Premium Roofing Ltd · Job 5512

Crozier Road Re-Roof

4175 Crozier Road, Armstrong BC · Woodtone Specialties Inc. · Full replacement, six roof areas, IKO Innovi 80 mil TPO induction welded.

Position as at 8 September 2026 · audited
Contract $1,742,988
Client contact Edwin Zeller
Contract value
$1,742,988
$1,717,988 base + $25,000 CO
Invoiced to date
$892,462
five invoices, incl. GST
Roofmart, Woodtone only
$166,732
against a $100,000 project limit · $66,732 over
Margin, work complete
37.7%
B + C on direct cost · 36% with start-up spread
Roof area
81,858
sq ft across six sections
Net owed to us
+$15,066
$18,901 back from suppliers, $3,835 out to Woodtone
Variables
+$18,754
could bill · $59–66k avoidable exposure below

Claims and credits — net owed to us

Super Save owe us — Section C rate correctionFive invoices at $339/t that should be $55. Not yet lodged. B precedent on file.
+12,864
Pacific owe us — Dekfast return, 13 boxesUnused, with Lane. Ask for restocking to be waived.
+6,037
We owe Woodtone — unused sheathing credit65-sheet East building allowance, none used yet. Matt’s rate: cost + $10 = $59 a sheet, so $3,835 if none are used.
−3,835
Net owed to us
+15,066

Variables — not in the contract yet

COULD BILLChange orders, priced or pricing.
Three new skylights, Section FPriced on Pacific’s $1,571.32 unit. No offset — the contract’s one skylight is consumed by the damaged unit.
+13,019
Parapet work, Section DLudo’s takeoff, wording approved, with Dare for pricing. Lumber price is the variable.
+2,985
Parapet capping, Sections K and E270 LF, 1/2″ plywood. Parked until you tackle K and E.
+900
GST not yet charged — netting CO and insuranceNeeds a closing invoice and an accountant’s answer.
+1,850
Netting moves, Section D sleepers, overflow drainsNo price yet. Netting waits on Lane’s move count, overflows on Edwin.
to price
Priced so far
+18,754
OUR COST — NOT BILLABLEMethods change, absorbed by Premium.
SAM primer, East buildingCoverage 540–1,080 SF a pail. Light end ≈ 52 pails, Matt’s working figure ≈ 61, by-the-book ≈ 103. Budget carried 10. Matt: “probably less”.
−10k to 20k
AVOIDABLEGoes away entirely if someone acts.
Dekfast order balance, if not cancelled60 plate boxes, 31 fastener boxes still on order. One phone call.
−41,498
Section F disposal, if the rate is not fixedAgainst a $10,800 dump-fee allowance. Super Save already conceded $55/tonne on Section B.
−18k to 25k
Avoidable exposure
−59k to 66k

Where the job is

Schematic · areas from the winduplift drawing · not to scale
WEST BUILDING EAST BUILDING A NOT IN CONTRACT B 9,680 SF COMPLETE · BILLED C 16,440 SF COMPLETE · BILLED K 5,330 SF NOT STARTED D 5,248 SF HALF RIPPED E 10,540 SF NOT STARTED F 34,620 SF · 42% of the job NOT STARTED · 26 EXISTING SKYLIGHTS 606 LF PERIMETER · 600 LF CURB G / H / I — future divisions, not in this contract
Complete and billed In progress Not started

What needs attention

Ordered by what it costs to leave alone

Woodtone is $66,732 over its Roofmart credit limit

Eight open Roofmart invoices carry PO 5512, totalling $166,731.58 against the project’s own $100,000 limit. Two of them are almost all of it — $93,914.49 and $42,977.70, both against the single big material release on PO 5512-2026-07-16. Woodtone is 72% of Premium’s entire $230,279 Roofmart balance.

Nothing is overdue. Seven of the eight fall due 30 September and the eighth on 30 October, and Woodtone runs Net 60 beyond that — though the Net 60 does not show on the account, which is worth fixing before their AR chases on 1 October. The pressure is the limit, not the age: Section F still has a second material draw to come, and that is what a limit breach stops.

Invoice 15269 from Woodtone is $198,255.75. Collecting it covers this outright.

Roofmart account 143199 · PO 5512
$66,732 over

Super Save is billing tear-off as "Dirt" at $339 a tonne

Section B was chased and credited — Super Save reversed all three invoices on 31 August and re-billed at $55.00 a tonne, dropped the war fuel premium and cut the fuel surcharge to 14%. Section C has not been chased: five invoices, 38,810 kg, $13,157 charged against $2,135 correct. They were already applying $55 to other C loads in the same weeks. Four of the five misrated bills are still unpaid — $4,970, $4,055, $2,483 and $684, all overdue. Hold them and lodge the claim now. Withholding a disputed invoice beats paying it and asking for the money back, which is what Section B had to do.

Invoices 8994949-0 · 9020337-0 · 9025085-0 · 9024883-0 · 9023391-0
+$12,864

Section F disposal only works at the corrected rate

Matt budgeted $19,800 for F — twenty bins plus three dump fees. At 34,620 SF, F should generate roughly 105 tonnes: about $5,800 at $55 a tonne, up to about $35,600 if it all went at $339. Section C ran about three quarters of its weight at the high rate, so the realistic exposure is $18,000 to $25,000 against a $10,800 dump-fee allowance. Fix the waste classification before East building tear-off ramps up.

East building Section F · avoided overrun
−$18–25k

The Dekfast order was never cancelled

Both halves now answered by Paul Gervais. The credit is agreed — “once all is returned we can get this credit applied” — so it lands as soon as Lane gets the 13 boxes back, unused. And on the open balance: “I’m told we did already.” That is secondhand rather than checked, so verify it on the open-order report rather than chasing him a third time. If the two Dekfast lines are gone from it, the $41,498 is closed for good.

Credit agreed · cancellation to verify on the order report
−$41,498

Two GST gaps — but not the one I flagged earlier

The deposit GST is fine. Each progress invoice reverses that area’s deposit share as out-of-scope and bills the gross value with GST, so Section B carried the full $10,714 and Section C $18,881.50. Nothing lost. Two real gaps remain. The netting change order was invoiced in full on 15211 as a “deposit” with no GST and nothing is scheduled to follow it, so $1,250 goes uncharged unless a closing invoice reverses and re-bills it. And the insurance upgrade was billed GST-free, where the signed quote’s final price of $1,803,887.40 includes GST on it — a $600 difference.

Invoice 15211 · insurance upgrade
+$1,850

Equipment has no budget — it is spending the contingency

The cost report's "Equipment rental" budget is Matt's contingency to the cent, section by section. The real $20,000 scaffolding line lives only on the summary tab that produced the contract price, and never reached the cost report. Equipment has already spent $36,228 against the $31,838 that is actually contingency — before East building scaffold, the roof cutter for two to three months, and generators.

Rebuild the budget from the summary tab
−$4,390

Two completion dates are in circulation, six weeks apart

The schedule Woodtone holds finishes Section F on 31 October with close-out by 20 November. Matt's own model finishes F on 8 December and K on 18 December, with final payment 1 January 2027. His model has tracked accurately — it called B complete 5 August and C on 11 September when C actually finished ten days early. The signed quote says plainly: "We did not allow for work during winter conditions."

Raise with Edwin now, not in November
Winter risk

Time is tracked at a zero cost rate

The labour underrun is real, not a posting gap — 450.9 hours on Section B and 926.5 on C, which against posted cost works out at $71.03 and $63.29 an hour, right on Matt’s $63.75 basis. The crew simply worked fewer hours than the budget assumed. But every time entry carries a cost rate of zero, is marked non-billable, and is coded to “Sales”. The timesheet is a record of hours only, so any change order priced on crew time — netting moves, parapet build-up, skylight curbs — has to be reconstructed by hand. Set employee cost rates and fix the service coding.

QuickBooks Time · blocks CO substantiation
1,419 hrs

The crew think they have six drains. The contract says four. Needs checking.

Verified: the signed quote covers replacements plus “the addition of up to 4 new drains”. Reported: Ludo counts four in — two on Section B, two on Section C — including the one that fixed the pooling. If that is right the pooling drain is covered and the allowance is spent. Unverified: the figure of six. Matt told the crew he quoted six and told Silas he budgeted one per section as a general sum, but there is no line in his costing sheet that shows it — the sheets carry drain purchase quantities (40 units across the job, replacements included) and a “Drains (upper)” row that reads 6 on five of six sections, which looks like an unchanged default. Confirm with Matt where the six comes from before anyone relies on it, and tell Ludo and Lane that on the East building a new drain is a change order before it goes in.

East building · allowance spent
2 drains

Parapet work on Section D — two conditions, neither quoted

Confirmed on a call with Ludo, 9 September. Two conditions. Woodtone’s parapets were never finished — cap flashing laid over an open top — so stripping it exposes the parapet and it must be shimmed and plywood-capped. Separately, the new assembly leaves the upstand half an inch above finished roof where code wants four, so 2×4 goes on to restore it. Neither is quoted. The first is a concealed existing condition and close to unarguable; the second is weaker — Ludo reads it as scope, and ASG may too. Price them as separate lines. Section D is done; whether either repeats on E, F and K is unknown, and F alone is 606 LF of perimeter.

Ludo sending lengths, hours, material, photos
To price

The welder is a capital asset sitting in job cost

A Varimat 500, non-returnable, charged whole to 5512. It will outlive this job, and on its own it is two thirds of the contingency.

Put to the accountant
$21,260

Questions

One question each. Nothing here is in a document I hold.

Darren — financial controller

D1
When will 15269 be paid?$198,255.75, five days overdue. Collecting it brings the Roofmart account back inside its credit limit.
$198,256
D2
Can you credit the Amazon import-fee refunds to 5512C?Netting bill 081326 is on the job at $4,904.06, but Amazon refunded $512.88 and $492.58 of the import deposits. Landed cost is $3,898.60.
$1,005
D3
Can you move the Silver Star lines to project 4902?Bills 1274 and 1275, still on 5512. Project 4902 is 7981 Silver Star Rd, Vernon.
$380
D4
Can we hold the four misrated Super Save bills until the rate is fixed?No credit received yet and the claim is not lodged. Four are still unpaid: 9020337-0, 9025085-0, 9024883-0, 9023391-0.
$12,864
D5
When does the GST on the netting get billed?Invoice 15211 charged the $25,000 with no GST on it.
$1,250
D6
Should the $12,000 insurance line have GST on it?The quote says yes. The invoice said no.
$600
D7
Can you fix the supplier terms for Pacific in QuickBooks?It has them on Net 30, so it flags bills overdue that are not due until 30 September. Woodtone is Net 60 on top of that. Also: Higher Up bill INV0004 is a minus $3,881.61 negative bill sitting in the aging.
AP aging
D8
Where is the $20,000 scaffolding budget in the cost report?It is in the quote but not in the report.
$20,000
D9
Should Penticton Honda, SAVOY and Summit Tools come off the start-up project too?The welder already has. $6,890, $3,201 and $1,338 are still there.
$11,429
D10
Can the leftover IKO plates and fasteners go to stock instead of this job?Over-ordered. They fit any mechanically attached TPO job.
Inventory

Lane — foreman

L1
Can you get the 13 Dekfast boxes back to Pacific?Paul has agreed the credit — it applies once the stock is returned. Nothing ships until it is back.
$6,037
L2
How many times will we move the nets on D, E, F and K, and how many hours per move?That is the whole East building netting change order.
CO input
L3
Can you log every net install and take-down?Date, section, square feet, hours.
Ongoing
L5
Can you track SAM pails, plates and fastener boxes used, section by section?It sets the second Section F order.
Ongoing

Ludo — foreman

U1
Answered — Ludo counts 4 in, 2 on Section B and 2 on Section C.Pooling drain is one of them, so it is inside the contract’s four. Worth a second check: the count is field-reported, and Matt’s “six” is not in his costing sheet.
Check
U2
Can you do the same parapet takeoff for E, F and K?Same as Section D. Also how many rotten boards.
To price
U3
Can you get your photos into CompanyCam?Your phone is full and the pictures have stopped.
Today

Matt — previous project manager

M3
Where does the figure of six extra drains come from?The signed quote says four. You told the crew six. I cannot find six anywhere in the costing sheet.
4 vs 6
M2
Answered — no divider, no change order.Matt: it was in the original split so Woodtone could have more manageable projects. No need for it now everything is being redone, and it was never requested. Roughly 5.4 squares of divider detailing was priced and is not required.
Closed

Edwin — Woodtone

E2
Do you want any overflow drains or scuppers?The quote covers replacements and up to four new drains but never mentions overflow. Cheapest to do now while the roof is open — and the East building has not been done yet.
To price
E1
Where exactly do the three new skylights go, and do they clear the ducting?Nothing gets ordered until this is answered.
$13,019
E3
Are we finishing in November or December?Two schedules are in circulation. The quote excludes winter work.
Winter

Pacific Roof Centre

P3
Answered — Paul says the balance is already cancelled.“I’m told we did already.” Secondhand rather than checked, so verify it on the open-order report below rather than chasing him again.
Verify
P4
Is the Woodtone Net 60 set up on the account, or just an understanding?ProZone shows the 5512 invoices due 30 September, same as everything else. Woodtone is at $166,732 against its $100,000 limit.
Terms
P2
Can you send an open-order report for PO 5512?Needed before the second Section F order — and it proves the Dekfast lines are actually closed.
Report

Schedule of values

Billed per the AR invoices · costs from QuickBooks via the controller
SecBuildingArea SFContractBilled Cost actualCost budgetVarianceStatus
BWest9,680214,280214,280148,554157,619−9,065Complete
CWest16,440377,630377,630220,426267,861−47,435Complete
DEast5,248119,23025,03830,407237,235In progress
EEast10,540211,37044,388Not started
FEast34,620562,100118,0411,123406,094Not started
KEast5,330127,90026,85943686,435Not started
Sections81,8581,612,510806,236400,9461,155,244

The “Billed” column for D, E, F and K is the 20% deposit as it was actually invoiced — 20% of each area’s GST-inclusive value, which is what invoice 15091 charged and what each progress invoice reverses. D and E are combined in Connect, so their cost is reported together; they remain separate lines on the schedule of values at $119,230 and $211,370. Start-up carries a further $28,804 of cost against no budget at all — the two Silver Star consulting lines, $380, are a different job and come off 5512.

Invoiced against contract, by section

B
100% · 214,280
C
100% · 377,630
D
20% · 25,038
E
20% · 44,388
F
20% · 118,041
K
20% · 26,859

The West building is closed out. Every East building section sits at the 20% deposit. The deposit was charged as 20% of each section’s GST-inclusive value, which is why the dollar figure — $25,038 on Section D — is a little over 20% of the net contract figure in the table. Same basis the invoices use.

Invoices raised

Five to date · one unpaid
InvoiceDateWhatNetGSTTotalStatus
1509123 JunDeposit — 20% of quote and upgrades, insurance at 100%370,257370,257.48Paid
152117 AugCO 5512-3 debris netting, billed in full as a deposit25,00025,000.00Paid
1521010 AugSection B 100% — 214,280 less 44,999 deposit169,28110,714.00179,995.20Paid
1523719 AugSection C 50% — 188,815 less 79,302 deposit109,5139,440.75118,953.45Paid
152694 SeptSection C 100%188,8159,440.75198,255.75Outstanding
Total862,86629,595.50892,461.88

Received to date $694,206.13. Invoice 15269 is the only one open — terms are due on receipt and it is dated 4 September, so it is already payable. Woodtone has paid every prior invoice on issue, so this is a follow-up rather than a concern.

The deposit mechanism works cleanly: each progress invoice reverses that area’s deposit share as out-of-scope, then bills the gross section value with GST on top. That is why Section B carried the full $10,714 of GST on $214,280 rather than on the net. The netting change order is the exception — invoiced whole as a deposit with no GST and nothing scheduled behind it.

Still to bill

Milestones from the billing plan · net of GST
ItemContractBilledAt 50%At 75%At 100%Left to bill
B214,280214,2800
C377,630377,6300
D119,23025,03834,57759,61594,192
E211,37044,38861,297105,685166,982
F562,100118,041163,009140,525140,525444,059
K127,90026,85937,09163,950101,041
Upgrades105,47831,63073,84873,848
Netting CO25,00025,0000
Total1,742,988862,866295,974140,525443,623880,122

$880,122 net still to invoice, plus GST — a little over half the contract. Section F alone is $444,059 of it, and it is the only section with a 75% milestone, so it bills in three tranches rather than two. The upgrades tail of $73,848 — parapet caps, the warranty and the skylight — falls at completion, which puts it in the same window as the close-out.

The billing plan has the netting change order due at 100% completion. It was actually invoiced up front as a deposit on 15211, which is why no GST was charged and why nothing remains scheduled against it.

Where the completed sections landed

West building B and C · the only sections with meaningful actuals

Section B · complete

Direct labour
32,027 −24,673
Materials and supplies
99,546 +13,133
Disposal
8,283 +2,783
Equipment
8,697 +1,192
Consulting
0 −1,500
Actual against $157,619
148,554

Disposal here is already net of $6,761 of Super Save credits chased down using Matt's information. Without them B would have been $15,044.

Section C · complete

Direct labour
58,634 −43,426
Materials and supplies
138,634 −11,034
Disposal
20,243 +12,143
Equipment
1,123 −5,410
Consulting
1,792 +292
Actual against $267,861
220,426

Disposal is the whole overrun, and the recovery claim is worth more than the overrun. Chase it and C moves from $47,435 favourable to roughly $60,000.

Change order register

One approved · six to raise
5512-3
Debris netting — West building Section C Approved by Edwin Zeller, 5 August. Invoiced in full on 15211, 7 August, paid. The netting was never installed on Section C — material behind the CO is eight tarps and 220 cables, $3,899 landed. Lane put it up on East building Section D on 8 September. The description and the work do not match; square it before the next claim goes to ASG.
$25,000
5512-4
Debris netting — East building, labour to move To draft 5512-3 says in writing that the East building would be priced separately. The netting is moved to each tear-off area rather than consumed, so there is nothing to buy — this is labour to hang, dismantle and re-hang, section after section. Price on moves at $63.75 a man-hour plus contingency and markup. Needs Lane’s estimate of moves across D, E, F and K.
To price
Three new skylights over the offices To draft Edwin’s own note on the page he signed. New openings in Section F — cut deck, frame headers, build curbs, tie in. Now priced on Pacific’s real unit cost of $1,571.32: $4,340 each$13,019 for three. No offset: the contract’s one skylight is consumed by the damaged West building unit. Add $1,500–3,000 if the openings cross trusses. Lead time is only 1–2 weeks, so the constraint is Edwin confirming location and clearance past the central air ducting — not the supplier.
$13,019
Damaged skylight — West building In contract Covered by the contract’s skylight allowance — the change order goes out at nil, recording scope only. Pacific Model 52100, $1,571.32, 1–2 weeks. The CO must say the allowance is consumed by this unit, or a second damaged skylight on Section F becomes an argument rather than a charge.
Nil
Three 12" TPO-covered sleepers — Section D To draft New scope, not in the December quote. Price on Matt's rates: $3,060 a day crew, 30% markup, 2.5% contingency, 7% PST.
To price
Parapet work — East building, two conditions To draft Section D measured and priced at $2,985. North parapet had only Tyvek under the cap flashing — shim and close with plywood, 4 sheets, 2 hrs two guys. West, south and east need 78 pcs of 2×4×10 and 6 sheets to reach 4″ above finished roof, 3 hrs two guys. Lumber price is indicative and the 10 man-hours look light — track actual on D, it sets the rate for E, F and K. Rotten wood not yet quantified. E, F and K still unmeasured.
$2,985 + E,F,K
Additional roof drain — Section C In contract Resolved. Four new drains are in — two on Section B, two on Section C — and the pooling drain is one of them. The contract allows four, so no change order is needed. The allowance is now spent. The East building has none left.
Nil

Open workstreams

Skylights

Existing units, Section C
18
Existing units, Section F
26
In the contract, at $2,700 each
1
Invoiced so far (deposit, inv 15091)
$567
Spent so far
$99.51

Priced by Pacific, 9 Sept. Lane measured the damaged curb at 50¼″ × 98″ outside. Pacific came back with a stock item — Model 52100, Acrylic Dome AOF curb mount, fixed, mill aluminium base, double glazed clear, black frame, outside fastening, built for an outside curb of 50¼″ × 98¼″. $1,571.32 each, 1–2 week lead time. Not a special order after all, and nothing like the 6–8 weeks I had been warning about.

Every West building skylight went back on reused. No new unit has been installed yet — which is why no dome appears on any Pacific invoice, only screws and shingle nails. The one damaged unit is still waiting on its replacement — whether that is the contract’s one skylight or a separate $2,700 CO is being checked with Lane and Dare. Forward risk: Section F has 26 units to come off; the West building lost one of 18, so budget one or two more at $2,700, not three.

Sheathing and the Woodtone credit

Delivered — West building B and C
840 sheets
Planned for B and C
842 sheets
Unit price against $52 budget
$49.00
East building allowance
65 sheets
Drawn from it
0

Two sheets under plan on a full replacement of two sections. The contract gives Woodtone a credit for unused sheets and the whole 65 is still live. The contract sets no rate; Matt’s intent was cost plus $10 — $59 a sheet, so $3,835 if none are used. Section D needed no deck at all. Agree the credit rate with Edwin before close-out, not after.

Netting

The mill runs while the roof comes off. Netting hangs under the deck to stop tear-off debris dropping onto a live production floor, and it moves with the work rather than staying put — so it is a reusable asset, not a consumable. Eight tarps and 220 cables, bought in two Amazon orders on 7 August on the business MasterCard, and none of it is coded to the job yet.

Owned — eight 12′ × 50′ mesh tarps
4,800 SF
Installed — Section D vents, one tarp
600 SF
Safety cables with carabiners
220
Landed cost, two Amazon orders, 7 Aug
$3,898.60
Recorded against job 5512
$0

Material is $3,899 landed — $3,424 of goods plus $475 of net import fees — against a $25,000 change order. The CO was always labour and risk. Which means the East building change order is labour, not material — hanging, dismantling and re-hanging, section after section. 5512-3 already carries “dismantle and move netting as work progresses”, but it is scoped to West building Section C, so every East building move sits outside it and outside the $25,000. Nobody has been counting the moves; the register now does.

Two things ride on this. Woodtone supplies the man lift and the spotters under 5512-3 — if either is missing when the crew needs to shift nets, tear-off stops, and that is a delay record worth keeping. And netting is explicitly not a fall protection device: roof-level debris mitigation still has to be maintained regardless.

Materials — Pacific Roof Centre

Fifteen invoices, 15 Jul – 2 Sep
$242,251
PST
$12,935
ISO 3" remaining of 2,700
~1,850
TPO rolls remaining of 96
~64
MVP remaining of 304
~214
Adhesive remaining of 26
~17

The whole job was released as one order on PO 5512 and is being drawn down. Crane is billing $750 a lift against a $250 budget, with HIAB hourly on top.

Matt’s rules for the East building, 9 Sept: Section F draws in two orders, the second trued up against what is actually left or running short. SAM primer goes up by one pail per 10 squares after the crew’s procedure change — that is the “extra glue” on F, and it is the vapour-barrier primer, not TPO adhesive. Matt puts Section F at ±40 pails, and says so loosely: he counted TPO rolls, not square feet, so waste is in it, and 40 is the by-the-book case — the vapour barrier must be fully adhered wherever it is not mechanically attached the same day. Keep the crew laying ISO and plates over the MVP before they knock off and the primer draw falls. His framing: a big burn on SAM that should pay back in labour — so East building hours against the day-rate budget are the test of whether the change was worth it. Plates and fasteners were budgeted before IKO approved the fastening pattern, so the crew should be using fewer than ordered. Pacific brought them in specially and they must be taken, but they are HD product and work on any mechanically-attached TPO job — surplus goes to stock, not to waste.

Two schedules

The one Woodtone holds, against the one Matt costed to
B
7 Aug / 5 Aug
C
18 Sep / 11 Sep
D
30 Jul / 23 Sep
E
21 Aug / 19 Oct
K
4 Sep / 18 Dec
F
31 Oct / 8 Dec

Revised schedule issued to Woodtone, 21 July Matt's costing model
Bars run from a common 15 July start to each section's completion date. Right-hand figures are the two completion dates. Matt's model has tracked accurately so far, and it puts final payment at 1 January 2027.

Sections D and E were scheduled for late July on the client's copy and have only started now — the East building is running roughly six weeks behind that document. The quote excludes winter work, so if the December dates are closer to the truth, Edwin needs telling.