Saturday, May 11, 2013

Hawaii military contractors discuss sequestration and other issues

Tina Yuen

Rod McLaughlin of dck pacific construction.

Executives from five Hawaii companies that do military contracting discussed a range of challenges facing the industry at a Thursday roundtable hosted by PBN, including the effects of sequestration, furloughs and the escalating cost of materials.

Some expressed frustration with the delay that federal sequestration has caused in terms of proceeding with projects, but they are optimistic that work will pick up later this year.

Rod McLaughlin, director of project development at dck pacific construction, said activity in the Pacific region looks promising.

?We got a letter from the Navy the other day outlining a number of projects that they intend to release,? he said. ?Not sure if it is a marketing ploy, but projects around $150 million for Guam and for the Marines relocation ? so that looks promising for Hawaii, and Guam as well.?

Some of those projects had been held up since last fall because of sequestration ? the mandatory cuts in federal spending ? but roundtable attendees said they anticipate projects to move along in July.

Another big change in the industry is the increasing importance of sustainable projects and designs.

Jim Ramirez, vice president of construction at Forest City, said sustainability wasn?t a major consideration just five years ago, but it?s now one of the most important priorities.

?Everything, whether military or private contracts, has seen a lot of movement and focus on sustainable design for energy savings,? he said. ?We have programs right now backed by the government, where before they weren?t, with a big push on energy savings and renewables. When we select our designers, we want to make sure they are experienced in sustainable design.?

Source: http://feedproxy.google.com/~r/vertical_53/~3/2ED5L8n5g-s/hawaii-military-contractors-discuss.html

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