On January 3^rd, 2005, 2H Mechanical LLC opened its doors for business. 2H Mechanical is a well-funded and well-planned full-service Mechanical Contractor focusing on offering a more professional business partnership to the General Contractors servicing the Western Slope of Colorado and surrounding areas. We are also currently licensed to work in North Dakota and Montana. Please see our website at www.2HMech.com for more information, pictures and contacts. This document is to help our potential customers understand how we are qualified to partner with them on construction projects.

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In March 2018, 2H Mechanical moved to our new facility at 757 Valley Ct. a 15,000 square foot facility with a 4,800 spare foot storage tent. The new facility allowed us to upgrade our shop with a JWT coil line and a Namcore Spiral machine. This makes us the largest sheet metal fabrication facility between Denver and Salt Lake. We now provide sheet metal to other specialty contractors in the area.

We have also started hiring graduates and interns with an eye on the future. We have extended our training program to include foreman upgrade training to build the leaders we need; the best way to ensure the future of the company is to train the future owners.

Organization Overview

The management team has developed processes and procedures within a paperless office environment called DocSavy to assist and empower the job foremen and service techs to fulfill the day-to-day requirements of a project from any location. For more information about this product, please see www.DocSavy.com. We are also in the process of developing LogSavy to manage equipment maintenance coming soon at www.LogSavy.com.

President

Ricky Houtris, an Englishman, grew up around a family business of plumbing and heating. Despite this, at the age of 16 Ricky took a 4-year apprenticeship in automotive repair, during which time he attained City & Guilds, TEC and BTEC diplomas. After 6 years in the trade he returned to the family business for a couple of years before deciding to further his education. Ricky received an honors degree in Mechanical Engineering at the South Bank University in London, England where he achieved an upper second.

Once he graduated, Ricky took a job as a Mechanical Engineering troubleshooter working in the Construction, Food and Nuclear power industries – to name a few. After a couple of years Ricky took a job as a Finite Element Analyst in an engineering services company that was later acquired and renamed to MSX International. He worked at MSX for eight years, stationed across five countries, including a business start-up in Spain and a department start-up in the US. In Detroit Ricky built the largest independent CAE team outside of the OEMs, (Original Equipment Manufacturers), with sales in excess of $12M. At peak, the team was over 60 strong. Ricky was then hired as Engineering VP at Wagon Engineering running a 200-plus engineering division with $25M annual sales. The changing customer requirements in the automotive sector reduced the value-add of managed engineering services, and his position along with it .

At that point Ricky decided to move to the Grand Valley and set up 2H Mechanical LLC with Phil Herrera and Tom Vagell. To streamline the communications systems with 2H Mechanical, Ricky has developed a document management system called DocSavy to allow foremen to access and enter documentation on jobsites in remote locations. For more information, see DocSavy.com.

Bookkeeper

Ann Taylor was born in Grand Junction and has lived here most of her life. She graduated Summa Cum Laude with her Bachelor’s Degree in Accounting from Fort Lewis College, in Durango, CO in 1987. She lived and worked in New Mexico for a few years, before returning to Grand Junction. She has been a ‘money-woman’ for over 30 years, working mainly in the construction industry as a financial and cost accountant. Ann started working at 2H in October of 2005. She handles all things related to bookkeeping and accounting, keeping the company running smoothly on the administrative side.

VP Operations

Tom Vagell, LEED AP, a New Jersey native, has worked in the Valley for 28 years and Colorado for 42 years. Tom was the proprietor of Peak Mechanical, a plumbing and heating business with $800k annual sales, from 1980 to 1986. He has since worked as a project manager, first in Boston managing $6-8M a year; then for 28 years he worked as an Estimator and Project Manager in local companies. Tom holds a Master Plumbers license in four states. Previous large educational facilities estimated, and projects managed by Tom include: Casteel Creek (CEO Cisco Systems), Sleeping Indian Ranch, Aspen Highlands Condos, Halstead Barn and Residence (Vail), Westhaven Custom Condos (Vail), Willows Custom Condos (Vail), Crested Butte Community School, Western State College dorms, Vail Mountain School, East Valley Middle School, Mesa State College, Glenwood Elementary School, Delta Hospital, Grand River Hospital MOB, Canyon View MOB as well as CMC Edwards and CMC Leadville. Tom manages projects and heads the operations group.

Project Manager

Troy McAllister is an accomplished Project Manager with experience managing diverse projects in a variety of locations both as a mechanical contractor and as a general contractor.

Troy was born in Colorado Springs and lived there through school when he moved to Craig, Colorado and worked on the initial startup of Colorado-Ute Electrical Association’s Craig station’s 550 Megawatt coal fired power plant units. Troy started a United Association Apprenticeship in 1982, obtaining a Colorado Master Plumber’s license in 1985, and worked on the completion of Craig Station Unit 3 before joining the family mechanical business where he worked on and managed plumbing, HVAC, mechanical, and fire protection work until 1995. Troy performed on US Army Corps of Engineers and other government projects, managing mechanical work in Hawaii, Kwajalein RMI, and Diego Garcia. Troy has also managed multiple general contract projects for radar facilities, missile silos, and other critical infrastructure through 2007. In mid 2007 Troy joined FCI Constructors, Inc. where he familiarized himself with the construction market in Grand Junction and the Western Slope. Troy has managed construction of K-12 education facilities, medical office buildings, hospitals, municipal buildings, welding fabrication facilities, convenience and grocery store facilities, and aircraft hangar/terminal facilities. Troy has also performed work for high tech companies in cleanrooms and data centers for clients like Hewlett Packard, Qualcomm, Broadcom and Ball Aerospace. Among other things Troy exhibits his passion for safety and compliance as the Corporate Safety Manager. Video loop app maccleverwars.

Project Manager

Ryan Butler, a native of Grand Junction, has over twenty years’ experience in construction. He served a non-union sheet metal apprenticeship through Associated Builders and Contractors (ABC) of Western Colorado. He also spent four years as a Shop Foreman learning fabrication and layout. In 2008 Ryan joined the union working on the St. Mary’s Century Tower. Ryan spent the next four years traveling the state of Colorado working in schools and hospitals (both remodel and new construction). While in the union he received numerous training upgrades and classes pertaining to the sheet metal industry such as; Safety (Osha 10 & 30), Welding Certifications (MIG, TIG, Stick, Flux Core), and Journeyman/Foreman Upgrade Classes. In 2013 Ryan went to work at 2H Mechanical. Ryan started there as a Foreman and completed numerous projects such as Canyon View Medical Center, Gunnison County Courthouse Remodel, The Avalon Theater Remodel, Tomlinson Library Remodel, and Glenwood Springs Elementary School Remodel to name a few. Over the past few years, Ryan has been continuing his education through CSU Global. In 2019 Ryan was brought into the office to train as an estimator and work as a Field Superintendent, but quickly took on the role of Project Manager and has become an integral part of the 2H Mechanical Management Team.

Shop Manager

Vincent ‘Vinny’ Darnell has been a sheet metal worker since 1986. Vinny worked in the field for a few years learning his trade; he then found his way into the shop, and knew that was where he was meant to be. Vinny is just one of those guys who can make anything, he also has a great knack for teaching others! By 1991, Vinny was shop foreman and he never looked back. He joined 2H in 2005 as shop manager. Vinny has the organizational and leadership skills to run the 2H shop so that we can deliver more duct than shops of twice our size. He is the company authority on fabrication and installation to SMACNA standards. Vinny also orchestrates all deliveries that pass through the shop. If that wasn’t enough, Vinny keeps 2H running smoothly by maintaining and delivering all the tools we need to get the job done efficiently.

Superintendent

Dennis Wynn was born and raised in Steamboat Springs, Colorado and has been in construction for 35 years. While in Steamboat Springs, Dennis was superintendent at Routt Memorial Hospital, Routt Detention Center, Planet Hollywood in Aspen, Colorado, a complete HVAC retrofit at Steamboat Springs High School and numerous other projects. Dennis moved to the Grand Valley in 1994 and was the sheet metal superintendent for Commercial Design Engineering on projects from Steamboat Springs to Cortez, Colorado including the Roaring Fork School District expansions which included 11 concurrent schools.

Dennis started his own company, Four Wynns Mechanical, LLC in 1999. Jobs under Four Wynns Mechanical included Sleeping Indian in Ridgeway, Co, Williams Oil stations, High Altitude Helicopter Training Center in Avon, Co.; all of the Colorado Mountain Colleges on the Western Slope; Crested Butte Mountain Resort, West Wall and Elevations in Crested Butte, Co; Dancing Bear, Hotel Jerome, the Aspen Center / Doerr-Hosier, Aspen Square and Burlingame in Aspen, Colorado; Grand Junction Public Safety, the Western Slope Children’s Center, several School District 51 retrofits, Mesa Verde Visitors Center in Cortez, Colorado and the Sheraton in Steamboat Springs to name a few.

Capabilities

2H Mechanical offers: sheet metal and plumbing, Design Assist as well as Plan & Specification for the commercial, institutional, new construction and restoration markets.

In-house services include:

• Sheet Metal Fabrication Including a Spiral Machine and a Coil Line
• HVAC/Sheet Metal Installation
• Plumbing Installation
• Mechanical Piping Installation
• Refrigeration installation & Repair
• Medical Gas Piping
• Backflow Testing

Out-Sourced Services include:

• Engineering Design
• Controls
• Insulation
• Test & Balance

US Engineering Relationship

2H Mechanical are proud to have built a working relationship with US Engineering to provide plumbing pre-fabrication services. This service complements our sheet metal pre-fabrication capabilities and allows 2H to be more efficient and safe on the job-site. Pre-fabrication can be used in isolation giving other trades passing zones, through complete 3D coordination, to a complete BIM process, depending on the project requirements.

Staffing Strategy

Mechanical contracting is a hugely cyclical business where the manpower requirement will vary dramatically throughout the year. The lack of adequate training facilities within the Grand Valley makes the delivery of large projects a challenge. With this in mind, 2H Mechanical has built good relationships with the Plumbers & Pipefitters – Local #145 and the Sheet Metal Workers’ Local #9 to deliver our large project plumbing and mechanical needs.

With a staff of 10-65 and over $80M billing in the first 13 years of business, the strategy is certainly on-track. Providing the resources required to deliver your project on time and within budget may well involve bringing more skilled staff to the area, and 2H Mechanical is the only local contractor that can draw from both the plumbing and sheet metal unions’ extensive and well-trained pool of skilled workers.

Bonding

2H Mechanical has already secured mid-to-high-seven figures per job capacity without an aggregate with a preferential rate. Hub International can write larger requests on a job-by-job basis. The current rate without mark-up is 1.44% <$½M> 0.87% <$2M, then .69%<=$2.5M, then .63% <= $2.5M, then .576% > $7.5M. See attached bonding qualification letter.

Bank

2H Mechanical banks with the Bank of the San Juans, with advisement from Jennifer Landini, VP & Senior Commercial Loan Officer. The company has a $250K L.O.C.

Safety

2H Mechanical makes safety its highest priority. All field staff have a minimum of 10-hour OSHA and SDS training along with weekly on-site safety meetings. We do our utmost to ensure that our employees have the right tools and equipment to work efficiently and safely. Our current insurance experience premium modifier is 0.9.

Insurance

We like to think that accidents never happen, but they do. 2H Mechanical has worker’s compensation, general liability, vehicle and an umbrella policy to ensure that you never have to claim on your policy, should anything go wrong.

The company that originally began our journey in health care was Foster Healthcare Group. John and Susan Foster started their health care management under Foster Development d/b/a Foster Senior Living, to support Foster Healthcare construction development by participating in the construction projects with Bill R. Foster. Once projects were completed Foster Development assumed the operations management. John D. Foster has been doing construction, development and operations of health care facilities since 1970. He has a business degree from Drury University in Springfield Mo. Susan A. Foster has been doing operations and development of the communities since 1982. As a Registered Nurse, she works with a team of quality assurance staff to ensure communities remain steadily occupied, within budget and providing high quality care to our private pay clientele. She graduated from Cox School of Nursing in Springfield, Missouri and obtained her Bachelor’s degree from Drury University.

Our mission while operating our communities whether owned or managed is to provide “Exceptional Senior Living” to all clients/families and to ensure that the property is closely monitored with a well-trained staff while operating under a structured budget allowing the community to be financially strong. “Fostering Leadership to Serve” is how we achieve our goals.

1996

All Skilled, Assisted Living and Independent Living properties where packaged and sold (except for 2 AL communities which started our base of operations for developing into our Assisted Living market. We retained the operation of a leased SNF in Licking, MO).

2000 TO 2011

Began developing, constructing and operating communities licensed as Assisted Living and/or Residential Care depending on state in which they reside.

MISSOURI

• Culpepper Place of Springfield East – 65 Residential Care Community
• Culpepper Place of Chesterfield Village – 80 Residential Care Community
• Culpepper Place of Nevada – 31 Residential Care Community
• Culpepper Place of Branson – 65 Residential Care Community

ARKANSAS

• Culpepper Place of Springdale – 58 Assisted Living
• Culpepper Place of Jonesboro – 65 Assisted Living
• Culpepper Place of Fayetteville – 67 Assisted Living

2011

The above properties where bundled and sold to CNL in Orlando, Florida. CNL is a Real Estate Investment Trust.

2011 TO 2015

After the sale we maintained management of the properties for CNL until the portfolio was sold to Senior Housing Properties, a public held company with their own management company, Five Star Senior Living.

2014

Opened and operated Hearthside Collierville until stabilization at which point it was sold to CNL in January of 2014.

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2015

• Hearthside Senior Living of Collierville Tennessee – 67 Assisted Living

2016

Began managing 9 AL/MC Windsor Manor communities in Iowa and Illinois for CNL and H.R. Green

2016

Opened and operated Hearthside Bartlett until stabilization at which point it sold to Bridge Financial Group in 2018

• Hearthside Senior Living of Bartlett Tennessee – 67 Assisted Living

2017

Began managing The Shores of Lake Phalen for CNL

• The Shores of Lake Phalen, Maplewood, MN – 73 ASSISTED LIVING 32 MEMORY CARE

2017

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Began managing Waterstone on Augusta for CNL

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• Waterstone on Augusta, Greeneville, South Carolina – 74 ASSISTED LIVING 32 MEMORY CARE

2018

• The Crossings at Riverview, Riverview, Florida – 92 ASSISTED LIVING 32 MEMORY CARE

2019

Opened and managed the following JV Communities

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• Springhouse Village of Collierville, Tennessee – 67 Assisted Living/33 Memory Care
• Springhouse Village of Fayetteville, Arkansas – 67 Assisted Living/33 Memory Care