San Diego Fires

Our initial reports indicate that at least a few AGC members lost their homes in the fires last week.  Obviously, the thoughts of the entire industry are with each and every one of you that lost your homes during this catastrophe.  A number of members would like to offer help and assistance.  If you did suffer a loss as a result of the wildfires, please let us know, so we will be able to pass it on to the AGC member firms that are organizing assistance efforts within their firms.

Monday Morning Quarterback is often critical of our public officials. So when they do a good job, it is only fair that we praise their efforts.  It was apparent that a great deal of disaster preparation had been planned and practiced since the fires a few years ago.  The entire operation, from the fire fighting to the evacuations, shelter operations to the communication to the public, seemed very professional and well organized.

For instance, there is often criticism of the press conferences our political leaders hold during these events. Many feel they are primarily vehicles to give our political leaders face time on TV.  However, this time the press conferences seemed very professional, well organized, and very business-like.  County Supervisor Ron Roberts led them and did an excellent job. Ron, and those that participated, demonstrated that there was a plan, it was being carried out, and that the situation was being handled in the most effective manner possible.  When you think about it, this is the role of Ron and the other leaders…….make sure their constituents feel that someone is leading the effort in these difficult situations, and that they are confident of what they are doing.

Good job Ron….mission accomplished !

Again…..our heartfelt sympathy for those that suffered losses during this catastrophe.
 

Are you going to be in Business in 5-10 Years?
By Jim Ryan, AGCSD Executive Vice President

I remember a building contractor in the Midwest during the late 1980’s that had a prosperous construction firm.  He stated in a meeting that his firm would never secure work through any method except the competitive bid system, and that they would never use estimating software or spreadsheets, etc., on bid day…..they wanted to continue to use pads and pencils….to make sure they “understood “ the totals and what was included.

They were out of business in 1997…after 30 years.  They refused to adapt to change, and they refused to accept new technologies.

Is your firm a 2007 version of this firm?????

On Wednesday November 14^th from 8 am-1 pm, the AGC San Diego Technology Trends in Construction Committee is holding a forum entitled “Trends, Standards, and Best Practices in Construction Technology.”  This forum will present excellent overviews of the following technological trends that are emerging in our industry.

Ÿ Building Information Modeling (BIM)
Ÿ Digital Plan Distribution
Ÿ On-Screen Takeoff
Ÿ Estimating Systems
Ÿ Scheduling & Project Management
Ÿ Paperless Technology
Ÿ Hardware Systems & Networking

Let me explain something….the contractor in the Midwest that “penciled” his firm out of business in about 10 years would not last 3 years in today’s market.  Technologies are changing so fast that the effect of not adopting new technologies is critical to your survival today.  If you ignore these innovations, your competitors will fly by you as if you are standing still.

An example…..if you are an owner, and have the option of selecting a contractor that can offer BIM…Building Information Modeling, as part of the contractor’s service compared to the contractor that says …”We build them per the plans and specs” regardless of how the plans and specs work…..which contractor are you going to select.?

Oops…you are not sure what BIM is……that is a problem….you had better attend!!!!

If you are a subcontractor that still picks up plans and specs at the general’s office because you have always done it that way….and you do not want anything sent to you digitally ……you had better attend.  I suspect few GC’s or owners will be distributing plans and specs in this manner in a few years…many do not now!!!  In addition, if you are not even considering On-Screen Takeoff…..say Hi!  To that contractor from the Midwest….you will soon be sharing the same space!!!

If you are a general or a subcontractor that pushes thousands of pieces of paper through your office and seem to always have trouble finding this invoice or that invoice …probably because someone has stuck it in their desk until they can straighten it out……you are a candidate for a paperless office.  Imagine….having one person in you office that will know where every invoice is in the system simply by calling it up on a computer screen….imagine an entire paper trail of a project all accessible in seconds on you computer…organized to your specification.  Hmmm…that might help make you more efficient….and guess what….your competitor is adopting this technology right now….and will soon be looking at you in a rear view mirror!!!!

The point is……you simply cannot ignore the dramatic advances in technology that are available in our industry today…..if you do, you probably will not be around tomorrow!!!

And best of all….the committee has detailed seminars for each of these areas planned during the next several months…..attend this event….see what applies best for your firm….and attend the in depth session in future weeks.

Please click here for registration form.

Please do not hesitate to contact Mandy Parent, Data Net Solutions, Inc., 760-466-1200, mparent@4datanet.com, Jessica Kovack, AGC Staff, 858-874-8560 Ext. 11, jessica@agcsd.org, or Ed Wenz, Reno Contracting, 619-220-0224, edwenz@renocon.com, should you have any questions or need additional information.

 

AGC Holiday Dinner Dance - December 1, 2007

Some traditions are definitely worth keeping….the AGC San Diego Holiday Dinner Dance, which will be held at the Hotel Del Coronado on Saturday evening, December 1, 2007, is one of those traditions.  For over 75 years, the San Diego construction industry has set aside one Saturday evening each December to gather together and celebrate the past year and look forward to the upcoming year. The Holiday Dinner Dance is designed to be an evening of fun to be shared with your peers in the industry….no speeches….no meeting.

The Del defines the Christmas season in San Diego.  For generations, the hotel has been decorated with thousands of lights. Many families make the Thanksgiving “lighting” of the Del one of their holiday traditions.  The AGC Dinner Dance is held in the hotel’s 100+ year old ballroom. The ballroom, which overlooks the Pacific Ocean, is an outstanding venue, and provides the perfect setting for a truly San Diego holiday celebration.

The event usually is a sell out, and this year appears to be no exception.  Members interested in attending are encouraged to respond to the invitation that we have attached.. …the cost is $200 per person for registrations received before November 2^nd and $230 per person for registrations received after that date.  The registration includes a gourmet dinner, entertainment and dancing.

New members are encouraged to attend.  The Holiday Dinner Dance Committee will provide special seating for new members to ensure that the AGC Holiday Dinner Dance will be a special evening. 

This year’s entertainment includes the 10-piece “version” of Rockola. The committee has also hired Mike Carcioppolo and Platinum Productions to provide entertainment during the breaks and prior to dinner…continuous entertainment from 6:00 PM-until midnight.

The event is Black Tie.  Questions?....Please contact Rae Krushensky on the AGC Staff at 858.731.8157 or email at raek@agcsd.org.

Room Block Information

Click here for  information on the AGC Room Block.  Members will be making their own reservations directly with the Hotel Del, so be sure to identify yourself with the AGC to receive the discounted room rate.  Keep in mind, the rooms are selling out fast!  There are only a limited number of rooms in the block, and they might sell out before this Thursday.

Contact Rae Krushensky with any questions at raek@agcsd.org.

 

Governor has Final Say on Legislation – Signs 750 Bills, Vetoes 214
By Dave Ackerman, AGC’s Legislative Advocate

Last March, the AGC San Diego and AGC California Legislative Committee reviewed over 300 new legislative proposals introduced in the State Senate and Assembly.  Positions were established on 106 bills, with AGC identifying 60 bills to support and 46 bills to oppose.

Seven months later, on October 14, just before the stroke of midnight, the Governor finished signing and vetoing nearly a thousand pieces of legislation sent him by the Legislature.  Thirty of the 106 bills which AGC took positions on reached the Governor's desk. AGC supported 13 of these bills and opposed 17.

Following is a summary of the final actions taken by the Governor on legislation identified as a priority to AGC this year.  Since 2007 was the first year of a two year legislative session, many bills and subject issues will be carried over to 2008.

Governor signs 10 bills supported by AGC

AB 1014 – Construction – LA Unified School District.  Allows LA Unified School District  to have access to $600 million additional in school bonds.

AB 1047 – Uniform Public Construction Cost Accounting Act.  Requires the State Controller to inform local agencies about features and benefits of the Act.

SB 161 – Internet bidding.  Requires local agencies to provide receipts for internet submissions.

SB 219 – Academic Performance.  Requires the Superintendent of Public Instruction to modify the Academic Performance Index to include tracking high risk students.  AGC supports increasing performance standards for career technical education.

SB 233 – Design Build for cities and counties.  Allows specific cities and counties to construct wastewater projects using design-build.

SB 416 – Design Build – Counties.  Authorizes any county to enter into design-build contracts.

SB 614 – Design build for schools.  Extends school design-build authorization to the year 2014.

SB 645 – Design build: cities & counties.  Authorizes the Orange County Sanitation District to utilize design-build.

SB 855 – California State University Construction.  Allows the CSU to streamline its revenue bond financing programs.

SB 929 – Prevailing Wage determinations – Overtime.  Protects employers in the event of confusion concerning published prevailing wage rates.
 

Governor signs only one bill opposed by AGC

AB 5 – Flood Management.  AGC joined a coalition of business interests to seek a veto due to potential negative impact on new construction.
 

Governor vetoes 16 bills opposed by AGC

AB 35 – Green Building Standards.  Would have required the Cal EPA to adopt Green Building Standards.

AB 124 – Meal and Rest Periods.  Would have extended meal and rest period provisions to life guards.  The Governor, AGC, and other stakeholders oppose a piecemeal approach to meal and rest periods.

AB 435 – Wage Discrimination.  Would have extended the statute of limitations for an employee to file a civil action against an employer for wage discrimination.

AB 448 – Compensation recovery: liquidated damages.  Would have provided that workers could receive liquidated damages by seeking claims administratively through the Department of Industrial Relations.

AB 504 – Lockouts.  Would have required employers to provide certain restitution for employees during a lockout situation.

AB 608 – State Contracting: Small business preference.  Would have increased the small business preference from $5,000 to $10,000.

AB 888 – Green Building Standards.  Would have required green building standards on commercial buildings of greater than 50,000 square feet.

AB 1043 – Employment Contracts.  Would have prohibited employers from requiring employees to accept certain employment conditions.  Governor said this was a “bill in search of a problem”.

AB 1045 – OSHA – Working Conditions.  Would have required the OSHA Board to adopt specific heat illness regulations.

AB 1058 – Green Building Construction: Best Practices.  Would have required the Department of Housing and Building Standards Commission to adopt specific green building standards.

AB 1710 – Temporary Employees: Responsibility for Workers Comp.  Would have made users of temporary employment services liable for failure of the temp agency to secure workers comp coverage.

SB 18 – Labor compliance programs.  Would have required school districts using 2006 school bond monies to conduct labor compliance programs.

SB 549 – Employee’s right to bereavement leave.  Would have given employees up to four days of paid bereavement leave.

SB 622 – Misclassification of employees as independent contractors.  Would have prohibited willful misclassification of employees as independent contractors.

SB 727 – Unemployment and disability benefits.  Would have extended unemployment benefits to employees who were taking care of a grandparent, grandchild, or parent-in-law.

SB 936 – Worker’s Comp: Permanent Partial disability.  Would have doubled the permanent-partial workers comp benefits over the next three years.
 

Governor vetoes three bills supported by AGC

AB 945 – Transportation Needs Assessment.  Would have required the California Transportation Commission to conduct an assessment of California’s transportation funding needs every five years.

AB 494 – Recycled Asphalt.  Would have established conditions for Caltrans to dispose of concrete in a solid waste landfill.  The author had accepted amendments that removed AGC’s objections.

SB 121 – Year round school construction.  Would have increased the eligibility of the LA Unified School District to receive additional school funding.

The numbers above hold true historically for the last four Schwarzenegger years. The Governor has stayed fairly constant in vetoing slightly more than 20% of the bills that reach him and he has already vetoed more bills in four years (1,019) than Ronald Reagan did in eight years (843).

 

“Total Construction Spending to be up in 2008”, Says AGC of America Economist

Earlier this month, AGC of America Economist Ken Simonson addressed over 80 AGC San Diego members, public agency representatives, and the media about the continued economic uncertainly in the United States and the effect of material and labor costs on the local construction industry.  We have attached an article from the Daily Transcript’s Erik Pisor that gives a good summary of Ken’s presentation.

Some note-worthy numbers from Ken’s presentation for 2008:

·         Total construction spending up 1-5% (led by an increase in non-residential spending by 3-7%)

·         Material costs up 6-8% (possibly higher for local asphalt, concrete, cement)

·         Labor costs up 5-6%

·         Costs for architectural and engineering services up 3% (however, this is a good leading indicator that construction should remain strong for the next year!)

All in all, a thorough report from our Chief Economist, Ken Simonson!   If you would like a free subscription to Ken’s weekly one-page e-mail newsletter covering economic developments, including cost and supply issues, affecting construction, please e-mail Ken at simonsonk@agc.org.  He can also be reached at 703-837-5313.

 

 

Reminder: Build San Diego- Awards Banquet Luncheon- This Thursday, November 1st

The Build San Diego Awards luncheon will be held this Thursday, November 1, 2007, with the reception beginning at 11:00 AM at the Manchester Grand Hyatt, downtown. Over 400 members and guests are expected to attend this event, which features the “best of the best” of San Diego’s construction projects during the past two years. The membership competed in the following categories:

• Building Construction- Public

• Building Construction- Private

• Unique Small Project- Public

• Unique Small Project- Private

• Heavy/Highway

• Unique Special Project

 

“AGC Education & Training….Building a Solid Foundation”
 

Safety Training Classes

OCTOBER
CPR/First Aid – October 31 Click here for flyer / Click here to register

NOVEMBER
Spanish OSHA- 10 Hour – Nov 16- Click here for flyer/ Click to register
Trenching & Excavating – Nov 21- Click here for flyer/ Click here to register
CPR/First Aid- Nov 28 – Click here for flyer / Click here to register
 

Construction Education Training Classes

NOVEMBER
Auto CAD- Nov. 5-6 – Click here for flyer/ Click to register
CQM- Nov 6 and 7- - FULL, (December class is open- click here)
Timberline- Nov 7-9 – Click here for flyer/ Click to register
AGC CLOSED Monday, Nov. 12 for Veterans Day
Project Mgmt Course-  Nov. 13
Microsoft Project – Nov 15-16- Click here for flyer/ Click to register
PowerPoint – Nov 20- Click here for flyer/ Click to register
AGC CLOSED- November 22 and 23 for Thanksgiving Holiday
Project Mgmt. Course – Nov 27
Blueprint 102- Nov 28- Click here for flyer/ Click here to register

 

All committee meetings are held at AGC unless indicated otherwise

NOVEMBER
Nov. 2 – Technology Trends in Construction- 7 AM
Nov. 6 – Meetings & Events Committee Meeting- 11:30 AM
Nov 6 – Foundation for Success Meeting- 12 PM
Nov. 7 – Public Building Liaison Meeting – 7 AM
Nov. 7 – Safety Committee Meeting – 7 AM
Nov. 8 – AGC Board of Directors Meeting – 7 AM
Nov. 13 – Navy Liaison Meeting – 11:30 AM
Nov. 15- Affiliate Members Council- 12 PM
Nov. 20 – Human Resources Practices Meeting – 11 AM 

AGC Toastmasters- Every other Wednesday- 7 AM at the Roel Training Center. Click here

For more information, please contact the President of Toastmasters for AGC, Mandy Parent at mparent@4datanet.com

 

UPCOMING AGC EVENTS
November 1 - Build San Diego Awards  invitation
November 14 – AGC Tech Briefing 8AM-1PM
December 1- Holiday Dinner Dance- Hotel del Coronado
December 13- Annual Meeting- Hilton Mission Bay
January 29- Installation Dinner- La Jolla Hyatt

SAVE THE DATE – 2008  
Spring Conference in Cabo San Lucas, Mexico – April 17-20, 2008 –click here for brochure