Property Management A Regional report focusing on the GTA, Hamilton & Niagara October 2012
Vol.19 No 6
Report
Failing Grade for Municipal Roads
Soundproofing Strategies
Smart Meter Flare Up
Smouldering Resentment Fuels Fire Risk Concern
By Barbara Carss
Cleanup Convenience
Contents Smart Meters Attract Controversy Infrastructure Report Card Results Muffling Noise Transmittal Smoking in Condos Waste Collection Stations Comprehensive Energy Planning
1 5 7 12 14 16
Fire departments in Ontario have been asked to report fires or explosions associated with electrical meter installations to the Office of the Fire Marshal (OFM) so that further investigation can be conducted. A Fire Marshal’s Communiqué issued in early October announced the launch of a six-month monitoring period in an effort to identify patterns and/or determine if there is more widespread cause for concern following seven such incidents since May 2011. “The OFM is aware that the installation of smart meters in other jurisdictions in Canada and the United States has resulted in incidents similar to the ones that occurred in Ontario,” the Communiqué s t a te s . “A l t h o u g h i n O n t a r i o, m o re
information is needed to determine the scope and extent of the problem.” Thus far, it would appear to be an issue in about 0.00015% of cases based on seven fires/ explosions among the approximately 4.5 million smart meters that have been installed throughout the province to facilitate time-of-use electricity pricing for residential, small business and farm customers. Although there are no statistics for earlier periods, knowledgeable observers speculate there were a comparable number of incidents involving the old-model mechanical meters. “Meter and meter base failures have always occurred. It’s not something that just started,” says Larry Herod, Director of Distribution Services with Newmarket Hydro, one of the first Continued on page 4.
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From the Editor PUBLISHER Sean Foley EDITOR Barbara Carss barbc@mediaedge.ca Ext. 236 CONTRIBUTING WRITERs Rodney McDonald, Gene Michaels, Duane Reimer, Amie Silverwood, Keir Wilmut ADVERTISING SALES Sean Foley seanf@mediaedge.ca Ext. 225
Caution: Interminable Political Wrangling Ahead Perhaps the local councils in Sodom and Gomorrah suffered no backlash for actively promoting then profiting from their constituents’ frivolousness, but few modern day legislators are going to escape criticism. Ongoing debate about the Ontario government’s growing reliance on gaming and lottery revenue is a sign of an engaged public grappling with the tradeoffs inherent in a complex society. It’s also important to contemplate likely outcomes and spinoff influences of new developments, ensure they comply with rules and societal standards, and give interested parties an opportunity to state their opinions. That’s been the premise of land use planning policies and procedures for generations now, so the proponent of the recently announced plans for a casino in downtown Toronto will certainly have to go through the formal channels to secure development approval. Stay tuned for lengthy – sometimes tedious, sometimes enthralling – speechifying, strategizing, and vote consolidating as adherents and opponents rally their forces. Already, one of the first silly pronouncements comes from a City of Toronto Councillor who has suggested that a downtown casino will discourage other new development. Puh-leeze. This is not a vision for a rendering plant with ancillary battery crushing facilities. It’s a commercial enterprise consistent with other entertainment uses that already exist in the core. The development proponent is one of the city’s (and country’s) most prominent owners/managers and is surely not going to invest in any venture that would weaken its own market base. Looking at other examples, Halifax has a smaller, more historically homogeneous and lower-density downtown that also hosts a casino – on its harbour front, no less. This brings a measure of exuberance that isn’t necessarily to everyone’s taste, but it certainly doesn’t have the presence to overwhelm the urban fabric of the city. Few individual structures ever do. And since talk of casinos somehow seems in keeping with drawing moral equivalents, how is the Councillor’s statement any different than the NIMBYs’ contention that an infill non-profit housing development will undermine their neighbourhood? Both raise the unproven spectre of declining property values and undefined threats to safety and the existing culture because they are essentially fearful of the people who will be occupying the proposed building. Critics might more productively target their ire and efforts to marketing campaigns that extol the glamour and excitement of risking one’s paycheque, savings or inheritance on games of chance over the purported dreariness of galleries, museums or spending time with family. Reverse that government-supported supposition, and the real estate industry will adjust itself accordingly. Barbara Carss barbc@mediaedge.ca
Steve McLinden stevem@mediaedge.ca Ext. 239 Paul Murphy paulm@mediaedge.ca Ext. 264 Melissa Valentini melissaf@mediaedge.ca Ext. 248 Senior Designer Annette Carlucci Wong annettec@mediaedge.ca Ext. 231 Designer Jennifer Carter jenc@mediaedge.ca Ext. 243 Production MANAGER Rachel Selbie rachels@mediaedge.ca Ext. 261 Circulation Lina Trunina circulation@mediaedge.ca Ext. 232 Property Management Report is produced as a supplement to Canadian Property Management magazine, published 8 times a year by:
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PROPERTY MANAGEMENT REPORT October 2012 3
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Energy Management Continued from page 1. local distribution companies in Ontario to roll out the smart meter program. “I’m concerned about the way the Communiqué is worded. Smart meters have become a bit of a lightning rod on a variety of fronts and this is one more thing that could confuse people. There is a difference between the meter and the meter base, and I have not heard anything about any smart meter failures.” cOALEScENcE OF cOMPLAINTS Consumer discontent is already apparent due to electricity cost increases arising from the time-of-use price structure. Other detractors express concern about heightened exposure to electromagnetic fields related to smart meters’ wireless technology. Outside Ontario, that opposition now seems to be coalescing around unproven allegations of fire risk, particularly in the United States where there is typically more resistance to the idea of the government – in this case, represented by the local electrical utility – monitoring citizens’ activities. “The fires have given people a new reason to try to block installations,” suggests the U.S. based energy management consultant, Lindsay Audin. Smart meter installations have been temporarily halted in some areas of the PJM
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transmission region, which covers all or parts of 13 U.S. states and Washington D.C., while investigators explore the source of the 26 fires that have occurred over the summer and early fall. “It appears to relate to older homes with poor or very old wiring,” Audin recounts. “In several of the incidents, it was found that the installer jammed the new meter into slots that were already bent, heavily oxidized or otherwise in a condition that didn’t merit changing the meter. In those cases, the old meter should have been put back in and the condition of the meter base should have been reported.” DILIGENcE & EDUcATION REQUIRED In Ontario, the switchover of the vast majority of residential and small commercial meters within the past three years accentuates the same sort of vulnerability. “The mere process of unplugging and plugging into a meter base is bound to expose some defects that could cause shorting, failure or fire. That’s not attributable to the smart meter per se,” observes energy management specialist, Mike McGee. In contrast, Herod maintains Newmarket Hydro’s diligence while replacing meters helped
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to identify previously undetected fire risks. “We took the opportunity, when we were replacing the meters, to do a visual inspection of the meter base, and our installers found things like cracks in the meter base or loose connections that might have become an issue,” he reports. “So I’d argue that the smart meter installation was also a preventative safety exercise.” He also stresses the importance of awareness programs and the ongoing need to answer the public’s questions. For example, concerns about electromagnetic fields are partly attributable to the misconception that smart meters are in a perpetual state of transmission. “They record and store a lot more data than was the case with the old models, but the total transmission in a day, on average, lasts for one to 1.5 seconds. It essentially sends out a little packet of information,” Herod explains. “There is more exposure all around us from things like cell phones, Wi-Fi, baby monitors and garage door openers.” i Communiqués from the Office of the Fire Marshal of Ontario can be found at http://www. mcscs.jus.gov.on.ca/english/FireMarshal/ FireServiceResources/Communiques/OFMCom_ Index.html
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4 OcTObER 2012 PROPERTY MANAGEMENT REPORT
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Infrastructure
Bell Curve Can’t Improve Status of Canadian Roads Infrastructure Report Card Highlights Need for Remedial Work
The following is a summary of findings in the inaugural municipal infrastructure report card, released in September 2012 by the Federation of Canadian Municipalities in partnership with the Canadian Construction Association, the Canadian Public Works Association and the Canadian Society for Civil Engineering – Editor.
Canada’s first report card on municipal infrastructure offers an objective assessment of the state of infrastructure and infrastructure management in 123 municipalities. The report card consolidates data obtained from a voluntary survey of Canadian municipalities, which was designed to assess the condition of municipal infrastructure in 2009-2010. T h e f u l l r e p o r t c a r d p ro v i d e s a n assessment of the condit ion of four primar y asset categories of municipal
infrastructure: drinking-water systems, wastewater and storm water networks and municipal roads. This is the first assessment of its kind in Canada, and features the most comprehensive analysis a n d r e p o r t i n g t o d a t e o n C a n a d a’s municipal infrastructure. Following two decades of declining public investment in infrastructure, all governments have begun to reverse this trend by significantly increasing investment in the transportation, water and wastewater systems upon which Canadians rely each day. The importance of investing in modern infrastructure has become synonymous with Canada’s economic competitiveness and quality of life. During the recent financial crisis, all governments pooled resources and cooperated to an unprecedented degree, channeling stimulus funds into local infrastructure to create jobs, while also renew ing the physical foundations of this country.
The Building Canada Plan will soon expire, casting a shadow over recent progress made in addressing Canada’s municipal infrastructure needs. This report highlights how critical it is to continue building and renew ing the infrastructure that is key to our continued economic vitality as a country. Although surveyed municipalities scored well in three of the four infrastructure categories, the ways in which governments may approach future management of these assets is more troubling. The immediate findings of this report show that municipal drinking-water and wastewater systems ranked: “Good: adequate for now,” and that storm water systems ranked: “Very good: fit for the future.” Roads received an overall grade of: “Fair: requires attention.” A closer analysis of the data reveals that good overall grades are not cause for complacency, for a number of reasons. PROPERTY MANAGEMENT REPORT October 2012 5
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Infrastructure CONDITION OVERVIEW Overall report card ratings for the four asset categories shows that, on average, about 30% of municipal infrastructure ranks between Fair and Very Poor. The replacement cost of these assets alone totals $171.8 billion nationally. Municipal roads require urgent attention. An overall g rade of Fair means the infrastructure “shows general signs of deterioration and requires attention, with some elements exhibiting sig nificant deficiencies.” More than half the roads surveyed fall below a rating of Good; 32% are in Fair condition, and 20.6% are in Poor or Very Poor condition, for a total of 52.6%. One in four Canadian roads is operating a b o v e c a p a c i t y, h i g h l i g h t i n g a r e a l challenge to moving goods and people within our communities in the short and medium term. The estimated replacement cost of the roads in Fair to Ver y Poor condition is $91.1 billion, nationally. For the average Canadian household, this amounts to a cost of $7,325. A mixed picture emerges for wastewater infrastructure, with about 40% of wastewater plants, pumping stations and storage tanks in Fair to Very poor condition and 30.1% of pipes in Fair to Very Poor condition. The replacement cost for the wastewater infrastructure in Fair to Very Poor condition is $39 billion, or $3,136 per Canadian household. With wastewater infrastructure now subject to new and more stringent federal re g u l a t i on s ( s e e Canadian Proper ty Management, September 2012), even Good or Very Good wastewater infrastructure may require upgrading or replacement. Despite its overall Good rating, drinking-water infrastructure also presents some cause for concern: 15.4% of the systems were ranked Fair to Very Poor for the condition of their pipes. The figures were not much better for plants, reservoirs and pumping stations,
where 14.4% ranked Fair to Very Poor. Only 12.6% of plants, reservoirs and pumping stations ranked Very Good, as did just 4.2% of pipes. Considering the potential impact of dr inking-water systems on human health, these deficiencies have significant importance. The replacement cost for the drinking-water infrastructure in Fair to Very Poor condition is $25.9 billion, or $2,082 per Canadian household. Ca n a d a’s s tor m w a ter m a n a gem en t systems are the best of the infrastructure classes covered in the report card. These were rated Very Good. Even here, however, 12.5% of storm water installations surveyed fall below Good condition, with that figure rising to 23.4% for storm water pipes. The replacement cost for storm water i n f r a s t r u c t u re i n F a i r t o Ve r y Po o r condition is $15.8 billion, or $1,270 per Canadian household.
condition of treatment plants and buried distribution networks remains a significant, on-the-g round challenge for many municipalities to undertake on their own. With respect to roads, many respondents do not have regular condition-assessment programs: 41.2% reported that they do not have an inspection program for their highways, while the percentage dropped to between 20–25% for arterial, collector and local roads. The report card points to the cost of delaying infrastructure repairs, rehabilitation or renewal. Most infrastructure, even if in good-to-verygood condition now, will require everincreasing investment as it ages. An assetmanagement system can establish practices that will increase the longevity of the assets and optimize investments in maintenance and rehabilitation.
ASSET MANAGEMENT URGED When assessing the state of municipal infrastructure management, the report finds many municipalities lack the internal capacity to accurately assess the state of their infrastructure. This is not to say that players in the municipal sector lack the wherewithal to undertake rigorous internal reviews of their assets; rather, that finite financial resources, staff and time preclude a more thorough, real-time evaluation of the state and performance of their physical infrastructure. For example, about 30% of respondents had limited data on their water-treatment plants, reservoirs or pumping stations. A large percentage of municipalities reported having no data on the condition of their buried infrastructure: 41.3% for distribution pipes and 48.2% for t r ansmission pip es. While it is clear municipalities monitor the qualit y of drinking water through rigorous testing and monitoring, evaluating the physical
OBJECTIVES AND METHODOLOGY The project’s primary objective was to develop a rigorous, repeatable process for assessing the condition of Canada’s infrastructure to inform the public, decisionmakers and other stakeholders. This study provides useful qualitative information on municipal infrastructure and its management, which municipal governments can use to develop their asset management capacity. Forecasting of trends or future conditions was not part of this study. A total of 346 municipalities registered for the survey. The final analysis was based o n re s p o n s e s by 1 2 3 m u n i c i p a l i t i e s distributed across all provinces. These municipalities represent 41% to 59% of the Canadian population, depending on the infrastructure assets. This proportional representation made it possible to ex t r a p o l ate t h e s am p l e to prov i de a national estimate. For a first report card, representation on a population, demographics and geographical basis exceeded the expectations of the Project Steering Committee. As this report card is repeated over several editions, a greater percentage of municipalities may par ticipate and results w ill be more representative nationally. Other types of infrastructure assets, such as bridges, buildings, facilities, public transit – and possibly privately owned public infrastructure, such as ports and airports – may be added in the future. i
Overall report card ratings for the four asset categories shows that, on average, about 30% of municipal infrastructure ranks between Fair and Very Poor. The replacement cost of these assets alone T h e c o m p l e t e t e x t o f C a n a d i a n Infrastructure Report, 2012, can be found on a recently launched web site at totals $171.8 billion nationally. www.canadainfrastructure.ca.
6 October 2012 PROPERTY MANAGEMENT REPORT
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Noise Control
Waking Up to Hard Truths
Wood and Tile Flooring Not So Popular with the Neighbours By Amie Silverwood
Up at 5 a.m. each morning to start his commute, one condo resident has had several noise complaints from his neighbour below. He wakes up, showers, eats his breakfast and leaves the condo in time to beat the traffic across town only to return home to a letter from his property manager advising him not to wear his shoes in his home and to walk more quietly. But he has done nothing wrong and cannot change his behaviour: his morning routine is always enacted barefoot. Below this unit, his neighbour tries to catch another hour of sleep before she begins her day, but most weekday mornings,
the sound of footsteps reverberates through her unit, waking her up. Frustrated, she complains to the condominium’s board of directors that something must be done. There is very little a Board can do in such situations. Hardwood flooring is a popular floor option for purchasers of new units, but that often translates into the click-clack of footsteps permeating into the unit below. Carpets that once commonly muffled footfalls have become passé. In particular, people with allergies are choosing surfaces that are easier to clean – supporting improved indoor air quality for those with sensitivities
to dust mites and other pollutants. Likewise, the Asthma Society of Canada recommends that asthma sufferers “remove carpets, especially from bedrooms.” “In the past, it was quite common to see provisions in the rules that required that a certain percentage of the floor area in the unit (excluding bathrooms and kitchens) be covered in carpet,” recalls Barbara Holmes, a condominium expert with the law firm, Heenan Blaikie. “If owners had hard-surface floors, they had to be covered w ith area r ug s. In some cases these provisions are contained in the corporation’s declaration, as well.” PROPERTY MANAGEMENT REPORT October 2012 7
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SOUNDPROOFING REQUIRED Today’s hard-surface flooring may not have adequate soundproofing techniques to insulate against the sound of footsteps. The national building code, which se ver al Canadian provinces adopt outright, requires developers to meet an airborne sound transmission class (STC) of 50. This refers to the sound of voices, television and other airborne sounds. There is no requirement within the code for a building to insulate against the impact isolation class (IIC), which Bill Wilkinson Jr., co-owner of the sound and vibration control company, Wilrep Ltd., defines as “the sound of the clicky-clacky over your head” as people walk around in units above. “Our building code alludes to the fact that IIC exists, but it does not tell any developer in this country that you must meet it,” he adds. “Concrete is incredibly efficient at transmitting sound and vibration because it’s so dense. Air will transmit sound at x, water will transmit sound better than that, and concrete will transmit sound even better than that because of the density.” He advises that foam underlayment or adhesives, which are frequently a developer’s choice to keep construction costs down, do not perform well because they quickly become compacted. Buyers browsing layouts and considering finishes may not think of noise issues, while marketing brochures rarely focus on elements like underlayment. Yet, irritants not considered until residents move in can blossom into an expensive conflict with no cheap solutions. “I would love to see the Canadian building laws catch up to what the consumer deserves to receive as an end product,” Wilkinson asserts. “Most people don’t know enough about it to
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Noise Control ask the questions in the sales office like: what did you use as sound control underlayment in the suites?” He u r g e s c o n d o b o a r d s t o i n c l u d e underlayment requirements in their by-laws. Proper sound insulation shouldn’t crush out (like foam), harden with age (like cork) or wick water (like felt). A rubber product – that could be made from recycled tires – will generally last longer than the flooring placed on top of it. “But instead of spending 30 cents per-square-foot, you’re spending a dollar. And that’s the rub,” Wilkinson notes. POST-CONSTRUCTION REMEDIATION A drop ceiling might provide a solution to existing noise transmission problems. Resilient sound-isolation clip technology employs a thin rubber-and-steel clip glued to the underside of the deck. Along with a standard furring channel and drywall this fashions a 1.5 to twoinch gap that becomes a shield. When the ceiling is suspended underneath the cement slab, the vibration will not travel through. Acoustical expert Niklas Moeller reiterates what is known as the ABC rule: “You can absorb, you can block and you can cover up.” Underlay ment, drop ceilings and soft furnishings can absorb the sound vibrations. The walls, floors and ceilings can block some sound from being transmitted to other units, and, if those options aren’t sufficient, a white noise system can help cover up incoming sound. “It’s not really a choice, most of the time, between picking one or two of the methods of noise control in order to achieve good overall results. It really is a balanced approach of all of them,” Moeller advises. “If you eliminate one of them, you eliminate some of the benefits they deliver. If you don’t have any absorption in the space, there’s no other method to deal with echo or reverberation. It’s more difficult for a sound barrier because sound levels will be higher.” Electronic sound masking devices within condominium walls can be used to reduce the overall variation in sound levels and give residents flexibility to raise background sound level as needed, or simply turn it off when it’s unnecessary. “If your neighbour below or above is not home, you can turn it down or off if you wish. And if you find that you’re only being bothered by it [noise] at night when you’re sleeping, have it on at night in the bedroom and nowhere else,” Moeller suggests. i
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Noise Control UNDERLAYMENT OPTIONS By Duane Reimer Installing quality acoustic floor underlayment under new wood, engineered wood, laminate and vinyl tile floors can be a sound investment. The type of floor (e.g. glue-down or nail-down hardwood, engineered wood, laminate wood, floating wood, composition) and the performance goals for the underlayment as part of the floor assembly will be factors in choosing from various underlayment options. Sound abatement and reduction in sound transmission between floors are paramount qualities. Sound-absorbing or acoustic underlayment mutes the impact of sound and inhibits noise from travelling into the room below. It can be manufactured from various materials including, polyethylene or polystyrene film, cork, rubber and fibre. Fibre underlayment, often made from textile fibre, can surpass the performance delivered by foam pads, and can furnish sounddeadening benefits similar to those offered by cork and rubber at lower cost. It also has insulating qualities that enable the underlayment to act as a thermal break, helping keep a room warmer in the winter and cooler in the summer. Moisture protection is another consideration. Underlayment with moisture management properties will reduce the possibility of mould growth under a finished floor and can wick away subfloor or incidental perimeter moisture that might otherwise ruin the finished surface. Some acoustic underlayment can make engineered wood and laminate floors sound more like real wood. In a renovation project where a new glue-down or engineered wood floor will replace old vinyl composition tile as the finished surface, acoustic underlayment that can be glued directly on the old surface eliminates the need for tear-out that will generate dust and could potentially release dangerous fibres into the air. Eco-friendly VOC-free underlayment is also available and third-party certified to meet standards for low emissions. Such underlayment is manufactured largely or totally from recycled fibres, thus diverting material that might otherwise go to landfill. Duane Reimer is technical director of MP Global Products, a manufacturer of acoustic floor underlayment. For more information, see the web site at www.quietwalk.com.
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Legal Issues
Courts Increasingly Back Non-Smokers
Exclusive-Use Common Elements in Condos Becoming Contested Ground By Keir Wilmut
Much like smoking on airplanes and in restaurants, smoking in condominiums could soon be a thing of the past. In disputes between smokers and non-smokers, the law is increasingly coming down on the side of those who want to restrict – or even ban – the ability of other unit owners to light up. When it comes to smoking in internal common areas, the law is clear. Pursuant to section 9(2) of the Smoke Free Ontario Act, smoking is forbidden in any “common area in a condominium … including, without being limited to, elevators, hallways, parking garages, party or entertainment rooms, laundry facilities, lobbies and exercise areas.” However, smoking is not prohibited in external common areas (such as on rooftop terraces, under the awning at the entrance to the building or external exclusive-use common elements such as balconies). The Smoke Free Ontario Act only bans smoking in common areas that are “in” condominiums. While Section 13 of the Regulations to this Act prohibits smoking on most bar or restaurant patios, this prohibition is limited to places where food or drink is sold, served or offered. Furthermore, while Section 12 of the Regulations prohibits smoking within nine metres of the entrance or exit of health facilities, this prohibition does not apply to condominiums. If smoking in external common areas becomes an issue (including on balconies), the condominium’s board of directors can make a rule banning smoking in these areas. However, the reverse is not true; a rule cannot be made allowing smoking in internal common areas. B.C. DECISION COULD SET TREND The law is less clear-cut when it comes to disputes about an owner smoking inside his or her unit. A recent decision of the British Columbia Human Rights Tribunal suggests that condominiums should take these disputes very seriously. In 2008, Mr. and Mrs. McDaniel purchased a unit in a four-storey building in a suburb of Vancouver. Shortly after moving in, the McDaniels began to experience second-hand smoke entering their unit through their windows due to other owners smoking on their balconies. Over a period of almost two years, the 12 October 2012 PROPERTY MANAGEMENT REPORT
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Legal Issues
The Tribunal also awarded the McDaniels $1,518 in compensation for expenses incurred and $6,500 as compensation for injury to their dignity, feelings and self-respect.
condition, the condominium should open a dialogue between the owners to discuss potential solutions. If the source of the smoke is from an exclusive-use common element such as a balcony, the board should consider polling owners to determine support for a rule banning smoking in such areas.
the McDaniels’ distress to the point that they came to hate their home.” Instead, the Tribunal suggested, the strata council should have proposed a by-law banning the smoking of cigarettes in balconies and/or enforced an existing by-law that prohibited “caus[ing] a nuisance or a hazard to another person.” The McDaniels had asked for an order requiring the condominium to enact a no-smoking by-law. However, as the McDaniels had already left the building, the Tribunal opted instead to order the condominium to cease its discrimination and refrain from committing a • suggesting the McDaniels purchase an air similar contravention in the future. The Tribunal also awarded the McDaniels $1,518 in conditioning unit (which they did); • asking the other owners to be respectful of compensation for expenses incurred and $6,500 as compensation for injury to their dignity, others; • writing letters to the owners adjacent to the feelings and self-respect. McDaniels asking them not to smoke on their REASONABLE STEPS REQUIRED balconies; • telling the McDaniels that while it would not Ontario courts have so far not gone as far as propose a no-smoking bylaw, they could try to British Columbia’s. However, the McDaniel case get 25% of owners to sign a petition for a suggests that a condominium board cannot stand idly by when presented with evidence of health meeting to consider such a by-law; and problems related to second-hand smoke. In the • prohibiting the smoking of marijuana. words of the Tribunal, a condominium must “seek In 2011, the McDaniels brought a complaint to or inquire into more fulsome information with the B.C. Human Rights Tribunal alleging respect to their physical vulnerabilities.” What steps should a condominium take when discrimination based on physical disability in the an owner complains about second-hand smoke? area of accommodation. Although the Tribunal was sympathetic to the strata council, and found that it “sought to strike a 1. Check to see if the smoke intrusion is caused by a common element deficiency. If it is, the balance between what the McDaniels wanted and condominium is obligated to take steps to what others in the building wanted,” the Tribunal rectify the problem. ultimately concluded that the strata council “never marshaled a meaningful, effective response… [the] conduct, while not overtly aggressive or 2. If there is no common element deficiency, and the complainant does not claim a medical confrontational, was indecisive and minimizing of McDaniels recorded 175 incidents of smoke infiltration into their unit. Both of the McDaniels had a history of health concerns that made them particularly vulnerable to second-hand smoke. Mr. McDaniel had type-1 diabetes, while Mrs. McDaniel was extremely allergic to smoke. After unsuccessfully trying to address the issue with the unit owners directly, the McDaniels contacted the strata council (like a board of directors in Ontario) and informed it of their health concerns. Strata council took a number of steps, including:
3. If the complainant reports a medical condition, the condominium should ask for medical evidence to verify his or her condition. If such evidence is produced, the condominium should seriously consider enforcing any prov isions in the condominium’s governing documents regarding nuisance, or enforcing section 117 of the Condominium Act, which prohibits any activity that “is likely to damage the property or cause injury to an individual.” Failing to do so may give rise to a human rights complaint. The condominium is required to take reasonable steps to enforce these provisions, which may include requiring an owner to take steps to prevent their smoking from affecting other owners. As the McDaniel case indicates, failing to take complaints about second-hand smoke seriously can have a financial impact. i Keir Wilmut is a litigator and condominium expert with Heenan Blaikie. For more information, see the web site at www.heenanblaikie.com. The preceding article is reprinted from CondoBusiness, September 2012.
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Waste Management
Best Friends’ By-products a Bone of Contention
Collection Stations Offer Convenient Reminder of Pet Owners’ Responsibilities By Gene Michaels
Most municipalities have regulations that require dog owners to clean up after their pets. Many condominium and rental apartment complexes have also had similar rules for years. Pet-waste stations can make it more convenient for dog owners to comply. An on-site receptacle
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Energy Management
Widening the Scope for Energy Savings Piecemeal Projects Detract from the Big Picture By Rodney McDonald companies seeking space look at the energy costs not just from a financial perspective, but look for the energy and environmental stewardship that can help them recruit and retain employees and demonstrate good env ironmental credentials to customers and investors.
A piecemeal approach to energy natural gas markets are g lobal, while management can mean missed opportunities. For example, straightforwardly replacing lamps with a more energy-efficient version may leave some parts of the building over-lit. Further savings might be gained through a more comprehensive redesign of the lighting system that might involve the removal of some fixtures. Similarly, a newly installed boiler might reduce energy bills, while a more comprehensive look at the building’s operations could identify further ways to cut heating costs. A holistic approach uses quantifiable data to better forecast and hedge against energy uncertainties that can pose dilemmas for property managers. Oil and
electricity markets are becoming continental – a global risk scenario that increases every building’s vulnerability to volatile prices and unreliable supplies. The price of energy is outside owner/ managers’ control, but they have more control over energy use. Efficient energy management can be a key competitive advantage. Energy has also become a key stakeholder concern due to emissions and s u s t a i n a b i l i t y. Wh i l e m o s t p ro p e r t y managers once had only to be concerned about the price of energy, they now need to be increasing ly conscious of energ y’s environmental impacts, such as greenhouse g a s ( G H G ) e m i s s i o n s . N o w, m a n y
MEASURING CONSUMPTION In recent years, new tools have been developed for measuring at a detailed level, analyzing and making recommendations on energy use. Buildings constructed a decade or more ago might have just one electrical meter and one electrical bill, but easily retrofitted sub-metering allows building management to get a more accurate picture of the energy costs of each part of the building. This applies equally to electricity, natural gas supply and even the flow of heat from a central boiler. Understanding where and how energ y is used in a building helps establish more accurate input costs, which can support better informed decisions and wiser thinking around life-cycle costs for equipment, rather than just capital costs. A mechanism and process to review and summarize energy consumption and costs in a way that can be presented to senior management is a good first step to critical analysis. In a surprisingly large number of cases, energy bills get sent directly to Accounts Payable staff, who pay the bill and file it. Old habits need to be broken. Newly developed standards provide a tool for identifying best practices and increasing the transparency of energy management strategies. The ISO 50001 standard for Energy Management Systems, for example, outlines a cont inuous improvement framework and comprehensive management systems approach for energy, which aligns with other ISO standards for environment (ISO 14000), quality (ISO 9000), and health a n d s a f e t y. C o m p a n i e s t h a t u s e a continuous improvement process or have existing ISO certifications may see value in extending these systems to energy. IMPLEMENTING AND REFINING THE PLAN Many building managers are now taking a closer look at retrofitting and renovating
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thanks to emerg ing energ y-efficient innovations combined with low cost of capital. It is becoming easier to make a strong business case for investing in new equipment when the efficiencies from the new products have such a short payback. The fastest payback is achieved when there is little or no capital cost. Focusing on operating methods and behaviours through awareness programs, operator training and shifting energy use to offpeak periods are among the low-cost ways to achieve a net energy savings. Establishing a baseline is a first step. It gathers historic energy consumption data, which can then be compared to future results to chart progress. The portfolio’s current performance should be audited to provide an accurate picture of the present. This will reveal energy consumption patterns for each par t of the building and each of its operations to determine where and how energy is used. Many building managers are accustomed to tracking the cash expenses involved in energy, but are perhaps less attuned to actual energy consumption. Energy management software enables easy tallying and assessment of data. The baseline and audit can then inform a strateg ic plan. This should take a holistic approach such as factoring lifecycle costs into capital budgets and exploring how behavioural change might reduce energy demand. In implementing the plan, be clear about objectives, timeline, budget and the role people in the organization will play. Staff should be trained and coached over time so that energ y-sav ing practices simply become the status quo. Finally, measurement and verification confirms and quantifies energy savings to prove return on investment and/or to find ways to refine the plan and capture more savings. This can be especially effective in a multi-building portfolio where the energy management measures are tested first at one location and rolled out elsewhere later. i
Rodney McDonald, MA (Environment and Management), CMC, LEED AP is President of The McDonald Consulting and Real E s t a t e C o m p a n y, I n c . F o r m o r e information, see the web site at http:// mcdonaldsustainability.com/
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