Master Builder Victoria November December 2018 by News Corp Custom Publishing

At least you can rely on a HiAce, come Monday. Whether it’s a hard week’s work or weekend of adventure, Toyota HiAce has the grunt to keep up, no matter what building project you’re on. Now’s the time to buy through your Master Builders Association membership. You’ll get a Gold Fleet discount of $3,450 on any HiAce.*

TFM2077 MBA VIC 09/18 T2018-010919

* Oﬀer available on any HiAce model, purchased by 31/12/18 unless extended.

Master Builders Association membership details required to redeem Gold Fleet Discounts.

toyota.com.au/fleet

MASTER BUILDERS VICTORIA

A WORD FROM THE EDITOR

Observing from the shadows

ecently, I spent the morning shadowing a small delegation of construction administrators from Malaysia as they toured the Building Leadership Simulation Centre in South Melbourne (See ‘BLSC: the international appeal of immersive training’ page 26). Basically, they were shopping. This was their third visit to the BLSC, inspecting it as a potential investment of their own in Kuala Lumpur. I was there to take photographs to use for a social media post later on. I’d been to BLSC tours before and, believe me, they are hard to photograph in a way that makes them appear interesting. Everybody looks uneasy, nervous. But that is by design. Visitors look awkward at the BLSC because they know they’ll be pushed outside their comfort zone. They’ll be confronted with something that causes stress and requires a reaction. That’s the whole point of investing in the immersive training experience; there is no place to hide, and the only way out is to go forward and try a different way of doing things. And in spite of the slight discomfort they are experiencing, the visitors smile—for two reasons, I think. First, they know this is just a simulation, not the real thing, and they are grateful for it. It’s the smile of relief. Second, they are, on some level, having fun learning something new. They’re amused and entertained by the act of learning. This is the smile of discovery, and it’s the more valuable of the two. As a training organisation, this is where we have a distinct advantage over others. Incidentally, if the idea of becoming a trainer with Master Builders appeals to you, flip to the

article ‘Top-performing RTO needs more top trainers’ on page 36. It was written for you. Training at Master Builders is forward-focused, that’s for certain. It may not be conducive to great photographs, but it does lead to sharper skills, greater marketability, a higher level of preparedness for the future and, for us, a stronger record of completion than other training providers in building and construction. That’s great value for the industry. (That Malaysian delegation thinks so, too, apparently. They liked what they experienced so much, we’ve been asked to tender a proposal to create a training centre for them.) Peter Sackett Editor

MASTER BUILDERS VICTORIA

Contents FOREWORDS 01

A WORD FROM THE EDITOR

PRESIDENT’S FOREWORD

GUEST FOREWORD

INSURANCE Online fraud revisited

34 GREEN LIVING Dr Phil Alviano looks at the winning homes

Sally Capp, Lord Mayor, City of Melbourne

36 TRAINING Top performing RTO needs more trainers

REGULARS

38 OHS Certification does not guarantee compliance

NEWS ROUND-UP

SOCIAL PAGES

MEMBERSHIP

DIRECTORY

WHAT’S NEW

47 MAKING USE OF MASTER BUILDERS MEMBERSHIP

FEATURES 12

CEO RADLEY DE SILVA Moving on after 17 years

WHAT THE PARTIES TOLD US

Simon Arcus summarises political party responses to the big issues

2018 MASTER BUILDERS EXCELLENCE IN HOUSING AWARDS

All the state winners

THE INTERNATIONAL APPEAL OF IMMERSIVE TRAINING

Malaysian delegation visits BLSC

Produced by Newscorp on behalf of Master Builders Victoria EDITOR: Peter Sackett EDITORIAL LIASION: Josie Adams DESIGNER: Josie Adams, Angela Caroll

NEW MEMBERS

MASTER BUILDERS VICTORIA

PRESIDENT’S FOREWORD

Reflecting on our culture of performance and service

riday 12 October was the night-of-nights for our residential builders at the Excellence in Housing Awards at Crown Palladium in Melbourne. I was thrilled to be there to celebrate with 800 builders, home owners, sponsors, guests and judges, recognising the outstanding work of our members. I enjoy the Housing Awards immensely as they showcase what is essential to each and every one of us – a home to live in and that suits our needs. We are lucky to have such a broad range of products to choose from for a new build or renovation, all built to the high standard we deserve. Looking out at the audience, I was struck by the fact that every person in the room was a part of the build process in some way. I made a couple of observations over the evening. The first was how many new builders’ names were among the entrants. This is pleasing, as it shows the strength of the industry and reaffirms that Master Builders is serving our members well by providing the advice and guidance required to maintain a strong business. This was also reflected in the acceptance speeches. The second was how many builders had brought clients along to see if their project was a winner. I chatted to a number of clients who were proud of their homes and proud of their builders for achieving such a great outcome. Both the builders and clients recognise that the build process is challenging. That includes design difficulties, ever-increasing regulatory burdens, sourcing the best trades for the job and finishing the build on time. But every conversation I had underscored for me that if the builders and clients maintain open communication these challenges can be easily overcome. Congratulations to the award winners that you see in this edition. The winning projects always make a strong impression. CBD Contracting’s top-prize project was a geometric home in Brighton with copper screens and catenary wires that envelop the home. It’s a work of art and a practical house build in one. Our regional quality was on show as well. Todd Newman Builders took out the award for Regional Residential Builder of the Year for a home in Bendigo. We also named Nick Lonsdale as Young Builder of the Year. Nick’s award celebrates emerging talent. In some ways it’s more important than ever to recognise that quality counts at a time

when most of us are challenged by skill shortages. It was our CEO Radley’s last awards night, and after 17 years of service to Master Builders his tireless efforts and enthusiasm in leading Master Builders to drive our vision to be the leading industry association and to have such a strong voice in the industry should be recognised. At the end of a busy year, I thank the Master Builders team for their hard work too. My term as President is nearing the end, so I wanted to express to you all that one of the highlights has been to meet so many members at our trade nights; apprentice, regional, housing and commercial awards; committee meetings; smaller focus groups and our regional offices. Every member has provided constructive feedback to keep us focused on serving their needs. This is essential for us to strive towards our vision, mission and sustain our values. I also want to acknowledge the work of my colleagues in our Council of Management, Board and Sector Committees during my time here who have helped us to deliver on our objectives. One of the most important things about your Master Builders membership is that you have personally committed to be part of a professional association founded for you as the peak body of the industry. Master Builders’ key messages are about quality and professionalism in building and construction. In a way, the awards we hold are just an example of our whole philosophy. On the back of your commitment we have also built diverse products and services for members of all kinds. Even as we see a change of CEO and President, it is reassuring to know that the aspirations expressed in our founding principles endure, even after 143 years. Melanie Fasham President

MASTER BUILDERS VICTORIA

GUEST FOREWORD

Melbourne’s growth means exciting opportunities

ustralia’s major cities are in the midst of a massive transformation and none more than Melbourne which is our nation’s fastest-growing city. Our soaring residential population has led to one of the largest construction booms since the Gold Rush and by 2035 it’s predicted our population will overtake that of Sydney. Living in the city centre, surrounded by our diverse restaurants and bars, enchanting laneways, entertainment venues and much-loved Melbourne icons such as the Queen Victoria Market and State Library, is the choice of thousands of residents from millennials to retirees. More than 15,000 new dwellings have been added to the CBD in the last 10 years – that’s around the same size as the town of Warrnambool. There are now more than 83,000 dwellings in the municipality, including 28,000 new residential apartments built in the last decade. Our economic success is clear, with Melbourne now accounting for almost a quarter of national GDP and our municipal economy worth $94.96 billion. Our powerful economy has played a key role in attracting more people to our city but just as important has been our city’s warm community spirit and exuberant street life. All of this means it’s an exciting time to be Lord Mayor of a forward-looking, optimistic capital city council and we want to grab this opportunity with both hands and make the most of it. We know that with such growth come challenges, including increased congestion and pressure on the infrastructure and services our residents and workers expect. By 2050 our city will double in size so it’s important to maximise the benefits of good growth while minimising the pressure points. We need integrated land use and transport planning to create a city for people. What we build at street level sets the level of activity and engagement for our daily community of almost one million workers, residents, students and visitors. It’s vital we make the needs of our diverse communities at the forefront of future planning decisions, including how we make the most of urban renewal areas on the

doorstep of the CBD. All levels of government – local, state and federal – also need to collaborate and work in partnership to plan for the future. This collaboration is crucial when it comes to planning Fishermans Bend, Australia’s biggest urban renewal project which is expected to provide 80,000 jobs and 80,000 residents by 2050. We need to ensure that we lead with infrastructure first to make these new neighbourhoods places for people. If we don’t link Fishermans Bend with key services including public transport, development may be delayed and investors left unsure of the true viability of the renewal project. Another incredibly important priority when it comes to good planning is looking after our community’s most vulnerable and providing a range of housing options to help reduce the number of people sleeping rough on our streets. Building spaces for jobs must be balanced with building homes for our growing and diverse residential population. While we focus on new developments, we’re also working to preserve our past. The City of Melbourne is completing the most comprehensive review of heritage buildings within the Hoddle Grid since the 1990s and recently interim heritage overlays were announced for 65 individual sites, two group listings and nine precincts within the CBD. We’re immensely proud that these sites will be afforded heritage protection because they’re important to Melbourne’s culture and identity and add significant value to our present and future. This is just one way we’re working to get the balance right, so we can continue to embrace growth. Yes, catering for Melbourne’s increasing growth is a major challenge but it’s one we are excited about. This is our big opportunity to shape a very prosperous future for our caring community. Sally Capp City of Melbourne Lord Mayor

IF ONLY THEY KNEW... Meet Ed and Sarah. They love their home and recently retiled their balcony. The job was perfect and they were thrilled. But 1 month later, they started to get leaching so they had their tiles professionally cleaned. The efﬂorescence returned so they cleaned it again. And again, and again.

IF ONLY THEIR BUILDER OR TILER HAD RECOMMENDED EFFLOCK

ENSURE CUSTOMER HAPPINESS FOR ONLY $4/m2* RECOMMEND EFFLOCK

Efﬂock is an advanced additive that prevents migration of calcium hydroxide and other salts that cause efﬂorescence.

For stockist or technical enquiries:

It works by impregnating mortar to provide a hydrophobic function that is unaffected by building movement or traffic wear. When added to screed, tile adhesive and grout, Efflock provides a primary water barrier and is proven to be a reliable solution for preventing efflorescence.

www.efﬂock.com.au Ideal in brickwork and render to prevent efﬂorescence, rising damp and salt attack

*AUD based on RRP for a 20 litre drum when used in a 40mm screed, tile adhesive and grout.

MASTER BUILDERS VICTORIA

FROM THE EDITOR

By Peter Sackett, Editor

Looking back and moving on CEO RADLEY DE SILVA REFLECTS ON 17 YEARS WITH MASTER BUILDERS VICTORIA

r de Silva has been at the helm of Master Builders since August of 2013, but 17 years with the organisation means his legacy has had the chance to set deep roots; his departure marks a significant milestone in the evolution of the organisation. His time at Master Builders started with a desire to spend more time at home. “When I came to Master Builders, I’d just left my job at the [travel company] Thomas Cook Group,” Mr de Silva recalls. “Towards the end of my time there I was away from home about 120 days a year. My intention was to take a break for six months, do nothing. I didn’t manage that.” Five weeks into his recess, during a phone conversation with then-CEO Brian Welch, Radley asked him, idly, to keep him in mind in case he became aware of anything ‘interesting’. Welch replied, “We should have

a chat.” “He was looking for a deputy, ideally one with commercial experience. There were a few changes that needed to be made.” Radley is frank about the appeal of the position. “From a purely selfish point of view, I didn’t have to travel,” he said. “I could go home at night. Master Builders was smaller and state-based, and the role was quite broad.” The learning curve also held appeal. “I had no experience in the industry,” he said. “According to my wife, I couldn’t even spell ‘builder’.” The curve was steeper than he’d imagined. Three weeks before starting the new job, HIH, the major insurance provider to the building industry—and the only one available for Master Builders members—collapsed. “You can imagine the turmoil,” Radley said. “You couldn’t build without warranty

insurance. But Brian assured me it would all be sorted by time I arrived. Well, it wasn’t, but then he said he’d field the calls coming in.” That lasted one week. “By the second week he said, ‘You’re helping take the calls.’” The flurry of communications Radley handled was an immersion in member culture; he spoke with every kind of business on the building and construction spectrum. It was a time of crisis, but “In some respects, it was the best thing to have happen for me,” he said. “I got to speak with all sorts of builders and learn what was most important to them.” “We had weekly meetings with the government, and I had some background in insurance. It took awhile, but we got it sorted and things got better,” Radley says. From the outset, Radley had set a cap of three years on his tenure in the deputy CEO role, but three years stretched into a dozen. By that time, Master Builders had taken a new

MASTER BUILDERS VICTORIA

FROM THE EDITOR

heading with a focus on financial buoyancy and endurance. “When I started here, it was clear to me this place was run like a bureaucracy,” Radley says. “That’s no criticism of Brian, mind you, but we were a not-for-profit and that was taken literally. A big part of my role was to make us more commercial.” Radley also led an evaluation of all of the member services that were being offered to see which were bearing fruit and one of the fundamental shifts was to the basic source of the association’s income stream. At that point, 60 per cent of Master Builders’ income came from membership fees. Radley set and achieved the task of reducing that burden to 30 percent within seven years. Master Builders reached that goal and, since then, the percentage of reliance on membership dues has shrunk slowly and satisfyingly to 25 per cent.

Radley’s transition to the role of CEO came at a time when he felt ready to try something different. Brian Welch had given his notice after 19 years, and, when the role was offered to him by the board of directors, “I had a talk with my wife, Caryl, about what the commitment would mean,” Radley says, “and we decided what plans of our own we needed to park for awhile. We both knew I was looking at an enormous commitment of time. Brian and I had worked well as a team, so this would be different.” From a corporate model that had all departmental managers reporting directly to the deputy CEO, Radley formed an additional tier of general managers and refined the chain of command. He also created greater room for career development and advancement within the organisation. Radley says dealing with the media was a great challenge. “I didn’t have a hell of a lot of

experience with them, but I learned quickly that I had to come up with two or three messages that I could get across to journalists and to stick with those—use them as an anchor for an interview. I’d like to think I’ve improved over the years.” Radley is quick to recognise that his achievements were possible because Master Builders has had a very long run of its own, with a great deal of momentum and respect within the industry. “The association has been here for a hell of a long time,” he said. “I think I’ve helped bring about financial viability that is much more consistent, and our variety of services is much greater,” Radley said. “We now have our financial services arm, insurance services, which has been embraced by other states, and we have Assist, and RTO with a strong training record and the BLSC, of course. Those are, I think, significant.

SUPPLY & CONTRACT GROW FOR THE LANDSCAPE INDUSTRY

N AT I V ES | E XO T I C S | S T R EE T T R E E S | G R ASS E S | G RO U N D C O V ERS I N F O @ TA L LT R E E S . C O M . A U

( 0 3 ) 5 9 8 3 01 6 6

TA L LT R E E S . C O M . A U

MASTER BUILDERS VICTORIA

FEATURE

What the parties told us Simon Arcus, Manager of Policy and Communications Master Builders, summarises responses from the Labor, Liberal and Green parties

s part of its approach to the 24 November State Election, Master Builders sought comment from the Labor, Liberal and Greens parties on a range of important building industry issues. In the coming weeks, further detail will be available for members on the views of those who might shape the future of the building industry. This article provides the flavour of the kinds of responses we received from the parties when we asked them about their positions on the issues that matter most to builders. What did the parties say about the role of local councils? Master Builders knows that members face ongoing challenges with council decisionmaking and the impact of planning decisions. We have continued to advocate for council and planning reform including streamlined decision-making processes and efficiency gains

such as ‘as of right’ codes. Government has often made decisions that make Melbourne’s urban heart unattractive to developers and residents such as imposing height restrictions on inner-city buildings, and taxes and levies. The Labor Party has rejected a one-size-fits-all approach to council planning schemes and systems and the party considers the role that councils play reflects “...the unique views of their local communities.” Master Builders’ assessment of the position is that the Labor Party is highly unlikely to either centralise planning or bring in changes that will hold councils more accountable for delays. The Liberal Party states that it recognises there is a backlog of planning decisions that hold up development unnecessarily and that drives up the cost of housing. It is calling for an adjustment to the planning system including introducing timeframes enforced by financial

penalties for regulators and authorities for unreasonable delays in land-supply delivery. Master Builders would support this pro-active approach to councils. The Greens response to our questions on local councils is that increased centralisation of decision-making has eroded the ability of communities to be consulted and heard in urban planning decisions and they add that the delays in our planning system are compounded and not just the fault of local councils. What did the parties say on housing affordability? Each party recognises that housing affordability is a key issue for voters and an economic issue facing the state of Victoria. Master Builders considers it a complex issue which calls for multiple interventions by government to try to make the

MASTER BUILDERS VICTORIA

FEATURE

home-ownership aspiration viable for Victorians. The Liberal Party has committed to a broad-ranging five-point plan for housing affordability. This consists of: ■ Speeding up the release of up to an additional 290,000 residential housing lots to help make more houses more affordable ■ Fast-tracking the completion of the planning of all metropolitan Precinct Structure Plans by 30 June 2020 ■ Fully funding a Cross-Border Commissioner, based in Mildura, to streamline cross-border issues, especially with regard to planning and regulation issues ■ Introducing timeframes enforced by financial penalties for regulators and authorities for unreasonable delays in land supply delivery ■ Introducing strict new planning rules including reintroducing the two-dwelling limit on lots in the Neighbourhood Residential Zone (NRZ), reducing the building height in parts of the NRZ, bringing back the nine-metre discretionary height limit in the General Residential Zone, and reviewing the ‘Garden Area’ rule. The Labor Party has announced Homes for Victorians, its plan to make housing more secure and affordable. The government commitment includes the Victorian Social Housing Growth Fund and as a $2 billion investment pipeline of new social housing. Over the next five years, the fund will create up to 2200 new social housing places through the construction of new dwellings and leases. Eligible community housing organisations will have access to $1.1 billion in low-interest loans and government guarantees. The Greens support all Victorians having a ‘safe, secure and affordable home.’ Their

policy view is that increasing affordable housing is best achieved through government intervention and the planning system, rather than providing incentives to industry. Green policy includes an inclusionary zoning model that makes it a condition of planning approval that all new developments include a minimum number of affordable homes. What did the parties say about industrial manslaughter? Master Builders continues to strongly oppose the introduction of industrial manslaughter laws. Effective laws are already in place to deal with reckless endangerment to life. The Labor Party has committed to creating a new criminal offence of industrial manslaughter and the Greens have also pledged to support the Labor Party’s proposal. The Liberal Party clearly diverges with the other parties on this issue. At a Master Builder’s lunch on 25 October, Leader of the Opposition Matthew Guy stated that the issue of industrial manslaughter is ‘not on the agenda’ and has given no indication a Liberal government would change the current laws relating to reckless endangerment. What did the parties say about skills shortages in the industry? One of the biggest issues facing building and construction, especially as the level of infrastructure and building activity rises, is the skills shortage that is being faced in the industry. Master Builders has proposed many solutions to this problem, not least being the establishment of a building minister who is able to deal with cross-portfolio issues relating specifically to the building and construction sector, such as skills. That’s why the commitment by the Liberal Government to

introduce a Shadow Building Minister in the appointment of Brad Battin is so important-to focus that ministerial portfolio on all issues beyond those traditional building issues. A similar commitment is not forthcoming from the other parties. There are many other problems that need to be dealt with, including apprentices, incentives for employers to upskill their workers and government funding and support for a level playing field in the VET sector. Industry Registered Training Organisations (RTOs) provide specialised training services that are tailored towards students working in the industry. When the building and construction sector delivers substantial employment for the state and when a skills shortage could affect the provision of the houses, hospitals, roads, schools and amenities that are desperately needed in our community, then the importance of building and construction RTOs is magnified. As a key construction industry RTO, Master Builders (RTO 3935) provides training courses in business management, leadership, sustainability, safety, building and compliance, industrial relations and legal requirements. In 2016/17 Master Builders was awarded the Victorian Small Training Provider of the Year. Master Builders training consistently receives above-average completion rates and satisfaction scores compared to the VET sector. Given the important role that industry RTOs like Master Builders plays in delivering vital skills for the sector, it is disappointing that the Greens and Labor Governments continue to prioritise TAFE funding above industry RTOs, thus creating an anti-competitive environment and making it more difficult for industry RTOs to operate.

2018

Master Builders

EXCELLENCE IN HOUSING AWARDS

Modern moves win big A

n audience of nearly 800 witnessed CBD Contracting Group Pty Ltd receive the award for Master Builder of the Year at Crown Palladium on Friday 12 October. CBD’s winning project, a robust, geometric home in Brighton, stands in high contrast to many of the traditionally-styled houses that surround it, with few clues on the exterior as to the arrangement of spaces and functions within. Copper screens and catenary wires envelop the home, offering distinctive-looking climate-control features, and an origami-like garage entry gives security a sculptural edge. Master Builders Victoria President Melanie Fasham presented the award, also naming Todd Newman Builders the award for Regional Residential Builder of the Year for a home in Bendigo. Master Builders Australia CEO Denita Wawn presented Lonsdale Building Group’s Nick Lonsdale with the award for Young Builder of the Year. Master Builders CEO Radley de Silva said it was an honour to acknowledge the quality work, dedication and craftsmanship of all of the winners. “The winning projects this year make a strong visual impression, and that underscores the breadth of talent to be found among Victoria’s Master Builders,” he said. “That bodes well for the very large and growing number of people in our state who need new and renovated homes.” “CBD Contracting has built a home with a monumental bearing without sacrificing the atmosphere of homelike intimacy,” Mr de Silva said. “Likewise, Todd Newman Builders has embraced a sophisticated, modern project with an intimate, comfortable scale.” “It is also rewarding for Master Builders to acknowledge the building achievements of Young Builder of the Year Nick Lonsdale, whose work speaks volumes for the future and quality of our industry workforce,” Mr de Silva said. CBD Contracting will now compete in the National Excellence in Building Awards to be held on 24 November at Adelaide Convention Centre. See the full list of winners on the following page.

Thank you to our sponsors

MASTER BUILDERS VICTORIA

2018 EXCELLENCE IN HOUSING AWARDS

BEST RENOVATION UNDER/ADDITION UNDER $300,000 Saltwater Builders Project: Rye Robbie Dunball, Director , Saltwater Builders with Marty Tucker, National Sales Manager, 3AW.

BEST RENOVATION/ADDITION $300,000 -$500,000 Lonsdale Building Group Project: Windsor Keryn Birrell, Architectural and Building Consultant, Jestmaster and Nick Lonsdale, Director, Lonsdale Building Group.

BEST DISPLAY HOME UNDER $250,000 Australian Building Company Project: Saffire 28, Kalkallo David Shorten, Sales and Brand Manager, Australian Building Company with Jamie Dahlsen, General Manager, Dahlsens.

BEST DISPLAY HOME $250,000 -$300,000 Sienna Homes Project: Finlay 26 Arcadia, Officer David Bock, General Manager, Sienna Homes with Jamie Dahlsen, General Manager, Dahlsens.

BEST DISPLAY HOME $300,000- $350,000 Long Island Homes Project: Tallai 310, Armstrong Creek Craig Delaney, CEO, Long Island Homes with Gillian Wright, Corporate Account Manager, MBA Insurance Services.

BEST CUSTOM HOME $300,000-$400,000 iBuild Group (VIC) Pty Ltd Project: Frankston South Stewart Prain, Business Development Manager, Rylock with Andrew Wilkie, Director, iBuild.

MASTER BUILDERS VICTORIA

2018 EXCELLENCE IN HOUSING AWARDS

BEST CUSTOM HOME $400,000- $500,000 Latitude 37 Project: Forrest Hill Chris Sfiligoj, Design Manager, Latitude 37 with Stewart Prain,Business Development Manager, Rylock.

BEST KITCHEN UNDER $40,000 Larkin & Drought Builders Pty Ltd Project: Barwon Heads Ian Whyley, Regional Manager VIC/SA/WA, Caesarstone with Emily Larkin, Kitchen Designer/Interior Choices, Larkin & Drought Builders.

BEST BATHROOM UNDER $30,000 Larkin & Drought Builders Pty Ltd Project: Barwon Heads Steven Higgins, Key Account Manager, American Standard with Drew Larkin, Director, Larkin & Drought Builders Pty Ltd.

BEST MULTI UNIT DEVELOPMENT UO TO 3 UNITS RMDBUILT (SPECIAL COMMENDATION) Project: Williamstown Steve Hassett, Director, Foundation Technologies Australia with Rob Trncic, Director, RMDBUILT.

BEST MULTI UNIT DEVELOPMENT UP TO 3 UNITS Mancini Made Project: Seaholme Steve Hassett, Director, Foundation Technologies Australia with Paul and Anthony Mancini, Directors, Mancini Made.

BEST MULTI UNIT DEVELOPMENT 4-12 UNITS Visioneer Builders Project: Toorak Steve Hassett with Michael Shuurmans, James Gooley and Nick Spargo, Directors Visioneer Builders.

MASTER BUILDERS VICTORIA

2018 EXCELLENCE IN HOUSING AWARDS

BEST RENOVATION/ADDITION $500,000-$750,000 SPECIAL COMMENDATION The Tempo Group Project: St Kilda Ben Comelli, Managing Director, The Tempo Group with Jamie Dahlsen.

BEST RENOVATION/ ADDITION $500,000-$750,000 Madeform Project: Albert Park Jamie Dahlsen with Christian Bugeja and Alex Gundy, Directors, Madeform

BEST RENOVATION/ADDITION $750,000 - $1M SPECIAL COMMENDATION Larkin & Drought Builders Pty Ltd Project: Barwon Heads Drew Larkin, Director Larkin & Drought Builders and Gillian Wright,Corporate Account Mananger, MBA Insurance Services.

BEST RENOVATION/ADDITION $750,000-$1M Oak Building Group Project: Elwood Luke Christopher and Liam Roche, Directors Oak Building Group with Gillian Wright.

BEST DISPLAY HOME $350,000 -$500,000 Metricon Homes Project: Glendale 42, Wollert Bradley Barlow, National New Connection Manager, AGL, with Ricky Dâ&#x20AC;&#x2122;Alesio, Design Manager and Karen Cooper, Sales Manager -Metro North, Metricon Homes.

BEST DISPLAY HOME $500,000-$750,000 Q by Malishev Project: Madison, Grovedale Tanya Yakimov, Administration Manager, Q by Malishevwith Melanie Laing, Head of Intermediary Sales, AGL.

MASTER BUILDERS VICTORIA

2018 EXCELLENCE IN HOUSING AWARDS

BEST CUSTOM HOME $500,000-$600,000 Acustruct Project: Mernda Danny Italiano, Managing Director, Acustruct with Kerryn Birrell, Architectural and Building Consultant, Jetmaster.

BEST CUSTOM HOME $600,000-$800,000 Lekeal Pty Ltd Project: Yarrawonga Laurie Mihan, Business Development Manager-Projects, Miele with Ken Stevenson, Director and Sharon Stevenson, Lekeal Pty Ltd.

PIL

&B OR ED

PIE

• Concrete House Slab Specialists

• Factory Floors and Carparks • Bored Pier Holes and Screw Piles • Bondek and Suspended Slabs

Harbour Concreting Services 6 Keppler Circuit Seaford VIC 3198

PO Box 686 Patterson Lakes VIC 3197

Phone: (03) 9770 8224 Mobile: 0418 138 820 Fax: (03) 9770 8225 Email: admin@harbourconcrete.com.au Website: www.harbourconcrete.com.au

CDB-L 50966 | CDB-U 51487 DB-L 36395 | CB-L 44355 DB-U 44358

6748791ag

• Multi Unit Site Development

MASTER BUILDERS VICTORIA

2018 EXCELLENCE IN HOUSING AWARDS

BEST KITCHEN OVER $40,000 Mazzei Homes Project: Kew Laurie Mihan, Business Development Manager- Projects, Miele with Daniel Mazzei, Managing Director , Mazzei Homes.

BEST BATHROOM IN A DISPLAY HOME Mazzei Homes Project: The Residence, Balwyn North Steve Higgins, Key Account Manager, American Standard, with Daniel Mazzei.

BEST BATHROOM OVER $30,000 Master Menders Project: Ferny Creek Peter Woods, Director, Master Menders with Prasanna Uduwana, General Manager, American Standard.

BEST INTEGRATED HOUSING DEVELOPMENT Pace Development Group Project: St Kilda Danielle Titterton, Director of Sales and Marketing, Pace Development Group with Andrew Tait, Head of Employer Services and Commercial Development.

BEST SUSTAINABLE HOME Granted Constructions Project: Emerald Bradley Barlow, National New Connection Manager, AGL with Devon Grant, Director, Granted Constructions.

BEST MULTI UNIT DEVELOPMENT OVER 12 UNITS BECK Probuild Project: Caulfield Heath, Caulfield North Sam Beck, Director, BECK Probuild with Andrew Tait , Head of Employee Services and Commercial Development, Cbus.

MASTER BUILDERS VICTORIA

2018 EXCELLENCE IN HOUSING AWARDS

BEST KITCHEN IN A DISPLAY HOME BH Prestige Homes Project: Rosanna Ian Whyley, Regional Manager VIC/SA/WA, Caesarstone with Heath Henry, Business Partner & Construction Manager, BH Prestige Homes.

BEST RENOVATION/ADDITION OVER $1M SPECIAL COMMENDATION Kadabra Group Project: East Melbourne Darren Fleming & Karen Roebuck, Directors, Kadabra Group with Gillian Wright,

BEST RENOVATION/ADDITION OVER $1M ACS Builders Project: Melbourne Jordan Ames, Director, ACS Builders with Gillian Wright, Corporate Account Manager (Financial Insurance), MBA Insurance Services.

BEST DISPLAY HOME OVER $750,000 SPECIAL COMMENDATION BH Prestige Homes Project: Rosanna Heath Henry, Business Partner and Construction Manager, BH Prestige Homes with Prasanna Uduwana.

BEST DISPLAY HOME OVER $750,000 Comdain Homes Project: The Belle Vue, Balwyn North Prasanna Uduwana, General Manager, American Standard with John Coen, Managing Director, Comdain Homes.

BEST CUSTOM HOME $800,000 - $1M Complex Building Group Project: Sorrento David Sullivan, Owner/Director, Complex Building Group with Laurie Mihan, Business Development Manager. Projects, Miele.

MASTER BUILDERS VICTORIA

2018 EXCELLENCE IN HOUSING AWARDS

BEST CUSTOM HOME $1M-$2M SPECIAL COMMENDATION Mountain Ash Developments Project: Albert Park Rian Cust, Southern Region Fleet Manager, Toyota with Ben Selby-Hele, Director & Braden Shaw, Site Supervisor, Mountain Ash Developments (Vic) Pty Ltd. PHOTO:

BEST CUSTOM HOME $1M-$2M Todd Newman Builders Project: Bendigo Todd Newman, Director/Business Owner, Todd Newman Builders with Rian Cust, Southern Region Fleet Manager, Toyota.

BEST CUSTOM HOME OVER $2M CBD Contracting Group Pty Ltd Project: Bridgton Rian Cust, Southern Region Fleet Manager, Toyota with Phoebe & Donald Moore, Directors, CBD Contracting Group Pty Ltd.

YOUNG BUILDER OF THE YEAR Nick Lonsdale Denita Wawn, CEO, Master Builders Australia with Nick Lonsdale, Lonsdale Building Group.

REGIONAL RESIDENTIAL BUILDER OF THE YEAR Todd Newman Builders Project: Bendigo Todd Newman, Director/Business Owner, Todd Newman Builders with Melanie Fasham, President, Master Builders Victoria

MASTER BUILDER OF THE YEAR CBD Contracting Group Pty Ltd Project: Brighton Phoebe Moore, Donald Moore & Scott Smith, Directors with Melanie Fasham, President, Master Builders Victoria.

QUALITY GUARANTEED NON-CONFORMING REINFORCING STEEL PRODUCTS ENDANGER AUSTRALIA’S BUILDING INDUSTRY.

DON’T TAKE THE RISK!

GET YOUR REINFORCING STEEL FROM SRIA MEMBERS WHO GUARANTEE CONFORMANCE TO AS/NZS 4671 – STEEL REINFORCING MATERIALS

Visit sria.com.au/full-members for details

MASTER BUILDERS VICTORIA

BLSC

By Peter Sackett, Editor

n a sunny morning in October, a tray of freshly-baked, star-shaped scones with cream and jam went largely unnoticed by the contingent of Malaysian construction directors for whom they’d been provided. Their eyes were fixed on the television screen on the wall nearby, as General Manager Marc Lyons flicked through images of what lay in store for them during their tour of the Building Leadership Simulation Centre (BLSC) that day. The seven men, representing the Construction Industry Development Board (CIDB) Malaysia, were visiting from Kuala

The international appeal of immersive training

Lumpur to evaluate the potential of a facility like the BLSC to offer education in occupational health and safety to construction companies in their home country. Outward signs suggested they were mightily impressed-- not just their rapt attention to the slide show, but also the fact that this was the second such visit CIBD representatives had made since May 2017. Such investments are considered carefully, it seems, so it was important the delegation get the opportunity to experience the centre in action. The delegation was then released onto a simulated building site with actors, for a

role-playing scenario requiring fast thinking, decisive action and problem-solving skills. The men emerged from the exercise with ruffled feathers, but smiling. It had been a success. Training makes up a significant percentage of Master Builders’ income stream, Master Builders CEO Radley de Silva explained to Foo Chek Lee, President of Master Builders Association Malaysia, who led the group. Tours like these helped to demonstrate the level of detail and realism that practical training can accommodate with the right resources and investment. In the realm of occupational health and safety, Australia is fortunate to have an industrial culture with a very low rate of injury and death compared to other countries with less stringent requirements and weaker enforcement, including Malaysia. But there is always room for improvement, particularly as technological advancements change building and construction processes. Acknowledging the Malaysians’ interest in accident reduction statistics, Lyons described the six-year process it took to get the BLSC to its current stage. Lyons also explained that BAM Gebouwservices in the Netherlands reported a 90 per cent reduction in occupational health and safety incidents in the first year of their simulation centre’s operation, which was attributed to their immersive training. CIDB Malaysia and other similar industry groups look to the BLSC as a leading-edge training provider that can help them realise ambitious goals for up-skilling efficiently and at a relatively large scale. The BLSC can help international industry groups develop their own similar facilities, and tours like these help to drive home the point that while the investment is substantial, the results make it a very good one. The BLSC provides broad-spectrum training to the building and construction industry, but other sectors as well, such as manufacturing, materials suppliers and higher education, making it highly adaptable and customised to the clients’ needs. The delegates ended their tour armed with plenty of information and experience to consider in deciding how best to improve occupational health and safety training for building and construction in Malaysia.

MASTER BUILDERS VICTORIA

ADVERTISING FEATURE

Bluehats target suicide prevention Incolink has been trusted by construction workers for 30 years to look after their redundancy entitlements, mental and physical health and wellbeing. Incolink is introducing a new suicide awareness and prevention program, Bluehats, to provide support to construction workers and their families in Victoria. Mental health and suicide is a huge issue in our communities and in our industry. Unfortunately, too many of us know someone who has been impacted by suicide. This is a demanding industry and sometimes the going can get tough. What is Bluehats? Bluehats is a new Incolink suicide prevention initiative, co-designed with the construction industry, to help workers when they’re feeling down or just need to talk to someone. The Bluehats initiative will produce specially trained representatives on site who will wear a unique blue hard-hat to signify that they are available to help anyone on site who is doing it tough. Any worker who is a Bluehat can link those who need it to specialist service providers, including Incolink counsellors and other

services, with the aim of reducing suicide in the construction industry and the reluctance by workers to ask for help. Learn more As part of the Bluehats program, one-hour General Awareness Sessions (GAS) for all workers will roll out across participating sites over the next 12 months. These sessions have been designed by Incolink to be an extended ‘tool box’ on mental health and wellbeing and will be delivered to all workers – on the tools and in the office. Any Incolink employer member can call Incolink to organise a GAS for their workers.Get involved Workers who participate in the one-hour GAS are then eligible to volunteer to complete the full day training and become a Bluehat. Key responsibilities of a Bluehat include: Looking out for signs of stress in others Asking and listening Keeping an open mind Keeping conversations private Linking people in need to service providers Ensuring safety Ensuring self-care Upon completing the course all Bluehats will be offered support by Incolink to assist them in their duties.

MASTER BUILDERS VICTORIA

INSURANCE

Managing risk: online fraud revisited By Joe Keiper State Manager Victoria, MBAIS

hile traditional theft remains the most common claim type within the building industry, criminals are continuing to find ways to target the construction industry online. Increasingly, we see builders deceived or tricked into paying invoices to an incorrect bank account. MBA Insurance Services (MBAIS) would strongly suggest that any time you are advised in writing of new/updated banking details you contact the payment recipient verbally, and do so using your normal contact details, not anything presented to you on the email advising of the change. Phrases like “Please note updated banking details” should trigger alarm bells for all Master Builders members. Think it couldn’t happen to you? Consider the following scenario. Joe runs a residential building company doing six to eight builds per year, and has used mainly the same subcontractors for several years, including his electrician, Steve, whom he’s known for over a decade. Steve’s business has a handful of staff, and uses a fairly basic computer and invoicing system which, unbeknownst to Steve and Joe, has been hacked. Hackers have gained access to Steve’s system, and can see that he often invoices Joe for work completed. They simply mimic their email exchanges. The hackers then re-send the last invoice, copying their normal email style, with the payment invoice looking identical, with the exception of the updated banking details. In the email to Joe it reads: “G’day Joey, sorry mate, I forgot to let you know that I’ve changed banks. New invoice attached with updated bank details for the Smith St job. Any questions give me a shout. Cheers, Steve” It’s no surprise these requests are often paid. MBAIS also continues to see fraudulent emails which look like legitimate internal communications, most often appearing to be from a director to one of the accounts staff. With many builders having websites listing key staff, and social media sites including LinkedIn and Facebook which allow hackers to see who staff are and how they communicate, it can be fairly easy to send a plausible payment request appearing to be from a senior manager to someone in accounts. The requests are often

for urgent payment for an overseas supplier or consultant, and using similar language and with a copied email footer allowing them to appear genuine. So, is that email really from your boss?

What can be done to mitigate this risk? ■ Always verbally confirm with subcontractors, suppliers, and colleagues any requests for payment to new or amended banking details. ■ Implement dual signatories/approvals for all payments to third parties. ■ Agree on and document internal protocols to ensure all staff capable of making payments to third parties require phone call/in-person

verification for any new payees, without exception. Hackers know to try to create a sense of urgency, so ensure your accounts team knows that you will not request that they break established payment protocols under any circumstances. ■ Limit what information is put on social media sites and activate privacy settings to restrict who can view personal details and communication styles. However if these strategies fail, having the right Management Liability insurance policy can provide cover under the crime section. If you would like to discuss the additional coverage benefits provided by a Management Liability policy, or how we can help you protect your business in general, call us now at MBA Insurance Services on 1800 150 888.

WE GET IT. We understand your needs because weâ&#x20AC;&#x2122;re the construction industry experts. Many insurance brokers handle a wide range of industries and occupations. Entrusting your business to a specialist construction insurance broker ensures you have the best value for money coverage, expertise to handle claims and access to tailored risk management advice.

FREE COVER REVIEW Is your business exposed to uninsured lossess that may not be covered by your existing Contract Works & Liability policies? Get one of our experts provide your businesss with a free cover review.

mbais.com.au/victoria

Our business is built on advice.

Joe Keiper

Southern Region Manager MBA Insurance Services

er delivering profits ok br e nc ra su in ly on e MBAIS is th construction industry. & g din il bu e th to ck directly ba

MASTER BUILDERS VICTORIA

FEATURE

Family history General Manager, Marc Lyons shares with us his family’s long and prestigious political past

ith state and federal elections approaching, and history in the making, we thought it appropriate to share the political family history of one of our general managers, Marc Lyons. Many of us know Marc as the General Manager of the Building Leadership Simulation Centre (BLSC), presiding over a remarkable technical facility that instructs on the physical and cultural laws of the building and construction universe. Few people know, however, of Marc’s relationship to a man who presided over the entire nation of Australia. Marc’s noteworthy great uncle, Joseph Aloysius Lyons, served as Prime Minister of Australia from 1932-1939, establishing an early connection between Master Builders and the inner workings of government. Joseph entered politics in 1909 winning the seat of Willmot for the North West League of the Workers Political League, a forerunner of the Australian Labor Party. In 1912 Joseph was elected President of the State Branch of the ALP and in 1914 he became Deputy Premiere of Tasmania. He was elected Premier of Australia the same year. Joseph was the first Prime Minister born to an Australian-born parent, and the first to use The Lodge as the family home. He was often photographed in the grounds of the Lodge with his children. His wife, Enid, was regarded as his greatest political ally and was influential in his decision-making. After Joseph’s death, Enid became the first woman elected to the House of Representatives and the first woman to serve in federal cabinet. When asked about his luminous ancestor, Marc reacts with self-deprecating humour. “The Lyons family got off to a flying start in Australia; it feels a bit like it’s been downhill for us since then. But my father now lives in Canberra; maybe we’re edging closer to another Lyons in the top job,” Marc says. “Actually, our family is all extremely proud of the connection. Most of the stories have diminished over the generations, but what people do remember is that he was a great man supported by an even greater partner,” he says.

MARC LYONS, GENERAL MANAGER

MASTER BUILDERS VICTORIA

FEATURE

Kelly Ambrose, Student Liaison and Administrator

The mystery of the cast-iron die

elbourne is a city renowned for its 19th-Century buildings, and for being an ever-changing blend of old

and new. I often contemplate older buildings and wonder who designed and built them. Much of this information is available from local historical societies, the State Library and the Public Records Office of Victoria, though sometimes with limited success. Recently, Master Builders was contacted by someone who had in their possession a cast iron die with Master Builders’ name engraved into it. The solid-steel die weighs around ten kilos and features our original Master Builders round logo with Graeco-Roman columns. My research revealed that the die was cast by Stokes and Sons, a Melbourne company started by Thomas Stokes whose business was situated at 100 Collins Street from 1858-1862. Over the years Stokes played an important role in Australia’s cultural and industrial development, manufacturing products like the gas lamps that first illuminated Victoria’s Parliament House in 1892, and the original ‘rising sun’ badges worn by the Australian Army. Stokes also produced countless medals for the armed forces during both world wars, as well as badges for sporting clubs, unions and societies. At some stage during the early 1900s the business moved to a factory in Brunswick. I remember having a conversation with a retired member several years ago, listening to him describe an old Master Builders plaque that he had noticed while tuck-pointing a house in the eastern suburbs. He thought it may have been purchased by the original builder as a marker to help ensure future owners would have a record of who built their house. We believe this iron die was one used

to strike such a plaque. From what I can determine, these were the houses built by the Suburban Master Builders, a group of housing members who made up a percentage of our broader membership from 1916 to the 1960s when all such groups came under the one banner, Master Builders Association of Victoria. Master Builders would love to hear from any

members who have more information to add to this story or who have one of these plaques in their possession. A photograph of it would be very welcome. Luckily, the person who brought us the die had at least a limited amount of information to share. For us, it’s a rare find and an important addition to our collection of historic pieces residing in our East Melbourne office.

MASTER BUILDERS VICTORIA

FINANCE

By Harry Pontikis Manager, MBA Financial Services

ust like you, banks are in business , they don’t succeed by making bad deals. When they consider your loan application, they’re calculating the financial risk of entering into an arrangement with you. Let’s break it down. What the bank considers For the bank, financial risk comes down to whether you can repay your loan and the interest in the agreed time. To protect itself, the bank looks for evidence that your business won’t fall among the overwhelming number of businesses which fail and are therefore unable to repay a loan.When assessing financial risk, one of the main factors the bank looks at is you, the business owner. What skills

How your bank calculates a business risk and experience do you have? Do you understand your business and have a clear and realistic plan for developing it? Importantly, they’ll also be looking at your credit history, any existing debt you have and even how long you have remaining in the work force. Banks also consider Security: The bank will evaluate what you’re offering as security against your loan – this might be a family home or other assets such as apartments or factories. Industry: Lenders view some industries as riskier than others, because of conditions such as competition, profitability and the economic climate. The building industry is perceived as risky due to the huge peaks and troughs of

income, low focus on profit and the lack of business experience by many in the trade. Cash flow: Inadequate cash flow is among the top reasons why companies become unable to repay debt. The bank will want to see what revenue you have coming in, and be assured you can pay wages, keep the business ticking and make your loan payments on time, even if something unexpected happens. Income: Lenders would like to know that your business is making enough money to pay you a sufficient income to pay for your lifestyle and any existing debts as well as your proposed new debt. Tax minimisation strategies may work contrary to a bank’s requirement to assess your serviceability or

MASTER BUILDERS VICTORIA

FINANCE

ability to repay loans. Show the bank you’re managing risk Having higher risk doesn’t mean you won’t get a loan. But you need to show the bank you’re aware of the risks and are taking the necessary steps to manage them. You need to have a risk management plan that documents your business’s specific (financial and other) risks and identifies the steps needed to reduce or manage them. For these and many other reasons, it’s very risky to take a punt and approach a bank directly for a business loan. An expert Credit Advisor like Master Builders Finance will know which banks have an ‘appetite’ for the construction industry and which lenders have totally turned off the lending tap for it. The Credit Advisor will also seek to understand your business, ensure there are robust practices in place, current and future risks are mitigated and there are good margins and revenue practices in place. If you need assistance securing a home loan, accessing equity from your properties, business loans or better managing your business, contact Harry Pontikis from Master Builders Finance on 0411 258 058, harry@mbafinance.com.au or (03) 9411 4555.

MASTER BUILDERS VICTORIA

GREEN LIVING

By Dr Phillip Alviano Sustainable Building Advisor

Gisbourne by VR Builders

Master Builders Best Sustainable Home Awards 2018

his year we saw an outstanding group of entries for the Best Sustainable Home category. Each of these entries was of an excellent quality and could easily have been selected as the winner in previous years.

Winner Best Sustainable Home – Granted Constructions This entry reflected the increasingly popular trend for passive houses in Australia. ‘Passive house’ is a voluntary standard for energy efficiency in a building. It results in ultra-low energy buildings that require little energy for space heating or cooling. This outstanding example was presented as a typical family home in a traditional style. The 180-square metre single-story house is built on a brick footing with a timber subfloor. The house uses a timber frame and trusses, Colorbond roof and cement-sheet weatherboard cladding. Careful attention to detail was required during the construction of these elements to achieve a ‘passive house’ standard. The frames were 140mm wide to allow for the extra insulation needed. They were covered with a moisture barrier externally and airtight wrap internally, with timber battens acting as service cavities and attachment points for the plaster internally and

weatherboards externally, to avoid puncturing the airtight wraps. Triple-glazed windows help to ensure the house meets the passive house standard. The house was able to achieve an air tightness measurement of 0.38 air changes per hour at 50 pascals (ach@50Pa), which compares to the average Australian level of 15, measured recently by the CSIRO. Passive house requires a rating of less than 0.6 ach@50Pa. Fresh air is provided via a mechanical heat recovery ventilation system (MHRV). The house is the first in Australia to be a certified passive house with a wood-burning fireplace. This all-electric house makes use of an induction cooktop and one small reverse-cycle air conditioner for any additional heating and cooling. The MHRV system ensures that air is circulated throughout the house keeping temperatures even in all rooms. A 5-kW photovoltaic system on the roof easily provides more power than the house uses, resulting in a zero-carbon house. Other sustainability features include a recycled spotted-gum floor and recycled brick sub floor.

Finalist – VR Builders

We are seeing an increase in the number of homes built for clients who want to ‘age in place’. This home design is specific to the clients’ current and future needs; it can adapt to changes in circumstances as the clients age.

These needs mean the house is designed to be accessible, safe, easy to maintain and energy efficient. This results in health and comfort benefits and reduced future energy costs. The home takes advantage of passive solar design by being oriented to the north with extensive Miglas windows and doors (double-glazed, thermally broken, low-e glazing). This allows sun to warm the house in winter and admits lots of natural light. Northern and western windows feature custom aluminium, fixed-louver shades overhead which ensure solar penetration into the home is maximised in the winter months and shaded in the summer months. Eastern glazing is minimised and designed purely to ensure excellent day lighting without using extensive glazing. External and internal walls are very well insulated using thermal and acoustic insulation beyond minimum standards. Hebel Powerfloor panels and additional underfloor insulation provide for a very stable core flooring and thermal mass to moderate internal temperatures, despite it being a suspended home on a sloping site. The home’s energy is offset with a large 7.9 kW solar PV system which should have a big impact on the energy bills, while solar hot water reduces the need for external energy sources. All stormwater is connected to an underground tank to keep the garden watered and in good condition.

MASTER BUILDERS VICTORIA

GREEN LIVING

Above and below: Emerald by Granted Constructions

MASTER BUILDERS VICTORIA

TRAINING

By Corrie Williams, Head of Training

ver the past several months, you may have become aware of the “Free TAFE” initiative introduced by the Victorian government. Thus far, it has been the most significant move the government has made in response to the well-documented skills shortage crisis in our state. And while supporting careers in building trades is important for a broad range of economic reasons, the government’s failure to lend the same level of support to industry registered training organisations (RTOs), such as Master Builders, is puzzling to say the least. Why? Because RTOs like ours consistently outperform TAFE in completion rates and delivering the skills most in demand by the building and construction industry. Master

Top-performing RTO needs more top trainers

Builders is an award-winning RTO, recognised by the Victorian government for its significant achievements in training young builders not just for what’s in demand today, but for where our industry will be in the future as technological shifts play a larger role in the building process. The major hurdle faced in providing quality vocational training is having outstanding trainers and facilitators with current subject matter knowledge. It is true that a career in the building trades is second-to-none. Young people for whom a university degree is not an attractive prospect have a remarkable opportunity for a rewarding and lucrative career, with Victoria’s rapid population growth stoking a huge demand for housing and

infrastructure projects. We know that many successful businesses in our sector are crying out for people with skills to help them deliver these projects. This need for skilled tradespeople is likely to increase with the introduction of trades registration. Trades registration will be a benefit for consumers, helping to increase the quality of workmanship and regularise the provision of trades services, but it will also pose a challenge as more people will require training. Such is the demand for skills that Master Builders is actively searching for top-quality trainers to meet it. If you’re an expert in your field of building and construction, and the idea of giving back to our industry by sharing

MASTER BUILDERS VICTORIA

TRAINING your knowledge appeals to you, call us. We need people from all areas of Victoria to become trainers so we can deliver great training in those regions. We are looking for subject matter experts, with a drive to share their knowledge and experience with up-and-coming builders and tradespeople. What makes the ideal trainer? ■ Knowing your subject thoroughly ■ Having great communication skills ■ Continued work in the industry (either part- or full-time) ■ Getting satisfaction from helping others learn and succeed. To teach accredited courses in Australia you need to have a Certificate IV, or higher qualification in Training and Assessment. Even if you do not hold this qualification, but are thinking of getting into training, please give us a call and we can help work out a transition pathway for you. There has never been a better time to become a trainer with Master Builders. You stand to have a significant influence on a thriving career that keeps Victoria a great place to live and work. Call (03) 9411 4555 or email training@mbav.com.au for information on how to get involved.

2019 Editions available for delivery mid-January!

GO DIGITAL SINGLE

$430 0ea INC GST

BUNDLE E

$ 720 0 G GI PRINT+ DIG INC GST

SINGLE

$295 eaa INC GST

BUNDLE

$ 490 PRINT+ DIGI INC GST

SINGLE

$440ea INC GST

SECURE

FAST

BUNDLE

$ 730 PRINT + DIGI INC GST

GREEN

SIMPLE

Rawlinsons cost and reference publications, available in both traditional print and improved cloud based digital format for 2019. BOOK ORDERS & DIGITAL SUBSCRIPTIONS VIA OUR ONLINE WEBSTORE - WWW.RAWLHOUSE.COM

MASTER BUILDERS VICTORIA

OHS

Certification does not guarantee compliance By John Darcy, Head of OHS

chieving certification to the Australian or international standards for OHS or environmental management systems does not mean that a business is automatically compliant with its legal duties under OHS or environmental law. Over the years, I have provided advice to businesses of all sizes and when I ask some directors or CEOs to tell me how they think their businesses stack up on OHS requirements I am often surprised when their response consists only of “Well, we are AS4801 (or ISO9001) certified.” Certification of OHS, environmental or quality management systems must be performed by JAS/ANZ-approved auditors. The Joint Accreditation System of Australia

and New Zealand (JAS-ANZ) is an internationally recognised accreditation service. JAS-ANZ does not certify or inspect organisations, products or people; rather, they accredit the bodies that do. JAS/ANZ is an organisation that develops the assessment criteria that certifiers and inspectors must meet to become accredited under the themes of: ■ Business and innovation ■ Health and human services ■ Product certification ■ Food and biological systems ■ Environment. Accreditation is a symbol of assurance—a valuable asset in itself. It flags that a certifier or inspector can be counted on to impartially

determine if organisations, products and people conform to specified requirements. This gives certifiers, inspectors and their client organisations a competitive edge. But certification does not mean ‘compliant’. Many JAS/ANZ auditors hold formal auditing qualifications but they may not hold necessarily any formal OHS qualifications and their audit may not encompass a proper safety audit. An auditor will assess a company’s OHS management system against the audit criteria that are detailed in the applicable standard. This audit will only prove that the company has a system in place that meets the criteria, but it cannot be relied upon as evidence that the company is meeting its legal duties. The Master Builders OHS unit has dealt with

MASTER BUILDERS VICTORIA

OHS

a number of companies over the years that have achieved OHS certification but that we have found, after conducting site-safety audits or delivering consultancy advice, to have compliance gaps that, in the event of a serious incident, would potentially expose the members to litigation. Members of the Master Builders OHS unit do have formal auditor qualifications, but we

cannot certify a member’s OHS management system. We can, however, perform desktop audits against the Standards before members part with their hard-earned dollars in engaging their auditors. Our main priority is to make sure that members’ construction sites are safe. During 2017-2018, the OHS unit delivered more than 200 site safety audits. Our audit

reports are comprehensive and focus on OHS compliance. There is no sugar coating. A CEO should be able to pick up a report and know exactly what is going on and where the gaps are. Our number one priority is to protect our members to the best of our abilities. For advice on certification or to arrange a site audit contact the OHS unit on (03) 9411 4569.

6836454aa

Building and Construction Lawyers

• Contract Advice and Management • Project Implementation • Building Disputes & Defects • Professional Liability & Negligence • Security of Payment Claims • Litigation & Dispute Resolution

www.wﬂawyers.com.au

Level 12/533 Little Lonsdale St Melbourne

Andrew Wh hitelaw - Director awhitelaw@wflawyers.com.au

(03) 9090 6700

MASTER BUILDERS VICTORIA

NEWS

Trades registration legislation: things you may not know about the new bill

he first step toward a wider trades registration regime in Victoria was made with the introduction of the Building Amendment (Registration of Building Trades and Other Matters) Bill 2018. This legislation introduced some other changes that members should be aware of, as the government seized the opportunity to make amendments to the Building Act and regulations. These include a new regulatory framework for swimming pools, powers allowing the Minister to ban high-risk cladding products and new steps on breaches-of-dispute resolution orders. The following is a (non-exhaustive) summary of some of those changes[1]: ■ Minister can ban high-risk cladding products The Minister for Planning now has the power to declare a ban on the use of a combustible external wall cladding product. This includes preventing use of composite panels (ACP) with a polyethylene core and expanded polystyrene (EPS) cladding, for class 2, 3, or 9 buildings of two or more floors, and class 5, 6, 7 or 8 of three or more storeys.

The legislation defines high-risk external cladding. An example is “a combustible building product that provides a risk of death or serious injury arising from its use, whether it is to occupants of the building or neighbouring buildings, the public or any property.” The Minister for Planning would need to declare a ban by publishing it in the Government Gazette at least 48 hours in advance of the ban unless the risk is too serious to delay. The Minister can also seek submissions from the public on whether to ban a particular cladding product. ■ Cladding Rectification Agreements (CRA) The Bill amends the Local Government Act 1989 to provide for cladding rectification agreements. This would allow building owners and owners corporations to access low-cost finance to fund cladding works and allow for any long-term costs to be borne over time. The amendments will allow councils, owners/owners corporations and lenders to enter into voluntary cladding rectification agreements (CRA). Loans for cladding rectification can be repaid through the council

rates system. The amendments will provide owners corporations with the ability to enter into CRAs on behalf of the owners but a CRA will need approval from at least 75 per cent of those owners. The proposal would also allow CRA liability to be transferred from owner to owner as the units are sold. ■ Clarification that surveyors can issue building notices after the issue of an occupancy permit A private building surveyor can continue to issue buildings notices and orders after the issue of an occupancy permit. While this practice has been generally accepted by the building industry, the legislation now expressly states it. ■ New regulatory framework for swimming pools and spas The legislation requires councils to keep and maintain a swimming pool register and allows for the creation of regulations that can require pool owners to do self-assessment or engage independent assessment of pool-barrier compliance. ■ Breach of Dispute Resolution Orders (DRO)

MASTER BUILDERS VICTORIA

NEWS must be clearly legible in the advertisement or statement. In other words, it must include the name in full (i.e. its full company name if incorporated) and of a font size and type that can be read. Master Builders considers that this interpretation by the VBA of the regulations in relation to "advertising or written statements offering to carry out domestic building work" is too broad. Master Builders will be seeking further clarification from the VBA on this. However, as the law is in place, it is important that members remain compliant. As such, Master Builders recommends that all forms or documents or correspondence that is used to provide a contract, quote or estimate to clients should always include the builder’s name in full and registration number(s). We advise that this information also be included in your business cards. Where you have existing current advertising or promotional material that does not have the builder’s name or registration number on it, we advise that they be updated with the new requirements where possible. One way to achieve this is to use stickers or other means to ensure that the builder’s name and registration number(s) is included in a way that is clearly legible. Doing the above recommendations will ensure that the new laws are complied with and avoid non-compliance, as failing to do this could mean that a building practitioner may face a penalty of up to $9,600 (60- penalty units) per offence. The VBA has been writing to builders to tell them that the regulations "Require the name and registration number of a building practitioner, including companies, to be clearly legible in their advertisement and statements.” This applies to business cards, posters and further advertising. Master Builders has requested further guidance from the VBA about the requirements and will provide further information as it comes to hand. For more information, please contact the Legal Department on (03) 9411 4555.

……UniqUe design, noiseless dC motor fan designed for indoor and oUtdoor Use

Airborne 857 South Dowling St, Waterloo NSW 2017 (Opp Moore Park Super Centre)

Milano Slider

P: (02) 9662 6248 Free Shipping all over Australia.

Builders and Tradies buy direct from manufacturer and save. “Milano DC recommended by Choice”

Milano DC E: info@fanscity.com.au www.fanscity.com.au

6885406aa

The DBDRV has the power to issue a dispute resolution order (DRO) to require a builder to rectify defective building work. The Bill includes a new disciplinary ground where a builder fails to seek review of a DRO notice in VCAT within 28 days. Failure to seek review will result in suspension, or partial suspension, of the building practitioner's registration. ■ Immediate suspension of registered building practitioners on public interest grounds The Bill gives the VBA power to immediately suspend a registered building practitioner on public interest grounds. An example of this might be repeated and reckless disregard for

public health and safety considerations. ■ Destructive testing powers The legislation gives the VBA the power to ask a surveyor to take samples of building products and test them to determine if their use is non-compliant with the Building Act or regulations. The Bill provides that “authorised persons” can destructively test any building product or material if it is suspected on reasonable grounds that the product or material is connected with a contravention of the Building Act or the regulations. ■ Builder named in building permit may be changed The Bill amends the Building Act to clarify that the builder named in the building permit may be changed to another appropriate person. The building permit will be unsuspended after a new builder is named on the building permit. ■ Owner-builders and certificate of consent A certificate of consent issued to an owner-builder will expire if the land which is the subject of the certificate of consent is no longer held by the owner-builder. An owner-builder cannot continue to be responsible for carrying out building work if the owner-builder no longer owns the land. [1] Adapted from Second Reading Speech by Planning Minister Hon Richard Wynne MP ■ New rules in place for advertising or promotion of domestic building work Recent amendments to Victoria’s Building Act 1993 and the introduction of Building Regulations 2018 have introduced new laws on how domestic builders advertise and promote their business. In essence, all registered domestic builders must provide the name of the registered building practitioner and their registration number(s) on any advertisements or written statements offering to carry out domestic building work. This is irrespective of their business type (sole trader, partnerships and companies) and the value of the domestic building work they undertake. In addition, the name and registration number(s) of the registered building practitioner

MASTER BUILDERS VICTORIA

NEWS

Site allowances lead to cost blowouts

n Tuesday 18 September, CEO Radley de Silva was quoted in an article that appeared on the front page of the Herald Sun. The article explained that union workers on the Metro Tunnel and West Gate Tunnel projects had been granted site allowances of $9.20 per hour and $8.90 per hour respectively, rocketing the additional annual cost of the projects to around $25 million. Mr de Silva said the allowance decisions were highly contentious. 3AW’s Neil Mitchell agreed and interviewed Mr de Silva on his morning radio program to elaborate. “These sorts of site allowance outcomes, on top of already extraordinarily high EBA wages, are contributing to cost blow-outs that are costing taxpayers and the Victorian community,” Mr de Silva said. By 9am, television stations were requesting on-camera interviews, which Mr de Silva conducted in the boardroom later that day. The media attention is a reflection of the seriousness of the problem of runaway building and construction costs at a time when Victoria can scarcely endure it. Master Builders Victoria has highlighted the risk of massive cost blowouts on public infrastructure projects

if site allowances continue to be calculated at current rates. Expenditure on public infrastructure projects can differ significantly from estimates if costs overrun on key line items like labour. Site allowances are a well-known payment, included in a vast majority of EBAs and intended generally to compensate for “disabilities” on site such as confined spaces, fumes, wet work and dirty work. The site allowance decisions by the Victorian Building Industry Disputes Panel, however, calculate site allowances on the entire value of the project. This appears to go disproportionately beyond the ordinary reasonable needs to compensate for difficult circumstances on site. It means that the higher the value of the project, the more potential there is for site allowances to inflate. Master Builders thinks this approach is flawed and pushes site allowances out of reasonable proportion. Deloitte research conducted for Master Builders in 2016 showed that union EBA carpenters and entry-level labourers are paid very well. At that time, unskilled labourers were earning around $144,506 per year and carpenters around $155,961 per year – more

than double the salary of the average police officer, fire fighter, soldier, teacher or nurse. Back in 2016, Master Builders expressed considerable concern over the general CFMMEU EBA agreement for annual 5 per cent wage increases, which the Deloitte research estimated would have cost taxpayers an increase of $806 million to deliver the government’s 4-year Infrastructure Plan – representing a lost opportunity to Victorians of ten schools and three hospitals. These new site allowances decisions, which add an extra $9.20 or $8.90 per hour on top of existing wage rates on projects where the Victorian taxpayer is the ultimate client, will further the cost the Victorian community. Given the government has committed to more than $10 billion to infrastructure for at least the next four years, if site allowances continue to be calculated based on the whole project value, the costs to Victorian taxpayers will only continue to increase. As a result, site allowance is likely to be a major focal point for any future industry-led negotiations leading to a successor to the current CFMMEU Pattern EBA 2016-2018.

MASTER BUILDERS VICTORIA

NEWS

Master Builders Victoria announces new CEO

resident of Master Builders Association of Victoria, Melanie Fasham, announced that Rebecca Casson has been appointed as the new Chief Executive Officer of Master Builders. Ms Casson is currently Chief Executive Officer of the Committee for Geelong, with more than 20 years experience across government, industry and not-for-profit organisations in Australia, the UK and USA. She replaces Radley de Silva who is retiring after five years as chief executive and 17 years with Master Builders. Ms Fasham said that under Radley’s leadership the organisation had become an increasingly powerful representative of the interests of the construction and building industry. Members both large and small have appreciated and benefited from Radley’s untiring efforts on their behalf, she said. Ms

Fasham said that Ms Casson was appointed from an extensive list of extremely well qualified candidates. “Her extensive history of advocacy and outstanding organisational skills make her an exceptional appointment,” she said. Ms Casson will join Master Builders early next year. She said today she was looking forward to continuing to promote the outstanding contribution that the construction industry, which supports more than 280,000 jobs across the state, made to Victoria. Ms Casson is a current board member of Development Victoria which is the authority planning the future growth of Victoria. Under her leadership the Committee for Geelong has been involved in numerous initiatives that have helped Geelong to increased economic prosperity.

Master Builders supports Vic government’s Build-to-Rent move

he Victorian Government recently announced they will support Build-to-Rent (BTR) dwellings as a method to improve housing affordability for Victorians. Master Builders supports the government’s move, viewing BTR as a viable option to improve housing affordability. It is a move for which Master Builders has long advocated, as part of our policy for greater incentives to create different housing options in the cause of improved housing affordability.

There are many other benefits of BTR for Victorians; its stands to improve not just affordability through greater housing supply, but introduces a building scheme that will result in the creation of a new asset class, purposely built for renting. This will provide greater security of tenure for renters and

support aspiring home owners by removing the cost associated with the need to move. As part of this announcement, the government also noted they are seeking to establish an industry working group as part of their desire to support BTR in Victoria. Master Builders supports this and will be seeking involvement in the group.

MASTER BUILDERS VICTORIA

NEWS

New MyVictoria website offers a centralised resource

Of particular interest to members is the availability of building permit data on the website for a particular local area. The building permit data not only includes the number issued over time, but also the total estimated cost of works in the area, as well as building types (i.e. domestic, new building, private, etc). By typing in a postcode, suburb, or local government area, members can access such

data for a given area, with data also including maps, graphs and charts to aid the user in understanding the information. The creation of MyVictoria will save businesses time and effort in conducting market research. As such, Master Builders encourages members to use the website as a tool in running their businesses. You can access MyVictoria at www.myvictoria.vic.gov.au.

Oak Building Group are passionate about creating custom architectural homes and large-scale renovations. As a boutique sized company, this allows us to provide our customers with both personable and exceptional service and quality. We strive to create workmanship of the highest standard with an aim to build properties that exceed the owners expectations. oakbuildinggroup.com.au

CR130831AA

n 27 September, the Victorian Government launched a website called ‘MyVictoria’ which brings a total of 50 government data sets together in a centralised platform. It offers a helpful tool to businesses seeking localised information to influence their investment and other decision processes. Free to use, MyVictoria will include a range of data across Victoria postcodes, including data on: ■ schools ■ housing ■ rent prices ■ demographics ■ average income ■ public transport ■ infrastructure projects.

MASTER BUILDERS VICTORIA

NEWS

Neither federal nor state governments lend adequate support for skills investment in building and construction

“T

he federal gover nment’s announcement of a $60 million pilot trial wage subsidy for employers in rural and regional areas stresses the conspicuous failure of the Victorian Government to offer similar support for nurturing skills in the building and construction industry—its largest full-time employer,” said Master Builders CEO Radley de Silva. “And while the federal trial is a good thing, and we welcome the investment, there is plenty of opportunity to increase funding even more in building and construction to meet heavy demand,” Mr de Silva said. “Victoria faces a critical shortage of skills in

the building and construction trades simultaneous with the greatest demand on them in the state’s history; it’s a perfect storm,” Mr de Silva warned. As the largest full-time employer, our industry generated over 316,000 jobs by August 2018. There were nearly 100,000 firms in the Victorian construction industry as at the end of June 2017, or 16.8 per cent of the 590,820 businesses within the state. This makes the building and construction industry the largest industry by number of businesses in Victoria. As our population growth outpaces every other state, our demand for housing and infrastructure grows with it. But the Victorian

Government could do more in supporting programs that can do the most to meet that demand, like a wage subsidy plan similar to the federal government’s, or backing the industry registered training organisations (RTOs) like Master Builders’ which consistently outperform TAFE in skills uptake, course completion rates and student satisfaction. “In Victoria, response to this skills crisis among all parties has been tepid at best,” Mr de Silva said. “I don’t know where they think the skilled workforce will come from to deliver all of the current and approved projects on time and within budget,” he said.

MASTER BUILDERS VICTORIA

MEMBERSHIP

Making use of Master Builders’ full suite of services and resources By Laura Jubb, Reception/retail coordinator

ew figures published in May 2018 reported that the full-time adult average weekly total earnings for Australia equated to $1653.00 (www.abs.gov.au/ausstats). In Victoria, the building industry is booming with population growth, extra housing and infrastructure in high demand. Last year, Victoria saw $22.9 billion spent on domestic works alone. On top of this, we are also seeing a continuation of employment growth, coupled with trades being in demand and an increase in work. With every domestic and commercial project it is important to make sure you are using the right contracts for your jobs. We understand that every project is unique and it is easy to get lost among the array of different contracts. Remember that we offer free legal advice from our in-house solicitors, who can advise you on the best way to make your selection. Beyond our standard New Homes Contract and Home Improvement Contracts we also stock specialist contracts such as the ABIC (Australian Building Industry Contracts) which are produced by the Architects Institute and with guidance from Master Builders Australia. We have the following contracts available: ■ ABIC Simple Works Commercial 2018 ■ ABIC Simple Work Housing 2018 ■ ABIC Major Work Housing 2018 ■ ABIC Major Work Commercial 2018 In addition, we stock the ABIC Simple Work subcontract and ABIC Major Works subcontract. These contracts must be administered by an architect; they outline the subcontractor’s obligations when engaged by a contractor to conduct work. Making sure your contracts are correct is important, but making sure your site is in accordance with Occupational Health and

Safety requirements is also imperative. Master Builders can help with this, too. We stock the following OHS products: ■ Register of Injuries ■ Safe Work Method Statement pads (SWMS) ■ Site-specific induction kits ■ First Aid kits ■ Toolbox meeting pad

■ OHS site-safety signs and various danger/protective equipment/on-site signs. Whatever contribution you’re making to building the future of Victoria, Master Builders is here to help. For more information on our contracts, OHS or other products, jump online at www.mbav.com.au We’re also ready to help you over the phone on (03) 9411 4555.

MASTER BUILDERS VICTORIA

LEGAL

By Angelo Simonetto, Head of Legal

The Victorian Supreme Court of Appeal (VSCA) recently considered whether a builder who was wrongfully terminated should only be able to claim payment for the works completed only under a contract or alternatively whether they were entitled to claim on a quantum meruit basis. Quantum meruit refers to an amount claimed by way of restitution as reasonable recompense for the benefit conferred or work done on the grounds that there was an implied promise to pay for it. The amount calculated is based on the ‘actual work’ as opposed to the amount that a party may have been contracted to pay. The facts On 4 March 2014, Peter and Angela Mann (Owners) engaged Paterson Constructions Pty Ltd (Builder) and entered into a building contract for $971,000 to construct two double-storey townhouses in Blackburn, Victoria. Works commenced on 10 March 2014 but were not completed by the due date of 17 December 2014. Unit 1 was completed on 19 March 2015, but on 16 April, before Unit 2 was completed, the Owners asserted that the Builder had repudiated the contract and purported to terminate by accepting the alleged repudiation and accordingly refused to allow the Builder back on site. The alleged acts of repudiation (by the Builder) included the delay in carrying out the works and an alleged statement by the Owners that the Builder would not complete Unit 2 unless they paid the Unit 1 variations claim. On 28 April 2015, from its solicitors, the Builder asserted that the applicants’ conduct had constituted a repudiation of the contract and purported to accept their repudiation. An application was made to VCAT on 25 June 2015 by the Builder, but with amended particulars of damage replacing the original amount of $518,597.97 with a claim in quantum meruit for the amount of $944,898. VCAT determined that the Owners had repudiated the contract and that the Builder was entitled to recover payment for the works completed on either a contractual or a quantum meruit basis – whichever was the greater. This included payment both for the incomplete work and variations undertaken that had not been

Builder recovers on quantum meruit following wrongful termination

approved strictly in accordance with s38 of the Domestic Building Contracts Act 1995 (DBCA). The VCAT accordingly ordered the Owners to pay the Builder a quantum meruit sum of $660,526.41 The Owners sought leave to appeal to the Supreme Court from the decision from VCAT, but after considering carefully the submissions, granted the application for leave (with a minor mathematical error corrected). It did so in reliance of the authority as provided for by Sopov, and so ordered that the amount to be paid by the Owners to the Builder, be $652,534.41. The Court otherwise dismissed the appeal. The Owners, not satisfied with the appeal having been dismissed, sought and were granted leave to appeal the Supreme Court’s decision to the Court of Appeal on essentially two issues: That the judge had erred in holding that VCAT had applied the incorrect principles in valuing the Builder’s work on a quantum meruit basis and further ought not to have had available

quantum meruit as a remedy where the contract had been repudiated; and That the judge had also erred in finding that s38 of the DBCA did not prevent the Builder from recovering the value of the work covered by the variations on a quantum meruit basis. Court of Appeal On the first issue, the Court of Appeal held that it was clear from the authorities that as a matter of law, in a quantum meruit claim, the actual costs incurred are not determinative and do not impose a ceiling on the amount that can be recovered and that it was not necessarily inappropriate for an assessment of value of work performed to be an item of work that was not actually incurred by the builder, or to assess the value of that item in a sum that differs from the sum paid by the builder. Accordingly, the Court of Appeal held on the first issue that VCAT did not misapply the principles for assessing the quantum meruit amount that was awarded to the Builder, and so no error of law was made out and that the assessment by quantum meruit was an

MASTER BUILDERS VICTORIA

LEGAL

appropriate remedy in the circumstances, as it supported and was bound earlier by the precedent of Sopov and earlier authorities. On the second issue, the Court conceded that it was a difficult question ‘because s38 is not clearly drafted’ but in carefully considering the scope of s38, concluded that s38(2) was wide enough to accommodate both a written and oral request for variation, and even though a builder may not have strictly complied with the notice provisions under s38, a builder could maintain a quantum meruit claim for variations where the builder has accepted the owner’s repudiation of the contract. Conclusion The decision is good for builders in that it: ■ Grants a builder an ability to pursue a quantum meruit claim or a claim in contract in circumstances where a contract had been wrongfully terminated by the owner; and ■ In circumstances where a builder may not have followed the s38 variation procedure correctly (by not having all variations in writing and signed), and where the builder has had the contract wrongfully terminated, it will be entitled to the full value of the work performed on a quantum meruit basis which may exceed the balance of the contract value. A cautionary note, the Court of Appeal has recognised in previous decisions on this question that there have been some powerful criticisms of this principle, so accordingly this latest decision may yet be subject to an appeal, if granted, to the High Court.

Water Management Solutions Rainwater Tanks & Wastewater

Made to Measure Steel Tanks

Full range of COLORBOND colours available Australian made using quality Bluescope AQUAPLATE® Steel

S026 23111

Australian Standard AS4020 for storage of drinking water and carry watermark certiScation Our Size-a-lator allows you to quickly design a water tank and have it quoted.

Option to add an Evo MkIII pump built into your tank to cut install time by half.

Kingspan Slimline – Made to measure watertanks

Contact a Kingspan expert today:

1300 736 562

sales.au@kingspan.com kingspanwater.com.au

6782643ag

10 year construction warranty / 20 year warranty against corrosion

Don’t wreck it it! AustrAliA’s leAding temporAry surfAce protection coAtings

CR128338AA

Goop is an Innovative and unique way to protect a wide range of surfaces and products. Goop is a peelable temporary protective coating that rolls on like paint and peels off for easy removal. Goop Guys Australian made, non-hazardous products can be used to protect • Windows s e • Floors s i h c n rA f • Bathtubs e l B a l i a v a • Benchtops

Why external timber cladding remains acceptable for Class 2 and Class 3 Low-rise Buildings I

f your building surveyor questions the use of external timber cladding a low-rise project, this article provides you with the reasons why you’re within the requirements of the Code. A longer version of this article, quoting relevant sections of the Code is available on the WoodSolutions website (search for external timber cladding). A recent amendment to the National Construction Code (NCC) regarding the use of external wall claddings has led some people to assume that external timber cladding is no longer acceptable in Class 2 and 3 low-rise buildings. Boris Iskra, National Codes and Standards Manager for Forest and Wood Products Australia (FWPA) and a structural engineer with additional qualifications in building fire safety, argues that this is not the case. Following the recent devastating and tragic building façade fires, the NCC was amended to address the use of external cladding products on high-rise buildings. The amendment, NCC 2016 Volume One Amendment 1, contained

changes relating to ﬁre safety in high-rise buildings and the evidence of suitability. The existing mandatory provisions remain unchanged. Although the ban on the use of combustible cladding on mid- and high-rise buildings is clear, the use of timber cladding products on low-rise buildings is still permitted. However, interpretations of the Amendment have had unfortunate ﬂow on-effects for low-rise building developments which have caused unnecessary angst and uncertainty. Since the introduction of a “Concession” for timber-framed construction systems in 1994 (BCA 1990 - Amdt 7) for Class 2 apartment buildings and recently (NCC 2014) for Class 3 buildings, the use of timber products has been permitted as external timber cladding for 3-storey Class 2 and 3 buildings, and 4-storey if the lowest storey is constructed of concrete or masonry and used for car parking, under the Deemed-to-Satisfy provisions in non-sprinkler protected buildings.

The Concession also applies to 3-storey timber construction over a ground ﬂoor concrete/masonry carpark (4-storey total construction) as well as for Type B 2-storey timber construction or 2-storey timber construction over a ground ﬂoor concrete/masonry carpark (3-storey total construction). Whilst it is understandable that there has been some nervousness shown by building professionals in specifying external cladding materials and products, the NCC 2016 Amendment 1 does not change the Concession that permits the use of external timber cladding products on low-rise Class 2 and Class 3 buildings that has been in the Code since the mid-90s. The WoodSolutions Design Guide 2 Timber-framed Construction for Multiresidential Buildings – Class 2 & 3 is available for free download at www. woodsolutions.com.au/publications. For more information about this article, please contact Boris Iskra, National Codes and Standards Manager, at info@woodsolutions.com.au.

Low-rise cladding in question? Wood is still the answer. A recent amendment to the National Construction Code (NCC) regarding the use of external wall claddings has led some people to assume that external timber cladding is no longer acceptable in Class 2 and 3 low-rise buildings. If your building surveyor, certifier or design professional questions the use of external timber cladding in a low-rise project, don’t worry, you are within the requirements of the Code. For more technical information, see the article in this magazine, go to woodsolutions.com.au and search for Timber Cladding or use the QR code on this page. Page 51

MASTER BUILDERS VICTORIA

ADVERTISING FEATURE

Steel Blue supporting the community Steel Blue is a 100% Australian owned business that has experienced strong growth since operations began in 1995. Thanks to a series of clever innovations, such as our Trisole® Comfort Technology and Ortho Rebound® Footbed, we’ve become Australia’s leading supplier of work boots, offering premium safety, durability and our unmatched 100% Comfort Guarantee. Product innovation As a leader in safety, we strive to stay at the forefront of the innovative technology to give you premium comfort, durability and safety. Because good work boots mean being able to get the job done. Boasting a comprehensive research and development team, Steel Blue were the first to develop Tri-Sole™ Comfort Technology, a unique three density soling system offering a high level of comfort, shock absorbency and energy return, that reduces foot fatigue and

help protect the foot against stress-related injury to the ankles, knees, hips and lower back. Steel Blue is also the first (and only) Aussie safety boot manufacturer that’s endorsed by the Australia Physiotherapy Association. Warranties Our innovative approach is backed by our 30-Day Money Back 100% Comfort Guarantee and a 6 Month Manufacturer’s Warranty. Supporting the community We have a commitment to being socially conscious and seek out partnerships with organisations and initiatives that are important to our wide community of boot wearers, including: ■ beyondblue: Steel Blue is a proud Supporting Partner of beyondblue by taking steps to reduce the stigma of mental health in Australia and support everyone affected by anxiety, depression and suicide. Ten dollars

from every pair of men’s and limited-edition ladies Blue Boots sold is donated to beyondblue. To date, over $150,00 has been raised for the beyondblue support service. ■ Breast Cancer Care WA: Steel Blue has been a proud Supporting Partner of Breast Cancer Care WA for 11 Years. Steel Blue donates $10 from every pair of Pink and Purple boots sold directly to Breast Cancer Care WA, an organisation that provides caring, emotional, practical and financial support to those affected by breast cancer, and their loved ones. To date, over $1.2M has been raised. The packaging for our fundraising range of boots includes important information to further educate and drive awareness of our key partners and their vital work in our community. To find out more and your nearest Steel Blue stockist, visit www.steelblue.com

MASTER BUILDERS VICTORIA

SOCIALS

MASTER BUILDERS

OUT & ABOUT HAPPY CANDIDS FROM THE GIPPSLAND GOLF DAY

Events Manager Lisa Sacco revels in the support of our sponsors.

MASTER BUILDERS VICTORIA

SOCIALS

Matthew Guy MP says industrial manslaughter laws are not on his agenda.

The leading construction industry software in Australia BEAMS was designed speciﬁcally for the construction industry, playing a major role in the operation of small businesses and large corporations for almost 30 years.

6745453aa

Features include; • CRM with direct email leads and customer portal. • CAD Image for fast accurate on screen take offs. • Quotes Register and auto Addenda selections. • Purchase Orders and integrated Variations. • Progress Claims, Percentage Claims and Retentions. • Full Accounting including auto BAS, Cashﬂow and WIP. • Job Cost control with security settings for overpayments. • BEAMS Mobile for onsite construction time line scheduling. • Document Storage for emails, letters, images etc. With BEAMS there is no need to switch between other programs as Beams includes it ALL. BEAMS Flows seamlessly from one section of the program to the next, saving time, reducing erosion and increasing PROFITS.

1300 040 446

www.beamsbuild.com.au

MASTER BUILDERS VICTORIA

ADVERTISING FEATURE

Why you should engage a specialist for your next outdoor kitchen project

imeTree Alfresco specialise in creating outdoor kitchen environments that are built for a lifetime of outdoor entertaining. We aim to improve outdoor living, by providing the customer with quality products. With 25 years in the building industry and 400+ projects completed, the company have been refining the raw materials that go into creating your alfresco kitchen with the best quality guaranteed. LimeTree Alfresco will work with you to design your ideal alfresco kitchen suiting your individual needs. From bench and cupboard space to the fridge, splash backs and appliances, we can provide you with it all. Our management and installation team have over 100 years combined experience in the building industry that we bring to all our outdoor kitchen project installations. Designed to sustain any weather conditions Limetree Alfresco Kitchens specialise in building outdoor entertainment that is durable to all weather conditions, so your options aren’t limited. Whatever design you go with, our installations are built to withstand the elements throughout every season, with heat and water-resistant materials that can stay out in the open without shelter, and still retain

quality over time. This helps reduce your maintenance needs and means your alfresco kitchen is ready to be enjoyed when the weather permits. Compliance Regulations around outdoor kitchens are changing regularly. Clearances to combustible materials, adequate ventilation and a minimum 1200mm clearance to BBQ rangehoods are just some regulations that have changed recently. As a specialist we are constantly on top of key compliance requirements. Versatile Design While there are countless options of custom kitchen cabinets available with LimeTree Alfresco, there are endless ways to design an open-air kitchen and we will tailor our service to effectively use the space available. Complete customisation is well within our capability and we can add the final touch to the overall aesthetic range of different colours and finishes. Outdoor Living with BBQ Kitchens Outdoor kitchens are our life. We live and breathe the Aussie BBQ and bringing it into the modern era of design and function. We can individualise each kitchen to our customer’s needs with a variety of options to

effectively build the perfect outdoor alfresco. From a fridge and sinks to waterproof cabinets, the area can be fully customised to meet all requirements and achieve the ultimate in open-air leisure and entertainment. Alfresco Kitchens Fully featured outdoor kitchens with all the bells and whistles. You’ll never need to use your indoor kitchen again! We can help you plan a layout and help with inspiration to compliment your home in the best way possible. From waterproof cabinets to BBQ areas, we can design the space however you like. Whether you want to relax or entertain, our team has the expertise and experience to create a variety of outstanding alfresco outdoor kitchens to transform your Melbourne home. Warranties When sourcing our raw materials and products for our outdoor kitchen projects, a key factor in procurement is the warranty offered on a particular material, finish or appliance. All BBQs built in must have a minimum of a 10 year firebox warranty as an example. UV stability and moisture proof warranties of a minimum 10 years are now standard manufacturers inclusions on all of our exterior surfaces.

LimeTree Alfresco specialize in creating outdoor kitchen environments that are ‘built for a lifetime of outdoor entertaining’. BBQ Kitchens | Outdoor Kitchens Alfresco Kitchens Experience the Limetree difference

From the very first moment that we arrive on site you will be comfortable that you have chosen the right team to design, construct and deliver your Outdoor Entertaining space.

CR130816AA

• 3D Rendered drawings and floor plans with each quote • 100% Waterproof cabinetry. • All weather products – designed for outdoor. • 10 Year UV warranty all exterior surfaces. • Designer colour range

Phone: 1800 119 115 Show Room: 2/95 Brunel Rd, Seaford VIC 3198 Show Room: BBQ’s Plus 437 Graham St Port Melbourne VIC 3207

Advertorial

Shower Power

To retro-ﬁt existing bathrooms, the Therm'Oz

Bathrooms are increasingly dedicated, quite simply, to the art of bathing. Today's bathrooms are all about relaxation, pampering, and luxury, and clever manufacturers are delivering a range of exciting new products designed to enhance the bathing experience

'Reno Kit' converts an existing manual two-tap

The all-new Therm Oz Showers Thermostatic Shower Valve mixer promises to transform the daily shower by eliminating those annoying water temperature ﬂuctuations that occur when other taps in the house are turned on. This product, which is set to become a must have inclusion for modern family homes, mixes hot and cold water to a set temperature of 38°C, and this temperature is maintained even when other taps, toilets or washing machines are in use. A safety override button on the left handle allows the temperature to be safely and easily adjusted to anywhere between 20 to 45 degrees.

requiring any alterations to pipework or tiling. For new bathrooms, choose the 'New Build Pack' which comes complete with ﬁxing bracket. Both packs are supplied with an adjustable chrome slide rail, hose, hand-set and soap dish. Both Reno Kit and New Build Pack are available with or without the shower slide rail kit.

RENO KIT Replaces a 2 tap manual shower RK001 RENO KIT (With Slide Rail, Hose & handset) RK-CT100 RENO KIT (Without Slide Rail. Hose & handset) NEW BUILD PACK for new pipework installations NB001 NEW BUILD PACK (With Slide Rail, Hose & handset) NB-CT100 NEW BUILD PACK (Without Slide Rail. Hose & handset)

0439 992 011 www.therm-oz.net.au Page 58

6899314aa

With cool touch technology, the surface temperature of the mixing valve is safe to touch or hold while showering. And, if the cold water supply were to fail, the shower would instantly shut off to prevent any chance of scalding. Therm-Oz is not an electrical product; it is simply a more efficient way of mixing hot and cold water, Therm-Oz Showers Thermostatic Shower Valves are manufactured to Australian Standard AS4032.4, have WaterMark certiﬁcation and feature a three-star WELS rating.

shower into a thermostatic shower, without

Page 59

MASTER BUILDERS VICTORIA

NEW MEMBERS

MASTER BUILDERS

NEW MEMBERS

• Supplier and Installer • Commercial and Domestic Projects

Call 03 9874 7142

154 - 156 Rooks Road, Nunawading, VIC 3131 enquiries@mitchamtilecentre.com.au www.mitchamtilecentre.com.au

• Two level showroom with a variety of quality floor and wall tiles • Full bathroom renovations to suit every budget

6892577aa

CONGRATULATIONS ON JOINING MASTER BUILDERS VICTORIA

MASTER BUILDERS VICTORIA

NEW MEMBERS

General Contractor 8 Projects Pty Ltd AMS Constructions Pty Ltd D W I Pty Ltd Denttan Pty Ltd Mantec Projects Pty Ltd MCDAS Projects Pty Ltd General Contractor Provisional Ryan Sims Supa Construct Pty Ltd Housing Benego Constructions Pty Ltd BMS Builders Pty Ltd Built QA Dexton Developments Pty Ltd Elevate Building Group Pty Ltd Energent Pty Ltd Ethan Homes Pty Ltd Evergrande Homes Pty Ltd Goldfield Cooperation Pty Ltd Hutto Built LSKS Developers Mango Property Construction Pty Ltd MJS Built Pty Ltd Morea Pty Ltd Nine in Six Builders Pty Ltd Planco Construction Pty Ltd Prestige Architectural Homes Pty Ltd Shanbuild Pty Ltd Simon Grieve Tent Construction Group Pty Ltd Timothy Price Tricon Homes Pty Ltd Zeta Building Group Pty Ltd

Housing Provisional Andi Sawa Bikramjit Singh Burnett Carpentry Cameron Richards Extreme Measures Joinery & Construction Filmer General Construction Pty Ltd Fincher Constructions Greenpatch Group Pty Ltd Harris Builder & Co Pty Ltd Harrison Chambers Construction Indika Wijayanandana Leonard Watterson M.I.M Steelfixing Martin Boswell Constructions Pty Ltd Michael Michael Nash Built Pty Ltd Nathan Gary Waite Paul Gallo Rajesh Maharjan Ridd Builders Russell Fagan S & E Pascoe Skyline Builders & Developers South East Building Solutions Thomas Teunissen Turewicz Constructions Pty Ltd Housing Sub-Contractor Derek Freeman Fresh Look Projects Pty Ltd Jac's Bricks & Constructions Polimix Pty Ltd Procat Demolition & Excavation Pty Ltd Sang Hlun Par

Master Tradesman Property Belle Pty Ltd The Outdoor Society Pty Ltd Master Tradesman Provisional Australian Diggers Reblocking & Underpinning Pty Ltd Budding Builders Frank Faoro James Yates Jarrah Loving LC Scapes MDW Paving & Landscapes Melbourne Deck Kings Paul's Home Maintenance and Repairs Peter Paraskevas SJM Building & Construction Pty Ltd TLC Construction & Maintenance Materials, Manufacturing & Supply Parex Davco Specialist Contractor Absolute Brilliance Glass Bricks Pty Ltd Buildcon Clean Civilstruct Corbell East Formwork Pty Ltd Estate Plastering Pty Ltd Geelong Concrete Pumping GETC Consolidated Industries Pty Ltd NewGen Projects Pty Ltd Nivek Group Pty Ltd Recon Interiors Pty Ltd Total Comfort Plumbing Services Pty Ltd Student Louis Hilz

MASTER BUILDERS VICTORIA

CALENDAR

MASTER BUILDERS 2018

EVENTS CALENDAR NOVEMBER

20 | Board of Management Meeting Master Builders, East Melbourne 20 | North West Members Meeting Commercial Hotel, Swan Hill 21 | Bendigo Section Breakfast Meeting Bendigo 24 | National Awards Adelaide Convention Centre 27 | Council of Management/AGM Master Builders, East Melbourne 27 | Geelong Section Meeting Grovedale Hotel, Geelong 27 | Presidentâ&#x20AC;&#x2122;s Dinner The Metropolis, Southbank

DECEMBER

05 | Wimmera Section Break up Horsham 05 | Mornington Group Meeting Break up Mornington 05 | Bendigo Section Break up Bendigo.