Construction Outlook December 2018

dec | 2018

UCANE Members Assist in Merrimack Valley Restoration Efforts

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DECEMBER, 2018

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Years of Excellence 1954-2018

OFFICERS President RICHARD PACELLA, JR. R. M. Pacella, Inc.

President-Elect MARCELLA ALBANESE

Albanese Brothers, Inc.

Treasurer RYAN McCOURT

McCourt Construction Company

Secretary BRIAN COONEY

C. C.Construction Inc.

BOARD OF DIRECTORS GREG ANTONELLI GTA Co., Inc.

VINCENT BARLETTA

Barletta Heavy Division

TONY BORRELLI

Celco Construction Corp.

BEN CAVALLO

C&S Insurance Agency

ANDREW DANIELS J. Derenzo Co.

GREG FEENEY

Feeney Bros. Utility Services

JERRY GAGLIARDUCCI

Gagliarducci Construction, Inc.

NICK GAMACHE

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MARCO GIOIOSO

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MIKE GORMAN

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BILL LEONARD

Aqua Line Utility, Inc.

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JOHN OUR

Robert B. Our Co., Inc.

JOSEPH PACELLA

RJV Construction Corp.

PAUL SCENNA

Albanese D&S, Inc.

CHRIS VALENTI

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KEN VOGEL

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DAVID WALSH

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ANNE KLAYMAN

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DECEMBER, 2018

IN THIS ISSUE

5 President’s Message:

Looking Back on a Year of Progress

7 UCANE’s 2018 Wrap-Up 19 Legislative Update:

• State’s New Department of Family and Medical Leave Debuts • City of Peabody Takes Significant Action to Address Water Infrastructure Needs • Massachusetts: First State in Nation to Adopt Pipeline Safety Management System • New Quality Monitoring Program Announced by Administration • Pioneer Institute Weighs in on Lack of Flaggers • News in Brief

31 Legal Corner:

Statewide Contracts and Public Construction Projects in Massachusetts

35 Construction Safety & Compliance:

An Interview with Ben Niles, Corporate Safety Director, Barletta Heavy Division, Inc.

37 UCANE’s 8th Annual Appreciation Night Trade Show 38 UCANE Members Assist with Restoration Efforts in the Merrimack Valley 51 Mass. Public Works Directors and Municipal Officials: Changes Made to Snow and Ice Control Methods 53 Dam Removal, Culvert Upgrades, and Climate Adaptation 55 Spotlight on Cape Cod: Falmouth OKs $7.6M to Replace Water Mains

58 UCANE’s 45th Annual Christmas Party & Scholarship Auction 60 A World of Thanks to Those Who Continue to Support Our Scholarship Program 65 Scholarship Applications Now Available 67 Safety Corner: Data Doesn’t Lie

71 Technology in Construction: Taking the Right Steps

75 Financial Management:

• The New SALT Deduction Limits Will Affect Home Sales • Powers of Attorney Can be Vital Documents • How to Handle Year-End Bonuses

Editor: Anne Klayman, Associate Editor: Suzanne Hatch, Magazine Designer/Assistant Editor: Sherri Klayman Construction Outlook Chairman: Richard Pacella, Jr. Editorial Board: Richard Pacella, Jr., Marcella Albanese, Ryan McCourt, and Brian Cooney CONSTRUCTION OUTLOOK published monthly by the Utility Contractors’ Association of New England, Inc., 300 Congress Street, Suite 101, Quincy, MA 02169; Tel: 617.471.9955; Fax: 617.471.8939; Email: aklayman@ucane.com; Website: www.ucane.com. Statements of fact and opinion are those of the authors alone and not necessarily those of UCANE and the Construction Outlook editorial board and staff. Subscriptions are included in dues payments for UCANE members. Presorted Standard postage paid at Brockton, MA. POSTMASTER, please send form #3579 to Construction Outlook, Crown Colony Office Park, 300 Congress Street, Suite 101, Quincy, MA 02169.

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MAY, 2018

12/13/18 11:17 AM

Looking Back on a Year of Progress I’m not sure that the weather we have endured the last couple of months qualified as fall, but one thing is certain, winter is here and the holiday season is upon us.

I hope everyone had a successful end to the construction season, and that you are now able to enjoy some quality time with your families. This is also the time of year when we take the time to reflect on all that happened over the last 12 months. First and foremost, I want to thank my fellow Officers, Board members, and our membership for their support during my first year as UCANE President. It is an honor to serve, and I am proud of what we accomplished in 2018.

O

ne main highlight was our successful effort to lobby for an increase in water infrastructure funding. This effort is always a high priority for UCANE, and it was very encouraging that this priority was shared by leaders at both the state and federal level who recognized its value and importance.

During the state budget deliberations early this year, Governor Baker and the State Legislature increased the appropriation for the Massachusetts Clean Water Trust from $55 million to $63 million. Then, later in the year, an additional $10 million was added as part of a supplemental budget. On behalf of UCANE, I want to thank Governor Baker and Legislators for this funding and hope this continues as we address the huge water infrastructure funding shortfall in Massachusetts.

At the federal level, it is a bit of an understatement to say that there is not much agreement or cooperation these days. However, Congress and the President did agree on one infrastructure measure in 2018, and that was the Water Resources Development Act (WRDA). The Clean Water Construction Coalition, with the support of UCANE, strongly advocated for the passage of the bill, which could significantly increase the funding available for drinking water projects in the coming years.

UCANE also continued to successfully lobby against passage of several bills that would have the unintended consequences of hurting our businesses and industry. There is never a shortage of these measures, and we have to continue to monitor these

DECEMBER, 2018

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proposals and our ever-changing political landscape.

You can read about the majority of our 2018 legislative efforts as part of the year-end Wrap-Up beginning on page 7.

UCANE is much more than just legislative advocacy. Our Safety Committee had a very active year as well. We had an outstanding number of companies and employees participate in a National Trench Safety Stand Down in June. We continued to offer the latest safety training seminars and news to the membership. We also joined our fellow construction associations in discussing how our industry can combat the opioid crisis, and this will continue to be a top priority in 2019.

Over the years that I have been involved with UCANE, I have heard many times about how UCANE is a “member-run and member-driven” Association.

Having served as President this past year, I now have a better sense of how profoundly true that statement is. Whether it be at dinner meetings, our annual banquet, our scholarship auction, or board meetings, I am constantly amazed by the generosity and camaraderie our membership has for each other, and it is why I am extremely proud to be able to serve as UCANE President for another year in 2019. I look forward to building on the progress we have made together.

I wish you and your families a happy holiday season, a very merry Christmas, and a prosperous and healthy new year! n

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UCANE’s 2018 Wrap-Up Legislative Overview UCANE again tracked an expansive range of legislative proposals and worked closely with Lynch Associates, Inc. in 2018 as the State Legislature concluded its two-year session. Massachusetts Representatives and Senators filed over 6,500 pieces of legislation. UCANE ultimately identified and tracked over 70 of these bills that impact our industry. Many of these bills would have a negative effect on member companies and have been refiled from the previous session after UCANE successfully advocated against their passage. They range from establishing overly burdensome regulations to creating unfair advantages in public bidding laws. UCANE’s staff and our lobbyists tracked these bills, developed position papers and written testimony, visited legislators with UCANE members, spoke at public hearings, and otherwise informed Beacon Hill legislators about the potential negative impacts of these bills. As the 2019-2020 legislative session begins, UCANE and Lynch Associates will again prioritize protecting and promoting our industry and maintaining our Association’s reputation as one of the most active and involved industry advocates on Beacon Hill.

UCANE Successfully Supports Water Infrastructure Funding Increase During the Massachusetts state budget deliberations for the Fiscal Year 2019, UCANE successfully lobbied for an increased appropriation to the Clean Water Trust (CWT), which finances water infrastructure projects for municipalities and authorities in the state. UCANE advocated strongly throughout the year, which led to an $18 million dollar increase for the CWT ($55 million to $73 million). UCANE will continue to support an increase in funding, as this only begins to address the $18-$21 billion shortfall in water infrastructure funding the Commonwealth faces over the next 20 years.

Legislature Passes UCANE Supported Cape Cod Water Protection Trust As many UCANE members know, municipalities on Cape Cod are under court order to address

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wastewater issues as a result of a successful lawsuit filed by the Conservation Law Foundation (CLF).

This is known as the Section 208 Plan. The cost to implement the 208 Plan is estimated between $2 billion and $4 billion over the next 20 years. The 208 Plan is critical to protecting Cape Cod’s drinking water, its beaches, and its coastal industries from excess nitrogen loads created primarily by failed septic systems.

In 2018, UCANE worked with the Cape Cod legislative delegation on language establishing a Cape Cod Water Protection Trust. The Trust was established as part of the Legislature’s bill to regulate short-term home rentals. A portion of the revenue collected from short-term rentals would go to this newly created Trust and would be used to fund water infrastructure projects. While a final bill still needs to be worked out with Governor Baker, it is widely agreed that the final law will include the Cape Cod Water Protection Trust.

This legislation will provide an incentive for towns to move forward with the necessary water infrastructure projects. The implementation of Section 208 will improve the health and well-being of people living on the Cape and will ultimately mean greater opportunities for UCANE contractors for many years to come.

Authored Legislation UCANE authored and pursued passage of other bills in the State Legislature on behalf of our industry.

HB 2657, An Act Relative to the Timely and Consistent Payment of Law Enforcement Personnel, was filed by UCANE in an effort to ensure consistent bidding practices with awarding authorities for payment of police details. After meeting with Dig Safe and utility officials, UCANE filed its Dig Safe revision bill, HB 3388. These bills made significant progress in 2018, and UCANE will be refiling these bill in 2019.

Wage Theft Legislation There was a significant effort to pass wage theft legislation in 2018. UCANE recognizes that wage theft hurts workers and responsible employers, but the proposed legislation goes too far and could unfairly punish a contractor for the actions of any tier continued on page 9

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DECEMBER, 2018

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2018 Wrap-Up continued from page 7 of subcontractor, regardless of the general contractor’s knowledge of such actions. UCANE supports enforcement of the many existing laws already in place on this issue and was part of a coalition that successfully lobbied for the defeat of the bill in 2018.

It is believed a bill will be refiled in 2019, and UCANE will continue to work to protect its members from unfair legislation.

Water Infrastructure Alliance UCANE has been an active member of the Water Infrastructure Alliance (WIA) comprised of construction, environmental, and engineering companies that promote clean water investment in Massachusetts.

The investment is needed to close an estimated $21 billion funding gap for water and sewer needs that is projected in the Commonwealth over the next 20 years. It has been four years since the passage of Chapter 259 of the Acts of 2014, which introduced a wide range of provisions to assist the water and sewer funding needs for municipalities and for the State in general. UCANE continues to be a driving force in the Alliance, providing research, information, testimony, and advocacy materials for other members.

UCANE continues to participate in public relations

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campaigns for water infrastructure, including being a sponsor of the national “Imagine A Day Without Water” campaign for the third year in a row.

Infrastructure Funding Advisory Committee As part of Chapter 259, UCANE was appointed one of 22 members to the Water Infrastructure Advisory Committee, a broad-based advisory board tasked with developing a long-term funding mechanism that will address the significant gap between projected needs and currently available funds for water, sewer, and storm water projects. UCANE led a successful effort to convene the Committee, which met on a regular basis in 2018. UCANE has volunteered to lead the Financing and Legislation Subcommittees and will push to issue a report in 2019.

Construction Outlook Magazine 2018 was again a very successful year for UCANE’s monthly magazine, Construction Outlook. The publication’s circulation continues to grow and, in addition to our membership, includes all 351 municipal DPW Directors, all State Legislators, Constitutional Officers, as continued on page 11

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DECEMBER, 2018

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2018 Wrap-Up continued from page 9 well as our Congressional delegation. Several member companies and projects were highlighted in the magazine. We also continued our series of interviews with legislative leaders and ran our regular articles on the latest safety, legal, financial, and IT issues.

Asbestos Removal Training Course UCANE has continued to offer its members both the 8-hour Class II Asbestos Training Course and the 4-hour Refresher Course (required every five years) in conjunction with ATC Associates, Inc. of West Springfield, MA. Both OSHA and the Department of Labor Standards have approved these courses, which were jointly developed by UCANE, MassDEP, and MWWA. Over the last seven years, more than 500 individuals have received Asbestos Cement Pipe (ACP) Worker Safety Certificates through UCANE. This number includes attendees from over 50 contractors, as well as representatives from MassDEP, MWRA, MWWA, and municipalities.

UCANE/Municipal Officials UCANE continued to work with several municipal organizations and officials to advocate for increased

investment in water infrastructure through the Clean Water Trust and other revenue sources. Every year we regularly meet with the Mass Municipal Association (MMA), Mass Highway Association (MHA), and the Norfolk Bristol Middlesex (NBM) Highway Association.

Also, as a result of multiple complaints from member contractors that new winter deicing products and procedures are causing spalling of new concrete sidewalks, UCANE convened several meetings with members and also brought in CIM and MaCapa reps and concrete and deicing industry experts to determine a solution to this problem. In November, UCANE advised all municipalities and contractors to be aware of this potential problem.

The group will continue to meet and will present recommendations to public agencies, including MassDOT, in Spring 2019.

MassDEP, MWRA, & BWSC UCANE maintains relationships with the leadership and decision makers at MassDEP, MWRA, and Boston Water & Sewer Commission (BWSC) and continues to attend MWRA Advisory Board meetings and regional MassDEP meetings in order to keep up with discussions on budgets, capital planning, etc. continued on page 13

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2018 Wrap-Up continued from page 11 At UCANE’s March 2018 Dinner Meeting, the heads of the MWRA, BWSC, and the MassDEP presented their Annual Forecasts detailing the upcoming 2018 list of projects to be bid and their respective agency funding commitments to a large audience of UCANE members. In 2019, UCANE will continue to work closely with all of these agencies to promote the need for increased infrastructure investment.

Construction Roundtable with AG Along with other Construction Associations, UCANE continued to participate in the construction roundtable meetings with Massachusetts Attorney General Maura Healey and her staff at the Fair Labor Division to discuss issues of concern to the construction industry. Agenda items in 2018 included discussing the potential impact of the proposed wage theft legislation. Other items included reviewing Bid Protest Decisions, prevailing wages issues, abuse of the current sick leave law, and MBE/WBE compliance goals.

UCANE looks forward to continuing productive roundtable discussions with the AG and her staff in 2019.

OSHA & Safety Related Issues

UCANE. In 2018, we continued to provide members with updates on the latest safety issues, changes in safety legislation at both the State and National levels, and best management practices when it comes to providing a safe job site. Email alerts are broadcast to all members when there is important breaking safety news and the Safety Corner articles in Construction Outlook magazine highlight safety topics of relevance. Safety updates are on the agenda at every Board Meeting.

In June of 2018, UCANE participated in a National Trench Safety Stand Down Week. This was an OSHA endorsed effort in which companies emphasized trench safety by planning a toolbox talk or other safety activity to take a break and emphasize the importance of trench safety. By the end of the week, 21 UCANE members representing nearly 1,900 employees had participated, by far the largest participation by any Association in the country.

In addition to the Asbestos Pipe Removal courses, UCANE once again offered a Competent Person and Confined Space Entry seminar led by nationally recognized instructor John Barrasso.

UCANE also provided members access to a Silica Data Sharing program so that members could comply

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2018 Wrap-Up continued from page 13 with the new silica standards that went into effect in 2018.

UCANE's Safety Committee met regularly in 2018.

The Committee hosted Peter Barletta from the Region 1 OSHA Office to update members on the latest OSHA activity and points of emphasis. Other topics included updates on City of Boston regulations, DPU citations, hot works training requirements, and the latest information on drug and alcohol testing policies.

UCANE and the Safety Committee also has made it a priority to address the opioid epidemic. UCANE has joined with the other construction associations and will be offering seminars and support in 2019.

National Legislative & Industry Initiatives UCANE continues to be an active member of the national contractor’s group, the Clean Water Construction Coalition (CWCC), which has grown to 28 member Associations representing more than 11,000 contractors nationwide. CWCC maintains a strong presence in Washington, D.C. and promotes the need for clean water funding. UCANE President Richard Pacella, Jr. (R. M. Pacella, Inc.) led a UCANE delegation that participated in the CWCC

Fly-In in May in Washington D.C. as part of “Infrastructure Week.” Our group met with members of the Massachusetts Congressional delegation as well as fellow CWCC contractors from across the country to discuss local and national water infrastructure issues. In 2018, the CWCC successfully lobbied for the passage of the Water Resources Development Act (WRDA). This legislation authorizes an increase in the Safe Drinking Water SRF program from $1.17 billion in the current fiscal year to $1.95 billion by 2020, subject to appropriation. This legislation was the only bipartisan infrastructure bill to pass both branches of Congress this session.

UCANE’s 7th Annual Trade Show UCANE held its 7th Annual Trade Show as a way of thanking Construction Outlook advertisers.

A record number of Associate member companies took advantage of a complimentary opportunity to set up displays and hand out literature detailing their products and services prior to our March Construction Forecast Dinner Meeting. Company representatives were able to meet and talk with many of UCANE’s contractors and their key personnel in continued on page 16

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2018 Wrap-Up continued from page 15 a social setting. Our 8th Annual Trade Show will be held prior to our March 2019 Dinner Meeting.

•

Honors & Awards at UCANE’s 64th Annual Banquet On October 27, a crowd of more than 600 UCANE members, spouses, and guests enjoyed an evening of fine dining, entertainment, and dancing at the Newton Marriott Hotel. In addition to providing some great social camaraderie, our Banquet serves to honor UCANE members who have been voted as exemplary by their peers.

• Presented 2018 “Contractor Member of the Year” Awarded to Paul Scenna, Albanese D&S, Inc. • Presented 2018 “Associate Member of the Year” Awarded to Fred Rogers, Scrap-It, Inc./Minichiello Bros., Inc.

Member Communications •

Once again, the UCANE Industry Directory was sent to all Municipal DPW Directors in the state.

Our Directory also includes an “Emergency Services” section to provide DPW officials with quick contact information of UCANE members in case

• •

•

of a local emergency.

Sent monthly e-newsletters to keep members informed of the latest construction and legislative related issues. As a complimentary feature to support our “Buy from UCANE Members Program” our enewsletter includes Construction Outlook advertisers on a rotating basis at no additional charge.

UCANE’s website and social media-feeds are updated daily with the latest industry news.

UCANE’s website makes it easier for members to access information on seminars and meetings. It includes online versions of Construction Outlook magazine as well as a list of all of our advertisers and links to their websites.

UCANE continues to increase its outreach with public officials and stakeholders through social media with LinkedIn, Twitter, and Facebook.

Membership As of late November 2018, UCANE had welcomed a total of 23 new members to its current roster of over 250 members. With the help of current members, we will continue our efforts to add additional members who will benefit from joining our Association and will help to strengthen our industry. continued on page 17

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2018 Wrap-Up continued from page 16 •

Dinner Meetings In 2018, UCANE held five Dinner meetings giving members a chance to interface in a relaxed setting and get updated on current industry news. Guest speakers included Mass. State Auditor Suzanne Bump; UCANE members, Vin Barletta, Marco Gioioso, Ryan McCourt, and John Our; and former New England Patriots All-Star, Matt Chatham.

• •

•

College Scholarship Program •

•

•

In 2018, UCANE awarded twelve $2,000 college scholarships to High School seniors who are the children of UCANE members and their employees.

UCANE held a successful Christmas Party and Auction to support our Scholarship and General Fund.

We also honored former UCANE members with Memorial and Honorary Scholarships.

• • • • •

UCANE's Charitable Endeavors •

Supported Leukemia & Lymphoma Society of MA 9th Annual “Gala for a Cure” through Co-chairs Al

•

and Rosemary Morteo (FED. CORP.).

Supported the Diabetes Foundation through the Benard Family.

Supported the Joe Andruzzi Foundation to assist cancer patients.

Sponsored the Mystic River Herring Run & Paddle to support the Mystic River Watershed Association.

Supported Pan-Mass Challenge through Joel Lewin (Hinckley Allen, LLP) and Tom Descoteaux (R. H. White Construction Co., Inc.).

Supported the “Rodman Ride for Kids” through Rodman Ford Sales, Inc. Supported the Alzheimer’s Association through the Richard Pacella Family.

Supported the “Tour de South Shore” through the McCourt Foundation.

Supported the Massachusetts Hospital School through K & K Excavation Co., Inc. Supported the Disabled American Veterans (DAV) through Dan Mahoney (MBO Precast, Inc.).

Supported many other charities throughout the year. n

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State’s New Department of Family and Medical Leave Debuts

s has been addressed in Construction Outlook previously, the implementation of the Paid Family and Medical Leave law passed during the formal sessions of the 20172018 legislative session is incumbent upon the new Department of Family and Medical Leave (DFML), under the Massachusetts Executive Office of Labor and Workforce Development, implementing the same. As may be recalled, the FML program provides temporary income replacement to eligible workers who are welcoming a new child into their family, are struck by a serious illness or injury, need to take care of an ill or ailing relative, and for certain military considerations.

Recently, the nascent agency has unveiled a website, https://www.mass.gov/orgs/department-of-family-and-medical-leave, and two Frequently Asked Questions (FAQs) for employers and employees, respectively. The employer FAQ may be found at: https://www.mass.gov/ info-details/paid-family-medical-leave-for-em-

ployers-faq and the employee FAQ at: https:// www.mass.gov/info-details/paid-family-medicalleave-for-employees-faq.

While it appears that the agency is still in the early stages of working towards the implementation of the regulations, the FAQs covers issues for both employers (i.e., what will be the rate; what companies are exempted; when will regulations be released, etc.) and employees (i.e., what are the benefits; when may benefits be received; etc.). To that end, key dates to remember are: March 31, 2019, the date for promulgation of the regulations and July 1, 2019, which is the date when deductions towards the fund begin. As stated in the law, the receipt of benefits is slated to occur January 1, 2021 for eligible employees.

According to the DFML, they will regularly post draft regulations and additional information between now and March 31, 2019. Stay tuned for updates as they become available. continued on page 21

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Legislative Update continued from page 19

A

City of Peabody Takes Significant Action to Address Water Infrastructure Needs

ccording to the Daily Item, the Peabody City Council has approved a $100 increase in water rates to help pay for $36 million in infrastructure improvements. Acknowledging the City has ignored its water and sewer infrastructure for too long, Mayor Edward A. Bettencourt Jr. proposed the Peabody Clean & Sustainable Water Infrastructure project at the end of November.

The four-phase plan, to be completed by 2020, will overhaul the City’s water and sewer lines to its nearly 19,000 households, much of it to be paid for by ratepayers. A council vote raised the average water and sewer bill to $908, up from $790, a nearly 15% hike.

Last summer, the Peabody Mayor and the Peabody City Council reached a compromise on a water and sewer rate hike and raised rates 5%. The summer increase raised the average homeowner bill about $38.

The largest expenditure to be funded through the newly increased rates is $20 million to refurbish the Winona Water Treatment Plant, which provides water to 30 percent of the City. In addition to rebuilding the Winona Plant, the project will replace miles of pipe, and the final phase will be to pave the streets affected

by the project. Both measures will fix low pressure issues many neighborhoods have experienced.

The $2.7 million first phase has been approved by the Peabody City Council. In addition, a 10-year, interest-free loan from MWRA will allow installation of new pipes on Route 1. New water pipes from the Coolidge Water Treatment Plant, which provide the remaining 70% of the City’s water, will traverse the City to connect to Route 1. The City will seek to recover from the 16-month plant closing, that cost the City $2.2 million more than it budgeted for, because it had to buy water from the MWRA for $250,000 per month.

The City of Peabody is among a growing number of Massachusetts communities that recognize the public and environmental health of their City, as well as its economic development potential, is closely aligned with the strength of its water infrastructure system. As found in the Massachusetts Water Infrastructure Financing Commission’s 2012 report, many Massachusetts communities are actually paying less than necessary to maintain, not to mention, improve their existing water infrastructure system. continued on page 23

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Massachusetts: First State in Nation to Adopt Pipeline Safety Management System

A

ccording to a press release from the Governor’s Office, the Northeast Gas Association (NGA) has committed to adopting a Pipeline Safety Management System, the American Petroleum Institute’s (API) Recommended Practice 1173. This marks the first time an entire state has committed to adopting these practices, which was developed in the aftermath of high-profile natural gas incidents like the San Bruno gas disaster in 2010. After the gas explosions in the Merrimack Valley on September 13, the Department of Public Utilities (DPU) requested that all natural gas companies adopt these comprehensive standards and review their safety protocols, including an examination of the feasibility of implementing a safety management system.

The purpose of the Safety Management System is to help pipeline operators create a framework for developing a comprehensive, processoriented approach to safety, emphasizing continual assessment and improvement. Backed by the National Transportation Safety Board (NTSB) and the Pipeline and Hazardous Materials Safety Administration (PHMSA), the Safety Management System is not a singular rule or requirement, but rather a formal business approach to managing safety risks that includes a commitment from management and organizational structures, policies, and procedures. The NGA’s adoption of these standards in the Commonwealth exceed federal requirements for pipeline safety set by the NTSB and PHMSA. This organizational change will promote increased safety by identifying and mitigating safety risks and continuously assessing processes to improve safety performance.

Implementation of the Safety Management System will include safety culture training of all employees and leadership, analysis and management of pipeline safety risks, implementation of better operational controls of the pipeline system and use of contractors, development of a plan for stakeholder engagement regarding safety risks, creation of a process to investigate incidents and near-misses and implement corrective actions, development of effective emergency preparedness and response procedures, development of an oversight system to continually improve the Safety Management System, and improvement of record DECEMBER, 2018

December2018.indd 25

keeping, among other actions.

The Northeast Gas Association is a regional trade association, of which all of Massachusetts’ natural gas companies (Berkshire Gas, Blackstone Gas, Columbia Gas, Eversource Energy, Liberty Utilities, National Grid, and Unitil) are members.

NGA focuses on education and training, technology research and development, operations, planning and increasing public awareness of natural gas in the Northeast United States.

In addition to Safety Management System adoption, the Baker-Polito Administration has filed legislation that will ensure continued public safety by requiring natural gas work in the Commonwealth to be reviewed and approved by a licensed professional engineer.

To view the new standard, please visit: https://www.api.org/~/media/files/publications/ whats%20new/1173_e1%20pa.pdf. continued on page 25

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New Quality Monitoring Program Announced by Administration

T

he Baker-Polito Administration announced in late November that up to $200,000 in funding is available to watershed monitoring groups across the Commonwealth to help them test rivers, lakes, ponds, and coastal resources for bacteria and other contaminants. The new Watershed Group Monitoring Grant program is being offered by the Massachusetts Department of Environmental Protection (MassDEP) to support watershed groups with baseline monitoring program activities and to help those groups build sampling capabilities.

This grant program is part of a $450,000 increase in state funding that will be dedicated to increasing capacity in water quality monitoring and assessment.

According to a press release from the MassDEP, each grant will fund up to $15,000 in monitoring project support, and the resulting enhanced water quality data will help agencies implement program requirements for the federal Clean Water Act. The grant program will be made available to eligible non-profit organizations, including watershed groups, academic institutions, and others with surface water quality monitoring capacity.

Watersheds across the Commonwealth must be assessed every two years. However, many water bodies are not assessed for one or more uses – such as primary

or secondary recreation or aquatic life – in any given assessment cycle, and many small or unnamed streams and ponds have never been monitored or assessed. Also, many water bodies that have been assessed in the past are in need of updated information to determine their current condition. It is anticipated that this grant program will increase the availability of bacteria data that is used to determine the condition of surface waters within the state.

To recognize the value of state partnerships with watershed groups and other external data collectors, the funding balance of $250,000 will be used to build monitoring capacity. This will include improving the process that external data collectors use to develop staterequired quality assurance monitoring project plans, as well as provide technical assistance and training to watershed groups on data management.

To assist watershed groups with their applications for the monitoring grants, MassDEP’s Watershed Planning Program is holding public information sessions in early December.

For more information on MassDEP’s watershed monitoring and assessment programs, please visit: https:// www.mass.gov/guides/watershed-planning-program.

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Pioneer Institute Weighs in on Lack of Flaggers

A

ccording to the Pioneer Institute, an independent, fiscally conservative think tank in Boston, “the unusual way in which Massachusetts determines prevailing wages and the fact that civilian flaggers are subject to state prevailing wage law explain why a 2008 law that ended the Commonwealth’s status as the only state to require police at road construction projects has failed to generate substantial savings.”

According to the report, “Whatever Happened to Flagger Reform,” the Commonwealth’s decision to include flaggers under prevailing wage means that on federally funded road construction projects, the $43.44 per hour flaggers earn ranks 13th in the nation, about 51% above the national average of $28.99.

Massachusetts’ pay rate is 84% above the $23.28 hourly rate of the other five New England states.

A survey of wage and fringe benefit rates paid to flaggers in 10 Massachusetts communities on state and locally funded projects revealed rates very similar to those paid on federal projects. In most cases, flagger rates agreed to by municipalities and police

unions are higher than those earned for normal police work. In addition, officers generally receive time and a half for working nights, weekends, and holidays.

They are paid for four hours if they work four hours or less, and for eight hours if they work between four and eight hours.

Under the federal Davis-Bacon Act, contractors on federally funded projects must pay wages and fringe benefits, but workers already receiving fringes from their employers are only entitled to the wage rate. In Massachusetts, police working flagger details are paid a single flat rate despite the fact that they already receive fringe benefits from their employer.

As a result, the Pioneer Institute report states that savings from the 2008 law have not been significant. After three years, the Massachusetts Department of Transportation said it had saved $23 million.

The reason any money was saved is because civilian flaggers are only paid for hours worked, as opposed to the four- and eight-hour minimums police flaggers enjoy. continued on page 29

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News in Brief • Former State Senator Berry Passes Away. Former State Senator Fred Berry, a Peabody Democrat who spent 30 years on Beacon Hill and served as Senate Majority Leader at the time of his retirement in 2012, passed away at the age of 68. Born in Salem in 1949, Berry graduated from Boston College, earned his master's in education from Antioch College and served as a Peabody City Councilor from 1979 until joining the Senate in 1983. He was first tapped for Senate leadership in 1991 and became Majority Leader in 2003.

• Jobless Rate Below 4% Again. The unemployment rate in Massachusetts dropped slightly to 3.5% last month as the state added 4,440 jobs. October marked the 30th consecutive month the unemployment rate had held below 4%. The educational and health services, construction, information, manufacturing, trade, transportation and utilities, other services and professional, scientific, and business services sectors all added jobs in October. Leisure and hospitality, financial activities, and government recorded job losses.

The October estimates showed roughly 3.7 million Massachusetts residents employed and 134,100 unemployed.

• Commission on the Future of Transportation to Release a Report in Mid-December. As has been seen in the various media outlets, the Governor’s Commission on the Future of Transportation (www. mass.gov/orgs/commission-on-the-futureof-transportation) will be issuing its report in mid-December. The Commission, which was comprised of urban planners, autonomous vehicle groups, and small business groups, has been a wide ranging discussion as to the next steps in developing the state’s transportation infrastructure. Certain outside groups have taken to using the creation of this commission as an opportunity to talk about transportation financing at every turn – something that can be a doubleedged sword. In particular, the group T4MA keeps up its steady “hew and cry” for new DECEMBER, 2018

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transportation funding in the form of congestion pricing, vehicles miles tolled, and other “direct” apportionment mechanisms.

This is an issue (i.e., transportation financing) that we will likely hear about a lot during the 2019-2020 legislative session. To view the T4MA report, please visit: https:// d3n8a8pro7vhmx.cloudfront.net/t4ma/pages/314/attachments/original/1537900718/ white_paper_final_9-21.pdf?1537900718.

• Hughes to Cede Top Party Position. After leading the Massachusetts Republican Party for six years, Quincy City Councilor Kirsten Hughes is stepping down as Chairwoman. Hughes, head of the Republican Party for six years, has overseen the return of a Republican to the Governor’s Office. Potential candidates for the position, which is elected in January, include Representative Geoff Diehl, Representative Peter Durant, and the party’s current Treasurer, Brent Anderson. n

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Statewide Contracts and Public Construction Projects in Massachusetts ​ he Bid Unit of the Massachusetts Office of the Attorney General (the “Bid Unit”) T has released another decision of interest to UCANE members. Although the decision involved a public building project, the decision is not limited to public building projects.

T

he case involved the intersection of various forms of public contracting and competitive bidding statutes in Massachusetts: (1) public building contracts under M.G.L. c. 149; (2) competitive bidding requirements of M.G.L. c.

30, § 39M; (3) materials contracts under M.G.L. c.

30, § 30B; and (4) materials contracts under the Operational Services Division’s (“OSD”) statewide contract process.

In this regard, the OSD manages and oversees the procurement of goods and services on a statewide level. The OSD engages in a solicitation process in order to approve vendors for various categories of materials and supplies. As a result, according to the OSD, municipalities can “leverage the Commonwealth’s buying power, solicitation process, contracting expertise, [and] vendor management and oversight” by purchasing various categories of materials or supplies through an OSDapproved vendor. So, for example, if a local middle school needed to purchase materials to repair a gym roof, the town could potentially contract with a previously approved OSD-vendor to procure the materials to patch the roof. ​This case involved a project to reroof a town DPW building and therefore fell within the ambit of Chapter 149 (as well as the provisions of M.G.L. c.

30, § 39M applicable to public building projects). decEMBER, 2018

December2018.indd 33

However, the town did not bid the entire project as part of a single procurement under Chapter 149.

Instead, the town bid the project as a labor-only project and advised bidders that it would separately procure the roofing materials through an OSD statewide contract.

In this case, the town had been in discussions with an OSD-approved roofing manufacturer in the years leading up to the project. The manufacturer connected the town with a designer for the project, and provided project specifications to the town as well as engineering insights. As a result, the bid documents specified that the manufacturer’s roofing materials must be used on the continued on page 33

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Legal Corner continued from page 31 project and advised bidders that there would be no substitutions. In addition, the bid documents made clear that the successful contractor would need to field-verify dimensions so that the specified materials could be specially manufactured based on actual site conditions.

This procurement structure prompted a bid ​ protest from a prominent Massachusetts roofing contractor. Represented by Hinckley Allen, the protestor challenged the procurement on a host of grounds. Among other things, the protestor argued that: (1) the town could not use an OSD-contract on a large public building project subject to Chapter 149 because the labor was inextricably intertwined with the materials; and (2) the procurement violated the “or equal” requirements of Section 39M. The Bid Unit agreed. Allowing the protest, the Bid Unit concluded as follows: The Town’s procurement of labor for the installation of the [manufacturer’s] product is inconsistent with [the OSD statewide contract], since the labor is inextricably intertwined with the purchase of the [manu-

facturer’s] materials. The procurement of [the manufacturer’s materials] violations G.L. c. 30, § 39M(b), since the roofing materials are construction materials, and not supplies. Finally, the procurement violates G.L. c. 30, § 39M(b)’s requirement of full competition for both materials and labor.

​ he Bid Unit’s decision makes clear T that awarding authorities cannot use the OSD statewide contract system in a way that detracts from the comprehensive statutory bidding requirements applicable to public projects or otherwise deprives bidders of their statutory rights.

In this way, the decision is not expressly limited to public building projects and can apply to public works projects under Section 39M. In light of the decision, awarding authorities may now think twice before soliciting labor only bids on public construction projects. Depending on the facts, a procurement structured in this way could be unlawful. n

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Construction Safety & Compliance: An Interview with Ben Niles Corporate Safety Director Barletta Heavy Division, Inc. UCANE’s Construction Outlook magazine editors recently caught up with Ben Niles, Safety Director at UCANE member firm Barletta Heavy Division of Canton, MA. We were able to get a few minutes of Ben’s time to talk about the importance of Safety in today’s heavy construction industry.

What is your background in Construction Safety?

I have a Bachelor’s of Science in Construction Safety and Health from Keene State College and I have 22 years as a safety professional in heavy highway construction in the New England region.

Tell us about the culture of safety that exists at Barletta.

Barletta is a drug and alcohol free work place that strives to be incident free. We employ highly trained professionals who are always training and retraining on hazards and exposures that we face in our industry. Barletta rewards incident free projects with a safety incentive program. We have a safety committee that consists of safety professionals, the President and Vice President of the company, along with superintendents, project managers, and project engineers. As a group, we discuss the exposures we face every day and how to protect employees, the public, our clients, and the environment. Barletta works very closely with our owners and clients to provide a safe, ontime, and on-budget product.

What are some of the biggest challenges you face as a Safety Director? decEMBER, 2018

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Barletta Companies’ 128 Add-A-Lane project

One of the biggest challenges that I face is “Safety vs. Production.” Heavy highway construction has become extremely fast paced with rapid bridge replacement and weekend rail diversions. Preplanning has become the essential tool for a safe job site. The Barletta team does a great job of working together to perform work safely, efficiently, and on time.

What advice do you have for new safety directors, specifically pertaining to the current construction climate/ current job site risks?

My advice to new safety directors is to get out in the field. Go out onto your continued on page 36

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DECEMBER, 2018

12/13/18 11:18 AM

UCANE’s 8th Annual Appreciation Night Trade Show Will be held on Wednesday March 27 prior to our Forecast Dinner Meeting

If you are not currently advertising in Construction Outlook, we hope you will consider placing an ad. Our monthly magazine showcases your products and services to contractors who use them. Our Trade Show is a great opportunity to meet with UCANE members and guests face-to-face.

Trade Show booths offered at NO COST to Construction Outlook Magazine Advertisers.

For more information and advertising rates call Suzanne at the UCANE office.

DECEMBER, 2018

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UCANE Members Assist with Restoration Efforts in the Merrimack Valley For Columbia Gas and its local contractor partners, replacing aging cast iron gas mains with new PVC mains throughout Massachusetts has been an ongoing process for more than four years. The efforts of Columbia (and other Massachusetts Gas Companies) is part of an extensive multi-year statewide plan, approved and monitored by state agencies, to eliminate all older cast iron and steel mains (and steel services) and replace them with new PVC pipelines. Columbia alone has been dedicating over $50 million in resources annually to upgrade and replace about 50 miles of distribution mains and 2,500 services per year, since the program began in 2015.

The replacement efforts have been very successful statewide and 2018 was proceeding the

same way for Columbia and its contractors. By September, the company was on schedule for its 2018 goal of 58 miles of new mains and 4,700 upgraded services. However, on September 13, 2018, construction crews working in the city of Lawrence (pop. 80,000) had just finished replacing a segment of low pressure main in the Salem Street area. After successfully pressure testing the new main, the process of filling the new PVC piping with natural gas was underway when something went terribly wrong. Over pressurization occurred, pushing higher than designed gas pressures through not only the new PVC line, but through an extensive network of low pressure mains servicing neighborhoods and businesses in Lawrence, North Andover, and Andover.

At peak, over 200 excavating crews could be seen in Lawrence, Andover, and North Andover

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DECEMBER, 2018

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Feeney Brothers Utility Services crew working on Second Ave., North Andover (L-R): Safety Officer Shane Mattogno and QC Supervisor Bob Procopio

R. H. White crew installing 6-inch main at Elm Street, Andover (L-R): Al Dwinell, Sean Thorpe, Travis Gardner, and Justin Wood.

T

he results of the over pressurization were sudden and severe as gas pushed past low-pressure regulators and entered many homes and businesses in the area. Tragically, there was one fatality. Throughout Thursday afternoon, Thursday night, and Friday morning, the Fire Departments of Lawrence, North Andover, and Andover, with support from as many as 10 other departments in the region, battled over 70 house fires of varying degrees, from total losses (six by explosion), to minor scorching of exterior siding near the gas meters. Columbia Gas Co. issued an immediate “all hands on deck” call to all of its Massachusetts employees and within hours of the incident more than 200 employees and subcontractor personnel were on site.

By Thursday evening, Governor Baker had declared a State of Emergency for the area and the Mayor of Lawrence ordered residents who smelled gas inside or outside of their home to evacuate. As another safety precaution, all electricity to the area was shut down late Thursday night putting over 10,000 homes and businesses – and all area streets and intersections – into total darkness.

Throughout Thursday night and into the daylight of Friday morning, local and state safety officials worked with Columbia Gas personnel to determine the limits of the impacted area and tried to assess the situation. Main line valves were closed as needed to isolate the system, traffic controls were implemented, and the labor intensive process of shutting off thousands of residential and commercial gas meters and entering homes and businesses to test for and clear any possible residual gas from within the structures had begun.

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Badger Daylighting Management team at their Command Center (L-R): Joe MacEachern, Rob Koumbis, Adam Crandel, and Scott Robertson By mid-day Friday, the fires were out and the magnitude of this event was starting to come into focus. The impacted area contained more than 8,000 structures, home to about 7,500 families and 685 businesses of all sizes. Columbia employees, contractors, policemen, firemen, locksmiths, interpreters, and all available hands worked around the clock on Saturday, Sunday, and Monday to get structures safe for occupancy. Within 72 hours of the incident, the scope of the restoration effort was coming into focus and clearly many of these homes and businesses were not going to have gas service restored for quite some time. continued on page 41

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DECEMBER, 2018

12/13/18 11:18 AM

UCANE Members continued from page 39 The over pressurization had potentially compromised the integrity of nearly 50 miles of old low pressure cast iron mains and old steel pipes servicing thousands of buildings along the route. Private interior gas piping in all structures would need to be checked. All gas furnaces, hot water heaters, stoves, and other gas appliances would need to be inspected for damage and repaired or replaced. A monumental task, and making matters worse, was the fact that it was mid-September and New England cold nights and winter was just around the corner.

As additional information came in from the field, managers worked 24/7 recruiting management teams, gas industry experts, engineers, schedulers, and construction crews and equipment from across the country. In response to an event of unprecedented magnitude, Columbia Gas was about to embark on a restoration effort the size, complexity, and urgency of which has never been seen in the gas industry.

The Management Team On the recommendation of Governor Baker, Columbia reached out to Joseph Albanese to serve as Chief Recovery Officer, whose job would be to manage all operations during the massive recovery effort.

Chief Recovery Officer Joe Albanese (C) with Commodore Managers Chris Holland (L) and Mike Roche (R) Albanese is CEO of Waltham based Commodore Builders, a construction/CM firm he founded in 2009 doing extensive business throughout the Northeast.

Joe also brought with him 28 years of experience in the U.S. Navy’s Civil Engineers Corps and a record of success on complex construction projects around the world. A past president of Massachusetts Associated General Contractors (AGC), active on the Boards of many area non-profits, and advisor to the UMass continued on page 43

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DECEMBER, 2018

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UCANE Members continued from page 41 Civil Engineering Department, Joe was well known and highly respected in the construction industry. He would provide the unbiased leadership, the experience, and the transparency that Columbia needed.

Albanese quickly organized a team of professionals to supplement the project managers provided by Columbia and their parent company, NiSource. Managers from multiple local engineering firms were recruited and soon nearly 100 managers and over 200 field supervisors and inspectors were on their way to the Merrimack Valley. Rhode Island based Gilbane Recovery Services, with experience from Hurricane Sandy recovery efforts, was brought on board. They would concentrate on the logistics of temporary heat and/or housing for thousands of residents, as well as assessment and interior restoration for the 7,500 residential units and 685 businesses now without gas.

Command Center & Communications A Command Center was established that included over a dozen temporary office trailers and modular buildings, all requiring power, water, and necessary sitework. Offices were set up for Massachusetts officials including the Dept. of Public Utilities, Dept. of Environmental Protection, and others who would

be involved in and monitoring the recovery effort.

Multiple staging areas were secured from public and private parties across the area, as hundreds of construction crews from all over the country mobilized to the area with their trucks and heavy equipment.

Recognizing early that communication and coordination with the public as well as with all the members of the recovery team was key to success, Columbia retained McKinsey & Company Northeast, experts in analytics, information management, and computer technology. The project area was divided into eight zones throughout the three affected towns.

Managers were assigned specific recovery functions in specific zones. All field supervisors and foremen were given smart phones with a special phone application developed specifically for this project that would allow remote and continuous reporting of all daily work completed, manhours, equipment, etc. All data was sent back to the Command Center for compilation and recordkeeping.

Crews and equipment were provided with GPS transmitters and all activity could be visualized on large screens in the Command Center. Clicking on any of the 200 plus sites being worked on in any given day would bring up the exact location, supervisor’s name, and cell number. Information and progcontinued on page 45

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DECEMBER, 2018

12/13/18 11:18 AM

UCANE Members continue from page 43 ress would be provided by both a daily media briefing and by online maps providing residents daily progress updates and 72-hour and two-week look ahead schedules by work activity, street location, and block to block.

A Call Center was established and staffed around the clock. Emergency contact numbers for reaching Columbia were posted everywhere in the communities. This allowed Columbia to prioritize need and to respond accordingly. Three mobile trailer units were also fitted out to serve as walk-in information centers for residents. Over 100,000 calls were received and managed in the first 30 days.

Within 10 days of this unprecedented event, Columbia had secured a management team of over 250 professionals, had 1,500 construction workers active on-site, established a Command Center with a custom communications system, and announced to the public, and to its impacted customers, an extensive three-step restoration process with an ambitious schedule.

several UCANE members, were mobilized within days and more crews were soon added from as many as 10 different states. At peak as many as 200 crews were excavating at the same time requiring foremen and gas inspectors with every crew, along with extensive traffic controls including as many as 300 police details (from all over New England) on a given day. Trenches were backfilled and paved daily utilizing 25 separate Hot Box crews. Work proceeded seven days a week and 10-12 hour workdays were common. On certain major streets work was performed at night. Street by street, the gas mains and services were installed, tested, and put back continued on page 47

The Challenging Restoration Plan 1. Secure Temporary Accommodations Residents whose homes had been damaged, elderly residents, and residents with medical needs were prioritized, and many others would need temporary housing while they waited for gas to be reestablished. Columbia secured 4,600 hotel rooms, 166 apartments, and set up three separate sites for RVs and mobile homes with a total of 409 trailer units.

One of 30 Badger Daylighting vacuum excavators Additional accommodations were secured for nearly assisting with service connections in Lawrence 1,500 project workers who came from out of state to work on the project including a cruise ship tied up in Boston Harbor. Most homeowners preferred staying in their homes during the recovery effort and Columbia assisted thousands of residents and businesses where possible by providing temporary heaters, generators, hot plates, and various other temporary appliances.

2. Replace/Restore the Gas Distribution System The plan called for replacement of 45 miles of old cast iron mains, retesting of another 14 miles of existing PVC mains, and 6,000 new service lines. Most of the work was on urban streets and all of the work involved paved roadways. Local crews and equipR. H. White crew installing services on Commonwealth Ave. ment from companies, including in North Andover

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DECEMBER, 2018

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UCANE Members continued from page 45 into service up to the building meter.

Amazingly all piping was in the ground and operational within seven weeks of the incident. A remarkable feat by any measure.

3. Homes and Businesses-Interior Inspections and Restoration This turned out to be a very labor-intensive piece of work requiring more than 100 teams of specialty licensed tradesmen, gasfitters, plumbers, electricians, building and gas inspectors, and appliance technicians. Multiple coordinated entries would be required at 7,500 residential dwelling units and 685 businesses. Interpreters for 12 different languages would be necessary at many locations. Each unit would require an initial inspection and testing of interior gas piping, an inventory and assessment of potential damage to existing furnaces, hot water heaters, stoves, and other gas appliances. In many cases, code violations were discovered and would need to be corrected as part of the restoration. After the scope was determined at each home or business, the owner would be visited again with an explanation of the work needed to be completed and to provide owners with options on any appliances needing replacement, and get approval to proceed with the work. Appliances were then ordered

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Feeney Brothers crew installing services and main-line in North Andover and shipped to Columbia. The project quickly created local and regional shortages for furnaces and other gas operated appliances.

Once the units were delivered, additional coordinated entries would be needed to deliver the appliances, replace any piping, correct code violations, and install, test, and inspect the new piping and equipment.

As many as three or four visits to each building interior might be needed to accomplish the restoration before the building was designated “ready for gas.” continued on page 48

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UCANE Members continued from page 47 This portion of the recovery effort required nearly 30,000 coordinated entries by a specialized force of over 800 technicians and tradesmen along with 200 supervisors. Assessments began simultaneously with the pipeline installation and as appliances arrived the installs commenced.

4. Ready for Relight Once the home or apartment buildRiley Brothers, Inc. provided Hot Box trucks for backfilling ing or business had gas in the street, and the trenches the interior was designated as “ready for gas,” it was ready for the final step. on-site at peak) and for the rapid reAnother visit to the dwelling would need to be coordinated with the owner. Utility representatives and placement of the 45 miles of gas main. other technicians opened the gas meter (Columbia This never would have been achieved purchased and installed more than 5,000 new gas without the assistance of many UCANE meters), lit all pilots on gas furnaces and other apmembers, who again answered the call pliances, provided manuals and warrantees on new equipment, and gave the owner some basic training when needed. on any new appliance.

A list of companies and the scope of Gradually dwellings were put back into service, services they provided can be found on some beginning as early as two weeks after the Sepon the following page. n tember 14 incident.

Summary The tragic accident that occurred on September 14, 2018 was truly unprecedented. Never before in the history of our country had so many miles of pipeline, or so many customers and dwellings been impacted by a single event.

Some customers were obviously impacted more than others, and final resolution for those who were injured or lost homes will take additional time. Gas regulators and experts from both national and state levels will be studying this incident, learning from it, and developing new safeguards to prevent anything like this from ever happening again.

Considering that this was a one of a kind event, with no prior pro formas or templates to follow for the restoration, Columbia Gas and their parent company NiSource should be recognized for their ability to organize such a large team of professionals (3,500 personnel 48

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DECEMBER, 2018

12/13/18 11:18 AM

UCANE Members Assisting in the Merrimack Valley Restoration Efforts ATS Equipment, Inc. – Boston, MA Provided various pieces of rental construction equipment to three excavation contractors and delivered multiple power tools and accessories to local and out of state contractors Airspade/GuardAir – Chicopee, MA Provided specialty non-sparking air tools to assist six contractors with locating existing piping during excavation for new mains and services Albanese Brothers, Inc. – Dracut, MA Immediately provided light towers for the City of Lawrence to use for night work until the restoration was completed Badger Daylighting – Shrewsbury, MA Set up Command Center trailer with GIS system to track 30 vacuum excavator trucks and crews working in all three towns; Full-time management staff and safety officers for duration of underground work Benevento Companies – Wilmington, MA Furnished hot mix asphalt for the patching of nearly 45 miles of main line pipe; Included maintining plant operations 24/7, handled surplus excavated materials, and provided trench gravel Environmental Partners Group, Inc. – Quincy, MA Provided engineering services and field technicians to assist Columbia and all three towns with GIS mapping of new gas lines and inspection services to insure protection of existing infrastructure Feeney Brothers Utility Services – Dorchester, MA Provided 10 excavating crews installing mains and services, full-time project supervisors and safety officers G. Greene Construction Co., Inc. – Allston, MA Project managers and field personell to assist with interior building restoration HD Supply Const. & Industrial AH Harris/White Cap – Plainville, MA Provided safety equiptment, construction tools, and products to eight different contractors Liddell Brothers, Inc. – Halifax, MA Provided specialty signage and traffic contros for over 100 crews; Provided barrels, cones, message boards and arrow boards MacKay Construction Services, Inc. – Wilmington, MA Provided lowbed services and sawcutting equipment to multiple contractors; 24-hour heavy equipment repairs and DECEMBER, 2018

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site services; steel plate rentals; hot box crews Riley Brothers, Inc. – Stoughton, MA Provided five main-line construction crews & two hot box crews on-call 24/7 Schmidt Equipment, Inc. – Oxford, MA Provided multiple pieces of rental equipment to several out of state contractors including excavators, skid steer loaders, milling and paving equipment, 24-hour on-site service and repairs for 50 crews.

Triumph Modular – Littleton, MA Furnished and installed eight mobile office trailers and four modular units at Command Center, which took three days around the clock operation for set-up Sunbelt Rentals – Shrewsbury, MA Provided assessment crews and techs 24/7 for duration; Furnished, installed, maintained, and reset 125 portable generators to power homes and businesses; Provided mini-excavators; Provided 60 light towers and fork-lifts Taylor Oil Company – Holbrook, MA Provided on-site fuel delivery services 24/7 to over 200 pieces of construction equipment and trucks for four contractors performing excavation work United Rentals Trench Safety – Hookset, NH & Shrewsbury, MA Provided more than 1,000 steel plates, trench boxes, shoring equipment, and safety supplies for multiple contractors; Provided dump truck rentals, compact excavators, light towers, and 16 Message Boards Weston and Sampson Engineers, Inc. – Peabody, MA Provided project managers and field personell to assist with interior restoration concentrating on getting businesses up and running R. H. White Construction Co., Inc. – Auburn, MA Provided 20 main-line construction crews and a myriad of support services including environmental controls, daily water/ice/trash removal for 200 crews, hot box crews. Had 220 employees dedicated at peak C. N. Wood Company, Inc. – Woburn, MA Provided personnel on site with Vactor Hydro excavating trucks that are being used to expose utilities without mechanical digging; Provided personnel on-site with Rapidview camera trucks that are predominantly being used to inspect laterals

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DECEMBER, 2018

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T RT AN PO IM

Mass. Public Works Directors and Municipal Officials: Changes Made to Snow and Ice Control Methods

In

recent years, there have been some changes the methods and to the products being utilized for snow and ice control on public ways in the Commonwealth. As the agency responsible for ensuring safe vehicle passage on the largest network of roadways, MassDOT, in particular, is always in the forefront when it comes to new de-icing products, methods, and technologies. Likewise, many municipalities follow the lead of MassDOT when selecting methods and products to perform their own snow and ice control operations.

In particular there has been an increase in “anti-Icing,” “pre-treatment,” and “pre-Wetting.” These operations utilize liquid brine solutions comprised of water mixed with varying percentages of liquid magnesium, calcium, and sodium chlorides. These liquid blends are applied directly to the paved surface both ahead of snowfall and also during and after snow plowing operations. These liquid brines provide great results in fighting snow and ice accumulation and in keeping highways safer. But these chemicals, especially MgCl2 and CaCl2 can have deleterious effects on concrete sidewalks.

In the last several years, there has been a dramatic increase in the spalling of newly installed (less than two years old) concrete sidewalks. The typical scenario is that the sidewalks were poured in the fall and in the following spring the sidewalk spalling is observed.

The damage is observed about 18-inches back of curb (where the sidewalk abuts the curb). The damage is observed at driveway aprons. In areas where there is a grass strip between the curb and the sidewalk, there is usually no spalling on the sidewalk. Obviously, the spalling of brand new sidewalks is something no contractor, owner, or concrete supplier wants to have happen.

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The vast majority of spalling occurs due to the roadway deicing products splashing over from the street onto the aprons and walks. This is not a theory, but well known by both the manufacturers of the chloride products and by the MassDOT and proven through many industry studies across the country.

According to MassDOT’s “Final Snow and Ice Report 2017,” extra protection (sealers and coatings) are recommended for new walks adjacent to streets where corrosive chloride brines are used. A large and well-respected supplier of snow and ice control products also recommends to their customers (who buy and apply these chlorides) to avoid application on concrete sidewalks less than 2 years old – unless a protective coating has been applied. Avoiding the use of chemical de-icers as much as possible around new concrete sidewalks, and/or the use of penetrating sealers should be considered BMPs (Best Management Practices) in this new era of liquid deicers.

These BMPs may not prevent every spalling problem, but based on all available information, these BMPs will result in significantly fewer headaches come springtime for everyone involved with sidewalk construction. Please feel free to contact the UCANE office with any questions you may have on this issue. On behalf of the many contractors and concrete companies in our Association that perform and supply materials for all of your public works projects, thank you for your consideration. n

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Dam Removal, Culvert Upgrades, and Climate Adaptation Dramatic coastal storms. Frequent floods. Intense rain. According to the recently-released Fourth National Climate Assessment, New England is already experiencing these impacts of climate change. And as rivers and coastal communities flood more frequently, our infrastructure bears the brunt – particularly roads, bridges, and aging dams.

N

ow, to help communities adapt to climate change, the Massachusetts Department of Fish and Game’s Division of Ecological Restoration is bringing together municipalities, agencies, and non-profit organizations to remove aging dams and upgrade road-stream crossing infrastructure for the benefit of people and the environment.

The construction industry plays a key role in these projects.

“Massachusetts has more than 3000 dams,” says Beth Lambert, Director of the Division. “Most were built to power mills during the industrial revolution and have outlived their original purpose.” Many dams are in disrepair. Some threaten to breach catastrophically during floods. Dams are often seen as liabilities by their owners, who must pay for regular inspections and repairs.

Road-stream crossings are even more of a problem, with more than 40,000 crossings, or culverts, estimated in the state. Most culverts are undersized, leading to road flooding or washouts during storms.

Municipal road managers recognize the problem, but lack the resources to design and construct larger, storm-smart crossings.

Removing unwanted dams and upgrading undersized culverts brings safety, environmental, and economic benefits, says Lambert.

“With increasing storms, it’s imperative that people be able to get to work, to school, and to access emergency services – all of which are threatened by undersized culverts and aging dams. Also, removing dams and upgrading culverts restores water quality, fish passage, and habitat for fish and wildlife,” she says.

Dam removals and culvert upgrades translate into sizeable economic benefits for the engineering and construction industries. A study conducted by the Division showed that every $1 million spent on these types of projects creates or maintains 12.5 full-time jobs. Removing a dam or upgrading a fail-

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Construction crews install a sewer line as part of a dam removal, bridge upgrade, and utility improvement project in Plymouth. Photo credit: MA Division of Ecological Restoration. ing culvert also saves communities money over the long term compared with maintaining or repairing the structures over the same time period.

Since 2009, the Division has been working with towns, non-profits, and funding agencies to guide dam removal and culvert upgrade projects through design, permitting, and construction. DER is a nonregulatory agency that uses a partnership-based apcontinued on page 54

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Dam Removal continued from page 53 proach in its work. DER has a high return on investment: on average, every state dollar that DER invests in restoration work brings in eight additional dollars in federal and outside grant funds. DER and partners have removed over 50 aging dams and started a new program to help municipalities through the culvert upgrade process.

Demand for these projects is growing exponentially, says Lambert. For example, 67 towns applied for grant funding through DER’s Municipal Culvert Upgrade Incentive Grant Program, with requests totaling $5.7 million. DER was able to provide 13 grants totalling $750,000 – only a fraction of the total need.

Lambert points to the $6.7 million Holmes Dam Removal and Newfield Street Bridge and utility upgrade underway on Town Brook in Plymouth as an example of a project that meets climate adaptation, economic, and environmental goals. The town-owned dam was in disrepair and threatened downstream

Dam Removal of Upper Roberts Meadow Dam in Northampton, MA

residents and a road that served as an important travel corridor. The dam also blocked the migration of river herring from the ocean to spawning habitat in Billington Sea. Removing the dam improves public safety and restores passage for river herring and other fish. The Town is also taking the opportunity to construct the bridge for all vehicle types and to upgrade or replace water and sewer lines. The project will be completed in time to celebrate the 400th Anniversary of the arrival of the pilgrims – who relied on the river herring in Town Brook to survive.

“Projects like these are common sense,” says Lambert. “They benefit the environment; improve public safety; and create jobs in the construction industry, and science tells us that the demand will only continue to grow.”

Written by Beth Lambert, Director, Division of Ecological Restoration, MA Department of Fish and Game. n

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Falmouth OKs $7.6M to Replace Water Mains FALMOUTH — The fall town meeting opened with reports from committees to update several major projects that are now underway.

The new senior center should be opening its doors a year from now, and the all-purpose turf field at the high school is now going out to bid and is expected to be ready for players in August, with an accompanying concession stand.

A

s one of its first actions, town meeting approved $7.6 million to replace three miles of old and deteriorated water main, running from downtown Falmouth to Falmouth Heights and along Route 28 to Oxbow Road. Officials said the new 16inch iron main should improve water quality, reliability and provide better fire protection. To cover the cost, town meeting approved dipping into the town’s free cash for $4.5 million of the total and taking a loan for the remaining $3.1 million.

Town meeting member Ray Rowitz urged that the town consider installing underground utilities while the road is open, saying it would dispense with the wires zigzagging downtown up through a commercial area on Route 28 and poles being buried in the middle of sidewalks. No action was taken on Rowitz’s suggestion since it was not part of the warrant article for the water main.

As of the Times deadline, town meeting had acted on 13 of 32 articles, with 10 of those approved under a blanket vote.

At deadline, town meeting members were just starting to consider several capital projects to be paid for with funds drawn from the town’s $15.6 million pot of certified free cash, the $5.8 million Capital Stabilization Fund and, in a few cases, loans.

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Among articles passed by a blanket vote were: Minimum setback of 3 feet from lot line for sheds 100 square feet or less.

• A boost in pay for some seasonal positions.

• A boost in annual payment for surviving spouses of disabled public employees from $6,000 to $12,000.

• New provisions for hiring part-time inspectors.

• Extending demolition delay for historic buildings from six to 12 months.

• Payment of $2,000 in bills from last year.

After deadline, a Planning Board proposal to require an as-built plan for solar canopies that must be continued on page 56 •

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Cape Cod continued from page 55 approved by the board or its designee prompted a string of comments from both opponents and supporters, and it ultimately failed to get the necessary two-thirds majority vote.

“This is just another hurdle to stop people who are trying to help the environment,” said town meeting member Joseph Netto before voting.

Energy Committee member Rosemary Dreger Carey read from a statement, saying: “Parking lot canopies provide outstanding opportunities for businesses to generate clean renewable energy, cut energy bills, and stabilize long-term energy costs. The canopies can direct stormwater and protect customers from rain, snow and extreme summer heat.”

Planning Board member Robert Leary stressed his panel wasn’t against solar energy. “We’re just trying to have some reasonable regulations,” he said.

The Planning Board’s proposal to add a large-scale ground-mounted solar array overlay district along the Blacksmith Shop Road corridor near the power line easement also prompted a long discussion, but ultimately won the necessary two-thirds majority approval.

Town meeting members questioned the large size requirement for the lots and the 100-foot setback from the road.

“The reason we picked this corridor was because it was already disturbed,” said Town Planner Thomas Bott. The minimum lot size is seven acres in the bylaw because the smallest parcel in the district is seven acres, he said.

The Planning Board made the setback 100 feet from the road to screen that area, but also because the power lines in many areas wouldn’t allow the arrays to be positioned any closer.

During financial discussions, town meeting members spent considerable time talking about smaller amounts on a long list of capital expenses, while approving larger ones with little or no comment.

On a $9 million list of expenditures, town meeting members focused on a $100,000 request to fix up the first floor of the former Falmouth poor house, known as the Edward Marks building, so that it could be used by the Human Services Department. Renovating only the first floor of the building would likely preclude getting the rest of it restored, said town meeting member Susan Shephard.

An extensive study of the Marks building had been done previously, and it concluded that only the first floor would be usable, said Town Manager Julian Suso. A lot of structural work had been done several continued on page 57

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Cape Cod continued from page 56 years ago to make the building safe, Suso said. The use by the Human Services Department returned to the “service roots of the original poorhouse,” he said.

The expense was approved.

Other projects approved under the $9 million request included the purchase of a new ladder truck, the purchase of two ambulances and protective gear for firefighters, several vehicles for the Department of Public Works, police cruisers, a generator for the Gus Canty Community Center, and just under $1 million in school repairs and equipment.

A transfer of $1.39 million from the certified free cash account was approved to cover a second list of expenditures, including $250,000 for athletic field renovations, $500,000 for engineering costs related to coastal erosion and rivers and pond maintenance, $60,000 for bikeway maintenance and a $10,000 fingerprinting machine.

The $35,000 feasibility study to look at locations for a new fire station that could serve west and north Falmouth passed with only one comment from a town meeting member who suggested the Hatchville area should be looked at as well.

Written by Christine Legere. Reprinted from the Kendall Lubricants Announcement 7.5 x 5 6-18.qxp_Dennis K. Burke 6/21/18 Cape Cod Times. n

JCB has been pioneering the telehandler concept since 1977 and remained the world’s leading brand since. The JCB telehandler range has come to epitomize the very highest levels of performance and productivity. The JCB telescopic handler lineup is one of the most extensive offered, with competitive run costs, world-class build quality, enviable versatility and top residual values.

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3:19 PM Page 1

Burke Becomes Northeast Distributor for Phillips 66/Kendall Dennis K. Burke is proud to announce that we are now the Phillips 66/Kendall Lubricants distributor for the Northeast. Kendall has been on the forefront of advances in lubricant product technology since the early 1900s and we are excited to be able to offer their premium, cutting-edge products to our customers.

For more information about Phillips 66/Kendall Lubricants product offerings, please visit https://www.kendallmotoroil.com/ or feel free to reach out to your Dennis K. Burke rep for more information.

Premium Diesel Fuel, Motor Oil and Gasoline P.O. BOX 711 • TAUNTON, MA 02780 • 1-800-289-2875 • WWW.BURKEOIL.COM

decEMBER, 2018

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Sponsored by Woodco Machinery, Inc. The spirit of Christmas was all-aglow at UCANE’s 45th Annual Christmas Party and Scholarship Auction at the Lantana in Randolph, MA. The ugly sweater contest was back for the third year and more guests participated than ever before. The contest was topped only by the generosity of the more than 175 attendees who bid on the dozens of items that were on display.

UCANE’s Executive Director Anne Klayman officially kicked off the auction with opening remarks thanking everyone for “supporting this event that helps fund our twelve $2,000 college scholarships, which are awarded to deserving students who are the children of our members and their employees.”

Assistant Executive Director Jeff Mahoney then announced the results of the voting for UCANE’s 2019 Officers and Board of Directors. Next, Anne introduced professional auctioneer Gary Seybold, who had flown in from Florida for the third year just to participate in our event. Gary is a true professional, and his southern drawl, rapid-fire announcing, and affable nature made for an entertaining auction. It also required bidders to stay on their toes so they did not lose out on an item they wanted. Anne then thanked UCANE member Ritchie Brothers Auctioneers for having Gary act as our auctioneer once again.

Members and their guests were quick to get in the Christmas spirit! Soon after the dinner buffet was open and all were seated, Anne began calling the names of winners for the over 50 raffle prizes. This warmed our guests up for the featured items of the evening.

As is customary, there was something for everyone at UCANE’s Auction. For the sports enthusiasts there was the priceless Red Sox Luxury Suite for 22 people once again donated by McCourt Construction Co.; Bruins, Red Sox, Celtics, and Patriots tickets; and authentic autographed Alex Rodrigues and Joe Montana jerseys, and autographed memorabilia from Gronk, Patrice Bergeron, and Kyrie Irving.

In addition to construction items donated by UCANE members such as gravel and stone, and

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equipment rentals, there were overnight stays at The Biltmore Hotel in Providence, RI, Mohegan Sun, and an opportunity of a lifetime to spend three nights at Kilkea Castle in Ireland donated by Jay Cashman, Inc. Our other auction items ranged from fishing trips to home décor items, including furniture and beautiful Chapman lamps, a 6-foot metal and wrought iron outdoor sleigh, and an air hockey table. We were also lucky enough to get a highly coveted and classic AMI Rowe jukebox filled with 100 CDs. There were many other amazing items donated by our generous members and friends, or purchased using cash donations, all of which made this year’s auction a truly memorable and highly successful event.

With the help of our auctioneer, buyer’s vigorously tried to outbid each other for coveted items, driving the prices higher and higher, which provided great fun and entertainment as well as support for our Scholarship Fund. (For a complete list of donors, sponsors, and purchasers, please turn to pages 60.)

The night ended with Anne awarding prizes to our Ugly Sweater Contest winners, and our lucky raffle winner of a spectacular one carat ladies diamond cocktail ring. For those members who were unable to attend our auction, we are certain that you would have had a wonderful time. Not only was it an event to support our Scholarship and General Fund, it was a night filled with fun, friends, competition, and laughs. It was an ideal way to kick off the holiday season, and UCANE would like to again thank all of our tremendous donors, bidders, and attendees! n

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A world of thanks to the following UCANE members and friends who donated cash or provided items or services for our auction... and to those who purchased auction items.

ATS Equipment, Inc. C&S Insurance Agency, Inc. Abby Park Restaurant P. Caliacco Corp.

Aggregate Industries - N. E. Region Jay Cashman, Inc. AirSpade Celco Construction Corp.

Albanese Bros., Inc. Channel 7 Amelia’s Restaraunt - Stoughton Cliffords Flowers American Shoring Inc. Core & Main Cullen, Murphy & Co., P.C. A. F. Amorello & Sons, Inc. Aqua Line Utility, Inc. Dagle Electrical Const. Corp.

Badger Daylighting Dale Carnegie Institute Barletta Heavy Division D’Allessandro Corp.

Bella Sandra Skin Spa (Maria Scenna) J. D’Amico, Inc. A. R. Belli, Inc. Davio’s (Foxborough) Benevento Companies Del Frisco’s Grille Biszko Contracting Corp.

EJ East Bay Grille (Plymouth) Blue Hill Country Club Blue Man Group Eastern Insurance Group, LLP The Boston Beer Company Eastern States Ins. Agency, Inc. Boston Duck Tours Eastpoint Lasers, LLC Boston Food Tours Equipment Corporation of America Boston Harbor Cruises Exhale Spa (Battery Wharf Hotel) Boston Symphony Orchestra Fanchest Boston Winery FED. CORP. Brookmeadow Country Club Feeney Bros. Excavation, LLC Dennis K. Burke, Inc. Ferguson Waterworks The Fours Restaurant C. C. Construction, Inc. Four Points by Sheraton Hotel C.J.P. & Sons Const. Co., Inc.

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W. L. French Excavating Corp.

GVC Construction Inc. Gagliarducci Construction, Inc. Garrity Asphalt Reclaiming, Inc. Pelino Gioioso Gorilla Hydraulic Breakers Granite Links Golf Club L. Guerini Group Inc. HD Supply Const. & Industrial AH Harris/White Cap I.W. Harding Const. Co., Inc. Hilb New England Hinckley Allen LLP HUB Int’l New England, LLC Iaria Bros., Inc. KJS, Inc. The Lafayette House (Foxboro, MA) P. A. Landers, Inc. LaScala Restaurant (Randolph) Lawrence-Lynch Corp.

LaserLight Skin Care Clinic Lifetime - Westwood, MA Lorusso Corporation S. M. Lorusso & Sons, Inc. MJ-Hammer Maggiano’s Restaurant Marois Bros., Inc.

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Massachusetts Ready Mix LLC McCourt Construction Company McWane Ductile Milton CAT Minuteman Trucks, Inc. Mohegan Sun Casino NSI Contracting LLC North American Crane & Rigging Not Your Average Joe’s Ocean State Oil Robert B. Our Co., Inc. R. M. Pacella, Inc. Pawtucket Hot Mix Asphalt E. H. Perkins Const. Co., Inc. Podgurski Corp.

J. A. Polito & Sons Co., Inc. E. J. Prescott, Inc. H. R. Prescott & Sons, Inc. Preservation Society of Newport Providence Biltmore Hotel Putnam Pipe Corp.

RJV Construction Corp.

Rain for Rent - New England Rapid Flow, Inc./

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Tascon Corporation Vacuum Excavation, Inc. Taylor Oil Company Ritchie Bros. Auctioneers RoadSafe Traffic Systems, Inc. Thorny Lea Country Club Tonry Insurance Group, Inc. Sandy Burr C.C. (Wayland) Schmidt Equipment, Inc. T-Quip Sales & Rentals, Inc. Scituate Concrete Products Corp.

Travelers Twelve Points Retirement Advisors Scrap-It, Inc./ Umbro & Sons Construction Corp.

Minichiello Bros., Inc. Seasons 52 Restaurant The Vanderbilt Club (Norwood, MA) Segregansett C.C. (Taunton) Vico Ristorante Italiano Vortex Sheraton Needham Hotel Gary Siebold W. Walsh Co., Inc. Simpson Gumpertz & Heger, Inc. WES Construction Corp.

Soprano’s Ristarante - Mashpee Weston & Sampson Engineers, Inc. SpeakEasy Stage Company C. N. Wood Company, Inc. Starkweather & Shepley Insurance Woodco Machinery, Inc. Brokerage, Inc. R. Zoppo Corp.

The Stiles Company, Inc. Sunbelt Rentals Systems Support Corp.

TD Garden

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Scholarship Applications Now Available

UCANE To Award Twelve $2,000 Scholarships Who May Apply?

Any high school student who is the son or daughter of a UCANE member or an employee of a member who will be enrolling full time in an accredited four year academic institution for the year beginning in September 2019.

IMPORTANT: In the event the applicant receives a full first year scholarship from the college of his/her choice, or from any organization, civic group, etc., the UCANE scholarship will be awarded to another applicant.

How Will The Application Be Judged?

Selections for the awards will be based upon: 1. scholastic achievement 2. interest and effort in preparing for your vocation 3. extra-curricular activities at and away from school, including community service 4. personal recommendations 5. thoroughness of the completed application, particularly the essay 6. financial need

How Will The Confidentiality Of The Application Be Protected?

Each applicant is assigned a number. When completed, page 1 of the application with the name of the applicant must be detached and sealed in the accompanying envelope. The applicants name must not appear on pages 2-4 of the application or attached transcripts and recommendations. After the winning applications have been selected, the envelopes with corresponding numbers will be opened to identify the award recipient.

What Must Accompany The Application?

1. A transcript of high school grades through the latest period prior to April 15 must accompany application.

2. A letter of recommendation from the principal or faculty advisor. The letter should include the number of students in the class and the standing of the applicant or equivalent must accompany application.

3. Additional recommendations from people familiar with the applicant’s ability and character, and from responsible members of the community (optional but recommended).

4. Please indicate the UCANE company by which you or your parent is employed.

Note: The name of the applicant must be deleted entirely from pages 2 through 4 and all accompanying correspondence, and your application number must be inserted in its place.

When Must I Apply?

All applications must be recieved at the UCANE office by April 15, 2019. When requesting an application, please include: UCANE member company name; employee’s name (must be parent, legal guardian, or graduating student); home address, phone number, and email.

For an application, please send your written request to: Utility Contractors’ Association of New England, Inc. 300 Congress Street • Suite 101 • Quincy, MA 02169 Tel: 617.471.9955 • Fax: 617.471.8939 • Email: aklayman@ ucane.com

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DECEMBER, 2018

12/13/18 11:18 AM

Patrick W. Saltmarsh Corporate Safety Director J. Derenzo Companies

Data Doesn’t Lie “Do not be embarrassed by your failures, learn from them and start again.” ~ Sir Richard Branson It is important for any company, large or small, to build a link between their safety data and the performance of their employees. Now that 2018 is in our rear view mirror, companies should take the opportunity to look back at their injury and incident data in order to build a picture of their employee base and clearly establish what “bad” looks like, so that they may develop an improved vision to work towards in 2019.

M

ore and more companies are compiling data through their safety inspection programs, however it doesn’t have to be that high tech. Gathering of safety data can be as simple as reviewing your injury and incidents that occurred throughout the past year. It is this effort to take the time and analyze company data that will clearly outline areas to improve upon, and provide actionable insight.

Utilizing data-based decision making, will also help you identify the safe-working employees along with the foremen and supervisors that consistently complete their assigned work incident free. Regretfully, while reviewing such data, you will also quickly identify those foremen and employees that require modification in their behaviors along with necessary refresher training in areas of safety. When this happens, the performance gap between safe and unsafe behavior will begin to narrow as employees improve their safety awareness and perform at their potential.

Simply collecting data alone however, is not DECEMBER, 2018

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J.Derenzo Co. Foremen Cinesio Aguiar using good safety awareness by hand digging near suspected utilities and identifying known utilities with marking paint.

continued on page 69

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Safety Corner continued from page 67 enough. It is important that you make this performance data available and review it with your foremen and supervisors. Use this data as a “coachable” opportunity where you take the time to educate your in-the-field supervisors and review with them the root causes and corrective actions for each and every incident.

Many companies like to talk about creating a “Safety Culture” within their organization, however they neglect to utilize data (facts) to truly define their employees’ safety performance. Never be afraid to call on the carpet a supervisor or foreman on their performance.

Remember, “Data Doesn’t Lie” and if they are not properly managing the safe behavior of their work crew, the data will identify this, and you must call them out on it. Hold your employees accountable and let them know that you are there to work with them towards improving these identified areas.

To truly embrace this concept, these real world lessons should be expanded beyond just the supervising foremen and must include the la-

borers and equipment operators as well. Whether discussing these accidents/incidents in a formal monthly meeting, or while performing site visits and discussing these lessons learned with work crews on various job sites, having such conversations reminds our employees that this industry is inherently dangerous and we must all look to improve safe behavior and fight off the dangers of complacency.

Properly monitoring your work crews and reinforcing safe behavior is a prime character trait of a good Foremen. Despite the overwhelming pressures to complicate things, successful safety programs (and Safety Managers) must come to realize the importance of keeping things simple. This is accomplished by getting out into the field, observe employees performing the work, correct unsafe behaviors, and work towards improving safe operating procedures, so that each employee is working safer today, than they did yesterday. n

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DECEMBER, 2018

12/13/18 11:18 AM

Brian MacFee, Systems Support Corporation

Taking the Right Steps As a follow up to our last installment on Cybersecurity laws, we come to the actionable steps you can take to tighten up your cybersecurity and make sure you’re on your way to compliance!

S

o far we’ve talked extensively about what laws are out there and the consequences of not following the laws. This leads us to the question of how do you know that you’re doing the right thing and taking the necessary steps towards compliance?

A quick note before we continue, we at Systems Support are not lawyers, nor do we claim to be.

Please consult your attorney for any legal advice that you need.

I thought it would be helpful to go over what steps one should take to be compliant with 201 CMR 17.

For businesses in Massachusetts, this is the most broadly applicable law and luckily for us, the Office of Consumer Affairs and Business Regulation in Massachusetts created a checklist, available at https:// www.mass.gov/files/documents/2017/11/21/compliance-checklist.pdf, to help make sure a business is taking the right proactive steps. The checklist has 30 questions to answer ranging from procedures on how to handle personal information to IT security. We will focus on the big picture rather than debating if one encryption method is better than another for meeting requirements.

One of the most important parts of compliance is recordkeeping. For each of the items, you should be able to prove that you have taken the proactive measure to be in compliance. Chances are you are already are taking most of these measures from shutting off network access for recently terminated employees to keeping information on a need to know basis. However, to prove it, you must have it in writing. That’s where things like a Written Information Security Plan and signed employee training forms come into play. State the measure you need to take, per-

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form the action, and record that you did it. If a breach happens, you have the documentation to prove you have taken steps all along to protect personal information. (It is not just enough that you take the steps, you have to record them.)

The first step is understanding where personal information is stored. To protect something, you have to know where it is. Are the records of customer/employee names kept in PDFs or a database on your server? Are files created locally on laptops when you go to client sites to onboard someone? Do you enter the information into a cloud database? The other part to think about is whether the data is at rest or in transit. At rest means it is stored somewhere in a file. In transit means the data is moving from one place to another. Thinking about these factors helps satisfy identifying where the personal information is.

If it is difficult to nail down where the information is stored and controlling the information such that it is only stored in specific locations, the alternative is to treat all records as if they contain personal informacontinued on page 72

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Technology in Const. continued from page 71

requirements you must meet, I strongly recommend speaking to a business attorney and a HR attorney to tion. The blanket approach is burdensome by having make sure termination policies, third party contracts, to install security measures for more machines, howand the amount of information you collect about your ever it helps prevent a lack of control. The security clients are all up to snuff. boundary covers your entire company instead of a Third is the control of your electronic informafew specific machines. tion. The access to information should be set up in The second step is to think about the human faca way that you can tell who accessed what informators surrounding personal information. Is your staff tion and when. The toughest part of that is making regularly trained on how to protect personal informasure you know the “who” part. It’s easy to tell who tion? Is your staff regularly tested to show they won’t picked up a paper file when you have a security camopen a phishing email? Have you thought about era and can see someone’s face. It is not as easy in the internal and external risks for someone stealing the electronic world as usernames may not be unique personal information? When it comes to employees or everyone may share an easy to guess password maintaining compliance, a strong human resource and it is impossible to tell who did it. That’s why it is Boston Area plan is necessary. To make sure that your security important to have a unique username or identifier for Locations policies and practices don’t interfere with any other anyone who accesses personal information. Beyond a unique identifier, the password 2 Dexter Street or authentication method must be Everett, MA 02149 Boston Area Boston Area difficult to guess or replicate. Take Locations Locations honest steps to make the pass431 Second Street word hard to guess. Don’t leave it Everett, MA 02149 2 Dexter Street 2 Dexter Street on a sticky note on your monitor or

Everett, MA 02149 Everett, MA 02149 under your keyboard. Don’t stash it in the notebook that’s always 431 Second Street 431 Second Street on your desk. The best bet is to Everett, MA 02149 Everett, MA 02149 leave it in a locked filing cabinet.

BOSTON AREA LOCATIONS

Treat your password like your So2 Dexter Street 431 Second Street cial Security Number. Along that Everett, MA 02149 Everett, MA 02149 same line of thinking, don’t make it easy to guess (i.e., 12345), or your company name plus your street address. If you think someone could guess your password in under a million guesses, someone is going to crack it. The good news is passwords are starting to go away and biometric methods like using one’s face to sign in or a token with a changing number combination Minichiello Bros./Scrap-It, Inc., Minichiello Bros./Scrap-It, Inc. will become more common as time Serves over 2500 customers a week and is one of New England’s largest Serves over 2500 customers a week and is one New England's largest buyers, goes on. There’s a cool demo of buyers, sellers, and processors of scrap metal.

Forour overgoal 60 years goal sellers and processors of scrap metal. For over 60 years has our remained a method called Trusona, the perremained the same - to in provide the best along prices in thetop industry along with the same - tohas provide the best prices the industry with notch sonal authentication technology top notch customer service!

Call Fred Rogers at 617-595-5505 customer service! Call Fred Rogers at 617-595-5505 for the FBI. While passwords and Minichiello Bros./Scrap-It, Inc.,

unique IDs help prevent unauthorMinichiello Bros./Scrap-It, Inc., Serves over 2500 customers a week and is one New England's largest buyers, ized access to data, if someone sellers and processors of scrap metal.

For overa60week years ourisgoal Serves over 2500 customers and onehas Newremained England's largest buyers, steals a laptop or a USB physically the same - to provide the best in theof industry along with notch sellers and prices processors scrap metal.

Fortop over 60 years our goal has remained drive with the data on it, it is reacustomer service! the Callsame Fred -Rogers at 617-595-5505 to provide the best prices in the industry along with top notch sonable to assume that after a cer customer service! Call Fred Rogers at 617-595-5505 tain amount of time they can get to

the information. However, if you encrypt it, it is not technically feaTurn your metal into money today! sible to crack into the information.

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Technology in Const. continued from page 72 about the extent of technically feasible encrypting all PI stored on laptops or other portable devices. If you choose to assume that all devices in your business contain PI, it is a safe bet to encrypt anything mobile you might have. Also keep a record that you encrypted the device. It’s impossible to prove if someone steals a laptop and there’s no record that its hard drive was encrypted.

It’s great to have all the controls in place between secure authentication and trained employees, but how do you actually tell if something isn’t right? Is it normal for someone to look at an application at 3 a.m. on a Tuesday? This is where monitoring comes in.

Now, you don’t have to have a crazy up to the second update system, however there should be audit logs that someone can review regularly to show that no one is accessing records they aren’t supposed to be accessing or are exhibiting any weird behavior like a massive download late at night when they are on vacation. Office 365 offers a fantastic audit log method for any files within OneDrive and SharePoint, and Dropbox has an audit log as well as to who added or removed a document. As we mentioned earlier, there should be a record that one can point to and show what happened.

Overall, most of the data security steps are common sense. Make sure employees are aware of what’s required of them. Remind them often. Make passwords hard to guess. Have everyone use a unique ID. The hardest part is getting all these practices in place, especially if the security has been relaxed in the past for a long time. And remember, make sure to record that you’ve taken the steps. n

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John E. Merchant, CPA

IN THIS ISSUE

Cullen, Murphy & Co., P.C.

Client Bulletin

• The New SALT Deduction Limits Will Affect Home Sales • Powers of Attorney Can be Vital Documents • How to Handle Year-End Bonuses

Smart tax, business and planning ideas from your Trusted Business Advisor

December 2018

SM

The New SALT Deduction Limits Will In this issue The new SALT deduction limits will affect home sales Affect Home Sales The Tax Cuts and Jobs Act (TCJA) of 2017 sharply raised the standard deduction and placed limits on (TCJA) itemized deductions. he Tax Cuts and Jobs Act of In particular, no more than $10,000 can 2017 sharply raised the standard debe deducted in state and local tax (SALT) duction and payments placed onlimits itema single on or joint tax return.

T

ized deductions. In particular, no more As a result, most people will take the than $10,000 canstandard be deducted inand state deduction now get no tax and local tax (SALT) payments on a single benefit from their property tax payments. or joint tax return.Even those who itemize may get little

1

The new SALT deduction limits will affect home sales

2 Powers of attorney can be vital documents 3 How to handle yearend bonuses

4 Tax calendar or no tax benefit from their property tax As a result, most people will take standard de-outlays payments if theythe also have ample duction now and get nofor taxstate benefit from their property and possibly local income tax. The tax payments. Even those wholine itemize get little or bottom is thatmay property tax payments be fully or out-of-pocket no tax benefit from theirwill property taxmainly payments if they expenses for most homeowners also have ample outlays for state and possibly local— and for many home buyers — with reduced income tax. The bottom line is that property tax pay- federal quarter of 2018. Nevertheless, residential housing tax savings as an offset.expenses ments will be fully or mainly out-of-pocket markets are very local, and it is likely that the new tax

for most homeowners — and for many home buyers rules are affecting numerous transactions, especially When the TCJA was passed, some Agency shows a 6.5% growth in prices from — with reduced federalobservers tax savings as an offset. in areasthe where property taxes steep. predicted that this effective cost second quarter of 2017are to the second Southern hospitality When the TCJA was passed, observers increase would some significantly bring down quarter of 2018. Nevertheless, residential ForareSellers home prices. housing markets very local, and it is predicted that this effective cost increase would sigNew Jersey has the likely that the new tax rulesaare affecting If you are planning to sell primary residence or property taxes nificantly bring down home prices. highest Example: John and Mary Smithe pay second numerous especially in areaswill raise home, betransactions, aware that buyers probably Example: John and Mary Smithe pay $20,000 for a median-priced $20,000 a year in property tax. They had where property taxes are steep. a year in property tax. been Theyin had been in a 28% taxthem aquestions about the ongoing property tax they will incur. home in each state, a 28% tax bracket, giving You should know the amount you’re paying now and the bracket, giving them a $5,600 $5,600(28% (28% of $20,000) fedFor sellers of $20,000) federal tax saving, followed by Connecticut youare have paid to in sell theapast.

If the growth rate eral tax saving, resulting in a net of of $14,400.

If you planning primary resulting in a cost net cost $14,400.IfIf thisamounts and New Hampshire, modest, or if your home is taxed residence or second home, be aware that less than couplethe sellsbuyer their home, buyer owebeen this couple sells their home, couldthe owe thecouldhas whereas Alabama and those inbuyers your neighborhood, tellquestions your realabout estate agent. probably will raise the full $20,000 a year in property full $20,000 a year in property tax. This might reducetax. This West Virginia have the the ongoing property tax fact theyas willaincur.

Youpoint. might reduce home’s appeal to buyers, Then, your agent can use this selling the home’s appeal to buyers, who the would offer lower lowest property taxes. who would offer bids than would have should know the amount you’re paying now bids than would have been offered in lower the past.

All homeowners, particularly those who plan a and the amounts you have paid in the past. been offered in the past. sale, should investigate Broadly, such price declines have not happened.

If the growth rate hasthe beenpossibility modest, or of if reducing taxisbill.

You should find in out the proceThe U.S. House Price Broadly, Index Report from the Federyour home taxed less than those your such price declines have not their property obtaining a tell lower in your comal House Finance Agency shows 6.5% growth yourassessment real estate agent. happened.

Thea U.S. House Pricein Index dure forneighborhood, from the Federal Finance continued on page 76 prices from the secondReport quarter of 2017 to theHouse second continued on next page

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Financial Management continued from page 75 munity and see if you might qualify. Any reduction in annual tax obligation may be worth the effort, from increased cash flow today and a potentially higher selling price tomorrow.

For Buyers If you are planning to buy a house, know your tax situation. Will you be taking the standard deduction?

Will your itemized SALT deductions be capped? You’ll know whether you’ll get any tax savings from deducting property tax, so you will know what to expect in after-tax costs from a home purchase. If those costs, which are likely to rise in the future, might strain your budget, you can drop your bid price or look for another place with lower property taxes.

In response, the IRS issued proposed regulations on this subject on August 23, 2018. Here, the IRS said that a taxpayer’s charitable deduction will be reduced if the anticipated state tax credit exceeds 15% of the contribution. (See the Trusted advice box.) The message from the IRS is that the new SALT deduction rules will be enforced. continued on page 77

Trusted Advice Explaining the Proposed Regulations • For example, suppose Ann Clark contributes $20,000 to a state sponsored health or education charity.

• Ann expects to receive a $14,000 state income tax credit (70% of $20,000).

• Ann’s state tax credit is greater than 15% of her contribution.

• These IRS proposed regulations say that Ann’s charitable deduction will be reduced by $14,000, regardless of when she claims the tax credit.

The IRS 15% Solution Taxpayers in high tax states may hope that state “workarounds” will effectively preserve SALT tax benefits and their housing prices. (See Financial Management, June 2018.) One tactic has been to create state-run charities to which taxpayers can contribute in return for a credit against state income tax. These contributions would get federal tax deductions, which generally have much higher caps, instead of deductions for state and local tax payments, with lower caps.

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Financial Management continued from page 76

M

Powers of Attorney Can be Vital Documents

ost people realize the importance of a will to help direct the transfer of assets after death. During your lifetime, you also may want to have a power of attorney (POA) for convenience and asset protection.

The person who creates a POA is known as the principal. In the POA, an agent (known as the attorney-infact) is given the authority to act on the principal’s behalf. POAs come in different forms with different purposes.

General POA

A general or regular POA gives the agent the broad ability to act for the principal. This type might be useful when the principal will be unable to act on his or her own behalf for some reason. Someone in the military, for example, might name an agent to handle financial affairs during the principal’s overseas assignment.

Durable POA

Regular or limited POAs may become void if the principal loses mental competence. Unfortunately, that can be the time when a POA is needed most: when assets could be squandered because of poor decisions.

Therefore, a durable POA can be extremely valuable because it remains in effect if the principal becomes incompetent. The agent can make financial decisions, such as asset management and residential transactions. If a durable POA is not in place, the relatives of an individual deemed to be incompetent might have to go to court to request that a conservator be named, which can be a time-consuming and expensive process with an uncertain outcome. continued on page 78

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Limited POA As the name suggests, these special POAs are not open-ended.

There could be a specified time period when you’re unable to act on your own behalf. Alternatively, a limited POA could be effective only for a designated purpose, such as signing a contract when you can’t be present.

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Financial Management continued from page 77 Springing POA Some people are not comfortable creating a POA while they are still competent, yet an individual who loses mental capability cannot legally create a POA. One solution is to use a springing POA, which takes effect only in certain circumstances, such as a doctor certifying that the principal cannot make financial decisions. Note that some states may not allow springing POAs, and some attorneys are skeptical about using them because the process of getting a physician’s timely certification might be challenging.

Health Care POA The POAs described previously empower an agent to make financial decisions. A health care POA is different because it names someone to make medical decisions if the patient cannot do so. The agent named on a financial POA could be someone trusted with money matters, whereas someone with other abilities and concerns could be appropriate for a health care POA.

tected if both spouses have their own POAs. In addition, you might have to check with the financial firms holding your assets before having a POA drafted. Some companies prefer to use their own forms, so a POA drafted by your attorney might not be readily accepted. Moreover, financial institutions might be reluctant to accept a very old POA, so periodic updating can be helpful.

When creating a POA, you should make it clear that the power applies to retirement accounts such as IRAs. Your agent should have the ability to execute rollovers and designate beneficiaries, for example.

An attorney who is experienced in estate planning can help you obtain a POA with the power to help you and your loved ones, if necessary. continued on page 79

Did You Know?

D

efining “ultrahigh net worth” as more than $30 million, the Hong Kong area leads the world, with a wealthy population over 10,000. New York (over 8,800) and Tokyo (over 6,700) are next. Other U.S. cities in the top 10 are Los Angeles (#4), Chicago (#7), San Francisco (#8), and Washington, D.C. (#9).

Powerful Thoughts As indicated, the agent you name on any POA should be someone you trust absolutely with your wealth or your health. Married couples are best pro-

Source: wealthx.com

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Financial Management continued from page 78

R

How to Handle Year-End Bonuses

ewarding employees at the end of the year can brighten up their holidays and set the stage for your company to enjoy a good start to 2019. Some forethought and careful communications can avoid problems.

A key first step is to check your company’s financial condition. Year end bonuses can boost morale, but you shouldn’t pay out more than your company can afford. On the other hand, if your business is doing well, some holiday generosity might help it do even better.

Spread the Word

that company should be notified in advance of your plans.

At many companies, cash bonuses might be a few hundred dollars per employee. Some firms, though, pay much larger bonuses as part of some workers’ compensation package. For ample bonuses, it may be advantageous to deduct them for 2018, but defer payment as late as March 15, 2019.

To qualify for this deduct-now-paylater opportunity, your company must be on the accrual, rather than the cash, basis of accounting. You must spell out the recipients and the amounts involved, perhaps in corporate minutes, by year-end 2018. S corporation shareholders and over- 50% C corporation shareholders don’t qualify for this tax benefit.

At some companies, a pool of money for bonuses can be deducted at year-end without an employee-byemployee allocation, yet payments can be delayed until mid-March. Several rules apply, such as maintaining the amount declared at year-end. Again, your accountant can guide your firm through the complexities.

Reprinted from CPA Client Bulletin. n

Once you have a budget for bonuses in mind, tell your employees what to expect. Let them know as soon as possible so they can plan accordingly.

Long-time employees probably will expect the type and size of bonus they have received in the past.

If that’s not going to be the case, explain the reason for the shortfall. Consider replacing any lack of cash with extra time off, if that’s Water Works Specialist practical.

John Hoadley and Water Works Specialist Tel:781-878-8098 Fax:781-878-5298 Among possible methods of Water Works Specialist calculating bonuses, giving a flat Tel:781-878-8098 Fax:781 Tel: 781-878-8098 Fax: 781-878-5298 amount to all full-time workers “Our Products the Most Trusted NamesNames in theinIndustry” “OurIndustry” Products Are the Most Trusted Names in t might be the simplest approach.

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Advertisers’ Index ATS Equipment, Inc. .............................................................30 Aggregate Industries - N.E. Region.......................................52 American Shoring, Inc........................................ Ins. Back Cvr. Aon Construction Services Group.........................................27 B2W Software, Inc.................................................................47 BakerCorp..............................................................................73 Boro Sand & Stone Corp.......................................................66 Brennan Consulting...............................................................29 Dennis K. Burke, Inc..............................................................57 C&S Insurance Agency...........................................................2 Concrete Systems, Inc...........................................................26 Core & Main.............................................................................4 Dagle Electrical Construction Corp.......................................24 Darmody, Merlino & Co., LLP................................................54 Dedham Recycled Gravel...................................................... 11 DeSanctis Insurance Agency, Inc. ........................................36 Dig Safe System, Inc.............................................................78 The Driscoll Agency .............................................................. 74 EJ...........................................................................................43 Eastern Insurance Group, LLC..............................................28 Eastern States Insurance Agency, Inc..................................33 Eastpoint Lasers, LLC...........................................................68 T. L. Edwards, Inc..................................................................19 Ferguson Waterworks............................................................13 Gorilla Hydraulic Breakers.....................................................68 L. Guerini Group, Inc..............................................................36 HD Supply Const. & Industrial AH Harris/White Cap............32 Hinckley Allen LLP.................................................................10 John Hoadley & Sons, Inc.....................................................79 Industrial Safety & Rescue....................................................16 JESCO...................................................................................70 P. A. Landers, Inc...................................................................14 Lawrence-Lynch Corp............................................................56 Leica Geosystems........................................................ 52 & 77 Lorusso Corp..........................................................................69 Lorusso Heavy Equipment, LLC..............................................6 MBO Precast, Inc...................................................................77 MJ-Hammer.............................................................................1 Mabey, Inc..............................................................................15 Mass Broken Stone Company...............................................73 Milton CAT..............................................................................12 Norfolk Power Equipment, Inc............................................... 74 North American Crane & Rigging LLC..................................34 North East Shoring Equipment, LLC.....................................68 Northland JCB........................................................................57 Ocean State Oil......................................................................21 Palmer Paving Corp...............................................................25 Pawtucket Hot Mix Asphalt....................................................17 E. H. Perkins Construction Co., Inc.......................................80 Podgurski Corp......................................................................66 E. J. Prescott, Inc................................................Ins. Front Cvr. Putnam Pipe Corporation......................................................76 Rain For Rent-New England..................................................46 Read Custom Soils................................................................23 Ritchie Bros. Auctioneers........................................................9 Rogers & Gray Insurance......................................................40 Schmidt Equipment, Inc............................................. Back Cvr. Scituate Concrete Products Corp..........................................20 Scrap-It, Inc............................................................................72 Shea Concrete Products, Inc. ...............................................50 SITECH New England............................................................22 Smith Print.............................................................................. 74 Starkweather & Shepley Ins. Brokerage, Inc...........................8 Systems Support Corporation...............................................52 Tonry Insurance Group, Inc...................................................48 Triumph Modular....................................................................41 United Concrete Products......................................................70 United Rentals Trench Safety................................................42 C. N. Wood Co., Inc. .............................................................44 Woodco Machinery, Inc.........................................................18 Xylem Dewatering Solutions Inc............................................66

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