August 2023

ABC Keystone Leadership

2023 Executive Committee:

CHAIR of the BOARD

Steve Conway

Pyramid Construction Services, Inc. A Quandel Company

CHAIR-ELECT

John Lehmann

Poole Anderson Construction, LLC

1st VICE CHAIR Guy Kingree, IMC Construction

2nd VICE CHAIR

Steven Kearns, James Craft & Son, Inc.

SECRETARY Ed Engle, Smucker Company

TREASURER

Timothy A. Kershner, CPA, Walz Group

2022 CHAIR Keith Eldredge, CPA, RKL

2023 Board of Directors:

Eli Ace, Nexen Construction, LLC

Robb Beiler, Quality Buildings, LLC

Jeff Bright, Saxton & Stump Lawyers and Consultants

Roger S. Brubaker, MVE Group

Scott Duke, The Witmer Group

Joe Finkey, Martin’s Flooring

Michael L. Fiore, Leonard S. Fiore, Inc.

Brian Floyd, EPIC Insurance Brokers & Consultants

Ken Funk, Arthur Funk & Sons, Inc.

John H. Hykes II, B&B Integrations

Anthony Leer, Leer Electric, Inc.

David H. Oblender, EHD

Matt Shehan, Benchmark Construction Company, Inc.

Jan L. Wagner, Wagman Construction, Inc.

Scott Wengrenovich, Murray

Jeff Witmer, Pathway Business Advisors

MID-YEAR UPDATE ON ABC KEYSTONE

With 7 months officially in the books, I wanted to take a moment to reflect on ABC Keystone’s accomplishments in 2023. As I wrote in my first message of the year, ABC Keystone sets annual goals around our strategic plan and the staff and board track the progress monthly to ensure the goals are met to the best of our ability.

Retention of membership is a bellwether for the health and well-being of the organization. Engaged members that feel they are receiving value tend to remain committed. I am happy to report that this year, our retention is 90.3%, the 3rd year in a row that we have been able to stay over the 90% mark.

Coupled with retention, we are always striving to add new members to the organization. As of the end of June, new membership was at 28, on track for another growth year. The summer months are generally slow for growth, but membership continues to grow at a reasonable pace. Board members and members at large continue to sponsor peers in the industry, allowing for growth and new opportunities.

Educating and influencing the youth in our region about the abundance of opportunity in our field of work is imperative to the success of all our businesses. ABC continues to grow our articulation agreements and pre-apprenticeship programs in the surrounding school districts. Currently we have 42 partner agreements in place, surpassing our goal of 40 for the year. In conjunction with garnering interest in the industry, ABC Keystone celebrated its 50th Anniversary Apprenticeship Graduation, graduating 98 journeymen to the industry.

2023 ACCOMPLISHMENTS

• RETENTION is 90.3%, the 3rd year in a row

• MEMBERSHIP on track for another growth year.

• 42 PARTNER AGREEMENTS

Surpassing our goal of 40 for the year.

STEP participation is at a recent high, with 23.3% of our contractor members enrolled in STEP, which is 70% of our 30% contractor participation goal. As I’ve mentioned in the past, safety is arguably the most important element of our industry. Though it is disappointing to see that we are likely not going to hit our goal, it’s encouraging to see that more members are starting to see the value in the program and taking advantage of the opportunity to enhance their culture of safety.

Event attendance and member involvement in educational classes is up from 2022, with 3,659 participants to date. This is a key indicator that our members are engaged, and the organization is offering the right mix of opportunities. Heading into late summer and early fall, we have some great events such as the Clay Shoots, Summer Mixer, and Tailgate Party to mention a few. If you haven’t already done so, don’t forget to register for these events.

Lastly, we have hosted over 25 State legislators at ABC events to date. Remaining connected to our legislators in Harrisburg is key to ensuring that our voice is heard. We continue to garner support from our friends in the legislature as well as local county commissioners and representatives alike. With issues such as PLAs, RCOs, licensing bills, and anything else construction related, it is imperative that we continue to foster these relationships.

As you can see, ABC Keystone is having once again another very successful year. I want to thank all our members and industry partners for their support and willingness to engage on a united front.

• STEP PARTICIPATION is at a recent high

• EVENTS & EDUCATION 3,659 participants to date

• CONNECTED TO OUR LEGISLATORS

25 State legislators at ABC events to date.

Steve Conway Pyramid Construction Services, LLC A Quandel Company

HOW DO WE MEASURE UP?

When we look at the achievements of the Keystone chapter, how do we know how good we are? One way is to compare ourselves with the other 67 chapters nationwide through a process called "Chapter Accreditation."

All chapters are required to go through an intensive accreditation process with ABC National. At the conclusion, you earn a 1-year, 2-year, 3-year, or 4-year accreditation. Since the accreditation process began, Keystone has always received a 4-year accreditation, also known as a “High-Performing Chapter.” Due to Covid, the last time we were through the process was in 2017. So how does Keystone stack up in 2023?

This year's process was more intense, with no bonus points as in the past. The staff began working on the process after the first of the year, knowing we would be sitting in person for our accreditation in July of this year. This year's approach focused on the following five areas: Chapter & Financial Management, Leadership Development, Membership, Program & Services, and National Participation.

After sitting down with staff from National ABC, our Board of Directors was informed that we would receive a 4-year accreditation. We acquired a score of 1060 points out of a possible 1120 points. Our breakdown was as follows:

We can achieve this goal because of YOU, the members, a working board of directors, and a dedicated staff. Keystone has never been less than a "High-Performing Chapter," and we need to continue to work to maintain this status. You, the members, are the drivers. The board is the strategic planner based on member input, and the staff is an operational tool to make it happen.

I thank each of you for what you do to advance the merit shop philosophy and your work, promote ABC and advance the entire construction industry. Together we will continue to be successful and maintain the Keystone "IT" factor.

New STEP Focus: Workers’ Overall Wellness

By Mary Lou Jay for Building Washington Magazine

For over 30 years, ABC has helped contractors protect the physical safety of their employees on the job site through the STEP Safety Management System. Now the association is expanding on STEP with the introduction of the Total Human Health Initiative, or THHI. THHI “encompasses actions, initiatives and policies that emphasize the health, well-being and livelihoods of workers … [it incorporates] a whole-person approach to engage a person’s body, mind, heart and soul.”

Toolkit Provides Roadmap to Wellness

The people who developed THHI included construction industry and safety professionals and mental health professionals. The committee members ref-

erenced resources like the National Institutes of Health’s Emotional Wellness Toolkit, and information from the Substance Abuse and Mental Health Services Administration and the National Alliance on Mental Illness.

The results of their efforts can be found on ABC’s Total Human Health Initiative (abc.org/Safety/Total-Human-Health) resources page. The page has links to materials that companies can use during Suicide Prevention Month in September, such as posters, social medial toolkits and toolbox talks. The page also provides links to articles and resources that companies can share with their workers.

In the Total Human Health Resources for Leadership section, companies will find a comprehensive toolkit developed specifically for this program as well as an assessment they can use to determine where they are on the road to promoting total human health.

The toolkit contains suggested activities that companies can use to encourage conversations about each area with small groups of employees or with the entire company. It provides detailed, step-by-step instructions for toolbox talks, workshops and helping employees create their own personal wellness toolkits.

The Total Human Health Assessment provides a way for contractors to measure how far they have progressed (or need to progress) in each of THHI’s four categories. It lists questions that companies should ask themselves, and provides four scoring categories: “Not on our radar,” “Planning phase,” Under construction,” and “Fully integrated.” It also provides specific steps that companies can take to improve their performance and move up the scale.

As summer draws to a close, ABC Keystone members gathered together to celebrate summer with a great night of networking, food and music at John Wright Restaurant in Wrightsville, PA.

The Chapter welcomed our newest members:

• C&N Bank - York, PA

• DEWALT® - Towson, MD

• Lancaster Prefinishing - Lancaster, PA

• Reflections Window Washing, LLC - Huntingdon, PA

• S&T Bank - Lancaster, PA

• Sherwin-Williams® - Harrisburg, PA

• Temporary Wall Systems Allentown-Lancaster Honey Brook, PA

• The Contractors Plan® - Austin, TX

THANK YOU TO OUR PRESENTING SPONSOR

JIM WILLSHIER ABC KEYSTONE, DIRECTOR OF GOVERNMENT AFFAIRS

Elections: Are Right Around the Corner.

As August arrives, more people scramble to cram in last-minute vacations before the kids return to school or prepare for another football season. While it may seem far off, look at this month as being that much closer to our next important election.

Our municipal elections will be on November 7, and includes local offices that are key to our personal and work lives: school board, county commissioner, judges, and others that are too long to list depending on where you live. There are also some critical dates between now and then, like the last day to register for voting (October 23). But here’s the crucial question about those dates: do you know who you’re voting for? If you don’t know the answer to that question or where those candidates stand on key issues, you need to start doing homework between now and then.

This election is knocking on your front door, whether it’s concern about culture wars in your school system, construction projects you’re directly involved in or will see in your community, or where your local tax dollars are being spent. Judicial races will determine legal precedents, and for our state supreme court, that will bring us several vital decisions for their ten year-term.

I would like your attention to start looking into who is running for your local races and find opportunities to meet with them as they attend as many public events as possible on the way to Election Day. There will be more endorsements for local candidates coming forward that might help inform you, too (ABC Keystone has a political action committee but is not making formal endorsements in any races this fall). The most crucial part is that you plan to vote and know who you will vote for in November.

For anyone still skeptical or not concerned, please read through past issues of this publication, and read about local Responsible Contractor Ordinances (RCOs) adopted by these same local officials and potentially will be before a judge in the near future. Think about how invested your public officials are in the community and how much they know about your company. This is your last opportunity to reach out to educate them on what you’re doing in the community as much as you need to educate yourself on those running for office.

The consequences of not doing so will have a ripple effect for years to come.

2023 2023 SCHOLARSHIP WINNERS

ABC Keystone Chapter recently awarded scholarship funds to 11 individuals through the Merit Shop Training and Research Center. Awardees either reside in the Chapter’s service area or will attend a trade school, college or university program that is in the Chapter’s service area. All are seeking an education directly related to a construction career.

Applications are reviewed by distinguished industry professionals serving on the Scholarship Selection Committee of the Merit Shop Training & Research Center, Inc. The scholarships are awarded solely on the basis of merit and without regard for the race, color, religion, national origin or gender of applicants.

The Merit Shop Training and Research Center was Associated Builders & Contractors, Keystone Chapter (ABC Keystone) as a non-profit fund whose mission is to provide financial assistance to students who have chosen construction-related career paths. The Center is funded by members of the Chapter, who have taken upon themselves the responsibility of being proactive in assisting men and women in their preparation for this industry. The Center has awarded over $574,850 since its inception.

ABC Keystone congratulates the 2023 Merit Shop Training and Research Center scholarship winners!

Matthew Bear

Andrew Hackleman Zachary Karpel

Carpentry Technology

Thaddeus Steven College of Technology

Construction Management Bowling Green State University

Mechanical Engineering Liberty University

For more information visit: abckeystone.org/scholarships/ or contact terri@abckeystone.org

Applications are currently closed for this year.

Tracy Kinzer

Maggie Swarr

Jayden Watts

Margaret Webb

Casey Tippett

Dominic Viozzi

Luke Moser

Luke Redcay

Civil Engineering Penn State Harrisburg Architecture O'More School of Architecture

Construction Management Millersville University

Civil Engineering Shippensburg University

Mechanical Engineering Penn State Harrisburg

Civil Engineering Bucknell University

Civil Engineering York College of PA

Civil Engineering Messiah University

Lee Summers

A Day in the Life of an Estimator

The alarm rings; it’s 5 am. Time to get ready for work. It’s bid day.

You scuttle into the office early today. There’s so much to do. The bid is due by 2 pm today. You pull up your email and find a dozen or more quotes from different vendors—time to start verifying. You mill over the numbers, cataloging each as you confirm scope and quantities. You notice a discrepancy on one of them. You hurriedly reach out and try to correct it before the bid goes in. It’s 12:30 pm. You realize you’re still missing several vendor quotes. You start to sweat. So much work to do in an hour and a half. But you’ve been here before and know you’ll get it done just under the wire.

This dialog sounds familiar to many of you who serve in an estimating role for your company. Being a construction estimator is among the most challenging and mentally taxing jobs. There are many moving parts and components to review, and ensuring accuracy is paramount. There are many considerations about how much risk you will take to win a project. It can be one of the most stressful positions, yet one of the most rewarding when you get that call that you were the low bidder. Let’s review the process from Request for Proposal to submitting your bid.

1 2 3

Request for Proposal: These typically come to your inbox from various trade partners and can run the range from 100% bid spec documents to requests for design-build budgets based on 30% drawings and very little information. Trade partners rely on each other throughout project development to establish and maintain project budgets and to help find ways to be as competitive as possible. Specialty companies can offer value add and cost-saving services, including prefabrication and in-house value engineering. These components can be critical to help win jobs.

RFI’s: When information on the bid documents is unclear or unspecified, RFI’s are sent. These “Requests for Information” can range in complexity from something as small as a missing dimension to misaligned components on the drawings. Sometimes products aren’t specified. Sometimes architects and engineers use old or outdated specifications, and products are no longer available. It is critical for the estimating team to carefully review the documents and specifications early in the bid process so there is time for RFI’s to be sent and answered before bid day.

Alternates: Customers often want more than they can afford, so alternates are a way for customers to review a menu of options and see what fits into their overall project intent and budget. By providing “a la carte” options to the job, it can help the customer prioritize their desires and offers an opportunity for additional work potentially as the project progresses.

Bid Date: Ultimately every estimate has a due date. Sometimes this due date is established when the initial RFP is sent. Occasionally this date is extended to accommodate the responses to the RFI’s and addendums. The challenge with a hard bid date is that almost all vendors know there will be changes along the way, so they like to wait until very close to bid time to submit their pricing. This limits how much they need to reissue modifications and ultimately helps them to be more efficient. But it makes it challenging for estimators when we have so much information to review for accuracy before selecting a vendor to include in our bid.

You submit your bid just in time. Now you wait. Sometimes hours. Sometimes days. Sometimes weeks, depending on the complexity of the job and the number of contractors you’re competing against. In the meantime, more RFPs come out, and you’re unsure how many you should bid. You ask your trade partners for updates. They have none. Your latest bid request is due in 3 days to start the process again.

Being a construction estimator is a constant dance of maintaining good relations with trade partners, vendors, and customers. Ensuring your bid is accurate will limit the number of change orders to the project and ultimately helps the project team feel more confident and comfortable using your bid when they submit it to the project owners. It’s truly a difficult task to ensure jobs are profitable while being competitive, but that’s the name of the game. If you’re in the market for a career change, estimating might be the high-stakes position you’re looking for.

Would you like to be featured in the next Young Professionals Perspective?

Contact: Emily Winslow at emily@abckeystone.org

MATT STOLTZFUS

GENERAL MANAGER

matts@lancasterprefinishing.com

(717) 715-1505

www.lancasterprefinishing.com

Tell us about your company?

Lancaster Prefinishing started in 2019 out of a need for preconstruction finishing for clients of our sister company, Prestige Painting. We provide preconstruction painting, staining, and finishing of siding, timber frame, and lumber packages. Our mission is to provide the highest level of customer service, workmanship, and products tour our clients through a team spirit of excel

How long have you worked for Lancaster Prefinishing?

I've been with Lancaster Prefinishing for about two and a half years.

What is the bets part about the work you do?

My favorite part about working for Lancaster Prefinishing is interacting with clients, building a strong company culture, and creating an environment that our employees love to be a part of.

What is the best business advice you've ever received?

You can't hold your team accountable to expectations you didn't clearly set.

How did you get involved in the industry?

I was asked to lead the Lancaster Prefinishing team.

Did you know??

We can save our clients substantial time and money by prefinihsing their project prior to installation.

DIAMOND SPONSOR SAPPHIRE SPONSOR

PREMIER SPONSORS

PLATINUM SPONSORS

GOLD SPONSORS

Acuity Advisors and CPAs, LLP

Barley Snyder

CB Construction Services, Inc.

CV Services, Inc.

EHD

Garrety Glass, Inc.

D.E. Gemmill, Inc.

Grudi Associates

Hess Auctioneers, LLC

High Construction Company

Horst Construction Co.

MVE Group

Martin's Flooring

M. Potteiger, Inc.

Providence Engineering

RKL

RSR Electrical LLC

Saul Ewing LLP

Smucker Company

Trout CPA

Wickersham Construction & Engineering, Inc.

SILVER SPONSORS BRONZE SPONSORS

Associated Products Services, Inc.

Bertz, Hess & Co.

Broderick's Landscape Contracting, LLC

Brown Schultz Sheridan & Fritz

C Mechanical Services

C. S. Davidson, Inc.

ECS Mid-Atlantic, LLC

Harmon & Davies, P.C.

Hursh Painting Co., Inc.

Leer Electric, Inc.

GR Mitchell, Inc.

Paramount Contracting, Inc.

Remco Inc.

Silvertip, Inc.

Team Lewis Landscaping

R.A. Walton & Company, Inc.

Weaver Superior Walls

The Witmer Group

Commonwealth Fire Protection Co.

Fulton Bank

Haller Enterprises

ONYX Design and Consulting, LLC

Stonebridge Financial Group

ASK AN ATTORNEY

Who is an Independent Contractor?

By: Tom Davies Harmon & Davies, P.C.

This is a critical question for construction industry employers and each reader probably has their own idea as to the proper answer. Unfortunately, it doesn’t matter much how you or I would answer this question, but it matters a great deal how the relevant legal authorities answer it. Since the passage of the Construction Workplace Classification Act in 2011 (Act 72) the Pennsylvania Department of Labor & Industry has been charged with enforcing the statutory definition found therein. As set forth in her April 2023 report titled ADMINISTRATION AND ENFORCEMENT OF THE CONSTRUCTION WORKPLACE MISCLASSIFICATION ACT Acting L&I Secretary Nancy Walker stated:

Act 72 prohibits contractors from treating construction employees as independent contractors. The Act provides that for a worker to be deemed an independent contractor, the worker must:

1. Have a written contract to perform services

2. Be free from control or direction over the performance of work under contract.

3. Be customarily engaged in an independently established trade or business.

There are six factors that establish an independent trade or business:

1. Worker possesses his/her own essential tools and equipment.

2. Worker realizes profit or loss through services.

3. Worker has a proprietary interest in business through which services are performed.

4. Worker has a business location separate from the location where services are provided.

5. Worker previously performed similar services for others, holds himself/herself out to do work for others, and is free from direction or control of the contractor.

6. Worker maintains liability insurance of at least $50,000.

Notice the highlighted language. To meet the Act 72 requirements, you must have a written subcontract with each independent contractor. Also note that the prongs of both set of tests contain the word “and” which means that each element must be met. As Attorney General, Josh Shapiro vigorously enforced this statute, and it must be assumed that his administration will continue to do so. There are some pending legislative proposals that might tweak Act 72, but the important points will likely remain unchanged.

At the federal level, the National Labor Relations Board, in a decision issued on June 13, in The Atlanta Opera, Inc., the Board returned to the Obama era FedEx Home Delivery (2014) standard for determining independent contractor status under the National Labor Relations Act (the Act), and overruled the Trump Board’s more employer favorable ruling in SuperShuttle (2019). Also, although apparently delayed by the difficulty in confirming a new Secretary of Labor to replace Marty Walsh, the DOL will soon be publishing its own revisions to the tests for establishing independent contractor status.

As is apparent, the answer to the question “Who is an independent contractor?” continues to be one generating a lot of interest and construction industry employers face significant risks if they improperly classify workers as independent contractors rather than employees. Make sure you have written contracts with each independent contractor and that they meet all of the other tests set forth above. It is strongly recommended that you seek legal counsel if you have any doubts about your current practices.

Career Development Education, Safety Training & Networking SEPTEMBER

135 Shellyland Road

Manheim, PA 17545

Sponsor an ABC Keystone event! Our major events provide resources and opportunities to learn, celebrate, engage, and grow throughout the year. This is a great way to advertise your company and expand your network.

SPONSORSHIP OPPORTUNITIES

Contact: Emily Winslow

emily@abckeystone.org

UPCOMING EVENTS

9/14 Nittany Valley Clay Shoot

9/28 Clay Shoot

10/11 Fall Construction Wars

FALL Fall Regional Construction Wake-up Calls

10/19 Tailgate Party

Presented by: Barley Snyder

11/9 34th Annual Excellence in Construction Awards

Presented by: ABC Insurance Trust

SCAN FOR EVENTS

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