The T&H Blog Archives - Page 10 of 30

Why You Need a Business Practice Evaluation

Have you thought lately about the overall health of your business? In today’s economy, it’s important to not only deliver your service, but to operate effectively and efficiently. An excellent way to gain insight into this is through conducting a Business Practice Evaluation (BPE). A BPE assesses the health of a utility by developing the framework for a structured approach to managing, operating, and maintaining assets in a more business-like manner. The goal would be to minimize the total cost of operating, managing and maintaining utility assets while still delivering exceptional service to customers. This is accomplished by providing more effective preventive maintenance to reduce capital investment.

The evaluation process will ultimately enable utility managers to assess the efficiency and effectiveness of their business practices in comparison to industry standards. Developing system specific plans, programmatic approaches, and realistic timelines to optimize utility programs are included in this process.

Similar to management consulting services, a BPE has potential to bring incredible value to your utility. While the list of benefits is copious, here are a few of the major advantages of conducting a Business Practice Evaluation.

business practice evaluation graphic with words and icons including innovation, process, research, development, management, teamwork, marketing, analysis, strategy and efficiency

Next Level Growth

Firstly, conducting a BPE will provide a baseline of exactly where a utility or company’s business practices currently are. Through a rating criterion, findings report, and subsequent scoresheet, the opportunities for improvement will become clear. A company can then make modifications to their business practices to reach the next level of efficiency and effectiveness.

Objectivity

As a manager, it may be hard to focus on the cause of an issue when you are immersed in it every day. Conducting a BPE will allow for an industry expert to look at a situation objectively and make the best-informed recommendations based on the BPE’s proven history of success.

Cost Reductions

A successful Business Practice Evaluation will help companies cut costs by simplifying and refocusing existing business practices. Expert BPE consultants can look at costs from a different lens and offer insights based on data and effective-practice knowledge.

Improved Communication and Relationships

In big and small companies alike, communication is key. An open line of communication is particularly critical between management and field personnel in water and wastewater utilities. Through field observations of current business practices, valuable insights in reference to efficiency and effectiveness will be provided. Management and field personnel can then identify and prioritize opportunities for improvement, as well as come to a consensus in all business practices. A successful BPE will help to eliminate the fissure between management and field staff, eliminating the ‘us versus them’ mentality.

Staff Accountability

A Business Practice Evaluation is completed through a series of interviews within a diagonal slice of utility staff. Recommendations from the BPE findings report will aid in staff accountability by identifying and implementing realistic performance measures. For example, the report may show within the Administration category that an Emergency Response Plan (ERP) is not in place. Subsequently, a Public Water Supplier could then take the necessary steps to implement an ERP and provide staff with the required ERP training.

A Way Forward

One of the most valuable pieces of information obtained from conducting a BPE is knowing where a business stands from a micro-level view. Once the scoresheet is complete, a company can determine if their primary business functions are being efficiently and effectively managed (or not). Moreover, the risks and consequences of not moving forward with proposed recommendations are identified. Having this information allows management the ability to prioritize business practices and supporting attributes, and sets the business on the right path going forward.

Improved Quality of Life

Changes resulting from the completed Business Practice Evaluation have the potential to improve quality of life and staff morale by communicating and providing a clear management plan to move forward. While improvements may not always be evident prior to the BPE, management and staff alike will be happy when positive changes are made. With more efficient and effective business practices and improved communication, the business continues to thrive.

Image of business people hands on top of each other symbolizing support and power

Interested in the full scope of the Business Practice Evaluation? See the step-by-step process below.

Review utility documents and documentation of business practices
Develop rating criteria to determine level of performance of business practices
Develop business practice categories and supporting attributes scoresheet with the assistance of your utility staff
Conduct kick-off, consensus, and findings workshops
Conduct interviews within a diagonal slice of the organization
Conduct field observations of current business practices (not people)
Develop a BPE findings report
Develop a BPE scoresheet from the findings report

In conclusion, it is critical to stay on top of internal functionality regardless of the type of business you operate. Keep in mind, no matter how well-oiled a machine is, there is always room for growth and improvements. Organizations that have conducted a BPE significantly improve the management, operations and maintenance efficiency of their utility.

Earth Day: Make a Difference with Water

Happy Earth Day! We hope you will do your part to keep our earth clean and read on to learn about the ways that you can make a difference when it comes to preserving water and keeping it clean.

Making a Difference since 1970

Since the first Earth Day on April 22, 1970, the environmental movement has continued to grow with each passing year. What started as a way to bring ecological awareness to the forefront of people’s minds, became the catalyst for greater causes including the U.S. Environmental Protection Agency (EPA) and the Clean Air, Clean Water and Endangered Species Acts. The Earth Day that we have grown to know encourages people from around the world to advocate for a cleaner earth.

Clean Water Act

As civil engineers in the water environment, we are particularly grateful for the CWA that stemmed from 1970 Earth Day efforts. When amended in 1972, this act:

Established the basic structure for regulating pollutant discharges into the waters of the United States
Gave the EPA the authority to implement pollution control programs
Maintained existing requirements to set water quality standards
Made it unlawful for any person to discharge any pollutants from a point source into navigable waters
Funded the construction of sewage treatment plants
Recognized the need for planning to address critical problems caused by nonpoint source pollution

Since 1972, many other laws have been put into place to aid in the cleanliness of our waters. In addition, clean water for all has become an issue that millions of people around the world care about.

Curious in how you can contribute to a better water environment this year?

Turn off Your Faucet

Did you know that you can save up to eight gallons of water each day by turning off the faucet when you brush your teeth, wash your face or shave? This equates to more than 200 gallons of water each month! This is one of the simplest and most effective ways to save water. Start this habit on Earth Day 2019 and carry it through every day!

Buy Products with Minimal Chemicals

If you’ve ever looked at the ingredients list on the back of any bathroom or kitchen product, you likely saw a number of words you can’t pronounce. While these ingredients serve their purpose, many are not good for the environment. Because of this, it’s important to be mindful of what gets washed down the drain. Although the water that comes through our showers and faucets has been treated, there are still many chemicals that end up in our water supply that cannot be removed.

Stop Polluted Stormwater Runoff

One of the most detrimental sources of pollution in rivers is polluted stormwater runoff. Chemicals and harmful pollutants that collect on impermeable surfaces like pavement and concrete get washed into rivers, streams and creeks. Fertilizers, road salt, pesticides, trash, car oil and more are just a few examples of harmful pollutants that flow into storm drains and straight into natural water sources. This kills fish, erodes streams, pollutes swimming areas, floods homes, and amongst other problems.

You can do your part in preventing polluted stormwater runoff by using products that are not harmful to the environment. Using organic fertilizer, green soap solutions, and minimizing the use of salt during winter will help tremendously. Being mindful of what goes into storm drains will help as well. So, keep in mind – only rain goes in the drain.

Another solution is to use native plants to capture and filter polluted runoff. Rain gardens, rain barrels, downspout diversions and permeable pavements are also excellent at-home solutions.

Use Refillable Water Bottles

Each year, Americans use an average of 50 billion plastic water bottles. Of that, roughly 9 percent of them are recycled. The rest go into landfills, or become litter, polluting our rivers, streams, and oceans and harming wildlife. Invest in a reusable water bottle and refill it throughout the day to save the environment, and your wallet!

camel back water bottle. fill your reusable water bottle on earth day 2019 and every day

Take Action!

The best way you can help contribute to cleaner water for all is to get involved. There are programs in your community, and around the country and world that are dedicated to keeping waters clean. Water for People and Water Mission are among the hundreds of organizations whose mission is to provide clean, safe water for all. In addition, getting out in your own neighborhood and collecting garbage from streets and water is an excellent starting point!

Happy Earth Day 2019!

6 Reasons to Work with a Small Engineering Firm

There’s a lot to consider when it comes to addressing your water needs and ultimately awarding a project to the most qualified bidder. Whether you’re in need of a large scale project such as the design and construction administration of a water treatment plant, or something smaller like a new water main, the deciding factors are equally important. Although it may seem daunting to weigh the magnitude of experience and qualifications across all the competing bids, we are big proponents for small engineering firms. Read on to see six great reasons why working with a small engineering firm could be a huge benefit to your company, institution, or municipality.

True Experts in the Field

In choosing a small engineering firm, you’ll have the opportunity to work with engineers who have expertise in both a specialized service as well as experience across multiple facets of the business. It is common to see groups of small teams within a firm that focus on particular segments of the business, be it water, wastewater, stormwater, or construction. Given the nature of a small firm however, there are large opportunities for teamwork and collaboration across the different services. For example, an engineer with a focus on stormwater, may have contributed their knowledge to a wastewater project.

Folks in smaller, privately owned firms, also tend to stay at the company for longer periods of time. With a feeling of trust and community within the company, experience will always increase with longevity.

Client Focused and Reliable

From first interaction to project completion, the team will be there to assist through every step. Teams within small engineering firms are known to go the extra mile to meet the needs of their clients and stop at nothing to make sure all expectations are exceeded. More so than the project itself, a solid client-firm relationship is critically important. When a company is small, team members are often more accessible and eager to help.

Familiar with the Area

Most small, regional firms tend to have a majority of clients close to their headquarters and satellite offices. Having a level of familiarity within a tighter geographic region provides huge benefits for firms and clients alike. For example, when a firm works with a town, they learn the ins and outs of new and existing systems. When it comes time for another project in the same town, the small, local firm is then one step ahead of the competition. Firms that are more local to the client also are more likely to have greater connections with other contractors and utilities nearby.

Tata & Howard worked with the town of Milford, MA on a Wastewater Treatment Facility

Engaged Engineers

According to a 2017 study by Gallup, smaller companies have higher levels of employee engagement. From 2012-2016, the percentage of engagement levels in small companies grew by five percentage points. In the same time frame, engagement levels in larger companies barely budged. Similarly, 42% of employees working at companies of 10 or fewer were engaged at work versus the 30% who worked at larger companies. Use this stat when you’re thinking about the team of engineers working on a project (i.e. 10 person companies can easily be equivalent to 10 person teams.)

Transparency

A big component of a solid working relationship is honesty. In any project, big or small, there will always be bumps in the road. A small engineering firm is more inclined to reveal challenges and concerns and face them throughout the course of the project. With full transparency, the firm and client can then work together to address all needs and achieve the end goal.

Small Firms – Big Hearts

In this day and age, ‘giving back’ is incredibly important to consumers. You want to know the company you’re doing business with cares about the world around them. Often times, you will see smaller firms participating in ways well beyond dollars. Giving time, partnering with local charities, and finding a cause that employees truly want to be a part of are what small companies tend to excel in.

tata and howrad employees introduce young girl scouts to engineering

Stay Eco-Conscious During the Boston Marathon

For Massachusetts natives, Patriots Day – or as we like to call it, ‘Marathon Monday’ – has become one of the most anticipated days of the year. On the third Monday of every April, the Boston Marathon takes place, hailing more than 30,000 runners and 500,000 spectators from around the world. While this special Boston event is celebrated by millions, it’s notorious for creating a tremendous amount of waste. From water bottles, disposable water cups, and food remains, to clothing items, Mylar blankets, and paper – the waste that floods the streets and storm drains quickly piles up. Interested in how runners and spectators can stay eco-conscious during the Boston Marathon this year and in the future? Read on and check out our infographic to find out.

workers paint boston marathon finish line on boylston street in boston — (Jesse Costa/WBUR)

Hydration Packs/Camelbacks/Personal Water Bottles

A great way for runners to help eliminate waste during the race is by using a hydration pack. Coming prepared with a personal water source means that runners will not have to waste the paper cups available at the hydration stations. While some hydration packs can be a little bulky, there are items like the Hydrapouch that are super lightweight and can be filled throughout the course of the race at water stations. Vacation Races, a racing organization that specializes in hosting races in the world’s most desirable destinations, implemented a cup free racing policy for their races. Vacation Races provides Hydrapouches for all their runners or gives them the option to bring their own water source. 83% of their runners found this process completely satisfactory.

Hydration packs can also help in reducing the number of disposable water bottles, a number that crept up to 62,000 in 2017.

four different types of hydration packs that runners can use to drink water while they run

Want to learn more about the benefits of avoiding bottled water? Check out our infographic here.

Compostable Cups

According to the Boston Athletic Association (BAA), 1.4 million paper water-cups were distributed to runners across the 26 hydration stations in 2017. Often, these cups are thrown on the ground as runners quickly take their sips and continue the race. Even though the cups are picked up by crews and volunteers post-race, many get left behind or fall into storm drains. Cities with large marathons would benefit from compostable cups since they are made exclusively with materials that can break down without leaving toxic residue. Compostable cups are also great because they are made with 40% less water than that of Styrofoam cups.

Place Garbage and Recycling in Designated Areas

There are designated trash and recycling bins along the route. If you see any trash or recyclable items on the ground, be sure to place them where they belong.

Limiting Printed Materials

Between program brochures, event schedules, and all the promotions included in each runner’s race packet, there is a wealth of paper material distributed throughout the course of the marathon. For example, during the 2017 Boston Marathon, 171,380 paper brochures and visitor’s guides were printed. The BAA said brochures are now smaller and that a lot of the race information is disseminated virtually in efforts to save paper.

Most questions for runners and spectators can be answered here.

The Future of Revolutionizing Marathon Waste

Although it may take some time for Boston to become a cup free race, there certainly is hope when it comes to eliminating waste. Oohoo Water is a startup company that makes ‘edible water bottles,’ an innovative alternative to disposable water bottles. This solution makes water available in little pods encapsulated in seaweed – so they can be nipped and sipped from or eaten whole. The London Marathon will trial these this year.

water inside of a seaweed pouch that runners can eat whole or bite and sip from.

While Boston is making their best efforts to remain eco-conscious during Marathon Monday, there is still room for improvement. Events including the Chicago Marathon, Ironman Boulder, and Houston Marathon are among a group of certified events within the Council for Responsible Sport. These events have proven their methods to meet the new norms for social and environmental responsibility. For instance, the London Marathonannounced earlier this month that they aim to become a world leader in sustainable mass participation events.

Should you be running the Boston Marathon this year or watching, we hope you will do your part to stay eco-conscious and keep our streets and water clean!

Everything You Need to Know About Water Main Flushing

Chances are that at some point in early spring, you have noticed fire hydrants being flushed and releasing large amounts of water into the streets. While it may appear that hundreds of gallons are going to waste, there are actually several benefits to this hydrant flushing process. Water main flushing is an important preventative maintenance activity that:

verifies proper operation of the hydrant
evaluates the available flow to the hydrant
allows utilities to deliver the highest quality water possible to their customers
removes mineral and sediment build up from the water mains

Proper Operation of the Hydrant

According to the Massachusetts Department of Environmental Protection (MassDEP), the process of water main flushing is one of the most critical practices carried out by public drinking water systems. This practice allows water operators to identify broken or inoperable valves and hydrants to assure that they are working at their maximum potential.

Fire & Emergency Needs

During the flushing of a hydrant, operators can assess the water pressure and available flow rate for firefighting purposes. It’s imperative that each hydrant is operating as firefighters rely on them for fire-ground operations.

High-Quality Water

Over time, water settles, ages, and is affected by biofilm (a thin layer of microorganisms) that grows on the inside of the distribution piping. Each of these factors affects the quality and taste of the water, so it is important to flush the water out of the mains and hydrants regularly. Flushing can remove water from areas of the distribution system that have low water use, since the older water may no longer have the desired chorine residual.

Mineral and Sediment Build Up

Throughout the course of several months or a year, loose sediment and mineral deposits may slowly build up inside of the water mains resulting in discolored water and reduced capacity. Flushing the water mains can remove the sediment and mineral build up, and improve the color, odor and taste of the water if it has been problematic. Unidirectional flushing at the minimum required velocity will improve the carrying capacity of the mains.

Questions?

Now that we’ve discussed the benefits of flushing our water mains and hydrants, you may have some questions about the process and how it will affect your day-to-day life. We’re here to help!

When will a hydrant near me be flushed?

Hydrant flushing normally takes place at the start of spring. Your Pubic Water Supplier (PWS) should notify you of what streets will be undergoing flushing and when.

What can I do to prepare for flushing?

Prior to local hydrants being flushed, you may want to obtain water (in pitchers prior to flushing) for your everyday use including drinking, cooking, etc.

When the flushing is taking place, water quality may temporarily be reduced. Using water for tasks such as dishwashing, laundry, or showering may result in the discoloration/staining of your clothes or household items. Plan ahead and be sure your laundry and dishes are done before the flushing process begins!

How does water main flushing work?

Water main flushing usually takes place in one of two ways – conventional flushing or unidirectional flushing (UDF). WATER Finance & Management does a good job describing the difference between the two methods. In conventional flushing, hydrants are opened in different targeted areas and discharge water until accumulations are removed and water runs clear. While easy to conduct by water operators and crews, this method requires a lot of water, and may not always clean the pipe completely. With UDF, each pipeline is isolated to create flow in a single direction and quickly clean the pipe. By concentrating the flow, UDF creates higher velocities to clear the pipes and requires less water.

Learn more about the benefits of unidirectional flushing in our infographic here.

How will flushing affect my water?

During the process, you might experience a difference in the water pressure in your faucets as well as some discoloration in the water.

How long does it take to flush the hydrant?

Typically, this process takes between 30 and 60 minutes.

When will my water be back to normal?

Once the hydrants in your area have completed their flushing, it won’t be long until your water is ready for normal use again. In most cases, water should run clear with just a few minutes of faucet flow. Turn your faucets on cold and let the water run for 5 minutes or so. If you are still seeing discolored water or sediments in the water, continue running cold water on all your faucets until it is clear. Should your water still be discolored after several hours, please contact your water supplier.

Is water main/hydrant flushing a waste of water?

Although you will see water flowing for up to an hour, rest assured that most of the water that was flushed will return to a river, stream, or aquifer. Flushing is a necessary process to help keep our water mains clean and clear of sediment, allowing your public water supplier to provide excellent water quality, and increased pressure and flow.

For more information and tips like this, be sure to subscribe to our newsletter!

6 Ways to Help Prevent Stormwater Pollution this Spring

You know what they say; April showers bring May flowers. While the start of spring and warmer days to come is certainly exciting, it’s important not to oversee what else comes with an increase in seasonal rain – stormwater pollution. Stormwater is water that comes from precipitation and snow/ice melt. The water either soaks into exposed soil or remains on top of impervious surfaces like pavement or rooftops. Most stormwater will eventually evaporate, but often times it will flow as runoff to another location. As the water runs it picks up pollutants along its path including debris, sediment, pesticides, fertilizers, pet waste and more. This polluted stormwater can cause soil erosion, stream impairment, flooding, fish and wildlife habitat loss, and reduced groundwater levels. Although stormwater pollution cannot be eliminated completely, you can do your part in preventing it. Check out these six ways to help prevent stormwater pollution this spring.

1. Only Rain Belongs in the Drain

As you start a spring cleanup in your yard, it’s important to remember that storm drains are not garbage disposals. Substances including leaves, yard waste, and other debris should be disposed of properly, and not released into neighborhood drains. Do your part to ensure that the only thing flowing into the storm drains are rain and snow/ice melt.

2. Use Lawn Chemicals Sparingly

With the arrival of warmer weather and outdoor summer fun on the horizon, now is the time when people start getting their lawns in tip-top shape. When it comes to fertilizer, remember that a little goes a long way. While a 20-pound bag of lawn fertilizer may seem small, do note that it will typically cover up to 4,000 square-feet of space (bigger than a tennis court). When spreading the fertilizer, use it sparingly to assure the excess does not overflow into runoff when rain comes. Choosing an organic fertilizer will also be less detrimental to the environment.

3. Avoid Over-Watering Your Lawn

While fresh, green grass is the end-goal for most yards come springtime, be sure not to over-water your lawn. In addition to the risk of fertilizer flowing over and out into the streets, it’s not good to have pools of water collecting in your grass. Avoid this by scheduling times each week to water your lawn, or by turning on sprinkler timers.

4. Wash Your Car Over Grass or Gravel

If you plan to wash your car at home, find an outdoor surface such as gravel, stone or grass to wash it on. Soapy water and grime will have an easier time neutralizing if it is filtered out before it reaches our streams and creeks. Try using a non-toxic or biodegradable soap as well to allow fewer chemicals to get into the water. An even safer alternative would be heading over to your local car wash where they will have a system in place for recycling or removing wastewater.

5. Pick Up Pet Waste

Although this sounds like a given, there are still many folks who do not pick up their pet’s waste. Pick up, bag, and dispose of pet waste properly to assure that unhealthy bacteria is not flowing into local waterways.

6. Plant Low-Maintenance Grasses and Plants

When it comes time to choose either grass seeds for your lawn or decorative plants, go with a low-maintenance, native (ones that occur naturally in a region in which they evolved) option. Because native plants adapt to local environmental conditions, they require far less water and are a lot better for the environment. Curious about what types of native plants are in your area? Check out this Native Plants Database to find out!

Interested in learning more about eco-conscious stormwater management to avoid stormwater pollution? Check out our infographic here and keep these tips in mind as you get going on your spring activities.

T&H Joins Impact Tour with Water for People

In the small, landlocked country of Rwanda, situated amid a dense population of nearly 12 million inhabitants, Water for People (WFP) expanded their mission of promoting the development of high-quality drinking water and sanitation services. The ‘Everyone Forever’ model was built out of Water for People’s Rwanda office in Kigali and is a programmatic effort to provide water and sanitation to Everyone in targeted districts, Forever.

To understand the full scope of Water for People’s vision while also supporting their mission, two Tata & Howard employee owners will be heading off to visit Water for People’s Rwanda site as part of their Impact Tour in September of this year.

Impact Tour

Water for People’s Impact Tours were created in efforts to show stakeholders how the organization is strengthening communities and fostering independence within defined geographical areas – that is, by bringing clean water and sanitation to every family, clinic, and school.

Throughout the course of an Impact Tour, participants will visit one of Water for People’s sites for a week to visit country staff, see the work they are doing, and witness firsthand what supporting Water for People truly looks like. Participants will interact directly with community leaders, local staff, government officials and people whose lives have been changed for the better due to the support and work in their area.

There are typically two Impact Tours each year – the first of 2019 will be taking place in Bolivia from April 13-18. The Rwanda Impact Tour that our team members will be participating in will take place from September 7-12.

The Lucky Winner

James Hoyt, Project Manager, was chosen through a company-wide raffle that was put together through our ESOP Committee. This raffle encouraged employees to continue supporting an organization we have been heavily involved with as a company, while also increasing employee engagement.

James is excited and honored for the opportunity to represent T&H for the Rwanda Impact Tour. He looks forward to meeting and interacting with Water for People staff and the local community while learning from their experiences.

“It is meaningful to have the opportunity to bring this experience back to the company and to be an advocate for the positive changes the organization is making,” he said.

Two’s Company

Tata & Howard Co-President, Jenna Rzasa will also be accompanying James on the Rwanda Impact Tour this September. As a donor and supporter of Water for People for the last 15+ years, Jenna saw the Impact Tour as a wonderful opportunity to see the positive benefits that come as a result of providing safe drinking water to the people of Rwanda.

“Not only is WFP important to me, but also to the late Don Tata (co-founder of Tata & Howard), who was passionate about the organization and the winner of the 2018 Kenneth J. Miller Founders’ Award,” said Jenna. “By choosing to attend the trip with the Tata & Howard Raffle Winner, it serves a tribute to Don as well,” she added.

Raffle Entries

To participate in the raffle, Tata & Howard team members were given several opportunities to earn raffle tickets for the Impact Tour trip, including:

Payroll Contribution to Water for People*

*The only requirement for raffle eligibility was a payroll contribution to Water for People. Subsequently, employee owners could then participate in other activities and company events to earn more tickets.

Time at Tata & Howard
Participation in ESOP Month Activities
Donations for the November Food Drive
Gifts for the DARE or Toys for Tots Giving Trees
Donations to the Animal Shelter Drive
Participation in the February ESOP event

A Second Opportunity

Because many of our team members have children, families, and other commitments – we were pleased to offer those unable to travel to Africa with the opportunity to use their raffle tickets elsewhere. Within a second raffle bucket, employee owners could also be eligible to win a $500 gift card to an airline of their choice. Raffle entries were collected in the same way they were for the Impact Tour.

The lucky winner for this prize was T&H Associate, Ryan Neyland.

While Ryan has yet to pick a destination to take advantage of his prize, he is thankful for the opportunity and is thankful to be part of Tata & Howard’s ESOP.

“I value the ESOP knowing that the long-term ownership of the company will remain with its employees, and that we all have a direct impact on the stability and value of our company,” said Ryan.

Special opportunities such as supporting a truly impactful organization are just some of the perks that come with being a part of an ESOP. While the Impact Tour trip to Africa may be a once-in-a-lifetime experience, we are always looking for ways to keep our employees working hard, engaged, and happy about the difference they can make in our company and the world.

ESOP – An Excellent First-Resort

As business owners, there is a lot to consider when mapping out future retirement and succession plans. Between 401(k)s, Individual Retirement Arrangements (IRAs), Employee Stock Ownership Plans (ESOPs) and other similar options, weighing the advantages and disadvantages of each one is critical. While plans such as 401(k)s and IRAs are most common, there is still a large knowledge gap when it comes to ESOPs – and because of this, the ESOP option frequently gets overlooked or viewed as a ‘last-resort.’

With that said, let’s dive into some of the great benefits that ESOPs bring to both employers and employees, and discuss why ESOPs should truly be viewed as a first-resort.

For starters – what is an ESOP?

To keep it simple, companies that launch an ESOP form a trust that purchases some or all of the company’s shares and holds them in retirement accounts for employees. As the stock value increases or decreases over time, so too does the value of the employees’ accounts.

The two main reasons why ESOPs are such beneficial alternatives to the other succession plans out there are as follows:

ESOPs increase employee engagement, thus improving the company’s overall performance
ESOPs offer potentially compelling benefits at the time of sale

Employee Engagement

In terms of employee engagement, studies have shown that employees who participate in an ESOP are more motivated to perform at a higher level than those who do not participate in an ESOP. Research in a study conducted on the effects of ESOP adoption and employee ownership at the University of Pennsylvania showed that individual employee-owners have increased job satisfaction, organizational commitment, motivation and workplace participation. Employee ownership has also been shown to result in increased firm productivity, profitability and longevity. In the largest study on the performance of employee stock ownership plans, Joseph Blasi and Douglas Kruse found that overall, productivity increased by 4% in companies who participate in an ESOP. The National Center for Employee Ownership also found that on average, employee-owners have retirement accounts that are 2.2x larger than those in traditionally owned companies.

Compelling Benefits

The second reason why ESOPs are a great option for business owners is the increased optionality. When the time comes to sell a business, ESOPs give business owners more than one solution to a very complex situation. One example of this can be seen through the decision Dansko, a popular manufacturer of shoes, made to become an employee owned company. When owner Mandy Cabot made the decision to sell her company, she was presented with an offer from Timberland, another massive name in the industry. While the deal offered an attractive price tag and additional benefits like added R&D for Dansko, ultimately Mandy sold her shares to an ESOP. Instead of an outside company running her business, the employee owners who have been ingrained in Dansko’s roots for so long, will continue on with their original commitment to employees, community, and values.

“In any business, employees are the life-blood, they ARE the business,” Mandy said. “Through our employees, Dansko will learn, evolve, and regenerate itself virtually forever.”

Misconceptions of ESOPs

With these benefits laid out on the table, what then gets in the way of owners looking to implement this viable option? Here are some of the major misconceptions surrounding ESOPs:

An owner may not get fair market value by selling to an ESOP – It is true that an ESOP cannot pay MORE than a business’ fair market value – thus, an owner will not be walking away with an offer from the highest bidder. However, the ESOP can pay every dollar of fair market value determined by a market evaluation exercise.
Owners lose operating control of their companies when they create an ESOP – This is also not true. While employee-owners will observe management decisions and strategies to grow the value of the company, ESOP members don’t manage operations.
ESOPs are too complex – Although there are more nuances when it comes to setting up an ESOP, ESOPs are structured under U.S. law as an employee retirement plan. There are many financial advisors out there who are experts on the ins and outs of ESOPs.

In the end, some retirement options may be better suited for certain companies and firms – but at the least, be sure to evaluate the tangible benefits of an ESOP.

Tata & Howard adopted an Employee Stock Ownership Plan in October of 2014 to ensure future success of the company. As a result, Tata & Howard employees own 100% of the company through their ESOP. Since becoming an ESOP company, Tata & Howard still upholds the same core mission and values of teamwork, efficient solutions, client satisfaction, integrity, and positive attitude, originally established more than 27 years ago.

International Women’s Day 2019

Women in Engineering

For the last 108 years, International Women’s Day (IWD) has taken place on March 8 all around the world. IWD is a global day of recognition celebrating the social, political, economic, and cultural achievements of women.
While the personal meaning of this day may vary, the global theme of equality and celebration resonates with a powerful force. From big cities and sprawling country sides, to tiny villages and corporate organizations, women and men alike are showing their support for all the women who make a difference each and every day.

The Women of Tata & Howard

At Tata & Howard, we feel particularly lucky to work alongside such talented and fantastic women. Of the 60 individuals who make up our firm across seven locations, 22 (or 37 percent) are women. On top of that, our two co-presidents are also women. Karen L. Gracey and Jenna W. Rzaza have more than 43 years in combined engineering experience, and go above and beyond to lead our team to its fullest potential. In an industry that has been predominantly dominated by men for the last several centuries, it prides us to see the strides and achievements being made within our company and others like us around the world.

Some of the Tata & Howard women in the Marlborough, MA office.

On International Women’s Day, and every day, we are thankful for the women who make up our team.
Christine Beliveau – Marketing Coordinator
Katie Carreira – Assistant Project Engineer
Justine Carroll, P.E. – Associate
Molly Coughlin – Assistant Project Engineer
Natalia Close – Engineer
Meghan Davis – Project Engineer
Karen Gracey, P.E. – Co-President
Chelsea Henderson – Engineer
Meagan Heslin, P.E. – Project Engineer
Eyleen Izaguirre – Engineer
Patricia Kelliher – Project Engineer
Jessica Kemp – Marketing Communications Manager
Kasey Kenyon – Engineer
Melissa Leach, P.E. – Senior Project Engineer
Maria Maynard – Manager of Human Resources
Jenna O’Connell – Engineer
Carmen Perkins – Staff Accountant
Jenna Rzasa, P.E, – Co-President
Allison Shivers, P.E. – Project Engineer
Jan Stone – Administrative Assistant
Kaitlin Tallman – Engineer
Mary Vermes – Staff Accountant

A few of the Tata & Howard men showing their support for their colleagues on International Women’s Day in the Marlborough, MA office.

Today we celebrated with our usual ‘Friday treats’ and acknowledged all of the great work our female engineers and staff members do throughout the year.

PFAS to be Classified as Hazardous Substances Under New Bipartisan Senate Bill

The PFAS Action Act

A bipartisan senate bill was introduced on March 1 to mandate the Environmental Protection Agency (EPA) classify Per- and Polyfluoroalkyl Substances (PFAS) as hazardous substances eligible for cleanup under the Superfund toxics law, a massive step in efforts to eliminate widespread contamination by these compounds across the country. Under the PFAS Action Act of 2019, legislation would require responsible parties to report the excess release of PFAS into the environment and allow the government to sue polluters to recover the costs of cleanup.

Scott Faber, Senior Vice President of Government Affairs at the Environmental Working Group (EWG) said that “this proposal could assist potentially hundreds of communities throughout the country struggling with PFAS contamination by securing the resources required to begin the cleanup process and holding polluters accountable.”

What are PFAS?

PFAS are manmade chemicals that have been used in both industry and consumer products since the 1950s. The most common products that PFAS are used in include:

Non-stick cookware
Products that resist grease, water and oil
Water-repellant clothing
Stain resistant fabrics
Firefighting foams
Some cosmetics

Exposure to PFAS can happen through a variety of ways including:

Drinking contaminated municipal water or private well water
Eating fish caught from a source that was contaminated with PFAS
Swallowing contaminated soil or dust
Eating food that was packaged in material containing PFAS
Using consumer products including the ones listed above

As PFAS are produced and used, they can migrate into soil and water inducing hugely detrimental effects on the environment, people, and animals. While scientists are still learning about the health effects to exposure of PFAS, some studies show that PFAS exposure may affect:

Growth
Learning
Behavior of infants and children
The ability to get pregnant
Natural hormones in the body
Cholesterol levels
Immune system
Risk of cancer

Why is the PFAS Action Act of 2019 Necessary?

Tests performed by the EPA have detected PFAS pollution of public water supplies for 16 million Americans in 33 states, a statistic that is considered a severe underestimate of the scope of the problem. EWG and researchers at Boston’s Northeastern University have tracked 172 PFAS contamination sites in 40 states – a number that does not include public water systems with PFAS contamination. In May 2018, EWG released a data analysis that estimated more than 1,500 drinking water systems, serving up to 110 million Americans, may be contaminated with similar fluorinated chemicals.

The map below from EWG and SSEHRI at Northeastern University shows contamination sites and EPA tap water detections. Click here to view an interactive version of this map. The blue circles show where PFAS chemicals were detected between 2013 and 2016 in public drinking water systems, and the red circles show sites in Northeastern’s PFAS Contamination Site Tracker.

Should this bill be enacted into law, these 1,500 contaminated drinking water systems across the country would soon be cleaned up as part both short-term and long-term actions included in the Action Plan, potentially resulting in clean water supplies and safe drinking water.

PFAS Action Act – Action Items

The EPA is leading the national effort to understand PFAS and reduce risks to the public through implementation of this Action Plan and through active engagement and partnership with other federal agencies, states, tribes, industry groups, associations, local communities, and the public.

Key actions to PFAS related challenges include:

Expanding toxicity information for PFAS
Developing new tools to characterize PFAS in the environment
Evaluating cleanup approaches
Developing guidance to facilitate the cleanup of contaminated groundwater
Using enforcement tools to address PFAS exposure in the environment
Using legal tools such as those in the Toxic Substances Control Act (TSCA) to prevent future PFAS contamination
Addressing PFAS in drinking water using regulatory and other tools
Developing new tools and materials to communicate about PFAS

(See all priority actions, short-term actions, and long-term actions here.)

^{1ewg.org

2shaheen.senate.gov

3epa.org

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