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In so administering the certification program, AISC
initially contracted with Abstect, a private, for-profit company,
to conduct the facility audits. Problems with this arrangement
developed, however, because a profit-driven enterprise was
unwilling to reinvest a sufficient portion of the fees charged to
achieve the level of auditor training and audit consistency
necessary for a uniform, reliable certification program. AISC
therefore provided the startup capital to establish petitioner as
an independent, nonprofit corporation. Petitioner’s articles of
incorporation state that its purpose is “To conduct quality
certification and inspection programs which meet the requirements
of private and public standards setting bodies and governmental
agencies”. Substantially all of petitioner’s time and resources
are dedicated to performing the quality audit function, and no
other entities presently furnish this service.
Petitioner is governed by a board of directors consisting of
the sitting chairman of AISC; the sitting chairman of AISC’s
Committee on Fabricating Operations and Standards; petitioner’s
president and CEO; and two elected members. Petitioner operates
by hiring and training independent contractors to inspect and
audit the facilities of fabricators applying to AISC for
certification. These auditors are paid by petitioner $400 per
audit day plus expenses, which include airfare, lodging,
transportation, and telecommunications. Petitioner also pays
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Last modified: May 25, 2011