Public Hearing Topics

Nov. 19, 2003

10:00 am Gov. Kean Opening Speech

As a nation, especially post 9/11, we have acknowledged the importance of emergency

preparedness in minimizing the impact of any disaster on people and property. Since
9/11, the country, in both the public and private sector, has taken significant measures to
improve security and preparedness. Initially, our national focus was primarily on public
sector preparedness in terms of first responders, intelligence, military, transportation and
the like. Yet, when an event occurs, it is likely to severely impact the private sector given
that businesses and other private sector organization own 85 percent of our countries'
infrastructure. The lessons learned from 9-11 hit hardest on those companies and their
employees who were impacted (some of whom will be present today) as well as the first
responders who so bravely tried to rescue and save lives that day. The lessons learned
have led to significant changes in the way the private sector goes about preparedness and
safety of their employees and we will examine a few examples of what has been done
that is positive today.

In other cases, where companies were not directly affected by 9-11, companies have also
heard the call and significantly improved their situations as well. Public/Private sector
partnerships have been enhanced and others have sprung forward which we will hear
about today from areas across the country. However, some measures of preparedness
that were recently described in several public surveys imply that areas of weakness still
prevail. In addition, the recent fire in Chicago in a high rise where people were killed
demonstrates that issues still need to be addressed. The Conference Board recently
concluded that while "corporate security spending has clearly increased since 9/11, the
increases have been unevenly distributed and is only 4 percent on average, with
companies in the Northeast Metro region reporting the biggest increases". In a survey
conducted for Guardsmark, it was reported that "45 percent of the companies interviewed
(over 800 people) are not conducting emergency drills".

We don't need these statistics alone to tell us what the current situation is like, but we
know through these examples and through the work that the Dept. of Homeland Security
has been doing as well as our Commission staff in their 9-11 interview process, that there
are issues to examine in the area of preparedness. The Black out in NY and NJ
highlighted this even further. And then there was a hurricane. It is the point of today's
hearing to examine the lessons learned about preparedness stemming from the 9-11
experience, hear about what is occurring in the private sector to improve preparedness
and continuity of business, and see what issues remain. The joint efforts between the
Government and the private sector to enhance the preparedness of our country will be
discussed along with standards for preparedness that are in the marketplace. We believe
that this discussion has been occurring at many levels around our country and we will
continue that discussion today and in the months ahead in hopes that the Commission can
make some recommendations in this area. A large part of this responsibility will directly
rest on the shoulders of the private sector companies who form the basis of our economy
and will continue to work on these issues. The point of the hearing is to assure the
families of the victims that the lessons learned from that day will help improve the
security and safety of employees, such as their family members, in the future.
10:15-10:45

Introduction Sally Regenhard

Clearly the experience of 9-11 has affected many people through-out the world, but no
one is more affected than the families of those who lost relatives in the attack. The
commission is here largely due to their efforts. We have been working with and talking
to the families regularly since the Commission began its work and we will continue to do
so. We have a relationship that is productive, and I believe we are all working towards
the same end: to write the accurate story of Sept. 11 and to develop recommendations
that will make the world safer from this kind of event in the future. Today's hearing
focuses on an area that one of the family members, Sally Regenhard, has taken to her
heart. Her son, firefighter ...., died on Sept. 11. Sally did not let the story end there but
has gone to great lengths in remembrance of him to devote her life and her work to
skyscraper safety issues and with Monica Gabrielle, whose husband, , died as well, they
have formed the Skycraper Safety Campaign to uncover and remedy issues related to
evacuation and safety issues in high rise building. They have been instrumental in
getting the Columbia U. Evacuation Study off the ground and they are working with a
distinguished Advisory Panel as well as leading interested parties through-out the country
to develop and implement changes to the fire and building codes based on lessons learned
from 9-11. We are pleased to have Sally and Monica here with us today. I believe
Monica would like to make a brief statement and then Sally will give the testimony for
the Skycraper Safety Campaign.

Sally Regenhard

What issues arose on 9-11 related to evacuation procedures, building codes, and other
areas that affected the safety of the building occupants both positive and negative?

What were the causes of those issues, i.e. lack of preparedness, lack of training,
communication, building codes, procedures? Here, please describe any preliminary
findings of the Evacuation Study.

What changes have you seen since 9-11 that are moving in the direction of additional
safety and preparedness?

What would you suggest that the Commission could do to further the cause of private
sector safety and preparedness in high-rise buildings?

20 minutes with Q&A

Questions for Sally

Do you think the proposed fire code changes in NYC go far enough for the needs
identified from 9-11 and do you think they can be implemented (particularly the
enforcement piece)?

We understand the families gave letters to OSHA requesting an examination of the

situation at the WTC site, but the letters did not result in an examination by OSHA.
What were the reasons given for this?

If OSHA's standards relating to an evacuation plan were given enforceability, could they
be a standard that would assist in skyscraper safety?

What is the attitude of the Building Owners towards these changes and is it changing to
accept some of these changes?

We noticed that the Skycraper Safety Campaign issued a press release after the Chicago
fire. What do you believe that fire added to your knowledge base about the need for
these issues to continue to be addressed?

Many of the issues that you raise were identified in the 1993 bombing. Do you believe
that they were adequately addressed sine 1993 in the WTC complex and how does that
bode for the response of the public and private sector to making changes after 9-11?
10: 45 - 11:45 PM Examples Public/Private Sector Preparedness Initiatives

The nation has not been sitting still since 9-11. Both the public and the private sectors
have collectively and independently initiated many actions that have enhanced the
possibility of safety in face of the threat of terrorism as well as other natural hazards in
our country. While we cannot examine all of these initiatives, we do know that many are
being espoused across the country. New Jersey is going to discuss what they have been
working on and then show a video on the rest of the country.

New Jersey Examples:

Introduction of the Video

VIDEO

1. Kings County Washington Disaster Emergency Plan: Partnership with Microsoft

and Pudget Sound among many corporations and cross-region public sector
entities to coordinate and share in disaster preparedness, mitigation and recovery.
2. Morgan Stanley: First ever full building evacuation Harborside NJ
3. Bank of New York: Leading the Best Practices Telecom subcommittee of the
Federal Reserve Board
4. International Association of Assembly Managers: Training manual with DHS
help to all stadium owners, concert halls, theatres etc in the world as well as
developing future training program at Olympic Stadium in US with Secret Service,
DHS etc.
11:45-12:15

Undersecretary Frank Libouti or Asst Secretary DHS Lisouski: Physical Protection

of Critical Infrastructure and Key Assets

What do you see as the key private sector responsibilities in homeland security?

What are the areas where the public/private sector should work together?

What information sharing issues are out there and how can we work to resolve them?

What kind of "new and cooperative set of institutional relationships and attitudes" are
needed to safeguard our critical infrastructure and people?

How will you "foster increased sharing of risk management expertise between the public
and private sectors"

What kind of incentives to encourage private sector preparedness are you considering?

Questions:

What are the biggest obstacles you have found so far in developing this relationship with
the Private Sector in terms of joint partnership on homeland security?

Do you see the private sector as open to the incentives that could be proposed?

Are you looking for additional leadership from the private sector on these issues? Are
there companies willing to step up to the plate?

How are you disseminating your programs and ideas to the state and local entities of
DHS to the private sector in those areas?

LUNCH: 12:30 -1:30 PM

1:30 - 2:30 Standards Panel

In our investigation of the current state of preparedness in the private sector, we have
become woefully aware of the many standards, regulations, and codes that are in the
arena. OSHA has an emergency Action Plan Requirement. NFPA 1600 is promulgating
the establishment of a common and generally accepted standard for Disaster/Emergency
Management and Continuity of Business Programs: ISO standards exist on Quality and
Environment and some have spoken about their applicability to preparedness; The
International Codes Council has standards on .... The question to discuss is how these
standards can or should be applied and what the private sector should rely on in terms of
looking towards a model for being prepared. This is in addition, of course, to the legal
codes for fire and buildings that exist in all locations which affect preparedness and
safety.

Today we have two speakers to address the issue of standards and codes. Professor
Glenn Corbett, a NJ Bergan County Fire Chief, but importantly as well John Jay
Professor of Fire Safety and a member of the NIST investigation. In addition, we have
Randall Lim, GAO Homeland Security who has been involved in these issues.

Prof. Corbett

Briefly describe the existing codes and/or standards by organization and site any issues
with implementation or enforcement. Relate the differences between codes (physical
element) and standards (process) on disaster preparedness:

OSHA Emergency Action Plan

International Code Council
Local Fire Code (use NJ and the new NY Code proposals) in the sense that it addresses
evacuation and ability to prepare
BOMA standards for Emergency Preparedness
NFPA 1600 Standards and the other Code (consensus base organization - US Standards
that are generally)
ANSI's role in pulling this together

Highlight the issues with so many codes in terms of how the private sector could
implement them.

Make any recommendations on how this can be streamlined or made more usable by the
private sector.
Randall Yim

Describe your view on the need for Standards and why.

Explain your experience with ISO and Environmental standards and their applicability to
this case of emergency preparedness.

Explain your view on the role of the public/private sector partnership in this effort?

What results did the GAO Study on financial markets point to in terms of encouraging
additional preparedness for market leaders?

What steps should be taken to further examine this issue and move forward?

Questions:

Do you see a role for a uniform set of standards for preparedness that companies could
follow?

Do you see a way forward to get that uniform set of Standards and who would enforce it
or coordinate it?

Do you think the public sector is in a position to promulgate a set of standards and do you
think it would be accepted and helpful in the goal of emergency preparedness in the
private sector?
2:30-3:00 PM Anne Tatlock

Like many companies in the WTC, Fiduciary Trust was hit hard on Sept. 11. Anne
Tatlock, the CEO of Fiduciary is here today to tell us about the companies experiences on
9-11, which indeed was a tragic day in the history of the company when the second plane
hit the South Tower between the 87th and the 93rd floors, where 650 of Fiduciary's
employees worked. Anne was out of town that day, but became immediately immersed
in the experience and has a story to tell us of what happened on Sept. 11 and how
Fiduciary learned from that experience from a technical standpoint and has implemented
many new measures to enhance safety and preparedness in their new location.

Anne Tatlock

What are the key issues that you faced on 9-11?

What had your company done prior to 9-11 which helped you that day?

What have you changed since to enable your company to be more prepared and practiced
for an eventuality?

How do you view role of senior management in setting the tone for preparedness and
safety in a company?

What is and should be the role of the board in this issue?

Questions for Anne Tatlock

What is the key to preparedness from your perspective?

Do you believe that there is more that can be done in the public/private sector partnership
to help corporations be prepared ?

What is the key lesson you have learned from this experience and put out for others to
hear?
3:00-4:30

Panel on Incentives for Private Sector Preparedness

Moderator: Bill Raisch: Greater New York Safety Council
6 is maximum

We have conducted a series of round-tables on the topic of incentives for private sector
preparedness. Through these panels we have developed some thoughts on what these
incentives could be and Bill Raisch will lead a scripted roundtable that will bring out
some of these ideas for the Commissioners to hear. The purpose of the moderated
session is to summarize the different ideas in a way that is coherent and gives direction
for future commission thought on these issues.

Dr. Deborah Pretty: Oxford Metrica (focus on preparedness and financial viability) (on
hold)
Dr. John Orzsag: Brookings Institution (confirmed)
Mr. John Denigan: Chubb Insurance (we're seeing him on Nov. 7) or lady from Ace
Corporation: Anne Tatlock speaks in comments section only
Corporate Governance
Al Martinez-Fonz: DHS Private Sector Liaison
Century Foundation Rep: Jerry Hauer SAIC (former OEM NYC and Olympics 2000) or
Elin Gursky (Former Sr. Asst. Commissioner Public Health NJ)

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