DECEMBER 2017
» COMMERCIAL INSURANCE
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VANCOUVER ISLAND Nominations sought for Vancouver Island Business Excellence Awards
Largest Construction Delivery Fleet on the Island.
Victoria
WWW.BUSINESSEXAMINER.CA
PAGE 5
VICTORIA Falcon Heights: First Net-Zero Builder on Vancouver Island
Art Finlayson: Lifetime Achievement Award Local Architect A Professional And Community Leader For 50 Plus Years BY DAVID HOLMES
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INDEX West Shore
4
Saanich Peninsula
4
Greater Victoria
6
Movers and Shakers 18 HR 19 Opinion 22 Contact us: 1-866-758-2684
OUR 30TH YEAR
AANICHTON – Organized each year by the Saanich Peninsula Chamber of Commerce, the Crystal Awards have been created to recognize business excellence and to honour those who have made significant community commitments – both attributes applicable to renowned architect and community champion Art Finlayson, this year’s winner of the Lifetime Achievement award. “The Lifetime Achievement Award category represents longevity, often spanning decades, and this year we are pleased to recognize an individual who has been contributing to both his industry and his community for
“I have been very lucky during my life as I have had a family that gave me good direction and inspiration.” ART FINLAYSON SENIOR PARTNER, FINLAYSON BONET ARCHITECTURE LTD.
more than 50 years,” explained Penny Sopel, the Marketing and Community Relations Manager for Peninsula Co-Op, the sponsor of the award during the presentation October 19. SEE ART FINLAYSON | PAGE 19
Art Finlayson, 2017 recipient of the Saanich Peninsula Chamber of Commerce Lifetime Achievement award
Point Hope Seeking To Build Graving Dock $50-Million Facility Would Accommodate Vessels Up To 170 Meters In Length
Canadian Publications Mail Acct.: 40069240
BY DAVID HOLMES
V
ICTORIA – If Point Hope Maritime has its way the Greater Victoria area’s ship servicing capabilities will be dramatically enhanced. This full service shipyard and vessel repair and maintenance firm has applied to the City of Victoria to allow it to construct a graving dock (dry dock) at its present worksite. This new facility would
provide the company with the resources to work on vessels the size of Royal Canadian Navy frigates and all but the largest ships in the BC Ferries fleet. “For many years the company has been thinking about ways to grow this shipyard, how to create more jobs and service more and different vessels. We realized that if we really want to move to the next step we would have to increase our docking capacity
so that we could handle bigger vessels,” explained Point Hope Maritime’s General Manager, Riccardo Regosa. T he project env isioned by Point Hope Maritime is an approximately $50 million graving dock; a facility that can be accommodated largely within the shipyard’s existing footprint and would allow the shipyard to work on ships up to 170 meters in length, a size in excess of
the operation’s current capabilities. The addition of the graving dock would allow the company to grow, as up to 200 permanent new union jobs would be created if the project were to be given the green light. Presently Point Hope Maritime uses a marine rail system to bring vessels up onto shore for maintenance and repair. While SEE POINT HOPE | PAGE 8
NEWS UPDATE
2 SIDNEY Company Drives Fuel Efficiency In Trucking Sidney-based Empire Hydrogen Energy Systems Inc. is sparking i nterest a nd sa les i n Nor t h
American trucking fleets. The company’s innovative new fuel enhancement system allows large diesel engines to burn fuel 10-25 per cent more efficiently. The system consists of a small box of custom-built technology that can be installed in a variety of mechanisms - from long range trucks to electrical power
generators to large marine vessels. The system splits water into hydrogen (H2) and oxygen (O2) gases and injects these into the engine through the air intake. These H2/ O2 accelerant gases enable the engine to burn fuel more efficiently, increase performance, create cleaner exhaust and increases the life of the engine. Empire Hydrogen’s technology is a natural fit for the trucking industry, where fuel accounts for 30-50 per cent of operating costs. Fleets across North America have purchased test systems and are reporting consistent fuel economy savings of 15-16 per cent. This validated data combined with positive testimonials are spurring fleet-wide sales in what is a virtually untapped market worth an estimated 100’s of billions of dollars. In addition to the cost savings in fuel efficiency, the system contributes to the reduction of greenhouse gasses. Recent testing at the British Columbia Institute of Technology showed engines using the system produced a 48 per cent reduction in smog causing nitrogen oxides and dramatically fewer diesel particulates. As sales increase, the company plans to grow its Sidney, BC-based headquarters, which is currently staffed by six full-time employees. All components of the fuel enhancement system are produced by local companies within ten miles of the headquarters.
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As Empire Hydrogen grows, increased sales and more fulltime positions will be the result for other small businesses in the region. “We need close relationships with our suppliers so we can be adaptable to meet our high quality standards and precise requirements,” says Andrew Evans, the company’s Executive Vice President. Empire Hydrogen Energy Systems Inc. owes its survival during its early start-up years to the Ministry of Jobs, Trade and Technology’s Small Business Venture Capital Tax Credit program. The program has helped the company to raise over $1 million since 2012 by providing a refundable tax credit to BC-based investors equalling 30per cent of their investment. The investment helped moved the company’s early research and development to where they are today - poised to change an entire industry.
GREATER VICTORIA New Economic Index Helps Benchmark Prosperity Are you curious how the Capital Region compares with other Canadian and global cities across areas such as transportation & mobility, housing & affordability, economic resiliency & inclusion, human health and environmental health? The South Island Prosperity Project (SIPP) aims to answer these questions with the launch of their first annual South Island Prosperity Index, sponsored by Coastal Community Credit Union. The report provides a holistic view of our region’s prosperity, tracking a series of 140 indicators that will serve as a benchmark to help measure our region’s progress and economic health Key findings show that the South Island region, comprised of 13 municipalities and 10 First Nations communities, outperforms other city-regions across Canada on indicators related to human health, but lags in areas such as housing affordability and transportation. When measuring economic resiliency and environmental health, the Greater Victoria region is on par with peer cities across the country. As the regional economic development agency for Greater Victoria, SIPP is uniquely positioned to convene our region’s municipalities, citizens, institutions, businesses and other stakeholders together to pursue a bolder and more prosperous future for all. To do this effectively, the region has to collaborate and get all parties together around common understanding of strengths and weaknesses. This report allows the SIPP to compare the South Island to peer cities, and ensures that there is a common method of tracking progress over time.
The next steps are to use the Prosperity Index as part of SIPP’s regional proposal being developed for Canada’s Smart Cities Challenge. Grants of $50 million, $10 million and $5 million will be awarded to winning bids to help municipalities develop plans that pair technology and big data applications to help solve real on-the-ground challenges and improve livability for residents across the region.
VANCOUVER ISLAND Torch Award Winners The Better Business Bureau (BBB) serving Vancouver Island recently announced the 2017 Torch Award Winners at the annual awards gala celebration hosted on Friday, November 3, 2017 at the Union Club of BC “BBB would like to congratulate the following 13 businesses for their exemplary commitment to honest and ethical business practices and customer service excellence,” says Rosalind Scott, President and CEO of BBB serving Vancouver Island. “T h is yea r loca l busi nesses were nominated for a Torch Award by both their customers and other local businesses. The following companies and their employees should be proud of their accomplishments.” Event winners include: Contractors – General: Excalibur Custom Homes Ltd. (Nanaimo); Customer Service: M&N Mattress Shop Ltd. (Parksville); Health & Wellness: Comfort Keepers (Victoria); Renovations: X 2 Lewis Modern Home Renovations (Qualicum Beach); Technical Services: Mid Island Computer Enterprises (MICE) Ltd. (Nanoose Bay); Heating & Electrical: EM Electrical Contracting (Victoria); Home I mprovement: CBS Stoneworks (Victoria); Roofing Contractors: Soare Contracting Inc. (Victoria); Environment & Safety: Brighton Drain Services Ltd. (Sidney); Cleaning Services: Moore’s Cleaning & Maintenance Service (Comox); Move rs: P rov i ncia l Mov i ng & S to r a ge L t d . ( V i c t o r i a ) ; P rofession a l Ser v ices: Pain Free Tax & Bookkeeping Service (Victoria); and Windows and Doors: Van Isle Windows Ltd. (Victoria).
GREATER VICTORIA 2017 A Record Year For Victoria Cruise Ship Calls Victoria welcomed 239 cruise ship calls in 2017, the largest number ever recorded in the city. In a season that stretches from SEE NEWS UPDATE | PAGE 3
NEWS UPDATE
DECEMBER 2017
NEWS UPDATE CONTINUED FROM PAGE 2
April through October, close to 600,000 passengers and more than 239,000 crew visited the city on cruise ships. “The cruise lines we work with love Victoria as a destination,” says Ian Robertson, CEO of the Greater Victoria Harbour Authority. “This higher number of ship calls reflects a growing interest in our city not just during the peak summer season, but in the shoulder months of late spring and early fall as well.” There were 224 cruise ship calls to Victoria in 2016. During the 2017 season, GVHA greeted the seven millionth cruise ship passenger to visit the city since the Ogden Point cruise terminal began as a cruise destination in 1978. The passenger arrived on Royal Caribbean’s Explorer of the Seas in June. A month earlier, Seabourn cruise line’s Sojourn berthed at Ogden Point, the first Seabourn visit to Victoria in 15 years. Smaller, boutique and “pocket” cruise lines, including National Geographic’s Lindblad Expeditions, have been making more frequent visits to Victoria over the past few years, a trend that’s expected to continue as Pacific Northwest and Alaska itineraries grow in popularity. At the beginning of the season, GVHA introduced a new tool for cruise industry partners to give them real-time updates to arrival and departure schedules on victoriacruise.ca. At the end of the season, ground transportation providers CVS Tours and The Wilson’s Group announced a joint venture with GVHA to make the Ogden Point bus fleet greener, cleaner, and quieter. For next season, GVHA will build an extended mooring dolphin to accommodate the brand-new 330m Norwegian Bliss, scheduled for regular calls to Alaska via Victoria beginning in June 2018. Cruise partners in the city are also preparing to welcome Royal Caribbean’s quantum class ship Ovation of the Seas, and Cunard’s Queen Elizabeth in 2019.
VICTORIA Victoria Real Estate Market Stabilizing A total of 664 properties sold in the Victoria Real Estate Board region this October, 9.7 per cent fewer than the 735 properties sold in October last year.
“As expected, we saw fewer sales than this time last year,” notes Victoria Real Estate Board President Ara Balabanian. “Looking at the longer term picture however, sales last month were 17.1 per cent above the ten year average of 567 properties for the month of October, so the market is still very active here in Victoria, and this is in spite of the ongoing low inventory levels.” There were 1,905 active listings for sale on the Victoria Real Estate Board Multiple Listing Service at the end of October 2017, a decrease of 3.6 per cent compared to the month of September and 1.7 per cent fewer than the 1,938 active listings for sale at the end of October 2016. The Multiple Listing Service Home Price Index benchmark value for a single family home in the Victoria Core in October 2016 was $752,000. The benchmark value for the same home in October 2017 has increased by 9.3 per cent to $821,900, but is lower than July’s value of $834,200. “The fact that we’ve seen such a controlled levelling off in the market directly following a year which felt so uncontrollable in terms of demand and pressure on prices illustrates the depth and stability of the Victoria market. An unstable market may have experienced a heavy correction or shift, whereas in our market sales are moderating at a reasonable rate.” adds President Balabanian. “In the coming months we expect to see less inventory on the market, because the year-end changes buyer and seller behaviours, their focus shifts to holidays and winter weather. One unknown influence that may play on the winter market is the upcoming mortgage stress test. Some buyers may move their purchasing timelines forward to make their home purchases before the stress test on uninsured buyers (those with a down-payment of 20 per cent or more) becomes required January 1.”
leadership in the field of sustainability, research, and external engagement. “We are incredibly proud of our ranking, which highlights our commitment to all four of our school’s pillars – sustainable, innovative, international, and integrative,” says Saul Klein, Dean of the Gustavson School of Business. “In addition, Corporate Knights’ vision for integration between business and social responsibility is also part of the ethos of Gustavson. We both firmly believe that business thrives when doing well and doing good are both taken into consideration.” Sustainability and corporate social responsibility are deeply woven into the Gustavson School of Business masters’ programs, which include the full-time and weekend MBA, Master of Global Business,
and the customized MBA for TELUS. These programs, along with the school’s involvement with the Centre for Social and Sustainable Innovation (CSSI), National Consortium for Indigenous Economic Development (NCIED), Pacific Institute for Climate Solutions (PICS), and upcoming inaugural Victoria Forum taking place f rom Nov. 17 - 19, 2017), h ave – at minimum – a 20 per cent incorporation of sustainability theory and practice in course content. Finally, the annual Gustavson Brand Trust Index (GBTI), launched in 2014, measures more than 6,500 Canadian consumers’ opinions about 294 corporate and product brands across 26 categories. The survey assesses consumer levels of brand trust, including the role of corporate social responsibility.
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WEST SHORE/SAANICH PENINSULA
4
DECEMBER 2017
OUR 2018 BOARD OF DIRECTORS
WEST SHORE JULIE LAWLOR
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n November 8th, the WestShore Chamber of Commerce held its Annual General Meeting and Mixer at Oak Bay Bicycles Westshore. Chris Dickenson and his team have hosted us for six years now and the hospitality is always amazing. We move through our agenda in a timely manner and then have plenty of time to enjoy fabulous food, drink, and conversation. I wou ld l i ke to i ntroduce you to the WestShore Chamber Board of Directors for 2018: President Mike Reilly is a financial advisor with Freedom 55 Financial; First
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Michele Hansen has over 25 years of business experience as a successful entrepreneur running Signs of the Times, an award-winning custom fabrication company in Victoria; Katharine Harrold is Vice-President of Communications and Advancement at Royal Roads University; Sharon Mitchell is a financial planner and investment advisor with Raymond James in the West Shore; Cody Rowe is a mortgage broker with Dominion Lending Centres West Isle Mortgages; Bruce Simpson is the Branch Manager of Hatley Memorial Gardens Cemetery & Cremation Centre in Colwood. I’d also like to thank our departing Directors, lawyer Bruce Corenblum and McDonald’s owner Ken Taylor. T hank you to our and all volunteer Boards of Directors. Julie Lawlor is the Executive Director at the WestShore Chamber of Commerce. You can reach her at jlawlor@ westshore.bc.ca
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V ic e-P re sid ent Ing rid Vaughan owns and operates Smart HR, a consulting service geared towards helping business owners create and sustain strong HR processes and practices in their companies; Second Vice-President Kelly Darwin is the owner of Seriously Creative, an award winning marketing & digital development company; Treasurer Todd Troyer is a principal at Collins Barrow Victoria Ltd.; Troy Biever moved to Victoria in 2014 to open two Orangetheory Fitness locations – the first in Victoria and the second in Langford in December 2015; Paula Blazina has worked for Coastal Community Credit Union for 18 years and currently holds the position of Assistant Manager; Chris Burdge is the ow ner of bWEST Interactive, an award winning online marketing firm based in Langford; Henry Chipps is a member of the Sc’ianew First Nation and one of the treaty negotiators, and is part of a team discussing a new modern day treaty with the federal and provincial governments;
SAANICH PENINSULA DENNY WARNER
D
espite the municipal election being almost a year away, there has already been considerable conversation in the community about the issues and candidates that will surely feature large in this next election. The community benefits when residents and business owners stay engaged in the political process and that is definitely the case on the Saanich Peninsula. This chamber has been building community through business alongside our municipal counterparts since 1912. Suffice to say, the members of our organization make up many of this interested and engaged stakeholder group.
In the interest of community spirit, we offer a few words of encouragement to those good people who are considering putting their name forward for office. Perhaps the most important criteria for your success is that you have at least a basic understanding of the issues you will be facing in your community. Single-issue candidates rarely do well. If your goal is to be elected to overturn a specific decision of a previous council, you are less likely to succeed as compared to a candidate who is focused on the future, is knowledgeable about the community and campaigns on a desire to create collaborative networks. Start your education and campaigning early. Join committees. Attend council meetings. Talk to many people, especially those who do not share your views. Get familiar with local bylaws, annual reports, Official Community Plans, Local Area Plans, budget reports, committee reports and council meeting minutes. On the f lip side of the election coin, our members have asked how they can have their views better represented by councillors who have been accused
of putting the interests of residential tax payers above those of businesses. To these members we offer the following advice: take advantage of the opportunity to talk to the councillors who attend our mixers, events, board meetings and Tours of Industry. Engage with candidates while they are out in the community, concentrating on those whose views you do not share and make them aware of your concerns. Express appreciation for their public service and publicly acknowledge the efforts of the municipality for the positive steps taken to bolster business interests specifically and the community generally. If you find one or more candidates whose goals align with your own, you have the option to contribute to their campaign. We look forward to working with those of you who bravely step forward to apply your time and talents in support of your community. Denny Warner is Executive Director of the Saanich Peninsula Chamber of Commerce. She can be reached at 250-656-3616 or execdir@peninsulachamber. ca
5
DECEMBER 2017
IMPLEMENTING EMPLOYEE WELLNESS PROGRAMS
I CHEMISTRY CONSULTING MARCIA HAMMONDS
n spite of an increased focus on the overall health and wellness of employees, many efforts in this area remain concentrated on safety and security issues or traditional health concerns such as employee dental and drug plans. While these are all important aspects of your team’s health and well-being, there are other areas that may not be addressed by basic healthcare or safety, and with some innovative thinking and a minimal amount of investment you can significantly impact
TOURISM INDUSTRY REBOUNDS STRONGLY TO RING OUT 2017
TOURISM VICTORIA PAUL NURSEY
A
fter three strong years of impressive growth, there were high expectations for the tourism industry entering 2017. Then a winter that refused to go quietly, coupled with a cascade of profound political shifts in Europe and the U.S. seemed to dampen the enthusiasm for travel across the globe in Q1. For a moment, our industry wondered if it was time to check our irrepressible optimism. We held our breath as the numbers started coming in for late spring and early summer. Things were looking good. By fall it was clear that 2017 was not only going to be another terrific year, but we were once again exceeding expectations. By the time 2017’s final statistics are calculated, we will be very close to surpassing 2016 in terms of Victoria hotels’ Average Daily Room Rate, Revenue per Available Room, passengers aboard BC Ferries and arrivals at Victoria International Airport. With strong conference numbers in October and November, 2017 will be another year of growth. As an industry, we adjusted our outlook, but stuck to our strategy. After all, we have been through headwinds before — the first decade of the 21st century saw great upheaval in our industry due to the uncertainty created by 9/11 and the 2008 economic crisis. Speaking to major tourism businesses in Greater Victoria, we have a clear direction on where
the work ahead lies. Dave Cowan, CEO of The Butchart Gardens and past chair of Tourism Victoria, echoes the experience we are seeing throughout Greater Victoria, “Due to the late spring and summer performance of key markets like the U.S., Asia, Europe, Australia and the cruise industry, The Gardens’ attendance is now easily outpacing 2016. Going forward, Greater Victoria’s tourism success will be driven by strategic regional partnerships that leverage opportunities in long-haul markets and build faithful customer connections in the Pacific Northwest. With this regional strategy our destination will always have a strong source of visitors to even out the ups and downs of global tourism.” Over at the Wilson’s Group, President and CEO John Wilson says he has the confidence to make major investments in Greater Victoria because the fundamentals are in place. “This summer, The Wilson’s Group of Companies continued to see growth in the areas of charter bus sales as well as our BC Ferries Connector, YYJ Airport Shuttle and Grayline Sightseeing products. The airport shuttle saw a record month in June and our Hop On Hop Off and City Tours also saw records in both July and August. Seeing this continued growth gives us the confidence to further invest in new equipment, infrastructure and staffing resulting in travellers having the very best possible experience while visiting our destination.” At Tourism Victoria, we’re delighted that our destination successfully weathered these Q1 headwinds. However, we’re far from satisfied. Much more work needs to be done to extend our visitor season by building business on the books in non-traditional months and helping host major events as well as standing up for long-term sustainability of our industry. Paul Nursey is the President and CEO of Tourism Victoria.
culture, employee engagement and attendance. As the personal and professional lives of our employees continue to intertwine and provide increased pressures and demands from all areas, it becomes more important for employers to be aware of the ways they can support not only the physical side of employee good health, but also the emotional and social aspects. A formal focus on and implementation of employee “wellness” is a way of doing just that. The specifics of how your organization’s Wellness Program is developed, implemented and promoted should be unique and reflective of your culture. “Rome was not built in a day” and neither is an effective Wellness Program. Instead, laying out a road-map that includes short and long-term initiatives, ongoing activities and incentives, and formal supports (e.g., Employee Assistance Program) that will build momentum and integrate a feeling of wellness into the cultural fabric of your
organization is the key to sustainability and success. Additionally, the input of employees is vital to building a wellness program that addresses the needs, priorities and interests of those who will participate – including the dependents of your employees. To that end, surveying team members to understand what they would like to have included in a wellness program is time well-served. Furthermore, employees remain vital to the process of keeping things on-track, supporting initiatives and addressing ongoing and/or changing wellness needs and concerns, and as such, the development of a Wellness Committee is a necessary component of any wellness program. Although requiring the support and buy-in of senior leadership, this Committee will function most effectively as an employee-driven group with a significant amount of autonomy to make decisions and drive outcomes. Awareness and improvements
“Rome was not built in a day” and neither is an effective Wellness Program
in overall health and wellness will only serve to benefit employees – and in turn the organization. Why not start working on putting together something that works for you and your employees? You will not be disappointed in the results – and neither will your team. Marcia Hammonds, CPHR, is a Senior HR Consultant with Chemistry Consulting Group
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DECEMBER 2017
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YOU NEVER KNOW WHAT YOU’LL FIND The Chamber agrees buying local is critical to our economy
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t this point in December, everyone w h o h a s C h r i s tm a s shoppi n g to do i s entrenched in their preferred annual pattern: a) I finished all my shopping in October; b) I feel like this is going on forever and I still have 18 presents to buy; c) let me know when it’s December 24th so I can start. So for everyone other than the October over-achievers, here are a few thoughts to help you reach the finish line. T hin k L ocal F irst i s working hard to remind everyone of the benefits of buying local. They promote that locally owned businesses recycle much of their revenue back into the local economy; they create more local jobs and i n some sectors better wages and benefits; create one-of-a-kind, distinctive businesses that offer a wide range of products and help to sustain walkable town centers which reduce sprawl, car use, habitat loss and pollution. The Chamber agrees buying local is critical to our economy. Check out our member directory on our website (www.victoriacha mber.ca) for a w ide array of great local businesses. The Chamber itself only exists because of the
support of local businesses that are our members. We too are a local enterprise that provides jobs, recycles its revenue and helps contribute unique events and services to our community. Taking local to the next level, the “Island Good” pilot project was unveiled at the Vancouver Island Economic Alliance Conference in Nanaimo last month. The double meaning of the title, created by Hot House Marketing, is thought provoking and re-enforces the message to shop local. Three Island grocers, Thrifty Foods, Country Grocers a nd Quality Foods, are working together to run a sixmonth project branding island-made merchandise and produce in their stores as “Island Good” to test if it will increase sales for those goods. Finally, an essential part of local shopping is local transportation. Free and ample parking is a benefit of our local malls and a
challenge in our very busy downtown. Last Christmas season was particula rly fr ustrati ng, so to help ease the strain, The Downtown Victoria Business Association has published an Arrive and Shop Toolkit describing different transportation modes and services at https:// downtownvictoria.ca. It includes DVBA’s useful interactive parking map showing 16 parkades, nine customer pa rk i ng lots, more than 40 surface parking lots, and over 1,000 on-street parking spaces in or within a short walk of Downtown Victoria. And there are even more locally-owned transportation options that can make life easier. Of course, taking a Victoria or Yellow cab solves your parking problem. You hop on a bus, rent a van or coach from Wilson’s Transportation or a luxurious limo from L.A. Limousines to take you and your holiday party guests out on the town. And if you want to experience two extremes, you can go for a Tesla Tour in an electric car then a horse-drawn TallyHo Carriage Tour – both carbon emission free. Our downtown is busy for all the right reasons – interesting stores, great restau ra nts a nd lots of residents – which is much better than the alternative experienced by so many city centres. So pu l l on that Sa nta hat and make Christmas shopping fun by getting off Amazon and out the door to explore. You never know what you might find. Catherine Holt is the CEO of the Greater Victoria Chamber of Commerce. 250-383-7191, CEO@victoriachamber.ca, www.victoriachamber.ca
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DECEMBER 2017
CYBER ATTACKS A GROWING RISK FOR VIRTUALLY EVERY COMPANY “If you think it Hackers Don’t Discriminate
can’t happen to your organization, think
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t’s estimated that 55 per cent of orga n i zat ion s ex per ienced a cyber attack in the past year, many of which went undetected. Not on ly are the th reats of cyber attacks risi ng, but so is the level of disruption and damage they cause. In addition to direct financial losses, the adverse impacts on an organization’s reputation and operations can be even more severe and long lasting. And it’s not just large corporations being targeted. “If you think it can’t happen to your organization, think twice,” caut ion s Ron Borsholm, BC Leader, Cyber Security Services for MNP. “Successful attacks have been made on small businesses, retail chains, post-secondary educational institutions, not-for-profit organizations and even minor hockey associations. Hackers don’t discriminate.” According to Borsholm, spear phishing and ransomware are two of the most common cyber threats. Spear phishing is an email-spoofing attack that targets a specific organization or individual, seeking unauthorized access to sensitive information. In one recent case, an organization lost significant money when the accounts payable clerk was ta rgeted a nd a sked by em a i l to ch a n ge a vendor’s banking information. The criminals then sent fake invoices to the organization, which were paid using the altered banking information. I n a not her c a se, t he ch ief financial officer at a not-forprofit received an email that looked like it was from a bank the organization used. It asked her to update her user ID and password and in the rush of a busy day she quickly complied. A few days later, it was discovered that hundreds of thousands
Cyber Security
twice. Hackers don’t discriminate.” RON BORSHOLM BC LEADER, CYBER SECURITY SERVICES, MNP
Peter Guo, BC Leader, Enterprise Risk Services, MNP
of dollars had been stolen and wired out of their account. Ransomware is a type of malware that prevents users from accessing their computer system unless a ransom is paid. In most cases, users either click a n attach ment i n a n ema i l or a link on a webpage which leads to their systems being compromised. Borsholm recalls a small liquor store that recently fell victim to such ransomware. While the company was only asked for a
ransom of $500 in bitcoin (which they paid), it cost more than 10 times the ransom amount to fully restore their computers to a secure state. To add insult to injury, the perpetrator sent the business owner an unofficial receipt thanking them for their “involuntary purchase.” “Many of these organizations did not have sufficient internal controls in place such as policies, procedures and training to prevent this from happening,” says Borsholm. “Other organizations put controls in place, but then fail to test them to ensure they are working correctly.” For example, in another ransomware attack in BC the company discovered their computer backups had not been working. “Without any backups, the company was essentially left crippled w ith a tota l loss of over six months of operational and financial information until the ransom was paid,” says Borsholm. Orga n i zat ions who accept credit card payments face anot her concer n. Under t hei r merchant agreement, they are required to be compliant with
Ron Borsholm leads MNP’s Cyber Security practice in BC
the Payment Card Industry Data Security Standard (PCI-DSS). “The PCI-DSS is a standard wh ich requ i res a basic level of s e c u r it y a nd a lot of orga n i zat ions a ren’t awa re of it,” Borsholm explains. “As a result, they don’t follow common security practices, which leads to potential credit card breaches.” Peter Guo has been working in IT security and audit since 1999 and is MNP’s BC Leader for Enterprise Risk Services. He says the first step in protecting your organization is to fully understand your specific situation. “Do you k now what you r critica l data is a nd whether that type of data is being targeted? Do you understand the strengths and weaknesses of your technology? What are the threats and what internal controls do you currently have in place?” Guo recommends a Maturity and Threat Analysis as a good starting point. This analysis provides the information you need to prioritize your risks and appropriately protect your organization.
Education across the organization is also critical through a formal and recurring awareness campaign. “Good cyber security isn’t just a matter of putting protective technology in place,” Guo emphasizes. “Threats and technologies constantly shift and people need to be constantly reminded to stay vigilant. As organizations change, people enter new roles and have access to different systems, information and data, they need to know what’s expected of them when it comes to cyber security.” MNP offers a wide range of cyber security services including Maturity and Threat Analysis, PCI Compliance consulting and audit, network vulnerability and penetration testing, and internal control assessments. In our increasingly connected world, cyber attacks are happen i ng w ith i ncreasi ng frequency and present very real risk for businesses of all sizes. If you’re not sure about your organization’s ability to withstand one, take action today to avoid a crisis and protect your company’s assets.
are you FUTURE READY? In our increasingly connected world, security has become an urgent issue for virtually every company. How prepared is your organization to handle a cyber attack or data breach? Find out what you need to do to protect your revenue – and reputation – with MNP’s Cyber Security Health Check. Contact your local MNP Business Advisor or Ron Borsholm, B.C. Leader, Cyber Security Services at 778.350.3562 or ron.borsholm@mnp.ca
OFF THE COVER
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DECEMBER 2017
$50-Million Facility Would Accommodate Vessels Up To 170 Meters In Length POINT HOPE CONTINUED FROM PAGE 1
effective, the current systems limits the size of vessels the company can work on to approximately 55 meters in length, far less than the proposed graving dock could accommodate. “T he g rav i ng dock i s essentially a big concrete basin with a gate on the ocea n side t hat ca n be opened so we can move vessels inside. Once the gate is closed the water is pumped back into the harbour and in doing so, the vessel comes to rest on blocks that have been designed and placed to support the vessel’s hull. Once the water is out, our teams can go down into the drydock to start servicing and maintaining the vessel,” Regosa explained. “T he graving dock would greatly expand our capabilities, and it won’t ne g at ively i mpa c t t he h a rbou r env i ron ment. It is compatible with the ha rbou r’s recreationa l paddlers and rowers and will add tremendous visual interest.” Point Hope Maritime is a wholly-owned division of Victoria’s Ralmax Group of Companies, a diversified assembly of local industrial businesses primarily located in and around Victoria’s working harbour. Regosa, who joined Point Hope Maritime last summer, has a long and varied career experience with sh ips, a nd speci fica l ly with shipyard operations. A fter serving for many years with the Royal Netherlands Navy, he worked in a number of different
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If the project were to proceed as many as 200 additional workers would be required by Point Hope Maritime management capacities in shipyards across Europe and the Middle East before accepting his new role in Victoria. An application for a development permit has been submitted to the City of Victoria. Should approval be given by City Council, Point Hope will continue to work through the rigorous Federal approvals process required by Transport Canada. Providing the graving dock project receives all the necessary permits and approvals, a two-year construction period would follow. “Our dimensions represent the largest vessel we can accommodate comfortably within the actual footprint of the shipyard. Its size is appropriate for the Navy, BC Ferries and the Coast Guard fleets for example,” he said. “On a normal day this new facility would most likely accommodate two sm a l ler ve ssel s a s t he structure also has a centre gate. This flexibility of operations would dramatically enhance our business capacity and capability. We
would be able to drydock most of the ships or barges currently working on the West Coast.” For Regosa, the new facility would offer additional opportunities for the company to service foreign vessels, thanks to an attractive Canadian dollar, and a general shortage of facilities of this type worldwide. “The amount of dock space worldwide where vessels of this type can be serviced is limited, so that could be another market for the company to explore,” he said. “We are bolstering British Columbia’s marine sector with the addition of our graving dock. As long as ships float, there will be business for ship repair a nd m a i nten a nce providing there is the appropriate infrastructure and skilled labour. Point Hope has an excellent reputation for quality workmanship. The men and women who work at Point Hope are world-class. I have worked throughout the world so I can say this with confidence.” www.pointhopemaritime.com
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If approved the $50 million graving dock envisioned by Point Hope Maritime would enhance its capabilities
9
DECEMBER 2017
Nominations Sought For Business Excellence Awards Gala Event Organizers Searching For Nominations For Successful Companies To Nominate Ahead Of December 1 Deadline
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ICTORIA – Organizers of the 18th Annual Vancouver Island Business Excellence Awards are looking forward to a large number of entries from award-worthy businesses this year as the December 1 nomination deadline is now around the corner on the calendar. “It’s been a good yea r for b u si ne ss on Va ncouver I sland, and we expect that to be ref lected in the number and quality of the entries this year for t he Ga l a, wh ich w i l l be held in Victoria on January 25 at the Delta Ocean Pointe Resort,” notes Mark MacDonald of Business Examiner, which coordinates the event. “We write about businesses all the time and many of the success stories are well documented. But these awards seem to bring out new, exciting ventures that make our judges’ job a little tougher as they decide who wins each award.” Bl a ck P re s s i s a P l a t i n u m Sponsor of the BE Awards this year, and RBC Royal Bank and Grant Thornton are the event’s Gold Sponsors. T here will be 17 Categories this year: • Automotive (car and truck dealerships & fleet sales) • Construction / Development/Real Estate • Entrepreneur • Food & Food Production (a g r icu lt u re, sea food, food products) • Green & Technology • Health Care • Hospitality • Industrial Manufacturer • M a n u f a c t u r e d Wo o d Products • Ocean Products • P rofession a l ( lega l, accounting, insurance, coaching) • Retail • Small Business (under 20 employees & under $1 million in sales) • Tourism • Trades (automotive repair, plumbing, electrical, roofing, etc. • Business of the Year (over 50 employees & over $1 million in sales). “Each year, it seems that the nominations are nearly evenly split between companies south of the Malahat, and those from north of the Malahat, and this year is no different,” says MacDonald. “That’s not surprising, as the population of both areas are very close, but it also shows the strength of the economy on Vancouver Island is spread out. T h e n o m i n a t io n d e a d l i n e
“We write about businesses all the time and many of the success stories are well documented. But these awards seem to bring out new, exciting ventures that make our judges’ job a little tougher as they decide who wins each award.” MARK MACDONALD
is December 1 this year, and compa n ies ca n sel f-nom i nate. There is no charge to participate. Nom i nation forms can be downloaded at www. businessexaminer.ca/events.
For more information on the event contact MacDonald at 1-866-758-2684 ext. 120 or email: mark@businessexaminer.ca
We’ll be celebrating the very best in 2017 business on Vancouver Island next Jan. 25:
And we’re looking for nominations for award worthy businesses!
th l 8 1 ua n n A
NOW ACCEPTING NOMINATIONS Nominations available at: www.businessexaminer.ca/events or call: 1-866-758-2684 Ext. 120 Proudly sponsored by
10
DECEMBER 2017
COMMERCIAL INSURANCE Commercial Insurance: Special Products For Special Needs The Insurance Needs Of Business As Varied As The Businesses Themselves BY DAVID HOLMES
A
ny insurance is quite literally protection against the unknown challenges of the future. But for a business, commercial insurance could be the difference between the enterprises’ survival and its closure. In many ways commercial insurance is one of the most important investments a business owner can make at any stage of a company’s development – from start up to conglomerate. Tailored to meet the specific needs and to address the unique requirements of the sector the business is in, quality commercial insurance can protect a firm from severe financial loss in the event of a fire or other natural calamity. It can also be the difference between going under and staying afloat in the case of damages or a lawsuit. It’s always important to be knowledgeable of the different types of commercial insurance available and to always work with a reputable agent to create the most appropriate policy for each business. “ F ro m t h e s t a n d p oi nt of
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licensing there is no differentiation between those who sell insurance to individuals and those who sell insurance products to business. But to succeed in the commercial insurance sector the individual sales person will likely have a specialized knowledge or interest,” explained Gerald Matier the Executive Director of the Insurance Council of British Columbia, who retired from his position at the end of last month. “Quite often a person will enter the field, selling home and auto insurance for example and then work their way to marketing products tailored for commercial customers. Most of the training involved in providing commercial lines of insurance comes through work experience. Like in everything else you start small and work your way up.” The Insurance Council of British Columbia was created under provincial statute to be the primary regulator regarding the distribution of insurance products in British Columbia. Everyone involved in the profession, from an insurance salesperson to an
Commercial insurance in essence serves as a safety net against unforeseen changes or events adjuster, must be licensed through the council in order to sell insurance products. In addition the Insurance Council also handles any complaints or concerns from businesses or the public regarding the
sale of insurance in the province. The Insurance Council represents approximately 38,000 licensees (including about 1,000 SEE COMMERCIAL INSURANCE | PAGE 11
COMMERCIAL INSURANCE
DECEMBER 2017
Insurance companies strive to provide the coverage that best serves the requirements of the client
COMMERCIAL INSURANCE CONTINUED FROM PAGE 10
adjusters) in the province, a group of practitioners roughly split evenly between life and general insurance salespersons. The Council also licenses the insurance agencies, the businesses in the province that employ insurance salespersons. “There are agencies in the province that do specialize in specific niche markets. If you were to walk around your neighbourhood you’d likely find two or three agencies, whether privately owned, through a chain or through a credit union or other institution. Most will focus in on one specific area, typically homeowner insurance, but they will also handle some small commercial work, such as
with smaller storefronts,” Matier explained. “Typically it’s the larger firms, those with operations across the province and even beyond BC, that will more likely have the expertise to address the insurance needs of a larger commercial business.” Another reason an insurance broker might focus on a specific commercial insurance niche is a personal interest or earlier career background. “It can be simply that the salesperson has an interest or a love for the subject matter – such as the aviation or the marine sector. Their personal history with the business, or their individual interest may direct them toward that part of the profession,” explained Chuck Byrne, the Executive Director and Chief Operating Officer (COO) of
Worker’s compensation insurance protects a business in the event a workplace injury should occur the Insurance Brokers Association of BC (IBABC). The IBABC is the organization that in essence serves as the voice of the general insurance brokerage industry in the province. “Pretty much every insurance broker begins their career learning the ropes as a general insurance broker, but say they’ve loved airplanes their entire life, or boats, or trucks – that personal interest could in time motivate them to focus in on that specific niche,” he said. “There are many very successful brokers in the province who have grown their careers by following their hearts in this way. It’s really as individual as the firms they represent.” The IBABC represents more than
870 property and casualty insurance brokerages across the province, firms that in turn employ more than 8,400 people in more than 140 communities in BC. Commercial insurance is crucial for businesses of any size – from sole proprietorships to the largest of firms. Products of this type protect business owners from commonly experienced losses including property damage, theft, liability, as well as employee injury. With adequate insurance, companies can more easily recover from these types of losses. While not having adequate coverage will leave an enterprise at serious risk should the worst happen. I n genera l terms there a re three main types of commercial
11 insurance currently available. They are typically divided between liability insurance, property insurance and workers’ compensation insurance. Liability insurance protects companies from damage a business inflicts on a third party. Property insurance covers damages to property within an individual place of business, such as fire or flood damage. Workers’ compensation insurance protects a business, should one of its employees become injured while on the job. To be fully prepared for the uncertainty of tomorrow every business has to be certain the coverage they have is adequate and appropriate for the industry they are in. “Obviously the needs of a business operating in an office is different from a commuter airline, and different yet again from an industrial client such as a sawmill. It all comes down to working with their broker to ensure they have the right insurance and adequate coverage,” Byrne explained. For Matier the success of the relationship that a broker and their client develop is one built on trust and openness. “It’s all about being upfront. Tell your salesperson all about your business, its risks and its specific needs. That’s the only way to ensure you end up with the right coverage. Ultimately that is what you want to achieve,” he said. www.ibabc.org or www.insurancecouncilofbc.com
SEAFIRST INSURANCE BROKERS: BRINGING PEACE OF MIND Commercial / Business Insurance A Specialized Market
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RENTWOOD BAY – A hedge against the uncertainties of tomorrow, insurance is a safeguard that every individual and business needs to maintain peace of mind. But every situation, requirement and client is different - the ‘one size fits all’ approach cannot be applied when purchasing insurance coverage. Finding exactly the right coverage to meet the needs and budgets of clients ranging from homeowners to corporate entities has been the role of SeaFirst Insurance Brokers for nearly half a century. “SeaFirst is an independent insurance brokerage, and as such we’re not tied to any one provider of insurance products. We have the freedom to shop around for the right coverage, allowing us to go much further afield than a broker with links to one particular company,” explained Insurance Broker Susan Bigelow. “We do have a very strong relationship with Lloyds of London, and have a number of contracts
with them which allows us to be able to offer our clients all sorts of different products that they might not be able to get elsewhere.” Founded more than 40 years ago by Bill Eastgate, SeaFirst Insurance is today the largest independent general insurance brokerage on the Saanich Peninsula and the Gulf Islands - with a staff of about 65 and with offices in Brentwood Bay, Saanichton, Sidney, Salt Spring Island, Oak Bay, Westshore and Pender Island. The current company president Doug Strong has continued the legacy of innovation and personal service that Eastgate established when he launched the firm in the 1970’s. The insurance needs of a homeowner or individual are vastly different than the requirements of a business. Having the skills to recognize those differences and then being able to assemble the products that provide the best coverage for specific businesses is a skill that only an experience broker can provide. “When an individual buys a homeowner’s policy it can be a fairly standard type of product. But when you look at acquiring business insurance the needs of a marine based company for example are very different from a business in an office. Finding that correct
policy is where the skills of the broker really come in,” she said. “We’ve put together a number of different package policies specifically targeting different types of businesses. We offer products specifically for the owners of pharmacies for example. We’ve even created a fun product geared toward the unique needs of adventure tourism, a sector experiencing a lot of growth these days in BC. When we go to London we have to be able to educate the underwriters in London about what these activities look like, as it may not be something their familiar with.” For the future Bigelow suggested that as the world is not a static place, with changes occurring around the globe, businesses could see the cost of their coverage start to rise. As one example, changing environmental conditions could impact insurance rates. The emergence of multiple Category 5 hurricanes in a single season could trigger a spike in rates that would affect clients worldwide. “London is telling us that business insurance, commercial insurance rates are definitely going to go up next year and business owners should be budgeting for that, and we as brokers are also going to need to be prepared for that,” she said. www.seafirstinsurance.com
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DECEMBER 2017
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DECEMBER 2017
FALCON HEIGHTS CONTRACTING SPECIALIZES IN BUILDING ENERGY-EFFICIENT HOMES Victoria Contractor Vancouver Island’s First NetZero Builder
V
ICTORIA – Passion for energy efficiency, and having access to expansive in-house expertise, are some of the keys to success for multi award winning Falcon Heights Contracting Ltd. A custom new home builder and regional renovation expert, Falcon Heights has been serving the Greater Victoria marketplace for more than 10 years. The first CHBA (Canadian Home Builders’ Association) certified Net-Zero Builder on Vancouver Island, Falcon Heights Contracting offers its clients the very latest in green building techniques and systems, a level of expertise essential for constructing properties as energy efficient as they are beautiful. “I really think that the biggest thing for us is our environmental achievements in home construction. We won both Green Builder of the Year (Small Volume) and the Environmental Achievement and Energy Efficiency Awards at this year’s CARE (Construction Achievements and Renovations of Excellence) Awards of Vancouver Island,” explained Falcon Heights’s President Dave MacKenzie. “This was for the house that we just finished, which was a Net-Zero home. Our primary focus right now is in the construction of high end, energy efficient homes – that’s the area of the market that we’re most interested in pursuing.” Organized each year by the Victoria Residential Builders Association (VRBA), the CARE Awards are held to recognize the finest in West Coast home construction and are considered one of the top honours in the profession. At this year’s event, attended by more
The benefit of a custom home is that it can be configured to meet the exact needs and budget of the homeowner than 300 VRBA members, Falcon Heights Contracting garnered no less than eight gold and seven silver awards – an all time high for a company that has won numerous other awards in the past. MacKenzie began his home building career in 1992, starting his carpentry apprenticeship in Whistler, honing his craft by working on some of that unique community’s most spectacular properties. He went on to earn his journeyman carpenter certification, spending 14 years working in the Whistler area before relocating to Victoria. “While our focus right now is pri ma ri ly on new home SEE FALCON HEIGHTS | PAGE 14
We are proud to support Falcon Heights and congratulate them on becoming industry leaders
Congratulations to Dave, Joelle, and the team at Falcon Heights Contracting on all of your success. We look forward to collaborating on many more stunning projects.
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DECEMBER 2017
FALCON HEIGHTS CONTINUED FROM PAGE 13
construction, Falcon Heights has worked on commercial projects in the past, we’ve done multi-family. Currently we’re focusing on our custom home and custom renovation market, but would take on a commercial job if the opportunity is right,” he said. MacKenzie and his team have a genuine passion for constructing energy efficient homes. In addition to being the Island’s first certified Net-Zero Builder, Falcon Heights Contracting is also a member of Built Green Canada. A net-zero energy (NZE) house is one that has been designed and constructed to reduce its annual household energy needs to a minimum. Homes of this type frequently include on-site renewable energy systems, so that the house may produce as much energy as it consumes on a yearly basis. NZE houses also tend to be more resilient in that they can continue to offer shelter during power failures, as they need so little energy to operate and remain warm. According to information released by the Canada Mortgage and Housing Corporation (CMHC) NZE homes also reduce the impact of housing on the natural environment by reducing energy-related pollutant emissions to the land, water and air – pollutants that potentially could contribute to climate change. Homes of this
All of the high end custom homes constructed by Falcon Heights Contracting are built to a Platinum Built Green standard style are also an excellent way to significantly reduce energy-related costs while providing its owner with built-in protection against future energy cost increases. An NZE home is not necessarily
an “energy autonomous” house or an “off-grid” house, as it can be connected to the electricity grid, so that it can supply electricity to the grid when it is producing more than it needs and
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draw from the grid when household demands exceed the amount of electricity produced on site. Taken over the year, the energy supplied to the grid balances the energy drawn from the grid, thus
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achieving net- zero annual energy consumption. “While we have worked everywhere from Bowen Island to Jordan River, our primary market area is the Greater Victoria region. Essentially all across southern Vancouver Island,” he explained. Co-owned by the husband and wife team of Dave MacKenzie and Joelle Bienvenue, Falcon Heights Contracting has a staff that can fluctuate from 12 to 15, depending on the number of projects currently underway. While having developed excellent working relationships with many of the region’s top sub trades, Falcon Heights Contracting from its very beginning put great emphasis on doing as much of the work involved as possible with its own in-house expertise. “We certainly do all carpentry work in-house, with our great SEE FALCON HEIGHTS | PAGE 15
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DECEMBER 2017
FALCON HEIGHTS CONTINUED FROM PAGE 14
This exceptional Net-Zero home constructed by Falcon Heights Contracting won five gold CARE Awards sub trades handling the other aspects – cabinetry, plumbing, electrical and those types of things. We regularly work with the same group of trusted sub trades with all of the carpentry taken care of in-house with our crew of certified journeymen and
apprentices,” he said. While it’s often the case that carpenters and tradespersons come to their craft through a family connection, for Mackenzie it was a desire to build things that saw him follow the career path that led to Falcon Heights Contracting. “No, my father wasn’t a carpenter, in fact he was an orthopedic surgeon. But it seems like I’ve had a passion for home construction my whole life. I found myself, in my late teens looking for a vocation so I started my carpentry apprenticeship and never really looked back,” he explained. For MacKenzie, who grew up in the Victoria area, his love for snowboarding, and his new found interest in construction saw him move to Whistler right out of high school – starting on a path that saw him return to Victoria in 2006 when he launched Falcon Heights Contracting. “Moving to Whistler turned out to have been the best decision I could have made. In the early 1990’s there was nothing better in BC, or even in Canada for that matter than building high end custom homes in Whistler. That decision put me solidly into that niche and that’s where I’ve been ever since,” he said. But by the early 2000’s an ailing SEE FALCON HEIGHTS | PAGE 16
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Congrats Dave and Joelle! It’s been a pleasure to work with you over the past few years. Looking forward to many more!
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Congratulations to Dave, Joelle, and the crew at Falcon Heights contracting. Teamworks has enjoyed working with such community oriented, forward thinking local business people of such character. We look forward to continuing our relationship into the future.
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DECEMBER 2017
FALCON HEIGHTS CONTINUED FROM PAGE 15
parent and a yearning to return to his home town helped motivate MacKenzie to take the skills and expertise he had developed in that exclusive mountainside community and introduce them to the Victoria marketplace. The CARE award recognition Falcon Heights received this year is continuing proof that he made the right decision to return home, with his skills and his vision for the construction of homes of the finest quality and with the highest energy efficiency. This year’s wealth of awards is only the latest for Falcon Heights Contracting, as the company has been recognized by the construction industry in some capacity every year since it was launched. “We’ve been winning awards for the past six years. We’ve won Georgie Awards from the Canadian Home Builders’ Association of British Columbia (CHBA BC) in the past, but this is certainly the largest haul of awards we’ve ever won at a single time. It was certainly an exceptional experience for us,” MacKenzie stated. But collecting accolades is not the motivation that has kept Falcon Heights Contracting at the forefront of the industry, it’s the desire to learn, to do the job better each time that has helped to make the firm an industry leader. “Our goal is to stay at the forefront, in an industry that is always
This rear view of the Net-Zero home shows off the home’s elegant and rustic backyard – perfect for that morning coffee
Congratulations to our friends at Falcon Heights Contracting on your success and many awards.
You deserve it!
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changing and evolving as new technology becomes available. Learning about the new technology and providing ongoing training for all of us, will help ensure that we stay at the leading edge. We take that very seriously. We also incorporate that knowledge into all of the homes that we build, regardless of the energy efficiency priorities of the homeowner,” he explained. “Our homes all start at what is known as a Platinum Built Green standard, that’s the benchmark we bring to every job. We then take it from there, depending on how much more the client wants to put into their home.” Established, leading edge, multi award winning Falcon Heights
Contracting looks forward to sharing its passion for energy efficiency with a wider audience in the years to come. “I think our team approach to building a house is one of our greatest strengths. We strive to do as much in-house to ensure the clients not only get a well-built house, but one that is on time and on budget,” he said. “We have great control of our projects, having the team and manpower to do so, that ensures a continuity of quality from start to finish. Being at the forefront of energy efficiency the client benefits at all levels, our standard of construction is so far above code that they are going to end up with SEE FALCON HEIGHTS | PAGE 17
We are proud to have worked alongside Falcon Heights Contracting from the beginning.
with Falcon Heights Contrac ng on all of their successful projects 250.213.2453| www.sharrattpainting.ca
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DECEMBER 2017
One of the keys to a Net-Zero home is its ability to create its own power, such as with use of solar panels
Being extremely energy efficient doesn’t mean being uncomfortable, as the interior of the winning home shows
FALCON HEIGHTS
The Net-Zero home has been designed to be open and spacious, and to benefit from a large amount of natural light
“I really think that the
CONTINUED FROM PAGE 16
biggest thing for us
a property that is comfortable and energy efficient, regardless of the scale or budget. That’s just the way that we build them.” While having worked on commercial projects in the past, for the future the bulk of the workload for Falcon Heights Contracting will remain its high end, energy efficient new homes and renovations. “As we move forward we’ll keep improving our skills, training our team and delivering the best projects we can build. Doing the job right, that’s what it’s all about,” Mackenzie explained. www.falconheights.ca
is our environmental achievements in home construction.” DAVE MACKENZIE PRESIDENT, FALCON HEIGHTS CONTRACTING LTD.
Providing energy saving heating and hot water. Outstanding project. 281 Stewart Ave | Victoria, BC Ph 250-383-0022 | www.islandenergyinc.ca
Congratulations to Falcon Heights Contracting on your recent CARE Awards achievements. We look forward to future Gold collaborations. Ryan Hoyt Designs Inc. 250.999.9893 www.rhd.design
Proud to support Falcon Heights Contracting. Best wishes for continued success.
18 WHO IS SUING WHOM The contents of Who’s Suing Whom is provided by a third-party resource and is accurate according to public court documents. Some of these cases may have been resolved by publication date. DEFENDANT All Type Drilling Inc 1501-1625 Hornby St, Vancouver, BC PLAINTIFF Admiralty Leasing Inc CLAIM $16,529 DEFENDANT Ankido Holdings Ltd 3875 Hammond Bay Rd, Nanaimo, BC PLAINTIFF Cuisine Kingdom Catering Ltd Claim $32,206 DEFENDANT Bradshaw Construction 1995 Ltd 921 H Canada Ave, Duncan, BC PLAINTIFF Bob Thomson Construction Inc
WHO IS SUING WHOM CLAIM $202,471 DEFENDANT Brandt Tractor Ltd 1600-925 West Georgia St, Vancouver, BC PLAINTIFF Vandekerkhove, Allen CLAIM $ 10,355 DEFENDANT Brightpath Early Learning Inc 2900-550 Burrard St, Vancouver, BC PLAINTIFF Burnaby Blacktop Ltd CLAIM $ 59,726 DEFENDANT Camosun Properties Ltd 30 Front St, Nanaimo, BC PLAINTIFF Boyle, Matthew CLAIM $ 28,280 DEFENDANT Copcan Civil Ltd 200-1808 Bowen Rd, Nanaimo, BC PLAINTIFF Vandekerkhove, Allen CLAIM $ 10,355 DEFENDANT CR Trailers D-2231 North Island Hwy,
Campbell River, BC PLAINTIFF Walker, Jeremy CLAIM $ 25,216 DEFENDANT Dominion Lending Centres 111-20434 64th Ave, Langley, BC PLAINTIFF Devlin, John CLAIM $ 8,444 DEFENDANT Eagleye Residential Services Ltd 4599 Chatterton Way, Victoria, BC PLAINTIFF Centra Windows Inc CLAIM $ 6,284 DEFENDANT Gavin Rahim Consulting And Holdings Ltd 1-505 Fisgard St, Victoria, BC PLAINTIFF Merchant Capital Group LLC CLAIM $ 26,875 DEFENDANT Great Canadian Casinos Inc 1055-1500 West Georgia St, Vancouver, BC PLAINTIFF Orr, Shaun Michael CLAIM
$ 35,176 DEFENDANT Great Canadian Gaming Corporation 1055 West Georgia St, Vancouver, BC PLAINTIFF Ashton, Brent CLAIM $ 35,168 DEFENDANT John Reed Plumbing 1919 Dogwood Dr, Courtenay, BC PLAINTIFF Kitasoo Band Council CLAIM $ 27,765 DEFENDANT Miglia Holdings BC Ltd 204-655 Tyee Rd, Victoria, BC PLAINTIFF Business Development Bank Of Canada CLAIM $ 25,096 DEFENDANT Mike Seargeant Enterprises Ltd 225 Vancouver Ave, Nanaimo, BC PLAINTIFF Northern Savings Credit Union CLAIM $ 968,942
DECEMBER 2017
DEFENDANT PGH Consulting Services Ltd 201-467 Cumberland Rd, Courtenay, BC PLAINTIFF Kitasoo Band Council CLAIM $ 27,765 DEFENDANT Pure Body Health 1-505 Fisgard St, Victoria, BC PLAINTIFF Merchant Capital Group LLC CLAIM $ 26,875 DEFENDANT Reign Construction 5-3255 Rutledge St, Victoria, BC PLAINTIFF Gullens, Dawn CLAIM $ 23,672 DEFENDANT Rock Steady Restorations Ltd BOX 1124, Ladysmith, BC PLAINTIFF Coast Environmental Ltd CLAIM $ 10,521 DEFENDANT Secord Investments Ltd 201-2377 Bevan Ave, Sidney, BC PLAINTIFF 460448 BC Ltd
CLAIM $ 7,676 DEFENDANT Servall Data Systems Inc 11304-154 ST, Edmonton, AB PLAINTIFF Lancaster, Graham CLAIM $ 29,500 DEFENDANT Soho Computer Services Ltd 204-655 Tyee Rd, Victoria, BC PLAINTIFF Business Development Bank Of Canada CLAIM $ 50,965 DEFENDANT Sooke Harbour House Inc 1528 Wiffin Spit Rd, Sooke, BC PLAINTIFF SHH Holdings Limited CLAIM $ 683,327 DEFENDANT Wales McLelland Construction Company 885 West Georgia St, Vancouver, BC PLAINTIFF R C Roofing Ltd CLAIM $ 6,186
OFF THE COVER
DECEMBER 2017
19
Local Architect A Professional And Community Leader For 50 Plus Years ART FINLAYSON CONTINUED FROM PAGE 1
Finlayson, the Senior Partner at Finlayson Bonet Architecture Ltd., has been a practicing architect for decades across Western Canada and beyond, and has been involved in a variety of architectural projects ranging from institutional, educational, recreational and residential throughout his long career. An active member of the community, Finlayson sits on the board of directors of the Saanich Peninsula Chamber of Commerce as well as an ongoing involvement with the Saanich Historical Artifacts Society. In addition to his work with the Chamber of Commerce he has also served six years on Sidney’s Universal Housing Committee and has played an integral
“I have been very lucky during my life as I have had a family that gave me good direction and inspiration.” ART FINLAYSON SENIOR PARTNER, FINLAYSON BONET ARCHITECTURE LTD.
part in developing the town’s accessible design guidelines. As if that isn’t enough, Finlayson is also actively involved with the Saanich Peninsula Hospital Foundation. “I have been very lucky during my life as I have had a family that gave me good
direction and inspiration. My brother John is here tonight with Judi. John is six years younger than me, I started out teaching him all the things brothers do together and now that I am older he is teaching and helping me in all our endeavours,” he stated while accepting the Chamber honour. When asked about his life’s journey, Finlayson credits some of it to chance, some of it to being in the right place at the right time, and most of it to his friends; those who have helped shape him, those who have provided guidance and opportunities, and those who have supported him along the way. “For those who know him, they credit it to intentional design, to the talent and skillful expertise that he brings to his work, to the dedication and genuine
connection that he brings to his community and to the loyalty and heartfelt sincerity that he brings to his relationships,” Sopel said at the time. The architectural firm of Finlayson Bonet Architecture is responsible for the successful design of many regional educational and institutional projects including Panorama Recreation, Shawnigan Lake School Arena and Bethel Community Baptist Church along with The Beacon Inn, the Pat Bay Visitor Centre, the Sidney Marina and the Bevan Centre. The firm’s residential portfolio is equally expansive, boasting an array of stunning homes on the Saanich Peninsula and in Victoria, including a number of multi-family projects in Central Saanich, Sidney, and North Saanich. www.finlaysonbonet.ca
King Bros. Limited: Both A Customs Broker & A Ship’s Agent Firm Has Been Victoria’s Gateway To The World For More Than A Century “We represent all types of businesses including individuals if they are importing something.”
individuals if they are importing someB1 thing. We’re a middle party that arranges ge pa – S the clearance, the on-forwarding, and the Rd B1 Wa ge payment of duties and taxes on imported Ba paucket g e – S B illin IR products,” he explained. F Rd tV Wa d aemera W As Canada continues to work with B et o e ck u R R B lling VI Fi d Cnew ttrade ging markets and to negotiate R Co da is Re being deals, King Bros. anticipates oW able to ct r » CR ojee const d r R provide quality service to local businesses p d h Co an 13 est in t t is Re Isl 20 » for decades to come. er ew women ojec onstr uv n o ’ r r nc p ec fo dis www.kibro.com 13 Va ana und st in th slH
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ICTOR IA – If you cases that is still our role,” ow n and enjoy a ex pla i ned Simon Smith, product made in a the current owner and maforeign land, then you just jority partner of King Bros. might have King Bros. LimLimited ited to thank for it. For more Today, the company could than a century the firm has just as easily be acting as the been Victoria’s quiet gatelocal agent for visiting cruise way to the world, assisting ships as it does for transient foreign vessels as they enter cargo vessels, both those ofand leave the busy port, and floading in Victoria and for working with the Canada those at anchor waiting for Border Services Agency a berth to become available (CBSA) to ensure that interin the Port of Vancouver. national goods enter the Simon Smith is the King Bros. also works as a country legally, efficiently current owner of King licensed Customs Broker, and seamlessly. Bros. Limited, a customs representing importers both “The company started out broker that has served in Victoria and across the in 1911 as a ship’s agent, as Victoria since 1911 country, helping its clients back in the day most of the to navigate the complexities freight and goods coming into Victoria involved when importing commodities. arrived in the harbour by steam ship and “As a Customs Broker we primarily deal packet ship. The company at that point with commercial entries of goods, but served as the port agent for the compan- we’re also one of the few brokers that do ies that operated those ships, acting as handle personal goods as well. We reptheir local representative – and in many resent all types of businesses including
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MOVERS AND SHAKERS
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Gordon Head Pharmacy, has reopened under the new name Peoples Pharmacy. The company is open for business at 102 – 1660 Feltham Road. The number of tourists that came to BC in August was up 2.3 per cent from the same month last year. There were 4.1-million international overnight custom entries to BC – an increase of 2.8 per cent – in the first eight months of the year compared with the previous year. Traffic from Mexico was a major contributor which showed a 25 per cent increase to 104,308 people travelling from the country. Victoria lawyer John Waddell has received the Georges A. Goyer, QC Memorial Award for Distinguished Service by the Canadian
John Waddell Bar Association. The award represents the highest honour given by the association. Waddell was one of 35 lawyers in Canada to be awarded the Queen’s Jubilee Medal in 2003. Sidney Buy & Sell has moved to 9824 Fifth Street. The Vancouver Island Construction Association has added four new people to their Board of Directors. They are Stuart Cuthbert, SEE MOVERS AND SHAKERS | PAGE 21
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MOVERS AND SHAKERS
DECEMBER 2017
MOVERS AND SHAKERS CONTINUED FROM PAGE 20
Mark Liudzius, Chris Lyons a nd Kate Ulmer. Boa rd departures include Doug Savory, Katy Fairley and Brian Kapuscinski. Re/Max Camosun Peninsula recently named their producers and top lister of the month. Craig Walters was both top lister and a top producer alongside Dan Juricic, Kris Gower and the team of Anthea and Gay Helmsing. Re/Max Camosun is at #14-2510 Bevan Avenue in Sidney. Bevan Bistro celebrated their grand opening on November 10 at #104 – 2376 Bevan Street in Sidney Centre.
Denise Jury Tourism Victoria announces that Denise Jury has joined the Business Events Victoria Team as a contracted General Sales Agent acting as Sales Manager, effective December 1. Denise has more than 20 years of experience in the tourism and hospitality industry. She was Sales Manager at Delta Hotels by Marriott, Vancouver Downtown Suites, where she earned a prestigious Marriott’s Golden Circle award. She also has experience working at Conquest Vacations, Air Transat Holidays and Uniglobe Travel. The Gatsby Mansion, part of the Huntingdon Manor property, has been refurbished and renamed the Pendray Inn and Teahouse. The hotel’s 113 rooms have been renovated and the furniture has been replaced to fit a Victorian era theme. Retired police officer Rick Anthony has opened a new home security consulting business called SecurHome Consulting. The new business engages homeowners and helps them understand the risks around inadequate home protection measures and advises them on ways to secure their property. Mill Bay Storage has been acqu i red by
Bonnie Campbell and Frank Wright, owners of Keating Storage in Victoria. The new owners said the Mill Bay facility will operate business as usual, but there are plans to modernize the location. Husband and wife team Karen and Bruce Singbeil have taken over the Willows Park Grocery store, Oak Bay’s longest running business at 2405 Eatsdowne Road. Ashoka U Changemaker Campus Network recently recognized Royal Roads Un ive rsit y w i t h t h e i r Ch a ngem a ker Ca mpu s designation. The designation is designed to recog n i z e c a mp u se s t h at encourage social innovation and encourage change. The process of receiving the designation is rigorous and involves a process that proves the university is a leader in change and social innovation. A ground-breaking ceremony was held at the beginning of the month at 7874 Lochside Drive for the 230-unit Marigold Lands development. Once completed, the development will include 233 residential units in a mix of apartments, townhouses and duplexes, commercial space and a park. The Victoria Residential Builders Association announced the 2017/18 board of directors at their annual general meeting on November 6 at the Royal Colwood Golf Club. T he board is represented by: Todd Halaburda of New West Developments as President; Terry Johal of Terry Johal Developments as Past-President; Jenny Martin of Jenny Martin Designs as First Vice-President; Kyle Ryan of Abstract Developments as Second Vice-President; and Dusty Delain of Amity Construction as Treasurer. The board of directors includes Derek Ballman of FloFlorm Countertops, Russ Barry of Interactive Construction, Mike Dalton of Citta Group, Steven Hurst of Yellow Sheet Construction, Data Lisa Dunsmuir of Step One Design, Matt Peulen of Metropolitan Capital Partners, Ellie Sercombe of Limona Group, Paul Smith of K2 Stone and Norm Verbrugge of Norman Homes. The VRBA also handed out awards to builders from across Victoria for their contributions to the region. John Sercombe of the Limona Group took home
the President’s Award, Bob Gill of Pacific Concept won the Jerry Hepburn Memorial Award, Ron Egli won the Mike Kipot Award and Slegg Building Supplies took home the Sponsors Appreciation Award. Neils Anthonsen, Derek Ballman, Spencer Evans, Steven Hurst and Pablo Miranda all received service awards. Matt Peulen took home the Ocean Concrete Community Award while Ellie Sercombe received the Marilyn Ann Lee Award. Tom Bryce has retired as the manager of Saanich Commonwealth Place at 4636 Elk Lake Drive. Ca mosu n College h a s officia l ly opened the doors to its Babcock Canada Interaction Lab. The Lab is an enabler - a technically advanced physical space where students, faculty and staff from diverse disciplines can use cutting-edge technology such as 3D printers, robotic systems, and 3D scanners to turn their ideas into market-ready innovations. Camosun College has opened Dunlop House on their Landsdowne campus to allow their students to cook for the public. Victor i a-bor n Gra mmy Award winning music producer David Foster is celebrating the 30th anniversary of hosting fundraisers to help Canadian families through his organization the David Foster Foundation. A fundraiser was recently held at Roger’s Arena in Vancouver and raised $10.2-million. T h e Fa m i ly B u si ne ss Association of Vancouver Island welcomes Oliver Sommer as their new President and Jennifer Wilson of Canada Homestay Network as their new board member. Re/Max Camosun has named Dale Sheppard, Roy Banner, Kevin Koetke, Don Burnham, Tom Krumpic and the team of Shannon Jackson and Glenda Warren-Adams as their top producers. The agency is located at 101-791 Goldstream Avenue. Sooke Philharmonic Orchestra is celebrating their 20th year of operation. The Saanich Peninsula Chamber of Commerce recently held their 2017 Crystal Awards. This year’s award recipients and categories were: Hook & Hook Renovations in Business of
the Year (1-15 Employees); Professional Components in Business of the Year (16+ Employees); SeaFirst Insurance Brentwood Bay in Contribution to the Community; Peninsula Co-op in Employer of the Year; Wilson’s Transportation in Entrepreneurial Spirit; Raincoast Conservation Foundation in Green Business of the Year; Art Fi n layson i n L i fe t i m e Achievement; Flader Business Centre in New Business; Brentwood Bay Resort & Spa in New Product or Service; Victoria Airport Authority in Newsmaker of the Year; ORCCA Dental Clinic in Non-Profit Organization of the Year; and Peninsula IDA Pharmacy in Outstanding Customer Service. View Roya l Casi no i s renovating and will be rebranding in the spring of 2018. The casino is undergoi ng a redevelopment that will include a gaming floor expansion, additional non-gaming amenities and a multi-purpose entertainment area. Once the expansion is complete, View Royal will be renamed Elements Casino Victoria. Re/Max Alliance Realty
recently named their sales leaders of the month. They are Julie Swift, Manpreet Kandola, Ron Neal, Karen Love, Alex Burns, Claude Delmaire, Robyn Wildman, Brad Herd, Mark Salter and Glen Glowinski. A ren a B at Panorama Recreation Centre has reopened after a $2.2-million renovation. To mark its 20th anniversary, the Land Trust Alliance of BC has launched the Canada 150 Land Trust Honour Role. The project, designed to raise awareness of private land conservation and to recognize individuals who have helped protect ecologically sensitive lands, named 25 people to the roll, 20 of them from BC. Each recipient will receive a certificate and commemorative pin and will be recognized by their local community land trust.
21 hired PwC Canada to lead an operational review of ICBC. The announcement comes after the government introduced a variety of short-term changes to deal with the insurer’s financial issues and increases to the basic and optional insurance rates. PwC s expected to identify opportunities to reduce costs and increase efficiency. Irish Linen Stores is celebrating their 100th year in business at 1019 Government Street. Departures Travel welcomes Cathy Larsen to their team of travel experts at 1889 Oak Bay Avenue. Cathy brings a wealth of knowledge with over 30 years of tourism and hospitality experience and is a River and Ocean Cruise specialist.
Athlone Travel, which has been in business for over 30 years, has been sold to Maritime Travel. Owners Jane Purdie, Loraine Curtis and Elizabeth Smith will stay on as travel consultants.
Dealerships from across Victoria have announced their top salespeople of the month recently. They are Luke Hawkins of Harris Auto, Josh Rockwell of Victoria Hyundai, Nick Bhalla of Jim Pattison Toyota, Rob Nessel of Jim Pattison Lexus, Jamie Elmhirst of
The BC government has
SEE MOVERS AND SHAKERS | PAGE 23
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OPINION
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DECEMBER 2017 A division of Invest Northwest Publishing Ltd. 200-3060 Cedar Hill Road, Victoria V8T 3J5 Fax: 1.250.642.2870 Toll free: 1.866.758.2684 Website: www.businessexaminer.ca
PUBLISHER/EDITOR | Lise MacDonald SALES | Josh Higgins – josh@businessexaminer.ca, Joanne Iormetti – joanne@businessexaminer.ca John MacDonald - john@businessexaminer.ca WRITERS | Julia MacDonald, Beth Hendry-Yim, David Holmes, Kristin Van Vloten
IT’S NOT WHAT GOVERNMENTS SAY THAT MATTERS – IT’S WHAT THEY DO
MARK MACDONLD
F
or those of us who have children, we’ve likely learned the hard way, that the statement “don’t do what I do; do what I say” just really doesn’t work. In reality, our actions carry far more weight than the words we’ve chosen. That also extends to government. As we listen to federal and provincial governments trumpet, in varying forms, that they are “pro-business”, “open for business” and “supporters of small business”, it takes a while for the verbal haze to dissipate and reveal the real substance behind the rhetoric. Justin Trudeau’s Liberals, furtherto-the-left than the NDP in some cases, somehow avoided making the business community cringe prior to the last federal election. Business was jolted awake by the nightmarish, punitive attacks on corporations
– aka owners’ retirement plans – and a mass outcry from coast to coast has caused the Liberals to back up. Sort of. Well, who knows if they have, or how much. We really won’t know until the dust settles following weeks of backpedalling by Finance Minister Bill Morneau. Here in British Columbia, the NDP has started their “we’re open for business” lobby both near and far, attempting to assuage the genuine fears of what a pro-union, anti-free enterprise government typically brings to any jurisdiction in which they hold power. While business hopes the GreeNDP coalition’s claims are true, they know full well that it’s what they do on the ground that matters, not what comes out of their mouths. After watching NDP leader John Horgan rag-doll former Premier Christy Clark in last spring’s election debates, constantly interrupting her, insulting her and calling her integrity into question, if I squinted, I’m almost sure we were watching departed labour boss Jack Munro in televised union negotiations. Clark’s major accomplishment was defeating the NDP in a shocking vote four years previous. Her only other lasting legacy may still remain, if Site C dam is given the green light to complete by Horgan. That Clark may have pushed the project past the point of no return
reminded me of former Premier Bill Bennett telling me that he signed all the contracts for the Coquihalla Connector from Merritt to then-Westbank, now West Kelowna before he left office because he knew whoever would come behind him would, or at least could, cancel the project. I have said for years that Site C dam was the simplest decision in the province, as putting another structure on the twice-dammed Peace River would produce negligible environmental impact while providing long-term economical electricity for a growing BC. Yet the NDP continues to play political football with the issue. Will they, won’t they? Should they, shouldn’t they? And it’s exactly this public debate that creates what business abhors the most: Uncertainty. Horgan may think he can have his cake and eat it too, by allowing the completion of Site C, yet using it as his personal punching bag. Yes, they allow it, but they didn’t really want to. They “had to”, to avoid millions of dollars in remediation costs and lawsuits from companies that have geared up for the project, only to have it pulled from under their feet. And lost jobs, of course. The NDP rank and file could be satisfied with a “we had no choice” but to allow it to complete, and a “we tried”, but it just wasn’t economically feasible.
If Horgan takes that route and damns Site C’s completion with faint praise, that is also a major statement to business, which watches the performance and asks: “Why would I put major investment into a region where decisions like this are so politicized and unwanted?” Petronas pulled out of Northwestern BC’s pursuit of Liquified Natural Gas, almost as soon as the GreeNDP stole power in Victoria. Why? Because they listened to both parties’ panning of the LNG industry and their promises of increased taxation and regulations. So while the GreeNDP says they support the industry on their terms, industry looks at those terms and recognizes they are unworkable. The politicians, again, are able to say they are “open for business”, while at the same time impose restrictions and introduce handcuffs that make it impossible to do business. The GreeNDP states they are “pro small business”, and “proved” that by introducing a small reduction in the small business tax. That is on profits, by the way, which becomes instantly more difficult to retain because those same small businesses are about to get whacked by the government’s dogand-pony province-wide “consultation” march towards the $15 per hour minimum wage. While it is true that politics makes strange bedfellows, I will never
understand how big, non-government, largely resource-based labour continues to blindly pay the freight for the NDP, and manages to somehow co-exist with the all-extractionof-resources-is-evil Greens. The NDP’s continual war against “big business” and corporations demonstrates an uncanny ignorance of who actually is affected by such ideological reasoning. It’s not just trades workers who are paid very well by big business, who don’t have jobs if big projects don’t proceed. It’s also small business, many of those who earn their livings by providing goods and services to those bigger companies and projects. Who, by the way, can only pay less to their workers because of smaller revenues, which makes it harder for those employees to buy houses, vehicles and holidays. The GreeNDP’s solution? Hike the minimum wage, making small business – who are the ones that pay minimum wage because that’s what they can afford. And the small business owner either tries to raise prices to hike revenue, or cut costs by scaling back hours for workers or hiring less. That’s the real world, ladies and gentlemen. But at least the politicians can say to their supporters that they’re “pro-business”. Only time will tell, as it always does, that their actions show otherwise.
DON’T BE FOOLED, CANADA’S ECONOMY IS IN DECLINE
NIELS VELDHUIS AND JASON CLEMENS
FRASER INSTITUTE
I
t’s an old joke: Why did God create economists? To make weathermen look good. At times like this, nothing could be closer to the truth (full disclosure, we’re economists). Statistics Canada recently released its August economic growth numbers. They show that the economy contracted. Lo and behold, economists and the media reacted immediately. “Canada’s shrinking economy signals slowdown could be worse than feared,” proclaimed the National Post website. “Canada ‘back
to reality’ as economy contracts,” declared the Globe and Mail. Economists were quoted in various articles, including one high-profile economist who said: “The run of amazing Canadian economic data is officially over, with growth coming back to reality in a hurry.” Just last month, however, the same media and economists were hyping Canada’s economy. “Canada’s economy steamrolls ahead - 4.5 per cent annualized rate of expansion,” said the Globe and Mail. “Canada’s economy blows away forecasts with 4.5 per cent growth,” said the National Post. “The hits just keep coming for the Canadian economy,” said the same high-profile economist. “Even the naysayers will struggle mightily to find fault in this rock-solid report.” Consider us the naysayers. Our Troy Media commentary in early September noted: “While these headlines may leave Canadians feeling optimistic, they’re not an accurate depiction of the state of Canada’s economy. And, worse, they mask serious economic storm clouds on the horizon.”
As we noted, economists and the media were using Statistics Canada’s “annualized growth” number - they took one good quarter of economic growth (1.1 per cent in the second quarter of this year, March to June) and assumed the economy would keep growing at the same rate. Nary was an analysis made about the underlying conditions in Canada that either facilitate economic growth or detract from it. That’s what economists and the media should have been focused on. The hard reality is that private businesses and international investors have lost confidence in Canada as a competitive place to do business. That’s been true for some time. According to data from Statistics Canada, investment by private businesses in plants, machinery and equipment has plummeted from $232.5 billion in 2014 to $197.3 billion in 2016, a decline of 15.2 per cent. Investment is expected to continue to decline this year and next. Even business investment in the much-promoted high-tech sector
is down almost 13 per cent since peaking in 2012. Businesses, entrepreneurs and international investors have lost confidence in large part because the federal government and numerous provincial governments (particularly Ontario and Alberta) have busily implemented policies that discourage investment, entrepreneurship and economic growth. Significant increases in personal income taxes for skilled, educated workers and business owners have occurred in Ontario, Alberta and at the federal level. And British Columbia’s new government is expected to follow a similar path. Ottawa is also mandating carbon pricing (through taxes and regulations) by all the provinces, even as other nations either cancel their plans or outright eliminate programs (see Australia). The federal and many provincial governments are also neck-deep in deficits with mounting debt, which implies even higher taxes in the future. Additional regulations for doing business have been imposed by
the federal government and many provinces. These regulations come when Canada is already uncompetitive, ranking 22nd on the World Bank›s most recent index of the cost of doing business. These governments have made it more expensive to do business in Canada and they’ve reduced the rewards for success by increasing taxes. It’s no surprise that the economy is slowing down. Economists and the media should have seen the writing on the wall, instead of pumping sensational growth numbers. Forget the headlines and comments on our recent economic growth, good or bad. All Canadians ought to be deeply concerned about the medium- and long-term economic outlook for our country. This is especially true at a time when emerging policy reforms in the United States could further harm Canada’s competitiveness and economic interests. Niels Veldhuis and Jason Clemens are economists at the Fraser Institute.
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MOVERS AND SHAKERS
DECEMBER 2017
MOVERS AND SHAKERS CONTINUED FROM PAGE 21
Pacific Mazda, Frank Obrien of Wheaton, David Vollet of Audi Autohaus, Brad Taylor of Volkswagen Victoria, Matt Kennard of Porsche Centre, Adam Mikasko of Three PT Motors, Evan Souliotis of BMW Victoria, Eliah Marthyman of Volvo, Chris Hoeg of Wille Dodge, Andrew Van Drunen of Jenner, Kevin Newberry of Galaxy Motors, John Weiers of Campus Honda, Rome Tewelde of Campus Infiniti, Tamer Feteiha of Graham KIA, Frank Pecorelli of Campus Nissan, Mike Delmaire of Jim Pattison Subaru and Nick Lee of Campus Acura.
Elizabeth Smith Elizabeth Smith, a community leader in the Oak Bay and past-president of the Business Improvement Association has announced her retirement. De Vine’s Winery and Distillery recently launched a kind of
whisky called the ‘Victoria Gin and Glen Saanich Whisky’. The whisky is made from 100 per cent organic BC grains and is aged in new American oak casks. The product launched at De Vine’s tasting room at 618B Old West Saanich Road. The Camosun College Foundation and Kinetic Construction have partnered to establish the William Gyles Award in Civil Engineering Technology, in honor of William Gyles, the founder of Kinetic Construction who recently retired. The fund will recognize a civil engineering technology student at Camosun who is interested in pursuing a career in construction and has completed his first year. Kinetic has pledged $5,000 over five years ($1,000 annually). The Capital Regional District (CRD) and the Capital Regional Hospital District (CR H D) announced their 2018 board of directors. CRD director and Sidney Mayor Steve Price will succeed Mayor of Esquimalt, Barb Desjardins as Chair of the board for the CRD. View Royal Mayor David Screech is the board’s new Vice-Chair. Both the CRD and CRHD board share the same directors and officers. Flying Squirrel Canada has opened a new trampoline park in Esquimalt at 808 Viewfield Road.
Oak Bay Fire Chief Dave Cockle earned the Pacific Northwest Preparedness Society Award of Excellence during the Emergency Preparedness and Business Continuity Conference in Vancouver recently.
Avenue in Sidney is closing and the owner is retiring. Belmont Secondary School Principal Ray Miller will retire at the end of the school year. Miller recently received an Outstanding Administrator Award from the BC Music Educators Association.
The British Columbia Football Conference named Westshore Rebels head coach Charly Cardilicchia as the 2017 Ranji Mattu Memorial Coach of the Year. BC attracted a considerable amount of international visitors this summer according to numbers released by the provincial government. T he number of tourists that came to BC in August was up 2.3 per cent from the same month last year. There were 4.1-million international overnight custom entries to BC – an increase of 2.8 per cent – in the first eight months of the year compared with the previous year. Traffic from Mexico was a major contributor which showed a 25 per cent increase to 104,308 people travelling from the country. Visitors from Australia also rose by 23 per cent to 183,849 and visitors from Germany increased by 14.2 per cent to 77,610. The BC Aviation Council and Harbour Air Seaplanes have awarded Natasha Shoebridge with the Harbour Air Advanced Float Plane Endorsement Scholarship.
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Casey’s Market, a corner store in Oak Bay that has been open for 80 years, closed its doors at the end of October.
Natasha Shoebridge The award, valued at $30,000, offers about 50 hours of advanced seaplane training leading to the endorsement and qualifications necessary to become a commercial seaplane pilot. Natasha recently completed her commercial fixed-wing pilot’s licence training and intends to be a float plane pilot on the BC coast. Maple Leaf Adventures has committed to donating $100,000 over the next 10 years to the Raincoast Conservation Foundation. The funding is designed to support long-term research and community stewardship in the Great Bear Rainforest by covering wages for local Indigenous field crew member and a scientist on a multi-year grizzly bear research project. JayLyn Jewellers at 243 Beacon
The Tillicum Centre is celebrating their 35th anniversary at 3170 Tillicum Road. Sooke School District (SD62) superintendent Jim Cambridge announced his retirement at the end of the school year. Cambridge has worked for SD62 since 1981 in roles that include teacher, school administrator and in different capacities in the board office. Sarah Rhude was recently presented with a Distinguished Service Award from the BC Music Educators Association. Rhude is an arts and culture facilitator in SD61’s Aboriginal Nations Education Division. Christ Church Cathedral has named Donald Hunt as their new music director and organist. Hunt replaced long-time music director Michael Gormley after his retirement this summer.
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