Paca conveyor
PACA Conveyor – Week of December 5, 2019
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1. PACA News
2. Environmental News
3. Safety & Health News
4. National News
5. PACA - Building and Connecting Communities

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As reported by Kallie Kline, PACA's Director of Member Services.
Rod Martin 2
State of the Association Address
Rod Martin, PACA Chairman, presided at the 2019 General Membership Meeting held at the Annual Meeting and delivered the following State of the Association address:

It is an honor to serve you as the Chairman of our Association. There has not been a better time in the recent history of our Association. Your elected leadership are confident in our direction, our work, the professionalism of our staff and our financial position.

PACA has grown its membership rolls again this year. Added 5 new producer members and 8 new associate members.In 2019, our member retention level was exceptional with an average retention rate of 97% for producers – aggregates, concrete and cement – and 95% for associate members. Ton for ton and yard for yard, PACA represents a bigger percentage of construction materials sold in recent memory.

Our certification, training and events have registered close to 2,000 people in 2019. Our Annual Meeting is the highest attended gathering since our 25th Anniversary celebration back in 2007.

We continue to employee quality professionals that deliver value to our membership through their efforts, knowledge and networks. Our engagement with key decision makers within PennDOT, DEP and the General Assembly continues to grow.

A significant change this year has been the sale of our building. The challenge of any organization is to properly maintain and continue to invest into its operational infrastructure. Unfortunately, we were unable for a long time to make those investments and the precarious location of the building next to the river made it a tough long term challenge. Your Board decided to sell that asset and we successfully moved into our leased offices on May 1 of this year. I encourage you to visit our new offices as they are a far better representation of our industry.

We continue to advocate for our interests and are always open to partnerships and coalitions to achieve our goals. We are actively engaged with the PA Chamber led coalition opposed to a natural gas severance tax. We oppose Governor Wolf’s Restore PA solution as unfairly picking on one industry to fix decades of underinvestment in our crumbling infrastructure and also fearful for the economic future of our children due to the $4 billion bond burden encouraged by our Governor.

We are equally disappointed with the bleed from the Act 89 investment that brought many promises but has us concerned about the long term viability of the Motor License Fund. We continue to work with other construction related organizations to present common sense solutions to our elected officials.

The regulatory squeeze is intensifying in Harrisburg. The Climate change agenda is in full swing in our state. Executive Orders are paraded and we are trying to make sense of the real agendas. This is what we believe the impact is even though not mentioned in the press conferences….your electricity rates will increase because of RGGI; your will be paying more for your fuel because of the Transportation & Climate Initiative….your cost of doing business will increase because of emission management controls, and on and on&hellip

The challenges that we face as an industry are getting more complicated and daunting. The low-hanging fruit has been picked. During the Annual Meeting, you heard a few of these big issues that will affect our companies – PennDOT’s Skid Resistance Level initiative, MS4 fees, climate change, declining Motor License Fund revenue and impact on PennDOT work, uneven economic growth forecast, partisan politics in Harrisburg and Washington, DC. We will never outrun these challenges and hiding is no longer an option. We must face them together as ONE.

Your Officers, Executive Committee and the Board are not resting. We understand the cyclical nature of our industry and the impact of our nation’s economic fortunes on our member companies. We practice financial prudence in our decisions and are pleased that we have reached a benchmark of banking a half year’s operating expenses so that we can weather future downturns.

I am confident that our Association can be the platform of ONE industry united.

I guarantee you that in 2020, PACA

  • Will be valiant in its efforts,

  • Will make mistakes but learn from them,

  • Will persevere, and
  • Will be judged by its deeds….

Because this industry….our industry….is a worthy cause!

Thank you and happy holidays!
Highest Annual Meeting Attendance in OVER A DECADE!
How do we measure success at a PACA meeting? There are many measurements used to access the outcome of a meeting:

  • Feedback and comments received by attendees
  • Feedback and comments received from speakers after participating in a PACA meeting
  • The level of participation by our sponsors, corporate sponsors, etc.
  • Attendance numbers
This year, we are pleased to say we've received comments from attendees such as "best meeting ever," "you outdid yourself this year," etc. AND, we are thrilled to announce the highest attendance numbers in over a decade! Topping this next year is going to be a challenge for the PACA staff and the PACA leadership. Some highlights are:

  • We had the privilege to welcome back, economist, Anirban Basu, of the Sage Policy Group. The ballroom is jammed packed with anticipation of not only the future economic outlook provided by Mr. Basu, but the humor he brings along with this critical industry information.
  • Our industry partners at PennDOT and DEP - Deputy Secretary George McAuley (PennDOT) and Deputy Secretary John Stefanko (DEP) were once again on hand to provide updates and interact with members of the association - a relationship that PACA values highly.
  • Added value to this year's meeting were concurrent sessions on SRBC partnership opportunities, information available from the MIT Sustainability HUB, and the New Innovations Marketplace offered by PACA's Associate membership.
  • We were pleased to raise over $1000 for the start of a future PACA educational scholarship through the auctioning of discontinued CAT diecast models - a collector's dream - donated by our Rock Star sponsor - Cleveland Brothers Equipment Company.
These are just a few tidbits from this year's meeting. We are working on a photo gallery and promotional video from this year's meeting, so watch for more information on these in future editions of the Conveyor.

Thank you to all of our attendees, sponsors and speakers for making this a phenomenal year in Hershey!
Congratulations and Thank You to All PACA Honorees in 2019
To the PACA staff, the highlight of the Annual Meeting each year, is when we have the opportunity to recognize and thank individuals and companies who have contributed to the betterment of this association, their company, their community or have been involved in and/or recognized by our national partners - National Stone, Sand and Gravel Association and National Ready Mixed Concrete Association.

A complete list of all those honored at the Annual Meeting is included via the button below.

We would like to congratulate the 2019 Class of the Ambassadors of the Industry Hall of Fame, inducted during the Honors Program at the Annual Meeting:

  • Elise Diliberto, Delaware Valley Concrete Co., Inc.
  • Stephen Ettinger, Delaware Valley Concrete Co., Inc.
  • Judy Fiori, Keystone Cement Company
  • Lanny Kipp, Masters Ready Mixed Concrete
  • Mike Rutkowski, Burch Materials and Supplies
  • Paul Stoltzfus, New Enterprise Stone & Lime Co., Inc.
New Directors Elected to PACA Board at the Annual Meeting in Hershey
Last month, at the PACA Annual Meeting in Hershey, representatives from each producer member company in attendance voted unanimously on the following candidates to serve on the PACA Board of Directors:

2020 (1-Year Term)

Ron Kurpiel, Hanson Aggregates, Inc.

2020-2021 (2-Year Term)

Aaron Price, Pennsy Supply, Inc., a CRH Company

2020-2021-2022 (3-Year Term)

Mark Carroll, Allan Myers Materials

Lisa Diliberto, Delaware Valley Concrete Co, Inc.

Mike Hawbaker, Glenn O. Hawbaker Inc.

John Rader, J.J. Kennedy, Inc.

Jamie Stilley, Amerikohl Aggregates, Inc.

Chris Wright, Union Quarries, Inc.

Congratulations to all of the new members of the PACA Board of Directors!
Associate Board Elections Held at the PACA Annual Meeting - New Chair & Vice Chair Elected
We are pleased to announce the results of the Associate Board of Directors election, held in conjunction with the PACA Annual Meeting last month.

Ray Ewing, Civil and Environmental Consultants, Inc.; Jim Lolcama, KCF Groundwater, Inc. and Terry Schmidt, EarthRes Group, Inc. were elected by their peers to serve a three-year term of 2020 to 2022.

Later that day, the Associate Board of Directors met to elect their new Chair and Vice Chair, following the expiration of Robert Frontino, SIKA Corporation's, two-year term as Chair. The Associate Board named their previous Vice-Chair, Paul DeAngelo of Skelly and Loy, Inc. as the Chairperson for a two-year term. Terry Schmidt was then elected as Vice Chair for a two-year term, leaving his board seat vacant.

Following the guidelines of the Associate Board, the Associate Nominating Committee recommended Vince Pagano of Highway Equipment and Supply Company to fill the vacancy left by Mr. Schmidt. Vince was unanimously elected by the Associate Board.
Environmental News
As reported by Josie Gaskey, PACA's Director of Environmental, Safety & Health.
Environmental News
DEP and Climate Change
Pennsylvania’s Climate Change Act (Act 70 of 2008) requires DEP to develop an inventory of GHG (greenhouse gas emissions) emissions and update this inventory annually. The gases typically accounted for in GHG emissions are carbon dioxide (CO2), methane (CH4), and nitrous oxide (N2O). DEP has released a draft of the 2019 PA Greenhouse Gas Inventory. DEP uses EPA’s State Inventory Tool to develop GHG emissions inventories. A comprehensive description of the tool can be found here.

2005 is the base year utilized for this report, as DEP wishes to “maintain consistency with U.S. Climate Alliance goals, and goals set forth in the Paris Climate Agreement.” According to the draft report, as of 2016, Pennsylvania has reduced GHG emissions almost 19 percent from 2005. Governor Wolf’s Executive Order 2019-01 calls for a reduction in greenhouse gas emissions of 26 percent by 2025 and 80 percent by 2050 from 2005 levels.

Sectors with the largest contribution to the Commonwealth’s GHG emissions are the industrial, electricity production and transportation sectors. (see .pdf pages 7 and 8). These three sectors account for almost 84 percent of Pennsylvania’s gross greenhouse gas emissions. The major industrial processes accounted for in the industrial sector include: cement manufacturing, lime manufacturing, limestone and dolomite use, iron and steel production, substitutes for ozone-depleting substances, and electric power transmission and distribution systems. (See .pdf pages 12 and 13 for the GHG emissions attributed to each of the processes included within the industrial sector.)

The Transportation Sector information can be found on .pdf pages 13 and 14.

Should you have any questions or comments, don’t hesitate to contact Josie Gaskey.

Environmental News
DEP Draft Stream Evaluation Reports Available
The November 15, 2019 PA Bulletin includes Draft Stream Evaluation Reports that are available for public comment. Per 25 PA Code Chapter 93a.4(d) Water Quality Standards Anti-degradation regulations, protection is afforded for Exceptional Value Waters—the water quality of Exceptional Value Waters shall be maintained and protected. Per 25 PA Code Chapter 93a.4d, the Department must notify the public of its intent to assess surface waters for potential redesignation as High Quality or Exceptional Value Waters. These assessments may be undertaken in response to a petition or at the Department’s own initiative. The following Draft Stream Evaluation reports are available for public comment, which ends December 16, 2019.Note that the Department is recommending Bermudian be redesignated from Warm Water Fishes, Migratory Fishes to Cold Water Fishes, Migratory Fishes; Logan Spring Run be delisted as impaired; and the unnamed trib to Sixpenny Creek be designated as Exceptional Value, Migratory Fishes.

Should you have any questions, comments or have facilities that discharge to these streams, don’t hesitate to contact Josie Gaskey.

Environmental News
SRBC Grandfathering Registration Reminder
A gentle reminder that grandfathering registration needs to be completed by December 2019. If you have not done so by December 2019, there will be no options for you to get back your grandfathered status.

Should you wish to discuss or need assistance contacting SRBC, contact Josie Gaskey.
Safety & Health News
As reported by Josie Gaskey, PACA's Director of Environmental, Safety & Health.
Safety & Health News
Upcoming Safety Webinar on Medical Marijuana
On January 30, 2020, at 1:30 p.m., Adele Abrams of The Law Office of Adele Abrams will be presenting a webinar on Medical Marijuana Laws & Their Effect on Your Business. Adele made a shortened version of this presentation at the Annual Meeting in Hershey, but if you missed it, now is your opportunity to hear her discuss what effect the laws might have on your operations.

If you are interested, contact Josie Gaskey for more details.
Safety & Health News
MSHA POV Proves Successful
In January 2013, MSHA published its POV (Patterns of Violation) rule to strengthen safety measures in the nation’s most hazardous mines.

The POV provision in the Federal Mine Safety and Health Act of 1977 is one of MSHA’s toughest enforcement tools. MSHA uses this provision for those mines they believe pose the greatest risk to miners’ health and safety, in particular those mines with chronic violation records.

On November 7, 2019, MSHA announced that for the fifth consecutive year, none of the nation’s more than 13,000 mining operations met the criteria for a Pattern of Violations The screening period started on September 1, 2018, and ended on August 31, 2019.
National News
National News
As reported by Kallie Kline, PACA's Director of Member Services.
National News
Assistance Needed for National Industry Survey
Construction Materials Culture Survey

The Aggregate and Concrete Executives association, a group of state executives representing 30+ states around the country, are conducting a Construction Materials Culture Survey. The intent of the anonymous survey is to better understand how people feel about working in the construction materials industry.

This survey is intended for everyone in the industry including hourly employees, field supervisors, office admin, estimators and business development and executives (VP, President, Owners). Please feel free to share this survey with your colleagues.

PACA plans to share the results of this survey at the PACA Summer Summit in June 2020.

The survey is based on a similar survey already conducted by Mr. Wally Adamchik of Firestarter, Inc. for the construction industry. His final report for the previous survey is available here. A similar report will be published for the CONSTRUCTION MATERIALS industry upon completion of the below linked survey.

We ask that you please distribute this survey link company-wide to increase participation and provide optimum results.

Thank you in advance for your participation and assistance in spreading the word!
PACA - Building and Connecting Communities