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Austin
CONSTRUCTION
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The Industry’s Newspaper Baylor Street Art, Austin
www.constructionnews.net H (210) 308-5800 H Volume 16 H Number 9 H SEPTEMBER 2017
Turn right at the chicken
Starting the next chapter
L-R: Co-owners, James Gould and Gray Richardson
Collins Johnson, owner of Pinpoint Strategies Inc.
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hen getting ready to make a career move, long-time buddy Gray Richardson, partner and co-owner, convinced James Gould, partner and co-owner to start up a roofing business of their own. Having just hit their 5-1/2 year mark in business, Intrepid Roof Systems is going full steam ahead. The two buddies affectionately refer to themselves as a couple of redneck boys. Richardson from Mobile, AL and Gould from south of Buda met twelve years ago while working on a job together. Being good ’ol boys, the two struck up a friendship that is by no means an accident. The two seem to compliment each other perfectly.
According to Gould, the two good ol’ l boys started their new company the hard way. “We didn’t borrow any money. We started spending a lot of money and doing without. It was difficult at first but we have no regrets. The rewards are far greater than the things we’ve endured.” “Seeing something grow from the beginning, making something out of nothing, working for one’s self and putting in 18-hour days, the time and effort you put in and all the mental anguish, is well worth it. But, the biggest thing is seeing something grow from nothing,” adds Richardson. The company seemed to grow pretty fast for the new entrepreneurs and would like to continue to see some steady continued on Page 17
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t’s been ten years since Collins and Janna Johnson started Pinpoint Strategies Inc. in August of ’07 as a commercial painting contractor. Since that time, the company has been growing step by step. In January of 2009, the company rolled out their commercial drywall division as an added service which included interior demolition, metal framing, acoustical ceilings, door and hardware installations, a variety of specialty acoustical type products and treatments, and miscellaneous installs. By 2011, they introduced their flooring division, separating themselves from the industry standards by offering hard and soft flooring. In 2012 their multi-family drywall division entered into the market, which
piggybacked with their flooring division. The company moved from down downtown Austin to Buda. Fully invested in his customers and his employees, Johnson has special provision for both within their new facility. “It’s a good location with all the work we do in San Antonio and San Marcos, the toll road is close by and we have easy access to get us all around Austin and the surrounding areas,” adds Johnson. The 17,000sf facility offers plenty of office spaces for their staff and management team, and includes a gym for employees to use as needed and a 360 degree PM room with white boards and plenty of work space to spread out. One of the aspects of Pinpoint’s new continued on Page 17
A stone facelift
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ince 1969 Alpha Building Corporation has been providing general contracting solutions to transform how their clients undertake construction. The University of Texas at Austin Main Campus (CAM) Statue Area Remodel CP621315 project was no different. The UT main campus statue area has been a focal point for many major types of events over the years including Graduation, UT Remembers, and Party on the Plaza. It’s no wonder that father time and mother nature finally got their voices heard when the UT system decided it was time for a facelift. After decades of weather, tree sap and billions of footsteps and handprints, much of the historic campus statue area was deteriorating. The $300,000 project took six months to complete. “There were several sections over the years where the stone wall had cracked along with sections of wall where poor repairs had been previously done,”
The newly restored University of Texas Main Campus Statue Area
says Bill James, Project Manager for the UT Project Management and Construction Services Department. James continues, “We started in December 2016 and completed before spring graduation. Alpha’s contract was issued before Christmas break so Alpha could order the replacement stone. Material procurement was a critical milestone for the project. Actual stone repair started taking place when we had the material and could remove and replace sections at the same time. Prior to the arrival of the new limestone, Alpha cleaned the limestone with a specified solution that would remove the biological matter but not harm the existing wall. This process took at least 2 applications before all of the biological material was satisfactorily removed. Alpha then proceeded to repair all mortar joints. Several mortar samples were submitted for acceptance prior to mortar joint repair commenced.” continued on Page 17
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Austin Construction News • September 2017
A clean landscape
Framing with the times
The Azteca Framing team: Top L-R: Jose, Melvin, Amy, owner Carlos Morales, Gabby, Palo, Guillermo. Bottom L-R: Hector and Paco. Jeff Pulley, Business Development in Construction for Clean Scapes
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ack in the ‘80s, a group called Clean Cut went public after growing substantially, was then traded and ultimately bought out under an umbrella of a company called Service Master. With a fiveyear non-compete with their main partners and principals, Clean Scapes, was started as a private company in June 2005. Ivan Giraldo is co-owner and president of Clean Scapes. Jeff Pulley, whose role is Business Development in Construction for Clean Scapes has been with the company for 10 years, and says the company has not seen many slow downs because they are typically the last to feel the changes in the economy. “Clean Scapes has been able to keep moving along during the slow downs, because we are the last to wrap up on projects which gave us a much
better understanding of what was going on and how to position ourselves.” Headquartered in Austin, Clean Scapes has offices in San Antonio and Dallas, which are currently focusing more on landscape maintenance, but plan to keep the horse in front of the carriage in the San Antonio and Dallas markets, as things are constantly improving there, and plan to start performing more landscape construction. “Our president, Ivan Giraldo, runs the maintenance side of the company.” Valuing their employees as their most important asset, they recognize their hard work as the foundation to the company’s success. Clean Scapes is a commercial landscape construction and maintenance company headquartered in Austin. –cmw
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arlos Morales started out in construction as a helper framing houses in 1995 when he was 19 years old. By 1998, Morales had his own crew and working as a dba. Today, at 43, he is the owner of Azteca Framing & Construction. The company was first set up as just Azteca Framing in early 2000, but after the economy began to fall, he added remodeling to his services and changed the name of the company to Azteca Framing & Construction in 2008. Not knowing anything about filling out paper work or computers, Morales enlisted the help of a young lady who would later become his wife. Because the economy was doing well, there was plenty of work for a new company to take off, especially in the Pflugerville area where new construction was rampant. Pflugerville was growing like gangbusters and Morales found himself in the middle of it, so getting started
was not difficult for him. But he says, “the last three years have been the best we have ever had.” Today with five full-time employees, Morales still gets out in the field with his crew. “I’ve always been a hands-on contractor. That’s who I am. Even though I do all the estimating, I still make my way to the jobsites and get my hands dirty.” With six kids, ranging in ages from 22 to 1-year-old, Carlos is always busy. He plays a lot of basketball and soccer and participates in tournaments. He spends quite a bit of his free time with his kids playing sports and taking them to their sporting events. “At the end of the day if the client is happy, then everything is good, says Morales and I wouldn’t change a thing.” Azteca Framing & Construction is a framing and construction subcontractor. -cmw
Austin Construction News • September 2017
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Painting 10 years
Industry FOLKS Stan Rothman Outside Sales Representative BlueLine Rental, Buda
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orn in El Paso, TX, Stan Rothman moved to Houston when he was 12 years old. The youngest of four children, Stan fought to keep up with his two older brothers, Lewis and Pat as well as his older sister, Mitzi. “Growing up in El Paso was great. I still remember playing football with my brothers in what, most times, was little more than dirt and stickers. Other times, we would venture into the sand dunes to ride our bikes down them, or use an old piece of cardboard like a sleigh to slide to the bottom.” Rothman moved to Houston when his father chose a new career path and soon opened the family’s printing business. They settled in the tight community of Alief, just on the Southwest outskirts of the “Big City.” “Alief was such a great place to grow up in at the time. Everyone knew everyone. Our parents knew most of the other kids and their parents and never had to worry where we were. It was a safe and close community. To this day, most of us still stay in touch in some form or fashion.” Rothman is the proud father of two beautiful girls, Lauren and Staci. “Lauren, my oldest, is an Events Coordinator in the Nashville area while Staci is working full-time for a law firm in Katy while finishing her last year at The University of Houston and is set to graduate in May, 2018.
There are many sides to this Outside Sales Representative of BlueLine Rental, including having performed stand up comedy. Anyone familiar with Stan knows he is always trying to make people laugh and always has a joke to share with anyone within earshot! “ I’d love to do some more stand up. There’s nothing more rewarding than to know you were able to bring joy and laughter into someone’s life and make them forget the problems of this crazy world, even if it’s just for a short while. “I love to write. Some of my closest friends are in the entertainment business. My good buddy Brian Black and I are always talking about sitting down and writing some songs together. I’m always jotting down thoughts to put into songs. I have a couple of songs I’m working on now. They’re almost done, but missing that little something that will make it special.” Rothman has been with BlueLine Rental, Buda Branch, since September of 2016 and covers the south Austin to north New Braunfels areas. “I love what I do. I love helping contractors finding solutions to their equipment needs and just meeting all the wonderful folks and building those longlasting relationships.” -cmw
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L-R: Terri Fleming of Rogers O’Brien, Kasy Lansangan, and Chaundra Callaway of Equipment Depot
The National Association of Women in Construction (NAWIC) awarded 4 recipients with scholarships. Eric Mares received $2,500; Jose Leyva received $2,500, Crystal Guido received $1,500; and Kasey Lansangan received $1500. –cmw
Austin
CONSTRUCTION NEWS
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find new business, so we’ve learned a lot about using online marketing by using Angie’s List and Yelp,” adds Miller. Tex Painting covers a 50-mile radius outside of Austin and the surrounding area and has plans to expand out even further. “I believe there is enough business in and around Austin and the growing areas in Leander, Georgetown, Dripping Springs and San Marcos. We’re going to focus on those areas and maximize Austin.” Now in his 10th year of business, Miller says the only regret he has is that he wished he had kept a better database of his customers early on. “Many of our customers from 10 years ago are finding us through different avenues, but I’m doing a much better job of staying in touch with my customers keeping them informed of valuable information about what’s going on in the Austin market, the painting world, the real estate world and things like that.” Tex Painting is a painting subcontractor in Austin. –cmw
A dragon in plumbing
Furthering education
L-R: Terri Fleming of Rogers O’Brien, Crystal Guido, and Chaundra Callaway of Equipment Depot
Scott Miller, owner of Tex Painting
hile attending the University of Texas studying business, Scott Miller, owner of Tex Painting found an opportunity to learn entrepreneurship through a program that taught business through running a small painting business. “I learned as a student and then when I graduated, I saw an opportunity and that’s how I got started,” says Miller. Miller established Tex Painting in 2007 after graduating from the University of Texas. Currently with five employees yearround that help manage jobs and crews, Miller says the company seems to grow each year. “Every year we keep adding more and more services, and expanding our geographical customer reach. “ Focusing on residential interior and exterior painting as well as multi-family commercial painting along with drywall repair, tape and float, and popcorn removal, the business has certainly evolved since getting started. “Technology has changed marketing. As we grow on the referral side, we also want to go out and
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Gilbert Jimenez, owner of Blue Dragon Plumbing
ilbert Jimenez began his plumbing career 30 years ago while in high school in Philadelphia. Although he did not finish high school, he was able to continue his interest in plumbing. “I dropped out of high school and high school shipped me off to Job Corps in 1981. After graduating from Job Corps in 1983, they sent me to San Antonio. I got my journeyman’s license in 1985 in Texas.” He enjoyed plumbing so much; he decided to stick with it and today is the proud owner of Blue Dragon Plumbing, a family-owned business he began in 2011. Serving Austin and all surrounding areas including Georgetown and San Marcos, this small operation by most standards, stays extremely busy, which was evident by the many attempts in trying to meet up with Jimenez between his service calls. “We run a very busy operation,” he says. Getting started with his own business was not difficult for Jimenez, he says. “Finding good help has been difficult, but
being on my own has been a blessing.” When not servicing his customers, Jimenez stays busy doing regular projects like washing the company trucks, mowing the grass and just enjoying down time with his wife of 27 years. “I try to keep myself busy, I don’t know how to relax,” says Jimenez. Jimenez would like to see his company grow to a full crew and offer 24-hour service to his customers. “Blue Dragon Plumbing is here to stay. Our goal is to grow and to have a vehicle on all four corners of the city so that when customers call us we can be there because, as we speak, we are referring calls. Every day we have to refer calls because we have so much work. I keep five small companies very busy through referrals. I want Blue Dragon Plumbing to be known all over the city.” Blue Dragon Plumbing is a residential and commercial plumbing contractor in Austin and the surrounding areas. –cmw
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Austin Construction News • September 2017
school that next Monday, I knew my times tables and suddenly they were like, this guy is smart. Where did you live after coming back to the States? Did you move around? We moved to Killeen because my mother wanted us to have more stability while my dad finished his army career until he retired.
Antonio Giovanni Naylor President Reliance Architecture Austin, TX
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here were you born? I was born in Frankfurt, Germany. My dad was in the service and he immediately made sure I was a US citizen so there wouldn’t be any issues. From what I understand, you can get dual citizenship if you are born in Germany with military parents, but the way my dad did it, that ruled that out for me. How did you feel about that? I actually didn’t have a problem with it. From moving around, I knew some other people who had to declare their citizenship once they turned 18 years old. But, I didn’t have to do that. How long did you live in Germany? We lived there twice. I lived there my first three years of life. Then we left and came back. The second time there, we were there until I started second grade. Can you speak German? I haven’t spoke German in a very long time. Now I’m 49 years old. If you don’t use it, you lose it. What was it like for you when you came back to U.S.? It was quite an adjustment because of the way they did education. Over there, it moved a little quicker. We did a lot of field trips and when I got here, they did not do that so it was a bit of a cultural shock for me. Also, in Germany, we had not done times tables (multiplication tables), so the kids were kind of mean because I didn’t know my times tables. My mother sat me down over a weekend, I learned my times table, and when I went back to
Where did you go to school? I went to Killeen High School. I’m a Kangaroo. A lot of people shy from it, but I am pretty proud of it. I thought it was unique. Most schools are lions, tigers, and bears [oh my]. From there, I went to Texas A & M. How did you end up in Austin? When I graduated from A & M, I asked my parents for one gift. That gift was to let me come home, decompress and then I would go out and find a job. They allowed me to do that. This was right after the savings and loans crisis, and what I didn’t know is that a lot of architects and engineers had gotten to the point where they had to shut down their businesses or it got down to just the principals of the firm and they weren’t paying themselves so they couldn’t afford to hire anyone. How did you know you wanted to go into architecture? It was something I always wanted to do. I would draw anything I saw. One of the things my parents always talked about, was when we flew over New York going to Germany, I sketched what I saw, perspective wise and everything. From that point on, they recognized that and helped to nurture it. I was always drawing and sketching things. And I wouldn’t just sketch, I would try to invent too. I would experiments and sketch up different solutions with dimensions and stuff. What is your degree? I hold a Bachelor of Environmental Design degree in the School of Architecture at Texas A & M. I’m a proud Aggie and the traditions there have grown dearer to me over the years. How long did it take you to find your first job? It took about a year. I realized I couldn’t just sit around and not make any money. I knew I could draw house plans because you don’t need a license to do house plans and I started a design and marketing company, Gio Designs. I actu-
Antonio Naylor, President, Principal Architect for Reliance Architecture in Austin, TX
ally got work doing menus, logos and house plans. I finally got a call to come down to Austin and interview with a company, but I had already planned a trip to go see a friend. They told me that the job might not be available if I did not come, immediately, which created a dilemma. I went with my gut. I thought if it were really meant to be, the job would be there when I got back. When I came back I gave them a call, went on the interview, they made me an offer right on the spot and I got the job. How long was it before you started Reliance Architecture? I just started Reliance in June of this year, 2017. The soft opening was at the end of March, but the official opening was in June. I worked for my previous firm (Fromberg Associates) for 19 years. I’ve been doing architecture for 25 years. What made you decide to go into business for yourself? The firm I was working for was coming to a crossroad because the owner was thinking of retiring. We started talking about doing a transition and began putting transition plans together, but as we started doing that, we started realizing the economics of it and it favored us going out on our own. Was it a long process? It was about three years in the making before breaking away. I actually partnered with a guy from the firm named Clifton Stuckey. We worked together for six years and had always talked about how we could better serve our clients. Stuckey and I learned that we had a wealth of knowledge that needed to be captured and focused on our clients. Our clients wanted a well-managed project that didn’t interrupt their business and provided value to their stakeholders. We decided we needed to take that knowledge and streamline the process to ensure that our clients are taken care of efficiently. Is there anything you did personally to help you serve your clients better? Yes. I realized that my educational clients had a unique set of issue that I was
not privy to when interviewing them for a project. I entered an advanced certification program in the Educational Leadership program at San Diego State University in partnership with Association for Learning Environments. I learned about how my clients went about their business of educating minds and partnering with their communities. I am proud of what I learned in attaining the distinction of Accredited Learning Environment Professional (ALEP). Tell me about Reliance Architecture. Reliance Architecture is reflective of our desire to be dependable and trustworthy in our service. Our projects cover a wide variety of size and types of projects from educational to public facilities, with about 40 clients, including working with many clients repeatedly on several projects. Are your parents excited that you started your own firm? My mother was very supportive after I came home from college, but she passed away shortly after that. My dad passed away in 2015, but before that he was also supportive. He was always asking, “What do you need so you can get your license. I really think you can start your own business.” Neither of them got to see me do this. But I know their spirit and feel their continued support. What do you do when you are not working? I tried for a long time to do water color. What I like about watercolor is, it is not a media that you can control. You have to work with it and that’s the reason I was tried it, but I just never seem to have the time. But I still continue to sketch. I like to go fishing. I love it. I have a kayak that I bought and take down to the coast. I go out in the bay and fish. Even if I don’t catch anything, being on that kayak out in the water is just a great thing. And the fishing part of it is very simple. I try to figure out where that fish is to put it on that hook. Reliance Architecture is a full service Architecture and planning firm, focused on educational and public architecture. –cmw
Austin Construction News • September 2017
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Trees in construction
Meet the contractor
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ontractors, subcontractors, and suppliers had the chance to meet contractors at the Associated Builders & Contractors “Meet the Contractor” event held Aug. 9 at the Norris Conference Center. - cmw
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Davey Tree Sales Arborist, Derek Hausman
robably one of the oldest companies ever featured in Construction News, Davey Tree was established in 1880 in Ohio. And no, 1880 is not a typo. The employee-owned company has been in the Austin area for 20 years and as you can guess, is nation-wide. They also have locations in Europe. “Davey Tree is a tree management company specializing in all aspects of tree care; pruning, removal, pests and disease, and management in both the residential and commercial sides of construction,” says Derek Hausman, Sales Arborist. “Our commercial involvement entails mitigation, removal, identifying problems be-
fore they become a problem, more preventative instead of reactionary.” With 25 employees in the Austin location, the company provides service from San Marcos to Waco. Hausman has been with the company for three years. He started dragging brush while going to school and found that he really enjoyed that. He later got what he calls a lucky break, moving him into sales, but says he misses dragging brush. Davey Tree provides comprehensive landscaping, grounds management and tree care services on commercial properties across North America. –cmw
L-R: Panel of guest speakers: Jason Spencer, Journeyman Construction; Dan Shackleton, Harvey-Cleary Builders; James Shaw, TDIndustries; Turner Kerr, DPR Construction; and Chandler Brooks, Procore.
Honest and true Jason Richardson, Construction Account Manager for Waste Management
L-R: Natalya Sheddan and Brittany O’Brien of Cokinos|Young
Working the dream
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Bibiano Morales II and wife, Jenny, owners of BMC Plumbing.
fter loosing a finger on the job, Bibiano Morales II found it hard to find work he says due to the workers compensation claim that was filed. But he did not complain, his wife did not complain. They knew they had each other. Morales started out as an plumber’s helper back in 1997 for Custom Plumbing and eventually got enough hours to take his journeyman’s license test. “Back in those days you didn’t have to go through an apprenticeship program to get your license. You just had to have enough hours working under a journeyman to take your journeyman license test. Then you worked a couple more years as a journeyman to take your master plumbers test,” says Morales About a year after getting his license, Morales decided to start up his own company, BMC Plumbing in 2005. Getting started was difficult for Morales he says. The first year was the hardest, but nothing is impossible. Finding plumbing jobs wasn’t easy, but finding good people was the hardest. “Some people just tend to take advantage of you especially when you don’t speak good English and because they you are not from here. I’m a 100% Mexican. I come from Acapulco, Mexico,” says Morales. “Today, We have eleven employees. Two of them are journeymen and the rest are apprentices, so from that one year mark through
today has been good. Every job, we do our best and I’m honest with our clients. Sometimes my clients wait for me to finish up jobs because they want me to do their job. If I miss something in my proposal, I make it right. I take care of the customer first and foremost. “ Although BMC does service calls, their primary focus is new construction and services Austin and the surrounding counties, but will go wherever they need to go. “We do work in Houston, San Antonio, Dallas and we have even don work in Tallahasse, FL. “I always say this, if we are going to make money for me and my guys, we will go where the job takes us.” Morales does all the estimating, but stills work in the field, while his wife Jenny oversees the office. They have been married for 17 years and three children. Bibiano III who is 8 ½ years old, Jared who is 7 years old, and Jenny who is four years old. His oldest, Bibiano likes to play the piano and my little Jenny likes to sing. “Jared is my right hand. He’s always by my side. He even answers the phone for me. “When I’m not working I try to stay home with my kids on Saturday. We go swimming, play basketball, watch movies, but Sunday for sure, we go to church.” BMC Plumbing is a full-service plumbing subcontractor in Austin. -cmw
L-R: CORZA Construction owner, Juan Carlos Garza, and Project Manager Corey Edwards.
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hile pursuing his Bachelor of Arts degree in Civil Engineering, Juan Carlos Garza began taking on leadership roles on any informal project he could get his hands on. He seemed to have a knack for it. After completing his degree, he jumped into the workforce pursuing job positions with managing responsibilities and soon realized that he could work hard and fulfill a childhood dream of owning his own company. CORZA Construction was established in 2015. Based in Austin, CORZA Construction specializes in government, commercial and residential construction with specific scopes of work in concrete, masonry, landscaping, land clearing and demolition. Garza has always had a passion to build. When he was just 8 years old, Garza was determined to build the strongest tree house in his neighborhood. “I started out by collecting pieces of scrap materials and soon realized I would need more to work
with, but how?” reflects Garza. “I sold cold lemonade at my grandfather’s auto parts shop during the summer. I not only was able to get more material, I was able to pay a carpenter to help me build a stronger structure.” Starting a company was not easy because the industry was and still is always changing. The industry would slow down and then it would get a jump-start again. “There is something out there for everybody. My heart is in this. I take pride in the work I perform with my team.” When not working, Garza enjoys the great outdoors. He has a great passion for fishing, hunting and horseback riding. “I greatly believe that one must give in order to receive, and I want to give back to the community.” CORZA plans to collaborate with charitable organizations in the near future to provide services at reduced prices. CORZA Construction is a specialty contractor in Austin, TX. –cmw
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Austin Construction News • September 2017
Sales and Use Tax and the Texas contractor: Solve the riddle! (Pt. 3) Stephanie M. Thomas, Principal Thomas, Thomas & Thomas, PC Houston, TX
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s you know, sales tax rules in Texas vary depending on project type, contract type, property type and entity type. Let me refresh your memory on the four simple questions a contactor must ask at the beginning of the project to determine sales tax: • What type of project is it (new construction or repair/remodeling)? • What type of property (residential or commercial) is it? • What type of contract is it (lump sum or separated)? • What type of entity is it (tax exempt or taxable entity)? The answers to these questions will guide the way you charge and remit sales tax. See my articles from June and July for more details. Now, let’s focus on the guidelines for construction projects for sales tax exempt entities (also known as governmental agencies and charitable, educational, and religious organizations). Contractor’s sales tax responsibilities are relatively simple when working on a project for a sales tax exempt entity. Separately stated sales tax is never invoiced, regardless of contract type, property type or contract. Also, contractors may purchase certain items tax-free for use in the project. The following information is general and reflects current Texas sales tax rules only. Sales Cycle: Invoicing for a sales tax exempt entity. A contractor does not invoice sales tax exempt entities sales tax. Purchases Cycle: Sales tax the contractor should pay. If the project is for a sales tax exempt entity, the contractor may purchase incorporated materials, subcontractor labor and consumable supplies tax-free. The consumable supplies must be necessary and essential to the performance of the contract and completely consumed at the jobsite. An exemption certificate should be issued to subcontractors, incorporated material suppliers and consumable supply suppliers in order to purchase these items tax-free. The contractor may purchase taxable services tax-free if the following requirements are met: • the contract expressly requires the service to be provided or purchased by the contractor • the service is integral to the performance of the contract • the service is performed at the jobsite If all of these criteria are applicable, the contractor may issue an exemption certificate to the taxable service provider in order to purchase the service tax-free. Tools, equipment rentals, silt fencing, scaffolding, etc. are taxable to the contractor
regardless of the entity type (i.e. exempt or taxable). These items are tax exempt only if the exempt entity, not the contractor, purchases them. Note: There is an exemption for silt fencing components purchased by the contractor for use on tax exempt projects only. For additional information regarding this or other exemptions, please contact me or the Texas Comptroller of Public Accounts. Required Documentation It is important that the contractor obtain the appropriate documentation that their client is exempt from sales tax. A purchase voucher, invoice or contract is sufficient proof of the exempt status of a governmental entity. For all non-governmental tax exempt entities, obtain a properly completed exemption certificate as soon as possible. We also recommend you confirm their exempt status online via the Exempt Organization Search and Verification link in the Searchable Taxpayer Information database on the Texas Comptroller of Public Accounts website. Understanding your sales and use tax responsibilities will help you avoid any sticky issues with your customers and the Texas Comptroller of Public Accounts. If you have questions or concerns about your sales tax obligations regarding tax exempt or any other type of construction project, please feel free to contact me. DISCLAIMER: The information provided above is general in nature and is not legal advice. The provider of the information makes no representation regarding the law and/or its application to any entity’s specific situation. Because state tax laws, policies, and applications are dynamic, please consult with a state tax professional for a complete rendition of the law as it may apply to your specific situation at a particular time. Brief Bio: Stephanie Thomas, CPA has helped clients with sales and use tax issues exclusively since 1998. Each month, Stephanie teaches Texas Taxes for the Construction Industry. Her new online class series starting in September will help construction companies and contractors understand their sales tax requirements. Her firm, Thomas, Thomas & Thomas, PC is a CPA firm that addresses state tax issues only. They help clients all over the country address sales and use tax audits, minimize sales and use tax deficiencies, and understand how to comply with applicable sales and use tax laws. Stephanie can be reached at (832) 5591564 or Stephanie@thomaspc.com.
OSHA’s Crystalline Silica Rule Stan Gregory, Safety & Risk Consultant INSURICA San Antonio, TX
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n March 25th, 2016, the Occupational Safety and Health Administration (OSHA) issued a final rule regarding respirable crystalline silica. Under this rule, employers are now subject to new standards for protecting workers. As the construction industry approaches the required implementation date of September 23, 2017, it is a good time to review the highlights. What’s a Little Dust? Although silica looks like dust, it’s much more harmful to your lungs. Silica dust is a human lung carcinogen, and breathing it in causes the formation of scar tissue on the lungs, reducing the lungs’ ability to take in oxygen. Without proper protection, exposure poses a serious threat to workers. The most severe exposures to silica dust result from abrasive blasting, but those working in cement and brick manufacturing, tool and die, maintenance and the steel and foundry industries are at high risk as well. About 2 million construction workers are exposed to respirable crystalline silica in over 600,000 workplaces. OSHA estimates that more than 840,000 of these workers are exposed to silica levels that exceed the new permissible exposure limit (PEL). Exposure to respirable crystalline silica can cause kidney disease, silicosis, lung cancer and other respiratory diseases. Here is some common construction equipment that can expose workers to dangerous levels of silica: Masonry saws Grinders Drills Jackhammers Handheld powered chipping tools Vehicle-mounted drilling rigs Milling equipment Crushing machines Heavy demolition equipment The construction standard does not apply in situations where exposures will remain low under any foreseeable conditions. This includes tasks such as mixing mortar, pouring concrete foundation walls and removing concrete formwork. What Does the Standard Require? The standard requires that employers limit worker exposure to respirable crystalline silica and take other steps to protect workers. The standard provides flexible alternatives, especially useful for small employers. Employers can either use a control method, or they can measure worker exposure to silica and independently decide which dust controls work best to
limit exposures to the PEL in their workplaces. Regardless of which exposure control method is used, all construction employers covered by the standard are required to do the following: • Establish and implement a written exposure control plan that identifies tasks that involve exposure and methods used to protect workers, including procedures to restrict access to work areas where high exposures may occur • Designate a competent person to implement the written exposure control plan • Restrict housekeeping practices that expose workers to silica where feasible alternatives are available • Offer medical exams—including chest X-rays and lung function tests—every three years for workers who are required by the standard to wear a respirator for 30 or more days per year • Train workers on work operations that result in silica exposure as well as on ways to limit exposure • Keep records of workers’ silica exposure and medical exams Important Things to Remember • OSHA’s final silica rule establishes a new permissible exposure limit for respirable silica. • Employers must implement specific measures to protect workers. • The intent of the rule is to reduce the risk of diseases caused by exposure to respirable crystalline silica. • Employers in the construction industry must comply by Sept. 23, 2017. For additional information on OSHA’s silica rule, go to www.osha.gov/silica. Stan Gregory is a Safety and Risk Consultant and a leader on INSURICA’s Risk Management team. He has more than three decades of experience working with loss control, safety planning, and risk management for clients within the construction and energy industries. He can be reached at 210-805-5915 or sgregory@INSURICA. com.
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Seeing it through
L-R: Daniel Aguilar, General Manager and Residential Associate Eunice Morales of Alpha Glass pose for a photo after speaking with Construction News. -cmw
Austin Construction News • September 2017
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The Economic Loss Rule and construction defect litigation Part 3: Blurred lines, uncertainty, and recent legal developments Varant Yegparian, Associate Schiffer Odom Hicks and Johnson PLLC Houston, TX
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his is the third article in a three-part series about the economic loss rule. As previously discussed, the rule sorts legal claims by distinguishing whether a party can recover under contract or in tort. Thus, how the rule draws the line between contract and tort claims is vital for those in the construction industry. Indeed, if the rule sets a broad scope for contract claims, parties who rely on the certainty provided by certain contractual provisions (i.e., damages caps or attorney’s fees provisions) will be better off. Correlatively, if the rule sets a broad scope for tort claims, then parties who seek to avoid damages caps, attorney’s fees provisions, etc. will benefit. In either scenario, the rule’s ability to provide clear lines is of the utmost importance. However, recent Texas court decisions have blurred these lines—creating uncertainty for the construction industry. One of these decisions, Chapman Custom Homes, Inc. v. Dallas Plumbing Co., was decided by the Texas Supreme Court in 2014.1 In Chapman, a homeowner contracted with a builder to construct a home. The builder subcontracted with a plumber to install the home’s plumbing. The plumber’s work was defective and leaks damaged the home. The homeowner and builder both sued the plumber. Applying the economic loss rule, the appellate court determined (1) that homeowner could only sue the plumber in tort because its only contract was with the builder and (2) the builder could only sue the plumber for breach of contract because it did not own the (damaged) home. The court dismissed the builder’s claim because it could not recover on damaged property it did not own. And due to a pleading defect, the homeowner only asserted a contract claim which the appellate court dismissed because the homeowner had no contract with the plumber. The Texas Supreme Court reversed the appellate court’s ruling. In doing so, the court turned to a 70 year old case for the proposition that “having undertaken to install a plumbing system in the house, the plumber assumed an implied duty not to flood or otherwise damage the [owner’s] house while performing its contract.” This is where things get murky. The court seemed to use a tort theory—i.e., the obligation to not damage property which is outside the scope of one’s contractual work. However, the homeowner never
Electronic submission of injury and illness records to OSHA launched August 1 Joann Natarajan Compliance Assistance Specialist OSHA Austin, TX
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he Occupational Safety and Health Administration launched on Aug. 1, 2017, the Injury Tracking Application (ITA). The Web-based form allows employers to brought a tort claim—the only duty it electronically submit required injury and illness data from their completed 2016 OSHA Form claimed breached was contractual in na- 300A. The application will be accessible from the ITA webpage at https://www.osha.gov/ ture. In discussing this implied duty, the injuryreporting/ita/. Chapman court blurred the distinctions Last month, OSHA published a notice year counts as one employee, including to extend the deadline for submitting 2016 full-time, part-time, seasonal, and tempocreated by the economic loss rule by allowForm 300A to Dec. 1, 2017, to allow affected rary workers. ing a party to, essentially, use a contract entities sufficient time to familiarize them- Establishments that are partially ex(which was only for plumbing work) to re- selves with the electronic reporting system, empt from OSHA’s recordkeeping due to cover in tort (damage to the whole home). and to provide the new administration an industry are not required to submit data, Picking up on Chapman, the Corpus opportunity to review the new electronic regardless of establishment size. ConstrucChristi appellate court used the implied reporting requirements prior to their imple- tion industry employers are required to duty to allow a party to sue a project engi- mentation. Employers have from August 1st maintain the OSHA 300 log if the employer neer for damage to an apartment complex to December 1st 2017 to submit their OSHA has 10 or more workers, though the requireit purchased from the complex’s builder in 300A data in the online system. ment to submit data electronically only afUSA Walnut Creek, DST v. Terracon Consul- Employers who are required to submit fects those employers with 20 or more tants, Inc.2 The Terracon court allowed the data online are those employers that are al- workers. purchaser to sue the engineer for damage ready required to maintain the OSHA 300 The data submission process involves caused by improperly designing the com- occupational injury and illness log, and have four steps: (1) Creating an establishment; (2) plex’s foundation—including damage to at least 20 workers at their establishment. adding 300A summary data; (3) submitting the foundation itself—despite the purchas- The electronic reporting requirements are data to OSHA; and (4) reviewing the confirer not having a contract with the engineer. based on the size of the establishment, not mation email. The secure website offers Seizing on the notion of an implied duty, the firm. The OSHA injury and illness records three options for data submission. One opTerracon presents another example of a are maintained at the establishment level. tion will enable users to manually enter data court sidestepping the lines set by the eco- An establishment is defined as a single into a web form. Another option will give nomic loss rule by allowing a party to re- physical location where business is con- users the ability to upload a CSV file to procover what essentially were breach of con- ducted or where services or industrial oper- cess single or multiple establishments at the tract damages (i.e., improper construction ations are performed. A firm may be com- same time. A third option will allow users of prised of one or more establishments. To automated recordkeeping systems to transand design services) from a party with determine if you need to provide OSHA mit data electronically via an application whom it had no contract. with the required data for an establishment, programming interface. If the results of these cases seem con- you need to determine the establishment’s For more information, please visit fusing, it is because they are. The implied peak employment during the last calendar https://www.osha.gov/injuryreporting/induty discussed in Chapman blurs the dis- year. Each individual employed in the estab- dex.html natarajan.joann@dol.gov tinctions set by the economic loss rule by lishment at any time during the calendar 512-374-0271 x232 allowing parties to recover contract damages under tort theories and vice versa. Allowing parties to avoid the economic loss rule’s restrictions in this way—and thus avoid limitations like damages caps or attorney’s fees provisions—upsets the contractual allocation of risk. And allowing parties to avoid the careful balancing of risk in their construction contracts represents a danger to those in the construction industry. Attention will have to be paid in the following years to see if the courts continue to blur these lines. Contact: Varant Yegparian Schiffer Odom Hicks Johnson PLLC 700 Louisiana Ste. 2650 Houston, TX 77002 Tel: 713.255.4109 vyegparian@sohjlaw.com 1 445 S.W.3d 716 (2014). 2 2015 WL 832273 (Tex. App.—Corpus Christi Feb. 26, 2015, pet. denied)
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Apprentice contest
L-R: Austin Konderla, R.E.C. Industries – Bryan, TX; 1st Place winner Robert Chauvey, Beyer Plumbing – San Antonio, TX; Michael Gammons, Raven Mechanical – Houston, TX; and 2nd Place winner Evan Mayeaux, Central Texas Plumbing – Waco, TX pose for a photo after the PHCC-Texas Apprentice Contest held Jul. 21 at the PHCC-Texas office in Buda.
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Austin Construction News • September 2017
A fit for roofing
A two-way street
L-R: Scott Miller, owner of Tex Roofing and Emmanuel Rodriguez pose for a photo outside one of their residential jobsites.
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hen it comes to roofing, it seems that painting and roofing are a natural fit for the owner of Tex Painting, Scott Miller who established a second company, Tex Roofing, in 2011. “There’s a great deal of roofing demand in the Austin market. I was doing a lot of painting work and customers kept saying “Can you look at my roof?” After turning down about 20 opportunities to look at a roof, I eventually said, “Okay, let’s look at your roof.” I brought in an expert who taught me and put him on the team and then looked at what was needed to start a roofing company and the proper insurance and certifications. Before I knew it, I scheduled my first roof and we were on the ground running. “I want to be a specialty business and not a Jack-of-all-trades. That’s why I brought in specific roofing crews and techs to manage and estimate jobs. That way we are not trying to manage all different types of trades and just focus on one.” The exciting thing about roofing, Mill-
er says, is when it is raining, storming and the weather is bad, roofing is busy and painting is slow and vice versa. “When it’s beautiful outside nobody is thinking about their roofs, but they’re thinking about the outside of their home.” The most difficult thing for this young entrepreneur, he says, is balancing life and work. “My wife has been very supportive and understanding with the discipline and time it takes in building a business. A lot of us have young kids so we’re just trying to balance work and raise some good kids. I have three kids, ranging from 1 to 6-years-old. “I really enjoy the roofing business. It’s more of a construction feel versus painting. There are a lot of cool things that are coming with roofing technologies, whether it is metal, shingle or CPO, which is an applied material. We’re staying up on the latest trends.” Tex Roofing is a specialty subcontractor in Austin and the surrounding counties. – cmw
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A burst of light
Collins Johnson, owner of Conquest Demolition
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wners Janna and Collins Johnson could not be happier with the success their demolition company, Conquest Demolition is experiencing. “We hit the ground running. We have done absolutely wonderful things in the last two years. We’ve grown and we have a great presence,” says Collins. Offering a full array of demolition services from total building demolition to selective demolition, Conquest also has a service division offering concrete scanning, coring and saw cutting of every nature. Using the latest, state-of-theart technology, Conquest can scan concrete and show what is in the concrete; can show 3-D images of it, show more or less where conduit, rebar and posttension cable lies within it. “We own our own equipment; excavators, backhoes, skid steers, and much more. We have an in-house fleet manager who oversees our fleet maintenance and service. We can repair our equipment “in-house” either at our shop or in the field with our own salaried mechanic,” adds Collins. Growing Conquest very aggressively, the two-year-old company is backed with a highly experienced staff. “We have managers with 30 plus years experience. We have made sure that we take our time to procure the right personnel. “Everyone on our staff has OSHA training, OSHA 10 or above. We are very strong on safety training. It is very important to us that everyone goes home to their families every day safely. We take great pride in our safety record and we hold employee safety
above all other initiatives. “At Conquest, we feel that the Employer/Employee relationship is a twoway street. So many business owners say, ‘I hired you, you owe me because I gave you a job.’ While that may be true, the other side of the coin is that they just entrusted their most valuable assets with you; their spouses, their children, being able to send their kids to college, being able to take care of their family. They trusted their livelihood with you and your business model. We have great respect for our staff and we know they all have choices as to where they work. Although, we have solid expectations of their commitment to their job descriptions and to our business overall, we also understand that an employee has certain expectations of their employer. It’s a two-way street between an employer and employee relationship.” Conquest Demolition continues to grow and will always strive to be the best at what we do. Our customer’s trust in our services and our staff’s trust in our business model keep us moving in the right direction every day. “We remain committed to our customer base and resourceful to our staff”, adds Collins. “We fully intend to be the best at what we do and we want the market to continue to see us as their best choice for our services.” Conquest Demolition is a full service demolition and concrete cutting subcontractor in Buda servicing the greater Austin area, San Antonio and College Station. -cmw
A series of challenges Eager to shine their light L-R: Hallie Cheramie, manager Scott Bailey, and Jamie Kellam pose for a photo at Lighting Inc. at 10401 Burnet Rd. - cmw
A new location
Chamberlin Roofing & Waterproofing shared this photo of their staff outside their new location at 2755 Business Park Dr., Buda, TX. -cwm
Lisa Doris with Premier Partners participates in the Ultrex Virtual Reality Experience from Integrity hosted by the National Association of the Remodeling Industry (NARI) on Aug. 16
Austin Construction News • September 2017
Page 9
Summer fishing heating up! by Capt. Steve Schultz Sponsored by: Waypoint Marine, Majek Boats, Evinrude Outboards, Fishing Tackle Unlimited, E-Z Bel Construction, Costa Sunglasses, Diawa Reels, Power Pole Shallow Water Anchor, Aggregate Haulers, ForEverlast Fishing Products, Interstate Batteries, MirrOlure, and AFTCO Clothing.
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ishing continues to be staying strong during the dog days of summer. While most of the guides are still catching limits of trout, I have started seeing some reds show up at the cleaning table. This is a good sign this early in the month as I only see it getting better as we finish out August and get into September. When targeting reds in the Laguna Madre, you can start by running the flats early in the morning looking for schools that have not been pressured throughout the night. Usually these schools are in one to two-ft. of water and will push a wake of water when they hear you coming. Having a soft plastic or a spoon tied on your rod and a quick hand will give
Mark Kirshner poses with his 26-in. speck he caught last month fishing with Steve Ehretsman of Athens, GA. Limits of trout and several reds were caught fishing with Steve Schultz Outdoors.
you an advantage when you find a school. If that’s not your game, you can anchor on some of the many sand pockets or grass lines along the King Ranch shoreline where redfish frequently travel. Live croakers and piggy perch work well with this method as does cut bait, such as skipjack, menhaden or crab. Another method which I see most weekend fishermen doing is drifting the flats. This is a
Large mouth
Shaun Vogel, Alpha Insulation & Waterproofing shows off this 8-lb. large-mouth bass he caught while fishing in a secret spot in Austin. -cmw
great way to cover lots of water and locate fish without spending lots of time in the same location. Shrimp under a pop-
ping cork or your favorite lure is the preferred method when drifting. Whichever of these methods is your favorite, you can be sure that when you do hook onto a redfish, it will be one of the toughest fights in our bay’s system. These fish don’t know the meaning of giving up and will test your tackle to the extreme. Ideal redfish tackle should start with at least a 7’ casting or spinning rod in the medium to medium heavy weight. 7 ½ foot is preferred and used by most of the local guides. A 4000 class spinning reel of medium size bait caster spooled with 30 lb. braid and a 30-40 lb. fluorocarbon leader will make fighting Ol Mr. One Spot a breeze. Please remember to stay hydrated and protect yourself for the harmful UV rays of the sun. Apply sunscreen, at least SPF 30 or greater, 30 minutes before going out and wear light colored clothing. Keep plenty of water and Gatorade on the boat and be prepared for the unexpected. September weather is just as brutal as August, and heat indexes can reach well above 100 degrees, so stay cool! September dates available are 6, 11, 12, and 28. October is also a great month to fish. October dates available are 2, 3, 9, 10, 11, 16, 17, 23, 24. Don’t wait, these dates won’t last long. To schedule your next bay fishing trip give Capt. Steve Schultz a call at 361-813-3716 or 361334-3105 or e-mail him at SteveSchultzOutdoors@gmail.com. Good luck and Good Fishing.
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Austin Construction News • September 2017
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 the radio as follows: The Great Outdoors: 5-8 am Saturday on 1300, The Zone, Austin and The Great Outdoors: 5-7 am Saturday on 1200 WOAI San Antonio The Sunday Sportsman: 6-8 am Sunday on 1300, The Zone, Austin All on iHeart Radio
Coffee Shop
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ome of my earliest recollections are of going with my dad down to the local café in the pale morning light. I was only about 4-years-old and I mostly remember the doughnuts, frothy little glasses of “Old Bossy” milk from the tap and all the guys would give me their little glass bottles of cream from their coffee to drink. It was a warm comfortable place to hang out with my dad and his friends while the rest of the world woke up. In those days the conversation was mostly about hunting and fishing and rebuilding old cars. When I was grown we had changed towns, but the coffee shop was still a constant. Folks gathered at a local café that would tolerate the coffee drinkers’ endless refills and smoking and banter for the occasional breakfast order. All the usual suspects were there; a constable, a doctor, a lawyer, a couple of deputies, some city workers and a handful of ranch hands in their well-worn jeans and sweaty straw hats. Everybody had a job to get to, just not yet. Needless to say, coffee shops were different then. Mostly everyone was at least acquainted with each other. We didn’t have Wi-Fi and we communicated with each other on a face-to-face basis and knew that, God willing, we would see each other at the coffee shop in the morning. There was lots of drowsy, good natured ribbing and joke telling and talk about the weather, gossip and advice. Somehow I think this all goes back to
In the meantime, everyone’s still fishing
What kind of outdoor are you?
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ver since we began our first Construction News paper in October 1998 for the San Antonio area, the center of the paper has always been devoted to outdoor. Each paper after that in Austin, Dallas/Fort Worth and Houston has followed the same path. The folks in our industry work hard and play hard and The Great Outdoors
section is a place to show your peers just how much fun YOU are having and making them a little jealous is okay too. Hunting, fishing and other types of outdoor adventures are always welcome. Don’t be shy and there is never a cost. So contact your Construction News editor and be a part of the Great Outdoors. -bd
Send us your photos and stories. Outdoor activities and sports Fishing • Hunting • Biking • Racing Hobbies • Crafts • Entertainment
the campfire thing. It goes back to when we would crawl out of whatever cave or pile of sticks we had slept in and gather around the last precious embers of the night’s fire to rebuild the flame and huddle in its glow as the rest of our clan woke up. The topics of conversation were probably about the same. Did we all make it through the night? Is everyone well? What are we doing today? Did I tell you about the time we cornered a mastodon? I think that is what I love most about doing my radio shows. People call in to the show or email me later to say they enjoy listening while they are drinking coffee on the back porch, or on the way to work or fishing. I hear from folks from all over the country and sometimes the world about how our shows have become a part of their weekend morning routine. I like to think that my show can help us to rediscover that old coffee shop vibe in a world where the old neighborhood coffee shops are hard to find and people have gotten too busy to enjoy them. We talk about the weather and give the tidal info for people heading for the coast. We shoot the breeze, pick at each other and even have a bunch of interesting guests who really do know what they are talking about when it comes to hunting and fishing. We talk to people who are working to make the world a better place by supporting our returning veterans and helping to feed folks in need and keeping you up-to-date on outdoor conservation. If you find yourself awake early on Saturday and Sunday mornings, pour yourself a cup of coffee and join us! It’ll keep you out of trouble until the rest of the tribe wakes up! On Saturday, 5-7AM Ken Milam’s The Great Outdoors is on WOAI Newstalk 1200 am in San Antonio and on 1300 The Zone in Austin from 5–8 am. On Sunday, 6 – 8 AM The Sunday Sportsman is on 1300 The Zone in Austin. Both shows are also on your free iHeart radio app so you can listen anywhere! They are even offered as podcasts if you are not up that early. Join us!
Austin Construction News • September 2017
Page 11
Combining living with the great outdoors
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ew Braunfels is a hot spot for living, shopping, water activities and events. And then there’s the historic area, Gruene, a quaint area partially located on the banks of the Guadalupe River. Recently, the city had moved up on the charts as one of the fastest growing (small) cities in the U.S. New residential and commercial areas have sprung up, and on-going construction and renovations are visible. Thousands visit New Braunfels every year from other cities and areas of Texas, especially in the summer to enjoy the water sports – Guadalupe and Comal Rivers, Canyon Lake and Schlitterbahn. The most frequented is the Guadalupe River for camping, swimming and especially for tubing. The banks of the Guadalupe River offer a variety of scenic views – restaurants, camping areas, green spaces, and cliffs. A new development is underway on one of those cliffs. Michael Flume, GC/Developer of Cotton Crossing, has completed Phase I which is a commercial and residential development near historic Gruene. Phase 2 is currently on-going and encompasses river front property on a segment of the Guadalupe River. The other property in Phase 2 have the same style residences as Phase 1 – small to larger quaint style homes on small lots.
On the river front property area of Phase 2 is a new, larger style of home overlooking the Guadalupe River, on the cliff. Now residents will be watching the tubers for a change! Most of these homes are two-story with winding patios and decks, some with pools, overlooking the river, at approximately 70-ft above. This is true combined living and enjoying the great outdoors, year ‘round. Cmw/rd
Photo taken from the partially finished patio overlooking the Guadalupe River. This is located 70-ft above the river. Pathways and steps can be taken for these residents to walk down to the river front.
The commercial area in Cotton Crossing, Phase 1, comprised of restaurants and shops. This entrance is right down the street from historic Gruene, on Gruene Road.
Front entrance of two-story home on the river front. These homes overlooking the Guadalupe River start at about $1.2 million.
Entrance to the commercial area shown left.
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Austin Construction News • September 2017
Best kept secret
Arc flash
Becket Electrical Services LLC personnel outside TopGolf for their annual NFPA 70E Arc Flash training. -cmw Brenda Romano, Chief Executive Officer, VBX
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wenty years ago, contractors were using fax machines, visiting plan rooms and handling mounds of paper to manage the bid process. The Builders Exchange of Texas (BXTX) was in the thick of it, publishing a printed Bulletin, operating a physical plan room and busily making blueprint copies for its members. Then one day, BXTX received its first CD Rom with plans and specs on it and realized that the world was moving rapidly toward electronic distribution. The organization immediately began to develop a technological solution and in 1997, the nation’s first online “virtual” plan room was launched in San Antonio. By 2008, the BXTX Board of Directors recognized that its creation was rapidly consuming the resources of the trade association and the risks and investment strategies were beyond the scope of a traditional non-profit organization. A decision was made to split the organization into two different entities: the non-profit Builders Exchange of Texas Education Foundation, dedicated to training and educating the next generation workforce, and the for-profit Virtual Builders Exchange (VBX), responsible for operating the online plan room service and develop additional technology-based services. Over the past decade, BXTX has focused on developing award-winning training programs while VBX has focused its efforts on creating better technology and greater awareness of Builders Ex-
changes and the services they provide. According to Brenda Romano, COO of VBX, over 200 Builders Exchanges operate across the U.S. and Canada and have since the late 1800’s. However, surprisingly few people know about them outside of their core membership. “Builders’ Exchanges are one of the Industry’s best kept secrets,” says Romano. “We’ve relied on personal relationships for most of our existence, the kind that were forged locally,” noted Romano. “That’s changing. Technology is shrinking our world. The trick is to make sure that we expand our geographic access while preserving our local relationships.” She added. “With that in mind, we developed collaborative software that allows local Builders Exchanges to work together so our members can see information in others states without logging out of their Home Exchange,” Romano explained. “It offers the best of both worlds – expanding our members’ reach, but keeping their local connections.” Currently there are 11 Builders Exchanges sharing our platform from six different states, (including Texas) and other exchanges are waiting to join. “Every Exchange is different and has its own identity, but that doesn’t mean we can’t work together to provide a better service to the industry,“ Romano added. ”It’s just another step in our evolution, and considering that our oldest Exchange was founded 150-years ago, we’re getting pretty good at evolving.” -rd
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Testing for answers
L-R: Ezequiel Garcia, Dana Blue, Andrew Dome, Tim Moody, Arlene Lopez and Bryan Angelo at intertek PSI work together to provide quality geotechnical engineering and environmental consulting services in Austin. -cmw
Austin Construction News • September 2017
Page 13
Reeling in relaxation
Round-Up
mployees work hard every day for themselves, for their employers, for their families and it’s nice to know that your hard work is noticed and appreciated. Pinpoint Strategies recognized this early on and the owners, Janna and Collins Johnson do what they can to show their appreciation. Every year about this time, the Johnsons treat the management staff, superintendents on up, to a fishing tournament and retreat in Port Aransas. Fishing guides are hired, boats are rented and before you know it, the competition is on. –cmw
Artisan Group is pleased to announce two new appointments.
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Hanging out and letting loose at the Crazy Cajun restaurant, the management staff of Pinpoint Strategies, relax after a day of fishing in Port Aransas.
L-R: Operations Manager Josh Gothia, Senior Superintendent Lloyd Meredith, Flooring Field Coordinator Hunor Suket, and Flooring Estimator Michael Byrne show off their stringer of Black Drum.
Sunil Palakodati will assume the role as the Executive Director for the Artisan Group. His business development and operational expertise will help maintain the status of Artisan Group as an elite network of independent countertop professionals. -cmw
Jon Lancto will be filling the newly created role of President and is a stone industry veteran with over 25 years experience in the countertop fabrication and installation business. Together they will serve to strengthen the organizations’ leadership. -cmw
Cadence McShan Construction is pleased to announce the promotion of Srinath Pai Kasturi, LEED AP, to Executive Vice President. Kasturi joined Cadence McSchane is 2002 and will continue to oversee the Central Texas division from the company’s Austin office. -cmw
Chamberlin Roofing & Waterproofing is pleased to annouce Victor Lafitte as Safety Coordinator for the Austin market. He joins the Chamberlin team after serving four years in the U.S. Air Force and 26 years as a State Trooper for the Texas Department of Public Safety. He also served 11 years in the U.S. Army Reserve/National Guard while serving as a State Trooper. -cmw
Joining the Blueline Rental team in Buda, is Travis Mendenhall. Mendenhall brings 35 years construction experience combined with 18 years rental experience to the company and will service customers in the Austin market. -cmw Heldenfels Enterprises Inc. is proud to announce Chad Petro has joined the company as Director of Preconstruction Services. Petro is a graduate of Texas A & M Univ. with a degree in Civil Engineering with a focus on Project Management and brings 13 years experience in the construction industry.
Bartlett Cocke General Contractors is pleased to announce the promotion of Wright Wood, LEED AP to Chief Estimator for their Central Texas office in Austin. Wood has 11 years experience with the company and has more than 31 years experience in the industry and plays an instrumental role in the production of higher education, commercial, healthcare, and K-12 education facilities. -cmw
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Austin Construction News • September 2017
THIS TH MON Jan: Construction Forecast Mar: Construction Education May: Concrete Industry July: Electrical Industry Feb: Construction Safety Apr: Women in Construction Jun: HVAC & Plumbing Aug: Service Providers
GREEN BUILDING Sep: Green Building Nov: Architecture & Engineering Oct: Specialty Contractors Dec: Construction Equipment
A green horizon
process before they [products and equipment] can say, “Green” or “Sustainable”.
Glen Screws, President Glen Screws Construction LLc
What are the major changes in the industry in recent years relating to green building? Some of the major changes we are seeing is a lot more companies asking upfront for more environmentally safe products, less carbon footprints. Years ago, no one knew what we know now. There are some great products that have been proven to really impact the industry.
Austin, TX
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ow would you describe the state of the construction industry in general terms? The construction industry as whole is doing fine. There are new projects and new products coming on board every day. Each city faces its obstacles. Our challenges are still the same, lead times for permits are still lagging and the shortage of labor has always been a factor. The Green sector is almost a norm and is catching on with almost every project, both commercial and residential. Austin is and will remain one of the top LEED promoters in the nation. Have you experienced an increase in business? Slowdown? I can’t speak for other cities but Austin and its surroundings areas are faring quite well. Just look downtown. Almost, if not every building is LEED certified by Austin codes. From site work to debris removal to the paints, the “Green” affect has caught on. What factors are driving this increase/ slowdown? Everyone wants to live in and around Austin. Our city and infrastructure is business friendly. As I stated earlier, Austin loves a “Green Envelope” and what it represents to the people here.
How has this increase/slowdown affected your company and how you conduct business? The increase has caused a shortage of trained and skilled workers. Projects are being pushed back months just due to the lack of qualified trades. I want to see the government step up and help push “Trade Schools” for the ones that want to learn a great trade in the construction field. What are the “hot button” issues in the green building industry of construction? For me, it’s the “Green” products that are being introduced but not proven yet to drive down cost and energy bills. Some of the equipment and products out there have not been tried and true yet to make energy savings statements. I think there should be a better regulatory
Encouraging sustainable design Amanda Tullos, owner and founder GreeNexus Consulting Houston, TX
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ow would you describe the state of the construction industry in general terms? Have you experienced an increase in business? Slowdown? We have started to work with a lot more general contractors than we were in the beginning, and we really like working with them. We really like getting on site and seeing what they’re doing and helping them troubleshoot any issues associated with materials and indoor quality. Some things that seem to have changed over the 6 years of our business is we’re starting to get asked about office buildings again, but we originally had a lot of office buildings, and it was an interesting time because even though the economy was supposedly low, it seemed like it was still booming in Houston. Now we’re seeing some office buildings creep back in, but we’re seeing a lot of state and county buildings, and schools that are being requested. While things are still moving, a lot of things may be a little slower to start on the design side. What factors are driving this increase/ slowdown? It seems like when one slows down, the other one advances, so while it’s been a little slower on the commercial side, it seems like it’s gaining on the state and local government side. Are you finding that more GCs want to be greener? Yes. Usually by the time we get called in to assist with it, it’s because they’re required for documentation for Leadership in Energy and Environmental Design (LEED) Certification, but I think most of the firms want to do the right thing. I think the thing that’s really interesting about the LEED Certification process is that if you’re doing one LEED project, then on the design side, a lot of that in-
formation may already be included in specifications like, “Why not use the low VOC paints and coatings?” whether it’s a third party certified project or not. I think is much better for the installers because they do not have to breathe in all that stuff. What are the “hot button” issues in your industry? Right now there’s a lot of changes happening because LEED version 4 was released last November so the industry is getting their heads wrapped around what those changes and impacts look like and, I think, in the larger scheme of things, it’s going to have a really good, positive impact overall. There’s still some getting used to the changes in the requirements for the materials in this new version 4, and while the market has come up on some things, like environmental product declarations which are made by the manufacturer or the industry, there are some other newer testing requirements that the market is still catching up on. Overall, I think the shift is good be-
What is the most significant challenges your industry faces? Labor shortages? Cost increases? Training? Labor is a major challenge, and that all ties into training. There is a large gap in the trade sector. We need more qualified labor on about every level of trade in the construction industry or we are going to be in big trouble. Cost increases are just part of growth. When things slow down so do costs. What are the cost increases relating to green building in your industry? The cost increases we have experienced have dramatically come down the past few years. We are currently seeing about a 3 to 7 percent increase in projects that want “green”. Depending on what clients want, the savings over time can be significant. It can be as simple as products such as Control 4 or as complex as a HVAC system, lighting design, or smart design.
cause it’s focused a little bit more holistically rather than one claim. What is the most significant challenge your industry faces? There’s a lot of information going back and forth, so I think the challenges that we see are staying on top of getting all the data compiled and submitted because the primary focus of any team is to get the job done on time, on budget, and all of this stuff is just like icing on the cake; so for us it’s a matter of making sure we’re in regular communication with the teams and following up on information. What are the cost increases relating to your industry? It depends on the context. There’s the cost side and then there’s the value side. Let’s say we have a developer coming in from California and they already have a really high expectation of environmental performance of their building, well the cost increase is going to be negligible because they’re already having those expectations. But if you have a developer who’s building a retail center and they’re just going to flip it, then the cost to go green is a different context. It depends on which strategies are targeted.” What is on the horizon for your industry? I think that city code requirements are going to start following-up from behind. We have voluntary programs like LEED, WELL, and Sustainable Sites Initiative, but now it’s kind of being pushed forward by city code requirements. Energy conservation requirements like the City of Dallas, which has a green permitting requirement for new buildings, and first-time tenant fit outs, and you have some different paths you can take. LEED is one of those paths, it’s voluntary yet re-
How are you dealing with these challenges? We try and stay informed of what is on the horizon and make sure they are proven. We listen to our architects and designers, as they are a great resource for new and innovative products. What is on the horizon for the green building industry? Changes in technology; changes in codes; ordinances or laws; other? From my perspective, we are seeing the “Green Movement” becoming a normal practice soon. With the technology out there we are going to see new LEED categories. Cities are adopting new codes and practices. Austin is pushing the envelope in every category. What are the rewards of the green building industry? The rewards are simple. We are saving our environment. What is the key to being successful in the green building industry? Staying educated on the industry is the key. Educating the client and public of what being “Green” can be is another key to being successful. GSCAustin and Glen Screws Construction LLc are an Austin based high end residential and commercial construction company that has been in business over 30 years. -cmw
quired in a way, but they also have another path, which is the International Green Construction Code, so they’ve adopted certain measures in that program so we’re also a third party reviewer for that. I think it’s interesting how all of these interplay because in the older version of LEED, at first the energy requirements seemed like they would be too hard to reach, but it’s really not that much more than what you’re required to do by code. What are the rewards of the industry? I love to see when I read these national articles about how the U.S. is really doing a good job on getting our emissions down overall. Teamwork for all of these factors combined makes me feel like what we’re doing is having an impact. At the end of each project, we have a score and we know which points were earned, but I think in the larger picture, it’s really exciting when I have a client comeback to me and say “We know that the energy model said we were going to save this amount, but compared to other buildings in our county, this building is saving 50% energy compared to the other ones.” What are some keys to being successful in the industry? Keeping in communication with the clients and following through with getting everything submitted. We always want all our clients to be happy with what was delivered on what we proposed. GreeNexus Consulting is a sustainability consulting services company –te
Austin Construction News • September 2017
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THIS TH MON Jan: Construction Forecast Mar: Construction Education May: Concrete Industry July: Electrical Industry Feb: Construction Safety Apr: Women in Construction Jun: HVAC & Plumbing Aug: Service Providers
Synthetic grass is green, and not just in color Marco Gortana, ,Vice President of Sales Synthetic Grass Pros Dallas, TX
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ow would you describe the current state of the green building industry as it pertains to your business? Meeting with architects, construction specifiers, building product representatives and designers, the discussion of synthetic turf in the green building industry does come up with some of the complex and wide-ranging issues around the use of sustainable building materials, like synthetic turf, for healthier buildings. What are major changes in the industry in recent years relating to the type of work you do? Being in the industry of synthetic turf for over 12 years now, we have seen a huge movement toward the use in many different installation applications for synthetic turf. Nearly every new apartment being built has some sort of synthetic turf aspect to its design – amenities ranging from dog parks, putting greens, amenity decks poolside as well as courtyards, bocce courts and mini soccer fields. Another field where we see the increase of our business is schools; many of the ISD’s in the metroplex are converting their rubber mulch or wood mulch playgrounds into synthetic turf playgrounds with 1” or 2” pads to sustain the fall heights required by IPEMA. One other area we see the use
of synthetic turf is upgrades to existing office buildings, apartments, doggie day cares, new hotels, hospital upgrades and private businesses. What makes synthetic turf a more environmentally friendly choice for builders? The Environmental Protection Agency conducted studies and found that an hour of using a gas-powered lawn mower is the same as driving a car for over a hundred miles. Installing artificial grass cuts down on pollution and reduces your carbon footprint and not to mention the obvious reason, water consumption. As the water situation gets worse with water resources being low, it comes as no surprise as to why artificial grass would make the best choice. Not to mention that investing in
Creating a greener state Jonathan Kraus, Executive Director USGBC North Texas Dallas, TX
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ow would you describe the state of the construction industry and have you experienced an increase or slowdown in business? For the most part I have seen a strong carry over from 2016 across the state. Parts of Texas are experiencing slowdowns in some sectors. The office market in Houston as an example, but overall it looks to be strong. Our Chapter members cross many disciplines – design, engineering, construction, real estate, and building operation – and each peaks at a different part of the project cycle with many in the design and engineering areas continuing to bring on staff to handle increasing workloads. What are driving factors for these increases and slowdowns? This too seems to be regional, and there is direct correlation to other economic factors. Parts of the state are experiencing a slowdown in the office market, which is directly tied to oil and gas prices. Other areas are booming in the same building sector due to corporate relocations and expansions in the tech sectors. Have these increases and slowdowns affected your association and how
you conduct business? As a Mission-based nonprofit, we maintain our primary objective to transform the way buildings are designed, built, and operated across the state. The last down turn did show a need for the USGBC Chapters in Texas to reorganize, and in 2015-16 we consolidated from four collaborating entities to a single more effective organization. What are the “hot button” issues in the green building industry? Some of our primary concerns are in-
GREEN BUILDING Sep: Green Building Nov: Architecture & Engineering Oct: Specialty Contractors Dec: Construction Equipment
manures and fertilizers are not only expensive, but it is also considered to be harmful to the environment. With a real lawn, there’s the need to use fertilizers and other chemicals regularly. When it rains, that leads to runoff that carries those chemicals into lakes and other bodies of water. It also allows those chemicals to seep deeper into the water table. Since there is no need to use fertilizers on an artificial lawn, it’s easier to protect the water supply for the future. One of the acknowledged disadvantages of green building has been the additional cost. Is this statement still true? Obviously, the cost for synthetic turf is substantially higher than regular turf installation. The upfront cost is a tough pill to swallow but over the years the return on investment is much quicker than most people think. Also, the use of these areas dramatically increases as the synthetic turf can be utilized very soon after a rain with no side effects like standing water or mud. A prime example of this is when the Dallas Arboretum converted their wedding area lawn to synthetic turf for this reason. Since 2017, they can schedule many more wedding venues at a more consistent schedule hence capitalizing on an increase in revenue, and the same goes for dog parks and school parks.
Return on investment for the synthetic turf in new development is approximately three years for an area of 2,000sf. No added expense for an irrigation system or other costly maintenance materials are needed, ultimately saving the customer and the environment. Is the green market becoming more competitive? The synthetic turf industry has become more competitive over the last five years, especially in the Texas commercial market. I hear the same thing every day from architects, general contractors and commercial landscapers about the need for synthetic turf in their projects. What is on the horizon for your industry? The horizon looks very bright for the synthetic turf industry, with the scarcity of water being the main concern as well as maintenance concerns. I truly believe the industry will grow leaps and bounds. As far as the technology, we have seen a huge leap in the improvement of our products over the past three to five years with the introduction of “Cool Turfs” and, considering the future, we will see more improvements and positive changes in the technology of the turf. Synthetic Grass Pros of Dallas is a synthetic turf installation company. –mjm
How are additional costs balanced against energy, water or material cost?
dustry education, perception of extreme cost increases, and “Green Fatigue”. We are also placing more emphasis on improving existing buildings, and adding evaluation for a buildings true performance. What are the major changes in the green building industry in recent years? One of the biggest changes is the implementation of the 2015 EICC, which codifies many of the energy efficiency best practices that have been recommended for years. What is the most significant challenge the green building industry faces? Educating all sectors of the building industry on the options, costs, and benefits of green building practices and certification. Perception of excessive cost is also common -- studies have documented 3-5% increases, as opposed to 10-15% claimed by some. What are the cost increases relating to the green building industry? Costs associated with sustainable building vary as much as they do with any building type: you can build a very expensive non-green building, you can build a cost effective sustainable build-
www.constructionnews.net publishing the industry’s news
ing. Following a fully integrated building process should provide a more cohesive project team and agreed-upon goals from the beginning of the project – reducing/eliminating costly change orders. How is your association dealing with these challenges? We have done a good job of educating design professionals around sustainable principles, and only a fair job for construction and the related trades. We are developing ways to address these gaps in knowledge. Additionally, we are working with owners and developers to demonstrate the short-term and longterm advantages of sustainable building. What is on the horizon for the green building industry? I see more performance-based certification methodologies and evaluation of a building’s full life cycle. We are beginning to see an increase of information from product manufacturers and more robust reporting of operational data from buildings. The U.S. Green Building Council (USGBC), is a private 501(c)3, membership-based nonprofit organization that promotes sustainability in building design, construction, and operation. -cmw
Texas Style ★ San Antonio ★ Austin ★ South Texas ★ Houston
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Austin Construction News • September 2017
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SPECIALTY CONTRACTORS
If you would like to represent your company in an upcoming FOCUS, contact your Austin Editor for an Interview Carol Wiatrek (210) 308-5800 AustinEditor@ConstructionNews.net
Views of green San Antonio, TX
David White, Building Envelope Services Mgr. Raba Kistner Jeff L. Haberstroh, V.P., Senior Project Manager Project Control
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ow would you describe the state of the construction industry in general terms? Jeff: Booming! We continue to see positive movement in K-12, Higher Ed, and Municipal work. The private sector is recovering strong and will continue to gage the activities and positive decision with the current administration in Washington. There is great optimism that a revised tax plan and final outcomes with health care will boost the market even further. David: The construction industry in our region is real steady. It seems to be in a better state than other regions. It appears that there is still plenty of building going on.
design and design peer review on the older buildings downtown has been a lot of steady work and we’ve had really interesting projects.
Have you experienced an increase in business? Slowdown? Jeff: Definitely an increase! We have experienced gains in many of our market sectors and see that trend holding through Q3 of 2018. David: We have experienced a consistent 10-15% annual growth over the past few years. The past two years have definitely been busy for us. On the roofing side, the April 2016 Hail Storm has really kept us busy.
How has this increase/slowdown affected your company and how you conduct business? Jeff: We try to manage our labor need to be “just-in-time” as a project is awarded. It is almost impossible to keep a bench waiting on the next project. This also causes stress to hire from competitors or compete with a compensation package that will attract the best-seasoned people. David: The increase has affected us. Right now it is hard to find qualified staff. We have experienced much growth in Austin and Houston and have to assist those markets with San Antonio based consultants on top of being extremely busy in San Antonio also. As a consequence, we’ve been spending a lot of time on the road trying to cover all of our projects.
What factors are driving this increase/ slowdown? Jeff: It would be my thoughts that federal reserve sending strong indicators that interest rates will continue to stay low and that financial institutions have begun to put a larger amount of available capital into the market. I see the public sector bond market being a significant contributor to the increase as well. Most major cities are planning large bond referendums for this November and May next year. The focus being on infrastructure to support large growth swings. David: For our roof consulting services, the April 2016 Hail Storm has been keeping us real busy. Then the big hailstorm occurred out in Midland/Odessa a few months ago and we are getting calls to go out there and look at roofs. In addition, with all of the downtown revitalization work happening, our waterproofing and building envelope forensic work have been real steady. The building envelope
What are the “hot button” issues in the green building industry of construction? Jeff: I believe it has boiled down to a point’s game. LEED was great 10 years ago when we needed a template to achieve a successful project with respects to saving energy cost and delivering a building that provided for better indoor quality of life. Today designers try to manipulate the scoring numbers to achieve a particular certification and check the box. David: Solar is still a “hot button”. LEED seems to have subsided a little, or so it may seem, but we are seeing a lot more designs with solar in mind.
Construction News ON LOCATION
A bracing crew
L-R: Clint Simer, Shannon Hubbell, Adam Brown and Ben Cano prepare for a day’s work at Austin Steel. -cwm
What are the major changes in the industry in recent years relating to green building? Jeff: The 2015 Energy Code! The adoption of this standard for energy has moved the needle in a positive direction for the end user so that everyone is constructing towards a more efficient consumption of energy. This has a ripple effect as its trajectory will improve the built environment when existing buildings are renovated and it will force new construction to follow the path laid by USGBC. David: The major changes recently have been the change to the Energy Codes. They have actually changed quite a bit and the way we look at insulating buildings has changed pretty dramatically. What is the most significant challenges your industry faces? Labor shortages? Cost increases? Training? Jeff: Labor and Training. Labor has fallen to an all-time low in the construction industry. The Texas market and, the country as a whole, remain strong and there is no slowdown on the horizon, which will continue to challenge the skilled labor force. The oil sector has dropped off in recent years and is now again making resurgence in the various plays across the state. The result of the oil slowdown did not replenish the labor losses that were experienced in 2012. We need to change the direction at the high school level by providing a positive view towards the trades. There should be emphasis towards certified trades and skilled craftsman in the development of CTE curriculum to capture more students that have the aptitude and desire to have skills and get rewarded in the process. David: I think labor is still a significant challenge. Getting qualified and trained individuals to perform Building Envelope (Roofing and Waterproofing) related work is always going to be a challenge. Unlike Electrical, Plumbing, etc., we really don’t have an apprenticeship or training program. A lot of times we lack adequate/thorough training for entry-level individuals. What are the cost increases relating to green building in your industry? Jeff: Initial cost have caught up with sustainable initiatives in recent years. The 2015 energy code has taken this to the next level adding as much as 10-15% to new construction. Owners need to be educated on the awareness of the cause and effect of buildings brick and mortar material increases not just the cost for the plaque on the wall. David: As the codes change and new “testing” requirements are being added during the construction phase, we are seeing General Contractors have to budget for this. With commissioning and testing and balancing of equipment in new buildings, you are seeing the cost increase with those requirements and also with ensuring that the building is being constructed properly as to meet these requirements. How are you dealing with these challenges? Jeff: Educate, educate, educate! We must provide our owners all of the information, layout the options, describe the causes and effects, present multiple solutions and choices so that carefully informed decisions can be made. Provide for the best opportunity for their project to achieve the desired outcome with in the available funds or i) increase the budget or ii) cut back the scope to get the desired outcome.
David: As the roofing design consultant, we are making sure that the Architects that are leading the design, the owner and contractor are all aware of the project requirements. With the new code changes in affect, it seems like everybody is still getting used to the new requirements and actually what the new codes are. What is on the horizon for the green building industry? Changes in technology; changes in codes; ordinances or laws; other? Jeff: All of the above! Technology will change the industry as computerized equipment advances in coming years. The codes need to keep up with the rapid advances in technology as Smart Building draws from advances in building automation systems. Our legislators need to relax the efforts to effect laws and ordinances that will increase unfunded mandates to cities and allow the market to drive the positive changes towards conservation. The AEC community want to (and in many cases adopt policy) design towards a more resource conscious conclusion for their clients. David: The major changes recently and going forward will be the changes to the Energy Codes. They have actually changed quite a bit and the way we look at insulating buildings has changed pretty dramatically. What are the rewards of the green building industry? Jeff: There are many rewards, although we must choose the one that best fits for our clients and our projects. Today you can’t achieve everything on every project. Extended consequences are in the form of having to pay for building new power generation, or delivery of additional water, or keeping operating cost low for profitability. Extending equipment life cycles for maintenance and operations rewards. Again, educate the owner to provide the best chances for reward that is right. David: Well, the rewards are supposed to be a building that is built efficiently and environmentally responsible. Or, one that is efficient from the beginning through the end of its life cycle. What is the key to being successful in the green building industry? Jeff: Best management practices (BMP’s) will set you up for success every time. Knowing what is right, practical, and achievable on each project will most certainly provide you success. Not every project is the same and what worked in Dallas will not work in Seattle. David: I think just understanding it. Sometimes we get too caught up in “efficient” or “sustainable” and end up with a building that doesn’t perform well or is way out of budget to even construct. We might have checked all the boxes as far as building “green” or having a “sustainable” building, but have parts and pieces that are not compatible, or materials that we actually cannot obtain and then have a price tag that is way over budget. Proven Project Management Experience Project Control (a Raba Kistner Company) is a Texas based construction Project Management firm with over 38 years of experience managing a wide range of construction projects. Raba Kistner Inc., founded in 1968, is an Engineering News-Record “Top 500 Firm,” operating in fourteen different markets in Texas, Utah, New York, Oklahoma, Florida and Mexico. Headquartered in San Antonio, Texas. -cmw
Austin Construction News • September 2017
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NEXT TH MON
SPECIALTY CONTRACTORS Staying on top of green Scott Lee, Director of Operations, North Texas Joeris General Contractors Dallas/Ft. Worth, TX
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he construction industry is generally healthy, especially in Texas. We continue to see a large volume of work and expect that to continue for the near term. This has helped to bring fees up from their unsustainable lows of a few years back, although they have not rebounded to pre-recession numbers. Challenges continue to be seen with labor shortages. This contributes to rising costs. But most of the vertical markets continue to build. The industry continues to see change in light of new technologies. This will continue, but the speed of change will increase. Joeris is fortunate to have experienced an increase in business. 2017 will be a record year for our firm. Vertical markets we build in – K12, Higher Ed, Healthcare, Retail and local Government have all seen steady backlogs. This reflects the robust Texas market, the business-friendly atmosphere and increasing state population. It also reflects Joeris’ ability to weather downturns through our diverse portfolio and strategic practices, including always hiring when the right person comes along. We sense a shift in focus in the green building industry. There is a move away from building certification to focus on design and construction using sustainable materials that truly make sense for the local environment. In the infancy of green building, it became a trend to design and build green. We have all moved beyond being trendsetters. It is about doing the right thing. Designing and building for efficiency and sustainability should be the standard. By not focusing on certification and paperwork, architects, engineers and constructors can focus on implementing sustainability that makes sense. Labor shortages and knowledge drain are significant issues facing our industry. As boomers retire, there are not enough people entering the industry to replace them. That is just the numbers side of the equation. The knowledge that boomers take with them is critical. There was a period when schools shifted from skills training to singular focus on college readiness. This hurt industries that rely on skilled trades. We have a gap because the younger workforce didn’t make their way up through the ‘hands on learning’ of years past. We are seeing a renewed focus on skills training through CTE and programs that focus on workforce training. We must fill the gap until these younger people enter the workforce. Industry training becomes critical, through associations or in-house programs. With green building, cost increases were seen in certification –hard costs of the process and soft costs of producing documentation. Without certification, costs increases are related to materials specified or additional time needed for
implementation of sustainable elements. New codes being adopted by municipalities are beginning to require green building elements, so added costs are less visible. However, these are typically offset by lowered building operations costs and result in a better building environment. Additional costs directly related to contractors are minimal. These might include additional dumpsters for separation of materials and training of personnel. We find most clients for certified buildings understand costs associated and plan for it in project budgets. For clients building under new codes that require elements of green building, we are spending more time with the design team educating clients on codes and how they impact costs. Many of the green building elements result in a better building for their users. Adoption of green building practices as standard procedure is on the horizon, along with advances that make sustainable technology more affordable (i.e. changes in energy production, cheaper solar, hydro, wind); and tightening of codes related to energy/water usage as well as emissions – specifically at the local levels. This is a result of focus on quality of life as developers build new communities and we see more urban infill projects focused on live work play and the adoption of additional green elements in new building codes. The rewards of sustainable building are intrinsic. It’s a sense of doing the right thing and providing for a better environment – leaving something equal to or better than you found it. Doing no harm as you build. From a business perspective, it provides an opportunity to market your firm as one that cares about the community. This is important to clients and to potential employees! The key to being successful in green building is staying informed on current standards and building codes to help clients make informed decisions that make sense for their project. Joeris is celebrating 50 years of building Texas, in markets ranging from K-12, Higher Education, Retail, Municipal, Religious, Medical and more from our offices in San Antonio, DFW, Austin and Houston. -cmw
continued from Page 1 — Turn right at the chicken growth, maybe with a couple of more office people and few more roofers. “Since starting, we have not had any slow downs. It’s been fast and furious for us. When we started it was just myself, Gray and Gray’s son, Knowl. We just kept growing. We purchased a building three years ago and that was a big step for us,” reflects Gould. “We were a three-man crew for a very short amount of time. We started hiring within a month or so as the jobs progressed. It was a natural progression of growth,” says Richardson. Most of their employees came from the company that Gould used to work for. “When our estimator, Michael Lowery, came over, that’s when we started to expand and grow,” says Gould. “When I left my previous company and started Intrepid, it was still in business. Most of the guys came over here and we’re happy to have them. They all came over on their own. Some of our guys have been working together for thirty years.” Relatively new in the industry, Intrepid Roof Systems helps out in the community in the best way they can by sponsoring baseball and softball fields, bike races, marathons, livestock show animals and a few other charities. Unlike most companies, Intrepid Roof Systems has a company mascot and they are very fond of it. “We have a 9½-ft.
James Gould, owner overseeing the installation of his prized company mascot, a 91/2-ft rooster on top of their building.
fiberglass rooster that we purchased south of Sinton, TX that Gray and I both like. We strapped it in the back of my pick-up truck, with half of it sticking out above the cab of my truck and brought it home. But neither one of our families would let us bring it home, so we mounted our rooster, on top of our building. It draws a lot of attention from the manufacturers and roofing distributors. They all come by to see and take their picture with it. Take 290E, turn right on Johnny Morris, turn right on Old Manor Road, then turn right at the chicken.” Intrepid Roof Systems is a commercial roofing and sheet metal subcontractor covering the Central Texas area. -cmw
continued from Page 1 — Starting the next chapter facility was a design room that was built for estimators, contractors and architects to utilize as needed when discussing projects. Looking like a library, this wall-to-wall room is filled with books and materials and has a workstation to allow individuals to brainstorm. Everything they need to assist the contractor or architect is at their fingertips. “My employees are my most valuable assets. We have 150 plus full-time employees. We have 100 percent paid health insurance, matching 401k, and scholarship programs.” Every chance they get, the Johnsons with their three kids, 9-year-old Brady,
7-year-Bryndle and 1-1/2 –year-old Broden, spend time at their ranch they are developing with a shooting range, skeet range, and trap range. When not there, they are on their boat on Lake Travis. “Outdoor activities start Sept. 1 with dove season, followed by deer season, duck season, turkey season and our wedding anniversary the last week of January. By the end of February white bass season kicks off, then April turkey season and then lake season out on the lake with wife and kids where we’re the happiest.” Pinpoint Strategies Inc. is a specialty painting and drywall contractor in Buda, TX. -cmw
continued from Page 1 — A stone facelift
Interior view of UT Main Campus Statue Area
100% of the masonry in that area had to be cleaned due to the buildup of tree sap from year to year. 100% of the masonry had to be re-pointed. Severely damaged limestone balustrades had to be replaced. Delaminating and loose stone had to be removed where spalling occurred. Bronze and steel handrails were removed and reinstalled with new masonry anchors. Masonry holes were patched with cementitious patching materials. “When we replaced limestone, we had to take actual sections of the wall out, take it to a quarry and pick out limestone that matched as close as possible to what we were replacing and had to finish the stone with sandblasting and other different techniques to get a surface that would match the existing stone areas as close as possible. We also did work to stain the stone to match the other, because over the years you have different stains that had taken place on the stone itself and so it had to match. A new white piece of stone would stand out if we didn’t. Our stonemason in the general construction shop mixed up different batches of stain using different types of teas and coffee to achieve an acceptable color. The staining turned out quite well,” James recalls. In addition to limestone and mortar, a biodegradable cleaning agent was used. The cleaning agent was used to clean the existing stone was also used to clean the
entire fence line of the area. PAVECON Building Services was the waterproofing company who assisted Alpha Building Corporation on the project. Kevin Rainey, Project Manager and Darrell Duelm, Project Superintendent for Alpha Building Corporation oversaw the completion of the UT main campus statue area remodel . Larry W. Irsik, with Architexas Architecture, Planning & Historic Preservation Inc. was the architecture in charge. Assisting all parties involved was Frances Gale, Conservation Scientist and Senior Lecturer at the UT School of Architecture, who worked closely with the project team to insure that the historical aspects of the wall were maintained. Matching the existing stone textures and colors was one of the major issues that brought uniqueness to this project. “Not everything was repaired or replaced. Over the years, students had scratched their initials into the capstones and they were left untouched,” adds James. “Bringing together a project team that can arrive upon a solution and then move forward to make the solution work. Everyone was committed in the process of repairing the wall and not just saying, “It needs to be fixed,” says James. Alpha Building Corporation is a general contracting firm headquartered in San Antonio with branch offices across Oklahoma, Tennessee and Texas. -cmw
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Austin Construction News • September 2017
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Industry FOLKS
Content submitted by Associations to Construction News
Grady Atnip Senior Superintendent Bartlett Cocke General Contractors
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rady Atnip was born in San Antonio, TX at the Robert B. Green Hospital, which is no longer in existence. He attended college for two years before going to a carpenters’ apprenticeship school and was with the carpenters’ union until he became a supervisor. Following a family tradition of builders, he began building custom homes and then apartments and then on to commercial projects, Atnip got started in the construction industry when he was just 14. Back then, Grady says, they didn’t have age requirements and restrictions. “I’ve been married for 33 years to my best friend, Dawn. We go everywhere together. We have two sons, Travis and Jason, both of whom work for Bartlett Cocke in different offices. They are both APM’s working on school jobs. Dawn and I are very proud of them as they are making their own path in a great industry.” Atnip is very fond of his two dogs. Sophie is an 8 year old Blond English Lab that he and his wife traveled to Missouri to get, and Bella. Bella is a Coton De Tulear. The breed, if you are not familiar with it, is from Madagascar and not very common in the US. “We got Bella because her breed doesn’t shed and is hypo-allergenic, something Dawn and I both needed.” Every chance he gets, Atnip and his wife travel. They travel to a lot of various places. He gives credit to his wife who saves up a little every month for their next venture, and when they get enough, “we head out for a little vacation somewhere.” In addition to traveling, he is very active in sporting clays. “I shoot a lot of registered targets but actually I love to shoot charity tournaments. Any Christian based tournament, or a Wounded Warrior event I will try to make. Sometimes a worthy charity event will bring me out to sponsor a station. It is something that I really enjoy and it doesn’t
put the strain on my back like golf was doing. The heat has stopped me this summer, but I will be back as soon as we get a little break from the extreme temperatures.” The satisfaction of seeing that final product and the smile that it brings to that customer is what Atnip says he likes best about his job. He enjoys watching the subs work together and getting the project completed as each of them add their scope to the project. In addition, he also likes watching the next generation of builders, and seeing what they bring to the project. “This next upcoming generation is so smart and have such amazing technical skills, they amaze me. All they need is some experience and they will truly build the future; smarter, and not harder!” Having recently started a $104 million High School for HISD in which the site had been vacant for over 20 years, Atnip was astonished on how many snakes they have killed on the site. “When we started clearing we found a LOT of rattlers. I mean BIG rattlers! If a rattler is less than 2’, we don’t add it to the total count, so currently we are up to 19 snakes ranging from 3’ to 6’. They are as big as a person’s upper arm! The site was also an old hunting ranch so there are a LOT of Quail on the site and I love watching them.” Atnip worked for Marek Brothers for several years and really enjoyed working for them. After working for a couple of other companies, he came to work for Bartlett Cocke 17 years ago and believes it was the best move he ever made. “Coming to work for Bartlett Cocke actually changed my life for the better. It has allowed me to work with some of the best teachers in the construction industry. I have been blessed with some incredible and patient teachers.” -cmw
ABC
CSI
Associated Builders & Contractors
Construction Specifications Institute
Sept. 8: Fall Golf Tournament, Avery Ranch Golf Club. For more info, call 512719-5263
Sept. 18: 1CEU AIA/CES/LU/HSW, Austin Center for Architecture, 801 W. 12th Street. For more info, go to www.csinet.org
ACEA
NARI
Austin Contractors & Engineers Assn.
Nat’l Assn. of the Remodeling Industry
Sept. 14: Monthly Luncheon, Dave & Busters, 9333 Research Blvd. For more info, call 512-836-3140 or contact avery. ambrose@aceatx.com Sept. 28: Fish Fry Fundraiser, Travis County Expo Center, 7311 Decker Lane. For more info, call 512-836-3140 or send email to avery.ambrose@aceatx.com
Sept. 1: CotY early bird submissions begin, deadline Oct. 6. For more info, contact Kayvon Leath at 512-375-2601 or kayvon@austinnari.org Sept. 21: Social at Levantina, 2251 Picadilly Dr., B200, Round Rock, TX. For more info, contact Kayvon Leath at 512-3752601 or kayvon@austinnari.org
AGC
NAWIC
Associated General Contractors
Nat’l Assn. of Women in Construction
Sept. 16: CLC River Float and Clean-up. For more info, call 512-442-7887
Sept. 19: 2017 NAWIC Golf Tournament, Star Ranch Golf Course. For more info, contact Chaundra at chaundra.callaway@eqdepot.com
AGC Associated General Contractors of Texas
Sept. 7: 7th Annual AGC of Texas Scholarship Gala, Hyatt Regency. For more info, call Danielle Kraus at 512-478-4691 Sept. 27: Austin Area Fall PAC Sporting Clay Shoot, Capitol City Trap & Skeet Club, 8707 Lindell Lane. For more info, call 512-478-4691 or contact Danielle Kraus at dkraus@agctx.org
PHCC Plumbing-Heating-Cooling Contractors
Oct. 3 -6: PHCC National CONNECT Conference, Milwaukee, WI. For more info, call 512-523-8094
SEAoT Structural Engineers Association of Texas
American Institute of Architects
Sept. 21 – 23: 39th IABSE Symposium, Vancouver, BC, Canada. For more info, call 512-301-2744
Sept. 4: Sketch Your City Competition submission deadline. For more info, send email to Julia@aiaaustin.org
Society of Fire Protection Engineers
AIA
ASCE American Society of Civil Engineers
Sept. 20 – 22: 2017 Texas Civil Engineering Conference (CECON); Embassy Suites San Marcos Hotel, Spa and Conference Center. For more info, call 512-472-8905 Sept. 22 – 24: 2nd Annual ASCE Texas Section Younger Member Camping Trip, Palmetto State Park. For more info, contact Alexis Clark at alexis.clark@hilti.com
ASSE American Society of Safety Engineers
SFPE Sept. 20: Code Compliance for Fire Rated Duct Installations Meeting, San Marcos Activity Center, 501 E. Hopkins. For more info, go to www.sfpe-asa.org
TSPE Texas Society of Professional Engineers
Sept. 7: 66th Annual TSPS Convention & Tech Expo Early bird registration deadline, Firsco, TX. For more info, go to www. tsps.org/convention Oct. 4 – 7: 66th Annual TSPS Convention & Tech Expo, Frisco, TX. For info, go to www.tsps.org/convention
Sept. 11 – 13: 2017 ASSE Region III PDC, Hurst Conference Center, Hurst, TX. For more info, call Erika May at 661-472-6591
Busting at the seams
To accommodate JQ Engineering’s growth in Central Texas, JQ has relocated to their new offices at 108 Wild Basin Road, Ste. 350 in Austin. 2nd Row L-R: Tom Scott, Michael Hammontree, Jamie Buchanan, Henry Anthony, Justin Strickland and Ken Su. 1st Row L-R: Elizabeth Liz Rodriguez, Christine Mahler, Ted Krause and Beth Ann Feero. - cmw
Austin Construction News • September 2017
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First-class skills
JOB SIGHTS
Glen Irby and general manager, Cyril Allgeier III of Skillforce
L-R: Lawrence White, Greystar and Juan Perez, Multi-Framing Inc. continue work on the Overture Mueller project, an upscale 55 plus senior-living apartment complex located at 4818 Berkman Dr. in Austin. - cmw
fter leaving the equipment side of construction, Cyril Allgeier III ventured over to the skilled labor side as the general manager for Skillforce. Skillforce is a tier-2 subcontractor providing very skilled labor. The company is relatively new to the Austin market and to Texas. Established in 2003 in the Baltimore and DC metro areas, the company opened its first office in Houston 3-1/2 years ago, followed by the opening of their Dallas branch six months later and here in Austin, 2-1/2 years ago. Although the Austin branch only has two sales representatives, Allgeier and Glen Irby, the branch has 100 skilled service tradesmen. “Our office is very small. The reason we keep our office small, to keep overhead low. It allows us to really focus on customer interaction and build
relationships with our clients and find better people. It’s just unpractical to have 20 people out in the field. We have a very targeted approach. We aren’t for everyone. We are a premium service provider because we know what we can do for people,” adds Allgeier. When not working, the guys at Skillforce are avid outdoorsmen spending a lot of time hiking and hunting. Both are bow hunters and spend as much time outside as they can because during the workday, they don’t get enough of it. “I love the industry. It’s a lot of fun and challenging everyday. At the end of the day, you realize there are a lot great people in this industry trying to do the same thing and that is accomplish goals,” says Allgeier. Skillforce is skilled labor subcontractor new to the Austin market. -cmw
The “unofficial end of summer”
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s the trade union and labor movements grew at the beginning of the late 19th century, different groups of trade unionists chose a variety of days on which to celebrate labor. Labor Day was first proposed in the United States in the 1880s. Early history of Labor Day dates its origin to a General Assembly of the Knights of Labor, which assembled in New York City in September of 1882. Oregon became the first state of the United States to make Labor Day an official public holiday. Prior to Labor Day becoming an official federal holiday in 1894, thirty U.S. states officially celebrated Labor Day. After Chicago’s Pullman Strike of 1894 in which thirty people were killed in response to riots and sabotage that caused $80 million in damages, the U.S. Congress unanimously voted to approve
legislation to make Labor Day a national holiday. President Grover Cleveland signed this legislation into law six days after the end of the strike. This was President Cleveland’s attempt to shore up support among trade unions following the Pullman Strike. Labor Day is known as the “unofficial end of summer” as it marks the end of our cultural summer season. Vacations are winding down, and fall activities such as school and sports begin. Many school districts across the United States resume classes around the Labor Day weekend. Most start the week before, marking Labor Day as the first three-day weekend of the school calendar year, while others begin classes the Tuesday following Labor Day. I suppose to squeeze in one last weekend of family fun. -cmw
After a February storm ripped the roof off and flooded the offices of Clifford Power, Ja-Mar Roofing crew L-R: Luwing Jaray, Francisco Martinez and Andres Campos perform the re-roof located at 4918 Burleson Rd. -cmw
DCA Project Superintendent Lester Surgers, Endeavor representative Will Marsh and DCA Lead Superintendent Alan Owrey work and coordinate together on the Mixed Use project located at 901 E. 6th Street. The owner of the project is Endeavor Real Estate Group and DCA Construction is the contractor for the project. -cmw
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Austin Construction News • September 2017