On the Level: Spring 2021 by Anne Atchison

The Quarterly Associations Publication of: Construction Contractors • Sheet Metal & Roofing Contractors • Fabricators Erectors & Reinforcing Contractors

SPRING 2021

s r e t t a M y l i m a F erations n e g e l p i t l Mu mily keep the fa ing business go

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S P R I N G 2 0 2 1 Q U A RT E R LY P U B L I C AT I O N

INSIDE:

COMPANIES FIND SUCCESS WHILE KEEPING IT ALL IN THE FAMILY

38 LEGOLAND PREPARES TO OPEN ITS DOORS IN THE COMING MONTHS

24 JACK HOLT LEADS A CONSTRUCTION FAMILY DYNASTY

30 MARTY WALSH– FROM LABOR LEADER TO SECRETARY OF LABOR

Understand Your Rights when it Comes to “Pre-Bid Documents”

Economists Offer Insight into Construction Outlook for 2021

What are Mass Timber Buildings and Why They are Important?

Resorts World Plans to Revitalize Old Mall with New Gambling Hall

Business and Labor Leaders See Bright Future in Post-Pandemic World

Vaccination Creates New Challenge for Employers

Danskammer Energy Begins Next Phase of Application Process

There’s a Long History Between Workers’ Compensation and Vaccines

BOARD OF DIRECTORS Construction Contractors Association Dan O’Kane - Board President Mark Stier - 1st Vice President Mike Adams - 2nd Vice President David Campbell - Secretary-Treasurer Ron Bloomer Scott Dianis Ira Gold Jay Harrison Joseph Jerkowski Robert Kaehler James McGowan Joseph Perez Paul Taphorn Alfred D. Torreggiani Charlotte Van Horn

ON THE LEVEL:

Fabricators, Erectors & Reinforcing Contractors Association Justin Darrow – Chairman Jake Bidosky, III – Vice-Chairman Bernie Hillman – Secretary Daniel Teutul – Treasurer

Association Staff: Alan Seidman – Executive Director Barry Lewis – Vice President of Communications & Member Services Alan Creais – Director of Membership Patty Dalton – Executive Assistant Millie Rodriguez – Administrative Assistant

SMACNA of Southeastern NY Lou Doro – President James D’Annibale – Vice President Steve Mulholland – Secretary Daniel C. Harden – Treasurer Mark DiPasquale Michael Briggs Frank Ferrucci Walter “Chip” Greenwood William Haskel Dennis LaVopa, Jr. S P R I N G 2 0 2 1 Q U A RT E R LY P U B L I C AT I O N

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UPCOMING EVENTS Like many organizations the CCA is working to schedule events in 2021 for our members and their guests while at the same time adhering to state safety guidelines.

Watch for details on the ANNUAL 2021 CCA GOLF OUTING AND LOBSTER BAKE ANNUAL CCA DINNER Thursday, October 14 Powelton Club in Newburgh

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ON THE LEVEL:

Featuring guest speaker Retired Marine Corps Lt. Col Robert J. Darling, who grew up in Newburgh and later was a White House Airlift Operations Officer who was in the White House Bunker during the attack on America on 9/11/01. Due to current New York State COVID restrictions seating will be limited.

Mark your calendar for the CCA ANNUAL HOLIDAY GET-TOGETHER & CHARITY EVENT Monday, November 29 Powelton Club in Newburgh For any updated information on all upcoming CCA events, please visit our website, www.ccahv.com or call 845-562-4280

S P R I N G 2 0 2 1 Q U A RT E R LY P U B L I C AT I O N

ON THE LEVEL:

S P R I N G 2 0 2 1 Q U A RT E R LY P U B L I C AT I O N

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S P R I N G 2 0 2 1 Q U A RT E R LY P U B L I C AT I O N

DIRECTOR’S MESSAGE Our members are ready for the challenges that lie ahead! Well, if it were easy, anyone could do it! It gets increasingly more difficult every year to do business in New York, yet here we are. For over a year, craziness has engulfed the world. We have lost friends, relatives and business colleagues to COVID. As we honor their memories, we carry on. While there are warnings of future upticks and variations to COVID, we all hope for a return to normalcy. Masks, social distancing and hand sanitizers will remain in our lives indefinitely, as will other precautions. Work habits for many are permanently changed. Despite those realities, I am very hopeful for a strong recovery in the second half of 2021 and a robust 2022 for our industry. The projects that went dark as COVID began a year ago are now coming back to the planning tables. Conversely, the infrastructure projects that are being added at various levels of government could expect to strain the labor resources of our region. This is something we saw when the Tappan Zee Bridge was replaced at the same time that a casino was being built and the NYC Water Tunnel was being dug. Nonetheless, our contractors and our labor partners got it done then, and we are sure they will rise to these new challenges. Figuring out how to do the upcoming work is certainly preferred to the lack of projects of this past spring. In this issue, Barry Lewis, our Vice President of Communications, will be highlighting our multi-generational businesses. Many of our members have taken over family businesses and/ or brought the next generation(s) into their operations and they have a great story to tell. Barry has done a great job in covering many of those firms that responded to our questionnaire. There are two stalwart family run businesses that are 50-year members of CCA, and they deserve a special mention. Thank you to both Helmer-Cronin Construction and Holt Construction for not only their longtime membership, but their leadership of CCA. Bill Helmer and Jack Holt have both served on and are past Chairs of our Board and remain involved members! After 50 years, both are still active in their firms and continue to offer me their guidance and insight of issues our industry faces in the Hudson Valley. In closing, let me address two things I said at the beginning of this column: “Yet here we are” and “If it were easy, anyone could do it!” To each of our members, we appreciate your support and membership. To Bill, Jack and the rest of our multi-generational members, thanks for the toughness to continue to succeed against the challenges. It’s not easy, but you continue to do it. I wish you each a great 2021 and an even better 2022!

Alan Seidman Alan Seidman Executive Director

ON THE LEVEL:

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s e i n a p m o C s s e c c u S d Fin g n i p e e K While it All in y l i m a F e th

for CCA munications m o C f o t en d is, Vice Presi By Barry Lew aly ted from It

io immigra ouis Argen L rses s 0 9 8 1 ht some ho g u o b e In the late h r ars late cks to h. A few ye n-baked bri e v o to Newburg g in k c tru his and began . Over time ty n u o C and carts e g Oran ed into ding sites in siness evolv u b various buil k c u tr p m ons e-drawn du ing foundati g ig d , s manual hors b jo acting ercial contr small comm yard. r six cents a fo h rt a e g and movin

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S P R I N G 2 0 2 1 Q U A RT E R LY P U B L I C AT I O N

Companies Find Success While Keeping it All in the Family

Opposite page top, Albert Argenio, left, and Genaro J. Argenio, grandsons of company founder Louis Argenio, at Orange County Airport in 1977. Bottom, a company truck from 1920s. At top, cousins Albert Argenio, left, and Genaro “Jerry” Argenio by a picture of company founder Louis Argenio

Argenio Brothers

y the 1930s Genaro joined his father Louis at

all types of paving, earthwork, surface and structural

Louis Argenio Inc., handling municipal and

concrete demolition and construction.

private construction contracts. As the decades

passed Genaro ran the business, working with his nephews Albert, Genaro J. and Louis. In the early 1960s

Argenio Brothers continued success over the decades is the rare exception for multiple generation companies.

the company put up the first asphalt plant in Orange

According to the Family Firm Institute only 30 percent of

County and used barges to ship the asphalt across the

family-owned businesses last until the second generation,

Hudson River.

and only 12 percent will make it to the third generation.

Despite many challenges, transitions and a name change in 1967 to Argenio Brothers, the company has survived

So how does this family business manage to overcome the odds?

and thrived, increasing revenues a hundredfold over the

“It sounds simple, but communication has a lot to do with

last 50 years.

our still being in business,” said Jerry Argenio, who credits

Today, it remains a more than century-old family-operated construction business. Genaro J. Argenio Sr., the grandson of its founder Louis, is the company’s president and his son Albert Argenio (secretary) and nephew Genaro “Jerry” A. Argenio (vice president) are carrying the Argenio name into the fourth generation, handling

his close working relationship with his uncle and cousin to the continued success of the company. “The mentorship is just as important as the next generation coming in. If the mentorship is stuck in a box where it has to be ‘my way,’ the guys coming up, typically younger and more aggressive, are not going to buy in. It’s not going to work.” continued...

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S P R I N G 2 0 2 1 Q U A RT E R LY P U B L I C AT I O N

Companies Find Success While Keeping it All in the Family

Left to Right: Bob Olori, John Olori, Ron Olori Sr., Lou Olori Jr., Ron Olori Jr.

Olori Crane Service Family pride, lifetimes of experience and a long-term

“The basic principles that got this business where it is

focus are inherent strengths that can give multi-generation-

have not changed,” said Ron Olori. “What our father

al family businesses the ability to continue and thrive. An

and uncles thought, what their father thought about hard

example of that is Olori Crane Service, a family-owned

work, about fiscal responsibility, also respecting and

crane rental company based in Nanuet that has served the

taking care of your employees so you have a workforce

building industry around the Hudson Valley for over 60

that has pride and concern about the company. Those are

years.

the foundations that built this company and what Lisa

Founded in 1950 by Louis Olori Sr., the company is now

and I have carried on.”

headed by his grandchildren, Lisa Olori-Bruno, president,

Running a multigenerational family-owned construction

and her brother Ron Olori, vice president. A fourth

company is even tougher.

generation, Ron’s son Justin, is secretary-treasurer.

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S P R I N G 2 0 2 1 Q U A RT E R LY P U B L I C AT I O N

Companies Find Success While Keeping it All in the Family The causes for multigenerational companies to fail are

Only 30% of family-owned businesses last until the second generation, and only 12% will make it to the third generation.

usually the same – an inability to separate family from business needs, difference of opinion in how the business should be managed, intense rivalries and, of course, the egos that come into play. In addition, there are instances where the second and third generation often have less

Only One Generation 58%

Second Generation 30%

appreciation for what their predecessors did to make the business a success. “They lack the work ethic and commitment that the founders had,” said Michael Turturro, CPA and a managing partner with RBT CPAs, LLP, that has offices throughout the Hudson Valley.

Third Generation 12%

“The people that are to blame - it’s not the children who they turn the business over to – it’s the owners who continued...

Many family-owned businesses operate with an informal management style. This is especially true with contracting businesses. There may also be disparity in how each member leads. This can frustrate employees, inhibit the growth and profitability of the business, and prevent it from reaching its true potential. Every manager in the organization should set high standards for performance and be an example for others on staff. —Christine Corelli, Author of Wake Up and Smell the Competition

Family companies: Do they have a written succession plan? 1%

16%

19%

64%

DON‘T KNOW

YES

IN PROGRESS

ON THE LEVEL:

S P R I N G 2 0 2 1 Q U A RT E R LY P U B L I C AT I O N

Companies Find Success While Keeping it All in the Family

es ad’s busin d ir e h t n

s sens

a big fi e avoided

nancial lo

st:

d. ver owne e e v ’ e w ine . gest mach g i b brakes on e e h t h t r t o f u p 7 0 e w rder in 20 ession hit c e r e h t e put an o s d to go to a e n e o n o e s w s , A s id million. , `Look k d i a s order for e e Cost $1.3 H h t . n p i o t e s m to ca got them perience e e x e H s ’ .’ e d a p d o l s having th re t y e r o h e N w p . p s i d i l e s s p i us Th hel a dangero ash flow c s i e s h i T h t . , k e l ge I don’t ac p a b o t e y i p s m o e d s p e n e a th ed in my life t ven got th ver n e i o d p n a t a e h n i tt deal. I ne A e . h t t a p h t o t the mach d s e to try and He revers u . e c d e n e p i l r e e h p s x a deal. Yo s re i o l e a e v r d payment e n A he y, ‘ ave had t they’d sa h d d e l r u u o g w fi I think I ney back. o m r u o t e’d ge ct.” thought w d’s instin a d s a w t I e paper.’ signed th

wh ri recalls lo O n o R

“W

OLOR

I CRA NE SE is a fam RVIC ily-ow E n e d cran compa e ny fou rental nded i Olori n 1 950 by Sr. and Louis was la times t er own by his ed at sons. T now h h e c eaded ompan by Lou y is grand i s ’s childr en, Lis Presid a Olor ent an i-Brun d o, her br Ron O o t her lio, Vic e Pres genera ident. tion, R A four o n th ’s son Secret J ustin, ary-Tr is easure r.

PICTUR ED Ron Olo LEFT: Justin Olori, R ri Jr. att on Olor e Las Ve i Sr., gas, NV nd Constructi on Exp o

ON THE LEVEL:

S P R I N G 2 0 2 1 Q U A RT E R LY P U B L I C AT I O N

Companies Find Success While Keeping it All in the Family created the business because quite honestly they made life too easy for them. They didn’t want the children to struggle the way they struggled. The owner wanted to create a better life for his children. And he did. But not a life where they’re going to be able to run and manage and grow a business. It’s not easy,” said Turturro. “By the time a third generation comes around, many times those family members are just not interested in carrying on the family business. They don’t want to do what grandpa and dad did, or if they do they don’t have the wherewithal to do it. It’s just not in their DNA. They should be doing something else,” said Lisa Olori-Bruno. She adds, “Running a business is not easy for the faint of heart. Especially a family-run business. We have a fourth generation because we have a fourth generation who wants to be here. Otherwise, I don’t know where we would go next. It’s something you can’t force on the next generation.” The issue of generations working together, especially during the transition period where one family member is in the process of taking over the leadership of the company from a relative, can be an emotional issue full of Olori crane during construction of Kartrite Resort & Indoor Waterpark.

doubts, misunderstandings and arguments. continued...

Don’t create two types of employees: family vs. non-family. Conduct performance reviews for family and non-family employees alike. Refrain from showing favoritism or giving special treatment to family members. Avoid alienating employees by practicing nepotism. Hire, promote, and pay people based on their actual merits, abilities, and contributions to the business. If you don’t, the non-family employees will lose their motivation. —Christine Corelli, Author of Wake Up and Smell the Competition

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S P R I N G 2 0 2 1 Q U A RT E R LY P U B L I C AT I O N

Companies Find Success While Keeping it All in the Family

Innovation is important to the next generation:

55%

Top 3 priority for

76%

say that their companies innovate at a faster pace than competition

of respondents

The previous generation of family members is well aware of the need for innovation

61% AREA OF HIGH POTENTIAL CONFLICT

FAMILY

OWNERSHIP

ON THE LEVEL:

but is not willing to take on the associated risks

40%

AREA OF HIGHEST POTENTIAL CONFLICT Family business conflict tends to occur where ownership, family and business wealth overlap

BUSINESS WEALTH

S P R I N G 2 0 2 1 Q U A RT E R LY P U B L I C AT I O N

Companies Find Success While Keeping it All in the Family

Fred A. Holt, son of company founder Fred L. Holt, pointing at a construction site.

“M

Holt Construction

y father and I worked together for about

have enough work to cover our overhead for the year he

five years and towards the end we

would be upset, where I would say, ‘It’s only January 20,

banged heads a lot because we had two

we have another 11-and-a-half months to go and make the

different philosophies or approaches,” said Jack Holt, who

overhead. Not that it came to blow. I never discussed it

recently stepped down after more than 45 years as CEO of

with him but maybe he thought that I couldn’t carry this

Holt Construction but remains the Chairman of the Board

whole thing on.”

of the Pearl River based company that is ranked as one of the nation’s top contractors. The company was started by his grandfather Fred L. Holt and then headed by his father, Fred A. Holt.

The challenge for family businesses is the need to maintain a balance between business goals such as growth and innovation, and family goals, such as maintaining family values and protecting the family wealth.

As the third generation to lead Holt, Jack said he learned a lot from his father during the period of the changeover but admitted there were obvious differences in terms of dealings with customers and working through projects.

A survey on the importance of innovation to the next generation by Deloitte EMEA Family Business Centre found that while more than 60 percent of respondents said the previous generation of family members were well

“My father didn’t trust people as I did, and he was afraid

aware of the need for innovation, just 40 percent said they

of some of our numbers. If we started the year and didn’t

were not so willing to take on the associated risks. continued...

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Companies Find Success While Keeping it All in the Family

TION NSTRUC O C X R 949 U.W. MA nded in 1 u o f s a w Y many COMPAN o left Ger h w x r a M by Ulrich . For rsecution e p i z a N to escape son s Ulrich’s r a e y 0 3 t nded the pas and expa d le s a h rx Peter Ma . His sons m r fi d e s a b m the Troy, and Ada ld a r e g z it her F ed in Khristop all involv e r a x r a nM ction and Bria e constru h t f o s t e ac various f in the er hopes t e P d n a g business em leadin h t e v a h o de t next deca any. the comp

s wit

l difference

tura s he had na y a s x r a M Peter rward: company fo

on how to h his father

move the

and a more n o rs e p r e g oun t ect from a y p x e t h ig m ant to go ou w ou ’t y n t a id h d w e s H a ve. tw re conservati ger. o m s a w e H . ger and big n ig o b rs t e e p g r to io n se . Try as out there w t a etently and th p b m jo o c ry le e d v n e a h and conquer that we could b rk o w e k ta l, get every jo fu t, re n a e c -b e ll b e h to go He wanted I wanted to to d n A . y e n o m , ‘I’m going e d e d a id c m e e d w e h lly make sure out. Eventua it re more like u g e fi b l to ’l e t o w g n d e th . An we can and I made some d n a ’ s e k ta is e his own m let him mak went by.” him as time

“I

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S P R I N G 2 0 2 1 Q U A RT E R LY P U B L I C AT I O N

Companies Find Success While Keeping it All in the Family

shed:

ther accompli

r what his fa t admiration fo

ed hands. He learn is h h it w d te a he cre at he did, what h w significant f o a d u to ro in p d e ry e rn v tu ’m e. It ped it over tim lo e v e d d n a r te uch harder for m ’s It . g in th to be a carpen o n ut of de something o a nd m e H . d te c e sp ke something a re ta ll e to w is , y it n n a e p th m g co it into somethin rn ing tu d n a g in th o ve done is noth en I’ t a h W . te a im anybody to tak e ult I think that’s th . re o m us something g e in v th a e g e m h , so y it to n in u ort turn it e and us the opp m e v a g e H . id d at he e beginning.” th t a h it w compared to wh rk o w e had nothing to to work with. H s grea

Peter Marx ha

“I

The next generation of family business leaders intend to make changes when they take over

80% 56% 56% 51% Opposite page, Ulrich Marx, right, in 1981 at the new Niagara Mohawk Power Plant in Troy. Above, Peter and Ulrich Marx standing, at U.W. Marx Construction in the mid-1980s. ON THE LEVEL:

say that their leadership style will be different compared to the previous generation. will change corporate governance structures. will change the family‘s company strategy. intend to take more risks than their predecessors, but in a more controlled way.

Source: Deloitte EMEA Family Business Centre

S P R I N G 2 0 2 1 Q U A RT E R LY P U B L I C AT I O N

Companies Find Success While Keeping it All in the Family

Craig Schumacher and his son Brett in 1982.

Schumacher Systems

“T

he interesting thing is my dad is a huge

project manager. I looked at the numbers and went to my

risk taker and I’m not,” said Kori Allen,

dad and said, ‘I don’t think we should do this. I really

who took over last year as President

don’t think we should do this.’ And he was like, ‘Yes we

of Schumacher Systems, a Sullivan County-based

are doing it.’ I was OK with that because he made the

commercial construction company from her father and its

decision, he was the leader and my job was to do the best

founder, Craig Schumacher. “I know I have to learn to feel

we could with it. It turned out to be a great project for us

comfortable taking risks.”

but I don’t know that if I was in his shoes, considering all

Running the company with her brother Brett (now the

the risks, I would have accepted it,” said Kori.

company vice president), Kori admits unlike her father, she

Deloitte EMEA Family Business Centre says that

was not as confident in accepting the job that would be one

identifying and grooming successors from the next

of Schumacher’s prize projects.

generation to take the helm takes time and shouldn’t be left

“We were considering doing work in 2005 at Bethel

until the managing family member becomes ill or dies.

Woods, the biggest project we had undertaken. I was the continued... 18

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Companies Find Success While Keeping it All in the Family

the her says he felt Brett Schumac is mpany when h weight of the co dad retired:

round hen July rolled a than it became more always a family just a job. It was as important company that w dden that to me. All of a su hold and seriousness took orry more it’s stressful. I w k about the now. Now I thin ore. I’m business a lot m on the thinking about it nsumes weekends. It co

“W

SCHUM

is a Sull

ivan Co

“I

llen isn

’t push

ing for

SYSTEM

unty-ba

S, INC.

sed commer cial con structio founded n compa ny in the m i d-1970s Schuma b y Craig cher, wh o retired The com in 2020. pany is l e d b y Craig’ daughte s r Kori A l l e n ( p resident and her ) brother B r ett Schu (vice pr macher esident) .

me a lot more.”

Kori A

ACHER

her c

hildren ’m defi to wor k in th antly no e famil t encou y busin 17. She raging ess: it. It is sees wh so stres at it tak want he sful. M es from r to do t y daugh his. It’s m e . And I’v ter is to have hard to e told h run a co a really er that I mpany good pe don’t if you’r rsonalit e a mus y and a h. You h healthy ave do well o u t l o o k on lif , but it’ e. You s tough can .” ON THE LEVEL:

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Companies Find Success While Keeping it All in the Family

rent there is a diffe Jack Smith said ess: a family busin dynamic with

“Y

ou have the boss the relationship and u tionship, and yo parent-child rela how that plays d n ta rs e d n u to have relationship. I’d rk o w e th h it w t ou es at they sometim tell my sisters th se they were did things becau rental response looking for a pa and I did things r e th fa r u o m o fr sult. ve a business re ie h c a to g in k o because I was lo t it’s s, that’s nice, bu e m o c se n o sp re If the parental rent direction or fe if d a in s u t in po not why I look to an in thing. That’s a rt e c a sh li p m o try to acc ess f a family busin o ic m a n y d g in interest in a non-family e v a h ’t n o d u o y that nment.” business enviro

WILLIA

INSURA

M A. SM

NCE is a

ITH & S

third-gen eration ned agen c y that bega 1928 by W n in illiam A. S m ith. It was lat er led by William’s John Sm son ith Sr., w ho passed in March away . John is seen here his three with children, f r o m left, Jack Smit h, Debra Johnson Cathy M and cCarty, w ho now a the comp ll head any. family-ow

The average CEO tenure in a publicly owned firm is six years, while family business leadership can endure for 20 to 25 years, creating challenges for multigenerational family businesses when it comes to shifts in technology, business models, and consumer behavior —Harvard Business Review

ON THE LEVEL:

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Companies Find Success While Keeping it All in the Family

Robert Styles

Bob Styles

Sr. and his son Bo

ModernfoldStyles “My father was older, then he got cancer,” said Bob Styles,

you want it. If not, I’ll sell or do something else.’ I was his

president of ModernfoldStyles of South Hackensack,

only son. I have an older sister but she didn’t want to be in

N.J., whose father Robert Styles Sr. founded the company

the business so I had to make a decision. I said ‘I’ll give

that makes glass wall systems and operable partitions. He

it a shot.’ My father knew he only had a certain amount of

was 26 when his father gave him an option.

time and so I worked hard and he was with me every step

“He said, ‘Bob, I’m done. I’m going to retire to Hilton Head and play golf.’ He said, ‘look, you have to decide if

of the way and taught me every aspect of the business,” said Bob.

Jerry Argenio, who grew up working as a laborer and

of crap and expect to get something done during the day.

rejoined Argenio Brothers after a brief career in finance in

When I look outside on a job site we’re doing and I see

New York City sits in the company’s New Windsor office

six or seven GPS Rovers, I see automated equipment with

surrounding by pictures of how the family business has

pods on them controlling the blades. We’ve come so far

evolved over the decades.“I look at them and I just cannot

and I’m very proud of this family and our business.”

believe where we came from,” he said. “I can’t believe that someone would go out in the morning at 7 with that piece

ON THE LEVEL:

blewis@ccahv.com

S P R I N G 2 0 2 1 Q U A RT E R LY P U B L I C AT I O N

Companies Find Success While Keeping it All in the Family

understand ation needs to

ener

says the next g

what’s at stak

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ON THE LEVEL:

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Companies Find Success While Keeping it All in the Family

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S P R I N G 2 0 2 1 Q U A RT E R LY P U B L I C AT I O N

Above, Jack Holt at the company headquarters in Pearl River. Opposite page, top, company founder Fred L. Holt. Below, Nicholas Holt with his grandfather Jack.

Jack Holt Leads a Construction Family Dynasty By Barry Lewis, Vice President of Communications for CCA

Jack Holt grew up literally in the shadow of Holt Construction.

Founded in 1919 by Fred L. Holt, the company

His family lived just two blocks from the company’s

the company out of housing and into industrial and

corporate headquarters, which doubled as his grandfather’s

commercial projects. Jack Holt purchased the firm

house along a tree lined street in Pearl River. Jack, along

from his father in 1974 and has guided the company’s

with his friends would head to where miscellaneous

expansion from those same Pearl River headquarters

lumber and materials were stored and pilfer 2 x 4s and

to offices across the United States, blending state-of-

plywood to make a tree house. It was Jack’s early entre

the-art technology and scalable construction practices

into the construction business. And one he’d never leave.

to its “family of clients” in healthcare, aviation, retail,

ON THE LEVEL:

represents a legacy that spans three generations of Holt family leadership. In 1950 his son Fred A. Holt moved

S P R I N G 2 0 2 1 Q U A RT E R LY P U B L I C AT I O N

Jack Holt Leads a Construction Family Dynasty education, and phar-

position where I was in touch with the office personnel.

maceutical industries. At 74, Jack Holt

What would you have learned?

recently stepped down

I think I would have learned how to be an employee as

as CEO. His wife,

opposed to how to be the boss. You have to work a little

Patricia Zugibe, was

harder when you haven’t been an employee, when you

elected as the new

haven’t learned through that process. You have to work

CEO by the Board

harder to walk in the other person’s shoes and try to

of Directors and he

understand things from their viewpoint. It made me work a

remains as Board

little harder all my life.

Chairman. In an interview from his office Jack said he was adamant to work at Holt after college - his father suggested he might consider another line of work:

When you’re the boss’s son people think you didn’t earn your job. That perception lasts for most of your life, that the job

Did your father put any pressure to join Holt?

was handed to you. I worked very hard when I was

My father jokingly wanted me to work for the local utility

working in the field to make sure I wasn’t treated any

company so I could get up in the morning and someone

differently than any other laborers. I wanted the tough

would tell me what to do. He didn’t dissuade me. I had

jobs and would sometimes come home with bloody

other opportunities.

fingers from having to carry blocks all day long. I

Your father didn’t start at Holt. Did you ever consider first working somewhere else? He actually mentioned it to me. But I elected not to listen to him. I should have. I believe I would have been better had I worked for somebody else. I did work at other companies during my college summers but not in a

learned from other laborer’s who are smart, went through union schooling. Just because your last name is Holt doesn’t mean you walk through the door and you have the respect of all the people around you. You’ve got to operate the business on a level that they appreciate. And you have to take care of them. You have to respect them and their abilities and what they do for the company. continued...

ON THE LEVEL:

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Jack Holt Leads a Construction Family Dynasty Your grandfather was very innovative.

There’s additional pressure when it’s a family business.

He was good and tough. He had an eighth-grade education

The name and the reputation are the biggest things. You

and he started the business. He invented the first moveable

don’t want to besmirch that. Hopefully build on that I

partition system in the United States which he did for

think that’s what I was able to do over the years. There

Lederle laboratories which is now called Pfizer. He opened

always was a little bit of pressure. Still is. My father

the first model home in the United States about a half mile

always had a statement that the third generation lost all the

from the Pearl River office. The day he opened the model

money. I had that pressure on me the whole time.

home up there was a line of traffic to get to in. No one had ever seen anything like this. Walk into a house, it was furnished, and you could see what it was that he would build for you.

You changed the name of the company in 2000 from Fred L. Holt to Holt Construction? It was hard to give up the name. We had a lot of input from people in the field who said, we really need the word

You had a five-year transition period with your father.

construction in there. If you have an office somewhere in

Did it help?

America and you hear Fred L. Holt Inc., you don’t know

That was good for me because I came through the door

if we make widgets. Ends the mystery of what we do. Holt

and started working as an estimator at 21-22, then project

Construction. Oh, you’re a contractor.

manager, vice president…I just kept working my way up until my father said adios. I was 27 when I bought the company.

Your son left the company to pursue other interests, but your grandson Nicolas is working at Holt as an IT analyst. Would you like to see him run the

When your father left were there clients unsure if you

company someday?

could handle the work?

He’s a really bright kid. We’re grooming Nick to find a

I felt it. In those days I grew a mustache so I would look

position in Holt where that allows him to move up the ladder

older. I felt that there was a lot of pressure from existing

in Holt. Whether he can run the company I don’t know. You‘d

clients that my father had generated. Looking at me and

like to have a Holt name in here. I have granddaughters and

wondering if this kid can do it. Whether they ever thought

I’ve been wooing them but they’re off on their own pursuing

it or said it, I don’t know. I felt I had to work twice as hard

other interests. If Nick doesn’t elect to carry on the tradition,

to maintain those relationships.

then the next ownership will not be a Holt. He has got an

You remember your first stomach-turning moment? There were several, but the first was a job at Tilcon.

opportunity here. His work ethic is excellent. But he has to want to do it. I don’t want to force him.

There was a stone quarry, and they needed a new quarry

Do you think it’s tougher for multi-generational con-

complete with conveyors and tunnels and stone crushing

struction businesses to last?

capabilities, you name it. It was a huge project and we

From what I see, I think it’s difficult for family run

took it on and I probably didn’t sleep for a year. That came

businesses to survive only because different generations

out successful. The other one was Hilton Hotel in Pearl

have different interests. You can’t expect the next

River. We had never built a hotel before. It was fairly

generation to have the same intensity. They are spoiled

sizeable. We took it on and again I didn’t’ sleep. There

in a certain respect. They’ve had too many things handed

were a lot of ‘I didn’t sleep’ the last 50 years. You always

to them. Life was made a lot easier for them then for my

make mistakes. When I first started in the business you

grandfather or my father. We all strive to make life easier

make a mistake estimating it might cost a thousand dollars

for our children than it was for us. That happens. This was

or a few thousand dollars. Now a mistake can be a million

something I wanted to do. My father gave me a lot of outs.

dollars. Scary.

I had a drive, a desire. I love it. Still do. blewis@ccahv.com

ON THE LEVEL:

S P R I N G 2 0 2 1 Q U A RT E R LY P U B L I C AT I O N

When you want reliable professionals, you hire union carpenters.

The Kartrite Resort & Indoor Waterpark

There’s no greater asset in the building industry than a worker who shows up wellprepared and ready to go. It can mean the difference between a project that runs smoothly and a project that runs out of time. The Carpenters union recognizes this and has provided contractors with world-class quality and professionalism for 130 years – in addition to a can-do spirit to step up to meet any challenge. It’s not just a relationship, it’s a true partnership, and the entire building community benefits.

The North Atlantic States Regional Council of Carpenters. It’s time to build. To learn more, visit NASRCC.org

ON THE LEVEL:

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SPECIAL INSPECTIONS AND MATERIALS TESTING Asphalt • Concrete • Soils Masonry • Steel • Deep Foundations CONSTRUCTION PHASE MONITORING AND ENGINEERING Vibration • Noise • Deformation Condition Surveys • SOE Design LAND SURVEYING Construction Layout • 3D Scanning Mobile LIDAR ENVIRONMENTAL SERVICES ACM and Lead • Air Monitoring End Sampling and Soil Disposal ENGINEERING Geotechnical • Civil • Structural MOUNTAINVILLE, NEW YORK 800.829.6531 www.tectonicengineering.com

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Thank you to all our heroes on the front lines who risk their lives to help save ours.

laborfirst.com

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Marty Walsh – From Labor Leader to Secretary of Labor By Barry Lewis, Vice President of Communications for CCA

ormer Union Leader Marty Walsh, a son of Irish

Born in Boston, Walsh, 53, joined Laborers’ Interna-

Immigrants is the new Labor Secretary - boosting

tional Union of North America Local 223 in 1988 and

President Joe Biden’s efforts to expand Workers’

worked his way up through the ranks to lead both Local

protection and delivering a win for the country’s

223 and the Boston Building Trades Unions before

Organized Labor Movement.

being elected mayor in 2013. Walsh also served in the

His confirmation in March, by a 68-to-29 margin, is

Massachusetts legislature.

expected to have a major impact on U.S. Workplace Laws

Walsh has supported key proposals affecting Workers,

and Regulations, including vigorous enforcement of

including a $15 Minimum Wage, Paid Family Leave

Occupational Safety and Health Rules, overtime payments

and the PRO (Protecting the Right to Organize) Act - a

and proper administration of Employee Benefit Plans.

proposal to update Labor Laws and give Workers more

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S P R I N G 2 0 2 1 Q U A RT E R LY P U B L I C AT I O N

Marty Walsh – From Labor Leader to Secretary of Labor

Labor Secretary James Walsh with President Joe Biden.

their side.” Brown said Walsh can work with OSHA to issue an emergency COVID-19 temporary standard and “crack down on corporations that use subcontracting, independent contractors and other tricks to pay workers less and to deny them benefits.” Terry O’Sullivan, General President of LIUNA – the Laborers’ International Union of North America said in a statement that the confirmation of Walsh as Secretary of Labor heralds a new day for the working men and women of our nation. “Secretary Walsh is a dues-paying, card-carrying, second-generation member of the Laborers’ International Union of North America whose dedication and devotion to the cause, the purpose, and the mission of the Labor Movement is unwavering,” said Sullivan. “I am confident that he will restore and re-energize the ability to organize at work that the House

Department of Labor’s role as a powerful guardian of workers,

of Representatives passed last year. During

and strong and effective enforcer of labor laws. He will fight

a post-vote press conference, Walsh said he

for all working people, regardless of where they come from,

would work for “every single American” in

what language they speak, or what kind of work they do. He

his new position.

will work to bring skills training and a stronger voice on the job to millions of American workers who too often have been

Prior to the vote, some senators spoke to

exploited or disregarded.

Walsh’s qualifications for labor secretary. Sen. Sherrod Brown, Democrat from Ohio,

In the days following his swearing in, Walsh shared his

said with Walsh as Secretary of Labor,

thoughts on the issues he faces in his new role and emphasized

“Workers will finally have someone on

his vision for the Department of Labor and OSHA. continued...

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Marty Walsh – From Labor Leader to Secretary of Labor His comments came as

For example, while

President Joe Biden’s

the American Rescue

administration vowed to

Plan extended $300

focus on its $3 trillion

weekly supplemental

Build Back Better

unemployment benefits

infrastructure push, fresh

through Sept. 6, Walsh

off passage of the $1.9

said those payments aren’t

trillion American Rescue

necessarily the best way

Plan earlier in March.

to get people back to

While Walsh touted

work. Many contractors

the importance of that

experienced that early

legislation, he also carved

in the pandemic, when

out specific areas that

then-$600 supplemental

he said were important

weekly payments meant

to getting back to work,

some workers earned

including issues important to contractors.

Walsh says this is a “labor-friendly” administration.

more via unemployment benefits than at work.

Shortly after being confirmed Marty Walsh highlighted a number of issues to PBS’s Judy Woodruff that he sees as critical priorities for the American workforce, including making sure workers feel safe on the job and rebuilding the middle class through union membership. Safety on job sites:

Unions and the middle class:

“What we want to do is make sure we bring the

“If you look at the decline of the middle class and you

confidence and the respect back to those workers who

look at the decline of the labor movement, there’s a

are working on behalf of the American people every

correlation between the two of them. And I think that

single day. OSHA is a big part of it. We are going to be

when you see more people joining unions and getting

hiring hundreds of new OSHA inspectors. We’re going

into them, you’ll see more people in the middle class.”

to get them trained up. We’re going to get them out into the jobsites.”

‘Building Union’ member rolls:

Post-COVID push:

administration or me to do that. It’s about organized

“We can’t continue to extend unemployment benefits

labor. That’s their role and responsibility to do. But I

and not to get our economy back up and going.

do think the Labor Department has an opportunity to

People need to be safe in their work site. I’m a former

have a bigger role. There’s an administration now in

construction worker, and safety needs to be the No. 1

Washington that is labor-friendly.”

“I don’t necessarily think it’s up to the

priority, not just in construction, but also all across the different industries all throughout our country.”

ON THE LEVEL:

S P R I N G 2 0 2 1 Q U A RT E R LY P U B L I C AT I O N

ON THE LEVEL:

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Understand Your Rights when it Comes to “Pre-Bid Documents” By Michael E. Catania A mechanical contractor recently

More importantly, the contractor

sued the City of New York to recover

maintained that its pre-bid documents

damages on a public works project.

and bid estimates included confiden-

The contractor claimed it was supplied

tial information and trade secrets, such

with “incomplete and inaccurate

as how it put together and priced bids.

contract documents causing delays

If forced to disclose this information,

and a two-year extension of the

the contractor’s competitors would

Project.” These delays resulted in

gain an unfair competitive advantage

over $15.7 million in added costs to

on future bids.

the contractor.

In the end, the court was not

During discovery, NYC demanded

impressed with either argument and

that the contractor turnover all

ruled that all Pre-Bid Documents had

“Pre-Bid documents and estimates.”

to be disclosed. WDF, Inc. v. City of

This request was not limited to bid

New York No. 652478/2019 (N.Y.

documents received or issued during

Sup. Ct. Mar. 12, 2021).

Michael Catania is a Managing Partner with Catania, Mahon & Rider, PLLC and head of the Construction Practice Group. mcatania@cmmrlegal.com NEW LOCATION: Catania, Mahon & Rider are now in their new offices in the historic Powder Creek Mill building at 641 Broadway in Newburgh.

the RFP process, i.e., RFI’s and pre-bid meeting minutes. Instead, it required the contractor to turn over any all documents and information used to prepare its bid, including preliminary budgets, schedules, take offs, internal communications, etc.

The Takeaway DOCUMENT RETENTION Make sure your company has, and enforces, a robust document retention policy. Further consider whether pre-bid documentation

Not surprisingly, the contractor

should be covered under such a policy. In the case above, what if

refused to hand over these documents.

the contractor lost, destroyed or otherwise was unable to produce

It argued that the requested documents

the pre-bid documents? It could have faced a spoliation of

were irrelevant, and thus not dis-

evidence motion, the consequences of which may have placed its

coverable. The contractor’s original

entire claim in serious jeopardy.

anticipated budget, its planned allocation of resources and its anticipated O/P (Overhead and Profit) were tied into the originally agreed upon contract time. These items simply had no bearing on the actual costs and extended general conditions incurred by the contractor as a result

CONFIDENTIALITY/ NON-DISCLOSURE If you are forced to disclose information that you believe is confidential or will give a competitor an unfair advantage, you can always request and/or move for a confidentiality order. These are fairly common in commercial cases and will generally protect your trade-secrets from entering the public domain.

of the 2-year delay.

ON THE LEVEL:

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ON THE LEVEL:

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Economists Offer Insight into Construction Outlook for 2021 By Barry Lewis, Vice President of Communications for CCA

he construction industry added more than $900

“Construction has yet to experience the greatest downward

billion to the US economy in the first quarter of

pressure from the pandemic. After hitting a post-pandemic

2020—its highest level since the 2008 recession.

spending high in December, spending and jobs losses

It employed 7.64 million people in February 2020, also the highest levels since 2008. Then, COVID-19 reached the United States, causing the industry to lose $60.9 billion in GDP and decreasing total jobs to roughly 6.5 million, effectively wiping out two years of GDP gains and four years of job gains.

won’t hit bottom until 2022,” said Zarenski. The American Institute of Architects consensus forecast for 2021 states there will be a 5.7 percent decrease in total nonresidential construction spending and a 7.1 percent decline in overall commercial construction spending. The hardest hit sectors will be hotels, with a 20.2 percent

Ed Zarenski of Construction Analytics said by far the

projected decline, followed by a 12.6 percent decrease in

greatest impact of the pandemic on construction is the

amusement and recreation, and a 9.3 percent decrease for

massive reduction in new nonresidential construction starts

office construction spending.

in 2020 that will reduce spending and jobs in that sector for at least the next two years. 36

ON THE LEVEL:

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Economists Offer Insight into Construction Outlook for 2021 spending is projected to rise by 3.1 percent in 2022. AIA Chief Economist Kermit Baker said there will likely be considerable pent-up demand for nonresidential space that will lead to the anticipated 2022 growth. That sentiment is shared by the Associated Builders and Contractors’ Chief Economist Anirban Basu, who said, “Though nonresidential construction spending has continued to recede for the better part of a year, the growing consensus is that the next six months will be a period of improvement.” He adds, “While backlog is down substantially from its January 2020 level and profit margins remain under pressure, more than half of contractors expect sales to rise over the next six months and nearly half expect to increase staffing levels.” Basu said the anticipation is that the second half of the year will be spectacular for the U.S. economy from a growth perspective, which will help lift industry fortunes as 2022 approaches. But he notes there are also public health and supply chain considerations. “During the COVID-19 pandemic, many contractors experienced repeated interruptions in project work. Acquiring key materials and equipment has also become more difficult, with occasional price shocks for certain commodities. With vaccinations proceeding apace, many contractors will benefit from fewer interruptions going forward and the restart of many postponed projects.” blewis@ccahv.com

Retail and other commercial sectors are projected to decline by 3.5 percent. The total industrial construction spending for 2021 is expected to see a 4.5 percent decrease. Among the institutional sectors, construction spending is projected to decrease 4.0 percent overall, with religious projects seeing a 6.7 percent decrease and education a 3.9 percent reduction. The good news from the AIA Consensus Construction Forecast Panel, comprising leading economic forecasters, is that overall nonresidential construction ON THE LEVEL:

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Prepares to Open its Doors in the Coming Months By Barry Lewis, Vice President of Communications for CCA

ON THE LEVEL:

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Legoland Prepares to Open its Doors in the Coming Months

LEGOLAND New York expects to welcome its first customers later this year, some two years after first foundation was poured on the $500 million theme park located in the Town of Goshen. he first major theme park to be built in the Northeast in decades was scheduled to open last July 4, but its United Kingdom-based owner, Merlin Entertainments, delayed the opening after New York State paused all construction for a period due to the global pandemic. “We always put the experience of guests first,” said LEGOLAND spokesperson Matt Besterman. “We don’t just want to be open; we want to make sure it’s the experience our guests are expecting. Make sure we are really able to deliver that, that’s why we chose to delay until 2021 rather than delay just a few months. Let’s take the time and make it the immersible experience that we want it to be.” More than 400 construction workers from multiple trades are at the site, located off a new state Route 17 Exit 125. Besterman said the park has met state safety requirements including enhanced air filters for all the indoor areas and will screen, check temperatures and collect contact-tracing information for every park-goer. continued...

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LEGOLAND Prepares to Open its Doors in the Coming Months

This is about building, about learning together. It’s about doing stuff together. It really will be a family experience.”

“What we’re building here is the ultimate LEGOLAND theme park destination. Once you pass under that entrance arch, you’re going to go on a journey through seven different lands that are all themed to different kinds of LEGO sets,” said Besterman. The scope of the park is designed for kids 2-12 and their families, but as Besterman notes, the rides and attractions are designed for the family to experience them together. “Everything is interactive, it’s meant to be a hands-on experience. This takes us beyond a lot of theme parks,

WATCH THE VIDEO:

https://www.ccahv.com/cca/legoland-readies-to-open-its-doors/

where you get on a ride and the ride sort of happens to you.” 40

ON THE LEVEL:

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LEGOLAND Prepares to Open its Doors in the Coming Months

LEGOLAND BY THE NUMBERS: • The Resort will feature 15,000 LEGO models, containing 30 million LEGO bricks. • LEGOLAND New York Resort will offer a 250-room hotel. •

LEGOLAND New York Resort will occupy 150 acres of a more than 500-acre site. A further 150 acres will be permanently preserved to create a natural buffer around the Resort, giving guests the experience of a “Park within a park.”

LEGOLAND New York Resort will take guests on a journey through seven LEGO themed lands: Brick Street The beginning of the LEGOLAND New York experience. Guests pass under the iconic arch and into a world that appears to be built of LEGO bricks! Bricktopia The land with no rules, where guests can build anything they can imagine. Here, guests can experience the brand-new LEGO Factory Adventure Ride, exclusive to LEGOLAND New York! Professor Brick’s latest “experiment” will take riders on a madcap journey through a fantastical LEGO factory – and transform them into Minifigures! LEGO NINJAGO® World In this land, aspiring ninjas can master the ancient art of Spinjitzu. Guests start in Training Camp, and progress to LEGO NINJAGO: The Ride, where they can help defeat the Great Devourer using only their hands as weapons!

The First Presbyterian Church in Goshen built with LEGOs

LEGO City A bustling metropolis of Minifigures, LEGO City features Driving School, one of LEGOLAND Park’s most popular rides, where kids can receive their official LEGOLAND driver license! LEGO Pirate The place for young buccaneers to find adventure! With Splash Battle, Anchors Away! and Rogue Riders, LEGO® Pirates is the place to get wet! Miniland The heart of every LEGOLAND® theme park, Miniland contains a massive panorama of animated, interactive LEGO built cities from across the country. LEGOLAND New York’s Miniland will spotlight New York City, with landmarks including the Statue of Liberty, the Empire State Building, Yankee Stadium and Citifield!

LEGO Castle The home of the LEGO Castle! This land features the Dragon, LEGOLAND’s signature roller coaster, which is sized for a child’s first coaster experience. For younger riders, Dragon’s Apprentice offers the chance to help a flock of baby dragons learn to fly!

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Local 754 Rockland County, NY Stephen Reich Business Manager Kenneth Lewis President

Lorenzo Henderson Vice President

Kevin Wagner Recording Secretary

Robert Bonomolo Secretary Treasurer

Bradley Ashford Sergeant at Arms

Executive Board Members: Joseph Coskey Brian Barbera, Jr.

215 Old Nyack Turnpike Chestnut Ridge, NY 10977 Phone 845-425-5073 www.local754.com

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IRONWORKERS Local Union 417 Newburgh, NY 583 Route 32 Wallkill, NY 12589 Telephone: 845-566-8417 Fax: 845-566-8420 www.ironworkers417.org

Michael Gaydos, Business Manager/FST Matthew Stoddard, President/BA Michael Dunn, Vice President Keith Eisgruber, Recording Secretary

EXECUTIVE COMMITTEE Brian Fries James Gardner III James Hubbard James McGrath John McGuire

BOARD OF TRUSTEES Mark Gaydos Christopher Kunze Richard Schroder

BUILDING THE HUDSON VALLEY SINCE 1927

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BARRETT INC.

ROOFING & SHEET METAL CONTRACTORS 106 Mill Plain Road, Danbury, CT 06811 www.barrettroofing.com

EPDM Roofing TPO Roofing PVC Roofing Shingle Roofing Slate Roofing Tile Roofing Hot & Cold Modified Bitumen Roofing Hot & Cold Fluid-Applied Roofing & Restoration Roof & Wall Coating Systems Green Roofing Waterproofing Paver & Pedestal Systems Metal Roofing Metal Wall Panels and Related Façade Systems Architectural Sheet Metal Fabrication & Installation

Service and Maintenance

Barrett offers a full line of commercial roofing services. Quality and Service since 1934!

Please Call or Email for an Estimate (203) 744-2780 estimating@barrettroofing.com

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A full service law firm serving businesses and business owners in the Hudson Valley and Capital Region since 1971

CONSTRUCTION SERVICES

CORPORATE SERVICES

Contract Drafting, Negotiation and Review AIA, Consensus Docs, EJCDC, State/Agency Specific Insurance Review (IRMI Certified)

Acquisitions, Sales and Mergers

Construction Dispute Resolution Payment Disputes/Delay Damages Wrongful Termination Mechanics Liens and Payment Bond Claims

Financing

MWBE/DBE Certification and Compliance Utilization Plans, Waiver Requests

Trademarks and Copyrights

Contact Michael Catania at mcatania@cmrlaw.com

Business Succession Planning and Estate Planning

Commercial Transactions and Leasing Employment Law and Regulatory Compliance

Corporate Governance Contact Michelle Rider at mrider@cmrlaw.com

CMRLAW.COM• 1 CORWIN COURT NEWBURGH, NEW YORK 12550• (845) 565 - 1100 ON THE LEVEL:

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What are Mass Timber Buildings and Why They are Important? Rick Alfandre, AIA LEED AP BD+C Alfandre Architecture, PC alfandre.com 845.255.4774 ralfandre@alfandre.com

Mass Timber construction systems are becoming increasingly popular as a creative and cost-efficient way to build. All professionals working in the building trades should become familiar with the concepts of mass timber construction. Mass timber buildings are aesthetically pleasing, structurally innovative and are a great way to build sustainably.

While many of us have built structures with heavy timber,

stability. Mass timber is a strong, low-carbon alternative

Mass Timber takes building with wood to new heights,

to concrete and steel. Mass timber building designs are

literally. It is important for all commercial contractors to

pioneering better places for us to live and work, and new

be aware of Mass Timber as this relatively new system for

code changes that were passed for the 2021 code cycle

building is, probably, coming to our marketplace soon and

that allow mass timber buildings up to 18 stories tall.

can revolutionize how America builds.

Mass timber buildings use solid or engineered wood,

It is comprised of multiple solid wood panels glued or

such as glue laminated timbers, cross-laminated timber

nailed together, which provide exceptional strength and

panels and mass plywood panels, for their primary

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What are Mass Timber Buildings and Why They are Important?

load-bearing structure including beams, columns, floor plates roof plates and exterior wall panels. A relatively new set of advanced building systems, mass timber developments offer many benefits when compared to buildings constructed with other load-bearing material: They can be built on faster timelines. Faster timelines save on construction financing costs and allow for faster income from the buildings. Savings on materials and labor as well as a reduced construction schedule allow them to be built for lower cost. A high level of quality with factory-built components. Greater flexibility in the design of building components Buildings constructed of heavy glue laminated timber columns and beams with cross laminated (CLT) timber floors, walls and roof decks are becoming more commonplace. Carbon12, in Portland Oregon, was completed in 2018. It is an 8-story mixed use building constructed of CLT.

With responsible forest management, they can improve sustainability by sequestering carbon dioxide rather than emitting it. They can catalyze an entirely new market in the green economy, creating well-paying jobs in cities as well as rural communities. They offer improved safety for construction workers, residents, and commercial tenants. They provide a unique aesthetic that sets them apart from other construction materials. The potential to expose the structural systems easily and beautifully. Wood stores and sequesters atmospheric carbon. It is truly an environmentally friendly, green building, material. Challenges include a more front-loaded, manufacturing-oriented approach to integrated design that requires teams of architects, engineers, contractors, and manufacturers to work closely together, and at higher levels of detail resolution.

The 18-story mixed use Mjøstårnet in Norway became the world’s tallest timber building in 2019.

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The 87,000 square foot John W. Oliver Design Building at the University of Massachusetts Amherst is another example of a recent finished and regionally significant mass timber building.

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International Union of Operating Engineers Local 137

JEFF LOUGHLIN WAYNE HELLER JAMES SASSO JOHN MCGILL JOE SCHNEIDER DANIEL FENYO MICHAEL MILLER

BUSINESS MANAGER PRESIDENT VICE PRESIDENT/BUS. AGENT RECORDING CORR. SECRETARY TREASURER FINANCIAL SECRETARY BUSINESS AGENT

Executive Board John Belardi – Ronald Burgess – Rocco Miceli – Michael Miller David Ryan - Rocco Sanseverino

1360 Pleasantville Road Briarcliff Manor, NY 10510 (914)762-0600 48

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Resorts World Plans to Revitalize Old Mall with New Gambling Hall Hundreds of Union Jobs, Millions in Economic Benefits Headed to Area By Barry Lewis, Vice President of Communications for CCA

he casino operators who run Resorts World

down at Resorts World NYC in Queens,” said Meghan

Catskills in Sullivan County plan to open a

Taylor, vice president of governmental affairs & public

new gambling hall with 1,300 video gaming

relations for Resorts World Casino New York City and

machines in part of the Newburgh Mall. That move

Catskills. “We are working with Todd Dioiro and others

would position what could be a major player in the

with the trades to negotiate on a PLA that will be signed

gaming industry at the nexus of two interstate highways.

prior to construction.”

The new operation would employ 200 to 225 full-time

Taylor said there will be a focus on labor not only on

workers. Roughly 200 construction workers would

the construction side but operationally as well.

labor on the $32 million project to turn a 90,000square-foot section of the indoor mall into Resorts World Hudson Valley.

“We are going to set up different job fairs and work with our local surrounding colleges, whether that is

“The majority of those jobs will be union jobs with the

SUNY Orange, Mount Saint Mary, other colleges to

hotel trades union, which we have a fantastic relation

ensure local students and residents to make sure that or

with our employees at Resorts World Catskills and

local folks are getting to work here, said Taylor.”

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Resorts World Plans to Revitalize Old Mall with New Gambling Hall She added that the average annual salaries will be around $72,000 inclusive of salary and benefits for the fulltime workers. Robert DeSalvio, president of parent company Genting Americas East, predicted the gambling hall would super-charge a struggling 40-year-old mall that he said had 17 vacant store spaces when he last toured it. Since the casino will have no restaurants, gamblers will likely stream into the mall for meals, he said. The space had been a Bon-Ton department store and has been occupied since Aug. 1 by a Jennifer Furniture outlet. The Newburgh Mall is located on Route 300, next to the interchange where the Thruway and I-84 meet and bordered on two sides by the interstates. Resorts World had chosen that mall location after dropping its initial plans to build a video gaming parlor at the former Nepera

WATCH THE VIDEO:

https://www.ccahv.com/cca/resorts-world-to-revitalize-old-mall-withnew-gambling-hall/

Taylor said Resorts World has asked the Newburgh Town Board to adjust its zoning to accommodate the project by adding licensed gaming facilities to the list of acceptable businesses in that area. The Town Board has scheduled an April 12 public hearing on the zoning amendment.

chemical plant site in Harriman, partly to spur a cleanup

Taylor said Resorts World is hoping for town approvals

of the site and replenish the lost property-tax revenue.

sometime this summer, and to then immediately start

The company has been authorized by the state since 2019 to open an Orange County facility to house the electronic slot machines that previously were licensed at

construction which is expected to take between six months to a year to build out the facility. blewis@ccahv.com

Monticello Raceway.

Town of Newburgh Will Receive $3 Million a Year in Host Benefits: Community Benefit Payment: • $1,000,000 - To be used by the Town for any municipal purpose. • 5 percent increase every 10 years.

Town of Newburgh Public Safety Fund: • $500,000 to enhance public safety initiatives that are vital to the town’s stated goals to protect and assist its citizens. • 5 percent increase every 10 years.

Special/Vital Projects Fund: • $1,500,000 to be used to support vital community projects throughout Orange County, including the Town of Newburgh. • 5 percent increase every 10 years.

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Business and Labor Leaders See a Bright Future in Post-Pandemic World By Barry Lewis, Vice President of Communications for CCA

n a show of confidence that the construction

trades and contractors to come together and share not

industry is ready to pump up the region’s economy

only their concerns about the construction industry

in 2021, more than 40 business executives, labor

but also the tremendous opportunities in our region

leaders and development officials gathered for the

in 2021 and beyond,” said Alan Seidman, executive

Mid-Hudson Valley Construction Industry Mid-Winter

director of the CCA. “All of us were impacted by

Meeting to discuss the impact of the global pandemic

what happened in 2020. But at the same time there

and the swell of public-sector and private-development

are public and private work projects that are either

projects breaking out this year.

currently under construction or are about to break

Organized by the Construction Contractors Association of the Hudson Valley, the meeting on February

out this year that will spur economic activity in the coming months and years ahead.”

22-26 at the JW Marriott on Marco Island attracted

Seidman added, “We can’t lose sight on how important

a coalition of labor-management officials as well as

it is that we attract developers and companies to the

economic development leaders and advisors from

Hudson Valley who will add to our tax base, provide

several financial firms to discuss the challenges that

union construction jobs today and create economic

contracting companies and unions face in 2021.

opportunities for future generations. The message that

“Given the economic turmoil over the past year it was really important for members of our local building

came out of our joint labor-management meeting is that we must continue to educate the public on the need for smart economic growth.”

Meghan Taylor, Vice President of Governmental Affairs & Public Relations for Resorts World Casino talked about the untapped potential of Resorts World Catskill and the $32 million construction plans in 2021 for a Resorts World Hudson Valley with slot machines in the Newburgh Mall. 52

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Business and Labor Leaders See Bright Future in Post-Pandemic World

THANK YOU SPONSORS: BNY/Mellon Laborers Local 17 Richard Maresca of Atalanta Sosnoff Capital, left, with Stephen Reich, Business Manager for Rockland County Building Trades and Laborers Local 754, during a discussion on how the pandemic impacted the financial markets.

Todd Diorio, business manager

and economic development experts

of Labors Local 17 and president

including former New York State

of the Hudson Valley Building

Sen. David Carlucci and Orange

& Construction Trades Council

County Partnership President and

of Newburgh began the opening

CEO Maureen Halahan who said

day meeting by noting that while

the business community needs to

warehouse construction remains

promote and support expansion

strong with projects like Amazon,

plans as well as new development.

there is are huge opportunities in the

She echoed the urgency for the

expanding energy sector.

public to understand the value of

“There is a big trend right now

growing the economy.

Laborers Local 754 Marshall & Sterling Advanced Testing Company The Affinity Group, LLC Hudson Valley Building

& Construction

Trades Council

Investment Performance Services SMACNA Southeastern NY Bricklayers 1 Bricklayers & Allied

Craftworkers Local 5

Labor/Mgt. Coalition

Graystone Consulting

towards solar, wind, hydro - we’re

“There are people who come

tracking all of them. There are

out against everything. We need

Holt Construction Corp.

about 100 renewable projects

to educate the whole Hudson

Ironworkers Local 417

in the Hudson Valley. There is a

Valley about the value of projects

tremendous opportunity for some of

like Danskammer, Amazon and

Merrill Lynch

our contractors to go after these solar

Legoland. What it means to their

projects right now.”

future, what those taxes mean in

Despite the impact that COVID-19 had on the economy, Diorio said man-hours in 2020 was way above

payments to their school districts. All those things of value.” blewis@ccahv.com

- Fischer Group

Sierra Investment Partners Karen Taphorn

-Howard Hanna Realty

Graystone Consulting

– Longo Group

Atalanta Sosnoff

the five-year average. “We’ve seen six straight years of million plus man hours. That goes to show we’re still maintaining a lot of the market there’s still work out there that we are getting,” said Diorio.” The second day of the meeting including presentations by legislative Former NYS Sen. David Carlucci shared his insight into government politics. ON THE LEVEL:

Nicholas Preddice, left, and Kevin DeHond of the Affinity Group talk about financial planning and the options available for investors.

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Need to Know: Substantial Completion Bill By Susan Howell

Ah, substantial completion. Practically speaking, it occurs when there’s only minor, corrective, or warranty work remaining for a project. But you and your team know it means a sigh of relief, and cause for celebration. Why? Because payday is on the way! It also sets the timeline for liabilities, warranties, and corrective work, which is crucial. Under the New York State Finance Law and General Municipal Law, reaching this milestone triggers the reduction of retainage from 5 percent to two times the value of the punch list. As you may be aware, on December 15, 2020, Governor Cuomo signed S.7664/A.9117, the Empire State Subcontractors Association’s “Substantial Completion” bill, into law.

What does this mean for you and your business? This bill is a win for contractors (and by extension subcontractors) because it will ensure contractors on public works receive their retainage in a timely manner and will also prevent public owners from prolonging a project’s final completion. The new legislation will require public works contracts to define substantial completion and require public owners to provide the prime contractor with a complete punch list no later than 45 business days after substantial completion has been reached. The prime contractor, in turn, must

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provide subcontractors with their portions of the punch list within 7 days thereafter. So, in essence, public owners will no longer be able to drag out the procedure for generating punch list items for many months or even years, long after a building is occupied and being utilized for its intended purpose.

Susan Howell, CPA, is a partner with RBT CPA’s and is a leader in the firm’s Construction Industry Practice. She can be reached at 845-485-5510 Ext. 227 or at slhowell@rbtcpas.com

While some of the timing language was kept in, Cuomo “secured an agreement with the legislature to make certain technical changes to the bill, allowing public owner contracts to retain their distinct definition of substantial completion.” This was something the Governor’s Office apparently would not budge on because Cuomo wanted to retain flexibility for state agencies and other public owners to have their own definition of “substantial completion” in their contracts. Is that ideal for you and your business? Rarely, anything is in life, or politics.

been written for their protection,” says Mike Misenheimer, Executive Director of the Northeastern Subcontractors Association. Misenheimer describes a few state laws contractors should familiarize themselves with to protect their business including the prompt payment laws for both public and private commercial construction projects, statutory limitations on the amount of retainage that may be held, their lien rights, and the trust provisions of Article 3-A of the Lien Law.

But ultimately, while the final agreement led to the removal of the language defining substantial completion in the legislation, new language was added to clarify that substantial completion should be defined by public owners in their contracts. At the end of the day, this bill still represents a key improvement in the law regarding the reduction and release of retainage on public projects, a win for contractors.

These are particularly challenging economic times, but even in a booming economy, getting paid for work performed remains one of the biggest construction industry challenges. Often, contractors who are struggling to get paid do not fully understand their statutory rights to prompt payment, therefore they don’t exercise their rights properly.

“I would encourage contractors to gain a better understanding of the laws here in New York that have

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Laborers Local 235

Skilled Laborers Quality Workmanship Safety & Dependability Dario Boccarossa

Business Manager/Secretary Treasurer

914-592-3020

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NEW MEMBERS

Beam Enterprises, Inc. is a general contractor specializing in asbestos abatement, demolition and masonry. The firm’s president, Brian Evans can be reached at 914-617-7699 or jeanna@beamenterprisesinc.com. The firm is located at 3 Contorino Way, Building #2, Chester NY.

Butler Construction Group is a site and trucking contractor located in Montgomery, NY. You can reach Eric Butler, president of the firm, at 845-769-7413 or ebutler@butlerconstructiongroup.com.

B. Miller Masonry, Inc. is a masonry contractor specializing in brick, block, and stone. Located at 275 Union Street, Montgomery NY, Bill Miller is the firm’s president and can be reached at 845-769-7233 or BillMiller@B.MillerMasonry.com.

Ductmate Industries, Inc. is one of the largest HVAC connector, component, and accessories manufacture in North America. John Sornio is the Chapter Manager in our region that extends from Virginia to Maine. You can reach John at 240-626-1394 or jsorna@ductmate.com.

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Milliman, Inc., founded in 1947, is an independent risk management, benefits, and technology firm with offices in major cities around the globe. They serve business, financial, government, union, education, and nonprofit organizations. For more information, contact David Stoddard at 646-473-3213, David.stoddard@milliman. com or www.milliman.com. Stoddard’s office is located at 150 Clove Road, 10th Floor, Little Falls, NJ.

Nexgen Protection Services, LLC. is a full service security and private investigations agency based out of Florida, NY. With over 20 years of combined investigative experience, Nexgen Protection has the resources necessary to obtain the information that clients need to make educated decisions. Frank Costa, President and Chief Protection Officer can be reached at 845-248-1191 or frank.costa@nexgenpi.com. For additional information www.nexgenpi.com.

United Spray, LLC is a spray foam insulation contractor specializing in fireproofing, spray acoustic and spray foam. Zachary Adams, a managing member can be reached at 845-829-2688 or zadams@unitedspray.com. The firm is located at 3 Contorino Way, Building #1, Chester NY.

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MILESTONES

Helmer-Cronin Construction, Inc. and Holt Construction Corp. both mark 50 years as members of Construction Contractors Association of the Hudson Valley this year. Helmer and Holt came to the Association with the

William Helmer, president of Stony Point-based

merger of Contractors & Suppliers Association of

Helmer-Cronin, founded in 1961, served as chairman

Rockland County and CCA in 1971. Both firms have

of the CCA Board 1990 – 1991. Jack Holt is

been active and supportive members of CCA with

president of the century-old Holt Construction based

their presidents lending their leadership serving on

in Pearl River. Jack served as chairman of the CCA

the Board of Directors of CCA.

Board from 1979 – 1980 and 1986 – 1987.

We thank Helmer-Cronin Construction and Holt Construction Corp. for their long-time membership, leadership, and support of the Association. www.helmercronin.com

www.holtcc.com

45 Years as a CCA Member:

30 Years as a CCA Member:

Olori Crane Service, Inc.

RBT CPAs

Schumacher Systems, Inc.

Nanuet, NY

Newburgh NY

Callicoon, NY

www.oloricrane.com

www.rbtcpas.com

www.schumachersystems.com

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FROM THE OFFICERS & MEMBERS OF LOCAL 21

BUSINESS MANAGER

RON DIAZ

BUSINESS AGENTS THOMAS CAREY SEAN CAREY JOSEPH DULLEA THOMAS O’BRIEN PRESIDENT John Stalker

VICE PRESIDENT Don Calabrese

EXECUTIVE BOARD Nick Cassetta Joe Molella Mike Sweeney Mike Zottola Paul Abbatello

FINANCE COMMITTEE James Buckley

Paul Cancellaro

EXAMINING BOARD Larry Muir Frank DeJesus John Ellis Sean Nickerson INSIDE GUARD Anthony Maselli

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LARRY STURGIS, SMACNA EXECUTIVE DIES AT 84 Lawrence J. Sturgis, former Vice President of Wolff & Munier, Inc. and Executive Vice President of SMACNA (Sheet Metal & Air Conditioning Contractors of Southeastern NY), died on March 7, 2021 surrounded by his family. He was 84. Known to his friends as Larry, he was born in Brooklyn, NY and attended Erasmus Hall High School. Instead of going to college on a football scholarship he joined the Army in 1956. Once back from serving he worked on Wall Street and later finished his education at City College of

“Larry was a consummate gentleman, a kind and

NY and pursued a career in the mechanical contracting

caring man,” said Alan Seidman, Executive Director of the

field. He started his sheet metal shop in Hastings then on to

Construction Contractors Association and current

Wolff & Munier, Inc where he was a project manager and

Executive Vice President of SMACNA Southeastern NY.

VP, to ending his work journey at SMACNA. These talents served him and the association well until the age of 80 years old, when he retired.

Larry is predeceased by two sons. He is survived by his wife Mary of 59 years, and 2 daughters.

IN MEMORIAM As we go through life, we meet some very special people,

stayed in touch, answering any questions and giving advice

people who make a special impression on us. Our industry

when asked. So knowledgeable in the industry...

recently lost a leader and a special man. Larry Sturgis was my predecessor as the Chapter Executive of our SMACNA Chapter. I recall meeting Larry about 12 years ago when I started at CCA. I was invited to be a speaker at their dinner. Immediately I was impressed by what a true gentleman Larry was.

Larry had so many friends in the industry. Whenever I attended a regional or national SMACNA meeting, people would ask how he was doing and wish him well. Larry was a true leader in our industry and an even more dedicated family man! To Mary and the rest of Larry’s family, I can only tell you of the admiration and respect he

When Larry retired and I was selected to take over his

earned. What a kind and gentle soul! May his memory be

Chapter duties, I got to know Larry and Mary. They were

for a blessing!

both so dedicated to make sure the transition went well and there were to be no glitches. Larry continued to be active as long as his health let him. He attended meetings and

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—

Alan Seidman

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THE SEASON OF GIVING The annual CCA holiday event and charity drive had to be cancelled due to the coronavirus pandemic but that did not prevent Association members and building trade partners from donating more than $15,000 to regional charities. CCA Executive Director Alan Seidman presents a check to Bill Vacca, Chairman of the Board of Directors of Food Bank of the Hudson Valley. CCA Vice President of Communications Barry Lewis delivers a check to Dan Grady, President and CEO of Hospice of Orange & Sullivan Counties. A third check was sent to the Make-A-Wish Foundation of the Hudson Valley.

CARPENTERS AID FAMILY Thank you to Bill Banfield, Asst. Exec Secretary Treasurer, North Atlantic Regional Council of Carpenters who helped arrange for Nelson Aguilar, Francisco Esparza and Raul Castro from Local 197 of the Eastern Atlantic States Regional Council of Carpenters to help a family in need. The men contributed their time and expertise to help make life a little easier for a young girl and her family. The men volunteered to help build a ramp for a 3-year-old girl who was born with a very rare medical condition whose lower limbs had to be amputated in 2019 to save her life. The men also helped ease a tremendous financial and emotional burden on the girl’s mom, an active-duty U.S. Marine previously stationed at Stewart who is working hard to raise her family while serving our country. A special thank you to generous CCA members who contributed financially to help construct a play yard for this special young lady. If you would like information on how to contribute call Alan Seidman at 845-562-4280. ON THE LEVEL:

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Vaccination Creates New Challenge for Employers By Robin Seidman Robin Seidman specializes in NYS Sexual Harassment training and general HR policy and procedures. robin@rjshrsolutionsllc.com

Some common accommodations to consider: • Allowing the employee to work remotely • Granting a leave

It has been over a year since COVID turned

• Requiring double masking

our personal and business lives upside down.

• Changing the employee’s hours or work location that minimizes the risk to colleagues

As the virus hunkered down in our midst, we began implementing changes (mandatory and voluntary) that allowed our businesses to continue in the new world. Today, masks, social distancing and hand sanitizers are part of our daily routines and most employees are not only comfortable returning to the business environment but appreciating the camaraderie and interactions that come with the in-person job. There is a new challenge now and it is called the COVID vaccine. More accurately, the challenge is how do employers manage the workplace when some workers welcome vaccination, but others are refusing to consider getting the shot for personal or health reasons. With an increasing number of vaccination doses now being rolled out to the public, the issue moves to the head of the line for decisions an employer must make. The question is: can a business owner require employees to be vaccinated before returning to the workplace? Unfortunately, there is no clear-cut answer to the question and the government has kept its guidance broad so it will take the expected lawsuits and anticipated legislation over vaccine requirements before there is an answer that employers can hang their hats on. The Equal Employment Opportunity Commission (EEOC) Is the enforcer for workplace anti-discrimination laws including the Americans with Disabilities Act (ADA), the Rehabilitation Act, Title VII if the Civil Rights Act, and a few others. The EEOC does state that an employer can require vaccinations if it believes an un-vaccinated employee “could pose a direct threat to the health and safety of individuals in the workplace”. However, if this requirement tends to screen out employees with a disability or those who object to the vaccine for religious reasons, the EEOC suggests the employer should attempt to provide a reasonable accommodation.

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• Using plexiglass or other barriers to mitigate contact with other employees It may be helpful to visit https://askjan.org/topics/ COVID-19.cfm as a resource for different types of accommodations to consider. Business owners should consider a meeting with employees to explain why they prefer to have all employees vaccinated. As an example, the owner could say he wants to provide a safe and healthy working environment for the whole team as well as customers that are served. For those employees reluctant or refusing the vaccine for disability or sincerely held religious beliefs, the EEOC recommends an interactive process between the employer and employee to identify workplace accommodations and the options available that would not pose an undue hardship for the business. This conversation should be professional, empathetic and non- judgmental. Any health issues uncovered during the conversation must be kept confidential. Flexibility from both the employer and employee is key to this process. Reasonable accommodations do not have to be provided, according to the EEOC, if it would pose “an undue hardship” to the business. Before refusing to provide an accommodation, advice from a labor attorney may be worthwhile. Another factor for employers to consider is whether to provide the vaccines to employees either onsite or at an offsite location. This area is again a little murky because of ADA law. The questions that need to be asked before a vaccine is administered may trigger the ADA’s provision on disability-related inquiries. What that means is the employer would have to prove the questions are “job-related and consistent with business necessity.” If an employee refuses to answer the

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Vaccination Creates New Challenge for Employers questions, the employer cannot retaliate against the employee. However, according to the EEOC, “if an employee receives an employer-required vaccination from a third party that does not have a contract with the employer, such as a pharmacy or other health care provider, the ADA ‘job-related and consistent with business necessity’ restrictions on disability-related inquiries would not apply to the pre-vaccination medical screening questions.” Keep in mind that according to a NYS law signed in March of this year, employees are allowed paid leave of up to 4 hours per vaccine. Business owners have already shown their resiliency in dealing with the COVID threat in the workplace so that same resiliency should guide their decisions regarding vaccine requirements for employees. Being empathetic when speaking with employees, removing personal biases from the employee’s decision whether to get the vaccine, making reasonable accommodations if available and avoiding retaliatory actions should allow the business to continue to thrive without disrupting employee relationships. However, before taking any adverse action against an employee regarding the vaccine or lack thereof, the business owner would do well to consult with a labor attorney to avoid inadvertent consequences that may result in litigation.

With vaccination availability as well as eligibility changing constantly as well as the different requirements in each state, employers can use the following websites for the most up-to-date information: www.eeoc.gov/wysk/what-you-should-knowabout-covid-19-and-ada-rehabilitation-act-andother-eeo-laws www.cdc.gov/coronavirus/2019-ncov/whatsnew-all.html www.usnews.com/news/best-states/articles/ covid-19-vaccine-eligibility-by-state Additionally, employers should research individual state COVID information by visiting that state’s website.

Providing the calm after the storm

Since 1928

Helping contractors and businesses in New York with their insurance needs

Liability • Property • Workers’ Compensation • Surety Call us to review your insurance today!

380 Broadway

85 Civic Center Plaza

Newburgh, NY 12550 Poughkeepsie, NY 12601 845.561.1706

30 Scott’s Corners Dr. Montgomery, NY 12549

845.485.6300

845.561.1706

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EST. 1977

LaFarge North America Ravena, NY

Kartrite Indoor Water Park Monticello, NY

Butter Hill Water System New Windsor, NY

General Construction ● Design Build Concrete Contractors ● Tilt-Up Construction Clean Room Installations Commercial ● Industrial ● Institutional Health Care ● Municipal

Watchtower World Headquarters Warwick, NY

Washington Lake Filtration Plant Newburgh, NY

New Paltz Middle School New Paltz, NY

“Building Quality Projects with Local Skilled Tradesmen”

1540 Route 55 PO Box 10 LaGrangeville, NY 12540

www.darlindassociates.com

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Phone: (845) 223-5115 Fax: (845) 223-3721

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Have You Modernized your 401(k) Plan Structure? Fees can be reduced as standards evolve By Lon Birnholz Your 401(k) plan is an excellent tool to attract and retain employees, reduce your tax liability, and generate retirement savings for you and your staff. But as plan sponsor, the law requires you to carefully structure the plan and then monitor its compliance with relevant regulations. This can be daunting for small and medium-sized businesses to do on their own. Regulations require that you act as a fiduciary for the plan, that is, that the plan must be operated for the exclusive benefit of the participants and beneficiaries of plan. The process around the plan design and implementation is actually more important to regulators, though participants are probably more focused on their investment performance. The plan sponsor and trustees must act prudently and must hire an outside expert if they are not qualified as such. The plan’s administrator must adhere to the plan’s terms and design parameters, and the investments offered must allow participants to reasonably diversify if they so choose.

Has your company changed? What about your plan structure? Regulators pay critical attention to the level of administrative and investment fees paid by the plan, since the participants ultimately foot those bills. Expenses are an area that has changed dramatically over the years and have persistently come down in categories like trading commissions, investment advisory 68

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and other fees embedded within the investment products, revenue sharing, and administrative overhead. If your plan was created even just a few years ago or when your company was smaller, you may have selected a “one-stop shop” like an insurance provider as a matter of speed and convenience. But times have changed, and a refreshed plan can save you and your employees a lot of money from lower costs vs. old-style legacy plans – perhaps as much as 50 percent based on our experience. Your plan assets and/or employee headcount may have grown meaningfully, and so a more modern open-architecture solution probably makes more sense now. This approach can lower overall fees for the plan and participants, provide a more customized solution to meet any specific plan needs or objectives, ease administration, and allow a broader selection of cost-effective investment options.

Periodic Plan Reviews are Required Plan sponsors are required to periodically review the plan to ensure that the level of expenses is reasonable in the current environment and that its design is up-to-date with all the latest compliance requirements. And while the COVID pandemic created additional demands on your time and resources, it did not relieve you from performing your fiduciary duties.

Lon Birnholz is senior managing director for Matrix Asset Advisors, overseeing fixed income portfolio management and heads business development and client services activities. lon@matrixassetadvisors.com 212-486-2004

When was the last time your plan was reviewed for these factors? Does the plan structure align with your company’s goals? For example, recent regulatory guidance may allow for higher contributions and income deferrals by company owners, especially if the owners have aged faster than the average age of the company staff. This required plan benchmarking, examining its design and expense structure, must be performed every few years. If you haven’t had a formal plan review recently, you could be next in the line of lawsuits concerning neglect of fiduciary duties that have been recently filed against plan sponsors of all sizes. A good plan advisor should be able to help you explore ways to satisfy your obligations and take advantage of these newer opportunities to save money, good for both employees and sponsors/owners.

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North Atlantic States Regional Council of Carpenters

LOCAL 279 Serving Westchester, Rockland, Putnam, Dutchess, Orange, Ulster, Sullivan and Columbia Counties 10 Corporate Park Drive, Suite A, Hopewell Junction, NY 12533 Phone (845) 440-1024 Fax: (845) 202-7398 www.carpenterslu279.org

EXECUTIVE BOARD President – James Malcolm Vice President – Edward Cooke

Treasurer – Matt Ross

Recording Secretary – Scott Smith

Financial Secretary – Pedro Galaviz

Warden – Stephen Jones, Jr.

Conductor – Edmond Streich

Trustees: Danny Durham, Augusto Marciante, Kevin Smith

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Over 27 Years of Experience in All Phases of Masonry BUILT ON EXPERIENCE AND TRUST Contact James McGowan 845.339.0329 jim@mcgowanmasonry.com 5 Railroad Avenue, Kingston, NY 12401 70

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Let Printeks bring your project to you! Our team of skilled technicians leverage leading technology to precisely capture data to help workflow efficiency resulting in greater profitability for your business.

RBT CPAs, LLP is your solution for all of your accounting, tax, and assurance needs. Make sure you are operating at peak financial efficiency by leaving your financial statements, internal auditing, and overall business analyses to us. Offices in Newburgh, Poughkeepsie, Wurtsboro & NYC

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Schedule a demo today! -Printeks.us.com -support@printeks.us.com -25 Wallkill Avenue Montgomery, New York 12549 -845-294-0877 ON THE LEVEL:

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DANSKAMMER ENERGY BEGINS NEXT PHASE OF APPLICATION PROCESS Danskammer Energy’s proposed $500 million gas-fired

of Newburgh plant only operates during times of peak

power plant in the Town of Newburgh cleared a major

electrical demand. The construction phase is expected

hurdle in March when New York State’s Siting Board

to take 2 ½ to 3 years and will employ some 450 highly

officially deemed its Article 10 application complete.

skilled union employees and create more than $50

As a result of the Board’s ruling, the company now starts

million in revenue over 20 years to local governments.

a 12-month period for public hearings, testimony and

Danskammer has agreed to pay the Marlboro school

briefs, at the end of which it will formally know the fate

district $700,000 over the lifetime of its four-year

of their project.

Community Benefit Agreement that began during the

Michelle Hook, Danskammer Energy’s Vice President of Public Affairs said the company looks forward to engaging with the community and stakeholders through the public comment phase of our review. “Our upgrade project has much to offer New York including cleaner air and lower energy prices,” said Hook. “Installing this new technology also opens the door for green hydrogen as a future source of power for the Hudson Valley. We want very much to be a part of New York’s clean energy future and this project would allow us to do just that.”

2019-2020 school year. The Town of Newburgh is receiving $200,000 annual payments under its CBA until 2024. These payments are in addition to Danskammer’s property and school taxes. “During this time, we look forward to hearing from community members about the project to ensure it most effectively meets the needs of all,” said company CEO Bill Reid (pictured above). “We remain confident in our project and appreciate the positive determination made by the Siting Board. We know an upgraded Danskammer will help New York meet its clean energy goals. It is still the best option for the environment and will help New York

Danskammer Energy first announced in 2018 that would

reduce its greenhouse gas emissions and transition to 100

seek state approval to modernize the existing River Road

percent carbon-free electricity in the coming decades.”

natural gas plant to run full-time. Right now, the Town 72

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blewis@ccahv.com

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JOIN THE CCA! For over 60 years the Construction Contractors Association of the Hudson Valley

has had a hand in almost every significant construction project across the region. With its strategy of providing quality management coupled with outstanding workmanship by highly skilled local labor, CCA is the right choice to get the job done right, on time and within budget.

Membership to the CCA includes: • Promote your business or company on all CCA social media platforms • Contact list of professional contractors, suppliers and service providers • Direct networking with our members at golf outings, lobster bake and holiday gathering • Availability of PPE supplies

Members can take advantage of our health insurance plans that offer: • Multiple plans to choose from • Favorable premium rates not available in the open market • Highly rated national insurance companies • Extensive lists of preferred providers

FOR MEMBERSHIP: Contact Alan Creais, Director of Member Services at 845-562-4280 or awcreais@ccahv.com

FOR ASSISTANCE WTH CCA HEALTH PLANS: Contact Robin Seidman at rseidman@ccahv.com or Millie Rodriguez at mrodriguez@ccahv.com

845-562-4280 ON THE LEVEL:

ccahv.com

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There’s a Long History Between Workers’ Compensation and Vaccines By Barry Lovell

accidental injury within the meaning of the Workers’ Compensation Law. The employer appealed.

Barry Lovell is the President of Lovell Safety Management Co., LLC. He can be reached at 212-709-8600 or blovell@lovellsafety.com.

If an employer requires vaccination against COVID or any other disease, and an employee suffers an adverse reaction, can the employee make a workers’ compensation claim? In December of 1928, the Milbank Convalescent Home for Boys brought in a physician to inoculate their residents against diphtheria, which was becoming epidemic in the nearby area. The Home also asked all their employees to also get vaccinated. Shortly after receiving the vaccination, one employee developed pain in his leg. He was admitted to Bellevue Hospital, where he was diagnosed with thromboangiitis obliterans, a rare disease in which blood vessels of the hands and feet become blocked. In this case it caused gangrene and ultimately resulted in the amputation of the leg. The handyman filed for workers compensation benefits, and the Workers’ Compensation Board found that the loss of the leg constituted an 74

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There was no dispute regarding causation and the medical link between the vaccination and the loss of the leg. The only question before the appellate court was whether the Workers’ Compensation Law covered adverse reactions from vaccines. With no precedents in New York State, the court looked to other jurisdictions where it found mixed rulings in similar circumstances where employers facilitated vaccination. The key factor in most decisions was whether the employer mandated vaccination, or if vaccination was voluntary, and was provided as a convenience in the workplace. As the employer effectively ordered the vaccination, the court affirmed the award of benefits to the handyman. Given the rarity of adverse reactions, and the clarity of the 1932 precedent, it is not surprising that there are not that many cases pertaining to adverse reactions from vaccines. In the early 1990’s however, the Board did have to address the question of what constituted a mandated vaccine, when an electrician at a GMC plant had an adverse reaction to a hepatitis vaccine. The vaccine was administered at the plant by the company

nurse because the claimant was joining the plant fire brigade. Since participation in the brigade was voluntary, the Board found that the vaccine itself was voluntary, and denied benefits. Less than a decade later, the Board ruled in favor of a claimant who also suffered an adverse reaction to the Hepatitis B vaccine. The vaccine was voluntary, but because it was administered at work, strongly recommended by her supervisor, and specifically protected the claimant from hazards particular to her work, the claimant was found to have suffered an accident within the meaning of the WC law. An employer who shies away from recommending vaccines to their employees because of the possibility of a workers’ compensation claim, however, is drawing the wrong lesson. Health authorities deem vaccination to be a public good. Even though we know a very small number of people might be harmed, most people benefit. The fact that workers’ compensation coverage might be available protects both the employer and employee. This circumstance is not unlike construction work itself: we know that try as we might, every year, some workers will be injured, but we need to continue to build and maintain our infrastructure.

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What about adverse reactions to COVID vaccines that occur outside of work? Congress enacted the Countermeasures Injury Compensation Program (CICP) as part of the 2005 PREP act. CICP provides medical and wage replacement benefits to people who suffer injuries as a result of any countermeasures recommended by the government in the middle of a health emergency. Vaccinations for COVID fall under this program. The CICP is also available to workers but is secondary to workers’ compensation.

From Albany to Buffalo, and Plattsburgh to Montauk, we represent the construction industry in

The Empire State

Couch White counselors and attorneys at law

Construction Contracts | Government Procurement & Contracting Construction Claims, Liens & Insurance | Mediation, Arbitration & Litigation Labor, Wage & Collective Bargaining | False Claims Act Defense

Experience. Success. albany, Saratoga Springs, New York City and Hartford, CT www.couchwhite.com | (518) 426-4600

Like workers’ compensation insurance, the CICP ensures that people who choose to do what is necessary for all of us to prosper will have the protection they need in the unlikely event of an injury. That should help all of us sleep a little better.

Serving the legal needs of the business community in the Hudson Valley for more than 75 years for profit and not-for-profit corporations, real estate, medical services, construction, trusts and estate planning, and local government 655 Little Britain Road New Windsor, NY 12553 ON THE LEVEL:

845-562-9100 www.riderweiner.com

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