity sector in the U.S., Canada, Mexico, Australia and the United Kingdom.
New Building Initiative Grows Columbus Area Chamber President Jack Hess, accepted the position of executive director for the newly formed Institute for Coalition Building, formed under the Community Education Coalition, effective
At the
Heart of Valparaiso for
Oct. 31. The chamber has achieved significant milestones these past six years under the leadership of Hess and the Chamber team. In 2009, the American Chamber of Commerce Executives honored the Columbus Chamber with its National Chamber of the Year award. Prior to this, the Columbus Area Chamber was named the Indiana Chamber of the Year in 2008. The Executive Committee of the chamber has formed a search committee to fill this important community leadership role as quickly as possible.
Get your business people news in this section! Please send your news along with a headshot to: adam@buildingindiananews.com.
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Sherry Seiwert, executive director of the Indiana Housing and Community Development Authority, now is president of Indianapolis Downtown Inc. She has managed a staff of 90, an annual operating budget of $14 million and a project budget of more than $500 million. Issues she has managed in this position include optimizing quality of life and sustainability in communities, creating safe neighborhoods with new opportunities for retail, recreation and employment, adapting living environments and homelessness. Prior to her state position, she was program director for Local Initiatives Support Corp. for eight years. Earlier, she was an administrator and project manager for the City of Indianapolis’ Department of Metropolitan Development
Old National Appoints Shepard
Fishers. Prior to BACA, Krizek worked as a school-based occupational therapist for the Wabash and Ohio Valley Special Education District in Norris City, Ill. She served as an independent therapy provider for the Illinois Early Intervention System for five years. Krizek has specialized service expertise in pediatrics as well as additional therapy experience in outpatient rehab.
TA VE
The board of directors of Walsh & Kelly elected Greg Hoffman as the vice president. Walsh & Kelly, which was founded in 1933, provides asphalt manufacturing plants, excavation, grading, concrete and paving solutions. Its offices are located in Griffith and South Bend with asphalt plants in Griffith, Valparaiso, Lowell, South Bend and Goshen.
and executive director of United Northwest Area Development Corp.
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Walsh & Kelly Elects Hoffman
civics to K-12 students in Indiana. She served as interim director of the Coalition for Homelessness Intervention and Prevention following her service as Indianapolis deputy mayor from 2000 to 2006.
CA LU
People News
Simmons, who was named vice president and general counsel of Indiana University.
Associated Pediatricians, LLC Midwest Fertility Center Valentin Tureanu, M.D.
Centers for Pain Control Chetan Puranik, M.D. Daniel Cha, M.D.
Urology Associates of NWI, PC Dynamic Rehabilitation Services
Porter Glendale Laboratory Bionic Prosthetics & Orthotics Group Medical Specialists Centers of Indiana Valparaiso Internal Medicine Surya Nallari, M.D.,
Porter Physician Group James Taylor, M.D., Derek Gasper, D.O.
Psychiatry
Robert Reff, M.D., FAPA
John Stutesman, PsyD Clinical Psychologist
Rick Lawson, LMHC, LCSW Breakthrough Podiatry
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Photo Feature
Ride for Independence
The Big Schmooze 2012 More than 500 of Indiana’s most acclaimed businessmen and women came together at the annual Big Schmooze Sept. 13. The event was hosted at Avalon Manor in Merrillville where Diversified Marketing Strategies provided recognition to the state’s Power Players. It also served as a major networking event to foster team support for their careers and services to the business community. Lake and Porter county divisions of the United Way were benefited by using the Schmooze as the kickoff for their 2012 goal to raise $6.55 million.
ABOVE: David Rose, northwest Indiana President of Horizon Bank, attended the Big Schmooze in support of the United Way. BELOW: Professionals from all across northern Indiana met at the Avalon in Merrillville, taking advantage of prime networking opportunities. Many were drawn in by the charity silent auction, which included artistic creations in a variety of media. An Avalon Manor chef served visitors freshly made pasta.
Steve Pangere (left) has cone rod dystrophy, a degenerative eye disorder, which causes blindness. Two years ago, Pangere was a student at The Seeing Eye School and was given hope with “Hope” – a Labrador and Golden Retriever mix guide dog. His partner Andrew Kyres (right) joined Pangere on the ride.
Two area businessmen, friends and cyclists, cycled through New Jersey counties to raise money for The Seeing Eye Guide Dog School in Morristown, N.J., on Sept. 9. Steve Pangere, CEO of The Pangere Corp., and Andrew Kyres, vice president of First Financial Bank, rode tandem. Donations received through this fundraiser, known as the Gran Fondo NJ, will go directly to supporting the Seeing Eye’s mission of breeding, raising and training dogs to guide people who are visually impaired.
Building
Innovation
into Everything We Do.
Influential Women Donates $10,000 to United Ways Influential Women of Northwest Indiana donated $10,000 to the United Way’s Lake and Porter county divisions and their partner agencies, capping an energetic season for the region’s premier women’s organization. Lake and Porter counties each accepted a $5,000 check, and immediately gave $2,500 to each of the four chosen nonprofits for this year’s donation: Visiting Nurse Association of Porter County, Boys & Girls Clubs of Northwest Indiana, Catholic Charities of the Diocese of Gary and Housing Opportunities. The donation marked a 25 percent increase over last year’s contribution, totaling nearly $20,000 over the past two years.
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www.ldconstruction.com Representatives of the United Ways of Lake and Porter counties, Influential Women of Northwest Indiana, Diversified Marketing Strategies,Visiting Nurse Association of Porter County, Boys & Girls Clubs of Northwest Indiana, Catholic Charities of the Diocese of Gary, Housing Opportunities pose with the $10,000 donation check outside Diversified Marketing Strategies’ Crown Point office.
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STATE OF THE INDUSTRY
Talking Discipline A new attitude on corrective action can take employees to new levels By Dewey Pearman, Executive Director of Construction Advancement Foundation
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mployees often fail to meet our expectations. Some never training process. meet production goals, others engage in obnoxious Adamchik is a leadership consultant and motivational behavior that is disruptive to other team members. speaker that specializes in correcting problem behavior. More These employees are begging for corrective action, than 80 percent of his clients work directly in the construction industry. His Indiana clients but if the words discipline or include Strahm Construction punishment come to mind, “I understand that when we put people in the deep you’re already starting off on and Miller Pipeline. Most recently, he served as the wrong foot. end, the good ones will rise to the surface and that Putting a blanket is a great way to discover talent. But we need to give an influential speaker at ConExpo-Con/Agg. phrase such as punishment people a swimming lesson or two before we get into Most of his conversations or discipline over what is that conversation.” essentially coaching and with clients begin, “I have this guy.” That guy either has training creates a mindset - Wally Adamchik, President of Firestrater Speaking & Consulting behavioral based problems that can build a barrier between management and or just is a poor worker. employees, explains President of Firestarter Speaking and Adamchik’s first question is: “Do they know what you expect Consulting Wally Adamchik. Adults do not respond well to being from them, and have you trained them to deliver it?” treated like children. Instead, employees need to become part of Often, after a little apprehension, these managers admit that the process because discipline ultimately is just one piece of the the answer is no. Punishment is futile if the employee is oblivious 30
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to the desires of his employers, Adamchik says. In this situation, his clients must start over entirely and begin a training process that already should have occurred. “I understand that when we put people in the deep end, the good ones will rise to the surface, and that is a great way to discover talent,” he says. “But we need to give people a swimming lesson or two before we get into that conversation.” Those that succeed in the sink-or-swim environment usually make up about 20 percent of the workforce. That leaves 80 percent of a population that often is overlooked but can greatly benefit from a superior’s attention. Only after this group has been trained effectively can corrective action begin. Corrective action can be a simple side-of-the-road conversation offering constructive criticism. “Sometimes that’s all it takes,” Adamchik says. Other times, these discussions take on a more serious tone. Office doors close, human resources are consulted; and the communication goes back and forth, and back and forth. “These conversations become monologues with the manager vomiting all over the guy,” Adamchik says. “The guy just kind of nods, not necessarily agreeing with anything.” These episodes usually are avoided for too long. Adamchik says those in the construction trade usually are task oriented and don’t want to halt production and brush up on their “people skills.” Body language must be read, and they have to look their employees in the eyes. If 100 percent of their attention is not committed to that individual, he or she is not going to buy into it. Adamchik has several tips for the employers that struggle with the communication process. First, he advises to start with open-ended questions. Of course, anyone with a teenaged daughter knows that this is not failsafe. “How was school; ‘fine,’” these conversations go. “What did you do; ‘nothing.’” In this instance, closed-ended questions can be used to find a point of agreement. “Do you agree that you were late yesterday; ‘yes, I was late.’” A more complicated question is: “Are you aware that your production is less than every other member of the crew?” If the answer to this question is yes, supervisors and subordinates can explore the reasons why together, which may even result in an www.buildingindiananews.com
enhancement of the production process. If the supervisor fails to make any progress with the individual, Adamchik recommends bringing in a third party to moderate. A third set of ears might very well bring a new perspective that might better address the situation. This may also be a requirement, depending on the corporate culture. If nothing else, it is a good safeguard against potential legal disputes. To help ensure that these chats resonate well with the employee, they need to be well documented.
Adamchik says the easiest way to do this is via e-mail. A quick note sent to the employee paraphrasing what was said and seeking confirmation can be a useful tool. It shows the date and proves the conversation transpired. This way the same conversation doesn’t occur more than once. Also, you can recall exactly what was said. “Do you recall the conversation that we had on this date; ‘yes.’ Do you remember the part about not being able to work here anymore if things didn’t improve?”
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RULE OF LAW
A Foreign Affair
sas are available to employees of an international company with offices in both the United States and abroad. The L-1 permits foreign employees to relocate to the corporation’s U.S. office after having worked abroad for the business for at least one year prior to applying for the L-1. The position in the United States must be an executive or managerial position, and the visa can be given for up to seven years. Canadian or Mexican workers may obtain TN (Trade NAFTA) status to work in the United States in certain professional occupations. TN status may be renewed indefinitely in three year increments; yet it is not permanent. For an individual with remarkable skills, an O-1 visa is the perfect option. It is given to those who possess extraordinary ability in the sciences, arts, education, business or athletics. A foreign national looking to qualify for an O-1 visa must demonstrate extraordinary ability by national or international acclaim and must be coming temporarily to continue work in the area of exceptional ability. For example: a concert pianist or cardiovascular surgeon may qualify. Believe it or not, certain employers need an extraordinary skill set for their business. The visas discussed are those most commonly used by businesses in applying for a foreign national worker; however many more variants of visas do exist depending on a business’s requirements for the position to be filled. Employers should not hesitate to discuss the needs of their business and the qualifications of a prospective foreign national with a qualified attorney when looking to hire internationally.
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Hiring foreign nationals is challenging but brings many benefits
By Dana Rifai, Attorney at Burke Costanza & Carberry LLP
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inding the right employee for your business is sometimes problematic. The solution may be casting into an entirely new labor pool, but reeling in new employees from foreign ponds presents challenges that must be managed carefully. I am often approached by businesses in need of employees with special skill sets unavailable in the local workforce. The business usually has found a person that is already fit to fill a specialized position but not a U.S. citizen. The information technology, medical, and management fields have had the highest demand for hiring foreign nationals. These businesses need not only hire the foreign national but also must find a
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way to bring this potential skilled employee into the United States with the appropriate work authorization. The federal immigration laws can be an intricate maze when looking for the right path that will enable the foreign national to enter and work in the United States. Depending on the job description the business has to fill, several options are available to employers wishing to give a job offer to a foreign national prospect. It is required for those foreign nationals without permanent resident status to obtain a visa or a travel document granted by the United States showing that they are authorized to enter the United States. If the prospective employee already has a visa, he or she may need to adjust visa status from one form of permissible entry to another. Not all visas are created equal. The most common visa sought after by employers is an H-1B, as it allows a
foreign national to enter and work in the United States temporarily. An employer applies for the foreign national worker to fill a permanent position of the business. The H-1B is only used for a specialty occupation, meaning a profession with a skill set acquired through a college degree or higher, and is given up to six years. The drawback of an H-1B is that only 65,000 visas are offered each year by the United States (an additional 20,000 visas are available for workers with a master’s degree or higher), meaning employers must scramble to apply for employees before the capped amount of visas are used up. The open date for each new batch of H-1B visas is April 1 of every year. An employer must think far ahead to make sure his application is prepared in time to capture one of those visas. An L-1 visa may be helpful to a business with multinational locations. L-1 viwww.buildingindiananews.com www.buildingindiananews.com
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Phase 4: Rejuvenation. You should have a plan in place to identify what does not work and how to fix it, remove duplicate efforts, and add a twist when things get stagnant (like changing celebrations or incentives).
SAFETY ZONE
Behavioral-Based Safety System Auditing
Noticeable Differences With the BBS system audit, you can expect to conduct more employee interviews but fewer document reviews than during a health and safety compliance audit. Historical benchmarking of BBS system success rates demonstrates that 42 percent experience moderate success, 48 percent exhibit regular success and 9 percent fail.
S
event. Even the most effective BBS systems can take upwards of 24
Unsafe Behaviors Historical averages demonstrated by The National Safety Council show that more than 80% of accidents are caused by unsafe, at-risk behaviors. BBS is an established method of using positive reinforcement to change these unsafe, atrisk individual behaviors. The process is guided by a few principles: • •
• •
Identify unsafe or at-risk behaviors that cause injuries. Perform observations in the workplace to monitor and track the behaviors. Provide feedback to the employees performing the behaviors. Provide incentives to prevent unsafe behaviors.
Auditing the System It seems like a relatively simple and 34
intuitive process. The catch, however, is that attitudes affect behavior—and attitudes vary daily. So, how do you audit a process that involves ever-changing worker variables? Why do employees perform unsafe acts? • They want to keep productivity up. • The safe way can take more time and effort and even be uncomfortable. • Long-established unsafe or at-risk behavior is hard to break. • There is little or no peer influence on behavior. • The employee wants control of the risk. • Risks are perceived as safe. In general, there are four phases or auditing a BBS system. Phase 1: Conceptualization and Design. A culture or readiness assessment determines gaps in the safety system and directs how the BBS process should be designed. The assessment examines such things as management commitment and leadership, roles and responsibilities, policies and procedures, employee training and behavioral skills, facility communications, incident management and performance measurements. Auditing the assessment process reveals how it was done and by whom, digs into the validity of the findings,
Recognition Award Recipient
Remember, you are not looking for perfection but progress.
By Shannon Posey, Corporate Health and Safety Director for CertifiedSafety ometimes, even the best intentions fail. It is not for lack of trying; more often, it is a lack of true understanding that stands in the way. Such is the case with many behavioral-based safety (BBS) systems. While many companies that invest in BBS systems are successful in preventing injuries, some facilities—even those with good intentions—do not deliver the same results. While there is no sure thing, you can increase the likelihood of success and improve the sustainability of your BBS system through an audit process.
2011 NWIBRT
We must remember that behavioral safety is a process not an and ensures that the action items are closed. Site-specific considerations, such as unionization, previous BBS or other initiatives, management change, and employee turnover, must be addressed throughout this stage. Results should be used in a corrective action plan, and all corrective actions should be closed before BBS implementation. Phase 2: Rollout. During the rollout phase, there are several features to consider. Management must be trained, particularly when providing regular, positive feedback. The more genuine and often the feedback, the better. Employees also undergo training regarding mechanics of the process and expectations. Getting employees involved in selecting observation points and goals helps create buy-in. Finally, be sure to gauge participation—who is participating and how often—and have a plan if participation drops. Phase 3: Maintenance. As you enter the maintenance period, communication remains imperative. Recognize and celebrate when goals are achieved, and involve employees in selecting the next generation of behaviors to monitor. It is important to measure feedback effectiveness and process efficacy at this stage. Refresher training may also be necessary.
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to 36 months to get to zero, while other less effective BBS systems can take many years to truly impact injury rates. Often the difference is related to the design of the process and/or how well it is being executed. Auditing your BBS systems will help improve your chances of success. The bottom line: BBS systems can—and should—be audited. Doing so helps ensure that key features are addressed and variables are taken into account. Plus, you will improve success rates and extend the sustainability of your system.
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BOTTOM LINE
The Cost to Build a House
By Mary Kay Gaboyan, Horizon Bank uilding a home is a great undertaking, and the joy of living in your dream house is worth the work involved. To begin to prepare financially you must understand the cost to build a house. Here are five strategies for determining the cost to build a house:
B
1. Research the cost to build a house Talking with both a custom homebuilder and production builder can give you a better idea of the total cost to build a house. Generally, custom homebuilders tend to offer more options and features, and this comes with a bigger price tag. Both builders may offer abnormal home shapes, but unique homes require more materials and labor, and are therefore more expensive to build. 2. Review your finances before breaking ground By carefully examining your financial
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situation, you can create a budget to match how much you can realistically afford. Once you know how much you are willing to spend, bring your plans to your chosen builder to see if they can produce your vision with this amount. If you feel that you are unable to afford the features you want most in your home, hold off for a year and revisit after building your savings. 3. Meet with an experienced loan officer Finding a mortgage loan officer with construction financing experience is vital when building a home. Your loan officer can not only help you determine how much you can afford and the cost to build a house, but they will fit you with the home financing you need to keep your project running smoothly. 4. Consider the cost of location Whether you are building in the suburbs or a secluded lot, you need to
review land preparation costs with your builder. If there is extensive tree removal or drainage required, the cost to build a house increase. 5. Be prepared for hidden costs It’s important to remember that the estimated cost to build a house quoted by your builder may not include the added fees associated with the building process. Costs such as building permits, rising supply costs, delays due to bad weather and mortgage closing costs are most likely not listed in your estimate.
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BEING PRODUCTIVE
Diverse Portfolios
Diversifying the people in a workforce increases talent, customer appeal and compliance
By Adam Madison hen searching for new employees, it is essential to keep opportunities open to all genders, races and religious affiliations. “It’s the law,” says Attorney Jim Jorgenson. “Sometimes the law tells us what we have to do, like pay overtime. ... More often than not it tells us what we can’t do, like discriminate against members of a protected class,” Jorgenson says. “It doesn’t necessarily tell us why or the reasons that we must make these commitments.”
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Good for Business Avoiding substantial fines or time in jail should be incentive enough to treat everyone fairly. Others simply comply because it is the right thing to do. The more savvy companies recognize these truths but are more eager to embrace workplace diversity because it drives a successful business. “The richness of a portfolio is based upon its diversity not upon its concentration,” Jorgenson says. “A portfolio of people also is stronger the more diverse it is.” This is true for several reasons. First, casting a larger net into a broader labor pool will yield more talent. As the era of the lifetime employee comes to an end, 38
that reach becomes even more critical. Customer appeal also is enhanced as companies strive to look more like their customers. For instance, as the Hispanic population continues to grow, it is now a best-practice to employ a bilingual staff. Reaching Out Posting classifieds in Hispanic newspapers is one way to lure bilinguals, but hiring managers should not stop with one classified. NIPSCO Human Resources Director Christopher Smith says companies need to move beyond traditional hiring practices and that his company sometimes sponsors H-1B visas for new employees. The northern Indiana company has a lot at stake managing 786,000 natural gas customers and 457,000 electric customers across the upper half of the state. These customers are served by roughly 2,700 employees that bring forth a diverse range of experience. NIPSCO recognizes that talent comes in more than one creed or color, which is why it continuously pushes boundaries when searching to fill positions. Recently, the company has come to rely on Facebook and other social networking sites to advertise. Smith says the company also reaches out to specific colleges that offer
unique demographics. Recently it participated in The Times’ Diversity Job Fair & Business Symposium at Indiana University Northwest. Other job fairs also have proven successful, Smith says. “It starts with your sourcing strategy,” Smith says. “If you are staring at a stack of resumes and wondering if it is diverse, it is probably too late.” Hiring Process Once this stack is established, it is difficult to decipher which resumes are or are not diverse. The start of this phase should only focus on talent and experience, says Smith. This is when human resources sits down with hiring managers to decipher a baseline of prerequisites to make a first cut. Diversity further eliminates bias when filtering resumes. Smith says NIPSCO relies on multiple hiring managers to broaden company perspective. The company may rely on a panel-type interviewing process. Other times, a candidate sees two or three managers in one day. Sometimes good candidates interview poorly with certain managers or might just be having a bad day. Managing Inclusion When diversity is established, the next trick is to create an environment of www.buildingindiananews.com
inclusion. “If we create more of an inclusive environment, diversity becomes a secondary factor,” Smith says. “What inclusion really means is that we want all of our employees to be able to bring their full selves to work.” People should not be preoccupied on being different or how to behave in an environment where others are different. This would counter productivity and creativity, Smith says. People need to rely on everyone’s unique backgrounds when problem solving and be comfortable enough to contribute to the group. To remind employees of diversity’s value, NIPSCO developed its own poster campaign that moved beyond the typical race and gender collages. One poster displays three light bulbs; an incandescent, a more efficient compact fluorescent and finally an LED. Smith says this illustrates generational diversity and how knowledge is built over time. Standard workshops held regularly maintain the awareness and build “houses of inclusion.” These are conducted in-house through individual facilitators across the company. All of which are trained firsthand by experts in the field of diversity. The Law While Jorgenson partially credits the government for nudging businesses into action, he also notes that the words “diversity” or “inclusion” never were part of the original language of antidiscrimination acts. The Civil Rights Act of 1964 was intended to make an immediate correction to an historic injustice to blacks. The act also included other ethnicities, women and affiliates of certain religious groups as newly protected classes. For the most part lawsuits pertaining violations of this act remained dormant until recently, Jorgenson says. Claims of religious discrimination began to emerge shortly after the Sept. 11 attacks on the World Trade Center. As our workforce ages, the number of age discrimination lawsuits are increasing, as are discrimination suits filed by the growing population of Hispanics, Jorgenson says. Those with diverse people portfolios will be less at risk. However, those operating with only compliance in mind are probably far behind the game. “That is the minimum,” Smith says.
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Diversity Facts • According to the Harvard Business Review, companies with women in their top ranks are more profitable companies, with higher employee retention and greater overall staff morale. • In a study of 506 U.S. based businesses, each 1% increase in the rate of gender diversity resulted in an approximately 3% increase in sales revenues, up to the rate represented in the relevant population. -American Sociological Association • Improved gender diversity creates better organizations: greater creativity and innovation, improved teamwork and flexibility. -Pfizer and AstraZeneca
• Women in the U.S. make 83% of all consumer purchases and control 20 trillion dollars globally. -Business Week & Harvard Business Review • A global survey revealed that 72% of corporative executives believe there is a direct connection between gender diversity and improved financial success. -McKinsey
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MASS PRODUCTION
Willkommen German food company launches in Plymouth after a warm welcome from the state By Adam Madison ndiana offers top-rate logistics, quality infrastructure and a pro-business attitude that often has manufacturers lined up at the door. The Indiana Economic Development Corp. is there to greet them. IEDC is in constant pursuit of new manufacturers with the ability to enhance the Hoosier economy. The corporation oversees programs enacting tax credits, workforce training and public infrastructure assistance designed to entice companies with a willingness to commit to operating in Indiana. In 2006, Zentis Food Solutions, a Germany-based fruit processing company, was effectively persuaded to set up in Plymouth. Since then, the company has become an explosive success and now is looking to invest another $25 million to expand. The company already had its eye on the United States, hoping to tap into a growing demand for yogurt, explains Zentis CEO Norbert Weichele. Americans were growing more health conscious, and yogurt manufacturers were responding by abandoning artificial colors, preservatives and high-fructose corn syrup. This opened the door for Zentis to set up in the United States to produce a more natural fruit preparation. In 2006, Zentis’ largest potential customers were in Michigan and Ohio, and Weichele knew their first American operation needed to be close to this market. However, that did not necessarily mean Indiana. The company already had been negotiating with representatives of Illinois and Ohio that offered good proximity to the clients. “We were very close to signing a contract for a site in Manteno, Ill.,”
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Weichele says. “Looking back now, six years, I am very happy that we ended up in Plymouth.” What tipped the scale in Indiana’s favor was the competitive incentive package provided by IEDC. It was a close match to what Illinois had offered with the addition of a training grant that helped facilitate a knowledge transfer to its incoming workers. The available workforce was both plentiful and knowledgeable on account of its history in manufacturing. In addition to the workforce and business friendly climate, Indiana offers quality infrastructure that provides a
smooth ride for its incoming and outgoing deliveries. Also, a 30-minute drive connects Zentis to South Bend Airport, which continues to see new growth and investment. Clients with the luxury of private planes can benefit from Plymouth Airport, Weichele says. These details, along with a steady 5 to 6 percent annual increase in demand, have helped Zentis expand its employee base from 40 to 100 in 2009 and again to
250 in 2011. Today, the total number of employees is 267, marking a tenfold increase in five years. Zentis now has announced plans to invest more than $15 million to expand the plant in Plymouth. This should result in yet another 67 jobs by 2014, the company says. “Zentis has been a great community partner for the City of Plymouth and Marshall County,” says Plymouth Mayor Mark Senter. “Their growth has exploded like no other business in Plymouth in the last five years, and we have a fantastic working relationship.” The economic development corporation also offers continued support. To assist with the expansion, IEDC offered Zentis $450,000 in conditional tax credits based on the company’s job-creation plans. The city of Plymouth approved additional property tax abatement at the request of the Marshall County Economic Development Corp. These are smart investments, the benefits of which will stretch far beyond state lines. To maintain a monthly output of more than 10 million pounds of filling and fruit preparations, Zentis relies on a steady import of fruit from around the world such as passion fruit, which is unavailable in North America. These must be shipped to the east and west coasts and then trucked to the facility; a bonus for the transportation industry. Peaches, blueberries and raspberries are produced in the United States or Canada. The sweeteners, however, are being produced to a large degree by Indiana Sugars that operates in Gary. “We like Indiana. It is a great place to live, which certainly played a role,” Weichele says.
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SMALL BUSINESS SPOTLIGHT
says he now is looking to branch into both Michigan and Illinois. The company quickly outgrew its 5,500-square-foot headquarters and needed to expand. After Rondinelli finished reviewing all of the options, In Touch decided to purchase space that was conveniently located between its pharmacy and its administration building. This brought both locations onto one 18,000-square-foot space on the main floor. A second floor offers 9,000 square feet of leasable space. They also purchased a 9,000-square-foot adjacent lot that will provide opportunities for future expansions. To secure the capital to make this happen, Rondinelli looked for a Small Business Administration 504 loan program. It enlisted the help of the Regional Development Company (RDC), a Valparaiso-based Certified Development Company. The program offers loans with low interest rates that are fixed for 20 years and have a 10 percent down payment structure for commercial real estate and equipment. “Interest rates never are going to get any lower, so to be able to secure a loan at a low rate for 20 years is going to be a strong asset and benefit,” Rondinelli says. “As we continue to grow, that will have a strong influence on our return on investment.” With the help of RDC, the approval process took less than 30 days. This was a pleasant surprise to Rondinelli, who commends RDC for taking charge of the brunt work. President and Executive Director of RDC Erica Passauer handled the majority of the pa-
Prescription for Success
In Touch Pharmaceuticals grows company and enhances healthcare
By Adam Madison
R
ick Rondinelli is a pharmacy veteran in Indiana. He first entered the business in 1980, and served as vice president of sales for Care Pharmaceuticals in Griffith. He left the company in 2001. But after waiting out a two-year term of a noncompete agreement, the industry called him back. He is now helping revolutionize how medicine is administered at long-term care facilities throughout the state. “At the end of that two-year period, it was quite evident what I really loved to do and what I really missed,” Rondinelli says. “I wanted to bring back that personalized service and enjoy the rewards and not just worry about Wall Street expectations.” Rondinelli admits that profits still are a primary concern even for a small business. However, he has found that by taking care of the customer there also is a direct
42
benefit to the patient. He drew on more than 30 years of experience to develop a system that eliminates waste for his clients and reduces the potential for medication errors. This was the thinking that brought In Touch Pharmaceuticals to life. The Valparaiso-based company is licensed as a long-term care pharmacy. It is not open to the public but instead serves institutional facilities including nursing homes, assisted-living facilities and correctional institutions. The company has been instrumental in developing its own software, which made a paperless system possible. This allows for a more efficient system, which provides better customer service. What makes In Touch unique is the dispensing of short-cycle, resident-specific units. Medicine is provided in supplies that last no longer than one week. This is contrary to the competition that dispenses 30-day supplies. Rondinelli says smaller
supplies are preferred because changes to prescriptions often leave surpluses of medication to manage. This method also is less prone to error, which is why the Centers for Medicare & Medicaid Services will soon mandate that drug supplies only be dispensed for periods of 14 days or less after Jan. 1, 2013. Rondinelli says on a national scale medication errors cost the health industry hundreds of billions. The system is accident-prone because an average nurse at an in-care facility easily distributes 300 doses of medication in the morning hours. Shortened, more frequent shipments are just easier to manage. When the new mandate takes affect, In Touch will have even more of an edge because it already is well within the standards. Already, the company has grown substantially. What began as an eight-employee office now has 139 workers managing medicine for 65 facilities. Rondinelli www.buildingindiananews.com
Above Photo: An In Touch employee prepares a prescription for delivery. Photo to left: Pictured left to right: Rebecca Tomich, PharmD; Jason Borlick, VP of Pharmacy Services; Lois Hamilton, Pharmacy Tech; Mark Weese, PharmD; Rick Rondinelli, R.Ph., President and CEO.
perwork and effectively managed a relationship with Rondinelli’s bank. The renovation of the new facility is now complete and In Touch is anxious to take its business even further. After starting up after a two-year lull and without a pre-established client base, moving forward should be a cake walk for the pharmacy veteran. His customers can feel at ease, knowing the chances of making a medication error are much smaller.
A Mile of Opportunity Health Care • Retail • Office • Entertainment
◆ Corydon, Indiana - 25 miles from Louisville, Kentucky ◆ 100 acres of Commercial Property now available ◆ Wal-Mart Supercenter anchors the east side ◆ Harrison County Hospital Campus on the west side ◆ Less than a mile from I-64, S.R. 135 interchange Harrison County Economic Development Corporation www.hcedcindiana.org
812.738.2137
www.buildingindiananews.com
43
Economy Builders
(Construction employment) has been rising fairly steadily over the last couple of years. I expect some continued growth there, probably on the order of three to five percent over the next year,
COVER STORY
Experts agree construction jobs offer quick, effective economic stimulus By Adam Madison
so we are looking at an additional 1,000 to 1,500 jobs. —Don Coffin, former IUN economics professor
R
emember the good old days? That’s a question many economists and business leaders ask when referencing today’s economy. The next thing they say is that a full economic restoration will require
money spent to restore jobs, especially those related to construction. “A dollar spent on construction activity in Indiana will generate about $2.50 total economic activity,” says Don Coffin, former Indiana University Northwest economics professor. “It is a fairly large contributor.” Unfortunately, not nearly enough is being spent, and the overall forecast for the construction industry is “murky” at best, Coffin explains. Right now, construction accounts for about 2.5 percent of total economic activity in the state, which is well below a historic trend of five percent. In June, there were a total of 130,000 construction workers employed statewide, which is down from a 2005 peak of 155,000 for that same month; a 13 percent reduction. 44 44
However, Indiana is up about 20% from when the economy first bottomed out, Coffin says. “(Construction employment) has been rising fairly steadily over the last couple of years,” Coffin says. “I expect some continued growth there, probably on the order of three to five percent over the next year, so we are looking at an additional 1,000 to 1,500 jobs.” Traditionally, an increase in jobs and higher wages lead to new commercial construction activity. This sector continues to outpace residential construction, but there remains a surplus of available retail space, which had been vacated during the
recession. Also, jobs in retail are down from a year ago, Coffin says. Employment in Indiana steel has remained constant at 16,000 for two years. “This is something to be happy about,” Coffin says. “Northwest Indiana produces more steel now than it did back in the 1970s.” This surge Coffin attributes to an anticipated increase in demand for new automobiles. He says about 14 million cars are being produced annually, compared to 7 million during the recession. Coincidentally, many of these vehicles are being manufactured by Hoosiers. Construction also should be thanked for an increase in steel production, especially exports. John Deere, a major manufacturer of construction equipment, has steadily increased its production by 30 to 40 percent over the past four years, Coffin says. www.buildingindiananews.com www.buildingindiananews.com
Heavy and civil engineering construction remains constant, employing around 18,000 in Indiana during seasonal peaks. These represent the large highway and infrastructure projects that often present mixed results. However, Indiana may have an edge temporarily over the next few years on account of the Indiana Toll Road leasing. This lease earned the Indiana Department of Transportation a consortium of $3.86 billion dollars to use under Gov. Mitch Daniels’ Major Moves plan. This is in addition to INDOT’s typical federal stream of funding currently operating under MAP-21; which was most cleverly dubbed “Moving Ahead for Progress in the 21st Century Act. This bill divvies $108 billion across all states for the next two years. For most states, this bill marked trivial increases for annual budgets. However, the bill only extends two years, having been whittled down from what www.buildingindiananews.com www.buildingindiananews.com
was historically a six-year extension. Robert Jones, executive director for the Indiana Mineral Aggregates Association, says two years is not enough time to manage massive infrastructure projects such as the MiltonMadison Bridge (featured on page 48). Roberts says he has seen a trend in larger projects spanning $50 to $100 million. And while large infrastructure projects are critical investments in the roadways that serve state commerce, its impact on the overall economy actually is smaller than multiple smaller projects. He says large projects cost more money but employ fewer people. As a result, contractors experience heightened competition, which puts downward pressure on both bids and wages. He says the same phenomenon is experienced by his association members that represent aggregates—the primary ingredient in concrete—producers in the
state. The one company that wins a $100 million project will be set for the term of the project. However, nothing is left for the surrounding construction materials producers. During the low point of the recession the total amount of aggregates sold was 69 million tons, which marked a 30 percent plummet from 2008 just one year earlier. Today, Roberts estimates that the industry still is down 20 percent. With money in place, however, Indiana appears better poised for growth than much of the nation. “Federal dollars stimulate things to happen. If you build a highway or improve intersections in large towns such as Indianapolis, that brings other commercial opportunities,” Roberts says. “Construction jobs have a tremendous turnaround of dollars because they are local, and local workforces almost always are used.” 45 45
ALARIES
Construction Statistics
CONSTRUCTION RELATED RELATED JOBS/$ALARIE$ JOBS/$ALARIE$ CONSTRUCTION CONSTRUCTION JOBS
NS MILLIONS IN MILLIO N IN RUCTION CONSTRUCTIO OF CONST VALUE OF VALUE
SALARY
EDUCATION/ TRAINING
Construction Superintendent
$78,237
Bachelor’s Degree
Boilermaker
$59,944
On-The-Job-Training
Construction Supervisor
$57,377
Experience in Related Field
Cost Estimator
$55,372
Bachelor’s Degree
Electrician
$51,852
Long Term On-The-Job-Training
Plumber
$50,139
Long Term On-The-Job-Training
Operating Engineer
$47,523
Moderate On-The-Job-Training
Heating & Cooling Mechanic
$40,217
Long Term On-The-Job-Training
Carpenter
$38,124
Long Term On-The-Job-Training
Truck Driver
$37,588
Moderate On-The-Job-Training
Construction Laborer
$36,739
Moderate On-The-Job-Training
Industrial Truck & Tractor Operator
$30,321
Short Term On-The-Job-Training
HIGHWAY AND STREET
EMPLOYED HOOSIERS V. 2011 IN NO
$78,703
CONSTRUCTION FATALITIES In 2010 the Indiana Occupational Safety Administration (IOSHA) investigated 35 fatalities; 18 of them were construction workers. The historic range of fatalities in Construction is a high (in 1996 and again in 2000) of 32, and a low of 14 in 1992, with lows of 15 and 17 in 2003 and 2009, respectively.
Construction
of Buildings
31,700 957
$78,137
Architecture
$77,797
CTS E OF ARCHITE RICAN INSTITUT SOURCE: AME
$77,545
$76,812
$76,121
MAY 2012
APRIL 2012
FEB. 2012 FEB
MARCH 2012
JAN JAN. 2012
MAY 2011
SOURCE: INDIANA BUSINESS RESEARCH CENTER
SOURCE: INDIANA BUSINESS RESEARCH CENTER
SOURCE: INDIANA DEPARTMENT OF LABOR
ION UCT S R T L S A CON ATERI S T M S CO
Construction material prices in June showed the smallest year-over-year increase since December 2009. June also marked the second consecutive month of price declines for key materials. The amount contarctors pay for a range of key construction materials decressed for the second consecutive month in June and inched up by just 0.5% from a year earlier. Meanwhile, the amount contarctors charge to construct projects was virtually unchanged for the month and rose only between 3.2 and 4.4 percent from a year ago. Falling prices for a variety of key construction materials contributed to the mild overall increase. The price index for diesel fuel plunged 9.0 percent in May and is down 10.7 percent from a year ago. SOURCE: ASSOCIATED GENERAL CONTRACTORS OF AMERICA
STATEWIDE CONSTRUCTION
EM PL OYMENT
(SEASONALLY ADJUSTED) (EXPRESSED IN 1000s)
JUNE 2012: 125
JUNE 2011: 117.6
YEARLY INCRESASE: 7.4 OR 6.3% SOURCE: Indiana Business Research Center
AP PA A AR RT TM ME EN NT TC CO ON NS ST TR RU UC CT TIO ION N In 2011 2,783 ap
artment build ings of five un were built in its or more Indiana with a total value of The constructi $188,092. on of 1,000 ap artments gene average of 1,1 rates and 60 full-time job s in constructi industries, $5 on-related 5 million in wages and $3 in combine 3 million d federal, st ate and loca revenues an l tax d fees. SOURCE: NAT IONAL ASSOCI ATION
OF HOME BUI LDERS
ND WAG ES H OURS A n s of Productio
rning ge Weekly Ea is at a current Indiana Avera (Unadjusted) on cti tru ns onth and up m st la Employees: Co 15 , up from 10 level of 1047 o. ag one year onth and from 987.09 from last m ge of 3.16% This is a chan o. ag one year 6.08% from
STATISTICS EAU OF LABOR SOURCE: BUR
46
www.buildingindiananews.com
www.buildingindiananews.com
47
CONSTRUCTION
The Power of Pipe Insulation One foot of insulation in your building could save 12 barrels of oil a year!
Crossing Boundaries
Contact the Heat and Frost Insulators/Local 17 and schedule an insulation energy appraisal today. Visit www.local17insulators.com or call 708.468.8000.
Innovative construction rebuilds an Indiana/Kentucky bridge and minimizes impact to commuters
By Adam Madison
S
build 2,426 feet of bridge across the river and maintain a steady flow of traffic.
Spans are floated 86 feet into position on barges and lifted onto the temporary piers
with
strand
jacks,
which
are
ay what you will about the pace of
The company presented a technique
southern life, but down south these
known as truss sliding, in which pre-
hydraulic lifts that connect to its load
folks can expedite a bridge project
constructed trusses are hoisted on top of
by large bundles of steel cable. A total of
like nobody’s business. A collaborative
temporary piers and later slid into place.
eight strand jacks are needed for the lift.
effort is now underway reconstructing the
Meanwhile, traffic continues across the
The jacks are placed above the temporary
Milton-Madison Bridge of U.S. Route 421,
old bridge, as contractors work below to
towers on the temporary platforms. The
which joins Indiana to Kentucky across
reinforce the existing piers to support the
strands are positioned and connected to a
the Ohio River. The $103 million project
new structure. “What drivers experience
lifting beam below the new truss.
is scheduled for completion during the
now is not much different than what they
At one point, there will be two bridges
first half of 2013. Perhaps what’s most
had experienced over the last several
sitting side by side. Traffic will be moved
impressive is the project team’s ability to
decades,” Wingfield says.
from the old bridge to the new bridge on
rebuild the bridge with minimal impact to commuters.
The trusses are being built on the
the temporary piers. Eventually, the old
shoreline of Milton, Ken., using steel
superstructure—the upper steel truss
“Original estimates called for a year-
conveniently shipped down the Ohio
section and road deck—will be removed
long closure, which is something that we
River. Combined, the three spans should
from the existing piers. The final step
were just dreading,” says Will Wingfield,
weigh about 18,000 tons. The largest of
comes in 2013 when Walsh Construction
spokesman for the Indiana Department
the four weighs approximately 2,067 tons.
Company ‘slides’ the new bridge from the
of Transportation. However, during the
The first preassembled section of the new
temporary piers onto the existing piers,
bidding process Walsh Construction of
bridge was lifted onto temporary piers
which have been strengthened.
LaPorte stepped to the plate, bringing
in June 2012, the second is planned for
forth construction methods that could
August.
48
On rare occasions such as during demolition, INDOT may stop traffic so www.buildingindiananews.com
Follow us on Twitter: @Insulators17 708.468.8000
Transportation
Cabinet
instituted
a
three-ton weight limit after an inspection
The new Milton-Madison Bridge was built on temporary piers. Upon completion, Walsh Construction will slide the bridge onto the existing piers.
fact that the Ohio River is a navigable waterway also brought in the Army Corps of Engineers with its own set of standards.
showed the bridge was deteriorating much
“There are a number of players involved,” Wingfield says.
faster than anticipated. This followed the
“Coordinating those players was challenging, but at the same time we
first limit of 15 tons. To ensure public
were able to accomplish quite a bit in a very short time frame.”
safety, the bridge is being policed to limit
One such accomplishment was earning a rank on the Top 10 bridge
traffic to cars and unloaded pickup trucks,
projects in the country by Roads & Bridges magazine and several state and
Wingfield says. This has resulted in an
national engineering awards for innovation. Since the project first broke
unanticipated burden to drivers.
ground in on Nov. 30, 2010, it has developed a tremendous following. On
“There have been stories in the local
Facebook, it has maxed out its number of permissible friends, which lies
media about individual companies having
in the thousands. The Web site www.miltonmadisonbridge.com not only
to take significant detours,” Wingfield
provides detailed descriptions of the project scope, it offers a live video
says. “There are only two bridges that
feed for fans to check 24 hours a day.
really aren’t anywhere nearby that serve
With the Internet fame, increasing appreciation of the project’s
as detours. One is the I-65 bridge in
innovation, and tremendous environmental success, it’s almost easy to
Jeffersonville and the other is the Bartlett
overlook the simpler truths. By replacing the 89-year-old (built 1929)
Dam.
bridge, both Indiana and Kentucky will reap tremendous economic
Another
thing
construction
benefits.
companies don’t always account for are
For starters, the original bridge was designed for automobiles, not
protected species. Since 2002, peregrine
the 18-wheelers on which industry relies upon. As these trucks tried
falcons have nested on the Milton-
to squeeze through, the drivers of smaller vehicles often found their
Madison Bridge, and it is illegal to harm
side-view mirrors smashed in, Wingfield says. The lifting of an imposed
or destroy a falcon nest. These birds
15-ton weight limit will both increase the transfer of goods and reduce
also had a successful mating season
fuel consumption, as truckers reduce their cycle times. Temporary piers will be demolished after project completion.
during the project. This brought in the Kentucky Department of Fish and Wildlife Resources to monitor the hatching of the three chicks that a Walsh contractor named Janet, Jack and Crissy. The family has since been moved to a temporary nesting box, as the department searches
Choosing the right safety company impacts more than just budget and schedule.
for a permanent location. Many more regulatory agencies were brought into the picture simply due to the size of this project, the fact that it crosses a major river and because it spans two Bridge spans were built on the shores of the Ohio River and floated into place via barges before being lifted by hydraulic strand jacks.
work can progress safely. Under the terms
approach structures. U.S. Route 421 will
of the bid, Walsh is allowed 10 days to close
not be closed again until Walsh is ready to
traffic. Wingfield says an 11th day would
slide the new structure into place.
make the company liable for liquidated
Despite
the
continued
progress,
damage. He says that is very unlikely,
there have been a few unanticipated
and INDOT will most likely be paying an
and uncontrollable events that have
incentive to the company closing fewer
accounted for lost time. The first was a
days. Thus far, only 4 of these days have
series of high-water events on the river
been used during the demolition phase.
due to flooding in 2011. As a result, the
These days were required to complete
anticipated completion date has been
temporary ramps and connect motorists
moved from the end of 2012 to the first
to the existing structure. This allowed
half of 2013, Wingfield says.
the contractor to demolish and rebuild 50
During construction, the Kentucky
states. Both states were responsible for generating funding for the project. Indiana largely relied upon money generated by the leasing of the Indiana Toll Road. Kentucky utilized a portion of its general fund and additional federal funding. Each state shared $20 million earned through a federal Tiger grant. The bidding process conformed to the Indiana law, which allowed for an “A+B bidding technique” that accounts the impact to drivers when accepting the bid. Kentucky served as the environmental
800-994-2339
regulator and worked through a permitting
www.CertifiedSafety.net
process that took longer than the actual construction phase, Wingfield says. The www.buildingindiananews.com
www.buildingindiananews.com
51
CONSTRUCTION
Mission to Move By Adam Madison
CONTRACTOR LIST •
Robins and Morton, general contracting firm
•
Dyer Construction and subcontractor
•
Hasse Construction, site work
•
Duneland Group, surveying and layout
•
Ziolkowski Construction, masonry
•
Shambaugh & Sons, HVAC mechanical and plumbing
•
EMCOR Hyre Electric, electrical system
52
P
orter Regional Hospital in Valparaiso recently drew an end to an era with the closure of its 73-year-old hospital and started anew on the other side of town. Patients now are enjoying several upgrades in comparison to the retired hospital. The 430,000-square-foot building on 104 acres was a $210 million investment. It features an enhanced layout designed to speed innerhospital commuting and increase patient comfort and privacy. New state-of-the-art technology will better help with diagnoses and recoveries. Nearly 80% of the equipment is brand new including a 16-slice radiation-reduction CT, a second da Vinci surgical robot platform and advanced interventional cardiac monitors. New patients and guests that drive themselves are greeted with the option of valet parking. This is to compensate for a large lot in comparison to a parking garage that people were accustomed to at the old facility, says CEO of Porter Health Care System Jonathan Nalli.
Porter Health System coordinates move to new hospital with scientific precision
New arrivals often comment on the amount of natural light on the inside, which has been proven to aid in recovery, Nalli says. Each inpatient room has substantial windows, many of which overlook farmland, a lake and the Chicago Skyline on clear days. The main entrance deliberately faces south and lobby windows cast light on 2.5 stories. The addition of a front stairway connects visitors to the chapel and additional waiting areas. The floor plan of the hospital was designed to increase patient fluidity. “You will walk less here,” Nalli says. The front desk is only paces from a series of registration rooms that are accessible from the main hall but are enclosed for privacy. Around the first corner from registration is the emergency room, which is followed by a systematic path through imaging, cardiac and all other ancillary needs. Patients that arrive via ambulance or helicopter have direct access. Decontamination units are immediately available if hazardous or unknown materials are covering the patients or responders. Patients experiencing heart com-
plications can bypass ER for the certified chest pain center, saving time and potentially lives. The intensive care unit rooms are 35 to 40 percent larger. There are 32 private rooms, up from 23. Each bed is equipped with a skylift that can lift patients as heavy as 600 pounds. Rooms are hardwired with touch-screen computers, which is a timesaver for nurses that traditionally had to report to the nurses’ station to enter data. Medical staff is additionally accommodated by both interior and exterior documentation stations. As Porter Hospital moves forward with new technology, better design and more efficient space, the benefits will be reaped by the patients, healthcare providers and the community as a whole, Nalli says.
At this time, 95 patients were safely transported to the new site without incident. Thirty-five Prompt and Superior ambulances moved patients in caravans with the assistance of the local police and fire departments. The Indiana Department of Transportation controlled traffic signals and closed entrances to Ind. Rte. 49 to maintain fast and efficient transport for the entire 7.8-mile trip. The highest acuity patients were first in line. These included infants from the neonatal intensive care units, which were encapsulated in baby pods in specialized ambulances that also accommodated mothers. Personnel were well aware of the patients’ conditions, as vital signs were recorded immediately prior to departure as an added precaution. Computer stations provided access to patient-monitoring software that helped track individual patients on the move. Each patient was moved by stretcher through one of five points of egress following a colorcoded system of signs. Upon arrival, EMTs continued down the same colored pathways through three points of ingress at the new hospital until patients came to a rest in their new beds. The entire process was completed in less than five hours in three and a half caravan trips. Multiple paths were designed to avoid bottlenecks. “Chaos was not something that we wanted to
A party of local media tour the hospital and its newest equipment.
bring into this,” Nalli says. Weeks before the official move, hospital staff conducted mock transports with 11 high-school-aged volunteers. This preplanning eliminated any uncertainties prior to the move. For instance, planners during the trial run had to address a blocked exit by an unknown vehicle. “This was no simple move,” explains Nalli. The total investment including staffing, and equipment and patient transfer exceeded $1 million. It took more than 18 months of planning and coordinating in a conference room turned command center. Here, hospital staff relied on the expertise of Colleen Tymensky, an independent consultant that specializes in hospital transitioning. Thus far, she has been responsible for about 18 moves. PORTER HEALTH SYSTEM STATS:
LOGISTICS Moving a hospital’s equipment, personnel and equipment was an equally impressive feat, Nalli explains. On Aug. 25, 6 a.m., the old hospital officially closed its doors and put into play a well orchestrated plan to move to the other side of town.
www.buildingindiananews.com
EVENT
78 percent new equipment 126 new jobs 430,000 square feet 104 acres $ 210 million 12 operating rooms 237 beds, licensed for 275
www.buildingindiananews.com
LAKE COUNTY CIRCLE EVENING RECEPTION Lake County Democratic Central Committee’s quarterly events help network and support elected officials’ campaigns. lakecountycircle.com STAND UP FOR ST. JUDE HOUSE Where else can you get a night out for only $85? Includes sit-down dinner, comedy show with nationally-ranked comedians, silent auction and more! standupnwi.com NWIBRT RELIABILITY SEMINAR You talked and we listened! This year’s topics are failure analysis, tactics for repeat business, PdM Technologies, anatomy of well-planned jobs and much more! Includes lunch, beverages, exhibits, and more! nwibrt.org/seminar TRAINING FOR GREAT FUTURES THE BIG GAME This event will be the culmination of almost a whole year of build-up! From chefs to Super Bowl ticket raffles to NFL stars, this event will be the must-see event of January! trainingforgreatfutures.com BEYOND SAFETY EXPO Come learn from the industries BEST Safety experts, CEUs available. Discuss topics related to safety and network. beyondsafetyexpo.com MIDWEST SMOKEOUT Watch for the greatest annual cigar show in the region coming spring 2013! Vendors from throught the country and beyond will bring their best for the event of the year! midwestsmokeout.com CAF/NWIBRT AWARDS BANQUET Join this celebration of the best and safest construction and maintenance projects and companies in the region! This mainstay is a must-see event for any business leader! INFLUENTIAL WOMEN OF NWI AWARDS The women of NWI are on the rise, and it is time to recognize the women who are working to empower and influence their communities! nwiwomen.com
VENUE
DATE & TIME
The Patio, Oct 10, 2012 Merrillville, 5:00 P.M. – 6:30 P.M. IN
Radisson Oct 11, Star Plaza 2012 Merrillville, 6:00 P.M. IN
U.S. Steel Oct 18, 2012 Training 8:00 A.M. – Center 4:30 P.M. Portage, IN
TBD
Jan 25, 2013 5:00 – 7:30 P.M.
Radisson Feb 19 – 20, Star Plaza 2013 Merrillville, IN
TBD
April 2013
Avalon May 16, 2013 Manor Merrillville, IN
TBD
May 2013
53
REAL ESTATE
compensated for much of the loss in the retail sector. It was first built three years ago, and they still are trying to fill up the balance of that space, Pfister says. The housing market is keeping up with the state’s forecast. Pfister is expecting even further growth as the county moves forward with new infrastructure projects, building roads into undeveloped areas. Shovel-ready sites are standing by for buildings in industrial parks. Marked success has been made filling industrial warehouse space near Terre Haute International Airport. The next major project will likely be student housing downtown for Indiana State University.
INDIANAPOLIS Indianapolis is leading the states trend in property investment. Carpenter reports that the city now is investing $2 million to analyze and update zoning and development regulations as a way to encourage growth. The 17 residential and 10 commercial zoning classifications were first written in 1969. The Indianapolis that is known today is much different, and these guidelines need a makeover. Updated regulations and continued investments will appeal to both home buyers and commercial investors. And as the market makes its slow and steady turnaround, now is the time for change.
Rebuild:
From the Inside out Indiana’s core leads the nation in real estate development
R
In July, the state was celebrating its seventh-consecutive month of increased home prices and market activity compared to the months of the prior year. According to the Indiana Real Estate Markets Report, the number of closed home sales increased substantially. “July was a great month in residential real estate,” says Karl Berron, Indiana Association of Realtors CEO. “With regard to closed sales, last month was actually the 13th consecutive month of year-over-year increases and put 2012 one step closer to surpassing years in which a federal home buyer tax credit was available. With regard to home prices, July put values back to levels not seen since the housing downturn began.”
Estate is boasting similar news within central Indiana. “During the second quarter, we saw year-over-year listing inventories decline. Nine out of the 11 counties represented showed a decline in listing inventory levels year over year,” David Caveness of Carpenter Real Estate reports. “This continued decline in inventories is a prerequisite for the developing recovery.” Marion, Hancock and Johnson counties lead the way in inventory reduction. These counties also were up 9.2 percent year over year for pending sales. Marion County experienced an 8.7 percent growth in pended sales, Carpenter reports. Sales prices are experiencing an average six-percent increase in central Indiana. Morgan County took the lead with a 29.5-percent surge. “These increases in average sales price are strong indicators the bubble of bank-owned and distressed properties has worked its way through the system, and we are returning to a more balanced market,” Caveness reports. “But don’t misunderstand, there is a surplus of distressed property still working its way through the market.”
CENTRAL INDIANA
CARMEL
ealtors have stepped up to the plate once again, ready to serve markets gradually expressing increased interest. Home builder confidence continues to climb nationwide, as the surplus of unsold homes continues to shrink. Central Indiana seems particularly well positioned for growth according to recent economic surveys.
STATEWIDE
Indianapolis-based Carpenter Real 54
Carmel is reaping the benefits of
proximity to the Indianapolis Metro. The neighbor to the north recently was ranked as the number-one best place to live in America for cities with a population of 50,000 to 300,000 by Money Magazine. Communities were selected based on a combination of strong job opportunities, the variety of available entertainment, school systems, crime statistics and quality of healthcare.
TERRE HAUTE Further west, Terre Haute has seen a good amount of development in the downtown area including the construction of two new office buildings, says Mary Kay Pfister of Pfister & Company. Work is being completed by developers Thompson Thrift Construction and Garmong Construction Services, and complements other growth in the area. “Our market has had an upturn just in the last two years, just with the renovation of downtown,” Pfister says. “They have added two hotels. Now there are two new office buildings. It is starting to turn around for us.” There remains a lag in retail development as the city tries to manage vacant space left behind during the recession. On the opposite end of town, a new Wal-Mart superstore has www.buildingindiananews.com
NORTHWEST INDIANA Northwest Indiana’s real estate market recorded strong yearover-year growth during the month of July, experiencing a 14 percent increase with 744 homes sold, compared to July 2011 with 653 homes, Greater Northwest Indiana Association of Realtors reports. Lake County had the most significant gains in home sales with 20 percent, followed by LaPorte’s 9.76 percent and Porter’s 6.47 percent. Jasper County recorded a percent increase from June 2012 to July 2012. Northwest Indiana homes sold in July increased in price by seven percent compared to 2011. Lake County saw the greatest year-overyear increase with 9.04 percent, while Porter and Jasper counties saw an increase of 7.45 and 5.82 percent respectively. The association also reported that the average number of days on market decreased for July 2012 compared to 2011. Homeowners in LaPorte County experienced a 26.92 percent decrease from 130 days to 95 days on average for homes to sell. Porter County also saw a 9.91 percent decrease, while the area as a whole experienced a 6.44 percent decrease with 102 days on market. For more real estate updates and daily news from around the state, visit www.buildingindianablog.com and follow us on Twitter at @BuildingIndiana.
REAL ESTATE JULY 2012 Home sales increased 14.4% to 6,370,000 Median sale price increased 2.5% to $123,000 Average sale price increased 1.5% to $148,297 Pending home sales increased 15.1% to 5,967 New listings increased 4.1% to 10,267 Original list price received increased 1.0% to 91.5% www.buildingindiananews.com
55
LOGISTICS
River Revenue The benefits of the Ohio River fluctuate with dollars and tides
IN SAFETY, QUALITY & SERVICE SINCE 1938! By Adam Madison he Ohio River is the largest tributary by volume of the Mississippi River and represents the largest stream of water for the entire river system. These rivers provide a steady supply of raw materials throughout 38 states to keep prices competitive. Other times vessels are at the mercy of Mother Nature and the economy responds accordingly. This summer’s drought is a prime example, and floods also have an impact, explains Jody Peacock, Ports of Indiana director of corporate affairs. Droughts impact the river depths and floods increase river currents, which can slow travel rates and increase fuel consumption. When river depths are low, the capacities on barges suffer because weights must be restricted to prevent vessel bottoms from
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dragging on the river bottom. A worse scenario would be vessels stuck on account of a sudden drop in river depth. When this happens, the transportation company must wait for the Army Corps of Engineers to move in with machinery to dredge the river so that ships may pass. “The Corps does a pretty good job,” Charlie Laird says. “It can take a few days to move into a general area and a couple of days to get things cleared out.” Laird is general manager for Consolidated Terminals and Logistics Company. The company operates grain terminals and cranes at ports throughout the country including the port in Jeffersonville. He has experience responding to both natural and man-made hazards on the river. One of the biggest challenges facing the industry today is potential failure
of man-made structures like locks and dams. Barges must be pushed between the locks and raised or lowered to the level of the water on the other side of the dams. Unfortunately, there are many locks and dams that have outlived their life expectancies and are in danger of breaking down. Recently, the main lock on the Markland Locks and Dam in Warsaw, Ken., completely fell off, Peacock says. An auxiliary chamber was available to maintain traffic but with significant delays, as tugboat operators separated barges to push through. This is an uncommon occurrence, but the risk is increasing as the infrastructure continues to age, Laird says. Constant repairs are required to maintain the flow of commerce, but many structures need to be completely replaced. Failure to do so could have a potentially catastrophic www.buildingindiananews.com
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impact Indiana’s economy. This is largely out of the hands of Indiana and its private companies. Maintenance of locks and dams is the responsibility of the Army Corps, as is dredging. Laird says that the Corps has done exceptional job utilizing the available resources, but there is growing concern that the federal government is not providing enough funds. Indiana needs to pay close attention to the allocation of these dollars because any fluctuation to the flow of commerce has a direct impact on its economy. “One barge can carry enough wheat to make 2.4 million loaves of bread,” Peacock says. “So if that barge is half full, it doubles the transportation costs, and that is going to increase the cost of bread to the consumer.” It also should be known that 58 million truckloads a year are moved on the inland waterway system, Peacock says. “If those truckloads have to be taken off the river, they would go onto the highway and rail systems that already are operating at close to capacity.” This would subsequently slow the economy even further as interstates clog. While Indiana has little control over how Army Corps money is allocated, the ports authority does reign over two critical ports on the Ohio River: Jeffersonville and Mount Vernon. Each operates on stateowned land governed by the Ports of Indiana. The river system connects more than 60 Indiana companies to the Atlantic and Gulf coasts, helping to generate more than $6.3 billion in economic activity, $271 million in state and local tax revenue and 51,577 jobs. Impressive as these statistics are, there remains a substantial opportunity for growth for Indiana businesses. “In our rivers and in our ports we could double volumes and still be able to handle all of the cargo,” says Peacock. There currently are 2,600 acres on Ports of Indiana property with 800 acres ready to be leased, and companies are taking interest. In 2011, the Jeffersonville Port brought in several new businesses www.buildingindiananews.com
including an Arctic Minerals distribution and processing plant, Cronimet Corp. stainless-steel-scrap processing operation, and Revere Plastic Systems plastic injection and mold facility. Idemitsu Lubricants America Corp. also began a $21 million expansion, Consolidated Grain & Barge added 550,000 bushels of storage capacity, and Voss/Clark Industries made significant upgrades. The ports are well equipped to serve companies dealing in large volumes. For instance, CTLC operates a grain terminal and crane in Jeffersonville. It roughly stores 40,000 tons worth of fertilizer warehousing and another 100,000 tons of bulk ground storage, Laird says. Much of the product is moved in through the Gulf of Mexico and leaves the port via truck and rail. Peacock says bulk storage is a benefit to inland retailers and manufacturers that lack inventory space and operate on a just-intime strategy. Unlike truckloads, barges do not arrive overnight. However, one barge can hold 1,750 tons of product or 70 full-size trailers. On average, a single tow boat moves an average of 15 barges simultaneously, Peacock says. The most common products stockpiled include grain, steel and coal. The availability of these products makes Indiana an ideal location for businesses upstate that connect via trucks and freight trains. An abundant, uninterrupted supply of coal makes Indiana even more appealing by keeping energy costs affordable. The same is true for production costs, but everyone pays the price when that supply chain is interrupted.
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WORKER’S COMP
everything possible to help that person be will put them in a positive light. 1,400. Since July 2009, Indiana has added If the generated unemployment claim 140,400 private sector jobs, growing 6 successful, Davis says. “If they are refusing to do what they are asked, there is reason is the result of an unavoidable layoff or percent during the period as opposed to if that person’s services were no longer the national rate of 3.3 percent. for the termination.” A proper termination also is timely, needed, Davis recommends graciously Manufacturing continues to lead the explains Foster. Waiting days to fire accepting responsibility. “You might as charge in Hoosier job growth, adding 2,800 an employee for a policy jobs in June and 15,100 for 2012,” “The adjudicators are always on the side of the employee, according to DWD Commissioner violation is essentially justifying the behavior, and so we try to make it pretty cut and dry that we have done Scott Sanders in a statement. adjudicators are likely to rule everything possible to help that person be successful. If The federal government has they are refusing to do what they are asked, there is reason overpaid as much as $14 billion in in favor of the claimant. However, on-the-spot, for the termination.” unemployment benefits for 2011. -Debbie Davis, vice president of Davis Staffing emotionally driven firings Indiana was reported as the worst are even more difficult to defend. Even in extreme circumstances, it still is best practice to wait 24 hours before making the decision. Such events may include substance abuse, acts of violence or job abandonment. These employees can be sent home, and the terminations can be addressed on a different day. If a judge asks why employees were not fired immediately, a response indicating that the employer wanted to confirm all of the details and ensure that the termination was warranted
Right to Dispute Proper procedure is a best defense against unemplo yment claims
By Adam Madison hile Indiana continues to grow employment numbers at a significantly faster rate than the rest of the country, the cost of unemployment insurance to both the state and employers remains significant. However, with due diligence a company can at least ensure that approved claims will be warranted rather than letting undeserving parties take advantage of the system. Most employers in Indiana are at-will, which means companies can exercise their rights to terminate employees at any time and for any reason, explains Debbie Davis, vice president of Davis Staffing. However, Indiana may hold employers liable for unemployment even if the claimant only worked one day. The longer the term of employment, the more likely a claimant will win. However, if proper protocol is followed the risk is greatly reduced. “If you don’t follow a certain set of steps, you are going to have to pay the unemployment,” Davis says. “If you
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do follow the right steps, there may be an apparent and willful violation of policies, and you won’t be liable for the unemployment.” Essentially this means making the right decisions and being a proactive employer. This begins the day an employee starts. Companies that provide adequate training programs and hold employees to consistent evaluation periods are much less likely to be on the hook for unemployment, Davis says. The training program will provide the specifics that help maintain consistent standards to which employees may be held. The review period will allow the opportunity to discuss and document any shortcomings. It also is essential that employees have a clear understanding of policy. When these policies are violated, employers should respond with progressive discipline, explains Nan Foster, compliance supervisor for Davis Staffing. This begins with a verbal warning to the employee in violation. However, it is critical to document the warning even if it
Indiana Employment Statistics In July, Indiana’s unemployment rate was 8.2 percent. Indiana has continued adding private sector jobs for eighth consecutive months, with June totaling an increase of
SOURCES: Salary.com, CNNMoney, U.S. Department of Labor
State of the Art
is only verbal. “Your best defense is documentation,” Foster says. The next logical step is a written warning, which should include a description of the violation, the date it occurred, what is expected going forward and what will happen if expectations are not met. There may be additional steps following, such as suspensions. However, it should be made very clear—at least twice—that the current behavior is unacceptable, Davis says. In the event of a termination, an employer must demonstrate exactly how and when the situation was addressed. Also, the termination process must be equally rigorous. After reviewing the employee file, an employer should produce a termination letter that includes the date the employee was let go, the previous warnings and violations, and that their employment no longer is valid. “The adjudicators are always on the side of the employee, so we try to make it pretty cut and dry that we have done www.buildingindiananews.com
well make the best of the situation,” she says. “It doesn’t help any business to have a terminated employee as an enemy.”
offender, making more improper payments than correct ones. The U.S. Department of Labor now is making great efforts to regain some of its losses. The basic requirements for collecting employment in Indiana are: having been unemployed within the state and meet a predetermined ‘base period’ for time or wages; having been terminated through no fault of your own; having to file ongoing claims to confirm eligibility.
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CONSTRUCTION
The Creative Workplace
Creative designs grow business, retain employees and recruit talent
By Laura Musall, American Institute of Architects Indiana ome of Indiana’s most successful businesses have found that the design of their buildings does much more than provide space for employees to work. Building design has helped organizations develop and shape their images. It’s helped them recruit employees and increase existing employees’ quality of life on the job. A furniture manufacturer in southern Indiana that focuses on natural materials, OFS Brands, has used creative design as a means to showcase its products. The layout of the building is conducive to walkthroughs that provide prospective clients a glimpse at the manufacturing process. The company also introduces visitors to the building materials at OFS Brands’ forest at Cool Springs in Velpen, about 10 minutes away from the corporate headquarters in Huntingburg. The on-site forester explains how trees are selected for manufacturing and gives tours of the joint research area where OFS and Purdue University study forest management and tree growth. “It’s all about educating clients and
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demonstrating how OFS uses raw natural materials in innovative and environmentally friendly ways,” says architect Jack Farber, AIA, of Hafer Associates in Evansville. When Faber designed the first facility at Cool Springs – a horse barn and maintenance facility – they knew it would set the tone for the entire development. The word barn doesn’t do this structure justice. Sure, it has a hay loft and horse stalls, but it also has two apartments for guests. The soaring ceilings and design of the truss work shows off the timbers – all harvested locally. Every inch of Cool Springs has been designed around the client experience, which revolves around OFS’ steadfast belief in quality of craftsmanship and being good stewards of the environment. “The design reflects OFS’ love of wood, attention to detail, and spirit of high-level craftsmanship that is at the heart of the OFS Brands corporation and the furniture it crafts”, Faber says. He recently designed the marina on site and is now working on the design for an education center. In pursuit of that mission, the company also is developing the Cool Springs Education Center for corporate guests,
retreats, and special events. Soon, clients will be able to visit Cool Springs and select the trees they want used in their furniture. Increasingly, businesses are looking for new ways to deliver client experiences, and often that happens through architecture. Plastics manufacturer, Berry Plastics also is aware of this philosophy. This company relied on Hafer Associates to design a complete renovation to transform its warehouse into a modern design center and corporate headquarters in Evansville. Hafer’s design helps illustrate creativity through mini-museums throughout the warehouse where potential clients can experience a functioning grocery store and a full-size residential exhibit, all accessorized with Berry products. To further showcase its design capabilities, architects created a centralized design studio where large open space fosters to collaboration and creates opportunities for clients to interact with designers and their work. Incorporating coroporate offices into the building also has increased efficiency. “Customers are really responding,” Faber says. “The company plans to expand the design center, so it can show
even more of its innovative, cutting-edge work.” Indianapolis-based ExactTarget, another client of Hafer associates, knows its success hinges on the talents of its workforce. So, when the company moved into a 10-story, historic building on Monument Circle several years ago, it wanted to make a statement. But the hotshot tech marketing company didn’t want to project an historic “old” image despite its surroundings. Nor did it want to look like a fledgling startup. ExactTarget wanted to project the right image to the tech analysts, clients and big wigs on Wall Street. The space also had to appeal to existing employees and help the company nab top talent. “The big challenge was coming up with a design that played off the early 1990’s architecture of the building, make people say, ‘wow,’ when they walked inside, but ensure that ExactTarget didn’t look too stuffy or serious,” says architect Drew White, FAIA, president of AXIS Architecture—Interiors in Indianapolis. “We asked ourselves: What comes to mind when you’ve graduated from college and want to make a serious impression?” A tailored, pinstripe suit. But not your grandfather’s pinstripe. The initial design began with carpeting that has a pseudo pinstripe design with random colors, so it’s not too serious, but it blends with the traditional architecture of the building and a modern interior design. As ExactTarget’s business has grown, so has its downtown real estate. With three buildings, the company has centered its design on catering to the needs of employees while also attracting top talent. “A lot of software architects work crazy hours, so there are game rooms, a large kitchen for meals Exact Target provides for employees, and an onsite fitness center,” White says. Design plays a big role in shaping the image and brand of an organization. And, not just for businesses. Attendance and membership is way up at Hazel Dell Christian Church in Carmel after it opened a new children’s wing. arcDESIGN of Indianapolis created a playful, whimsical design including curving walls, bright colors, just a hue away from being primary, a soda fountain motif for the older kids and a huge custom-designed play center in the lobby. Even with additional space, the pre-school registration was filled only weeks after enrollment began. Whether it’s a large corporation, a public space or even a horse barn, the best facilities are designed to help organizations meet their goals and support their missions. Modern design can help recruit employees and customers.
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Berry Plastics chose Hafer Associates to renovate its warehouse.
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YOUR WELL-BEING
answer of yes to any of these may prove a business owner liable. Had the dangerous spot been there long enough that the owner should have been aware of it? Was a routine procedure in place to examine, clean or repair the premises? If so, is there proof of the owner completing this procedure? If the trip was due to an object, was there a legitimate reason for the object to be there? If the object’s purpose had outlived its usefulness should it have been removed? Was there a safer place for the object? Could a simple barrier have been created or a warning created to prevent the slip or fall? Did poor or broken lighting contribute to the accident?
hazard, was the victim also the source of this obstacle?
Even if a lawsuit does not result from a fall in the workplace, costs to the business remain substantial. The U.S. Department of Labor estimates that 104 million workdays are lost each year in the United States from slips, trips and falls. These injuries cost an astonishing $36 billion every year. With the average cost of just one incident averaging $28,000, it pays to take a good look at a business’ environment.
GOOD ADVICE
S-L-I-P
According to NOLO, an online library of legal advice, for a company to be legally responsible for a fall:
To help with this analysis, remember the acronym SLIP.
Tripping hazards result in broken bones, lost time and easy lawsuits By Liza Hilliard
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KEEP IT SAFE According to OSHA, a safe workplace is clean and orderly, and in a sanitary 64
condition as regulated by the Walking/ Working Surfaces Standard. Floors must be kept clean and dry. Where there are wet processes such as washing, the business must maintain drainage, provide false floors, platforms, mats or other dry standing places wherever practical. If grease or oil is present, the surfaces of working areas must be treated with noskid waxes or coated with grit to create non-slip surfaces. Warning signs must also be provided when floors are wet to alert unknowing passersby.
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PROOF POSITIVE If safe working conditions are provided, it is much easier to prove that an employee’s fall was a “reasonable” accident or due to their own negligence. At the time of an accident, pay attention to the victim’s footwear. Were shoes laced tightly or were they wearing flipflops. A person’s failure to dress safely may absolve an employer of guilt. If a fall is attributed to a wet surface or a trip
TWO KINDS OF FALLS From OSHA’s perspective there are only two types of falls. The first type, which this article addresses, occurs on the ground or at least the same level of altitude. These are the most common types of falls in the working world. The severity of these is much less severe, and there is a faster recovery time. However, they occur in nearly every field. The second type of fall occurs from points of elevation. These are more prevalent in industries such as construction, carpentry and ironworking. The recovery time from these types of falls is much slower. Fortunately, there also are more stringent safety guidelines in place like the necessity of fall-arrest harnesses as a safeguard. Whether you or your employees are walking an office floor or an iron beam 2,000 feet in the air, it always pays off to follow proper procedures, maintain clean environments and constantly preach safety. Failure to do so, is going to cost your business in more ways than one.
COST TO BUSINESS
Watch out! eople fall down. It happens at work, at home or in public. Often the consequences are minimal, but sometimes they are severe. For a business, the result of a simple tumble results in a lost-time accident, workman’s compensation or even a lawsuit. The bottom line suffers dramatically, but common sense and proactive attitudes can safeguard against frivolous lawsuits. The Occupational Safety and Health Administration’s mantra is: “Employers have the primary responsibility for protecting the safety and health of their workers. Employees are responsible for following the safe work practices of their employers.” Therefore, when an incident occurs, a business has the burden of proving that the workplace was safe or that the fall victim was somehow negligent.
your employees to react properly and notice hazards by being a positive role model.
The owner must have caused or created the hazard. The owner must have known the scene to be dangerous but neglected to respond. The owner should have known the surface to be dangerous because a “reasonable” person taking care of the property would have discovered it.
ASK THE RIGHT QUESTIONS NOLO reports that the third situation is the most likely to create a liability leading to a lawsuit but also is the most difficult to prove. To make the determination, consider the following questions. An www.buildingindiananews.com
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Study and fix the problem areas. Open up to feedback, and commit yourself and coworkers to walkthroughs in search of trip hazards, slick surfaces, protruding objects or other dangerous conditions. Learn and pass that knowledge on to employees. Insurance companies, as well as safety professionals also can provide information on the most common problems to identify during inspections. Invest in non-slip surfaces, signage and training to help minimize risk. The cost of these is minimal compared to lost-work injuries or lawsuits. Prove your commitment by practicing what you preach. Teach
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LIFELONG LEARNING
Constructing Diverse, Versatile Spaces
Northwest Indiana business park, facilities deliver flexibility and functionality By Steve Martin, Purdue Research Foundation
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hen Rep. Pete Visclosky and former Purdue University President Martin Jischke decided to create a high-tech business incubator to support economic development and expand Purdue’s research and technology expertise in northwest Indiana, they did not want to limit it to being an industrial park. A key objective was to provide building opportunities to a variety of industries with a side benefit of including an elite educational institution. To achieve this goal, Visclosky and Jischke charged the Purdue Research Foundation with launching AmeriPlex at the Crossroads in Merrillville. Visclosky secured nearly $8.2 million to construct and expand the Purdue Technology Center on property already owned by Purdue Research Foundation. “The Purdue Research Park of northwest Indiana in AmeriPlex at the Crossroads is just one example of how Pete has successfully created longterm, high-tech economic development 66
initiatives for the people he represents in Congress,” says Joseph B. Hornett, senior vice president, treasurer and COO of Purdue Research Foundation. The park is a $400 million business on 393 acres. It offers frequent seminars, fairs and entrepreneurship-based academies. Legacy Environmental Services is one of several companies based in the Purdue Technology Center of Northwest Indiana. The company works with businesses, industries, schools and municipalities to incorporate green, clean and sustainable practices into their everyday workflow. Legacy occupies three 350-squarefoot office suites in the center. Carl Lisek, co-owner and vice president, said the company has eight employees but two more may be hired by the end of the year. The center’s flexibility and amenities keep overhead costs down. The building’s layout allows business leaders to connect with one another in several locations, which Lisek says can lead to unplanned collaborations. “A lot of our growth is working
with partners in the center,” he says. “A company here is doing research on products to help emergency first responders, and we held an event in August to educate first responders about advanced electric-drive vehicles. There’s another company that provides LED lighting, and we secured approximately $3 million in lighting grants for our clients last year. We could help both companies grow their business and they could help us secure additional grants.” This cooperative environment continues to draw tenants from the full gamut of business. Proximity to Chicago— only 30 miles—is another appealing factor. Larry Mudd, vice president of development for Holladay Properties, has seen increased construction activity lately in the healthcare, distribution, advanced manufacturing, heavy industry and education sectors. He anticipates more business parks will be developed in northwest Indiana, and growth in and around Chicago will be the catalyst. “One of the advantages northwest www.buildingindiananews.com
Indiana has is the cost to locate a business here,” he says. “Land costs, real estate taxes and worker compensation rates are significantly lower in Indiana. I believe more companies, especially from the Chicago area, will make their way to northwest Indiana.” The original master plan allows Holladay Properties to tailor the size of a lot in AmeriPlex at the Crossroads to meet a client’s needs. “We don’t pre-designate the size of a lot so if a client needs three acres, we can sell them three acres. If they need 30 acres, we can accommodate that too,” Mudd says. “Our master plan also ensures that electric, natural gas, telephone, water, sewer and other utilities are available. We hired a consultant to help us design the IT infrastructure because the ability to connect to the Internet is as important as any other utility.” Mudd says the variety of businesses and organizations in AmeriPlex at the Crossroads has contributed to its success. “We wanted any type of business or organization to be able to locate here,” he says. “Our tenants include the Purdue Technology Center of Northwest Indiana, the Purdue University Calumet Academic Learning Center, a recreation facility, and firms in the sectors of data processing, light manufacturing, health-care and law. They are comfortable that their neighbors aren’t identical to them.” Pinnacle Healthcare is one of the health-care facilities located in AmeriPlex at the Crossroads. The physician-owned hospital has more than 200 physicians in 20 specialties in its network. Pinnacle Hospital celebrated its fifth anniversary in July, and was named one of the top 30 physician-owned hospitals by Becker’s Hospital Review. There are five operating rooms and 18 private patient suites in the 63,000-square-foot building. Dr. William Pierce, chairman of the board at Pinnacle, said planning the hospital’s design required the input of professionals in several disciplines. “A board of managers met weekly for about 18 months, oversaw the planning stages and hired a construction engineer. The board then interfaced www.buildingindiananews.com
with a northwest Indiana construction company,” according to Mudd. “When specifications changed from the original plans, a structural engineer connected with a general contractor to make sure things came out correctly.” Jamie Anderson, director of facilities management and materials management at Pinnacle, says physician input led to making the hospital a one-story building and constructing oversized operating rooms to accommodate the numerous personnel and specialized equipment involved with surgery. She credited the building architect and consultant for helping the organization meet safety and government regulations. “It’s very important to get someone in those roles to make sure you’re up to code and within all guidelines,” she says. “There are accrediting bodies that watch every change you make to ensure you meet fire codes, building codes and safety codes. We’ve got a very strong management team that makes sure we stay compliant with all those issues.” Pierce said the Pinnacle Hospital
Rep. Pete Visclosky secured nealrly $8.2 million to develop the Purdue Technology Center.
functions well for the physicians and patients. “There are two main entrances. One in the front, and we have an Express Care in the back that provides space for doctors to see patients in an outpatient setting,” he says. “Because all services are located on one floor – laboratory services, surgical services, food services and others – there is a good flow to the private patient unit and surgical unit.”
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likely miles from the construction site will manageable sizes. Material is then fed to By Adam Madison s construction companies charge outrageous tipping fees because a portable crusher that most commonly compete for low bids on projects, they don’t want to manage heaps of is leased by the contractor. Crushed material is then ejected out of the opposite contractors are increasingly busted concrete and twisted rebar. Often contractors opt for a cheaper side and is stockpiled for later use or pressed to find unique ways to keep operating costs low without sacrificing alternative and haul their waste to closer transport. Most portable crushers also quality or service. Today frugal operations that specialize in construction are fashioned with high-powered magnets contractors are more likely to rely on materials recycling and charge fees just that can extract metals such as rebar that recycling old construction materials for a bit lower than what the landfills are sells by the ton. A good example of this process and reuse in new projects or to resell to other asking. Concrete recycling operations businesses. This is an economic win for may then crush the product into gravel the effectiveness of concrete recycling size that may be reused for a new batch can be found on the Whiting coast of Lake site owners as well as the environment. Michigan where a lakefront For the owners—the Recycling construction materials greatly redevelopment project hospitals, department permitted by the Army Corps stores, whatever—there reduces the consumption of raw materials such of Engineers is underway. will be a smaller price as new limestone, which must be mined with The project’s engineering tag when the project is firm American Structurepoint completed. There also is the varying degrees of environmental impact. Engineering and Superior added bonus of touting the Construction have been environmental benefits to the public. Therefore, when ribbon-cutting of concrete. However, it is more popular working together to restore a break wall ceremonies approach, the properties will as a base material for roads and parking that was installed in the ’50s. lots, as some experts argue that it sets City Engineer Bob Kark says be better received. Recycling construction materials more efficiently because of the remaining the original revetment, which many mistakenly call rocks is nothing more than is most popular in urban areas where cement particles. For large projects when equipment is large demolition debris from projects in contractors are more likely to have to demolish old buildings because open available, many contractors are willing to the area. While it is difficult to pinpoint spaces are unavailable. For that same take on recycling endeavors themselves. the original source of the material, it reason, disposing of the debris has Often this includes the addition of a rock- is likely the leftovers from demolished become a frustrating, time-consuming and breaker attachment for an excavator Standard Oil buildings. For more than a expensive endeavor. The landfills that are that helps reduce the size of debris to half century, this rubble provided erosion
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CONSTR U
Recycling concrete helps lower costs and environmental impacts
Join IN EN
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control from the lake’s aggressive water. Now it is being prepared for its third lifecycle as a sub-base for a more aesthetically pleasing wall that also will serve as a path for pedestrians and cyclists. Whiting has a history of taking proactive steps to urban renewal. Early in 2010, the municipality took down the abandoned factory Globe Roofing for a mere $320,000 when the initial bids were above $1 million. Michigan-based Homrich Inc. took charge and calculated the value of antique bricks, which it later resold to an independent dealer. The scrap metal, rebar, conveying lines and storage silos were sold by the ton. The property was later turned into a parking lot, which the BP Whiting Refinery bought for $1.2 million. Recycling construction materials greatly reduces the consumption of raw materials such as new limestone, which must be mined with varying degrees of environmental impact. Usually there is a reduction of fuel consumed, as deliveries of new rock and trips to landfills are eliminated. There’s also no ignoring the obvious economic advantage. Crushed concrete, however, is not suitable for every project, explains Robert Jones, executive director for the Indiana Mineral Aggregates Association. This is especially true for older concrete from structures that predate modern standards and specifications. Concrete made from recycled material carries a certain level of risk to quality control. Therefore, the Indiana Department of Transportation will not be using recycled materials in large highway projects, nor will it be used for 20-story buildings. “It is not a slam dunk,” Roberts says. “It makes sense for smaller projects.”
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Education • Networking Leadership Skills • Mentoring National Association of Women in Construction www.nawic.org Local NAWIC Contact: Jessica Vargas • nawic.311@att.net
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run anywhere from $10 to $50, depending on the content but they are a great gesture and promoting safety is always a plus. Certificates and coupons also go hand in hand when marketing your company to a new potential. Keep their best interest in mind and you can’t go wrong! There is one common ground that every client, employee and human being shares. Everyone can appreciate good food. Christmas time is ideal for sending candy jars, chocolates, cookies, nuts or other snacks. Consider personalizing the cake decor or the cookie tin with your company logo. At the very minimum, include a Holiday card with contact information. Providing an entire office with a luncheon may be a nice gesture, but it may cause people to confuse you with the pizza man rather than the president of a growing company. Be sure that these events are used as networking opportunities to ensure clients maintain easy access to you products or services. If you know the recipient especially well, consider customizing a gift basket. These can be tailored to the industry. We have filled a variety of things from car totes for dealerships, hard hats for construction companies or even lavish ice buckets and crystal bowls. Whatever gift you decide upon, follow these simple rules. Give people something they want. Design gifts properly, which means investing in graphic design. And, quality targeting is more important than quantity. Last but not least, the best gift you can give your clients is standalone, outstanding customer service year after year. In turn, the referrals and great testimonials are always our reward!
MARKETING
Time to
Give
The right gift can retain an existing employee or client, as well as entice new ones
vided you get the right fit for the person. Once they put on your logo, they are the equivalency of walking billboards praising he holiday season is a chaotic time your name to other potential clients. for professionals, as they race to However, don’t forget the emergcomplete workloads in order to ing opportunities by man’s obsession take time off to spend with families. Findwith technology. People increasingly like ing the perfect gifts for them can be an to dress up their gadgets with i-Pad and equally stressful experience. Fortunately, cell phone cases. Then there are mouse shopping for employees and clients can pads, screen wipes and other accessobe accomplished with greater ease. ries for our technological world. Linking Sending gifts to employees and cusyour company name tomers communicates that your company valThink about how the gift will be used and where it will be with the latest gadget ues the business relation- displayed. If the object is customized with a company logo and will show clients that ship that is shared. These finds its way to a shelf, desktop, or better yet into the field, your the company is cutting edge. small tokens of apprecia- product or service will always shine as a possibility. A good gift is both tion help solidify future repractical and useful. If lationships, but also serve a gateway to several more. Think about you know a particular client or employee as a clever marketing tool in disguise. The recipient will then in turn main- how the gift will be used and where it will to be health conscious, consider a sports tain positive feelings with the company be displayed. If the object is customized executive exercise equipment kit. If your and be more open to discussing future with a company logo and finds its way to a client is accustomed to creating masterbusiness. But how do you determine shelf, desktop, or better yet into the field, pieces in the kitchen, there’s seemingly what’s an appropriate gift, and how should your product or service will always shine no limit to kitchen appliances and accessories. If you barely know a client, safe alas a possibility. we gauge the cost? Clothing apparel is always a win, pro- ternatives are first-aid kits. They can often As a rule, most valued customers By Betanda Schalasky
T
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should receive the best treatment. The absolute best should receive the most substantial item, and the cost of appreciation can be tiered down accordingly. Potential clients are a bit more challenging. They need a warm introduction; to be enticed. If they are not already members of the team, it is equally important to remind these players who you are and what your purpose is. Also, remember that every contact is
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ECONOMIC DEVELOPMENT
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Harrison County offers an appealing package for businesses looking to locate in Indiana
Darrell Voelker: Automotive suppliers are best poised for growth because the industry is recovering and the companies are already located here. Food processing also is well positioned because several are located in the region, and this region has the workforce with the necessary skills. Healthcare is another growing industry because our population is increasing and aging, and nearby Louisville has a growing healthcare community that is creating new opportunities for southern Indiana.
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Building Indiana: Explain the biggest challenges that you are facing today. How do you suggest we address these issues? Darrell Voelker: Getting our workers trained for the skills they need to support the growth of advanced manufacturing is a challenge. We need to expand vocational programs and support customized training and education with employers to arrange better curriculums. Building Indiana: Is there anything that can be done to further entice companies to invest in Indiana? Darrell Voelker: Strong worker training programs will make us more attractive.
By Liza Hilliard
H
arrison County Indiana offers the appeal of rural America along with its proximity to Louisville, Ken., to make it an ideal location for new companies interested in Indiana. With its home in the Crossroads of America, the location presents opportunity to streamline both incoming and outgoing supply chains via the nation’s interstates, rail lines or through the ports of the Ohio River. The county also offers approximately 121,000 potential workers, and Louisville offers 1.1 million residents over the age of 16 just minutes away. To ensure that candidates maintain awareness of the county, Darrell Voelker is standing by with the bullhorn. Voelker is director of the Harrison County Economic Development Corp. It is the corporation’s responsibility to ensure that the county remains a viable option for new companies and that potential candidates are kept up to date about available opportunities. Voelker recently offered the time for a quick Q&A session with Building Indiana. Building Indiana: What is the total dollar amount of projects completed or near completion for your area in 2012? Darrell Voelker: Existing manufacturers in Harrison County invested slightly more than $5 million and created about 90 new jobs. The economic development corporation, the Regional Sewer District and the county government completed more than $2 million in infrastructure improvement projects. Building Indiana: What is the estimated dollar amount of upcoming projects in 2013? 72
Darrell Voelker: There is $4 million set for public infrastructure projects. Private businesses do not typically give much notice, but I know of one existing manufacturer that is considering a $4 million expansion project that should create 100 jobs.
Building Indiana: What is most attractive about your region? Darrell Voelker: The location and its transportation infrastructure make Harrison County appealing to outside companies. Indiana offers some of the best interstate highways and rail services; and the Port of Indiana on the Ohio River makes us accessible to world.
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Building Indiana: What are the three major industries that generate revenue for your economic region? Darrell Voelker: Agri-business production companies (primarily food processing), automotive parts suppliers, furniture and fixture manufacturing. Building Indiana: How are you ensuring the longevity of growth for your area? Darrell Voelker: We are making large investments in existing infrastructure including water, sewer and high-speed Internet expansion. Progress also has been made increasing the skill levels of the available workforce through incentive programs for employers and by encouraging more high school graduates to attend college with more than $1 million in scholarships. Building Indiana: What have been the major sources for economic growth in your region? Darrell Voelker: Auto-related manufacturing companies have expanded significantly in our region. Also, distribution companies are locating in this region. They employ thousands of people and invest millions of dollars, which improves our economy. Building Indiana: What areas or institutions have the best potential for future growth in your region? www.buildingindiananews.com
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The Last Word Relief comes in form of much needed price drops Key construction material prices decline for second consecutive mcsonth By Ken Simonson, Chief Economist, Association of General Contractors
C
onstruction materials The index for copper and brass mill The index for new industrial buildings prices this June showed shapes slumped 4.1 percent for the month posted a rise of 0.1 percent in June and the smallest year-over-year and 12.6 percent since June 2011. 3.2 percent over 12 months. The index for increase since December Similarly, aluminum mill products new office construction was flat for the 2009. June marked the second consecutive dropped in price from a month and 12 month and up 3.4 percent for the year. The month of price declines for key materials. months earlier, by 0.5 percent and 9.2 price for new warehouse construction The amount contractors pay for a range percent, respectively, while the index for also stayed level in June; that index rose of key construction materials decreased steel mill products slipped 1.3 percent 4.2 percent from June 2011. The index for the second consecutive month in and 3.2 percent. The index for plastic for new school construction was up 0.1 June and inched up by just 0.5 percent construction products edged down 0.4 percent for the month and 4.4 percent for from a year earlier, according the year. to an analysis of producer A noticeable but “The price relief means some projects will actually price index figures released cost less than they would have a year ago. The public will uneven pickup in U.S. today by the Associated miss a rare opportunity unless Congress funds needed construction activity, General Contractors of increases in water, building and other infrastructure.” along with sluggish global America. Meanwhile, the economic growth, should CEO Stephen E. Sandherr, Association of General Contractors amount contractors charge keep these price trends to construct projects was in place for a few more virtually unchanged for the month and percent in June and was up 1.9 percent months, Simonson predicted. Private rose only between 3.2 and 4.4 percent over 12 months. owners and public agencies with money from a year ago. A few materials posted substantial to spend on projects would do well to get Contractors are finally seeing sustained increases for the month and year, started now, before the next price spike. relief from the outsized cost increases Simonson added. The index for gypsum Association officials have urged that buffeted them last year. The half- products increased by 1.1 percent in June congressional leaders to provide adequate percent rise in the producer price index and 13.2 percent compared with June funding for infrastructure projects while for construction inputs from June 2011 to 2011, while the index for asphalt paving the materials costs have moderated. June 2012 was the smallest year-over-year rose by 1.2 percent and 6.6 percent, “The price relief means some projects swing since December 2009. respectively. will actually cost less than they would Simonson observed that falling prices The price indexes for finished have a year ago,” according to our CEO for a variety of key construction materials nonresidential buildings, which measure Stephen E. Sandherr. “The public will miss contributed to the mild overall increase. what contractors estimate they would a rare opportunity unless Congress funds The price index for diesel fuel plunged charge to put up new structures, mostly needed increases in water, building and nine percent in May and is down 10.7 held steady in June and rose modestly other infrastructure.” percent from a year ago. year-over-year, Simonson noted. The opinions expressed in this article are the views of the authors. We welcome your response. If you are interested in writing an opinion piece, send an e-mail to editor@buildingindiananews.com.
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...serving the 713,792 beating hearts in Northwest Indiana.
When it comes to cardiac care, all hospitals are not the same. When minutes matter most, a hospital with an accredited Chest Pain Center can be the difference between life and death. Both Methodist Hospitals campuses – Northlake and Southlake – are now accredited Chest Pain Centers. That means you have access to faster assessment and treatment, as well as better odds of surviving a heart attack. In short, you can be assured that you’re getting the best, most advanced care for what could be a heart attack at Methodist Hospitals.
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