ACPA Concrete Pavement Progress - Quarter 2, 2022

Filling the Leadership Pipeline CONCRETE PAVEMENT PROGRESS Quarter 2 | 2022

Quarter 2 | 2022 CONCRETE PAVEMENT PROGRESS Concrete Pavement Progress is the official magazine of the American Concrete Pavement Association (ACPA). ACPA is the national trade association for the concrete pavement industry. The primary mission of the ACPA is to lead the promotion of concrete pavement, and align its members, chapter affiliates, and technology partners for effective concrete pavement promotion, advocacy, and technical support on behalf of the concrete pavement industry. Founded in 1963, ACPA is the world’s largest trade association that exclusively represents the interests of those involved with the design, construction, and preservation of concrete pavements. AMERICAN CONCRETE PAVEMENT ASSOCIATION 9450 BRYN MAWR AVE., STE. 150 ROSEMONT, IL 60018 phone: 847-966-2272 fax: 847-966-9970 WWW.ACPA.ORG Copyright © 2022 by the American Concrete Pavement Association, Rosemont, Il linois. The contents of this publication may not be reproduced or distributed electronical ly or mechanically, either in whole or in part, without the express written consent of the American Concrete Pavement Association. T A B L E O F 21 Misconceptions in Subcontracting By Thomas R. Olson & Rielly J. Lund 24 ACPA NEWS 24 Airport Workshop in Indianapolis Aug 2–4 24 Strategic Plan 26 ACPA Mid-Year Meeting 27 Concrete Pavement Industry Supports FHWA Climate Challenge 28 Advertiser Index 04 Mid-Year Meeting Establishes Association Priorities By Laura O’Neill Kaumo 06 Pavement Type Competition Benefits Owners and Taxpayers By Sheryl S. Jackson 10 Innovative Approaches Address Today’s Challenges By Sheryl S. Jackson 17 Filling the Leadership Pipeline By Sheryl S. Jackson ACPA STAFF Laura O’Neill Kaumo President & CEO Andy Gieraltowski Chief Operating Officer Amber Davis Events Coordinator Eric Ferrebee, PE Senior Director of Technical Services Dominic Gatti Communications & Government Affairs Manager Valerie Kliment Assistant Accountant Anna McMullen Director of Membership & Chapter Relations Gary Mitchell, PE Chief of Engineering & Construction Chrissy Mysko Marketing Manager Larry Scofield, PE Director of Pavement Innovation Ann Shlimon Comptroller & Benefits Manager EDITORIAL Sheryl S. Jackson For ACPA 2022 BOARD OF DIRECTORS Ed Griffith, Chairman St. Marys Cement Company Steve Friess, 1st Vice Chair Milestone Contractors, LP Ernie Peterson, 2nd Vice Chair Ash Grove Cement Company Don Weaver, 3rd Vice Chair Weaver-Bailey Contractors, Inc. David Howard, Immediate Past Chairman Koss Construction Dan Rozycki, Treasurer & GAC Co-Chair The Transtec Group, Inc. Kevin McMullen, C/S Committee Chair Wisconsin Concrete Pavement Association Steve Ambrose GCC America Patrick Cleary Holcim US Toby Knott Lehigh Hanson, Inc. Bob Leonard GOMACO Corp. James Mack CEMEX Don Metcalf Webber, LLC Jason Reaves, C/S Committee Vice Chair ACPA – South Dakota Chapter Nathan Reede Reede Construction, Inc. John Roberts, Ex Officio IGGA Dave Sciullo Golden Triangle Construction Co., Inc. Rick Sniegowski K-Five Construction Ed Wessel Hi-Way Paving ADVERTISING & DESIGN LLM Publications 503-445-2220 800-647-1511 www.llmpubs.com President Stephen Bloss Design & Layout Jon Cannon Sales Representative Grandt Mansfield grandt@llmpubs.com

Concrete Pavement Progress 4 www.acpa.org E D I T O R I A L RECENTLY, ACPA GATHERED IN NEWPORT, RHODE ISLAND, TO HOST OUR MID-YEAR MEETING. For those of you not in attendance, or who may have never traveled to Newport, it is a gorgeous seaside town! The picturesque weather, coupled with the charming portside location, made for a truly wonderful event. Moreover, our meeting was extremely productive, and that’s the reason we host these events—to create an opportunity where the greatest minds in concrete pavement design and construction, as well as government officials, can convene to share the best of what the industry has to offer. With these goals in mind, we were delighted to welcome U.S. Representative Peter DeFazio of Oregon, Chairman of the House Transportation and Infrastructure Committee, who spoke at our Government Affairs Committee Luncheon about the Bipartisan Infrastructure Law (BIL), the advantages concrete pavement brings to the nation’s infrastructure system, and the Biden Administration’s pavement-related priorities.The members were engaged throughout the threeday event and reflected that ACPA’s team hit it out of the park. Coming out of this successful meeting, it’s clear that this association is headed in a positive direction, positioning itself to meet future challenges and opportunities—including communicating more effectively about sustainability, resiliency, climate change, workforce shortages, etc., to a broader audience. At the meeting, ACPA’s Board approved a Strategic Plan. The member-drafted plan represents more than six months of work from a committee that included voices from cement, contracting, equipment/materials distribution, State/ Chapter Executives, and staff. Thanks to all who served on the Committee: Sarah Bazey, Patrick Cleary, Steve Freiss, Ed Griffith, Tyler Jensen, Mike Lipps, Greg McCormick, Kevin McMullen, Greg Mulder, and Gordon Smith. Our new plan focuses on objectives to grow membership, strengthen the Chapter/State network, invest in data access that helps us better understand our markets and support our promoters at the state level, invest in emerging leaders, and achieve our mission of developing and protecting concrete pavement markets. Mid-Year Meeting Establishes Association Priorities U.S. Representative Peter DeFazio, Chairman of the House Transportation and Infrastructure Commit tee, speaks to ACPA members. Also at the meeting we held two workshops— Sustainability 501 and 502—styled as advanced, “graduate-level” discussions on the sustainability of concrete pavements. As everyone has come to appreciate about ACPA, we lead on concrete pavement technical expertise, and we are now more focused on communicating this technical expertise, including concrete pavement’s sustainability benefits, to all of our audiences. ACPA has secured the services of an experiencedmarketing team that will developmessaging about concrete pavement’s advantages. The Portland Cement Association (PCA) has done a wonderful job with the Road Map to Carbon Neutrality. The materials now need to be turned into something that the “boots-on-the-ground” (our members) can utilize. Our marketing team is actively working with PCA to address the messaging needs of the concrete pavement industry. We are the only national voice solely dedicated to concrete pavement. While we recognize challenges such as a tightening cement supply, inflation, and shortages, we remain as resilient as our workmanship and our product. BIL is offering a once-in-a-lifetime investment, so keep the work coming, and we will deliver. For those who attended our Mid-Year Meeting, we thank you for your collaboration and industry support. For those who missed us this time, we look forward to seeing you in Nashville, November 29–December 1. Laura O’Neill Kaumo President & CEO American Concrete Pavement Association Laura O’Neill Kaumo President & CEO American Concrete Pavement Association

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Concrete Pavement Progress 6 www.acpa.org ECONOMIC STUDIES in a wide range of industries, such as manufacturing, retail, insurance, skilled trades, and others, have proven that marketplace competition results in better prices and quality for the consumer. According to research conducted at the Massachusetts Institute of Technology Concrete Sustainability Hub (CSHub), the same holds true for the pavement industry. “Competition in other industries proves that the greater number of bidders for jobs results in lower costs,” said Randolph E. Kirchain, Ph.D., CoDirector of theMITConcrete SustainabilityHub and Principal Research Scientist. Even whenmaterial costs rise for the contractor, manufacturer, or retailer, competition encourages innovation P A V E M E N T T Y P E C O M P E T I T I O N in processes, supply chain, and technology to minimize cost increases that affect the success of bids. CSHub researchers also estimated how changes in existing levels of market share between asphalt and concrete contractors would alter costs. “Our research shows that all states spend the majority of their funds on a single material—asphalt— while only a few state agencies approach parity,” said Kirchain. In one case study of an asphalt-dominatedmarket, the unit costs of concrete and asphalt paving materials fell significantly when inter-industry competition increased. Increasing concrete’s market share to 25%would cut unit costs by 29% for concrete and 8% for asphalt. These decreases would allow more paving on a fixed budget. CSHub’s ongoing economic research is based on aggregated historical bid information and material pricing data across all public projects. Ten years of data and 160,000 paving jobs are included, withmost states represented. “We don’t have data for Alaska, Hawaii, or New Jersey, but the information we do have gives a good idea of trends and benchmarks.” “There are a lot of policy-makers that are interested in stretching their budgets, but inertia exists in any system, including infrastructure,” said Kirchain. Contractors and industry representatives can help by educating elected officials, but Pavement Type Competition Benefits Owners and Taxpayers Lower costs and innovation add value to projects By Sheryl S. Jackson

www.acpa.org 7 Quarter 2, 2022 continues on page 8 » P A V E M E N T T Y P E C O M P E T I T I O N real change may only occur once state agencies see actual results in their regions. “One solution might be to begin with small projects that are Alternate Design/Alternative Bidding (AD/AB),” Kirchain suggested. “This is more of a challenge in states that exclusively use asphalt because they may not have design and engineering staff familiar with concrete.” In these cases, it is important for the concrete pavement industry to provide support, he added. History and Challenges “We are making some progress as we raise awareness of competition as a stewardship tool for state and local agencies,” said Leif Wathne, P.E., Associate Director of the National Concrete Pavement Technology Center (CP Tech Center). “Policy-makers and legislators aremostly unaware of the degree towhich a pavement typemonopoly has taken hold in their states.” The issue of promoting competition to benefit all types of pavement is not new, said Wathne. Following the enactment of the Federal-Aid Highway Act of 1956 (popularly known as the National Interstate andDefense Highways Act of 1956), $26 billion in federal funds were allocated to construct 41,000miles of an interstate highway system in the United States. “At the time, there was concern about the lack of pavement type competition, and the resulting lack of cost-effectiveness associatedwith this lack of competition, as concrete pavement dominated interstate construction in the early days of the program,” Wathne said. “In fact, AASH(T)O issued guidance in 1960 that clearly spells this out.” In a section on cost comparisons (what is now called life-cycle cost analysis) the guide states: … doubt as to the validity [of such analysis] arises in the case where on[e] type of pavement has been given monopoly status by the long-term exclusion of a competitive type. “The assertion is that the cost information is not meaningful unless you have project cost information to pull from,” said Wathne. “The guide continues in a section discussing competition: …It is desirable that monopoly situations be avoided, and that improvement in products and methods be encouraged through continued and healthy competition among industries involved in the production of paving materials. Highway officials of the day recognized the importance of establishing and maintaining competing industries in order to achieve competitive pricing, improve quality, and spur innovation.” Today, the Bipartisan Infrastructure Law provides approximately $350 billion for federal highway programs over a five-year period. It’s the most significant investment in highways since the National Interstate and Defense Highways Act of 1956’s investment, which would total more than $264 billion in today’s dollars. The volume of funding increases the need for pavement-type competition to ensure states have access to the best prices to maximize this investment’s reach. “Two challenges in states that lack a competitive marketplace include: a lack of concrete expertise on agency staffs; and a lack of cost information for concrete pavement to help inform a rational pavement-type selection process—an issue highway officials acknowledged over 60 years ago,” said Wathne. “ACPA’s network of engineers, university resources, and industry experts can help fill the design and engineering expertise gap and can also assist in determining reasonable concrete pavement costs by translating information from states with more competitive environments,” he said. “However, the most effective means to address these challenges is for agencies to send a clear signal to both industries that they are serious about marshaling the benefits of competition between industries—and taking a programmatic view of competition,” suggestedWathne. “Once confident that the agency is committed to the health of both the concrete and asphalt pavement industries, both industries will make the necessary investments in equipment, training, research, and innovation that enable improved quality and lower unit costs.” He added, “All of this is to the benefit of the agency and aligns squarely with the overarching objective of highway agencies as articulated by AASH(T)O over 60 years ago: … to assure the public of full value for their highway dollar.” A Tale of Two States Pennsylvania is one of the states with insufficient inter-industry competition. Less than 7% of pavement tonnages placed on PennDOT projects in 2021 were concrete, with virtually no concrete pavement work taking place in six of the 11 PennDOT districts, said JohnM. Becker, P.E., President of the Pennsylvania Chapter of ACPA. Concrete’s reputation as a long-lasting pavement material was damaged in the early 1990s by state standards that mandated concrete to be placed over open-graded, unstabilized stone. “Before the end of the decade, we had miles of mid-slab cracking, and to this day, some of the slabs built with those standards continue to move because of secondary consolidation,” Becker said. “It took more than five years for the agency to rectify the standards for newwork, but by then, the damage in the confidence of concrete pavement was done.” Concrete pavement performance on the Pennsylvania Turnpike is another story. All interchanges and all expansion work, including the construction of the beltway around Pittsburgh, are concrete. This work represents a significant reason why the Pennsylvania concrete pavement industry recently delivered over 1.25 million square yards of pavement in one year, said Becker. “Unfortunately, the next major concrete paving work on the Turnpike is not expected to begin until later next year, leaving the industry with the opportunity to bid on just 500,000 squares of PennDOT work this year.” In recent years, PennDOT’s use of AD/AB has diminished, leaving even fewer opportunities to bid on work, said Becker. “One of the other challenges we face in this state are maintenance cycle policies used for Life-Cycle Cost Analyses that are flawed,” he said. “More asphalt is added to the concrete pavement alternate than the asphalt pavement alternate, which results in the price of asphalt having a disproportionate negative impact on concrete pavement.” Concrete pavement contractors in Iowa work in a different competitive environment than contractors in Pennsylvania, with the state’s design-bid-build process allowing for both types of pavement to be considered. “Overall, it is about a 50/50 split between concrete and asphalt pavement,” saidGregMulder, P.E., Executive Director of the Iowa Concrete Paving Association.The key to state, county, and local agencies considering both pavements for projects is a matter of proven performance over the years. “We have 40-, 50-, and 100-year-old concrete pavements performing well throughout the state, so the value of concrete is proven.” Policy-makers and legislators are mostly unaware of the degree to which a pavement type monopoly has taken hold in their states.

Concrete Pavement Progress 8 www.acpa.org P A V E M E N T T Y P E C O M P E T I T I O N » continued from page 7 State and local decision-makers also understand the importance of a competitive marketplace, said Mulder. “When an agency receives five different bids on the same project, it is obvious that a clear decision on the bid that offers the best value can be made,” said Mulder. “The Iowa concrete paving industry has worked with Iowa owner agencies for a long time, and representatives meet with, listen to, and respect the perspective of keeping the quality of the end product as the center of the discussion.” This collaborative and open approach to both pavement solutions has produced a number of benefits that go beyond cost savings and have affected the overall concrete pavement industry, said Mulder. “Our state culture of working with others has led to innovation,” he said. “We only get better as a pavement industry when we learn from each other.” Engagement & Education: Keys to Success Concrete pavement contractors and industry organizations are engaging state legislators and agency representatives in a variety of ways. In Pennsylvania, the Concrete Pavement Caucus— a group of state legislators who see the value in inter-industry competition—along with other legislators who serve on transportation committees and PennDOT representatives, joined industry members on a tour of concrete pavement projects that included mainline paving, a recently-constructed concrete roundabout, and a tour of a portable batch plant. “We also work with government affairs consultants touse research information fromtheCSHub to explain the benefit of competition,” said Becker. “With amonopsonistic highwaymarket (amarket dominated by one buyer), PennDOT is uniquely positioned to influence the paving market and the level of competition between the paving industries. And with true competition comes lower unit costs for both pavement types and better quality, which is a win-win for both the department and Pennsylvania taxpayers.” The need for competition between pavement types will increase as the funds from the BIL are distributed to states, said Wathne. “This anticipated increase in work will strain existing supply chains if only one pavement type is considered,” he said. “Diversifying the supply chain by awarding projects to both industries increases overall paving capacity with more contractors involved and keeps costs down by reducing the risk and likelihood of market saturation and a shortage of materials,” he said. What’s more, addressing the expertise gap in state and local agencies can easily be overcome with just-in-time training provided through local ACPA Chapter contacts and universities or by partnering with local engineers and designers who have the needed expertise. “Lack of training is not a reason to exclude one pavement type; it is more prudent and equitable to plan staff education if needed,” said Wathne. “Fundamentally, ensuring inter-industry competition is a critical component of good stewardship.” He added, “There are, of course, challenges, but none of them are insurmountable problems if we are willing to apply lessons learned from the past.”

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Concrete Pavement Progress 10 www.acpa.org T E C H N O L O G Y P A R T I Address Today’s Challenges INNOVATIVE APPROACHES Technologies ensure sustainable, resilient, and high-performing pavements By Sheryl S. Jackson

www.acpa.org T E C H N O L O G Y , P A R T I INNOVATION IN THE CONCRETE PAVEMENT INDUSTRY IS NOT JUST “A NICE THING TO HAVE” but is a necessity to ensure that contractors can meet owner and agency expectations for long-lasting, environmentally sound, low-maintenance pavements that provide the most value for the dollar. The concrete pavement industry has forged ahead with innovations enhancing the sustainability, efficiency, and quality of concrete pavements. Driven by a pursuit of excellence and helped along by various federally funded research projects and private-sector research and development initiatives, the industry has developed a growing number of options to reduce the environmental impact of concrete pavements. A fewof themany innovations that have propelled the concrete pavement industry forward are explored in this article—the first of a two-part series looking at the techniques and technologies shaping the concrete pavements of today and tomorrow. Portland limestone cement: reducing greenhouse gas emissions As project owners raise their expectations for greener, environmentally sound construction practices, portland-limestone cement (PLC) offers pavement contractors an option to meet continues on page 12 » expectations while maintaining high strength and quality standards. PLC is a cement with up to 15% limestone content, which results in a reduction of greenhouse gas emissions by an average of 10–12%.1,3 “We’ve been using PLC in trials, demonstration projects, and full-scale projects for about 15 years and found that it works equally as well as portland cement,” says Jason Weiss, Ph.D., Professor of Civil and Construction Engineering at Oregon State University. Designed as a direct substitute for portland cement, the use of PLC is not disruptive to a contractor’s normal operations. “A slight adjustment to admixtures may be needed, but other than that, no changes in operations or equipment are required.” In 2018, only 27 state transportation agencies had standards that allowed PLC use. As of February 2022, the number has grown, with only six state agencies not yet having approved the use of PLC.2 This widespread acceptance of the product will increase manufacturers’ ability to produce PLC for more markets. “There is only a certain amount of storage space, so many cement producers will only produce one type of cement at a plant,” Weiss said. “As demand for the product grows, so will supply.” In addition to reducing the carbon footprint of concrete pavement, the production of PLC has the added benefit of extending the life of quarries, said Weiss. The broad focus on sustainability and a need to better use resources will continue to drive the use of PLC in concrete pavement. “I estimate that in a few years, PLC will be the dominant cement used in the United States,” says Weiss. Real-time smoothness: achieving smoothness during paving One of the most significant technologies developed as part of the Second Strategic Highway Research Program (SHRP) is real-time smoothness (RTS), said Peter Taylor, Ph.D., Director of the National Concrete Pavement Technology Center at Iowa State University. Because pavement smoothness is a prominent aspect of a road that the general public notices, state agencies set standards for smoothness. However, achieving smoothness has never been an integrated part of the whole paving process. Instead, contractors would do the best they could to lay a smooth pavement, but agency measurements after constructionmight require grinding or removal and replacement of pavement sections. “An RTS system helps contractors meet smoothness requirements as the pavement goes down,” 11 Quarter 2, 2022

www.acpa.org T E C H N O L O G Y , P A R T I said Taylor. Using a device bolted on the back of the slipformpaver, the contractor can view information in real-time to identify adjustments that need to be made. Three to four demonstration projects each year have been supported by SHRP, and lessons learned from the projects include: • The contractor and agency can “see” things in real-time which used to take 24–48 hours. • RTS is well suited for identifying operational changes on smoothness, tuning the paver, quality control, and troubleshooting and correcting problems early. • RTS improves the paving process overall through better quality and improved efficiency. While contractors see an immediate financial benefit when smoothness bonuses are included in a contract, acceptance by the on-site crew can be a challenge at first, said Taylor. “In one demonstration project, the crew was very skeptical of the device as we bolted it to the paver, but on the second day, the foreman saw the benefits of seeing the information on a screen in real-time as he adjusted the paver,” Taylor said. RTS systems enable the contractor to evaluate the effect of adjustments—negative or positive—almost immediately rather than 18–36 hours later when hardened profile data is available. “On the third day, the remaining crew members agreed that RTS was a valuable tool.” » continued from page 11 There is a growing use of RTS systems, said Taylor. “In Iowa, all but one contractor uses RTS,” he said. “It is important to remember that the information provided by RTS is a guide to help the contractor produce a smooth pavement while paving, the data is not used by agencies for project acceptance.” RTS aids agencies, owners, and contractors with quality control, improved paving efficiencies, and a better pavement, according to Taylor. “It is a tool that helps contractors sleep better at night,” he said. Nanotube concrete: increased strength and durability The use of carbon fibers to improve concrete pavement’s flexural strength and resistance to cracking is not a new concept, but the use of carbon nanotubes in concrete pavements is pushing the cutting edge of the approach. After his company developed its proprietary method of producing carbon nanotubes (CNTs), the next step was to identify where the technology adds the most value, saidRobert Cavaliero,MCE, Vice President of EdenCrete® Admixtures at Eden Innovations. “Conventional fibers provide crack-resistance, but CNTs are much stronger and more durable than conventional fibers, even stronger than carbon nanofibers,” said Cavaliero. One of the early tests of CNTs in a pavement maintenance project was conducted by the Georgia Department of Transportation. Two 35-footlong test sections were placed on I-20 near the border between South Carolina and Georgia. The “control” was poured with the standard 24-hour accelerated concrete mix formula used by the Georgia Department of Transportation. “The CNT admixture significantly increased abrasion resistance and compressive strength of the concrete,” said Cavaliero. “Following the test, GDOT specified the product to be used for full-depth slab replacements using 24-hour accelerated concrete.” The minuscule size of the carbon nanotubes—up to 50,000 times smaller than a hair—means they are respirable in a dry form. To overcome this challenge, the admixture was designed as a liquid suspension of CNTs able to be transported and added to concrete safely and easily, just like any standard concrete admixture. “This alleviates the risk toworkers,” saidCavaliero. Adding nanotubes to a concretemix causes lower permeability, resulting in pavements that are easier to place and finish and achieve higher ultimate tensile and compressive strengths in some cases. Pavements with nanotubes also have improved durability with greater resistance to wear and shrinkage-related cracking and curling, resistance to scaling from deicer chemicals, and a lower tendency of steel corrosion. The future of concrete with CNTs is bright, with projects inColorado, Georgia, Kansas, North and SouthCarolina, Texas, andUtah, at port authority Driven by a pursuit of excellence and helped along by various federally funded research projects and private-sector research and development initiatives, the industry has developed a growing number of options to reduce the environmental impact of concrete pavements. continues on page 14 » Concrete Pavement Progress 12

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» continued from page 12 terminals, and at several airports showing excellent results, said Cavaliero. “The use of this admixture fits well with sustainability and resiliency goals as we all work to reduce cement content without sacrificing durability and long service life for concrete pavements,” he said. Remote diagnostics: beyond fleet monitoring Telematics systems are becomingmore prevalent in the concrete paving industry, providing the capability to diagnose and repair issues with the paver. “With remote diagnostics, we can monitor the engine as well as other paver accessories such as tie bar inserters, side bar inserters, power transition adjusters, 3D and stringline grade, and steering control systems,” said Kevin Klein, Vice President of Engineering and Research &Development for GOMACO. “Even the smoothness of the pavement being produced can be monitored.” His company’s system can also be used for fleet management and tracking paving equipment throughout the season, like any off-the-shelf telematics. Alerts for service indicators can be created to help develop a machine maintenance schedule, and machines that are properly maintained and serviced are less likely to develop mechanical problems, said Klein. Alerts can be set for oil changes, filter changes, low fluids, or for a specific, detailed machine parameter, such as engine emission equipment failures. While fleet management is important, remote diagnostics adds extra value by allowing an inside service team member located anywhere in the world to “see” how the equipment is performing and identify solutions to problems, said Klein. If the adjustments or settings can be made on-site, the service team walks the contractor through the process. “If the problem is bigger than simply changing some control function settings, it is possible to download software updates to rectify an issue,” Klein said. “Revisions to software can be transmitted to the machine and in coordination with the operator, put the machine in a ‘safe state,’ so the update process can be initiated.” “The only obstacle to use of the remote diagnostics is a lack of cellular connectivity. There are yearly subscription costs that include cell service and the data portal where the telematics data are stored while in use.” His company includes a two-year subscription for each piece of new equipment, said Klein. The data collected via the remote diagnostic system helps the manufacturer develop future upgrades that improve the performance of the equipment, but more importantly, it helps the contractor. “The contractor gets help without waiting for a service technician to arrive on-site, whichmeans the equipment is back to working properly much sooner,” said Klein. Testing PerformanceEngineered Mixtures: predicting long-term performance While concrete has traditionally been accepted based on measurements like strength, slump, and air, these measurements, in their current form, have very limited correlation to future performance, said Abbas Taghavi, Ph.D., P.E., Project Manager at Transtec. “However, recent Concrete Pavement Progress 14 www.acpa.org T E C H N O L O G Y , P A R T I

www.acpa.org 15 Quarter 2, 2022 developments in concrete testing technologies have yielded methods that are better predictors of long-term performance,” he added. “The goal of the PEM Transportation Pooled Fund—TPF-5(368): Performance-Engineered Concrete Paving Mixtures—is to bring these newer technologies to state agencies and to assist states in the adoption of the test methods that will help them deliver on the promise of durable concrete,” said Taghavi. “It is a coalition of federal, state, and industry leaders dedicated to maximizing pavement performance.” With advanced testing, owners, contractors, and end-users all benefit from PEM use. These benefits include: Owners/Agencies • Get beyond prescriptive determinants of concrete quality (e.g., slump, strength, total air content) to incorporate tests that correlate with service-life durability (e.g., resistivity, box test, unit weight, entrained air). • Obtain quality control information to confirm the acceptance criteria (i.e., statistical approach for sampling and testing to ensure consistency of material production). • Define desired characteristics of the product, and allow the contractor to control how to provide it, resulting in a reduced oversight burden on the agency. Contractors • Leverage quality control by developing updated practices incorporating the tests (e.g., resistivity, box test, unit weight, entrained air). • Increase ability to innovate in construction techniques with minimized control restraints from the agency. • Reduce material (cement) usage by optimizing the mix. End Users • Produces durable pavement that results in less maintenance/reconstruction and road closure. • Reduces cement content, which achieves sustainability goals. • Improves user experience (e.g., ride quality, fuel usage). The Federal Highway Administration, 19 state departments of transportation, and four national associations representing the concrete industry have come together to fund the project, which began in October 2017 and is scheduled for completion on December 31 of this year. Look for a discussion of innovations that are helping the concrete pavement industry meet the challenges of the future in the next issue of Concrete Pavement Progress. References: 1. Portland Cement Association, Portland-Limestone Cement and Sustainability. https://www.cement.org/ sustainability/portland-limestone-cement. 2. Schexnayder CJ. Producers Shift to Make More Lower-Carbon Portland-Limestone Cement, Engineering News-Record. https://www.enr.com/ articles/53850-producers-shift-to-make-morelower-carbon-portland-limestone-cement. 3. Bharadway K, Choperia KST, Choudhary A, et al. CALTRANS: Impact of the Use of PortlandLimestone Cement on Concrete Performance as Plain or Reinforced Material–Final Report. https:// doi.org/10.5399/osu/1150. T E C H N O L O G Y , P A R T I

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www.acpa.org 17 Quarter 2, 2022 LABOR SHORTAGES IN ALL AREAS OF CONSTRUCTION HAVE BEEN WELL-DOCUMENTED over recent years, but the talent gap does not just apply to employees working in the field. “Our industry’s aging workforce represents a need to identify the next generation of leaders who can take over when current leaders retire,” said Art Thompson, Executive Director of the North Dakota Concrete Council.Thompson chaired the search committee charged with finding the best fit school for a new CIM program in the North C O N C R E T E I N D U S T R Y M A N A G E M E N T P R O G R A M continues on page 18 » Filling the Leadership Pipeline CIM program attracts and prepares talent for the future By Sheryl S. Jackson Central region. “Creating a pipeline of future leaders is not a simple task, but one solution has been in place since 1996 when members of the concrete industry joined together to create a four-year curriculum for a Concrete Industry Management (CIM) program that was initially offered at Middle Tennessee State University.” While different construction degree programs might include a class on concrete for one semester, the CIM program focuses on concrete throughout the curriculum and uses a combination of classroom teaching, lab experience, field trips, and internships to prepare students for careers in the industry, said Thompson. CIM is a joint initiative of a growing number of universities supported by networks of local, state, and regional concrete industry producers, suppliers, and contractors. “The curriculum is overseen by the National Steering Committee (NSC) of CIM and the education subcommittee to ensure that students learn

Concrete Pavement Progress 18 www.acpa.org C O N C R E T E I N D U S T R Y M A N A G E M E N T P R O G R A M » continued from page 17 what they need to succeed in our industry,” said Thompson. “Their experience in the lab, visiting concrete operations, and working in the industry while interning means they understand the opportunities and choose a career in concrete.” In addition to concrete industry knowledge, students graduate with a minor in business which prepares them for entry- tomiddle-level management positions, he added. “We’ve hired two CIM interns, and one has joined us full-time,” said Chris Carwie, Business Development Manager at AG Peltz in Birmingham. “We’re actively seeking interns from the CIM program because they have a leg up on other applicants; they already understand the basics of concrete.” The company interviews students and participates in research programs to support the university program. History of CIM Since its inception in 1996, more than 80% of CIM graduates have continued to work in the industry. This has beenmade possible due to the concrete industry’s continued strong support of CIM through the involvement and financial support of the NSC. Many of the industry’s associations, foundations, companies, and Patron’s Groups have provided financial and in-kind support to the CIM program. Following CIM’s inception at Middle Tennessee StateUniversity, the programhas expanded to the New Jersey Institute of Technology, California State University-Chico, and Texas State University.The newest program is at SouthDakota State University (SDSU), which was launched in 2021. In addition to the four-year degree program, an Executive MBA in CIM is also available. SDSU CIM Program Director and Associate Professor of Practice Timothy Hostettler has previous experience that made it possible to launch the program quickly. A 35-year veteran of the concrete industry with 20 years in management, Hostettler’s involvement with CIM began in 2009 in California. He was managing a ready-mix facility and was asked to co-teach a course on facilitymanagement at California State University-Chico. His faculty partner resigned two weeks before the class began, so Hostettler taught the class solo and continued to take on other teaching responsibilities until 2017 when he moved to South Dakota for a business opportunity. “It was destiny that SDSU was chosen as the site for the newest CIMprogram and that I was here in South Dakota,” said Hostettler. Entry-level classes were taught in the 2021–2022 school year, and the full program will launch in the 2022–2023 school year. “We had four students in the first year, even though we had no time to recruit,” he said. Presentations to students with undeclaredmajors yielded one CIM student and another young woman who “stumbled” across the program in the course catalog. “Recruitment of students is a big focus for the upcoming year,” said Hostettler. He is visiting state industry associations in his 11-state area to

www.acpa.org 19 Quarter 2, 2022 C O N C R E T E I N D U S T R Y M A N A G E M E N T P R O G R A M promote the program and ask them to talk about the program with their members. “As we build the program, the easiest students to recruit are those who have family members already working in the industry,” he said. “I’m talking about the program to corporate leaders, but we need to get the word out to rank and file employees.” With state associations and companies offering scholarships, there is even more incentive for students to consider the program, he added. “A full-time recruiter is the next staff person to hire.” Although the NSC sets the CIM curriculum, Hostettler has tweaked it a bit to ref lect the unique situation at SDSU. “Other CIM programs often get students who have completed two years of community college or trade school, but South Dakota does not have a community college system,” he said. “This means that I will have more freshmen, which means they have never had a safety class.” He has created a safety class for first-year students in the SDSU program to ensure they have the proper training before visiting cement facilities, batch plants, or job sites. Launching a New Program The first step to establishing a program in a region is the creation of a Patrons Group that consists of concrete industry members and associations in the area that commit to financial support of the program, saidThompson. “The group commits to $100,000 per year for five years, andCIMprovides a matching grant to bring the total to $1 million,” he said. The university uses these funds to staff and support the private-public partnership. “In addition to the foundational funds to support the university program, a number of scholarships are available to students to minimize the cost of education.” Once funding is assured, universities in the region are asked if they are interested in offering the program. “For the North Central region, five universities responded positively, then we scheduled site visits to meet with faculty and administration and tour the facilities,” said Thompson. The group was narrowed to two for the NSC to make the final choice. “SDSU set themselves apart from the others with their proven track record of private-public partnerships, including an architectural program that is fully accredited,” said Thompson. Full accreditation of the program is an expectation from the CIM organization. “It was clear that they want to work with industry.” Thor Becken, the owner of the Minnesota-based ready-mix company Cemstone , was a key driver in establishing a CIM program in the North Central Region. His family-owned company has been in business for 95 years, and he sees the need to develop industry leaders for the future. CIM programs include internships to give real-world experience to students and hold career fairs to connect industry representatives with graduates. “We needed a program in the Midwest because it is difficult to recruit students to leave their region for an internship or a job after graduation—they usually stay in the region of the school they attended,” he said. “Our region includes 11 states, and we have support from companies and associations in all 11 for the SDSU program.” There are several ways concrete industry companies and individuals can support the program, said Becken. “In addition to financial support, there is always a need for field trip sponsors, guest speakers, internships, and research and development projects that include student participation.” This is in addition to spreading theword about the program and making sure company employees know about the program, he said. Hostettler has a good story to tell when encouraging students to consider the concrete industry as a career. His oldest son graduated from the CIM program at California State-Chico while Hostettler was teaching and is now heading up an aggregate operation for a cement producer. His other son is an operations manager for a ready-mix company. As members of the concrete industry look at the next several years and build a pipeline of leadership for the future, CIM programs are an important resource, said Hostettler. “We have to overcome the perception that all people who work in the concrete industry are laborers, and this program demonstrates the range of professional careers that exist in our industry.” To learn more about the program, visit www.concretedegree.com or https:// www.sdstate.edu/construction-andoperations-management/concrete-industrymanagement. As members of the concrete industry look at the next several years and build a pipeline of leadership for the future, CIM programs are an important resource.

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www.acpa.org 21 Quarter 2, 2022 C O N S T R U C T I O N L A W continues on page 22 » ONE OF THE GREATEST MISCONCEPTIONS that we see with our clients is the right to negotiate the terms in a subcontract. There is a principle in contracting known as “promissory estoppel” which protects general contractors fromhaving a bid withdrawn by a subcontractor. While courts differ around the country in how specifically the principal applies, in general the following is true: (1) a clear and definite promise; (2) the promise was made with the promisor’s clear understanding that the promisee was seeking an assurance upon which the promisee could rely and without which he would not act; (3) the promisee acted to his substantial detriment in reasonable reliance on the promise; and (4) injustice can be avoided only by enforcement of the promise. Misconceptions in Subcontracting By Thomas R. Olson & Rielly J. Lund Schof f v. Combined Ins. Co. of America, 604 N.W.2d 43, 49 (Iowa 1999). In general, this comes up when a subcontractor refuses to enter into an agreement after a general contractor uses the subcontractor’s pricing as part of a successful low-bid. Then, when the general contractor must find a replacement, the cost to the general contractor has increased dramatically (this is where the “detrimental reliance” comes in). If the elements of a claim are all met, the damages are typically the difference between the bid of the subcontractor, and the replacement cost after the subcontractor’s refusal to either enter into the subcontract or perform. Our reason for including the above information is as a background to the general principles of contracting, and why general contractors may rely on a subcontractor’s price in a bid. Where issues tend to arise are a misunderstanding of the doctrine as applied after bids are awarded and before a subcontract is signed. Just because a general contractor relied upon a subcontractor’s price in its bid, does not mean that the general contractor can force the subcontractor to sign a subcontract with unfair language under the threat of going to someone else and charging any damages to a subcontractor. The subcontractor has a right to negotiate terms that do not conflict with its bid and do not impact its pricing. Please remember, laws change from state to state and greatly depend on the specific facts of each case. You should consult with a lawyer for any

Concrete Pavement Progress 22 www.acpa.org C O N S T R U C T I O N L A W legal questions relevant to your particular situation. When we review our client’s contracts, what we are most looking for is fairness. So much in contracting has gotten to be, how can we completely shift liability no matter who is at fault? With that being said, below are a small sampling of contract clauses the we typically seek to adjust to get a fairer outcome. Incorporation of Bid Proposal As a subcontractor, when you submit your pricing, you may have various inclusions, exclusions, or other stipulations in your proposal. Subcontracts typically have sections outlining what exactly is included in the subcontract documents. The majority of the time, the subcontractor’s proposal is not included in the recitation of documents. When representing subcontractors, we always seek to have this added. If there is pushback, we often tell our clients to say something along the lines of the following: “Our proposal to you was expressly based on the terms in our quote. If you are now saying those terms do not apply, please let me know and I can provide updated pricing for you based on these new terms.” Most of the » continued from page 21 time, the proposal is incorporated. If there is still pushback, you need to carefully review your proposal and see what will be impacted without it incorporated. Specifically call these items out and ask that they be included in the subcontract if the entire proposal will not be incorporated. Scheduling The typical subcontract does not include any duration, allow any input from the subcontractor on timing or sequencing, and requires the subcontractor to start work, usually within 3–5 days of notice, and adjust its work to match any subsequent schedule revisions. This allows general contractors to ostensibly schedule the work as necessary in order to complete the overall project on time. However, this clause can easily be abused, and a recent example from a client demonstrates just how badly it can impact you. Our client was a paving subcontractor, and was not anticipated to be on the job until towards the end of the project. There were severe project delays before our client was even supposed to be on the job, caused in large part by the general. Before our client was set to begin work, the general issued an updated schedule cutting our client’s paving duration by more than half. As a result, per the contract, our client had to choose between accelerating or facing liquidated damages. While we were able to help our client come to an acceptable resolution and not incur out of pocket costs, had the scheduling clause been negotiated at the front end, we likely would not have been needed. As a subcontractor, you should demand that your as-planned durations cannot be shortened without acceleration compensation. We always recommend that schedules must be “mutually agreeable.” This does not allow either party to unilaterally make changes that will impact the other. Damage for Delay A good follow-up to scheduling is a no damage for delay clause. Typically, subcontracts include language that states subcontractors are only entitled to compensation for delay if the general contractor receives compensation from the owner. On the flip side, the general contractor is entitled to compensation for any damages the subcontractor causes by its delay. In other words, a general contractor is not liable for any delays caused by itself (the general obviously VISIT 2022MEETING.ACPA.ORG FOR MORE

C O N S T R U C T I O N L A W www.acpa.org Thomas Olson is the founding partner of Olson Construction Law. Tom’s commitment is to provide guidance on how to resolve issues on the jobsite, not in the courtroom. Tom has worked on highway heavy projects throughout much of the United States for more than thirty years. A prolific speaker and writer as well as attorney, his expertise is in concrete and asphalt paving, utility, earthwork and bridge construction, schedule analysis, material testing, and the technical and legal obligations of both engineers and contractors. Rielly Lund is a committed advocate for contractors, with the ability to quickly and accurately analyze a client’s issue within the parameters of each specific contract. Rielly works with contractors through all stages of construction, from bidding to acceptance, with the goal of minimizing risk and maximizing profits for contractors. With this in mind, Rielly enjoys discussing various contractual requirements with contractors before issues arise, so they are best able to meet any challenges head on. ABOUT THE AUTHORS won’t be paid by the owner if the general is the one who delayed the project). We recommend that any waiver of liability makes it clear that if the general contractor is the one that causes delay, it is still liable despite the “no damage for delay” clause. Again, this comes down to fairness in contracting: if the subcontractor delays the general, it makes sense that the subcontractor needs to pay for the damages, so doesn’t it also make sense that the general should likewise pay the subcontractor for delays it causes? Payment Terms Very often payment clauses include language such as: “payment to the subcontractor is expressly conditioned upon payment from the owner for the work.” While this certainly seems fair on its face, payment being conditioned on acceptance and payment by the owner, it fails to recognize instances inwhich the work was accepted but not paid for due to a delay or other damage caused by the general. While it can generally eventually be worked out through a payment bond, direct payment from the owner, etc., subcontractors will often be hit with the blanket defense of “payment is not due until the owner pays, regardless of who caused damage.” A simple inclusion of the phrase “unless the general is the cause for nonpayment by the owner” can cut out the time that would be required to fight over the right to payment. Disputes Finally, the dispute resolution clause can cause issues if you don’t read it carefully. First, review to see what the clause requires, mediation, arbitration, litigation, etc. While the clause likely incorporates the general contract dispute clause should the owner also be involved, what happens when it is a dispute between just the general and subcontractor? While the time and expense of litigation has made our office a fan of arbitration, that process isn’t for everyone, and you should be clear on your preferences. The clause likely includes a venue clause, i.e., where the dispute will be settled. Often, general contractors include the location of their office, which can be a problem for the nationwide nature of contracting. If you cannot come to agreement, we recommend requesting the location of the project as venue, as that is where the project is and most of the witnesses will be. Additionally, the clause may address attorney’s fees. We typically see the subcontractor liable for attorney’s fees regardless of who the prevailing party is, liable for defense costs regardless of who the prevailing party is, and zero liability for the general contractor. We typically recommend that the attorney fees either be completely taken out, or that it is adjusted to only award fees to the prevailing party, and allowing both the general and the subcontractor to recover when they are the prevailing party. Conclusion The above is just a small sampling of issues we regularly see. There are numerous others that come up, and we want to again highlight that this is not legal advice and that you should consult with an attorney. The above is meant as an example as towhy it is so important for subcontracts to be reviewed before signing. And again, while generals can hold subcontractors to the bid price, subcontractors cannot just be required to sign any subcontract that could shift liability and responsibility fromwhat was bid on. If you work towards a position of the party causing the issue being responsible, you will be on the right path towards negating the subcontract. Subcontracts should be based on fairness for both parties. 23

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