Human Resources Committee on Oct. 22nd, 2024

[The Chair (Mr. Robert Morrissey (Egmont, Lib.)), Liberal, Bobby Morrissey]

I call this meeting to order.

Committee members, could you take your seats? We are ready to begin. The clerk has advised me that we have a quorum.

Welcome to meeting number 130 of the Standing Committee on Human Resources, Skills, Social Development and the Status of Persons with Disabilities. Today's meeting is taking place in a hybrid format, but all of our witnesses and committee members are appearing in person in the room.

I would like to advise those in the room of a couple of items.

You have the option of choosing to participate in the official language of your choice. Translation is available through the headset. I suggest you get familiar with it before we begin, because we sometimes have a few issues with being on the right channel for participating in the language of your choice. If there's an issue with translation services, please raise your hand and I will suspend while it is being corrected.

As well, in the meeting process, please direct all questions and comments through the chair and wait until I recognize you by name before commenting or taking the floor.

Those with devices, please make sure alarms are turned off before we begin, because these sounds can cause issues for the translators. As well, please refrain from tapping the boom on the mic, because, again, it causes issues for the translators. We cannot proceed without translation services.

Pursuant to Standing Order 108(2) and the motion adopted by the committee on Thursday, June 3, 2024, the committee is continuing its study on advancements in homebuilding technologies.

I would like to welcome our witnesses.

We have Jim Facette, executive director, Canadian Roofing Contractors Association; Daniel Pascoe, chief commercial officer, Flexobuild Inc.; and Marcos Silveira, director of engineering at Printerra 3D Construction Printing.

Today we're going with one two-hour panel for the full duration of the meeting. Gentlemen, you each have five minutes for your opening remarks. At around five minutes, I will ask you to wrap up your comments whenever you can.

We'll begin with Mr. Facette for five minutes.

Mr. Facette, you have the floor.

[Jim Facette, Executive Director, Canadian Roofing Contractors Association]

Good morning, Mr. Chair. Thank you for having me back at this committee.

I was here in the month of June. Thank you again to all the committee members for the opportunity. Thank you for being here.

This past June, I appeared here during our industry's national roofing week. Perhaps someday we can have a national trades day during roofing week.

The Canadian Roofing Contractors Association represents over 400 Canadian industrial, commercial and institutional roofing contractors, companies and needed suppliers. Some of our members do both non-residential and residential roofing and building envelope systems. In fact, many may have started in residential and moved over to non-residential.

Our member companies vary in size, from as many as 6,000 employees across North America to as few as 12. Most contracting companies would likely be classified as small to medium-sized enterprises.

The following are our comments on some industrial, commercial and institutional roofing and building envelope advancements that can be used in multi-unit residential construction and perhaps someday in single-family units.

New housing investments of any nature create communities. These communities need infrastructure services, be they schools, hospitals, recreational complexes or shopping facilities. CRCA members will be called upon to meet the demand.

There is a related challenge. In the roofing and building envelope industry, there is an acute need for people in all facets of the business. We need skilled and unskilled labour. We need superintendents, project managers, estimators, engineers and so on. This is why the industry has turned to technological advancements as one way forward.

No matter the technology, innovation or other enhancement, we still need people to build and manage the construction of the buildings.

Perhaps two of the more known ways that are used in the advancement of industrial, commercial and institutional roofing and building envelope construction are modular construction and insulation. Each has a residential application. Often used interchangeably, prefabricated construction and modular construction are different.

Prefabricated construction involves the creation of building components in a controlled environment before they are transported for assembly.

Modular construction, a subset of prefabrication, consists of creating complete modules or units in a factory setting. These modules can include walls, floors, ceilings and integrated systems, which form self-contained units.

The ICI construction modular systems use integrated components that include preassembled units that integrate insulation, membranes and structural elements. This has the potential to enhance overall performance and ease of installation.

Use of modular systems has the potential to speed up construction. Given that it is in a controlled environment, there are likely to be quality control improvements. There are many examples, but I'll only look at one because of time constraints.

The Hive in Vancouver, British Columbia, is a mixed-use development featuring modular construction for both residential and commercial spaces, with an emphasis on sustainable building practices. This project includes roofing systems that enhance energy efficiency, and the design facilitated rapid construction. It is constructed with advanced mass timber systems using prefabricated cross-laminated timber panels—CLT in the industry—and glue-laminated timber columns, bracing and beams.

When it comes to insulation systems, there is something called “continuous insulation” systems. These are wall assemblies where insulation is applied continuously across all structural elements of a building's exterior without thermal bridging. This is not the time for a class on thermal bridging. However, I will say that thermal bridging refers to the transfer of heat through conductive materials with insulated areas, leading to energy loss in the winter and heat gain in the summer.

One application for continuous use in systems in commercial and residential is exterior foam board. These attach directly to the exterior of the sheathing or framing. Such systems provide higher energy efficiency ratings. Given the limited time, I will say there are many examples of technological advancement in construction that will lead to greater efficiencies and faster outcomes.

However, technology alone will not resolve the current housing supply issue, and not all technological advancements are used on a mass scale to make a significant impact.

I said this in June and I say it often: We should all encourage our children, grandchildren or anyone else for that matter to pursue a career in a trade. We are all touched in some way by the current housing situation in Canada. The CRCA does not see a one-size-fits-all solution going forward. The housing crisis will not be resolved overnight. It's going to take time.

Our members want to see governments and industry work together to build communities Canadians want to live and thrive in.

Thank you, Mr. Chair.

[The Chair, Liberal, Bobby Morrissey]

Thank you, Mr. Facette. You're right on time.

We'll now go to Mr. Pascoe for five minutes, please.

[Daniel Pascoe, Chief Commercial Officer, Flexobuild Incorporated]

Good morning.

My name is Daniel Pascoe. I'm the chief commercial officer and co-founder of Flexobuild Incorporated, a Canadian company based in the Niagara region of Ontario.

In response to the current housing crisis in Canada, Flexobuild has developed a practical, long-term solution for neighbourhood housing, densification and new-home developments. We saw an opportunity to create a solution whereby multi-generational families could remain close by while maintaining their independence and dignity. Many elderly couples are interested in moving into their own ADU, or accessory dwelling unit, sometimes referred to as a garden suite or a laneway house, while their younger family members reside in the main home. It's a smart use of home equity and a way to revitalise neighbourhoods that have space for these dwellings. There is also an income opportunity for homeowners. Those with under-utilized large backyards can rent their ADUs on a long-term basis, providing much-needed housing for others. This not only helps address the housing shortage, but also allows homeowners to benefit financially from their existing property.

At Flexobuild, we use a prefabricated structural steel insulated-panel system to assemble complete homes. This includes a floor, walls and roof, with home sizes ranging from 450 square feet to 1,300 square feet as standard models. These homes can be expanded or contracted in both directions to fit specific property lines, giving homeowners total flexibility. Our product is 100% Canadian-designed and manufactured. We contribute directly to our economy and maintain the highest standards of quality. Flexobuild homes are suitable for installation in all provinces and territories across Canada, ensuring safety and durability in all environments.

Leveraging the automotive industry standard of design for manufacturing and assembly, or DFMA, not only allows us to streamline the process and deliver homes that are fast to build and scheduled for exact, on-time delivery, but also ensures consistency in the final product. Our homes feature spacious interiors with ceilings up to 12 feet, creating a sense of openness and enhancing the overall feeling of space. Despite their smaller footprint, Flexobuild homes feel airy and spacious.

The Flexobuild system is delivered flat-packed on a flatbed truck to the client's site, which is just one of the unique aspects of Flexobuild. Importantly, the installation of the home does not require road closures, and we do not impede traffic in the local area. There is no need for heavy, large cranes and lift structures. Standard hand-operated tools are the only tools required on site. A local general contractor, part of our FlexoConnect program, handles the installation of the home, including essential services such as plumbing and electrical work. In just four to five days, the exterior of the home is complete, including windows and doors, with minimal disruption to the neighbourhood. There is no heavy equipment noise, making the process seamless and neighbour friendly. Every single piece of the home can be carried through a garden gate by two people, illustrating the ease of installation.

The standard foundation option of helical screw piles allows the home to be built above ground and installed on sloped properties, without concern for the ground type. Furthermore, due to the steel exterior of the home, our homes are critter-proof, adding an extra layer of durability. The FlexoConnect member would finish the interior of the home, making it move-in ready within about four to six weeks. The entire process of delivery, installation and interior finishing takes less than two months.

While the Flexobuild process is highly efficient, many of our clients still face challenges, especially with building permit applications. Many homeowners find the process confusing and indeed overwhelming, as building regulations can vary significantly between municipalities. Each area has its own specific sets of rules and processes regarding setbacks, building height, lot coverage and the comparative size of the ADU compared to the main dwelling.

New property developers also encounter significant obstacles when looking to place multiple homes in larger communities. Changing or adjusting local zoning and obtaining approvals for larger property developments can be a very complex and costly process, making it challenging to expand these much-needed housing solutions. Flexobuild has a solution and a product to help address Canada's housing crisis with rapid, efficient and family-centred solutions. With government support and regulatory reform, we can provide faster housing for thousands of families, while supporting local tradespeople and revitalizing neighbourhoods across Canada.

Thank you for your time. My name is Daniel Pascoe, and I'll be happy to answer any questions you may have.

[The Chair, Liberal, Bobby Morrissey]

Thank you, Mr. Pascoe.

We will now go to Mr. Silveira for five minutes, please.

[Dr. Marcos Silveira, Director of Engineering, Printerra 3D Construction Printing]

Good morning. Thanks for having me today to speak about the potential of additive construction, commonly known as 3-D printing, and its role as a powerful tool to help address Canada's housing crisis challenges.

My name is Marcos Silveira. I serve as a director of engineering at Printerra 3DCP. In addition to my role at Printerra, I chair the ASTM WK84415 committee, which deals with standard practice for evaluation of structural printed elements. I also contribute to the ASTM F42 ISO JG80, focused on development of standards practice for additive construction in general.

I'm also part of some committees in the U.S., such as ICC and NIST. However, it's worth mentioning that Canada has yet to establish any standard committees for additive construction.

At Printerra 3DCP we provide additive construction services, and we are proud to be part of a larger group of construction companies dedicated to innovation in this space.

Additive construction techniques are demonstrating their value globally by enabling faster construction of high-quality, cost-effective homes. In countries like the United States, Germany and the Netherlands, 3-D printing is already producing entire structural components, from foundation walls to full housing units. These printed structures are not only faster to produce but also provide unique benefits such as enhanced material efficiency, optimized design integration and reduced environmental impact, making homes more sustainable in the long term.

Research conducted in Canada, including my own work as a research fellow at the University of Windsor, published in the Canadian Journal of Civil Engineering under the title “Structural performance of large-scale 3D-printed walls subjected to axial compression load”, has demonstrated the potential of additive construction in producing robust structural components. These findings also suggest that additive construction can meet and exceed both Canadian and American masonry standards, further validating its role in addressing our housing needs. This research, by the way, was part of the Leamington project that Fiona Coughlin, the CEO of Habitat for Humanity in Windsor, mentioned to you all a couple of weeks ago.

However, despite these advancements, Canada still faces several roadblocks that prevent us from fully leveraging additive construction technologies. Current regulations are not designed to accommodate innovation, including additive construction, which limits our ability to apply this technology in commercial and residential projects. The above-mentioned paper suggests that 3-D printed walls can be designed to meet masonry standards. However, interpretations differ across municipalities, resulting in inconsistencies. Developing new standards and guidelines for 3-D printing construction is crucial, but the process could take seven to 10 years, far too slow to meet society's urgent needs. Immediate solutions are required to make this technology impactful and address today's challenges effectively.

A comprehensive, unified research initiative that systematically addresses critical knowledge gaps in additive construction remains absent. Current research efforts are often disconnected and not aligned with industry needs, lacking focus on practical applications that could drive the development of the industry standards and building codes. A coordinated research strategy guided by these crucial gaps is necessary to ensure that findings directly support the creation of robust standards, design guidelines and building codes. To enable the widespread adoption of 3-D printing in Canada's construction sector, it is crucial to align research, industry expertise, and the development of standards and building codes.

The accelerated retirement of skilled workers and the lack of new talent entering the trades have led to a growing gap in the available workforce. The shift toward automation in construction requires workers skilled in robotics, new materials and innovative technologies. While traditional workers are experiencing conventional methods, they need specialized training to adapt to additive construction. Investing in targeted education and training will ensure our workforce can support this technology shift.

In conclusion, 3-D printing offers a transformative solution to Canada's housing crisis by reducing costs, enhancing sustainability and speeding up construction timelines. However, to fully realize this potential, we must address several key challenges: advancing targeted research to fill gaps identified by industry players, rapidly updating building codes and standards to accommodate innovation, and investing in specialized workforce training. With these important elements in place, additive construction can reshape the housing sector and significantly contribute to meeting the growing demand for affordable housing in Canada.

Thank you for having me.

[The Chair, Liberal, Bobby Morrissey]

Thank you so much for that.

We now have ample time for an in-depth discussion on this very important subject. We begin with Mr. Aitchison for six minutes.

[Scott Aitchison, Conservative, Parry Sound—Muskoka, ON]

Thanks, Mr. Chair.

Thank you to the witnesses who are all here. There are a lot of similarities but a lot of differences too. It's really interesting stuff.

I'd like to start with Mr. Pascoe. The concept of home kits, like modular construction or factory-built homes, is not a new thing in Canada. It was done in the past—I mean, you used to be able to order your home out of the Sears catalogue—but I'm wondering whether you can speak to some of the reasons that the pre-built home, the catalogue home or that whole industry is so much smaller.

[Daniel Pascoe]

I think that, with prefabricated homes as a whole, there were many restrictions with regard to that. For one, they need to be made in a factory. There's a huge investment required for that process. They're made in traditional methods as well. We speak today about robotic 3-D printed materials, traditional wood and metal construction and so on, but it still requires a significant investment and a large factory footprint to create these homes. Don't forget, of course, that they need to be transported to the customer or client's site, which, as you know—as you see one of these massive homes being driven down the 401—has issues in itself.

Whether that's one of the reasons for the decline in that, I do not know. However, the whole purpose of, in my case, Flexobuild, is that because the whole kit is flat-packed, literally, on a flatbed trailer, that trailer can get to virtually anywhere. It requires a simple forklift to unload the panels on site, including the panels, the frame and everything you need to assemble that home, including the fasteners. That's why we went down that route. It doesn't require too much investment in the sense of building a factory, and the method of getting those homes into the backyard of a home in an established neighbourhood is very practical indeed.

[Scott Aitchison, Conservative, Parry Sound—Muskoka, ON]

Can you speak a bit about the approvals process? You can scale up a factory to build a lot of product pretty fast, but you have to have a place for it to go. Of course, getting those sites for the building to go is a municipal approvals process. How's that going for you?

[Daniel Pascoe]

The building permit process is the biggest roadblock of all. I mean, even if you have clients—and when I talk about clients, predominantly I'm talking about private homeowners who have equity in their home that they're willing to borrow against—getting that building permit process under way is an extremely overwhelming and daunting task. We all assume, “Just apply for a building permit,” but every single municipality has a different process. You may have a brother-in-law or someone who had a great time in Milton, Ontario, but just down the road in Burlington it's a completely different process just to start the actual permit process itself.

You also have the money involved in doing so. That's potentially restrictive, because you are wondering whether it will get approved. Every single municipality is different, as I explained briefly, with regard to the footprint of the home and to the actual property itself, or in comparison to the actual main dwelling unit. The setbacks from the fence.... You may have, in one municipality, a three-foot setback, which means that the house can start at three feet from the property line, whereas another one could have 12 feet, and those 12 feet now, behind a home, are potentially a complete waste of space, as you can imagine, unless you have a kayak to put behind there.

[Scott Aitchison, Conservative, Parry Sound—Muskoka, ON]

Aside from these different rules about setbacks and those kinds of things, do different interpretations of building code, delays in terms of getting approvals and all of those things add to the ultimate cost of the unit?

[Daniel Pascoe]

Well, let's be honest: Time is money, and time is enthusiasm. You know, in January you have a person who wants to build in spring, but spring has come and gone.

Don't forget that, because every single municipality is different in its process and requirements for meeting certain local bylaws, we need to standardize, across the provinces and the country, the basic understanding of what is included. It's not only that, but we need to make sure we have enough staff at the municipal levels to handle the volume of building permits. There should be enough staff in comparison to the population—or to the expected ADU applications in my case.

[Scott Aitchison, Conservative, Parry Sound—Muskoka, ON]

I have to think that your product would reduce the need for municipal staff for inspections. You're governed by CSA standards, as opposed to local building—

[Daniel Pascoe]

In actual fact, we're not a CSA standard product, because we meet what I call a “part four” of the building code; it's an engineer-stamped drawing, in fact. CSA would be more applicable to a prefabricated home built in a factory.

[Scott Aitchison, Conservative, Parry Sound—Muskoka, ON]

Okay.

[Daniel Pascoe]

The simplicity of our business model is sometimes not recognized at the building permit level, because every single municipality has a different interpretation of the building code, be it the provincial one or the federal one.

Having regulatory reform.... As I mentioned, there's a standard set of basic rules for them to adhere to. Not only that, but time limits are put on them. If a building permit is applied for, how long does a municipality have?

[Scott Aitchison, Conservative, Parry Sound—Muskoka, ON]

Give them hard and fast deadlines to make a decision.

[Daniel Pascoe]

Absolutely.

There are certain municipalities I could speak of where there's a 10-day turnaround for any application. The municipality asks the client this question. When the client answers it—normally, they have the answer immediately at hand—they have up to 10 days to respond. They take those 10 days. Why is that? Where is the digitization of building permit processes across provinces, municipalities, federal...and everything else? It's so antiquated.

[Scott Aitchison, Conservative, Parry Sound—Muskoka, ON]

Okay.

I'm out of time. I have a lot more questions for all of you, but I'll come back to them.

Thanks.

[The Chair, Liberal, Bobby Morrissey]

Thank you, Mr. Aitchison.

Mr. Coteau, you have six minutes.

[Michael Coteau, Liberal, Don Valley East, ON]

Thank you, Chair.

Thank you to our guests for being here today.

This has been an interesting study for us. We've listened to many different Canadian entrepreneurs, companies and researchers regarding the different technologies they're adopting, and it's been quite fascinating.

I have a couple of questions. I'll start with Mr. Silveira.

What made you decide to invest your time in 3-D printing, and why that technology? There are so many different technologies out there. What makes that different for you? You're an academic, but you decided you're going into structural printing.

[Dr. Marcos Silveira]

That's a good question.

I got my training in structural engineering. When I was doing my Ph.D., I realized that, even though we have some technology available, such as artificial intelligence, design optimization and generative design.... We have all of those tools available to design our structures. However, sometimes, as designers, we are not allowed to use them. The regular building process limits our use of them to enhance or optimize the potential of those structures, because they're going to have shapes that are much more like structures that come from nature, like a tree. It's very hard for us to produce that in order to build those structures using regular systems and construction processes.

When I saw additive constructions and 3-D printing, I saw an opportunity to enhance that potential from the artificial intelligence side of things.

[Michael Coteau, Liberal, Don Valley East, ON]

At the end of the day, for typical construction with concrete and other materials.... With three-D printing, of course, there's probably an efficiency piece regarding timing. Is there a difference cost-wise?

[Dr. Marcos Silveira]

Yes, there is a difference.

Right now, depending on the size of the project and whether you're building one home or multiple homes, it's going to vary.

Here are a few numbers. For example, for a particular Leamington project I was part of during my period at the University of Windsor, we saved time. It was cheaper than building the exact same build right beside that one. We had savings on that. Keep in mind that we were still using the current regulations, building codes and design guidelines, meaning we were still not able to use an optimization process like artificial intelligence in that application.

What we foresee in the future is that, once we get specific standards and guidelines developed for this technology—we know very well, as a community, what the behaviour is of those components—we will enhance that reduction potential even more. This connects with the environmental impact. When using less material, we're going to, of course, use fewer resources.