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Gaining Access to Opportunity: A Look into the 5th Annual “Access to HCC�
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INSIDE
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Coronavirus Business Tips from the Small Business Association
In the Subcontractors USA Community... University of Houston HUB Vendor Fair
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METRO's Smart Project Management Means Major Financial Boost from Feds
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PUBLISHER’S MESSAGE
Keith J. Davis, Sr. CERTIFIED:
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The Subcontractors USA Texas Journal highlights opportunities and news relevant to the construction, energy, architecture, manufacturing, education, engineering, oil and gas, transportation and IT industries we serve. We hope you find this issue not only informative, but inspiring and educational as well. This month’s issue highlights Houston Community College’s Small Business Development Program’s annual Access to HCC. This event brings vendors together and provides them with the opportunity to network with representatives and proPort of Houston
“Most great people have attained their greatest success just one step beyond their greatest failure.”
Metro
BEHIND THE JOURNAL
-Napoleon Hill
City of Houston
04 ARCHITECTURE 04 Best practices for design professionals when responding to lawsuits or claims
COO & MANAGING EDITOR Kimberly Floyd
08 CONSTRUCTION 08 Trust translates to better financial, organizational performance for contractors, survey shows
ACCOUNTING MANAGER Eugenie Doualla
10 ENERGY 10 The Road To 2040: What’s Fueling Transportation Growth 10 Entergy Creates COVID-19 Emergency Relief Fund to Help Customers in Need
ART DIRECTOR Angel Rosa PHOTOGRAPHY Grady Carter L.C. Poullard DISTRIBUTION Rockie Hayden CONTRIBUTING WRITERS Helen Callier Subcontractors USA News Provider
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12 IT & TECHNOLOGY 12 Dealing Data in the with Construction Industry 14 IN THE SUBCONTRACTORS USA COMMUNITY... 14 University of Houston HUB Vendor Fair 16-17 COVER STORY 16-17 Celebrating Five Years of Connection: HCC’s Small Business Development Program Presents “Access to HCC Procurement Expo” 18 DISASTER RECOVERY 18 Coronavirus Business Tips from the Small Business Association 20 OIL AND GAS 20 ConocoPhillips Appoints Two New Members to its Board of Directors 22 PERMITS 22 How to Obtain City Building Permits During a Wide-spread Health Challenge 24 SAFETY 24 Autodesk and Associated General Contractors of America Equip Women in Construction with Properly Fitting Safety Harnesses 26 OSHA advisory committee discusses major industry hazards 26˜ Shutting Down Construction Projects Is An Unnecessary Step, Will Harm Economy & Undermine Recovery Efforts, Construction Officials Say
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CONTENTS
PUBLISHER & CEO Keith J. Davis, Sr.
STAFF WRITER Carly Hammack
curement officers from different departments at HCC, in the hopes of doing business together. The Small Business Development Program is housed under Procurement Operations and works closely with the procurement operations team to identify the areas where HCC can have small business participation. As always, thank you for your continued support of Subcontractors USA Texas Journal. When you support us, you are supporting more than just our company; you are supporting the communities in which we live and work. Working together, we can succeed in making positive things happen.
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30 TRANSPORTATION 30 METRO's Smart Project Management Means Major Financial Boost from Feds 30 DFW Airport Earns Title of “Best Large Airport” in North America for Customer Satisfaction Two Years in a Row
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ARCHITECTURE
Best practices for design professionals when responding to lawsuits or claims By Subcontractors USA News Provider
A
t some point in their careers, most design professionals have either heard of claims on projects with which they’ve been involved or have been directly or indirectly involved with a claim. Disputes with the owner during a project are not uncommon. When those disputes may potentially result in a claim, architects are often well-served to provide notice to their professional liability insurance carrier. Not only do most professional liability policies require prompt notice of a potential claim, most carriers also offer significant preclaims advice and services that can benefit the architect. What happens, however, after the project is complete and a claim from your client comes in? This article discusses best practices and risk-mitigation measures for architects who have received a claim or lawsuit from a party with whom they previously worked (a “Claimant”) — be it an owner, contractor, consultant, etc.
First First––Stay StayCalm Calm Stay calm. Claims and lawsuits can be stressful anxietyinducing events, particularly for smaller firms that may not have experience with litigation. While it is true that litigation is not fun, the experience is never improved by panicking. Remember that your firm does good work and you have professional liability insurance to cover this exact circumstance. So take a deep breath and try to remain as unemotional as you can throughout this process — a level head will help you make good legal and business decisions.
Second– –Provide ProvideNotice Noticeofofthe theClaim ClaimtotoYour Your Second Professional Liability Insurance Carrier Professional Liability Insurance Carrier If you have in-house counsel, they likely are aware of the issue or should be made aware of the issue as soon as possible. If you do not have in-house counsel, you may want to engage outside counsel at this point, particularly if you have questions regarding how and whether to notify your insurance carrier of the claim. Your counsel can determine whether it is appropriate to make your liability carrier aware of the claim. In most cases, it is advisable to provide notice of the claim to your carrier as soon as possible, so as not to risk coverage issues and to permit your carrier to begin the process of analyzing the claim and providing your firm with pre-claims assistance and, if need be, a defense. If you do not know a lawyer who is competent in these matters, then it may be advisable to go directly to your insurer for advice. If you engage counsel before providing notice of the claim to your insurer, you will likely have to pay that lawyer directly and it may not be the same lawyer that the insurer later recommends. There are some very rare instances, however, in which a design firm makes a business decision not to make a claim with its insurance carrier — usually because the firm has balanced the risk of the claim against the deductible payment and likely increase in premiums — and determined that avoiding a premium increase is advantageous. Understand that most carriers may still require the firm to disclose the claim during the following years’ underwriting process; the carrier simply will not be required by the policy to provide coverage for the individual claim not reported in accordance with the policy’s terms. Accordingly, this is a risky analysis and should be undertaken only with the utmost care
and advice of counsel. That said, in most instances you should notify your insurance carrier promptly after receiving notice of the claim or lawsuit. In most instances, a lawsuit or claim letter will include a required deadline to respond. Consequently, you need to make sure that your carrier and legal counsel are aware of any deadlines so as not to jeopardize your position.
Third– –Engage EngageCounsel Counsel Third If you’ve provided notice of the claim to your insurance carrier, it should advise you as to whether your professional liability policy covers the claim. If your policy covers the claim, then your policy also likely provides you with a defense, which means your carrier pays for legal representation. In most cases, your insurance carrier will select the law firm to represent you, but you can request your carrier to consider specific counsel. Once legal counsel has been engaged, you need to meet with them promptly to discuss the claim and provide them with any relevant documents and information. Because counsel will likely want to meet with any other employees from your firm who have knowledge of the claim, you will want to make them available to meet with counsel. You should be open and honest during this — and all — conversations with your counsel so that they can prepare and present the best defense on your firm’s behalf.
Fourth– –Seek SeekLegal LegalAdvice Advice Regarding Regarding the Fourth the Issuanceof of aa “Litigation “Litigation Hold” Issuance Hold”Memorandum Memorandum An often-overlooked aspect of the receipt of claim letters and litigation notices are notices known as “litigation hold” letters. A litigation hold letter is an internal memorandum that is distributed to all members of a design firm who may have documents or information related to a claim or lawsuit. The letter puts all individuals on notice of the claim, generally describes the claim, and instructs all recipients not to destroy any documents or information related to the claim and to suspend all regular document destruction/retention procedures. Therefore, you should discuss the issues surrounding a litigation hold
letter with counsel promptly. As a practical matter, the risks of failing to distribute a litigation hold letter can be substantial. For example, if the Claimant asks for documents months or years after filing the lawsuit and a document has been destroyed (for instance, during a regular document destruction/ retention policy), then the Claimant can ask that an “adverse inference” be made related to that document, which means that the absence of the document will be held against you, and the judge or jury can assume the document was “bad” for you — without ever seeing it. On the other hand, if you issued a litigation hold letter to your employees, you will have an argument as to why
the judge or jury should not be able to make an “adverse inference” — or, better yet, the document may not have been destroyed in the first place!
Fifth––Begin Beginto to Collect Collect Documents Documents and Fifth and Information Information At some point you will likely be required to provide documents and information to the Claimant; therefore, talk to your counsel early in the process regarding policies and procedures for collecting those items, including electronic documents, files, and other information. If you are in litigation, the deadlines for responding to a request for documents can be tight (usually between 20 and 30 days). Responding to a broad request for documents in a short period of time can bring a smaller firm to a halt, as it can mean spending time and money collecting hundreds of thousands of documents in just a few weeks. So getting a head start on the process can be a critical benefit. You should also discuss with your counsel how to begin collecting information, usually in the form of interviews with employees. Involving your counsel in this process could help to preserve any attorney-client privilege that may be present.
Sixth––Ask AskQuestions Questions and and Set Set Expectations Sixth Expectations Your attorneys and insurance carrier are your allies; keep an open line of communication with them. For attorneys and insurance claims representatives, the claim and litigation process can seem elementary and predictable. But for an architect experiencing this process for the first time, it can be a jumbled mess of legal jargon and constant urgent deadlines. As a result, you should feel comfortable asking questions about things you don’t understand. You should also feel comfortable setting expectations for your attorneys and allowing them to set expectations for you. For example, you may want to receive regular emails from your attorney updating the status of the litigation. If so, simply ask to be sent an email on a regular basis, even if there’s no new information to report. This can be a great way to keep communication lines open and keep you feeling that you’re “in the know.” And if you are at a larger design firm, it can also serve as a good way to prep for any regular meetings with senior executives. Just as you need to set expectations for your attorneys, you should be open to receiving similar information from them as well. For example, you should have open, honest, and candid conversations with your legal counsel on a regular basis regarding the evolving risks of continued litigation. These conversations will aid in any potential settlement discussions and also allow your insurance carrier to set appropriate reserves. You also need to have an open mind when receiving your attorneys’ independent evaluation about the strength of your legal position.
Conclusion Conclusion The claims and litigation process can be stressful and intimidating. Hopefully, your claim or lawsuit is shortlived, and by using the information in this article, you can ease the burden on yourself and your firm during that time. Once the process concludes, evaluate what you’ve learned and how you can specifically tailor future risk-management tactics in light of the knowledge you’ve gained during this process. Then you can focus on what matters: providing high-quality and innovative design solutions for your clients!
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Source: AIA
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CONSTRUCTION
Trust translates to better financial, organizational performance for contractors, survey shows By Subcontractors USA News Provider
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onstruction companies that don't make trust a high priority within their organizations could be leaving millions of dollars on the table every year, according to a study released by Autodesk and management consultancy FMI Corp. this week. Authors of the "Trust Matters: The High Cost of Low Trust" found that construction organizations with very high levels of trust within their companies and project teams report better financial and organizational performance, such as more repeat business, increased rates of employee retention and engagement and a higher rate of on-time project delivery than those organizations with lower trust levels. In a breakdown of how higher levels of trust can generate increased financial benefits for contractors, the companies that have very high levels of trust report that 80% of their projects are for repeat customers. Building relationships with new companies and then onboarding them, according to the study, can cost five times to 25 times more than performing work for existing customers. Companies with high levels of trust can achieve gross margins of 2% to 7% higher than those companies
with only above average levels of trust. Even so, 63% of the study's respondents said their companies had not achieved very high levels of trust. Using those firms with a high level of trust as an example, construction companies can increase levels of trust by replicating their trust-related attributes, which include creating and maintaining consistent internal processes, ensuring transparency in external and internal communications, fostering an environment in which employees can share their views and placing a priority on employee development. Identifying high and low levels of trust So, how do companies know whether they have a high or low level of trust among their employees and with their project partners? For organizations with very high levels, trust is a core company value and is evident throughout all levels of staffing and in all company func-
tions. Firms with above average levels can identify "pockets" of trust within their organizations, but its employees or partners still experience some suspicion of others. A company with average or below average levels of trust could have employees that are not consistently truthful in their dealings within and outside of the organization and might act in their own best interests first. Trust can be an issue within companies that have expanded across many geographical locations and have a significant number of new hires who haven't had the chance to build relationships, according to the study. To increase levels of trust within these companies, a successful strategy is to treat each regional operation as a company in and of itself. This should make the effort to build trust more manageable. For all construction companies, according to Jay Bowman, research and analytics lead at FMI, there are ways they can begin increasing the level of trust immediately. First, though, companies need to measure their current levels of trust. This, he said, can be accomplished with a simple employee survey that asks such questions as: • How do you rate the current level of trust in the organization? • Do your co-workers always have the best intentions in mind when
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working together? • How often are your expectations met by co-workers? • Do your coworkers quickly respond to questions with, for example, return emails and phone calls?
Then, using that information, Bowman said, organizations should take the first steps to increasing trust by minimizing uncertainty and simplifying how teams collaborate. To minimize uncertainty, he said, companies should: • Be transparent. • Ensure roles and responsibilities are well-defined, needed and known. • Provide ongoing and candid performance feedback. • Communicate clearly, directly and simply. • Encourage input from others and create opportunities to share suggestions. • Be consistent in their processes.
To simplify how teams collaborate, organizations should: • Make communication easy and transparent. • Be solutions-focused, not blame-focused. • Develop informal personal contracts between team members.
Source: Construction Dive
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ENERGY
The Road To 2040: What’s Fueling Transportation Growth By Subcontractors USA News Provider
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rojections that the global middle class will increase by 1.7 billion people over the next two decades means a lot more energy will be needed in the years ahead to move planes, trains and automobiles. Specifically, the energy demand of global transport, which includes deliveries of goods and services, should increase by about 25% by 2040, according to ExxonMobil’s Outlook for Energy. And the connection between a larger middle class and the growth in transportation isn’t just about more people commuting to work or finding the time to take a leisurely weekend drive. Economic opportunity means that more people around the world – especially in developing countries – are able to buy personal vehicles, travel, shop for products delivered from faraway countries and expand their businesses. As that demand grows, so too do the new technologies that improve energy efficiency. Vehicles hitting the road can drive more miles on less fuel as auto manufacturers produce cars and light trucks with better fuel economy. Those new vehicles use lighter plastic parts and better lubricants to enable them to travel longer on less. The International Energy Agency also projects that innovative battery technologies will help power more efficient electric vehicles. It’s all part of the complex landscape that makes up the daily buzz of transportation fuel consumption. Learn more about the factors driving these future energy demands.
ENERGY
Entergy Creates COVID-19 Emergency Relief Fund to Help Customers in Need By Subcontractors USA News Provider
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n an effort to help working families experiencing financial hardships as a result of the coronavirus pandemic, the Entergy Charitable Foundation has established the COVID-19 Emergency Relief Fund. “The health and safety of our customers, employees and communities is Entergy’s top priority,” said Leo Denault, chairman and CEO of Entergy Corporation. “For more than 100 years, Entergy has never wavered in our commitment to supporting our customers and the communities we serve. This pandemic is no different. During this challenging time, we are helping lessen the impact of this crisis on the most vulnerable in our communities. I strongly encourage our business partners to join us in this effort.” As devastating and disruptive as this crisis is for everyone, we know from past experience that those most heavily impacted are ALICE households (lowwage working families) and low-income elderly and disabled customers – roughly 40%-50% of Entergy’s customer base. “We know from experience that working families and low-income elderly and disabled customers are hardest hit during times of crisis,” said Patty Riddlebarger, vice president of Entergy’s corporate social responsibility. “We are working quickly to make funds available to community partners that serve vulnerable households to lessen the economic impact of the COVID-19 crisis and ensure that families have the resources they need to get by during this time of uncertainty.” To support our most vulnerable customers, Entergy shareholders are committing $700,000 to the COVID-19 Emergency Relief Fund to help qualifying customers with basic needs such as food and nutrition, rent and mortgage assistance, and other critical needs until financial situations become more stable. Grants from the fund will be provided to United Way organizations and other nonprofit partners across Entergy’s service area that are providing services to impacted households. Company shareholders will also match employee contributions to the COVID-19 relief efforts of local United Way organizations up to $100,000 to maximize impact. In addition to establishing the COVID-19 Emergency Relief Fund, Entergy is taking additional steps to support and protect our customers during this crisis, including: • With support from our regulators, we are temporarily suspending customer disconnects as we continue to monitor the situation. • We are working with our network of community advocates to request a funding increase of the Low Income Home Energy Assistance Program to help alleviate financial hardships caused by COVID-19 on vulnerable households. • We are developing bill payment solutions and tools to help customers pay their accumulated balances once the disconnect moratorium is lifted.
Already in place to support vulnerable customers is Entergy’s The Power to Care program, which provides emergency bill payment assistance to seniors and disabled individuals. To mark the 20th anniversary of Entergy’s low-income customer initiative, the limit of shareholders’ dollar for dollar match of customer donations was increased from $500,000 to $1 million per year. Shareholders continue to match employee donations dollar for dollar with no limit. Source: ExxonMobil
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Source: Entergy
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IT & TECHNOLOGY
Dealing Data in the with
Construction Industry By Subcontractors USA News Provider
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he exponential growth of big data has had a profound effect on the heavy building materials industry. Per Techjury, every person this year will generate 1.7 megabytes of data in just a second. In 2019, internet users generate about 2.5 quintillion bytes of data each day. In addition: • Large infrastructure projects are voluminous — requiring an average of 130 million emails, 55 million documents, and 12 million workflows • 95.5 percent of all data captured goes unused • 13 percent of construction teams’ working hours are spent looking for project data and information • 30 percent of engineering and construction (E&C) companies are using applications that don’t integrate with one another
The correct use and analysis of the vast amount of data available to a business has the potential to transform supply chains as we know them, but also the power to disrupt. Without the appropriate tools and expertise to manage large amounts of data, organizations can become overwhelmed and unable to gain valuable insights, causing issues across the supply chain and wider business functions. While construction is one of the least digitized industries, firms are currently transitioning from paper-based processes to digital workflows. Harnessing the data from these digital processes will result in more valuable insights, better decision making, improvements in efficiencies and business growth.
Big data can be used to improve performance or processes. But to accomplish these goals, you’ll need personnel who have both worked in the built environment and understand project work but also have critical research and analytical skills. Companies that don’t invest in the right people often experience failures and are slow to realize a return on their investment (ROI). But this important step can help your firm drive performance and generate strategic business insights. • Move beyond siloed data to data integration. Like many other industries, construction is notorious for storing data in silos or scattering it across systems, desktops, phones, tables, hard drives, and servers — not to mention cloud locations, other devices, and unstructured data like blueprints, timecards, emails and PDFs. Data integration can be a difficult, but not insurmountable, challenge. • Leverage internal or external skills to turn data insights into actionable insights. Data analysis is a highly specialized skill set, and frontline managers and field staff rarely understand how to implement analytical procedures or use analytical tools. Yet to make your data analysis projects effective, you need cultural buy-in. In an industry where 35 percent of total costs can be attributed to waste and remedial work, this approach to using big data in the best possible way just makes sense.
Two Ways Ways To To Gain Gain Actionable Actionable Insights Insights From Two From Big Data Big Data
NeedFor ForProper ProperTools ToolsTo ToManage ManageData Data Need This staggering amount of information is hard to manage without the right tools in place. Most companies either simply avoid the issue, or need guidance as they try to sort through their options to properly leverage their data. Getting beyond the big data glut to data-driven decisions requires a fourpronged approach: 1. Get the right talent, tools and processes in place Big data presents unique challenges for the construction industry. Understanding which data could be useful – and how this data translates into business intelligence – requires a clear understanding of your organization’s overall goals and vision. With clear direction of how you want your data to work for you, your company can extract meaningful insights. But during this period of transition from data glut to data clarity, it’s important to clearly communicate the time frame and rollout process, so you can more easily manage expectations. • Collect and analyze data with an end goal in mind.
• Data capture and usage across the business. Rather than have construction teams waste hours looking for project data and information — a problem that’s plagued the industry for years — some leading firms are using prefabrication methods, connected jobsites, BIM, virtual reality, wearables, geolocation, and sensors to track employees, equipment and material movement, and further optimize tools, resources and worker productivity. • Better collaboration and efficiency. Given increasing E&C project complexity and growing demand for new E&C projects, industry leaders recognize that collaboration is a key part of achieving project consistency and efficiency across multiple stakeholders. Many firms use big data to create automated workflows between stakeholders on a project and keep all relevant personnel informed with relevant real-time updates. • Supplier collaboration platform links trading partners and automates processes. Transactions are executed and information collected to deliver insights with a speed and accuracy that fuels success on the heavy jobsite. The platform business model can gather data from IoT devices, telematics and more, running analytics to inform about a business’ performance. Critical business processes in a company and across its trading partners are automated, whether the processes are for procurement, production, dispatching, selling, tracking or tracing heavy building materials.
HarnessingBig BigData DataTakes TakesThe TheRight RightTools Tools Harnessing The E&C industry is making huge strides in harnessing big data to improve business outcomes, gain better visibility into their operations, and streamline their business processes. It’s all done with a little help from better tools and processes: • Data-driven predictive modeling. Some forward-thinking companies are building real-time systems that enable project owners to visualize — and adjust — project design during the early design stages, to speed up the design process, reduce waste and delay, and ensure accurate cost estimates.
Good data practices and a solid data strategy will continue to help E&C companies develop and implement sophisticated analytics plans in the years ahead. Companies need to: 1 Take advantage of business intelligence (BI) tools like dashboards, which store well-defined data in a central location where it can be displayed in a visual format for easier consumption. This enables users to aggregate separate data streams and compare the information within them in a single place and monitor performance in real time. • Include some level of machine learning (ML) and artificial intelligence (AI) to help users gain insight from data and make predictions, discover relationships between data points, identify customer or market segments more intelligently, and identify and learn from patterns hiding in large or unwieldy data sets. Actionable insights from deep analysis of big data from your heavy building materials operations can lead to improved productivity, streamlined operations and lower costs if dealt with properly.
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Source: Associated General Contractor
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In the Subcontractors USA Community... To View More Photos, Visit Our Website www.subcusa.com and Click on ‘Photo Gallery.’
University of Houston HUB Vendor Fair The University of Houston HUB held a Vendor Fair recently. This event was an opportunity to meet and ask questions of HUB vendors who provide products and services identified as needed by College Divisions. Thirty-eight vendors were in attendance, providing information on a multitude of commodity and service categories such chemicals, information technology, medical supplies and more.
*Photos taken before social distancing order
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CELEBRATING FIVE
YEARS OF CONNECTION:
HCC’s Small Business Development Program Presents “Access to HCC Procurement Expo” By Subcontractors USA News Provider
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n the contracting world, the days of doing business solely through email are gone, and instead, have been replaced with the necessity to build relationships face to face. Houston Community College’s Small Business Development Program knows the importance, but also the challenge, of getting small businesses in front of those with business to give.
Celebrating its fifth year, HCC’s Access to HCC Procurement Expo is an annual event that brings vendors together and provides them with the opportunity to network with procurement officers and representatives from different departments and programs at HCC, with the objective of doing business together. “The small business development programs goal is to spend 35% of the College’s dollars with local small businesses,” Veronica Douglas, Manager of the Small Business Development Program, said. “Access to HCC plays an instrumental role in the growth and development of our local businesses. This expo was designed to allow businesses the opportunity to network and connect with HCC stakeholders and community partners.” In addition to HCC departments and programs, outside agencies are also invited to participate as exhibitors. Some prominent exhibitors of this year’s expo were METRO SBE Program, HISD SBE Program, Fort Bend ISD SBE Program, FLUOR, City of Houston OBO and many more. In total, there were 22 community partner and 21 HCC exhibitors. This year, Access to HCC started off with greetings from HCC’s Sr. VC Finance & Administration and Chief Financial Officer, Dr. Janet Wormack and Mr. Joseph Gavin, Executive Director of Procurement
*Photos taken before social distancing order
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The small business development programs goal is to spend 35% of the College’s dollars with local small businesses.
— Veronica Douglas Manager of the Small Business Development Program
able to pull through with an amazing turnout.” This year we had over 400 people RSVP. Each year this expo cultivates the relationship between HCC, our local small businesses and our community partners. As for what is to come for the Small Business Development Program until things return to “normal,” Douglas says she will continue building relationships between HCC stakeholders and the local small businesses by developing new platforms that will highlight and market SBE’s to HCC. “It’s crucial that we support our local small businesses, especially during a time of uncertainty for so many of them,” Douglas said. Internally, the Small Business Development Program works closely with the Procurement Operations Team to identify the areas where the local small businesses can participate in procurement and contracting opportunities. Those efforts will continue as well as the rollout of new ones, focusing on which efforts will be most beneficial to our SBE’s.
Operations. Dr. Wormack and Mr. Gavin encouraged attendees to take advantage of the abundance of opportunities HCC has to offer and vowed to continue supporting the local business community as well as the efforts and initiatives of the small business development program. Attendees then heard from keynote speaker, Ed Robinson, who spoke on “growing your business and increasing your bottom line”. Following the keynote, happening concurrently were the expo and breakout session on “Responding to an HCC
Request for Proposal”, presented by Christopher Burton, CTPM, C.P.M., CPSM, MBA, CPPO, Director of Procurement Operations for HCC. This year’s breakout session focused on the various sections within the RFP document and the importance of completing the sections accurately while still responding in a responsive and
responsible manner. Inside the expo hall, attendees networked with HCC departments and community partners to begin establishing their business relationship. Despite the world being in the midst of a global pandemic, HCC’s Small Business Development Program was able to host one of its most successful events yet, before large gathering restrictions commenced. “I was terrified at the thought of cancelling,” Douglas said. “However, we were
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Coronavirus Business Tips from the Small Business Association DISASTER RECOVERY
By Subcontractors USA News Provider
Commonissues issuesthat thatsmall smallbusinesses may Common businesses may encounter encounter • Capital access. Incidents can strain a small business's financial capacity to make payroll, maintain inventory and respond to market fluctuations (both sudden drops and surges in demand). Businesses should prepare by exploring and testing their capital access options so they have what they need when they need it. View the SBA's capital access resources. • Workforce capacity. Incidents have just as much impact on your workers as they do your clientele. It's critical to ensure that your workers have the ability to fulfill their duties while protected. • Inventory and supply chain shortfalls. While the possibility could be remote, it's a good preparedness measure to ensure you have either adequate supplies of inventory for a sustained period and/or diversify your distributor sources in the event that one supplier cannot meet an order request. • Facility remediation/clean-up costs. Depending on the incident, there may be a need to improve the protection of customers and staff by increasing the frequency and intensity that your business cleans surfaces that are frequently touched by occupants and visitors. Check your maintenance contracts and supplies of cleaning materials to ensure they can meet increases in demand. • Insurance coverage issues. Many businesses have business interruption insurance. Now is the time to contact your insurance agent to review your policy to understand precisely what you are and are not covered for in the event of an extended incident. • Changing market demand. Depending on the incident, there may be access controls or movement restrictions established which can impede your customers from reaching your business. Additionally, there may be concerns about public exposure to an incident, and customers may decide not to go to your business out of concern of exposing themselves to greater risk. SBA's resources partners and district offices have trained experts who can help craft a plan specific to your situation to help navigate any rapid changes in demand. • Marketing. It's critical to communicate openly with your customers about the status of your operations, what protective measures you've implemented, and how customers will
be protected when they visit your business. Promotions may also help incentivize customers who may be reluctant to patronize your business. • Plan. As a business, bring your staff together and prepare a plan for what you will do if the incident worsens or improves. More information on how to create a business continuity plan is located further down this page. It's also helpful to conduct a tabletop exercise to simulate potential scenarios and how your business management and staff might respond to the hypothetical scenario in the exercise. For examples of tabletop exercises, visit FEMA's website.
SBAProducts Productsand andassistance assistance SBA The U.S. Small Business Association (SBA) can assist small businesses with accessing federal resources and navigating their own preparedness plans as described by the CDC's Guidance for Businesses and Employers. SBA works with a number of local partners to counsel, mentor and train small businesses. The SBA has 68 District Offices, as well as support provided by its Resource Partners, such as SCORE offices, Women's Business Centers, Small Business Development Centers and Veterans Business Outreach Centers.
Accessto tocapital capital Access SBA provides a number of loan resources for small businesses to utilize when operating their business. More information on loans or how to connect with a lender is available on the SBA website.
Accessto tolending lendingpartners partners Access SBA has developed Lender Match, a free online referral tool that connects small businesses with participating SBA-approved lenders within 48 hours. Many of these programs can also be accessed at the Fort Worth Business Assistance Center. • 7(a) program offers loan amounts up to $5,000,000 and is an all-inclusive loan program deployed by lending partners for eligible small businesses within the U.S. States and its territories. The uses of proceeds include: working capital; expansion/renovation; new construction; purchase of land or buildings; purchase of equipment, fixtures; lease-hold improvements; refinancing debt for compelling reasons; seasonal line of credit; inventory; or starting a business. • Express loan program provides loans up to $350,000 for no more than 7
years with an option to revolve. There is a turnaround time of 36 hours for approval or denial of a completed application. The uses of proceeds are the same as the standard 7(a) loan. • Community Advantage loan pilot program allows mission-based lenders to assist small businesses in underserved markets with a maximum loan size of $250,000. The uses of proceeds are the same as the standard 7(a) loan. • 504 loan program is designed to foster economic development and job creation and/or retention. The eligible use of proceeds is limited to the acquisition or eligible refinance of fixed assets. • Microloan program involves making loans through nonprofit lending organizations to underserved markets. Authorized use of loan proceeds includes working capital, supplies, machinery & equipment, and fixtures (does not include real estate). The maximum loan amount is $50,000 with the average loan size of $14,000.
SBADisaster DisasterAssistance AssistanceLoans Loans SBA The SBA is also providing targeted, low-interest disaster recovery loans to small businesses that are severely impacted by the situation surrounding COVID-19. These Economic Injury Disaster Loans offer up to $2 million in assistance and can provide economic support to small businesses to help them overcome the temporary loss of revenue they might be experiencing. Visit the SBA website to learn more about accessing COVID-19 Disaster Relief Lending.
Businesscontinuity continuityplans plans Business Every business should have an emergency plan to ensure that its resources aren't overwhelmed in times of need, and that their customers will continue to receive products or services on time. Additionally, costs can add up if the business is forced to close for an undetermined amount of time. Businesses who are prepared with a plan can resume service faster and might be able to assist with community recovery.
Elementsofofaabusiness businesscontinuity continuityplan plan Elements • Determine and document which staff, materials, procedures, and equipment are absolutely necessary to keep your business operating. • Identify and document your suppliers, shippers, and other important resources. • Define and document crisis management procedures and individual responsibilities in advance. • Plan for your building or brick-and-mortar location to be inaccessible. • Plan for payroll continuity. • Include employees from all levels in your planning, to ensure that it makes sense from all perspectives, from front-line to management. • Keep both digital and physical copies of important records – lease agreements, insurance policies, employee contract and identification information, bank account records, etc. – in multiple secure locations. • If your business is a multi-tenant building or complex, consider working with neighboring businesses to share resources and create a continuity plan that covers all of your needs. Learn more about creating a continuity plan by viewing FEMA's Business Continuity Guide.
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OIL AND GAS
ConocoPhillips
Appoints Two New Members to its Board of Directors By Subcontractors USA News Provider
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OUSTON – ConocoPhillips (NYSE: COP) announced today that its board of directors has elected Mr. David T. Seaton and Mr. Al Walker to serve as board members. Mr. Seaton served as chief executive officer of Fluor Corporation from 2011 to 2019, and as chairman from 2012 to 2019. Mr. Seaton joined Fluor in 1985 and held numerous positions both in operations and sales globally during his tenure. Mr. Seaton currently serves on the boards of The Mosaic Company and the National Association of Manufacturers. He is also chairman of the National Board of Governors of the Boys and Girls Clubs of America. Mr. Walker served as president, chief executive officer and director of Anadarko Petroleum Corporation from 2012 to 2019, and was chairman of the board from 2013 to 2019. He joined Anadarko in 2005 as senior vice president-finance and chief financial officer, later serving as president and chief operating officer before becoming chief executive officer in 2012. Mr. Walker currently serves on the boards of BOK Financial Corporation and Health Care Services Corporation, is vice chairman and a member of the Executive Committee of the Business Council, and is chairman of the board of trustees of the Houston Museum of Natural Science. “Both David and Al bring valuable expertise to the
ConocoPhillips board of directors,” said Ryan Lance, chairman and chief executive officer. “We are pleased to add two new directors with such Mr. Al Walker Mr. David T. extensive experiSeaton ence leading global companies and deep understanding of the E&P industry. We look forward to benefiting from their knowledge and guidance.” The appointment of Mr.
Seaton and Mr. Walker increases the number of ConocoPhillips directors to 13, of which 12 are independent. Mr. Seaton and Mr. Walker will serve on the Public Policy Committee and Audit and Finance Committee of the ConocoPhillips board.
Monthly Procurement Forum
BREAKFAST
GREATER HOUSTON BUSINESS PROCUREMENT FORUM “Where Business Takes Place”
POSTPONED/TBA 8:00 AM TO 11:30 AM
Source: ConocoPhillips
GHBPF 2020 Calendar January 28, 2020 February 25, 2020 March 24, 2020 April 28, 2020 May 26, 2020 June 23, 2020 July 28, 2020 August 25, 2020 September 22, 2020 October 27, 2020 November 10, 2020 December 8, 2020 Various Public and Private Sector Entities and their representatives will discuss the prospects for doing business and outline business opportunities for Small and Minority owned businesses with their respective Institutions.
HOUSTON COMMUNITY COLLEGE
West Loop Campus 5601 W. Loop South, 1st Floor - Auditorium Houston, Texas 77081
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PERMITS
How to Obtain
City Building Permits During a Widespread Health Challenge By Helen Callier Contributing Writer
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ere’s what we have learned over the years in expediting building permits across the state of Texas and areas in the United States: Regardless if the economy is hot, warm or cold, obtaining a building permit fast is crucial for starting a project on time and in opening new businesses, roadways, etc. for use. This is also the case during natural catastrophes like floods along the Gulf Coast and even when health epidemics occur. To assist your design or construction company in obtaining a building permit in a timely manner, below you will find 5 basic tips to minimize contributing factors that can cause a delay. • QA/QC all documents in your permit package prior to submitting to jurisdictio • Check jurisdiction’s web site for guidelines and checklists based on your project type • Call jurisdiction’s Plan Reviewers and Plan Analysts to discuss areas of concerns • Ask a building code and permitting expert for assistance • Address all RFI’s with enough details versus leaving blank
In addition, with the epidemic causing a lot of concerns for architects, project owners and contractors, we are monitoring state of Texas area jurisdictions impact on staffing, hours of operations, type of submissions and
other changes in processes that may delay plan reviews and issuance of permits. Also, most of the jurisdictions that we work with realize the importance of their role and are responding as quickly as possible. All the jurisdictions that we have spoken with are attempting to adhere to normal plan review times, but you should plan for a delay of some magnitude.
Here’sthe theLatest LatestNews Newson onSome Texas Area Here’s Some Texas Area Permitting Centers Permitting Centers CITY OF PEARLAND (COP) – As of the time of writing this article, COP jurisdiction is business as usual. Check web site for the latest on operation and staff levels. CITY OF DALLAS (COD) – Electronic submissions of permit packages is the current process. Appointments are required to meet with a Plan Reviewer and to drop off any documents. CITY OF HOUSTON (COH) – All paper plans are to be converted to soft copy and all submissions are to be done electronically. You can check the web site for information and guidance on submitting online. Inspections at the time of this writing are being completed as usual.
CITY OF AUSTIN (COA) – Onsite meetings occur by appointments only with Plan Reviewers. Inspections are being handled virtually. More information is available on COA’s web site. CITY OF SAN ANTONIO (COSA) – At the time of this article, it is business as usual and inspection are as usual. Please monitor the web site for any changes as things are changing rapidly or you can call PermitUsNow at 1.844.PERMIT.4. FORT BEND COUNTY – Meetings with Plan Reviewers and dropping off any documents are by appointment only at the time of this writing. Inspections are as usual. HARRIS COUNTY – Accepting plans electronically.
In Conclusion The 5 basic tips shared above are meant to alert the design and construction community to keep in mind simple steps to use to minimize frustration and delays in city permitting. We suggest staying in close communications with jurisdictions, monitoring permitting centers’ web sites, answering your phone and checking your email to make sure progress is being made. Whether the construction market in your region is hot, warm or cold for whatever reason, obtaining a building permit in a timely manner is vital to help make sure structures of all kinds are built safe and ultimately, aid in improving quality of life. If you have updates on changes at jurisdictions and tips on permitting, please let me know. I’d love to hear from you at 1.844.PERMIT.4 and Linkedin. #BuildSafe
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SAFETY
Autodesk and Associated General Contractors of America Equip Women in Construction with Properly Fitting Safety Harnesses Grant Program Provides More Than 300 Women with Harnesses that are Better Designed to Fit & Recruit More Women into Industry By Subcontractors USA News Provider
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utodesk and the Associated General Contractors of America are awarding grants to 21 construction firms to provide more than 300 fall protection safety harnesses designed for women, the two groups announced today. The grants are designed to address one of the most significant safety hazards for construction craft professionals and recruit more women into high-paying construction careers. “We recognize the need for more women to join the construction industry to help fill the labor gap, and keeping them as safe as possible must be top priority,” said Allison Scott, director at Autodesk “For three hundred women in construction, AGC and Autodesk are highlighting this need, and this is a first step in drawing attention to the importance of personal protective equipment (PPE) and other customized equipment for women.” Scott noted that women make up less than nine percent of the total construction workforce, and less than three percent of the construction craft pr of e s s i on a l workforce, a c c ord-
ing to federal data. Meanwhile, U.S. Occupational Health and Safety Administration data shows that falls in construction are one of the ”fatal four(link is external)” leading contributors to injury and death for workers in the industry. “Our members understand that the best way to recruit more women into the industry is to make sure they have the support to do their jobs safely,” said AGC of America’s chief executive officer, Stephen E. Sandherr. “These grants will help equip hundreds of women with the kind of custom equipment and properly-fitting safety gear they need most.” Sandherr noted that ill-fitting personal protective equipment can fail to prevent and even contribute to serious injury from falls. He added that the grants will not only improve safety but help construction firms address labor shortages at a time when 80 percent of firms report having a hard time finding enough qualified workers to hire. Representatives with the winning firms report the new grants will help them improve their safety programs and recruit more women into the industry. “We are constantly innovating and addressing ergonomics and safety to help our workers do their jobs better,” said Russ Nicolai, safety manager, Snyder Roofing. “This grant comes at a critical time, and we couldn’t be more pleased to have conversation and ultimately equipment to address the needs of women in the roofing industry.” “Men make up 90 percent of the construction labor force. The crushing labor shortage has highlighted that an entire gender comprising more than 50 percent of the population has zero exposure to construction,” said Anne Brown, director of business development and marketing, Christman Constructors, Inc. “We care deeply about diversity and safety in the construction field and stand with AGC and Autodesk. It’s time to focus on supporting women and opening their eyes to this great field.” “We strive to have an open conversation with our female employees around personal safety and what they
require to do their jobs comfortably,” said Billy Naylor, regional safety director, McCarthy. “Properly fitting equipment for females is an issue across the construction industry, and we are excited to advance the discussion and begin implementing a solution to the problem of ill-fitting PPE for women.” Together the 21 firms winning the grants employ 22,000 people. The firms are: 1. Hughes General Contractors (North Salt Lake, Utah) 2. Hurckman Mechanical Industries (Green Bay, Wis.) 3. Swalling General Contractors, LLC (Anchorage, Alaska) 4. Mid-Valley Commercial Construction (Salem, Ore.) 5. Wayne Electric, Inc. (Houston) 6. Christman Constructors, Inc. (CCI) (Lansing, Mich.) 7. Faith Technologies (Menasha, Wis.) 8. Thompson Electric Company (Sioux Falls, S.D.) 9. Newkirk Electric Associates, Inc. (Muskegon, Mich.) 10. Healy Tibbitts Builders, Inc. (Aiea, Hawaii) 11. Capital Electric Construction Co., Inc. (Kansas City) 12. Snyder Roofing of Oregon (Tigard, Ore.) 13. Elcon Corp. (Everett, Wash.) 14. W.S. Bellows Construction Corp. (Houston) 15. McGough Construction (Roseville, Minn.) 16. Tarlton Corp. (St. Louis) 17. McCarthy Building Companies, Inc. (Dallas) 18. Wanzek Construction, Inc. (Fargo, N.D.) 19. Med-Tex Services (Philadelphia, Penn.) 20. Rosendin Electric, Inc. (San Jose, Calif.) 21. Performance Contracting Inc. (Pasadena, Texas)
AGC is partnering with safety equipment manufacturers MSA and 3M to provide the proper-fitting safety harnesses designed with women in mind, and all winning firms are required to participate in training programs on the proper use of the harnesses.
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Source: Associated General Contractor
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MORE THAN BRICKS AND MORTAR
As one of the nation’s largest commercial builders, Turner is dedicated to providing avenues of opportunity for Minority- and Woman-Owned Businesses in Houston to achieve entrepreneurial success. Our commitment to social responsibility and fair play is not just on paper; it is ingrained in our corporate culture. We are devoted to making sure the contributions that strengthen the local economy reflect the demographics of the community at large.
w w w. t u r n e rc o n s t r u c t i o n . c o m
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SAFETY
SAFETY
OSHA advisory committee discusses major industry hazards By Subcontractors USA News Provider • Last week, the Advisory Committee on Construction Safety and Health (ACCSH), which makes construction regulation recommendations to OSHA, held two public teleconference meetings to address how the agency could increase awareness and potentially update its standards for hazards that pose a great risk to industry workers — falls, excavation and trenches, opioids and suicide. • For falls, committee members discussed the uptick in attendance at OSHA Training Institute (OTI) education centers around the United States but also how training could be more effective in reaching workers, such as letting employers who receive fall-related citations know that courses are available; creating more field-friendly materials — i.e. QuickCards — to make onsite training more convenient; and using technology, like online courses, to reach more workers. • Annual stand-downs continue to be an effective tool to raise worker awareness of both falls and excavation hazards, but excavation industry representatives said they are still having trouble reaching very small contractors about safeguarding their projects.
ommittee members also discussed ways to intervene with employees who are misusing or abusing opioids, as construction workers are six to seven times as likely as workers in other industries to die of overdoses. The construction industry also faces a higher-than-average suicide rate, and the committee listened to a presentation on how to make workers more comfortable talking about and coming forward with the mental health issues that are precursors to suicide. One example given the committee on how to curtail opioid abuse was to intervene "upstream" by suggesting alternate pain therapies to health professionals when a worker is first injured in order to prevent misuse downstream. Another type of early
C
intervention is to increase the effort to reduce jobsite injuries, thereby eliminating the need for pain relief. Although not a formal suggestion, the committee discussed the possibility of recommending that the 30-hour OSHA training course include a module on opioids and suicide. According to Michelle Walker, chair of the Construction Industry Alliance for Suicide Prevention, construction workers committed suicide at a rate of 49.4 per 100,000 workers, almost three-and-one-half times the overall average suicide rate of 14.2 per 100,000. For each suicide death, Walker said, there are 25 attempts. Employers, said Walker, need to be aware of the advantages of reaching out to workers who could be in crisis. Aside from potentially preventing a suicide, $1 of investment into mental health typically yields a $4 return. The committee also discussed the dilemma facing OSHA and employees regarding 10-hour and 30hour training classes, which have no expiration dates. Employers, said Wesley Wheeler, national director of safety at the National Electrical Contractors Association, are increasingly asking for updated credentials from their employees after five years or so, but, because they do not expire, there is no refresher course. This means, Wheeler said, that many employees have to re-take the entire course. There was no official recommendation about adding a renewal course for further certifications, but the committee left open the option for future discussions around the topic. The committee also discussed the need for more targeted competent person training that takes into consideration the different needs from project to project. ACCSH meetings are open to the public and are noticed in the Federal Register. The 15-member committee, which meets two to six times annually, is made up of appointees representing employers, employees, state health and safety agencies, the public and the Secretary of Health and Human Services, which is usually someone from the National Institute of Occupational Safety and Health. Source: Construction Dive
Shutting Down Construction Projects Is An Unnecessary Step, Will Harm Economy & Undermine Recovery Efforts, Construction Officials Say By Subcontractors USA News Provider
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onstruction Firms Are Already Taking Steps to Protect Employees, Most of Whom Already Wear Protective Equipment, While Halting Work Will Undermine Efforts to Add Hospital Capacity The chief executive officer of the Associated General Contractors of America, Stephen E. Sandherr, issued the following statement in reaction to steps being taken to put in place arbitrary halts to construction activity in certain parts of the country: “Halting construction activity will do more harm than good for construction workers, community residents and the economy. Construction firms are already acting to ensure the safety and health of their employees in the face of the coronavirus outbreak. These new measures, which include increased hygiene and halting group gatherings of staff, are in addition to the fact construction workers already wear protective equipment, including gloves that will help protect them and their co-workers. “Given the precautions already in place, halting construction will do little to protect the health and safety of construction workers. But it will go a long way in undermining economic vitality by depriving millions of workers of the wages they will need over the coming days. At the same time, these measures have the potential to bankrupt many construction firms who have contractual obligations to stay on schedule or risk incurring significant financial penalties. “In addition, halting construction projects will undermine ongoing, and future, recovery efforts in regions hit by natural disasters, and will also undermine any future efforts to expand hospital capacity. “We understand the need for social distancing to help slow the spread of coronavirus. But needlessly shutting down projects where workers are already protected will not help. Instead it will threaten the livelihood of millions of craft professionals, force many small and family-owned businesses to shut down, and undermine the nation’s ability to respond to natural disasters, including the coronavirus. “In the unfortunate event construction is halted, we urge construction owners to consider continuing their scheduled payments to contractors as a down payment for work to be completed on the project. These payments will help mitigate some of the potential economic impacts of construction shutdowns.” Source: Associated General Contractor
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TRANSPORTATION
TRANSPORTATION
DFW Airport Earns Title of “Best Large Airport” in North America for Customer Satisfaction Two Years in a Row
METRO's Smart Project Management Means Major Financial Boost from Feds By Subcontractors USA News Provider
T
he federal government is rewarding METRO and the Houston region with up to $18.5 million in grant money for construction of a new transit center. The money was originally part of the financing for the METRORail Northline extension. When that project was completed early and significantly under budget, METRO sought to utilize those savings for additional transit improvements.. Today the U.S. Department of Transportation's Federal Transit Administration awarded use of a portion of those savings to help build a new Northline Transit Center at the end of the Red Line. The transit center will have seven bus bays and a 660-space parking garage. The total cost for the project is estimated at $37 million. As part of the METRONext Moving Forward Plan approved by nearly 70 percent of voters last fall, METRO is building or improving
By Subcontractors USA News Provider
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21 transit centers and Park & Rides. "We are very pleased with the federal government's decision. As METRO continues to look for opportunities to improve mobility throughout our region, federal participation will be critical," said METRO President & CEO Tom Lambert. METRO has often been recognized for being financially prudent by ratings agencies and the Authority is committed to being good stewards of tax dollars. METRO is one of three transit agencies announced in a news release today that will be allowed to use cost savings for additional projects. "FTA considers and approves additional project activities using the federal share of a project’s cost savings," said FTA Acting Administrator K. Jane Williams. "We encourage project sponsors who deliver complete projects under budget to discuss these options with us to maximize the benefits that cost savings can bring to their communities."
or the second year in a row, Dallas Fort Worth International (DFW) Airport has earned the title of "Best Large Airport," among North American airports serving more than 40 million passengers each year, according to Airports Council International (ACI). "This is the third time in four years that DFW has earned the distinction of Best Large Airport for customer satisfaction, recognizing our focus on customers and the efforts of our employees and partners," said Sean Donohue, CEO of DFW Airport. "With the recognition again from ACI, the industry and our customers are recognizing our investments in people, innovation, technology, and infrastructure to transform travel." The ACI ASQ program is the airport industry's only global benchmarking program that measures key performance indicators of the passenger airport experience. "DFW Airport’s focus on the customer continues to drive our business strategies, programs and enhancements," said Ken Buchanan, executive vice president for Customer Experience and Revenue Management. "We are extremely excited and honored to receive this award for the second year in a row on behalf of our employees and partners." The ASQ program delivers an in-depth assessment of the quality of the customer service experience, including cleanliness, check-in, security, wayfinding, food and beverage offerings, and more.
Source: METRO
Source: DFW
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