December 
2014

ISSUE
No. 12

ABA December 
e-newsletter
Hello ABA Members,

December is a busy month for the ABA, starting with Volunteer Day in Southern Arizona, the LDF/SEP Graduation Lunch, and the Annual Toy Drive.  Details about Volunteer Day and the Toy Drive follow in this month's e-newsletter.
Lange Headshot
Erica Lange
Assistant Executive Director

If you are not registered for the LDF/SEP Graduation Luncheon on December 11, I'd encourage you to attend. Currently over 230 members are registered.  30 LDF Students and 10 SEP Students will be graduating. A special apprenticeship award will also be honored. Toys for the much anticipated toy drive will be collected.  And finally, Gary Allhiser, one of LDF's original founders will be speaking on Servant Leadership. 

There will be plenty of opportunities for mixing and mingling with old friends and new potential partners.  I hope to see you all there!


Have a fabulous holiday!

Erica Lange
ABA Leads Efforts to Amend Sales Tax Law
by Mark Minter

Minter
Mark Minter
Executive Director

The Arizona Builders' Alliance is working with the Department of Revenue and industry allies to understand recent changes to the TPT law, disseminate information to the industry and prepare needed amendments to the law. The Arizona construction industry is bracing for sweeping changes to the prime contracting tax law in January of 2015. The State Legislature enacted changes that range from who must have a tax license to a major switch creating a difference between service and prime contracting. 


The pending changes include dual tax treatment for contractors purchasing material for new construction versus service and repair work. Under this proposal a contractor purchasing material for service work would pay tax on the material at the point of sale. The same exact material purchased for new construction would be tax exempt until incorporated into a project; where it would be taxed under the prime contracting scheme. This assumes the contractor would know the intended use of material at the time it was purchased!   
Read More

 

To get instructions on how to get automatic notification on updates to the TPN 14, please click here.

 

20th Annual Volunteer Day at Faith Lutheran School in Tucson
by Tom Dunn

 

Tom Dunn
Tom Dunn
Director for Southern Arizona

Members of the Arizona Builders' Alliance and their friends and families will descend upon Tucson's Faith Lutheran School on Saturday, December 6. The efforts this year are led by Volunteer Day Committee Co-Chairmen, Jamie Olding of Building Excellence, and Susan Mulholland of Mulholland Art & Design Commercial Interiors. The goal is to renovate the facilities that provide education and affordable childcare to those in our community.

Faith Lutheran School is a Tucson landmark and is a non-profit that has served the Tucson community for years. Many of our members attended this school in their youth and the project has been a labor of love for all participating. 

 

Over 200 volunteers from the ABA membership are expected to participate during the Volunteer Day event. Labor and materials donated to the cause are projected to exceed $125,000.  Read More

Heavy Equipment Operator and Mechanic Committee Hosts Apprenticeship Barbecue
by Fred Ingersoll
Fred Ingersoll Director of Apprenticeship & Training

 

On Friday December 5, 2014 a barbecue was held for our Central Arizona College apprentice programs that was hosted by the heavy equipment operator and mechanic committee. 

 

Sundt supplied the BBQ trailer, cooks included, and a number of the committee members attending and supplied additional food. 

 

Students, staff, and committee members all enjoyed themselves.  

 

See additional Photos

 





 

"What do you Mean? No more Percentage-of-Completion.": Upcoming Changes to Contractors' Financial Statements
abc national
Contractor Financial Statements are, in many cases, used to secure surety credit and bank loans. How these statements are prepared will shortly change and could impact contractors' ability to secure credit.

For more than three decades, construction contractors have relied on percentage-of-completion method in recognizing their financial statement revenues and net income. With the recent release of a new "Accounting Standards Update," the Financial Accounting Standards Board (FASB) will be phasing-out this long-standing guidance in an attempt to standardize financial reporting and enable easier comparisons of financial statements among all industries.

FASB's new "one-size-fits-all" approach will affect all industries, but construction and real estate will be particularly impacted by the changes. The new rules will apply differently to construction projects depending on the nature of the contract, the type of work being performed, and other specific factors.

Longtime ABC Tax Advisory Group member and construction accounting specialist Rich Shavell will walk contractors through pending changes to contractor financial statements, the potential impact, and provide some tips on how to navigate this important financial transition.

Webinar Date:  Wednesday, December 10, 2014
Time:  12:00pm
Free
5 Techniques to Retain Top Employees 
 
What is your organization doing to retain employees? 

In this emerging economy the skill gaps can be deep and wide. If you don't have a plan in place to engage and communicate with your best employees, your company and worse yet, your customers, could suffer from the exit of top talent. Attend this webinar to learn how to; set expectations and create a successful onboarding program, create a formal and informal feedback process, and help your employee's create a career path at your company.

The AGC of America has contracted with BirdDog to offer a free webinar series on topics of value to the construction industry.  If you'd like to participate in the  webinar on the topic above, please click below. 

Webinar Date: Tuesday, December 16
Time: 12:00pm
Free

Nominate the Best in our industry for the 21st Annual Cornerstone Awards
We are once again asking members of the AIA, ABA, NAWIC, ACEC, CSI, SDA and SAAEMA, the leading construction trade and professional organizations in Southern Arizona, to nominate their favorite industry partners for the prestigious Cornerstone Awards celebrating industry workmanship, skill responsibility, and integrity in the building development industry. 

Nominations should reflect the best business practices in the following areas: 
  • Quality of craftsmanship and consistency of service(s) to clients
  • Contributions to the community
  • Quality of design and documentation
  • Responsiveness to schedule and budget
  • Proficiency in Financial Management
  • Emphasis on teamwork and collaboration
  • Back up of warranties
  • Activity in respective trade or professional association

Award categories include:

  • Architect of the Year
  • General Contractor of the Year (>$2 million)
  • General Contractor of the Year (< $2 million)
  • Subcontractor of the Year
  • Design Consultant of the Year
  • Professional Service of the Year
  • Supplier of the Year
  • Owner of the Year
This is a Southern Arizona Awards Program.

The 2014 ABA Toy Drive.  How Can You Help?

The ABA will once again be collecting toys for disadvantaged children over the holiday season. Collected toys will be given to children who are part of the Sunshine Acres Community and Sunshine Group Homes Organizations. These organizations provide homes and care for needy children who have been displaced, abused, neglected or orphaned.

Here are several ways you can choose to help:
  • Donate a NEW toy or gift for a child between the ages of 4-18 to the ABA office by December 12.
  • Start a collection in your office by displaying this flyer with a box and collecting toys as a company. Please bring toys to the ABA office by December 17.
  • Make a cash or check donation, made out to the ABA, which we will be used to buy additional toys for the children.
  • Print these flyers and distribute them throughout your office or e-mail them to your employees, vendors, and clients.
  • Post this information on your website to encourage employee, client, and vendor participation.
  • Join the Community Service Board and help collect, coordinate, and distribute the gifts to the children. Contact 
  • If you are a general contractor, please consider posting this "faux" bid report on your website to encourage subcontractor participation.

For more information, please contact Erica Lange.

Tucson's 20 Years of Chairmen Dinner
The "20 years of Chairmen" November membership dinner was an unforgettable night. 13 of the 20 chairmen attended the event, including: 
  • Sundt Construction's Joe Malisewski
  • LegalShield's Allison Lombard
  • W.E. O'Neil Construction's Tommy Roof
  • Sun Mechanical's Todd Scholer
  • Epstein Construction's Mike Epstein
  • Concord General Contracting's John Nyman
  • Achilles Air Conditioning System's Preston Achilles
  • General Air Control's Angie Ziegler
  • Hensel Phelps Construction's Ruth Brown
  • J.B. Steel's Nelson Brown
  • Kittle Design & Construction's Tom Kittle
  • Millwork by Design's Mark Riggi
  • Lloyd Construction's Brad Lloyd
ABA Executive Director, Mark Minter,led off the festivities with details of the early years of the ABA and the initial successes after the ABC/AGC merger that created the ABA. Former Director for Southern Arizona, Dan Cavanagh, introduced and highlighted the accomplishments of the Chairs that served during his time at the ABA. Director for Southern Arizona, Tom Dunn, recognized the more recent chairs that served.

Each Chairman espoused the significance of the ABA, the quality of the membership, advocacy successes, service to the community and the dedicated staff. Their advice to potential future Chairmen - "if asked to serve, do it; the rewards are immeasurable"
Former Director of Southern Arizona, Dan Cavanaugh, introduces six past Charimen.
Current Director for Southern Arizona, Tom Dunn, introduces six past Chairmen. 
ABA members turned out for the Celebration of 20 Years!
ABA Members turned out for the celebration of 20 years in Tucson!

Current ABA Chairman for Southern Arizona, Brad Lloyd of Lloyd Construction takes the stage.


 

ABA's 2015 Community Service Project: Applications Being Accepted Now!
Every year, the Leadership Development Forum (LDF) chooses a community service project to complete during their year. The ABA's Community Service Board is requesting applications now to be considered for the 2015 Class of LDF.    

Our mission is to give back to the Phoenix metropolitan community through charitable projects and endeavors. If your organization is in need of construction assistance or if you have a philanthropic organization that could use assistance, please consider applying for the ABA's Community Service Project by e-mailing this completed form by January 6, 2015 to Erica Lange.

The Great Pyramid

The base of the Great Pyramid in Egypt is large enough to cover ten football fields. According to the Greek historian Herodotus, it took 400,000 men twenty years to construct this great monument.
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