Business Examiner Peace Cariboo - November 2018

NOVEMBER 2018

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Fort St. John | Prince George | Terrace | Vanderhoof

Northerners win big at BC Indigenous Business Awards

FORT ST. JOHN

Williams Lake, Fort St. John companies receive honours

Mazzei Electric Grows

BY MARK MACDONALD

Thanks to Dynamic,

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Young Management Team

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INDEX News Update

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Real Estate

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Movers & Shakers 15 Opinion 18 Contact us: 1-866-758-2684

OUR 8TH YEAR

A NCOU V ER – Norther n B r it i sh Colu m bi a was well represented at the 10 th Annual BC Indigenous Business Awards October 15 at the Fairmont Hotel Vancouver.

Two Williams Lake companies, Cariboo Aboriginal Forestry Enterprises Ltd. (CAFÉ) and Skywest Environmental Inc., and Kikinaw Energy Services Ltd. of Fort St. John were honoured at the prestigious event, attended by over 650 people from across the province.

C A F E w a s fe t e d fo r O u tsta nd i ng Busi ness Ach ievement, Skywest Environmental for Young Entrepreneur of the Yea r, a nd K i k i n aw for O utsta nd i ng Busi ness Ach ievement i n t he Busi ness of t he Year category for 11-or more person enterprises.

“The BC Indigenous Business Awards’ program has elevated over 170 outsta nd i ng bu sinesses from th roug hout the

SEE BUSINESS AWARDS | PAGE 4

From left, Charlene Belleau, Chief Fred Robbins and Violet Fuller of Cariboo Aboriginal Forestry Enterprises Ltd (CAFE) of Williams Lake

Kitimat to Benefit from Largest Private Investment in Canadian History Canadian Publications Mail Acct.: 40069240

District of Kitimat Prepares for LNG Canada Export Facility

K

ITIMAT - It’s no secret that change is coming to Kitimat.

With the October 1 announcement of the final investment decision on LNG Canada’s new export facility, Kitimat and the surrounding area is already feeling the impact.

Marking the largest private investment in Canadian history,

the new export facility is launching the community into a period of unprecedented growth for both the population and the economy.

“There have been dramatic changes in the community, especially in the housing market,” says Mike Dewar, Director of Economic Development for the District of Kitimat. “After initial announcements, a majority

of residential properties were scooped up, and commercial and light-industrial spaces were getting a lot of interest.”

Just over a month after the final investment decision, the community is already seeing an increase in new business openings and new residents.

Jill Barrowman, Executive Director of the Kitimat Chamber of

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Commerce, notes, “We have already seen new businesses moving to town and have had numerous enquiries and interest from business outside of Kitimat. The local businesses who have been struggling the past few months will now be in a position to continue and even expand.”

SEE LNG CANADA | PAGE 6

NEWS UPDATE

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PRINCE RUPERT Federal Government Invests $21.9 Million in Port of Prince Rupert

growing ports in North America, we look forward to continued interest from senior levels of government in making Prince Rupert a compelling place to live, work and invest.”

PRINCE GEORGE

The Port of Prince Rupert announced that it is the recipient of three Government of Canada investments totaling $21.9 million, which will enable transportation New and Renewed Canada Research Chairs Announced infrastructure and gateway growth.

Terry Beech, Parliamentary Secretary to The University of Northern British Colthe Minister of Transport and Member of umbia (UNBC) announced the appointParliament for Burnaby North-Seymour, ment of a new Canada Research Chair on behalf of the Honourable Marc Gar(CRC), as well as the renewal of two CRCs. neau, Minister of Transport, announced Dr. Sarah de Leeuw, an associate profesan investment of $15 million from the sor in Geography and the Northern MedAsia-Pacific Gateway Initiative for the ical Program (NMP) has been named as the Fairview-Ridley Connector, as well as new Canada Research Chair in Humanities funding from the National Trade Corridors and Health Inequities. Dr. Sarah Gray, an Fund of $3.7 million for the Ridley Island associate professor in the NMP, has been Road Rail Utility Corridor Expansion and reappointed as CRC of Integrative Physiol$3.2 million for the Zanardi Bridge and ogy of Diabetes, and Dr. Brian Menounos, Mainline Expansion. professor in Geography, will continue his “These investments enable the Port of work as CRC in Glacier Change.

Prince Rupert to improve gateway infra“The outstanding talents that our Canstructure to support growth and ensure ada Research Chairs bring to UNBC not our speed and reliability as a strategic only enhance our research community, gateway for Canadian Trade is mainbut also strengthen our ability to develop tained,” says Shaun Stevenson, Presileading-edge solutions to issues experident and CEO of the Prince Rupert Port enced in the North, across Canada and Authority. “We’re very pleased to have around the world,” says UNBC President the Government of Canada’s support in Dr. Daniel Weeks. continuing to advance the development “In addition, the CRC program also of the Prince Rupert Gateway.” enables Chairs to help develop the next Prince Rupert Mayor Lee Brian comgeneration of research leaders through mented, “The City welcomes these major expanded training and mentoring opFile Name: Log009-Mar18-AD-FinancialStrategy-Prosser transportation improvements as it will Trim: 4.8” x 6.2” portunities, an initiative to which these both encourage future economic investCreative & Production Services Bleed: 0" Safety: n/a three Mechindividuals Res: 300dpi are deeply committed.

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NOVEMBER 2018

All three researchers were appointed as Tier 2 CRCs, awarded to exceptional emerging researchers, acknowledged by their peers as having the potential to lead in their field. Each award is funded for $500,000 over five years.

The Canada Research Chairs Program is a federal initiative to attract and retain exceptional scholars in fields spanning engineering and the natural sciences, health sciences, humanities and social sciences.

UNBC is currently home to seven Canada Research Chairs.

NORTHEAST BC Strong Trajectory for Northeast BC Economy Economic indicators have been stabilizing throughout Northeast BC, and the future is looking bright.

Helmut Pastrick, chief economist for Central 1 Credit Union, was in Fort St. John for a State of the Economy Forum hosted by the North Peace Savings and Credit Union, and pointed out a recent upswing in the region’s economy.

According to Pastrick, recent data shows unemployment rates are down and job vacancies are up; fewer people are receiving employment insurance and offered average hourly wages are up; housing sales and prices are on the rebound, and business incorporations are up.

The economist believes the recent LNG activity in the region points toward another upswing, especially with the LNG Canada project in Kitimat and the Coastal GasLink pipeline that will feed the facility with gas from Northeast BC. Long-term projections for LNG-related industry is very positive, says Pastrick, especially with demand increases for liquefied natural gas in Asian markets.

Currently, employment in the region is about 20 per cent higher than it was in 2001, while other comparable regions, including Cariboo, Kootenays, and the North Coast have either declined or flatlined.

Looking ahead, Canada’s economy is running at full capacity, Pastrick said, and will be faced with higher interest rates, while the loonie will hover about where it is now, at 77 cents to the US dollar.

Helmut Pastrick is chief economist for Central 1 Credit Union President Dr. Daniel Weeks. “The collaboration between UNBC, VIU and the Hakai Institute aligns with our strategic research areas, specifically around the environment and natural resources.”

Research conducted at the Node will encompass the Hakai Institute research themes of geospatial/ecosystem mapping, and big data and modelling.

“The Hakai Cryosphere Node is the natural completion of Hakai’s declared interest in everything from ‘icefields to ocean’ on the Pacific coastal margin,” said Eric Peterson, Founder and President of the Hakai Institute.

“The new Node is the natural counterpart to our existing Hakai Node at UBC’s Institute for Oceans and Fisheries, which is anchored on the “ocean” end of that continuum. The new Node will greatly expand our existing collaboration with researchers from UNBC, VIU and other institutions. In addition, we are very interested in fostering career development in this field for UNBC and VIU students. We’ve already seen the quality of UNBC and VIU graduates in our existing operations.”

PRINCE GEORGE

DAWSON CREEK

Hakai Cryosphere Node Comes to UNBC

Northern Lights College Opens New Trades Training Centre

UNBC Announced a joint $2.4 million research project with Vancouver Island University (VIU).

This project will focus on understanding the role that seasonal snow cover and glaciers play in the hydrology of key watersheds along BC’s Central and Southern Coast.

Supported by the Hakai Institute, the research will be co-ordinated at the Hakai Cryosphere Node located at UNBC and led

by UNBC glaciologist Dr. Brian Menounos, a Canada Research Chair in Glacial Change, and Dr. Bill Floyd, a research hydrologist with the Province of B.C. and an adjunct Professor in Geography from VIU. “This Node will provide groundbreaking multi-disciplinary geospatial research opportunities for our faculty, postdoctoral fellows and students who will create local solutions with global impact,” said UNBC

Trades students at Northern Lights College (NLC) are now able to develop their skills in a state-of-the-art trades training facility.

The $34.4 million facility, which opened for classes in September 2018, is providing students with hands-on learning using industry-standard equipment to gain the tools and skills necessary for a career in the skilled trades. NLC offers several trades and apprenticeships programs, including aircraft maintenance engineering, electrician and power engineering. The new facility will house the carpenter, millwright (industrial mechanic), plumber, welding and wind-turbine maintenance programs.

The project includes construction of a 3,995 square metre (43,000 square feet) trades facility that connects via an indoor SEE NEWS UPDATE | PAGE 3

NEWS UPDATE

NOVEMBER 2018

NEWS UPDATE CONTINUED FROM PAGE 2

walkway to the main building of the Dawson Creek campus. It replaces several old structures previously used by the college for trades training.

The new building also provides physical capacity for up to 96 new full-time-equivalent spaces - a 33 per cent increase. This will create better access for prospective trades students in NLC’s vast campus region across northern B.C. $14.6 million in funding was provided through the Government of Canada’s Post-Secondary Institutions Strategic Investment Fund and $16.4 million was provided by the Province of British Columbia. The remaining $3.4 million was provided by NLC and donors.

Investments through the PostSecondary Institutions Strategic Investment Fund are being used to modernize facilities at Canadian universities and colleges, as well as improve the energy efficiency of these facilities and reduce their impact on the environment.

TERRACE Terrace Chamber Names Business Excellence Award Winners The Terrace & District Chamber of Commerce has named the winners of its Business Excellence Awards.

Category sponsor Sabrina Moniz (BDC) with Pete Sharp, who received Business of the Year Award on behalf of Doug Ritchie, owner of West Point Rentals PHOTO: CARA DEVANEY

Top businesses and individuals in 11 categories were named at an October 14 gala at the Terrace Sportsplex.

This year’s winners are: Business of the Year Award: West Point Rentals Community Impact Award: S k e e n a Va l l e y E m e r g e n c y

Support Services Contributor to the Arts Award: Skeena Salmon Art Festival – Dave Gordon Customer Service Award: West Point Rentals Executive of the Year Award: Cal Albright – Kermode Friendship Society Home Based Business Award:

Jody’s Creations – Jody Kucharyshen M o s t Va l u a b l e E m p l o y e e Award: Samantha Nyce – Studio 3 Salon & Spa Newsmaker of the Year Award: Skeena Salmon Art Festival Resource Industry of the Year Award: Coast Mountain Wireless Volunteer of the Year Award: Steve Little Young Entrepreneur of the Year Award: Katryna Jenniss – Westco Designs Chamber Choice Award: MNP – LLP “The community did a tremendous job of supporting this year’s voting process, we saw a record number of people take part,” said Loralie Thomson, president of the Terrace & District Chamber of Commerce. “The Gala was a sell out and proved to be a funfilled evening. Definitely, one not to be missed. Congratulations to all the recipients and nominees. A big thank you to all our sponsors, including Rio Tinto. Without our sponsors this event for the community wouldn’t be possible.”

QUESNEL Barkerville Brewing Brings Home BC Beer Award On October 20, Quesnel’s Barkerville Brewing Co. was awarded a silver medal for its 52 Food

3 Stout at the BC Beer Awards.

According to general manager Justine Pelletier this marks the third time that the stout, a local favorite, has placed.

T h e b re w e r y s u b m i t te d a handful of its products in different categories (with 50-60 entries in each category), and the stout took silver in the UK Stout category, behind Luppolo Brewing Company’s Oatmeal Stout, which is produced in Vancouver.

Barkerville Brewing’s tap handle was also up for an Innovation Award at the provincial event, and landed in the top five for its unique dynamite stick design.

The company opened in 2014, and to date has won six B.C. Craft Beer Awards and two Canadian Brewing Awards. With 176 craft breweries in the province, competition in every category is fierce.

Barkerville Brewing’s products are created in its warehouse in downtown Quesnel, where they brew around 150,000 litres of beer a year, and distribute it all across Canada. The brewery is led and staffed almost entirely by women.

In addition to its recent silver medal in Vancouver, Barkerville Brewing Company won Business of the Year (10+ employees) at the Quesnel & District Chamber of Commerce Business Excellence Awards, held Saturday, Oct. 27 at the Seniors’ Centre.

SEE NEWS UPDATE | PAGE 4

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OFF THE COVER

NOVEMBER 2018

B.C. Exporters Should Take Advantage of Canada’s Trade Agreements Canada Maintains Trade Agreements with All Other G7 Countries

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xport of goods and services make up 38 per cent of B.C.’s real Gross Domestic Product (GDP). As exports are a vital part of our economy, it is crucial that we continue to focus on exploring and diversifying our export products and markets.

With government support, B.C. exporters can take advantage of the fact that Canada is the only G7 country to have trade agreements in place with all other G7 countries, and must reach out to potential new and existing markets to build or maintain trade relationships.

Despite continued trade disputes with the United States, the value of B.C. exports increased by 12.7 per cent to $43.7 billion in 2017. Between January and July 2018, at the height of trade

“It is important that the federal and the B.C. government continue to support our exporters to find new innovative ways to diversify products and services, and to maintain and establish trade relationships with other countries.”

LORI MATHISON FCPA, FCGA, LLB, PRESIDENT AND CEO OF THE CHARTERED PROFESSIONAL ACCOUNTANTS OF BRITISH COLUMBIA

negotiations with the U.S., total international exports reached $26.6 billion, up 5.3 per cent from the same time period last year.

In comparison, the value of our exports to the U.S. grew by 0.6 per cent to $13.1 billion over the same time period. This points to the demand for our resources and the resilience of our exporters.

Pa rt of th is resi l ience a lso comes from our diverse and diversifying export markets. As the gateway to the Asia Pacific, B.C. enjoys a locational advantage compared to other provinces.

The share of our exports to the Asia Pacific increased from 36.9 per cent at the end of 2017 to 38.3 per cent by the end of July 2018.

The share of our exports to the European Union countries also increased, from 4.9 per cent at

the end of 2017 to 5.4 per cent by the end of July 2018. In comparison, the share of our export value to the U.S. relative to other international destinations declined from 51.3 per cent to 49.3 per cent during the same time period.

W hile the U.S. will remain B.C.’s major export market for the foreseeable future, it is important that we continue to diversify our markets. For more than a decade, B.C. exporters, trade-focused organizations, and government have worked to enter new markets and diversify exports to reduce dependency on the U.S. and create new opportunities with other countries.

T he combination of the United States- Mexico-Canada Agreement (USMCA), the

Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), and the Canada-European Union Comprehensive Economic and Trade Agreement (CETA) will create even more opportunities for B.C. exporters. It is important that the federal and the B.C. government continue to support our exporters to find new innovative ways to diversify products and services, and to maintain and establish trade relationships with other countries.

Lori Mathison, FCPA, FCGA, LLB, is the president and CEO of the Chartered Professional Accountants of British Columbia. For more information about CPABC’s public affairs initiatives, visit bccpa.ca.

Williams Lake, Fort St. John companies receive honours BUSINESS AWARDS CONTINUED FROM PAGE 1

province for the past 10 years,” said Scott McIntyre, Foundation Chair. “As we mark this important decade of excellence and look to the future, the 2018 cohort of awardees lead the way as examples of entrepreneurship, commitment and extraordinary vision, all of which play a key role in the strength of our provincial economy.”

M em b ers of t he 2018 ju r y panel include Brenda Baptiste, Louis de Jaeger, Laurie Sterritt and Laara Yaghujaanas.

CAFÉ was formed two and a half years ago by the Tl’esqox (Toosey) and Esk’etemc (Alkali Lake) communities.

Gord Chipman initiated the pa r tnersh ip a nd ma nages it w it h Craig Kennedy f rom Chilcotin Plateau Enterprises (CPE). Ch ipm a n i s t he forest ma nager for Alkali Lake

NEWS UPDATE CONTINUED FROM PAGE 3

FORT NELSON Partnership Submits Fort Nelson Community Forest Agreement Application Fo r t N e l s o n F i r s t N a t i o n (FNFN) and Northern Rockies Regional Municipality (NRRM), announced the submission of their Community Forest Agreement application to the Ministry of Forests, Lands, Natural Resource Operations and Rural Development (MFLNRORD) on October 15, 2018.

The MFLNRORD minister invited a Community Forest Agreement application in March 2017, and the partnership has been engaging in months of significant research and analysis, as

Resource Management (ARM) and Eniyud Community Forest in the Chilcotin, and is also a registered professional forester He told t he William s L a ke Tribune that “It is unique because it is two different nations working together — Secwepemc and Tsilhqot’in. Normally most partnerships are between some large company and some First Nations company, but this one is 100 per cent owned by First Nations,” he said.

CAFÉ manages 41,000 hectares of forest in the Chilcotin Military T raining A rea, and Chipman says “last year about 12,000 hectares burned in the 2017 w ildfire. So we started salvaging timber while it was still worth something.”

C A F É p ro d u c e d o v e r 8 0 0 cords of fi rewood last yea r, and hires First Nations logging companies, including Tsideldel Enterprises, Deadwood well as consultations within the communities.

The prospect of a Community Forest managed jointly by FNFN and the NRRM has been welcomed and endorsed by members of both communities. It is seen as a key element in the rebuilding of a sustainable forest sector that provides economic, social and cultural benefits to the region.

The Fort Nelson Community Forest (FNCF) is generally located within a 100-kilometre radius of Fort Nelson. The proposed CFA area is approximately 200,181 hectares in size with a timber harvesting land base (THLB) of approximately 92,014 hectares.

While the recommended Allowable Annual Cut (AAC) of 217,650 m3 would make the FNCF the largest in British Columbia, this represents a very small component of the Fort Nelson Timber Supply Area. This AAC includes

Kory Wood of Kikinaw Energy Services with the Outstanding Business Achievement, Business of the Year award for 11-plus person enterprise 185,000 m3 for the CFA in addition to a volume reservation of 32,650 m3 per year for BC Timber Sales (BCTS) to account for the overlap of the CFA with BCTS pricing units.

A formal approval to the Fort Nelson CFA application is expected from the MFLNRORD Regional Executive Director within 6 – 8 weeks of the submission. Once the Community Forest Agreement license is issued to the Fort Nelson Community Forest partners, they will coordinate forest management activities in accordance with the mission and vision created to guide development of this significant resource.

BC CFIB Business Barometer Shows Improvement for October

Contracting and Eco-link Forestry Services.

Sk y west Env i ron menta l is a full service operation with offices in Williams Lake and Edmonton, and their team of trained and certified professiona ls a l lows customers to leave thei r enti re project i n their hands.

T hey of fer env i ron menta l and excavating services, brush mu lch i n g /mow i n g, u nd erground utility work, skid steer, rental bins, rental equipment, trucking and erosion control.

The company website attributes its success “to its ‘360 degree’ approach to every project and putting safety above all else. Skywest Environmental will continue to promote a more sustainable future for First Nations people by creating jobs and training in the fast growing energy sector.

Kikinaw Energy Services Ltd.

is an industrial maintenance and construction contractor supporting wind energy, oil & gas, mining and utility sectors.

Their services include electrical, instrumentation, wind energy construction, operation a nd ma i ntena nce. K i k i naw (which means “our home” in the Cree language) is a Saulteau First Nations member-owned company.

T he f i r m is a compl i a ncebased organization that prides itself on delivering projects of all sizes and descriptions with the highest standards in safety. Kikinaw strives to achieve customer satisfaction through diligent quality practices prov id i ng a compl ia nt a nd cost effective product. Strategic alliances have been developed with industry leading companies to support their activities, utilizing additional expertise and resources as required.

According to the Canadian Federation of Independent Business (CFIB), optimism among British Columbia’s entrepreneu rs i ncrea sed 5.6 poi nts, reaching an index of 61.5 on the monthly Business Barometer results. The provincial Barometer index is now performing above the Canadian average (60.5) by a point.

Measured on a scale between 0 and 100, an index level above 50 means owners expecting their business’ performance to be stronger in the next year outnumber those expecting weaker performance. An index level of between 65 and 75 means that the economy is growing at its potential.

“It is encouraging to see small business confidence reach a healthier level in October,” said Muriel Protzer, Policy Analyst, BC and Alberta. “No doubt some

of the rising optimism is due to the good news that Canada was able to secure a new trade deal with the U.S. and Mexico. Sustaining this level of entrepreneurial confidence will be the challenge for all levels of government,” added Protzer.

The provincial numbers for October were: PEI (70.8), Quebec (66.2), Ontario (64.2), New Br u nsw ick (62.3), Ma n itoba (62.2), British Columbia (61.5), Nova Scotia (60.7), Newfoundland and Labrador (53.8), Saskatchewan (53.2), and Alberta (53.1).

October 2018 findings are based on 655 responses, collected from a stratified random sample of CFIB members to a controlledaccess web survey. Data reflect responses received through October 15. Findings are statistically accurate to +/- 3.8 per cent 19 times in 20.

REAL ESTATE

NOVEMBER 2018

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BC Northern Home Sales Rise to Hit 11-year High for the Month of October BCNREB Report Shows 11.7 Per Cent Increase From October 2017 Sales

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OR T H E R N B C - T h e number of homes sold through the MLS System of the BC Northern Real Estate Board totaled 460 units in October 2018. This was an increase of 11.7 per cent from October 2017.

On a year-to-date basis, home sales totalled 3,842 units over the first 10 months of the year. This edged up 2.2 per cent from the same period in 2017.

“Home sales have been steadily improving from this year’s low point in February, but October marked a significant jump in activity, with sales reaching the highest level for the month since 2007 and the third highest ever,” said Court Smith, President of the BC Northern Real Estate Board.

“Meanwhile, with inventories at the lowest level since 2007, prices are on track for a sizeable gain in 2018.”

The average price of homes sold in October 2018 was $308,356, jumping 23.5 per cent from October 2017.

T h e m o re c o m p re h e n s i v e year-to-date average price was $295,517, up 7.2 per cent from the first 10 months of 2017.

The Board cautions that the average residential price is a useful figure only for establishing

“Home sales have been steadily improving from this year’s low point in February, but October marked a significant jump in activity, with sales reaching the highest level for the month since 2007 and the third highest ever.”

COURT SMITH PRESIDENT OF THE BC NORTHERN REAL ESTATE BOARD

trends and comparisons over a period of time. It does not indicate an actual price for a home due to the wide selection of housing available over a vast geographic area (the Board serves an area covering over 600,000 square kilometers or 72 per cent of the province).

The dollar value of all home sales in October 2018 was $141.8 million, marking an increase of 37.9 per cent from the same

Court Smith, President of the BC Northern Real Estate Board

month in 2017. This was a new record for the month. The dollar value of October home sales had previously never even surpassed the $110 million mark.

New listings jumped up in October. There were 590 new residential listings in October 2018, an increase of 25.8 per cent on a year-over-year basis and a decade-high for the month.

By contrast, active residential listings numbered 2,044 units at the end of October, down 9.5 per cent from the end of October 2017 and the lowest level for the month since 2007.

Months of inventory numbered 4.4 at the end of October 2018, down from the 5.5 months recorded at the end of October 2017 and below the long-run average of 6.9 months for this time of year. The number of months of inventory is the number of months it would take to sell current inventories at the current rate of sales activity.

Sales of all property types numbered 530 units in October 2018, was an increase of 11.1 per cent from October 2017. The total value of all properties sold was $166.8 million, surging 40.8 per cent from October 2017. www.bcnreb.bc.ca

START YOUR EMPLOYEES OFF ON THE RIGHT FOOT – ONBOARD STRATEGICALLY!

CHEMISTRY CONSULTING CHRISTINE WILLOW

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any employers provide their new employees with an orientation to their new job and workspace.

Unfortunately, an orientation often lacks the depth and strategic planning that an onboarding process offers. Onboarding is much more than just orientation – it includes the initial welcome, human resources paperwork, job understanding and expectations, and the tools the new employee needs to understand and assimilate themselves into the workplace culture. If this process is not done well, it can certainly contribute to negative productivity from the employee and increased turnover for the company.

Here are some suggestions for managers or supervisors to consider when someone new joins

their team: • Accepting a position is a huge com m it ment a nd ca n cause stress and anxiety. Be thorough and honest in the recruitment process and address questions before you make the job offer.

• Take the time to make sure the work space is ready – check t hat t he desk a rea has been cleaned, the phone is working and the computer is ready to go!

• Notify the team of the new arrival and spend time with the staff who will be training new employees, being clear on what is expected of them.

• Send a welcome email a few days before the new employee is to start that provides some basic information such as what time they are expected, where to park, who to ask for and a schedule for their first few days.

• Spend time with your new employee and show them around the company - where the washrooms are, where they eat lunch, where to find supplies and areas they will be expected to know.

You might even take them outside the company and show them what amenities are nearby.

• Strategically introduce them to col le a g ues a nd schedu le time with each to learn about the jobs that they do and how they fit in. Give them an org chart and maybe start with the

departments they will be working with most closely so they have a better chance of associating names with faces and positions.

• Be sure not to overload the new employee with information on Day One, or even Week One. Create an onboarding timeline and spread the activities out to provide the new employee the time to process and retain the information they have learned.

• Schedule regular check-ins with the new employee. These meetings will help develop an open relationship and assist the employee in understanding the specifics of their role and responsibilities, such as how to properly complete key tasks, who to go to with questions, how to get approval for their work and how to make suggestions.

If the fear of going through the search and recruitment process doesn’t motivate a company to properly onboard a new employee then the long-term cost savings should. It is an ROI that both the employer and employee will appreciate!

Christine Willow is a Partner with Chemistry Consulting Group and GT Hiring Solutions. She is a Certified Management Consultant and Registered Professional Recruiter.

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NOVEMBER 2018

District of Kitimat Prepares for LNG Canada Export Facility LNG CANADA CONTINUED FROM PAGE 1

According to Borrowman, the project is ushering in an unprecedented period of investment, opportunity, and growth.

“The opportunities the LNG project will create are huge for small to large businesses,” she says. “Creating a strong, local economy means creating a quality of life that helps attract new talent and develops an environment where a growing workforce will want to live, play and stay.

With industry comes investment, and investment brings new amenities and, potentially, additional facilities for visitors as well as residents.”

The $40 Billion project will require about 10,000 tradespeople at the peak of construction.

Coupled with indirect growth in other industries, community organizations, LNG Canada, and independent developers are working together to meet the increasing housing demands.

“As an organization, we’ve been preparing for an event like this for some time,” says Dewar.

“We’ve worked very closely with the proponents, especially with LNG Canada. We’ve been working to minimize the negative impact, especially with housing, ensuring that they have sufficient work camps and housing for executives.

“We’ve also implemented housing contracts for work camp beds.

Every bed established in Kitimat will bring $500 toward affordable housing projects for our community.”

According to Dewar, a variety of new residential developments have been proposed, and are at different stages of the permit approval process.

Barrowman comments, “The worker’s camps will be in place by the time the majority of the workforce will be K itimat in 2022. There is always the knockon effect where those working on the project will want to move here with their families, and house prices have increased since the Final Investment Decision. LNG Canada has been working very closely with the District of Kitimat and other groups in Kitimat to alleviate as many obstacles and issues they foresee.”

Upon completion of the project, the facility will bring several hundred permanent jobs to Kitimat and the surrounding region. Community leaders are also hoping that the project will attract more long-term investment relationships “There will be a spike over the next few years,” says Dewar.

“With the thousands of people working directly on the project, and additional thousands th rough i nd i rect opportu nities, we’ll have a period of rapid

The District of Kitimat is expected to see unprecedented growth over the next five years expansion.

“We hope that this growth will provide an opportunity to attract further investment, especially international investment in our region. We are also excited about the opportunities that come from galvanizing a workforce capacity of this size. It gives others a chance to find synergies and move forward.”

Moving forward, the District of Kitimat is continuing to prepare for the growth, encouraging population densification, working with the RCMP, and increasing municipal staff to keep up with the project.

“I’m very excited to be a part of what’s happening during this monumental period of time,” says

A digital rendering of the LNG Canada Export Facility Dewar. “At the same time, I recognize that we have some challenges to overcome. It’s going to be a

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NOVEMBER 2018

CONSTRUCTION Kitimat, Continued Labour Shortages, Community Benefits Agreement BC Construction Industry Experiences Major Victories and Challenges Throughout 2018

BY ROBERT MACDONALD

T

he success of the construction sector has an enormous bearing on the welfare of the entire province.

Contributing about 8.6 per cent of the province’s GDP and employing over 251,000 residents in over 24,000 companies, the industry has a ripple effect on almost every other sector in BC. Projections and statistics prov ided by BuildForce Canada indicate that BC’s construction growth has begun to slow, but will soon experience an almost unprecedented boom in early 2019 as several major projects get underway.

This expected growth is largely thanks to proposed LNG facilities, pipelines, and infrastructure projects, especially the upcoming Kitimat export facility. This project is will anchor the largest swell in engineering construction requirements in recent history, as several additional major projects are scheduled to start in 2019.

The report showed a record SEE CONSTRUCTION | PAGE 8

The Kitimat LNG export facility is the largest private project in Canadian history and will greatly impact BC’s construction industry

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year of construction employment growth throughout 2017, which has also contributed to the industry’s growing labour shortage. Statistics Canada data shows evidence of both record high job vacancy rates, coupled with low rates of unemployment in the industry.

In the coming years, the report anticipates a decline in residential construction demands, following a declining rate of population growth and lower levels of new housing activities.

During the same period, industrial, commercial, and institutional building construction is

expected to experience continued growth.

By the year 2021, the residential sector is expected to lose nearly 11,000 workers (nearly a 10 per cent decline from the record highs reported in 2017), while major mining, public transportation, LNG, and pipeline projects (slated to start in 2019 and 2020) are expected to add over 12,000 jobs, which will likely peak in 2021.

According to the report, “While there is uncertainty around the timing of projects, the volume of other projects is significant if they proceed as scheduled. The divergence between residential and non-residential labour m a rke t s m ay pre sent som e

NOVEMBER 2018

recruitment opportunities between sectors, but mobility may be impeded by specific skills and experience requirements.”

In the coming five-to-ten years, BC’s construction industry is poised to experience some of the strongest growth in Western Canada.

LNG CANADA INVESTMENT By far, the non-residential project with the biggest impact is the upcoming liquefied natural gas (LNG) export facility.

On October 1, LNG Canada announced that its joint venture participants, Shell, PETRONAS, PetroChina, Mitsubishi

Chris Atchison is president of the British Columbia Construction Association

SEE CONSTRUCTION | PAGE 10

“BC has been given the opportunity of a generation with the announcement of LNG Canada’s project in the Northwest, specifically in Kitimat. This project has massive implications throughout the entire workforce.

The investment decision comes with a tremendous opportunity for the entire province to become elevated. All the industry is excited, and we’re excited.”

CHRIS ATCHISON PRESIDENT OF THE BCCA

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FALL 2018 If you’re an employer or skilled tradesperson working in BC’s industrial, commercial, or institutional construction industry, you are well aware that there are many opportunities and challenges in front of you right now.

The BC Construction Association and the four Regional Construction Associations are here representing you provincially and locally. We are non-partisan and non-profit, and we’re working on behalf of union and open shop employers to ensure a productive and resilient construction industry that works for everyone in BC.

Make sure your government and industry leaders know the real story: we want to hear from you.

WORRIED ABOUT FORCED UNIONIZATION?

TELL US WHAT YOU THINK:

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BIT.LY/BCCA2018

WORKFORCE TRENDS

5 YEAR TREND

24,347 251,707 $57,647 11,700 1 in 45 95% 13% #1 $254B

Number of construction companies in BC (92% have less than 20 employees)

12%

Number of employees in BC’s construction sector

12%

Average yearly wage of BC construction employees ($14.5B cumulative yearly wage)

Number of construction jobs in BC that will be unfilled due to labour shortages by 2027*

53%

BC high school grads enter construction trades programs within 1 year of graduation

89%

Percentage of the construction workforce in BC that is male

Percentage of the construction workforce in BC that is unionized (10 year trend)

Construction’s Rank as an Employer in BC’s Goods Sector

4%

Value of Proposed Construction Projects in British Columbia

$115B

Value of Current Construction Projects in British Columbia

Get up to speed on key issues...

0% 33%

8.6%

BC Construction Industry Contribution to BC’s GDP

BCCASSN.COM/ADVOCACY

10

CONSTRUCTION

NOVEMBER 2018

CONSTRUCTION CONTINUED FROM PAGE 8

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Corporation,and KOGAS, made the final investment decision to build the LNG Canada export facility in Kitimat.

A report from the British Columbia Construction Association (BCCA) described the project as “a great milestone” for both the province and the nation.

“BC has been given the opportunity of a generation with the announcement of LNG Canada’s project in the Northwest, specifically in Kitimat,” says Chris Atchison, president of the BCCA. “This project has significant implications t h rou g hout t he ent i re provincial construction workforce.

“The investment decision presents a tremendous opportunity for BC’s skilled tradespeople, from safety training and apprenticeship to sustainable employment and career development. Even if you’re not working in the north, the draw to the north will open opportunities in other regions. All the industry is excited, and we’re excited.”

This is the single largest private sector construction project in Canadian history, at $40 billion: in one announcement, the value of projects underway in BC jumped 53 per cent, from $75 billion to $115 billion.

“Though there are some nervous pangs as the industry faces the workforce development challenges that come along with the LNG Canada project, the overall benefits and longter m econom ic i mpact c a n not b e overs t ate d .

BCCA has been collaborating with LNG Canada for several years on workforce development strategies: they are a great partner and have proven their long term to commitment to the people of BC. Current stats indicate the facility will need about 10,000 skilled tradespeople at the peak of construction, and LNG Canada is aiming for a workforce comprised of 25 per cent apprentices (2,500).

The BCCA is currently administering a $1.5 million LNG Canada Trades Training fund, which is designed to support industry and apprenticeship training for construction and related trades in BC. So far, over 1,200 apprentices have been funded, a nd $130,000 rem a i n s in the fund. These funds are available to small and medium-sized employers, who can apply online

Business owners like Mary-Anne Bowcott of Westcom Plumbing and Gas, are working to encourage more women to join the construction labour force through www.bccasn.com.

LABOUR SHORTAGE BuildForce Canada’s annual report included the fol low i ng su m m a r y of BC’s construction industry: “British Columbia’s near-term growth outlook is strong relative to other Western provinces, but much of the available surplus workforce released from Alberta when the oil price fell in 2015 and major project activity declined, has already been absorbed in British Columbia or by other provinces. Relying on the supply of out-ofprovince workers may become increasingly difficult going forward. Meeting ongoing labour demands will be contingent on the industry’s ability to continue attracting and training workers from outside construction or from outside the province as many of the province’s major projects reach peak demand requirements.“ This report showed that the next decade will likely see the exit of nearly 41,000 skilled workers to due retirement or mortality (about 22 per cent of the current labour force). This is contrasted with an estimated 33,000 first-time new entrants expected to be drawn from the local 30 and younger population.

“Con s t r u c t ion i n B C is undoubtedly facing a skilled worker shortage, even though we’re making tremendous strides in appealing to youth, women,

Indigenous populations, and new Canadians,” says Atchison. “We must stay committed to a progressive culture shift in construction and embrace necessary changes. This includes ensuring a safe and productive workplace for everyone.

“In essence, we’re reaching out to non-traditional sources of labour and construction, especially targeting youth. The aging construction workforce, where two-thirds are 45 or older, simply won’t be able to fill all of the job opportunities. We want to embrace all labour sources, and need to ensure that the safety standards and measures of productivity endure no matter how the face of construction changes.”

In the coming decade, the prov ince’s population growth is expected to average about 1 percent per year, and migration is poised to become the key driver of BC’s aging population.

With the gap between births and deaths cont i nu i ng to na rrow, t he recruitment of non-traditional sources of labour and construction is crucial to ensure the well-being and continued growth of the industry.

For this reason, many i ndustr y professiona ls are campaigning to create more inclusive workplaces to accommodate a growing number of female SEE CONSTRUCTION | PAGE 11

CONSTRUCTION

NOVEMBER 2018

CONSTRUCTION CONTINUED FROM PAGE 10

tradespeople.

Information compiled by the federal government suggests that women comprise approximately 54 per cent of the nation’s workforce, but represent less than 10 per cent of Canadian construction industry employees – a statistic that may actually inflate a more disheartening percentage.

“I believe the statistics include women who work in the office and in administrative capacities

in those numbers, and essentially lump all ticketed trades not just construction trades under the overall umbrella of construction.

This would include persons such as hairdressers, which are certainly not part of construction,” explained Katy Fairley, a Director with the Canadian Construction Association (CAA).

“If we were to drill down into those numbers, and from what I know through personal experience, the actual percentage of women directly working in the industry in an active role would

likely be closer to five to seven per cent, so obviously there’s lots of room for improvement.”

In its recently released National Summary covering the years 2018 to 2027, BuildForce projected that the present skilled labour shortage that is impacting companies across the nation will continue to worsen.

In the summary of the BuildFo r c e C a n a d a r e p o r t , B i l l Ferreira, the group’s Executive Director said the industry has to take steps to head off a potential labour crisis.

“This decade, Canada needs as many as 277,000 construction workers to meet labour demands and counter rising retirements,” he said. “With these challenges in mind, the industry will need to step up recruitment efforts and do all it can to encourage far more new Canadians, women, and Indigenous people to join Canada’s

11 construction workforce.”

For Fairley, while progress has been made, the present small percentage of female involvement is an obvious sign that there’s still plenty of room for improvement.

“There’s no escaping the fact SEE CONSTRUCTION | PAGE 13

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NOVEMBER 2018

5TH GENERATION OWNER LEADS E.B. HORSMAN & SON INTO THE FUTURE E.B. Horsman & Son One of Canada’s Largest Independently Owned Electrical Distributors

N

ORTHER N BC - After over a century in business, E.B. Horsman & Son boasts the largest branch network in the province for an electrical distributor.

The family-owned enterprise was founded in 1900 in Moosomin, Saskatchewan by Edward B. Horsman and his son, George.

After visiting British Columbia in 1907, Edward and George decided to move its operation to Vancouver, where the business began to grow and flourish.

E.B. Horsman & Son ran as a hardware store in the Lower Mainland until 1923, when they started focusing on electrical products. The business is now exclusively a full line electrical distributor, with over 50,000 electrical products to choose f rom a nd s up p or te d b y t he staff’s technical expertise.

The company has remained family-owned to this day, and its current president and CEO Tim Horsman is a fifth generation owner. “ We’v e b e e n a p r i v a te l yowned company for 118 years

E.B. Horsman & Son achieved Platinum Club status with the Canada’s Best Managed Companies program by retaining its Best Managed designation for nine consecutive years​ and five generations of ownership,” says Northern BC District Manager Grant Creuzot. “We have great people from the top down, and we’re very approachable. We’re also more quick to respond and react because of our private ownership.”

With 21 branches across BC, Alberta, and Saskatchewan, the company has the resources to meet a wide range of needs in

the industry. The 21 branches, four of which are in Northern BC, serve industrial, commercial, institutional, and residential markets.

The primary distribution center in South Surrey manages about 20,000 SKU’s using one of the latest technologies in warehouse management systems to ensure customers receive the right products on time.

“I think people choose to work w it h ou r c ompa ny b e c au se we’re very customer service oriented and we offer tailored solutions to fit each client’s needs,” says Creuzot. “We can give a custom solution for an on-site inventory requirement, a temporary solution for construction purposes, or a longerterm customization - whatever they might need.”

With a distribution centre that sends shipments every single day to every single branch, all branches essentially share inventory and have access to an enormous selection of products that can be shipped overnight to most locations.

Add itiona lly, the compa ny boasts several specialty divisions within the organization that support the branches and customers with technical applications. E.B. Horsman & Son is the only full line electrical supplier to have Process Instrumentation, Automation, and Controls (PAC) divisions in Western Canada.

PAC, Data Communications, Lighting and Project Management specialty divisions provide the technical support and expertise required for industrial and commercial applications, bringing in knowledge to supplement the day-to-day op erat ion s a s wel l a s l a rge projects.

Its Nor t her n B C bra nches include Prince George, Dawson Creek, Williams Lake, and Terrace.

“A lot of Northern BC communities are made up of tightk n it g roups of people, so it makes doing business up here a little different,” says Creuzot.

From the bra nches, the c omp a ny h a s b e e n prov iding electrical supplies to the best electrical contractors, industrial integrators, large industrial companies, schools, hospita l s a nd ut i l it ies t h at makeup the fabric of Northern BC communities.

As a company that’s deeply rooted in areas around the province, E.B. Horsman & Son prioritizes generosity, especially when it comes to the BC Children’s Hospital and is proud of its staff engagement.

“The Children’s Hospital is the main beneficiary of our donations,” says Creuzot. “It’s on the radar at every single event we put on, including golf tourna ments, hockey pools, a nd barbeques.”

“Giving back to our community is pa rt of the compa ny’s core va lues a nd cu ltu re. We a lso help suppor t some i mportant scholarship programs that will ensure the next generation is equipped to enter the workforce.” www.ebhorsman.com

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13

Mandatory Unionization Threatens BC Construction Projects BCCA Speaks Out Against New Provincial Government Policy

B

C - “This is easily one of the biggest issues to face the construction industry in decades.”

Chris Atchison, president of the British Columbia Construction Association (BCCA) is referring to the mandatory union requirement inside the Commu n ity Benefits Ag reement (CBA), a new BC government policy with consequences that are worrying a majority of construction professionals.

The CBA creates a new Crown Corporation, called “BC Infrastructure Benefits Inc.” (BCIB), that will hire only union workers from a designated union for construction of major public projects. This new Crown will replace contractors as the employer of all tradespeople working under the scope of the CBA. Open-shop companies can still bid on projects, but if they are successful their employees will be required to join a designated union.

“We’re a formidable industry, and to put such an onerous condition on construction employers sends the wrong message about the provincial government’s priorities.

Skilled tradespeople are a contractor’s most valuable asset: limiting their ability to manage their own workers introduces risk. And contractors don’t like risk.”

CHRIS ATCHISON PRESIDENT OF THE BRITISH COLUMBIA CONSTRUCTION ASSOCIATION (BCCA)

CONSTRUCTION CONTINUED FROM PAGE 11

that the older segment of our industry is leaving which creates a real potential for women,” she concludes. We’re now acutely feeling what a labour shortage does to construction and it’s not a problem you’re going to fix by looking at only 50 per cent of the population, you simply have to put it on the table for the other 50 per cent as well, make it an option and women will recognize it and take it.”

WORKPLACE SAFETY In order to ensure that the industry remains an attractive field to new hires, construction associations and government bodies are always working to ensure the work site is as safe as possible. ““There’s so much going on in the realm of workplace safety, including questions regarding COR requirements and the legalization of recreational cannabis,” comments Atchison. “With these issues and more, we have tremendous resources in WorkSafeBC, the BC Construction Safety Alliance, and COCA to make sure the needs of construction owners and employees are met.”

The Council of Construction Associations (COCA) represents all major construction associations in BC, acting as a liaison between the sector and WorkSafeBC on all workplace safety matters.

Currently, the industry contributes about $240 million in assessments to WorkSafeBC, which comprises about 20 per cent of the organization’s total assessment revenue.

The primary role of COCA is focused in three main areas: developing consensus on construction policy positions; addressing legislative, regulatory policy and practice issues within the workers’ compensation system in BC; and assisting individual employers, contractors and associations with their WorkSafeBC concerns.

COCA is governed by an independent Board of Directors, drawn from member/ partner associations, which are comprised of construction and trade associations operating in BC. The BC Construction Association provides administrative support and acts in

“The BC construction industry employs over 251,000 workers, and contributes about 8.6 per cent of the province’s GDP,” remarks Atchison.

“We’re a formidable industry, and to put such an onerous condition on construction employers send s t he w rong message about the provincial government’s priorities. Skilled tradespeople are a contractor’s most valuable asset: limiting their ability to manage their own workers introduces risk.

And contractors don’t like risk.”

According to recent data, there are over 24,000 construction companies in the province, and 92 per cent of these have under 20 employees. Of the industry’s 251,000 plus workforce, only 13 per cent of industry employees are unionized.

The BCCA believes that there was inadequate industry consu ltation prior to the i ntroduction of the policy, and has conducted live polls at a series of

capacity of secretariat.

“Our number one priority is safety, and we are unwavering in our commitment to the wellbeing of the workforce, both physically and mentally,” Atchison continues.

“It’s clear to us that personnel are the most valuable asset. Our goal is to ensure that safety remains a priority on site so workers can return home happy and return to a safe work site the next day.”

COMMUNITY BENEFITS AGREEMENT In the midst of the excitement surrounding new projects in Northern BC and elsewhere, the industry is facing a major challenge, brought on by a provincial government legislation.

The government’s new Community Benefits Agreement includes a clause that is worrying a vast majority of industry professionals. This portion of the agreement creates a new Crown Corporation, called “BC Infrastructure Benefits Inc.” (BCIB), that will hire only union workers from a designated union for construction of major public projects.

“This is easily one of the biggest issues to face the construction industry in decades,” says Atchison.

Open-shop companies can still bid on projects, but if they are successful their employees will be required to join a designated union. Of the sector’s 251,000 plus workforce, only 13 per cent of industry employees are currently unionized.

The BCCA believes that there was inadequate industry consultation prior to the introduction of the policy, and has conducted live polls at a series of town hall discussions attended by leading representatives from BC’s leading industrial, commercial, and institutional construction employers.

According to Atchison, the vast majority of professionals represented by the BCCA oppose this forced unionization policy. On behalf of industry stakeholders, the organization has put together recommendations for Minister Trevena and the Premier that will contribute to the goal of achieving local hiring goals without the need for conscription to a specific union.

“We are looking for a productive platform

town hall discussions attended by leading representatives from BC’s leading industrial, commercial, and institutional construction employers.

Of those pol led, wh ich i ncluded a representative m i x of union and open shop contractors, 94 per cent said the negative financial impacts of the CBA on project costs will be extremely significant, and 96 per cent said they are less likely to bid on a public project that falls under a CBA with required unionization.

At one of these discussions, a contractor commented “The CBA union requirement makes government an owner to avoid, not an owner of choice.”

The BCCA is a non-partisan, m i x e d-m e m b e r s h i p ( b o t h u n i o n i z e d a n d o p e n s h o p) organization.

“Our organization and the vast majority of the professionals we represent believe this policy isn’t good for ou r i ndust r y,

where our voices can be heard before the CBA negatively affects public project procurement,” he says.

“We encourage people to engage with their MLAs and let them know: this policy is not only bad for the industry and for the future of infrastructure projects, it is a breach of the constitutional rights of

com mu n ities, or economy,” says Atchison. “We have recom mendations for M i n ister Trevena and the Premier that can productively achieve the local hiring goals without the need for conscription i nto a specific union. We are looking for a productive platform where our voices can be heard before the CBA negatively affects public project procurement.”

Construction employers and tradespeople are invited to participate in a letter writing campaign to express their concerns about mandatory unionization.

“We encourage people to engage with their MLAs and let them know: this policy is not only bad for the industry and for the future of infrastructure projects, it is a breach of the constitutional rights of construction workers to freedom of thought and assembly,” he continues.

To participate in the BCCA letter writing campaign, visit voices.bccassn.com

construction workers to freedom of thought and assembly.”

Construction employers and tradespeople are invited to participate in a letter writing campaign to express their concerns about mandatory unionization.

To participate in the campaign, visit voices.bccassn.com

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NOVEMBER 2018

MAZZEI ELECTRIC CONTINUES TO SURGE “A majority of our managers have grown as the business has, working up from being journeymen out in the field. That means there’s a lot of mobility potential for new hires. We’re constantly evolving and new supervisory roles on-site and in the office are constantly coming up.”

Growing Electrical Company Seeks New Hires to Keep Up With Explosive Growth

F

ORT ST. JOH N - With a staff now approaching 200 employees, family-owned Mazzei Electric Ltd. is continuing to break into new markets.

Since it was founded nearly 25 years ago, the Nanaimo-based company has grown from a local start-up into a major electrical contracting business, impacting the whole province with key offices in Victoria and Fort St. John. “ We’ve got a prog ressive, young, energetic management team right now, which makes this company an exciting place to be,” says company president Ben Mazzei, a third-generation electrician. “ My fat her, Fra n k Ma zzei started the business in 1994, doing primarily commercial c ont ra c t ser v ic e s. We s t i l l work for many of his original customers.”

W hen Ben took over the company about six years ago, there were approximately 25 employees. As the company has experienced explosive growth, m a ny of t he key employees have stayed on, evolving with the company and becoming key pillars in the business.

“A majority of our managers have g row n as the busi ness has, work i ng up from bei ng journeymen out in the field,” he continues. “That means there’s a lot of mobility potential for new hires. We’re constantly evolving and new supervisory roles on-site and in the office are constantly coming up.”

Accord i ng to B en, M a zz ei Electric is currently in hiring mode, looking for “any eager, ent hu si a s t ic t ra d e s p erson - e a r l y-t e r m a p p r e n t i c e , journeyman, site supervisor, project m a n ager - a nybody interested in joining an exciting team with lots of opportunity

BEN MAZZEI PRESIDENT OF MAZZEI ELECTRIC

Ben Mazzei is the President of Mazzei Electric

Mazzei Electric was founded in 1994 and currently serves Vancouver Island and Northern BC for growth.

“We’re a little different from many of our industry peers, especially because of the age of the leaders. Of our entire management team, we have three who are over the age of 40.”

Mazzei is always working to ensure the safety of its workers,

and is CORE Certified, which is Worksafe BC’s highest safety standard certification.

The company is hoping to hire another 20-30 employees in its various regions over the next 3-4 months.

“We’ve been pretty aggressive about looking into new markets

and new opportunities,” says Ben. “I think that’s part of why we’ve grown so quickly.”

Additionally, Mazzei has been enjoying the benefits of strong relationships with other growing companies, who continue to provide the business with more diverse and more large-scale projects.

“We’ve made sure that our team is capable of doing almost any job that’s brought to us, no matter how big or small,” he continues.

“Our service department will do everything from changing a receptacle or a light fixture at you r pa rents house, to m a i nten a nc e a nd ad d-on s, to ma nu factu ri ng a nd l ig ht industrial plants, to commercial tenant improvement in a mall.

“Beyond that, we’ve got a team in our Projects Division that will do condos and apartments, institutional projects, c om m erc i a l proje c t s, l i g ht industrial projects, and more.

It’s a pretty wide spectrum of capability.”

If there’s anything to thank

for the company’s astronomical growth, Ben believes it’s this w i l l i ng ness to embrace t he industry’s enormous diversity, coupled with constant networking and reaching out to new clients.

Recently, Ma zzei has been cont racted for a nu mb er of major projects across various sectors.

T hey were involved in GAIN’s new Vancouver Island M o to r s p o r t C i r c u i t i n t h e Cowichan Valley and will be working on the company’s new Audi, Alfa Romeo, and Maserati dealership in Victoria.

“Right now, we have about 25 low-to-mid-rise condominium projects eit her wa it i ng to sta r t or i n a d i f ferent stage of construction between Vancouver Island and Northern BC,” says Ben. “We’re doing the Northern Lights College Trades Training Facility in Dawson Creek right now, which is a really big job.

About a year and a half ago, we worked on Malaspina Gardens, which is a 143-unit care home.”

T hey are also working on a large number of multi-family projects in the Victoria area, and have been contracted by Axiom Builders to do electrical work for 207 units on Pandora Avenue.

T hey’ve worked on new grocery stores, pump stations, wa rehouses, a nd even the helicopter pads at the North Island Hospitals. “You name it, we do it,” Ben remarks.

The company’s growth and diversity of projects wouldn’t h ave been possible w it hout an investment in the proper infrastructure.

“A s w e ’ v e g r o w n , w e ’ v e c ent ra l i z e d a l l e s t i m at i n g, purchasing, administration, and accounting in Nanaimo, and we have the same core group as we continue to go into more markets,” he concludes. “We’ve i nvested i n strong systems, and our strong organizational structure allows us to sustain this growth.” www.mazzeielectric.com

Now Hiring resumes@mazzeielectric.com www.mazzeielectric.com RESIDENTIAL • COMMERCIAL • INDUSTRIAL

MOVERS & SHAKERS

NOVEMBER 2018

to mark the occasion in celebration of the mall, which opened in 1978. The mall is owned by Robert Bosa of Bosa Properties, and the property is managed by Amber Zanon.

TERRACE Northwest Regional Airport passenger traffic has been increasing each month, indicating steady growth when compared with last year. The month of September saw 21,251 passengers, up 11 per cent from the same time in the previous year.

August indicated a 12 per cent increase, and July boasted a 7 per cent increase as well. The airport has received much communication and traffic lately since LNG Canada’s announcement.

The Terrace Standard team recently welcomed Natalia Balcerzak as their new multimedia journalist. Balcerzak hails from Toronto and will be reporting on sports and general news, taking over from former employee Jackie Lieuwen.

The City of Terrace has a new Council, sworn in on November 5 th . Mayor Carol Leclerc began serving in her second term, with this term’s council members including: Lynne Christiansen,

Brian Downie, Sean Bujtas, Evan Ramsay, James Cordeiro and Jessica McCallum Miller.

After seven years serving as t he secreta r y-t rea su rer for Coast Mountains School Dist r ict , A l a n n a Ca m eron h a s chosen to move on to serve in a similar position in Salmon Arm for the North Okanagan-Shuswap School District. The Coast Mountains district is currently seeking a replacement.

The provincial government has allocated $1.3 million to 49 school districts for the purpose of encouraging youth to pursue careers in trades. The funding was pledged in observance of Apprenticeship Recognition Week and will go into the Youth Work in Trades program. Terrace participates in promoting and raising awareness of this program and has been promised $20,000 to continue doing so.

November 1st marked the 40th year of operation for the Skeena Mall. The Terrace Regional Historical Society set up a display

T he BC A le T ra i l re c ent ly launched the Northern BC Trail, a tourism initiative currently involving eight craft breweries between Valemount – close to the Alberta border – and Prince Rupert. A mong the featured breweries is Sherwood Mountain Brewhouse in Terrace. The Northern BC Trail is one of 16 launched by the BC Ale Trail, which began in 2016.

G em ma’s Clearance Warehouse, located at 4621 Lakelse, near Gemma’s Boutique in Terrace, will be closing its doors to business.

Nearly a year has gone by since Chris Arnold, co-founder of Provincial Networking Group Inc. (PNGI), passed away. The c ompa ny, wh ich a dvo c ate s for employment services, will continue under new management. Kristie Ebeling, program director for PNGI, will be the new owner. Ebeling has plans to broaden PNGI’s reach by adding more programs and workshops.

Reflectionz Hair Lounge, located at #3 – 4965 Motz Road, celebrated its 5th anniversary in business this year. Additionally,

owner Crystal welcomes Jenny and Cathy to the team of hair professionals.

The 2018 Nation2Nation forum will be the fourth annual event of its kind held in Terrace. This year’s event will feature a panel d i sc u ss ion w it h t he Ha isla Nation and LNG Canada. The

15 conference is an opportunity for residents, politicians, industry representatives and First Nations leaders to network and discuss local developments.

Local indigenous artist Nakkita Trimble Wilson, a member of the SEE MOVERS & SHAKERS | PAGE 16

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16 MOVERS & SHAKERS CONTINUED FROM PAGE 15

Nisga’a Nation, has been named as a recipient of a Fulmer award for BC First Nations Art. Wilson was one of six award recipients, and the award was given by the British Columbia Achievement Foundation (BCAF).

Nakkita Trimble Wilson, recipient of the Fulmer award Terrace Appliances & Mattress has been opened for business in its location at 3110 Kalum Street.

Kitselas First Nation has received almost $670,000 in funding from the federal government for the purpose of forest sector business development, as well as reducing its carbon footprint.

The initial $600,000 was allocated over the past few years, going towards land restoration and reclamation projects. The remaining portion will go towards a feasibility study that will lay the ground work for a new heat and power energy system.

MOVERS & SHAKERS PRINCE RUPERT The Canadian Development Investment Corporation (CDEV) has announced that Ridley Terminals Inc. is on the market for a buyer. The federal government has indicated the buyer will receive a 90 per cent stake in the venture, with the remaining 10 per cent being owned by Metlakatla and Lax Kw’alaams First Nations. Possible buyers have been notified by CDEV of the opportunity.

The City of Prince Rupert has presented their new council, headed by Mayor Lee Brain, which consists of: Reid SkeltonMorven, Gurvinder Randhawa, Wade Niesh, Blair Mirau, Barry Cunningham, and Nick Adey.

This is the first year since 1972 that the P ri nce Ruper t City Council will not have a female representative.

Prince Rupert Yacht and Rowing Club has i nsta l led a decommissioned old beacon that formerly serviced Bonilla Island. The light beacon was on the island for over 40 years, and instead of it being disposed of, the club requested that the Canadian Coast Guard designate it as a historical piece.

Houle Electric Ltd., BEL Contracting, and Fraser River Pile

& Dredge Inc. (FRPD), have each been recognized with a silver placing at the Vancouver Regional Construction Association (VCRA)’s Awards of Excellence on October 23 rd. Each company helped to build the Phase 2 expansion of Fairview Terminal, and all were commended for their work quality, and for completing the project both on time and on budget.

The Port of Prince Rupert has been meeting with key agricultural officials in the grain industry in western Canada to promote its capacity to export grain. The Port has potential to transport 6.5 million tonnes of grain each year. In 2017 alone, bulk barley and wheat exports from the Prince Rupert port equaled 5.75 million tonnes.

After lying vacant since the 1990s, t he old Dairy Queen building at McBride Street and Third Avenue West, has been acquired by the Northern Savings Credit Union. Northern Savings will work with Redesign Rupert to make the best use of property space, which is situated in a highly visible area of town.

WILLIAMS LAKE The Williams Lake and District Chamber of Commerce hosted

NOVEMBER 2018

their annual 2018 Business Excellence Awards, honoring community leaders and businesses such as: Shane Gunn – Newsmaker of the Year; United Way – Not For Profit Award; Tammy Tugnum – Hugo Stahl Award; Williams Lake Stampede Association – Tourism Excellence Award; Still North Design – Greatest Improvement Award; Borland Medi-Clinic – Service Excellence Award; Windsor Plywood – Retail Excellence Award; West Fraser Plywood – Production and Manufacturing Excellence; and Chemo RV Sales & Service – Business of the Year.

This term’s Williams Lake City Council was recently inaugurated, featuring Mayor Walt Cobb, and councilors: Craig Smith, Jason Ryll, Scott Nelson, Marnie Brenner, Ivan Bonnell, and Sheila Boehm.

A renovation contract was awarded out of the Rural Dividend Grant to the Museum of the Cariboo Chilcotin in Williams Lake, for its displays at the Tourism Discovery Centre. Sprucelee Construction Ltd. received the contract, valulued at $217,805, to complete the facility. Construction work will begin this December and is scheduled for completion by the spring.

T he City of Williams Lake issued 84 building permits this year, valued at at $35 million for.

Some of the projects feature: the Tolko project, Starbucks, an affordable housing complex on First Avenue, a Shoppers/ Tim Hortons Complex, Platform Properties, and West Fraser Mill.

City Furniture, at 240 MacKenzie Avenue North, celebrates its 42 nd year in business this year.

Deana Conde Garza has been named as the new executive director for the Boys and Girls Club of Williams Lake (BGCWL).

Garza has worked with BGCWL since 2017, formerly as an operations coordinator.

Sakura Sushi, at 770 Oliver Street, celebrates 10 years in business this year.

PRINCE GEORGE T h e Y M C A H i g h l a n d D evelopment Centre has received financial assistance from the government to make 84 spaces available in their child care facility at no more than $200 per month per child. The venture runs as part of a “universal child care prototype project” and is one of 53 facilities across BC to participate in the project. The program will run until March 31st, 2020, after which it will be SEE MOVERS & SHAKERS | PAGE 17

NOVEMBER 2018

MOVERS & SHAKERS CONTINUED FROM PAGE 16

evaluated for its effectiveness.

CopperFalls Custom Homes pledged to donate the proceeds from their newly constructed home, located at 2759 Lin ks Drive in Aberdeen Glen, to the Spirit of the North Healthcare Foundation. As a result, stakeholders with The Copper Project recently handed $90,000 to the foundation upon completion of the sale.

The Prince George Chamber of Commerce celebrated their 33 rd year running and hosted the 2018 Business Excellence Awards last month, honoring exceptional businesses in the community.

This year’s awards were presented by Northland Auto Group, and winners featured: Birch and Boar Butchery – Service Excellence Award (sponsored by Canfor); Northern Lights Estate Winery – Remarkable Visitor Experience (sponsored by Tourism Prince George); Team Powerhouse Realty – O utstanding Corporate Culture (sponsored by Canadian Western Bank); Cakewalk Desserts – Micro Business of the Year (sponsored by Pacific BioEnergy Corporation); Zandra Ross Lifestyle – Innovator of the Year (sponsored by Heather Sadler Jenkins); TIECoast Inn of the North West Lake Campground and RV Park – Excellence in Hospitality (sponsored by Tourism Prince George); CrossRoads Brewing – Excellence in Food Service (sponsored by Tourism Prince George); Northern Lights Estate Winery – Environmental Awareness (sponsored by EDI Environmental Dynamics Ltd.); Angela McLaren, Prince George Humane Society – Entrepreneur of the Year (sponsored by KPMG); Prince George Humane Society – Community Impact Award (sponsored by Prince George Airport Authority); John Allen French, Takla Nation – Business Person of the Year (sponsored by BDC); and Sonar Comedy and Nightclub – Business of the Year (sponsored by Waste Management of Canada Corp).

This year’s Small Business Fall Fair in Prince George, set a record with nearly 100 vendors participating at their location in the Roll-A-Dome. The annual event is an opportunity for local businesses to promote themselves and network within the community.

Local coffee shop Ohh Chocolat Café, owned by Caroline Longhurst, located at 565 George Street, has been forced to close due to construction taking place in downtown Prince George.

Longhurst has chosen to shut the business down until construction ceases, as customer numbers and revenue have lowered significantly since the start of construction.

MOVERS & SHAKERS The federal government has pledged $2.3 m i l l ion for the Prince George Airport to renovate their main runway. While in its construction phase, the project will create 40 jobs, and will allow the airport to make full use of its capacity once construction is complete.

DAWSON CREEK The City of Dawson Creek’s Community Awards are still open to receive nominations, as the deadline has been extended to Fr id ay, November 16 t h at 4:30pm. The five existing categories feature: Inclusive Workplace of the Year, Entrepreneur of the Year, Business of the Year, Youth of the Year, and Citizen of the Year.

Networks Ministries is raising funds and seeking a 30,000 square-foot space to accommodate their growth and needs.

The organization hopes to raise at least $150,000 towards their goal. Networks serves the community by providing food and supplies to those in need; they are estimated to provide about $9,000-worth of food and supplies monthly.

T homas Schoen, a v iol i n teacher a nd performer born and raised in Dawson Creek, was recognized with the Royal Conservatory of Music Teacher of Distinction Award. The award celebrates excellence in leadership as music teachers within the community, and recipients are nominated by their musical members. Schoen now resides in Edmonton, AB. Dawson Creek City Council announced their members for this term, featuring: Blair Lekstrom, Carlie Parslow, Shaely Wilbur, Paul Gevatkoff, Jerimy Earl, and Amy Kaempf.

The Northern Lights College trades training facility held its official opening ceremonies. The project was priced at $34.4 million, with $14.6 million in funding from the federal government and $16.4 million from the provincial government, and it covers 43,000 square feet. Another $3.4 million was contributed by industry partners. Arrangements are still in progress to transition

to the new facility and phase out the old buildings.

Farm Credit Canada awarded a grant of $25,000 through their FCC AgriSpirit Fund, to the Tomslake and District Volunteer Fire Department for a new 4x4 brush truck. The department’s former vehicle lasted 22 years and is no longer as reliable.

Local entrepreneur, HollyAnne Ritchie, and her business partner Shay Bergunder received the top prize and $10,000 at this year’s ThriveNorth Business Challenge in Fort St. John.

Ritchie and Bergunder won in the category of ‘best new business by people aged 18-29’ for thei r busi ness idea: BowTie Party Boxes and Events.

FORT ST. JOHN After serving with the Fort St. John Chamber of Commerce for five years, Executive Director Lilia Hansen has chosen to step down from the position, effective December 31 st. She is currently also a counselor with the Fort St. John City Council.

Hansen is thanked by the Chamber for her dedicated service and exceptional work.

17 replace their large kitchen appliances that were damaged in the slide. Home Hardware FSJ will be offering discounts of 25 per cent off of the retail price, while ATCO provides $500 of the rebate. The offer is available until December 1st.

BC’s provincial government has announced that they will provide $160,000 for trades training equipment for Northern Lights College. As a result of this funding, the Industry Training Authority has indicated that students will be able to access new technology.

QUESNEL L o c a l c o n s t r u c t i o n c o mpany, Icon Homes, is building a net-zero energy home, likely only the second of its kind in northern BC. The project plans to produce an equal amount of energy to what it consumes, and will likely be 40 – 60 per cent more efficient than a home built to BC Building Code standards. With plans to encourage more construction of net-zero energy homes, BC Housing has lau nched a prog ra m: the BC Energy Step Code to phase in these projects. Icon Homes has chosen to build to step four of the five steps with their new home.

The Quesnel & District Chamber of Com merce held t hei r B usine ss Excelle nce Award s ceremony on October 27 th at the Quesnel Seniors’ Centre. This year’s winners included: Chow

Now Food Service – Home Based Business of the Year; Donna Jacobsen, Spa R iver – Business Person of the Year; Long Table Grocery – Business of the Year (under 10 employees); Amanda Heideman, Johnston Meier – Employee of the Year; The Occidental – Tourism Excelle n ce Award; Barkerville Brewing – Business of the Year (10+ employees); LaBelle Vallee Fromegerie – New Business of the Year; Dave Plant, Curling Club – Community Spirit Award; Dairy Queen – Community Inclusion Award; Andrea Grant, Parallel Health Consulting – Customer Service Award; and Brett Roberts – Youth Entrepreneur Award.

SMITHERS The Smithers Public Library and Smithers Art Gallery building project is gaining financial backing as local residents Corry and Harvey Tremblay agreed to match community donations up to $1 million. The remaining 80 per cent of the estimated $15.872-million in capital cost will be requested from the province.

T h e Sm it hers Ch a mb er of Commerce hosted their annual 2018 Smithers Business Awards B1 with an evening gala themed –page S “all that glitters.” This eventWaRd e B1 a ag eB –p honored businesses and comIR dS tV aR a W munity leaders in 14 different d a oW eB IR CR categories, and evenRdincluded tV a o d eC is mction ed th ree Building» RExcellence t oW u c R r C je nst d Rd Award pro he co me Awards and a Leadership nd Co sla est en in t ct is ruction Re rI w » e e m e t this year. uv ’ n r wo roj cons co et ck Bu lling Fi

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Both Home Hardware Building Centre and ATCO Two Rivers have joined together in an effort to help Old Fort Residents

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Lilia Hansen, Fort St. John Chamber of Commerce T he Fort St. John Chamber of Commerce will be hosting a community meeting with Progress Energy to discuss and plan for the City’s economic future.

Progress announced that they will commence well-drilling operations near the city, and the President and CEO, Mark Fitzgerald, will be elaborating on plans for that project. This meeting is scheduled to take place on November 27 th, at the Pomeroy Hotel and Conference Centre.

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OPINION

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NOVEMBER 2018 A division of Invest Northwest Publishing Ltd. Prince George Office 2871 Wildwood Cres Prince George, BC V2K3J4 Toll free: 1.866.758.2684 Fax: 778.441.3373 Email: info@businessexaminer.ca Website: www.businessexaminer.ca

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AMERICAN SYSTEM NOT THE ONLY ANSWER TO CANADIAN HEALTH CARE PROBLEMS

MARK MACDONLD

“W

e don’t want American health care.”

T hat refrain is repeated ad infinitum whenever a suggestion is made to tweak – and improve – Canada’s universal health care. Clearly, the system is creaking and groaning and in dire need of efficiency improvements, as wait times continue to increase and expenditures climb. We have been warned that within a few short years, if health care spending isn’t reined in, it could technically consume 100 per cent of the provincial finance budget.

Change is necessary, like most every where. But nowhere is change more vehemently opposed than health care. It’s not

just the powerful unions that thunder against adjustments, it is the average Canadian who cries out to maintain the status quo.

Somehow Canadians believe our health care is free.

It is not. Far from it.

The Fraser Institute released studies earlier this year that the average Canadian pays over $6,000 a year for health care, and the average family of four over $13,000 per annum. That’s over $1,100 a month. We don’t realize the pain in the pocketbook because it’s hidden in our taxes.

Emergency care in Canada is arguably without peer. If you need urgent medical attention, you’re ushered in and taken care of in exemplary fashion. Flash your health care card and you’re in.

It’s everything else that needs to be adjusted. Wait times for selective, non-threatening surgeries are obscene, causing some people to head elsewhere – including the United States – for procedures that give them back their quality of life. Want a family doctor? Take a number and wait in line. The blame for the scarcity of doctors can be partly laid at the

feet of the College of Physicians and Surgeons for crimping the pipeline and making it so difficult for doctors in other countries to gain accreditation here.

I have a nephew who is in his early 20’s who is already a doctor and practicing in England after taking his medical education in the U.K., which allowed him to skip the undergraduate degree process required in the process to be licensed in Canada.

Need to jump the queue? Forget it. This is Canada, after all.

If you can somehow stand the pain, wait your turn. Even if you have the wherewithal to pay for quicker, pain relieving measures.

Still, it’s almost impossible to start an intelligent conversation regarding fixing Canada’s obvious health care crisis because those determined to keep the status quo quickly run up the red flag: “We don’t want American health care!”

As if that’s the only alternative, and it’s not. There are, in fact, 27 other countries in the world that offer some form of universal health care, and many of those vastly outperform our Canadian system.

Out of those 27 nations, Canada spends the 11th most on health care as a percentage of GDP. We have the 4th least amount of physicians, and are 8th in terms of MRI units per million. In terms of hospital activity per hundred thousand, Canada is dead last.

We have the worst wait times in the emergency department of all of them.

W h i le the Fraser I nstitute points out that the Canadian system is financially unsustainable, clearly the answer is not simply putting more money in the system.

The point is, there are other countries that spend similarly but have much faster treatment times. Australia, for example, is doing a better job and spending less than Canada.

Take Holland, for example.

Germany. Switzerland. New Zealand. They all have universal health care systems that perform much better than Canada’s.

Canadian health care could receive a much-needed shot in the arm if it were ever subjected to a competitive environment.

That’s why when Westbank First Nation in West Kelowna floated

their idea for building a health care facility on their territory in a partnership with renowned Johns Hopkins University held such intrigue.

Because it would be on First Nations land, it technically could circumvent the Canadian Health Act. While providing economic stimulus and employment for the Nation, it would also offer an alternative to the Canadian system. Waiting in line for a knee replacement? Go there, instead of to Arizona, or. . .

The competition would undoubtedly snap those running our public system to attention, as they would surely recognize their need to change and keep up. Westbank hasn’t established their centre yet, but other First Nations are now talking about the possibilities their own system would mean from not just a health perspective, but financially.

Yes, there are alternatives to our clunky, costly Canadian health care system if we really want to look, and stop using the perception of the U.S. system as the bogeyman to scare Canadians away from the precipice of necessary change.

RUNAWAY TRAINS OF DEFICITS AND DEMOGRAPHICS PUT ECONOMY IN PERIL Growing Federal Deficits And Aging Population Put Extraordinary Pressure On Canada’s Growth Potential

BY JASON CLEMENS, MILAGROS PALACIOS AND JAKE FUSS THE FRASER INSTITUTE

T

wo fiscal freight trains are hurtling towards the finances of the federal government, threatening the country’s economic well-being and thus the economic prospects of average Canadians.

One of these freight trains deficits - was purposeful. The other - demographics - has been known for decades with little action.

The consequences of both will a ffect Ca nad ia ns across the country.

As has been well-documented, the Liberal Party ran on a platform of purposefully spending more than it planned to collect in revenues for three years from 2016-17 to 2018-19, before

returning to budget balance. The intent was to spend more to improve the economy.

After winning the fall election in 2015, the new government immediately increased program spending before the fiscal year even ended. The former Conservative government originally budgeted to spend $263.2 billion in 2015-16, but spending actually reached $270.9 billion due largely

to changes introduced after the Liberal election win.

The spring 2016 budget, the first of the new government, showed a deficit in 2015-16 rather than a small surplus (as originally planned), along with projected deficits for the next five years that cumulatively totalled more than $110 billion. In addition, that budget showed no path or goal for returning to a balanced budget.

The federal government’s latest annual report pegged last year’s deficit at $19 billion. The 2018 budget, like its predecessors, has no plan to return to a balanced budget, and indeed the most recent long-term projection from the federal Department of Finance (released in December 2017) doesn’t show the federal government returning to a balanced budget until 2045.

The freight train of this fiscal policy is that the federal government is running deficits purposefully during a time of economic expansion, albeit weak expansion. When the inevitable recession arrives, revenues will decline and certain spending such as Employment Insurance will automatically increase as the economy slows.

A recent analysis examined past recessions and concluded that the annual deficit from a recession, depending on how severe and how the government responds, could easily increase from the current level of $19 billion to almost $50 billion. (A deep recession like 2008, coupled with similar government responses, would bring the annual deficit to $120.5 billion.)

The second freight train relates to changing demographics. We’re at the front end of a demographic shift that industrialized countries haven’t experienced before.

More of our citizens will retire, drawing on government resources, while less of a share of the population will work to provide the resources for those programs and transfers.

A plethora of reports, including by noted McGill economist Christopher Ragan, the Department of Finance, the Parliamentary Budget Office and our own work, all indicate that the aging of the population will lead to a structural imbalance between spending and revenues.

Our estimate based on what we know today about the future, including a likely slowdown in revenues and increased

spending on transfers to seniors and health care, indicates that the deficit in 2045 will reach $107 billion in 2016 dollars due to demographics.

These two freight trains combine to pose significant fiscal risks for the federal government and thus on our economy and well-being. But these results are not unavoidable. The sound policies of what we coined the Chretien Consensus, which dominated Canada throughout the mid-1990s to the mid-2000s, are exactly the prescription.

Balanced budgets and declining debts based on reduced but better focused spending, coupled with incentive-based tax relief, served Canada well. And it’s telling that such policies were the standard for parties of all political stripes across the country.

Introducing such policies now would position the country to withstand the fiscal strains of demographics and halt the deficit freight train before it collides into the Canadian economy with full force.

Jason Clemens, Jake Fuss and Milagros Palacios are economists with the Fraser Institute

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