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Winter 2012 - The Associated General Contractors of New York ...

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Building - AGC NYS In Your Corner<br />

If Wicks Were So Efficient,<br />

Why Does it Need to be Mandated?<br />

By: Joe Hogan, VP of Building Services<br />

AGC NYS CORNERSTONE WINTER 2012<br />

24<br />

As I read over the years OpEd articles from<br />

various forces seeking to maintain the<br />

status quo relative to the Wicks Law, those<br />

organizations, which include NECA (National<br />

Electrical Contractors Association) and MCA<br />

(Mechanical Contractors Association) would seek,<br />

through the use of tired arguments and flawed<br />

studies, to keep New York State as one of the<br />

most backward states in the nation. The very old<br />

studies cited are seriously flawed in when and how<br />

costs were measured. They base their studies on<br />

instances where MEP trade contractors are given<br />

the opportunity to bid directly to the owner or<br />

to a general contractor and then measure only<br />

the bid costs. They fail to measure the impact<br />

of market manipulation and, more importantly,<br />

the final costs to the owner and taxpayer relative<br />

to cost of the work and design and contract<br />

administration costs. It should be noted that<br />

the only studies these organizations cite are selfserving<br />

in that they were commissioned by those<br />

Mechanical and Electrical Contractor Associations<br />

who stand to gain financially by maintaining<br />

the status quo. When AGC NYS cites studies,<br />

we cite those conducted by New York State<br />

Division of Budget and the New York City School<br />

<strong>Construction</strong> Authority – organizations with no<br />

axe to grind. With regard to the latter, they have<br />

very real experience and comparisons that show<br />

tremendous savings in cost and time.<br />

With all that said, all these studies are nice but one<br />

only needs logic to determine the best path. If the<br />

Wicks Law’s requirement for multiple contracts<br />

were as efficient as NECA, MCA and their allies<br />

would have you believe, there would be no need<br />

to mandate it. Why then do major sophisticated<br />

purchasers of construction such as GE, NYU, the<br />

University of Rochester, Corning, and a host of<br />

others, except in very rare circumstances, all<br />

seek one financially responsible entity – a General<br />

Contractor or <strong>Construction</strong> Manager at-Risk – to<br />

construct their facilities? Why does the Federal<br />

Government and nearly every other State in the<br />

Nation not have a “Wicks Law?” Why do nearly<br />

all individuals and small businesses throughout<br />

the New York State and the Nation not act as<br />

their own general contractor when building or<br />

renovating their homes or offices? The answer<br />

to each question is quite simple – the Wicks<br />

Law makes no financial or project performance<br />

sense for anyone but the very small interests of<br />

those few members of NECA and the Mechanical<br />

Contractors Association who ply their trade in the<br />

public bidding market of New York State.<br />

I have regularly heard it said, amid the snickering,<br />

that New York State is on par with Mississippi as<br />

one of the most backward states in the nation<br />

relative to procurement practices. It is time<br />

that New York State modernize its’ procurement<br />

practices and the largest obstacle, while by no<br />

means the only one, to that is the Wicks Law.<br />

Even in its’ current form with some very small<br />

ability to maneuver with a PLA, were DOT to seek<br />

to engage in a design build process for a building<br />

project, the listing requirements would make the<br />

procurement very cumbersome if it were possible<br />

at all.<br />

BIM 101: An Introduction to<br />

Building Information Modeling<br />

Date: December 11<br />

7:30 am Registration & Breakfast<br />

8:00 am - 5 pm Program<br />

Location: AGC NYS – Albany, NY<br />

Call (518) 456-1134 to register<br />

AGC NYS & LeanNYC<br />

Holiday Reception<br />

Date: December 12<br />

Location: Arno’s Ristorante,<br />

New York, NY<br />

Call (518) 456-1134 for<br />

registration details

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