Somewhere around the year 1900, an Italian economist named Vilfredo Pareto studied the distribution of wealth in a variety of countries. He discovered a common phenomenon: about 80% of the wealth in most countries was controlled by a consistent minority—about 20% of the people. His observation eventually became known as the “80/20 rule” or “The Pareto Principle”.

The 80/20 rule has been expanded far since it’s first economic use and is broadly applied to leadership and management. The common application states that 20% of the people involved in an organization produce 80% of the output. I first learned about this in a seminar a long time ago and was fascinated by it. Since then I’ve watched for it and found it to be pretty accurate in a variety of things I’ve been involved in from kid’s sports programs to school activities to church committee work.

One place that it doesn’t seem to apply is the Lake County Contractors Association. Between paid staff, officers, directors, governors, and committee members we have a highly motivated group of people producing at a high level on a full-time basis.

Gary, Sheila, and Lisa continue to impress me with their willingness to accept new responsibilities and assignments while working to upgrade and improve our ongoing programs and services.

This year, Steve Thelen accepted a position on the Board of Directors while Skip McCann, Suzanne Zupec, Vince Carravetta, and Ed Stuckey accepted positions on the Board of Governors. Not one of them hesitated when I asked them to serve.

I did a quick headcount from the rosters of our committees and came up with almost one hundred and twenty people serving. Some of us serve on more than one committee but I would still estimate that we have at least 80-90 different individuals volunteering their time on committees.

Attendance at our monthly membership meetings, golf outing, Christmas party, summer outing, and winter workshops is good. Our educational programs are enthusiastically supported. A lot of people participate in a lot of different events and activities.

I think it’s also important to note that service in this organization is a lifetime commitment to a lot of people. We currently have nine Past Presidents serving on our boards and committees. I’d like to recognize each of them and thank them for their continuing dedication to our organization:
Pat Kirschoffer - Gary Edwards - Fred Abdula - Rick Grabowski - Bob Boller - Roger Vignocchi - Jim Pickus - Lyle Ehlers - Allan Pickus

With apologies to Vilfredo, perhaps a more efficient model would be the “LCCA Principle”. This is a shining example of how things can work when everyone pitches in.
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Ahern Fire Protection
1364 Hamilton Parkway
Itasca, IL 60143
Phone: (630) 775-0670
Fax: (630) 775-0843
CONTRACTOR
Frank Amstadt, Vice President
Al Fox, Executive VP Fire Protection
Jim Lynch, Sales Manager
Dick Transon, Service Manager
Bruce Goranson, Safety Director
Fire Protection
SPONSOR: Joe Slattery/Joe Henderson, Joseph J. Henderson & Son

Blackman Kallick Bartelstein, LLP
10 South Riverside Plaza
Chicago, IL 60606
Phone: (312) 980-2906
Fax: (312) 756-3906
ASSOCIATE
Budd Eichner, Partner
Accounting Services
SPONSOR: Rick Nielsen, W.B. Olson

Boncosky Oil Co.
739 N. State Street
Elgin, IL 60123
Phone: (847) 741-2577
Fax: (847) 741-2590
SUPPLIER
Mike Havenga, General Manager
Tim O’Malley, Lubricant Sales
Joe Fell, Fuel Sales Manager
Steve Tivy, Lubricant Sales
Josh Amherdt, Operations Manager
Petroleum Jobber
SPONSOR: Mike DeNinno, Lake County Grading

Clean Cut Tree Service, Inc.
P.O. Box 545
Lake Villa, IL 60046
Phone: (847) 265-0000
Fax: (847) 265-0005
CONTRACTOR
Michael J. Kelly, President
Patrick J. Kelly, Vice President
Kelly E. Kelly, Office Manager
Site Prep Contractor
SPONSOR: Mike DeNinno, Lake County Grading

Elmwood Enterprises, Inc.
27992 W. Route 120, Unit 54
Lakemoor, IL 60051
Phone: (815) 385-7400
Fax: (815) 385-7477
CONTRACTOR
Albert Sarno, President
Leslie Graves, Secretary
Sewer & Water, Underground utility contractor
SPONSOR: Ken Coslet, Terra Cotta Trucking

Illinois Architectural Glass & Aluminum, LLC
28457 N. Ballard Drive, Unit D
Lake Forest, IL 60045
Phone: (847) 816-8400
Fax: (847) 816-8511
CONTRACTOR
Marjorie Swarthout, President
David Swarthout, Estimator / Project Manager
Lena Alers, Estimator / Project Manager
Michael Stapleman, Field Supervisor
Glass & Aluminum Contractor
SPONSOR: Gerry Dumalski, Boller Construction Co.

Repair Service Corp.
38 Squire Road
Hawthorn Woods, IL 60047
Phone: (847) 726-9560
Fax: (847) 726-4561
CONTRACTOR
Tracy Baldaccini, President
Fiberglass reinforced plastic repair & installation
SPONSOR: Karen Vignocchi, Keno & Sons Construction

H. R. Stewart, Inc.
52 W. Crystal Street
Carey, IL 60013
Phone: (847) 639-3331
Fax: (847) 639-0738
CONTRACTOR
James A. Stewart, Vice President
Mark Handruck, Estimator
Sewer cleaning ,testing & televising, HVAC, Hydro-exc.
SPONSOR: Mike DeNinno, Lake County Grading

Sunset Cartage Inc./Horizon Cartage
8255 E. Virginia Road
Lake In The Hills, IL 60156
Phone: (847) 658-4342
Fax: (847) 658-5210
CONTRACTOR
Don Mueller, President
Bob Straub, CFO
Ken Colby, Manager
Brian Linak, Dispatcher
Trucking
SPONSOR: Mike DeNinno, Lake County Grading

Superior Paving, Inc.
P.O. Box 98
Fox Lake, IL 60020-0098
Phone: (847) 587-1292
Fax: (847) 587-1380
CONTRACTOR
Jay Barber, President
Kevin Dombrowski, Project Manager
Bob Mill, Project Manager
Fritz Schultz, Project Manager
Doug Deal, Project Manager
Paving Contractor
SPONSOR: Mike DeNinno, Lake County Grading

RJ Underground, Inc.
115 Hawthorne Drive
Twin Lakes, WI 53181
Phone: (262) 877-9747
Fax: (262) 877-2766
CONTRACTOR
Richard Johnston, President
Mike McCormick, Controller
Directional Drilling
SPONSOR: Mike DeNinno, Lake County Grading
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Bricklayer Elect New Leadership – Congratulations to Jim Allen who has been elected President of the Bricklayers District Council. Jim was formerly the Council Vice Pres.

Teamsters Negotiation To Begin Soon – MARBA will soon begin negotiations with the Teamsters for a new contract. The first negotiating session is scheduled for April 22.

IUOE Dues Increase – The Operating Engineers Local 150 is increasing dues from 2% to 3% starting with April’s first full pay period. Dues are a non-negotiable issue and the union has the right to increase at their discretion.

Operator Dispatch – The quality and competency of dispatched operators has been a continuing problem which MARBA’s Craft Committee is constantly addressing with the union. As the construction season begins, contractors are reminded to document their problems.

MARBA recommends that when an unqualified operator is dispatched, write a short letter to the union saying the operator was terminated due to his/her lack of skill in operating the assigned machine. This will help the union as well as the industry.
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Unfortunately, the biggest problem was the wording of the referendum question. The question was to authorize Lake County to “impose a tax at a rate of ¼% upon all persons engaged in the business of selling tangible personal property ... to be used for transportation purposes.” What are “transportation purposes”? And just what is a tax on “tangible personal property”? Even the most informed voters would have had trouble voting for this. But the county had no option on the language which is determined by state law!

Another problem was a low voter turnout. Only 28.1 % of the county’s 348,513 registered voters actually took the time to vote. NO votes always show up. YES votes need encouragement. And while the Lake County Residents for Traffic Relief got to many potential voters, appearing at every function they could, the message was weak. Even the signs, “Vote YES for Transportation Relief” did not make the connection between the language of the referendum and Transportation Relief in many voters mind.

It was an uphill battle and like so many other referendums, failed because the voters who showed up to vote were “anti-tax” and voted their pocketbooks. Is the issue dead? Not a chance. This is just the first broadside.

The County can put this referendum on the ballot at any time. But they need to do something to get the ballot question more to the point so the voters can equate their expressed desire to reduce traffic congestion and this referendum. Another option may be to get the County to back a Gas Tax increase. The sales tax increase was approved by the County because their survey said that was the way the voters wanted to pay for road improvements. Obviously a flawed survey – that dictated the results by asking questions to get the answer they wanted to hear. Now they need to think beyond “politically correct” and get the gas tax increase approved.
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LAKE COUNTY – To approve a sales tax increase for transportation purposes.
YES: 40,295
NO: 48,766

GRAYSLAKE PARK DISTRICT – To approve $4,000,000 in bonds for land, buildings, etc.
YES: 3,554
NO: 2,169

MILBURN SCHOOL DISTRICT #24 – To approve $15, 985,000 in bonds for new school building and improvements.
YES: 900
NO: 609

GAVIN SCHOOL DISTRICT – To approve $6,500,000 in bonds for new school building and improvements.
YES: 591
NO: 906

BIG HOLLOW SCHOOL DISTRICT - To approve $29,000,000 in bonds for new school building and improvements.
YES: 969
NO: 1,014

GRAYSLAKE SCHOOL DISTRICT #46 - To approve $30,000,000 in bonds for new school building and improvements.
YES: 3,183
NO: 3,314

WARREN TOWNSHIP SCHOOL DISTRICT #121 - To approve $15,500,000 in bonds for school building improvements and additions.
YES: 6,456
NO: 6,043
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County Board - The County Board races were pretty much as expected – not necessarily whom we wanted. Jim Farrell, LCCA’s choice against Bonnie Thompson Carter, ran a tough race in District 5 and only lost by 250 votes – one of the closer races in this district. Bob Depke, on the other hand, finished third in a three-way race with Larry Leafblad carrying the day with only 44% of the vote in District 6.

Other winners in contested races include Sandy Cole in District 11 and Bob Powers in District 16.
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SB 1648 – Construction Management (Passed Senate 56-0; awaiting consideration in the House)

• The purpose of this bill is to clarify procurement procedures for state agencies to follow when contracting for the services of a construction manager in public construction.
• Establishes a qualifications-based process for selection of construction managers, codifying existing practice and industry standard.
• Requires that entities providing these services for state construction projects must be prequalified as is already required for architects, engineers and contractors.

SB 1497 - Design/Build (Passed Senate 57-0; awaiting consideration in the House)

• The purpose of this bill is to clarify Design/Build as an accepted construction project delivery system.
• The intent is not to replace current project delivery methods, but to provide an additional option when feasible.
• Current Illinois law is unclear. Language in the procurement code clearly states, "nothing in the act shall be deemed to prohibit a state agency from contracting for a design/build project." However, no language in the procurement code establishes a procurement process.
• Design/build allows for effective project coordination because the entire project team - architects, engineers and contractors - is selected at the beginning. Design/Build is an allowable procurement method in 39 states and the federal government allows Design/Build on its construction projects.
• Complete project costs are established and guaranteed at the beginning of the project, significantly reducing the possibility of change orders and cost overruns.

What is guaranteed is that a casino will be built in the Chicago area sometime in the future. Is Waukegan out of the running? No one is until the license is awarded and contracts are signed. So keep the faith.
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