During this Holiday Season, more than ever,

our thoughts turn gratefully to those

who have made our progress possible and

commemorating our 100th Anniversary. 

In this Spirit we sincerely say,

Thank you and Best Wishes

for the Holiday Season and New Year!

Building Permits for October 2004

Provided by Statistics Canada

Building Permit figures from Statistics Canada for the month of October 2004 indicate an overall increase in construction activity as the national total value surpassed the $4.5 billion mark for the fifth consecutive month in 2004. Up 2% from September, municipalities issued $4.6 billion in building permits in October 2004 after three consecutive monthly reductions. The strong demand for new single-family dwellings rose 3% to $3.1 billion also after three straight monthly declines. In the non-residential sector, the value of building permits taken out in October 2004 remained unchanged from September holding at $1.5 billion.

A strong gain in the industrial sector which increased 10.7% to $349 million in October after a 27% increase in September has offset the decline in commercial and institutional areas. Strong intentions in the industrial manufacturing category, particularly in Alberta, have kept total non-residential construction numbers high. Aside from a 0.7% decline in April, retailers have posted a steady sales increase since the beginning of 2004 and Canadian corporate operating profits remained at record high levels in the third quarter. This helped to offset the decrease in commercial and institutional construction intentions in the recreation and warehouse categories where a second consecutive monthly decline of 0.6% to $881 million was recorded.

Manitoba's residential building permit value for October fell 13% from last month's total value of $59.9 million to $52.1 million this month. On a year-to-date intention, Manitoba recorded a +29.5% change in 2004 at a total value of $563.4 million. The total for 2003's year-to-date value was $435.1 million. Manitoba 's non-residential sector building permit value fell both last month and in yearly-to-date comparisons. From September to October 2004, the value fell 44.4% from $62.5 million to $34.8 million. In the 2003 to 2004 yearly-to-date comparison, a 15.5% decrease was recorded with a total value decline from $475.9 million in 2003 to $402 million in 2004.

From January to October, the metropolitan area of Winnipeg recorded a total building permit value increase of 6.2% in 2004 from 2003 which had $582.6 million worth of permits up until October '03 while 2004's total value up to October was $618.7 million. However, Winnipeg recorded a sharp monthly decline in October 2004 of 32.6% from the previous month. September had posted a total value of $81.2 million while October's value fell to $54.7 million.

(The full report for Building Permits, October 2004 is available from Statistics Canada at: http://www.statcan.ca/Daily/English/041206/d041206a.htm)

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The Planning, Development, & Building Fees By-Law

(Further to the November 9, 2004 edition of Winnipeg Construction News, “Planning Development and Building Fees By-law”)

The Planning, Development and Building Fees By-law will take effect February 1, 2005.

The planning, development and building fees and charges contained within this By-law will be increased annually equivalent to the Consumer Price Index, unless a review dictates otherwise. (All fees and charges contained within this By-law will be reviewed at least once every three years.)

Highlights of the new By-law include:

• No fee increase for New Home Building Permits
• Introduction of “Multi-trade Residential New Home Permit”
• Minimum building and inspection fees increased to $60.00
• New calculation method for Building Permit Fees for commercial buildings (including apartment blocks): from a system of using the declared value of construction, to a service index methodology to calculate fees
• New calculation method for Demolition Permit Fees
• New Plan Examination service fees
• Three-year contractor's license and fees increased
• Revised penalty formula for work without permits
• New structure for commercial building permit refunds
• Introduction of 10% discount on total fees for Downtown Applications
• Extra fees imposed for excess plan reviews

WCA will be hosting a free session in January where a City of Winnipeg representative will be available to discuss the calculation method of a building permit based on the new By-Law. Watch for upcoming details regarding date and time.

A copy of the Planning, Development and Building Fees By-law may be found online at: www.winnipeg.ca/clerks/pdfs/bylaws/2004/166.2004.pdf or may be obtained at: City Clerk's Office, Council Building , 510 Main Street , Winnipeg MB , (204) 986-2171, fax: (204) 947-3452.

For more information on the Planning, Development and Building Fees By-law, please contact: Zoning and Permits Branch, Planning, Property & Development Department, Unit 31 – 30 Fort Street, Winnipeg MB, R3C 4X7, (204) 986-5140, fax: (204) 946-6347, www.winnipeg.ca/ppd.

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WCA Group Benefit Plan

The Industry Benefit Plan is a membership service of the Winnipeg Construction Association available through AQ Group Solutions. This unique plan offers group retirement plans and group life and health insurance to companies with as few as two employees. It also provides a six month lay-off provision for companies with seasonal employees and for “down-times” when companies may be forced to lay workers off.

Group Life and Health benefits are available at a low cost to the employer. The Core Plan includes Basic Life Insurance, Accidental Death & Dismemberment coverage, Long Term Disability and Extended Health Care which covers hospital stays, prescriptions, paramedical services, vision care and even emergency coverage out of the province or country. Optional benefits include Dependent Life Insurance, Dental Care and Weekly Indemnity (for companies with 10 or more employees.)

Group Retirement Plans are offered via Registered Pension Plans, Group RRSP Plans and Deferred Profit Sharing Plans. Registered Pension Plans can be set up to suit the needs of larger firms. Group RRSP Plans are easy for the employer to administer and are not restricted to any minimum group size. Employees receive personalized financial planning advice, immediate tax savings and easy payroll deduction.

Companies that are unable to obtain coverage elsewhere are a welcome addition to the WCA Group Benefit Plan. For more information, contact Laura Lomow of AQ Group Solutions at (204) 985-6066, (aqgroupsolutions.com) or by email at laura@aq.ca.

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CCA News:

2005 Forecast: Construction Industry to Continue Strong Growth

Overall GDP:

The Canadian construction industry is poised to record economic growth of 3.5 percent in 2004. According to the newest economic forecast released by the Canadian Construction Association (CCA), the Gross Domestic Product (GDP) – which represents the value of all production – of the construction industry grew by 3.5% in 2004 and is expected to reach 4.0% in 2005, and 3.0% in 2006.

Gross output, which denotes the value of all production (output) plus the value of all input costs related to the construction process (e.g., labour, equipment, materials, etc.), is expected to witness similar growth rates – 4.7% in 2004, 3.6% in 2005, and 2.8% in 2006. In 2004, gross output will reach $163 billion. The forecasted change in Manitoba's GDP for total construction is 2.5% in 2004, 5.8% in 2005, $4.4% in 2006, $3.5%in 2007, 2.8% in 2008 and 2% in 2009.

Residential & Non-Residential:

Following three consecutive years of the residential construction sector vastly outperforming the non-residential sector, 2005 is expected to witness equally strong growth for both sectors. In 2004, residential construction GDP shot up by 7.8%, while non-residential construction GDP grew at a much weaker pace of 1.3%. In 2005 however, residential GDP is expected to dip slightly to 4.1% growth, while non-residential GDP will strengthen to 4.0% growth.

A similar trend is expected in 2006, with growth forecast to average 3.0% for the residential sector and 2.9% for the non-residential sector. Within the non-residential construction sub-sectors, substantial differences are expected in growth rates. Electric power projects and transportation engineering projects are expected to record strong growth in the coming years, while non-residential building and oil and gas construction is expected to lag.

Employment & Provincial Growth:

Stronger growth, particularly in the residential sector, led to strong employment growth in the construction industry in 2004, (employment is expected to rise by 5.7 percent in 2004). In September, Statistics Canada reported that employment in the industry surpassed 1 million for the first time while nearly 1 in every 16 jobs in Canada is in the construction industry. By 2004, construction will account for 6.1% of all employment in Canada . In 2002, construction employment accounted for 5.4% of all employment in Canada. However, growth in the construction labour force is expected to temper in the years ahead, with the labour force expected to grow only 2.1% in 2005, followed by 1.4% in 2006 and 0.9% in 2007.

In 2005, all provinces are still expected to post impressive results with Newfoundland, Prince Edward Island, and Manitoba expected to lead the rest of Canada in overall growth with forecast growth rates of approximately 6% each. In Manitoba, 28,000 people were employed in 2004 in construction. Provincial numbers are expected to increase steadily over the next five years to 29.1 thousand in 2005, 29.9 thousand in 2006, 30.6 thousand in 2007, 31.2 thousand in 2008 and to 31.4 thousand in 2009. Alberta and British Columbia's massive expansion over the past several years is expected to cool.

For a copy of the full forecast, visit the CCA website at: www.cca-acc.com/factsheet/factsheet.html. All figures have been supplied to the Canadian Construction Association by Informetrica Limited.

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Enforcement of New Hours of Service Regulations Postponed

Over the past two years, Transport Canada has been working with provincial Transport Ministries to bring into effect more stringent Canada-wide Hours of Service regulations for all commercial drivers, including short-haul construction drivers. Originally, it was expected that provinces would be prepared to begin enforcement of the new regulations by late 2004. However, due to delays in harmonizing the regulations between the federal and provincial governments, the enforcement date will now be no earlier than January 1, 2006. Therefore, for the 2005 construction season, regulations affecting the time that drivers can work is the status quo.

In 2005, CCA will work with Transport Canada to produce an interpretation guide and information pamphlets for construction drivers explaining their rights and responsibilities in preparation for the new Hours of Service regulations coming in 2006.

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Industry & Related Announcements:

Membership News:

The WCA team has seen a few employee changes this past year, and 2004 is ending with the retirement of M.A. “Charlie” MacDonald. Charlie began her employment with WCA in September 1991. She held several positions in her time with WCA, her latest post was as Membership Coordinator. Charlie's immediate plans for the future include some home renovations, a trip to Australia, golf in the summer and staying up late (if she feels like it!). Charlie's healthy attitude toward life in and outside of work set a good example for the rest of the WCA team. Her warm smile will be missed by every one of us but we wish her well.

And when one chapter ends, another begins...

The Winnipeg Construction Association would like to take this opportunity to welcome Kelly Pochuk. Kelly will be taking up the position of Membership and Education Coordinator for WCA. Kelly comes to WCA most recently from the Canadian Manufacturers Association and also the Exchange District BIZ. Her wealth of experience is a valuable addition to the WCA team and we are very happy to have her on board.

Waverley West, Notice of Public Hearing

The Executive Policy Committee for the City of Winnipeg will hold a public hearing to consider amending part of the "PLAN WINNIPEG 2020 VISION” to re-designate the outlined area from “Rural Policy Area” to “Neighbourhood Policy Area” for the development of Waverley West. The hearing will take place Tuesday, January 4, 2005 at 9:00 am in City of Winnipeg Council Chambers, Council Building, 510 Main Street.

Relevant documents are available for inspection by contacting Michelle Richard, Planning Property and Development Department, at 986-3101.

Persons wishing to make representation at the hearing are requested to make written notification in advance to Jo-Ann Park, Clerk of the Executive Policy Committee, Council Building, 510 Main Street, Winnipeg, R3B 1B9, (204) 986-3732.

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Trade Up!

Trade Up! is a highly sophisticated and interactive website and companion CD designed to appeal to young people and to introduce them to the many and varied careers in the construction industry.  Interested individuals have access to loads of information that covers skill requirements, apprenticeship programs, career development opportunities and wages. There are also video clips featuring testimonials and advice from tradespeople currently employed in various careers in the industry. The Winnipeg Construction Association has been working toward a Manitoba version of the Trade-Up! product which can now be accessed online at www.tradeupmanitoba.com.

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Manitoba WCB Premiums Remain Unchanged for 2005

WCB News Release, November 19, 2005

The WCB has announced that Manitoba will continue to have the lowest average premium rate of all provinces with the average rate charged to employers remaining at $1.70 for 2005.

On average, Manitoba employers pay $1.70 per $100.00 of their assessable payroll to the WCB in return for injury insurance coverage for their workers including wage loss payments, medical benefits and rehabilitation services. Employers may pay a lower or higher rate depending on the safety and health risk of their business and the cost of prior claims. The declining time-loss injury rate in Manitoba is an important factor in allowing the WCB to keep the average assessment rate at $1.70.

(For the complete press release, visit the WCB website at www.wcb.mb.ca.)

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Winnipeg International Airport (WAA) Information Session stats

On November 22, 2004, Bob Edgar of the WAA provided WCA members with a presentation and Q & A period in regard to the redevelopment of the city's airport. Close to a hundred WCA members were in attendance at the Canad Inn Polo Park to hear about the project that has an estimated construction value of $350 million dollars. Details about the WAA redevelopment has also been published in Manitoba Construction News, a compilation of upcoming project information from WCA.

More information is also available on the Winnipeg Airport Authority web site at www.waa.ca.

Export Development Canada

For a quick and current reference to steel, copper oil and other commodities that impact construction costs, here is a link to weekly commodity price information, published by Export Development Canada (EDC): www.edc.ca.

Happy Holidays...

From all the staff members of the

Winnipeg Construction Association    

Edited by Jackie Petrus, WCA Construction News Reporter. 

Comments or questions?  Email wca@wpgca.com.

Visit our full website at www.wpgca.com.

Copyright of Winnipeg Construction Association © 2004.

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(204)775-8664