CCMCA Meeting the Needs of the Masonry Industry Since 1963

1. CCMCAMeeting the Needs of the Masonry Industry Since 1963 Creation of an Industry Fund

2. The Question: • Are We Doing Enough to Get the Word Out About Masonry? • How Would You Grade Masonry?

3. The Objective: • Get More Masonry Buildings Built • Be “Perceived” as the Best • Become a Preferred Building Material • Expand Influence • Provide Additional Benefits and Services Do More For Masonry!

4. The Need: Damage Control • “BIM-minded Software Bundle Lifts Tilt-Up Wall Methods Competitive Position” – Concrete Products 10/04/10 • “The Expanding Use of Wood in School Construction” – Structure Magazine 08/2010 • “The Race for School Construction Success: Tilt-Up Concrete Finishes First” – GoStructural.com 09/30/08 Where Are These Headlines for Masonry???

5. The Need: Improve Perception • WalMart and Target have become frustrated masonry customers. “The bitterness of poor quality remains long after the sweetness of low price is forgotten” – Benjamin Franklin • WalMart plans to build 36 stores in California. Where is Masonry’s Delegation to Meet With WalMart Corporate???

6. What is Currently Being Done?

7. Masonry brochure, “CMU Profiles in Architecture” mailed quarterly to an estimated 14,600 CA and NV construction customers • “WhyMasonry” campaign created to highlight key benefits of masonry

8. “Safe and Sound” ads published for the last 3 yearsin prominent industry publications such as California Construction, Builder and Developer, and AGC Constructor. • “Masonry Chronicles” distributed to 5,000 + engineers and others • Annual design awards competition which invites the architectural community Annual Concrete Masonry Design Awards Banquet

9. Involved in national and state building code development • Technical advisor to construction professionals • Seminars and publications to enhance use of masonry • “Promotional Fliers” to 7,000 California architects

10. How Do We Expand on The Good Work Currently Being Done? By Turning Singular Efforts Into a Collective Effort!

11. The Plan: CCMCA INDUSTRY FUND COLLECTION STATEMENT OF INTENT 2010 • Create Industry Fund comprised of contractor contributions on Prevailing Wage projects. • Use funds to advance CCMCA promotion efforts and strengthen partnerships and alliances with existing masonry organizations’ efforts.

12. The Plan con’t… • Contacted attorney to determine possibility and requirements. • 2 ways to move forward: • Create separate corporation = $14,000 (50 hours) • Form Industry Promotion Committee = $6,720 (24 hours) Budget to Date: $3,649

13. The Plan con’t… 2) Seek recognition from DIR as an approved collection entity and/or obtain designation for “Other” prevailing wage contributions to be dedicated for Industry Fund.

16. The Plan con’t… 3) Verify compliance with “annualization” rule. • Principle adopted by Dept of Labor for Davis Bacon and applies in California. • California Div of Labor Standards Enforcement – Public Works Manual states, “California law requires that the credit for employer payments must be computed on an annualized basis where the employer seeks credit for employer payments that are higher for public works projects than for private construction performed by the same employer.” Translation = Amount of payment must be divided by Total number of hours worked in a year on all projects not just hours worked on public projects.

17. Annualization Example 2,000 Total Hours Worked on ALL Projects: • 1,000 Hours Public Projects + 1,000 Hours Private Projects = 2,000 Total Hours • 1,000 Hours – Public Projects x $.56 contribution = $560 • $560 divided by 2,000 Total Hours = $.28 contribution 50% credit applied toward required $.56 contribution

18. The Plan con’t… 4) Develop Industry Fund administration procedures

19. The Potential: Sample: ABC Masonry Contractor • $5M / year in work • Estimated Payroll @ 40% of $5M = $2M • Average labor rate $50/hr. • $2M divided by $50/hour = 40,000 hours • 40,000 hours x $.56 contribution = $22,400 paid by ABC Masonry Contractor in 1 year Annual Income - 10 contractors at $10,000 to $25,000 = $100,000 - $250,000 Monthly Income – Approx. $2,000/month from 1 contractor $2,000/month x 10 contractors = $20,000/month

20. The Benefits: • Payments to Industry Fund are not taxable and not subject to Workers’ Comp. • Contributions use employee dollars.

21. How Will the Funds Be Used? H. Support Concrete Masonry Association of California and Nevada (CMACN) “Why Masonry” campaign which extols the virtues of masonry construction through a micro website and additional methods yet to be developed. I. Support Masonry Institute of America (MIA) efforts to promote and expand California’s presence and representation on building codes and standards. J. Support Masonry First Coalition efforts to recapture masonry market share on MILCON projects with the Department of Defense. K. Support Masonry Executives Council (MEC) nationwide masonry promotion website MasonrySystems.org and related activities. A. Open access to MIA technical advice and information. B. Create “Why Masonry Works” based on WoodWorks program. C. Expand masonry data for BIM software. D. Develop tech-savvy presentation demonstrating merits of masonry. E. Create masonry “delegations” to meet with prospective customers (Ex. WalMart corporate). F. Retain consultant to survey previous masonry customers for reviews and level of satisfaction. Create “testimonials” for use with prospective customers. G. Collect data to compile fact sheet on masonry’s “green” attributes.

22. Next Steps: Commit and invest in the future of masonry!

23. “Because collectively we can accomplish that which we could not individually.”