Boots on the Ground

Subcontractors, The Heartbeat of Construction

Tag: legislation

July 13, 2018

NC Subcontractors Select New Leadership

The North Carolina Subcontractors Alliance (NCSA), an affiliate of the National Subcontractors Alliance (NSA), has selected its new officers for the 2018-2019 fiscal year. The new officers are:

President, Joseph Teeter, Senior Project Manager at Axiom Foundations, LLC.

Vice-President, Billy Graves, President/CEO at W. B. Moore Electric Company

Treasurer, Michelle Frankum, Controller at Horsepower Site Services

Secretary, Don Hanson, Partner at Noble Insurance Advisors

Director At-Large, Brady Nails, Contract Coordinator at Binswanger Glass

Additionally, the NCSA created a Board of Advisors to assist the Board of Directors:

Legal Advisor, B David Carson, Partner at Johnston Allison & Hord

GC Council Representative to the Board, Josh Freeman, Project Manager at Miles-McClellan Construction

Past President, Chris Paone, Christopher Bryan Company

Past President, Duff Regan, Regan and Associates

Past President, Art Rouse, Director at National Subcontractors Alliance

GC Council Members for 2018-2019:

Edifice, Inc

Messer Construction

Miles-McClellan Construction

Myers & Chapman, Inc.

The NCSA was originally incorporated in 1976 as the Metrolina Charlotte Chapter of the American Subcontractors Association and was later incorporated into the ASA of the Carolinas. In 2013, upset with the financial strain of supporting a large Washington DC based organization with a national focus, the NCSA voted to leave the ASA and in 2014 became an affiliate of the National Subcontractors Alliance. The NSA is an alliance of independent associations across the country representing over 3,500 subcontractors nationally. The NSA provides support to its affiliates to provide networking, education and advocacy to their members. The NSA also has an Attorney’s council consisting of all the chapter attorneys that meets twice a year to discuss legal issues that affect subcontractors. The NSA affiliation allows the NCSA to emphasize local and state issues with the strength of a national organization.

The NCSA provides networking events, educational meetings and seminars, general contractor access and local advocacy. For membership information, please visit www.ncsubcontractors.com

 

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February 22, 2014

Reverse Auctions…. The Only Way to Win the Game is to Not Play

In 2013, the Department of the Interior and Army Corps of Engineers announced they were considering expanding the reverse auction method to eastern North Carolina for jobs that small businesses can perform. This is a method whereby the Owner posts a price online and registered bidders will bid the price down until time expires and a low bidder is declared.

I had some experience with reverse auctions about 20 years ago when Target Stores decided they were going to start using reverse auctions for their construction projects. Needless to say, we didn’t get much work with Target until they stopped the practice. We only got one in Lawton Oklahoma where we were the only bidder. A sophisticated company, even in the worst of times, will not price below the cost of labor and materials, plus taxes and overhead, and the cost of working capital. They may price at cost hoping to buy it down, but they will never knowingly go into a job at a loss. An unsophisticated company, hungry for work, can be tempted to take work too cheaply. Work they may not be able to afford the interest on for the duration of the project until they can collect final payment and retainage.

In other words, reverse auctions deprive contractors of a fair profit. I am in favor of reducing government waste, but not at the cost of unfair business practices.

Rep. Richard Hanna (R-NY), has introduced a bill, HR-2751, to ban these practices. The Associated General Contractors has testified before Congress in favor of this bill and recommends everyone ask their Congressman to co-sponsor or support this bill. It is scheduled for a committee vote in March, 2014. Subcontractors should support this bill as well.

http://newsmanager.commpartners.com/agcleg/issues/2014-02-20.html#0

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