Sponsored By:
Executive Report
There is a lot to be excited
about at Solutions 2006…the RIA annual convention in Savannah
this March 14 – 17. RIA members and friends should have already
received the convention brochure (if you have not, please visit www.RIA.org to view it online) where
you can see all of the details on the top flight speakers and
presentations.
As a reminder to everyone,
RIA will be in Savannah for the St. Patrick’s Day celebrations.
For those of us who have not experienced St. Pat’s in Savannah,
let’s say that it is akin to Mardi Gras in New Orleans
(pre-flood, of course). This means that rooms will be scarce after
RIA’s unsold rooms are released to the public. So make your
reservations by February 21st (or earlier since we have a limited
number of rooms), if you want to be in the Westin Hotel with the rest
of your RIA colleagues.
January is a busy
month for RIA because the office is moving effective January 30. There
will be no disruption of phone, fax or email services during the move.
There will be, however, one working day where our customers may
experience some feedback delay due to the move itself. Rest assured
that we will make every effort to make this move as seamless as
possible for our members. Please make a note of our address (effective
January 30, 2006).
RIA
9810
Patuxent Woods Drive, Suite K, Columbia, MD 21046-1595
Don Manger
Executive Director
RIA NEWS
Breaking News
RIA Briefs
Toolbox
Tips
Marketing Savvy
Bright Ideas
Product Spotlight
On Press Now
INDUSTRY NEWS
"Put the Internet
to Work for Your Business"
"Don't Miss
Out on Fabric Protection Revenue"
"Concerns Raised Over Mold in Courthouse"
"Worth the Risk"
"El
Reno Building Deemed Safe, Despite Mold Concerns"
"Schools Hope to Clear the Air"
"Hurricanes Weigh on Reinsurance Outlook: S&P"
"Facelift Nearly Finished"
"In Moldy New Orleans, Mike Bertel Takes On a
Gargantuan Job"
"Water-Damage
Restoration: A Case Study"
"Catastrophe Recovery: A Forensic Accountant's Role"
"Cleanup Crews Tackle Katrina's Nasty Leftovers"
"The Need for Healthier Schools"
"Above-Average Hurricane Season Predicted for
2006"
RIA
NEWS
Breaking News
RIA Briefs
Breaking News
Large Equipment Theft Rises in Gulf
Region
According to a report released by the National
Equipment Register (NER), construction equipment thefts throughout the
Gulf Coast area have increased 22% from August 29th through the end of
the year, as compared to the same period in 2004. Following Katrina,
the thefts were primarily in neighboring states, but as more equipment
entered the area, the access to stolen equipment increased with a
growing market for construction equipment.
NER says that theft levels closely follow the amount of equipment
in a particular area. The top 5 states with the highest theft rates
are: Texas, North Carolina, California, Florida and Pennsylvania. Theft
rates are also higher close to land borders, since this provides an
easy route for exporting stolen equipment. Annually, equipment losses
total approximately $1 billion in the U.S. and recovery rates are as
low as 10%.
Some RIA members have had
their equipment vandalized, while others have lost entire trailers of
equipment and supplies. Advisories have been sent to project managers
in these areas to be even more cautious in securing equipment as
restoration efforts expand.
The Chubb
Group of Insurance Companies is working with NER in an effort to reduce
heavy equipment thefts and increase recovery chances. Under a new
program, Chubb will pay the cost of registering the first 10 pieces of
equipment with NER for their policy holders. Additional pieces may be
registered at a 20% discount. The company will also waive insurance
deductibles of up to $10,000 for stolen equipment registered with NER
and not recovered within 30 days of being reported stolen to law
enforcement authorities.
The March issue
of Cleaning & Restoration will feature an article by the chief
operating officer of NER detailing specific steps companies can take to
protect their equipment. There are several products on the market that
can aid in deterring these thefts, including “boots” used
to lock wheels in place. The most frequently stolen equipment based on
2004 figures supplied to NER are skid steer loaders, backhoes, tractors
and generators/compressors. For more information on NER, visit www.nerusa.com.
Dept. of Homeland Security Closes NERR
Following the unparalleled destruction along the Gulf Coast
from the hurricanes, the Department of Homeland Security created a
National Emergency Response Resource Registry (NERR). This
“virtual warehouse” provided private sector and emergency
responders with a means to provide support to many of the affected
communities. The Department has since closed down the NERR, effective
Dec. 30, 2005. While not all of the resources were utilized, the
Department is reviewing its effectiveness and looking for ways to
improve the process in the future.
DuPont Reaches Settlement with U.S. EPA
DuPont has
reached a settlement agreement with the U.S. Environmental Protection
Agency (EPA) in an enforcement action related to the chemical compound
perfluorooctanoic acid (PFOA), pending final approval by the EPA
Environmental Appeals Board.
The company
said it will pay $10.25 million in fines and an additional $6.25
million for two supplemental environmental projects to be undertaken in
connection with the settlement. The supplemental environmental
projects include funding for a research program to evaluate the
potential for fluorotelomer biodegradation and funding for
microchemistry and green chemistry programs in certain West Virginia
schools.
The agreement resolves four
counts of reporting violations under the Toxic Substances Control Act
and the Resource Conservation and Recovery Act that were filed in 2004,
one of which dates back to the 1980s. Four additional counts,
raised by the agency in 2005, also were resolved. The settlement
closes this matter for DuPont without requiring an admission of
liability on their part.
According to the
U.S. EPA, PFOA is a synthetic chemical that does not occur naturally in
the environment. It is found in numerous consumer products, including:
non-stick cookware; breathable, all-weather clothing; chemical
products; personal care and cleaning products; as well as oil, stain,
grease and water repellent coatings on carpet, textiles, leather and
paper. Studies show that PFOA can cause developmental and other adverse
effects in laboratory animals. While the EPA doesn’t fully
understand how individuals are exposed to PFOA, it has started a public
process to identify and generate additional information on the
substance.
Compiled by Patricia
L. Harman.
RIA Briefs
Solutions Update
There’s still time to
purchase a booth and exhibit at RIA’s 61st Annual Convention and
Exhibition in Savannah, GA, from March 14-17.
Solutions will be held at the Westin Savannah Harbor Golf Resort
and Spa with the exhibition in the adjacent Savannah International
Trade & Convention Center. Exhibition dates are March 15-17 and include
more than 11 hours of exhibit time. Each exhibitor receives two
complimentary registrations, which includes all meal functions and
educational programs. Contact Tiffany Palen at tiffanyp@RIA.org for more
information on exhibiting or sponsorships for the convention. Savannah hosts one of the largest St. Patrick’s
Day celebrations in the nation, so it’s imperative that RIA
members make their hotel reservations early. Once the hotel rooms are
filled, it will be difficult to find other accommodations in the city.
The Westin has set up a special link on their website for RIA guests
to register:
Watch Out for Fraudulent Claims
While legitimate worker’s compensation claims cost
billions of dollars each year, fraudulent claims can drive that figure
even higher. Here are some injuries to pay particular attention
to:
Back and head injuries –
usually one of the most common injuries and difficult to disprove. Keep
a close watch on employees who complain about these types of
injuries.
Monday morning injuries
– these may have occurred over the weekend, but workers may claim
they’re work-related.
Vague,
unsubstantiated injuries – these injuries may not be reported
immediately or attributed to a specific piece of equipment or
job.
Malingering injuries – more
common when employers do not stay in close contact with the employee
and physician to get constant updates. Hiring a nurse to follow up with
doctors or provide on-site care to employees can help reduce these
claims.
Occupational stress or disease
claims – these claims can result in a lifetime of payments,
so careful investigation and follow-up are required.
Investigate each claim thoroughly and share your concerns with
your insurance company if you think a claim is possibly false. They may
be able to provide advice and further investigation.
Return to Headlines
Toolbox
Tips
Marketing Savvy
Toolbox Tips
Best
practices for cleaning and restoration professionals
Technical Know-How at Your Fingertips
By Steven M. Spivak, Ph.D.
Did you know that 25 years or more of articles from
RIA’s Cleaning & Restoration (C&R) magazine are now
instantly searchable and available to view online? It’s a
fantastic resource for the public, with exclusive members only access
to the full text of these articles. We’ve learned that some
members don’t realize this valuable resource and member benefit
is available.
Let me show you
how to find them. Go to our website www.RIA.org. There are two different avenues to enter the
online resource and technical library. First, select or click on
“Resource Library” from the upper tool bar menu. Then
select “Technical Library” from the next prompt. The C&R
articles’ search program and dialog boxes appear on your screen.
A second way to access the C&R reference library is to select or
click on “Member Services” from the upper tool bar menu.
Then select “Technical Library” from the next prompt.
Again, the C&R articles’ search program and dialog boxes appear
on your screen. It notes that the online search capability and article
abstracts or excerpts are available to both members and non-members
alike. But full text and complete articles are available to members
only as a high value member benefit.
What can
you find in this C&R resource? The articles are searchable by
author’s name, title or search topic, and by keyword or target
terms. You can also search an entire category or topic of interest
– there are about 235 subject index topics listed, and you can
search any one of these for all of the pertinent articles!
Here’s an example using the
topic “leather.” From the subject listing, I chose
“leather.” A list of eight documents appears,
including: #1449, by Spivak on “Leather Upholstery” from
July 2003. Also listed is document #1488 by Spivak, “Ink Stains
on Leather [Upholstery]” from December 2003. In addition,
there’s document #1521 by Conti, R. on “Leather
Identification, Care and Restoration” from May 2004. Click on any
of the document numbers and the articles’ abstract, or an opening
excerpt of the article, appears on your screen.
To view the full article, click on that link and a log in
appears. It asks for your current membership login and password.
Provide this member information and “voila!” you’ve
got instant access by document number to any of the online articles
from our superb RIA Cleaning & Restoration magazine. Forgot your ID #,
user name or password? Call our office for replacement details. This
online C&R resource is easy to use, plus a great way to search for and
find ideas, technical, cleaning and restoration, business or management
articles from our wealth of resources. A wealth of information is now
at your fingertips, only a mouse click away!
Steven M. Spivak, Ph.D., is an RIA
technical advisor.
Saline
Damage
By Martin L. King, CR, ASA
A variety
of sources can introduce saltwater into buildings: sea spray, water
softener malfunctions, stored ice melting products and ruptured
saltwater fish tanks are just some of them. By the time restorers
inspect the site, the surfaces have usually dried. What remains is
sodium chloride in crystalline form (basically table salt). It may coat
the surface, but some material has likely been absorbed by the concrete
or wood floor.
Salt is highly
hygroscopic, and absorbs water from the atmosphere. A pound of salt
suspended in a screen will become damp and release a continuous drip of
water. This characteristic was relevant in a case where a 30-gallon
salt-water fish tank ruptured. The water dried, but the sub-floor
continued to drip water into the room below. Despite tenting and
drying, the subfloor returned to a damp state and continued to extract
moisture from the air.
A brine solution
is used in water softeners to re-constitute the resin beads or zeolites
that extract the dissolved minerals that "harden" the water
supply. Occasionally, systems malfunction and the brine floods the
basement floor. (This invariably occurs while the occupants are on
vacation.) What greets them when they return is a powdery layer of salt
all over the floor. Salt isn't good for concrete, even though a single
occurrence may not cause significant damage. However, it is important
to remove as much of the salt as possible in order to minimize any
long-term effects.
Saltwater damages
leather by breaking down its cellular structure. Saltwater
deterioration of Oriental rugs can be indistinguishable from
"dead" wool in appearance and feel. Sodium chloride corrodes
most metals, and the reaction can be swift. Electronic equipment
sustains permanent damage from saltwater unless it can be immediately
cleaned and rinsed.
Salt dissolves in
water, and most efficiently in de-ionized water, which dilutes its
concentration, but does not neutralize the salt. When the water dries,
sodium chloride crystals remain. This suggests that dry removal from
surfaces by vigorous brushing and vacuuming is a better first step than
dilution. Repeated extraction can then be used to remove the remaining
crystals.
A product marketed as Salt-X
has been developed as an economical way to prevent salt corrosion and
remove salt accumulation on machinery and sports equipment, as well as
building surfaces. The product is water-soluble and has apparently been
evaluated by several testing labs as an effective treatment. It is
produced by Innovative Chemicals, Inc., and lab reports and other
information are accessible on the Internet under Salt-X.
Beyond decontamination, the ability to identify
chlorides in solution has a number of advantages to restorers.
Insurance exclusions are often triggered by the presence of saltwater,
for example, in contaminated ocean shipments or as saltwater spray
during a storm or hurricane. Chloride identification is also useful in
determining whether salt removal has been effective after accidental
spillage affecting a floor or Oriental rug.
The test requires nitric acid and a five percent silver nitrate
solution. The sample to be tested is moistened, immersed or rinsed to
extract a small quantity of test solution. The solution is then
transferred to a clean test tube that has been rinsed with distilled or
deionized water. A drop of diluted nitric acid is added, followed by a
drop or two of the silver nitrate. If chlorides are present, a white
cloudy precipitate immediately appears. If you would like to discuss
chloride contamination or testing, give us a call at the RIA lab.
Martin L. King, CR, ASA, is an RIA
technical advisor.
Marketing Savvy
How to Catch E-mail Mistakes
When sending
e-mail, run through the following checklist before you hit the
“send” button:
Address
-Is the address correct?
-Is the e-mail going to the right people?
Main Message
-Does the subject line
preview the content of the message?
-Is the main point of
the message in the first paragraph?
Format
-Have I used short paragraphs with
strong opening sentences?
-Have I included enough white
space to break up the text into readable sections?
-Have I
used bullets or numbers to highlight main ideas?
Final Check
-Have I proofread and
run spell check?
-Are promised attachments
included and explained?
Adapted
from “Does Your E-Mail Pass the Blush Test?” Leslie
O’Flahavan and Marilynne Rudick, E-Write, www.ewriteonline.com .
Commit Names
to Memory
One of the best ways to make a favorable
first impression is to remember people’s first names. As Dale
Carnegie said, “A person’s name to him or her is the
sweetest and most important sound in any language.” You can
improve your ability to remember names if you:
· Use the
name immediately.
·
Repeat it silently to yourself.
· Comment on the
name, if possible.
·
Use it occasionally in conversation (without overdoing
it).
·
Write it down afterwards.
Return to Headlines
Bright
Ideas
Product Spotlight
Bright Ideas
How do you
protect your equipment from theft at a job site?
Send submissions of 100 words or less to: BrightIdeas@RIA.org with the
words “Bright Idea” on the subject line by Monday, February
6th. The best ideas will be published in the February issue of
NewsBreak.
Product
Spotlight
2nd Edition NIDR Guidelines for Fire & Smoke
Damage Repair
The NIDR Guidelines for Fire and Smoke
Damage Repair have been revised and expanded with updates, new
material, a more extensive glossary and an index. The manual defines
the relationships of restorer-client-adjuster, and provides a basis for
the proper training of estimators, project managers and insurance
claims personnel. The NIDR Guidelines address basic questions, such
as:
- When is a wall "clean"?
- What procedures are recommended for antiques?
- Who
authorizes the work?
- Is restoration always
cost-effective?
- When should corrosion treatments be
applied?
- What should emergency contracts include?
Cost: $45/RIA members
$55/non-members
A United Kingdom Edition is
also available.
Cost: $50/RIA members
$60/non-members
Tips! On the Care and Maintenance of Your Carpet, Rugs, Drapery and
Upholstery
Use RIA’s "Tips! On the Care and
Maintenance of Your Carpet, Rugs, Drapery and Upholstery" as the
perfect leave-behind for your clients. It explains fabric care, answers
to frequently asked questions, and has an index of common stains with
step-by-step instructions for their removal. RIA can also imprint your
company’s logo for a customized brochure. Available to RIA
members only.
Cost: $200/1,000
$125/500
Return to
Headlines
On Press Now
Here’s a preview of what’s
coming up in the February issue of Cleaning & Restoration:
Magnetic Service: Prescription for Anxious
Customers
By Chip R. Bell
When times are
turbulent, customers seek the assurance that some things in their lives
never change. Magnetic service that is reliable, relaxed, respectful
and remarkable provides customers with tranquility in the midst of
trepidation. Give customers service solace and it will accelerate their
ardor and ensure their loyalty.
(Bell will be delivering the
keynote address at Solutions in Savannah, GA on Thursday, March
16th.)
Setting the Standards for a
Loyal Customer Brand
By John Tschohl
Advertising may bring customers to you the first
time, but it is the quality of your service that will help you keep
them over the long haul. Empowering employees at all levels in a
company is essential to providing good customer service.
Creating Raving Fans
By Scott
Stamper
In a world where good customer service is undervalued
and “close” is often good enough, consumers frequently
believe that no one cares about the feedback they have to offer. Of
course, great companies don’t just want moderately satisfied
customers — they want Raving Fans. So what does your company need
to do to create Raving Fans?
Not a subscriber? Then click here
to order your monthly subscription to RIA’s monthly,
award-winning technical journal https://www.RIA.org/commerce/crmag_subscription.cfm.
Return to Headlines
INDUSTRY NEWS
"Put the Internet to Work
for Your Business"
Cleaning & Maintenance
Management Online (01/01/2006) Kulesa, Geoff
Service
Magic Inc. Vice President Geoff Kulesa urges cleaning businesses to
establish an online presence, considering that a growing number of
consumers are searching the Web for local home service professionals.
However, Kulesa says Web sites are generally too costly and time
consuming for businesses that serve a limited area. Kulesa thinks
online lead generation services can be an inexpensive way to locate
customers, as they provide Internet exposure and generate customer
leads without requiring cleaners to pay up-front fees, maintain Web
sites, or have Internet marketing experience. "ServiceMagic has
brought in more jobs for my business than any other advertising source
I've used--including the Yellow Pages," remarks Gerald Simmons, owner
of Pompano Beach, Fla.-based 3N1 Services. ServiceMagic impose fees
only for the leads received by members, but other online lead
generation services charge membership fees or a percentage of the
profits from jobs secured through the service. Online lead generation
services locate leads based on work type and geographic area.
(Web Link)
Return to
Headlines
"Don't Miss Out on
Fabric Protection Revenue"
CM-Cleaning &
Maintenance Management (01/01/06) Baig, Taf
Cleaning
furniture accounts for less than 35 percent of the income earned by 70
percent of the carpet cleaners surveyed by CM/CleanfaxOnline. Magic
Wand Co. founder Taf Baig believes carpet cleaners could boost their
earnings by offering fabric protectors, as industry surveys reveal that
less than one-third of cleaners use such products on furniture. Baig
notes that most cleaners fail to mention that they offer furniture
cleaning and fabric protectors, either because they deem it unnecessary
or do not want to get a "no" response from customers. However, Baig
thinks more customers would say "yes" if they were offered fabric
protector after their furniture is cleaned, with the cleaner
recommending it as a way to guard against future stains. Baig also
underscores the importance of properly applying protector, noting that
electric, cordless sprayers with "80-01" applicator jets are used by
most cleaners. These jets feature a small opening that sprays at an
80-degree angle.
(Web Link)
Return to Headlines
"Concerns Raised Over Mold in
Courthouse"
Columbus Telegram (01/04/2006) Blum
Julie
In Missouri, Platte County Treasurer Marietta
Newman expressed concerns about air quality in the Platte County
Courthouse due to mold growth. According to Newman, Richard Snyder of
Snyder Engineering said air-quality tests conducted by his company in
2003 during a renovation project uncovered mold in some of the
courthouse's air ducts. An inefficient air filtration system was found
to be the cause of the mold, but a mold test conducted by Des Moines,
Iowa-based certified industrial hygienist Mary Finn found no cause for
alarm. Newman recently told the Platte County Board of Supervisors
that she is worried about her staff, noting that some have complained
about headaches and respiratory problems. Though Newman is the only
official to complain about mold at the courthouse, the board will have
its building and grounds committee look into having the filtration
system examined by a mechanical engineer.
(Web Link)
Return to
Headlines
"Worth the Risk"
Dallas Business Journal (12/26/05) Allen, Margaret
Restoration Specialists LLC of Addison, Texas, began
overseeing in 2004 the logistics of handling catastrophic disasters,
transporting food, labor, shelter, and equipment. The company, which
was launched as a business that restored and reconstructed homes and
buildings damaged by fire, water, and wind, witnessed its revenue soar
30 percent in 2005 following three months of work in New Orleans
handling the Hurricane Katrina disaster. Last spring, Restoration
established a catastrophic response team, performed in-depth logistics
planning, instructed workers, and spent $100,000 on the latest
equipment, including a 30-foot travel trailer for housing and a
one-ton, heavy duty Dodge Ram truck equipped with a 100-gallon diesel
fuel tank and specialized equipment. Only three days after Hurricane
Katrina hit, Restoration had its two-man scout crew in New Orleans.
Restoration quickly hired contract labor to assist in composing four
teams of four men working six days per week. One of the company's
initial clients was city resident Janet Richard, whose two-story house
was flooded. Restoration took away the furniture, gutted sheet rock
and rotted materials, and dried the first floor of the home.
(Web Link)
Return to Headlines
"El Reno Building Deemed Safe, Despite Mold
Concerns"
Daily Oklahoman (12/29/05) Kramer,
Bill
The city of El Reno, Okla., had an indoor air
quality evaluation performed on two city buildings in response to
complaints from a worker who believes mold in the Municipal Building
annex is the cause of her health problems. The tests show that the
buildings have acceptable levels of airborne particulate and airborne
mold. However, the report recommends that sheet rock, insulation, and
ceiling tiles be replaced and that surfaces are cleaned and disinfected
due to water damage and possible mold near air vents. However, city
manager Doug Henley is not concerned about indoor air quality, as no
other employees have complained. Nevertheless, a consultant has been
hired by the city to formulate plans to remove and repair any
mold-damaged materials.
(Web Link)
Return to Headlines
"Schools
Hope to Clear the Air"
Baltimore Sun (12/24/05)
P. 1B; Kay, Liz F.
Baltimore, Md., school districts
are working to remove indoor pollutants within their schools, thereby
creating a cleaner environment for the students and reducing the number
of missed school days among both students and teachers due to health
problems. The Harford County school system has received awards for its
utilization of Tools for Schools, a program devised by the U.S.
Environmental Protection Agency. In 2005, Carroll County began using
the program at its 41 schools. Meanwhile, Baltimore County school
officials intend to initiate a 40-school pilot program in January with
the assistance of a $54,000 grant from the EPA. The impact of bad air
can be serious. A 2003 EPA review of research reveals that students at
schools with poor indoor air quality miss school more often than
students at other schools. In addition, the research finds that bad
air can disrupt memory or concentration.
(Web Link)
Return to Headlines
"Hurricanes Weigh on Reinsurance Outlook: S&P"
Business Insurance (12/13/05) Veysey, Sarah
Standard & Poor's Corp. is maintaining a negative outlook on
the global reinsurance industry following this year's series of
hurricanes. "The outlook reflects near-term strains on reinsurers'
financial strength, after 2005 saw the largest catastrophe losses in
the industry's history," said Laline Carvalho, a credit analyst at S&P.
Total losses from hurricanes Katrina, Rita and Wilma are expected to
be between $70 billion and $90 billion. S&P says that the reinsurance
industry "will be liable for a substantial portion of those losses."
The agency noted that "[n]ot only will those storms continue to strain
some (reinsurers') financial strength in 2006 but S&P also continues to
have concerns about how much coverage some reinsurers will write, how
they will price it and the potential for adverse reserve developments
linked to 2005's catastrophes."
(Web Link)
Return to
Headlines
"Facelift Nearly
Finished"
Northwest Arkansas Times (12/24/05)
Terry, Drew
Late last month, the majority of repairs
being made to the Washington County, Ark., Courthouse were expected to
be completed. Workers from Texas found the masonry problems after
being retained to look for mortar breaks and reseal the facade to stop
water from leaking into the structure. County officials now believe
this problem caused the original damage to the five-story building
which was constructed in 1986. Questions arose in October concerning
the courthouse's construction and whether it had followed the
architect's designs. The deterioration is now believed to be less
serious, with the worst damage located on the northwest corner of the
building. According to County Judge Jerry Hunton, some of the bricks
used in construction were imperfect and failed over time, and the
northwest wall had also shifted a bit. The repairs to the northwest
corner included recaulking and remortaring deteriorating joints, as
well as sealing the courthouse to ward off precipitation and further
weakening.
(Web Link)
Return to Headlines
"In Moldy New Orleans, Mike Bertel
Takes On a Gargantuan Job"
Wall Street Journal
(12/22/05) P. A1; Wells, Ken
Many of the houses
severely damaged by the floodwaters from Hurricane Katrina are now
being gutted, with their entire interiors removed except for bare
wooden walls and floors. Gutting the houses means dealing with walls
that have been infested by mold and seriously weakened by floodwaters
reaching up several stories. Gutter Mike Bertel estimates that nearly
all of the houses in some neighborhoods will have to be either gutted
or completely destroyed. The majority of such houses are in
middle-class neighborhoods on the outskirts of New Orleans; owners, who
pay for the gutting service from their pockets or from flood insurance,
expect to sell the gutted structures for a fraction of their
pre-hurricane market price.
(Web Link)
Return to
Headlines
"Water-Damage
Restoration: A Case Study"
Cleaning Specialist
(12/05) Vyrostek, Steve
A medical building in New
Orleans that suffered extensive wind and water damage during Hurricane
Katrina was difficult to restore to usable condition, according to
Steve Vyrostek of Phoenix-based C&E Services. After repairing the
windows, roof, and HVAC system, the building was forced to close due to
musty odors and above-normal levels of moisture on exterior walls.
Despite the fact that a closure translates into lost revenue, Vyrostek
says the building owner was wise to shut the doors so that the matter
could be quickly resolved. Vyrostek notes that closing down at a later
date could have caused greater losses, as the problem could have taken
longer to fix. Parts of the building were reopened within 24 to 36
hours, thanks to the trailer-mounted Water Out drying systems that were
brought to the site. The business fully reopened in slightly more than
a week, and Vyrostek estimates that the drying process saved the owner
more than $500,000.
(Web Link)
Return to Headlines
"Catastrophe Recovery: A Forensic Accountant's Role"
Claims (12/05) Hoffman, Roland; Wilson, Thomas
Forensic accountants are called upon to help insurers
calculate property and business losses due to catastrophic natural
disasters. These accounting firms have catastrophe directors and
regional catastrophe teams that rush to disaster areas. Team members
work with insurance adjusters, engineers, contractors, and other
consultants, keeping track of paper flow and conducting audits during
the rebuilding process. It is important for them to look over invoices
as soon as they are received, putting items into the following
categories: like-kind replacements, improvements, or maintenance.
Forensic accountants have been busy in recent months, as an
unprecedented number of natural disasters occurred in 2005. The
National Flood Insurance Program, for instance, could payout more than
$22 billion in hurricane-related claims.
(Web Link)
Return to Headlines
"Cleanup Crews Tackle Katrina's Nasty Leftovers"
USA Today (12/12/05) P. 4A; O'Driscoll, Patrick
Every day, cleanup crews come down Gulf Coast states' city
streets, suburban housing areas, and rural sectors with trailers,
trucks, and Bobcat-type loaders, trying to clear away over 100 million
cubic yards of damage caused by hurricanes Katrina and Rita.
Homeowners bring storm debris to the curb, including carpet, furniture,
households items, and branches. They pile stacks of construction and
demolition material, including splintered wood, bricks and roofing, and
moldy wallboard. Crews in Louisiana transport the waste to 150 dumps,
transfer stations, and temporary collection sites. Some is completely
buried, some broken down in vast grinders. Louisiana's estimate of 22
million tons of debris includes the eventual destruction of between
100,000 and 200,000 houses, primarily in hard-hit sections of Orleans,
St. Bernard, and Plaquemines parishes. The Corps of Engineers and the
Federal Emergency Management Agency, which foots the majority of the
cleanup bill, calculates debris by volume. The Corps of Engineers
could spend $3 billion just on Katrina debris in Louisiana.
(Web Link)
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"The Need for
Healthier Schools"
Gotham Gazette (12/12/05)
Boese, Stephen
The U.S. Environmental Protection
Agency has stated that indoor environmental health risks can hurt a
school's air quality. The agency figures that around 50 percent of the
country's schools have poor indoor air quality, a leading health
hazard. New York City public schools are not immune to this problem;
tests discovered high levels of a pair of chlorine solvents at a new
high school in the Bronx's Soundview section, both of which are known
to cause dangerous ailments, including cancer. It is also not known
how many school buildings in New York City still have asbestos. On the
positive side, however, all coal boilers have now been removed from New
York City schools. In addition, both the city and state are moving
toward installing guidelines to ascertain that all school construction
and renovations comply with high health standards. Also, Gov. George
Pataki signed in August a bill mandating schools to utilize
environmentally preferable cleaning products.
(Web Link)
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"Above-Average
Hurricane Season Predicted for 2006"
Claims
(12/05) Gilkey, Eric
Though researchers at Colorado
State University's Department of Atmospheric Science expect an active
2006 hurricane season, the number of major hurricanes that make
landfall will drop from 2004 and 2005. Researchers Philip Klotzbach
and William Gray predict 17 named storms, five of which will become
Category 3 or stronger hurricanes. They believe the U.S. coast has an
81 percent chance of getting hit by a major hurricane in 2006.
Klotzbach and Gray add that there is not enough evidence to attribute
the increase in the number of intense hurricanes in recent years to
global warming.
(Web Link)
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