Sand and gravel fatality

Joseph A. Lerma Jr., journeyman heavy equipment operator, age 41, was injured on Jan. 6 while operating a skid steer loader underneath a belt conveyor that was being dismantled, according to MSHA's latest fatality report. Two coworkers were in an elevated man lift cutting braces from the leg supports of the belt conveyor support structure. A 12-ft. x 4-in. piece of steel box tubing fell into the cab of the skid steer loader as it approached the work area, striking Lerma. He was hospitalized and died on Jan. 9.

According to MSHA, the accident occurred because management failed to establish procedures to ensure that persons could safely dismantle the belt conveyor support system. A risk assessment to ensure all hazards were identified and controls were used to protect persons was not conducted. Persons were not trained on hazards and safe work procedures before performing the task. Persons were permitted to work underneath the belt conveyor support structure while braces were being cut above them. -- Mark S. Kuhar

Inside the numbers

USGS' latest mineral industry survey shows a 17 percent decline in aggregates production in 2008 from the previous year and a 23 percent decline in the fourth quarter compared to 2007. But how do the production numbers break down in terms of geography? Let's look a little closer. From our earlier posting, we already know that the estimated production-for-consumption of aggregates in the fourth quarter of 2008 decreased in all of the geographic divisions compared with that sold or used in the fourth quarter of 2007. The largest decreases in percentages were recorded in the South Atlantic (31 percent) and the Pacific (29 percent) divisions. What we didn't tell you is that production-for-consumption of aggregates in the fourth quarter decreased in 46 of the 48 states that were estimated. The five leading states, in descending order of production-for-consumption, were Texas, California, Ohio, Missouri and Pennsylvania. Their combined total production-for-consumption was 151 million metric tons and represented 29 percent of the U.S. total. The estimated production-for-consumption of crushed stone in the fourth quarter of 2008 decreased in eight of the nine geographic divisions compared with that sold or used in the fourth quarter of 2007. The largest decreases were recorded in the Mountain (32 percent) and the South Atlantic (32 percent) divisions. Production-for-consumption of crushed stone decreased in 38 of the 47 states that were estimated. The five leading states, in descending order of production-for-consumption, were Texas, Missouri, Pennsylvania, Illinois and Ohio. Their combined total production-for-consumption was 99.1 million metric tons and represented 33 percent of the U.S. total. The estimated production-for-consumption of construction sand and gravel in the fourth quarter of 2008 decreased from fourth quarter 2007 levels in all of the nine geographic divisions. The largest decreases in percentages were recorded in the West North Central (38 percent) and the Pacific (35 percent) divisions. Production-for-consumption of construction sand and gravel decreased in 41 of the 46 states that were estimated. The five leading states, in descending order of production-for-consumption, were California, Texas, Arizona, Wisconsin and Michigan. Their combined total production-for-consumption was 78.9 million metric tons and represented 37 percent of the U.S. total. -- Brian Richesson

Aggregates production tanks in 2008

Well, the numbers are in, and they aren't pretty. USGS has released full-year 2008 production statistics. The estimated annual output of aggregates produced for consumption in 2008 was 2.34 billion metric tons, a 17-percent decrease compared with 2007. The estimated annual output of crushed stone produced for consumption in 2008 was 1.34 billion metric tons, a 16-percent decrease compared with 2007. The estimated annual output of construction sand and gravel produced for consumption in 2008 was 978 million metric tons, a 21-percent decrease compared 2007. Fourth quarter 2008 numbers were brutal, with total aggregates production down 23 percent year-over-year. Crushed stone dipped 21 percent, while construction sand and gravel plummeted 28 percent. The estimated production-for-consumption of aggregates in the fourth quarter of 2008 decreased in all of the geographic divisions compared with that sold or used in the fourth quarter of 2007. The largest decreases in percentages were recorded in the South Atlantic (31 percent) and the Pacific (29 percent) divisions. -- Mark S. Kuhar

Adding accountability

As has been reported since February, $150 billion of President Barack Obama's $787 billion economic stimulus package has been designated for infrastructure projects around the country. The end result, of course, would benefit the aggregates industry. But sometimes it's difficult to know whether these funds are really being used in the way they were originally intended. On March 20, Obama announced guidelines aimed at preventing waste and fraud and limiting the influence lobbyists will have in carrying out the program. His guidelines specify that stimulus funds can't be used on projects like aquariums, zoos, golf courses, swimming pools, casinos and other gambling establishments. The law specifies states will lose their funds if they miss a deadline or don't allocate the money fast enough - keeping them on their toes. Obama also said priority will go to projects that will create the most jobs, including those that will help rebuild roads and bridges. Loads of information on the stimulus package can be found at www.recovery.gov, including links to states' progress and resources. -- Brian Richesson

Against all odds

In setting up the Pit & Quarry booth at the Orange County Convention Center in Orlando last week, I wasn't sure what to expect in the way of turnout for the AGG1 show that would begin the next day. It was the debut of the National Stone, Sand & Gravel Association's AGG1 Aggregates Forum & Expo. The new show is an "all-in-one" event for the association, combining its annual convention and many of its yearly offerings into one setting.

And it was coming at a bad time.

Reports of attendance at other industry trade shows this year -- such as World of Concrete -- have been bleak, and there was little reason to believe AGG1 would fare any better. One very active member of NSSGA told me if this year's new show didn't fly, there would be little hope of holding the event next year ... in Ohio ... in February.

NSSGA had assured the media that advanced show registration was high, but I took that with a grain of salt given the swift downturn of the economy. While a successful show was in everyone's interest, I was skeptical -- and I wasn't the only one.

Tuesday morning arrived, and we walked through the front doors of the convention center to discover a throng of people gathering to take the escalators down into the exhibit hall. My coworkers and I looked at each other, knowing this was a good sign. And when we entered the show floor, the aisles and booths were filled with people.

Nearly every exhibitor we spoke with was surprised and pleased by the turnout. And some equipment manufacturers have already committed to 2010 with even larger booth space. Attendees were pleased, too. There was a lot of equipment to see and a wealth of educational seminars to attend.

The success of AGG1 2009, against all odds, has set up NSSGA for a successful 2010 event next February. See you in Cincinnati. -- Darren Constantino

Aggregates prices rise

According to Reed Construction Data, the Construction Materials Price Index fell 0.6 percent in February extending the decline since the September peak to 9.1 percent. The spike in prices earlier in 2008 has now been more than reversed. The index stands at only 0.5 percent higher than a year ago. The price index is expected to decline slowly for a few more months but rise modestly by the end of the year and rise higher next year, perhaps up 4-5 percent from the 2009 average.

The Construction Sand, Gravel and Crushed Stone price index actually rose, gaining 0.9 percent month over month, 2.3 percent over a three-month period, 6.3 percent over the past year and a whopping 24.3 percent over the past three years. Cement prices declined 1.1 percent after very little price decline over the past year. But this is not yet reflected in concrete products prices which generally rose slightly.

February’s price drop was lead by steel products. Structural steel prices fell 2.9 percent with similar drops for steel pipe and builders’ hardware and a smaller decline for metal plumbing fixtures. Nonferrous price changes were missed in February. Extruded aluminum prices fell 3.2 percent but copper pipe and tube prices jumped 5.8 percent as copper ore and scrap prices both increased sharply. The countercyclical move in copper prices is supply driven and likely short term. -- Mark S. Kuhar

AGG1 a success!

The just-concluded 2009 World of Asphalt Show & Conference and co-located AGG1 Aggregates Forum & Expo were an unqualified success, posting strong attendance numbers despite a down economy and travel restrictions by many companies. The shows were held March 9-12, 2009 at the Orange County Convention Center in Orlando, Florida. With final registration numbers of 5,800, including 16 percent international, the co-location meant a big attendance boost for World of Asphalt, which had attracted about 3,650 to its last show, held in 2007. And, it provided a very strong start for the inaugural AGG1.

“The comments we heard from attendees were very positive, that the trade show floor was where they needed to be to keep in touch with what’s happening in their industry segments,” noted Show Director Sara Truesdale Mooney. “We’re very gratified by the response and recognition of our shows, and exhibitions in general, as a quality environment for networking and commerce.”

Attendees came from more than 60 countries besides the United States, including all major world regions. Official delegations came from China, India, Mongolia and Russia. Nearly 70 percent of attendees hold key management roles in their companies. Nearly 400 exhibitors took 85,900 net sq. ft. of exhibit space at the shows to showcase their latest technology and products.

“The aggregates and asphalt industries are integral to each other, so the co-location of AGG1 and World of Asphalt gave attendees access to the whole spectrum of products and services ‘from rock to road,’ as we like to say,” stated Rick Feltes of Lafarge North America and NSSGA’s AGG1 Management Committee Chairman. -- Mark Kuhar

Media outreach

Recent items we've posted here encourage aggregate producers to improve their relationship with the community through positive stories in the media. This is easier said than done, but it is possible. Working as a newspaper reporter and copy editor for about 10 years, I've been on the other end of the process. I have some insight as to how producers can get their stories in print. It starts with giving the media a reason to write about or televise your operation. Host a community event, an open house, a school tour. If you're doing this already, that's great. But you can strengthen the impact by inviting the media to cover these events. You'll need to touch base with the newspaper's editorial department (where the stories are generated). Find out who covers your community or general assignments for the local newspaper, and pitch your event in that direction. Also tell the reporter that great photo opportunities exist at your operation. This positive media coverage will provide a welcoming face to your operation and help build a relationship the community needs to understand the aggregate industry. -- Brian Richesson

Restoration by the river

One of our previous items referred to the sometimes-negative perception communities have when quarries exist within their borders. We mentioned how aggregate producers should reach out to their communities with positive stories in the media and through plant tours. We came across something recently that made us think about this relationship with the community and how one producer might be nurturing it. Rockville, Md.-based Aggregate Industries restored the historic Hayfield Manor, a pre-revolutionary Georgian manor built on the banks of the Rappahannock River and located just outside Fredericksburg, Va. The manor was abandoned, vandalized and on the Association for the Preservation of Virginia Antiquities’ most-endangered list before Aggregate Industries’ stabilization and renovation project began in 2006. Hayfield now offers the house and surrounding property as an alternative venue for meetings, events or lectures, making it an active part of the community. The ultimate goal for Hayfield is to expand education about the house, the restoration project and the mining practices taking place on the property and the importance of mining in everyday life. Visit Hayfield's web site by clicking the link above and view some nice photos. If aggregate companies can help develop more community projects like this, maybe critics will be swayed, relationships will improve and our industry will be better off in the long run. -- Brian Richesson

Kremer honored with Wendt Award

The National Stone, Sand & Gravel Association named Randy J. Kremer, vice president-manager of construction materials for Watsonville, Calif.-based Granite Construction Inc., recipient of the 12th annual Barry K. Wendt Memorial Commitment Award for his dedication to the construction aggregates industry, his family and his community. The award was conceived and is judged by the Manufacturing and Services Division of NSSGA comprised of companies that manufacture and market equipment or provide services to the aggregates industry.

Over the past 35 years, Kremer has helped to bring Granite Construction from a singular, albeit vertically integrated, role as a heavy civil contractor to become a nationally recognized aggregate, asphalt and concrete construction materials supplier. Along the way, Kremer also has been a tremendous champion for the aggregates industry.

"It is fitting that such a respected leader of our industry is honored with the Wendt Commitment Award," said NSSGA President and CEO Joy Wilson. "In my dozen-plus years with the association, I have personally seen Randy's commitment to association operations conferences, and to Board, political, policy and technical activities. He has insisted on the highest-quality all-volunteer-led education offerings that could be developed for the AGG1 Academy. He looks ahead for the workforce of tomorrow. We are deeply thankful for his efforts at NSSGA and, undoubtedly, he has helped better not only ours but all of the organizations in which he has become involved."

The award is named for Iowan Barry K. Wendt (1946-1997), a Cedarapids, Inc., employee and industry leader who was universally recognized as a leader in the aggregates industry. He had served as chairman of the Manufacturers Divisions of both the former National Aggregates Association and National Stone Association. Each year, the Memorial Commitment Award goes to an individual who exemplifies the qualities of leadership and commitment demonstrated by Wendt. It is the association's highest individual honor and service award. -- Mark Kuhar