CCMCAMeeting the Needs of the Masonry Industry Since 1963

Creation of an

Industry Fund

The Question:The Question:

Are We Doing Enough to Get the Are We Doing Enough to Get the Word Out About Masonry?Word Out About Masonry?

How Would You Grade Masonry?How Would You Grade Masonry?

The Objective:The Objective: Get More Masonry Buildings BuiltGet More Masonry Buildings Built Be “Perceived” as the BestBe “Perceived” as the Best Become a Preferred Building MaterialBecome a Preferred Building Material Expand Influence Expand Influence Provide Additional Benefits and ServicesProvide Additional Benefits and Services

Do More For Masonry!Do More For Masonry!

The Need: The Need: Damage ControlDamage Control ““BIM-minded Software Bundle Lifts Tilt-BIM-minded Software Bundle Lifts Tilt-

Up Wall Methods Competitive Position” Up Wall Methods Competitive Position” – – Concrete ProductsConcrete Products 10/04/10 10/04/10

““The Expanding Use of Wood in School The Expanding Use of Wood in School Construction” – Construction” – Structure MagazineStructure Magazine 08/201008/2010

““The Race for School Construction The Race for School Construction Success: Tilt-Up Concrete Finishes Success: Tilt-Up Concrete Finishes First” – First” – GoStructural.comGoStructural.com 09/30/08 09/30/08

Where Are These Headlines for Where Are These Headlines for Masonry???Masonry???

The Need: Improve The Need: Improve PerceptionPerception

WalMart and Target have become frustrated WalMart and Target have become frustrated masonry customers.masonry customers.

““The bitterness of poor quality remains long after the sweetness of The bitterness of poor quality remains long after the sweetness of low price is forgotten” – Benjamin Franklinlow price is forgotten” – Benjamin Franklin

WalMart plans to build 36 stores in California.WalMart plans to build 36 stores in California.

Where is Masonry’s Delegation to Meet With Where is Masonry’s Delegation to Meet With WalMart Corporate???WalMart Corporate???

What is Currently Being What is Currently Being Done?Done?

CCMCACCMCA = advocate and = advocate and information resource for information resource for mason contractors and mason contractors and suppliers with an open suppliers with an open membership.membership.

MIAMIA = provider of technical = provider of technical information and developer information and developer of masonry codes and of masonry codes and standards with a signatory standards with a signatory contractor membership.contractor membership.

CMACNCMACN = publisher and = publisher and promoter of masonry promoter of masonry features and benefits to features and benefits to the construction customer the construction customer community with a community with a manufacturer manufacturer membership.membership.

MITAMITA = implementer of = implementer of education programs and education programs and trainer of future masons trainer of future masons with an open membership.with an open membership.

Masonry brochure, Masonry brochure, “CMU Profiles in “CMU Profiles in Architecture” Architecture” mailed quarterly to mailed quarterly to an estimated 14,600an estimated 14,600 CA and NV CA and NV construction construction customerscustomers

““WhyMasonry” WhyMasonry” campaign created campaign created to highlight key to highlight key benefits of masonrybenefits of masonry

““Safe and Sound” ads Safe and Sound” ads published for the last 3 published for the last 3 yearsyears in prominent in prominent industry publicationsindustry publications such such as as California ConstructionCalifornia Construction, , Builder and DeveloperBuilder and Developer, and , and AGC Constructor.AGC Constructor.

““Masonry Chronicles” Masonry Chronicles” distributed to 5,000 + distributed to 5,000 + engineers and othersengineers and others

Annual design awards Annual design awards competition which invites competition which invites the architectural the architectural communitycommunity

Annual Concrete Masonry

Design Awards Banquet

Involved in national and state building Involved in national and state building code developmentcode development

Technical advisor to construction Technical advisor to construction professionalsprofessionals

Seminars and publications to enhance Seminars and publications to enhance use of masonryuse of masonry

““Promotional Fliers” to 7,000 California Promotional Fliers” to 7,000 California architectsarchitects

How Do We Expand on The How Do We Expand on The Good Work Currently Being Good Work Currently Being Done?Done?

By Turning Singular Efforts Into a By Turning Singular Efforts Into a Collective Effort!Collective Effort!

The Plan:The Plan:

CCMCA INDUSTRY FUND COLLECTIONCCMCA INDUSTRY FUND COLLECTION

STATEMENT OF INTENT 2010STATEMENT OF INTENT 2010 Create Industry Fund comprised of contractor Create Industry Fund comprised of contractor

contributions on Prevailing Wage projects.contributions on Prevailing Wage projects.

Use funds to advance CCMCA promotion efforts Use funds to advance CCMCA promotion efforts and strengthen partnerships and alliances with and strengthen partnerships and alliances with existing masonry organizations’ efforts.existing masonry organizations’ efforts.

The Plan con’t…The Plan con’t…

1)1) Contacted attorney to determine possibility and Contacted attorney to determine possibility and requirements.requirements.

2 ways to move forward:2 ways to move forward:

a.a. Create separate corporation = $14,000 (50 hours)Create separate corporation = $14,000 (50 hours)

b.b. Form Industry Promotion Committee = $6,720 (24 Form Industry Promotion Committee = $6,720 (24 hours)hours)

Budget to Date: $3,649Budget to Date: $3,649

The Plan con’t…The Plan con’t…

2)2) Seek recognition from DIR as an approved collection entity Seek recognition from DIR as an approved collection entity and/or obtain designation for “Other” prevailing wage and/or obtain designation for “Other” prevailing wage contributions to be dedicated for Industry Fund.contributions to be dedicated for Industry Fund.

The Plan con’t…The Plan con’t…3)3) Verify compliance with “annualization” rule.Verify compliance with “annualization” rule.

Principle adopted by Dept of Labor for Davis Bacon and applies in Principle adopted by Dept of Labor for Davis Bacon and applies in California.California.

California Div of Labor Standards Enforcement – Public Works California Div of Labor Standards Enforcement – Public Works Manual states, Manual states,

““California law requires that the credit for employer payments must be California law requires that the credit for employer payments must be computed on an annualized basis where the employer seeks credit computed on an annualized basis where the employer seeks credit for employer payments that are higher for public works projects for employer payments that are higher for public works projects than for private construction performed by the same employerthan for private construction performed by the same employer.”.”

Translation = Amount of payment must be divided by Translation = Amount of payment must be divided by TotalTotal number of number of hours worked in a year on all projects not just hours worked on hours worked in a year on all projects not just hours worked on public projects.public projects.

AnnualizationAnnualizationExampleExample

2,000 Total Hours Worked on ALL Projects:2,000 Total Hours Worked on ALL Projects: 1,000 Hours Public Projects + 1,000 Hours Private 1,000 Hours Public Projects + 1,000 Hours Private

Projects = 2,000 Total HoursProjects = 2,000 Total Hours

1,000 Hours – Public Projects x $.56 contribution = 1,000 Hours – Public Projects x $.56 contribution = $560$560

$560 divided by 2,000 Total Hours = $.28 contribution$560 divided by 2,000 Total Hours = $.28 contribution

50% credit applied toward required $.56 contribution50% credit applied toward required $.56 contribution

The Plan con’t…The Plan con’t…

4)4) Develop Industry Fund administration proceduresDevelop Industry Fund administration procedures

The Potential:The Potential:SampleSample: ABC Masonry Contractor: ABC Masonry Contractor $5M / year in work$5M / year in work Estimated Payroll @ 40% of $5M = $2MEstimated Payroll @ 40% of $5M = $2M Average labor rate $50/hr.Average labor rate $50/hr. $2M divided by $50/hour = 40,000 hours$2M divided by $50/hour = 40,000 hours 40,000 hours x $.56 contribution = 40,000 hours x $.56 contribution = $22,400 paid by $22,400 paid by

ABC Masonry Contractor in 1 yearABC Masonry Contractor in 1 year

Annual Income - 10 contractors at $10,000 to Annual Income - 10 contractors at $10,000 to $25,000 = $100,000 - $250,000$25,000 = $100,000 - $250,000

Monthly Income – Approx. $2,000/month from 1 Monthly Income – Approx. $2,000/month from 1 contractor contractor

$2,000/month x 10 contractors = $20,000/month$2,000/month x 10 contractors = $20,000/month

The Benefits:The Benefits:

Payments to Industry Fund are Payments to Industry Fund are not not taxabletaxable and and not subject to Workers’ not subject to Workers’ Comp.Comp.

Contributions use employee dollars.Contributions use employee dollars.

How Will the Funds Be How Will the Funds Be Used?Used?

A.A. Open access to MIA technical Open access to MIA technical advice and information.advice and information.

B.B. Create “Why Masonry Works” Create “Why Masonry Works” based on WoodWorks program.based on WoodWorks program.

C.C. Expand masonry data for BIM Expand masonry data for BIM software.software.

D.D. Develop tech-savvy presentation Develop tech-savvy presentation demonstrating merits of demonstrating merits of masonry.masonry.

E.E. Create masonry “delegations” to Create masonry “delegations” to meet with prospective customers meet with prospective customers (Ex. WalMart corporate).(Ex. WalMart corporate).

F.F. Retain consultant to survey Retain consultant to survey previous masonry customers for previous masonry customers for reviews and level of satisfaction. reviews and level of satisfaction. Create “testimonials” for use Create “testimonials” for use with prospective customers.with prospective customers.

G.G. Collect data to compile fact sheet Collect data to compile fact sheet on masonry’s “green” attributes.on masonry’s “green” attributes.

H.H. Support Concrete Masonry Support Concrete Masonry Association of California and Association of California and Nevada (CMACN) “Why Masonry” Nevada (CMACN) “Why Masonry” campaign which extols the campaign which extols the virtues of masonry construction virtues of masonry construction through a micro website and through a micro website and additional methods yet to be additional methods yet to be developed.developed.

I.I. Support Masonry Institute of Support Masonry Institute of America (MIA) efforts to promote America (MIA) efforts to promote and expand California’s presence and expand California’s presence and representation on building and representation on building codes and standards.codes and standards.

J.J. Support Masonry First Coalition Support Masonry First Coalition efforts to recapture masonry efforts to recapture masonry market share on MILCON market share on MILCON projects with the Department of projects with the Department of Defense. Defense.

K.K. Support Masonry Executives Support Masonry Executives Council (MEC) nationwide Council (MEC) nationwide masonry promotion website masonry promotion website MasonrySystems.org and related MasonrySystems.org and related activities.activities.

Next Steps:Next Steps:

Commit and invest in the future of Commit and invest in the future of masonry!masonry!

““Because collectively we can Because collectively we can accomplish that which we accomplish that which we

could not individually.”could not individually.”