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Construction 2011 Risk Innovators



             2011 Risk InnovatorTM Winners: Construction
Stan Turbyfill
Senior Risk Consultant
HUB International Inc.

This Copper is One Good Deterrent

Consultant comes up with markings on copper piping to deter would-be thieves.

The theft of copper installed in the heating, ventilation and air conditioning systems of commercial buildings is getting so rampant, Stan Turbyfill had to think of something to deter the expensive crimes for his commercial property owner clients--something as simple as marking their copper with the properties' name and contact phone number.

Turbyfill, a senior risk consultant in the Dallas office of HUB International Inc., last year convinced a Northeast vendor to create a Copper Guard kit, consisting of bottles and spray cans of blaze orange ink, stencils, stamps and stamp pads.

"HUB had been struggling with this issue and in a brainstorming process, we began to discuss some traditional security solutions--cameras, alarms systems--all of which were higher-cost solutions," Turbyfill said. "The problem with any security solution is that any single solution can be defeated. So one of the things we discussed is coming up with a way to brand the copper, like the cattle guys did with their steers."

If thieves try to scrub off the indelible ink, the markings still leave a "ghost image" of the property's name and contact phone number.

"That at least requires the thieves to do something else before they dispose of the product, so it might deter them from stealing the product at that property and try to hit another property instead," he said.

Copper theft is becoming a significant problem because copper prices have risen by more than 300 percent during the last 10 years, Turbyfill said. Combined with stressful economic times, thieves are resorting to new targets of opportunity by stealing copper pipe, coils and wiring from large industrial and commercial air conditioning, HVAC systems and electrical power transmission and distribution equipment causing thousands of dollars of property damage and business interruption.

"In some cases, the perpetrators are hitting fully occupied properties posing as maintenance crews," Turbyfill said. "Within minutes they can open and gut a three- to five-ton commercial HVAC unit, causing thousands of dollars in property damage and loss."

One of Turbyfill's clients, Cencor Realty Services in Dallas, marked its 150-some commercial properties in the area, and since then no copper or HVAC units have been stolen from its buildings, said Lewis Hoppen, vice president and director of property management operations.

"We can't definitively say that this alone deterred crime, as we also have security guards walking our properties, but we're going on the theory that it certainly can't hurt," Hoppen said. "If thieves see that you're being proactive and taking care of your materials, they'll go someplace else."

Implementing Copper Guard
Marking the copper materials and HVAC units is only the first step of implementing Copper Guard, Turbyfill said. His clients alert their local law enforcement about the markings.

Not only that, their legal departments have been advised to send letters to area salvage yards, placing them on notice about the marking program and to notify authorities if someone tries to sell them marked materials. The letters include a clear warning that the salvage yards could potentially be considered accessories to the crimes for failure to act.

"As with any security measure, the overall effectiveness will depend on implementation and follow-up to ensure that law enforcement is engaged in the process, thereby increasing the potential threat to those involved in the commission of copper theft crimes and subsequent cash conversion of stolen materials," Turbyfill said. "When combined with more traditional security measures, property owners and managers have the greatest opportunity to deter criminal activity on their premises."

The cost to implement Copper Guard is about $250 per building, depending on the size of the stencil, Turbyfill said.

HUB is positioning the program as an investment that clients should strongly consider and is now including information about the program in marketing materials to attract additional commercial property owner clients. So far, several new clients have been drawn to HUB's Dallas office because of Copper Guard, Turbyfill said.

"This is a situation that's driven by the current state of our economy; it's a leading-edge issue," he said.

-- Katie Kuehner-Hebert
 
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