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The Industry’s Newspaper San Jacinto Monument
www.constructionnews.net H (210) 308-5800 H Volume 14 H Number 9 H SEPTEMBER 2017
Concrete continuity
Blasting through the competition
The employees of Holes Inc. consider themselves a family
Adam Hitchcock, general manager for Blast Inc.
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oles Incorporated was founded 45 years ago thanks in no small part to a wife and business partner who really knew how to stretch a budget and save money. Sisters Darlene East and Kellie Vazquez have now taken over day-to-day management and have worked tirelessly to continue to grow the business. East remembers the story of how her and her family ended up in Houston. “My dad was working for a company in California and when I was 18 months old, they decided to risk it all and move to Houston for a better opportunity. My younger sister and I traveled across the country in the back of his company van in a playpen.” “Although my dad was very successful in Houston, at 25 he decided to strike out on his own and start his own business,”
East shares. “My dad was very innovative and hardworking and my mother was a disciplined saver and was able to provide resources from their savings in order to start the business,” she adds. Today, she has been with Holes Inc. for 25 years and holds the position as President of the company. She started out in the office, learning the accounting functions. Then she went to the dispatch office, and from there, she started doing more management. She credits much of her success to taking the time to learn every aspect of operations prior to assuming responsibility for the overall job. Although her company responsibilities keep her busy, she finds time to scrapbook and read. She and her husband of 10 continued on Page 13
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oving from restaurateur to blasting concrete and other surfaces seems like it would be a hard transition. Adam Hitchcock’s father and mother did it seamlessly when they established Blast Inc. His dad got invited to Houston in 1981 to experience the pressure washing industry. Friends took him out and wined and dined him; showed him their nice cars and nice houses, and it “completely blew his mind. He came from humble beginnings, so that was unbelievably attractive,” supposes Hitchcock. At that time, there were very few companies doing this type of work so his father knew he could become very successful and give his family a good life. His father had a pizza and wing res-
taurant in Buffalo, NY and he closed it and went to Houston and started making a name for himself out of his garage. Blast Inc. formed in 1984 after Hitchcock’s dad completed a few years of training and working to gain experience. Hitchcock quite literally grew up in the business (his first time in a lift was at 2 years old) and claimed a stake at an early age. “I put my name on the slab [in the shop] 20 years ago when I was 10 years old. That was my childhood thinking of ‘Put your name on it and it’s yours,’” he laughs. “I didn’t get started in the company the easy way,” he admits. His first job he ever had was breaking concrete when he was 14 years old. That didn’t deter him continued on Page 13
At the top of the list
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fter a 5,400sf property sat in the cold shell stage for over five years, Robert Peska of Slade Shipping decided he wanted to purchase and build out the space. A Pro Top Construction, Inc. out of Conroe was hired to complete the $400,000 build-out, which was achieved in five months. Director of Operations Josh Konicki says “the foundation had settled and warped a bunch of trusses and joists that had to be removed and reset. There was no plumbing, electrical, there was really nothing.” With 25 years of experience in interior rehabs and restoration, this challenge could be overcome easily. A Pro Top came into the project after another company had already begun working, but was unable to finish the space. The space was originally built with the intent of using it for three separate
offices spaces, but Konicki and his team conjoined two of these spaces to create this one large office. His team was able to give the office space a clean and inviting atmosphere with some unique features. The tile used on the floor and stairs is faux wood porcelain and stainless steel appliances can be found in the kitchen area. The most exciting feature is the custom designed wrap around fish tank in the reception area. The tank and the reception desk are finished with reclaimed wood of varying degrees of brown and add texture and contrast with the floors. The floors in the same area are tiles that resemble hardwood with the light and dark tan tones. Even though the reception area is designed with neutral colors, it receives a lot of natural light from the windows. There is a conference room off to the The custom designed fish tank wraps around to offer a full view.
continued on Page 13
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Houston Construction News • September 2017
Turning on the power
“Steel”ing the spotlight
Don and Louis Lee, owners of Extreme Power Services
L-R: Stephen Simmons, branch manager Jeremy Seay, Colby Castro, and Armando Hernandez
ith close to 40 years of experience in the electrical industry, brothers Louis and Don Lee, wanted to do their own thing, so they started Extreme Power Services together in 2005. They are involved in new construction, remodels, retrofits, retail centers, schools, churches, and tenant finishes. There are over 20 employees at Extreme Power Services, and Louis says they hire most of their employees from the IEC. Him and his brother are very involved with the programs and they make sure their employees attend classes through IEC because for Louis, “Education is a big deal.” Of course they want to keep their employees happy so, according to Louis, they “offer competitive wages and benefits. We make sure the employees have access to good equipment, and good communication. We try and have meetings to break the ice, and Christmas parties and other events to create camarade-
rie.” Although it has been challenging to find younger employees who want to put in the work, “at least half of our guys have been here since the start,” Louis shares. Extreme Power Services tends to work with the general contractors they know. “We’ve narrowed our search down to a specific number of general contractors and pretty much service them and don’t go wild and crazy everywhere,” explains Louis. “When we stay with our home GC that we’ve worked with for the last 10 years, then it keeps us competitive, we know where the market is, and we have good relationships.” Louis says they get the job done right by “making sure that we meet the schedule of the general contractors, and if there are any hold-ups on the projects, they’re not ours.” Louis and Don Lee are creating a great outline to become an amazing business. - te
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stablished 85 years ago in Ballinger, TX, Mueller Incorporated has come a long ways since its humble beginnings in the West Texas region. Founder, Walter Mueller would be amazed today at how far his then company, originally called Mueller Sheet Metal Company, has come. Since the purchase of Mueller Sheet Metal Company in 1984 by the Burly Corporation, the business has witnessed rapid growth. “The current owner purchased it in the ‘80s and took it from that one location to over 30 locations,” said Jeremy Seay, Rosenberg Branch Manager. With locations from Tulsa, OK to Albuquerque, NM across Texas down to Baton Rouge, LA it seems the company isn’t through growing. “We are working on expansion with some of our new purchases. Right now, [they are] marketing to see what kind of pull we can get and to
see where we need to go,” Seay says. Although some other sectors of the construction industry may have experienced a lull, Seay says they have not experienced that problem. “[Business] has been pretty steady at this branch. We’ve got a good steady growth going on.” That was apparent because the phones hardly stopped ringing. Seay adds that the company is moving towards a more modern look in order to keep up with the new clientele that is beginning to use their products and their branch will soon be getting a facelift. While Seay and his six employees are always eager to help anyone who calls or walks in the doors of the Rosenberg Branch, the guys enjoy hunting, fishing, and relaxing when time allows. Mueller Incorporated sells metal roofing and steel buildings for commercial and residential use. – te
Construction News ON LOCATION
Supplying more for the job
Douglas Gonsales, Mark Woollen, Rob Silva, and Mike Crittenden enjoy working together at ABC Supply Co. in Katy and helping customers in the construction industry. - te
On top
William Sanchez, the president of Oxford Builders, Inc., was presented with the Construction Client of the Year award by the Houston Minority Business Development Agency (MBDA). Sanchez founded Oxford in 1996, a specialty contractor in Houston for 20 years. -te
Houston Construction News • September 2017
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Coasting towards success
Industry FOLKS Shawna Sletmoe Sales Administrator United Site Services
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Employees at Coast Graphics & Signs, Inc. are treated like family
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company that was established in 1980 by a grandfather has been handed down generation to generation, and Jake Siegrist will be the third generation of owners at Coast Graphics & Signs, Inc. Although the company is 34 years old, Siegrist’s father and he have made sure to change with the times. “We’ve been moving from doing non-illuminated signs to full-blown rotating mechanical signs,” he shares. Way before there were even illuminated signs, his grandfather was painting signs by hand. “My grandfather handpainted signs in California when he got out of the military. My dad picked up the trade from him, and then one of my uncles and he moved to Houston and started the company.” Siegrist admits that art is in their genes and he must have the artist gene as well because he can’t seem to keep away from this business. “I’ve had different jobs, but I always come back. I’ve
been back for eight years now.” While he admits that working with family can be difficult at times, he wouldn’t want it any other way. “The industry is a lot of fun and I really enjoy it. My dad enjoyed it because of that, too,” says Siegrist. The company gets involved in some charity work and fundraising when they can. They donated all of Rosharon Fire Department’s signs and when the fire department has their annual fundraiser, they make sure to take part in that. They also donated the sign for Citizens for Animal Protection (CAPs) in Houston and have volunteered in other ways for them, too. The company is one big family, and the employees are treated as such. “We have people who work for the company who aren’t family, but have been there for years so they may as well be.” Coast Graphics & Signs, Inc. designs, manufactures, and installs signs for companies. – te
ith the position of Sales Administrator, an employee has to talk to many different people every day, and that’s what Shawna Sletmoe likes most about her job at United Site Services. With her bubbly personality and joy for life, people enjoy talking to her, too. She has been working in the sanitation industry since 2016 and caught a lucky break from her friend who was already working at United Site Services. “I got laid off at the job I had at the time and my friend said she wanted to hire me, so here I am.” Sletmoe grew up in Houston, but has lived in other states. “I lived in California for a little bit and I just moved back from Arizona. I lived there for 16 years and that’s where I got into this business. Then I moved to Cleveland, Texas, then to Austin for a year, and then moved back to Houston.” Her favorite place to live was Austin because she enjoyed the people and all the fun activities there.
Sletmoe likes to relax when she’s not working. “I like to sit at home and read, or watch TV, or go to movies. I also like country and classic rock concerts.” She loves watching movies – romantic comedies and action films are her favorite. If she could be in a movie with any celebrity, she would choose The Rock. “One where he would be picking me up,” she giggles. Her favorite movies with The Rock are Baywatch and Central Intelligence. She admits that she really likes them all, though. Her 28-year-old son lives in Livingston, but she isn’t lonely. “I have two dogs and they are both pit bull mixes. The male is Monster and he’s 5, and the girl is Eppie and she’s 6.” Sletmoe truly is a people-person and, with her laid-back disposition, she’s easy to talk to. Maybe one day, Dwayne “The Rock” Johnson will have the pleasure of working with her. - te
A crisp mix
CRISP restaurant in The Heights was packed with more than 150 AGC Houston members for the association’s quarterly mixer. Liliana Hernandez with Occucare International won the drone in the giveaway. She is pictured with event sponsor Curt Martin with Peckar & Abramson, PC.
Houston
CONSTRUCTION NEWS Tanya Erickson HoustonEditor@ConstructionNews.net 832-595-0091 Construction News Ltd. Home Office P.O. Box 791290 • San Antonio, Tx 78279 210-308-5800 Fax 210-308-5960 www.constructionnews.net
Publisher . . . . . . . . . . . . . . . . . Buddy Doebbler Editorial/Production . . . . . . Reesa Doebbler Managing Editor . . . . . . . . . . . . . Carol Wiatrek Production Manager . . . . Helen Greenwood Administration . . . . . . . . . . . . . . . . Terri Adams Account Manager . . . . . . . . . . . Dana Calonge If you are a construction-related company in Harris, Ft. Bend, Galveston or Montgomery counties and are not receiving a free copy of the Houston Construction News, please call for a Requester Form, or visit our website. The Houston Construction News (ISSN 1547-7630) is published monthly by Construction News LTD., dba Houston Construction News, and distributed by mail to construction-related companies in Houston and surrounding counties. All submissions should be mailed to our editorial offices. We reserve the right to edit any materials submitted. No fees for materials, copy or photographs submitted will be due unless agreed upon in advance in writing. Submissions will be published at our discretion on a space available basis. Construction News, Ltd. , dba Houston Construction News, will not be liable for errors in copy or in advertisements beyond the actual cost of space occupied by the error. Publisher reserves the right to reject any advertisement at any time. © 2017 Construction News, Ltd.
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Houston 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.
Construction News ON LOCATION
Throwing stones
David Guajardo and Max Blackmon are always ready to help design and construct using brick and stone from Allstate Brick & Stone in Houston.
Houston 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 brought a tort claim—the only duty it claimed breached was contractual in nature. In discussing this implied duty, the Chapman court blurred the distinctions created by the economic loss rule by allowing a party to, essentially, use a contract (which was only for plumbing work) to recover in tort (damage to the whole home). Picking up on Chapman, the Corpus Christi appellate court used the implied duty to allow a party to sue a project engineer for damage to an apartment complex it purchased from the complex’s builder in USA Walnut Creek, DST v. Terracon Consultants, Inc.2 The Terracon court allowed the purchaser to sue the engineer for damage caused by improperly designing the complex’s foundation—including damage to the foundation itself—despite the purchaser not having a contract with the engineer. Seizing on the notion of an implied duty, Terracon presents another example of a court sidestepping the lines set by the economic loss rule by allowing a party to recover what essentially were breach of contract damages (i.e., improper construction and design services) from a party with whom it had no contract. If the results of these cases seem confusing, it is because they are. The implied duty discussed in Chapman blurs the distinctions set by the economic loss rule by 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)
Swinging into action
Members of the Associated General Contractors of America (AGC) Houston Chapter headed to Herman Park Golf Course to play in the 13th annual Construction Leadership Council (CLC) Golf Tournament. The event raised $10,000 for education scholarships and the team from Drake Environmental Houston, LLC took home first place. The winning team from L-R: Brandon DeStefano, Corbin King, Dustin King, and Scott Story. – te
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 electronically submit required injury and illness data from their completed 2016 OSHA Form 300A. The application will be accessible from the ITA webpage at https://www.osha.gov/injuryreporting/ita/. 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 tempoForm 300A to Dec. 1, 2017, to allow affected rary workers. entities sufficient time to familiarize them- Establishments that are partially exselves with the electronic reporting system, empt from OSHA’s recordkeeping due to and to provide the new administration an industry are not required to submit data, opportunity to review the new electronic regardless of establishment size. Construcreporting requirements prior to their imple- tion industry employers are required to mentation. Employers have from August 1st maintain the OSHA 300 log if the employer to December 1st 2017 to submit their OSHA has 10 or more workers, though the requirement to submit data electronically 300A data in the online system. Employers who are required to submit only affects those employers with 20 or data online are those employers that are al- more workers. ready required to maintain the OSHA 300 The data submission process involves occupational injury and illness log, and have four steps: (1) Creating an establishment; at least 20 workers at their establishment. (2) adding 300A summary data; (3) submitThe electronic reporting requirements are ting data to OSHA; and (4) reviewing the based on the size of the establishment, not confirmation email. The secure website ofthe firm. The OSHA injury and illness records fers three options for data submission. One are maintained at the establishment level. option will enable users to manually enter An establishment is defined as a single data into a web form. Another option will physical location where business is con- give users the ability to upload a CSV file to ducted or where services or industrial oper- process single or multiple establishments ations are performed. A firm may be com- at the same time. A third option will allow prised of one or more establishments. To users of automated recordkeeping systems determine if you need to provide OSHA to transmit data electronically via an appliwith the required data for an establishment, cation programming interface. you need to determine the establishment’s For more information, please visit peak employment during the last calendar https://www.osha.gov/injuryreporting/innatarajan.joann@dol.gov year. Each individual employed in the estab- dex.html 512-374-0271 x232 lishment at any time during the calendar
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Houston Construction News • September 2017
ton throughout the years. My mother’s family was in the restaurant business on the Seawall and I started working there when I was young. I learned my business ethics from watching my parents.
Stanley Marinos Owner The Power House Electric Company
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tanley Marinos learned how to work hard from both of his parents and that has helped his company, The Power House Electric Company, succeed through the years. Where did you grow up? I was born and raised in Galveston, TX. Where did you go to high school and college? I graduated from Ball High School and attended Galveston College. What did you do after you graduated? I’m a workaholic so I started spending even more time working. Tell me about your parents. My family is large, but close-knit. My parents have owned and operated various businesses in Galveston and Hous-
What was your introduction to the construction industry? My father was an engineer in the US Army Corps of Engineers in Galveston. He showed me how to solve problems from the bottom up while researching for solutions on my own. Upon retirement, my father began building houses in Santa Fe and I started working for him and learned a lot. What was your experience before The Power House Electric Company? My first job I ever had was working at Seaview, which was a restaurant owned by my mother’s family. From there, I started working in construction and moving through the different fields. I’ve always been inquisitive with a drive to learn more. What was it like working for your parents? They taught me how to work hard and how to be responsible, even at a young age. How long did you work for them? Throughout high school. I started working in construction with my father in the late ‘70s and just continued and progressed from there. At the end of 1983, I was working for Houston Light and Power, but I moved on after Hurricane Alicia. This is when I really had a chance to work in the construction field with so many open projects being cre-
ated by the devastation the hurricane left behind. What were the challenges of starting your own business? I was lucky enough to start in the electrical field with two good friends. We worked together to build the company, so we didn’t run into anything too challenging. Are you married and do you have any children? I am married and I have two children – a daughter and a son. Are they involved with the business or industry? No, they aren’t. My son graduated from Texas A&M and is a marine systems engineer and my daughter also graduated from Texas A&M with a degree to work in recreation parks and science. What has been the biggest change in the industry since you started the company? This industry is ever changing; that’s what I love about doing electrical work. Technology is always being updated to make the world run more simply. It amazes me and gives a wow factor. One new piece of technology that is becoming popular are LED bulbs and light fixtures, and that really awes me. What has been the highlight of your professional career? Self-achievement. This company was started from the hard work and hard-earned knowledge of my friends and myself. We have been able to see
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Stanley Marinos, the owner of The Power House Company, credits his hard work ethics to his parents. and achieve a lot – strip centers, restaurants, office buildings, and fixing the electrical problems of others. Do you have any plans to expand the business? We are currently undergoing renovations on an office building and are hoping to have it tenant-ready by the beginning of this month. What are your hobbies and interests outside of work? I spend a lot of time building my relationships with my church community. My big project at this time is the Galveston Island Greek Festival. - te
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most weekend fishermen doing is drifting the flats. This is a great way to cover lots of water and locate fish without spending lots of time in the same location. Shrimp under a popping 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!
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
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.
when they hear you coming. Having a soft plastic or a spoon tied on your rod and a quick hand will give 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
Have an Outdoor Story or Photo? Send to: HoustonEditor@ConstructionNews.net or call at 832-595-0091
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
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 361-3343105 or e-mail him at SteveSchultzOutdoors@gmail.com. Good luck and Good Fishing.
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Houston 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
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.
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
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?
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. In the meantime, everyone’s still fishing 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 the campfire thing. It goes back to when we would crawl out of whatever cave or
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!
Half or Full Day Fishing Trips All Bait, Tackle & Equipment Furnished Your catch Filleted and Bagged for You
Ken Milam Guide Service (325) 379-2051 www.striperfever.com
Furnish your TPWD Fishing License & Refreshments, and WE DO THE REST!
Houston Construction News • September 2017
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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
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Houston Construction News • September 2017
Building relationships in Houston
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ver 150 companies from around the country were exhibitors at The Houston Build Expo in the NRG Center August 16-17. Attendees from many other companies in the Houston area and beyond attended to network and learn more about the construction industry. From solar security lighting to portable toilets, there was a company there from almost every trade in the industry. – te
Linron Company, L-R: Rudy Reyna, Nick Sullivan, Gilles de Beaumont, Angie Adams, John Kozak, Bria Adams, and Richard Kenjura
GEDA USA Nick Martinek
Site Solar Pat Conry
Alvarez Striping Carlos and Misty Alvarez
RamJack , Nicki Ramirez and Walker Matthews
Gaco Western, Daniel Burns and Scott Carpenter
Equipment Management Services Jacob Duncan
Cristacurva, James Jenkins, Barry Dason, Patricia Yanez, Bruce Estep, and Reed Barnett
Farmer Environmental Craig and Pat Farmer
Pac-Van Shawntel Johnson
Construction News ON LOCATION
Time out
CMC Construction Services in Rosenberg offers all types of construction supplies. L-R: Chad Ronspiez and Brian Washington - te
Houston 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
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-
GREEN BUILDING Sep: Green Building Nov: Architecture & Engineering Oct: Specialty Contractors Dec: Construction Equipment
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-
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
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.
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
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
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Houston 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
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
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. 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. 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 design and design peer review on the older buildings downtown has been a lot of steady work and we’ve had really interesting projects. 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 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
GREEN BUILDING Sep: Green Building Nov: Architecture & Engineering Oct: Specialty Contractors Dec: Construction Equipment
make the best choice. Not to mention that investing in 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.
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. 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
How are additional costs balanced against energy, water or material cost? 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 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 within 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 continued on Page 13
Houston Construction News • September 2017
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GREEN BUILDING continued from Page 12 —Views of green 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
Creating a greener state Jonathan Kraus, Executive Director USGBC North Texas
continued from Page 1 — Concrete continuity years also enjoy traveling and recently took a cruise to Alaska. They have five children, but they are grown and live throughout Texas. “Greg and I are empty nesters and we love it. I am not one of those moms who was sad about the kids being gone,” laughs East. “Make no mistake, we see all of the children often, taking frequent road trips to visit, but we very much enjoy quiet time at home.” East and Vazquez work very closely together, taking advantage of their individual interests and talents to solve different challenges within the operation. “Kellie is an integral part of the company. We are very complimentary in our skills. There are things she does that I’m not good at and vice versa. It’s a blessing,” East says about Vazquez. Vazquez, who is the Vice President of Safety Operations, has worked for the company for 15 years, the last four in her current position. Much like her sister, she started at various back office positions and worked her way up through the company, building on each position along the way. For the past several years she has been working tirelessly on efforts to better educate both the industry as well as local, state, and federal legislators on the facts surrounding concerns regarding the respirable crystalline silica standards, which has become a significant safety concern within the construction industry. “Contractors do not fully understand how far reaching these standards will become. Many see this
as a concrete contractor’s issue or possibly a demolition contractor’s issue only, but I’m working to educate them that in fact these standards reach all sectors of our industry, and their employees need to understand how to protect themselves as well as their employers while on the job,” says Vazquez. Vazquez says one of the biggest challenges is that “safety is very black and white; there are no gray areas, and when workers try to work within perceived gray areas, accidents can happen.” The sisters still get some business support form their mother who, at 70 years young, continues to remain vibrant and active within the business, although as East says with tongue in cheek, “Mom was always planning to retire at 55.” Both sisters agree that the best part about their jobs is the people they work with. “I’m fortunate that we have really great people here. Pat Stepanski is our Vice President of Operations. He’s been with us for 38 years and we are fortunate to have him and the team that we do,” beams East. Vazquez agrees, maintaining that the level of trust between management and the extended team has been critical to stability and success. “I hear about a lot of things because they trust me personally as well the relationship we’ve built, and this fosters communication and understanding. “ East and Vazquez are very proud of the company their parents once started and they have been able to continue to build. Holes Inc. specializes in concrete cutting, sawing, removal and demolition. -te
continued from Page 1 — Blasting through the competition from coming back, though. Seeing grown men push themselves to get their job done is something that is ingrained in his memory. “Spending time with those men showed me how I should be as an employee and an employer.” Hitchcock has always been pulled to the company and what it represents. “I love seeing the effect that we can have
on a city; it is amazing. Being able to claim that I’m part of the reason why one of the biggest cities in the world looks the way it does is because of our family and our business; I don’t think it can get any better than that.” Blast Inc. specializes in high-pressure cleaning and waterproofing. - te
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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 industry education, perception of extreme cost increases, and “Green Fatigue”. We are also placing more emphasis on im-
proving 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 buildcontinued on Page 14
The reception area of the Slade Shipping office space is open and bright.
side which is encased in plate glass and two large windows offer bright, natural light. Another distinctive feature of the space is the blue pearl granite used in all of the counter areas, including the restroom. It offers an iridescent and highgloss finish to the posh space. There is a spacious upstairs area where multiple offices and cubicles are located. This area also has lots of natural light and has a wide hallway that offers ample space to walk. According to Konicki, what makes this project unique is “the fact that we were able to provide suggestions on the finished design that the customers’ final
decisions leaned heavily on.” Konicki says his clients were great to work with. “Ben, Bob, and Regina Peska were very easy to work with. There was an open line of communication that allowed for brainstorming and cumulative decision making.” Daniel Mazilu with PDN Consulting Inc., which specializes in green building, was the architect for the project. Roxanne Farias was the project coordinator and Danny Thigpen was the project supervisor, both work for A Pro Top Construction, Inc. A Pro Top Construction, Inc. specializes in multi-family, commercial, and residential renovations. – te
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Houston Construction News • September 2017
SPECIALTY CONTRACTORS
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If you would like to represent your company in an upcoming FOCUS, contact your Houston Editor for an Interview Tanya Erickson 832-595-0091 HoustonEditor@ConstructionNews.net continued from Page 13 —Creating a greener state 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
ents 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.
Staying on top of green
Association Calendar
Content submitted by Associations to Construction News
Scott Lee, Director of Operations, North Texas Joeris General Contractors Dallas/Ft. Worth, TX
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, cost 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 cli-
FPA Foundation Performance Assoc.
Sept. 20: Member Mixer at Contract Resource Group; 4:30 – 7pm
Sept. 13: ADR and DEF Cracking presented by Walker Restoration Consultants, guest speaker Mr. Alfred “Al” E. Bustamente, Call 713-699-4000 for more info.
AGC Associated General Contractors
Sept. 8: Solutions Thru Technology Conference, Marriott Marquis Houston, contact 713-843-3700 for more info Sept. 18-21: Occupational Safety & Health Standards for Construction at AGC Houston
RCAT Roofing Contractors Association of Texas
Sept. 21: Lunch ‘n Learn at Rudy’s Country Store and BBQ in Katy from 11am – 1 pm; speakers John Derosa with SRS Distribution
ASA
WCA
American Subcontractors Association
Women Contractors Association
Sept. 21: Worker Safety on the Jobsite: Who’s Responsible?, The HESS Club, 11:00am – 1pm
Sept. 7: Steven Bates will be discussing Cyber Security, Maggiano’s Little Italy, 11:30am – 1pm, visit website to register
Round-Up Johnston LLC has promoted Melissa Wright to Associate Partner. Wright brings more than 15 years of industry expertise from a background spanning architecture, engineering, and construction firms.
Submissions
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.
ABC Associated Builders & Contractors
Round-Up
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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
Greg Liggin has been promoted to Chief Estimator for Bartlett Cocke General Contractor in Houston. He has been with the company for 11 years and has more than 42 years of industry experience.
This is a monthly section for brief company announcements of new or recently promoted personnel, free of charge, as space allows. –––––––––––––––––––––––––––––––––––––––––––– Email (w/digital photo, if available) by the 15th of any month, for the next month’s issue (published 1st of each month). Email info to appropriate city issue, with “Round-Up” in the subject line: –––––––––––––––––––––––––––––––––––––––––––––––––––––––– San Antonio: saeditor@constructionnews.net Austin: austineditor@constructionnews.net Dallas/Ft. Worth: dfweditor@constructionnews.net Houston: houstoneditor@constructionnews.net
Houston Construction News • September 2017
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Best kept secret
Brenda Romano, Chief Executive Officer, VBX
T
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
Construction News ON LOCATION
Floor your guests
At M.R. Hardwood Flooring in Richmond. Cisco Gomez takes a break for a photo in front of hardwood floor samples. - te
B
Prime time
ernice Klink likes to think of herself as a “jack of all trades.” Before becoming the owner of Prime Production Hardwood Flooring in 2013, she worked in two different industries. “After college I was in insurance for years - marketing rep., HMO - and then stayed home for a few years, raised kids, and then got back in the workforce as a teacher. I taught elementary school for 12 years.” She knew she wanted to start a new adventure, so she looked to her husband for inspiration. “My husband is a small business owner, and I watched him and saw that it was exciting and different and I was ready to move forward and try something special.” When she purchased the company from the original owner, she knew she was getting something great. “I knew I was buying the reputation that was very solid in the industry, and that’s a good place to be.” “This company was very well connected in Houston with a lot of the general contractors. The employees stayed with the company and they wanted to because they are very committed.” There are currently 10 employees at the company, and some of them have been there for 18 years. “These guys are not just installers. They specialize in custom work and are very detail-oriented.” Klink says she enjoys her work and what it brings. “It’s always different because of all the diverse woods we work
with. We work with exotics and we do a lot of mesquite flooring. It’s interesting because the jobs are different and the people I work with are different. The industry is ever-changing.” She’s working hard to keep up the solid reputation of the company and making sure to continue to learn as much as she can about the industry. She recently received certification from the Women’s Business Enterprise Association (WBEA) and Small Business Enterprise (SBE) from the City of Houston. Prime Production Hardwood Flooring in Houston is a supplier of residential and commercial hardwood flooring - te
A rockin’ re-launch
Roofing Contractors Association of Texas (RCAT) held a re-launch of the Houston Area Chapter at Cadillac Bar in Houston. Pictured L-R: Executive Director Sarah Burns, President John Giffin of State Roofing Company and Paul Ramon of Ramon Roofing. - te
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Houston Construction News • September 2017