Austin Construction News June 2019

Covering the Industry’s News

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The Industry’s Newspaper www.constructionnews.net H (210) 308-5800 H Volume 19 H Number 6 H JUNE 2019

Advancing in the dream

True blue

Miguel Torres, owner of Torres Plumbing

L to R: Carlos Arrazola (electrician) Richard Rucker (father and sales manager) Maxwell Rucker (president) Cody Alexander (project manager) Edgar Janjutyan (marketing manager)

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iguel Torres was working as a painter for a construction company when he saw an ad for plumbers at another place. Without any prior plumbing experience, Torres decided to give it a try. When he did, “I liked it,” he said. Torres had been thinking about which trade to really sink his teeth into and found it in plumbing. (He does not like electrical). This was 1998.

Torres was hired by the Biggs Plumbing Company and they helped him go through the two-year plumbing program at Austin Community College. Torres worked as a plumbing helper in the mornings while attending classes in the afternoon.

Upon completion of his program in 1999, Torres tested and was awarded his journeyman’s certification.

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ith just 15 employees when The Cadence Group formed in Dallas, TX in 1985, the company now known as Cadence McShane Construction Company has grown to over 200 employees in offices in Dallas, Houston, Austin and San Antonio.

Specializing in education, multi-family, senior living, commercial and industrial work, Cadence McShane has earned a reputation as a highly-experienced provider of general construction, designbuild and construction management services, deploying a culture of relentless service with an entrepreneurial spirit that originates from inside every Cadence McShane employee. This spirit helps the Cadence McShane team to constantly deliver reliable results of excellence.

Cadence McShane Construction Company recently completed the new fourstory Best Western Dual Brand Hotel located in Austin, Texas. The 52,706sf hotel

Torres enjoyed working at Biggs and was grateful for them supporting him through his training. At the time, Biggs did all commercial plumbing, but not residential, which Torres wanted to get into. After four years at Biggs, Torres thanked them for all they had done for him, but it was time to move on.

Torres went to work for the Randy Taylor Plumbing Company and got experienced in residential plumbing with them. After three years, however, this business closed its doors and Torres moved on to the Christenson Plumbing Company. While working here, Torres studied for his master’s license and passed the test in March 2004.

With his new certification, Torres was continued on Page 16

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he Rucker family’s construction bloodline can be traced as far back as the early 1900s. In that time, James W. Rucker owned his construction company in Elgin, TX. The family business moved to Austin, TX in the 1930s. James W. Rucker’s grandson, Richard Rucker eventually took ownership and ran the business for many years. He is still an integral part of the company as sales manager since handing the president title to his son in 2013. Maxwell Rucker is now the man in charge at Blue Diamond Remodeling.

Since Maxwell has been around construction his whole life, he is at ease in his managerial role. Maxwell was born in Santa Monica, CA and raised in Burbank,

CA. It was a big change moving from California to Texas as a kid, but it was in the family and company’s best interests.

After graduating from high school, Maxwell’s schedule became more open, and he was able to grow within the family business. He worked his way up the ladder operating in multiple roles throughout his years.

Blue Diamond Remodeling is a custom remodeling company, which offers renovations and remodels of all kinds.

Catering to a wide variety of residential projects, the company does take on some commercial projects as well. Some commercial jobs include a boutique shop and a bar at a local international airport. continued on Page 16

A prototype hotel includes 86-rooms with a business center, two meeting rooms and a dining room.

The interior of Best Western consists of drywall with paint and includes wallcovering finishes. The exterior was primarily stick framed with CMU shafts and structural steel for the first floor with EIFS on the remaining three stories.

When faced with challenges during the construction of the hotel, Cadence McShane was not able to reference what had been done at other locations because this Best Western project was a prototype hotel for the brand. The project team had to use their best judgment to find solutions to issues that were satisfactory to Owner, 28 Hospitality LLC. The project team ensured that they would adhere to the hybrid standards set by the brand for this prototype without impacting the overall project.

Being one of the first dual brand Best Western Plus, the new dual brand hotel by Best Western.

continued on Page 16

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Austin Construction News • JUN 2019

Austin Construction News • JUN 2019

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Page 3

Erasing the scrapings

Wooden it be nice

Accent Glass Resurfacing LLC owner, Aaron Finklea, polishing glass.

Austin Evers, owner of Woodwork at 17th

indshield chips are repaired differently than window scratches.

Aaron Finklea would know because he has many years of experience with both. He operated his own windshield chip repair business in 1998. There is more of a need for window polishing, so he transferred to the higher demanded market.

Accent Glass Resurfacing LLC offers a broad range of glass rehabilitation services in Austin and surrounding areas.

Finklea moved to Austin in his teens from New Orleans. He has remained in Austin because of the growing opportunities.

Services include glass scratch polishing, window protection and window frame repair. These options are usually quicker and more affordable than having to purchase and reinstall brand new windows and frames. Most often damages are incidentally done during the construction process.

Construction is fast paced and messy, so it’s easy for tools and machinery to scrape windows. Improper clean-

ing of windows is by far the most common cause of scratched glass on the job site. Transporting windows from manufacturers to its destination may cause damage along the way. Besides construction, miscellaneous happenings such as graffiti or hard water scale from sprinklers will cause window damage as well.

Accent Glass Resurfacing LLC is a business-to-business establishment. Jobs are received from building contractors, glass companies and window distributors. Some examples of completed projects downtown include condominiums and hotels, like The W. Many other jobs are completed at various housing developments, restaurants, hospitals and colleges, including A&M and UT. Glass repair is the perfect niche for Finklea. He has always been detailed oriented and structured, “This type of repair lends itself to my personality. I like for things to be right and in order.”

Accent Glass is a glass scratch repair contractor in Austin, TX. -tnp

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ustin Evers is the pastor of pine, the minister of maple and the reverend of redwood.

Okay, let’s not push it too far. But it was his job as a college pastor that led the east Texas native to New England, then to Guam, where Evers got his first taste of woodworking, assisting a carpenter friend.

When Evers and his new wife returned to the States and settled in Austin, he and his stepfather made a dining room table. Evers concluded: “I like this.

This is really, really enjoyable.”

Evers built more things for himself, then for friends. The big push to finally start Woodworking at 17th (the street on which he has his shop) in 2014 came when people who were not his friends hired him to make things for them. “Once people who weren’t friends started asking [for pieces],” he said, I felt comfortable trying to use [this skill] to make a little money.”

In the early days, Evers credits wordof-mouth in landing him projects. “I had a pretty good friend base,” he said. One friend was a digital and graphic designer

back in New England. This friend said if Evers built his company a nice, big conference table, he would do a fancy web page for him.

Evers’ first commercial project was to totally redo Hops and Grain Brewing’s taproom with new counters, stools, benches and tables.

Evers said he was “really fortunate to meet the right people along the way.”

Evers’ real love is doing dining room tables, because so much wonderful life is lived around them, not to mention the memories that are created.

Being self-taught, Evers doesn’t mind admitting that “I’ve made a lot of things that didn’t make the website!”

Evers would like to work with Habitat for Humanity, and in the future, to do only those pieces that he is best at and gives the customer their best value.

Wooden it be nice to have folks make more memories around his dining room tables? Can I get an amen?

Woodworking at 17th is carpentry shop in Austin. -dsz

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Austin Construction News • JUN 2019

I think George and I both came to the realization that we had the experience and the ability to do this and we wanted to try it on our own. It was more difficult than I expected but it was also much more incredibly rewarding.

Randy Don Carlos President DCA Construction LP Austin, TX

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ever doubt a high school teacher’s ability to shape a student’s future.

Randy Don Carlos doesn’t. When a teacher saw his promise in drafting as a high school senior, it set him on a career path that eventually led to him owning his own construction management firm, DCA Construction LP. In turn, he is nurturing the promise of those who may someday helm DCA. Describe how you were introduced to construction.

My family [had no ties] to construction; my father worked for American Airlines and my mom was a stenographer.

Growing up, I showed no interest in building at all. In high school, however, I enjoyed drafting. During my senior year, my drafting teacher suggested that I try to get a job in an architect’s office, and so that is what I did.

What path did your life take after high school?

I started college at San Jose State University as an aeronautics major, but I switched and got my degree in business management. In the meantime, I had to work in order to afford school, so I kept working for that architecture firm, KCBL. In fact, I spent 14 years with KCBL and eventually became owner of that firm.

In 1998, while working for that same firm, I had an opportunity to come to Austin to work on a project for a year.

Then, I went to Indianapolis to work on the state office building project in Indianapolis for two years.

After that, I came back to Austin and, at that time, my two partners in the architecture firm were retiring. We closed the firm and I went to work for a firm here in Austin, O’Connell Robertson, in 1993. I stayed with that firm for four years and became a licensed architect, and then I went to be a facilities manager at Dell.

After Dell, I became the director of design and construction for the Seton Health Care Network. I did that for four years, and that is when my partner, George Allen, and I decided that we were going to start our own construction company, DCA Construction, in 2005.

What motivated you to start DCA Construction at that time?

How has the company evolved in the past 14 years?

It’s grown from a small firm doing small projects to a medium-sized firm doing large projects. We are primarily what we call “core and shell commercial general contractors.” We do no public work; all of our work is for clients in the private sector. Ninety percent of our work is repeat work for existing clients.

What do you consider the most rewarding part of your work?

The most rewarding thing for me is that I have a great team of people that have been with the firm for a long time and I am most proud of providing an opportunity for those individuals and their families to live a great lifestyle.

What does it take to achieve success at DCA, and what is the company culture like?

I would say that to be successful at DCA Construction, you need to be selfmotivated and self-managed. The culture is a hands-off management style.

What lessons have you learned?

Patience and understanding.

Who has mentored you on your journey in this industry?

I have a tremendous mentor; Michael Lorimer was actually the person who hired me when I was a senior in high school and was was a partner in that architecture firm. He’s been a longtime friend and mentor. I could not be where I am at today if it were not for him.

Have you had the opportunity to mentor others?

I would like to think that I have been able to impart some professional and personal knowledge with my two new, younger partners, Kevin Foltermann and Dustina Gunn Warner.

L-R: DCA’s Randy Don Carlos and his “way smarter” Border Collie “Pepper”

where they want to take the firm.

If you could design anything anywhere would it be?

I tell you, I’m working on my biggest design project ever and it’s a continuous process: I am designing an organization that will transcend and outlive me. In 100 years, I want it to be an organization that would provide value, provide a great service for our clients and would be filled with amazing people.

Share about you personal life and what you enjoy doing in your free time.

I’m married and have no children. I have a Border Collie, Pepper, and she is way smarter than I am! I also play golf.

How is your game, and where do you like to play?

It’s pretty fair! I like to play at Pebble Beach, Cypress Point, Pelican Hill, and my dream golf course is of course, Augusta.

Have you traveled recently, and what did you do on your travels?

Anything else we should know about you?

Well, I’m a fairly decent architect!

Do you think you will do this work the rest of your life?

Yes. I can’t see myself ever retiring.

By design, the organization allows me to have some personal social time away from the office and my amazing partners will continue on.

I still look forward getting up every morning and going into the office. Now, I don’t want to do it five days a week, 52 weeks a year but I want to get it to a point where it’s a half-time thing, and I would be happy. Retirement is not in my vocabulary!

General contractor DCA Construction LP in Austin offers construction management services for commercial projects. –mjm

Construction News ON LOCATION

Cemented in time

What do you think is an important thing to teach mentees about?

Integrity is number one for me. Your word means everything. I don’t care about contracts or legal contracts. Your word and your handshake is everything.

I’ve experienced [a lack of integrity many times in my career] but you just have to move on. That defines them and it also separates you from them and we just don’t do any more deals together.

I’ve been very fortunate in that we work with a select group of clients and do a lot of repeat work. We never run into those issues now because I feel like in our business we are in partner with our clients, and we have a few really great clients.

What do you hope the future holds for the company?

I hope it continues to grow and prosper. To a large extent, it really is a platform for Kevin and Dustina to determine

I just got back from Costa Rica. It was a time of good friends, fishing, and playing golf. I go down there probably four times a year. I think it’s an amazing place with amazing people. It’s a great place to relax.

Custom-Crete drivers take time to pose for a photo before heading out.

L-R: Luis Guerro Deloera, Nathan Prince, James Nunez and Omar Salmeron. -cmw

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Page 5

A divine arrangement

Reasons to celebrate

Julie and Grant Kravchenko, owners of Divine 5 Flooring

L-R: James Anderson and T.J. Rogers

rant and Julie Kravchenko have their business all figured out as to who does what.

“We’re pretty much involved 50-50 doing everything together,” Grant explained.

Divine 5 Flooring is a new company, which started in January of this year. But its roots go back to Orange County, CA, where Grant had his previous flooring company.

He had just come out of the Army as part of the 173rd Airborne, and had intended on going into the police academy. Instead, he found himself spending his free time hanging out at the flooring company near the restaurant where he worked. Being a hands-on kind of guy, Grant took to the flooring business and then started his own.

It grew and grew – so much so, that Grant said it had “taken over his life.” So he sold it in 2017 and he and Julie moved to Texas to begin a new chapter.

After taking a welcomed break, the couple re-evaluated things and took the flooring plunge a second time.

“We both made the decision to move forward and open a company once again,” Julie said.

For his part, Grant likes to be in the field, working on location with his crews.

Julie, with her previous business experience, was more suited to running the office. Thus, she is the on-paper owner of Divine 5, which is fine with Grant.

“She dots all the ‘I’s” and crosses all the ‘T’s,’” he said.

“When it comes to building a company from scratch,” Julie said, “that’s where my experience lies.” When Grant opened his first flooring company in California, he said he had to hire a professional business help to coach him along.

A big plus for Texas is the lesser amount of business-choking laws and red tape that California has. Here, Grant

can even go old school and get things done on a handshake.

“It was a lot of leg work and knocking on doors,” Grant said, describing how Divine 5 got going. They do 20-80 commercial to residential, but one commercial job can be greater in both duration and cost than several residential ones.

“The bulk of our business comes from the real estate industry,” Grant said. In terms of styles and tastes, Grant also said that tastes have changed from America red oak to European white oak as a preferred look. North American maple is popular too.

With Grant’s military background and previous desire to enter law enforcement, Julie said that “we offer tremendous support to any military and law enforcement personnel. Grant is very proud to have served our country.”

While Divine 5 would like to grow, as any business would, Grant doesn’t want to lose their customer engagement and personal touch. Julie helps with designing and meeting with folks, while Grant wants “to manage jobs, not employees.”

“We both get a chance to work with a customer,” Julie said, when a new client calls Divine 5.

Julie is excited about this move to Texas and new company.

“Every project, every day is something entirely new,” she said. “This is a new and very fun experience.”

Julie continued, “We get to help customers who come to us make their dreams come true.”

The California couple has found a home in Texas and loving it. All in all, this sounds like a perfectly divine time in Grant and Julie’s lives.

Divine 5 Flooring is a flooring contractor in Round Rock. -dsz

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artlett Cocke General Contractors is not only celebrating 60 years of business this year, but is also celebrating the promotion of James Anderson to company President and T.J. Rogers to Executive Vice President.

Anderson began his career at Bartlett Cocke as an intern in 1994 and full time after graduating from Texas A&M University with a Construction Science degree in 1996. Anderson went on to serve as Senior Project Manager on the company’s largest and most complex projects and was promoted to Vice President of Operations before his promotion to President this year.

Rogers, a Texas Tech grad who holds a degree in Construction Engineering Technology, worked in other regions of Texas for large GCs prior to starting at Bartlett Cocke 15 years ago as a Senior Estimator. In 2008, he was promoted to Vice President of Estimating and managed the estimating efforts of the company’s offices. In his new role as Executive Vice President, he currently oversees, among other things, the Estimating Department, the Safety Department and Risk Management.

“The succession planning for us is really a plan that is deeply embedded in the culture and the history of Bartlett Cocke General Contractors,” Anderson explains. “There is a clear vision and longterm plan that we’ve put in place. We’ve focused our efforts on developing talent and that continues to move the company forward and allows for smooth transitions in leadership. Our company is an employee-owned organization with leadership that encourages growth and stability.”

“Changes similar to this have occurred in the past – changing leadership roles and responsibilities are planned so that our company’s values and culture remain consistent,” Rogers adds. “We are always planning for future leaders of the company and these changes are strategically aligned with them. As leaders begin to plan for their retirement, our succession planning allows us to continue bringing the service that our clients demand.”

Anderson and Rogers say their pro-

motions will not create change within the company, as they intend to maintain their focus on delivering quality work and continuing the company philosophies that previous leaders set in motion before them.

“I think a project that starts on time with a well-communicated plan will finish on time with a higher level of quality.

We’re going to continue to focus on the objectives of a sprint start and a strong finish on each project. This is something that has always been important to our organization. As our industry changes and we adapt, we will remain focused on the fundamentals of project planning, quality control and customer service,” Anderson says.

“I continue leading the company to be the most recognized general contractor throughout the state. We are focusing our efforts on bringing regional consistency throughout all of our offices, winning great projects that bring lasting value to the communities that we build in, and building strong relationships with the clients, design teams and specialty contractors that we work with across the state,” Rogers says.

As Anderson and Rogers gain more traction into their new roles, they express gratitude to the company’s 600 employees and their part in making the company successful for the past 60 years.

“It’s still fundamentally building upon what our previous leadership has built over many years and that is to stay focused on our clients and to understand that one of our business strengths is being employee-owned,” Anderson says.

“As such, this company is not about people sitting in a corner office, who is related to whom, family relations or tenure.

It’s about each employee having a personal stake in the success of the organization and staying focused on our job, and that’s to serve the customers’ needs, making fair and just decisions and to construct quality facilities that bring lasting value to our communities.”

Bartlett Cocke General Contractors is located in Austin, Fort Worth, Houston, San Antonio and Baytown. –mjm

Construction News ON LOCATION

Not just a cupboard

Greg Walters shows off cabinet fronts at River City Cabinets. -cmw

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Austin Construction News • JUN 2019

In the zone

First and lasting

Joey Sanchez, vice president and general manager of Staff Zone in Austin

he sports world uses “in the zone” to mean the athlete is really dialed in and is doing really well, like shooting basketballs or hitting a baseball.

Joey Sanchez is likewise “in the zone” as the general manager at four offices for Staff Zone, a temporary manpower agency for the construction industry. Sanchez operates out of the Austin office, but also runs the San Antonio, Houston and Denver branches.

Sanchez was in the financial world for 10 years prior to coming to Staff Zone and has been in Austin since January 2018.

“I never knew this [type of work] existed,” he said. The construction industry is a dynamic one, keeping him hopping.

Staff Zone does active recruiting at places like job fares, but also takes the applicant off the street to use as their pool of personnel for contractors to hire.

When Joe Person walks in off the street, he can be tested, certified and ready to go in 24 hours. “We keep them busy every day,” Sanchez said.

Some of Staff Zone’s employers are retirees with time on their hands, folks in

between jobs, and even second-chance people who are getting their lives back in order. Staff Zone bills the contractor/ company, they pay Staff Zone, then Staff Zone pays the workers, who are their employees.

The highest position Sanchez sees is the general laborer, commanding 80 percent of their requests. The other 20 percent are of the skilled trades.

“The demand for our services is so high,” Sanchez said. Of his four cities, Houston is doing the most construction.

Denver doesn’t stop even when it snows.

Both Austin and San Antonio are booming. Staff Zone is expanding and opening up offices in more cities around the country in the months to come.

“Cities change with the growth and all the construction,” Sanchez said. With four bustling cities for which he’s responsible, it’s clear that Sanchez is in the zone when it comes to filling the needs of contractors.

Staff Zone is headquartered in Roswell, GA, and has offices all over the country to include Austin. -dsz

Nick Fierro, Ray Fierro’s son and business partner, of Fierro Painting

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hirty-five years ago, Ray Fierro decided to systematically look at all of the trades he could enter.

Painting was the first trade he explored, and after he learned more about it, he decided the search was over.

“I joined the painter’s union in Northern California in the Bay area and I learned the trade there,” Fierro says. “We had an apprenticeship program that was three years, and after I finished it, I was a journeyman and commercial union painter. I did that for about 10 years.”

A pay cut stemming from a recession prompted Fierro to start his own business, Fierro Painting Inc., in 1995. Four years later, the expense of living in the Bay area motivated him to move to Texas.

Although he says Texas provided more opportunities to work, he decided to stay in his own business rather than work for a work for a company.

“I wanted to be more in charge of my own life; I didn’t really like the idea of working for someone,” he says. “I had the

skillset to do it on my own. I felt comfortable finding my own work.”

Today, Fierro has four employees, including Fierro’s son and business partner Nick, who has worked with Fierro for 11 years. Together, the company completes commercial work, residential repainting, remodel-type painting and work for the City of Cedar Park.

“We want to continue doing what we’re doing,” Fierro says. “My son will probably do it longer than I will, but we will continue doing it and we will continue to do it in this area. We’re established and we know a lot of people.

We always have work.”

For Fierro, painting was first, and he is happy that he went with his first choice.

“I like to be able to create and bring something back that needs a facelift with some tools and paint,” Fierro says. With experience, you can pretty much make anything look good.”

Subcontractor Fierro Painting Inc. is located in Leander. –mjm

Austin Construction News • JUN 2019

Page 7

Safety in work zones

Determining the value of your construction company

Stan Gregory, Safety & Risk Consultant INSURICA San Antonio, TX

Paul Seibrasse, Principal RSM US LLP San Antonio, TX

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he right business valuation can assist in facilitating a variety of business decisions for the construction industry.

Construction company owners may need a business valuation for a variety of reasons, a possible transaction being the most common.

Others include gifting of stock, starting or continuing an employee stock ownership plan, funding phantom stock plans, issuing options to management and transferring other ownership interests. While each of these situations is unique, a proper business valuation is an important part of each.

Determining the appropriate value of a construction business is not an exact science and can be difficult. Often, company owners feel a connection to the business beyond its monetary returns, having grown it from nothing or operating it over a long period. Accordingly, owners commonly benefit from the services of an independent appraiser since their disconnection from the business enhances objectivity and eliminates both actual and perceived conflicts of interest.

Approaches to valuation

There are different standards of value that can be assigned to a company: Liquidation value: the price at which the assets of the business would sell at if an orderly liquidation or fire sale were to occur Fair market value: the price that a business would transact at given a willing buyer and willing seller Fair value: the price at which the business would transact at between hypothetical market participants

Investment value: the value assigned by a particular investor, which is not necessarily what others in the market would pay for the company, but what a single investor perceives the value to be The requirements of the valuation will dictate the standard of value. For example, tax reporting is typically performed under a fair market value standard whereas financial reporting is often performed on a fair value basis.

Traditionally, there are three primary approaches that appraisers consider when valuing a business:

1. Income-based An income-based valuation relies upon a company’s expected cash flows in assessing value. This method is often applicable for contractors with a small fixed asset base, but a strong reputation or history of success. Income-based approaches include the discounted cash flow method and the capitalization of earnings method. The discounted cash flow method uses forecasted income statements, working capital and fixed assets for some discrete future period. The appraiser then refines the forecast so that future cash flows more reasonably represent what a prospective buyer may realize. As the next step, the appraiser reduces the future cash flow amounts to a present value amount using a rate of return commensurate with the perceived riskiness of the company’s future cash flows. The higher the perceived risk, the lower the company’s present value. As an alternate method, the capitalization of earnings relies on a singular normalized annual cash flow estimate, based on the assumption the company grows at a stable rate over time.

Clearly, the capitalization of earnings method is the simpler of the two methods because it only requires one cash flow estimate. However, it may not always be applicable because a company’s expected cash flows may substantially change.

2. Market-based

A market-based valuation infers company value using data from known transactions of either its private or publicly traded peers. For example, price to earning indices are a common metric by which appraisers estimate a company’s value after comparing its performance to that of its peers. The appraiser often makes additional adjustments to the metrics to account for differences between the subject company’s operations and the peer group.

3. Asset-based

An asset-based approach relies on an assessment of the necessary costs to recreate, reassemble, redevelop, and/or redeploy all of the company’s assets using date-specific prices. A company’s estimated equity value is the total assessed asset costs minus its liabilities. Appraisers typically use this method to value holding companies or companies whose assets are worth more separately than combined (i.e., the company consistently struggles to yield positive cash flows).

Additional considerations regarding the construction industry

There is a unique and complex set of considerations required in appraising a construction company. Reasonably reliable company cash flow forecasts are central to any meaningful income-based valuation results. Developing reliable forecasts is difficult, but not impossible, given the wide array of industry factors (such as lending rates, consumer and producer confidence, labor rates, material prices) that can change seemingly overnight.

Further, a construction company’s value beyond its tangible asset value—its machinery, equipment and real estate—is directly dependent on its ability to create persistent and meaningful cash flows.

This ability is often tied directly to a construction company’s reputation for service, finish quality, on-time delivery and worker-friendly policies. This could mean focusing all of the company’s energies on a particular strategy or niche market that may result in above average profit margins. Clearly, there are a variety of ways a construction company can maximize its marketplace reputation, and regardless of the method(s) chosen, sound management is the key to making that happen.

Impact of Tax Cuts and Jobs Act The Tax Cuts and Jobs Act (TCJA), signed into law in December 2017, brought about primary changes that affect valuations: Reduced corporate tax rates, limitations on the deductibility of interest expense, limitations on net operating losses and accelerated depreciation. The implications vary for each of the different valuation approaches.

Due to the short- and medium-term application of the act, there are significant changes to the forecasted cash flows and expected rates of return. The TCJA also affects the metrics used in the market approach, as lower tax rates have bolstered market values of many companies. Ultimately, it is important to look at the guidelines closely before making a conclusive decision regarding what metric to use in the valuation.

The TCJA has several components beyond a lower corporate tax rate, such as net operating losses deduction and repatriation liabilities, that will affect a company’s final value. The impact of the TCJA will vary by industry and company; therefore, business owners’ best response is to have a conversation with their tax advisor to closely assess how the TCJA can help or hurt their company’s valuation.

The construction industry is a competitive and challenging market. While the valuation of a company is ultimately the financial value a buyer and seller can agree upon, there is much within the control of the business owner that can be done to positively—or negatively—affect the company’s value.

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he Texas Department of Transportation statistics indicate that there were 184 crashes and 202 fatalities on Texas roads in work zones during 2017. This was an increase of 9% from the previous year and leads all other states. One reason is that Texas has as many more road miles than any other state. Many of the deaths were attributed to occupants were not wearing seat belts.

All work zones on major Texas roads fall under TxDOT and their MUTCD (Manual on Uniform Traffic Control Devices). In this manual in defines the planning, speed limits, traffic control devices and location of such for the various types of work to be done depending on the length of project and time of day aimed at reducing the potential cause of accidents.

These Traffic Control Plans are designed and engineered to help both TxDOT and the contractors who are working on their projects to select and implement a well-designed plan to manage and reduce injury to both the workers and the general motoring public. The plans do include human behavior studies on speed, visual perception and amount of time the project will take in general.

What they can’t always anticipate is what the motoring, walking or cycling public will actually do while in this “work zone”.

Our contractors in the Texas must comply with these rules and are generally monitored and reviewed by TxDOT on these projects. However, drivers are still having crashes with most occurring from distracted driving, speeding or just not focused on the job of driving.

To reduce injuries to workers in the Work Zone and indecisions on the part of drivers, “flaggers” must be trained and certified. Accident information gathered from crashes have indicated that flaggers were not clear as to their intent in some cases and these individuals are the first to assist motorist in negotiating a required

lane change. Additionally, many work zones are also not active at night, thus the signage, cones/barrels and barriers and attenuator vehicles that help the public from accessing the areas under construction. To reduce claims against you in the event of a crash, the contractor should take pictures/videos of the sight as they left it in case of a crash while no one was on site, at the end of each work day. This will help the claims process when a claim is filed due to your work on this road. Besides the human behaviors there are good rules for everyone to remember; when you see an orange sign, look out for road work up ahead; slow down and be prepared to stop; observe others around you as not all see what you may see.

National Work Zone Awareness is great way to support and get awareness out to the public and is generally the first week of April each year. Buckle up Texas!

About Stan Gregory Stan brings more than three decades of experience to his current role as Safety and Risk Consultant on the Risk Management Services team at INSURICA. He provides risk management solutions for customers in all industries, with a special emphasis on behavioral safety solutions.

Stan’s primary focus is working with large employers to improve their risk profiles and implement custom-tailored safety and risk management plans. He is a Certified Safety Professional (CSP) and has been a member of the American Society of Safety Professionals (ASSP) for 25 years.

Pars, birdie and eagles

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n May 15, the Central Texas Chapter of Associated Builders & Contractors (ABC) held their 2019 Annual Golf Tournament. The highly attended tournament was held at the popular Falconhead Golf Club.

The team of Architectural Divison 8 and Ceco Doors took 2nd place. Allied Fire Protection finished in 3rd place. -cmw

1st Place 2019 ABC Golf Tournament: Ryan Companies

★★★★

★★★★

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Austin Construction News • JUN 2019

Material breaches of contract: What they are and why they matter

Safe tree care Joann Natarajan Compliance Assistance Specialist OSHA Austin, TX

West W. Winter, Attorney The Winter Law Firm, PLLC San Antonio, TX

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he area of construction law is complex, wide ranging and encompasses many different areas of the law (such as torts, contract law, property law, and common law). One construction law concept about which every contractor should have some awareness is the concept of material breach of contract and how material breaches may impact respective duties, obligations, and remedies in a contractual relationship.

What is a Material Breach A material breach of contract is the non-performance of a contractual duty that is so significant that it discharges the non-breaching party from its duties under the contract. Whether a breach is material is a question of fact. The Restatement of Contracts lists five circumstances significant in determining whether a failure to perform is material: (1) the extent to which the injured party will be deprived of the benefit which he reasonably expected; (2) the extent to which the injured party can be adequately compensated for the part of that benefit of which he will be deprived;

(3) the extent to which the party failing to perform or to offer to perform will suffer forfeiture;

(4) the likelihood that the party failing to perform or to offer to perform will cure his failure, taking account of the circumstances including any reasonable assurances;

(5) the extent to which the behavior of the party failing to perform or to offer to perform comports with standards of good faith and fair dealing.

Although dependent upon the facts involved, some common examples of material breaches of contract include significant delays, failure to pay for work properly performed, and wrongful termination.

Material Breach By a Contracting Party Excuses Further Performance by Other Party

It is well established that when one party to a contract commits a material breach of that contract, the other party is discharged or excused from further performance. In many construction contract disputes, one party will terminate the contract or refuse to pay due to alleged breaches by the other party. In these situations involving competing breach of contract claims, juries can and do commonly find that both sides failed to comply with the contract. In the face of competing material breach of contract claims, it should be determined which party committed the first material breach, which such first material breach acts to discharge the other party from further performance under the contract.

In the Texas Supreme Court opinion Mustang Pipeline Company, Inc. v. Driver Pipeline Company, Inc., Mustang, a pipeline owner, sued Driver, the pipeline builder, for breach of the construction contract due to delays in construction, and the builder asserted counterclaims for wrongful termination. Both parties asserted that the other’s material breach as an affirmative defense. The Texas Supreme Court reversed the lower court rulings and held that, since time was “of the essence” and a material element of the contract under the facts involved, the builder’s delays constituted a material breach of the contract. The Court stated: “At the point at which Mustang terminated the contract, there was virtually no chance that Driver would be able

to cure its breach and complete the construction on time.” Because of Driver’s material breach, Mustang was thereafter discharged from its duties under the contract, and the findings on Driver’s wrongful termination counterclaim should have been disregarded.

Election to Continue After A Material Breach

However, when one party materially breaches a contract, generally the nonbreaching party must elect to either terminate the contract and cease performance (as Mustang did in the above referenced court case) or treat it as continuing and thereafter continue its own performance. If the non-breaching party treats the contract as continuing and demands performance from the other party, then the non-breaching party must fully perform as well, because the contract continues in force for the benefit of both parties. Stated differently, a party who elects to treat a contract as continuing, after a material breach, deprives itself of any excuse for ceasing performance on its own part.

By way of example and as set out in the recent holding in C&C Road Construction, Inc. v. Saab Site Contractors, L.P., C&C was confronted with an alleged material breach by Saab, and it had to decide whether to continue with Saab or terminate and replace Saab. C&C contended that the contract had a “time is of the essence” clause and that any delay by Saab was a material breach as a matter of law.

But in this case, when C&C was aware of Saab’s alleged delay, C&C elected to require Saab to complete the contract rather than terminate. The evidence showed that Saab tried to walk off the job for nonpayment, but C&C prevailed on it to return to the job. The court stated that C&C might have used any nonperformance issues by Saab as a basis to offset what it owed, but it could not declare its obligations to Saab extinguished because of a pre-existing material breach.

Get Help

You are encouraged to consult with your construction attorney in the event any breach of contract arises or is alleged. Legal counsel is also strongly encouraged when making business decisions which are impacted by these concepts.

West W. Winter, a LEED Green Associate, serves on the board of the Construction Law Section of the San Antonio Bar Association and has been listed as one of the Best Lawyers in San Antonio for Construction Litigation. The Winter Law Firm represents general contractors, subcontractors, and suppliers, in all phases of the construction process, from contract formation through dispute resolution, litigation, and collection. West may be reached via email: west@thewinterlawfirm.com.

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efore beginning any tree care operation, employers need to:

Assess the work site for fall and falling object hazards. Assess the sloped ground where ladders or equipment will be used to prevent falls from equipment overturns and ladder slippage; nearby overhead objects or structures; and weather-related hazards.

Have a qualified arborist survey the worksite and identify the types of trees involved and possible hazards related to tree structure. The qualified arborist would identify fall hazards and falling object hazards due to tree condition.

Determine if rigging is necessary and, if so, that workers can use it safely.

Determine if workers will need to climb or use aerial lifts Identify and provide without cost properly fitting personal protective equipment to protect workers from fall and overhead falling object hazards, and ensure that the workers use the equipment and are trained in its proper use.

Only use climbing equipment approved by the manufacturer for tree care work, including climbing lines, safety lines, personal fall protection equipment, and inspect all equipment for safe operation before starting work; remove damaged, defective, or worn equipment from service.

Ensure that all workers at a tree care operation are trained in hazard recognition for falls from elevation and falling object hazards, and the use of personal protective equipment, such as hard hats, to protect against injury from overhead falling objects.

If workers cannot remain at least 10 feet from electric lines to perform tree care operations, contact the utility company to de-energize and ground the lines.

Take the following steps to protect workers from falling object hazards: (1) Establish and mark drop zones with equipment, such as cones, where there is a hazard of objects falling; (2) ensure that all workers receive training on procedures for entering the drop zone; (3) ensure that ground workers maintain a distance away from the tree-felling operations that is at least two times the height of the tree; and (4) when using a rope to fell a tree, workers must be at a distance of at least one-and-a-half times the height of the tree being felled.

Establish a visual or audible communication system between overhead workers and workers on the ground before starting rigging operations for piecing out the tree.

Provide traffic and pedestrian traffic control around the jobsite prior to the start of the tree care operation.

Have emergency procedures in place prior to the start of the tree care operation. Determine if the worksite location has cellular telephone coverage and verify that every worker knows the address of the worksite in case they need to summon emergency services to the site. Establish a retreat path for ground workers so they can escape from falling trees. natarajan.joann@dol.gov 512-374-0271 x232

Easy and efficient

Easy Pools team with owner, Rick Beaubouef (far left)

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pool company that does it all is Easy Pools. The most requested service is periodical maintenance.

Services are applied to residential and commercial throughout Austin, TX.

Rick Beaubouef grew up in the pool industry learning from his father who owned his own pool company. Beaubouef was born in Orange County, CA and moved to Austin to be closer to his dad.

Beaubouef started his own company at age 21 and sold it at age 25. He worked for a large market swimming pool company for four years before starting Easy Pools in 2007. The company consists of a team of 13 with highly trained technicians and management.

Services include repair and maintenance. Anyone with a pool can agree that a pool is not meant to be left unattended. Pool water requires cleaning periodically to be safe and healthy. People that are too busy or do not have the right materials, will hire Easy Pools to do the dirty work for them with a variety of maintenance plans.

Some options for a well-rounded functioning pool includes energy efficient solutions and computerized features. Energy efficiency is done by installing energy efficient heat pumps, solar heaters, filters and plumbing. For computerized features there are robotic cleaners and automatic pool covers.

The exciting part is adding accessories for a pool paradise. The company is able build tables and seating within the water. Waterfalls and water arches are highly desired. Other options include tanning ledges, mosaics, grottos, fire pits and much more.

Many commercial projects are done for apartment complexes and Austin communities. Clients come from all over the greater Austin area. Beaubouef’s pool business is not just about swimming in a pool, it is about togetherness, “It is more than just swimming, it is about bringing the families and communities together.”

Easy Pools is a maintenance, repair and renovation pool service in Austin, TX. -tnp.

Austin Construction News • JUN 2019

Page 9

and the surrounding areas offer some of the best offshore fishing in the Gulf. Billfish, tarpon, snapper and tuna are just a few of the many species you can catch not far off the coast. Depending on weather and sea conditions you can access these waters in your bay boat if an offshore boat is not in your budget. I’ve been 40 plus miles offshore in my bay rig on a nice summer day. Possibilities are endless fishing in Texas!

My summer months are filling fast so don’t hesitate in booking your fishing trips. Here are some open dates available in July: (4,8,12,22,28,29) To schedule your next bay fishing trip or hunting trip give Capt. Steve Schultz a call at 361-813-3716 or e-mail him at SteveSchultzOutdoors@ gmail.com. Good luck and Good Fishing.

Texas best fishing

by Capt. Steve Schultz Sponsored by: Waypoint Marine, Shoalwater Boats, Evinrude Outboards, Fishing Tackle Unlimited, Shimano Reels, E-Z Bel Construction, Costa Sunglasses, Simms Fishing, ForEverlast Fishing Products, PowerPro, Interstate Batteries, MirrOlure, JL Marines Power-Pole, AFW and AFTCO Clothing

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y the time all of you are reading this article, we will be in our summer patterns. It’s been a slower than usual start this season with some rocky weather and stubborn cool fronts that seemed to keep coming in later than I can remember. These conditions have really made patterning fish pretty difficult and kept most guides puzzled catching fish one day and not the next. I’m looking forward to some warmer and more consistent weather for the next few months.

I’m sure by August I’ll change my tune and be wishing for cooler days.

Summertime offers a variety of fishing possibilities around the coastal bend.

For the most part and perhaps the most common is the inshore or bay fishing in our local bays and estuaries. The entire coast from the Rio Grande river to the Louisiana state line is protected by a barrier island which protects our bay from the Gulf of Mexico. We have one of the best fisheries in the world in our backyard loaded with plenty of opportunities to catch a wide diversity of fish. Most common are speckled trout, redfish,

Nicole Plata holds her flounder she caught with Steve Schultz Outdoors. Flounder have been showing up lately! Nicole was fishing on a team building outing with Crazy Horse Construction

Jess Gates had no problem catching her limit of speckled trout last week with Steve Schultz Outdoors.

flounder and black drum. These fish can be caught year-round in our bays using live or natural bait or artificial lures. Hiring a guide is probably the most logical means of catching fish if you are new to the area or don’t on a boat. Even if you are a boat owner, using a guide will help you navigate a specific area you are not familiar with, and you will learn techniques to help you when on your own.

Many anglers use kayaks or wade off of shorelines accessible by vehicle. There

are also guides that use kayaks if that’s your preference. Another area and one that is almost exclusively just allowed in Texas is surf fishing. Texas, to my knowledge, is one of the only states left that allows driving on the beach. There are hundreds of miles of pristine beaches that offer fishing for the same species mentioned above and a wide variety of larger class fish.

If blue water is your preference, you’re in the right area also. Port Aransas

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Austin Construction News • JUN 2019

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

Mmmm, Catfish!

By Max Milam have started to see a trend over the last decade. More and more of my clients do not want to eat the catfish they catch while targeting stripers. This is just mind blowing to me because, as I was growing up in Texas, catfish was a staple food for family get-togethers, fundraisers, and especially catfish Friday, but now more people are looking down upon catfish and seeing it as a second-class fillet.

Catfish is a very versatile fish in the kitchen. Most people think that it can only be fried, but it is excellent smoked, grilled, baked, blackened, and even made as ceviche. The trick to making it top of the line table fare is how it is cleaned. Just like striper and redfish, if you do not trim the bloodline, you’re not getting the best-tasting fillet. The bloodline is not as bright as in the above mentioned fish, nor is it as strongly flavored, but take it out and you will be amazed just how tasty catfish can be.

What many people do not realize is that most catfish are not bottom feeders.

Blue catfish and especially flathead cat-

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fish are predatory catfish and will mostly eat others fish. Even when they are younger, they have similar diets to crappie and bluegill, and we know how tasty those are. Channel catfish are one of the more prevalent and easy to catch types of catfish in our state, and they are an omnivorous fish that feeds on mussels, crustaceans, plants, and other fish.

Now that we settled some of the misconceptions about catfish, let’s talk about why they are worth catching. Catfish are one of the most reliable types of fish to target. This is because catfish are eating machines with a sense of smell that could put a bloodhound to shame.

The “whiskers” they are known for are called barbels, and they are covered in taste buds and special olfactory sensors that allow them to find food in dark and muddy waters. This means they can easily be chummed into the area that you want to fish with fresh-cut chum, soured grains, or even range cubes. Then follow up with a bait that can easily be found.

My preference is fresh-cut gizzard shad or a good punch bait because they release a lot of scent into the water to entice the bite.

The bottom line is that catfish are

healthy, delicious fish that can be caught in almost any waterbody in the state.

They have gotten a bad reputation because of the variety of foul-smelling baits made to catch fishermen and not necessarily fish. Yes, they look different than their scaly counterparts, but they are

some of the best table fare in our waters and can easily be caught by the coolerfull with a good guide or just a little leg work to chum out a honey hole. So go ahead and give catfishing a try this weekend, and maybe even take a kid fishing with you.

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!

Austin Construction News • JUN 2019

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Page 11

Time to fish

ince 2004, Allied Electric Services Inc. has been fulfilling construction electrical needs in Austin and its surrounding communities. The weekend of May 3-5, the company traveled down to Port Aransas, TX for Allied’s 14th Annual Leadership Appreciation Trip.

Scott Foster proudly accepting his two awards for “That Guy” and “Most Overserved.”

Approximately 30 foreman, service techs and management personnel were in attendance. Eight teams were formed this year to compete in a friendly fishing tournament to see which team would catch the most fish. Overall the weekend proved to be fun and entertaining. -cmw

Gonzalo Perez accepting his “Most Hungover” award.

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Roofing for fish

he Roofing Contractors Association of Texas (RCAT) held their 16th Annual Fishing Tournament May 2-4. The highly successful tournament was held a Woody’s Sports Center in Port Aransas. -cmw May 2 Winners: 2nd Place Heavy Stringer: Strata – Strata Roofing & Construction, 37.30lbs.

3rd Place Heavy Stringer: GAF, 36.77lbs.

1st Place Heavy Trout: Jeremy Jackson, 5.65lbs.

2nd Place Heavy Trout: Gary Brock, 4.92lbs.

3rd Place Heavy Trout: Hugo Dammann, 4.87lbs.

1st Place Heavy Redfish: Dan Marshall, 7.92lbs.

2nd Place Heavy Redfish: Kevin Wilson, 7.78lbs.

3rd Place Heavy Redfish: Colton Rise, 7.42lbs.

Spot Pot: 9 Spots (Tie) Francisco Esparza and Corey Winters May 3 Winners: 2nd Place Heavy Stringer: Outcast – TriLam Roofing & Waterproofing, 35.90lbs.

3rd Place Heavy Stringer: ABC Corpus, 35.05lbs.

1st Place Heavy Trout: Scott Brown, 4.78lbs.

James Whiteaker and his 34” Red Drum wins “Largest Red Drum” caught in the tournament

2nd Place Heavy Trout: Scott Brown, 4.03lbs.

3rd Place Heavy Trout: Tony Urquidi, 2.65lbs.

1st Place Heavy Redfish: Paul Shantz, 8.49lbs.

2nd Place Heavy Redfish: Daniel Steinbrenner, 8.36lbs.

3rd Place Heavy Redfish: Nathan Blackwelder, 8.24lbs.

Spot Pot: 16 Spots, Tommy Smith May 4 Winners: 2nd Place Heavy Stringer: Classic 2 – Classic Construction & Restoration, 33.07lbs.

3rd Place Heavy Stringer: Master Baitmen – ABC Supply, 32.06lbs.

1st Place Heavy Trout: Stiles Parker, 5.35lbs.

2nd Place Heavy Trout: Billy Smith, 4.46lbs.

3rd Place Heavy Trout: David Vazquez, 4.39lbs.

1st Place Heavy Trout: Bruce Crawford, 7.11lbs.

2nd Place Heavy Redfish: Brad Harvey, 6.96lbs.

3rd Place Heavy Redfish: Steve Painter, 6.95lbs.

Spot Pot: 9 Spots, Kendra Wisnoskie

Rise n’ shine. Time to fish!

May 2 : Skylight Guys – Innovative Skylights & Attics, 37.47lbs.

Group picture of the Allied team with their fish (red drum, black drum and trout) totaling 194lbs.

May 3 1st Place Heavy Stringer: ABC N. Austin – ABC Supply, 41.65lbs.

May 4 1st Place Heavy Stringer: ARL – A.R.L. Roofing & Restoration, 34.10lbs.

Page 12

Austin Construction News • JUN 2019

Passing it on

Construction News ON LOCATION

Friendly sales

Smiling Mathew Campbell, counter sales for JOSCO Plumbing Supply gave Construction News a moment of his time while taking care of business. -cmw

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Fernando Muñoz of Muñoz Ironwork

ernando Muñoz says that job selection in Mexico isn’t as free as it is here in the States. His welder father got him involved with welding when Muñoz was nine, and that was pretty much it in terms of his career.

Now, Muñoz has his wife Yanira and young son and daughter helping him with Muñoz Ironwork. Muñoz came to America in 1990, started his own business in 2005, but it really took off in 2010.

During his late teens and early twenties, Muñoz did a lot of furniture, such as nightstands, bed head and footboards, coffee tables, etc. Now, Muñoz works with his clients to design whatever they have in mind, including a fancy cat play area for a lady, which cost a cool $10,000.

(She has some very expensive cats, too.

Nothing’s too good for her babies.)

“We do everything from scratch,” Muñoz said. This includes all the installations for the stairs, railings and fences he makes that are imbedded in rock, stone and wood.

Muñoz Ironwork does mostly residential, but also does commercial projects like apartment complexes.

Muñoz makes as much as he can in his shop, which is good because he has gone to New Orleans, Houston and all over Texas.

When he gets with a new client, the task is to see if he/she has a look in mind or if the project will be totally original.

What Muñoz enjoys is the unique. “I like challenges,” he said. “If it’s in metal, I’m pretty sure I can do it.”

An interesting trend that is in vogue is a customer getting new, “contemporary” railings that have horizontal lines instead of old-fashioned vertical rails.

Yanira not only helps in the office but in the shop as well with some of the painting of the projects.

“I like my job,” Muñoz said. He wants to pass on his skills to his youngest son.

The Muñoz family has made it a good career for two generations already. Perhaps there will be a three-peat.

Muñoz Ironwork in in Kyle. -dsz

Custom cabinet dreamin’

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Bill Johnson, of Johnson Cabinets & Woodworking

rowing up in Hawthorne, CA – best known as “The Home of the Beach Boys,” – Bill Johnson could have made a career crooning about California girls. Instead, he became a firefighter/paramedic in Culver City and, with spare time between emergencies, he developed his woodworking hobby.

“I love making things,” he says.

“Everybody is wired a little different; that’s what is great about people. I love building things with my hands; that’s what got me interested in it.”

When his wife wanted to move back to her hometown of Austin, Johnson changed his job as well as his address.

“We said we were going to start a cabinet shop,” Johnson says. “She had a lot of business background and I’m a skilled guy, so we were a great combination, and still are. We started 30 years ago in a small 250sf metal building with some basic hand tools.”

Today, Johnson Cabinets & Woodworking Inc. is on its third shop, a 16,000sf facility outfitted with computerized machines that allow the couple’s

24 employees to build custom, high-end, residential cabinetry.

“We’re a little different than most shops. We build all of our cabinet doors here as opposed to outsourcing them.

We have a full and complete door manufacturing facility, along with cabinets. We have the skillset to do all major cabinet construction types. We have a wide spectrum of cabinet design and manufacturing capabilities,” he says.

Johnson enjoys his work, and so does his team.

“I’ve been doing woodworking professionally now for 30 years, probably almost 40 years since I first took a hobby,” he says. “The employees get a lot of joy out of woodworking; at the end of the day, they can step back and look at what they built. They can share it with their families at home. Most employees do personal projects, so they have a little piece of what they do at their homes. It’s one of those few jobs where the things that are created last.”

Johnson Cabinets & Woodworking Inc. is in Austin. – mjm

Austin Construction News • JUN 2019

Page 13

THIS MONTH 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

People make for success Brent Bertrand, Senior Vice President Dynamic Systems Inc. Austin, TX

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ynamic Systems, Inc. (DSI) is a world-class leader in the fabrication and installation of sophisticated process and high purity piping systems, process exhaust, HVAC piping and sheet metal, and plumbing systems. Their projects include the higher education, healthcare, hospitality, commercial laboratory, life sciences, microelectronics, and mission critical construction markets. DSI has branch locations across Texas and in various other areas of the country, employing approximately 1750.

How would you describe the state of the construction industry in general terms?

The market is extremely strong in the Austin, Dallas, Fort Worth and San Antonio metro areas in both private and public sectors.

Have you experienced an increase/ slowdown? What factors are driving this increase/slowdown?

We have seen increases in the abovementioned markets with slowdowns in the Houston and Bryan College Station areas.

The Texas economy and friendly state laws and taxes are driving the increases as they have for years. The slowdown in Houston revolves around the oil industry and the lack of capital investment into that market. Too, the regions of the state go through business cycles and Houston and the surrounding counties are coming off an extremely strong period of construction. As we and other contractors have worked through our backlog of work in Houston, we and the industry are preparing for an increase in

construction demand over the next twelve months.

What are the “hot button” issues in your industry?

Getting paid in a timely fashion is paramount. From our perspective, we have seen 60-day pay be deemed acceptable, and it is absolutely NOT. Self-performing Specialty Contractors (SC) have very large payrolls that must be paid “every week”.

The withholding of retention is another critical cash flow item for self-performing contractors. If an SC has a consistently good reputation in the industry, they should not have a retention higher than 5%. And a significant portion of the retention should be released for payment at 75% complete, if the SC is performing appropriately. We have experienced many jobs where the balance of retentions is not paid/stalled until the first-year warranty period has expired. Another “hot button” if securing enough “qualified” skilled craftsman. It is been a struggle in the hotter markets for the last few years.

What are the major changes in the in-

Meeting customer’s needs Heather Kelly, President Dominion Air & Heat LLC Houston, TX

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a Texas Real Estate License.

or over 15 years, Kelly has been a management professional and is a majority owner of Dominion Air & Heat LLC. She is actively involved in the Woman Contractors Association (WCA), National Association of Women Business Owners (NAWBO) and the National Association of Minority Contractors (NAMC). She also holds

How would you describe the state of the construction industry in general terms?

Overall, the state of the construction industry in Houston is great. There was more new construction in 2018 than we have seen in past years.

Have you experienced an increase/ slowdown?

Although we had seen an increase in new construction, in 2019 we experienced a slowdown for the first few months. Our project log is beginning to increase which will make this a good year.

What factors are driving this slowdown?

One factor for the slowdown is the rain that Houston has experienced this year which has slowed or stopped projects in some cases by months.

How has this slowdown affected your

company and how you conduct business?

We have utilized the slowdown to increase our customer relation efforts and marketing campaigns.

What are the “hot button” issues in your industry?

The main hot button issue in our industry is primarily the issue of non-payment or delayed payment by general contractors.

What is the most significant challenge your industry faces?

The most significant challenge our industry faces Is the shortage of skilled labor. We are seeing more trade schools now. However, our experience has been that the younger generation wants an office job where they can soak up the A/C instead of installing it. In my opinion, our country is in trouble due to the lack of interest in blue-collar work.

HVAC & PLUMBING Sept: Green Building Nov: Architecture & Engineering Oct: Specialty Contractors Dec: Construction Equipment

dustry in recent years relating to the type of work you do?

The rapid advances in technology, tools, equipment and most everything related to the construction industry. It can overtake your company if a proper vetting of the advancement is not performed. And we have been cautious once we start a new initiative to NOT change to the next new shiny software or tool to hit the market. Continuous change can be frustrating on your personnel. We have stepped back at times to say to ourselves, “Let’s remember we are builders, so let’s go build things and not analyze them to the minute detail”.

What is the most significant challenge your industry faces? How are you dealing with these challenges?

Securing enough “qualified” skilled craftsman. There has definitely been a shortage of those that are “truly skilled.”

We are using non-traditional methods of recruiting for the construction industry. An example would be social media and the targets range from experienced skilled workers to new apprentices with perceived abilities.

What are the cost increases relating to your industry?

Material costs have increased somewhat controllably, but the tariff situation could change that. Labor costs have increased because of the need to draw qualified labor to the more demanding and sophisticated projects.

Have there been any significant code changes in the past year? Or regulations?

The industry is working with the Texas Legislature at present on the future of the State Board of Plumbing Examiners.

How are you dealing with these challenges?

Our company struggles with this. In recent years, we have hired a few young men right out of high school and trained them on the job. This has been challenging and rewarding at the same time. The added benefit is that we have been able to teach them from the beginning to have integrity and do quality work. These two attributes are what I contribute our 30 years of success. Dominion is known and recommended for our honesty, integrity and quality workmanship.

Do you see an increase in the number of outside contractors coming to the area?

Yes, I see can the increase in outside contractors coming to our area. Especially right after Hurricane Harvey when Houston had such devastation from the flood waters.

What are the cost increases relating to your industry?

The cost increases in our industry have been freon, piping, steel and sheet metal.

What is on the horizon for your industry?

The most obvious change is the rise in the use of VRF systems which entails higher construction cost and the use of significant amounts of refrigerant that is a concern to some.

www.constructionnews.net publishing the industry’s news

The Board regulates the application of codes and the licensing of plumbers.

There is a move to dissolve the Board and merge the responsibilities into the Texas Department of Licensing and Regulation.

We are concerned about this, for the impact that the move could have on the Board’s mission to protect the public water supply. Too, the plumbing industry in Texas today accepts the use of either the International Plumbing Code or the Uniform Plumbing Code. Our industry universally embraces the Uniform Plumbing Code as the preferred Code. There is a piece of legislation that we are opposed to that would prohibit the use of the Uniform Plumbing Code in Texas.

What are the rewards of the industry?

Being able to actually see the fruits of your labor. It is rewarding to drive by significant projects like a large Children’s Hospital knowing that is a project you were a part of that is saving lives or making them better. Another example would be a higher education laboratory that we have built where scientists are finding cures for cancers and diseases. An additional reward is having a very successful safety program.

We truly want ALL of our employees to go home at the end of the day in the same physical condition as they arrived at work that morning. It is a culture of safety, not just a bunch of rules that must be followed.

What are keys to being successful?

One word - “PEOPLE”. It is a must to have talented personnel in EVERY part of your business – and not just the guys hanging ductwork or installing medical gas piping. Draftsmen, shop fab teams, estimating and pre-construction, accounting, safety, quality control, etc. etc.

All of these departments must have talented and dedicated PEOPLE. -cmw How has the R-22 refrigerant phase out affected the industry?

The R-22 refrigerant phase out has caused the Freon 22 to skyrocket in cost. To change freon now, you must retrofit the system in order to revert to 410A which is now the new refrigerant typically utilized.

Is copper theft still an issue? How has the theft of copper affected pricing?

Copper theft is an ongoing problem.

The price of copper has been steadily increasing.

Have there been any significant code changes in the past year? Or regulations?

Yes, energy regulations to improve the efficiency of HVAC equipment.

What are the rewards of the industry?

Personally, the most rewarding part is meeting our customers’ needs and exceeding their expectations. In this industry, customer service is key; everyone needs air-conditioning and heat.

What are keys to being successful?

Always maintaining good key people in the workforce. It is important to educate and train a good workforce to provide excellent customer service. Also, communication and relationships with your clients and customers is very important to success.

Dominion Air & Heat LLC is a full-service HVAC/mechanical contractor in Houston, TX. -cmw

Texas Style

★ ★ ★ ★

San Antonio Austin Dallas/Fort Worth Houston

Page 14

Austin Construction News • JUN 2019

THIS TH MON

HVAC & PLUMBING

To represent your company in an upcoming FOCUS, contact AustinEditor@ConstructionNews.net (210) 308-5800

NEXT MONTH (JULY 2019) ELECTRICAL INDUSTRY

Longest economic expansion Shawn Murray, President Murray Plumbing San Antonio, TX

M

urray Plumbing was established in 2005. Murray’s family service in the plumbing industry spans over 100 years. Understanding the requirements of the trade and their customers are sewn into the fabric of who they are.

“My late grandfather James M. Murray and father James R. Murray worked their whole life in this industry. Their persistence and strong work ethic grew this company and provided a sustainable foundation to build on.”

Murray moved up in the business/ industry and recently took over the company in 2017 while acquiring his BBA. With the dedication and hard work of Murray and the employees of Murray Plumbing, they now do about 1,000 homes a year.

How would you describe the state of the construction industry in general terms?

San Antonio’s construction industry is flourishing in both commercial and residential. Murray Plumbing specializes in new residential track and custom homes.

Have you experienced an increase/ slowdown?

The company has experienced strong/ healthy growth over the past year. This is credited to growth with existing builders and acquiring additional customers.

What factors are driving this increase/ slowdown?

According to census data, Texas is experiencing a population boom. San Antonio is also one of the fastest growing cities in the country. San Antonio’s home market is still affordable in comparison to other large cities in Texas. I believe this contributes to high demand for entry level homes.

Residential land development is strong and busy. The residential industry as a whole is working hard to keep up with the demand.

Commercial Observation: You can see an increased number of construction

cranes in downtown just in the last few months. It seems like a new building is popping up every few weeks.

How has this increase/slowdown affected your company and how you conduct business?

The increase has pushed us to become more efficient and produce the desired output. My team works diligently day in and day out to provide the best service possible to all our builders. We are always striving to improve in all areas of the business. We do this by creating new procedures, utilizing technology and investing more in our labor. Through continuous improvement, we are able to effectively accommodate our builders’ needs.

What are the “hot button” issues in your industry?

I believe the hot button issues right now are labor and quality control. The combination of this being the longest expansion period our economy has seen and the large age gap between apprentices and licensed plumbers. It is imperative to continuously stay on top of the workforce and keeping quality standards high. We strive to control growth off quality. You cannot cut corners just to satisfy high demand. Reputation is everything.

Do you see an increase in the number of outside contractors coming to the area?

www.constructionnews.net publishing the industry’s news

also trending towards apartment living over home ownership lately.

Garrett Hart, President/Master Plumber Hart Plumbing Southwest Inc.

How has this increase/slowdown affected your company and how you conduct business?

We have increased our office staff and field staff, almost by double over the past few years. It’s very difficult finding good skilled plumbers that are capable of building 400 units of apartments in a year’s time.

H

art spent his summers working in the field of his family’s company. He earned his bachelor’s and then his master’s degree, to take a leading role in the company.

Armed with a tremendous degree of education and his experience in plumbing, Garrett has been leading the company for over 10 years.

How would you describe the state of the construction industry in general terms?

I can’t speak for the entire construction industry but multi-family is booming right now, in major metroplexes like Houston, especially.

Have you experienced an increase/slowdown?

There has been a large increase in multi-family construction.

What factors are driving this increase/ slowdown?

I believe the increase is due to more jobs that have become available in Houston, creating more demand for apartments and new living spaces. More people are

What are the cost increases relating to your industry?

Tariffs are affecting the cost of raw material. I have experienced multiple increases over the past year. Labor shortages are also driving cost up.

What is on the horizon for your industry? (Changes in technology; equipment; other)

Technology’s role in every industry is growing at an exponential rate. I’m excited to see how it can continue to be beneficial as the years go on. It is very important to stay up to date.

What are the rewards of the industry?

Being able to form meaningful relationships with people with common views and working together to provide a quality product to the public is one of the most rewarding aspects of this industry.

What are keys to being successful?

Be honest! Consistently deliver a quality product and take pride in your craft. Say what you are going to do, follow through and deliver. Most of all, treat people how you would like to be treated.

Murray Plumbing is a plumbing subcontractor in San Antonio, TX. -cmw

Texas Style

The way to no college debt Sugarland, TX

Yes, I do see more out of town builders coming to the San Antonio market.

What are the major changes in the industry in recent years relating to the type of work you do?

There is so much work going on that general contractors are just throwing bodies at the jobs to man them and a lot of the time they don’t know what they are doing.

Very inexperienced superintendents and project managers create headaches for all the subs working for them and so on down the chain.

What is the most significant challenge your industry faces? (i.e. labor shortage, other) The biggest challenge would be the lack of skilled trade workers. There aren’t as many people going into trades as there are going into colleges and it shows. Spending four years to become a journeyman plumber while getting paid and accumulating no college debt can get you a huge head start on a career.

How are you dealing with these challenges?

We are dealing with the labor shortage challenge by offering as many incentives as we can – bonus packages, 401ks, health/ dental/vision insurance, gym memberships, company parties and trips.

Do you see an increase in the number of outside contractors coming to the area?

Absolutely. We just bid a job for a general contractor from Fargo, North Dakota.

★ ★ ★ ★

San Antonio Austin Dallas/Fort Worth Houston

What are the cost increases relating to your industry?

Skilled workers are demanding more money – and rightfully so – if they are good at their jobs. Uncertainty with the issues in China and tariffs doesn’t help either because a lot of our fixtures come from there.

What is on the horizon for your industry?

Getting all foreman equipped with smart phones and tablets is a must these days. We’ve also recently upgraded our office phones to Avaya IP and our estimating software as well.

Have there been any significant code changes in the past year? Or regulations?

New energy codes popping up have affected our costs quite a bit. Lower flow fixtures, increased insulation requirements, and changes in more efficient water heaters have all effected the bottom line.

What are the rewards of the industry?

As stressful as it can be, it’s a unique industry and fun to be in most of the time. Fishing/hunting trips from vendors and for customers are quite common. We participate in charity events like the calf scramble at the Houston Rodeo and quite a few charitable golf events like the one we do for Norah’s home which is a place for people waiting for organ transplants in the medical center.

What are keys to being successful?

Hard work and constant communication with both customers and employees. I think what tops the list is having a good relationship with your team and vendors, though. If you can take care of them then the customers will reap the rewards.

Hart Plumbing is a multi-family plumbing construction company that has been laying foundations for apartments for more than 62 years. -cmw

Austin Construction News • JUN 2019

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Page 15

They yelled, “Encore!”

he definition of “encore”: “A repeated or additional performance of an item, as called for by an audience.”

In a sense, Encore Mechanical is a repeat performance, as its leadership has gone from founder Donny Reeves to his son, Dale.

Donny founded Encore in 2002 while Dale was still a student at the University of Texas, Austin, as a history and government double major. Since Dale had been around HVAC all his life, he wasn’t looking to make it his career post-college.

When Dale graduated, Donny offered him part of the business, and he accepted.

Mechanical founder and GM (Donny Reeves), owner “The challenge of L-R: Encore and CEO (Dale Reeves), and CFO (Tammi Danielson) building and running a business appealed to me,” Dale said.

Colorado, Oklahoma, New Mexico, Ar On paper, Dale is the 100 percent kansas and Louisiana, especially post-Kaowner, but it’s really a joint effort. “We’re trina. With a good amount of FEMA monvery close,” Dale said. “He’s my hero.” ey being poured into Louisiana after KaDonny and Dale run the business togeth- trina, Encore got a lot of work. er. Donny is 71 now and has no plans on The demand in Texas is very high as stopping. “He enjoys is as much as any- well. The average multi-family project is body,” Dale said. “He is out in the field about 250 rooms. way more than I am.” Dale said that Don- Encore uses a wide variety of manuny is the big picture guy, while he takes facturers for their AC equipment. “It’s care of the details. very important that we install quality

Complimenting the father-son team equipment and material,” Dale said. Deis Dale’s sister Tammi, who is Encore’s velopers want the good stuff that’s enerCFO. Dale says Tammi “is a big part of our gy efficient and sturdy. success here at Encore.”

From the original 10 employees

In Encore’s earlier days, Donny did a working out of Donny’s house to the lot of commercial work but transitioned around 300 now, Encore stays busy. to multi-family styled projects in the mid “We’ve built something that we’re proud 1990s. “90 percent of what we do now is of,” Dale said. Further, working with Dad multi-family, student housing, senior liv- has been “very rewarding.” ing [projects],” Dale said.

And the crowd went wild, asking for Because of this “specialty,” develop- more. ers will ask for Encore when they do proj- Encore Mechanical is an Austin-based ects out of state. Encore has done work in HVAC contractor. -dsz

T

Golfing remodeled

he National Association of the Remodeling Industry (NARI) 0picked up their clubs, put on their sunscreen and hit the greens at the Balcones Country Club on May 6 for their 2019 Golf Tournament. Members and guests enjoyed a beautiful day and the camaraderie of one another. -cmw

1st Place: Expression Home Gallery

Timberton Austin

W hat’s Trending in Decorative Concrete New Trend in Flooring Metallic Epoxy Coatings

M

etallic Coatings may look exotic, but they are installed similarly to a typical epoxy coating or overlay system.

Their eye-catching appeal comes from the chemical makeup of 100% solids epoxy and metallic pigments. The application method can be quite different depending on the artistic nature of the contractor applying the coating. The marbleized look that a metallic coating achieves is a complement to any residential room or commercial building.

What is a metallic epoxy coating?

Metallic Epoxy Coatings are 100% solids, two-component epoxy specially formulated with a metallic pigment. A typical coating will consist of a primer coat, metallic 100% solids basecoat with pigment that can be applied in a vast array of methods, and a clear coat that is either glossy or satin. The finished look is a smooth glass-like metallic finish that has a unique and subtle sparkle. No two floors will ever look the same. The threedimensional appearance provides illusions of craters, ripples and swirling rivers of metallic-looking lava. Depending on the level of artistic creativity and capability of your contractor, metallic floors can have glitter added to them or even glowin-the-dark pigment for that extra flare.

The benefits?

What are the benefits of having this metallic coating applied to your floor?

They have lasting strength from several layers of epoxy coatings and typically a urethane topcoat. They have beautiful color movement that is almost impossible to duplicate. If a high-gloss topcoat is chosen, the floors are highly reflective and will enhance the lighting of your home or business. Some clients want the subtle beauty and select a simple mattefinish. These floors are typically seamless and offer effortless maintenance for easy cleaning.

How are these coatings applied?

First, begin by preparing your surface substrate for application of a primer coat: As when applying any coating, you should make sure the concrete is clean, dry, and free of grease, paint, oil, dust, curing agents, or any foreign material that will prevent proper adhesion. To aid in bonding, the concrete should also be roughened, or profiled, until it feels like 50- to 80-grit sandpaper, using methods such as grinding, shot blasting, scarifying, or water blasting. Also make sure that concrete is level, since any high or low spots will distort the final look.

Step 1: Select your vapor barrier base coat color. A primer base should always be used not only to improve coating adhesion but also to provide a solid background color for the iridescent metallic pigments.

Step 2: Select one or more of the metallic color options to be mixed with a 100% solid epoxy coating system. Most metallic coatings are two-part 100%-solids epoxies, and simply require mixing Part A, Part B, and the metallic pigment.

Often the pigments are sold separately so you can experiment with different color effects. Because epoxy coatings are flowable and somewhat self-leveling, you can spread them on the floor surface easily with a trowel, roller, or squeegee in a random back and forth motion. Every contractor will develop his or her own unique application method.

Step 3: Select your topcoat (sealer) 2 options; polyurethane or polyaspartic topcoat, for a one-of-a-kind, long lasting

solution. Then once you pick out what top coat you want to apply to the floor roll out each section and after each section make sure you back roll it so it won’t contain any roller lines.

What’s it perfect for?

Metallic coatings are generally not recommended for outdoor surfaces because they may discolor when exposed to direct sunlight. However, these types of coatings are certainly used inside residential and commercial buildings that want to achieve a high-end unique contemporary floor. Since metallic coatings have a dazzling glossy look finish or subtle matte finish these coatings are often used as focal points in high-end retail stores, lobby areas, hair salons, hotels, restaurants, nightclubs, and offices.

Submitted by Brian Bradford, Owner Tanner Felsing, Lead Artisan Metallic Epoxy Coatings Artistic Impressions 591 Meridan Drive New Braunfels, Tx 78132 830-609-7217 nbconcrete.com

Page 16

Austin Construction News • JUN 2019

JOB SIGHTS

continued from Page 1 — Torres Plumbing

T.A.S. Commercial Concrete’s L-R: Juan Cruz, Benito Gutierrez and Jesus Torres install sidewalks at a Class A Industrial Cross-Dock in Buda, TX. -cmw

doing a lot of work on the side, during weekends. He found that he was making as much if not more money from these side jobs. The handwriting was on the wall at this point.

Once again, Torres was grateful for his employer but told them it was time to move on. With Christianson’s blessing and support, Torres started Torres Plumbing in 2004.

“Since then,” he said, “it’s been nonstop.” Torres says that his work is pretty much 50-50 for commercial to residential, everything from hotels to remodels to custom homes from the ground up.

One thing Torres does not like to do is get involved with any of Austin’s older or historic homes and structures. “You never know what you’re going to find,” he said.

The Mexico native said, “I always wanted to have my own company.” When Torres Plumbing first started, it was as a DBA. Now, it’s an LLC. In the early days, Torres said, “I did everything” that is involved with running a business. Now, he has someone who does all his paperwork.

And, Torres doesn’t do the hands-on plumbing work now, except on occasion.

He uses his subcontractors for this. “I’d rather have them do all the work,” he said. “My

goal is to find jobs so I can keep my plumbers busy.” Torres does all the bidding and overseeing of work. He really doesn’t miss being the plumber in the trenches. His time is better spent running the show, and Torres said he’s getting a little older now.

Still, in order to maintain his master’s credentials, Torres must take continuing education classes every year, then file his new certification with the big boys in Austin.

Another license Torres Plumbing has is the ability to dig past one’s property line into the street if that is necessary.

Torres’ son Miguel, Jr., will someday inherit Torres Plumbing. “Eventually, when I retire, I’m going to pass it on to my son,” he said.

In reflecting on his journey, Torres has been blessed to have not only worked for several good companies, but he’s also had their support when it was time for him to advance in his trade. They didn’t hold him back or throw water on his dream that was to eventually own his own plumbing company.

It’s a good thing they never told him to start his own electrical business instead because that wouldn’t have been good for anyone.

Torres Plumbing does commercial and residential plumbing in the Austin area. -dsz

continued from Page 1 — Blue Diamond Remodeling

Fernando Ledezma, an independent stucco master, takes time for Construction News from applying stucco at the Burger King renovation project in Buda, TX. -cmw

What is your Favorite Snack?

Chips and salsa.

is acceptable morning, noon or night.

Michael Tollette, Virtual Builders Exchange

Caprese rice cake with balsamic vinegar.

It’s healthy and delicious!

Julie Kravchenko, Divine 5 Flooring

Beef jerky, the jalapeño flavor. I travel a lot and I have it in my truck when I’m driving.

Joey Sanchez, Staff Zone

Bill Johnson, Johnson Cabinets & Woodworking

I’m a sucker for Jalapeño kettle cooked chips. That’s got to be my favorite.

Austin Evers, Woodwork at 17th I enjoy flaming hot Cheetos way too much.

Maxwell Rucker, Blue Diamond Remodeling Cherries and chocolate.

Fernando Muñoz, Muñoz Ironwork Nachos are a quick snack that covers almost every item in the old food pyramid (starch, milk product and vegetable).

They combine crunchiness and spiciness that is quite satisfying, at least for me, and

Beef Jerky.

Rick Beaubouef,

Easy Pools

The company has many years of experience reconstructing every room into one’s ideal space, even turning an old basement into the favorite room.

Custom cabinetry is a much-loved project for Maxwell. It allows him to source different types of stones and be creative.

With cabinetry, the company creates custom pieces like wine racks and kitchen island extensions. The company creates individualistic designs with granite/quartz fabrication. Some design themes include rustic, elegance and Texan.

As a licensed electrical contractor with a master electrician license, Blue Diamond Remodeling provides electrical services to both residential and commercial. When it comes to extensive remodeling, there is no way around ignoring the wires. This new launch allows the business to better serve customers.

Examples of electrical services include a variety of lighting and fanning systems.

Soon, new divisions will run assigned duties within the company. The plan is to expand in all phases of construction.

With so many services – along with the launch of electrical services – it is a must for the business to continue to systematize an orderly workflow.

Blue Diamond Remodeling serves all of the Austin, TX area, heading as far down to Buda up to Georgetown and ev-

erything in between. Maxwell has lived in different parts of Austin, so he knows the community well.

The Blue Diamond team’s hard work continues to be recognized. Austin Statesman and Austin 360 gave the company top honors in their “Best Home Contractor/Repair/Remodeling” category as part of the 2018 “Best of the Best” awards. The team celebrates together by going to Top Golf and usually plans two events yearly.

What intrigues Maxwell about the job is the uniqueness in each day and each project.

“Each day is a new challenge and completely different than the past. I look forward to all future challenges and projects.”

A challenge that Maxwell has grasped with experience is updating and revising every project each day or week. This is mandatory to make sure each project has the correct information from every single detail for a smooth and efficient service for both workers and customers.

Maxwell has always been talented in computer systems. He grew up building gaming computers and desktops. He built his first computer at 13 years old. At every work place, there is a computer, so Maxwell’s niche still comes in handy for computer malfunctions or utilizing programs.

Blue Diamond Remodeling in Austin, TX is a full-service remodeling contractor. –tnp

continued from Page 1 — Cadence McShane Construction Company

Mini tacos from Stripes gas station and Gardettos.

Aaron Finklea, Accent Glass Resurfacing LLC Smoothies and cut up fruit, especially kiwis.

TJ Thompson, Cascade Custom Pools Tacos.

Miguel Torres, Torres Plumbing

Breakfast Bar/Lounge

product types, this project is unique in featuring Executive Residency and Best Western Plus rooms.

Senior Project Manager Bob Zellner, Assistant Project Manager Ben Pritchard, Superintendent Eric Nagy oversaw the construction of the Best Western Dual Brand Hotel. Together, they ensured 28 Hospitality LLC’s and Architect Ron Pope, TAG International LLP’s vision and design were masterfully built.

“The relationship we had with the Owner was unlike any other I had encountered; it was truly a family business.

They worked side-by-side with us in order to have a successful project. This project meant as much to us as it did to the Owner,” said Cadence McShane Assistant Project Manager Ben Pritchard.

Cadence McShane Construction Company is a full-service general contractor.

-cmw

Austin Construction News • JUN 2019

Page 17

Association Calendar

Drywall golfing

Content submitted by Associations to Construction News ABC

Associated Builders & Contractors

Jun. 13: ABC Sunset Cruise, Austin Party Cruises, 2215 Westlake Dr., 5-7pm. For info, call Tracey Littlejohn at 512-719-5263 ACEA

Greater Austin Contractors & Engineers Assn.

Jun. 13: Monthly Luncheon, Norris Conference Center, 2525 W. Anderson Ln., 11:30am-1pm.

Jun. 20: Member Appreciation Night, Party Barge on Lake Travis, VIP Marina, 16107 FM 2769 B, Leander, TX, 5:308:30pm. For info, go to www.aceatx.com or call 512-893-7067.

AGC

Orleans, LA. For info, contact Blain Krage at 847-768-3416 or email bkrage@assp.org Centex IEC

Central Texas Chapter Independent Electrical Contractors

CSI

Construction Specifications Institute

Jun. 12: CSI Chapter Meeting, For info, call 512-442-7887 CTRCA

Central Texas Roofing Contractors Assn.

Jun. 14: Party Barge Networking Event on Lake Travis, Aquaholics Watercraft, 16209 Dodd St., Volente, TX, 4-8pm. For info, visit www.rooftex.com/events

AGC TBB

Central Texas Subcontractors Assn.

Associated General Contractors Texas Building Branch

Jun. 5-8: TBB 2019 Convention, Jackson Hole, NY. For info, visit www.agctbb-org

CTSA

Jun. 11: Lunch & Learn. For info, call 512255-6373 NARI

Jun. 19: Social June 2019, 10300 Metric Blvd. #250, 4-7pm. For info, contact Kayvon Leath at kayvon@austinnari.org or call 512-375-2601

ASCE

National Assn. of Women in Construction

Jun. 6-8: AIA National Conference on Architecture, Las Vegas, NV. For info, call 512-452-4332 American Society of Civil Engineers

Jun. 18: June Webinar – Infrastructure Education for Texas Legislators. For info, contact Bailey Pattison at 512-472-8905 ASSP

American Society of Safety Professionals

Jun. 9-12: Safety 2019 Professional Development Conference & Exposition, New Orleans Ernest N. Morial Convention Center, 900 Convention Center Blvd., New

4MC Enterprises

National Assn. of the Remodeling Industry

American Institute of Architects

AIA

he Drywall & Acoustical Contractors Association (DACA) held their 3rd Annual DACA Austin Golf Classic on May 2. The event was held at the esteemed Falconhead Golf Club where members and guests enjoyed a fabulous day of golfing and friendship. Proceeds from raffle tickets sold during the tournament went to The Refuge, an organization that helps and houses victims of sex trafficking trade. -cmw

Jun. 29: Apprentice Graduation Ceremony, Norris Conference Center, 2525 W. Anderson Ln., #365, 5-8pm. For info, call 512-832-1883

Associated General Contractors

Jun. 26: Cyber Security Lunch & Learn, AGC Office, 609 S. Lamar, 11:30am-1pm.

For more info, contact Toni Osberry at tonio@agcaustin.org or call 512-442-7887

T

NAWIC

Jun. 5: Chapter Dinner Meeting, Pappasito’s Cantina, 6513 N. IH-35, 5:30-8:30pm.

For info, contact Tayrn Ritchie at Taryn.

Ritchie@RyanCompanies.com SEAot

Structural Engineers Assn. of Texas

Jun. 27: Chapter Meeting, Maggiano’s Little Italy, 10910 Domain Dr., #100. For info, call 512-301-2744

Clyde Clardy, DACA’s Treasurer presenting Monica Hinkle of The Refuge with check from the raffle proceeds.

Page 18

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Austin Construction News • JUN 2019

Designs of excellence

he American Institute of Architects (AIA) celebrated another year of accomplishments hosting their annual 2019 Awards Celebration. The event was held at Fair Market on May 9, showcasing excellence in designs produced by AIA Austin members as selected by a panel of distinguished jurors. -cmw.

2019 Design Award Winners: All Saints Presbyterian Church - Andersson-Wise Architects Austin Shelter for Women and Children - McKinney York Architects Casa Ithualli - Miró Rivera Architects and Ibarra Aragón Arquitectura Casa Xixim (Sustainability Commendation) - Specht Architects Highland Park Residence - alterstudio architecture Loro - Michael Hsu Office of Architecture Ottobock USA - Page Riverview Residence - alterstudio architecture Sangre de Cristo House - Specht Architects

Shibui - Nick Deaver Architect Springdale General - Michael Hsu Office of Architecture Westlake Duplex - alterstudio architecture World Walk - Legge Lewis Legge

2019 Design Award of Excellence: A Parallel Architecture Westheimer Restaurant (Sustainability Commendation)

2019 Design Award of Excellence: Specht Architects - Carpenter Hotel

Emerging Professional Award: Diana Su, AIA

2019 Design Award of Excellence: Page - Magnolia Montessori For All

Edwin Waller Award for Community Architecture: Alan Holt, AIA

2019 Design Award of Excellence: alterstudio architecture - Tarrytown Residence

Construction News ON LOCATION

It’s all about the pipe

L-R: Jason McCloskey and Mike Schergen show Construction News the art of chilled water fabrication at The Porter Co. in Austin, TX. -cmw

2019 Design Award of Excellence: Perkins + Will - Tentsion

Associate Member of the Year: Richardo Maga Rojas, Assoc. AIA

The Firm Achievement Award: Webber + Studio

Gathering supplies

Nicholas Adorno with TriStar Framing visited with Construction News while picking up supplies at JOSCO Plumbing Supply in South Austin. -cmw

Austin Construction News • JUN 2019

Page 19

A customized splash

A grand re-opening

Vice President, TJ Thompson (holding award), as Southwest Pool and Spa judges present Cascade Custom Pools as winner of 2019 Best of Show Design

Inside view of the new Vermeer Texas-Louisiana and Bobcat of Waco showroom.

T

he opportunity to be creative and design pools to fit the parameters and match the client’s style is TJ Thompson’s specialty. Cascade Custom Pools was developed by his parents in 1982. Having been around the pool industry since birth, Thompson was bound to love the pool life.

The design side of it is what initially drew him into the pool business. He has been designing nonstop for the past 10 years. The hard work has shown with many happy clients and achieving international design awards. Thompson was an integral part of Cascade Custom Pools winning 2019 Southwest Pool and Spa Best of Show for design. This family owned business has two locations in Austin, north and south. The company’s design work is highly sought after and has designed pools for other builders and customers, even out of state.

Cascade Custom Pools designs and installs high-end custom pools starting in the $85,000 range. Every single pool is

unique with its own shape, design and style. Features such as customized water slides and spas are available. Stone decks, kitchens and fireplaces can be built on for the ultimate outdoor experience.

Challenges do arise often in pool installation, but the company is used to surprises and problem solving through it.

They have seen it all and have been able to fix and make a way through various obstacles. Limited space, drainage problems, eroding cliffs – they know what to do.

With designing as his forte, TJ Thompson also keeps up with demand as the vice president of sales and operations. He serves on the board of APSP (Association of Pool and Spa Professionals).

His father, Hank Thompson, is a hands-on president and CEO. He, along with his wife, Theresa, are heavily involved with day to day operations. As vice president of finance and administration, she generates a smooth-running business.

Cascade Custom Pools is a design and installation pool service in Austin, TX. -tnp

Today’s forecast: red hot

C

V

ermeer Texas-Louisiana and Bobcat of Waco are all a buzz with the opening of their newly remodeled facility in Waco. The grand opening occurred on April 12.

“We were extremely grateful for the support our customer base has shown throughout our remodel and relocation.

The new store will enable us to better support our customers’ needs and we are excited about that opportunity,” says Dan Sandoval, Branch Manager.

The new 12,000sf facility located on a little more than 51/2 acres on Interstate 35 north of Waco recently underwent an extensive remodel. A 6,000sf service shop and a large parts warehouse and eight drive-through bays were part of the remodel, allowing Vermeer Texas-Louisiana and Bobcat of Waco the ability to carry a larger selection of quality parts, stock more new parts and rental equipment with additional shop space to service more machinery.

“We are excited to open this updated facility. As the community continues to

I

grow, the Waco location will allow us to provide better service and support to our customers working in this region of the state,” adds Jason Rush, Chief Operating Officer.

Over 150 customers and employees took part in the grand opening celebration. Employees of Vermeer Texas-Louisiana and Bobcat of Waco displayed featured equipment and were on-hand to answer any product questions. Guests were treated to a barbecue lunch, goodie bags and an opportunity to participate in raffles of branded merchandise.

Founded in 1978, Vermeer TexasLouisiana is the authorized dealer for Vermeer equipment in Texas and south Louisiana with 12 locations across the region.

Compact Construction Equipment LLC is the authorized dealer for Bobcat equipment in south, west and Central Texas with nine locations across said region. Together, they have co-branded to service the Waco and surrounding area markets.

Vermeer Texas-Louisiana and Bobcat of Waco is a dealer of construction equipment. –cmw

Pitch n’ tourney

t was washer pitching time for the folks at Jose I. Guerra Inc. Consulting Engineers.

The firm held its annual customer appreciation and washer tournament on May 16.

Customers, friends and guest joined the staff at the Guerra Austin office where they were treated to food, drinks and of course, a great washer pitching experience. -cmw

Josh Blue’s hard working truck

onstruction is booming in Austin.

That’s good news. No, that’s bad news. How’s that? There aren’t enough welders to meet the demand.

That’s bad news. No, that’s good news.

How’s that? There’s plenty of work for welders. We could go on, but you get the idea.

Josh Blue of Red Hot Welding Works has plenty of work. That’s good news. Even when he was a crane operator for Austin Crane Service, Blue kept getting calls for welding jobs on the side.

Blue started welding while a senior in high school, enrolled in a work-study program. After a morning of classes, he worked at Specialty Fabricators in the afternoon. He did stainless steel welding on boats. One of his teacher’s father owned the company, and, as Blue said, there weren’t many job opportunities in the small town in which he lived, so he picked this company.

“Everything I know [about welding] has been self-taught or learned on the job,” Blue said. He got certified in welding when he was 18, being tested by a welding instructor from Austin Community College via Lone Star Testing and Training.

When he worked as a crane operator, however, Blue kept getting calls for opportunities to weld for folks on the side.

He made up business cards and “every time I got called out to operate a crane,” he said, “I would hand out my business card. And it kind of took off from there.”

Red Hot Welding Works officially started in 2014.

Blue does about a 50-50 split commercial to residential. He likes it all, just not a lot of one thing in a row. “I might go three months without getting a single gate,” he said, “[but] it never fails - as soon as the first one comes in, there are two or three more right behind it.”

Blue does a lot of handrails, custom gates and heavy structural steel. He has both a shop and goes mobile, but, “I really don’t like going over 100 miles,” he said.

Blue is doing well. “I’m happy with the way it’s going.” Of course, he does have a long-range goal: “The plan is to build it up over 20-30 years, then sell it.”

The forecast for Red Hot Welding Works looks bright. That’s good news.

Red Hot Welding Works is a welding contractor in Elgin. -dsz

1st Place: Mechanical Reps Inc. “The MRI Team” – Stephen Greco and Stuart Bloomquist

Rubber Award for Best Team Name: The Sunland Group “Pitches Be Crazy” – Jessica Leefeldt and Veronica Escalante

Washer pitching is serious business

Page 20

Austin Construction News • JUN 2019