UAC Magazine - July/August 2017 by Georgia Urban Ag Council

Focus on

water conservation & irrigation

URBAN AG COUNCIL MAGAZINE GEORGIA

Keeping Georgiaâ&#x20AC;&#x2122;s green industry informed

UAC MAGAZINE | JULY/AUGUST 2017

JULY/AUGUST 2017

Advocate. Educate. Promote.1

UAC MAGAZINE | JULY/AUGUST 2017

UAC Magazine Official publication of the Georgia Urban Agriculture Council

Board of Directors Todd Jarrett, President Arbor Hill Nurseries Matt Lowe Swift Straw Josh Morrow Athletic Fields, Inc. Ken Morrow Sod Atlanta Chris Nelson Chattahoochee Nature Center Bob Scott Irrigation Consultant Services Ray Wiedman Outdoor Expressions Ron White TurfPride Dixie Speck, Past President Solterra Landscape

Ex Officio Ellen Bauske UGA Extension Public Service Assistant Bodie Pennisi UGA Extension Horticulturist Clint Waltz UGA Extension Turf Agronomist

Staff Mary Kay Woodworth Executive Director Kathy Gatten Johnson Marketing Director & Editor

A member of:

GEORGIA

JULY/AUGUST 2017

UAC NEWS

4 6

Executive Director message Members-only content Waiting for you online

REGULAR FEATURES

8 10 12 14 16 18 20 22

Save the date Pest 411 Snake sighting? Keep calm and mow on Have you met...Brooks Aaron Hutcheson, Hutcheson Horticultural Me & my mentor Jim McCutcheon, HighGrove Partners Health & benefits Beat the heat: Keeping crews safe from the sun Safety works Put more safety in your work: Contact 811 before you dig Pro Project Minimal maintenance and water smart: Southern Trillium What the tech? Wear your "green" on your sleeves

BUSINESS 24 26 30 34 36 38 41

Workforce development series New models of compensation Amp up the profits Add value to your irrigation services Smart service Advanced irrigation controllers just make sense How do you build the perfect team? A road map Landscaper's nightmare A true story every business owner must read EBITDA explained No-fluff number that tells what your company is worth The straight and narrow The importance of ethical business practices

INDUSTRY 42 44 47 48

A profitable partnership Landscaping, irrigation + water management Economic impact The details behind proposed state-sponsored work visas July is Smart Irrigation Month July 11 is Irrigation Technology Tuesday Bishop joins NALP First ever Director of Technical Education

URBAN AG

50 52 56 58

'Inferno' coleus Stunning orange foliage of perfection WaterSmart color concepts Drought and heat tolerant floriculture Drain the rain Options for keeping athletic fields dry Field test for peak performance Getting efficient with your flow sensor

UAC MAGAZINE | JULY/AUGUST 2017

Atlanta Botanical Garden Georgia Agribusiness Council Georgia Arborist Association Georgia Association of Water Professionals Georgia Green Industry Association Georgia Urban Forest Council Georgia Water Alliance National Association of Landscape Professionals Southern Nursery Association

URBAN AG COUNCIL MAGAZINE

UAC NEWS

Dear UAC Members and Supporters, I hope that you, your families and your employees are having a great summer, and

that you find time to relax and reenergize for fall.

UAC MAGAZINE | JULY/AUGUST 2017

I’d like to tell you that the labor shortage has magically ended, but as all our members know, it is worsening. The lowest unemployment rate since 2001 and the uptick in construction labor needs increases the competition for available, productive workers. While we continue to seek long-term solutions (lobbying our Federal representatives for legislation to create a viable, legal immigrant work force, encouraging use of the Federal H2B visa program, working with CEFGA, NALP and other organizations to “tell the story” about our industry), none of these brings immediate relief. Proposed legislation by Wisconsin Senator Ron Johnson “State Sponsored Visa Pilot Program of 2017”) allows individual states to create their own guest worker programs. While it may go nowhere, it’s a conversation starter. Read a description and an economic analysis from an editorial by the American Action Forum on page 44.

Unfortunately, we continue to hear reports of unethical hiring practices and bidding by landscape contracting businesses (including current members). Reports of recruiting in the field, going onsite to recruit working crews, offering under the table pay, lowballing bids and underpaying labor crews helps no one. One of our long-time members sent me this email: “I am tired of my employees coming in and telling me that an HR director from “XYZ Company” is trying to recruit them while they're at their lunch break or filling up gas. I don't think this is a recruiting technique that a reputable company would follow. I know we all are desperate for help but when we lower our standards the industry itself will suffer I know we can't stop this but at some point, we need to have some standards of recruiting that members should follow. In the corporate world, I don't think people come into lunch rooms and restaurants looking for nametags and trying

to hire people on the spot. I know we're not corporate but we are an organization that is supposed to have standards and ethics.”

As a UAC member, you agreed to adhere to a Code of Ethics, and these practices violate the spirit of this code. It’s a call that I don’t like to make, but if we receive a complaint, you will be hearing from me. Please think about unethical business practices, and the effect they have on your company, your employees and the industry. Read more about the payoffs for ethical business practices on page 41. I recently returned from the Pareto Captive Services Annual Conference in Nashville, sponsored by Snellings Walters, our insurance partner. Pareto is the company that forms and manages employee benefit group captives that allow employers to reduce costs and increase control over its employee benefit program, including the UAC insurance program. Pareto and Snellings Walters work with employers to develop and execute a multi-year business plan and provide management reports and tools to measure progress of the plan. Clearly, the UAC Board of Directors made the right choice in partnering with Snellings Walters for our insurance programs (including our “captive” program for 50+ size companies). What I learned from listening to hundreds of business owners and human resource professionals who made the decision to move their companies and employees into the captive/ self-insured arena was inspiring and motivating. By taking control of their health benefits and costs, these companies serve their employees better, reduce costs and boost their bottom lines. Additional products and plans that Snellings Walters offers for smaller companies are also exceptional, along with the UAC Workers Comp Program and all other insurance lines. I hope that you will contact Snellings Walters at 770.396.9600 for additional information.

UAC NEWS UAC’s networking events gear up again in late summer. On Aug. 29 we are thrilled to welcome back nationally recognized economist Roger Tutterow for an educational and entertaining presentation of data and analysis of the U.S. economy, how politics effects the economy, and his predictions for the future. Sept. 12 will find us at Chattahoochee Tech’s North Metro campus to interact with current horticulture students (your potential employees), followed by our popular “Dinner with Champions” on Sept. 26.

The annual UAC Sporting Clays Tournament is set for Oct. 12, and the UAC Georgia Sod Producers Field Day will be Oct. 31/Nov. 1. We close out 2017 with the EDGE Expo Educational Conference on Dec. 7. See page 8 for more info. Thank you for your support and membership. Your commitment to the industry and our association is appreciated. Please encourage your industry colleagues to join you as a member! There is power in numbers, and every company that is operating should invest in UAC. Mary Kay Woodworth Executive Director

UAC Code of Ethics As a member of UAC, I agree to adhere to the following principles: • To promote honesty and professionalism at all times; • To promote and encourage best management practices; • To improve my skills and knowledge and to encourage education and research; and • To elevate public awareness of the professionalism of the urban ag industry through my investment in the association.

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UAC MAGAZINE | JULY/AUGUST 2017

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UAC NEWS

Attention UAC business level members! Look at all the members-only content that's waiting for you online.

Business

Update your member profile Help customers find you and make the most of your UAC membership by keeping your profile up to date. > > > > > >

Upload your logo Upload photos of your work Update your service regions Update your contractor services Update your vendor services Renew your membership Keep your UAC membership current by renewing online, any day, any time.

Download a member directory

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Order Dream Big! brochures for clients

Use this brochure to educate your clients about what sets a Georgia Urban Ag Council member apart, the value of green in our lives, and things they need to consider before starting a landscape project.

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What happens at a legislative level in the state effects your business. Stay up to date with Inside Ag.

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Events

Now that you’re logged in, you can register for any UAC event at the discounted member rate.

Enter the details for your industry-related event to have it posted on this website.

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Safety

Visit UAC Safety School

UAC MAGAZINE | JULY/AUGUST 2017

View and download training content, slide presentations, and attendance sheets on a wide range of safety topics.

Apply for Safety Zone Awards

UAC’s annual Safety Zone Awards recognize and reward members for their safety efforts. No cost to enter.

Download Safety T.E.S.T. documents (Task/Equipment Specific Training)

Everything you need to conduct safety training on the equipment your employees use every day.

Awards

Enter GALA (Georgia Landscape Awards) Get your company recognized and rewarded! Submit your projects for these annual awards.

Education

Browse through UAC dinner meeting documents

Missed a UAC dinner? Look here for related documents.

UAC members can access past issues at any time.

View past issues of UAC Magazine

UAC NEWS

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Under the “MEMBERSHIP” tab, click on “Membersonly content” The email used when your company joined UAC is what you need here. Forgot? Call us: 800.687.6949

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Order marketing materials ger.

Greener. Smarter. Stron Proud member

Dream big!

COUNCIL URBANG EAG ORGIA

te.

Advocate. Educate. Promo

UAC Code of Ethics

As a member of UAC, I agree

to adhere to the following

principles:

onalism at all times; To promote honesty and professi s; best management practice ; and To promote and encourage ge education and research knowledge and to encoura To improve my skills and y through onalism of the urban ag industr professi the of ss awarene To elevate public ion. associat the in my investment economic benefits of urban • for the environmental and UAC advocates agriculture. management practices for • our members with the best tes educa UAC ic sustainability by working environmental and econom for Urban Agriculture. closely with the UGA Center ging among its members by encoura onalism professi • UAC promotes ce to industry standards, and continuing education, adheren s. best management practice reputable locate rs manage y • consumers and propert UAC helps professionals. ion, standards through associat • the industry maintain high education, and recognition. ’s urban ag ment to the future of Georgia commit firm its • es UAC demonstrat of Ethics. industry through its Code the nity to improve and support • its members the opportu UAC offers good. industry for the common

• • • •

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Visit UAC Safety School Select your topic then download the training materials.

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UAC MAGAZINE | JULY/AUGUST 2017

Once approved, your job posting will remain on the site for 30 days.

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SAVE THE DATE

Visit urbanagcouncil.com for updates and to register.

"On the Economic, Business & Political Climate"

AUG

Speaker: Roger Tutterow

Networking + Education Dinner

Professor of Economics and Director of the Econometric Center, a research center housed in the Coles College of Business, Kennesaw State University

DATE: Tuesday, August 29 TIME: 5:30 cash bar | 6:30 dinner PLACE: Heritage Sandy Springs | 6110 Blue Stone Rd NE | Atlanta GA 30328

Meet your future employees at Chattahoochee Tech! All Georgia horticulture/turfgrass students and industry members are invited to attend.

DATE: Tuesday, September 12 TIME: 5:30 pm - 8:00 pm PLACE: Chattahoochee Tech North Metro Campus | 5198 Ross Road | Acworth GA 30102

Horticulture Building

SEP

TOPIC: Dinner with Champions

DATE: Tuesday, September 26 TIME: 5:30 cash bar | 6:30 dinner PLACE: Heritage Sandy Springs | 6110 Blue Stone Rd NE | Atlanta GA 30328

Networking + Education Dinner

5th Annual UAC Sporting Clays Tournament

OCT

Blast your troubles away | Win prizes | Eat BBQ

GEORGIA

SOD+TURF GEORGIA

PRODUCERS d a y

NOV

DEC

DATE:

Tuesday, October 31 & Wednesday, November 1 (Reception for attendees and exhibitors Tuesday night) PLACE: Perry GA & Fort Valley GA

appl ci

Sponsored by

Schedule, exhibitor info, registration: urbanagcouncil.com

UAC MAGAZINE | JULY/AUGUST 2017

Pes

applied

For more information on Georgia’s “Dig Law,” the Georgia Facilities Protection Act, visit the Georgia Public Service Commission’s web site at psc.state. ga.us. Georgia 811 can be reached with any process-related questions by dialing 811 or emailing eRequest@georgia811. com.

SAVE THE DATE PRO PROJECT

Minimal maintenance and water smart Project by Southern Trillium, LLC southerntrillium.com

The new homeowners' main objective was to transform the small lot into a private

BEFORE: View of the backyard, which had been neglected for many years.

garden that they could enjoy with minimal maintenance, as they planned to do almost all of the maintenance themselves. They wanted a small sitting area in the front yard to relax and see neighbors as they walked along the street. In the backyard they wanted a place to gather around a fire with family and friends. Because of their love of the game of cornhole, we created a hidden terrace in the garden for a permanent installation using granite boards. The remainder of the property has narrow paths to enjoy every square foot.

UAC MAGAZINE | JULY/AUGUST 2017

View of the backyard showing the new small lawn, an outdoor sitting area with firepit and simple plantings around the perimeter.

View of the small sitting area created in the front yard.

The bubbling boulder water feature we installed for the client.

This residence is located in the Druid Hills Historic Preservation District on one of the most carefully protected streets for the historic style. Therefore, our design had to not only meet the clientâ&#x20AC;&#x2122;s requests but also satisfy the Historic board. Part of the rear of the property is a stream buffer, so we had to do all of the work without equipment, which also benefitted the tree root zones. Hiding the 1,500-gallon rain harvesting system under the deck required removing deck posts for installation.

PRO PROJECT

View of front corner of the house looking along the left side of property with a narrow garden path. A custom-built cedar gate sits at the end of the path.

The client wanted a beautiful garden that would be easy to establish and maintain for years to come, so the initial design decisions incorporated native plants. Careful selection and placement of plants reduces plant stress and allow for minimal care. The amount of lawn on the entire property was minimized to less than 500 square feet. Site work on the front of the house and left side allowed for water runoff to move through the landscape and appropriate plants were selected that would tolerate the periodic wet conditions. Crushed stone pathways and terraced areas were used to maintain as much permeable surface area as possible.

GALA

GEORGIA URBAN AG COUNCIL

GEORGIA LANDSCAPE AWARDS

AWARD WINNER:

Distinction & Green Star

This area of the backyard, under the tree canopy, was transformed into a terrace for playing cornhole. Custom-built granite cornhole boards are on the terrace, along with reclaimed granite cobbles found on-site.

All irrigation is supplied via this rain harvesting system. A 1,500-gallon tank with a self-cleaning filtration system irrigates the entire property using drip irrigation. The lawn is not irrigated.

UAC MAGAZINE | JULY/AUGUST 2017

View from backyard firepit area. Custom panels were installed under the deck to hide storage. Also hidden under the deck is a 1,500 gallon rain harvesting system.

WHAT THE TECH?

Wear your "green" on your sleeves

Internet marketing for eco-friendly businesses by Dawn V. Brown, WebTech Marketing Services If you’re running an environmentally conscious business, it’s

Showing your clients that you care about the environment is a great selling point.

important to highlight this value to your customers and stakeholders. Showing your clients that you care about the environment is a great selling point. There are a variety of marketing activities you can engage in on your website and on social media to show that you uphold environmentally friendly business practices.

Here are some tips that can help you implement green marketing initiatives and boost your online marketing efforts. Create a strong green message. The green marketing strategy that you implement needs to be a well thought-out business plan rather than a mere PR gimmick.

UAC MAGAZINE | JULY/AUGUST 2017

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You want to create key communication points that your customers can easily identify in your business. Keep these points focused and succinct, and consider tying them all together with an easy phrase or tagline.

Develop green website content. Your quick and easy communication points can be included anywhere, but you want to dig deeper into your message on your website.



Create a detailed page on your site to further explain and promote this message. If you use smart techniques to conserve water, this is where you explain what those techniques are. If you use chemical-free products or offer services that promote healthy living, this is where you showcase the details.



Try to use keywords that distinguish your services or products from your non-green competitors. You want search engines to identify this content and rank you as an environmental leader for the appropriate keywords for your industry.

Create a green logo. Now is the time to work with a graphic designer to create a unique logo that represents your business and your environmentally friendly practices. The logo may include your company name, an eco-friendly insignia and a key word or phrase from your sustainability message. This symbol will become an identifier for your current and new customers, helping to cement your brand in their minds.

  

Use the logo on print materials, throughout your website and on Facebook, LinkedIn and other social media services. If you offer eco-friendly products, add your custom green logo to the label. If applicable, you can also make use of popular logos and insignias that represent these eco-friendly practices, such Energy Star Rating logos and recycling arrows.

Green up your digital efforts. Part of your environmentally conscious business plan can include an effort to go paperless. This will both limit your paper waste and help streamline your operations.

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Use digital options when dealing with staff, suppliers, and clients – and make a point to highlight your paperless efforts in your digital communications.

WHAT THE TECH?

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Consider using online marketing materials as much as possible – replace print brochures with digital brochures, where possible.



Create and share infographics online instead of handing out flyers.



Talk green. Social media is a vital marketing tool.

Use your Facebook and LinkedIn pages and groups as a platform to create and engage in conversations that promote environmental sustainability. This will endear you to prospective clients who are environmentally conscious.

Green marketing has been a very popular trend in the business world for over a decade now. The rise of the green movement has given rise to the environmentally conscious marketplace, which your business can easily benefit from. For additional support with your green marketing efforts, contact WebTech Marketing Services. About the author



Use social media to have direct dialogues with individuals and groups that promote the idea of environmental conservation. This ultimately leads to positive feedback and insight, thus building your brand.

Most days,

you probably don’t even think about insurance.

PROPERTY | AUTO WORKERS COMPENSATION

Association Strength Industry Expertise Cost Containment Flexibility

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But when

all hell

breaks loose, Who do you want as your

WARRIOR? Let’s talk Steve Harmon | Will Pharr

770-396-9600 | snellingswalters.com

UAC MAGAZINE | JULY/AUGUST 2017

EMPLOYEE BENEFITS

E: dawn@wtmarketing.com W: www.wtmarketing.com

Dawn is the content marketing specialist at WebTech Marketing Services. As a writer, creative thinker and video producer, Dawn uses various mediums to create awareness, build brands and tell compelling stories. She works to create smart thought leadership for a variety of businesses and industries.

BUSINESS

Workforce development series

New models of compensation or Pay4Performance by William Eastman, GreenMark Consulting Group This is our second article on workforce development. Here

we will develop the ideas from the first article, "What Makes People People," (pages 28-30 of the May/June 2017 UAC Magazine) in the context of compensation, specifically paying for performance.

Some context

Here is your primer on people and money: Kathy G. Johnson

The only true measure of business performance is profitability, not revenue. It doesn’t matter how much money flows in; it is all about what is left in the cigar box.

Salary is a recruiting tool, benefits are a retention tool, and if you want performance, you have to pay for it.

UAC MAGAZINE | JULY/AUGUST 2017

Let that sink in. How many times have you been unhappy with an employee whose performance remains the same after getting a pay raise?

•

A salary increase has a momentary positive impact (a week or two depending on your pay period) and then taken for granted.

•

As for benefits, their impact is to create golden handcuffs that make it difficult to leave.

•

Neither of these have any real impact on performance, except paying for it.

After three decades of consulting to large firms and turning around smaller companies, here is my fundamental lesson on compensation: treat everybody like sales.

I pay salespeople for closed deals. What if I did the same thing for everybody else paid them for doing the right thing?

What you need to know

My three rules about compensation and performance:

Tie incentives to profit, not revenue;

Tie incentives to contribution, not for just breathing; and

Everyone has a piece of the budget.

The only true measure of business performance is profitability, not revenue. It doesn’t matter how much money flows in; it is all about what is left in the cigar box. If it is true about you as the owner, why should it differ for anybody else? Tie all of your compensation to how people impact the amount of money left. Ready for another shock? All compensation systems work! You just don’t like the result. Why is that true? People will do what you pay them to do and if the results don’t have a positive impact, the problem is in your design. The chance for mistakes are lowered when pay is based on how people contribute to business success. Get this right and figuring how to reward them is easy. Get everybody into the game, the great game of business. Most people work in environments where they are forced to bowl with a sheet over the lanes. Imagine the only feedback you receive is noise without knowing how many pins were knocked down or where? And where do you throw the second ball? Could this be why you are the only person losing sleep at night because the company is not performing? Share the load.

BUSINESS

What you need to do First, understand your profits Here are three quick tips for tying compensation to profits. The challenge is most small business owners don't understand which customers or products/services are generating the most profit. If this is true for you, start here:

Select your top service line (most revenue) and break it into steps.

Give each step material and labor costs, figure out what each step is costing you.

Add a margin to each step. Given overhead costs, taxes, etc., it is hard to make any profit on margins below 30%. Start at 60% and see what happens. Another option is to ask, “what if I had to buy that step from a competitor - what would they charge?”

You are still not sure this is the most profitable customer or product/service, but you have attacked the area of the greatest profit potential.

Next, examine the contributions Next step is to determine where the greatest contribution to the business can made by each step. This is the core of your compensation system: First thing is to figure out how much to share. 5-10% is a good place to start and see what happens. It is better to pay less to start and adjust up, rather than take it away later.

Make sure you measure it. If your current systems doesn’t capture the information, find the easiest metric and add it to your measurement puzzle.

Then, connect the dots There are some issues about measurement I will leave for later articles. The last issue for creating a Pay4Performance system is linking what they do to what the company needs - giving them a piece of the budget:

Individual best season. This is less about competing against a team member or someone in the next office; it is all about competing with yourself. Challenge people to raise their game (the behaviors you identified for bonus) so they can grow their checks.

Give ownership. Make them responsible for their part of the budget. If an installation foreman is running a crew that cost $3,000 in materials and $4,000 in labor, have them own it. If the crew leader can deliver the estimated cost of $7,000 at $6,500 are you up for giving them a dime on the dollar?

Summary

The place to start is radical: look at all employees as members of the sales force. Why? Sales are the only employees in the company who can affect their checks while everybody else is trading time for money. If a well-designed sales compensation system drives more sales, what would happen if people doing the work could affect their checks? Chew on that until the next article on “Selecting and Onboarding the Right People.” About the author William Eastman is a Business Management Consultant with GreenMark and the Managing Partner for Intellectual Property at the GrowthWorx – a business research and product development company headquartered in Richmond, Virginia. For more information: P: 804.433.3886 E: weastman@greenmarkgroup.com W: www.greenmarkgroup.com

UAC MAGAZINE | JULY/AUGUST 2017

Identify the behaviors critical in each step to bonus. Wrap your head around the real goal: you want them to do more of the right things so they make more. Which behaviors will help your bottom line?

Business Where you can get help objectives. If you have none, it is Your best choice is to join our closed time to make this Facebook Group GUAC “Advocate, happen. People need Educate, Promote.” Ask to join and once inside you will receive real-time help and line of sight between support for your landscape and business issues. what they do and how Additionally, we will make parts of our Best they are paid. You are Practices Library available for download. I look not running a charity, forward to seeing you inside. working for you is not about being busy. Most for-profit businesses follow a simple formula F=C+P+T. Finance ($$) equals Customers buying stuff you Processed built by Talent.

BUSINESS

Amp up the profits

Add value to your irrigation services from Irrigation & Green Industry Magazine In the competitive world we live in, there are many

Kathy G. Johnson

Offering your clients and potential clients additional services that your competitors may not offer could tip the scales in your favor.

ways for companies that offer irrigation services to add value for their clients. We don’t have to sacrifice or cut into our bottom line to make our businesses more attractive to property owners.

UAC MAGAZINE | JULY/AUGUST 2017

Offering your clients and potential clients additional services that your competitors may not offer could tip the scales in your favor. In talking with a few company representatives who provide irrigation installations and repairs to their clients, I found that all of them were adding value to their work, and none of them said that they were cutting prices.

We talk about adding additional services, especially in irrigation, so I think it is timely to rethink our position on what other services we can offer. Not only will this make it more convenient for your client, it will also generate additional revenue streams. In Dover, New Jersey, the clients of All Wet Irrigation & Lighting make service contracts a priority, which is just how company partner Kelly Rozansky likes it. All Wet’s contracts include startup and winterization, and some include midseason inspections, where irrigation techs come out in the middle of the season and make sure that everything is working properly. Service contracts offer a number of advantages to a company. They lock the client in for a year, which means a certain amount of guaranteed business, and if the property changes hands,

you have a chance to impress the new owner. Guaranteed business also makes for neater scheduling than the usual rush of calls every fall and spring. You’re no longer at the mercy of the property owner, who only remembers that their system needs winterizing after the first frost. Rozansky also likes contracts because his irrigation techs can see what irrigation systems look like in the summer, when the landscape really needs watering. “In a mid-season check, you adjust the timer for different conditions and you help the property when it actually needs help,” he said. “Otherwise, we generally don’t see the lawn under stress. A mid-season check lets us do that.” There will always be some customers who won’t be willing to add an extra inspection or two into their contracts, but the prospect of efficiency gains can be quite persuasive. Your clients count on you to be their expert. Having you or your employees examine their system when it is most needed gives them peace of mind. They know that any problems with their irrigation system will have been found and fixed. Rozansky also makes use of irrigation inspections as a chance to let his customers know about his landscape lighting operation.

“A lot of customers don’t see the correlation there between irrigation and lighting,” he said, “but for us it’s very similar. Wire is pipe and voltage drop is pressure loss. It’s a natural thing for irrigation guys to do lighting.” ~ Kelly Rozansky All Wet Irrigation & Lighting LEDs have taken over the outdoor lighting industry, but there’s still a lot of work out there retrofitting systems that were originally made

BUSINESS to run halogen lights. Halogens have a much smaller voltage tolerance than LEDs, which can easily operate between 8 and 24 volts. This means that a failing halogen system can often still run well on LED lights. LEDs last longer, but they still need a checkup at least once a year, to clean off the fixtures, and adjust them for a year’s worth of plant growth, if nothing else. Not all valuable services require a great leap of imagination. In Austin, Texas, the Great Western Corporation offers its irrigation clients an add-on to their sprinkler system that repels pests. They install a device with its own controller that disperses a natural pesticide through the irrigation system when it’s not otherwise in use. “The product is kid-friendly, it’s pet-friendly, and the system only runs for a few seconds on each zone, just enough to get it on the ground,” said company president Elizabeth Koehler-Gray. “You can set it up to only cover the zones you’re going to spend time in, but the big selling point here

in Texas is that it’s not just for mosquitos. It also repels flies, fire ants and chiggers.” Your clients already have an irrigation system, and they already count on you to help them run it. Making use of that system to protect them from biting insects is a logical move. That count doubles if you’re already familiar with pesticides, as many landscape maintenance professionals are. Integrated pest management isn’t the only discipline that overlaps irrigation and landscape professionals; fertilizer can be spread through an irrigation system, too. Fertigation is a way of fertilizing through a client’s irrigation system. Irrigation systems exist to provide turf a constant, steady supply of water, and fertigation systems do the same for plant food. A fertigation system can offer a trickle of food, encouraging growth in a way that’s slower and steadier than traditional fertilizer applications. Alex Cartwright, co-owner of CK Landscape in Danville, California, almost insists that his

UAC MAGAZINE | JULY/AUGUST 2017

BUSINESS Reprinted with permission from Irrigation & Green Industry magazine.

customers install a fertigation system, he loves it that much. “We use living biology through mycorrhizae and biostimulants, the same stuff you find out in nature,” Cartwright said. “With that, we can recreate natural living soil structure in people’s yards.” Mycorrhizae is a type of fungus that attaches to plants’ root systems, and helps ferry nutrients and water to them. South of Danville, in Aptos, California, Jeffrey Powers is also a big believer in the fertigation systems. The company he owns, Coastal Landscaping Inc., has a lot of large HOAs as clients, and Powers likes how having a stronger root system helps his clients save water. For both California-based contractors, saving water is a necessity. Cartwright helps his clients save by installing graywater reuse systems. He also looks at the feasibility of installing rainwater harvesting systems whenever he encounters a drainage problem. If you’re already diverting water with a French drain, why not store it to water the landscape?

UAC MAGAZINE | JULY/AUGUST 2017

Powers overseeds the properties he serves with a new variety of bentgrass that was developed by the University of California, Davis. “It gives you the same fescue look, but it uses half the water,” he said.

For real trouble spots, he also employs an organic soil additive that binds to plant roots and helps them draw water. “It was developed by the Israelis, it’s organic, and lasts about three months,” said Powers. “The roots can pull water out of the soil that they wouldn’t be able to reach otherwise. It can actually take some of the dew in the morning and bring that down from the surface, too.” By stacking these efficiencies with an aggressive approach to irrigation maintenance, the landscapes he manages weathered the watering restrictions just fine. “On one HOA, we’ve reduced our water use by 70 percent, compared to the 2010 usage,” Powers said. “On another project, we were 60 percent under the rationed amount. When you’re dealing with 15 or more acres of land, that’s millions of gallons saved.”

There are a lot of ways that companies offering irrigation services can help their clients conserve. Back in New Jersey, Rozansky has been hearing about a whole new model of contract that is developing. It’s made possible by all the opportunities out there for upgrading irrigation controllers. “Some guys are offering monthly plans, where they’re not actually selling the controller, they’re selling the service,” he said. “The customer gets the controller for free, but they pay $30 a month for the company to take care of their system.” Smart controllers are an evolving field, and may yet follow in the footsteps of Time Warner Cable and Comcast, discounting hardware as part of a service contract. The point is that there are a lot of ways that you can make your services more valuable to your clientele. Many people are looking for a one-stop shop, a company that will serve all their outdoor needs. Landscape installation, landscape maintenance, irrigation work, mosquito control, outdoor lighting, holiday lighting and snow removal. All of these services have overlaps, and many companies discover that expanding into them opens up untapped markets. The cornerstone of the American dream is the desire for self-improvement. Although the coming year is going to be a tough for the labor market, business owners are optimistic about their growth. Companies are going to be competing to attract employees. Those that can boast a wide range of different types of work will have an edge in appealing to people who want to learn new skills, and advance in their careers. These self-starters are the kind of employees that form the backbone of great businesses. A new year brings new challenges, and by adding value to your operations, you’ll be prepared to meet them.

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BUSINESS

Smart service

Advanced irrigation controllers just make sense from Lawn & Landscape magazine For years, people have understood and accepted smart controllers,

“Ultimately, the way that we market or sell a smart controller is much like a thermostat in your home." ~ Russ Jundt Conserva Irrigation

and now the question has become how to sell them, says Russ Jundt, founder and chief operating officer at Conserva Irrigation. “Ultimately, the way that we market or sell a smart controller is much like a thermostat in your home,” he says.

UAC MAGAZINE | JULY/AUGUST 2017

As a thermostat automatically adjusts the heat or air conditioning based on existing temperatures, smart controllers adjust irrigation levels based on weather, precipitation and other factors, Jundt says. If a lawn is too dry, a smart controller provides it with enough of the water, but not too much, that the lawn needs to obtain moisture. If a lawn is already wet, a smart controller might only turn on briefly, or it will take a break from watering.

Founded in Minneapolis in 2010, Conserva Irrigation was built around the premise of saving water, and it has since integrated smart controllers into all of its jobs.

In 2016, Conserva brought in revenues of about $2 million. It anticipates revenues of more than $5 million in 2017. Conserva installs Toro’s Evolution controller, which pulls in 40 years of historic weather data as well as current information from onsite evapotranspiration sensors. “It gives us the best of two worlds in that it relies on past ET data, but more importantly, it gives us specific onsite, real-time weather conditions, so we know how we’re deviating from that normal, from the past,” Jundt says. Toro has recently added a new offering to the market called SMRT Logic, which serves as an internet gateway that retrofits to several of the company’s existing controllers. With the new technology, contractors and customers can adjust stations and schedules wirelessly. Using an iOS- and Androidcompatible app, homeowners can tap on pictures that represent each of their zones and provide them with extra water. Conserva contractors in the South are already integrating the technology, and contractors in the North will follow suit next spring. In the past six years, Conserva customers have seen an average reduction in water use of 40 to 60 percent, Jundt says. Customers’ cost savings often equal, and sometimes exceed, these figures.

In addition to its Minneapolis location, the company services nine United States locations east of the Mississippi River. The Minneapolis location has the most customers with 2,150, and the Chicago location has the second-most with more than 600.

In communities where municipalities and water providers have set up tiered rate structures, residents and businesses who use smart controllers end up using less water and paying lower rates.

In 2017, Conserva plans to expand to 15 more locations across the country. The company’s marketing strategies allow for franchisees to quickly increase their client counts.

In Mississippi and Alabama, where Pascagoula, Mississippi-based Turf Masters Lawn Care provides services, water is relatively cheap and restrictions on its use are limited, says Ryan

Savings down south

BUSINESS Jordan, the company’s account manager and executive vice president. However, people still hope to save on water, in much the same way they hope to save on heat, electricity and other utilities. “Even in the South, where everything is so easygoing, you still have people that are spending the money that are aware we live in a world with limited resources,” he says. Most of the irrigation products Turf Masters uses are manufactured by Rain Bird, which offers SMT smart controllers for mainly residential jobs and IQ smart controllers for mainly commercial jobs, Jordan says. For customers who use these smart controllers, Rain Bird promises water savings of up to 70 percent, which Jordan says can translate to annual savings of hundreds of dollars for residential customers and thousands of dollars for commercial customers. Turf Masters integrates smart controllers into approximately 80 percent of its jobs. Many of the company’s customers are not only receptive to, but excited about, the smart controller options, Jordan says.

The automated functions of smart controllers limit the time lawn care companies must spend performing audits, which directly decreases costs for both them and their customers, Jordan says. The IQ controllers automatically water areas based on global weather data as well as local, historical evapotranspiration data, and the SMT controllers water based on the local, historical ET data. which can cost more than twice as much to install because it requires cluster control units and satellite controllers. Some of Turf Masters’s residential clients purchase Rain Bird’s IQ central control system because it offers quantitative results and has flow sensors and cloud connectivity built in. Contractors still have more control and data over the systems than their customers, but customers can themselves run manual zones and test programs, check flow data reports and runtime reports and can close a master valve in the event of a major leak.

Depending on various factors, the cost to install an SMT controller is about $500, whereas to install Rain Bird’s manual ESP controllers is often between $250 and $350.

Upon installing these controllers, companies still must make trips to check irrigation heads and to see if there are any major issues with systems, but those trips are less frequent and time-consuming compared to older controllers.

Rain Bird’s commercial IQ systems have capabilities such as being able to run market reports, flow data and historical flow data.

Adopting smart controllers has provided Turf Masters with increased revenue, but the company has not monitored exactly how much added revenue links directly back to the technology, Jordan says.

Price ranges for IQ installs vary greatly, says Jordan, who recently performed an install at a casino for around $2,500. He refers to the IQ as a “cleaned-up version” of Rain Bird’s Maxicom,

The company has gained customers due to word spreading about smart controllers. “It’s almost like eating at an unbelievable restaurant that’s kind of a hole in the wall,” he says.

UAC MAGAZINE | JULY/AUGUST 2017

“They don’t mind paying a little extra if they know that they’re going to get a good product out of that, and we feel like it’s a no-brainer because it’s a very versatile unit,” he says.

BUSINESS “It’s going to spread quick, and for you to get a good meal, you’re going to tell somebody, and then that somebody is going to tell a few other people.”

Becoming the norm

In many markets, the number of people interested in smart controllers continues to grow. Jarod Roberts, general manager for Westside Sprinkler & Property Performance in Denver, Colorado, says he installs more smart controllers than older models. “For example, it’s almost hard to not get a smartphone,” he says. “You’re almost just led into that. So, it’s the same thing with sprinkler controllers. Why do we put in a new controller? Well, someone’s controller has went out. It just went bad. It’s an ancient, analog type of thing.” Smart controllers continue to become more specialized, from Rachio controllers that can be found in department stores to the Weathermatic systems that service large commercial and municipal clients, Roberts says. Many are smartphone-compatible, such as IrriGreen’s Genius, which Roberts installs.

FIFTH ANNUAL

It is easiest to sell smart controllers to customers who are already focused on the importance of water conservation, says Tom Horn, president of All-N-One Irrigation Systems in Jefferson City, Missouri, who works primarily with Rain Bird. Although they cost more money upfront than older controllers, with a list price of SMT controllers around $100 higher than ESP controllers, investing in smart controllers is worth it, Horn says.

“I would almost venture to say that in less than one year on an average-sized lawn that is maybe four to six zones, the return on investment already pays for itself, and it starts putting money in your pocket, so to speak." ~Tom Horn All-N-One Irrigation Systems Reprinted with permission from the December 2016 issue of Lawn & Landscape. For more information, visit www.lawnandlandscape.com.

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UAC MAGAZINE | JULY/AUGUST 2017

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BUSINESS

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UAC MAGAZINE | JULY/AUGUST 2017

BUSINESS

How do you build the perfect team?

A road map for creating a well-oiled machine by Erin Saunders, JLL

Whether you have a seasoned group who has worked together for years, or an

UAC MAGAZINE | JULY/AUGUST 2017

Instead, what Google found is that there are two things that matter when it comes to having a high-performing team: Communication and Empathy. These two things have the greatest impact on what matters most to team success—psychological safety.

organization with newer employees, all companies rely on getting work done through teams. How the business performs and the results that are achieved are directly related to the success of the teams. But what separates a highly effective team from its less effective counterpart? Can you build the perfect team?

Google took four years and spent millions of dollars trying to answer this question. They started by asking, “how do we put the right people together?” Is it better to combine introverts and extroverts? Should the team be consensus-based or have a clear leader? It turns out, none of those things had a correlation to whether a team was highly effective. Instead, what Google found is that there are two things that matter when it comes to having a high-performing team: Communication and Empathy. These two things have the greatest impact on what matters most to team success— psychological safety.

Building trust

Charles Duhigg of the New York Times explains, “What that means is that everyone at the table feels like they have the opportunity to speak up, and they all feel like each other is actually listening to them, as demonstrated by the fact that their teammates are sensitive to nonverbal

cues.” In order to do this, teams must have trust. What can you do as a manager to help build this trust that fosters an effective team? Create a sense of dependability and purpose. Teams that feel like their coworkers will do what they say they are going to do when they say they will do it have more trust in the team’s success. To help create this, teams need structure and clarity.

The idea is that everyone should have a good understanding of everyone’s role, and that should be a shared understanding with the team. They also need to understand their impact. The team needs to believe that their work matters and creates change. This will help build trust. Spend time building relationships. Are you having regular 1:1s? Most managers don’t, because they aren’t fun, they take time, and they pull away from work. But it turns out that taking the time to build the relationships with your direct reports can have a big impact on how they perform in a team.

Team members who feel cared about as individuals will work more and go above and beyond their disengaged counterparts. This also will allow you understand the communication preferences of your individual team members and help you include everyone in the team. If you think about meetings you may have been in, there is often one or two people who offer lots to the conversation, and ones who prefer to communicate less. Check in with the quieter people to make sure you’re including their thoughts. Show that you’re listening. It’s a good idea to wrap up each team meeting by going around the room and asking everyone for their takeaway. If someone looks really excited, recognize that—perhaps ask them to take the lead on the next action.

BUSINESS Encourage team members to close computers when possible; it forces people to look at one another and show that everyone is listening to each other. Listen with purpose. You may not agree with an idea that a team member is proposing. Before responding, let them know you’ve heard them. It often helps to start sentences with, “I heard you say_____________. Can you help me understand__________?” For more on this, check out the book Crucial Conversations: Tools for Talking When Stakes Are High, by Kerry Patterson and Joseph Grenny. it safe to fail. When individuals 4. Make ask questions or seek information, they run the risk of being seen as ignorant. This feeling of risk is magnified when there is someone in a position of leadership in the group. Most of us can think of a time we hesitated to ask a question because it seemed that no one else was asking, or it seemed like information we were supposed to know already. If you make it

safe to bounce out ideas, ask questions, and ask for help, your team will feel safe to brainstorm and look for ideas others may not see. We’ve all been on teams that performed well, and others that struggled. As a manager, the more you can help your teams have a sense of safety, foster good personal relationships, build trust, and have a sense of purpose, the happier and more productive those teams are going to be.

About the author Erin Saunders is Sr. HR Business Partner with JLL. P: 303-931-0923 E: erin.saunders@am.jll.com

770/233-6107 UAC MAGAZINE | JULY/AUGUST 2017

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BUSINESS

Landscaper's nightmare

A true story every business owner must read by Tony Bass

It was 3:15 PM on a Saturday afternoon when

Kathy G. Johnson

Surprisingly, the Hiscox study revealed the profile of the average embezzler. It’s a 49-year old female who has been employed at the same company for years and has end-to-end responsibility for accounts payable or payroll (or both) in a company with fewer than 50 employees.

Peter (the busy landscaper) came face-to-face with his biggest nightmare. Unlike most days when he was busy running from job to job, managing work and meeting with prospects, Peter was quietly seated in a classroom, reviewing his financial statements.

UAC MAGAZINE | JULY/AUGUST 2017

The three-year run of triple-digit percentage sales growth and inadequate financial controls had hidden a dark and sinister plan from plain sight. Peter turned white as a sheet without saying a word. At the scheduled break, I walked over to Peter to see what had just happened.

“Tony, I’ve just found a few checks I’d like for you to look at. In my QuickBooks records, this check was supposed to pay this vendor. But on the cancelled check copy on the bank statement, ‘Pay To’ says it was made out to Cash. Can you think of any explanation for this?” “Peter, oh my goodness! I’ve seen this before. And when I found this exact same problem in my company, it was 3:00 am - a few years ago. I was unable to sleep and had gone to my office at midnight. I was wide awake because I had a suspicious feeling something wasn’t quite right in my landscape company. I found an exact duplicate of what you just showed me. Turned out my bookkeeper had carefully embezzled just

over $25,000 using this exact technique. I’m glad you’ve uncovered this problem. Let’s talk about the plan on how to handle it from here.”

Uncovering the truth

Peter phoned his wife to tell her what he had discovered. Then he called his Dad, the company founder, and shared the news with him. The three family members worked tirelessly through Saturday night matching thousands of checks with QuickBooks entries and looking for similar mislabeled checks. They followed the same routine on Sunday. By Monday when the police arrived, they had a list of mysteriously labeled transactions that totaled a heartbreaking $567,000.

Are you at risk?

Could you and your business be embezzled by an employee you trust? Sadly, embezzlement happens every day to unsuspecting business owners who simply trusted someone to do a job that needed to be done. According to the nationally respected Hiscox’s 2016 Embezzlement Study, white-collar crime is a huge problem for small business owners. Their study reveals that four out of five organizations that are victims of embezzlement had fewer than 100 employees and just under half had fewer than 25 employees. The average loss due to embezzlement was a staggering $807,443. Profitable companies with good cash flow are prime targets for embezzlement schemes and white-collar theft.

BUSINESS Surprisingly, the Hiscox study revealed the profile of the average embezzler. It’s a 49-year old female who has been employed at the same company for years and has end-to-end responsibility for accounts payable or payroll (or both) in a company with fewer than 50 employees.

Tools to help you protect yourself

We recently interviewed Peter and learned details of the twisted plot his bookkeeper used to steal, steal, steal until his company was squeezed toward an internal collapse. The webinar recording is available online: www.superlawntoolkit.com/protect While you’re watching (or listening), you’ll want to download the “Embezzlement Prevention Checklist.” This 10-point checklist will guide you through a series of simple steps to minimize the chance that you and your family will ever have to face the situation that Peter’s family (and I) have suffered through.

As you check off these 10 simple steps, you’ll sleep better at night and be able to focus on serving customers, growing your team and spending Saturday afternoon with your family.

About the author Tony Bass provides consulting and business coaching services to owners of landscape companies. If you’re interested in learning more, schedule an appointment today via his website or email.

W: www.superlawntoolkit.com E: tony@tonybassconsulting.com

UAC MAGAZINE | JULY/AUGUST 2017

BUSINESS

EBITDA explained

The no-fluff number that tells what your company is worth by Kristen Hampshire

What’s your business really worth?

Fact is, there’s a significant value gap between a business that funds a comfortable lifestyle and one that can fetch a favorable price at the deal table.

This is a question every owner should ask, whether or not selling is the plan. The operation you dedicate your time, resources and energy to growing is likely the greatest asset in your life. But how “great” is it, really, when you’re talking dollars and cents?

Fact is, there’s a significant value gap between a business that funds a comfortable lifestyle and one that can fetch a favorable price at the deal table. “A business should be built to sell,” says Tom Fochtman, president of Ceibass Venture Partners. “Whether or not you want to sell, let’s have it be the best operating company that it can.”

UAC MAGAZINE | JULY/AUGUST 2017

Enter EBITDA

Enter a financial term that helps you get to the bottom of that value question: EBITDA, or earnings before interest, tax, depreciation and amortization. If this is the first you’ve heard of EBITDA, you’re not alone in the industry. EBITDA is used to compare companies’ profitability because it takes out financing and accounting decisions. It removes debt, capital and tax effects by adding back interest and tax to earnings. Sound confusing? Basically, EBITDA is a measure of a company’s operating performance.

Most importantly, EBITDA is the basis of many M&A transactions, and understanding your adjusted EBITDA (removing from the equation owner “add-backs” like a spouse’s vehicle or an exorbitant owner’s salary) provides a true picture of how a company is actually doing and what its earning potential could be.

“As a small business, there are so many things you can take on as expenses that are not ‘operational expenses’ critical to running the business. When a consultant goes in to evaluate the business, they take into account these ‘adds’ and ‘deducts.’ The EBITDA is basically looking at a financial statement and P&L and making adjustments to bring it in line with fair market value, or legitimate operating costs.” ~ Jim Huston President, J.R. Huston Consulting So why should you know your EBITDA? In many ways, it’s the “get real” number. EBITDA takes out the fluff – the extras that a buyer wouldn’t pay for – and leaves you with a number that can be used as a platform for growth. Once you know your EBITDA, you can see how reducing spending and improving efficiency can improve the value of your business. It shows how a company that’s operating with a value-minded approach can ultimately walk away with a lot more cash than one that uses the business as a vehicle for funding life’s expenses.

EBITDA at work

Let’s play out an EBITDA scenario here.



A company does $1 million in sales and the net profit is 10 percent before tax, depreciation and amortization.

BUSINESS



You consider “adds” and “deducts.” For example, the owner’s salary is $200,000 when it should be closer to $60,000 (what a buyer would pay for), and the spouse’s car is $5,000 a year – another add-in.

 

After those extras are “normalized,” you get a number – say, $150,000 of EBITDA. Next, you apply the EBITDA multiple. This metric is used to measure a company’s cash return on investment. The ratio is a modification of operating and nonoperating profits compared to market value of a company’s equity plus its debt. So, if we apply a five-times multiple to $150,000 EBITDA, the company’s value to a buyer is about $750,000. (Landscape multiples range from four on the low end to seven on the high end.)

Get your firm fit

Even if you’re not selling, you should treat your business like it’s on the market. You’ll operate more efficiently and profitably. So what can a landscape company do to increase its value and cash out in a better position? Here are some pointers:

2. Drive recurring revenue. Lawn care and maintenance businesses hold value in part because the buyer is purchasing a contract book of business. This limits the risk for buyers, therefore increasing the value of your business. Recurring revenue includes maintenance contracts, snow removal services, lawn care, irrigation maintenance and other “repeat” services that feed the cash flow on a consistent basis.

Value varies significantly depending on how a company performs. Fochtman illustrates this example: A company with $8.5 million in revenue has a five-year track record of 23 percent annual profit and renewal rates of 95 percent and higher. Its EBITDA is $2.4 million with a 6.1 multiple. That business is under contract for $14 million. (That’s a significant gain for the owner.) “Companies are selling for four to seven multiples, which means if you have an EBITDA of $1 million you will get $4 to $7 million for it,” Fochtman says. “But, that depends on how good your company is. EBITDA in the landscape industry is driven by high renewal rates, low workers’ compensation modification rates, a strong management team and those operational efficiencies that increase revenue and profitability. “All of these things cause a company to sell for a higher multiple of EBITDA,” Fochtman says.

Teasing out the extras

All of the add-ins a company pools into its financial picture can make all the difference in its value at the time of sale. “Adjusted EBITDA takes into account all of the owner add-backs, and all owners have them at some level,” Fochtman says. Typical add-backs include: a large owner’s salary and year-end bonus, lawsuits and insurance claims, one-time professional fees, excessive inventory (parts, materials), family members’ wages and benefits when they do not play an active role in the business, repairs

UAC MAGAZINE | JULY/AUGUST 2017

Increase cash flow. EBITDA is earnings before interest, tax, depreciation and amortization – and that’s cash in the business. Increase cash in the business by watching expenses. Do you have cash tied up in inventory or aging accounts receivables? Are there ways to reduce your overhead expenses? Rake through that budget and see how savings can drive more cash into the business.

Price services properly. This goes back to Huston’s advice: “Price it right, produce it right and produce enough of it.” If you’re barely making money on services, then cash flow and profit margins suffer. So focus on ensuring that industry benchmark of at least 10 percent profit margin (and more is always better), and take into account labor, materials and other expenses.

BUSINESS and maintenance. Consider all of those extras (and then some). Like, how about the week of vacation added to a two-day business conference? If a buyer comes to the table, he or she will not place value on these expenditures. So consider what expenses exist because you yourself own the business. Those are the expenses that must be normalized.

“Things like funding an owner’s retirement plan will go away when you sell, and a new owner will not pay for a $75,000 pickup truck rather than a $45,000 truck. If you’re paying yourself $300,000 a year when you’d hire someone else to do your job for $150,000, you have to normalize the $150,000. All of this goes back on top of that EBITDA number.” ~ Tom Fochtman President, Ceibass Venture Partners

UAC MAGAZINE | JULY/AUGUST 2017

“As a small business, there are so many things you can take on as expenses that are not ‘operational expenses’ critical to running the business,” says Jim Huston.

Some good news for owners in the landscape industry is that depreciation is put back into EBITDA. “Depreciation is a non-cash event that helps you,” Fochtman says. “It lowers your profit number, which in turn lowers the tax you will pay. This is a big deal in the landscape industry because we have lots of trucks, trailers and equipment. So, depreciation can be your friend.”

What drives multiples The type of landscape company you’re running plays into what multiple your company can get. A service-based landscape company with recurring revenue through maintenance accounts will be valued higher than a construction-based firm where sales are tied to the owner, Huston points out. Fochtman says another reason that design/build firms tend to not hold value like other types of landscape businesses is because accounts are largely residential. “Then, it becomes, how much will a buyer pay for residential install backlog?” he says. On average, a maintenance company is worth roughly $0.35 for every dollar of sales, Huston says. That means a $1-million company is valued at about $350,000 plus hard assets like equipment and inventory. However, some companies do sell for $0.50 to $1 of revenue – and more. Fochtman refers back to the example of the $18.5-million company under contract for $14 million, and another $8-million firm he’s representing that is under contract for $13.7 million. “Landscape maintenance companies of any size are being sold for (various multiples) of adjusted EBITDA,” he says. Huston notes that lawn care companies generally sell for 1-to-1, so a business with $1 million in sales will often sell for $1 million. “Irrigation service companies are usually worth $0.50 on the dollar, plus or minus any equipment,” Huston says. Reprinted with permission from the November 2016 issue of Lawn & Landscape. For more information, visit www.lawnandlandscape.com.

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BUSINESS

The straight and narrow

The importance of ethical business practices by Jamie M. Brabston, Lehr Middlebrooks Vreeland & Thompson, P.C.

Business ethics is a leading issue in today’s society. All businesses, both large

and small, face ethical decisions every day, with issues ranging from cash management to safe workplace policies and protection of proprietary information. Many small businesses may believe they do not have as many ethical/ legal obligations as large corporations, but this is simply not true. All businesses share a social responsibility and an obligation to conduct their business with high ethical principles. Ethics extend to employees, customers, vendors, the community, and the environment. A business owner who disregards ethical values will eventually run into issues with the law, customers, employees, and business partners. This will ultimately lead to a loss of reputation and revenue, as customers seek alternatives for their services. Thus, business ethics are important, not only because it represents the right thing to do, but because businesses need good ethical behavior to survive.



“Compliance side” ethics describes legal issues such as required training (e.g. equal employment opportunity), rules of conduct, and penalties for noncompliance.



However, “integrity side” ethics focus on self-policing and motivation to “do the right thing.”

Compliance/legal requirements should be the minimum standards to which a business must adhere. Implementing good compliance policies

Walk the walk

Of course the most effective way for a business to establish its reputation as an ethical leader is for the “tone at the top” to exemplify the importance of maintaining an ethical work environment. In addition to increasing the business’s reputation in the marketplace, strong ethical values foster a sense of good will among the general public and can even provide a competitive edge. Ethically minded investors are more willing to invest in a business they recognize as socially or environmentally responsible. Open accounting practices help foster a stronger financial base for the company which will help to avoid lawsuits or regulatory sanctions. Companies that neglect to follow safe operating procedures risk a public relations disaster, as well as legal ramifications of putting others in danger. Clearly, prioritizing ethical business practices must be an integral part of any successful business. Originally printed in the September/October 2016 issue of The Landscape Professional, the official magazine of the National Association of Landscape Professionals. Reprinted with permission.

UAC MAGAZINE | JULY/AUGUST 2017

Many ethical issues relate to legal compliance required of a business, however, businesses with strong ethical standards aspire to create an environment that goes much further.

and procedures that go beyond what is legally required strengthens businesses in various different ways. Transparent Thus, business ethics are important, accounting practices not only because it represents should be an ethical the right thing to do, but because concern for a business businesses need good ethical behavior and adoption of to survive. conflict of interest policies are likewise important. A policy protecting proprietary and confidential information, affirmatively stating that honesty is a necessary requirement of the business and anti-fraternization policies all fall within the realm of ethics.

INDUSTRY

A profitable partnership

Water-efficient landscaping, irrigation + water management by Kathy Nguyen, Senior Project Manager, Cobb County Water System I have a confession to make: I am a municipal water provider and I do not hate landscapes or even irrigation.

UAC MAGAZINE | JULY/AUGUST 2017

I am a water resource manager in an urban environment and I know the value of landscape in mitigating the Beyond knowing the rules, I truly heat-island effect, believe that promoting efficient improving water landscaping and irrigation practices quality, and providing together will help you to both a needed oasis differentiate and increase your away from brick business. and mortar urban cityscapes. I am also a water efficiency expert who works in metro Atlanta, an area prone to feast or famine water. It seems we find ourselves alternatively managing droughts and floods.

Here we are again: 12 counties in Georgia are under a level 2 drought response that limits irrigation to twice a week. The affected counties are: Cobb, Coweta, Dekalb, Douglas, Forsyth, Fulton, Gwinnett, Habersham, Hall, Lumpkin, Paulding, and White. An additional 43 counties remain in a Level 1 drought response. There are no additional limits on irrigation in level 1, but there is a mandatory public education campaign. We have had rain and it may seem unnecessary to still have drought restrictions in place. Even though the rainfall has helped, the biggest issue is Lake Lanier in the Chattahoochee basin. Despite rain, Lake Lanier remains about 7 feet below full pool. This is a problem because releases from Lanier help to feed the Chattahoochee system. As north Georgia gets a little more rain, the southern part of the state and Apalachicola are getting drier.

To put the importance of Lanier in perspective, back in 2007 at this time Lanier was about 1 foot below full pool. The hot, dry weather persisted and Lanier ended 21 feet below full pool in December 2007, the lowest level in its history. The rules are in place to make sure that water supplies are adequate through the hot summer. It is our goal to avoid a total ban on outdoor water use if the summer turns out to be dry and hot. The annual recharge season for our water sources has passed; we anticipate pop-up showers, but not the soaking rain needed to recharge base flow. The recent rain helped with soil moisture and stream flow. Unfortunately, we do not have any control over how much or where it rains. It has to rain in the small drainage basin of Lake Lanier to refill the lake. Reasonable use also helps us extend the resource and this is where we can partner. Your customers and our customers are the same. If you are knowledgeable and can help customers comply with the rules, we all win. Cobb Water has a onestop web page with all the drought information, including a Fact Sheet you can print out and give to your customers: www.cobbcounty.org/ outdoorwateringrestrictions All of our materials are free for you to use and share. Sharing knowledge and resources with customers raises the value proposition you offer. You become a technical resource. Beyond knowing the rules, I truly believe that promoting efficient landscaping and irrigation practices together will help you to both differentiate and increase your business. Cobb Water created a program to help citizens flag irrigation system problems with Inspect, Direct, and Connect utility flags. No matter where you are working in the metropolitan region

INDUSTRY we will provide those flags to you for free. I would recommend using these flags after mowing grass to make sure there are no clipped, missing, or misdirected heads. You can flag them and then recommend and complete the simple repairs. If you are interested in partnering on that program email waterefficiency@cobbcounty. org or call 770-419-6244. Information on the program can be found at http://tinyurl.com/ sprinklerinspect. Not only does this help the customers maximize their water use, but in metro Atlanta all of the local utilities are required to have a water waste penalty. By fixing these problems you reduce the chance that your customer will be fined for violating that policy. Lastly, water rates are increasing. This may seem like a roadblock to the green industry but I believe it is an opportunity. For example, in Cobb County irrigation customers pay approximately $.01 gallon of water. You are now able to make a business case for adopting efficient practices or technology. If installing a WaterSense-labeled irrigation controller will save 20,000 gallons

during our irrigation season that amounts to a savings of $200.00 in my jurisdiction. They can possibly pay for that upgrade in one season. Having you reschedule their timer to use cycle and soak and water deeply once a week can be paid back in less than a full season. Cobb Water has resources on our water efficiency pages and we are willing to share any of them. If you are not communicating with your local water providers, find out who they are and how you can work together to help customers save water, prevent runoff that compromises water quality, and save money. In closing I firmly believe that our industries and the water resources will be better off if we focus on the efficient use of water, regardless of whether we are in a drought. Part of building resiliency is making sure that in times of plenty we still use water wisely. This limits the stress on the resource during dry times. Water is the most essential input into your business. Why not be proactive and also differentiate yourself while increasing your business?

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INDUSTRY

Economic impact

The details behind proposed state-sponsored work visas by Jacqueline Varas, Director of Immigration and Trade Policy, American Action Forum

With the news in May 2017 that the US unemployment rate fell to 4.3 percent, we now have the lowest jobless rate since May 2001. The intense challenge of recruiting and hiring employees in our industry continues and has intensified. While we continue to advocate for Congress to create a viable guest worker program and expand the H2B visa program, Senator Ron Johnson (Wisconsin) has proposed a pilot program for individual state guest worker programs. The following editorial from the American Action Forum outlines the proposed bill and offers an economic analysis of the potential legislation. Note: UAC is not endorsing the bill or the information written by the American Action Forum. ~ Mary Kay Woodworth Executive Director, Georgia UAC

Executive summary



Senator Ron Johnson recently proposed the State Sponsored Visa Pilot Program, a plan which would give states authority over their own nonimmigrant worker programs.

 UAC MAGAZINE | JULY/AUGUST 2017

The program would increase the number of temporary work visas by 495,000, allow temporary foreign workers to move between employers, and generate economic growth.



AAF finds that this would result in the creation of 900,000 to 1.2 million jobs for U.S. workers.

Introduction

Senator Ron Johnson recently introduced a bill that could provide an alternative way for temporary work visas to be distributed. In addition to increasing the number of visas available for temporary foreign workers, it would shift the oversight responsibility and decision making power from the federal government to the states. The following paper examines the implications of this proposal as well as its potential economic effects.

The State Sponsored Visa Pilot Program Act of 2017

Senator Johnson’s bill, titled the State Sponsored Visa Pilot Program Act of 2017, would create a new immigration program for temporary foreign workers (called nonimmigrant workers). Currently, businesses with operations in the United States must petition the federal government to hire foreign workers. This process involves significant paperwork and fees, and can also pose a barrier to smaller companies with limited resources. Senator Johnson’s pilot program would serve as a different model: participating states would sponsor temporary foreign workers directly and have the authority to supervise and design their own nonimmigrant worker programs. Each state would be allocated 5,000 visas per year for temporary foreign workers. These visas could also be given to foreign investors or entrepreneurs. An additional pool of 245,000 visas would be divided among the states each year proportional to their populations. This amounts to 495,000 new temporary worker visas. Since immigration stimulates economic activity, the number of visas would also increase annually in proportion to GDP growth in each state. Participation in the program would be voluntary; states may decide not to participate in the program or not to utilize all visas available to them. Any unused visas would then be added to the pool which is proportionally divided among participating states. Like the H-1B program, foreign workers in the pilot program would be granted employment authorization for three years with an option to renew their visas. However, unlike the current system, they would not be confined to one employer. Because states would sponsor the visas

INDUSTRY instead of individual companies, foreign workers would be permitted to move between employers within the same state. This would likely reduce abuses which some argue are common in other foreign worker programs. For example, foreign workers who are allowed to seek new jobs would be less likely to remain at employers that are exploiting or underpaying them. Furthermore, labor mobility would introduce competition between employers. This would likely incentivize them to offer better wages and working conditions to attract foreign workers. While the bill outlines some specifics of the pilot program, it leaves significant discretion to the states. States would be empowered to design their own programs based on what their economy demands: they could choose the number of visas to utilize, the types and skill levels of workers to sponsor, and the types of fees, if any, that employers would be required to pay. They could also set prevailing wage requirements similar to those in existing visa programs. Additionally, states would have the option to enter into voluntary agreements with one another. In this case, states would work together to carry out administration and oversight responsibilities, and foreign workers would be allowed to seek employment in any state party to the agreement.

Significant evidence suggests that foreign workers are an asset to the United States. Immigration generates economic growth by increasing consumption, encouraging labor specialization, and increasing productivity. Furthermore, demographic trends in the United States limit how much the labor force can grow without immigration. The population is aging and population growth is on the decline. The U.S. birth rate has also been below its replacement level since 1971. Embracing foreign workers is essential to ensuring a robust and thriving labor force.

Research suggests that the additional economic activity generated by these foreign workers helps to create jobs. For example, H-2B employers report that the program gives them access to a reliable workforce they would not otherwise have, enabling them to expand their business activity. This in turn gives them the resources to hire American workers for higher-level positions. Similarly, the H-1B program has resulted in measurable productivity gains and inspired innovation in the STEM economy.

Methodology

This analysis of the State Sponsored Visa Pilot Program utilizes a previous study from the American Enterprise Institute (AEI) and the

UAC MAGAZINE | JULY/AUGUST 2017

The value of foreign workers

To quantify the potential economic impact of Senator Johnsonâ&#x20AC;&#x2122;s visa pilot program, it is helpful to examine current temporary worker programs in the United States. Three nonimmigrant programs are especially prominent and worth assessing: H-1B, H-2B, and H-2A. The H-1B program is most known for bringing foreign workers in Science, Technology, Engineering, and Math (STEM) to tech companies in Silicon Valley. Both Immigration generates economic the H-2B and H-2A growth by increasing consumption, programs are targeted encouraging labor specialization, and toward lower-skilled increasing productivity. Furthermore, workers. The H-2A demographic trends in the United program provides States limit how much the labor force employers with a can grow without immigration. seasonal workforce in agriculture, while H-2B workers fill temporary or seasonal demand in areas such as landscaping, construction, and the restaurant industry.

INDUSTRY Partnership for a New American Economy (NAE). The study analyzed state variations in both the foreign-born workforce and employment rates from 2000 to 2007 to quantify the labor market impacts of immigration. They specifically examined foreign-born workers with STEM degrees, as well as those in the H-1B, H-2B, and H-2A programs. Their findings largely agree with existing theory and research: immigration spurs economic growth, which spurs job creation. The AEI/NAE study concluded that increasing the number of H-1B workers by 100 resulted in the creation of 183 jobs among U.S. natives. Similarly, adding 100 H-2B workers resulted in an additional 464 jobs for U.S. natives. Increasing the number of H-2A visas were found to have positive labor market implications, but not statistically significant. While there is no way to project how many visas would be awarded to low-skilled vs. high-skilled foreign workers, current trends can provide some insight. This analysis relies on two main sources of data to determine what the pilot program might look like: visa issuances reported by the State Department and labor applications certified by the Department of Labor (DOL). We specifically utilize visa issuance and labor application data from 2016.

UAC MAGAZINE | JULY/AUGUST 2017

Visa issuances include visas issued to foreign workers for the first time as well as those issued to workers who are renewing their visas. The number of visa issuances is highly dependent on visa caps determined by the federal government.

High-Skilled (H-1B)

For instance, new H-1B visas are capped at 85,000 per year and new H-2B visas are capped at 66,000. Labor applications, in contrast, measure overall U.S. demand for foreign workers. Before a business can officially petition the government for a nonimmigrant worker, it must submit a labor condition application (for H-1B workers) or a temporary labor certification (for H-2B and H-2A workers) to DOL. These applications provide evidence that the employer first tried to recruit U.S. workers for the position and give details about the wages that will be paid. To determine the number of visas that would be given to high- and low-skilled workers, we simply apply current ratios in the H-1B, H-2B, and H-2A program to the overall 495,000 visa increase proposed by Senator Johnson. This analysis does not take into account any investor visas that would be allocated by the states. However, it is reasonable to assume that nonimmigrants investing in the U.S. economy would also spur job creation.

Potential economic impact

The results are displayed in the following table. If the ratio of high-to-low skilled workers remains similar to current trends, the State Sponsored Visa Pilot Program could create between 900,000 and 1.2 million jobs for U.S. workers. The lower-bound projection assumes that the current ratio of DOL labor applications for high- and low-skilled workers would persist. This is because there are significantly more labor applications for H-1B workers than for H-2B

Lower-Bound Projection Based on Labor Applications New Additional Visas Jobs Created

Upper-Bound Projection Based on Visa Issuances New Additional Visas Jobs Created

400,789

733,445

223,350

408,730

Low-Skilled, Nonagricultural (H-2B)

39,417

182,897

166,675

773,374

Low-Skilled, Agricultural (H-2A)

54,793

N/A

104,975

N/A

Total 495,000 916,342 495,000 1,182,104

INDUSTRY or H-2A workers, and high-skilled workers do not generate as many jobs for U.S. natives. This makes sense: high-skilled workers are in more direct competition with U.S. natives than lowskilled workers, who gravitate toward different jobs due to varying language skills, education levels, and levels of experience. Low-skilled workers instead complement U.S. workers, boosting demand, consumption, and overall economic activity. The projections using State Department data produce different results. Assuming the current ratio of visa issuances to high- and low-skilled workers, more visas would be allocated to workers similar to those currently in the H-2B

program. Therefore, the pilot program would have a bigger labor market impact, creating 1.2 million jobs for U.S. workers.

Conclusion

Reprinted with permission. Read more: www. americanactionforum. org

Reforming temporary work visas in the United States would be beneficial. While Senator Johnson’s proposal would not replace the current system, it would provide an avenue for states to tailor their immigration policies to their own demand. It would also discourage employers from abusing the program and encourage better conditions for foreign workers. Immigration is a leading driver of economic growth; the State Sponsored Visa Pilot Program is no exception.

July is Smart Irrigation Month July 11 is Irrigation Technology Tuesday Advancing its mission of “promoting efficient irrigation,” the Irrigation

Association announced July 2017 will once again be celebrated as Smart Irrigation Month. In its 13th year, Smart Irrigation Month serves as the showcase month to promote the social, economic and environmental benefits of efficient irrigation technologies, products and services in landscape, turf and agriculture irrigation.

“With July as a top water-using month throughout much of the United States, we are excited to join with our members and partnering organizations to celebrate July as Smart Irrigation Month,” IA CEO Deborah Hamlin, CAE, FASAE, said. “Kicking off with the new Technology Tuesday, I am excited to see all our industry has to offer to communicate the message of promoting efficient irrigation.” The primary activities of the Irrigation Association during Smart Irrigation Month will consist of the following:

Advocacy. The IA will release a comprehensive advocacy package for federal lawmakers focused on advancing policies promoting all types of efficient irrigation. Public outreach. The IA will release draft letters to the editor and tools for the irrigation industry to engage with local press and the public. Announcements. The IA will have several other surprise announcements throughout the month. “We hope this Smart Irrigation Month will be the biggest and best ever,” IA Government and Public Affairs Director John Farner said. “With our committed members and partner organizations, the opportunities for Smart Irrigation Month are endless. Let the countdown to Technology Tuesday begin!” For more information, please visit www.smartirrigationmonth.org.

UAC MAGAZINE | JULY/AUGUST 2017

New in 2017 is Irrigation Technology Tuesday. Technology Tuesday will serve as the kickoff of Smart Irrigation Month. IA members, along with companies and organizations celebrating Smart Irrigation Month, are encouraged to use this second Tuesday in July as the day to jointly celebrate all efficient irrigation has to offer.

Social media campaign. Please follow the IA on Facebook, Twitter and LinkedIn as messages regarding Smart Irrigation Month and efficient irrigation will be shared and participate in Smart Irrigation Month’s Thunderclap campaign. #smartirrigationmonth

INDUSTRY

Bishop joins NALP

First ever Director of Technical Education from the National Association of Landscape Professionals The National Association of Landscape Professionals has

UAC MAGAZINE | JULY/AUGUST 2017

announced that Rex Bishop, an awardwinning horticulture educator, joined the association as its first ever Director of Technical Education, beginning June 1.

Bishop is known to many in the industry for his volunteer work with the National "There is a wealth of talent eager to Collegiate Landscape learn more and do more. They are Competition and looking for opportunities to learn, commitment to grow and achieve in their chosen workforce and education issues profession. And the industry can grab through the the cream of the crop by getting association. Bishop involved in the local college program." has an MBA from ~ Rex Bishop Kennesaw State University. He worked in the nursery industry before teaching horticulture and landscaping at the college level for more than 25 years, most recently serving as the Vice President for Economic Development at Chattahoochee Technical College. “We are so pleased to bring Rex on in the newly created technical education position at NALP,” said Sabeena Hickman, CAE, NALP CEO. “We are committed to delivering the best education and best practices to members and Rex will be a huge asset in reviewing our education, resources, and certification training and helping to create new offerings.” Bishop will also work with the workforce development team, including industry veteran Jenn Myers who was brought on in March to anchor that initiative.

“Rex will be a huge asset to our workforce development initiative and he will also act as a technical expert for the association, supporting our media relations and advocacy efforts; providing technical information to the media and commenting on proposed rules and regulations,” said Hickman. We put Rex through a little Q&A so you could learn more about him.

Could you describe your career path?

My career path, like most, has had twists and turns. My father taught high school agriculture/horticulture and I lived on the school farm with a nursery out the front door and an orange grove out the back. So I was exposed early on. First I worked in the wholesale nursery and retail garden center segments, then spent several years working for a large company doing landscape installation and lawn care; all while attending college, getting degrees in horticulture and an MBA. After working in the industry I taught high school horticulture, then horticulture at the technical college before moving into administrative roles first as an academic dean, then as Vice President of Academics and then Vice President of Economic Development. During my academic years I have continued to work closely with the industry, being involved with the local and state associations, as well as working and consulting with several companies.

Q A

What have you liked most about teaching?

I am passionate about teaching and sharing knowledge. I love to find the right ways to motivate others to success. The joy of teaching is seeing them “get it” and taking that knowledge to their customers. The greatest joy is seeing former students be successful in the industry: owning their own companies or

INDUSTRY moving up the ladder. That is why teachers teach. There is no bigger thrill than being in front of a group of students and sharing knowledge. What do you like most about working in the landscape and horticulture industries?

Q A

The industry cares about its people and their customers. They are willing to share with each other so the industry as a whole gets better. And we can watch the fruits of our labor truly grow and develop before our eyes. Forever changing, forever challenging and always pleasurable. It is my passion. A great bunch of people that I am proud to work with.

This one is tough…what are your three favorite landscape plants?

Yes it is tough. I am a plant guy. Naming only three varieties or cultivars is impossible. But I can name three species or groups. Tea olives (Osmanthus fragrans) are a real favorite. They have a great aroma from those flowers and are easy to care for. Japanese maples (Acer palmatum) have a wealth of cultivars available in all shapes and sizes, and foliage colors. My garden has about 40 cultivars. And hydrangeas (Hydrangea spp.). Again, a wealth of color and types, bringing colorful joy to the garden. All are a must have for any garden.

What do you wish that industry employers knew about recruiting students out of college programs?

But get involved! You could have a real pipeline of workers with a little involvement in the college or even high school programs.

In addition to learning as much horticulture/landscaping as possible, students and colleges should focus on leadership skills, teamwork, communication, customer service, problem solving and critical thinking. We need well-rounded graduates, passionate and serious about their careers.

How do you hope to contribute to the industry with this new position?

Well, first I am passionate about horticulture/landscape education. So I will bring a lot of passion and energy to the organization and its members. I think we need to set the bar high as professionals. When we do that, the public respects us more and is willing to pay for the value we provide. I hope to increase the educational programming so we can raise the bar even higher than it is today. We have to set ourselves apart as professionals, and we do that through education and knowledge. I hope we can bring more programs to the local/regional level to give members a chance to get more from their association, and over time bring valuable online content to our members. Just like our members need to add value to their customers, we need to add value to our membership. That knowledge isn’t always just landscape knowledge. It is those things mentioned earlier: leadership, communication, teamwork, customer service, etc.

I am excited to be a part of this industry and will continue to work to improve our educational endeavors. Knowledge is power. Rex can be reached at rex@landscapeprofessionals.org.

The National Association of Landscape Professionals represents an industry of nearly one million landscape, lawn care, irrigation and tree care experts who create and maintain green spaces for the benefit of society and the environment. The association works with law makers and the public to protect and grow the industry and offers education, networking, training and certification programs that increase the professionalism in the industry and inspire its members to excellence. For more information, visit www.landscapeprofessionals.org.

UAC MAGAZINE | JULY/AUGUST 2017

There is a wealth of talent eager to learn more and do more. They are looking for opportunities to learn, grow and achieve in their chosen profession. And the industry can grab the cream of the crop by getting involved in the local college program. Be a guest speaker, help train students, offer internships, bring by a pizza or two. And remember, often that average student makes a great employee. You don’t have to hire just the “A” students. Those who get average grades often outwork and outperform in the real world.

What do you think colleges and students should focus on more when preparing themselves for careers in the industry?

URBAN AG

‘Inferno’ coleus

Stunning orange foliage of perfection by Norman Winter There is an ‘Inferno’ of color

UAC MAGAZINE | JULY/AUGUST 2017

coming from a coleus that racked up quite a number of perfect scorecards. ‘Inferno’ hasn’t been out long, but already it has heads turning, especially when you consider that it was total perfection in University of Georgia, University of Tennessee and Michigan State University trials.

It was tops at Missouri Botanical Garden trials and has truly been recognized across the country. Photo credit: Norman Winter If there was ever an 'Inferno' coleus looks striking against the lime orange coleus with green of this 'Sidekick' ornamental sweet the “wow!” factor you potato foliage. have been looking for, it has to be ‘Inferno.’ Those trials were completed primarily in sun, but ‘Inferno’ averaged 4.70 in Mississippi State University shade trials, which means that this versatile coleus gives you the bang for your gardening dollar, no matter where you grow it in the landscape. This is a fairly large coleus that will push close to three feet in height and two or more feet in width. You’ll find it remarkable in the landscape or in those designer mixed containers. Whether you grow it with flowers or other foliage as simple as the lime green ‘Wasabi’ coleus, the look will be attention-grabbing.

‘Inferno’ certainly has an appropriate name as it takes on the hues of glowing lava. It is truly the most vibrant orange coleus on the market. The large crinkled or waffled leaves add a texture that certainly does not go unnoticed. I recently had the opportunity to see hundreds of them at a greenhouse with ‘Wasabi,’ ‘Redhead’ and ‘Indian Summer’ coleuses, and it will be a sight long remembered for its staggering beauty. Coleus is a plant that exponentially rewards you for the amount of soil improvement you are willing to do. At the Coastal Georgia Botanical Gardens at the Historic Bamboo Farm in Savannah, we have soil we call “muck” and other areas that are fairly sandy, so we are always working on soil improvement through compost. If you have tight, heavy clay, then you should work on improving your soil condition, too. To accomplish this, spread 2 to 4 inches of organic matter and about 2 pounds of fertilizer per 100 square feet. My favorite fertilizer for coleuses is a 12-6-6. Till this in and you’ll be ready to plant. This pre-planting fertilizer, followed by light monthly applications, will keep the plants growing well until frost. Gold-leafed durantas like ‘Cuban Gold,’ ‘Gold Mound’ or the taller ‘Gold Edge’ with green variegation makes a stunning partnership to the coleus. You can never go wrong planting another coleus as a companion. In this case, look no further than the lime green ‘Wasabi’ coleus. By all means, don’t forget the possibility of combining the coleus with chartreuse-colored ornamental sweet potatoes. When it comes to the ‘Inferno’ coleus, don’t forget the color blue. All shades of blue seem to create an artistic masterpiece. Choose your favorite blue salvia, angelonia or verbena and the look will be mesmerizing.

URBAN AG ‘Inferno’ is coming out of Ball FloraPlant, which has been developing coleuses that almost never bloom, a much-loved trait in their lime green ‘Wasabi’ and dark burgundy ‘Redhead.’ After all, it is that glorious foliage we crave. ‘Inferno’ will also give you flushing new foliage for weeks on end and is slow to bloom. When it does bloom, a little pinching is a small price to pay for such rich and wonderfully rare-colored orange leaves in the garden.

For more on the Coastal Georgia Botanical Garden, please visit the website: coastalgeorgiabg.org

Planting some coleuses like ‘Inferno’ with your favorite flowers, or in some thrilling combinations with other foliage, will give you a bed that performs until cool weather arrives in the fall. About the author Norman Winter is director of the University of Georgia’s Coastal Georgia Botanical Gardens at the Historic Bamboo Farm in Savannah, Georgia. Follow him on Twitter @CGBGgardenguru.

Photo credit: Norman Winter

'Inferno' coleus offers stunning orange leaves that look like an artist's masterpiece when combined with all shades of blue.

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WaterSmart color concepts

Drought and heat tolerant floriculture by Scott Barnard, Flowerworx Want to design seasonal color beds and containers that will thrive throughout the growing season? First, you must have an understanding of the property's environment.

First things first

UAC MAGAZINE | JULY/AUGUST 2017

Just as important as your customers’ desire for a colorful and impactful flower display is how much Just as important as your customers’ light you have to work with and if desire for a colorful and impactful there is an irrigation/ flower display is how much light you drip system in place. have to work with and if there is an Water, light and irrigation/ drip system in place. location are extremely important in the success of your seasonal color designs.

Location and placement of annual beds and how you combine your plant choices are also an important aspect in the design process. Design beds and containers by grouping similar light and water needs to give plants the best chance to thrive.



An example would be a full-sun bed planted with Serena Angelonia, Lucky Lantana and Cora Vinca that all share the same light and water requirements, whether it is an irrigated bed or hand-watered bed.



A shade bed example would be Caladiums, Dragonwing Begonias and Setcresea.

These examples would provide the best performance because they share similar water and light needs.

An example of a combination that you should avoid is Vinca, Lantana and Petunias in fescue turf zone beds. Based on irrigation run times, the water required to keep the turf alive would overwater the seasonal color. The result would be annuals that would stop blooming or rot due to fungus, and you would soon be replacing them. When designing beds around warm-season turf areas like Bermuda or Zoysia, a combination of Begonias, Coleus and Profusion Zinnias would perform well together as long as irrigation is set accordingly.

Container combinations

Many containers and pots on your customers' properties are not irrigated and require regular hand watering to survive the spring/summer seasons. It is noteworthy that supplemental hand watering is helpful but not ideal for the plants to thrive. This bears repeating: it is important when you design your containers that you pair up plant material with similar light and water needs to give them the best chance of success. Equally important is the preparation of the containers. Use moisture-control potting medium, slow-release fertilizer and incorporate a light application of water retention granules. This process will benefit your containers all season long and give you the results your customers are expecting from their summer display. Where and when possible, convince your customers to install a drip irrigation system for their containers. This will be more effective and economical in the long run, alleviating the hassle of dragging hoses and saving time in the process. If your customer wants colorful and impactful containers but they do not have a water source for irrigation, designing with succulents are

URBAN AG a great approach to add color and a point of interest. There are many choices that offer interesting colors and shapes, all that will thrive in sunny containers with almost no water or maintenance. Yucca, Agave and Aloe make stunning thriller accents, while incorporating Sedum, Echeveria and Portulaca make for great fillers and spillers. This design concept offers up dynamic and colorful, drought-tolerant containers that will thrive all season long.

Use water wisely

There is an art to watering and understanding how to manage irrigation is key to the success of your seasonal color displays. Knowing the client's irrigation system and how the zones are set up will directly effect the performance of your seasonal color beds and containers as well as the surrounding landscape. Overhead watering systems that use rotors and fixed spray heads will distribute more water than a drip system, making it easy to waste and overwater the color beds and landscape. Wind can cause drift and evaporation, resulting in

uneven watering of the soil which can effect the overall performance of the flower beds. Be mindful of irrigation system run times. Cool-season versus warm-season turf areas, shrub and tree varieties and seasonal flower combinations that are incorporated in the landscape will benefit from a Use moisture-control potting properly managed medium, slow-release irrigation system. fertilizer and incorporate a With drip irrigation, light application of water water pressure is key retention granules. and should be set up between 8 psi and 15 psi for maximum performance. If possible, have annual bed and container zones separate from turf and shrub zones.

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Practice makes perfect

Five best bets

If you're looking for heat- and drought-tolerant summer annuals, you can't beat these:

Proper horticultural practices should be used to maximize performance of your seasonal color beds and containers.

 Angelonia

Prep the soil. The ability of the soil to minimize water loss by holding water is extremely important and can be achieved in the preparation process before planting. Most plants will benefit from incorporating compost, which helps the soil retain water and assures proper drainage. Either fit the soil type to your plants or choose plants that fit your soil.



Group plants. To minimize water waste and guarantee success with your flower designs, group plants with similar light and water requirements. Whether in full sun or shade, there are many varieties of annuals with different heights, colors, textures that will create beauty and appeal throughout the growing season.

Lantana



Apply mulch. Organic mulching of annual beds and containers with mini nuggets or a similar product will keep root systems cooler, minimize water evaporation from the soil and help keep weeds at bay.



UAC MAGAZINE | JULY/AUGUST 2017

Vinca

Zinnia

Water efficiently. Lastly, having an efficient irrigation system in place for your seasonal color beds and containers will be key to their successful growth. Automatic systems should be set to water in the early morning to minimize waste and help reduce foliar damage from the heat of the day. Having a rain sensor in place to shut the system off when it rains would also be of great benefit for efficient water usage. And, of course, always structure watering plans around any EPA drought rules that may be in effect.

About the author Scott Barnard is Owner/Designer of FlowerWorx, LLC, a floriculture design and consultation firm specializing in annuals and container design.

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Drain the rain

Options for keeping athletic fields dry by Todd Wiggins, Sports Turf Company The evacuation of excess moisture is paramount to the success of an athletic field. A field with a small amount of organics or top soil in general tends to be better at binding more nutrients in the rootzone. Beyond that benefit, the presence of native soil in rootzones tends to improve the surface stability.

Profile of the installed sand slit.

The sand slit drainage system does a good job of reducing intense maintenance while still improving a field's drainage capability.

The downsides to a field with excess amounts of clay or organic material is that it gets compacted easily, has poor exchange of air and water, and it gets water logged in times of excess moisture.

UAC MAGAZINE | JULY/AUGUST 2017

Premier athletic fields

The premier athletic field uses a gravel blanket and an underdrain system to create a highquality field with outstanding drainage and rootzone. The design of these fields provides a uniform medium to establish your field and they remove excess moisture very quickly. These types of fields have some downsides, which include the upfront cost to construct and the increase in the level of maintenance needed. A couple of points of focus are increases to irrigation and fertilization due to the sand rootzone. Typically, fertilizations have to be increased or the field will require “spoon feeding” due to the rootzone's inability to adequately bind the nutrients.

It is important to consider the inputs, but this type of natural field is the highest performer in its class.

Sand slit drain system

Another option to consider for your facility is a sand slit drain system. This system does a good job of reducing intense maintenance while still improving a field's drainage capability. It is a happy marriage of the two things because the system can evacuate the excess moisture from an athletic field but still uses native soils that can be easier to maintain when it comes to a natural grass field. This system requires fewer inputs with respect to fertilization and daily irrigation. Sand slit drainage is a functional and economical way to improve an athletic field that has good planarity, a good variety of turf, and has a native soil rootzone, without complete reclamation of the facility. The system is able to whisk away excess water without drying out the field. Costwise it is cheaper for the owner to maintain, requires less staff time, and is less expensive to install in the front end. In the end it is the most cost-effective system to move water efficiently. This system also cuts down on maintenance because it requires less fertilizer, less irrigation, and less direct maintenance. It doesn’t need to be watered as much and you don’t have to feed as much due to leaching through the rootzone. The long-term maintenance of the drainage is easily maintained by having it re-slit after 5-7 years of use. This improves the overall downtime for the facility. The installation time is also significantly quicker since it does not involve total renovation of the existing facility. If this system is installed in May or June, by late July the field is recovered, healed

URBAN AG and ready for use. It is about a 2-3-week process to install. The sand slitting process itself only takes a couple of days. The real benefit is that you never have to move water more than 10 inches over the surface area to find pore spacing for it to be evacuated. Water moves into the sand slits and from there into the lateral collector lines. Those lines then drop into a collector line that either remove it from the field or into a site drain system. By having this system, the field will be wet with significant rainfall, but not muddy because the excess water will be evacuated from the field. It will do a good job removing moisture in a way that keeps the field playable, even with a major rain event. In return, the fields will be able to tolerate heavier wear.

The installation

In September of 2014, Sports Turf Company installed a sand slit drainage system in Bacon

County High School’s football, baseball and softball fields in Alma, Georgia. The school system wanted athletic fields that drained efficiently, but were easily maintainable. The most economical way we saw to do this was through the installation of a sand slit drainage system.

Sand slit equipment and its feeder system.

The real benefit to the system is you never have to move water more than 10 inches over the surface area to find pore spacing for it to be evacuated.

Three years later the fields are still performing at an optimal level. Facilities and Maintenance Director of Bacon County Schools, Scott Taylor, says, “the fields are great, drain well, and are easy to maintain!”

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Field test for peak performance Getting efficient with your flow sensor

by Kayli Hanley, Public Relations Specialist, Ewing Irrigation & Landscape Supply

What can stop sprinkler geysers, send you an alert for a leaky pipe, monitor irrigation water use and get just the right amount of water to a thirsty plant? Your friendly, neighborhood flow sensor!

Photo courtesy of Hunter Industries

Flow sensors create an easy, efficient way to measure water usage in irrigation systems. It is important to test them periodically to ensure they stay in proper, working condition.

Check the insert

UAC MAGAZINE | JULY/AUGUST 2017

The quickest way to field test the flow sensor and flow meter is to remove the flow meter insert from the body of the flow meter itself.

“Always remember to shut off the water and bleed off any remaining pressure from the mainline before you do this,” cautions Ewing’s Tech Support Specialist Kevin Oglesby. “If you do not relieve the pressure from the mainline and you remove the retaining pin, the insert may shoot out of the body like a rocket.” Always use caution when you are leaning over the flow meter. Next, take the flow meter insert to the controller and hook it up to the flow terminal strip. Make sure you connect the wire leads to the correct terminals. “If you connect them to a master valve or station output and send 24 volts to it, you just fried it,” Oglesby said.

Instead, manually spin the impeller and look for a flow reading on the controller. If the flow reading is displayed, that means the sensor is working properly. If there is no reading, simply replace the insert.

Follow the wire path

If your problem is not solved after testing the sensor, inspect the wire path. “First, disconnect the flow sensor and flow meter from the control wires and use a volt (ohm) meter to check that there is a range of 10 volts on the control wires,” Oglesby said. “If you do, take the control wires and tap the bare wire leads together.” You will need someone at the controller to verify there is a flow reading. The faster you tap the leads, the higher the flow reading should go. If there is neither a voltage or signal showing, get a wire locator and begin looking for a break or nick in the wires.

Plant proof your wire

Finally, consider that a newly planted tree, shrub or fence post could also be the culprit. Double check areas where new landscape has been planted to make sure the plants aren’t interrupting the wire path. Adjust the plants as needed, taking care not to harm them. Flow sensors can help you reduce water usage and better monitor the flow rate of an irrigation system. Field testing a flow sensor will keep it in good, working condition—ultimately making it last longer. About Ewing

Ewing Irrigation & Landscape Supply is the largest family-owned supplier of landscape and water management products in the country. As your business partner, we offer products and education for irrigation and landscape, turf and land management, outdoor living, sports fields, golf and sustainable solutions. Our nationwide network of friendly, knowledgeable staff help green industry professionals discover products and services for business success.

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