ne of the core values of AGC of Alaska is simple: we advocate.

Not just during legislative sessions. Not only when a project is delayed or funding is uncertain. Advocacy happens year-round because decisions made at the municipal, state, and national levels directly shape Alaska’s construction industry and the environment our members work in every day.

As we approach Alaska’s August 18 primary election, it is a good reminder that participation matters long before decisions are finalized. Construction professionals understand better than most that successful outcomes are shaped well before equipment reaches a jobsite.

Good projects require planning, coordination, communication, and steady involvement from start to finish. Civic engagement works the same way.

Municipal races matter.

State legislative races matter.

National elections matter.

The decisions made in those elections influence transportation funding, permitting, workforce policy, public infrastructure priorities, procurement rules, and the overall business climate across Alaska. Issues like government-mandated Project Labor Agreements, transportation funding, labor policy, environmental regulation, and resource development do not appear overnight. They are shaped over time by elected leaders and by the people willing to stay engaged in the process.

Past AGC presidents often reminded us that advocacy is not about politics alone—it is about stewardship. Stewardship of an industry that builds Alaska’s roads, schools, ports, pipelines, hospitals, and communities. Several former leaders emphasized that if contractors are not willing to participate in the public process, others will make decisions for our industry without understanding the realities of building in Alaska. That wisdom remains relevant today.

Over the past year, AGC members and staff have continued advocating on issues critical to Alaska construction, including contractor payment protections, workforce development, transportation priorities, labor policy, and infrastructure investment.

That work extends beyond Juneau. At the national level, Alaska benefits when leaders understand the realities of building in our state and advocate for long-term infrastructure and resource priorities.

Alaska’s congressional delegation has emphasized the importance of transportation infrastructure, military readiness, domestic energy development, and responsible resource investment—all issues directly tied to the strength and stability of Alaska’s construction industry. In an election year, those conversations carry even greater importance.

Past presidents also frequently spoke about the value of relationships—that progress in Alaska depends on people willing to sit down together, solve problems, and keep communication open even during disagreement. That spirit of collaboration remains one of AGC’s greatest strengths.

This year, AGC joined other statewide business organizations in supporting continued advancement of the Alaska LNG Project, recognizing its potential to strengthen energy security, support thousands of construction jobs, and create long-term economic opportunity across the state.

At the same time, AGC continues advocating for strategic investments in transportation, including improvements to Alaska Railroad infrastructure and freight mobility projects that strengthen supply chains, improve military readiness, and support economic growth statewide.

None of this happens without engagement.

Voting is one of the simplest and most important ways to participate. Staying informed matters. Attending local meetings matters. Building relationships with elected officials matters. The conversations that happen outside election season are often the ones that shape decisions when critical issues arise.

Past AGC presidents consistently reinforced another important truth: the construction industry succeeds when people show up consistently—not only during challenges, but when there is an opportunity to lead.

Alaska’s construction industry has always succeeded because people stepped forward—on jobsites, in communities, and in public service. That same “northern attitude” that helps us solve problems in the field should also guide how we engage as citizens and industry leaders.

The August 18 primary election is another opportunity to do exactly that.

AGC will continue to advocate, educate, and promote this industry with professionalism and persistence. I encourage every member to stay informed, stay engaged, and most importantly—show up.

Because participation builds more than projects. It helps build the future we will all work in together.

any outside our industry think of “construction” as a simple image: hard hats, dirt, and shovels. Those of us who live this work know it is anything but simple. Construction demands innovation and logistics, relationships and leadership, precision and problem solving. It requires both craft and technology, grit and vision. Most importantly, it is an industry built on people who choose to build something bigger than themselves.

That is why Associated General Contractors (AGC) of Alaska’s work to support the next generation of our workforce—along with the members and leaders who guide them—matters so much.

These efforts are not just about a single event, a first job, or even one career. They create pathways that last; relationships that encourage people to stay in the industry, grow within it, and eventually step into leadership roles themselves. Over time, that creates a sense of ownership and investment in the future of the profession.

At our recent Spring Agency Day in Fairbanks, a public agency leader shared that he had received an AGC scholarship when he was in college. Beyond the financial support, what he said stayed with him was the connection it created and the sense that this industry was one he could be part of long term. Today he works alongside our members to deliver critical infrastructure across Alaska. Those early touchpoints matter, and they carry forward in ways we do not always see in the moment.

This is why our student chapter support, scholarships, endowments, and workforce programming continue to be so important. These efforts are not one-time transactions. They are long-term investments in people and in the strength of our industry.

Over the past decade, AGC of Alaska has invested roughly $500,000 in scholarships, community programs, and workforce development efforts to support people pursuing construction-related careers. Those investments do more than provide financial support. They tell students and young professionals that this industry believes in them and wants them here.

We all recognize that workforce challenges are not going away. The need for skilled, motivated people continues to grow, and meeting that need requires intention. Recruitment is about retention, mentorship, and leadership development. Ultimately, it is about making sure that when someone enters this industry, they can envision a future for themselves in it.

Here in Alaska, where distance, weather, and terrain shape nearly every project, that impact is especially clear.

Carrying that forward requires all of us to stay engaged: continuing to invest in people, creating opportunities for the next generation to step in and lead, and giving back to the industry that has given us so much.

To this year’s scholarship recipients and student leaders featured in this issue, congratulations. Your dedication and commitment to pursuing a future in construction represent exactly what our industry needs. We are proud to support you and look forward to seeing where your careers take you.

And to our members, partners, staff, and volunteers, thank you. The time, energy, and resources you invest are making a lasting difference. Together, we are strengthening the future of construction in Alaska, one person at a time.

ur 25th president, William McKinley, wasn’t talking about road construction when he said “The path to progress is seldom smooth;” but the adage rings as true for torn up roads today as it was for a country inconvenienced by territorial expansion at the beginning of a new century.

When the path is challenging, it’s more important than ever to be patient, keep focused, and confront the challenges with a level head.

That’s the best way to keep the driving public and those working in construction zones safe: slow down, pay attention, and make every action a safe action.

“Safe Actions Save Lives” was the theme of the 2026 National Work Zone Awareness Week, held across the nation April 20–24. Celebrated by state transportation departments and others in the construction industry, the week is an annual spring campaign held at the start of construction season to encourage safe driving through highway work zones. The key message is for drivers to use extra caution in work zones.

The National Highway Traffic Safety Administration says on average, at least two people are killed each day in work zones.

• Pay attention, especially at night. More than half of all fatal work zone crashes reported in 2024 happened at night.
• Keep your distance. In 2024, rear-end collisions cause nearly one-quarter of all fatal work zone crashes.
• Slow down. Speed was a factor in more than one-third of fatal work zone crashes in 2024.
• Watch for pedestrians. In 2024, nearly 170 pedestrians, including construction, maintenance, and utility workers, and cyclists were killed in work zones.
• Allow extra space for large vehicles to maneuver. In 2024, large trucks or buses were involved in nearly one-third of fatal work zone crashes.
• Avoid distractions. Unpredictable zones require full focus. Distractions were involved in more than one in eight fatal work zone crashes in 2024.
• Rindi White is the editor of The Alaska Contractor magazine. Photo provided by Associated General Contractors of Alaska.

hen Randee Johnson—the founder, president, and lead safety consultant for Anchorage-based SafeLogic—learned she was the 2026 recipient of the Governor’s Safety Professional Award, she says it caught her off guard.

“I was surprised because I do think there’s some really amazing safety professionals here in Alaska,” she explains. “I was very humbled to receive it.”

Johnson accepted the award at an April 8 ceremony in Anchorage, as part of the Governor’s Safety & Health Conference. The award celebrates safety professionals who have devoted their careers and personal time to safety through service. Nominees must be active in the profession, have spent at least a decade working in safety and health in Alaska, and a minimum of fifteen years in the field during their career. They must also show substantial contributions and be an active volunteer in a safety-related nonprofit for at least three years.

Originally from Alaska, Johnson had just graduated when her mother told her a friend needed a safety administrator for the summer. What she assumed would be a temporary gig became her calling.

Johnson was hired as the safety manager at Matanuska Electric Association’s Eklutna generation station, and she was on her way. “I got a lot of experience on that project and learned a lot,” she says.

After several years in the field, Johnson launched SafeLogic in December 2016. She recalls, “It started with me having a newborn, working from my basement office.”

From there, the business quickly grew and now employs about twenty people. Johnson observes, “We’ve grown organically on a nice, slow, sustainable pace.”

“I encourage companies to be proactive with safety, rather than reactive,” she says. “As a safety professional, you never know what lives you saved or who you helped because it’s the call that you don’t get.”

Johnson now holds a bachelor’s degree in environmental health and safety from Oakland University in Michigan and is certified by the Board of Certified Safety Professionals, which she describes as one of the most difficult safety certifications to earn.

Johnson has an impressive resume. She was formerly employed by CH2MHill supporting the North Slope, Anchorage, and northern region operations. Through SafeLogic she works with the Municipality of Anchorage, where she assists with fluoride safety in the water system, solid waste services, and homeless camp abatement safety. SafeLogic contracted with Anchorage-based Unit Company while working on the Eielson Air Force Base F-35 hangars construction. There she served as the company’s safety and health manager. She’s worked on bridge projects, helped with wildlife and polar bear programs, has dealt with helicopter safety, and more.

AGC member Fullford Electric Inc. is another loyal client. Vice President Brian Gnoffo says Fullford Electric Inc. has come to rely on the services Johnson’s company provides.

“Randee and her team at SafeLogic have been instrumental in strengthening our safety program. She brings a practical, proactive approach and truly cares about our people. Partnering with her has elevated our safety culture and accountability across the entire organization,” he says.

Suicide prevention is another area she devotes time to, both professionally and as a volunteer. “In Alaska, construction workers are five times more likely to die from suicide than they are from the top four OSHA hazards,” she says. “I work with individual companies on it, training people how to have that conversation and how to identify people who are at risk.” The US Occupational Safety and Health Administration lists falls, struck by objects, electrocution, and caught-in/between (including trench collapses) as the “fatal four” causes of construction worker deaths.

Additionally, she’s climbed Mt. Baker, the third-highest mountain in Washington, and she’s trekked to Everest Base Camp as part of Any Mountain, a nonprofit working to fund research on the first ever diagnostic tool to detect ovarian cancer. Later this year she’ll hike Africa’s tallest mountain, Kilimanjaro, through the Any Mountain program, and then she’ll work in Africa with a medical team that will include her oncologist, Dr. Joanie Mayer Hope.

“It’s a super full-circle, special opportunity to be able to get to do something like that,” Johnson says.

Despite her accomplishments with SafeLogic and her recent award, Johnson says she still doesn’t think of herself as an industry leader. She reflects, “Sometimes I still see myself as an up-and-coming junior safety professional. I don’t think I’ve quite accepted the fact that I’ve been around for a while and I’m in my 40s now, and people are actually out in the world who look up to me.”

n Alaska, construction workers are known for their resilience. They build roads through unforgiving terrain, operate in extreme weather conditions, work long rotations, and sometimes spend months away from family. They push through conditions many people would never tolerate. The strength to push through it all has always been a part of the construction culture. But across the industry, one reality is becoming impossible to ignore: the same workforce known for toughness is facing a growing mental health crisis.

Nationally, the construction industry continues to experience some of the highest rates of suicide, depression, and substance misuse among any industry. Construction workers die by suicide at rates significantly higher than the national average, with the industry ranking second only to mining and oil and gas extraction, according to recent Centers for Disease Control and Prevention reporting.

For Alaska’s workforce, the risks are amplified. Remote projects, seasonal pressure, extended shifts, harsh weather, isolation from support systems, and financial stress all contribute to mental fatigue. Add in a culture where many workers still feel expected to “tough it out,” and the result can be dangerous silence.

The good news is that the conversation is changing. Across the industry, that silence is finally starting to break.

Rather than treating mental health as a personal issue employees should handle on their own, the initiative recognizes it as a workplace safety issue—one that directly impacts people, families, crews, and company culture. Just like fall protection or equipment safety, mental health awareness requires training, leadership, communication, and early intervention.

The initiative encourages contractors to start where they are. That may mean incorporating mental health moments into weekly toolbox talks, educating supervisors on recognizing warning signs, promoting Employee Assistance Programs (EAPs), or simply checking in with coworkers more intentionally. Sometimes the most meaningful step is creating an environment where workers feel safe enough to say, “I’m not okay.”

Programs like peer-to-peer support training and initiatives such as Hard Hat Courage are also helping normalize these conversations in construction. Workers are often more likely to open up to someone who understands the industry firsthand: another operator, laborer, mechanic, foreman, or superintendent who knows the pressures of the job. Peer support helps bridge that gap and reminds workers they are not alone.

The industry is also learning that mental health affects more than just emotional wellbeing. Stress, fatigue, and untreated mental health struggles can contribute to incidents, injuries, distracted work, relationship strain, and substance misuse. Creating a culture of care ultimately strengthens safety performance, retention, morale, and productivity across the board.

This message is also reflected in the Associated General Contractors of America’s national “Culture of Care” initiative, which encourages construction companies to build workplaces where every employee feels valued, supported, and respected. The initiative emphasizes that a strong safety culture goes beyond preventing physical injuries—it also includes psychological safety, mental wellbeing, inclusion, leadership engagement, and caring for the whole person. By fostering open communication, trust, and support throughout an organization, the Culture of Care framework helps companies strengthen their workforce while reinforcing that taking care of people is a critical part of taking care of the jobsite.

Leadership plays a critical role in that culture shift. When company owners, managers, and supervisors speak openly about mental health, employees are more likely to seek help early. Simple actions matter: asking how someone is doing, noticing changes in behavior, encouraging time off, or sharing available resources can have a lasting impact.

In Alaska, where communities are tight-knit and the construction industry often feels like family, that support network matters. The goal is not to turn supervisors into counselors but to help people recognize when someone may be struggling and know how to connect them with support before a crisis occurs.

Statewide behavioral health initiatives are also continuing to expand access to care and crisis response resources for Alaskans. Alaska’s behavioral health system has increasingly focused on prevention, early intervention, and reducing stigma around mental health treatment.

The message behind “Breaking Ground on Mental Health” is simple but powerful: it is okay to ask for help, and no one in this industry should struggle alone.

Construction workers spend their careers building the roads, bridges, schools, airports, mines, and infrastructure that keep Alaska moving forward. Now, the industry is taking important steps toward building something else just as critical—a culture where mental health and suicide prevention are part of everyday safety conversations. Because the strongest crews are not the ones who never struggle. They are the ones who look out for each other when they do.

ssociated General Contractors (AGC) of Alaska has had a presence in Alaska for almost eighty years. During this time, the organization, which represents more than 600 general and specialty contractors and industry suppliers and service providers statewide, has helped to build the 49th State from the ground up.

However, the association’s own office building has not kept up with the times.

“Our building has served us well, but it was tired and no longer reflected who we are as an industry,” explains AGC Executive Director Alicia Kresl. “We recently sold our Fairbanks office building, and as part of the sale, the board made the decision to take a portion of those funds and reinvest them into a statewide office building.”

The AGC Board of Directors allocated just under $1 million to renovate the association’s Anchorage office building. No structural changes were made, but there were comprehensive renovations to the interior. The reception area was removed and, in its place, new display cabinetry was installed to highlight the AGC emblem and member awards. A wall mural was added to the main lobby, greeting visitors as they walk in the building.

The refresh included new paint; an upgraded ceiling grid; new flooring throughout the office; new wallpaper, carpet, and furniture in the offices, training rooms, and kitchen; new LED lighting throughout the building; and new flooring, wainscoting tile, partitions, plumbing fixtures, and accessories in the restrooms.

AGC member company The Superior Group kicked off the project by overhauling the HVAC system in the winter. Stantec served as the project architect on the second phase, and Meridian Management acted as the owner’s representative. DuClos & Associates, LLC was the general contractor.

Alcan Electrical & Engineering completed the extensive electrical work—including new LED flat-panel lighting fixtures and new outlets, switches, electrical devices, signs, and emergency lights throughout the building. Arctic Office Products provided the new furniture, and audio-visual upgrades were performed by Meridian Systems, Inc.

Kresl says renovating the building at 8005 Schoon Street will add value for members. In addition to providing space for meetings, it includes modernized classrooms and training space, creating a place for collaboration.

“We’ll be able to gather and connect in a way that reflects our industry and association,” she explains, noting that AGC is being very intentional about honoring the past while building for the future by incorporating elements that reflect AGC history. This includes the AGC logo on a mural in the lobby as well as display space for all of the Excellence in Construction awards members have earned over the years. Chapter awards and accolades will be displayed, and the AGC brand will be incorporated in the board room through a red/black/white/gray color scheme that aligns with the logo.

“We wanted to create a space that would welcome members as well as showcase their accomplishments and the history of AGC,” says Kresl.

According to Kresl, it was important to AGC that its members were chosen to serve as contractors and subcontractors on the project.

“Who better to build our space than the contractors and subcontractors we represent?” she asks. “What better way to invest back into our member companies?”

In order for the bidding process to be fair and equitable, AGC hired Meridian Management Inc. to serve as a liaison between AGC staff, the AGC Board of Directors, and general contractor DuClos & Associates and the numerous subcontractors.

“One of the main criteria in the RFP was that the contractor on the project had to be an AGC member, and having subcontractors that were AGC members factored into the scoring process as well,” says Kevin Prange, project manager with Meridian Management. “We also looked at who had the most experience and provided the best fit. And while price plays a part in that, we didn’t select the lowest bidder.”

According to Prange, while the majority of the project consisted of cosmetic makeovers, the building was definitely dated since it hadn’t been renovated in more than twenty years.

“Each week, we held meetings onsite to see if there were things we needed to address,” he says. “For example, some of the selections that the architect selected in November of 2025 were not available, so we had to come up with something else. Working with AGC, we got more samples and went through the process again, and that happened a few times. But for the most part, it went fairly smoothly.”

Although the renovation was originally scheduled for completion at the end of March, long lead times for restroom materials and changes to some of the original choices stretched the timeline by about a month. The project wrapped up May 8, 2026.

“Because this is the AGC building, we knew we’d have some of the premier contractors in the state looking over our shoulders,” says owner David DuClos, who runs the company with partner/superintendent Damien Fedele. “But we embraced those expectations and welcomed the opportunity to demonstrate our capabilities.”

Anyone in the building trades is able to walk into a building and judge the quality of work, a fact DuClos was all too conscious of. “I told our subs that we’re going to have every AGC contractor looking at every detail, so everything needs to be done well,” he adds. “This is a showcase. And everyone stepped up to the challenge and embraced that philosophy.”

An updated break room and kitchen area will allow easy flow of food and drinks during events.

“They were very decisive in their decision-making, and Meridian Management also showed great common sense and did an excellent job facilitating communications,” he says. “They were very easy to work with and had great attitudes. They made it fun.”

The job was a homecoming, of sorts, for DuClos especially. “My father, Paul R. DuClos Jr., was past-president of the AGC,” DuClos adds, “so I feel like I’m continuing a legacy.”

“One of the unexpected benefits of this renovation is that our members opened up their spaces for offsite meetings, so we’ve been able to see their offices,” she says. “This was really inspiring, and we’ve even incorporated some of their ideas into our space.”

The renovation of the office further strengthened Kresl’s respect for the work that AGC members do. She says, “I’ve done home remodels, but this is a completely different scale. Seeing the processes, decisions, changes throughout the project, and attention to detail involved—even in a relatively small building refresh—was eye-opening. It’s made me even more proud to represent the AGC members who do this work every day.”

n Southeast, air travel is more than a convenience; it is the backbone of everyday life and commerce.

Southeast has no connected highway system linking many of its communities. Mountains, waterways, dense forests, and rapidly changing weather create one of the most challenging transportation environments in North America. Businesses throughout the region depend on aviation not simply for travel but for moving employees, cargo, equipment, medical supplies, and critical services between communities every single day.

Companies such as Alaska Seaplanes have made significant investments in advanced aviation technology and new processes aimed at improving safety, reducing weather-related disruptions, and helping businesses move throughout Southeast more efficiently than ever before.

Historically, regional flights depended heavily on visual flight rules, or VFR, requiring pilots to maintain visual reference to terrain and surrounding conditions. In Southeast, that often meant flights were delayed, canceled, or forced to turn around when weather conditions deteriorated. For businesses trying to maintain schedules and keep operations moving, those disruptions were often unavoidable realities of operating in the region.

Today, technology is beginning to change that. Advanced avionics, synthetic vision systems, autopilot integration, and FAA-approved Instrument Flight Rules (IFR) procedures are among the modern adaptations that operators like Alaska Seaplanes have designed for the terrain and weather of Southeast.

The investment represents one of the most significant technological advancements in regional Alaska aviation in decades.

Using advanced Garmin avionics and synthetic vision technology, pilots can see computer-generated terrain mapping and precise flight guidance directly on cockpit displays, even when outside visibility is limited by clouds or weather.

The systems allow pilots to safely descend through cloud layers and follow tightly controlled FAA-approved approach corridors into Southeast communities that previously had limited or no modern instrument access.

“As Alaska Seaplanes’ largest route to the south, the new approaches are hugely beneficial for the people of Kake and make our flights not only more reliable but faster too,” says Kake Mayor Lonnie Cavanaugh. Alaska Seaplanes serves Kake under the federal Essential Air Service program.

For businesses and travelers throughout the region, “highways in the sky” mean fewer weather cancellations, fewer diversions, and more dependable and safer operations.

Construction crews traveling to remote job sites, healthcare workers moving between communities, government agencies coordinating regional operations, and fishing companies transporting parts and personnel all depend on consistent transportation.

Investing in advanced IFR capabilities and next-generation avionics helps to reduce schedule disruptions and improve regional connectivity.

For businesses, the benefits include more predictable scheduling, reduced downtime, improved employee mobility, better cargo consistency, faster movement between communities, and greater operational flexibility during changing weather. For time-sensitive industries, those improvements can create meaningful economic advantages.

The terrain of Southeast creates unique operational challenges, and modern avionics systems significantly improve pilot awareness during those operations.

Synthetic vision displays provide detailed terrain visualization even in poor visibility. GPS-guided approaches create more precise flight paths. Terrain awareness systems help crews maintain safe separation from surrounding geography. Enhanced autopilot systems reduce pilot workload during difficult conditions.

Together, these technologies help improve both safety and operational consistency.

Importantly, these systems are not shortcuts around weather or safety standards. Rather, they provide pilots with better information, better tools, and more precise procedures for operating safely within FAA-approved conditions.

New instrument procedures required years of development, testing, certification, and coordination with federal regulators before receiving approval.

“We greatly appreciate the effort of our partners at the FAA in collaborating to bring more modern, sophisticated, and safer instrument procedures to Southeast Alaska. It’s time regional air service in Southeast had the same capabilities of the big jets; our customers deserve equivalent safety and reliability no matter the size of the airplane,” says Sean Kveum, Alaska Seaplanes co-owner and chief operating officer, who grew up in Hoonah.

Alaska Seaplanes

Advanced dispatch coordination, maintenance tracking systems, weather monitoring tools, and operational communication technology all play critical roles in improving reliability across Southeast.

Real-time weather analysis and modern flight planning systems help crews make more informed operational decisions. Integrated scheduling and dispatch systems improve aircraft coordination and help the carrier respond more efficiently to changing conditions throughout the region.

This combination of operational infrastructure and cockpit technology helps create a more resilient transportation network for Southeast businesses and communities alike.

By combining advanced avionics, GPS-based navigation, synthetic vision systems, and FAA-approved instrument procedures, Alaska Seaplanes is helping modernize regional aviation in ways that directly benefit businesses, residents, and communities throughout Southeast.

These modernizations are about more than aircraft upgrades. They represent an effort to strengthen the transportation infrastructure that keeps Southeast connected—because, in this region, aviation is not simply travel. It is healthcare access. It is economic development. It is logistics, tourism, commerce, public service, and community connection.

And as Southeast continues moving forward, aviation technology, new processes, and new equipment will play an increasingly important role in helping businesses and communities stay connected—safely, reliably, and efficiently.

ime and materials contracts, or “T&M” contracts, are favored among contractors for several reasons. First, labor and materials are billed as those costs are incurred, meaning contractors face less risk of non-payment. Second, this structure provides more predictable profits, since overhead and profit are built into the contract at a set rate. And lastly, this structure can help manage client expectations, particularly when the scope of a project is unknown or subject to variables that make accurate bidding and estimating a challenge.

Are there any downsides? As a recent Alaska Supreme Court case highlighted, yes—if contractors don’t carefully define expectations and labor rate pricing upfront. In First Evangelical Covenant Church of Anchorage Alaska v. Michael L. Foster & Associates, the client, First Evangelical Covenant Church, hired Michael L. Foster & Associates to rebuild the church after it was destroyed in a fire. The firm served as general contractor for the project, entered a T&M contract with the client, and attached a schedule of its labor rates to the contract.

After the project was completed, all parties agreed that the contractor had completed the work satisfactorily—even going above and beyond to perform the work in a way that minimized interference with the church’s operations.

However, after receiving the contractor’s invoices, the client—and its insurance adjuster, who was funding the renovation—objected to the total cost, arguing that the contractor’s labor rates were unreasonable. The reason? The contractor charged labor rates based on each employee’s titled position, rather than the type of work the employee actually performed on the project.

The client reasoned that labor should be billed based on the work performed, not the job title or qualifications of the employee performing the work. For example, cleaning should have been billed at a cleaning rate, project management should have been billed at a project management rate, and engineering should have been billed at a professional engineering rate.

This dispute over the reasonableness of the contractor’s labor rates left the contractor with a six-figure shortfall and the contractor ultimately sued the church—and the church’s insurance company—to recover the unpaid balance.

In court, it didn’t matter that the contractor had attached a schedule of its labor rates to the contract and used those rates when billing labor. And it didn’t matter that the church had been satisfied with the contractor’s work. When a contractor brings a lawsuit for unpaid billings on a T&M contract, the contractor has the burden of proving that the disputed billings were for necessary work at a reasonable cost.

Billing labor the way the client wanted in First Evangelical Covenant Church of Anchorage Alaska v. Michael L. Foster & Associates is likely too burdensome for most contractors and can even disincentivize efficiency on the job.

What can contractors do to prevent this kind of dispute altogether? One option is to include a clause in your construction contract or labor rate schedule specifying that labor rates are calculated based on employee skill and experience and may be billed for a range of tasks and work reasonably performed by the employee. This gives contractors the flexibility to bill employees out for a reasonable range of tasks, while putting clients on notice of what to expect.

And as always, timely and comprehensive invoicing is also king: a client may still quibble with how you bill employee time, but if your invoices have a transparent breakdown of costs and go out every month, you are better equipped to address billing disputes with your client as soon as they come up, and before they become a bigger-dollar problem.

stablished in 2009, Delta Constructors, LLC began by providing electrical and mechanical construction services to the oil and gas industry. In the past seventeen years, the company has grown significantly.

“We classify ourselves as an industrial process facilities general contractor,” says Nate Andrews, vice president of the Delta Constructors Northern Region. “Although we’re an Alaska-based contractor, we operate in three regions; the Northern Region, Rockies Region, and the Southern Region.”

Delta Constructors was founded by Ed Gohr, who grew up in Palmer and went to college at Central Washington University, where he obtained a finance degree. Gohr returned to Alaska and ventured into the oil patch as an accountant. After several years working for Alaska oil field services giant VECO, he broke out on his own. Gohr founded Delta, servicing industry leaders on the North Slope and then in North Dakota’s Bakken oil field, where the company operates a regional headquarters. Further expansion followed, with beginning operations in its now Southern Region in 2016, followed by regional offices opening in New Mexico and Texas in 2020 and 2021.

Last year, Delta worked on projects in nine different states: Alaska, North Dakota, South Dakota, Montana, Wyoming, Colorado, Utah, New Mexico, and Texas. It has also expanded beyond the oil and gas industry; today the company provides services to the mining and renewable energy industries.

Currently, Delta Constructors employs approximately 800 people, with 352 workers in Alaska. Andrews says he expects a continuing increase in project opportunities.

With the increase in projects comes a potential shortage in skilled personnel.

“The recruiting effort to find talent is becoming increasingly difficult,” says Andrews. “We had to expand part of our organization to reach out and find people. We focus on fostering an environment within the company that employees want to work with.”

Andrews acknowledges that there are numerous steps to developing that environment. “One priority is finding good clients to work for that have projects that are set up well, so there’s not a lot of red tape that the employees see. We work hard to partner with reputable clients with balanced commercial terms to avoid an adversarial relationship. We … aim to set our employees up for success with projects they want to come work on and by providing development opportunities.”

The company credits its success as an organization to the diverse experiences, skills, and knowledge of the individuals within the company.

Delta CEO Ed Gohr embodies that model. While at VECO, he began teaching the Junior Achievement of Alaska curriculum, which focuses on helping students gain financial literacy, develop work-ready skills, and understand entrepreneurship to students. Gohr is one of five Alaska business leaders who were inducted into the Alaska Business Hall of Fame in January 2026.

“His steady leadership and commitment to excellence have guided our team and contributed to Alaska’s economic strength. We’re honored to celebrate this remarkable achievement,” Delta Constructors staff wrote in a Facebook post congratulating Gohr for the nomination.

The culture of excellence also stems from knowledge gained in partnership. Being an Associated General Contractors of Alaska member has broadened the company’s reach, Andrews says.

“I think that the biggest benefit is expanding our collaboration and our outreach with other contractors within the organization to help support us with other operations,” he says.

As an important part of relationship building, Delta routinely reaches out to clients in every region to get feedback on its performance and on-the-job activities. One such client is XTO Energy Southern Region, which is an ExxonMobil subsidiary. XTO’s Andrew Outlaw noted, “The overall safety management and affirmative actions towards the PSMS [Pipeline Safety Management System] program were exceptional.”

ave you ever chased a proposal because a leader said, “Let’s win this now, and we can figure it out later?” I bet you’re having a visceral reaction just by reading this due to a traumatic personal experience: Heart racing. Palms sweating. Fast breathing. We’ve all been there.

What if I told you it doesn’t have to be this way? Sustainable growth doesn’t happen when you win more work; it happens when the right work is won at the right place. When business leaders value their marketing and business development leaders, they can play a fundamental role in preventing burnout across teams.

In the architectural, engineering, and construction (A/E/C) world, burnout doesn’t come from hard work; it comes from misaligned work. This is where the magic of MBDs comes in: they have the power to prevent that misalignment by shaping what work comes in and create a pathway for sustainable success.

Strategic growth comes from awareness of market trends, understanding client plans, and strong relationships with communities. Working in tandem with your MBDs on pre-pursuit planning translates into strategic “no-go” decisions, as well as deferring work to protect long-term relationships and focusing on doing current jobs well. It doesn’t mean “no” forever—it just means not right now.

So where do the MBDs come in? I’m glad you asked! MBD professionals support leaders by painting a clear picture of what is possible so that the decision makers can plan for the future while also providing employees with confidence to perform the work. This type of collaboration and support can ultimately influence the pace of work coming in, the types of clients and projects accepted, and the workload timeline during the pursuit phase. Why not be in control of your own destiny if you had the opportunity to do so?

Let’s look at it through these three pipeline tiers (because I love a good “rule of three”):

Proposals and bids are in abundance this year. With the busy construction season in full swing, laying out this strategic process is key. The busy season is when discipline matters most so that you aren’t panicking in the slow season trying to catch up. Remember, sustainable growth happens with intention.

It’s proven that MBD leaders shape expectations before a contract is signed by encouraging honest timelines and transparent resource constraints, and by initiating clear scope boundaries. Taking those steps at the beginning helps by managing scope creep and catching issues early, avoiding last-minute firefighting. Ultimately, this approach increases internal and external relationship building.

Chasing pursuits is a strategic move, not a reactionary one. By shifting your view of MBDs as “deal closers” to “capacity-aware strategists,” you will position your firm for long-term, methodical growth without the burnout.

s the Cybersecurity Maturity Model Certification (CMMC) reshapes the defense industrial base, prime contractors are facing a difficult reality: many of their long-standing, trusted subcontractors are not ready to meet new cybersecurity requirements. While CMMC flowdown is intended to strengthen supply chain security, it is also introducing operational, financial, and strategic challenges, especially when primes want to continue working with preferred subs who are struggling to meet compliance needs.

The tension between mission continuity and regulatory enforcement is the heart of the issue. Prime contractors rely heavily on established subcontractors for specialized capabilities, institutional knowledge, and proven performance. However, under CMMC, those relationships are now contingent on demonstrable cybersecurity maturity. If a subcontractor cannot meet the required CMMC level, the prime may be forced to reconsider the relationship regardless of past performance.

One of the biggest challenges primes face is limited visibility into subcontractor readiness. Many subcontractors, particularly small and mid-sized businesses, are still in the early stages of understanding CMMC requirements. Some may still be completely unaware of requirements. Common deficiencies include lacking a complete System Security Plan (SSP), having significant gaps in National Institute of Standards and Technology (NIST) security guidelines for protecting Controlled Unclassified Information (CUI) in non-federal information systems (typically known as NIST SP 800-171 controls), or being unprepared for third-party assessments. Primes often discover these pitfalls late in the process when timelines are tight and options are limited.

While awareness has improved, it is still common, especially among smaller firms, for subcontractors to be effectively “CMMC-unaware.” To mitigate this, primes should be asking targeted, practical questions early in the relationship:

• What is your current Supplier Performance Risk System (SPRS) score?
• What is your CMMC scope (enclave vs. enterprise)?
• How do you send and receive CUI?
• What is your Plan of Action and Milestones (POA&M) closeout timeline?

An inability to answer these questions clearly is often a strong indicator that the subcontractor is unlikely to meet compliance timelines.

Compounding this issue is the cost and complexity of compliance. For subcontractors handling CUI, achieving CMMC Level 2 requires significant investment in technology, personnel, and process maturity. Third-party assessments add additional cost on top of implementation. Smaller firms often struggle to justify these expenses, particularly when Department of War work is only a portion of their business. This creates a difficult decision for primes: invest in helping a trusted partner reach compliance or replace them with a vendor who is already compliant—often introducing new risk in performance or cost.

In response, some primes attempt to reduce compliance burden through scoping strategies. By carefully segmenting systems and limiting the flow of CUI, they may be able to keep certain subcontractors at CMMC Level 1 rather than Level 2. However, this requires a deep understanding of data flows, something many organizations struggle with. In many cases, subcontractors still require access to technical data that qualifies as CUI, making higher-level compliance unavoidable.

To manage these pressures, primes are increasingly taking a more active role in supporting their supply chain. This includes providing guidance, sharing templates, and even offering financial or technical assistance to help subcontractors meet requirements. Some are formalizing this approach through supplier development programs, while others are addressing it by conducting cybersecurity assessments during the proposal phase. Early engagement allows primes to identify risks sooner and gives subcontractors more time to prepare.

A common pitfall is selecting a provider that attempts to shoehorn both the prime and its subcontractors into a rigid, one-size-fits-all model. These solutions often prioritize standardization over flexibility, requiring organizations to abandon existing tools, workflows, or collaboration methods. For primes working with a network of preferred subcontractors, this can be highly disruptive.

This becomes especially problematic when subcontractors are already struggling with compliance. Forcing them into an unfamiliar environment might slow adoption or even push them out of the supply chain entirely. Instead of lowering the barrier to compliance, it raises it.

Primes should instead prioritize solutions that integrate with existing workflows. This means evaluating whether a provider can:

• Support current engineering and collaboration processes
• Operate within hybrid environments (cloud, on-premises, or mixed)
• Allow phased adoption rather than requiring full migration
• Scale across subcontractors with varying levels of maturity

Flexibility is key when managing a diverse supplier base. Not all subcontractors will be at the same stage of readiness, and a rigid solution can create unnecessary friction across the ecosystem.

Equally important is data flow alignment. A strong CMMC solution should enable precise control over where CUI resides and how it moves without imposing artificial constraints that disrupt program execution. Overly restrictive environments can hinder productivity, while poorly designed ones can introduce compliance gaps.

Ultimately, primes need to treat CMMC as an extension of their operational model, not a replacement for it. The most effective providers will focus on adapting security controls to the business, rather than forcing the business to adapt to the tool.

CMMC is driving a fundamental shift in the defense industrial base. Cybersecurity is now a core requirement for participation, not a secondary consideration. Primes that successfully navigate these challenges, support their subcontractors, select flexible solutions, and align compliance with real-world workflows will be best positioned to maintain their supply chains and compete effectively in this new environment.

ssociated General Contractors, or AGC, of Alaska awarded scholarships to nineteen recipients this year, disbursing more than $52,000 to degree-seeking students and to students learning a trade. Congratulations to the recipients, and thank you to all who donated to the scholarship fund to make it possible.

We’ve asked the recipients to tell us about themselves.

Harry Steeves, my grandpa, was a licensed civil engineer. My parents met and married Outside but moved up here and started their family, which included my older brother and me. I grew up in a home that was bought unfinished and saw the construction, demolition, and remodel up close and acquired some skills along the way. Add cabin construction to this, and you could say that I’m comfortable with a hammer, crowbar, or circular saw.

My interests in math took off at West High School in Anchorage. Between varsity football, debate, track, and working with special needs children, I completed every upper math class that the Anchorage School District offers. I graduated in May 2026, summa cum laude.

The greatest experience of my high school career was being able to take on a Gifted Mentorship program with Nicholas Choromanski of Devise Engineering. During the mentorship, “Mr. Nick” taught me that the role of a structural engineer is to design and contribute to a larger effort that construction requires. I saw how the different focuses and disciplines come together to complete a project. Mr. Nick led tours at job sites that Devise Engineering contributed to around Anchorage. A great part of this was seeing where my love of math would mesh with structural engineering.

It is my philosophy that we all form emotional bonds to the places, the buildings where we work and live. I want to be a part of that and again thank AGC for their support in reaching my career goals.

Receiving AGC scholarship support has allowed me to continue my Masters in Business Administration degree while working full-time and raising my family, opening doors for broader professional growth and leadership opportunities across Alaska. My work in land management, including experience supporting mining-related projects, has shown me how critical strong partnerships are between industry and community, and I’ve learned firsthand the importance of responsible development, safety, and long-term planning.

These experiences have strengthened my commitment to serving Alaska through leadership roles that support sustainable development and opportunities for future generations. I’m grateful for AGC’s support in helping me move toward that future.

With this in mind, I am motivated as I prepare to further my education in the fall. I plan to attend the University of Nebraska-Lincoln. It is my goal to seek a construction engineering management degree with a minor in business. This education sets me up for my goal of returning to Alaska and owning and operating a contracting company, helping with building infrastructure in remote Alaska.

I want to finish college debt free, and I am prepared to put the work in to do so. If I can finish a higher education free of debt, that gives me a significant advantage as I head into the workforce. Upon receiving an education at the University of Nebraska-Lincoln, I plan on returning to Alaska. This state will forever be my home. While I love traveling and believe it is important to experience a new place for college, I cannot imagine living anywhere else. The entire state of Alaska is such a tightly knit community; dedicated to supporting one another.

I was born and raised in Alaska and, for as long as I can remember, I have known that I want my career to reflect the love I have for this state. I want my career to impact our Alaskan community. My mission is to provide aid in remote villages by helping construct and repair infrastructure with a focus on electrical and heavy civil construction.

Working in Alaska has shown me how important strong infrastructure is, not just for our communities but also for state and national security. This scholarship helps me stay focused on finishing my degree and working towards my goal of becoming a superintendent or project manager. I’m excited to keep growing in Alaska’s construction industry and be part of projects generating a real impact across the state.

In my professional career, I plan to work with the construction industry through geological surveying and hazard prevention across Alaska. The AGC of Alaska scholarship has given me the opportunity to study my passion, give back to the Alaska community in the future, and has helped immensely in my goal of graduating college debt free. I would like to thank Shannon & Wilson, Inc. for giving me the opportunity to build engineering and professional skills as well as my parents for believing in me unconditionally.

I’m also a proud member of Alaska Laborers’ Local 341 and have spent the last ten years working in the field. That hands-on experience taught me a lot about teamwork, accountability, problem-solving, and what it takes to get work done safely and efficiently. Working alongside experienced crews gave me a strong foundation that still shapes the way I approach projects and professional growth today.

My long-term goal is to become a project manager and eventually earn my PMP [Project Management Professional] certification. Receiving the AGC scholarship helps support me as I continue balancing school and work while working toward those goals. Outside of work and school, I enjoy snowboarding and golfing and appreciate the opportunities Alaska provides both professionally and personally.

After earning my Bachelor of Science in Engineering Physics degree from the Colorado School of Mines, I returned home to Alaska to continue building experience in heavy civil construction, remote logistics, and critical infrastructure projects. My work has included airport, landfill, roadway, and rural infrastructure projects across Alaska, where I have gained valuable lessons in leadership, safety, teamwork, and problem-solving in challenging environments. With support from the AGC scholarship, I plan to continue advancing my education, professional engineering goals, and long-term commitment to strengthening Alaska’s construction industry and remote communities.

Through this internship, I was able to build on the skills I have learned over the years, work alongside experienced professionals, and see how important teamwork, safety, and attention to detail are on every project. I plan to stay with ChemTrack and continue growing professionally here in Alaska. Outside of work, I enjoy spending time with my wife and family, eating good food, and making the most of life in the state I have always called home.

I grew up in Houston and love to spend my time outdoors. That connection to the environment has deeply influenced my academic and career goals. I graduated from Houston High School as valedictorian and a multi-sport athlete. I am pursuing a degree in civil engineering with plans to specialize in environmental engineering.

Last summer I had the opportunity to intern with the Mat-Su Borough under an environmental engineer, where I learned a great deal about erosion control, fish passage, bridge surveying, and much more. My goal is to return to the Valley after graduation and build a career that allows me to contribute meaningfully to my home community. I am very thankful to AGC for helping me achieve my goals by aiding my college tuition.

My career goal is to become a construction project manager who contributes to building and improving infrastructure across the state. I have already been able to gain valuable hands-on knowledge and experience of utility systems, teamwork, and job site safety while working for ENSTAR Natural Gas Company. The AGC scholarship will allow me to stay focused on my education and continue developing the skills needed to accomplish my goals.

Growing up playing hockey in Alaska showed me firsthand how local businesses support youth, and I am driven to one day mentor others and give back to the sport and community that shaped me.

By balancing hands-on construction experience with my higher education, I have developed a unique perspective on how management decisions directly impact workers, timelines, and project success.

Receiving the AGC scholarship funds will allow me to focus entirely on my studies without the financial strain of student loans, giving me the opportunity to master the skills needed to manage projects efficiently and contribute to the long-term growth of the Alaska community.

Many years later, I was able to give my passion its name. Architecture became something that I looked for everywhere I went. This led me to enroll in architecture-focused college classes, internships, and sustainable building courses abroad while in high school.

I plan to use the knowledge and passion I have of this field during my time at the University of Oregon’s architecture program. Through the program’s initiative and focus on sustainable building practices and intentional communities, I know that I will be supported in my passion for a greener future.

I have lived in Alaska my entire life and, while I am excited for the opportunity to leave and have new experiences, I am equally excited to return to Alaska in the future to put my education to use giving back to the Alaska community that raised me.

I can’t wait to start this next chapter of my life and am so grateful for the support of the Associated General Contractors of Alaska as I do so.

In the pursuit of excellence, I moved to Alaska in search of a career that would be fitting for someone looking for an avenue to work hard, take pride in what they do, and be a part of something bigger than themselves. I found that career in Alaska’s construction industry and, with the help of this scholarship, I can further my education and become a more valuable asset to my team.

I want to weld because it challenges me in a different way than any other trade I’ve attempted. It’s always been something I can come back to, and I’ve been blessed to have amazing and supportive educators who helped turn my hobby into a passion. Because of this funding opportunity from AGC, my path is now becoming a reality.

Through my hard work at King Tech High School, I was handpicked for an internship in residential, new-construction electricity. All of my dedication led to my commitment to pursue electrical construction as a career.

It feels extremely rewarding seeing all of my learning and efforts bring an impact to my community. At 18 years old, I am beginning my apprenticeship and can’t wait to see where it takes me.

Over the past few years, I gained hands-on experiences where I learned about building techniques, machine operation, and workplace safety. These experiences solidified my passion for the field.

Receiving an AGC scholarship will greatly support my education and training, allowing me to become a skilled millwright. More importantly, it will enable me to give back to my community and inspire other young Alaskans to pursue careers in construction. I am excited about the future and look forward to making a positive impact in my community and state.

amily businesses are among the most powerful engines of the global economy. Representing roughly two-thirds of all businesses worldwide, they generate an estimated 70–90 percent of global gross domestic product (GDP) and often outperform non-family competitors over the long term. Their success is driven by committed ownership, shared values, agility in decision-making, and a deeply rooted sense of purpose. Yet the very qualities that fuel this success can also make one of the most critical moments in a family enterprise—transition—its greatest vulnerability.

The stakes are high. Studies suggest that only about 30 percent of family businesses successfully transition to the second generation, and roughly 10 percent make it to the third. The challenge is often not a lack of economic strength, but unresolved tensions around control, compensation, strategy, and communication.

To navigate this complexity, many advisors rely on the well-established “Three-Circle Model,” which views the family enterprise as the intersection of three systems: Family, Ownership, and Business. Sustainable success requires attention to all three. When one circle falters, the entire system is eventually affected.

Successful transition begins with honest evaluation: Which system—family, ownership, or business—receives the most attention today? Which receives the least? And which type of transition is most pressing now: ownership, governance, management succession, or family roles?

• Strong, disciplined business management. At its foundation, a family business must be well run. This includes maintaining a clear corporate culture, competing effectively in chosen markets, and sustaining quality and innovation. These disciplines are universal, but they become especially important during periods of generational change.
• Thoughtful inclusion of the family. Deciding who participates in the business—and how—is often the most sensitive issue. Best practices include clear, merit-based pathways for family employment, neutral compensation structures, and education for family members who are owners but not managers. Many families benefit from independent directors or non-family executives, as well as regular family meetings to keep non-managing owners informed and engaged. Transparent mechanisms for valuing and exiting ownership are equally critical.
• Intentional family governance. Frequently overlooked, family governance may have the greatest long-term impact on cohesion and continuity. Effective governance reflects the family’s culture and values while providing structures for decision-making, communication, and conflict resolution. Tools may include shareholder agreements, family councils, education plans for the rising generation, and, in some cases, a formal “Family Constitution” that articulates shared purpose, values, and rules of engagement across all three systems.