Construction in Vancouver - Vancouver Regional Construction
Transcription
Construction in Vancouver - Vancouver Regional Construction
CONSTRUCTION REAL ESTATE North Growth Management Ltd. CEO Rudy North on your best bets for investing in 2011 3 se Strongly oppo pose Somewhat op se ort nor oppo Neither supp pport Somewhat su Survey finds businesses ort warming up Strongly supp to minimum wage raise in B.C. 3210% 0% IN VANCOUVER YOUR WEEKLY SOURCE OF REGIONAL BUSINESS INTELLIGENCE SINCE 1989 www.biv.com Scott Construction SCT-09-011 DoCkET: ITEM: SIZE: Business in Van Earlug – 2.125 www.vrca.bc.ca od Goy is the new dean of provide leadership and to help BCIT “Rod Goy has more than proved province’s largest electrical trades tion and Environment at the British Columbia Institute of Technology. Goy has served for many years as associate dean and has spent the last 18 months as acting dean. “This is a great opportunity to RETAIL the economic and environmental prosperity of B.C.,” said Goy. Keith Sashaw, president of the Vancouver Regional Construction Association (VRCA), gave his enthusiastic support to the appointment. industry,” said Sashaw.” The VRCA looks forward to continuing its relationship with him.” Over the years, Goy has also been responsible for the Industrial Construction Group at BCIT and was previously responsible for the including security systems technician, iron working, metal fabrication, welding, sheet metal, mining and piping trades at BCIT. Goy was the training director of the Electrical Joint Training Committee for 12 years before Retailers down on daily digital deals For temporary, permanent and contract staffing call today joining BCIT. He currently holds 604-694-2500 miles.ca memberships with the Wood Sector Council and the BC Aboriginal Mine Training Association. He was one of the inaugural board members for the Industry Training Authority, which manages the province’s industry training system. u THIS WEEK Port Mann highway project half completed Catherine Warren By Brian Martin Helping major media tap the 21st century power of audience participation Profile, page 43 A giant is coming alive as one of the biggest construction projects in the history of British Columbia passes the halfway mark. In September, Premier Christy Clark was on hand at a ceremony to mark 50% completion of the Highway 1/Port Mann Bridge project. It is a $3.3 billion project and, contrary to common public pero matter how you slice it, ception, it is not a public-private the return to the provinpartnership. It is being financed cial sales tax from the harmoby the provincial government and nized sales tax will be painful for built by a partnership that includes British Columbia’s construction Peter Kiewit Infrastructure Comindustry. pany and Flat Iron Constructors That is the word from ManCanada Ltd. ley McLachlan, president of the At the ceremony, the premier British Columbia Construction acknowledged workers for their Association (BCCA). contr ibutions to the project, “The full impact of [the which, complete, says, retailer through daily deal sites because she thinks such marketing Lynda Barr, director, Dianes Lingerie: doesn’t offerwhen mass discounts to she the lingerie See Complex, C2 willservice-oriented improve safetybrand and reliability, ploys would diminish the store’s specialized, Changing tax systems painful for construction 30% 20% 604-688-2398 VRCA news supplement Issue 1107 � January 11–17, 2011 $3.00 �credentials $79.95 in annually � [email protected] the School of Construccontinue to be an integral part of his the construction training and steel trades programs, BCCA has questions for Victoria � CLIENT: 604.988.1407 Rod Goy to head BCIT construction R k Minimum wage, maximum debate Mohamed Ahmed targets city and developer in $10m lawsuit 5 October 11–17, 2011 Y BIV/IPSOS Don't know POLL Development dust-up North of 49th M scottconstructiongroup.com INVESTMENT C WITH THIS ISSUE (SUB SCRIBERS ONLY ) Selling the city Inaugural issue of BIV’s Vancouver Relocation Guide Taseko trouble Class action lawsuit pondered News, page 6 Better business builders Your guide to closing more deals; chocolate wars and leadership Business tool kit, page 36 SAM LEUNG Ministry of Highways N Pot applause; more on Moe money; everyone into the pension pool Letters, Holman, Milke Op/ed, pages 40-41 Biggest retirement homes in B.C list Biggest interior design firms in Metro Vancouver 14 C10 A critical mass of consumers taking up Inside the offer is usually forthe the50% offer to The massive Port Mann highway projectrequired has passed mark Subscriber details construction in vancouver haron Townsend points to her own use be completed. Aboriginal trades training gets Companies vie for awards —C3 travel time the global export opportunities. transportation. Like all businesses that sign up to deliver of “daily deal” websitessave to question just and improve important boost —C10 movement of goods for trade to Through this type of investKeith Sashaw, president of the Growing trend in construction how beneficial their proliferation is to Van- offers on such sites, Townsend’s favourite Safety tied to contracts —C4 Building permits increase — C11 the Asia Pacific region. ment, the government says, the Vancouver Regional Construcrestaurant hopes its discount offer will draw couver retailers. The Port Mann/Highway 1 province is accelerating job cretion Association, also praised the Creativity in office projects e South Granville ConstructiveTh Comment —C13 Business Improve- a flood of new clientele. Improvement Project is said to ation and growing revenues. project. Innovative designs downtown —C5 “At 50% off, they’re not making any ment Association executive director bought Legal Specs —C13 be creating 8,000 jobs and is a “From the iconic design of the “A project of this size touches a 50%-off meal coupon to her favourite Van- money,” said Townsend, “so they’re countBiggest architecture firms in key component of the provincial new bridge, to the hours of traffic every sector of the construction Metro Vancouver list —C6 Around the Industry —C14 likeaims blazes somebody to is ensure going to couver restaurant a few weeks back from one ing Gateway Program, which to that management the high- industry providing investment and comeofback a second and cover the city’s nearly dozen daily deal sites. Construction fraternity backs Provincialof View —C15 improve the movement people, waytime remains open off forthat use during jobs, not just for the main contracHonour House —C8 loss.” Each site follows a similargoods model: it sends and transit throughout the construction, to keeping people Business tors butinalso for all the1107 sub-conVancouver Issue —C15 New members list Butsays because regularwhat’s patronhappen- tractors along with manufacturers its subscriber base a daily deal, usu- Victoria Lowerwhich Mainland. that Townsend’s informedaabout Hospital project underway—C8 P3 partnerships —C16 on goods 78312said 6Sashaw. 02 at her she’ll to safely 7and71114 ally includes discounts or services infrastructure projects of favourite this cali- restaurant, ing, work hascontinue proceeded suppliers,” Software company goes PM40069240 R8876 bre provide the support that will and with minimal disruption,” Some facts and figures help patronize it with or without the discount. that range between 30% and 90% at a parinternational —C9 Next issue: January 2012 RETURN UNDELIVERABLE CANADIAN ADDRESSES TO CIRCULATION SeeVANCOUVER, Construction, boost domestic, cross-border and said Blair Lekstrom, minister of ticular store. see Groupon, 2 DEPARTMENT: 102 EAST 4TH AVENUE, B.C. V5T 1G2.C2 >Host of new websites offering subscribers huge discounts at stores and other businesses >But merchants complain that the daily deal craze has few long-term benefits for Vancouver’s retail sector By Curt Cherewayko S C2 VRCA News Supplement Don’t drive distracted By Don Schouten, WorkSafeBC Manager of Industry and Labour Services – Construction D on’t drink and drive. Always buckle up. Those are two important phrases when it comes to driving safety and I’d like to add a third: Don’t drive distracted. handling something other than the wheel, and thinking about something other than driving. Translate that to a construction context and that could mean looking at a recent change of order document or directions to the next site, listening to instructions on the radio or phone, re-arranging tools in the passenger seat, or thinking about what you have to do at the next site. Driving is an important, but often overlooked activity when it comes to Remember to remind your workers that safety planning in the construction when they’re behind the wheel, driving industry. Workers drive from site to site is their only job. You can support this and, if it’s a large site, they’re often by not calling or texting them when driving within that one site. Looking you know they’re on at a mobile device, the road, and managing fiddling with the radio, road risks as you would or drinking a cup of In 2010, the any other occupational coffee is often viewed as just a natural part province of B.C. health and safety issue on your site. of driving. It may not made it illegal seem like a big deal, Develop a road to drive with but those actions might safety policy for your just put their lives at any electronic company and distribute risk. handheld it to your workers and supervisors so everyone devices, but Motor-vehicle is on the same page. incidents, or MVIs, are distractions You can find a sample the leading cause of go beyond just policy available on traumatic worker deaths WorkSafeBC’s web site cell phones and in B.C. On average, for you to adapt if you 30 workers are killed music players. don’t want to start from every year as a result of scratch. Head to the these incidents. Studies Road Safety page under have shown that 25 the Safety at Work tab on WorkSafeBC. percent of all vehicle crashes in B.C. com to check out videos, tip sheets, are caused by distracted drivers, which and other helpful resources. may imply that 25 percent of all workrelated MVIs can be attributed to the same reason. In 2010, the province of B.C. made it illegal to drive with any electronic handheld devices, but distractions go beyond just cell phones and music players. When you’re behind the wheel, anything that causes you take your eyes — and mind — off the road is a distraction that can potentially lead to disaster. Employers, supervisors, and drivers can take steps to reduce the risk caused by distracted driving. If workers at your site are required to drive, part of the worksite’s safety program should address the risks workers face when behind the wheel. There are a couple of different types of driver distractions: looking at something other than the road, listening to something not related to driving, Distracted driving is a serious issue and everyone needs to be reminded that a car, truck, or any moving vehicle is a workplace, and health and safety should be considered wherever you or your employees are working. In a fast-paced world that emphasizes multi-tasking and efficiency, it can be hard to resist the urge to do other things while driving. But when drivers focus on the road ahead — and nothing else — it goes a long way to keeping you, your workers, and the public safe. Please let me know what you think of this topic or any construction safety issue. Call me at 604 214-6989 from the Lower Mainland or toll-free elsewhere at 1 888 621-7233. Or email [email protected]. I’d like to hear from you. Business in Vancouver October 11–17, 2011 Complex calculations Construction may slow because of uncertainty surrounding the transition back to the provincial sales tax from the harmonized sales tax From BCCA, C1 return to] PST on any given contract is nearly impossible to quantify,” said McLachlan. “It will certainly hurt contractors, because they will be unable to pass on the full cost of reverting to PST, at least in the short term.” McLachlan points out that changing back to the old PST system has raised a plethora of questions for contractors. “Considerable attention was paid to the residential housing sector in the original transition to the harmonized sales tax to ensure its implementation did not seriously impact the overall tax cost of a new residence – at least those at or below the average price of a new home,” he said. “There were, however, many incidents of double taxation [PST/HST] on commercial projects and non eligible projects around July 1, 2010, due to the long lead time between contracting and delivery of a product or service.” McLachlan will be asking Victoria whether current long-term agreements will be grandfathered under the HST. In other words, whether or not credits available to the builder on costs and to the purchaser where applicable will be honoured because contracts were entered into with the expectation of no sales tax. “Or will contractors be expected to and permitted to adjust prices to reflect the new embedded costs of PST for materials purchased after the transaction?” McLachlan wondered. The BCCA president points out that the harmonized sales tax was expected to generate some $880 million in annual cost savings to the construction industry. “Conversely, will the government provide any incentives or job protection plans or otherwise ease the transition back to the PST for the construction industry?” asked McLachlan. The PST for contractors, said McLachlan, involves very complex issues and requires comprehensive books and records to satisfy the tax authorities. “Contractors will need to spend a lot more time and resources on administration of their businesses when we revert to the GST and PST,” McLachlan warned. The additional costs that result will, of course, eventually be reflected in the cost of their projects. The Urban Development Institute (UDI) in Vancouver is also very concerned about the issue. “The transition away from the HST will create much uncertainty within the development industry and among new home buyers,” said Maureen Enser, UDI executive director. “Many questions will need to be answered, and we are anticipating the government has considered the possibility of this outcome and its implications on the housing market. Further, the industry is seeking assurances that no additional taxes will be added to housing in B.C.” u Construction “giant” hits important milestone From Port Mann, C1 to capture the enormous size of the Port Mann Project. It will be 2,020 metres long and provide five lanes in each direction. When complete, the bridge will hang from 288 cables. The towers are 160 metres high, and the bridge allows for 42 metres of navigational clearance. To build the new Port Mann Bridge requires 1,158 pre-cast segments in the approach spans and 25,000 tonnes of asphalt. Forty-five kilometres of cable are being used along with 157,000 square metres of concrete. The new Port Mann Bridge will open with eight lanes in the winter of 2012/13. Two additional lanes will be added when the existing bridge is demolished. When the full 10 lanes are complete the 850-metre main span cable-stayed structure will be the widest in North America and one of the longest. The bridge will also provide for transit bus traffic across the Port Mann for the first time in 20 years. First announced in 2006, the improvement project includes not only the construction of the new 10-lane Port Mann Bridge, but also includes widening Highway 1, which is the Trans Canada Highway, upgrading interchanges and improving access and safety on the route. The project spans about 37 kilometres from the McGill Street Interchange in Vancouver to 216 Street in Langley. More than 30 interchanges and overpasses are being replaced, upgraded or added as part of the project. In keeping with the provincial transit plan and commitment to alternative transportation, the project includes congestionreduction measures such as high-occupancy vehicle lanes, transit and commercial vehicle priority measures and improvements to the cycling network. The new highway and bridge will also accommodate rapid buses that will provide a 25-minute service between a new park-andride facility in Langley and the Lougheed SkyTrain station in Burnaby. u VRCA News Supplement C3 Business in Vancouver October 11–17, 2011 Local companies vie for honours Canada’s largest construction awards event By Brian Martin M ore than 600 of the Lower Mainland’s leading construction industry leaders will gather October 19 at the Vancouver Convention Centre. The occasion is the 23rd annual Awards of Excellence dinner and awards presentations. Sponsored by the Vancouver Regional Construction Association (VRCA), it is the largest construction awards event in Canada. “The annual Awards of Excellence presentations are one of the highlights of the year for the local construction industry,” says Keith Sashaw, president of the VRCA. “It gives members of the industry an opportunity to recognize their peers who have done outstanding work.” Some 200 entries representing close to $2 billion were included in the competition this year. Construction companies are rewarded for developing particularly unique methods of overcoming specific problems, as well as for their quality of workmanship and fiscal performance. A series of silver winners has already been announced in a series of categories. At the awards ceremony, one silver winner in each category will be announced as the gold winner. During the evening, the industry will single out several individuals for their contributions over the years, and WorkSafeBC will present awards to companies who have developed new safety equipment or techniques. Construction firms who are silver winners this year are: General contractors on projects worth more than $40 million: PCL Constructors Westcoast for the $75 million Sparkling Hill Resort near Vernon; a partnership between Bouygues Canada and Bird Construction for the new $237 million Jim Pattison Outpatient and Surgery Centre in Surrey; TASK Construction Management for the $52 million Poirier Sport and Leisure Complex in Coquitlam. General contractors on projects worth between $15 million and $40 million: Carillion Pacific Construction (formerly known as Van Bots Construction) for a $32 million House of Learning at Thompson Rivers University in Kamloops; Scott Construction for the $27 million Robert H.N. Ho Research Centre at Vancouver General Hospital; Stuart Olson Dominion Construction for the $23.3 million Penticton Aquatic and Community Centre. Jim Pattison Outpatient and Surgery Centre in Surrey is among many projects to be highlighted at the VRCA Awards of Excellence evening General contractors on projects worth up to $15 million: Vancouver Pile Driving for a $14 million contract at the Nanaimo Cruise Terminal; Manley Design & Construction Management for the $2.6 million Mahoney Pub attached to the Vancouver Convention Centre; Ledcor Construction for the $6.9 million Klahoose New Relationship Building on Cortes Island. Chairman’s Trade Awards: LMS Reinforcing Steel Group for two large projects in the Maple Ridge Area that totalled $4.4 million. One was for reinforcing steel at the Golden Ears Bridge while contracted to Bilfinger/Berger from Germany and the second was for the rebar on the Coast Meridian overpass while contracted to SNC-Lavalin; Flynn Canada for a $2.7 million project it handled while contracted to Bird Construction on the Jim Pattison Outpatient Care and Surgery Centre in Surrey; Spectrum Painting for a $2.8 million contract with Bosa Construction on the redevelopment of the Vancouver YMCA along with an attached condominium tower. President’s Trade Awards: CN Architectural Millwork and Construction for a $1.2 million project at the Sparkling Hill Resort while contracted to PCL Constructors Westcoast; Concept Aluminum Products for a $1.4 million project while contracted to Scott Construction at the Robert H.N. Ho Research Centre; Whitewater Concrete, a $2.6 million Fresh. Local. Business. project while contracted to TASK Construction Management on the Poirier Sport and Leisure Complex in Coquitlam. Mechanical contractors on projects worth more than $3 million: Daryl-Evans Mechanical for a $20.8 million contract at the Jim Pattison Outpatient Care and Surgery Centre while contracted to Bird Construction; Keith Plumbing & Heating for a $48 million contract at Victoria’s Royal Jubilee Hospital, a P3 project with the Lark Group; Division 15 Mechanical for an $11.5 million job at the UBC Biological Sciences Building while contracted to Scott Construction. Mechanical contractors on projects worth up to $3 million: Jeda Mechanical for a $1.9 million contract at Samuel Brighouse Elementary School in Richmond. General contractor was EllisDon; APCO Plumbing and Heating for a $2.8 million project while contracted to Double V Construction at Garibaldi Secondary School in Maple Ridge; Paragon Mechanical for a $1.1 million project at the Garage, an historic building in Vancouver. General contractor was the Haebler Group. Electrical contractors on projects worth more than $2 million: Western Pacific Enterprises for a $5.3 million project at the UBC Biological Sciences Building. Scott Construction Special Projects was Electrical contractors on projects worth up to $2 million: Houle Electric is a double winner: first for a $628,000 contract at a BC Hydro field operations facility near Port Alberni where the general contractor was Omicron Total Building Solutions. Houle’s second win was for its $120,000 contract on the Canada Place sails replacement project. General contractor was Ledcor Construction. Also winning silver was Mustang Electric for a $110,000 job at the Mahoney & Sons Public House. General contractor was Manley Design & Construction Management. Manufacturers and suppliers: Two firms have won silver awards as outstanding manufacturers or suppliers: Holdfast Metalworks of Nanaimo for a $40,000 contract with Ledcor Construction on the Klahoose New Relationship Centre on Cortes Island; and M&K Ready Mix of Vernon. M&K supplied PCL Constructors Westcoast with concrete for its award-winning Sparkling Hill Resort in the Okanagan. It was a $1.2 million contract. u ENGINEERING VALUE... ACHIEVING OUTSTANDING RESULTS Daily news to your inbox. Sign up at www.biv.com the general contractor; Bridge Electric for a $2.4 million contract with Ledcor Construction on the Wesbrook Residential Tower at UBC; Nightingale Electric for a $15 million project at the Jim Pattison Outpatient Care and Surgery Centre while contracted to Bird Construction. ROOFING CONTRACTORS ASSOCIATION OF BRITISH COLUMBIA 9734 201st Street | Langley, BC | V1M 3E8 A culture of innovation, sound management principals and education delivers sustainable value and enhances customer satisfaction. RCABC has set the standards for the roofing industry with a commitment to continuously improving quality and performance. RCABC supports these high standards with the industry’s most comprehensive Guarantee Program. T 604 882 9734 F 604 882 1744 E [email protected] rcabc.org C4 VRCA News Supplement View your project in the highest resolution available. n View your project from any web browser, zoom in for greater detail n DSLR Canon cameras used for image capture and generating time-lapse sequences n Wireless and weather proof, adaptable hardware solutions for any weather n Images are print quality, suitable for the web, magazines and art reproduction n Time-lapse sequences in any resolution from the web to HDTV n Archiving of images and website available Any Environment – Any Location TimeLapse Digital Contact: Rene Beland 604.644.3359 [email protected] Growing trend in the construction industry Companies’ safety records tied to winning contracts By Brian Martin G etting a construction contract is likely the most impor tant thing a construction company can do. Short of that, however, nothing is more important than safety. It is now quite likely that in the future, getting that job will be directly connected to a company’s safety record. In fact, in some cases it already is. At the heart of the issue is the BC Construction Safety Alliance (BCCSA). With headquarters in New Westminster, it is a non-profit association aimed at promoting safety within the industry. Funded from a small percentage of the premiums companies must pay to WorkSafeBC (formerly known as the Workers’ Compensation Board) the association represents all the 150,000 people who work for the approximately 35,000 construction companies in the province. Those companies range from a one- or twoperson operation to the largest companies in the industry. The BCCSA was formed just one year ago from the amalgamation of two existing and separate groups – the Construction Safety Network and the Construction Safety Association of BC. The two had represented different groups within the industry. Now all groups and all sectors are represented by BCCSA. Shortly after the merger, Mike McKenna came on board as executive director. McKenna has a long history in construction safety in the province and has worked in both the private sector and for WorkSafeBC. “What I have done in the months since I came here is try to demystify COR,” said McKenna. COR stands for Certification of Recognition. Although the BCCSA offers a number of safety-related courses and programs, COR is its key program. Started in 2003, it is comprised of several safety training programs available to construction managers and construction employees. There are two different structures. One is aimed at small BC Construction Safety Alliance Timelapse Capture and Jobsite Monitoring Business in Vancouver October 11–17, 2011 Workers gather for a safety briefing during re-construction work at BC Place Stadium companies – defined as firms with less than 20 employees – and another is aimed at large companies. It has been very successful. Since it began, base rates for the total construction industry have fallen from an average of $8.82 per $100 assessable payroll to $5.34. “The large guys are paying big bucks to WorkSafeBC. So, 15% off their basic premium can come to hundreds of thousands of dollars” – Mike McKenna, executive director, WorkSafeBC There are also very important direct savings for companies that are COR certified. They can see their WorkSafeBC premiums drop between 10% and 15%. Between 2003 and 2009, COR saved the construction industry $6.5 million in WorkSafeBC rebates. The majority of the companies who are COR-certified are large construction firms. Getting the smaller companies – which are often momand-pop operations – is much tougher. “The large guys are paying big bucks to WorkSafeBC,” said McKenna. “So, 15% off their basic premium can come to hundreds of thousands of dollars. To the small guy, it’s not that alluring.” That will likely change, however. A movement is afoot to have most contractors in the province certified before they are allowed to bid jobs. Two of Vancouver’s largest general contractors have started pilot programs that involve helping sub-contractors become COR certified. Without that certification they would not be allowed to bid. “ T h a t i s t h e l e ve l o f seriousness we need,” said McKenna.” At the same time, the BC Construction Alliance is lobbying the provincial government to make COR certification a requirement for provincially financed projects. The roofing industry has gone even further. The Roofing Contractors Association of BC now requires COR certification from all its members. This is where McKenna’s goal of “demystifying” COR comes in. “There’s a feeling out there that it is hard to do and it isn’t,” he said, adding there is also a feeling among some contractors of, “It can’t happen to me.” It can happen to anyone, he emphasizes. While accident prevention is very important, return-to-work programs are also very important. The duration of time away from work has been increasing in recent years and is very expensive. The association has a fulltime employee – Vernita Hsu – dedicated to working with companies to create programs to get workers back to work – perhaps modified work – as soon as possible. Her services are free, and she has an extensive background in injury management specific to the construction sector. Some 700 construction firms – most of them large companies – have been COR certified. The aim is to increase that by 200 per year. As part of the recruitment drive, the association is experimenting with contracting regional co-ordinators. These are safety professionals with years of hands-on experience in the industry. They are given lists of companies that are interested in COR certification and they go out to meet them in the field. They also provide safety consultation services free of charge to BCCSA members. “They can meet them first thing in the morning or in the evening if that is more convenient,” said McKenna. So far, there are three co-ordinators – in the Lower Mainland, on Vancouver Island and in the Southern Interior. If t h e p i l o t p ro g r a m i s s u cce s s f u l , i t w i l l b e expanded. u VRCA News Supplement C5 Business in Vancouver October 11–17, 2011 Office projects highlight local architects’ creativity Larger floor plates and fewer balconies enable innovative designs square feet. Law firm McCarthy Tetrault LLP plans to relocate on the top four or five floors. Thompson’s other office project, for Oxford Properties Group, has a slim, condominiumsized floor plate of about 8,000 square feet. That 37-storey structure curves as it rises above its Oxford-owned neighbours: the Marine Building and the Guinness Tower. “The Marine Building and the Guinness Tower are both square. The Marine Building has a wedding-cake, 1920s approach with heavy materials,” Thompson said. “The new building, from its curved shape and slenderness and the way it flips and rotates at the top is something that isn’t competing with that [square blockishness].” Iredale’s Pender Street project for Credit Suisse AG and Swissreal Investments Inc. has floor-plates sized in between those of the two future MCMP towers. Glen Korstrom P Residential | Mixed-Use | Commercial | Civic | Special-Needs | Seniors ending development of four large office towers breaks a multi-year lull where no such projects were built in downtown Vancouver and provides opportunities for architects who want to get creative and think outside the box. The city’s ongoing condominium tower boom allows little chance for architects to convert inspired concepts into brick-and-mortar reality. Commercial buildings allow more creativity largely because their footprints are larger and they do not have formulaic patterns where every so-many feet there is an identically sized balcony. “With condominium towers, the bedrooms have to be on the exterior. The living room has to be on the exterior. There simply aren’t enough other things to put inside a big floor plate if you “We’ll have two elements: your stack bedrooms and living rooms against the exterior,” said Musson Cattell Mackey Partnertraditional office tower but also ship (MCMP) partner Mark Thompson. “There’s a maximum size you can make a a large cantilevered bar that is floor plate before the layout doesn’t work any more.” four storeys tall and projects The sweet spot for a condo floor plate is about 7,000 to 8,000 square feet, compared through two city blocks over with office towers where the floor-plate is often 25,000 to 30,000 square feet, he said. two streets” The result of this restriction on creativity is – Gregory Henriquez, that Vancouver is saddled with similar-looking partner, residential towers – most being pale green and Henriquez Partners Architects white, glass-clad and tall and slim. Dialog architect Bruce Haden recently lamented Vancouver’s ocean of “seafoamIts mashing of buildings comes because coloured” condominium towers at an event to the City of Vancouver wanted to preserve the launch his Central-branded mixed-use project legendary stock exchange building that is not on Quebec Street near False Creek. officially a heritage building yet is still historic Haden’s antidote to this sameness is to by Vancouver standards. build Central – a project with two 10-storey Iredale architects have upgraded the old towers that support an eight-storey horizontal stock exchange structure with new electrical and tower which lies across the towers at a diagonal mechanical systems. Floor plates on the lower angle. floors of the 30-storey structure will be 15,500 See Ivy, C7 Thompson’s creative escape will be to work with his partners on two office tower projects slated to be complete by 2015 at the latest. One, which Bentall Kennedy LP is developing at 745 Thurlow Street, will extend Vancouver’s traditional central business district toward Robson Street. The 400,000-square-foot structure on Alberni Street will be about 300 feet high or about half the size of the Shangri-la Hotel across the street. Like the planned Iredale Group of Architecturedesigned building at 800 West Pender Street, MCMP’s project, on the former government liquor store site on Alberni Street, will look a bit like two buildings mashing into each other. “One side of the building is rectangular. It faces Georgia We utilize our LEED Accredited Professionals on our Street and is a bit more straightprojects, offering design features for environmental laced, whereas the other side, conservation and overall planning solutions that facing Robson Street, is a bit champion sustainable urban development. more jazzy,” Thompson said. The building’s jazziness stems from an inverted triangle-shaped part the structure that fans out on the upper floors to create a maximum floor plate of about 20,000 Iredale Group of Architecture designed a tower that incorporates the old Stock Exchange Building and a new 30-storey structure C6 VRCA News Supplement Business in Vancouver October 11–17, 2011 Biggest architecture firms in Metro Vancouver Ranked by 2010 net architectural fees Rank '11 Company 1 2 3 4 5 6 7 Partners/principals Specialties Noel Best, Ian Carter, Darren Burns, Doug Hamming, Bruce Knapp, Wilfred Lach, Len Rodrigues, Tom Schaeferle, Peter Wreglesworth, Bruce Raber, Brent North, Hal Owens, Michael McColl, Ray Pradinuk, Dan Zak Mike Burton-Brown, Jeremy Woolf, David O'Sheehan, Kenn Grotsky, Michelle Beggs, Daryl Hutchison, Sally Emmerson, Robert Smith Airports, community, commercial, cultural, education, health 1954 care, hospitality, research laboratories, retail and mixed used 51 35 More than $20 million Large-scale commercial, department stores, retail, mixed-use, 1979 residential, places of worship, institutional and complex renovation 10 10 Under $16 million CEI Architecture Planning Interiors Richard Bolus, John Scott, William Locking, Jim Aalders, Mark Hentze, Rod Windjack, Tim McLennan, Nick Bevanda Health care, recreation, institutional, office, retail, multifamily 1986 residential and education 27 28 More than $12 million Kasian Don Kasian, Wojciech Brus, Bill Chomik, Scott Douglas, Jim Ebbels, Milton Gardner, Crystal Graham, Vaughan Hoy, Carol Jones, Dean Matsumoto, Michael McDonald, Alan Nakaska, Patsy Poulin, Paul Szaszkiewicz, Oliver San Agustin, Peter Streith, Lois Wellwood Peter Busby, Susan Gushe, David Dove, Martin Nielsen, Robert Drew, Jim Huffman, Peter Thaler, Kathy Wardle, Rod Maas, Enrico Dagostini, Adam Slawinski, George Miu, Ryan Bragg, Loren Cavallin, Sean Brent, Blair McCarry William Reid, Mark Whitehead, Jacques Beaudreault, Mark Thompson Airports, educational institutions, office buildings, laboratories, hospitals, renovations to major facilities, residential, mixed-use, retail projects, hospitality and commercial projects Architecture, planning and strategies, interiors and branded environments for aviation, transit, corporate, commercial, civic, health care, higher education, K-12 education, science and technology projects Retail, office, residential, hotel, health care, mixed-use, planning and urban design 1985 38 45 More than $10 million 1984 21 16 More than $10 million 1965 16 14 More than $8 million 1998 12 15 More than $7 million 1973 12 12 More than $7 million Henriquez Partners Architects Kevin Hanvey MAIBC, Greg Richardson MAIBC, Ivica Marinic MAIBC, Institutional, retail, commercial, residential, mixed-use, George Sawatzky, Bill Tucker, Doug Vincent, Alex Riftin, Lori renewals and planning Billson, Cameron Kemp, Andy Kohler, Tim Loo, Sally Mills, Rod Yeoh, Norman Laube, Jordan Levine MAIBC, Michael Byron, Matthew Piry, Daniel van der Werff Norman Hotson, Joost Bakker, Alan Boniface, Bruce Haden Mixed-use waterfront design and planning, mixed-use urban infill, residential, educational, recreational, commercial, institutional, office and urban planning Richard Henriquez, Gregory Henriquez Cultural, institutional, office, residential buildings 1969 38 32 More than $7 million Chandler Associates Architecture Inc Sheldon H. Chandler, Chris Block, Wally Ewert Mixed-use retail/residential, lifestyle centres, multiresidential, seniors' living facilities, commercial office 1987 5 5 More than $4 million Neale Staniszkis Doll Adams Architects Derek Neale, Tom Staniszkis, Jerry Doll, Larry Adams Housing, mixed-use, health care, special-needs seniors housing, institutional, building restoration 1976 14 13 More than $4 million Graham Hoffart Mathiasen Architects Ron Hoffart, Mark Mathiasen Schools, health care, municipal buildings, commercial and multifamily residential 1972 7 7 More than $4 million KMBR Architects Planners Inc Gregg Brown, Witmar Abele, George Boorman 1958 4 6 More than $4 million Iredale Group Architecture Richard H. Iredale, James S. Emery, Kendall B. Jessiman, Selwyn Dodd, Peter Hildebrand, Graham Coleman 1980 10 8 More than $4 million McFarlane | Green | Biggar Architecture Steve McFarlane, Michael Green, Michelle Biggar Schools, colleges, police buildings, firehalls, health care, seniors, multifamily residential, commercial, recreational buildings, First Nations projects, sustainable design Architecture, master planning, structural engineering, building envelope, interior design, LEED facilitation, heritage restoration, cultural centres, educational institutions, commercial spaces, mixed-use developments, First Nations community buildings, residential NP 2003 8 6 More than $4 million Hughes Condon Marler Architects Roger Hughes, Darryl Condon, Karen Marler, Stuart Rothnie 1995 17 19 More than $3 million Bing Thom Architects Inc Bing Thom, Michael Heeney Public buildings, sports and recreation, education, postsecondary, multifamily residential, health care, sustainable design and planning Commercial, institutional, cultural and residential projects 1980 18 20 More than $3 million Rositch Hemphill and Associates Architects Bryce Rositch, Keith Hemphill Multifamily residential and mixed-use developments, master planning, resort-related developments and seniors-related facilities 1984 5 5 More than $3 million DGBK Artchitects Sebastian Butler, Greg Dowling, Ralf Janus, Robert Lange 12 9 More than $3 million DA Architects + Planners Mark Ehman, Randy Knill Health care, education, airports, police and corrections 1972 facilities, residential, sports and recreation facilities, cultural centres and museums, laboratories, seniors housing, care centres, hotels and resorts, urban planning Hotels, highrise residential, large mixed-use projects, 1969 libraries, urban planning, education and community buildings 10 10 More than $2 million Merrick Architecture - Borowski Sakumoto Fligg Limited Greg Borowski, Graham Fligg, Mitch Sakumoto Multiple-residential (high and low-rise), institutional, educational, adaptive re-use, commercial, recreational, specialty and mixed-use 1984 9 8 More than $2 million Bingham Hill Architects John Bingham, Michael Hill Multi-unit residential development, educational facilities, hotels and ski facilities 1961 4 4 More than $2 Million CJP Architects Ltd James Carlberg, Brian Hulme Institutional, recreational, education and health care 1954 4 6 More than $2 million Stantec Architecture Ltd 111 Dunsmuir St Suite 1100, Vancouver V6B 6A3 P: 604-696-8000 F: 604-696-8100 www.stantec.com Abbarch Architecture Inc 505 Burrard St Suite 1830, One Bentall Centre, Vancouver V7X 1M6 P: 604-669-4041 F: 604-683-5338 www.abbarch.com 1500 Georgia St W Suite 500, Vancouver V6G 2Z5 P: 604-687-1898 F: 604-682-5398 www.ceiarchitecture.com 1555 Pender St W Suite 350, Vancouver V6G 2T1 P: 604-683-4145 F: 604-683-2827 www.kasian.com Perkins+Will Canada Architects Co 1220 Homer St, Vancouver V6B 2Y5 P: 604-684-5446 F: 604-684-5447 www.perkinswill.ca Musson Cattell Mackey Partnership 555 Burrard St Suite 1600, Vancouver V7X 1M9 P: 604-687-2990 F: 604-687-1771 www.mcmparchitects.com Omicron Architecture Engineering Construction Ltd 595 Burrard St 5th floor, Vancouver V7X 1L4 P: 604-632-3350 F: 604-632-3351 www.omicronaec.com 8 9 10 11 12 13 14 15 16 17 18 19 20 21 DIALOG1 611 Alexander St Suite 406, Vancouver V6A 1E1 P: 604-255-1169 F: 604-255-1790 www.designdialog.ca 402 Pender St W, Vancouver V6B 1T6 P: 604-687-5681 F: 604-687-8530 www.henriquezpartners.com 601 Cordova St W Suite 270, Vancouver V6B 1G1 P: 604-687-3390 F: 604-687-3325 www.caaarchitecture.com 134 Abbott St Suite 201, Vancouver V6B 2K4 P: 604-669-1926 F: 604-683-2241 www.nsda.bc.ca 10190 152A St Suite 203, Surrey V3R 1J7 P: 604-581-8128 F: 604-581-8148 www.ghmarchitects.com 1788 8th Ave W, Vancouver V6J 1V6 P: 604-732-3361 F: 604-732-1828 www.kmbr.com One Alexander St Suite 202, Vancouver V6A 1B2 P: 604-736-5581 F: 604-736-5585 www.iredale.ca 15 Chesterfield Pl Suite B, North Vancouver V7M 3K3 P: 604-980-9924 F: 604-980-9915 www.mgbarchitecture.ca 1508 2nd Ave W Suite 300, Vancouver V6J 1H2 P: 604-732-6620 F: 604-732-6695 www.hcma.ca 1430 Burrard St, Vancouver V6Z 2A3 P: 604-682-1881 F: 604-688-1343 www.bingthomarchitects.com 120 Powell St Suite 10, Vancouver V6A 1G1 P: 604-699-6002 F: 604-669-1091 www.rositchhempill.com 1500 Georgia St W Suite 950, Vancouver V6G 2Z6 P: 604-682-1664 F: 604-682-2405 www.dgbk.com 1014 Homer St Suite 200, Vancouver V6B 2W9 P: 604-685-6312 F: 604-685-0988 www.da-architects.ca 970 Homer St Suite 300, Vancouver V6B 2W7 P: 604-683-4131 F: 604-683-9313 www.merrickarch.com 22 23 1444 Alberni St Suite 201, Vancouver V6G 2Z4 P: 604-688-8254 F: 604-688-3323 www.bharch.ca 301 Sixth St, New Westminster V3L 3A7 P: 604-526-2764 F: 604-526-6995 www.cjp.ca Sources: Interviews with above firms and BIV research. Includes firms that responded to requests for updated information. NR Not ranked NP Not provided 1 - Formerly Hotson Bakker Boniface Haden Architects + Urbanists >Next week: Top 100 national and global companies based in B.C. Do not miss the Book of Lists, a compilation of lists featured in BIV, including biggest law firms, construction companies, biotech firms and many more. Free to subscribers ($79.95 plus HST for one year) or $35 plus HST as a separate purchase. Purchase lists as Excel files at www.biv.com/listsforsale. Year Architects Architectural founded '11/'10 fees '10 Business in Vancouver makes every attempt to publish accurate information in The List, but accuracy cannot be guaranteed. Researched by Richard Chu, [email protected]. Business in Vancouver October 11–17, 2011 VRCA News Supplement C7 Ivy joins two buildings From Office, C5 square feet. “We’ve opened up the walls where the existing building joins the new one,” said Iredale partner Peter Hildebrandt. “You can stand in the corner of stock exchange building and look right through to the new one.” Ceilings will flow continuously, as will floors. Tenants will simply walk through arch doorways, which were formerly windows in the old building. The building’s exterior will downplay the impression of merging a historic building and a new one because there will be a wide vertical sleeve running up the structure that will be filled with growing ivy. That green strip rises part way up the structure before sloping south toward the sun – an element that both helps the ivy grow and reveals an Musson Cattell Mackey Partnership’s project at 745 Thurlow artistic flair that would be will be a prominent structure visible from Robson and impossible on a condominGeorgia streets ium building where there are balconies, Hildebrandt said. Across the downtown peninsula, Henriquez is four storeys tall and projects through two city Partners Architects principal Gregory Hen- blocks over two streets,” he said. riquez is equally excited by the Telus Gardens Henriquez’ megaproject includes a 22-storey project that his firm is developing on Georgia office building, a 44-storey residential building Street for B.C.’s largest company. and retail space. u “We’ll have two elements: your traditional office tower but also a large cantilevered bar that [email protected] ANNOUNCEMENT: MALLEN ARCHITECTURE IS NOW... ARCHITECTURE INCORPORATED MallenGowingBerzins is a full-service rm providing architecture, planning, programming, and interior design services. commercial retail hospitality office residential entertainment heritage government Providing an inclusive process of creative collaboration with a thorough understanding of client needs and priorities is what we are known for. Building solutions is what we do. Suite 170 - 601 W Cordova Street, Vancouver, B.C. V6B 1G1 t: (604) 484-8285 f: (604) 484-6070 www.mgba.ca VANCOUVER EDMONTON TORONTO SHANGHAI WWW.ABBARCH.COM C8 VRCA News Supplement Business in Vancouver October 11–17, 2011 Construction fraternity backs Honour House Companies, unions and associations all involved Fraser Health I EllisDon is well underway on the rebuilding of Surrey Memorial Hospital Bradley Fehr t i s l i ke l y t h e m o s t unusual project that members of the Vancouver Regional Construction Association (VRCA) have ever taken part in. It is Honour House. Honour House is a 10-suite home in New Westminster recently opened to house first responders and their families when they are forced to leave their own communities and come to the Lower Mainland for medical treatment. It is owned and operated by the Honour House society, a non-profit organization. “First responders” covers everybody from Afghanistan veterans to firefighters, paramedics and police officers. Although such facilities exist in the United States, this is the first Honour House to be built in Canada. Word of its success, however, has spread so quickly that other cities including Calgar y, Edmonton, Winnipeg and Toronto are considering following the Lower Mainland’s example. More than a million dollars has been donated in cash and kind by members of the VRCA and consultants and engineers to make Honour House a reality. Donations are still coming in. In addition, the project is backed by such organizations as the Canadian Legion and the provincial government through BC Housing. The VRCA involvement was headed by Don Vandervoort, a retired construction executive and a veteran. He was also chair of the association’s life members committee. Vandervoort took a very strong personal interest in the project. “I was very enthused,” he said. “Because of my connection with the military Honour House in New Westminster is now up and running and because of my affiliation with the VRCA, I just had a strong feeling the association should do something – and I couldn’t think of anything better to do. “I am incredibly proud of this industry,” he told BIV. “So many companies, unions, trade associations and individual workers have contributed to the effort. It’s a good feeling.” Vandervoort is a ver y determined man, and Honour House kept him busy for more than two years. Last year, his efforts were recognized with a special award from the VRCA. VRCA president Keith Sashaw echoes Vandervoort’s enthusiasm. “This gave the construction industry an opportunity to give something back to the community” said Sashaw. “This is something we are continuing to emphasize as we launch our Environmentally Sustainable Construction program, which puts a heavy emphasis on community and social commitment.” Honour House involved gutt ing and pre tt y we l l completely rebuilding a 9,000-square-foot Georgian mansion built in New Westminster in 1937. “I am incredibly proud of the industry. It’s a good feeling” – Don Vandervoort, retired construction executive and veteran All concerned agree it would have been less expensive to just build a completely new structure, but it would not have had the “homey” atmosphere that Honour House has achieved. This is just the latest life for the old house. It was originally built by a gentleman who had won the Irish Sweepstakes. The designer was A.J. Taylor, the engineer who oversaw construction of the Lion’s Gate Bridge and for whom Taylor Way in West Vancouver is named. It remained a very gracious private home into the mid-1950s. After that it was employed for a number of institutional uses such as a nursing home and a halfway house. The historic integrity of the home was carefully maintained as it was expanded and upgraded. Even the landscaping has been completely redone. Dozens of trade contractors and suppliers have been involved. Construction manager was Scott Construction. In addition to a donation to the project, they forewent their usual mark-up on their work. Walter Frankl, architect, also donated his work. To make sure residents of Honour House will be able to get to and from their medical appointments the British Columbia Construction Association has donated an appropriate van. “It was just one incredible project,” said Vandervoort. u Imagine www.merrickarch.com Province’s largestever hospital investment EllisDon moves forward on Surrey hospital project W ork is well underway at the expansion of Surrey Memorial Hospital. After months of excavation and site preparation the first concrete was poured this summer. The general contractor is EllisDon. The $512 million redevelopment and expansion project is the province’s largestever capital investment in health care. It includes significant renovations to the existing hospital and addition of an eight-storey critical-care tower. The hospital will gain 151 beds for a total of 650. The Surrey Memorial Hospital Foundation will contribute approximately $15 million to the project. It is expected the project will generate 3,270 constructionrelated jobs. As a regional centre for the Fraser Valley, as well as home hospital for B.C.’s fastestgrowing city, Surrey Memorial will include a greatly expanded emergency department and other improvements that the government says will better enable staff to offer the best possible care to patients. The ER will include separate tracks for mental-health patients, seriously ill or injured persons, minor illnesses or injuries and pediatric patients. The pediatric ER will have dedicated pediatric staff. The emergency department is slated to open in 2013 with the rest of the tower anticipated to open in 2014. Ongoing renovation projects in the hospital have different completion dates. The tower will include a 48-bed Level III neo-natal intensive-care unit (NICU) for high-risk infants, and an embedded pediatric pharmacy. It will also offer Canada’s first in-hospital Ronald McDonald House, which will provide space for families. Each NICU bed has its own room with space for family to visit and stay over. Other medical floors will include an enlarged intensivecare unit, high-acuity beds, a special stroke unit and the ability to offer patients bedside hemodialysis. A new laboratory will take up one floor. Increased teaching space for the UBC School of Medicine will expand SMH’s role as a teaching and research hospital. The expansion of Surrey Memorial Hospital is the second major health construction project in the city. Recently, the $237 million Jim Pattison Outpatient Care and Surgery Centre was opened a few blocks away from SMH. “With the recent opening of the Jim Pattison Outpatient Care and Surgery Centre and this redevelopment project, we are investing about three quarters of a billion dollars in health-care infrastructure in Surrey,” said Finance Minister Kevin Falcon, MLA for Surrey/Cloverdale. u VRCA News Supplement C9 Business in Vancouver October 11–17, 2011 Local software firm goes international a problem. “What can happen is an owner may get a bid from a perfectly qualified contractor,” said Sulpher. “They’d love to work with him and he’s the low bidder. But they have to throw him out because he didn’t comply exactly with the bid. The owner may lose $20,000, $30,000 or $100,000 because of this.” The electronic bid form, however, won’t let the contractor submit a bid if there is an error in compliance. Using the system is free to project owners after an initial $1,000 to cover the software and training. It is the contractors who pay – and it is a modest amount. In order to submit a bid, bidders are required to be authenticated. For this process, there is an annual fee of $150 for each bidder. Although the system has only been introduced in the past few months, it has already been adopted by several major players. They include the Lower Mainland Facilities Management Group, which represents the facilities management for four provincial health authorities. They are Fraser Health, Provincial Health Services, Providence Health and Vancouver Coastal Health. In addition, the Interior Health Authority has adopted it and will no longer be accepting paper bids. Its use is not confined to construction alone. The University of the Fraser Valley, for example, intends to use it to gather bids for furniture and fixtures. Already word of the system has spread. Infinite Source Systems is now working with the State of Wisconsin, for one, which is adopting its software to conduct all their construction bids online. By joining forces with Barryhund Administrators, it has greatly expanded its business base to more than 150,000 customers. “We are excited about this new relationship,” said Robertson. “Our substantial expertise in the field and proven market-leading technology offerings combine to meet the diverse needs of the construction professionals who are transitioning the use of online technology.” u Digital contract bidding now considered complete By Brian Martin C onstruction may be many thousands of years old. There is nothing ancient, however, about the technology being used by the construction industry. In fact, technology that has been developed right here in Vancouver is now being embraced in the United States and shows every sign of expanding rapidly. Infinite Sources of Vancouver has announced a merger with Barryhund Administrators of Sacramento, California. They say their combined market strength will allow them to quickly introduce their new technologies and services to the U.S. construction market. Those technologies have been evolving rapidly. For nearly a century, buyers of construction have dealt with the builders of construction – in other words “contractors” – through a fairly complex system involving bids and lots of paper. The system worked for a long time. In recent years, however, there has been a sea change. Led by Infinite Source Systems Corp., bidding in British Columbia has gradually been going digital. For some time, general contractors have been able view plans online rather than having to physically come into plan rooms. The plan rooms are operated across the province by the affiliate members of the BC Construction Association. In Vancouver and Abbotsford, that means the Vancouver Regional Construction Association (VRCA). Digital tenders have also meant general contractors have been able to solicit bids from trade contractors online. Trade contractors did not need to deal with paper bids. This was all made possible by using software developed by Infinite The days of rushing around to handle tenders is ending thanks to digital advancements Source Systems, which works closely with the associations. One of its principals, Steve Sulpher, is a former president of the VRCA, and another, Dave Robertson, CEO of Infinite Source Systems is a former president of the BC Construction Association. While trade contractors could bid to general contractors digitally, there was still a gap in the system and it involved building owners. The owners did not have access to the digital system, and general contractors still had to prepare paper tenders for them. Recently, that has changed. Infinite Source Systems has developed software that allows building owners to place their projects electronically into the plan rooms and allows general contractors to bid on them digitally. As a result, the plan rooms will be open to all contractors whether they are association members or not. There is, however, an additional fee for non-members to access the plan rooms. There are a lot of advantages to digital tendering, says Sulpher. The first one is obvious, of course. Contractors don’t have to jump in their vehicles and battle gridlock across town to get their bids in on time. It is done with the touch of a keyboard. There are other not-so-obvious advantages, however. Electronic bidding removes a whole Aspirin bottle full of headaches. For example, it is common practice for general contractors to first submit a bid and then as they gather new prices from trade contractors to fax in amendments. This can be asking for trouble. Fax machines have a habit of jamming. Furthermore, it puts the responsibility for adjusting the original tender on the shoulders of the tendering agency or owner. This is a responsibility they don’t want. Using the electronic system, contractors can add to their bids or take away from their bids as often as they like right up to the minute tenders close. By the way, there is no doubt about tender closing time. The minute a tender is posted, a clock – quite visible to all – starts counting down to closing time. When the clock runs out, the tender closes and no amount of praying, cussing or begging can make it accept a change. The other major advantage is that electronic tendering makes it close to impossible to submit a non-compliant bid. Non-compliant bids are BidCentral TM Achieve Safety Excellence and Reduce your WorkSafeBC Premiums! � � � � Our Certificate of Recognition (COR) program can help employers of all types and sizes prevent workplace accidents and injuries. Trained staff members are available to assist so that the process is as straightforward as possible. Call us today to find out more about COR, including how you can save up to 15% on your annual WorkSafeBC premiums. 1.877.860.3675 Raising Awareness, Reducing Injuries www.bccsa.ca C10 VRCA News Supplement Business in Vancouver October 11–17, 2011 Aboriginal trades training getting important boost A boriginal trades training in B.C. was given a boost by the provincial government this summer. Young aboriginal women and men are viewed by the construction industry as a potentially valuable source of new skilled workers. The average age in First Nations communities is considerably younger than in the population at large. A total of $2.2 million in funding is being provided to the provincial Industry Training Authority (ITA). It comes from the Canada-British Columbia Labour Market Agreement, which targets trades training for aboriginal people. The training will be delivered by First Nations and other agency providers to about 350 participants in two dozen communities across B.C. Mary Polak, aboriginal relations and reconciliation minister, announced the funding. At the same time, she announced a further $200,000 research project that ITA will undertake to identify barriers that limit the success of aboriginal people entering Aboriginal apprentice David Ward with Mary Polak, Aboriginal Relations Minister and completing skilled trades certification. The ITA’s CEO, Kevin Evans, says the funding and research are two significant strides forward in the organization’s efforts to increase Passion! For the Profession. What makes a good ‘pitch’? Developing, Presenting and Landing Business with Linda Oglov, Business Development Consultant & Bill Baker, Principal and Founder, BB&Co Strategic Storytelling Linda’s 30 year career has included many opportunities to “pitch” business propositions, from small consulting contracts to Olympic Games multi-million dollar sponsorship and broadcast proposals. Bill also has substantial experience pitching business and brings a unique perspective on how pitch teams can better connect with potential clients. Bill will join Linda to share some of their colourful experiences, what they have learned and what they see as being key to the success of any business pitch. Presentation take-aways: - An understanding of successful pitch fundamentals; - How to avoid common pitfalls and traps; and - Basis of your own Action Plan to start crafting your own business pitches. aboriginal participation in the trades. Since 2006, aboriginal participation in apprenticeship training has increased by 118%. Last year, ITA’s aboriginal initiative program served 21 communities across the province, resulting in 355 aboriginal people being ready for trades employment. “We know the skilled trades are particularly attractive to aboriginal people,” Evans said. “Many aboriginal communities are close to major provincial projects, and the hands-on approach to the trades and apprenticeships offers components that are consistent with the values of many aboriginal cultures. We need to continue to ensure aboriginal people have access to training and assessment that is flexible and responsive to their needs.” His comments were echoed by Keith Sashaw, president of the Vancouver Regional Construction Association (VRCA). The VRCA has been active in supporting aboriginal trades training. This is not something confined only to the northern and rural areas of the province, Sashaw pointed out. One of the province’s largest aboriginal populations is contained within the Lower Mainland, he said, as are many of B.C.’s largest construction projects. The government says that aboriginal tradesperson, David Ward, is an example of how well the support programs are working and the positive benefits it is providing to workers and their families. Ward is a 36-yearold first year apprentice sheet-metal worker from the Kaska Dene and Taku River Tlingit First Nations. He took a Canada-B.C. Labour Market Agreement-funded sheetmetal foundation program through ACCESS Trades and is now working full time as an apprentice. The funding announcements were made during a National Aboriginal Day celebration sponsored by the ITA, Aboriginal Tourism and Fortis BC. u Victoria promotes northern infrastructure O ver the past summer, the provincial government has approved $120 million in royalty credits. This will lead to the development of 30 new infrastructure projects in northeastern British Columbia. Building the projects will create 2,085 jobs. Twelve companies were awarded credits under the 2011 Infrastructure Royalty Credit Program. New and upgraded roads and pipelines, says the government, will improve access to underdeveloped areas and increase year-round production activities. This in turn will generate more jobs and more business opportunities in the province’s petroleum and natural gas sector. Industry funds the entire cost of each infrastructure project. Companies can then apply for a credit of up to 50% of the construction costs which are applied against the royalties companies pay to the province. Victoria points out that British Columbia continuously evaluates the program and follows up on what other jurisdictions are doing. Forty-nine applications involving a total request of approximately $527 million in estimated construction costs were submitted to the Ministr y of Energ y and Mines for review. Since its inception in 2004, the Infrastructure Royalty Credit Program has led to the development of 75 new road-based ventures and 93 new pipeline projects. They account for more than $1 billion in capital investment and about $5 billion in private-sector drilling and other investment activities. u 20 Years! of Doing the Heavy Lifting Thursday, October 20, 2011 - 5 to 7 PM Pan Pacific Hotel,Vancouver, BC Register online at www.smeivancouver.org EXPERT ENVIRONMENTAL MANAGEMENT AND PLANNING SERVICES SINCE 1991. ENVIRONMENTAL CONSULTANTS SMEI is the worldwide professional association for sales & marketing. VANCOUVER TORONTO pggroup.com VRCA News Supplement C11 Business in Vancouver October 11–17, 2011 Building permits showing increase B uilding permit values in the Lower Mainland-Southwest region are up so far this year, led by increases in both the residential and non-residential sectors, according to the Vancouver Regional Construction Association’s (VRCA) analysis of the most recent Statistics Canada building permit report, which came out in September. Permit activity slipped slightly in July with declines in residential permits offset by strong non-residential activity. Year-to-date building permit values were up 10% in the Lower Mainland-Southwest region to $3.63 billion in the first seven months of this year compared with the same period last year. Non-residential permits were up 24% to $1.24 billion from $1 billion last year. Residential permit values rose to $2.38 billion – up 3% from last year. “We are seeing a resurgence of interest in the commercial market which bodes well for the local construction industry,” said VRCA president Keith Sashaw. “This reinforces confidence in the local economy and the overall growth underway in Metro Vancouver’s private sector. Total building permit values in the region slipped 4% to $577.7 million in July from $602.2 million in June 2011. Non-residential permit values shot up 40% to $229.3 million from $163.3 million in June, while the value of residential permits fell back 21% to $348.4 million from $439.02 in June “Building permit values in the Lower Mainland-Southwest region held fairly steady in July compared to June,” said Sashaw. “We aren’t concerned about the small July declines. Monthly volatility is a strong feature of building permits.” Metro Vancouver’s commercial real estate sector is generating more investment opportunities due to improved market conditions, according to the VRCA. Commercial permits during July were at their second-highest level this year. Seasonally adjusted, total building permits in Metro Vancouver held steady with a 1% decline to $520.9 million in July 2011 compared with $527.7 million in June. The permits outlook for 2011 is mixed with fewer public permits but more private activity, says the VRCA. Public permits increased in July but declines are expected with government stimulus programs winding down and fiscal budget consolidation ahead. With more than 700 members, the VRCA is British Columbia’s largest and most inclusive regional construction association. It represents both union and open-shop general and trade contracting companies, manufacturers, suppliers and other professionals throughout the Lower Mainland from Hope to Whistler. u Tenants prefer “green” buildings A report carried in a recent Light House Ma r ke t In s i g h t s quarterly report by Light House Sustainable Building Centre contains some interesting facts and figures concerning green commercial buildings. It points out that a 2010 survey conducted by GE Capital Real Estate has found that 52% of Canadian tenants are strongly influenced by green building initiatives when renting commercial real estate property. The survey interviewed 2,220 office tenants from the U.S., Canada, France, Germany, Sweden, the U.K., Spain and Japan. Canadian tenants showed a slightly higher concern for green building initiatives than the international average (50%). Savings in operating expenses and energy costs associated with high-performance buildings, as well as evidence that certified buildings achieve higher rental rates compared to their noncertified counterparts are all driving the trend to more green certified buildings. Unfortunately, says the report, like so many such surveys, it does not gauge whether tenants are willing to pay for these initiatives and, if so, how much. Despite increased awareness of the linkages between a healthy indoor environment and productivity, evidence shows that cost will generally prevail over quality. These findings, says Light House, also expose emerging concerns about whether Cana- da’s building operators are sufficiently qualified and supported to meet increasingly exacting demands of building owners, managers and occupants, particularly in cases where performance accountability systems are in effect. u At WesternOne, We’re Your Guys 100% Western Canadian Company In a world where customer service is often compromised for price, we know it’s hard to find a company that is able to provide you with top notch service whenever you need it. At WesternOne Rentals and Sales we always follow through when it comes to equipment rentals and superior customer service. With friendly, familiar faces, our professionals are here to help and serve you 24/7, with a smile. We guarantee you’ll be impressed — Please give us a call. Call: (604) 451-WEST (9378) Visit: www.WesternOne.ca WesternOne Rentals & Sales Inc - Centres Across Western Canada Head Office Port Coquitlam 604 945 5004 Victoria 250 386 1371 Saanichton 250 652 2311 Comox Valley 250 339 4518 Burnaby (604) 451-9378 1156 Kingsway Port Coquitlam, BC Canada V3C 3Y9 2946 Bridge Street Victoria, BC Canada V8T 4T3 2200 A Keating X Road Saanichton, BC Canada V8M 2A6 662 Anderton Road Comox, BC Canada V9M 2J3 5744 Byrne Rd Burnaby, BC Canada V5J 3J3 C12 VRCA News Supplement Business in Vancouver October 11–17, 2011 Denis Brown joins GovanBrownSzeto’s new Constructors Division as their Senior Construction Manager. Denis Brown heads up the new sector within GovanBrownSzeto - Constructors which provides Construction Management and General Contracting for new buildings, renovations and complete developments. Denis is a seasoned professional Construction Manager drawing from over 40 years of design+build experience with former developers and companies such as Ledingham and Dominion Construction. His most recent major project management accomplishment was the successful completion of “Starlight” Casino for Gateway Casinos. Musqueam Cultural Pavilion FOCUSED ON CLIENT SUCCESS, WE RAISE THE SERVICE BAR. WE RISE TO CHALLENGES AND WE DELIVER. Construction Management & General Contracting for Residential, Commercial, and Institutional projects. BUILDING IN SYNC | www.syncraconstruction.com Canada is not alone in facing shortages Australia aggressively recruiting skilled labour By Brian Martin T here is no doubt about it: a looming shortage of skilled workers is among the most serious problems facing Canada’s construction industry. The industry, along with the federal government and provincial governments, maintains future manpower shortages as a topic priority as thousands of baby boomers begin to retire and leave their jobs behind. Canada and British Columbia are not alone in this problem, of course. It is something being faced by many western economies. The competition between areas and nations for skilled workers has begun to heat up and is likely to get considerably warmer in the very near future. Canada will find itself competing head to head in the global marketplace for the men and women it will need to sustain its economic activity. One of our “competitors” is likely to be our sister Commonwealth nation, Australia. The state of Western Australia (W.A.) has become particularly active. Western Australia, with a population of only 2.3 million people, covers nearly a third of the country. According to HR magazine, published in the United Kingdom, Western Australia has recently been very active recruiting workers in Britain. Its activities are likely of interest to employers in this country. Recently, the state’s workforce development minister, Peter Collier, led a 10-day U.K. tour. Research carried out by the W.A. government shows the state will need to recruit as many as 150,000 skilled workers by 2017. In remarks that sounded like an echo from the B.C. construction industry, the minister said hiring local residents will not be enough to fill the gap. Again, just as in Canada, the need for skilled workers covers virtually every industry in the state including construction where some 20,200 new workers will be needed. Construction will be competing with many other economic activities such as hospitality and tourism, transportation, etc. “W.A. is facing a period of strong economic growth, creating sustained, long-term career opportunities particularly in the mining and resources sector,” said Collier. “With more than $225 billion [Australian] of resource and infrastructure projects planned, W.A. is on the cusp of a 25-year expansion, which, it is hoped, will drive forward the state’s economy.” Travelling with the minister was Kath Soumanis, regional HR manager in W.A. for the large Australian construction firm John Holland. That company, which employs 7,000 people across Australia, plans to recruit another 3,000 to 5,000 people over the next five years. “Western Australia is facing a period of strong economic growth” – Peter Collier Western Australia Development Minister The company has put plans in place to assist emigrants from the U.K. in moving to W.A. and setting up home there. “We know some areas we visited, such as Aberdeen and Dublin, have significant unemployment, and in those areas, jobseekers are more likely to have the skills we need,” said Soumanis. The Australian federal government has introduced rules making visa applications more flexible to speed up the immigration process. A temporary visa can now be obtained in a week. u » BIV LISTS NOW UPDATED WEEKLY and 33% bigger – our downloadable Book of Lists includes the most recent version of every list BIV compiles. 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Visit www. westerninvestor.com Prime Minister Stephen Harper in Whitehorse: new agreement could boost resource income 10-fold on sale now www.westerninvestor.com 604-699-8500 VRCA News Supplement C13 Business in Vancouver October 11–17, 2011 Constructive Comment Legal Specs Streu Keith Sashaw F or the last two months, there have been more people employed in construction in the Lower Mainland Southwest region than there were at the peak of construction activity before the economy took a nose dive in October 2008. In 2010, building permits have been tracking about the same level as in 2006, which was the period before the overheated and relatively unsustainable flurry of activity that characterized 2007 and half of 2008. Building permit activity has increased from the low of less than $200 million in January 2009 to around $550 million for the last three or four months. Total non-residential investment spending climbed from a low of $400 million per quarter in 2003 to reach a peak of just under $900 million in Q1 of 2008. It subsequently plunged to a low of under $600 million in Q2 of 2010 and has come back to $740 million in the last quarter. Looking at these figures, one would think that there would be a sense of buoyancy and contentment in the construction industry. Yet, speaking to many in the industry, there remains a sense of foreboding. While many are cautiously optimistic, there is a feeling we are still not out of the woods. Why would this be? I would suggest there are a number of reasons, all of which amount to the construction industry facing a significant quantum shift in the way it should b e approaching business. markets and develop expertise in areas they never had to master before. Second, there have been a number of large global players coming into the Vancouver scene. Recently I had two calls in one day that were indicative of this development. One call was from the largest construction company in the United States with $9 billion worth of activity in 2010. They have Now, however, as we start gearing up for more activity, the upcoming skilled labour shortages will make those of the past look like a cake-walk recently opened a Vancouver office and want to become more involved w ith our association. M e r e h o u r s l a t e r, I received a call from the largest construction company in France, which did €32 billion. It is also interested in becoming active in the VRCA and the local construction market. Clearly these companies are attracted by the fact that in spite of the doom and gloom, B.C.’s economic outlook is one of the best in the global economy. B.C. has been attracting Keith Sashaw is president of the Vancouver Regional Construction Association. Hirst A noteworthy decision was recently handed down by the Supreme Court of British Columbia on the importance of complying with mandatory instructions in a tender. In this case, a roofing construction company’s bid was found to be non-compliant because the contractor, Admiral Roofing Ltd., (“Admiral”) showed up 15 minutes late for a mandatory site tour. The defendant, School District 57 in Prince George (the “School Board”), had initiated a tender process for a construction contract dealing with roofing for two buildings. The tender documents indicated that a mandatory site tour would be held at 8 a.m. at the first of the two buildings and would be immediately followed by a tour of the second building. The tender documents further stated that the failure to attend the tour would lead to the non-acceptance of a subsequent bid. On the day specified, Admiral’s representative arrived 15 minutes late for the tour. By that time, the tour had already left for the second building. Admiral’s representative joined the tour at 8:27 a.m. at the second building. He was asked by a representative of the board if he wanted to go back to inspect the first building. Admiral’s representative declined and stated that he would inspect the first building another day. At 9:45 a.m. the same day, Admiral was advised by the board’s purchasing manager that Admiral was no longer able to submit a bid because Admiral was late for the tour. In defiance of the board, Admiral completed a tour of the first site, prepared a bid and submitted it to the board. The board refused to open the sealed bid and it was not considered. The board awarded the roofing contract to the only other company to submit a bid. Admiral argued at trial that because it attended the site tour, signed its name and later returned to visit the first building, it had complied with the mandatory site meeting provisions. Admiral further argued that the mandatory site meeting clause was ambiguous in that the clause did not say that a potential bidder had to “attend the entirety of ” a site tour, but merely that a potential bidder was required to attend at a site tour The court did not accept either argument, finding that it was very clear that attendance was required at both locations of the mandatory site tour which was to start at 8 a.m. on the day specified in the tender documents. Finally, Admiral argued that its failure to attend on time was a technical irregularity that should have been waived pursuant to the clauses in the tender documents that gave discretion to the school board to waive irregularities. The court rejected this argument on the basis that the breach in this case was more than a mere technicality although it noted that had Admiral arrived five minutes late but attended both sites such a breach would be considered a mere technicality. Representative’s late arrival for site tour killed the tender While the decision seems rather harsh, the court’s reasoning on this point was that a restrictive interpretation of discretion clauses is necessary in order to respect the mandator y requirements of the instructions to tenders and thereby protect the tender process. In other words, where a procurement authority includes mandatory language in its tender documents, the court, where it can, will interpret such language strictly so that all bidders can be assured that they will be treated equally. u Norm Streu is the chief operating officer of the LMS Reinforcing Steel Group and former chair of the Vancouver Regional Construction Association. Chris Hirst is a partner and the leader of the Construction & Engineering Group, Alexander Holburn Beaudin & Lang LLP. We Make Your Buildings Work Better Fewer opportunities First, there has been a breaking down of the silos in which the industry operated prior to 2009. Until the 2008 downturn it was typical that construction companies would operate in niche markets, such as residential, industrial, commercial, highrise residential and institutional. With the financial crisis, there were fewer construction opportunities, requiring construction companies to look beyond their niche markets. Home-builders moved into non-residential, companies specializing in institutional projects moved into industrial, companies that specialized in mega projects looked at more modest projects. This resulted in a hypercompetitive environment in which owners were getting 20 bidders on a project as opposed to the three or four they were receiving in 2008. Construction companies have had to diversify their major international companies for several years, and these last two examples are signs that the trend is continuing. These new entrants into the B.C. construction scene will bring with them new approaches to doing business, greater financial capacity and possibly some resources that are unique. The fact is they are here to stay, and B.C. construction companies will have to reexamine their business models to figure out how to deal with them. The third force bearing down on B.C. construction companies is the looming labour shortage. We all remember the clarion cries in 2007 and 2008 about the disturbing lack of skilled labour. Well, the economic malaise provided a respite from the problem. Now, however, as we start gearing up for more activity, the upcoming skilled labour shortages will make those of the past look like a cake-walk. The astute construction companies are already looking at how they are going to retain and recruit the best available talent, not only on the tools but in every management and supervisory position in their organization. In future columns we will look at some other factors facing the construction industry and how companies can possibly deal with the winds of change that are buffeting them now. u We Make Your Buildings Work Better the right results. the best people. Designing building solutions to optimize indoor environments while reducing operating costs with a broad portfolio of Designing building solutions to optimize indoor energy efficient heating, ventilating and air conditioning environments whilebuildings. reducing operating costs systems for commercial with a broad portfolio of energy efficient heating NEW EQUIPMENT | GREEN TECHNOLOGIES | OPTIMUM CONTROLS ventilating and air coditioning systems for Designing building solutions to optimize indoor environments commercial buildings. while reducing operating Locations across Canada costs with a broad portfolio of energy efficient heating, ventilating and air conditioning www.trane.com systems for commercial buildings. N e w e q u i p m e N t | G r e e N t e c h N o lo G i e s | o p t i m u m co N t r o l s NEW EQUIPMENT | GREEN TECHNOLOGIES | OPTIMUM CONTROLS Debra Lummas Senior Account Executive take the plunge. www.swimrecruiting.com Engineering Recruitment Specialists Chemical Construction Energy Environment Manufacturing Mining Pulp & Paper Civil Electrical Geotechnical Instrumentation Mechanical Structural Permanent Search Contract & Temporary Staffing 604-473-5600 Locations across Canada www.trane.com www.trane.com Swim Recruiting also specializes in the fields of Accounting & Finance HR Information Technology Marketing & Sales Professional Services C14 News Supplement BusinessVRCA in Vancouver January 11–17, 2011 Business in Vancouver October 11–17, 2011 VRCA News Supplement MajorAconstruction projects in British round the Industry Columbia continue record-setting pace T D Brian Martin he list of major projects on’teither forget under to get active your consideration reservations or in theinprocess now forof thebeing Vanbuilt continues to hit record couver Regional Construction levels. Association’s Awards of ExcelThe projects tracked by lence dinner andare presentation. the provincial Time is almost government’s up, and there Major Inventory. It are onlyProjects a few tickets left. The lists allisprojects over19 $20atmilevent on October the lion Vancouver in the Lower Mainland new Convention and over million elseCentre. For$15 reservations, call where in the the VRCA at province. 604-294-3766. represents TheThis competition was“continparticuued good news” for the larly intense this year, andconthe struction industry, Keith ceremony promisessaid to be an Sashaw,one. president of the Vanexciting couver Regional Construction Association. Wood-frame construction T h e S ep tem b er 2 01 0 Wood-frame construction report showed 956 major continues to be a very controconstruction planned versial topic inprojects the construction or underway, the highest industry. The government’s number ever. The projects move to allow wood-frame had an estimated value of construction on buildings up $197.7 billion.isThe provinto six storeys being hotly cial government out debated. It is beingpoints criticized the figure isbyfour times the particularly the BC Readyvalue of construction projMixed Concrete Association, ects inwith 2001.several The number of along fire and projects planned or underway safety groups. wasLast up 8% and the was month, the value province up almost 5% over Septemreleased a new guide, saying it ber 2009. builds on industry knowledge Provincial Minisgained over theFinance past decade to ter Colinthe Hansen it was enhance qualitysaid of woodencouraging to see strong frame multi-unit residential major construction numbers buildings. given current economic Thethe government says The Building Closure Design Guide – Wood Frame Multi-Unit Residential Buildings offers practical solutions to help ensure that new residential buildings are well built. wIt can be purchased for $70 from the Homeowner Protection Office. Contact hpo.bc.ca. B.C. road builders in-house costs to external bids.” He says a municipal auditor could ensure that decisionmakers are “comparing apples to apples” and supporting local businesses. “Contracting out work to as its new executive director. She replaces Helen Goodland, who will continue to work with Light House when she joins the board of directors. Founded in 2005, Light House is a not-for-profit company at the forefront of green building activity. It provides research, advisory and project management services to businesses, policy makers and the real estate and construction industries. B efore joining Lig ht House, Casavant was president and CEO of Eco Industrial Solutions Ltd., a planning and engineering consulting group that specializes in industrial development and eco-industrial parks. Light House, which is located in offices on Granville Island, has plans to expand into Alberta and Ontario. professional quantity surveyor status. The role of the quantity surveyor is to manage and control costs within construction projects. The agreement is the culmination of work that began in March of 2009 involving the Canadian Institute of Quantity Surveyors, the Vancouver Regional Construction Association (VRCA), the Quantity Surveyors of BC and the School of Construction and the Environment at BCIT. “The VRCA is pleased with this collaboration, and the outcome is an excellent example of what happens when industry works together with other July professional Between and organizations and educational institutions to improve stanSeptember 2010, the dards and qualifications,” said VRCA president Keith capital cost of all Sashaw. u major projects under construction inon British PCL starts work Columbia was estimated pre-trial centre at $61.7 billion The BC Road Builders and professionals in the Heavy Construction Association has decided to wade into road building and ork is underway on the alligator pond filled with an expanded $90 milthose for and those against the road maintenance lion pre-trial centre in Surrey. provincial government’s plan PCL Constructors Westcoast to create a municipal auditor business may be is the general contractor on general. BCIT degree program the job, which is a publicJack Davidson, president one way of offering expands private partnership. of the association, has issued Thanks to a new agreement, The 216-cell project will a release saying that by worktaxpayers more British Columbia Institute more than double the centre’s ing with municipalities and New Port Mann Bridge project is among the record-setting number of major construction projects underway in British of Technology (BCIT) stuexisting capacity. Construcimproving systems, a municivalue for their tax Columbia dents who successfully com- tion is expected to create 200 pal auditor general’s office plete the quantity surveying to 500 construction jobs and would act as an effective single dollars” circumstances. Pharmaceutical Science about by the500 $80person-years million Osprey of the construcof point of contact for taxpayers between July and Septem- modules “Major projects like the ber of 2010, the highlights Building at the University master planned community – Jack Davidson, tion management degree employment over the projand businesses. proposed $43 million West of Britishwill Columbia; in Pitt Meadows; and president, program be steps closer ect’s anticipated two-year “Contracting out work to included: Kelowna rapid busroad expansion major proj- to •the capital cost of all major span. •since Septemberis2006, all BC Road Builders being registered profesCompletion set for professionals in the build- •twenty-two and and the start construction ects started projectsquantity under construction regions and Heavyconstruction. Construction sional surveyors late 2013. have experienced ing roadofmaintenance on the BC Cancer were the (PQS). in B.C. was in Partnerships total project Association The estimated graduatesatof$61.7 this increases Brookfield business may be oneAgency way of The largest of these Centretaxpayers for the more North in $500 million River Green course billion;will be accredited by Surrey numbers, with increases entered into a fixedoffering value Prince support jobs residential development the •twelve major projects comof 114% in the Nechako, Canadian Institute of price performance-based for theirGeorge tax dollars,” he said. and investmentan throughout i n Ri ch m on ddirector , t h e $ 17 0 Quantity pleted construction, larg- partnership 100% in theagreement Cariboo, with 73% executive Surveyorsthe to have “Maintaining in-house New our province,” said Hansen. million Mount Lehman est of which was the Canexus in the Northeast and 34% in crew is expensive, and this Light House Sustainable completed the necessary edu- the province to design, build, According to the latest ShoppingCentre Mall in manufacturing plant upgrade the Thompson-Okanagan hasAbbotsnamed cational requirements sub- finance and maintain the cenis not always calculated into Building Major Projects Inventory, Tracy ford and the $133 in North Vancouver, followed region. Casavant MESmillion P.Eng. ject to a final test to get their tre over a 30-year operating the costs when comparing W term. Theproject Major Projects InvenThe is designed to tory also included 47 clean achieve LEED gold certificatechnology projects an tion, the highest level with of susestimatedever valueachieved of $17.2inbiltainability a lion, such facility as the proposed correctional in British $500 million Metro benefits VancouColumbia. Expected ver waste-to-energy incinerafrom the design include an tion facility and a environproposed improved working $120 million James ment for staffFort andSt.lower green energy operating costsproject. over time as feaThe of inventory a result reducedalso energy tures 101 projects thatuse, are consumption and water certified or are aiming to be abundant natural light and certified under recognized improved indooraair quality. green sysThe building projec t rating w il l also tem like LEED innovations (leadership deliver numerous energyand and environmeninindesign surveillance. talThe design) or Green Gables, expansion is the censuch as the General trepiece of Kelowna the province’s Hospital andplan Vernon Jubilee $185 million to expand Hospital expansions correctional facilitieswith anda total estimated cost of $433 accommodate a growing million.population. ◆ u remand Insuring and Bonding Your Success! 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ACCEPTED INSPECTION FIRM FOR THE RCABC AND MEMBER OF RCI www.iprc.ca [email protected] ph. 604-576-5740 fax. 604-576-5790 201 - 19232 Enterprise Way, Surrey, BC V3S 6J9 C9 Contact our team: Ron Dekanich, John Vickerstaff, Steve McConnell Tel: 604.294.1236 Fax: 604.294.1470 www.networkbis.com 333 Terminal Avenue, Suite 802 Vancouver, BC V6A 4C1 Canada I VRCA News Supplement C15 Business in Vancouver October 11–17, 2011 Provincial View Manley McLachlan T he value of a healthy trades, it is reasonable to expect construction industry a large exodus from the workto the economy can- force due to retirements over not be overstated. Without it, the next decade. the infrastructure needed to A significant number of allow the expansion of other those skilled workers own and industries and the support- operate their own small busiing services they attract can- nesses in communities across not be put in place. Without B.C. Many will be facing the the building blocks needed to need to develop an exit strategy support that robust industry, in the near future with little or economic growth will go south no expertise or resources. in a hurry. Their children will be grown One of the most critical and, in many cases, have moved building blocks is the skilled on to larger centres offerworker. A healthy construction ing more opportunity. They industry depends on skilled might wish to keep their life’s trades to get the work done, business operating, but with no and if there are not enough to one waiting in the wings to take go around we are quickly in big trouble. As trades “Skill shortages” is not a new concept. While the urgency of businesses shut the topic has waned somewhat during the economic downturn down they also of the last couple of years, it is making a comeback. Provincial take away the initiatives such as the Northwest Partnership Trade Agreeopportunity for ment have brought renewed concerns as the industry takes young people a look at the combined level of construction activity projected to apprentice in across the western provinces and the resulting numbers of that trade in that skilled and mobile workers that are going to be needed to community accomplish the work. According to the Construction Sector Council’s forecasts, over and no resources available, B.C., Alberta and Saskatchewan they are more likely to just shut will all be experiencing signifi- it down. Not only are jobs lost cant growth in non-residential and skilled workers exiting construction activity and acute the workforce, there are other skill shortages in the coming unfortunate consequences. years. In fact, they predict that In a small community, the the three provinces together loss of a local business can have will be looking outside the a serious impact. Small towns region for about 56,000 new can only thrive if they can skilled workers between now offer essential services to their and 2019. residents. If the only plumbThe need for more work- ing contractor in a community ers won’t just arise from the closes up shop, it’s a problem. increase in activity. We are also Not only is there no one to call facing the baby boomer retire- for a plumbing emergency, as ment scenario. trades businesses shut down In the construction indus- they also take away the opportry, the average age of many in tunity for young people to the skilled trades is approaching apprentice in that trade in that MT_VAN-constrution 12/16/10 4:36 PM Page 1 50 and over. Given the physical community. requirements of many of those So, not only do the provinces need more skilled workers to complete their planned projects, the small rural communities need to attract new families and businesses just to stay alive. Finding those skilled tradespeople will include looking to underused labour pools such as women and the aboriginal community. It will require beefing up apprenticeship and selling the advantages of a career in the trades to young people. However, even after all those routes are travelled, there will still not be enough skilled workers to meet our needs. To prosper as a region, we are going to have to look to immigration as a vital avenue for growing our skilled labour force. The BC Construction Association has joined with the Alberta Construction Association and the Saskatchewan Construction Association to develop recommendations for the federal government on improving Canada’s immigration policies. Collectively we want to see the level of immigration to Canada increase, particularly among those with a trade certificate. In 2009, only 5.4% of Canada’s economic migrants held a trade certificate. Policies and criteria that enable immigration of new workers with skills appropriate to our industry need to be put in place by government. At the same time, the industry needs to ensure that the supports are there to assist new immigrants into construction careers and businesses. We believe that a collaborative approach between provincial and federal governments and the industry is the only way to go and we are actively pursuing that partnership. The clock is ticking on skill shortages. Let’s not wait for the alarm to go off. u Manley McLachlan is president of the BC Construction Association in Victoria. The VRCA welcomes the following new members Associates Halsall Associates Ltd. Lindsey Tourand 112 930 W 1st St, North Vancouver V7P 3N4 P: 604-924-5575 [email protected] www.halsall.com Structural engineering, building envelope consulting, due diligence, structural and envelope restoration, capital planning and reserve funds, energy consulting and green design General Contractors Bouygues Building Canada Inc. Clayton Welwood 1060 - 1500 W Georgia St, Vancouver V6G 2Z6 P: 604-688-9255 c.welwood@bouygues-construction. com www.bouygues-construction.com Bouygues Building Canada is a member of the Bouygues Construction Group, one of the world’s leading construction companies, with offices in Vancouver and Toronto F & M Installations Ltd. Mike Crucil 2076 Balsam Rd, Nanaimo V9X 1T5 P: 250-753-1214 [email protected] www.fminstallations.ca General electrical contractor Suite Space Projects Inc. Shannon Stange 11th floor, 1200 W 73 Ave, Vancouver V6P 6G5 P: 877-899-8770 [email protected] www.suitespace.com We design and build interior spaces through effective project management, focusing on tenant improvements, renovations, of f ice, retail and commercial. Designed with you – Built for you Trade Contractors Adanac Roofing Commercial Division Ltd. Warde Shearing Unit 120, 19358 96th Ave, Surrey V4N 4C1 P: 604-888-1616 [email protected] www.adanac.ca Adanac’s roofing professionals have years of experience with all types of residential and commercial/industrial roofing Dallas Watt Demo Dallas Watt #149-20033 70th Ave, Langley V2Y 3A2 P: 604-777-5173 [email protected] www.dallaswattdemo.ca Eagle West Cranes Charlene Barkman 2190 Carpenter St, Abbotsford V2T 6B3 P: 800-667-2215 [email protected] www.eaglewestcranes.com Holland Roofing Services Mark Kitchen 255 2416 Main St, Vancouver V5T 3E2 P: 604-685-8688 [email protected] www.hollandroofing.ca Commercial, industrial, residential roofing and waterproofing. Low-slope roofing – SBS membrane, EPDM, TPO. Steep-slope roofing – asphalt, cedar shake. Foundation waterproofing Lancelot Tile & Marble Ltd. Yann Lehoux 7790 Allman St, Burnaby V5E 2B1 P: 778-397-1766 [email protected] Robson Crushing & Demolition Inc. George Robson 1203 20800 Westminster Hwy, Richmond V6V 2W3 P: 604-288-8478 [email protected] www.robsoncrushing.com A one-stop company from small to large excavators to one of the largest Rammer Hammers in B.C. (G100). We have a pulverizer, mobile concrete and asphalt crusher and track dump trucks Sunwest Drywall & Stucco 2002 Ltd. Ivan Dragich 15120 Spenser Ct, Surrey V3S 5Z8 P: 604-597-3373 [email protected] steel stud, drywall and t-barr, residential towers and commercial projects The Vancouver Regional Construction Association is B.C.’s largest construction association, representing more than 700 union and non-union construction companies in the Lower Mainland and Fraser Valley. Member benefits include networking, access to construction opportunities, education, industry news and advocacy and access to the Construction Job Centre. Interested in becoming a member of the VRCA? Join now by visiting www.vrca.bc.ca or call 604-294-3766. CONNECTED TO YOUR BUSINESS. ...exceeding our clients’ expectation for service and developing relationships built on trust. Our construction and infrastructure lawyers have extensive experience in providing clients with timely and innovative legal services about: • • • • Construction and consultant agreements Public private partnerships (P3s) Procurement, bidding and tendering Project and construction management • Insurance and bonding issues • Claims avoidance and management • Dispute resolution including mediation, arbitration and litigation Striving for Sustainable Excellence For more information, please contact Owen D. Pawson: 604.643.1254 [email protected] 2011 VRCA Awards of Excellence Added experience. Added clarity. Added value. Nominee Miller Thomson LLP millerthomson.com VA N C O U V E R C A LG A R Y E D M O N TO N S A S K ATO O N R E G I N A LO N D O N G U E L P H TO R O N TO M A R K H A M M O N T R É A L K I TC H E N E R -WAT E R LO O UBC Biological Sciences Complex Southeast False Creek Community Centre C16 VRCA News Supplement Business in Vancouver October 11–17, 2011 CCA head sounds a warning Are public-private partnerships “hollowing out” industry? By Brian Martin W e’ve all read and heard stories of great chunks of concrete falling from a highway tunnel in Montreal. That city has a serious infrastructure problem. Dee Miller can tell you, however, it isn’t a problem that is confined to Montreal; it’s a problem that is nationwide and growing. By lobbying the government to change the financial component of P3s, she is determined to see something done about it. Miller is the current chair of the Canadian Construction Association (CCA). Headquartered in Ottawa, the CCA is the national voice of the Canadian construction industry. It has more than 17,000 member firms across Canada. Miller’s “day job” involves being vice-president of finance and human resources for JJM Construction in Delta. It is a family firm going back more than 60 years in this area. It specializes in heavy civil, structural and marine construction along with environmental and navigational dredging. Over the years, the Miller family has grown the company from a backyard operation to a firm JJM Construction of Delta is a 60-year-old family enterprise that is involved with the South Fraser Perimeter Road Dee Miller, chair, Canadian Construction Association doing in excess of $40 million per year. “Among the biggest challenges facing the economy is renewal of our infrastructure,” said Miller. “So much of our infrastructure was designed and built in the 1960s or even the 1950s. It was built for a population of 20 million people, not the 34 million we are today or the 40 million we will be by 2020.” The result, she says, is obvious to all of us. We see it in the form of crowded roads in poor condition, obsolete health facilities and a shortage of care facilities for an aging population. One of the first challenges, Miller points out, is that the country really doesn’t have a handle on just how large a problem it is facing. The CCA is in the process of correcting that. It is conducting an audit from coast to coast with the Federation of Canadian Municipalities to discover how much infrastructure the nation has, what condition it is in and what it will cost to retrofit or replace where necessary. That study has already been started. The first phase, to be published in January of 2012, will focus on heavy civil projects – primarily roads, bridges and water and sewer lines. When that is done, the plan is to repeat the exercise for “vertical” construction – in other words, government-owned buildings. The CCA’s job has been made easier, she points out, by We are proud to recognize the following companies for their participation in developing the Excellence in Sustainable Construction (ESC) program: Flynn Canada Gerry Enns Contracting Lark Group Scott Construction Group Western One Rentals Thanks to all for your heroic efforts in ensuring this program is of the highest standard. recent accounting procedural changes which require Canadian municipalities to list their infrastructure on their balance sheets. They must show what state it is in and put a value on it. “This is an opportunity for us to accumulate the infrastructure data and create a benchmark,” said Miller. “Then we can track it – are we losing or gaining?” Miller points out that the federal government in its last budget committed to infrastructure renewal. The CCA, she says, wants to be at the table with all other stakeholders when it comes time to discuss that. A growing trend – particularly in British Columbia – is to finance infrastructure projects using public-private partnerships. They are nor- mally called P3s. Generally, under a P3, a private consortium is contracted to design, build, finance and operate a public facility. Normally the contract will cover a period of 25 or 30 years after which the facility reverts to government ownership. Governments have often found this to be a very efficient way to provide infrastructure, and Miller says the CCA has no quarrel with the P3 concept. It does, however, worry that the way P3s are currently constituted may hurt the homegrown Canadian construction industry. So far, they have worked only for a handful of very large Canadian construction firms. Ninety per cent of the Canadian construction industry, however, is made up of small and medium-sized firms. The problem is in the financing component of the P3s. Traditionally, Canadian general contractors have depended on bonds purchased from the bonding industy for financial backing for projects. P3s don’t use bonds in the same way. They require letters of credit – cash from recognized financial institutions. Often P3s require 10% of the cost of a project covered by money in the bank. On a very large project, that can amount to hundreds of millions of dollars. Most construction companies in Canada are not financially large enough to play in that arena. The result is smaller Canadian construction companies are either shut out of P3 projects in favour of very large, often offshore, consortiums or, at best, they are reduced to being subcontractors working for those consortiums. “As an industry we are lobbying for the government to consider other methods so Canadians aren’t left out of the P3 game,” said Miller. She has several areas she would like to see the Canadian government study, such as allowing performance and material bonds to back P3 projects just as they have always underpinned other construction projects. She even suggests that Ottawa launch a Canadian infrastructure government savings bond program that ordinary citizens could buy into. It would be targeted specifically at renewing the nation’s roads, bridges and buildings. “If governments plan to solve our infrastructure deficit by predominantly using the public-private partnership process as it is currently structured, they will literally hollow out the Canadian construction industry,” she warned. Considering the CCA estimates that construction in Canada employs some 1.26 million people and accounts for 7% of Canada’s gross domestic product, that is no small issue. u STEELS. FOR ALL YOUR CONSTRUCTION NEEDS Come to Steels for the best brands in the business. 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