Jul-Aug 2009 NL.indd by yaofenjin


									   W S
N E                                                       2705 Dougherty Ferry Road • Suite 203 • St. Louis, MO 63122
                                                         (314) 966-2950 • Fax (314) 966-2999 • website: www.sitestl.org

                                                                                               July/August 2009

                       REGULAR GOLF TOURNAMENT
                                    Monday, August 17th
           TIM .      Norwood Hills Country Club
      T EE P.M
       12:       Check-In & Cart Assignment: 11:00 a.m.
                        Lunch:                       11:00 – 11:45 a.m.
                        SHOTGUN:                             12:00 p.m.
                        Cocktails:                            5:00 p.m.

You don’t want to miss the opportunity to compete for Hole-in-One prizes, the championships of
Flights A, B or C, Closest-to-the-Hole, Longest Drive and Putting Contest; most importantly, the
“famous” filets.
NEW MEMBERS         We welcome the following new members to SITE:

                               David D. Danz Grading
                                Mr. David D. Danz
                                345 Red Hawk Drive
                                Sullivan, MO 63080
                                  (314) 581-1466

                         Fenix Construction Co. of St. Louis
                               Mr. Steve Ladenberger
                               4655 Lemay Ferry Road
                                St. Louis, MO 63129
                                   (314) 892-4700

                          Mosaic Construction Services, Inc.
                               Mr. Jeremy Rodriguez
                                3101 Cherokee Street
                                St. Louis, MO 63118
                                   (314) 664-1122

                       Reed and Scharf Construction Co., Inc.
                                  Mr. Rick Scharf
                                1346 Coburg Lands
                               St. Louis, MO 63137
                                  (314) 869-0060

HOLIDAYS            Reminder - - Labor Day observed on Monday, September
                    7th is a holiday per the SITE Improvement Association,
                    Bituminous Pavers, and Landscapers agreements. Work
                    performed on this holiday under any of these collective
                    bargaining agreements shall be paid at the double-time

                    SITE office will close on Monday, Sept. 7th in observance
                    of Labor Day.

FUTURE ACTIVITIES             General Membership Meetings:
                               Marriott West at Maryville Centre
                                 Wednesday, September 9th

                                  Wednesday, October 14th
                                  Wednesday, November 11th

                                   SITE’s Christmas Party
                                     Hilton at the Ballpark
                                    Saturday, December 5th
                                                 From the Desk of Jay Schultehenrich
                                                         Executive Director

Recently, a contractor member of SITE approached me and asked me to explain the importance of including
attorney fees when a mechanics’ lien is filed. This member primarily performs highway or road work within
the public sector and has therefore never filed a mechanics’ lien. I pointed out to him that his company and
any company performing work within the public sector is already afforded the opportunity, through state
statute, to collect attorney fees if his company was forced to file a claim for payment against a public entity.
The same is not true when a contractor performs private work.

Statistics show that contractors, both generals and subs, during 2007 and 2008, within St. Louis City, St.
Louis County and St. Charles County filed 1,985 mechanics’ liens amounting to $78,963,378. Through
the first five months of 2009, for St. Louis City and County only, there have been 237 mechanics’ liens
filed for $10,257,906. These statistics do not include any mechanics’ liens filed by suppliers which would
probably raise this dollar amount significantly. During this 29-month period (January, 2007 through May,
2009), forty contractor members of SITE were forced to file mechanics’ liens totaling $8,441,221. How
many other subcontractors accepted eighty or ninety cents on the dollar as a final payment to avoid filing
mechanics’ liens? We’ll never know that dollar amount; but every contractor member that I have talked to
about the issue of liens tells me their story of accepting less than what they bid and did the work for. These
numbers are significant! These statistics indicate a reason why Taft-Hartley Trust Funds are seeing more and
more subcontractors falling behind in their commitment with fringe benefit contributions. But we heard
last year from the HBA and AGC that there is no problem. Maybe the problem is that some developers and
general contractors have become accustomed to the practice of automatically lowering the subs’ numbers
or in other words, “squeezing subcontractors”. This practice is not industry wide. But if the reputable
developers and generals allow this practice to continue, they will find themselves in a position of having to
follow this practice. The process of bidding that has provided a fair and competitive basis for generals and
subcontractors to obtain work is in jeopardy. Including attorney fees in a mechanics’ lien judgment would
significantly nip this unscrupulous practice in the butt.

When a problem occurs within an industry such industry needs to address the problem for the sake of such
industry. When an industry fails to address the problem, government intervention via new laws or regulation
are sought to correct the problem. One only needs to look at the mortgage and banking industries to find
industries that failed to correct a problem, over lending. Now these industries are seeing more and more
governmental scrutiny. There is a problem and SITE, along with other construction associations, plan to
again take its case to the Missouri legislature. However, maybe some within the development and general
contracting sectors of the industry will step forward and assist in resolving this problem.
         Tuesday, June 2nd ~ Whitmoor Country Club ~ St. Charles

                                                                Thanks to these sponsors for
                                                                their generous contributions
                                                                       Accurate Asphalt Paving
                                                                           R. Barr Consulting
                                                                            Bi-State Utilities
                                                                   Bituminous Casualty Insurance
                                                               Bobroff, Hesse, Linmark & Martone, P.C.
 Registration took place while participants enjoyed lunch
                                                                         Budrovich Excavating
 before getting out on the course for a good day of golf and             Bussen Quarries, Inc.
                                                                       Collins & Hermann, Inc.
                                                                    Erosion & Drainage Products
                                                                     Hereford Concrete Products
                                                                          K & P Precast, Inc.
                                                                         Kirkwood Excavating
                                                                         J.D. Kutter Insurance
                                                                           Leritz Contracting
                                                                            Limited Leasing
                                                                        Lombardo’s Restaurant
                                                                Marriott West Hotel - Maryville Centre
                                                                        Millstone Bangert,Inc.
                                                                          Missouri Petroleum
                                                                        Oreo & Botta Concrete
                                                                           Pace Construction
                                                                         Rackers & Fernandez
                                                                            SCI Engineering
                                                                 Sandberg, Phoenix & von Gontard
  The Couples Golf Committee thanks                               Schaefer-Meyer Grading Div., Inc.
   all the sponsors for their generous                                     Sellenriek Grading
       donations which resulted in
                                                                 Silver Eagle Construction Products
         many attendance prizes.
                                                                            J.W. Terrill, Inc.
   Co-chair Dave Bangert (Limited Leasing)
                                                                  Thomas Industrial Coatings, Inc.
Co-chair Brenda Mainer (J. D. Kutter Insurance)
                                                                          TraMar Contracting
    Chylene Daub (Kirkwood Excavating)
     Guy Litteken (Erosion & Drainage)                                        Tri-Star Tire
    Terry Milne (Oreo & Botta Concrete)                                     Vee Jay Cement
     Drew Sellenriek (Sellenriek Grading)                               N.B. West Contracting
           Tuesday, June 2nd ~ Whitmoor Country Club ~ St. Charles

Winners of Championship Flight – from left to right – Larry        Winners of A flight – from left to right – sitting Chris & Tom
& Kathleen West (N. B. West Contracting), Terry & Tom Milne        Bates (Bates Utilities) and standing Candy & Pete Mohs (J. W.
(Oreo & Botta Concrete). Tom Milne was also the winner of          Terrill).
Closest to the Pin on hole #16. Larry & Kathleen West won 3rd
place in the Couples Putting Contest.

                                                                   The smiles on the golfers’ faces proved that the rain and a brief
                                                                   interruption due to lightning did not ruin a good time for this
Winners of B flight – from left to right – Terry Bileddo (Central   Kirkwood Excavating team. Marian King was the winner of
Stone), Colleen West (N. B. West Contracting), Jessica Swick       the Closest to the Pin on hole #13. Left to right – Fred &
(Pace Construction) and Jamie Fuller (Central Stone).              Marian King and Ray & Chylene Daub.

Left to right – Tom & Pam Fichter (Fabick CAT) and Carole &        Sergio Fernandez, (Rackers & Fernandez), and lovely wife,
Ron Schaefer (Schaefer-Meyer Grading). Carole Schaefer was         Julie. Sergio was the winner of the Longest Drive on hole #12
the winner of Closest to the Pin on hole #11.                      in category 55 and under.
           Tuesday, June 2nd ~ Whitmoor Country Club ~ St. Charles

Left to right – Rich & Sandy Thompson (Silver Eagle Construction     The Hereford Concrete Products Team - Left to right, Joe & Dee
Products) and Kathy & Pat Bates (Bates Utilities). Sandy was         Reiser, Charlene Gifford and Jeff Lynch. Dee was the winner of
the winner of Longest Drive on hole #2 in the category 55+.          Longest Drive on hole #2 in the category of 55 and under.

                                                                     Winner of 2nd Place Couples Putting Contest were (left to right)
                                                                     Mike Shepard (Collins & Hermann), Kim Connell, Teresa and
                                                                     Eric Sauer (J. D. Kutter Insurance).

The Team with the Most Winners - Left to right – Rich & Barb
                                                                                Winner of Closest to the Pin #3
Barr (R. Barr Consulting) and Mary & Jay Schultehenrich                         – Terry Briggs, SITE’s director
(SITE Improvement Association). Rich was the winner of                          of governmental relations.
Closest to the Pin on hole #6. Jay & Mary Schultehenrich won
1st place of the Couple Putting Contest. Jay won the Longest
Drive on hole #12 on the category of 55+.

                                                                   Congratulations To Larry West (N. B. West Contracting)

                                                                   on his Hole in One on the 175 yards, No. 8 hole at Falls at
                                                                   Turtle Creek in O’Fallon, Missouri on Tuesday, July 21st.
                                                                   Larry used a 7 wood; however, a witness who wishes not
                                                                   to give his name, claimed that Larry supposedly hit with
                                                                   a 3 wood and it was 120 yards, not 175). We hope Larry
        To Larry West                                              will not wait for another 5 years to get the next Hole in
                                                                   One. (His first Hole in One was in 2004 at Greenbriar
                                                                   Country Club).
                                Young Executives of SITE (Y.E.S.)
                              7 Annual Fundraising & Evening Golf
                                    Tuesday, July 14, 2009
                                   Pheasant Run Golf Course
Y.E.S. Steering Committee wishes to thank Y.E.S. members and guests for making the 7th annual fundraising
& evening golf a successful event.

                                                                                                   Left to right – From Pace
                                                                                                   Construction - Randy
                                                                                                   Besand, Andy Ernst
                                                                                                   (SITE’s 2009 president),
                                                                                                   Lee Newton, Doug
                                                                                                   Cornett        (Cumming,
                                                                                                   McGown & West) were
                                                                                                   winners of B Flight.

Left to right – Winners of A Flight were the Fabick
CAT Team – Tom Schuman, Mike Marschuetz and
Stan Bramer.
Left to right –Chris
Milne (Oreo & Botta
Concrete), Tom Drohr
(Jones Grading &
Excavating), Pete Mohs                                                 Left to right – Frank Marchesi, Sr., Mike Jerome (Bi-
(J. W. Terrill) and Jeff                                               State Utilities), Joe Leritz (Leritz Contracting) and
Jones (Jones Grading).                                                 Tom Milne (Oreo & Botta Concrete). Tom won the
Pete was the winner of                                                 Closest to the Hole on hole #17.
the Closest to the Hole
on hole #4.

        2009 YES Steering Committee                                         Y.E.S. Steering Committee
           Thanks All the Sponsors                                   Co-Chair Colleen West (N. B. West Contracting)
         for their Generous Donations                                           Co-Chair Erik Thompson
                                                                         (Silver Eagle Construction Products)
  A.S. P. Enterprises                 Missouri Petroleum
                                                                           Craig Bussen (Bussen Quarries)
  AgriCycle, Inc.                     Nor-Vel Construction
  Bi-State Utilities                  Oreo & Botta Concrete              Chris Milne (Oreo & Botta Concrete)
  Bussen Quarries                     SCI Engineering
  Cumming, McGowan & West             Schaefer-Meyer
  Fabick CAT                            Grading Division          Special thanks to Tom McDonnell (George
  Hoette Concrete                     Silver Eagle Construction   McDonnell & Sons) for a set of 4 tickets to
  J.W. Terrill                          Products                  a St. Louis Cardinals Game. Thanks also to
  Jones Grading & Excavating          TraMar Contracting, Inc.    SITE Improvement Association for a set of 4
  Kienstra Precast                    Tri-Star Tire Sales, Inc.   tickets with a parking pass to a game during
  McCann Concrete Products            N. B. West Contracting
                                                                  the St. Louis Blues 2009-2010 season.
                    SITE Sponsored MSD Yellow Book Seminar
                             Tuesday, July 21, 2009

The Metropolitan St. Louis Sewer District (MSD) recently completed a review and rewriting of its
construction specifications booklet, better known as the Yellow Book. The SITE/AGC-St. Louis/
MSD committee, composed primarily of sewer contractors, did have input on the review and drafting
of the new Yellow Book. MSD is now prepared to implement the changes. To assist contractors
working on MSD & private sewer projects, SITE sponsored a seminar explaining the changes and
how it may or may not impact when contractors working on MSD projects and on private sanitary
and stormwater projects throughout MSD’s service area. One free copy of the book was provided
to each company sending a representative to the meeting. (The cost of this book is $25.00 when
purchased directly from MSD).

The seminar was funded by SITE’s industry fund and offered at no cost to SITE’s contractor members.
If you were unable to attend the seminar, contact MSD directly if you wish to purchase the Yellow
Book. Please contact Terry Briggs at tbriggs@sitestl.org if you have any questions about this seminar
or MSD projects.
      From the Safety Side
              By Mark Bullock, Coordinator of Labor Relations & Safety

SITE Improvement Association held a Safety Committee Meeting on July 7th. John Hoette of Hoette
Concrete Construction was appointed Chairman. Other participants of the committee included Dave
Callies of Kelpe Contracting, Terry Daub of Daub Excavating, Frank Marchesi, Jr. of Bi-State Utilities, and
Steve Peery of Kienstra Precast. The main focus of the Safety Committee was the revision of SITE’ Accident
Prevention Manual, which was last updated in 2006. The committee also explored safety related seminar
topics, and other safety issues. If you would like to participate in the Safety Committee, or have suggestions
for changing the Accident Prevention Manual, please contact me at mark@sitestl.org of SITE’s office at

In the May issue of From the Safety Side, it was reported that 135 new OSHA inspectors were being hired.
The number that OSHA is currently reporting for new inspectors has risen to 500, with a majority of the
inspectors assigned to review projects funded by the stimulus funds. The Federal Government has approved
a 10% increase in its operating budget from 2009 in order to fund the new inspectors. Also included in their
budget is $2.2 million for new standards development of the current OSHA regulations. This will almost
assure greater OSHA restrictions in the future.

   SITE Awards Scholarships to St. Louis Construction Careers Center

SITE continues to show support to the
St. Louis Construction Careers Center by
providing $2,500 scholarships to Lamont
Anderson, a 2008 graduate and Joshua Wright,
a 2009 graduate. Both Lamont and Joshua
were recommended by Ms. Gwen Crimm to
receive the awards based on their academic
achievement. Lamont receives his 2nd $2,500
by meeting the requirement of maintaining a
2.5 grade point average at Southern University
in Louisiana. Lamont majors in Architectural
Design. Joshua plans to study mechanical
engineering at Pittsburg State University in        Left to right - Gwen Crimm, Placement Coordinator - Construction
Kansas.                                             Careers Center, Charles Bollmeier (C. E. Bollmeier Company)
                                                    Chairman of Scholarships Committee, 2008 Scholarship
                                                    Recipient Lamont Anderson, 2009 Scholarship Recipient Joshua
                                                    Wright, Andy Ernst (Pace Construction) SITE’s 2009 President
                                                    and Jay Schultehenrich, SITE’s Executive Director.
                                                      bill also changes violation of mud flap requirements
                                                      on vehicles from a misdemeanor to an infraction, a
                                                      lower penalty, usually a fine.
                                                      And finally, House Bill 1075, which increases the
                                                      number of weeks an unemployed individual can receive
                                                      unemployment benefits and removes a $450-million
                                                      cap on how much bonding the state can issue to help
                                                      finance unemployment benefits.

        LEGISLATIVE                                              OSHA 10-HOUR REMINDER

          REPORT                                      Contractors working on public works jobs need to
                By Terry Briggs,
                                                      have all their employees working on such projects
      Director of Governmental Relations              certified as having taken the OSHA 10-hour safety-
                                                      training program by August 28, 2009. A state law
                                                      passed two years ago requires the training for all on-
      STATE LEGISLATION BECOMES                       site employees.
       EFFECTIVE AUGUST 28, 2009
                                                      An amendment to the law was passed this year (H.B.
Legislation approved by the General Assembly this     390 noted in the previous article), clarifies who is
year and signed by Governor Nixon will become         covered by the law and that a contractor’s employees
effective on August 28, 2009, unless another          need only to have completed the OSHA 10-hour one
specific date was noted in the bill. Governor          time to be certified to work on multiple public works’
Nixon vetoed 23 bills and line item vetoed several    job sites.
appropriation measures this year. None of the bills
dealt specifically with the construction industry.     JURISDICTIONAL ISSUE RESOLVED AT MSD

Bills of interest to the construction industry that   SITE has voiced its concerns to the Metropolitan St.
were signed by the governor included:                 Louis Sewer District (MSD) Board of Trustees regarding
House Bill 359, which allows MoDOT to enter           the District’s interference in a union jurisdictional issue
into design/build highway projects, but limits the    involving a SITE contractor. Earlier this year, one
number of such project to no more than 2-percent      of SITE’s contractor members in the utility division
of all the highway projects contained in MoDOT’s      experienced a problem with MSD regarding a repair
State Highway Improvement Plan (STIP) for a           job on a force main (sewer where the wastewater is
given year.                                           pumped or forced through the pipe rather than by
House Bill 390 clarifies who must have OSHA            gravity) sewer that had broken. The contractor in this
10-hour training on public works construction         case has and continues to use members of the Laborers’
projects (more on this later).                        Union to install this type of sewer piping.
House Bill 683 expands MoDOT’s authority to
enter Public-Private Partnerships to include other    After starting the repair, an MSD official informed
forms of transportation (airport improvements,        the contractor he must use members of the Pipefitters
railroad, etc.) and not be limited only to bridge     Union to make the repairs or subcontract the work
work.       The measure grants public-private         to another company that employs pipefitters. The
partnerships tax exempt status from sales and use     contractor refused and was threatened with the loss of
taxes on purchases made for such projects. This       the job by the MSD representative.
After a tense day, the matter was defused and the       more may face some new requirements from the city.
contractor completed the work with some assistance      The St. Louis Board of Aldermen approved a bill at
from MSD’s own workforce.                               its last meeting in July before summer recess placing
                                                        new hiring goals for city residents, minorities, women
SITE, in a letter and a verbal presentation to          and apprentice workers on city funded construction
the MSD Board of Trustees stated that public            projects. The bill awaits Mayor Francis Slay’s signature
bodies should refrain from becoming involved in         before becoming law.
jurisdictional matters and that these types of issues
should be resolved by the unions and the contractors    The goals in the ordinance require contractors and
working on projects. MSD’s Board of Trustees            sub-contractors to; have 20 percent of the labor hours
agreed it should not get involved in jurisdictional     on a job be performed by city residents, 25 percent of
matters, but its chairman, who happens to be an         the labor hours must be from minorities, 5 percent of
attorney representing the Pipefitters’ Union, said       the labor hours from women and 15 percent of the
he viewed the issue as more of a prevailing wage        labor hours must be from apprentices in a certified
matter.                                                 apprentice program. While waivers could be granted,
                                                        the city Board of Public Service, which awards
SITE quickly noted to the chairman that prevailing      construction contracts, is expected to be very frugal in
wage only covers the wage and benefit packages           giving them.
paid to workers, not who performs the work. At its
June Board meeting, the chairman announced he           SITE expressed its concerns to the aldermen when the
would abstain from voting on ordinances awarding        bill was heard in committee. This new hiring goal on
contracts involving force main sewer projects.          contractors will undoubtedly increase construction
However, at its July Board meeting, the chairman        costs, but that didn’t seem to faze the aldermen nor
voted on two force main construction projects.          did the prospect of not finding enough qualified
                                                        workers to meet all the goals. It was also pointed out
Even though the chairman voted to award the             that contractors signatory to union agreements have
contracts, SITE pointed out he had violated his own     to meet the union agreement requirements for hiring
previously stated policy regarding voting on force      apprentices and those agreements may not be the same
main sewer work. The chairman acknowledge his           as the city’s requirement. Again, the aldermen were not
error and said he would amend his vote at MSD’s         responsive to this concern.
August meeting. We will have to wait and see.
                                                        Members of various clergy groups in the city had
In the meantime, SITE personnel will continue           pushed for the ordinance as a means of putting more
attending and monitoring the MSD Board of               city residents to work and keeping them working by
Trustee meetings to ensure there is no more             making them apprentices in various trade unions.
involvement on the part of Board members or staff       The clergy group kept citing the success of the I-64/
into jurisdictional issues. SITE has fought long        Highway 40 construction program.
and hard on the force main or pressure pipe issue
and will continue to do so to represent the interest    One of the first projects to be impacted by this new
of our contractors.                                     ordinance will be a $22-million north city recreation
                                                        complex to be built in O’Fallon Park. The city has
NEW CITY ORDINANCE IMPACTS WORK                         delayed accepting and opening bids on this project
 ON ST. LOUIS CITY PUBLIC PROJECTS                      until this type of ordinance was passed.

Contractors planning to work on St. Louis City
funded public works projects of $1-million or
                           HIGHWAY CONTRACTORS TAKE NOTE
The Missouri Department of Transportation, MoDOT, began a new policy regarding the submission of bids. Effective
July 24, for any bid opening in which the cost estimate is $250,000 or more for construction, the bids must be
submitted electronically using the BidExpress website. Those who normally bid with MoDOT should be familiar
with this site. Any paper bid submitted on a project of more than $250,000 will be considered irregular.

Contractors submitting bids on MoDOT projects estimated at $250,000 or less can still submit paper bids.

Instructions on how to become qualified to bid electronically can be found on MoDOT’s Bid Opening Info website
or contacting Natalie Roark at 573/751-3726.

                      SITE’s 2009 Membership Directory
SITE’s 2009 Membership Directory has been published and mailed to all member companies.
The revised directory reflects new members, new addresses and new company representatives.

Contact Olivia Pieknik at Olivia@sitestl.org at SITE’s office if your company would like ad-
ditional directories. Thank you for your continued support.

         2705 Dougherty Ferry Road • Suite 203
                          St. Louis, MO 63122
                               (314) 966-2950
                           Fax (314) 966-2999
                      website: www.sitestl.org

     Andy D. Ernst - Pace Construction Company

    Tom Milne - Oreo & Botta Concrete Company

       Peggy McGrath - TraMar Contracting, Inc.

                          Executive Director
                            Jay Schultehenrich

                         Newsletter Editor/
                  Director of Administration
                                Olivia Pieknik

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