CONSTRUCTION

CONSTRUCTION World’s largest hard rock water tunnel boring machine debuts in Dallas

Generational Diversity and Its Impact on the Construction Industry

By Subcontractors USA News Provider

amily-owned businesses are the heart of the construction industry. Literally. It is the most frequently encountered ownership model in the world and impacts the global economy significantly. The generational leadership of a family business is credited for developing entrepreneurial talent, a sense of loyalty to business success, long-term strategic commitment, and corporate independence.

According to the Family Owned Business Institute, family-owned businesses create seventy-eight percent of U.S. jobs and employ sixty percent of the workforce. And members of Associated Builders and Contractors of Greater Houston are working to keep the industry growing through their generational leadership.

Craig & Heidt, Inc. is a general and industrial contractor and has been a family-owned business for over seventy years, with Charles Craig joining the company in 1959 and becoming Craig & Heidt in 1973. The company offers a broad scope of industrial petrochemical construction, commercial services, and has constructed major projects such as site preparation, concrete foundations, paving, and drainage construction.

“I believe the family-owned small business model offers many benefits to the construction industry,” says Sam Craig, President of Craig & Heidt, Inc. “The compact corporate structure means quicker response time to most activities of the business. This includes customer service, human resource, and financial aspects to name a few. I have had comments from owners and engineers stating their preference to use small businesses because of those factors.”

According to the U.S. Census Bureau, millennials are expected to overtake baby boomers as the largest generation in the United States this year, with most of them already in the workforce.2 In today’s workplace, and especially for family-owned businesses, this means that there are several different generations with unique viewpoints on work ethics, communication, and leadership – including a diverse collection of opinions and F

skill sets that can help businesses set themselves apart and be more innovative than competitors.

Craig says that Craig & Heidt has five family members representing three generations, and is currently in generation four.

“This diversity has been a great help to me both personally and professionally,” continues Craig. “Diversity brings new viewpoints on communication and leadership and allows for training younger family members for future leadership and ownership positions in the company. This is one way that Craig & Heidt is currently training and fostering this current generation.” Darlene East, President of Holes, Inc., says that being a family-owned business has allowed her company to continue to foster values from generation to generation. “Holes is still developing the next generation of leaders,” says East. “We actively recruit young professionals from the construction schools as well as promote individuals from the field. In the meantime, we set up multi-generational round tables to discuss and brainstorm on the improvements and growth at Holes.”

Since 1972, Holes has been on the cutting edge of concrete sawing, drilling, scanning, demolition, and removal. The company is dedicated to concrete cutting research and development and has led to the integration of many high-tech tools and services.

According to East, Holes is focuses on taking care of employees and providing excellence customer service. As a family-owned business, Holes has the ability to offer best in class benefits, job training, and long-term career development for their employees. As the industry begins to recognize the need to offer better career opportunities, Holes has most of those opportunities in place, and is leading the industry by example.

“I take pride in seeing our employees succeed in their careers here at Holes. As we recognize people reaching career milestones, I know that it is because we continue to live up to the original values of my parents. Putting our employees first by providing jobs, training, and opportunities are the key goals in our business.”

By Subcontractors USA News Provider

he City of Dallas unveiled the Big Tex tunnel-boring machine (TBM) at the Mill Creek Drainage Relief Tunnel. The 38-ft by 230 ft long machine is the largest hard rock water tunnel boring in the world at the time tunneling begins. Big Tex will be used to dig a tunnel designed to provide flood protection for east and southeast Dallas.

“The completion of the TBM assembly marks a major milestone in the Mill Creek Tunnel Project,” said Council Member Lee Kleinman, chair of the Transportation and Infrastructure Committee. “I’m thrilled to see this type of engineering marvel happening right here in Dallas.” The dual-diameter aspect of the TBM will be a firstof-its-kind conversion process. Big Tex will tunnel the first 9,000 feet of the project, then our team will work completely within the tunnel to remove the outer pieces of the cutter head to convert the overall diameter from 37.7-feet to 32.6-foot diameter. Once the conversion is complete, Big Tex will continue tunneling the remaining 17,000 feet of the project alignment.

“I’m proud to say the project takes measures to minimize impacts to local residents and commercial properties, while enhancing economic value and bringing flood relief and flood protection to a large segment of our community,” said Majed Al-Ghafry, assistant city manager, City of Dallas. Southland Holdings and it’s subsidiary companies Southland Contracting and MOLE Constructors are working on this project and will be hiring over 300 employees to work on the Mill Creek Tunnel Project.

“Big Tex will work 24 hours a day to excavate the tunnel with crews ranging in size depending on activities,” said Rachel Sackett, marketing and communications director, Southland Holdings. “With a project of this size, we are always hiring those eager to grow their career or learn a new skilled trade. We encourage those seeking job opportunities to visit our website.” It’s cons i d e r e d good luck for a TBM to be given a name. T

With the permission of the State Fair of Texas, the TBM is named Big Tex for its size (everything is bigger in Texas), proximity to the State Fair and iconic name known around the world.

CONSTRUCTION EMPLOYMENT RISES CONSTRUCTION By 1,000 In November And 146,000 In 12 Months; Slowing Job Gains May Be Sign Of Labor Shortages, Not Slumping Demand

By Subcontractors USA News Provider

onstruction employment increased by 1,000 jobs in November and by 146,000, or 2.0 percent, over the past 12 months, according to an analysis of new government data by the Associated General Contractors of America. Association officials said recent modest monthly increases in industry employment likely reflect the difficulty contractors are having in finding workers rather than a letup in demand. Officials urged federal officials to pass the JOBS Act and boost funding for career and technical education programs to help ease labor shortages. C

Average hourly earnings in construction—a measure of all wages and salaries—increased 2.7 percent over the year to $31.08. That figure was 10.2 percent higher than the private-sector average of $28.29, the association official noted.

Association officials said Congress and the Trump administration should address construction labor shortages by passing the JOBs Act, boosting funding for career and technical education and enacting comprehensive immigration reform measures. The JOBS act would make it easier for students in short-term credentialing programs that teach skills like construction to qualify for federal Pell Grants, they noted. “Labor shortages are making it harder for firms to keep pace with demand, and more important, it is making it harder for them to add new people to their payrolls,” said Stephen E. Sandherr, the association’s chief executive officer. “Making it easier for young adults to acquire construction skills and for skilled workers to enter the country when they are needed will put many more people to work in high-paying construction careers.”

Source: Associated General Contractors

“Contractors report they remain busy and have lots of projects on their order books,” said Ken Simonson, the association’s chief economist. “But they find it extremely difficult to fill many positions despite paying more than other industries.

That’s not surprising, given that the total unemployment rate returned to a 50-year low in November—a sign that all industries are competing for workers.”

Simonson observed that the average weekly hours for all employees in construction increased from 38.7 in November 2018 to 39.1 in November 2019, even though construction employment rose by 2.0 percent over the year. In contrast, weekly hours for the overall private sector remained flat at 34.4 hours, while total nonfarm employment increased by 1.5 percent.

“One takeaway from these numbers is that contractors are adding workers faster than other sectors, but they are eager to hire even more people to keep pace with strong demand for projects,” Simonson commented. “To make up for the shortfall, many firms are asking workers to put in more hours.” The construction economist noted that it will be difficult for firms to continue asking existing staff to compensate for labor shortages in the long run.

ENERGY Six Large-Scale Solar Farm Projects With Queue Positions in Texas Offered for Immediate Acquisition by Renewable Energy Developer

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By Subcontractors USA News Provider

nnovative Solar Systems, LLC, (ISS) is offering for immediate acquisition six highly desirable large-scale solar PV projects in the ERCOT market. The six solar projects, IS 134, 206, 245, 377, 408, and 416, range in size from 85MW to 300MW for a total of 1,035MW. All six solar projects are filed and have secured a queue position, with estimated CODs ranging between 2021 and 2023. With their close proximity to major transmission assets and through ISS's relationships with offtake entities, these six projects represent a valuable investment opportunity within the Texas renewable energy market.

ERCOT is one of the most dynamic, exciting energy markets in the US. Population growth in Texas and the shuttering of the state's coal plants have combined to create a level of electricity use unlike that of any other area in the country. In fact, ERCOT's projections for 2020 indicate electricity demand for its in excess of 26 million Texas clients will continue the already rapid pace of growth occurring in the Lone Star state. Those who study this electricity market understand Texas remains an up-and-coming investment opportunity, and shrewd renewable energy investors are eager to include solar projects within the ERCOT region as part of a sound portfolio.

Innovative Solar Systems, LLC (ISS), established in 2011, is an experienced utility-scale solar PV developer. With a significant portfolio of solar projects across the US, ISS is a developer investors can rely on to offer profitable, attractive solar farm sites in a wide variety of energy markets

IT & TECHNOLOGY Dallas recognized for ‘Deal of the Year’ award

By Subcontractors USA News Provider

he City of Dallas Office of Economic Development has won Business Facilities’ 2019 Deal of the Year Bronze Award for Uber Technologies’ U.S. Administrative Hub. Uber’s new hub, based at The Epic in Dallas’ Deep Ellum neighborhood, will create 3,000 new jobs and more than $75 million in capital investment.

Uber will provide a new employment hub to bridge Downtown Dallas to Deep Ellum, and will greatly enhance Dallas’ economy. Additionally, current tech entrepreneurs working within Dallas (including many nearby co-working spaces) will find a new, energetic partner in Uber Technologies, generating a more dynamic and creative tech environment to further define Dallas as a 21st-century city of innovation.

“The Office of Economic Development continuously works to attract and sustain businesses and development opportunities to help grow Dallas” said Michael A. T

Mendoza Chief of Economic Development and Neighborhood Services.

“These efforts will continue make Dallas an ideal destination for companies looking to expand.”

Home to the largest tech workforce in Texas, as well as the only city where all Uber platforms are active, Dallas quickly became a top contender for Uber’s new hub.

In what’s been called one of its most competitive Deal of the Year contests to date, Business Facilities’ Editor in Chief Jack Rogers said “Dallas is one of the nation’s fastest-growing data center hubs, and now it will be home to a coveted administrative HQ for an emerging tech giant.”

Uber recognized the City of Dallas for the great partnerships formed between the Texas Governor’s Office, Dallas County, North Central Texas Council of Governments, Dallas Regional Chamber, and Uber.

Source: City of Dallas

IT & TECHNOLOGY 5G: Houston's Next Leap in Innovation

By Subcontractors USA News Provider

G technology has been touted as the next leap forward in the digital technology arena, and Houston is one of the first cities to roll out the new tech, but what does this mean for Houston's economy? Well, it could mean a lot. 5G networks need smaller and more closely deployed antennae that can attach to existing physical structures, such as light and telephone poles and buildings. These signals can also be carried faster and with more reliability.

Last month the Houston Chronicle reported that T-Mobile turned on its 5G network in Houston and nationally. This launch made T-Mobile the latest commercially available 5G mobile data network available in the region. Sprint, which is planning a merger with T-Mobile later this year, and Verizon turned on their 5G capability in Houston earlier in 2019. 5

In 2018 AT&T announced that it had 5G capabilities in multiple areas in Houston. The company also has invested nearly $1.5 billion in Houston wireless and wired networks from 2015-2018 in anticipation of 5G coverage. The investment also included updates to improve reliability, speed and performance.

These faster capabilities will offer Houston businesses better opportunities to create new and streamline old technologies, and companies are starting to take notice. When Accenture surveyed more the 6,600 business and IT executives for its Technology Vision 2019, 62% of the respondents said that 5G will have a significant impact on their industries within the next three years.

Infrastructure Networks, a Houston based oilfield telecommunications company, is working with telecommunications company Nokia to bring 5G networking capabilities to the Eagle Ford Shale of South Texas, the Permian Basin, and two additional shale basins outside of Texas. That integration will allow customers of Infrastructure Networks to send and receive large gigabytes of data faster than ever before.

"Operators, drillers and oilfield service companies can now embrace automation, artificial intelligence analytics and machine learning, only made accessible with nextgeneration, high-bandwidth, low-latency connectivity," Mark Slaughter, CEO of Infrastructure Networks, said in a statement this week. As a 5G city, Houston has the potential to utilize this technology to move forward with smart city applications that could assist in reducing traffic congestion, lower energy usage and improve public safety. This new technology could also bolster the region's economy. Over the next seven years, 5G networks are estimated to create 3 million new jobs and contribute $500 billion to U.S. GDP.

"Houston has always been on the front line. It is who we are. It is in our DNA. We are a leading city," Mayor Sylvester Turner said at a roundtable discussion in October. "We didn't wait for somebody else to go to the moon. Or to be the energy capital of the world. Or the largest medical center in the world. But you don't stay at the front if you don't continue to lead."

Source: Greater Houston Partnership