THE
UNDERGROUND NJLICA’S QUARTERLY PUBLICATION FALL 2023
MEMBER SPOTLIGHT: Highway Equipment Company celebrates 90 years.
PLUS: How to qualify for clean vehicle tax credits, why a succession plan for your business is important, and dismounting your equipment safely.
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HARD WORK. RELIABILITY. PRIDE. It’s what matters. You’ve worked hard to construct a reliable business that takes pride in excellent workmanship. That matters. UFG Insurance knows the importance of protecting the reputation you’ve built. As the carrier of choice, we’re proud to offer members of the New Jersey Chapter of LICA a special opportunity to participate in our trusted state LICA insurance program. Receive products and services tailored to unique industry needs, including comprehensive risk control. Exceptional customer service that doesn’t end when a contract is signed.
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CEDAR RAPIDS, IA © 2022 United Fire & Casualty Company. All rights reserved.
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LETTERS
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NJLICA BOARD OF DIRECTORS
I hope this message finds everyone well. This will be my final president’s message. Having served three two-year terms, it’s time that I step down. NJLICA has come a long way during the past six years. We have accomplished a great deal with the help and vision of the board of directors and the board of trustees. NJLICA has become the largest chapter in the country and continues to provide many benefits for our members. It was my pleasure to serve this association and assist in putting many programs in place. A special thank you to our executive director, Buddy Freund, for his devotion to NJLICA. Many of our accomplishments would not have been possible without Buddy putting ideas into action. I am very confident that our association will be in capable hands. Incoming president Dennis Mikula Jr. of Mikula Contracting and vice president Mark Krutis of Krutis Excavating will provide the leadership moving forward that NJLICA needs and deserves. We have a very strong board of directors and board of trustees whose members consist of contractors like yourself, who understand your challenges. They continually come up with solutions. The most recent addition to our team is the firm of Komjathy & Kean, lobbyists based out of Trenton. They will be our watch dogs for legislation that affects our business.
I want to stress that our Apprenticeship Program is up and running. However, it can go away in a heartbeat if we, the members, don’t contribute by placing an apprentice in the program. We have great incentives for both students and business owners. Remember you don’t need to hire a new employee to place them in the program. You can place an existing employee in the program for operator, laborer, or truck driver at no additional cost to you. In fact, they will receive all the safety and on-thejob training that you would otherwise be responsible for. We are working on options for training facilities around the state to ease the burden of travel for classroom instruction. I hope to see you all at the Holiday Awards Dinner on December 7, where we will pass the baton to our new president and vice president, along with our board of directors that work so hard to make NJLICA the most valuable tool in your toolbox to help you run your businesses. In closing, I promise you that I am not going anywhere. I will be very involved in continuing the growth of NJLICA. Thank you for this great opportunity serving as your president. Respectfully, Ron Garofalo NJLICA President
Ron Garofalo, President DAG Mobile Aggregate Recycling, Inc. Dennis Mikula, Jr., Vice President Mikula Contracting, Inc. William J. Esposito, Historian Espo's Tree and Crane Service Frank C. Del Guercio Tilcon NY Warren Gonzalez Foley, Inc. Shelly Hewson Hewson Landscape, Inc. Frank Horan Groff Tractor Mid Atlantic, LLC Mark Krutis Tom Krutis Excavating, Inc. Bob Manis North American Aggregates Joe Mayers Septic Experts, LLC John Rothberg L.N. Rothberg & Son Dave Vander Groef Wantage Excavating Co., Inc. Chris Wagner Twin Construction, LLC
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Buddy Freund, Executive Director
COVER PHOTO BY QUINGHILL, UNSPLASH; PHOTO PAGE 5 BY FLY&I, UNSPLASH
FIELD GUIDE Legislative News 8 Risk Management 9 Safety Perspectives 11 Money Talks 12 Legally Speaking 14 Equipment Manual 17
CONTENTS
FEATURES Member Spotlight 20 NJLICA News 21
DISPATCHES Member Benefit 26 New Members 29 Events 32 Contact Information 38 Advertiser’s Index 38
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NJLICA is looking for
LABORER AND OPERATOR APPRENTICES
How Can Apprenticeship Training Help Your Company? • Instill your company’s culture and retain workers • Recruit and develop a diverse and highly skilled workforce • Improve productivity, profitability, and your bottom line • Reduce turnover, improve loyalty, and retain top talent • Demonstrate investment in your community
New hires and/or existing employees or Hire an apprentice from the NJLICA Apprenticeship Program
This Education Has Two Facets: On The Job Training and Classroom Instruction
Your Apprentice will Learn and Produce Better Quality Work, Moving You Forward at No Additional Cost to the Employer! For Questions Or To Enroll Your Apprentice Today Simply Contact: Buddy Freund, Executive Director At Buddy@govisionstrong.com 973-630-7600
NJLICA • PO Box 166 • Succasunna, NJ 07876 • www.NJLICA.org
SPRING/SUMMER 2023
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LEGISLATIVE NEWS
RECORD INFRASTRUCTURE FUNDING BRINGS POLICY CHALLENGES, OPPORTUNITIES During my 40 years working in federal construction policy and legislation, I have seen the highway construction markets grow, coupled with the introduction of federal regulations that have at times challenged the industry and often frustrated contractors. The industry’s focus on major highway bills has always been about funding, but within every bill there are numerous environmental and social requirements — diversion of funds for bike paths, emissions and water environmental requirements, mandated crumb rubber or other waste product use, and employment set asides — which the industry must adopt. New Jersey elected officials played a leadership role in developing and passing significant infrastructure funding and policy that has shaped the federal highway program. Senator Frank Lautenburg and Representatives Jim Howard and Robert Roe led transportation efforts that increased funding, but also brought significant policy changes to the highway program. Today, Senator Cory Booker has carried on the tradition of advocating for increased investment and has ushered in environmental and social policy changes aligned with the Biden Administration. While highway funding is a perennial issue for the construction industry, the passage of the Infrastructure Investment and Jobs Act (IIJA) in 2021 and the Inflation Reduction Act (IRA) in 2022 provided record amounts of infrastructure investment. These historic infrastructure bills have ushered in a new industrial age for the construction industry, and more specifically the asphalt pavement industry, an era whose policy agenda objective is significantly focused on reducing carbon emissions. Many states, including New Jersey, are responding to this change. A paper recently published in the Harvard Business Review, “The New Era of Industrial Policy is Here,” describes how governments around the world are responding to global challenges such as climate change by intervening in the private sector through industrial policies to achieve goals that traditional markets are not likely to achieve on their own. The paper describes the various ways the government can establish new industrial policies, and one of those ways is through supply-side tools. Tax credits and grants for low-carbon asphalt plant technologies included in IRA are an example of giving asphalt companies incentives to invest on such technologies. On the demand-side, another form of industrial policy, grants, and incentives for low-embodied carbon asphalt mix are expected to increase the size of the market for low carbon construction materials. You can see this combination of supply-side and demandside industrial policies in President Biden’s economic vision centered around an all-of-government strategy to combat the climate crisis through direct public procurement of low-embodied carbon asphalt and investment in industry through tax subsidies and grants. 8
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BY NICK YAKSICH
Through these actions the federal government is pushing the asphalt pavement industry to work with its upstream and downstream supply-chain partners to achieve commercially successful outcomes aligned with Biden’s industrial policy, a 50-52 percent reduction from 2005 levels in economy-wide net greenhouse gas pollution by 2030. The question then is do business leaders in the asphalt pavement industry want to comply with the demand-side policy of providing low-embodied carbon asphalt mix, and accept the supply-side subsidies for low-embodied carbon manufacturing technologies? Anecdotally, I would say it is too early to tell, but my sense is there are some business leaders in the asphalt pavement industry who are beginning to understand the implications of this new industrial low carbon policy. These business leaders are interested in understanding the new opportunities presented by both IIJA formula programs and grants, and they are interested in applying for the IRS 48c tax credit of 30 percent to swap out aging technology at asphalt plants for newer, cleaner technologies to reduce all emissions. KPMG International recently released its 2023 Global Construction Survey, “Familiar Challenges, New Approaches,” that identifies this trend. Three-hundred engineering and construction (E&C) firms from around the globe participated in the survey. On the question of environmental, social, and governance (ESG), the survey found 91 percent of the E&C respondents see a benefit in ESG, and 54 percent from that group are aggressively pursuing the issue. Why? According to the survey, they see reputational enhancements (e.g., zoning an asphalt plant) and competitive advantage (e.g., growing market share) in doing so. And while owners such as state governments may be more concerned with reducing GHG, according to the survey, construction firms are beginning to grasp the value of giving the customer what it wants: low-embodied carbon asphalt pavement. Respondents listed energy efficiency, reducing construction waste, and more efficient use of materials as key strategies to meet the new industrial policy objectives. Highway bills used to be strictly about how much funding for asphalt and concrete but have evolved over the years to include a broader range of national priorities, like reducing our carbon emissions, recycling of waste products, and better management of water runoff. It’s a tradeoff that should be a win-win for the industry to create new business opportunities and the public for a better environment. Nick Yaksich serves as the director of Government Relations for LICA.
NEWS FROM TRENTON BY ALADAR G. KOMJATHY We are working with the Legislature and administration on the upcoming new administrative rules regarding the Dirty Dirt Legislation A-901 licensing. The concern is the breadth of the individuals and companies requiring a A-901 license may go beyond legislative intent. Discussions are occurring with NJDEP and Senator Robert Smith, chairman of the Senate Environment and Energy Committee, and Assemblyman Jim Kennedy, chairman of the Assembly Environment and Solid Waste Committee. This issue has also been brought to Senate President Nick Scutari’s attention at the recent CIANJ board meeting. He indicated he will work with us on a possible legislative fix. On November 7, all 120 New Jersey legislators are up for reelection. There is an opportunity for Republicans to continue to win following the six seats they picked up in 2021. South Jersey is changing. The Republicans now control the 1st, 2nd,3rd, 8th, 9th and 10th districts. This year the 4th district is also in play. In 2021, the Republicans won two assembly seats in the 11th, the only split district in the state. Consequently, these Monmouth County races are the hottest in the state. Three issues are resonating with independent voters:
While it is exciting that changes are perhaps on the horizon, flipping either chamber is unlikely. It is anticipated that for the next session, beginning on Jan. 9, 2024, Scutari and Assembly Speaker Craig Coughlin will maintain their leadership positions. However, the loss of democratic seats will cause reflection and moderation concerning future policy. The Senate and Assembly have already published their “lame duck” session schedule, and Nov. 20, 2023 through Jan. 9, 2024 promises to be very busy. Over a third of the current legislators are either retiring or moving to the upper chamber. Legacy legislation, important to individual members, will be posted. Smith has promised to try to move S-2978, which will revise the state’s renewable energy portfolio standard, requiring each electric power supplier to sell a certain percentage of electricity from renewable energy sources by 2030. Remember to watch for your “vote by mail” ballot or vote early beginning October 28, or vote on November 7. Both Eileen and I look forward to working with NJLICA to advance your concerns to the executive and legislative branches of government.
Wind energy/turbos allegedly causing dolphins and whales to die. The wind investment is too expensive and will hurt consumers; State lawsuits against school boards because they inform parents of their children’s transgender decisions; Governor Phil Murphy declaring only gas stoves and electric vehicles will be allowed by 2035.
Aladar G. Komjathy is a managing partner with Komjathy & Kean LLC. The company represents NJLICA’s interests in Trenton with both the legislative and executive branches of government.
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RISK MANAGEMENT
PHOTO BY JOSHUA SUKOFF, UNSPLASH
LLOYD'S OF LONDON: A SHORT HISTORY Coffee began to be imported into England in 1652. With the rising popularity of the drink, coffee shops began to appear, and Edward Lloyd opened his shop in 1686. Ship owners, captains, and merchants frequented his coffeehouse and talked about the shipping news of the day. They talked about vessels leaving and vessels returning with their cargo, and English ships sailing from England to India. The trip to India was long and hazardous, and it took six months to travel down to the tip of southern Africa, around the Cape of Good Hope, and across the Indian Ocean to reach their destination; 6,297 miles in all. It was a difficult task tracking merchant ships to and from India and other parts of the world. Any news from a captain
BY MICHAEL PUGACZEWSKI about any vessel he may have seen during his journey would be important news. Five percent of all merchant sailing vessels never returned to their home port. They were lost at sea because of shipwrecks, pirates, privateers, rival warring powers, or weather. Illness was also a factor. Scurvy, dysentery, and dirty onboard conditions took their toll. Sir James Lancaster left England during 1601 on a trading expedition with 480 men and lost 100 of them from illness by the time he reached the Cape of Good Hope. During the 17th and 18th centuries, England was also at war with one European country or another. During this time, they fought with Spain, Portugal, Netherlands, and France. English merchant ships were attacked by these rival powers and their priFALL 2023
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SNOW PLOWING: INCOME VS. OUTCOME If you want to change your snow plowing income, you must change the outcome. The cost of snow plowing operations and insurance are so expensive because most snow plow contractors agree to be responsible (knowingly or unwittingly) for claims and accidents that they have very little or no control over. To protect yourself from snow plowing related claims and lawsuits, put the law on your side. The most successful snow plow contractors do it! If you have decided that you need to change “how you do, what you do” to be more profitable, this information will help you. Follow the following steps for a very cost effective and profitable snow plowing operation. Incorporating a complete loss control and risk management snow plowing procedure 10
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1872 there was a significant fire in Boston, and Lloyd’s promptly paid out 1 million English pounds to satisfy its insureds. In today’s dollars, that would be $176 million. Americans were impressed. Over the years, Lloyd’s has played a role in paying claims for the San Francisco earthquake and fire, oil rig losses, the World Trade Center attack, California fires, and various hurricanes. In 1984 they even successfully salvaged two defective satellites orbiting the earth. A shuttle and five astronauts performed the job. There were several times since Lloyd’s coffee house days that Lloyd’s underwriting losses have strained its capacity to pay. From 1987 into the 1990s, unforeseen U.S. asbestos claims for pollution and health problems created a tremendous strain on its financial resources. Coupled with the Piper Alpha disaster, which was the largest producing oil rig platform in the North Sea, and hurricane and fire losses, Lloyd’s reeled under financial strain. The financial impact caused thousands of names to go bankrupt, others lost a significant part of their fortunes, and some even committed suicide. Their overall losses in 1989 were $3.05 billion and $4.333 billion in 1990. These unanticipated losses were underfunded, and this cost the names dearly. Until this time the venerable Lloyd’s of London was thought of as a safe investment! No more, but Lloyds recovered. The council made changes, and Lloyd’s of London carries on today, 355 years from its beginning. A very impressive record. While Lloyd’s started insuring marine risks, now they insure just about anything you can imagine. They are in financial institutions, aviation, casualty, fire, crime, political risk, space, yachts, oil rigs, and energy. They once insured a comedy group against the peril of someone in the audience dying of laughter during their show. They have insured Bob Dylan’s vocal cords and Tina Turner’s legs. They insure Richard Branson’s Virgin Galactic and they insured the building of the new World Trade Center. Lloyd’s has a very interesting story, covering 355 years of history and the significant events that occurred over those years. Next time you look at your Lloyd’s of London insurance policy, think of all that is behind it. Michael Pugaczewski is a client advisor at M. Adams & Associates, a division of World, which provides insurance products and services to construction, commercial, and industrial companies.
BY RICHARD GAYNOR 1. Snow plowing agreement/risk transfer: four provisions necessary to protect yourself (we have sample forms): • states what you are responsible for • states when your responsibility starts and ends • states when you are NOT responsible • states who is responsible when YOU are NOT responsible (“the customer”) 2. Property aerial site survey: survey denotes all instructions, hazards, obstacles, and special conditions (we have sample forms): • states where to pile the snow • states where to deice • states where drains are located to keep clear • shows any obstacles and special conditions
PHOTO PAGE 10 BY LOIC LERAY, UNSPLASH; PHOTO PAGE 11 BY POP & ZEBRA, UNSPLASH
vateers. Cargos were plundered, the ships’ crew and passengers were either killed, sold into slavery, or ransomed. Sailing was no Disney cruise! Under these circumstances the merchants and ship owners frequenting Lloyd’s coffee shop wanted to protect their financial interests. They banded together, each pledging their fortunes to pay compensation to those who lost vessels and cargo. The groups formed syndicates with members called Names. Lloyd’s Café set up boxes for rent to the underwriters selling their insurance. The Suez Canal opened in 1869 and cut the trip from London to Bombay by 4,500 miles. However, this did not alleviate the risk of piracy, privateers, or rival countries. Corsairs and naval vessels sailed the Mediterranean, pirates out of Madagascar sailed the Indian Ocean. Risk was everywhere. Lloyd’s underwriting flourished, more syndicates appeared with two or three members accepting the underwriting risk agreed to by the syndicate. Because the syndicates craved shipping information, Lloyd’s set up a semaphore flag system along coastal trade routes in 1827 so ships could communicate to the signal stations. The famous Lutine Bell was salvaged from the sunken frigate Lutine in 1858, and it was used by Lloyd’s to announce an overdue ship with one ring and a ship’s arrival with two rings. The purpose of the bell was to alert all the Lloyd’s participants at once. By 1870 Lloyd’s syndicates were losing business. Syndicates with only two or three members did not have enough capacity (capital) to accept large risks and pay losses. Competing insurance companies were closing in and bleeding off business. To solve this problem, Frederick Marten set up a 12-member syndicate which allowed the underwriting of very large risk values. Other syndicates soon followed. Lloyds moved from marine-only underwriting to onshore property and liability in England as well as the United States. In
3. The written survey checklist: requires the contractor to confirm all details and to update with any changes (we have sample forms): • • •
complete checklist confirm with property owner all hazards are disclosed to the property owner
4. Subcontractors provide certificates of insurance (we have sample forms): • add your company and your customer as additional insured • sign a hold harmless agreement in “your company’s” favor
Middleton & Company serves its clients with step-by-step procedures, checklists, survey forms, and sample contractual documents, making the implementation simple and easy. Be more effective, efficient, and profitable with your snow plowing operations. By changing “how you do, what you do,” you will improve income with your outcome. Richard Gaynor is the president of Middleton & Company Insurance, the insurance advisor for many trade and business associations. The company provides informative, relevant, and cost-effective business insurance protection.
SAFETY PERSPECTIVES
NEW DOT CLEARINGHOUSE RETURN-TO-DUTY REGULATIONS TO TAKE EFFECT LATE 2024 BY ANTHONY MORREALE On June 27, 2023, the U.S. Department of Transportation (DOT) announced new regulations regarding commercial driving privileges. Effective November 18, 2024, drivers with a “prohibited” status in the Federal Motor Carrier Safety Administration’s (FMCSA) Drug and Alcohol Clearinghouse will be denied or lose their state-issued commercial driving privileges. If an FMCSA driver has violated 49 CFR Part 40 with a confirmed positive drug or alcohol test or has refused to test, they will be excluded from performing safety-sensitive functions, including operating a commercial motor vehicle. Drivers will only be allowed to resume their duties after fulfilling the returnto-duty process supervised by a substance abuse professional. Driver violation records are maintained in the DOT Clearinghouse for a period of five years from the date of violation determination, or until they successfully complete the follow-up testing plan, whichever is later. Please review the FMCSAClearinghouse website for additional information at https://clearinghouse.fmcsa.dot.gov. Anthony Morreale is the owner of Tri-State Safety Solutions, a provider of health, safety, and environmental compliance training and consulting as mandated by city and state agencies.
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NOW MORE THAN EVER Jennifer Roselle, Esq.
NEWARK • NEW YORK • JERSEY CITY PHILADELPHIA • BASKING RIDGE GENOVA BURNS LLC • WWW.GENOVABURNS.COM
ATTORNEYS AT LAW
Patrick W. McGovern, Esq.
MONEY TALKS
SECURING YOUR FUTURE: THE IMPORTANCE OF SUCCESSION PLANNING FOR BUSINESS OWNERS BY MICHAEL J. GUARINO III Succession planning is a critical, yet often overlooked, aspect of running a successful business. It involves preparing for the future by identifying and developing talent within your business to assume key leadership roles when the time is right. While many business owners are fully focused on the day-to-day operations, it is essential to recognize that succession planning is not just a prudent strategy; it’s a fundamental responsibility. In this article, we will explore the importance of succession planning for business owners, including those planning to sell their businesses and why it should be a top priority. The business landscape is ever-changing. The business world is dynamic and unpredictable. Market conditions can shift rapidly, and unforeseen events can disrupt even the most stable of organizations. In such an environment, the absence 12
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of a succession plan can leave a business vulnerable to instability and decline. This vulnerability is especially pertinent to business owners considering selling their companies. A well-executed succession plan can significantly enhance the value and appeal of a business to potential buyers, leading to better exit strategies and a higher selling price. One of the primary benefits of succession planning is the preservation of a company’s culture and values. This is equally important for business owners planning to sell their businesses. A well-structured succession plan that ensures continuity of culture can make a business more attractive to prospective buyers, potentially leading to a smoother transition of ownership and a potential more successful sale. Succession planning can be a key factor in achieving a successful and profitable sale.
PHOTO BY DMITRY DEMIDKO, UNSPLASH
In conclusion, succession planning is not a luxury but a necessity for business owners, including those planning to sell their businesses. It provides a strategic framework for identifying, developing, and retaining talent within the organization, ensuring that the business remains resilient in the face of unforeseen challenges and transitions. For owners planning to sell, succession planning can significantly enhance the value, appeal, and profitability of their businesses, making it an essential step in their exit strategy. It is an investment in the long-term success and sustainability of the business and should be prioritized by every responsible business owner, regardless of their future plans for the company. A guide to help you on your way to succession planning: 1. Start early: Succession planning is not something that should be left until the last minute. It’s a longterm process that ideally begins years before a leadership transition is anticipated. 2. Clarify your objectives: Define your goals for succession planning. Are you looking to pass the business to a family member, sell it to an external party, or groom internal talent to take over? Knowing your objectives will guide the entire process. 3. Identify key positions: Determine which positions within the organization are critical for its success. Focus your succession planning efforts on these key roles. 4. Develop a talent pipeline: Identify and nurture potential successors within the organization. This involves assessing and grooming employees with leadership potential. Provide them with opportunities for skill development and growth. 5. Document your plan: Create a written succession plan that outlines your objectives, the roles you’re planning for, the identified successors, development plans, timelines, and any other relevant details. 6. Communication is key: Communicate your succession plan with key stakeholders, including family members, employees, and potential successors. Transparency is crucial for minimizing uncertainty and resistance. 7. Continuity planning: Consider contingency plans in case of unexpected events, such as sudden illness or unforeseen departures of key leaders. Ensure that your business can continue to operate smoothly in such scenarios. 8. Legal and financial considerations: Consult legal and financial advisors to address legal and tax implications of your succession plan. This is especially important when transferring ownership or wealth to family members. 9. Valuation and transition planning: Determine the value of your business if you plan to sell or transfer ownership. Establish a timeline for the transition, outlining the steps that need to be taken. 10. Legal documentation: Ensure that you have the appropriate legal documents in place, such as wills, trusts, buy-sell agreements, and any other necessary contracts to facilitate a smooth transition.
Michael J. Guarino III has been helping business owners and individuals with succession planning for over 17 years. His firm, Main Street Wealth Management, serves businesses owners and individuals with financial planning, retirement planning, insurance, investing, and developing exit strategies nationwide. He can be reached at mike@mswealth.com or 973-625-1112.
Scheideler Excavating Co.
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CLEAN VEHICLE CREDIT DRIVES NEW TAX SAVINGS FOR CONTRACTORS BY RONALD EAGAR As our world becomes increasingly focused on environmental, social, and governance (ESG) issues, many businesses are turning to electric vehicles (EVs) to help reduce their carbon footprint and take a step forward into the more electrified world of tomorrow. In turn, the benefits they receive range from lower operational costs to higher reputational favor among stakeholders and clients. On the construction jobsite, electric heavy machinery can yield even greater levels of benefit through lowered noise pollution, emissions, energy usage, and project costs. Under the Inflation Reduction Act (IRA), contractors can now add significant tax savings to this list of benefits. Effective Aug. 16, 2022 through the end of 2032, qualifying new and used commercial vehicles are eligible for the clean vehicle tax credits, IRC 45W. If applicable to your situation, it is also worth noting the availability of IRC 30D for EVs purchased in 2022 or prior and IRC 25E for used EVs. Qualifying business vehicles weighing 14,000 pounds or more can now achieve up to a $40,000 credit under IRC 45W (up to $7,500 for qualifying vehicles under 14,000 pounds). To be considered a “qualified commercial clean vehicle,” it must be subject to a depreciation allowance, be utilized for business (not resale), and be primarily used in the United States. It must also be made by a qualified manufacturer and not have already been allowed another credit, such as under Section 30D. As with all proper tax planning or tax credit analysis, each taxpayer needs to make the proper analysis with their tax advisor to determine what makes the most tax-efficient sense for them, not only in the current year, but for future tax years to come. Sometimes focusing on the current year and not looking forward could end up costing you money or, in this case, losing credits you were counting on. Mobile machinery is among the list of eligible assets under
IRC 45W, making this an important tax-savings opportunity for contractors purchasing or leasing electric vehicles. These vehicles must be plug-in with a battery capacity of 15 kilowatt hours (seven kilowatt hours for vehicles less than 14,000 pounds). The amount of the qualified commercial clean vehicle credit is the lesser of the following (up to the $40,000 or $7,500 cap): • 15 percent of the taxpayer’s tax basis in the vehicle (30 percent if the vehicle is not powered by a gasoline or diesel internal combustion engine), or • the incremental cost of the vehicle. The IRS defines incremental cost for this purpose as “the excess of the purchase price of a qualified commercial clean vehicle over the price of a comparable vehicle.” A comparable vehicle is defined by the IRS as “a vehicle powered solely by a gasoline or diesel internal combustion engine that is comparable in size and use to the qualified commercial clean vehicle.” There is no limit on the number of credits your business can claim, but they are nonrefundable. If the credit amount exceeds the amount of tax owed, it cannot be refunded but can be carried forward as a general business credit. These rules are for business-use vehicles only. For personal-use vehicles, the rules before and after the enactment of the IRA vary by income, cost, and manufacturer limitations. With these recent changes, it is important to seek the advice of your tax professional to determine your business and/or personal eligibility, as well as the tax year in which to take the credit if the date of contract and date placed in service fall in different years. For more information, please contact Ronald Eagar, partner at Grassi Advisors and Accountants, at reagar@grassicpas.com or 516-336-2460.
LEGALLY SPEAKING
LABOR LAW UPDATE: THE NLRB CHANGES THE RULES YET AGAIN It took some time for the cases summarized below to work their way up to the National Labor Relations Board in Washington. But in 2023, the board had vehicles to revisit controversial labor law precedents on such issues as bargaining orders, the scope of protected concerted activity, what are impermissible provisions in employee separation agreements and employer handbooks, appropriate remedies for unfair labor practices, when a past practice supersedes a duty to bargain with a union, and whether a management rights clause that permits discretionary unilateral employer 14
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BY PATRICK W. MCGOVERN
conduct survives expiration of the labor agreement. Bargaining orders First things first. The most controversial of all of these 2023 NLRB decisions is the Cemex case. On Aug. 25, 2023, the NLRB issued new rules that apply immediately to many employers and unions locked in a unionizing campaign. The major change is that the board determined that it can and will impose a bargaining order on an employer that engages in serious unfair labor practice
PHOTO BY TINGEY LAW FIRM, UNSPLASH
charges during an organizing campaign, even where the union loses a board-supervised election and without entertaining the remedy of a re-run election. The board announced that it is replacing the Gissel bargaining order standard because of the speculative nature of determining the likelihood that a future fair election can be held. (Cemex Construction Materials Pacific, Aug. 25, 2023). The board decreed that when a union demands recognition based on signed authorization cards and a claim of majority status, the employer has four options, each of which carries legal consequences: 1. Voluntary Recognition: If the employer satisfies itself that the union commands majority support based on signed authorization cards, the employer may opt to recognize the union. 2. File an Employer RM Petition: If the employer declines to recognize the union voluntarily, it may opt proactively to file an RM petition to test the union’s majority status, and to do so, the employer need not allege a good faith doubt about the union’s majority support. Selecting this option likely will result in a board-supervised election that will determine whether the union has majority status even if the union never files a representation petition. 3. Respond to and Oppose Union’s Representation Petition: If the employer declines to recognize the union voluntarily, and if the union files and does not withdraw a representation petition, the employer retains the right to question the union’s claim of majority status during processing of the petition. Even if the union first files a petition, as Cemex found out, the board may impose a bargaining order regardless of the election vote result if the employer commits unfair labor practices that preclude a fair election. 4. Refusal to Bargain: Finally, if the union does not file a representation petition, and the employer declines to recognize the union voluntarily, and if the employer does not promptly file an RM petition, if then the union files a ULP refusal-to-bargain charge under these circumstances and the employer loses the ULP case and the union is found to have majority support, then the employer’s liability will date back to the time the union demanded recognition and bargaining. The result may be that the employer’s bargaining obligation matures then, and a refusal to bargain and any subsequent unilateral changes made by the employer will be determined to be unlawful. A key consideration for an employer that selects this option is that the board will determine whether the employer had an obligation to bargain based on the union’s ability to present cards signed by a majority of employees in the bargaining unit. If the union establishes majority status through signed cards, the board will issue a bargaining order despite the union’s never prevailing in an election! Cemex introduces a massive change to the status quo and applies retroactively. Separation agreements that include non-disparagement and/ or confidentiality clauses
In the McLaren Macomb decision, decided Feb. 21, 2023, the NLRB held that including non-disparagement and confidentiality clauses and waivers of rights under the National Labor Relations Act in a separation agreement with a rank-and-file employee is unlawful. The NLRB General Counsel also cautioned that requiring a supervisor to sign a separation agreement containing any of these clauses may also be illegal if the intent is to prevent participation in an NLRB proceeding. More rigorous standard for reviewing discipline for misconduct In the Lion Elastometers LLC decision which issued on May 1, 2023, the NLRB held that employee misconduct during a period of protected concerted activity is entitled to greater NLRB protection. Misconduct that would ordinarily warrant harsher discipline must be evaluated differently, in the context of the employee’s union activities. The board thereby sanctions a double standard: One standard for discipline when there is no union activity, and another, more lenient standard when there is union activity. Reversion to former legal standard for determining whether handbooks and policies violate employee labor law rights In the Stericycle, Inc. decision dated Aug. 2, 2023, the NLRB held that employee handbooks and policies will now be examined to identify policies that could be interpreted by employees as chilling their exercise of Section 7 rights. A policy that can be interpreted as chilling employee exercise of Section 7 rights is now presumed to be unlawful. The employer has the right to rebut the presumption of unlawfulness by proving that the policy advances legitimate and substantial business interests that cannot be achieved by a narrower rule or policy. Here the board performs a hat trick since the Stericycle decision overrules prior NLRB decisions in Boeing and LA Specialty Produce, and substantially clarifies the leading board case in this area, Lutheran Heritage. When a complaint by one employee becomes concerted protected activity In the NLRB’s Aug. 25, 2023 decision in Miller Plastic Products, the board found that an employee’s COVID-related complaints and his questioning of his employer about COVID precautions which precipitated his discharge for “poor attitude, talking and lack of profit,” should be treated as concerted activity protected by federal labor law, and not simply as the employee’s unprotected griping. Prior to this decision, to determine whether an employee’s actions met the standard for concerted activity, the board inquired whether there was evidence of group activities such as prior or contemporaneous discussion of the concern among members of the workforce. The mere fact that the employee made a statement at a meeting or asked a question about the policy was not enough to make the activity concerted. However, Miller Plastic Products overrules the prior case law and returns to the standard the Board adopted in 1986 — i.e., the question of whether an employee has engaged in concerted activity is a factual one based on the totality of the circumstances, and not based on the five-facFALL 2023
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tor test that the Board adopted in 2019. The current board test for concerted activity is that the activity “must appear at the very least it was engaged in with the object of initiating or inducing or preparing for group action or that it had some relation to group action in the interest of the employees.” Under what circumstances a past practice relieves the employer from bargaining over a change in employment terms Past practice is often invoked in labor relations as a defense to a union’s objection to a unilateral change in employee terms and conditions. In Wendt Corp., decided on Aug. 26, 2023, the board showed its open hostility to anything that might interfere with a union’s bargaining rights. In this case the employer defended implementing its 2018 employee layoffs without first bargaining with the union, claiming that it laid off employees in 2001, 2002, 2003, 2009, and 2015, and therefore layoffs were a past practice. Each layoff occurred before the union became the employees’ representative. The union argued that the employer did not establish a past practice permitting the employer to unilaterally implement the layoffs during bargaining for a first contract. The NLRB agreed with the union and ruled that the five layoffs held over 17 years “stray so sharply away from establishing regularity and frequency as to plainly fall outside the range of permissible unilateral conduct.” The required regularity and frequency of the practice must be “a consistent, regular long-term practice … that would reasonably inform employees that layoffs are a term and condition of their employment.” Along the way the board overruled its 2017 decision in Raytheon Network Centric Systems which adopted the “kind and degree” test, with no requirement that the past practice be regular and frequent. The board added as an alternative holding that the 2018 layoffs were unlawful because they were entirely discretionary and conducted with no definite criteria or guidelines. The board ruled that its decision applies retroactively. Whether a past practice under a management rights clause remains effective after the labor agreement expires
On Aug.t 26, 2023, the board drove a stake through the heart of management rights clauses everywhere when it held in Technocap, LLC that the management rights clause in the expired labor agreement did not justify the employer’s unilateral change in shift hours after the labor agreement expired. The board held, “[D]iscretionary changes made pursuant to a grant of authority contained in an expired management rights clause cannot constitute a past practice that an employer may continue after contract expiration.” The board expressly overruled its own 2017 holding in Raytheon “that a past practice developed under a management rights clause authorizing discretionary unilateral employer action constitutes a term and condition of employment that permits continued unilateral conduct following expiration of the agreement containing the clause.” The board ruled that its decision applies retroactively. Remedies in unfair labor practice cases Last but not least, the NLRB has included in remedial orders in three recent cases strict bargaining schedules, and requirements to submit regular progress reports on bargaining to NLRB officials. The employers were Crushin’ It LLC, Columbus Electric Cooperative, Inc., and Amerigal Construction Co. The employer violations included failing to provide information to the union, ignoring requests to schedule bargaining, disrupting bargaining sessions, and making proposals that undermined the union’s representative status. Now that the Senate has confirmed Board Member Wilcox’s second term, we can expect more controversial decisions from this activist board. For over 30 years, Genova Burns has partnered with companies, businesses, trade associations, and government entities on matters in New Jersey and the greater northeast corridor between New York City and Washington, D.C. If our firm can be of assistance, please reach out to Patrick W. McGovern at 973-535-7129.
INHERITING AND BEQUEATHING FIREARMS IN NEW JERSEY: HOW TO LAWFULLY TRANSFER POSSESSION According to the Giffords Law Center to Prevent Gun Violence, New Jersey has the second strictest gun laws in the nation behind California. As demonstrated this past summer, that legal landscape is ever-changing. While much attention was paid to the U.S. Supreme Court’s June 23 ruling expanding the right to carry concealed handguns outside the home, many families have given little thought to the implications raised by the transfer of a firearm following a death. This article will discuss the appropriate way to bequeath and inherit firearms in New Jersey, and help current gun owners continue their legacy of responsible ownership beyond their passing. Is a firearms ID card or handgun purchase permit required? Under typical firearm transfers, the receiving party must be a 16
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BY DONALD C. PIERCE
federally licensed dealer (FFL) or have a valid firearms purchaser identification card (FPID), and the parties must complete a certificate of eligibility. In the case of handgun transfers, the receiving party must obtain a handgun purchase permit (HPP). These requirements exist even in transfers between family members. However, in the case of inheritance, neither a FPID nor a HPP are required for the transfer of a firearm upon the death of an owner, whether the transfer is by will or by intestacy. Importantly, the recipient must still meet the legal requirements for possessing the firearm. The transfer to an heir is a unique exception to the otherwise onerous requirement of applying for and receiving either an FPID or HPP. This exception does not apply to revocable trusts and for
this reason, it is preferable to bequeath a firearm through a last will and testament. The recipient of a handgun should consider applying for a FPID or HPP, as they are required for the purchase of handgun ammunition. Who can inherit a firearm? In order to inherit a firearm, the firearm must be legal to possess in New Jersey and the person receiving the firearm shall not be prohibited possessing the firearm under the 13 restrictions set forth in N.J.S. 2C:58-3j. Some of those restrictions state that an heir cannot: • have been convicted of any crime, or a disorderly persons offense involving an act of domestic violence • be dependent on a controlled dangerous substance • be a habitual drunkard • be confined for a mental disorder to a hospital, mental institution, or sanitarium • suffer from a physical defect or disease which would make it unsafe for him/her to handle firearms • be under the age of 18, or under the age of 21 if the transfer is of a handgun If a person is prohibited from possessing the firearm under one of the restrictions in the statute, he or she may maintain ownership of the firearm for a period of 180 days to facilitate its sale. However, the firearm must be in the custody of the chief law enforcement officer of the municipality, or the superintendent of the state police. Transferring the firearm out of state A firearm may be inherited by an individual residing outside of New Jersey, provided that the heir is permitted to possess the firearm in the heir’s own state. While interstate transfers without a federal license are normally prohibited, 18 U.S.C. 922(a)(5) provides an exception for transfers of firearms to nonresidents to carry out a lawful bequest or acquisition by intestacy.
Other considerations for the responsible transfer of a firearm in an estate • Have a plan for ensuring the security of the firearm. The recipient should consider the risk of unauthorized use by children or others, and the possibility of theft. • Consider partnering with a federally licensed dealer during the administration, who could take custody of the firearm during the probate period while the executor determines how to distribute the firearm. • Ensure lawful transportation of the firearm under N.J.S. 2C:39-6(g). Absent a permit to carry, an individual may only transport a firearm to certain authorized destinations and by properly stowing the firearm unloaded and contained in a closed and fastened case, gun box, securely tied package, or locked in the trunk of the automobile in which it is being transported, and in the course of travel shall include only deviations as are reasonably necessary under the circumstances. • Avoid undervaluing the firearms. As with many estate assets, the value of a firearm could vary greatly depending on the age, manufacturer, model, rarity, etc. Therefore, consider having the firearm appraised. • Some heirs may lack an interest in possessing the firearm. Any subsequent transfer of the firearm must comply with the statutory requirements applicable to all transfers, even among family members. The inheritance exception only applies between a decedent and the heir. An heir may always consider surrendering the firearm to local law enforcement. Donald C. Pierce is an associate attorney with Lindabury, McCormick, Estabrook & Cooper. The company provides litigation and transactional counsel to a broad spectrum of clients in the construction industry.
EQUIPMENT
MOUNTING AND DISMOUNTING TRUCKS AND MACHINERY Because jumping down off large equipment is a common practice for truck drivers, construction workers and many other physical jobs, it’s no surprise that lower back, knee, ankle, and neck injuries occur more frequently. Regardless of the type of equipment you work with, mounting and dismounting safely should always be top of mind. What You Can Do To lessen your risk of injuries, all you have to do is follow simple mounting and dismounting instructions for trucks and other tall equipment or machinery. • When using a new piece of machinery, become familiar with proper mounting and dismounting procedures.
BY PRINS INSURANCE •
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When a person jumps from a height of more than one foot, the force that goes through the body is about 14 times the person’s body weight. In other words, a 165-pound man who jumps out of a truck cab, tractor, or any other high surface is exerting 2,310 pounds of force on his body. This causes injury to bones, tendons, and cartilage. And if you’re doing this multiple times every workday, the damage to the body can be extensive. When dismounting and mounting, maintain three-point contact. This means having contact with the equipment by either one foot and two hands, or one hand and two feet. The smaller the triangle you form with your body, the more stable you are. FALL 2023
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Always face the vehicle, both when mounting and dismounting. Look at the surface below before stepping and make sure it is even to prevent ankle and knee injuries. Never mount or dismount moving equipment. Do not mount or dismount with anything, including tools, in your hands. Not only does it throw the body off-balance, it also reduces your chance of recovering your balance if you do slip. Use a drop rope to raise and lower supplies, tools, and equipment instead. Handholds and footholds are on the equipment for a reason — use them. Wear appropriate clothing. Loose or torn clothing can get caught on equipment when you are jumping down instead of climbing down. In slippery conditions, wear proper footwear to prevent slipping hazards. Proper vehicle maintenance also contributes to the safe mounting and dismounting of equipment. Make sure running boards, treads, steps, footholds, and platforms
are kept clear. Hazards like ice, snow, and grease could cause slips, trips, and falls. Prins Insurance specializes in dirt-moving contractors and their subcontractors. They are the managing agency of the State LICA Insurance Program.
PHOTO BY MARIUS LEE, UNSPLASH
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ASSOCIATE MEMBER
SPOTLIGHT HIGHWAY EQUIPMENT COMPANY
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TO BE PART OF A 90-YEAR LEGACY IS VERY SPECIAL. WE'RE ALL VERY PROUD OF THAT.
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In a journey spanning 90 years, Highway Equipment Company has established itself as one of America’s leading sales, rentals, parts, and service providers of machinery for various industries such as construction, landscaping, demolition, oil and gas, mining, quarrying, and industrial material handling. From humble beginnings in a one-room office to a leading distributor of heavy equipment and tractors across 10 states, ‘Highway’ has always been committed to its purpose of “making uptime easy for our partners, to build a better America.” That purpose was on full display in May when Highway Equipment Company celebrated its 90th Anniversary at its Millstone, N.J. branch. The family-friendly event was an opportunity to thank customers, show off the latest equipment from their manufacturers, and just have some fun. A clever excavator obstacle course offered some friendly competition among operators requiring precision placement of a beam and delicate manipulation of a steel ball. And the kids weren’t left out with fun activities including bouncy houses and the chance to climb into real equipment. With food and ice cream from local businesses, a great time was had by all. Throughout the event, signs celebrated “90 Years of Uptime” and showcased Highway’s ‘strategic pillars of being Solution Partners, Urgent About Uptime, and a Joy to Work With. Those principles were clearly demonstrated by their whole team. The first pillar, “Be Solution Partners,” reflects the company’s proactive approach to understanding the unique needs and challenges of its customers. Rather than just selling equipment, Highway strives to provide innovative solutions that address their customers’
distinct requirements. This mindset has been instrumental in fostering strong, long-lasting relationships with partners while leveraging the unique capabilities of its OEMs. The second pillar, “Be Urgent About Uptime”, highlights Highway’s relentless focus on minimizing equipment downtime. The company fully acknowledges the significant costs and productivity losses associated with equipment downtime for its customers. With proactive telematics, preventive maintenance, and expedited repair services, Highway works to ensure partners’ equipment (and people) are running at peak efficiency. Being a “Joy to Work With” is Highway’s third strategic pillar and encompasses more than just being friendly, explains Highway President Thom Reynolds. “We realize that our relationship with our partners extends beyond the equipment. That’s why we strive to remove any friction a partner might experience in working with us. We even formed a task force called ‘The Friction Fighters’ that’s made up of people across the company who are empowered to find and eradicate friction. Heavy equipment can be fun and we’re always on the lookout for ways to make things smoother for our partners,” says Reynolds. The roots of Highway’s success trace back to 1933, when D. L. “Lee” Reynolds and J. F. Docherty founded Highway Equipment Company in the midst of the Great Depression. Despite the economic hardships, they established a strong foundation for the company that led to decades of steady growth and expansion for this third-generation, family-owned and operated company. The expansion into New Jersey in July
2019, with the acquisition of Harter Equipment, a New Jersey establishment of more than 52 years, marked a significant step in the company’s growth trajectory. Both were multigeneration, family-run businesses with complimentary company cultures and similar brands of equipment like Kobelco and Bell Trucks. As part of a larger organization, the acquisition provided the customers with more access to larger equipment and attachments as well as equipment Harter did not deal in, such as screening and crushing products. Highway Equipment Company gained a large facility and state-of-the-art equipment from Kubota and Hitachi to add to the company’s portfolio. More importantly, they welcomed a team of seasoned experts into the Highway family that continues to provide their New Jersey customers with great service, support, and experience for their equipment needs. “Most of us at the Millstone branch, including myself, were part of the original team,” says Matthew Sams, Millstone's general manager. “It's hard to believe that it has only been four years since joining on with Highway because in so many ways it feels like much longer. To be part of a 90-year legacy is very special. We're all very proud of that.” Now, Highway is repeating its success with the acquisition of two well-established tractor dealerships in North Carolina. These
acquisitions have led to the birth of Highway Equipment & Tractor, a new division designed to replicate Millstone’s success with Kubota while expanding Highway’s highly acclaimed service to the Carolinas. “We’re thrilled to welcome Lake Norman Tractor and Charlotte Tractor into the Highway family,” said Reynolds. “As an Elite Kubota dealer in Millstone, NJ, we aim to replicate the success of our solution-partner mindset in serving the Carolinas.” Looking ahead, Highway is poised to build on its legacy as a solution partner. The company’s ethos, combined with its strategic growth plans, lays a promising roadmap for the next 90 years. As Reynolds eloquently sums up, “Our 90-year story isn’t just about selling equipment; it’s about building enduring relationships, relentlessly pursuing excellence, and above all, being solution partners to our customers. We are excited by the journey we will share with them.” Founded in 1933, Highway Equipment Company is a family-owned and operated business. Based in Zelienople, Pa. — approximately 22 miles north of Pittsburgh — the company has locations serving Pennsylvania, Ohio, New York, Virginia, New Jersey, Maryland, West Virginia, North Carolina, South Carolina, and Tennessee. Lisa Butler is the marketing coordinator at Highway Equipment Company.
NJLICA
NEWS
FOLEY, INC. JOINS MAGNI TELESCOPIC HANDLERS’ DEALER NETWORK TO PROVIDE CUTTING-EDGE TELEHANDLER SOLUTIONS Magni Telescopic Handlers, the world leader in rotating and heavy lift telehandlers, is excited to announce its partnership with Foley, Inc., a prominent equipment provider headquartered in Piscataway, N.J. As part of this collaboration, Foley, Inc. will now offer Magni’s comprehensive range of telehandlers, including the RTH, TH, and HTH models, through their Foley Rents stores in New Jersey, Delaware, and Eastern Pennsylvania. “We’re excited to partner with Magni,” stated Ed Gudaitis, vice president of Foley Rents. “Magni is the leader in rotating telehandlers and their products really complement the fleet we have here in Foley Rents. We know their innovative products will benefit our customers, but we are also proud of the way these machines are designed with safety as a priority. Getting the work done safely, and getting everyone home safely, is important to us and to our customers.” Foley, Inc. has established itself as a trusted name in the equipment industry, and this agreement with Magni America further strengthens its commitment to providing high-quality solutions to its customers. With a legacy dating back over 66 years, Foley, Inc. has become synonymous with excellence in sales, service, and support across various industries. FALL 2023
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NJLICA
NEWS “We are thrilled to welcome Foley to the Magni America dealer network,” said Joe Leinwol, chief sales officer of Magni America. “Their extensive expertise and dedication to customer satisfaction align seamlessly with our values. This collaboration marks a significant step forward in expanding the availability of Magni’s innovative telehandlers throughout the region.” Foley, Inc. is well-equipped to represent Magni’s products, having undergone comprehensive training in the application, sales, parts, and service of the telehandlers. Customers can now experience the benefits of Magni’s cutting-edge technology and design, which offer enhanced safety, performance, and efficiency in many lifting applications. “We are proud to have Foley as part of the Magni America dealer network,” said Scott Higgins, regional sales manager at Magni America. “Foley’s commitment to providing top-notch solutions aligns perfectly with our mission of delivering advanced telehandler solutions to industries that demand excellence.” Foley, Inc. customers can now explore Magni telehandlers and experience firsthand the exceptional service and support that Foley, Inc. is known for. For more information about Foley Inc. and Foley Rents, please visit https://www.foleyinc.com/ and https://www.catrentalstore.com/foleyrents.
UFG INSURANCE AND PRINS INSURANCE ANNOUNCE STATE LICA INSURANCE PROGRAM 2022 DIVIDEND RESULTS UFG Insurance strives to uphold its policyholder promise to ensure businesses are financially prepared to overcome losses with its trustworthy insurance protection. The carrier is proud to have fulfilled this important promise for the members of the State LICA Insurance Program last year. LICA contractors who participate in the program have access to UFG’s trusted insurance products, gold-standard service from the UFG claims team, dedicated risk control assistance and other perks like the opportunity to earn a safety group dividend* based on loss ratio. Last year, the group loss ratio for members of the State LICA Insurance Program (Arkansas, Iowa, Illinois, Indiana, Kentucky, Minnesota, Missouri, Nebraska, North Dakota, New Jersey, Ohio, Pennsylvania, South Dakota, Wisconsin) earned members a 1% safety dividend for 2022. “We congratulate the LICA contractors in our program on earning a safety dividend and for their demonstrated commitment to safety,” says UFG Insurance AVP and Branch Manager, Matt Schleier, who also serves as the State LICA Insurance Program advocate. UFG’s risk control services will continue to champion support for the businesses insured, helping them foster the safest settings possible with fewer and less severe losses, which will undoubtedly continue to improve results. The State LICA Insurance Program has been a trusted pillar for LICA members for more than 25 years. UFG is honored to serve as the recommended insurance company for the State LICA Insurance Program in partnership with Prins Insurance. If you’re interested in learning more about the State LICA Insurance Program or taking part in it, contact Prins at 800-8318545. *The availability of dividends is declared from surplus funds and are not guaranteed. 22
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Quality Parts...Better Service Bucket Teeth • Cutting Edges • Bucket Pin Shims Rubber Tracks • Ar400 Rolled steel-Wear Bar & Plate Buckets & Thumbs • Shop Supplies • Hydraulic & Motor Oil Interstate Batteries • Jack Hammer Bits
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THE BRANDS
YOU TRUST
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At Precision Hydraulic & Oil, we strive to meet the needs of our customers. From farmers to municipalities, heavy equipment to personal vehicles, our goal is to provide the highest quality products and services to our loyal customers. Precision Hydraulic & Oil is a distributor of diesel oils, hydraulic oils, heavy duty greases, DEF uid, Fleetguard lters as well as Deka Batteries. Our in-house hydraulic hose repair is designed to get you back up and running with very little down time. We ooer high quality Parker products that are dependable, reliable and trusted for our customer needs. Stop by our shop today, or schedule a delivery. We are here to help you keep your business running smoothly
FOR MORE INFORMATION VISIT US AT
www.PrecisionHydraulicAndOil.com 24
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290 Croshaw Rd, Wrightstown, NJ | 609-286-4446
LARGE RESOURCES. LOCAL RELATIONSHIPS.
CONTRACTOR INSURANCE We can help you assess your risks and provide a rate plan comparison to find the best coverages and prices available in the market. We do the work for you so you can focus on your business. BASIC & SPECIALIZED COVERAGES • General liability • Workers’ compensation • Commercial auto and trucking • Commercial umbrella • Commercial property • Inland marine (equipment) • Equipment breakdown • Pollution liability • Employee benefits/health insurance • Payroll and HR solutions INSURANCE EXPERTISE • Expert consultation and personal customer service • Competitive rates and plan comparisons • Consolidation between carriers • Continuity of coverage • Dedicated inhouse claims team • Claim and premium dispute facilitation
WORLD INSURANCE ASSOCIATES 100 Wood Avenue South, Iselin, NJ 08830 732-380-0900 • yourteam@worldinsurance.com
YOUR BUSINESS, YOUR UNIQUE PROGRAM We tailor your insurance plan to meet your specific needs: • Highway, street and bridge • GC, carpentry, roofing • Plumbing, electrical, HVAC • Drywall, plastering, painting • Demolition, excavation, masonry
“World combined all of my insurance with one company, increased my protection, and saved me 35% on Auto, 55% on General Liability, and 25% on Workers’ Comp. Plus, their service team responds quickly and accurately to our requests. I highly recommend them to all contractors.” Ruben Colonia, President Colony Fence Co., White Plains, NY
WWW.WORLDINSURANCE.COM
NJLICA MEMBER
BENEFITSr buck
A bigger bang
for you
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Over the past 2 years LICA has implemented a qualified DOL Apprenticeship program, for Truck Drivers (1 year) Laborers (2 years) and Heavy Equipment Operator (3 years) that we are very proud to offer to our members. Apprentices can help give your company the boost you didn't even know it needed. With an apprentice on hand to take on some of the smaller tasks, it frees up your more experienced staff to concentrate on key areas of work and spend time on other tasks – making your overall business practices more productive. LICA has also built into the program employer and employee incentives.
When enrolling an apprentice(s) in one of the trades listed above, and if you are contributing to the ERISA trust, this will decrease your required contribution to 1/3 of your cost. Example, If you are paying $2000 into the trust you will only be require to contribute $666. Employers who sponsor apprentices gain skilled workers, reduce employee turnover, and improve productivity. Apprenticeships can also help businesses address any critical or expected shortages of skilled labor at a time when many businesses are reporting that they cannot find skilled workers to fill jobs.
LICA recognizes that inflation is at a high, food and gas are expensive, just about every aspect of our everyday lives have a hefty price tag. Therefore, we wanted to help our apprentices with the following: Truck Drivers will receive: • $3000 upon graduation of this one-year program Laborers will receive: • $3000 for the first year completed (payment made upon start of second year) • $4000 for the second year completed (payment made upon graduation) Heavy Equipment Operators will receive: • $3000 for the first year completed (payment made upon start of second year) • $4000 for the second year completed (payment made upon start of third year) • $5000 for the third year completed (payment made upon graduation)
Contact: Tracy Carver: tcarver@tlc4prevailingwage.com Buddy Freund: buddy@govisionstrong.com FALL 2023
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URGENT ABOUT UPTIME SINCE 1933
KOBELCO MINI EXCAVATORS Kobelco minis prove that great things can come in small packages. These machines pack full-size performance into a highly portable frame. A minimal rear swing radius with zero tail overhang allows for excellent handling in confined spaces while a simple design makes routine maintenance easy.
At Highway Equipment, we are SOLUTION PARTNERS. We help you find the right equipment and features to get YOUR job done productively and predictably. Call us today to reserve your Kobelco mini excavator; we have several models in stock and available now.
SOLUTION PARTNERS
URGENT ABOUT UPTIME
JOY TO WORK WITH
We’re more than just your vendor. We’re your partner. We help you get the job done productively and predictably.
Your time is valuable. Your uptime is critical. Our proactive parts, services, and data experts are here to keep you running.
Heavy Equipment should be fun. With us, it is. We’re always on the lookout for ways to reduce friction and avoid complexity.
732.446.7600 615 STATE ROUTE 33, MILLSTONE TWP, NJ 08535 | HIGHWAY-EQUIPMENT.COM
NJLICA DUES INVOICES WERE MAILED OUT IN SEPTEMBER. YOUR PROMPT REPLY IS GREATLY APPRECIATED. MANY THANKS FOR YOUR CONTINUED SUPPORT OF NJLICA. A REMINDER THAT THE NJLICA DUES YEAR RUNS FROM SEPTEMBER 1-AUGUST 31. YOUR PAYMENT WILL CARRY YOU THROUGH AUG. 31, 2024.
NEW MEMBERS
GROWING BIGGER AND STRONGER EVERY DAY Contractor Members AAA Red White and Blue Excavating Robert Bates Long Valley, N.J. A Plus Striping, Inc. Rob Gerczak Vernon, N.J. A and Q Professional Services Steve Qabartai Haledon, N.J. AVB Trucking Corp. Flavia Batista Belleville, N.J. ACV Enviro Michael Burdakin Avenel, N.J. Absolute Fence Services, Inc. Vanco Eftmoski Lincoln Park, N.J. A Contractors Services, Inc. Edward Andre’ South River, N.J. All In One Fence Ricardo Vieira Whitehouse Station, N.J. Alphonso Pools, Inc. Steve Hunter Medford Lakes, N.J. Anthony Mattio Anthony Mattio Southampton, N.J. Anthony Philip Enterprises LLC Philip Ferreira Warren, N.J. Area Enclosures, Inc. Edward Getty Bristol, PA
101 NEW MEMBERS ADDED MAY 1-SEPTEMBER 30
Arias Trucking LLC Henry Arias Elizabeth, N.J. AVCON Manufacturing LLC Klint Stanley Lakewood, N.J. Aventine Construction LLC Tom Capone Deptford, N.J. Barr Trucking LLC Sean Stevens Monmouth Junction, N.J. B.G. Coston & Sons LLC Bruce Coston Franklin, N.J. Bergen Fence LLC Fareena Suri Ridgefield Park, N.J. Big Stone Transports LLC Joaquim Fernandes Hillside, N.J. Byrnes Property Management LLC Anthony Mulhearn Blairstown, N.J. CJM Contractors, Inc. Jeanne Morris Forked River, N.J. C. Leon Trucking LLC Carlos Leon Bloomfield, N.J. Camarato Trucking, Inc. Louis Camarato Scotch Plains, N.J. Executive Interiors, Inc. Huns Chung Green Brook, N.J.
Coastal Construction Group LLC Dean Rado Bayville, N.J. Creative Concepts David Leshinsky Jackson, N.J. D. Torluccio Landscaping LLC Dino Torluccio Fairfield, N.J. Dan Da Paver, Inc. Danny Nichols Toms River, N.J. Dargi Trucking LLC Dario Gil Dover, N.J. East Coast Modular, Inc. Debrah Alvey York, Pa. GET INVOLVED THE NJLICA BOARD HAS POSITIONS AVAILABLE FOR THE FOLLOWING COMMITTEES: Membership Scholarship Legislative Communications and Marketing Silent and Live Auction Member Programming and Social Member Networking/Education Monthly Meetings Events: State Conference Golf Classic Beefsteak Dinner Holiday Awards Dinner FALL 2023
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E & K South Side Trucking Corp. Eric Russell Toms River, N.J. Environmental Probing Investigations, Inc. Brian Kokot Cream Ridge, N.J. FS Trucking LLC Faisal Sadiq Chatsworth, N.J. Gary F. Gardner, Inc. Gary Gardner Medford, N.J. Grand5 Construction LLC Willie Ricks Galloway, N.J. Heavy Iron Services LLC Chris Riedl Verona, N.J. High 5 Adventure Learning Center Ian Doak Brattleboro, Vt. Homeworks Construction and Maintenance LLC Hassan Keith Newark, N.J. Hydroscience Group Corporation Robert Salt Bayville, N.J. JC Transport, Inc. Jorge Coronel North Arlington, N.J. JF Wilson, Inc. John Wilson Pennsville, N.J. J & G Trucking Services LLC John Andrade Mount Freedom, N.J. J. Oliva Enterprises LLC Julio Oliva Somerville, N.J. Jaydan Services LLC Daniel Gregiore Clark, N.J. 30
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James Clayton Trucking LLC James Clayton Jr. Toms River, N.J. John Tardy’s Equipment LLC Tavantae Tardy Pleasantville, N.J.
NDS Paving LLC Narciso Dos Santos Newark, N.J. Nine Star Construction LLC Robert Dries Toms River, N.J.
K C Transportation LLC Karla Carrasco Union City, N.J.
Northeast Construction & Management LLC Michael Fratesi Flemington, N.J.
KCM Construction Chris McGrogan Pompton Plains, N.J.
O’Donnell Construction, Inc. Bob O’Donnell Mt. Arlington, N.J.
KLR Contractors LLC Denise Worrell Southampton, N.J.
Outdoor Digs Jared Kocaj Whitehouse Station, N.J.
KRS Contractors LLC David Sebastiao Somerville, N.J.
Peter Alessandra & Son Paving & Masonry LLC Norman Russo Mountain Lakes, N.J.
M. Dries Construction LLC Michael Dries Bayville, N.J. M & J Domenico Excavating, Inc. Mike Domenico Hammonton, N.J.
Phillips Landscape Services LLC Jon Phillips Phillipsburg, N.J. Playlearn USA, Inc. Shevy Schlesinger Stony Point, N.Y.
M & J Paving and Concrete LLC Alex Zavala Freehold, N.J.
Quigley Trucking Edward Quigley Absecon, N.J.
MJH Contractor LLC Matthew Horton Langhorne, PA
R-P Trucking Richard Petro Trenton, N.J.
Marie Stephany Trans LLC Alfonso Chuchuca Newark, N.J.
R Febbie Contracting LLC Renato Febbi Boonton, N.J.
Meco Constructors, Inc. Bob Gushue Bensalem, PA
Raja Contractors, Inc. Gurpreet Singh Bellrose, N.Y.
Mireku & Son Contracting LLC Michael Mireku Cherry Hill, N.J.
Red Dog Trucking, Inc. Tara Gubbins Egg Harbor City, N.J.
Multi Impressions LLC DBA Fast Signs Brendan Duane Bayonne, N.J.
Rice Company LLC Sean Rice Hewitt, N.J.
RME Landscaping Corp. Mario Rocha Harrison, N.J. Rock Supremacy LLC Sasha Smith Bend, Ore. Rosa Bros. Trucking LLC William Rosa Totowa, N.J. Roy Miller Trucking Roy Miller Cookstown, N.J. SJB Trucking LLC Ramon Torres Brick, N.J. SRD Construction LLC Scott Dries Toms River, N.J. Signs Lab Luis Ospina West New York, N.J. South Jersey Contracting LLC Jim Cahill Mays Landing, N.J. Speicher Excavating, Inc. Michael Speicher Flanders, N.J. Stone Hill Excavating LLC Jeremy DeLuca Hackettstown, N.J.
Taormina and Sons Industries LLC Cathie Taormina Jackson, N.J.
WJC Trucking LLC Julianna Naula Belleville N.J. Zuccaro, Inc. Salvatore Zuccaro Garfield , N.J.
The Rizzo Companies LLC Kyle Rizzo Barnegat, N.J. Vailsburg Trucking Company Carmen Tango Florham Park, N.J.
Associate Members AJ Santye & Co. Diane McNulty Somerville, N.J.
W.A.G Associates, Inc. Greg Marto North Plainfield, N.J.
Braen Stone Industries Scott Braen Haledon, N.J.
Wantage Fence and Stonework Jason Sneider Wantage, N.J.
T.C. Irons Insurance Craig Mohan Burlington, N.J.
Westcraft Builders, Inc. George Grozdanovski Lincoln Park, N.J.
Wells Fargo Equipment Finance Todd Yazujian Flemington, N.J.
Wetlawn Automatic Sprinkler Systems LLC Jim Grusemeyer Bridgeton, N.J. Winks/Krug Landscape Service Christian Proodian Oakland, N.J.
Your #1 Source for Everything Under Construction EQUIPMENT SALES • RENTALS • PARTS • SERVICE
Stormwater Compliance Solutions LLC Nicole Makepeace Chester, N.J. SumCo Eco-Contracting LLC Robert Swain Clarksburg, N.J. Supra Construction LLC Ricardo Peixoto Stanhope, N.J. TCG Trucking LLC Teresa Guevara Kearny, N.J.
CASE CE Offers a range of Light and Heavy Construction Equipment Backhoes, Wheel Loaders, Excavators, Dozers, Skid Steer Loaders, Compact Track Loaders
Talisa Trucking LLC Damion Raymond Marlton, N.J.
www.GTMidAtlantic.com Vineland, NJ 856-697-1414
Freehold, NJ 732-780-4600
Totowa, NJ 973-785-4900
EVENTS
35TH ANNUAL NJLICA GOLF CLASSIC
Congratulations to Wallkill Group on their three-peat championship!
PREMIER SPONSORS Invitational Sponsors PinPoint Analytics Prins Insurance True & Associates – A World Company United Fire Group Golf Ball Launcher North American Aggregates Player Giveaway Sponsor V.A. Spatz & Sons Construction Dinner Sponsor Premier Emissions & Safety Inspections Beverage Cart Sponsors Genova Burns Salmon Bros. Beverage Station Sponsors Highway Equipment J.A. Neary Excavating Fleet of Carts Sponsor The True Agency Registration Sponsor Haskell Paving Ball Sponsor Foley Caterpillar
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Putting Green Sponsors Braen Stone Icon Equipment Distribution Mountain View Development Driving Range Sponsors Mathis Construction Co., Inc. Robert Wogisch Landscape Tilcon, Inc. Wallkill Group, Inc. Lunch Sponsors GT Mid Atlantic JESCO L.N. Rothberg & Son Middleton & Company V.A. Spatz & Sons Construction Hole In One Sponsor True & Associates – A World Company Closest to the Pin Sponsors Brent Material Company Let Us Brand U PinPoint Analytics Twin Construction Longest Drive Sponsors Bobcat of North Jersey Croft Construction Dave O’Donovan Excavating, Inc.
TEE AND GREEN SPONSORS Art Coon Plumbing Carner Bros. Castle Printing Co. Church Auto Citizens Bank County Concrete D.P.S. Pump Service DAG Mobile Aggregate Recycling EDM LLC Espo’s Tree & Crane Service Gerrity Heavy Duty Sales GT Mid Atlantic James R. Ientile L.N. Rothberg & Son Lindabury, McCormick, Estabrook, & Cooper, P.C. Mikula Contracting North American Aggregates Patrick DiCerbo – Northwestern Mutual Petrocon Progressive Brick Renda Roads Rue Insurance Shotmeyer Bros. TLC4 Prevailing Wage Trap Rock Industries Tri-State Safety Solutions Twin Construction Wantage Excavating
FALL DINNER MEETING SOUTH: THE CABIN, FREEHOLD
Attendees experienced a mock roadside inspection by New Jersey state troopers.
FALL DINNER MEETING NORTH: GARY MAHAN TRUCK MUSEUM
SAVE THE DATES First Annual NJLICA Clay Shoot Monday, October 30 Lehigh Valley Sporting Clays Coplay, Pa.
Holiday Awards Dinner
Thursday, December 7 The Meadow Wood Manor Randolph, N.J.
Total Pro Expo – NJLICA’s Winter Conference Tuesday/Wednesday, January 30/31 New Jersey Convention & Exposition Center Edison, N.J.
National LICA Winter Conference
February 13-17 Hilton Virginia Beach Oceanfront Virginia Beach, Va.
PATRONS VISION STRONG MANAGEMENT GROUP Buddy Freund PO Box 166 Succasunna, NJ 07876 973-753-2800 buddy@govisionstrong.com govisionstrong.com Vision Strong Management Group provides full-service association management services for associations, foundations, societies, and trade organizations. Add your company name to our Patron Directory. Contact NJLICA Executive Director Buddy Freund at 973-630-7600 or buddy@govisionstrong.com. FALL 2023
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Construction, Forestry
Land Surveying
Asphalt Pavers & Sweepers
Experts in Road Building & Minerals
Multi-Tip Dump Trucks
Road Maintenance
Walk Behind Loaders & Trenchers
Low Boy & Easy Loader Trailers
Hydraulic Hammers & Compactors
Locations Shrewsbury, MA • Fairfield, NJ • Lumberton, NJ South Plainfield, NJ • Deer Park, NY • Beacon, NY Middletown, DE • Baltimore, MD • Frederick, MD • Delmar, MD District Heights, MD • Waldorf, MD FALL 2023
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WAREHOUSE AND YARD
308 North 14th Street Kenilworth, New Jersey 07033 TEL: (908) 686-3832 7:30 A.M. - 4:30 P.M. Monday - Friday
EMERGENCY HOURS BY REQUEST
SUCCESS THROUGH SERVICE SINCE 1927
www.brentmaterial.com WBE Certified (NJ, DE, NY/NJ Port Authority, NYC, NY State, DASNY) WBENC, WOSB, SBE Certified (NJ)
CELEBRATING 94 YEARS OF SUCCESS
SALES OFFICE
325 Columbia Turnpike, Suite 308 Florham Park, New Jersey 07932 TEL: (973) 325-3030 FAX: (973) 325-7360 7:30 A.M. - 5:00 P.M. Monday - Friday EMERGENCY HOURS BY REQUEST
• WATER WORKS •
• STORM DRAINAGE • • SANITARY SEWER •
• EROSION CONTROL • SALES OFFICE WAREHOUSE AND YARD 1271 Glassboro Road Williamstown, New Jersey 08094 7:00 A.M. - 5:00 P.M. Monday - Friday
EMERGENCY HOURS BY REQUEST
TEL: (856) 728-0171 FAX: (856) 728-8275
CATERINA SUPPLY INC.
www.caterinasupply.com NJ Certified WBE/SBE, DE Certified WBE/SBF, PA Certified SDB-W/SBF
CELEBRATING 37 YEARS OF SUCCESS
Advisory | Tax | Audit
Certainty is what we have delivered to the New Jersey Construction industry for over 40 years. Grassi’s Construction advisors and accountants provide the industry knowledge and guidance that construction professionals need to make confident business decisions.
Carl Oliveri, CPA, CCIFP, CFE, MBA Partner, Construction Practice Leader grassicpas.com/construction FALL 2023
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CONTACT US
HEY, YOU! Have a story idea? SEND IT! Got a great photo? SEND IT! Have some feedback for us? SEND IT! We are on the lookout for content. Promote your business by sponsoring an ad, or send us articles and photographs to be published in a future issue of The Underground. For more information on how you can be featured, contact: Buddy Freund NJLICA Executive Director 973-630-7600 buddy@govisionstrong.com
WRITE TO US! AD INDEX
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COMPANY
PAGE NUMBER
Brent Material Company
36
Bucket Supply & Equipment Parts
23
DAG Onsite Crushing
M. Adams & Associates: a Division of World
25
NJLICA
6
North American Aggregates
18
inside front cover
Power Patch
22
Genova Burns
12
Precision Hydraulic & Oil
24
Grassi Advisors & Accountants
37
Prins Insurance
3
GT Mid Atlantic
31
Scheideler Excavating
13
Highway Equipment
28
Tilcon
7
JESCO
35
TLC4 Prevailing Wage
back cover
Tri-State Safety Solutions
11
Lindabury, McCormick, Estabrook & Cooper, P.C.
19
True & Associates
inside back cover
FALL 2023
Large Resources. Local Relationships. We help our clients manage and protect their most valuable assets—their people and their business.
• Personal Insurance • Commercial Insurance • Surety & Bonding
As part of the World Insurance Associates family, we offer our clients top products and services from the best providers that span all of your personal and commercial needs. You will continue to get the white-glove service and personal touch of your local True agent.
Call or email us today to learn more about our offerings. rschielke@trueassoc.com 908-379-2359
• Employee Benefits • Financial & Retirement Planning • Human Capital Management Solutions
6 Leigh Street Clinton, NJ 08809
325 North Avenue East Westfield, NJ 07090
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NJLICA PO Box 166 Succasunna, NJ 07876
If you are an open shop contractor there are many reasons to implement a prevailing wage plan. As a contractor working on 20% or more state/federal government work there are quite a few advantages to company, employee and employer that can help to move your business forward. • Save on payroll burden; WC, GL, FICA, FUTA, SUTA • Fringes help pay for company sponsored employee benefits • Become more competitive when bidding; Win more bids! • Employee receives pre-taxed retirement plan • Compliance is top priority at TLC4 Prevailing Wage, keeping you compliant • Levels the playing field between union/open shop companies
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