PS&Co. Builds Value in Construction

PS&Co. Builds Value in Construction

Soundly Constructed Expertise Construction companies experience powerful economic cycles and complex business requirements. Managing project costs and cash flow is vital to profitability. PS&Co. has been a leading provider of professional services to general contractors, suppliers, and other related companies in Texas for over 60 years. Our construction team serves more than 100 leading contractors with a variety of specialized services and solutions. Our experienced professionals implement best practices and provide strategic support. We offer specialized knowledge that helps our contractor clients improve their bonding capacity, state qualification capacity, and income, as well as minimize federal and state income taxes. Well-versed in the construction industry and its challenges, our team members are actively involved in various trade associations including the Associated Builders and Contractors (ABC), American Subcontractors Association (ASA), Associated General Contractors (AGC), Construction Industry CPAs/Consultants Association (CICPAC), and the Construction Financial Management Association (CFMA). Our services include: Financial statement assurance Federal and state income tax preparation and planning Litigation support HUD cost certifications TXDOT overhead audits Business valuation and appraisals Strategic planning and retreats Human resources consulting Business succession planning Construction accounting We work with a range of companies in construction: Highway contractors General building contractors Industrial contractors Sub-contractors Home builders Suppliers Engineering and architecture firms Equipment sale and leasing companies

More Than Accounting Services Consulting Services to Give Construction Companies the Support They Need From young companies to established, public organizations, PS&Co. s construction team assists construction industry clients in their planning based on key priorities, such as improving profitability, managing growth, motivating and engaging employees, and planning for succession. Our professionals understand the demands of business from the ground up and have delivered successful solutions to avoid numerous pitfalls. Our consulting services include: Mergers and Acquisitions From regulatory to tax implications, mergers and acquisitions have tremendous consequences on a business s foundation. We focus on meeting the challenges and driving successes at all levels to enable companies to thrive over the long term. Our team is available to assist in many areas of the M&A process, including due diligence. Strategic Planning PS&Co. s experienced professionals have worked on behalf of a wide-range of midmarket and large companies to develop strategic plans that enable organizations to drive success. We provide strategic planning including business situation analysis, vision and mission development, and key performance indicators and benchmarking. Litigation Support PS&Co. s team of litigation support professionals provides clients with effective solutions to complex problems requiring resolution. Leveraging our proven measurement techniques and economic models, our team provides the critical resources required to meet a business s dispute-resolution needs. Business Succession Planning We have worked with numerous family-owned and established companies to develop sustainable succession strategies. Our experienced team works with clients to create a written action plan outlining issues, objectives, and shifting responsibilities. Human Resources Consulting Our business-centered approach to providing workforce solutions and human resources services incorporates an organization s goals and culture with customized programs. Our team provides strategic HR planning, organizational development, reorganization analysis, and performance management consulting.

More Than Accounting Services HUD Cost Certifications Certain entities are required to have their project costs certified in order to qualify for a Housing and Urban Development (HUD) loan. Those entities typically include the mortgagor, the contractor, and possibly, subcontractors. Padgett Stratemann has provided these services for many years and will work to complete the applicable certifications with minimal effort and time required by your personnel. Overhead Audits Organizations are required to certify their overhead rate when applying for certain contracts, if subject to federal cost principles. This certification known as an overhead audit should be performed by a CPA who is familiar with Generally Accepted Government Auditing Standards and the Federal Acquisition Regulations (FARs). Padgett Stratemann utilizes specific guidance when developing procedures for overhead audits, so the number of hours and duration of our on-site visit is minimal.

Additional Resources Our National Affiliation Positions Us at the Leading Edge of Best Practices and Resources PS&Co. has a formal alliance with RSM McGladrey, Inc., the seventh largest CPA firm in the world, which provides us the opportunity to learn best practices in the construction industry throughout the country. In addition, McGladrey provides access to its national resources in consulting, information technology, auditing, continuing education, and industry-specific training. We continue to operate as an independently-owned firm with access to national resources for our clients. In addition to the formal alliance with McGladrey, PS&Co. is a member of two nationwide construction industry CPA networks: RSM McGladrey Construction & Real Estate Network (MCREN) and Construction Industry CPAs/Consultants Association (CICPAC). MCREN members have access to construction industry-specific training, tools, best practices, industry updates, online discussion boards, and a national network of industry experts. The 300-plus members, spanning 35 states across the country, are ready to lend their expertise in all matters related to audit, tax, and consulting needs. CICPAC is a nationwide network of CPA firms specifically selected for their experience in, and commitment to, serving the construction industry. Each member must demonstrate their proficiency in providing construction services and maintain a reputation for high-quality work and integrity. Through CICPAC s educational programs and the continuous exchange of ideas and information, CICPAC members stay on the forefront of the industry. Certifications Our team holds the following specialized certifications: CCIFP Construction Industry Financial Professional ASA American Society of Appraisers CVA Certified Valuation Analyst CIA Certified Internal Auditor CISA Certified Information Systems Auditor CFE Certified Fraud Examiner Our construction 100 team serves more than 100 leading contractors

Overview of Industry Association Involvement We re Involved and Making a Difference in Leading Industry Organizations PS&Co. is dedicated to furthering and participating in key construction industry associations on a local, state, and national level. Local and State Level Involvement: American Subcontractors Association (ASA) Associated Builders and Contractors (ABC) Associated General Contractors (AGC) Associated General Contractors (AGC) Heavy/Highway Division Construction Financial Management Association (CFMA) Construction Industry CPAs/Consultants Association (CICPAC) Greater Austin Contractors & Engineers Association (ACEA) Hispanic Contractors Association (HCA) RSM McGladrey Construction & Real Estate Network (MCREN) Surety Association National Association of Surety Bond Producers (NASBP) National Level Involvement: Member National AGC Tax and Fiscal Affairs Committee Member AGC National Surety Committee Member ABC Budget & Finance Committee (Past) Member CICPAC Executive Committee (Past) Member CICPAC Emerging Issues Committee ABC Services Corporation National Treasurer PS&Co. works with construction clients across Texas

Tom Wright, CPA Tax Partner Tom Wright, a tax partner with PS&Co., has more than 16 years of experience in public accounting. He specializes in tax and business planning for closely held and family-owned businesses within the construction, manufacturing, wholesale and retail sectors. Focus on individual, corporate, and partnership tax return preparation and planning, entity structure planning and consulting, long-term contract accounting and tax reporting, Texas sales and use tax, including audit representation, corporate reorganizations, merger and acquisition analysis and consulting, and business succession planning Active member of Associated Builders and Contractors (ABC), American Subcontractors Association (ASA), Surety Association of South Texas, and the Construction Financial Management Association (CFMA) Contributing editor of CCH Construction Guide Bachelor s degree in accounting from Texas A&M University Denise Bendele, CPA, CVA Audit Partner Denise Bendele, an audit partner, leads the construction industry practice and Audit and Accounting Group for PS&Co. With more than 24 years experience in public accounting, Denise works with organizations in the construction industry. Specializes in construction financial statements, corporate taxation, strategic and profitability planning, and closely-held corporations Active member of Associated Builders and Contractors (ABC), American Subcontractors Association (ASA), Associated General Contractors (AGC), Construction Industry CPAs/ Consultants Association (CICPAC), and the Construction Financial Management Association (CFMA) Bachelor s degree in business administration from The University of Texas at San Antonio Certified Valuation Analyst 40 PS&Co. serves more than 40 specialty contractors

Leslie Guajardo, CPA, CCIFP Audit Partner Leslie Guajardo, an audit partner with PS&Co., has more than 19 years experience in public accounting and is a leader in both the construction and employee benefit plan niches. Her focus is on financial accounting, reporting, and consulting. PS&Co. s quality control reviewer for audits and special engagements Active member of the Construction Financial Management Association (CFMA), Associated General Contractors of Texas (AGC), and the Institute of Certified Construction Financial Professionals Bachelor s degree in business administration from St. Mary s University, San Antonio Certified Construction Industry Financial Professional Jeff Anderson CPA Tax Partner Jeff Anderson has been part of the PS&Co. Austin Tax Department since 1989. He brings a diverse background, that combines sound income tax and estate tax advice and financial planning, to guide clients in the construction industry, as well as government contractors, health science organizations, real estate clients, and tax-exempt organizations. Focus on construction contracting, entity planning, corporate mergers and acquisitions, manufacturing, retirement and succession planning, gift and estate tax planning, and large government contracting Committee member of Associated General Contractors (AGC) Austin Chapter Bachelor s degree in accounting from Texas Tech University, Lubbock, Texas 35 Over 35 team members serving the industry

Robert Notley, CPA Audit Partner Robert Notley, audit partner with PS&Co., has more than 15 years experience in audit, accounting, and financial reporting. He works with privately-held and publicly-traded companies in the oil and gas, construction, and manufacturing sectors. He is also actively involved in the firm s employee benefit plan audit team. Specializes in auditing and accounting, employee benefits programs, and construction Active member of the Construction Financial Management Association (CFMA), Associated Builders and Contractors (ABC), and Greater Austin Contractors and Engineers Association (ACEA) Bachelor s degree in accounting from University of Texas at Austin William Kothmann, CPA Audit Partner Will has more than ten years of public accounting experience serving energy, retail, construction, manufacturing, and distribution industries. He has served both privately-owned and publicly-traded entities. Will is the leader of the firm s energy niche. Specializes in assurance, accounting, financial reporting, internal control assessments and process improvements, and financial and operational benchmarking Active member of Petroleum Accountants Society of San Antonio and Phil Hardberger Park Conservancy Bachelor s degree from Texas A&M University PS&Co. 15 works with 15 heavy highway contractors

Cyndi Mergele, SPHR, SHRM-SCP, PI Senior Manager Cyndi Mergele is a human resources professional with more than 25 years of experience. As the leader of the human resources consulting group, Cyndi s broad base of human resources experience serves clients across many industries, including manufacturing, high-tech, construction, not-for-profits and government contracting environments. Having worked for both multistate and international companies, she has participated in start-up entities, global staffing and recruiting, as well as mergers and acquisitions. Affiliated with World at Work and the American Society of Pension Professionals & Actuaries Active member of Associated Subcontractors of America (ASA), Construction Financial Management Association (CFMA) and Associated General Contractors (AGC) Bachelor s degree from Texas A&M University Senior Professional in Human Resources Joanna Baltierra Just, CPA Audit Senior Manager Joanna Baltierra has more than 15 years of public accounting and industry experience, primarily serving the public sector and construction industries. Joanna s experience includes education entities, municipalities, tax exempt organizations, the construction industry, and the United States Air Force for the performance, economy, and efficiency audits. Specializes in financial accounting and reporting, internal accounting control systems, performance reviews and audits, and TQEC compliance audits Active member of the Associated Builders and Contractors of South Texas, Construction Industry CPAs/ Consultants Association (CICPAC), Central Texas Subcontractors Association (CTSA), and the Construction Financial Management Association (CFMA) Bachelor s and master s degrees in Accounting from Texas A&M University, Kingsville, Texas PS&Co. works with 25 general contractors

Commitment to Community Since our founding in 1945, PS&Co. has maintained a long-term commitment and strong dedication to community service. We strive to lead important initiatives to educate, serve, and support the well-being of our local communities. It s one thing to say we re involved in the community; it s another thing to actually dive in and dedicate our time and resources to benefit the greater good. At PS&Co., the actions of our associates prove louder than words. PS&Co. organizes the San Antonio Chapter of Construction Financial Management Association s (CFMA) Cindy P. Dennis Scholarship Fund. Raising and awarding more than $100,000 in scholarships since its inception, the fund honors a long-time PS&Co. team member. Scholarships are awarded to numerous students pursuing degrees in business or construction management throughout San Antonio. For more than 20 years, PS&Co. has built a reputation as a Pacesetter Firm for the United Way of San Antonio and Bexar County. In 2013, the firm raised more than $128,000 for the local United Way. Team members also participated in the United Way Days of Caring, contributing their time and energy to several organizations, including San Antonio Parks and Recreations, The Salvation Army, Boy Scouts of America, and Family Service Association. For the third year in a row, PS&Co. s Austin office has supported Big Brothers Big Sisters of Central Texas (BBBS) as their charity of choice. In 2013, the firm raised nearly $30,000 for BBBS and participated in events throughout the year, including holiday toy drives, back to school supplies drives, Trudy s Bowl for Kids, BBBS Adventure Quest, and the annual Ice Ball Gala. PS&Co. s San Antonio office also supports BBBS through the InspireU Workplace Mentoring Program. PS&Co. is active in leadership roles in numerous business organizations, including chambers, university boards, and other not-for-profits.