ELECTRI International Releases New Study

Every electrical contracting business will face challenges. The way you deal with them will determine your ability to grow your small business profitably. Small business owners wish their growth trajectory was ever upwards. Unfortunately, small business is complex, with many ups and downs in expansion. A multitude of factors influence and determine small business success, including finance, technology, staffing resources, sales and competitors. Most obstacles can be avoided and many issues can be managed to success. Unattended, these issues can steal our focus, sap our financial resources and, sometimes, derail our most important initiatives.
What can we do to remove these roadblocks so we can capitalize on our opportunities to succeed? This report contains strategies to help address the issues preventing electrical contracting business growth. Click here to get a copy of the report.

New California Employment Laws

On November 24, 2020, our office sent out an HR Bulletin to our members. This HR Bulletin discussed NorCal NECA’s partnership with ‘Mammoth with Think HR’ to provide an added benefit to our permanent NorCal NECA Chapter members.

Further, the HR Bulletin provided information on California Employment Laws that are currently in effect, or go into effect on January 1, 2021.

We understand that many of you may have been on vacation when this HR Bulletin was sent out, so we wanted to be sure you had a chance to review the information. Please click here to read the HR Bulletin that was sent.

Education Fund Credits & COVID Safety Reimbursement

As the end of 2020 approaches, remember to submit your reimbursement requests!

  • Education Fund Reimbursement: was established as an incentive for our permanent members to participate in educational and industry events.
  • COVID-19 Safety Reimbursement: was established to subsidize some of the increased incurred due to the mandated safety protocols of COVID-19. The goal is to help alleviate some of the costs for every permanent Chapter member.

An accounting of remaining education fund credits, along with an account of COVID-19 safety reimbursement fund credits, will be send to each Chapter member in the coming weeks. Take advantage of these member-only benefits and submit your reimbursement requests before the deadline!

2021 Holiday Schedule

As we prepare for the new year, a question often asked is which holidays are recognized in our agreements? Each agreement specifies holidays recognized and what compensation is required if work is performed.

For your reference, we have summarized a list of holidays recognized under each agreement covered by the NorCal Chapter NECA. In instances where it is necessary that employees covered under the agreement must work, employees are paid at double the regular straight time rate of pay. Some agreements preclude any work on Labor Day, except under emergency circumstances and only with the Business Manager’s approval.

Another area that should be reviewed is Carpenter’s Off-Days, which means that if electricians work on a project with other crafts that receive premium pay for the Carpenter’s Off-Day, then the electrician(s) shall also receive premium pay. However, if work is performed on a project where no other trade(s) receive premium pay, then electricians likewise shall not.

Click here to see a listing of the holiday’s and other off-days observed in each of our Chapter’s jurisdictions.

SBA Publishes Loan Necessity Questionnaires

After months of ambiguous and constantly-shifting guidance, the Small Business Administration (SBA) has finally published information hinting at how it will determine whether Paycheck Protection Program (PPP) borrowers certified in good faith that economic uncertainty made the PPP loans necessary. Back in May, SBA walked back what borrowers perceived as threats of prosecution for inadvertently making certifications of economic uncertainty, and provided safe harbors for loans under $2 million and for borrowers that made erroneous certifications in good faith. However, the clarifications remained vague. A recent announcement by the SBA suggests that it will be looking closely at a borrower’s performance after receiving the PPP funds, but it remains unclear what impact those factors will have on determining whether the borrower made its representation of economic uncertainty in good faith. Read more by clicking here.

Updated Cost Data Sheets

Effective December 1, 2020, the Sound & Communications Agreement and the Bay to Borders Residential Agreement have increases that will go into effect. Please be sure to use the updated cost data sheets on the Labor Agreements section oft eh website when bidding work in the corresponding jurisdiction.

Effective January 1, 2021, the Bay Area and Central Valley CE/CW Agreements have increases that will go into effect. Please be sure to download the updated cost data sheets for these agreements as well.

NECA Key Performance Indicator (KPI) Initiative

The construction industry is changing and the value of good data is invaluable. NECA has entered a strategic alliance with GoCanvas to meet NECA contractor’s data tracking needs and ultimately help mitigate risk.

Over 80% of the decisions made in the field and back office have little to no oversight, which limits contractors’ ability to measure successes and failures. The future of construction will be based on data and clearly defined Key Performance Indicators. Click here to learn more about this partnership.

Further, NECA will be hosting a webinar for members that will give the opportunity for attendees to engage with GoCanvas and the NECA Innovation Team. You can reserve a spot for this webinar by clicking here.

Governor Newsom Signs Priority Industry Bills

In the final hours of the 2020 legislative session, Governor Newsom signed all four of the priority bills sponsored by the industry this year. The measures will expand the scope of prevailing wage, stimulate electric vehicle infrastructure work – prioritizing the utilization of union electrical contractors and provide notice in all public agency bidding and contract documents when a skilled and trained workforce will be required. All of these measures will help increase union electrical contractor market share, and will benefit our industry for years to come. Click here for a brief summary of each measure.

NorCal NECA Welcomes New Member

The Chapter is pleased to welcome its newest Solano/Napa Division member, Alden Electric, Co. Your satisfaction is Alden Electric’s main priority. Since their business started, quality has been their main focus. BY working with the best materials in the industry and employing the most experienced and meticulous electricians, they are able to deliver solid and long lasting solutions for everyone. With over 20 years in the industry, spanning all forms of electrical including residential, commercial, industrial, solar and low-voltage, Alden Electric can provide all your electrical needs.

IRS COVID-19 Payroll Tax Deferral Guidance

Early last month, President Trump signed an executive order directing the secretary of the treasury to allow employers to defer the withholding, deposit and payment of a certain portion of social security taxes in light of the ongoing COVID-19 pandemic. The IRS has issued guidance implementing the president’s order. However, Notice 2020-26 still leaves employers responsible for collecting the tax from employees and for interest and penalties if the employers are unable to collect the tax after the deferral period. As a result, employers should carefully consider whether it is prudent to participate in the program. As always, NECA contractors are encouraged to seek competent local legal, tax and accounting counsel for specific questions and concerns related to the deferral of payroll taxes. Click here to read the full NECA Legal Alert.