Associated General Contractors of Alaska
8005 Schoon St.
Anchorage, AK 99518
907-561-5354
Fax: 907-562-6118
www.agcak.org
EDITORIAL BOARD
Clare Kreilkamp
Associated General Contractors of Alaska

Jenith Ziegler
ChemTrack Alaska, Inc.

Pearl-Grace Pantaleone
HDR Alaska Inc.

Alicia Amberg
Associated General Contractors of Alaska

Christine A. White
R&M Consultants, Inc.

Heather Sottosanti
Big State Mechanical, LLC

Marcus Trivette
Brice, Inc.

Johnathon Storter
Meridian Management, Inc.

EDITORIAL STAFF
Tasha Anderson
Managing Editor

Rindi White
Editor

Monica Sterchi-Lowman
Art Director

Fulvia Lowe
Art Production

James K Brown
Graphic Designer

BUSINESS STAFF
Charles Bell
VP Sales & Marketing
907-257-2909 cbell@akbizmag.com

Janis J. Plume
Senior Account Manager
907-257-2917 janis@akbizmag.com

Christine Merki
Senior Account Manager
907-257-2911 cmerki@akbizmag.com

ALASKA BUSINESS PUBLISHING CO. INC
501 W. Northern LIghts Blvd., Ste 100
Anchorage, AK 99503

The Alaska Contractor is published by Alaska Business Publishing Co. Inc. for the Associated General Contractors of Alaska. Contents of the magazine are not necessarily endorsed by AGC of Alaska or Alaska Business Publishing Co. All rights reserved. Copyright 2024 by the Associated General Contractors of Alaska. For information about articles in this edition or for permission to reproduce any portion of it, contact Alaska Business Publishing Co.

COVER
Photo provided by Alaska Native Tribal
Health Consortium

Design by James K Brown

The Alaska Contractor logo
Table of COntents
PROFILES
Project updates
Home Away from Home by Vanessa Orr

Delivering the Future by Jamey Bradbury

Departments, Columns and Other AGC Content
The Alaska Contractor logo
Table of COntents
Features
PROFILES
Project updates
Home Away from Home by Vanessa Orr

Delivering the Future by Jamey Bradbury

Departments, Columns and Other AGC Content
Associated General Contractors of Alaska
8005 Schoon St.
Anchorage, AK 99518
907-561-5354
Fax: 907-562-6118
www.agcak.org
EDITORIAL BOARD
Clare Kreilkamp
Associated General Contractors of Alaska

Jenith Ziegler
ChemTrack Alaska, Inc.

Pearl-Grace Pantaleone
HDR Alaska Inc.

Alicia Amberg
Associated General Contractors of Alaska

Christine A. White
R&M Consultants, Inc.

Heather Sottosanti
Big State Mechanical, LLC

Marcus Trivette
Brice, Inc.

Johnathon Storter
Meridian Management, Inc.

EDITORIAL STAFF
Tasha Anderson
Managing Editor

Rindi White
Editor

Monica Sterchi-Lowman
Art Director

Fulvia Lowe
Art Production

James K Brown
Graphic Designer

BUSINESS STAFF
Charles Bell
VP Sales & Marketing
907-257-2909 cbell@akbizmag.com

Janis J. Plume
Senior Account Manager
907-257-2917 janis@akbizmag.com

Christine Merki
Senior Account Manager
907-257-2911 cmerki@akbizmag.com

ALASKA BUSINESS PUBLISHING CO. INC
501 W. Northern LIghts Blvd., Ste 100
Anchorage, AK 99503

The Alaska Contractor is published by Alaska Business Publishing Co. Inc. for the Associated General Contractors of Alaska. Contents of the magazine are not necessarily endorsed by AGC of Alaska or Alaska Business Publishing Co. All rights reserved. Copyright 2024 by the Associated General Contractors of Alaska. For information about articles in this edition or for permission to reproduce any portion of it, contact Alaska Business Publishing Co.

COVER
Photo provided by Alaska Native Tribal
Health Consortium

Design by James K Brown

winning bids // Construction trends // winning bids // Construction trends
Winning Bids title
map of the different regions of Alaska
23 bids // $29.9 Million
Region graph
Type graph
Affiliation graph
Note: Winning Bids (1) Source from projects advertised in AGC of Alaska Online Plans (2) Calculations based on date of bid (3) Supply/Service: Non-Construction bid results are not always advertised in AGC of Alaska Online Plans (4) RFP results are not always advertised in AGC of Alaska Online Plans
The Associated General Contractors of Alaska logoAGC MEMBER
Arctic & Western text
Napaskiak RPSU Project On Site Construction
The Associated General Contractors of Alaska logoSturgeon Electric Co, Inc.
$1,793,300

Calcium Chloride, Bladders – Northern Region, Federally Funded
Univar Solutions USA, Inc.
$1,725,423

Install Steel Pipe Piling Various Villages in the Yukon Kuskokwim Delta
Specialty Supply / O’Brien Construction JV
$1,721,950

Kwethluk Power Reconnect
Bethel Contracting, LLC
$327,270

Eek Remediation Support – Alaska Region 2023
Tanana Commercial Co, LLC
$67,071

Interior text
South Davis Park Softball Consolidation
The Associated General Contractors of Alaska logoGreat Northwest, Inc.
$960,000

Chena Lake Recreation Area Revitalization Phase I
Rhino Construction, LLC
$824,500

Pioneer Hall Controls and AHU Upgrades (Rebid)
American Mechanical, Inc.
$183,574

Forestry – Tok Area Wildland Urban Interface Fuels Project
Young Timber, Inc.
$131,700

Solid Waste Landfill Natural Gas Piping
Beckley Mechanical Company
$98,069

Midnight Sun Elementary School (MSN) Fire Pump Transfer Switch Replacement
The Associated General Contractors of Alaska logoB&B Electric
$40,335

Southeast text
CCFR Auke Bay Fire Station Mechanical Upgrades Project
Dawson Construction, LLC
$994,574

JNU Buried Tank Removal and Replacement
Alaska Fuel Systems, Inc.
$175,000

Ketchikan – Misty Ranger District (KRMD) Vault Pumping
Waste Connections of Alaska, Inc.
$99,361

Juneau Police Department Impound Lot Lighting Improvements
Alaska Electric
$62,000

Southcentral text
Kenai Bluff Bank Stabilization
The Associated General Contractors of Alaska logoWestern Marine Construction, Inc.
$20,121,000

Construct Sunshine Creek Circle Improvements (Rebid)
The Associated General Contractors of Alaska logoNeeser Construction, Inc.
$200,742

Emergency Inventory Engine Purchase
49th State Power
$128,367

Seward Marine Center Dock Repairs 2022
The Associated General Contractors of Alaska logoSwalling General Contractors, Inc.
$93,280

D-1 Gravel for Denali Park Road
The Associated General Contractors of Alaska logoCLI Construction
$74,958

HVAC Energy Efficiency Improvements in three Village Clinics
Long Building Technologies
$56,348

Asbestos Removal at City of Wasilla Old Museum
Central Environmental, Inc.
$27,589

Air Quality HVAC Units Supply
EKTO Manufacturing Corporation
$21,828

Construction Trends typography
quarterly Spending Comparisons
Combined bid data
BID Quantities
BID Quantities graph
Dollar Amounts
Dollar Amounts graph
Annual Cumulative
Annual Cumulative line graph
The Associated General Contractors of Alaska logo
Welcome, New AGC Members
From November 15, 2023 to February 8, 2024
GENERAL

Brice Pacific, LLC
Robert Champion, Program Manager
3700 Centerpoint Dr., Ste. 8154
Anchorage, AK 99503
Phone: 907-277-7287
robert.champion@bricepacific.com
www.calistabrice.com
Specializes in general construction and is primarily focused on serving federal clients in Alaska, Lower 48, and select international markets. We are equipped to handle logistically challenging locations and offer a broad scope of services, including specialty structures, civil work, demolition and renovation, federal buildings, laboratory construction, storage solutions, utility infrastructure, and aircraft hangars.
*Referred by Brian Midyett, STG Pacific

Red Point Construction, LLC
Jake Fellman, President
Chris Harsh, Vice President
561 E. Steel Lp.
Palmer, AK 99645
Phone: 907-745-7624
jacobf@redpointteam.com
charsh@redpointteam.com
www.redpointteam.com
General contractor and specialty trades contractor.
*Referred by Scott Vierra, North Star Equipment Services

SPECIALTY
Anchor Enterprise Inc.
Forrest Boehmler, President
Janelle Christensen, Project Management
205 E. Dimond Blvd., Ste. 534
Anchorage, AK 99515
Phone: 907-351-9781
forrest@anchorenterpriseinc.com
janelle@anchorenterpriseinc.com
Fluid-applied coatings, high-performance epoxy, concrete repair, polished concrete, and slab jacking

Malone Construction LLC
Don Malone, Manager
PO Box 874196
Wasilla, AK 99687
Phone: 907-244-8482
malonedon@hotmail.com
Concrete placement throughout Alaska. We place concrete in some of the toughest areas of Alaska, from Prudhoe Bay to Anchorage and Juneau to Craig—we have done it all. From foundations to mine spillways—we can perform. We have received several recognitions on our slabs that we finished from the 3rd Contracting Squadron to general clients; everyone has been satisfied.

ASSOCIATE
Alaska Wood Moulding
Jeff Wood, General Manager
6239 B St., Ste. 102
Anchorage, AK 99518
Phone: 907-830-9549
jeff.w@alaskawoodmoulding.com
www.alaskawoodmoulding.com
Alaska Wood Moulding’s capacity to manufacture custom wood products is only limited by the imagination: trim, siding, timbers, handrails, stair treads, and custom door jambs in any domestic or exotic species.

Hybrid Color | Digital + Creative
Jesse McCarty, Executive Producer
3707 Woodland Dr., Ste. 3
Anchorage, AK 99517
Phone: 907-903-9025
jesse@hybridcolor.com
www.hybridcolor.com
We are a local film production house/marketing agency.
*Referred by Jenith Ziegler, ChemTrack Alaska

Landye Bennett Blumstein LLP
Doug Karet, Partner
701 W. 8th Ave., Ste. 1100
Anchorage, AK 99501
Phone: 907-276-5152
dougk@lbblawyers.com
www.lbblawyers.com
Legal services.

Northwestern Mutual
Damon Yardley, Financial Advisor
655 E. 400 N.
Logan, UT 84321-4217
Phone: 208-851-2309
damon.yardley@nm.com
www.northwesternmutual.com/financial/advisor/damon-yardley
We provide holistic personal and business financial planning. We use unique cost-efficient strategies to help small businesses set up group benefits.
*Referred by Sarah Klebs, CGC Services

RPC, Inc.
Michelle Denney, President
Darrell Massie, Construction Manager
27607 Mallard Ct.
Chugiak, AK 99567
Phone: 907-360-2287
rpcalaska@outlook.com
passivehomesllc@outlook.com
RPC, Inc. provides project, construction, and grant management services.

Get the most out of your membership.
Keep an eye out for AGC notices and ads for more information about programs and events!
Marcus Trivette
MARCUS TRIVETTE
President
The Associated General Contractors of Alaska logo
PRESIDENT’S
MESSAGE
Changes Are Afoot
Associated General Contractors of Alaska’s vibrant footprint in the Interior evolves
By Marcus Trivette
E

arlier this year the Associated General Contractors, or AGC, of Alaska held its annual construction spending forecast in both Anchorage and Fairbanks, sponsored by the Construction Industry Progress Fund, or CIPF. You can read more about the forecast here.

Those who attended the Fairbanks forecast breakfast might have noticed that it was not held in the training room at the office on Bonita Street that AGC has owned for decades. The forecast was instead delivered at the Westmark Fairbanks Hotel and Conference Center in Downtown Fairbanks. AGC of Alaska listed the Bonita Street property for sale, and it was under contract as we began the move to new, leased office space in Downtown Fairbanks.

Prior to the Online Plans service moving online, AGC’s Fairbanks office saw a substantial amount of foot traffic from contractors stopping by to copy plans and specifications for jobs they were bidding. The building was also frequently used for in-person training. However, the COVID-19 pandemic forced us to excel at virtual training, and the convenience of that option made it the preferred format even after our routines returned to normal.

Meeting Change with Flexibility
AGC constantly evolves to meet our mission to advocate, educate, and promote the construction industry. Our current building no longer met our needs. The AGC of Alaska Board of Directors voted unanimously to direct staff to sell the building and move to leased office space at its spring 2023 meeting. That decision kicked off an exhaustive process of identifying requirements for a new space, reviewing commercial space for lease throughout Fairbanks, and running budget calculations to ensure the change would not have a negative long-term effect on the association’s finances.

While the location where AGC hangs its shingle has changed, many of the activities, events, and partnerships that we forge in the Golden Heart City continue. Members braved the -40°F degree cold in January to attend the Construction Spending Forecast. In February, the annual Bowl-A-Thon fundraiser, a sold-out event, was held at Nugget Lanes on Fort Wainwright to raise funds to support education. Members will learn about contracting opportunities from a variety of public and private owners at Spring Agency Day at the Taiga Center on Wedgewood Resort’s campus April 11, followed by the spring AGC membership meeting April 12. Later this summer, the annual golf tournament will return to Chena Bend, where thirty-six teams will compete for a variety of trophies while raising proceeds to support our missions.

Supporting the Future
These missions include ongoing support of the AGC Student Chapter at UAF. This group of students competes annually in national competitions for both Steel Bridge and Concrete Canoe. AGC’s support allows them to undertake these expensive endeavors that teach real-world lessons about schedule, budget, and constructability, which will be important as they enter our industry. AGC’s members also provide direct guidance and mentorship to these students by being guest speakers at club meetings and providing feedback when reviewing résumés.

AGC continues to partner with the Construction Management program at the Community and Technical College at UAF. The program has seen a 51 percent increase in enrollment year over year. This increase can be attributed to outreach and advertising supported by AGC and its members, a shift to offering online options for students, and a commitment from the university to field a program that meets the needs of its industry partners.

Change is constant, and it is more obvious around AGC in Fairbanks these days, but know that the good work your association is doing in the Interior is continuing. These changes will increase our staff’s ability to focus on our core mission and ensure we have the resources available to continue to support our members’ needs. The next time you are in Fairbanks, stop by our new location at 100 Cushman Street, Suite 402, and see AGC’s new footprint in Alaska’s second-largest city.

Alicia Amberg Headshot
Alicia Amberg
Executive Director
The Associated General Contractors of Alaska logo
Executive Director’s Message
AGC is Suing the Federal Government
Going to court over mandatory project labor agreements
By Alicia Amberg
W

hy take this drastic step? In two words, fairness and flexibility. Let’s get right into the details.

The Current Situation
New federal rules affecting the construction industry are unrealistic for many of our members. The Federal Acquisition Regulation, or FAR, Council has issued a final rule that mandates the use of Project Labor Agreements, or PLAs, for federal construction projects valued at $35 million or more. This significant change, effective for solicitations issued on or after January 22, seeks to standardize labor relations on large federal projects. This is a complicated subject. I’ll try to break it down into simpler terms.
A Brief Background
A PLA is a pre-hire collective bargaining agreement with one or more labor organizations that establishes the terms and conditions of employment for a specific construction project. Until now, contractors could choose whether to enter into PLAs. However, under the new rule, choice is eliminated. PLAs are mandated for certain federal projects, altering the landscape for how contractors engage with labor agreements.
AGC’s Position
As an organization, Associated General Contractors, or AGC, respects the value PLAs can offer to a project; we do not oppose PLAs per se. Our concern lies with the mandatory imposition of PLAs on publicly funded projects. We believe in the principle of fair and open competition, allowing contractors to decide the best approach for their project and workforce needs. Mandating PLAs, in our view, restricts this freedom and could introduce inefficiencies and increased costs—especially for publicly funded projects that may not benefit from a one-size-fits-all labor agreement.
Key Points from the Final Rule
Mandatory PLAs: The rule changes the discretionary use of PLAs to a requirement for federal projects over $35 million, with limited exceptions.

Dollar threshold increase: The applicable project value threshold has been raised from $25 million to $35 million, and it expands the range of projects affected.

Small business consideration: The rule acknowledges the impact on small businesses, promising assistance from the US Office of Management and Budget, or OMB, and the US Department of Labor, or DOL, though details of this support remain unclear.

Effective date and exceptions: The mandate applies to solicitations from January 22, 2024 onward, with very limited exceptions available.

Summarizing the Impacts
Project cost: Mandating PLAs could lead to higher operational and labor costs, affecting overall project affordability.

Legal costs: The requirement introduces potential legal complexities, as contractors navigate compliance and potentially challenge unfair conditions.

Negotiation dynamics: With the government stepping back from direct negotiation roles, contractors are left to negotiate PLAs from scratch, often without prior experience or established frameworks, increasing the risk of unfavorable terms.

The Alaska Context
Like so many other industries in our state, Alaska’s construction industry is different. It requires a nuanced approach to labor agreements. The broad application of PLAs may not adequately address our state’s unique construction challenges, underscoring the need for a more tailored and flexible approach to ensure project success.
AGC’s Lawsuit
Recognizing the potential challenges this mandate poses, AGC of America filed a lawsuit on behalf of the membership. This legal action aimed to challenge the compulsory nature of PLAs for federal projects, advocating for the preservation of contractor choice and competitive fairness. We’re not just fighting for the principle of choice but also addressing concerns over increased project costs and potential ineffi ciencies. However, as of March 12, it was announced that a federal judge disagreed with AGC’s claim that the mandate to require PLAs on major federal construction projects harms the construction industry and that a nationwide preliminary injunction should be issued. While AGC disagrees with the court’s analysis, it is clear that the implementation of the PLA mandate by federal agencies—and whether exceptions are granted—will be weighed heavily in judicial review. Additionally, AGC is consulting with legal counsel to determine the appropriate path forward.
Call to Action for Members
We urge our members to stay informed and engaged. If you receive any guidance related to the new federal PLA mandate, please share it with us. Your insights are invaluable as we navigate this change together. This eff ort is not just about confronting the immediate challenges but also about safeguarding our industry’s future. As we move forward, we will keep members posted and ask that we all share information and guidance as we receive it. We are committed to ensuring that our members’ voices are heard and that Alaska’s construction industry can continue to thrive on principles of fairness and choice.
The Associated General Contractors of Alaska logo
Corrections
  • The cover photo of the Winter 2024 edition of The Alaska Contractor incorrectly credited Swalling General Contractors. The photo was taken by J. Edward Shiok of Hook, LLC.
  • In the story “Better Care Near Home” in the Winter 2024 edition of The Alaska Contractor, the story should have stated that the Mount Edgecumbe Medical Center construction project is an ASKW-Davis, LLC project. The LLC is a joint venture of ASRC SKW Eskimos and Davis Constructors and Engineers.
Man standing at podium with microphone in hand
Calendar of Events 2024
apr 11-12
AGC Agency Day
Wedgewood Resort, Fairbanks
apr 11
AGC Political Action Committee Ticket Drawing
Fountainhead Antique Auto Museum, Fairbanks
apr 12
AGC Full Board and Membership Meeting
Fairbanks
Jun 14
AGC 37th Annual Anchorage Golf Tournament
Moose Run Golf Course, Anchorage
jul 25
Executive Board Meeting
AGC Office, Fairbanks
jul 26
Fairbanks Golf Scramble
Chena Bend Golf Course, Fort Wainwright
aug 16
AGC Sporting Clays Shoot
Birchwood Recreation & Shooting Park
aug 26
Annual Hard Hat Meeting
AGC Office, Anchorage
oct 9
Executive Board Meeting
AGC Office, Anchorage
nov 6-9
AGC Annual Conference
Hotel Captain Cook, Anchorage
dec 11
Executive Board Meeting
AGC Office, Anchorage
dec 11
AGC Member Holiday Party
AGC Office, Anchorage
dec 12
AGC Member Holiday Party
TBD, Fairbanks
Calendar subject to change, please visit agcak.org for the most up-to-date information.

Featured photo: 2023 Agency Day at Wedgewood Resort in Fairbanks.

Building for Success
GHEMM Company is at work on UAF Student Success Center and other vital campus projects
By Vanessa Orr
W

hile you would expect a university dorm to be pretty quiet after students move out, there’s actually a lot of activity happening on the University of Alaska Fairbanks, or UAF, Troth Yeddha’ campus as GHEMM Company, LLC, works to complete two large construction projects designed to enhance the student experience.

GHEMM completed the student housing and dining addition in August 2014.
outside view of completed student housing and dining addition
Major upgrades are taking place at Moore and Bartlett Halls, two dormitories on the upper campus, and GHEMM is also transforming the sixth floor of the Rasmuson Library into a new UAF Student Success Center.
The UAF Student Success Center
In 2019, a UAF steering committee was formed to study how academic libraries are changing to meet student needs. The UAF Student Success Center, or SSC, on the sixth floor of the Rasmuson Library is the result of that study. The SSC will include space for academic tutoring from multiple disciplines, academic success coaching, first year academic advising, career advising, testing services, a speaking center, writing center and math lab, and private and group study rooms. The center will also contain a smart classroom for general use, several Zoom rooms, and a recording studio. Virtual access will allow all students to access the SSC’s services, including online and distance students.
UAF Student Success Center construction site
Work is expected to be finished on the $9 million UAF Student Success Center on the sixth floor of the Rasmuson Library in August.

Photo provided by UAF

“The university looked into the student success model and what it means. Across the nation, a lot of student success centers are being integrated into library functions as libraries change their delivery methods and models. They’re no longer just stacks of books,” explains UAF Director of Design and Construction Cameron Wohlford of the $9 million project. “Many universities are planting their student success centers around library media services, and that seemed like a good fit for us.”

In 2021, Bettisworth North Architects and Planners, Inc. worked in collaboration with the UAF User Design Committee to envision the space. GHEMM Company, LLC, won the bid through a low lump sum bid contracting method and began construction in June of 2023.

outside view of the completed UAF Research Greenhouse
GHEMM completed the UAF Research Greenhouse in December 2011.

Photo provided by Ken Graham

“After the university emptied the sixth floor of the library, we started demoing the existing walls to construct the new layout,” says GHEMM Company President Meg Nordale. “This spring, we’re going to shift to outside work, including cutting out the existing concrete panels on the south side of the building that faces the quad and replacing them with windows. Windows will also be installed on the west side of the building.”

Work is expected to be completed in early August, with close-outs and cleaning to follow.

The Moore and Bartlett Complex
Right after students moved off campus in May 2023, GHEMM began demo work on the Moore and Bartlett complex with the goal of finishing work before July 1, 2024, when students move back in.

Wohlford says the $32.5 million project has been on the books for ten years and includes removing and replacing the plumbing infrastructure, redoing the restrooms, and relocating laundry rooms. GHEMM will also do a finish facelift inside each dorm room that includes painting and new floors, as well as new flooring in the corridors.

inside view of Moore-Bartlett project construction site near completion
In May 2023, GHEMM began working on the $32.5 million Moore-Bartlett project, which includes renovating the restrooms in both dorms.
GHEMM was awarded the job in November 2022 through a Construction Manager at Risk, or CMAR, contract method that included preconstruction services, cost estimating services, schedule development, and constructability reviews as the design was being developed. The company subsequently negotiated the construction phase of the project.

“As soon as the students moved out, we moved in,” says Nordale. “It’s a tight timeline. Each building is eight floors for a total of sixteen floors, and we’re touching every floor.”

Not surprisingly, there were a number of code upgrades that were not anticipated in the work on the 60-year-old buildings, increasing the cost of the job.

“Unfortunately, the timeline hasn’t changed—we still have to be done when school starts in fall 2024,” says Nordale. “For us, that’s the biggest challenge.”

The GHEMM crew are systematically working their way from the top to the bottom of each building, with builders framing walls on one floor while electricians and plumbers work on another. Sheetrock, ceramic tile, and painting work follow behind.

“It’s like a train moving through each building, and when we come across unexpected conditions we have to fix, it causes hiccups,” says Nordale. “But, at the end of the day, we have to be done because every single dorm room on the campus is full. In fact, UAF brought old dorms back online to accommodate the fact that these two are offline.”

These projects are not the first that GHEMM has completed for UAF. The company worked on the original on-site power plant, built the virology lab on the west ridge of the campus, and built an addition onto the Wood Center. It also renovated the Fine Arts Complex lobby, replaced windows in the library, and built greenhouses and a lab at the Arctic Health Center.

“It’s a tight timeline. Each building is eight floors for a total of sixteen floors, and we’re touching every floor.”
– Meg Nordale,
President, GHEMM Company
inside staircase of completed Wood Center at UAF
GHEMM built the Wood Center at UAF in 2014.
“We pride ourselves on delivering high-quality work at the price we quoted; we live by our word and live by our work,” says Nordale. “We like to make the construction effort and the time it’s going on as easy as possible. That’s why people hire us. If we weren’t successful at that, they wouldn’t hire us back.”
Additional Projects at UAF
Wohlford says UAF is currently in the process of finishing up one major project and awarding two more. In February 2024, Red Point Construction of Wasilla finished a $3.3 million hangar at the Nenana Airport that will house the university’s unmanned aerial vehicles.
Subcontractors working on the UAF construction projects with GHEMM Company, LLC include the following Associated General Contractors, or AGC, of Alaska member companies:

UAF Student Success Center:

  • A&A Roofing Company, Inc.
  • Commercial Contractors, Inc.
  • Star Electric, Inc.

Moore and Bartlett complex:

  • West Coast Concrete Restoration
  • A&A Roofing Company, Inc.
  • Commercial Contractors, Inc.
  • Gundersen Painting, Inc.
  • Patrick Mechanical, LLC
  • Fullford Electric, Inc.
UAF also awarded a $2.2 million project to repurpose a building in Bethel to become a hands-on lab for the nursing and teaching program at UAF’s Kuskokwim campus, and this summer will break ground on a planetarium next to the museum. The $8.3 million project is the result of a philanthropic gift and is expected to be completed in May 2025. At the time this article was written, these two contracts had not yet been awarded.
Vanessa Orr is a freelance writer formerly based out of Juneau, where she was editor of the Capital City Weekly and Boat Broker Outdoor Recreation magazine. Photos provided by GHEMM Company unless otherwise noted.
private construction outlook
The Associated General Contractors of Alaska logo
Alaska’s 2024 Construction Spending Forecast
Crews on land and at sea work to bring high speed internet to the Aleutians in 2022.

Photo provided by GCI

Crews on land and at sea work to bring high speed internet to the Aleutians in 2022.

Photo provided by GCI

The Associated General Contractors of Alaska logo
Alaska’s 2024 Construction Spending Forecast
S

ignificant federal infrastructure funding and the acceleration of oil project development on Alaska’s North Slope are expected to drive statewide construction spending over the next several years. Two years into the five-year federal Infrastructure Investment and Jobs Act, or IIJA, funding authorization, significant transportation, water and wastewater, energy, and broadband funding have been allocated to Alaska’s state and local governments, tribal entities, and others. Meanwhile, oil and gas production and exploration companies expect to spend $14 billion on capital expenditures over the next five years. Amid these positive signals for the state’s construction industry, high interest rates, and a limited construction workforce pose risks to investment in many sectors.

total spending chart broken down between private and public sector
Oil and Gas
$1.16 billion
green upward arrow
The oil and gas industry expects to invest $14 billion on Alaska’s North Slope and in Cook Inlet over the next five years. These investments include the largest new developments in decades. Santos will continue construction work on Pikka, with two project phases that will extend through 2028. After securing federal approval and announcing a final investment decision in 2023, ConocoPhillips expects to begin work on the Willow project in 2024.
Residential
$405 million
red downward arrow
High mortgage interest rates and material costs continue to impact demand for new residential construction. Funding for rural home repairs was authorized following Typhoon Merbok, which hit Western Alaska in fall 2022. Work continues to repair damaged homes in the affected communities.
Utilities
$700 million
green upward arrow
Spending on utilities infrastructure will increase in 2024, driven by federal funding opportunities. Grant recipients will deploy funding for statewide broadband infrastructure, water and sanitation projects, and electric grid buildouts in 2024. GCI will continue work on the Aleutian Fiber Project and plans to connect five Southwest communities by the end of 2024. Infrastructure work will continue at the Makushin Geothermal Power Project in Unalaska, and Chugach Electric Association will begin construction of a dispatch control center in Anchorage. Alaska Native Tribal Health Consortium, or ANTHC, will continue construction of rural water and sanitation systems across Alaska.
aerial view of Mt. Edgecumbe Medical Center construction site
Construction of the Mt. Edgecumbe Medical Center in Sitka in October, 2023.

Photo provided by Davis Constructors & Engineers

Hospitals and Healthcare
$260 million
red downward arrow
While hospital/healthcare spending will be lower than in 2023, work on several large projects will continue. Construction on Southeast Alaska Regional Health Consortium’s, or SEARHC’s, Sitka Community Hospital and ANTHC’s Anchorage Emergency Services department expansion will continue through 2024. In Anchorage, Providence continues work on the Eagle Street Providence Alaska House and the Crisis Stabilization Center/Behavioral Health Urgent Care, both opening in 2024.
Mining
$165 million
red downward arrow
Alaska’s producing mines expect to make capital investments in 2024 on projects such as on-site building repair or replacements, surface transportation improvements, and other infrastructure work. In 2023, Kinross completed construction of key infrastructure at the Manh Choh project in Tetlin and expects production to begin in 2024. An awaited federal decision on the Ambler Access Road project has been delayed until 2024.
Other Basic Industry
$90 million
red downward arrow
Alaska’s visitor volume was strong in 2023. New cruise ship docks around the state are in various stages of development—the Whittier and Klawock cruise docks are expected to open for the 2024 season, and permitting was approved in 2023 for the Juneau Àak’w Landing project. In the Interior, Pike’s Waterfront Lodge plans a multi-year hotel expansion project including a new boat launch. A downturn in seafood prices across several Alaska species may impact capital spending over the coming year. Routine maintenance is still expected across the state’s 160 seafood processing plants, yet substantial projects such as Trident’s Dutch Harbor plant construction have been put on hold.
Other Industrial/Commercial
$360 million
red downward arrow
High interest rates and material prices continue to dampen private investment across the state. Businesses in the industrial and commercial category will continue investing in upgrades, renovations, and new facilities, though at a slower pace than in 2023. Among the largest projects in this category will be the NorthLink Aviation air cargo terminal at Ted Stevens Anchorage International Airport, which began in fall 2023 and will continue throughout 2024. Renovation work will occur in multiple retail outlets around the state, including Costco (Anchorage) and Fred Meyer (Juneau), and Three Bears will continue expansion in the Interior.
Private Sector Construction Spending Forecast Summary
($ millions)
  • Oil and Gas

    $1,160
18%
  • Utilities

    $700
11%
  • Residential

    $405
6%
  • Hospitals/Healthcare

    $260
4%
  • Mining

    $165
3%
  • Other Basic Industry

    $90
1%
  • Other Commercial

    $360
6%
  • SECTOR TOTAL

    $3,140
49%
Kotzebue to Cape Blossom road construction site near water
Kotzebue to Cape Blossom road construction in 2023.

Photo provided by Brice, Inc.

Airports, Ports, Harbors, and Railroad
$565 million
green upward arrow
Funding authorized by IIJA will bring significant new investment in the airports, ports, harbors, and railroad category in 2024. Major airport construction projects include taxiway improvements at the Ted Stevens Anchorage International Airport, Juneau Airport runway and facilities improvements, and improvements to taxiways and airport infrastructure in Kodiak. Major multi-year port and harbor construction projects include continued modernization and stabilization work at the Port of Alaska (Anchorage) and development of a deep-water port in Nome. Additional ports and harbor work will include the reconstruction of the multi-purpose dock in Skagway, the Lutak Dock rebuild in Haines, and a dock replacement in Cold Bay. The Alaska Railroad plans to break ground on numerous bridge, track, and tunnel rehabilitation projects in 2024, including terminal track rehabilitation projects in Seward and Fairbanks.
Highways and Roads
$805 million
green upward arrow
In 2024, an estimated $805 million in construction-related spending is expected for highways and roads in Alaska. This increase in spending is driven by short-term federal highway funding increases authorized by IIJA. Notable projects for 2024 include improvements to the Sterling, Alaska, Glenn, Seward, and Richardson Highways, as well as continuing work on the new road from Kotzebue to Cape Blossom.
National Defense
$600 million
gray bar
The US Army Corps of Engineers will continue to focus on restoration and modernization of existing infrastructure in 2024, as well as various civil works projects. Major projects in this category include continuation of the Moose Creek Dam Barrier project near North Pole, Kenai Bluffs bank stabilization, Lowell Creek flood diversion in Seward, coastal erosion mitigation in Utqiaġvik, and the Joint Base Elmendorf Richardson, or JBER, Runway Extension. The US Coast Guard will continue work at the Kodiak Coast Guard Base. Projects at that base include construction of a new fuel pier, demolition of abandoned infrastructure in Womens Bay, and other site amenities and improvements.
Public Sector Construction Spending Forecast Summary
($ millions)
  • Highways & Roads

    $805
13%
  • National Defense

    $600
10%
  • Airports, Ports, and Harbors

    $565
9%
  • Education

    $335
5%
  • Other State and Local Government

    $535
8%
  • Other Federal Government

    $380
6%
  • SECTOR TOTAL

    $3,220
51%
protective water berms being worked on after being destroyed
In September 2022, Typhoon Merbock destroyed protective water berms in many coastal communities and required immediate repairs to prevent further land erosion and provide additional flood defense.

Photo provided by Knik Construction

Education
$335 million
green upward arrow
The State of Alaska shares with local governments the cost of new construction, rehabilitation, and maintenance of education facilities. Upcoming or continuing K-12 projects include Newtok School relocation to Mertarvik, school renovations in Rampart and Anvik, and roof replacement at Anchorage’s Orion Elementary. Work continues to rebuild a permanent school in Kaktovik. At UAF, work on the Rasmuson Library Student Success Center is expected to conclude in the summer of 2024, and the Yup’ik Language Center Building at the Kuskokwim Campus will begin expansion to accommodate the nursing and allied health programs.
Other State and Local Government
$535 million
green upward arrow
State and local government expenditures not captured in other public sector categories are anticipated to total $535 million in 2024. Projects will include Palmer Library reconstruction, Fairbanks Polaris Hotel abatement, development of a certified Veterans Cemetery in the Fairbanks area, construction and improvements to various public-use cabins, and many other community initiatives.
Other Federal Government
$380 million
green upward arrow
In addition to the many projects supported by federal funding in other sectors, an estimated $380 million in federal funding is expected to be deployed through various governmental and nonprofit entities in Alaska. In 2024, major construction projects in this category include continued work on the Denali National Park road and residential construction funded by Alaska’s regional housing authorities in Anchorage, Point Lay, Atqasuk, and Teller.
Information source: 2024 AGC Construction Spending Report.
AGC of Alaska emblem

The Economic Benefits of Alaska’s Construction Industry

January 2024

Crews transport components of the Stebbins/St. Michael Wind Energy Project.

Photo provided by STG, Inc.

Crews transport components of the Stebbins/St. Michael Wind Energy Project.

Photo provided by STG, Inc.

The Economic Benefits of Alaska’s Construction Industry

January 2024

T

he construction industry is a critical component of Alaska’s economy. It is integral to all industrial, commercial, residential, and infrastructure development in Alaska. Its economic reach spans the entire state, from the smallest village to the largest city. Alaska’s construction industry is an important source of jobs and wages. The industry employed 23,600 workers, including 16,105 wage and salary employees. Statewide construction industry-related jobs represent 9 percent of all Alaska jobs (39,200 of 458,000). Construction industry-related activity accounted for $3.3 billion in labor income, 10 percent of Alaska’s total labor income ($34.5 billion).

2022 by the numbers

23,600
Number of Alaska construction workers, including wage and salary and self-employed workers

1 in 20
Share of jobs in Alaska’s economy that were in the construction sector

2,600
Number of construction industry employees in Alaska

39,200
Total number of statewide construction-related jobs, including multiplier effects

$85,000
Average annual construction worker wage

$2.3 billion
Total labor income of construction workers, including self-employed workers

$3.3 billion
Total statewide labor income impact, including multiplier effects

Percentage of construction jobs held by Alaska residents
donut chart; 82%
donut chart; 87%
Percentage of construction wages paid to Alaska residents
Percentage of all Alaska jobs supported by construction-related activity
donut chart; 9%
donut chart; 10%
Percentage of all Alaska income related to construction-related activity
2022 by the numbers

23,600
Number of Alaska construction workers, including wage and salary and self-employed workers

1 in 20
Share of jobs in Alaska’s economy that were in the construction sector

2,600
Number of construction industry employees in Alaska

39,200
Total number of statewide construction-related jobs, including multiplier effects

$85,000
Average annual construction worker wage

$2.3 billion
Total labor income of construction workers, including self-employed workers

$3.3 billion
Total statewide labor income impact, including multiplier effects

Percentage of construction jobs held by Alaska residents
donut chart; 82%
donut chart; 87%
Percentage of construction wages paid to Alaska residents
Percentage of all Alaska jobs supported by construction-related activity
donut chart; 9%
donut chart; 10%
Percentage of all Alaska income related to construction-related activity
We build Alaska logo

Construction Industry
Progress Fund

www.webuildalaska.com

Workforce Needs
The Alaska Department of Labor and Workforce Development projects average annual openings of 1,960 in construction occupations through 2030. Openings reflect opportunities for a new worker to enter a construction occupation, including openings due to:

  • OCCUPATIONAL TRANSFERS
    These openings are the result of worker turnover. As workers leave construction occupations for different jobs, they are expected to create about 1,250 openings each year.
  • LABOR FORCE EXITS
    These openings are the result of workers leaving the workforce entirely due to retirement, moving out of Alaska, or other circumstances. Construction workers leaving Alaska’s labor force are expected to create 535 openings each year.
  • INDUSTRY GROWTH
    These openings are the result of higher demand for workers in construction occupations. New growth opportunities are expected to create about 175 openings each year.

Average annual openings are expected to be highest for construction trades workers such as carpenters, electricians, plumbers, operating engineers, and laborers.

Information source: 2024 AGC Economic Impact Report.
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Member Profile

Ahtna Infrastructure & Technologies, LLC

AGC member since: 10/22/16 badge
Aerial view of the future school in Yup’ik village of Napakiak.
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Member Profile
Ahtna Infrastructure & Technologies, LLC
AGC member since: 10/22/16 badge
aerial view of the future school in Yup’ik village of Napakiak

Aerial view of the future school in Yup’ik village of Napakiak.

Effective Anywhere

Ahtna Infrastructure & Technologies works well around the world
By Terri Marshall
T

ime was of the essence as the Yup’ik village of Napakiak watched the Kuskokwim River inch closer toward engulfing the local school. Despite numerous challenges, including a stop-work order, Ahtna Infrastructure & Technologies, LLC, or AIT, tackled the logistical complexities head-on to complete the first stage of relocating the school: the foundation, pilings, and installation of 50,000-pound fuel tanks.

AIT provided five foundation pads at no cost by repurposing excavated material that would have overwhelmed the landfill. The project was completed ahead of schedule, within budget, and with zero safety incidents.

AIT and its sister subsidiaries have successfully performed more than 1,600 projects worldwide, from the farthest reaches of Alaska’s Aleutian chain to Ghana in Africa.

high angle view of a customized dolly used to transport 50,000-pound fuel tanks

Customized dolly used to transport 50,000-pound fuel tanks.

“Our experience has given us a deep and comprehensive understanding of the markets we serve, especially the complexities of working in remote locations with harsh environments,” says AIT Marketing Group Manager Lori Kropidlowski. “We have the ability to effectively manage people, projects, and equipment in any remote location.”

These skills allow AIT to proactively identify and overcome logistical project obstacles, including those associated with complex compliance, safety, and environmental concerns.

AIT’s Founding and Growth
Formed in January 2020, AIT is one of seven wholly owned subsidiaries of Ahtna Diversified Holdings, LLC, or ADH, a holding company that is wholly owned by parent company Ahtna, Inc., an Alaska Native Regional Corporation formed pursuant to the 1971 Alaska Native Claims Settlement Act.

The firm specializes in the execution of time-sensitive, complex, and multifaceted construction, environmental, and professional services for government and commercial clients.

“Our multidisciplinary professional staff includes construction supervisors and craft labor, engineers, project managers, scientists, and various field personnel with decades of remote experience,” says Kropidlowski.

aerial view of a Volvo dirt mover working at a site
Geogrid used as a value-added item in a construction project.
AIT and the ADH subsidiaries have offices in Anchorage, Fairbanks, and Palmer. The firm also has full-service offices in Alabama, California, Colorado, Hawaii, Missouri, South Carolina, and Washington.

“We are excited to continue to expand our presence both geographically and with new federal customers,” says Kevin Bergt, director of operations. “AIT and the sister companies within the Ahtna Diversified Holdings group are fast becoming nationwide contractors, and AIT’s success has been a large contributing factor to our growth as an organization.”

Partnerships Add Strength
In 2022, AIT entered a Mentor-Protégé agreement with UNIT COMPANY under the US Small Business Administration’s “All Small” program. This joint venture brings together AIT, a top Alaska Native Corporation 8(a) certified construction leader, with UNIT, one of Alaska’s largest 100-percent Alaskan-owned general contractors. “The Ahtna/UNIT JV makes an incredibly strong team capable of offering a variety of large-scale construction services in every part of Alaska,” says Tim Finnigan, president of AIT’s parent company.
“AIT and the sister companies within the Ahtna Diversified Holdings group are fast becoming nationwide contractors, and AIT’s success has been a large contributing factor to our growth as an organization.”

– Kevin Bergt,
Director of Operations,
Ahtna Infrastructure & Technologies, LLC

AIT also uses the benefits of sole-source contracting to provide certainty to both the contractor and the client. “We appreciate the certainty of sole-source contracts; however, the client benefits the most from the certainty and advantages,” explains Finnigan. “The sole-source process means work can be performed sooner, since competitive contracts can take up to a year from the Request for Proposal being issued to the Notice to Proceed and commencement of the work. Moreover, the client knows exactly who will be performing the work, they are comfortable with the contractor’s qualifications, and—most importantly—the client will enjoy certainty in terms of the price they are paying for the work to be performed.”

four construction workers stand in front of a Ahtna labeled truck parked in front of the Fairweather Homeport recapitalization project in Ketchikan
Fairweather Homeport recapitalization project in Ketchikan.
“Once on site, AIT was able to pivot to another pressing project, the gym roof repair after it collapsed from snow load… The gym roof repair is still in process, and the quality of work they are doing is exemplary.”

– Kim Sweet,
Director of Operations,
Lower Kuskokwim School District

Safety Matters

AIT’s culture of safety permeates every design and construction task the firm performs, as proven by its low 2023 Experience Modification Rating, or EMR, of 0.77, which is well below the industry average of 1.0. The firm’s commitment to world-class safety is also reflected in its Days Away, Restricted, Transfer, or DART Rate statistics for the company’s operations. Additionally, AIT’s Total Recordable Incident Rate also tracks far below the industry average.

In 2023, AIT was the recipient of an Associated General Contractors of Alaska ConocoPhillips Excellence in Safety award, demonstrating the firm’s continued commitment to safe work environments for its staff, subconsultants, vendors, and end users.

Good Impressions Matter
The Napakiak community witnessed AIT’s dedication and professionalism more than once.

“We’ve worked with AIT on two projects,” says Kim Sweet, director of operations for Lower Kuskokwim School District. “The first project, the Napakiak Managed Retreat, involved moving fuel tanks away from a rapidly eroding river and averting a natural disaster that would have impacted peoples’ ability to subsistence fish and to feed their families. The second project, the Kasigluk-Akiuk fire, involved site cleanup after a fire destroyed several outbuildings around the school.”

Sweet adds, “Once on site, AIT was able to pivot to another pressing project, the gym roof repair after it collapsed from snow load. The cleanup was well done, and AIT took the lead on disposal. The gym roof repair is still in process, and the quality of work they are doing is exemplary.”

Terri Marshall is a freelance writer who has written for numerous outlets, including Alaska Business, AARP.org, and Girl Camper. Her topics range from business to travel to car reviews. Alaska road trips are among her favorite experiences. Photos provided by Ahtna, Inc.
players from the Contractors & Camo Hockey Tournament
Contractors and Camo title; The Associated General Contractors of Alaska logo
S

ix teams battled it out on the ice in the January 6 Contractors and Camo hockey tournament at the Kelly Connect Ice Center in South Anchorage. The three-on-three tournament matched players from Alaska’s construction industry and the Alaska Warriors hockey team, a Challenge Alaska program for military veterans with disabilities. The event is an annual fundraiser for Challenge Alaska and Alaska Warriors Hockey. After an all-day tournament, Team Delta emerged as the winner, decided by a classic shootout.

Photos by Michael Dinneen Photography
two hockey players fighting for the puck
hockey player about to take a shot
hockey goalie defending the net
team from the Contractors & Camo Hockey Tournament with a banner
Associated General Contractors of Alaska and Challenge Alaska would like to thank the tournament sponsors:
  • TOTE Maritime Alaska, Inc.
  • ChemTrack Alaska, Inc.
  • Kelley Connect Ice Center
  • QAP
  • Matson
  • Marsh McLennan
  • Lynden
  • Anchorage Sand & Gravel Co., Inc.
  • Drake Construction, Inc.
  • NC Machinery
  • Uncommon Pizza
  • Naniq
  • Parker Smith & Feek, LLC
  • Northern Air Cargo
  • Denali Drilling, Inc.
hockey players shaking hands after a game
hockey players watching the game from their bench
two hockey players from opposing teams
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Brice Engineering, LLC
AGC member since: 1/12/18 badge
An elevated view showcasing Brice Engineering’s per-and polyfluoroalkyl substances, or PFAS, soil washing technology in operation, contributing to the $29 million construction project at Eielson Air Force Base.
The Associated General Contractors of Alaska logo
Member Profile
Brice Engineering, LLC
AGC member since: 1/12/18 badge
high angle view of Brice Engineering's PFAS soil washing technology in operation against a bright orange sunset
An elevated view showcasing Brice Engineering’s per-and polyfluoroalkyl substances, or PFAS, soil washing technology in operation, contributing to the $29 million construction project at Eielson Air Force Base.
Engineering Pioneers
“Never the same job twice” keeps Brice Engineering engaged and flexible
By Kevin Klott
W

ith a rich history dating back to the ‘60s, Brice Engineering is an Alaska company that has evolved from a family-owned construction firm to a powerhouse in the engineering and environmental services sector.

Today, Brice Engineering boasts a diverse portfolio of successful projects spanning Alaska, Hawaii, and the Pacific Rim, demonstrating a commitment to excellence and innovation. A subsidiary of Calista Corporation, Brice Engineering stands as a testament to Alaska’s ingenuity and resilience.

“Employees are looking for companies that work with purpose, provide purpose, and do things to help,” says Brice Pacific Regional Director Makenzie Wing. “We’re doing work that is hugely important.”

Tackling Remote Projects Professionally

In recent years, Brice Engineering has spearheaded several high-profile projects that underscore its expertise and dedication to quality. One such project is the Short-Term Fuel Pier Repairs at Eareckson Air Station, or EAS, on Shemya Island, where Brice Engineering swiftly addressed the station’s critical infrastructure needs to maintain operational readiness.

distant view of construction work taking place on the Eareckson Air Station's fuel pier
Through strategic engineering design and construction, Brice Engineering successfully extends the life of Eareckson Air Station’s fuel pier, safeguarding vital refueling operations in the remote Aleutian Islands.
close up of a person wearing under water construction gear

Brice also completed a two-phase project at Shemya, repairing the waste heat loop system, which involved meticulous site preparation, installation of new piping and mechanical components, and careful testing. Despite the island’s remote location—approximately 1,500 miles southwest of Anchorage at the very end of the Aleutian Chain—Brice coordinated personnel and material transport effectively. The repairs addressed leaks in the closed-loop piping system, ensuring uninterrupted heat distribution from the power plant’s engines and generators to onsite buildings.

Brice Engineering also oversees a project at Wake Island Airfield, situated between Hawaii and Guam, which functions as a crucial refueling station for military planes and facilitates Missile Defense Agency testing. The project requires continuous operational support with a fully staffed office, equipment yard, and a 39-person man-camp.

“Brice has solutions with every setback and goes above and beyond to keep the customer happy,” says Scott Kendall, Environmental Engineering Supervisor for US Army Corps of Engineers Alaska District.

“Working for Brice is like cutting a diamond: it’s multifaceted… While many companies do the same thing over and over, one of the best things about Brice is we rarely do the same thing twice. Every project is different, and we do them for a multitude of clients.”

– Eric Sumpter,
Senior Project Manager,
Brice Solutions

Reaching New Heights
Such accolades highlight Brice Engineering’s solid commitment to delivering exceptional results under challenging circumstances. But the company’s success story traces back to its humble beginnings and a pioneering spirit that continues to drive its growth and innovation.

Founded in the early ‘60s by Helenka and Luther Liston Brice, Brice Inc. started as a family venture in Fairbanks. Over the years, the company transitioned into the hands of successive generations, with sons Andy and Al Brice assuming leadership roles in 1992. Today, the company is led by Sam Robert Brice, representing the third generation of Brice family leadership. It employs more than 200 staff members, with 77 of those dedicated to Brice Engineering.

In 2010, Brice Inc. was acquired by the Calista Corporation, marking a significant milestone in its journey. Under Calista, Brice Engineering emerged as a key player in the engineering and construction landscape, leveraging its expertise to tackle complex environmental and infrastructure projects.

“Our growth has been exponential,” Wing says. “The Brice family’s willingness to adapt and innovate propelled us to new heights. Today, with the support of Calista, we are further than we ever imagined.”

Eric Sumpter, a senior project manager at Brice Solutions, emphasizes the company’s commitment to excellence.

“Working for Brice is like cutting a diamond: it’s multifaceted,” Sumpter says. “While many companies do the same thing over and over, one of the best things about Brice is we rarely do the same thing twice. Every project is different, and we do them for a multitude of clients. One day we may be working on a demolition project, or an electrical infrastructure improvement project, a remedial excavation project, a remote contaminated site investigation, a pier repair—the list goes on. The types of projects we do are endless, and we do them at some very cool, remote, logistically challenging locations. The team and the culture we have here at Brice is why I show up every day, but the variety of projects we work on is what keeps me excited about construction and environmental work.”

wide view of the Brice Engineering soil washing technology made up of large valved tubes connecting rows of large inlet and outlet containers
Brice Engineering’s soil washing technology addresses environmental impacts from per-and polyfluoroalkyl substances, or PFAS, contamination.
zoomed in birds eye view of Brice Engineering workers stand beside a large green material processing machine; a large green processing machine working through soil
Soil Washing Solution

Brice Engineering’s expansion into environmental services has been a game-changer, allowing the company to address emerging issues such as per-and polyfluoroalkyl substances, or PFAS, contamination. With patented PFAS soil washing technology, Brice Engineering is at the forefront of environmental remediation efforts, providing innovative solutions to mitigate environmental risks and protect communities across the country.

The treatment and disposal of PFAS contaminated soil stockpiles at Eielson Air Force Base is a recent example of Brice’s expertise in environmental remediation.

The beddown of F-35A fighter planes at Eielson Air Force Base necessitated the construction of numerous facilities and infrastructure over the past four years. Each project involved varying amounts of soil excavation, leading to the accumulation of contaminated soil stockpiles. To address this environmental challenge, the US Air Force developed an approach for the on-base management and treatment of affected soils, enlisting the expertise of Brice Engineering.

Brice Engineering was contracted to characterize and treat 133,000 cubic yards of soil from various stockpiles associated with the F-35A construction projects. Leveraging its PFAS soil washing technology, Brice Engineering embarked on a mission to separate soil fractions and substantially reduce PFAS concentrations, ensuring the environmental integrity of the site.

“We’re not just a construction engineering company trying to make big business dreams come true,” says Wing. “We’re out there making sure that communities have access to clean drinking water.”

Member Opportunities

The importance of industry collaboration cannot be overstated, Wing says. Brice Engineering recognizes the value of its partnership with the Associated General Contractors, or AGC, of Alaska.

“The events that AGC puts on as an industry allow us to engage with industry and talk about big topics and issues,” says Wing.

AGC’s role in providing a platform for dialogue and collaboration has been instrumental in fostering a culture of excellence within the industry. By offering opportunities for networking, knowledge sharing, and professional development, Wing says AGC empowers companies like Brice Engineering and several other Calista Corporation subsidiaries to stay up to date on industry trends, tackle complex challenges, and drive collective progress. As Brice Engineering continues to thrive in its mission-driven approach, its partnership with AGC serves as a cornerstone for sustained growth and innovation in the engineering and construction sector.

“AGC is providing opportunities for people to engage and working behind the scenes to try to make our lives easier,” says Wing. “As a business, we’ve got to take advantage of these platforms.”

Kevin Klott is a freelance writer who lives in Anchorage. Photos provided by Brice Engineering, Inc.
Photo provided by Ken Graham Photography
2023 Annual Report to Members typography
Photo provided by Ken Graham Photography
Photo provided by Associated General Contractors of Alaska
F

or seventy-five years, Associated General Contractors, or AGC, of Alaska’s mission of “advocate, educate, and promote” has been at the forefront of all we do. AGC has been a bedrock of transformation, shaping the state’s infrastructure and forming constructive legislation on behalf of its members. We have served to support our members as they work to find innovative solutions to Alaska’s unprecedented challenges.

Over the decades, AGC has contributed to the changing landscape that builds community and fosters opportunity for growth. Where previously Alaska’s extreme geography kept us apart, AGC’s members have built bridges and paved roads that connect us. Our members have built the businesses that drive our economy, the schools that teach future leaders, and hospitals that save lives. We all truly “build Alaska.”

Advocacy, the cornerstone of AGC’s mission, is where real change begins. AGC’s relentless commitment to informing legislators and community leaders about our industry’s significance has paved the way for a better Alaska. AGC has served, and continues to serve, as the meeting ground for industry leaders, fostering partnerships that have pushed the boundaries of what’s possible, bolstering healthy competition and industry unity.

construction workers working on highway
Photo provided by QAP
Advocacy Impact
Strengthening Our Industry, Empowering Our Members
AGC’s staff, Legislative Affairs Committee, governing board, and lobbyists have worked diligently with our members at the national, state, and local levels to advocate for priority legislation and policies, working with elected officials to ensure contractors had a voice in decisions impacting the industry. AGC remains committed to delivering the industry’s message, loud and clear.
National Advocacy Efforts
In 2023, AGC spearheaded advocacy efforts on multiple policies and regulations affecting our industry:

  • Build America, Buy America Act, or BABAA, pushback: AGC is leading a coalition effort to challenge the White House Office of Management and Budget’s inept implementation of BABAA across the federal government and seeking more reasonable implementation and waiver processes. AGC provided numerous educational resources, including a BABAA FAQ document (go to bit.ly/BABAA), webinars, and presentations to help members better understand the final guidance from the Build America, Buy America Act.
  • Construction impacts of averted government shutdown: While urging Congress to avoid full/partial shutdowns, AGC provided its federal contractor members with several resources that outlined what to expect and how to prepare should the federal government shut down in advance of multiple shutdown scares throughout the year.
  • Lawsuit against government-mandated Project Labor Agreements, or PLA: AGC of America filed a lawsuit to block the Biden administration’s government-mandated PLA rule in court, while providing guidance to members through webinars and action alerts explaining the rule, its impact, and how contractors can prepare to comply with the requirements.
  • Lawsuit against Davis-Bacon Act reform: AGC of America has sued the federal government to block updates to the Davis-Bacon Act. In addition, AGC provided clear breakdowns and hosted webinars to help contractor members prepare and understand the significant changes made to compliance with Davis-Bacon on direct federal and federally assisted construction contracts.
  • WOTUS definition change pushback: After persistent lobbying efforts, AGC celebrated the US Supreme Court’s 9-0 ruling in the Sackett v. EPA case—a win for Alaska, providing property owners with clarity and flexibility in developing their land and reducing uncertainty on what is qualified as “waters of the United States,” or WOTUS. This ruling reaffirms the primary role of states in managing their own land and water resources and will provide much-needed regulatory certainty for all projects in Alaska. The precise definition of WOTUS is fundamentally important to the construction industry.
Alaska Statewide Advocacy Efforts
  • Legislative Affairs Committee activity: This group met twenty-five times leading up to and throughout the session, tracking more than forty bills, eight of which we testified or wrote letters of support/opposition about; met with countless legislators, lobbyists, and key policymakers during session to provide contractor input and perspective on crucial issues; and drafted key position statements to support our legislative priorities.
  • Ambler Road update: Throughout 2023, AGC provided testimony and letters of support granting prompt right-of-way permitting for Ambler Mining District Industrial Access Road, urging the federal Bureau of Land Management to stick to the original scope of remand.
  • Environmental Protection Agency Pebble project veto: AGC of Alaska joined other Alaska business groups expressing disappointment in a formal press release responding to the final determination for preemptive veto of the Pebble Mine project, and AGC continues to monitor additional opportunities for revision on this policy.
  • 404 Primacy rejection: Unfortunately, AGC’s strong support and hard-fought battle for 404 Primacy over the Clean Water Act and Resource Conservation and Recovery Act, or RCRA, program funding was ultimately denied in 2023. It will remain on our advocacy priorities list as we enter the 2024 legislative session.
  • Sustainable Budget Taskforce development: A core group of AGC of Alaska leaders have worked to establish a better understanding of what it means to have a sustainable fiscal plan for the State of Alaska, to more effectively communicate AGC’s legislative priorities to legislators and policy makers as it relates to the industry.
  • Willow update: AGC of Alaska joined the Alaska Chamber and other pro-development organizations in filing a “friend of the court” amicus brief. This ultimately led to a federal court decision to deny requests for temporary restraining orders, which allowed the Willow project to continue engaging in winter development activity.
Photos from the 2023 Legislative Fly-In events in Juneau.
man and two women posing for photo at 2023 Legislative Fly-in events in juneau
group of people mingling at 2023 Legislative Fly-in events in juneau
Investing in Workforce Development
AGC of Alaska continues to attract, activate, and engage the next generation of Alaska’s construction industry workforce through continued promotion of the WeBuildAlaska campaign and partnerships with the University of Alaska system. AGC spearheads support and involvement for construction-related programs at both UAA and UAF to ensure the talent pipeline funnels directly to Alaska-based contractors.

  • Inaugural Educator Externships: 2023 saw the launch of AGC’s Educator Externship program with the goal of exposing Alaskan educators to the many career opportunities available within the construction industry. The program’s specific focus for the externship experience is to provide educators with first-hand experience on jobsites of real-life applications of current high school curriculum.
  • Scholarships: In 2023, AGC awarded $30,000 through our scholarship and endowment programs to students across Alaska who are pursuing higher education in construction-related fields.
  • Sponsorships: AGC supports the UAA-Construction Management, or CM, and UAF-AGC student clubs by providing monetary support for club participation in competitions which include Steel Bridge, Concrete Canoe, Starvation Gulch, Ice Arch, and the ASC Regional competition.
  • Speed Interviewing events: To connect CM students directly with AGC contractor members, AGC facilitated speed interviewing events in Anchorage and Fairbanks to help students perfect their interviewing skills while introducing them to actively hiring contractor members.
AGC Training Programs
AGC is constantly growing the program offerings that help improve the capabilities of our members and the professionalism of our industry at large. One of the pillars of our mission is to provide educational opportunities for our members so their employees can obtain the certifications necessary for jobsites. In addition to our popular Alaska Certified Erosion and Sediment Control Lead, or AK-CESCL, Certified Quality Manager, or CQM, and Storm Water Pollution Prevention Plan trainings, over the past year AGC has expanded our educational programs to include the following programs: Project Engineer Certificate Course; Microsoft Excel Virtual Training Series; Bluebeam Revu for Administrative Professionals; Construction Correspondence and Business Writing; Reading Construction Documents; Microsoft Excel for Construction Scheduling and Estimating.

**All employees of AGC member companies are eligible for member-pricing discounts on all AGC training programs.**

We Build Alaska Logo
Earth moving at the ongoing Sterling Highway/Cooper Landing bypass.
Photo provided by QAP
AGC Member Benefit Essentials
  • Online Plans: In 2023, AGC listed more than 2,387 project postings to our Online Plans site, making our members the first to know about new jobs/projects from both public and private sectors across the state of Alaska. AGC’s Online Plans has 3,825 active users who use the platform daily.
  • AGC 401(k) Retirement Plan: AGC members (contractors & associates) can enroll in this cost-effective, low-maintenance 401(k) program for companies of all sizes. In 2023, more than thirty-three Alaska-based AGC members participated in the plan, contributing more than$2.5 million combined towards their employees’ retirement.
  • Labor relations: In 2023, AGC renegotiated five collective bargaining agreements on behalf of our industry and signatory members. The formal bargaining process saw successful contract negotiations on behalf of the following trades: Operative Plasterers & Cement Masons Local 528; Teamsters & Technical Engineers Local 959; Roofers, Waterproofers and Allied Workers Local 189; Alaska District Council of Laborers Local 341 & 942; International Union of Operating Engineers Local 302. AGC would like to thank the members that dedicate time and serve a crucial role in ensuring these agreements are fair, equitable, and meet the needs of business for contractors who elect to do work under our Alaska-based agreements.
  • Union contractors quarterly town hall: In addition to negotiations, AGC partnered with our signatory contractor members nationwide to discuss issues of importance across the industry as they impact our members to facilitate the sharing of information, trends, and best practices.
  • ConsensusDocs discount: AGC members are achieving better project results through ConsensusDocs to ensure up-to-date contracts, reflecting industry standards. AGC members receive 20 percent off of ConsensusDocs subscriptions, saving them time and money by accessing customizable templates for hundreds of standardized contract documents, including general-subcontractor, design-build, public-private-partnership, and so much more.
  • AGC Emerging Contractors Education series: In 2023, AGC released a series of educational videos geared towards smaller, up-and-coming contractors. The twelve modules cover a variety of topics, including Business Development, Bidding & Estimating, Financials & Cash Flow, and more. This entire video series is free for AGC members.
Building Your Network
Being a member of AGC means having industry contacts, from every region and specialty, at your fingertips. In 2023, AGC experienced unprecedented success in our networking events, setting new records for attendance and fostering vibrant connections among our members, positioning our events as a cornerstone for members eager to gather in person.
Attendees at the 2023 Spring Board Meeting.
2023 UAF Steel Bridge team at Nationals.
Major 2023 Events
  • Construction Spending Forecast Breakfasts: More than 200 members attended AGC’s Construction Spending Forecast Breakfasts in Anchorage and Fairbanks, where attendees heard McKinley Research Group analyze industry prospects by region, construction type, and other critical factors, empowering our members with strategic information for the year ahead.
  • Fairbanks Bowl-A-Thon: Twenty teams participated in this AGC FUNdraiser helping benefit AGC’s Alaska scholarship program.
  • Legislative Fly-In: Eighteen members gathered in Juneau alongside AGC’s staff and lobbyist for our annual legislative fly-in. The event was of great value to our members and our state leaders as AGC’s members met with nearly thirty legislators, the governor’s office, as well as the commissioners of the state departments of Transportation, Labor, and Commerce to advocate for and educate about AGC’s legislative priorities.
  • Spring Agency Day: Seventy-five attendees joined AGC at our Fairbanks office for Agency Day, where members received program presentations from the Alaska Department of Transportation & Public Facilities, or DOT&PF, US Department of Defense, University of Alaska, and other owners/agencies. More than 130 members gathered at the Auto Museum for the networking reception element of Agency Day.
  • Anchorage and Fairbanks golf tournaments: Unseasonably chilly weather couldn’t stop seventy-five teams from teeing off at the industry’s favorite golf tournaments, held at Moose Run and Chena Bend. The collective efforts of sponsors, volunteers, and dedicated golfers transformed these tournaments into a resounding success.
  • Safety Fair: 2023 was a phenomenal year for the Safety Fair thanks to our Safety Committee and our partners at Davis Constructors. More than 200 attendees visited twenty-four different stations for families to explore and learn more about construction-related safety and health.
  • Sporting Clays Shoot: Nearly 130 shooters enjoyed blue skies and sun at this year’s Sporting Clays Shoot. Twenty-four teams descended on the Birchwood Recreation and Shooting Park—our largest event of this kind in AGC history!
  • Annual Conference: 2023 was the biggest year yet for our Annual Conference and Dinner Dance. With a record 530 registered attendees and 62 sponsors, not even a record snowstorm could stop our members from joining us at the Hotel Captain Cook for presentations from the AGC Education, Training and Workforce Development and Safety committees, legal seminars, updates from the DOT&PF and US Army Corps of Engineers-Alaska, or USACE, and our keynote speaker Haydn Shaw, among others. AGC’s Dinner Dance sold out in fourteen minutes, and after our program celebrating seventy-five years of Building Alaska, we saw nearly 650 attendees dance the night away to crowd-favorite band, Final Say.
Other Events
In total, AGC hosted twenty member-networking events in 2023, ranging from our Contractors & Camo charity hockey tournament to Lunch & Learns focusing on the importance of documentation or suicide prevention, Industry & Educator mixers, networking opportunities at our CLC’s Grill & Chill, Member Holiday parties, and community outreach events like our Educator Externships.
Participant group photo of the 2023 Speed Interviews.
Promoting Our Members
Through strategic partnerships with other Alaska trade associations and resource development and business groups, we have expanded our reach and championed the interests of Alaska’s construction industry, making a lasting impact on the legislative landscape and promoting the successes of our industry to the public. Together we have amplified our voice and achieved results that benefit our collective membership in the following ways:

  • 2023 saw the reformation of AGC’s Legal Affairs Committee, which focuses on providing guidance to the association and presentations on current legal issues impacting our members and Alaska’s construction industry.
  • Throughout 2023, AGC published four editions of our award-winning magazine, The Alaska Contractor, which featured profiles on longstanding AGC members, statewide project updates, columns on construction industry financial services, occupational health & safety, legal, and HR updates, along with expert advice and guidance related to the construction industry for state and federal agencies, private groups, and other trade organizations.
  • We had record-setting submission numbers for the 2023 Excellence in Construction Awards program, which gives recognition of exceptional projects completed by contractor members and are presented at AGC’s Annual Conference.
  • AGC’s DOT&PF Steering Committee had a remarkably productive year, achieving significant milestones through close collaboration with DOT&PF. One key accomplishment was the development of the rural materials best practices document, which was endorsed by Deputy Commissioner Katherine Keith and Commissioner Ryan Anderson. This document guides DOT&PF project personnel in assessing and permitting rural material sources, ensuring cost-effectiveness on DOT&PF projects. Members of the DOT&PF Steering Committee also met as a smaller workgroup to address challenges related to oversize/overweight haul units on rural projects. We are looking forward to another productive and collaborative year within this committee.
  • In 2023, AGC Executive Director Alicia Amberg promoted the Economic Benefits of Alaska’s Construction Industry report at a Resource Development Council Breakfast Forum. This presentation provided AGC with the opportunity to engage a larger audience and disseminate a resource that serves as a significant tool in AGC’s advocacy work to convey the value and impact our industry has statewide.
  • AGC is proud of the partnership we’ve developed with the US Army Corps of Engineers, and in 2023 we provided members with the USACE partnering playbook during a members-only Art of Partnering Webinar, which contained valuable information on successfully partnering strategies with USACE.
Information source: 2023 AGC of Alaska Annual Report to Members. Photos provided by AGC of Alaska unless otherwise noted.
Emergency Response
AGC members work with the Alaska Department of Transportation and Public Facilities on quick repairs
By Rachael Kvapil
In 2023, crews from Great Northwest, Inc. responded to an emergency culvert failure on the Elliot Highway, about 30 miles away from an Alaska Department of Transportation & Public Facilities project the company was working on along the Dalton Highway.

Photo provided by Great Northwest, Inc.

workers responding to an emergency culvert failure on the Elliot Highway
In 2023, crews from Great Northwest, Inc. responded to an emergency culvert failure on the Elliot Highway, about 30 miles away from an Alaska Department of Transportation & Public Facilities project the company was working on along the Dalton Highway.

Photo provided by Great Northwest, Inc.

Emergency Response
AGC members work with the Alaska Department of Transportation and Public Facilities on quick repairs
By Rachael Kvapil
E

mergency repair projects generally don’t make headlines unless they’re large and part of a natural disaster, such as Typhoon Merbok in 2022 or the 2018 magnitude 7.1 earthquake that shook Southcentral Alaska. However, for every large-scale emergency project, at least a dozen smaller ones are tackled by contractors working with the Alaska Department of Transportation and Public Facilities, or DOT&PF. In the Northern Region, twenty-two emergency projects were completed quickly in 2023 thanks to a statewide provision allowing simplified procurement procedures.

Payment for emergency repairs varies depending on whether there is a state or federal government declaration of emergency.
In the Northern Region, thirty-seven active DOT&PF Maintenance and Operation, or M&O, stations are staffed to manage the area’s primary highway, airport, and building needs. Staff respond to 370,000 square miles, about 65 percent of the state’s total land area. The infrastructure in the Northern Region comprises about 8,800 lane miles of road and highways, both paved and unpaved; 1,500 lane miles of airport surfaces; 376 bridges; 408 public buildings; one seaplane float pond; and 99 airports with 550 airport leases.

“Maintenance stations are located anywhere from 50 to 100 miles apart on the roadways,” says DOT&PF Northern Region Construction Engineer Mike Lund. “Crews are out on the roads and checking facilities at regular intervals. They know potentially problematic areas since they are familiar with the area.”

Accelerating the Process
Lund says minor emergencies typically involve flooding, failed culverts, sudden erosion, and bridge reconstruction. Once M&O identifies an emergency, crews assess whether they have the equipment and workforce to manage the repairs themselves or if they need to find a contractor. Several factors determine whether the emergency is handled in-house or by a third party, including time, the size and scope of the repair, and other repairs that need attention.
emergency repairs completed by the Great Northwest, Inc.
Contractors are selected for emergency repairs based on several factors, including proximity, resources, and labor.

Photo provided by Great Northwest, Inc.

“M&O will complete the repairs if they have the resources,” says Lund. “When the repairs are beyond their capacity, they will go through the process of identifying a contractor to take over the effort.”

DOT&PF has an extensive procurement and contracting process for non-emergency projects, where contractors submit bids for advertised projects. In emergencies, Lund says the process is still formal, though abbreviated. Sole-source procurement for emergency projects requires DOT&PF to fill out a waiver that justifies the reason for forgoing the regular procurement process and outlines the contract terms. Selecting a contractor for emergency repairs depends on the nature of the emergency, nearby contractors working on other DOT&PF projects, and the resources necessary to complete repairs.

A Fast Drainage Fix
Among the twenty-two emergency projects that took place in the Northern Region last year, several were repaired by Associated General Contractors, or AGC, of Alaska contractors. South of Fairbanks, Granite Construction, Inc. responded to emergency flooding on the Glenn Highway between Mileposts 186 and 188.

Granite is a construction contractor and construction materials producer with locations across the United States, including offices in Anchorage. It provides services throughout Alaska, focusing on heavy civil infrastructure projects that include earthmoving, paving, bridges, and drainage work.

emergency flooding on the Glenn Highway
In 2023, Granite Construction, Inc. responded to emergency flooding on the Glenn Highway at Mileposts 186-188. With crews working on another nearby project for the Alaska Department of Transportation & Public Facilities, they were able to respond immediately and complete emergency repairs quickly.

Photo provided by Granite Construction, Inc.

Granite was working on two DOT&PF projects on the Richardson Highway, one south of Glennallen between Mileposts 40 and 51 and the other north of Glennallen between Mileposts 128 and 138, when DOT&PF reached out about the Glenn Highway flooding.

Granite crews mobilized to Glennallen within a few hours of notification. When crews arrived, water was flowing across the highway in several locations. They installed 16-inch dewatering pumps to move the water from one side of the highway to the other so traffic could resume safely.

Alaska Department of Transportation & Public Facilities 2023 Northern Region Emergency Repairs
Manley Slough Bridge Repairs
  • Alaska Department of Transportation & Public Facilities, or ADOT&PF, Maintenance crews
Taylor Creek Bridge Replacement
  • ADOT&PF Maintenance crews
Richardson Highway Milepost 110 Repairs
  • Granite Construction AGC of Alaska emblem
Geist Road Pedestrian Bridge Emergency Demolition
  • Alaska Demolition AGC of Alaska emblem
Taylor Highway Emergency Flooding Repairs
  • ADOT&PF Maintenance crews
Eagle Mission Road Emergency Flooding Repairs
  • ADOT&PF Maintenance crews
Richardson Highway Milepost 330 Emergency Flooding Repairs
  • Great Northwest, Inc. AGC of Alaska emblem
  • Heritage Trucking
  • Carpenter Contracting, Inc. AGC of Alaska emblem
Nome Kougarok Road Emergency Flooding Repairs
  • ADOT&PF Maintenance crews
Russian Mission Airport Emergency Flooding Repairs
  • Brice, Inc. AGC of Alaska emblem
Stevens Village Airport Road Emergency Flooding Repairs
  • ADOT&PF Maintenance crews
Glenn Highway Milepost 186 to 188 Emergency Flooding
  • Granite Construction AGC of Alaska emblem
  • ADOT&PF Maintenance crews
Dalton Highway Milepost 404 Emergency Repairs
  • Cruz Construction AGC of Alaska emblem
Chitina O’Brien Creek Emergency Flooding Repairs
  • ADOT&PF Maintenance crews
Dalton Highway Koyukuk River #1 Bridge Emergency Repairs
  • Hamilton Construction AGC of Alaska emblem
Elliott Highway Milepost 85.9 Failed Culvert and Erosion Repair
  • Great Northwest, Inc. AGC of Alaska emblem
Richardson Highway at Thompson Pass and Milepost 182-200 Avalanche Closure
  • ADOT&PF Maintenance crews
Valdez/Glennallen: Richardson Highway from Milepost 12 to 65: Closure Due to Numerous Avalanches
  • ADOT&PF Maintenance crews

AGC of Alaska emblem indicates Associated General Contractors of Alaska member.

When the water subsided, Granite installed several culverts under the highway to improve drainage in that section of highway. The crews also placed riprap material on the outfall of both the new and existing culvert pipe to protect the area from erosion. Likewise, they added fill and riprap slope protection to Snowshoe Street to rebuild the roadway and protect it in the event of future flooding.

“The biggest challenge we had was pumping the water down so we could install the new drainage culverts without causing more erosion to the Glenn Highway,” says Granite Construction Manager Marty Thurman. “Once the water had subsided, the project was pretty straightforward, and we were able to complete it rather quickly.”

The emergency repairs in Glennallen cost $540,000 and included the price of all labor, equipment, and materials needed for the project. Thurman says Granite appreciates its partnership with the Alaska DOT&PF and is always willing to help.

Deep Digging
North of Fairbanks, Great Northwest, Inc., or GNI, responded to an emergency repair request on the Elliott Highway at Milepost 85.9. GNI is a general heavy civil contractor based in Fairbanks that regularly works on infrastructure projects such as highways, roads, site work and utilities. GNI was in the area working on a Dalton Highway project when DOT&PF reached out about a failed culvert and erosion issue that had closed the Elliot Highway.

“We were 20 or 30 miles away with people and equipment that we transferred over to complete the emergency repair,” says GNI Project Superintendent Jim Conlon.

Crews worked in a 25-foot-deep excavation to block the headwall of two culverts and pump out the water so they had a dry area to replace the culvert and repair the embankment. Conlon says the situation was most likely due to an aging culvert that failed. The cost of the repairs has not yet been finalized.

emergency flooding repairs
The Alaska Department of Transportation & Public Facilities regularly works with nearby contractors for emergency repairs not managed in-house by its maintenance and operations staff. Emergency repairs are contracted via an abbreviated procurement process so that work may begin immediately.

Photo provided by Great Northwest, Inc.

“As part of the community GNI appreciates being able to team up with the Department to address emergencies and facilitate access as quickly as possible,” says Conlon.

In both cases, the emergency repairs were permanent solutions. Lund says if issues weren’t addressed entirely, DOT&PF would likely have further evaluated the problem, designed a solution, and advertised the project as part of the regular procurement process.

Payment for emergency repairs varies depending on whether there is a state or federal government declaration of emergency. Lund adds that this is true of emergency projects in other regions within the state.

Rachael Kvapil is a freelance writer who lives in Fairbanks.
The Associated General Contractors of Alaska logo
Project
Update
Home Away From Home
UNIT COMPANY builds dormitory for airmen, guardians on year-long Clear Space Force Base hitch
By Vanessa Orr
Airmen and guardians will have a number of places to relax in the three-story dormitory, including a social lounge.
Airmen and guardians will have a number of places to relax in the three-story dormitory, including a social lounge.
Home Away From Home
UNIT COMPANY builds dormitory for airmen, guardians on year-long Clear Space Force Base hitch
By Vanessa Orr
A

irmen and guardians—space and cyberspace enlisted personnel—will soon have a new place to lay their heads at Clear Space Force Station, located in Anderson, about 75 miles southwest of Fairbanks.

Air Force Civil Engineer Center, in partnership with Air Force Installation and Mission Support Center’s Detachment 2 and the US Army Corps of Engineers Alaska District, awarded a $67.6 million contract to UNIT COMPANY to build an eighty-four-room, state-of-the-art dormitory at the base, which serves as a Space Force radar station and provides space surveillance data to the US Space Force.

The 39,500-square-foot, three-story dormitory will include a mixture of one-bedroom and studio apartments, primarily for enlisted personnel, as well as a number of day rooms and multi-use spaces. The building will be built on a reinforced concrete foundation with slab on grade, and it will feature reinforced concrete masonry walls with exterior insulation and finish and a standing-seam metal roof.

The facility will also include an enclosed severe-weather passageway that connects to the main building system.

“It stays cold in Interior Alaska for a really long time; in February, it was -45°F there,” says Captain Charles Bierwirth, project manager for the US Army Corps of Engineers Alaska District. “Everything at Clear is connected by corridors to keep people out of the cold.”

Project Manager Trent Larson says UNIT COMPANY is also creating a new softball field at the base to replace an existing field that is slated for other uses. A second project includes a substation upgrade and redundant primary feeder.

“The scope of that project doesn’t have anything to do with the dormitory; instead, it’s to upgrade base redundancy,” says Larson. “The military always likes to have redundant services in case something stops working so that they are able to maintain operations.”

Anchorage-based Electric Power Systems is in charge of the substation design, and Wasilla-based Electric Power Constructors will build the substation. The overall contract for the dormitory project is $54 million; $12 million is slated for the design and construction of the substation and feeder portion. Construction is expected to be completed in December 2025.

mass excavation site for the new building to be constructed
UNIT COMPANY completed the mass building excavation and backfill for the new foundation in 2023. In March, it planned to begin excavating for the foundation and deep under-slab utilities.

Photo provided by UNIT COMPANY.

Getting Started
The dormitory project, a best value for best price award, was awarded at the end of May, and UNIT COMPANY spent the summer of 2023 working on the design. Associated General Contractors of Alaska member companies Coffman Engineers, Inc., MCG Explore Design, and CRW Engineering Group, LLC, were the primary designers of record on the project.

“There was a lot of back and forth with Clear Space Force leadership and the designers; this is where the guardians and airmen are going to live, and the finishings and interior design need to ensure that they have pleasant living quarters,” says Bierwirth. “They are permanently stationed here for twelve months on unaccompanied rotation, and this will be their home for those twelve months.”

“And with the amount of work currently happening in Alaska, finding enough qualified people to do the job is difficult. We have had to reach out of state to meet our personnel needs.”
– Trent Larson,
Project Manager, UNIT COMPANY
“Even though Clear is only one-and-a-half hours from Fairbanks, that’s if nothing is wrong with the road,” he adds. “If you get stuck behind a snowplow or an accident, it’s a lot longer. Being so isolated up here, having a nice place to live helps with the quality of life issues that folks in the Interior—especially military folks—have. The majority of people don’t choose to go to Clear, but they are here to meet the needs of the Space Force. This dorm is an effort to ensure a quality facility in which the guardians and airmen will live.”

According to Larson, UNIT COMPANY was able to start civil and foundation work with expedited design packages in 2023 in order to get a head start on the project before the final design was approved.

Subcontractors working on the Clear Space Force dormitory include the following Associated General Contractors, or AGC, of Alaska member companies:
  • A&A Roofing
  • Alaska Professional Construction, Inc.
  • Coffman Engineers
  • Denali Fenceworks
  • Exclusive Paving
  • Fullford Electric, Inc.
  • Mappa, Inc.
  • MCG Explore Design
  • M-W Drilling, Inc.
  • Otis Elevator Co.
  • Shannon & Wilson, Inc.
  • Andy Milner Co., LLC
  • University Redi-Mix
“The dorm is going right in the middle of campus, which means we had to relocate existing site communications and primary power to where the new building will go,” he explains. “We were also able to complete the mass building excavation and backfill for a new foundation in 2023.”

The company did run into one hitch: having to relocate a leaking transformer, which required dealing with contaminated soil that delayed construction of the foundation until spring. UNIT COMPANY planned to remobilize in late March when the ground starts thawing, and the contractor expected to start excavating in early April for the foundation and deep under-slab utilities.

Local Workforce Shortage
During the winter shutdown, the company worked through major equipment submittals, expediting reviews and approvals as some equipment—such as heating, ventilation, and air conditioning, or HVAC, and electrical equipment—require longer lead times.

“We haven’t encountered any supply problems or logistics issues so far, and we don’t anticipate any because it’s a long enough construction project that we’ve been able to identify longer-lead items earlier on in the project in order to eventually fast-track approval of those items based on design considerations,” says Bierwirth.

exterior of the new 3 story Clear Space Force Station dormitory
UNIT COMPANY was awarded the contract for the new 39,500-square-foot, three-story Clear Space Force Station dormitory, scheduled to be completed in December 2025.
mockup of interior dormitory area with tables and chairs
mockup of interior dormitory common area with a pool table
mockup of interior dormitory of a common area with couches and tables
Both Bierwirth and Larson note that Clear does present a challenge in that there are no major towns around it, which creates logistical considerations for getting personnel, equipment, and supplies to Clear, whether they are coming from Anchorage or Fairbanks.

Larson says it has also been difficult to find the people they need to complete the job and to find a place to house them.

“This area is stressed for housing,” he says. “And with the amount of work currently happening in Alaska, finding enough qualified people to do the job is difficult. We have had to reach out of state to meet our personnel needs.”

Other Ventures at Clear
This is not UNIT COMPANY’s first foray on the base. The company has been working at Clear since 2017, on roughly $300 million worth of projects. These have included the $123 million Long Range Discrimination Radar, or LRDR, site infrastructure, mission control facility, and substation project, and a $137 million power plant fuel storage vault to support the radar installation, which were done as joint ventures with Arctic Slope Regional Corporation.

The company also built a $20 million fire station on site as a joint venture with Bethel Federal Services. The US Army Corps of Engineers Alaska District’s most recent project on the base was the construction of the LRDR facility, and the district is currently working on some smaller infrastructure projects and an ambulance bay as part of the medical clinic.

Vanessa Orr is a freelance writer formerly based out of Juneau, where she was editor of the Capital City Weekly and Boat Broker Outdoor Recreation magazine. Architectural renderings provided by MCG Explore Design.
Morgan Miller headshot
MORGAN MILLER
Transportation Business Development, HDR, Inc.
Rachelle Bransetter headshot
RACHELLE BRANSTETTER
Marketing Manager, HDR, Inc.
The Associated General Contractors of Alaska logo
Business Development
The Winning Match-Up
Aligning strengths and skill sets makes unbeatable organization/client teams
By Rachelle Branstetter and Morgan Miller
T

he other day I told my husband, “Guess what? Taylor Swift’s boyfriend is going to the Superbowl.”

And he replied, “Okay? Why is that special? I’m sure she can get tickets to the Superbowl whenever she wants.”

After a few seconds of me staring at him stupefied, he replied, “Oh, is he, like, IN it?” And that’s the extent of how much this household follows sports. So it was equally stupefying when I found myself writing an article on business development tips modeled on sports euphemisms.

Fortunately, I found an assist in my colleague Morgan Miller, a transportation business development professional and diehard Detroit Lions fan. Whether you are a football fan or not, I think we can all appreciate the principles of identifying team strengths to pursue leads, win work, and deepen client relationships.

Creating the Right Match-Up
Would you put Tyree Hill as a linebacker? Absolutely not. What about Jason Kelce as a running back? No, and I’m just going to leave that there. But let’s explore the obvious explanation of why not: that is not where their skills and strengths lie.

High-caliber professionals can make a huge impact on their team and can contribute to what kind of year their organization will have. Every individual in your organization contributes to business development on some level, whether they are directly interacting with clients or not. As a leader in your organization, you are responsible for identifying the best fit among your team for your clients.

Have you ever seen good synergy between a contractor and a client, the kind of partnership in which you and your client are in lockstep towards a goal? Seems like a dream, but it’s possible. Finding that Armon-Ra St. Brown to your Jared Goff is magic (no apologies, go Lions!).

As a leader, you are not going to be the best fit for each and every one of your clients, but you have someone on your team who is. It is as important as gathering intel about your clients to notice the details about your staff that might make them an asset in a specific relationship. Do they have similar interests or areas of technical expertise? Are they likely to be involved in similar organizations or have similar communication styles? Leveraging organic connections will make things feel more natural.

Just as there is a place for different skill sets and strengths on our favorite sports teams, so there also is for our team and clients. There are different tools for evaluating this, such as People Styles, where you can complete an assessment on both your team and client to match up a good fit. Test it out, bring that person along, and introduce them to your client. Get them more involved and engaged. Most of all, always be assessing and re-evaluating the match, checking in to see if things are clicking, and don’t be afraid to make changes. You’ve got to make the right adjustments at half time—I actually learned this terminology from Spider-Man: Across the Spider-Verse.

I challenge you to think about your clients and your team; if you have to make some pairings, who would you put together? Maybe also look at past pairings and think about why they worked well or why they were not the best fit.

When gathering intelligence, four ears are better than two. This goes for multiple reasons. When deciding who to bring with you on client visits or debrief meetings, senior leaders should consider bringing younger staff along. This provides the younger staff member with experience in relationship building and client management, and it provides multiple long-term benefits for your organization. Staff members at different stages of their careers will bring different perspectives; you’ll never remember all the feedback and information shared on a client visit, and they may see different solutions to the client’s problems. Also, building relationships at multiple levels of an organization helps with the long-term success of your organization’s relationship with the client, helping with planning and guarding against attrition.

Finding Opportunities for Business Development
There are lots of ways to work client development into your weekly and monthly workflow. First, every contact is an opportunity for relationship building and for getting to know your client better. Regular check-ins during the project process are important for smooth project delivery, and they are also a great opportunity for strengthening rapport and introducing newer staff to the practice of client development and to your client.

You should also consider attending industry conferences and networking events. These are great opportunities to make connections, hear about industry drivers and problems your clients are looking to solve, and learn about new leads. You can also maximize the opportunity by applying to present at an industry event. This contributes to your organization’s visibility, and it also positions you as a thought leader on your topic.

For both marketing and technical staff, it is initimidating but also incredibly valuable to request debrief meetings with clients. Feedback on our strengths and weaknesses and looking back on our plays gives a lot of insight into clients’ motivators, whether you win or lose.

Clutch Time
You don’t have to appreciate football or understand sports to build strong, lasting client relationships. It is, however, in your best interest to know the strengths of everyone on your team and to look for opportunities to let everyone shine. Instead of siloing business development among a few key players, this strategy builds trust among both your team and your clients.
Morgan Miller has spent nearly a decade around the architecture, engineering, and construction industry in Alaska and is on HDR’s transportation team, leading business development efforts. Her passion is working with teams and clients to make our state better, and work on some cool projects along the way.

Rachelle Branstetter has more than a decade of experience in Alaska architecture, engineering, and construction marketing and is currently the area marketing manager for HDR’s Alaska office, managing transportation, water, and resources pursuits. She is also the outreach lead for Society for Marketing Professional Services, or SMPS, Alaska.

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Member Profile
Arcticom, LLC
AGC MEMBER SINCE: 12/2/16
Keeping Connected
Arcticom helps companies, first responders, and more stay in touch under challenging conditions
By Nancy Erickson
An Arcticom crew anchors themselves to the new radio tower built for the City of Palmer Fire Station.
The Associated General Contractors of Alaska logo
Member Profile
Arcticom, LLC
AGC MEMBER SINCE: 12/2/16
Articom crew anchoring themselves to a radio tower
An Arcticom crew anchors themselves to the new radio tower built for the City of Palmer Fire Station.
Keeping Connected
Arcticom helps companies, first responders, and more stay in touch under challenging conditions
By Nancy Erickson
I

n today’s world, technology is what keeps our world spinning. Arcticom LLC is doing its part keeping Alaska’s communication lines open.

Headquartered in Anchorage, Arcticom was established in 2004 as a supplier of high-end radio communications sales and service in the Alaska region. The following year, the company invested in MOTOTRBO area-wide communication infrastructure, providing private two-way radio service to the Anchorage Bowl and Matanuska-Susitna Borough.

Acquired by Bering Straits Native Corporation, or BSNC, in 2013 as an active subsidiary, Arcticom continues to supply communications and information technology, or IT, support to federal, state, and local governments and commercial clients.

Based in Nome, BSNC was formed in 1972 as the Alaska Native Claims Settlement Act’s regional Alaska Native Corporation for the Bering Strait region, encompassing most of the Seward Peninsula and coastal lands of eastern Norton Sound.

Bruce Hellenga joined the BSNC team in 2008 and is currently Arcticom’s general manager.

“Arcticom is the Alaska industry leader in information technology and communications,” says Hellenga. “Two-way radio communications is the platform Arcticom was founded on. Through our technical staff, led by engineer Joey Acosta—who is also one of the founders of Arcticom—we are able to engineer solutions for pretty much any communications and IT problem.”

He adds, “We are the Motorola Federal Manufacturers representative for the State of Alaska and provide support to all federal entities, including the US Department of Defense.”

Supporting First Responders
Through a contract with another BSNC subsidiary—Bering Straits Information Technology—Arcticom helps support the Alaska Land Mobile Radio, or ALMR, system operations and maintenance, the backbone network for Alaska’s first responders.

ALMR is a cooperative effort between Alaska and the US Department of Defense that provides the main communications system used by emergency responders and public safety entities. ALMR consists of eighty-two dedicated wireless radio communication sites along the state’s highways, ferry routes, and remote mountain tops.

Articom crew working on upgrades in the high mountains
An Arcticom crew works on upgrades at an Alaska Land Mobile Radio remote site near Valdez as a subcontractor for Motorola.
“Arcticom has provided ALMR with P25 radio and satellite equipment to National Oceanic and Atmospheric Association, NOAA, enforcement officers and provided ALMR code plug expertise to develop over thirty ALMR Talkgroups,” says Lieutenant Robert Marvelle, Supervisory Enforcement Officer with NOAA in Juneau.

“The time and energy spent in working with us to get our mobile and portable radios tuned and programmed will in turn help our firefighters, emergency medical technicians, and rescue members conduct operations with good communications,” says Valdez Fire Department Captain Josh Larsen. “This helps us to serve our community better.”

Arcticom also provides remote communication solutions for areas off the state road system and out of reach of ALMR.

Communicating Alaska’s Challenges Outside
“Arcticom uses its Iridium Push-to-Talk system and remote repeater networks to provide service to far-reaching, underserved communities, including State of Alaska’s oil and mining industry clients,” Hellenga adds.

“Arcticom provides Doyon Drilling with all parts of the puzzle right the first time, by not having to return equipment because radios were not programmed correctly,” says Ron White, Doyon Drilling’s company’s operations manager.

“Arcticom provides Doyon Drilling with all parts of the puzzle right the first time, by not having to return equipment because radios were not programmed correctly.”
– Ron White,
Operations Manager, Doyon Drilling
Maintaining those remote sites can often be a challenge.

“Our biggest challenge is working with partners and manufacturers who don’t understand the challenges of working in Alaska with the weather and geographical hardships we see every day,” Hellenga explains. “What would be a short commute in the Lower 48 often requires a long commute followed by a helicopter or plane ride to a remote site.”

Articom crew inspecting the Alaska Land Mobile Radio Willow Mountain site tower
Motorola and Arcticom crews check out upgrades to the Alaska Land Mobile Radio Willow Mountain site in Valdez that included tower loading assessments and antenna and mounting upgrades, among other enhancements.
Not all of Arcticom’s work is at remote sites.

The company provides, installs, and supports in-building communication systems called Distributed Antenna Systems-Bidirectional Amplifiers, a public safety system that helps ensure first responders remain in contact when in such challenging areas as stairwells, underground tunnels, parking garages, and pump rooms. Technicians are also familiar with the Enhanced 911 system that automatically ties a location to the emergency call.

“The technologies we work with are many,” says Hellenga.

A Good Team Pays Off
Hellenga credits his employees for the company’s success.

“I have surrounded myself with individuals who are the most talented in our industry,” he explains. “Without these individuals, we wouldn’t be talking about Arcticom.”

A member of Associated General Contractors of Alaska since 2016, Hellenga cites a variety of benefits: from daily use of AGC’s Online Plans application and access to the membership directory, allowing partnerships between other locally owned businesses and existing customers, to participating in the annual chili cook-off, conferences, and golf competitions.

“Arcticom is a Native-owned communications company committed to providing cutting-edge wireless technology to increase productivity that exceeds customer expectations, creating opportunities for our customers, partners and the communities we serve in both Alaska and across the United States,” he adds.

Nancy Erickson is a freelance writer who lives in Moose Pass. Photos provided by Arcticom System Technologist Justin Gerdes.
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An Avalanche of Opportunity typography
Alaska spends millions to prepare workers for coming project onslaught
By Dimitra Lavrakas
The panel “Leading the Way for the Next Generation in Resource Development” at the Resource Development Council’s November 2023 conference included (from left) moderator Shareen Crosby from the Alaska Office of Infrastructure; Cathy Munoz, Alaska Department of Labor and Workforce Development Commissioner; Cari-Ann Carty, executive director of the Alaska Safety Alliance; Lori Davey, Alaska manager of Bedrock Petroleum Consultants; and Jocelyn Fenton, Denali Commission director of programs.
AGC Education, Training, and Workforce Development banner
people sitting on stage for a panel presentation
The panel “Leading the Way for the Next Generation in Resource Development” at the Resource Development Council’s November 2023 conference included (from left) moderator Shareen Crosby from the Alaska Office of Infrastructure; Cathy Munoz, Alaska Department of Labor and Workforce Development Commissioner; Cari-Ann Carty, executive director of the Alaska Safety Alliance; Lori Davey, Alaska manager of Bedrock Petroleum Consultants; and Jocelyn Fenton, Denali Commission director of programs.
An Avalanche of Opportunity typography
Alaska spends millions to prepare workers for coming project onslaught
By Dimitra Lavrakas
A

laska has close to $5.7 billion worth of infrastructure projects in the pipeline, but right now the state lacks the workers to carry them out.

By now, it’s a familiar refrain: over the past ten years, the number of Alaska residents between the ages of 18 to 64 has shrunk by 30,000, according to statistics from Alaska Department of Labor and Workforce Development, or DOL&WD.

In 2022, Alaskans over age 60 (147,504 residents) represented more than 20 percent of the state’s total population of 736,556, reports the Alaska Commission on Aging. Retirees continue to quit the workforce, leaving holes in companies that could be filled by younger workers—but only if they are trained, and quickly.

In the January issue of Alaska Economic Trends, a publication of DOL&WD, economist Karinne Wiebold reports, “Most post-pandemic recovery is behind us. Unlike the last few years’ growth, which came from parts of the economy normalizing after COVID disruptions, big projects will be this year’s major catalyst. Federal infrastructure projects will start to materialize in 2024….”

“Forecasts show we are on track to add thousands more jobs, mostly from major projects, in the next few years,” US Senator Lisa Murkowski said in her annual address to the Alaska Legislature February 15.

“Everything I’ve mentioned requires workers, and we’re at eleven straight years and counting with a net loss of working-age Alaskans,” Murkowski said. “Quality of life is everything, but inflation has made everything cost more; high interest rates add insult to injury and we’re behind on housing, childcare, and education.”

Reaching out to Cheechakos and Sourdoughs
The all-woman panel for the Resource Development Council’s November meeting, “Leading the Way for the Next Generation in Resource Development,” presented some novel approaches to lure workers to Alaska for the first time and to encourage those who left the state to return.

DOL&WD Commissioner Cathy Muñoz says she has a multi-pronged approach to attracting the next generation of workers.

“Youth is our greatest resource,” she says. She advocates for career awareness in high schools and even younger. She says Governor Mike Dunleavy added $5 million for “Marketing Alaska” as a place of business opportunity in the 2023 budget. She would like to see that expanded to include marketing to prospective workers.

Muñoz says the Alaska Department of Labor launched a social media campaign from April to fall 2023 that increased training participation by 35 percent.

There’s a concerted push to interest even younger Alaskans, says the Denali Commission’s Director of Programs Jocelyn Fenton, through the Alaska Resource Education’s K-12 Science, Technology, Engineering and Math, or STEM, Education and Outreach Program.

“Our very active Workforce Development Program focuses on in-state skills building, especially to meet the needs of infrastructure development and broadband construction,” says Fenton.

“We have twenty-four active ‘Workforce Development’ projects and a few pending. That number may not be entirely accurate since some other program areas (like energy) also include job training, such as power plant operator training, bulk fuel farm operator training, and a DOE-sponsored Energy Ambassador program,” she says, referring to the federal Department of Energy.

Other demographic groups want to come to Alaska to work and set down roots, says Muñoz.

“We welcome legal refugees and migrants with visas who want to come to Alaska to work, and there’s lots who do from Ukraine,” she says.

students in a classroom using virtual reality headsets
The Northwestern Alaska Career and Technical Center in Nome provides technical skills, career exploration opportunities, life skills, and work readiness skills to high school students. Here, the students use virtual reality headsets to explore and interact with their surroundings in a way that seems real.
There also is a push to attract Alaskans who have gone Outside for college.

“Our FY24 workplan attributes $1.9 million to workforce and economic development activities,” Fenton says. “If we receive an appropriation for FY24, over half of this funding will be competitively awarded through the FY24 Funding Opportunity Announcement listed on grants.gov. And $600,000 of the remaining funding will go to the bulk fuel operator training as required by the funding source, the Trans-Alaska Pipeline Liability Fund.”

Stakes are high for the state, says Shareen Crosby, infrastructure investment coordinator within the Office of the Governor and moderator of the forum.

The second quarter of 2024 will reveal whether her department receives $5 million from the Creating Helpful Incentives to Produce Semiconductors, or CHIPS, and Science Act of 2022. One portion of the act is administered through the US Department of Commerce’s Economic Development Administration and benefits economically distressed communities in areas where prime-age employment of 25 to 54 years significantly trails the national average.

Executive Director Cari-Ann Carty of the nonprofit Alaska Safety Alliance, which provides “safe, trained and ready Alaska workers” for careers across a spectrum of Alaska’s industries, hopes the training will keep young adults here and lure back those who have left.

Lori Davey, Alaska manager of Bedrock Petroleum Consultants, also looks to advance the number of women in the trades.

“For women in industry, for example, only 10 percent are engineers,” she said at the forum. “We need to attract people who are underrepresented in that field.”

Davey talked about finding transferable skills and noted that Norway was having a hard time finding data analysts and turned to high school math teachers who were convinced to move over to the engineering field, lured by larger paychecks.

Youth Training Focus
In Anchorage, Covenant House Alaska is committed to helping disadvantaged and homeless youth discover their talents, explore careers, and find employment, including in the construction industry.

Covey Academy, built in 2022, is a state-of-the-art facility featuring cutting edge simulators and technology to give students real-world experience in fields like aviation, heavy machinery operation, commercial driving, and more. Covey Academy offers nineteen micro-unit apartments available for youth participating in vocational training. All services are free to the students.

student wearing safety glasses watching a teacher using power tools
Students learn skills at the Yuut Elitnaurviat Yukon-Kuskokwim Critical Skills Program Project, which provides training and education for people in the Yukon-Kuskokwim Delta Region.
“Covey Academy does offer a unique vocational training center that allows disadvantaged young people to gain exposure to high-demand industries in Alaska,” says Kerry Reifel, communications officer for Covenant House in Anchorage.

“As youth discover exciting options, Covey Academy and our partners prepare them for success through follow-on credentialed job training programs, internships, interview coaching, and placement assistance,” she says.

Training to Support Rural Villages
The goal of Yuut Elitnaurviat, The People’s Learning Center, in Bethel is to help train people to bolster the workforce in Bush Alaska and contribute to village economies by having people employed in well-paying jobs.

Residents of the Yukon/Kuskokwim Delta can take part in training for welding, basic construction, and the construction superintendent certification program in its state-of-the-art vocational campus.

According to a 2021 Technical and Vocational Education Program Report by the DOL&WD, four students received certificates in construction labor programs and planned to return to continue their education.

Even with the pandemic limiting in-person courses, staff traveled to Savoonga, Shaktoolik, Shishmaref, Stebbins, St. Michael, Unalakleet, and Teller to deliver career and technical training.

Yuut Elitnaurviat, The People’s Learning Center, in Bethel reported that village-based training programs over the state fiscal year 2022 set a new record by serving 491 adults and 11 high school students.
Yuut reported that village-based training programs during the state fiscal year 2022 set a new record by serving 491 adults and 11 high school students.

The Northwestern Alaska Career and Technical Center, or NACTEC, is a joint venture between the Nome Public Schools and the Bering Strait School District, created the regional vocational training center located in Nome.

NACTEC focuses primarily on high school students, providing skills for employment opportunities, helping with independent living skills and encouraging them to pursue post-secondary education. The program offers more than twenty-five courses, some through distance learning, for everything from commercial driver training and heavy equipment operating to welding, construction certifications, and automotive maintenance.

From bridges to roads statewide, Alaska will see projects needing a wide range of workers with skills, and the drive to prepare has already begun.

Dimitra Lavrakas is a freelance writer who has written for a variety of Alaska publications, including The Arctic Sounder, the Skagway News, and Dutch Harbor Fisherman. She most recently lived in Tenakee Springs and travels back and forth to Alaska regularly, usually heading for the family cabin in Kachemak Bay. Photos provided by The Denali Commission.
Bowl-a-Thon
I

t was well below freezing outside, but the boards at Nugget Lanes on Fort Wainwright were smoking hot as twenty teams vied for top place at the sold-out 2024 Bowl-A-Thon. Fairbanks Chevy took home top honors, besting last year’s champion team, Parker, Smith & Feek. Northrim Bank rounded out the top three.

AGC of Alaska would like to thank the participants and sponsors.
Sponsors included:
  • Spenard Builders Supply
  • Great Northwest, Inc.
  • Everts Air Cargo
  • Precision Cranes, Inc.
  • Surveyors Exchange Company Inc.
  • Acrisure (dba RISQ Consulting)
  • Equipment Source, Inc.
  • Paving Products, Inc.
  • TOTE Maritime Alaska, Inc.
  • First National Bank of Alaska, NA
  • Denali Industrial Supply, Inc.
  • Airport Equipment Rentals, Inc.
  • Brice, Inc.
  • Cruz Construction, Inc.
  • Exclusive Paving
  • Fairbanks Materials, Inc.
  • Fullford Electric, Inc.
  • GHEMM Company, LLC
  • Hale & Associates, Inc.
  • Lynden
  • North Star Equipment Services
  • Patrick Mechanical, LLC
  • RJG – CPAs
  • Sourdough Express, Inc.
  • Swalling General Contractors, LLC
Photos provided by Associated General Contractors of Alaska
Fairbanks Chevy team standing side by side holding 1st place signs
The Fairbanks Chevy team won first at the February 3 Bowl-A-Thon.
Parker, Smith & Feek team standing side by side holding 2nd place signs
The Parker, Smith & Feek team, last year’s winners, won second place at this year’s competition.
Northrim Bank team standing side by side holding 3rd place signs
The Northrim Bank team stayed on the leaderboard with a third-place score.
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Member Profile
Alaska Native Tribal Health Consortium
AGC Member Since 5/12/10 badge
Healthy Alaskans
Providing wellness by improving water infrastructure around the state
By Rachael Kvapil
Health services provided by ANTHC include comprehensive medical services at the Alaska Native Medical Center, wellness programs, disease research and prevention, rural provider training, and rural water and sanitation systems construction.

Photo provided by Ken Graham

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Member Profile
Alaska Native Tribal Health Consortium
AGC Member Since 5/12/10 badge
aerial view of the Alaska Native Medical Center
Health services provided by ANTHC include comprehensive medical services at the Alaska Native Medical Center, wellness programs, disease research and prevention, rural provider training, and rural water and sanitation systems construction.

Photo provided by Ken Graham

Healthy Alaskans
Providing wellness by improving water infrastructure around the state
By Rachael Kvapil
A

laska Native Tribal Health Consortium, or ANTHC, has an ambitious vision: to make Alaska Native people the healthiest in the world.

As a non-profit tribal health organization, ANTHC provides several world-class health programs and services. ANTHC’s Division of Environmental Health and Engineering, or DEHE, plays a significant role in creating healthy homes by ensuring that communities have access to safe, reliable, and sustainable water and sanitation.

With funding secured through the federal Infrastructure Investment and Jobs Act, or IIJA, ANTHC is beginning the process to build community water and sewer systems that will serve more than 2,000 homes in more than twenty-four communities. However, ANTHC leaders know accomplishing such a large vision requires a team effort.

“It’s a big endeavor to serve the unserved and underserved,” says Jerod Jones, director of project operations. “We can’t complete all the work ourselves.”

Formed in 1998, ANTHC is the largest, most comprehensive tribal health organization in the US. It’s also Alaska’s second-largest health employer, with more than 3,000 employees. The consortium takes a multi-disciplined approach to health and wellness for Alaska Natives throughout the state. In addition to health and medical services, ANTHC focuses on prevention, research and data, medical technology, advocacy, and education. Through its environmental health and engineering team, ANTHC takes an active role in updating aging water and sanitation facilities and, in some cases, building new facilities in remote communities that completely lack system-wide plumbing.

“In communities without in-home plumbing, infants are five times more likely to be hospitalized with RSV and eleven times more likely to be hospitalized due to pneumonia compared to communities with piped water and sewer,” says David Beveridge, vice president of Environmental Health and Engineering, at ANTHC. “COVID really highlighted the need for safe water to clean and wash hands. IIJA funding allows us to deliver that.”

person wearing a hard helmet and snow gear holding up a pipe on their shoulders
Eek flushed the honey bucket with the completion of its sewer and water project.
Sanitation Funding Windfall
The IIJA, passed in 2021, allocated $3.5 billion over five years, or $700 million annually, to the US Indian Health Service to construct sanitation infrastructure for Alaska Native and American Indian tribes nationwide. The Alaska Area Indian Health Service, or IHS, received $271 million in FY22 to fund the design and construction of 115 projects and the planning for another 116 more. In FY23, Alaska Area IHS received $440 million to design and build another 39 projects. About 168 projects, estimated at around $1.5 billion, remain on a prioritized project list known as the Legacy List.

Because of this funding, many rural communities will receive in-home running water and sewer for the first time. In Akiachak, for example, only half of the homes had running water until recently. Over the past few years, ANTHC has worked to upgrade the water facility and connect pipes to the remaining 100 homes in need of running water and sewer services. In the 90s, the western part of the community was connected to the water facility, while the eastern side hauled water and relied on honey buckets dumped at residential collection points. Last summer, the last of the remaining homes were able to turn on their faucets for the first time.

“COVID really highlighted the need for safe water to clean and wash hands. IIJA funding allows us to deliver that.”
– David Beveridge,
Vice President of Environmental Health and Engineering, Alaska Native Tribal Health Consortium
DEHE started a multi-year project in Shageluk in 2021 to build and install water and sewer services to thirty-four homes and two public buildings, in addition to upgrading the water treatment plant. Like other smaller villages, a washeteria was the main way residents could access clean water, showers, washers, and dryers. A few public buildings in Shageluk, such as the school, clinic, post office, and city offices, already had running water. This project is being completed through a competitively bid construction contract. By this summer, ANTHC anticipates all residential homes will have indoor plumbing.

Also in the works is a project in Stebbins, with a population of about 550, to build a community-wide piped water distribution and wastewater collection system that replaces the need to haul water, use honey buckets, or solely rely on the washeteria. Richard Wooten, contract delivery team manager for ANTHC, says outfitting the community with in-home plumbing for the first time will require a high level of collaboration from everyone involved.

“We need to work together to ensure that we develop the project in a way that best serves the community,” says Wooten.

workers wearing safety vests working on a steel house frame
In Akiachak, more than 100 homes received running water for the first time in 2023. ANTHC hopes to achieve the same success in other rural communities that lack indoor plumbing facilities.
Membership Provides Collaboration Opportunities
One frequent collaborator, Sturgeon Electric Company, Inc., has worked with ANTHC on several heat recovery projects in rural Alaska. Sturgeon is currently working on a wind-to-heat project at the water treatment plant in Kotzebue. Sturgeon is a large-scale electrical contractor based in Colorado with an office in Anchorage. Tracy Wolf, estimator and project manager for Sturgeon, speaks positively about the company’s relationship with ANTHC. He says ANTHC appreciates Sturgeon’s detailed paperwork and extensive visual documentation. Wolf says Sturgeon staff work well with ANTHC project managers and keep open lines of communication about needed changes, logistics, material procurements, etc.
“It’s a big endeavor to serve the unserved and underserved. We can’t complete all the work ourselves.”
– Jerod Jones,
Director of Project Operations, Alaska Native Tribal Health Consortium
“They’re great to work with,” says Wolf. “I try to bid on every project they put out.”

ANTHC has been an AGC member since May 2010. Jones says ANTHC frequently uses AGC’s plans room and appreciates access to AK-CESCL training for its field personnel. Wooten says networking with other AGC members is a big plus when identifying companies for future collaborations. Jones says he hopes that some of the future collaborations include a few IIJA-funded Legacy List projects.

Rachael Kvapil is a freelance writer who lives in Fairbanks. Photos provided by ANTHC.
Jake Scott headshot
Jake Scott
Partner, Smith Currie Oles
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Contractors
& The Law
Mitigating Delay
Tips for reducing, recovering inflation-related cost increases on federal contracts
By Jake Scott
G

overnment sluggishness in evaluating proposals, processing change orders, and responding to requests for information is not new. But contractors’ struggles to accurately price bids and hold those prices while waiting for the government to act has taken on new urgency in the face of the economic volatility of the past few years.

There are no silver bullets for this challenge, but contractors can mitigate and recover their increased costs for this type of delay in some circumstances.

Request a Reprice Before Extensions
The cost increases can start even before contract award. Delays in the evaluation process of proposals for federal contracts may drive the award date past the date through which offers remain valid. In that instance, the government will usually request an extension of offers rather than resolicit proposals. Before agreeing to an extension, contractors should request the chance to reprice their offers based on the passage of time and the ever-increasing costs of materials and labor.

The government is not obligated to grant the request—the government knows that it can delay the procurement without suffering cost increases experienced by private parties, and it takes great advantage of that benefit. Still, in some cases the contracting officer will agree to repricing. Contractors cannot be shy about protecting their interests. The worst thing that the contracting officer can do is deny the request.

Clause Protection
Cost-type contracts with the federal government are but a vague memory for most contractors. These days, with few exceptions, the federal government has shifted to firm-fixed-price contracts. While fixed-price contracts have the benefit of giving the government certainty of its costs, they place a significant burden on contractors, who are usually obligated to absorb any cost increases not caused by a government change to the contract. Federal Acquisition Regulation, or FAR, 52.216-4 Economic Price Adjustment-Labor and Material can provide construction contractors relief if the agency agrees to insert the clause into the contract.

An economic price adjustment, or EPA, clause generally allows a contractor to seek a price adjustment in the event that the cost of labor or materials exceeds the contractor’s schedule of values. The increases are often determined by referring to economic indices identified by the contracting officer, but actual costs can also form the basis for the adjustment. EPA clauses also require the contractor to reduce its prices when labor and materials costs go down.

Federal agencies are inconsistent in their use of EPA clauses. The US Army Corps of Engineers has taken the position that EPA clauses are not appropriate for construction contracts. Other agencies with significant construction work have been known to agree to the insertion of EPA clauses in construction contracts. The lesson to take from this is that contractors should always request an EPA clause when negotiating a contract with the federal government.

Closely Tie Increases to Government Inaction
In construction contracts, FAR 52.249-10 Default (Fixed-Price Construction) explains that a contractor is entitled to noncompensable time for government-caused delays, such as lags in issuing change orders. The government reasons that, even if a contractor’s costs increase during that time, the cost increase itself is not a result of the government’s delay. The Armed Services Board of Contract Appeals, the Civilian Board of Contract Appeals, and the US Court of Federal Claims, where these issues are litigated, generally uphold the government’s position. However, there are instances in which a government-caused delay that drives a contractor into a time of increased prices can constitute a compensable change.

A recent decision by the Armed Services Board of Contract Appeal, or ASBCA, allowed a contractor to pursue its claim that its subcontractors experienced inflation-related cost increases as a result of a constructive suspension of work by the government. The contractor asserted that the government’s actions and inactions in response to COVID-19 hindered subcontractors’ ability to perform, leading to delay and inflation-related cost increases. The contractor also asserted that, by denying the impact of COVID-19-related factors on the project schedule, the government constructively suspended the contract. While the ASBCA decision denied the government’s motion to dismiss the contractor’s appeal, the ASBCA has not yet decided the merits of the case. Nonetheless, the decision illustrates the importance of tying otherwise unrecoverable inflation-related cost increases directly to government action or inaction that would, by itself, entitle a contractor to relief.

Strong Relationships May Reduce Delays
A final and less technical approach to dealing with increased costs resulting from the government’s unhurried contract administration is to establish strong working relationships with contracting personnel. Despite the ominously thick rulebooks that govern federal contracts, contract administration relies on people to carry out those rules. Contracting officers enjoy broad discretion in their decision-making. With cooperation from a friendly contracting officer, a contractor can find room to maneuver in situations where an overly stiff reading of the rules might otherwise preclude relief.

As a matter of course, contractors should thoroughly document any delays, cost increases, changes, and communication with the government as they happen. That documentation will prove important when trying to convince the government that the contractor is entitled to a contract price increase, or when trying to convince a judge of the same thing years after the fact. Every case is different, so there is no single approach to recovering increased costs. If you have questions about how to proceed, contact qualified government contracts counsel for advice.

Jake Scott is a partner in the Washington, DC Metro Area office of Smith Currie Oles, where he focuses on litigation related to federal construction projects. Smith Currie Oles is actively involved in Associated General Contractors’, or AGC’s, Federal and Heavy Division, including chairing the division’s FAR Council.
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Project
Update
Delivering the Future
Airraq project will connect 11,800 rural Alaskans to high-speed internet
By Jamey Bradbury
S

ummer is just around the corner, and perhaps no one is feeling it like the contractors working on GCI’s Airraq Network fiber project. With plans to start barging materials into the Yukon-Kuskokwim, or Y-K, Delta region as soon as May, project contractors—including Associated General Contractors, or AGC, of Alaska members STG, Inc. and Meridian Management—are working to finalize the logistics of procuring, staging, and transporting materials in what Jed Hagan, Meridian senior construction manager, calls, “Probably the most explicit case of ‘measure twice, cut once.’”

“You want to have the timing complete; you want to have the entire materials package ready and on standby and the contractors ready to go before you pull the trigger on something like this,” he says.

Nunapitchuk, pictured, will have access to urban-level internet speeds in the coming years.
Nunapitchuk, pictured, will have access to urban-level internet speeds in the coming years.
Delivering the Future
Airraq project will connect 11,800 rural Alaskans to high-speed internet
By Jamey Bradbury
S

ummer is just around the corner, and perhaps no one is feeling it like the contractors working on GCI’s Airraq Network fiber project. With plans to start barging materials into the Yukon-Kuskokwim, or Y-K, Delta region as soon as May, project contractors—including Associated General Contractors, or AGC, of Alaska members STG, Inc. and Meridian Management—are working to finalize the logistics of procuring, staging, and transporting materials in what Jed Hagan, Meridian senior construction manager, calls, “Probably the most explicit case of ‘measure twice, cut once.’”

“You want to have the timing complete; you want to have the entire materials package ready and on standby and the contractors ready to go before you pull the trigger on something like this,” he says.

Urban Data in Rural Alaska
The project—a partnership of AGC member GCI and Bethel Native Corporation—will bring high-speed internet to communities across the Y-K Delta region, providing 11,800 Alaskans with unlimited data at urban pricing.

The name Airraq, pronounced “EYE-huck,” is the Yup’ik word for a string used to tell stories, similar to a cat’s cradle. Ana Hoffman, president and CEO of Bethel Native Corporation, describes how the network got its name in a video GCI created.

“Understanding that fiber was going to be a loop to bring these villages and stories in, and also use fiber as a way to communicate our stories out, Airraq just seemed so appropriate,” Hoffman says in the video.

“The end result is that these communities are going to have the same services that you and I enjoy here in Anchorage—the same plans, the same pricing, the same level of speeds,” says Jenifer Nelson, GCI’s director of rural affairs. “Having fiber is that generational solution that will provide capacity and connect these communities now, until forever. So it’s really, really exciting.”

A more than 900-mile subsea and terrestrial fiber network will connect thirteen Y-K Delta communities, from Platinum to Bethel, then stretching up to Emmonak.

Before that can happen, STG and Meridian must complete surveys and site visits, finalize the design of network components, and determine how they can make use of existing infrastructure as they connect individual homes to this new fiber network.

side view of motor boat sitting in the water close to shore
High-speed, affordable internet will bring access to opportunities that can help grow the local economy in Bethel, pictured, and surrounding communities.
Local Assets
Throughout 2023, crews conducted surveys over land, sea, and waterways to gather information and prepare for installation of the subsea and terrestrial fiber that will connect the thirteen communities to the greater network, which extends south to Dillingham and Anchorage.

STG completed three-dimensional drone scans to look at access in preparation for installing foundations for cable landing stations. The stations act as the bridges between the subsea fiber and the local network. Through site visits, both STG and Meridian met with community members to take a survey of available local equipment that construction crews might use and how existing land use might affect permitting.

“Field work experts looked at everything from ownership to additional permitting needs, talking to locals and finding out: this is a commonly used snowmachine route, or this is where we do some of our subsistence hunting or fishing,” Nelson explains.

STG also explored hiring opportunities among local workers. As a part of the Calista family of companies, STG will seek to put Calista shareholders to work in their own region—a strategy that will also alleviate some of the challenge of recruiting a skilled workforce from outside the remote region.

Airraq Network tube
Click the button to see a video by GCI in which Ana Hoffman, president and CEO of Bethel Native Corporation, shares the story of how the Western Alaska fiber project became known as Airraq.
VIDEO
Fiber Logistics
Over the summer of 2023, the Benthic GeoScience crew aboard R/V Wolstad, a 121-foot research vessel, collected samples, gathered data, and measured the proposed route for the subsea fiber—all so fiber can be installed along the ocean floor. Months of planning is necessary to determine the placement of the fiber and how the fiber should be manufactured to withstand the varied terrain.

“Undersea fiber cable is not just a cable that gets bought off the shelf,” explains Meridian President Johnathan Storter. Meridian will oversea installation of cable landing stations, as well as terrestrial and tundra cable.

Marine fiber experts review the planned subsea fiber route, looking at changes in depth and terrain to determine the cable armoring scheme. Cable is then specially designed for its route.

“Probably the most explicit case of ‘measure twice, cut once’… You want to have the entire materials package ready and on standby and the contractors ready to go before you pull the trigger on something like this.”
– Jed Hagan,
Senior Construction Manager, Meridian Management
“Armored cable is very heavy and very expensive to manufacture,” Storter says. “You’re going to want the minimal amount of armor where possible. But where you’re going to be going over cliffs or rock outcroppings, the cable design will transition to a heavier armor or double armor so that the cable can be protected from abrasive surfaces or pinch points.”

Once the cable is manufactured, it doesn’t get shipped to the site. Instead, the lay vessel goes to the manufacturer, where the cable is loaded according to how it will be laid out.

“If someone messes up and loads it backwards, all your double armor is going through the nice sandy portion, and you’ve got no armor going over the coral or abrasive places,” Storter explains. “It’s definitely logistically challenging.”

view of water and grass with two buildings in the background
The Airraq Network’s name is the word for a traditional Yup’ik game, similar to cat’s cradle, that translates to “string used to tell stories.”
Experience Pays Off
As summer approaches, GCI contractors are wrapping up the permitting process and engineering and design work moving into construction planning. While Bethel has some modern infrastructure that can be incorporated into the greater network, all twelve remaining Airraq communities will require entirely new equipment and infrastructure.

In addition to installing foundations for cable landing shelters in each community, STG is managing the logistics of getting all project components from Anchorage to their “final resting sites,” says STG President Brennan Walsh. STG’s thirty years of experience navigating remote Alaska and understanding the seasonal changes of Alaska’s coast will be crucial as it barges and flies in equipment.

“We have a pretty vast array of communities we’re working in,” Walsh says. “Building relationships across those vendors and those suppliers is key to understanding their capacity and equipment—to understanding the nuances between a landing craft barge and a mainline barge, where those can go, and what’s needed to offload or load those pieces. All that plays into figuring out how STG can come in, perform our scope of work, and deliver in a seamless manner.”

wooden pathway leading to Nunapitchuk
The Airraq Network is funded by three federal grants and will bring fast, affordable, unlimited internet plans to consumers in thirteen Yukon-Kuskokwim Delta communities, including Nunapitchuk, pictured.
Powerful Partnerships
From the beginning, and through every phase, Meridian Management will maintain an “open-door policy for anyone in the community who has a question or concern,” Hagan says.

“We attend the city halls and tribal meetings while we’re in town to answer any questions that may arise during construction,” he adds. “Then, typically after construction, I do a drive-through with the village or city [representative] and make sure everything’s to their liking. That outreach is there from start to finish.”

Project partner Bethel Native Corporation has been key to this clear communication between contractors and communities. “Getting the consent of these communities and tribe, bringing them in as partners, was really important to us,” Nelson says.

Bringing in the right contractors is also crucial to accomplishing this logistically challenging project, says Storter. “I think there’s just a certain level of maturity that comes along with belonging to an organization like AGC. It’s collaboration, willingness to work towards a common goal.”

Funding for the initial phase of the Airraq project came to the Bethel Native Corporation in the form of a $42 million grant from the National Telecommunications and Information Administration’s Tribal Broadband Connectivity Program. An additional $31 million US Department of Agriculture, or USDA, ReConnect grant was awarded to GCI, with a second USDA ReConnect grant of $35 million going to GCI for the extension of cable to the three northernmost communities in the network.

“Big projects like this take a lot of partnerships and a lot of people to make it happen,” Nelson says. “Achieving this network is nothing short of an engineering marvel.”

Jamey Bradbury is a freelance writer who lives in Anchorage. Photos provided by GCI.
Portrait headshot photo of Amy Bobson smiling in a black dress shirt and wearing a gold-colored necklace
AMY BOBSON
Deposits Manager,
1st Source Bank
Portrait headshot photo of Meredith Thomas grinning in a dark magenta cardigan and wearing prescription glasses that have a black colored outer frame
MEREDITH THOMAS
Equipment Finance Sales,
1st Source Bank
Portrait headshot photo of Tom Reilly grinning in a dark grey blazer business suit and light sky blue button-up dress shirt underneath with a red colored tie that has multi-color oval shaped pattern designs on it
TOM REILLY
Construction Division
President, 1st Source Bank
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Financial Services & Contractors
Immediate Payments for Real-Life Circumstances
Fast payments add round-the-clock convenience but require attention to detail
By Amy Bobson, Meredith Thomas, and Tom Reilly
I

n July 2023, the Federal Reserve introduced a new payment method called FedNow, which works as an instantaneous transfer of funds between participating institutions. As one of the first banks to implement this payment system—along with the launch of Real Time Payments, or RTP, from The Clearing House earlier in the same year—we have seen both business and consumer clients benefit from the convenience and increase in speed of immediate payment systems.

It is important to note that, at this time, FedNow and RTP have not yet been adopted by all financial institutions in the United States. It is expected that the majority of US financial institutions will adopt this feature rapidly, as real-time payments are already common in other areas of the world. Each institution should be contacted individually for information on when they will adopt these new payment systems. Conversely, FedNow and RTP’s counterparts—such as Automated Clearing House, or ACH, wires, and checks—are accepted by every US financial institution.

Convenience
The central benefit of immediate payments, both FedNow and RTP, is that money will be available to the payee as soon as it is released by the sender. By contrast, funds sent by ACH may take one to three days to be credited to the recipient’s account and may be returned due to non-sufficient funds. ACH payments are processed in large batches by the Federal Reserve rather than in real time. Checks, even if they are sent electronically, have a similar clearing process, and the processing timeline can extend significantly if they are sent through the mail. Finally, transfer of funds via wire is also not instantaneous due to processing time between financial institutions and the Federal Reserve, although it is required that the funds are available when the wire is initiated. Another benefit of immediate payments is that the payments are always available, even when the Federal Reserve is not open—such as after hours, on weekends, and on national holidays. This has helped 1st Source clients who work non-traditional hours and need flexible payment options.
Instant Transfers Require Careful Verification
The Federal Reserve currently allows each financial institution to set their own maximum payment, with a limit of up to $500,000. The fees associated with a transfer will differ from bank to bank, although in general they tend to be less expensive than a wire or overnighting a check. Like ACH, you can schedule immediate payments to make recurring disbursements, which may be convenient for some routine expenses.

When considering funds transfer methods, it is important to understand that all come with inherent risks. Instantaneous payments are no different. A sender might have time to report an incorrectly sent wire or stolen check due to the processing time; however, there is no buffer time to reclaim an immediate payment using FedNow or RTP. Once money is transferred into a recipient’s account, it can be accessed immediately. As with all fund transfers, 1st Source advises that proper precautions should be taken to make sure all recipient details are correct and verified, especially in the case of immediate payments like FedNow and RTP.

The process to use FedNow and RTP is as simple to access as other common banking payment services. When a financial institution has adopted the service, it will be available through their website or app, similar to features like Zelle or Venmo.

Immediate payments through 1st Source Bank, leveraging both FedNow and RTP payment systems, is an opportunity for the contracting industry specifically, as quick payments can be made for equipment purchases. While no payment method is one-size-fits-all, immediate payments is a service that every contractor may want to investigate, as it offers an opportunity for the US banking system to work quickly and dexterously to help businesses succeed.

The 1st Source team servicing Alaska Contractors includes Amy Bobson, Meredith Thomas, and Tom Reilly. Bobson is 1st Source’s specialty finance group/deposits manager and has been working in the financial industry for more than thirty years, focusing on business banking and treasury services for the last twelve years. Thomas is Specialty Finance Group/Construction Equipment Finance Sales at 1st Source and has served 1st Source Bank’s customers in the Northwest since 2022 from the bank headquarters in South Bend, Indiana. Reilly is Specialty Finance Group/Construction Division President and has thirty years of equipment finance experience, with twenty years in the construction industry throughout the US. He is based at 1st Source Bank’s South Bend, Indiana headquarters.
Christian Muntean headshot
christian muntean
President,
Vantage Consulting
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human resources update
Building a Magnetic Organization
The key to attracting and retaining top talent in construction
By Christian Muntean
T

he winning strategy for construction companies is attracting, building, and retaining ideal employees. Leaders who do this will be able to staff and complete projects. Those who don’t, won’t—or at least not at the same level.

Staffing shortages are widespread across most industries. The smart construction leader should prepare for staffing to remain a challenge throughout our lifetimes.

Why is this?

It’s a People Deficit
Nearly every developed country in the world is facing this situation. In the US, three drivers explain most of why it’s so hard to find people:

Low birth rates: The primary driver is that Baby Boomers (people in their 60s and 70s) had fewer children (Gen X, now aged mid-40s to 50s) than previous generations. Following Gen X, birth rates grew slightly. Then, with the Great Recession in 2008 came another—and so far, sustained—drop in births. The US birth rate is below the replacement rate. Annually, more people die than are born.

Silver Tsunami: The second driver is retirement. Baby Boomers currently account for about 25 percent of the workforce. They fill the majority of senior leadership, management, and skilled positions. However, they are retiring en masse at a rate of 10,000 a day, or nearly 3.7 million a year, according to Pew Research and the Social Security Administration. Some will reenter the workforce for a short time, but not many, and not for long. Then, consider that the retirement rate matches the birth rate (roughly 3.7 million children were born in 2021, according to the US Centers for Disease Control and Prevention report, Births: Final Data for 2021).

Air bubble in the trade pipeline: Finally, there is a lack of trained people. With the 2008 housing market crash, there was a contraction in the building market. This sharply reduced the available jobs in construction. That led to a de-emphasis on the trades in most educational systems. The result? A proportionally smaller percentage of people are in the trades. So, out of an already restricted number of available people, even fewer chose the trades.

The Solution? Build a Magnetic Organization
Imagine two companies. They are in the same community. They offer the same suite of services. They’re the same size (for now).

ABC Construction is struggling with, and frustrated about, staffing. They insist they’ve tried everything. It’s a problem of “kids these days.” The company is afraid to pursue too many projects. The team is overwhelmed, and it’s too difficult to find staff.

Their competition, XYZ Construction, is fully staffed. XYZ has insightful leadership. Company leaders built a robust and attractive culture. They actively work at nurturing both leadership and culture. They are preparing for and optimistic about growth.

XYZ Construction is a Magnetic Organization, and ABC Construction isn’t. XYZ became a Magnetic Organization that naturally attracts and retains the best people. Not only can they staff up, but they have more than their fair share of high performers. It’s a double win.

These two companies will no longer be competitive within a year or two. XYZ will win the staffing game —because they were the only ones playing it.

What Attracts Ideal Employees
Great employees are not attracted to the same things as everyone else. According to a 2018 article, “Culture Wins by Attracting the Top 20 percent of Candidates” on Gallup.com, the top 20 percent of employees drive the majority of results and have different drivers and demands than the bottom 80 percent.

  • Income or benefits: 64 percent of employees consider this very important when deciding to accept a new job offer, highlighting a rise in priority of pay and benefits since 2015. Compensation primarily matters when helping an ideal employee choose between options.
  • Assuming you stay competitive, it doesn’t matter as much for retention of ideal employees. Be competitive. Cash compensation only matters so much. Other benefits—like time off, training opportunities, and access to unique experiences or opportunities—are often more attractive and underleveraged.
  • Greater work-life balance and better personal wellbeing: 61 percent of employees value this, indicating a notable increase in importance, partly due to the rise in remote work and the awareness of job flexibility options. The job still needs to get done. The good news is that better personal well-being can be leveraged into higher productivity. As a rule, my clients learn to work less and accomplish more. The construction industry has an unhelpful and inaccurate tendency to equate hours worked with productivity.
  • Opportunity to do what they do best: 58 percent of employees seek jobs where they can use their strengths, seeking stimulating and enjoyable work. Talk to employees about their aspirations and interests. This can be a competitive edge for smaller companies because they can often better connect employees to their interests and passions than large firms.
  • Stability and job security: 53 percent of employees seek jobs that offer more stability and security, a need that has remained constant over time. Robust business development practices and maintaining strong backlogs and diversity in your project portfolio create stability and fuel growth generally.
What Causes Ideal Employees to Stay
  • Purpose and development: Employees seek purpose and meaning from their work and opportunities for growth and development. Find ways to create both.
  • Healthy relationship with management: A manager who shows care and supports their team members is crucial for maintaining high levels of employee engagement. People have options and will leave places where they don’t feel valued or respected.
  • Healthy relationships with coworkers: Most workers spend more time with their colleagues than with their family. Cultivating healthy teams and cultures characterized by respect creates bonds that people don’t want to leave.
  • Good communication: Regular, meaningful conversations between employees and managers about performance, expectations, and development opportunities help keep employees engaged.

The future of construction lies in becoming a Magnetic Organization. By prioritizing the needs and motivations of high-performing employees, companies can differentiate themselves in a competitive market.

This strategy ensures not just survival but a thriving future. The key to overcoming the staffing crisis lies in intentional, innovative leadership that values and invests in its workforce.

Christian Muntean is president of Vantage Consulting. He is a business strategist who has steered hundreds of businesses toward rapid growth, greater profitability, and broader impact. Muntean has a master’s degree in organizational leadership from Eastern University. He is recognized as a master coach through the Marshall Goldsmith Stakeholder Centered Coaching program. Additionally, he is a Certified Exit Planning Advisor (CEPA), International Mergers & Acquisitions Expert (IM&A), and Mergers & Acquisitions Professional (M&AP).
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Member News
Bettisworth North Receives Two Northern Design Awards
B

ettisworth North Architects and Planners received the Edwin B. Crittenden Award for Excellence in Northern Design and with a Design Award of Citation, both from the American Institute of Architects, or AIA, Alaska Chapter. The announcement was made by firm president Tracy Vanairsdale.

PND’s Cameron Klatt Receives Promotion
P

ND Engineers, Inc., is proud to announce the promotion of PND Senior Engineer Cameron Klatt, a licensed professional engineer, and extends its congratulations for his recent passage of the Principles and Practice of Engineering exam. Born and raised in Anchorage, Alaska, Cameron attended South Anchorage High School before receiving a bachelor’s degree in civil engineering from Montana State University and a master’s degree in geotechnical engineering from the University of Washington.

Coffman Welcomes Amber Benham
Joins team as control systems engineer
C

offman Engineers, Inc., welcomes Amber Benham to its electrical department and congratulates her on earning her Alaska Professional Engineering, or PE, license in Control Systems Engineering.

Amber received two Bachelor of Science degrees in Chemical Engineering and Biological Engineering from Montana State University. She has nine years of experience in the refining industry as a process control and control systems engineer and brings a new capability to Coffman’s line of services.

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