The Publication for Merit Shop Pipeline Contractors AMERICAN PIPELINE CONTRACTORS ASSOCIATION 4th Quarter 2024 APCA Plans Post-Election Strategy Pipelines and Nuclear Missiles: A Lesson from Ronald Reagan APCA Holds Largest-Ever Mid-Year Meeting Department of Labor Releases Guidance on AI Usage in the Workplace Texas Sues Biden Administration over Lizard Protection Astronaut Mike Mullane Delivers the Mid-Year Keynote Address
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PIPELINE CONTRACTORS JOURNAL | 4th Quarter 2024 5 Officer Directors Official Publication of the American Pipeline Contractors Association Board of Directors Publication Staff PO Box 638 Churchton, MD 20733 (703) 212-7745 • www.americanpipeline.org ©2024 American Pipeline Contractors Association Nick Bertram Jomax Construction Co., Inc. Mike Castle, Jr. Castle Paul Cook. Sunland Construction, Inc. Scott Coppersmith (Advisory) Mears Group, Inc. David Dacus (Advisory) Troy Construction, LLC Taylor Dacus Troy Construction, LLC Shannon Driver Holloman Corporation Ricky Dyess M.G. Dyess, Inc. John Fluharty (Advisory) Troy Construction, LLC Patrick McRae Mers Group, Inc. Adam Nietsche Pumpco, Inc. Sean Renfro (Advisory) Sunland Construction, Inc. Aaron Simon (Advisory) Troy Construction, LLC Publisher Timothy Wagner Editor Michael Ancell Associate Editor Caroline Ferguson Advertising Sales Stacy Bowdring Information Technology Greg Smela Accounting James Wagner Layout & Design Joseph Wagner Government Affairs Jaime Steve Government Affairs Zachary Perconti President Roy Weaver Weaver, LLC President-Elect Kevin LaBauve WHC Energy Services Vice President Nick Bruno Bi-Con Services Secretary/Treasurer Chris Jones HardRock Infrastructure Services AMERICAN PIPELINE CONTRACTORS ASSOCIATION 4th Quarter 2024 APCA Plans Post-Election Strategy 7 By Zack Perconti & Jaime Steve APCA’s Government Affairs program has been hard at work in 2024 defending the interests of the pipeline construction industry, and our efforts have paid off. APCA has spent much of the last four years fighting against a Biden administration whose regulatory policies tilted strongly against our industry at nearly every opportunity. A second Trump term will bring an end to many of those concerns, though it will bring its own set of challenges. APCA members will find these challenges far easier to navigate, but continued engagement in Washington, D.C., will be key to preserving and building on our hard-fought gains. APCA Holds Largest-Ever Mid-Year in Music City 15 Nearly 200 APCA members, family, and friends traveled to Nashville, Tenn., in early October for the association’s 2024 Mid-Year Meeting where they tended to association business, partook in industry education, heard a fantastic keynote speech, networked with fellow members, and worked on getting out the vote in the November elections. And of course, everyone enjoyed the historic, boisterous, and fun-filled city of Nashville. Year-End Product Showcase 39 Human Resources | By Greg Guidry 9 Contract Law | By John L. Grayson 11 Industry Calendar 12 Safety Watch 30 News Briefs 33 Advertiser Index 42
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PIPELINE CONTRACTORS JOURNAL | 4th Quarter 2024 7 Inside Washington Continued on page 8 APCA’s Government Affairs program has been hard at work in 2024 defending the interests of the energy and pipeline construction industry, and our efforts have paid off. APCA has spent much of the last four years fighting against a Biden administration whose regulatory policies tilted strongly against our industry at nearly every opportunity. A second Trump term will bring an end to many of those concerns, though like any other, it will bring its own set of challenges along with it. APCA members will likely find these challenges far easier to navigate than those of the last four years, but continued engagement in Washington, D.C., will be key to preserving and building on our hard-fought gains. APCA can look back on the last year feeling good about its work here in D.C. Our year began with another successful joint APCA-PCCA fly-in in January. Following up from a series of successful visits and outreach by our Government Affairs Committee members, our members had a full day of meetings on Capitol Hill to advocate for the issues that matter to merit-shop pipeline contractors. Our efforts to advance sensible energy policy, workforce development, and permitting reform did not go unnoticed, receiving significant attention from congressional leadership. Our members will return to town for our 2025 Fly-in shortly after the new Republican Congress is seated and President Trump is inaugurated for his second term. Those visits—and our transition letter to the new administration—will help us waste no time getting our perspective in front of the new leadership in Washington. What does that leadership look like? At press time, votes were still being counted in a handful of outstanding states, but the outcome is largely clear. President Trump was swept back into the Oval Office with a commanding lead in electoral votes and the popular vote, the first President since Grover Cleveland to win non-consecutive terms. Republicans have solidly flipped control of the Senate, holding at least 53 seats. Several close House races remain uncalled, but the expected outcome is a very narrow Republican House majority. All-inall, Trump will likely return to the Oval Office with a narrow trifecta, giving him the opportunity to pursue major legislative and regulatory change. Much of the 2025 legislative agenda is still under discussion, but with Trump’s signature first-term accomplishment—the Tax Cuts and Jobs Act of 2017—about to have most of its provisions expire, we are sure to see major changes to the American tax code that are likely to benefit the business community. The lame duck Congress has quite a bit left on its agenda and not a whole lot of time to accomplish it. In the closing days of the 118th Congress, APCA will continue to advocate for bipartisan action on permitting reform, as well as damage and sabotage prevention language in the Pipeline and Hazardous Materials Safety Administration (PHMSA) reauthorization bill. However, the crowded end-of-year calendar means that this legislation and many other important bills may need to be punted to the next Congress. Congressional leadership Zack Perconti APCA Government Affairs Representative zperconti@americanpipeline.org (703) 677-6049 Jaime Steve APCA Government Affairs Representative jsteve@americanpipeline.org (202) 841-5493 APCA Plans Post-Election Strategy
PIPELINE CONTRACTORS JOURNAL | 4th Quarter 2024 8 Inside Washington Continued from page 7 will be busy with the transition process as well as negotiating an end-of-year government funding agreement and may not have time to fully address many other legislative priorities. In addition, with a Republican trifecta looming, certain bipartisan bills like the Energy Permitting Act of 2024 are likely to be scrapped. Republicans will have the ability to create their own iteration of the legislation and will want to capitalize on that. Meanwhile, the Democrats, having lost the White House and their Senate majority, will likely spend much of November and December focused on judicial and certain board confirmations. Biden and Senate Democrats will attempt to force a renomination of his NLRB chair through sometime in December, which will lock in Democrats’ control of the NLRB until 2026. Needless to say, APCA will continue to strongly oppose these efforts with all of our resources, including our grassroots Muster platform. Meanwhile, in the last days of the Biden administration, federal agencies continue to move forward on a variety of regulatory actions, including union-friendly changes to DOL/ OSHA regulations. Federal investment in various infrastructure and utility markets continues to gradually roll out, and the outgoing administration will work to push many of their priorities until the end of their term before the returning Trump administration begins to overhaul the federal apparatus. The incoming Congress and administration will be able to reverse many of these late changes in short order, either by rescinding the rule in question or through the Congressional Review Act, but those which have been in effect longer will have to go through the formal rulemaking process before they can be pulled back. This process takes time, and many of these Biden-era rules will remain in place for much of 2025. Nevertheless, Trump and his team will begin to roll back significant chunks of Biden’s legislative and regulatory record shortly after taking office. This includes many of the labor policy issues that APCA has spent the last four years fighting against. Policies like government-mandated project-labor agreements, changes to the joint-employer and independent contractor rules, the OSHA Worker Walkaround Rule, and others are virtually certain to be repealed or rolled back. Come January, the Biden administration’s “whole-of-government” approach to unionization is over. And while the outgoing administration is racing to complete their proposed study on the impact of LNG exports and will attempt to use said study to tie the incoming administration’s hands, we can expect the pace of approvals to increase significantly under Trump. The ban on new LNG export facilities is done for the foreseeable future. In short, the outlook for pipeline construction under the new administration is good. This does not mean, however, that APCA can afford to relax our advocacy efforts. Some proposals by the new administration bear monitoring, including potential tariffs on goods, including critical construction materials and equipment (and the broader economic consequences), the potential workforce impact of a crackdown on immigration, and the repeal of parts of the Biden-era Inflation Reduction Act. APCA and our industry allies will work closely with the Trump administration and the Republican congressional majority, including when it is necessary to tell them they need to take a different approach. For the last four years, the environment in Washington presented no shortage of challenges for the merit-shop pipeline construction industry. APCA Government Affairs remains committed to defending the interests of the industry in our nation’s capital, and as we look toward the incoming administration, we will count on the continued support and involvement of our dedicated members. APCA members have helped deliver change in Washington, and now we need to follow through to help Congress and the next President deliver the pro-energy, pro-construction, pro-business policies they were elected to carry out. 7 Provider of Launchers and Receivers for all Pipe Diameters Our Rentals Include: • Pig Launcher Rentals (4”-48”) • Pig Receiver Rentals (4”-48”) • Pig Sales • Valve Rentals 713-906-0271 candacetcrentals17@gmail.com tedbtcrentals@gmail.com www.tcrentalsinc.com P.O. Box 1688 • Tomball, TX 77377
PIPELINE CONTRACTORS JOURNAL | 4th Quarter 2024 9 Human Resources Continued on page 10 Like it or not, artificial intelligence (AI) is here and is not going away. Employers need to understand it and know how to handle issues that might impact their workplace. On October 16, 2024, the U.S. Department of Labor released comprehensive guidance for the use of artificial intelligence in the workplace. This publication is a direct response to an Executive Order issued by President Biden almost one year ago. The guidance can be found at dol.gov/ai. The DOL guidelines are “non-binding and [do] not supersede or modify any current policy, statute, or regulation.” The stated intent of the guidelines is “to aid employers and developers in mitigating potential harm to employees and maximizing the potential benefits of AI.” The guidance provides eight core principles that the DOL says should govern the use of AI in workplaces. The following list highlights the main points of the guidance: No. 1: Centering worker empowerment by ensuring that workers, especially those from underserved communities, are both informed about and actively involved in the design, deployment, and oversight of AI systems in the workplace. No. 2: Ethically developing AI to protect employee rights, avoid risks to employees, and meet performance and safety standards. No. 3: Establishing AI governance and human oversight in the use of AI systems, especially in significant employment decisions like hiring, compensation, and terminations. No. 4: Ensuring transparency in AI use by ensuring that employees and applicants are aware of the AI systems being used, the data being collected, and the impact of the use of AI on employment decisions. No. 5: Protecting labor and employment rights by ensuring that the AI systems do not violate or undermine the right of employees to organize, their health and safety rights, their wage and hour protections, or their protections against discrimination and retaliation. No. 6: Using AI to enable employees. In other words, AI should help employees by reducing the time spent on certain tasks and giving them the opportunities to enhance their skills. The DOL also recommends that employees should be rewarded for any increased productivity resulting from the use of AI. No. 7: Supporting workers affected by AI by providing training and opportunities to help employees adapt to AI-driven changes and mitigate the risks of job displacement. No. 8: Ensuring responsible use of employee data. The DOL recommends that use of employee data be limited to what is necessary for legitimate business purposes and that employers protect that data from internal and external threats. Additional Recommendations Additionally, the DOL also encourages employers to stay Greg Guidry Ogletree Deakins Nash Smoak & Stewart greg.guidry@ogletree.com (337) 769-6583 Department of Labor Releases Guidance on AI Usage in the Workplace By Greg Guidry The stated intent of the guidelines is “to aid employers and developers in mitigating potential harm to employees and maximizing the potential benefits of AI.”
PIPELINE CONTRACTORS JOURNAL | 4th Quarter 2024 10 Human Resources Continued from page 9 aware of legislative decisions and regulations surrounding the use of AI. The following is a summary of the DOL’s additional recommendations: • Employers should allow employees to be actively involved in AI system decisions to foster transparency, worker trust, and meaningful input. • As AI alters job functions, employers are urged to offer training programs to help employees transition to changing roles within the organization. Employers should also ensure that employees have adequate training on the proper use of AI in the workplace. • Companies should establish governance structures to ensure that AI does not replace human decision-making in critical employment areas. Julie Su, Acting Secretary of Labor, said in an Introductory Note to the guidance, “The Department of Labor will remain vigilant in protecting workers from the potential harms of AI, while at the same time, recognizing that this is a moment of tremendous opportunity. Whether AI in the workplace creates harm for workers and deepens inequality or supports workers and unleashes expansive opportunity depends (in large part) on the decisions we make. The stakes are high. But with these best practices and principles . . . we can seize this moment and promote innovation and prosperity for all.” Most of the federal labor and employment agencies, e.g., the Equal Employment Opportunity Commission, either have or are working on releasing their own guidances on AI. Stay tuned as this phenomenon continues to develop. 7 Most of the federal labor and employment agencies, e.g., the Equal Employment Opportunity Commission, either have or are working on releasing their own guidances on AI.
PIPELINE CONTRACTORS JOURNAL | 4th Quarter 2024 11 Regardless of how carefully you negotiate, draft, and finalize your contract and regardless of a long and cooperative relationship with the owner, issues and disputes can still arise. I recently became aware of a situation that arose between a sophisticated pipeline contractor and its long-time customer over a couple million dollars of change orders that is worth discussing. This situation reminded me of the famous phrase popularized by President Ronald Reagan when he was in the midst of nuclear weapon negotiations with the Soviet Union. Many of us remember when the United States and the Soviet Union reached certain historic agreements regarding nuclear missile weapons. Part of the agreement included provisions for inspection teams to confirm compliance with the agreement. Reagan and his Soviet counterpart, Mikhail Gorbachev, liked to talk about what good friends they had become and the news was full of photos of both leaders smiling and shaking hands at a ceremonial signing. But Reagan insisted on verification that the Soviets were complying with their agreement. Reagan, in assuring a nervous nation, famously commented, “We will trust, but verify.” After some quick research, I discovered that the phrase, “trust, but verify” is actually an old Russian proverb. In the case of the disputed change orders, the project was a substantial one and was proceeding normally when certain events required negotiation of some change orders adding time and money to cover adjustments to the project. The parties to the contract readily agreed the changes were necessary, and additional dollars and time were necessary. There really wasn’t much of a dispute at all about the circumstances giving rise to the need for the changes. However, once the proposed change orders had been drafted and exchanged, a disagreement arose. It seems the owner did not believe the contractor actually needed all of the additional mats reflected in the change orders. Friendly meetings became heated and deteriorated into arguments over whether the change order work actually required additional mats or extensions of the time the mats that were in place needed to remain in place to finish the additional work. In the meantime, the contractor had already completed the additional work and had incurred substantial costs for which it had not been paid. As you might expect, once the owner realized the contractor was in serious need of payment of the cost it had already incurred for the changed work, the owner became even more difficult to deal with. Finally, a compromise was reached that allowed the contractor to be paid. In order to be paid sooner rather than later, the contractor agreed to remove the disputed additional mat charges from the change orders with the commitment that the mat charges would be addressed in future change orders at project close-out. The principal parties involved in these negotiations had worked together for many years on multiple projects and had actually developed somewhat of a personal friendship. Once the project was completed, the contractor submitted what he believed were the final change orders to wrap up the project. These change orders included compensation for the additional mats that had been removed from the earlier change orders. Predictably, the change orders for the mat charges were rejected by the owner and litigation ensued. The contractor found himself in a position where the project was completed, everything had been done, and the pipeline was being used, but a great deal of money was still owed for the disputed mat charges. Obviously, the owner was at a distinct advantage. Everyone knew extra mats had been used to accomplish the change order work and everyone knew that much of the matting was required to remain in place longer than originally planned. While everyone knew these things, there was no written documentation of any agreement on the Contract Law John L. Grayson Cokinos | Young jgrayson@cokinoslaw.com (713) 535-5573 Pipelines and Nuclear Missiles: A Lesson from Ronald Reagan Continued on page 12
PIPELINE CONTRACTORS JOURNAL | 4th Quarter 2024 12 mat costs. As could be expected, the owner did not recall any agreement to revisit the issue. This situation is not a matter of contract drafting. Both parties had performed and complied with the contract as written. The problem arose when the parties made a side agreement with certain representations and agreements without locking those agreements down in writing. Essentially, the contractor trusted the owner but did not verify that the owner would actually follow through as agreed. In the ensuing litigation, because the contractor had no documentation confirming the owner had agreed to pay or even revisit the disputed mat charges, the contractor was forced to sharply compromise his claim to get any recovery at all. As this story was being related to me, I thought of that Reagan quote. How can we avoid this situation in the future? Regardless of how well-crafted the contract and change orders may be, contractual relationships always involve some degree of trust and good faith. We simply cannot anticipate every potential area of dispute or disagreement in a relationship as complex as contractor and owner in a pipeline project. But we should not leave everything to trust and good faith. A couple of things come to mind that might have helped avoid this unfortunate circumstance and its painful outcome. First, as the initial change orders in this example were being drafted to include the additional costs for the mats and other materials, when the owner objected to including the mat charges in the change order, a clear statement could have been added to that change order describing how, at the owner’s request, the mat charges were being removed from the current change order but would be the subject of a future change order. At a minimum, inclusion of such a clause in the initial change order would remove any question about whether the owner had represented that it would revisit the charges at some later date. Second, in addition to including such language in the change order, and especially if the owner will not include that language, a contemporaneous accompanying email, text message, or other written confirmation would have also helped avoid the ultimate problem. For example, when the change order was modified to delete the mat charges, an email accompanying the change order, referencing the change order number and date, explaining why the mat charges were removed and stating that the mat charges would be the subject of a future change order could have been written. Something along these lines: This will confirm Change Order #____, dated _________, is modified to remove the line items for additional mats. The mat charges removed from Change Order #____, totaling $_______, will be the subject of a future Change Order(s) to be executed at project close-out. Such written verification or confirmation would strengthen the contractor’s position, could have avoided hard feelings by refreshing memories, and might have saved the contractor a great deal of money. One lesson we can learn from this case is that when everything is going well and the parties are shaking hands over agreed language in a change order calling for payment, don’t forget to verify and confirm in writing whatever additional agreements were also reached. Obviously, nuclear missile treaties and pipeline contracts are not at all the same thing. But the next time you are making some kind of hand-shake agreement on a project, think of President Reagan and that old Russian proverb. 7 APCA Industry Calendar APCA Washington Fly-In January 28-30, 2025 Hyatt Regency on Capitol Hill Washington, DC 2025 APCA Convention March 21-26, 2025 Hyatt Regency Scottsdale Resort & Spa Scottsdale, AZ CGA Conference & Expo April 7-11, 2025 Orlando World Center Marriott Orlando, FL 2025 APCA Mid-Year Meeting October 8-11, 2025 The Grand Hotel Golf Resort & Spa Point Clear, AL CONEXPO/CONAG March 10-14, 2026 Las Vegas Convention Center Las Vegas, NV 2026 APCA Convention March 27-April 1, 2026 Hyatt Regency Coconut Point Resort Bonita Springs, FL CGA Conference & Expo April 27-30, 2026 The Broadmoor Colorado Springs, CO 2026 APCA Mid-Year Meeting October 14-17, 2026 The Broadmoor Colorado Springs, CO Contract Law Continued from page 11
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PIPELINE CONTRACTORS JOURNAL | 4th Quarter 2024 15 Nearly 200 APCA members, family, and friends traveled to Nashville, Tenn., in early October for the association’s 2024 Mid-Year Meeting where they tended to association business, partook in industry education, heard a fantastic keynote speech, networked with fellow members, and worked on getting out the vote in the November elections, a top priority of APCA President Roy Weaver, Weaver, LLC, and the Government Affairs Committee. And of course, everyone enjoyed the historic, boisterous, and fun-filled city of Nashville. Throughout the Mid-Year, President Weaver and APCA Board members stressed the importance of getting pro-energy voters to the polls in November, and they encouraged members to share the APCA Voter Pipeline resource with co-workers, industry colleagues, and anyone else who supports the goal of American energy dominance. “We are only 32 days away from the November 5 election, arguably the most important election of our lifetimes, both for our country and for the pipeline industry,” Weaver told the APCA audience. “We’ve talked a lot over the past few days about how everyone can make a difference in this election and how we can help our employees make their voices heard, even if they are away from home working on Election Day. The last thing APCA wants to do is try and tell anyone how to vote. We just want people to understand what the candidates stand for and to fulfill their responsibility of being a citizen and vote.” And now we all know the results of the election—a job well done! Retired Space Shuttle astronaut Mike Mullane opened the first full day of the Mid-Year with a fascinating keynote presentation that depicted the thrill and allure of the space program as well as the challenges and tragedies, which he wove into valuable life lessons. He discussed the Challenger tragedy in great detail and explained how it related to safely constructing pipelines. He called the tragedy “a team failure to comply with safety best practices” and provided several lessons learned that are applicable to construction jobsites: communicate bad news to leadership, report near misses and capitalize on them by being curious and questioning, and always follow your safety procedures—”make it a religion.” He told the APCA audience, “Our safety responsibilities are not transferrable. If you see something, say something, do something.” Following the keynote address, members heard from the Government & Industry Relations panel, which included Government Relations Committee Chair Kevin LaBauve, WHC Energy Services; Chad Whiteman, U.S. Chamber of Commerce; and the APCA Government Relations team of Zack Perconti and Jaime Steve. The many issues discussed included the election, of course, as well as Pipeline and Hazardous MaAPCA Holds Largest-Ever Mid-Year in Music City Continued on page 16
PIPELINE CONTRACTORS JOURNAL | 4th Quarter 2024 16 terials Safety Administration reauthorization (we’re pushing for strong damage prevention and pipeline protest language), permitting reform, and fighting back against the pro-union overreach by the Biden administration. LaBauve encouraged members to attend the APCA/PCCA DC Fly-in, January 28-30, not just to lobby for the issues important to our industry, but also to educate lawmakers and their staffs about pipeline construction. “What surprised me was how little they know about our industry,” he said. With a smile on his face, the Chamber’s Whiteman lamented being scheduled to speak “between an astronaut and an ax-throwing tour,” but he still kept the crowd’s attention discussing important issues like the vast amount of energy needed to power data centers throughout the country, Biden’s misguided LNG pause, and the Chamber’s campaign for permit reform, Permit America to Build. “Getting anything built in the U.S. is becoming increasingly more difficult,” he said. Education is a pillar of all APCA meetings, and in Nashville the association held the second session in its new Leadership Development Program. Led by Andy Patron, the founder of HELPS Consulting, the session on Executive Communication showed participants how to communicate more effectively with those around them and how to better manage meetings and presentations. The group discussed the pros and cons of various communication methods and how personality style can influence how effective their communication can be. Education was also on the agenda during a session introducing the Learning Alliance Corporation (LAC) to APCA members. The panel included Fred Arnold, LAC Chief Technology Officer, Mark Bridgers from Continuum Capital, and Tim Wagner from APCA, and they explained how LAC can help association members with training, registered apprenticeship programs, and worker recruitment and retention. As he’s done at APCA meetings for decades, Greg Guidry of Ogletree Deakins provided members with important details of recent activity in the labor law/human resources sphere. He discussed developments from the executive branch, Congress, the courts, the Equal Employment Opportunity Commission, the Occupational Safety and Health Administration, and the National Labor Relations Board. He also discussed union activity, noting that union membership in the U.S. was at a record low in 2023 and perhaps correspondingly, union petitions are up some 30 percent in 2024. APCA’s next meeting is the 2025 Convention, March 21-26 at the newly renovated Grand Hyatt Scottsdale Resort. See you there! 7 Pipelayers Flat Bed Tractors Padding Machines Bending Machines Excavators Trenchers Dozers For Rentals And Supplies Visit CrossCountryIS.com Or Call 1-855-955-CCIS (2247) SUPPLIES INCLUDE: Abrasive & Cutting Tools - Environmental - Safety Products - Valves, Fasteners & Fittings - Lifting & Rigging Pigging Products - Power & Hand Tools - Pipe Testing Equipment - Paints & Coating - Electrical Supplies and Much More EQUIPMENT RENTALS INCLUDE: Motor Graders Lifting Mid-Year Meeting Continued from page 15
PIPELINE CONTRACTORS JOURNAL | 4th Quarter 2024 17 Industry Education • Premium Networking • Great Times! 2025 Annual Convention Hyatt Regency Scottsdale • Scottsdale, AZ March 21 - 26, 2025
PIPELINE CONTRACTORS JOURNAL | 4th Quarter 2024 18 Images of Mid-Year 2024 6APCA President Roy Weaver, Weaver, LLC, welcomes a record number of attendees to the 2024 APCA Mid-Year Meeting in Nashville. “We’re very excited to have you here and excited about where APCA is headed.”
PIPELINE CONTRACTORS JOURNAL | 4th Quarter 2024 19 6APCA Past President Mike Castle, from Castle, gives thanks prior to the Welcome Dinner in Nashville. 4Andy Patron, founder of HELPS Consulting and a longtime instructor in the construction industry, leads a highly interactive session on Executive Communication, the second installment in APCA’s ongoing Leadership Development Program.
PIPELINE CONTRACTORS JOURNAL | 4th Quarter 2024 20 3 During the Government & Industry Relations panel, Chad Whiteman, U.S. Chamber of Commerce, talks about the dire need for permitting reform as “getting anything built in the U.S. is becoming increasingly more difficult.” 5Keynote speaker and retired Space Shuttle astronaut Mike Mullane weaves the lessons learned from the Challenger tragedy and his career in NASA and the Air Force into an impactful safety message that resonates with association members. 4Longtime friend and advisor to APCA and its members, Greg Guidry, Ogletree Deakins, provides members with important details of recent activity at the federal level in the labor law/human resources sphere.
PIPELINE CONTRACTORS JOURNAL | 4th Quarter 2024 21 5APCA Government Relations Committee Chair Kevin LaBauve, WHC Energy Services, encourages members to share the APCA Voter Pipeline resource with pro-energy voters and explains the importance of the upcoming elections to our industry.
PIPELINE CONTRACTORS JOURNAL | 4th Quarter 2024 22 5Jeff Ford, H.L. Chapman Pipeline Construction, talks with APCA Board members Aaron Simon and John Fluharty, both with Troy Construction. 6 First-time APCA meeting attendee Erwin Raughley, EER Group, meets APCA Past President Sean Renfro, Sunland Construction, and current President Roy Weaver, Weaver, LLC. 3Chris Jones, Hardrock Infrastructure Services, updates fellow Board members on the progress of the association’s ongoing membership recruitment effort. 4The APCA Board of Directors tackles association business, including a new workforce development effort, future meeting locations, and the association’s work with Natural Allies, INGAA, and API. 6New APCA Board member Paul Cook, Sunland Construction, chats with Mark Mitchell, Mears Group during the Welcome Reception. 5Top left and above, APCA opened the Mid-Year Meeting with a full-day Leadership Development session on executive communication that provided participants with the tools needed to become more effective executive communicators.
PIPELINE CONTRACTORS JOURNAL | 4th Quarter 2024 23 5Brooke Bowden, Sommer Dyess, and Bridget Fry catch up during the Welcome Reception. 6We’re not sure what John Fry, Sunbelt Equipment Marketing, said here, but John Lucki’s (Cross Country Infrastructure Services) response is priceless. 6APCA members crowd into the ballroom for the Welcome Dinner on the first night of the Mid-Year. 6 Greg Guidry, Ogletree Deakins, shares a laugh with Anne and Nick Bruno, Bi-Con Services, during the Welcome Reception. 6APCA Executive Director Tim Wagner provides some logistical advice at the start of the MidYear to keep everyone moving in the right direction and showing up at the right places. 3APCA members dig into the delicious spread put out by the Grand Hyatt Nashville’s culinary team.
PIPELINE CONTRACTORS JOURNAL | 4th Quarter 2024 24 6Past President and Board member Sean Renfro, Sunland Construction, talks pipelines with Chip Black, Apache Industrial. 3Fascinated by Mike Mullane’s adventures in space are Joel Brewton, Castle, and Tyler Rosenberg, Caterpillar Global Pipeline. 5 Some of the best networking opportunities at APCA meetings are for the early-risers at the member breakfasts 6Astronaut Mike Mullane’s presentation, Countdown to Safety, resonated with APCA members. 3Mapping out association strategy over breakfast are APCA President Roy Weaver, Weaver, LLC; Board member John Fluharty, Troy Construction; and Executive Director Tim Wagner. 4APCA President Roy Weave introduces keynote speaker Astronaut Mike Mullane
PIPELINE CONTRACTORS JOURNAL | 4th Quarter 2024 25 3Zack Perconti (far left), APCA Government Relations, in a soothsaying moment, discusses the probable agenda if Republicans win both the White House and Congress in the November elections. 4President of the Associates Committee Brian Tanner, EPIC Insurance Brokers and Consultants, talks about how Associates can help with APCA’s recruiting of new contractor members. 6Jared Shuler, United Rentals Matting Solutions, encourages members to speak up during the Associate Member Meeting. 4APCA President Roy Weaver chimes in during the Government Relations session to urge everyone to vote in November and to get their coworkers and colleagues to the polls as well. 6Chad Whiteman explains the Chamber of Commerce’s Permit America to Build campaign, which aims to fix America’s broken permitting system. 5Jaime Steve, from APCA’s Government Relations team, talks about what the association wants in the PHMSA reauthorization bill. 3Joshua Sexton, Komatsu America Corp, weighs in during the Associate Member Meeting.
PIPELINE CONTRACTORS JOURNAL | 4th Quarter 2024 26 5 Fred Arnold, from the Learning Alliance Corporation, explains how his company can help association members with training, registered apprenticeships, and finding workers. 3Left, Greg Guidry explains why a federal judge struck down the NLRB joint-employer rule in July: “It was a bad rule.” Right, when Greg Guidry speaks, APCA members listen (and take notes). 6 At an impromptu Board meeting on the Mid-Year’s final day, directors discuss ways to strengthen APCA’s Government Relations efforts. John Fluharty talks about how impressed he is with the Learning Alliance Corporation after visiting their facility in Tampa, Fla. 6 34 Left, discussing workforce development are John Fluharty, Troy Construction; Fred Arnold, Learning Alliance Corporation; and Tim Wagner, APCA. Right, Tim Wagner says that the LAC Registered Pipeline Apprentice Program will help open up opportunities for APCA members on federally funded work. 6APCA’s Regular Member Meeting tackles issues important to the association’s contractor members.
PIPELINE CONTRACTORS JOURNAL | 4th Quarter 2024 27 4Enjoying the Farewell Dinner are Karl Schwartz, Beard Oil; Nick Bertram, Jomax Construction Co.; and Ronnie Cole, Darby Equipment Co. 3Matt Van Horn, Construction MediCamp, and Christian Loeffler, Serimax North America, talk a little business at the Farewell Reception. 46Right and below, APCA members enjoy the Farewell Dinner to close out the 2024 Mid-Year Meeting. 3APCA President Roy Weaver, Weaver, LLC, bids his fellow members a fond farewell and says he’ll see everyone at the 2025 Convention, March 21-26 in Scottsdale, Ariz. 5A perfect photo-op for Casey and Matt Huggard, Vacuworx. 3All smiles at the Farewell Reception are Kim Murphy and Cynthia Carreon.
PIPELINE CONTRACTORS JOURNAL | 4th Quarter 2024 28 Gold Sponsors Thank You Sponsors! Silver Sponsors Platinum Sponsors
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PIPELINE CONTRACTORS JOURNAL | 4th Quarter 2024 30 Safety Watch This October, in observance of National Protect Your Hearing Month, the Occupational Safety and Health Administration (OSHA) and the National Institutes of Health are raising awareness about hearing conservation. Workers in the construction industry are particularly vulnerable to noise-induced hearing loss due to daily exposure to high-decibel noise from sources such as jackhammers, drills, bulldozers, and other heavy machinery. Exposure to excessive noise can do more than cause hearing loss. It can reduce concentration, increase fatigue, and prevent workers from hearing critical alarms or communications on the jobsite, heightening the risk of accidents and injuries. Over time, hearing loss can also contribute to other health issues, including high blood pressure and increased stress. OSHA has outlined specific noise exposure limits for construction environments to alleviate potential harm. The permissible exposure limit is 90 decibels for an 8-hour shift. If the noise exceeds this level, employers must implement engineering controls or provide workers with hearing protection, such as earplugs or earmuffs. Key Strategies for Hearing Conservation Engineering controls: The first priority should be reducing noise at the source. This can include using quieter machinery, installing sound barriers, or performing regular maintenance on equipment to keep noise levels down. Proper machine maintenance and soundproofing materials like acoustic panels can significantly reduce the noise workers are exposed to. Noise Monitoring: Regular monitoring is one of the most effective ways to manage noise exposure. Using tools such as sound level meters, employers can identify high-noise areas and ensure they take appropriate actions to protect their workers. NIOSH’s Sound Level Meter App is an accessible tool that allows workers to assess noise levels on-site: www. cdc.gov/nceh/hearing_loss/infographic/. Administrative Controls: Rotating workers between highnoise and quieter tasks, or scheduling noisy operations when fewer workers are present, can also minimize exposure. Additionally, mandatory breaks in quieter areas can help reduce the overall duration of exposure for workers. Personal Protective Equipment (PPE): Workers should always be equipped with the appropriate hearing protection when noise reduction isn’t enough. Earplugs and earmuffs are the most common forms of PPE. Workers must be adequately trained on how to fit and wear this equipment. A poorly fitted earplug, for example, can reduce its effectiveness and leave workers vulnerable to noise-induced damage. Hearing Conservation Programs: OSHA recommends implementing hearing conservation programs. These programs involve regular hearing tests (audiometric testing) to monitor workers’ hearing over time, training on using and caring for hearing protection, and regular monitoring of workplace noise levels. Prolonged exposure to loud noise can have lifelong consequences for workers, but these can be prevented with the proper protective measures. Employers must ensure proper PPE, monitor noise levels, and educate workers about the importance of hearing protection. In doing so, organizations will comply with OSHA standards and, even more important, preserve their employees hearing and overall well-being. 7 A Sound Strategy for Safer Construction Workplaces
PIPELINE CONTRACTORS JOURNAL | 4th Quarter 2024 31 Labor Department Announces Grants to Promote Workplace Safety, Health Training, and Education Administered by the department’s Occupational Safety and Health Administration, funds from the Susan Harwood Training Grants Program will support training and education on hazard awareness, avoidance and controls, and inform workers of their rights and employers of their responsibilities under the Occupational Safety and Health Act. This round of funding was awarded to programs in targeted topic training, training and educational materials development, and capacity building. “These grants are our most effective tool for connecting organizations with needed resources to train and educate hard-to-reach workers in high-hazard industries,” Assistant Secretary for Occupational Safety and Health Douglas L. Parker said. “Training is a key part of ensuring vulnerable workers understand what protections should be in place in their workplace and to know their rights.” The grants are named in honor of the late Dr. Susan Harwood, who served as the director of OSHA’s Office of Risk Assessment. In 17 years with the department, she was instrumental in developing federal standards that protect people from workplace hazards today. OSHA awards these grants to nonprofit organizations, including community and faithbased groups, employer associations, joint labor-management associations, and local and state-sponsored colleges and universities. Targeted training audiences include small-business employers, limited English proficiency workers, and workers identified as illiterate/low literacy, disadvantaged, underserved, low-income, minority, and others hard to reach. 7 Family Owned and Operated Since 1995 (800) 578-7436 sales@pigsunlimited.com
APRIL 7-10, 2025 ORLANDO WORLD CENTER MARRIOTT
PIPELINE CONTRACTORS JOURNAL | 4th Quarter 2024 33 News Briefs Texas Sues Biden Administration over Lizard Protection In May, the Biden administration issued the Endangered and Threatened Wildlife and Plants; Endangered Species Status for the Dunes Sagebrush Lizard Rule. The new rule dictates that the dunes sagebrush lizard, native to the Texas and New Mexico area, be added to the Endangered Species List. Although seemingly somewhat irrelevant, this action affects more than just lizards. It threatens to restrict oil and gas production in the country’s energy capital, the Permian Basin. The administration has long expressed its anti-oil and gas industry sentiment through rulings such as the LNG export ban and canceling the Keystone XL pipeline, which would have transported more than 830,000 barrels of oil from Canada to U.S. refineries. Instead, they have adamantly pushed a “Pro-Green” agenda, often to the detriment of people relying on Texas’ affordable and accessible energy supply. Texas Attorney General Ken Paxton acknowledged the political undertones of adding the lizard to the endangered species list, given their habitat overlaps with oil-rich land, and filed a petition against the administration on September 23. “The Biden-Harris administration’s unlawful misuse of environmental law is a backdoor attempt to undermine Texas’s oil and gas industries, which help keep the lights on for America,” Paxton said. “I warned that we would sue over this illegal move, and now we will see them in court.” In the petition, Texas argues that the U.S. Fish and Wildlife Service relied on outdated and inaccurate data in determining the dunes sagebrush lizard’s endangered status, using a flawed habitat model that does not accurately reflect the species’ current condition. The state also claims the agency ignored voluntary conservation efforts, such as the Texas Conservation Plan, which balances habitat protection with continued economic activity. Additionally, Texas asserts that Fish and Wildlife violated the Endangered Species Act and the Administrative Procedure Act by failing to follow proper rule-making processes and using the best available scientific data. Texas’ petition follows a massive victory for Paxton, who successfully restricted the administration’s unlawful and indefinite ban on LNG exports. The dunes sagebrush lizard case, now before the U.S. District Court for the Western District of Texas, is just the latest chapter in the state’s ongoing battle against federal environmental policies that it says undermine economic development. 7 DOE Announces Natural Gas Jumps to 3.5 Times More Affordable Than Electricity On October 18, the U.S. Department of Energy (DOE) reported that natural gas is the lowest-cost energy source available to households, and electricity costs are 3.5 times higher than natural gas. The difference between electricity and natural gas costs shows a notable increase over last year’s finding that electricity was 3.3 times higher than natural gas. The 2024 Representative Average Unit Costs of Five Residential Energy Sources, conducted by the DOE, found that natural gas costs only $13.38 per MMBtu of energy delivered compared to $47.36/MMBtu for electricity. “Today’s report by DOE underscores the important role that natural gas plays in ensuring households have access to affordable energy. Low-cost natural gas means America’s Continued on page 34
PIPELINE CONTRACTORS JOURNAL | 4th Quarter 2024 34 families can make the choices they need to save money on their utility bills,” AGA President and CEO Karen Harbert said. The EIA’s Winter Heating Outlook additionally forecasts that U.S. households using natural gas will spend an average of $602 this winter, about 42 percent less than the $1,037 projected for those using electricity. This low cost of American natural gas has saved residential customers approximately $125 billion in home energy costs in the last decade. 7 The Economic Benefits of U.S. LNG Exports A temporary halt on liquefied natural gas (LNG) export licenses in the U.S. has raised concerns about the economic and job-related impacts on the country’s manufacturing and energy sectors. LNG exports, once a powerhouse of economic growth, face an uncertain future, placing nearly 900,000 jobs and billions in GDP at risk, according to a recent study from the National Association of Manufacturers (NAM), “The Economic Benefits of U.S. LNG Exports.” The U.S. LNG export industry has emerged as an essential driver of the national economy, creating jobs, fueling GDP growth, and generating tax revenue. According to the NAM report, U.S. LNG exports currently support 222,450 jobs, contributing $23.2 billion in labor income and $43.8 billion to the GDP. Additionally, the industry provides $11.0 billion in tax revenue for federal, state, and local governments, benefitting public services like education, infrastructure, and healthcare. All these benefits are at stake the longer the pause remains. Future projections: The NAM report outlines two potential scenarios for 2044, based on projections from the U.S. Energy Information Administration (EIA): a Reference Case and a High Growth Case. Both cases assume the continuation of the Department of Energy’s current export license review pause, which, if prolonged, could impact the U.S. economy substantially. 1. Employment and labor income. In the Reference Case (projected under current policy conditions), LNG exports will support 515,960 jobs by 2044, contributing $59 billion in labor income. However, these jobs would be at risk if export licenses were restricted indefinitely. In the second scenario, the High Growth Case (assuming favorable LNG market conditions), the sector could support 901,250 jobs and $103.9 billion in labor income by 2044. 2. GDP contribution. In the Reference Case, LNG is expected to contribute $122.5 billion to the U.S. GDP by 2044. This figure could nearly double to $215.7 billion in the High Growth Case, representing a significant addition to the national economy. However, the report warns that without LNG exports, the U.S. risks forgoing these vast contributions, potentially reducing GDP by up to 0.5 percent by 2044. 3. Tax and royalty revenues. The LNG industry currently provides significant tax contributions at federal, state, and local levels, amounting to $11 billion in 2023. By 2044, the Reference Case projects that the industry could generate $26.9 billion in tax revenue, with the High Growth Case reaching as much as $47.7 billion. LNG export tax revenues fund critical public services, particularly in states and communities that host LNG infrastructure. Its revenue helps finance public education, healthcare, and infrastructure projects, creating positive ripple effects in local economies. The Broader Economic Risks 1. Manufacturing sector impacts: LNG export facilities rely heavily on domestic manufacturing for infrastructure and pipeline development. Prolonged restrictions on News Briefs Continued from page 33
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