Contractor Safety Summit

1. Contractor Safety Summit July 13, 2006 CP5_03_2174- 1

2. Agenda Thursday, July 13, 2006 • 7:45 – 8:30 Continental Breakfast • 8:30 – 8:45 Welcome & Introductions Paul Fowler • Tom Cadwell • Paul Shiroma • 8:45 – 9:00 Voluntary Protection Program Steve Ricklefs • 9:00 – 9:45 PWR Safety Requirement Overview Ron Sherer • 9:45 – 10:15 PWR Pre-approved Contractor Gayle Bruckner • 10:15 – 11:00 Q & A

4. SAFETY AT WORK

5. 5th place

7. 4th place

9. 3rd place

11. 2nd place

13. And the WINNER is…..

15. Agenda Thursday, July 13, 2006 • 7:45 – 8:30 Continental Breakfast • 8:30 – 8:45 Welcome & Introductions Paul Fowler • Tom Cadwell • Paul Shiroma • 8:45 – 9:00 Voluntary Protection Program Steve Ricklefs • 9:00 – 9:45 PWR Safety Requirement Overview Ron Sherer • 9:45 – 10:15 PWR Pre-approved Contractor Gayle Bruckner • 10:15 – 11:00 Q & A

16. Contractor Safety Summit Cal/VPP Safety Certification Program Steve Ricklefs Pratt & Whitney Rocketdyne

17. Cal/VPP Safety Certification Program • Background • What is Cal/VPP? • Cal/VPP: California Voluntary Protection Program • Administrated through the Division of Occupational • Safety and Health (DOSH) • Cal/VPP emphasizes the importance of site specific • occupational safety and health programs • Encourages continuous improvement • Recognizes S&H systems that go beyond minimum Cal/OSHA standards • Culture mindset, not a workplace project task • Employers are initially approved for participation in Cal/VPP • Bargaining union crafts play a significant role • Follow-on assessments are conducted, prior to certification • Certification leads to recognition as a Cal/Star business site

18. Cal/VPP Safety Certification Program • Benefits of having an effective Cal/VPP program: • Improvement in employee motivation to work safely • Reduction in injuries and illnesses • Higher quality and productivity • Lower workers’ compensation costs • Networking with government and industry • Recognition in community • Exempt from routine compliance inspections

19. Cal/VPP Safety Certification Program • Cal/VPP Site Assessment • Onsite assessment completed April 10-14th • Favorable results received • Continued progress from initial contact and application filing • Itemized “punchlist” received • 141 items identified • Three Elements: Cal/VPP – Health & Safety Issues – Contractor • Type: Compliance, procedural, communication, training, • oversight, employee engagement • Categorized as opportunities for improvement • Expectation that recommendations will be implemented • Scheduled follow-up visit • No later than 90 days – Target Date: July 27th • Monthly implementation status with tentative completion dates

20. Cal/VPP Assessment Status • Areas of greatest emphasis and effort required • 1) Contractor Safety • 6/14 “red items” • Ensuring that we have full oversight of all contractor activity • 2) Pre-Use Analysis • 5/14 “red items” • Hazard analysis and tracking closure of activity • 3) Job Hazard Analysis • Approach to Job Hazard Analysis (JHA) • 4) Self-Inspection Process • > 20 related items • hazard training, communication, employee engagement, area • specific, closed loop action tracking…

21. Contractor Safety Findings • Opportunities for Improvement • Ensure all required documentation is maintained in all • contractors files, for example: • Injury & Illness Prevention Program • Code of Safe Work Practices • OSHA Citation History • Current Ex-Mod Rate • Develop and implement a Pre-Approved Contractor List • Enhance pre-screening process to clearly communicate requirements • Reviewed annually • Enforce safety orientation meeting prior to beginning the job task • Interface with PWR coordinators will be crucial • Safety meetings will also be required for add-on work crews and all subs • Safety orientation form will address additional safety concerns Trust... but Verify!

22. Contractor Safety Findings • Opportunities for Improvement • Develop protocol to ensure that unauthorized chemicals are • not brought onto the site • Initiate a contractor sign out log to account for job site presence • in the event of an emergency • Continued communication of PWR’s commitment to • Cal/VPP and a zero safety incident workplace environment • Lessons learned, incidents, proactive behavior… • Requirement changes Partnership for Safety First – Safety Always!

23. Closing Thoughts • How can you help ? • Understand the importance/benefits of Cal/VPP certification • Cal/VPP assessment team will return in early August • Communicate to your team members: Opportunities for improvement • Continue to instill and support a culture of ZERO incidents • Talk and Walk safety • Engage employees in proactive behavior • Take an active role in understanding the requirements of • doing business with Pratt & Whitney Rocketdyne • Adhere to safety rules, policies and regulations • When it doubt….STOP work

24. Agenda Thursday, July 13, 2006 • 7:45 – 8:30 Continental Breakfast • 8:30 – 8:45 Welcome & Introductions Paul Fowler • Tom Cadwell • Paul Shiroma • 8:45 – 9:00 Voluntary Protection Program Steve Ricklefs • 9:00 – 9:45 PWR Safety Requirement Overview Ron Sherer • 9:45 – 10:15 PWR Pre-approved Contractor GayleBruckner • 10:15 – 11:00 Q & A

25. PWR EH&S Requirements Ron Sherer CP5_03_2174- 25

26. Discussion Overview • Why Are We Here Today? • PWR EH&S Policy • UTC’s “Cardinal Safety Rules” • PWR’s Contractor EH&S Program Requirements • How to Become an Approved Supplier • Key Deliverables • Handout Material • Timeline • What Else is New?

27. Why Are We Here Today? • Quite simply, to partner with the best of the best contractors • Comply with UTC EH&S Standard Practice 010, “Contractor Environment, Health and Safety Program” • Does not require significant changes to existing RF-034 EH&S Flysheet in your Contract • Transitioning to a “Trust but Verify” methodology • Enable PWR to be a Cal/OSHA Voluntary Protection Program (VPP) site • We’re in this together…per Cal/OSHA’s Multi-Employer Worksite regulations

28. Multi-Employer Worksites • Authority • California Labor Code Sections 6400, 6401, 6401.7, 6402 through 6404 • Title 8, California Code of Regulations, Sections 336.10 and 336.11 • Potential Citable Employers • Exposing Employer (Contractor and/or PWR) • Creating Employer (Contractor and/or PWR) • Controlling Employer (PWR) • Correcting Employer (Contractor and/or PWR)

29. PWR’s EH&S Policy

30. UTC’s Cardinal Safety Rules

31. UTC’s Cardinal Safety Rules Fall Protection • Contractors shall use fall protection when exposed to a fall hazard working at an elevation of two meters/ six feet or more Machine Guarding • Contractors shall not knowingly tamper with or disable machine/ equipment guarding while operating under normal conditions Electrical Safety • Contractors shall use Ground fault Circuit Interrupters (GFCI’s) on all portable tools and portable electrical devices used in manufacturing, construction, service/maintenance, or installation activities

32. Cardinal Rules (Cont’d) Hazardous Energy • Prior to performing work on machines or equipment, employees shall identify all hazardous energy forms, bring them to ZERO Energy State* and secure them. • This shall include but is not limited to mandatory use of lockout/ tagout procedures when working on any electrical, mechanical, hydraulic, pneumatic, chemical, or thermal processes. • Zero Energy State* is defined as the elimination and/or control of hazardous energy such that it no longer represents a hazard to employees working. Confined Spaces • Contractors shall use proper safeguards and controls prior to and while working in confined spaces.

33. Contractor EH&S Requirements • Provide trained, qualified, and equipped personnel • All contractor supervision must communicate in English with sufficient proficiency to assure the health and safety of their employees • The contractor supervisor is responsible for oversight and supervision of his/her own employees, as well as all of his/her subcontractor employees, to ensure adherence with all RF-034 Flysheet requirements and all Federal, State, and local regulations • Contractor will have a competent, well-trained supervisor in charge at all times when its employees or subcontractor(s) are present

34. Contractor EH&S Requirements (Cont’d) • Contractor employees must be aware of and comply with all PWR rules and policies • Contractor is fully responsible for the acts and omissions of their subcontractor(s), as well as the RF-034 Flysheet requirements • Contractors will be provided a PWR safety orientation • The contractor is required to present to PWR any subcontractors requiring pre-approval • Projects involving high-risk hazards shall be reviewed with PWR’s Contract Coordinator and/or EH&S representative and the contractor’s competent person prior to the commencement of work

35. Contractor EH&S Requirements (Cont’d) • Examples of high risk include, but not limited to: • Roof work • High voltage work (600 volts and above) • Steel erection • Erected scaffolds • Critical lifts • Shored trenching • Confined space entry • Contractor shall have the following documents/training/items available at the job site • Contractor’s Injury and Illness Prevention Program (IIPP) • Contractor’s Code of Safe Work Practices • Training certification records • First aid kits & trained personnel • Required workplace postings

36. How to Become an Approved Supplier • The pre-approval process provides a systematic method for evaluating contractor’s EH&S programs and historical performance • Decisions regarding qualification, selection and use of contractors will be risk-based • Each contractor will be considered based on the ability to perform the work in a safe and environmentally responsible manner • PWR Contractor Pre-Approval Form, PWR Form 653-T-70 • Contractors must have developed and implemented a written EH&S program that meets all applicable federal, state, and local EH&S regulations and the RF-034 Flysheet requirements

37. How to Become an Approved Supplier(Cont’d) • Contractors must incorporate training that provides adequate EH&S and craft skills for the required work • Training Matrix, PWR Form 5004-J • Contractors must have a system in place to understand/assess the risks and hazards of the proposed work • The contractor’s workers’ compensation insurance experience modification rate average for three years must be less than 1.0 for contractors with 51 or more employees or 1.5 for 50 or less employees • Contractor’s lost workday incidence rate three year average must be less than or equal to 4.0

38. How to Become an Approved Supplier (Cont’d) • Contractors will re-qualify at intervals not to exceed every three years • Conditional approvals of one UTC division are not binding on another division or site, exception is the HS business at De Soto • Deliverables - documentation to be submitted to PWR for evaluation • Pre-Approval Form PWR Form 653-T-70 • Injury and Illness Prevention Program • Code of Safe Work Practices • Site safety plan that supports the IIPP and specific to the tasks to be performed at PWR, including supporting procedures • EH&S Training Matrix (including training expiration date) for employee(s) and supervisor(s) PWR Form 5004-J • Any other documents Contractor feels important and relevant to our evaluation

39. How to Become an Approved Supplier (Cont’d) • Minimum contractor documentation/skills required while on PWR site • Injury and Illness Prevention Program • Code of Safe Work Practices • Site safety plan, with specific safety work plans/procedures, as applicable • Training records • Emergency procedures • First aid kit and trained personnel • Permits, as required • Required Cal/OSHA workplace postings

40. Handout Material • The following Cal/OSHA resources are provided to you for informational purposes only Training Requirements http://www.dir.ca.gov/dosh/dosh_publications/trainingreq.htm Publications http://www.dir.ca.gov/dosh/puborder.asp IIPP and Code of Safe Work Practices http://www.dir.ca.gov/dosh/dosh_publications/IIPP.html#31 Alphabetic Listing of Resources http://www.dir.ca.gov/dosh/IndexAlpha.html Workplace Posting http://www.dir.ca.gov/WP.asp First Aid & CPR Requirements http://www.dir.ca.gov/title8/1512.html Construction IIPP Requirements http://www.dir.ca.gov/title8/1509.html Asbestos Information http://www.dir.ca.gov/dosh/Asbestos.html

41. Timeline

42. What Else is New at PWR? • PWR is now a smoke-free facility • Includes property and vehicles on property • LA City Electrical Code emphasis • Los Angeles Electrical Code, Division 4, Section 93.0401-93.403 • Section 93.0402 states,“No person shall sell, offer for sale, advertise, or display for sale, dispose of by way of gift, loan, rental, lease or premium, or install or use any ‘equipment’, as defined in Article 100 of the C.E.C., unless that equipment has been approved by the Department.”

43. Agenda Thursday, July 13, 2006 • 7:45 – 8:30 Continental Breakfast • 8:30 – 8:45 Welcome & Introductions Paul Fowler • Tom Cadwell • Paul Shiroma • 8:45 – 9:00 Voluntary Protection Program Steve Ricklefs • 9:00 – 9:45 PWR Safety Requirement Overview Ron Sherer • 9:45 – 10:15 PWR Pre-approved Contractor Gayle Bruckner • 10:15 – 11:00 Q & A

44. Contractor Safety Website GW Bruckner CP5_03_2174- 44

45. Website Demonstration http://www.rocketdynetech.com/supplierinfo

46. Q & A ?

47. Closing ~ Thank you ~ for attending the 2006 PWR Contractor Safety Summit