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contents H E A LT H A N D S A F E T Y
19 Taking safety seriously ACSA working with industry to make safety a priority W H AT ’ S N E W
21 Prescriptive or Performance? What’s the best way to build to meet new energy codes? HOUSING MARKET
23 Happy New Year! Or is it? 2017 crystal ball still a bit foggy for local new home building industry
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CIT Y OF CALGARY
30 Making life better every day INDUSTRY NE WS
10 BILD Calgary Region New name, same vision for local building industry F E AT U R E S
11 Building Smart Education in the construction trades pays a range of dividends
15 Airdrie building futures Airdrie students build foundation for bright futures
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By providing you Planning & Development services REGUL ARS
06 Editor’s Message 07 Cartoon 08 Tool Time 13 Trade Websites 18 At Your Fingertips 27 Word Search 28 Events 29 Laugh Out Loud
16 PHBI: Educating an industry Home builder-specific training ranges from construction to marketing
18 Stepper Homes
Legacy Scholarship
Local builder pledges ongoing support for the SAIT School of Construction
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Editor’s Message
This magazine’s for you! Greetings, and welcome to Calgary’s newest business to business magazine: Construction Connect. Construction Connect is meant to do exactly that: connect members of the construction industry; be they land developers, new home builders, trades, suppliers or professional services. With stories on everything from new construction tools and techniques, to code changes, coming events and unique market insights, Construction Connect delivers relevant editorial content to an engaged audience. With more than 2,000 copies mailed direct to a list of new home industry members and other key contacts, it’s a great new way to build your brand and drive new business. As the publisher of Condo Living and New Home Living in Calgary, we’ve been both a part of the local media and the housing industry for the past 13 years. We know the game, and we know the players. This, our premiere edition of Construction Connect, is themed The Education Edition. We hope you enjoy it and, if you’ve got any questions you’d like answered or news you’d like to share, please let us know. This magazine’s for you! Calgary’s biggest and best home builders know the importance of getting an education, whether it’s in accounting, carpentry, marketing or welding. That’s why 10 of them put down $1 million each to launch SAIT’s School of Construction in 2010. And why do many more continue to support training and education through things like school partnership programs, scholarships and industry specific training through organizations like ACSA and PHBI. Find out more about these programs in our cover feature entitled ‘Build Smart’, along with several smaller related sidebar articles on industry leaders like Stepper Custom Homes and McKee Homes . When it comes to professional development and networking opportunities, we’ve got that covered also, with listings of both new home industry and construction trade websites as well as upcoming events. Darrell Paul is along to talk about some interesting developments as far as building codes go, Vanessa Gash talks about things from a City of Calgary point of view, and, as always, our Tool Time photo feature is sure to bring out the best handy man, or woman, in everyone. Oh yes, don’t forget to check out the cartoon on page 7 and jokes on page 29, because who said work-related learning can’t be fun?!
PUBLISHER •
Source Media Group
Jim Zang Jean Faye Rodriguez GRAPHIC DESIGNERS • Dave Macaulay, Vivian Zhang PRODUCTION CO-ORDINATOR • Colleen Leier CONTRIBUTORS • Ainsley Ashby-Snyder, Miles Durrie, Vanessa Gash, Jock Mackenzie, Don Molyneaux, David Shepherd ADVERTISING SALES • Andrea Glowatsky ASSOCIATE PUBLISHER | EDITOR • ART DIRECTOR •
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©2017 Source Media Group Corp. Material cannot be reprinted in whole or in part without the written permission from the publishers. All rights reserved. Construction Connect® is available free through select distribution points in Calgary. Source Media Group Corp. agrees to advertise on behalf of the advertiser without responsibility for claims or misinformation made by the advertiser and acts only as an advertising medium. Source Media Group reserves the right to refuse any advertising at its sole discretion. Contact: Source Media Group, 6109 – 6th Street S.E., Calgary, AB T2H 1L9. E-mail info@sourcemediagroup.ca; Tel 403.532.3101; Fax 403.532.3109; Toll free 1.888.932.3101 Printed in Canada. Distributed by Gallant Distribution Services, Media Classified and Source Media Group. PUBLICATIONS AGREEMENT NO. 41072011. Return undeliverable Canadian addresses to: Source Media Group, 6109 – 6th Street S.E., Calgary, AB T2H 1L9.
I L LU S T R AT I O N BY A I N S L E Y A S H BY- S NY D E R
Cartoon
“What horticultural school did you say you went to?”
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Tool Time
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Tool Time 4
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1. Dewalt DWO88K Laser level $159.95 at KMS Tools and Equipment. 2. Mastercraft 5A orbital jigsaw $89.99 at Canadian Tire. 3. Maximum auto loading sliding utility knife $19.99 at Canadian Tire. 4. Performance Home Repair Tool Set $24.97 at KMS Tools and Equipment. 5. Mastercraft 10-piece wrench and plier set $99.99 at Canadian Tire. 6. PLS 60523 Laser Level $299.95 at KMS Tools and Equipment. 7. PICQUIC Screwdriver $12.95 at KMS Tools and Equipment. 8. Stabila 32-inch Level $124.95 at Hillhurst Hardware. 9. Milwaukee 6034-21 Sander $124.95 at Hillhurst Hardware. 10. LED rechargeable work light $39.95 at KMS Tools and Equipment. 11. Stanley wet/dry vacuum $99.95 at Hillhurst Hardware. 12. Tool Box $54.95 at Hillhurst Hardware. 13. SKIL Electric Screwdriver $39.99 at KMS Tools and Equipment. 14. 50-foot outdoor extension cord $34.95 at Hillhurst Hardware.
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Industry News
BILD CALGARY REGION New name, same vision for local building industry
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DI - CHBA Calgary Region has officially announced its new name, BILD Calgary Region, which stands for Building Industry Land Development. “BILD Calgary Region is the respected voice advocating for the building industry,” says Guy Huntingford, CEO, BILD Calgary Region, “encouraging effective policy and regulation and bringing you more diverse and affordable housing,” The new name is the result of the amalgamation of the Canadian Home Builders’ Association — Calgary Region and the Urban Development Institute — Calgary in March, 2016. “The initial amalgamation was the result of a desire to have one unified voice representing the entire building industry, both in Calgary and its surrounding regions,” says Allan Klassen, chair, BILD Calgary Region. “There is strength in numbers, and together, we have the ability to build great cities in our region – now, and in the future.”
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BILD Calgary Region is a not-for-profit organization representing the Calgary and region building industry. The Association has a membership base that includes all facets of residential home and commercial construction, from single and multi-family builders, renovators, and residential land developers, to trades, suppliers, and professional companies involved in some aspect of the building industry. Its vision: “To create the most liveable communities in the world.” For more information, please visit www.chbacalgary.com CC
Feature
BUILDING SMART Education in the construction trades pays a range of dividends // BY MILES DURRIE
P H OTO C O U RT E S Y S A IT
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s construction techniques evolve and the demand for new homes accelerates, formalized training for the building trades has become crucial for companies and employees
alike. It’s a fast track to greater productivity and higher quality — and it’s a good investment. A study by the Canadian Apprenticeship Forum found that the productive value of formal apprenticeships exceeds the cost of training within two years. In fact, for every dollar spent on training workers, employers receive an average benefit of $1.47, according to the forum’s 2009 study titled It Pays to Hire an Apprentice: Calculating the Return on Training Investment for Skilled Trades Employers in Canada. “Setting basic qualification standards for trainees greatly benefits the industry,” says Will Vandekraats, senior manager, field operations with Calgary-based Morrison Homes. “Having a person apply for a job with standardized training and preset qualifications increases the quality of applications in all scopes of work in our industry.” In fact, those qualifications have virtually become a necessity today, says industry veteran Tom Mauro.
“Educated and well-trained trades are as important to their industry as a master’s degree is for someone going into business,” says Mauro, founder of Albi Homes, who ran the Calgary company from 1982 until retiring in 2015. “The more educated anyone is, the farther ahead they are. My first piece of advice is to get educated in the field you are interested in.” In Calgary, post-secondary institutions are ready to help people follow that advice. The Southern Alberta Institute of Technology (SAIT), Mount Royal University, the University of Calgary, Bow Valley College and the Professional Home Builders Institute (see related story) are preparing students to enter, or advance within, the residential construction sector. The most extensive offerings come from SAIT, where the School of Construction
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Feature
P H OTO C O U RT E S Y S A IT
“The employment number for SAIT grads is around the 85 per cent mark, and the employer satisfaction rate for SAIT grads is 93 per cent — with 98 per cent of employers indicating they are somewhat or very likely to hire our grads in the future.”
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offers a huge range of programs related to the building trades. Mauro himself graduated from SAIT’s Carpentry program in the early 1970s, and still has fond memories of his time at the school. “It was a warm and friendly atmosphere with lots of camaraderie among the students, and I learned that carpentry is a multi-discipline skill,” he says. “It taught me to take on any facet of construction that was thrown at me, and that definitely helped me later in life when I started Albi Homes.” Many successful years later, in 2010 Mauro demonstrated his belief in the importance of education when Albi joined with fellow home builders Brookfield Residential, Cedarglen Homes, Homes by Avi, Jayman MasterBuilt, Morrison Homes, Qualico, Shane Homes, Stepper Custom Homes and Trico Homes to become Founding Builders of the SAIT Trades & Technology Complex, part of which is dedicated to the School of Construction. The 10 builders donated $1 million each to help create the state-of-the-art 740,000-square-foot facility. The School of Construction offers more than 40 programs and courses leading to qualifications in the building trades, including bachelor’s degrees, diploma and certificate programs, apprenticeships, pre-employment programs and continuing education courses. And it’s training that works, says SAIT spokesperson Chris Gerritsen. “Our focus is having our graduates leave SAIT with the skills necessary to be successful in the workplace,” Gerritsen says. “The employment number for SAIT grads is around the 85 per cent mark, and the employer satisfaction rate for SAIT grads is 93 per cent — with 98 per cent of employers indicating they are somewhat or very likely to hire our grads in the future.”
Feature
Construction jobs
Trade websites a great place to start
SAIT’s close ties to the residential construction industry let it respond quickly to the sector’s changing requirements, he adds. “In a nutshell, graduates have been trained to hit the ground running — they are more flexible, and the real-world experience they acquire at SAIT gives them an advantage over the competition.” At the University of Calgary, students who want to advance within the construction industry can enhance their qualifications by taking a Certificate in Professional Management specializing in construction management. “If you want to progress and become a team lead, get a background in business and improve your interpersonal relations, this is a program that will help you do that,” says Rosanna Quintieri, program manager of business and professional programs with University of Calgary Continuing Education. The program involves 300 hours of study, and is taught by instructors with industry experience, Quintieri says. “Quality of learning is our goal,” she adds. The business side of the industry is supported at the U of C’s Westman Centre for Real Estate Studies, part of the Haskayne School of Business. Founded in 2013 with the help of a $5 million donation from builder Jay Westman, the centre is a think-tank dedicated to entrepreneurship, ethics and excellence in real estate. It’s slated to roll out BComm and MBA degree programs in Real Estate Studies over the next couple of years. Mount Royal University’s Project Management in Construction certificate program is another option for those who want to set themselves up for career growth and success, says instructor Matt Luik. “They’re going to learn the formal approach to project management and how to apply it in
Lots of people dream about being a tradesperson. But, whether you want to be a plumber, carpenter, welder or HVAC specialist, it takes more than just dreams to make it happen. In real life, it takes dedication, time, and a lot of hard work just to get your ticket. Then you’ve got to get the work and then, maybe one day, you’ll eventually own your own business. If that’s a career path you’ve been thinking about, you’re not alone on your journey. There’s lots of resources available in Alberta to help you find your way, starting with the Trades Alberta website itself at www.tradesalberta.ca Following are some other popular websites for people interested in learning a trade. ABOUT THE TRADES IN ALBERTA
• Trades and Occupations list – tradesecrets.alberta.ca/trades-occupations/tradesoccupations-list • Labour market information for Alberta, including monthly statistical updates on the province’s labour force, and short and medium employment forecasts. – eae.alberta. ca/lmi CHOOSING A TRADE AS A CAREER
• Find resources for planning and achieving educational and career success, including information on apprenticeships, occupations, and wages and salaries – alis.alberta. ca • Learn more about Alberta’s apprenticeship and industry training system – www. tradesecrets.alberta.ca • Find out if your skills, knowledge and experience meet Alberta’s industry standards – www.tradesecrets.alberta.ca/experiencedworkers HOW TO GET STARTED IN THE TRADES
• Learn about the Registered Apprenticeship Program (RAP) for high school students – tradesecrets.alberta.ca/learn-on-the-job/who-can-learn-a-trade/registeredapprenticeship-program • Learn about apprenticeships, and how to get your career started in a trade or occupation – tradesecrets.alberta.ca/learn-on-the-job MORE RESOURCES FOR STUDENTS
• Available internships and programs – nextgen.org/students/get-experience/ internships • Apply for a program/get started – nextgen.org/students/get-experience/get-started • Career camps – nextgen.org/students/career-camps • Success stories – nextgen.org/students/success-stories • Learn more about financial assistance options for apprentices and occupational trainees – www.tradesecrets.alberta.ca/financial-assistance/ WORKING IN THE TRADES
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• Information for new and young workers, their parents, educators and employers on workplace health and safety – humanservices.alberta.ca/working-in-alberta/5369.html • Alberta Worksprovides employment and training services to connect unemployed people to jobs, and employers to skilled workers – humanservices.alberta.ca/ albertaworks MORE RESOURCES FOR STUDENTS:
• Find your career/career path exploration – nextgen.org/students • Interactive games – game.nextgen.org • Available internships and programs – nextgen.org/students/get-experience/ internships
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a construction setting,” Luik says, adding that the program’s students come from all over western Canada and have a wide range of backgrounds. “Some of them have been in the construction industry for 30 or 40 years. Some have been in the ranks and want to move up, others have project-management experience and want to apply it to construction.” The 90-hour program is available in a classroom setting and online, or as a blend of both. At Bow Valley College, meanwhile, the Alberta Aboriginal Construction Career Centre is helping indigenous workers gain skills needed by the construction industry. Funded in part by the Calgary Foundation along with the private sector and the province, the centre works with businesses to supply them with the employees they need while giving First Nations and Metis workers the knowledge to succeed. For prospective residential construction employees, planning an education should include some self-analysis, Vandekraats says. “What parts of the industry hold your interest? Do you want to be working indoors or outdoors is always a good question to start with,” he says. And Mauro has one final piece of tongue-in-cheek career-spanning advice: “Measure twice... and cut once.” CC
P H OTO C O U RT E S Y S A IT
Feature
Airdrie’s Family Builder for 30 Years
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Feature
AIRDRIE BUILDING FUTURES Airdrie students build foundation for bright futures // BY JOCK MACKENZIE
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haven’t missed a day of school all year; I like it that much.” “It’s an amazing program.” “Would I do this again next year? Absolutely!” “Youth have a different enthusiasm for life than adults. It’s good for all of us to have that ‘stop, look at things, and check in with life’ moment. The program really provides that for the kids . . . and for the adults too.” The quotes above come from the students, tradespeople and teachers involved in the Building Futures program. For 32 Grade 10 students from Airdrie’s three public high schools (George MacDougall, Bert Church and W.H. Croxford), Building Futures is a school away from school. Their classroom consists of two garages joined by a breezeway and two adjacent houses. The garages were finished in September. Monday to Thursday, for the entire Grade 10 year, the students take all of their courses — English, Math, Science, Social Studies, etc. — on the job site in their garage classroom as well as work alongside the various tradespeople. On any given day, half of the students spend time in the garage classroom while the other half work in the two houses assisting whatever trade is currently at work. Fridays are spent back at school where they spend two hours in Physical Education and two hours reflecting on the prior week’s activities. Each student must take a safety course in the summer and a teacher is always on hand. But flexibility is also a key factor. If more time is needed in either the classroom or the house, everyone
cooperates to make that happen. How and why did the program begin? In 2013, Sheri McAllister, who is now the Project Manager of Building Futures, commuted to work with Greg Rankin, an Airdrie teacher. Sheri’s son was in high school. Together with George McDougall shop teacher Jarret Hooper they hatched the idea of taking Grade 10 students (where the curriculum fit was the best) out of the actual high school setting and into the real world. Sheri went to her boss, Elaine McKee-Doel, at McKee Homes with a proposal. The seed was planted in April and by September of that year, 32 students were at the first Building Futures site. Each year the program evolves and its popularity increases. With the success of year one, the word was out. Students talked up the program at school and the word spread. In year two, besides their school work and work on the houses, the small student groups set up small businesses. In year three, the students have built Little Free Libraries, will construct a tiny house (a self-sustained Gaming Den) and are involved in a variety of Airdrie First projects like Friday Gaming Night, helping the local food bank, preparing a Found Poetry project and more. By year three, all three Airdrie high schools were involved. Cochrane has begun a similar program. The Red Deer Public School District has expressed interest. The future? “The sky’s the limit,” says McKee Homes’ McAllister. “We could do so many different things, and year four is off to a great start!” CC
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Feature
PHBI: EDUCATING AN INDUSTRY Home builder-specific training ranges from construction to marketing // BY MILES DURRIE
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ompetitors working together to enhance and improve the calibre of education and training in the industry as a whole — that’s the Professional Home Builders Institute in a nutshell. Familiarly known as PHBI, the non-profit Alberta organization was founded in 1987 by a group of builders who saw the benefit of developing advanced skills at a management level. The first offering was Master Home Builder certification, which continues to be one of the industry’s most prestigious designations. “The master builder status is what the Professional Home Builders Institute first started with,” says Terra Davidson, sales and marketing manager with Avalon Master Builder, who has been teaching courses at PHBI for five years. “To become a master builder you take a wide range of the courses that PHBI has to offer.” There’s a total of 27 courses on the PHBI calendar, grouped into three core subject areas: Business, Construction and Sales & Marketing. The courses are developed in collaboration with the industry, and are all taught by experienced experts. Davidson, for example, has worked at Avalon for 12 years and has previous experience with the Canadian Home Builders Association among others. The courses she teaches include New Home Marketing, Customer Service Professional and Sales Management. PHBI courses can be delivered in a classroom setting, online, on-site or a combination of all three.
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Along with the fact that it’s a place where competitors join forces to improve the industry as a whole, PHBI’s power also comes from the crossdisciplinary learning it offers, Davidson says. Terra Davidson “That’s what’s so great about PHBI — in order to get a certification in any area you take courses from every facet of the building industry.” For example, people going after certification in New Home Sales learn about construction, estimating, law and more. “They take a little bit of everything. Any certification out of PHBI is a really well-rounded educational base,” she says. Master Home Builder certification requires nine core courses covering topics from law, finance and estimating to customer service and marketing. On top of those are five elective courses, chosen from Construction Fundamentals, Ethics in Home Building, Land Development and Human Resources Management among many others. Achieving this designation, or any one of PHBI’s eight certifications, can be done in as little as two years, but most students take a bit longer as they balance their education with their careers. “It really depends on the individual,” Davidson says.
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Feature
“Some people just pick away at a couple of courses a year until they’re done.” For Cody Whyte, 29, studying at PHBI is a way to open doors to career growth. The St. Albert resident already Sam Arja has 12 years in residential construction under his belt, and works as site supervisor for Edmontonbased Bedrock Homes. “I hope to shortly be finished the Master Home Builder, Master Renovator and Residential Construction Site Manager designations,” Whyte says. “The opportunities in the housing industry are endless and everchanging, and I’ve taken courses from PHBI to leave myself with a number of options and routes to take.” Sam Arja, meanwhile, is working toward Master Home Builder certification as an avenue to advance her own ideas.
“As an Australian living in Alberta, I want to bring a different style to the industry,” says the 31-year-old Edmonton resident. “I strive to be able to provide Albertans with the best construction product possible while bringing something different to the table.” Hopewell Residential construction manager Kevin Scheller, 35, is also seeking Master Home Builder status through PHBI. With 15 years of construction, supervisory and management experience, he says PHBI offers the most direct path to career advancement. “I chose them due to their teaching style, in-class or on-site training, and being able to talk to others in the industry. It’s all directly related to my field of work and my future career goals,” he says, adding that those goals include starting his own company one day. PHBI is the only Alberta education provider with all the courses in place to meet the CHBA National Education Kevin Scheller Benchmarks for the home-building industry. Its programs are also eligible for the Canada-Alberta Job Grant, which reimburses employers for two-thirds of the cost of training their employees CC For more information visit phbi.ca
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STEPPER HOMES LEGACY SCHOLARSHIP Local builder pledges ongoing support for the SAIT School of Construction
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his past September, Stepper Homes Ltd., announced a new scholarship, in partnership with SAIT (Southern Alberta Institute of Technology). The new program will honour those exceptional students entering into the SAIT School of Construction. The scholarship will be launching this Spring. There will eventually be five scholarships available each school year, available to high school students entering a SAIT School of Construction program. “We know that skilled tradespeople will continue to be behind the success of the home building industry in Alberta,” said Dave Hooge, President & General Manager of Stepper Homes. “As
Calgary’s oldest family owned and operated home builder, with 60 years in Calgary, we know firsthand how important skilled trades are. We want to encourage students to explore the skilled construction trades, as well as have access to the resources they need to succeed.” Stepper Homes Ltd. has been building homes in Calgary and surrounding areas since being founded in 1956, including more than 7,000 homes in over 50 communities in Calgary, Chestermere, Cochrane, and Langdon. CC
At Your Fingertips Important building industry websites Alberta Building Code Information www.municipalaffairs.alberta.ca Alberta New Home Warranty Program (ANHWP) www.anhwp.com ATCO Gas www.atcogas.com BILD Calgary Region www.chbacalgary.com www.builtgreencanada.ca Built Green™ Canada Calgary Transit www.calgarytransit.com Calgary Women in Construction www.calgarywomeninconstruction.com Call before you dig www.albertaonecall.com Canada Mortgage and Housing Corportation (CMHC) www.cmhc-schl.gc.ca/en Canadian Home Builders’ Association – Alberta www.chbaalberta.ca City of Calgary -Build Calgary www.calgary.ca/CS/build-calgary/Pages/home.aspx -Bylaw Services www.calgary.ca/CSPS/ABS/Pages/home.aspx -Calgary Housing Company www.calgary.ca/CSPS/ch/Pages/Contact-CHC.aspx -Real Estate and Development Services www.calgary.ca/CS/OLSH/Pages/home.aspx -Water Services www.calgary.ca/UEP/Water/Pages/Water-Services.aspx Condo Living magazine www.condolivingonline.com Enmax www.enmax.com New Home Living magazine www.newhomelivingonline.com Professional Home Builders Institute www.phbi.ca RenoMark™ www.renomark.ca Source Media Group www.sourcemediagroup.ca
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Health & Safety
TAKING SAFETY SERIOUSLY ACSA working with industry to make safety a priority
“H
Dan MacLennan
ealth and safety are critical components for the success of any company working in construction anywhere in the world,” says Dan MacLennan, Executive Director of the Alberta Construction Safety Association. “It forms the foundations of a company’s business plan and can determine the kind of culture you want to create among your employees. Here at the Alberta Construction Safety Association (ACSA), we believe that investment in safety training and education, will create a more productive and effective working environment.” A company can increase its competitiveness, improve its performance and save money, he says. “Working together, the industry can create a community that empowers all employees and employers to make workplaces safer and enable everyone to return home unharmed at the end of each and every working day.” Almost 11,000 companies in Alberta have their Certificate of Recognition (COR) or Small Employer Certificate of Recognition (SECOR). And more than half have achieved their COR/SECOR through the ACSA. A COR/SECOR shows that an employer’s Health and Safety Management Program has been evaluated by a certified auditor and meets provincial standards established by Alberta Occupational Health and Safety. It provides an employer with the necessary tools to create a proactive workplace health and safety culture, while also reducing the risk and loss associated with workplace incidents. This, in turn, can lower Workers’ Compensation Board - Alberta (WCB) rates and may qualify a company for rebates, through the voluntary, government owned program, Partnerships in Injury Reduction (PIR). More than 13,000 people have earned the title of a designated safety leader since the start of the National Construction Safety Officer (NCSO) and Health and Safety Administrator (HSA) designations. These designations indicate that a person has the necessary knowledge across various construction-related health and safety management skills and principles. When a person
completes these programs, they are ready to begin the career-long process of becoming a leader in construction safety. Numerous leading companies have also built the NCSO and HSA designations in to their training programs for other staff, manager and leaders, to increase the overall skill and knowledge organization-wide. “Together,” says MacLennan, “in partnership with our growing safety community, we will continue to work to champion the safety spirit; influencing positive change and instilling a culture of health and safety throughout the province.” With over 36,000 active members, the ACSA is the largest safety association in the province. CC To find out if your company is a member and eligible for discounted courses, free safety program resources, and PIR rebate, visit youracsa.ca
events MARCH 9 & 10
NCSO Professional Development Conference Edmonton Marriott & River Cree Resort www.youracsa.ca/news-events/ ncso-conference/
MARCH 11
Annual Achievement Awards Edmonton Marriott & River Cree Resort www.youracsa.ca/news-events/ annual-gala-awards/
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SPONSORED CONTENT
SAFETY SIDEBAR
The Marijuana Dilemma Balancing workplace safety with accommodation of individual human rights THE DILEMMA Sometime, in the next year or so, the Federal Government will legalize marijuana for recreational use. While in this application, marijuana for recreation use can be treated the same as the usage of alcohol for recreation use — in that the employer can ban the use of such products from the workplace and take appropriate disciplinary action against those who are found intoxicated while at work because of the consumption of such. The dilemma is how to treat those who have a legally prescribed prescription for the use of marijuana for a medical condition.
EMPLOYER RESPONSIBILITIES
Employers have both a moral and a legal responsibility to provide a safe work environment for their employees and the public as well. Having members of the public injured or at risk of injury because an employee operating a company vehicle was impaired due to the use of prescribed marijuana exposes the company to significant liability. Or, if an employee is in a less than capable condition due to the consumption of prescribed marijuana, and is performing a high-risk job where they can severely injure themselves, or others, or worse. It must be remembered, a prescription for marijuana must be exactly that, a legally prescribed prescription
from a medical professional. Self medication for health benefits does not provide the protections afforded under the process of accommodation of an employee with a disability as defined by the Human Rights Code.
WHAT’S AN EMPLOYER TO DO?
As an employer, there are a couple of options. ONE: Determine through thorough job hazard analysis what tasks performed can be considered as ‘high risk’, thus ‘safety sensitive’. Employees taking any medication, including marijuana, which impairs their ability to work safely, can be excused from jobs which carry a high risk of injury, and placed into lower risk jobs which pose less risk if they have come forward and informed management they have a prescription. This, by the way is a must, they must declare to be afforded the right of accommodation. TWO: Have a plan in place, a directive or a policy, which outlines what actions will occur, how they will occur, what is required, and how accommodation will be made available up until the point of undue hardship for those with a prescription for any medication where intoxication is a side effect. Be prepared for this eventuality, because if the statistics on marijuana usage are accurate — both recreational and medicinal — you may already have employees who are in possession of a doctor’s prescription for this.
Moeger Resources Ltd. specializes in the development, management and administration of Company Safety Programs for a host of different industries. We have a special connection though with the construction industry, as that is where we first started out over 10 years ago.
From small, single person to family run construction companies, to large industrial players, we have helped companies create, improve
upon, or simply audit their safety programs for compliancy requirements. We are also a provider of on-line safety related training courses,
through our website, as well as offer administrative support for those who simply wish to management and maintain their programs to the highest level, but need to free up their people to concentrate on their primary business activities.
For more information visit www.moeger.ca
What’s New
PRESCRIPTIVE OR PERFORMANCE? What’s the best way to build to meet new energy codes? // BY DAVID SHEPHERD WITH DARRELL PAUL
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ast November, section 9.36 of the 2014 Alberta Building Code came into effect, officially governing energy efficiency requirements for small buildings and residences. Three months later, home builders are having a few issues. “It’s the technical parts of the code that are becoming the issue,” explains Darrell Paul, who runs Qualistat Building Performance Consultants. “Home builders have to match their energy model with what their blueprints are saying. This means they have to spend more time putting information in their blueprints and they have to take the time to do some more calculations.” Section 9.36 of the Alberta Building Code focuses on increasing energy efficiency — think higher standards for insulation, more efficient furnaces, and better windows. The code offers homebuilders two main compliance paths: prescriptive and performance. “There’s a lot of builders that are going prescriptive, and there are a lot that are going performance,” says Darrell Paul Paul. Each direction has its advantages and costs, leaving both home builders and buyers asking: what’s the best way to build a home that meets the new code?
The prescriptive path, says Paul, is the simplest option. Essentially, he says, all you have to do is follow the code to the letter. While ease of use is a major selling point, prescriptive compliance comes at a cost to homebuilders. “It’s designed to be worst case scenario,” says Paul. “The amount of insulation in the walls is going to be artificially high. You’re going to put in the maximum amount of insulation everywhere — but all you have to do is follow that rule. But, because you’re likely going to have to put in thicker insulation to meet the code, your costs are going to rise.” Ultimately, home builders following a prescriptive model will likely find their building costs rising a few thousand dollars for the average house, says Paul, costs that may be passed on to the homebuyer. In an effort to prevent rising costs, some home builders are opting to follow the performance-based compliance path. The major drawback, says Paul, is that it’s far more complicated. It starts by figuring out what you want to build, he explains, then putting that into an energy model. “We build an energy model of what you’re actually building. Then we make a copy of that and we convert all your insulation values to the code required values. Savings will come, for instance in windows. The building code says you’re going to use a minimum of
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What’s New
17 per cent glass, but when we do an energy model, we’re looking at how much glass is actually in your house – so whenever you have less than 17 per cent you get a big credit for it. An average new home is generally between 10-12 per cent, so that extra 5-7 per cent wall area is now calculated as R-15 instead of R-3.5.” In layman’s terms? The building code asks you to insulate as if you have twenty windows when “Home builders will be able to the home you’re divide and use their energy credits building might only have ten — better with a performance model unless you follow than they can prescriptively.” the performance compliance path. “It’s going to save you money,” says Paul. “Most single family homes built in the city have very few windows on either side, so you’re going to get a credit for that. You’re also going to figure out exactly how many studs are in those side walls with no windows. So, instead of using the building code standard, which is approximately 23 per cent wall studs at R-6 and 77 per cent cavity of R-20, when you calculate it out it’s probably closer to 11 per cent wall studs at R-6 and 89 per cent cavity of R-20 — and you get the difference credited back to you.”
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Which raises the question — if home builders are likely to reduce building costs by complying via performance, why aren’t they leaping at the opportunity? “It’s more work for performance,” says Paul. “You have to hire someone like me to do the energy model, and you’re relying on them to give you that information. So now you need to provide more details in your drawings. You’re going to spend $400 to $500 to do the energy model.” For homebuyers, the new code likely means a slight rise in cost — particularly in new homes at the lower end of the market. “But the nice thing about it is, when you upgrade your hot water tank to a high efficiency hot water tank, you can get rid of some of the insulation in your walls to offset that,” says Paul. “You can’t do that prescriptively. Same thing with the furnace or in-floor heating.” Paul’s final word: “Home builders will be able to divide and use their energy credits better with a performance model than they can prescriptively.” CC
Housing Market
HAPPY NEW YEAR! OR IS IT? 2017 crystal ball still a bit foggy for local new home building industry // BY JIM ZANG
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he final numbers for 2016 still weren’t in yet from CMHC at time of writing, which begs the question: Does it really matter? Even without final new home starts from December, it’s pretty clear that 2016 numbers are not going to reach 2015 levels. No way, no how, nowhere. That much is crystal clear. What isn’t so clear (clear as the Beijing skyline, perhaps) is what’s in store for home builders — and buyers — in 2017. What will be the effect of drywall tariffs? What about the cost of meeting new energy efficiency codes? And what about that big orange NDP wrecking ball called the carbon tax?
Housing Starts
BY DWELLING TYPE BY QUARTER
OKOTOKS
Q3 2016
Q3 2015
2016 YTD
2015 YTD
Single detached 34 50 93 163 Semi-detached 0 0 10 0 Row 0 0 0 16 Apartment 0 0 0 0 All 34 50 103 179 STRATHMORE Single detached 10 Semi-detached 0 Row 0 Apartment 6 All 16
16 41 43 12 28 24 0 0 14 0 22 5 28 91 86
CANMORE Single detached 1 Semi-detached 2 Row 8 Apartment 56 All 67
0 4 1 2 6 4 7 39 36 0 56 32 9 105 73
First, let’s take a quick look back at the year that was. A really quick look, because the sooner 2016 fades into the rear-view mirror for a lot of people, the better. If you look at the areas around Calgary, the satellite communities of Airdrie, Chestermere, Cochrane, Okotoks and Strathmore, new home starts are down pretty much across the board on a year-to-date basis. And, while it’s true that one or two big apartment condominium projects can really skew the numbers, that’s not always the reality. For example, in Airdrie, yes, there were 355 more apartment-style new home starts in 2015 than last year. But, there were also 122 fewer single detached homes started, a drop of nearly 25 per cent. Out east in Chestermere single detached home starts were down by 61 per cent, and only an influx of 76 row home starts in 2016 brought the numbers up to respectable levels. Further down the highway in Strathmore, where condo activity is generally at a minimum, single family starts were basically the same as 2015 and total new home starts were actually up. Wouldn’t you know it, though, it’s the presence of 22 apartment style starts that pushed 2016 beyond last year’s levels. While both Cochrane and Okotoks both show significant decreases in new home building activity in 2016 compared to 2015, what really stands out is the discrepancy in the actual totals of the two towns. Cochrane was down from 928 to 337 total starts, it’s not necessary to work out the percentage, it’s down so much. However, 656 of those were multi-family in 2015 compared to just 128 multi-family last year. Single detached homes were down too, but nowhere near as much.
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Housing Market
Okotoks saw a decrease from 179 total down to 103, but that’s almost all in the single detached category. Nobody builds condos in Okotoks, it seems, with just 10 multi-family starts in 2016 and 16 the year prior. Okotoks needs some affordable entry level and down-size retirement housing desperately. The thing that jumps out at you, though, is that the total number of home starts in Okotoks in 2016 was just 103 compared to 337 in Cochrane. Heck, nearly as many new homes were built in Strathmore (91) as Okotoks. Things might change down south in the next couple of years as United Communities brings on their big D’Arcy lands project. For right now, however, the Town of Okotoks should be asking themselves the big question: Why?
Housing Starts
BY DWELLING TYPE BY MONTH AIRDRIE
November November 2016 2015 2016 2015 YTD YTD
Single detached 34 36 383 505 Semi-detached 0 6 130 62 Row 22 37 246 343 Apartment 8 159 88 443 All 64 238 847 1,353
Median price $495,000 CHESTERMERE
Single detached 9 Semi-detached 0 Row 0 Apartment 0 All 9
9 76 195 0 4 28 0 76 0 0 0 0 9 156 223
Median price $550,000 (September) COCHRANE Single detached 14 23 209 272 Semi-detached 4 16 82 158 Row 10 73 46 391 Apartment 0 0 0 107 All 28 112 337 928 Median price $430,000 RED DEER Single detached 10 Semi-detached 2 Row 0 Apartment 0 All 12
22 137 0 18 3 36 0 154 25 345
Median price $495,000
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231 26 42 296 595
Further afield, in places like Red Deer and Canmore, different market influences have led to entirely different results. Red Deer is down across the board, in all home categories, from 2015. For a town where many residents rely on the energy industry to pay their mortgages and support their families, 2016 has not been a kind year. Canmore, meanwhile continues to lead its merry resort destination bubble existence where nothing much seems to have an impact. Could be that the folks who can afford to build in Canmore can afford it no matter what the state of the economy, as total starts were up in every category to the grand tune of a 38 per cent overall increase. Must be nice. Coming back home to Calgary, to quote an old Led Zeppelin tune, the song remains the same. With a month to go on the official CMHC statistics, single detached home starts are down 17 per cent, and multi-family combined starts down a whopping 40 per cent. Apartment style homes lead the downward trend with 2,331 fewer starts. Some of this is due to the nature of the condo construction and sales cycle, they take a while to build and they take a while to sell out. Nobody digs a big hole to start a new condo until the one they’re currently working on is sold, and they might have hundreds of units to sell at a time, rather than just building one home at a time as they sell — which is more the case with the single detached homes. Across the city, it’s interesting to see where the most new home building activity took place, what kind of homes they were, and even how much they cost. For example, in the beltline and downtown districts, just about everything you see is apartment style developments. In fact, in both these areas, thanks to some big condo projects, 2016 starts actually outpaced 2015 numbers. That didn’t happen in any other zone of the city. The most new homes were started in the northwest in 2016, followed by the southeast, northeast and then, lagging far behind, the southwest. In 2015 it was the southeast that set the pace and so had the furthest to fall, probably due to a stronger 2015 in communities like Auburn Bay, Copperfield and Mahogany, which are now getting closer to build-out. Homes in the northeast cost less than the average, and homes in the southwest have a median price of
Housing Market Calgary Housing Starts
BY DWELLING TYPE BY SURVEY ZONE
November November 2016 2015 2016 2015 YTD YTD
November November 2016 2015 2016 2015 YTD YTD
NORTHEAST
BELTLINE Single detached 2 Semi-detached 0 Row 0 Apartment 0 All 2
0 5 2 0 0 0 0 0 6 0 392 373 0 397 381
Single detached 64 44 539 268 Semi-detached 26 10 112 58 Row 8 36 93 207 Apartment 18 389 305 804 All 116 479 1,049 1,337 Median price $450,000
CHINOOK Single detached 2 Semi-detached 2 Row 0 Apartment 0 All 4
1 0 0 0 1
15 21 14 18 7 25 0 49 36 113
DOWNTOWN Single detached 0 Semi-detached 0 Row 0 Apartment 0 All 0
Single detached 102 75 725 810 Semi-detached 20 16 110 176 Row 34 71 274 502 Apartment 51 66 580 551 All 207 228 1,689 2,039 Median price $555,000
0 6 4 0 0 0 4 7 8 0 862 461 4 875 473
FISH CREEK Single detached 23 Semi-detached 12 Row 4 Apartment 72 All 111
NORTHWEST
42 12 5 0 59
262 393 108 74 131 127 315 909 816 1,503
NORTH HILL Single detached 8 12 38 76 Semi-detached 8 4 40 56 Row 0 0 31 39 Apartment 0 0 143 421 All 16 16 252 592
nearly double the rest of the city. There hasn’t been much new community activity in the southwest the last couple of years and what there was took place in some higher-end communities. As the saying goes, hindsight is 20/20. It’s easy to look back at the numbers and say that one thing or another influenced them in a certain way. It’s another thing entirely to look ahead and try to predict the effect of some of the changes coming our way. Will builders pass on the costs of new plumbing codes and material costs to the end consumer? How much will the carbon tax affect new home costs? Who will get rebates, what for, and how much? Will the Trump government in the U.S. have a trickle down impact on the local home building industry? Will the price of oil go up (hopefully) and, if so, how much? Only time will tell. CC
SOUTHEAST Single detached 51 54 588 848 Semi-detached 18 10 162 132 Row 0 19 111 221 Apartment 60 76 371 978 All 129 159 1,232 2,179 Median price $540,000 SOUTHWEST Single detached 21 18 143 217 Semi-detached 12 22 70 202 Row 0 4 22 78 Apartment 8 4 119 410 All 41 48 354 907 Median price $1,097,500 OTHER CALGARY Single detached 73 83 874 1,187 Semi-detached 6 22 240 282 Row 32 110 368 734 Apartment 8 159 88 50 All 119 374 1,570 2,753 CALGARY TOTAL Single detached 346 329 Semi-detached 104 96 Row 78 249 Apartment 217 694 All 745 1,368
3,195 3,826 856 998 1,044 1,947 3,175 5,506 8,270 12,277
Median price $520,000
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Feature
ECONOMIC FORECAST Experts looking forward to a better 2017 // BY JIM ZANG
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he Calgary home builder association’s annual economic forecast dinner is, without a doubt, the organization’s second most-attended event of the year next to its spring SAM Awards gala. This year, the evening of January 11 at the Coast Plaza Hotel was even more special thanks to the unveiling of the organization’s new name and logo. Formerly known as Canadian Home Builders Association/Urban Development Institute-Calgary Region (CHBA/UDI-CR), the new brand is simply BILD Calgary Region (see story page 10). The stars of the show, however, as usual, were the expert speakers brought in to enlighten the crowd with their words of wisdom regarding the year ahead. Hundreds of new home industry types, including builders, developers, suppliers, trades and related professionals, and even the odd politician, turned out en-masse to hear some good news — finally — and they didn’t go away disappointed. The big picture First up, Craig Alexander, Senior VP and Chief Economist for the Conference Board of Canada, presented a look at the big picture, the global economy and how the trickle down effect might impact us locally. The global economy has been struggling since 2010, he says, with growth rates in many countries significantly below what are considered healthy levels. People want things to get better faster and when they don’t it can lead to frustration, which manifests itself in things like the Brexit vote and, south of the border, the election of Donald Trump as President of the United States of America. Richard Cho
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Compounding the issue, says Alexander, is the fact that so-called emerging markets like China are not proving to be as strong as originally anticipated and, of course, OPEC keeping the price of oil low. Oil prices will probably rise over time, he predicted, but probably closer to $60 per barrel, not the $100 a barrel windfall of years gone by. Canada is still affected greatly by what happens in the U.S., he says, noting they’re still our number one trading partner, absorbing close to 70 per cent of our nationally exported goods and services. “The U.S. economy was expected to grow at two per cent or more over the next couple of years,” he says, “before the election happened and my forecast got Trumped.” There’s a high level of uncertainty, he says, “because nobody really knows what he’s going to do or what his actual policies will look like. But, from the things we do know, like cutting business and personal taxes, and spending on infrastructure, those are all pro-growth strategies.” The effect of Trump’s protectionist policies, says Alexander, while maybe positive for U.S. industrial growth, could have a “collateral damage” impact on Canada as trade policies targeted at other countries (for example, Mexico), could catch us in the crossfire. Bearing all that in mind, he says, the overall forecast is for a gradually improving national economy, with Alberta leading the charge as one of only a couple provinces predicted to have a growth rate of over two per cent in 2017 (the other is BC). “Commodity shock”, as he calls the drop in oil prices, is slowly abating, he says, and we should see both exports and consumer spending start to increase.
Feature
Focus on Calgary Richard Cho, Principal Market Analyst (Calgary) for Canada Mortgage and Housing Corporation (CMHC), knows the Calgary housing market like nobody else. When he speaks, the local building industry listens. According to Cho, Calgary is rebounding. Slowly. Very slowly. But, he says, we did in fact make some progress last year in comparison to 2015. With economic recovery will come, gradually, decreases in the unemployment rate, increased in-migration, and increases in wages. “There are more and more signs of optimism,” he says. Single detached new home starts bottomed out in early 2016, he says, and have begun to bounce back. “The silver lining has been supply, with stable inventories and units under construction.” Most units are being absorbed reasonably quickly, which is makes for healthy inventory levels. He’s forecasting modest increases in both 2017 and 2018 as the
economy — and demand for new homes — begins to improve. As for multi-family housing starts, one concern expressed by Cho was with inventory levels. Projects started in 2014 and 2015, when demand was greater, are now being completed, but absorption levels are less than ideal due to the weakened economy. Inventory level has been rising, he says, as new projects come on the market. So much so that current inventory is in the vicinity of 1,000 units, the highest level since the early 2000s. He’s predicting a decline in multi-family starts in 2017 until more unabsorbed inventory is sold, which makes perfect sense when you think about it. Another factor influencing multi-family purchases is the local rental market. With lower rents this year than last, he says, many folks who might have entered the new home market are finding it less expensive to rent. Compounding that is the fact that entry-level condo prices didn’t decrease in proportion to decreased demand and increased inventory. And, of course, many of these ‘working class’ folks are still hesitant to commit to a mortgage based on job security concerns. All things considered, he says, 2016 was a year of stabilization, with most people and businesses taking a ‘wait and see’ approach to 2017 while hoping for the best. CC
Word Search
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Construction Industry Events Professional Development and Networking Opportunities JANUARY 18 BILD Calgary Region Industry Council Meeting. Developer/Consultant from
Vegas. From 9-11 a.m. at Source Media Group (6109 6 St. SE). For more information visit www.calgarywomeninconstruction.com
9 to 11:30 a.m. at the Carriage House Inn (Calgary). For more info visit www.chbacalgary.com
FEBRUARY 7 & 8
BILD Calgary Region Industry Council Meeting. Builder/Renovator/
Hilton West (Edmonton). For details visit www.rcic.ca
Contractor from 11:30 a.m. to 2 p.m. at the Carriage House Inn (Calgary). For more info visit www.chbacalgary.com
FEBRUARY 14
BILD Calgary Region Industry Council Meeting. Manufacturer/Supplier/Trade
from 2 to 4 p.m. at the Carriage House Inn (Calgary). For more info visit www.chbacalgary.com
JANUARY 31 Calgary Women In Construction 2017
Premiere Breakfast and Networking Session, including a draw for a trip for two to Las
Residential Construction Industry Conference (RCIC) at the Double Tree by
Luncheon with Jeff Fielding, City Manager/Chief Administrative Officer for the City of Calgary. 12:30 to 2 p.m. at the Carriage House Inn. For more info visit www.calgaryhgs.com
MARCH 2-5 Calgary Home + Garden Show at the
BMO Centre & Corral, Stampede Park in Calgary. For show and exhibitor information go to www.calgaryhgs.com
Word Search Solution
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MARCH 8 & 9 City of Calgary 14th Annual Safety Expo for grade 5 and 6 students in the atri-
um at the City of Calgary Municipal Building. For details check www.calgary.ca/CSPS/ ABS/Pages/School-and-educational-programs/Safety-Expo.aspx
MARCH 9 & 10 National Construction Safety Officer’s (NCSO) Professional Development Conference, being held in Edmonton Mar-
riott at River Cree Resort. For details visit www.youracsa.ca
APRIL 8 BILD Calgary Region SAM Awards
Gala 5 p.m. at the Telus Convention Centre (Calgary). For information see www.samawards.com
Laugh Out Loud
Did you know …? There is a company in Quebec called Rapid Erection Scaffold. b This headline ran in a newspaper in Charleston, S.C. Worker suffers leg pain after crane drops 800-pound ball on his head. b What is a construction worker’s favourite band? Nine-Inch Nails b What did one nail say to the other? Let’s get hammered! b The Alberta NDP government has come up with a new way to help further reduce greenhouse gas emissions on new home construction sites. The new methane tax will cost workers five cents per fart. b A bad workman blames his fools … EDIT: tools … stupid keyboard. b “An architect’s most useful tools are an eraser at the drafting board, and a wrecking bar at the site.” ~Frank Lloyd Wright b Two carpenters were working on a house. The one who was nailing down the timber would reach into his nail pouch, pull out a nail and either toss it over his shoulder or nail it in. The other, figuring this was worth looking into, asked, “Why are you throwing those nails away?” The first explained, “If I pull a nail out of my pouch and it’s pointed towards me, I throw it away ‘cause it’s defective. If it’s pointed toward the house, then I nail it in!” The second carpenter got completely upset and yelled, “You moron! The nails pointed toward you aren’t defective! They’re for the other side of the house!” Got a good housing industry or construction-related joke or story to tell? Email it to us at jim.zang@sourcemediagroup.ca
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City of Calgary
MAKING LIFE BETTER EVERY DAY By providing you Planning & Development services // BY VANESSA GASH
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Vanessa Gash, LEED AP Safety codes officer, building Commercial plans examiner, Calgary Building Services, Planning & Development
t The City of Calgary, we are constantly working to provide relevant tools to help and collaborate with our industry partners. With this new magazine, we are excited to bring you information to assist with your upcoming projects and services, making your jobs easier. We are particularly proud of our online services, an area that has advanced significantly over the last year. Our online permit system, Residential ePermit, was most recently updated in December to include all home improvement project types. This means that registered contractors can now apply for and manage single and semi-detached dwellings, secondary suites, backyard suites, detached garages, sheds, uncovered decks and more. Not a registered user? As long as you are a registered business owner, signing up to use the service is quick and easy. Once signed up, you will be able to apply for building and development permits and book inspections 24/7. The days of printing
multiple sets of drawings, standing in line and finding downtown parking are gone. Inspections can be booked and managed online, and you receive instant correspondence through email. On our website, calgary.ca/pd, there are plenty of new resources for industry members. Visit calgary.ca/residential for all residential building and development information. On calgary.ca/constructionsafety, we go over best practices, tips and tools for keeping your building site safe. Also, did you know you can ask a question about Alberta’s safety codes through a 311 online services request, and a safety codes officer will call or email you back? We are always striving to make your experience better. CC
VANESSA has been a plans examiner with Calgary Building Services at The City of Calgary for several years, and is a graduate in Architectural Engineering Technology from College of the North Atlantic. Prior to working for The City, she spent many years working in the commercial and residential construction industry in Calgary.
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