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January/February 2012 Vol. 9 No. 2

TransporTaTion ManageMenT

CenTre DoN SchouteN,

WorkSaFe Bc

INFraStructure

BoNDINg & INSuraNce

rooFINg

WILSON M. BECKINSURANCE SERVICES INC.

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In this fast-paced and ever-changing B.C. construction marketplace —now more than ever — you need your insurance and bonding broker to beexperienced, proactive and sensitive to deadlines.

For over 25 years, Wilson M. Beck Insurance has been on the side of contractors providing the B.C. construction marketplace with insuranceand bonding services.

CALLWILSON M. BECK INSURANCE SERVICES INC.

Wilson M. Beck Insurance Services has been on the side of contractors providing the B.C. construction industry with insurance and contract bonding since 1981.

Dan [email protected]

Cheryl Mah

Malika AliMike BindasTonya De CastroSigurd DelblancMike HillDave KalashnikovTed KatsorisSteve McConnellJ. Marc MacEwingKevin MatwickTim NorthupDuane PalibrodaGordon C. WeatherillDavid Vonesch

PUBLISHER

MANAGING EdItoR

CoNtRIBUtING wRItERS

B.C./ALBERtA SALES

January/February 2012 | Volume 9 No.2

PRINTED IN CANADA

PUBLISHED BY

PRESIdENtKevin Brown

vANCoUvER offICE 114 – 42 Fawcett DriveCoquitlam, BC V3K 6X9Tel: 604.549.4521Fax: 604.549.4522

toRoNto offICE 1000-5255 Yonge St.Toronto, ON M2N 6P4Tel: 416.512.8186Fax: 416.512.8344

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Return all undeliverable Canadian addresses to:Suite 1000 — 5255 Yonge Street, Toronto, Ontario, M2N 6P4

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Construction Business is British Columbia and Alberta’s construction magazine. Each issue provides timely and pertinent information to contractors, architects, developers, consulting engineers, and municipal governments throughout both provinces. Complimentary copies are sent bi-monthly to all members of the Architectural Institute of B.C., B.C. Construction Association, B.C. Roadbuilders and Heavy Construction Association, Consulting Engineers of B.C., Construction Specifica-tions Canada — B.C. Chapter, Greater Vancouver Home Builders’ Association, B.C. Ready-Mixed Concrete Association, Independent Contractors and Businesses Association of B.C., Urban Development Institute of B.C. and Vancouver Regional Construction Association.

Inside

Industry Focus16 RoofingLargest Solar Energy SystemRoofing Assembly Selection: Owners’ RequirementsDramatic Roof Form

22 Bonding & InsuranceBusiness Continuity and Succession PlanningSelecting an Insurance and Bonding AdvisorNew Home Warranty InsuranceMaintaining a Good Relationship

28 InfrastructureInnovative Bridge LaunchProviding Clean Drinking WaterA New Landmark Gateway

Departments04 Message from the Editor

34 the Legal fileSubrogation Rights The Serious Matter of Business NamesRisk to Contractors and Owners

37 Architect Corner Innovative Cultural Amenities

38 Industry News

06 connectionsdon SchoutenAs the manager of industry and labour services WorkSafeBC for construction, Don Schouten works closely with stakeholders to provide services and programs that promote safety.

10 Feature Projecttransportation Management CentreA new purpose built building in Coquitlam will centralize transportation services in the Lower Mainland.

Cover PhotoUnder construction, the new Transportation Management Centre will monitor and manage traffic flows on major roads and transit systems in Lower Mainland.

Dan GnocatoTel: 604.549.4521 ext. 223

MARCH 20 & 21, 2012

NOVEMBER 6 & 7, 2012

FEB 13 AND 14, 2013

Construction Business is published six times a year by MediaEDGE Communications Inc. as follows: January/February, March/April, May/June, July/August, September/ October, November/December.

Yearly Subscription $23.95 + HSt

REPRINtS: No part of this magazine may be reproduced in any form — print or electronic — without written permission from the publisher. Requests for permission to reprint any portion of this magazine should be sent to the publisher.

Circulation Inquiries: 416.512.8186 ext. [email protected]

construction business January/february 20124

Editor’s Note

Inspired Design

Hard to believe spring is just around the corner. Already our garden is showing signs of new growth. One of my favourite gardens to visit is

the VanDusen Botanical Garden, a beautiful green oasis in the heart of Vancouver. This past Christmas, my family and I once gain enjoyed the annual Festival of Lights there — always a stunning display to help celebrate the holiday season. Equally stunning is the new Visitor Centre, which opened last October.

Designed by Perkins + Will, the centre is a striking entrance that is already receiving international recognition and accolades for its inspired design and Living Building sta-tus. What is particularly eye-catching is the dramatic undulating orchid-shaped wood roof structure.

Fast + Epp, structural engineers on the proj-ect, talks about the design and challenges of the structure in our roofing feature. We also take a look at the largest commercial solar energy sys-tem on Okanagan College’s Jim Pattison Centre of Excellence in Sustainable Building Technolo-gies and Renewable Energy Conservation. More than 1,000 solar panels were used on the project.

For our profile, I chat with Don Schouten, manager of industry and labour services for con-struction at WorkSafeBC. He has worked in the industry for more than 20 years and now works with industry stakeholders on health and safety initiatives to reduce injuries and claims.

Improving safety is also a function of our fea-ture project in this issue. The Transportation Management Centre (located along Highway 1 in Coquitlam) will manage traffic flows on major

roads in the region and serve as a command cen-tre in the event of disaster. The need for the cen-tre to be operational in 2012 meant a challenging tight schedule for the project team.

Finally, in our annual look at Bonding and Insurance, you will find a wealth of information on the importance of succession planning; main-taining a good relationship with your surety; selecting an insurance and bonding advisor and the financial responsibility of builders under the New Home Warranty in B.C.

Cheryl MahManaging Editor

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Safety Matters

Construction continues to be one of the highest risk industries in which to work but the good news is the injury rate in B.C. has steadily declined year

after year through increased safety awareness, education and enforcement.

“In 1989, the injury rate was 13.7 per cent and in 2010 it was 4.3 per cent,” says Don Schouten, manager of industry and labour services for con-struction at WorkSafeBC. “Safety is improving. It’s becoming a part of the culture but we still have a long way to go because ultimately the goal is for nobody to get hurt.”

Construction employs a large number of people throughout the province — representing approximately 39,000 employers and 149,000 workers. Partnering with industry on health and safety initiatives is key to WorkSafeBC’s strategy in reducing injuries and claims.

“I come from industry. I know it very well. I know the people at the table want to do the right thing,” says Schouten. “I want to work with in-dustry to make a difference and make it a safer environment for everybody. I want to make it possible for everyone to go home safe at the end of the day.”

After more than 25 years working in the in-dustry, Schouten knows first hand the impor-tance of safety as well as how attitudes about safety have changed.

“I remember my father doing chimneys and put-ting sawhorses on top of scaffolding and standing on tippy toes to reach the last course of bricks — it was about getting the job done and not think-

ing about safety and those around you. If you go around jobs sites today, that’s certainly changed,” he says.

Born in Edmonton, Schouten grew up in the Lower Mainland and started working in the construction industry at an early age for his father who was a bricklayer. He then worked as a framer in the residential sector while earn-ing his BCIT diploma in civil engineering and structural technology.

After graduating in 1984, he went to work for a large commercial roofing company. He helped to grow the business for more than 20 years, eventually becoming the manager. During this time he was also involved with a number of in-dustry associations as a board member and began to develop a passion for safety.

“In my role on the boards, I certainly worked with WorkSafeBC and was pleased with their partnership with industry to try to bring safety to the forefront, so when an opportunity rose to join them I decided to make a change,” he re-calls. Schouten joined the agency in 2006 as an industry specialist in construction. He assumed his current position in 2008 after the retirement of Don Nelson.

“My objective is to hopefully give back to the industry and to make a difference by help-ing to improve safety in the construction in-dustry,” says Schouten, who oversees a team of three. “Our role here is to help continue to shift the safety culture so that safety is thought of at the front lines as opposed to something you have to do.”

BY CHERYL MAH

Schouten and his team consult and work directly with industry to develop tools and re-sources to address various safety issues. The focus will continue to be (through its high risk strat-egy) on the top three sources of serious injuries: falls, struck bys and overexertion. Together, these three account for more than 70 per cent of all in-juries in the industry.

“Falls is number one. When workers fall it’s generally a serious injury,” says Schouten, noting ladders are one of the most commonly used piec-es of equipment and one of the most dangerous. “We want to draw more attention to the proper use of ladders and get the message out there to make sure it’s top of mind.”

There were 869 reported falls from ladders in 2010. The construction industry accounts for 42 per cent of all fall-from-ladder claims. Roof-ing is particularly high risk because of falls. The workplace injury rate for roofing far exceeds the average provincial injury rate for all industries in B.C. It is also the sector most frequently pe-nalized for violations of regulations.

“Any time you’re working at heights is certain-ly a concern. The use of fall protection is critical for that sector,” says Schouten, adding that’s why they will be hosting another roofing symposium for steep slope in partnership with RCABC and BCCSA on March 28.

Another concern is occupational disease. In 2010, there were 32 deaths in construction, 19 of which were due to occupational disease representing the highest number of work re-lated fatalities in any industry sector in B.C.

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Connections

Asbestos is a leading cause of fatalities and it’s expected to remain a top killer for the next several years as more workers get sick and die from decades-old exposures.

“We are seeing a number of fatalities from as-bestos so we want people to be aware that asbes-tos is still out there,” says Schouten. “There’s an asbestos team of officers that are going around making sure that — particular in house demo-litions — proper procedures are in place prior to demolitions.”

A range of program and services are available through WorkSafeBC’s construction portal on-line including toolbox talks, hazard alerts, videos and bulletins. Videos and toolbox talks (approxi-mately 10,000 toolbox talks are downloaded a month) can be downloaded and used right on site. It’s all about making information easily ac-cessible for people.

“That’s one of the reasons why we now have the regulation app for instance. People can download the app and the regulations are right on their iPhone. We’re looking at doing more of that — providing that type of easy access,” explains Schouten. ”As technology evolves, we want to be leading edge so that people can find what they need quickly.”

Following good safety practices will not only save lives and reduce injuries, but can also im-prove a company’s bottom line.

“Rather than thinking of safety as a burden, it actually is an asset,” states Schouten. “Nowadays

people are looking for a company’s safety pro-gram before they hire you.”

Increasingly, a Certificate of Recognition (COR) is becoming a common requirement when contractors are bidding on contracts, which reinforces the importance of safety while giving companies a competitive advantage.

“The COR program is not just about the re-bate. A good safety record is important. If I’m a safe company, people want to work for me and it will help me get jobs,” says Schouten. “Being COR certified makes you look at your company and see where you’re at and helps you move for-ward to improve safety in your company.”

Despite lower injury rates and claims (under 7,000 in 2010), the construction industry has seen an increase in the average duration of claims over recent years. From 2008-2010, the con-struction industry average duration increased from 52.5 days to 74.3 days.

“We want to focus on prevention, making sure incidents don’t occur in the first place but if someone does get injured, we want to make sure they get proper care and get back on the job sooner,” says Schouten. “It’s actually ben-eficial for everybody to have the worker come back when they can and be rehabilitated on the worksite.”

Ultimately health and safety is everybody’s responsibility and Schouten would like to see the construction industry address safety concerns collaboratively.

“As in everything, there are opposing views. I want politics [and finger pointing] to be out of safety. I want the collective focus to be on the common goal to see that no one gets hurt,” says Schouten, citing the merger of the two con-struction safety associations in 2010 as a move in that direction.

Although challenges still exist, Schouten is optimistic about the industry’s ongoing ef-forts and stresses planning for safety is key. Having the right safety equipment and train-ing is as equally important as having the right tools and materials.

“Plan for safety like you plan any other part of your job,” he advises. “The goal is nobody gets hurt and planning for safety is key to achieving that goal.”

Outside of work, the most important thing for the 49-year-old is spending time with his young family. He has two children, Adam and Jessica, and has been married to Shawna for 10 years.

Following good safety practices will not only save lives and reduce injuries, but can also improve a company’s bottom line.

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Feature Project

Mobility and reliability of Lower Mainland’s transportation network will be significantly improved when the new Transportation Manage-

ment Centre becomes operational in 2012.Occupying a highly visible location along

Highway 1 in Coquitlam, the centre will pro-vide office and administration space to moni-tor and manage traffic flows on major roads and transit systems in the region. It will bring together multiple agencies to ensure more ef-ficient and effective customer services for the public and key stakeholders.

The purpose built commercial building, designed by Merrick Architecture - Borowski Sakumoto Fligg Ltd., will house a new multi-jurisdictional Regional Traffic Management Centre (command centre in the event of di-saster) and consolidate various Ministry of Transportation regional services in one loca-tion. It will also serve as home to Transporta-tion Investment Corp (administrative crown corporation for the Port Mann/Highway 1 Improvement Project) and the Port Mann toll operations centre.

“Our overarching architectural design goal was to develop a cost effective environmentally responsible building,” says principal-in-charge Graham Fligg of Merrick Architecture.

EllisDon is delivering the project (base build-ing and second floor) on a fixed lump sum con-tract, breaking ground in May 2011. The 80,000 square foot concrete and steel structure is clad with a combination of curtainwall and compos-ite metal paneling.

The bulk of the building rises four storeys. The first floor contains open covered parking and building systems service spaces. An angled por-tion of the roof was designed to accommodate and conceal service equipment without adding a full additional floor.

As a post disaster facility, the building must meet higher structural performance standards. Additional components include servicing re-dundancies, emergency generators, on-site storage of fuel for generators, and on-site stor-age for potable water and sprinkler suppres-sion systems.

EllisDon project manager David Hainsworth reports that construction is roughly 65 per cent complete as of January with the project on schedule to complete in June 2012. Manpower is averaging about 120.

Centralized ServicesBY CHERYL MAH

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Feature Project

The site posed some initial geotechnical chal-lenges but the project was able to gain time by not going to a pile driven facility. Instead, a float-ing slab with grade beams was used to address poor soil conditions.

“Because of that structural approach, we were able to gain some schedule with minimal disrup-tion to nearby residents,” says Fligg.

Once out of the ground, the $20 million proj-ect has been fairly straightforward with minimal change orders. “The real challenge has been the tight schedule,” says Hainsworth.

Adding to the tight schedule was the chal-lenge of turning over a 600 square foot server room to the users at the beginning of Janu-ary 2012. EllisDon had to accelerate con-struction for that portion, meaning advanc-

January/february 2012 construction business 13

Feature Project

ing components like power and equipment that would normally occur at a later date. “Normally the server room is turned over at the end of the project, not half way through it so get-ting that done ahead of the main schedule was quite a challenge,” explains Hainsworth.

Fligg also cites the schedule as the main chal-lenge on this project, crediting exceptional col-laboration from the City of Coquitlam for streamlining approvals.

“Putting together the documents and getting municipal approvals in an extremely compressed timeframe was a huge challenge for us,” he says, adding normally a building of this size would require 9-12 months before going to tender and then about another 24 months for construction. “This project will be complete in 21 months

from design concept to occupancy and that in-cludes full tenant improvement for one third of the building.”

A separate tender will be called for the ten-ant improvements on two other floors following Phase one, which is expected to take another six months to complete.

Designed to LEED Gold standards, the build-ing features a number of sustainable strategies in-cluding passive solar shading, green roof and low VOC materials. The building is oriented on an east-west axis, maximizing daylighting potential and minimizing heat gain.

Fligg feels the project is a good example of how to achieve LEED without a lot of complexity.

“We as a firm often refer to sustainable design as responsible design,” he says. “Sustainability is

all about the appropriate application of resources in a relatively straightforward way. LEED de-sign does not have to be expensive. The schedule would not have been achieved if the design was not practical.”

...normally a building of this size would require 9-12 months before going to tender and then about another 24 months for construction.


Feature Project

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Located between two highways, the build-ing utilizes double-glazed windows to address soundproofing. Fligg explains one key compo-nent of many LEED based buildings is to have “fresh air and operable windows.” In this case, it was not possible because of the traffic noise and emissions.

“We had to look for innovative cost effective design elsewhere that could qualify for LEED Gold and the green roof is one of the solutions,” he says.

A major thrust of the design concept was to incorporate a rooftop garden amenity area and extensive at grade landscaping, which respon-sibly integrates surrounding environmentally sensitive creeks and ultimately restores a once derelict site.

Wood elements have also been included in the design, in accordance with the provincial Wood First policy. Six Douglas fir glulam beams are fea-tured on the west facade for both aesthetic and structural purposes. Wood has also been used to support aluminum sunshades.

Hainsworth notes the installation and assem-bly of the glulam beams were also challenging. “They were quite large and technically difficult to do but everything has gone well.”

Another feature of the building is the use of coloured glass.

“All the spandrel glass is comprised of three different colours — blue and green hues — which helps to give the building some subtle visual depth at no extra cost,” explains Fligg.

The location also meant very limited access to the site. Future municipal improvements for road access are planned.

The strong working relationship among all the parties was cited as key to the success of this project.

“It’s because of the performance of EllisDon that we are meeting the schedule. We could not have a better contractor and they have more than risen to the schedule challenges,” says Fligg. “This is a flagship example of what you can achieve through a traditional design-bid-build process with collaboration and coopera-tion by all involved.”

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Completed in spring 2011, the Okana-gan College’s Jim Pattison Centre of Excellence in Sustainable Building Technologies and Renewable Energy

Conservation educates future green construction tradespeople on sustainable building technolo-gies. Built in accordance with the Living Building Challenge (ilbi.org), an ambitious program that requires buildings to reconcile with the natural environment towards achieving net-zero energy operations and minimal water consumption, the Centre saw solar energy as a key component to-wards meeting its environmental goals.

A 260 kW commercial solar electric system —the largest system installed in Canada outside of Ontario — was installed on the facility. Working on a fairly tight deadline, our team of profession-al engineers, photovoltaic (PV) technicians and experienced installation crews worked closely with other contractors in order to complete the installation of the PV system in 50 days. The greatest challenge was in accommodating modi-fications to optimize the system for the available roof space and on-site shading conditions.

Using 1,106 Conergy P solar modules, chosen for their low cost and high performance, the system layout required a wide variation in array-tilt angles to maximize the amount of power that could be generated from the 23,000 square-foot-roof space. Satcon Solstice inverters and subcombiners al-

lowed for the varying string lengths and tilt angles required. Four solar chimneys, each holding nine modules, were also integrated with the system, and careful consideration was given to maintain desig-nated green spaces and access for students to view the solar panels and conduct testing.

Roofing

Largest Solar Energy SystemBY DAVID VONESCH

More than 1,000 solar

panels were used on the

Centre of Excellence.


Students, staff and visitors at the Centre now have the opportunity to learn hands-on how the solar system works, monitor its efficiencies throughout the building, as well as its interac-tion with the municipal power grid. The system allows for excess energy during the summer to be fed into the grid and drawn back in the win-ter to continue powering the “living lab”. If the solar electric system is producing more power than the Centre of Excellence is using at any given instance, that excess power goes to the next closest load in the electrical grid, whether it be another building on campus or the coffee shop down the street.

Overall, the complete system is expected to produce 292,500 kWh per year and will decrease operating costs by allowing the Centre to realize energy neutrality on an annual basis. Special-ized software that measures local climate condi-tions, solar array angle, shading, and efficiency losses was used to determine what the Centre can expect in terms of energy production. A bi-directional electrical meter installed by the util-ity measures precisely both what is leaving the building and entering the building.

There are many indications that the future of solar in Canada will continue to be promising. According to the Government of Canada, the av-erage annual market growth for PV technologies has been more than 20 per cent for more than a decade. Revenues in the solar photovoltaic in-dustry were up 60 per cent in 2010, to more than $1.1 billion. There was also a revenue increase of more than 75 per cent to $37.5 million for the solar thermal industry.

As the cost of traditional energy continues to rise and the price of solar panels remains low, there’s never been a more affordable time to in-vest in solar energy.

Critical to the continued strength of the solar industry, however, is the need for skilled labour, particularly for experienced and certified techni-cians and installers.

The solar industry in western Canada is still in its infancy and there are far more people trying to find work in the industry then it can support at this stage. But if the establishment of the Centre of Excellence is any indication, the solar industry will continue to grow into 2012 and beyond.

David Vonesch, BSc. Eng, is a certified pho-tovoltaic technician with SkyFire Energy Inc, an industry leader in delivering solar solutions for government, commercial, industrial and residential properties. www.skyfireenergy.com

Roofing

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…the average annual market growth for PV technologies has been more than 20 per cent for more than a decade.


Modified bitumen roofing, PVC, TPO’s EPDM, 4ply felt, asphalt gravel membranes, inverted, built-up assemblies, loose laid, ballasted,

mechanically fastened systems, which one to choose for this owner, and this building? The available combinations of material and instal-lation methods can seem endless and in some instances overwhelming. We have often been asked, by many clients, for the reasoning behind our selection for a specific roof design. Although consultants, architects, builders, etc., may have their own preferred assembly, one must also be aware that one specific roof assembly may not be the most appropriate for all possible applications.

For these reasons, we have attempted to pro-vide a “check list” outlining a series of require-ments that should be considered thoroughly by all parties when determining the type of roof as-sembly that will be designed, installed and let’s not forget maintained. Whether this roof will go on a newly constructed building or it is a re-roofing situation, the process of determining the most suitable type of roof assembly includes un-derstanding the following:

• Owner’s Requirements, • Building Constraints, • Seasonal Constraints and finally the • Design Requirements.

For the purposes of this article, we will focus on understanding the owner’s requirements. There have been numerous articles written by other pro-fessionals within the industry in regards to “select-ing the right roof system”. However, in reading those articles one common element that is often neglected is — what does the owner what this roof to do. Many designers often forget that once in-stalled, the owner will have to live with and main-tain the roof for its designed life expectancy — as-sume 20 years. Good or bad, the owner is stuck (for lack of better word) with this roof assembly.

Understanding the roofs intended function is just as important as selecting the various ma-terials that will comprise the new roof assembly. Thus it is prudent to speak to the owner and their operating staff to determine their experience (if any) with other assemblies and whether or not they have a preference. Additionally, especially in re-roofing situations, one must determine why the roof is being replaced.

Conventionally, it is one of two reasons: • It has reached the end of its design life and it is

no longer economically feasible to maintain; • It has failed prematurely. The first one is easy — “yes the roof is old and

needs replacement” or “yes, we need a roof for our new building.” The second reason must be clearly un-derstood, as it will have an impact on the new design. In other words, we do not want to repeat the same mistakes that caused this roof to fail in the first place.

Whether designing for a builder / architect or direct owner it has been our experience that these first steps are critical in the design of a roof-ing system. The following is a comprehensive list of additional information that should be gath-ered through consultation with the client:

Project: Was this a planned or unplanned project?Budget: Knowing what the budget is prior to

the start of design will assist in the selection of an appropriate system. Budget is not only affected by system selection, but access to and from the work area, time of year, etc.

Insurance requirements: For example, is this or will this building be insured by Factory Mutu-al, as they have strict prescriptive design require-ments that have to be adhered to.

Usage: Is it the client’s intent to use this roof assembly to simply keep the elements out, or will it, for example, be used as a vegetated assembly, terrace for gathering, do they intend to install so-lar panels on the roof, etc.?

Time of Work: Are the operations of this fa-cility such that work can only be performed dur-

ing off hours, such as weekends, night or other time restrictions?

Environmental: Are there sensitive areas within the building where noise and odour will become an issue? This holds especially true when re-roofing an existing building and/or working next to an occupied facility.

Tenant Requirements: The tenant may demand / request to be part of the design process, especially if material will be taken through their space.

Access to roof: How will workers and mate-rial be transported to the work area?

Maintenance: Is there a maintenance budget for this roof ?

Understanding these points is essential in the selection of a proper roof design as one or more of these points will have an impact as to what is selected. For example, there may be buildings that will have numerous mechanical units on the roof, requiring regular maintenance by both internal and external work forces. The resulting foot traffic in-creases the probability that the membrane may be accidentally damaged by mechanics dropping tools, dragging equipment around, cutting, welding on the roof, etc. There have been many instances where a mechanic has dropped a tool and inadvertently / unknowingly punctured the membrane. Left un-checked water will enter the system and begin the process of damaging the roof and its components to the point where it becomes un-economical to repair and a replacement is warranted.

Alternatively, one may be re-roofing a building in a built-up area where the material cannot be brought up or down from the side of the building, but will have to be carried to and from the work area through the prime tenants space, up and down the main eleva-tors and finally out through the main lobby. Further-more, the prime tenant has a sensitive work space, and therefore built-in redundancy is imperative and finally, as this is an unplanned project and funds are very limited. These conditions immediately limit the type of systems that can be selected for this project.

For a project to be successful the owner’s input is fundamental. In new roofing, we as designers may have some flexibility. However, in re-roofing operations, our options quickly become limited by factors outside of our control. Forgetting / ignor-ing to ask, educate and obtain owner buy-in to any proposed roof design dramatically increases the probability where the specified product may not meet the owner’s short and long term needs.

Ted Katsoris B. Tech., Arch. Sc., CCCA, BSSO, department manager and Tonya De Castro B. Arch Sci., building science consul-tant are both with Morrison Hershfield Lim-ited, building science department, building energy and technology group.

Roofing

Roofing Assembly Selection: Owners’ RequirementsBY TED KATSORIS AND TONYA DE CASTRO

tynehead Pedestrian overpass

tEagle West Cranes, a crane rental company that is COR certified by the BC Construction Safety Alliance, was contracted to as-semble three large bridge sections. These bridge sections were to be assembled on site and lifted into place, creating the Tynehead Cycling and Pedestrian Overpass in Surrey, B.C.

This $6.78 million overpass project connects Tynehead Regional Park with Fraser Heights. It spans Highway 1 at 168 Street and can be seen as you head eastbound from Vancouver, just after you cross the Port Mann Bridge. This overpass is 122-metres long and is illuminated at night with the lights being programmed to match the season and special occasions.

This particular project was located above a main gas pipeline. Each of the three sections needed to be individually assembled before they were lifted into place. Eagle West Cranes’ technical centre, Belair Fabrication Ltd. (general contractor), and the gas company worked closely to devise a plan that included AutoCAD drawings, lane closures, night work, and several cranes. The ultimate goal was to lift each section safely and efficiently into place.

With more than 40 cranes to service B.C.’s lifting and moving needs, Eagle West provided two cranes that were perfectly suited for the project — a Link Belt ATC 3200, a 200-ton all-terrain crane and a Liebherr LTM1220-5.1, a 270-ton all-terrain crane, to assemble and install the three bridge sections. These two cranes had to work seamlessly together to lift the three sections safely into place. The installation of the second and third sections required the east and westbound lanes of Highway 1 to be shut down — subsequently, the work had to be completed at night. Four hours were allocated for the closure and the team was required to complete the installation of the remaining two sections within this time frame.

Eagle West’s technical centre, the general contractor, and the gas company worked as a team to pre-plan the night lift procedures. When you are working with lane closures and a tight time frame it is essential to pre-plan the lifts to ensure that the work is done safely and ef-ficiently. Gary Klynsoon, technical lead at Eagle West Cranes commented, “Ultimately, the project went very well. We worked intensely with the general contractor, the gas company and the engineer until we had a plan which worked for everyone.”

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testimonial “I was involved with site visits to different crane companies and it was highly recommended that we choose Eagle West, based on their expertise and excellent equipment fleet. Eagle West performed their duties very well and completed a job well done. I’m happy to use their services again and recommend them to others.”

— Lloyd Ratzlaff, site supervisor, HRC Construction


Roofing

the thoroughfare along Oak Street between King Edward and 33rd Av-enue in Vancouver has never been a particularly inspiring drive. Motorists

funnel past non-descript retail buildings, a hos-pital, and field hockey players battling it out on an adjacent high school’s artificial turf.

But all that changed in the spring of 2011, when cranes, construction workers and flatbed trailers loaded with roof panels rolled onto site at VanDusen Botanical Garden. Now, it seems, passersby can’t help but turn their heads.

The crews have just finished erecting the city’s greenest building — an iconic new 19,000 sq. ft. visitors’ centre — targeting Liv-ing Building Challenge and LEED Platinum status. The striking entrance point serves as a welcome portal featuring an interactive educa-tion centre, lecture rooms, exhibition space, a cafe, and guest services — all with the inten-tion of revitalizing public interest in the gar-dens. But it’s the dramatic free-form, organi-cally-shaped roof structure that makes people take a second look, as it emerges midway along the tree-lined block. Its form metaphorically represents petals of an orchid, drooping seam-lessly into the surrounding landscape like an extension of the garden itself.

It seems fitting that architects at Perkins + Will Canada — a firm long associated with successful wood innovation and green building design — along with their team of engineering consultants, arrived at a sustainable wood solu-tion for the new visitor centre. Coincidentally, the garden gets its name from Whitford Julian VanDusen, a local lumberman and philanthro-pist whose vision saved the 55 acre parcel of

land from residential development in the late 1960s. A graduate of the forestry program at the University of Toronto who later worked for the provincial government in the wood indus-try, VanDusen felt it important to preserve the grounds for future generations.

While similarly complex building forms — like Spain’s Guggenheim Bilbao Museum or the Music Experience Building in Seattle, Wash-ington — have been achieved through the use of steel or concrete, the same results have rarely been attempted with wood. Though the $22-mil-lion building and roof structure may have looked

seamless on paper, actualizing the design proved a demanding task. Nevertheless, the design team forged ahead. Several of the firms involved were no strangers to the challenges of using sustain-ably-harvested wood as a primary building mate-rial in unconventional circumstances.

Structural engineers at Fast + Epp, in par-ticular, had unearthed new potential for wood construction less than five years prior, when they spanned the six acre roof of the 2010 Win-ter Olympic Speed Skating Oval with pre-fab-ricated WoodWave panels. Developed by Fast + Epp’s affiliate design-build company Struc-

Dramatic Roof FormThe VanDusen Botanical Garden Visitor CentreBY DUANE PALIBRODA

NIC

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UX


Roofing

tureCraft Builders, the WoodWave technology was formed from economical and abundant 2x4 lumber pieces and incorporated acoustical, me-chanical and electrical elements into each panel.

Based on this prior experience at the Oval, Fast + Epp quickly established that similar meth-ods could be applied to the VanDusen project, according to the firm’s managing partner, Paul Fast. He says the key to solving VanDusen’s com-plexities was “to simplify, and break it down into bite-sized chunks.”

He says pre-fabrication seemed the best op-tion, as thermal insulation, sprinkler pipes, light-ing conduits, acoustic liner, and wood ceiling slats could all be pre-installed in the unique roof panels. This holistic approach to design — though somewhat daunting in initial conception stages — meant construction crews would spend less time troubleshooting on site and the potential for wa-ter damage would be minimized during Vancou-ver’s inevitably wet months.

Given the project’s precedent setting con-struction techniques and complex geometry, timber construction and pre-fabrication meth-ods seemed the most probable way to meet the project’s “almost-impossible” schedule deadlines.

Each of the 71 different roof panel sizes and shapes was informed by the dimensions of the flat deck truck that would transport it to Van-Dusen from the StructureCraft shop in Delta, B.C. The roof structure modules were typically

trapezoidal shaped panels within a 3.6-metre-wide by 18-metre-long shipping size. These pan-els consist of doubly curved, glue-laminated edge beams that not only act as primary supporting components, but were also ingeniously used as “jig” members on adjustable shoring posts that defined spanning between the complex indi-

vidual panel geometry during the prefabrication process. Conventional plywood sheathed 2x8 framing spans between the edge glulams, while a secondary layer of light framing forms the sup-port structure for undulating wood slat ceiling finish. Particularly challenging was the framing of large, cantilevered “petal” tips and the central oculus with its steep side walls surrounding a sky-light opening, according to Fast.

Engineers also developed a lateral system to support the heavier mass of the building’s green roof, locating steel braces and curving concrete walls strategically, so both the functional layout and breathtaking views of the surrounding gar-den would remain unimpeded. In addition, the undulating twists and turns of the building’s 50 foot atrium required the development of a universal panel-to-column connection to avoid unique connections at every support location.

To aid them in this task, three different high-powered computer modeling programs were used by the architectural, engineering and con-struction team. This software — Rhino, Revit and Inventor — developed the multifaceted geometrical shape and each individual building component. This three-dimensional technology ensured accurate in shop assembly and precision fits when the pieces later arrived on site.

The resulting building is a testimony of the ‘A-Game’ that architects, engineers and builders brought to the table — in some ways, a lasting trib-ute to the man who fought to save the gardens.

Duane Palibroda, P.Eng., Struct Eng., M.I.Struct.E., LEED AP, is the managing as-sociate at Fast + Epp Structural Engineers in Vancouver. His project experience includes numerous award-winning public, institutional, transportation and residential works in Cana-da and the United Kingdom.

…the building’s 50 foot atrium required the development of a

universal panel-to- column connection

to avoid unique connections at every

support location.

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Bonding & Insurance

the construction industry has many el-ements of risk, including increasingly complicated projects, tougher contract wordings, and larger job sizes as gov-

ernments bundle jobs together. You have talented and experienced people to handle these challeng-es, but what contingencies have you implement-ed should these people no longer be available?

A good business plan is a cornerstone for suc-cess in any organization, and key components are continuity and succession planning. Whether your construction company is just opening its doors or is a seasoned entity, having a good plan in place can enhance the surety’s view when un-derwriting your program. The key question in designing any plan is quite simple: “What could happen when you (or other key people in your organization) are no longer there?” The loss of a shareholder or other key person can occur for any number of reasons, such as illness, disability, death, or retirement. It is critical these business altering events be planned for in advance, so as not to seriously impair the organization.

Let’s first discuss traditional “insurance” con-tinuity planning. Consider for example if you, as the sole shareholder and the prime person re-sponsible for running the business, became seri-ously ill or disabled and could no longer work. Does the business carry critical illness or dis-ability insurance on you? Or if you passed away suddenly, is the business the beneficiary of a key main life insurance policy? These kinds of insur-ances would provide your business with funds needed (life insurance particularly on a tax free basis) to hire people who can see jobs through to

completion; pay or reassure creditors who may become nervous about cash flow; provide a mea-sure of certainty to employees who will see a plan is in place and working; and perhaps most im-portantly relieve your family of financial distress while they try to cope with the emotional impact of your incapacity or demise. It is also important to note, with a continuity plan in place the busi-ness has a better chance of retaining its value in the event it is ultimately sold due to your being unable to return to work. If you have such meth-ods of protection in place you should ensure your surety is fully aware of them, as evidence of the lengths your company has gone to protect itself — and the surety.

A similar scenario can come into play if you are one of a number of shareholders. In this case, the proceeds of a life insurance policy for ex-ample could again be used to not only assist in acquiring additional resources but also to fund the purchase of your shares into treasury by the company. In both this and the above example, the insurance relieves your family of the burden of stepping into the business as owners when they may have no interest in doing so.

Succession planning and continuity planning are often discussed together, and while argu-ably there can be some overlap, they are differ-ent issues. Succession is the orderly transition of a business from retiring shareholders to the next group, and provides for the natural evolu-tion of the company. Even if you are the only shareholder, you should give due consideration to your wishes in this regard. What plans are in place to buy out existing shareholders as they

move on? How will the value of the business be determined at that time? Are key employees be-ing groomed to take over and what incentives are being utilized to retain them, such as the opportunity to obtain equity in the company before you retire? With a shortage of skilled workers coming through the ranks to replace the baby boomer generation, this is an area re-quiring particular focus.

As underfunding and lack of planning are two items that can ruin a business, it is important to give both continuity and succession due regard. And as these are dynamic and changing, the plans should be reviewed and updated as needed. They should be documented in a well-crafted shareholders agreement, to include buy-sell pro-visions between the shareholders and insurances such as those mentioned above. Seek professional advice from those who are experienced in succes-sion planning and understand the construction business. Lastly, work with your surety broker to keep your bonding company apprised. While continuity and succession are only one compo-nent of many the surety reviews, your broker can help promote this aspect of your business. Demonstrating your corporate sophistication by showing you are clearly focused on these issues will build additional credibility and help maxi-mize your bond support.

Tim Northup is vice-president, contract surety for BFL Canada Insurance Services Inc. He has more than 20 years of surety underwrit-ing experience and is an active member of the Surety Association Of Canada.

Business Continuity and Succession PlanningImportant to You and Your Surety as a Business Partner BY TIM NORTHUP

…having a good plan in place can enhance the surety’s view when underwriting your program.

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CONSTRUCTION BUSINESS

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January/February 2007 | Vol. 4 No. 2

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To advertise your products, services and expertise or for more information on customizing an advertising program, please contact:

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Advertise in Construction Business... and get it working for you!


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January/February 2007 | Vol. 4 No. 2

PLUSVANCOUVER’S DIRECTOR OF PLANNING

BRENT TODERIAN

OLYMPIC CONSTRUCTION

BONDING AND INSURANCE

ROOFING

ARCHITECT CORNER

LEGAL FILE

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M 40063056




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Endorsed by the leading construction, design and architectural associations, Construction Business is the publication of choice by advertisers who want to reach the decision makers in the multi-billion dollar B.C. and Alberta construction marketplace.

To advertise your products, services and expertise or for more information on customizing an advertising program, please contact:

Dan Gnocato604.739.2115 ext. [email protected]


Bonding & Insurance

without a doubt things have be-come much more competitive in the construction sector. Competi-tion between the specialized con-

struction insurance and bonding brokers in B.C. has always been particularly fierce. Any contrac-tor who attends construction industry functions has no doubt witnessed this first hand. With the recent downturn contractors may have noticed an increase in the number of brokers calling for new business. Surprisingly, some of these new brokers may have been the insurance company underwriter recently turned broker, client list in hand, suddenly competing against their former broker partner for your business. Is this the right time to make a change? To make the correct de-cision, it is important to understand what your needs are, what type of brokerage fits your com-pany and what type of insurance personality will really help your business thrive.

Most insurance companies do not sell their commercial insurance products directly to the public. Instead, they use the independent broker network as their sales force, for which they pay varying amounts of commission based on the skill, size and growth potential of the brokerage. Brokerages fall broadly into one of the following categories: international publicly traded, region-al privately held and small retail broker. While each firm type is different in its own way, it is possible to make some sweeping generalizations for each broker type.

International publicly traded companies typi-cally hire sales staff on a high base salary basis, a generous expense account and a modest incentive system for new business and account retention.

They tend to have many specialized departments for different market segments and often have sepa-ration between client facing staff and those who negotiate directly with insurance company repre-sentatives. As multinationals tend to do, they of-ten shed staff when local offices are forced to make changes to respond to global or national corporate accounting directives. Internal competition with-in these firms can be intense.

A sales person at an international brokerage maintains his or her income and career longevity by making themselves an important part of large rev-enue generating clients or by controlling a portfo-lio of solid revenue producing accounts. No doubt inspired by the banking industry, management will often attempt to “institutionalize” larger accounts to prevent any one individual from controlling the client relationship. Trading of employees between competing brokers and even underwriters among these firms is not uncommon as they attempt to acquire staff with strong client relationships to gain market share. Once an account moves over, an at-tempt to institutionalize the relationship is usually made to make it more difficult for the account to move to another competitor in the future. The global reach that these firms are designed for is not relevant for construction and development compa-nies working within North America.

The regional privately held broker has the advantage of being nimble in the local markets they serve. Without a formal internal hierarchy, this type of broker can more easily craft unique solutions quickly to meet client needs. Sales staff are often compensated on a higher commission basis and may also pay their own expenses related to account acquisition and retention. This en-

trepreneurial structure is more apt to focus sales activity on new business production, client ser-vice and client retention. Sales staff will usually negotiate directly with both the client and insur-ance company representatives making communi-cation fast and efficient. Brokers at this type of firm secure their incomes and career longevity by making themselves an important part of the cli-ent’s risk management team. Successful brokers are less likely to make multiple company changes as the entrepreneurial structure tends to be more financially rewarding, assuming stable profes-sional ownership. The better brokers are often a part of the ownership group.

Small retail brokers tend to have a wide range of very modest accounts in multiple sectors. Neighbourhood based, they are able to provide very quick service for basic uncomplicated in-surance needs. Their revenue base is mostly auto and house insurance. Sometimes, sales staff can develop larger commercial accounts and pro-vide specialized market segment expertise but this is rare. Some small retail brokers are actually owned by larger regional players but will use a lo-cal trade name to appear more community based. Insurance companies may pay less commission to these smaller brokers on commercial accounts due to the lack of specialized expertise.

Sales staff at these brokerages typically fall into one of the following personality groups: the charismatic charmer, the consultant, the techni-cal expert and the clerk. Choose a consultant or a technical expert. Never rely on a clerk for your bonding or insurance needs. If you must use the charismatic charmer, make sure they are part-nered with a consultant or a technical expert.

Construction insurance is complex. Over-looked details can be very expensive. Your broker is your business consultant, risk manager, nego-tiator and most importantly, your advocate. They must be experienced in the construction sector and know the products available to you in a fluid insurance marketplace. Above all, they must have the ability to influence key underwriters and de-cision makers on your behalf.

Select a brokerage type that matches the needs, goals and philosophy of your organiza-tion. Choose an individual who has the knowl-edge and strength of character to negotiate on your behalf. A good bonding broker can add tens of thousands of dollars to your bottom line. A sloppy insurance adviser can cost you your busi-ness. Choose wisely.

Steve McConnell, BA, CGA, CAIB, is vice president of surety at Network Bonding & In-surance Services Inc. www.networkbis.com

Selecting an Insurance and Bonding AdvisorBY STEVE MCCONNELL


Bonding & Insurance

Since 1999, purchasers of new homes in British Columbia have been pro-tected by government statute and corresponding regulation intended

to “strengthen consumer protection for buy-ers of new homes and improve the quality of residential construction” in our province. The purpose of this article is to provide an under-standing of the conceptual framework under-lying this legislation and to explain how this legislation, in practice, protects home purchas-ers in British Columbia.

The Homeowner Protection Act (HPA) was created as the vehicle to protect new home pur-chasers. The mechanism used to accomplish this end was the British Columbia Insurance Act, through which Section 189.1 created and de-fined Home Warranty Insurance as “a contract of insurance covering defects in the construction of a new home or renovation, and consequential losses or costs incurred by the owner.”

Though home warranty is called insurance and despite the fact that licensed insurance com-panies do ultimately backstop the obligations underpinning the warranties issued in this prov-ince, there are some major differences between traditional insurance and how the B.C. New Home Warranty program functions.

For home purchasers seeking to be compen-sated for a “poorly” constructed home, the in-surance model i.e. indemnification for loss (or as Mike Holmes would call it – “making it right”) is available from the insurance company but, gener-ally, only if the builder is unable to or unwilling to respond to a valid claim that is covered by the leg-

islation and the more technically detailed HPO Residential Construction Performance Guide. In-surance is a two party arrangement in which one party transfers risk to another party in exchange for payment. This is a simple but not insignificant point which had to be addressed by the legislators to allow for the insurance model of compensation to function due to the fact that the insured (the homeowner) would not be paying directly for the warranty insurance coverage nor contracting di-rectly with the warranty provider (the insurance company). The builder is responsible for arranging and paying for the warranty ahead of time (before an owner even exists if the home is being built on speculation). In addition, the warranty must auto-matically transfer to subsequent purchasers of the home for the life of the warranty. The cost of the warranty can and generally will be passed from the builder to the purchaser, but the transaction for the warranty is never direct between the home-owner and insurance company. The Home War-ranty Insurance Provision within the Insurance Act takes care of this fact by amending the act so that “The home warranty insurance is enforceable even if there is no privity of contract between the owner and the insurer.”

So what if the builder is still active, building homes and accessible to the homeowner who is seeking remedy under the warranty? The short answer is that the builder is the one responsible to make any repairs that are validated and cov-ered by the Homeowner Protection Act Regula-tion (Part 2 of the regulation is where the details of the coverage are laid out). This is where the statutory protection moves away from tradi-

tional insurance and becomes much more akin to surety, which uses a three-way contract (called a surety bond) that provides a contractual prom-ise or guarantee of performance by a principal to an obligee and is backed by a surety (the insur-ance company). In the home warranty example, the homeowner is the obligee, the builder is the principal and the surety is the insurance com-pany. The homeowner will receive remedy, either from the builder directly or the insurance com-pany, however, the builder will remain liable to the insurance company for any payments made to rectify a valid claim.

Licensed builders will have entered into a con-tract with their insurance company agreeing to build to standards as set out in the legislation and agreeing to remain financially responsible for all repairs that fail to meet those standards. This agreement will be supported by an indem-nity agreement, or some similar form of financial guarantee and possibly additional security in the form of cash, a bond or letter of credit that will be held by the insurance company. In order to minimize their risk, the insurance company will have underwriting guidelines to evaluate build-ers not only on their technical qualifications but also their underlying financial strength. So, while New Home Warranty in B.C. is backed by licensed insurance companies, it is the builders who remain financially responsible for the prod-uct they build.

Dave Kalashnikov is vice president of under-writing with WBI Home Warranty Ltd. For more information, www.wbihomewarranty.com.

New Home Warranty InsuranceHow It Works and Who Pays BY DAVE KALASHNIKOV

…the builder is the one responsible to make any repairs that are validated and covered by the Home-owners Protection Act Regulation…


Bonding & Insurance

Since the “financial meltdown” and sub-sequent recession in late 2008, the last few years have been challenging for the construction industry and the econo-

my in general. To better understand the changing financial

landscape and its effect on contractor/surety relationships let’s start with the period prior to September 2008. From the mid 2000’s to late 2008 the economy was on fire. The construction industry was booming with contractors obtain-ing large volumes of work. In some cases get-ting more work than they could handle! Profit margins were at an all time high with inflation in the construction industry well into the double digits. During this period, many owners faced situations where they had projects to built but no one to build them. It was a time when tenders would close, sometimes with no bidders at all. In addition, general contractors struggled to find subcontractors to work with.

It was a great time to be a contractor. Surety companies should have been happy during this time right? Well, to be honest whether the economy is up or down, surety companies worry. It’s in their nature. However, there are good reasons.

During this pre-recession time the economy was overheated and some sureties concerns were as follows:

• Overextension due to lack of equipment and staff. With the sheer amount of work, sureties diligently analyzed the ability of their contractors to physically complete the work they were undertaking. If heavy equipment was required it was at a pre-mium and difficult to obtain. Manpower shortages due to retiring employees and lack of new workers entering the field were an issue. In addition, key employees were being “poached” by other companies poten-tially leaving their clients with inadequate or unqualified employees.

• New companies being formed. With profit margins at an all time high an envi-ronment was created where employees of existing companies wanted to branch out on their own. But did they have the nec-essary experience to run a business? Many skilled superintendants and project man-agers who could run jobs effectively had little or no experience in running an entire company.

• Increased overhead expenses. With the ever expanding work loads came the necessity for more equipment, more administrative staff, and larger offices. Increased equipment re-quirements sometimes came with increased debt loads.

Now came the crash. An extremely busy pe-riod, filled with many opportunities came to a rather abrupt end towards the latter part of 2008.

During this phase of the economy sureties looked carefully at:

• Project financing. With lenders failing, developers having financing issues and jobs being cancelled, proper financing was cru-cial to ensure contractors could maintain sufficient liquidity to meet their day to day obligations.

• Banking relationships and credit facilities. Banks were nervous and quick to “pull the plug” on a contractor’s lines of credit which could have fatal results. In addition, those contractors who acquired increased fixed as-sets and the accompanying debt during the good times now had yards full of idle equip-ment and no cash flow to service the debt.

Today’s economy is improving but we are not out of the woods yet. Sureties continue to moni-tor the following areas:

• Financial “staying power” — the com-pany’s net worth. A fairly strong position in relation to a contractors work program is necessary. This position could be frag-ile for new companies who just started up towards the end of the construction boom and haven’t had enough time to grow their retained earnings.

• Working capital. Companies must demon-strate they have the necessary liquidity to meet day to day obligations.

• Overhead expenses. Nothing brings down a company faster than overhead expenses which are too high in relation to the reve-nue and profit margins they are able to gen-erate. Companies who expanded overhead during the boom must now look at ways to reduce these expenses if revenue and mar-gins have declined.

• Overall debt load. Companies who in-creased their fixed assets with debt must be able to demonstrate they have the ability to meet their debt servicing requirements.

• Banking relationship. A solid banking re-lationship is important with the lender pro-viding the operating line of credit. This will avoid any unwanted surprises such as the cancellation of the line of credit. Overall debt loads, and cancelled lines of credit have been the result of many contractor failures over the last few years sometimes causing losses to surety companies.

• Quality of accounts receivable. For many contractors, the accounts receivable rep-resent a large portion of their asset base.

Should they have problems collecting some of their larger receivables it could spell cash flow troubles and even business failure. The surety will want to see aged listings of the accounts receivable and understand the company’s credit and collections policies to ensure these assets are protected.

Having said all this, here are a few tips for contractors to maintain a good relationship with their surety:

• The best relationships exist when the con-tractor considers the surety a partner rather than a supplier. When a surety issues a bond for a contractor they are pledging their assets and guaranteeing the contractors perfor-mance. Both parties have a vested interest in seeing the bonded project completed to the owners’ satisfaction.

• Keep surety updated with regular reporting of financial information. Surety companies who have up to date financial statements and work on hand reports understand exactly where the contractor is at financially and are able to respond quickly to bond requests and provide the maximum surety support avail-able. Without updated financial information contractors run the risk of delays when re-questing bonds or worst case scenario being declined a bond.

• Report any problems to surety immediately. The surety is the contractor’s partner with a vested interest in their success. Sureties have been known to provide financial and other assistance to contractors to help overcome problems. The surety however cannot help if unaware of existing problems. Many con-tractors are embarrassed to let their surety know there are issues or are concerned that further bond support will be suspended if they disclose negative events. All too often by the time the surety finds out about the problems it is too late to help and the com-pany ends up in default of a contact or go-ing out of business.

Finally, contractors should make sure they have a good surety broker who understands both the surety and construction industries. Surety products are underwritten by insurance companies and delivered via insurance brokers, however bonds are a specialized financial prod-uct. It is important to have someone on your side that understands the entire bonding process and can provide the best possible service.

Kevin Matwick is vice president of construc-tion surety services for Jardine Lloyd Thomp-son Canada Inc. www.jltcanada.com

Maintaining a Good RelationshipBY KEVIN MATWICK

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Infrastructure

Sometimes the simplest bridge designs produce the most complex and inno-vative engineering and construction solutions. Such is definitely the case

with the new Athabasca River Bridge on High-way 63, carrying industrial and commuter traffic over the Athabasca River, near Fort McMurray in northern Alberta. What makes this bridge unique is not the structure itself, but rather the launched-girder erection technique used in its construction. This technique eliminated the need for temporary erection towers and the piece-by-piece erection of structural steel that are typical of conventional erection methods.

The new bridge is anticipated to be one of North America’s heaviest steel bridges, with a to-tal structural steel weight of more than 6 million kilograms. The challenges involved in designing and constructing this massive structure included the severe winter climate of the region; the re-quirement to design for over-sized trucks which access oil sands projects via this bridge; and the decision to launch all 10 girders simultaneously, resulting in what is believed to be the widest launch ever undertaken in North America.

Serving the growing needs of the City of Fort McMurray in north-eastern Alberta, Highway 63 provides an important link extending from south of Fort McMurray to the major oil sands projects located north of the city. The traffic volumes on this four-lane highway continue to increase be-cause of ongoing major oil sands developments

and commercial and residential developments in the area. Two existing bridges, the Grant MacE-wan and the Steinhauer, carry Highway 63 over the environmentally sensitive Athabasca River. Alberta Transportation, the provincial trans-portation ministry, developed a functional plan which determined that a new bridge on Highway 63 over the Athabasca River was required: the 472-metre-long, 7-span, steel I-girder bridge is designed to carry five lanes of traffic. Of the five, three lanes will ultimately serve as core lanes and two will be used as collector-distributor or CD lanes. In addition, the new bridge will include a 4.2-metre-wide walkway and an under-deck util-ity and duct corridor.

BRIdGE dESCRIPtIoNThe Athabasca River Bridge is 472.0 me-tres (m) long with a span arrangement of 61-76-61-61-76-76-61 m. These spans were se-lected to match the span arrangement of the ad-jacent Steinhauer Bridge. Aligning the new piers to match the existing ones provides a beneficial shielding effect that reduces the downstream de-sign forces on the new piers. The bridge also in-cludes a 4.2-m-wide walkway and an under-deck utility corridor.

SUPERStRUCtUREThe 33.0-m-wide, five-lane bridge superstruc-ture features 10 lines of 3.0-m-deep, I-shaped steel plate girders spaced at 3.3 m for the typical

straight portion on the west side of the bridge. Girders for the non-typical east span of the bridge were spaced at 3.9 m to take into account the 340-m design curve (which is required to accommodate the 90 km/hour design speed on the bridge).

In Alberta, bridges are normally designed with the capacity to carry CL-800 (800 kN) vehicles; however, this bridge was designed for both CL-800 vehicles and a special 28-axle (10,000 kN) overload truck, used for transporting ex-traordinarily heavy loads to the oil sands plants.

SUBStRUCtURELarge, box-type, voided abutments were designed for this bridge, based on the geometric con-straints. Each abutment consists of a bearing seat, back wall, grade beam, roof slab, approach slab, and closing wing walls all supported on two rows of steel H-piles driven into bedrock. To accom-modate a large number of utility lines and duct banks through the backwall in one of the girder bays, a special vault was constructed within the abutment to provide the required service con-nection access to underground services.

Ice is considered to be the most important factor at this site. Ice forces on the bridge piers are significant, and ice jams produce the highest water levels at the site. As such, the new piers are constructed of solid tapering pier shafts, similar in appearance to the Grant MacEwan and Stein-hauer piers. The piers are constructed on a single

Innovative Bridge LaunchBY MALIKA ALI


Infrastructure

row of 1.8-m-diameter, rock-socketted caissons. The added benefit of using caissons is that they are scour-resistant and require only 50 per cent of the disturbed footprint within the streambed.

LAUNCHINGThe incremental launching method has been used successfully to erect torsionally stable, concrete box girder structures throughout the world. This technique has also launched small steel bridges across North America and Europe. However, this

method has rarely been used to launch all 10 gird-ers simultaneously, resulting in what is believed to be the widest launch ever undertaken in North America. With the total weight of structural steel exceeding 6 million kilograms, this segmental launch has also set a precedent as one of the heavi-est steel bridge launches in North America.

Aspects of the launch that required particular consideration and detailed engineering included the launch nose, launch pad, girder supports, pushing assembly, and a review of the permanent

structure. The girders cantilevered the maximum clear span of 76.0 m without the use of interme-diate temporary bents. An inclined launch nose attached to the leading segment of girders made touch down at the piers.

The launch was completed on schedule on November 10, 2009. The speed of the launch typically allowed a length of 36 m to be moved forward in about three hours.

CoNCLUSIoNThe new Athabasca River Bridge design and construction project combined cost savings, en-vironmental consideration, novel construction techniques, and outstanding engineering value to provide enhanced safety and to meet the fu-ture traffic demands of the Fort McMurray re-gion. In the last 15 years, this is the only bridge of such width and weight that has been launched in Alberta. This represents a true innovation: re-visiting this launched girder technique serves Alberta’s engineering and construction industries as a timely reminder of this alternative method of designing and constructing new bridges. We note with pride that the Athabasca River Bridge has received inquiries from Canadian and U.S. engineers interested in applying its innovative concepts to other international projects.

Malika Ali, P.Eng., M.Sc., is a senior bridge engineer at CH2M HILL Canada Ltd. in Edmonton.

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Infrastructure

A major water utility infrastructure proj-ect in the Coquitlam watershed is cur-rently underway. Metro Vancouver, working in cooperation with the City

of Coquitlam, is undertaking the Coquitlam UV Disinfection Project to ensure the region’s con-tinued supply of high-quality drinking water.

The existing Coquitlam Water Treatment Plant provides approximately 370ML/d of po-table water or one third of the total water sup-ply delivered in the Metro Vancouver region. As part of the expansion and upgrade of this facility, a new ultraviolet (UV) disinfection plant and an operations and maintenance centre are being built. The scope of work also includes upgrades to the existing ozonation facility which will im-prove the efficiency of the treatment process. The total facility footprint will be nearly 21,000 square feet (2,000 square metre).

The new UV Disinfection Project will en-hance the primary disinfection capability of the Coquitlam water treatment facility, and comple-ment the existing ozone and chlorination pro-cesses. The UV system is being implemented to meet Cryptosporidium disinfection require-ments under the Guidelines for Canadian Drink-ing Water Quality.

“Implementing the Coquitlam UV Disinfec-tion Project is an important component of Metro Vancouver’s mandate to provide clean, safe, high quality drinking water to nearly 2.3 million peo-ple in the region”, says Inder Singh, Metro Van-couver senior engineer and project manager.

The design flow capacity of the facility is 1200 million litres per day. The UV system supplied by Trojan Technologies is composed of 8 UV units

using high efficiency UV lamps with long lamp life and low energy use.

Kenaidan Contracting was awarded the gen-eral construction tender in July 2011 and broke ground in August 2011.

As of the January 2012, Singh reports soil ex-cavation and installation of temporary shoring is the primary construction activity. This will be followed by the large diameter site piping instal-lation, mass concrete encasement and concrete foundations. The final excavation depth will reach up to 33 feet and require the removal of 80,000 cubic meters of soil.

Significant challenges associated with build-ing such a facility within a protected watershed environment include the management of surface runoff in an area where more than 100 mm of rainfall within a day is not uncommon.

“Managing groundwater and excavating diffi-cult soils, while maintaining the integrity of ex-isting infrastructure such as a 3 meter diameter water main have been particularly difficult at this stage of the project,” says Singh. “Close collabo-ration amongst the project design consultants, the contractor and Metro Vancouver Operations staff has been the key to successfully managing the project risk during this critical stage of below grade work.”

About 9,000 cubic metres of concrete and 400 tonnes of structural steel will be used in the construction of the plant. To meet seismic design criteria, some foundation walls will be in the or-der of 1 metre thick. Installation of underground pipes will range up to 2.4 metres in diameter for the larger pipe spools with the largest valves weighing more than 55,000 lbs.

Targeting a minimum LEED Silver certifica-tion, the plant has a number of sustainable fea-tures including:

• unique vertical orientated UV pipe loop designed to reduce the building footprint

• hydronic heating and cooling system using the water pipelines

• energy efficient UV lamp technology saving on long term operating costs and electricity

• environmental enhancements for fish and wildlife as part of the restoration plan.

Additional sustainable features include the use of EcoSmart concrete, installation of elec-trical vehicle charging stations and the use of recycled building materials. The selected ultra-violet technology will reduce energy consump-tion by approximately 30 per cent relative to conventional systems.

“The facility incorporates many unique sus-tainable features, which will minimize energy consumption during operations, reduce impact on the environment and provide Metro Vancou-ver staff with a healthy and effective work envi-ronment,” says Singh.

The $110 million plant is scheduled to com-plete by the end of 2013.

Providing Clean Drinking Water


Infrastructure

Edmonton is a river city, and as long as people have lived here they have sought ways across the North Saskatchewan. The Walterdale Bridge (formerly known

as the 105 Street Bridge) opened in 1914, has linked the north and south sides ever since. The Walterdale Bridge carries two lanes of traffic, has narrow sidewalks on either side, and pro-vides limited trail connections at its ends. For almost a century this triple span-through truss has served users well, but now the Walterdale is quickly approaching the end of its service life. Edmonton’s river valley is truly the heart of the city, and the landings on either end of the Wal-terdale Bridge have played an important part in Edmonton’s history and its development. Over millennia both sides of the river have been tra-ditional gathering places for Aboriginal inhab-itants, and as such are rich with cultural history.

In the 1800s, the north shore was home to three different Edmonton Forts as well as the Fort Edmonton Cemetery and Traditional Burial Ground, of which portions remain, and are com-memorated to this day. On the south side of the river, John Walter, the city’s first millionaire, op-erated a lumberyard and ran a cable drawn ferry across the river near the site of the existing bridge.

Considering the area’s significant history, sim-ply building a run-of-the-mill bridge to replace the existing one just didn’t seem to fit. The new Walterdale Bridge will be a signature bridge, as recommended and approved by Edmonton’s city council. For the purpose of this project the term “signature bridge” was defined as follows: “The new Walterdale Bridge will be a unique structure located in the heart of Edmonton’s river valley, respecting the setting, and creating a landmark gateway to the city’s downtown.”

The new bridge is expected to become a land-mark within our great city so its design and integration within the river valley must be de-veloped in consultation with Edmontonians. Throughout concept planning, and now during the design phase, the project team has sought out input from the community through public open houses, stakeholder interviews, and traditional cultural ceremonies. The city continues to solicit feedback through design and into construction.

The city considered many concepts when deciding the type of bridge to build, includ-ing girder, cable stayed, extradosed, and arch. In the end city council chose arch typology. The project team explored different options for design of the bridge substructure, including thrust block and pile supported foundations, and several arch configurations including single and twin arches in tied and non-tied designs as well as in tilted and vertical positions. In winter 2012 the project is in the final stages of prelimi-nary design.

The bridge will be approximately 250m long, wide enough to accommodate three lanes of traffic with shoulders, and with multi-use trails on either side. Its location has presented some challenges. The north end lands immediately to the east of the existing bridge, and the south end will need to be raised by about 3 m to stay above traditional flood levels. Also, the existing bridge will remain open to traffic while the new bridge is being constructed.

Overall, the project involves construction of the new signature bridge, realignment of two roads — Walterdale Hill Road and Queen Elizabeth Park Road, both on the south side of the river —con-nection with the existing trail network, and full re-moval of the existing bridge and piers. The project budget, including all associated engineering and required city services, is $132 million.

Physical site constraints and time con-straints are identified challenges to completing the project on time and within budget. Several utility companies will have to remove or relo-cate infrastructure prior to construction, and a number of other community projects are happening on either end of the bridge. Coor-dination of all parties is paramount to ensur-ing work done by one does not mean re-work by another.

Work on site will begin as early as spring 2012, starting with the removal and relocation of utility infrastructure. The construction tender is anticipat-ed for fall 2012, with bridge construction and de-molition taking place between 2013 and 2015.

Mike Bindas, P. Eng., is senior project engi-neer at the City of Edmonton.

A New Landmark GatewayWalterdale Bridge for the 21st Century BY MIKE BINDAS

A rendering of the new

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Legal File

Construction projects are subject to many different risks, including dam-age to the project due to the negli-gence of a contractor, subcontractor,

supplier or trade. It is common for the owner and/or general contractor to obtain special-ized insurance coverage for many of those risks, known as Builder’s Risk Insurance (or Course of Construction Insurance).

The typical Builder’s Risk policy provides cov-erage not only for the owner/contractor who purchased the policy but also for most if not all others involved in the project. What if one of those others, through negligence, damages the project, perhaps even catastrophically during the course of construction? Will the negligent wrongdoer be responsible to pay for the loss? The answer, in most cases, is no.

The decision of the Supreme Court of Canada in Commonwealth Construction Company Limited v. Imperial Oil Limited and the subse-quent cases that follow it make it clear that:

• where a subcontractor (or other party sup-plying labour or materials to the project) is an insured under a Builder’s Risk policy (ei-ther as a named insured or unnamed insured as someone within a class of persons intend-ed to be protected) , the insurer has no right of subrogation. Thus, if the subcontractor or trade is negligent and causes damage dur-ing the course of construction, the insurer cannot step into the shoes of the owner or contractor and seek to recover from the neg-ligent subcontractor.

• where the negligent party is neither a named nor an unnamed insured, the waiver of sub-rogation clause in a builders’ risk policy may be construed so as to bar the insurer from pursuing a subrogated claim.

In Commonwealth Construction, the gen-eral contractor was Wellman-Lord (Alberta) Ltd. (“WLA”). WLA entered into a contract with Imperial Oil for the construction of a fertilizer plant. Commonwealth was WLA’s subcontrac-tor charged with the installation of process pip-ing. A fire took place during that installation for which Commonwealth admitted fault.

In the builders’ risk policy taken out on the project, the insured was described as “Imperial Oil Limited and its subsidiary companies and any subsidiaries thereof and any of their contrac-tors and subcontractors”. The insurer paid out (to Imperial) for the damage caused to the project by the fire and then brought an action in the names of Imperial and WLA against Commonwealth by way of subrogation.

The Alberta Court of Appeal held that the insurers had the right to subrogate against Commonwealth.

Commonwealth appealed to the Supreme Court of Canada. The Supreme Court of Canada framed the question as follows:

…in the context of the construction contracts, did the various trades have, prior to the loss, such a re-lationship with the entire works that their potential liability therefore constituted an insurable interest in the whole?

The Supreme Court answered that question in the affirmative, holding that the trades had, prior to the loss, such a relationship with the entire works that their potential liability therefore con-stituted an insurable interest in the whole. Ac-cordingly, Commonwealth was an insured whose insurable interest extended to the entire works prior to the loss and, applying basic principles of insurance law, the insurers had no right of sub-rogation and could not pursue a claim against Commonwealth in the name of the property owner or the general contractor.

An article on builders’ risk policies summarizes this principle from Commonwealth Construc-tion as follows:

…it is clear that the modern trend has been to limit the subrogation rights of the all risk insurer and to extend an immunity to the class of persons who supply materials to the subject matter of the policy, whether or not the party procuring the policy intended to include them as unnamed insureds. The courts have clearly signalled that a property insurer having issued an all risk policy cannot maintain a subrogated claim against a subtrade if the latter con-tributed materials or labour to the project and the policy contains a waiver of subrogation clause. The underlying theory is that the parties to the construc-tion project, having expressly agreed that one of the parties must obtain a builders’ all risk policy, have also implicitly agreed that in the event of a loss all of the parties would look to the builders’ all risk policy as the sole remedy in the event of loss and would not, as between themselves, seek to shift that loss. The insurer is bound by this implied agreement and is therefore unable to use subrogated proceedings to try to shift the loss to one or more of these parties.

In Sylvan Industries Ltd. v. Fairview Sheet Metal Works Ltd., the builders’ risk policy named only the owner of the project as the insured. A fire substantially damaged the mushroom barn that was under construction. It was alleged that one of the subcontractors (Fairview) was negligent in that its employee exposed sealant to an open flame. The issue on appeal was whether the general contractor (Zenith) and Fairview were unnamed insureds and therefore immune from the subro-gated claim brought by the insurer.

After reviewing the various construction con-tracts and the insurance policy, the B.C. Court of Appeal concluded as follows at paragraph 17:

Subrogation RightsUnder course of construction liablilty policiesBY GORDON C. WEATHERILL

In this case both Fairview and Zenith suffered losses in the fire and the insurer indemnified them through Sylvan for those losses. The policy provides that no subrogation lies against a “…corporation, firm, individual, or other interest with respect to which insurance is provided by this policy.” Sylvan argues for an interpretation of a policy entitled “Builders’ Risk Comprehensive Form” that would not cover builders. Given the special nature of builders’ risk policies, the judicial pronouncements on the commercial necessity for inclusiveness, and the language of this policy, I am of the opinion that the trial judge reached the right conclusion when he found that the contractors and subcontractors were unnamed insureds by necessary implication.

While these two cases articulate general principles potentially applicable to any builders’ risk policy and construction project, as in any insurance case, the pol-icy wording is critical. The policy has to be construed to determine if the subcontractor is, in fact, a named or unnamed insured. If the policy is one under which the trades are not named insureds, the insurer could word the policy in such a way as to eliminate cover-age of unnamed insureds or to exempt trades from the protection of a subrogation clause exemption. Further, the particular loss at issue may not fall within the policy coverage because it did not occur during the course of construction: see, for example, Sherritt Gordon Ltd. v. Dresser Canada Inc., and Daishowa-Marubeni International Ltd. In this scenario, the insurer will be able to sue the subcontractor in the name of the insured owner or general contractor as the “anti-subrogation rule” would not apply. Alter-natively, the particular type of negligence (e.g., faulty design) may be excluded from coverage.

Gordon C. Weatherill Q.C. is a senior litiga-tion partner at the law firm of Lawson Lundell LLP. He has practiced for more than 30 years with that firm in the areas of engineering, con-struction, insurance and products liability.

The typical Builders’ Risk policy provides coverage not only for the owner/contractor who purchased the policy but also for most if not all others involved in the project.


Legal File

Every individual or company is a separate legal person. People incorporate compa-nies to carry on business because the com-pany’s separate legal personality in most

respects protects its officers, directors and share-holders from personal legal exposure for liabilities incurred in the course of its operations. Most of such liabilities arise from contracts entered into by the company. Individuals related to the company are also insulated from its liabilities by the contrac-tual principle of privity — that only a party to a contract can sue or be sued upon it.

Ignorance or lack of care in day to day busi-ness practices often complicates the rights and responsibilities surrounding separate legal per-sonality, with the risk of parties incurring unin-tended liability.

From a company law point of view, a business need not incorporate. An unincorporated business, whether it operates in the name of an individual or a trade name such as “ABC Contracting”, is a propri-etorship. Liabilities arising from a proprietorship’s business accrue directly and fully to its operating individual in his or her personal capacity.

When a business incorporates, it obtains a legal name which includes “Ltd.”, “Inc.” or “Corp.” to reveal to the public the limited liability nature of the business. Generally, liabilities arising from the company’s business accrue only to the company.

However, even incorporation does not protect business people from personal liability in all in-stances. Fraud by a company or breach of trust, such as in the construction context by misappro-

priating funds received on account of subtrades’ work, are considered to be civil wrongs of such a serious nature that the “corporate veil” can be pierced so that responsible directors and officers may be exposed to personal liability.

Because of the separation of legal personal-ity in the case of incorporation, it is critical that proper consideration be given to the risk of car-rying on business as a proprietorship. That mode of operation is not recommended as a means of doing business if the liabilities which could arise would be significant enough that the operator would not like to see them apply against his or her personal assets. For example, the often sub-stantial and sometimes catastrophically large amounts involved in construction-related dis-putes can bring financial ruin to builders or de-sign professionals who did not incorporate for the purpose of doing business.

Further, in the cases of both a proprietorship and a company, it is necessary that care be taken in all contracts, correspondence and other busi-ness documents to set out accurately the proper name of the business, so as to avoid misrepresent-ing that a proprietorship is a company or failing to identify the incorporated status of the busi-ness. Inaccuracy in the way in which the legal na-ture of the business is characterized to third par-ties can have significant negative repercussions.

One of the most serious potential results can be inadvertent failure to obtain the benefit of contracting as a company. Even if a business is incorporated, if that company’s full name with

identification of its limited liability status is not set out in a contract, it may be interpreted that some other, unincorporated, party actually entered into the contract. In the case of a small business, that party will naturally be assumed to be the owner or operating mind of the business in his or her personal capacity. The potentially se-rious result of a business person unintentionally becoming a directly contracting party is obvious.

Legal complications can also arise from other im-precision in identifying exactly what entity is actu-ally involved in the business relationship. Problems can be created by using inaccurate names, corporate nicknames or trade names; mistakenly using the names of related companies and using company names inconsistently as between different docu-ments. Those problems relate to the identities of both who is entitled to enforce a contract and who is subject to having a contract enforced against him, her or it. The risk arising from such uncertainty ac-crues to the responsible party, on whom the onus will rest in a dispute to establish on the balance of probabilities its preferred characterization of the defined contractual relationship.

It is recommended that all business people and their staff be properly instructed as to the importance of accuracy and consistency in the identification of the business entity in all documentation.

J. Marc MacEwing is a lawyer with Shapiro Hankinson & Knutson Law Corporation, Bar-risters and Solicitors.

The Serious Matter of Business NamesBY J. MARC MACEWING

…incorporation does not protect business people from personal liability in all instances.


Legal File

Environmental hazards pose significant potential liability for construction con-tractors yet the risks associated with vio-lating environmental protection legisla-

tion often are given little consideration.The fining of an Edmonton-based construc-

tion firm early this year has made headlines, pointing out the costly consequence of violat-ing environmental protection legislation. Clark Builders pleaded guilty to the charges under the Fisheries Act as the result of depositing a deleteri-ous substance in water frequented by fish, result-ing in fines of $285,000.00.

In 2008, Clark Builders was contracted to build an addition to the aquatic centre at the Royal Glenora Club in Edmonton, Alberta. Early on it was decided that an EPCOR water main needed to be relocated. EPCOR moved the water main, although as it turned out, not com-pletely out of the footprint of the new facility. Clark Builders received the new EPCOR plan setting out the location of new water main, but when the area was prepared for initial construc-tion, the water main was not located and marked.

Clark Builder’s piling subcontractor arrived on site in July of 2009 and commenced drilling the foundation piles as they were marked. In drilling the first pile location, the water main was rup-tured, releasing treated drinking water at a rate of 3,000 litres per second. As many as 12 million litres of chlorinated water ran into the nearby Fort Saskatchewan River before the water main could be shut off or dechlorination tablets could be used to treat the escaping water. Subsequent testing of the river water revealed a chlorine con-

tent 3,900 times greater than that which is safe for fresh water fish.

Under the Fisheries Act, the release of treated water into the river constituted an offence pun-ishable by fines of up to $500,000.00 per offence and possible further liability to the Crown for any and all costs associated with mitigating the environmental impact of the infraction.

Despite the significant cost of penalties and fines, it seems some contractors simply over-look environmental legislation. Contraven-tions of Alberta’s Environmental Protection and Enhancement Act can result in fines of up to $1,000,000.00. British Columbia’s Environ-mental Management Act provides for the same $1,000,000.00 fine for contraventions of the Act. While commercial general liability policies (CGLs) may provide coverage for civil liability arising from an environmental incident, almost all exclude the payment of fines or penalties.

In addition, environmental protection legisla-tion may provide for strict liability with respect to the cost of mitigation and restoration once a conviction has occurred. Under the Forest and Prairie Protection Act, the maximum fine under the regulations is $5,000.00. However, a party found guilty of failing to keep a fire under control or allowing fire to escape could become liable to the Crown for the costs associated with fighting the fire and to aggrieved land owners who have suffered losses as the result of the fire. Similar provisions are found in British Columbia’s Wild-fire Act.

Each year thousands of hectares of forested land are destroyed by wildfires, many caused by

human activity. The Crown has become more and more vigorous in its attempts to recoup its fire suppression costs and timber losses when there is industry involvement; prosecutions and civil actions against contractors are not uncom-mon. Damages are frequently in the millions, or even tens of millions of dollars, often exceeding common CGL limits putting the contractors di-rectly at risk.

Not only will contractors be responsible for their infractions, but often land owners will be held liable as well. If the land owner exercises even a low degree of care and control over its con-tractors, it can be held liable for the contractor’s environmental violations. In addition, some envi-ronmental protection legislation places a positive onus on land owners to ensure that precautions are taken. If hazardous substances are known to be stored on their land, there is a duty to ensure the substances will not come into even indirect contact with animals or plants.

In 2009 when 1,600 ducks died after landing on Syncrude’s tailings ponds before the company was able to set up its preventative air canons, Syncrude was charged under both Alberta’s Envi-ronmental Protection and Enhancement Act and the Federal Migratory Birds Convention Act, 1994. Syncrude was found guilty and received the maximum fine under each Act, $500,000.00 and $300,000.00 respectively. In addition, Syn-crude was required to pay additional compensa-tion to the Crown in the amount of $2.2 million which was distributed to various environmental groups and projects.

And while Syncrude’s tailings ponds repre-sent a more obvious environmental risk than exists on a standard construction or work site, owners and contractors still need to be cau-tious. The improper storage or accidental spill of hazardous materials on the construction site can violate several different pieces of provin-cial and federal legislation and result in fines and civil liability.

Contractors and owners are facing increasing regulatory control. New regulations spanning broad areas are introduced with little fanfare. Failure to meet regulatory guidelines can lead to significant fines and also serve to tilt the scales in any civil litigation which may arise, which in these times seems to occur more often than not. It is very important to be aware of all of the rel-evant legislation which may come into play on a particular project.

Sigurd Delblanc is a partner at the firm of Bryan and Company LLP in Edmonton. His focus is on defending contractors, owners and design professionals in construction and regu-latory matters.

Risk to Contractors and OwnersEnvironmental Protection Legislation BY SIGURD DELBLANC


Innovative Cultural AmenitiesArchitect Corner

the recently finished Capital Tower Development on Seymour Street in the centre of downtown Vancouver incorporates an extremely unusual set

of requirements and innovative solutions. The 43 storey tower contains 37 floors of residential units which sit above a podium which includes four floors of cultural amenities provided to the city by the developer in exchange for increased site density and building height.

The building podium sits on the historic 1922 Capital Theatre site and abuts the side of the city’s Orpheum theatre and it mirrors the Orpheum’s height to provide continuity on Seymour Street. The podium’s cultural amenities include the new Vancouver Symphony School of Music, offices for the VSO, the Orpheum Annex Theatre, the Orpheum Stage Extension, plus a number of Or-pheum back stage amenities.

The original Capitol Theatre on the site was a live performance and music house with its own orchestra and a renowned Wurlitzer organ, the largest of its kind in Canada at the time. The the-atre was demolished in the early 1970s and re-placed with the Capitol 6 multiplex, which was located on the site until its demolition in 2005.

development ConceptThe School of Music is an extremely advanced facility with the highest acoustic standards and IT infrastructure. It contains a 120 seat re-cital hall, ensemble rooms, instruction rooms

(group and private) and recording facilities, school administration offices and hospitality facilities. The recital hall has been recognized instantly as one of the finest in North Ameri-ca. The sophisticated design of the recital hall permits “tuning” of the room through manip-ulation of the room surfaces. The floor is an innovative automatically moveable platform system which permits various seating arrange-ments, ranging from float to tiered, with a va-riety of tiered arrangements. The recital hall incorporates recording and distance learning “master class” capability.

The Orpheum Annex is a black box type theatre which has moveable seating, moveable acoustic wall treatment and a suspended wire grid. The three storey space can be used for or-chestra rehearsals, smaller performances and re-cording. The Annex is operated separately by the city, but cooperates with the VSO SOM to share some amenity space.

A major feat of the project was to, within the podium, incorporate a structural, acoustically isolated void immediately beside the stage in the adjacent Orpheum. With manipulation of the dividing property line in three dimensions, the city has been provided with a void into which they intend to extend the stage of the Orpheum Theatre. This is a long desired improvement to the theatre and only became feasible and a reality through the innovative agreement between the developer and the city.

technical featuresSuch a project obviously has had a significant number of technical challenges, including ar-chitectural planning, acoustic design, structural, and mechanical.

The architectural design had to include mass-ing that not only met the client’s development and sales requirements, but met with the city’s approval regarding view corridors, massing, finishes, as well as respect for the adjacent Or-pheum Theatre.

The project acoustics requirements repre-sented a significant challenge to the entire team. The acoustic requirements included both isola-tion of sensitive spaces as well as interior space absorption. In terms of absorption, the require-ments range through various levels of sound deadening to diffusion, in order to respond to a wide range of music requirements. In addition to typical double wall construction for parti-tions, many of the acoustically sensitive rooms were constructed as “rooms within rooms” with isolated second sets of floors, walls and ceilings. In addition, major innovative structural damp-ening details isolate the Music School floor structures from the vibration in the elevator shafts serving the tower. For each of the acous-tically sensitive spaces the mechanical systems had to be design to an extremely low 15 PNC level, using very low air velocity, duct isola-tion and low-disturbance grille design. The re-cital hall contains the finest acoustic treatment, wherein the finishes incorporate BC Big Leaf Maple diffusion elements, along with BC Ba-salt wall faces, all of which aid in the extremely handsome nature of the hall.

As noted above the acoustic requirements of the project required unique structural solutions which also had to consider the high seismic zone in Vancouver. A 50 mm acoustic separation gap was required in the slabs around the elevator core on the first four floors, including the fifth floor slab, which carries the loads of the 38 floors above it. Lateral and vertical isolators were in-stalled to support weight of the slab and help transfer inertial forces from these floors into the core walls during an earthquake.

ConclusionThe Capital Tower, with its cultural amenities is an innovative project which maximizes the op-portunity of the partnership between the city and the developer, and in addition provides the city with a trio of world class amenities: the VSO School of Music, the Orpheum Annex Theatre, plus the Orpheum stage expansion space.

Mike Hill, MAIBC, LEED®AP, is a partner at Vancouver based Bingham Hill Architects.

BY MIKE HILL


Industry News

Advertiser ListingsAtlas Roofing ............................................. 11

Aviva .......................................................... 17

BCCA ......................................................OBC

BC Hydro ................................................. 27

BFL Canada Insurance Services Inc .......... 5

Buildex ............................................. 32 & 33

Eagle West Cranes ........................... 15 & 19

Glotman Simpson ...................................... 9

ICS Group ..................................................14

Langley Concrete Group .........................29

Levelton .....................................................17

RCABC ..................................................... IBC

Reliable Equipment .................................... 8

Western One ............................................... 4

Westland Insurance .................................... 8

Wilson M Beck Insurance ........................IFC

WorkSafe BC ............................................... 7

EvERGREEN LINEThe first construction contracts have been awarded for the long-awaited Evergreen Line. Two local companies were awarded pre-construction contracts, officially marking the start of work on the project.

Langley-based Pedre Contractors Ltd. was hired to install new underground power lines in Port Moody and Coquitlam. Hans Demolition and Excavating, based in Surrey, will remove two va-cant buildings in Coquitlam and one in Burnaby.

The Evergreen Line, an 11-km rapid transit line linking the communities of Port Moody, Co-quitlam and Burnaby with the existing Millennium Line SkyTrain, is estimated to cost $1.4 billion. The Province of B.C. will select a primary contractor to design and build the line this summer.

NEw vRCA CHAIRDon Nishimura of Scott Construction Group is the new VRCA Chairman of the Board along with a new executive committee for 2012. Join-ing Nishimura on the executive committee are: Rick Wagner of Maxwell Floors Ltd, chair elect; and Clark Cambell of Smith Bros. and Wilson, vice chair treasurer. Graham McIntosh of the Guarantee Company of North America is the immediate past chair.

ENGINEERING HoNoURThe Coast Meridian Overpass (CMO) has won its third engineering award within a span of a year. International Bridge Technologies Inc. (IBT), a member of the CMO design-build team led by SNC-Lavalin Construc-tors (Pacific) Inc., has received a prestigious Honor Award from the California branch of the American Council of Engineering Com-panies’ (ACEC) 2012 Engineering Excellence Awards. IBT provided the CMO’s structural engineering.

The CMO was one of only two Honor Award projects outside California, and the only Cana-dian project.

AIR PoLLUtIoN REGULAtIoNOwners and operators of older backhoes, forklifts and many other diesel-powered non-road machines in Metro Vancouver have to register their machines in 2012 and start paying fees to comply with new air pollution regulations.

In February 2011, after several years of studies and discussion, Metro Vancouver’s Board of Di-rectors approved the Non-Road Diesel Engine Emission Regulation Bylaw. The bylaw came into effect on Jan. 1, 2012.

The bylaw does not apply to engines less than 25 horsepower, machines used in agri-cultural operations, emergency generators and personal recreational machines such as all-terrain vehicles and snowmobiles. An on-line registry and payment system for non-road die-sel engines is available on the regional district’s website, www.metrovancouver.org. For more information and a link to the on-line registry, www.metrovancouver.org/nonroaddiesel.

RECoRd BRokENThe River, a luxury residential development, has broken real estate records in Calgary as the most expensive condo ever sold in the city. The 5,260 square foot unit sold for $8.3 million. It is not the most expensive residence in the development. Over $30 million in real estate has been spo-ken for, representing the first eight units which were sold in an exclusive preview. The develop-ment is worth more than $130 million. Slated to start construction in spring of 2012, The River is being developed by 26th Avenue River Invest-ments Inc., an affiliate of Ledcor Properties Inc.dEPUtY MINIStER AwARdS

McElhanney Consulting Services Ltd. took the top award for specialized engineering services at the 8th annual Deputy Minister’s Consult-ing Engineers Awards, for its work on the Peace flood road repairs. The award for Design & Con-tract Preparation – Roads went to Urban Systems for their work on the Marine Drive/Lions Gate Transit Priority project. CWMM Consulting Engineers Ltd. was the winner of the Design & Contract Preparation – Structures award for their work on the Akokli Bridge Replacement project. R.F. Binnie won for its work on the John-Hart Highway 97, Bennett Creek to Link Creek proj-ect in the construction management and supervi-sion services category. The awards recognize tech-nical excellence in consulting engineer services that improve transportation infrastructure in B.C.

CoRRECtIoN:In CB Nov/Dec 2011 issue: The Jim Pattison Outpatient Care and Surgery Centre was a 50/50 joint venture between Bird Construction and Bouygues International.

BoULANGER JoINS SUPERMétALSylvie Boulanger has joined structural steel con-struction company, Supermétal, as vice president, technical marketing. Well-known among the Ca-nadian steel industry, Boulanger was Québec re-gional manager of the Canadian Institute of Steel Construction (CISC) for the past 10 years.

NIRo HEAdS tASkTask Construction Management has an-nounced Tony Niro is the new president of the company, effective immediately. Co-founder John Hiebert will remain with the company as senior advisor.

Niro, an architect, was appointed as vice presi-dent of business development in February 2011 as part of the company’s succession plan. The succession plan began in March 2010 with the acquisition of Task by the Fayolle Group.

File: 311CB_8.75x12.25_Downpour-RCABC.indd Client: RoofStar (RCABC) Construction Business

design one Size: 8.75” x 12.25” Date: Oct 13, 2011

CYAN MAGENTA YEllOw BlACk “There’s a time to compare...” - Downpour Image

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