AWI e-briefs
A semimonthly news publication for Manufacturing & Supplier Members of the
Architectural Woodwork Institute
June 23, 2022
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AWI Event

This Week’s Family Gathering Focuses on Issues Affecting Business Costs


Let's talk about transportation, supply chain and why costs are rising so much for non-commodity wood products.
 
Nick Bohlke from M. Bohlke Corp. is joining the family this week to discuss these topics and the benefits and value of Internship programs.

Whether you have attended all the past AWI webinars or if this is your first event, we are excited to have you join this week's Family Gathering!

Friday Family Gathering
”Transportation, Supply Chain and Rising Costs”
June 24 (3:00 pm – EDT)
(one hour, online, complimentary)

Register Here

If you missed previous gatherings, you will find the recordings on the Family Gatherings page in the Members Only section of www.awinet.org.

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AWI Standards

AWI’s Most Recent ANSI-Approved Standards Are Now Online

Online access is free of charge and always current. Hard copies are available for purchase in the online AWI Store (www.awinet.org >publications >store).  Login for the AWI Member price.  Each Standard takes effect Aug. 15.  


The Architectural Woodwork Institute (AWI) has produced and collaborated on the development of standards in accordance with its mission since its founding in 1953 to the present day. AWI is an ANSI-accredited Standards Developer Organization.

Founded in 1918, the American National Standards Institute (ANSI) is a private non-profit organization that administers and coordinates the U.S. voluntary standardization and conformity assessment system and is committed to strengthening its impact, both domestically and internationally. ANSI represents the diverse interests of more than 270,000 companies and organizations, and 30 million professionals.

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Business Matters

Subcontractors Four Times Less Likely than GCs to Get Paid on Time

According to a recent software company survey, General Contractors are also twice as likely to be paid within 30 days.  What else does the report in ConstructionDive Tech (free subscription) state about subcontractors?  And, what can you do to get paid more quickly?

Learn more here.

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Summer Sale of ConsensusDocs Contract Forms Until July 15

Summer Savings: Save 10% on your next subscription purchase!

Since 2007, ConsensusDocs has helped businesses like yours with their construction contracting needs, offering more than 110 construction contract templates that are easy to download and edit.

In turn, ConsensusDocs has become the industry leader for standard contract documents, having:

  • Featured one of the only standardized contracts featuring epidemic language in 2020.
  • Published the first standardized Prefabrication agreement for modular construction.
  • Created first-in-the-industry agreements to address emerging trends in IPD, BIM, green building, and LEAN construction.
  • Helped its customers launch more than $40 billion in construction projects with zero litigation.


Plus, ConsensusDocs' agreements are developed with the backing of 42 organizations in the construction industry (including AWI), ensuring that you'll be able to achieve better project results with less transactional costs – namely litigation, claims, contingencies, and contentious contract negotiations.

Sign up today and you'll save 10% off your regular purchase price when you use discount code SUMMER10 at checkout.  The AWI discount code is AWI1.

ConsensusDocs is a not-for-profit coalition of national associations representing diverse interests in the design and construction industry. ConsensusDocs collaboratively develops and promotes standard form construction contract documents that advance the construction process. ConsensusDocs incorporate best practices to provide a better contractual foundation and reduce costly risk contingencies.  Over 100 industry-tested contracts and forms are available at www.consensusdocs.org.  Collectively, associations participating in ConsensusDocs represent more than 300,000 company and individual members.  AWI is a coalition member with a discount code of AWI1.

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AIA Outlines Construction Risks for All Contracted Parties

“The Basics of Waivers and Releases of Lien or Payment Bond Rights” (free access) describes the risks involved when contracts impact payment of work fulfilled.

In this article, AIA (American Institute of Architects) discusses the basics of Waivers, so owners and contractors of all tiers may have a better understanding of these simple, yet powerful, documents.  Access the article here.

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Contact SBA for EIDL Loan Documents

As of May 16, 2022, the COVID-19 EIDL portal (covid19relief1.sba.gov, also known as the "RAPID portal") is closed. Borrowers who need copies of their loan documents can contact the Small Business Administration (SBA) at 833-853-5638. Please allow 3-7 business days to receive your materials.

Learn more here.

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New Report Explores Architect, Contractor Relationship: Early Collaboration a Key

A study published May 19 by the American Institute of Architects (AIA), in partnership with the Associated General Contractors of America (AGC), sheds new light on the relationship of architects and contractors and the needs of both professions.

The fifth edition of “The Architect’s Journey to Specification” focuses on improving the working relationship between architects and contractors and explores how the parties align, differ, and depend on each other.

Highlights from the report include:
  •  A majority of architects and contractors want to work more collaboratively for the benefit of all.
  • Successful relationships benefit from mutual understandings and alignment about client advocacy and the purpose of substitutions.
  • Transparency and communication are key to building more trusted working relationships for the benefit of all parties and the built environment.
  • Earlier collaboration and more clarity around design intent is likely to set projects up for success for all parties.

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June ConsensusDocs Newsletter Addresses Agreement Liquidation and More

The most recent edition of the ConsensusDocs Newsletter reports on State and Local Bid Protests, Liquidating Agreements, False Claims Act and more.

Check it out here.

ConsensusDocs is a not-for-profit coalition of national associations representing diverse interests in the design and construction industry. ConsensusDocs collaboratively develops and promotes standard form construction contract documents that advance the construction process. ConsensusDocs incorporate best practices to provide a better contractual foundation and reduce costly risk contingencies.  Over 100 industry-tested contracts and forms are available at www.consensusdocs.org.  Collectively, associations participating in ConsensusDocs represent more than 300,000 company and individual members.  AWI is a coalition member.


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Members in the News

AWI Members Make the “40 Under 40” List

Congratulations to the following 12 AWI Members recently honored by Woodworking Network (free subscription).  Learn more here.

Blair Chandler, SCM Group, scmgroup.com
Cassey Gibson, Innergy, innergy.com
Chris Gioia, Montbleau & Associates, montbleau.com
David Mulkeran, Elliott Woodworking, elliottwoodworking.com
Derek Koester, Stevens Industries Inc., stevensind.com
Josh Stepp, Weinig Holz-Her, weinig.com
Luke Remmert, Remmert & Co., remmertcompany.com
Marcus Waterworth, Waterworths Woodshop Inc., waterworthswoodshop.com
Neil Harder, Felder Group, felder-group.com
Nick Bohlke, M. Bohlke Veneer Corp., mbveneer.com
Paul Timmins, OE Custom/Maryland Countertops, oecustom.com
Thomas Allot, Stiles Machinery, stilesmachinery.com

"This year’s team of honorees will join 242 alumni who have been recognized with this distinction in the past,” said Tim Fixmer, president and CEO of CCI Media, the parent of Woodworking Network.

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Industry Event

Big IWF Registration Discount Offered to AWI Members

Mark your calendar and register early!

IWF
August 23 – 26, 2022
Atlanta, GA

IWF 2022 gives you more ways to harness the power of new: new technologies to increase production efficiencies, new products to drive sales, new ways to grow. It’s all the new you need from North America’s largest woodworking technology and design trade show and conference.

Best of all, because we’re now part of the new IWF Industry Partners Alliance, your show registration is 60% off now through June 15.  To receive the members-only discount, use this code when you register:  IWFIPA22

Register Now

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AWI to Sponsor Education Programs at IWF

Visit AWI at Booth C2430 and plan to attend AWI education programs at IWF:

Aug. 24 (3:00 pm – 4:00 pm)
“Turn the Lights On! – Financial Management, Linking Your Organization Together, and Open Book Management Best Practices”


Presenter:
Sebastien DesMarais, President & CEO, Hollywood Woodwork

Come and learn about some Financial Management best practices, including budget management, forecasting, breakeven analysis, job costing, project profitability and more! Learn how to link your estimating, operations and accounting teams to create alignment and visibility in your organization. And finally, maximize the benefits of these tools by bringing your team of employees into the process to truly create empowerment, transparency, and maximum performance. Join us and turn on the lights in your organization!

Aug. 25 (10:30 am – 11:30 am)
“Employee Engagement for Safety Excellence”


Presenters:

Dustin Giffin, President, Ascend Safety
Alec Kinslow, Director of EHA, Ascend Safety

This session focuses on employee engagement and how it can impact the safety performance at the company level.

Taking ownership (company and individual) is a huge step in the creation and maintenance of an effective program or system. By focusing on culture and engagement, employers, managers, and supervisors will be able to create a plan of action to start their engagement with employees.

Learning Objectives:

1. Attendees will be able to define culture and how it impacts safety
2. Attendees will be able define and create their internal roles and responsibilities regarding safety
3. Attendees will be able create an internal reporting structure to capture all internal communications regarding safety
4. Attendees will be able conduct a risk assessment and score it appropriate for creating an action plan
5. Attendees will be able communicate with all levels of employment regarding concerns

Register Now

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Economic Indicators

Architecture Billings Index Moderates Slightly, Remains Strong

For the fifteenth consecutive month architecture firms reported increasing demand for design services in April, according to a new report on May 18 from the American Institute of Architects (AIA).

AIA’s Architecture Billings Index score for April was 56.5 compared to 58.0 in March. Any score above 50 indicates an increase in billings. During April, scores for both new project inquiries and design contracts moderated slightly, but remained strong, posting scores of 62.3 and 55.4, respectively.

“While business conditions at architecture firms have been very encouraging over the past year, project activity has been steadily shifting toward work on existing buildings,” said AIA Chief Economist, Kermit Baker, Hon. AIA, PhD. “Billings for reconstruction projects exceeded those for new construction for the first time in the last two decades. While the reconstruction share of building activity will continue to ebb and flow, in general, we’ll continue to move toward an increased share of building activity for reconstruction and a decreased share for new construction.”  

Key ABI highlights for April include:

  • Regional averages: West (58.2); Midwest (57.6); South (57.3); Northeast (53.1)
  • Sector index breakdown: mixed practice (61.2); commercial/industrial (60.7); multi-family residential (57.2); institutional (51.8)

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Construction Job Openings Increase in April

The construction industry registered 449,000 job openings in April, according to an Associated Builders and Contractors (ABC) analysis of data from the US Bureau of Labor Statistics’ Job Opening and Labor Turnover Survey. The JOLTS survey defines a job opening as any unfilled position for which an employer is actively recruiting. Industry job openings increased by 23,000 last month and are up 120,000 from the same time last year.

As an indication of a marketplace that still favors employees as opposed to employers, construction workers quit their jobs at a faster rate than they were laid off or discharged in April. The quits rate of 2.9% was meaningfully above the layoff/discharge rate of 1.5%. April represented the 14th consecutive month during which quits outpaced or equaled layoffs and discharges.

“The desperate search for skilled construction workers persists,” said ABC Chief Economist Anirban Basu. “The number of available, unfilled construction jobs continues to expand. Remarkably, this is occurring despite a lack of strong construction spending growth, which suggests that construction productivity is not expanding. What is expanding is compensation costs, as employers compete aggressively with one another to secure sufficient levels of human capital.

“Today’s [June 1st] report also suggests that wage pressures will continue to help stoke economywide inflation,” said Basu. “That increases the chances that the Federal Reserve will continue to pursue a path of tightening monetary policy. Accordingly, contractors will face both rising delivery costs and cost of capital. Despite that, many contractors remain upbeat, according to ABC’s Construction Confidence Index, indicating that they are operating at capacity and expect to do so for the rest of the year.”

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Forty-Three States & D.C. Add Construction Jobs During the Past Year, But Recent Pace Dipped

Forty-three states and the District of Columbia added construction jobs during the past twelve months, but momentum slowed in May with only 22 states adding jobs, according to a new analysis of federal employment data released June 17 the Associated General Contractors of America (AGC). AGC officials said the monthly employment gains lagged in May as contractors continue to cope with labor shortages and supply chain challenges.

“Demand for construction appears to be outpacing the availability of workers and materials in many parts of the country,” said Stephen E. Sandherr, AGC’s chief executive officer. AGC officials urged public leaders to continue investing in programs to inform and prepare workers about high-paying construction career opportunities. They said too few students and workers are even aware of the many opportunities that exist in the construction industry. And they pushed the Biden administration to remove remaining tariffs on construction materials and do more to ease supply chain challenges impacting the availability of many different types of construction materials.

View state May 2021-May 2022 rankings.

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ABC’s Construction Backlog Rises in May; Contractor Confidence Falters

Associated Builders and Contractors (ABC) reported on June 14 that its Construction Backlog Indicator increased to nine months in May from 8.8 months in April, according to an ABC member survey conducted May 17 to June 3. The reading is up one month from May 2021.

View ABC’s Construction Backlog Indicator and Construction Confidence Index tables for May 2022.

Backlog in the infrastructure segment jumped from 8.7 months in April to 9.3 months in May, and the Northeast and South regions continue to outperform the Middle States and the West. Contractors with more than $100 million in annual revenues enjoyed the highest backlog, at 13.2 months.

ABC’s Construction Confidence Index readings for sales, profit margins and staffing levels declined in May. The indices for sales and staffing remain above the threshold of 50, indicating expectations of growth over the next six months, while the reading for profit margins was exactly 50 for the month.

“It is simply remarkable that contractors continue to add to backlog amidst global strife, rising materials prices and ubiquitous labor force challenges,” said ABC Chief Economist Anirban Basu. “Backlog is up in every segment over the past year, including in the somewhat shaky commercial category. The largest increase in backlog has been registered in the industrial segment. More American companies are committing to place additional supply chain capacity in the United States, with Intel and Ford representing particularly recent and noteworthy examples.

“For contractors, the challenge will continue to be the cost of delivering construction services,” said Basu. “The risk of severe increases in costs and substantial delays in delivery remains elevated given the volatility in input prices, the propensity of the labor force to shift jobs in large numbers and equipment shortages and delays. This ABC survey indicates that the proportion of contractors who expect that profit margins will expand over the next six months is declining, a reflection of lingering, worsening supply chain challenges.”

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Safety Matters

Safety Tips from NSC During National Safety Month

The National Safety Council (NSC) began a series of free podcasts addressing four key safety issues designed to assist employers with keeping their workforce safe.  The podcasts are running during June, National Safety Month.

MSDs
Workplace Impairment
Injury Prevention
Slips, Trips and Falls

Access the podcasts here.

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J. J. Keller Webinar: Common OSHA Training Violations

"Common OSHA Training Violations"
Tuesday, July 12, 2022
Online, 2:00 pm (ET)
Duration: 1 Hour

The same regulations show up every year in OSHA’s list of top ten violations, and most include training requirements. In fact, the specific paragraphs that mention training are among the most-cited provisions.

Those standards include fall protection in construction, hazard communication, powered industrial trucks, control of hazardous energy (lockout/tagout), and machine guarding. To help you avoid violations while keeping your workers safe, this webinar will cover:

  • The specific training provisions that OSHA most commonly cites.
  • Standards that don’t explicitly require training but imply a need for it.
  • How to determine when refresher training might be needed.
  • Using training to protect your workers and your company.
  • Plus a live Q&A session


For more information and to register, click here.

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Federal Scene

IRS Increases Mileage Rates for Remainder of 2022

On June 9, the Internal Revenue Service (IRS) announced an increase in the optional standard mileage rate for the final six months of 2022. Taxpayers may use the optional standard mileage rates to calculate the deductible costs of operating an automobile for business and certain other purposes.

In recognition of recent gasoline price increases, the IRS made this special adjustment for the final months of 2022. The IRS normally updates the mileage rates once a year in the fall for the next calendar year. For travel from Jan. 1 through June 30, 2022, taxpayers should use the rates set forth in Notice 2022-03.

While fuel costs are a significant factor in the mileage figure, other items enter into the calculation of mileage rates, such as depreciation and insurance and other fixed and variable costs.

Midyear increases in the optional mileage rates are rare, the last time the IRS made such an increase was in 2011.

Mileage Rate Changes

Purpose

Rates 1/1
through 6/30/22

Rates 7/1
through 12/31/22

Business

58.5

62.5

Medical/Moving

18

22

Charitable

14

14

 

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Interest Rates Increase for the Third Quarter of 2022

On May 20, the Internal Revenue Service announced that interest rates will increase for the calendar quarter beginning July 1, 2022. The rates will be:

  • 5% for overpayments [4% in the case of a corporation].
  • 2.5% for the portion of a corporate overpayment exceeding $10,000.
  • 5% for underpayments.
  • 7% for large corporate underpayments.

For more details, see IRS Revenue Ruling 2022-11 announcing the rates of interest.

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Partner News

Updated Roster of 2022 AWI Partners

Premier Partner

Federated Insurance

 

Platinum Partner

Navy Island

 

Gold Partners

M. Bohlke Veneer Corp.

Stiles Machinery, Inc.

Silver Partners

2020 Technologies

Brooklyn Hardware

CCF Industries

Daiek

Eagle Mouldings

Heartland Stairways

Monarch Metal Fabrication

 

Bronze Partners

Axalta

Biesse

Birchland Plywood

Chemcraft

Flexible Materials, Inc.

Gemini Coatings, Inc.

Häfele

IMA / Schelling – American Alliance

Lockdowel M. L. Campbell

Milesi

Roseburg

Sherwin-Williams

States Industries, Inc.

We regret that the graphic listing below of the 2022 Partners is incorrect and cannot be changed due to lack of support by our service provider.  AWI is working with a new service provider to produce an updated e-briefs in the next several months.  Thank you to all of our Partners for your support and understanding.

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AWI e-briefs

Upcoming Editions

Watch for e-briefs on:

  • July 7News Edition of AWI & Affiliated Organizations (Chapters, WCA, QCP, Speakers Bureau, AWIEF)
  • July 21—Business, industry, safety, construction news, and more

Depend on e-briefs to bring you news of AWI publications and programs and other pertinent information that impacts your architectural woodwork business.

For prior issues of AWI e-briefs, click here.

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Upcoming Education

____________________

    NEAR-TERM
  WEBINAR
        
AWI’s one-hour
“Friday Family
Gatherings”

Online at 3:00 pm (EDT)

Next Session
“Transportation, Supply Chain and Rising Costs”
Friday, June 24

Register Here

____________________

NEAR-TERM
CHAPTER EVENTS

July 14
AWI Central PA Chapter
Cool Creek Golf, Wrightsville, PA
Contact: Dave Sanders or
Alan Hinson at ahinson@jcsnavely.com

Click here for access to all
AWI Chapter contacts.

____________________


NATIONAL EVENT

70th AWI Annual Convention
September 28-30, 2022
The Grand Hotel
Lake Point, Alabama

Registration Is Open!

 ____________________

AWI PERIODICALS


View the current
quarterly edition!



View the current
monthly edition!

____________________

___________________



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phone 571.323.3636  fax 571.323.3630  web www.awinet.org

Cautionary Disclaimer
The Architectural Woodwork Institute (AWI) makes every effort to ensure that published information is accurate and current. Neither AWI, nor any content contributor, officer, or employee of AWI warrants the accuracy, reliability or timeliness of any information published in AWI News-Briefs and/or AWI e-briefs, nor endorses any products, services or other information resources linked from AWI's editorial content and shall not be held liable for any losses caused by reliance on the accuracy, reliability or timeliness of such information. Portions of the information may be incorrect or not current. Any person or entity that relies on any information obtained from this system does so at their own risk.

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Federated Insurance Quality Certification Corporation Navy Island 2020 Precision Veneer Stiles Machinery Brooklyn Hardware CCF Industries Daiek Woodworks Eagle Mouldings, Inc. Heartland Stairways M. Bohlke Veneer Monarch Metal Fabrication Axalta Coating Systems Biesse Birchland Plywood Veneer Ltd. Chemcraft Cooper Enterprises Flexible Materials Gemini Coatings Häfele IMA Schelling Group M.L. Campbell Milesi Sherwin Williams Roseburg States Industries