We're just wrapping up our upgrade, ring closures et al and are in discussions with the "Best" of who’s left of our contractors to revise rate structures. Looking around the industry (Telecom and Power too) I don't see to many big projects that may eat up the labor resources which would result in higher rates....I digress.
I am hearing in conversation that a boat-load of local municipalities are going to take a stab at competing against the incumbents and build their own systems. The work is there but the volume is typically smaller than a multi-town build out. A friend of mine just completed an over build outside of Boston. He (Under contract) built a passive system PON. REAL SWEET !!! Now, he was recruited by the muni. to be the operations manager. Another sweet deal. And get this; he can also tend to his contracting business too on the side. Speaking of which, I’m considering to lease myself out to GC’s to optimize their entire operation. Soup to nuts! Processes, Organizational dynamics (Internal audit and evaluation of operations), Scheduling, RFP, RFQ, and other BID response and submittals. Know of anyone/company who seeks to stand out, be recognized, get bids awarded to them and generate healthy margins and cash flow? {{ No Rick J., I'm just preparing...HA}}
So, to respond to your question about rates, I do believe that at the very least rates will hold if not trend down in the foreseeable future.
Just my opinion, I could be wrong. (Dennis Miller)
