Newsletter 2012-4                                                                                                   January 27, 2012

PRESIDENT OBAMA NOTES INFRASTRUCTURE IN STATE OF THE UNION ADDRESS

On January 24, 2012, President Obama issued his State of the Union address to call on the federal government to reform itself by streamlining the federal government and cutting burdensome regulations for Americans who are still hurting from the recession. The president mentioned he has proposed over 500 regulatory reforms designed to save $10 billion over five years. With respect to infrastructure investment, he touted his plan, which was implemented in fall 2011 as a pilot program, to improve the effectiveness and efficiency of federal permitting and review processes for construction projects. He also announced he would sign an Executive Order making the program permanent. While these initiatives have had a positive impact on a limited number of projects, it will take changes to the law to really speed up project delivery.

President Obama also proposed several ideas that will have a very tough time passing the Republican-controlled House of Representatives. In particular, he once-again called for a millionaire tax, an immigration reform package, new clean energy and renewable energy incentives. AGC will closely examine these proposals as they are detailed by the White House and also provide a detailed report on the President’s next steps, which include announcement of his FY 2013 budget.

INFRASTRUCTURE RESERVE FUND INTRODUCED, CANDIDATES ANNOUNCE PLANS - SEE MONDAY’S LEGISLATIVE BULLETIN FOR FULL DETAILS

Governor Earl Ray Tomblin this week introduced H.B. 4252, the “West Virginia Infrastructure Modernization and Development Special Revenue Fund.” The bill was mentioned by Governor Tomblin in his State of the State Address as a way for the state to pay for road improvements without raising taxes. The governor wants to use half of any unspent tax revenue for road and bridge projects, with part of the funds to be made available as grants to cities and counties looking to extend or upgrade water or sewer infrastructure. The Charleston Gazette ran an article on the bill, which can by viewed here. Based on this year’s budget surplus, about $75 million would have gone to the State Road Fund and about $75 million would have gone for water and sewer projects, the governor told the CAWV. See the Monday, January 30 Legislative Bulletin for full details.

In election news, Republican Bill Maloney has announced his intention to again run for governor, Sen. Walt Helmick filed to succeed retiring Agriculture Commissioner Gus Douglass and Delegate Brian Savilla filed for Secretary of State. CAWV member John Casey, Fox Engineering / Fox Construction has filed to represent District 14 in the House of Delegates. The candidate filing period ends Saturday.

CAWV MEMBERS RECEIVE SAFETY AWARD PROGRAM QUESTIONNAIRE

Each year, the CAWV Safety and Crime Prevention Committee invites members of the association to participate in the Safety Award Program. Awards are presented at EXPO in March to companies who have exhibited excellence in safety at the workplace. Members participating in the program are scored on their documented safety policies and procedures, their commitment and approach to safety and health, as well as their recorded statistical data for the year. Special attention is given to the quality of safety training provided to employees and to companies who demand active employee involvement in their safety process.

All association members have received entry information for the 2011 awards cycle, and forms will be available at www.cawv.org.

Information is due by Friday, February 17, 2012. A panel of safety professionals, owner representatives and insurance experts judge the participants. Finalists are chosen from contractors and associates who achieve an excellent performance rating. Awards are presented in the following categories: Building Division, Utility Division, Industrial Division, Specialty Contractor Division and Associate Division.

This year the CAWV Safety Committee has added several prize options, each of which will be customized with the winners name and the CAWV logo. Winners in each category will receive a plaque and 85 award points that can be redeemed for items such as hats, jackets, shirts, travel mugs, golf shirts and a vehicle safety kit. Also, the award will be published in the CAWV Newsletter and West Virginia Construction News magazine. For additional information, contact Pat McDonald at (304) 342-1166 or pmcdonald@cawv.org.              

CAWV ACCEPTING SCHOLARSHIP APPLICANTS

The CAWV Scholarship Foundation Board of Trustees wants to remind members that it is currently accepting applications from eligible West Virginia college/university students for the 2012 Scholarship awards. This year’s top award has been increased to $5,000.  Also, in years past, the foundation has made several additional awards to students for their academic achievements. All CAWV members are encouraged to promote the annual scholarship program.  Also, any member who knows of a deserving West Virginia college resident - sophomore, junior or senior -  who meets the qualifications for the monetary award should advise them to complete and return an application form.  Application deadline is February 24.  Additional information, including an application, may be obtained online at the CAWV’s website or by contacting Pat McDonald at (304) 342-1166 or pmcdonald@cawv.org.

POST YOUR OSHA 300 LOG SUMMARY FORM FROM FEBRUARY 1 TO APRIL 30

Members are reminded to post their OSHA 300 Log Summary form from February 1 to April 30. The forms are available from the OSHA website (http://www.osha.gov/recordkeeping/RKforms.html). Form 300 is used to classify work-related injuries and illnesses and to note the extent and severity of each case. When an incident occurs, use the form to record specific details about what happened and how it happened. The Summary Form, Form 300A, shows the totals for the year in each category. The summary form must be posted on February 1 thru April 30 of each year in a visible location so that employees are aware of the injuries and illnesses occurring in their workplace.

EPA SET TO REISSUE CONSTRUCTION STORMWATER PERMIT SANS TURBIDITY LIMITS

The reissuance of the U.S. Environmental Protection Agency’s (EPA) Construction General Permit (CGP) for stormwater discharges – due out by Feb. 15, 2012 – will not include a numeric turbidity limit or associated monitoring and reporting requirements, according to latest reports from AGC. Instead, EPA is seeking more industry data to correct an error that resulted in a faulty turbidity limit established in the 2009 “Effluent Limitation Guidelines” for the “Construction Development Industry” (C&D ELG) rule. EPA will need many more months to gather better data, propose a correction rule for public comment and then take final action on a revised limitation. For full details, click here to see AGC’s Environmental Observer.

MODEST INCREASE IN CONSTRUCTION YEAR-TO-DATE, PER MCGRAW HILL

Construction projects in West Virginia totaled $5.3 billion in 2011, up from $1.9 billion the year before, according to a report from McGraw-Hill Construction.  But the bulk of the increase can be attributed to two large projects, not an overall increase in construction projects in West Virginia, CAWV Executive Director Mike Clowser explained to the WV Gazette. To view the article, click here. Clowser told reporters that the McGraw-Hill Construction year to date reports include the $400 million natural gas processing plant in Natrium and the $3 billion coal-to-liquids plant in McDowell County. With both large projects removed, year-to-date construction is up 4 percent, $1,919,493,000 in 2010 and $1,988,114,000 in 2011.

Contracts for future construction in West Virginia in December 2011 were down slightly, 3 percent from December 2010, $94 million in 2011 verses $96 million in 2010. Nonresidential construction fell 38 percent, from $47 million in December 2010 to $29 million in December 2011. Nonbuilding construction was up 80 percent, from $25 million in December 2010 to $46 million in December 2011. Nonbuilding construction includes roads, bridges, water and sewer facilities, dams and airports. Residential construction fell 23 percent, from $24 million in December 2010 to $18 million in December 2011. McGraw-Hill provided the following totals for 2011:

                                                                    2011                          2010              Percent Change

Nonresidential                                     $3,762,676,000                       $756,525,000              +++

Residential                                                287,271,000                         372,544,000              -23

NonBuilding                                          1,338,167,000                         790,424,000                69

TOTAL CONSTRUCTION               $5,388,114,000                       1,919,493,000             +++

WV CONSTRUCTION NEWS ON MEMBERS’ DESKS

The November/December issue of West Virginia Construction News should have arrived on members’ desks this week. Inside see a the 2012 Construction Forecast and analyses of West Virginia’s construction industry by WVU BBER Director Dr. Tom Witt and AGC’s Chief Economist Ken Simonson.

Lindsay Stephens, the CAWV Communications Manager, has been named Assistant Editor of West Virginia Construction News, effective with the November/December issue. “Lindsay has been performing more and more functions for the magazine, including writing and design layout,” said CAWV Executive Director Mike Clowser.  “She is giving the magazine a sharper image and her work is helping the association control our printing costs.  Lindsay will be working on a special issue to commemorate this year the magazine’s 75 years of publication.”

JUST A REMINDER THAT EXPO 2012 IS ONLY TWO MONTHS AWAY

Don’t miss out on your opportunity to be an EXPO exhibitor. The Expo Committee hopes you are planning to join them on March 21 and 22 at the Charleston Civic Center. Expo offers two quick ways to submit contract forms. Submit a contract for EXPO Exhibit Space, Show Program Advertisement, or to become an EXPO Honor Exhibitor by visiting www.wvexpo.com and clicking CONTRACT FORMS (the 4th menu button from the top). OPTION #1 allows any contract to be submitted online and paid by credit card. OPTION #2 provides the opportunity to print a contract and mail it with a check. Contact the EXPO Show Office at (304) 342-3976 or expo@wvexpo.com with any questions, comments or suggestions.

MARCUM, DESERIO APPOINTED TO HOUSE OF DELEGATES

Governor Earl Ray Tomblin has appointed Justin J. Marcum to fulfill the vacancy in the 20th District of the West Virginia House of Delegates for the remainder of former Delegate K. Steve Kominar's term. Kominar resigned last month. The governor also appointed Phillip Diserio to fill the vacancy created in the 2nd District of the West Virginia House of Delegates for the remainder of former Delegate Tim Ennis' term.

**Plans in CAWV Physical Plan Room                                                                                                           January 27, 2012

^ Plans in Internet Plan Room (IPR) at www.isqft.com

# Named as plan holder but plans not yet received

2012 WVDOH LETTING SCHEDULE