New Members
MMCA would like to welcome Jeffrey C. Zimmerman, President of Alliant Mechanical in Eagan, and Greg Dustin, President of Fore Mechanical Inc. in Blaine, MN. Best wishes to our newest members.

HEAT’s ON Set for September 22nd
HEAT’s ON Set for September 22nd The Twin Cities, St. Cloud, and Mankato Pipefitters will be holding their 16th Annual HEAT’s ON program Saturday, September 22, 2001. Last year 348 pipefitters, the largest group of volunteers in the nation, provided free furnace inspection, repairs, and smoke alarms to the elderly, disabled, and low-income homeowners. This year, HEAT’s ON will again be kicked off with a hearty 7AM breakfast at the Earle Brown Center, on the St. Paul University of Minnesota Campus. The event will have local representatives and many door prizes to give away so please encourage your employees to participate. To promote the event we’ve included a flyer in this newsletter that can be copied off and inserted into your employees pay envelopes. This is the largest promotional event we do that receives much attention and recognition and we plan on having another record number of volunteers.

Minneapolis May Require Certified Plumbing Plans
The City of Minneapolis is requiring that plumbing plans be certified by a registered engineer or architect on selected projects for which it determines is necessary prior to issuance of a permit. Minneapolis does not have a specific policy set in place at this time and it is unclear as to which projects the requirement will apply to. MMCA will be meeting with the City to determine which projects it intends to apply these new requirements.

Safety Directors Corner - New Hires Under the Drug
All new hires that have not been tested under the program need to be sent for a pre-employment drug test after a conditional offer of employment has been made. The company representative and the employee need to fill out the Authorization for Testing form and the employee should bring the form to the collection site. To determine whether an employee is eligible under the drug policy you may call Dickinson Occupational Clinic at 1-800-262-4155, or, if you have submitted your Computer Access Confidentiality Form to Dickinson Occupational Clinic and received your password, you may access employee eligibility records at www.omatest.com.

Hazardous Waste Site Training
The Midwest Center for Occupational Health and Safety will be providing a 3-day or 5-day training for Hazardous Waste Site personnel, starting September 10, 2001. There will also be and 8-hour refresher class held on September 19. These courses meet OSHA requirements for individuals working on hazardous waste sites as mandated by the “Superfund Amendments and Reauthorization Act” (SARA). For more information or to register call (612) 626-4515.

Ineffective Supervision blamed for Weak Performanc
Supervision has always been critical to the construction industry. Unfortunately over the years supervision has been deteriorating and along with it so has employee attitudes and working relationships, according to COCKSHAW’s Construction Labor News+Opinion. COCKSHAW contends that this trend has been a main contributor to lower productivity levels as well as higher construction costs. Prior to the 1960s supervisors ruled and foreman enforced. Then in the Sixties a greater concern for employee interests and less concern for the employer arose. This new attitude along with a heavier workload meant that superintendents had less time to do their basic job and new foremen had little time to learn their new duties. A study showed that only 13% of contractors provided supervisor training, and that training only covered technical and administrative matters with very little training on managing people. The Business Roundtable noted, “Craftsman stay away from work or quit entirely more frequently because of excessive re-work, poor supervision and unsafe working conditions than they do for personal or family illness.” COCKSHAW suggests that a prime reason for inadequate construction performance is the field supervisor’s inability to plan, communicate, and to effectively direct work activities. This is not to put blame on the supervisor but rather suggest that contractors are hurting themselves by not having a training program in place. COCKSHAW’s Report indicates a constant need for training, which MMCA has been a strong supporter of for years. That’s why MMCA offers a significant amount of training directed towards supervisors, foreman, and project managers. Please look over the training booklet that MMCA has sent you and register your staff or yourself for any of the excellent training we offer. If you need another copy of the booklet call our office at (651) 646-2121 or (800) 816-8154 or you can get even more information on MMCA training by checking out our website www.mn-mca.org and you can even register on-line. This report was printed with special permission by COCKSHAW’s Construction Labor News+Opinion, 610-353-0123, e-mail: cockshaws@rcn.com.

UA Re-elects Maddaloni Team
Delegates to the UA’s 36th General Convention elected a slate of officers that includes: General President Martin J. Maddaloni; General Secretary-Treasurer Thomas H. Patchell; and Assistant General President-Elect William P. Hite. Locally International Representative Anthony J. Rohrer was re-elected.

2002 Bonding Bill
The 2002 Minnesota Legislative Session starts Tuesday, January 29, 2002. The legislators who are on the bonding committees in the House and the Senate have been and will be touring around the state of Minnesota looking at the different projects that want state bonding money. So far, there are $1.79 Billion in requested capital projects for legislators to review in the 2002 session. The final deadline for submission of projects to the Governor is October 31, 2001. After the Governor submits his list to the Legislature, the Legislature deletes and adds (usually adds) to the final bill, which the Governor can line item veto. The University of Minnesota is asking for $240 million and the Minnesota State Colleges and Universities are seeking $251 million. Among the most expensive requests received so far are the Northstar Commuter Rail Corridor ($120 million) that would link the Twin Cities with St. Cloud and St. Paul’s Roy Wilkins Auditorium ($70 million). Last year, the Governor proposed a bonding bill of $504 Million be passed in the 2001 session and skip the 2002 session. That did not happen, but the $504 Million figure will be a starting point for what the Governor may want for this year. Below are the bonding figures for the last 14 years. Years Amount in Bonding Bill 1986-1987 $578 Million 1988-1989 $202 Million 1990-1991 $652 Million 1992-1993 $341 Million 1994-1995 $764 Million 1996-1997 $782 Million 1998-1999 $1,010 Million 2000-2001 $1,121 Million 2002-2003 Proposals Gov. Proposal (Jan. 2001) - $504 Million and Requests Requests as of July 2001 - $1,790 Million For detailed information about what projects are being considered go the Minnesota Department of Finance website: http://www.finance.state.mn.us/.

Consolidators and Contractors More Cautious
Just a few years ago consolidators were buying up specialty contracting companies by using their own stock. That stock, in many cases, took a deep dive from it’s historic high and has fueled caution among contractors looking to sell. Since it’s peak in 1999 these sales have fallen off except by large electric utilities that are still acquiring these specialty contractors, according to investment banker Columbus Capital Company of New York City. Contractors who are now being bought by consolidators can expect a larger amount of actual cash but may be disappointed at the amount due to a quite different market from two years ago. Contractors value their business at 6.4 multiplied by earnings before interest, taxes, depreciation and amortization (EBITDA). But only contractors of sufficient size and with attractive types of services and customers will get it or a higher valuation, otherwise a traditional 4 x EBITDA is more realistic.

Minnesota U.A. Labor Agreements Expiration
Local 15 Minneapolis Plumbers May 1, 2002 Local 34 St. Paul Plumbers May 1, 2002 Local 455 St. Paul Pipefitters May 1, 2002 Local 539 Minneapolis Pipefitters May 1, 2002 Local 15/539 St. Cloud Plumbers/Pipefitters May 1, 2002 Local 34/455 Mankato Plumbers/Pipefitters May 1, 2002 Local 126 Detroit Lakes Plumbers/Pipefitters May 15, 2002 Local 589 Iron Range Plumbers/Pipefitters June 1, 2002 Local 417 Metro Sprinklerfitters June 1, 2002 Local 6 Rochester Plumbers/Pipefitters August 1, 2002 Local 11 Duluth Plumbers/Pipefitters May 1, 2003

Upcoming Training/Seminars 2001-2002
September 6 - SEMINAR - Hydronics with Dan Holohan, 8am - 3pm September 22 - HEAT’s ON, Earle Brown Center, U of M, 7am October 5 - SEMINAR - Situational Leadership for PM/Sups/Foreman (Rochester) 8am - 4pm November 9 - SEMINAR - General Conditions of a Contract, Noon-2pm December 13 - SEMINAR - Time Management and Goal Setting, 8am - 4pm January 16 - SEMINAR - Service Managers Survival School, 8am - 4pm January 30 - SEMINAR - Claims Avoidance, Noon - 2pm