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2009 - 2010 President's Report

We seem to have hit the ground running with the “ethics“ question raised at the AGM, and a promise that we would come back with an answer by this year, I am pleased, thanks to the efforts of some senior members this has been achieved.

The discussion to introduce a new graduate membership category, revised guidelines for applicants and interviews and the all important new competency levels have also progressed well this year and will be put to the test when you vote at the AGM.

Questions have been put to the Institute membership as to the future direction and content of NZ 4202, with a good response; the final outcome is still under consideration.

I am surprised with the overwhelming move by Associate members to transfer to Member status; no doubt a reflection of our time that “Member” affords greater status than Associate particularly when doing business and working offshore.

An application has been forwarded to Government for NZIQS to become an Adjudication Authorised Nominating Authority under the Construction Contracts Act. It may be sometime before we know if NZIQS have been successful, but applications from members meeting the criteria will be sought beforehand and the adjudication committee is finalising the process and forms.

Finally my thanks to all members who give of their valuable time to serve on Institute Committees. Thanks to Gretchen and Alana for their ever cheerful and efficient running of the Institute office and not least John Granville, for your support and assistance over the last two years.

Phillippa Luoni, FNZIQS, President           [edited highlights – see Annual Report Here]

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Student Awards - HH Bunckenburg Memorial Trust

The Trustees have pleasure in congratulating the recipients of the 2009 National Diploma in Quantity Surveying awards, each of whom received a congratulatory letter and a cheque for $500 namely;

First year – Andre Copland - Dunedin, Tjaart Grove - Hamilton, Kenneth Swanson - Tauranga, Lil McNeil – Wellington and Myat Khaing – Auckland

Graduates - Steven Burge – Christchurch, Heng Wong – Dunedin, Ellyse Shaw - Hamilton, Emma Gilbertson – Wellington and Tim Healy – Auckland.

Phillippa Luoni, FNZIQS, President (Trustee), Ian Harrison, FNZIQS (Trustee), Paul Williams FNZIQS (Trustee/ Secretary)

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NZIQS Student Wins Inaugural PAQS Iwata scholarship

NZIQS Student Marcel Frei received his prize as the inaugural winner of the PAQS Iwata scholarship competition at the 2009 PAQS Conference. Now based in Sydney Marcel has again submitted an essay this year under the NZIQS banner. Other students should note the value in forwarding proposed papers to NZIQS, with a paid trip to and registration at the PAQS conference (Singapore 2010) as the annual prize.

Phillippa Luoni, FNZIQS, President

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Associates Dial “M” for Member…

Members continue to transfer from Associate category to Member category. In response to the May 2010 E-Bulletin another 14 new A-M applications were received. Congratulations to our Associates who have transferred. Please all proudly use MNZIQS after your name on your business cards, letters and emails. It takes courage to embrace change and often when you follow your beliefs and act on your convictions you do not get any support or followers. We assure you the future is bright for Members with an M.

Please transfer me from Associate to Member category
It is FREE and automatically processed.

You will receive a new Membership certificate with special recognition of your original date of attaining Associate status plus a note that you have transferred on request.

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Associate now an ENTRY-LEVEL qualification…

There is a website dedicated to rolling out AssocRICS the new ENTRY LEVEL qualification. see AssocRICS

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New NZIQS Logo – Have your say before the AGM!

My vote is to Approve / Disapprove of the new logo

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www.nziqs.co.nz - Calendar

24 June, Auckland, CPD Site visit D & H Steel

30 June, Otago, Social Event at Balmacewen Bowling Club

15 July, Otago, Social Event - 2010 Mid Winter Do!!

23 July, International : ICEC/PAQS : Singapore (Public Event)

Check it out now..

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Continuing Professional Development

Although there are now 132 members who are currently CPD accredited and 130 Registered Quantity Surveyors there is a need for members to at least become CPD accredited, if not Registered. All other industry professionals and most of the tradespersons are compulsorily required to be CPD accredited to remain a ‘qualified’ member permitted to undertake their role, and our international QS colleagues ALL have a similar requirement once made a Member. Full support for CPD activities is provided by the national office for any centre of membership wanting an event  and publicity is given to all NZIQS members and can be provided to other institutes also if desired. Costs will be covered for CPD activities. Support nationally will increase in the coming year and CPD accreditation promoted to members, but local members must be involved in the plans. The NZIQS CPD programme is recognised internationally by the ICEC (International Cost Engineering Council). The office is getting queries now on the CPD status of members from insurers, government bodies (DBH), potential clients and recruitment Agencies.

John Granville, Executive Director NZIQS

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Its Careers time again…….in Auckland

Its careers time again……. Firstly, thanks for all your assistance last year and I look forward to your continued assistance this year. The next event is on the 17th June and we need some people to attend and give a quick talk on how good Quantity Surveying is as a profession. After this it’s into July before we need any more assistance.

The feed back on the events we went to last year were all very positive, and it would be great if we can continue this and also encourage some of our younger members to attend and tell their stories as to why they wanted to become a QS. If any of you are mentoring students form UNITEC or Massey then it might be a good opportunity to get them involved.

Allan Barclay
Chief Quantity Surveyor, Auckland, Fletcher Construction 

Unresourced opportunities…

21 June 2010, Marlborough Combined Schools Careers evening – volunteer required
2 August 2010, Whangarei Boys High Careers evening - volunteer required
|5-7 August 2010, Auckland Coca Cola Expo – volunteers and funding required
15 August 2010, Wellington Coca Cola Expo – volunteers and funding required

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Conference Turnout Exceeds Expectations

There are 91 delegates each day, and 96 plus for the gala dinner. Sponsorship of $26,000.00 was raised. Coming out of a recession this is a very pleasing response from members and our supporters.

Acknowledge Bay of Plenty Tourism

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Conference 2010 Sponsors

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Membership Highlights 2009 / 2010

Membership – There are 1340 members as at 1 June 2010. There has been a steady increase since 2002 (809). Members comprise – Life -11, Fellows – 64, Associates - 286 , Members 344, Retired members 41, probationary members – 72, student members – 518, Honorary – 4.

However, the increase will not continue without continued applications from those QS-educated non-members working alongside you. Council have approved a fee rebate for the “friend get friend” programme. Find out how you can save on future Institute fees by signing up a friend as a member, email John@nziqs.co.nz.

A turning point has been reached with Members rising above Associates. The speed at which these two core qualified member groups unite (under the Member category) is very pleasing to see. Trends over the last 3 years also highlight a significant increase in Student members and a significant increase in the Auckland Region membership. This can be balanced alongside long serving members loyalty to the NZIQS brand as the member demographics show there will be the retirement of a significant number of senior QS’s in the next 5 years with 193 members over 60 years of age, that is about 15% of total membership and more than 20% of the ‘ qualified members’ !

NZIQS is becoming stronger in numbers- it is likely to become younger too.

John Granville, Executive Director NZIQS

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QS in the news

Australia. Principal says millions wasted on red tape. Mr Grossek says he spent $10,000 of school funds hiring a quantity surveyor to see how much the proposed templates would cost if built commercially. "I told the [BER] taskforce last week that according to our quantity surveyor the documentation and the management of these projects is befitting a $50 million project, not a $3 million project." [abc.net.au]

United Kingdom. Quoted quantity surveyor Baqus Group has issued an unexpected profit warning , blaming the decline in public spending. “This slow-down has been increasingly pronounced since the result of the General Election and the continued lack of bank lending for construction schemes.” [builderandengineer.co.uk]

South Africa. Cost management company “Planning & Cost Engineering Services” (PaCE) and quantity surveying firm “Bingelela Consulting Professionals” have joined forces to open the first Southern African Project Controls Institute (SAPCI) chapter, in Durban. The new body aims to improve the working relationship between cost engineers and quantity surveyors. [engineeringnews.co.za]

New Zealand. Tony Sewell, Chief Executive of Ngai Tahu Property Limited, has been appointed to the University of Canterbury Council. Mr Sewell has a construction and property background with experience in quantity surveying, project management, property development. [voxy.co.nz]

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NZIQS Annual Report 2009 / 2010

NZIQS Annual Report and audited accounts. Note we posted a $14,896 surplus to 31 March 2010. Contains reports from committees including Membership, Finance, Education, Marketing, SMM NZS (4202 Review), International Relations, Adjudication, Ethics Review and Branch Board. See Annual report Here

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Standard method of measurement committee report

As members will be aware, a questionnaire has recently been circulated seeking direction from the membership on the philosophical future of the standard method of measurement. While it had been planned to formulate and circulate this questionnaire last year, various circumstances did not allow this to happen. As stated in the last annual report, the programme was very ambitious. A number of responses have already been received with some interesting results. Analysis of the responses will hopefully give this committee clear direction on which way we should head. Early indications are that the institute should establish its own Standard Method of Measurement along the same lines as NZS 4202, but with simplified measurement rules. Hopefully, in the next few weeks, an analysis of the results can be published in the e-Bulletin. Request a copy of the questionnaire Here.

Ray Knowles, FNZIQS, Committee Convenor.      [edited highlights]

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Ethics review committee report

The Ethics Review Committee addressed the question of a Quantity Surveyor or the same firm of Quantity Surveyors taking on more than one role on the same project. Two hypothetical cases considered were 1) the bank’s adviser (doing draw downs) advising the QS to keep the progress valuation down and 2) when the member claiming the progress claim over claims intentionally. A paper under the heading “A Matter of Ethics” was circulated to Council and Branch Boards and several responses have been received. The responses support the fact that Ethics requires the highest standard of integrity from its members.

The conclusion reached by the Ethics review committee can be seen in full by downloading the Annual Report Here.               [edited highlights]

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Quasi-legal

Quasi-legal ­ a type of regulatory instrument, rule or regulation with strong legal aspects but without any binding force; mostly recommendations.

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The shifting sands of building liability

Firstly, a couple of points in regard to the opposing views of the role of LBP's in the April bulletin.

I generally agree with view 1 but note that liability goes beyond statute and contract, and includes the tort of negligence, not forgetting that employers are vicariously liable for their employees' torts. Section 88(4) makes it clear that the LBP does not incur extra liability although s/he is liable to be fined for supervising or doing work outside his/her area of LBP competence.

In regard to view 2, it is certainly about competence because restricted building work has to be done or supervised by an LBP. But it is misleading to suggest that a contractor or owner can employ an LBP to "inspect" work so as to comply with the Act. The Act is quite specific, an LBP either has to "carry out the work" or "supervise" the work being done. This suggests that someone has to be on site supervising the work as in the site supervisor or whatever other title s/he has. Calling on someone to "inspect" work at various times would be to take on an enormous amount of responsibility, and exposure to risk for defective work that one had no control over. The principal function of supervision is control. It could help if the Act defined "supervision". "Inspection", insofar as the Act is concerned, is the primary role of the territorial authority or building consent authority, which also answers the question ending view 1, "who else could be" [liable for leaks presumably]. LBP’s do however "inspect" work for the purposes of section 103 Compliance schedules and section 108 Annual building warrant of fitness.

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Secondly, Geoff Hardy, principal of Auckland based law firm Madison Hardy, in an article published recently in the New Zealand Herald, gives his opinion on the risks run by builders who engage in remediation [leaky homes seem to have invented a new word] with a likely estimate of up to 89,000 homes that need fixing compared to a paltry 3,500 or so actually completed. He suggests that it is notoriously difficult to successfully repair leaky homes, and I cannot disagree with that. He opines that the recent offer by the Government and the local authorities to pay half the repair bill plus the free services offered by way of investigative reporting etc will encourage greater use of the Weathertight Homes Resolution Service. Presumably we may see a second and even third round of failed fix ups going through the system. He suggests that even innocent builders will be sucked into the process involving much expense in proving their innocence that will outweigh any profit in doing the work. Even more risky are those clients who want a quick-fix so as to be able to ‘flick on’ a property with the least inconvenience and expense. And even sincere owners seem to expect work to be done on a shoe string budget in NZ.

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Lastly, my advice to would be builders / LBP’s is to take a lead from property developers. Register a company for every job undertaken, employ labour on wages, not as independent contractors, and pay P.A.Y.E  and ACC levy. Wind up the company at the end of the contract, fire all the employees and rehire them for the next one. The project manager who “supervises” the work, if the legislation is to be believed, will have no liability for any subsequent work if s/he acts responsibly. The owner/director of the company should take care not to get involved in any day to day operations apart from financial control [all you quantity surveyors please take note].  And one final tip, do not under any circumstances operate without a design that excludes anything that can be taken as a performance based specification. Work only to full details supplied by a competent designer and ensure that the designer spends time on site and produces sketches of requirements to fill in detail. And one final final tip, take a lot of photographs of what is being done.

My own preference in home design would be to separate house design into two separate categories. One category would require a roof pitch of not less than 15 degrees, eaves and gable overhang of at least  300 mm not exceeding 450 mm allowed to protrude through the building envelope. Work less than 15 degree pitch, internal gutters, or overhang less than 300 mm should only be allowed if an architect designed the work, provided full working details, and entered into a full design and administer contract.

Geoff Parish MNZIQS, (and UNITEC Lecturer)

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QSnippets [and sometimes HUGE chunks]

1. NZIQS Conference 2010 – This week at Tauranga. Programme Here. Conference also qualifies for 14 hours of CPD – Seminars.
2. Graduate Member (GNZIQS) Proposal. Subject to the approval of the membership, it is proposed that a new membership category, provisionally called “Graduate” member which sits between “Student Member” and “Member” will be introduced. It is proposed that Graduate members will be eligible for election to Branch Board and will have voting rights at General meetings of the Institute but will not be eligible to sit on Council.  This new membership category would be entitled to use the post nominal “GNZIQS”. Remember to use your proxy vote.
3. UPDATE on Looking for NZS 623P:1984. A copy of NZS:623:1984 has kindly been passed along from one member to another thanks to Barry R. Millynn (Dubai) who kindly responded to our request. We are now only looking for an original print copy of the very original NZSS 623 first published 1949. Any edition published between 1949 and 1963. If a member has copy in original print format and wishes to sell it, pass it on etc, please email us and we will pass on the contact details of the member. I have an original print copy of NZSS623…
4. Alex Neal is taking on the Director role for the new Kwanto Wellington office.
5. Tony Sutherland assumed MD of Wellington office of RLB on 1 April 2010.
6. Jobs decline in year ended March 2009 - Seasonally adjusted filled jobs declined 1.5 percent in the year ended March 2009. The annual decrease in the number of seasonally adjusted filled jobs is the first since the series began in June 1999. The industries with the largest declines INCLUDE construction. Click here to read more
7. Lowest wage growth in nine years - New Zealand's salary and wage rates grew 1.5 percent in the year to the March 2010 quarter. The latest annual increase shown in the Labour Cost Index (LCI) is the lowest since the year to the September 2000 quarter, when salary and wage rates recorded an identical 1.5 percent gain.  Click here to read more
8. Committee Volunteers Encouraged. I strongly encourage new and not so new members who wish to contribute to consider putting themselves forward on to one of the institute committees or workgroups so that some of the long standing members can pass on their knowledge and take a rest. If you do not like something that is happening or have a strong view it is easier to have it heard and accepted from the inside. (Anyone interested contact me!) 0800 469 477 john@nziqs.co.nz.
9. E-Bulletin teases members. If we have done our job properly in this issue, you will have been teased into signing up to our member’s only section of the NZIQS website. Web services are the ‘here and now’ in the real world and with a younger age group coming through the ranks of the nziQS world, we need to sharpen up!  ð
10.  Exciting developments with the E-Bulletin and the website are coming... J
11. Sign up for your NZIQS Online account here.

·   Tick the check box þ “I have read, understood and agree to these rules and conditions”;
·   Click the “Register” button;
·   Enter your desired log in username (account name for you to remember);
·   Enter your desired display name (name displayed to their users when logged in);
·   Enter and Confirm your password;
·   Enter and Confirm your Email Address;
·   Select YES to “Q. Are you a NZIQS member?”;
·   Answer other optional sign up questions; then
·   Click the “Submit my Registration” button.

And for those who like short cuts, the tease is over, here is a direct link to the Annual report

http://www.nziqs.co.nz/news/articles/Annual_Report2010.pdf

See you online next month!

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LPMS - Professional Indemnity for QS’s

Land Professionals Mutual Society Incorporated (LPMS) is a voluntary risk management organisation that represents the interests of surveyors and valuers and kindred professions with its principal objectives being;

1. Guidance to members on the ways and means of avoiding or minimizing liability claims;
2. Providing members with supportive claims assistance and administration including quality technical, legal and insurance assistance;
3. Offering members access to especially tailored group professional indemnity and other liability insurance facilities on a voluntary basis.

LPMS has arranged group professional liability insurances for Member Firms since August 1976. Originally membership was restricted to consulting and land surveying practices but was expanded in 1983 to include valuers in public practice. In 1985 membership was extended to kindred professions involving professional practices who provide consulting services in quantity surveying, clerk of works, farm management, forestry, planning and property.

Insurance Consultant & Broker : Insurance and Claims Administration
Aon New Zealand Limited, Professional Risks, Doug Morton P 04 819 4086

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DISCLAIMER: The views expressed in this publication do not necessarily reflect the views of NZIQS Council, Institute policy or advertisers and sponsors of the Institute. The content of this publication is not to be construed as legal advice.

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This Electronic Message is from NZIQS. T 0800 469 477
To unsubscribe email “unsubscribe” to office@nziqs.co.nz

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