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From the Helm
By Jim Hayes, President, Marina Recreation Association
I was having a conversation with a marina manager the other day and he told me he
couldn't wait until the day he could stop reminding his staff of the things that needed
to be done. My response was it will never happen. Our job as managers is to
continually remind our staff of the things they should be doing. Once we stop
reminding them, whatever it is that we are trying to convey, will certainly stop. This
may be one of the most demanding tasks we have, but one of the most important.
Constant reminding/coaching is done by several of the best service companies in the
world. Ritz Carlton has several standards that can be recited by every one of their
employees from parking attendants to the executive level. Ritz Carlton's staff can recite over 19
different standards. The Ritz uses daily briefings, weekly meetings and constant coaching to remind
their staff of their responsibilities. By using different ways to convey their message they are able to
avoid reminding their staff in the same way. Saying the same thing over and over will have a negative
impact. Finding different ways to say the same thing is an important part of reminding/coaching your
staff.
Reminding applies to the most basic functions and all skill levels. Even professional athletes who are
the best at what they do need reminding. I was watching game 7 of the NBA finals last year. It was
the fourth quarter with less than a minute to go in the game and the Lakers were up by 4. Phil
Jackson, maybe the best coach ever in the NBA, called a time out. During the time out he didn't have
any great words of wisdom or draw up any scheme, he simply reminded his team to pass the ball.
Pass the ball? These people are the best in their business and they were being reminded of one of
the most fundamental aspects of their job.
Each manager is the coach of their marina. If we get caught up in the day to day grind and neglect
our coaching duties some of the things that we think should be happening will not. Our goal is to be
consistently great. Without constant positive reminding and coaching we'll be inconsistent and this will
reflect in our product. It's our responsibility to give the coaching our team needs to be successful.
There will never be a point that we can stop reminding our staff. The Ritz Carlton and Los Angeles
Lakers should be all the proof you need.
Legislative Update - Why Did the Chicken Cross the Road? To Get Some
Copper-Based Anti-Fouling Hull Paint!
By Bill Krauss - The Apex Group
While the bill that has taken most of my time this year might not be directly of
interest to all of the membership, the outcome of that bill would have a significant
impact on a large segment of boating, making it of at least passing interest to all.
Senator Kehoe from San Diego introduced a bill, SB 623 that would ban the use of
copper-based anti-fouling paints after January 1, 2015. This bill is the result of a
regulatory action in San Diego Bay that requires a drastic reduction in the amount of
copper in the water by 2022. It is believed that attaining that level of reduction in the
copper levels is almost impossible and, therefore, this bill was introduced to make every effort
possible to reach the goal.
The potential impact to the boating community of a strict ban on copper would be expensive as the
cost of conversion is costly and the alternatives require more maintenance and require more frequent
repainting. Although we are concerned about a ban on copper-based paints, this issue is inextricably
linked to another issue I have reported on before: The proposed "marina permit" by the State Water
Resources Control Board (SWRCB).
Last year the SWRCB proposed that every coastal marina be required to monitor the water quality in
its marina, along with many other mandated tasked, including reporting and record-keeping
mandates, that would have cost each marina hundreds of thousands of dollars a year. We were able
to fight hard and stop that proposal, but the impetus for that proposal was the copper problem in San
Diego.
Should the copper problem not be addressed then it is possible the SWRCB would revive its marina
permit concept, which would be devastating to the marina industry. Given the potential marina permit
we have determined that it is best to work with the author of SB 623 to find an approach that
addresses the copper issue in a manner that is not harmful to the boating community and will be
sufficient to allay the concerns of the SWRCB so that they do not revive the marina permit.
We have been in negotiations with the author since January and discussions are moving in a positive
direction. The author is considering various approaches we have proposed and I am "cautiously"
optimistic that the bill that reaches the Governor's desk will be a good compromise that addresses the
pressing water quality issues and allows for the use of products that are effective and reasonably
priced. Hopefully, if the outcome is positive, we won't create an additional problem by forcing the
chicken to cross the border to get a decent paint job!
We continue to track dozens of other bills and at this point in the process we have only taken a firm
"oppose" on just one other bill. That bill is AB 1299 (Huffman). This measure adds another layer of
regulation on the commercial fishing of species called "wetfish." The concern is that should this bill be
passed it could have a devastating impact on the "wetfish" fishing industry, which would bear directly
on the marinas that service these fishing vessels. Given the potential impact on the marinas, we have
taken an oppose position on the bill and continue to express our opposition at every opportunity.
As usual, we also have one eye peeled on the state budget process. In the Governor's proposed
January budget and in his May revision of that budget, the Department of Boating and Waterways is
left basically intact. The big "however" is that there are strong rumors that the Governor is preparing
dozens of department "reorganization" proposals that could be offered for consideration as part of the
budget negotiations. We are always a target in those efforts, so we are not out of the woods yet.
Although we continue to watch for raids on the boating funds, tax receipts are expected to exceed
earlier predictions by over $6.6 billion, which hopefully will alleviate some of the pressure to steal from
special funds, such as the Harbors and Watercraft Revolving Fund. However, even with such a
windfall, the budget deficit is still about $10 billion, making striking a deal still a difficult prospect.
I'll close this article as I close many of my reports: Get to know your legislator! He or she just might be
the critical vote when we face a significant assault on our interests in the future. You would be
surprised how far a hot dog and boat ride can go.
H.R Alert - What's the Story on Timesheets
By Larry Levy - Employee Relations Management Consultant
The following e-mail was sent to me last month by one of you:
"Larry - A recent situation of ours has a tie-in to your (April) H.R. Alert. We
were reclassified by our Workers' Compensation carrier to a higher cost
category because the auditor claimed that we failed to include the start and
stop times on our time cards. The added cost for the re-classification was $13,600, and that's
just for two employees. Employers have been told to include the start and stop times, but I'm
sure that many do not take it seriously. We are presently fighting over this issue with the
insurance company and the outcome is still in doubt".
It is your legal obligation to record the actual hours of work for all of your non-exempt workers. Nonexempt workers are those hourly workers whose compensation is based upon the actual hours of
work and provide your direct services or products to your customers or clients, e.g., carpenters,
electricians, bookkeepers, marina workers, plumbers, office workers, dental assistants, painters,
landscapers, restaurant personnel, etc.
Although time clocks are not required by the Fair Labor Standards Act you are required to record all
the actual hours of work in ink or some other indelible form. This means you may use a weekly or biweekly timesheet, time card or electronic time card. The Fair Labor Standards Act is a large book that
covers all the federal wage and hour laws for every employer in the country.
Furthermore, California has its own wage and hour laws documented in separate wage orders for
each specific industry, i.e. Wage Order 16 is for construction. We're not through. There are even
municipalities or cities that have their own wage laws like San Francisco that has its own minimum or
"living" wage. On top of this, you have "prevailing wages" for public projects and wages negotiated in
union collective bargaining agreements. It can be a real challenge to figure out what wage laws you
are subject to!
For each work day for your non-exempt workers you must record on the time sheet the following:
z
Actual arrival time and the commencement of work
z
The actual time a worker started or departed for the meal period
z
The actual time a worker returns from the meal break; and
z
The actual time the worker ceases working and departs for the rest of the day.
I cannot stress enough the importance of recording these four actual times each day for each of your
non-exempt workers. I have accompanied many employers to a conference with the Labor
Commissioner where the employer's defense of writing down an eight hour shift for each day's work
did not cut it.
In computing the hours of work the employer may "round-off" the employee's starting and stopping
time to the nearest five minutes or 10th of an hour as long as the practice averages out over time.
What happens when a worker clocks in but does not work? Do you have to pay them for standing
around? No, you do not have to pay them for this time provided you can be assured they were not
working. It is your obligation to ensure your workers do not clock-in early.
Similarly, be rigorous in monitoring employees who clock-in for a co-worker or forget to clock-in after
they started work. In this case have the employee write a note on his/her time card identifying the
error and writing the actual time she/he started work.
What about stating that a worker worked an eight hour shift on certain workdays. I am sorry but that
won't work. You must record that actual hours worked (work and meals) for each work day.
Can you use an electronic time-keeping system linked to your computer? Yes, you may as long as the
information is accurate and you can procure a hard copy off your printer.
Please ensure that every time card is signed by the employee in indelible ink following the statement:
"I hereby verify that these hours of work on my time-card accurately reflect that actual hours I
worked". It is also smart to have a space on the time-card for the supervisor's signature.
Regardless of the method used any time spent by your employee on "call-backs" is considered time
worked and must be recorded on the time card. The amount of pay may vary as long as the amount is
over the minimum wage.
As always, if you have any questions please call me at (415) 892-1497, (415) 254-3688, or e-mail me
at [email protected].
Legal Corner - How a Signed Agreement with Proper Terms and Conditions
Can Help You Get Paid and Avoid Suits and Counter Suits
- By Mark D. Holmes - General Counsel to the Marina Recreation Association
Every once in awhile its seems appropriate to explain why you need decent
agreements (contracts).
A good agreement helps you get paid for the services and products you provide,
when you might not get paid otherwise. A good agreement also protects you from
claims that you would otherwise have to spend a lot of time, effort and money
dealing with – taking you away from focusing on growing (or at least maintaining)
your business.
So, no matter who you are - marina operator, shipyard operator, repair person, boat or vessel rental
operator, please consider having an attorney insert one or more of the following clauses in your
estimates, work orders, invoices or agreements (what I will call "Terms and Conditions") that your
customers and other contracting parties sign.
Preliminary Matter: Have Contracting Partners Sign Terms and Conditions Whenever Possible:
The "signed Terms and Conditions" problem occurs most often in the marine services sector.
I constantly meet services owners and personnel who admit, and some proudly, that they do not have
signed estimates, work orders, invoices or agreements ("Terms and Conditions"); do not request that
customers (as just one example – it can be any contracting party) sign Terms and Conditions, even
though some actually have Terms and Conditions on the back of their invoices or work orders; and
will never request that contracting partners (customers, for example) sign Terms and Conditions.
They believe business should be done on a handshake and trust.
For such people, I do not suggest that they change the way they do business – especially if they are
successful doing business that way.
Rather, my suggestions are for those marine services operators or personnel who have had a bad
experience - for example, customers who have "stiffed them" for work done or products provided. In
such instances, those without signed Terms and Conditions face a lot of difficulties.
First, the service operator can file a lien against any officially documented vessel for the work done,
but this does not necessarily get the operator paid. Indeed, once in a while the vessel owner sues the
operator for filing the lien! Moreover, as to undocumented vessels, it can be very difficult to lien a
vessel unless you go to court and get a judgment.
Second, oftentimes the amount owed the operator is not that great (less than $5,000), so the operator
is compelled to decide whether it is worth it to chase the customer for the amount owed; –especially if
they have to pay an attorney like me to do the chasing - they have to incur the costs of the attorney
and the court but do not have any really good way to recover those expenses of costs. Frequently,
the operator will just write off the amount owed as bad debt. Too many of these write-offs, however,
and the bottom line really starts to take a hit.
Third, those who do decide to file a suit often find themselves facing a countersuit - almost always a
nuisance suit – for some alleged failure or negligence of the services operator e.g. charged too much
to do the work, work was not done properly. This tale is well known to many an experienced operator.
The reason for such counter suits is that some customers figure he or she can settle the matter –or
even get the operator to dismiss the suit –if the customer claims that the operator did something
wrong, too.
Faced with a countersuit, and no proper Terms and Conditions to depend on (that might allow
recovery of attorney's fees and costs), the marine services operator frequently settles and sometimes
dismisses the suit.
Getting The Terms and Conditions Signed:
If an operator has a set of proper Terms and Conditions, please make sure that your customer or the
other contracting party signs it.
If the other contracting party does not sign, you can almost guarantee that if you need to enforce the
agreement later, they will take the position that they never agreed to those terms and conditions –
because they never signed it.
This happens all the time for a variety of reasons – the most common is that the marine services
operator or other personnel were just too busy, or there was some hesitancy in asking the contracting
party to sign.
Unfortunately, all marine industry operators should understand that if a vessel sinks, or some other
unfortunate event occurs, the contracting party that did not sign the Terms and Conditions will have
no difficulty suing the marine services operator alleging that the operator's or its personnel's
negligence caused the damage – no matter how unfounded the claim may be.
So, if you are going to have Terms and Conditions that you might want to enforce – either as to a
specific customer or with respect to an event (damage, injury or death) -- please take time to devise a
procedure for making sure that you and/or your personnel get the Terms and Conditions signed.
Otherwise, you will be in the same position as if you did not have any Terms and Conditions.
Suggested Clauses:
As the foregoing suggests, if a marine services operator has to bring an action to get paid, having a
properly drafted attorney's fees and cost clause is essential. A proper clause allows the services
operator to claim - and if the operator prevails - recover the attorney's fees and costs for having to
bring an action to collect amounts due. Please note that the attorney drafting the clause should draft
the clause narrowly so that it only applies to action to collect amounts due.
Having a properly drafted lien clause can also be helpful because it removes any dispute that might
come up later whether the marine services operator is entitled to such a lien. Again, the attorney
drafting the clause should be aware of the liens that are available, are almost universally recognized,
and be enforced.
Now, as to the clauses that protect a marine services operator against claims from the other
contracting party, I always recommend a properly drafted exculpatory clause.
An exculpatory clause is a clause that excuses the marine operator from certain kinds of claims –
almost always claims based on negligence of the marine operator. However, courts will refuse to
enforce improperly drafted clauses; clauses that are broad but not specific enough to identify a
specific kind of risk or claim; and clauses that are specific but not broad enough to include the kind of
risk or claim that is the subject of the lawsuit. As this is a very tricky area of the law, operators should
consult with an attorney who has experience in these matters and these kinds of clauses to make
sure they have the best clause possible. These clauses come in handy not only to fend off
countersuits when the operator is trying to collect money owed, they can also be helpful in defending
against claims from the contracting party for property damage, personal injury or death.
Other clauses that are helpful are disclaimers of warranties and limitation of liability clauses. These
clauses are also kinds of exculpatory clauses that can be very helpful in protecting an operator from
claims; but like the exculpatory clause, need to be drafted properly.
Finally, I always suggest adding a properly drafted arbitration clause to the Terms and Conditions so
that – other than actions to collect amounts due or applications for injunctive relief – all claims
between the parties are to be decided by binding arbitration. In most cases, a properly drafted
arbitration clause alone will eliminate a counter suit against the marine operator, as most contracting
parties do not see any advantage to going through the arbitration process.
The foregoing are just some of the issues that marine service operators and their personnel face in
dealing with contracting parties -- and specifically, their customers. However, having a properly
drafted and signed set of Terms of Conditions can go a long way toward ensuring that the operator
gets paid for its services more often; and avoids long and protracted litigation (with its accompanying
costs and attorney's fees).
As a result, the operator is more likely to be able to spend more time focusing on growing and
maintaining the business, and less on worrying about how to get paid; or dealing with suits and
counter suits.
Should you have any questions or concerns, please feel free to contact me at
[email protected] or call me at (949) 645-0450.
Construction Corner - Trinidad Village Completes Dock Renovation Project
Residents of Coronado Cay's upscale development, Trinidad
Village, in Southern California, have recently traded in their 35
year old docks for modern concrete floating docks. In 2008,
Trinidad Village Docks, Inc. (TVDI) started a major renovation
project. Plans called for a complete overhaul including new docks
and anchoring, upgraded utilities and a new layout.
Prior to the renovation, the residential docks at Trinidad Village
were owned by TVDI and featured a common walkway that all
fingers were attached to. During the renovation, the layout was
completely reconfigured to accommodate the privatization of the
docks. Rather than a common walkway each homeowner was given their own dock, separate from its
neighbor.
The new configuration not only privatized the docks but resulted in a number of features appreciated
by the homeowners including more berths – each home now has two slips, better safety and security,
and a personal, custom designed dock for each home. Another benefit of the renovation was a
reduction in the marina's overwater coverage.
Additional features include personal dock boxes, individual electric power centers complete with fresh
water and two 30-amp receptacles and a safety swim ladder supplied by Up and Out. 33 aluminum
gangways were also supplied for the project to provide individual homes with private access to their
dock.
The project also included the replacement of TVDI's ten docks adjacent to a common area. These
docks were replaced with "like kind" slips featuring Bellingham Marine's Unifloat technology. The
docks will be made available to other residents but will remain under TVDI ownership.
"This was a unique project for us," remarked Ammon Riordan, Project Supervisor for Bellingham
Marine. "Almost all of the docks were custom in some fashion. Many of the docks were uniquely
shaped with varying gangway orientations and pedestal placements. Some even had a sloped
surface for dragging kayaks up onto the dock."
Bellingham's scope of work included design, engineering, labor, materials and installation for all
components of the project. "This was a large and complex project that required close coordination
among the homeowners, TVDI's Board of Directors, our project manager and Bellingham's skilled and
experienced personnel," remarked RG Head, representative for TVDI. "Each of the homeowners is
proud that we have persevered through the dense set of administrative, community, regulatory,
engineering and construction hurdles. At every step of the way, we were aided and assisted by
Bellingham's managers and engineers."
Trinidad Village is perfectly situation on two channels of San Diego Bay in the heart of Coronado
Cays. Each homeowner has private access to a boat dock of his own design and to his own
requirements. The community also features a clubhouse with shared dock access for residents and
their guests.
For the Marina Bulletin Board - Dockside Fuel Transfers Pose Severe Hazard
Attention Boaters: We are all too aware of the high price of fuel these days, and the difference
between the price of fuel at the local gas station versus a fuel dock has tempted many boaters to try
to economize by transporting fuel to their boats in containers.
You should be aware that this practice is both unsafe and illegal. Certified
fuel docks are the only place where volatile and flammable liquids may be
transferred on board your vessel.
A few dollars saved by filling cans at a shore side service station is not worth
the risk of the property damage and personal injury that could result.
There have been numerous boatyard fires related to poor fuel handling
practices, and the destruction has been horrendous in many cases. Although
this message is addressed to a very few number of boaters, it should be every boater's foremost
concern.
An additional incentive is the avoidance of a $10,000.00 fine by the Coast Guard for spilling fuel in the
water.
Your cooperation in making sure this practice doesn't go on is vital to help keep our marina safe - If
you see any violations, please notify the marina staff right away. Thank you!
Top 5 Reason Why You Should Use Facebook To Help Promote Your Business
By Captain Christopher Kourtakis - 360° Industry Solutions
When you incorporate social media into your overall marina or dealership marketing
plan, you need to make sure that you have developed a strategy to effectively use
the marketing tool. Implementing a new tool or strategy can be difficult and
challenging, especially if you do not know what to do with it.
When it comes to using your social media accounts, there are five simples rules that
you need to live by. Some would call them the "Golden Rules" of social media, but
these are the rules that trump all of the other rules that you have developed and put into place for
your social media campaign.
These are the rules you always remember, never overlook, and that would
always apply. These are the rules that keep us on course and always moving
in the right direction. The five rules below should be used to guide you, to be
followed and to be used no matter what your goal is, or what type of facility you
have.
Meet People and Socialize
Social media is exactly what the description says it is - it's "social
engagement". You must be social. Social media platforms were designed for
people and companies to connect with each other based on likes and interests, and to keep in touch
with your friends by sharing information, photos and other various media. To get the most out of
social media and fully utilize its potential, you need to get out there and meet other people. If you
don't, you may be missing the power of social media and what it has to offer.
Don't be afraid to follow someone on Twitter that you do not know or to send a friend request to
someone that you do not know, but share a common interest with. As a dealership/marina, you
should be asking people for friend requests or to follow your company based on the fact they are local
or like boating or have another common interest.
Engage in the Conversation - Don't Just Talk About Yourself (or sell your products)
The social media manager for your dealership or marina should be asking your friends and followers
questions and responding to inquiries. There is nothing worse than reading a post about used
inventory, fuel prices and how great your docks are.
The goal of social media is to increase your opportunity to be social, and part of that is to create
interactive dialog and effectively communicate information that people want to read about.
Do It Often
So many businesses create a Facebook Fan Page, ask everyone to follow it, and then never post
anything or post so infrequently that your followers never pay attention to what you have posted.
Consistency is the key. Don't have time to post? Sit down and schedule your posts using various
programs such as Social Oomph that will allow you to send out the information you want when you
want it.
If you only use Twitter and only Twit once or twice a week, you are missing out on valuable
information that others may be posting. Moreover, you are missing out on the opportunities to engage
and comment on other people's posts.
You should be updating your Facebook status daily. However, don't just post about the weather, or
something simple. Make the post engaging. Make it matter. If you sound like you don't care, or it
appears that you do not care, you will lose credibility in the social media world.
Motivate and Encourage
There is no better person to learn valuable boating knowledge from than you, the dealership, or the
marina. Always offer value in your posts. Talk about upcoming events. Talk about places to go on the
water. Mentioning safety areas is a great way to communicate. Recently in my area, the local DNR
has been netting and tagging fish for research. However, the nets are all over the lake and in the
middle of the lake. If you do not know they are there and run over them, you can damage your boat.
This is a great example of what a local marina should be discussing or communicating about in their
posts.
However, when you do post, make sure you are not preaching to your followers. Teach them and
enlighten them, but do not talk down to them. Do your best, speak from the heart and people will feel
your passion and connect with your messages.
Always Respond
This is the best way to get yourself noticed. As an expert, respond to someone's question or give a
suggestion if they are looking for information. Other people that may not follow you will see that you
are engaging and then may follow you for future information.
Leaving comments on other people's profiles is another great way to get noticed and to allow people
to see that you are engaged in the conversation. By responding to each inquiry, comment, or
mention, you are utilizing the "social" aspect of social media while building a loyal fan base. This also
depicts you as being someone people can expect a response from, whether you know an answer or
not, they know that you'll be a resource whenever they have a question or post a status update.
By following the five simple rules above, you will grow your business, get noticed and more
importantly, grow your bottom line number.
Trade Products / Services Highlight
As many of you are aware, Tom Costello passed away earlier this year, and we were all impacted
deeply by the loss of such a great person. Tom founded and was principal of Marine Lien Sale
Service for 37 years, in which time he provided services for marinas and harbors throughout
California. After Tom's death, many assumed the business would be sold to an outsider or worse,
would just close its doors all-together.
These assumptions made them wonder, "What are we going to do now?"
We are happy to inform you that neither are the case. Bari Costello, Tom's wife, has continued to
keep the business running strong with the help of sister-in-law Patti, nephew Rich and Rich's wife
April.
Over the last year, Rich had been going with Tom to lien sales and, in the future, will be holding lien
sales himself as Tom once did. Rich's wife, April, has been working in the office with Bari for the past
few months keeping everything else on track. Patti has been assisting with the family-owned business
in many ways herself; both by working in the office as well as proceeding towards getting her license
to become a verifier.
To those who will put their trust in the Costello's for the first time and those who have entrusted them
for generations, rest assured that Marine Lien Sale Service will continue to operate and provide the
services to marinas and harbors throughout California as they always have.
The Last Word
To all of our MRA Members Trade Members - The advertising and sponsorship information for this year's 40th
Annual MRA Educational Conference and Trade Show is now available online HERE
or by visiting our website at www.marina.org and clicking on the 2011 Exhibitor
Prospectus. The advertising and sponsorship information will be available soon link
under the green MRA Conference header on the right-hand side of our homepage.
We are still looking for articles to use in the following columns each month:
z
Trade Products/ Services Highlight – Does your company have a new product or service
you'd like to tell everyone about in our newsletter? Send us an article!
z
Construction Corner – Does your company have a new or a "tried and true" construction
topic you want the marina industry to know about? We'd like to help!
Please email your articles to [email protected]!
Break out your highlighters everyone and Save the Date:
40th Annual MRA Educational Conference and Trade Show
November 1-3, 2011 - Rio All Suite Hotel, Las Vegas
Experience MRA's success in "TURNING A VISION INTO ACTION"!
Two Reasons to Attend Conference:
Gain knowledge from industry professionals
View the latest marine products and services in one location!
Michaella Looney
MRA – Assistant Operations Administrator
Email: [email protected]
915 L Street, Suite C-107, Sacramento, CA 95814
Phone: 209-334-0661 - Fax: 209-334-6876
Email: [email protected] - Website: www.marina.org
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