GCA Construction News Bulletin August 2025

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Over 23 cleanup locations across the Island to choose from!

SATURDAY, SEPTEMBER 20, 2025

Showtime: 6:30am for most sites

• Register Now at: https://bsp.guam.gov/gicc2025/

• Trash Bags and Gloves are provided.

• Free T-Shirts for Participants (While Supplies Last)

• Service Learning Credits Available for Students!

Need More Information? Interested in Becoming a Sponsor?

Contact Steven Dierking at the Guam Coastal Management Program: 671-475-9647 or email steven.dierking@bsp.guam.gov | bsp.guam.gov/gicc2025/

THEDIRECTORS THEEDITORIALS

PRESIDENT

Desiree Lizama

Guam Contractors’ Association

IMMEDIATE PAST CHAIRMAN

Joe Roberto East Island Tinting

CHAIRMAN

Matthew Hunter Dylan Mechanical Construction Services

VICE-CHAIRMAN

Kathleen David Pacific Rim Constructors

SECRETARY / TREASURER

Soraya Vongjalorn Vertex Guam

CONTRACTOR DIRECTORS:

Dean Bates Black Construction Corporation

Nadia Holm ECC

John Limtiaco Pacific Unlimited

AJ Perez Hawaiian Rock Products

Randolf Salas Proferre

ASSOCIATE DIRECTORS:

Mark Cruz Mid Pac Far East

Jose Garcia First Hawaiian Bank

Geraldine Leon Guerrero Adztech Advertising and PR

Camilo Lorenzo Matson Navigation

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.

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 506 Mariner Ave., Barrigada, Guam 96913

To find out more about how you can become a GCA member contact Guam Contractors’ Association at Tel: (671) 647-4840/41 or Email: info@guamcontractors.org www.guamcontractors.org

Postmaster: Send address changes to Guam Contractors’ Association, located at 506 Mariner Ave., Barrigada, Guam 96913

THETEAM

PUBLISHER: Desiree Lizama

PRODUCTION TEAM LEAD: Geri Leon Guerrero

AD SALES: Alyssa Roces

PRODUCTION: Jason Davis

Alyssa Roces

Christopher “Taco” Rowland

PHOTOGRAPHY: Alyssa Roces

Christopher “Taco” Rowland

EDITOR: Adztech

CONTRIBUTING WRITERS:

Francine Taitague

Patricia “Patti” L. Diego

Myracle S. Mugol

Joe Roberto

Rodney “RJ” Ricarte

GCA STAFF: Francine Taitague

Trevor Cruz

Rosielyn Holgado

Peter Finona

COVER: GCA Trades Academy and NMTech lay the foundation for a local workforce in the Marianas Islands.

APPRENTICESHIP

PREPARING TOMORROW'S BUILDERS: HOW YOUR CONSTRUCTION COMPANY CAN CHAMPION APPRENTICESHIP PROGRAMS

With the new academic year beginning, construction companies have a golden opportunity to connect with emerging talent and address our industry's workforce challenges. As young people consider their career paths, it's crucial that we showcase construction apprenticeships as a viable, rewarding alternative to traditional educational routes.

Why apprenticeship programs are essential for industry growth

The construction sector continues to grapple with significant labor shortages, making apprenticeship initiatives more critical than ever. These programs serve as a bridge between classroom theory and real-world application, creating skilled professionals who understand both the technical and practical aspects of construction work. By investing in apprenticeships, you're not just filling positions – you're cultivating the expertise that will drive our industry forward.

Young people who choose apprenticeship paths gain substantial advantages over traditional educational routes. They develop marketable skills while earning competitive wages, avoiding the financial burden that often accompanies four-year degrees. This practical approach to learning provides immediate value and long-term career stability in an industry with consistent demand. Furthermore, apprentices gain exposure to modern construction technologies and sustainable building practices, preparing them for the evolving landscape of our field.

Strategies for engaging the next generation

Construction companies can implement various outreach initiatives to connect with potential apprentices. Establishing relationships with educational institutions creates ongoing recruitment opportunities and builds community partnerships. Hosting workplace experiences and mentorship sessions allows students to witness the dynamic nature of construction projects firsthand. Active participation in community events and educational forums helps dispel misconceptions about construction careers while highlighting the professional growth opportunities available.

Digital engagement through online platforms can effectively reach tech-savvy younger audiences, showcasing the innovative aspects of modern construction work.

Building comprehensive apprenticeship frameworks

Successful apprenticeship programs should offer multiple career tracks within construction, allowing participants to discover their strengths and interests. Strong mentoring relationships between experienced workers and apprentices foster knowledge transfer and professional development. Programs that include pathways for advancement and continuing education demonstrate long-term investment in employee growth. Emphasizing modern safety protocols and environmental responsibility aligns with the values many young professionals prioritize today.

Now is the time for action

The Guam Contractors Association encourages members to create or expand their apprenticeship programs, investing in the future of both their businesses and the industry.

Your company's apprenticeship program can play a vital role in developing an independent and confident workforce, essential for the success of your construction business. I encourage you to explore and implement apprenticeship programs within your company, as the benefits will contribute to the growth of your company.

Remember, the foundation of a strong construction company lies in the capable hands of those who build our world, one brick at a time.

The Guam Contractors Association keeps track of hours worked and the education progress of the apprentices in your program. We can guide your company through the whole process.

Join the list of companies that have, or are in the process of, creating an apprenticeship program to enhance the skills of its workforce.

I can help you! Interested in learning more?

Please contact me at (671) 647-4841 or francine.taitague@guamcontractors.org.

FHP DENTAL CENTER: YOUR COMPLETE DENTAL CARE SOLUTION

Your TakeCare GCA Employee Health Plan for 2025 includes access to the FHP Denter Center.  Since first impressions start with a smile, the FHP Dental Center is dedicated to helping you achieve and maintain that confident, healthy smile for a lifetime. As your comprehensive dental care provider, FHP combines technology with personalized attention to meet all your family's oral health needs.

Comprehensive Services Under One Roof

The FHP Dental Center offers routine cleanings, comprehensive exams, restorative procedures like fillings, root canals, and extractions, or advanced solutions including crowns, bridges, and dentures. Our experienced team has you covered. For those seeking to enhance their smile's appearance, we also provide cosmetic enhancements such as teeth whitening.

Our capable and caring dentists utilize the latest technology to deliver precise, comfortable treatment. We understand that each patient's needs are unique, which is why we take time to develop personalized treatment plans that align with your oral health goals and lifestyle. This approach ensures continuity of care, under one roof by professionals who understand your complete oral health history.

Advanced Technology Meets Artistic Excellence

What sets FHP Dental Center apart is its commitment to bringing together art, science, and comfort. Our cosmetic and restorative dentistry services leverage cutting-edge technology to achieve exceptional aesthetic results. For patients seeking smile makeovers, we offer crowns that can transform crooked, chipped, or stained teeth in as few as two appointments. This remarkable efficiency means you can achieve the smile you've always wanted without lengthy treatment timelines.

Your Partner in Oral Health

Our commitment to you means providing exceptional dental care that our community can trust. From your first comprehensive exam through ongoing preventive care and any necessary treatments, our team is dedicated to improving your oral health and enhancing your quality of life.

Ready to experience the FHP Dental Center difference? Call 671-646-5825, extension 8562, to schedule your appointment today. FHP welcomes new patients, accepts most insurance plans and self-pay patients are welcome.

Our hours are Monday through Friday from 8:00 AM to 6:00 PM, plus select Saturday openings. For dental emergencies outside regular hours, patients can visit our Urgent Care facility, providing peace of mind that help is available when you need it most.

Visit www.fhpguam.com, to learn more about our services and how we can help you achieve your smile goals.

Rodney “RJ” Ricarte is the TakeCare account executive for GCA. He can be contacted at (671) 487-7121 or rodney.ricarte@takecareasia.com.

BEST DENTAL CLINIC

Quality Dental Care for you

and your

family at FHP Dental Center.

§ Comprehensive Exams with digital images

§ Regular and Deep Cleanings

§ Silver and White fillings

§ Root Canals

§ Crowns, Bridges, and Dentures

§ Extractions

§ Teeth Whitening (Bleaching)

§ Dental Emergency

§ 6 month checkup/cleaning appointments

§ Courtesy Reminder calls

Mon-Sat 8 : 00 a m- 6 : 0 0 p m | Sun & Holidays Cl o se d

We accept most insurances including TakeCare, GovGuam, StayWell, NetCare, VA Approved, Medicaid, MIP and self-pay patients are welcomed. Payments accepted: Cash, most major Credit Cards and Debit Cards. Now accepting new patients. Call for an appointment.

AROUND THE

AYDLETT BROTHERS SET TO BREAK GROUND ON THE NEXT TOWER FOR HUMANITY

Hagatna, Guam – August 7, 2025 – The Aydlett Brothers will soon break ground on their next toy timber construction project on Guam. Set to take place in the Center Court at the Agana Shopping Center, this project will be a scaled replica of Dubai’s One Za’abeel. This project will be their most complex as they aim to replicate “The Link,” an elevated horizontal structure connecting the two towers.

The tower, while not the Team’s tallest, will be among their largest, using approximately 100,000 toy timber logs to complete the two towers and The Link, surpassing their June 2022 double Guinness World Record tower that used 74,019 logs. This project will not seek to break any official records.

Construction will begin at 10:00 AM ChST on Wednesday, September 24, 2025, with a target completion date of Friday, October 3, 2025. Construction will be ongoing during shopping center hours, possibly after hours, depending on daily progress, as the Tower Team aims to have the marathon construction completed by October 3. The community is welcome to volunteer during shopping center hours to assist with the construction, particularly between September 24 and October 1. Please see the contact information, below.

This tower project, the 7th since the Tower for Humanity’s beginning in June 2022, will host the 3rd Annual community-wide Canstruction Guam Food Drive and charity event with Be Heartfelt.

One Za’abeel and The Link: About the Tower and the Developer

(Source: Wikipedia) One Za’abeel is a mixed-use skyscraper located in the Za’abeel district of Dubai, UAE. The development was completed in December 2023 and officially opened on 10 February 2024. It consists of two towers connected by a horizontal structure known as The Link.

The skyscraper was designed by the Japanese architectural firm Nikken Sekkei and developed by Ithra Dubai. It consists of two towers: One Za’abeel Tower and One Za’abeel The Residences. These towers are joined by The Link, which is positioned 328 feet (100 meters) above the

ground. The Link extends 754 feet (230 meters) and includes a cantilevered section that extends 216 feet (66 meters). In 2024, One Za’abeel was recognized by Guinness World Records for having the longest cantilever building in the world. One Za’abeel, consisting of two towers connected by The Link, reaches upward to 771 feet (235 meters) with 59 floors for Tower B, and to 1001 feet (305 meters) with 68 floors for Tower A.

Nikken Sekkei, headquartered in Tokyo, Japan, has satellite offices across Japan and around the globe, including in China, the Republic of Korea, Vietnam, Singapore, Bangkok and Dubai. With a company philosophy of contributing to society through work that offers true value, Nikken Sekkei has completed numerous projects globally, ranging from airports and hotels, to fine arts theaters and skyscrapers. Projects familiar to those in the Mariana Islands include the Kansai International Airport Passenger Terminal Building, the Narita International Airport Terminal 1 South Wing and Terminal 3, the Tokyo Dome, and the Tokyo SkyTree.

3rd Annual Canstruction Guam Competition

The Tower Team is excited to again partner with Be Heartfelt to host the 3rd Annual Canstruction Guam Competition and island-wide food drive. With the simple goal of feeding hungry kids on Guam by providing weekend meals for children in need, every canned good and donation collected improves the quality of life for an individual. Following the success of the inaugural Canstruction Guam in 2023, Be Heartfelt was able to expand its services to support more children on Guam.

Set for October 3rd through 5th at the Agana Shopping Center, the Canstruction Guam Competition will conclude a month-long island-wide canned food drive. Organizations are encouraged to sign up as a canned food drop site and/or run their own food drive campaign through September and early October then form teams to build their own creation with those canned goods at the Agana Shopping Center. Team prizes will be awarded for the best design, most public votes, and the most canned goods collected, in two categories: community businesses/organizations, and schools/clubs/students. Service Learning Opportunities are also available with Be Heartfelt.

Food Drive locations and Canstruction Teams will collect goods from August to early October, then bring their collected goods to the Agana Shopping Center on Friday, October 3 for set up. Canstruction Teams will have all day on Saturday, October 4 to build their creation at the Shopping Center. Public viewing, voting and judging will take place on Sunday October 5, with an awards ceremony taking place Sunday afternoon. Please see the contact information, below, for Be Heartfelt, and the attached solicitation letter to get your organization involved. The Tower Team is setting a goal to collect 25,000 cans of food for children in need on Guam.

The Tower for Humanity Legacy

The Aydlett Brothers are always eager to plan their next project, building something bigger, taller and unique. Since their first project in June 2022, the Tower for Humanity has been a means for the brothers and the Tower Team to give back to the community; to help build a better Guam, one block at a time. The tower projects seek to benefit Guam and the people of the Micronesia region, particularly those who are in need…a building for a cause. Due to the scale and size of these projects, the brothers welcome the public to be a part of these unique, “only on Guam” experiences, volunteering to help build onsite at the Agana Shopping Center, volunteering time and service to Be Heartfelt, and/or by signing up to be a Canstruction Guam Team or canned food drop site.

Find the Tower for Humanity on Facebook and Instagram at @towerforhumanity for the latest news and events, pictures, videos and information on how you can volunteer to be a part of the Tower for Humanity. For additional information on the Tower for Humanity project, contact Landon Aydlett at (671)777-5337 or landonaydlett@gmail.com. To learn more about Be Heartfelt the important work they do on Guam, please contact Lori Marble, President of Be Heartfelt, below.

Tower for Humanity Contact: Landon Aydlett

Phone: 671.777.5337

Email: landonaydlett@gmail.com

Be Heartfelt: Lori Marble

Phone/WhatsApp: (724) 612-5674

Email: contactbeheartfelt@gmail.com

Email: marblelori@gmail.com

On the Web: https://www.beheartfelt.com/

For More Information:

One Za’abeel: https://www.nikken.co.jp/en/projects/mixed_use/one_zaabeel.html

Nikken Sekkei: https://www.nikken.co.jp/en/

Guinness World Record - Longest Cantilevered Building: https://www.guinnessworldrecords.com/world-records/617033-longest-cantilevered-building

BUILDING ONE MARIANAS:

Forging a Workforce for Guam and the CNMI

For decades, both Guam and the Commonwealth of the Northern Mariana Islands (CNMI) have depended heavily on foreign labor to sustain their construction industries. This reliance, while practical in the short term, has left the islands vulnerable to outside forces: immigration policies, fluctuating labor supply, and mounting costs.

Now, with the CW-1 visa program for foreign labor in the CNMI scheduled to sunset in 2029, and Guam grappling with surging development needs tied to military and civilian projects, the urgency to build a skilled, certified local workforce is clear.

The solution is emerging from within. Institutions like the Guam Contractors Association (GCA) Trades Academy and the Northern Marianas Technical Institute (NMTech) are transforming how the region thinks about work, training, and opportunity. Together, they are equipping residents with nationally recognized certifications, empowering them to earn better wages, and proving that the trades are for everyone.

This is the story of how Guam and the CNMI are learning to build One Marianas, powered by their own people.

Guam’s GCA Trades Academy: Building Capacity, Not Just Buildings

The GCA Trades Academy has been Guam’s response to the growing demand for locally certified workers since its founding in 2006. Established under the Guam Contractors Association, the Academy was designed to deliver NCCER-accredited training in trades ranging from carpentry and electrical work to HVAC, heavy equipment operations, and welding.

Under the leadership of Dr. Herbert “Bert” Johnston, the Academy has taken a strategic approach to workforce growth. Johnston has often pointed out that while foreign H-2B labor will always play a role in large, temporary projects such as the military buildup. But the islands

cannot rely on external workers as a foundation for their economies. He emphasizes a sustainable “metabolic rate” of locally certified workers, a number designed to meet Guam’s long-term needs without overshooting demand is needed to be met.

This focus on balance and sustainability allows the Academy to train for resilience. Johnston has explained that a certified workforce improves project outcomes by reducing mistakes, completing tasks faster, and raising quality standards. Certification, paired with experience, becomes a driver of both efficiency and cost savings.

Enrollment at the Academy reflects this growing recognition. Year after year, new cohorts of students. They range from young adults fresh out of high school to older workers adding new skills. By 2024, thousands had earned level completions in core trades, safety certifications, and advanced skills training. Employers from Black Construction, Core Tech, and other firms now look to the Academy as a trusted source of dependable, trained labor.

Johnston is also adamant about inclusivity. Beyond tracking gender or ethnicity, he stresses the importance of drawing on a diversity of experiences. For Guam’s workforce to thrive, the trades must open doors to everyone, regardless of background, language, or age.

NMTech: A Rising Force in the CNMI

In Saipan, Northern Marianas Technical Institute (NMTech) has become a vital part of the CNMI’s strategy to transition from foreign labor to local expertise. Its vision is ambitious yet grounded: to align education, training, and innovation with the region’s evolving economic and technological needs, while creating pathways that connect classrooms to careers.

What started with just nine courses in 2021 has expanded to over 45 programs. Today, students can choose from NCCER-accredited trades in carpentry, welding, masonry,

HVAC, and electrical; technical specialties like IT and cybersecurity; and even programs in hospitality, cosmetology, and baking. NMTech also introduced high-demand fields such as renewable energy, solar technology, and electric vehicles. Proactively anticipating the industries that will shape tomorrow’s economy.

Enrollment has grown steadily. After a dip in 2022, numbers surged again by 2023, thanks to outreach campaigns, advertising, and financial assistance provided through the Workforce Innovation and Opportunity Act (WIOA). By 2024, NMTech saw 143 students enrolled, with projections stabilizing around 80–90 in 2025. Students now range from teenagers earning dual credits to adults retraining for new careers. The diversity of enrollees is striking, with participants across age groups, from 16 to over 60, and representing a wide mix of Pacific Islander and Asian communities.

The institute is also investing in its future. A $10.1 million Career Workforce Training Facility is under construction in Koblerville, scheduled to open in 2027. Once complete, it will expand capacity for automotive, electrical, welding, culinary, and more. Meanwhile, NMTech’s current Lower Base campus is being reimagined as an Innovation Hub - a makerspace where students and small business owners can access tools, mentorship, and real-world business services.

NMTech’s leadership has made clear that this is not just about training tradespeople. It is about cultivating a generation of confident, capable workers who can lead, innovate, and contribute to the CNMI’s self-reliance.

Graduate Spotlight

The institutional goals of GCA and NMTech are best understood through the experience of graduates like John Joseph Valdez Sablan, now a construction helper and safety officer at Five Star Builders, CNMI.

Sablan explained that his motivation came from the skilled craftsmen he worked alongside every day, “Working alongside skilled craftsmen, I wanted to become a better craftsman. By pursuing a certification in the industry, it has helped me become a great craftsman.”

He described how certification gave him confidence in his ability to perform his duties: “The certifications are beneficial to my career and to my morale. They have raised my confidence and made me believe that I can do my job efficiently.”

But his journey also highlights the personal challenges many students face. For Sablan explained, “The challenges I’ve faced were myself and whether I believed if I was competent to perform my duties. My advice I’d like to share with future apprentices is to learn from your mistakes and to become the best version of yourself.”

His story shows that certifications are more than just qualifications, they are tools for personal growth, professional confidence, and community leadership.

Building One Marianas

From Guam to Saipan, the momentum is clear. With the GCA Trades Academy and NMTech leading the way, the Marianas are laying the foundation for a workforce that is both skilled and self-reliant. The islands are no longer content to depend solely on imported labor. They are investing in their own people, and in the process, they’re building not just stronger economies, but stronger communities.

In the end, this is what it means to Build One Marianas: creating opportunities at home, raising standards in the workplace, and ensuring that the future of the islands is built by the very people who call them home.

CONTACT INFORMATION

Northern Marianas Technical Institute (NMTech)

Address: 12966 Lower Base Drive, P.O. Box 504880, Saipan, MP 96950

Phone: (670) 235-6684

Email: admissions@nmtechcnmi.org Website: nmtechcnmi.org

GCA Trades Academy (Guam Contractors Association)

Address: 506 Mariner Avenue, Barrigada, Guam 96913

Phone: (671) 647-4842

Email: gcatrades@guam.net Website: gcatradesacademy.org

“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

GCA July Luncheon

July 16th, 2025

The Westin Resort Guam

GCA Committees July Meetings

THE MONTHLY

GCA JULY 2025 MEMBER MONTHLY LUNCHEON RECAP

The Guam Contractors Association (GCA) convened its monthly Membership Luncheon on July 16, 2025, at the Westin Resort Guam, welcoming over 70 construction professionals and industry leaders.

The meeting opened with a special announcement that Desiree Lizama was officially appointed GCA President on July 2, 2025. Lizama had served as interim GCA president since August 7, 2024, following the resignation of James Martinez, who held the position for 23 years. Her steady leadership during her interim tenure has greatly impressed the GCA board.

For this month’s safety briefing, Jesse Pangelinan, Guam OSHA On-site Consultation Safety Administrator, highlighted the benefits of free, no-penalty jobsite consultations. These services help contractors enhance workplace safety. He urged all GCA members to register for August’s "Safe + Sound Month 2025," a national campaign promoting workplace safety awareness. "Let’s show Federal OSHA that Guam is committed to safety," Pangelinan stated, aiming to surpass last year’s participation numbers. As a seasonal reminder, he also advised workers to remain vigilant during Guam’s rainy season and to prioritize hydration, rest, and seeking shade on the job.

July’s luncheon featured Yolanda Muña Padrones, Director of Human Resources at Triple J Enterprises, Inc., Guam. Padrones shared valuable insights on current workforce and leadership trends shaping today’s Human Resources landscape. Attendees gained updated perspectives on how HR strategies are adapting to dynamic employment challenges. The top HR concerns in 2025 include:

• Skilled Labor Shortages

• Compliance Complexities

• Project Delays and Cost Overruns

• Safety Risks and Liability

• Retention and Morale in the Field

• Technology Disruption

• Legal Exposure and Lawsuits

• Public Perception

• Generational Gaps

For more information, members were encouraged to visit the Society for Human Resource Management (SHRM) website directly at https://www.shrm.org/. SHRM is the largest professional association for human resources globally, providing resources, education, certification, and advocacy to enhance workplace practices and policies.

Welcome New Members!

Congratulations to the newest GCA member company, Moy Industries, Inc. Vice President John Manibusan shared that their company focuses on ground transportation and weight handling equipment. Their addition strengthens the GCA community, and the association looks forward to collaborating with them. Welcome aboard!

Important Reminders!

Stay tuned! We’ll soon be announcing the call for nominees for the annual GCA Excellence in Construction Awards, as we will proudly honor this year's most outstanding construction projects and the Contractor of the Year. Annually, the GCA recognizes contractors for their remarkable achievements in leadership, safety, innovation, craftsmanship and their service to the community and the industry. Be ready to compete for the GCA Premiere Awards and be a winner in Guam’s legacy of construction excellence.

See you at next month’s luncheon. Take advantage of your membership to connect and collaborate with industry peers, and stay informed on key developments affecting Guam’s construction sector. Let’s continue to build a stronger, smarter and productive industry together.

CONSTRUCTION

BPT ROLLBACK DECISION POINT: CONTRACTORS, LOCAL BUSINESSES WATCH CLOSELY

The Guam Legislature has wrapped up public hearings on Bill No. 11-38, the measure proposing a rollback of the Business Privilege Tax (BPT) from 5% to 4%. Authored by Senator Eulogio “Shawn” Gumataotao, the bill aims to provide relief amid Guam’s rising cost of living and economic uncertainty. The final public hearing concluded on July 7, 2025, following a month of spirited testimony from government officials, business leaders, and community stakeholders.

Government officials have expressed deep concerns over the bill’s potential impact on public finances. Stephen Guerrero, Director of the Office of Finance and Budget (OFB), testified that the proposed 1% reduction could result in an estimated $78.2 million shortfall for Fiscal Year 2026. He warned that because most government expenditures are tied to personnel costs, such a revenue loss would almost certainly mean layoffs and cuts to essential services. Governor Lourdes A. Leon Guerrero echoed this concern, stressing that the current BPT rate supports core services such as healthcare, education, and infrastructure.

However, members of the business community argued passionately for the rollback, framing it as a long-overdue correction to a promise made in 2018 when the BPT was increased from 4% to 5% under the assurance it was temporary. Christopher Felix, owner of Century 21 Realty Management, urged lawmakers to “honor their deal,” saying many businesses are “just barely holding on” amid slow

tourism recovery and high operating costs.

In a significant development, Senator Telo Taitague introduced an amendment proposing a two-tiered BPT structure: a rollback to 4% for local businesses, while military-related contractors remain at 5%. Taitague argued that contractors working on federal defense projects already build the 5% rate into their bids and passing the rollback to them could destabilize long-term contracts and undermine revenue gains from the federal military buildup.

This compromise has sparked debate but is being considered as a potential middle ground to protect both local small businesses and Guam’s ability to sustain its share of the projected $5 billion in defense spending over the next five years.

Matthew Hunter, Chairman of the Guam Contractors Association (GCA), criticized government spending priorities, stating, “No amount of additional money will fix the problems faced at GMH, DOE, or other agencies. We just continue to throw good money after bad.” He emphasized that many contractors are absorbing inflationary pressures and labor shortages while operating on thin margins.

Tae Oh, Chairman of the Guam Chamber of Commerce, underscored that private sector employers are “struggling to survive” despite government reporting yearly budget surpluses. Business leaders reiterated that

lowering the BPT would help retain employees, reduce prices, and reinvest in operations, ultimately stabilizing the economy and growing the tax base over time.

A growing number of small business owners, workers, and voters have signed petitions and voiced their support online. This groundswell of public sentiment reflects a broader frustration with broken promises and a growing demand for predictable, responsive tax policy. As one supporter put it: “We lived up to our end of the deal in 2018. Now it’s time for the government to live up to theirs.”

The measure is currently under deliberation by the Committee on Finance and Government Operations, chaired by Senator Christopher M. Dueñas. With amended language under review and both political and public pressure mounting, the final vote is expected before the end of the current legislative session.

For Guam’s construction and contracting industries, the outcome of Bill 11-38 is far from symbolic. Whether enacted in its original or amended form, the BPT rollback will directly impact operational margins, future bidding strategies, and cost modeling for both public and private projects. GCA members are encouraged to monitor the bill’s progress and prepare for scenario-based adjustments depending on the final version adopted.

REFLECTIONS FROM THE CHAMBER: A CLOSER LOOK AT BILL 11-38 AND THE CONSTRUCTION INDUSTRY

Presented at the Guam Chamber of Commerce Member Luncheon | July 30, 2025 – Hilton Guam Resort & Spa

A heartfelt thank you to Catherine Castro, President of the Guam Chamber of Commerce, and the entire Board of Directors for the opportunity to speak at the recent Chamber Member Luncheon. The room was filled with members of our business community—eager to hear, learn, and better understand the impact of proposed legislation like Senator Telo Taitague’s amendment to Bill 11-38.

During the presentation, we touched on the long-standing issue—a promise made nearly seven years ago to roll back the Business Privilege Tax (BPT). That six-month “temporary” increase is now a multi-year burden, especially for our local business community.

Unfortunately, our conversation was cut short due to the tsunami alert. Safety always comes first, and we thank everyone who exited calmly and responsibly. But there’s still more to say.

A Broader Perspective: What Got Us Here

Let’s rewind to the early days of the pandemic. While essential businesses stayed open and continued paying the full 5% BPT, others were forced to shutter. Fear and uncertainty gripped our community—but one group remained unaffected financially: government employees, who continued to receive their full pay. Meanwhile, the private sector scrambled to survive.

Relief eventually came thanks to federal intervention. The Guam Department of Labor worked tirelessly with U.S. agencies to ensure thousands received aid. But now, years later, many businesses have yet to fully recover—and others never reopened.

The question remains: Why hasn’t the BPT rollback

happened? Who are we really helping—or hurting—by not following through?

Let’s Talk About the Construction Sector

As a representative of the construction industry, allow me to frame this issue with some numbers:

According to a recent article, the Department of Defense projects $3.7 billion in spending from 2024 to 2028—a figure loaded with terms like “expects” and “may.” But businesses don’t run on speculation. We run on reality. We pay our people, vendors, and suppliers with what we actually have in the bank.

Let’s break that $3.7 billion down:

• $925 million per year

• Approx. 35% goes to labor = $323.75 million

• Another 35% to supplies/COGS = $277.5 million

• About 25% on operations, insurance, training, and logistics = $231 million

• And that leaves 0% to absorb the BPT.

The math doesn’t lie: There’s no margin left. Especially not for small contractors who already face barriers like bonding limitations, housing shortages for workers, and H-2B labor challenges.

Why Major Contractors Leave Guam

We’ve seen large, global contractors come to Guam—only to walk away. Why?

• Excessive permit delays

• High transportation costs

• Poor infrastructure

• Lack of skilled labor and housing

• Burdensome compliance requirements

These issues aren’t minor—they’re deal-breakers.

Final Thoughts: A Call for Real Relief

To our political leaders: if your goal is to help your people, consider the very real impact that Bill 11-38—in its original form—could have. Reducing the BPT is not just good policy, it’s a lifeline to the thousands of people behind every business sign, every pay stub, and every job site.

Let’s stop pretending. Let’s start delivering. Pass Bill 11-38 as promised.

With respect and hope,

NE WS LINE

DOL Moves Forward With a Flurry of Deregulatory Actions

On July 1, U.S. Department of Labor Secretary Lori Chavez-DeRemer announced deregulatory efforts aimed at reversing costly and burdensome rules and spurring job creation and economic opportunity for American workers and businesses.

“The Department of Labor’s actions are unprecedented, slashing more than 60 obsolete and burdensome regulations impacting American workers,” said Deputy Secretary of Labor Keith Sonderling. “While the previous administration prioritized expanding the size of government over job and wage growth, President Trump is focused on unleashing the greatest economic comeback in American history. We are proud to stand with this Administration to deliver economic security for working families by eliminating job-killing and inflation-driving red tape.”

President Donald Trump’s executive order, Unleashing Prosperity through Deregulation, directed federal agencies to eliminate 10 existing regulations for every new rule.

ABC is currently reviewing the below DOL deregulatory actions and will provide more details in ABC’s Regulatory Roundup: Office of the Secretary

Direct Final Rule:

• Rescission of Nondiscrimination and Equal-Opportunity Provisions

of the Workforce Investment Act. The DOL is rescinding its regulations implementing the Workforce Investment Act of 1998 containing the nondiscrimination and equal-opportunity provisions of WIA. In 2014, Congress passed the Workforce Innovation and Opportunity Act, which repealed WIA and required the secretary of labor to transition any authority under WIA to the system created by the WIOA. The DOL is taking this action to remove regulations for a program that is no longer operative. The final rule is effective Sept. 2 unless significant adverse comments are received by July 31.

Employment and Training Administration

Proposed Rule:

• Prohibiting Illegal Discrimination in Registered Apprenticeship Programs. The DOL is issuing this proposed rule to remove undue regulatory burdens on registered apprenticeship program sponsors. The proposal would rescind certain regulatory provisions that the agency believes are unlawful. It also includes conforming, technical changes to the DOL’s regulation that addresses Labor Standards for the Registration of Apprenticeship Programs. This proposed rule would streamline and simplify sponsors' obliga-

tions, while maintaining broad and effective nondiscrimination protections for apprentices and those seeking entry into apprenticeship programs. The deadline for comments is Sept. 2.

Occupational Safety and Health Administration

Final Rule:

• Construction Standards: Advisory Committee on Construction Safety and Health. This final rule revokes 29 CFR 1911.10, which required the assistant secretary for Occupational Safety and Health, who heads OSHA, to consult with the Advisory Committee on Construction Safety and Health in the formulation of rules to promulgate, modify or revoke standards applicable to construction work, and 29 CFR 1912.3, the general OSHA regulations governing ACCSH. This final rule also makes corresponding changes to 29 CFR 1911.11, 29 CFR 1911.15, 29 CFR 1912.8 and 29 CFR 1912.9. OSHA is revoking 29 CFR 1911.10 and 29 CFR 1912.3 because these regulations impose requirements on the assistant secretary that are more burdensome than those mandated by statute, and compliance with these regulations would needlessly delay the secretary of labor’s regulatory agenda. According to the DOL, these changes will

ensure that ACCSH is able to advise the secretary on potential regulatory actions without adversely affecting the agency’s regulatory timeline. The final rule went into effect July 1.

Proposed Rules:

• Amending the Medical Evaluation Requirements in the Respiratory Protection Standard for Certain Types of Respirators. OSHA is proposing to remove some medical evaluation requirements in the Respiratory Protection Rule for certain types of respirators. This proposed change would only impact filtering facepiece respirators and loose-fitting powered air-purifying respirators. The deadline for comments is Sept. 2.

• Occupational Exposure to COVID-19 in Healthcare Settings. OSHA is proposing to remove OSHA’s COVID-19 Emergency Temporary Standard and its associated recordkeeping and reporting provisions from the Code of Federal Regulations. The deadline for comments is Sept. 2.

• Construction Illumination. The intent of this proposed rule is to remove from the Code of Federal Regulations OSHA's Construction Illumination Standard, 29 CFR 1926.26 and 1926.56. OSHA's Illumination Standard, 29 CFR 1926.26, requires that construction areas, aisles, stairs, ramps, runways, corridors, offices, shops and storage areas where work is in progress are lighted with either natural or artificial illumination. The minimum illumination requirements for work areas are contained in Subpart D, 29 CFR 1926.56. OSHA proposes to remove the Construction Illumination Standard because it has determined that the standard is

not reasonably necessary or appropriate under section 3(8) of the OSH Act, 29 U.S.C. 652, because it does not reduce a significant risk to workers. The deadline for comments is Sept. 2.

• Asbestos. This proposed rule revises some substance-specific respirator requirements to allow different types of respirators to be used under OSHA's asbestos standards and better aligns these standards with OSHA's Respiratory Protection standard. The deadline for comments is Sept. 2.

• Lead. This proposed rule revises some substance-specific respirator requirements to allow different types of respirators to be used under OSHA’s lead standards and better aligns the standards with OSHA's Respiratory Protection standard. The deadline for comments is Sept. 2.

• Vinyl Chloride. This proposed rule removes language in OSHA’s Vinyl Chloride standard that is duplicative with OSHA’s Respiratory Protection standard. The deadline for comments is Sept. 2.

Withdrawal of Proposed Rule:

• Occupational Injury and Illness Recording and Reporting Requirements; Withdrawal. OSHA is withdrawing the proposal to amend the OSHA 300 Log by adding a column that employers would use to record work-related musculoskeletal disorders. Withdrawal of the proposal does not change any employer's obligation to complete and retain occupational injury and illness records under OSHA's regulations. Withdrawal of the proposal also does not change the recording criteria or definitions used for these records. The withdrawal went into effect on July 1.

Office of Labor-Management Standards

Proposed Rule:

• Filing Thresholds for Forms LM-2, LM-3, and LM-4 Labor Organization Annual Reports. This proposed rule revises the filing thresholds in 29 CFR 403.4(a) for the Forms LM-2, LM-3 and LM-4 Labor Organization Annual Reports. In this proposed rule, the DOL proposes to increase each filing threshold to higher values: labor organizations with $450,000 or more in annual receipts must file Form LM-2; those with less than $450,000 may choose to file Form LM-3; and those with less than $25,000 may choose to file Form LM-4. According to the DOL, these increases are necessary to reflect economic changes and reduce unnecessary reporting burdens on labor organizations whose total receipts, prior to adjusting for inflation, should not necessitate greater filing requirements. The deadline for comments is July 31.

$23,576.27 $1,881.58 $754.13 $53,328.41 $225.76 $34,153.77 $71,661.57 $0 $16,974.38 $26,983.32 $0 $6,337.46 $827.70 $0 $12,391.77 $0 $7,313.58

Nationality

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