Restoration Industry Association -- Educational Programs and Events

The Rewards of Professionalism

Books have been written on the subject of professionalism and what it means. Most people seem to agree that professionals are honest, dedicated and persistent; that they constantly work to be the best in their field, to perform the best service for their customers, and to provide the best work environment for their employees. Professionals embody the Debbie Fields philosophy that “Good enough never is.” And when you encounter a truly professional company, you can usually sense it from the first meeting.

But…is there tangible value in professionalism? As lawyers say, it depends. Professionally run companies are always more profitable than those less so, and individuals with proven qualifications earn more than non-professionals. And now there is proof of the value of your professionalism within the industry.

RIA is pleased to announce its partnership with Ross Driscoll, CR, of Driscoll and Driscoll Insurance in launching a program that can save professional restoration companies (those whose primary business is the removal of water from the built environment) up to 25% on pollution liability and general liability insurance. The program, which was designed by Ross Driscoll in collaboration with the underwriters at Zurich Insurance, offers "stackable" discounts to members of RIA and those who have earned RIA’s highest professional designations: Certified Restorer®, Water Loss Specialist®, and Certified Mold Professional®.

We are honored that Zurich Insurance places such value on the professionalism of RIA members and that their investment becomes your reward for attaining the mark of a professional through advanced designations.

This new program is explained more fully elsewhere in this issue of NewsBreak and I urge you to investigate it when considering your insurance needs. You will be glad that you did.

Don Manger

Executive Director

RIA Launches New Insurance Program for Members

As anyone in the restoration industry knows, insurance coverage costs, especially pollution liability insurance, have risen tremendously. After working with Ross Driscoll, CR, of Driscoll & Driscoll Insurance to create a program that will benefit all members, RIA has announced one that offers unprecedented discounts through Zurich Insurance.

The program provides all RIA members in good standing with an immediate 5% discount on their insurance policies up to the cost of their RIA membership fee. Companies which have one or more employees who hold the Certified Restorer® (CR) designation, will receive an additional 10% off on top of their RIA membership discount. Companies with individuals holding the Water Loss Specialist® (WLS) and/or Certified Mold Professional® (CMP) designation will also receive additional discounts on their premiums. The discounts are cumulative up to 25% off.

Both general liability and pollution coverage can be rolled into one policy. Members who would like more information on the program should contact Driscoll & Driscoll at (661) 948-9476 or visit their website at www.driscollanddriscoll.com.

OSHA Offers Employers Guidelines for Reducing Motor Vehicle Crashes

Employers spend about $60 billion dollars a year on motor vehicle crashes, with the average crash costing $16,500. If a worker has an on-the-job crash, the cost rises to $74,000. And if a fatality is involved, costs often go over $500,000.¹

New guidelines have just been released for employers and employees who use motor vehicles for work purposes. The Occupational Safety and Health Administration (OSHA), National Highway Traffic Safety Administration (NHTSA) and Network of Employers for Traffic Safety (NETS) introduced Guidelines for Employers to Reduce Motor Vehicle Crashes, a 32-page booklet to assist employers with promoting an effective driver safety program in their place of business.

The guidelines feature a 10-step program detailing how employers can improve traffic safety performance and reduce the risk of accidents. It also includes stories from employers who have implemented successful driver safety programs and a worksheet to assist employers in calculating the costs of motor vehicle crashes.

The guidelines are available at http://www.osha.gov/Publications/motor_vehicle_guide.pdf .

¹ NHTSA (2003). The economic burden of traffic crashes on employers: costs by state and industry and by alcohol and restraint use. Publication DOT HS 809 682.

Scientific Panel Considers PFOA a Likely Carcinogen

A draft report from an independent panel advising the Environmental Protection Agency on a chemical used to manufacture Teflon confirms its initial finding that perfluorooctanoic acid (PFOA) is likely carcinogenic.

Panel members said that using the terminology “likely to be carcinogenic” is more consistent with existing data, although DuPont Co., the sole producer of PFOA in North America, has taken issue with that characterization.

While the panel’s document indicates that there is suggestive evidence of carcinogenicity in lab animals, the information is not sufficient to assess the impact on humans.

Home Depot Purchases Chem-Dry

Atlanta-based home improvement giant, Home Depot, has purchased Chem-Dry, a Utah-based franchisor, to supplement the services offered by its home installation business. Chem-Dry provides carpet and upholstery cleaning through its 4,000 franchises worldwide.

ServiceMaster Cuts Jobs, Grows Disaster Restoration Services

In an effort to expand their coverage of the disaster restoration market, ServiceMaster Co., has agreed to purchase InStar Services Group. Last year, InStar had revenues of approximately $130 million. Delivery of services to national, regional and local customers will be handled by both companies. The acquisition is expected to be completed by the end of the first quarter.

ServiceMaster will also cut approximately 200 support staff positions when it sells its American Mechanical Services and American Residential Services units to concentrate on its disaster division.

RIA Briefs

Solutions Update

Solutions will be held at the Westin Savannah Harbor Golf Resort and Spa with the exhibition in the adjacent Savannah International Trade & Convention Center on March 14-17. Currently, the RIA room block is at capacity and the overflow hotel is the Inn at Ellis Square (201 West Bay Street). The room rate is $249/night and a two-night minimum stay is required. The room block is limited and the rooms will not be available after February 15^th. For reservations or more information, phone (912) 236-4440 or (877) 542-7666.

The convention kicks off with a golf tournament on Tuesday, March 14^th. There’s still time to register, just log onto the RIA website: www.RIA.org or contact the RIA office at (800) 272-7012.

For more information, visit http://www.RIA.org/programs/conference06/index.cfm.

Colorado Bill Benefits Insureds

A bill working its way through the Colorado legislature will provide home and business owners with the opportunity to choose which companies perform work for any insurance covered repair.

In a letter to the chairwoman of the Business Affairs and Labor Committee, RIA President Bill Lakin said, “RIA believes that allowing consumers to choose their own service providers for a covered loss enables them to make the wisest choice for their circumstances, obtain the best price and service expertise available among local contractors, and bring some control to an already difficult situation. HB 06-1006 will advance the interests of consumers by assuring competition in the restoration marketplace and delivering optimum value to buyers of property insurance. In addition, the bill will help to protect the many small businesses and employees of Colorado’s restoration industry from artificially imposed market constraints.”

The bill passed through the committee on a 13-0 vote and is now headed to Appropriations, which is chaired by the bill’s sponsor, Rep. Dorothy Butcher.

RIA Office Relocates

The headquarters office of RIA has moved to a new location in Columbia, Maryland. While the toll-free number remains the same, the main office and fax numbers have changed. Please note our new contact information:

RIA International

9810 Patuxent Woods Drive, Suite K

Columbia, MD 21046-1595

Phone: 443-878-1000

Fax: 443-878-1010

Toll-free: 800-272-7012

www.RIA.org

CCPS Program Educates Insurance Industry on Best Practices

RIA’s Certified Claims Professional Series (CCPS) teaches insurance professionals about industry best practices for the mitigation and restoration of water-damaged structural materials and contents.

The goal of the CCPS program is education: to provide practical claims management information through an understanding of restoration principles, work practices, options and limitations. The series includes a comprehensive reference guide covering damage, inspections, terminology, appropriate mitigation measures, drying and restoration. The one-day training program includes a lecture, case-study exercise and exam.

RIA is offering this program to qualified RIA members as a “turn-key” enterprise. The marketing and training materials, as well as the course manual, are included as part of the curriculum package. Individuals who successfully complete the training course for this program will join an elite group of instructors worldwide who uphold the highest standards in the industry. Eight chapters, each examining a critical component of the mitigation and drying process, comprise the CCPS course, providing an in-depth overview of these key concepts: moisture, materials, microbiology and mitigation.

For more information contact RIA at (443) 878-1000.

Applied structural drying (ASD) has become the preferred technique of insurers and consumers because it reduces water damage claims by up to 35 percent. This technique should be part of the training program for workers of restoration companies, note experts, because it has been approved by the Institute of Inspection, Cleaning and Restoration Certification. The certification incorporates the latest drying techniques, changes in technology, and equipment upgrades, and classroom lectures help the study process, while on-site flood locations allow for hands-on learning. Factors to consider in the restoration process include geographic location as well as whether the environment can be controlled with airflow and heat temperature equipment. Not only are these technicians trained in how to restore buildings quickly and appropriately, they are also trained to document their process in a psychrometry log, moisture content log, drying calculation work sheet, and a dehumidifier work sheet. Experts also note that technicians should be aware of how water can be extracted, how airflow will affect restoration, whether dehumidifiers are necessary, and how temperature control can aid the process.
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Quality management is looking at a business and ensuring the excellent quality of its products and service delivery. Creating quantifiable steps to do this is key. Companies should both analyze problem issues while setting goals in order to establish an A-to-B framework, and creating an operations manual, employee handbook, or both is one way to cement these goals in an organization. Secondly, quality managers need to create performance measures to evaluate their organization's output. Third, they need to poll and measure customer satisfaction to check on results. Some ways to improve service delivery is to ensure the proper and appropriate appearance of one's service staff. Second, a business should pride itself on being reliable, which means staff show up on time or inform a customer of delays beforehand. Having knowledgeable staff with educational or certificate credentials in their field will improve a company's efficacy. Companies should be good communicators with the public, courteous to clients, and try to understand customer needs.
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The Environmental Protection Agency has identified indoor air pollution as a major environmental risk, but experts say there are steps people can take to minimize or eliminate the particles that cause indoor air pollution. Among the known contributors of indoor air pollution are carbon monoxide, nitrogen dioxide and sulfur dioxide. Prolonged exposure to these pollutants can lead to serious health problems, including death. Fireplaces, furnaces, and gas stoves are common sources, so experts advise homeowners to make sure all fuel-burning appliances are working properly and routinely inspected by a professional. Homeowners should also check chimneys, and flues for cracks and blockage that make it possible for fumes to enter the home. Mechanical ventilation will also remove strong odors or fumes from the home.
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Hurricane Katrina destroyed the first of four pod-like structures that were to become the Ohr-O'Keefe Museum of Art in Biloxi, Miss., but the use of a digital design program will enable the project to quickly get back on track. The museum was designed by Los Angeles-based Gehry Partners LLP using Robert McNeel & Associates' Rhino, a three-dimensional digital modeling program. The structural components were engineered by Kansas City, Mo.-based A. Zahner Co. by converting the Rhino files into Pro/Engineer, a program created by Parametric Technology Corp. A. Zahner Co. Vice President Anthony Birchler says the pod could be redesigned and rebuilt in about two months, considering that 11 of the 12 wall panels were originally erected in only two days. If a traditional design approach was used, the rebuilding process would take as many as five months.
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In the flooring industry, some product problems can be avoided if dealers just log onto the Web sites of manufacturers and read up on their various products, warranties, and categories of performance. Often, the biggest problems dealers face is they simply don't know enough about the products they are selling. The article's author, an industry consultant and troubleshooter, writes: "It's not installation or defective material that causes most complaints. It's from not being aware of the performance characteristics, quality categories, and what colors work best and why." Wood and ceramic are two of the biggest growing product categories. While ceramic products have less chance of performance problems or claims, wood's natural characteristics leave it vulnerable to everything from chips, scratches, and scrapes to water damage. To this end, the Tile Council of America and the Wood Flooring Manufacturers Association should be considered valuable resources for product information. Finally, Migliore writes that another key to preventing problems with flooring products is "providing genuine excellent service."
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At the Tenth Annual Property-Casualty Insurance Joint Industry Forum, recent flood litigation in Mississippi were discussed by industry players, and the Insurance Information Institute's survey on the matter revealed that 80 percent of executives believed that insurers would win favorable judgments regarding their exclusion of water damages from homeowners' policies. Most policies in the state were clear and concise about what damages were excluded from the policies. Other topics discussed at the forum included concerns about low insurance premiums on coastal properties in Florida, the use of technologies that speed up the claims process, and the inadequate tools available to the industry with regard to megacatastrophe predictions and risk assessments.
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Companies have been found by courts to be liable for employee actions such as criminality, sexual assault, assault, and theft even if the employee was acting on their own prompt. If an employee commits a crime while in the framework of their job working for a carpet cleaning or home restoration business for instance, a company must answer for their actions under the Respondeat Superior legal framework. Companies as a result must take precautions to help employees avoid accidents, and also must screen their hire pool for miscreants to avoid a charge of negligent hire. In fact, employers must respond to signs of dangerous behavior in current employees or risk being sued because they should have known of potential criminal actions, a logical framework that operates under the legal doctrine of negligent retention. Many liability policies do not cover negligent hire and negligent retention claims. Companies can cover their hiring bases by require that job applicants fill out a completed application and be investigated for criminal history and a bad driving record. Companies also can require employees to sign a document stating they will inform their employer of any additional criminal convictions or driving infractions once hired. Drug and alcohol testing should be company-wide, not targeted, to both protect a company from liability and ensure compliance with the program.
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The Gulf Coast hurricanes and the ensuing liability from water-damaged homes and properties are forcing building owners and managers to reexamine the issue of mold. Reports of "sick building syndrome" are mold-infested buildings in New Orleans have made mold a frontburner issue again. In addition to successive hurricanes the last two years, facility experts fault the new wave of mold problems on the push for weather-tight structures and a rise in ventilation systems, which do not always meet environmental standards because of the way they are designed, constructed and maintained. The use of certain building materials and subpar construction practices have also contributed to the mold problem. But environmental attorneys and facility managers say state and federal officials share in the blame because they have neglected to establish acceptable exposure levels or acceptable cleanup standards.
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Schools and colleges are increasingly deploying green cleaning and indoor air quality programs to ensure a healthy environment. According to expert Dr. Michael A. Berry, a healthy school environment has a direct bearing on students' scholastic performance, behaviors, and attitudes. Green cleaning programs typically include environmentally sensitive cleaning products and techniques in order to minimize damage to the environment. When the Charles Young Elementary School in Washington, D.C., launched its green cleaning and indoor air quality programs, it experienced a rise in attendance, from 89 percent to 93 percent, according to a 2002 report from the Carpet & Rug Institute. Some of the methods used by green cleaning include minimizing airborne particles and chemicals by applying the cleaner to cleaning cloths instead of spraying it on the surface to be cleaned. Many schools find it more cost-effective and efficient to use the services of a professional janitorial firm that specializes in green cleaning and indoor air quality programs. These firms can assess the condition of the school and develop a plan to implement programs that fit with the school's budget and needs. Such firms are also likely to be knowledgeable about the most advanced cleaning techniques and products.
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The restoration of the Central Synagogue in New York City could be used as a model for the possible rehabilitation of Chicago's Pilgrim Baptist Church. The Central Synagogue was built in 1872, and its designation as the state's oldest synagogue has made it a local and national landmark. A 1998 fire during a renovation project destroyed most of the synagogue's interior, leaving only the exterior brownstone and sandstone walls intact. Insurance money and donations from affluent synagogue members raised the $40 million necessary to rebuild. The original slate roof was restored, as were the stenciled patterns on the walls and ceilings. The project--which was completed shortly before the Sept. 2001 terrorist attacks--also involved the installation of Web-casting technology. It remains to be seen whether Pilgrim Baptist Church's membership can raise enough funds to rebuild, but the project has been jumpstarted by the Pritzker Family Foundation's promise to match contributions up to $500,000.
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The school system of Carroll County, Md., was one of the first in the state to join a program sponsored by the U.S. Environmental Protection Agency (EPA) called Tools for Schools. The program teaches school districts ways to recognize and eradicate contaminants like mold, dust, and mildew in order to improve indoor air quality. EPA administrators believe roughly 1 million people in the Washington-Baltimore area have asthma and allergies, which can be exacerbated by poor air quality. The EPA also estimates that some 644,000 school days are lost annually due to such conditions. As part of the program, each of the county's 41 schools have developed teams made of janitors, school nurses, teachers, students, and parents. Team members get training from the American Lung Association of Maryland to identify indoor air quality problems. Stephen Guthrie, the district's assistant superintendent of administration, says the program has helped the county become "proactive" because schools now have a "systemic way" to assess problems. Cristina Tavares Schulingkamp, an environmental engineer with the EPA's air protection division, says most schools typically tackle air quality problems only when they are compelled.
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The damage caused by Hurricane Katrina has made many businesses aware of the necessity of not only having a business-continuity plan, but ensuring that the plan will be workable even if massive portions of the company's infrastructure are out of commission. Although many companies had business-continuity plans before Katrina hit, the plans made certain assumptions that central business functions would still be operational, leading to confusion when these resources were not available. As a result, many experts believe that decentralization of key business functions may be required for companies to truly be able to continue operations during a disaster and recover afterwards. Everyday operations, therefore, will have to change dramatically in order to accommodate this new idea of business continuity; the plan is no longer something that exists "just in case," but has a continuous effect on how the organization is managed.
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Originally built in 1948, China Middle School in China, Maine, still uses an obsolete heating duct system to heat classrooms. Shelley Phillips, ground and maintenance supervisor for China and the other towns of the Union 52 school district, says replacing the heating system would cost $200,000, including asbestos removal in the boiler room. The school also lacks any type of air filtration system, causing mold to become a significant problem. Mold is also made worse by numerous leaks over many years. The school also has many stained ceiling tiles from when the school experienced a major roof leak. Principal Brenda Beale says the school's strategy is to "work on one classroom at a time" to replace the tiles. According to Beale, school officials have opted to prioritize staff retention and programs over maintenance. Union 52's business manager Gary Smith says the most cost-effective solution would be to construct a combined middle school for the towns of China and Winslow, for which the state government would provide most of the funding. The China school board could put the issue to a referendum vote in autumn.
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Pemberton's Cleaning & Restoration Supplies President Jim Pemberton underscores the importance of applying a protector to upholstery, as it is prone to stains. However, it is more difficult to select the appropriate protector for upholstery than it is for carpets because upholstery is made from an array of synthetic and natural fibers and blends of the two. Water-based fluorochemical treatments work best on nylon, polyester, acrylic, and other synthetic fibers; but they can cause water stains, shrinkage, browning, and other such problems if used on natural and regenerated cellulose fibers. Cleaners can either under-apply the protector to avoid damaging the upholstery or use a solvent-based protector, the latter of which is the only ethical solution. When using a solvent-based protector, cleaners must ensure that customers are removed from the area and take measures to avoid inhalation. Additionally, the solvent-based protector must be applied to dry or nearly dry upholstery to maximize its effectiveness.
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