Mike, good pictures. For those of you not familiar with Olympic that light brown material is not dirt, its sand which the club is built on. Basically you can dig down 6 inches and you have all the sand you want.
I assumed they would build up the new tee on #2. If they really wanted to do it right, such as what Oakmont did, they would have lowered the existing front tee but I assume they would have tohought it was too much a distraction. I'm willing to bet that the work is being done in house, as opposed to using some professional shapers which has been a huge mistake Olympic has continually made over the last 10 years.