Construction Outlook February 2020 by Ucane

FEB | 2020 • Safety Incentive (Recognition) Programs • Interview with Adam B. Crandall, Northeast Regional Safety Advisor, Badger Daylighting Corp. • Company Events – The Risks and Limiting Your Liability

OSHA Region 1 Compliance Specialist Peter Barletta

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FEBRUARY, 2020

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OFFICERS President MARCELLA ALBANESE Albanese Bros., Inc.

President-Elect RYAN McCOURT

McCourt Construction Company

Treasurer BRIAN COONEY

C. C.Construction Inc.

Secretary CHRIS VALENTI

GVC Construction, Inc.

BOARD OF DIRECTORS VINCENT BARLETTA

Barletta Heavy Division

NICK BIELLO

J. D’Amico, Inc.

MIKE BISZKO, III

Biszko Contracting Corp.

ANDREW DANIELS J. Derenzo Co.

GEORGE DeFELICE

DeFelice Corporation

JERRY GAGLIARDUCCI

Gagliarducci Construction, Inc.

JOE GIOIOSO

P. Gioioso & Sons, Inc.

DAN HORGAN

R. H. White Const. Co., Inc.

LISA FRENCH KELLEY

W. L. French Excavating Corp.

BILL LEONARD

Aqua Line Utility, Inc.

JOHN OUR

Robert B. Our Co., Inc.

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IN THIS ISSUE

5 President’s Message:

UCANE Continues to Prioritize Safety

7 Legislative Update:

• Governor Baker Files FY21 Budget Proposal; Increased Dig Safe Penalties Included • Massachusetts Senate Passes “Next-Gen Climate Action” Legislation • Baker-Polito Administration Awards Grants for Water Management, Conservation Projects • New Programs Announced to Address Lead in Drinking Water at Schools and Child Care Facilities • News in Brief

19 Labor Issues:

Company Events – The Risks and Limiting Your Liability

27 Under the Hard Hat:

UCANE Board Member Joe Gioioso, P. Gioioso & Sons, Inc.

29 Safety Corner:

Safety Incentive (Recognition) Programs

33 Get to Know Your UCANE Contractor Members: Calvin Brandford, CHB Excavating, Inc.

35 2020 Scholarship Applications Now Available 36 UCANE January Dinner Meeting 45 UCANE Welcomes New Members 47 Construction Safety & Compliance:

An Interview with Adam B. Crandall, Northeast Regional Safety Advisor, Badger Daylighting Corp.

51 Insurance Perspective:

Fiduciary Liability, Fidelity, Crime, Theft, Employee Dishonesty, 3rd Party Crime, ERISA Bonds – Oh My!!

55 UCANE’s 9th Annual Appreciation Night Trade Show 57 Public Works Pipeline:

An Interview with David Field, Director of Public Works, Town of Easton

59 Technology in Construction:

Investigating Software Options at CONEXPO-CON/AGG 2020 and Other Construction Tradeshows

61 Spotlight on Cape Cod:

Jay Cashman, Inc.

Support Regional Wastewater Treatment Plant

FRED ROGERS

65 Winning with a Super Hero Mentality

Scrap-It, Inc./Minichiello Bros., Inc.

ERIK SVEDEN Milton CAT

JORDAN TIRONE

DeSanctis Insurance Agency, Inc.

DAVID WALSH

Pawtucket Hot Mix Asphalt

JEFF MAHONEY

Executive Director

Editor: Jeff Mahoney, Associate Editor: Suzanne Hatch, Magazine Designer/Assistant Editor: Sherri Klayman Construction Outlook Chair: Marcella Albanese Editorial Board: Marcella Albanese, Ryan McCourt, Brian Cooney, & Chris Valenti 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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UCANE Continues to Prioritize Safety This winter has not been typical for New England to say the least. First, we had to endure a Super Bowl Sunday without the Patriots involved, which itself is very unusual! Second, the weather has been very uneventful up to this point. There is little doubt that this will change before the end of the winter, which is hopefully good news for our members who plow during this time of year. However, this year’s construction season will be here before we know it. But no matter what time of year it is, UCANE members are always focused on safety and promoting the health and well-being of their employees.

hile the construction industry as a whole can be dangerous, the underground utility construction industry presents some very specific hazards and challenges. UCANE is constantly updating its members on the latest news and information in an effort to assist our members with safety and health concerns. Each month, we publish articles in Construction Outlook magazine dedicated to safety, and in the January edition, we printed OSHA’s 2019 Top Ten violations list to increase awareness of the most common hazards. UCANE continues to offer mandatory Asbestos Cement Pipe classes, Confined Space/Competent Person training, and other safety and health seminars throughout the year, and I encourage members to take advantage of these opportunities to train and educate their employees. We also have an active Safety Committee that meets regularly to discuss best practices and what members are seeing and hearing in the field. If you or one of your employees would like to join our Safety Committee, please contact Mike Lenihan at the UCANE office. One regular presenter at these meetings is OSHA Region I Compliance Specialist Peter Barletta, who spent many years as a Field Compliance Officer, and now spends his days informing individual companies and associations about OSHA’s latest policies and initiatives. In late January, at our Annual Installation of Officers and Directors Dinner Meeting, we were fortunate FEBRUARY, 2020

to have Mr. Barletta as our Guest Speaker. While his presentation was sobering, it was also very informative and filled with important information. Because trench incidents, including fatalities, have increased over the past few years, OSHA has implemented a National Emphasis Program (NEP) for trench and excavation safety. Last year, trench inspections were up 60% percent locally, and members should be aware the NEP will continue into this year. One thing Mr. Barletta mentioned that was encouraging, but not surprising, was that UCANE has been extremely proactive in promoting trench safety. In June of 2019, UCANE participated in the National Trench Safety Stand Down Week. This was an OSHA endorsed effort in which companies would plan a toolbox talk or other means of safety training, and take a break to emphasize the importance of trench safety. UCANE accounted for a large percentage of those participating nationally, with 25 member firms representing over 2,300 employees taking part in the Stand Down during the week.

UCANE will continue to partner with OSHA, and other associations and individual companies to ensure UCANE members will have the most up-to-date information and resources to ensure the health and well-being of their employees. Because when it comes to safety, there is no off-season. n

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Governor Baker Files FY21 Budget Proposal; Increased Dig Safe Penalties Included

n accordance with the rules governing the second year of the 2019-2020 legislative session, the Baker-Polito Administration filed their FY21 budget proposal at the end of January. According to a press release from the Administration, the FY21 budget, known as House Bill 2, is based on the $31.151 billion consensus tax revenue estimate, which anticipates a 2.8% growth in total tax collections over revised FY20 tax estimates. House Bill 2 recommends a total of $44.6 billion in gross spending, excluding the Medical Assistance Trust Fund transfer, approximately 2.3% growth over FY20. The Governor’s budget includes a $310 million increase to the Stabilization Fund, which as of January 2020 has an all-time high balance of $3.46 billion. The balance of the Stabilization Fund, also known as the “Rainy Day Fund,” has grown substantially since 2015. The Governor’s budget recommendation also includes the Part B individual income tax rate decrease, mandated by law, to 5% effective January 1, 2020. Based on actual and projected collections, personal income tax bills have cumulatively been reduced by a total of approximately $2.7 billion since January 1, 2015. Specific to UCANE’s interests, there are always a number of key elements within any budget proposal. In particular, UCANE was pleased to note that the administrative line-item for the Massachusetts Department of Environmental Protection (MassDEP) was poised to grow again to $33.6 million, most likely reflecting their curFEBRUARY, 2020

rent hiring initiative. As well, the Baker-Polito FY21 budget proposal includes $1.1 million for the Commonwealth Rate Relief Program. The Underground Storage Tank Reimbursement Program is proposed to be funded at $10 million, a potential $2 million increase over last year. Finally, for appropriations, the proposed funding for the Contract Assistance line-item would remain at $63.3 million. As a final note, there were a number of outside sections that related to increased Dig Safe penalties and the application of Dig Safe to municipal water companies and gas pipeline safety. Of greatest concern is language that would increase the Dig Safe penalties from occasion based penalties ($1,000, first offense / $5,000$10,000, subsequent offense within 12 months) to a “to be determined” penalty no greater than $200,000. This penalty computation could have dramatic impacts on contractors. Accordingly, UCANE will work with the Massachusetts legislature to inform them about the Dig Safe Law and our concerns relative to the impact of the proposed penalty structure. The Massachusetts House of Representatives will take up their version of the FY21 budget in April, while the Massachusetts Senate will take up their budget proposal in May. The two branches will then convene a conference committee to iron out their differences before putting the conference committee report before the Governor for his approval in June.

continued on page 9

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Legislative Update continued from page 7

Massachusetts Senate Passes “Next-Gen Climate Action” Legislation

he Massachusetts Senate passed one of the nation’s most aggressive climate action laws at the end of January. According to a press release issued by Senate President Karen Spilka, Senator Michael Rodrigues, and Senator Mike Barrett, the Senate’s next generation climate policy package included three separate pieces of legislation: An Act Setting Next Generation Climate Policy (SB2477), An Act to Accelerate the Transition of Cars, Trucks and Buses to Carbon-Free Power (SB2476), and An Act Relative to Energy Savings Efficiency (SB2478). The legislation, which aims to make Massachusetts “netzero” for emissions by 2050, contained the following provisions: • Setting a statewide greenhouse gas limit for the year 2050 of “net zero” emissions. SB2477 requires the state to hit near-term limits in 2025, 2030, and every five years thereafter; set sub-limits for transportation, buildings, solid waste, natural gas distribution, and other major sectors; and make implementation plans that are “clear, comprehensive, and specific.”

•

Establishing the Massachusetts Climate Policy Commission. Under the same legislation, a commission would be a new, independent public watchdog to oversee government’s handling of the unfolding crisis of climate change. Commissioners will be charged with offering a nonpartisan, science-based view of the problem as it plays out in Massachusetts with its attendant natural, economic, and demographic impacts and risks. Establishing the price of carbon. Under SB2477, the executive branch would be free to choose among various market based forms of pricing carbon—including a revenue-neutral fee or a regional “cap and trade” system similar to the Transportation Climate Initiative (TCI), but the Governor would have to do so by Jan. 1, 2022, for transportation; Jan. 1, 2025, for commercial, industrial and institutional buildings; and Jan. 1, 2030, for residential buildings. Any mechanism would be implemented so as to minimize the impact on lowincome households, disadvantaged communities, continued on page 11

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Legislative Update continued from page 9 •

•

and vulnerable manufacturing sectors. Letting cities and towns adopt a “net zero” stretch energy code. The legislative package allows the state to support communities that choose on their own to move away from fossil fuels as the source of heating for new buildings. The state’s contribution is to promulgate a “net zero” energy code, so that localities have the option available if they want to use it. The bill shifts responsibility for the code’s development from the Board of Building Regulations and Standards to the Department of Energy Resources (DOER). Nudging natural gas utilities to adapt. The bill authorizes utilities to test technology and pipelines that generate and transport “renewable thermal energy,” an emissions-free way to heat buildings that draws on the relative warmth of temperatures below ground. Setting a deadline for converting MTBA buses to all-electric power. An Act to Accelerate the Transition of Cars, Trucks, and Buses to Carbon Free Power (SB2476) directs the MBTA to limit bus purchases and leases to zero-emissions vehicles beginning in 2030, and to aim for an allzero-emissions fleet by 2040, to reduce transpor-

FEBRUARY, 2020

tation-related emissions in city neighborhoods. • Electric: State government fleets. The same legislation directs state government to limit purchases and leases of vehicles to zero emissions vehicles only, beginning in 2024, if affordable replacements are available. The legislation also mandates a study of the opportunities to electrify vehicles owned or leased by municipalities, regional school districts, and regional transit authorities, taking into account costs and possible sources of financial help from state and federal government. Of particular concern to certain UCANE members, the legislation requires the assembling of the state’s first-ever database of energy use in large buildings. This language, which will impact owners of buildings over 35,000 square feet or more, would also enable the Administration, through the DOER to publish the results of these energy users, as well as mandate the use of more efficient means of energy for these buildings. It is unclear whether the Massachusetts House of Representatives will take up this entire package of legislation passed by the Massachusetts Senate. UCANE will continue to monitor this legislative package. continued on page 13

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FEBRUARY, 2020

Legislative Update continued from page 11

Baker-Polito Administration Awards Grants for Water Management, Conservation Projects

he Baker-Polito Administration recently announced more than $450,000 in grants to help six public water supplies with water conservation, source and demand management, and other water withdrawal planning and mitigation projects across the Commonwealth. The funding will be utilized in the communities of Auburn, Avon, Dedham, Medway, Wareham, Westford, and Littleton. The grants are part of the Water Management Act (WMA) Grant Program, an effort by the Executive Office of Energy and Environmental Affairs (EEA) and the MassDEP to maintain healthy rivers and streams and improve degraded water resources over time. The WMA Grant Program helps water suppliers by providing grants for watershed planning projects, demand management, minimization and mitigation activities for water withdrawal impacts. According to the MassDEP’s summary of the program on its website, the WMA Grant Program helps guide water management in the Commonwealth for

both the long-term water needs of communities and the protection of the aquatic ecosystems. The following grants were awarded: •

Auburn Water District: Permanent Interconnection with Worcester- $81,349

•

Avon: Interconnections - $95,000

•

Dedham Westwood Water District: Regional Conservation Project - $70,816

•

Medway: Infiltration Feasibility Assessment - $30,500

•

Wareham Fire District: Drought Management Plan - $104,483

•

Westford and Littleton: Continuation of the Stonybrook Restoration Project - $70,163

For more details on the WMA grant projects for 2019-2020, and water withdrawals under the Water Management Act, go to https://www.mass.gov/watermanagement-act-program. continued on page 15

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Legislative Update continued from page 13

New Programs Announced to Address Lead in Drinking Water at Schools and Child Care Facilities

he Massachusetts Clean Water Trust and MassDEP held a press conference to highlight two programs to support lead testing and mitigation in schools and early education and care facilities across the Commonwealth. The MassDEP’s Expanded Assistance Program for Free Sampling and Analysis at Schools and Early Education and Care Facilities will continue the Commonwealth’s nation-leading program offering free lead testing and technical assistance to eligible public schools and public and private group child care facilities. In addition, the Clean Water Trust’s School Water Improvement Grant (SWIG) program will make available $5 million in grants to cover the cost of water bottle filling stations to address detections of lead in drinking water at eligible public schools.

lead, but lead can be introduced into drinking water through plumbing and fixtures in buildings – especially in facilities more than 20 years old. The two highlighted programs are designed to encourage education and care facilities to perform lead testing and address elevated levels with the help of state experts. MassDEP’s Expanded Assistance Program, funded through a $967,000 grant from the United States Environmental Protection Agency, will help eligible facilities implement effective testing programs, educate them about how to address elevated lead levels, including through the new SWIG program, and provide water quality information to the school community.

The Clean Water Trust’s SWIG program, funded through a $5 million appropriation from the end-ofUnder current federal and state laws, lead testyear FY19 supplemental state budget, will provide ing in schools is voluntary. According to the Massgrants to school districts that have tested their drinkDEP, water supplied to schools is generally free of ing water through the Commonwealth’s lead testing program or other comparable testing for water bottle filling stations. Grant awards will be calculated based on a per fixture award of Water Works Specialist $3,000. Theand number of fixtures John Hoadley Sons Inc. Water Works Specialist Tel:781-878-8098 Fax:781-878-5298 will beSpecialist based on the number of Water Works Tel:781-878-8098 Fax:781-878-5298 Tel: 781-878-8098 Fax: 781-878-5298 required fixtures to meet the Commonwealth’s Plumbing Code stu“Our Products the Most Trusted NamesNames in theinIndustry” “OurIndustry” Products Are the Most Trusted Names in the Industry” “OurAre Products Are the Most Trusted the dent● to drinking fixture ratio of 75 � U.S. Pipe Cultec Chambers � U.S. Pipe ● Cultec Chambers students toPipe one drinking water fix� Mueller Fire Hydrants ● National & Plastics • U.S. Pipe • Cultec Chambers � Mueller Tapping Sleeves & Valves ● UCANE, ADS Pipe & Chambers � Mueller Fire Hydrants ● National Pipe & Plastics ture. which advocates for • Mueller Fire Hydrants • National Pipe� &Smith Plastics Blair Clamps & Couplings ● General Foundry Castings greater funding for all water infra� Mueller Tapping Sleeves & Valves ● Valves ADS Pipe Chambers • Mueller Tapping Sleeves & • &ADS Pipe & Chambers Mechanical Services � Tapping Sleeves & Gates Installed / Cut structure programs, supported the • Clamps Smith & Blair Clamps & Couplings • General Foundry Castings � Smith Blair Couplings ● General Foundry Castings � Line Stop / EZ Valves final supplemental budget funding Mechanical Services � Cutting of Chilled Water Lines & Steam Lines Mechanical Services this item. � Pressure Testingfor & Disinfection of New Mains � Tapping Sleeves & Gates Installed / Cut � Installation & Testing of Backflow Preventers 24 Hours • Tapping Sleeves & Gates Installed / Cut Both the Expanded Assistance Sales& Service � Large Diameter Hydraulic Pipe Cutting � Line Stop / EZ Valves Serving all of • Line Stop / EZ Valves Program will be accept� Hydrant Installation & Repair and SWIGNew England � Cutting ChilledWater WaterLines Lines&&Steam SteamLines Lines � Electronic Leak Detection • Cutting of of Chilled ing applications for assistance “Water-Sewer-Drain Supplies at a Competitive Price” • Pressure Testing &&Disinfection � Pressure Testing DisinfectionofofNew NewMains Mains online. The Expanded Assistance www.hoadleyandsons.com • Installation && Testing ofof Backflow � Installation Testing BackflowPreventers Preventers 24 Program accepting applications 24Hours Hours672 Union Street Rockland, MAis02370 • Large Diameter Hydraulic Pipe Cutting Sales& Service Sales & Service immediately and the SWIG Pro� Large Diameter Hydraulic Pipe Cutting • Hydrant Installation & Repair Serving ofof Servingallall gram will accept applications from � Hydrant Leak Installation & Repair New • Electronic Detection NewEngland England February 3 to March 6, 2020. � Electronic Leak Detection

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For more information about the SWIG program, please visit: https://www.mass.gov/service-details/about-swig. continued on page 17

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News in Brief Kafka Announces Plans to Retire. State Representative Louis Kafka, a Stoughton Democrat, who has served in the House since 1991, recently announced that he does not plan to run for re-election. A well-respected legislator with an ability to work with Republicans and Democrats alike, Kafka played key roles in a variety of legislative initiatives ranging from nursing homes receiving funding for the cost of providing kosher meals, phosphates being banned from soap detergent, creating protections for patients suffering from Crohn's disease, and insurance coverage for children afflicted by cleft palate or cleft lip. One of the hardest working legislators on Beacon Hill, Kafka has achieved hard won respect from elected officials and advocates throughout the Commonwealth for his strong work ethic, amiable personality and thoughtfulness. Philips to Run for Kafka Seat. In light of the aforementioned news, Mr. Edward “Ted” Philips, Representative Kafka’s Chief of Staff, announced that he will seek to represent the 8th Norfolk District. Mr. Philips, who has worked in the Massachusetts House of Representatives and the Massachusetts Senate, is a graduate of the UMass Amherst as well as the Suffolk University Sawyer School of Management. Similar to Representative Kafka, Mr. Philips is a well-known and respected figure on Beacon Hill, with a strong understanding of how to navigate government. Benson to Take Reins at Alliance for Business Lead-

FEBRUARY, 2020

ership. The progressive business association, Alliance for Business Leadership, announced at the end of the year that it had hired State Representative Jen Benson as its next President. Benson, who served in the legislature since 2008, was most recently serving as the House Chair of the Joint Committee on Health Care Financing. A versatile legislator, Benson formerly chaired the Joint Committees on State Administration and Consumer Protection, respectively. The Alliance for Business Leadership is a non-partisan coalition of CEOs, entrepreneurs, investors, and business leaders who focus on social responsibility and the sustainable growth of the Massachusetts economy. House Passes PFAS Task Force Legislation. Legislation creating an interagency task force to review and investigate water and ground contamination of PFAS across Massachusetts was passed by the Massachusetts House of Representatives in December. PFAS chemicals have been used since the 1950s on non-stick, water-resistant, and stain-resistant products. They can also be found in types of firefighting foam used by military and civilian firefighters and at airports. PFAS contamination has been detected in public water supplies in Ayer, Barnstable, Harvard, Hudson, Mashpee, Middleton, Shirley, and Westfield. Spearheaded by House Division Chair Kate Hogan and Senator Julian Cyr, the PFAS Task Force had originally been included in the House version of the FY19 deficiency budget. n

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Company Events – The Risks and Limiting Your Liability Employers utilize corporate events and parties to reward employees, boost morale, and encourage team building. Serving alcohol at these events increases the risk of corporate and personal liability.

y way of example, recent news reports highlight the risk. An employer is reported to have hosted a year-end holiday party at his home. The host owner’s company was a government contractor. Some employees arrived driving company vehicles with the company name emblazoned on the side. News reports do not state whether the alcohol was served by professional bartenders or caterers or otherwise monitored. Reports do indicate some employees became rowdy. At least one employee became intoxicated. Coworkers attempted to discourage him from driving home. They failed. Nobody took his keys. Nobody called a taxi, Lyft, or Uber. Nobody called the police. On the way home he allegedly fell asleep. At approximately 6:00 a.m. he was observed driving at excessive speeds. He ran a red light striking another vehicle killing a 13-year old child, and seriously injuring another 13-year old, and two adults. The employee was arrested at the scene. He allegedly confessed to the arresting officer that he had been drinking beer, whiskey, and took cocaine. He was then terminated by his employer for violation of company rules. He has now been charged with vehicular homicide and is being held without bail, because the judge found he poses a threat to the community. News reports indicate he had a long history of traffic offenses. The Commonwealth has suspended the company’s right to bid future work. A surviving child victim has filed a lawsuit against the driver, the husband and

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wife who hosted the party, and the company. Lawsuits from the other victims are likely. The foregoing should give everyone pause. What steps did this employer and these hosts take in advance to minimize their risk? While you cannot eliminate all exposure and liability, you can minimize risk by considering one or more of the following suggestions. • Plan the Event With an Eye Towards Risk Management • Limit Alcohol Consumption: • Decide whether alcohol will be served. • If serving alcohol, hire the services of a professional bartender trained to identify alcohol-related issues. • Limit alcohol to beer and wine. • A cash bar is a disincentive to alcohol concontinued on page 21

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Labor Issues continued from page 19

•

sumption. An alternative is the issuance of drink tickets. (A determined guest can usually find extra drink tickets. Be aware.) • Make sure there are ample non-alcoholic beverages available including water and sufficient food. • No one under the age of 21 should be served or allowed to consume alcohol. • Limit the hours alcohol is served. Similar to a sporting event, shut the bar one (1) hour before the end of the event. Serve dessert and coffee once the bar is closed to help absorb the alcohol. • If a person appears to be inebriated, s/he should be “shut off.” Notify the bartender or a member of the management team. • Any person(s) serving alcohol to a drunk or impaired driver in Massachusetts may be held liable to an injured third party under the legal theory known as “social host liability.” The Leadership Team – The Managers and Supervisors Role: • Managers and supervisors should set the example. They should reinforce the behavioral

•

codes of conduct expected; professionalism extends to events outside the workplace and/ or work hours. • Managers and supervisors should monitor the event for any signs of inebriation and take immediate and necessary action. Attendance Should be Voluntary not Mandatory: • If the event is mandatory, it increases the likelihood the employer could be held liable for misconduct toward coworkers or third parties under the legal doctrines of “vicarious liability” and “respondent superior.” • Even if attendance is not “technically” mandatory but there is a strong expectation employees should attend, it is likely a court will find the employee was acting within the scope of his employment. • Inviting employees’ spouses and stakeholders increases the potential for third party liability from injuries and misconduct. But, having spouses or stakeholders at the party may limit an employee’s “bad behavior,” raucous behavior, or behavior that can get out of hand. • If an employee is injured during the party and continued on page 23

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Labor Issues continued from page 21

•

attendance was mandatory, it increases the possibility an injury may be compensable under Workers Compensation law. • Mandatory attendance may affect wage and hour laws and possibly create an employer obligation to pay employees for this time. Location: • Never host the party in your home – think about the added risk by hosting a party in your home. • If there is a sizeable party at your home, consider contracting police coverage outside your home for the length of the event. • Consider using a restaurant, function hall, or hotel that maintains the proper insurance and liability coverage. • If the decision is to host the event on corporate property, hire a licensed and insured caterer with professional servers and bartenders. Timing can Impact Alcohol Consumption: • Events can be hosted at lunch • Late afternoon or early evening event, possibly from 5:00 p.m. to 8:00 p.m. • Weekend (Friday or Saturday evening)

•

Insurance Coverage: • Confirm your company has adequate insurance coverage for social and off site events. Insurance coverage should include cases of sexual or racial discrimination or harassment or other work-related issues. If you host a company party or event at your home, confirm you have Host Liability Insurance and coverage under your homeowner’s policy. Code of Conduct – Sexual and Racial Harassment, Discrimination, and Violence: • Alcohol consumption lowers a person’s inhibitions and s/he may engage in behavior that is unprofessional and would never normally occur in the traditional work setting. Consider the following to mitigate this misbehavior: • Remind your employees, while an event may have a social aspect, their conduct should be professional and consistent with company policies and practices. • Before hosting an event, review your company policies regarding alcohol and drug use, sexual or racial harassment, discrimination, and bullying. • Have a pre-established workplace dress code. continued on page 25

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Labor Issues continued from page 23 •

•

There should be no posting of photographs or videos from a company sponsored event on social media without the express permission from management. • During or after the party, any employee complaint in violation of the above codes of conduct, including, but not limited to, sexual and racial harassment or unwanted drunken behavior, should be thoroughly conducted. • Remind and publicize these policies to your employees prior to the event by emails, paycheck stuffers, or postings. Transportation: • The company should provide alternative transportation for their guests. This may include payment coupons or simply having the service available for those who want to take part. However, this must be compulsory for any inebriated person(s). Car keys should be immediately taken away from any impaired person(s). They should be placed in a Lyft, Uber, or Taxi where the fare has been paid. Ridesharing with designated drivers should be encouraged. • If the party is held at a hotel, provide discounted hotel rooms for the evening. Nearby

•

hotels or motels can be used for events held at a restaurant or function hall with transportation provided to the lodgings. • Companies should not allow their employees to drive a company vehicle after any event where alcohol is served. Limit access to all company vehicles for those drinking alcohol. Alternative Considerations – If morale boosting and team building are your goal, you may want to poll your employees to determine what they want for their annual party. This may change from year to year. Alternatives to a formal holiday party may include: • A $100 gift certificate to the employee; • Pizza parties; • Corporate social responsibility has led companies to think of alternatives, including: • Donate the funds planned for the party to a food bank where employees can also volunteer.

In conclusion, a holiday party or other social event is a time to celebrate. Whether there is the presence of alcohol or not, management and employees should conduct themselves in a professional manner. Planning can minimize many risks. n

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How did you get started in the underground construction industry? I worked for our family business doing whatever my father and uncles told me to do during summers while I was in high school in the 80s. While in college, I spent a few summers with an engineering company working as an intern. After graduation from Cornell University, I worked two years for Perini Corp. on a project, which preceded the Big Dig. I was a young engineer assigned to a very complex and heavy project called the Route 1 Tunnel Under City Square in Charlestown. It was a great learning experience for me. When did you enter your family business full time and what has your role been at the company? After I earned a Master’s Degree, I started my full-time career in 1992 at P. Gioioso & Sons, Inc. My first project with the company was the Route 138 Overpass (over 128) in Canton, a $1.6 million job we did for Mass. Highway Dept. Since then, I have served as estimator and project manager for most of the bridge projects we have built, including the Route 18 Bridge and Widening Project valued at $56 million. In 2010, I became president of the company working alongside my cousins and uncles. With some appreciated guidance from the first generation, the second generation of Gioiosos’ continue the tradition, and we are actually training a couple of third generation namesakes at the moment. FEBRUARY, 2020

UCANE Board Member Joe Gioioso P. Gioioso & Sons, Inc.

How long have you been involved with UCANE and why did you decide to get involved? My father and my uncles, who are the first-generation owners, have maintained active involvement in UCANE since the 1960s. The second generation of the family are believers and supporters of UCANE also. I was a Board Member back in the early 2000s, and my cousin Marco moved up the ladder to become UCANE President in 2011 and 2012. I felt it was time for me to get more involved again. I was proud to be elected to go back on the Board by my peers this year and I’m excited to roll up my sleeves and get started. continued on page 28

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Under the Hard Hat continued from page 27 What is the nature of the industry as you currently see it? UCANE contractors and our water and sewer industry have built many projects that we can all take pride in. These projects have not only improved our environment, they have improved people’s lives, and have made our state and region a better place to live. If you take a boat ride on beautiful Boston Harbor you will see the results of the Boston Harbor Cleanup for yourself. There are still more projects and cleanups to be done, while at the same time there are miles of aging underground piping systems and many treatment facilities operating beyond their useful life. The need for work is certainly there, but the costs to local communities is sometimes overwhelming. There is a dire need for more funds from the State and Federal government and with a strong and unified voice like UCANE we can help to make it happen.

What would you like our membership to know about being a Board Member? Looking back on my earlier Board involvement, I always felt the time I gave up to attend meetings and help out was a small price to pay, considering what my company and I received in return. I’m a little older now, and hopefully wiser too. I think it’s a good investment of my time to work a few hours a month to protect and possibly improve the industry that provides a living for my family, as well as for the families of our dedicated and hard-working employees. n

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Patrick W. Saltmarsh Corporate Safety Director J. Derenzo Companies

Safety Incentive (Recognition) Programs

“People work for money but go the extra mile for recognition, praise, and rewards” ~ Dale Carnegie

t’s that time of year again, when companies begin rolling out their new and improved company safety programs with colorful jobsite posters, themed stickers, and employee appreciation luncheons, but without a simple, ongoing recognition program in place, these shiny new “Safety First” programs may fall short of their goals. Recognizing those employees who are safely performing their daily job duties fulfills a basic human need for acknowledgement and appreciation. When employees are recognized for performing their work safely, they will begin to contribute more and continue to invest in the behavior that achieved them praise. When employees are recognized for their safe behavior, they are more inclined to continue this behavior in hopes of future recognition. Successful safety programs must incorporate some type of recognition and reward program that will foster positive safe behavior, and in turn, improve the safety culture within your company. Safety incentive and reward programs have been utilized by companies for many years to help reduce both the frequency and severity of workplace injuries. Developing and implementing a successful safety incentive program is no easy task. Traditional incentive programs have focused primarily on rewarding employees for working “X” number of days, weeks, or months without a workplace injury. This type of program has proven to be successful, however, by its very design, produces concern that safety incentives tied to injury reporting may lead to an injured worker fearing the loss of a reward by reporting the injury they have sustained. FEBRUARY, 2020

J. Derenzo Co. Foremen Adolfo Sousa and Laborer Paul Mello demonstrating safe work practices while installing a drainage system. Employees failing to report injuries, even minor incidents and near misses, will defeat the entire purpose of a proactive safety program. In order for companies to look towards mitigating workplace hazards, it requires the generation of as much information as possible on behavioral trends so that steps can be taken to curb future incidents. In other words, if workers feel the pressure not to report injuries or incidents, companies will have virtually no information on which to develop or improve upon their current safety programs. Safety programs must consist of standard operating procedures and company policies that clearly describe what systems will be in place to provide workers with a safe and healthful work environment. continued on page 31

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Safety Corner continued from page 29 Elements such as employee training, accident investigation, and regulatory compliance are all elements that must be established before any safety incentive or recognition programs can be considered. Company safety policies exist to establish required employee behavior, whereas an incentive program is designed to improve employee behavior by rewarding those employees who “want to do it,” rather than being “required to do it.” Every employee who contributes daily to working safely and encourages fellow employees to do so as well, should be rewarded. Keeping in mind, not all recognition needs to be monetary. Different people like to be recognized in different ways, and it is the company’s responsibility to acknowledge this and identify what motivates their employees.

Recognizing employees for working safely is simple. If your company hasn’t implemented some type of safety incentive or recognition program as part of your overall safety strategy, you are missing out on a crucial element that is certain to have your employees working safer today than they did yesterday. n

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Get to Know Your UCANE Contractor Members

CHB Excavating, Inc. specializes in underground utilities, site development and trucking. Their customer’s value their experience, reliability, and integrity that has become the cornerstones of their success. Quality work and continued growth has led them to expand their services to handle any project involving site excavation or underground utilities. They own and maintain a full range of trucks and heavy equipment required for the work. Their operations are fully insured and their employees are all licensed, experienced, and OSHA trained. They compete for projects in both the private and the public sectors. Snow removal services, truck rentals, material supplying, crushing, hauling, and screening services are available. Their reputation has been earned through commitment to prompt, reliable, and quality service at competitive prices. Check out their website: chbexcavating.com for a full list of references. They look forward to earning your trust and business.

Calvin Brandford, President In business since: 1988 Average number of employees: 15 Certifications Mass. SDO Certified Minority Business Enterprise MassDOT Certified

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2020 Scholarship Applications Now Available UCANE to Award Twelve $2,000 Scholarships WHO IS ELIGIBLE TO APPLY? •

Any child or grandchild of a UCANE member OR an employee of a member in good standing.

•

The applicant should be a high school senior who will be enrolling full time in an accredited two- or four-year academic institution for the year beginning in September 2020 OR a current full-time college student who has not previously received a UCANE scholarship.

HOW WILL THE APPLICATION BE JUDGED? Twelve $2,000 scholarships will be awarded. Two of the 12 scholarships will be awarded to applicants pursuing a construction related degree. There will be a question on the application to indicate if you believe you are eligible for these scholarships. The other 10 scholarships are open to all other courses of study. Applications are judged and winners are selected by independent outside educators. Selection will be based on the overall worthiness of the applicant by considering: 1. Scholastic achievement; 2. Interest and effort in preparing for your vocation; 3. Extra-curricular activities at and away from school, including community and religious service; 4. Difficulty of course curriculum and career objectives; 5. Personal recommendations; 6. Thoroughness of the completed application, particularly the essay

HOW WILL THE CONFIDENTIALITY OF THE APPLICATION BE PROTECTED? Each application 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. Please be certain to indicate the UCANE firm where you, your parent or grandparent is employed when applying. The applicant’s name must not appear on any part of the application or attached transcripts and recommendations. After the winning applications have been selected, the envelopes with those corresponding numbers will be opened to identify the award recipients.

WHAT MUST ACCOMPANY THE APPLICATION? 1. A transcript of high school or college grades through the latest period prior to April 15. 2. A letter of recommendation from the principal or faculty advisor/academic advisor. 3. Additional recommendations from people familiar with the applicant’s ability and character, and from responsible members of the community (optional but recommended).

IMPORTANT - PLEASE NOTE: In the event the applicant receives a full scholarship from the college of his/her choice, or from any organization, civic group, etc., the UCANE Scholarship will be awarded to another applicant. Applicant’s parent/grandparent must work for a company in the New England Region. Applications must be received in the UCANE office no later than April 15, 2020. If you have any questions concerning the completion of this application please contact:

Utility Contractors’ Association of New England, Inc. 300 Congress Street • Suite 101 • Quincy, MA 02169 Tel: 617.471.9955 • Email: jmahoney@ucane.com FEBRUARY, 2020

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UCANE Officers & Board in attendance: (L-R): Erik Sveden, Milton CAT; Andrew Daniels, J. Derenzo Co.; Ryan McCourt, McCourt Construction Company; Nick Biello, J. D’Amico, Inc.; Brian Cooney, C.C. Construction, Inc.; Dan Horgan, R. H. White Const. Co., Inc.; Chris Valenti, GVC Construction, Inc.; Joe Gioioso, P. Gioioso & Sons, Inc.; Fred Rogers, Scrap-It, Inc./Minichiello Bros., Inc.; Lisa French Kelley, W. L. French Excavating Corp.; Jordan Tirone, DeSanctis Insurance Agency, Inc.; Querino Pacella, RJV Construction Corp.; Marcella Albanese, Albanese Brothers, Inc.; Brian Rawston, Jay Cashman, Inc.; Richard Pacella, Jr., R. M. Pacella, Inc.; and Mike Biszko III, Biszko Contracting Corp.(not pictured) Board Members not in attendance: Vincent Barletta, Barletta Heavy Division; George DeFelice, DeFelice Corporation; Jerry Gagliarducci, Gagliarducci Construction, Inc.; Bill Leonard, Aqua Line Utility, Inc.; John Our, Robert B. Our Co., Inc.; and David Walsh, Pawtucket Hot Mix Asphalt

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FEBRUARY, 2020

OSHA Region 1 Compliance Specialist Peter Barletta Guest Speaker at January Dinner Meeting Sponsored by C. N. Wood Company, Inc. Jeff Mahoney, UCANE’s new Executive Director, kicked off the first dinner meeting of 2020 by introducing himself and detailing the changes and transitions that have occurred at UCANE. He reassured our members and guests that Anne Klayman is not going anywhere, and she will continue to be here to support our members.

eff, then introduced our newest UCANE members who were in attendance: Matthew Daly of Construction Risk Partners, Charley Carpenter of Globalcycle, Inc., Patrick DiCerbo of Northwestern Mutual, Robert Storrs and Angie Obert of PermaPatch, LLC, and Lee Daum of Watertown Ford. He then went on to introduce our guest speaker, OSHA Region 1 Compliance Specialist Peter Barletta. Mr. Barletta earned a Civil Engineering Degree from UMass Amherst and began his career in the Engineering Department at the Town of Reading. He then went on to work at OSHA, while earning his MBA in Public Administration and has had a successful 30-year career there. During his time at OSHA, he was a Field Compliance Officer for 15 years and then served as an Assistant Area Director for 10 years. For the last four years Mr. Barletta has been designated as the Compliance Assistance Specialist covering the Greater Boston area. In his new role as Region 1 Compliance Specialist, Mr. Barletta offers free guidance and consultations to contractors, in an effort to enable contractors and their safety officers to fully understand OSHA’s rules and regulations. He not only helps them keep their jobsites and garages in compliance, but more importantly, he helps them keep their employees safe. He has also been a great friend and resource to UCANE members by frequently attending our Safety Committee meetings to openly discuss safety issues with our member’s safety officers. At our meeting, Mr. Barletta spoke about OSHA’s National Emphasis Program on Trench Safety, which kicked off in 2019 and will continue into 2020. Due to a national increase in trenching incidents, OSHA Washington directed all area offices to increase inspections on projects involving trenching. FEBRUARY, 2020

Guest Speaker

Peter Barletta Following his talk, Jeff presented Mr. Barletta with a plaque thanking him for sharing his knowledge and expertise and taking time out of his busy schedule to join us. The program then continued with Jeff honoring and thanking our outgoing Board Members: Tony Borrelli of Celco Construction Corp.; Ben Cavallo of C&S Insurance Agency; Nick Gamache of Rain for Rent-New England; Marco Gioioso of P. Gioioso & Sons, Inc.; Mike Gorman of E. J. Prescott, Inc.; and Paul Scenna. He presented plaques to those who were in attendance. He then acknowledged the contributions of our outgoing President Richard Pacella, Jr. saying, “Most of you are probably familiar with the saying made famous by Teddy Roosevelt, ‘Speak softly but carry a big stick.’ That quote could definitely be applied to continued on page 39

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Dinner Meeting continued from page 37

Rich. His knowledge, experience, and ability to communicate immediately won over and impressed anyone we met with, whether it was testifying at the State House, meeting one on one with elected officials on Beacon Hill and in Washington, or simply having a private conversation with anyone he met. His service these past two years has been invaluable to UCANE and helped further its mission. It has been a pleasure for Anne and I and the entire UCANE staff to work with him, and we look forward to continuing to do so as he remains on our Board as Immediate Past President for the next two years.” Jeff then introduced and installed the 2020 Officers and Directors who were in attendance. He then turned the program over to Anne Klayman who introduced incoming President Marcella Albanese. Anne began by saying, “Promises made, promises kept…I made a promise to Marcella many years ago, and I am now keeping that promise to introduce her as UCANE’s first woman President.” She went on to say, “While we acknowledge and rightfully celebrate this fact, make no mistake about it, Marcella was voted UCANE President because she has earned the respect and confidence of her peers, and has been a tireless advocate for UCANE and our industry for many years.” Marcella then took to the stage and stated, “I’d like to take this opportunity to thank our members for their vote of confidence and for electing me UCANE President. I would also like to thank my family, as without their support I would not be here. I would be remiss if I didn’t thank Anne Klayman, for everything that she has done and will continue to do for this organization and beyond. As far as I am concerned, she embodies everything that is good in this world.” She continued by saying, “Since joining UCANE many years ago, I have been actively involved as a member of the Board of Directors and then taking on the various offices in preparation to serve as President. My participation in UCANE has been a very rewarding experience and I encourage all members to be active and get involved.” She also reiterated that, “We will continue our policy of inviting contractor members to attend board meetings so they can see first-hand what UCANE is all about, hear the decisions we make, the work we do, and the influence and impact these decisions have on all of our companies and the success of your business.” continued on page 41 FEBRUARY, 2020

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Dinner Meeting continued from page 39

Marcella stated that she is convinced that anyone who attends one of these meetings will want to become more involved in UCANE. She said that some of the issues that she sees as critical this year are securing increased funding for water and underground utility infrastructure projects to assure that a maximum number of projects are put out to bid, to continue to partner with the MassDEP and the Clean Water Trust to assist cities and towns to obtain necessary funding for much needed water and sewer projects, to continue to meet regularly with municipal public works officials to discuss the issues that affect contractors and cities and towns, to also continue to oppose and mitigate the impact of legislation and regulations that adversely affect our industry, and to strengthen our Association by increasing membership. She added that our monthly publication, Construction Outlook magazine, continues to be very popular with our members, our local and national legislators, and public works officials across the state and region, and that she hopes all of our Associate Members will consider advertising in the coming year. She also encouraged our Contractor Members to continue to try, whenever possible, to do business with our Associate Members and give them an opportunity to quote on their needs. She stated that our Associate Members continue to support continued on page 43

FEBRUARY, 2020

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FEBRUARY, 2020

Dinner Meeting continued from page 41 UCANE and our industry by investing in sponsorships and advertising, and the return on that investment is a continued strong working relationship with our contractor members. She concluded by saying, “Our industry needs to be unified and speak with one voice, and I am asking for the support of every member in order for us to reach our goals in 2020.” Jeff then closed the evening’s program by providing information about our upcoming seminars, including our Competent Person/Confined Space seminar and our Asbestos Cement Pipe certification classes. He also reminded our members that our scholarship applications are now available, and are now open to the children and grandchildren of our members and their employees, and not just high school seniors, but

also current college students who have not previously been awarded a UCANE Scholarship. Before closing the meeting, Jeff thanked our members for their support in helping one of our own. Mike Niland’s 14-month-old daughter Ellie was recently diagnosed and is battling Neuroblastoma. He said, “The response from our members to a “GoFundMe” page that has been set up to help the family reminds us why it is such an honor and privilege to work for UCANE. While many of our members compete against each other every day, they come together as a family to support each other and show strength and unity as an industry when one of our members needs help. Jeff closed the meeting by saying he hoped to see everyone at our March 25, 2020 Forecast Dinner Meeting and Trade Show. n

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Years of Excellence 1954-2020

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Untitled-6 1

3/7/2016 3:49:21 PM

Bioretention Soil? Who makes that?

Stabilized stonedust? Who makes that?

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CU-Structural soil? Who makes that?

Green roof soil? Who makes that? Reinforced soil? Who makes that?

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Construction Safety & Compliance: An Interview with Adam B. Crandall Northeast Regional Safety Advisor Badger Daylighting Corp.

UCANE’s Construction Outlook editors recently caught up with Adam B. Crandall at a busy construction site in Boston. Adam is the Northeast Regional Safety Advisor with UCANE member firm Badger Daylighting Corp. We were able to get a few minutes of Adam’s time to talk about the importance of Safety in today’s heavy construction industry. What is your background in Construction Safety? After 8½ years as a helicopter crew chief for the United States Marine Corp, I have worked in the construction industry for over 19 years as a maintenance supervisor, plant manager, project manager, area manager, and now currently, as a regional safety manager for Badger Daylighting Corp. Along with a mechanical engineering education from New England Institute of Technology in Warwick RI, I draw from my years of experience, knowledge, and training, to develop a safety culture with a personal approach. My passion for ensuring “no one is left behind” or “left out,” and knowing that while our jobs may be inherently dangerous, we can mitigate the risks. As a leader and manager of employees, it is my personal responsibility to ensure that we are “providing our employees with all the necessary tools, training, and assistance, to perform our assigned tasks safely and efficiently to ensure everyone comes home safe.” Tell us about the culture of safety that exists at Badger Daylighting Corp. At Badger Daylighting, we make safety personal, every day, in all that we do. Badger Daylighting management views its employees as an extension of their own personal families, and as such, we have focused our efforts on interacting directly with each employee, both in the field and back at the yard, to enFEBRUARY, 2020

sure that we are providing them with the safest means possible to accomplish their tasks. We strive to work as a team with our customers, recognizing and reflecting the best elements of both of our safety programs, while also ensuring that the tasks performed meet everyone’s expectations because safety doesn’t have a start and stop point; safety is a way of life here. We continually educate our employees through training courses, computer-based modules, as well as a rigorous on the job mentor-training program, and daily face-to-face interactions. At Badger we utilize job hazard analyses and record near misses, in an effort to encourage and recognize all employee feedback. Badger is safe and efficient, and we work with our customers to ensure their jobsites, their industry reputations, and their employees are all working towards the same safety goals when we are on site. continued on page 49

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Safety & Compliance continued from page 47 What are some of the biggest challenges you face as a Safety Director? Making sure employees avoid shortcuts or unnecessary risks and being able to recognize those people right away is a challenge that most safety directors face – but I like to look at challenges as opportunities to improve. All of us have probably heard 100 reasons why someone didn’t do something. My first question to that employee may be: “Is your life or limb, or your family’s lives worth the risk?” That usually leaves a lasting impression on the employee and helps to refocus their approach to the assigned task. The next time they perform a similar task, they will be more likely to make the right decision regarding safety. Because safety isn’t just a “when I think about it” or “when someone is watching me” kind of thing, we pour a lot of time and effort into the finding, screening, and finally the hiring and training of the right candidate. Badger operators have several months of specific, documented, and regimented training prior to operating a Badger Unit. So not only are our employees efficient Badger Unit Operators, they are also experienced safety representatives for our company. Badger’s goal is to bring both value and safety with us to every jobsite.

OSHA endorsed safety events definitely assist in promoting the type of safety culture that we need in the construction industry. These events can be a huge asset in ensuring we as an industry are doing everything that we can to make sure every one of our employees come home safely at the end of their assignments. Whether it be an industry StandDown event or a company event, every safety session is an opportunity to reinforce and remind our employees of what we are doing, and why we are doing it. n

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What advice do you have for new safety directors, specifically pertaining to the current construction climate/current jobsite risks? The low unemployment rate has made hiring more difficult than ever. Most Safety Directors are not directly involved in the hiring process and you often have new faces coming to the site. My best advice is to focus attention on these employees early so you can nip any bad habits in the bud. Everyone receives and processes information differently, and if we understand how our employees receive and process information, we can be more efficient and effective in offering guidance. Try to recognize each employee’s strengths and weaknesses early on. This, in turn, will help you to know how best to help them succeed. How do you think Contractors and their workers can benefit from organized and OSHA endorsed events like Safety Week and the National Safety Stand-Downs? FEBRUARY, 2020

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Kristin Erickson

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Fiduciary Liability, Fidelity, Crime, Theft, Employee Dishonesty, 3rd Party Crime, ERISA Bonds – Oh My!!

Another set of coverages in our series of articles describing The Optional Coverages – are they really optional? What do all of these terms mean? After being asked to describe each of these terms individually as they come up, we realized that the best way to understand is to begin with the broadest terms first. Let’s begin with Fiduciary. As an adjective, fiduciary means placing a high degree of legal or ethical trust on a relationship as in attorney/client, trustee/ beneficiary, bank/trust, guardian/ward, etc. A fiduciary duty requires one party to act in the sole best interest of the other party. The person acting in the fiduciary capacity is called a fiduciary. Thus the word can also be used as a noun. Most often, the existence of a fiduciary relationship is clearly stated in a legal agreement. In these cases, the need for fiduciary liability coverage is pretty clear as a simple poor decision or lack of a decision could prompt a claim for breach of fiduciary responsibility. Our readers who act as a fiduciary as their normal course of business understand their fiduciary duty and know they need fiduciary liability coverage. But, what about the others? Are you acting as a fiduciary in your current position? If your company offers benefit programs for your employees, your personal assets may be at risk and we urge you to consider fiduciary liability coverage. Employers who offer a retirement plan should be familiar with the Employee Retirement Income Security Act (ERISA) and its requirement for the employer to hold an “ERISA” bond. The Fidelity Bond required by ERISA does not provide coverage for your fiduciary duty to administer your employee benefit programs in the sole best interest of the participants in the plan as required by ERISA. The coverage provided by the FEBRUARY, 2020

Fidelity Bond is described later in this article. What many employers don’t realize is that ERISA also sets forth certain fiduciary duties for employers who choose to offer group benefit plans to their employees. In addition to ERISA requirements, common law includes precedent establishing the employer’s responsibility for administering group benefit plans as fiduciaries. This applies to all group benefit plans – not just retirement and pension plans. The exposure does not go away when you hire a third party administrator. Examples include failure to enroll an employee in a timely manner, failure to research the cost of benefits relative to similar benefits, selection of risky investments in a defined benefit pension plan, erroneous benefits advice, etc. No one requires an continued on page 52

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Insurance Perspectives continued from page 51 employer to purchase fiduciary liability insurance yet, the exposure is clearly there. A cost benefit analysis of fiduciary liability coverage should always be offered by your agent and include employee benefits liability. A good fiduciary policy will cover: • Assets of the named insured organization • Assets of the benefit plans scheduled in the policy • Personal assets of the individuals serving as fiduciaries of the insured’s firm • Personal assets of any additional persons named in the policy Covered losses include damages, judgments, settlements, and defense costs that the insured becomes legally obligated to pay. The policies are usually written on a “duty to defend” basis. The insurer will manage defense of the claim on behalf of the insured. Defense costs are covered but reduce the limit of liability available for expenses if the insured settles or is found liable. Policies generally carry an insured retention that applies first dollar to defense costs. Fiduciary liability policies include Employee Benefits coverage. This coverage is sometimes offered on its own or as an endorsement. It provides coverage

for errors and omissions committed while handling nondiscretionary functions like failure to enroll, failure to change beneficiary designation, etc. It is not designed to cover more discretionary or higher level decision making functions such as management of fees, investment decisions, following plan documents, etc. It is important to note that fiduciary liability does not include loss from theft of plan assets. We turn to crime coverage for this exposure. Crime coverage can include several different types of coverage such as: employee dishonesty coverage, forgery or alteration coverage, computer fraud coverage, funds transfer fraud coverage, kidnap, ransom or extortion coverage; money and securities coverage and money orders and counterfeit money coverage. These coverages can be included on a Commercial Crime policy and several can be purchased as a stand-alone insurance policy or bond. In terms of the insurance industry, Crime and Fidelity are interchangeable. Unlike fiduciary liability insurance, crime insurance is a first party coverage. It protects the assets of your company and the assets of your company’s benefit plans from loss. As always, your first step is to decide which exposures apply to your company and what assets are at risk. Once the appropriate coverages are chosen, your insurance agent will secure quotes at different continued on page 53

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Insurance Perspectives continued from page 52

Funds Transfer Fraud – pays for losses resulting from fraudulent instructions received by a financial institution to pay money from your account to someone else. Extortion – pays for losses sustained via extortion by injury threats to people and threats to damage property. In conclusion, please consider the need for these coverages with your insurance agent. Know the difference between Fiduciary (duty of care) vs. Fidelity (unlawful or fraudulent acts). Remember that the “ERISA Fidelity or Employee Dishonesty Bond” fills a minimum requirement of the ERISA act and provides very limited coverage for plan participants only. Crime coverage Boston Area sections can be purchased in any combination to Locations suit your company’s unique exposures. n

policy limits and deductibles. Following are the seven basic coverage parts of a standard crime policy. You choose which parts are most valuable to you based on your exposures. Employee Theft of company assets – may also include assets of specifically described employee benefits plan and therefore complying with the ERISA requirement for a fidelity or employee dishonesty bond. Employee Theft of client’s property can be added by endorsement when needed. Forgery or Alteration – pays for losses caused by outside parties who forge or alter the named insured’s checks. May also include defense costs if you are sued for refusing to pay an instrument you believe is forged. Inside the Premises – Theft of Money and Securities – provides coverage for 2 Dexter Street money or securities only (no merEverett, MA 02149 Boston Area Boston Area chandise) from within the walls of Locations Locations your premises or banking premis431 Second Street es. Also pays for damage done to Everett, MA 02149 2 Dexter Street 2 Dexter Street the exterior of your building during Everett, MA 02149 Everett, MA 02149 the actual or attempted theft under certain conditions. Also covers 431 Second Street 431 Second Street locked safes, vaults, cash regisEverett, MA 02149 ters, cash boxes and cash drawers Everett, MA 02149 BOSTON AREA LOCATIONS that were inside and damaged by 100 Fremont Street 2 Dexter Street 431 the theft or theft attempt. Theft of Second Street Worcester, 01603 Everett, MAMA 02149 Everett, MA 02149 other property may be added by endorsement. Inside the Premises – Robbery or Safe Burglary of Other Property coverage applies to robbery of a custodian and to safe burglary. Robbery involves the threat of or actual bodily harm or unlawful act witnessed by another person. Outside the Premises includes theft, disappearance and Minichiello Bros./Scrap-It, Inc., Minichiello Bros./Scrap-It, Inc. destruction of money and securiServes 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, ties while outside the premises buyers, sellers, and processors of scrap metal. For over 60 years our goal sellers and processors of scrap metal. For over 60 years our goal has remained and in the custody of a messenger has remained the same - to in provide the best along prices in thetop industry along with the same to provide the best prices the industry with notch or armored car company. Includes top notch service! Fred Rogers at 617-595-5505 customer service! Callcustomer Fred Rogers at Call 617-595-5505 theft and robbery. Other property Minichiello Bros./Scrap-It, Inc., may be added by endorsement. Minichiello Bros./Scrap-It, Inc., Serves over 2500 customers a week and is one New England's largest buyers, Computer Fraud covers monand processors of scrap metal. For overa60week years ourisgoal Serves over 2500 customers and onehas Newremained England's largest buyers ey securities and othersellers property same - to provide the best in theof industry along with notch sellers and prices processors scrap metal. Fortop over 60 years our goal has remain fraudulently transferred the by somecustomer Callsame Fred -Rogers at 617-595-5505 to provide the best prices in the industry along with top notch one using your computer eitherservice! the customer service! Call Fred Rogers at 617-595-5505 directly or remotely. Money Orders and Counterfeit Paper Currency provides covTurn your metal into money today! erage for loss incurred as a result of Turn your metal into money today! accepting counterfeit currency. Minichiello Bros. Inc./Scrap-It Inc. Minichiello Bros. Inc.,/Scrap-It Inc. Other available endorsements:

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UCANE’s 9th Annual Appreciation Night Trade Show Will be held on March 25, 2020 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. For more information and advertising rates call Suzanne at the UCANE office.

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An Interview with David Field, Director of Public Works, Town of Easton Give us some insight into your education, background, and work history. I hold a Bachelor of Science Degree in Civil and Environmental Engineering from the University of Massachusetts at Dartmouth and I am a registered professional engineer in Massachusetts. I began my career as an engineer for the Town of Mansfield before becoming the Director of Engineering for the Town of Dedham and I am currently the Director of Public Works and Town Engineer for the Town of Easton. All told, I have been in municipal public works for 22 years. Has the Town of Easton, or your Department done an Asset Management Plan or a Needs Survey for the underground infrastructure owned by the Town? We utilize an asset management approach for most of our assets and infrastructure. We use GIS for our underground assets and our goal is to know where each asset is, what condition it is in, what needs to be done to it for maintenance, and what the remaining useful life is. We use this information to help budget for the planned replacement of our major assets like water and sewer mains, as well as roads. What do you currently see as the most pressing infrastructure needs for the Town, and is there a 5-year plan in place to address those needs? Our most pressing needs include both road work and our water system. We currently have a backlog of repairs to our roadways of $19 million, and a water 5-year capital plan for our waFEBRUARY, 2020

ter systems worth $16.5 million, which includes a new water treatment plant and water main replacements. There are additional concerns regarding PFAS and the potential need for additional treatment costs to address those concerns. At the same time, work is currently underway on a $12 million sewer project. This is the last phase of a $25 million sewer project to bring sewer to the Five Corners needs area. How does your municipality normally fund water and sewer projects? Does the Town of Easton utilize the SRF Loan Program through MassDEP for water infrastructure projects? Funding these types of projects on our own is not easy, as I think any DPW Director will agree. We certainly advocate for State assistance whenever the terms make sense. We normally fund water and sewer projects through a combination of SRF loans, available grants, continued on page 58

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Public Works Pipeline continued from page 57 and general borrowing. The Town of Easton was pleased to receive a MassWorks grant last fall of $1.5 million to help with the Five Corners project. Ultimately the cost of the sewer projects has been passed on to the end users through betterments. We are also wrapping up a water rate study to ensure we have enough capacity in our rate structure to fund the upcoming water capital projects. UCANE’s Annual Industry Directory is distributed to key officials like yourself in every City and Town in Massachusetts. Do you find the information useful when considering material purchases, equipment rentals, and emergency repairs? In most cases we utilize long-term relationships with many vendors for the majority of our materials purchases. Many of those vendors are also associate members of UCANE. I find the Directory is also useful to have especially for those unforeseen needs such as emergency repairs. n

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Greg Norris, B2W Software, Inc.

Investigating Software Options at CONEXPO-CON/AGG 2020 and Other Construction Tradeshows Construction Software might not command as much attention as heavy machinery at CONEXPO-CON/AGG 2020. Savvy contractors that visit software suppliers at tradeshows, however, could uncover opportunities that rival or even exceed the ROI value of that shiny new hardware. Navigating a show can be the first challenge. Well over 2,000 exhibitors are expected at CONEXPO-CON/AGG, and the list of companies offering software solutions will extend literally from A (A1A Software) to Z (ZMac). They will demonstrate every type of application imaginable and probably quite a few that you have never imagined. Here are four software-focused opportunities to look for in Las Vegas or at other construction tradeshows, and four additional considerations before deciding which booths to add to your “must see” list.

Faster, More Accurate Estimating Estimating is a numbers game in more ways than one. Replacing paper, spreadsheets, and limited applications with advanced construction estimating software helps contractors complete more bids in less time. That translates to more bids completed, more time to focus on bidding strategy instead of chasing figures and, ultimately, more bids won at the right margins. FEBRUARY, 2020

Operational Efficiency Specialized software for workflows like scheduling and dispatching, field tracking, and equipment maintenance brings added efficiency to those processes. Employees freed up from paperwork and redundant data entry have more time to focus on core tasks. They also have more information at their fingertips to help them make better and more informed decisions, work smarter, and optimize resources.

Workflow Connectivity and Real-Time Data Efficiency and the flow of information increase further when software applications for estimating and operations talk to each other. Estimating logic is visible to leaders in the field as they plan and complete the work. Performance data from the field can be analyzed daily and used to adjust operations immediately. Repair requests, equipment moves, resource needs, inspection results and dozens of other critical pieces of intelligence can be communicated and seen instantly across workflows by the employees that need to act on them.

Mobile Capabilities Capturing and sharing data remotely is essential in modern day construction, and effective, easy-to-use mobile capabilities are essential for any software solution. Compatibility and connectivity among mobile applications used for various workflows is worth considering. Contractors should also keep in mind that cellular or Wi-Fi connectivity may not be available at all sites or may not be the most cost-effective option. The ability to use software in an offline mode and then synch up at the end of the day can be a valuable alternative. continued on page 60

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Technology continued from page 59

ed resources, jobs or locations in the future.

Software Strategy and Commitment Ever wonder why the exact same software can be wildly successful and loved by employees at one company, while another company struggles with it? The difference almost always comes down to strategy and commitment. Contractors need to consider in advance how software will fit into their workflows and how they will adapt those workflows to optimize the software. They should also think through their overall approach to technology, including how solutions for estimating, operations, accounting, planning and other workflows will interface with each other.

Enterprise-Class Performance This is more than a marketing slogan. Enterpriseclass means the underlying architecture of the software is robust, so it will accommodate multiple users and run fast and reliably, without bugs. How aggressively a supplier keeps pace with technology and delivers updates are things to look for. Requirements also change. Contractors intending to grow should make sure software they install can scale to account for more users, more complex operations or expand-

Construction Logic Great software that is hard to use is bad software. Many applications marketed to construction companies were developed by non-specialized software providers. They may be intuitive for accountants or IT pros, but “they just don’t work the way we work in the field,” is a common complaint from contractors. Look for software that aligns with your existing processes instead of fighting with them. A user interface that’s easy to learn and easy to use is also essential, so users buy in right away and can stay focused on construction, not on getting software to work.

Support and Fit Tradeshows like CONEXPO-CON/AGG are an opportunity to get beyond software itself and meet the people behind it. Try to get a feel for the personality of the company and its commitment to the industry as well as the expertise of its employees and how well they could work together with your team. Look for proven implementation and training processes and ask questions about support resource, like how long it takes to respond to calls or to resolve issues. References on support capabilities from existing users should be readily available. n

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Support Regional Wastewater Treatment Plant Town meeting voters will get a chance to improve the quality of Yarmouth’s water resources, spur new business, and ward off a possible lawsuit – all by saying yes to a regional wastewater treatment plant this spring.

evelopment in town has grown by more than 400 percent since 1951, with the addition of thousands of new homes. Unfortunately, the septic systems installed with those homes remove less than 20 percent of the nitrogen, allowing the rest to flow into bays, estuaries and freshwater ponds. The results are apparent, especially in saltwater ecologies, which are 10 times more sensitive to nitrogen pollution. Green scum floats in the water and piles up along the shorelines. And the damage runs deeper than aesthetics. Nitrogen causes algae to flourish, clouding the water and blocking out sunlight, which harms beneficial plants. Among the casualties is eelgrass – a critical component of the local saltwater ecology and a breeding habitat for shellfish and other marine life. Studies show that residential septic systems account for roughly 85 percent of the excess nitrogen in Yarmouth’s waterways. Newer, more efficient septic systems can remove up to 50 percent of the nitrogen, but that’s still not enough, says interim Yarmouth Assistant Town Administrator Richard Bienvenue. Some 10,000 homes are causing much of Yarmouth’s pollution, and even if every one of those septic systems were replaced with a new, innovative alternative system at a cost of roughly $30,000 per home or $300 million townwide, the nitrogen would persist, he said. The best solution is a centralized treatment plant. The town’s Water Resources Advisory Committee has developed a 40-year plan, using research from the Massachusetts Estuaries Project and other

FEBRUARY, 2020 SEPTEMBER, 2016

resources. Yarmouth’s Comprehensive Wastewater Management Plan is being watched by others, too. And if the town doesn’t make progress to improve its water quality, state officials could mandate changes. Even worse, a private party could file suit against the town for polluting public waters, as has happened in other communities, Bienvenue said. Nitrogen pollution has also slowed development. Companies that might invest in a vacant property and help increase Yarmouth’s commercial tax base are deterred by the hardship of spending tens of thousands of dollars to install and operate onsite wastewater systems, Bienvenue said. The slowing commercial development in Yarmouth now places a higher burden on residential properties, which accounted for 92 percent of the town’s property valuation in 2018, according to a study by the UMass Donahue Institute. Yarmouth also lags behind other Cape Cod communities in adding to its total tax base, continued on page 63

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Spotlight on Cape Cod continued from page 61

three. The single plant would reduce Yarmouth’s capital expenses, Bienvenue said, with even more savings in annual operating costs. A recent pregrowing by less than 1 percent per year – a rate that sentation showed that all three towns would save limits revenues needed for town services. about $10 million per year with a regional treatment “The decision to have a wastewater treatment plant. Yarmouth’s share of the savings would be plant would preserve the recreational activities that roughly $4.8 million (about 33 percent). There’s make Yarmouth such a special place to live,” said also the possibility of some loan forgiveness, BiMary Vilbon, executive director of the Yarmouth envenue said. Chamber of Commerce. “And it will spur much-needTiming is essential. The zero-interest loans and ed business investment along Route 28 – where the savings from a regional partnership could disappear high cost of developing onsite wastewater treatment if the state orders Yarmouth to clean up its water or systems has hindered business development and if a private group files a lawsuit, Bienvenue said. Ancontributed to a higher tax burden on residential other concern is timing the project to coincide with property owners.” roadwork planned for Route 28. State law prevents Town officials in Yarmouth, Dennis, and Harwich newly paved roadways from being dug up for seware proposing a DHY Clean Waters Community Parter work until five years after the roadwork is done. nership with a centralized treatment plant in Dennis. Failing to act now could mean continued water woes Yarmouth’s expenses would be about $400 million through 2030, increasing the risk of state action or a over the next 30 years, with Phase 1 costing roughly private lawsuit. $130 million. Bienvenue said the project could be For more information, visit the websites for the funded without raising property tax rates. Yarmouth Water Resources Advisory Committee and The town is counting on 30-year, zero-interest the DHY Clean Waters Community Partnership. loans, and the state gives preference to commuReprinted from Cape Cod Times. Written by Andy nities that are working on regional solutions, so Tomolonis, an author and multimedia journalist workan agreement with Dennis and Harwich is helpful, ing with the Yarmouth Chamber of Commerce and Bienvenue said. All three towns would also save Kendall Lubricants Announcement x 5 6-18.qxp_Dennis K. Burke 6/21/18 3:19 town PM Page the of 1Yarmouth. n money by building one 7.5 regional plant instead of

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Winning with a Super Hero Mentality Three Steps to Gaining Leadership Powers

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any times in life, you just have to stop talking and start taking action, and the only way to make progress is by moving forward. As that wise, old transformer, Optimus Prime, said in Transformers: Age of Extinction, “Often, the most important moments in life come to this exact moment. What are you going to do?” We don’t think of work to be as serious as our true heroes like first responders to an accident. However, that doesn’t mean it isn’t important to find ways to be a hero at work. We spend so much time at our jobs, that we need to feel inspired while there. Leaders need to step up to become heroes when situations present themselves. As a proven method, there are three steps to gaining super powers at work.

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teammates. Brady didn’t let that bring him down, and he used those opportunities to own up to his mistakes. This allowed the team to come together to talk about what went wrong and make changes. No question, Brady is an amazing leader for the New England Patriots and a champion to millions because he understood exactly how to turn a tough situation into a victory. He admitted his errors and made sure his team had what they needed to succeed. He was a team player with a Superhero Mentality.

2. Eliminate Excuses Taking the hit = stopping the excuses. This idea was drilled into me on a snowy soccer field in Idaho when I was nine years old. It was half time, and my team was losing 0-3. It was snowing, but not that fluffy, fun kind of snow. More of a piercing, icy, slippery kind of downpour. We were miserable, but our coach was at a loss as to why we were losing. When asked just what was going on out there, I spoke up, “We don’t play well when it’s snowing. The field sucks. And it’s cold.” continued on page 67

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Winning continued from page 65 Coach looked at me and said, “Are you kidding me? You’re playing in the same weather, on the same field, as the other team. No more excuses.” If forward-thinking is positivity the language of winners, excuses is the language of losers. If you want to be a hero for your team at work, you simply have to eliminate excuses. This is not to say that you don’t look for reasons to make improvements when something goes wrong. This is a necessary step at some point to make progress. What it does mean is that you first focus on solutions. When you get lost in excuses, you fall prey to the victim mentality. Of course, there’s a time and place for considering what went sideways, but a hero will always focus on solutions while a victim will wallow in the injustice of it all.

3. Hero Power There is perhaps no better example of hero power than Chesley “Sully” Sullenberger. He was the pilot well known for landing his doomed plane on the Hudson River in New York. For those of us who aren’t pilots, we may have the

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misconception that landing a plane on water is similar to landing on pavement. Captain Sully only had 90 seconds from when the disaster first struck to becoming the hero that he is by saving all the lives on board that flight. You may not be landing planes in emergency circumstances at work. Instead, you may be putting out fires on the jobsite or accounting department. Wherever you are, find ways to be a hero. Look for ways to make others feel comfortable, even if you’re uncomfortable. When you pledge to ditch victim mentality, you gain the upper hand against whatever you’re facing. You have to decide right now if that’s something you’re ready to do. Not tomorrow, not at the next meeting…now. If you want to be a leader that others will love to follow, you must understand that this is the moment that will decide the foundation of your future success. Look for opportunities to take the hit, eliminate excuses, and become the Superhero that you are. About the Author: Hernani Alves is a leadership accountability expert, Amazon best-selling author, and a speaker who helps leaders build world-class teams. n

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Advertisers’ Index ATS Equipment, Inc. .............................................................20 American Shoring, Inc........................................ Ins. Back Cvr. Aon Construction Services Group.........................................62 B2W Software, Inc.................................................................66 BakerCorp..............................................................................23 Benevento Companies..........................................................14 Boro Sand & Stone Corp.......................................................46 Brennan Consulting...............................................................46 Dennis K. 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