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VOL. 57 ISSUE 08 AUGUST 2016 • GUAM CONTRACTORSʼ ASSOCIATION

Making (Energy) Sense


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TABLE OF CONTENTS

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S.A.M.E.

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INSIDER NEWS

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FEATURE STORY

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FEATURE STORY

26

PHOTO HIGHLIGHTS

32

SMALL BUSINESS NOTES

34

CONSTRUCTION HEADLINE

36

REPORTS/INFORMATION

Feature Story

22 Feature Story

Chamorro Ph rase Of Th e M o n th Fino Chamorro: English:

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THEDIRECTORS

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PRESIDENT James A. Martinez Guam Constractors Association

Guam Contractor’s Association (GCA) in conjunction with Adztech and Public Relations, Inc. publishes the Construction News Bulletin (CNB) monthly. Reproduction of materials appearing in this publication is strictly forbidden without written permission by GCA.

PUBLISHER: James Martinez

PAST CHAIRMAN John Sage WATTS Constructors CHAIRMAN William Beery Tutujan Hill Group VICE CHAIRMAN Conchita Bathan Core Tech International SECRETARY/TREASURER John Robertson AmOrient Contracting CONTRACTORS DIRECTORS: Joe Roberto East Island Tinting Mark Mamczarz Black Construction Corp Peter Errett Hawaiian Rock Products Jessica Barrett Barrett Plumbing Rick Brown Pernix Guam LLC ASSOCIATE DIRECTORS: Jeffrey Larson TakeCare Asia Pacific Paul Blas Matson Navigation Patty Lizama Pacific Isla Life Mark Cruz Mid Pac Far East

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While we always strive for accuracy, we will from time to time overlook mistakes. In order to help us improve the quality and accuracy of this publication, we ask that you take the time to look at the information provided and notify GCA or Adztech of any corrections as needed. Opinions and editorial content of this publication may not necessarily be those of the publisher, production team, staff, GCA members, GCA Board of Directors and advertisers. For more information about advertising in the GCA Construction News Bulletin contact the advertising department at (671) 477-1239/2239 or email at adztech@teleguam.net. Distributed to GCA members or can be obtained by stopping by the Guam Contractors’ Association office located at 718 N. Marine Corps Drive, Suite 203, East West Business Center, Upper Tumon, Guam. To find out more about how you can become a GCA member contact Guam Contractors’ Association at Tel: (671)647-4840/41 Fax: (671) 647-4866 or Email: gca@teleguam.net. www.guamcontractors.org

PRODUCTION TEAM LEAD: Geri Leon Guerrero AD SALES: Jaceth Duenas PRODUCTION: Geri Leon Guerrero Christopher “Taco” Rowland Jaceth Duenas PHOTOGRAPHERS: Jaceth Duenas Jay Forsyth EDITOR: Adztech CONTRIBUTING WRITERS: John Robertson R.D. Gibson John Aguon GCA STAFF: Desiree Lizama Christie Rose Ngiratereged Elaine Gogue COVER: Being Energy Efficient for Our Island

Postmaster. Send address changes to Guam Contractors’ Association, located at 718 N. Marine Drive Corps Suite 203, East West Business Center, Upper Tumon, Guam.

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GENERAL MEMBERSHIP MEETING

2 , 2016 raises funds The Charlie Corn Scholarship Golf Tournament (CCSGT) is the signature fundraiser through which for the very successful. In spite of other competing events the same day, for scholarships and other educational activities. Capindo Loretta Mata Jon McDonald Sarah Nahalowa'a Ginny San Nicolas Anna Toves Lorrie Uong

CCSGT Golf Awards (from left to right) nny San Nicolas; Noel Enri

Sa

Sampson (Awards Committee Chairperson)

MILITARY OFFICER BRIEF

LTJG Nathan Cintula CEC, USN, NBG FEAD CME (left), gave a presentation about Cybersecurity. He spoke about malware and the recent hack of the Ukraine's power grid, highlighting the extent of vulnerability to the military and nation as a whole. His concluded the presentation with Facility ICS Cybersecurity Goals, including embedding security considerations into the whole acquisition lifecycle and raising cybersecurity "literacy" at all professional levels.

- Thank you for

See www.SAME.org for more details Ms Mary Amorient Engineering

Ms Loretta Matta

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THE NATIONAL, LOCAL & YM/DoD PERSPECTIVE

Young member Education Sessions

From left to right:

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Standup of a new Engineering Command on Guam Officer in Charge of Construction Marine Corps Marianas On 5 August 2016, the “OICC – Marine Corps Marianas” was created in an Establishment Ceremony in which Rear Admiral John W. Korka, CEC, USN, Commander Naval Facilities Engineering Command Pacific, U.S. Pacific Fleet Civil Engineer was the guest speaker. At the moment when the establishment flag was broken at the masthead, the unit became a Navy command in her own right, taking her place alongside other active units in the fleet. Commanding Officer, CAPT Daniel P. Turner PE, CEC, USN was introduced in the ceremony by CAPT Stephanie M. Jones, Commanding Officer NAVFAC Marianas. Other senior officers in OICC Marine Corps Marianas command are: CDR Paul Chan, Executive Officer and CDR Stephen T. Lepper PE, Operations Officer. Command Headquarters is co-located with the Marine Corps at NCTS in Finegayan.

CAPTAIN DANIEL P. TURNER PE, CEC, USN  CAPT Dan Turner most recently served as Naval Facilities Engineering Command Southwest’s Executive Officer where he also served his first year aboard as the Operations Officer. Before relocating to San Diego, he was Public Works Officer for Naval Station Rota, Spain. CAPT Turner was born and raised in Newport, Rhode Island. He received his commission through Cornell University’s ROTC Program in May of 1993 and earned a Bachelor of Science in Civil Engineering. CAPT Turner completed his post graduate study in Construction Engineering and Management at Stanford University. From the Summer of 2000 to the Summer of 2002, he served as the Resident Officer in Charge of Construction for ROICC Key West, Southern Division, Naval Facilities Engineering Command. CAPT Turner served as Executive Officer of Naval Mobile Construction battalion ONE THIRTY-THREE from May 2004 through June 2006. His tenure with “Runnin’ Roo’s” spanned two full deployments to Okinawa, Japan and Fallujah, Iraq which surrounded Hurricane Katrina recovery/relief efforts. Moving on to Washington D.C., he served as MILCON Program Action Officer at Commander, Navy Installations Command and then the Total Force Military Advocate at NAVFAC Headquarters. CAPT Turner also served as Assistant Operations Officer for Washington D.C. CAPT Turner is a qualified Seabee Combat Warfare Officer, a member of the Acquisition Professional Community, and a licensed Professional Engineer in the State of Hawaii. He is Level III contract certified under the Defense Acquisition Workforce Improvement Act. CAPT Turner is a graduate of the University of Pennsylvania Wharton School’s Executive Development Program. His personal decorations include the Meritorious Service Medal (six awards), Navy Commendation Medal (four awards) and the Navy Achievement Medal (two awards).

RECEPTION SPONSORED BY SAME GUAM POST On the evening before the Establishment Ceremony, the Guam Post of the Society of American Military Engineers sponsored a reception attended by about 110 persons from the military and the civilian community. The Young Member Committee served as the organizers for the event with the cost borne by Sustaining Members of the Post.

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RULING ON CHINA’S ACTIVITIES IN THE SOUTH CHINA SEA

By John M. Robertson

On 12 July 2016, the Permanent Court of Arbitration (PCA) in the Hague ruled in favor of the Philippines against China over territorial disputes in the South China Sea; in its major ruling, the tribunal ruled that China has "no historical rights" based on the "nine-dash line" map. China has rejected the ruling, as has Taiwan. Philippines v. China (also known as The South China Sea Arbitration) was an arbitration case brought by the Republic of the Philippines under the arbitration provisions of the United Nations Convention on the Law of the Sea (UNCLOS) against the People's Republic of China concerning certain issues in the South China Sea including the legality of China's "nine-dashed line" claim over the South China Sea under the UNCLOS. On 19 February 2013, China officially refused to participate in the arbitration because, according to China, its 2006 declaration under article 298 covers the disputes brought by the Philippines and that this case concerns sovereignty, thus it deems the arbitral tribunal formed for the case has no jurisdiction over the issue. On 7 December 2014, a position paper was published by China to elaborate its position. On 29 October 2015, the arbitral tribunal ruled that it has jurisdiction over the case, taking up seven of the 15 submissions made by the Philippines. [See the accompanying “South China Sea Arbitration Award”]

States presided over the signing of the Treaty of Peace between Japan and the Republic of China. The document provided that "It is recognized that under Article 2 of the Treaty of Peace which Japan signed at the city of San Francisco on 8 September 1951, Japan has renounced all right, title, and claim to Taiwan (Formosa) and Penghu (the Pescadores) as well as the Spratly Islands and the Paracel Islands. Unfortunately, the document did not indicate successor states and the PRC – People’s Republic of China was not party to the Treaty. Philippine Stance: The Philippines contended that the "nine-dash line" claim by China is invalid because it violates the UNCLOS agreements about exclusive economic zones and territorial seas. It says that because most of the features in the South China Sea, such as most of the Spratly Islands, cannot sustain life, they cannot be given their own continental shelf as defined in the convention. Chinese Stance: China refused to participate in the arbitration, stating that several treaties with the Philippines stipulate that bilateral negotiations be used to resolve border disputes. It also accuses the Philippines of violating the voluntary Declaration on the Conduct of Parties in the South China Sea, made in 2002 between ASEAN and China, which also stipulated bilateral negotiations

as the means of resolving border and other disputes. China issued a position paper in December 2014 arguing the dispute was not subject to arbitration because it was ultimately a matter of sovereignty, not exploitation rights. Its refusal did not prevent the PCA tribunal from proceeding with the case. After the award ruling, the PRC issued a statement rejecting it as 'null' and having decided not to abide by the arbitral tribunal's decision, said it will "ignore the ruling". Other stances: Brunei sent its own claim through a preliminary submission. In May 2009, Malaysia and Vietnam, as well as Vietnam alone, filed claims to the International Tribunal for the Law of the Sea with regard to the islands. This was in relation to extending their claimed continental shelves and Exclusive Economic Zones. The People's Republic of China rejected the claims since those violate the "nine-dashed line". The Philippines challenged the Malaysian claim stating that the claims overlap with the North Borneo dispute. Indonesia made a comment on China's claim by saying that the features are rocks and cannot sustain life, effectively calling the Chinese claim invalid. The Philippines echoed Indonesia's claims, further stating that the islands belong to them through geographic proximity. The United Nations holds no position on the case, and

The dispute had been affected by the fact that, after Japan renounced all claims to the Spratly Islands and other conquered islands and territories. On 28 April 1952, the United

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the International Court of Justice has had no involvement. Initial Timeline: January 22, 2013 – Philippines served China with notification and Statement of Claim. February 19, 2013 – China rejected the Philippines’ Notification. July 11, 2013 – First meeting of the arbitral tribunal at The Hague

International Response to the Ruling Sydney: The Australian government has issued a strong joint statement with the United States and Japan calling on China to abide by The Hague tribunal's ruling on the South China Sea. The three countries issued the statement late on Monday 25th July at the conclusion of the trilateral strategic dialogue held between Foreign Affairs Minister Julie Bishop and her US counterpart John Kerry and Japan's Fumio Kishida, on the sidelines of a South-east Asian regional security conference in Vientiane, Laos. The statement, tellingly, went further than a cautious joint statement produced by the 10 ASEAN member nations, meeting for the first time after the 12. The ASEAN statement failed to directly mention the ruling, highlighting the divide between ASEAN countries as Beijing continues to exert both diplomatic and economic pressure. The host nation, Laos and Cambodia both have close relations with China and depend economically on that nation. ASEAN, by policy, will endorse a position only when agreed to by all the ten member nations. "The three ministers expressed their strong support for the rule of law and called on China and the Philippines to abide by the Arbitral Tribunal's Award of July 12 in the Philippines-China arbitration, which is final and legally binding on both parties," the trilateral statement said. "The ministers stressed that this is a crucial opportunity for the region to uphold the existing rules-based international order and to show respect for international law." The statement also expressed "strong opposition" to any coercive unilateral actions that could alter the status quo in the South China Sea, while urging all states "to refrain from such actions as large-scale land reclamation, and the construction of outposts as well as the use of those outposts for military purposes". Beijing: China and Russia will hold "routine" naval exercises in the South China Sea in September, China said on Thursday 28th July, adding that the drills were aimed at strengthening their cooperation and were not aimed at any other country.

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China and Russia held joint military drills in the Sea of Japan and the Mediterranean in 2015. Photo: AP "This is a routine exercise between the two armed forces, aimed at strengthening the developing China-Russia strategic cooperative partnership," China's defence ministry spokesman Yang Yujun told a news conference. "The exercise is not directed against third parties." China and Russia are veto-wielding members of the UN Security Council, and have held similar views on many major issues such as the crisis in Syria, putting them at odds with the United States and Western Europe. Last year, they held joint military drills in the Sea of Japan and the Mediterranean. China continues to claim most of the South China Sea, through which more than $5 trillion of trade moves annually. Brunei, Malaysia, the Philippines, Taiwan and Vietnam have rival claims. A Russian source made reference to the U.S. military build-up on Guam and transfer of a squadron of B1B bombers to the Air Force Base there. In the wake of last month's legal curb stomping on China's sweeping claims to nearly all of the South China Sea, observers have been anxiously watching to see how Beijing would digest the ruling. During the first week of August, they got their answer: Not well at all. And apparently all Beijing's troubles are America's fault. In the past few days, all three Chinese naval fleets have taken to the sea to practice for a "sudden, cruel, and short" conflict. China's Defense Minister, Chang Wanquan, called for a "people's war at sea" to fend off any threats to Chinese "sovereignty" over distant reefs and rocks. More ominously, perhaps, China has also changed its laws to arrest and jail anyone caught fishing in waters Beijing considers its own, even though many of those waters are precisely the bits that are disputed among China's neighbors in the South China Sea. Before, Chinese Coast Guard vessels would

just chase away foreign fishermen, perhaps confiscating their boats. The stiffer penalties now, according to Chinese media, are meant to provide a legal justification for more aggressive Chinese patrols around the disputed shoals and islets. And just to make sure the message was heard, Beijing also made sure to escalate the ongoing war of words with Japan -- whose most recent defense white paper noted "concern" over the South China Sea -- and sent more ships into disputed waters in the East China Sea. China's defense ministry blasted Japan for "sowing discord" among China and other Asian states. And just to round out the week, Chinese state media slammed Australia for its public support of the July 12 ruling by the international arbitration panel in The Hague. Calling the land down under an "offshore prison" of the United Kingdom and a "paper cat," the Global Times newspaper identified Australia as the "ideal target" of a strike in the event Canberra meddles in the South China Sea fracas. Then the paper doubled down with further threats. As Peter Dutton, the director of the China Maritime Studies Institute at the US Naval War College tweeted: Chinese president Xi Jinping "had to choose between escalation and accommodation. Escalation it is." All this saber rattling isn't just a result of The Hague ruling, of course. Even before Xi took office, China had started to take a harder line on territorial and sovereignty disputes, especially in the South China Sea, where Beijing's claims clash with those of a half-dozen other claimants. For party leadership, reversing what it calls the "century of humiliation," especially at sea, has been a constant refrain and a staple of its appeal to nationalist citizens, especially those that are active online. But as Dutton notes, there has been an

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reports that since the tribunal verdict “there hasn’t been any demonstrable change in Chinese behavior around [Scarborough] in terms of dredging or any of that activity. So I think we’re at a place where truly we have to wait and see.”

A Chinese H-6K bomber patrols the islands and reefs in the South China Sea. Photo: Xinhua/AP uptick in anti-American propaganda since that July ruling, which handed Beijing a resounding and very public loss. One recent video paints a dystopian vision nearly worthy of the Republican convention, complete with clashes at sea, ambushed peacekeepers, rampaging separatists, and terrorists in far western provinces. "Behind everything we can always glimpse the deep shadow of the Stars and Stripes," it concludes. Tokyo: According to ADM Harry Harris, commander of U.S forces in the Pacific, “The U.S. can show support for the ruling on the South China Sea by flying, sailing and operating everywhere international law allows.” Beijing has a consistent explanation for the rising tensions in the South China Sea: It’s America’s fault. As Chinese leaders tell it, their country is the victim of a U.S. bullying campaign designed to keep China down by uniting Asian states against it. For proof they cite episodes such as the recent arbitration case filed by the Philippines and cheered by the U.S., Japan, Vietnam and others, which ended last month in a rebuke of China’s aggressive maritime claims and practices, including building artificial islands in international waters and harassing foreign ships. “I don’t want to talk in terms of winners and losers because that’s not helpful,” ADM Harris says of the ruling as he visits Tokyo to meet defense officials and Prime Minister Shinzo Abe. He allows that the verdict “was sweeping in its nature” and helpfully “eliminated some of the ambiguities” concerning China’s sea claims and artificial islands, but he stresses that “the United States is not a party to the ruling.” “We’re at the point where it’s up to China and the Philippines to start talking about it,” he says, citing Secretary of State John Kerry, “then we’ll see where it goes.” And what can the U.S. and its partners do to 14 | AUGUST2016

back the verdict, seeing as the tribunal has no enforcement power of its own?“ I don’t think we have as a mission enforcing tribunal rulings,” ADM Harris says, “but we can show support for the rulings” rhetorically and by exercising freedom of navigation: “the idea of flying, sailing and operating everywhere international law allows.” This formulation has been a mantra of U.S. officials for more than a year, even as the U.S. Navy has conducted only three freedomof-navigation operations (FONOPS) through Chinese-claimed waters, all under the ambiguous minimalist doctrine of “innocent passage.” ADM Harris has pushed his bosses for clearer and more frequent FONOPS, according to the Navy Times and other outlets, but so far has been rebuffed. If ADM Harris fears the U.S. and its friends have lost the post-tribunal initiative by failing to carry out new FONOPS, he isn’t saying. But concerns are mounting among Asian officials and South China Sea watchers who note that the 10-member Association of Southeast Asian Nations failed even to mention the verdict in a recent joint communique, while the new government of Rodrigo Duterte in the Philippines has played it down. Could this muted response embolden China to escalate, perhaps by trying to build an artificial island at Scarborough Shoal? Building atop Scarborough, which China seized from the Philippines in a Putinesque move in 2012, would give Beijing a foothold 120 miles off the strategic Philippine port of Subic Bay and near the Luzon Strait, a key gateway to the open Pacific. China appeared poised to start construction there in March but backed off as President Obama and other U.S. officials issued private warnings to Beijing and ADM Harris’s Pacific Command moved additional assets to the area, including A-10 ground-attack aircraft. Now ADM Harris

He argues with satisfaction, though, that U.S. friends are more reassured by U.S. policy today than they were even six months ago: “I think that the idea of the ‘rebalance’ has now taken hold.” He notes that the U.S. is advancing toward its goal of placing 60% of its air and naval assets in the Pacific by 2020, and though defense budgets haven’t grown, the Navy is building to a fleet of 308 ships, from 287 five years ago. “So I can stand in front of anybody and tell them what I believe—the military component of the rebalance is real.” He also touts the Code for Unplanned Encounters at Sea signed by the U.S. and Chinese navies two years ago, even though Beijing has refused to apply similar protocols to its Coast Guard and law-enforcement fleets that do most of its bullying at sea. “We recognize that there’s a gap there,” but “we shouldn’t discount the positives because there are still negatives. We should embrace the positives, continue to work on them, and then work on the negatives.” Some might see this as a risky standard of low expectations, yet ADM Harris emphasizes that China’s military arrived on the global stage recently, so a little acceptance can go a long way. Hence the U.S. decision to include China’s military for the second time in the multinational RIMPAC naval exercise that concluded on 6 August off Hawaii, and to welcome its role in everything from counterpiracy patrols off the Horn of Africa to the removal of chemical weapons from Syria and the search for Malaysia Airlines Flight 370. “These are positive things” that “demonstrate how far China has come and where we are welcoming their arrival,” ADM Harris says. “We don’t want China to be isolated. Isolation is a bad place to be. . . . It’s dangerous.” U.S. leaders clearly hope this message may chasten China. Defense Secretary Ash Carter recently adapted ADM Harris’s coinage, warning Beijing that its aggressive behavior could leave it stuck behind a “Great Wall of Self-Isolation.” Whether Chinese leaders are sensitive to this risk remains to be seen, and much of the evidence isn’t promising, but U.S. outreach seeks to convey that the choice is theirs. The foregoing is adapted from an entry in Wikipedia; three articles in the Sydney Morning Herald dated 26 July, 29 July and 6 August; and, a 5 August article in the Wall Street Journal by David Feith.

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SOUTH CHINA SEA ARBITRATION AWARD On July 12, 2016, the Permanent Court of Arbitration (PCA) published an arbitration award which it states is final and binding as set out in the U.N. “Convention on the Law of the Sea” (UNCLOS). Conclusions expressed in the award included the following, which is a much abbreviated version: Regarding the "Nine-Dash Line" and China's claim in the maritime areas of the South China Sea • The [UNCLOS] Convention defines the scope of maritime entitlements in the South China Sea, which may not extend beyond the limits imposed therein. • China’s claims to historic rights, or other sovereign rights or jurisdiction, with respect to the maritime areas of the South China Sea encompassed by the relevant part of the ‘nine-dash line’ are contrary to the Convention and without lawful effect to the extent that they exceed the geographic and substantive limits of China’s maritime entitlements under the Convention. The Convention superseded any historic rights or other sovereign rights or jurisdiction in excess of the limits imposed therein. Regarding the status of features as above/below water at high tide • High-tide features: (a) Scarborough Shoal, (b) Cuarteron Reef, (c) Fiery Cross Reef, (d) Johnson Reef, (e) McKennan Reef, and (f) Gaven Reef (North). • Low-tide elevation features: (a) Hughes Reef, (b) Gaven Reef (South), (c) Subi Reef, (d) Mischief Reef, (e) Second Thomas Shoal. Regarding the status of features as rocks/islands • Under Article 121(3) of the Convention, the high-tide features are rocks that cannot sustain human habitation or economic life of their own and accordingly shall have no exclusive economic zone or continental shelf. • Reefs and Shoals are low-tide elevations that generate no maritime zones of their own and none of the high-tide features are capable of sustaining human habitation or an economic life of their own within the meaning of those terms and are legally rocks for purposes of Article 121(3) and do

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not generate entitlements to an exclusive economic zone or continental shelf. There is, accordingly, no possible entitlement by China. Both Mischief Reef and Second Thomas Shoal are located within 200 nautical miles of the Philippines’ coast on the island of Palawan. As between the Philippines and China, Mischief Reef and Second Thomas Shoal form part of the exclusive economic zone and continental shelf of the Philippines.

Regarding alleged interference with the Philippines' sovereign rights in its Exclusive Economic Zone and continental shelf • China has, through the operation of its marine surveillance vessels breached Article 77 of the Convention with respect to the Philippines’ sovereign rights over the non-living resources of its continental shelf in the area. China has, by promulgating its 2012 moratorium on fishing in the South China Sea, breached Article 56 of the Convention with respect to the Philippines’ sovereign rights over the living resources of its exclusive economic zone. Regarding alleged failure to prevent Chinese nationals from exploiting the Philippines' living resources • China has, through the operation of its marine surveillance vessels in tolerating and failing to exercise due diligence to prevent fishing by Chinese flagged vessels failed to exhibit due regard for the Philippines’ sovereign rights with respect to fisheries in its exclusive economic zone. Accordingly, China has breached its obligations under Article 58(3) of the Convention.

fishing vessels engaging in harmful harvesting activities of endangered species breached Articles 192 and 194(5) of the Convention. • China has, through its island-building activities breached Articles 192, 194(1), 194(5), 197, 123, and 206 of the Convention. Regarding occupation and construction activities on Mischief Reef • China has, through its construction of installations and artificial islands without the authorization of the Philippines, breached Articles 60 and 80 of the Convention with respect to the Philippines’ sovereign rights in its exclusive economic zone and continental shelf. Mischief Reef is not capable of appropriation. Regarding aggravation or extension of the dispute between the parties • China has in the course of these proceedings aggravated and extended the disputes between the Parties through its dredging, artificial island-building, and construction activities. Regarding the future conduct of the parties • Both Parties are obliged to comply with the Convention, including its provisions regarding the resolution of disputes, and to respect the rights and freedoms of other States under the Convention. Neither Party contests this.

Regarding China's actions in respect of traditional fishing at Scarborough Shoal • China has, through the operation of its official vessels prevented Filipino fishermen from engaging in traditional fishing at Scarborough Shoal. Regarding alleged failure to protect and preserve the marine environment • China has, through its toleration and protection of, and failure to prevent Chinese

AUGUST2016 | 15


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Wes�n Resort Guam The Guam Contractors Association is holding its Annual GCA Safety Conference on Wednesday, August 24, 2016 and Thursday August 25, 2016 from 8:00 am to 5:00 pm. Out of 4,386 worker fatalities in private industry in calendar year 2014, 899 or 20.5% were in construction –that is, one in five worker deaths last year were in construction. The leading causes of worker deaths on construction sites were falls, followed by Electrocution, Struck By Object, and Caught-in/ between. These “Focus Four” were responsible for more than half (57.6%) the construction worker deaths in 2014, BLS reports. Eliminating the Focus Four would save 518 workers’ lives in America every year. Day 1 (Wednesday, August 24, 2016

Welcoming remarks by Keynote Speaker OSHA Region 9 1. Falls 2. Standard Fall protection (1926.1060) Subpart X 3. Scaffolding (1926.450) Subpart L 4. Stairways & Ladders (1926.1052) 5. Electrical Safety (1910.303 & 305) Subpart S Lunch Keynote Speaker: CMDR. Roberto Alverado, Executive Officer NavFac Marianas. Day 2 (Thursday, August 25, 2016)

1. Struck By/Caught Between 2. Struck By 3. Machinery & Machine Guarding (1910 Subpart O) 4. Motor Vehicles, Mechanized Equipment & Marine Operation (1926 Subpart O) 5. Powered Industrial Truck (1910.178) 6. Heavy Equipment 7. Hazard Communication 8. An Introduction to Munitions and Explosives of Concern (MEC). 9. Navy Occupational Safety & Health (NAVOSH) Program 10. Mine Safety and Health Administration (MSHA) Awareness


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Over the next few months, the Guam Power Authority (GPA) will actively promote their Energy Sense program. GPA’s Energy Sense program, essentially, will pay GPA residential customers to install or replace split-unit air conditioners with higher energy efficient units. In an interview for Construction News Bulletin, Art Perez-GPA Public Information Officer, and Brandon Taitague-GPA Customer Service Representative, discussed some of the details of the Energy Sense solution-based program, and how its features translate to direct financial benefits for GPA residential customers. At the outset of the interview, there is a common understanding: GPA residential customers are looking for financial relief from the ever-growing list of lifestyle expenses plaguing Guam’s residents. And surely, one of the impacts to all islanders’ budget is, specifically, electricity. As Art Perez, speaking to the planning aspect of GPA’s solutions, conveyed, “Demand side management (DSM) is a core consideration.” Usually, the goal of demand side management is to encourage the consumer to use less energy during peak hours, or to move the time of energy use to off-peak times such as nighttime and weekends. Aside from conservation, which is a simple reduction of energy use, by the customer, such as not using an air conditioner during the day; or, not using hot water. While conservation will surely reduce consumption, it may impact lifestyle. Energy Sense promotes the utilization of high energy efficient appliances (high SEER rated appliances) that use less electricity,

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but does not require a lifestyle adjustment to accomplish that outcome. Instead, as the Energy Sense program defines, install and use high SEER rated split unit air conditioners to achieve this efficiency; and ultimately, a reduction of both consumption and actual expense—a lower power bill. To that, all GPA residential users should reply: Yay! This value, SEER, was one of the factors GPA and its engineers considered in shaping the Energy Sense Program. Aside from that factor, the Energy Sense program reviews and approves a list of designated split unit air conditioner manufacturers and their products. Here is a list of local vendors selling and installing those approved appliances: A/C Sales & Services, Agbayani Air Conditioning and Refrigeration, Appliance Galleria, DeeSonii’s, Home Depot, J&B Modern Tech, Johnstone Supply, JWS, Light, MJM, Navy Exchange, Port Enterprises, Snowflake Guam, Sundance Collection, Universal Air Supply, and Zephyr Cooling Technologies. From these local vendors/installers, over 70 different split unit air conditioner models are on GPA’s approved list—such as, Daikin, Friedrich, Fujitsu, GREE, LG, Midea, Mitsubishi, Pioneer, Pioneer, Quiteside, Samsung, Sharp, and UTL International. However, according to Brandon Taitague, “Product and vendor listings will change, with time,” so, customers should check with GPA. Taitague also remarked, regarding the payout to the residential customer, “A customer may qualify for a payment of between $200.00 to as high as $600.00,” depending on GPA’s Energy Sense defined published schedule.

What does a SEER rating mean? SEER stands for Seasonal Energy Efficiency Ratio, and is a ratio of the amount of cooling produced (BTU) divided by the amount of electricity (watts) used. The higher the SEER, the greater the air conditioner's efficiency. Older air conditioning systems have a SEER rating of 10 or under. Essentially, the SEER number indicates the energy-saving value for a given appliance.

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AUGUST2016 | 19


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Asked whether that payment is a credit, he said, “It is an actual check. Paid directly to the customer.” Commenting on their promotional effort of the Energy Sense program, Perez states, “We will be promoting at home expos to customers, realtors, developers, and contractors.” While salient attributes such as energy-saving and expense-saving appliances for new housing and apartment complexes are singularly significant, the lion’s share of the Energy Sense impact will happen in the new installation and replacement scenarios for GPA’s roughly 40,000-plus current residential rate payers. And, the path down the yellow brick road of Energy Sense is pretty near to a happy-ever-after place. 1. Select a GPA Energy Sense qualified split unit air conditioner, from a qualified supplier/installer. 2. Get the existing split unit air conditioner

20 | AUGUST2016

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properly removed and disposed of; then, certify and properly install the new unit. 3. Fill out the application—Energy Sense Air Conditioning Rebate Program, Rebate Application for GPA Residential Customers. Must be submitted within 120 days of installation. 4. Fill out a W-9—Request for Taxpayer Identification Number and Certification. 5. Within 60 to 90 days you will receive your rebate check from GPA. If there ever was a reason to buy-in to a thing, GPA’s Energy Sense has the earmarks of making a big dent in the cents Guam residents pay for energy. And who, wouldn’t want to make that personal decision to save yourself some money. You invest in a new, better appliance, they give you a check, your home is cooled, your annual energy cost is abated to a more manageable level.

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greenwaste: Recycling for a self-sustaining community By R.D. Gibson


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Tun Jose wakes up early Saturday morning. He knows it will be hot in a few hours. He is dressed in bahaki and ready for a day around the yard. He has his whole day planned: mow the lawn, prune the flower beds, cut back the sakati, trim some of the tree limbs that are overgrown, cut down the tangantangan tree on the side of the yard, pull the weeds out; it was an endless list. Tun Jose was sure he would find more things he needed to take care of. A few hours of the relentless sun passed. He took a break and realized his yard was cluttered with displaced mounds of clutter; all of the biodegradable, or ‘green’, waste. There’s only one problem: properly disposing it. It’s unsightly, sure. But, what was once a service that was offered to residents has many, including Tun Jose, just how to take care of the clutter and debris and possibly reuse it. According to a 2006 Guam Integrated Solid Waste Management Plan cited by the Guam Solid Waste Authority website, “up to 40-percent of waste taken to the Ordot Dump is yard waste.” The Ordot Dump was closed earlier this year, and now garbage is sent to the Layon Landfill. Additionally, more and more Guamanians are finding ways to be more environmentally friendly. This includes reusing Tun Jose’s grass trimmings and tree and bush limbs to create compost and mulch as a way of managing their yard waste, while increasing fertilization. Mike Limtiaco of Pacific Unlimited, Inc., says they saw an opportunity to meet “the demand requirements for wood waste and greenwaste disposal and started Pacific Topsoils and Compost”, a division of Pacific Unlimited, Inc. The family-owned company has several divisions, including Pacific Trucking, ManHita Farms, Far East Equipment, and Subsistence Prime Vendor, among others. Pacific Topsoils and Compost takes “wood material and greenwaste for disposal, manufactures mulch and compost, collects food waste to incorporate into compost, and distributes erosion control products.” All of their products are made right here on island at their facilities in Ordot and Yigo. Limtiaco says their products are available for use for the entire public. They can be used for garden beds, commercial farming, and landscaping. “Guam, being an isolated community with a lot of vegetation growth, needs to dispose of that growth and waste properly,” says Limtiaco. “We have been successful at manufacturing compost and producing mulch to different specifications,” Limtiaco adds. He points out production would

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ideally generate a revenue stream instead of charging a tipping fee for the disposal of the waste. The cost of creating a revenue stream is nothing compared to what has reportedly contributed to a growing problem in our ecosystem. He points out that importation of some of these compost and mulch products has proved to be detrimental to not just pocketbooks with the introduction of invasive species. “Guam currently imports compost, topsoil, and mulch products,” he says matter-of-factly. “Although we cannot be certain of how these invasive species arrived on Guam, …there have been several reports of Rhino Beetle grubs in these types of products.” Limtiaco, a former senator in the 32nd Guam Legislature, says policy makers can help grow an industry, which has the potential to restrict possible invasive species while growing an industry, creating jobs, and adding to government revenues. “The legislature has made progress with legislation to address invasive species but more can be done,” says Limtiaco. “To my knowledge I believe policy makers allowed the private sector to find solutions,” adds Limtiaco. He cites how Pacific Topsoils and Compost was born from the idea to handle the restriction of greenwaste by Guam Solid Waste Authority. “The success of industry is dependent on the demand for recycled products,” he comments. Limtiaco and Pacific Unlimited are looking at the bigger picture for Guam: recycling. A concept for elementary school students to learn the three R’s: reduce, reuse, recycle. It isn’t enough to drill it into a younger generation of what to be aware of and to anticipate. At this point, it’s a matter of working to mitigating the problem right now. As Pacific Unlimited, Inc. took greenwaste that would not be picked up by regular trash collection and created their own products, Limtiaco says local businesses can take small steps to work toward efficient, environmentally friendly ways of conservation, along with moving toward more local purchasing to move away from importing goods. The main concept surrounding greenwaste and the products and services of Pacific Unlimited, Inc. is sustainability. In an age where residents and businesses are looking at ways to significantly reduce their carbon footprint and more environmentally friendly, it starts by doing the small things. It’s about getting the community involved and educated about ways to reduce our dependence on Mother Earth. If it’s buying energy efficient light bulbs for a few cents more, or having your greenwaste go toward a local garden,

AUGUST2016 | 23


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• • • •

it makes a difference. If it means stopping the spread of an invasive species that is harming our ecosystem, or working with lawmakers to advocate for more locally manufactured goods, it goes toward the bigger idea of a self-sustaining community. So, what ended up happening with Tun Jose’s greenwaste? He used some of the trimmings to fertilize his wife’s rose garden and asked his neighbors if they needed any for their yards. A day well spent he thinks, and his wife’s roses don’t look all that bad either.

“When I complained about the sunlight fading the wood on our steps through our large picture window, Kin suggested I call Island Tinting to see what they could do. Tom and his crew came out to the house and in just over an hour, they applied this clear film. He made me stand on the side where they had applied the film and then on the side with no film. The heat difference was amazing. The best part about it is that our power bill has gone down $70 a month because of this film!” Kin and Jayne Flores with Tom Roberto

Across Micronesia Mall, Route 16 647-TINT (8468) / 649-TINT northislandtinting@guam.net

24 | AUGUST2016

East Hagåtña 477-TINT (8468) / 472-TINT eastislandtinting@guam.net

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The Proven Sediment Control Choice for all your construction projects Easy installation (no trenching), easy removal Movable BMP: flexible material deliveries/equipment access Less prone to damage compared to silt fence Easier inspection 8, 12 & 18-inch diameters Continuous lengths for perimeters and wraps

Siltsoxx is a lower total cost alternative to a silt fence For more info please contact : Tel: 727-3233 gperez@pacificunlimitedguam.com


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July 20, 2016 Hilton Guam Resort & Spa Guest Speaker Melinda Swavely

26 | AUGUST2016

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TRENCHING & SHORING

EQUIPMENT SALES & RENTAL

Aluminum Hydraulic Shields

Aluminum Vertical Shores

Slide Rail System

Steel Trench Shields

Aluminum Lite-Shield

Aluminum AEX Shields

We are the only Guam distributor and a full service provider of GME Trench Protection Systems, such as Trench Shields, Trench Shoring, Excavation Shoring, Slide Rail Systems, Hydraulic Shoring, Manhole Shields, Bedding Boxes, and Trench Protection products. We provide technical advice, rent or sell products, and install systems if required.

For More Information Please Call Us Today at 734-3939 Onsite Diesel Ad GCA 25yrs.qxp_Layout 1 4/02/2015 6:17 pm Page 1

ON-SITE DIESEL DELIVERY • Diesel at Pump Prices • Reliable Six-Truck Fleet • Professional Drivers • 24-Hour Delivery (After Typhoons)

Our convenient service saves you time and money! Don’t wait for a typhoon to hit!

CALL NOW 649-1966

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June 4, 2016 Guam International Country Club

28 | AUGUST2016

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INTRODUCING.. POSTEL GROUP PRESIDENTIAL STEEL BUILDINGS & MURPHY ENTERPRISES, INC. NEW AND SUPERIOR METAL CONSTRUCTION COMING SOON TO GUAM!


Service is our

business

Our doors are open... Our experienced insurance professionals are ready to serve the community at our new location in Hagåtña. With our reliable and excellent service, count on us for all your insurance needs.

A. M. Best Rating of A+ (Superior) Financial Size Category of XV General Agent for:

Sompo Japan Nipponkoa Home | Auto | Business Insurance

VISIT US: 304 W. O’BRIEN DRIVE, HAGÅTÑA, GUAM 96910 | CALL US: (671) 475-1162


Increase your load. Be efficient and save. Reduce your energy costs. GPA’s Energy Sense program provides rebates for the SXUFKDVHRITXDOL´HGZDVKHUV GU\HUVKHOSLQJUHGXFH \RXUPRQWKO\HQHUJ\XVDJHZKLOHLPSURYLQJ\RXUTXDOLW\ of life. Contact GPA today @ 647-5787/8/9 to learn more DERXW(QHUJ\6HQVHDQGRWKHUZD\VWRKHOSUHGXFH your monthly energy usage, save money and help our HQYLURQPHQWE\XVLQJHQHUJ\PRUHHI´FLHQWO\ For more Energy Sense saving ideas visit *XDP3RZHU$XWKRULW\FRPRUOLNHXVRQ)DFHERRN (QHUJ\6HQVHPDNHVJRRGVHQVH

Bringing energy solutions to you!

Contact GPA Customer Service at 647-5787/8/9 | www.guampowerauthority.com |


SMALL BUSINESS NOTES

CONSTRUCTION NEWS BULLETIN

CLAYARCH INC.

GUAM CLEANING MASTERS

CABRAS MARINE CORPORATION

became Guam’s newest 8a Certified company on 6/19/16.

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won a Janitorial Services contract for Fish and Wildlife Service.

won the 5ea US Flag Tugs contract for MSC DC.

MARIANO PRIME

NATIONAL CAR RENTAL

won the PHA Supplies and Vaccinations contracts for Guam Army Guard.

won a Vehicle Rental contract for MSC SSU Guam.

"How to Manage a Business" Friday, August 26th (8:30am - 11:00am Fee: $20 per person Synopsis: Managing other people effectively depends on managing yourself. Better business performance will therefore flow from improving your self-management skills. All workshops will be held at the UOG Leon Guerrero SBPA Bldg. Room#148, First Floor

GUAM PTAC

FREE

PUBLIC

WORKSHOPS The Guam Procurement Technical Assistance Center (PTAC) is offering FREE workshops to the public for August 2016. Workshops run from 9am-10am in Room 129 of the UOG School of Business Building (unless otherwise specified)

August 2016 8/18/16 - Developing a Capabilities Statement

NEWS & EVENTS

Learn how to create a great marketing tool used in government contracting.

If you want to be in the know about Government contracting, visit and LIKE our Facebook page (www.facebook.com/guamptac). Current stories include:

8/25/16 - Role of an SBA PCR SBA’s Area VI Acting Director, Nicholas Manalisay will discuss how a Procurement Center Representative (PCR) assists small business.

5/26/16 - iRAPT

SBA finalizes “Universal” Small Business Mentor-Protégé program Bye-bye to populated JV’s, SBA changes JV rules Army assessments of contractors’ past performance fall short GSA wastes millions due to pricing problems OPPORTUNITIES – Posted at www.fbo.gov or www.neco.navy.mil. NOTE: The Guam PTAC does not list “unfunded” opportunities.

Do you have a Federal contract Please register on our website, and need to get paid? The Guam www.guamptac.com, PTAC will explain Federal invoicing or call or email Therese at procedures using iRAPT (formerly 735-2552 / WAWF).. admin@guamptac.com. Source: Federal Business Opportunities (FBO) and Federal Procurement Data System (FPDS). Walk-ins are welcome!

32 | AUGUST2016

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Port Awarded $10m Investment Generating Grant Port Authority of Guam was awarded a $10 million grant to support upgrades at the island’s only commercial port. The Transportation Investment Generating Economic Recovery (TIGER) Grant for Fiscal Year 2016 would increase space at Hotel wharf to handle specific project cargos such as break bulk and aggregates, and self-sustaining cargo vessel operations. 


Acting Governor Tenorio/Governor Calvo congratulates the men and women at Port Authority on acquiring this competitive grant. “Our island is growing and the Port is an essential part of that growth,” the Governor stated. “The folks at the Port, from the board to the administration and the employees understand the important role they play to our island’s economy and overall welfare. As their motto states, they truly do keep Guam and this region moving. The Calvo Tenorio Administration thanks the hard working men and women of the Port for all they do for our community.” Acting Governor Tenorio added: “Port management and employees continue to modernize our island’s only commercial port for the economic growth ahead. We appreciate their efforts as tey work daily on this important task.” Port Authority General Manager Joanne Brown said the rehabilitation of Hotel wharf is a necessary step in increasing the Port’s capacity and ability to meet the needs of the community. “The Hotel wharf sat unused for 15 years. Getting it refurbished puts it back into full operation, expanding the Port’s operations and minimizing conflict within our existing shipyards,” she stated. In an April letter to Secretary of Transportation Anthony Foxx, Governor Calvo reiterated his support for the Port and their effort to attain the grant: “The Port’s impact on the quality and substance of life for residents of Guam and Micronesia cannot be overstated. As Guam can only produce limited amounts of food and products, the Port is truly the lifeline between the region and the world,” he stated. Five things you need to know about Port Authority: • The Port serves as a transshipment nexus for the U.S. Affiliated Islands of Micronesia, to the Commonwealth of the Northern Mariana Islands, Federated States of the Micronesia, the Republic of Palau, and the Republic of the Marshall Islands. • The goods coming in and out of the Port serve more than 387,630 people who live in this Rural Area. • 90 percent of Guam’s goods are imported via ship that comes through the Port Authority. • Public Law 13-87, passed in 1975, established the Port Authority as an autonomous agency with its own board. Their motto is “We keep the Port moving … We keep Guam moving … We keep the region moving 24 hours a day, 7 days a week, 365 days a year.” • In these last few years, the Port has made many improvements. This Hotel wharf project would expand the Port, providing the necessary capacity to move and store cargo, including larger and bulkier items such as construction material.

34 | AUGUST2016

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Marianas Gas Corporation DBA Island Equipment Co.

151 W. Harmon Industrial Park Rd. Tamuning, GU 96913

Tel: (671) 646-5261 Fax: (671) 646-5258 www.iecoguam.com

AUTHORIZED DEALER FOR GUAM, CNMI & MICRONESIA

Contact: BMejia@iecoguam.com or (671) 688-7900 ACapiral@iecoguam.com or (671) 898-4731


36 | AUGUST2016 2 4

Ultrasound Technician

Wedding Service Attendant

23

2

2

2

5

10

1

10

1

5

2

1

1

Landscape Gardener

Laundry Maintenance Technician

Les Mills Group Exercise Instructor

Machinist

Maintenance Machinery Worker

Marine Maintenance Mechanic

Market Research Analyst

Massage Therapist

Mechanic

Med-Tele Registered Nurse

Motor Repairer

MRI Technician

NICU OB Registered Nurse

Welder/Fitter

Welder

Pediatrics Registered Nurse

Total Non-Construction H2-B Workers

3

1

Inventory Control Manager

Heavy Equipment Mechanic

ICU Registered Nurse

1

7

Guest Relations Host/Hostess

1

1

ER Registered Nurse

Executive Manager F&B

2

Electrical Drafter

Figaro Coffee Shop Supervisor

1

2

Diving Instructor

1

6

Surgical Registered Nurse

2

Cardiac Cath Registered Nurse

Crew Leader

1

Specialty Cook

2

Bridal Stylist

1

Spa Therapist

Specialty Chef Thai

1

Biomedical Equipment Specialist

17

Radiology Technologist

3

Baker

Chef

1

Quality Control Inspector

3

Automotive Repairer

Cook

3

Pipefitter

1

Auto Mechanic

192

17

4

1

2

10

1

TOTAL Construction H-2B Workers

Total OTHER Construction

1154

58

20

4

Plasterer Welder

5

13

6

1

9

Landscapers

Heavy Equipment Mechanic

General Maintenance and Repair

OR Registered Nurse

3

10

Assistant Solar (PV) Installer

Construction Equipment Mechanic

1

OBGYN/IMU Registered Nurse

7

AC Maintenance Technician

Other Construction Occupations A/C Mech

3

NICU Registered Nurse

3

Employers Workplace Monthly Report Statistics

AC Maintenance Mechanic

Other Non-Construction Occupations

GUAM DEPARTMENT OF LABOR Alien Labor Processing Certification Division

1096

1328 3 7 2 1 0 0 1 0 0 1342

4500

0

500

1000

Total U.S. Workers

Grand Total H2B Workers

Korea Thailand 0.22% 0.00%

9.85%

0.55%

3.19%

0.09%

38.69%

3.10%

8.30% 0.82%

Other 0.00%

Peru 0.07%

Prepared By: Paul Miyasaki Contact information: Greg Massey, ALPCD Administrator P.O. Box 9970 Tamuning, Guam 96931 (671)475-8005/8003

Camp Cook

Heavy Equip. Operator Electrician

Sheetmetal Worker

Reinforcing Metalworker Structural Steelworker Plumber

Carpenter

Cement Mason

Other

Thailand

Peru

Italy

Australia

United Kingdom

Kiribati

Japan

Korea

Philippines

United Kingdom 0.07%

Kiribati 0.15%

35.40%

Common Construction Occupations

Philippines 98.96%

Japan 0.52%

Australia 0.00%

Italy 0.00%

H-2B Population by Nationality

CONSTRUCTION NEWS BULLETIN

1500

2000

2500

3000

3500

4000

US Workers vs. H-2B

1346 Grand Total H-2B Workers

5000

3731

38 74

Total H-2B Employers

Total U.S. Workers

36

Construction Non-Construction

Employers By Industry

Philippines Korea Japan Kiribati United Kingdom Australia Italy Peru Thailand Other Total by Nationality

9

91

34

1

35

6

108

424

388

Workers by Nationality

Total Common Const.

Camp Cook

Electrician

Heavy Equip. Operator

Sheetmetal Worker

Plumber

Structural Steelworker

Reinforcing Metalworker

Carpenter

Cement Mason

Common Construction Occupations

MONTH ENDING: June 2016

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GCA Construction News Bulletin August 2016  

Guam Contractors' Assn. Monthly Construction News Bulletin is Guam's official construction news publication.

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