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Unlocking the Doors

To Emerging Economies

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Chamorro Ph rase Of Th e Mo nth Fino Chamorro: English:

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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 Art Chan Hawaiian Rock Products CHAIRMAN John Sage WATTS Constructors VICE CHAIRMAN William Beery Tutujan Hill Group SECRETARY/TREASURER Conchita Bathan Core Tech International CONTRACTORS DIRECTORS: Carlo Leon Guerrero M80s Office Systems Mark Mamczarz Black Construction Corp Miguel Rangel Maeda Pacific Corporation John Robertson AmOrient Contracting 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


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 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:

PRODUCTION TEAM LEAD: Geri Leon Guerrero AD SALES: Jaceth Duenas PRODUCTION: Geri Leon Guerrero Christopher “Taco” Rowland Jaceth Duenas Bill Tenorio PHOTOGRAPHERS: Christopher “Taco” Rowland Geri Leon Guerrero EDITOR: Adztech CONTRIBUTING WRITERS: John Robertson John Aguon Shawn Gumataotao Ted Garrison Neal Merrifield GCA STAFF: Francine Arceo Desiree Lizama COVER: Opening the Door to the Pacific Region

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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War had on Guam and Hawaii. Nearly reaching the 80th anniversary of the attacks on both Pearl Harbor and Guam, we in light of all the upheaval the war brought, there are also many stories of how military and civilian engineers became an

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debris. Desperate to get the equipment and the harbor back into service, it became apparent the need for collaboration between military and civilian

by Shawn Gumataotao

other industrial workers such as divers, seamen, carpenters, welders and pipe

over in the harbor mud. One particular instance of engineering assistance came in the righting of the USS Oklahoma. Heavily damaged from Japanese aerial torpedoes, the battleship rolled 150 degrees and sank, plunging her masts and turret tops into

of twenty-one 40’ “A” frames which were connected to the hull and to large concrete anchoring blocks on the nearby Ford Island via steel cable. On shore was an electric motor for each “A” frame slowly pulling the ship upright one degree every half hour. Only when the ship was upright could the salvage crew

World War II Recruitment Poster

Aeriel view of operations to right the USS Oklahoma on March 19, 1943.

6 | JANUARY2016


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Quonset Warehouses on Guam c.1945 For Guam, many of the engineers that would help rebuild the island would come in the form of soldiers performing assault missions providing security for landing boats unloading supplies and equipment as well as traditional engineering tasks.

and one Marine battalion as well as 12 naval construction battalions were sent to Guam. Together they constructed three

and 24 berths had been erected in the harbor. To accomodate casualties from Iwo Jima operations, the Army Engineers built In addition to military construction, three temporary camps were constructed to aid the 15,000 native civilians who were displaced during the war. Each camp had its own hospital, food preparation centers and was equipped with water and sanitary systems.

Wards of Fleet Hospitals ~ Guam to our communities. Organizations like the Society of Professional Engineers and the Society of American Military Engineers provide many opportunities for training and professional development, reaching students and professionals alike throughout the world. Visit www. and for more information. Photos this page courtesy of To join SAME Guam Post, log on to and click on “Membership� at the top of the home page.

JANUARY2016 | 7

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By John M. Robertson

At a ribbon cutting ceremony on December 9th 2015, a nearly 10 year program to expand and bring about modernization to the Jose D. Leon Guerrero Commercial Port was brought to fruition. This event signaled the conclusion of the last of a series of projects that were administered by the United States Department of Transportation – Maritime Administration (MARAD) using $50.0 Mil in funds from the Department of Defense to support the military buildup on Guam. The ceremony was opened by the Chairman of the Port Authority Board of Directors, Mr. Francisco G. Santos. Principal speakers were the Honorable Paul "Chip" Jaenichen, Administrator of the U.S. Dept. of Transportation - Maritime Administration, the Honorable Madeleine Z. Bordallo, Guam Congresswoman, and the Honorable Eddie Baza Calvo, Governor of Guam. Concluding remarks were provided by the Port Authority General Manager, Ms. Joanne M.S. Brown. Master Plan Update On August 7, 2007, the Port Authority of Guam commissioned PB International, Inc. to update the Port’s Master Plan to include an Impact Assessment on the Port Authority of Guam Facilities due to the relocation of Okinawa-based Military personnel and related ancillary activities and major

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Official Party at the Ground Breaking Ceremony developments affecting Guam. This action would result in a substantial increase to the population base as well as construction activity for base construction and development of Guam’s infrastructure. Funding for the Master Plan was therefore provided by the Office of Economic Adjustment of the Department of Defense. The “Master Plan Update of 2007 Report” was released by PB in April 2008. This was followed in August 2008 by their “Financial Feasibility Study Report”. In July 2010, PB released its “Design Requirements Report”, its “Preliminary Design Submittal” and its “Preliminary Outline Specifications”. These documents provided the basis upon which detail design could be pursued by others. Parsons Brinkerhoff continued on the program as advisor to the Port Authority of Guam and issued its “Master Plan Update 2013 Report” in November 2013. It took into account changes that had been made in the program from 2007 up to 2013. Those changes had to be made to account for the military relocation being delayed by several years and the size of the Marine Corps presence on Guam being reduced. MARAD Administered Program The Maritime Administration was provided

$50.0 Mil to administer the design and construction program on Guam. In December 2008, they issued an RFP for “Program Management Support” for the Guam Commercial Port Improvement Program. The resulting contract was awarded to EA Engineering, Science and Technology, Inc (EA). That firm already had a presence on Guam with several environmental projects under way. As Program Manager, they acted as overall contracting agent with engineering and design firms and construction contractors taking the role of subcontractors. The EA Design Team included GHD, TG Engineers, AmOrient Engineering and Pacific Soils Engineering and Testing. EA’s Program Manager was James T. Johnson PE and Deputy Program Manager was Tressie Word PE. The Program included the following projects: Container Yard Lighting Project. For this, the Port Authority had in place Port Security Grant Program funding for construction. MARAD and EA undertook responsibility for providing engineering design and construction management services which were performed by AmOrient Engineering as sub-consultant to EA. A construction contract was awarded to DCK Pacific in December 2011. The project was

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New Security Fencing where not provided under the MARAD Contract PENDING Optical Character Recognition System for Container Inventory and Control PENDING Existing Container Yard Pavement Repair and Pavement Marking completed in November 2012. Container Freight Station (CFS) Building. The existing CFS Building was to be retained but with change in usage and floor plan. Instead of all open storage space, three bays were enclosed to accommodate a Transportation Office, Customs Secure Holding Area, Lounge/Meeting Room, Stevedore Office, Gear Storage Space and Toilet Facilities. Plans, Specifications and IFB was prepared under direction of EA by AmOrient Engineering with support from Coffman Engineers, Construction Management was by EA and the Construction Subcontractor was ProPacific Builder Corporation. Notice to proceed was issued in May 2013 and substantial completion was achieved in February 2014. Demolition of Selected Facilities: Most demolition of no longer needed facilities was wrapped into a single contract for execution by a specialist firm. It included demolition of Warehouse #2, and adjacent auxiliary structures, a Weigh Scale and Scale House, a Gas Station and Sewer Lift Station and Aeration Tank related to a former wastewater treatment plant. The scope also included modifications to the Breakbulk Freight Yard. Plans and Specifications were under prepared under direction of EA by AmOrient Engineering and TG Engineers. Construction Management was by EA. Construction subcontractor was Smithbridge Guam Inc. Construction commenced in August 2013 and was substantially complete in February 2014. Container Yard Extension with Added Port Facilities: This was the most significant of all the projects. GHD provided the detailed design for the water distribution system that

included an above ground cylindrical storage tank, a pumping station and network of distribution pipelines and fire suppression systems. Design of the new Terminal Gate complex, various Guard Stations, Load Center #5 (LC-5) with all Switchgear and three 500 kW standby Generators, High Mast light towers at New Container Yard and Breakbulk Freight Yard and underground power distribution system was by AmOrient Engineering with electrical and mechanical engineering support from Coffman Engineers. Design for the Extended Container yard including grading PCC paving and pavement markings, storm water management and oil/water separators was by TG Engineers. Construction Management was by EA and GHD. The execution subcontractor was Black Construction Corporation with Dean Bates as Project Manager. Construction commenced in April 2014 with substantial completion in October 2015. Port Authority Administered Projects In parallel with the foregoing, the Port Authority administered additional projects critical to modernization of the seaport. This included: 2012 Storm Drain System Repair including Concrete Trenches 2013 Computer Building and Central Traffic Control System 2014 Wharf Foxtrot, Berth F5 – Marine Service Life Extension (Structural Stabilization) 2014 CFS Building Repair Roof and Exterior Wall Cracks and Spalls 2014 High Tower and Low Tower Repair and Upgrade 2015 North Security Wall Repairs & Improvements

Projects Administered by Others Route 11 Realignment and Improvements to bring it up to current day standard and revision to traffic pattern. Included a new weigh bridge – by Department of Public Works History of Construction at Port Authority of Guam At the conclusion of World War II, the military and in particular the U.S. Navy had control of most governmental functions on Guam. The Government of Guam was given back control of the Commercial Port of Guam in 1951 as part of a larger transfer of authority that came with the establishment of the island’s civil government with the passage of the Organic Act. The navy leased twenty-four acres of land to the newly established local government to construct the port. This land was on naval property in the Inner Harbor and the navy continued to maintain strict control of all sea traffic, which was minimal at the time. Traffic began to pick up in the 1960’s, however, and by 1969 there were five different shipping agencies representing several shipping lines doing business on the island. Plans for a new harbor at Cabras Island began in 1964 when the Commander Naval Forces Marianas proposed that the commercial port be moved out of the Inner Harbor. Much of the money used to construct the new port came from the Guam Rehabilitation Act of November 4, 1963 which provided $45 million in federal funds to rebuild the island after Super Typhoon Karen hit Guam in 1962. Initial facilities included Foxtrot Wharf Berths F-2 and F-3 together with transit sheds alongside each. In 1966, sixty-two acres of land were JANUARY2016 | 11



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PREPARED REMARKS PAUL ‘CHIP’ JAENICHEN U.S. MARITIME ADMINISTRATOR PORT AUTHORITY OF GUAM RIBBON-CUTTING December 9th, 2015 Good morning. Hafa Adai! I have the distinct privilege of serving as Maritime Administrator of the United States.

View westward of the Extended Container Yard transferred from the navy to the U.S. Department of the Interior for the construction of a new port and industrial park at Cabras. Thirty acres were designated for the port and thirty-two acres were for the industrial park. In November 1964 the first contract was awarded to begin the dredging of the harbor and to fill in twelve acres of submerged lands. In 1969, this land was transferred to the government of Guam and the port facilities were turned over to the Government of Guam on June 24th of that year. 1970’s Era Improvements: Major improvements in the late 1960’s and early 1970’s was in three increments under the direction of Officer in Charge of Construction, Bureau of Yards and Docks for Government of Guam, MI. Increment One: Installation of sheet pile wall and tie back system for Foxtrot Wharf Berths F-4, F-5 and F-6; Dredging a channel and Reclamation behind the sheet pile wall for the Commercial Port; placing a surcharge fill at location of future Warehouse #2 and Container Freight Shed. Increment Two: Construction of the Administration Building, Snack Bar (which later became the Board of Directors meeting room), Gate House and Security Dispatch office, Supply Warehouse and Equipment Maintenance Building. Also, a Wastewater Treatment Plant with Outfall.

12 | JANUARY2016

Increment Three: Construction of a Transit Shed (Warehouse #2), Toilet Facilities, Containerized Freight Shed, Control Tower and Crane Rails for 50-foot gage container cranes. Also, yard area drainage system and paving, flood lighting system and paved road to Route 1 (now abandoned Route 11A). In 1975 the Port Authority of Guam became an autonomous agency of the government of Guam. Since that time, additional land has been transferred to the port authority so that it now controls over 1,000 acres in the Apra Harbor area. This land gives the port the capability to expand to meet future needs. 1990’s Era Improvements: Significant improvements were carried out in the early 1990’s under direction of the Port Authority of Guam. It included: Route 11 Realignment: The Route 11 alignment was moved to the North to provide additional space for the seaport and required construction of a seawall and reclamation along part of its length. Phase One: The container yard was extended to the east and the north, taking advantage of the area freed by relocation of Route 11. It required heavy grading and installation of additional drainage facilities, all within the confines of a new fence line. A new Gate House was built that included a power load center for new flood lights. The yard area was laid out for grounded

And it is my honor to represent The Obama Administration; Secretary Anthony Foxx; The U.S. Department of Transportation; and, all my hardworking colleagues at the Maritime Administration. In April of 2014—it was my pleasure to be here at the groundbreaking for this project. And today—there is nowhere else I’d rather be than here—as the completion of this project marks a historic day for Guam. It is a true honor to be a part of this long awaited ceremony. And I’d like to thank everyone that contributed to the completion of this project: Governor Eddie Calvo; Congresswoman Madeline Bordallo; Chairman Frank Santos (Port Authority Guam); General Manager Joanne Brown (Port Authority Guam); Dan Tydingco (former Board Chairman); Mike Benito (Vice Chairman); and, Ed Ilao. Thank you to our many stakeholders and partners at The Guam Legislature; U.S. Department of Defense; The Joint Program Office Guam; EA Engineering; Black Construction; and (of course) Brian Varney—MARAD’s on-site representative. As well as the many, many others that made this proud moment possible. Thank you! I think we all know that this is the first major expansion of Guam’s port in over a half century. And I’ll admit—some are saying “well, it’s about time.” But I’m not one of those people . . . Not at all! What I say is “you either do something right or don’t do it at all.” And as I look around at this: Pristine gate; Modern fire protection

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system; Improved electrical load center; Upgraded lighting; and the New and revived container and break-bulk yards . . . I have no doubt that we did this right! This is a $50 million commercial port improvement project . . . Done on-time and $2 million under budget. What’s not to like about that? And in the process—we’ve created a “how-to” guide for other ports! From the enabling legislation in 2009 . . . To getting the contract out in 2010 . . . And getting rolling with design and planning work in 2011 . . . We had a clear vision for this port and we came together to make it happen! Sure—there were some trials and tribulations . . . As there are in most every project . . . But we adapted and overcame some uniquely challenging circumstances. We strengthened communications. We aligned resources . . . Coordinated efforts . . . And advanced the agenda that we all believed in from day one of construction. And just look at where we are today: on the verge of marking a new era for not only Guam, but also for the Commonwealth of the Northern Marianas Islands. From here on out—the Maritime Administration is going to highlight Guam as the sterling example of how to accomplish port infrastructure projects . . . To every port looking to do the same back on the mainland. This is how you “do” a port modernization project.


outlying islands. And just as importantthis port will boost Guam’s stake in western safety and security. Guam has long been a key element in the U.S. defense strategy. But through this port modernization—Guam will strengthen its service and commitment to the cause of world peace. Not only will this port enable the movement of U.S. Military resources from other locations in the pacific to Guam . . . But it also has the capacity to meet virtually any and all DOD sealift requirements. And through these and other strategic port enhancements—Guam will enhance its fraternal bond with the U.S. This port will contribute to our sense of unity and will foster a more robust and progressive political exchange between Guam and the U.S. Federal Government . . . One that will yield enormous benefits for the territory. From economic progress to national defense—this port will serve and strengthen Guam for generations to come. And I couldn’t be prouder of the role that the Maritime Administration played in making it happen. But we couldn’t have done it without our many hardworking partners and colleagues here in Guam. And to all of you I say thank you—thank you for helping chart a prosperous course for Guam’s future.

INSIDER NEWS container storage using a Rubber Tired Gantry (RTG) system, plus chassis parking slots. Additional Reefer Slots were provided with power fed from Load Center #4 (LC-4). A water distribution system was built along with flush type fire hydrants. Phase Two: Upon completion of Phase I, the then existing container yard was to have been improved in line with what was done in Phase I but was only partially completed because of funding constraints. Funds were diverted to wharf repair following damage caused by the 1993 earthquake. A weigh bridge scale was built along with a wash rack. In Conclusion With thanks to all those identified above, Guam now has a world class seaport. One of the comments by Paul N. “Chip” Jaenichen, administrator of the U.S. Maritime Administration is most appropriate: “. . . the port can either be an enabling or limiting factor when it comes to the island’s economic health and ability to support redeployment of U.S. Marine Corps personnel, so we weren’t about to let it falter. The Jose D. Leon Guerrero Commercial Port’s many new facilities and tools . . . will in many ways unlock greater economic, trade and development possibilities for Guam.”

I look forward to seeing what this port can do!

And what a tool for the island! In many ways—this port will serve as a key that will unlock a prosperous future for Guam. These facilities will further establish Guam as a peerless transit and transfer center for the entire western pacific. They will triple Guam’s waterborne freight capacity . . . Bringing new products, services and experiences to Guamanians all throughout the island. This port will: Contribute to the economy; Generate employment; Meet trade needs; Augment logistics chains; and Drive commerce . . . For Guam and Micronesia, as well as the Marshall and

JANUARY2016 | 13



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Investing in Lighting by Shawn Gumataotao

There is no question that during these lean economic times, we all must do our part to conserve energy. With the recent crisis facing Guam's power grid, now more than any time in the recent past, must we as a community do what we can to protect the very precious resource of energy. We do have a new solar farm on-line in Dandan. We do have a plan for integrating wind energy in nearby Windward Hills. We also have seen the proliferation of small businesses selling residential rooftop solar photovoltaics to curb the rising prices of energy. For businesses, this issue has many talking and looking for solutions. This blogger believes that this discussion begins and ends with energy efficient lighting. Investing in great lighting can drive profits in retail spaces by highlighting key products and driving foot traffic to specific areas within stores to maximize sales. As the buildup on Guam gets underway and with tourism is on the rise, regular and new customers alike need to know what you have and will be directed to great product presenta14 | JANUARY2016

tion via great lighting. Switching to LED lighting alone will save up to 75 percent on energy costs. First cost issues are becoming less of a concern considering the cost of power in Micronesia. Installing lighting controls can save an additional 35 to 50 percent. The Consumer Electronics Association is reporting that lighting controls are becoming the favorite technology among architects and homeowners- tied as the No. 1 technology in terms of being specified by homeowners and architects to builders. In all, 53 percent of the time a lighting control system is installed because the homeowner or architect requested it. The "re-do" of the Guam Tropical Energy Code does address this and we all would do ourselves a collective favor by considering a controls strategy that best fits our respective homes, workplaces and business properties. The U.S. Department of Energy estimates that switching entirely to Light-emitting diode (LED) lighting over the next two decades could save $250

billion in energy costs in America and avoid 1,800 million metric tons of carbon emissions. There are a handful of Guam businesses that have since made the switch to LED lighting and are enjoying the cost benefits. But there are still many who use older and less efficient lighting systems and will continue to do so until their stocks are depleted. At that time, decisions will be made and we would encourage that the decision be made in favor of energy efficient lighting. Economics will drive the next steps on island for all, businesses and residents alike, to make a conscious switch to the use of modern lighting technology. Check out our website for energy efficient lighting solutions at or give GET, LLC a call at 671-797-0789. We are a provider of Independence LED Lighting and Deco Lighting Inc. products-Made in America!!!

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Asian Development Bank: March Business Opportunities Fair... A Must-Attend By John Aguon

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Rey Llaneta is on fire. Not literally. He’s just very enthusiastic about an organization called the Asian Development Bank, or ADB, as most will refer to it. While it is not well-known on Guam and United States businesses, it is now gaining notoriety for a single reason: ADB has money (lots of it) to use for the right entities or individuals, who will support the regional multilateral development bank’s reasons for spending it. Llaneta, a RE/MAX Philippines Broker/Owner, and the first one to own and operate a RE/MAX office in the Philippines, has been attending the ADB Business Opportunity Fairs since it first started hosting the now annual Business Opportunities Fair and believes it is potentially a great opportunity for Guam-based businesses, particularly, Guam contractors. So, he is presenting and promoting the ADB Business Opportunity Fair (BOF) on his own, as an initiative to other prospective vendors for ADB projects and ultimately, funding. Asked what he would gain from it, Llaneta replied, “I will gain the satisfaction of helping my fellow Guam business friends from learning more about opportunities beyond our island; to capture those great opportunities in the Philippines and Asia, and bring back big profits to our economy. As an economic adviser for the Governor, I want to help our fellow Guamanians learn more about our region and how they can participate in the economic boom that’s happening now. I just feel there is such great opportunities for us to capture, because here on Guam, it’s limited. We should look elsewhere


and “power-project” as we call it in the military, making Guam our “base of operations” while reaping rewards in other locations. Besides, ADB is based in the Philippines but handles member countries throughout Asia and the Pacific. We’re so near and the closest U.S. soil in the Asia-Pacific region. I believe Guam can become a strategic economic hub one day. While the ADB headquarters is located in Manila, the actual work projects are resident in the developing countries of Asia and the Pacific Region. Established in 1966, there over 67 partnership countries, serving 42 client countries, with 28 offices worldwide. ADB espouses a 2020 strategy with a Vision: Asia and the Pacific free of poverty. Supporting this vision, ADB focuses on core operations of Infrastructure, Environment, Regional Cooperation, Finance Sector, and Education. And utilizes the following Drivers of Change: Private sector development and private sector operations, Good governance and capacity development, Gender equity, Knowledge solutions, and Partnerships. Regarding some near-client recipients of ADB project funding, Llaneta cites the CNMI, FSM, and the Marshalls.Vanuatu. “These are island locales, so our contractors are familiar with the culture.” Locally, then, projects are in our neighborhood. So, why not explore those channels which may have unrealized work in view. One important note for contractors, funds to pay for the projects come direct from ADB and not from the countries they are assisting.

Jeff Gonzalez, President of Lyon Assaicates Inc.; Jim McCarthy, U.S. Amabassador to ADB; Rey Llaneta; and Cecilia Santos, Commercial Specialist, U.S. Department of Commerce.

JANUARY2016 | 17



Llaneta splits his time between his Guam (consulting) and Philippines (real estate) operations almost equally each month, and sees the ADB opportunity as real, and doable for Guam businesses. “Potentially, it has a benefit to Guam’s economy as our local enterprises succeed in doing business abroad. It is something worth looking at. At the BOF, there are so many other contacts, resources, and opportunities to be made and nurtured.” The 7th Annual Business Opportunities Fair 2016, takes place on March 16-17, at Asian Development Bank Headquarters, in Manila, Philippines. The deadline for online registration is Feb. 10th. Go online: See the website for more information about ADB, the BOF, and a host of other of this massive funding source. As Llaneta further stated, “The participation from the U.S. businesses is still small. That’s why I think it’s very open for Guam/U.S. businesses to get in. ADB is very welcoming, and their resources are quite vast.” Essentially, this fledgling state makes an ideal incubator for the willing entrepreneur for which to venture. Llaneta likened the ADB to U.S. federal government contracting entities such as NAVFAC, where there are resources, regulations, protocols to adhere to when responding to RFP’s or RFB’s. “It’s structured and orderly, like the federal system, but there are surely differences. But, there are an abundance of counselors and resources to support these vendors and suppliers of goods and services along—huge and helpful resources.”

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accommodations for 2 days. That’s it. And it’s(BOF) is free. Even if you send just one person over to scout it. It’s worth it.” In addition, there will be two scheduled networking cocktail events, one sponsored by ADB and the other by the U.S. Commercial Services (U.S. Embassy-Philippines) open only for U.S. companies. Both events are free to attend. As a closing mental note: over the next 8 to 10 years, or thereabouts, the Department of Defense will channel about $8 billion and change to Guam. Compare that to the ADB’s 2014 $8.2 billion funding pool—1 year. And, it will get better. You should attend this ADB event. It’s a true opportunity. If you haven’t yet done so, register yourself or your company on LinkedIn, as this professional social network is a well-used network for ADB resources and participants. If you have questions, go to the website at, or contact Llaneta at or call or text him at (671)483-1530.

At the March BOF, the program for the 2-day event is filled with: One-on-One meetings, Participant Networking, ADB staff intros for Procurement, Consulting, PM, Sector Specialists, etc. Overviews on ADB’s Loans, Technical Assistance, and Grant Pipelines for a variety of sectors. Resource speakers will cover wide-ranging ADB-related operations and activities. As note: THE BOF IS A FREE CONFERENCE. As Llaneta puts it: “The price of an airline ticket and 18 | JANUARY2016

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Dusit Thani... Guam's Own, by Pacific Rim An Interview with Pacific Rim’s, Keith Stewart-President By John Aguon There is something kind of galactic about Guam’s latest hotel addition. And while you are at the base of the Tumon hotel strip epicenter, sandwiched between existing operating properties of Outrigger Hotel and Underwater World, there juts out a marvel, albeit, a historic and amazing hospitality edifice called Dusit Thani. It is the completed and exceptional work of Pacific Rim. Hired on, along with his company, Keith Stewart, president, and head banner-bearer for this feat, led the charge starting in the latter part of July, 2013. It wasn’t something he was looking for, but as the stars and planets began their alignment on this soon-to-be local construction wonder, he succumbed to the gravitational forces and got swept into the orbital draw. He, and, of course, Pacific Rim, was in. As Stewart began his account of the project, his rhetoric seemed strikingly familiar to what I had encountered in previous marriage seminars. Words like challenges, expectations, relationships, etc. You know, those terms spouses bring up when you’re not listening. I digress. A veteran of hotel construction, having worked in locales like the Caribbean, and stateside, in San Diego, Stewart had an exceptional portfolio of construction successes, and as he would realize with the Dusit Thani, he would need those “references” to muster through the complexities and maze of plans, and expertise, and resources needed to accomplish showtime expectations of his owners and hotel operator. It had to be, surely, a pressure-cooker environment for all involved, but that also contributed to the achievement this project gestated. In the thick of if, right things, along with some not-so-right things, happened. Stewart illustrated, “We would need a certain number of craft people to complete a particular scope of work. And, they would be available. Then, as the work neared completion, they would move on to another job site or another company. That was indicative of how things would go. It wasn’t accidental, but many situations just worked out.” Citing the amount of self-performed work, around 50%, that they had to do, he comments, “In many of these situations we just had to self-perform, because we just could find the right crew to accomplish this or that.” One thing crystalized in the interview with Stewart; he seemed to espouse some primal kind of work ethic, and as evidenced in the final work product (Dusit Thani), it had to be in whole, part of the Pacific Rim DNA. In many ways, over 600 of them, Pacific Rim’s worker force, a tour de force of sorts, was an unadulterated fully 100% local-hire team of Guam’s fathers, 20 | JANUARY2016

sons, moms, sisters, brothers, uncles, aunties, and friends. As Stewart puts it: “Guam’s community built this hotel. 100%.” Therein is some of the wonder and historical relevance. No H2’s were employed by Pacific Rim at all. As the locals’ might proclaim, “Guam’s own.” No matter how you slice that kernel of fact, that is something we all should be appreciative of—“Guam’s own.” Given the steep demand for labor to outfit the current and future Guam Military Buildup projects, that 100% local-hire factoid, will remain one of the wonders ascribed only to Guam’s largest constructed commercial building—Dusit Thani. Also, key to their work ethic are some stated core values: Honesty, integrity and accountability. Stewart seems tuned into those values, speaking well of his team and their collective contribution to this Pacific Rim success outcome. He quickly defers the kudos to two of his key team members—Tony Costa, General Superintendent and Vic Gonzales, Mechanical and Plumbing Manager. “While I acknowledge these folks, our team members were all outstanding, and I was quite proud of what they and our subcontractors accomplished at Dusit Thani. This project would not have been possible without the concerted and cooperative effort of the team.” Meanwhile, some notes about the hotel itself: It is Guam’s first five-star resort consisting of 31 stories, 419 guest rooms, specialty suites, 20,000 square feet of meeting space, the Dusit Thani Hotel is the largest building on Guam has the largest grand ballroom with banquet seating for 980. The hotel includes six VIP suites with private patios and pools, large beachfront pool and bar, three restaurants, a cafe, spa, onsen treatment center, executive lounge and fitness center. Having completed the Dusit Thani, Stewart sees a ready place for Pacific Rim in the region. “While we will engage in other future activities, we will continue to build our Pacific Rim brand as our mainstay, completing both construction and development.” As he explains they are interested in pursuing other projects, “Probably, distinguishing ourselves by our ability to construct and develop large projects. We know how to do large projects. But, we are still a family-owned small business, still agile, meeting the needs of the client, with local decision-making. And, we will focus on creating alliances with large U.S. and local contractors.” And, what a great “demo” of the possibilities you can expect from Pacific Rim in the Pacific Rim. Stewart comments, “This building really belongs to the people of Guam. They will have anniversary dinners here, they’ll celebrate with their families, they’ll be utilizing these facilities.” He was glad to have been a part of it, especially, organizing and working with the local team. You know, “Guam’s own.”

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; Joseph, Jayme L; Joseph, Olter; Joseph, Raymond L; Joseph,

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Renato M; Stephen, A. R.; Stephen, Total A.R. ; Stewart, Anthony;

Lugto, Andres; Lugto, Jay-R; Lujan, Ryan; Lujan, Shawn;

Ambrosio A. ; Patio, Ernesto; Patio, Ernesto S. ; Paul, Achson;

Stewart, Keith J; Stewart, Sandrine C; Sual, Juanito C; Sual,

Lumanog, Noel; Lumba, Silvestre C. ; Lumbres, Sid P. ; Lusung,

Paul, Marvin; Paul, Ronald W; Paunte, Jacob; Payumo, Jomel C.;

Sotero C; Suarez, Manuelito V; Sugbo, Danilo Redido; Suka,

David; Lzama, James; Mabayag, Jorenz F; Macaalay, Julio M;

Peiso, Emerson; Pelep, Artony ; Pemesa, Michael; Penaflorida,

Iorichy; Sula, Alvin; Suyematsu, Cameron; Suzuki, Hiromasa;

Macaldo, Ronnel M. ; Macapagal, Enrico; Macedonio, Joel E. ;

Normandy I; Penaranda, Ronald; Penikinos, Seiko M; Pepito,

Suzumu, Saltrigo; Suzumu, Saltrigo; Tablan, Danny; Tacubanza,

Madlangbayan, Ernest; Madriaga, Arwil; Madriaga, Celvin;

Rube; Peralta, Carlos M; Peredo, Markie; Perez, John P.S.; Perez,

Romeo; Taisague, Jose; Taitague, Ryan; Taitano, Jarred C; Taitano,

Madriaga, Celvin L. ; Mafnas, Joray ; Mafnas, Christopher;

Keith S ; Perez, William; Perlino, Alfons; Petrus, Kory; Piazza, Tom;

Jordan C; Taitano, Larry; Taitano, Lucas; Taitano, Patrick John F.;

Mafnas, Joray; Mafnas, Joseph T; Mafnas, Monte; Magadia,

Pineda, Lordelito A ; Pineda, Nestor G. ; Pineda, Robal;

Taitano, Roy ; Taitano, Vincent S; Talabong, Jay-Ar; Talisaysay,

Exequel; Magcalas, Antonio; Magno, Robert; Mailo, Paskal P;

Pinongcos, Reme; Piper, Jeffrey; Pius, Stany; Poblete, Virgilio S;

Eleo; Tam, Phillip ; Tambora, Rio Ashley O.; Tan, Eduardo M. ;

Mairu, Bem ; Makaya, Leeroy; Maknor Simichy; Malilay, Cheryl

Politi, John P; Ponsber, Salomon; Ponun, Jowino ; Pouk, Jerome

Tapang, Alfredo; Tapia, Edgardo Jr M.; Tarin, Charlie U; Tedtaotao,

Lee; Malit, Alfredo N; Mallari, Alvin M; Mamac, Romeo; Manalac,

J. ; Pouk, Jim M. ; Powell, Russell ; Prado, Abelardo; Prado, Hart;

Ervin; Tenorio, Alberto; Tenorio, Eric P; Teodoro, John A; Terlaje,

Francisco; Manalac, Mariano M. ; Manalac, Noel E; Manalili,

Precilla, Eduardo L. ; Prichard, Mike; Primo, Alpa; Primo, Dyron;

Dwayne; Terlaje, Roland; Tesei, Harry; Thomas, Joby; Tiglao,

Diosdado; Manalili, Juen; Manalili, Reynaldo; Manalo, Raymond I. ;

Primo, Raynard; Pritchard, Allen; Quemado, Jon Kenneth F;

Ponciano L; Timothy, Erwis ; Timothy, Jason R; Tindugan Jr.,

Manansala, Eduardo; Manantan, Claro P; Maneclang, Daniel C;

Quenga, Joseph; Quiambao, Andrew; Quiambao, Edgar;

Ulpiano M; Tinoso, Melvin E; Tiong, Abraham; Tmichol, Francisco;

Manglona, Jose A.; Manibusan, Eric; Manibusan, Ernie;

Quiambao, Eloy; Quiambao, John; Quichocho, Bo; Quichocho,

Tolentino, Angelito Y; Tolentino, Darwin V; Tolentino, Dorlan;

Manibusan, Raymond H; Manibusan, Roland L; Manlucu, Dennis

Jessie; Quichocho, John A; Quichocho, Manny; Quidachy,

Tolentino, Romeo H; Tolentino, Romeo H. ; Tongol, Arturo Q;

L. ; Manlulu, Dennis; Manlulu, Rick; Manner, Erman; Manreal,

Mondray; Quijano, Gilberto A.; Quilantang, Joseph G; Quilit,

Topasna, Jacob ; Topasna, Junior B.; Torbeles, Andro B; Torres,

Ralph; Mantanona Jr., William ; Manuel C. Serrano; Manuel,

Romel; Quinata, Gary; Rachunap, Kinin; Ragadio, Ronald; Raisy,

Arnel L; Torres, Christopher E. ; Torres, Hector; Torres, Juanito O.;

Armando; Manuel, Edgar; Manuel, Hymler; Manuel, Ronald;

Rusty; Ramirez, Ernesto C; Ramirez, John; Ramirez, Richard E;

Torres, Ramil D. ; Torres, Ron; Travis, Jody A; Tuazon, Dave; Tullao,

Maramias, Froilan; Marasigan, Bernard; Marasigan, Donato;

Ramirez, Rolando P ; Ramos, Sammy D. ; Randels, Gary;

Leonardo; Turla, Carlito; Ugalino, Richard F; Ulloa, Joshua Jerome

Margazuno, Zachary P; Marges, Danny A; Marges, Efren A. ;

Rangpwul, Jerome; Raposa, Brian; Rapues, Bjorn; Raymond,

C; Usher, Braden J; Valencia, Crisanto G; Valencia, Eduardo A;

Mariano, Francisco A; Marinel, Alexandru; Mario, Bernard; Marius,

Denes; Raymond, Ten-K ; Raymond, Tenry ; Razuan, Circiumaru;

Valencia, Gardy; Valencia, Jayson; Valencia, Jayson M; Valencia,

Suteu; Marquez ,Cesar; Marquez, Danny P; Marquez, Kerry;

Rebamonte, Arnold N.; Rechelaup, Kastino ; Red, Jan Bryan;

Jerald; Valencia, Jimmy; Valencia, Rodrigo; Valenica, Enrique;

Martin, Allan; Martin, Kester; Martinez, Angel; Martinez, Orlando C;

Redona, Zaldy; Redota, Jerry SC ; Refalopei, Sinakto ; Remoket,

Valsote, Rolando; Vawter, Enrique; Vawter, Tammy; Velasco, Judy

Masis, Mori; Mathews, Bryan; Maton, Nameseni ; McCarrel, Joe;

Fenton; Rengiil, Marino; Renuk, Boifasio; Resepy, Ripen; Restituto,

I. ; Velasquez, Donato S; Velez, Alexander; Veloria, Ray; Ventura,

McCord, John A; McDonald, Shannon; Medina, Edmond; Medina,

Angeles; Reyes, Benito; Reyes, Danilo S. ; Reyes, Justin Rafael P;

Nehemiah; Verango, Eliseo; Vergara, Dominador; Vergara, Michael;

Emilio; Medina, Richard; Meihter, Eukenio; Meija, Romeo;

Reynolds, Ross; Rikat, Arfin; Rivera, Chito P; Rivera, Jose P;

Vergara, Oliver; Victor, Mario E; Victorino, Bigtas; Vierra, Clyde H;

Mendioa, Andrew; Mendiola, Dan; Mendiola, Domingo; Mendiola,

Rivera, Sergio; Robison, John ; Rocketson, Kenit; Rodrigo, David;

Villagomez, Antonio M; Villagomez, Jane B; Villagomez, Juan;

John Paul S; Mendiola, Rudolfo; Mendiola, Ysu; Mendoza,

Rodrigues, Juan; Rodriguez, Kohber; Romias, Michele; Ronquillo,

Villagomez, Justin; Villagomez, Mathew; Villamanca, Jerry;

Alejandro; Mendoza, Edwin; Mendoza, Melanio; Meneses Jr.,

Vincente; Rosal, Daniel; Rosal, Danny; Rosal, Lefoldo; Rosario,

Villamayor, Frank; Villamor, Arnil; Villanueva, Anthony; Villanueva,

Juan; Meneses, Albert ; Meneses, Rafael; Meneses, Wilfredo;

John ; Rosario, Kelly; Round, Jayson ; Roxas, Esperidion; Ruben,

Eric; Villanueva, Kristopher J. ; Villanueva, Luis A. ; Villanueva,

Mercado, Efren; Mercado, Rodrigo T; Mercado, Roosevelt;

Renta; Rudolph, Samuel; Rufes, Kapriel; Rufes, Mark G ; Rugante,

Mario R; Villanueva, Rogelo; Villaverde, Samuel; Villena, Cozette;

Mercadoe, Jose Jr; Merola, John; Mesa, Haani; Mesina, Robin B;

Donovan R; Saavedra, Alberto; Sabiaga, Ceilito E ; Sablan,

Vincent, Takashy; Viore,l Stoian; Vistro, Jomare; Vitug, Gerardo M.

Messier, Joanne; Metek, Jaimelee ; Metiao, Marvin; Miaco,

Christopher H; Sablan, Frankie; Sablan, Jason; Sablan, Jason R;

; Vitug, Jasmin Ruth M; Vitug, Marcelo ; Vitug, Nelson; Vitug,

Freddy; Miguel, Archangel C. ; Milk, Rambo ; Millanes, Carlito;

Sablan, Lawrence E; Sablan, Mathew; Sablan, Ralph; Sablan,

Romeo; Wada, Matthew R; Wan, Jay; Wei, Rong Liu; Wells,

Miller, Thadeous; Miller, Thomas R; Milson, Tobi; Minik, Ery ; Minor,

Ramon; Sablan, Shaun; Sachuo, Esuo; Sagun, Albert; Sahagon,

Annette; Wihsen, Damian; William, Busa; Williams, Grant ;

Michael A; Miraflor, Reynaldo; Miurha, Ritem; Moni, Eddie M;

Clemente; Sahagon, Rhoann; Sahagon, Ruben ; Sainar, Three;

Williams, Scott; Williander, Wakatany; Willlis, Joyson; Willy, Chuck;

Montoya, Gerardo; Montoya, Severino S; Morales, Francisco;

Salas, Hankl; Salas, Jeremy; Salas, John; Salas, Joseph A;

Willy, Kimioshy; Wirges, Michael; Wolford, Clifford; Wright,

Morales, Raulito C. ; Morales, Ronilo R.; Mortel, Riyadee; Moses,

Salazar, Clarence; Salazar, Jesus; Salazar, Marvilyn; Salcedo, Allan

Megumi; Wright, Robert A; Xin, Quan Ma; Xing, Ji Hong; Xing, Jian

Anderson ; Moss, Jonathon; Muhi, Dennis; Muna, Branden ;

S. ; Salonga, Cesar; Sals, Joseph; Salvador, Edmond I; Salvador,

Biao; Yabut, Vigilio; Yai, Yar; Yamaguchi, Keo; Yammie, Arthur;

Muna, Bonificio; Muna, Francis G; Munoz, Marlon S ; Munoz,

Patino ; Salvador, Vicsalito D; Sam, Lance; Samson, Francis;

Yates, Jeffrey; Yelenich, Steve ; Yrofalfi,l Joseph; Yugmag,

Orlando; Munoz, Ray; Musngi, Emilio; Musngi, Jovan B; Mutuc,

Samuel, C-H; Samuel, Elwel; Samuel, Kivett C; San Agustin,

Ignatius; Yumol, Arturo; Yumol, Francisco V; Zacarias, Richard;

Primitivo; Mwareluk, Kesefat ; Nachuo, Tomichy F; Naguit, Jay;

Arthur ; San Agustin, Annette; San Agustin, Jesse; San Jose,

Zapanta, Danny P; Zapanta, Verne; Zhang, Guang Sheng; Zimlich,

Nakamura, Kirishino; Nakamura, TN; Namwen, Chofat; Nanali,

Carlito B; San Nicolas, Joshua; Sanchez, Peter; Sanchez, Randy;

Jennifer; Zimlich, Jeremy

Alejo; Napo, Christian A; Naputi, Jenica L; Natividad, Nicolas;

Sandiago, Louis ; Sanga, Hernan P; Sangau, Nickson; Santiago,

22 | JANUARY2016

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Mine Act Training In October 2015, representatives of the Mine Safety and Health Administration (MSHA) held a stakeholder meeting with the mining industry in Guam. Thank you to all who were able to participate. For those unable to attend, I want to take this opportunity to provide some general information about MSHA and the Agency’s next steps for implementation of the Federal Mine Safety and Health Act of 1977 (Mine Act) in Guam. The mission of MSHA is to administer the provisions of the Mine Act and to enforce compliance with mandatory safety and health standards as a means to eliminate fatal accidents; to reduce the frequency and severity of nonfatal accidents; to minimize health hazards; and to promote improved safety and health conditions in the Nation's mines. MSHA carries out the mandates of the Mine Act at all mining and mineral processing operations in the United States and the US Territories, including Guam, the Commonwealth of the Northern Mariana Islands, Puerto Rico, the Virgin Islands and American Samoa, regardless of size, number of employees, commodity mined or method of extraction. The Mine Act requires MSHA to inspect surface mines at least twice a year and underground mines four times a year. MSHA also performs other important mandatory activities under the Mine Act including: • Investigating mine accidents, hazardous condition complaints, knowing or willful

24 | JANUARY2016

(criminal) violations committed by agents of mine operators, and petitions for modification of mandatory safety standards; • Expanding programs for the education and training of miners, operators and agents; • Reviewing mine operators' mining plans and education and training plans for approval; and • Approving and certifying the design of certain mining products. Additionally, MSHA protects the rights of miners under the Mine Act. If you are a miner, you have the right to: • Be protected against discrimination when you exercise your rights under the Act, including reporting violations and unsafe conditions at any mine; • Request an inspection of your mine when you believe that an imminent danger, a violation of the Act, or a violation of a safety or health standard exists; • Be informed of, and participate in, enforcement proceedings under the Act; and • Receive health and safety training during your normal working hours and to be paid for that time at your regular rate of pay. In the next few months, representatives from MSHA, Metal and Nonmetal Mine Safety and Health and Educational Field and Small Mine Services (EFSMS) will be conducting training

sessions to help operators, contractors and miners understand the requirements of the Mine Act and what they need to do to ensure their mines are in compliance. After this training period, MSHA inspectors will provide information on Compliance Assistance Visits to further assist operators and contractors prepare for implementation of the Act. In the meantime, if you have any questions, please feel free to contact: Wyatt Andrews, MSHA Western District, District Manager 707.447.9844 or Andrews.Wyatt@DOL.GOV or Kevin Deel, MSHA, EFSMS Manager 202-693-9585 or Deel.Kevin@DOL.GOV Also, please take time to visit MSHA’s website at for additional information. We appreciate your participation and engagement and look forward to working with you all to enhance safety and health of mines and miners in Guam. Sincerely, Neal Merrifield

Administrator, Metal and Nonmetal Mine Safety and Health Mine Safety and Health Administration


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Mine/Quarry Operators, Contractors That Conduct Work at Mine/Quarry Sites and Safety Trainers The mine safety and health administration (MSHA) will begin inspection activities on October 1, 2016 of all mine/quarry sites within the Pacific Territories Region. MSHA’s Educational Field and Small Mine Services Group (EFSMS) will be conducting training sessions to help mine operators, contractors and miners learn the requirements of the Mine Act, 30 Code of Federal Regulations (30CFR) and what they need to do to ensure their mines are in compliance. This training will consist of two modules over a two week period. Module 1 – Week One: “Comprehensive Training”; this first week will consist of 3 days of comprehensive training in a number of areas to educate mine operators and contractors on how to become compliant with MSHA regulations. This module will be geared towards mine operators mine managers, safety personnel, supervisors and trainers. Classes will include training in: • Federal Code of Regulations • Mine Act • Program Policy Manual – This manual contains guidelines that MSHA inspectors will follow when conducing inspections • Work Place Examinations • Competent Person Duties and Responsibilities • Hazard Recognition • Highwall and Spoil Bank Safety • Task Training • Guarding • Safety Programs • PPE ( personal protective equipment) Module 2 – Week 2: “Train the Trainer”; this module will consist of 3 days of Train the Trainer Classes. This week is designed for people interested in conducting training of miners. This is three days of classroom training to teach individuals how to train miners for compliance with 30CFR Part 46 training regulations. Individuals interested in becoming “Trainers” should attend both modules 1 and 2. There is no cost for any training. You can bring as many participants as you wish. Training dates: To Be Announced To reserve a space please contact:

Kevin Deel Educational Field and Small Mine Services Manager 202-693-9585 office 571-245-4561 cell

JANUARY2016 | 25



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New Year’s Resolution for Contractors: Get Out of the Construction Business

That may seem like a strange resolution for a contractor. However, it might be the best advice you ever receive. How many people do you think wake up in the morning and say to themselves, “I can’t wait to hire a contractor today?” If you do service work, it’s even worse. No one wakes up and say. “I hope something breakdown today, so I can hire a contractor.” Of course, individuals and businesses often must hire a contractor. The problem with that is when people are forced to do something they don’t want to do, they usually want it as cheap as possible. Now do you understand the problem with the typical contractor’s business plan? They are trying to sell something no one wants, and if they are forced to buy it, they want it cheap. Maybe this explains why the construction industry has one of the lowest returns on investment (ROI) of any industry. For example in the middle of the largest construction boom in history, Forbes magazine reported the ROI for the construction industry was 9.6 percent compared to 16.7 percent for all industries. Before you panic I’m not suggesting that you stop building things because that’s what you do, but you are not in that business. You are in the business of providing solutions to prospects with the aim of turning them into long-term clients. The

26 | JANUARY2016

difference is when people wake up with a problem, they want to fix the problem and price is typically not the most important issue. Professor Philip Kotler of Northwestern University wrote, “It [marketing] is the art of identifying and understanding customer needs and coming up with solutions that satisfy the customers and produce a profit for the stakeholders.” Further, Peter Drucker, the father of business consulting, made an even greater observation. He stated, “Because the purpose of business is to create a customer, the business enterprise has two – and only two – basic functions: marketing and innovation. Marketing and innovation produce results; all the rest are costs. Marketing is the distinguishing, unique function of the business.” In other words, the business that contractors must think of themselves in is identifying and understanding customer problems and then using their knowledge to develop an innovative or superior solution to resolve the problem. Unfortunately, the typical contractor makes a few mistakes that have dire consequences. First, too many contractors attempt to sell construction services, instead of the solutions their services can provide. Keep in mind the customer is not interested in the process of getting

to the solution, they are interested in the solution. Even more specific – will the proposed solution do what the client wants? It doesn’t matter how great a job you do building something if it doesn’t solve the customer’s problem you have a problem. Another group of contractor doesn’t even do marketing; they merely respond to requests for bids. The number one reason projects fail is because of a lack of a clear definition. Unfortunately, too many people believe that plans and specifications define a project. Plans and specification only describe what the contractor must do, they don’t explain what the desired outcome is supposed to be. It’s even worse for the contractor is when you consider everyone is bidding on the same thing. The reason is prospects think the construction services are a commodity and, therefore, tend to select the contractor solely on price. Competing solely on price is the worst way to obtain business, which may explain why 95 percent of contractors go out of business and contractors fail faster from startup to bankruptcy than any other industry. Another problem is that too many contractors misunderstand what marketing is. They believe it’s about advertising and letting the world know about their

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business. True, some outbound marketing is needed, but most forms of outbound marketing in the construction industry is very ineffective at best. However, what Drucker was talking about was market research – identifying and understanding the prospects problems. With this information, the contractor can make a proposal that targets the prospects problem with a unique solution. In essence, it’s about delivering superior value. If you make it a habit of delivering superior value to clients, your outbound marketing will take care of itself in the form of word-of-mouth marketing. In other words, your past client’s will spread the word for you. In fact, word-of-mouth marketing is the most powerful form of marketing, because a third party is stating why the contractor is great, instead of the contractor pounding its chest that leaves everyone skeptical.



with the hospital, the contractor asked how many nurse’s stations they needed per floor. The administrator responded, “Our normal practice is 20.” The head nurse burst out with, “But we only use three.” The administrator was surprised and turned to the contractor and asked, “How much does each of those stations cost?” The contractor’s response was around five thousand dollars each. The administrator suddenly realized they had been wasting $85,000 per floor in their hospitals. The contractor’s experience allowed them to ask a simple question that saved the hospital over $500,000. That’s finding a superior solution and helps to get great word-of-mouth marketing.

"Ted Garrison, president of New Construction Strategies, is a catalyst for change. As a consultant, author, speaker and radio host, he provides breakthrough strategies for the construction industry by focusing on critical issues in leadership, project management, strategic thinking, strategic alliances, and marketing. He can be reached at 800-861-0874 or by email at For further information see his web page at"

The next few monthly additions of the Garrison Report will expand on this topic and offer strategies to help contractors to compete on the value of better solutions that address the client’s needs.

Of course, identifying and understanding client’s problems is not easy as it takes hard work, but it’s certainly better than the alternatives, especially if you want to increase your company’s profitability. One method to make the process easier to specialize in the types of work you perform. For example, if you work on hospitals you need to become an expert on how hospitals operate so that you understand the challenges hospitals face with their facilities. This knowledge allows you to develop innovative solutions that set your firm apart from the competition. The advantage is that often if one hospital has a problem, others have the same or a similar problem. A word of caution though is necessary. Don’t appear to have an off the shelf solution, even if that’s what is needed because customers think their situation is unique. You can emphasize your experience with other hospitals and then say, “However, based on what you describe, we would suggest the following to address your specific problem.” Again, it may be the same solution as down the street, but don’t say that. An example on how the above approach might work. In an interview with a contractor, he told me the following story. They were working on a new hospital plan, and the contractor noticed that there were 20 nurse’s stations on each floor of the hospital. That number seemed excessive to the contractor based on its experience with other hospitals. So in one of the meetings

Comprehensive Inspections Offered For: Heavy equipment, Cargo containers, Above-ground storage tanks, Structural welds

Relevant Heavy-Equipment Operator Training Rigging, cranes, excavators, forklifts, aerial lifts, bucket trucks, etc.

OSHA Safety Training and Onsite Consultations

Welder Qualification Testing Boomtruck Rental Special Projects Accredited Maritime Crane Inspector per OSHA 29CFR1919

General Contractor

Tel: (671) 653-5501 ‡

JANUARY2016 | 27

30 | JANUARY2016 Welder Welder - Fitter Electrical Drafter








4 1 2 22 1 1 1 0 4 1





Electric Motor Repairer

CT Tech


Chemotherapy Registered Nurse

Heavy Equipment Mechanic

OR Registered Nurse Inventory Control Manager Japanese Specialty Cook Landscape Gardeners OBGYN Registered Nurse Les Mills Certified Instructor Machinist Marine Maint. Machinist Marine Maint. Mechanic MRI Technician

Massage Therapist

Assistant Solar (PV) Installer

1 1 1 1 1 1 1 1 3 5

Electrical Drafter Guest Relations Host Biomedical Equipment Specialist Specialty Chef Thai Automotive Mechanic Auto Body Repairer Tech. OSH Instructor Market Analyst HVAC Mechanic AC Maintenance Tech



1 2 4

0 0 1


Quality Inspectors

Radiologic Technician

Restaurant Manager Refrigeration & AC Mechanic

Shipfitter Sous Chef Executive Asst. Mgr. F&B

Specialty Cook Italian Cuisine

Scuba Dive Instructor






General Maintenance & Repairer

HVAC Mechanic

Heavy Equipment Mechanic

5 7

Surgical Registered Nurse Maintenance Worker, Machinery

Total Non-Construction H2-B Workers


0 0 6

NICU OB Registered Nurse

Project Manager Quality Control Inspector Tower Crane Operator


Pediatrics Registered Nurse Executive Chef Painter/Blaster Med/Tele Registered Nurse

TOTAL Construction H-2B Workers

Total OTHER Construction


Project Supervisor


Cardiac Cath Registered Nurse





0 0 1








Field Supervisor



Electrical Power Lineman Estimator

0 1



11 5

Civil Engineer Construction Equipment Mechanic

AC Maintenance Tech



Other Construction Occupations AC& Refrigeration Mechanic AC& Refrigeration Technician Architectural Drafter

Birthing Registered Nurse



Med-Surg OR Registered Nurse ICU Registered Nurse


ER Registered Nurse





Figaro Coffee Shop Spvr

NICU Registered Nurse



Maintenance Electrician

Elec./ Electronic Service Tech




Crew Leader


4 7



23 0

Employers Workplace Monthly Report Statistics

Wedding Service Attendants

Ultrasound Technician

Baker Mechanic

Specialty Cook Shipwright / Carpenter

Other Non-Construction Occupations

4 10 1

Auto Repairer Baker

GUAM DEPARTMENT OF LABOR Alien Labor Processing Certification Division


Heavy Equip. Operator


Total Common Const.


Grand Total H-2B Workers





Total U.S. Workers

Grand Total H2B Workers

Korea Thailand 0.42% 0.36%







7.40% 0.37%

Other 0.00%

Peru 0.06%

Prepared By: Sherine Espinosa 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


Cement Mason






United Kingdom





United Kingdom 0.12%

Kiribati 0.12%


Common Construction Occupations

Philippines 98.50%

Japan 0.36%

Australia 0.00%

Italy 0.06%

H-2B Population by Nationality








US Workers vs. H-2B


Total U.S. Workers




Total H-2B Employers




Employers By Industry

1644 7 6 2 2 0 1 1 6 0 1669

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

Workers by Nationality

100 5

Camp Cook



7 38

529 169

Plumber Sheetmetal Worker

Structural Steelworker

Reinforcing Metalworker

Common Construction Occupations 469

Cement Mason Carpenter

MONTH ENDING: November 2015


by Shawn Gumataotao

Your Exclusive Guam Dealer

6 1 0 2




2016 GCA Membership Directory BUILDINGFor GUAM TODAY FOR Acontact BETTERAdztech TOMORROW more information at:

Tel: 477-1239/2239 Email:

GCA Construction News Bulletin January 2016  

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

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