GCA Construction News Bulletin November 2011

Guam Contractors’ Association

CONSTRUCTION NEWS BULLETIN

Vol.52 Issue 11 NOVEMBER2011

Excellence in

Construction We're here to empower your communications...

ADZtech & Public Relations has the creative and marketing firepower to get you there!

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671-477-1239

Your one-stop location for Real Estate Development & Business Consulting.

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CONTENTS NOVEMBER2011

37

Excellence in Construction

24 8

Feature Story

Update C ommittee S.A.M.E.

12 14

C ommittee Update Headline C onstruction New GCA Logo

18

S mall Business

24

Story F eature GPA

28 32 35 37

P hoto Highlights C rane Critique Corner N ew Members in E xcellence Construction

The Chamorro word for “Road” is: Chalan (Cha-lan)

brought to you by "Learn Chamorro" www.learnchamorro.com

2 | NOVEMBER2011

CONSTRUCTION NEWS BULLETIN

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No job is too big or small.

Ready-Mix Concrete • Asphaltic Concrete • Paving Materials • Sand & Aggregates Keystone Retaining Wall Systems • Concrete Pipes • Precast Manholes • Concrete Paver Road Paving Contractor • Concrete Pump Rental • Concrete Blocks & Shapes

Office Dispatch FAX-Dispatch FAX-Engineering FAX-Accounting FAX-Executive

*(671) 734-2971-8 (671) 734-3830 (671) 734-5030 (671) 734-0990 (671) 734-6374 (671) 734-3744

*After hours, dial “0” to leave a message in the general delivery mailbox.

Contact Art Chan to help you with your building needs.

2008 Business Laureate

Building The Marianas Since 1958

1402 Route 15, Mangilao, Guam 96913 • Tel: (671) 734-2971/8 • Fax: (671) 734-0990 • www.hawaiianrock.com

THETEAM

THEDIRECTORS PRESIDENT James A. Martinez, GCA CHAIRMAN William “Bill” Beery, Tutujan Hill Group VICE CHAIRMAN Robert Salas, Landscape Management Systems PAST CHAIRWOMAN Chit Bathan, Ace-Builders SECRETARY/TREASURER Tom Anderson, Black Construction ASSOCIATE DIRECTORS: Edward Untalan, First Hawaiian Bank Paul Calvo, Calvo’s Insurance Vincent Davis, Hawthorne Pacific Corp Ray Yanger, Matson Navigation CONTRACTORS DIRECTORS: Tom Nielsen, Maeda Pacific Corporation Juno Eon, Core Tech International Robert Piper, Hensel Phelps John Robertson, AmOrient Art Chan, Hawaiian Rock Louis De Maria, dck pacific guam LLC

6 | NOVEMBER2011

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 of any corrections as needed. Opinions and editorial content of this publication may not necessarily be those of the publisher, staff, GCA members, GCA Board of Directors and advertisers.

For more information about advertising in the GCA Construction News Bulletin contact the advertising department at (671) 477-1239/2239 or email at adztech@teleguam.net.

Distributed to GCA members or can be obtained by stopping by the Guam Contractors’ Association office located at 718 N. Marine Corps Drive, Suite 203, East West Business Center, Upper Tumon, Guam.

To find out more about how you can become a GCA member contact Chantel Cruz, Guam Contractors’ Association at (671)647-4840/41, or fax (671) 647-4866 or email to gca@teleguam.net.

Postmaster.

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

CONSTRUCTION NEWS BULLETIN

PUBLISHER: James Martinez SALES & MARKETING DIRECTOR: Geri Leon Guerrero AD SALES: Marc Mendiola PRODUCTION: Geri Leon Guerrero Christopher “Taco” Rowland Paul Mendiola Bill Tenorio PHOTOGRAPHERS: Marty Leon Guerrero Jay Forsyth Geri Leon Guerrero EDITOR: Adztech CONTRIBUTING WRITERS: John Robertson Dave Barnhouse Jay Forsyth Nora Santos David F. Macaluso GCA STAFF: Chantel Torres-Cruz Francine Arceo Desiree Lizama COVER: Excellence in Construction winning eagle.

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COMMITTEEUPDATE

SAME Guam Post Beautifies Veteran’s Cemetery On Wednesday, 26 October, some 100 volunteers from companies throughout the island participated in a community service event to spruce-up and beautify the Guam Veterans Cemetery in Piti in preparation for All Souls Day and Veterans Day. Members from the Society of American Military Engineers (SAME) Guam Post were on hand to assist in the workload.

Employees from Chugach Guam, VSE/ICRC, EA Engineering, dck worldwide, Home Depot, Matson Navigation,

IMCO, Pepsi, Baldyga International Group, Isla Paint and Coating, Frontier Plumbing Supply, Behr Paints, Pacific Trucking, and RE/MAX Diamond Realty were in attendance. Also in attendance were employees of the Veteran’s Cemetery and the Department of Veteran’s Affairs.

The volunteers water-blasted, painted, performed various landscaping tasks, and revitalized the chapel which was used for storage and is now open and available for memorial services. It was a

great day for morale, camaraderie, and a sense of community involvement. Both breakfast and lunch were provided to the volunteers by the group.

This event was a continuation of events sponsored by a group known as “The Business Coalition for One Day of Community Service to Guam”.

The business coalition began last year as a partnership between Chugach-Guam and Home Depot-Guam, to help the village of Piti install donated playground equipment that sat idle for two years.

To join SAME Guam Post, logon to SAME.org and proceed to New Membership.

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CONSTRUCTION NEWS BULLETIN

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Additional Charlie Corn Scholarships Available SAME – Guam Post has for many years sponsored students from Guam and other islands of Micronesia with financial support. The scholarships are named for Charlie Corn, a former businessman on Guam with interests that included construction contracting. He worked closely with the military and provided seed money to start the scholarship program. Funding for scholarships is from dividends from that original investment and proceeds from an annual golf tournament. Because of the outstanding

success of the golf tournament this year, four additional scholarships will be added with priority given to students of the new School of Engineering at University of Guam. The scholarships will be handed over to awardees during the January 2012 SAME – Guam Post meeting.

private industry professionals in the architecture, engineering, construction, and environmental and facility management fields to strengthen our nation’s security.

SAME Guam Post is active in the local community and in the local economy.

Through our Charlie Corn Scholarships, we offer nearly $10,000 each year to benefit local students interested in engineering and related fields. Our members are closely connected with the Guam Chamber of Commerce, Guam Contractor's Association and nearly every other agency and organization on the island.

SAME is the premier professional engineering association in the United States that connects public sector and

Contributed by SAME Guam Post members Bob Shambach of EA Engineering, Science & Technology, Rey Llaneta and James Atkinson both of Chugach World Services.

For more information about becoming a member of SAME, please visit www.same.org.

Be a Leader. Make a Difference. Join SAME Today.

Triple B Forwarders www.tripleb.com

Congratulations to Hensel - Phelps

Consolidated Air and Ocean Freight Services To and From the U.S. and Miconesia 120 O St. Tiyan, Guam 96911 ● Ocean Freight tel: (671) 649-0900 ● Airfreight tel: 649-0421 ● Fax: (671) 649 -0546

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CONSTRUCTION NEWS BULLETIN

NOVEMBER2011 | 9

COMMITTEEUPDATE

From there the business coalition grew to 11 local businesses that have performed four quarterly community serviceevents to date. The business coalition contributes manpower, heavy equipment, refreshments, food, supplies, and other equipment for these events.

COMMITTEEUPDATE

Military, Government and Labor Relations Update (November 2011) and six Republicans, has been meeting mostly behind closed doors to develop a proposal to cut de�icits over the next decade.

Failure by Congress to approve a compromise would trigger mandatory cuts, slicing equally across defense and domestic accounts, that both sides want to avoid.

By John M. Robertson As this is being read for the �irst time, we should be learning of Congressional plans to reduce the federal de�icit. The September issue of the GCA “Construction News Bulletin” describes the purpose and makeup of the “Joint Select Committee on De�icit Reduction” more commonly referred to as “Super Committee”. Little is being reported in local and national media on its activities.

In trying to �ind out what the twelve members have been doing, I found the 2nd November article by Lisa Mascaro, Washington Bureau of the Los Angeles Times to be of particular interest. Part of the article is quoted below.

Political heavyweights from past budget debates descended on the congressional "super committee" to deliver a tough message as the panel struggles to agree on a $1.5-trillion de�icit reduction plan by its Thanksgiving deadline. The four veterans offered their expertise — along with some criticism — as they implored the committee to worry less about the partisan political climate and more about the economic harm that could come to the �inancial markets and nation's credit rating if a big deal could not be reached.

"I'm worried you're going to fail," said Erskine Bowles, the former Clinton administration of�icial and co-chairman of President Obama's �iscal commission, who sketched out a back-of-the napkin compromise to help the panel avoid that fate. "The effect it would have on how people look at this country would be disastrous," he said. "Devastating," agreed Alice Rivlin, founding director of the Congressional Budget Of�ice. She warned of a long period of stagnant economic growth, "worse than the one we're climbing out of," if global markets dismissed Congress as dysfunctional.

That public session on 1st November came as the committee, made up of six Democrats 12 | NOVEMBER2011

But because the mandatory cuts would not take effect until 2013, many in Congress think they can undo them in the year ahead.

Even as private conversations among smaller groups of committee members continue, the panel has essentially deadlocked along partisan lines.

Republicans are refusing to raise taxes to help reduce federal de�icits. Most GOP lawmakers have signed an anti-tax pledge from conservative activist Grover Norquist's Americans for Tax Reform and are hesitant to be targeted by his group in the 2012 election. Democrats portray their offer as having met Republicans part way by proposing to make cuts in Medicare and other entitlement programs — but only if the GOP concedes on some new taxes. Democrats want to raise taxes on wealthier Americans and limit loopholes.

The Democrats' "balanced approach" got an assist from the �iscal hawks Tuesday when Sen. Patty Murray (D-Wash.), the panel's co-chairwoman, asked the experts for a show of hands if they agreed that both revenue and taxes should be in the mix. All four of the budget experts, including two former Republican senators, raised their hands. The quartet included �iscal commission co-chairman and former Sen. Alan Simpson (R-Wyo.) and former Sen. Pete V. Domenici (R-N.M.). They urged the committee to go beyond its mandate and reduce de�icits by more than $4 trillion to further stabilize the country's �inances.

Spending cuts must be serious, the budget hawks said, but should be delayed until the economy improves. Simpson and Bowles noted that their commission found revenue by reducing tax rates and limiting so-called tax expenditures — the loopholes and special deductions that they say are simply spending by another name. Simpson lashed out at Norquist's objection to closing tax loopholes as a way to raise revenue.

Norquist promotes the theory that ending one tax break must be matched with a tax cut elsewhere.

"The fun and games are over," Simpson said.

"We could get the violin out."

CONSTRUCTION NEWS BULLETIN

Both sides want to engage in a revamping of the tax code, but Republicans on the panel showed little inclination to veer beyond that goal. One path out of the gridlock could be for the committee to assign other congressional panels the task of tax and entitlement changes. The GOP co-chairman, Rep. Jeb Hensarling of Texas, suggested that Social Security changes should be on the table.

"Social Security faces its problems as well," Hensarling said. "Certainly we cannot tax our way out of this crisis."

Several people in the audience wore red AARP T-shirts. The senior citizens' organization has been running a television ad warning the super committee that its 50 million members will not look fondly on lawmakers who trim entitlement bene�its.

But the experts warned that entitlement programs should not be off-limits. Simpson called the AARP ads "disgusting" for trying to dissuade committee members from cutting entitlement programs.

"People admire guts and courage," Simpson said. "In your gut, you know what you have to do."

Whatever is decided by the super committee before Thanksgiving and whatever the Congress as a whole can agree to before Christmas has an impact on Guam, especially in relation to the military buildup. The Guam business community led by the Guam Contractors Association and Chamber of Commerce with support from Para Hita Todu and Center for Micronesian Empowerment has done about all that could be done to support the Guam military buildup including the relocation of Marine Corps elements from Okinawa to Guam.

In addition to letters sent to members of the Senate Armed Services Committee as reported last month, similar letters were sent in October to military leaders in Guam, Honolulu and Washington. In addition, a letter with same message but different theme was sent to the leadership in both the Senate and House Appropriations Committees.

The consensus of insiders in Washington holds that the Guam military buildup will happen but over a longer period and perhaps scaled back to some extent. Defense Secretary Leon Panetta was in Japan recently and af�irmed that agreements related to relocation from Marine Corps Air Station Futenma will go forward. He stopped short of stating the destination or mentioning Guam by name. That is understandable in www.guamcontractors.org

Impact of the federal budget de�icit on the military is already apparent. There is already an agreement to reduce the military budget by $350 Billion over the next 10 years. Further reductions can be expected irrespective of proposed actions by the super committee. If the twelve are unable to produce a plan to cut $1.5 Trillion over 10 years, then there will be an automatic $1.2 Trillion reduction with 50% being borne by the military. By almost any measure, we are facing a critical juncture in the history of our nation.

Here on Guam, the military is planning for personnel reductions in both uniformed and civilian staff. In particular, NAVFAC is not able to retain the increased staf�ing level that was planned for an accelerated construction program. Some will be offered early retirement while others will be offered transfer to other commands in Guam or elsewhere.

Eventually, there will likely be layoffs for those who lack needed skill sets and seniority.

Most unfortunately, those leaving military service will not be readily available at later date when their service will again be needed. As we already know, the FY2012 MILCON budget for Guam is small and the FY2013 MILCON budget is expected to be

www.guamcontractors.org

even smaller and perhaps the worst year in recent time for contractors. There are however some FY2010 and FY2011 contracts that have yet to be awarded.

MILCON funding is normally carried forward from one year to the next whereas Sustainment funding is not.

To meet the mandatory budget reduction, the military will not only need to reduce staf�ing levels globally but will also need to cut or reduce various programs. Needed maintenance may not take place at an optimal level. Navy ships destined for replacement may be decommissioned without the replacement ship being built.

Next generation aircraft may not be built causing the life of older aircraft to be extended.

This will impact what was previously referred to as the militaryindustrial complex where manufacturers of all categories of materiel will be adversely affected. Massive layoffs in industry as well as the military could have a devastating impact in an economy that is already plagued with high unemployment. Of even greater importance is the possibility of the U.S. military losing its technological edge that it has enjoyed for so many years.

Wars in Iraq and Afghanistan are responsible for much military spending over the past decade. The pressure is now on from

some political leaders to withdraw our forces from the region. That of course entails risk of having to return at later date to �ight a better prepared enemy. Other nations of Asia, especially China, are strengthening themselves militarily in budgeted spending and in technology. For that reason and many more, a strong military presence in Guam is vital to the security of America. That is what we have been saying and that will continue to be our message.

Senseramente, John M Robertson, Committee Chairman

The Government and Labor Relations Committee is open to all members of the association.

Contact the GCA office for time and place of meetings.

CONSTRUCTION NEWS BULLETIN

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COMMITTEEUPDATE

view of the ongoing debate in Washington and the sensitivity of the subject.

CONSTRUCTIONHEADLINE

OUR NEW LOOK

The Guam Contractors Association has been in existence for 50 years, and is the largest association of its kind on the island. GCA members make up a very diverse group not just from construction companies, but also, law firms, insurance companies, safety and hazard awarness companies, engenierring firms just to name a few. Because of this, we thought it was time to give the GCA logo a facelift. We hope you all like it.

1. Latte Stone

2. Island

The new logo consist of three components each with a particular meaning behind it. The first one being the latte stone which represents the strong foundation that GCA has.

The second being the island of Guam representing that diverse group of members mentioned earlier. The third component are the three colors, red, white, and blue which represent the love and loyalty we have for our beautiful country The United States of America.

1. Latte Stone 2. Island 3. Colors

Guam Contractors Association

3. Colors

Building Guam since 1959

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REFINERY/ENVIRONMENTAL 320 South East Santa Rita Industrial Dr. Santa Rita, GU 96915 Tel: (671) 565-7474 Fax: (671) 565-7575 L.P. GAS DIVISION 330 Chalan Pale Ramon Lagu Yigo, GU 96929 Tel: (671) 653-4888 Fax: (671) 653-4889 WASTEWATER DIVISION 213 Dulce De Maria Anigua, GU 96910 Tel: (671) 472-8280 Fax: (671) 472-8282 GRESCO ITI 482 Route 10 Vietnam Veterans Hwy. Mangilao, Guam 96913 Tel: (671) 734-4886 Fax: (671) 734-4889 CNMI / FSM REGIONAL DIVISION PMB 327, Box 10000 Saipan, MP 96950 Tel/Fax: (670) 234-2000

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As an unemployed mother of four, it was very hard to make ends meet.

With the help of the One-Stop Career Center, I was able to get training, education, and job placement through the Work Experience Program. Now I have a steady paycheck and an opportunity to create a more comfortable life for my kids!

Bobbie Jean Merano,

- Dave Macapinlac, Micronesian Self Help Housing Corporation

SMALLBUSINESS

TRAININGS/SEMINARS FREE HOW TO START A BUSINESS Date: December 16, Friday Time: 9:00a to 11:30 a.m.

Location: Guam Department of Labor - 3rd Floor Conference Room

FREE HOW TO WRITE A BUSINESS PLAN Date: December 16, Friday Time: 1:00 to 3:30 p.m.

Location: Guam Department of Labor - 3rd Floor Conference Room

FFor many people, a business is the culmination of a dream or ambition based on specific skill or interest. You may know the type of business that you have always wanted to open, but because of lack of finances, resources, time, or self-confidence, you have never been able to put that plan into action. To start a business, you will need a lot of information, but the basics are simple. This workshop will discuss the basics of starting a small business!

Writing a business plan can be an intimidating task. But it doesn’t have to be if you take it one step at a time. This workshop will help guide you through the steps needed to write a business plan.

Remember…a written business plan will help you avoid mistakes and save you grief, time and money!

For more information, please call the Guam VBOC at 475-4900 or the Guam Department of Labor One-Stop Career Center at 475-7000.

Requests for reasonable accommodations must be made 72 hours in advance. All SBA program services are extended to the public on a non-discriminatory basis.

The Guam Veterans Business Outreach Center is a program supported by the U.S. Small Business Administration (SBA) under a cooperative agreement. SBA does not endorse any products, opinions, or services of any external parties or activities.

November 17, 2011, 9:00 a.m. – 10:30 am.

WAWF: How to get started

Presented By: Boris Hertslet, Senior Procurement Counselor Wide Area Work Flow (WAWF) is a DOD-wide contracting application designed to eliminate paper from the invoicing, receiving, acceptance, and payment processes of the DOD contracting lifecycle. The Guam PTAC will take you through the basics of setting up your account to submitting an invoice Location of Workshop: UOG School of Business & Public Administration Bldg. Classroom 110 November 17, 2011, 9:00 a.m. – 10:30 am.

Government Subcontracting

Presented By: Boris Hertslet, Senior Procurement Counselor Are you interested in selling your products and services to government agencies, but are not sure how to get your foot in the door? Consider the business opportunities available through subcontracting. Subcontracting or partnering with a prime contractor can be a profitable experience and a growth opportunity for your business. Subcontracting can enhance your company's qualifications, allowing your business to perform more competitively as a Prime Contractor in the future. Join us for an interactive workshop that will cover: 1. The Basics of Subcontracting 4. Marketing Strategies to Prime Contractors 2. Advantages and Disadvantages to Subcontracting 5. Bidding Tips for Successful Subcontracting 3. How to Locate Subcontracting Opportunities 6. Issues and Concerns with Subcontracting Location of Workshop: UOG School of Business & Public Administration Bldg. Classroom 110 October 20, 2011, 9:00 a.m. – 10:30 a.m.

Women Owned Small Business (WOSB): The New Program Presented By: Boris Hertslet, Senior Procurement Counselor SBA's new Women-Owned Small Business (WOSB) Federal Contract program provides greater access to federal contracting opportunities for WOSBs and economically-disadvantaged women-owned small businesses (EDWOSBs). Contracting officers at federal agencies are allowed to set aside contracts for certified WOSBs and EDWOSBs and help federal agencies achieve the existing statutory goal of five percent of federal contracting dollars being awarded to WOSBs. The Guam PTAC will explain the WOSB program and guide you through the registration process.

Location of Workshop: UOG School of Business & Public Administration Bldg. Classroom 110 Register now with the Guam Procurement Technical Assistance Center (PTAC).

Visit www.guamptac.com or call 735-2552.

Guam Procurement Technical Assistance Center

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• November 17, 2011 • November 18, 2011 • November 22, 2011 • November 22, 2011 • November 23, 2011 • November 28, 2011 • December 1, 2011

12:30-2:30pm 8:30-11:00am 8:30-11:00am 12:00-2:30pm 8:30-11:00am 1:00-3:00pm 8:30-4:00pm

• December 2, 2011 • December 5, 2011

8:30-4:00pm 9:00-4:00pm

• December 9, 2011 • December 19 & 20, 2011

9:00-11:30am 8:00-5:00pm

“Branding Your Company for Export” "Quickbooks: Doing Payroll” “Sales are Down – Inventory is Up – I Need Help” “Profits and Cash Flow from Exporting” "How to Write A Business Plan” “Small Business Now, SBA 504 Loan Program” “WIB Conference: Building Economic Sustainability for Small Businesses & Identifying Business Models” “Business Image & Presentation Skills” “Connecting Guam with the World: Selling Internationally Covering Negotiation, Strategy, Resources & Payments” "Business Transition Strategies - What you need to know" “Profit Mastery: Creating Value & Building Wealth”

To register, call the Guam SBDC at 735-2590 or email Laurine Sablan at laurine@pacificsbdc.com.

For more information, please visit www.pacificsbdc.com (click on workshops/calendar) or call 735- 2590.

Requests for reasonable accommodations for persons with disabilities must be made 72 hours in advance. For arrangements, please call Guam SBDC at 735-2590. Services are extended to the public on a non-discriminatory basis.

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CONSTRUCTION NEWS BULLETIN

NOVEMBER2010 | 19

SMALLBUSINESS

The Guam SBDC is one of seven SBDC’s serving the Micronesian region, collectively known as the Pacific Islands Small Business Development Center Network (PISBDCN). We offer free, confidential, one-to-one counseling in all areas of business management, including pre-venture feasibility, business planning, marketing, and financial management. We also offer small business training programs at low to no cost.

Cleopatra International Placement Agency Inc Cleopatra International Placeme Cleopatra International Placement Agency Inc Cleopatra International Plac Cleopatra International Placement Agency Inc

WE DEPLOY Skilled Workers:

(Welders, Heavy Equipment Mechanic/ Operators, Drivers, Auto Mechanics, Electricians, Carpenters, Masons, Ironworkers, Painters, Pipe Fitters, Warehouseman, etc.)

Office and Administrative Staff Engineers and Technicians Computer/IT Professionals And more...

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OVERSEAS DEPLOYMENT: is a dynamic staffing company that is deeply committed and dedicated to servicing our client’s staffing/ manpower needs. Our mission is to provide highly skilled, unskilled and professional workers wherever the need may be. We are an ideal company for companies that require skilled, motivated, disciplined and dedicated Filipino workers to serve the needs of their companies Tel: 671-482-8567 Tel: 671-482-5567 Fax: 671-637-7869 U.S. No. 1-303-747-7121 mail@cleopatraintl.com

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FEATURESTORY

GPA's

MASTER PLAN IS ALREADY IN MOTION by: David F. Macaluso

Investing in Guam's infrastructure and planning for the islands future is all part of the Guam Power Authority’s master plan.

In June of 2010, GPA was able to get working capital by selling 206 million dollars of bonds in New York City. About $106 million of those funds have been set aside for capital improvement projects for the generation, transmission and distribution upgrades to help GPA be more efficient, reliable and to reduce its cost, which means it will help rates down the road.

There's a five year projection of projects that GPA needs to complete before it can advance into the next phase of the master plan. One of those projects began in March 2011 and it includes close to three million dollars ($2.94 million) being invested into the decaying and outdated Agana Substation (located in Mong Mong.) According to GPA Engineering Supervisor Joven Acosta, this project is a partnership between GPA and GEMCCO to replace existing outdoor 115 kV and 34.5 kV breakers and disconnect switches with new equipment.

And why is there a need for this upgrade?

Some breakers at Agana's substation are vintage and were installed when Dwight D Eisenhower was the President of the United States back in the 1950's and other breakers were installed in the early 1970's.

Acosta said, "These old switches and breakers already have reached their maximum life expectancy and GPA needs to replace them. Currently at the Agana Substation,

24 | NOVEMBER2011

CONSTRUCTION NEWS BULLETIN

two breakers are underrated at 600 amps and most of the other breakers are rated at 1200 amps, which is near the overload threshold at certain outage contingencies.

As the equipment eventually breaks down, replacement parts for the older equipment are more costly or some parts are no longer being manufactured. In addition, the failure of the aged equipment poses a safety hazard to GPA's employees who work within the confines of the substation."

GPA's construction inspector Frank Marquez said in the past the agency experienced problems with aging disconnect switches associated with the breakers and had issues with opening the breakers themselves.

GPA's project engineer Johnny Quinto recalls back to 2004, when a fire broke out in the Agana Substation, caused by an explosion with one of its breakers. Quinto said, "That fire caused an island wide blackout. That’s why I believe it's so important to have the breakers replaced with updated equipment. If the old equipment remained in place, GPA customers will be subject to emergency outages caused by outdated and inadequate equipment failure."

Acosta compares the vintage equipment to an old car, "As the car begins to break down from all the wear and tear, the owner will constantly need to replace its parts in order to keep the car on the road. In the long run, as time goes by, it would be cheaper and more prudent to buy a new car. That is the same analogy with the aging equipment at the substation, replace the old with the new. By doing this, it will boost the sub-

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The bulk of the power generated from the islands power plants are routed to four critical substations (Piti, Agana, Tamuning and Harmon) which are the backbone to North and Central Guam. From these critical substations, the power is then distributed and branched out to less critical substations around the island. The Agana Substation is one of four substations that provide a critical link to the 115 kV system providing power transmission as well as distribution.

That's why this upgrade project to the Agana Substation is such an integral part to GPA's master plan.

Acosta said, "This project is expected to be completed in March 2012. So far we are on schedule, but that depends on several factors such as arrival of contractor-ordered materials, approval of planned outages for contractor to perform the work, weather conditions, and other work that is being scheduled around the island. We have a good partnership with GEMCCO as we move forward and improve the services to the islands residents. It’s a win for everyone: for the rate payers, for GPA and for contractor, GEMCCO." Another ongoing GPA project is located at eight different facilities across the island.

It's being financed with $3.8 million of bond money to install and upgrade fire protection systems for the Macheche Combustion Turbine power plant, Yigo Combustion Turbine power plant, Marbo Combustion Turbine power plant, Cabras 1 & 2, Dededo Diesel, Manenggon Diesel power station, Tenjo Vista Diesel power station and Talofofo Diesel power station.

At the time of this issue, Dededo Diesel and the Yigo Combustion Turbine power plants are being upgraded and worked on.

The scope of work involves assessment of the existing Fire Protection Systems at each facility, installation of new water supply lines, fire hydrants and 30,000 gallon water tanks, installation of diesel engine driven pumps and electric jockey pumps, installation of new fire protection systems such as carbon dioxide, FM 200 extinguishing system, foam system and sprinkler system, installation of new fire alarm and smoke detection system, and testing & commissioning. www.guamcontractors.org

GPA Engineering Supervisor Perry Taladoc said it's important that the bond money is being used to fund these projects. In 2007, before the bond, GPA had to fund the fire protection system improvements and upgrades through the use of limited revenue funds. The agency would make gradual improvements every fiscal year.

But once Guam Public Utilities Commission (PUC) approved these fire protection system upgrade projects using bond money, GPA is now able to complete improvements on at least two facilites per fiscal year. Taladoc believes the agency is on track of completing all the upgrades by 2013.

FEATURESTORY

station's reliability, make the system more cost and power efficient for rate payers and provide a safer work environment for GPA employees." In addition to the new equipment, a new control and relay panel will also be built.

Taladoc also adds. "It’s important that work is being done on the Dededo facility because it didn't have any fire protection system in place. It’s an old facility that was originally owned by the U.S. Navy before it was transferred to Gov Guam. We still use this diesel plant on occasion and to serve as an emergency back up system. In the past, this facility only had fire extinguishers in place in case there was an incident. Now GPA and GEMCCO are working side by side to install a fire-retardant foam system for its fuel tanks, a fire sprinkler system for the power plant and a foam system for its control room. GPA and Midong E & C Corporation are performing the upgrades to the Yigo Combustion Turbine power plant."

GPA project engineer Steve Bautista said, "The fire protection upgrades to these facilities are designed to meet the requirements of the latest edition of National Fire Protection Association (NFPA) Codes and Standards. These projects will bring the facilities in to compliance with the risk survey report pertaining to GPA's fire protection systems."

Taladoc also adds, "By making these facilities safer with the upgrades and new equipment, it will lower the insurance premiums to our facilities. Instead of paying the insurance companies, the money will be reinvested back into GPA to help upgrade and make the system more efficient, reliable and safer for our employees. " With the help and partnership from island contractors like GEMCCO and Midong E & C Corporation, GPA is able to be more efficient, reduce its costs and move forward on their infrastructure projects. It is certain that GPA has a plan in place and it's a real reflection that good things will continue to happen on Guam.

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PHOTOHIGHLIGHTS

October Luncheon

October 19th,2011 The Westin Resort, Guam

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www.guamcontractors.org

PHOTOHIGHLIGHTS

Department of Labor & GCA Job Fair November 1st, 2011 UOG Field House

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NOVEMBER2011 | 29

Congratulations to all the Winners and Nominees of the 2011 Excellence in Construction Awards.

CRANECRITIQUECORNER

CRANE SIGNAL PERSONS ARE YOUR SIGNALERS PROPERLY QUALIFIED? This month’s topic:

by: Dave Barnhouse

A monthly crane and rigging informative column for all personnel directly or indirectly involved with crane safety. Each month we will attempt to explain a different technical issue pertaining to crane operations here on Guam, addressing the sometimes overlooked or misunderstood topics by management and operators alike, by Dave Barnhouse

Though proper hand signals may seem obvious to those familiar with crane operations, observing some crane operations prove otherwise. As of last November the new OSHA crane standard requires all persons signaling crane operations to be tested and demonstrate their qualifications of basic understanding of crane operations and limitations, as well as standard hand and/or voice signals whenever used. There are still operators and signal persons on job sites using improper signals and justifying the use by the same old explanation, ‘that’s the way we al-ways have done it’. I have seen a rigger nearly lose some fingers while disconnecting a wire rope sling from a shackle while the signal person inadvertently signaled the operator to hoist by holding his hand up to shake his work glove onto his hand. Another instance involved the operator booming up while the riggers were disconnecting because someone gave him the ’thumbs up’ signal. He was indicating ‘Good job’. For those not familiar with hand signals the thumb up signal indicates ‘boom up’. This

Hand signal? Boom up? Swing right? Or just Hi George! is why we have specific hand signals, and the signal person should only be using the

This month’s test quiz addresses: Wire Rope Safety Factors:

Different wire rope usage requires different minimum safety factors. What are the safety factors for the following wire rope?

Rigging - ?:1, Mobile Crane Boom Hoist - ?:1, Mobile Crane pendant line - ?:1, Mobile Crane hoist line - ?:1, Overhead hoist line - ?:1, Personnel Elevator - ?:1.

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ASME Standard signals. Also, operator should never respond to improper signals nor respond to signals from other than the designated signal person.

The new OSHA Subpart CC 1926.1428 Signal person qualification standard states each signal person must: (1) Know and understand the type of signals used. If hand signals are used, the signal person must know and understand the Standard Method for hand signals.

(2) Be competent in the application of the type of signals used.

(3) Have a basic understanding of equipment operation and limitations, including the crane dynamics involved in swinging and stopping loads and boom deflection from hoisting loads.

This is a point many signal persons do not understand. A knowledgeable signal person can swing and stop the crane with a load suspended and the load will stop with the crane instead of swinging back www.guamcontractors.org

Are all types of mobile cranes’ stability capacities limited on the same percentage?

And what are these percentages?

The maximum rated capacity of a crane is a specific percentage of load that would tip the crane. This is only true if there are

HOIST. With forearm vertical, forefinger pointing up, move hand in small horizontal circles

not structural limitations. ASME B30.5 stipulates the percentage the capacity rating is based on for these types of cranes: Crawler cranes: 75% Hydraulic cranes making lifts on rubber: 75% Hydraulic rough terrain, truck cranes, and boom trucks on outriggers: 85%. Floating cranes or land based cranes working

LOWER. With arm extended downward, forefinger pointing down, move had in small horizontal circles

on a vessel may require a rating capacity reduction to maintain stability. The maximum allowable list and trim is the least of 5° or the amount specified by the crane manufacturer, or the amount specified by the qualified person.

USE MAIN HOIST. Tap fist on head, then use regular signals

We will discuss the answers to these questions in next month’s edition of GCA Construction News Bulletin, please be sure not to miss it.

USE WHIPLINE. (AuxiliaryHoist) Tap elbow with one hand, the use regular signals.

RAISE BOOM. Arm extended, fingers closed, thumb pointing upward

LOWER BOOM. Arm extended, fingers closed, thumb pointing downward

Partial mobile crane hand signal chart required on site and forth like a pendulum. Though most of the time the operator will catch the load to prevent this, the signal person must know how to signal in the event the operator cannot see the load.

Another important issue is the subject of boom deflection. If the signal person does not understand this principle more than likely the load will swing out from the crane when hoisted. Whenever a load is swinging in and out or back and forth it is out of control. A suspended load must never be out of control.

(4) Know and understand the relevant requirements of § 1926.1419 through § 1926.1422 and § 1926.1428.

OSHA mandates employers to assure the above requirements of signal persons by training and testing. This testing may be an oral or written test and must be followed up with a practical test. The signal person must then be evaluated by a competent person and found qualified or not. The signal person must have on the work site www.guamcontractors.org

documented training stating each type of signaling, (hand signals, radio signals, etc.) for which he is found qualified. This can be in the form of a wallet card.

Devices used for voice signals must be tested on site before beginning operations to ensure that the signal transmission is effective, clear, and reliable. Signal transmission must be through a dedicated channel, except multiple cranes/derricks and one or more signal persons may share a dedicated channel for the purpose of coordinating operations. And of course the operator’s reception of signals must be by a hands-free system.

Signals other than standard hand signals may be used provided the signal person, operator, and lift director (where there is one) contact each other prior to the operation and agree on the non-standard hand signals that will be used.

I will attempt to test your knowledge of crane operations each month in this column with a few questions relating to one of the mentioned topics. These questions will address the weak areas more frequently noted during my classroom operator training and/or the more common discrepancies noted during crane inspections. If your company or subs utilizes cranes whether as owner or renter I invite you to look for this column each month and test your crane knowledge.

Please e-mail any comments, questions, or specific topics you would like to see addressed in this column to certs@ite.net and we will certainly attempt to accommodate your requests Dave Barnhouse resides in Yigo and has been involved with operations, maintenance, operator training, and/or inspections,of cranes since 1969. He is a Certified Environmental Trainer, CHST, NCCCO certified crane operator and practical examiner for all types of mobile cranes and the only OSHA accredited crane inspector on Guam.

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CRANECRITIQUECORNER

Answers to last month’s test quiz: Stability limitations:

NEWMEMBERS

NOVEMBER 2011 Contractor: K ARBO Electric Inc. 328 Rte. 8 Unit 1-A Maite Guam 96910 GCA Contact: Franzel Arive, Vice President Email: arboelectricinc@gmail.com Ph: 671-969-1195 Description: Electrical Contractor C.H.A Construction P.O.Box 12212 Tamuning, GU 96931 GCA Contact: Chung Anderson, Owner Email: chunghoaanderson@gmail.com Ph: 671-777-0067 Fax: 671-649-0633 Description: Building and Plumbing Rokko & Associates, Inc. 340 San Vitores Rd. Suite 302 Tamuning, GU 96931 U.S.A P.O.Box 10014 GCA Contact: Masayuki Sato Email: masayuki.satoh@g-kou.com Ph: 671-646-0057 Fax: 671-649-0423 Description: Electrical Contractor

Email: guahanmgr@guam.net Ph: 671-989-0083 Description: HR Consultant, Administrative, Notary, Employment Placements and Training Guam Corner Stone, Inc. 130 E. Marine Corps Dr. Hagatna Gu 96910 GCA Contact: Tricee Limtiaco, President Email: trice@guamcornerstone.com Ph: 671-988-4549 Fax: 671-475-7749 Description: Merchant Wholesaler of Construction Materials Allied: Madd Guam Chapter GCA Contact: Lisa Salas Chair, President; Vel Valencia VP Email: guam.gu@madd.org Ph: 671-477-2546/969-8998 Description: Non Profit Organization

Associate: Harrington Industrial Plastics, LLC 177-D Ilipog Dr., Tamuning, GU 96913 GCA Contact: Terry Sielken, Regional Operations Manager Email: tsielken@hipco.com Ph: 671-647-4473 Fax: 671-647-4474 Description: Construction Material Supplier JWK Global, LLC P.O.Box 7953 Tamuning, GU 96931 GCA Contact: Daniel Rust General Manager Email: drust30905@yahoo.com Ph: 671-997-0700 Fax: 671-647-4474 Description: Operation & Maintenance Guahan Administrative & Training Services 426 Rt. 8 Ste. 201 Barrigada, GU 96913 GCA Contact: Paris Blas

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Congratulations to all the Nominees & Winners

of the Excellence in Construction Awards

“Let me win, but if I can not win, let me be brave in the attempt.�

Congratulations To all the Winners and Nominees of the Guam Contractors Association 2011 Excellence In Construction!

142 Seaton Boulevard, Suite 102 - Hagåtña, Guam 96910 telephone (671) 477-1239 or (671) 477-2239 facsimile (671) 477-3339 email adztech@teleguam.net • www.adztechgu.com