Since 1945

making

Morrison-Maierle

an extraordinary

place to work

The 2013 Year in Review

vision2020

01The 2013 Year in Review

OURCOContact Information:Montana:315 N 25th St, Ste 102; Billings, MT 59101 406.656.6000

2880 Technology Blvd W; Bozeman, MT 59718 406.587.0721

1321 8th Ave N, Ste 104; Great Falls, MT 59401 406.454.1513

1 Engineering Place; Helena, MT 59602 406.442.3050

125 Schoolhouse Loop; Kalispell, MT 59901 406.752.2216

3011 Palmer St; Missoula, MT 59808 406.542.8880

Arizona:1275 W Washington St, Ste 108; Tempe, AZ 85281602.273.2900

Washington:PO Box 30097; Spokane, WA 99223509.991.8684

Wyoming:2200 Foothills Blvd, Ste A; Gillette, WY 82716307.685.3780

Web:e-mail: info@m-m.netweb: m-m.nettwitter: @morrisonmaierlefacebook.com/Morrison-Maierlelinkedin: Morrison-Maierle

In 2020, Morrison-Maierle is an extraordinary place to work and the preeminent engineering firm in the West. Our Core Values guide our growth and our Core Purpose leads to opportunity for all of us. Our culture of collaboration and commitment to integrity and excellence inspires a deep spirit of dedication from our employee-owners.

2-3| Culture

4-5 | Leadership

6-7| Collaboration

8-9 | Opportunity

10-11 | Community

12-13 | Excellence

14 | Corporate Leadership Team

15 | Officers and Directors

Table of Contents

MPANY

cultureWe are committed to living and preserving our Core Values

This Annual Report highlights the six tenets of our Vision 2020 plan and the work that has already been accomplished this last year that sets the foundation as we move forward. These tenets are Culture, Leadership, Collaboration, Opportunity, Community, and Excellence.

Photo Courtesy of Dave Stagliano, Helena; Senior Environmental Scientist, Natural Resources

03The 2013 Year in Review

Dear Stockholders and Employee-Owners,

Last year, 2013, was a very exciting and gratifying year for Morrison-Maierle. We all worked together to chart our course for the future and establish what type of company we will be in 2020. In short, our goals

are to make this an extraordinary place to work, and for Morrison-Maierle to be the preeminent engineering firm in the West! So, how do we get there? Well, the roadmap is in place, and the journey has begun.

I would like to take this opportunity to focus on Culture in my message to each of you, since this tenet is more difficult to demonstrate in an annual report than the other five tenets.

Culture is very difficult to define. In fact, we will have a work group in place in 2014 to determine what Morrison-Maierle’s culture really means. Culture probably means something a bit different to each one of us based on our own life experiences. Therefore, I’m going to touch on what our culture at Morrison-Maierle means to me.

A “standard” definition of culture for a company might include something like this: The system of shared beliefs, values, customs, and behaviors that the members of a company use to work with their world and with one another, and that are transmitted from generation to generation. To me, this definition actually rings pretty close for Morrison-Maierle. Our culture begins and ends with each of you and your commitment to living and preserving our Core Values of Integrity, Respect, Commitment, and Excellence. That culture was started by my grandfather, John Morrison, Sr. and Joe Maierle, who both epitomized these Core Values. John and Joe worked very hard to hire individuals who upheld their core values and wanted to help communities “get out of the mud.” The company has flourished over the years because of these Core Values and this guiding priniciple of helping communities.

So when I think of Morrison-Maierle’s culture, I quickly begin to reminisce about my grandfather. He was once described to me as a “true gentleman” by a close friend of his. But when I heard this same description of him from numerous other people, I began to truly understand what a special person he was. Similarly, as I got to know Joe over the years, it also became apparent why they made such a good pair—they were both special people who shared a common purpose. They were both blessed with unique technical skills, and they both wanted to use those skills to help the society around them. But more importantly, they were “true gentlemen” who loved their families, truly cared about all their employees and their families, always respected people no matter their position in life, and gave back to their communities as much as they possibly could. Their integrity was never questioned, as a handshake and a commitment was better than any written contract.

Both John’s and Joe’s legacy lives on today through each of you. They put our culture and Core Values in place with the first generations of Morrison-Maierle employees. Today, each and every one of you demonstrates that this culture is living and breathing within Morrison-Maierle as it continues to be passed down to subsequent generations. I am so proud to be associated with you and what this company stands for and the work you produce. Thank you so very much for your dedication to this great company and your resolve to never lose our culture.

Sincerely,

Morrison-Maierle is a great place to build a career

leadershipLeadership sets the tone for how we do business

Jim MaierleAfter 43 years of service to a company that his father started, Jim

Maierle has decided to retire as Chairman of the Board of Directors. We wish him nothing but the best as he transitions from life in the office to life spent traveling with his wife, Lynne, enjoying time with his children and grandchildren, and more time on the golf course and on his motorcycle.

A mentor to many—including Bob Morrison, president of the company—Jim began his career as Financial Officer at Morrison-Maierle in 1970 after receiving his B.S. in Commerce at Montana State University. He managed the financial, accounting, and information technology operations of the company, and in 1997 became President and CEO. In 2006, he was named Chairman of the Board. During his tenure as president, Jim helped grow Morrison-Maierle from a 150-person firm to a company of over 300 employee-owners.

Jim also helped put Morrison-Maierle on the international stage. In 1973, he served as project comptroller for a large road and bridge rehabilitation project in South Vietnam and helped open an in-country office and established accounting and inventory control procedures. Expanding on his international financial skills, Jim personally provided financial support and management on subsequent activities including projects in 12 countries and Morrison-Maierle project offices in five countries.

Photo Courtesy of Steve Ruhd, Helena; Resident Project Representative, Water/Wastewater

05The 2013 Year in Review

We welcome one of our longtime employee-owners, Jack Schunke, as the new chair

Jack Schunke, PEWith Jim’s retirement, Morrison-Maierle created a new

opportunity for one of its longtime employees. Jack Schunke, the Bozeman Office Manager, has been elected as Chairman of the Board.

Jack began working for Morrison-Maierle in 1975 after he graduated from Montana State University with a B.S. in Construction Engineering. A licensed engineer in Montana, Idaho and North Dakota, Jack’s specialties lie in management of Rural Improvement Districts; and land development, design and construction management of road, water, sewer, street, stormwater and parking lots. Since 1990, he has served on the Board of Directors and the ESOP committee.

Jack says he’s energized and excited by Vision 2020—the six-year program Morrison-Maierle developed last year to create internal growth, opportunity and development. One of the things he’s hoping to do as Chairman is recruit professionals outside of the company to serve on the board, which will be a groundbreaking endeavor for Morrison-Maierle. Jack says introducing outside perspectives will bring new visions and insights, create accountability and opportunities for existing members, and foster strategic thinking and business opportunities.

In 2013 we said good-bye to Jim Maierle, who decided to retire as Chairman of the Board

collaborationWe harness the power of collaboration to achieve outstanding results

“When you have the right mix of people, collaboration is an incredibly energizing way to work. The burden of the task is spread evenly throughout the group, and when one person gets stuck, another will

inevitably jump in and keep things moving forward. You inspire each other. You challenge each other. The journey is more fun, and the result is so much better than if you’d done it all alone.” -Sonya Leckner

Morrison-Maierle leaders met for a Vision 2020 planning session.

Darryl Rensmon participates in a session for strategic planning.

Photo Courtesy of Travis Meyer, PE, Helena; Supervising Engineer, Water/Wastewater

07The 2013 Year in Review

Collaborative efforts run far and wide at Morrison-Maierle. Work between offices, market groups, clients and subcontractors is the nature of our business.

In 2013, we put all of those skills to work internally, and collectively we came up with a vision for the future of Morrison-Maierle.

We held meetings in each office to ensure employee-owners had the opportunity to comment and express what they liked about the vision, what they felt was missing, and what they disliked about the draft vision.

In the end, our vision was touched by every employee-owner of Morrison-Maierle. Our vision was not created behind closed doors, rather openly discussed, changed, and improved by our employee-owners.

“The biggest takeaway for me from Vision 2020 was that we are already a great company full of amazingly talented and creative people. If we can align all of that talent toward a common set of goals, I can’t wait to see where we

end up.” -Travis Meyer

Throughout this process, we tapped into the power of our resources—”our people”—and came up with an outstanding plan that will help us reach our goal of becoming an extraordinary place to work and the preeminent engineering firm in the West by the year 2020.

“Collaborating with such an excellent group of professionals to develop our Vision was an inspiring process. I am proud to work with a group of people who share my personal core values and are committed to implementing them

in how we work every day. I look forward to working as a team to make our Vision a reality.” -Jill Cook

The employees who helped craft Vision 2020 decided that in order to achieve this goal, Morrison-Maierle had to be able to articulate our Core Purpose, which is “We create solutions that build better communities” and this purpose had to align with our Core Values of “Integrity, Respect, Commitment and Excellence,” which have been in place since John Morrison, Sr. and Joe Maierle built this company in 1946.

So in 2014, as we move to achieve Vision 2020 and with the help of our employee-owners from virtually every aspect of the company, we have identified 13 strategies that will bring us one step closer to achieving our Vision 2020.

We tap into a broad spectrum of expertise, innovation, and perspective

“Sticky Note Session” — the Vision 2020 birthplace

opportunityGrowth provides opportunity for our employee-owners

“I am excited about my transition into the Kalispell Buildings Group Leader position. I have a great team around me, both in Kalispell and within our other offices. This has made my transition very easy. It is

an exciting opportunity to help lead the Buildings Market Group toward Morrison-Maierle’s Vision 2020. I believe that the Buildings Market Group and the Kalispell office will play an important role in helping Morrison-Maierle achieve its goals.

We, as a Market Group, have worked on some very interesting and challenging projects, for some great clients and owners. I plan to help continue this trend and provide new growth opportunities for myself and more importantly for the team around me.” -Brad Kastelitz

Photo Courtesy of Mike Carlson, Helena; Senior Planner, Airports

09The 2013 Year in Review

Just ask Ryan Jones.

A five-year employee, Ryan came to Morrison-Maierle’s Kalispell office from Kadrmas, Lee & Jackson. He’s served

as a senior project manager and department manager for us, and now because of encouragement from others, a rigorous interview process—and a few heart-to-heart discussions—Ryan is the Office Manager. This opportunity, which exemplifies Vision 2020’s tenant, “Opportunity,” has created new professional and personal challenges for one of our valued and talented employees.

But the opportunities this promotion created didn’t stop with Ryan. “I saw several ways to make better use of the talent we have here in Kalispell,” he said.

As a result of his promotion, three of the Kalispell’s engineers were able to take on new challenges as well. Tom Heinecke was asked to take on the role of Practice Area Leader (or as Ryan says, “a mini Ken Salo” for the mechanical engineers in the firm) and Brad Kastelitz was promoted to Kalispell’s Buildings Group Leader and Paul Burnham took on the job of Department Head for the Water-Wastewater Group.

“I am looking forward to working within the Building Market Group to establish the position of Practice Area Leader. I believe it will give

me an opportunity to apply what I have learned through the years to our particular practice of engineering in a way that will be meaningful to our Group for years to come. I am fortunate to be able to work with great people who also happen to be really smart.” -Tom Heinecke

Office-wide, these shifts in responsibility haven’t been limited to the engineering staff. Ryan created a new opportunity for Crystal Allison, who has a knack for project grant administration. With some training and continuing-education courses, Crystal has transitioned into a position that will put her in direct contact with clients as they secure funding for their municipal projects.

These opportunities have also created more project possibilities for the Kalispell group. For example, Ryan and his team are looking at the possibility of bringing other Market Groups to the Kalispell Office to expand the clients they serve and the services they offer.

With each opportunity, we strengthen our brandProfessional development, learning opportunities, new challenges. All of these things may mean one thing at other firms, but after our Vision 2020 planning sessions last year, they mean something else at Morrison-Maierle. Ryan Jones Paul Burnham

Tom Heinecke Brad Kastelitz

Crystal Allison

Photo Courtesy of Travis Meyer, PE, Helena; Supervising Engineer, Water/Wastewater

communityWe are an integral part of our communities

Company Total: $38,242.27

Company Community Support

2013 Contributions

11The 2013 Year in Review

2013 Non-Profit and Community Involvement

Ty Walker - Blue Sky Heights Water Users Association Board Vice President. Jefferson County Little League Baseball Coach

Jeff Ashley - YMCA Volleyball Coach, Helena Youth Volleyball Club Coach, Helena Babe Ruth Baseball Coach, Our Redeemers Lutheran Church Council Member

Lacey Forrey - Trailhead Christian Fellowship Church Christian Education Committee Member, Vice President of the Townsend Parent Teacher Organization

Kim Longenecker - Juvenile Diabetes Research Foundation Northwest Chapter Volunteer

John Pavsek - MT Cross Rodeo Bible Camp Board Member, Helena High School Rodeo Team Committee Member, Lewis and Clark County 4-H Veterinarian Science Superintendent, Big Sky Fellowship Building Committee Member

Mike Brandt - Montana Department of Transportation Adopt-A-Highway Volunteer

Mike Carlson - Advancement Chairman for Boy Scout Troop 207

Travis Meyer - Elkhorn Search and Rescue President, Den Leader - Pack 220 Cub Scouts, Elkhorn League Rookie Baseball Coach

Bill Wiegand - Carroll College Engineering Advisory Board Member, Carroll College Chapter of Engineers Without Borders (EWB) Professional Mentor

Matthew Pool - Ten Mile/Pleasant Valley Sewer District Board Member

Mark Brooke - Cow Country Classic Race Director

LeAnn Books - Montana City Trails and Trust President,  Mustang Family Gallop Race Director

Darrick Zuelke - Volunteer Assistant Coach for the Capital High School Wrestling Team

Aubrey Yerger - Volunteer at the Rocky Mountain Youth Development Resources youth group home.

Nancy Cormier - Grandstreet Theatre Board of Directors Finance Committee Chair

David Stagliano - Prickly Pear Land Trust volunteer; Helena College Science Fair volunteer

Tori Gleich - Volunteer vocalist for the Catholic Diocese of Helena

Helena, cont.

Mike Felten - Billings Food Bank volunteer, Faith Chapel Billings and Beyond volunteer, Montana Rescue Mission, Hopefest 2013

Jill Cook - Yellowstone Soccer Association Coach

Joel Spring - Billings Breakfast Exchange Club, Little League Baseball Coach, Black Butte Ranch Association Board

Dax Simek - Treasurer of the Billings Downtown Exchange Club and a member of the Billings Homebuilder’s Association

Heather Mosser - Youth Indoor Soccer Coach

Kris Buehler - Hopefest 2013, Tumbleweed

Glenn Roy-Johnson - Hopefest 2013

Tim Boelter - Hopefest 2013

Shaun Brown - Hopefest 2013, Billings City Council Member

Alisa Etzel - Tumbleweed

Gerald Pavlick - MS Bike for the Cure Bill White - Volunteer soccer coach at Gonzaga University

Roger Somerville - Bridger Bowl Snowsports School Ambassador, Bozeman School District 7 Committee Volunteer, Assistant Coach on a Gallatin Valley Girls Youth Softball Team, MSU, CE Department Advisory Board

Jack Schunke - Golf Course Partners Board of Directors

Kurt Keith - CAP (Child Advancement Project) Mentor with the Bozeman School District

Nicholas Kraus - Volunteer presentation for the Montana State University Civil Engineering Program

Jim Ullman - Sacajawea Middle School 8th Grade Football Coach; Bozeman Baseball Board, Babe Ruth League Coach, and All-Star Coach

James Nickelson - City of Bozeman Impact Fee Advisory Committee Chairperson

Travis Eickman - Assistant Scout Master for Boy Scout Troop 649 Belgrade

Dave Keeney - Director on the board of the River Rock Water & Sewer District.  Volunteer football coach for the Gallatin Empire Lions Midget Football program.

Christine Pearcy - Stream Team volunteer with the Greater Gallatin Watershed Council

Tom Eastwood - Bozeman Track Club Indoor Track Distance Coach, Belgrade High School Track & Field Official Timer, and Belgrade Youth Baseball Babe Ruth Manager for Diamondbacks.

Sheila Habeck - Helena Dynamos Executive Board Member (youth mountain biking organization, Helena High School newspaper volunteer, Helena Education Foundation Career Day panelist, Chairman and coordinator of Helena High Boys Soccer Team Annual Pig Roast Fundraiser.

Bob Morrison - Board Director for Montana Community Finance Corporation and the Helena Area Chamber of Commerce.

Anita Shontz - United Way of the Lewis and Clark Area Board Member

Jason Mercer - Helena Girls Softball Association Board, Helena Girls Softball Association Coach

Scott Murphy - Premiere Dance Company Board of Directors President

Debra Larson - Member – General Federation of Women.    Volunteer at Helena Food Share.   Catechist for the St. Mary Religious Education Program

Sonya Leckner - YWCA of Helena Board Treasurer

Debbie Zuidema - Local Program Coordinator for Special Olympics Montana, Secretary of the Greater Federal Woman’s Club

Marie Murphy - Helena USBC board member and director.  State USBC Board Youth Director.

Shaun Shea - United Way of Missoula County Citizen Review Committee, Day of Caring Participant, CAN-struction Co-Leader, Mount Sentinel Little League T-Ball Commissioner, Mount Sentinel Little League Team Manager, YMCA Youth Soccer Coach, Cold Springs Elementary School Track and Field Volunteer

Molly Skorpik - Big Brothers Big Sisters of Missoula Board Vice President and Big Sister, Clark Fork Task Force

Craig Schaeffer - TRIG-Star program at Hellgate High School

Debbie Johnston - Board Member of the Missoula City/County Health Board

Matthew Barnes - Mountain Bike Missoula President, Missoula Open Space Advisory Committee Member

Mark Waller - West Central Montana Avalanche Foundation-Board President

Creg Dieziger - Mount Sentinel Little League Baseball Volunteer Director, Mount Sentinel Little League Majors Division Team Manager, Mount Sentinel Little League Manager for the 11-year-old All-Star Team. United Peer Review Committee Member

Greg Howard - Conservation Lands Advisory Committee for the City of Missoula Parks & Recreation Department. Volunteer hockey coach for 4-6 year olds.

Judy Tankink - Great Falls Neighborhood Councilwoman 4.

Zane Green - Wyoming Brewers Club President

Garrett Schultz - Gillette Rustlers A Legion Baseball Head Coach

Juan Reyes - Isaac School District Student Mentor,  Liberty Elementary Student Mentor, Hamilton Elementary Volunteer, Engineering Week (E-Week) Presenter, Mathematics Engineering Science Achievement (MESA) Judge

Brenden Saline - Boy Scouts of America Team 6798 Assistant Coach

Keith Belden - Dinner sponsor of Tempe I-Help Homeless Shelter, United Food Bank and the Pilgrims Rest Shelter – Phoenix volunteer, ASU Civil Engineering Senior Design Class panelist.

Jim Spring - Stone Creek Bible Church Elders’ Board and Men’s Bible Study Small Group Leader

Carmen Parks - ASU Civil Engineering Design Class Engineering Panel Member, Arizona Future City Competition Judge, Girls on the Run Community Volunteer Running Buddy

Paul Burnham - Boy Scout Troop 1939 Committee Chairman

Rick Hiebert - Kalispell Chapter MATHCOUNTS scorer

Tom Heinecke - Flathead Youth Foundation Treasurer

Billings

Spokane

BozemanCorporate

Missoula

Great Falls

Gillette

PhoenixKalispell

Alan Erickson - Elkhorn Search and Rescue Coordinator, Montana City Trails and Trust Member, Jefferson High Booster – Game Support Coordinator, Jefferson Local Development Corporation member

Keely Matson - Toys for Tots volunteer

Jeremy Perlinski - Helena Rookie League Baseball Coach; Westside Flag Football Coach

Helena

Hopefest 2013

Stuff the Bus

Movember

Rossiter Reads

MS Bike for the Cure

Photo Courtesy of Mark Brooke, PE, PG, Helena; Natural Resources Group Leader, Development

excellenceWe are dedicated to excellence in everything we do

Excellence. It’s who we are and it’s everything we do here at Morrison-Maierle. As the last, but certainly not the least, of our six

tenants, Excellence is what has kept us in the forefront of our selected fields of study and professions.

Excellence begins with our employee-owners, many of whom are regionally and nationally recognized for their expertise. Here are a few of our award-winning projects that show what excellence is all about at Morrison-Maierle.

13The 2013 Year in Review

2014 ACEC Winner 2014 ACEC Winner

2014 ACEC Winner

5 Mile Lift Station - Billings, Montana MT Tech - Butte, Montana

Missoula Headworks - Missoula, Montana

2014 acec winner - category f

Billings Five Mile Lift StationCategory F – Waste and Storm WaterClient – City of BillingsLocation – Billings, Montana

Morrison-Maierle’s project replaced the largest sanitary sewer lift station in Billings with a new

station that utilizes an updated, safer and more easily maintainable design. Construction of this project took place while the old station was still in service and required sophisticated bypass pumping and creek diversion techniques to complete.

2014 acec winner - category b

Montana Tech HPER Renovation/AdditionCategory B – Building/Technology SystemsClient – Bill Hanson/ThinkOneLocation – Butte, Montana

On this project, Morrison-Maierle’s engineers, together with Montana Tech and their selected design team,

ThinkOne Architecture, found innovative ways to add more space, revamp existing spaces and improve structural, mechanical and electrical portions of the existing HPER Building under the constraints of a tight budget.

2014 acec winner - category c

Missoula Wastewater Treatment Plant HeadworksCategory C – Structural SystemsClient – City of MissoulaLocation – Missoula, Montana

This Morrison-Maierle project required engineers to design a structure that had to fit into a constricted

site adjacent to the Clark Fork River. High groundwater also required the design to have a small footprint and deep vault. Morrison-Maierle came up with innovative structural elements and a unique dewatering approach to create a cost-effective solution for their client.

Letha Ebelt, Ken Salo, Scott Murphy, Bob Morrison, Jason Mercer, Darryl Rensmon, Sonya Leckner, KC Hill

Corporate Leadership Team

15The 2013 Year in Review

Morrison-Maierle, Inc. Directors and Officers

Morrison-Maierle Systems Corp. Directors and Officers

MOrrisOn-MAiErLE, inC. DirECTOrs AnD OffiCErs:Carl J. Anderson, PE, Director, VP • Keith S. Belden, PE, LS, VPScott T. Bell, PE, Director, VP • Nancy Granger Cormier, PE, VPLetha C. Ebelt, PHR, Chief Human Resources and Staff Services OfficerK.C. Hill, CPA, Chief Operating Officer, Secretary/TreasurerDeborah A. Johnston, PE, VP • Kurt W. Keith, PE, VP • Sonya Leckner, Director of FinanceJason C. Mercer, PE, VP, Chief Marketing Services OfficerJohn H. Morrison, Jr., PE, Senior VP • Robert J. Morrison, PE, Director, President, Chief Executive OfficerScott B. Murphy, PE, BCEE, Director, VP, Chief Client Services OfficerP. Darryl Rensmon, VP, Chief Information Officer • Kenneth W. Salo, PE, Director, VP, Chief Technical Services Officer John R. Schunke, PE, Director, VP, Chairman of the Board • Eugene D. Wasia, PE, VP

MOrrisOn-MAiErLE ArizOnA, inC. DirECTOrs AnD OffiCErs:Keith S. Belden, PE, LS, Southwest Region Director, President/Chairman of the Board • Scott T. Bell, PE, DirectorK.C. Hill, CPA, Chief Operating Officer • Sonya Leckner, Director of Finance • John H. Morrison, Jr., PE, Senior VPRobert J. Morrison, PE, Director, Senior VP • James G. Spring, PLS, VP, Survey Operations

D. Shaun Brown, Director, VP • Harry Houze, VP • Sonya Leckner, Director of Finance Robert J. Morrison, PE, Director, VP • P. Darryl Rensmon, President/Chairman of the Board

Photos on this page courtesy of John Pavsek, left; Mike Carlson, right. Facing page clockwise from top left: Gene Wasia, David Stagliano, and Jeffrey Roe.

Photo Courtesy of Mike Carlson, Helena; Senior Planner, Airports