| January 2000 PRESIDENT'S COLUMN By: Susan Gardner ASCE National is meeting in January to initiate another round of strategic planning. National will use the following proposed vision, mission, and goals as a framework for discussions: VISION: Engineers Building a Better Quality of Life MISSION: ASCE will: Develop Leadership Advance Technology Advocate Lifelong Learning Promote the Profession for its Members and PartnersGOALS: Develop Leadership to broaden our members' perspectives and to enhance their career growth
Advance Technology
Advocate Lifelong Learning to aid our members' continued success throughout their careers
Promote the Profession throughout society to enhance its stature
Traditionally, the Seattle Section has carefully studied these strategic plans and provided thoughtful input. This time, National is asking for section and branch dialogue during the committee's week-long planning meeting. Lynn Billington, North Branch President, and Tom McDonald, representing the Seattle Section, will attend a one-day session to exchange ideas. At any step along the way, membership input is encouraged. We will provide you with progress reports and opportunities to participate in discussions. Contact Lynn, Tom (425-519-6500 or tfm@deainc.com), or me.At the December board meeting, Ron Borowski presented a letter drafted to address infrastructure funding. The letter encourages local and state law-makers to make infrastructure funding a priority as they revisit budgets in light of the passage of I-695. In particular, the letter voices concern about maintenance of essential services for the public's safety and welfare, and suggests potential impacts of underfunding to future economic progress. As soon as Board feedback has been incorporated into the document, it will be sent to those in key decision-making positions. Thanks to Ron, the Board is taking a proactive approach to this regional issue. Vital services just don't magically appear; civil engineers play a major role. Being visible on a local and regular basis is one way we can bring recognition to our profession. Do what you can as an individual and collectively to promote an awareness of our role in society. We deserve it. |
| Transition in Company Ownership
presented by Shiva Batra, INCA Engineers, inc., and Gary Bleeker, HDR Engineering, Inc. Report by Timothy Lowry timothylowry@home.com As our November speakers, Shiv Batra of Inca Engineers, Inc. and Gary Bleeker of HDR Engineering, Inc. presented "Transition in Company Ownership" comparing both of their ownership models, partnership and an employee stock ownership plan (ESOP), respectively. As the smaller of the two firms (with 100 employees), Inca engineers has developed an ownership model that allows senior partners to invest financially in the company. This was selected from three typical ownership transfer options; individual or family owned business and partnerships, ESOPs and merger and acquisition. Mr. Batra described a strategy where a ten to fifteen years outlook will produce the greatest benefits to the invested partners. Inca’s financial objectives balance the needs of existing investors with organizational objectives that ensure future value for subsequent investors. Key employees become owners of the business who are then rewarded for their contributions. Well-designed ownership transfer policies ensure continuation of the firm as the existing owners retire. This requires redemption payments be paid out over a sufficiently long horizon. Hence, fair returns to shareholders will encourage new purchases and provide an incentive to hold stock. The stated goal is 20% long-term return on investment. The actual ROI has been 45% since the transition began. A major consideration to this program is a sound employee exit strategy. If done properly, the exiting staff will become a new client over a period of time, through a solid non-competitive clause and payouts of their investment over a reasonable timeframe. To contrast this approach, Gary Bleeker of HDR Engineering described a firm owned by employees through stocks. In fact, 80% of employees hold stock (with a 1% maximum per individual). Gary stated that a solid investment banker is needed to oversee this operation that falls under the purview of the SEC (Securities and Exchange Commission). From humble beginnings as Henningson Engineers in 1917 Omaha, HDR has grown to be the 30th largest firm in the nation with 2500 people and $280 million in annual revenues. The most recent transition was initiated in 1996 when employees purchased the company from a French parent company who had underestimated the legal components of engineering in the United States. This transition required complex financial instruments and relationships. Over $36 million in long term and $18 million in short term funding was brought together in the following fashion: HDR Long Term Debt - 1996 ESOP $28.5 M Management Buyout by Employees $ 3.1 M Investment Bank $ 2.5 M HDR Short Term Debt - 1996 Bank Loan $13.5 M Bridge Loan $ 4.5 M
Diversifying the risk across multiple investors afforded the parent company the confidence to take the risk of such a large transition of capital and operations. The short term debt (read higher interest rates) was retired in one year by a combination of employee stock purchases of $18 million ($5 million more than anticipated), liquidation of capital assets (buildings), and execution of management life insurance policies. The transition went so smoothly that HDR was able to acquire an additional company. HDR has grown well through this transition. Since 1996, the employee base has increased over 50% from 1600 to 2500 staff. Profits have increased from $17.5 million in 1996 to $29.5 million in 1998, a 68% increase in value. Currently, HDR is developing a ten to fifteen year strategy aimed at the 65% to 75% of the employees in the 35 to 45 year old age bracket who are set to retire within this horizon. |
| LOCAL OUTSTANDING CIVIL ENGINEERING ACHIEVEMENT -
2000
SEATTLE SECTION - ASCE
The Executive Board of the Seattle Section of ASCE, in January 1984, approved the annual presentation of an award to recognize outstanding small civil engineering achievements within the Seattle Section area. A bronze plague is awarded to the recipient from funds made available through the Section and National Headquarters. All civil engineers who are subscribing members of the Seattle Section are encouraged to submit their projects for consideration by April 1, 2000. The standard application form for submittal of required project information can be found on the Section’s Web page at www.asce.org/gsd/sections/seattle/LOCEA/loceamain.htm. The entry requirements are as follows: The design must have been accomplished under the direction of a civil engineer who is a member of the Seattle Section. The project must be located in the Seattle Section area. Project construction cost may not exceed $1.5 million. Work must be completed in the calendar year 1999. The project must be predominantly a civil engineering work. Submission must include a location map, project description (200 words of less) stressing special design considerations, and 8-1/2 x 11 copies of relevant engineering drawings and plans. Entry information should include 4 to 6 color photos (maximum size 8" x 10"). The evaluation of the submitted project will consider the following elements: excellence in design; innovation; compatibility with the environment; cost-effectiveness; aesthetics; contribution to public welfare and/or safety; and effective use of materials. In addition to a project description with a 200-word limitation, applications are encouraged to include a narrative on these evaluation criteria. The evaluation will be made by the Awards Committee with final selection made by the Executive Board of the Seattle Section. All entries become the property of the Seattle Section. Questions concerning this award should be directed to Steve Hart, Chair, Seattle Section Awards Committee at (206) 695-4720 or by email at shart@rwbeck.com. Please check out the Sections web page to see the application of last year’s winner. |
| CONGRATULATIONS TO OUR NEW LIFE MEMBERS
Life membership is attained when a member has reached the age of 65, his/her age plus their number of years of membership equals 95 and they have paid dues for at least 20 years. Life members are exempt from paying dues in honor of their many years of service to ASCE. Seattle Section honors new life members at the January meeting. Our January 12, 2000 meeting will honor the following individuals:
Douglas L. Jonas Herbert A. Armstrong Robert D. Scholes James L. Tocher Donald E. Bowes Thomas R. Hager Bart T. Lynam Morris A. McCool Jack W. Kinney, Jr. David L. Mark Neal M. Jacques Donald A. Gwilym Ivo Gustetich Dr. Kay H. Jones Alan A. Sato Mortimer H. Thomas. Ronald J. Mr. Mullen Saty D. Satyamurti Charles Juergens J. Weston Hall |
| Daniel Mead Prize
The winner of the 1999 Daniel Mead Prize for younger members in Zone IV was Danh T. Nguyen. Daniel Mead prizes for Younger Members and for Students are awarded annually on the basis of papers on professional ethics. Each year the specific topics (if any) of the contests are selected by the selection committees. Papers are not to exceed 2,000 words. Specifics for next year’s contest can be found on the ASCE web page ( www.asce.org). The deadline is February 1st. If you have any questions regarding this contest, please contact Steve Hart at (206) 695-4720. Danh T. Nguyen’s winning professional ethics paper is presented below.The American people need outstanding political candidates to solve problems such as medical care, the world economy, pollution, etc. American voters work very hard to raise money to support their candidates and appeal to businesses to make contributions so that the right candidates for the jobs get elected to solve national as well as world problems. Consulting firms are encouraged to make political contribution to candidates only because this contribution will help consulting firms obtain engineering contracts. This bribery is unjust and unethical because it undermines the principles of professional standards, devalues humans, and hurts the country. Political contributions that affect engineering contracts inhibit true competition among other consulting firms. Firms that rely on the contributions to win engineering contracts lose sight of good reasoning, sound judgement and moral choices. These firms, as a whole, lowered their professional standards. The firms are not honest to their clients, who assume the firms win the contract because they are the most qualified for the job. Eventually, designs are created that maximize profits and neglect safety standards. People can get hurt and this will reflect back to the firm's reputation. It is better for the firms to accept the jobs they can do well rather than taking on jobs for which they are not qualified. Losing and winning a contract in fair competition teaches a consulting firm to identify their strengths and weaknesses so they can make sound judgements concerning individual contracts. Unethical contributions devalue political candidates, the firm, its employees, and the public. It also devalues the candidate because he/she will be used as a means to achieve contracts at consulting firms. The firm will have lower self-esteem, as well as its employees, (assuming that they know of their firm's actions) because they do not have what it takes to win contracts on their own. In some cases, when executives make this decision alone, their employees are being misrepresented. Honest and decent employees are not being recognized for their original works but by the money that won the engineering contract. Unethical contributions put the public in danger because winning the engineering contract is one thing, but putting the public in danger outweighs everything else. The State Board of Engineering Registration and the engineering professional community want consulting firms to provide accurate information that pertains to the public safety issues and the welfare of the public, as it was intended, and that members follow principles of professional standards. If the welfare of the public is in danger, it may even embarrass officials in government and put the country's reputation in shame. Unethical contributions devalue humans on every level, including consulting firms and their employees, the public, and local, state and federal governments. Political candidates who are favored and acknowledged by consulting firms will usually get elected more often compared to other honest political candidates. Instead of electing the best candidates to solve the country's problems, these unethical contributions enable the selection of lesser-qualified candidates. Beneath the nation's laws are moral principles that make this country so grand. By bringing candidates into the government through unethical contributions from specific firms undermines the principles and high standards of the country. Honest competition can only further our country's reputation, wealth and prosperity, rather than through loopholes that devalue our morals and send us down an unpleasant path. The intent of the public is to vote for the best candidate so that the majority can benefit in a positive way. When special interest groups contribute to political candidates who they assume will work for them, then there are no ideal candidates working for the people anymore. The principles of our government and the country are that all people should benefit from our candidates and whatever good they can offer the public (i.e. public safety, fairness, etc.). Unethical contributions are morally wrong and devalue the principles of our country. It is unethical for consulting firms to make contributions to political candidates who can be directly connected to engineering contracts since such contributions put professional standards at risk. Unethical contributions devalue the profession and affect many others whose lives depend on. Honest practices satisfy the engineering professional community, the State Board of Engineering Registration, the principles of our government, the country and its people. Unethical contributions and dishonest practices devalue a firm's reputation and integrity up to the national level and possibly the International level. |
| Seattle Wood Solutions Fair: March 2, 2000
By: David M. Schwegel, Transportation Planning & Engineering, Inc. Audrey Mattila, Project Administrator, Wood Solutions Fair cordially invites all Civil Engineers in the State of Washington to the Seattle Wood Solutions Fair to be held on Thursday, March 2, 2000 at the Washington State Convention and Trade Center. Wood experts as well as manufacturers and suppliers of wood products will come together in this event that will include seminars and a trade show. The focus is on wood products and their use in construction. Design and building professionals will be able to gain continuing education accreditation as certificates and AIA CES forms will be available. This event is sponsored by the American Forest and Paper Association, APA, The Engineered Wood Association, Canadian Wood Council, Southern Forest Products Association, Wood Truss Council of America, PFS and TECO Corporations, Intertek Testing Services and Open Joist 2000. For more information, feel free to contact Audrey Mattila (613-747-0466 [phone]; 613-747-0464 [fax]; amatilla@cwc.ca). Thank you. |
| AMF Gears up for the Fifth Annual Popsicle Stick
Bridge Building Competition
By David M. Schwegel, Transportation Planning & Engineering, Inc. On Saturday, February 26, 2000, approximately 2000 spectators, 300 high school students, 50 volunteers, celebrity judges, and media professionals will be convening at the Crossroads Mall in Bellevue for the Fifth Annual Popsicle Stick Bridge Building Competition. The competition’s purpose is to promote engineering careers among high school students through a practical hands-on exercise. Last years competition featured a total of 25 teams from 15 different schools and a winning bridge from Olympic High School (Silverdale) that held 1582 pounds. So far this year, 21 schools are signed up. After celebrity judges perform an aesthetic evaluation of each bridge, the bridges are strength tested under a hydraulic loading press. Students gaze in anticipation as the bridge members bend and crack under the increasing load. The climactic point of the bridge breaking brings feelings of both excitement and sorrow as students recognize the tremendous loading capabilities of their tiny 400 gram bridge while seeing hours of work crushed to pieces. Once bridges are broken, students have the opportunity to meet with AMF consultants to analyze failure modes and assess design improvements for next year. Contest day provides avenues in addition to bridge building for learning about engineering. College engineering students and young practicing engineers from AMF are available to discuss engineering careers. Students also have the opportunity to witness numerous engineering exhibits around the mall as this event is held in conjunction with National Engineers Week. For the past four months the Associate Member Forum (AMF) of ASCE has been busy preparing for this event under the direction of PSB Coordinator Ann Epler. A school visit training session was conducted by past AMF president Bob Bucher in November. Civil Engineering students, practicing AMF engineers, and additional volunteers have been conducting school visits as far away as Port Angeles. The rules committee has rewritten the specifications to encourage continued creativity and ingenuity. Celebrity judges are being selected and contest day preparations are being made. The next organizational meeting is scheduled for Monday, January 10, at 6:00 PM at Hammond, Collier & Wade Livingstone. All volunteers are encouraged to attend. While the competition is rapidly approaching, many participation opportunities are still available. Companies who donate money and prizes will enjoy outstanding publicity. Individuals who enjoy instructing students in the art of bridge building, discussing structural analysis and civil engineering careers with high school students, and judging bridges aesthetically/technically are strongly encouraged to participate. AMF is also in need of equipment. Volunteers find participation to be extremely rewarding as they get to play a significant role in the lives of tomorrow’s engineers. Please contact Ann Epler (206-632-2664, aepler@hcwl.com) if you would like to participate.Please come out to the Crossroads Mall on Saturday, February 26, 2000 to witness the incredible results of hours of innovative engineering work by local high school students. Registration takes place from 8:00 AM to 9:00 AM. Aesthetic judging takes place from 9:00 AM – 10:00 AM. Strength testing goes from 10:00 AM to 12:00 Noon. An award ceremony follows the strength testing.
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| University Advisory Committee
The committee wishes to thank the following for participating in the Guest Lecturer/Presenter program at UW and SU: C.B. Grouse from Dames & Moore gave a noon time presentation to the SU ASCE Student Chapter on earthquake potential of the Puget Sound Region. Steve Flude, Assistant Director/Assistant County Engineer, and Jim Carcher Design and Construction Manager, Skagit County spoke to a UW class on civil engineering in the Public Sector. Brad Einfeld, from HDR discussed various aspects of a wastewater transport project focusing on tunneling and technology issues. Cliff Knitter formerly with Golder Associates, gave a lecture to an SU class on geotechnical design issues. If you are interested in participating in the university guest lecturer/presenter program, please contact Cliff Williams, 425 822-2525, cwill@horton-dennis.com or Kim deRubertis 509 782-3434, DERUBERTIS@aol.com
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| Zero Impact Construction Techniques - Fact or Fiction
By Felix Kristanovich [fkristanovich@mail.shap.com] In presentation to the ASCE Water Resources and Environmental Group, Prof. Ed Van der Bogert, the Director of the Construction Management Program at the Edmonds Community College will present highlights of his highly successful workshop at the college. The presentation will focus on impact of ESA and 4(d) rule on drainage design techniques, and specifically on addressing soil erosion and drainage at construction sites since the listing of salmon under the ESA. The least impacts BMPs and a more detailed review of portable water filtration techniques will be described. The presentation will be a brown bag type: you bring your own lunch, while our host, Brown and Caldwell provides light refreshments. The presentation will be Thursday, January 20 at noon at the offices of Brown and Caldwell, at 999 Third Ave., Seattle in the conference room on the 40th floor. The fee parking is available under the building. For further information on the meeting please contact Felix Kristanovich at (206)624-9190 or at fkristanovich@shap.com. |
| Employment Advertisement
STRUCTURAL ENGINEERS – WITH COMMERCIAL OR INDUSTRIAL EXPERIENCE Afghan Associates Inc., a Portland, Oregon, consulting engineering firm, believes that developing quality professionals is the key component of the firm's strategic business plan. As such, employee job satisfaction is a top business priority. Locally owned, the firm maintains a positive and cohesive office environment, making local decisions that take into account the needs of the staff. Further, Afghan Associates, Inc. is supportive of activities that balance professional and personal concerns. Afghan Associates, Inc. recognizes that satisfied employees ensure client satisfaction. For confidential consideration please respond by email to hra@resight.com or call 1-877-598-1611 to learn more about this exciting growth opportunity.CIVIL ENGINEER - Articulate, energetic, resourceful Civil Engineer (PE or eligible) for fast-paced company in Kent. Job includes varied and challenging hands-on practical civil, geotechnical and structural work involving insurance claims, litigation and repair recommendations. Good opportunity in a growing field. Salary DOQ, excellent benefits. Please send resume to: Barghausen Engineers, Ref. 250; 18215 72ne Ave. So., Kent, WA 98032. |