As 2011 comes to a close, we’d like to take this opportunity to express our appreciation for all of life’s gifts. Gratitude enriches us and helps us realize all that is around us. We will always treasure our association with you and the trust you have in us. It’s people like you who make our jobs a pleasure. We look forward to working with you in the coming year, and wish you the joy of family, the gift of friends, and the best of everything in the new year. All of us at Krusinski join in thanking you and sending season’s greetings.

Krusinski will attend the Commercial Real Estate Fellowship (CREF) “Christmas Breakfast” at 7 a.m. on Dec. 8 at the Hyatt Regency O’Hare Hotel in Rosemont, Ill. Former NFL great and author Joe Ehrmann of the Baltimore Colts will be the guest speaker. Formed in 2003, CREF brings Christians in Chicago’s commercial real estate industry together to encourage a faith-based dialogue in the workplace. The organization fulfills its mission through programs that include monthly Bible and book studies, educational opportunities, retreats, and volunteering for Chicago nonprofit organizations. If you’re interested in being a guest of Krusinski Construction at next year’s breakfast, contact Joe Krusinski at joek@krusinski.com.

Whether you plan to renovate an existing building or construct a new one, be selective when hiring a general contractor. How do you find a qualified, trustworthy company at a fair price? Start by following our essential tips and you’ll be able to nail down a great company.

Get recommendations. Ask friends and colleagues for the names of general contractors they were happy with. Call three to five from this list.

Think beyond price. It’s tempting to choose a contractor based on a low bid, but you’ll be disappointed if you do. Lowball contractors may cut corners, resulting in a poorly constructed building that isn’t safe.

Find the right fit. Ask the companies if they have performed the work that you need and get specific examples from within the last year or two.

Stay safe. Ask contractors for their experience modification rates (EMRs), which reflect their safety records for insurance premiums. Hire a contractor whose EMR is .99 or lower. In addition, find out how much safety training they have. Most contractors undergo basic 10-hour federal Occupational Safety and Health Administration (OSHA) training, but if they have OSHA 30-hour certification, that’s even better. For extra reassurance, make sure the companies require their workers to comply with anti-drug and alcohol policies.

Verify licensing and insurance coverage. Qualified contractors are licensed, bonded and insured. Get copies of their current insurance certificates — don’t just take their word for it. Avoid doing business with any contractor that doesn’t carry adequate insurance, or you could be liable for any injuries or damages that occur on the job site.

Eliminate warranty worries. When interviewing prospective companies, ask if they guarantee workmanship and materials, and if so, for how long. Most general contractors guarantee their work for at least one year.

Call references. Request a list of names and phone numbers of at least three recent customers with projects like yours and call them. You may want to ask: Were you happy with the project? How would you describe the quality of the work? Did the contractor keep you informed about the status of the project? Did workers show up on time? Did they maintain a clean job site? What was the original project budget? What was the final project budget? Did the contractor complete the project on time? Would you use the company again?

Get quotes. Always get detailed estimates in writing. When comparing quotes, compare apples to apples by entering scope of work line items or trade breakdowns and costs into a spreadsheet. Never rely on verbal estimates. Again, don’t assume the lowest bidder is the best contractor for the job.

Put the details in writing. Once you’ve made a hiring decision, get the contractor to commit to all aspects of the project in a written contract, which you and the contractor should sign. The contract should include the contractor’s name, address, phone, license number and insurance information; the start date and estimated completion date; the hours work will be performed; the scope of work; the specific safety precautions the contractor must follow; the payment schedule for the contractor, any subcontractors and suppliers; the contractor’s obligation to obtain all necessary permits; a list of materials to be used; the contractor’s change order process; warranties that cover materials and workmanship; and the contact information for the companies that will honor the warranties.

A little research in the beginning will pay off in the end when your project goes smoothly and your building looks fantastic.

Krusinski is a well-established, solid general contractor with an outstanding track record of delivering safe, high-quality buildings that stand the test of time. For more information about how Krusinski can help with your projects, contact Jeff Krusinski at jeffk@krusinski.com.

Develop confidence, trust and a good relationship before selecting a general contractor. Asking a few questions will help get the conversation going:

• Have you worked on projects similar to mine?
• How will you determine what I need?
• How will you control the process and paperwork?
• How you will provide for safety and security during construction?
• How will you handle design changes?
• What services and guarantees will you provide after I occupy the building?

Construction companies across the United States are feeling the pinch of higher materials and fuel prices. Costs have climbed about 7 percent during the past year and will likely remain volatile. Manufacturers are blaming the poor economy.

The most striking rise has been in diesel fuel, which is up about 40 percent year over year. Costs for essential materials, including copper and brass, steel mill products, and aluminum, also rose sharply during the last year.

As a potential sign of things to come, drywall manufacturers have announced plans to raise their prices 35 percent in January. Krusinski thinks long-term to protect budgets from escalating costs. One strategy is to substitute less-expensive materials and systems without sacrificing quality.

For more information, contact John Brady, preconstruction director, at johnb@krusinski.com.

Believe it or not, U.S. manufacturing may be making a comeback. Companies are not automatically choosing China as their base of operations anymore. Rising labor, transportation and fuel costs in China are driving the shift.

Caterpillar Inc., General Electric Co., Ford Motor Co. and Master Lock® are among the companies that are ramping up production at their U.S. factories. The rally will accelerate during the next few years as labor costs in China and the United States nearly pull even, a recent Boston Consulting Group study predicts.

The boom could be tempered by the fact that manufacturing is now able to produce more with fewer workers, thanks to automation. That means output will increase while labor will decrease. Once a thriving economic engine, the U.S. manufacturing sector has been on a downward spiral since just after World War II. Manufacturing made up 25 percent of U.S. labor in the 1980s; it has fallen to about half of that in recent years.

Krusinski monitors economic and business trends and shares the information with clients so they can make informed business decisions. We will continue to provide expert insights and data as an added service.

Who inspired Joe Krusinski, CEO of Krusinski Construction Company, the most? What factors are behind the company’s success? Learn the answers to these and other thought-provoking questions in “Coffee Talk,” a Nov. 29 question-and-answer article in the Daily Herald Business Ledger.