South Texas Construction News January 2016 by Construction News

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South Texas

CONSTRUCTION

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Volume 4

Number 1

JANUARY 2016

The ABCs of service

Formula for Momentum

David Blair, Ashley Delagarza and David Jackson work together as a team.

The Momentum staff recently moved into the company’s new building in Port Lavaca.

BC Supply Co Inc. in Corpus Christi may be just one of 500 stores nationwide, but the staff and management work hard to make sure their store is unique in its customer satisfaction. Isaac Martinez is a managing partner and David Jackson is the delivery service manager. The company prides itself on its rooftop delivery option. “We deliver roofing supplies in South Texas – and we put the delivery on the roof,” Jackson says. “We consider our customers as part of our team. When we pull up to a job site, we not only load the roof, the customer usually helps. It’s not required, but its appreciated!”

Besides roofing materials and supplies, the company also doors, windows and siding. Jackson says the company is the best company he has ever worked for. “For 10 years in a row, we’ve been voted the best company to work for by the employees who take a Gallup Poll,” he says. “We are family here. It’s a family environment. Anything we can do for each other to make the day go better, we do.” Jackson said the company provides excellent benefits and bonuses based on how well the store is doing. He says the corporate office calls customers every three months to survey their satisfaction continued on Page 7

omentum Rental and Sales was formed in 2013 by CEO Joey Barrett, and the company has already expanded to three locations with plans for a fourth to open in the second quarter of 2016. Momentum has locations in Port Lavaca, Richwood and Corpus Christi – and a location planned for Baytown. “We opened two locations at the same time, in Port Lavaca and Corpus Christi, and our Richwood location will have a grand opening on Jan. 28,” says Hilary Garcia, human resource and marketing manager. “What separates the company from the competition is we want every customer to feel they are the only customer,” she said. “We have 24/7

customer service – you will never get an answering machine.” Barrett has worked in equipment rental for 15 years and Garcia says the business is a one-stop shop. “We have everything you need for your construction job and if we don’t have it, our team will work diligently to get it,” she says. That includes options ranging from safety and industrial supplies to a sophisticated rental fleet. According to Garcia, Momentum has a family-oriented atmosphere. “We are a team,” she says. “Many of our employees have been working together for years and many of them continued on Page 7

Highlighting your project

Dealership by D. Wilson Construction Company

Pioneer Natural Resources Pumping Services by Weaver & Jacobs Constructors Inc.

ach month we reserve this premium space in our publication to feature a recently completed project by a South Texas general contractor. Our goal is to vary the project and contractor size to afford everyone the opportunity to participate. We feel a small- or medium-sized project constructed by a smallor medium-sized contractor is just as important as the high profile projects that seem to receive all the attention by other media. Finding those small to medium projects can be difficult at times. Some contractors might think we would not be interested in their project because it may be a modest one. Some may think because they are not a huge company with a full-time marketing staff they don’t have a chance to make the front page of our paper. Nothing could be further from the truth. Since we began our first paper, the San Antonio Construction News in October 1998, we have always reached out to everyone big and small. In this tough economy we want to highlight our Texas-based general contractors who are in the game and competing with the out-of-state contractors who have come to our great state. continued on Page 7

Shooting range by South Texas Tactical

Fire station by Safenet Services LLC

Page 2

South Texas Construction News • Jan 2016

Designing the Valley

A busy time of year

ational Association of Women in Construction (NAWIC) Corpus Christi has had a busy season. Lisa Huerta CBT, Kendall Erosion, and Cathy Beaudin, CCA, CIT, attended the first planning conference for the newly-formed South Central Region and Beaudin picked up an award for recruitment for Patrica Livas, Turner Industries. . –cw

The coastal bend ladies had a Christmas party with a wine and ornament exchange.

L-R: Sergio Láinez, Ana Luksa, Juan Mujica and Charlie Garcia enjoy working in the two Valley offices of Gignac Architects.

he Valley offices of Gignac Architects have four staff members between two offices – one in Harlingen and one in McAllen – but between those four people, the firm usually has between 10 to 20 projects going on at any one time. According to office manager Juan Mujica – who has been with Gignac for 16 years and opened both Valley offices – the firm shares the same philosophy with the Corpus Christi office, but serves as a liaison for the local clients. “What separates us is that we serve as liaisons with the Valley clientele,” Mujica says. “We work as one office and collaborate. The corporate office responds to requests for RFQ’s. If we make the short list, we interview together.” The Harlingen office opened in 2004 and the McAllen office opened in 2014. Charlie Garcia, AIA, is at the McAllen office and Ana Luksa and Sergio Láinez, AIA, are at the Harlingen office. “It’s a good environment to work in

and the projects are very interesting and diverse,” says Garcia. “We all work at the micro level in our firm. The work allows us to all see the full spectrum of the projects.” The firm’s business is mostly public architecture, with a focus on K-12 educational, municipal and county work. Láinez, who was born in Nicaragua, but grew up in Brownsville, says the company’s respect for its clients has served it well. “Most of the work we get is repeat clients,” he says. As a group, the four spend time with each other and their families during special events, like births – for example, Láinez just welcomed home his first child and the group bought a high chair as a gift. Luksa says that closeness helps them all develop as professionals, as well. “You are not pigeonholed here,” she says. “It’s full development for each of us.” –cw

The South-Central Region NAWIC gals posed for a group photo.

A successful open house

estengeer’s Corpus Christi office had a successful 5th annual Open House on Nov. 12. Employees and clients enjoyed a shrimp boil and good company. –cw

Alamo Crane is equipped to handle any petroleum related work in the Eagle Ford Shale.

Setting storage tanks at quarry site. Getting ready for the big highway boom.

L-R: Adrian Cantu, piping designer, and Rick Reyna, electrical designer

L-R: Ram Garcia, I & E designer, Vimal Patel, civil structural engineer and Wayne Nobbie, mechanical engineer

From El Paso to Beaumont, Amarillo to Brownsville

36 Years of Service to Texas

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San Antonio (210) 344-7370 Austin (512) 282-6866 Toll Free (800) 880-0134

L-R: Rene Riojas, construction, Ram Sanchez and John Richard Sr., pipe designers

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South Texas Construction News • Jan 2016

Business is a game! Play to win! Part 1 of a 3 part series Carrie D. Bradshaw, C.P.A. Brown, Graham & Company P.C. Georgetown, TX

now your score Business is a game and your financial statements are your scoreboard. Do you know your score? Are you winning or losing the game? In order to answer this question, you must first understand the financial management of your company and the story your financial statements tell about your company. Consider your monthly balance sheet as the score at the end of a period; a quarterly balance is your score at the end of the game; and an annual balance is your score at the end of the season. You can make adjustments to the game plan during the quarter if you are paying attention during the game. When you get to the end of the game you will see if your strategic adjustments worked to win the game. If it worked, maintain that strategy for the next game. If it did not work, the strategy needs to be adjusted for the next game to have a winning season. In a nutshell, your balance sheet is Association (RMA), Construction composed of assets, liabilities and equity. Financial Managers Association’s annual Assets are what you own. Liabilities are survey, and many others. Compare the what you owe. Net worth is what is left ratios you calculated on your balance over. sheet to your peers and see how you measure up. Are you consistent with Ratio analysis – understanding your your peers? scoreboard A word of caution in using industry Financial managers use a benchmarking: You cannot be sure the methodology referred to as ratio analysis comparison is “apples to apples”. There is to understand the scoreboard. You are no standardization of information probably familiar with some of these submitted to the groups gathering this ratios as you have been in conversation information. You also do not know the with your bonding agent or banker. level of success of the companies When you evaluate your ratios related to submitting this information. We your balance sheet, consider the recommend finding industry publications following: that publish “Best in Class” benchmarks Current working capital: This ratio as well. The purpose of benchmarking is measures your solvency - the number of to identify potential targets at which to dollars in current assets for every $1 in aim. current liabilities. In other words, can you pay your bills today? Internal financial trends Debt-to-worth: This ratio measures Another important aspect of your financial risk - the number of dollars understanding your score is monitoring of debt owed for every dollar of net your internal performance over time. Is worth. In other words, does the bank your business seasonal? How does that own more of your company than you do? seasonality impact your score (and more Accounts receivable turnover: importantly your cash!)? Perform your Measures the rate at which accounts ratio analysis on a monthly, quarterly and receivable are collected on an annual annual basis to help you identify trends basis. How many days from the time an within your company. invoice is generated until it becomes a Part 2: Know your costs deposit in the bank? We will discuss a break-even analysis Accounts payable turnover: tool. Measures the rate at which accounts Part 3: Know your cash flow model payable are paid on an annual basis. Is every dollar of revenue created the How many days from the time an invoice same? is received until the bill is paid? By beginning to implement a Something to consider: Should you disciplined system of monitoring your be paying accounts payable at a slower score, you can develop the strategy to rate than you collect accounts receivable coach your team to greater success! to conserve cash? Maybe. That question Carrie D. Bradshaw, CPA and CCIFP will be addressed in part 3 of this series. with over 20 years of construction contractor coaching experience, is the Industry benchmarking Managing Shareholder of the Brown, Now that you understand your Graham & Company, P.C.’s Georgetown score, how do you measure up against office. You can contact Carrie at the competition? There are many sources cbradshaw@bgc-cpa.com or call 512-930for obtaining industry benchmarks: 4090. industry associations, Risk Management

South Texas

CONSTRUCTION NEWS

Cyndi Wright, South Texas Editor: STeditor@ConstructionNews.net 210-308-5800 Publisher . . . . . . . . . . . . . . . . . Buddy Doebbler Editorial/Production . . . . . . Reesa Doebbler Managing Editor . . . . . . . . . . . . . Cyndi Wright Admin . . . . . . . . . . . . . . . . . . . . . . . . Lacie Cortez Production Manager . . . . . . . . . Sue Johnson Marketing Director . . . . . . Leslye Hernandez Sales Representative . . . . . . . . Kent Gerstner Construction News Ltd. Home Office P.O. Box 791290 • San Antonio, Tx 78279 210-308-5800 Fax 210-308-5960 www.ConstructionNews.net San Antonio • Austin • Dallas/Fort Worth Houston • South Texas

If you are a construction-related company in Aransas, Atascosa, Bee, Calhoun, Cameron, DeWitt, Dimmit, Frio, Goliad, Hidalgo, Karnes, Kenedy, Kleberg, LaSalle, Live Oak, Maverick, McMullen, Nueces, San Patricio, Starr, Victoria, Webb, Willacy or Zavala county and are not receiving a free copy of the South Texas Construction News, visit our website.

The South Texas Construction News (ISSN #2327-4670) is published monthly by Construction News Ltd., dba South Texas Construction News, and distributed by mail to construction related companies in the South Texas area. All submissions should be mailed to our editorial offices. We reserve the right to edit any materials submitted. No fees for materials, copy or photographs submitted will be due unless agreed upon in advance in writing. Submissions will be published at our discretion on a space-available basis. Construction News, Ltd., dba South Texas Construction News, will not be liable for errors in copy or in advertisements beyond the actual cost of space occupied by the error. Publisher reserves the right to reject any advertisement at any time.

Product Recall Insurance should be part of your Product Risk Management Plan Julie Davis, CIC IBTX San Antonio, TX here may be no word that strikes greater fear in the hearts of individuals in the manufacturing/ processing industry than “recall.” Mere consideration of the term may mean that someone has been made ill or possibly died from consumption of or exposure to a product. The response must be inordinately fast and include coordination with federal government agencies, and state governmental agencies, as well as other companies who sit both upstream and downstream of your position in the distribution chain of the product at issue. The aftermath can leave injured consumers and damaged reputations. The monetary costs may include lost profits, recall expenses, civil damages and potential criminal action. Despite excellent quality control, you may find yourself swept into a recall. Advance planning for recalls can make the difference in the survival of your company. While a written recall plan has long different than another. been a regulatory requirement, planning Coverage details for a recall should include much more The following are key issues of the than a template form in a file. Recall policy, and policies may differ on the planning should include record-keeping definitions. Each policy must be carefully steps to be taken well in advance of any read and understood by policyholders to concerns, but which will make any recall insure they are purchasing what they effort more effective. A team of advisors need. who will serve in various roles in the • Loss of sales revenues planning, execution and post-recall • Customer loss of gross profits process is also a necessity. It should also • Government recall include Product Recall insurance • Voluntary recall coverage. • Adverse publicity Cost of Recall • Rehabilitation expenses The next step to consider after • Extra expense internal procedures are consistently • Defense costs implemented is how much will this cost • 3rd Party coverage the company? Loss of sales, not only the • “Pay on behalf” or reimburse company’s lost profit, but that of your language customers should be considered. Also Depending on who you speak with, consider the damage to the company’s the chance of having a serious product reputation and possible effect on future recall occurrence is not a matter of if, but sales, the added expense for disposal, when. Serious consideration of a proper replacement product, time and mental game plan in the event could be crucial anguish by management and employees; for the company’s survival. Is this a cost these are all part of the cost. that the company can absorb or is it more Many companies look at funding this cost effective to purchase an insurance possible exposure with an insurance policy for the risk? Recently, many large policy, but in today’s market, most distributors and retail corporations are Commercial General Liability (CGL) requiring Product Recall/Contamination policies will not cover a loss in a Product coverage in their contracts. In any event, Recall scenario. Do not mistake Product as part of your company’s recall Liability coverage for Product Recall procedure, add an insurance policy coverage, they are not the same. Some review by a competent insurance insurance carriers may offer a sub-limit to professional and review all contracts with cover the expense of removal and suppliers and clients regarding the disposal of the product as part of the insurance expectations. CGL, but these amounts may only cover a Julie Davis, CIC has worked with the fraction of total cost. food processing industry for over 15 years, Product Recall/Contamination coordinating risk management plans and Insurance insurance policies to reflect the food There are insurance carriers that industries’ changes to new exposure and have policies that pertain specifically to heightened responsibility. IBTX understands the issue of product recall, contamination your potential risk exposure and stands and/or tampering. These stand-alone ready to help you make informed decision policies may also include crisis about how to protect your customers, your management consultants. Product supply chain, and your bottom line. Contact Recall/Contamination policies are not us at 800-880-6689 or visit us at www.ib-tx. standardized policies, so one insurance com for more information or to setup your company’s coverage may look drastically policy today.

South Texas Construction News • Jan 2016

Page 4

Holiday shine Texas Mechanic’s and Materialman’s Liens on private projects in Texas Janet Townsley, Senior Associate The Cromeens Law Firm Dallas, TX

he Associated General Contractors (AGC) South Texas Chapter had its annual holiday celebration with the lovely backdrop of Ferguson Bath, Kitchen & Lighting Gallery in Corpus Christi. Attendees enjoyed Hors d'oeuvres amid twinkling displays of crystal and glass. –cw

redit is the lifeblood of the construction industry. By the nature of a construction contract, the contractor extends credit to the owner to the extent the contractor performs labor or services and supplies materials before being paid. When construction funds are withheld, the impact is felt throughout the construction chain. On even a small project, a payment default by an owner can have disastrous consequences for dozens of contractors, subcontractors and suppliers (and their employees). Just as most lenders will not loan money without adequate security for payment, contractors, subcontractors and suppliers need security when they extend credit on a construction project. Such security is the right to secure and enforce a lien on real property for the value of work performed. Mechanic’s and Materialman’s Liens (M & M Liens), when executed properly, elevate a subcontractor or material supplier from an unsecured creditor to a secured creditor. 1 Because the M&M lien operates like with the owner, you may have the right to an involuntary mortgage on the, Texas lien the owner’s property. To perfect a law requires specific steps to create a lien, certain notices must be sent prior to valid lien. One misstep in complying with filing the lien. This gives the owner and strict notice deadlines or omission of a general contractor a chance to resolve sentence required in the notice letter, your claim prior to filing the lien. invalidates the M & M Lien. All notices must be sent Certified Anyone who provides labor or Mail Return Receipt Requested to comply supplies materials for the construction, with statutory notice timelines. These repair of a house, building or timelines are strictly enforced and improvement is entitled to an M& M lien. missing a timeline date even by one day, After recent changes in Texas law, invalidates the lien. Therefore, do not let architects, engineers, surveyors, anyone stall or push you past outside landscapers, demolition trades that your deadlines. provide temporary workers may have an The notice timelines differ between M&M lien when not paid. a commercial and residential project, and on whether you have a contract with the The Homestead Pitfall General Contractor. Thus, it is good One of the great things about Texas practice to calendar a deadline for is the protection of homesteads found in sending notice of unpaid invoices for the Article 16, §50 of our Texas Constitution. 15th day of the second month after the This means you cannot have a lien against labor was performed or materials a property unless there is a construction supplied, as in many instances, this is the contract signed and notarized by the first deadline you will have to meet. An homeowner(s) and filed in the real attorney should be consulted to address property records prior to any work. deadline and notice requirements in Typically, this means you cannot file a lien specific instances. for a small repair. This is because it is Janet Townsley is a Senior Associate at unlikely a contract has been filed of The Cromeens Law Firm. For more record unless you filed one. But, if you’re information on our services, please visit doing a large repair or remodel, it would www.thecromeenslawfirm.com or call be worth the investment to hire an (713) 715-7334. attorney to draft and file the contract to 1 ensure you will be protected! Public property is not subject to lien, and A homestead is regarded as a is beyond the scope of this article. residence owned by an individual that is 2A spec home is one owned and being being OCCUPIED by that individual. A built by a company. It is not a homestead person and spouse may have only one and is considered commercial conhomestead. Hence, an owner building a construction. residence while currently living in a homestead, cannot call the new residence a homestead. However, if the individual does not currently have a homestead and is building a new residence intended as a homestead, the new residence is considered a homestead although the individual does not live in it.2 Notice, Notice, Notice M&M liens are an involuntary lien against someone’s property and although you may not have a contract

L-R: Rick Haley, Armstrong Lumber Co. and Stephanie and Lawrence Wilcox, McKinney Drilling Company

Mark Williams and Malek, Monique Ahlers, Caldwell Banker

L-R: Frank Malone, Fulton-Coastcon and Patrick Farquhar, Kocurek Land Improvement

Esther and Trent Hoffman, Bay Area Nursery and Carrie Larza, Best Structural Fabricators

David Blair, Ashley DeLaGraza, David Jackson and Colette Rye, AGC executive director

Mike Munoz, Beecroft Construction; Tommie Lee, TL Electric; Wendy Ginan and Bud O’Brien, Gentry Company; and Mike Johnson, Ram Tool Supply

South Texas Construction News • Jan 2016

Page 5

ship I look forward to being a part of with the staff at Waypoint Marine in Corpus Christi. I’ve known owners Jim and Jared Poole for many years now. I also know many of the pro-staff and guides that they have established relationships with them throughout the years, and really look forward to a long working relationship with them and the entire staff at Waypoint Marine. They are a full service marine dealership that services all of the major brand outboards and have an array of new and used boats to choose from. Stop by and see them at 3033 S.P.I.D. in Corpus for all your marine needs.

New changes for a New Year

For the past several weeks I have been in a hunting mode, traveling all over South and West Texas hunting and guiding white tail and mule deer hunts. I must say it’s been a good break from the salt life I live on the water. There is something about the South Texas brush country, the mountains in West Texas and the serenity of the Laguna Madre that make my job so enjoyable. I can’t think of anything else that I would enjoy doing.

by Capt. Steve Schultz Sponsored by: Waypoint Marine, Majek Boats, E-Z Bel Construction, Power Pole Shallow Water Anchor, Aggregate Haulers, ForEverlast Hunting and Fishing Products and Columbia Sportswear.

ell I can’t tell you how excited I am to announce the changes that are in store for the 2016 season for Steve Schultz Outdoors. For those of you that have fished with me in the past five years, you already know that the Majek Xtreme is the boat that got us to and from our fishing spots in comfort and style. I consider the 25-ft. Xtreme the best hull on the water for the everyday guide and recreational angler. One change that most people will notice immediately will be the new Evinrude E-TEC G2 300hp outboard on the back of my 2016 Majek. Evinrude has stepped up their game recently on the introduction of the E-TEC G2 and I have spoken with several guides that have run the outboard, and they are extremely happy

Fishing remains good in the Laguna Madre/Baffin Bay complex. Both trout and redfish are still being caught on live shrimp and lures along the King Ranch shoreline and rocks of Baffin Bay. Best bet this time of year is still wade fishing with artificial lures. David Wyatt shows off his 26-inch redfish caught on live shrimp under a popping cork with Steve Schultz Outdoors.

with the performance, fuel efficiency and speed not to mention the savings of maintenance. Here is a statement from Evinrude: “The new Evinrude E-TEC G2 isn’t just built to last. It’s built to outlast. Run it right out of the box for 500 hours with no dealer scheduled maintenance.

Less time in the shop means lower ownership cost, less hassle and much, much more value over the lifetime of your engine.”

I have already started to fill the calendar for the upcoming 2016 season. Don’t wait until all the good dates are gone! To schedule your next bay fishing trip give Capt. Steve Schultz a call at 361-813-3716 or 361-334-3105 or e-mail him at SteveSchultzOutdoors@gmail.com. Good luck and Good Fishing.

Along with the change of the new Evinrude E-TEC G2 will be the new relation-

Valley hunting

#1 in Safety & Reliability For Over A Quarter Century

Above, hog hunting will never go out of style with the Faires family, Faires Plumbing Co., in Edinburg. Ken Faires runs a hunting company called MidDay Outfitters. Below, there may be some venison jerky in the future. –cw

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(361) 813-3716 www.baffinbaycharters.com steveschultzoutdoors@gmail.com U.S. Coast Guard & Texas Parks and Wildlife Licensed

Page 6

South Texas Construction News • Jan 2016

Ken Milam’s Fishing Line Since 1981, Ken Milam has been guiding fishing trips for striped bass on Lake Buchanan in the Texas Hill Country,. You can hear Ken on radio on Saturday and Sunday mornings, 6-8 AM on AM 1300, The Zone – Austin, or http://www.am1300the zone.com

Fishing Calendar of Events!

cooler weather. Catching catfish is still steady over baited holes and will come in to chum. The white bass begin to migrate upstream again. Stripers can be slow when it’s still hot because they find our water temperatures in Texas to be excessive. Once the shorter days and cooler nights start to cool off the water, they turn back on and feed like crazy because they don’t feed much in the heat. You will catch a lot of smaller stripers, lots of action. Larger stripers begin their swim upstream.

he water has finally made it back to our lake and several others! For the first time in years we get to look forward to all the fishing and catching the New Year will bring. Last year we were trying to clean and clear up the scary wild lake bed to protect ourselves from wildfires, rattlesnakes and cactus. This year its all about the fish!

Winter sees all the fish staging for next year, heading upstream to spawn. We get some really nice fishing days mixed in with the winter chill. It’s worth checking out if only to take a break from hunting and get out of the house.

Just in case you have forgotten what our lakes have to offer, or are new to the area of a recently returning lake, here is an idea of what you can expect. In the Spring the catfish are loving the cold water. If you want a trophy cat, now is the time. White bass are running up the rivers to spawn again. For several years this hasn’t been possible, but now they are back, and catching them is a lot like eating popcorn. Their big cousins the stripers also can be found upriver trying to spawn. Look for crappie to be moving up river in their pre-spawn pattern. Warm, sunny afternoons draw them up into shallow murky water around

brush and trees because this water warms up first. As spring warms into summer, smaller catfish become easier to find in shallow water. White bass begin moving back down the river channel after spawning and all they want to do is chase shad and eat anything they can catch. Stripers are moving back down stream forming big schools of fish that form feeding frenzies

SHARE YOUR PHOTOS . . . fishing, hunting, skiing, biking, racing, or any outdoor activity or sport.

that anglers dream of in early to mid summer. Once it gets hot they begin to slip into deeper cooler water, but still like to feed on top on cool mornings. Crappie go back to being their elusive selves once it warms up. I have always thought that is why we consider them so delicious, they can play hard to get. A good crappie guide can still get you on them though. Fall comes in with a mix of blazing leftover summer heat and the promise of

I think we are in for exciting times on the water in these returning lakes. We have lots of new trees and vegetation improving our fisheries now, plus there are plenty of fish out there that haven’t been exposed to human fishing pressure or as long as five years in some places. That means they have had plenty of time to get big and bold. I can’t wait! Let’s Go!

Submitted to Construction News

Panda Christmas

Email to: STeditor@constructionnews.net or call 210-308-5800(home office)

Raba Kistner helped to underwrite the McAllen Holiday Parade and then managed the Kung Fu Panda balloon. The handlers were Eloy Arredondo, Sr. CME tech, Rene Gonzales, GEO tech, Victor Salinas, CME tech, Manuel de Santiago, lab tech, and Orlando Loya, lab tech. –cw

Half or Full Day Fishing Trips All Bait, Tackle & Equipment Furnished Your catch Filleted and Bagged for You

Ken Milam Guide Service (325) 379-2051 www.striperfever.com

Furnish your TPWD Fishing License & Refreshments, and WE DO THE REST!

South Texas Construction News • Jan 2016

Page 7

to Texas A&I, but during the summer Nueces Electric Co-op hired me to work for them. It was only going to be for the summer, but I stayed. Three years later I married Gilbert.

Evelyn Martini Martini Brick Corpus Christi

velyn Sablatura Martini has lived in the South Texas area her entire life. And when her husband, Gilbert Martini, passed away in December 1978 – 21 years after building Martini Brick with hard work and perseverance – Evelyn and their children kept the business going and growing. Martini Brick is now celebrating 58 years in business – and a lot has changed. Tell me about your early years. We moved to Robstown when I was six years old. My father, Louie Sablatura, came as a Ford salesperson. I think he sold every farmer in Robstown a pickup truck! He was so friendly. When the war came, they weren’t making pickups for a while, so we moved to Banquete where he leased a farm. He really reminded you of Green Acres! He made really good crops. We always took a trip every July after the grain was harvested. He also had the Polka Party show on KROB. I had one sister and one brother. Tell me about your mother. Her name was Minnie. She’s a saint. She sewed – she made all eight bridesmaids dresses for my wedding. She made all of our clothes. She was very talented and very good at cooking. She made her own bread and kolaches. Her favorite place to visit was her church. At St. Peters Church in Annaville, they called her the Rosary Grandmmother. Where did you go to high school? I went to Incarnate Word High School and I graduated in 1947. I was all set to go

What happened after your family lived in Banquete? We moved from there to Annaville (Annaville was a town before being annexed by Corpus Christi in the mid1960s). My daddy and my husband bought a lumber company, S&M Lumber. I worked there in the office and Gilbert also worked at another brick and lumber company, as well. We all started working on building a Catholic church, since there was not one there. We had Mass in different places until the church, St. Peter, Prince of the Apostles, was built. The first Christmas we were there, I played the piano in an elementary school where we had services. I remember that so well. I’ve been playing the organ at St. Peter’s since it was built. I started playing at church at St. John’s Catholic Church in Robstown. My daddy was so musical – we had a family band. Tell me about Martini Brick. Gilbert began his business by getting hand-made brick from Reynosa, Mexico. He drove himself, leaving at 3 a.m. each morning. He would get back to Corpus Christi about noon and deliver to his customers. After making deliveries, he would call on builders to see what they needed. After awhile, he was able to get more trucks and drivers, plus forklifts. He was diagnosed with cancer at age 43 and died in 1978. After my husband passed away, I had six children – the baby was 11. The kids were great – we kept the business going. It has changed a lot with all the technology and my son, Jim, my daughter, Linda Sanders and her husband Jimmy, and my nephew, Les Hoelscher, are running the business now. How has Martini Brick changed? We don’t do Mexican brick anymore for construction. It has become too risky to drive down there. We may get one load now and then – mostly to do repair work on buildings we did during the first 25 years we were here. I used to pain the bricks and put designs on them – or all the houses would have looked the same! Now we get brick in every day from different plants around the country. We are also selling lots of rock and cultured stone.

continued from Page 1 — The ABCs of service with the store. “In the last period, 99.2 percent of our customers surveyed were happy,” he says. Jackson is from Corpus Christi and wanted to move back. He was hired by ABC Supply five years ago. He says the company looks for employees who want to grow within the company.

“All of us train everybody we work with to be able to do our job,” he says. “We provide excellent customer service. Most of our customers are our friends. We know the names of their companies, but we also know the names of their kids.” He said being well spoken and knowing the products are also good assets for employees to have. –cw

Evelyn Martini and her daughter, Linda Sanders.

We’ve been really busy. On the recent Veterans Memorial High School project, we supplied 500,000 bricks. We still have two men in the warehouse, Rudy and Manuel, who have been here for 35 years. They are really good – we are just like family. The building is certainly a beautiful design. Les designed the building. He’s been working here since he was in high school. You still come into the office on a regular basis, don’t you? I come in Monday through Friday. I recently started taking off Fridays. My Fridays begin with an 8 a.m. Mass, then the beauty shop, visit the homebound, and visit the retirement home. I go shopping for groceries for the following week, to cook for the children at their noon meal. I enjoy that. I cook lunch here for them every day, except Friday. The kitchen is the biggest room in the building! On Friday, they go out to eat. They visit restaurants all over the city and they enjoy that, too. What else do you like to do? I Love to play the organ at my church three to four times a week. I loved to bowl, and square dance, but I can’t do that anymore. I love to waltz and polka. My favorite pastime is the polka dance. I belong to the Czech Heritage Society and help where I can. I enjoy cooking, but more than that, I like to feed people. I take food to people in need and I bake a lot of cookies and

pecan pies. The cookies are for everyone – even the UPS man. People often come by at lunch to eat – they’ll say “The bricks smell like pork roast today!” Our customers feel like family. I also write letters to my grandchildren (16) and my great-grandchildren (21 and another on the way). Everybody gets a card and a gift for their birthday, but the only ones I wrap presents for at Christmas are the greatgrandchildren. Have you ever traveled? I used to take bus tours. I went to places like Disney World, Disneyland, Nashville… My favorite place was AstroWorld and it isn’t there anymore. You had a milestone birthday this year, right? Yes! My children gave me a big party at Moravian Hall when I turned 85 in March. The children got it all together. It was fantastic! I think they fed 150 people. There was a lot of visiting, and lots of happy faces. After the great, catered barbecue dinner by St. Thomas Knights of Columbus, the dance began with a Grand March, led by my youngest son, Ricky. It was fun time. The photo booth brought a lot of laughter and funny people. One of my favorite guests was Msgr. Michael Howell, who prayed over us, blessed the food and joined me at my table. I have six wonderful children, full of love and companionship. They all have beautiful families. I am very blessed. –cw

continued from Page 1 — Highlighting your project Do you have a recently completed project you would be proud to see on our cover? Give me a call or send me an email

and let’s get you covered. Cyndi Wright, Editor STeditor@constructionnews.net 210-308-5800

Specializing in Industrial Scrap Metal & Container Service

continued from Page 1 — Formula for Momentum have grown up together.” When hiring, they look for hard working, eager to learn people. “We like to keep the same people and promote from within,” Garcia said. “Everyone represents the company and they are responsible for representing what we stand for.” Momentum belongs to several associations, such as Associated Builders and Contractors (ABC), as well as the Corpus Christi Chamber of Commerce. Employees collected toys this year for

the sheriff department’s Brown Santa program. They also will enjoy a Christmas party and celebrated a Thanksgiving brunch. They plan on taking part in the fishing tournaments and other ABC events. “We have big goals for the future,” Garcia said. “By the second quarter of 2016, we will have four location open. Our plan is to continue to expand along the Gulf Coast and eventually develop a national footprint.” –cw

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Page 8

South Texas Construction News • Jan 2016

Designs of note

veryone was on the nice list at the American Institute of Architects (AIA) Lower Rio Grande Valley Chapter’s Design Awards Gala and End-of-Year Celebration Dec. 16 at Nuevo Santender Gallery in McAllen. Glass awards of recognition were distributed and guests enjoyed perusing the art gallery’s many fine pieces of art, while enjoying a dinner from Fusions Restaurant. –cw

25-year-award presented to architect John York for the Wilson R. Palmer House (built in 1950), owned by Nydia Tapia-Gonzalez and Lupe Gonzalez.

100-year-award presented to ERO Architects for the Thomas Jefferson Early College High School (built in 1915) renovation project.

Merit Award to Megamorphosis Inc. for the Bailey H. Dunlap Memorial Library addition.

Honor Award to Elevate Architecture for the Escamilla Law Firm.

Citation Award to Building Community Workshop, Brent Brown AIA, for Rapido.

Spark Award presented to student Elizabeth Lopez for her project entitled La Dona.

Merit Award to ROFA Architects Inc. for the Harlingen School of Health Professions. Merit Award presented to Frank Architects Inc. for the VMT School of Communications and Fine Arts in Laredo.

Citation Award to Sam Garcia AIA, Sam Garcia Architect/Claudia Chanin, Noma Studio for the Cavazos Sports Complex.

Honor Award to Megamorphosis Inc. Design and Architecture for the Harlingen CISD Performing Arts Center.

Incoming LRGV-AIA board of directors, L-R: Manuel Hinojosa AIA, president; Sergio Lainez, AIA; Humberto Rodriguez AIA; Cesar Roque Assoc. AIA; Charlie Garcia AIA, outgoing president

South Texas Construction News • Jan 2016

Page 9

Construction Forecast Construction Outlook: Sweet (and Sour) ‘16 Ken Simonson, AGC of America

Chief

Economist

Arlington, VA

exas contractors are facing a varied landscape in 2016. Overall, the outlook is favorable, but the slump in oil and gas drilling will be a major drag. The state continues to benefit from one of the highest population growth rates in the nation. That keeps demand high for both single - and multifamily housing, schools, stores and many other categories of construction. The U.S. Census Bureau reported in March, “Two Texas metro areas -- Houston-The Woodlands-Sugar Land and Dallas-Fort Worth-Arlington -- were the only ones in the country to add more than 100,000 residents over the 2013-2014 period. Within the Houston metro area, Harris County alone gained almost 89,000 people, more than any other county in the nation. The Lone Star State also had four metro areas among the nation's 20 fastest growing by rate of change: Austin-Round Rock (third), Odessa (fourth), Midland (ninth) and Houston (11th).” For 2016, population growth is likely to remain especially strong around Dallas, as three major national firms relocate thousands of employees to new office space there: Toyota and Liberty Mutual in

Plano, and State Farm in Richardson. Even in areas of the state where population growth is slowing, there will be a lot of school construction to accommodate recent inflows of students. The planning for an expanded Panama Canal, currently expected to open sometime in 2016, has already triggered billions of dollars of investment in ports, pipelines and other transportation infrastructure, natural gas liquefaction plants, and storage and distribution facilities. More such investments will occur in the coming year. In contrast, railroads are expected to cut back on construction, after years of investing in new track and yards to serve ports and to haul crude oil from drilling areas without enough pipeline capacity to refineries and terminals. Low natural gas prices may encourage construction of more petrochemical plants and gas-fired power plants. But those same prices will hold down drilling, related service and materials supply businesses, and investment in wind and solar

Lending small business owners a hand Debra Ruiz, Vice President - Construction Loan Manager Wells Fargo San Antonio, TX

art of Debra Ruiz’s job at Wells Fargo is to assist the small business owner by working with them on loans to purchase or build a space for their operations. These small business owners are the clients of the construction companies and contractors who build or renovate those spaces. So, we asked her what she sees in the construction loan forecast for small business borrowers in 2016. What does your position as construction loan manager of the SBA Lending Group in San Antonio entail? I manage and oversee an SBA portfolio of close to $40 million in construction-related loan volume. While overseeing this portfolio, I am maintaining excellent customer service to both my internal and external clients of Wells Fargo Bank. I have the entire State of Texas under my management. My specialty is in Small Business Administration, working with various general contractors, architects and the small business borrower on a day-to-day basis. We like to say that we are making dreams come true in the small business world. What do you expect will be the biggest changes to construction lending in 2016? On my desk and what I have seen approved in our Texas market are more and more ground up construction projects. We have a lot of land in Texas, so building and owning your own building is key. With the year’s end wrapping up and winding down, I already have approxi-

generation—all of which had contributed to construction in Texas in recent years. With the enactment in early December of a five-year federal highway and transit funding bill, Texas and other states will see a slight boost in federal dollars for transportation infrastructure. State funds also will be more abundant for highways and universities. Healthcare spending has picked up nationally in 2015 after lagging ever since the 2008-09 recession. Compared with earlier periods, fewer patients are being admitted overnight to a hospital, and they are staying for fewer days. Consequently, hospitals are building more emergency, diagnostic and treatment rooms, and fewer recovery rooms. A larger share of healthcare construction spending is going into standalone urgent-care facilities, outpatient surgical centers and clinics in stores and shopping centers. These trends appear likely to continue in 2016 in Texas as elsewhere. Construction downshifted in Texas in 2015 while accelerating nationally. From November 2014 to November 2015, U.S. contractors increased their employee count by 4.2%, whereas construction job growth in Texas slowed to 1.6% from a 7.7% growth rate a year earlier. In the latest 12 months, the state tied for 36th out of 50 states and the District of Columbia. For 2016, national construction employment and spending growth should continue, albeit slightly less robustly than in 2015. Texas also will add construction activity, but the growth will vary widely by region and sector, with the totals again falling short of the nation.

In the Austin-Round Rock metro area, construction employment grew by 5% from November 2014 to November 2015. That rate outpaced the state and the nation but was less robust than the 8% increase a year earlier. (Data for Austin and most other metro areas includes mining and logging with construction.) Thanks to population growth, tourism, government and university spending, construction in the capital area should continue to outperform the state as a whole in 2016. In the Dallas-Fort Worth-Arlington metro area, construction employment has plummeted from some of the highest growth in the nation—a gain of 11,500 jobs between November 2013 and November 2014—to among the largest declines—a loss of 2,800 jobs between November 2014 and November 2015. (Because the data actually combine mining and logging with construction, the gains and losses to construction employment alone are probably overstated.) In 2016, Dallas and its immediate suburbs are likely to experience moderate-to-strong construction growth but construction around Fort Worth will be dragged down by oil-industry woes. In the Houston-The Woodlands-Sugar Land metro area, construction employment growth slowed dramatically in the past year, from 16,600 jobs added between November 2013 and November 2014 to 4,000 in the following 12 months. Continuing population growth, expanded school construction and the windup of some office and industrial projects

be purchased quickly with cash to a seller versus waiting on financing.

spot and proactive on their end in providing the paperwork the bank has required. Then, the longer processed loans can take up to six months-plus. Keep in mind, this is based on all of the replatting, zoning and permitting processes involved. The loan approval process is the first step of a long process. The six months estimate is the beginning phase of loan application up to the close date. And the close date is based on when the building permit is issued. So, the overall process is truly up to the borrower and how fast they really want to close their overall project.

Do you expect any increases or decreases in business or interest rates? They have been stable. I do not think they will go up. You hear about it from the Fed, but nothing has happened. I think since we are in an election season, that will come down the road. Lenders are being very aggressive and competitive in rates to secure deals. So, it is the time for a small business to request a loan, if they plan to expand, purchase a building or build a new building for their small business.

mately $20 million in approved loan volume, all awaiting on their architects’ plans, zoning, replatting, permits, and just construction bids from their selected general contractor. These are already in the closing group and just waiting. This does not account for the new loans being approved [in December], and this is just the one month forecast in January 2016. I forecast we are just going to get busier in the construction industry in 2016. With that said, I foresee an increase in construction material and costs, as this happens every year. With activity in the market and throughout Texas, I would also hope for an increase in overall appraisal values for the small business customer/client.

What should clients expect when applying for construction loans? With my job role as a construction loan manager-SBA lending, I am working with the borrower on their approved loan to get them to the closing table as well as making sure their selected general contractor has met the bank’s and SBA requirement to minimize the construction risk. The contractors are not applying for the loan, but once I ask for their financials for bank review, they feel like they are applying themselves. The overall goal is to waive the payment and performance bond fee for the small business owner. This is the fee the contractors pass over to the borrower/owner on the contract. My goal is to try to eliminate this fee, to benefit the small business.

Are there any expected shifts in the market that would affect construction loans next year? I have seen historically the overall vacancies rates in existing real estate/condos improve a great deal. I know some of our Texas cities do not have enough inventory to sell, or the real estate seems to

What does the process involve and how long does it take? The SBA-Small Business Lending process is not fast. So, that is a very openended question. We have some small leaseholder deals that have historically closed as quick as 10 days or less. But keep in mind, the borrower has to be on

continued on Page 10

What changes have you seen in construction lending, as a market or in terms of business, over the last five years? And what would you like to see change? Projects are getting bigger and busier. As I stated earlier, if the inventory for real estate is scarce, then small businesses are wanting and needing to purchase their own building or building a new one for business expansion. So, it will only get busier. The overall appraisal values have bounced back since the lull we had back in 2008-2009. So again, I have to repeat that it is the time to borrow, especially for the small business. And keep in mind, the small business has to be profitable and not in the red or negative (net losses). I forecast more and more borrowers want to be their own boss, and then be a small business owner themselves versus working for a big corporate company. And I believe the city fees will increase year after year. I would like to see the building permit process throughout the major cities of Texas move a bit faster to benefit the small business owner. Debra Ruiz began her banking career in 1996 and has been working with small businesses since 1999. She has been with Wells Fargo Bank, NA-SBA Lending for 12 years. –mh

Page 10

South Texas Construction News • Jan 2016

Community service

he American Institute of Architects (AIA) Corpus Christi Chapter had its Holiday Party/Honor Awards on Dec. 8 at Hester’s Café at the Art Museum of South Texas. David E. Lewis, AIA, won the Award for Community Service for his dedication to the community through volunteerism and extended service. The Honorary Membership Award went to Trey McCampbell who has been a champion of the arts, architecture and city development since early in his career. Ray Torno, AIA, was named the Outstanding Member for his many years of service to AIA Corpus Christi and the city. Congrats to the winners! –cw Jacqueline Carlson, 2015 AIA CC president, awarding David Lewis, AIA, with the Community Service Award.

Trey McCampbell receiving the Honorary Membership Award.

Glen Ray Torno, AIA, receiving the Outstanding Member Award.

Submitted to Construction News

Keeping it safe

Special gift

Joni Brown, executive director of Safety Council of the Texas Mid-Coast Inc., works with Noelia Camacho, staff specialist, to help a customer at the Port Lavaca facility. –cw

continued from Page 9 — Focus may keep construction from losing jobs overall in 2016, but further expansion is unlikely for the time being. Construction activity expanded sharply in the San Antonio-New Braunfels metro area in 2015. Construction employment jumped by 10% from November 2014 to November 2015, more than double the national rate or the local rate a year earlier. In 2016, growth is likely to continue but at a more subdued pace. Construction activity was mixed in

South Texas in 2015. Year-over-year employment growth had matched or exceeded the national average through early 2015 in the McAllen-Edinburg-Mission metro area but stalled beginning in April. Employment has been nearly flat in the Brownsville-Harlingen area after slipping throughout 2014 and 2015. (Data for these and most other metro areas includes mining and logging with construction.) In 2016, both areas are likely to record small increases in construction.

L-R: Vimal Patel, who won the Tacky Sweater contest, and Vic DeLeon are showing off one of the White Elephant gifts at the Testengeer Corpus Christi office’s Holiday Party on Dec. 17. –cw

Association Calendar

Content submitted by Associations to Construction News

Want your company in Construction News?

Call or Email us! There is no charge for stories or photos.

STeditor@ConstructionNews.net (210) 308-5800 (home office)

MUSTANG COLT SERVICES Serving Customers Honestly Electrical Contracting • Commercial/Industrial Special Projects San Antonio, TX Weslaco, TX

210 494 7100 956 969 5703

ABC- Coastal Bend

NAWIC - Corpus Christi

Associated Builders & Contractors

Nat’l Assn. of Women in Construction

January 27-General Membership Luncheon, 11:30am-1:00pm, Solomon P. Ortiz Center. For more information contact Venessa Spencer at (361) 289-5311.

Jan 19: National Association of Women in Construction Dinner Business Meeting, public welcome, at The BBQ Man Restaurant, 5:30pm networking, 6pm meeting, Program-TBA. $20. Contact Vickie Thompson at 361-299-6278 or 361-4380593 for more information or check out nawic.org or nawiccorpuschristi.org

ABC - Mid Coast Associated Builders & Contractors

Jan. 21: Installation of Officers & Awards Banquet, Victoria Country Club, 6:30pm

SCTMC

AIA - Corpus Christi

Safety Council of the Texas Mid-Coast

American Institute of Architects

Jan. 5-8: OSHA 511 Occupational Safety and Health Standards for General Industry Jan. 26-29: OSHA 501 Trainer Course in OSHA Standards got General Industry To enroll, go directly to UTA OSHA Education Center at https://web-ded.uta.edu/ wconnect/CourseStatus. awp?&Course+oshhom

Jan. 14: Lunch CEU sponsored by Griesenbeck. Silverado Steakhouse. Jan. 19: Chapter meeting sponsored by Allison Flooring at Water Street Seafood Company, 309 N. Water St. Corpus Christi. 5:30pm Social; 6pm meeting/presentation of CEU.

AIA - Laredo American Institute of Architects

Jan. 27: Walk the Talk: Cities Are for People, a special lecture and book signing by Jeff Speck, author of Walkable City. 7 pm at TAMIU Center for the Fine and Performing Arts Theatre. For more information, contact 956-326-4483.

Include your calendar events Send to STeditor@constructionnews.net

South Texas Construction News • Jan 2016

Construction News ON LOCATION

Ready for Santa

Page 11

Industry FOLKS Juan Borjon, PE Materials Project Manager Terracon Pharr, TX

Melissa Lester and Diane Scales, Lester Contracting in Port Lavaca, are wearing their Christmas gear and getting in the holiday spirit. –cw

Construction News JOB SIGHT

Patching it up

Justin Golla, Friesenhahn Paving of San Antonio, says the crew is patching up the HEB parking lot in Harlingen. –cw

uan Borjon, an Edinburg native, decided to become an engineer in high school. He was gifted at math and had counselors and teachers advising him of the career path. He went to UT Austin and graduated in 2009 with a BS in civil engineering. Unfortunately, that was the same year the recession was making its biggest impact. “It took me a whole year to find a job,” he says. However, he persevered and worked for two engineering companies in the Valley before joining Terracon in 2014. And now, he has achieved the designation of licensed professional engineer. “It means that all the hard work and the push from family members has come to fruition,” Borjon says. “I feel that I have accomplished this and I’m proud of it and of the help I received from family and friends.” The designation comes after two exams – one before graduation and one taken after four years of working under a professional engineer. “Both tests are hard!” he says. Borjon is a materials project manager for Terracon in the Pharr office.

His responsibilities include overseeing daily operations on several CMET projects, including recording data and preparing daily reports of construction materials engineering and testing. He also directs the efforts of technicians and subcontractors on projects and ensures all services are responsive to client needs. Borjon says his biggest mentor is his mother. “My mom is strong and she perseveres,” he says. “She has showed me that you keep fighting regardless of what life throws at you. She raised us with dedication and hard work.” Borjon is still single and is looking forward to his new status as something that will help him in his professional, as well as his personal, life. When he’s not hard at work, he enjoys watching sports, going to the movies and hanging out with friends. –cw

Construction News ON LOCATION

Busy days

Construction News ON LOCATION

It’s this high

Caroline Teliska, showroom consultant for Moore Supply Co. in Corpus Christi, helps customer Donny Anderson get the right measurements. –cw

Submitted to Construction News

Reason for the season

The Loving Spoonful made its annual Christmas shopping trip for 114 children infected or affected by HIV/AIDS. Pictured: Loving Spoonful's Darlene Lee Omana, president and owner of Gill Roofing Co.; Jerry Ysaguirre, Raymond Pokorny, Loving Spoonful board; and volunteers Alfred Blancas, Minnie Perez Melinda Garza, Kathryn Kerr, Kristin Mosley and Carmel Calway. –cw

Mason with Wolfenson Electric Inc. in Wolfenson, TX., is visiting clients. –cw

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South Texas Construction News • Jan 2016

Construction News JOB SIGHT

Construction News ON LOCATION

Have some lime with that

Share a smile!

Diamond 8 Industries shows how lime stabilization is done at a job site in Edinburg. –cw

Lisa Champion and Shirley Porter share big smiles at Factory Builder Stores in Corpus Christi. –cw

Construction News ON LOCATION

Good buds

Ready, set, rent!

Daniel Martinez, Jennifer McBroom and Kyle Budd of Budd Electric in Corpus Christi take a second from their busy day for a picture. –cw

Jack Groom, branch manager, and Lucio del Fierro, inside sales coordinator, with BlueLine Rental are ready to help customers with all of their rental needs in Pharr. –cw