OCTOBER 2014
> IN SIDE <
AWPs
OFFER GREATER REACH AND FLEXIBILITY
CONC ON-SRETE IT E PG.3 1
PG.16
2014
VOCATIONAL TRUCKS REPORT PG.24
www.on-sitemag.com
001-02Cover1.indd 1
LAW:
SKY IS THE LIMIT
PG.46
PM #40069240
14-10-15 10:54 AM
Te Competitive financing available through Daimler Truck Financial. For the Freightliner Trucks dealer nearest you, call 1-800-FTL-HELP. FTL /MC-A-1368. Specifications are subject to change without notice. Copyright Š 2014 Daimler Trucks North America LLC. All rights reserved. Freightliner Trucks is a division of Daimler Trucks North America LLC, a Daimler company.
001-02Cover1.indd 2
14-10-09 5:27 PM
HELPING TEX-MIX KEEP THEIR PAYLOAD MOVING WHILE LOWERING THEIR REAL COST OF OWNERSHIP. Tex-Mix is only as profitable as their trucks are reliable. That’s why they choose Freightliner. We design trucks for easy upfit, productivity and low maintenance. Backed by a support team that’s there when you need us. And because Tex-Mix trucks are equipped with the powerful Detroit DD13 ® engine and Detroit Virtual Technician onboard diagnostic system, TM
TM
it’s not only a tough truck, but also a smart one. Built to increase profitability and lower their Real Cost of Ownership. We’re proud to say that’s why Freightliner has become the industry leader in work trucks.
To learn more about how Freightliner Trucks are working hard for Tex-Mix, visit FreightlinerTrucks.com/Tex-Mix.
001-02Cover1.indd 3
14-10-09 5:27 PM
001-02Cover1.indd 4
14-10-09 5:27 PM
VOLUME 58, NO.6 / OCTOBER 2014
24 COVER STORY 20 Safe choices in safety software Construction safety software has evolved beyond tracking compliance to provide a real value-add for many companies.
DEPARTMENTS 7 Comment DNA of a construction leader
10 News Industry news
14 Construction Stats The latest news on building permits and construction employment
COLUMNS 42 Risk
16
12
Breakthrough: Liquid surety precedence
44 Funny Photo Funny Photo contest
46 Contractors and the Law The sky is the limit
44
Index of Advertisers
features 16
24
Three AWP manufacturers step up to the plate to take a cut at some hard questions about what makes their machines so special.
Manufacturers up to challenge of heavy customer demand load.
Hitting it out of the park
Vocational Trucks
31 CONCRETE ON-SITE
on-sitemag.com / 5
3-4_Contents.indd 5
14-10-10 10:40 AM
3-4_Contents.indd 6
14-10-10 10:40 AM
COMMENT
DNA of a construction leader
S
Get the latest construction news! Follow us on Twitter @OnSiteMag
o, you want to be the leader of a multi-national construction firm one day, huh? Well, you better make sure you’ve got a strong balance of technical experience, business leadership and people skills to start with. Construction recruiting firm, Hays Canada, has compiled a report on the DNA of a VP of Construction. Surveying more than 100 construction leaders in Canada, including VPs or above, the respondents were questioned about their education, background, qualifications, international experience, responsibilities, challenges and personal aspirations. What Hays discovered in its research, is that Canadian construction leaders share several commonalities in what has led them to the top of their industry. The typical career path of a construction VP has three distinct stages and begins with roughly five years in an entry level/field work position. In these early years, they tended to work in a broad range of roles over multiple sectors. According to the findings, more than 80 per cent of survey respondents have experience working in multiple functional areas. This diversity of experience helps later on in their careers when they are expected to manage cross-functional teams. In the following three to 10 years (stage 2), they held positions focused on people and project management. It is during this time that they really developed their business leadership skills. “In your role as a VP you are counted on to make things better for the business and team, and to do this you have to realize that fundamentals outlast technology,” says Tim Smith, executive VP, EllisDon. “Having strong project management skills will help you adopt new technologies while getting the most out of your team throughout your career.”
The third stage of a construction VP’s career path (typically eight to 15+ years) finds them in a senior management or executive role. During this phase of their careers, the focus is now on high-performance teams. Great leaders have learned by this point, they don’t know everything, and therefore surrounding themselves with great people is necessary for the success of the entire team. “It’s important to understand the difference between management and leadership,” says Martin Ferron, president and CEO of North American Construction Group. “Management is moving resources around, versus leadership, which is getting people to follow you on a common mission.” All construction executives needed certain technical skills, professional accomplishments and networking abilities to get where they are today, but not surprisingly it is some of the softer skills that allowed them to standout amongst their peers. Communications skills, personality and passion are still paramount. Ron Fettback, VP of operations at Western Pacific Enterprises, has this advice to offer the next generation of construction leaders: “Work hard. Prove that you will do whatever it takes to get the job done. Be innovative, honest and follow through on promises so people know they can depend on you.”
Corinne Lynds / Editor CLynds@on-sitemag.com
on-sitemag.com / 7
7_Editorial.indd 7
14-10-14 2:43 PM
CONTRIBUTORS
MEET OUR CONTRIBUTORS FOR THIS ISSUE
www.on-sitemag.com / Fax: 416-510-5140
PUBLISHER | Peter Leonard (416) 510-6847 PLeonard@on-sitemag.com
JIM BARNES / Contributing Editor, On-Site
EDITOR/EDITORIAL DIRECTOR | Corinne Lynds (416) 510-6821 CLynds@on-sitemag.com
On safety management: Safety management software started to come on strong more than a decade ago. It was an alternative to the folders full of Microsoft Office files many contractors used to document compliance to safety regulations. Today, the technology has evolved beyond tracking compliance to provide a real value-add for many companies.
“
ASSISTANT EDITOR | Patrick Callan (416) 442-5600 x3524 PCallan@on-sitemag.com CONTRIBUTING EDITOR | James A. Barnes ART DIRECTOR | Melissa Crook (416) 442-5600 x3260 MCrook@bizinfogroup.ca ASSOCIATE PUBLISHER | David Skene (416) 510-6884 DSkene@on-sitemag.com
”
DAVID BOWCOTT / Senior vice-president, national director large/strategic accounts, construction and infrastructure services, Aon On performance security: There has been a watershed moment within the performance security industry. Several weeks ago the first liquid surety products were accepted by some lenders as a replacement for the previous liquid instrument of choice—the letter of credit (LC).
“
SALES & MARKETING COORDINATOR | Kim Rossiter (416) 510-6794 KRossiter@bizinfogroup.ca PRODUCTION MANAGER | Barb Vowles 416-510-5103 BVowles@bizinfogroup.ca CIRCULATION MANAGER | Selina Rahaman (416) 442-5600 x3528 SRahaman@bizinfogroup.ca Published by BIG Magazines LP, a division of Glacier BIG Holdings Company Ltd. 80 Valleybrook Drive, North York, ON M3B 2S9 BIG Magazines LP Executive Publisher | Tim Dimopoulos Vice-President of Canadian Publishing | Alex Papanou President of Business Information Group | Bruce Creighton
”
MATTHEW SWANSON / Associate lawyer at Borden Ladner Gervais LLP (BLG)
SUBSCRIPTION RATES Canada $81.00 per year, Outside Canada US$139.00 per year, Single Copy Canada $13.00. On-Site is published 7 times per year except for occasional combined, expanded or premium issues, which count as two subscription issues.
On arbitration agreements: It is not uncommon for contracting parties to attempt to put express limits on the types of risk or damages that they may be liable for should they encounter problems on a project. In such situations, one or more of the contracting parties may seek to include a limitation of liability clause in the contract.
PRIVACY NOTICE From time to time we make our subscription list available to select companies and organizations whose product or service may interest you. If you do not wish your contact information to be made available, please contact us via one of the following methods:
“
Phone: 1-800-668-2374 Fax: 416-442-2191 E-mail: jhunter@businessinformationgroup.ca Mail to: Privacy Officer, 80 Valleybrook Drive, North York, ON M3B 2S9 Canadian Publications Mail Agreement No. 40070230
”
On-Site receives unsolicited materials (including letters to the editor, press releases, promotional items and images) from time to time. On-Site, its affiliates and assignees may use, reproduce, publish, re-publish, distribute, store and archive such unsolicited submissions in whole or in part in any form or medium whatsoever, without compensation of any sort.
DAVID GODKIN / Freelance writer and editor On AWPs: The Los Angeles Dodgers? Baltimore Orioles? Forget it. Here are the real boys of autumn: three AWP manufacturers with a broad reach and swinging for the fences. Each steps to the plate to take a cut at some hard questions about what makes their machines so special
“
”
DISCLAIMER This publication is for informational purposes only. The content and “expert” advice presented are not intended as a substitute for informed professional engineering advice. You should not act on information contained in this publication without seeking specific advice from qualified engineering professionals. Canadian publications Mail Sales Product Agreement 40069240 Established in 1957, On-Site is published by BIG Magazines LP a division of Glacier BIG Holdings Company Ltd. Inc. ISSN: 1910-118X We acknowledge the financial support of the Government of Canada through the Canada Periodical Fund of the Department of Canadian Heritage.
PATRICK CALLAN / Assistant Editor, On-Site On vocational trucks: In our latest heavy equipment roundup, we take an in-depth look at some of the most recent options to hit the vocational truck market.
“
”
Content copyright ©2014 by BIG Magazines LP, may not be reprinted without permission.
MEMBER OF
Canadian Construction Association
8 / OCTOBER 2014
8-9_Contributors.indd 8
14-10-09 4:58 PM
Productivity that sticks. Our greases are engineered right from the start to provide all-around, balanced performance for the severe conditions experienced by today’s equipment. What’s more, our high-technology greases offer a controlled release of oil and additives. They release just the right amount, lubricating for optimum protection by staying exactly where they’re needed, which can help control maintenance and replacement costs. Learn more about our advanced greases for advanced productivity at mobilindustrial.com.
Copyright © 2014 Exxon Mobil Corporation. All rights reserved. All trademarks used herein are trademarks or registered trademarks of Exxon Mobil Corporation or one of its subsidiaries unless otherwise noted.
8-9_Contributors.indd 9
14-10-09 4:58 PM
INDUSTRY NEWS
INDUSTRY>NEWS
Dufferin Concrete, Ontario Redimix awarded for safety performance Infrastructure Health Safety Association (IHSA) and the Ready Mixed Concrete Association of Ontario (RMCAO) recognized Dufferin Concrete and Ontario Redimix (both divisions of Holcim Canada Inc.) for occupational health accomplishments in 2013. The IHSA awarded Dufferin Concrete and Ontario Redimix with an Achievement Award for injury reduction. The award is given to companies who for three consecutive years have operated with a cost-rate and injury frequency below its rate group average and have participated in the Safety Groups program. Both companies were 15 per cent below their rate group average for 2011, 2012 and 2013. This is the second time that the IHSA has honoured them with an Achievement Award, having recognized them in 2011 as well. In addition, Dufferin Concrete and Ontario Redimix were recognized by the RMCAO for Outstanding Achievement for the year 2013, in category five and six, respectively, for demonstrating increasing excellence through showcasing good practices and policies and sharing information about health and safety successes. The awards were presented at the RMCAO 55th Annual General Meeting Convention. The RMCAO also acknowledged individual ready-mix concrete plants for
no lost time accidents or injury in 2013, including the following Dufferin Concrete plants: Aylmer, Beamsville, Bowmanville, Bradford, Burlington, Cambridge, Etobicoke, Georgetown, Kitchener, London, Malton, Maple, Mississauga, Niagara Falls, Orangeville, Peterborough, Scarborough, Simcoe, Stratford, Tillsonburg, Toronto, and Whitby, and the Ontario Redimix Etobicoke, Milton, Pickering and Portlands plants.
CCA supports release of Asset Management Primer The Canadian Construction Association (CCA) applauded the release of the Asset Management Primer, part of the Canadian Infrastructure Report Card, which details the need for asset management plans for Canadian municipalities, as well as recommendations for implementing asset management practices. “The release of the Asset Management Primer as a follow-up to the 2012 Canadian Infrastructure Report Card is a great next step to tracking and monitoring the importance of ongoing infrastructure investment in Canada,” said Michael Atkinson, president of the CCA. “Since what gets measured, gets done, this primer will go a long way to assisting municipalities in their efforts to continually improve and build the infrastructure that drives the Canadian economy.” The first-of-its-kind Canadian Infrastructure Report Card indicated that fewer than 15 per cent of municipalities could provide asset condition information that was derived from asset management processes. While the condition of aboveground assets is more easily identified, assets not as visible are only more accurately monitored with asset management processes. This past year saw increased awareness and promotion of asset management processes, including the federal government highlighting their importance in the New Building Canada Plan, the province of Ontario requiring asset management plans
as eligibility for some provincial funding, and a number of municipalities developing their own asset management plans. “This primer once again showcases the importance of strong asset management to the long-term viability and sustainability of our core public infrastructure assets,” added Atkinson.
Lafarge names president and CEO for Eastern Canada Lafarge Canada appointed Bruno Roux president and CEO for the company’s Eastern Canada business operations. Roux will serve as Lafarge’s senior leader for all market areas and product lines in Ontario, Quebec and Atlantic Canada. He will also join Lafarge Canada’s board of directors. Roux most recently was president and CEO of Lafarge’s operations in Poland. Working out of the head office in Toronto, Roux’s responsibilities for Eastern Canada include all operational, sales, marketing and functional elements of the cement, aggregates and ready-mix concrete product lines. “I am very excited for the opportunity to lead an extremely talented team in Eastern Canada,” said Roux. “I am looking forward to working with our customers, architects, and other stakeholders in achieving our ambition of building better cities.”
10 / OCTOBER 2014
10-13_News.indd 10
14-10-09 5:19 PM
Introducing the Sprinter 4x4. Starting at $49,900.* Sometimes getting to the job site is work itself. That’s why we’re introducing Canada’s only 4-wheel drive commercial van — the Sprinter 4x4. Activated at the push of a button, the Sprinter 4x4 uses the 4ETS feature to electronically control individual wheels, giving these cargo vans some serious ground-gripping power when you need it. See what it’s made of at Sprinter4x4.ca.
/mbcanadasprinter
/mbcanadasprinter
/mbcsprinter
©2014 Mercedes-Benz Canada Inc. *National MSRP is shown and is intended for information purposes only. Prices do not include taxes, levies, fees, freight and delivery charges, insurance and licence fees, as well as any other products or services not listed that may be available to you through your selected Mercedes-Benz dealership. Vehicle prices subject to change. Dealer may sell for less. These prices do not apply in provinces with total/all-in pricing requirements. Please contact your local dealership directly for exact pricing details and total pricing applicable in those provinces.
10-13_News.indd 11
14-10-09 5:19 PM
INDUSTRY NEWS
Skyjack aims to raise $10K for Canadian Breast Cancer Foundation
fundraised money for several years, now we’d like to help them raise even more for a great cause,” said Brad Boehler, president of Skyjack. “Skyjack will be aiming to raise $10,000 to benefit the Canadian Breast Cancer Foundation.” The company will decorate its booms with a special pink ribbon when delivering the booms, and limited-edition “We Love Booms” t-shirts are available on Skyjack’s website: www.skyjack.com. All proceeds will benefit CBCF. Skyjack produces three articulating boom models, the SJ46 AJ, SJ51 AJ (Europe only) and SJ63 AJ, and four telescopic boom models, the SJ40 T (North America only), the SJ45 T and SJ61 T (North America only), and the SJ66 T.
Linamar Corp.’s Skyjack Division is supporting Breast Cancer Awareness Month in October by donating a portion of articulating and telescopic boom sales and selling limited edition t-shirts to benefit the Canadian Breast Cancer Foundation (CBCF). The company kicked off its month-long campaign on Oct. 1 at its headquarters in Guelph, Ont. by welcoming visitors with an arch made up of two pink SJ63 AJ articulating booms. “Several Skyjack employees have been impacted by breast cancer and have
Many Options. One Choice. With so many options in today’s commercial van market, we strive to make one choice easy: your cargo management solutions! Adrian Steel is the industry leader providing cargo management solutions that optimize the value of the commercial van you drive today, and the one you will be driving tomorrow.
Big Iron, big wheels attract thousands to B.C. trade show The Pacific Heavy Equipment Show— British Columbia’s big iron showcase—took place from September 19 to 20 at TRADEX in Abbotsford, and for the first time ever it was co-located with TRUXPO, Western Canada’s largest commercial trucking show. The Pacific Heavy Equipment Show provides a venue for equipment owners, operators and purchasers in general construction, trucking, public works, utilities, aggregate production, road building and maintenance from across Western Canada to see, demo and purchase equipment and services. The Pacific Heavy Equipment Show had 3,240 registered visitors, while TRUXPO boasted a record-breaking 10,352 visitors. A variety of industry professionals went to one or both shows. “We had a lot of visitors with interests in both the heavy equipment and trucking industries,” said Mark Cusack, national show manager. “There was a lot of crossover traffic between the two shows. Certainly the idea of having both Pacific Heavy and TRUXPO on the same weekend was wellreceived by exhibitors and visitors alike, and appears to be a winning formula that we’ll keep for the next event in 2016.”
Holcim Awards showcase innovation in sustainable construction
AdrianSteel.com
Holcim handed out more than US $330,000 in prize money to 13 projects from across Canada and the U.S. at its North American sustainable construction awards in Toronto on September 18 at Evergreen Brick Works—a Holcim Awards prize winning project in 2008. A panel of experts chose winning projects that met sustainable construction practices while also highlighting architectural excellence and a high degree of transferability. To be eligible for an award, projects must not have been started before the final day submissions were due for the contest (July 31, 2013).
12 / OCTOBER 2014
10-13_News.indd 12
14-10-09 5:19 PM
INDUSTRY NEWS
The top prize of $100,000 went to a water supply and flood mitigation project in Las Vegas. Second place and $50,000 went to the “BIG U” urban flood infrastructure project for lower Manhattan, and a zero-carbon compostable structure, recently on display at the Museum of Modern Art in New York, won $30,000 for placing third.
Architects Nader Tehrani and Katherine Faulkner of NADAAA in Boston received an acknowledgement prize and $25,000 to renovate and extend the University of Toronto’s John H. Daniels building, which is home to the university’s faculty of architecture, landscape and design. Jonathan Enns, of Enns Design/solidoperations in Toronto, Ont., finished fourth in the next generation category (for young professionals and students) and took home $7,500 for Timber-Link, an interlocking panelized timber building system designed for Cape Dorset, Nunavut. The Toronto awards for the North American region followed the first presentation of winners in Moscow (for Europe). Holcim will hold additional awards events in Medellín (for Latin America), Beirut (for Africa Middle East) and Jakarta (for Asia Pacific). The projects that receive gold, silver and bronze awards in each of the five regions automatically qualify for the Global Holcim Awards 2015. The Swiss-based Holcim Foundation has run the Holcim Awards for Sustainable Construction competition since 2004. The awards are held every three years and offer $2 million in prize money.
CAC welcomes Ontario mandate for low-carbon fuels The Cement Association of Canada (CAC) strongly supports the Ontario government’s renewed commitment to develop new alternative fuel rules in 2014 to help big, energy-intensive industries reduce their GHG emissions. The commitment forms part of Premier Kathleen Wynne’s mandate letter to Environment and Climate Change Minister Glen Murray, and is a key element of the government’s plan for “Moving Forward on Climate Change,” according to the CAC. “Premier Wynne’s government is demonstrating leadership on climate change, promoting solutions that are good for both the environment and the economy,” says Michael McSweeney, CAC’s president and CEO. “We look forward to working with Minister Murray and the environmental community to continue our industry’s progress on reducing greenhouse gas emissions and other air pollutants.” The CAC says the cement industry is eager to continue its efforts to reduce greenhouse gas emissions, and shifting to lower-carbon fuels will help achieve these goals. In addition, bringing Ontario’s regulatory framework for alternative fuels in line with leading practices globally will help bridge the gap with Europe and other jurisdictions, where fuel substitution rates are more than ten times higher than in Ontario.
INDUSTRY LEADING CONSTRUCTION SOFTWARE THAT INTEGRATES WITH YOUR ACCOUNTING SYSTEM.
Estimating
Dispatching
Safety
GPS
Job Costing
Equipment Maintenance
Fuel Tracking
Cloud Hosting
Used by 40,000 construction professionals World-class 24/7 instant customer support Construction-friendly desktop & mobile apps Low risk—Software comes with a 12-month money back guarantee!
www.HCSS.com/On-Site
Mobile Apps
Innovative
Software
for the Construction Industry
800-683-3196
on-sitemag.com / 13
10-13_News.indd 13
14-10-09 5:19 PM
CONSTRUCTION STATS A selection of data reflecting trends in the Canadian construction industry
Total value of permits $ billions 9.5 9.0 8.5 8.0 8.0
Building permits up in July
7.0
Canadian municipalities issued building permits worth $9.2 billion dollars in July, up 11.8 per cent from June and the fourth consecutive monthly advance. In the non-residential sector, the value of permits rose 5.2 per cent to a record high of $4.2 billion. This represented a fourth consecutive monthly increase. Gains were recorded in six provinces, with Manitoba accounting for most of the increase.
6.5 6.0 5.5 5.0 4.5
J 2009
J
J
2010
2011
J
J
2012
Seasonally adjusted
2013
J
J 2014
Trend
Note(s): The higher variability associated with the trend-cycle estimates is indicated with a dotted line on the current reference month and the three previous months.
Employment
Capacity use in construction on the rise
thousands 18,000 17,800
Canadian industries operated at 82.7 per cent of their production capacity in the second quarter, up 0.6 percentage points from the first quarter and the fourth consecutive quarterly gain. Manufacturing industries as a whole were the main source of this increase. Capacity use in the construction industry rose 0.6 percentage points to 84.1 per cent, as production rose in all parts of the industry except non-residential building construction.
17,600 17,400 17,200 17,000 16,800 16,600
A 2009
J
J 2010
J 2011
J 2012
J 2013
A 2014
The industrial capacity utilization rate continues to rise % 84
Construction employment up in August Employment was little changed in August and the unemployment rate remained at 7.0 per cent. Compared with 12 months earlier, employment increased by 81,000 (+0.5 per cent), mostly in part-time work. There were 24,000 more people employed in construction in August. Compared with 12 months earlier, employment in this industry was little changed.
82 80 78 76 74 72 70
I
II III IV
2009
I
II III IV
2010
I
II III IV
2011
I
II III IV
2012
I
II III IV
I
2013
2014
II
Source: Statistics Canada
14 / OCTOBER 2014
14-15_Stats.indd 14
14-10-09 4:51 PM
13114_DDC
Even engines as powerful, efficient, and reliable as the Detroit™ DD13®, DD15® TC and DD16® aren’t worth much if they aren’t running. That’s why we created the Detroit Virtual Technician™ onboard diagnostic system. In the event of a fault code alert, the engine notifies you and our Customer Support Center in seconds. Engines can’t fix themselves, but with Virtual Technician and hundreds of authorized service locations we’re almost there. Demand uptime. DEMANDDETROIT.com DDC-EMC-OTH-0124-0213. Specifications are subject to change without notice. Detroit Diesel Corporation is registered to ISO 9001:2008. Copyright © Detroit Diesel Corporation. All rights reserved. Detroit™ is a brand of Detroit Diesel Corporation, a subsidiary of Daimler Trucks North America LLC, a Daimler company.
13114_DDC7836_HardworkingQR13R_OnSite.indd 1 14-15_Stats.indd 15
7/8/13 11:10 AM 14-10-09 4:51 PM
LIFTING
Hitting it out of the Park BY DAVID GODKIN
16 / OCTOBER 2014
16-19_Lifting.indd 16
14-10-09 4:53 PM
AWP manufacturers offer greater reach and versatility
L
os Angeles Dodgers? Baltimore Orioles? Forget it. Here are the real boys of autumn: three AWP manufacturers with a broad reach and swinging for the fences. Each steps to the plate to take a cut at some hard questions about what makes their machines so special.
IT’S NOT ALL ABOUT THE LENGTH OF YOUR BAT In 2011, JLG Industries introduced the 1500 SJ, the first straightboom lift that takes workers to 150 feet without an oversized load permit, making it, senior marketing manager Jeff Ford said at the time “the largest telescopic boom ever created.” Scroll forward to 2014, JLG’s latest offering, the 1850 SJ Ultra Boom Lift and the question hangs in the air: how much higher can aerial lift makers go? “Customers today want to drive an AWP at full height, transport it easily by trailer, with only a weight permit,” says Ford. “Given these restrictions we feel we’ve gone as high as we can go for right now.” In fact, Ford points out, height is far less important than “maximizing the work envelope.” At roughly 3.2 million cubic feet of work area the 1850 SJ is “a massive work envelope.” But more importantly “it’s about how much reach you have at height.” In other words, if you’re 80 feet away from something that’s 100 feet in the air, can you still get to it? “So maximizing that top end of the reach envelope is what we feel we’ve done really well on this product.” Not to be outdone, MEC’s Titan Boom 60-S, in production for nearly a year, is a fully purposed telescopic boom with a platform rotator identical to its predecessor the T40. Similar to the T40, it rotates 90 degrees from the centre in each direction. The height advantage “is a huge part,” says MEC’s product support manager Jeff Smith,
“because so many companies said the T40 just doesn’t go higher.” But again it’s not all about height: that additional reach of 20 feet also increases your driving range, he points out. “You can now drive it for 40 feet instead of 30 feet,” Smith adds, because of the way the fourwheel steering axles and platform articulate. “You can actually come at the building from a 40-degree angle, turn your wheels and drive forward and go parallel along the building. And that’s huge, too.”
PLAY HARD, PLAY SMART While the platform on both the T40 and T60 machines have the same surface area, MEC decided to reduce the load capacity of the T60 from 4,000 to 3,000 pounds to take pressure off the chassis. The T60’s other advantages are its material handling and manlifting capability. “They can go to work for long periods of time with quite a bit more platform space to put it on and to work with. So you don’t have a boom or two booms and a telehandler, you just do it all with one boom.” The icing on the cake, says Smith, are side gates for faster loading onto the platform’s load zone. “They’re beautiful,” says Smith. “You open the side gate and you have a full 7.5 feet to set the load. It’s fantastic.” JLG has put a lot of thought and elbow grease into capacity as well. The 1850SJ boasts up to 1,000 pounds of capacity, says Ford, “so you can take more people, parts and pieces, tools and equipment,” all this while giving the operator a comfortable environment in which to work, he adds. It is important to remember: most AWP operators are trades people first. That’s why an LED panel,
on-sitemag.com / 17
16-19_Lifting.indd 17
14-10-09 4:53 PM
LIFTING
“All are equipped with material handling equipment, with a rearmounted 15-ton winch on the E160 and up to 14,000 pounds of lifting capability. This two-in-one approach, with the material handling capability of a crane, gives us a big market edge.” On the flip side are the man-lifting capabilities of Elliott’s AWPs, notably the 45-ton 45142 BoomTruck unveiled this summer featuring a 142-foot, five-section telescopic main boom and a detachable two-man work platform. Designed for electrical transmission construction and oil/gas service that requires very long main boom lengths, the two-man work platform’s yoke system hydraulically elevates attachments to the boom or jib tip, reducing attachment time and the potential for strain injuries.
just want the machine “toOperators work well and to get where they need to go.” MINIMIZE COST, MAXIMIZE VALUE
for example, is so important, providing a graphic view of the work envelope, flashing service codes when there’s a problem with the engine, including, Ford chuckles, whether it’s actually running. “Because you can’t hear your engine running at 185 feet. So that’s unique to JLG: the LED keeps the operator informed and feeling comfortable that things are going like they should down on the ground.” Don’t forget, says Smith, “You also need good troubleshooting capabilities.” On-board diagnostics and easy access to internal components are just some of the things MEC is looking to improve as each new series or model comes along. A case in point: MEC’s On-Board Diagnostic Centre, located inside the lower control box door. It makes troubleshooting a whole lot easier. For his part, David Phillips, global sales and marketing manager for Elliott Equipment Co., says sometimes you can overdo the use of smart technologies. The E160/215 truck mounted AWP “has a lot of the same operator parameters that a boom truck would have, but we get away from all that complicated computerized European control system stuff and we keep it simple.” What really distinguishes this Nebraska-based lift manufacturer from all the others? Elliot Equipment, Phillips boasts, is “the only company that produces a truly multifunctional aerial device.”
If you’re going to use smart technology, says Phillips, it’s got to be right there on the work platform—like Elliott’s LMI display integrated in the remote contol roller to ensure staff enjoy smooth and precise remote control of the machine while up in the air. Elliott’s telescopic booms can also run very large cable carriers up to the tip, allowing operators to handle everything from 110-volt lines to hydraulic hoses and pressure washers, in a multitask environment. “So once the guy’s up there he can quickly connect his welder leads or his oxyacetylene torch, stop and start it from the basket and operate up there basically as an office in the sky.” The large basket, meanwhile, gives the operator the ability to move around freely and have all the tools he needs “without having to lug them up there with him. That capability doesn’t exist with many other products on the market,” says Phillips. Productive, safe, comfortable, that’s what most AWP operators and their bosses want from their AWPs. “That and ease of operation are a big deal,” adds Smith. “Operators just want the machine to work well and to get where they need to go.” Rental companies, in particular, are looking for the best rate of return (ROR) on the investments they make in these machines, says Ford. In fact, ROR is the main thing engineers are thinking about when they sit down to their drawing board or computer each morning. “How do we make sure this machine has maximum uptime? How do we make sure it’s durable, reliable, that it stays on rent and not back in the shop?”
David Godkin is a B.C.-based freelance writer and editor. Send comments to editor@on-sitemag.com
18 / OCTOBER 2014
16-19_Lifting.indd 18
14-10-14 2:43 PM
precision dozer doing a e in ag im grading. Itâ&#x20AC;&#x2122;s hard to eed of rough sp e th e ic pcon fast. grading at tw st. Thatâ&#x20AC;&#x2122;s To fa as e ic tw 3D grading, /3 D M C 2 ti o n in g .c o m si o p n co p to
16-19_Lifting.indd 19
14-10-09 4:54 PM
SITE SAFETY
BY JIM BARNES
How to maximize your safety management investment
S
afety management software started to come on strong more than a decade ago. It was an alternative to the folders full of Microsoft Office files many contractors used to document compliance to safety regulations. Today, the technology has evolved beyond tracking compliance to provide a real added value for many companies. “Customers want information on leading indicators, not just lagging indicators, so they can predict where problems might occur in the future,” says Chris Henry, director of technical services, HCSS, Sugar Land, Texas.
TOUGH CHOICES When choosing software, make sure to check how it will be adapted to the regulatory environments you work in.
Intelex Technologies Inc., for example, supports customers in Canada (WCB), the USA (OSHA) and Europe. “The system has templates for those specific regulatory bodies. We also have a generic template that can be modified,” says Kristy Sadler, vice president, Global Marketing, for the Toronto firm. Simply Safety! prints out all WCB forms for Canadian provinces as well as OSHA 300A and several custom state forms, notes Mike Porisky, president, CCD Health Systems, Vancouver. “It's up to the user to know his local regulatory environment. HCSS gives him the tools to manage that data,” says Henry. “We give them the flexibility to manage their program within different jurisdictions.” Another concern is selecting software appropriate to your company’s size—while allowing for growth. Is the system scalable? “Our latest version will allow prospective customers to purchase from over a dozen integrated modules, selecting only those they
20 / OCTOBER 2014
20-23_Site_Safety.indd 20
14-10-10 10:47 AM
are interested in. This strategy allows smaller companies to take advantage of a lower cost of entry,” says Porisky. The system can support any number of simultaneous users. HCSS’s enterprise system offers scalability from very small businesses to large ones across jurisdictions, notes Henry. Smaller companies, or divisions of larger companies, can expand the Intelex software to cover new requirements, adds Sadler. The software you already have in place is going to help determine your choice. “If your current ERP system meets your needs and is the best system for your employees, that's what you should go with,” says Henry. “If not, your safety software provider should provide you a way of interfacing into those applications. They shouldn't hold your data hostage so you'll buy the rest of their solution.” Interfacing with third-party systems can be handled in a number of ways, which could range from an Excel file dump to SQL views. Simply Safety! allows the importing of employee records including an auto-import process for synchronizing external data sources, says Porisky. The program can also be configured to import training records, incidents and equipment. “A newer version will permit direct (read-only) retrieval of employee details from the most popular HR systems as well as employee training systems and ISNetworld,” says Porisky. The Intelex application has an open-path API, so it integrates with any other external database, including PeopleSoft and SAP, according to Sadler.
FLEXIBILITY Flexibility is another key consideration. How easy will it be to adapt the software to your needs? Intelex incorporates Application Builder, a WYSIWYG tool that lets you change and add fields and customize workflow. “If you're a small company, you don't have to pay to configure it—you can do it yourself,” says Sadler. HCSS also lets you adjust custom inspections in the field with a couple clicks of the mouse, says Henry. This becomes important when working with specific government requirements, subcontractors or a joint venture partner. Mobility seems to be a focus for most of the major safety software providers. “If you don’t have mobile safety, then you’re kind of missing out,” says Jim Paulson, president of Viewpoint Construction Software. You can document a near miss or an incident on the tablet with a picture; tag it, file it, connect it to a job and immediately put that in the back office or work-flow it to a safety director, or whoever needs to see it.
HCSS moved its field system from laptops to mobile tablets. “You get all the information you need—you can review individual employee skills and certifications on the job site,” says Henry. You can use the safety field mobile app to capture safety meetings, pictures, inspections, near misses, and incidents right from the field. The main system is now web-based, offering easy access to any authorized user. CCD started developing the mobile version of Simply Safety! earlier this year. “In the first release, privileged users will have access to employee information including demographic details, scheduled and completed training. Employees will be able to enter incidents and complete WCB claims while managers will be able to follow up on corrective actions and perform inspections. Intelex is also fully mobile and web-enabled. Its EverSync technology means field users are not only plugged into corporate systems, they are upgraded automatically on the latest changes to the application. If in remote areas, their data is stored and synced as soon as there is a connection.
on-sitemag.com / 21
20-23_Site_Safety.indd 21
14-10-14 2:41 PM
SITE SAFETY BENEFITS
TRAPS AND PITFALLS
The benefits of safety software go far beyond managing compliance and reducing your insurance costs. “The intangible benefit comes when your employees start to understand how important safety, and their personal safety, is to you,” says Henry. As organizations mature, they change how they use the software. They realize the product will help to mitigate organizationwide risk. Then, they really start driving performance. “Someone using the software simply as a compliance device is not getting the full value out of it,” says Sadler. Many organizations perceive safety software as a cost. “We've done an ROI assessment,” says Sadler. She suggested that in some cases the software could pay for itself in three years through premium reduction and risk management. B.C. roadbuilder BA Blacktop, for example, has implemented Intelex’s Standard Safety Incident and Quality Nonconformance apps. Electronic task assignment increased accountability and adherence to quality and safety initiatives in the company, says Intelex. The result was a dramatic increase in non-compliance reports. Tracking of safety incidents led to an 18 per cent reduction in motor vehicle accidents and a 56 per cent reduction in spills since 2009, along with noticeable reductions to insurance premiums. As well, incidents per 200,000 man-hours were reduced from 7.16 to 1.38 per year. "Ultimately, this is about all your employees going home safe at the end of the day," says Henry.
What are the pitfalls in selecting and implementing safety software? Entering quality data is essential. “We like to steer our new clients in the right direction by providing several hours of complimentary setup training,” says Porisky. Automating bad processes is another major error. “Before you start to think about software, you should take a really good look at your safety programs. Make sure you have a good safety foundation within your organization and that you’re running the basic steps,” says Henry, who adds that hiring a safety consultant is often a good investment. Also, he says, bring someone from the field in to the design phase. Getting a real-world point of view can save time later. Do all the planning and configuration up front. Do not view safety software as a reactive tool. “We’re always trying to get across that this is a proactive tool. Are you reporting on near misses? Are you capturing that data and trending it? Are you looking at it across locations and across pieces of equipment?” asks Sadler. Staff communications is also a key piece. “A lot of software implementations have failed because of a lack of user adoption,” he adds.
Jim Barnes is a contributing editor to On-Site. Send comments to editor@on-sitemag.com
Another was flexibility. The system
present is getting a finer level of data
Grow your own
is mobile. Data captured in the safety
that is more specific to their needs out
If you can’t find what you want,
forms on the tablets is stored in a
of the system.
build it. In 2005, that is what PCL did. “We did a market survey against our baseline needs and couldn’t find anything that would work for us,” notes Gerry Salm, relationship manager, Business Technology Department, PCL Constructors Inc. The company decided to build its own fully functional application, Safety Management Center (SMC), using Microsoft SQL Server. They re-verified that decision a couple of years ago with another market survey as they were looking at a major upgrade to SMC. One key point was integration… the safety management system is connected to PCL’s other enterprise systems.
22 / OCTOBER 2014
repository that is accessed through enterprise reporting. “We can get real-time statistics
“We have passed the stage where a report is going to serve the needs of everybody. We’re moving the data
on lost-time incidence frequency
over to a business-intelligence data
reporting and some of the other safety
warehouse platform that gives people
frequency reporting that requires
the analytics that they’re looking for,”
man-hours analysis, in addition to
says Salm.
the safety inspection and incident
“We think we’ve got something
information that comes from the
that’s unique in the industry. It mar-
form,” says Salm
ries up operational data with ERP
“Data collection is tied into the
data and lets us, in real-time, ana-
collaboration tool on the project,
lyze safety and safety statistics and
so that information we have about
provide real value to the folks at the
the sub trades, clients and architect
job site as well as the folks in the
comes over into our safety application,
office that are looking at things
making it easier for people to fill in
with a bigger lens.”
the forms,” says Salm. The number one user demand at
A powerful tool for getting your tools. TD Equipment Finance We offer leasing and equipment financing solutions to suit your business. Our team can help you finance equipment, improve cash flow, and align terms and structure with your financing needs. Contact us and put TD Equipment Finance to work.
Find a Business Banking Specialist at tdcommercialbanking.com/representative or contact TD Equipment Finance at 1-800-263-3216 速
The TD logo and other trade-marks are the property of The Toronto-Dominion Bank.
20-23_Site_Safety.indd 23
14-10-10 10:47 AM
—2014— VOCATIONAL TRUCK REPORT
Manufacturers up to challenge of heavy customer demand load PATRICK CALLAN
I
n our latest heavy equipment roundup, we took an in-depth look at some of the most recent options to hit the vocational truck market. With each new model designed for North American users, manufacturers are consistently aiming to strike the perfect balance between features like power, comfort, cost, safety, performance, efficiency and durability, all while meeting strict environmental standards. These features, and many others, are especially important when it comes to vocational trucks (dump trucks, cement mixers and garbage trucks), which are typically used to haul materials, equipment, or to perform a specific job or group of related jobs. What follows is a synopsis of how five leading construction manufacturers are adapting their machines to meet the evolving demands of vocational truck drivers.
SET-FORWARD Caterpillar (Cat) recently expanded its heavy-duty line of Class 8 work trucks with the CT681. Designed for customers who prefer a longer wheelbase truck and need to meet restrictive load limitations on bridges and roads, the CT681 is Cat’s first set-forward axle truck. Applications include snowplow, concrete mixer, water truck, dump and super dump. “Many of our customers are affected by bridge law formulas in their [provinces] or on the highway, and the set-forward axle design helps them maximize their loads,” says Dave Schmitz, product
Cat’s CT681
manager for Cat’s global on-highway trucks. “Other customers prefer a longer wheelbase truck for better ride quality on long hauls or rough haul roads. For them, a set-forward axle model like the CT681 is ideal. We built it to haul heavy loads, work hard and last for years, even in the toughest applications.” The CT681 joins the CT660 (which has a set-back front axle) in Cat’s line of vocational trucks. Schmitz explains the biggest differences are the features available on the front of the truck— the CT681’s optional front frame extension and front engine power take off. These options make it quick and easy for customers to mount attachments like snowplows, hose reels, winches and hydraulic pumps.
24 / OCTOBER 2014
24-30_Vocational trucks.indd 24
14-10-10 11:36 AM
Freightliner’s 122SD
Kenworth’s T880
“We also worked to maintain a short (114-inch) bumperto-back-of-cab to allow more room and flexibility in installing bodies behind the cab. Mixer installation is simple, too, with vertical tie-in plates mounted behind the cab,” he adds. Cat unveiled the CT681 in March 2014 at CONEXPO-CON/AGG in Las Vegas following an extensive field-testing program—equivalent to more than three years of truck use—that involved over a dozen customers across North America. The CT681 is powered by a Cat CT series vocational truck engine and is available with a Cat CX31 automatic transmission. It also features a spacious, ergonomic cab designed to boost driver productivity and safety. “It’s a product that we’d been looking for to get into the business of being a bumper-to-bumper full truck line dealer,” says Bill Mitchell, general sales manager for on-highway trucks at Holt Cat (a Cat dealer). “We’re pleased with the product. Our customers are pleased with it. The product is growing every day. It’s opening again, more opportunities for us.”
SEVERE DUTY Freightliner’s Severe Duty (SD) family of work trucks—108SD, 114SD, 122SD—combine toughness and efficiency. The SD line features front frame extensions and radiator-mounted grilles for body attachment installations, front and rear engine power-takeoffs, and body-specific chassis layouts. For the construction market, the SD line works well for heavy applications such as dumps, cranes, roll-offs and mixers. The lightweight and durable SD cab maximizes payload and offers extended service life. For the municipal market, the SD line accommodates a range of specialized applications from sewer vacs to snow plows and refuse vehicles. A Cummins ISL G natural gas engine is available in the 114SD set-back axle, which provides municipal customers with a factory-built, environmentally friendly, and low-cost-of-operation vehicle.
For body builders, the mid-chassis packaging capabilities of the SD line offer a variety of fuel and DEF tank configurations, combined with under-cab after treatment systems and battery boxes for efficient body installations. “We know that vocational customers have operating requirements that are different from our on-highway fleet customers, and we have structured our efforts to focus on those needs,” says Mark Lampert, senior vice-president of sales and marketing for Daimler Trucks North America. Freightliner’s most recent vocational truck, the 122SD, joined the series in August 2013. It is designed for heavy-duty applications such as oversize hauling, logging, oil/gas field service, crane, dump, or towing/recovery. Features include a durable, non-corrosive aluminum cab reinforced with e-coated steel, west coast style mirrors, hood durability, an impact-resistant back window, and halogen headlights with serviceable glass lens reflector and bulb. “Freightliner has had a strong presence in the vocational arena, specifically with the FLD SD product line,” says David Hames, general manager of marketing and strategy for Daimler Trucks North America. “The next generation of severe duty products will build upon that legacy and expand Freightliner’s presence in the vocational marketplace today.”
ROBUST AND RELIABLE Launched at the 2013 Mid-America Trucking Show in Louisville, Ky., Kenworth’s T880 vocational truck is designed for durability and reliability in dump, mixer, refuse and heavy haul applications. The T880 is standard with the PACCAR MX-13 engine rated up to 500 horsepower and 1,850 lb.-ft. of torque. The PACCAR MX-13 provides a lightweight, fuel-efficient engine for vocational applications over 100,000 pounds. The T880 can be ordered with a 116.5-inch bumper-to-back-of-cab hood optimized for the PACCAR MX-13 engine or with the 122.5-inch bumper-to-backof-cab hood.
on-sitemag.com / 25
24-30_Vocational trucks.indd 25
14-10-10 11:36 AM
Onserisci riat. Onse Ut ra volo
—2014— VOCATIONAL TRUCK REPORT
EXTREME EFFICIENCY
Mack’s Granite MHD
Western Star’s 5700XE
Western Star’s 5700XE is a fuel-efficient on-highway truck designed to combine style, reliability and fuel efficiency. “XE—which stands for extreme efficiency—summarizes what this truck is all about,” says Michael Jackson, general manager at Western Star. “By blending Western Star ruggedness with aerodynamic innovations, and the most fuel efficient powertrain available, we have built a powerful solution that is the best of both worlds.” The Class 8 on-highway truck is suited for owner-operators and small to medium fleets in truckload/LTL, bulk, and long-haul applications. The 5700XE features a 126-inch back-to-bumperof-cab with a set-back axle, and is available in a range of spacious and lightweight sleeper configurations. “The 5700XE builds on proven aerodynamic technologies from parent company Daimler Trucks North America and adds edgy styling to set it apart from other trucks,” says Ann Demitruk, director of marketing for Western Star. “Inside and out, the 5700XE is one of the most technologically advanced trucks, with innovative safety features that keep drivers secure while on the road.” The 5700XE features an adjustable steering column and modern steering wheel with integrated controls for the stereo and cruise control, as well as a Bluetooth connection for mobile phones. In addition, a turn signal stalk includes integrated wiper and high beam controls. A transmission control stalk on the right side of the column allows fingertip control of the engine brake and Detroit DT12 transmission. “The 5700XE will change the way people look at aerodynamic trucks and the way they look at Western Star,” says Demitruk.
MEDIUM HEAVY-DUTY “We designed the T880 with distinctively sculpted lines that form an evolutionary, but uniquely Kenworth look,” explains Kevin Baney, Kenworth’s chief engineer. “The T880 features a panoramic windshield for enhanced visibility, quiet cab with its triple-sealed and robust doors, five-piece hood for easier and faster repairs, airassisted hydraulic clutch, complex reflector headlamps, excellent maneuverability, and new lightweight, factory-installed lift axles.” The T880 uses Kenworth’s 2.1-metre wide, stamped aluminum cab, which is robotically assembled and has 23 inches of room between the seats. The cab is also equipped with cowl-mounted mirrors for better visibility, increased durability and reduced adjustment. The T880 is available with five factory-installed and lightweight Watson & Chalin lift axles, including a 10K offering and a 20K version with a 200-pound weight savings. Also offered are new steering gears for improved steering feedback and increased wheelcut for greater maneuverability. “The Kenworth T880 offers truck operators and fleets a very comfortable work environment for drivers, lower operating cost and enhanced productivity,” adds Preston Feight, Kenworth’s assistant general manager for sales and marketing.
Mack Trucks unveiled its Granite Medium Heavy Duty (MHD) 4x2 model during the 2013 National Truck Equipment Association Work Truck Show in Indianapolis. The truck is offered in Class 7 or Class 8 and is designed to meet the needs of customers demanding a lighter yet rugged work truck. Available in heavy-duty or mediumduty configurations, the MHD 4x2 is the latest version of the Mack Granite MHD launched in 2011. “The MHD 4x2 offers a great option for customers needing a truck tough enough to manage their daily operations, but in a lighter weight configuration to increase their ROI,” says Curtis Dorwart, Mack’s vocational marketing product manager. Equipped with a Cummins ISL9 345-horsepower engine, with a maximum torque rating of 1,150 lb.-ft., the MHD 4x2 provides power, durability and reliability. A back-of-cab design helps the MHD 4x2 accommodate a wide variety of body options, including those required for utility, dump and municipal applications. The short bumper-to-tire distance offers front-end swing clearance and improved wheel cut, which is crucial for navigating tight turns in municipalities and construction sites. The galvanized steel cab is mounted on airbags and shocks
26 / OCTOBER 2014
24-30_Vocational trucks.indd 26
14-10-10 11:36 AM
WHAT WE DO IS GROUNDBREAKING BECAUSE WHAT YOU DO IS BACKBREAKING. With best-in-class capabilities across the board, the all-new 2015 Super Duty delivers the power, towing and efciency your job demands. So no matter what you put it through, you can count on Canada’s best-selling work truck† to pull through. BEST-IN-CLASS:* 31,200 LBS. MAX. TOWING | 860 LB-FT OF TORQUE | 440 HORSEPOWER | DIESEL FUEL EFFICIENCY
FORD.CA
Vehicle may be shown with optional equipment. *Class is Full-Size Pickups over 8,500 lbs. GVWR vs. 2014/2015 competitors. Max. horsepower of 440 and max. torque of 860 lb-ft on 2015 F-250/F-350 with available 6.7L Power Stroke® V8 diesel engine. Maximum towing capacity of 31,200 lbs., when properly equipped. Best-in-class diesel fuel consumption: Class is Full-Size Pickups over 3,856 kg (8,500 lbs) GVWR. Based on Ford simulated city-suburban drive-cycle tests of comparably equipped 2015 Ford and 2011–2013 competitive models, consistent with SAE Standard J1321. Actual fuel consumption will vary. †Based on IHS Automotive: Polk Canadian Total New Registration data for vehicles over 8000 lbs. for January 2013 – February 2014. ©2014 Ford Motor Company of Canada, Limited. All rights reserved.
24-30_Vocational trucks.indd 27
14-10-10 11:36 AM
—2014— VOCATIONAL TRUCK REPORT so the driver stays comfortable during the workday. The Mack Cornerstone chassis, built from high-strength steel alloy for a stronger and lighter frame, is offered in four frame rail thicknesses ranging from 7 to 11.1 mm. The MHD proved up to the task of plowing the tight and narrow
streets of Wilkes-Barre, Pa. during the snowstorms last winter, so much so that the city bought five of them. Butch Frati, director of operations for the City of Wilkes-Barre, said he’s been impressed by their performance. “I’m pleased that we chose Mack,” he said. “The MHD vehicles outperform others. The MHD models are durable, cost-efficient because of their fuel efficiency benefits, and an overall pleasure to drive. Our drivers consistently report that. “Wilkes-Barre is about eight miles long and two miles wide, so we have a lot of hilly, narrow neighborhoods that can prove to be difficult to plow,” he said. “The MHD models have excellent maneuverability and they easily handle the tight roads. The Mack MHDs easily handled the streets and the snowfall.”
WHAT WILL THEY THINK OF NEXT?
overbuilt
to be overworked. Find your bucket at www.geith.com 2905 Shawnee Industrial Way, Suwanee, GA 30024 T. 800-762-4090 F. 866-472-4950 E. ussales@geith.com Geith and the Geith logo are trademarks of Geith International Limited.
In a recent report from Truck News (a sister publication to On-Site), Mack’s sales manager for the Mid-Ontario Truck Centre, Steve Bates, highlighted five vocational truck trends at the Canadian Fleet Maintenance Seminar that he expects to see more of in the future: automation, twin steers, disc brakes, stability and change. Bates said the mixer market has skyrocketed from five to 10 per cent automatic transmissions to about 85 per cent in the past four to five years—a trend he expects to continue in other segments. “My prediction is almost every truck will be automated or automatic.” As for disc brakes, Bates suggested the upcharge of about $4,500 for a vocational truck remains cost-prohibitive for many buyers, but that is likely to change. “Right now there’s a cost factor. People don’t want to spend the money. But costs are going to come down. It’s coming. In three to four years we’ll be almost fully disc.” And finally, with regulations regarding greenhouses gases becoming tougher across jurisdictions nationwide, we can expect to see manufacturers consistently evolving their machines. “Get used to constant change,” says Bates. “It will be continuous.” Make sure to check back with us around this time in 2015 to find out how the vocational truck market is keeping up with the times.
28 / OCTOBER 2014
24-30_Vocational trucks.indd 28
14-10-10 11:36 AM
We call it The Upfront Advantage.
VIEWPOINT CAN HELP. It’s simple, really. With Viewpoint For Estimating you have the upfront advantage of bidding better and faster. This means you’ll win more jobs over the competition and ensure those jobs stay profitable. Advantage, you. Watch an online demo of our estimating software at viewpoint.com/onsite-advantage 800.688.8226
ESTIMATING
MOBILE
ACCOUNTING
PROJECT MANAGEMENT
#viewpointcanhelp
© 2014 Viewpoint, Inc. dba Viewpoint Construction Software. All Rights Reserved.
24-30_Vocational trucks.indd 29
14-10-10 11:36 AM
Customer-Inspired. Technology.
Backed By The Best In Customer-Focused Support. When the engineers at Cummins think about engine designs, the first step is to develop a profile based on what customers need from their equipment. That drives the development of innovative technologies, integrated for maximum efficiency and productivity. Our technicians are then equipped with the knowledge and tools they need to support you every step of the way. It’s all part of the most capable service and support network in the business. For details, contact your local distributor or visit cumminsengines.com. You’ll see – it pays to think Cummins. Every time.
©2014 Cummins Inc., Box 3005, Columbus, IN 47202-3005 U.S.A.
24-30_Vocational trucks.indd 30
14-10-10 11:36 AM
OCTOBER 2014
NEW FORMING TECHNOLOGIES AND MATERIALS SAVE TIME AND MONEY ON THE JOB SITE PG.34
IN THIS ISSUE: www.on-sitemag.com
31-32_ConCover.indd 31
33 CRMCA Column | 39 Carbon Reduction
14-10-10 11:57 AM
T:8.125”
YOU’RE NOT DELIVERING CUPCAKES. T:10.75”
The Mack® Granite® is ready to work. Hard work. Real work. Long work. And it doesn’t care what you put on its back — dump, roll-off, mixer, whatever. It’s ready for anything. MackTrucks.com
31-32_ConCover.indd 32
14-10-10 11:57 AM
CRMCAâ&#x20AC;&#x2122;S CONCRETE BIBLE
T
he most recent version of the concrete standard for Canadian construction has been released. The CSA A23.1/2-2014 Concrete Materials and Methods of Concrete Construction/Test Methods and Standard Practices for Concrete is essentially the industryâ&#x20AC;&#x2122;s bible. As such, it has been proposed for inclusion in the upcoming National Building Code (NBC) for 2015. Previous versions of the NBC have included the CSA standard, but this newly released version has been updated to reflect changes in the marketplace. The standard covers a broad range of issues for concrete testing, placement, formulation and performance requirements. The intent is to provide a sound technical basis for the long-term performance of concrete structures through the use of proper mix designs and construction practices, including performance verification testing. Actual structural design of concrete structures is covered by a sister standard CSA A23.3 The standard is quite detailed with many changes reflected in the new document. In this column we will highlight a few of the most significant changes. The introduction of the newly manufactured Portland Limestone cement (PLC) in the 2009 version had imposed a limitation of use in high sulphate-resistant applications or exposure classes. Recent research shows the ability to blend it with supplementary cementing materials to provide the needed sulphate resistance for those exposure classes referenced in the standard, and have been included in the new version. Exposure classes, which dictate the performance specifications of the concrete application, were added to previous versions of CSA A23. Two new classes have been added. One to address interior concrete floors finished with a steel trowel. The other is for structurally reinforced concrete exposed to manure or silage gases. Rapid Chloride Penetration timeline requirements for C-XL, A-XL, C-1 and A-1 Classes have been extended to 91 days, in order to best address actual performance needs on the project. In the test method section two new testing methods have been added: scaling resistance of concrete surfaces exposed to deicing chemicals using mass loss and electrical indication of concreteâ&#x20AC;&#x2122;s ability to resist chloride ion penetration. Other changes to the standard include in-depth descriptions of stakeholder responsibilities and in the area of testing where additional certified third-party on-site testing results can be used to
determine actual performance. It is noted that both field and laboratory testing should be done by the same certified testing company. One of the major (and more controversial) changes to the standard is in the area of residential exposure classes. The CSA Standing Committee recommended changing the R-1 (residential concrete for footings for walls, columns, fireplaces and chimneys) and R-2 (residential concrete for foundation walls, grade beams, piers, etc.) from a 15 Mpa at a 0.70 water/cement ratio to a 25 Mpa at 0.55 water/cement ratio. It also recommended changing the R-3 class (residential concrete for interior slabs on ground not exposed to freezethaw) from 20 MPA with a water/cement ratio of 0.65 to 25 MPA at a water/cement ratio of 0.55. These were proposed in the public review in order to more correctly line up with similar structures in the commercial and industrial fields. The Standing Committee on Housing and Small Buildings (SCHSB is the group responsible for Part 9 of the NBC) when presented with the proposed changes requested the rational for the changes. During many information exchanges between the two groups the CSA Committee was unable to convince the SCHSB that the proposed changes would improve the performance of residential basements. The argument is that residential basement failures are not due to concrete mix design issues but rather the result of poor construction practices. The NBC will adopt the new version of the CSA standard but will write an exclusion clause and retain the current residential exposure classes from the 2010 NBC. As part of the information gathering process used to investigate the potential changes, it was discovered that there is a broad range of concrete supplied in different market places in Canada. Concrete ranges from 32 Mpa in some provinces to 15 Mpa in others. Use of concrete requirements beyond the minimum of the code are not the issue. But what did come to light is that survey responses still indicated problems with basements even at the proposed strengths, which is a strong indication that the CSA solutions might not minimize the reported problems. This whole issue on the discrepancy between the concrete industry and the building codes brings to the forefront the need for the concrete industry to be more diligent in working with its customers. This ensures when the time comes to change or propose improvements to the standards, both sides can recognize the value and have the necessary tools to assess the rationale and the changes.
Provided by the Canadian Ready-Mixed Concrete Association. Send comments to editor@on-sitemag.com
on-sitemag.com / 33
33_CRMCA.indd 33
14-10-10 3:10 PM
FORMS
EllisDon conducted a field study to measure pressures in self-consolidating concrete.
BY ROSS MONSOUR
NEW FORMING TECHNOLOGIES AND MATERIALS SAVE TIME AND MONEY ON THE JOB SITE
orms and forming technology have been the basis for advancements in concrete construction and the design of buildings for decades. New techniques and materials have allowed for greater flexibility in design and construction, resulting in overall time and cost savings at all levels on the job site. More specifically, innovations in forms and form materials have allowed for flexibility in design such as architecturally finished panels that leave a final interior finish after removal. Techniques for moving forms from section to section, known as flying forms, have sped up construction times and resulted in significant savings. These changes in materials and techniques have also created a greater need for consistency. As such, there are standards in place that address the structural requirements for forming systems. In Canada, standards for concrete formwork are
34 / OCTOBER 2014
34-38_Forming.indd 34
14-10-09 4:32 PM
FORMS
specified under Part 4 of the National Building Code. The main standard for concrete formwork is CAN/CSA –S269.3M “Concrete Formwork”. This standard dictates the rules and requirements for the design, fabrication, erection and use of concrete formwork that provides temporary lateral support or containment of freshly placed concrete for buildings or other structures. This standard is applicable to alterations or repairs to existing buildings. Falsework and scaffolding are governed by other standards. New materials and systems are continually being developed, which in turn creates demand for better performance from supporting systems. This is particularly evident in the use of self-consolidating concrete (SCC). This product has been around for more than 20 years and has gained popularity in the last decade due to the versatility of usage. SCC has revolutionized and opened the door to a range of concrete applications that include architectural finishes after removal of the forms, repairs in areas that were unreachable in the past, bonding to existing surfaces, and placing methods that save time and money. The characteristic of SCC that makes it a unique product is the highly fluid nature of the concrete. The simplest way to describe its appearance is a soup that can be placed minimizing the need for vibration as it is a highly flowable mix that does not separate the aggregate from the paste at this viscosity. The challenge this fluidity creates is the need for additional requirements for the formwork. Concerns with leakage become a consideration but the main structural issue is the formwork pressure that has to be addressed. Standard formwork design is predicated on a full head of hydrostatic fluid pressure of plastic concrete being placed on the job site. Unless there is field data to support a different analysis traditional design criteria must be used. As SCC is highly flowable, unlike any other concrete, the design of formwork ends up with either short walls or extremely strong formwork. This results in overdesign and added cost to the job, which in turn reduces some of the initial benefits of using SCC. Field experience over the years indicates that the thixotrophy (the structural buildup of concrete at rest) might be better modeled based on field trials. Many prediction models have been developed in the past few years and a field trial in Sweden two years ago shed new light on the design parameters. EllisDon Construction Science’s group, a pioneer in using SCC, has joined with other leading researchers to conduct a field study of the pressures and attempt to measure them and provide new data into their prediction models. This study was conducted from August 25 to 28 at a Toronto site. The four supporting research
Self-consolidating concrete has opened the door to a number of concrete applications that include architectural finishes and repairrs in areas that were previously unreachable.
New materials and “ systems are continously being developed, which in turn creates demand for better performance from supporting systems.
”
on-sitemag.com / 35
34-38_Forming.indd 35
14-10-09 4:33 PM
FORMS
S groups were: 1) EllisDon Construction Sciences Group and John Gardener from the University of Ottawa; 2) Kamal Khayat from Missouri S&T; 3) Ahmed Omran from the University of Sherbrooke; and 4) David Lange from the University of Illinois. Each group will be analyzing methods of formwork pressure prediction. Group 1 will be using a method using slump loss measurement; Group 2 & 3 will be using the portable vane method and Group 4 using pressure decay from a column method. The field test will look at three levels of thixotrophy: low, medium and high. The concrete will be placed into eight identical columns at various casting rates. Two columns per day will be placed over the four-day demonstration. The casting rates have an impact on the thixotrophy of the concrete as the flowability is a function of the pressure build-up. Formwork pressure will be con-
Formwork pressure will be continously monitored using cells mounted at various heights along the forms.
Fo m tu th tr 60 ca
No th
1.
The objective will be to establish consistent â&#x20AC;&#x153;prediction models that can be used to modify codes and standards, and result in more cost efficient construction on-site.
â&#x20AC;?
tinuously monitored using cells mounted at various heights along the forms. The fresh properties of the concrete will be measured as part of the various prediction models and the results will be compared to the actual pressures. The objective will be to establish consistent prediction models that can be used to modify codes and standards, and result in more cost efficient construction on site. Several of the photographs in this article give an overview of what the constructed test site looks like. The results are being analyzed and will be the subject of many forthcoming technical papers. One such presentation will take place at the Concrete Canada show on Dec. 3 in Toronto. The project will be presented by Robert Quattrociocchi, R&D engineer with EllisDon Construction. Supporting partners in this research project were BASF, CBM, Gilbert Steel, Amherst Pumping, Oxford Building Supplies, Meva Formwork Systems and Premform. Construction research is an ongoing development. Experience on the job site is translated into design and pre-planning models, making the Canadian building industry one of the most cost effective and efficient in the world. The ability to adapt advanced thinking to new materials and systems will continue to keep EllisDon Construction and other Canadian general contractors at the forefront of development.
This article was contributed by the Canadian Ready-Mixed Concrete Association. Send comments to editor@on-sitemag.com
36 / OCTOBER 2014
003764_On34-38_Forming.indd 36
14-10-10 3:10 PM
SOLUTIONS DELIVERED
@PANAMA CANAL
For nearly 100 years, the Panama Canal has been a vital component of global maritime trade, so when increased traffic necessitated canal expansion, engineers turned to Putzmeister. Twelve Putzmeister Telebelt ® TB 130’s, one Telebelt TB 200, three 58-Meter Boom Pumps, one 52Z-Meter Boom Pump and four Thom-Katt ® TK 40 trailer pumps were brought in to build the two 1,400-foot long by 180-foot wide by 60-foot deep channels that would become the canal’s third set of locks, doubling it’s capacity and allowing it to remain a crucial conduit of international shipping. No matter what the job site throws at you, be confident that Putzmeister will deliver the right solution.
1.800.884.7210
|
PutzmeisterAmerica.com
003764_On-Site Ad_Panama Canal_Dec 2013_8.125x10.75.indd 1
5/20/14 11:53 AM
34-38_Forming.indd 37
14-10-09 4:33 PM
V, U S A S, N
EG A
SV LA
• ER
NT CE
O
N
FE
BR
UA
RY
3-6
AS , 201 • L 6 5 • S E M I N A RS : F E B R U A RY 2
VE
G
C AS
ON
N VE
TI
Come to World of Concrete, roll up your sleeves and try your hand at the year’s newest products, equipment and services. Technology, training, resources and ideas—zoom in at the industry’s only annual international event designed specifically for commercial concrete and masonry professionals.
A selected participant in the International Buyer Program
34-38_Forming.indd 38
www.worldofconcrete.com Source Code: OS
14-10-09 4:33 PM
CARBON REDUCTION
LAFARGE LOWERS CARBON FOOTPRINT AT ALBERTA CEMENT PLANT
R
BY PATRICK CALLAN
ecent upgrades to Lafarge Canada Inc.’s cement plant in Exshaw, Alta. have allowed the company to meet its targets of reducing sulphur dioxide (SO2) by 60 per cent, nitrous oxide (NOx) by 40 per cent, and overall dust levels from its existing cement kiln line. The plant also boasts zero water discharge from its operations. Lafarge invested $20 million to retrofit the existing kiln line and installed noise abatement equipment. These upgrades are part of the plant’s larger expansion, which includes building a new kiln line and vertical cement mill by mid2015, to increase manufacturing capacity by 60 per cent.
on-sitemag.com / 39
39-41_Lafarge.indd 39
14-10-10 10:37 AM
CARBON REDUCTION
Lafarge’s sustainability initiatives at its Exshaw plant also demonstrate the company’s “commitment to ramping up production and growth in Western Canada—especially in Alberta’s Exshaw and Canmore communities. ” Bob Cooper, vice-president, Western Canada Cement Lafarge, described changes the company put in place to meet its environmental goals. “For particulate matter, we had an old gravel bed filter stack that came out of our kiln cooler and we basically took that stack away and vented the gravel bed filters through our main kiln baghouse.” In order to reduce fugitive dust Lafarge paved many of the plant roads, planted trees, shrubs, indigenous grasses, purchased a new water truck to maintain the quarry hall roads, and bought a new sweeper to help with the main roads as well as the roads around the Bow Valley community in southwestern Alberta. To reduce SO2 levels, Lafarge installed fluidized gas desulfurization, which Cooper refers to as “a wet lime slurry injection in our gas conditioning tower. Through that we have an online continuous emission monitoring system and we can monitor our SO2 levels,” he says. “For NOx, we installed selective non-catalytic reduction (SNCR)...basically it’s putting ammonia or injecting ammonia in our preheater tower and that reduces our nitrous oxides. And once again we have a continuous emission monitor and we can see that live, in real time.” Lafarge achieved zero water discharge in the plant’s operations by installing a closed-loop water system with a chiller, which allows processed water to be recirculated within the plant. The plant no longer has to discharge its wastewater into the Bow Valley River, and having the closed loop reduces how much water it uses. As for reducing noise emitted by the plant, it doesn’t sound like an environmental initiative, but it is, says Cooper. “We spent quite a significant amount of money on different noise abatement work, including stacks and fan silencers, and putting in quieter drive motor.” Lafarge recently celebrated a significant safety milestone during the plant expansion project—reaching 500,000 work hours without a lost-time injury. “Everybody’s proud of that on our end of it,” says Cooper. The next major milestone will come in the summer of 2015 when a new kiln and vertical cement mill will be completed. Both will use the most efficient cement manufacturing processes, including high-efficiency burners, SNCR to control NOx emissions, lime slurry injections, and state-of-the-art baghouses to manage particulate matter. All of the environmental initiatives undertaken at Lafarge’s
Exshaw plant are in line with the company’s overarching global sustainability goals, which include achieving 50 per cent reductions in dust emissions, 25 per cent reductions in NOx emissions, and 30 per cent reduction in SO2 emissions, compared to 2010 levels. Cooper adds Lafarge’s sustainability initiatives at its Exshaw plant also demonstrate the company’s commitment to ramping up production and growth in Western Canada—especially in Alberta’s Exshaw and Canmore communities. The plant’s increased production is expected to add $800 million to Alberta’s GDP per year and provide long-term employment opportunities in the Bow Valley for years to come. “We’re in it for the long run,” says Cooper. “We believe in Western Canada and we’re here to support all that growth going forward.” Send comments to editor@on-sitemag.com
40 / OCTOBER 2014
39-41_Lafarge.indd 40
14-10-10 10:38 AM
39-41_Lafarge.indd 41
14-10-10 10:38 AM
B
RISK By David Bowcott
E
Breakthrough: Liquid surety precedence
A
watershed moment within the performance security industry took place several weeks ago when the first liquid surety products were accepted by some lenders as a replacement for the previous liquid instrument of choice—the letter of credit (LC). For several years now the surety industry has been revamping their traditional North American surety offering by making it more responsive to owner claims. The traditional North American surety product responded when the surety company that issued the bond acknowledged there was a default under the bonded contract. As it respects this form, some within the owner and lender community felt that the time to investigate whether a default had occurred was not quick enough to ensure the project remained on schedule. As a result, these owners and lenders sought responsiveness by requiring LCs from the contractor completing the job. To most contractors the requirement to post an LC can be severely constraining to their financial flexibility. The banks that issue them often have very severe security measures in order to issue these liquid instruments. As a result most contractors are extremely reluctant to post LCs to secure their performance. These are very responsive instruments so the banks that issue them for contractors are being very conservative given the immediacy of the payment. To obtain these instruments banks will often take a secured position against the contractor, and depending on the make up of the contractor’s balance sheet, they may require that cash be set aside in order to secure the
LC. To other creditors, these charges and restrictions on cash impact their analysis negatively, often resulting in a reduction of credit capacity. So, we have some owners and lenders requiring very liquid instruments in the form of LCs and we have most contractors not willing to post LCs due to financial constraints. These contractors needed a more sustainable solution. One of the obvious solutions was to turn to their surety partners to see if they could craft an instrument that satisfies liquidity hungry owners and lenders, and at the same time allows the contractor to gain better security terms. Enter the concept of liquid surety. Liquid surety has been on the scene now for more than five years. So, why has it taken so long for these instruments to gain traction within the owner and lender community? Well, there are a few reasons: • Early generation forms were restrictive— Some of the early forms, though more liquid, had provisions that made them less attractive than an LC. Things like payment within 15 to 30 days versus the on-demand nature of most LCs. • General reluctance to change—In my previous column I talked about the project finance community’s reluctance to change security packages. The “we’ve always done it this way” attitude was a major contributor to the delays in adoption. • Lack of track record—The owner and lender community often would ask for precedence in these forms being used and also around claims using these forms. Now there is precedence.
“The tough work to come is determining the framework of how these liquid instruments will be sized, priced and secured by the surety industry.” • General mistrust of insurance products—Some might say the insurance industry as a whole has a less than stellar brand when it comes to claims payments. I’d argue these are isolated cases. Either way, this did have some impact on the slow adoption. • Lack of motivated participants—Within some of these complex project finance deals there are a number of players— contractor, equity, financial advisor, lender advisors and lender. For these deals to move forward you need all parties motivated to do a deal. Several of us within the insurance and construction community have spent a lot of time working to develop traction for these innovative instruments. We’ve focused a lot of our attention and energy working to get these solutions across the “acceptance” finish line. That has been accomplished; however, the work is not done. We still need to determine the framework of how these instruments will be sized, priced and secured by the surety industry. This is where the knowledge the surety industry has about the construction industry can be leveraged to create a more sustainable liquid security solution that satisfies owners and lenders, and also minimizes unnecessary constraints on the contractor’s financial position. Happy negotiating!
David Bowcott is senior vice-president, national director of large/strategic accounts at AON Reed Stenhouse Inc. Send comments to editor@on-sitemag.com
42 / OCTOBER 2014
42-43_Risk.indd 42
14-10-10 3:12 PM
BLIZZARD WARNING! Erskine has issued a PRESEASON SALE on all Snow Removal Equipment... Effective Immediately!
Erskine has been a leading attachment manufacturer in the United States since 1948. Erskine Attachments manufactures over 100 universal attachments that are designed to fit most major brands of skid steers, mini skid steers, compact tractors, UTVs/ATVs. All of our attachments are heavy-duty, industrial grade for commercial use. Call us at 1-800-437-6912 and ask for your nearest dealer location and to receive a FREE Catalog/DVD or visit us online at www.erskineattachments.com.
Attachments for Skid Steers, Compact Tractors, Mini Skid Steers, ATV & UTV
Dealer Inquiries Welcome.
Worldâ&#x20AC;&#x2122;s Foremost Authority on Attachments Since 1948
42-43_Risk.indd 43
AT TA C H M E N T S L L C
P.O. Box 1083 Alexandria, Minnesota, USA 1-800-437-6912
14-10-09 5:10 PM
FUNNY PHOTO
SEND US YOUR FUNNY PHOTO CAPTIONS and if we think you’re the funniest, you will be the winner of a limited-edition die-cast model of a Mack Truck. (Comparable alternative model may be awarded.)
DEADLINE FOR ENTRIES IS
“Darn sun, invisible my ASS!”
November 12, 2014
Got a Funny Photo?
Send it in so our readers can exercise their senses of humour! SEND YOUR ENTRY TO:
80 Valleybrook Drive, Toronto, ON M3B 2S9
fax
(416) 510-5140
THIS MONTH’s winner is:
editor@on-sitemag.com
Celeste Walmsley, Nanaimo, B.C.
ADVERTISERS’ INDEX & WEBSITES ADRIAN STEEL.............. www.adriansteel.com................................................ 12
INSITE SOFTWARE...... www.insitesoftware.com.......................................... 36
B2W SOFTWARE.......... www.b2wsoftware.com/Canada............................ 45
KUBOTA.......................... www.kubota.ca............................................................ 48
CASE................................ www.CaseCE.com......................................................... 6
MACK.............................. www.MackTrucks.com.............................................. 32
CUMMINS...................... www.cumminsengines.com...................................... 30
NEW HOLLAND............. www.newholland.com............................................... 41
DETROIT DIESEL........... www.demanddetroit.com.......................................... 15
PUTZMEISTER.............. www.PutzmeisterAmerica.com............................... 37
DEXTER & CHANEY..... www.dexterchaney.com/today................................. 4
SPRINTER....................... www.Sprinter4x4.ca................................................... 11
ERSKINE ATTACHMENTS............ www.erskineattachments.com............................... 43
TD..........................................www.tdcommercialbanking.com/representative... 23
FORD................................ www.ford.ca................................................................. 27 FREIGHTLINER.............. www.FreightlinerTrucks.com/Tex-Mix.................... 2 GEITH............................... www.geith.com............................................................ 28 HCSS................................ www.HCSS.com/On-Site.......................................... 13 IMPERIAL OIL................ www.mobilindustrial.com........................................... 9
TOPCON.......................... www.topconpositioning.com/3DMC2.................... 19 VIEWPOINT................... www.viewpoint.com/onsite-advantage................ 29 WORLD OF ASPHALT........................ www.worldofasphalt.com......................................... 47 WORLD OF CONCRETE..................... www.worldofconcrete.com...................................... 38
44 / OCTOBER 2014
B2Wsoftware
44-45_FunnyPhoto.indd 44
14-10-10 11:30 AM
compatible
Formerly...
B2Wsoftware_FullPage_OnSite.indd 1
44-45_FunnyPhoto.indd 45
9/3/14 2:09 PM
14-10-10 11:30 AM
CONTRACTORS & THE LAW By Matthew Swanson & Bill Woodhead
Is the sky the limit?
I
t is not uncommon for contracting parties to attempt to put express limits on the types of risk or damages that they may be liable for should they encounter problems on a project. In such situations, one or more of the contracting parties may seek to include a limitation of liability clause in the contract. To the extent a party wishes to incorporate such a clause into a contract, it is of fundamental importance that they take all necessary care to ensure the clause actually covers the broad array of events where liability could arise. A recent decision of the Alberta Court of Appeal underscores the importance of why care must be taken in drafting limitation of liability clauses. It also provides a clear reminder that these sorts of clauses will be strictly construed. In the case of Swift vs. Tomecek Roney Little & Associates Ltd., 2014 ABCA 49, the Alberta Court of Appeal considered the application of a limitation of liability clause that purported to cap the liability of an architect and its sub-contracting engineer to $500,000 for design issues. The clause in question was contained in a contract between only one of the two owners of the land and an architect. The clause provided that the limitation of liability would apply to any and all claims arising “solely and directly” out of the duties and responsibilities outlined in the architectural design agreement. In the beginning stages of the project, issues arose with respect to whether the seismic design of the project, which had been subcontracted by the architect to an engineer, complied with the applicable building code. The engineer made
A look at limitation of liability clauses representations that revisions had been made to the design to bring it into compliance. Unbeknownst to the contracting and non-contracting owners, the revisions to the design did not actually comply with the code. As a result, the contracting and noncontracting owners sued the architect and the engineer. The contracting owner sued the architect for breach of contract and the contracting owner and the non-contracting owner sued the engineer for, amongst other things, negligent misrepresentation.
“Parties attempting to negotiate limitation of liability clauses should, to the extent possible, ensure that all parties for whom work is being performed are a party to the contract.”
In this context the court had to consider two primary issues. First, the court was required to consider whether the limitation of liability clause applied to the non-contracting owner. Second, the court had to consider whether the limitation of liability clause covered claims for negligent misrepresentation. With respect to the first issue, the court found that the protection afforded by the limitation of liability clause did not extend to the non-contracting owner. The non-contracting owner was not seen to have expressly agreed to the limitation of liability and was not otherwise bound by the contracting owner’s agreement, through agency principles or otherwise. With respect to the second issue, the court found that the limitation of liability
clause did not cover claims for negligent misrepresentation. The court held that it would be unreasonable to conclude that negligent misrepresentation was contemplated as being something that arose “solely and directly” out of the duties and responsibilities enumerated in the contract. Whereas negligent work was covered, the negligent misrepresentation was separate and caused certain damages that were distinct from, but overlapping with, damage caused by negligent engineering work, which was covered by the limitation of liability clause. The decision in Swift v. Tomecek acts as a clear reminder that limitation of liability clauses will be strictly construed. Parties attempting to negotiate limitation of liability clauses should, to the extent possible, ensure that all parties for whom work is being performed are a party to the contract. Parties should also ensure that limitation of liability clauses extend to and are clearly drafted to cover all actions that they wish to limit liability for. Spending the time to carefully negotiate and draft these clauses could avoid costly future claims. This article is provided for general information and may not be relied upon as legal advice.
Matthew Swanson is a partner at Borden Ladner Gervais LLP (BLG). Bill Woodhead is an associate lawyer at the firm. The authors acknowledge the assistance of Michelle Wilkinson, articled student at Borden Ladner Gervais LLP. Send comments to editor@on-sitemag.com
46 / OCTOBER 2014
46-48_Law.indd 46
14-10-10 3:12 PM
5
www.agg1.org
46-48_Law.indd 47
14-10-09 5:11 PM
YOU CAN HAVE IT ALL
46-48_Law.indd 48
• Renowned performance & reliability
• Designed & built by Kubota
NEW • 2 Year Standard Warranty
• Competitive finance plans
• Full Canadian support
• Top resale value
• True Eco-Mode (fuel savings while maintaining productivity)
• Over 40 excavator models
14-10-09 5:11 PM