Newsletters of the PHCC of Greater Boston

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Greater Boston Plumbing Legends!

January 2006
From the desk of Hugh Kelleher, Executive Director
Comments or suggestions for future items: hughkelleher@aol.com

Happy 2006!

Housing Boom Over?
It’s official, according The Boston Globe. Massachusetts’ five-year housing boom, which lifted the average home price 71%, has ended. In September, average sales price dropped 4% to $360,000, following the record high in August of $375,000. Condo market still strong: Median prices recently were $287,000. But houses available for sale rose for seventh month in a row. To restrain inflation, Fed has raised interest rates thirteen consecutive times.

Commercial Property Still Hot
By the end of 2005, $4 billion in commercial property was sold in the Hub. This is a new record. Investors believe Boston will remain a hot commercial market.

A Loss
Anne Collins, who oversaw the Plumbing Board (and dozens of other state licensing boards) as the head of the Division of Registration, was recently tapped by Governor Romney to run the Department of Motor Vehicles. Anne’s grandfather had started a plumbing business – William Collins Company – decades ago, and Anne worked tremendously well with our industry. We will miss her skills and enthusiasm.

Public Construction
If you are bidding public work, remember to include your DCAM Certificate of Eligibility AND Update Statement on Prequals and Bids after Jan. 1. The Update Statement is mandatory and your prequal or bid will be rejected if you do not include it. For forms, go to: http://www.mass.gov/cam/

Negotiate
In 2006, our Association will again enter into negotiations with Plumbers union Local 12. What to expect? NYC Plumbers settled a 3-year contract with a total increase of $7.75. This amounted to a 3% annual wage increase. Nationally, recent union wage increases have been in the 3 - 4% range.

OSHA 10-Hour
By July 1, 2006, all workers employed on state or local-funded construction projects in Massachusetts must complete the OSHA 10-hour course.

Health Costs
Fewer people in Massachusetts are now receiving health coverage through their jobs. More people are forced to buy their own health insurance. These “consumer health plans” are offered through providers like Harvard-Pilgrim, Tufts and Blue Cross. Such programs save money on premiums, but require high deductibles. The future: even higher deductibles for many health plans.

GM Hurts
General Motor’s health costs: $5.6 billion per year, more than it spends on steel.

At Wal-Mart
46% of children of company’s 1.33 million employees have no health coverage. In Massachusetts, such children (and their parents) are covered through the “uncompensated care pool.” Costs for the pool are covered through required payments from groups like the Local 12 health plan. Thus, Local 12 is actually helping to provide health care for Wal-Mart’s employees and their families. Apparently, Wal-Mart couldn’t afford it.

National Plan
Mass. Congressman John Tierney reports that rapidly rising health care costs have forced employers to take a second look at the idea of a “single payer” national health system. He says that even the American Medical Association is changing its tune on national health insurance. Today, the US spends 14% of national income of health care, compared to 10% for other industrialized nations.

Used Materials
Does your company have extra materials that it does not need and would like to dispose of? Pipe, fixtures and other plumbing and construction materials would be considered. You could receive a tax deduction. Contact Carolyn Lewenberg of the Building Material Resource Center in Roxbury. 617-442-8917 x236. See http://www.bostonbmrc.org/

Conflict Resolution
What happens when different components of the building code come into conflict – if, for instance, plumbing code standards came into conflict with aspects of the state’s architectural access board (handicapped) regs? Mass. Plumbing Board Chairman Paul Kennedy reports that there is now a Building Code Conflict Committee, made up of reps from their various regulatory boards. “We meet and we work things out,” said Mr. Kennedy.

New Requirements for Apprentices
Chairman Paul Kennedy of the Plumbing Board notes that beginning in May, 2006, apprentice requirements will increase. 5 years (10,000) work hours, up from current 3 years; 550 classroom hours over the 5 years, up from 300 hours.

New Location
The Massachusetts Plumbing Board is no longer meeting in Boston and Winthrop. New locations: Quincy and Malden.

Product Approvals
Another of the notable advances by the team at the State Plumbing Board: the list of approved products is updated within days of board meetings. You can find the full, current list at: http://license.reg.state.ma.us/public/pb_pre_form.asp

New
Among products recently approved: Permalux copper fittings, allows copper tube to be popped together by hand. No soldering, not even a crimping tool required. Victaulic type of internal ring gasket.

Speaking of Copper
In 2005 the price of a pound of copper rose 45.4%, to $2.16 per pound. Those fittings are getting expensive.

Sovent
One notable change in the new plumbing code: Sovent installations must now be approved by the Plumbing Board, rather than by local inspectors. Engineers stamp still required.

Reality TV Goes Union
Seen any of those “reality” TV shows like “The Apprentice”? The New York Times reports that the writers and producers have decided to unionize. 18-hour days, no health benefits and no pension were among the reasons. Meanwhile, in Boston some of the new hotels look like they will sign agreements with union representatives.

Union Divisions
The work of the Service Employees International Union reported in the last issue is being followed up with more large unions planning to leave the AFL-CIO. The Carpenters and Teamsters International Unions have withdrawn from the AFL group. The Laborers said they will follow suit. The withdrawing unions are forming what they say will be a more aggressive alliance: Change to Win.

International Competition
Each year, China and India together graduate 5.1 million college students – most of whom are now proficient in English. The US graduates 2.1 million. China and India graduate 400,000 engineers annually, while US graduates only 60,000. In an era when brain power is so important, the US runs a risk of falling behind.

..And National Competition
The New York Times reports that 20 – 25% of the US construction work force consists of undocumented aliens.

Aging
The construction work force is aging rapidly, and this presents a national problem. As reported in our last issue, 21.6% of plumbers are 55 or older. 185,000 new construction workers needed every year between now and 2015. By then, there will be millions more males aged 55 – 64, than there will be males age 18-24. This causes a problem in finding workers to replace those who retire. And with more workers collecting Social Security, but fewer paying in, SS financing issues become more difficult.

Will Wages Rise?
When the supply labor shrinks, competition for those skilled workers drives costs up. Recognizing the problem, the national plumbers union, the United Association (UA), is making a push to enroll and train tens of thousands of new plumbers and pipefitters. The UA likes its plumbers to be well-paid, but recognizes that a shortage of skilled workers will be a problem for everyone.

Missouri Slackers
The average worker wastes more than two hours per day, according to America Online survey. Biggest time wasters live in Missouri: 3 hours, 12 minutes wasted each work day. Maybe Missourians are the most honest.

Plumbing Museum
Those interested in the history of our trade should make the trip to the American Sanitary Plumbing Museum in Worcester. The museum has been a labor of love by Charles Manoog and his family, who also operate Manoog Supply. You think you’ve seen lead bends? Or copper bathtubs? Or classic china WC’s embossed with gold? The museum may be looking for a place to move. Anyone interested should contact Mr. Manoog: (508) 754-9453. See photos: http://www.oddnewengland.com/state_ma/plumbing/plumbing.htm

Retrieve That E-mail
If you ever send an e-mail, and then wish you hadn’t, it is possible to retrieve it – so long as it has not yet been opened. On Microsoft Outlook, go to “Sent Items” folder. In AOL, click on “Sent Mail” and look for “Unsend.”

Best / Worst
The Wall Street Journal quotes a New York judge describing the difference between a criminal court, and a “surrogate’s” court, which handles wills and estates. “In criminal court, you have the worst people acting their very best. In surrogate’s court, you have the best people generally acting their very worst.”