OnSitemetropolitan builderS & ContraCtorS aSSoCiation of nJ magazine

Associate AppreciationSee pages 10 - 14

Metro Fall Golf Outing September 30thSee Page 7

September 2014

G&C Chairman, Phil Calinda (r) and John Healey

Nick Pietrone, David Olander, Carlos Mendes and

Brian Maffia having a great time!

Thursday

July 17, 2014

Grillin & Chillin at The Raritan InnCalifon

Thank you, The Raritan Inn, for use of your

beautiful facility!

Special Thanks for Prizes

Penny Brach

David Bossart

Roger Hendrickson

Dennis Loh

Nick Pietrone

Thank You Sponsors!

Caliber Home Loans

R.D. Serr Company/Serruto Properties

Tile by Design

White House Designs for Life

Left to right – Greg Kelly, Bill Asdal and Philip Calinda, Jr.

3.

Editor: Sharon Barkauskas

OnSite prepared in conjunction withDonna Weiss Graphic Design,

Spring Lake Heights, NJ and printed by

U.S. Press, Valdosta, GA

Gold Hammer Sponsors

Silver Hammer Sponsors

Metropolitan Builders &

Contractors Association of NJ

39 East Hanover Avenue • Suite C2 Morris Plains, NJ 07950

Phone: 973-887-2888Fax: 973-887-2926

Website: www.metrobca.org

September is National Associate Appreciation month. This is the time ofthe year where we honor our Associates for their participation and sup-port of our Association. Associates fill our committees, lend support inTrenton, help craft our legislative agenda and donate their money to helpkeep the Builders Association moving forward.

Our Associates are anxious to share their knowledge with others in ourgroup. Often times I will call one of our Associates for informationabout a product or market trend. When I am looking for a new trade con-tractor or supplier, I look in the Directory for a name and phone numberof an Associate member first. There is such a wide array of knowledgein our Association; it is just a matter of reaching out to ask for the infor-mation.

Of course, the best way to say thank you to an Associate for all that theydo for us is to give them the opportunity to bid your next job.

Remember, “It is good business to do business with an Associate.”

In September, we will be honoring our Associate members in OnSite andat the September 18th “Lobsterfest” event at Pub 199. During thismonth, we will also take the opportunity to recognize the recentAssociates of the Quarter and we will be kicking off the New ProductSpotlight for all members. If you would like to participate in these pro-grams, contact KT or Sharon for details.

Lastly, I hope that everyone has had the opportunity to see our ownMetropolitan Builders and Contractors Association article featured inthe Spring 2014 Builder Architect magazine which came out last month.We have made arrangements for Builder Architect to produce reprintsfor any member who wants them. These reprints can be customized tofeature the individual member on the back cover as part of the Metro

story. It is a great marketing piece for any member who is on a limitedbudget but wants their name linked to Metro and Builder Architect. Wewill be using our own reprints as part of our prospective member pack-ets. Again, contact the Metro office if you need any additional details.

I look forward to seeing all of you at our next events.

Dominick Paragano2014 Metro President

President’s MessageSeptember 2014

4.

SAVE THE DATES Thursday, September 18

Association Appreciation Event“Lobsterfest” at Pub 199, Mt. Arlington - 6pm

Tuesday, September 30Annual Metro Golf OutingKnoll West Country Club - 1 pm

Thursday, October 16General Membership Meeting

Redevelopment/Mixed Use PanelBridgewater Manor - 6pm

NAHB International Builders Show - IBSBoard of Directors Meeting

January 20-22, 2015 - Las Vegas, Nevada

Call Sharon at the Metro office for more informationor visit our Websitewww.metrobca.org

Awards of Excellence Gold Sponsor

People ONLY join to get business from Builders! How manytimes have I heard one or more of these comments or questions.At several recent meetings with staff and members, I realized justhow little we use the expansive resources on the NAHB website.

Today I shared links from NAHB HouseKeys on Facebook

Do you know what NAHB HouseKeys is? If not take a minute right now and go to:

http://nahbenews.com/nahbhk/issues/2014-07-09.html.

Did you read this article?

Controlling Direct Construction Costs

Direct construction costs are the largest cost classification forhome builders. They typically represent 55%-62% of a homeprice. If builders want to earn superior profits compared withcompetitors, they should start by lowering these percentages.This article identifies 25 Proven Ways to control and reducedirect construction costs whether you build two homes a year or2,000.

I challenge each and everyone to take 5 minutes out of your

day to discover what NAHB has to offer! Find a new idea,

important information or something that made a difference

in your business and share it with us. We will give you full

credit in a future KT’s Korner!

T’s

KornerWhat’s in it for me?

Why should I belong?

5.

Membership Sponsors

Associates

“Building Our Future . . .One Member At A Time”

WELCOME NEW MEMBERS

Richard CohenRKC Construction Corp.

16 Mt. Bethel Road, Suite 172Warren, NJ 07059

908-649-0760 • 908-548-0832 Fax908-507-4418 Cell

rich@rkcconstructioncorp.comwww.rkcconstructioncorp.com

Sponsor: Steven Caporaso

Bio:Framing contractor and construction

consultant

Dino GuadagninoBank of America

146 Headquarters PlazaMorristown, NJ 07960

973-775-4675 • 866-517-2131 Fax973-727-2412 Cell

dino.guadagnino@bankofamerica.comwww.mortgage.bankofamerica.com/

AldinoguadagninoSponsor: Dominick Paragano

Bio:Bank of America’s strategy is to serve thecore financial needs of people, companiesand institutional investors by connecting ourcapabilities across eight lines of business.Bank of America offers the longest ratelocks in the industry and a commitment tosuccess with each of its business partners.

Craig LillisGroundsCare Landscape

36 Fourth StreetSomerville, NJ 08876

888-588-8451 • 732-626-6307 FaxCraig@groundscarelandscape.comwww.Groundscarelandscape.com

Sponsor: Dominick Paragano

Bio:Full service commercial landscape company, snow removal, hardscape

and maintenance work.

John LalosGeneral Motors Corporation

39 Old Ridgebury RoadDanbury, CT 06810

201-509-7854Gianni.lalos@GM.com

www.GM.comSponsor: Dominick Paragano

Bio:GM Fleet and Commercial is reaching outto small/mid-size fleets to offer new fleet

management solutions.

Keith A. FenstermakerUnity Bank

64 Old Highway 22Clinton, NJ 08809

908-713-4325 • 908-894-6163 Fax908-303-0538 Cell

Keith.Fenstermaker@UnityBank.comwww.UnityBank.com

Sponsor: Elizabeth Horvath

Bio:Banking and Mortgage Company

Jeremy GreenmanFulton Bank of New Jersey

117 West End AvenueSomerville, NJ 08876

908-253-3563 • 908-685-2180 Fax908-803-3896 Cell

jgreenman@Fultonbanknj.comwww.Fultonbanknj.com

Sponsor: David Olander

Bio:Banking and Mortgage Company

NAHB Affiliates

Note: All new members will be

introduced at General Membership

Meetings and have an opportunity

to present a brief description

about their business.

All New Members Will be

Posted Monthly on the Website –

www.metrobca.org

Club MembersDominick Paragano 12

Rob Fallone 2

2014 Membership Gold Club*

*Membership in this prestigious Club is for any Metro(CBRA) member who has brought in 2 or more new membersduring 2014. Thank you for your efforts in recruiting newMetro members!

July 2014¸Dues CheckOff

The following members made voluntary

contributions to Metro PAC

when paying their annual dues.

Antonakos Painting, LLC

6.

(201) 891-3010 (201) 891-7901-fax

Established 1961

2006

Metro NAHB Education Courses

September 9 Business Management for Building Professionals

September 10 Design/Build

September 16 Estimating

October 14 Financial Management

October 15 Project Management

October 29-30 Green Building for Building Professionals

Call Sharon at the Metro Office for more information and to register.

Metro Member Benefit of the Month

7.

8.

It is my firm belief that operating a successful company begins withhaving a solid foundation upon which to set your business plan. Whenasked “What do you think is going to happen?”, a wrong answer wouldbe “we’ll see”. You MUST have an idea where you think the economyis going and then write and execute a plan to intersect with successbased upon your view.

A number of Metro builders have recently relocated to Colorado,Florida, the Carolinas or elsewhere. Clearly their view in that NJ is notthe opportune market for investment of their time and treasure.

There are several solid ways to create and hone your own view of theeconomy and market but all are founded on the collection of real time,accurate information. There are two types of information – anecdotaland historical. Upon these you can base your idea of where things are

going. I think you need both. Historical data can show you trend linesand cycles. Anecdotal information can illuminate the obvious. Onemember tracks the parking lot vacancy at the NY train station in PassaicCounty. Over time this occupancy and wait time for spots has variedwidely and some trends can be inferred.

On July 7th Metro hosted NAHB Chief Economist, David Crowe, toprepare his facts and interpretation so we as members can plug inNAHB data collection muscle into our thinking. He is a regular onmass media and we had him as a captive presenter for a morning brief-ing on the state of our local economy. He was captivating.

It StartsWith a View!

David’s full PowerPoint is availableon the home page of the Metro website

www.metrobca.org.

Once your view is defensible you canthen write the plan for the business threadyou choose to pursue. Thereafter, you areon to execution, monitoring, and eventu-ally to an exit. This sounds simple enoughbut few follow these steps and fewer yetcan express a view of the industry found-ed on facts or sufficient anecdotal information to be relevant.

A benefit of membership is the firepower of our collective invest-ment in the likes of David Crowe. He did a terrific job presenting andfielding member questions. Were you aware our local association terri-tory has the 6th highest median income in the nation at $104,000? Orthat only 8% of the homes in our counties were built since 2000 plac-ing us at a lousy #648 in a federation of about 700 local associations.

(“It Starts With a View!” continues on page 19)

Presented by Bill Asdal, Asdal Development, LLC

9.

Metro NotesCondolences to......

Make Note......

The family of Carl “Jerry” Dressel, 82, of Pompton Plains,

formerly of East Hanover and Livingston. Jerry was a former

member of the Association and passed away peacefully on

Monday, July 21st.

Please change your records to reflect the change of emailaddresses for Metro Staff members:

KT Catlin, EO KTCatlin@metrobca.orgSharon Barkauskas sharonb@metrobca.orgAileen Flanagan aileenf@metrobca.org

Mountain View Development & Contracting 27

Hofmann Design Build, Inc. 27

Wells Fargo Home Mortgage – Ron Sozio 18

Rachel Manor Properties, LLC 15

Mobility Elevator & Lift 13

Provident Bank - Kurt Steinhilb 11

Allied Building Products/Arzee Supply 10

M. Gordon Construction Co. 5

Absolute Painting, Inc. 4

GE Appliances 4

Budd Larner, PC 4

Audio Café 3

SESI Consulting Engineers 3

Nisivoccia, LLP 3

BuildTec Construction, Inc. 2

In-House Public Relations, LLC 2

Artisan Builders Guild Corp. 2

Unity Bank – Elizabeth Horvath 1

Equity Environmental Engineering, LLC 1

Rutan Mechanical, LLC 1

MetroMember Anniversaries

September 2014Company Years

Did you know that you can leverage your skills and knowledgeby getting an NAHB Professional Designation? Metro providesthe opportunity for you to separate yourself from your competi-tion and boost your bottom line! A recent NAHB survey showedthat those builders and remodelers who hold professional desig-nations earned significantly more than their counterparts in theindustry.

Special Offer – Now is the time to take advantage of a specialoffer which will save you money. From September 1st throughthe end of the year, you can take the BAR and/or PREP assess-ments at the discounted rate of $95 versus $175. The assess-ments are taken to determine the courses required to fulfill therequirements for the CGB –Certified Graduate Builder or CGR –Certified Graduate Remodeler designations. You can take the 3-hour assessment at the Metro office in Morris Plains or on-line atwww.nahb.org.

If you hold an active NAHB Professional Designation, yourname and company appears on the NAHBProfessional Directory where prospectiveclients can find you!

Contact Sharon at the Metro office formore information – 973-887-2888, ext 302

The CGA – Certified Graduate Associate is a professional desig-nation offered by NAHB for its members who support the build-ing industry through product manufacturing, supply, distributionand services. This is your opportunity to learn about the homebuilding business which will affirm your level of industry knowl-edge and your commitment to professionalism in the buildingindustry. Attaining this designation will set you apart from yourcompetition in the industry and tell your prospective clients thatyou really do know what you are talking about with them.

Metro offers the courses you need to fulfill the designationrequirements. This includes 2 required courses – BusinessManagement for Building Professionals and Basics of Building.In addition, 2 elective courses are required and can be selectedfrom a list of about 20 approved courses. After completion of therequirements, a graduation application form is sent to NAHBwith an application fee. Once the application is processed, youwill receive your official CGA Designation certificate. Don’t for-get to add those initials after your name on your business card,etc.

Ask Sharon at the Metro Office for moredetails and to get the fall course schedule andregistration form.

The More you Learn…..

the More you Earn!!!

Builders & RemodelersDid you know??

Associate Members

10.

HOURS: MON - FRI 7:00AM TO 5PM - SAT 7:00AM TO 12PM

AssociatesAngle

By K.T. Catlin, Metro Executive Officer

WHEREAS, a sense of caring and desire to strengthen the industry

have motivated thousands of Associate members to volunteer their

time and services to the needs of Metropolitan Builders &

Contractors Association of NJ; and

WHEREAS, our Associate members possess many skills and talents

which they generously and enthusiastically apply to a

variety of association tasks; and

WHEREAS, all members of this association and the community benefit

from the deeds of these selfless and dedicated individuals; and

WHEREAS, the achievements of Associate members have become an

essential part of the association’s proud history, tradition, and spirit;

NOW, THEREFORE, I wish to honor the Associate members of

Metro who give so freely of their valuable time, energy, and abilities by

proclaiming the month of September 2014 to be officially designated as

Associate Member Appreciation Month.

I call upon all members to recognize this special period by

appreciating and extolling the goodness of the Associate members

and by following their shining example.

Dominick ParaganoPresident, Metropolitan Builders & Contractors Association of NJ

Metro Proclamation

There is something refreshing that comes with the change ofseasons. Fall with its crisp air, vibrant colors and abundance ofactivities generates excitement. There is a new energy and opti-mism is present. While we know everything is not as we wouldlike, we are seeing movement in our economy, business and atMetro!

Our 4th Quarter is filled with exciting opportunities to Network,Advertise and Play Golf! September is National AssociateAppreciation Month. We are celebrating our own Associates onSeptember 18th with a return to Pub 199 for a Lobster Fest!Builders, this is a perfect opportunity to say “thank you” by spon-soring this event that is in honor of our associate members! If youhave not yet registered for this event be sure to do so beforeSeptember 8th. Any Associate registering prior to September 8thwill receive a permanent name tag with the Metro logo, their nameand company’s name, as our “thank you” for all you do for theassociation.

Our association has a new look, new website, new Facebookpage and more. All of this is made possible through the generousgiving of time and money by our members, especially our associ-ate members. Now is the time, as your companies begin to put their2015 budgets together, to ask for dollars to be allocated to spon-sorships and advertising inside the association. What better use ofmarketing dollars than having them targeted to your clients andpotential clients!

Metro’s PR Committee is hard at work to leverage our onlinepresence such that the Consumer sees us as a resource for all theirindustry related needs. Our “Do Drop In” campaign is up and run-ning. Remember, as an Associate, the more the staff knows aboutyou and your business, the more help we can give you to maximizeyour membership. Stop by the office, visit and drop your card for achance to win a free General Membership dinner meeting!

Everything we do at Metro is geared at supporting our membersin what’s important to them and their business. We can’t do it with-out you! Right now our Nominating Committee is hard at workindentifying members as potential Board of Directors and Officers.There is no better way to up your level of knowledge and perfor-mance and get known by Builders and Associate members, than tobe a part of the leadership team. If you think you might be inter-ested, or want more information, contact KT at the Metro officeright away!

Last but not least, remember “what you get from life is in directproportion to what you give”. If you want to get maximum bene-fit from your membership, you need to be engaged. That meansattending meetings and events, being on committees and express-ing your ideas. Take the first steps, register for the Lobster Fest onSeptember 18th and commit to sponsor an upcoming event today!

September is National Associate Appreciation Month

1st Constitution BankAaron & Company

Absolute Painting, Inc.AJH Construction

Allied Building Products Corp/ArzeeSupply

Alps Technologies, Inc.American Drywall

Annie-Mac Home MortgageAnthony & Company, Inc.Antonakos Painting, LLC

Appel Design Group, P.A. ArchitectsArcher & Greiner, PCArlington Construction

Art Bernard and Associates, LLCAudio Cafe

Bank of AmericaBecker & Poliakoff, LLPBHB Insurance Services

Blue Diamond Disposal, Inc.Blue Ridge Lumber Company

Bol ArchitectureBrach Eichler, LLC

Brown & Brown Metro, Inc.Budd Built-In Vacuum Cleaners

Budd Larner, P.C.Builder Marketing Services Co, Inc

Builders Insulation & DrywallBuildtec Construction, Inc.

Cabinets Direct, USACaliber Home Loans

California ClosetsCastle Windows

Cathedral Consulting Group, LLCCentury 21 Worden & GreenColdwell Banker New Homes

Coldwell Banker Residential BrokerageColumbia Bank

Concrete Systems IncConnell Foley LLP

Construction Agency ProfessionalsContemporary Pools & Spas LLC

CPA ArchitectureCrestron Electronics

D & H Builders. LLCD & K Gypsum Floors, Inc.

Day Pitney LLPDesign Works, Inc.

Direct Flooring/Caddel Inc.Diversified Systems

Dykstra Walker Design GroupEastern Concrete Materials, Inc.

Eastern Contractor ServicesEastern Propane Corp.

Ecol Sciences, Inc.

Equity Environmental Engineering, LLCExcelsior Lumber Co., Inc.Ferguson Enterprises, Inc.Ferriero Engineering, Inc.Finestein & Malloy, LLC

Fox Architectural Design, PCFox Lumber & Building MaterialsFrench & Parrello Associates, PA

Fulton Bank of New JerseyG.P. Systems, Inc.

GE AppliancesGearhart Chevrolet

General Motors CorporationGeneral Plumbing Supply

Geo-Technology Associates, Inc.Gladstone Design, Inc.

Gloria Nilson & Co Real EstateGreenbaum, Rowe, Smith & Davis LLP

Greenman-Pedersen, Inc.GroundsCare Landscape

H.J. Opdyke Lumber Co., Inc.Henry Ruepp Marble Stone Contractors

Hudson Interior Supply LLCHuston Lumber & Supply Co.

Imperial Painting & Coatings LLCIN Marketing Group, Inc.

Inglesino, Pearlman, Wyciskala & Taylor In-House Public Relations, LLCInnovative Closet Designs, Inc.

Integra Management CorpJ. Costantin Architecture, LLC

J. Medina Engineering LLCJaeger Lumber & Supply Co., Inc.

James J. Mantz, PE & LSJim O'Brien Architects, LLC

Johnny On The Spot, Inc.Karl's Appliance

Kenneth J. Stoyack AIA, PPKohler Co.

Kuiken Brothers Company, Inc.Lakeland Bank

Lakeland MortgageLC Realty

LEW CorporationLipoczky Brothers, Inc.Lita Dirks & CompanyMaGrann Associates

Maraziti, Falcon & Healey, LLPMarket Place Designs

McKirdy & Riskin, P.A.Meloro Painting

Minno & Wasko Architects and PlannersMobility Elevator & Lift

Morris Brick & Stone CompanyMr. John/Russell Reid

Nisivoccia LLPNJ Advance Media

NJ Propane Gas AssociationNorris McLaughlin & Marcus, P.A.

North Pole Insulation Corp., Inc.Omland Engineering Associates, Inc.

Pancis Gems, Inc.PC Richard Builder Division

Pella Windows & DoorsPorzio, Bromberg & Newman, PCPrestige Wood, Tile & Stone, Inc.

Princeton Design & Installation, LLCProActive Healthcare CommunicationsProfessional Fireplace Services, LLC

Professional Stone & Stucco ApplicatorsProvident Bank

Quality Electric & Data, Inc.R.S. Phillips Steel LLC

Reno's AppliancesResidential Warranty Corp.

Riverside Abstract National Title AgencyRKC Construction Corporation

Roberts Electric & Property Services, LLCRODE Advertising

Royal Building ProductsRoyal Cabinet Company, Inc.

Rutan Mechanical LLCSales/Man Business Solutions

SaxBST, LLPSeifer Kitchen Design CenterSESI Consulting EngineersSmolin, Lupin & Co. P.A.

Smyth ElectricStaten Island AdvanceStires Associates, PA

Stonewyck Enterprises, Inc.Sun Home Loans

Tag OnLineThe Kitchen Shop Inc.

Tile By Design Group, Inc.Tri-State Insurance Agency

U.S. Kitchens and Baths/Union Stove Works

UFP Berlin LLCUnity Bank

Van Natta Mechanical Corp.Virtue Tile

VP Masonry LLCWeichert New Homes

Weichert RealtorsWeinberg Electrical Contractors, Inc.

Wells Fargo Home MortgageWelsh, Chester, Galiney, Matone, Inc.

White House Designs for LifeXaccel Networks

DO BUSINESSWITH A

ASSOCIATE MEMBERS

MEMBER

September is National Associate Appreciation MonthMetro is very proud to recognize our Associate Members

THANK YOU for all you do for OUR Association!

11.

12.

Associate Spotlights

13.

So, you’ve “worked the room” at a business function or specific net-working event. You’ve met a bunch of new people, delivered yourtwo-minute Elevator Pitch, and collected a pile of business cards.Now what?

The next thing that I do is to write on the back of each business card:the event and sponsor, the date, the venue, and anything memorableabout that person. Then it is time for follow-up: the One-On-OneMeeting. Don’t necessarily limit your One-On-One to persons youthink may directly benefit your business or directly refer you busi-ness. Networking is not selling. You’ll be surprised at who knows whoin this life.

A good networker knows that he will benefit from a One-On Onemeeting by learning about other businesses and allowing others tolearn about yours. It helps to build relationships and you can gaininsight and perspective on business from the experience of others.

But before you set out for your One-on-One, do some homework:

Research: Visit your contact’s website. Check his LinkedIn profileand contacts to see if you have anything or anyone in common. Get asmuch easily-accessible information about the person you are meeting.It will make conversation easier.

Schedule a Specific Time, Duration, and Place to Meet: I like toschedule 45 min. for an initial meeting. If the meeting is interesting,you can take more time. If not, the expectation is you only have 45min. before you have to leave for another appointment. If I am mak-ing the appointment, I will try to make it convenient for the other per-son. I find going to his/her office early in the morning is the most con-venient for them, and since you are the visitor, it is easy to control thetime. (Although I do enjoy a good Diner breakfast meeting as well.)

Ask About Their Business First: Take the initiative to find out aboutthe other person and his business first. This will make him feel goodand will give you invaluable information to help you tailor what youwill say about your business.

Don’t Limit the Conversation to Business: Find non-business inter-ests you may have in common. Do you have hobbies or pastimes incommon? Ask about family. Did your kids both play soccer? Find outwhere he/she grew up.

Establish How You Can Help the Other Person: Ask what type of con-tact is most helpful to the other person. What general professions orspecific businesses would they like to meet? You may know people inthose professions and both may benefit from an introduction. If so, itis easy to do a simple email introduction with one of your contacts andleave it up to both parties to follow-up on their own. The exceptionmight be if you know “the exact person you should meet”. You maywant to personally introduce them in that case.

Send a Thank-You Note: A simple hand-written 2 or 3 line note sentvia US Mail is always well-received. Send an email acknowledge-ment at the very least.

Take Action: Be sure to follow-up on any introductions or otheraction that you may have agreed to in the meeting.

Have Fun: The more you do these One-On-One meetings, the easierit is and trust me, you will meet more interesting people than not.

ONE-ON-ONE NETWORKINGBy Roger Hendrickson, SESI Consulting Engineers and

Metro Membership Committee member

14.

Top 10 Reasons to doBusiness with Associate

Members1. They support NAHB at the local, state and national levels.

2. They volunteer time, talent and treasure to help theAssociation accomplish its goals.

3. They recruit their colleagues and businesscontacts to become members.

4. They serve on committees and councils gain-ing valuable networking opportunity whilehelping to advance the Association’s mission.

5. By doing so, you increase the value proposi-tion for membership in your Association.

6. They are strong supporters of local and statePAC’s & Build-PAC.

7. They are a major source of non-dues revenuethrough sponsorships, advertising, etc.

8. As industry partners, they are a valuableresource for business and management tips.

9. They are heavily invested in your business success:You Win – They Win!

10. Why wouldn’t YOU do business with a member????

10 Ways to Maximize Your Associate Membership

1. Be active in the Association to gain visibility.2. Get involved with those issues that either strengthen or

threaten the industry.3. Don’t forget that Associate members may buy as much of

your product or service as builders.4. Always preach “Do Business with a Member”

even if there is a competitor (on this job).This will enhance your credibility.

5. Industry and Association business comesFIRST.

6. Use the Association function to meet,network, and market; NOT sell! People willinteract with you more freely, and you cansell later in a more controlled environment.

7. If you are not having fun with it, don’t do it.Find someone else in your firm.

8. Know how much you can contribute in timeor other resources, and don’t exceed that.Many Associates burn out.

9. Never introduce yourself without giving yourcompany name. Never let anyone else introduce you with-out doing the same.

10. You are in this for the long haul. A minimum of a three-yeartrack record of accomplishments is required to attract theattention and credibility you are looking for.

15.

Quarter NotesBy Guliet D. HirschArcher & Greiner, P.C.

COAH Ramps Up The Controversy

Municipal fair share under the proposed rules includes three components:

1. “Rehabilitation Share” (dilapidated housing, previously known as indigenous need or present need);

2. The “Unanswered Prior Obligation” (need for the period of 1987 through 2014); and

3. “Fair Share of Prospective Need” (previously known as prospective need or growth share), for the period 2014 through 2024.

Statewide fair share has been drastically reduced from previous calculations:

The saga continues! On July 2, 2014, the Council on Affordable Housing (COAH) responded to a New Jersey Supreme Court Order byproposing new substantive and procedural rules. COAH has not had valid rules since 1999 – creating uncertainty and providing towns withan excuse not to zone for affordable housing. The new rules were immediately criticized by housing advocates, towns and environmentalgroups, and have generated three court filings by the Fair Share Housing Center.

Here are some of the concerns raised to date:

• Questionable Credits and Reductions. For example, statewide andmunicipal fair share obligations are reduced by over 60,000 units for“filtering,” the process by which higher-priced housing may becomemore affordable over time. According to COAH, filtering occursonly when there is an active housing market with a significant influxof new housing, factors clearly not applicable since the 2006 hous-ing market decline. Additionally, Statewide fair share would be fur-ther reduced by 30,000 units due to “buildable limits” as calculatedby COAH.

• The Black Box Methodology. The methodology utilized has beendescribed as opaque and full of black boxes, i.e., experts cannotrepeat the calculations or understand the methodology. Additionally,documents explaining the fair share calculations have disappeared.

• Non-Compliance with the Court’s Order. COAH has failed to fol-low the New Jersey Supreme Court’s direction to utilize the fairshare approach in place before the prior growth share rules wereadopted.

• Approach to Inclusionary Development. Inclusionary housing hasbeen re-defined to include a 10% low- and moderate-income set-aside, down from the 20% standard set-aside in place since the 1983“Mount Laurel II” decision. No minimum density is set and “eco-nomic feasibility” must be demonstrated.

• Delayed Zoning for Pre-1999 Housing Need. Allowing towns toaddress only 50% of their prior round obligations until all of futurefair share has been constructed. Given the fact that the prior roundobligation has existed before1999, this provision is widely viewed asan unjustified delay.

• Rental and Age-Restricted Housing. Rental housing is no longerrequired and bonuses are not provided. The 25% cap on age-restrict-ed housing can be exceeded with proof of a regional demand.

• Prior Options Eliminated. Redevelopment, rehabilitation, accesso-ry apartments, etc. have been eliminated except for towns whichreceive vacant land adjustments.

Public comments were due by August 1, 2014. The rules must beadopted no later than November 17, 2014.

16.

General contractors dealing with multiple subcontractors at onceknow the headaches that can come with coordinating these rela-tionships and their work. Logistics aside, subcontractors can havea direct impact on your company in terms of performance, as wellas your financial exposure. GCs that put up a surety bond to theowner’s project assume a huge risk on many levels.

As principals in the bond relationship, GCs assume directresponsibility for every action, product, delivery, and all workquality that each subcontractor performs. This includes full risk forthe performance of each sub’s employees and vendors, as well asall payments to them, from invoices for materials to payroll.

This is not to be taken lightly. In fact, the general contractor’sresponsibility is far greater than many realize (or want to thinkabout). The factors surrounding this risk can derail a contractor’scompany and it must be managed—and mitigated. To do otherwiseis to put your company’s future at stake.

Some key areas to be aware of in risk management are:

Agreement risks. A lack of strong subcontractor agreementsexposes the GC unnecessarily. It’s important to execute a contractthat protects your company’s interests, does not contain any termsthat you did not approve, and transfers risk to the sub.

Insurance risks. It’s inevitable that employee injuries will occurand some can be severe. Unfortunately, many GCs find out too late

that their trades have not bought adequate insurance, have lapsedpolicies, or never had insurance at all.

Labor Law risks. Each state has different laws designed to pro-tect workers—and some do not protect the GC. It is very importantto know the laws of the jurisdictions you work in.

Wage risks. When the GC assumes risk for the whole project, thisincludes all payroll and payroll taxes—not only for his ownemployees but for all the employees hired by all subs.

With so much on the line, GCs must conduct the same level of pre-qualification of all subs that the bonding company performs onthem—and understand the risk each sub brings to the job, yourcompany’s reputation and its financial future.

There are many ways to manage these risks and potentially calami-tous situations, and a great place to start is with an experiencedagent that understands the risks GCs face. At Construction AgencyProfessionals, we focus solely on mitigating contractor risk andwould be happy to assess your needs to be sure you are protected.

Construction Agency Professionals is a full-service insurance and surety bond

agency providing tailored insurance solutions and flexible bond programs to

construction contractors working in public, private, and federal sectors.

Michael CulnenPresident/CEO, Construction

Agency Professionals

The Importance of Mitigating and

Transferring Subcontractor Risk

17.

Gold Hammer Sponsor

2015 Annual2015 AnnualMembership DirectoryMembership Directory

for returning Data Information Updates

and Advertising Requests

Special offer –

Sign up forAdvertising

by October 1st and get a free

business card adin a future issue

of OnSite.

Deadline October 17th

DDoonn'' tt MMiissss OOuutt !!

18.

Recruiting.....Is it a worthwhile

investment? …..YES!!!

What’s in it for you? Opportunity for you to….

• Increase visibility and business contacts amongmembers and the community

• Network with potential business contacts anddevelop long-term professional relationships

• Strengthen interpersonal skills

• Gain recognition through NAHB’s Spike Club

• Ensure ongoing eligibility and access to speciallyplanned Spike events at local, state and nationallevels

• HAVE FUN!!!

Recruiter Tips

Help your Association succeed….share these proven

tips with new Recruiters!

• Introduction – establish rapport. Get to know themand what they do

• Focus on Prospect’s needs – determine their “hot”button. Tell them about Association services thatmeet their needs.

• Highlight other Association Benefits and Services:- Share other worthwhile member services- Share state and NAHB member services- Give personal testimonial

• Invite to Join- Ask – would you like to join?- Respond to objections- Repeat invitation

• Close Conversation- Leave application and Association literature- Set date to return- Welcome new member and invite to the next

meeting

Helpful tips and techniques to

help you do your part to “GROW”

our Metro membership!

19.

(“It Starts With a View!” continued from page 8)

We have had some inkling of this but the facts strengthen our viewof what’s going on around our area.

Real income has actually dropped in the past 7 years in every agegroup except those 65 and older. This is sobering and a chilling fac-tor in the decline of young first time home buyers. If you knew, orcould project, a view that the aging crowd was the only ones withfresh money I would think this should have a dramatic effect withinyour business plan. Metro will continue to bring facts and freshinsights to your door. Do seek out real data and be on the lookout foranecdotal evidence that will continue to hone your view.Networking at Metro events is a great place to test your thinking.

Stay tuned for more NAHB services that will help you craft a bet-ter business. The next NAHB Construction Forecast Webinar willbe held on October 22, 2014 from 2-4pm. To participate, register onthe NAHB Website – www.nahb.org under the Housing Data tab.

20.

Single- Two 3-or-4 5-or-MoreTotal Total Family Family Family Family

County Value Units Units Units Units Units

Essex County $33,958,221 426 30 8 12 376

Hunterdon County $4,235,831 24 13 0 0 11

Morris County $22,328,899 167 65 0 0 102

Somerset County $9,794,692 95 36 0 0 59

Union County $9,159,201 110 34 8 0 68

Warren County $2,721,983 24 18 0 0 6

Metro Counties $82,198,827 846 196 16 12 622

NJ - All Counties $342,713,300 2,263 917 58 33 1,255

Source: u.S. bureau of the Census, manufacturing and Construction division.prepared by: new Jersey department of labor and Workforce development, July 2014.

to See data for all Counties and municipalities go to: http://lwd.dol.state.nj.us

New Residential Privately Owned Housing Units

Authorized To Be Built – June 2014 – Metro Counties Only

21.

22.

Advertising in “OnSite”

Makes the Difference!ONSiTE AdVERTiSiNG RATES

(Effective January 1, 2013)

all advertising must be camera ready and paid in advance.

Full page for one year (10 issues) ......................$2,800.00

Half Page for one year..........................................$1,750.00

Quarter Page for one year....................................$1,100.00

Business Card for one year ....................................$650.00

(1 month) (3 months)full page (8 x 10 in.) $350.00 $925.00

Half page (7.5 x 5 in.) $250.00 $575.00

Quarter page (3.5 x 5 in.) $175.00 $400.00

business Card (3.5 x 2.5 in.) $100.00 $250.00

Color Covers - Monthly Submissions

inside front $600 per month

inside back $600 per month

outside back $600 per month

Copy deadline1st of month preceeding publication month(Electronic pdf or jpg document preferred, min. 300 dpi resolution)

Send To: sharonb@metrobca.orgMetropolitan Builders & Contractors Association of NJ39 East Hanover Avenue, Suite C2, Morris Plains, NJ 07950

WE PROUDLY SUPPORT THE

METROPOliTAN BUildERS &

CONTRACTORS ASSOCiATiON

OF NEW JERSEY

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