Lauding Leadership lead-er-ship Every year, the editorial staff of Aggregates Manager compiles our list of outstanding leaders in the industry. And, every year, we’re compelled to define leadership, determine how it shapes the industry’s future, and select a single name from a field of outstanding candidates. That AggMan of the Year award represents our best effort to recognize industry leadership. So what qualities do we look for? The following list represents some of the criteria we look at when selecting the AggMan of the Year. 1. Effective leaders both give and receive respect. 2. Effective leaders set goals and periodically measure to see if they’ve been met. Did tons per hour increase as a result of a plant modification? Did a new trucking contract expand the company’s market area? 3. Effective leaders understand that every business is built around people and take care of those assets. For example, a commitment to safe and environmentally responsible production is a hallmark of many of the industry’s best leaders. 4. Effective leaders recognize that they are in business to serve their customers and focus their efforts on customer service. 5. Effective leaders don’t polish their crystal balls, but they do contemplate future possibilities based on current events. If labor recruitment and retention is a problem, how much impact can be achieved through increased automation? 6. Rather than focusing on the problems (while not ignoring them), effective leaders recognize the gains to be made from expanding opportunities. What new markets can be created for sale of fines? 7. Effective leaders know when to say, “Enough is enough.” Leadership is about being willing to take risks. If everyone played it safe, progress would come to a grinding halt. At the same time, a good leader knows when to stop putting resources into a failed venture. 8. Effective leaders use data to their advantage. Whether it’s about optimizing crusher throughput or analyzing a strategic acquisition, effective leaders understand that numbers tell a story and make sure theirs have a happy ending. 9. Effective leaders learn two crucial skills: the ability to delegate and a firm grasp on the word “no.” If they don’t master both skills, they run the risk of burning out or being less effective in their areas of core competency. This year, the staff of Aggregates Manager is quite proud to recognize Ward Nye, president and COO of Martin Marietta Materials, Inc., as our AggMan of the Year (click here for online version). As you read about Ward’s many career accomplishments and ideologies, think about other leaders you know within the industry. Who do you think personifies these qualities? Drop us a line and tell us about him or her. As earlier noted, the aggregates industry is full of well qualified leaders, and we’re always happy to recognize these individuals for their contributions to this wonderful industry. MSHA Misfires On June 15, 2006, the shoe literally dropped on the aggregates industry. The Mine Improvement and New Emergency Response Act (MINER) was signed into law. As we’ve detailed in subsequent issues of Aggregates Manager, the act contains onerous requirements including significantly higher penalties for flagrant violations, minimum penalties for any violation, and the particularly disturbing 15-minute notification requirement for fatal or potentially fatal accidents. Less than three months later, the other shoe — or maybe in this case, steel-toed boot — dropped with publication of the Mine Safety and Health Administration’s (MSHA) proposed rule as detailed in the Sept. 8 edition of the Federal Register. As outlined in that publication, MSHA plans would go well beyond the proposed revisions included in the MINER Act and would create a more punitive penalty structure (see “Understanding MSHA’s New Penalty Structure,” page 8 for details). With across-the-board increases in penalty points, a significant decrease of the “good faith reduction,” and the addition of a new history of repeated violations category, this proposed rule oversteps the already harsh Congressional mandates. For example, when a “pattern of violations” option already exists, the addition of a “repeat violation” category seems to create double jeopardy for offenses. It’s also important to note that as a company’s financial risk increases, its ability to question citations decreases. The proposed rule would shrink the producer’s window of opportunity to request a conference with MSHA from 10 days to five. That window is already five days shorter than OSHA’s 15-day limit, so why shrink the opportunity to discuss violations and proposed fines? A five-day limit would place quite a burden on the vast majority of aggregates producers who do not have in-house legal representation. That same fast-track mindset applies to the proposed rulemaking. Issued in early September, the proposed rule is to take effect next month and little opportunity for thoughtful comment has been allowed. The entire rulemaking process appears to echo Congress’ reactionary stance on mine safety. To ensure that it isn’t perceived as being soft on safety offenders, MSHA is one-upping Congress’ intentions. For an organization that inspects surface mines twice a year and underground mines four times per year, MSHA seems to have lost touch with the fact that aggregates are low-margin products. The slew of penalty increases could potentially trigger the exit of numerous producers from the aggregates industry. And, the unfortunate side effect of all this posturing is that it has the potential to harm those whom the MINER Act and proposed rule are intended to help. I’ve said this before, but it obviously bears repetition: Penalties do not prevent accidents. Training, education, and stewardship all play an important role in improving safety — a role that is being undermined and undervalued by the proposed rule. To me, it underscores the importance of appointing an assistant secretary of labor for mine safety and health. Leadership that understands the balance of factors influencing safety was sorely missed during the development of this proposal. The Sky is Falling... Judging by a recent legislative trend, many communities are taking their fear of mining to a new extreme. And while it may help to be a little chicken if you’re a character in a Walt Disney movie, the same strategy does not apply to communities throughout North America that depend on aggregates to build their homes, businesses, and roads. At issue is a twist on efforts to prevent aggregate mining. While organized efforts from Not-In-My-Back-Yard (NIMBY) groups have long influenced the decisions of local zoning boards on individual permits, new mining moratoriums impact entire communities. Bans are not isolated to any one region, but are being enacted from coast to coast. For example, the city of Santa Clarita (California) has spent $6 million trying to prevent the development of Cemex’s large-scale operation there. The community has used numerous tactics to prevent the mine at the local level, but company officials say plans to open the mine are moving forward. In May, U.S. Rep. Howard McKeon introduced a federal bill that would cap mining at the site’s historic levels of 300,000 tons per year. Although the bill won’t be heard until next year and is unlikely to pass, federal decision-making on a local issue is a disturbing precedent. Two New York communities, Nassau and Skaneateles, have imposed bans on mining in their jurisdictions. At the end of July, the town of Nassau’s most recent six-month ban on mining was set to expire. In reaction, town officials hoped to pass a local law to block mining. And, in August, the Skaneateles Town Board enacted a six-month ban on mining as it further studied its zoning. The town already has an overlay district that allows mining in the northern part of the community, which has a history of mining. But, neighbors who built homes near an existing operation complained about its proposed expansion, and the town board turned tail. Finally, commissioners in Palm Beach County (Florida) approved a two-year ban on new aggregate operations near the Everglades — one of the most prolific sources of aggregates throughout the state. The ban will be imposed as the effects of mining and blasting on underground water supplies are studied. Marty Perry, an attorney representing Rinker Materials, summed up the issue well when he told the Sun-Sentinel, “This is almost like a Chicken Little amendment. There is no indication of any science… There is no need to rush.” The sky may not be falling, but prices certainly may be increasing as current operations may no longer be able to meet aggregate demand in these markets. Finally, on a separate topic, please join me in congratulating Bill Langer, geologist with the U.S. Geological Survey and columnist extraordinaire. In this month’s issue, he is sharing his 100th column with the readers of Aggregates Manager. Looking on back of nearly nine years of Bill’s articles, I can truly appreciate how quickly the “sands of time” do pass. Death and Taxes Last month, partisan politics took over Capitol Hill, turning a win-win scenario into one where no one benefited. On Aug. 3, a U.S. Senate vote to end debate and proceed with action on the so-called “trifecta” bill fell four votes short of the 60 votes needed to end the filibuster. The official vote was 56 to 42, but Senate Majority Leader Bill Frist (R-Tenn.) switched his previous vote in support of the measure so that he could bring it to a vote at a later date. Seemingly, the trifecta bill featured items that would appeal to both sides of the aisle. Outcomes of the bill would have included the following:
The bill easily passed in the House, but faced strong opposition from Democratic leaders and unions who have long opposed the estate tax provision. For these groups, it appears that preventing a permanent repeal of the estate tax is more important than securing an increase in wages for hourly workers. The apparent disconnect between perception and reality on this issue is particularly frustrating. While politicians wax eloquently about how the bill would give millions to millionaires and quarters to hourly workers, real life — and death — is not nearly as pretty. When faced with outrageous estate taxes, many “heirs” are forced to sell the very businesses their families built. For the many family-owned companies in the aggregates industry, this bill had the potential to put an end to one of the most punitive taxes in existence. It has long been identified by the National Stone, Sand & Gravel Association’s (NSSGA) Small Producer Council as its top legislative priority. Relief appeared eminent in 2001 and 2003, when the estate taxes were gradually cut, but if Congress doesn’t enact a permanent tax cut by 2010, tax levels will revert back to the 2001 level of 55 percent. This month, the Senate may once again try to act on the measure. According to NSSGA, Sens. George Voinovich (R-Ohio) and Lincoln Chafee (R-R.I.) crossed party lines to support the filibuster. Other key votes may involve Sens. Daniel Akaka (D-Hawaii), Max Baucus (D-Mont.), Robert Byrd (D-W.Va.), Tim Johnson (D-S.D.), Mary Landrieu (D-La.), Joe Lieberman (D-Conn.), Blanche Lincoln (D-Ark.), Mark Pryor (D-Ark.), and John Rockefeller (D-W.Va.). To learn how your senators voted, visit
the U.S. Senate Web site at Please take the time to contact your senators and ask them to put an end to death and taxes. Safety: By the Numbers As aggregate managers, we often spend a lot of time reviewing numbers: how many tons of saleable material are being produced, how many man-hours are being worked, and how the bottom line is being affected. When it comes to safety, number-oriented questions usually relate to how much is being invested in safety, but end there. But as miner safety is in the spotlight — in our operations, in our communities, and on Capitol Hill — let’s review some of the more significant numbers that apply to safety. 91 — For those of you who may not know what this number represents, it’s the number of miners killed in the Sunshine Mine in 1972. That accident was the impetus behind the development of the original Mine Safety and Health Act. 13 — At press time, this is how many miners have lost their lives in fatalities in the metal/non-metal sector of U.S. mining so far this year. It’s also the number of miners that were trapped in the Sago coal mine earlier this year, with only one of those miners leaving the site alive. 46— This number is an easy one. Part 46 mandates how we develop our safety plan, who we train, and how long we train them. It also stipulates how many hours new miners must be trained and how many hours of refresher training must be offered to ongoing employees. 15 — Of all the numbers related to mine safety, this is the one you may be least familiar with, but it’s also the one to which you should pay particular attention. It is the maximum amount of time you have to report an on-site disaster to the Mine Safety and Health Administration. Originally included as part of an Emergency Temporary Standard published on March 9, it is on the verge of becoming a permanent requirement. The same notification provision is included in S. 2803, also known as the Mine Improvement and New Emergency Response Act of 2006 (MINER Act). At press time, this bill had made its way through Congress and was awaiting President Bush’s signature. While the bill has a number of provisions, such as increased fines, that are troubling, this may be the most problematic. At a local Holmes Safety Association meeting, a small producer asked: “So, I’m supposed to have one of my three guys on the phone with MSHA instead of trying to rescue a miner in danger?” That simple question cuts to the heart of the matter and underscores the problems associated with knee-jerk legislation. There is only one number that Congress, MSHA, and the aggregates industry should be focusing on —zero. The ultimate goal is to achieve zero fatalities and zero lost-time accidents. Effective legislation should support that goal, not undermine it. Think Big, Act Small National business speaker Jason Jennings boils his business advice down to the immortal words of a small, green, pointy-eared, Jedi master: “Try not. Do. Or do not. There is no try.” That Yoda-inspired mantra was the force behind Jennings’ philosophy, which he shared with attendees of the National Stone, Sand & Gravel Association’s annual meeting, held in Tampa, Fla., earlier this year. Jennings, a former broadcast journalist, is the best-selling author of a trio of books on sales, customer satisfaction, and leadership. During his presentation, he focused on how research from his latest book — Think BIG - Act Small — applied to the aggregates industry. The book is based on a study of the only 10 companies in the world that have managed to grow revenues and profits by 10 percent or more each year for 10 years, so his advice is solid. One of Jennings’ core precepts is that successful businesses get their employees to think like owners. For an industry that struggles with finding quality people, some of his suggestions really hit home. For example, strong companies put the power to make decisions in the hands of the right people, regardless of whether they are located at the scale house, the plant office, or corporate headquarters. Of course, that means keeping the right people on the job. One of people interviewed for the book was Brian Devine, chairman of PETCO, an animal supplies company. Devine says that whenever a great employee comes into his office to resign, he always tells them that he won’t accept their resignation and finds a way to keep them. The company also makes a point of rewarding a handful of people with unanticipated and significant bonuses each year. Another lesson learned from these companies was the necessity to differentiate itself from its competitors, particularly with preferred customers. When a company can offer a “wow” experience, whether it’s a product that meets a tight spec or an exemplary customer service program, it no longer has to compete on price because it builds a loyal base of avid fans. The goal, says Jennings, is not to satisfy every customer, but to completely satisfy the right customer. Finally, Jennings said that great companies aren’t run by leaders who follow conventional wisdom; they are run by stewards. Business leaders who value service over self-interest, who concentrate more on the company’s long-term success than its short-term earnings, and who keep their hands dirty by staying close to their customers are the ones who build truly great businesses. Although Yoda’s philosophy may be set in the stars, Jennings’ advice is firmly grounded. Pick up one of his books. Try some of the strategies outlined, and see if they work in your business. And, if you have a business strategy that’s built your business, I’d be happy to highlight it in the pages of Aggregates Manager. Marking a Milestone When he detailed his vision for the interstate highway system more than 50 years ago, President Dwight D. Eisenhower clearly understood that the whole was greater than the sum of its parts. Often referred to as the greatest public works project in the nation’s history, the interstate highway system has long given the United States a competitive advantage in a global economy. “Our unity as a nation is sustained by free communication of thought and by easy transportation of people and goods. The ceaseless flow of information throughout the Republic is matched by individual and commercial movement over a vast system of interconnected highways crisscrossing the country and joining at our national borders,” Eisenhower said a year before passage of the Federal Highway-Aid Act of 1956. “Together, the united forces of our communication and transportation systems are dynamic elements in the very name we bear — United States. Without them, we would be a mere alliance of many separate parts.” During the last half-century, the 46,508-mile long network of highways has dramatically impacted quality of life throughout the nation. According to a report from the Americans for Transportation Mobility, more than $7 trillion worth of goods and materials are transported between firms or to customers each year while the design, construction, management, and maintenance of the nation’s infrastructure supports more than 2.5 million U.S. jobs. While Eisenhower’s predictions regarding interstate highway system were clearly on the mark, a lot has changed during the last 50 years. Communication — the other facet of Eisenhower’s progressive plan — now includes tools such as the Internet, the World Wide Web, e-mail, instant messaging, and cell phones that can not only connect people to one another but also to various online tools. By comparison, very little has changed in the area of transportation except for the fact that the interstate highway system now accommodates a far heavier volume of traffic than ever anticipated. The Federal Highway Administration reports that between 1980 and 1999, route miles of highways increased 1.5 percent while vehicle miles of travel increased 76 percent. As the nation’s awareness of this great achievement is raised through the 50th anniversary celebration, we must ask national, state, and local leaders to recommit themselves to transportation investment. It’s time to determine how to revolutionize the transportation of goods and services across the nation — and how to fund such a quantum leap in efficiency. Speaking before a national audience earlier this year, U.S. Deputy Secretary of Transportation Maria Cino noted that the gas tax alone is not enough to fund a competitive transportation system. While private sector funds, private activity bonds, and additional tolling mechanisms all offer alternatives, a more pertinent question remains unanswered: If the interstate highway system was the transportation system for the 20th century, what will be the transportation system for the 21st century? A Skewed Safety Triangle Following the recent coal mining tragedies, Congress has embarked on a disturbing mission to put its stamp on mine safety. With the death of 23 coal miners so far this year, the public outcry to improve worker safety is understandable. And, while I don’t doubt the Legislature’s good intentions, we must indeed question the potential ramifications of their actions. As detailed in this issue (see “Can New Safety Legislation be Fair and Effective?” page 26), legislation has been introduced that would significantly increase fines for safety violations. If passed, some of these fines — such as those for “flagrant” violations or for subsequent cases of the same violation — could be as much as $500,000. Let’s put that in perspective. Guarding is one of the most hotly contested violations going. Imagine, for example, that an inspector cites you for an inadequate guard. You disagree, but if that same inspector comes back and cites you again, it’s going to cost you half a million bucks. What are you going to do? Personally, I’m investing in a steel mill. The bottom line is that oversized guards aren’t going to protect workers; in fact, they may lead to back injuries for those responsible for installation and maintenance. I don’t mean to make light of the desire to create a safer work environment, however I can’t help but recall conversations with former assistant secretary of labor for mine safety and health, Dave Lauriski. He always described the Mine Safety and Health Administration’s role as being based on a triangle where enforcement, training and education, and technical support all played equal roles. In a 2002 conversation, he told me “When you lose any one of those components, the triangle weakens. Start to drop away education and training, and pretty soon, the triangle starts to collapse. All you have left is the base.” I view current initiatives as taking the industry back to the base of the triangle — enforcement — rather than balancing it. Part of the problem is that we have legislators who are not as well-versed in the needs of the industry trying to legislate a new version of the Mine Act. The lack of Congress’ technical expertise is clearly underscored by Sen. Arlen Specter’s bill that would require oxygen stations at all mines, not just underground ones. At press time, five miner fatalities had been reported in the metal/non-metal sector. And while any fatality is one too many, that is the lowest number recorded for the first four months of any year since prior to 2002. If further reductions in injuries and fatalities are to be achieved, it’s by working all three sides of the triangle, and that means that Congress should let MSHA do its job. Through industry alliances, significant reductions in fatalities and injuries have already been made. Further improvements will come from a focus on collaboration and cooperation. We need to examine how to eliminate powered haulage accidents, encourage our workers to use best practices around machinery, and develop further training for new miners. When it comes to aggregates workers, these practices are likely to net much greater improvements than well-intentioned, but inapplicable mandates. Focused on the Future Tempus fugit. For those of you who don’t know Latin, that means time flies. It may sound trite, but it truly is an apt expression as we look back on a decade of Aggregates Manager. In some respects, it seems as though very little time has passed since a small band of publishing upstarts decided that this veteran industry needed a fresh perspective. We were told that start-up magazines were long shots; only one in three survived their first several years in business. Others pointed out that the aggregates market already had two magazines. There was no room for Aggregates Manager. Before our first issue debuted at Conexpo-Con/Agg ’96, a handful of epitaphs were prematurely written. What the naysayers did not count on was the determination of the magazine’s staff — both past and present — to create a publication that didn’t play by conventional rules of publishing. Traditional journalism says we should report the facts without bias or opinion. Balderdash. We believe in being strongly opinionated, while being fair and accurate. Passionate advocacy is just what the aggregates industry needs. From groundbreaking stories such as the closure of the U.S. Bureau of Mines in our very first issue to in-depth coverage of Part 46 when it debuted in 2000 to the more recent addition of Operations Illustrated, Aggregates Manager has always offered a unique perspective on the aggregates industry. The result? Loyal readers who have demonstrated unwavering support of the magazine. This month, we celebrate our 10th anniversary — an event this industry repeatedly has been told would never happen. And although we may be the relative “baby” in this market, we enjoy the vitality of youth and the ability to adapt for the future. During the months ahead, we will continue to cover the aggregates industry in new and exciting ways. This market is constantly evolving. We produce aggregates more quickly and cost effectively every year. We constantly train our staff how to work more safely. We seek new and better ways to serve our preferred customers. Like the dynamic industry we cover, Aggregates Manager aspires to a path of continuous improvement and of service to our loyal readers. On that note, we are pleased to share a new version of the enormously popular USGS Aggregates Industry Atlas in this issue. The original atlas, published in February 2001, made that issue one of the most popular in our history. And while we are happy to honor our history, the point of such a mile marker isn’t to pat ourselves on the back. It’s a time to look toward the future and to set the bar higher. As we’ve learned during the last 10 years, when we look forward rather than back and when we listen to our market, there is very little we cannot do. Particulate Size Matters The Environmental Protection Agency’s proposed rule on particulate matter represents a mixed bag for aggregate producers. While the industry won a hard-fought campaign to exempt rural operations from the standard, urban operations were not included in that exemption. If the final rule follows the proposed one, urban-based operations may face tight restrictions and potentially steep fees. The standard, which will not be finalized until September, updates current national ambient air quality standards (NAAQS) established in 1997. Even before the proposed rule was published in the Federal Register on Jan. 17, environmental groups complained that the rule wasn’t restrictive enough. Several of the restrictions are being publicly challenged by those groups, which say that the EPA’s own expert panel recommended lower limits. For example, the new rule maintains the 1997 standard’s annual limit of 15 micrograms per cubic meter while EPA scientists called for a limit of 13 to 14 micrograms per cubic meter. Many environmentalists would prefer even more restrictive limitations such as California’s annual exposure level of 12 micrograms per cubic meter. EPA scientists recommended lowering the permissible daily exposure, currently 65 micrograms per cubic meter, to between 30 to 35 micrograms per cubic meter. The proposed rule cites the higher of those two levels, and many are unhappy about it. Sen. Tom Carper (D-Del.), the ranking member of the Senate Clean Air subcommittee, issued a statement about the proposed rule saying, “Science shows us that our current PM standards, set almost a decade ago, do not adequately protect the public health and that there is an urgent need to strengthen both the daily and annual standards…Science shows that we must do a better job of protecting the public.” The bottom line is that a lot of comments are being made about the new rule, and many of those comments are not to our favor. During the 90-day comment period, which ends April 17, the aggregates industry needs to make itself heard on this rule. The exemption for coarse material coming from windblown dust and soils, agricultural sources, and mining makes sense. People already have the best personal protective equipment needed for coping with coarse particulate matter — their nose. A simple sneeze is our natural means of expelling it. For more than a decade, the industry has gathered data about particulate matter from aggregate operations. Research has shown that emissions produced by the aggregates industry are not the size that cause adverse health effects. During the next month, share this message with the EPA. Tell the agency that the exemption is good, but it doesn’t go far enough. Urban aggregate operations face plenty of operational challenges — discrimination based on location shouldn’t be one of them. The Ripple Effect Last month, the coal mining industry experienced one of the largest catastrophes in recent memory. As you undoubtedly are aware, 12 miners were killed on Jan. 4 in a fatal accident at the Sago Mine in Upshur County, W.Va. At press time, an additional miner was listed in critical condition after being rescued from the site. Although Aggregates Manager doesn’t cover the coal mining industry, the ripple effects of this accident may indeed impact how the aggregate industry operates. After nine miners were rescued during the Quecreek coal accident in Somerset County, Pa., several years ago, the repercussions were short lived. However, the combination of two high-profile mining accidents in close succession may be more difficult to dismiss. During coverage of the accident and subsequent rescue efforts, the Sago operation’s safety record was well publicized. The Washington Post was one of numerous newspapers to report that the mine amassed 273 violations during the last two years, with a third of those violations being significant and substantial ones. The fact that the mine’s average number of working days lost due to accidents has been nearly double the national average during the last five years was also underscored. Our old friend Davitt McAteer, former assistant secretary of mine safety and health during the Clinton Administration, told the Post that he is “concerned about the trend and the direction [violations] are going in.” Let’s hope that in the future, McAteer — who once aspired to be the junior senator from West Virginia — contains himself to academia rather than politics. Rhetoric aside, what impact might this coal tragedy have on the aggregate industry? I see the potential for three-fold consequences. First, it may spur promulgation of new mine-safety standards — and metal/non-metal mining may well be lumped into any stricter standards. After all, the Federal Mine Safety and Health Act of 1977 was developed in response to such an occurrence. Immediately following the accident, the Mine Safety and Health Administration appointed an 11-member investigation team, a significantly larger crew than the three-member panel assigned to Quecreek. The agency means business. Second, MSHA is once again in the spotlight. With speculation that funding shortfalls and inspector shortages may have factored into the incident, agency inspectors are likely to be detailed in their upcoming efforts. Third, the mining industry has once again been made to look like an unsafe work environment. While surface aggregate operations are quite different than underground coal mines, bad publicity isn’t going to make industry recruitment efforts any easier. What happened in Upshur County was tragic. If, like most accidents, it was preventable, that simply compounds the tragedy. While preparing for the implications the accident may have, take some time to reflect on high-risk aspects of your operations and implement training to mitigate them. Being prepared is good. Being safe is better. Rock-solid Information A recent Supreme Court decision is likely to impact aggregate producers throughout the United States, and the implications of the ruling merit close attention. In November, the court found that the Mine Safety and Health Administration could be held liable for negligent mining inspections and investigations under the Federal Tort Claims Act. Through United States v. Olsen, the court held that the agency is liable to the same extent as a private party in similar suits filed in state courts. That case came about as the result of an accident in an Arizona mine. A 9-ton slab of material fell from the ceiling of a mine there, fatally injuring one worker and permanently disabling another. When the accident occurred, two Aggregates Manager contributors — Mark Savit and Willa Perlmutter — successfully defended the mining company in the enforcement case. According to Patton Boggs LLC, the law firm with which the two are employed, an extensive criminal investigation ended without a prosecution and the civil penalty case was settled. After the case against the mining company was resolved, Joseph Olson, who was injured in the accident, sued MSHA for damages. He argued that MSHA was negligent in its inspection of the mine and, therefore, was responsible for his injuries. His claim that the agency failed to carry out is mandatory policies and procedures worked itself to the Supreme Court and resulted in the decision that MSHA could be found liable. So what does this mean for aggregate producers? Savit sums it up well. “This decision provides an incentive for federal agency personnel to aggressively respond to any and all whistleblower complaints,” he says. “It should also provide motivation for companies to step up training policies for their facility management personnel on proper complaint and investigation responses.” Producers face a two-fold mission: they must be well prepared for inspections, which are likely to be more strenuous than usual, and they must establish a strong protocol for addressing safety complaints and accident investigations. Those up to the challenge can find some great tips on how to handle accident investigations and inspections in a two-part series featured in Aggregates Manager’s Rock Law column. The first installment of the series was published in the December issue and can be found at www.aggman.com . The second part begins on page 48. Written by Mark Savit and Henry Chajet, the articles contain insight from the same law firm — and in Savit’s case, the same attorney — that successfully argued the underlying case in this Supreme Court decision. I applaud the firm’s leadership in legal matters related to the aggregates industry. I also encourage you to take advantage of the advice they provide in the Rock Law column this and every month. And, I am happy to be able to feature such strong proponents of the aggregate industry within each issue of Aggregates Manager. |
