Road2Growth Issue 1 2024

BuildingRelationships ThroughInfrastructure

•Bridges,Highways,RoadConstruction

•LargeDiameterTunnelBoringandPipeJacking

•EnvironmentalInfrastructureandSiteRemediation/Rehabilitation

•ShorelineStabilization

•Waterline,LanddrainageandWastewaterSystems

•DrilledCassonsandStructuarllyEngineeredExcavations

•Foundations

PAVING THE PATH TO PROSPERITY

You’ve just cracked the spine of Road2Growth, the first issue of MHCA’s new magazine on industry and advocacy news. The title speaks volumes, but let me give some context.

The MHCA has always firmly rooted its advocacy in the first proposition that all public services, core and otherwise, rely on the revenues generated by a growing economy to keep up with the demands of taxpayers and residents.

More than 65% of Canada’s and 53% of Manitoba’s economy depends on trade. The movement of goods and services – import and export, domestically, continentally and globally – relies on a modern, efficient and reliable transportation system. If you can’t move it, you can’t sell it.

In the following pages, you’ll see articles about necessary investment (not spending) in our roads, highways, trade corridors and CentrePort Canada, Canada’s first inland port and free trade zone, located in Manitoba. These priorities have been the focus of MHCA’s advocacy for many years, and advocacy is always a marathon, not a sprint.

Our province (and city) and country need to up their games when it comes to strategic trade corridor investment.

Our province (and city) and country need to up their games when it comes to strategic trade corridor investment. That’s why MHCA, working through the Western Canada Roadbuilders & Heavy Construction Association, is collaborating with other leading national business organizations on a Canada Trade Infrastructure Plan to create foundational principles for a strategic, long-term, nation-building trade infrastructure investment approach. We must adopt a ‘shovel-worthy’ approach rather than the ‘shovel-ready’ reflex that has characterized so much of our country’s trade transportation funding programs.

Speaking of marathons, the 2024 City of Winnipeg budget is a textbook case for the need for a new fiscal deal that would allow municipalities room to expand their sources of revenue generation. Municipalities currently rely on a turn-of-the-century revenue model that has outlived its ability to enable required fiscal flexibility and capacity.

At present, municipalities directly receive about 10 cents of every tax dollar collected. Yet, they own more than 50% of public infrastructure. They rely too heavily on property taxes to fund all the vital services they provide residents, including road repair and renewal.

You can’t plan a solid economic growth strategy under such revenue-generation constraints. The current model, which sees

Winnipeg going cap-in-hand to Broadway each year for increases to transfer payments, is choking the growth potential of Manitoba’s largest city. (Concurrently, municipalities need to prioritize growing the economy as a primary objective to participate in growth revenue generation.)

Sadly, the same can be said of towns and cities around the province.

Manitoba once was the transportation gateway that opened up Western Canada’s untapped potential, the hub that served the movement of goods and people in all cardinal directions.

That vision is alive today, with CentrePort Canada, investments in the rail line to Churchill, a strategy to build out the Highway 75 corridor from Emerson north and proposed expansions for Winnipeg’s Chief Peguis Trail and Kenaston Boulevard.

These initiatives are not spending proposals. They are strategic investments – in Manitoba’s ability to compete for a share of global trade markets to grow the economy, generating dividends that support social and cultural programs that make up our globally envied quality of life.

Welcome to the Road2Growth. Dig in and read up on how we can pave the way to prosperity.

Chris Lorenc, B.A., LL.B. President and CEO, MHCA

Chris Lorenc, B.A., LL.B. President and CEO, MHCA

ANY COMPANY WORKING WITH THE HEAVY CONSTRUCTION INDUSTRY IN MANITOBA WILL BENEFIT FROM MEMBERSHIP.

Members say five of the biggest reasons they value the association are:

1 2 3 4 5

MEMBERSHIP DIRECTORY & EQUIPMENT RENTAL RATES GUIDE

This directory is the go-to tool used by contractors, suppliers, government and purchasers of all industry services in Manitoba.

HEAVY NEWS

This newsletter keeps your finger on the pulse of the industry in Manitoba and includes tender ads and results.

TRAINING

Industry training and certification in health and safety (COR®).

A STRONG INDUSTRY VOICE ACROSS MANITOBA

MHCA speaks loudly and proudly on all issues facing the industry, and we are listened to by media, governments and the public.

NETWORKING

Our members, big and small companies throughout Manitoba, meet, learn from each other and have fun at our premier events – the Golf Classic sells out fast, drawing over 230 golfers to the course each August.

Are You Interested in Joining?

Visit https://mhca.mb.ca/benefits-of-membership or contact Christine Miller, MHCA Operations Manager, at 204-594-9053 or christine@mhca.mb.ca.

CALENDAR OF EVENTS

Be sure to read the Heavy News, check out www.mhca.mb.ca, X (Formerly Twitter), Facebook, Instagram, or contact Christine Miller, Operations Manager, at 204-594-9053 or christine@mhca.mb.ca for information on additional events throughout the year.

MHCA’s publications are widely circulated, reaching the desks of the heavy construction industry, purchasers of its related services, stakeholder and business associations, government leaders, senior decision makers and numerous other government officials at all levels.

QUARTERLY MAGAZINE

Road2Growth – INFRASTRUCTURE: the foundation to economic growth

MHCA produces a quarterly magazine, Road2Growth – Infrastructure: the foundation to economic growth, which focuses on profiling the work of the heavy construction industry, including MHCA advocacy and WORKSAFELY® news.

HEAVY NEWS

› Distributed to members, elected officials, senior public administrators and related stakeholder communities

› Provides current tender ads and results

› Posted online at www.mhca.mb.ca and via social media; delivered electronically every week by email

MEMBERSHIP DIRECTORY & EQUIPMENT RENTAL RATES GUIDE

› The annual MHCA Membership Directory & Equipment Rental Rates Guide is the definitive reference guide and business tool used by industry and purchasers of its services

› This “go-to” guide lists members and the full scope of the products and services they offer

› The only heavy equipment Rental Rates Guide in Manitoba

› Public and private sector project owners use the directory to contact suppliers of services, including contractors, materials, equipment, aggregates, oils, design and engineering

MHCA WEBSITE

Our website – www.mhca.mb.ca – promotes our vision, mission, services and provides members with the latest news, policy briefs and WORKSAFELY® materials and resources, including the new e-News.

Welcome New Members!

Thank you to all our current members, and welcome to our newest members since November 1, 2023.

You’ve worked hard to grow your business. Our corporate finance advisors can help you unlock that value through a divestiture process.

When you’re ready to take the next step, we can provide options, find the right buyer, and structure the right deal terms. All while maximizing value so you can close the deal with confidence — and without leaving anything on the table. Brett Franklin, CPA, CA, President, MNP Corporate Finance Inc. | 204.336.6190 | brett.franklin@mnp.ca

A coalition of seven national and regional groups, including WCR&HCA, launched a campaign for the country to adopt CTIP following the publication of a Canada West Foundation report called From Shovel Ready to Shovel Worthy (May 2022). The report focused on the crucial role trade corridors play in Canada’s economy, where trade generates two-thirds of gross domestic product.

CANADA TRADE INFRASTRUCTURE PLAN Building the Case for Trade Infrastructure

TRADE PLAN

Susan Peters Contributor

Consensus is emerging that Canada needs a new strategic plan for trade infrastructure. The proposed Canada Trade Infrastructure Plan (CTIP) changes the way large trade infrastructure investments are selected, with criteria focused on a project’s capacity to improve the reputation, profile and productivity of Canada’s domestic, continental and global trade.

“Since 2009, Canada’s reputation as a trusted international trading partner has slipped from 10th best in the world to 32nd in 2019, using the same global rankings. We’re now lagging behind Azerbaijan,” says Chris Lorenc, President and CEO of the Manitoba Heavy Construction Association (MHCA) and the Western Canada Roadbuilders & Heavy Construction Association (WCR&HCA).

A coalition of seven national and regional groups, including WCR&HCA, launched a campaign for the country to adopt CTIP following the publication of a Canada West Foundation report called From Shovel Ready to Shovel Worthy (May 2022). The report focused on the crucial role trade corridors play in Canada’s economy, where trade generates two-thirds of gross domestic product.

Lorenc points to CentrePort Canada as an example of how having the right infrastructure in the right place can benefit the country’s economic growth. “It’s a living, breathing example of the imperative of trade corridors. It’s a magnet for investment in Manitoba in manufacturing and trade-related activities.”

Lobbying for an Infrastructure Plan

Recent years have seen supply-chain disruptions in Canada due to COVID-19, flooding in BC and war in Ukraine, along

with other geopolitical disturbances and extreme weather events, which bring home the importance of reliable infrastructure.

Over the past two years, the CTIP coalition (which includes the Canadian Chamber of Commerce and Canadian Manufacturers and Exporters) has been campaigning across Canada, including meeting with Liberal ministers such as Dan Vandal, the minister responsible for Prairies Economic Development Canada.

In July 2023, the premiers unanimously endorsed the principles of CTIP, at their annual Council of the Federation meeting, and called upon Prime Minister Trudeau to hold a First Ministers’ meeting to discuss the linked priorities of competitiveness and trade corridor investment.

The coalition has also discussed CTIP with industry groups, such as those in agriculture, manufacturing, potash and mining, to build agreement on the necessity of ensuring Canada can get goods to market.

Economy and Quality of Life

Lorenc has said there is wide agreement on the importance of strategic, long-term investment in trade infrastructure because of the intrinsic link transportation has to trade productivity. That then spins off immediate and multi-year dividends, by way of revenues to government, which help sustain and enlarge funding to Canada’s vaunted social programs.

Mary Van Buren, President of the Canadian Construction Association, has been very active in talking to politicians at the national, provincial and municipal levels about the need for a national infrastructure plan. “A 2023 survey of Canadians found that nearly all, 95%, view trade infrastructure as important.

But only 9% think it’s in good shape,” says Van Buren.

While the public “gets it,” the need to repeat the message to political offices at all levels became abundantly evident recently when Environment Minister Steven Guilbeault commented publicly that Ottawa would not be funding large, new roads.

“When Guilbeault said ‘no dollars for new roads,’ that underscores the necessity of having a long-term plan informed by objective assessment so that as a country, we can prioritize what we need for economic growth,” Van Buren says. “That can pay for other things we want, like active transportation, such as bike paths, schools and hospitals. It will fund new housing for our new Canadians. We’re going to need new sewers and infrastructure. We need more

Since

capacity in our electricity grid. We’ll need to mine lithium to make batteries for electric vehicles. And because those electric vehicles are heavy, there will be more wear and tear on our roads by cars and trucks. Overall, our infrastructure is not sufficient for what we have now and will need going forward.”

Van Buren notes that for every dollar invested in infrastructure, there’s about a two-to-one return on investment, revenues that support social infrastructure.

Shovel-worthy Infrastructure Projects

Carlo Dade, the Director of Trade and Trade Infrastructure at Canada West Foundation, co-authored the influential From Shovel Ready to Shovel Worthy report, which served as the basis of CTIP principles.

2009, Canada’s reputation

international trading

partner

as a trusted

has slipped from 10th best in the world to 32nd in 2019, using the same global rankings. We’re now lagging behind Azerbaijan.

– Chris Lorenc, President and CEO of the Manitoba Heavy Construction Association (MHCA) and the Western Canada Roadbuilders & Heavy Construction Association (WCR&HCA).

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We have the expertise, the experience and the right tools for every job. A Leading Litigation Boutique For Over 36 Years.

The core of the proposal is that investment from all levels of government and from the private sector should focus on ‘shovelworthy’ projects, which are not simply a list of infrastructure projects that can be put into action readily but instead have met criteria to provide a return on investment and fit within a larger context of integrated national supply and production chains, since all transport infrastructure is connected. As one example, in Yorkton, SK, a canola crushing plant needed a bigger road, but the plant itself couldn’t justify the spending on the road. “The numbers didn’t add up,” says Dade. But discussing how a bigger road might affect other businesses in the community revealed how it would positively impact them. “The numbers change if you look at the other businesses. It’s how the infrastructure can be related to the wider business community.”

Dade also argues that “shovelworthy” means the social justice impacts of new infrastructure projects –like which communities might be bifurcated by a new highway – are considered ahead of time, instead of being rushed to get projects started without adequate time for planning. It’s an argument not to repeat the mistakes of past great projects, such as the building of Canada’s transcontinental railway and its impact on Indigenous peoples and Chinese workers. “We built great things in the past in this country, but with the harms born disproportionately on some communities. We’re going to build great things again, but we’re just not going to repeat the mistakes of the past in doing so. A national plan is key to achieving this,” says Dade.

Building on the support of Canada’s premiers, CTIP advocates are working now with federal ministers, senior political staff and department officials to secure Ottawa’s support for launching a formal strategy.

A 2023 survey of Canadians found that nearly all, 95%, view trade infrastructure as important. But only 9% think it’s in good shape.

–

Mary Van Buren, President of the Canadian Construction Association.

“The provinces are already taking leadership positions. In the UK and Australia, their private sectors are leading partners in a coalition for trade infrastructure,” says Dade. The private sector, he says, brings proprietary information that can help ensure the projects deemed shovel-worthy will have the greatest economic impact.

“The primary issue is not money; it’s having the data and information to invest the money well.”

Made in Manitoba

Manitoba has been a leading champion of CTIP since January 2023 and, under Premier Wab Kinew, continues to see solid support. Premier Kinew’s favourite

metaphor is the “economic horse pulls the social cart.” Supporters of trade corridor investment point out that both the horse and cart travel on roads.

According to Lorenc, many transportation routes might be identified as trade corridor priorities. “We don’t support building for the sake of building. The question is, how does it help support growing the economy?”

In Winnipeg, projects might include the Chief Peguis extension, Kenaston improvements and Pembina Highway.

Further afield, investments include upgrading Highway 6 to Thompson, improvements to the Port of Churchill and connections to Nunavut, and Highway 75 to the US.

Federal Budget 2024 and Beyond

The CTIP coalition is hoping to see a reference to the need for a longterm investment strategy in the federal budget this spring, and more specifically in the economic update in fall. Lorenc hopes the budget will announce a working group to develop investment criteria, along with seed funding.

Whatever announcements may be forthcoming, a strong strategy will be one that outlives the four-year election cycle, reflecting the fact that long-term investment planning looks past political mandates and far into the future to support lasting economic growth and prosperity for the nation as a whole.

We built great things in the past in this country, but with the harms born disproportionately on some communities. We’re going to build great things again, but we’re just not going to repeat the mistakes of the past in doing so. A national plan is key to achieving this.

– Carlo Dade, the Director of Trade and Trade Infrastructure at Canada West Foundation.

People care about the impact of crumbling roads on their vehicles and the look of their communities. But what is equally if not more important is the effect poor roads and an inefficient transportation network have on the economic potential of the city. Roads move people to jobs and goods to market – that is trade, and trade accounts for 53% of Manitoba’s GDP.

ROADS AND REVENUES:

Municipalities Need a New Fiscal Deal

ROADS

Julia Waterer Contributor –Craig Kelman & Associates

Let’s face it. The condition of Winnipeg’s streets is a ‘water cooler’ topic for Winnipeggers. People care about the impact of crumbling roads on their vehicles and the look of their communities. But what is equally if not more important is the effect poor roads and an inefficient transportation network have on the economic potential of the city. Roads move people to jobs and goods to market – that is trade, and trade accounts for 53% of Manitoba’s GDP.

This means that to maintain economic growth, Winnipeg’s trade transportation infrastructure must also be maintained with investments that anticipate what the city will need in the medium and long-term as it grows to a population of 1 million.

There is growing concern that the City of Winnipeg’s Preliminary Budget for 2024 shows a decrease in investment on roads and road infrastructure, from $155.8 million invested in 2023,1 to $138 million in

the 2024 preliminary budget.2 The money allocated for local and regional road maintenance and new projects typically increases year over year; however, projections for the next five years indicate competing financial demands on a system with limited revenue streams.

While MHCA President and CEO Chris Lorenc acknowledges the difficult and thankless work of city councillors to balance a city budget, he also says this budget is transitional and reflects familiar problems.

“The budget is a reflection of the fiscal issues being felt coast to coast to coast. Municipalities have limited access to funding opportunities, with the majority of public works funding coming from property taxes.” Lorenc says. “We are stuck in a system that made sense in the early 20th century; in about 1920, the City owned and was responsible for 10 to 15% of the infrastructure. Municipalities now own 50 to 60% of built infrastructure and are additionally responsible for large social concerns and projects, including ‘active transport’ (bike paths, walking trails and greenways), parks and recreation and tree canopy restoration.”

We are stuck in a system that made sense in the early 20th century; in about 1920, the City owned and was responsible for 10 to 15% of the infrastructure. Municipalities now own 50 to 60% of built infrastructure and are additionally responsible for large social concerns and projects, including ‘active transport’ (bike paths, walking trails and greenways), parks and recreation and tree canopy restoration.

– Chris Lorenc, MHCA President and CEO.

The fiscal arrangements crafted at the turn of the century no longer meet the modern demands for service, nor the economic and cultural aspirations of today’s cities, he explains.

“Our entire economy is tied to trade,” says Winnipeg’s Deputy Mayor, and Chair of Public Works Committee, Janice Lukes. “If we can’t move goods, we can’t make money.” Lukes points to CentrePort Canada as an example of just how lucrative and essential trade is to local, provincial and federal economies. “CentrePort Canada will create a $7.9-billion boost for Manitoba when fully built out, along with $400 million in building permit revenues.”

For CentrePort to function at peak efficiency, and for consumers to get

the maximum benefit of a multi-modal transportation hub, efficiency of the transportation systems must be the priority. “Goods and infrastructure have to flow,” says Lukes.

Cost-sharing agreements between multiple levels of government, like the Accelerated Regional Road Agreement, are limited-time funding deals to improve or construct new infrastructure. But then the lifetime costs for repair and maintenance are left to the City. The lack of sufficient attention to maintenance, given the competing investment demands across the transportation system, means even regional roads in Winnipeg, which make up 20% of the roads but account for 60% of the traffic, are deteriorating badly.

But a focus on road repairs is not enough to ensure Winnipeg can compete for a share of the global market. The movement of people and goods is an essential part of the trade network – people to work and goods to market – and indeed to Canada’s economy as a whole, but this is not reflected in current budget projections or investment plans. “What is now required,” says Lorenc, “is a revaluation of what the needed investment levels are and what the measurable service-delivery objectives are. We need a long-term plan for meeting demands. And that ultimately means municipalities need a new fiscal deal.”

The discussion of a new fiscal deal is not new – ideas to change the relationship between municipalities, the provincial government, and by extension the federal government, have been discussed for decades. These ideas have included access to new taxation authority (for example, a municipal fuel or liquor tax) to a complete overhaul of the funding system top-down.

“The discussion cannot be about who loses revenue and who gains it. We need to have intelligent people in a room with a blank page, creating new ideas,” Lorenc says. “We need to revisit who is responsible for what. We need to set service mandates and ascertain who is responsible for these mandates and their funding. How do we co-operatively create responsibility and accountability? What is the role of the federal government in these discussions and funding opportunities?”

A new fiscal deal is needed to allow Winnipeg, and other municipalities, to think bigger and to plan accordingly, making economic growth the focus of their fiscal and budgetary strategies, especially relating to core infrastructure investment. Such a shift in thinking is critical to sustaining the high quality of life of the citizens enjoy, a way

to ensure everyone sees a return on investment. “It is inadequate for, in the current system, municipalities to have to say ‘please may I have some more,’ when clearly this situation is not working,” says Lorenc. “This preliminary budget, as a transitional document, can create a framework around which we can look at new programs through a lens of developing economic growth and efficiency.”

References

1 “Multi-Year Budget: 2023 Update.” City of Winnipeg. Accessed March 1, 2024. http://www.winnipeg.ca/citygovernance/budget-finance/multiyear-budget-2023-update.

2 “Multi-Year Budget 2024-2027.” City of Winnipeg. Accessed March 1, 2024. http://www.winnipeg.ca/citygovernance/budget-finance/multiyear-budget-2024-2027.

The Sustainable Procurement Action Plan (SPAP), now in its pilot stages, helps the City use this considerable buying power to increase the purchasing from diverse businesses and employment of individuals in identified ‘equity’ groups.

Exploring Sustainable Procurement Initiatives

in Winnipeg’s Construction Industry

Julia Waterer Contributor –

Craig Kelman & Associates

The City of Winnipeg has an average spending power of $400 million a year for the procurement of goods, services and construction projects. The Sustainable Procurement Action Plan (SPAP), now in its pilot stages, helps the City use this considerable buying power to increase the purchasing from diverse businesses and employment of individuals in identified ‘equity’ groups.

This will affect how the construction industry qualifies for or submits bids on tenders, and enters into construction contracts with the City.

Once awarded based on the lowest qualifying bid, the City of Winnipeg’s construction tenders will contain social procurement requirements in RFPs and construction documents regarding employment, training and (in some cases) purchasing of supplies or materials.1 The concept is to shift the basis of award from best price to best value.

As this contract awarding style would represent a significant departure from the current system, the importance of due diligence in the initial phases with initiatives like the SPAP is crucial.

“With a change this monumental, it is extremely important to get these first steps right,” says Chris Lorenc, President and CEO of the Manitoba Heavy Construction Association. “When you want to build a brand-new house, you can’t start on sand; you need a solid foundation.”

With a change this monumental, it is extremely important to get these first steps right. When you want to build a brand-new house, you can’t start on sand; you need a solid foundation.

– Chris Lorenc, MHCA President and CEO.

Darryl Harrison, Director of Stakeholder Engagement for the Winnipeg Construction Association, believes the current pilot projects are a useful entryway into the data collection needed to make SPAP functional.

“The pilot projects are helpful for collecting data on the current workforce and to test if the approach outlined by the city is practical for the industry,” Harrison says. “Hopefully, this will provide feedback on what is happening in the industry right now, and the current status of employment-seeking equity groups.

“It will be important for the industry and the city to reflect on the pilots to determine what worked and what didn’t.”

This vital information is crucial to determining what an actionable, sustainable procurement policy could look like. “If the plan is to ask for quotas, it is almost impossible right now to know what that might be,” he says. “I see the benefit of this program as possibly attracting more people into the industry who may have otherwise not considered construction as a viable option. However, one of the early concerns is that we can’t just assume that there will be a volume of members from equity groups that are there and ready to work.”

Uncertainty about possible hiring hurdles adds to questions already being considered by companies when bidding on a job. “When a company bids on a tender, there’s already a level of ambiguity we deal with,” says Lorenc, “They’re asking Did I get it? Where is the project located? When and where is my next job after this? and Will my team, with the right skill sets, be ready to get to this job site? People need to appreciate that construction is a completely different type of job and

workplace dynamic, and your workplace and co-workers are not the same day after day. Our companies have a primary need to have a skilled team that can achieve contract goals.”

The reality of industry pressures and considerations does not necessarily align with the implications of the SPAP as it exists now.

Educating members of equity groups to become skilled workers in the construction industry is an obvious step, but the capacity to educate is not only expensive but also time-consuming for companies that already have a short construction season. Most companies are small- to mediumsize and many do not have human resource personnel to manage the HR administrative tasks that social procurement will require.

The administrative burden of this is compounded when considering how workers will be expected to identify themselves as members of an equity group, and how these identifications will be verified and considered for tender metrics in a competitive industry. “To me, there is a sense that there is a rose-tinted reality, and, as part of the social

I see the benefit of this program as possibly attracting more people into the industry who may have otherwise not considered construction as a viable option. However, one of the early concerns is that we can’t just assume that there will be a volume of members from equity groups that are there and ready to work.

– Darryl Harrison, Director of Stakeholder Engagement for the Winnipeg Construction Association.

procurement working group, our job really has been to press the City to listen to our concerns because we want this to be successful, workable on a practical level,” says Lorenc.

What are the solutions to these issues?

“Education initiatives must be aligned with current project needs, and we need to engage with the Province, which has jurisdiction over education,” says Lorenc. “We need marketbased, informed advice.”

Harrison and the WCA noticed that with the influx of skilled Ukrainian workers, education in English language skills was needed to get these workers onto job sites. “We have 20 employees in training at the WCA education facility, two times per week for ten weeks,” says Harrison. The hope is that this type of program is scalable and, in the future, will apply to other equity groups seeking to enter the workforce.

The SPAP is in the data collection mode, with pilot projects starting in March through to the end of the construction season. “Part of this data collection will hopefully include what initiatives like the SPAP will mean for contractors, subcontractors, the costs involved, realistic barriers that will linger,” says Harrison. “We need to know that the benefit derived from these initiatives is greater than the costs associated.”

References

1 City of Winnipeg. “Sustainable Procurement Action Plan, 2022-2025.” Accessed on March 1, 2024. www.winnipeg.ca/ media/2921.

CENTREPORT CANADA

Putting Manitoba at the Centre of Global Trade

Mathias Leiendecker Contributor – Craig Kelman & Associates

Canada’s economy relies on trade –65% or more of its GDP is derived from getting goods and services to and from markets domestically, continentally and globally. In Manitoba, trade supports 53% of the GDP.

But the key to that movement is seamless, efficient trade corridors, hubs and ports.

In Manitoba, increasingly, that job is getting amplified by CentrePort Canada.

CentrePort is a 20,000-acre, trimodal inland port and foreign trade zone, straddling the RM of Rosser (60%) and Winnipeg (40%). It is North America’s largest trimodal inland port, offering access to world-class rail, truck and

air cargo operations and targeting companies engaged in global supply chain activities

The success of its vision – moving goods “better, cheaper, faster” –is illustrated by the numbers:

› $1.5 billion in investment since CenrePort’s founding in 2009

› 300 new business developments drawn to the Capital Region

› More than $400 million in building permits in the last five years

› Over 2.3 million square feet under construction

CentrePort capitalizes on Winnipeg’s geographical advantages in Canada and North America, with lots of high-

quality, prime industrial land connected to transportation infrastructure linking to trade infrastructure in all cardinal directions – east/west in Canada, north to Churchill and south to the US at Emerson.

President and CEO Carly Edmundson notes that CentrePort marks its 15th anniversary. Today, 2,300 acres of land are currently in various stages of development within the inland port project.

“At 20,000 acres, CentrePort is just slightly larger than Manhattan. So, it is a very large and long-term project for Manitoba. Winnipeg was always meant to be the ‘Chicago of the North’ as the logistics and transport hub of Canada. Those sectors are strong in Manitoba,

but I think CentrePort brings them to the next level,” Edmundson says.

CentrePort Canada was created in 2008 by provincial legislation called the CentrePort Canada Act This established its mandate and designated the 20,000-acre footprint. In 2013, CentrePort Canada Way, a nine-kilometre, four-lane expressway through the heart of CentrePort, opened.

“At the full build of CentrePort, it is expected to be a boost to Manitoba’s overall GDP of $7.9 billion. There is a lot of economic opportunity for Manitoba, the companies and the people in CentrePort, but more than that, I believe CentrePort is Manitoba reclaiming its rightful place as a leader in trade and transportation,” says Edmundson.

CentrePort is among several other premier inland terminals in Canada and North America. It provides an abundance of access to markets, including the Mid-Continent Trade Corridor (Eastern USA, Southern USA and Mexico), the Asia Pacific Gateway (Vancouver, Delta and Prince Rupert ports), the Atlantic Gateway (Halifax and Montreal ports), and the Arctic Gateway (air polar routes and marine polar routes).

“When people think about the National gateways in and out of Canada, the natural thought is to think about seaports, and they are very important, but CentrePort, the inland port, is a very important part of that network.

When companies think about how to get their goods in and out of Canada, there are seaports, and we also have CentrePort, which is right in the heart

At 20,000 acres, CentrePort is just slightly larger than Manhattan. So, it is a very large and long-term project for Manitoba. Winnipeg was always meant to be the ‘Chicago of the North’ as the logistics and transport hub of Canada. Those sectors are strong in Manitoba, but I think CentrePort brings them to the next level.

– Carly Edmundson, President and CEO of CentrePort Canada.

of the country. With some of the future developments that are coming in the Port of Churchill, I see an additional opportunity for us to create a whole network of transportation-based projects in the province to continue to attract that global business,” says Edmundson.

Since 2008, CentrePort Canada has worked closely with provincial government departments, including Manitoba Transportation and Infrastructure and departments responsible for economic development, investment and trade, municipal relations,

PARTNERING ON THE ECONOMY

and agriculture. At its full development, the project will result in over 98,000 person-years of employment, and Manitoba will gain a $1.18 billion boost in provincial tax revenue.

Jamie Moses, Minister of Economic Development, Investment, Trade and Natural Resources, says CentrePort has become an essential hub for various cargo operations in North America.

“The potential for Manitoba businesses is huge and impacts many industries, including advanced manufacturing, agribusiness and food processing, e-commerce, transportation and logistics,” Moses says. “CentrePort ensures that the hard work, innovation and skills of Manitobans can reach countries around the globe.”

In partnership with the federal government, the Manitoba government recently announced a joint investment of up to $60 million to the Artic Gateway Group (AGG) to finish work on the Hudson Bay Railway and start redeveloping the Port of Churchill.

“There is so much potential in linking Manitoba to global trade markets. We have a consumer population of 100 million people living within a 24-hour drive, an inland port with a 20,000acre footprint and access to air cargo, rail and truck operations. Right in the heart of the continent, this is ideal for companies engaged in global supply chain activities,” says Moses.

“Our government is proud to work with CentrePort Canada to increase business attraction and demonstrate why Manitoba is the ideal place for companies to serve their regional and global clients.”

Most of the development to date has taken place in CentrePort North in the RM of Rosser. Now, Edmundson says, the City of Winnipeg lands are soon to start development and will bring some unique elements to CentrePort South.

“Winnipeg Airports Authority has planned to develop the airport campus. This will be 260 acres of land on the west side of the apron and the runways, where industrial companies

will be able to set up operations and have unparalleled access to the cargo airport. That will open up a lot of new opportunities for the region.”

In addition, a residential community is planned along Saskatchewan Avenue, providing housing for 8,000 to 12,000 people on CentrePort lands. That close proximity is an important feature for the companies in terms of their footprint.

Once water/wastewater servicing is complete, development in CentrePort South is expected to begin in early 2026 and roll out quickly.

“Locally, there is so much opportunity for businesses to use CentrePort as a platform for growth. Our whole mantra is creating a platform that will allow businesses to function better, faster and cheaper,” says Edmundson.

“We want to give them that ability to market all over the world and build the facilities that they need to be effective and efficient. CentrePort Canada will give them an environment of other suppliers and like-minded companies so they can collaborate and work together easily.”

PROGRESS REPORTS

The ‘strength in numbers’ equation is solid in industry advocacy, especially for an industry that relies heavily upon public budgets and long-term investment planning.

The MHCA has been engaged, frequently alongside partner associations, with government offices at all three levels of government on a variety of issues, including:

TRADE CORRIDOR INVESTMENT –

the need for a long-term, nation-building strategy

MHCA, through the WCR&HCA and with leading national business organizations, has been meeting with federal ministers and staff on the Canada Trade Infrastructure Plan, having gained unanimous provincial support from the Premiers’ Council of the Federation in July 2023. The goal is to see in 2024 federal support for CTIP and the first steps to its launch.

FEDERAL INVESTMENT IN ROADS – pushback on Environment Minister Steven Guilbeault’s comments

In February, Minister Guilbeault commented that his government would not be funding new roads, then pivoted and said he meant large infrastructure projects. MHCA joined a host of partner associations, including the Canadian Construction Association, in calling on Prime Minister Trudeau to disavow the remarks and commit publicly to investing in roads and trade corridors.

MTI: A YEAR IN REVIEW

– what went right, lessons learned from the 2023 construction season

› MHCA met with Manitoba Transportation and Infrastructure in February. MTI reported:

› A total of 66 bonded contracts, 48 of which were highways, were awarded by the end of December for a value of $373 million.

› It expects the 2023 highways budget of $557 million will be fully expended.

› The bid validity period was reduced to 30 days from 90 days.

› The average time to award was 15 days (an increase from 10 days previously).

› Industry/MTI specification review committee to begin work in early 2024.

› The preliminary design of the Lake Manitoba/Lake St. Martin outlet channels is complete. Detailed design and construction tenders for the Lake Manitoba channel’s first year of construction are completed. Detailed design and construction tenders for the subsequent construction years to be substantially completed by May 2024.

› Depending on conditions received as part of the federal and or environmental licences, updates to the design and construction tenders may be required.

› MTI is working to improve capital program delivery and build resource capacity for project delivery.

› MTI is considering piloting alternative procurement methods for larger, more complex projects.

› MTI will follow the intent of the prompt payment rules within the amended Builders’ Liens Act, including ensuring payment to the contractor within 28 days of the approved progress payment or invoice.

CITY

OF

WINNIPEG 2024 BUDGET

– reductions to the local and regional street renewal program

MHCA has met with Winnipeg Mayor Gillingham and Councillor Janice Lukes, Chair of the Public Works Committee, regarding funding challenges with the street renewal program.

› MHCA recommended the City work with the Province toward a new fiscal deal for municipalities that enables them to explore new revenue sources and strike a better fiscal arrangement between the governments, recognizing the demands placed on cities and towns and their revenue constraints.

› MHCA also asked the Public Works Committee to launch the working group it committed to forming to look at long-term funding models for street renewal and for bridges, active transportation, road safety and tree canopy restoration.

Photo Credit: Colin Corneau

DENNIS CRUISE: PAVING A PATH OF SUCCESS IN HEAVY CONSTRUCTION

In the heart of Manitoba, where vast landscapes stretch as far as the eye can see, lies the story of Dennis Cruise –a man whose journey started on his family farm near Lundar to leading Bituminex Paving and the Manitoba Heavy Construction Association (MHCA).

“I was raised on a family farm and learned the value of hard work, long days, and dedication to finishing any project from a very young age,” Cruise says. “To think I’m now in such positions as President (of Bituminex) and MHCA Board Chair is truly astounding.”

But Cruise adds quickly, “There are still days when you can find me working with a piece of heavy equipment.”

Cruise says he had a natural affinity for heavy equipment and the great outdoors early.

“As I grew older, my interest in heavy equipment, being outside and fascination with numbers naturally led me to Red River’s Civil Engineering Technology program.” That would mark the beginning of a remarkable career trajectory.

Enrolling in the co-op education program at Red River, Cruise embarked on a hands-on learning journey that would shape his future. He began his career with Bituminex in 1997 as a labourer, starting from the ground up – quite literally. “After a couple of years shovelling on a base crew, I worked at the asphalt plant and gravel pits testing our aggregates,” he recounts. “A few years later, I was made a surveyor for excavation, base and paving operations. In 2002, I was moved into the office, and I’m continuously growing in that role today.”

His rise through the ranks exemplifies the quintessential tale of hard work, perseverance and dedication. He credits his drive to succeed to his family and the construction industry, giving him unlimited potential and opportunities to go anywhere and do anything. “I literally went from a shovel to the president of the company,” he says.

As the Board Chair of MHCA, Cruise finds himself at the forefront of shaping the industry’s future. “Our industry always faces challenges. We are in discussions constantly with municipal and provincial governments about budgets, improving the way we do things, roadbuilding specifications and various regulatory issues.”

In that role, he is involved in advocating for sustainable growth and incremental infrastructure investment, emphasizing the need for stability in planning. At the moment, Cruise and

colleagues on the Board are working with the City of Winnipeg on significant changes proposed to asphalt concrete specifications, including a focus on the practicalities and cost implications. MHCA has always been anchored in the ‘public’s best interest,’ engaging with government and partner associations on the need to grow the economy.

“Investment in infrastructure spins off immediate revenues to government not just because it produces jobs, quickly, but because transportation infrastructure has to be good, reliable and efficient to move people to jobs and goods to market.” He notes that trade is 65% of Canada’s GDP.

The MHCA, through the Western Canada Roadbuilders & Heavy Construction Association, has been working with leading national organizations in a campaign to create a Canada Trade Infrastructure Plan.

“The provinces have signed on; now we’re focused on getting the federal government to begin the work to see it happen,” Cruise says.

On an industry-specific level, a chronic, pressing challenge is finding the delicate balance between the workforce and workload. “Every year, our workload changes dramatically due to various factors – housing starts, interest rates, city budgets, provincial infrastructure budgets – you name it,” Cruise explains. “You don’t want to hire too many workers in a slow year or get caught short of workers in a busy year. Finding that balance is a real juggling act, and it’s impossible to be ‘just right’ all the time. Adapting to the market, cautious growth and providing a safe, rewarding environment is always the number one goal.”

Looking to the future, Cruise sees significant opportunities for growth,

particularly fueled by immigration. He believes heavy construction will continue to be a landing spot for newcomers entering the workforce. A growing population demands the construction of hospitals, housing and schools. “To support these facilities, all of the foundational infrastructure, such as roads, underground services and water treatment facilities, will be needed to permit that to happen.” Immigration, he notes, grows Canada’s economy. “It’s exciting because our industry, like many, is crying for new hires and experienced labour.”

Cruise says technology is a game-changer in heavy construction, revolutionizing processes and enhancing efficiency. From GPS equipment to electrification, innovations are reshaping the landscape, helping to reduce waste and the industry’s carbon footprint. “High levels of accuracy and

efficiency are being achieved, resulting in job sites that are more productive and projects that are completed faster and with less waste – which is huge when it comes to resource stewardship and GHG reductions,” he says.

Collaboration is the cornerstone of progress, and MHCA excels in fostering partnerships, working with other associations and stakeholders to get big things done. “We see that at the Board level – discussions about bringing in reps from other associations to talk about how best to work with public offices on issues like changing roadbuilding specifications or responding to regulatory changes.” One of the priority issues MHCA is working on now is the social procurement policy set by the City of Winnipeg, working with industry and social enterprise groups to give feedback on the City’s plan. Their objective is to ensure the social procurement action plan is practical and has meaningful impact through lasting employment and careers of the equity groups it is intended to assist.

For aspiring young professionals, Cruise offers sage advice: “There are great opportunities that come with dedication in this industry. To the new grads who come to us and expect to be given glorious management positions with high pay rates due to their education, they need to understand that’s not how it works. You need to put your head down and prove you are capable first. That’s the beauty of our industry – start small and grow into a great career. The opportunities for advancement will come.”

In November, Cruise will step aside as Chair of MHCA's Board. “My goal is to ensure that our work continues perpetually into the future.”

Ultimately, the industry’s future rests on attracting new generations to the workforce, and Cruise hopes his story shows the possibilities offered to those who give heavy construction a chance. “It’s good, honest work – work you can be proud of.”

THE IMPLEMENTATION OF LOW-CARBON CONCRETE IN THE HEAVY CONSTRUCTION INDUSTRY

Concrete and cement production produces significant greenhouse gas emissions, contributing to the carbon footprint of the construction industry. With more focus than ever on environmental responsibility, manufacturers are increasingly investing in research to produce low-carbon concrete to reduce GHG impact.

If the concrete industry were a country, it would be the world’s third-highest emitter of CO2, behind only China and the United States.

Manufacturing cement accounts for an estimated 7% of all global carbon emissions. As factors like population growth and urbanization continue to drive the demand for concrete, pressure increases to reduce the carbon footprint.

Lower-carbon concrete can be achieved through a series of innovative technologies, including low-carbon or carbon-neutral fuels, low-carbon blended cements, including Portland Limestone Cements (PLCs) and supplementary cementitious materials (SCMs). Also, the use of carbon capture, utilization and storage makes it possible to capture emissions from cement manufacturing.

Shane Mulligan, Sustainability and Technical Marketing Manager at Heidelberg Materials, is involved in the distribution of concrete, cement and aggregates across Canada. In addition to their EcoCem low-carbon cement, his team currently offers a line of lowercarbon concretes called EvoBuild, a tiered series of concrete mixes designed to increase levels of carbon savings.

“We measure and transparently document the environmental impacts of our products and the strategies we employ through tools like environmental product declarations (EPDs), which act as nutrition labels for construction products and denote a full suite of environmental indicators, including global warming potential (GWP) or carbon intensity,” says Mulligan.

The benefits of integrating low-carbon concrete into any construction project are self-explanatory. But, Mulligan says, several barriers exist in the adoption of this product.

“On the technical side, concrete is ultimately the sum of its parts, and local materials and their intensities, as well as transportation modes and distances, which vary greatly across Canada. Some regions are naturally better positioned to offer lower-carbon concrete than others. Our objective is to ensure that low-carbon concrete performs the same as traditional concrete,” Mulligan says.

He says one common carbonreduction strategy involves substituting cement with SCMs, which can develop strength at a slower rate than cement.

Mathias Leiendecker Contributor – Craig Kelman & Associates

Photo Credit: Colin Corneau

The goal of SCMs is to reduce the use of clinker, or energy-intensive components of cement products, while still maintaining performance. Clinker is required for traditional cement production and is made when limestone and minerals are heated in a kiln. This process releases large amounts of CO2.

“To address drawbacks to some of these lower-carbon strategies requires innovation, and there is a lot of research and development underway to continue to deliver quality concrete while maximizing the carbon reductions possible,” Mulligan says.

Winnipeg is a natural hub for producing and distributing low-carbon concrete due to its central location in Canada. It is also amongst the country’s highest users of concrete roads and buildings.

Beyond concrete producers, those writing material specifications and regulations also have a responsibility to lower the carbon intensity of concrete by accelerating the acceptance of newer technologies and practices, Mulligan notes.

The Government of Canada has partnered with the cement and concrete industry to address these issues, and governments at both provincial and federal levels have funded major projects to contribute towards decarbonization, he says.

“On the flip side, we have many outdated specifications across Canada in use and many prescriptive requirements imposed on cement and concrete products that counter carbon-reduction objectives. If the carbon impact of a project is measured and valued alongside safety, performance, cost and schedule, we will begin to see more meaningful action. These measures are not mutually exclusive, and the appetite to collaborate on solutions from industry is strong.”

Lafarge Canada officially launched ECOPact three years ago as their lowcarbon concrete range offering up to 90% lower carbon emissions compared to standard (CEM I) concrete.

ECOPact is used in many residential and commercial applications across

Canada while providing equivalent durability and price points. It contains an innovative mix of supplementary cementitious materials and admixtures technology.

“We’re starting to see more and more demand for this type of product in the industry,” says Greg Suderman, General Manager of Manitoba for Lafarge.

“We designed ECOPact to have the same physical performance as conventional concrete, so we can start integrating this into as many projects as possible right away.”

ECOPact is produced locally and distributed across Canada. However, integrating low-carbon concrete is just the beginning of a greener future.

“We’re excited to continue to be part of a greener and more sustainable shift in the construction industry. We anticipate even more low-carbon products will be introduced in the future,” says Kristen Marston, Communications and Marketing Manager at Lafarge Canada.

“We want to continue on this path to evolve the industry. This definitely isn’t the end,” says Suderman.

Similar to Mulligan, Suderman says one of the biggest barriers to introducing a new low-carbon concrete

product like ECOPact or Evobuild is the reluctance among some to move from traditional ways of thinking. Engineers and architects will need to shift their mindsets and open up to allowing lowcarbon concrete products to be used.

The cement and concrete industry in Canada and globally has recognized its collective impact on climate change. In 2023, the Cement Association of Canada released an action plan called Concrete Zero. It outlines a plan to reduce emissions by 40% by 2030, with a goal of net-zero carbon concrete by 2050.

Heidelberg Materials plans to develop a carbon capture, usage and storage (CCUS) facility in Canada, which will capture over a megaton of carbon emissions annually when fully operational. This could potentially speed up the Concrete Zero plans of net-zero concrete to 2027.

“Concrete is the most-used construction material in the world and is foundational to virtually all types of construction,” says Mulligan. “It offers strength, durability, longevity and the ability to resist the rising challenges of climate change, including winds, fire and flooding. In the not-too-distant future, it will also offer net-zero emissions.”

Photo Credit: Colin Corneau Photo Credit: Colin Corneau

BECOMING COR® CERTIFIED

The steps to obtain COR® or SECOR® certification are as follows:

1

STEP ONE

› Company contacts WORKSAFELY® and completes registration form.

› WORKSAFELY® confirms WCB rate code or associate member status (annual fee due and payable if outside WCB Rate Code 407/408).

› Company registers and prepays for mandatory training.

2

STEP TWO

For COR® companies – one (1) senior management and one (1) full-time employee completes: Leadership for Safety Excellence and the Principles Health Safety Management courses. For SECOR companies – one (1) senior management completes: Leadership for Safety Excellence and the Principles Health Safety Management courses.

3

STEP THREE

After training is completed, company is issued a ‘registration’ letter, valid for a maximum of 18 months from original registration date.

4

STEP FOUR

With assistance of WORKSAFELY®, company assembles a safety and health manual and starts implementation (company may purchase a custom safety and health manual from WORKSAFELY®).

5

STEP FIVE

Prior to external audit, company must complete Auditor Training Program. Within six (6) months of completing the program, individual(s) submit trial audit for Internal Auditor Certification.

6

STEP SIX

With a minimum of three (3) months of consistent documentation, company requests an Audit Readiness Service from WORKSAFELY®.

Prior to the 18-month deadline, WORKSAFELY® arranges external audit and company passes and completes audit process to obtain COR® or SECOR® certification.

A VISION FOR THE FUTURE AT MHCA WORKSAFELY®

The heavy construction industry is at an exciting crossroads, and as the new Director of WORKSAFELY® Education & Training, I am eager to share my vision for the safety program and its role in assisting the industry move forward.

In the face of workforce challenges, safety emerges as a critical factor in attracting and retaining a skilled workforce. A robust safety program can serve as a beacon, not just meeting regulatory requirements and gaining contracts but as a catalyst for organizational growth and excellence.

One of my primary goals is to foster a collaborative approach within our membership. I am committed to listening and learning from our members to understand your unique needs and challenges. By actively engaging with industry experts, safety professionals

and workers, we can design our safety initiatives to create practical, effective safety initiatives and services tailored to the industry and your company.

In Manitoba, where the economic landscape is evolving, companies need strategic advantages to thrive. Safety is core to our industry’s work culture. But, far from being just a compliance measure, it can be a powerful tool for companies to differentiate themselves. My vision is for COR® to be more than a prerequisite for bidding on jobs – it should be a symbol of a company’s commitment to excellence, employee well-being and overall operational success. That’s a powerful recruitment feature.

Safety is not a cost but an investment, and it’s increasingly important in times of economic uncertainty. A comprehensive safety program has the potential to

enhance productivity, elevate quality outcomes, and contribute to a strong corporate culture. By placing safety at the forefront of operations, companies can reduce accidents, protect worker well-being and morale, increase efficiency and ultimately enhance the bottom line.

I am enthusiastic about the possibilities that lie ahead for the WORKSAFELY® program and its impact on the heavy construction industry in Manitoba. You’ll be hearing more on this, and I would love to hear directly from you with your comments and ideas.

Jacquelyn Oduro Director, MHCA WORKSAFELY® Education & Training

Jacquelyn Oduro Director, MHCA WORKSAFELY® Education

NEW COR® COMPANIES

These companies have been verified by (and certified through) WORKSAFELY® as meeting all elements of the COR® program.

MHCA also applauds all of its members who have achieved the nationally recognized COR® through any member of the Canadian Federation of Construction Safety Associations (CFCSA).

2023

› 2937876 Manitoba Ltd. o/a

Ken’s Crane Service

› Barricades & Signs

› Calvin Charles McKay o/a

Cal McKay Construction

› Delaurier Concrete & Construction Ltd.

2024 – QUARTER 1 As of February 29, 2024

› Barren Lands First Nation

› Ellmar Construction Inc.

› Fourth Gen Enterprises Inc.

› GFL Environmental Inc. (Solid Division)

› Haywood Concrete Products Ltd.

› JMS Watt Brothers Ltd.

› Keller Foundations Ltd.

› Manto Sipi Cree Nation

› Midnorth Development Corporation

› Miller Environmental Corporation

› Multicrete Precast Inc.

› Schnell Construction Inc.

› York Landing Construction Group Ltd.

› GME Excavation Sewer & Water Inc.

› The City of Flin Flon

WORKPLACE SAFETY AT YOUR FINGERTIPS

Paperless Safety

Use SiteDocs on your phone, tablet, or the web for all your safety documentation.

With eCOR®, there’s no need to collect and submit any paperwork to our auditors. 1 2

Easier COR® Audit

“When it came time to do our audit, everything was right there. There was no digging for missing forms or going out on jobsites to find them or even printing them."

Try It Out

1. Download SiteDocs from the App Store or Google Play

2. Login: ecor@sitedocs.com Password:

Activate Your Account

1. Contact info@sitedocs.com, 1-866-871-1892

2. Includes account customization, training, and free import of additional MHCA documents ®

– Curtis Bachmeier, Director, Wildcard Excavation Inc. WWW.SITEDOCS.COM

MANITOBA HIGHWAY TRAFFIC ACT –SECTION 146 UPDATE

Manitoba’s Highway Traffic Act update last summer substantially changed the way contractors can manage the installation of traffic control devices.

The changes made to Sec. 146 in the updated HTA no longer allow anyone to ride on a vehicle (trailer included) that is not designed with passenger seating.

This is a hot topic for the construction industry, which until last summer was exempted from the Act for individuals (and vehicles) performing construction work and maintenance.

It’s important to know that now anyone –including construction workers – riding in or on a vehicle being driven on a highway must be seated “on a part of the vehicle that is designed and equipped" for passengers.

Further, riding on a trailer is prohibited, and the driver must not drive with a passenger in a trailer.

This will change the way those working in the industry manage the placement or removal of traffic control devices.

Prohibiting riding in or on nonpassenger vehicles and trailers signifies a crucial safety measure. This legislative adjustment aims to mitigate potential risks associated with individuals standing on moving trailers, especially during the placement or removal of traffic control devices.

The construction industry must adapt its practices to comply with the updated regulations and prioritize

the safety of workers involved in these activities.

“As we’re adapting to this change, I encourage all to consult with their Traffic Control Coordinators to implement the necessary measures to ensure a smooth and safe transition,” says Trevor Shwaluk, Safety Advisor at Manitoba Heavy Construction Association and lead instructor for the Traffic Control Coordinator course.

“If you have any questions, please feel free to reach out to your MHCA safety advisor,” includes Shwaluk.

For detailed information on the changes introduced by the HTA, please visit https://web2.gov.mb.ca/ laws/statutes/ccsm/h060.php.

Photo Credit: Colin Corneau

HARNESSING THE POWER OF WORKSAFELY®: YOUR PARTNER IN SAFETY EXCELLENCE

As a dedicated member of Manitoba’s thriving heavy construction industry, you are foundational to shaping our province’s infrastructure. At WORKSAFELY®, we understand the demands on your business and are here to support you so your people get home safe at the end of the day. We want our members and clients to view us as a safety resource, committed to supporting and enhancing your operations.

MHCA members and clients of WORKSAFELY® are familiar with the financial commitment made through their WCB premiums. These contributions not only protect your workforce but also open the doors to a team ready to support and provide expertise offered by WORKSAFELY®.

If your company falls under specific WCB classification codes, you are entitled to access safety services, support and discounted training through WORKSAFELY®:

› 40702 - Sewer and Water Construction

› 40705 - Pipeline Construction

› 40706 - Excavation, Foundations, Installing Pools and Tanks

› 40709 - Piling and Underwater Construction

› 40802 - Trenching and Drainage

› 40803 - Roadwork

› 40806 - Gravel and Stone Pits

› 40809 - Equipment Contracting

› 60903 - Concrete Supply

Primary Services

WORKSAFELY® operates as an extension of your team, dedicated to fostering a culture of safety excellence within your organization. Our primary services include safety consulting, training and Certificate of Recognition (COR®) certification.

Our team tailors these services and courses to your company and workers’ needs. We pride ourselves on being a readily available resource, poised to assist you in various capacities.

COR® Certification and Assistance

Preparing your company for COR® certification can be a daunting task. WORKSAFELY® is here to alleviate the stress by offering expert guidance throughout the certification process. We understand the intricacies of COR® requirements and can help streamline your company’s safety procedures, ensuring compliance and setting you on the path to achieving this important certification.

Addressing Improvement Orders

In the fast-paced world of heavy construction, Improvement and Stop Work Orders can pose significant business disruption. WORKSAFELY® stands by your side, providing support

in addressing improvement orders promptly and effectively. Our team works diligently to help you implement necessary changes, ensuring a safer and more compliant workplace.

Safety Resources and Information

Stay ahead of the curve with WORKSAFELY® as your partner in accessing the latest safety information and resources within the heavy construction industry. We actively engage with industry updates and disseminate crucial information to our members, empowering you to make informed decisions that enhance workplace safety.

At WORKSAFELY®, we believe that safety is not just a contractual requirement; it’s a commitment to the well-being of your workforce and the success of your projects. WORKSAFELY® is your ally in achieving safety excellence. Together, let’s build a safer and more secure future for Manitoba’s heavy construction industry.

Photo Credit: Phil Hossack

CALENDAR OF EVENTS

For more information and to see all upcoming events, please visit https://mhcaworksafely.ca/training.

MHCA DEVELOPING A STRATEGY TO ADDRESS THE WORKFORCE SHORTAGE

Katie Woychyshyn Contributor – Craig Kelman & Associates

The MHCA decided to put together a committee to come up with some ideas on how we can support our members and figure out if there are ways we can improve the hardships of finding people that work in our industry.

– John Highmoor, Principal at Tri-Core Projects

Ltd. and WORKFORCE Committee Chair.

It is no secret that the heavy construction industry is grappling with a workforce shortage.

That is why the MHCA WORKFORCE Committee is constructing a workforce development strategy focusing on attracting, training and developing a skilled and diverse workforce. Doing so may help secure the future of heavy construction in Manitoba.

“Our industry has been struggling with finding people to work,” says

John Highmoor, Principal at Tri-Core Projects Ltd. and WORKFORCE Committee Chair. “The MHCA decided to put together a committee to come up with some ideas on how we can support our members and figure out if there are ways we can improve the hardships of finding people that work in our industry.”

The cause of workforce shortages can vary from industry to industry. When it comes to heavy

construction, there are a lot of factors at play. According to Highmoor, one reason behind the shortage is that heavy construction is lacking an industry identity.

“We think that people aren’t really considering the heavy civil industry as a career choice,” says Highmoor. “A lot of people consider the skilled trades; however, not very often do they think of heavy construction, which is different than the trades.”

Photo Credit: Colin Corneau

The lack of industry identity means misconceptions abound unchecked.

“There’s a perception of the heavy construction sector being more physically demanding and less attractive compared to other industries,” says Jacquelyn Oduro, Director of WORKSAFELY®, Education and Training at the MHCA. “Newer generations seem more drawn to technology-driven or office-based professions. I think there’s a lack of interest in pursuing a career like heavy construction.”

Another barrier exacerbating the workforce shortage is that there is no defined pathway into the industry.

“There is a lot of grey area,” says Oduro, “I just don’t know that there’s been enough groundwork to lay out what that kind of education pathway would be like. It’s making it difficult for new entrants to join the industry.”

It doesn’t help that the pathway varies from position to position. For example, to become a heavy equipment operator, a company must invest time and resources in training a new employee. From there, the new employee must complete their hours before they can handle the actual heavy equipment onsite.

Alternatively, some positions require mentorship from an expert. For example, becoming a pipe layer requires a very specialized skill but has no formal training. “To teach someone how to be a pipe layer, the new worker will be paired up with someone much more experienced,” says Oduro. “It’s like an informalized apprenticeship program.”

However, it may be difficult for potential workers to determine how to obtain the skills they may need for a particular career. Simultaneously, a large demographic of experts is retiring across the industry, and fewer experienced workers are available to teach incoming workers those skills, contributing to the shortage.

The WORKFORCE Committee also determined that new workers shy away from the industry because heavy construction teaches skills and provides training that does not carry any type of certification.

MHCA WORKING TO NAVIGATE THE CITY OF WINNIPEG’S SOCIAL PROCUREMENT CLAUSE

The City of Winnipeg is planning to begin pilot projects that include social procurement clauses within some public works and water and wastewater tenders this year. These pilots are intended to test the industry’s ability to respond to requirements, including submitting a social procurement plan to qualify for the bid award process.

The MHCA is working closely with the Manitoba Construction Sector Council, which typically receives funding to support the training and entry of potential employees from equity groups.

The heavy construction industry is also in early discussions with the City of Winnipeg regarding support for their upcoming Social Procurement initiatives.

Learn more about this on page 20.

“What we’re finding is, unlike the skilled trades, we don’t have proper certification process at this point for our employees,” says Highmoor. “Now, our employees are extremely skilled; they have many years of experience, and they do very complex work. But the reality is the heavy civil industry doesn’t have a certification process for most positions.”

This means that workers may feel like they are not getting any return for their training and work, making the industry less appealing when career planning.

Finally, the committee determined that the lifestyle itself may be a factor that new workers shy away from. Highmoor states that it takes a particular type of person to be in heavy construction, a lifestyle that may include fairly long hours, hard work, seasonal employment, and work away from home.

“The thing is that the work is not for everybody,” says Highmoor. “Some people really like that, and many do not.”

This makes finding the right kind of person imperative to recruiters. “When we do implement training programs, we need to make sure we’re doing a good job of vetting those employees to make sure that they fit the culture of the industry,” says Highmoor. “It’s just not for everybody, so we must ensure we find the right people.”

Currently, the WORKFORCE Committee is planning how to proceed now that it has identified the factors behind the workforce shortage.

Highmoor says that the committee is determining if there is a business case to delegate more resources to the WORKFORCE Committee’s efforts, both in staffing and finance.

Solutions may include introducing a marketing campaign highlighting the benefits of working in the industry, implementing training programs and certifications, and helping members of the MHCA with any barriers they face when it comes to finding the right employees.

“Every area of the heavy construction industry is facing these challenges. The whole idea is to address these challenges and get people interested,” says Oduro. “Build the training programs, build the pathways, work on the messaging and start getting people interested in the heavy construction industry.

“So much of it just comes down to getting the word out and working on that very clear, concise messaging alongside the education pathway to show youth or people considering a career change what the opportunities are,” she adds.

“There are great opportunities in our industry,” says Highmoor. “I’ve been working in it for my whole life. There’s a wide variety of jobs – anywhere from a general labourer to technical engineertypes. That’s the message we need to get out: heavy construction is a great career choice, and it’s very rewarding. I know that’s what it’s been for me.”

WINNIPEG’S SUSTAINABLE PROCUREMENT ACTION PLAN –

WHAT DOES IT MEAN FOR YOU?

The Plan is based on four pillars: environmental, ethical, social and Indigenous. Those pillars support the stated goals summarized in the Plan, which include, but are not limited to, increasing employment in equity groups.

Background

Sustainable procurement is a growing practice designed to enhance the economic, social, environmental and cultural impacts of purchasing decisions for the benefit of the community. In 2022, the City of Winnipeg (the “City”) developed

and approved the Sustainable Procurement Action Plan (the “Plan”) and, through its $400-million annual procurement spending, is embarking on its implementation.

The Plan is based on four pillars: environmental, ethical, social and Indigenous. Those pillars support the

stated goals summarized in the Plan, which include, but are not limited to, increasing employment in equity groups.

Beginning in March 2024, the City began piloting social procurement requirements in projects through RFPs

Bailey J. Harris & Meghan C. Ross Thompson Dorfman Sweatman LLP

and construction tenders. To begin the transition:

› Only the successful bidder will have to respond to the sustainable procurement clause;

› There are no accountability requirements beyond reporting;

› Contractors can determine the percentage commitment; and

› There will only be one sustainable procurement clause (i.e. goal) per tender.

These pilot projects are intended to test the construction industry’s ability to respond to social procurement requirements in the future and set achievable benchmarks for future projects. At the end of the year, the City will examine the data collected from the pilot projects for use in future years.

What does Sustainable Procurement Mean for You?

Companies will need to begin developing policies and procedures now to ensure they are ready to respond to mandatory sustainable procurement requirements within RFPs and tenders in the future.

For the purpose of this article, we will focus on the goal of increased employment of equity groups as an illustrative example. The following is a non-exhaustive list of considerations for business when responding to this goal:

› Develop policies around affirmative action employment practices;

› Develop policies and practices to monitor recruitment efforts, current employment levels and retention strategies for employees;

› Develop reporting mechanisms; and

› Develop human resource policies

and practices for voluntary selfidentification of employees and prospective employees.

The City has released an example tender and Social Procurement Questionnaire providing examples of acceptable answers. We recommend companies review these documents to assist bidders in understanding how to respond to RFPs and tenders in the future.

When developing policies, employers should be mindful of labour, employment and privacy laws. Employers are entitled to set targets for affirmative action hires pursuant to section 11(b) of The Human Rights Code:

11 Notwithstanding any other provision of this Code, it is not discrimination, a contravention of this Code, or an offence under this Code

(b) to plan, advertise, adopt or implement an affirmative action program or other special program that (i) has as its object the amelioration of conditions of disadvantaged individuals or groups, including those who are disadvantaged because of any characteristic referred to in subsection 9(2), and (ii) achieves or is reasonably likely to achieve that object. The protected characteristics include (but are not limited to) ancestry/race, nationality, ethnic background, religion, sex, gender, sexual orientation, physical or mental disability or social disadvantage.

The transitional period will tell us a lot about how the Plan will ultimately be implemented by the City and what the consequences to the industry may be. Tendering and procurement law must remain fair to all bidders equally, and the Plan cannot be implemented in a manner that runs counter to well-established legal principles that have been developed by Canadian courts.

Employers cannot require or mandate employees to self-identify as having a protected characteristic. Selfidentification is a voluntary process.

As a best practice, employees and prospective employees should be informed why this information is being collected and how it will be used. Employers must also take care not to improperly disclose private employee information in breach of privacy laws.

It is important to also understand that affirmative action hiring policies cannot breach the terms of a collective agreement.

The foregoing is only one example of how to plan for and respond to sustainable procurement requirements. In the future, bidders must be prepared to consider and respond to all of the goals set out in the Plan.

The transitional period will tell us a lot about how the Plan will ultimately be implemented by the City and what the consequences to the industry may be. Tendering and procurement law must remain fair to all bidders equally, and the Plan cannot be implemented in a manner that runs counter to wellestablished legal principles that have been developed by Canadian courts. As with so many facets of the tendering process, the ‘devil will be in the details.’

For additional information on the potential implications of the Plan to your organization and how to prepare, please contact Bailey J. Harris at bjh@tdslaw.com or 204-934-2569 or Meghan C. Ross at mcr@tdslaw.com or 204-934-2467.

This article is presented for informational purposes only. The content does not constitute legal advice or solicitation and does not create a solicitor-client relationship. The views expressed are solely the authors’ and should not be attributed to any other party, including Thompson Dorfman Sweatman LLP (TDS), its affiliate companies or its clients. The authors make no guarantees regarding the accuracy or adequacy of the information contained. While care is taken to ensure the accuracy for the purposes stated, before relying upon these articles, you should seek and be guided by legal advice based on your specific circumstances. We would be pleased to provide you with our assistance on any of the issues raised in these articles.

2023 GALA

NANCY & MICHAEL BYRNE

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