Five Star Equipment Opens New Syracuse Facility

                                 

November 10, 2020: Bill Farrell, CEO of Five Star Equipment, is pleased to announce the opening of the company’s brand new facility located at 5835 East Taft Road in Syracuse, New York. The facility opened for business on November 9.

The 25,000 square foot facility incorporates state-of-the-art design features geared towards maximizing efficiency and service capabilities for its customer base. Situated on eight acres, the building features an expansive showroom/reception area with parts counters, offices for sales and administrative functions, multimedia training room, a break room with adjacent outdoor patio, parts warehouse with garage door access for receiving and parts dispatch, an eight bay service area equipped with four 10-ton overhead cranes and a separate wash bay. The new facility provides sales, rentals, parts and service throughout central New York State, including Seneca, Cayuga, Onondaga, Oswego, Madison, Oneida and Herkimer Counties. The branch is home base for two road service vehicles and 20 employees. 

Key Syracuse branch personnel include: General Manager, Dave Kreis; Service Manager Rob Hecox; Sales Manager Scott Hinman; Sales and Rental Coordinator Valerie Smith, who has been with the company for 27 years; and Corporate Parts Manager Pam Huckaby.

The construction of the Syracuse Branch is part of the company’s long-term strategic growth plan, as it celebrates its 40th anniversary this year, which includes either new facilities or upgrades at all of its locations. Five Star Equipment operates seven locations in 57 counties throughout Western New York and Pennsylvania.

Five Star CEO Bill Farrell stated “this new facility is about more than just bricks and mortar, it’s about commitment. Commitment to our customers, our community and our employees. Five Star Equipment is committed to providing world-class equipment brands like John Deere and Hitachi and backing these brands with outstanding customer support. This new facility in this strategic marketplace equips us to do just that.”

 

The company was established in 1980 when founders Frank Gallo and Bill Bochicchio, Sr. acquired the John Deere Construction & Forestry dealership in the Scranton, Pennsylvania area. Five Star Equipment is the authorized dealer for John Deere, Hitachi, Topcon and Bomag, and offers products from a number of additional lines, including Eager Beaver and Trail King trailers. The company also offers a wide range of attachments and equipment for applications in construction, forestry, municipal maintenance and pipeline industries.

Northeast HVAC Solutions, Inc.; First choice for highest-quality products, abundance of experience

By Martha E. Conway

Northeast HVAC Solutions, Dillon Barbieto, Parts and Service Manager and Kelli Walsh, VP of Operations.

Northeast HVAC Solutions, Inc. (NEHVAC), specializing in commercial and industrial projects, is an 80-plus-year-old firm that serves as a premier manufacturers’ representative for heating, cooling, ventilation and other mechanical products in New York, Vermont and Western Massachusetts. Service Manager Dillon Barbeito said the outfit, headquartered in Clifton Park, can do everything from providing parts for existing equipment or a full-system design solution.

“We can do it all,” he said. “No job is too large.”

In addition to commercial and industrial work, Barbeito said the firm does a fair amount of public works projects through the company’s many mechanical contractors, as well.

NEHVAC prides itself on having cultivated relationships with not only mechanical contractors, but also consulting engineers, commercial businesses and industrial businesses throughout its more than eight decades in business. Barbeito said the company is proud to let customers know they are trained and certified in all equipment they sell, but they also are willing to provide service for some manufacturers they do not represent.

“We want to meet the needs of customers,” he said. “We are unique in that we are a manufacturer’s representative, installer and servicer.”

Barbeito, a graduate of the Hudson Valley Community College heating, ventilation, air conditioning and refrigeration program, said he was working with contractors in the Capital District when he learned about the service position available at NEHVAC.

“I was eager to take on new challenges,” he said, adding that his experience in the field provided him with the credentials necessary to help grow the service department by instilling confidence in potential end-users. “I was someone who actually had experience turning a wrench, and I think that carries weight with our customers. We’ve grown 400 percent in volume, sales and personnel.”

Upon contact, customers can expect NEHVAC professionals to meet with them to inspect and evaluate the condition of their existing equipment or size up what is needed in a new install.

“We use the Marley inspection tool to generate a detailed condition report of the components and overall condition,” Barbeito said. “From there, we generate a life-expectancy projection and develop a detailed report. With that report in hand, we will know whether repair or replacement is more cost-effective and appropriate in each circumstance, and we discuss the options with the customer. From there, we work up a proposal weighing the benefits of each potential solution.”

Barbeito said there are 10-, 15- and 20-year-old cooling towers out there that can be repaired.

“By putting some money into a unit like that, it could operate another 10 years,” he said. “In a world with a throw-away mentality, we’re a bit different. In addition, we are experts in the products we represent.”

As part of their outreach and to save customers money, NEHVAC employs an aggressive inspection and maintenance program tailored to the type and application of equipment and the needs of each customer.

“Inspection of heating and cooling systems prevents inopportune and costly breakdowns, as well as unexpected downtime,” Barbeito said. “Cooling towers, for example, may need inspection anywhere from monthly to annually. All intervals are based on critical usage and the sensitive nature of the equipment.”

NEHVAC has long believed the philosophy that an ounce of prevention is worth a pound of cure, he said.

“COVID made it evident that maintenance and inspection can prevent dangerous and costly failures, which is absolutely critical during a healthcare crisis like the one we’re experiencing,” Barbeito said.

Barbeito said he is particularly proud of NEHVAC projects that kept hospitals and health care centers functioning throughout the COVID-19 pandemic.

“We had several projects that were scheduled prior to the COVID shutdown and we picked up more work during the pandemic,” Barbeito said. “One effort that really stands out is Nathan Littauer Hospital.”

Barbeito said NEHVAC replaced aging cooling tower equipment in desperate need of attention at the hospital, preventing a shutdown or interruption in services.

Facilities Engineer Mike Connelly of Nathan Littauer Hospital said it was a pleasure working with NEHVAC.

“Thanks to NEHVAC, we kept moving forward, even under the pressure of the COVID-19 pandemic crisis going on at the time,” Connelly said. “They did a great job and really cultivated a good working relationship with us.”

Another project during this time included a rural hospital operating room in Vermont that needed emergency repair of a hot water pump motor that had failed.

“This hospital is the only facility for maybe hundreds of miles around,” he said. “It was absolutely imperative that we keep them up and running to serve their patients.”

Barbeito looked back on another big fix: there was a crisis at a major pharmaceutical plant.

“In 2018, we scheduled a project at this big pharmaceutical manufacturing plant – they were renovating their cooling system in order to ensure quality control for production,” Barbeito said. “Before the project could get underway, we got a panicked call from the plant that the chiller was down.”

He said NEHVAC coordinated all the moving parts of renting and installing a 400-ton unit – hoisting, running lines, electrical work – to bridge the gap.

“There was a lot to that job,” Barbeito said, “We got it up and running in less than 48 hours; they were able to keep the plant open and staff working at full production.”

Owners Dave Principe, Donald F. Ferguson and Luke Principe talked about other aspects of NEHVAC.

“We all hear about businesses trying to open up safely and how they can effectively do so,” Dave Principe said. “The first idea is to increase fresh air through the circulation of their HVAC system. The second is to replace filters with Merv 12 or 13. This is better than what is typically happening, but what happens when you cannot increase your outside air in the winter, which causes higher heating bills?

“We all know businesses are financially stressed, so why pay more to heat? Merv 12 and 13 is a better safety measure than we have seen in the past, but the current virus is so small, we know they do not catch it in the filter. The Aerisa family of units in layman’s terms basically produces fresh air through the technology that will kill viruses and bacteria in the space and at the filter. There would be no need to increase outside air.

“I do know that if my kids’ school would put these in their facilities, I would send my kids back to school in the fall. This is an added safety measure that would give me, as a parent, peace of mind and more importantly reduce the risk of spreading the virus.

“We also hear that ultraviolet technology is a good product to kill the novel coronavirus, but it has to be at the source, which means the virus must hit the UV light directly. Whereas bipolarionization – like Aerisa technology – kills all the time and in the room 24/7.”

Dave Principe, Ferguson and Luke Principe want to cultivate a legacy of exceptional customer service and establish NEHVAC as a problem-solving organization and a resource for its customers.

“More than 80 years in business has earned us that reputation, and we are always looking for ways in which we can partner with our customers to enhance that resource for their benefit,” Ferguson said.

The trio has a vision for NEHVAC, which has survived more than 80 years that encompassed evolutionary changes.

“As you can imagine, we must adapt to market conditions, manufacturer changes and our internal growth – both in equipment and personnel,” Ferguson said. “Our service department has grown tremendously and has become a major profit center for our five- and 10-year growth plans.

“As Dillon mentioned, we are unique as a manufacturer’s representative because we can service, commission and install, as necessary, the products we represent. We have three distinct parts of our organization, ventilation product sales, mechanical product sales and service capability. All three of these are interdependent on one another, and our plan as an organization is to achieve sustained growth in all these areas, additional satellite locations and an expanded service territory.

“We are unlike most other representative firms … we work hard to foster a team approach to what we do and to make sure we are a ‘family’ in which all members of the team are in alignment with the goals we are working to achieve. We out-work and out-perform our competition, and we like to have fun doing it. When we bring on a new member of our organization, we invest a lot, and we expect a lot; when we commit, we commit to that person for a career and do all we can to inspire, teach and promote them throughout that career with us. We truly are only as successful as our people are.”

The trio said they began having discussions about re-introducing/re-branding the company in late 2019.

“We wanted our brand to reflect our growth and the increased services we could offer,” the owners said.

“The actual work of re-branding began in January 2020,” said Vice President of Operations Kelli Walsh. “As COVID began shutting things down, it made it challenging to complete this rebranding with limited people working.”

“With all the in-person restrictions, I knew there would be a challenge introducing it to customers in person, as we normally would,” said Luke Principe. “But with the team in place, we worked around these added obstacles to complete the task. We reintroduced a quarterly newsletter to introduce the new logo and keep customers, manufacturers, engineers, architects and end-users informed about our products and services now and in the future.”

The owners also stressed the importance of being a part of their community and of making a positive community impact.

“What really stands out for us is that we provide a critical service to customers such as hospitals, nursing homes and research facilities, especially during this COVID challenge,” they said. “We are proud to know we are really helping to facilitate the needs of these critical customers who need to lean on us in order to carry out their essential responsibilities during this crisis.

“It’s also very important to us that we be good corporate citizens, so we donate company and personal time and resources to causes such as the Run for Life, the Epilepsy Foundation, March of Dimes, local homeless shelters, and the American Cancer Society to name a few.”

“Long story short, if a customer is looking for a company that prides itself on being experts in the products and services they want, NEHVAC is the company to call,” Barbeito said.

More about Northeast HVAC Solutions

Northeast HVAC Solutions are manufacturer’s representatives for some of the leading names in mechanical products – including Acme Fans, American Aldes, Ampco, Armstrong Fluid Technology, Durkeesox, EHG Duct, Flexmaster, Flow-Tech, Halton, Hartzell, Honeywell Analytics, Hunter Fans, Indeeco, Marlo Coil, Marley, Movex, Neptronic, Pennbarry, Perry Fiberglass, Precision Air Products Co., Pro Hydronic Specialties Proco Products, Inc., Puroflux, Recold, REDD-I, Rovanco Piping Systems, Rupp Air, Ruskin, Seiho, Solaronics, SPX Cooling Technologies, Titus, TMI Climate Solutions, Vibro-Acoustics and Viron International – that provide the best technologies in air handling equipment, air measuring products, air rotation, airflow and zone control, automatic and manual balancing valves, baseboard heaters, breeching, cabinet heaters, coil hook-up kits, coils (all types – fluid, steam, process, refrigerant, AHRI cert.), commercial and industrial fans, counter-flow space heaters, custom air handling units and advanced hydronics, diffusers, direct- and indirect-fired make-up air unit, dryer venting, duct coils, electric unit heaters, duct heaters cabinet, energy recovery units, environmental protection and gas detection systems, exhaust extractors, expansion joints, fabric dispersion systems, fans, fiberglass fans, filters, filtration and control systems, filtration for hospital operating rooms, fire and smoke dampers, flexible connectors, flexible duct, floor and radiant heaters, FRP duct, grease duct, grilles, hose kits, HVLS ceiling fans and industrial, industrial air distribution systems, industrial and commercial humidifiers, industrial and control dampers, industrial fans and blowers, kitchen ventilation, lab exhaust systems, laminar air flow, local extractors, louvers, low and high-intensity infrared heaters, make-up air systems, Marley and Recold cooling towers and fluid coolers, noise control, non-chemical water treatment pre-insulated double wall FRP duct, pre-insulated flexible and containment piping systems, pumps (all types – hydronic specialties, heat exchangers, boiler and chiller plant control solutions, fire pumps, pressure boosters systems), PVC-FRP ductwork, registers, residential system solutions, restraint systems, round and oval duct and fittings, rubber check valves, scrubbers, sheet metal fittings, specialty fans (paint booths, green houses, poultry), specialty spot diffusers and grilles, stacks, terminal boxes, vibration isolation and wall heaters.

Rethinking K-12 Renovations

Paul Johnston, RA, REFP, Sr. Project Manager, King + King Architects

Our region is home to many K-12 school buildings exceeding 60 years old. Often these early to mid-20th century structures are still in use and have encountered few upgrades. These facilities were designed around an outdated educational model preparing students for a workforce that largely no longer exists. As education philosophies and delivery methods adjust to our modern world, all too often instruction is occurring in physical spaces that do not sufficiently accommodate or support it. Teachers and students are seen using hallways, closets, and even obsolete locker rooms for a variety of crucial individual and small group activities that do not fit in the traditional classroom.

Upstate NY school districts rely on State Building Aid as a significant funding source for capital improvement projects. In most cases, aid is maximized through renovations; rarely can new replacement buildings or significant additions be justified due to flat or declining student enrollment (a major factor in aid formulas).

As districts are steered toward renovations, existing building layout and structural elements must be evaluated and often can pose challenges to the redesign. Limitations such as long narrow classroom wings, circulation and exit requirements, fire-rated walls, and structural systems are hurdles to significantly rethinking and reorganizing the floor plan.

However, as school districts strive to go beyond just recreating 21st century versions of their 1950’s classroom wings, they are finding creative ways to overcome these obstacles to provide school facilities better fit for student learning.

The North Syracuse Bear Road Elementary School is currently under construction, and as part of a full ‘gut renovation’ of the single-story school, the building is being upgraded with a sprinkler system. This fire suppression system takes the place of fire-rated walls at classrooms and corridors, allowing for a greater amount of design flexibility. Classrooms can now have larger amounts of interior glass, open doors, and stronger connections to adjacent areas. This allows students to spread out into a variety of open and enclosed small group work areas beyond the classroom, while still allowing teacher supervision and students remaining connected to the larger group.

The Vernon-Verona-Sherrill School District is nearing the completion of a significant Middle School renovation, one which required the demolition and rebuild of an entire single-story wing on the original footprint. The existing bearing wall construction did not allow for the flexible/ adaptable team-teaching environment required by their STEAM (Science, Technology, Engineering, the Arts and Mathematics) teams. This became an opportunity to address an area of the building beyond its useful life and provide unique learning spaces specifically designed around team-teaching and students working in teams. This wing was also uniquely situated to allow direct access to each STEAM team area without the original corridor. This recaptured floorspace, equal to the size of another classroom, allows larger communal work areas that can accommodate each 120-student team.

Finally, the Romulus Central School District recently completed an interior renovation of its High School located on the 2nd floor of the original 1930’s portion of their K-12 building. Existing rooms were too small, isolated, and did not promote the District’s cross curricular team-teaching approach. To remedy this, classrooms were enlarged and, in several zones, completely removed allowing the corridor to gain back this additional space. Classrooms were organized on either side of these enlarged corridor nodes. The added double doors create a strong visual and spatial connection across these classrooms and communal break-out spaces. Reorganizing these spaces encourages the integration of disciplines like Math-Science and English-Social Studies as teachers, students, and subject matter collaborate together.

Finding strategic ways to better utilize areas like corridors, for more than just circulation, is a key component to breaking the limitations of ‘double-loaded’ corridor and provides more adaptive and supportive spaces for student learning moving forward. 

For more information on rethinking K-12 renovations, you may contact Paul Johnston and King + King Architects at 315-671-2400, email pjohnston@kingarch.com or visit online at kingarch.com.

History Has Shown the Construction Industry will Endure

By: Earl Hall, Executive Director, Syracuse Builders Exchange

It is early September.  The cool mornings and slight tint of colors in trees illustrate the beginning of change.  It is a timely and expected change, transitioning summer to fall.  The annual upstate New York tradition also means contractors are busy wrapping up projects over the next few months in preparation for the expected change to winter.

Unexpected change is inevitable, but how we as a society and construction industry executives react to uncertain changes can vary.  Although the country is still in the midst of a pandemic, construction industry employers have adapted to new “norms” both in the office and on the construction job site.  What are the new “norms” when bidding a project?  What lessons have been learned about how to bid on projects during a pandemic, and for how long will these new “norms” be in place?  Have contractors and project owners alike done all they can do to mitigate risk and liability exposures, and are those measures adequate protections in the event of unexpected issues?

Over the decades, the construction industry has endured many eras of uncertainty and recessions.  The industry has many wonderful success stories of second and third generation construction companies which have survived similar times.  Lessons have been learned and new best practices have been adopted during each occurrence, so I suspect the current economic and industry turmoil resulting from COVID-19 is no different – except for those who have no experience.

History is a great teacher of delivering the most difficult lessons.  Some examples of recessions in the United States that have led to eventual recoveries and survival of construction contractors include:

The Asian Flu Pandemic lasted from the summer of 1957 through April of 1958.  While the coronavirus originated in China, the Asian Flu originated in Hong Kong.  It ripped through India and Europe and eventually made its way to the United States.  It killed over 1 million people world-wide and initiated a global recession.  In an effort to end the recession, then President Dwight D. Eisenhower convinced congress to pass a stimulus package addressing national infrastructure needs in the Federal Aid Highway Act.  Notice any similarities today?

The Oil Embargo from 1973-1975 resulted in the longest U.S. economic recession since the Great Depression from 1929-1933.  Unemployment reached approximately 8.8% and gas prices soared, increasing the cost of consumer goods and services.  In an effort to end the recession, the Federal Reserve significantly lowered interest rates, which would later lead to high inflation in the late 1970s and early 1980s.  Sound familiar?

From July 1981 to November 1982, the U.S. endured yet another oil-related recession when the Iranian Revolution ended and the new regime exported oil at very low prices, keeping gas prices in the U.S. high.  With inflation in the U.S. at an all-time high, the Federal Reserve increased interest rates to 21.5% which then lowered the inflation rate, however, the economy declined by 3.6% over the next 16 months while unemployment soared to over 10%.  Then President Ronald Reagan attacked this problem by reducing taxes and increasing military spending.

The Savings and Loan crisis and Gulf War lead to a recessionary era from July 1990 through March 1991.  This modest recession saw GDP decline to 1.5% while unemployment reached 6.8%.  Although the recession officially ended in 1991, the U.S. experienced 7 consecutive quarters thereafter of very slow growth.

Who could ever forget the short and swift Dot-Com crash in 2001, and the horrific events of September 11, 2001?  During this recession, the Nasdaq fell 75% while the S&P 500 lost 43% between 2001 and 2002.  What lead the U.S. economy out of this recession:  The housing market.  What later initiated the next recession?

From December 2007 to June 2009, the housing market imploded and triggered the Great Recession.  Some of the largest U.S. financial institutions collapsed under the default weight of mortgage-backed securities.  During this time, unemployment rates hit 10.5% and the GDP declined 4.4%.  What did the government do to re-energize the economy?  Congress passed a $1.5 trillion stimulus package.  

What lessons did the construction industry learn during these past recessions and why is history so important to those who are responsible for developing a strategy for 2021?  The circumstances and events we find the U.S. in today, and those in upstate New York, are not unique.  History has proven the construction industry has endured those same challenges we are experiencing today.  And while the politicization of the coronavirus is evident, some pundits have argued the over-reaching of governmental authority has crippled the economy more than the virus itself.  Through it all, the construction industry has learned how to not only endure times of uncertainty but position itself to be stronger when the crisis is over.

People often ask me what I think about the current state of the construction industry in upstate New York.  My answer is the current state of the industry is strong, despite the pandemic and the new “norms” mentioned above that has caused the industry much angst and money.  While 2020 is still in play, I do have concerns for 2021 and 2022 for the reasons mentioned in my prior article about the lack of funding for future public and private projects.  The many regional architects and engineers I speak with share my belief, in that this recession will end when a vaccine is developed and our elected officials in Washington, D.C. pass a meaningful infrastructure stimulus package to address the crumbling infrastructure in our country – but specifically in New York State.

During this time, and while planning for 2021, I would encourage construction industry executives to identify:

  • Means to become more efficient
  • Market segments that provide your company the best return on your investment
  • How to improve the quality of your team
  • How to improve your firm’s information technology
  • Future training and/or equipment needs
  • Other areas to achieve economies of scale

Recessions and market trends come and go.  Those of you who have been in the construction industry long enough know this and have positioned your company to endure the hardship, only to ultimately persevere and prosper in the long run.  What is new about the current environment?  New York Governor Andrew Cuomo’s ability to unilaterally control businesses opening and closing.  Such strict governmental mandates and regulations on businesses is unique in our history, so we have no history lessons to lean on to know how to react when governmental mandates adversely impact businesses and the employees they hire.

In the end, upstate New York’s construction industry and those executives who lead their companies will be resolute.  Perseverance will overcome fear and determination will overcome governmental mandates.  Lessons will be learned from COVID-19 that will resonate for generations. 

The construction industry will lead the way to our regional economic recovery; unfortunately, there will be tumultuous times ahead as I anticipate a very challenging time in 2021.

Construction Contractor Fall 2020

Couch White, LLP; Harvey Talks MWBE Certification

By: Sarah Hall

Becoming a Minority- or Women-owned Business Enterprise in New York state requires more than just having a woman own a majority share of the business. 

Just ask Jennifer Kavney Harvey, an attorney specializing in construction law at Couch White, LLC, in Albany. About a third of her practice focuses on minority and women-owned business enterprises (MWBEs) from the perspectives of the MWBEs and the contractors that hire them.

MWBEs and certification

“Certification is a very granular task and a company seeking certification must go through an extensive process in order to get certified, including providing a whole host of information,” Harvey said. “It’s a vast amount of data that, I think, a lot of people don’t expect when they consider applying. Once a potential MWBE starts the process, many find it extremely overwhelming. For example, they must prepare detailed resumes for themselves, for the owners, for all the key people in the company and submit those. It’s tax returns. It’s vehicle registrations. It’s leases. It’s really quite an avalanche of paper.”

The process can also be extremely lengthy. State regulations presently say that any applicants are to be provided with notice of any deficiencies in an application within 21 days of submission and that all applications will be processed within 45 days of submission of a final completed application. But in reality, the volume of applications and the apparent lack of adequate staffing are such that it takes as much as two years for a submitted MWBE application to even be assigned an analyst.

 

From there, the process is no less rigorous. What comes next is an interview, typically by phone, with the business owners where the analyst from the Division of Minority and Women’s Business Development, within Empire State Development, go over the application with a fine-tooth comb.

“For example, I had one WBE applicant that did office supply fitups, and the questions that they were asking her were pretty specific,” Harvey said. “The person from the Division really had a good working knowledge of her industry. ‘What lines do you carry? Are you a distributor?’ Very, very specific questions that were technical and appropriate to understanding whether the applicant had good knowledge of the area in which she was seeking certification.”

Harvey said it’s imperative that applicants have a good understanding of the technical side of their business and the ability to assess cost estimates on projects. She always advises clients to take courses in whatever segment of the industry they’re in, including estimating or blueprint reading, when they are preparing to apply for certification.

Harvey said people often come to her after they’ve had their application denied.

“It gets tricky from there,” she said. “Although a denial can be appealed, you can’t reapply for two years after a denial under the regulations.”

However, if there’s been a change in circumstances since the original application that corrects the issues raised in the denial — for example, one applicant was denied because of an issue with the company’s bylaws, and following the denial the bylaws were amended to address and correct the issue — the applicant can get around the two-year waiting period and resubmit early with the permission of the Division.  

“If the reasons for the denial are address, the Division will typically grant a request to reapply early based on changed circumstances,” Harvey said. “And it’s possible to do that and get approved, too, actually, quite quickly, because they’ve just looked at your application.”

But Harvey said she prefers it when clients come to her when they’re just starting the process.

“I enjoy it when folks come in and they talk to me about, ‘Oh, do you think that my business would work as an MWBE as a certified entity?’ And we talk about it,” she said. “It’s a better approach to start with a strong application from the beginning as opposed to trying to repair it after denial.”

Contractors and MWBEs

Harvey said about a third of her practice centers around MWBEs. About half of those clients are contractors who work with MWBEs and are struggling with subcontractor and supplier goal issues, including waivers. She said this is a very specific and often tricky area of law.

“For example, did you know that contractors are often expected to pay a premium to an MWBE subcontractor over a quote from a non-MWBE?” she said. “That’s one of the challenges. What will happen is that a contractor will get a quote from MWBE that might be, perhaps 30 percent higher than the quote from a non-MWBE, and they have to assess whether that markup is excessive or commercially unreasonable… and if they guess wrong, they could be subject to some extremely severe penalties.”

Harvey’s job is to help contractors create and implement MWBE policies to ensure compliance. She said she’s provided guidance for a number of contractors of varying sizes, as well as training for administrators, estimators and project managers.

“That’s rewarding,” she said. “I enjoy doing that because I feel it’s protective to contractors and avoids issues.”

A changeable industry

One of Harvey’s biggest responsibilities as an attorney is to keep track of changes in legislation, to be able to advise trade associations and individual clients.

“This is really a rapidly changing part of the construction industry,” she said. “There were a number of changes in the statute that went into effect last month. But it’s also changeable because the guidance changes, and once the guidance to the state agencies changes, everything can change, so there’s a lot a lot to watch here.”

In the recent round of changes, New York state is trying to cut some of the red tape in order to streamline the application process. They’ve also changed the recertification process so that MWBEs can go five years between recertifications instead of three, which helps cut down on paperwork and stabilizes the status of MWBEs.

“That doesn’t sound like a big deal, but it’s huge for both MWBEs and the contractors who subcontract with them,” Harvey said.

But in recent months, Harvey said she’s seen more and more businesses that had been certified, in some cases for many years, as WBEs being denied when they go to get that recertification.

“And they’re not being decertified for some new circumstance, they’re being decertified because it looks like the department is like reaching back to their original certification which may have been from many years prior,” she said.

“To my mind, that’s going to be an industry problem at some point,” she said. “Legally from my standpoint, I think it’s very arbitrary and capricious for the department to reach back, especially to something that doesn’t form a part of the recertification application, and to make a different determination without some sort of change in circumstances or facts that rides along with that.”

Harvey said the trend could discourage people from applying in the first place.

“I’ve spoken with a number people that are qualified to be certified and aren’t being certified because they feel that the program is too much hassle and introduces other risks that they just don’t want any a part of,” she said. “And that’s kind of disappointing in a way because I know of contractors who are struggling to meet their goals and the more folks we have that are in the directory that are available and capable of performing the work, the better it is for everyone.”

Civil rights compliance

Harvey doesn’t just focus on MWBEs. Since a lot of her clients are heavy highway contractors and work with state and municipal agencies, she does a lot of work in civil rights compliance, which is particularly required by the federal government. She said this is an area in which contractors need to keep meticulous records.

“It’s enormously important, because it’s a true audit,” Harvey said. “The representatives from the public letting agency come on the job site.”

And those representatives, she said, will want to see project bulletin boards, subcontracts, hiring notices and records, policies and notices. So that they can ensure that equal employment and affirmative action requirements have been met during the project.

“For example, they may say, ‘You hired six people for this project. And all of them are males,’” Harvey said. “’Did your hiring notices contain proper EEO language?  Did you have any female applicants? And why didn’t you hire them?’ Things like that.’”

Harvey said contractors should be keeping track not only of who they hire, but who they don’t and why.

“It’s really easy if you have the data and compliant policies in place that are being followed. It is really hard, if not impossible, if you don’t,” she said. “Things like that are becoming increasingly more important from a defensive operational standpoint just because it’s strategically necessary to have complete project documentation. You may not need it. But if you do, boy, you’ve saved yourself some time and effort.”

MWBE and small business

 “One of the really interesting things about New York’s procurement policies in general is this longstanding goal of integrating small business and allowing it to participate in the huge amount of government procurement that goes on,” she said. “So it’s not it just these enormous companies. State procurement is supposed to also be inclusive of local, smaller companies, and to my mind the MWBEs, are a special category of those companies to a large extent.”

The use of MWBE goals on a large heavy-highway contract will result in subcontracting and supplier purchases from MWBEs that would not otherwise exist, but for the goals.

While the MWBE program is not perfect, Harvey said it’s a valuable program.

“I think everyone agrees that the program is a good one and it’s helpful for society,” she said. “It’s just a question of how best to implement it, and most effectively to properly implement it to achieve the goals that the program supposed to be achieving.”

Harvey said she hopes some of the changes that went into effect this year will make the application process less cumbersome for businesses. 
“I feel like the program is morphing,” she said. “I’m hopeful that it’s improving. Hopefully we’re going to see improvements in terms of processing time and consistent procedures going forward that will alleviate the frustration that many applicants feel. It just takes time and patience.”

View-Tech, Inc. ; A Certified WBE with a Stellar Reputation in the Industry

By: Sarah Hall

Sean and Allison Smith are partners in every sense of the word.

The married couple owns View-Tech, Inc., a commercial window installation company in Syracuse. While Sean handles the construction side of things, Allison is in charge of the business end.

“[It’s] a good blend of our skill sets, working together. We aren’t stepping on each other’s toes and we accomplish a lot,” Allison said. “It’s like passing the ball back and forth.”

View-Tech was started in 2011 when Sean, who had been working in commercial sales for a window and door manufacturer, wanted to be more involved in the way products were installed and improve the quality of installations.  

“Sean had a broad background in construction,” Allison said. “He had worked as a carpenter, project manager, architectural consultant, and then in commercial sales. He knew there was a market for commercial window and door installation. He knew the technical aspects of the products, and how they should be properly installed. In the fall of 2011, he was ready to start his own business.”

Meanwhile, Allison has a strong background in business. In addition to View-Tech, she has owned ISSI Technology Professionals, a recruiting and staffing business, since 2001. Together, with her business acumen partnered with Sean’s technical knowledge, they had a great foundation to get the company started.

“Being in a commercial market really requires you have to have a strong back office,” Sean said. “There is a great deal of contract negotiation, vendor management, business operations, and project-related paperwork involved. 

 

 Business administration is crucial to the success of any type of commercial construction business. It’s a lot more than just swinging a hammer.”

Allison said the partnership has been extremely successful.

“We did it together, because our skill sets complemented each other,” she said. “I had the business experience and he had the construction and technical knowledge, so it really was a very good match.”

‘You’re doing something right’

That partnership has spawned a business that has seen increased growth each year, Allison said.

“It has been an exciting business challenge for me, the chance to learn a new industry,” she said. “I have enjoyed expanding my skill set and growing professionally.”

“Our primary focus is direct sales and services to the building owner or design team,” Sean said. “I enjoy getting into the details and providing a complete system for a turnkey installation. This is what drove me to the commercial market. The projects are sizeable and more complex.”

View-Tech specializes in the replacement market, which means they are usually working on buildings that are occupied.

“The team that we have does an excellent job working in occupied spaces,” Sean said. “We are able to minimize disturbances by putting up protective barriers, floor protection, using noise reduction and keeping the work areas as clean as possible. We really work hard at trying not to disturb people that are working or living in these spaces.”

Allison said that the crew earns plenty of praise from customers for their conscientiousness and cleanliness.

“When we receive compliments from the clients, we make sure that we share them with our team. It really matters, and they like that people notice,” she said. “Our crew is respectful, again because they are occupied spaces. They are friendly, easy to work with, and clean up after the work is done.” 

Allison said the team takes pride in their work.

“You’re always happy that they care about the job as much as you do,” she said.

And it’s not just the workers earning kudos. View-Tech in general has a stellar reputation in the industry, often doing multiple projects with the same owners and architects.

“If you can specialize in something and be really good at it, that is the best way to grow and build your business.  A good reputation will generate referrals and repeat business,” Allison said. “It is rewarding when we work with the same people, and get the opportunity because we did a good job.”

“That is a testament to we’re doing something right,” Sean said.

From condos to castles

While View-Tech has had projects all over the Northeast, the Smiths expect to see more work in Central New York in the coming year as the company continues to grow.

“We’re very hands-on. We are out at the job sites daily,” Sean said. “It doesn’t matter how far away the work is, we are visible, we take great pride in our work and will be at the job site.”

View-Tech has worked on a variety of projects, including K-12 schools, universities, apartment buildings, historical preservation sites, correctional facilities, condos, and senior living facilities. Right now they are completing work at the Westside Academy at Blodgett in the Syracuse City School District, as well as replacing the windows at Whiteface Castle in Lake Placid. Previous notable projects include the Women’s Hall of Fame in Seneca Falls, the Veteran’s Administration Hospital in Syracuse and a large historical preservation project in Binghamton, New York, that consisted of converting two factory buildings that were the Endicott Johnson shoe factory into apartments, now called Century Sunrise Residences.

“Endicott Johnson was a large project that was very complex due to the size of the openings, 20 feet by 15 feet,” Sean said. “The project required us to invest in a glass lift machine due to the windows weighing over 500 pounds each. We had on-site training for our crew, and it was exciting for them to use new technology. EJ was a fun job, and we were very happy with the end result.”

Getting more women in construction

View-Tech is a New York state certified Women Business Enterprise (WBE) and the only WBE-approved Glass and Glazing company by the city of Syracuse.

“New York state has an initiative to find more opportunities for women-owned businesses,” said Allison, the majority owner of the business. “I look at our WBE certification as an advantage in that respect, especially with the increase of federal, state and local projects.”

But more importantly, she said she hopes the existence of the WBE certification will help to attract more women to the industry.

“[Construction is] still male-dominated,” Sean said.

And it’s not the only profession where women are under-represented.

“I would say that women are under-represented in the computer and engineering industries as well. These are fields where compensation is competitive and there is equality of pay,” Allison said. “I believe connecting with other women, sharing success stories, and increasing our visibility can help attract more women to construction.”

Sean said there has been some increase in the number of women working in the trades.

“You can go to a construction site today and you do see more women working,” he said. “We have recently seen an increase in the number of electricians on job sites that are women.”

In addition to the WBE certification, View-Tech is doing its part to draw more young people into the field; the company has a paid apprenticeship and training program to offer new crew members a way to enter the industry.

“Our apprenticeship program is a great way to recruit some young women in as well,” Allison said. “It gives them a chance to be mentored and invested in. We provide training and give them the opportunity to learn on the job through hands on experience, while also being paid.”

Growing together

That’s not all Allison and Sean are hoping to see in View-Tech’s future.

“We’ve had really strong growth year after year, and the projects keep getting larger and more complex,” Allison said. View-Tech increased their workforce in the field this year as well as hired another project manager and a project assistant at their office in Franklin Square. Sean said he expects to continue to add to the staff in 2020.

“We are forecasting another year of growth and will be adding to our team.” 

And they owe all of it to their partnership.

“It’s definitely a good blend of our skills,” Allison said. “I am grateful that our skills and strengths are compatible, but opposite. We have our own separate, clearly defined responsibilities, and we really just let the other person do what they are good at. We respect and appreciate each other for doing their part to make View-Tech a success.”

Five Star Equipment Building for the Future

By: Sarah Hall

Five Star Equipment prides itself on, above all else, five core values: customer focus, integrity, accountability, teamwork and excellence.

Five Star Equipment is a full-service dealer for a number of major construction equipment brands, including John Deere, Hitachi, Bomag, Topcon, Fecon and dozens of other manufacturers. Their client list is made up of private and municipal customers in the construction, forestry, and commercial worksite industries in northern Pennsylvania and central and western New York state.

“We are a full-service dealer, which means we provide all of the support to our customers before, during and after the sale,” said Five Star Equipment’s Marketing Director Patricia O’Brien. “We provide our customers with virtually all of their equipment and attachment needs, as well as product support after the sale by John Deere factory-certified service technicians.”

The company has seven locations: Dunmore, Williamsport, and Waterford, Pennsylvania, and Kirkwood, Syracuse, Rochester and Orchard Park, New York.

Five Star Equipment was founded in 1980 by business partners Frank Gallo, Bill Bochicchio, Sr. and Louis DeNaples. After a few years of successful business operations with a full-line GMC truck dealership located just outside of Scranton, PA, the entrepreneurs acquired a John Deere Construction and Forestry dealership in the area. John Deere continued to offer the company expansion opportunities in New York and Pennsylvania. Over the following decades the company adjusted its dealer footprint and now serves customers from seven locations covering 57 counties in the neighboring states.

 

Fast forward to 2016, when Bill Farrell was brought on board as the company’s first Chief Executive Officer. Farrell and Five Star Equipment’s Senior Leadership Team have created a long-range strategic plan to reinvest in the business to carry it into the future.

New Syracuse facility

A significant part of that strategic plan is the construction of a new facility in Syracuse, New York. The current building was constructed in 1991 and, according to Farrell, has outgrown the ability to service the needs of Five Star Equipment’s customers and its employees.

“Syracuse is a growing, vibrant market. This new facility is an investment in our employees and the customers that we serve,” Farrell said. “Our goal in Syracuse is to create an environment that provides our people with the tools and infrastructure they need to achieve success, which, in turn, provides our valued customers with world class equipment backed by outstanding service.”

Located in Airport Business Park at 5801 E. Taft Road along I-81 North, the 25,000-square-foot facility is situated on approximately 10 acres and includes the following features:

  • Building design is geared towards maximizing efficiency and service capabilities
  • An outdoor equipment “playground” will allow customers the opportunity to demo equipment on-site
  • Expansive showroom/reception area with a modern, computerized parts counter plus a designated customer portal parts pick-up counter
  • Curbside/external parts pickup area
  • Parts warehouse with garage door access for receiving and parts dispatch
  • Eight-bay service area equipped with four 10-ton overhead cranes
  • Separate equipment wash bay
  • Sales and administrative offices and conference rooms for training sessions and customer meetings
  • Breakroom, locker rooms and rest rooms

“Everyone in the Syracuse branch is very excited about the new facility. It’s really taking shape with the exterior just about buttoned up. We are looking forward to a new shop with capabilities to perform work at ease,” said Syracuse interim General Manager Valerie Smith, who joined the company in 1990. “Personally, I’m very happy to be a part of this next phase that Five Star Equipment has taken. I love what I’m seeing with the growing success of this company.”

From this location, customers will receive full product support in the shop or in the field by John Deere Certified Service Technicians. This location provides service to Onondaga, Cayuga, Seneca, Oswego, Madison, Oneida and Herkimer counties. Field service work is completed using two fully stocked road service trucks.

The construction in Syracuse follows the construction of a new facility in Orchard Park, New York, as well as renovations of the locations in Dunmore, Pennsylvania, and Kirkwood, New York, all of which have taken place over the last two years.

Recruiting—and keeping—the best

Having the best possible facilities will allow Five Star Equipment to continue to meet the high standards set by the brands they represent.

“We are very proud to represent all of these brands, particularly John Deere,” O’Brien said. “Our employees are regularly trained via online courses and in-person training by John Deere and other manufacturers to ensure our product knowledge is at the highest level to allow us to best serve our customers.”

And it’s representing those brands that draws employees to work for Five Star Equipment —though finding qualified workers can be a challenge.

“There is a nationwide shortage of experienced service technicians that are capable of working on heavy equipment and large diesel machines,” O’Brien said. “We are continuing to build relationships with area colleges that offer the types of programs that produce service technicians who are ready to work on machines, but we are also looking for more experienced service technicians. That’s probably the biggest challenge for us as an organization from a Human Resources perspective.”

Once employees have hired on with the company, however, they’re likely to stay. Many employees, like Valerie Smith, have been with Five Star Equipment for decades. Farrell said that’s thanks to the culture of teamwork, accountability and transparency built by the organization’s senior leadership.

“Our doors are always open,” he said. “Anyone at any time can approach a branch General Manager, a member of the corporate Senior Leadership Team or me with an idea, suggestion or concern and they are heard.”

That’s the idea behind Five Star Equipment’s Powering Your Success tagline, which seeks to empower both employees and customers.

“We introduced Powering Your Success as our corporate tagline in the fall of 2018,” Farrell said. “For our employees, it means the company is powering their success by providing them with the tools they need to do their job including new and remodeled facilities, a new Human Resources system, opportunities for growth and development, and much more. For our customers, it means that we are an important contributor to their success by providing outstanding equipment, support and service throughout the life of the machines or parts they purchase from us.”

A bright future

At the moment, Five Star Equipment, like everyone else, is in uncharted territory due to the COVID-19 pandemic. But leadership is confident this is little more than a bump in the road.

“For the immediate future, we are looking for the economy to bounce back so that our customers can return to their full workload as the COVID-19 pandemic continues,” O’Brien said. “We have kept in regular contact with our customers to help them weather this storm however we could, by offering special programs and discounts on rentals, purchases and service programs.”

And as things return to normal, O’Brien said Five Star Equipment is looking to expand is customer base in its existing seven locations. She said the best way to do that is by investing in the business.

“One way to grow is by recruiting, retaining and training top talent at all levels of the company,” she said. “Another way to grow is by providing our customers and employees with modern facilities, like the one we are building in Syracuse. These facilities will enable our employees to work more efficiently and have the right tools in place to best serve our customers.”

Abscope Environmental Takes On New Leadership

By: Tami S. Scott

More About the Major Players

  • President and CEO Bob Romagnoli has spent all of his career in the environmental world, primarily on the consulting side. He has led multi-million-dollar Superfund remediation programs from investigation/design to construction and developed turn-key environmental strategies for numerous Fortune 100 companies. He served as Sr. Vice President at Arcadis and Managing Director at TIG Environmental before joining Abscope in January 2019.
  • Executive Vice President Rob Gray has more than 28 years of experience in the Environmental Remediation field. He has been an instrumental member of the Abscope Team since 1995. He has extensive project experience with MGP remediation, Hazardous Waste Remediation, Stream Sediment Removal, ISS, Sheet Pile Installation, Deep Excavations, and Site Development Projects.
  • Executive Vice President Robert Duffy has been a key employee of Abscope Environmental since 1989 and Vice President since 2009. Prior to 2009, Robert was General Manager for five years, managing and coordinating a variety of asbestos abatement projects throughout the Northeastern and Midwestern US. Since 1989, he has successfully supervised and/or managed more than 3,500 asbestos abatement projects.

Based in small-town Canastota, New York, Abscope Environmental’s roots reach back to the early 1970s when John Romagnoli established Canastota Constructors, a company that focused on heavy highway construction and site development.

It was 18 years later in 1989, when John, together with his sons, Jack and Jerry, founded Abscope, once described by Jerry as a spin-off of his dad’s livelihood. Over time, the company has grown to become one of the premier environmental remediation construction firms in the country. Today, Abscope embraces an era of new leadership, and is proud to announce its most recent developments.    

A New Era

Over the past two years, Jack and Jerry gradually hung up their Abscope hats for new roles as retirees, and gracefully passed the torch to their youngest brother, Bob Romagnoli. It was somewhat an expected rotation of ownership as the trio had talked about it for years, but as Bob explained, the timing now was finally right. With more than 30 years of experience in the environmental consulting industry, Bob is more than prepared to take on the family dynasty—and with good company.

In March 2020, long-time employees and minority owners since 2010, Robert Duffy and Rob Gray, signed on as majority partners, having an opportunity to own a larger percentage of the company. The contract was signed about two weeks prior to the coronavirus outbreak, and Robert joked that had the deal been further delayed, he might have run the other way. As with Bob Romagnoli, timing is everything, and fortunately, Abscope is surviving the pandemic with minimal upset, having been deemed “essential” from the start. 

“[Rob Gray and Robert Duffy] have been an integral part of the company for decades now, and together with my brothers, developed the successful business that we have today,” President and CEO Bob Romagnoli said.

General Manager Steve Mitchell, who has been with the company for 30 years, has also been a critical piece in the growth and success of Abscope. Mitchell handles the day-to-day coordination of resources and equipment, and according to Romagnoli, “stands on his head” to keep things running smoothly. “Stevie is laser focused on ensuring that all of our projects are properly staffed and equipped; his attention to detail is extraordinary,” he said.    

The New Normal

Though the current pandemic has postponed some state-funded school-related projects, overall, it has been business as usual — with just a few tweaks. Since COVID-19 has surfaced, there has been a heightened need for both preventative and reactive office cleaning to ensure a safe workspace. This type of service is a natural fit for Abscope’s Industrial Decontamination capabilities. Abscope can provide all surface sanitization and disinfection (aggressive industrial cleans), or it can serve a client through containment, decontamination, and remediation of coronavirus infectious sites and waste.

The company’s response methods are in accordance with the Centers for Disease Control and Prevention (CDC), the Environmental Protection Agency’s (EPA) approved antimicrobial products, and OSHA’s COVID-19 planning guidance.

The team has had no active cases of the coronavirus to date.

Areas of Expertise — Rob Gray

Executive Vice President Rob Gray heads up both the remediation and geotechnical divisions, the former having gained “expert” status, the latter being a relatively new area for Abscope.

“Over the last 10 or 15 years we’ve been a pretty strong player in the MGP market,” which is short for Manufactured Gas Plant Remediation, Gray said. “We do much of that work for utilities such as NYSEG, National Grid and Rochester Gas & Electric Company (RG&E). This is an area where we’ve established a solid presence, and get a good share of the work, given our expertise.”

New York State has numerous MGP sites, Gray said, adding that “the list of sites gets longer each year [and] utility companies are doing all they can to get the sites cleaned up.”

While Abscope also provides a variety of geotechnical services such as shoreline stabilization, sheet piling, groundwater cut-off wall installation, and in-situ soil stabilization (ISS), they tend to fly under the radar a bit. Despite that, Abscope has worked on numerous geotechnical projects throughout its history, inspired by the company’s civil construction roots. Most recently, Abscope completed a shoreline stabilization project on Onondaga Lake, located directly in front of the St. Joseph’s Health Amphitheater. The next shoreline stabilization project may be out of state. “It’s an active market in Michigan right now, and we’re accustomed to working throughout the Mid-West,” Gray said.

Abscope is also gaining traction in another new territory, providing civil works for windfarm repowering projects. The work generally includes developing lay down areas, access roads, crane pads, and various other site improvements needed to replace wind turbine components. This relatively new market for Abscope began in 2018 when a “green energy” developer contacted the company for support at a local windfarm. They selected Abscope due to its stellar safety record and reputation in the region. Since then, Abscope has continued to service this client throughout the US.

Areas of Expertise — Robert Duffy

Executive Vice President Robert Duffy, alongside General Manager Steve Mitchell, is charged with leading the asbestos abatement and industrial decontamination division.

Asbestos abatement services include the removal, encapsulation, enclosure, transportation, and disposal of asbestos-containing materials, as well as building demolition or selective demolition of building components. It also entails both lead and mold remediation.

Like Gray, Duffy’s involvement at Abscope goes back decades. He has been, and continues to be, a key player at Abscope, interacting daily with clients, regulatory personnel, subcontractors, and project engineers. He is also responsible for estimating, proposal development, submittal generation, waste disposal coordination, and final report development. Duffy has been instrumental in the development of project-specific health and safety work plans and Abscope’s company-wide, behavior-based Health and Safety program.

Reflecting on his years of dedication and service to Abscope, Gray said the opportunity that Jack and Jerry gave both him and Duffy has meant a lot to him. “They saw a lot of potential in us and determined that we were guys they should hold onto to help keep the company going when they retired,” he said. “I appreciate and thank them for the opportunity they gave [us].”

Construction in the Post-Pandemic World

By: Diana I. Plue, Esq. and Anthony C. Galli, Esq., Sheats & Bailey, PLLC

Construction projects in New York State are back in action.  Owners are happy to have their projects progress, and anxious to complete them as close to their original schedule as possible.  The desire to meet the original deadlines may lead to an owner or general contractor accelerating a project or demanding a subcontractor increase its workforce.  Work will likely be performed out of sequence.  All of this could be problematic because the simultaneous restart of the majority of construction projects will strain the already dwindling labor force.  There are only so many carpenters, electricians, masons, etc. available.  Contractors may find themselves unable to procure the skilled labor needed to perform the work as contracted—and on time.

Furthermore, other coronavirus-related factors may further burden the labor force, such as construction owners and contractors being required to conduct daily health screenings of their employees, clean and disinfect job areas after every shift, maintain a log of visitors and workers on site, and adjust shifts and sequencing of work to maintain social distancing as much as feasibly possible. These mandatory changes may affect a contractor’s ability to timely complete their work as contracted or cause additional expenses.

What should a contractor do when confronted with increased costs due to inefficiency on a job site, an owner accelerating the work, and/or increased costs due to delays in completing the work?  A contractor must give notice of its claim for additional compensation or more time.  Construction contracts often have requirements for processing claims for additional money and additional time.  A notice of claim clause is a “condition precedent” clause; meaning something must be done before something else can happen.  A notice of a claim must be provided before getting paid for the claim/additional work.  These clauses are strictly enforced.  A contractor’s failure to comply with a notice of claim clause can destroy its right to get paid for that additional work. 

On a public works project, a statute might also govern the time and method of filing a notice of claim.  For example, on a school project, a contractor must file a Verified Notice of Claim with the governing body of the school district within 90 days after a claim accrues (Education Law § 3813).  A claim on a school project accrues when a request for payment for a sum of money/extra work is denied.  This can happen in an obvious way with a request and a denial in writing.  It can also happen in a less obvious way, such as a partial denial of an application for payment, or denial of a change order request.  The 90-day clock starts to tick from that point in time. 

Examples of other public entities with statutory requirements for notice of claims are included in the following chart.  These statutes might also contain statutes of limitations to sue.  On school projects, the Education Law requires a lawsuit to be commenced against a school within one (1) year after that date the claim accrues. 

 

Public Entity

Notice of Claim

Statute of Limitations

Villages (CPLR § 9802).

File a written verified notice of claim within one year of claim accrual.

 

Must commence action within 18 months after claim accrues.

Town Law (Town Law § 65(3)).

Must file a written verified notice of claim within 6 months of the date the claim accrued.

 

Commence action within 18 months of date claim accrues.

School Districts and Schools (Education Law § 3813).

File a detailed written verified complaint with the school board within 3 months after the accrual of the claim.

 

Commence action within one year of the date the claim accrues.

City of Syracuse.

File a written verified complaint within 90 days of the date the claim arises.

 

Commence action within one year and 90 days from the date the claim accrued.

Contractors must know about both contractual and statutory notice of claims requirements.  Read your contract and read your supplementary general conditions.  Consult with qualified and experienced counsel who can provide guidance with regard to construction claim processing requirements on public works projects.  Make sure you protect your rights by filing a notice of claim as required by either or both your contract and statute.  Failure to know and follow the contractual and statutory requirements for a notice of claim could lead to you not being paid thousands of dollars in legitimate claims.  

For more information, contact Diana I. Plue, Esq. or Anthony C. Galli, Esq. at Sheats & Bailey, PLLC; a law firm dedicated to serving the construction industry.  Tel:  (315) 676-7314 / Email:  dplue@theconstructionlaw.com, agalli@theconstructionlaw.com.

 

The information provided in this article is not intended to serve as specific legal advice for any particular situation.  Competent legal and experienced counsel should be consulted.