2017 ACEC/PA ANNUAL MEETING. The Omni Bedford Springs Hotel June 5, 2017
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1 2017 ACEC/PA ANNUAL MEETING The Omni Bedford Springs Hotel June 5, 2017
2 WELCOME REMARKS Matthew G. Cummings, P.E ACEC/PA President
3 ACEC/PA Board of Directors Executive Committee Matthew Cummings, President Joseph O Neil, President-Elect Perry Schweiss, Vice President Eric Frary, Treasurer Troy Holloway, Secretary Sean Henderson, Immediate Past President Christopher Borton, ACEC National Director Gregory Lebo, Chair, Government Affairs, Ex-Officio Eric G. Madden, Executive Vice President, Ex-Officio At-Large Directors Eric Veydt, Director Matthew Natale, Director Matthew Marquardt, Director Bill Gross, Director Lea Nadler, Director Roseline Bougher, Director Chapters Mark Markosky, Western Chapter President Edward Reese, Western Chapter Vice President Michael Bougher, Central Chapter President Todd Morris, Central Chapter Vice President Yassmin Gramian, Eastern Chapter President Jon Livingston, Eastern Chapter Vice President
4 INDUCTION OF THE BOARD OF DIRECTORS Sean M. Henderson, P.E. ACEC/PA Immediate Past President
5 Presidential Appointments Western Chapter Officers Edward Reese, President Derek Rogers, Vice President Central Chapter Officers Todd Morris, President Matt Natale, Vice President Eastern Chapter Officers Jon Livingston, President Matt Marquardt, Vice President
6 At-Large Directors Bill Gross, Director (West) Lea Nadler, Director (Central) Roseline Bougher, Director (East) * Margaret Moore, Director (West) Michael Bougher, Director (Central) Yassmin Gramian, Director (East) *Newly elected as per the ACEC/PA Bylaws
7 Officers & Executive Committee Joseph O Neil, President Perry Schweiss, President-Elect* Eric Frary, Vice President* Troy Holloway, Treasurer* Eric Veydt, Secretary* Matthew Cummings, Immediate Past President Christopher Borton, ACEC National Director* Michael Girman, GAC Chair (Ex-Officio) *Newly elected as per the ACEC/PA Bylaws
8 ACEC/PA PRESIDENT FAREWELL ADDRESS Matthew G. Cummings, P.E.
9 ACEC/PA STATE OF THE COUNCIL Eric G. Madden ACEC/PA Executive Vice President
10 Strategic Goals Vision ACEC/PA will be the go-to organization to promote and enhance the business interests of the consulting engineering industry in Pennsylvania. Goals Meet the ACEC PAC goal and the state PAC goal Strongly advocate for infrastructure investment at the state and national levels Strengthen and increase membership Enhance ACEC/PA s brand, external communications and promotions Institute long-term association governance strategies to bolster ACEC/PA
11 Goal: Meet the ACEC PAC Goal ACEC PAC (Federal) and State PAC Goal Goal $ Raised $ Spent 2017 (To-date) $33,958 $24,250 $10, $33,958 $37,040 $51, $33,262 $35,925 $32, $36,778 $37,329 $44,000 PaCE PAC (State) Goal $ Raised $ Spent 2017 (To-date) $25,000 $9,300 $9, $25,000 $28,055 $24, $25,000 $15,550 $11, $30,000 $18,730 $42,650
12 Goal: Strongly Advocate for Infrastructure Investment at State and National Levels Pennsylvania ( ) DONE! Capped PA State Police funding from the Motor License Fund (MLF) at $802 million. Amended Act 60 Unemployment Compensation Insurance program Wage rate increases for construction inspectors and managers Authority to pursue toll-evaders on the turnpike One step closer to cash-less tolling on the Turnpike
13 Pennsylvania - What s ahead Continue to monitor the driving down of PSP funding from the MLF to $500 million (annual) Automated camera speed enforcement in work zones Expedited relief from the Turnpike s Act 44 payments to PennDOT ($450 million annually until 2022, drops to $50 million) Timely and sensible audits from the state comptroller s office Revisit the $55 cap on old paper agreements
14 Federal ( ) DONE! Killed weekly sick-time reporting (DOL) Killed blacklisting rule (DOL) Halted waters of U.S. rule (EPA)
15 Federal - What s ahead Infrastructure Funding Transportation: Fix Highway Trust Fund FAA long-term reauthorization Water (WRDA appropriations) Energy (re-start energy bill) Tax Reform Lower rates Equal treatment (C corps, S corps, partnerships) Preserve cash accounting
16 Goal: Strengthen and Increase Membership Membership has remained steady but growth is still a challenge Mergers and acquisitions have had a profound impact Expansion into new markets (energy/vertical) is a must Assoc./Affiliate Full Members Index Numbers Members
17 Goal: Enhance ACEC/PA s Brand, External Communications & Advocacy Testimony Presentations Promotions Senate Transportation Committee Project Delivery (Feb. 6, 2016) House Transportation Committee PSP Funding (Feb. 8, 2016) Senate Transportation Committee PSP Funding (Feb. 16, 2016) Senate Transportation Committee Environmental Permitting (Feb. 7, 2017) House PA Public School Building Construction & Reconstruction Advisory (PlanCon) Committee School Construction (Feb.13, 2017)
18 Advocacy Newspaper quotes York Daily News (Feb. 7, 2016) PSP Funding Reading Eagle (Feb. 20, 2016) PSP Funding Tribune-Democrat (Feb. 25, 2016) PSP Funding Meadville Tribune (Feb. 29, 2016) PSP Funding
19 Publicity Scholarship This is why we play!
20 What s next New public relations firm under contract Re-invigorated public relations committee Greater media presence Greater presence among our industry (particularly nonmembers) Enhance the brand identity of ACEC/PA
21 Goal: Institute Long-Term Association Governance Strategies to Bolster ACEC/PA President s Task Force on Committee Structure & Diversity Review of the entire committee structure Give the association back to you, the members Defined structure of roles and responsibilities Opportunities for upward movement Focus on diversity
22 Networking at a Glance 51 Committee Meetings (all year) 36 Separate PAC events (state and federal) 23 Government Affairs Breakfasts and Chapter Meetings (Sept-Nov, Jan- Mar) 2 ACEC/PA-PennDOT Co-Sponsored Winter Schools (January/February) 1 Diamond Awards for Engineering Excellence Gala (March) 1 ACEC National Convention & Legislative Summit in Washington, D.C. (April) 1 Annual Meeting (May/June) 2 ACEC/PA-PHIA Co-Sponsored Breakfasts (Summer) 1 Scholarship Golf Outing (September) 1 Government Affairs Legislative Reception (October) 1 ACEC National Fall Conference (October) 1 ACEC Bi-State (PA-NJ) or Tri-State (PA-NJ-NY) Meeting (Fall/Winter) 1 Fall Conference/ACEC/PA Day (November) 1 Pennsylvania Society Reception (December)
23 Rule of Life The world is run by those who show up.
24 ACEC NATIONAL STATE OF THE COUNCIL John R. Nelson ACEC National Executive Committee
25
26 ACEC s Strategic Plan Calls for Collaboration between National and State Member Organizations on Six Strategic Goals to Improve the Business Environment of Member Firms. 6/7/
27 ACEC PA has met PAC goal for 10 years Currently at 71% of 2017 goal Active in national programs Stable membership despite economic challenges You get it! 6/7/
28 Priorities: More infrastructure funding More contracting out Expanded energy and private client markets Balanced tax reforms Fewer burdensome regulations 6/7/
29 Repealed 3% Withholding Secured 9% tax deduction for A/E firms Firm w/$10m government contracts preserves $300,000 in cash flow Firm w/$10m taxable income saves $238,000 Removed 10% retainage on federal A/E contracts Firm w/$10m government contracts preserves up to $1M in cash flow 6/7/
30 Identify ways ACEC National can support State issues Let ACEC provide assistance on QBS, liability, insourcing, and other issues Respond to ACEC Congressional Action Alerts Use State Legislative Resource Center on ACEC website 6/7/
31 Best Practices contracts, books, seminars Leadership and management education Online educational management SEI Class on Capitol Hill 6/7/
32 Timely, Practical Webinars and Publications Project Opportunities with U.S. Government Agencies Managing Your FAR Overhead Rate Negotiating Better Engineering Contracts Achieving Record Sales and Profits in Competitive Markets Leadership Programs Senior Executive Institute (SEI) Flagship program now in its 22nd year Business of Design Consulting (BDC) Offering business basics New Pathways to Executive Leadership Tailored for emerging leaders; Class 1 began Oct 2016 Registered Continuing Education Program (RCEP) More than 70,000 participants 138 institutional providers of instruction; collaboration with ASCE
33 Let us know what educational programs you want Post your MO seminars on ACEC s national calendar to increase visibility Register as a RCEP provider to reach a wider audience Promote national educational programs and share revenues 6/7/
34 Effective communications: Last Word weekly Engineering, Inc. bi-monthly Twitter feed daily State-of-the-art ACEC website ACEC YouTube Channel InfrastructureUSA website National recognition programs: Engineering Excellence Awards QBS Awards Academic scholarships Community service awards
35 Awards Engineering Inc. won five top 2016 MarCom international awards for editorial and design excellence Engineering Inc. won APEX 2016 Grand Award for excellence "Striking spreads, crisp, interesting copy, and appealing photos combine to make this a magazine that industry professionals will actually read. - APEX Judges Last Word won APEX 2016 Award for newsletter excellence Engineering Business Index (EBI) ACEC s quarterly CEO survey highlights industry conditions, hot sectors, trends, profitability, and backlog 6/7/
36 Provide MO news for inclusion in Last Word and Engineering Inc. Include national achievements in your newsletters Add state officials to Engineering Inc. distribution Advertise in Engineering Inc., Last Word, website to reach clients, lawmakers, members 6/7/
37 $1,000,000 $800,000 $600,000 $400,000 $200,000 $0 Top 3% of all federal PACs Helps achieve ACEC s advocacy agenda by helping to elect pro-business candidates
38 Help elect pro-business candidates Leads to legislation that benefits member firms Sustain $1 Million ACEC/PAC Leads to increased ACEC political clout Widen member participation in ACEC/PAC Deepens member involvement with ACEC s advocacy programs 6/7/
39 Meet your state ACEC/PAC goal Urge principals to donate and sign prior approval form so their employees can contribute Include PAC updates in MO newsletters and meetings Suggest candidates for Congress; coordinate check giving and help organize local fundraisers Promote direct giving to ACEC/PAC supported candidates 6/7/
40 Supports state legislative and legal initiatives of national importance $2.3 million war chest 44 states have received grants Major issues include: Limitation of Liability Infrastructure funding Contracting out Indemnification/duty to defend obligations 6/7/
41 Use the Minuteman Fund for key MO legal/ legislative actions Go to ACEC website for Minuteman grant criteria Establish Minuteman contribution check-off on your dues invoices, if not already done Promote contributions to the Fund from all members 6/7/
42 Grow number of member firms by 2%/yr (now 5,351) Grow member firm employee strength by 3%/yr (now 580,095) Recruit 90% of eligible ENR 500 design firms by 2020 (now 84.6%) 700, , , , , , ,000 0 Extraordinarily High Retention Rate 96% of Pay Directs Challenges M&A and private client firms 6/7/
43 Make membership a top priority Develop war plan for recruiting; use recruitment info on ACEC website Coordinate with national for assistance in recruitment of large firms Target less active members for retention efforts 6/7/
44 Over 40 National Committees,15 Coalitions, Councils and Forums Cover breadth of engineering practices, markets Get involved: Options described online at sign up online Executive Committee candidates are sponsored by MOs January-April each year; interviewed by national Nominating Committee for a two-year term 6/7/
45 Trusts offer member only services Life/Health Insurance, Business Insurance, Retirement Programs. Member discount programs offer special pricing just for ACEC members on a wide range of products and services.
46 Life/Health Trust Business Insurance Trust Retirement Trust Annual premium savings of $17,175 for 50 person firm Annual premium savings of $9,000 for 50 person firm Annual retirement plan fee savings of $9,500 for 50 person firm 6/7/
47 2017 ACEC/PA ANNUAL MEETING The Omni Bedford Springs Hotel June 5, 2017
48 2017 ACEC/PA ANNUAL MEETING OPENING SESSION The Honorable Lloyd Smucker U.S. Congressman (R-16) Member, House Transportation & Infrastructure Committee
49 2017 ACEC/PA ANNUAL MEETING The Omni Bedford Springs Hotel June 5, 2017
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