CNN's Mark Shields Among Conference Highlights CNN Political Analyst Mark Shields with ACEC Chairman Eric Flicker before Shields' political presentation in Phoenix. In a preview of the upcoming 2004 race for President, CNN's Mark Shields advised ACEC's Phoenix Conference attendees to pay close attention to poll numbers on how many Americans believe the nation is headed in the right direction, or is off on the wrong track. Any substantial change in poll numbers during the election year is a key to the outcome, he said. "The election is totally up for grabs with neither side having an advantage," Shields said. The Phoenix Conference also featured 45 educational sessions and business forums, with more PDH's than any previous fall conference. William Murphy, of Schanabel Engineering Inc., Leesburg, Va., said: "The sessions were so good-really targeted to things people in business should know-I wasn't able to carve out the time to play one round of golf because I was enjoying the sessions so much." Sharon Bradberry of Infrastructure Engineering, Chicago, said: "The Conference was an excellent opportunity to re-establish business relationships and create new ones-all taking place in a fantastic setting." Other Conference Highlights: ACEC's Board of Directors deliberated on a new three-year budget, membership and state issues. ACEC/PAC held successful fundraisers including a special event for Arizona Congressman J.D. Hayworth. ACEC's 2003 Distinguished Award of Merit went to retired Congressman Jack Brooks, author of the Brooks Act. Maui, Hawaii was selected by the National Directors as the site of the 2007 Fall Conference.

Make Florida Number 47 To Adopt ACEC Name

Charles Geer, president of ACEC/Florida    Frank Rudd, executive director of ACEC/Florida ACEC's Florida member organization has adopted the name the American Council of Engineering Companies of Florida (ACEC/Florida). It becomes the 47th state organization in the ACEC federation to join in the unified branding effort. "Florida is proud to join with the rest of the states in adopting the common brand name to strengthen the effectiveness of the organization," said Charles Geer, president of ACEC/Florida. Frank Rudd, executive director of ACEC/Florida also applauded the new name change: "I am looking forward to unifying our lobbying efforts, and the new name will help identify us more easily."

Mulcahy Nominated For 2005-2006 Chairman; Hennessy Treasurer; Burke, Hoffman, Watson Vice Chairmen Edward J. Mulcahy Edward J. Mulcahy, principal of TranSystems Corporation of Kansas City, Mo., has been nominated for ACEC chairman for 2005-2006. Mulcahy is past senior vice chairman at the national level and past president of ACEC of Missouri. Also nominated for two-year terms beginning in 2004: for treasurer: John F. Hennessy III, chairman & chief executive officer of Syska Hennessy Group, Inc. (New York); for vice chairman: Thomas L. Burke, senior vice president of Turner Collie & Braden Inc. (Texas); Rodney C. Hoffman, senior vice president, HDR (Colorado); and Douglas M. Watson, chairman of the board of Wade-Trim (Michigan). Ballots will be sent to national directors for return by January 14, and official announcement on January 15.

Problematic Accounting Standards Delayed; Grassroots Action To Avert FASB 150 Threat The Financial Accounting Standards Board (FASB) recently announced a delay in the implementation of a new accounting standard that could pose serious problems for non-public companies. The recent posting of the delay notice on FASB's website has opened a comment period, and ACEC members are encouraged to contact the agency to express their concerns (click on sample letter below). Since this issue first arose earlier this year, ACEC has taken a number of actions on behalf of its members: ACEC's outside legal counsel prepared a brief for ACEC members on the implications of the new standard and options for reversing it; ACEC's Design Professionals Coalition sent a letter to FASB in opposition to the new standard; ACEC is working with a new coalition of business and finance associations equally concerned over the new standard, which is engaging in a coordinated lobbying effort to reverse or modify the standard; and ACEC is working with several Capitol Hill offices to build support for congressional hearings on this subject, giving industry the opportunity to voice concerns over the impact of the new standard in a public forum. In May, FASB released its new accounting standard, Statement of Financial Accounting Standards 150, which requires that non-public companies classify as liabilities any financial instrument issued in the form of equity that is "mandatorily redeemable." A financial instrument (stock) is "mandatorily redeemable" if it requires the company or entity to buy back the assets at a specific date or time, such as retirement. Since many firms have such arrangements in place where shares are automatically repurchased when a shareholder retires or dies, the new standard is expected to impact most non-public firms. Firms must follow FASB's standards to comply with generally accepted accounting principles. Unfortunately, by classifying as debt equities held by company shareholders, the affect of the new standard could be to significantly reduce, or even eliminate, the net worth of many non-public firms. Paul Haglund, chairman of ACEC's Management Practices Committee "The new standard will create real problems for many engineering firms," said Paul Haglund of Greeley and Hansen in Chicago and Chairman of ACEC's Management Practices Committee. "At a single stroke, it will artificially eliminate the net worth of a firm, making it appear that the company lacks financial strength. It will be more difficult to obtain loans, bonding, leases and insurance. It may disqualify firms from competing for some client projects." Don McConnell of KCI Technologies in Maryland, and the Steering Committee chairman of ACEC's Finance Forum, agrees: "FAS 150 is a classic example of well-intentioned regulations having entirely the opposite effect. This will result in an unfair representation of a company's balance sheet since it will appear as though the company has little or no net worth, which will only serve to generate confusion and hardship for non-public firms." In late August, FASB announced that it would postpone implementation of the new standard by a year, making it effective for fiscal periods beginning after December 15, 2004. The announced delay has opened a comment period, which ends October 31st, and ACEC urges its members to send letters to FASB expressing their opposition to the new standard. Click here for a sample letter. ACEC members should copy the letter on their firm's letterhead and e-mail to FASB at director@fasb.org, or mail to the address on the letter.

Workshops/Seminars

Business of Design Consulting Leadership Seminar
October 22-25   —   Nashville, Tenn.
There is still time to register for the Business of Design Consulting Seminar, scheduled October 22-25 in Nashville, Tenn. This one-of-a-kind seminar is taught by renowned industry experts, and is designed for emerging leadership development. The seminar includes:

• Leadership and Human Resources for the A/E Firm with Pat Holcomb of the Picus Group
• Finance and Business Management with Bill Fanning of PSMJ
• Information Technology with Mike Ingardia of Systems Management Consultants, Inc.
• Legal & Risk Management with Bob Crist of Black & Veatch
• Marketing and Project Delivery with David Stone of FMI.

Project Management: The Road to Profitability
November 13-14   —   Houston, Texas
This exceptional seminar is a comprehensive workshop focused on the integral role of project management in an organization. Design professionals will develop valuable skills that can be implemented on future projects. In this seminar participants will learn to:

• Examine the stages of managing a project and the project manager's role;
• Calculate project profitability and understand project budgeting methods and cost estimating;
• Build a project team that increases efficiencies and productivity through the allocation of resources;
• Develop a comprehensive and effective project plan; and
• Increase client retention and gain referrals using proven client relations tools and techniques.

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