Question 1. Question 2 10/1/2015. Q Who primarily damages our assets? A. 1st party? B. 2 nd party? C. 3 rd party?

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1 Gold Shovel Standard Q&A Question 1 Q If we tripled our public awareness spend, by how much percentage would damages be reduced on your network? A. 300% reduction in damages B. 50% reduction in damages C. Some small percentage A There is a law of diminishing returns preventing us from getting huge reductions by spending more on public awareness. Question 2 Q Who primarily damages our assets? A. 1st party? B. 2 nd party? C. 3 rd party? A Usually we get hit by a third party. 1

2 The Secret Everyone s third party is someone else s second party. What solution would we create? What would we create? A system which could reward the best excavators and change the behavior of the poorer contractors A system which gave us influence over 3 rd parties A system which was acceptable to municipalities under fair bid A tool that reached HOA s and small excavators A system with geographic scale A system with visibility across networks 2

3 What is Gold Shovel Standard? A first of its kind combination certification and performance monitoring program for excavation safety First of its kind scale First of its kind incentive First-of-its kind program to target incentives (both positive and negative) directly at the excavation company. 3

4 First of its kind visibility Gold Shovel Standard is the first program to offer visibility into excavator performance across networks, between operators, and across municipal and state boundaries Why Certification? 2014 DIRT REPORT Distribution of Known Events by Division and Excavator Type 63% 88% professional excavators Professional excavators continue to be the largest source of damage to buried assets. Certification ensures that every excavator knows and understands safe excavation. Why Performance Monitoring? Performance monitoring creates a driving record that allows incentives (both positive and negative) to be targeted directly at specific excavation companies. Performance monitoring permanently raises the bar. 4

5 What is Unique about GSS? It s a first of its kind effort to create a North American scale program, driven by industry and underpinned by data technology, to unify excavation safety under a single broadly meaningful professional brand, that raises the bar for excavators. By monitoring the performance of individual excavators across networks and geographies, GSS will be the first system capable of targeting incentives (positive and negative) directly at specific excavation companies on a national scale. History PG&E pioneered in 2014 Not for profit setup in 2015 Not for Profit Board of Directors 1. Gas / Electric 2. Gas / Electric 3. Gas / Electric 4. Pipeline 5. Pipeline 6. Telecom 7. Trade 8. Trade 9. Other 5

6 How much work is it for me? The problem with the idea has always been the adoption barrier PG&E has eliminated the barrier to adoption Implementation Resources Program definition and details done Creating plan PG&E personnel available Templates for internal communication avail. Templates for external communication avail. Legal, sourcing and construction peers Self enrollment of excavators Record keeping and statistics Communication to excavators (available) Oropala Services consulting (available) DIMP / TIMP 6

7 Complimentary but distinct from Public awareness CGA / CGA DIRT Operator Qualification (OQ) Various recognition programs Internal company programs Who s footing the bill? Subscription fees for excavators: $75 $200 per month Technology Screenshots Enrollment 7

8 Technology Screenshots Research Screens Integration with systems Gold Shovel Standard integrates with other systems Multi year Plan Everyone s third party is someone else s second party. 8

9 Become a member Rick Galyean CEO, Oropala Services (GSS contract administrator) Phone: (714) rick@goldshovelstandard.com Dave Roberts PG&E Gold Shovel Program Manager Phone: (925) D2RT@pge.com Before You Leave Please complete your survey! Your feedback matters. 9