Building Business December 2021

THE LATEST NEWS FROM YOUR BUILDING SUPPLIES SPECIALIST

Red-tape-busting law is epic news for building industry 06

Codewords: Futureproofing buildings is good for all 13

ISSUE 100

Calculating the cost of building materials 27

We've cracked the tonne! 100 issues of Building Business 30

Highlights

Government introduces Code of Ethics for LBPs 03

D 20 EC 21

22 R 20PLANENDE

LL OS WA NCL E

BEHAVE PROFESSIONALLY

TAKE RESPONSIBILITY FOR YOUR ACTIONS

SALE NOW ON 1-21 DECEMBER

WORK SAFELY

ACT WITHIN THE LAW

MBIE

CODEWORDS

03 – 04

19 – 20

Code of Ethics for LBPs.

Part 4: The history of the LBP Scheme. Codewords quiz.

MBIE

PAINT PROMOTION

04

22

Latest on the Building System law reforms.

Dulux 1-Step Prep and Weathershield.

INDUSTRY NEWS

CODEWORDS

06 – 07

23

Red-tape-busting law is epic news for building industry.

Decision of the Building Practitioners Board.

PRODUCT KNOWLEDGE

PRODUCT KNOWLEDGE

08

24

Expol's engineered drainage and irrigation solutions.

Adhesive fixing in a Fire Rated System.

BUSINESS ADVICE

FIRE SAFETY

09 – 10

25

Is business planning worth it in these crazy times?

Getting passive fire protection right.

VACUUMS PROMOTION

BUSINESS ADVICE

10

27 – 28

Nilfisk wet & dry vacuums.

How to calculate the cost of building materials.

CODEWORDS

TECHNOLOGY

13 – 14

29

Future-proofing buildings is good for all. Codewords quiz.

Bricks that store power just like a battery.

NEW PRODUCT

ITM NEWS

15

30 – 31

IBuilt MultiStrut joist.

We’ve cracked the tonne!

POWER TOOLS PROMOTION

POWER TOOLS PROMOTION

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ITM GIVEAWAY

ITM WIDE BRIM HAT

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Building Business contributes towards your LBP skills maintenance requirement.

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Building Business is a bi-monthly magazine produced by ITM Support Office. For feedback or address updates contact: ITM Support Office, PO Box 101556, North Shore, Auckland. Email: buildingbusiness@itm.co.nz Ph: 09 415 2787

ISSUE 100: DECEMBER 2021

In this issue

On 26 October 2021, a Code of Ethics was introduced by Government for Licensed Building Practitioners (LBPs). There will be a one-year transition period before it becomes enforceable.

BEHAVE PROFESSIONALLY

TAKE RESPONSIBILITY FOR YOUR ACTIONS

The Code of Ethics will ensure high standards are maintained in the industry, while giving the public more confidence that Licensed Building Practitioners are reputable and operate ethically. The majority of Licensed Building Practitioners already meet these standards, but the Code of Ethics will hold those who do not to account.

From 26 October 2022, the Code of Ethics becomes enforceable by the Building Practitioners Board.

This provides Licensed Building Practitioners a year to understand their obligations. MBIE has developed guidance that includes explanations and practical examples of how the Code of Ethics can be applied.

Additional resources will become available over the next year.

Summary of the Code of Ethics

1. Work safely

• Take responsibility for health and safety

WORK SAFELY

ACT WITHIN THE LAW

• Report unsafe behaviour by others on a building site • Avoid harming the environment.

2. Act within the law

• Comply with the law • Report breaches of the law.

3. Take responsibility for your actions

• Know what building work you are allowed to do • Explain risks to your client • Inform and educate your client • Be accountable for building work carried out by you, or someone under your supervision • Advise clients of any delays as soon as they become apparent • Act in your client’s interests • Generally, you should follow your client’s

instructions, unless the instructions are dangerous, are contrary to contracts or consents, or would mean you would not be acting within the law.

CONTINUE >>

The Code of Ethics is made up of nineteen standards, sitting under the following four key principles:

MBIE

Government introduces Code of Ethics for LBPs

03

04 4. Behave professionally

MBIE

• Behave professionally • Act in good faith during dispute resolutions • Price work fairly and reasonably • Declare and manage actual or potential conflicts of interest appropriately • Maintain confidentiality of client details unless there is good reason for sharing information • Acknowledge and respect the cultural norms and values of your clients and colleagues • Conduct your business in a methodical and responsible manner.

Code of Ethics guidance This guidance document helps to navigate the Code of Ethics by providing more detailed explanations and practical examples of how a Licensed Building Practitioner's behaviour aligns with their obligations.

To download a copy of the guide, go to: www.lbp.govt.nz/for-lbps/code-of-ethics

What the law says To understand what the law says, see: www.legislation.govt.nz/regulation/public/2021/0335/ latest/LMS573729.html

More resources to come MBIE will develop additional educational resources to help ensure everyone understands what they will need to do.

What happens if the Code of Ethics are breached?

If Licensed Building Practitioners do not comply with their obligations, a complaint can be made against them which may result in disciplinary action by the Building Practitioners Board. Details on these grounds and a complaint form can be found under Complaints & past decisions. www.lbp.govt.nz/complaints-and-past-decisions/ dispute-resolution-options/ The Code of Ethics is not enforceable by the Building Practitioners Board until 26 October 2022. This means that complaints about someone breaching the Code of Ethics can only be made if the breach took place from 26 October 2022.

CODE OF ETHICS

GUIDELINES FOR LICENSED BUILDING PRACTITIONERS

Latest on the Building System law reforms The building law reforms are a programme of work to lift performance of the regulatory system and drive better outcomes for the sector and New Zealanders.

A high performing building and construction industry is crucial to New Zealand's economy and vital for delivering safe, healthy and durable buildings for everyone.

On 1 November 2021, Cabinet agreed to the policy proposals that MBIE developed for the Building (Building Products and Methods, Modular Components, and Other Matters) Amendment Act (2021/21).

These changes support greater opportunities for innovation and economies of scale, and improve trust and confidence in the building sector. With these changes, the aim is to:

• Introduce minimum information requirements about building products to support better and more efficient decision-making

• Introduce a specialist framework for modern

methods of construction such as offsite manufacturing and prefabrication, and speed up the consenting process

• Strengthen the product certification framework (CodeMark) to improve trust and confidence in the scheme.

This decision now means that regulations can begin development, and these are expected to be approved by mid-2022.. For more information, visit www.building.govt.nz/getting-started/building-lawreforms/

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INDUSTRY NEWS

Red-tape-busting law is epic news for building industry Right at a time when there’s more work in the pipeline than you could ever shake a stick at, suddenly the floodgates burst. The Housing Supply Bill may be a boring title, but it represents the most significant initiative that’s occurred in the NZ residential building industry in decades.

Announced in October jointly by Labour and National, the Bill aims to help solve our critical housing crisis and put an end to the constant boom-bust cycle that has plagued New Zealand’s building industry since forever.

Freedom to build The Bill includes new medium density residential standards in Tier 1 cities (Auckland, Hamilton, Tauranga, Wellington and Christchurch) that will enable landowners to build up to three homes of up to three storeys on most sites (up to 50% maximum coverage of the site), without the need for resource consent.

Currently, the district plans typically only allow for one home of up to two storeys on a site. The new Bill effectively slashes the red tape, associated costs, delays and uncertainty of resource consent applications, making new builds (and renovations) faster and easier to achieve in large urban environments.

Saving up to $50,000 New Zealand has been in the midst of a housing crisis for many years, with our largest cities having some of the least affordable property markets in the world.

Planning law has been criticised for being a big part of the problem, slowing down housing development and adding significant costs because of unwieldy resource consent requirements.

Councils can reject resource consent for a multitude of reasons, can demand changes to building plans, require written consent from neighbours, and ask for the consent to be publicly notified if they believe it will affect the wider community.

Under current rules, the resource consent process can quickly add up to $50,000 and months of delay, with no guarantee of approval. The new law will come into effect in August 2022.

07 A clear signal

“It is not going to lead to the building of any more houses in the next nine months, though, as the construction industry is operating at capacity.

“Instead, it ensures the level of building activity remains strong over time, and it addresses concerns over the future of the industry after the current boom. It’s a clear signal the Government wants to avoid the boom and bust building cycles of the past.”

More choice The new medium-density standards will allow for a wider range of house types, according to a spokesperson for the Ministry of Housing and Urban Development (HUD).

That means granny flats and/or tiny homes on the back of sections; the addition of two townhouses/ units to a section that already has an existing house; or three new builds; or a three-storey building split into three dwellings.

The Ministry says it’s likely that people will add another storey to the top of their house, or extend and renovate it in other ways. The new standards also enable people to build larger and higher buildings than under current plans.

Councils blindsided While the building industry may welcome the change, others have expressed concern. Councils were apparently not consulted about the new Bill before the announcement and have been quick to air their views.

Wellington Mayor Andy Foster said he found the whole thing “frustrating” while Auckland’s planning council chairman Chris Darby was “infuriated they have embarked on this.”

Auckland Transport principal planner Chris Freke wrote “goodbye Auckland villas and bungalows”, complaining it was all “coarse central control.”

The new law will generate a sense of horror for NIMBYs (Not In My Backyard) in prime suburbs, but it appears there will be little room to appeal.

“If you’ve got a neighbour (developer or otherwise) who was previously turned down for their plans to squeeze three houses onto their section, they will be able to go ahead with that now,” said the HUD spokesperson.

Massive NZ Super Fund backs housing development A new land development company established

by Tauranga-based Classic Group and the $58 billion NZ Super Fund aims to use its scale and capital to increase housing supply in New Zealand.

Kaha Ake (Stronger Together) plans to develop and market a range of sites across New Zealand.

The first development will be in Warkworth, North Auckland, delivering more than 500 lots.

Over the coming years, the partnership expects to achieve a development pipeline of upwards of 3,000 sites for new homes.

The Classic Group has 25 year's experience in the property sector and includes Classic Developments (a land development company) and Classic Builders (one of New Zealand’s largest residential builders).

Its projects include a joint venture partnership with Western Bay of Plenty District Council to deliver affordable housing in Omokoroa, a 13.8 hectare joint venture project in Papamoa, 120 hectares of future development in Tauriko, a 72 lot subdivision in Queenstown, Edgewater Apartments in Hobsonville, a 650 lot subdivision at Ramarama (Hunua Views) in Auckland, as well as having worked with Kainga Ora on KiwiBuild developments in Tauranga and Christchurch.

For the full story, go to: www.nzsuperfund.nz/ news-and-media/classic-group-partners-withnz-super-fund-to-tackle-housing-shortage/

Plans for 10,000 new long-term rentals NZ Living and Simplicity plan to build 10,000 new rental homes worth about $5 billion in the next decade. NZ Living is the biggest supplier of quality homes to Kāinga Ora. The owners, Anna and Shane Brealey, want to dedicate the next part of their lives to providing high quality, affordable homes for New Zealanders to rent long term.

The first homes built will be 1-3 bedroom apartments and 3-4 bedroom townhouses.

Firstly in Auckland, for the first three years, then Tauranga and Wellington. The homes will be built to last 100+ years and to a Homestar 6 standard. Construction started in November, and the first apartments and townhouses will be completed in early 2023.

For more information, visit: www.simplicity.kiwi/learn/updates

INDUSTRY NEWS

The fact that it was a bi-partisan announcement from both major political parties means there will be “an ongoing, long-term focus on housing supply acceleration from the Government,” says Infometrics senior economist Brad Olsen.

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"Everyone has a plan… until they get punched in the face" – Mike Tyson

As a business advisor, it may seem strange that I should even ask that question at all. Don't all advisors/mentors/coaches stress the need to have a business plan and say things like, "failing to plan is planning to fail"?

Over the past two years, the business world has been turned on its head. No one could have predicted that we would spend extended periods in lockdown, our business and personal lives would be so disrupted and that it would last for so long. Supply lines have been majorly affected and zero migration means skilled labour is in short supply. In this type of environment, putting a business plan together seems in many ways like a waste of time. When I look at some of the traditional planning models used, I tend to agree.

The planning process What is of real value is the planning PROCESS involved in putting a business plan together. It's all about the journey, rather than the destination, in my opinion. Also, how the plan is IMPLEMENTED and used to guide daily actions. I encourage business owners to take some time (not 500 hours, however) and examine where their business is at, what went right and wrong over the past 12 months (a SWOT analysis can help here – strengths, weaknesses, opportunities & threats), consider the wider business environment, set some realistic goals for the next 6-12 months and think about the strategies, budget and tactics that will be required to achieve those goals. Then regularly review progress towards their goals using a combination of monthly reporting and quarterly themes that aligns people's daily activities.

The output from this process need not be a 50-page document that is placed on a shelf to gather dust, but a summary on a couple of pages that remains a living, working document, referred to constantly.

The plan must be a nimble document that can be changed to reflect the current situation and provide

CONTINUE >>

In my opinion, it comes down to the type of business plan produced and the length of time taken to create it. Many business plans are a waste of time because they are too long, too ‘corporate’, don't motivate staff and are not connected to day-to-day operations. I read an article recently on writing a business plan, and it said that a business plan should take between 400 and 500 hours to produce. ARE YOU KIDDING?! Who in the small business ownership world has a spare 500 hours to create a business plan? And probably one that no one will look at again for another year, if ever! That would be a colossal waste of time.

09 BUSINESS ADVICE

Is business planning worth it in these crazy times?

10 BUSINESS ADVICE

a framework and target for people to be united in a common goal.

Just like Mike Tyson said, "everyone has a plan… until they get punched in the face". You need to be able to duck and weave as conditions change. Not many people could have predicted how dramatically the world has changed over the past two years, and I think any plan developed at the start of 2020 is now redundant. You need to develop a NEW plan for 2022 and to take you through the next two to three years. And you need to do this promptly.

andy@tradescoach.co.nz and I will send it to you.

The one-page plan from Taki Moore is simply an A4 sheet of paper divided into four quadrants, covering different planning time horizons. I can help you with what to include in each quadrant and how to drive your weekly actions using this plan.

Putting a business plan together is NOT a waste of time, but you want to use the right type of plan that suits your business and, most importantly, review it regularly.

Contact me today to review your planning process and discuss how to enhance it. andy@tradescoach.co.nz www.tradescoach.co.nz

Business plan templates There are a million planning templates out there that you can use to base your planning process off.

Most, unfortunately, focus on the end document and tend to result in a long and dusty plan that fails to inspire. Two models that I have successfully used with several businesses in the past are the two-page plan developed by Gino Wickman in his book 'Traction', and an even more straightforward one-page plan that Taki Moore (a coach who helped me) recommended.

It takes a bit of time and effort to develop the vision and foundation parts, but once you have done that, you can quickly update it weekly and quarterly to provide a short but clear path to guide your business.

If you would like a copy of the two-page plan template from Gino Wickman, email me at

by Andy Burrows Business Advisor, Mentor and Coach

K100

Andy specialises in working with the owners of construction-related businesses to build systems and profitability into their operations.

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About 24 percent of our population identify as disabled – that’s roughly 1 million people in New Zealand. But despite this, around 130,000 disabled people live in homes that don’t fully meet their needs.

That figure of 24 percent is likely to increase as our population ages. However, so much of our built environment excludes disabled people because of its design. This means many disabled people can not live in houses that are suitable to their needs or access buildings in the way non-disabled people can – routinely and easily.

As the Disability Rights Commissioner, my role is to protect and promote the rights of disabled people.

Those rights are set out in the NZ Bill of Rights Act and the Human Rights Act. This country is also a signatory to the United Nations Convention on the Rights of People with Disabilities, and these elements combined bring a collective responsibility.

A study by Lifemark® (a division of CCS Disability Action) looked at applying universal design principles (UD) in new homes. It found that three key features of accessibility – level pathways and entrances, an easily accessible bathroom on the ground floor, and wide doorways – were found in just five percent of new homes, while only two percent of new homes would comply with Lifemark’s® higher standards of accessibility. The study also found that one in six people need modifications to their homes.

The benefits of universal design

CODEWORDS

Future-proofing buildings is good for all

13

Universal design (UD) solutions future-proof buildings for the modern world so anyone can use them – and no one is excluded. UD principles marry uberfunctionality with aesthetics. Homes built to these principles can easily be visually attractive, functional and practical. UD structures work for all of us at any stage or age. From a disability rights perspective, UD is truly fundamental to building an inclusive society.

Leading building practitioners and designers may be in a challenging position because, even though they may see the functional and aesthetic benefits of UD, clients may be reluctant or unable to extrapolate the longer-term benefits and assume considerable additional costs. From a societal perspective, this view is short-sighted because UD is all about making structures work for most people, including disabled people.

UD costs less in new builds According to building research body BRANZ, it’s more expensive to retrofit a structure than build it from scratch using UD principles. Its research found the cost of incorporating essential UD features into a new house (150-200m2) was just $1,700 compared to $14,000 for a retrofit. In most cases, the extra cost of incorporating UD solutions is about 0.5 percent of the total build cost.

BRANZ also endorses UD because it's concepts and solutions make sense, as buildings designed with these principles are more attractive to a broader group of buyers.

CONTINUE >>

To create your own calculations and estimate how much it will cost to add universal design features during a new build or retrofit, go to: www.branz.co.nz/UDcalculator

14 Councils show that it can be done

There are some excellent examples of local government leading on UD initiatives. The Thames Coromandel District Council has incentivised new builds using UD solutions. Its modelling showed the district’s population was aging, and it was more costeffective for builders to get it right the first time than retrofit homes to suit its aging population.

Hamilton City Council incentivises developers to achieve Lifemark® certification in residential developments in the central city, while Palmerston North City Council’s Lifemark® 4 star Papaioea Place project will have 76 new homes. Hauraki District Council has incentivised UD to recognise we need to design homes that cater to the needs of the elderly and disabled people in our communities.

Our society is undergoing relatively rapid social and cultural change. The building industry could grasp this opportunity to promote UD as mainstream.

There is an opportunity to pivot from a one-size-fitsall approach in our built environment to creating adaptive and inclusive structures that stand the test of time. What a great legacy to leave!

Codewords Quiz 1. What is universal design (UD)?

a) Making a house as big as possible b) Making house designs generic c) Solutions that future-proof buildings for the modern world, so anyone can use them – and no one is excluded 2. According to BRANZ, what is the average cost of incorporating essential UD features into a new 200m2 house? a) $1,700 b) $34,000 c) $14,000 3. What are the advantages of designing UD into our new housing? a) The cost will be a fraction of that required to retrofit an existing house b) The house becomes more attractive to a wider group of buyers c) It creates adaptive and inclusive homes catering for the future needs of our communities d) It’s just the right thing to do e) All of the above

My aspiration as Disability Rights Commissioner is to have 100 percent UD for all government new builds and eventually for all new builds. That’s because I view this as not just about housing design; it’s about creating an accessible world with infrastructure that supports disability and diversity as a social indicator.

Housing is something we need to do better.

If you are interested in finding out more about accessible housing, you can read more at: www.hrc. co.nz/our-work/economic-and-social-rights/housing

D DESIGN

EP EXTERNAL PLASTERING

Paula Tesoriero MNZM is Aotearoa New Zealand’s Disability Rights Commissioner.

Her role is to promote, support and advocate for disabled people. Aotearoa New Zealand is SITE BRICK & BLOCK LAYING a signatory to the United Nations Convention on the Rights of People with Disabilities.

S

C CARPENTRY

D R This article is relevant to these classes:

DESIGN ROOFING

BB F

FOUNDATIONS

EP A EXTERNAL ALL PLASTERING

Answers: 1.c 2.a 3.e

CODEWORDS

The New Zealand Disability Strategy (2016 to 2026) is a roadmap to help implement the UN Convention on the Rights of People with Disabilities. The strategy aims to influence and regulate for the kind of changes I’m advocating and lays out the outcomes that local councils, planners, designers and builders can contribute to.

ADD TO LBP ACTIVITY LOG

This article is from Codewords Issue 102.

Use the ITM App to log your activity today.

15

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This fourth part of a series on the history of the Licensed Building Practitioners scheme looks at some of the critical changes implemented in the building industry and the impacts these had.

Following the release of the Hunn Report in 2002 and the introduction of the Building Act 2004, many changes were made for the good of the industry and the workers carrying out the work. While some changes were not recognised as being the result of the leaky building saga, it all added up to a longterm goal. In this article we'll look at some of those changes and the impacts they had.

A range of industry changes Face sealed cladding systems Face sealed cladding systems were removed from the Acceptable Solutions. This meant that if someone still wished to use this form of cladding, they had to prove it would keep moisture out of the building for at least the period set out in the Building Code clause B2 (Durability).

Health risks Health began to take more prominence in the ‘Health and Safety’ message. There is now a better understanding of the underlying health risks of working around mould uncovered in the framing during alterations and leaky building remediation, and the organic solvent carrier systems used to deliver the preservative compounds into the timber in LOSP treated timber.

More detail in site documents There were increased requirements for critical information to be provided in the site documents.

What used to be a five-page set of plans for a basic house suddenly became 18 pages or more! This may not seem like a good change, especially with the extra time needed at the design stage, but it took away the need for the Territorial Authority and the builder to assume what the designer intended.

CODEWORDS

Part 4: The history of the LBP scheme

19

Plain English added Explanatory notes in plain English were added to the Building Act and Code, which led to other areas.

A shining example would be Building Performance’s 230-page Building work that does not require a building consent guide that provides an easy, concise and reliable look at examples of how to correctly interpret Schedule 1 of the Building Act. Territorial authorities Territorial authorities had to identify instances where District Plan requirements influenced the planning and site coverage of multi-unit housing projects. This was a lesson from the Canadian leaky condo syndrome found a decade earlier than our leaky buildings.

The Canadian saga was covered in the Barrett Commission report released in 1998. It found that site coverage and boundary setbacks, which were measured from the closest point of the house to the boundary (normally the outside of the eaves or soffits), restricted the size of building footprints. The obvious design solution to maximise site use was to create parapet walls and therefore low mono-pitch roofs, internal gutters and a plaster system to suit the monolithic look – the ‘Mediterranean’ style house!

Clear responsibilities A clear delineation of responsibilities began with the NZ Standards 3900 series of construction contracts, which provided much of the definition of who was responsible for what. Gone were the days of ‘just doing it the way we always had’ on-site if you didn’t think the plans were correct or ‘buildable’.

CONTINUE >>

Now, the person who didn’t follow the plans was deemed to be taking ownership of any deviation from those plans. Why would a builder want to do that, especially when even their insurance policy wouldn’t cover them for it, while the designer’s insurance did cover their own building design?

20 Confidence in the industry plummets

These factors all led to an inevitable outcome and public confidence in the building industry hit new lows.

Introducing the Licensed Building Practitioners scheme

Codewords Quiz

1. What was found to be a major health risk in the repair of leaky buildings? a) The transportation of LOSP treated timber to site b) Disposing of the face-sealed cladding systems c) Moulds growing within the framing cavity 2. What was the Government’s goal for the future of the building industry?

The introduction of the Licensed Building Practitioner regime was aimed at improving the skills and knowledge of those involved in residential construction. The intention of the enabling legislation was this:

a) A more efficient and productive sector

'The Government’s goal is a more efficient and productive sector that stands behind the quality of its work; a sector with the necessary skills and capability to build it right first time and that takes pride in its work; a sector that delivers good-quality, affordable homes and buildings, and contributes to a prosperous economy; a well-informed sector that shares information and quickly identifies and corrects problems; and a sector where everyone involved in building work knows what they are accountable for and what they rely on others for.

d) Making it clearer that the buck stops with the people doing the work

We cannot make regulation more efficient without first getting accountability clear, and both depend on people having the necessary skills and knowledge.

The Building Act 2004 will be amended to make it clearer that the buck stops with the people doing the work. Builders and designers must make sure their work will meet building code requirements; building owners must make sure they get the necessary approvals and are accountable for any decisions they make, such as substituting specified products; and building consent authorities are DESIGN EXTERNAL PLASTERING accountable for checking that plans will meet building code requirements and inspecting to make sure plans are followed.'

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SITE BRICK & Further information on restricted building BLOCK LAYING work is available at www.building.govt.nz.

See the next issue of Building Business for part 5 of this series.

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ROOFING

ALL

b) A sector that delivers good-quality, affordable homes and buildings c) A sector where everyone involved knows what they’re accountable for

e) All of the above 3. What is the legislation that introduced the beginnings of the LBP scheme? a) The Building Act 2004 b) The Building Regulations 1991 c) The building code

Answers: 1.c 2.e 3.a

CODEWORDS

The Hunn report grossly underestimated the potential cost of the problem at $240 million. It’s not just the apparent cost of the repairs that need to be considered. There are also substantial legal costs, medical and mental health costs from living in and owning these sub-standard houses, and the fact that we’re still finding leaky buildings today that are subject to ongoing cost escalation. Who knows the actual cost?

ADD TO LBP ACTIVITY LOG

This article is from Codewords Issue 103.

Use the ITM App to log your activity today.

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On 10 August 2021, the Licenced Building Practitioner Board held a hearing to resolve and investigate licenced building practitioner Peter Blair, who was alleged to have carried out design work documentation for a building consent when he wasn’t licenced. The Board also heard allegations that Blair may have submitted misleading or fraudulent documentation for the purposes of obtaining a consent.

Under section 318(5) of the Building Act, the Board can notify the public of any disciplinary action it takes, which it does so to uphold the integrity of the profession. The focus is not punishment, but the protection of the public, the maintenance of public confidence and the enforcement of high standards of propriety and professional conduct.

In this case, the findings were severe enough that the Board used their powers under the Building Act to cancel Blair’s licence and order that he cannot apply for re-licencing for 18 months. Blair was also ordered to pay costs of $3,500 (GST included) towards the costs of, and incidental to, the inquiry of the Board.

The evidence The New Plymouth District Council contacted Versatile New Plymouth (VNP) about a building consent application which Council believed was submitted by VNP, but the consent documentation was not up to their usual high standard. It was ascertained that VNP had not submitted this application – it was submitted privately by Blair, who was, at the time, an employee of VNP. It was found that Blair had also applied for an earlier building consent whilst in the employ of VNP. In response, Blair outlined that the building consent applications were developed by him in conjunction with a Versatile sales staff member, who had informed Blair that he could develop the necessary plans from the Versatile CAD system – VRS. The staff

member does not hold any design qualifications or licenses. The VRS system was set up to develop plans for IL1 risk buildings (such as their standard garages) and was not suited to the design of IL2 risk buildings such as those submitted by Blair.

The two-building consent applications that were submitted were for investment dwellings that Blair intended to build. The plans and specifications appeared to have been developed by Versatile, contained the Versatile logo, and were noted as being for Peter Blair. The plans also included a Versatile copyright notice. Blair stated that he thought he should have crossed out the Versatile references before submission.

The building consent application contained a certificate of design work (COW) which Blair admitted copying from a previous job and changing the details, and a Producer Statement Design (PS1) supposedly from an engineer in the employ of Mitek NZ Ltd. The PS1 was also copied from a previous job.

By this time, the first dwelling had already been built and a Code Compliance Certificate (CCC) was issued. The Council queried the Ministry of Business Innovation and Employment (MBIE) as to whether the CCC could be withdrawn, stating that the consent application is a high-trust environment.

If they cannot take the documentation received at face value, it puts the current system at risk.

Blair resigned from Versatile New Plymouth soon after the issues came to light but, before this, he had already accepted a role at another building company.

The Board’s conclusion After hearing the available evidence, the Board ruled that Blair had carried out work he was not licenced to do and that he had conducted himself in a manner that was likely to bring the Licenced Building Practitioner regime into disrepute.

The respondent is a Licensed Building Practitioner with a carpentry licence – he does not hold a design licence, therefore, cannot carry out or supervise restricted building work thatDESIGN is design work.EXTERNAL

D

EP

PLASTERING

The disrepute finding relates to the fraudulent creation and use of design certification, the unauthorised use of design documentation, BRICK & and breaches of copyright. SITE BLOCK LAYING

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CARPENTRY

FOUNDATIONS

A

R This article is relevant to these classes: ROOFING

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CODEWORDS

Decision of the Building Practitioners Board

23

24 PRODUCT KNOWLEDGE

Adhesive fixing in a Fire Rated System Can I use glue in GIB® Fire Rated Systems?

Fastener popping GIB® Fire Rated Systems, page 36 of the GIB® Site Guide, September 2018, incorporates the following statement, which relates to best practice screw and adhesive plasterboard installation in non fire-rated applications:

What if adhesive has been used?

The GIB® Helpline will occasionally receive calls or correspondence regarding installers who have used adhesive in fire-rated applications.

The problem is not with the adhesive itself being in the cavity but with the potential lack of mechanical fastening. Adhesives soften when exposed to high temperatures experienced in a fire and fail to support the linings adequately. Therefore adhesives cannot be used as an alternative to mechanical fasteners.

Even so-called ‘fire-rated’ adhesives will only hold as long as the back paper of the plasterboard sheet and cannot be used to replace nails or screws.

If an installer has used adhesive in a fire-rated application, they will need to mechanically fasten the GIB® plasterboard sheets at the centres specified for the relevant GIB® Fire Rated specification.

'Tip: Do not place GIBFix® adhesive behind fasteners.

This will increase the risk of 'fastener popping'. Place at least 200mm from fasteners.'

If the quality of finish is a consideration, caution is required to ensure that the adhesive has adequately cured before the required screws are installed.

Not an alternative to mechanical fasteners

Specifications are readily and freely available, and closely following them is essential to ensure the published performance is achieved.

Page 13 of GIB® Fire Rated Systems, October 2018, under ‘Handling and Limitations’ states: 'Adhesive fixing cannot be used as an alternative to mechanical fasteners in GIB® fire-rated specifications'.

For further information, call the GIB® Helpline on 0800 100 442.

Passive fire protection refers to construction elements that are designed to prevent or delay the spread of fire and smoke to different parts of a building.

Intumescent coatings Code of Practice FPANZ developed this Code of Practice document to enhance the design, specification and application of intumescent paint on NZ buildings. This Code of Practice is a best practice step-by-step guide.

NZQA Level 3 Passive Fire Installer qualification FPANZ has worked with Competenz to develop the NZQA Level 3 passive fire installer qualification. This is the first and only NZQA recognized qualification for the installation of passive fire protection systems.

Since 2020, there have been over 250 learners enrolled and, currently, over 40 have completed the qualification.

For enrolment and course details, visit www.competenz.org.nz/employers/industries-foremployers/engineering/fire-protection/support-foremployers

Position statements FPANZ regularly develop position statements.

Positions statements are released when there’s an issue in the industry that needs clarification.

Recent passive fire position statements have included: Fire Protection Association NZ (FPANZ) has been taking a leading role in cleaning up the passive fire protection sector that once plagued the construction industry with non-compliant buildings.. Over the past five years, the Passive Fire Special Interest Group (SIG) has been working with the industry by providing tools and measures that help everyone understand the importance of passive fire protection and how it can be done right.

FPANZ strongly supports the use of trained and experienced specialist passive fire protection installers for your passive fire protection requirements.

Here is a selection of initiatives FPANZ has created to ensure passive fire protection isn’t a headache on your next build:

Passive fire products register The register is an impartial document that provides a tool for searching or checking compliant materials and systems. Currently, it’s a PDF on the FPANZ website but will soon be a searchable tool. It will show comparisons for all available compliant options along with manufacturer/distributor contact details.

• 01 – Fundamentals of Passive Fire Protection • 02 – Fire Stopping Methodology • 04 – Smoke Stopping Get it Right seminars: FPANZ hosts a variety of half-day and full-day seminars across NZ, hosted by Subject Matter Expert speakers.

In June 2021, the Passive Fire SIG delivered its first 'Get it Right Seminar' in Christchurch to a capacity audience. In 2022, FPANZ will provide these to audiences across NZ, once Covid-19 restrictions have eased.

The agenda will include; intumescent coatings code of practice, passive fire design and specification, passive fire installation, test labs and NZQA Level 3 and Level 4 qualifications.

Visit www.fpanz.org for more information.

FIRE SAFTEY

Getting passive fire protection right

25

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A game changer for Bayonet.

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Frank Bishop

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Bayonet is NZ family-owned and operated, based in Tauranga.

Our new UMC Fixed Lock Fabricator can produce rolls of 1000+ meters in length in both Fixed Knot and Kiwi Knot (Square Knot) with ease – and that’s just the beginning!

The machine was purpose built for Bayonet, and it’s the only one of its kind in New Zealand.

With standard features like fully automated production start-up, roll cut-off, product removal and label insertion - operator interaction is greatly reduced and continuous production is seamless.

Wire knotting boxes are easily switched because of the innovative unique drive shaft system.

Having the ability to produce both Fixed Knot and Kiwi Knot fabricated fence from the same machine gives our customers greater options on fence type and having the right fencing solution for their situation. We can produce 50m rolls for hobby & lifestyle farmers, 500m rolls for large farmers and fencing contractors with material handling equipment, and 1000+ metres isn’t a problem for us either.

We’re passionate about wire and steel, and over the years we’ve amassed vast experience and expertise for manufacturing right here in New Zealand. Our technical knowledge and expertise in manufacturing delivers high performing products.

Our commitment to quality extends into the DNA of the operation - with significant recent investment in quality procedures, manufacturing processes, testing, traceability and continuous improvement. These robust systems have led Bayonet to achieve ISO9001 accreditation, an internationally recognised benchmark that backs the Bayonet brand.

Since 1972 we’ve been a trusted trading partner to New Zealand’s rural and construction sectors, with our products earning a reputation for quality and performance - we’re big enough to deliver and small enough to care, with your success the measure of ours.

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Some tradespeople add a fixed percentage to their quotes, but that is an approximation, not a calculation. Materials are an essential part of the overall job cost, so getting your calculations right is important.

Knowing the exact cost of building materials will help you nail your quotes, stay within budget – and maintain a steady cash flow. Ultimately, having all the right figures in play is key to achieving long-term success and profitability.

1. Process versus job costing – what’s the difference?

Before starting a new project, you need to figure out the build costs so you can send an accurate quote.

This will also help you avoid cost blowouts and customer conflicts – both slippery slopes to losing business and reputation damage.

Going with your gut feeling or basing your costs on what you think competitors are charging, isn’t enough. There are two different ways you can price a job – let’s break it down:

Job costing means breaking down the specific labour and material requirements by looking at the details for each job. When you’ve calculated your

2. What’s involved in job costing Job costing is a more rigorous and time-consuming process, but it usually yields a more precise estimate.

Labour costs Work out how much it costs per day to have your employees on the job. More than just their hourly rate, this can also include pensions or superannuation, annual leave and sick days.

Multiply that rate by the time you estimate the job will take. Keep in mind that you need to factor in training, material supply delays, weather interruptions and any onsite meetings.

Material costs These costs are all the materials you need to do the job such as timber, steel, electrical wiring, fasteners or caulking. Don’t forget to include any equipment hire.

You’ll also want to add a margin to cover deliveries, wastage and scrap.

Overheads Overhead costs include anything that isn’t directly related to the job. For example:

CONTINUE >>

Process costing means looking at the steps required to complete the job and assigning an average cost to each stage, based on past projects. You then add the averages to the overall budget.

costs, you add a markup to cover your operating costs (or overheads).

27 BUSINESS ADVICE

How to calculate the cost of building materials

28 BUSINESS ADVICE

• Equipment maintenance • Administration costs • Vehicle expenses • Office expenses • Advertising You can also take all your overhead costs for the year and divide them by the total number of hours on the job. That should equal what you add to your hourly rate.

If you’re not comfortable with equations, the best thing to do is to ask your accountant.

3. Calculating material quantities To determine the cost of building materials, you first need to figure how much you need for each job.

Here are some suggestions: Get your calculator handy – whether it’s cement, bricks or steel, online calculators make it easy to estimate the right construction material quantities.

Alternatively, use a construction calculator to figure out how much paint you need for a specific area, how steep a slope is or how much timber you need for a particular structure. You can find one at: www.omnicalculator.com/construction Get help from a quantity surveyor to estimate the material, labour and service costs for a building project.

4. Calculate the cost of jobs, provide accurate quotes Now that you’ve worked out the quantity of materials you need, it’s time to pull together all your costs and work out how much to quote your client.

Here’s the winning formula: 1. Cost per hour per team member x number of hours allocated to the job = labour allowance 2. Labour allowance + materials costs = total cost

With Tradify, you can import a supplier price list within minutes and it’ll automatically update the prices of corresponding materials. That means when it comes time to quote for work, you can be confident that your material cost prices are correct – and you won’t lose money on the job.

5. Quote quickly, win more work Once you’ve crunched the numbers, the final piece of the puzzle is sending your customers a clean, professional quote – as fast as possible.

A quick turnaround makes your business look organised, responsive and therefore more likely to land the job.

Optimise material costs by back costing Back costing is an excellent way to ensure you’ve given the correct quote for a job and you’ve made a profit.

After a project has finished, assess the costs and compare them to your original quote to see how spot-on you were. Then use these insights to make any adjustments for future projects to maximise your profit.

6. Best practice, make time for your financials The devil is in the detail when it comes to calculating the cost of building materials. You’ve got to spend time thinking the project through, figuring out material quantities and ensuring you have updated supplier price lists. Only then will you be able to accurately calculate the total cost of a job.

Making sure you profit from every job can be a challenge at the best of times, and even more so with the rapid rise of material costs. That’s where Tradify makes life easier, helping you stay in control of your profitability – and avoid making costly mistakes.

by Andrew Wassenaar

3. Total cost + markup = total price to quote client Use a charge-out rate calculator Working out how much to charge per hour shouldn’t be a guesstimate. At the same time, you don’t need to be a mathematical whiz to find the correct numbers.

Tradify’s charge-out rate calculator takes the guessing out of the equation so you can get an accurate figure.

Capture material price changes as they happen Too often, tradespeople undercharge for materials because their supplier prices are out of date. On the other hand, take too long to ring around those suppliers for current prices, and you’re wasting time that could be spent on the tools.

Tradify is the fastest and easiest job management app for tradies. Track everything, from any device:

• Enquiries • Quotes • Schedules • Jobs • Staff & timesheets • Invoices & payments

Join 20,000+ tradies building better lives and businesses with Tradify. Start your free trial today at tradifyhq.com.

29

TECHNOLOGY

Bricks that store power just like a battery One of the big issues with solar panels on any building is the need to store power for when the sun isn’t shining.

Surprisingly, the most basic building block of all time might be the solution.

Scientists have worked out a way to infuse ordinary clay bricks with a special polymer called PEDOT that forms a continuous electrical conducting layer on all the brick’s faces. The brick is then able to act as an energy sponge to store and conduct electricity.

While the storage capacity of the bricks at this point is relatively low, this is offset by the rapid charging advantages of the technology. It takes 60 bricks to power a small lamp for roughly 50 minutes, but the bricks can be recharged in just 13 minutes.

What’s more, unlike traditional battery storage systems, the new brick-battery combo brick will retain 90% of its original capacity after 10,000 storage and retrieval cycles.

Discussions are currently underway with several companies in Europe and the United States to further develop the technology. For more information, go to www.nature.com/articles/s41467020-17708-1

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Building Business has reached the milestone of 100 issues.

It started 18 years ago as a short eight-page flyer promoting just a few products. It's now evolved into a 32-page magazine, full of industry and product articles to educate and inform ITM’s builders. Here's a look back at some of our most popular articles and industry highlights since 2003.

Issue 16, November 2006 Where are we currently in the building industry?

&/2 4(% 42!$%

New government insulation and clean heating programme.

EXCERPT: As part of Budget 2009, the Government announced a new insulation and clean heating programme that will give more New Zealanders than ever before the opportunity FREE to make their homes warmer, drier and more energy efficient. It aims to retrofit more than 180,000 New Zealand homes over the next four years.

Volume 29 • August 2009

• • • • • • •

www.itm.co.nz

CoverTEK – Membranes of the Future EECA Insulation Programme: Q&A ITM Power Tool Dragster Wins!

Air NZ Cup Schedule Sensing Snapper WELs ITM Rally Team

Spend $300 (plus GST) or more on selected products and a

ITM SATCHEL

Offers apply 1st August - 20th September 2009 or while stocks last.

Contracting in Christchurch?

building business the latest news FROM YOUR building supplies SPECIALIST

JUNE 2011

contracting in christchurch AN UPDATE FROM THE EQR Pg 4

itM cuP 2011 FORMAT AND ScHEDUlE ENclOSED

READiNg THiS MAgAziNE will cONTRibUTE 1 POiNT TOwARDS yOUR lbP SkillS MAiNTENANcE REQUiREMENT. ENSURE yOU lOg THiS iN yOUR DiARy TODAy.

EXCERPT: Rebuilding Christchurch is a focus for everyone affected by the recent devastating earthquakes and skilled tradespeople are needed to do their bit to speed the city’s recovery.

the latest news FROM YOUR building supplies SPECIALIST

graham

hughes

raPhy eB Photog sPortsw

SKILLS MAINTENANCE

ITM400

how to acquire & record LBP Points Pg 2

it’s a wraP Pg 4-5

reading BuiLding Business wiLL contriBute 1 Point towards your LBP skiLLs maintenance requirement. ensure you Log this in your itm diary today. June 2012

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offer

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Conditions apply: See back cover

The very first issue of Building Business in 2003

EXCERPT: Preventing falls and accidents when working on roofs is the responsibility of everyone involved on the job. Edge protection should be used to isolate workers from a fall where the hazard of working at height cannot be eliminated.

Issue 57, October 2014 BUILDING BUSINESS THE LATEST NEWS FROM YOUR BUILDING SUPPLIES SPECIALIST

Radical changes for residential building come January.

EXCERPT: On 1st January, new laws are going to come into force that will have a bigger impact on your business than licensing did. The changes will be 'bigger' because licensing created a lot of extra paperwork for you, but it did not actually increase your liability, other than by exposing you to the risk of being disciplined by the Building Practitioners Board.

SPECIAL ISSUE: BUILDING ACT CHANGES

4

WILL YOU BE READY?

The Toolbox Seminars are free to attend and open to all.

11

BUILDING AMENDMENT ACT

Radical changes for residential building on 1 January 2015.

READING BUILDING BUSINESS WILL CONTRIBUTE TOWARDS YOUR LBP SKILLS MAINTENANCE REQUIREMENT. ENSURE YOU LOG THIS IN YOUR ITM DIARY TODAY. OCTOBER 2014.

Issue 63, October 2015 BUILDING BUSINESS THE LATEST NEWS FROM YOUR BUILDING SUPPLIES SPECIALIST

ISSUE 63: OCTOBER 2015

Issue 38, June 2011

TRADE

Work safely on roofs.

building business

ISSUE 57: OCTOBER 2014

Issue 29, August 2009

VOLUME 1 • 6th september - 31st October 2003

Issue 43, June 2012

ISSUE 43 : JUNE 2012

EXCERPT: The building industry has been through considerable change over the last 2-3 years.

Most of these changes are in response to our industry’s recent issues of the leaky building crisis... The following significant change on the horizon is the licensing of 'building practitioners'.

www.itm.co.nz

We’ve cracked the tonne!

Changes to the Skills Maintenance Scheme?

EXCERPT: The changes come into effect on 2nd November 2015, at which point LBPs will start a gradual transition to the new skills maintenance scheme. The new framework moves away from an entirely points-based system in favour of a new mixed-model.

3

12

CHARGE OUT RATES What’s your hourly charge out rate and how much are you really earning?

STRETCH BEFORE YOU BUILD

Stretches demonstrated by ITM Cup players to help prevent and manage discomfort, pain and injury on the job.

READING BUILDING BUSINESS WILL CONTRIBUTE TOWARDS YOUR LBP SKILLS MAINTENANCE REQUIREMENT. ENSURE YOU LOG THIS IN YOUR ITM DIARY TODAY. OCTOBER 2015.

Issue 66, April 2016 ISSUE 66: APRIL 2016

BUILDING BUSINESS

®

THE LATEST NEWS FROM YOUR BUILDING SUPPLIES SPECIALIST

Issue 80, August 2018

How much is a builder worth today?

EXCERPT: Demand for builders currently far exceeds supply, especially in urban areas, and you would expect pay rates to go up.

But there is a tempering effect being brought about by foreign labour. AWF, one of the larger specialist trade employment agencies in New Zealand, pays between $28 and $35 per hour in the main centres.

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NZ HOUSE DESIGNS

What kind of houses will we be building in five years time? We speak to the experts.

CASH JOBS

Now a focus for the IRD, there are many downsides to this business practice. Are they worth the risk?

READING BUILDING BUSINESS WILL CONTRIBUTE TOWARDS YOUR LBP SKILLS MAINTENANCE REQUIREMENT. ENSURE YOU LOG THIS IN YOUR DIARY TODAY. APRIL 2016.

Issue 74, August 2017 THE LATEST NEWS FROM YOUR BUILDING SUPPLIES SPECIALIST

A 20 UG 17

ISSUE 74

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Getting the best return for your ACC levies 15

Do the authorities have to be fair to you?

19

Unfinished building work is not defective building work

5 keys for winning jobs when you’re not the lowest price

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09

Get dust compliant

A 20 UG 18

ISSUE 80

Ultimate Fishing getting the full story

10 things you should know about insurance

Five key things for winning jobs when you’re not the lowest price.

EXCERPT: 1. Turn up on time.

2. Build trust. 3. Understand your client’s motives. 4. Educate and explain. 5. Show them you’re the best. These things will position you so that price is not the main thing. Now you are competing on your strengths.

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Highlights

The Paslode Impulse Pair promotion is back 05

Issue 90, April 2020 THE LATEST NEWS FROM YOUR BUILDING SUPPLIES SPECIALIST

A 20 PR 20

ISSUE 90

Are slow times coming for tradies?

EXCERPT: In early March, Coronavirus has started a chain Are slow times coming for tradies? reaction of events, including shortages of some products. Public events are being cancelled. Banks are worried and are watching their customers closely. The economic environment is changing. Time will tell how it all plays out.

Answers from Ask an Advisor 03

New app helps tradies fight tool theft 17

The limitations to variations 20

That ain't a boat... this is a boat!

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Highlights

EXCERPT: Amongst the hustle and bustle of the modern construction Get dust compliant site a slow but effective killer lurks, construction site dust. Longterm exposure to silica dust from construction sites can be attributed to many deaths in New Zealand every year.

Controlling construction site dust is an important and potentially lifesaving responsibility for PCBUs. The apprentice diary: entry #5

THE LATEST NEWS FROM YOUR BUILDING SUPPLIES SPECIALIST

How to build a floating timber deck 23

Highlights

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FOR YOUR NEAREST ITM STORE PHONE 0800 FOR ITM OR VISIT ITM.CO.NZ PRODUCTS ON PROMOTION: All prices exclude GST. Prices are valid December 1st - 24th, 2021 unless specified otherwise. Some products may not be available in every ITM store, but as part of our rain check policy can be ordered in at the advertised price. Contact your local ITM store to confirm stock availability.

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Purchases must be made on one invoice/account. Offer is limited to one per customer.

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