Construction Economist Journal - Winter 2012

CONSTRUCTION ECONOMIST WINTER 2012

The Journal of the Canadian Institute of Quantity Surveyors Le Journal de l’Institut canadien des économistes en construction

2013 AGM PM 40065075

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ciqs.org

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CONSTRUCTION ECONOMIST WINTER 2012

The mission of CIQS is to promote and advance professional quantity surveying and construction estimating; to establish and maintain national standards; to recruit, educate and support our members.

Canadian Institute of Quantity Surveyors 90 Nolan Court, Unit 19, Markham, ON L3R 4L9 t. 905/477.0008 f. 905/477.6774 toll free. +1 866/345.1168 e. info@ciqs.org www.ciqs.org

Executive Director Lois Metcalfe. ........................... . . . . . . execdir@ciqs.org Editor Joshua Mutize, PQS.................... . . conecon@ciqs.org Translation André Bernard, ECA Send Change of Address to: Canadian Institute of Quantity Surveyors 90 Nolan Court, Unit 19, Markham, Ontario L3R 4L9

CIQS Council President: Mark Russell, PQS(F) 1st Vice President & CIQS - Maritimes Rep: Mark Gardin, PQS 2nd Vice President and CIQS – Prairies and NWT Rep: Dave Burns, PQS

The Journal of the Canadian Institute of Quantity Surveyors Le Journal de l’Institut canadien des économistes en construction

Features Matching design uncertainty with contractual compensation mechanisms. . . . . . . . . . . . . . . . . 14 CIQS updates the Recommended Fee Schedule. . . . . . . . . 17 Le congrès et l’AGA de l’ICÉC-National 2013 . . . . . . . . . . 18 The 2013 CIQS AGM and Congress. . . . . . . . . . . . . . . . . . 19 Construction cost trends. . . . . . . . . . . . . . . . . . . . . . . . . . . . 20 Canada Public Works projects. . . . . . . . . . . . . . . . . . . . . . 25

14

Secretary/Treasurer & CIQS – British Columbia Rep: Roy Howes, PQS Registrar and CIQS – Ontario Rep: Chris Court, PQS CIQS - Québec Rep: Jean Paradis, ECA Past President & CIQS - Newfoundland and Labrador Rep: Roy Lewis, PQS(F) Education Administrator: David Lai, PQS(F)

Statements of fact and opinion expressed are those of the authors and CIQS assumes no responsibility for the content, nor do they represent official policy of CIQS. Published four times a year on behalf of the Canadian Institute of Quantity Surveyors by

Third Floor - 2020 Portage Avenue Winnipeg, Manitoba R3J 0K4 Tel: 866-985-9780 Fax: 866-985-9799 info@kelman.ca www.kelman.ca Managing Editor. ........................ Chris Kelman Art Design/Production. ............. Jackie Magat Advertising Coordinator. ...... Stefanie Ingram Marketing Manager. .................. . . . Kris Fillion kfillion@kelman.ca 866-985-9798 Publication Mails Agreement #40065075 Send undeliverable addresses to: lauren@kelman.ca

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Departments

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 Executive Director’s message. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 Editor’s message . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 Education updates . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9 CPD Corner . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10 Welcome new members. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12 Industry news. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 27 President’s message. .

OUR CONCERN FOR THE ENVIRONMENT IS MORE THAN JUST TALK This magazine is printed on Forest Stewardship Council® (FSC®) certified paper with vegetable oil-based inks. Please do your part for the environment by reusing and recycling.

President’s Message

New CIQS website close to launch

B

y the time you receive this edition of the Construction Economist we will be into 2013, so let me take this opportunity to wish each and every reader a healthy, prosperous and exciting New Year.

You might have noticed that I said ‘reader’ and not ‘member.’ The reason being is that this longstanding publication is not read solely by the CIQS membership, but also by various other members of industry across the country and, from this edition onward, to other contacts internationally.

The distribution list for Construction Economist reads like a ‘Who’s Who’ but this just goes to show that it is not just the membership that likes to take an interest into what is going on in the world of Canadian Quantity Surveying.

So, what is going on in the world of Canadian Quantity Surveying? Well, a quick review of the September Council minutes show that the Business and Long Range Planning portfolio has come to a proverbial fork in the road. Anyone reading the minutes of the meeting in the Members Only area of the website will see the diagram drafted up by Mark Gardin.

You cannot fail to see that the Institute is stretched on a number of fronts and that assistance will be required, from others more experienced in these matters, to guide us through the next two years, five years, 10 years and beyond. Where are we going? What are our aims and objectives?

Are they still the same now as they were in 1959? Thankfully our fundamentals remain strong, but we need to be aware that things are changing, and we need to be fluid and adaptable in order to keep up.

Talking of change, the new Not-ForProfit Act is coming into effect in mid2014, and we have realized that we have a lot of ground to cover prior to the Act coming in to force. “What kind of implications can there be?” I hear you ask,

Mark Russell, PQS(F)

An informative and modern website is one of the most critical marketing and promotional aspects of any organization today. well, I was of the same mindset prior to looking into this legislation in detail. The impacts are far reaching and have actually got us questioning what the aim is for the Institute – are we an Association of Associations, an Associations of Individual Members, or both? Right now we are both, and this could prove to be problematic for the Institute if we stay the course when the new legislation comes in. A session was held with CIQS legal counsel as part of the December Council meetings and we have a lot of work to do prior to the next AGM. The December Council meetings also brought about a change in tradition. Due to a heavy workload, Council opted not to take part in Construct Canada this year.

CIQS were still well represented at the show, with Executive Director Lois Metcalfe and Administrative Assistant Ishrat Alidina hosting at the booth, but Council decided at our September meeting in Calgary that we would be best served by focusing on the business of the Institute on a different weekend. This was a wise decision; however, I hope that we can get back to having Council at the event next year.

We are close to launching the new CIQS website. This portfolio is quite demanding and the efforts put in by past Website Chair, Bertin Bois, and by current Website Chair, Dave Burns, deserve praise. The old website had served its purpose and the new website has to incorporate a host of new and exciting possibilities. Social media, smartphone browsing capability, video conferencing and interactive CPD forms would have been in the realms of fantasy when the last website was launched, but are now staples in the new version. An informative and modern

4 | CONSTRUCTION ECONOMIST | www.ciqs.org | Winter 2012

website is one of the most critical marketing and promotional aspects of any organization today and is usually your first interaction with the world at large. What is the first thing you do when you receive someone’s business card? You check out their website. As an organization, we need to ensure that the new website is a multifunction tool. It has to act as an online promotional brochure for the Institute, be easily accessible to the membership, give information to potential clients, and be used by Council for everyday business.

What was I saying about change?

In other matters, I was invited by the CEEC (European Council of Construction Economists) to attend their Fall meeting in Paris, France. The Council consists of representatives from most of the European nations. This type of forum allows us all to have meaningful discussions on how to approach and deal with issues surrounding the Profession.

The spirit, engagement, dialogue and camaraderie during the weekend’s events were quite profound and I look forward to a productive and meaningful working relationship with this diverse and dedicated group of fellow Professionals.

Looking forward to other events, this year sees the CIQS AGM being held in Montreal, QC. The last CIQS AGM in Quebec was in Quebec City and it was a great success. Montreal is a wonderful city and the CIQS-Quebec members are enthused about hosting another AGM. We can be assured of a convivial atmosphere once again in La Belle Province, and I would encourage every member - and every reader - to come and join us for what is shaping up to be a great AGM.

Message du Président

Nous sommes à la veille de lancer notre nouveau site Internet

L

orsque vous recevrez cette édition du «Construction Economist» nous serons déjà en 2013, alors permettez-moi de saisir l’occasion de souhaiter à chacun et tous nos lecteurs santé, prospérité et une excitante nouvelle année.

Vous aurez probablement remarqué que j’ai dit «lecteur» et non «membre». C’est que cette durable publication n’est pas seulement lue par les membres de l’ICÉC, mais aussi par d’autres membres variés de l’industrie à travers le pays et, à partir de cette édition, par d’autres contacts à l’international. La liste de distribution pour le «Construction Economist» se lit comme un “Who’s Who” mais cela ne fait que démontrer qu’il n’y a pas que les membres qui sont intéressés à ce qui se passe dans le monde de l’Économie de la construction canadienne.

Alors, que se passe-t-il dans le monde de l’Économie de la construction canadienne?

Bien, une brève revue du compte-rendu du Conseil de septembre montre que le dossier d’Affaires et de Planification à long terme s’est retrouvé à une proverbiale croisée de chemins. Quiconque lisant le compte-rendu dans la section réservée aux membres de notre site internet verra le diagramme élaboré par Mark Gardin.

On ne peut manquer d’y voir que l’Institut s’affaire sur de nombreux fronts et que de l’aide sera requise de personnes plus compétentes en la matière, afin de nous guider tout au long des prochains 2 ans, 5 ans, 10 ans et plus loin. Ou allons-nous?

Quels sont nos buts et nos objectifs? Sontils le mêmes actuellement qu’ils étaient en 1959? Heureusement, nos fondamentaux restent forts, mais nous devons être conscients que des choses changent, et que nous devons être fluides et adaptables afin de nous tenir à jour.

Parlant de changement, la nouvelle loi des «Sans buts lucratifs» prendra effet à mi-2014, et nous avons réalisé que nous

avons beaucoup de chemin à parcourir avant que la loi entre en vigueur. Je vous entends dire «Qu’est-ce que cela implique?» Eh bien, j’étais dans ce même état d’esprit avant d’avoir pris connaissance en détail du texte de loi. Les impacts sont de grande portée et nous ont fait nous questionner sur les buts de l’Institut - sommesnous une Association d’Associations? Une Association de membres individuels, ou les deux? Actuellement, nous sommes les deux, et cela pourrait poser problème à l’Institut si nous restons comme tels lorsque la loi entrera en vigueur. Nous avons tenu une session de travail avec nos conseillers légaux au cours des réunions du Conseil de décembre et nous avons beaucoup à faire d›ici la prochaine AGA. Les réunions du Conseil de décembre ont aussi apporté un changement dans la tradition. À cause d’un agenda chargé, le Conseil a choisi de ne pas participer cette année à «Construct Canada». L’ICÉC était bien représenté à l’événement par la Directrice exécutive Lois Metcalfe et l’Assistante administrative Ishrat Alidina qui s’occupèrent du kiosque, mais le Conseil avait décidé à la rencontre de septembre à Calgary qu’il serait préférable de nous concentrer sur les affaires de l’Institut à une autre fin de semaine. Ce fut une sage décision; toutefois j’espère que nous pourrons de nouveau tenir la réunion du Conseil durant cet événement l’an prochain.

Nous sommes à la veille de lancer notre nouveau site Internet. Ce dossier est très exigeant et les efforts déployés par l’ancien responsable du site, Bertin Bois et l’actuel responsable, Dave Burns, méritent nos louanges. L’ancien site Internet avait fait son temps et le nouveau site Internet doit incorporer un éventail de nouvelles et excitantes possibilités. Média sociaux, accès aux téléphones intelligents, vidéo conférence et formulaires «CPD» interactifs auraient été une fantaisie quand l’ancien site Internet fut lancé, mais sont présents

dans la nouvelle version. Un site Internet informatif et moderne est de nos jours l’un des plus critiques outils de promotion et de marketing de toute organisation et est habituellement notre premier outil d’interaction avec le monde.

Quelle est la première chose que vous faites lorsque vous recevez la carte d’affaires de quelqu’un? Vous allez visiter son site Internet. Comme organisation, nous devons nous assurer que notre nouveau site Internet est un outil multi fonctionnel. Il doit être comme la brochure publicitaire en ligne de l’Institut, être facile d’accès aux membres, donner de l’information aux clients potentiels et être utilisé par le Conseil dans ses affaires quotidiennes. Qu’est-ce que je disais à propos de changement?

Sur un autre sujet, j’ai été invité par le CEEC (Conseil Européen des Économistes de la Construction) à assister à leur rencontre de l’automne à Paris, France. Le Conseil est composé de représentants de la plupart des nations européennes. Ce type de forum permet à tous de tenir des discussions significatives sur comment approcher et traiter des sujets qui touchent la Profession. L’esprit, l’engagement, le dialogue et la camaraderie durant la fin de semaine de l’événement furent très approfondis et j’envisage une relation productive et significative avec ce groupe de professionnels semblables, diversifiés et dédiés.

Parmi d’autres événements à venir cette année, il y a l’Assemblée générale annuelle (AGA) de l’ICÉC qui se tiendra à Montréal, QC. La dernière AGA de l’ICÉC à se tenir au Québec s’est déroulée dans la ville de Québec et ce fut un réel succès. Montréal est une ville merveilleuse et les membres de l’ICÉC-Québec sont enthousiastes à tenir une prochaine AGA. Nous pouvons être assurés d’une atmosphère conviviale encore une fois dans La Belle Province, et j’encourage chacun des membres - et chaque lecteur - à venir nous rejoindre à ce qui s’annonce être une AGA mémorable.

Winter 2012 | www.ciqs.org | CONSTRUCTION ECONOMIST | 5

Executive Director’s Message

Construct Canada a success once again

Lois Metcalfe

O

nce again, CIQS exhibited at the 2012 Construct Canada show. Construct Canada is Canada’s largest construction exposition and conference with over 20,000 visitors in attendance including architects, builders, contractors, engineers, quantity surveyors, estimators and specifiers along with building owners, facility managers, property managers and interior designers.

Featuring over 450 speakers, the seminar program focused on a wide range of educational sessions on improving project delivery and smart business practices, leading edge technology for project design, green buildings, building environments and performance, building envelope solutions, legal, regulatory and risk management, professional and personal skills development and design trends for building interiors.

This year at the show we were pleased to distribute the 6th edition (English version) of our new Recommended Fee Schedule. This edition offers an extensive list of building types, categorized into seven groups, with Category One being

the simplest and Category Seven being the most difficult. In turn, the Recommended Fee Schedule is presented with a range of possible fees reflecting the complexity of the project. Another key change responds to one of the most popular questions that CIQS receives from both members and non-members regarding the Classes of Estimates. Included in this edition, is a detailed description of each Class of Estimate, the defined stage of design by percentage complete for each estimate, and a listing of the minimum information required to develop the estimate.

As I write this message, we are finalizing the French version of the Recommended Fee Schedule. By the time you read this magazine, both the English and French version will be available for download on our website.

Thanks to all our consultant quantity surveying firms who provided comment on the document with particular thanks to James Vermeulen, PQS and Mark Gardin, PQS who spent an enormous amount of time producing this document.

Wishing all members and their families a wonderful and prosperous new year!

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6 | CONSTRUCTION ECONOMIST | www.ciqs.org | Winter 2012

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Editor’s Message

2013 Canadian construction forecast

A

s we begin first quarter of 2013, all economic indicators are strongly suggesting a healthy 2013 construction industry. Moderate construction spending is expected throughout 2013 and is expected to rise sharply in spring 2013. Although material escalations and labor shortages in some Canadian provinces may continue to pose challenges, the instabilities in Europe will continue to provide windfall to the Canadian market.

US economy is showing a strong comeback from the recession. This will help continue to keep the Canadian

growth strong and stable permitting increased construction spending.

In the fourth quarter of 2012, the four largest quarterly price changes among the main commodities used in construction were all increases: one in the mechanical group, one in the architectural group, one in the ‘other’ group and one in the structural group.

The largest increase was in pipe fittings, rubber or plastic (+7.1%), followed by carpets in rolls (+5.9%), diesel fuel (+5.3%) and sheet, strip and plate, carbon steel, hot rolled (+4.3%).

The Machinery and Equipment Price Index (MEPI) declined by 0.91% in

US economy is showing a strong comeback from the recession. This will help continue to keep the Canadian growth strong and stable permitting increased construction spending.

Joshua Mutize, PQS

the fourth quarter compared with the previous quarter. The import component declined by 1.4% over this period while the domestic series was unchanged.

Compared with the fourth quarter of 2011, the total MEPI decreased by 2.4%, with the import component declining 4.1% while the domestic component increased by 0.9%.

Construction costs for electric utility distribution systems series increased by 3.1% during the third quarter of 2012 compared with the 2011 annual index. Higher costs for labour (+6.7%) and construction indirect (+3.1%), which includes engineering, administration and overheads, were the major contributors to the advance in the index.

For more information, please read the article on construction trends on page 20.

Source – Weighted average commercial databases and other raw data from Canada Statistics.

Congratulations to the following members who have qualified as a PQS or CEC (including reinstatements): CIQS – Ontario Firas Abou-Zaki, PQS Paul Campbell, PQS Darren Cash, PQS Xiao Tien Chen, PQS Jermaine Chin, PQS Teofilo Dela Cruz, PQS Melchor Fabro, PQS

Abdulkadir Farah, PQS Hilary Fernando, PQS Che Romaine Golding, PQS Leo M. Gutierrez, CEC Mohamed Khalifa, CEC Michael McCarthy, PQS Ariel Navarro, CEC Donal O’Shea, PQS

8 | CONSTRUCTION ECONOMIST | www.ciqs.org | Winter 2012

CIQS – British Columbia Lillian Ching, CEC Steven McIver, CEC CIQS - Quebec Caroline Forget, ECC Carmen Huiu, ECC Abdellah Ouahioune, ECC Joachim Parant, ECC Liliane Nawfal, ECC

CIQS – Prairies and NWT Daniel Darko, PQS Atef Matta, PQS Raymond Landry, PQS Jason Pocock, PQS CIQS Members at Large Olawale D. Abereoje, PQS Anil Dissanayake, PQS Martin Lyria, PQS Sobiram Thapa, PQS

Education Updates

David Lai, PQS (F)

S

Signed, sealed and delivered

igned, sealed and delivered was the message we received in early December 2012 regarding the status of the Memorandum of Understanding that was signed in 2009 between the British Columbia Institute of Technology (BCIT), the Vancouver Regional Contractors Association (VRCA), CIQS – BC and the CIQS. The final phase of this MOU was the approval of the proposed Construction Estimating Certificate program in December 2012 by the BCIT Board of Governors. BCIT plans to offer this program in early 2013. This is the first construction estimating program that was designed specifically to meet our Construction Estimator Certified (CEC) academic requirements and as such it has been approved by the CIQS Council as the first ‘CEC Accredited’ program in Canada. Congratulations to the teams from CIQS – BC and BCIT who worked tirelessly to achieve this milestone.

Special mention must be made of Mr. Andrew Collins PQS (F) who was very much involved from day one and who was very instrumental in the success of this venture.

The final examination session for 2012 was completed in November 2012. The examinations are being processed and the results compiled.

The winners of the 2 special awards will be announced in the next issue of the Construction Economist. Overall the number of candidates and the number of examinations papers sat remain steady at 70 candidates sitting a total of 125 examinations. Of the 70 candidates, 26% were from the Western Affiliates, 21% from the Eastern Affiliates, 44% from CIQS – Ontario and 9% were international (CIQS at large members).

This is the first construction estimating program that was designed specifically to meet our CEC academic requirements.

The TPE diary requirements are currently under review. The aim of this review is to reduce any restrictive conditions without compromising our high standard. The review is being undertaken by the newly formed National Education & Membership Committee and it is hoped that the review will be completed in time for approval at the next CIQS Council meeting in Spring 2013.

Based on earlier decisions by CIQS Council, the following Education Policy Guidance Notes have been updated: • Note #A10 – Grading of Examinations. The pass mark for all examinations is now 60%.

• Note #B6 - TPE Routes 6 & 7 Direct Finalist Requirements for PQS & CEC. This was changed to reflect the 60% pass mark and the addition of exam C304 – Contract Administration to the CEC requirements and C309 – Development Economics to the PQS requirements.

• Note #B11 – CCA Gold Seal Certified Estimator Requirements for PQS. These requirements are identical to Note #B6 above.

The complete details of the Education Policy Guidance Notes are available in the Members Only section of the CIQS website.

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Winter 2012 | www.ciqs.org | CONSTRUCTION ECONOMIST | 9

CPD Corner

New CPD form available

I

f you have been following this column on a regular basis, you are very aware CIQS has recently made modifications to the CPD form. The changes came about from suggestions, comments and concerns from our members and Council and through a review of the program by the committee.

To recap the changes, the first change CIQS implemented was the inclusion of CPD activities related not only our profession but to activities related to our industry. This opens up the many CPD opportunities and activities that may not have been available to members in the past.

I encourage all members to embrace CPD and life-long learning and seek out all opportunities to participate in activities that promote learning.

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The second change made this past year was eliminating the maximum amounts for all CPD categories except the professional activity category which remains at a maximum of 20 points.

This change is especially important to members who participate by assisting with writing examinations, writing articles and/or volunteering on chapter, affiliate or national boards.

With these changes, CIQS also thought it was a great opportunity to incorporate our new brand and showcase our new colours and logo into the form.

A downloadable copy of the new 2013 form is now available on the website.

In other CPD news, CIQS is working with our website provider to develop a CPD section for our new website. Features will include a listing of current CPD events, the CPD Guide, CPD FAQ’s, past CPD Corner articles and a secure area for members to enter and track their CPD points. Although there is a great deal of work to implement this module, we are certain this new technology will benefit our members in their pursuit of CPD. The start of the new calendar year also triggers the beginning of the 2011 CPD Audit process. The audit will randomly select 5% of active qualified members and audit letters will be sent out in mid-January. Members who have been selected have one month to fulfill the audit requirements. It is a simple process and should take no more than a few hours to complete.

I encourage all members to embrace CPD and life-long learning and seek out all opportunities to participate in activities that promote learning. Not only will it benefit you – the individual member, it also benefits your employer, CIQS and the profession of quantity surveying.

CPD Corner

CIQS 2013 CPD POINT FORM CATEGORY

CPD POINTS

Professional Activity Professional QS work within the scope of practice: construction estimators, construction and project managers, contracts management, employment in the duties of cost and construction within government departments, banks, insurance, developers, hospitality industry, suppliers, manufacturing, educators, industry associations.

20 hours of professional work equals 1 CPD point up to a maximum of 20 CPD points per year.

Formal Activity Structured courses provided by universities, colleges, industry and technical societies, etc. related to the industry.

1 hour of formal learning equals 2 CPD points

Informal Activity Unstructured courses – self-directed study, conferences, technical sessions, seminars related to the profession.

TOTAL HOURS

POINTS EARNED

1 hour of informal learning equals 1 CPD point

Participation Service on QS boards and committees, or other boards and committees related to the industry.

1 hour of professional participation equals 1 CPD point

Presentation Technical and professional presentations at conference meetings, workshops, seminars and courses related to the profession.

1 hour of formal technical equals 2 CPD points

Contribution to QS Knowledge Base Activities that expand or develop technical knowledge such as development of exams, courses, published papers and articles, etc.

1 published paper / article course / exam equals 15 CPD points

MINIMUM REQUIRED PER YEAR

DESCRIPTION OF MEMBER’S ACTIVITY

50 PTS

ATTACH ADDITIONAL SHEETS AS NECESSARY

YEAR: January 1, 2013 to December 31, 2013

NAME:

ADDRESS:

TELEPHONE:

EMAIL:

DIPLOMA NUMBER:

DATE OF BIRTH (day/month/year):

SIGNATURE:

Please complete this form to calculate your CPD points and retain in your personal files in the event of an audit.

You are NOT required to send this form to CIQS or your affiliated association.

Winter 2012 | www.ciqs.org | CONSTRUCTION ECONOMIST | 11

New Members

The CIQS would like to welcome the following new members (Including Reinstatements): A

Firas Abou-Zaki, International Project and Construction Management, Brampton, ON Akinmolu Akinbuwa, Saskatoon, SK

B

Ganiyu Babatunde, Gabadan Properties Limited, Abuja, Nigeria Lowell Mitchel Basa, Mississauga, ON Dwight Baugh, Picon & Associates Limited, Kingston, ON Guillaume Bell, Québec, QC Robert Bellini, LoadPath Industrial, Burnaby, BC Stephan Blank, Squamish, BC Christopher Boehme, Calgary, AB Robert Brljak, Barrick Gold Corporation, Toronto, ON Haythem Bseyhia, Montréal, QC Avree Bujaczek, Calgary, AB

C

Murat Caliskan, Woodbridge, ON Darren Cash, BTY Group, Toronto, ON Poovanna Chenanda, Oakridges General Contracting, Maple, ON Kenneth Cheung, Altus Group Limited, Vancouver, BC Ismael Conge, Abco One Corporation, Richmond Hill, ON

D

Olanrewaju Dairo, Halabab Consulting Ltd., Fort McMurray, AB Chadi Darwish, Calgary, AB Yogie De Guzman, Engineer’s Office, Dubai, United Arab Emirates Champika Deshapriya, Brampton, ON Gordon Dewar, Toronto, ON Oxana Dolgaliova, Montréal, QC

E

Mouhab Elwaer, Montréal, QC Laura Evans, Burnaby, BC

F

Abdulkadir Farah, Toronto, ON Fabio Fiorentino, Winnipeg, MB James Fukuri, Niagara Falls, ON

G

Jorge Gamboa, Toronto, ON Jason Giovannetti, Grimsby, ON Karl Goodwin, Kinetic Construction Limited, Courtenay, BC Ven Guerra, BTY Group, Calgary, AB

H

Keerthi Hill, Scarborough, ON Alfred Hopmans, St. Catharines, ON Sayed Pouriya Hosseini, Vancouver, BC

J

Pascal Joannis, Québec, QC Sam Joseph, Alpeza General Contracting Inc., Mississauga, ON

K

Tenzin Kadan, Toronto, ON Jordan Kinnon, Calgary, AB Sandeep Kothari, Etobicoke, ON Riley Kynoch, Merritt, BC

L

Jorge Laba, Winnipeg, MB Danielle Lambert, Calgary, AB Nicolas Lauzier, Construction Demathieu et Bard, St-Jérôme, QC Phuoc Le, Toronto, ON Marcelo Lemos, Mississauga, ON Brandon Lisitza, Cochrane, AB Alison Locke, Calgary, AB Steven Luft, Calgary, AB

M

Liam MacIsaac, Red Deer, AB Ashutosh Mallik, Toronto, ON Stanislav Markovich, Piligrim Consulting Services Inc., Waterloo, ON Robert Martin, RKM & Associates Ltd., Barrie, ON Samuel Masiga, Winnipeg, MB Dorian Medlicott, Medlicott Homes, Fernie, BC Manish Mehta, Altus Group, Montreal, QC Frank Meneguzzi, Toronto, ON Sebastian Mountjoy, Calgary, AB

N

Gavin Nagawa, Cape Town, South Africa Arvin Narcise, Toronto, ON

Richardson Nazar, Davis Langdon, An AECOM Company, Dubai, United Arab Emirates Andrew Nguyen, Mississauga, ON Bao Nguyen, Mississauga, ON Michael Nyarko, Portsmouth, United Kingdom

O

Taiwo Odimayomi, Winnipeg, MB Saulo Oduor, Edmonton, AB Richard Oum, Chestermere, AB

P

Tom Parsons, Altus Group, Halifax, NS Nareshkumar Patel, Edmonton, AB Vijay Patel, Ajax, ON Logan Patience, Pacer Corporation, Calgary, AB Mark Pellerin, Ellis Don, Mississauga, ON Matt Poitras, Winnipeg, MB Dominique Poulin-Tan, A.W. Hooker Associates, Oakville, ON Sebastian Putzke, La Salle, MB

R

Kimona Ralph, Toronto, ON M’hamed Rezali, Scarborough, ON Colin Richards, Winnipeg, MB Alistair Robitaille, Toronto, ON David Romans, DS Romans Construction Corp, Okotoks, AB

S

Amir Sadri, Tridel, Toronto, ON Tejas Sanghvi, Doha, Qatar Craig Simms, Brampton, ON Rudi Spallacci, Toronto, ON Curt St. Hilaire, Toronto, ON

T

James Theodorakopoulos, A.W. Hooker Associates Ltd., Oakville, ON Ron Toth, Vancouver, BC Isaac Trenholm, Fonthill, ON

V

Mujataba Vahora, Scarborough, ON

W

Kyle Wang, Wales McLelland Construction, Burnaby, BC Chun Xiao Wei, Toronto, ON Mayouran Wijayakumar, Jaffna, Sri Lanka

Y

Huijun (Carol) Yang, Altus Group, Vancouver, BC Olonade Yemi, Lagos, Nigeria Sung-Uk Yu, Calgary, AB

Z

Mehran Zangeneh, Richmond Hill, ON Paul Zasitko, Concosts, Burnaby, BC

Please note that Ross Templeton, BTY Group, Vancouver, BC was incorrectly listed in the Welcome New Members column in the Fall 2012 issue. Ross has been a PQS in good standing for a number of years.

The Construction Economist regrets the error.

12 | CONSTRUCTION ECONOMIST | www.ciqs.org | Winter 2012

EARLY BIRD REGISTRATION - February 15, 2013

The 17th Pacific Association of Quantity Surveyors Congress Sofitel Xian on Renmin Square.

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18 - 21May 2013

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Winter 2012 | www.ciqs.org | CONSTRUCTION ECONOMIST | 13

Matching design uncertainty with contractual compensation mechanisms

W

hen construction documents are compiled and issued to obtain pricing, whether in the form of a request for a tender or a request for proposal for a particular contract or a project, the design component contained within the documents are usually at some stage of completeness within the phases of pre-design completion as shown in Figure 1. For example, technical information including design drawings may not be ready for the purpose of construction and may be at some point of completion e.g. 30%, 60%, or 90%, if not 100% complete.

It is not unusual during the Project definition and design finalization phase that those tasked with delivering the technical aspects of the project, i.e. designers and engineers, are expected to progress design in an increasingly faster pace with a greater reliance on electronic means such as computer aided design.

FIGURE 1 - Primary phases: pre-design completion (activity sequence) Project Planning Overall Scope Definition

Final Design Preliminary Design & Environmental Studies Design Commencement 30% Design Completion 60% Design Completion 90% Design Completion

Project Definition Whilst these tools progress information such as engineering schedules and drawings to a stage where they can be issued to obtain firm pricing ahead of contract award, they do not necessarily confirm the completeness of design information.

This process of design evolution and finalization is driven by the desire to get firm and reliable pricing ahead of the award of contract. With the increasing urgency

14 | CONSTRUCTION ECONOMIST | www.ciqs.org | Winter 2012

Design Completion

to get work out for pricing, awarded and underway, it is not uncommon for design to be incomplete at the time when the documents are issued for pricing and the contract is subsequently awarded. In such instance, following the award of contract, drawings are often issued incrementally to suit the priority in which construction is expected to proceed.

FIGURE 2 - Contract remuneration types Compensation Type

Definition of Scope of Work & Design

Compensation Mechanism

1

Lump sum

Fully defined

Fixed price for defined work scope

2

Bills of Quantities

Overall quantity or scope is known

Fixed price for defined work scope

3

Approximate Quantities and Unit Rates

Uncertain number of defined work units

Fixed rates for measured output - can be converted to a lump sum as scope becomes defined.

4

Time/Day Rates

Skills and equipment defined; effort/usage uncertain

Fixed rates for labour and equipment

5

Time and Materials

Skills and equipment defined; effort/usage uncertain

Blend of time rates and reimbursable cost

6

Reimbursable Costs, with incentive

Uncertain scope, Contractors’/suppliers’ market

Actual costs plus incentive if defined objectives have been met

7

Reimbursable Cost plus “fixed fee”

Uncertain scope, Contractors’/suppliers’ market

Actual costs plus fixed fee

8

Reimbursable Costs without incentive

Uncertain scope, Contractors’/suppliers’ market

Actual costs, incl. profit margin

Simply put, one cannot expect Contractors to guarantee performance, provide certainty of price and schedule if the full nature and extent of the work has not been identified. Therefore, Contractors tend to align their pricing strategy with the quality and completeness of the information available to them at the time they submit a tender or proposal. This can result in pricing being higher than budgeted, as Contractors are left with no alternative but to encompass the design uncertainty and completeness into their bid or proposal.

Whilst Owners often seek to obtain pricing in a competitive bidding environment, there is misalignment between what the Contractor actually prices and what the outcome price ends up being to reflect the work in the final and constructed form. A prevailing tendency is to embed contract terms, such that the remaining design development risk is transferred onto Contractors and the price they submit is expected to include the cost of carrying out the work to account for that component of the work that has not been finally designed.

This not only results in higher prices and uncertainty, but also increases the potential for disagreement over what constitutes changes and can lead to claims and costly contractual disputes.

In some parts of Canada, an interesting and ongoing development is that, in some instances, due pressures to commence revenue streams, some Owners require initial construction activities to start

“...Contractors tend to align their pricing strategy with the quality and completeness of the information available to them at the time they submit a tender or proposal.” during the early stages of design and thus the Contract is awarded ahead of design finalization under arrangements that provide for subsequent conversion to a lump sum. Under these arrangements, Owners resort to compensation arrangements that start with a combination of unit rates, time and material, and lump sum components which are subsequently converted to a lump sum based on pre-set criteria agreed between the contracting parties and set out in the contract. Such criteria includes the lump sum conversion being a combination of re-measurement of quantities and expansion of unit rates to account for new items that form the basis of a lump sum, often upon the design reaching at least 90% completion and usually many months after award of the contract that is subject to conversion to lump sum.

As a general rule, risk should be apportioned to the contracting party that is best positioned to take it.

Unreasonable apportionment can lead to uncertainty and conflict.

– Gration Fernando, PQS Project Contracts Manager SNC-Lavalin Inc.

The increasing approach of transferring risk onto Contractors as mentioned earlier has and continues to cause confusion, uncertainty, and disagreement that can lead to claims and costly contractual disputes. Therefore, a practical approach to creating transparency between the contracting parties and increasing certainty is to align the compensation mechanism within contracts to the completeness of the design. Shown in Figure 2 are the most common contract remuneration types with each type represents, in descending order: a. a decreasing level of risk to the contractor; and b. an increasing level of financial exposure/cost uncertainty to the Owner; and c. a decreasing need for detailed work definition or scope of work; and d. increasing the level of contract management and administration effort required by the Owner.

Economic reality, including project funding requirements, and Owner expectations dictate that the award and

Winter 2012 | www.ciqs.org | CONSTRUCTION ECONOMIST | 15

FIGURE 3 - Compensation mechanism “T” matrix Contractor Risk

Work Definition

Compensation Type

Owner Cost Uncertainty

Contract Administration

Lump Sum Bills of Quantities More

Less

Approximate Quantities & Unit Rates Time/Day Rates Time & Materials

Less

Reimbursable Costs with incentive

More

Reimbursable Cost plus “fixed fee” Reimbursable Costs without incentive

start of a construction project cannot wait until the finalization of each and every aspect of design. Therefore, it is becoming increasingly incumbent upon those tasked with putting together contract documents to understand the status of the design and to have in place a compensation mechanism that:

1. Allocates the appropriate level of risk to the Contractor considering the stage of design; 2. Reduces the level of financial exposure and cost uncertainty to the Owner.

3. Ensures that appropriate level of contract administration effort is afforded by the Owner.

The reality is that there is no ‘one size fits all’ solution with respect to the type of compensation mechanism necessary to suit a particular project need.

Experience across multiple projects has shown that compensation mechanisms are often a combination of those pictorially shown in Figure 3 which represents the compensation “T” matrix to align with what is known, what is uncertain and what is unknown at any given point in time at the time that the parties enter in to a contract Arif Ghaffur, B.Sc (Hons.), PQS, FRICS, MCIArb, is the founder and President of Lakeland Consulting Inc which is a professional services consultancy practice supporting the engineering and construction industries, providing Commercial Management, Staff Augmentation and Dispute Resolution services.

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16 | CONSTRUCTION ECONOMIST | www.ciqs.org | Winter 2012

12-11-19 4:28 PM

CIQS updates the Recommended Fee Schedule It has been a long time coming and it is finally here. The sixth edition of the Schedule of Services and Recommended Charges is now available. The fifth edition was released in 2006 and although an update seemed like it was long overdue, resource tools such as this document should be updated every five years, so CIQS was very close to meeting the target.

In this new edition, there are a few significant changes that should be highlighted to our members.

Not considered major changes but very important changes, are the recommended percentage fee amounts and the recommended hourly rates have increased slightly to reflect our current economic environment.

The first considerable change (as suggested by many of the CIQS consultant firms practicing quantity surveying in Canada) applies to fees based on categories of buildings or complexity of buildings. For example, developing estimates for a parking structure compared to developing estimates for a critical care facility is quite a different task with the latter taking much more time and effort.

Quantity Surveying & Cost Consulting Services Schedule of Services and Recommended Charges

Sixth Edition 2012

Prepared, Copyrighted and Published by

This edition offers an extensive list of building types categorized into seven groups with Category One being the simplest and Category Seven being the most difficult. In turn, the Recommended Fee Schedule is presented with a range of possible fees reflecting the complexity of the project.

Without extraordinary efforts from CIQS members, improvements to our books and other written resources would not be possible.

Another key change responds to one of the most popular questions that CIQS receives from both members and non-members regarding the Classes of Estimates. Included in this edition is a detailed description of each Class of Estimate, the defined stage of design by percentage complete for each estimate

and a listing of the minimum information required to develop the estimate.

This edition is available in both English and French. CIQS has opted not to mass print this document but rather offer it electronically on our website for downloading or, on a portable flash drive.

It is also important to be cognizant that this document is only a resource tool meant simply to be a guide for calculating QS fees. Each fee calculation should be a thorough exercise in carefully defining the services required by the Client and subsequently, calculating appropriate fees to match the services requested. Region, economical climate and completion are but a few additional factors that affect the calculation of fees.

Finally, we would like to express our sincere gratitude to CIQS members and consultant firms who assisted in providing valuable input in the development of this document - especially James Vermuelen and Mark Gardin. Without extraordinary efforts from CIQS members such as James and Mark, improvements to our books and other written resources would not be possible.

Winter 2012

| www.ciqs.org | CONSTRUCTION ECONOMIST | 17

Le congrès et l’AGA de l’ICÉC-National 2013 Se tiendra du 13 au 15 juin 2013 à l’Hôtel Intercontinental de Montréal, sous le thème de

Gouvernance et économie de la construction Programme préliminaire :

Plusieurs conférenciers ont confirmé leur présence:

Jeudi 13 juin 8h30 à 17h00

Réunion du Conseil (ICÉC national)

9h00 à 12h00

Choix de 2 conférences de 75 minutes ou d’un séminaire de 3 heures

Français

M. Yvon Chabot, PQS, Groupe Schéma

13h30 à 16h30

Choix de 2 conférences de 75 minutes sur 4 conférences offertes

Français

M. G. Châteauneuf, Ing. geotechnique, Inspecsol

16h30 à 17h30

Pause-réseautage

Bilingue

17h30 à 19h30

Cocktail - Réception ICÉC pour tous les membres, délégués, partenaires

M. Charles Chebl, vp senior, SNC-Lavalin

Bilingue

M. Jean-Philippe Cliche, représentant ACQ

Vendredi 14 juin 9h00 à 12h00

Choix de 2 conférences de 75 minutes sur 6 (4 en français + 2 en anglais)

F ou A

12h15 à 13h30

Dîner-conférence en anglais

Anglais

13h30 à 14h00

Pause-réseautage

Bilingue

14h00 à 17h00

AGA de l’ICÉC-National

Anglais

19h30 à 22h00

Souper du président

M. Louis-M. Guénette, Directeur chez Planifika-GDAI Mme Michèle Marcoux, Approvisionnement TPSGC M. Luc Martin, VP Exec., CEGQ* M. Joe Morrone, propriétaire de Morrone Avocats Inc.

Samedi 15 juin 10h00

*CEGQ = Corporation des entrepreneurs généraux du Québec

Tournoi de golf Clive Evans

Des activités seront organisées pour les conjoints ou conjointes qui ne participeront pas aux conférences du vendredi ou au golf du samedi matin. Les précisions seront fournies ultérieurement.

Le programme des commandites sera disponible d’ici peu (fin novembre), votre encouragement est nécessaire pour le succès de l’événement. Merci d’y participer en grand nombre.

Le flamboyant Vieux-Montréal, la vie nocturne du secteur des rues Crescent et Ste-Catherine, une croisière sur le St-Laurent pour contempler Montréal de nuit. Montréal vous attend.

Pour les réservations d’hôtel, s’il vous plaît visitez le site: https://resweb.passkey.com/go/InstCanadienEcon

Un rendez-vous à ne pas manquer !

Programme des commandites Congrès de l’ ICÉC 2013

Platine

Or

Argent

Bronze

5,000.00 $

2,500.00 $

1,250.00 $

500.00 $

Inscription gratuite aux conférences pour X* personnes de votre entreprise ;

4

2

2

1

+ Inscription gratuite au dîner-conférence pour X* personnes de votre entreprise ;

2

2

1

1

+ Publication de votre contribution dans la revue trimestrielle «The Construction Economist»;

x

x

x

x

+ Visibilité en tant que partenaire principal au coquetel de l’assemblée générale annuelle du 14 juin à l’Hôtel Intercontinental - Montréal ainsi qu’au coquetel et au souper du président du vendredi;

x

x

x

x

+ Possibilité d’installer votre kiosque de présentation ou distribution de vos articles ou documents promotionnels à intégrer dans la pochette à remettre aux participants;

x

x

x

+ Droit de cotisation annuelle à l’association (nouveaux membres) pour X* de vos employés pour l’année 2013-2014) (100% de la cotisation de l’ICÉC-Québec ou portion nationale pour les autres affiliés) ;

2

1

+ Inscription de X* personnes au souper du président.

2

Votre inscription à titre de commanditaire vous donne droit aux avantages suivants:

* Selon le niveau de la commandite (Voir la partie droite de ce tableau)

18 | CONSTRUCTION ECONOMIST | www.ciqs.org | Winter 2012

The 2013 CIQS AGM and Congress June 13-15, 2013 at the Montreal Intercontinental Hotel. The Theme is:

Governance and construction economics Preliminary program: Several lecturers have confirmed their attendance:

Thursday, June 13 8:30 a.m - 5:00 pm

CIQS Council Meeting

9:00 am - 12:00 pm

Choice of two 75 minute conferences or a three hour seminar

French

Mr. Yvon Chabot, PQS, Schema Group

1:30 pm - 4:30 pm

Choice of two (of four) 75 minute conferences

French

Mr. G. Châteauneuf, Geotechnical Eng, Inspecsol

4:30 pm - 5:30 pm

Networking break

Bilingual

5:30 pm - 7:30 pm

Cocktail reception for all CIQS Delegates, Partners and Friends

Bilingual

9:00 am - 12:00 pm

Choice of two (of six) 75 minute conferences (four French + two English)

E or F

Mr. Louis-Martin Guénette, Planifika-GDAI

12:15 pm - 1:30 pm

Dinner lecture

English

1:30 pm - 2:00 pm

Networking Break

Bilingual

Mrs Michèle Marcoux, Procurement, PWGSC

2:00 pm - 5:00 pm

CIQS AGM

English

7:30 pm - 10:00 pm

President’s Dinner

Mr. Charles Chebl, Senior VP, SNC-Lavalin Mr. Jean-Philippe Cliche, Quebec Constr. Association

Friday, June 14

Mr. Luc Martin, VP Exec. CEGQ* Mr. Joe Morrone, owner of Morrone Avocats Inc.

Saturday, June 15 10:00 am

*CEGQ = General Contractors Corporation of Quebec

Clive Evans Golf Tournament

Activities will be organized for people who do not participate in the conference on Friday or the golf on Saturday. Details will be provided later.

Tremendous Old Montreal, nightlife in the Crescent Street area or a cruise on the St. Lawrence River to enjoy the city by night.

Montreal is waiting for you.

Please see below for details regarding sponsorship. Your support is encouraged for the success of the event. Thank you!

For hotel reservations please visit: https://resweb.passkey.com/go/InstCanadienEcon

A place to be, an Event to attend!

CIQS 2013 AGM Congress Sponsorship Program

Platinum

Gold

Silver

Bronze

$5,000.00

$2,500.00

$1,250.00

$500.00

Free registration for the Event for X* people from your organization;

4

2

2

1

+ Free registration to the luncheon for X* people from your organization;

2

2

1

1

+ Publication of your contribution in the Construction Economist magazine:

x

x

x

x

+ Visibility as a Key-Partner in the Annual General Meeting on June 14 at the Hotel Intercontinental - Montreal as well as reception and President’s Dinner on Friday;

x

x

x

x

+ Possibility to display a booth, distribution of your promotional materials into delegate packages for the attendants;

x

x

x

+ Annual fees to the association (new members) for X* of your employees for the year 2013 to 2014) (100% of the ICEC-Québec Fees or CIQS National fees for other affiliates);

2

1

+ Registration for X* people at President’s dinner.

2

Your registration as a Sponsor entitles you to the following benefits:

* As per the sponsorship level (see on right part of this table)

Winter 2012 | www.ciqs.org | CONSTRUCTION ECONOMIST | 19

Construction cost trends Non-residential building price index, third quarter 2012 The composite price index for non-residential building construction increased 0.2% in the third quarter compared with the previous quarter. This change was the result of a slight increase in material prices used in non-residential building construction.

All of the seven census metropolitan areas (CMAs) surveyed reported quarterly increases, ranging from 0.1% to 0.7%.

Halifax (+0.7%) recorded the largest gain.

Year-over-year, the composite price index for non-residential building construction was up 2.4%. Of the CMAs surveyed, Edmonton (+3.6%) and Calgary (+3.5%) recorded the largest year-over-year increases, while Montréal (+1.3%) recorded the smallest gain.

Building permits, October 2012 The total value of building permits rose 15.0% to $7.5 billion in October, following a 12.7% decline in September.

The increase was primarily the result of higher construction intentions for nonresidential buildings, mostly in Ontario and Quebec.

Construction intentions in the nonresidential sector grew 50.3% to $3.4 billion, following a 29.4% decrease in September. Ontario and Quebec were responsible for most of the advance observed at the national level. British Columbia and Prince Edward Island posted declines.

In the residential sector, the value of permits fell 4.1% to $4.1 billion in October, the third monthly decrease in four months. British Columbia had the largest decline, followed by Ontario.

Saskatchewan, Alberta and Manitoba also recorded decreases. The Atlantic provinces and Quebec posted gains.

Non-residential sector: Strong gains in the industrial and institutional components In the industrial component, the value of permits tripled to $1.1 billion in October, rising above the $1 billion mark for the

Chart 1 - Total value of permits

Source: Statistics Canada

billions of dollars 7.8 7.4 7.0 6.6 6.2 5.8 5.4 5.0 4.6 4.2 3.8 3.4 3.0

O J J J J J O

2007 2008

2009

2010

Chart 2 - Residential and non-residential sectors

2011

2012

Source: Statistics Canada

billions of dollars 5.0 4.5

Residential

4.0 3.5 3.0 2.5 2.0 1.5

Non-residential

1.0 0.5 O J J J J J O

2007 2008

2009

first time. The increase, which followed a 48.8% decline in September, was largely the result of higher construction intentions for manufacturing plants, transportation-related buildings and utilities buildings. Construction intentions for industrial buildings were up in every province except Manitoba and New Brunswick.

The value of permits in the institutional component rose 69.6% to $982 million in October. The increase was largely attributable to higher construction intentions for medical facilities and educational institutions in Ontario, and for government buildings and educational institutions in Manitoba.

20 | CONSTRUCTION ECONOMIST | www.ciqs.org | Winter 2012

2010

2011

2012

In the commercial component, the value of permits edged up 0.1% to $1.4 billion. The advance came from a variety of buildings, including retail complexes, recreational facilities, and hotels and restaurants in Ontario and Quebec. Commercial construction intentions declined in four provinces, with British Columbia and Alberta posting the largest decreases.

Residential sector: Lower construction intentions for singlefamily and multi-family dwellings Construction intentions for single-family dwellings fell 4.9% to $2.4 billion in October. It was the third decrease in

four months. The decline was mainly attributable to lower construction intentions in five provinces, led by Ontario, with Manitoba and Quebec well behind. In contrast, Newfoundland and Labrador and Alberta recorded the largest gains.

Municipalities issued $1.7 billion worth of building permits for multi-family dwellings in October, 3.0% less than in September. It was the fourth consecutive monthly decrease. There were declines in three provinces, led by British Columbia, followed by Alberta and Saskatchewan.

The decrease in British Columbia was enough to offset the advances observed in other provinces.

Municipalities approved the construction of 18,744 new dwellings in October, up 6.9% from September.

The growth was because of a 16.3% increase in multi-family units to 11,818.

In contrast, the number of permits issued for single-family dwellings fell 6.0% to 6,926 units.

Provinces: Ontario and Quebec post the largest advances In October, the total value of building permits was up in six provinces. Ontario had the largest advance, followed by Quebec and Manitoba.

Ontario’s gain was attributable to a strong increase in non-residential building construction intentions.

In Quebec, the gain was mostly the result of higher construction intentions for industrial and commercial buildings and, to a lesser extent, for multi-family dwellings. In Manitoba, construction

permits for institutional buildings and multi-family dwellings were behind the increase.

British Columbia saw the largest decline, as a result of lower construction intentions for commercial and institutional buildings and multi-family dwellings.

Higher permits value in most census metropolitan areas In October, the total value of permits was up in 20 of Canada’s 34 census metropolitan areas.

The largest increases were in Hamilton, Toronto and Montréal. In Hamilton, the advance came mainly from permits for institutional buildings and, to a lesser extent, for multi-family dwellings and commercial buildings.

Construction union wage rate indexes monthly (index, 2007=100) Construction trades

Source: Statistics Canada

2012 June

July

August

September

October

Composite

117.7

117.7

117.7

117.7

117.7

Structural trades

116.9

116.9

116.9

116.9

116.9

Architectural and finishing trades

116.8

116.8

116.9

116.9

116.9

Mechanical and electrical trades

119.2

119.2

119.2

119.2

119.2

Engineering and equipment trades

118.2

118.3

118.3

118.3

118.3

Carpenter

119.7

119.7

119.7

119.7

119.7

Crane operator

116.7

116.8

116.8

116.8

116.8

Cement finisher

115.8

115.8

115.8

115.8

115.8

Electrician

119.9

119.9

119.9

119.9

119.9

Labourer

114.3

114.3

114.3

114.3

114.3

Plumber

119.7

119.7

119.7

119.7

119.7

Reinforcing steel erector

120.0

120.0

120.0

120.0

120.0

Structural steel erector

115.5

115.5

115.5

115.5

115.5

Sheet metal worker

114.5

114.5

114.5

114.5

114.5

Heavy equipment operator

118.0

118.1

118.1

118.1

118.1

Bricklayer

115.8

115.8

115.8

115.8

115.8

Painter

115.8

115.8

115.9

115.9

115.9

Plasterer

119.9

120.0

120.0

120.0

120.0

Roofer

114.1

114.1

114.1

114.1

114.1

Truck driver

121.8

121.9

121.9

121.9

121.9

Insulator

118.7

118.7

118.7

118.7

118.7

Winter 2012 | www.ciqs.org | CONSTRUCTION ECONOMIST | 21

Construction union wage rate indexes monthly (dollars) Construction trades=Carpenter Type of wage rates=Basic construction union wage rates

Source: Statistics Canada

2012

Geography

June

July

August

September

October

St. John’s, Newfoundland and Labrador

29.61

29.61

29.61

29.61

29.61

Halifax, Nova Scotia

29.37

29.37

29.37

29.37

29.37

Saint John, New Brunswick

26.52

26.52

26.52

26.52

26.52

Québec, Quebec

34.37

34.37

34.37

34.37

34.37

Saguenay, Quebec

34.37

34.37

34.37

34.37

34.37

Montréal, Quebec

34.37

34.37

34.37

34.37

34.37

Ottawa-Gatineau, Ontario part, Ontario/ Quebec

34.35

34.35

34.35

34.35

34.35

Toronto, Ontario

36.12

36.12

36.12

36.12

36.12

Hamilton, Ontario

35.39

35.39

35.39

35.39

35.39

St. Catharines-Niagara, Ontario

35.39

35.39

35.39

35.39

35.39

Kitchener-Cambridge-Waterloo, Ontario

32.04

32.04

32.04

32.04

32.04

London, Ontario

33.09

33.09

33.09

33.09

33.09

Windsor, Ontario

33.95

33.95

33.95

33.95

33.95

Greater Sudbury, Ontario

33.03

33.03

33.03

33.03

33.03

Thunder Bay, Ontario

34.48

34.48

34.48

34.48

34.48

Regina, Saskatchewan

36.52

36.52

36.52

36.52

36.52

Saskatoon, Saskatchewan

36.52

36.52

36.52

36.52

36.52

Calgary, Alberta

39.36

39.36

39.36

39.36

39.36

Edmonton, Alberta

39.36

39.36

39.36

39.36

39.36

Vancouver, British Columbia

38.59

38.59

38.59

38.59

38.59

Victoria, British Columbia

38.59

38.59

38.59

38.59

38.59

Table 1 Non-residential building construction price indexes

Source: Statistics Canada

Non-residential building construction price indexes

Relative importance

%

Composite

Second quarter 2012

First quarter 2012

Second quarter 2012

First quarter to second quarter 2012

(2002=100)

Second quarter 2011 to second quarter 2012

% change

100.0

141.7

144.4

146.2

1.2

3.2

Halifax

2.6

137.4

139.4

140.7

0.9

2.4

Montréal

13.1

135.9

139.0

139.9

0.6

2.9

Ottawa–Gatineau, Ontario part

5.4

144.6

148.8

151.0

1.5

4.4

Toronto

35.3

142.5

145.9

148.0

1.4

3.9

Calgary

16.8

161.1

162.1

164.2

1.3

1.9

Edmonton

13.4

155.6

158.9

160.7

1.1

3.3

Vancouver

13.4

132.8

136.0

137.5

1.1

3.5

22 | CONSTRUCTION ECONOMIST | www.ciqs.org | Winter 2012

Toronto’s increase was primarily the result of higher construction intentions for non-residential buildings. In Montréal, the gain was attributable in particular to higher construction intentions for industrial buildings and multi-family dwellings.

Vancouver had the largest decline, primarily because of lower construction intentions for commercial buildings, multi-family dwellings and institutional buildings. In Saskatoon, the decrease stemmed largely from lower construction intentions for institutional buildings, while in Gatineau, multi-family dwellings and commercial buildings were behind the decrease.

Construction Cost Index The composite price index for nonresidential building construction increased by 1.2% in the second quarter compared with the previous quarter. The quarterly advance was mainly a result of wage increases and the continued strength of construction material prices.

All seven of the census metropolitan areas (CMAs) surveyed reported quarterly increases ranging from 0.6% to 1.5%.

Ottawa–Gatineau, Ontario part (+1.5%) and Toronto (+1.4%) recorded the largest gains.

Year over year, the composite price index for non-residential building construction was up 3.2%. Of the CMAs surveyed, Ottawa–Gatineau, Ontario part (+4.4%) and Toronto (+3.9%) recorded

the largest increases while Calgary (+1.9%) registered the smallest gain.

Note: This release presents data that are not seasonally adjusted and the indexes published are subject to a one quarter revision period after dissemination of a given quarter’s data.

International Markets Trend

Global Construction Trends Construction Cost Escalation 2012 Forecast

Trends Q4 2011

Q1 2012

Q2 2012

Q3 2012

Q4 2012

Q1 2013

USA

2.8

3.7

3.7

3.8

3.8

3.9

Canada

2.5

2.2

2.2

3.1

3.2

3.4

China

4.9

5.2

5.2

5.1

5.0

4.8

India

7.5

8.2

8.2

8.2

8.0

7.8

Ireland

2.8

2.0

2.0

2.0

1.8

1.6

Malaysia

4.1

4.0

4.0

4.0

3.8

3.8

Brazil

4.2

4.5

4.5

4.8

5.1

5.2

Uruguay

4.2

4.5

4.5

4.5

4.6

4.8

UAE

3.2

3.2

2.8

3.2

3.5

3.5

UK

3.1

2.8

2.5

2.5

2.6

2.6

We are seeking a

SENIOR ASSOCIATE LEVEL PROJECT MONITOR Candidates should have a minimum of ten (10) years related experience, have an established track record in the Project Monitoring field, and be active in business development.

Being a Senior Associate level position at Pelican Woodcliff, the renumeration package will include a profit share component. Future ownership/partnership opportunities are a distinct possibility for the successful candidate.

Please e-mail your resume and cover letter in confidence to: ronnie@pelicanwoodcliff.com for the attention of Mr. Ronnie Mandowsky

Cost Consultants and Project Monitors

100 York Blvd., Suite 608, Richmond Hill, ON L4B 1J8 Tel 905.889.9996 www.pelicanwoodcliff.com

Winter 2012 | www.ciqs.org | CONSTRUCTION ECONOMIST | 23

Source: Statistics Canada, Geography Division

How good is your Canadian geography knowledge?

Total area: 9,984,670 km2, the secondlargest country in the world.

Area north of the tree line: 2,728,800 km2, over 27% of Canada’s total area.

Land border: 8,890-km border with the United States, the longest international border in the world.

Longest distance from east to west: 5,514 km from Cape Spear, Newfoundland and Labrador, to the Yukon and Alaska boundary.

Number of islands: 52,455.

Largest island: Baffin Island, Nunavut, 507,451 km2.

Freshwater area: 891,163 km2.

The top five areas for freshwater are: Quebec (176,928 km2), the Northwest Territories (163,021 km2), Ontario (158,654 km2), Nunavut (157,077 km2) and Manitoba (94,241 km2).

Highest tide: Bay of Fundy, Nova Scotia, with a mean large tide of 16.1 m, the world’s highest tide.

Longest distance from north to south: 4,634 km from Cape Columbia (Ellesmere Island), Nunavut, to Middle Island (Lake Erie), Ontario.

Highest mountain: Mount Logan, in the St. Elias Mountains, Yukon, 5,959 m.

Highest waterfall: Della Falls, British Columbia, 440 m.

National parks: 43 parks cover an area of 224,466 km2.

Coastline: 243,042 km on three oceans, the longest coastline in the world.

Deepest lake: Great Slave Lake, Northwest Territories, 614 m.

PROVINCE AND TERRITORY

CAPITALS

Canada

Ottawa

Newfoundland and Labrador

St. John’s

Prince Edward Island

Charlottetown

Nova Scotia

Halifax

New Brunswick

Fredericton

Quebec

Québec

Ontario

Toronto

Manitoba

Winnipeg

Saskatchewan

Regina

Alberta

Edmonton

British Columbia

Victoria

Yukon

Whitehorse

Northwest Territories

Yellowknife

Nunavut

Iqaluit

24 | CONSTRUCTION ECONOMIST | www.ciqs.org | Winter 2012

Longest river: Mackenzie River, 4,241 km from its furthest source to its ultimate outflow.

Largest lake wholly within Canada: Great Bear Lake, Northwest Territories, 31,328 km2.

World’s largest island in a freshwater lake: Manitoulin Island in Lake Huron, Ontario, 2,765 km2.

Coldest recorded temperature: –63°C in Snag, Yukon, on February 3, 1947.

Sunniest place: Estevan, Saskatchewan, with 2,500 hours of sun per year and 2,979 hours of clear skies.

Map of Canada On this map, the ten provinces and three territories are displayed along with their capitals as well as Ottawa, the federal capital.

CANADA PUBLIC WORKS PROJECTS

Source - www.pwgsc.gc.ca

Construction projects 2012/13 Public Works and Government Services Canada (PWGSC) has received approval for more than $2.6 billion worth of federal office building construction and redevelopment projects. These key projects include:

CONSTRUCTION OF THREE NEW FEDERAL BUILDINGS IN GATINEAU 22 Eddy Street, Gatineau, QC (Lease Purchase)

30 Victoria Street, Gatineau, QC (Lease Purchase)

CONTRACT: • Name of developer: Broccolini Construction • Lease terms: 25 years – at the end of the lease, the Government of Canada has the option to purchase the building and land for one dollar • Annual lease rate: $11,700,000

CONTRACT: • Name of developer: Mutlivesco Inc. • Lease terms: 25 years – at the end of the lease, the Government of Canada has the option to purchase the building and land for one dollar • Annual lease rate: $11,700,000

BUILDING / TENANTS: • Approximate size: 41,872 square metres – 15 floors • Approximate number of federal employees: 2,200 • Name of tenant: Public Service Commission will be the main tenant • Estimated move-in: May 2013

BUILDING / TENANTS: • Approximate size: 41,872 square metres – 16 floors • Approximate number of federal employees: 2,200 • Name of tenant: Elections Canada will be the main tenant • Estimated move-in: June 2013

455 boulevard de la Carrière, Gatineau, QC (Lease Purchase)

CONTRACT: • Name of developer: Broccolini Construction • Lease terms: 25 years – at the end of the lease, the Government of Canada will automatically own the building and land • Annual lease rate: $8,530,000 BUILDING / TENANTS: • Approximate size: 36,694 square metres – 12 floors • Approximate number of federal employees: 1,900 • Name of tenant: Department of National Defence • Estimated move-in: November 2012

Winter 2012 | www.ciqs.org | CONSTRUCTION ECONOMIST | 25

OTHER 90 Elgin Street - Lorne Building, Ottawa, ON (Redevelopment)

BUILDING / TENANTS: • Approximate size: 73,000 square metres • Name of tenants: Royal Canadian Mounted Police • Estimated move-in: Late 2012 14200 Green Timbers Way, Surrey, B.C. - RCMP E Division Headquarters Relocation Project (Public-Private Partnership - Design Build Finance Maintain)

CONTRACT: • Name of developer: Great West Life Assurance Company • Lease terms: 25 years – at the end of the lease, the Government of Canada will automatically own the building and land • Annual lease rate: $19,500,000 BUILDING / TENANTS: • Approximate size: 60,000 square metres – 17 floors • Approximate number of federal employees: 2,000 • Name of tenant: Department of Finance will be the main tenant • Estimated move-in: November 2014 73 Leikin Drive - Royal Canadian Mounted Police National Headquarters, Ottawa, ON (Lease Purchase)

CONTRACT: • Name of developer: Minto Developments Inc. • Lease terms: 25 years – at the end of the lease, the Government of Canada has the option to purchase the building and land for one dollar • Annual lease rate: $4,945,719

CONTRACT: • Name of developer: Green Timbers Accommodation Partners (A consortium between InfraRed Capital Partners, Bouygues Bâtiment International and ETDE Facilities Management Canada) • Terms: Under the Public Private Partnership (P3) Project Agreement, the Government of Canada will make monthly service payments to Green Timbers Accommodation Partners, upon service commencement, over the 25-year facilities management term.

The Government of Canada retains ownership of the site at all times.

• Total Cost: $975,000,000 (over 25 years post-construction, and including insurance costs) BUILDING / TENANTS: • Approximate size: 76,162 square metres – multi-building complex which will include a 7-storey office building, a post disaster building and a high-bay garage/workshop.

• Approximate size of the land: 14.8 hectares • Approximate number of federal employees: 2,700 • Name of tenant: Royal Canadian Mounted Police E Division • Estimated move-in: June 2013

26 | CONSTRUCTION ECONOMIST | www.ciqs.org | Winter 2012

80 Garland Avenue, Burnside Business Park, Dartmouth, NS (Crown Construct)

CONTRACT: • Name of Contractor: PCL Constructors Canada Inc. • Purchase price: $59,000,000 BUILDING / TENANTS: • Approximate size: 19,613 square metres – 5 floors • Approximate number of federal employees: 500 • Name of tenant: Royal Canadian Mounted Police H Division Headquarters • Estimated move-in: December 2013 395 Terminal Avenue, Ottawa Train Yards, Ottawa, ON (Build-to-Lease)

CONTRACT: • Name of developer: Ottawa Train Yards J.V. Ltd • Lease terms: 15 years, with one option to extend for an additional five years • Annual rent: Annual net rent of approximately $4,454,686 BUILDING / TENANTS: • Approximate size: 22,270 square metres • Approximate number of federal employees: 1,375 • Name of tenant: Canada Revenue Agency • Estimated move-in: January 2013

Industry News

California bridge using AXION’s 100% recycled plastic building materials set for ribbon cutting ceremony on December 7 First bridge of its kind in California AXION International Holdings, Inc. (OTCBB: AXIH), a leader in recycled plastic and plastic composite technologies used to produce ECOTRAX™ rail ties and STRUXURE™ building products, announced that the Company’s President and CEO, Steve Silverman will attend a ribbon cutting ceremony for the opening of the first bridge in California to be constructed out of AXION’s STRUXURE™ building products made of 100% recycled consumer and industrial plastics. The 25-foot pedestrian bridge has the distinction of being the first known bridge on the West Coast with a superstructure and fencing made of recycled plastic. STRUXURE™ is compatible with traditional building materials, enabling the bridge’s engineer to use timber for the bridge’s decking. Designed for pedestrians and horses alike, the bridge is located in Santa Rosa Valley.

The bridge crosses the Arroyo Santa Rosa, located 300 yards west of East Las Posas Road in Ventura County.

A ribbon cutting and dedication ceremony led by Ventura County Supervisor Linda Parks was scheduled to take place on Friday, December 7. The entrance to the trail bridge is located next to the road bridge which is about 1/4 mile north of Santa Rosa Road on East Las Posas Road in Santa Rosa Valley.

The bridge was designed by bridge engineer John Dickerson of VCE Services in Ventura. Dickerson selected AXION’s STRUXURE™ building material for the bridge’s superstructure and fencing. R&D 100 selected the STRUXURE™ beam as one of the top 100 new technologies of 2011. Newsweek magazine named AXION’s technology one of the top 10 ‘Big Green Ideas of 2010.’ AXION’s structural building materials have been used for bridges in a U.S. Army facility in Virginia, as well as at Fort Bragg, North Carolina where three bridges support 70-ton, M-1 tanks. Developed by scientists at Rutgers University’s Department of Materials Science and Engineering, the structural thermoplastic material is non-toxic, does not leach or warp, and is completely recyclable at the end of its functional life.

Bridge Engineer Dickerson commented on STRUXURE™, “I think it’s fantastic, because a long time ago when I graduated from college, a professor told me that sooner or later, they would use plastic and it would be one of the best building materials there is. It’s here now, and it’s going to be used for a very long time.”

“I plan to use the plastic material for projects in and around the ocean, where steel corrodes, concrete cracks, and wood warps and eventually erodes because of insects.

You couldn’t use a better material around saltwater because it’s totally immune to anything saltwater can possibly do to it. The applications for this material are almost endless,” Dickerson added.

AXION President and CEO Steve Silverman commented, “We are very proud of what we’ve achieved in bringing a highperformance, sustainable building material into the California market that leads the world in its dedication to the environment.

STRUXURE™ offers a superior long-term value to communities and repurposes plastic waste into structural building materials.

I am honored to be a part of this ribbon cutting ceremony.”

About STRUXURE™ Bridges STRUXURE™ Bridges are engineered from AXION’s patented, 100%-recycled plastic formulation. Because the recycled structural composite material is inert, STRUXURE™ Bridges will not rot or absorb moisture, and they are impervious to insect infestation, making them ideal in harsh environments.

Because of their durability and low maintenance, they are an excellent cost-effective, long-term solution in bridge applications. In boardwalks, short-span vehicular bridges, and multi-span superstructures, STRUXURE™ is specified for its performance, longevity, and sustainable design. From Scotland to Fort Bragg, North Carolina, STRUXURE™ Bridges are providing long-term, sustainable solutions around the world.

For more information about STRUXURE™ Bridges, visit www. axionintl.com/products-composite-bridges.html.

About AXION AXION (OTCBB: AXIH) is a green technology company, transforming waste plastics into structural building materials.

Using 100%-recycled consumer and industrial plastics, AXION develops, markets and sells its recycled structural composite products through its ECOTRAX™ composite railroad tie and STRUXURE™ building material lines. From the railroading industry to the military to global engineering firms, AXION delivers tested, proven and superior green solutions to infrastructure needs around the world. www.AXIH.com Forward-Looking Statements This release contains “forward-looking statements” for purposes of the Securities and Exchange Commission’s “safe harbor” provisions under the Private Securities Litigation Reform Act of 1995 and Rule 3b-6 under the Securities Exchange Act of 1934. These forward-looking statements are subject to various risks and uncertainties that could cause AXION’s actual results to differ materially from those currently anticipated, including the availability of materials at favorable pricing, sufficient manufacturing capability and the risk factors identified in AXION’s filings with the Securities and Exchange Commission.

SOURCE: Axion International Holdings, Inc.

Winter 2012 | www.ciqs.org | CONSTRUCTION ECONOMIST | 27

Industry News

Canada needs cash-rich corporations to help pay for infrastructure, services: Flaherty While governments are money-strapped, corporations are ‘awash in cash,’ and Canada needs them to help pay for infrastructure and services, Finance Minister Jim Flaherty said.

“The reality is that governments are cash short. The good news is that the balance sheets of corporations in Canada are very strong and are awash in cash,” Mr. Flaherty told about 1,500 delegates at the annual conference for the Canadian Council for Public-Private Partnership in Toronto.

“The P3 approach is an essential part of our government’s future plans.… At the federal level, we intend to do more P3s.”

Mr. Flaherty urged governments to avoid an ‘ideological approach’ to P3s, as the model, which involves the development of public services or infrastructure through private and public funding, crosses political lines.

“I had the opportunity to travel to the U.K. to look into their experience with P3s,” he said in an afternoon speech.

“They told me that the Labour government of Prime Minister Blair was pursuing P3s as a matter of policy, even though the concept had been introduced by the previous conservative government.”

Stressing the importance of P3s for building infrastructure in the country, he cited massive projects such as the Canadian-backed international bridge between Detroit and Windsor. Rick Snyder, the governor of Michigan, presented a speech at the two-day conference, calling the bridge a win for both sides and touting the potential of ‘tens of thousands of jobs’ through increased trade.

While the bridge is a high-profile example of a bi-national P3, smaller municipal projects are expected to fuel the future

market; many of the presentations at the conference focused on local projects including transit, social housing and water/wastewater ventures.

The latter is one of the slowest areas to catch on due to public concern and the smaller nature of the projects (the current P3 model is tailored to large developments worth hundreds of millions of dollars).

“We truly are approaching crisis time in Canada (Bill Pugliano/Getty Images) The Ambassador Bridge, which with respect to the links Detroit to Windsor. Stressing need for upgrades the importance of P3s for building to our wastewater infrastructure in the country, Flaherty cited treatment facilities,” massive projects such as the Canadianbacked New International Trade Crossing.

Rick Quail, municipal manager at the Town of Okotoks, AB, said.

“Something has to be done in a timely fashion.”

Okotoks, a fast-growing small town of 25,000 residents in southern Alberta, needed to upgrade its wastewater treatment plant in the early 2000s. The costs were estimated at $25-million.

“We stepped back and said, ‘There has got to be another way to procure this, because this is going to break us,’” Mr. Quail said to hundreds of delegates during a panel discussion.

“If $25-$30 [million] turns into $40-50 [million], this community is going to have to spend all of its financial resources for the next generation upgrading its wastewater treatment plant.”

The town turned to a public-private partnership and a firm bid on the project for $11.25-million.

According to Mr. Quail’s research, about 400 of 1,000 water/wastewater treatment plants in Canada are in immediate upgrades or reconstruction before 2020.

“Municipalities need nudging at times. Elected officials need some encouragement to prioritize these infrastructure upgrades,” Mr. Quail said. “But there needs also to be financial support and processes going forward to assist communities to do this.”

Source – Melissa Leong, Financial Post website, Nov. 26, 2012 5:45 pm ET/Last updated: Nov. 26, 2012 5:49 pm ET.

28 | CONSTRUCTION ECONOMIST | www.ciqs.org | Winter 2012

Industry News

Skills/Compétences Canada: Spotlight shines on British Columbia as it prepares to host the 2013 Skills Canada National Competition Skills/Compétences Canada announced that Canada’s best skilled trade and technology students, representing all provinces and territories, along with industry experts, trainers and educators, will gather in Vancouver from June 5 - 8, 2013 for the Skills Canada National Competition. More than 500 students are expected to participate in the event, which will feature at least 40 skilled trade competitions ranging from carpentry and mobile robotics to welding, aircraft maintenance and fashion design.

The annual Competition brings together Canada’s best and brightest skilled trade students, where they are tested against exacting industry standards configured by a National Technical Committee comprised of skilled trade and technology experts from industry and education.

“We are pleased to announce today that the 2013 Skills Canada National Competition will take place in Vancouver, British Columbia”, said Donavon Elliott, President of Skills/ Compétences Canada. ”This annual event is one of the major initiatives that we organize to raise awareness of the tremendous opportunities for young people who choose career paths in skilled trades and technology. With ongoing support from the Government of Canada, industry leaders and educators, the Skills Canada National Competition is the only event of its kind for these young people to showcase their talent while competing for prestigious awards that can propel their career forward.”

In addition to the Competition, the event offers an opportunity for 10,000 visiting students and young career-seekers to take part in interactive Try-A-Trade® and Technology Demonstrations. Activities cover a broad range of skills from designing a home using the latest architectural software to the culinary art of carving vegetables.

“In British Columbia, it is estimated that there will be one million job openings by 2020 with 43% requiring specialized skills training”, said Amber Papou, Executive Director of Skills Canada British Columbia. “Considering that many skilled trade workers will be retiring within the next 20 years, a more alarming statistic indicates that only one quarter of young people aged 13 to 24 plan to consider a career in the skilled trades. Hosting the 2013 Skills Canada National Competition will provide thousands of BC youth with the opportunity to explore a multitude of skilled trade and technology career possibilities that they may never have considered otherwise.”

The Skills Canada National Competition brings together industry, educators and other stakeholders to provide young people, such as Caitlin Mayo, former provincial, national and WorldSkills competitor, and the current owner of Sugar Patisserie in Surrey BC, with the resources that they need to move toward a career in the skilled trades/technologies:

“Training for a skills competition is one of the best ways a student can master their skill,” says Caitlin Mayo. “In my experience, participating in the skills competitions gave me invaluable experience while allowing me to learn new elements of my craft that I use in my business today.”

About Skills Canada British Columbia Skills Canada British Columbia (Skills BC) is a proactive nonprofit organization that partners with government, educators, private industry and labour to promote and celebrate the skilled trades & technologies as first choice career opportunities for young people across the province. As a means of helping to offset current and pending labour shortages in skilled labour in the province, Skills BC offers positive and exciting handson experiences to thousands of students annually. For more information please visit www.skillscanada.bc.ca.

About Skills/Compétences Canada Skills/Compétences Canada was founded in 1989 as a national, not-for-profit organization that works with employers, educators, labour groups and governments to promote skilled trades and technology careers among Canadian youth. Its unique position among private and public sector partners enables it to work toward securing Canada’s future skilled labour needs while helping young people and aspiring apprentices discover rewarding careers.

Skills/Compétences Canada offers experiential learning opportunities including skilled trades and technology competitions for hundreds of thousands of young Canadians through regional, provincial/territorial, national and international events, as well as skilled trade awareness programs. Many programs highlight digital and essential skills, which are crucial qualifications in most careers of today. Headquartered in Ottawa, Ontario, Skills/Compétences Canada is the Canadian Member organization of WorldSkills International. For more information about Skills/Compétences Canada visit www. skillscanada.com, or call 877-754-5226.

Équipe Canada WorldSkills 2013 Les Olympiades canadiennes des métiers et des technologies est la plus importante rencontre en son genre au pays. En effet, il s’agit de la seule compétition nationale de métiers et de techniques destinée aux étudiants et aux apprentis du Canada. Chaque année, les Olympiades réunissent quelque 500 jeunes de toutes les régions du Canada, ainsi que leurs parents et conseillers, dans le cadre de concours pour plus de 40 domaines de spécialisation. Les concurrents et les concurrentes, qui sont inscrits à un programme de formation professionnelle ou technique, ont alors l’occasion d’évaluer leurs compétences selon des normes rigoureuses et de se mesurer à d’autres jeunes du pays. Ils cherchent aussi à remporter l’honneur d’être couronnés les meilleurs de leur discipline respective.

Winter 2012 | www.ciqs.org | CONSTRUCTION ECONOMIST | 29

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CB ROSS COST CONSULTING

JOB OPPORTUNITIES - Senior Cost Planner - Project Monitor

C.B. Ross Cost Consulting is a consulting firm located in Toronto, Ontario offering consulting services to a wide spectrum of clients from project inception through to completion.

We have job opportunities in our Project Monitoring and Cost Planning/Estimating departments.

Candidates must have:- relevant experience in the construction industry - strong communication skills - time management skills - be working towards (or have interest in) RICS and CIQS membership.

In return, we offer an extensive employee package commensurate with expertise, qualifications and skills.

If you are interested, please submit your resumé by email: mail@cbross.ca or by fax: (416) 487-3017 Only select candidates whose resumés best match our requirements will be contacted.

30 | CONSTRUCTION ECONOMIST | www.ciqs.org | Winter 2012

We make the difference every day.

Could you?

We are Turner & Townsend, a leading independent global consultancy with clients in the property, infrastructure and natural resources sectors.

Our services are extensive, from preparing business cases and operational blueprints, through programme and project delivery, to asset optimisation.

As a result of our continued success winning major programmes and projects around the world, for many of the largest international clients, we are growing and looking for talented and energetic people. We want you to grow with us.

Locations

People

■ Americas

■

■ UK

■

■ Europe

■

■ Africa

■

Opportunities exist in all of our regions across property, infrastructure and natural resources:

We are interested in people at all levels in the following areas: Management consultants Programme managers

■ Asia

Project controllers and planners Project managers ■ Cost managers ■ Cost estimators

■ Australia

■

■ Middle East

Contract and claims specialists

You could be a sector specialist or a generalist, but you will have an impressive track record of delivery.

For further details of current opportunities, please contact Josie Wylie, 416-925-1424 or email torontohr@ttcm2r.com or visit the recruitment area on our website www.turnerandtownsend.com Please indicate which regions are of interest to you.

making the difference Photo: The Shard at London Bridge Quarter © Sellar