Shane Leonard — A Breakfast on Managing Quality in Construction

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Shane Leonard, Director at Philip Chun & Associates, has been practicing as a Building Surveyor since the 80s. He has an exceptionally broad base of experience; Shane works on a large variety of commercial and residential projects, including the MCG, Etihad Stadium, the Eureka tower and multi-storey residential buildings. He also prepares expert opinions on building code law and has given evidence in the High Court.

On the back of several recent high-profile building issues, there is a great deal of discussion taking place about building compliance and quality.

There are two significant aspects to this topic, namely workmanship and statutory compliance.

Whilst there is clearly some crossover, simply relying upon statutory compliance for quality control will not deliver a high level of finish, aesthetic or performance of matters outside of the regulatory obligations.

Background

The management of quality through statutory compliance, if implemented correctly, should ensure that the works meet the minimum community expectations for the following components of building work:

·         Structural Stability

·         Fire Resistance

·         Access and Egress

·         Services and Equipment (e.g. fire services, lifts, warning system)

·         Health and Amenity

·         Ancillary Provisions (e.g. alpine & bushfire requirements)

·         Special Use Buildings

·         Energy Efficiency

The Statutory Framework

In Victoria, the Statutory head of power is the Building Act (Vic) 1993 (the Act). It sets out, amongst other things, the framework for the building permit and occupancy permit process.

The Act also allows the Governor in Council to make regulations to control the construction, use maintenance and demolition of buildings. These regulations are known as the Building Regulations (Vic) 2018 (the Regulations). The Regulations adopt the National Construction Code - Building Code of Australia (BCA) as the technical basis for the construction of buildings and covers the components of work outlined above.

The Permit Process

In a perfect world, an application for a building permit will include sufficient documentation to satisfy the Relevant Building Surveyor (RBS) that, if the building is built in accordance with the documentation, it will substantially comply with the Act, Regulations, BCA and relevant Australian Standards. The documentation needs to be sufficiently detailed to ensure compliance with the statutory requirements is achieved (e.g. door hardware to satisfy both exit requirements and accessibility provisions).

It is then the responsibility of the builder to carry out the building work in accordance with the building permit documentation and there must not be any substitution of materials without first consulting with the RBS. This is particularly important in relation to construction materials and fire properties.

Monitoring the Works

There is often a perception that it is the building surveyor’s role to monitor the works.  However only limited inspections are carried out by the RBS during construction and occur at mandatory inspection notification periods. These are essentially: -

·         Foundation material;

·         Reinforced concrete members;

·         Framing members;

·         Fire rated walls (in Class 2 & 3 Buildings); and

·         Final inspection.

In a sense the building surveyor’s role of monitoring might be analogous to that of police officers of the construction world. Police do not control every element of vehicle and driver safety.  They are also unable to monitor the speed of each car on the road or that no driver is using their phone. Similarly, building surveyors are not engaged to, and are unable to, check every element of construction.

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Poor Construction Outcomes

However, when it comes to quality and defects, building surveyors (as well the builder and most consultants engaged on a project) are held potentially liable.  Construction quality, or lack of, is often revealed once the project is completed. This can trigger a ‘blame game’ for liability, as has recently been seen in recent defect disputes in Australia.

In the case of the Lacrosse building fire in Melbourne’s Docklands, VCAT concluded that a building surveyor holds “a ‘significant’ gatekeeper role” of the project and has a special responsibility to ensure projects comply with the BCA. Furthermore, whilst the builder was held liable for delivering the building with combustible cladding, due to the nature of the contractual arrangements, liability was passed onto the architect, building surveyor and fire engineer. (This decision has been referred to the Court of Appeals).

It is worth noting that as a result of this and similar cases, PI insurance is rising exponentially for most building professionals. In some instances, professionals are not able to obtain insurance at all and some will simply close their business. Ultimately this will lead to increased development costs which will be passed onto the end user. New house prices will increase, and affordability may suffer.

Standards in Australia

The safety of building occupants was most critically highlighted following the Grenfell tragedy in the UK. Whilst the far-reaching combustible cladding issues raise serious concerns, it is important to note that Australia has significantly more advanced fire-proof systems in place, and has had since the mid-1980s. Sprinklers, fire stairways and building techniques to isolate fire in individual apartments are all examples of high quality Australian Standards which reduce the risk of injury or death in building fires. The Lacrosse tower, for example, was without a doubt dangerous. However, 400 occupants were “evacuated safely and without injury”.

Conclusion

Whilst a focus on this paper has been on the safety side of quality, it is important for all parties involved in construction to understand that the statutory compliance process should not be relied upon as a holistic ‘Quality Control Process’.

Compliance with the Act and Regulations will only provide for a minimum standard of amenity, health and life safety provisions.  Compliance does not guarantee a high-quality project.

Furthermore, the issuance of an occupancy permit does not confirm full compliance with the Act and Regulations.

To avoid mediocrity and achieve purchaser/occupier satisfaction, other quality control measures must be employed to ensure excellence in building outcomes.