A SMART DEAL FOR DENVER Urges Voters to

NEWS & VIEWS
I S S U ES A FFEC T IN G PL UM BE RS, PIPE F ITTE RS & HVAC&R PROFESSI ONALS
of COLORADO
P R O UDLY A F F I L I AT E D W I T H CAMPC
FALL 2015
A SMART DEAL FOR DENVER Urges Voters
to Invest in the Region’s Future –
With No New Taxes
On August 5, 2015, nearly 200 neighbors, business representatives
and labor leaders filled the Stadium Arena at the National Western
complex to launch A Smart Deal for Denver, a campaign mobilizing
Denver voters to support Measure 2C to invest in the region’s future –
with no new taxes.
Denver Mayor Michael Hancock
and House Majority Leader
Crisanta Duran rallied supporters
at the historic arena to layout
the vision that will connect
Colorado’s proud agriculture
heritage to a future of innovation,
new business development, and
stable economic growth.
A Smart Deal for Denver seeks
voter approval to create the
National Western Center (NWC), a year-round space for education, recreation and
entertainment that will be the permanent home for the National Western Stock Show
held each January. The ballot measure will also upgrade technology and expand
meeting spaces at the Colorado Convention Center to meet growing demand and
increased competition in the convention industry. Denver voters will be asked to
maintain an existing 1.75 percent tax on hotel rooms and car rentals that is set to expire
in the coming years, in order to make enduring investments in these two cornerstones
of regional tourism.
The National Western Stock Show,
commonly referred to as the “Super
Bowl of stock shows,” attracts
farmers and ranchers from around
the world each January to learn about
advancements in agricultural and
livestock management. The National
Western Center (NWC) will be a complex
of multi-use venues, which will host
entertainment and educational events
throughout the year.
Stadium Arena
Continued on page 2
Kim Gill
Executive Director
Plumbing-Heating-Cooling
Contractors Association
IN THIS ISSUE:
Legislative Update
Page 3
Legal Update
Major Expansion of Overtime Pay
Requirements Proposed
Page 4
PHCC National Update Message from New PHCC
National Association EVP
Page 6
Risk Management Corner Page 7
PHCC Colorado Member/ Industry Night & Oktoberfest
Page 8
Welcome New Members
Page 8
Events & Education
Page 9
School Partners Page 10
When Technicians Talk
Too Much
Page 11
Steve Coughran:
Statement of Cash Flows
Page 12
Industry Partners
Page 13
PHCC Membership Application
Page 15
A Smart Deal for Denver ... Continued from cover.
The new venues at the NWC will include an Equestrian Center to attract national
horse shows and competitions, a Livestock Event Center, an outdoor concert
and festival pavilion, and an indoor farmers’ market featuring Colorado-grown
products. Construction of the NWC will create 3,920 direct construction jobs and
2,350 associated jobs in retail, restaurants, and transportation.
Livestock Center
Colorado State University (CSU), Denver Museum of Nature & Science and
History Colorado will expand facilities and programming at the NWC, creating a
world-class hub for agriculture research, veterinary medicine and education.
The NWC is positioned to become the center for agribusiness in the Rocky
Mountain West. At full build out of the 270-acre NWC, there will be an estimated
6,000 direct jobs and 10,000 indirect jobs supporting advance food production,
food safety, animal health, nutrition, and related agricultural industries.
The new National Western Center will bring more than 100 new events to
Denver and will attract one million new visitors each year. Over the next
30 years, NWC will generate $5.9 billion in new net spending and $315 million
in new net sales tax revenue – which keeps taxes lower.
Outdoor Concert Pavilion
The ballot measure will also invest in the Colorado Convention Center, a major
driver in regional tourism, to maintain Colorado’s position as a top destination
for meetings and events. Enhancements to the convention center include
showcasing the Rocky Mountains to give tourists a memorable experience that
instills that they are in the great State of Colorado. Upgrades to the Colorado
Convention Center will bring an additional $80 million in annual economic
impact to the region.
“In 2014, the Colorado Convention Center lost 236 major events because we
did not have adequate or available space,” said Cindy Parsons, chairwoman of
VISIT DENVER, Denver’s convention and tourism bureau. “Without raising taxes,
this ballot measure will allow us to say yes to more convention organizers and
meeting planners who want to host events in Colorado. And by capturing greater
market share we’ll generate more tourism revenue to support local businesses
and invest in our region.”
Expo Hall
The Plumbing-Heating-Cooling Contractors of Colorado is proud to support
A Smart Deal for Denver, Measure 2C, which will connect Denver’s Western
heritage to a prosperous future – without raising taxes. We are asking Denver
voters to vote YES for A Smart Deal for Denver in November!
Kim
2
© 2015 PHCC
News & Views • Fall 2015
LEGISLATIVE UPDATE
Pinnacol Assurance Seeks Feedback on Proposed Legislative Changes
By Pete Kirchhof
Pinnacol CEO Phil Kalin and VP of
Communications and Public Affairs
Edie Sonn approached business
lobbyists and their clients about
possible changes to the workers
compensation statutes that would
give them more flexibility to meet
customer and market opportunities.
They are NOT proposing privatization
or any other proposals that would
Pete Kirchhof
Kirchhof Group, Inc.
impact rates outside of the normal
rate setting process. Rates are
likely to stay flat or have a small reduction in the next year.
Agent and policyholder customer satisfaction results remain
very strong. Pinnacol also is internally re-focusing their teams to
align with specific industries (i.e., oil/gas, construction etc.) to
insure they are well-versed with those industries needs.
They are proposing statutes be revised to give them some
flexibility to serve existing customers with out of state
employees, sell workman’s comp in some other states and
partner with other providers through a separate for-profit
sister company. The separate entity would be funded through a
minority investment by Pinnacol and a majority investment by
other partners. It would not impact workers comp reserves and
would not impact their main mission of provider of last resort
for the Colorado’s workers compensation program. They are
currently prohibited from providing workers comp to Colorado
based businesses with employees out of state and from forming
partnerships with other providers that would allow for a full
service approach to their policyholders. A final decision has not
yet been made on if or when they will move forward. They plan
to continue discussing these ideas with their agents,
policyholders, labor, business leaders and legislators.
Department of Revenue Proposes Revisions to
Contractor Regulations
Periodically, the Department of Revenue (DOR) Division of
Taxation holds workshops to discuss with taxpayers potential
changes in the Sales and Use Tax Procedure and Administrative
Regulations. A workshop was held on June 25, where among
other things, DOR proposed a review and possible changes to
regulations regarding contracting including Contractor Exemption
Certificates and Real Property Contractors. They suggested
combining these rules into one rule that would treat contractors
similarly to contractors in other states. Proposed changes
would include:
• Revised definitions for how real property and tangible
personal property is taxed as it relates to contractors. • Examples of property DOR believes should be taxed
differently: made-to-order items such as cabinets and
pre-made countertops, as well as, appliances that are
installed by a contractor. PHCC is participating in stakeholder meetings and providing
input and formal comments.
CDLE Update on Independent Contractor Classifications
The Unemployment Insurance (UI) Stakeholders met in July with
the CDLE Executive Director Ellen Golombeck and her senior
team to get an update on several issues including education and
outreach efforts to employers about the proper classification
of independent contractors and status of the UI auditing pilot
program. While these efforts have been well received and
provide some guidance to employers, some stakeholders remain
concerned about the broad statutory authority the department
has with regard to these issues. There was also an update on
the proposed new UI IT system which is funded by a federal
grant and would update antiquated systems in Colorado and
Wyoming. There is some concern with the current vendor and
the states have issued a letter to the vendor requiring them
to address those concerns within a certain timeframe. More
detail will be provided at the next legislative Joint Technology
Committee meeting this Fall.
2016 Elections
As soon as the 2015 legislative session ended, 2016 candidate
campaign contribution calls started. Thank goodness for
caller-id so you can screen your calls. This is the uncomfortable
side of politics but is critical to electing pro-business, pro
construction legislators that can help us address issues
like construction defects, capital construction allocations,
transportation funding, workforce development, initiative reform
Continued on page 9
News & Views • Fall 2015
© 2015 PHCC
3
LEGAL UPDATE
Major Expansion of Overtime Pay
Requirements Proposed
By Sue Schaecher
No doubt you have seen the headlines: the U S. Department of Labor (DOL) has
proposed changing the overtime pay regulations so that employers will have to pay
overtime to an estimated 4.6 million additional employees. These provisions are not
yet in effect: the DOL has invited interested persons to submit comments on or before
September 4 and will then issue final regulations. The proposed changes affect almost
every employer.
Sue Schaecher
Attorney
Fisher & Phillips, LLP
1801 California Street
Suite 2700
Denver, CO 80202
The DOL proposes increasing the number of employees earning overtime pay by
more than doubling the minimum salary requirement for certain exemptions to the
minimum wage and overtime requirements under the Fair Labor Standards Act (FLSA).
The proposed rule also provides for automatic annual updates of the salary level.
To understand how these changes may affect them, employers should start by
considering the amounts they pay to salaried employees.
The “white collar” exemptions from the minimum wage and overtime pay requirements
of the FLSA for administrative, executive, professional and computer employees
generally applies when a three-part test is met. First, the employee must be paid a
fixed salary that is not subject to reduction based on the quality or quantity of work.
Second, the employee’s primary duties must be managerial or supervisory or require
advanced knowledge, as described in the regulations. Third, under current regulations,
the employee must be paid at least $455 per week ($23,660 per year) to be exempt
from the overtime pay requirement. This salary level was set in 2004.
Computer systems analysts, computer programmers, software engineers, and similarly
skilled professional workers need not be paid overtime if they meet this salary test or if
they are paid on an hourly basis of at least $27.63 per hour.
Highly compensated employees – currently, those whose total annual compensation is
$100,000 or more – need not be paid overtime if they regularly perform one or more of
the exempt duties of an executive, administrative or professional employee.
This article is provided for general
information purposes only and does not
constitute legal or other professional
advice. Readers are advised to seek
specific legal advice from qualified labor
and employment counsel in relation to any
decision or course of action contemplated.
Under the proposal, the minimum salary requirement for administrative, executive,
professional and computer employees would increase to $921 per week ($47,892 per
year), exclusive of board, lodging or other facilities. This level equals the 40th percentile
of earnings for full-time salaried workers according to Bureau of Labor Standards 2013
data, which the DOL plans to update in the final rule. The DOL states that if two percent
growth between the first quarter of 2015 and the first quarter of 2016 is assumed, the
40th percentile weekly wage in the final rule would likely be $970 per week ($50,440
per year). By contrast, when the salary level was increased in 2004, it was raised to the
20th percentile of earnings. California and New York set overtime exemption thresholds
under their state laws at $37,440 and $34,125, respectively.
The salary level for exemption of highly compensated employees would increase to the
90th percentile of weekly earnings of full-time salaried workers, currently a total annual
compensation of $122,148 or more.
Continued on page 9
4
© 2015 PHCC News & Views • Fall 2015
Milwaukee Tool will pioneer the next industry-changing
technology with the introduction of ONE-KEY™, the first digital
platform for jobsite tools. By integrating industry-leading tool
electronics with a custom-built cloud based program, ONE-KEY™
will provide a new level of control and access to information
that will revolutionize the way work gets done. This will
fundamentally change the way users interact with their tools,
and help solve user problems and frustrations the industry has
never before been able to address.
“The first phase of ONE-KEY™ will deliver three core benefits
that will have an immediate impact on productivity: tool control,
inventory management and tool reporting,” says Christian
Coulis, Vice President of Product Management for Milwaukee
Tool. “The possibilities that ONE-KEY™ brings to the job-site are
endless, and these benefits are not the end result, but just the
beginning! The capabilities of the program will continue to grow
and evolve, and for the first time, we will be able to deliver more
and more features to our product even after it is purchased.”
Coming in September 2015, Inventory Management will be the
first component available through the web and mobile app,
creating a central place for users to manage all of their tools
and equipment across their network of jobs and operators.
This free-to-use platform allows companies to keep detailed
records of each tool, even non-Milwaukee brands, so they
can easily build a budget and manage their annual spend
on equipment. Managers are also able to assign locations or
specific owners to each asset, providing accountability, and
enabling easy information-sharing between the field and backoffice. As a cloud based solution, updates and edits will be
synchronized real-time throughout all levels of an organization.
In October 2015, Tool Reporting will be added to the ONE-KEY™
platform with the launch of M18™ FORCE LOGIC™ 6T Utility
Crimpers. With the ability to wirelessly synchronize with the web
News & Views • Fall 2015
based program, the user will be able to upload data and history
to create custom reports that track the success and timing of
electrical terminations. Furthermore, the ONE-KEY™ program will
assist in tracking the utilization and service intervals of the tool
to maximize uptime and keep inventory lean.
The corner stone of the ONE-KEY™ platform, Tool Control, will
be added in January 2016 with the introduction of new M18
FUEL™ Drilling and Driving products that will sync wirelessly
to the ONE-KEY™ application. The ONE-KEY™ app will allow
users to use pre-determined set-ups for specific fasteners and
materials, or completely customize their own profile with torque
and speed settings for the application at hand. With a touch of
the button on the tool, users will be able to easily go back and
forth between these saved profiles so that each application is
done with the most accurate and productive settings.
“If you think about the number of fasteners that require different
speeds and torques, or the amount of repetitive applications
that our users experience on a daily basis, there are hundreds
of different tool profiles and setups that can be implemented,”
says Coulis. “Tool Control will give users infinite customization
capabilities for various applications, allowing them to make
small tweaks that make a huge difference.”
Available for initial download in September 2015, ONE-KEY™
will be accessible by computer from our website at
www.milwaukeetool.com/ONE-KEY, or by a mobile app interface
on compatible Android and iOS smartphones. ONE-KEY™ is a
true testament to Milwaukee’s focus on the user and investment
in game changing technology.
Local Representative: Andrew Hawkins
Phone: 303-980-5761
Email: Andrew.hawkins@milwaukeetool.com
© 2015 PHCC
5
Message from New PHCC National Association
Executive Vice President
By Michael Copp, PHCC – National Association Executive Vice President
Dear PHCC Members,
I am honored to join you and this esteemed organization and build
upon the great success that you and PHCC predecessors have
achieved dating back to 1883. I am impressed with the tireless
efforts all parts of PHCC—national, state and local—undertake
each year to continuously increase the level of professionalism
within our industry and protect the health and safety of the nation
and the environment.
My first official day on the job at the PHCC headquarters in
Falls Church, Virginia, was Monday, October 5th. The week prior,
I was introduced to PHCC members during CONNECT 2015 in
Hollywood, Florida. During all of the meetings and activities, I
was struck by how passionate PHCC members are about what
they do and their contributions to the industry—and rightfully
so. I experienced this kind of culture during my years with the
National Association of Home Builders and the American Institute
of Architects, and I am glad to be back with such a dynamic and
dedicated group.
• Address our challenges and opportunities in a unified manner.
For example, the best way for us to tackle the workforce
development issue is for everyone—members, chapters and
industry partners—to work together to share and create
solutions.
• Recognize that many of the issues, concerns and industry
opportunities are “local.” Therefore, we must appropriately
position our local and state associations as “top of mind”
resources for advocacy, education, recognition and networking;
As I have told those I’ve met so far, I will be in “active” listening
mode over the next few months as I get to know more about the
culture of the organization and we begin setting the course for
the next five years. I look forward to meeting the PHCC members
across North America and learning more about what they are
experiencing in their everyday lives. In the meantime, I thought it
may be helpful to share some of my initial reactions based on
what I’ve seen work successfully in my diverse career.
• Cultivate sources of non-dues revenue that underwrites valuable
benefits this organization provides; and
• Support grassroots advocacy to defend the industry against
regulations and legislation that adds costs to doing business and
makes it more difficult for you to compete.
Having managed my own small business after my military service
and led most business units within for-profit and not-for-profit
organizations, I believe that sustainable team success is achieved
through constructive collaboration. I will leverage this sensibility to
facilitate strategic parity between all PHCC-related groups who
focus on enabling your business to thrive.
Our challenge is to continuously deliver value as defined by you—
value for which you renew you membership and tout as you help
recruit new members and hence, expand PHCC’s reach across our
industry. Driven by your constant feedback, we must:
• Nurture long standing relationships built upon trust and
cooperation that continuously preserve and protect our industry.
This must be done through a boots-on-the-ground strategy that
requires that we stand in front of someone, shake their hand,
and listen;
6
• Crowdsource “just-in-time” ideas
for education, advocacy, and content
development, and not simply rely
on ideas shared within feel-good
satisfaction surveys—which I think
Michael Copp
are passive measures of success.
PHCC National Association
Executive Vice President
You (and future members) define
best what you need to immediately
solve specific business challenges;
Ultimately, the PHCC Federation’s success is mutually dependent
upon the success achieved by each stakeholder within it. As
President Chip Greene’s theme for the year states, we are focused
on “Serving Our Customers.”
I deeply appreciate the support I have received from outgoing EVP
Gerry Kennedy, the national PHCC team and the warm wishes
offered by several state and local PHCC leaders. I look forward
to meeting all of you, too. In the meantime, if you have a thought
you’d like to share, email me at copp@naphcc.org.
Michael Copp
Executive Vice President, PHCC National
Phone: (703) 237-8100
copp@naphcc.org
© 2015 PHCC
News & Views • Fall 2015
ARE THERE HOLES IN YOUR UMBRELLA POLICY?
When was the last time you reviewed your umbrella limits? Four years ago? Five years? More? That’s probably
four or five years too many. Why? Can you name anything that costs less than it did five years ago? Probably
not. That goes for legal costs and settlements too—they continue to increase exponentially.
Accidents happen. How they happen and the outcome typically defines the extent of the damages. For
example, picture a slip and fall incident at your business, then imagine the claim difference between “just” a
broken arm and a claim that involves a head injury resulting in traumatic brain damage. Or, what might be the
consequences if your employee driver was in a head-on collision with a single-occupant vehicle versus one
carrying a family of four?
It’s easy to grasp the difference in claim costs when comparing a serious accident to a less severe one. If you
haven’t reviewed your umbrella limit recently, how confident are you it’s enough to cover claims? Are you
ready to pay for what it can’t? Insurance is intended to help protect you after catastrophic events, but it can do
so only if you have purchased adequate limits.
If it’s time for a policy review, don’t wait. Your provider should look at your umbrella limits; examine your
exposures (large auto fleet, potentially hazardous product, etc.); and help you determine the business and
personal assets you could lose, social responsibility, requirements of vendors or others you do business with,
and any unique situations that should be taken into account when determining your policy limit.
If you don’t have an umbrella, adding one now may be more important than ever. Ask your provider to explain
the advantages and help you determine the limits you may need to protect the business you’ve worked so
hard to build.
As your association’s recommended insurance carrier, Federated Insurance is also ready to help you make sure
your umbrella policy provides adequate coverage.
News & Views • Fall 2015
© 2015 PHCC
7
PHCC Colorado Member/Industry Night & Oktoberfest
On Tuesday, September 15, nearly 100 industry supporters, contractors, PHCC members and trade school representatives
gathered to enjoy brats and beer, network and discuss how we will attract, retain and train our future workforce.
A panel of speakers, led by moderator Steve Coughran, president, Coltivar Consulting, included: Reanna Werner, talent manager,
Heating & Plumbing Engineers; Kevin Tindall, president, PHCC National and owner, Tindall & Ranson Plumbing & Heating; Sarah Heath,
assistant provost CTE, Colorado Community College System; Emily Templin Lesh, assistant director Policy & Industry, Colorado
Workforce Development Council.
THANK YOU SPONSORS:
PREMIER
EVENT
AGC Colorado
CAD-1
Cherry Creek Insurance Group
Honeywell
FOOD
Milwaukee Tool
Xcel Energy
Chris Porter, CAD-1, and Kathryn Wirkus, Constituent Services
Representative, Congressman Perlmutter’s office, ask questions about
veteran opportunities.
Johnson Auto Plaza
NIBCO
Attendees enjoy cocktails with
colleagues before presentation.
Left to right: Kim Gill, CAMPC;
Reanna Werner, Heating & Plumbing
Engineers; Kevin Tindall, PHCC National;
Steve Coughran, Coltivar Consulting;
Sarah Heath, Colorado Community
College System; and Emily Templin Lesh,
Colorado Workforce Development Council
Welcome New Members!
8
CONTRACTOR MEMBERS CONTACT PHONE
WEBSITE
Altitude Comfort Heating & Air
Plumb Pros
Precision Plumbing & Heating
QwikPlumb, LLC
Douglas Mills
Felipe Ramos
Sara Delp Ben Startzer
303-505-3406
303-437-1911
720-626-4858 720-580-3080
www.altitudecomfort.com
www.plumbprosinc.com
www.precisionplumbing.com
www.qwikplumb.com
INDUSTRY PARTNERS CONTACT PHONE
WEBSITE
Barnett Pro Contractor Supplies
Coscia Communications
Hub International Insurance Services, Inc.
Steve Sisneros
Steve Coscia
Joseph Trease
303-340-0947
610-853-9836
720-270-2420
www.ebarnett.com
www.coscia.com www.hubinternational.com TRADE SCHOOLS
CONTACT PHONE
WEBSITE
Construction Industry Training Council
Intellitec College
Lincoln College of Technology
Pickens Technical College
Red Rocks Community College
Cori Gerlitz
Ivan Smith
Joe Nuanes
Michael Klouser
Larry Snyder
303-893-1500
719-632-7626
303-722-5724
303-344-4910
303-914-6600
www.citcinc.org www.intellitec.edu
www.lincolntech.com www.pickenstech.org
www.rrcc.edu © 2015 PHCC
News & Views • Fall 2015
EVENTS & EDUCATION
For more information about programs listed below, visit our website at
www.campc.org or contact Kim Gill at 303-757-3956 or kim@campc.org.
PHCC Members are Colorado Safety Association (CSA) Alliance members and receive alliance member pricing at www.coloradosafety.org.
You also have access to some AGC/C classes at member pricing. Use Code CAMPC15 when registering at www.agccolorado.org.
EDUCATION & TRAINING DATE TIME
LOCATION
INFORMATION
Making Raving Fans - How One Company
Increased Revenues by 300% with a
GREAT Service Strategy
October 21-23
1:00 - 2:00 pm
FREE Member Webinar
www.phccweb.org
PHCC National Construction Contractors’
October 21-23
Alliance (CCA) Fall Meeting
Marines Memorial Club
& Hotel
San Francisco, CA
www.phccweb.org
How to Hire, Hold Onto and Heighten
the Leaders of Tomorrow
AGC Education Center* www.phcccolorado.org
October 27
7:30 - 9:30 am
Project Management Essentials
October 28-30
8:00 am - 4:00 pm AGC Education Center* www.agccolorado.org
(Member pricing code: CAMPC15)
Maintenance Agreements -
The Contractors Golden Goose
FREE Member Webinar
www.phccweb.org
Welshire Event Center
3333 S. Colorado Blvd., Denver, CO 80222
Ann Woosley at 303-757-3956 or ann@campc.org
AGC Education Center* www.phcccolorado.org
November 4
1:00 - 2:00 pm
November 7
6:30 pm
CAMPC Holiday Party
Journeyman/Master Plumber
Exam Prep Class
November 7, 14, 21
8:00 am - 4:00 pm
November 30-
APMO ASSE 5110 Backflow Tester
December 4
Training and Certification Class
Construction Industry
www.phcccolorado.org
Training Council
646 Mariposa Street, Denver, CO
* AGC Education Center is located at 686 Mariposa, Denver
Legislative Update ... Continued from page 3.
Legal Update ... Continued from page 4.
and budget/TABOR issues. MCA is reviewing proposed
industry contributions through the CAMPC PAC, personal
contributions, and participates with our partners in
co-sponsored industry/business state and local fund
raising events for supporters of our issues. This month,
MCA and our members in Colorado Springs hosted
an event for former Rep. Bob Gardner, a Republican
candidate from Colorado Springs who was term limited
in the House but is now seeking the open Senate District
12 currently held by President Bill Cadman who is
leaving due to term limits. Because Republicans have an
overwhelming registration majority, the primary will be
the race in 2016. Gardner faces controversial freshman
Rep. Gordon Klingenschmitt (R) El Paso. Gardner was a
strong supporter of business during his time in the House.
Additionally, the DOL is proposing that the salary levels be automatically
updated every year to a rate to be determined by the DOL and published
at least 60 days before its effective date. The updates would be calculated
either by maintaining the levels at a fixed percentile of earnings or by
updating the amounts based on changes in the Consumer Price Index.
News & Views • Fall 2015
Any employee who earns less than the limit will have to be paid overtime for
hours worked in excess of 40 during the workweek, regardless of the nature
of the work they perform. Employees who earn more will still need to meet
the duties tests. While the DOL did not offer proposed changes to the duties
tests, it invited comments on the current requirements and whether changes
should be made.
Republican senators have urged the DOL to extend the comment period
while congressional Democrats have urged implementation without delay.
It is difficult to predict when final regulations may become effective, but
they are expected before President Obama leaves the White House. In the
meantime, employers should be considering the potential impact on their
workforces and whether alternate, FLSA-compliant pay plans are available
that would better serve their needs.
© 2015 PHCC
9
Thank You to Our New School Partners
for Joining and Supporting PHCC Colorado
Construction Industry
Training Council
Pickens Technical College
PHCC Colorado is a sponsoring member of CITC, providing member
rates on apprentice training for PHCC contractors. There are six
apprenticeship programs including: Plumbing, Pipefitting, Electrical,
Sheetmetal, Carpentry and Bricklaying. CITC is accredited through the
Emily Griffith Technology College. They are also registered with the
U.S. Department of Labor, Office of Apprenticeship and Training
(OAT, formerly known as BAT.)
Contact: Cori Gerlitz, Executive Director
646 Mariposa Street, Denver, CO 80204
Email: cgerlitz@citcinc.org
Phone: 303-893-1500
Visit: www.citcinc.org
Pickens Technical College has a special
relationship with the Community College of
Aurora, as well as with many different high schools throughout
Aurora, Colorado. Students who wish to earn an AAS can begin
their degree at Pickens Technical College by completing technical
classes for specific occupational certificates. Once these classes are
completed, they can continue to take general education courses
and other requirements at CCA. When the appropriate number of
courses is completed, the student will earn an AAS degree by CCA.
Contact: Michael Klouser, Assistant Director
500 Airport Blvd., Aurora, CO 80011
Email: mjklouser@aps.k12.co.us
Phone: 303-344-4910
Visit: http://www.pickenstech.org
Intellitec College
Red Rocks
Community College
IntelliTec Colleges in Colorado are career-focused technical colleges
and trade schools providing hands-on, career-focused training.
They produce skilled, employable graduates with an Associate of
Occupational Studies Degree programs in Refrigeration and HVAC.
Locations: Colorado Springs, Grand Junction and Pueblo.
Contact: Ivan Smith, Program Chair for the
Heating Ventilation and Air Conditioning program
Intellitec Colleges – Main Campus
2315 E. Pikes Peak Avenue, Colorado Springs, CO 80909
Email: ismith@intellitec.edu
Phone: 719-632-7626
Visit: www.intellitec.edu
Lincoln College
of Technology
Lincoln College of Technology’s Heating, Ventilation and Air
Conditioning (HVAC) classes prepare students for a career in the
trades. This 213,000 square-foot Denver school is equipped with
industry standard tools and machines to practice HVAC skills,
including Hampden Trainers and an Energy Audit Training House.
Red Rocks Community College offers certificate and degree programs
in HVAC, Refrigeration, Air Conditioning, Forced Air Heating, Controls,
and Plumbing. These programs provide the knowledge and skills
needed for entry-level installation and maintenance positions, as
well as, upgrading and refresher courses for those already employed
in the field. Contact: Larry Snyder, Department Lead and Advisor
for HVAC/R and Plumbing
13300 West 6th Avenue, Lakewood, CO 80228
Email: Larry.Snyder@rrcc.edu
Phone: (303) 914-6306
Visit: www.rrcc.edu
Each school has opportunities for contractor involvement
including: speaking in classes, career fairs, PAC meetings and
input for developing curriculum and programs. Please contact
the school representative to get more involved!
Contact: Joe Nuanes, Education Supervisor of HVAC-R & Welding
11194 E. 45TH Avenue, Denver, CO 80239
Email: JNuanes@LINCOLNTECH.COM
Phone: 303-722-412-8420, ext 43060
Visit: www.lincolnedu.com/campus/denver-co
10
© 2015 PHCC
News & Views • Fall 2015
When Technicians Talk Too Much
By Steve Coscia
Service companies provide more than skilled labor. A technician is
given a sacred trust when he or she enters the home or business of a
valued customer. The customer’s only concern is satisfaction.
When a technician conveys too much information to a customer,
it’s called editorializing. This extra information adds no value and
it detracts from customer satisfaction. Every word and nuance
conveyed can be misinterpreted and potentially negatively impact the
relationship with the customer.
A quick example of editorializing is when a technician arrives late and
says it’s because “the office gave me the wrong address.”
This is more than the customer needs to know. In addition, it can
tarnish the company’s reputation.
Upon entering a business a technician might ask, “Where is the
mechanical room?” or other related questions regarding the
equipment. In the customer’s mind, there exists a congruity between
the question and the purpose of the service call. When the customer’s
expectation and service delivery are congruous the relationship is
stable and a rapport develops.
“How Old is Your Daughter?” is a question that caused some grief for
Tony, a young technician in one of my recent customer service training
seminars. He admitted that during a residential service call, his
stable relationship with a customer was broken when he noticed the
customer’s teenage daughter and asked out of curiosity, “How old
is your daughter?” The customer’s subsequent behavior made it
apparent to Tony that this was a big mistake.
We were all able to laugh about it during the training seminar, however
Tony made it abundantly clear there was nothing to laugh about when
he returned to the shop and the customer had phoned Tony’s boss
demanding Tony never be sent to their home again. Needless to
say, Tony was reprimanded by his boss about social boundaries and
potential legal implications. Did Tony learn his lesson? You bet.
The “Less is More” paradigm applies in most business communication.
The filters through which customers hear others are based on their
biases and assumptions. Since personal
biases run deep, it doesn’t take much
for emotions to escalate when someone
crosses the line into perceived socially
unacceptable behavior.
The best p-h-c companies recognize
that employees such as Tony need to
Steve Coscia
be taught about personal interaction
Coscia Communications
and communications skills. If they are
unsure whether to say the words on the
tip of their tongue, it’s better to just keep quiet. The wrong message
can result in a business disaster. Tony’s boss used this event to train
and mentor all his employees in verbal and non-verbal communication
and customer touch points.
A customer touch point is an event during which a customer comes
into contact with your business. Touch points include your website,
the logo on the side of your trucks, your front-line phone reps, your
promotional materials and your service technicians. Tony, whether he
knew it or not, was a touch point.
Keeping your current customers satisfied costs less and is much
easier than finding new ones. If you want to keep customers happy
and differentiate from the competition, invest in customer service and
soft skills training for your employees. If you do, they will serve your
customers with patience, courtesy and professionalism to help you
achieve a world-class service culture.
Steve Coscia helps Plumbing and HVACR companies make more
money through increased customer retention, improved upselling and
reduced on-the-job stress. He is the author of the HVAC Customer
Service Handbook. A best selling author, columnist and customer
service specialist, Steve presents keynote speeches and facilitates
HVACR customer service workshops. To learn more about
Coscia Communications go to www.coscia.com or contact
Steve Coscia at 610-853-9836 or steve@coscia.com
Members Helping Members
Larry Bell, Bell Plumbing & Heating (left), and
Rod Henrichsen, Northern Colorado Plumbing
& Drain (right) pose, after touring Bell’s
showroom and facility in Aurora, in front of
a car resembling the first one used by
Bell Plumbing & Heating in the 1920s.
News & Views • Fall 2015
© 2015 PHCC
11
Statement of Cash Flows:
Red Headed Step Child or Company Hero?
By Steve Coughran
When I was pursuing my undergraduate degree in accounting,
my courses glorified the income statement as the “allknowing” document. The balance sheet too, though slightly
less emphasized, was considered an integral piece of evidence
to indicate company health. After graduating and initiating my
career at Ernst and Young, as auditors, we relied almost solely
on balance sheet information. The balance sheet proved an easy
indicator to ensure that our respective accounts would tie. As I
have progressed in my career as a multi-industry consultant, I
have found that these two financial statements, though important,
pale in comparison to the transparent statement of cash flows.
Cash is king. No one can deny this. Nothing feels better than
having enough cash to cover operations. For some reason,
however, the statement of cash flows is treated like the redheaded stepchild of the financial world. The statement requires
a higher level of financial acumen and a little more time to
decipher, causing people to dismiss it.
In my experience, businesses seeking to advance to the next
level must have a solid understanding of the statement of cash
flows in order to gain a clear view on their company’s well-being. A previous article that I wrote entitled “What EBIDTA Conceals
and Cash Flow Reveals” specifies the shortcomings of EBITDA.
The article emphasizes EBIDTA as an incomplete financial
measure because of the easy manipulation that can occur to
misrepresent a company’s financial story.
Operating cash flow is the true metric of a company’s financial
condition. There is no way to manipulate the numbers. Operating
cash flow starts with net income and
is calibrated based on adjustments
to net-income from non-cash items
such as depreciation, amortization,
and other gains and losses on assets.
Steve Coughran
Changes in working capital such as
Coltivar Group
fluctuations in accounts receivable,
accounts payable, or other asset
or liability accounts reflect the true economic increases and
decreases in cash flow.
Cash flow, not profits, are the lifeblood of any business. Seventy
percent of businesses are profitable when they close their doors.
A company can be highly profitable, but if their money is tied up
in accounts receivable, the business quickly becomes insolvent.
My mission is to educate business leaders to realize the true
impact that cash flows can have on their businesses from an
operating and financing perspective.
If your company is only focused on the income statement, you
must shift perspectives to see the different, more lucid story
your numbers are telling you. Why does a company’s income
statement reflect profitability when their bank accounts have
run dry? Evaluating cash flow is crucial because the implications
are serious. A company that fails to understand can run
out of cash or invest itself out of cash. Without a solid cash
flow strategy, a business simply cannot survive. Perhaps the
statement of cash flows is less the red-headed step child and
more the company hero.
HOW TO: Hire, Hold On To, and Heighten the Leaders of Tomorrow
OCTOBER 27, 2015 • 7:30 - 9:00 AM • AGC EDUCATION CENTER
Presented by Steve Coughran, Coltivar Group
• Understand the financial and opportunity costs incurred when hiring processes are ineffective and managers are unprepared.
• Learn how to implement an effective hiring process that extracts a candidate’s skill set, attitude, and emotional intelligence,
including example interview questions and tips for interview best practice.
• Discover what employees value in the workplace and how to increase employee satisfaction to boost engagement.
For more information or to register, go to CAMPC.org
12
© 2015 PHCC
News & Views • Fall 2015
SUPPORT OUR INDUSTRY PARTNERS WHO SUPPORT US!
CHAMPION
Federated Insurance Brian Roussel
Ph: 507-455-5704
www.federatedinsurance.com
ADVOCATE (continued)
SUPPORTER (continued)
SUPPORTER (continued)
Woods & Aitken, LLP
Kory George
Ph: 303-606-6700
www.woodsaitken.com
Honeywell
Sue O’Dell
Ph: 303-881-4653
www.honeywell.com
Viega LLC
Brad Sturgill
Ph: 800-976-9819
www.viega.us
SUPPORTER Hub International
Insurance Services, Inc. Joseph Trease
720-270-2420
www.hubinternational.com Anchor Network Solutions
Vince Tinnirello
Ph: 303-904-0494
www.anchornetworksolutions.com
FloodPros
Lane Larsen
Ph: 303-330-6068
www.gofloodpros.com
Barnett Pro Contractor
Supplies Steve Sisneros
303-340-0947
www.ebarnett.com
Milwaukee Tool
Andrew Hawkins
Ph: 303-980-5761
www.milwaukeetool.com
ADVOCATE
CAD-1, Inc.
Stan Hennigh
Ph: 303-428-2706
www.cad-1.com
Marshall Rodeno Associates
Brian Rodeno
Ph: 303-575-6701
www.marshallrodeno.com
NIBCO
Chris Bleile
Ph: 800-234-4642
www.nibco.com
RKR Manufacturers
Representatives
Paul Prutch
Ph: 303-321-7610
www.rkrnet.com
United Rentals, Inc.
Dennis Walker
Ph: 303-576-3510
www.ur.com
News & Views • Fall 2015
Buche & Associates
Peter Buche
Ph: 303-934-4969
www.buchecarmco.com
Cherry Creek Insurance Group
Stephanie Anderson
Ph: 303-799-0110
www.thinkccig.com
ColtivarConsulting
Steve Coughran
Ph: 303-434-2259
www.coltivar.com
Contact Sales
Bill Smith
Ph: 303-232-5515
www.contactsalescompany.com
Coscia Communications
Steve Coscia
610-853-9836
www.coscia.com Ferguson Enterprises
Chris Cline
Ph: 303-739-8000
www.ferguson.com
Golden Bell Press
Mike Branigan
vxPh: 303-296-1600
www.goldenbellpress.com
WennSoft Inc. Mark Huntsman
Ph: 262-821-4100
www.wennsoft.com
Wholesale Specialties
Bryan Schiff
Ph: 303-296-2212
www.wholesalespecialties.com
Johnson Auto Plaza
Chris Maneotis
Ph: 303-654-1940
www.johnsonautoplaza.com
Xcel Energy
Bob Macauley
Ph: 303-294-2675
xcelenergy.com
KM Sales, LLC
Ryan Kindsfather
Ph: 303-292-1355
www.km-sales.com
TRADE SCHOOLS
Mueller Industries
Chris Pyle
Ph: 901-753-3200
www.muellerindustries.com
Imprints Littleton
Doug Mast
Ph: 303-979-6633
www.imprintslittleton.com
Rampart Plumbing &
Heating Supply
John McCallum
Ph: 719-471-7200
www.rampartsupply.com
Refrigerants Inc.
Chad Schnuelle
Ph: 303-629-1222
www.refrigerantsinc.com
Construction Industry
Training Council Cori Gerlitz
303-893-1500
www.citcinc.org Intellitec College Ivan Smith
719-632-7626
www.intellitec.edu Lincoln College of
Technology Joe Nuanes
303-722-5724
www.lincolntech.com Shyne & Associates
Steve Stone
Ph: 303-722-1300
www.shyneassociates.com
Pickens Technical College Michael Klouser
303-344-4910
www.pickenstech.org TM Sales
Tom Meek
Ph: 303-375-1515
www.tmsalesinc.com
Red Rocks
Community College Larry Snyder
303-914-6600
www.rrcc.edu Tyler Pipe & Coupling
A Division of McWane
Brian W. Gardner
903-941-0884
www.tylerpipe.com
© 2015 PHCC
13
Industry Partners
Federated Insurance and
Milwaukee Tool proudly
sponsor PHCC Membership.
Contact us today to find out how
you can save an additional $200
of COLORADO
on your new member dues.
Kim Gill
303-757-3956
kim@campc.org
www.PHCCColorado.org
MORE THAN
130
YEARS OF
INNOVATION
Experts Pursuing Excellence
14
© 2015 PHCC
News & Views • Fall 2015
Membership Application
Plumbing-Heating-Cooling Contractors of Colorado
Membership is open to any individual proprietorship, partnership or corporation engaged in plumbing, HVACR or mechanical
contracting with an established business in the state of Colorado.
General Information
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Online Membership Directory Company Description
Describe the type of work or service you provide. (20 words or less please.)
Membership Profile
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o Residential Remodel o Residential New Construction
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Please select a single “Primary Field of Work” from the choices above:
Type of Shop
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PHCC Staff
PHCC 1114 W 7th Ave, Suite 250 Denver, CO 80204 (p) 303.757.3956
News & Views • Fall 2015
Commercial Service and Repair
Open
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Membership Application
Plumbing-Heating-Cooling Contractors of Colorado
PHCC Dues
Effective Date November 2013
Annual dues are based on volume of work completed for the previous year.
Contractor Membership
Less than 250,000
$250K - $499K
$500k - $999K
$1M - $3.99M
$4M - $9.99M
Over $10M
$785.00
$895.00
$995.00
$1,195.00
$1,295.00
$1,395.00
Introductory Contractor Membership Dues*
dues are the full amount.
Less than 250,000
$250K - $499K
Year 1
$537.50
$647.50
Year 2
$661.25
$771.25
$500k - $999K
$1M - $3.99M
$4M - $9.99M
Over $10M
$747.50
$947.50
$1,047.50
$1,147.50
$871.25
$1,071.25
$1,171.25
$1,271.25
*Intro offer only available to companies that have never been PHCC members.
Volume of Business

 Less than 250,000
 $250K - $499K

Payment Information
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 Check Enclosed For $
 Bill Credit Card For $
PHCC Membership Levels:
$500k - $999K
$1M - $3.99M
Contractor



$4M - $9.99M
Over $10M
Two-Year Introductory Contractor
(Make dues payable to PHCC)
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(Visa, MasterCard; Discover or AMEX)
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code of ethics, and by-laws of the association.
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© 2015 PHCC
(f) 303.757.4313
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News & Views • Fall 2015