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AGC SmartBrief
December 11, 2007
 

President's Message

The value of membership: 2007 brings collaboration, partnerships and legislative victories for contractors
AGC marked 2007 with collaboration that brought new contract documents to the marketplace, recognition that safety training continues to be a No. 1 focus among employers, determination to ensure that the White House, Congress and the federal agencies understand the vital issues construction companies face and a renewed commitment to partner with AGC chapters nationwide in order to deliver unprecedented services to our members.

AGC members had the unique opportunity to participate in an event with President George W. Bush in May in Washington, D.C., when he spoke to AGC's National and Chapter Leadership Conference. This same meeting also provided AGC members with the opportunity to visit their legislators on Capitol Hill and to discuss important legislation including repeal of 3% withholding, comprehensive immigration reform, highway trust fund solvency and the Water Resources Development Act, which was passed by Congress on a veto override in November.

AGC was the first National Launch Partner for 811, three-digit dialing nationwide for one-call safe digging, which went live on May 1. And AGC is at the forefront on emerging issues related to Building Information Modeling and Virtual Design and Construction.

On the environmental front, AGC has worked diligently with its Chapters to block harmful emission rules that could force equipment owners to spend $13 billion over the rules' lifetime on new machines and/or engine retrofits. AGC submitted 100 pages of detailed comments opposing these emission rules in California and responded to draft model contract language that would require Northeastern contractors to reduce emissions from already in-use equipment before bidding on work in that region.

In addition, AGC opposed legislation that would greatly expand the federal government's control over construction activities that impact waters and wetlands and testified before Congress on the impacts of changing the jurisdictional reach of the Clean Water Act.

AGC commented on EPA's second round of proposed changes to its federal oil spill control regulations that would ease the compliance burden on construction companies covered by the program. AGC's environmental leadership flew to Washington, D.C., to meet with the chief of the regulatory branch for the U.S. Army Corps of Engineers and approximately 15 senior officials from various U.S. EPA program offices focused on water, waste and air issues.

We have been steadfast in continuing to strengthen our partnerships with Chapters and that is evident in the nearly 75 chapter partnering agreements signed to date. We are proud of these accomplishments, which serve to offer enhanced benefits to members through a more focused collaboration in the important areas of marketing, communications, membership and products and services.

Also this year, former AGC president Jim Waltze and I testified at hearings before the National Surface Transportation Policy and Revenue Study Commission to express the construction industry's interest in creating a system to address the problem of the nation's aging transportation infrastructure. In our testimony, we called for the creation of a highway user rate commission to meet the nation's infrastructure funding crisis. The commission would, on a regular basis, set the user rate fees at a level necessary to maintain and improve the transportation system, thereby taking some of the debate over funding increases out of the political arena.

Throughout the year, at chapters across the country, AGC members participated in training that enhanced workplace safety, developed the knowledge and skills of field supervisors and received timely economic outlooks from AGC's Chief Economist Ken Simonson.

It was also a year of firsts. Our unprecedented industry collaboration with 20 other construction trade associations during the last three years enabled us to introduce ConsensusDOCS to the marketplace in September. These 70-plus collaboratively drafted construction contracts represent the best interest of the project.

This marked the first time in 50 years that AGC did not endorse the American Institute of Architects' A201 (2007 edition) General Terms and Conditions document due to concerns that the new edition does not fairly balance risk among all parties, but instead significantly shifts risk to general contractors and other parties outside of the design profession.

AGC develops new ways to deliver value to members and Chapters every year, and this year was no exception. Through your continued support and involvement in AGC, we will continue this trend in 2008.

Editor's Viewpoint

Looking back at 2007
Over the course of 2007, I have been pleased to deliver the news that matters to your industry. Part I of this AGC SmartBrief special year-end report rounds up the most important trends, stories and events of the past year. Part II, which will hit your inbox Thursday, will provide a glimpse into what's in store for 2008.

Non-residential construction posted a banner year in 2007, with spending growing in nearly every section of the market. Contractors participated in new commercial and mixed-used development in just about every part of the U.S. in 2007.

The industry this year applauded Congress for successfully overriding President George W. Bush's veto of the Water Resources Development Act of 2007, legislation that will authorize investing $23 billion in civil works projects administered by the U.S. Army Corps of Engineers. AGC played a central leadership role in the passage and veto override of the largest civil works bill in the nation's history and hailed the Congress for its willingness to stand up and recognize the need for investment in our nation's water resources.

Best of 2007

Your Favorite SmartQuotes

Here are the quotes you shared with colleagues most often during 2007:

The pessimist sees difficulty in every opportunity. The optimist sees the opportunity in every difficulty."

--Winston Churchill,
British prime minister

A positive attitude may not solve all your problems, but it will annoy enough people to make it worthwhile."

--Herm Albright,
writer

When you step into a turnaround situation, you can safely assume four things: morale is low; fear is high; the good people are halfway out the door; and the slackers are hiding."

--Nina Disesa,
as chairwoman of McCann-Erickson Worldwide

If toast always lands butter-side down, and cats always land on their feet, what happens if you strap toast on the back of a cat and drop it?"

--Steven Wright,
comedian, actor

The three great essentials to achieve anything worthwhile are, first, hard work; second, stick-to-itiveness; third, common sense."

--Thomas Edison,
inventor and businessman

Do what you feel in your heart to be right -- for you'll be criticized anyway. You'll be damned if you do, and damned if you don't."

--Eleanor Roosevelt,
former first lady and American political leader

One of the hardest tasks of leadership is understanding that you are not what you are, but what you're perceived to be by others."

--Edward L. Flom,
CEO of Florida Steel

The statistics on sanity are that one out of every four Americans is suffering from some form of mental illness. Think of your three best friends. If they're OK, then it's you."

--Rita Mae Brown,
writer and activist

People, even more than things, have to be restored, renewed, revived, reclaimed, and redeemed; never throw out anyone."

--Audrey Hepburn,
Academy Award-winning actress, humanitarian

Rule No. 1: Use your own good judgment in all situations. There will be no additional rules."

--Bruce, Jim and John Nordstrom,
co-presidents of Nordstrom department store, in the employee handbook

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