CALIFORNIA STATE EDITION
A Supplement to:
August 29 2021 Vol. II • No. 18
“The Nation’s Best Read Construction Newspaper… Founded in 1957.” Your California Connection – Sharon Swanson – 1-760-518-4336 – sswanson@cegltd.com David Rowland’s business, T.O. Development, operates as a clean import fill site, cleaning up land across Southern California and making it suitable for development. Its strategy starts from the ground up.
Story on page 8
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Page 2 • August 29, 2021 • www.constructionequipmentguide.com • California State Supplement • Construction Equipment Guide
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Construction Equipment Guide • California State Supplement • www.constructionequipmentguide.com • August 29, 2021 • Page 3
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Page 4 • August 29, 2021 • www.constructionequipmentguide.com • California State Supplement • Construction Equipment Guide
Rebuild SoCal Partnership Applauds Infrastructure Report Rebuild SoCal Partnership (RSCP) applauded a first-of- economy sell goods and services to both other businesses professional and business services. This will add up to more its-kind report that finds that upcoming spending on federal, and consumers, totaling $1 trillion over 10 years; than 7 million job-years supported or created over the next state and local transportation infrastructure will generate Contribute $52 billion per year of state GSP, adding up to 10 years; These workers will earn approximately $30.3 bilnearly $200 billion in economic activity in California annu- $520 billion over 10 years. This accounts for nearly 2 percent lion in wages annually, totaling $303 billion over 10 years; ally over the next decade and will support 700,000 jobs per of total GSP; $21.2 billion in additional tax revenues each year, adding year. Support nearly 700,000 jobs on average each year up to $212.2 billion over 10 years. This includes: According to the report, in the next 10 years government throughout the economy, with 86 percent of the employment $6 billion in annual state and local tax revenue from payinvestments in California’s transportation infrastructure will outside of the construction industry; This includes an esti- roll, business, income, sales and use taxes, totaling $60.9 bilgrow from $40.4 billion in 2021 to $52.6 billion in 2030. mated 220,000 jobs in transportation and warehousing, lion over 10 years, and This equates to a return of $4.30 in economic activity for 80,000 jobs in manufacturing and trade and 68,000 jobs in $15 billion in annual federal payroll, income and business every $1 spent on the transportation system. taxes, totaling $151.3 billion over 10 years. Every $1 billion spent supports over 15,000 For more information and to find a copy of jobs throughout the economy. this report, visit www.rebuildsocal.org. “This report is significant for quantifying the intrinsic value of infrastructure spending,” said About Rebuild SoCal Partnership Rebuild SoCal Partnership Executive Director Founded in 2016, The Rebuild SoCal Jon Switalski. “Return on investment is not Partnership, (RSCP) is an organization that only more than four-fold, the job growth creatrepresents 2,750 construction firms and more ed through this funding is substantial.” than 90,000 union workers in all 12 Southern The research was conducted by the California counties. Based in Anaheim, Calif., American Road & Transportation Builders RSCP is dedicated to working with elected Association (ARTBA) and released by the officials and educating the public on the conCalifornia Alliance for Jobs, California Transit tinued need for essential infrastructure funding Association, California State Association of including airports, bridges, ports, rail, roads Counties and the League of California Cities. and water. Specifically, the report found that California Rebuild SoCal Partnership has recently highway, street, bridge and transit investment will support the following $200 billion in annulaunched the Rebuild SoCal Zone Podcast, al benefits over the next decade: According to the report, in the next 10 years government investments in which is available on Spotify, Apple Podcasts Generate nearly $101.5 billion annually in California’s transportation infrastructure will grow from $40.4 billion in 2021 and other platforms where podcasts are availeconomic output as businesses throughout the to $52.6 billion in 2030. able.
PG&E to Bury 10,000 Mi. of Power Lines in California Pacific Gas & Electric plans to bury 10,000 mi. of its power lines in an effort to prevent its fraying grid from sparking wildfires when electrical equipment collides with millions of trees and other vegetation across drought-stricken California. The daunting project aims to bury approximately 10 percent of PG&E’s distribution and transmission lines at a projected cost of $15 billion to $30 billion, based on how much the process currently costs. The utility believes it will find ways to keep the final bill at the lower end of those estimates. Most of the costs will likely be shouldered by PG&E customers, whose electricity rates are already among the highest in the United States. PG&E stepped up its safety commitment just days after informing regulators a 70-ft. pine tree that toppled on one of its power lines ignited a major fire in Butte County, the same rural area about 145 mi. northeast of San Francisco where another fire
sparked by its equipment in 2018 killed more than 80 people and destroyed thousands of homes. Since it started July 13 in a remote area of Butte County, the Dixie Fire has churned northeast through the Sierra Nevada. By mid-August, the fire spanned a 133-sq.-mi. area, forcing the Plumas County sheriff to order evacuations along the west shore of popular Lake Almanor. The backlash to PG&E’s potential liability for the Dixie Fire prompted the company’s recently hired CEO, Patricia Poppe, to unveil the plan for underground lines several months earlier than she said she planned. Previous PG&E regimes have staunchly resisted plans to bury long stretches of power lines because of the massive expense involved. But Poppe told reporters that she quickly realized after she joined PG&E in January that moving lines underground is the best way to protect both the utility and the 16
million people who rely on it for power. “It’s too expensive not to do it. Lives are on the line,” Poppe told reporters. PG&E said only that burying the lines will take several years. However, getting the job done within the next decade will require a quantum leap. In the few areas where PG&E has already been burying power lines, it has been completing about 70 mi. annually. PG&E expects to eventually be able to bury more than 1,000 mi. of power lines annually, said its chief operating officer, Adam Wright. While Wright likened the project to the Marshall Plan that helped rebuild Europe after World War II, Poppe invoked President John F. Kennedy's 1962 pledge for the United States to land on the moon. PG&E’s path to this point has been strewn with death and destruction. After previous leaders allowed its equipment to fall into disrepair in an apparent attempt to boost
profits and management bonuses, the utility's grid was blamed for igniting a series of devastating wildfires in 2017 and 2018 that prompted the company to file for bankruptcy in 2019. The biggest fire, in Butte County, wiped out the entire town of Paradise and resulted in PG&E pleading guilty to 84 felony counts of involuntary manslaughter last year just weeks before it emerged from one of the most complex cases in U.S. history. As part of its bankruptcy, PG&E set up a $13.5 billion trust to pay victims of its past wildfires, but that fund is facing a roughly $2 billion shortfall because half its money is supposed to come from company stock that has been a market laggard. Since getting out of bankruptcy, PG&E also has been rebuked by California power regulators and a federal judge overseeing its criminal probation for breaking promises to reduce the dangers posed by trees near its power lines. The util-
ity has also been charged with another round of fire-related crimes that it denies committing. Poppe insisted things are getting better this year under a plan that calls for PG&E to spend $1.4 billion removing more than 300,000 trees and trimming another 1.1 million. But she conceded the utility is "not making enough progress" since it's only a fraction of that 8 million trees within striking distance of its power lines. But she also defended PG&E's handling of the tree that may have caused the Dixie Fire and its response. The tree looked healthy and was about 40 ft. from power lines, she said, making it a low-risk danger. When a PG&E troubleshooter was sent out to inspect a potential problem, he noticed the tree had fallen and may have started a fire in a treacherous area that he tried to put out before firefighters arrived. "His efforts can be called nothing less than heroic," Poppe said.
Construction Equipment Guide • California State Supplement • www.constructionequipmentguide.com • August 29, 2021 • Page 5
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Page 6 • August 29, 2021 • www.constructionequipmentguide.com • California State Supplement • Construction Equipment Guide
Construction Equipment Guide • California State Supplement • www.constructionequipmentguide.com • August 29, 2021 • Page 7
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Page 8 • August 29, 2021 • www.constructionequipmentguide.com • California State Supplement • Construction Equipment Guide
T.O. Development’s Strategy Starts From Ground Up The average person doesn’t think twice about what is underneath their feet as they walk along a sidewalk, across the street or through a parking lot. The team at T.O. Development does. Thirty years ago, David Rowland and his wife, Janice, moved from Anchorage, Alaska, to San Diego, Calif., and founded T.O. Development. The business operates as a clean import fill site, cleaning up land across Southern California and making it suitable for development. T.O. Development’s strategy starts from the ground up. “We’re in the land development business,” Rowland said. “We import fill and charge for it, and that’s a fill import site. We turn it into a business park and then rent it out. It works really well here.” For contractors working on a construction project, it’s vital to have unpolluted fill dirt to work with. A clean import fill site can provide that material for them. A clean fill is defined as a non-water, non-decomposable solid, such as rock or gravel. Clean fill also can include items such as bricks, blocks or concrete from construction and demolition activities. A machine digs out the weak dirt, replaces it with the non-decomposable material and packs fresh dirt on top. T.O. Development uses several local resources in its fills, including left-over dirt from motocross tracks or emulsified concrete from demolition activities. Currently, the business owns approxi-
On a recent project, which the team later dubbed the “Supersite,” it raised the elevation by 60 ft.
David Rowland and his wife, Janice, moved from Anchorage, Alaska, to San Diego, Calif., and founded the company 30 years ago.
mately 100 acres of commercial and industrial property. A family business, T.O. Development has five employees, including the couple’s son, Trevor. The couple also own a second business, a successful real estate company named Rowland Properties. Between the two endeavors, the Rowlands’ and their staff have worked with hundreds of customers and completed thousands of loads during the past 30 years. Some of their past clients have included the San Diego Department of Corrections, Ecology Recycling and Western Towing. Year-Round Work On a busy day, the team can take in a maximum of 500 loads a day. This number varies on how well the economy is doing, meaning that on slow days they may take in 10 loads or fewer. T.O. Development purchases a large property (typically between 20 to 40 acres) that is low in elevation, completes the import fill and then sells the land back to businesses or developers in the community. On a recent project, which the team later dubbed the “Supersite,” it raised the elevation by 60 ft. see AUCTION page 10
Construction Equipment Guide • California State Supplement • www.constructionequipmentguide.com • August 29, 2021 • Page 9
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Page 10 • August 29, 2021 • www.constructionequipmentguide.com • California State Supplement • Construction Equipment Guide
David Rowland’s Clean Fill Vital to Construction Sites
“We import fill and charge for it, and that’s a fill import site. We turn it into a business park and then rent it out. It works really well here.” said David Rowland.
T.O. Development uses several local resources in its fills, including leftover dirt from motocross tracks or emulsified concrete from demolition activities.
Due to the warm climate in Southern California, Rowland estimates that his team only has about four to six weeks of slow time per year. “There’s at least 10 to 11 months of really busy, going, doing and pushing dirt,” he said. Pushing dirt isn’t all that the crew and their machines are expected to accomplish. The business relies on its machines to do multiple tasks in succession. A machine
needs to “knock down the dirt, water it, compact it, stir it, mix it and make sure they meet the right hydration requirements,” according to Rowland. To accomplish this, T.O. Development uses heavy construction equipment. When searching for a new wheel loader in December of 2020, Rowland selected a Doosan DL580-5 wheel loader for its bulk material-handling needs.
T.O. Development purchases a large property (typically between 20 to 40 acres) that is low in elevation, completes the import fill and then sells the land back to businesses or developers in the community.
Machine Necessities Rowland said that he heard a “good response” from people in the industry that had purchased smaller Doosan wheel loaders. After deciding that the DL550-5 wheel loader would be too small, the business went with the larger DL580-5 The DL580-5 wheel loader is currently the largest model that Doosan offers in North America. Key standouts of the 380-hp DL580-5 include enhanced performance, easy maintenance and a comfortable cab. It also features a reinforced Z-bar, a larger profile arm and an adjusted lift cylinder geometry for added productivity. For increased visibility, Rowland’s operators can easily access a rearview camera and see what’s behind the machine on the LCD screen in the enclosed cab. To accompany the machine, Rowland ordered an 8-cu.-yd. bucket. The bucket is made with high-strength alloy steel and is designed to allow for 110-percent overfill.
AUCTION from page 8
Each state has a different set of requirements when it comes to ensuring that a clean fill is actually clean. A contractor and their team must work carefully to follow federal, state and local regulations. For example, in most states, pollutants are not permitted in the fill. A pollutant could be something as simple as food waste or something more complex like a radioactive substance.
For enhanced digging, Rowland added cutting edges to the bucket. “When it comes to cutting edges, it’s like a hot knife through butter,” he said. With these features, the wheel loader can efficiently haul the wet material that T.O. Development regularly handles. Service After Purchase Rowland purchased the Doosan DL580-5 wheel loader from Mega Machinery in Lakeside, Calif., a dealer that he has worked with for more than 15 years. Rowland trusts Mega Machinery and its employees, and he’s had only positive experiences with the dealer. Rowland said that if he calls the dealer with an issue, an employee will be there “within hours.” “If we have a piece of equipment down and need a hose or a filter, we call the dealership up and say, ‘Set it on the counter; we’ll be by.’ They never disappoint,” Rowland said. With T.O. Development’s continued success in Southern California, Rowland plans to one day hand the business off to his children. Until then, he and his team show no signs of slowing down. “We’re a growing company,” he said. “And we do a good job. I’m proud of our crew and our accomplishments. Now to break in this new loader.”
Construction Equipment Guide • California State Supplement • www.constructionequipmentguide.com • August 29, 2021 • Page 11
Skanska Promotes Waguespack to Operations Vice President Skanska, one of the world’s leading construction and development firms, has promoted Justin Waguespack to operations vice president for its civil operations in California. In his new role, Waguespack will lead the ongoing $1.2 billion Regional Connector Transit Project in downtown LA, delivering the project to a successful completion for the Los Angeles County M e t r o p o l i t a n Transportation Authority (LACMTA) and for all Angelenos to enjoy. “For the last 14 years, Justin has been instrumental in the execution of a wide variety of civil projects,” said James Bailey, executive vice president and general manager at Skanska USA Civil in California. “His thoughtful leadership, team-oriented approach and heartfelt dedication to his work have helped solidify Skanska’s reputa-
tion as a leading producer of quality civil projects on the West Coast.” Waguespack joined Skanska in 2007 and has been an integral manager on important projects including the Iconic Freeway Structure, Brawley Bypass Construction, I-805 La Jolla Village Drive and the SR-79 Winchester Road Widening. Most recently, Waguespack served as a project director, managing overall project direction, completion and financial outcome, and administering owner and subcontractor relationships, responsibilities that he will continue to prioritize in his new role. His leadership has been particularly pivotal during the pandemic, dedicating himself to directing and mentoring onsite staff and field craft, a team of nearly 600. For more information, visit www.usa.skanska.com.
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Page 12 • August 29, 2021 • www.constructionequipmentguide.com • California State Supplement • Construction Equipment Guide
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