Construction Economist - Fall 2021

BRITISH COLUMBIA • PRAIRIES AND NORTHWEST TERRITORIES • ONTARIO • QUÉBEC • MARITIMES • NEWFOUNDLAND AND LABRADOR

CONSTRUCTION ECONOMIST

The Journal of the Canadian Institute of Quantity Surveyors Le Journal de l’Institut canadien des économistes en construction

FALL 2021

CONGRATULATIONS

Ian Duncan, PQS(F)

Harland Lindsay, PQS(F)

PM 40065075

TO OUR NEW HONORARY LIFE MEMBERS

ciqs.org

Canada’s Leading Journal in Construction Economics

REALIZE YOUR POTENTIAL

OUTSTANDING OPPORTUNITIES TO JOIN AN ESTABLISHED, EXPANDING PRACTICE IN VANCOUVER & VICTORIA. BDC has been providing the highest standard of services, to industry leading clients for over 30 years.

We offer superior benefits and salary packages commensurate with expertise, qualifications, skills and potential for growth.

SENIOR QUANTITY SURVEYOR

A great opportunity for an ambitious individual with partnership aspirations.

You are a seasoned professional with a broad skill set in all aspects of Quantity Surveying.

Experienced in Estimating, Monitoring and Contract Administration.

Technical abilities include report production on a variety of software systems.

A self starter with engaging leadership, teamwork and communication skills.

Comfortable liaising directly with clients. Strong communication skills. RICS/ CIQS membership.

INTERMEDIATE QUANTITY SURVEYOR/ ESTIMATOR An opportunity for an individual ready to move up to a more senior role.

Experience in estimating in both Trade and Elemental formats.

Please enquire, with confidentiality, to ian@bdconsultants.com.

www.bdconsultants.com

The mission of CIQS is to promote and advance professional quantity surveying and construction estimating; to establish and maintain national standards; to recruit, educate and support our members.

Canadian Institute of Quantity Surveyors 90 Nolan Court, Unit 19, Markham, ON L3R 4L9 t. 905/477.0008 f. 905/477.6774 toll free. +1 866/345.1168 e.info@ciqs.org www.ciqs.org

Chief Executive Officer Sheila Lennon, CAE.................... . . . . . . . . . . . ceo@ciqs.org Managing Editor Arif Ghaffur, PQS(F)................... . . . . . . . editor@ciqs.org Assistants to Editor Ajibola Soboyejo, PQS Shane McKernan, PQS Carl Pedersen, PQS Send Change of Address to: Canadian Institute of Quantity Surveyors 90 Nolan Court, Unit 19, Markham, Ontario L3R 4L9

CIQS Board Chair: Erin Brownlow, PQS

CONSTRUCTION ECONOMIST FALL 2021

The Journal of the Canadian Institute of Quantity Surveyors Le Journal de l’Institut canadien des économistes en construction

Features

2021 Virtual Congress.. . . . . . . . . . . . . . . . . . . . . . . . . . . 21 A refresher on what the 2021 election platforms mean for CIQS advocacy. . . . . . . . . . . . . . . . . 23 Canadian construction – Indicators of growth, composition, and changes. . . . . . . . . . . . . . 25 Project profile: Nauticol Grande Prairie Methanol Plant. . . . . . . . . . . . . . . . . . . . . . . 26

Vice-Chair: Arif Ghaffur, PQS(F)

CIQS Honorary Life Award recipients. . . . . . . . . . . . 29

Past Chair: David Dooks, PQS(F) Education Director: Adam Ding, PQS Director: Tammy Stockley, PQS Director: Hiran Dassoruth, PQS Director: Jack Chen, PQS Director: Antoine Aurelis, PQS Director: Dominic Leadsom, PQS Advisor: Roy Lewis, PQS(F)

26

Statements of fact and opinion contained within this journal are those of the authors, including subject matter experts. CIQS assumes no responsibility or liability for the content of such fact and opinion, nor do they represent the official policy of CIQS.

Corners

Messages

Congratulations Corner. . . . . . . . . 11

Chair’s Message . . . . . . . . . . . . . . .

Published four times a year on behalf of the Canadian Institute of Quantity Surveyors by

Education Corner…. . . . . . . . . . . 14 Prompt Payment Corner. . . . . . . . 17 Young Quantity Surveyor Corner. . . 19

4 CEO’s Message. . . . . . . . . . . . . . . . 8 Managing Editor’s Message. . . . . . 12 Events. . . . . . . . . . . . . . . . . . . . 20

Third Floor - 2020 Portage Avenue Winnipeg, Manitoba R3J 0K4 Tel: 866-985-9780 Fax: 866-985-9799 info@kelman.ca www.kelman.ca Managing Editor. ..................... Chris Kelman and Katie Woychyshyn Art Design/Production. ............. . . . . . . . . . . Dia C hea Advertising Coordinator...... Stefanie Hagidiakow Marketing Manager. .................. . . . . . . . . . Jeff Kutny jeff@kelman.ca 866-985-9789 Publication Mails Agreement #40065075 Send undeliverable addresses to: lauren@kelman.ca

OUR CONCERN FOR THE ENVIRONMENT IS MORE THAN JUST TALK This document is printed on paper certified to the standards of the Forest Stewardship Council® (FSC®).

Fall 2021 | www.ciqs.org | CONSTRUCTION ECONOMIST | 3

Chair’s Message

Welcome, new Board of Directors

Erin Brownlow, PQS

I

t is important to recognize the Board’s achievements over the last year. On behalf of the new Board, I extend appreciation to retiring Directors Jerry Crawford and Roger Ward and to members of committees who have completed their terms and took time out of their schedules to engage in important work for the Institute.

The Board welcomes new voices and now comprises the following people: • Chair (Chapter Relations Chair), Erin Brownlow, PQS • Vice Chair (Member Engagement Chair), Arif Ghaffur, PQS(F) • Past Chair, David Dooks, PQS(F) • Education Director (Education Committee Chair), Adam Ding, PQS • Director (External Relations Chair), Tammy Stockley, PQS • Director, Jack Chen, PQS • Director, Hiran Dassoruth, PQS • Director, Antoine Aurelis, PQS • Director, Dominic Leadsom, PQS • Advisor to the Board, Roy Lewis, PQS(F) • CEO, Sheila Lennon, CAE (Ex-officio) This past year has been quite an adventure, filled with new experiences, lots of emotion, and a booming construction industry. We are fortunate to be working in an industry in such high demand, and the CIQS has been working strenuously to increase awareness and recognition for our members in the industry. It has presented us with opportunity as well!

The 2020-2021 year has been busy for CIQS as we have worked to implement our strategic plan, in which we are now in our final year.

Director, Antoine Aurelis, PQS

Director, Dominic Leadsom, PQS

This past year has been quite an adventure, filled with new experiences, lots of emotion, and a booming construction industry.

When we discuss how far we have come this year, many of us believe it would not have been done if COVID had not forced us to focus on what we can accomplish virtually, something that will change some aspects of the way the board operates in the future. We have been extremely productive and engaged at the table and we hope you are starting to see the results of all this hard work.

Our current strategic plan is in its final stages. Since 2019 we have changed the look of the CIQS at the Board level, and for our Members. We have committees set up which focus on what members want and need.

This year has been a time of implementation. All the pieces of our strategic plan are now moving, and the ideas we had in our board meeting in May 2019 are now becoming a reality.

4 | CONSTRUCTION ECONOMIST | www.ciqs.org | Fall 2021

As I have mentioned in many messages over the past year, there are four pillars of our strategic plan: Education, Member Community Engagement, External Stakeholder Engagement, and Internal Resources.

The education committee has been working on accreditation reviews, updating our syllabus and TPE, improving opportunities for CPD and mentorship programming. Member engagement has implemented training kits for Board Directors and Chapters and is working on updating member benefits, increasing student engagement, and growing the YQS program.

External Relations has been busy working on government relations, industry partner communications and increasing awareness of the CIQS and its members in the process.

To return to Table of Contents CLICK HERE

Chair’s Message

Industry response to the work External Relations has been doing has resulted in a growing committee to ensure we are able to meet demand.

Institute resources have been under review and you will start to notice some great changes in our online presence and experience. This will increase efficiency with staff, who will be able to shift their focus to more valuable tasks as our membership grows.

Our next strategic planning session will occur in May 2022 and it is important that our members let us know what they want to see. We urge you to contact the Board, Chapter Executives or the CEO with ideas, concerns or questions that you feel should be considered.

Our next strategic planning session will occur in May 2022 and it is important that our members let us know what they want to see.

The Board is in transition from a managing board to a strategic board, and a roadmap for the next year of transition has been established to help guide this process. What this means is that Board members will be more focused on long term planning and solutions for the CIQS, while the CEO and staff manage and report on operations to the Board.

Committees will be focused on executing the work as well as long term planning. It’s very exciting for this shift to take place.

I thank all members, volunteers, and CIQS staff, who work hard for the Institute, promoting the work PQS and CEC Members do, and the value that we offer. I am looking forward to this year, completing the tasks in our strategic plan, and working with the new Board to develop our next path to focus on.

Erin Brownlow, Chair, CIQS Board of Directors Professional Quantity Surveyor

ASSOCIATE LEVEL OPPORTUNITY Pelican Woodcliff is looking for a Senior Consultant to take a leading role in our Project Monitoring department. This is an Associate Level position reporting directly to our company principals.

Candidates must have a minimum of ten (10) years of experience in the Canadian project monitoring field and possess an appropriate professional accreditation.

The successful candidate will be offered a compensation package reflective of your professional experience, unique skill sets and a leadership role in our organization.

To pursue this opportunity please forward your resume in strictest confidence to: E-mail: Donny@pelicanwoodcliff.com Donny Afonso, Principal of Pelican Woodcliff

100 York Blvd., Suite 608, Richmond Hill, ON L4B 1J8 Tel 905.889.9996 www.pelicanwoodcliff.com

CLICK HERE to return to Table of Contents

Fall 2021 | www.ciqs.org | CONSTRUCTION ECONOMIST | 5

Message du Président du Conseil

Bienvenue au nouveau conseil d’administration

Erin Brownlow, PQS

I

l est important de reconnaître les réalisations du conseil d’administration au cours de l’année écoulée. Au nom du nouveau conseil d’administration, je tiens à remercier les administrateurs sortants Jerry Crawford et Roger Ward, ainsi que les membres des comités qui ont terminé leur mandat et qui ont pris le temps de s’engager dans un travail important pour l’Institut.

Le conseil d’administration accueille de nouvelles voix et se compose désormais des personnes suivantes : • Présidente (présidente des relations entre chapitres), Erin Brownlow, ÉCA • Vice-président (président de l’engagement des membres), Arif Ghaffur, ÉCA(F) • Ancien président, David Dooks, ÉCA(F) • Directeur de l’éducation (Président du comité d’éducation), Adam Ding, ÉCA • Administratrice (Présidente des relations externes), Tammy Stockley, ÉCA • Administrateur, Jack Chen, ÉCA • Administrateur, Hiran Dassoruth, ÉCA • Administrateur, Antoine Aurelis, ÉCA • Administrateur, Dominic Leadsom, ÉCA • Conseiller auprès du conseil d’administration, Roy Lewis, ÉCA(F) • Directrice générale, Sheila Lennon, CAE (membre d'office) L’année écoulée a été une véritable aventure, remplie de nouvelles expériences, de beaucoup d’émotions et d’un secteur de la construction en plein essor. Nous avons la chance de travailler dans un secteur où la demande est très forte, et l’ICÉC s’est efforcé d’accroître la sensibilisation et la reconnaissance de nos membres dans ce secteur.

Cette année nous a également offert des opportunités!

L’année 2020/2021 a été une année très chargée pour la mise en œuvre de

Administrateur, Antoine Aurelis, PQS

notre plan stratégique, et nous sommes maintenant dans notre dernière année.

Lorsque nous parlons du chemin parcouru cette année, nous sommes nombreux à penser que cela n’aurait pas été possible si la COVID ne nous avait pas obligés à nous concentrer sur ce qui peut être accompli de manière virtuelle, ce qui va changer certains aspects du fonctionnement du conseil à l’avenir.

Nous avons été extrêmement productifs et présents, et nous espérons que vous commencez à voir les résultats de tout ce dur labeur.

Notre plan stratégique actuel est dans sa phase finale. Depuis 2019, nous avons changé l’apparence de l’ICÉC au niveau du conseil d’administration et pour nos membres. Nous avons mis en place des comités qui se concentrent sur les souhaits et les besoins des membres.

2021 a été une année de mise en œuvre. Tous les éléments de notre plan stratégique sont maintenant en mouvement, et les idées que nous avons eues lors de notre réunion du conseil d’administration en mai 2019 sont en train de devenir une réalité.

6 | CONSTRUCTION ECONOMIST | www.ciqs.org | Fall 2021

Administrateur, Dominic Leadsom, PQS

Comme je l’ai mentionné dans de nombreux messages au cours de l’année écoulée, notre plan stratégique repose sur quatre piliers. L’éducation, l’engagement de la communauté des membres, l’engagement des parties prenantes externes et les ressources internes.

Le comité d’éducation a travaillé sur les examens d’accréditation, la mise à jour de notre plan de cours et de notre TEP, l’amélioration des opportunités pour le DPC et le programme de mentorat.

L’engagement des membres a mis en place des trousses de formation pour les administrateurs et les chapitres et travaille à la mise à jour des avantages des membres, à l’augmentation de l’engagement des étudiants et au développement du programme YQS. Les relations externes ont travaillé sur les relations gouvernementales et les communications avec les partenaires de l’industrie tout en cherchant à accroître la sensibilisation à l’ICÉC et à ses membres. La réponse du secteur au To return to Table of Contents CLICK HERE

Message du Président du Conseil

travail effectué par les relations externes a entraîné une augmentation du nombre de comités afin de garantir que nous sommes en mesure de répondre à la demande.

Les ressources de l’Institut sont en cours de révision et vous commencerez à remarquer quelques changements importants au niveau de notre présence et de notre expérience en ligne. Cela permettra d’accroître l’efficacité du personnel, qui pourra alors se consacrer à des tâches plus importantes au fur et à mesure de l’augmentation du nombre de nos membres.

Notre prochaine séance de planification stratégique aura lieu en mai 2022, et il est important que nos membres nous informent de ce qu’ils veulent voir. Nous vous invitons vivement à contacter le

CLICK HERE to return to Table of Contents

conseil d’administration, les dirigeants des chapitres ou la directrice générale pour leur faire part des idées, préoccupations ou questions qui, selon vous, devraient être prises en compte.

Le conseil d’administration est en train de passer d’un conseil de gestion à un conseil stratégique, et une feuille de route pour la prochaine année de transition a été établie pour aider à guider ce processus. Cela signifie que les membres du conseil d’administration se concentreront davantage sur la planification et les solutions à long terme pour l’ICÉC, tandis que le directeur général et le personnel géreront les opérations et en rendront compte au conseil d’administration. Les comités se concentreront sur l’exécution des

travaux ainsi que sur la planification à long terme. Cette évolution est un moment fascinant pour notre organisation.

Je remercie tous les membres, les bénévoles et le personnel de l’ICÉC qui mettent leurs efforts au service de l’Institut en faisant la promotion du travail des membres ÉCA et ECC et de la valeur que nous apportons. Je me réjouis de cette année, de l’achèvement des tâches prévues dans notre plan stratégique et de la collaboration avec le nouveau conseil d’administration pour décider du prochain chemin à suivre.

Erin Brownlow, Présidente du conseil d’administration de l’ICÉC Économiste en construction agréé

Fall 2021 | www.ciqs.org | CONSTRUCTION ECONOMIST | 7

Chief Executive Officer’s Message

Ambassadors: Our bridge to the next generation

T

he Cambridge Dictionary defines ambassador as a person who represents, speaks for, or advertises a particular organization, group of people, activity, or brand.

At last year’s Year in Review, we launched our Student Outreach Program to bring awareness to the quantity surveying profession. The objective of this program is to educate school officials about our industry.

It is also to encourage students to contact us to learn more about the career paths available to them, apply for CIQS membership and, ultimately, move their way up to a PQS or CEC designation.

To help us bring the CIQS message to students, we also launched an ambassador program where we invite members interested in representing the Institute at school career fairs, presentations, industry events, tradeshows, media interviews, and government meetings, as subject matter experts.

• Able to build trust and credibility for themselves and the Institute.

• Confident at building relationships and networking.

CIQS ambassadors are individuals who are: • Able to deliver a cohesive message to build and maintain our brand’s official position on various matters.

• Strong public speakers.

• Diplomatic and able to think on their feet while keeping within the message parameters.

• Active listeners who can concentrate fully on the question at hand rather than thinking of what to say next.

• Careful speakers who think before they speak and understand the importance of not oversharing (answer only the question asked).

All applicants must participate in our in-house ambassador training which was originally designed as a four-hour, in-person session. Sadly, we were able to host only one session before the country shut down because of the pandemic. To keep the program going, the training was redesigned as a two-hour, virtual session and relaunched in the fall of 2020.

The ambassador training sessions are designed to ensure that every ambassador has a thorough understanding of the Institute’s messaging, as well as giving us a chance to evaluate each applicant’s strengths.

It also offers an opportunity for our

The CIQS offers its ambassadors: • Official media training to make every ambassador comfortable delivering our message in front of a camera or a crowd of students or industry professionals.

• Events and interviews managed

by CIQS staff and consultants.

Ambassadors are matched with an event or interview based on their industry experience, logistics, interest, and availability.

• Presentation material that has been designed and made available for download in the ambassador tools section of The CIQS HUB (www.qscareer.org).

Materials include presentation best practices, CIQS marketing brochures, educational videos, and a PowerPoint presentation designed specifically for school presentations.

8 | CONSTRUCTION ECONOMIST | www.ciqs.org | Fall 2021

Sheila Lennon, CAE

volunteers to gain helpful insight into their personal presentation skills through timed presentations, workshops, and peer reviews.

To date, we have received 32 applications, trained 29 individuals, and accepted 27 ambassadors to represent the CIQS at events and presentations across the country.

Nine of the approved ambassadors were also selected to represent the Institute at lobbying meetings with government officials.

These members received added government relations and media training facilitated by IMPACT Public Affairs, the agency that was hired to assist us with our government relations program.

Canadian colleges were quick to adopt virtual platforms for job fairs and career presentations. CIQS ambassadors have attended several of these events and presented at various Lunch & Learns, such as: • SAID Industry Night (Civil Engineering Technology Club) • BCIT Virtual Mixer • ATSA Lunch & Learn • BCIT Lunch & Learn A comprehensive campaign targeting Canadian colleges was launched in late spring to gain buy-in for additional Lunch & Learns once students are back in the fall.

We received strong interest from most of the schools that were contacted and planning for fall 2021 Lunch & Learns is now underway.

We are continuously growing our ambassador database. Anyone interested in becoming an ambassador can email Alexandra Parliament at marketing@ciqs.org for a copy of the application form.

Sincerely, Sheila Lennon, CAE Chief Executive Officer CIQS To return to Table of Contents CLICK HERE

Chief Executive Officer’s Message

Ambassadeurs : Notre pont vers la nouvelle génération

L

e Robert définit un ambassadeur comme une personne qui représente un produit ou une marque.

Lors du bilan de l’année dernière, nous avons lancé notre programme de sensibilisation des étudiants afin de faire connaître la profession d’économiste en construction. L’objectif de ce programme est de faire connaître notre secteur aux responsables des écoles. Il s’agit également d’encourager les étudiants à nous contacter pour en savoir plus sur les carrières qui s’offrent à eux, à demander l’adhésion à l’ICÉC et, en fin de compte, à progresser jusqu’à l’obtention du titre d’ÉCA ou d’ECC. Pour nous aider à transmettre le message de l’ICÉC aux étudiants, nous avons également lancé un programme d’ambassadeurs dans le cadre duquel nous invitons les membres intéressés à représenter l’Institut lors de salons de l’emploi dans les écoles, de présentations, d’événements industriels, de foires commerciales, d’entrevues avec les médias et de réunions gouvernementales, en tant qu’experts en la matière.

Les ambassadeurs de l’ICÉC sont des personnes qui sont : • Capables de délivrer un message cohérent pour construire et maintenir la position officielle de notre marque sur différents sujets • De bons orateurs • Diplomates et capables de penser sur le vif tout en respectant les paramètres du message • Des auditeurs actifs qui peuvent se concentrer pleinement sur la question posée plutôt que de penser à ce qu’ils vont dire par la suite CLICK HERE to return to Table of Contents

Acceptable

All About Designations

Professional Quantity Surveyor

In 1988, CIQS obtained the marks PQS (Professional Quantity Surveyor) and the French equivalent ECA (Économistes en Construction Agréé). These designations replaced MCIQS. Later, CIQS also obtained the official marks CEC (Construction Estimator Certified) and the French equivalent ECC (Estimateur en Construction Certifié). CIQS grants Members a license to use these designations provided they are qualified and in good standing.

Here is a list of acceptable (provided you are a qualified member of CIQS and in good standing) and unacceptable designations: • Des orateurs attentifs qui réfléchissent avant de parler et qui savent à quel point il est important de ne pas trop partager (de ne répondre qu’à la question posée) • Capables d’obtenir la confiance des autres et de démontrer leur crédibilité ainsi que celle de l’institut • Capables de nouer des relations et de créer des réseaux L’ICÉC offre à ses ambassadeurs : • Une formation officielle aux médias pour que chaque ambassadeur soit à l’aise

PQS Construction Estimator Certified CEC Économistes en Construction Agréé ECA Estimateur en Construction Certifié ECC Professional Quantity Surveyor (Fellow) PQS(F) Économistes en Construction Agréé(F) ECA(F) Unacceptable MCIQS AQS ACIQS PQS (In training) PQS(R) PQS (Intern)

pour transmettre notre message devant une caméra ou une foule d’étudiants ou de professionnels du secteur.

• Des événements et des entretiens gérés par le personnel et les consultants de l’ICÉC. Les ambassadeurs sont associés à un événement ou à un entretien en fonction de leur expérience du secteur, de la logistique, de leurs intérêts et de leur disponibilité.

• Des supports de présentation spécialement conçus qui peuvent être téléchargés à partir de la section

Fall 2021 | www.ciqs.org | CONSTRUCTION ECONOMIST | 9

Chief Executive Officer’s Message

des outils pour ambassadeurs de la plateforme ICÉC (www.qscareer.org).

Les supports comprennent les meilleures pratiques de présentation, des brochures commerciales de l’ICÉC, des vidéos éducatives et une présentation PowerPoint conçue spécialement pour les présentations scolaires.

Tous les candidats doivent participer à notre formation interne d’ambassadeur qui était conçue au départ pour être une séance en personne de 4 heures.

Malheureusement, nous n’avons pu organiser qu’une seule séance avant que le pays ne soit fermé à cause de la pandémie. Pour maintenir le programme, la formation a été repensée sous la forme d’une séance virtuelle de deux heures et relancée à l’automne 2020.

Les séances de formation des ambassadeurs sont conçues pour permettre à chaque ambassadeur de comprendre en profondeur le message de l’Institut et pour nous donner l’occasion d’évaluer les points forts de chaque candidat. C’est aussi l’occasion

pour nos bénévoles d’avoir un aperçu utile de leurs compétences personnelles en matière de présentation grâce à des présentations chronométrées, des ateliers et des évaluations par les pairs. À ce jour, nous avons reçu 32 candidatures, formé 29 personnes et accepté 27 ambassadeurs pour représenter l’ICÉC lors d’événements et de présentations dans tout le pays.

Neuf des ambassadeurs approuvés ont également été sélectionnés pour représenter l’Institut lors de réunions de lobbying avec des représentants du gouvernement. Ces membres ont reçu une formation supplémentaire sur les relations avec le gouvernement et les médias, dispensée par IMPACT Public Affairs, l’agence qui a été engagée pour nous aider dans notre programme de relations avec le gouvernement.

Les collèges canadiens ont rapidement adopté les plateformes virtuelles pour les salons de l’emploi et les présentations sur les carrières. Les ambassadeurs de l’ICÉC ont participé à plusieurs de ces événements et ont fait des présentations lors de divers déjeuners-causeries, comme :

• la Nuit de l’industrie SAID (club de technologie du génie civil) • la Soirée virtuelle du BCIT • le déjeuner-causerie de l’ATSA • le déjeuner-causerie du BCIT Une campagne globale ciblant les collèges canadiens a été lancée à la fin du printemps afin d’obtenir l’adhésion à des déjeuners-causeries supplémentaires dès la rentrée des étudiants à l’automne.

Nous avons reçu un vif intérêt de la part de la plupart des écoles contactées et la planification des déjeuners-causeries pour l’automne 2021 est en cours.

Nous agrandissons en permanence notre base de données d’ambassadeurs.

Toute personne souhaitant devenir ambassadeur peut envoyer un courriel à Alexandra Parliament à l’adresse suivante marketing@ciqs.org pour obtenir une copie du formulaire de candidature.

Sincères salutations, Sheila Lennon, CAE Directrice générale Institut canadien des économistes en construction

Our concern for the environment is more than just talk This publication is printed on Forest Stewardship Council® (FSC®) certified paper with vegetable oil-based inks. Please do your part for the environment by reusing and recycling.

10 | CONSTRUCTION ECONOMIST | www.ciqs.org | Fall 2021

To return to Table of Contents CLICK HERE

Congratulations Corner

Congratulations to the following ‘Designation Holders’ who have qualified as a PQS or CEC. Choi Chak Hoi Kenneth, PQS Au Sin Ting Macy, PQS Manav Jain, PQS Senthilvel Sellathurai, PQS John Oseyili, CEC Langton Thamsanqa Phezulu Nthala, PQS Fung Chun Ming Justin, PQS Ahmed Emara, PQS Peranandam Venkatachalam, CEC Fida Raza Syed, CEC

CIQS – British Columbia Graham Davies, CEC Brad Burnett, CEC William Siu, CEC Brent Armstrong, PQS Ryan Jenkins, PQS Annie David, PQS Wei-Te Lee, PQS Conrad MacLeod, PQS Clayton Lang, PQS Marshall Azama, CEC Jonathan Ma, PQS Yiyi Wang, PQS James Hibbert, PQS Daniel Quandahor, PQS CIQS – Maritimes JoAnne Murray, PQS CIQS – Members at Large Imtiyaz Ahamed Bani, PQS Oshan Saranga, PQS Wesley Chikwanyanga, PQS Fattah Aderinto, PQS Ng Tsi Sing, PQS Herath Dasanayake, PQS Isaac Kwofie, PQS Raja Mansingh Sakthivel, PQS Ip Kim Man, PQS Christopher Farquharson Jr., PQS Ashok Kumar Santharam, PQS Leung Pui Yan, PQS Gobinath Rathnakumar, PQS

CIQS – Ontario Kevin Ross Masters, CEC Christina Sorba, CEC Joseph Daku, CEC Sinmoy Crosdale, CEC Hongru Zhao, CEC Omid Jokar, CEC Bijal Dalal, CEC Brandon Roy, CEC Nilay Patel, PQS Freddy Xiang. PQS Charles Roberts, PQS Catharine Kelly, PQS Muthanna Abedi, PQS Bryan Dewar, PQS Andrew Kowal, PQS Wiexin Yang, PQS Lilly Hoshowsky, PQS Kevan Peters, PQS Mike Slivinski, PQS Suraj Durra, CEC

Bhaveshkumar Chauhan, CEC Eric A. Twum, CEC Stefan Bukcev, CEC Adekunle Adekola, PQS Md Aminul Islam, CEC Rodrigo Martinez, PQS Olalekan Taiwo, PQS Abirami Veeramaheswaran, PQS Zinool Solomon, PQS Robert Kebbe, PQS Esten Szigeti, PQS Anitra Bharathy, PQS Heunwoo (Joseph) Jin, CEC Sitham Muhunthan, PQS David Craske, PQS CIQS – Prairies and NWT Scott Barabash, PQS Lee So Mei, PQS Wesley Earle, PQS Olanrewaju Owoeye, PQS Ananda Kariyawasam, PQS Parthiv Trivedi, PQS Judith Aparicio, PQS Glenn Raymond Go, PQS Robert Hislop, CEC Jingxin Chen, PQS Benjamin Weishaupt, PQS CIQS – Québec Jeanine Pires Vital Batista, CEC Luc Fortin, CEC Paul Grenier, CEC

Lois Metcalfe Fellowship Award 2021

Angela Lai, PQS(F)

CLICK HERE to return to Table of Contents

On August 23, 2021, the CIQS Board of Directors appointed Angela Lai as a FELLOW of the Canadian Institute of Quantity Surveyors having served the Institute in a meritorious capacity and contributing to the prestige and the advancement of the profession through outstanding achievements.

Congratulations Angela!

Fall 2021 | www.ciqs.org | CONSTRUCTION ECONOMIST | 11

Managing Editor’s Message

Increasing market volatility and cost fluctuations

Arif Ghaffur, PQS(F)

Collaborative sharing of risks

P

revailing theory is that construction projects inherently carry risks, with such risks being allocated to the party best positioned to address and control them. There is often a conversation about which party is in fact the “best” to review, address, and dispense of risks, and to what extent. Furthermore, there is an increasing belief that many risks should in fact be shared within the contract-specific contractual compensation arrangements, which may be lump sum, target costs, remeasurement, reimbursable or some form of hybrid arrangement.

With construction margins typically being 2% to 10% of the overall project cost, the need for accurate pricing and sufficient allowances to account for cost increases during the construction period is critical. Owners and developers constrained by fixed budgets seek lump sum, fixed price contracts as a means of striving for cost certainty. For projects having longer durations, this can result in severe consequences if there are price fluctuations that have not been accounted for in the estimate and, ultimately, in the contract sum or price.

The current extent of volatility in the market is making it increasingly important for those who have responsibility for existing and new construction contracts to adopt provisions that consider and address fluctuations in cost. This includes individuals tasked with the creation and development of construction contracts, those who negotiate and agree, and those responsible for the day-today management of the delivery of construction contracts.

Ongoing market volatility is extending to the availability of materials, labour, and equipment, and the cost uncertainty and fluctuations resulting from disruptions to the supply chain. It is becoming increasingly apparent that market volatility is perhaps here to stay and becoming a new norm with essential materials such as timber, steel, and cement being particularly impacted by price fluctuations.

As a colleague recently put it, “things are taking longer to make, longer to get, and longer to install.” In this mix is the uncertainty of precise timing and costs that sometimes significantly impact quality and timing, as well as project cost expectations and predictions.

Resource shortages and a surge in prices prevail across the whole construction supply chain. The ability to plan and predict construction project outcomes is becoming increasingly complex – and fraught with uncertainty.

Other than direct impacts on quality, time, and cost, lack or lateness of products is requiring changes in design to maintain project schedules. This results in contractual challenges.

The accustomed era of stable and consistent prices is rapidly changing, with the focus now being on how the risk of price increases can be best mitigated. I recently witnessed a project where materials were substituted as the originally specified materials were subject to significant lead times, due to material shortages and logistical challenges.

It is interesting to note that in the United Kingdom at the time of historic market volatility in the 1980s and onwards, construction contracts introduced provisions for managing

12 | CONSTRUCTION ECONOMIST | www.ciqs.org | Fall 2021

such volatility without requiring contract amendments. Fluctuation clauses can allow for adjustment by way of exercising contractual options for: changes in law and taxation; cost of labour, transport and materials; and increases in head office or administrative costs. These provisions provide the means for managing such volatility and their use is being increasingly advocated by industry and government bodies, such as the Construction Leadership Council (CLC). In an open letter to the industry, the CLC’s co-chair, Andy Mitchell CBE, said: “The construction industry is currently facing challenges on the availability and pricing volatility of labour and materials.

This volatility could have a significant impact on the timeframes and delivery costs of many projects.”

Further, Mitchell encouraged the use of “fluctuations provisions” to “provide a means of collaboratively sharing the risks associated with this volatility.” These comments were made in the backdrop of fluctuation provisions being present in the Joint Contracts Tribunal (JCT) and New Engineering Contract (NEC) forms of contract, that provide means for collaboratively sharing the risks associated with volatility. It is my understanding that, historically, these provisions were seldom used mostly due to the economic stability that has been prevalent in the pre-pandemic era. The general concept of fluctuations provisions is that the contract provides a mechanism for dealing with inflation, typically as follows: • Contractor proposal based on prices at that date • These prices are subject to change over the project duration • Contractor is reimbursed for price changes to specified items To return to Table of Contents CLICK HERE

Managing Editor’s Message

Direct impacts on quality, time, and cost, lack or lateness of products is requiring changes in design to maintain project schedules. This results in contractual challenges.

• This reimbursement allows for changes in resource costs • Payment is based on the progress of activities over payment periods Cost fluctuations are usually calculated from nationally published indices such as Statistics Canada or other public/private sector records that are acceptable to the contracting parties and have been agreed to in the contract. Fluctuations can also be calculated using actual cost increases, although this may be very time consuming. Shown below is an example of a calculation for fluctuations, as carried out for a discrete material, during an interim (monthly) payment: Cost Fluctuation for Period Ending August 2021 • Material = Structural Steel • Total Amount in Contract (subject to Base Index) = $100,000 • Total Amount to August, 2021 = $65,000 • Amount During August, 2021 (Work in Month, subject to Current Index) = $30,000 • Base Index = 19 • Current Index = 23 Cost Fluctuation Formula (Current Index-Base Index)/(Base Index) × Work in Month = Cost Adjusment (23-19)/19×$30,000 = $6,315.79 Cost Adjustment = $6,315.79 Increase Collaboration and team based approaches are needed to manage market volatility for items identified as “critical” for project delivery.

This is achieved by allowing longer lead periods for projects, including mobilization and ordering of materials at an earlier stage than normal, and with advance payments being made to CLICK HERE to return to Table of Contents

Time is fast approaching for an increase in collaboration in the creation and adoption of fluctuations provisions in construction contracts. suppliers to secure manufacturing and delivery times.

As the Canadian construction industry continues to grow, a sustainable supply chain is critical in providing sufficient labour, material, and equipment in the backdrop of market volatility. Therefore, the time is fast approaching for an increase in collaboration in the creation and adoption of fluctuations provisions in construction contracts. These provisions are clauses that enable adjustments to the contract price to account for changes (increases and reductions) to the price of resources such as labour, material, and equipment during the execution phase of a construction project.

Whilst standard forms of construction contract remain available for fixed

price and cost plus arrangements, such as CCDC 2 and CCDC 3 respectively, there are no provisions that address cost fluctuations. These provisions can take the form of a specific contract that is based on cost fluctuation alternatives, such as those created by the JCT and NEC forms in the UK, or a stand alone contract that addresses in its entirety the new and increasingly emerging norm of cost fluctuations.

Thank you for your support and contributions to Construction Economist. I wish you and your families a truly wonderful and safe fall, and all the best for 2021.

If you have feedback, suggestions, and of course, any articles that you would like to be considered for publication, please email editor@ciqs.org or ceo@ciqs.org.

Fall 2021 | www.ciqs.org | CONSTRUCTION ECONOMIST | 13

Education Corner

Back to school: Review and forward

B

y the time you are reading this article, the autumn season will be in full swing. Many of our student members are back in school, even if still online. With the increased vaccination among the general population, the pandemic situation in Canada is gradually improving. Many colleges and universities already are opening up their campuses for in-person learning, with restraints of course.

Recently, I had the opportunity to attend CIQS Congress 2021, where

many construction leaders provided great insights on the present and future of the industry in Canada and worldwide.

During this three-day, short, virtual event, I was really impressed by the breadth and depth of a variety of topics covered, including BIM, P3, prompt payment, modular construction, renewable energy, sustainable restoration, multisensory design, ICMS, life cycle costing, data analytics, and risk management, etc.

This month also marks my 1st year anniversary with the CIQS as the education director. The following list

14 | CONSTRUCTION ECONOMIST | www.ciqs.org | Fall 2021

Adam Ding, PQS

includes some highlights from our Education Committee for the past year: • Consistent growth of membership and exam registrations despite the pandemic.

• Expansion of the CIQS Education Committee with three new members.

• Renewal of CIQS/CCA Gold Seal Reciprocity Agreement with latest upgrades.

• Increased threshold of practical experience required for PQS/CEC. • Revision of CIQS architectural syllabus and development of acceptable elective courses.

• Continuous revision and development of CIQS mechanical and electrical syllabi.

• Initiation of new CIQS heavy/civil syllabus development.

• Improvement to CIQS TPE Part C Practice Problem Exam process.

• Formalization of CIQS accreditation policy for academic institutions.

• Ongoing communications with regional chapters regarding accreditations.

Despite the intermittent disruption of lockdowns, the construction industry is still moving forward, yet perhaps with a new education model to train the workers of tomorrow. In fact, during the past 18 months, many of our members have been utilizing their time at home effectively, by engaging in remote/online learning, while fulfilling work/life responsibilities at the same time. Looking ahead, we are embracing another year of new challenges and opportunities. Yes, we are in this together!

To return to Table of Contents CLICK HERE

NEW CIQS TEXTBOOK

HOT OFF THE PRESSES AVAILABLE FOR PURCHASE OCTOBER 2021

Every topic in the book is explored based on the first principles. The completed examples demonstrate the application of basic principles introduced in each topic and thus promote applied learning. Each concept is introduced methodologically, reinforced by detailed, step-by-step examples and practice questions.

Practical exercises are extensively integrated into each topic. The book explains the different aspects of the development process with practical real-life examples and spreadsheet-based exercises in an easy-to-understand manner. The authors strongly encourage learners to practice spreadsheet exercises in order to develop analytical skills.

The book is divided into three main parts, which, although related, are largely independent. Part I covers topics related to the application of applied economics to the development of projects. Part II deals with the financing of project development, while Part III provides a comprehensive coverage of the practice of project loan monitoring taught through numerous practical case studies.

VISIT OUR BOOKSTORE AT CIQS.ORG FOR THIS AND O M ATD II C A L L O U R O T H EN R T L| E2 4S

Prompt Payment Corner

Prompt payment and construction law reforms across Canada

Sahil Shoor

This is the third article in the Prompt Payment/Adjudication series. This article focuses on the prompt payment and construction law reforms across Canada.

T

his article provides a brief overview covering the developments in each province in Canada.

1. Ontario: The changes to the Construction Act (formerly the Construction Lien Act) introducing prompt payment and adjudication came into force on October 1, 2019. The prompt payment regime includes strict payment deadlines. Ontario is the first jurisdiction with a prompt payment and adjudication regime layered on top of an existing construction lien regime.

Please see my earlier articles from this year where I explain the prompt payment and adjudication regime in detail.

2. Manitoba: The Manitoba Law Reform Commission released its final report in November 2018 titled The Builders’ Liens Act of Manitoba: A Modernized Approach, which recommends significant reforms to the existing lien legislation, including introduction of prompt payment and adjudication.

3. Nova Scotia: The Builders’ Lien Act (amended) received royal assent on April 12, 2019, but is yet to come into force.

Once in force, the current lien legislation will be renamed Builders’ Lien and Prompt Payment Act. The prompt payment regimes takes a narrower approach as regards availability of adjudication as it limits the availability of adjudication to disputes that are the “subject of a notice of non-payment.” The regulations have not been released yet.

4. Saskatchewan: The Builders’ Lien (Prompt Payment) Amendment Act, 2019 received royal assent on May 15, 2019, but is yet to come into force. The prompt payment and adjudication regime will not apply to architects, engineers, land surveyors and persons providing services or materials for any improvement with respect to a mine or mineral resource (including any activities respecting exploration, development, production, decommissioning or reclamation) or an improvement related to infrastructure in connection with the generation, transmission or distribution of electrical energy.

CLICK HERE to return to Table of Contents

5. Alberta: Bill 37 titled Builders’ Lien (Prompt Payment) Amendment Act, 2020 received royal assent on December 9, 2020, but is yet to come into force. Bill 37 focuses on major reforms to the Builders’ Lien Act, which include the introduction of prompt payment requirements, a new dispute resolution mechanism known as adjudication, an extension of lien registration periods.

6. British Columbia: The British Columbia Law Institute published a Report in July 2020 on the Builders Lien Act which offers 86 recommendations to simplify the Builders Lien Act. 7. New Brunswick: Reports published by the Office of Attorney General in July 2019 and April 2020 Fall 2021 | www.ciqs.org | CONSTRUCTION ECONOMIST | 17

Prompt Payment Corner

recommends that the reform of the Mechanics’ Lien Act and introduction of prompt payment and adjudication.

8. Quebec: In 2018, the Chair of the Conseil du trésor, by order, authorized the implementation of the Pilot project to facilitate payment to enterprises that are parties to public construction work contracts and related public subcontracts (Pilot Project). The Pilot Project prescribes the use of payment calendars and introduces dispute settlement by adjudicators.

9. Federal Construction Projects: The Federal Prompt Payment for Construction Work Act, addresses the nonpayment of contractors and subcontractors performing construction work for federal construction projects, was passed on June 21, 2019. The act is not yet in force.

Once in force, it will not grandfather existing contracts and it will provide for a one-year deferral period before it applies to existing contracts.

I look forward to sharing further aspects of Prompt Payment and Adjudication in the winter edition of Construction Economist.

CIQS establishes Prompt Payment Task Force

Ali Fard (Chair)

Further to the call for Members/Chair, CIQS received an excellent response to the call to serve on the CIQS Prompt Payment Task Force which has the following Terms of Reference.

“Review the current and ongoing reforms in respect of prompt payment across Canada and how these impact CIQS members. Develop strategies, approaches and action for review by the CEO of CIQS such that they can be presented to the CIQS Board for consideration and implementation”.

Following a process of review, the CIQS Board is pleased that the following senior industry professionals have been selected to serve on the CIQS Prompt Payment Task Force for a period of two years: • Ali Fard, PQS – Partner, HKA (Chair) • Antoine Aurelis, PQS – Practice Lead Construction & Delay Claims, Arbitech, Inc. (Board Liaison) • Gregory Stallard, PQS – Senior Project Manager, Turner & Townsend • Merza Irfan, PQS – Manager Contract Administration, Metrolinx

18 | CONSTRUCTION ECONOMIST | www.ciqs.org | Fall 2021

About the author Sahil Shoor is a Partner with Gowling WLG (Canada) LLP. He is called to the Bar in both Ontario and British Columbia. His national practice is focused on complex litigation, and dispute resolution in the sectors that drive Canada’s economic development, including commercial construction, real estate development, infrastructure and civil works, power and energy (nuclear, hydro-electric and power generating stations), and transit/transportation (P3).

Sahil was recognized by The Legal 500 Canada 2021 as Rising Star in Dispute Resolution in ON. He brings a wealth of experience in helping clients ensure projects are put and stay on track and, where disputes are unavoidable, in the conduct of formal and informal dispute resolution proceedings. Sahil is intimate with the industry changes effected by Ontario’s new Construction Act and has a record of effective advocacy as counsel before courts in Ontario, Saskatchewan, and British Columbia.

Antoine Aurelis

Greg Stallard

Merza Irfan

The CIQS Prompt Payment Task Force will also include the CEO of CIQS, Sheila Lennon and the representative from the CIQS Board will be Antoine Aurelis, PQS. Backgrounder CIQS continues to be an active participant in ongoing prompt payment reforms at the Canadian provincial/territorial and federal levels.

Professional Quantity Surveyors (PQS) and Construction Estimator Certified (CEC) continue to play an important part in the day-to-day delivery of construction projects across Canada.

CIQS members are engaging in landmark changes with the introduction of prompt payment reforms and adjudication which are requiring paradigm behavioral changes in construction.

Nuances of individual Canadian jurisdictions and lien requirements is raising concerns of a fragmented approach and the potential need for harmonization.

CIQS members are key participants in the measurement, assessment, evaluation, certification and payment, and assist in the Canadian construction industry remaining vibrant and sustainable.

To return to Table of Contents CLICK HERE

YQS Corner

Staying connected through COVID-19: 2021 edition

M

any people rely on coworkers or colleagues for human interaction on a daily basis. I know I certainly do. In addition to disrupting daily life, COVID-19 sent millions home to work remotely for the foreseeable future, forcing office workers to find new ways to stay connected with teammates they no longer see in person. Although we spent all of 2020 adapting to this new ‘normal’, I’m sure most of us suffer from ‘zoom fatigue’. There are ways we can still stay in touch with coworkers/colleagues, if socially distanced meetings or events are still not available in your area. COVID-19 times call for COVID-19 measures, so let's adapt work relationships to fit our virtual world and keep those connections strong. From personal experience, as well as tips from colleagues in industry, here are some ways to stay connected.

1. Regular (virtual) coffee meetings Whether we're in quarantine or not, work takes up a lot of our time and energy, and it's not always easy to talk about it with family and friends. Making time for informal conversations with your colleagues is important, even if you can't pop out for a coffee together. Pick a time of day that works for you and your team, whether it's a mid-morning break or coffee over lunch. As fantasy football season approaches, I’m sure we can always use some insight on sleeper/ bust predictions.

2. Don’t panic chat COVID-19 has turned our workplaces inside out, meaning there are many changes to discuss. It can be hard to CLICK HERE to return to Table of Contents

focus on business when panic about the crisis seeps in, but it is important to keep your team informed and discourage these conversations from going out of control. It can become a distraction and cause anxiety among team members. Rather than asking your colleagues to stop discussing the pandemic directly, set aside specific times when you will discuss your concerns. I feel a lot of virtual connectivity during the pandemic involves some discussion about COVID-19, perhaps if we can exclude it from planned social meetings we may not care as much about the medium in which we are talking on (or what caused it) and focus on staying connected with the people around us.

Shane McKernan, PQS

The monotony of phone calls and emails can get old, so why not make things interesting? Try to recreate activities you did before quarantine to maintain your relationships with co-workers and colleagues. Houseparty, an app I have used once or twice (that I can remember), has been great for unwinding and playing games, quizzes, etc., and keeping the social connection going with my circle.

Hopefully, this time next year (or sooner!), we will be enjoying some in-person time with coworkers and colleagues – but don’t forget to look for upcoming YQS and coffee chat events organized by the CIQS. Stay safe and healthy.

3. Plan activities Working from home does have its benefits. Having more time for self-development is one of them.

Take turns leading weekly classes by pooling your skills with coworkers or colleagues. Perhaps you want to lead an amateur cooking class with a newly learned recipe, or trade work-out-from-home secrets. In any case, these group sessions have the potential to give you and your group members a chance to connect and discover new ways to cope with social isolation. The CIQS already provides great YQS and coffee talk events, which have provided excellent opportunities to get to know our colleagues across the country.

4. Happy hour This one speaks for itself and is definitely my favorite of the bunch.

About the author Shane McKernan, PQS, GSC, B.Tech, is a Project Manager and Estimator for Landa Global Properties, based out of Vancouver, British Columbia. With over 14 years of experience in the construction sector, Shane’s experience includes estimating, cost consulting, project loan monitoring, and project and construction management.

Shane is the Past Chair of the CIQS – BC Chapter, where he joined as the board’s first ever student member in 2013. Shane is an Assistant to the Editor for Construction Economist.

Fall 2021 | www.ciqs.org | CONSTRUCTION ECONOMIST | 19

Fall 2021 Events

V

irtual events are rising in popularity. While we hope to resume hosting in-person events in 2022, the CIQS continues to offer virtual programming where members can earn their CPD points, knowledge share, and meeting like-minded people in a dynamic, interactive environment. Shifting to online events creates an opportunity for people to log in from anywhere and allows access to an extended list of speakers and panelists. Our inaugural chapter chats allow members to learn about best practices and the latest industry news, on an engaging virtual platform.

Upcoming virtual events: • CIQS ON Webinar: Life Cycling Cost Analysis and its use inGreen Building/New Zero – Wednesday, October 20, 2021 at 1:00 pm to 2:30 pm Past webinar and virtual networking events • Newfoundland and Labrador Chapter Chat: Thursday, June 2, 2021 The chapter held an engaging chat that featured a presentation on benchmarking from one of its members.

• CIQS Congress 2021: Tuesday, June 15 to Thursday, July 17, 2021 The CIQS inaugural virtual Congress was a success!

Over 19 speakers participated in this educational event and presented on topics ranging from prompt payment adjudication, to modular construction, and life cycle costing.

Attendees were able to connect at the various networking sessions. Mary Van Buren, CCA President, kicked off the event as the keynote speaker. Please refer to the Congress Summary article in this issue for more details about the event.

• Maritimes Chapter Chat: Thursday, September 16, 2021 from 12:00-1:00 pm (ADT) • Ontario Annual Chapter Meeting (ACM) and Chapter Chat: Thursday, September 23, 2021 from 12:30-1:30 pm (EDT) • YQS Coffee Talk: Thursday, October 7, 2021 from 1:00-2:00 pm (EDT) • YQS Webinar Series #4 featuring Craig Woodall: Thursday, October 14, 2021 from 12:00-1:00 pm

Thank you to our sponsors this quarter who have helped make our events a success!

YQS Webinar Sponsors • Advicas Group Consultants, Inc. • A.W Hooker Quantity Surveyors For more information on our virtual events, please contact Sharon Lui at events@ciqs.org.

Fall 2021 Events

by Sharon Lui, EA/Events Specialist

20 | CONSTRUCTION ECONOMIST | www.ciqs.org | Fall 2021

To return to Table of Contents CLICK HERE

2021

VIRTUAL CONGRESS EMBR ACING DISRUPTION | I N N O VAT I O N & T H E N E W N O R M

By Alexandra Parliament

For those who wanted to attend Congress in the past but found travel costs or time away from work prohibitive, this year’s Virtual Congress offered the perfect opportunity to attend 12 informative technical sessions and to network with members from all over the world.

“This event will be a great opportunity for three days of learning, virtual networking and celebrating excellence within CIQS,” said Indu Elapatha, winner of this year’s Congress trivia.

This year’s conference attracted several members, from across Canada as well as beyond our borders, who have never attended Congress in the past.

“It was wonderful to see so many new names on our Congress roster,” said Sheila Lennon, CIQS CEO, "but we had hoped that more members would have taken advantage of the ability to participate and earn CPD points from the comfort of their home or office.”

With a theme like “Embracing Disruption |Innovation and the New Norm,” this year’s Congress offered the perfect opportunity to shake up the technical schedule. To make it easer for attendees to prioritize their time, each day was given a sub-theme, which included: BIM, alternative finance

CLICK HERE to return to Table of Contents

and prompt payment; design, projects and construction; and costing, risks and analysis. Presentations were scheduled accordingly.

The conference kicked off with a presentation by our keynote speaker, Mary Van Buren, president of CCA, who spoke of “Thriving in Disruption: Infrastructure’s Bright Future” and ended with a presentation on commercial risk management by Niamh Ni Chrionin from HKA. Every morning, prior to the technical program, Congress attendees could log into the virtual networking café to connect with industry professionals from across the globe. There was also an opportunity for attendees to show off their knowledge of pop culture during a fun virtual trivia night.

Thank you to our moderators, Arif Ghaffur, Steven McIver and Roy Howes, to Erin Brownlow for keeping the conversation going in the Networking Café and to Sharon Lui for managing the technical side of the conference.

“I thought the congress was fantastic! This virtual world is tough to please everyone, but I was overall very pleased by the platform... I hope to attend future Congresses in person and will promote this experience to YQS’s.”

– Alexander Ings

KEYNOTE SPEAKER Mary Van Buren, President Canadian Construction Association

Fall 2021 | www.ciqs.org | CONSTRUCTION ECONOMIST | 21

DAY ONE – JUNE 15 BIM and Risk Management Strategies Presented by: Andrea Lee, Partner, Glaholt Bowles, LLP Catherine MacInnis, Associate General Counsel, IBI Group Inc. P3s and Digital Infrastructure: Building Partnership and Future Trends Presented by: Saad Mihas, Senior Legal Counsel, EQUINIX Shama Naqushbandi, Director Commercial, Infrastructure Ontario Prompt Payment and Construction Adjudication Presented by: Sahil Shoor, Partner, Gowling WLG

DAY THREE – JUNE 17

DAY TWO – JUNE 16 P3s and Digital Infrastructure: Building Partnership and Future Trends Presented by: Jim Dunn, President, STACK Modular Panel Discussion: Renewable Energy Projects in Canada Jason Roth, Partner, Bennett Jones, LLP Ashley White, Partner, Bennett Jones LLP Luke Morrisson, Partner, Bennett Jones LLP The Building as a Theraputic Tool: Creating a Children’s Treatment Centre Presented by: Robert Hofmann, Principal, Hofmann PM, Inc.

OUR SPONSORS

Panel Discussion: ICMS Update on Publication of the Third Edition Roy Howes, Director of Estimating, Fluor Canada Ltd. Alan Muse, Global Director, RICS Anil Sawhey, Director of Infrastructure Sector, RICS Life Cycle Costing and ICMS2 Presented by: Angela Lai, Managing Partner, CoreTwo Progressing Quantity Surveying into a Data Analytical World Presented by: Joshua Ikubor, Senior Consultant, Turner & Townsend Commercial Risk Management: From Tender to Claims Presented by: Niamh Ni Chrionin, Associate Director, HKA

22 | CONSTRUCTION ECONOMIST | www.ciqs.org | Fall 2021

To return to Table of Contents CLICK HERE

A REFRESHER ON

WHAT THE 2021 ELECTION PLATFORMS MEAN FOR CIQS ADVOCACY

T

his edition of Construction Economist will be published a few weeks after the September 20 federal election.

By then we will know the outcome and CIQS postelection advocacy will be under way. At the time of writing this article for this season’s Construction Economist however, we are just over the half-way point in the campaign, with the two-week home stretch to go. Even at this point in the campaign, it is clear that this election has demonstrated yet again that campaigns matter and a lot can happen in a few weeks in Canadian politics. At this stage in the campaign, current polling indicates a high likelihood of another minority Parliament. This means that regardless of which party is seated on the left-hand side of the House of Commons as the government after September 20, the policy positions of the opposition parties on some of the key issues will continue to be critical to secure the passage of new legislation, spending, and programs.

In light of that, this article provides a high-level refresher on each of the major party’s infrastructure promises.1 Looking across this overview and identifying areas of convergence among party platforms will be critical in building consensus across the aisle in future CIQS advocacy. With CIQS advocacy always aimed at serving our members and advancing initiatives that deliver benefits to the construction sector, this refresher on what parties offered in their platforms in this past election will be instructive well beyond September 20.

LIBERAL PARTY OF CANADA Overall, the Liberals’ platform includes $13 billion in promised new spending this fiscal year and a total of more than $78 billion over the next five years. The platform is divided into six key categories: the pandemic, housing, healthcare, the economy, climate change, and reconciliation.

For CIQS members and the construction sector, some of the key promises included: • Introducing a new Labour Mobility Tax Credit to allow workers in the building and construction trades to deduct up to $4,000 in eligible travel and temporary relocation expenses giving them a tax credit of up to $600 a year.

• Strengthening federal procurement practices to prioritize reusable and recyclable products and providing support and incentives for domestic procurement of Canadian clean technology.

CLICK HERE to return to Table of Contents

• Creating an open-access climate toolkit to help infrastructure owners and investors develop projects, and developing a climate data strategy to inform infrastructure investments. The Liberals also committed to launching a National Net-zero Emissions Building Strategy, which will chart a path to net-zero emissions from buildings by 2050.

CONSERVATIVE PARTY OF CANADA The Conservative Party of Canda released their full platform within the first few days of the campaign. Some of the key promises from the Conservatives include the creation of one million new jobs and to balance the budget in 10 years. At the time of writing, the Conservative platform had not yet been fully costed.

A few of the Conservatives’ key platform points for CIQS members included: • Scrapping the Canada Infrastructure Bank and committing the money sitting unused on its books to infrastructure projects that can strengthen the economy.

• Reprioritizing the Investing in Canada Plan towards infrastructure projects that would have the maximum benefit for economic recovery.

• Creating requirements that equipment and materials for federally funded infrastructure projects be purchased from Canadian companies or those from countries with which Canada has agreed to mutually allow our workers to supply each other’s infrastructure projects.

NEW DEMOCRATIC PARTY OF CANADA The election platform from the New Democratic Party maintains the focus from the 2019 election on taxing wealthy Canadians in order to pay for large scale programs like affordable housing and childcare. Other commitments in their plan from this year include paid universal pharma care and dental care, student debt cancellation, and rapid emissions reduction fuelled by green jobs.

For CIQS members and the sector, some noteworthy points included: • Supporting transit by permanently doubling the Canada Community-Building Fund and developing a public inter-city bus program.

Fall 2021 | www.ciqs.org | CONSTRUCTION ECONOMIST | 23

• Modernizing and expanding public transit within and between communities across Canada, and ensuring that federal transit funding flows with an emphasis on scaling up low carbon transit projects like zero-emissions buses and electric trains with the goal of electrifying transit and other municipal fleet by 2030.

• Working with provinces to put in place a new deal for rural infrastructure programs that provide long-term predictable funding for communities and increasing the funding available for adapting to climate change and rebuilding when disasters happen.

BLOC QUÉBÉCOIS Finally, the Bloc Québécois’ platform on infrastructure states that investments from the federal government are the source of delay for various municipal construction projects. For this reason, the Bloc’s primary infrastructure platform point focuses on advocating for unconditional funding transfers for infrastructure, stating that Quebec will know how to prioritize its own projects according to its own priorities.

During this election campaign, the CIQS also launched a new microsite, www.count-on-us.org, to centralize election information for members and provide a digital advocacy tool to enable members to write to their local candidates.

Detailed summaries of each party platform will remain live on the site following the election.

Overall, no matter which party is in government after September 20 it is clear that green infrastructure, housing, transit, and economic recovery will be among the core infrastructure themes in the 44th Parliament. The CIQS looks forward working with all Members of Parliament to advancing our members’ priorities and issues this fall.

1 At the time of writing, there were insufficient platform details from the Green Party of Canada to provide a summary.

About the author As the Manager of Government Policy at Impact Public Affairs, Brianna Workman works with a variety of associations in Canada’s construction sector.

This includes working with the Canadian Institute of Quantity Surveyors, advocating that the federal government accelerate infrastructure investments and implement broad involvement of quantity surveyors in infrastructure projects.

Stimulus + Compliance = Building for Success As money starts to flow into shovel-worthy projects, Osler’s Chambers Band 1 Construction Group has the industry expertise and legal insight to help you identify opportunities and manage risks — so you can be sure you’re always on solid ground.

Contact Richard Wong at rwong@osler.com Visit our blog osler.com/constructionblog Osler, Hoskin & Harcourt llp osler.com

24 | CONSTRUCTION ECONOMIST | www.ciqs.org | Fall 2021

To return to Table of Contents CLICK HERE

Canadian construction –

Indicators of growth, composition, and changes* *Based on available data from Statistics Canada on September 10, 2021, as follows: 1. Growth in Construction Industry Gross Domestic Product (GDP), as at June 2021: Statistics Canada.

Table 36-10-0434-01 Gross Domestic Product (GDP) at basic prices, by industry, monthly (x 1,000,000) 2. Composition & Changes in Investment in Building Construction, as at July 2021: Statistics Canada. Table 34-10-0175-01 Investment in Building Construction 3. Building Construction Price Indexes Across Metropolises, as at Q2 2021: Statistics Canada. Table 18-10-0135-01 Building construction price indexes, by type of building 4. Composition of Starts in Housing (Residential Sector), as at Q2 2021:Statistics Canada. Table 34-10-0135-01 Canada Mortgage and Housing Corporation, housing starts, under construction and completions, all areas, quarterly 5. Composition of Construction Employment & Labour Force, as at August 2021: Statistics Canada. Table 14-10-0022-01 Labour force characteristics by industry, monthly, unadjusted for seasonality (x 1,000) 6. Changes in Construction Unemployment Rate, as at August 2021: Statistics Canada. Table 14-10-0022-01 Labour force characteristics by industry, monthly, unadjusted for seasonality (x 1,000) CLICK HERE to return to Table of Contents

1. Growth in Construction Industry Gross Domestic Product (GDP)

2. Composition & Changes in Investment in Building Construction

3. Building Construction Price Indexes Across Metropolises

4. Composition of Starts in Housing (Residential Sector)

5. Composition of Construction Employment & Labour Force

6. Changes in Construction Unemployment Rate

Compiled by: Ajibola Soboyejo, MRICS, PQS Consultant, Altus Group Ajibola is a professional quantity surveyor specializing in project estimation, BIM estimating, cost planning, and project cost management. Ajibola possesses both Master’s and Bachelor’s degrees in Quantity Surveying and has worked on many projects since arriving in Canada in 2019. Ajibola was appointed as assistant to Editor of Construction Economist in 2021.

Udayan Chatterjee, PMP, Senior Contracts & Commercial Specialist Lakeland Consulting Inc.Udayan is a commercial and project management professional with expertise in project cost estimation and management, schedule management, claims management and contract administration.

He holds a Bachelor's degree in Electrical Engineering and has worked on various complex engineering/construction projects across Canada and India.

Fall 2021 | www.ciqs.org | CONSTRUCTION ECONOMIST | 25

Project profile:

Nauticol Grande Prairie Methanol Plant

I

n times when our energy producers are under increasing pressure to invest in alternative methods and reduce their carbon footprints, it is important that the companies and personnel who lead the industry show initiative in ensuring the sector remains engaged in environmental responsibility.

Over the last number of years, we have seen a shift by many major players in the industry, (or even new companies be created), to dedicate themselves to alternative methods of energy production.

With that in mind, planning is underway in Alberta for a massive facility that will produce the world’s first net-zero blue methanol in the coming years.

Founded by a group of industry leaders and investors in 2016, Nauticol Energy is a Calgary-based company that, since its inception, has been planning the facility. Originally tabled publicly in 2018, a decision to proceed followed in 2019. The organization announced in early 2021 that it was working on some redesign to align with Alberta’s goal of reducing carbon emissions. This meant a revised plan to sequester carbon and produce Blue Methanol, which is methanol produced while capturing carbon and eliminating C02 emissions.

With the change in process, Nauticol and its partners are working through final planning and design stages, with an anticipated schedule that would see construction begin in 2022, and completion in 2025.

Methanol is used worldwide and is especially significant for Asian industrial markets. Uses include transportation and heating fuel. It is also a key component in the manufacturing of adhesives, antifreeze, washer fluid, foam, plastics,

Source: www.nauticolenergy.com/operations/methanol

Source: www.nauticolenergy.com/operations/grande-prairie

flooring, and countless other products. To leverage access to the Asian market, Nauticol has partnered with Fortrec to create a Singapore based distribution hub, which gives the partners strong access to overseas markets and a base at the world’s largest marine fueling terminal.

The plant is situated within a natural gas and liquid hydrocarbon formation called Montney which stretches from straight west of Edmonton, then northwest to nearly

26 | CONSTRUCTION ECONOMIST | www.ciqs.org | Fall 2021

Fort Nelson, BC, with Grande Prairie situated in the middle. This formation is a large part of the plant’s location as Montney is expected to produce over 50% of Canada’s natural gas within the next 20 years, which means a large supply at a relatively low cost. To get to market, trains will travel south from the site, avoid travelling through the city of Grande Prairie and will use a CN rail line directly to Prince Rupert Port where it will be loaded and taken by ship to Singapore.

To return to Table of Contents CLICK HERE

To produce net-zero blue methanol, the company will use carbon capture and storage (CCS). This requires the capturing and compressing of the C02 waste produced during processing. The waste must then be injected deep into geological formations to be permanently and safely stored. This means that although natural gas is being used to produce the methanol, it will not expel any emissions. To do this, Nauticol’s new plant will capture and compress the waste at the site. The next steps are to transport, inject, and store the C02. Part of Natuicol’s re-planning included the announcement of another partnership, this one with Enhance Energy Inc. (EEI), which is responsible for the construction and operation of the sequestration system, off-site.

By the numbers, the plant will operate two, parallel, 1.7 million tonne per year trains to process 300 million cubic feet of natural gas, daily. This will produce roughly 3.4 million tonnes per year of blue methanol, which has increased from the original plan of three million tonnes produced annually. As a result of their CCS plan, Nauticol will capture and store up to one million tonnes of C02 annually that would otherwise be released into the atmosphere. When the company announced the shift in planning, it noted that, although there are costs associated with adding the process and equipment to capture and sequester the carbon, the project remains viable and the cost per unit remains similar.

A project of this size comes with a significant local and national economic impact. In the short term, planned at

Source: www.nauticolenergy.com/innovation/smart-engineering

roughly $2.6 billion, it is projected to create thousands of construction jobs and significant investment in Grand Prairie. Longer term, roughly 200 permanent operational positions are expected as well as the revenue added to the GDP. Although hard to quantify, there are always spin-off projects and jobs, including local infrastructure for access, expansion of EEI’s workforce, and other support services in Grande Prairie.

As the second petrochemical plant to be built in Alberta, this facility is an important step for Alberta’s energy sector and for Canadian industry. It is new investment in petrochemicals in Alberta, using new technology, and strengthens Canada’s position on the world’s energy stage as the first to produce net-zero blue methanol, all while doing so at a plant that uses renewable electricity. Global demand for methanol is over 100 million tonnes annually and continuing to grow.

This undertaking provides a promising outlook for the future of Canadian energy and petrochemicals; hopefully with more to come.

About the author Carl Pedersen, B. Tech (CM), PQS, GSC is an Estimator for Bird Construction in Manitoba.

With a background in handson construction work through a broad range of residential and ICI experience, he now has a primary focus on design-build industrial and light industrial project planning, development and cost management.

Carl has also served in various roles on the CIQS Prairies & NWT Chapter including Chair, Vice Chair, Secretary and Winnipeg Chapter Representative. Carl is also an Assistant to the Editor for Construction Economist.

“Methanol is used worldwide and is especially significant for Asian industrial markets. Uses include transportation and heating fuel. It is also a key component in the manufacturing of adhesives, anti-freeze, washer fluid, foam, plastics, flooring, and countless other products.”

CLICK HERE to return to Table of Contents

Fall 2021 | www.ciqs.org | CONSTRUCTION ECONOMIST | 27

QSM

MECHANICAL AND ELECTRICAL COST CONSULTING

To reach construction and quantity surveying professionals through Construction Economist and its targeted readership, contact Jeff at your earliest convenience to discuss your company’s promotional plans.

Dennis M. Smith PQS dennis@qsmconstructors.ca www.qsmconstructors.ca

CELL OFFICE

416-949-8540 905-649-8540

Let QSM bring its experience to your next project!

Jeff Kutny, Marketing Manager jeff@kelman.ca | 866-985-9789

QUANTITY SURVEYORS, ESTIMATORS, PLANNERS A leading Cost Consulting and Project Management firm requires the following candidates for its Montreal and Ottawa offices: Junior, intermediate and senior level Q.S.’s, Estimators and Planners with experience on: • Commercial and institutional projects • Industrial projects (oil/gas, refineries, mining, metallurgical).

We offer competitive salaries, benefits, training and potential for growth. Relocation assistance will be provided.

We sincerely thank all applicants, but only those candidates which meet our requirements will be contacted.

Please send resume in strictest confidence to: LCO - Construction and Management Consultants Inc. Fax: 514-846-8913 | Phone: 514-846-8914 | E-Mail: MONTREAL@LCOGROUP.COM

28 | CONSTRUCTION ECONOMIST | www.ciqs.org | Fall 2021

To return to Table of Contents CLICK HERE

CIQ S HONOR ARY

Life Award

T

he purpose of the Honorary Life Member Award reflects the philosophy and recognizes Professional Quantity Surveyors (PQS) or Construction Estimators Certified (CEC) who have provided outstanding service of long duration to the profession and the Institute.

Their peers must recognize the individual as having contributed to the profession and the Institute through outstanding service. This significant contribution must be demonstrated over at least twenty years of CIQS membership and service to the profession and to the Institute at a local and/or national level.

Ian Duncan, PQS(F) and Harland Lindsay, PQS(F) continue to promote the quantity surveying profession, demonstrate leadership which serves to motivate others to become involved in professional activities and involve themselves in raising the profile of the Canadian Institute of Quantity Surveyors.

Ian Duncan, PQS(F) Ian has been a member of CIQS since 2000 and earned his PQS designation in 2002. He has volunteered and provided leadership for at least 17 years on various committees and boards at the local, provincial, national and international levels. Ian served as President of the former GTA Chapter, President of the former Ontario Affiliate, and President of CIQS. Internationally, Ian also served as President of the Pacific Association of Quantity Surveyors (PAQS). Ian vigorously engages professionals to volunteer for the benefit of the CIQS and has been a mentor to many leaders who have been key contributors to the success of the CIQS. Ian received the CIQS Gordon Pattison Award of Merit in 2008 and Fellowship in 2010.

CLICK HERE to return to Table of Contents

Ian has and still displays exemplary and dedicated service to the CIQS. He is currently a member of the CIQS Education Committee, contributing to the development of the interview criteria and candidate evaluation form; review and revisions of the Route 12 policy; accreditation reports for programs offered at various colleges; and acting as lead for the accreditation sub-committee. Ian is also an interviewer for Part D in the TPE process and is the CIQS Membership Assessor.

Harland Lindsay, PQS(F) Harland was the 13th President of the Canadian Institute of Quantity Surveyors from 1977 to 1981 having served in that position with remarkable professionalism, honesty, and with the highest integrity. When Harland was CIQS President, he always started the CIQS Board meetings by writing on a flip chart “For the good of the Institute” to remind fellow Directors of why they were there – a practice still used decades later.

In 1982, he was elected to Fellowship and received the Gordon Pattison Award of Merit in recognition for his achievements and for outstanding service to the Institute.

In addition, Harland served on the CIQS 25th Anniversary Committee in 1984.

He also assisted in the production of various publications which includes authoring a portion of Canadian Building Law. Harland has continued to volunteer his time over the past many years as the proof-reader for Construction Economist. Harland dedicates countless hours to the review of all articles for all four issues of the journal each year.

Congratulations to Ian and Harland on this honour! Their dedication and devotion to CIQS and the profession is greatly appreciated by all of us.

Fall 2021 | www.ciqs.org | CONSTRUCTION ECONOMIST | 29

ADVERTISER PRODUCT & SERVICE CENTER Construction Economist is made possible by the companies below who convey their important messages on our pages. We thank them for their support of the Canadian Institute of Quantity Surveyors and its publication and encourage you to contact them when making your purchasing decisions. To make it easier to contact these companies, we have included the page number of their advertisement, their phone number, and, where applicable, their website.

Company

Page

Phone #

Website

Altus Group

32

416-641-9703

www.altusgroup.com

Butterfield Development Consultants

2

604-688-4262

www.bdconsultants.com

CB Ross Partners

16

416-487-3330

www.cbross.ca

ConEcon Consultants

14

604-522-8970

www.conecon.ca

Envista Forensics

24

416-268-9677

www.envistaforensics.com/services/ construction-consulting

George Brown College

31

800-265-2002

www.coned.georgebrown.ca

LCO Construction and Management

28

514-846-8914

www.lcogroup.com

Osler, Hoskin & Harcourt LLP

24

416-362-2111 (Toronto Office)

Pelican Woodcliff Inc.

5

905-889-9996

www.pelicanwoodcliff.com

QS Online Cost Consultants Inc.

30

902-405-1504

www.qsonlinecostconsultants.com

QSM – Mechanical Quantity Surveying

28

416-949-8540

www.qsmcon.ca

Rider Levett Bucknall

7

905-827-8218

www.rlb.com

www.osler.com

Please support these advertisers who help make Construction Economist possible.

QS Online Cost Consultants Inc. Halifax, Nova Scotia p. 902 405-1504 halifax@qsonlinecostconsultants.com www.qsonlinecostconsultants.com

30 | CONSTRUCTION ECONOMIST | www.ciqs.org | Fall 2021

Construction Economist is also available in electronic format. Please visit the CIQS website www.ciqs.org and press the “News” tab.

To return to Table of Contents CLICK HERE

TRAINING THAT DELIVERS CONCRETE RESULTS Continuing Education at George Brown College Discover our courses and programs in construction, estimating, quantity surveying and Ontario’s Building Code. Taught by industry professionals using the latest tools and standards, our courses provide you with the skills to succeed. Develop your knowledge with our series of Canadian Institute of Quantity Surveyors (CIQS) accredited courses.

Expand your career potential by completing a program and achieving a credential from George Brown College. Learn from home with our online courses.

Education That Fits You With online classes starting throughout the year, we make it simple to fit learning into your schedule. Select individual courses best suited to your interests, or register for those courses that make up a certificate or designation requirement.

You can work toward a program at your own pace – you register (and pay) on a course-bycourse basis.

Programs Building Officials Fundamentals Program Construction Estimating Program Construction Project Management Program Construction Superintendent Program Electrical Estimating Program Mechanical Estimating Program We also offer Canadian Construction Association (CCA) Gold Seal credit courses that you can apply towards your Gold Seal Certified (GSC) designation.

coned.georgebrown.ca/construction Register now!

For more information, contact us at cetechnology@georgebrown.ca.

See your real estate world with clarity, perspective and value-added insight Powered by market-leading software and data analytics, our team of 180+ Cost & project management professionals across Canada advise developers and owners to make timely, confident decisions at every phase of the development and infrastructure lifecycle.

Learn more and connect with us by visiting altusgroup.com/cost-consulting