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Industry News - July 2005

AIA Recognizes Rinker Hall as Outstanding "Green" Project

The American Institute of Architects and its Committee on the Environment recently selected the Rinker Hall project at the University of Florida in Gainesville as one of eight examples of excellent architectural and "green" design solutions that protect and enhance the environment.

Rinker Hall is a leadership facility within UF's College of Design and Construction. Accommodating 450 students, the building includes classrooms, teaching labs, construction labs, faculty and administrative offices and student facilities. The building incorporates a range of green features and, in 2004 achieved a LEED Gold rating from the U.S. Green Building Council.

Of the Rinker project, one juror commented: "This project impressed us because it is in Florida, and we wanted to honor this as an excellent example of what can be done when working with the climate. The project team did a lot with the site and rainwater."

The project was designed by Croxton Collaborative and Gould Evans, New York. More information can be viewed at http://www.aiatopten.org/hpb/overview.cfm?ProjectID=286.

PCA Predicts Continued Strong Cement Consumption for Another Record Year

According to the "Spring Forecast" from the Portland Cement Association, cement consumption should increase 3 percent in 2005, to another record level of 123.4 million metric tons.

"The underpinnings of U.S. economic growth are solid and will translate into 3.3 to 4.0 percent growth rates in GDP for 2005 and 2006," predicted PCA Chief Economist Ed Sullivan. "Even in the context of rising interest rates, sustained high oil prices, an oversized federal budget and trade deficit, and continued upward pressure on commodity prices, the general economic picture is expected to result in sustained growth in overall U.S. construction."

PBS&J Reports Missing Funds and Exit of Top Finance Officer

PBS&J, the big Miami-based designer, said auditors have discovered missing funds and that the company's chief financial officer and treasurer, W. Scott DeLoach, has resigned.

What started as the detection by internal auditors of accounting irregularities in health benefit expenses and reserves apparently has blossomed into a full-blown investigation and attempt to recover lost funds. As many as two additional former staff members are connected to the irregularities, company officials say.

Financial reports and net income for the previous three years may need to be restated, based on the outcome of the investigation, the company reported March 23 and 30. PBS&J reports its financial condition to the U.S. Securities and Exchange Commission because of its large number of employee shareholders. The firm reported $450.7 million in 2004 revenue, up from $389.1 million in the prior year. It is ranked 21 among Engineering News-Record's Top 500 Design Firms.

CEO John B. Zumwalt III declined to discuss the amount allegedly misappropriated or to characterize the situation as suspected embezzlement or theft. Auditing procedures put in place to comply with the federal Sarbanes-Oxley Act uncovered the discrepancies and "we are recovering assets," he said.

In an April 4 letter to employees, Zumwalt said, "All of us have a lot of questions...including me."

According to the company's federal filings to the SEC, the funds in question relate to its expenses for employee medical benefits, cash accounts and reserves for incurred, but not yet reported, medical claims.

Based on the results of the internal investigation, DeLoach, a 20-year employee, resigned on March 28. He had served as PBS&J's CFO since January 2004 and previously held the positions of corporate controller, national service director of administration and executive vice president. In an interview, Zumwalt stressed that much still remains to be learned from the work of the investigating accountants and attorneys.

DeLoach could not be reached for comment. Said Zumwalt: "He was supposed to get his 20-year plaque." Source: Engineering News-Record. By Richard Korman, with Debra K. Rubin

McCarthy Opens Atlanta Office

St. Louis-based McCarthy Building Companies announced the opening of a full-service office in Atlanta, to be overseen by Kevin Kuntz, a 22-year company veteran.

McCarthy plans to focus on its core markets of healthcare, bioscience/research and education. Currently, the firm is building the $157 million Emerging Infectious Diseases Laboratory at the Centers for Disease Control and Prevention, a 370,000-sq.-ft., state-of-the-art lab project, scheduled for completion this summer.

Clancy & Theys Wins AGC's Top Technology Award

Clancy & Theys of Raleigh, N.C., took first place in Associated General Contractors of America's national Best Information Technology Solutions (BITS) contest, a competition featuring the newest technology-driven business applications for contractors across the country.

Clancy & Theys won the top award for its use of Field2Base, a new wireless technology tool that enabled the contractor's field-based superintendent to instantly convey to relevant parties such project information as hand-drawn sketches, digital photos, CAD files or automated paper forms. AGC recognized Clancy & Theys for its use of a technology that saved the company time and increased the quality of communication between the design team and the field superintendent.

Cooper River Bridge, NCDOT Efforts Win 2005 ARTBA PRIDE Awards

The community outreach effort of the team building Charleston's new Cooper River Bridge and a pair of programs by the North Carolina Department of Transportation were among the winners recognized by the American Road & Transportation Builders Association Transportation Development Foundation's sixth annual "PRIDE Awards," presented recently.

State transportation departments and private sector firms were recognized in the categories of public-media relations/education and community relations.

The South Carolina Department of Transportation took the top award in the community relations category for state transportation agencies. The Cooper River Bridge team was recognized for enhancing area employment, education, housing and health/environmental opportunities. More than 80 previously under-employed and unemployed people were hired to complete the project's pre-employment program and given on-the-job training positions with the design/build contractor.

The NCDOT garnered two awards, each in the public-media relations/education category for state DOTs. The agency tied for first place with its "Work Zone Safety Poster & Calendar Contest"

NCDOT partnered with ARTBA contractor affiliate Carolinas AGC to promote the "Work Zone Safety Program" throughout the state's schools. Hundreds of students, ages 5 to 18, participated in a poster contest and created artwork depicting their ideas for safer work zones. A dozen winning entries were included in a calendar that was distributed to schools, NCDOT employees and to the general public to remind motorists to: "Drive Smart. Do Your Part."

NCDOT won third place for its partnership with Carolinas AGC and the American Council of Engineering Companies of North Carolina to promote the transportation, construction and engineering industries through an annual model bridge building competition. More than 35 schools participated in the program, which was directed toward middle and high school students.

This year's awards competition was sponsored by Better Roads and Roads & Bridges magazines. An independent panel of public relations professionals and construction industry journalists selected the winners. For more information about all of ARTBA's PRIDE award winners, readers may visit http://www.artba.org/news/press_releases/2005/04-26-05.htm.

Hispanic Contractors Association of Georgia Established

Executive Director Rafael Villegas announced the establishment of the Hispanic Contractors Association of Georgia, based in Doraville, Ga.

According to Villegas, HCAG's mission will be "to promote and support the advancement and economic growth of the Hispanic contractors, developers, manufacturers, vendors and construction workers in Georgia."

The association will develop programs and facilitate necessary resources to help these groups of people, Villegas said. More information about the organization can be found at its website, www.hcageorgia.org.

Neff Corp. Acquired by Odyssey Investment Partners

Neff Corp. of Miami, a construction and industrial equipment rental company, announced that its stockholders have approved the acquisition of the company by an affiliate of Odyssey Investment Partners, New York City. The transaction is valued at $510 million, including the refinancing of Neff's debt.

Completion of the acquisition is subject to completion of financing for the transaction and customary closing conditions.

Neff's primary focus is in ground-engaging equipment and its fleet is comprised of earthmoving equipment, compressors, generators and lifts. Odyssey Investment Partners is a private equity firm whose portfolio companies include Williams Scotsman, Dayton Superior Corp. and Dresser, among others.

Sunbelt Rentals Acquires Seven South Florida HSS RentX Locations

Sunbelt Rentals has acquired seven South Florida branch locations from HSS RentX. The purchase included certain assets as well as the continuing commercial activity generated by the locations. After the consolidation of two of the acquired locations into nearby existing Sunbelt locations, Sunbelt will serve the greater South Florida market from its expanded network of 12 locations.

Catalfumo Donates $100,000 to FIU

Catalfumo Construction and Development of Palm Beach Gardens, Fla., recently donated $100,000 to the Florida International University, Department of Construction Management. The donation will establish the Catalfumo Program for Excellence in Construction Management.

The gift comes from the Daniel S. Catalfumo Family Foundation, a foundation started by Dan Catalfumo and his children to benefit local non-profit organizations and regional initiatives.

The program will recruit students, provide faculty research and analytical support, reward high achieving faculty, as well as bring industry and academic leaders to campus.

NUCA Recognizes Archer Western, Western Summit for Community Service Efforts

The National Utility Contractors Association recently recognized Archer Western Contractors of Atlanta with a "Community Service Award" for its contribution to Rebuilding Together - Atlanta Rebuilding Day 2004, The Bates House.

Western Summit Constructors of Norcross, Ga., won an honorable mention award for its contribution to the Heritage Sandy Springs Greenspace project.

Murton Roofing Donates Roofs, Repairs

Murton Roofing Corp. of Miami, West Palm Beach and Port Charlotte, Florida, showed its support of Rebuilding Together, a non-profit, non-sectarian organization that helps low-income individuals and families through voluntary contributions of time and money. The roofing contractor donated skilled labor and materials for needed roof repairs and re-roofing on five residences in South Miami.

Rebuilding Together selects homes at the local chapter level using national guidelines. Homes selected for rehab must be owned by low-income individuals who are elderly, disabled, or families with children - all of whom are unable to do the work on their own. All labor performed and materials used are free to the homeowners.

Light Gauge Steel Manufacturer Changes Name

Savannah, Ga.-based Innovative Building Solutions, the parent company for PanaSteel LLC, has changed its name to PanaSteel Building Solutions. The company manufactures and delivers rolled light gauge steel for homes and light commercial structures in Georgia, South Carolina, Florida and the Bahamas.

Florida Specialty Contractors Honor CORE Construction

CORE Construction of Orlando was named "General Contractor of the Year" by American Specialty Contractors of Florida. ASC of Florida is a not-for-profit organization that promotes awareness of professionalism in the building industry.

Current Builders Wins South Florida Business of the Year Award

Current Builders of Pompano Beach was recently awarded The South Florida Business Journal's "2005 Business of the Year" in the category of "General Contracting over $25 Million."

Ingenuity Engineers Opens Orlando Office

Ingenuity Engineers announced it has opened an office in Orlando. The firm will provide consulting engineering services including mechanical, electrical, plumbing and fire-protection systems.

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