A garage, a couple of people, and the desire to cure a perplexing problem regarding independent contractor payroll deductions, was al that Tom McGrath needed to build his empire. And build it he did! The year was 1993 and Tom McGrath had just left his courier job with Eagle Delivery in Massachusetts. There has to be a better way to handle independent contractors, he thought, and I'm going to find it. Now it's 13 years later and what have we got?

Well for starters, no more garage-it's sprawling, luxurious offices spread out over two buildings. One building is the main headquarters where much of the everyday work is carried out. The other is The NICA Institute which houses a learning center to educate clients and prospects as well as professionals in the understanding of how to deal with independent contractors.

There are now 60 employees and they are as enthusiastic about growing their business as much as Tom is. The energy you feel after meeting with these people is incredible. Tom has the right idea - hire only highly qualified people and pay them for their talents.

Has he found a cure for his original problem? Well, apparently so. With 48 states now being served, NICA issued 28,000 1099s for the year 2005. His business generated $554 million for that same period. He has ten different divisions working separately and together to maintain this progress.

When I arrived at NICA's office I was warmly greeted by Tom's secretary, Caroline O'Connor who prepared me for the many staff members I would meet during my visit. Andy Rogantino, NICA's chief operating officer was first on the list. I've known Andy for several years and it was nice "catching up." A few minutes later it seemed like a tornado arrived. It was Tom McGrath and a more vibrant and energetic person doesn't exist. He filled me in on his early ambitions and his future plans. His aim is to educate managers, owners, accountants, and lawyers on ways of handling independent contractor classifications.

There are very few experts who understand the many regulations of independent contractors and NICA will soon be a learning center, (The NICA Institute), just for that purpose. It's a novel idea-one that should be well received by interested parties. Most of the classes will be supervised by Wesley McClure, an attorney who joined NICA a few years ago.

Wes is busy establishing the new NICA Institute. His experience in dealing with hundreds of Independent Contractor challenges has positioned him to be the most qualified to undertake such an endeavor. Starting at the very beginning with the history of the Independent Contractor, Wes takes a unique step-by-step approach to ensure that NICA is truly the expert on everything dealing with Independent Contractors. This is extremely important given the industry today.

There is no room for those who think they know the issue, so Wes uses a preventative as well as corrective side of educating to get his message across. Wes administrated testing to the NICA Legal and Auditing staff, and is pleased to report that everyone met the intense academic criteria. The NICA Institute is the standard for the industry!

Wes has played an important role for NICA, winning several cases. Tom mentioned the fact that independent
contractors are the fastest growing population of the workforce and he's working hard to help that movement. Wes wrote in Messenger Courier World, "In recent years, the utilization of Independent Contractor Third Party Administrators (TPAs) has grown in popularity among contracting companies already using or considering the use of Independent Contractors (ICs). It is, therefore, not surprising, that along with the utilization of such administrators, many questions have arisen. Typically, three questions focus on a common theme: which party should have the written contract with the administrator: the IS, the contracting company, or both?

To keep up means you must be technological in your thinking, and to bring this off, Tom has hired a veteran ATE (Automatic Test Equipment) engineer by the name of Thomas Sautter. Sautter heads the IT division where he is planning new interactive websites giving the client the capacity to receive information in real time. To manage all this, he uses Microsoft's Dynamic Great Plains. It's a huge undertaking but Sautter is sure he can accomplish his mission.

Of course all this growth has its problems. The state of California has been very rough on NICA. NICA is trying to overcome their difficulties with California and their attorney, Owen Kane, is handling that aspect.

Owen brings nearly 20 years of experience in both government and law to NICA as the Legal Team's new General Counsel. Owen also brings a great deal of private sector law experience to NICA, having spent more than six years practicing business litigation for the Boston firm, Hanify & King. He has worked in the administration of former Pennsylvania Governor Bob Casey, as well as former Massachusetts Governors Paul Cellucci and Jane Swift, having served as General Counsel and Director of Legislative Affairs for the Massachusetts Department of Economic Development.

Well, NICA must be doing something right - there are dozens of client testimonials hanging on their office walls.

Tom recently wrote:

"On behalf of my family and the entire NICA Team, I would like to thank everyone for their overwhelming show of support.

Over the past thirteen years, NICA's main focus has been maintaining Independent Contractor status. By successfully handling hundreds of Federal and State IC status challenges, including many in California, NICA's overall program has improved dramatically. As for the current allegations in California, we are confident that we will prevail.

We have spent over a decade scrutinizing laws and challenging insurance and government regulators on IC status. As some of you may remember, when we started NICA, or Bay State Associates as it was first named back in 1993, I was an IC who was contracting for Eagle Delivery in Massachusetts. I challenged Eagle's Workers' Compensation
auditor and successfully exerted my rights as an Independent Contractor, and what an education it has been ever since!

We are passionate about this cause and will continue clarifying the issues. As many of you know, this has not come without growing pains. The faith and loyalty you have shown me throughout the years will not go unrewarded. We are constantly striving to upgrade and streamline our systems and we welcome any suggestions you may have to better our relationship.

The cases that NICA undertakes benefit the entire industry. It is these cases and the opinions of the administrative judges that lead us to fight for the rights of both Contracting Companies and Independent Contractors. Some industries, such as Realtors have stood united on this issue and today so should we, so your focus can be on more productive activities such as growing your business.

NICA will continue its commitment to be the resource in defining Independent Contractor status. Part of our Mission Statement is to demand that government officials and state regulators recognize and respect Independent Contracting. The adversity we face on a daily basis is what propels us forward as it strengthens our knowledge and determination to attain this goal.

NICA has faced many challenges head on and has prevailed time and time again. Supported by our current and
future clients, NICA remains confident that our position on Independent Contracting will be upheld well into the future. I am convinced that the NICA family will continue long after we pass these tests. It is with your belief and support that NICA finds its drive to "fight for what we believe" : Independent Contracting."

- Tom McGrath

President/CEO, MyNICA