On the Level: Winter 2022 by Anne Atchison

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

On the

LEVEL WINTER 2022

How the $1.2 Trillion Infrastructure Act Will Benefit the Hudson Valley

Widening Route 17 Project Gets a Big Push WAYS TO ELIMINATE WORKPLACE INJURIES

Construction Challenge BALANCING SURGING WORK WITH SUPPLY SHORTAGE

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INSIDE:

Unions, Contractors Laud $1.2 Trillion Infrastructure and Jobs Bill

Supply Chain Disruptions, Escalating Costs could Mean Feast or Famine for Construction Industry in 2022 Resorts World Begins Construction on New Mall Gambling Hall 36

Overuse Injuries in the Workplace Can Be Eased or Eliminated

LeChase Center to Train Workers to Contain Noise, Dust During Construction at Health Facilities

Stop Calling It “Estate” Planning when it’s Actually Family Planning

Thinking About Resigning? Think About Your Health Benefits

SMACNA Convention Focuses on Outreach and Awareness

What is a Net Zero Energy Building and Why it’s the Building of the Future

General Contractors Face New Liability Scrutiny for Wage Theft by Subcontractors

Economists See Positive Indicators for 2022 but Variables Could have an Impact

BOARD OF DIRECTORS Construction Contractors Association Mike Adams – President James McGowen – 1st Vice President Joseph Perez – Secretary & Treasurer Joseph Barone Roland Bloomer Dan Depew Scott Dianis Lou Doro Ira Gold Jay Harrison Robert Kaehler Alfred D. Torreggiani Charlotte Van Horn

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

Association Staff: Alan Seidman – Executive Director Barry Lewis – Vice President of Communications Millie Rodriguez – Executive Assistant Tracey Carbillano – Administrative Assistant

SMACNA of Southeastern NY Lou Doro – President James D‘Annibale – Vice President Daniel Harden – Treasurer Steve Mulholland – Secretary Richard K. Berg Dominick DiViesti Mark DiPasquale Walter “Chip” Greenwood William Haskell Dennis LaVopa, Jr.

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Advertising with us is a great way to showcase your brand to a wide variety of construction industry and business professionals including large construction companies and small equipment stores. It is circulated quarterly throughout the Hudson Valley, Catskills, and Southwest Connecticut and seen internationally via www.ccahv.com. On the LEVEL offers in-depth coverage and analysis of construction news, provides health and safety information, financial and economic insights, and authoritative comment from industry experts on laws and regulations affecting contractors. The Quarterly Construction Associations Contractors • Sheet Metal Publication of: & Roofing Contra ctors • Fabric ators Erecto rs & Reinforcing

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The CCA welcomes members and guests to a full schedule of direct networking events in 2022 while at the same time adhering to all safety guidelines.

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9/1/21 9:49 PM

DIRECTOR’S MESSAGE We need to face our challenges in 2022 with innovation and renewed determination. If we learned anything from the last two years, it is the need to embrace change. Change in 2022 is going to be rapid and we need to be ready. The issues facing our industry and how we do business, particularly in New York, are formidable: •

• • • • • • • • •

COVID has not gone away, and the result is global havoc, widespread illness and the loss of human life. Additionally, the pandemic is causing labor shortages, supply chain disruptions and debate over mandated vaccines and the repercussions of non-vaccinated workers on the jobsite. Productivity is suffering because of worker shortages. New York State Wage theft bill and the implications it may have for business owners. New York State Family Medical leave act is confusing and ever-changing. OSHA mandates can seem unreasonable in dealing with the pandemic. Technologyintheofficeandonthejobsiteischangingatincrediblespeed. Cyber Security is more important than ever. Non-Union competition is prevalent and undermining quality results. Cheating contractors continue to rear their ugly heads. Stock market volatility is affecting the private sector’s willingness to invest in new projects.

I think that might cover some of the challenges facing the construction industry that will keep many of us up at night. And there’s always that nagging thought of “what’s next?” While some may think this is depressing, I know that our members always overcome the challenges thrown at them. The members of our Associations, along with our Union leadership continually work together to address the issues and constantly communicate about how to jointly get over the roadblocks in front of us. Our membership is comprised of truly pro-active leaders, that look at each and every day as a chance to strategize to overcome the challenges.

Theobstacleswefaceareseenasopportunitiestofindthebestsolutions performance. There are times we must go out on a limb because that is where the fruit is. I look forward to coming to work each day because it is never boring. I’m guessing you feel the same. Here’s to overcoming the challenges and making 2022 a huge success!

Alan Seidman Alan Seidman Executive Director

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Unions, Contractors Laud $1.2 Trillion Infrastructure and Jobs Bill HV TO RECEIVE MILLIONS FOR MULTIPLE PROJECTS ON ROADS, BRIDGES, AIRPORTS By Barry Lewis, Vice President of Communications for CCA On November 15, 2021, President Joe Biden delivered

“prioritize Project Labor and Community Workforce

on a key part of his domestic agenda when he signed

Agreements” in doing so.

into law the Infrastructure Investment and Jobs Act, a $1.2 trillion infrastructure and jobs bill that contains an estimated $500 billion in new infrastructure spending and comprises $110 billion for improvements to roads and bridges.

“This law makes the most significant investment roads and bridges in the past 70 years,” Biden said during the bill signing at the White House. According to Moody’s Investors Service, IIJA could result

in a 5 percent increase in U.S. construction spending this In so doing, President Biden also fulfilled a major year, and another 5.5. percent increase in 2023. Those campaign promise to the building and construction growth rates would be about two percentage points higher trades unions that his administration would work to than the spending increases without the bill. “rebuild America’s crumbling infrastructure” and would 8

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W I N T E R 2 0 2 2 Q U A R T E R LY P U B L I C AT I O N

Unions, Contractors Laud $1.2 Trillion Infrastructure and Jobs Bill

An estimated $13 billion is expected to be channeled to New York, which has 1,702 bridges and 7,292 miles of roads rated in poor condition.

While it could take time for state and regional o to determine which projects should be the priorities, Rep. Sean Patrick Maloney says the sweeping deal would bring an unprecedented infusion of federal money to upgrade road and bridges, airports, public

“When President Biden announced his plans, for us to

transit, water systems and guarantee union jobs

hear that — it was nirvana,” says Greg Lalevee, business

throughout the Hudson Valley and the state.

manager of New Jersey’s Operating Engineers Local 825.

At a news conference on the Newburgh waterfront

“Youneedthefreeow fl ofgoods. Withtherise Amazon of and Internet shopping, trucking is more important than ever. You’re going to need these bridges, highways and

following the passage of the bill, Maloney was joined

local elected officials, contractor and labor le explaining that over the next five York years, New

byways. We’ll see the resurgence of rail too.”

will receive nearly $11 billion in transit funds for

The law is not a quick-hit stimulus package, according

MTA – including for critical repairs and funding of

to Brookings Institute analysis. Rather, it’s a longer-term investment, and much of the funding will

Metro-North – and over $150 million for electric vehicle charging infrastructure. He said while

billionof will be invested in the nation’s airports, be disbursed annually in set amounts for a$25 period five New York is likely to receive $1 billion of those funds. to 10 years. For many programs, the federal government will allocate funding to states, which will then dole out money to cities and towns, leaving prioritization of projects up to the

In the Hudson Valley, Stewart Airport would receive

$12.5 million and Orange County Airport would receive nearly $800,000.

Alan Executive Director of the Construction state’sdiscretion.Mostoftheprojectswill beSeidman, identified Contractors Association says the construction industry and and carried out through state and local government agencies, which may need to hire experts, build out new

theareawilltrulybenefitfromtheInfrastructure

programs, secure additional funds and more.

continued...

Rep. Sean Patrick Maloney details how the new Infrastructure and Jobs Act will benefit the Hudson Valley and local trades at a press conference along the Newburgh waterfront.

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continued... 9

Unions, Contractors Laud $1.2 Trillion Infrastructure and Jobs Bill

communities the chance to build more buildings. Correcting roads and bridges, obviously it brings work directly affected by that, but it also brings in different opportunities, possibly other facilities that will be built because of the infrastructure. For us it’s a win.” “This is all about infrastructure needs, putting people

Engineering firms agree that the new bill will add

back to work, hiring local contractors who hire out of

engineering and design services jobs. According to

the local union halls. I applaud the Congressman for

Linda Bauer Darr, President and CEO if the American

helping shepherd this bill through and for bringing some

Council of Engineering, “the Council’s analysis

of the money back to the Hudson Valley where it is

estimates IIJA will create more than 82,000 full- and

so desperately needed,” said Seidman, speaking at the

part-time jobs in engineering and design services,

press conference.

pushing annual sector output to $416 billion by 2026

“This is a historic leap forward into the 21st century

from $352 billion in 2021.”

for the United States,” said John Cooney, Jr., Executive

President Biden said the IIJA will “drive the creation

Director of the Construction Industry Council of

of good-paying union jobs,” and labor union leaders

Westchester and Hudson Valley, in Construction News.

lauded its passage. The vast majority of infrastructure

“The bipartisan infrastructure legislation recognizes the

act funds will be covered by the Davis-Bacon Act

unparalleled legacy of the massive investments we have

that requires contractors and subcontractors working

made in our nation’s transportation infrastructure over

on federally funded jobs to pay their laborers wages

the past century.” He added that the CIC is committed

and benefits no less than what others locally pa

to working with federal, state and regional leaders to

their workers for similar projects. This is called the

apply for additional funds available from the federal

“prevailing” wage.

infrastructure bill that New York State can use to make needed improvements to public facilities and services in the region.

Todd Diorio, President of the Hudson Valley Building and Construction Council Trades, speaking at the Maloney press conference, said the bill was worth

It’s estimated that shovels will not be in the ground for a few more months. However, a statement by the White House, estimates the bill will create 1.5 million jobs per year over the next ten years.

waiting for. “There was a lot of back-and-forth debate about this bill and Sean kept saying, ‘Todd, be patient, it’s going to happen, it’s going to be good’ and he’s right. This is

going to mean a lot of work for us.” Bill Banfield, Assistant Exec. Secretary of the Council of Carpenters Local 279 said there is a residual effect of the infrastructure bill. “You’re not only building and

blewis@ccahv.com

repairing highways but also communications. If you start correcting the infrastructure it allows counties and 10

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Unions, Contractors Laud $1.2 Trillion Infrastructure and Jobs Bill

Infrastructure Act, DOT Study and Hochul Push Could Move Widening Route 17 Project Forward By Barry Lewis, Vice President of Communications for CCA

With passage of the federal Infrastructure Act, an endorsement from the governor to accelerate the project and a recommendation by a state transportation study group to move forward, it

The project received further support in January when Gov. Kathy Hochul in her “State of the State Book” presentation to lawmakers, said that as part of her multi-faceted transportation investment

appears that the decades-long plans to widen Route 17 in Orange and Sullivan counties is moving closer to becoming a reality.

initiatives the state would accelerate the conversion of Route 17 into I-86 in Orange and Sullivan counties.

The year-long report by the New York State Department of Transportation found that Route 17 would benefit from a third lane across much of Orange and Sullivan counties with an updated estimate price tag as high as $1.27 billion to widen the entire 47 miles from its eastern endpoint at the Thruway in Woodbury to a few miles west of Monticello in the town of Thompson.

“Strategic investments in the Mid-Hudson Valley have resulted in the expansion of Woodbury Common and the construction of Legoland and the Resorts World Catskills Casino,” said the governor. “Over the past several years, projects have been completed by NYSDOT to upgrade sections of Route 17, including reconstruction of the interchange at Exit 131, where Route 17

Along with recommending that the state move forward with a third lane in each direction, the final report from the DOT’s Planning and Environmental Linkage (PEL) Study group examined traffic capacity and the upgrades needed at 30 exits between Exit 131 in Harriman (Orange) to Exit 103 (Sullivan) that could determine the cost of the project. Since its inception the high price had cast doubt on the project becoming a reality. But the huge pot of road funding that New York stands to get from last year’s historic $1.2 trillion infrastructure bill presents a rare opportunity, as area state representatives lobby against competing road demands across New York to ensure federal funds will be earmarked for Route 17 widening. In a November press conference at the Newburgh waterfront following passage of the bill, U.S. Rep. Sean Patrick Maloney noted the Route 17 project that could benefit from the Infrastructure Act’s $13.5 billion that will go directly to New York State’s highways and bridges, saying that revamping Route 17 through Orange County is “a much-needed project that has been stalled for too long.” continued... ON THE LEVEL:

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Unions, Contractors Laud $1.2 Trillion Infrastructure and Jobs Bill

meets Interstate 87 and Route 32 (Woodbury Common), and reconstruction of Exits 122 and 125 (Legoland) to meet interstate standards. To facilitate future economic competitiveness and alleviate congestion within the region, the state will begin an environmental review to assess the conversion of the full Route 17 corridor in Orange and Sullivan counties to Interstate 86.” Hochul’s comments was welcome news for Maureen Halahan, president and CEO of the Orange County Partnership and co-chair of the 17-Forward-86 coalition, made up of regional business and elected officials. “Our 17-Forward-86 Coalition is grateful to Gov. Hochul for making Route 17 a priority for investment and we look forward to working with her administration to make these long-needed upgrades a reality,” tweeted Halahan. The PEL Study group estimated that adding a third lane across Orange County could cost up to $470 million and up to $325 million in Sullivan County if the widening is done in the median. Expanding outward instead could raise the cost to as high as $750 million in Orange and $520 million in Sullivan. The report did not recommend a specific option or offer any specific recommendations. The report shows two segments with clogged traffic on the westbound side at peak travel times on Friday night: much of the road from Kiryas Joel to Exit 127 in Chester; and from Crystal Run Road to Route 211 in the town of Wallkill, a busy commercial area with shopping malls, hotels and a hospital. Left unabated, researchers concluded those “unacceptable” traffic levels would spread to more patches on both sides of the road across Orange County by 2055, based on population growth estimates. Their conclusion: adding a third lane would erase those

trouble spots and be most beneficial in the 22-mile stretch from Exit 131 in Woodbury to Exit 120 in Wallkill. “Reconstruction under the General Use Third Lane Alternative would provide the opportunity to address deficiencies in the existing roadway to correct non-standard features and storm-related flooding,” the study group reports. “High crash locations containing curves and overpasses would benefit from widening shoulders, increasing pavement friction, and increased banking (removal of non-conforming super elevation) under this concept. Increasing the capacity of Route 17 would provide a 24% reduction in congestion related crashes overall, per the Crash Modification Factors Clearinghouse.” State Sen. James Skoufis, a longtime supporter to widen Route 17, said the governor couldn’t be any clearer in her support. “She (Gov. Hochel) understands and appreciates the importance of this project,” said Skoufis. “The Senate and the Assembly, working with Aileen Gunther and Sen. Mike Martucchi, we’ve been able to cultivate support within our houses. We have the federal funding in place, we have New York State government stakeholders all rowing on the same direction, we now have to begin a full EIS (Environmental Impact Statement) so we can move forward.” Skoufis added that the EIS review process could take less time since the PEL study incorporated much of the environmental study including the various impacts of a third lane. Funding for the EIS, which is expected to run into the tens of millions of dollars, is expected to be part of the state 2022-2023 budget. “We want to make sure we keep this issue front and center,” said Mike Fleischer, a consultant for 17-Forward-86. “I think the coalition has been very successful in reenergizing people’s interest and knowledge about the potential solutions for the corridor. People get stuck in traffic and they’re thinking about it while they’re in the car and then they get home and they’re dealing with homework and other issues, and it’s forgotten.” He adds, “There is federal aid coming with a multi-year commitment, something that was always a concern for the state regarding funding. And now the state has done two studies of the corridor and people are taking this project seriously. It’s on their radar and we have to push it across the finish line.”

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

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Supply Chain Disruptions, Escalating Costs could Mean Feast or Famine for Construction Industry in 2022 By Barry Lewis, Vice President of Communications for CCA

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Supply Chain Disruptions, Escalating Costs could Mean Feast or Famine for Construction Industry in 2022

James Decker is trying to make sense of an email that he received from a supplier that is all too commonplace these days. The Purchasing Manager for the Perreca Electric Co., Decker placed an order on October 26 for three pieces of equipment with a 45-day lead time. It was supposed to be shipped by the end of December. But on December 15, he was told by the supplier that the order is being “pushed off” until February 21. That’s the shipping date. There’s no guarantee when Decker might actually see the items. “The line that we get is ‘pushed off’ and this is going on with a lot of supplies,” Decker said of what has become a route occurrence for the company based in Newburgh. He said the delays are happening not just with commodity items but standard catalog pieces of equipment. continued... ON THE LEVEL:

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Supply Chain Disruptions, Escalating Costs could Mean Feast or Famine for Construction Industry in 2022

We have to figure out a way to get it done. Most cases the owner will work you, substitute something, us this type of pipe instead of something else. It’s in their best interest to get it done.” — James Decker, Purchasing Manager, Perreca Electric Co.

inabroadrangeofinfrastructure.Italsoreflectsth that demand for many types of private-sector projects, including health care and warehousing facilities, have grown as a result of the pandemic.

“In a pre-pandemic world being told 45 working days was a reasonable time frame. That’s what it takes for them to put it together and ship it. Often the shipment would arrive even earlier. So to be told it won’t get shipped until the third week in February when it was supposed to be last week in December, about seven weeks past its promised

Despite the generally optimistic outlook, contractors

expecttoencounterseveralsignificantchallenge Chief among those challenges are continued supply chain problems that are making it hard to budget for and procure key construction materials.

date – and it’s possible that date could change again, that’s

Decker, who has more than 40 years in the electrical

not the way things were done.”

contracting industry, says in many ways Perreca has been

Contractors are, overall, very optimistic about the outlook for 2022.

fortunate. “We started seeing delays more recently, in the last three-four months, than when this whole thing started more than a year ago. But it’s getting progressively worse,

A recent construction industry survey found that

not better.”

three-quarters of respondents said they expect demand

Decker’s experience with supply shortage is a common

for most types of projects to increase and, as a result. Contractors said they plan to continue to invest in new

story: A contractor is missing lumber or copper or

windows that were ordered months ago. technologiesthataredesignedtomakethemmoreefficient Material shortages have kept more than one contractor and effective. This optimism stems in part from the fact the federal government has committed to increase investments

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from completing jobs on time and on budget this year.

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Supply Chain Disruptions, Escalating Costs could Mean Feast or Famine for Construction Industry in 2022

According to one business group survey, more than

Dan Depew, Business Development Associate for Holt

90 percent of builders said there were shortages of

Construction Corp., said that every project that the

appliances and lumber, while 90 percent had shortages

company is involved with spells out in the contract that

of plywood and 87 percent said they had shortages of

longleaditemsmustbeidentifiedassoonaspossibl

windows and doors.

and that most owners want to buy the items outright even

Supply chain bottlenecks, many of which stem from the pandemic, have led contractors to respond in multiple

before the contract even begins. “Anitemidentifiedasaweek -01 item,ittakesweeks 01

ways.Onlypercent 01 offirmsreporttheyhavenothad to get it and when you look at your schedule it’s a 36-week anysignificantsupplychainproblems. Two-thirds

schedule and you say, `ah, no big deal.’ Well, if you wait

(67 percent) of respondents have reacted by accelerating

on any of those things that are potentially marginally not

purchases after winning contracts, and nearly as many —

a big deal, and you wait until the project really gets going,

61 percent — have turned to alternative suppliers. Almost

youcanfindthatweek -01 itemisnowaweek -02 leaditem

half—percent— 84 havespecifiedalternativematerials and that becomes a problem for scheduling. We are much or products, while 23 percent have stockpiled items before

more aggressive in what we deem to be long lead items

winning contracts.

and looking for direct procurement from the owner of a project early on for anything,” said Depew.

“I think this is the new norm for the foreseeable future. It’s more than just the pandemic. The pandemic definitely plays a role into it, but anything that has to do with internationally supplied components is going to be a problem based on what we’re seeing with trade wars and everything happening in China and Russia. It’s not just COVID driven.” — Dan Depew, Business Development Associate, Holt Construction Corp

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19 https://www.ccahv.com/cca/iron-workers-bring-tubman-statue-to-

Supply Chain Disruptions, Escalating Costs could Mean Feast or Famine for Construction Industry in 2022

According to the report in The Wall Street Journal,

“Toilets that were once 2-3 weeks out are now probably

71 percent of contractors surveyed are facing at least one

12-14 weeks,” said Charlie Milich, president of RAL

material shortage. Lumber was the most-cited material

Supply Group, one of the Northeast’s leading suppliers

shortage (31 percent), followed by steel or electrical

of plumbing, heating, air conditioning and generators.

supplies other than copper wire (11 percent) and lighting

“They’re imported. We never had a problem. But now

supplies (10 percent).

the demand is up. And the materials. People are staying

“Some suppliers are telling us things are a half a year out or a year out. We’re not going to see supplies for a year. We’re talking custom type pieces of equipment that was normally available in 12 weeks, that’s kind of a norm for

home, and they have the money to fix things A lot of up. folks made the mass exodus out of the city for suburban areas. They want to live upstate, but they can’t do it without four bathrooms.”

a lighting or gear package and that’s after the approved

Materialshortagescaninterruptcashow, fl affectin

drawings. Now they’re quoting 36-weeks and longer,”

timing and budgets. Contractors are lucky if they can

said Decker.

overpay for materials and stockpile. Supply-related project

Many items may not be high on the list of being in short supply, but certainly are crucial.

delays have contractors scrambling to extend expiring builders’ risk policies.

It used to be, ‘if you don’t give it to me at this price I’m not going to buy it from you’ but now people realize the problem and say, ‘all right, the other guy told me the same thing.’ I think it’s the only thing in the 40 years I’ve been in business that the wholesalers agree about. You can’t get it you can’t get it. No one is dropping prices because of it.” — Charlie Milich, President, RAL Supply Group

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Supply Chain Disruptions, Escalating Costs could Mean Feast or Famine for Construction Industry in 2022

The ones that have the financial wherewithal are the ones that are going to be on top because the price of commodities has been going crazy. Steel and copper prices drive our market – so what do you do, bid a job where you’re not going to need steel and copper for 3 or 4 months? Do you gamble and bid it at this Joe Pacione, Operations Manager at Perreca said no one

price but maybe in three months the price

wants to invest that much into stocking everything because

will go down or do you just buy it now and

of what’s going on and how long it takes to get.

bring it in house?”

“Copper wire went up 120 percent in 6 months. Last December it was $3.51 a pound. Today we’re at $4.25 a

— Robert Kaehler, President & COO, Perreca Electric Co.

pound. Up nearly a dollar a pound. We buy per foot. Today it’s $13 a foot. Used to be $4-6 a foot. We order by the thousands. It adds up. An order that cost 10 grand is now $100,000. That’s just one run of wire,” said Pacione.

to wait for products,” said Robert Kaehler, President and ChiefOperatingOfficerforPerreca.“We’vebeenableto

While supply chains were behind this year due to

gooutandfindrefurbishedequipmentandmaterials

natural disasters and the delta variant of the virus, these

we can get in half the time and in some cases half the cost.

disruptions are expected to continue into 2022. The key to

Our customers in most cases have accepted that.

mitigating supply chain issues comes down to resilience: engagement with suppliers, creating materials reserves and developing backup suppliers. It’s also important to

Kaehler emphasizes that sometimes cost is not the issue – but getting it – because getting it is cost.

reconsider reliance on foreign-made supplies and just-in-

“The longer a customer can’t open up a business or a

time materials sourcing, making it important to establish

new product the more money they’re losing. If we can’t

local and regional suppliers when possible.

get the lights on for them, they can’t move into their new

“We have to think of better ways to provide for our customers that are on tight deadlines and don’t have time

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building or a refurbished building. More so than money,

it’simportantthatwefindwaysofgettingmaterial quicker,” said Kaehler.

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Supply Chain Disruptions, Escalating Costs could Mean Feast or Famine for Construction Industry in 2022

He adds, “We’re bidding jobs right now and we’re qualifying all our bids, that we can’t commit to a date when we can receive these things. Customers are asking, ‘give us a list of all your equipment and what’s the lead time on them. So we’re telling them outright, `hey, you might not get this for 30 weeks.’ They say, `But we gotta be open in 20.’ It’s become a real dilemma. Unless we can comeupwithanideaandfindarefurbishedsomething that’ssittingsomeplacethatwecangoandretrofitand bring it in that way…a lot of owners have accepted that. It’s more about timing rather than dollars.” In 2021, stressors on the construction supply chain seemed to be endless. It was a cyclical chain of events, each of which caused greater strain on other parts of the chain. While a softening in the U.S. economic recovery has impacted construction activity post-pandemic, a 19 percent hike in construction materials prices and the notable

decline in the U.S. workforce – which drove up construction labor costs – have proven to be far bigger factors in slowing construction project growth and the industry’s recovery, the report found.

An order that cost 10 grand is now $100,000. That’s just one run of wire.” — Joe Pacione, Operations Manager, Perreca Electric Co.

“Labor is the only thing that is set,” said Todd Diorio, President of the Building and Construction Trades Council of the Hudson Valley and Business Manager for Laborers Local“We .71 havethree,fourandfiveyearcontracts that are set at maybe a 3 or a 3.5-percent increases yearly, we’re the only thing that’s holding steady. Labor is becoming less and less of a project cost. We used to run 40 percent of a project cost. Now we’re a lot less.” Decker turns back to his two computer screens, one that keys on supplies and the other the cost of materials. “My guys will keep bidding the job. They’ll come in and ask me, ‘what’s going to happen’ and I tell them ‘I don’t know. I tell them, `I work on West Street – not Wall Street.’ It’s a crapshoot. When we quote projects, we have to say our price is good for a shorter period of time than we normally would have been able to extend ourselves. We’re starting to put clauses in with our proposals, we have to protect ourselves from what could happen because we don’t know if it’s going to get worse.”

blewis@ccahv.com 22

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Supply Chain Disruptions, Escalating Costs could Mean Feast or Famine for Construction Industry in 2022

Reducing Your Risk for Price Escalation

Michael Catania is a Managing Partner with Catania, Mahon & Ryder and head of the Construction Practice Group.

mcatania@cmrlaw.com

By Michael Catania

ith the exception of labor shortages, 2021’s incredible price escalations have been the most stressful aspect of managing projects during Covid-19.

Overall, construction related materials are up 18-20 percent since 2020. Very few contractors had contractual protections in place to share this unexpected cost burden with project owners. Instead, they were forced to somehow absorb 10 percent or more cost overruns on projects with already thin margins. The problem has only gotten worse. Sophisticated owners are now requiring contractors to “expressly assume any and all costs related to product delays and price increases” caused by Covid-19. This includes the costs of labor shortages resulting from vaccination mandates.

AN OUNCE OF PREVENTION HERE IS SOME GOOD NEWS: Contractors can take preemptive steps to mitigate the risk of future material escalation. Here are a few examples: LOCK IT IN: Owners (and their lenders) are often willing to front load payments for the purchase of materials and equipment, even materials that normally would be bought-out months later. Some even allow for on-site stockpiling. Caveat- coordinate purchase and storage with insurance and warranties; make sure stored goods are covered under the builder’s risk policy and that the manufacturer warranties will not start to run upon delivery (or negotiate a reduced period with the Owner). DELAYS: Some Owners will allow contractors to apply for an equitable extension in both contract time and contract sum when delays or price increases are related to the current pandemic. If so, the contractor should add appropriate clauses to the contract detailing what triggers the right for adjustment, the timing and content of the demand, etc.

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PRICE ESCALATION CLAUSES: Price-escalation clauses are not as uncommon as you might think. Further, the reluctance of many Owners to consider these provisions can be overcome with careful drafting. For example, if an Owner is concerned about a contractor using escalation to minimize its risk in giving a GMP or stipulated sum (risk the Owner feels is accounted for in contractor’s profit margin) then offer to limit escalation to certain materials. Further, specify that there will be no overhead and profit on the escalated portion of the material price and/or that the right to apply for escalation will only trigger if the materials have increased over a certain percentage. PROJECT DELIVERY METHOD: Cost-Plus arrangements can be a lifesaver when it comes to out-of-control material costs. In this scenario, a contractor will bill the owner for its actual costs plus a percentage for overhead and profit. If the cost of materials goes up, so does the payment to the contractor. If there is a GMP attached to the cost-plus, just make sure you have enough buffer to cover material escalations. SUBSTITUTIONS: If the above suggestions are shot down, perhaps the Owner will be amenable to a less exacting, but expedited, substitution process. You will need some buy in from the EOR or AOR to make this work. Alternatively, you can request Pre-approval for material substitutions where contractor runs into procurement issues: The plans may call for cast-iron cleanouts, but Owner is willing to substitute with PVC in the event of a price escalation or delay. ASSUMPTIONS: Never overlook contractual sections on assumptions (standard in AIA and ConsensusDocs). You can agree to a $1,000,000 stipulated sum but condition it upon key assumptions re: the maximum cost of certain materials or systems. CONTINGENCY: If you have a contingency, you should be able to sue it to cover the cost of material escalation. However, you need to make sure that it is contractor, not Owner, controlled.

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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

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Overuse Injuries in the Workplace Can Be Eased or Eliminated By Gina C. Del Savio, MD

Dr. Gina C. Del Savio is Chief Medical Officer at Montefiore St. Luke’s Cornwall and is Attending Orthopedic Hand Surgeon at MSLC with board certification in both Hand and Orthopedic surgery. gdelsavio@montefioreslc.org

n overuse injury occurs as a Since everyone is built differently, worker to perform standard repetitive result of cumulative tissue some people can type all day no wrist motions in an ergonomic damage resulting from matter what position and have a position, the risk of developing this repetitive demands over a period normal pressure. Other people have tendonitis can be lessened. of time. This is different from an unacceptable nerve pressure if they Ways to Reduce Risk of OSS acute injury which is a result of a must extend or flex their wrists while single, identifiable traumatic keyboarding. event. If keyboarding is painful • Mindful ergonomic workplace Tissue damage can involve muscle, or causes numbness, many times design including frequently used tendon, ligament, nerve, bursa adjusting the workstation to make sure items within easy reach and a and bone. Because Occupational that the wrists are in a neutral position work environment that allows for Overuse Syndrome (OOS) is caused while typing can alleviate symptoms relaxed shoulders and comfortable by repetitive movements and/or and avoid CTS. This can be done by mild bending at a worker’s elbows awkward postures, changes to the adjusting the height of the keyboard, and wrists. workplace design and workflow can the chair and or a wrist foam support reduce or even prevent issues. in front of the keyboard. • Alternation of repetitive tasks. Because symptoms may have a slow insidious onset, workers often work through discomfort rather than identifying that there may be an issue and correcting an underlying posture, position or workplace design which is contributing to the injury.

Tennis elbow, aka lateral epicondy• Deadlines that allow for adequate litis, is an OOS of a tendon and also rest breaks. associated with repetitive use the • Proactive identification of worker wrist. Tendons that extend or elevate physical complaints with means to the wrist are attached to muscles evaluate individual worker daily that are attached to the bone on task performance, work the outer aspect of the elbow. That environment and worker postures muscle attachment to the bone can An example is carpal tunnel syndrome, with early collaborative workplace suffer small traumatic tears if there an OOS of a nerve associated with the adjustments and coaching on is repetitive powerful wrist extension use of a keyboard and wrist position. ergonomic motions. against resistance or with gripping of The median nerve is the nerve which heavy items including power tools in • Tracking patterns of OOS to provides strength and sensation to the non-ergonomic positions repeatedly. identify opportunities for thumb,index,longandringfingers. While from time to time, tasks must workplace and workflow As this nerve runs down the arm into be done in an awkward position, if the improvement. thehandalongwiththefingertendons, workplace can be adapted to allow the it passes through a tight space located just over the wrist (carpus in Latin), hence the name “carpal tunnel.” Occupations that the work involved has caused Everyone has a carpal tunnel; people or exacerbated the injury who have pain and numbness in those Bricklayer Plasterers fingersassociatedwithpressureinthe Electricians Foreman tunnel have “carpal tunnel syndrome Machine Drivers Labourer (CTS).” Pressure in that tunnel can Carpenter Plumber beincreasedwithrepetitivefinger Ground Worker motions while the wrist in either hyperextendedorflexed. ON THE LEVEL:

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LeChase Center to Train Workers to Contain Noise, Dust During Construction at Health Facilities At the ICRA training center, workers will learn to use temporary hard barriers to contain construction work areas; high-efficiency particulate air (HEPA) filters to remove dust and other contaminants; and techniques for personal protection and cleaning. The barrier walls, made of plastic and aluminum and filled with insulation, reduce sounds by 50 percent, enough to deaden loud, sharp sounds. The HEPA filtration removes a very high percentage of particulates and creates negative air pressure that draws air into the enclosed construction area, rather than allowing dust-laden air to escape into the occupied areas of the LeChase Vice President David Campbell tells customers and other stakeholders about the center.

hospital or laboratory. Trainees will also learn procedures to maximize the

eChase Construction Services opened a new training center

effectiveness of the system, including cleaning themselves of

that will be used to teach best practices for containing

dust with HEPA-filtered vacuums before leaving the enclosed

noise, dust and contaminants during construction projects

construction area, and using sticky mats inside the space

in hospitals, pharmaceutical research companies and other

to remove and safely secure dust and particulate matter

critical facilities. The mix of classroom and hands-on training

from boots. In addition, training will cover use of personal

in containment barriers, negative air pressure, HEPA filtration

protective equipment (PPE) and proper housekeeping in this

and good housekeeping techniques will reduce the risk of cross

specialized environment.

contamination and provide a safe environment for patients, staff and others while nearby renovations occur.

LeChase, a leading national firm specializing in healthcare, life

Located at LeChase’s office in Armonk, the new infection

first firms in Westchester County to invest in the technology and

control risk assessment (ICRA) training center, that opened

offer it to customers seeking superior infection control, enhanced

in December, is believed to be one of the first in the country

safety and noise reduction during construction.

sciences, education and commercial construction, was among the

developed by a private company. It will be used as a resource organization-wide to ensure the firm’s employees and subcontractors stay at the forefront of the emerging and

“LeChase has already applied this system and technique successfully on important projects at several healthcare centers,”

established health and safety protocols.

Campbell said. “Our core value is to do the right thing; this fuels

“As LeChase continues to grow its client base in the healthcare

excellence for our clients.”

our passion to create safe work environments and to deliver

and pharmaceutical industries, this new ICRA training center will provide a critical skill for LeChase employees and for our subcontractors,” said David Campbell, LeChase vice president. Campbell made his remarks during an event introducing the center to customers and other stakeholders. “With our center, we will train workers to properly use the systems and exercise the care needed to ensure our work does not disturb hospital patients and visitors, and researchers at pharmaceutical companies.” ON THE LEVEL:

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Celebrating Excellence

Innovation

Integrity

Y e a rs

Guided by a desire to provide excellent and comprehensive legal representation, the attorneys at Catania, Mahon & Rider, PLLC offer strategic and cost-efficient solutions to businesses and their owners. www.cmrlaw.com • (845) 565-1100 • 641 Broadway Newburgh

CORPORATE SERVICES • Acquisitions, Sales and Mergers • Business Succession Planning and Estate Planning • Financing • Commercial Transactions and Leasing • Partnership Agreements and Business Breakups • Employment Law and Regulatory Compliance • Trademarks and Copyrights Michelle Rider mrider@cmrlaw.com

• Corporate Governance

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

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

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Michael Catania mcatania@cmrlaw.com

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Stop Calling It “Estate” Planning when it’s Actually Family Planning The Most Successful Estate Plans are Driven by Who and What Matters Most to You, Rather than by Tax Strategies. By Nicholas Preddice

Nicholas Preddice Founding Partner AffinityBST Advisors 973-534-5785 npreddice@affinitybstadvisors.com

oals, outcomes, dreams – call them what you will, if you don’t know where you’re going, chances are you won’t get there. Every aspect of our lives, personal as well as professional, is organized around identifying objectives, keeping our eyes on the prize, and making necessary course corrections. And since none of us can play every position or has eyes in the back of our head, we rely on myriad resources: partners, maps, coaches, game plans, newsfeeds, you name it. Butfirst,weneedtonamethatonebigthingwe’reafter.

Case in point: I recently met with a client who wants to update his estate plan.Withhisbusinessfirmlyestablishedandkidsincollege,he to transition to retirement. Given his net worth, the plan he shared was highly complicated, so per ABA’s process, we built a global overview schematic. Reviewing it, however, left this very successful entrepreneur in shock: “This isn’t what I thought it was at all. It doesn’t do what I want it to do.” Unfortunately, I hear this way too often. Not because people are remiss or don’t hire good lawyers, but because in the case of “estates”,ourculturegenerallymisidentifiestheheartoft

Prioritizing dollar values – the net worth of the business, real estate, and investment portfolio – over what I call “family values” yields estate plans guided by tax strategies, even though that tax landscape is constantly evolving and will likely be quite different by the time the planisputintoAaction. successful,effectiveestateplanisguidedfir and foremost by who and what matters most to you; the technical, legal strategies and tactics should serve your highest purpose, not vice versa. What does this look like? The following snapshots highlight family values-driven estate plans that prioritize people and purpose, where money is the means, not the be-all and end-all. 32

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Stop Calling It “Estate” Planning when it’s Actually Family Planning

THE VIEW FROM ABOVE

Bill’s original estate plan establishes an intricate framework of trusts with his wife as co-trustee, even though she is inexperienced and uncomfortable at the idea of managing assets and investments. For all the unique talents and skills with which he had built a net worth of $60 million, Bill didn’t seem to be able to step back from bottom-line thinking and think aspirationally. So, I engaged him in an exercise I often use: “If you could look down from Heaven 20 years after your funeral, what would make you really happy?”

“I want my wife and children and their children – the whole family – to be happy. I know I was happiest when I was productive and following my passions, so maybe

WHOSE LINE IS IT ANYWAY?

Every legacy is unique, even though all estate plans share the same fundamental building blocks (e.g., trusts, POAs, investments). You’ve worked hard to shape the life you wanted,andwhatyou’veachievedisameaningfulreflecti of who you are and what you believe in. Many people rely on the services you provide. You love your spouse and family: their happiness is your #1 priority. You have such high hopes for your children and where their talents will lead them.You’regratifiedtoputyourpersonalvaluesintoa through philanthropic service; you’ve made a real difference in your community. All of these things and more combine to form the complicated tapestry that expresses your essence – and the essence of your legacy.

my estate operates as a Family Bank. Every relative

You’ve charted a successful path through life by keeping your priorities straight. As you consider your legacy, these buytheirfirsthome,startabusiness,givebacktothe same principles and passions – from family to business community through organizations they really care about.” and community – are the soundest drivers for crafting your ABA worked out the technical details with Bill, creating a estate plan.

can apply for loans and grants to fund their education,

constitution for the bank and identifying board members.

“Your estate plan should reflect who you are and advance what you believe in.”

FAMILY VALUES PROPOSITION All this talk about values-driven planning begs the question: which values, and how do we instill and

THE BRADY BUNCH

sustain them? In my experience (and that of many

Mike and Carol are on their second marriages: two I know and advise), happiness derives from high-achieving professionals with a large, blended family. He’s personal accomplishment, a sense of connection, built a multi-million-dollar business, and she’s high up in a and giving back to help others. globalfinanceandinsurancecompany. Tofostermeaningful family relationships and create new traditions, every year they bring their children and grandchildren together for an This belief is borne out by the analysis of William epic quest. Think two-week safari and you’ve got the right Danko (one of my mentors), best-selling author idea. It’s not just a great location; it’s the way it heightens of The Millionaire Next Door. His most recent their connections by taking everyone out of their comfort book, Richer Than a Millionaire, shows that the zone to meet new people and exciting challenges. They say correlation between higher income and happiness the closeness these experiences have engendered across three is non-existent. Greater happiness in well-to-do generationsmakethesix-figurepricetagwellworthit.

families is instead strongly correlated with

With such a winning strategy, I wasn’t surprised that the planning and execution of a grand family adventure became the guiding principle around which the rest of their estate plan was organized. It may seem an unusual theme, but that’s my point here: the most successful estates focus on the impact that money can have on particular people, passions, and purposes.

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closer family bonding because of their shared commitment to philanthropy. Ensuring your estate plan sustains your philanthropic vision is an effective way to enhance the happiness of your heirs.

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Resorts World Begins Construction on New Mall Gambling Hall

Hundreds of Union Jobs, Millions in Economic Benefits Headed to Area By Barry Lewis, Vice President of Communications for CCA

Construction has begun on the Resorts World Hudson Valley video lottery casino in the Newburgh Mall with a scheduled opening sometime this summer.

Roughly 200 construction workers will labor on the $32 million project to turn a 90,000-square-foot section of the indoor mall into Resorts World’s newest gaming venue. The casino operators who operate the $1 billion Resorts

World Catskills near Monticello said the Newburgh Thenewoperation,casinoofficialssay,willemployjust gambling hall will feature 1,200 to 1,300 video gaming over 300 workers, 260 that will be full-time, and be open machines in the north end of the struggling 40-year-old 18 hours a day, opening at 8 a.m. and closing at 2 a.m. indoor mall.

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Resorts World Begins Construction on New Gambling Hall to Open in Summer

Resorts World has projected the slot-like devices at its

York State. If you want to come and stay with us for the

Newburgh casino will generate a robust $160 million in

weekend, we have a facility for you. If you want to stop

gross gaming revenue, part of which goes to the state to

in and play for a couple of hours in the afternoon, we

spend on education. By comparison, the 100,000-square-

have two other types of facilities for you. Our facility

foot casino in Sullivan County, which has table games in

down in Queens has almost 6,500 slot machines and

addition to electronic machines, ran up $206 million in

electronicgamesacross30,sq.ftofgamingfloor

gross revenue over the 12 months before the pandemic.

compared to the Catskills, which is our fully integrated

Meghan Taylor, vice president of government affairs and public relations for Resorts World New York City and

resort destination, where you have two hotels and multiple restaurant and food options,” said Taylor.

Catskills, said by adding the Newburgh site on Route

The Newburgh casino will feature a signature bar.

300, strategically located right off Interstates 84 and 87,

Customers will be able to move within the mall for meals.

to its facilities in Sullivan County and Queens, it places the company in a unique position to build the Resorts World brand in the state by offering destination options for customers.

The space had been a Bon-Ton department store and more recently was occupied by a Jennifer Furniture outlet. Resorts World has been authorized by the state since

“We really will have three very distinct properties offering their own unique way to game within New

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2019 to open an Orange County facility to house the electronic slot machines that previously were licensed at Monticello Raceway.

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Thinking About Resigning? Think About Your Health Benefits Robin Seidman specializes in general HR policy and procedures. reseidman@ccahv.com

CCA Now Offers Members Health Plan Opportunities By Robin Seidman

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Thinking About Resigning? Think About Your Health Benefits

Unintended consequences. That is what happens when we don’t think things all the way through before making life-changing decisions.

takes an insurance professional to explain what makes one

An ongoing example of unintended consequences

what the employee and family will need on a routine basis.

is affecting employees who are part of “The Great

As you can guess, the worst-case premiums are generally

Resignation,” workers who resign before realizing that em-

muchhigherandpayforbenefitsthatstatisticallym

ployer-sponsored health insurance goes away with the job.

employees will not use. Again, it takes a health care expert

The repercussions can be huge — especially if the employee

to help an employer wade through the options.

is the sole source of health insurance for the family.

plan more advantageous than another. Frequently, we tend to look at health insurance plans from a worst-case scenario viewpoint rather than from a more practical viewpoint of

Explaining a change in health insurance plans to employees

“The Great Resignation” is the term coined by Dr.

canbeachallengewhenthebenefitsofthenewplanto

Anthony C. Klotz, an Anderson Clayton Professor of

old plan do not exactly align. While the company and the

Business Administration and an Associate Professor of

employee may save money with an association plan, a lack

Management at Mays Business School at Texas A&M to

of understanding of what the new plan entails may produce

describe how the pandemic has enabled workers to rethink

pushback from the employee. The business owner should

their careers, work/life balance, long-term goals, and

take the time with individual staff members to discuss how

the newtheir plan works, what the monthly premium payment working conditions. Many people dissatisfied with willbeandhowthechangewillbenefitthem. jobs resigned or are resigning to explore other possibilities whether in the same line of work or something different. They are not quickly re-entering the job market thus creating staffing and recruiting While in issues. many

CCA NOW OFFERS HEALTH INSURANCE PLANS WITH COMPETITIVE RATES AND BENEFITS.

cases COBRA can be used to continue health benefits for a period of time, it is not a permanent solution and can be expensive to the now unemployed worker. Whether they are losing staff or having trouble recruiting

CCA has engaged member company Marshall & Sterling to facilitate the health insurance GreatResignationontheirbusinesses.However,the staffing plans and uses a health care specialist who issues are something that can be mitigated by the savvy brings in-depth knowledge and expertise of business owner who knows that competitive salary and health insurance to the table. Because the benefitsarekeytoattractingandretaining And workers. plans are with national insurance carriers — whatbetterbenefittoemployeesisemployer-sponsored Aetna, Cigna, and Blue Card — the particihealth insurance — especially during a pandemic? pating physician network is huge and are very Selecting a plan to offer employees is based on a number likely to include doctors the employees and of factors. How many employees will enroll in the plan? their families currently use. How much, if anything, will the company contribute *All of the plans offer coverage for the toward the monthly premium? How much of a deductible employee only, the employee and spouse, or and/or maximum out-of-pocket expenses is reasonable? the employee’s family. For information call How affordable is the premium for the employee? 845-562-4280. new employees, employers are feeling the effects of The

Comparing plans is not usually comparing apples to apples.

*Final approval is based on the carrier/association discretion

There are many different variables involved that it often

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SMACNA Convention Focuses on Outreach and Awareness

he 2021 Sheet Metal and Air Conditioning

preconceived notions about someone can open new

Contractors’ National Association’s (SMACNA)

opportunities for groups of underserved populations.

Annual Convention featured many valuable

industry educational sessions, including how to foster a sense of purpose in the workplace and how to increase outreach and awareness for the construction industry. SMACNA is an international trade association repre-

After a short break, cybersecurity expert Nick Espinosa gave a sobering presentation on the digital threats that people and companies face today. Most importantly, he gave real solutions everyone can use on how to protect themselves and their businesses.

senting1,834memberfirmsin97chaptersthroughout the United States, Canada, Australia, and Brazil. The convention was held at the Grand Wailea in Maui. This setting has long been a SMACNA member favorite,

Following the morning educational sessions, President Simon announced the 2021 SMACNA award recipients:

andthisyeardidnotdisappoint,asattendees wereNovak, finally • Randy president of Novak Heating & Air able to reconnect with old friends and enjoy great food, all in a relaxed atmosphere.

as Contractor of the Year •

SMACNA President Angie Simon kicked off the

John Sindyla, Chief Executive Officer of Cleveland -SMACNA as Chapter Executive of the Year

• Tom Martin, president of T.H. Martin, Inc. first full day of the convention by speaking on the as Legislative Contractor of the Year association’s diversity and inclusion initiative. • Ginger Slaick, chapter executive at Georgia Her message was backed up by the first session -SMACNA as Chapter Executive Legislative speaker, Steve Pemberton, who shared his inspiring Advocate of the Year. personal story that showed how breaking down

The current SMACNA Executive Committee includes (from left): Carol Duncan, Secretary-Treasurer, Anthony Kocurek, President-Elect, Al LaBella, President, Tom Martin, Vice President and Angie Simon, Immediate Past President.

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SMACNA Convention Focuses on Outreach and Awareness

Following the awards presentation, Jake Wood spoke to attendees about leadership learned through his life experiences as a college football player, a decorated veteran of campaigns in Iraq and Afghanistan, and his present-day gig of leading a growing disaster response organization. The final educational session of the first day saw SMACNA’s Executive Director of Technical Services, Eli Howard, give an update on both recent and future technical documents and publications. This was followed by a thorough presentation on indoor air quality relating to COVID-19 transmission by Steve

Keynote speaker Josh Sundquist (right) gave the audience some good laughs with the assistance of SMACNA CEO Vince Sandusky.

Taylor, PE of Taylor Engineering. Day two of the convention was dedicated to the Product Show. Both were very enthusiastically received by

current and future legislative activities and took questions from the audience.

attendees. The Product Show had over 30 Associate

Six new members of SMACNA’s College of Fellows were

Member companies on-hand to meet with attendees

inducted at the President’s Lunch reception. The event

Thefinaldayoftheconventionbeganwiththe SMACN-IFUS meeting, followed immediately by the SMACNA Annual Business Meeting, where a report onfinanceswasgivenandthestateof was SMACNA addressed by SMACNA CEO Vince Sandusky. SMACNA President Simon also gave her farewell address, where

also included a charity presentation and culminated with outgoing SMACNA President Simon turning over her responsibilities to new SMACNA President Al Labella, who addressed attendees and emphasized that “everyone needs to get the next generation involved and present them with the opportunity to be better.”

she spoke on her experiences as president, her experiences

Labella addressed attendees and emphasized that

with her pioneering camp for underserved youth, un-

“everyone needs to get the next generation involved and

derscoring the need to continue pushing diversity and

present them with the opportunity to be better.”

inclusion in the sheet metal and HVAC industry.

Afteraquicknetworkingbreak,thefinaleducationa

After the SMACNA Annual Business Meeting concluded,

session of the convention featured Ronald Eager, who

keynote speaker Josh Sundquist gave an exceptional

provided an update on the current status of the Paycheck

motivational speech (which featured a humorous on-stage

Protection Program and important tax information,

pairing with Vince Sandusky) on how trying to achieve

changes, and advice. Next, SMACNA’s Executive Director

a goal will involve excitement, disappointment, and

of Legislative Affairs, Stan Kolbe, briefed members on

commitment, but no matter how many times you get

current and future legislative activities and took questions

knocked down, perseverance is the key to success — one

from the audience.

more thing, one more time.

The convention featured many valuable industry educational Afteraquicknetworkingbreak,thefinaleducational sessions, including how to foster a sense of purpose in the session of the convention featured Ronald Eager, who

workplace and how to increase outreach and awareness for

provided an update on the current status of the Paycheck

the construction industry. Inspirational speakers such as

Protection Program and important tax information,

SMART President Joe Sellers had a message to everyone

changes, and advice. Next, SMACNA’s Executive Director

that even our smallest actions and decisions impact our

of Legislative Affairs, Stan Kolbe, briefed members on

communities and the world around us.

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Carpenters union opens new training center in Rock Tavern for apprentices and journey level members

When you want trained professionals, you hire union carpenters. 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.

nasrcc.org 44

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Go to ccahv.com Advocacy. Community. Projects. News. Events. On your computer, laptop or mobile device.

Visit. Explore. Sign up now.

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LEADERSHIP OF THE ASSOCIATIONS

We All Need to Keep Our Eye on the Issue of Market Share

Throughout the past year we have attended many meetings with our local uni national SMACNA staff and other contractors and executive directors from across the country. The same topic keeps coming up at each of these meetings, market share.

The percentage of union projects involving the building trades is decreasing each year and we have seen figures from as low as 10 percent in some areas to as high as only 24 perce in select metropolitan areas being reported. New York City led the nation in 2019 with 27 percent of the construction projects being unionized and it has dropped to less than 20 percent according to some reporting agencies in 2021. That is big news and should be a real cause for concern as the rest of our state typically follows the trends of New York City. There have been renewed calls for changes to the organizing efforts of the unions, training to keep up with the latest technologies in safety and tools as well as recruiting the top candidates in our apprenticeship programs in order to hold on to what we have.

One of the problems facing the organizers is that they are finding that the non workers have a comparable rate of pay that is sometimes higher than what the unions can offer.The organizers try to get potential new recruits to understand the be wage package and to not focus on just the hourly wage in the envelope, but it is hard for them. The UA and SMART local unions have developed new ways to try to regain market share with new tools to not only recapture the smaller projects in our area but to develop a whole new workforce by luring the top talent in from the non-union sector with new wage packages. It will take time, but we are hoping that it succeeds with the cooperation of labor and management.

Our region is one of the most difficult in the country to succeed in as union con and we need to stand apart from others by maintaining a talented workforce that is efficient. As I previously stated, we still need to treat the relationships th our customers with importance and do whatever we can to retain their loyalty to us. In the upcoming year there will be political changes taking place along with new regulations that will affect our businesses; therefore, we need to be prepared for these changes by operating more efficiently than we ever have before. I wish all of you and your families a very safe and healthy year ahead and that you have a prosperous year. Be well, my friends! Lou Doro

Lou Doro

Vice President, Clean Air Quality Service, Inc. President, SMACNA SENY 46

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THE 2022 CCA OF THE HUDSON VALLEY BOARD OF DIRECTORS

Mike Adams Board President

James McGowan 1st Vice President

Joseph Perez Secretary-Treasurer

Alan Seidman Executive Director

Joseph Barone

Roland Bloomer

Dan Depew

Scott Dianis

Lou Doro Board President

Ira Gold

Jay Harrison

Robert Kaehler

Alfred D. Torreggiani

Charlotte Van Horn

THE 2022 SMACNA OF SOUTHEASTERN NY BOARD OF DIRECTORS

THE 2022 FERCA BOARD OF DIRECTORS

Justin Darrow Chairman

Jake Bidosky Vice Chairman

Bernie Hillman Secretary

Daniel Teutul Treasurer

Sitting, from left, Secretary Steve Mulholland, James D’Annibale, Board President Lou Doro and Treasurer Daniel Harden. Standing, from left, Mark DiPasquale, Walter “Chip” Greenwood, Dennis LaVopa, Jr., and William Haskell. Missing from photo: Richard Berg and Dominick DiViesti

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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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OVER 100 YEARS OF CONSTRUCTION EXCELLENCE A national network headquartered in the Hudson Valley

Holt Construction is a full-service Construction Management and General Contracting firm offering a broad range of services in markets that include transportation, education, corporate interiors, aviation, healthcare, hospitality, retail, and food & beverage.

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What is a Net Zero Energy Building and Why it’s the Building of the Future A Net-Zero-Energy building generates more energy on site, from renewable energy sources, than it consumes. Typically, net zero energy is measured on an annualized basis.

Rick Alfandre, AIA LEED, AP BD+C Alfandre Architecture, PC Alfandre.com 845-255-4774 ralfandre@alfandre.com

Consumption in million kilowatt hours

While still a nascent market, the growth trend for net zero Share of total U.S. energy consumption by Electricity consumption in the United States in 2019, by sector issteep. Thecount ofverified end-use sectors, 2020buildingsacrosstheUnited (in million kilowatt hours) Total=increased 92.94 quadrilliontenfold British thermal units2010 and States and Canada has since 1,750,000 encompasses over 62 million square feet of commercial and multifamily building space. As more cities and states pursue 1,500,000 Commercial Residential 18% 22% 1,440,289 climate action plans, increased attention will be focused on 1,250,000 1,360,877 net zero building performance as a standard for commercial 1,000,000 1,002,353 and residential buildings. This new vision is capturing the 750,000 Transportation Industrial attention of building owners26%and operators, 33% designers and 500,000 builders, as well as policy and civic leaders. The potential 250,000 market for how we approach building design and operation 7,632 0 Residential Commercial Industrial Transportation Source: U.S. Energy Information Administration, Monthly Energy thatusescleanenergyresourcesefficientlyandeliminates Review, Table 2.1, April 2021, preliminary data. Note: Sum of individual ©Statista 2022 percentages may notbuildings equal 100 becauseis of independent the “carbon footprint” of our huge. rounding Different people may also refer to net zero energy (NZE) buildings as zero-net-energy or zero energy. You may see all three names referred to in this article or elsewhere. As we can see from the following charts, buildings in the United States consume more energy, by sector than either industry or transportation. Further, buildings account for the largest share of greenhouse gas emissions when we factor in the amount of electricity they use combined with the burning of fossil fuels for space heating and domestic hot water.

Share of total U.S. energy consumption by end-use sectors, 2020 Total= 92.94 quadrillion British thermal units

Residential Commercial 18% 22% Transportation 26%

Industrial 33%

Source: U.S. Energy Information Administration, Monthly Energy Review, Table 2.1, April 2021, preliminary data. Note: Sum of individual percentages may not equal 100 because of independent rounding

A Zero Energy Building (ZEB), also known as a Net Zero NZE Buildings may, at times, consume non-renewable Energy (NZE) building, or a Zero Net Energy (ZNE) energy and produce greenhouse gases, but at other times building, is a building with net zero energy consumption. reduce energy consumption and greenhouse gas production The total amount of energy used by the building, on an elsewhere by at least the same amount. NZE buildings annual basis, is equal to the amount of renewable energy contribute less overall greenhouse gas emissions during createdonthesite.Inotherdefinitions,thebuilding maysimilar use non-NZE buildings. operations than offsite renewable energy sources.

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What is a Net Zero Energy Building and Why it’s the Building of the Future

HOW DO WE DESIGN AND BUILD TO NET ZERO ENERGY STANDARDS? Minimize the loads (demand) by: • Designing for the climate and the use • Building a High-Performance enclosure including: Properly insulated, and air sealed, walls, roofs, foundations, windows and doors • Minimize, or eliminate thermal bridging and air infiltration

energy recovery ventilation, we can introduce extra fresh air to a building without worrying about the energy costs associated with conditioning that fresh ventilation air. The electricity we use is increasingly coming from renewable energy sources, such as large-scale wind and solar installations. These energy sources do not emit greenhouse gases into the atmosphere, and they are now cheaper to build than any other type of utility scale energy generation. As the electricity we use becomes emissions free it makes sense that we continue to electrify our buildings by using ground source, and air source, heat pump technologies

Use High-Efficiency mechanical equipment that is: • Properly sized • Flexible • Adjustable with good controls • Adjustable with good controls and good ventilation with energy recovery • Using high efficiency air or ground source heat pump systems for heating and cooling Provide high efficiency lighting with occupancy controls. Provide operational efficiency (where practical) including:

Alfandre Architecture, PC Office Building in New Paltz, NY

• Operable windows, occupant controls and education Offset the remaining energy load with on-site renewable energy, usually solar electric panels.

for space heating and domestic hot water production. All electric buildings are also known as zero emissions, or fossil fuel free, buildings.

Combining emissions free electricity with emissions free OurofficebuildinginNewPaltz,NY,whichopenedin space conditioning is a “win-win” for the economy, the May2014,andexemplifiesallthehigh-performance climate, and the building owner / operator. measures listed above, has been Net-Zero-Energy (actually net-positive) since it opened. However, we do use a Total U.S. Greenhouse Gas Emissions miniscule amount of natural gas for heating when the by Economic Sector in 2019 outside temperatures are below 10-degrees F. The photovoltaic system, (solar electricity) generates extra power which Commercial Agriculture far outweighs the energy equivalent of the natural gas that & Residential 10% 13% weuse.Thus, thebuildingisverified,bytheNewBuildings Institute and independent engineers, as Net-Zero-Energy but it is not, yet fossil fuel free. We are monitoring all the data Transportation Industry 29% 23% with a newly installed data logging system and may choose to turn off the natural gas in 2022 or 2023. The air source heat pumps can probably handle the low temperatures. Electricity 25% OneofthemajorbenefitsofNetZeroEnergyconstruction is that we can provide enhanced ventilation, better indoor air Total Emissions in 2019 = 6,558= Million Metric Tons of CO2 equivalent. Percentages quality,withoutsacrificingenergyefficiency. Bybuilding may not add up to 100% due to independent rounding. anultra-energyefficientbuilding,thatalsousesefficient ON THE LEVEL:

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MEDIATION & ARBITRATION

CONSTRUCTION LAW

EMPLOYMENT & LABOR LAW

COMMERCIAL LAW

REAL ESTATE & LAND DEVELOPMENT

Knowledge & Know-how WB&G’s comprehensive knowledge and insights into the intricacies of the construction and real estate industries are invaluable resources for companies, municipalities and business organizations seeking pragmatic and successful approaches to solve their legal challenges. For more than forty years, WB&G’s commitment and dedication to provide exceptional legal service have infused the firm with the knowledge and know-how to achieve practical and favorable results for its clients.

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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 Blue Eagle Security Company is made up of highly trained active and retired law enforcementofficers,militarypersonnelaswell York asState certified armed New and unarmed security guards, dedicated to ensuring reliability and quality. Blue Eagle Security was founded by Rick Hewitt, a NYS licensed Private Investigator who is a retired NYPD Detective/Sergeant with 23 years of service, currently active in law enforcement in the Orange County area. Blue Eagle Security is divided into three departments: Executive Protection, On-Premises Security and Private Investigations. Contact Rick at 845-642-8908 or at rickhewitt@blueeaglesecurity.com. For more information visit www.blueeaglesecurity.com. Howard Hanna | Rand Realty is a family-owned brokerage started in 1984 serving many of New York City’s most well-known suburbs. More than 35 years later, the brokerage has grown to more than 1,000 premier local agents who combine deep local knowledge with sound representation, respect for transactional detail, and service driven by heart and kindness. Rand Realty has offices throughout NorthernWestchester, New Jersey, Connecticut, The Bronx, Rockland, Dutchess, Putnam and Orange counties. Contact associate broker Karen Taphorn at 845-777-6858 or karen.taphorn@randrealty.com. For more information visit https://karentaphorn.randrealty.com

KCM Contracting is a woman owned union multi-disciplined construction company with a strong and successful track record working with General Contractors and GovernmentAgencies..CMspecializesinconcrete,masonry,fireproofingasw as other construction projects. Contact company president Roxanne Guerrerio has been advising and building businesses with a hands-on approach for more than 20 years. She can be reached at 914-618-3625 or info@kcmcontracting.com. For more information www.kcmcontracting.com.

New Beginnings Window and Door is a full-service premium window and door distributor serving the tri-state area since 2008. Locally owned and operated by the Haines Family, the New Beginnings team prides itself on 24/7 Customer Service and Response Time. They sell products to homeowners, builders, and architects for residential remodeling projects, new construction homes, and commercial buildings. Their approach is through a personalized consultation to hear a customer’s needs and educate them as to the product that will best meet those needs. Contact Stephen845-522-2941 Orefice ator stephen@NBwindow.com. For more information visit www.NBwindow.com.

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MILESTONES Rhinebeck Bank has been facilitating financial success for their customers since in 1860. A community bank in the truest sense, Rhinebeck Bank has branches throughout Dutchess, Orange and Ulster counties and serves customers by making local decisions on residential mortgages, construction loans and commercial mortgages. It supports the people, businesses and organizations that support the Hudson Valley community and in turn, support your business. Contact Senior Vice President Diane Passaro at 845-790-1531 or DPassaro@RhinebeckBank.com. Visit www.RhinebeckBank.com.

ENVIRO-CLEAN Clintondale, NY www.porta-potty.com

IN MEMORIAM ERNEST LEONARD PACCHIANA, who worked in the construction business and was a certified professional engineer, died on January 18, 20 in Stormville, N.Y. He was 85. Known to his friends and family as Ernie, he was born in Mount Vernon and attended Union College (NY) earning his bachelor’s degree in civil engineering. Ernie joined the U.S. Army and served during the Cold War as an engineer. After the army, Ernie went to work in the family construction business, Thalle Construction, and managed many municipal and university projects until he

embarked on his own real estate and residential development ca professional engineer. He is survived by his wife, Nannette Stone, and his five Adam children, Dean, (Miranda), Jennifer (Patrick DiCerbo), Jean Marie (PJ Stock) and Joseph.

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Damage Prevention With you for every step.

For Safety. For Family. For Community.

www.DigSafelyNewYork.com

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General Contractors Face New Liability Scrutiny for Wage Theft by Subcontractors By Susan Howell The New Year brings with it new opportunities for growth, new projects to begin, and also, new laws to follow. In 2021, New York State passed legislation that went into effect earlier this month, which shifts liability to general contractors for wage theft cases on private construction projects. Up until now, construction contractors weren’t liable for their subcontractors’ employees’ wages unless there was an employment relationship between the contractor and the employee of the subcontractor. But this law which went into effect Jan. 4, 2022, makes contractors on construction projects jointly liable for wages owed to employees of their subcontractors. It also allows contractors to demand payroll information from subcontractors and withhold payment if the information is not provided. The law exempts home-improvement contracts except for the construction of more than ten one-or two-family owner/ occupied dwellings. Advocates say the law will incentivize general contractors to be more selective in the hiring of subcontractors, with the hope that greater oversight will promote safer working conditions on construction sites and force illegitimate subcontractors out of the industry. Opponents vocalize various concerns about the new law, including the belief that it overcomplicates the process for contractors. Assembly member Latoya Joyner said, “This legislation protects the interests

of hardworking construction workers over unscrupulous subcontractors. Wage theft is a crime of opportunity that disproportionately affects people who are already living paycheck to paycheck.” The New York State Building & Construction Trades Council, representing more than 200,000 unionized employees, called the bill’s passage a “monumental victory for working people.” Meanwhile, the Associated General Contractors of New York State, which represents construction employers, oppose the legislation. While the group supports wage theft prevention, they view the legislation unfavorably because it extends liability for up to three years after a project has been completed. The new law “creates an unmanageable level of risk for general contractors,” according to Mike Elmendorf, CEO of AGC NYS. He says it “slows payments to subcontractors, and raises the cost of construction.”

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

payment status in paying wages and making any applicable fringe or other benefitpaymentsorcontributionsto third party on its employee’s behalf”; • The names of all of the subcontractor’s workers (including independent contractors) on a project; • The name of the contractor’s subcontractor with whom such subcontractor is under contract; • The subcontractor’s contract start date and duration of work; • The identity of unions with which the subcontractor is a signatory; and • Contact information for the subcontractor’s designated contact.

If a subcontractor at any tier fails to provide the above-mentioned information, the contractor may withhold payment otherwise due to Whatever your stance is, in order that subcontractor. Make sure you are to reduce exposure to wage claims operatingatpeakfinancialefficiency under the new law, New York byleavingyourfinancialstatements, contractors need to act now. It’s a best internal auditing, and overall practice to consider revising standard business analyses to a professional contracts and developing procedures and reputable team. At our company, for collecting the information that we prioritize developing a positive contractors are entitled to receive relationship that helps you prepare for from subcontractors under the new the future and all of the uncertainty law.Specifically,uponacontractor’s that comes with it. request, a subcontractor must provide: Sources: Governor.NY.GOV, NYSenate.Gov

• Certifiedpayrollrecordscontaining “sufficientinformationtoapprisethe contractor...of such subcontractor’s

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Economists See Positive Indicators for 2022 but Variables Could have an Impact Demand will most likely flatten, labor remains tight, and the virus is still the wildcard By Lon Birnholz

he construction outlook for 2022 is looking positive, but the industry will face challenges as most contractors and subcontractors look back at

money available for construction projects. Plus, much of the money for government construction included in the American Rescue Plan has yet to be spent.

a better-than-expected 2021.

Supply shortage, prices hikes could projections. Afterthebottomfelloutinthefirsthalfofdampen 20when coronavirus-related shutdowns stalled the nation, the economy came roaring back in the second half with enough demand—driven mainly by consumer spending—to carry over into 2021. The impacts of the Infrastructure Investment and Jobs Act won’t be as immediate as the 2009 infrastructure package, which was focused more on shovel-ready projects to kickstart the economy, but it is expected that projects from the new infrastructure package will be released in the third and fourth quarters of 2022. Skyrocketing home prices may also have a positive impact on the construction industry. Local governments drive much of their revenue from property taxes, and analysts say home re-assessments will mean more tax base for many communities, ensuring those governments still have 58

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Although the prices of some raw materials fell in December, costs are still sky high for contractors looking to purchase them, according to an analysis by the Associated General Contractors of America. Overall, the price of construction materials jumped nearly 20 percent in 2021. Rising material prices and supply shortages that could dampen starts in 2022, said Dodge Chief Economist Richard Branch. He noted that material price increases are starting to erode, but they’re still 30 percent up over last year. He expects increases to continue until mid-2022, begin to pull back in the second half of the year, and remain high throughout 2022.

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Economists See Positive Indicators for 2022 but Variables Could have an Impact

The price index for steel mill products rose 0.2 percent in December, its smallest rise in 15 months, but soared 127.2 percent over 12 months, according to AGC. The index for diesel fuel declined 5.3 percent for the month but increased 54.9 percent for the year. The index for aluminum mill shapes slid 4.9 percent in December but rose 29.8 percent over 12 months, while the index for copper and brass mill shapes fell 3.3 percent in December but rose 23.4 percent over the year. Material delivery delays are affecting 60 percent of small construction businesses. “And that is causing production delays, causing shipping delays and continuing to ripple through the lifecycle of a project,” he says. “So even as those prices cool in 2022, this web is very tangled, and these issues will continue to exert downward pressure on construction starts as we move into 2022.” This also translates into construction projects taking longer to get started and completed.

CONSTRUCTION SPENDING (Seasonally Adjusted Annual Rate (SAAR)) Millions of dollars

The index for lumber and plywood rose 12.7 percent and 17.6 percent. One key issue, said the AGC in the release, is that the rising materials prices are threatening to set back a strong picture of economic growth and recovery for the construction industry and damage its outlook in 2022.

Growth predictions come with caveats

Economists based their forecasts on some assumptions, including the successful passage of the Infrastructure Investment and Jobs Act, increased vaccination numbers and lower severe COVID-19 infection rates, and manageableinflation.So,projectionsare“this Withaninfluxofnewcivilprojectsonthehorizon with “that” doesn’t happen. One constant is labor shortages. funding from the federal infrastructure act, contractor Supply-chain constraints will dog the industry for at least optimism is high for the coming year, according to the half the year. survey from the AGC. The association found that 74 “When we look at projects in our pre-planning stages, they are currently taking about nine months longer to break ground than they were prior to February 2020,” he says.

percentofsurveyedfirmsplannedtohireindespite 2 0 “I think it’s very clear, if not for the challenges including supply chain issues and other challenges. the shortages we are facing in labor and materials, that construction activity would be much stronger,” said The producer price index for inputs to new nonresidential Branch. Add COVID-19, and “the near-term future is construction — the prices charged by goods producers shaped by what we went through over the last 21 months.” and service providers, such as distributors and transportationfirms— WAREHOUSE CONSTRUCTION BREAKING RECORDS Warehouse Construction Starts increased by 0.5 percent (Billions of dollars) in December and 19.6 percent in 2021 as a whole, according to the release. The index price for plastic construction products, for example, climbed 1.3 percent for the month and 34 percent over 12 months, according to the release. ON THE LEVEL:

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PARAMOUNT BUILDING CONSTRUCTION INC. 28 WINDSOR HIGHWAY NEW WINDSOR, NY 12553 845.569.0970

GENERAL CONTRACTOR        

Metal Framing Drywall Insulation Carpentry ACT Ceilings Doors/Hardware Millwork Specialty Construction

ON THE LEVEL:

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ON THE LEVEL:

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MEMBERS IN THE NEWS The Construction Contractors Association has promoted

Millie Rodriguez to Executive Assistant with expanded responsibilities. Millie, who grew up in the City of Newburgh, joined the CCA in 2017. She is married to husbandJoseandhasfourchildren.Shelikestofish,h and spend quality time with her family. Millie Rodriguez

In January the CCA added Tracey Carbillano to the position

Tracey Carbillano

of administrative assistant. A former executive assistant to the president of a regional telephone/cable company, Tracey

was born and raised in the Fishkill area and now lives in East Fishkill her husband Mark and dog Bugsy. She enjoys gardening and spending time with her grandson. “We are so fortunate to have such talented people working for the association,” said CCA Executive Director Alan

Seidman.“Milliehastrulykepttheofficerunningwithherorganizationalskillsandabilityt come up for our members and partners in the trades. Her dedication and drive will help the association grow in the coming months and years.” He added, “In the short time Tracey has been with the CCA she has already had a positive impactintheoffice,fortheassociationanditsmembers.”

The North Atlantic States Carpenters Training Fund held a ribbon-cutting in Rock Tavern in November for a comprehensive training center to serve the Hudson Valley region in New York. “We are proud to open a new, state-of-the-art training facility that will expand career opportunities to a new generation of carpenters. The best way to ensure a great future is to train for it,” said Bill Banfield, Assistant to the Executive SecretaryTreasurer, NASRCC. The newly renovated building located at 52 Stone Castle Roadprovidessquare 0 ,52 feetofoffice,classroomand training space to apprentices and journey-level members. “This facility is built not only for today but for tomorrow’s workforce. We’re proud to have quality instructors and staff here and we’re happy to have our apprentices working locally, training locally and living locally to benefitourconstructionpartners, Atlantic ”saidNorth States Carpenters Training Fund Assistant Executive Director James Hayes. “We take great pride in training for the skills, knowledge and tools of tomorrow to ensure the most productive and professional workforce.”

ON THE LEVEL:

NYS Dept. of Labor Commissioner Roberta Reardon speaks at the opening of the North Atlantic States Carpenters Training Fund in Rock Tavern.

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The New York State Laborers Union Local 17 joined Sen. James Skoufis and Assemblyman Jonathan Jacobson to give out fresh pillows and cozy pajamas last November to Newburgh families in need. Following the success of last year’s inaugural event, the New York State Laborers, under the union’s Feel the Care community outreach initiative, again partnered with the Newburgh Armory Unity Center to hand out a total of 612 pillows and 665 sets of pajamas to Newburgh families in time for the holidays. The past two years have been

From left, State Sen. James Skoufis, Fred Butwell, New York State Laborer’ Organizing Fund; Todd Diorio, Local 17 Business Manager especiallydifficultonfamiliesacrossthecountry, andthe Assemblyman Jonathan Jacobson and Dean Tamburri from Local 17 hand out fresh pillows and cozy pajamas at the Newburgh Laborers are proud to have the opportunity to cross these Armory Unity Center.

items off holiday shopping lists.

“Laborers Local 17 is committed to being a strong community partner here in Newburgh, and throughout our region,” said Todd Diorio, Business Manager, Laborers Local 17. “It’s our belief that as our union thrives, it’s our duty to do what we can to help our community thrive. By creating partnerships with extraordinary organizations such as the Newburgh Armory Unity Center, we have the ability to volunteer our time and resources to uplift those in need – and we consider it a privilege to do so.”

Keith Dommreis, CPA

Donna Crowley, CPA

RBT CPAs LLP, has admitted Keith Dommreis CPA, of Poughkeepsie to the partnership.Hehasbeenwiththefirm since January of 2020 and is currently workingoutoftheNewburghoffice inthe TaxDepartment. Thefirmalso admitted Donna Crowley CPA, of Wallkill to the partnership. She has been with RBT since September of 2005 and is currently working out of the Newburgh officeinthe AuditDepartment.

The board of directors at Hudson Valley Pattern for Progress appointed Adam Bosch as the organization’s president and chief executiveofficer.Bosch,alifelongresident Valley, oftheHudson worked as a journalist, college professor, and policy analyst across the region before joining the senior leadership team of the New York City water supply system. He replaces Jonathan Drapkin who retired after 15 years of leading the organization. Adam Bosch ON THE LEVEL:

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WE’RE HERE FOR YOU Your health and safety have always been our priority. Learn more about what MSLC is doing to keep you healthy and safe at www.MontefioreSLC.org

OUR HEALTHCARE PROFESSIONALS ARE READY TO SERVE YOUR NEEDS.

Cornwall

Newburgh

• Emergency Department • Littman Cancer Center including • Level III Trauma Center Radiation Oncology and Infusion Center • Surgical Services • Ear, Nose and Throat Services • Cardiovascular Institute • Kreisberg Center for Pain Management • Metabolic and Bariatric Surgery • Orthopedics and Total Joint Replacement • Wound Healing and Hyperbaric Medicine • The Medical Group at Montefiore St. • Imaging Services Luke’s Cornwall • Diabetes Management • Center for Sleep Medicine • Nutrition Counseling • Dialysis Center • Laboratory Services • Thoracic Surgery • Diabetes Management • Men’s Health and Urology • Rehabilitative Services including Physical, • Birthing Center Occupational and Speech Therapies, • Neonatal Intensive Care Unit Fishkill

• Center for Rehabilitation • Center for Sleep Medicine

ON THE LEVEL:

Driver Evaluation and Advisement, Center for Cognitive and Memory Services and Cardiopulmonary Rehabilitation

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Is an Experience Rating a Good Way to Judge a Subcontractor’s Safety Record? By Barry Lovell

The short answer to the question is no. There are times when a poor experience rating is an indication of poor safety practices, but that is not always the case.

Barry Lovell, President Lovell Safety Management Co., LLC. 212-709-8600

blovell@lovellsafety.com

The Rating Board has created an animated video at Workers’ Compensation is a no-fault system, and the workers’ https://www.nycirb.org/experience-rating-transition.php. compensationbenefitsreceivedbyinjuredworkersarenot I strongly suggest you spend some time with Ronnie affected by whether the employee, the employer, or some Ratingboard, to understand the new system. third party caused a claim. Many contractors still rely on experienceratingsknown ( asexperiencemodifiersor“ex mods”) to judge subcontractors. Contractors should rethink this practice, especially in light of upcoming revisions.

Every policy over a certain minimum size is required to have an experience rating calculated by the New York Compensation Insurance Rating Board. This rating follows a policyholder no matter where they purchase their insurance and is one of several pricing factors on their policy. A rating compares the loss experience of a business to similar businessesandcaneithersignificantlylower,orsignificantly increase the cost of workers’ compensation insurance. The maximum rating that can be applied to a policy will be function of the number of claims incurred, so contractors Recently,New Yorkadoptedsignificantchangestoaits should pay special attention to New York’s legal Experience Rating system that will take effect for policies requirementsregardingthefilingofclaims.Self-paying renewing on or after October 1, 2022. The New York small medical-only claims will likely make even more Compensation Insurance Rating Board sought to address economic sense where it is legal to do so. two primary issues: Another factor that is more reliable than an experience Thefirstissueiscomplexity. Theoldmodificationformula rating is the price at which an insurance company is willing was hard to understand and contained a number of technical to insure a policyholder. Nearly 300 carriers compete in the actuarial factors. The Rating Board believed that it was $4.7their billion New York workers’ compensation insurance particularlydifficultforemployerstotrackhow market and can price policies competitively. payrolls and losses ultimately contributed to the modificationcalculation. An insurer’s livelihood depends upon its ability to price risk. If a carrier, which can review the details of any given claim, The second issue was one of cost distribution. When the is still willing to write an insurance policy for a contractor Rating Board divided policyholders into quintiles, they found with a high experience rating at a relatively competitive that the top 20 percent of policies in terms of loss record were price, then that is a good indication that the cause of the insufficientlyrewardedbythemodificationsystem, while high experience rating were circumstances that the carrier the bottom 20 percent were still paying too little. The Board does not expect to be repeated. believes that the new revised rating formula will yield a fairer distribution of the costs of the system. The keys to the new system involve something called variable split points and caps tied to accident frequency.

ON THE LEVEL:

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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

Members can take advantage of our health insurance plans that offer: •

Multiple plans to choose from

•

Contact list of professional contractors, suppliers and service providers

•

Favorable premium rates not available in the open market

•

Direct networking with our members at golf outings, lobster bake and holiday gathering

•

Highly rated national insurance companies

•

Extensive lists of preferred providers

•

Availability of PPE supplies

FOR MEMBERSHIP: Call 845-562-4280 or info@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 66

ON THE LEVEL:

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OLORI CRANE SERVICE, INC. Serving the building trades of the Lower Hudson Valley Since 1950

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

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Lattice Boom Crawler Cranes to 100 ton Lattice Boom Truck Cranes to 100 ton Hydraulic All Terrain Cranes to 300 ton Rough Terrain Cranes to 35 ton Industrial Cranes to 15 ton

845-623-1267 www.OloriCrane.com “We measure success not in dollars, but in the longstanding business relationships we’ve built over the last seventy years. “ Ron Olori, Jr.

ON THE LEVEL:

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CCA Holiday Charity Event The annual CCA Holiday Get-Together and Charity Event showed this is truly a season of giving. Association members, building trade partners and friends generously donated more than $12,000 to regional charities. CCA Executive Director Alan Seidman presented checks to Jaci Balcombe of the Food Bank of the Hudson Valley; Dan Grady, President and CEO of Hospice of Orange and Sullivan Counties and Tom Conklin and Kristine Burton of the Make-A-Wish Foundation. More than 160 people attended the Nov. 29 event at the Powelton Club in Newburgh.

hneider, r Joe Sc ssistant re u s a re 37 T nd A , Local 1 ughlin a From left anager Jeff Lo . M n s a Busines irector Dave Ry D Training

Mark Stier, at top, and Joe Jerkowski, at right, are presented with plaques of appreciation for their six years on the CCA board. Both members had termed out.

ON THE LEVEL:

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Michael Sw ensen, left ,a right, from RBT CPA’s, nd Tom Zupan, with Dillon of Marsha Fontaine ll & Sterlin g Insuranc e.

ON THE LEVEL:

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From the Officers and 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 Michael Sweeney – Nick Cassetta – Michael Zottola – Joe Molella Finance Committee Paul Cancellaro – Paul Abbatiello – James Buckley Examining Board Larry Muir – Sean Nickerson – John Ellis – Frank DeJesus Recording Secretary – Donald Calabrese Inside Guard – Anthony Masselli Treasurer – Brian Foley

ON THE LEVEL:

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OUR MEMBERS ABM Air Conditioning F & F Mechanical Advanced Disaster Recovery, Inc. Fairway Testing Co., Inc. Advance Testing Company, Inc. Federated Mutual Insurance Company AffinityBSTAdvisors,LLC Ferrari & Sons, Inc. Alfandre Architecture, P.C. Focus Media All Bright Electric Goldinson Corp. AMX Contracting Corp. Grassi & Co. CPAs Andron Construction Corp. Halmar International, LLC Antalek & Moore insurance Agency Harden Sheet Metal, Inc. Architectural Door & Hardware of NY Helmer-Cronin Construction Argenio Brothers, Inc. Herzog’s Home & Paint Center Armistead Mechanical, Inc. Hesnor Engineering Associates Atlas Security Services - Guards/Patrols H.T. Lyons Inc. B. Miller Masonry, Inc. Holt Construction Corp. Barone Construction Group, Inc. Howard Hanna Realty Basec Corp. iSER Consulting, LLC Beam Enterprises, Inc. J & M Heating & AC, Inc. Blue Eagle Security. Inc James McGowan & Son Masonry, Inc. BNY Mellon Jett Industries, Inc. The Bonadio Group KCM Contracting Inc. BroadfieldGroup,LLC Key Construction Services Butler Construction Group, Inc. Keystone Management Associates, LLC Callanan Industries, Inc. Lakeland Bank Carey & Walsh LeChase Construction Services Casler Masonry, Inc. Liberty Mutual Catania, Mahn & Rider, PLLC Liscum, McCormack C.B. Strain & Co. (A division of & Van Voorhis, LLP Dynamic Systems) Lovell Safety Management Co. Central Hudson Gas & Electric Corp. M & T Bank Clean Air Quality Service, Inc. Marshall & Sterling CohnReznick, LLP Matrix Asset Advisors, Inc. Colliers Engineering & Design CT, P.C. McGoey, Hauser Con-Tech Construction Technology, Inc. & Edsall Consulting Engineers Couch White, LLP MDS HVAC-R, Inc. Council of Industry Merrill Lynch of Southeastern New York Milliman, Inc. CSG Partners - ESOP Advisory Modernfold/Styles Custom Exterior Systems Nadoka Luxury Cleaning D.A. Collins Construction Co. Inc. New Beginnings Window & Door D & G Electrical Supply Co., Inc Nexgen Protection Services LLC John W. Danforth Company Northwestern Mutual Darlind Associates, Inc. NXG Insurance Group DeBrino Caulking Associates Olori Crane Service, Inc. Delaware Engineering Orange & Rockland Utilities D.L. Flow Tech Orange Bank & Trust Ductmate Industries Orange County Chamber of Commerce Durante Rental Orange County Ironworks LLC Dutchess County Regional Chamber Paramount Building Construction, Inc. of Commerce Partner Equipment Rental ECCO III Enterprises, Inc. Pattern For Progress EMF Technical Services, Inc. PCC Contracting, Inc. Enviro-Clean Pearl River Sheet Metal

ON THE LEVEL:

Penlyn Construction Corporation Perfezione Painting, Inc. Perreca Electric, Inc. The Pike Company Pittman & Brown, Inc. PKF O’Connor Davies, LLP Printeks Construction Documentation Services Profex, Inc. RAL Supply Company Raritan Group, Inc Ray S. Pantel, Inc. RBT CPAs Rhinebeck Bank Rider, Weiner & Frankel, P.C. Riverside Bank RKB Sheet Metal Rockland Business Association Ross-Ellis & Associates, LLC Steven A. Scala, CPA, P.C. Schultheis & Panettieri, LLP Schumacher Systems, Inc. Service Scaffold Company, Inc. William A. Smith and Son Insurance Specialty Trades Contracting, LLC Stacey Braun Associates, Inc. Sterling National Bank Sullivan Construction Group, LLC Sullivan County Partnership for Economic Development Sullivan Fire Protection Corp. Taconic Heating & Cooling Taylor Recycling Facility, LLC TDX Construction Corporation Tectonic Engineering Consultants, Geologists & Land Surveyors, DPC Thomas J. Kempton, Jr., Inc. Tri State Associated Services, Inc. Tri-State Drywall & Acoustical, Inc. Turner Mechanical Service U.S. Test & Balance Corp. U.W. Marx Construction Company Ulster Savings Bank United Rentals United Spray LLC Upstate Electrical, LLC Walden Savings Bank Wallkill Valley Federal Savings & Loan Association Welby, Brady & Greenblatt, LLP World Insurance Associates, LLC As of Feb.4, 2022

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ON THE LEVEL:

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ADVERTISERS INDEX AffinityBSTAdvisors Page . . . . . . . . . . . . . . . . . . . . 57 Advance Testing Company, Inc.................................................................................... Page 76 Alfandre Architecture, P.C............................................................................................ Page 72 Armistead Mechanical, Inc........................................................................................... Page 14 Barrett, Inc..................................................................................................................... Page 30 Beam Enterprises, Inc....................................................................................................Page 61 Bricklayers & Mason Local 1 NY................................................................................. Page 38 Catania, Mahon & Rider, P.L.L.C................................................................................. Page 31 Couch White, LLP......................................................................................................... Page 69 Darlind Associates, Inc.................................................................................................. Page 5 Holt Construction Corp................................................................................................. Page 49 Grassi Advisors & Accountants.................................................................................... Page 45 Ironworkers Local 417.................................................................................................. Page 26 Key Construction Services............................................................................................ Page 13 Laborers Local 17 L.E.C.E.T........................................................................................ Page 45 Laborers Local 235........................................................................................................ Page 53 Laborers Local 754........................................................................................................ Page 15 Lovell Safety Management Co..................................................................................... Page 2 M&T Bank..................................................................................................................... Page 25 Marshall & Sterling....................................................................................................... Page 24 MontefioreSt.Luke’sCornwall. Page . . . . . . . . . . . . . . . . . 46 James McGowan & Son Masonry, Inc......................................................................... Page 67 North Atlantic States Regional Council of Carpenters................................................. Page 44 Northwestern Mutual.....................................................................................................Page 6 Olori Crane Service, Inc................................................................................................ Page 69 Operating Engineers Local 137.....................................................................................Page 48 Orange & Rockland Utilities – Dig Safely................................................................... Page 56 Paramount Building Construction, Inc......................................................................... Page 60 Perreca Electric, Inc.......................................................................................................Page 14 The Pike Company........................................................................................................ Page 68 PlumbersSteamfitters & Local Page . . . . . . . . . . . . . . . . 12 27 Printeks Construction Documentation Services........................................................... Page 25 RBT CPAs..................................................................................................................... Page 39 William A. Smith & Son Insurance...............................................................................Page 67 Taylor-Montgomery, LLC............................................................................................. Page 34 Tectonic Engineering Consultants, Geologists & Land Surveyors, D.P.C. ................ Page 28 Tri-State Drywall & Acoustical, Inc............................................................................. Page 35 Welby, Brady & Greenblatt, LLP.................................................................................. Page 52

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On the Level: Winter 2022

Articles inside

General Contractors Face New Liability Scrutiny for Wage Theft by Subcontractors

Overuse Injuries in the Workplace Can Be Eased or Eliminated

LeChase Center to Train Workers to Contain Noise, Dust During Construction at Health Facilities

What is a Net Zero Energy Building and Why it’s the Building of the Future

Thinking About Resigning? Think About Your Health Benefits

Stop Calling It “Estate” Planning when it’s Actually Family Planning