• Thirty-three fire fatalities occurred in residential buildings containing 3 to 20 dwelling units, twenty-eight of which occurred in buildings with 3 to 8 dwelling units.
• Eleven fire fatalities occurred in residential buildings containing more than 21 dwelling units.
• Eleven fire fatalities occurred in residential buildings where the number of dwelling units was unknown.
• One hundred eighty-seven of the fire fatalities occurred in one- and two- family dwellings.
• Two firefighter fatalities; one as a result of a heart attack and the other in a single family dwelling fire as a result of a collapsing floor.
The department studied the sprinkler installation costs of 64 recently constructed multifamily dwellings in Wisconsin. Sprinkler installation costs ranged from $0.59 to $3.33 per square foot of building area for the projects. The following table shows the number of buildings studied and the average cost per square foot for buildings in three size categories.
Average Reported Costs of Fire Sprinklers in Dollars/Sq. Ft.
|
No. of Dwelling Units in Building
|
3 – 8
|
9 – 16
|
17 and up
|
No. of Buildings
|
27
|
17
|
20
|
Average cost per square foot
|
$1.87/sq. ft.
|
$1.45/sq. ft.
|
$1.44/sq. ft.
|
The following table shows the estimated average sprinkler installation costs as a percentage of the estimated average total building construction cost for three building categories and whether urban or rural water supplies were available for the sprinkler system.
Average Estimated Cost of Fire Sprinklers as a Percent of Total Building Construction Cost*
|
No. of Dwelling Units in Building
|
3 – 8
|
9 – 16
|
17 and up
|
No. of Buildings Studied
|
27
|
17
|
20
|
Average % of total cost (urban water)
|
1.53%
|
1.85%
|
2.01%
|
Average % of total cost (rural water)**
|
2.98%
|
2.62%
|
2.56%
|
*Total building construction and sprinkler costs were estimated utilizing RSMeans software based upon the location and type of construction for each of the 64 buildings.
**The sprinkler installation cost included an additional $25,000 estimated to cover a water supply reservoir and pump for those projects where an urban water supply was unavailable.
The department compared the impact of increased construction costs due to fire sprinklers for residential occupancies to the cost of mortgage interest. Over the life of a 30-year mortgage, a one percent increase in the amount financed results in approximately the same cost to the consumer as a one-tenth of a percent increase in the mortgage interest rate. Put another way, a two percent increase in construction costs could be expected to impact consumers as much as a two-tenths percent increase in their mortgage rates. The department anticipates that consumers may react to increased costs due to fire sprinklers in much the same way that they react to other cost increases by reducing amenities or reducing the size of the building. A two percent reduction to a 900 square foot dwelling unit is 18 square feet or 6 inches along 36 feet of exterior wall.
Although fire sprinklers may increase the cost of construction, sprinklers do not increase the cost of land. In fact land costs on a per dwelling unit basis may decrease where fire sprinklers are utilized given that an increase in the maximum distance between a sprinklered building and fire department access roads is permitted.
The annual cost of code-required tests on fire sprinkler systems, for apartment and condominium buildings containing three to twenty dwelling units, ranges from $300 to $550, according to a major mechanical contractor active across Wisconsin.
The department found that the sprinkler installation costs in the above study were consistent with the current valuation estimates which are published by Marshall and Swift/Boeckh, LLC, as an industry benchmark for real estate appraisers throughout the country. Consequently, these costs are widely recognized as increasing the assessable or appraisable value of a building, which means these costs can be recouped when the building is sold.
Substantial insurance savings can result from the installation of fire sprinkler systems. Published accounts describe fire insurance savings of 5 to 40% for residential occupancies that are served by fire sprinklers. Savings vary by building construction type, location and type of usage. One insurance industry expert advised Commerce that reduced insurance premiums for sprinkled apartment and condominium buildings may pay for the cost of the sprinkler system over a period of 10 to 15 years.
Substantial savings can also be expected to accrue from the fire damage that would not occur because of the additional fire sprinkler protection. Reported data shows that residential fires caused an estimated $6.8 billion of direct property loss in the United States in 2005. Wisconsin's annual per capita proportion of that loss would be about $126 million.
Automatic fire sprinkler protection has an established worldwide record. Sprinkler protection has been attributed with reducing and often times eliminating the following effects from fires:
Loss of life, both human and animal
Physical injuries from smoke inhalation, burns, falls and contusions
Mental anguish and distress
Medical costs
Lost wages
Personal property loss
Real property loss
Cost of relocating and housing displaced residents
Cost fire department and other emergency services
The process for reviewing and assessing the Fire Prevention Code was accomplished in a manner similar to that for the Commercial Building Code. The 2003 and 2006 editions of NFPA 1 were evaluated in relationship to the current rules of chapter Comm 14. Chapters
Comm 7, Explosive Materials, and Comm 9, Manufacture of Fireworks, were also evaluated to determine where the various codes overlapped and whether the rules and codes could be consolidated.
9. Analysis and Supporting Documents Used to Determine Effect on Small Business or in Preparation of Economic Impact Report
The department utilized ten advisory councils in analyzing and developing the proposed revisions to the Fire Prevention Code and the Commercial Building Code. The councils involve a variety of organizations whose memberships include many types of small businesses. The department utilizes these councils to gather information on potential impacts in complying with the both technical and administrative requirements of the codes. A responsibility of council members is to bring forth concerns their respective organizations may have with the requirements, including concerns regarding economic impacts. (Copies of the council meetings summaries are available on the Safety and Building Division website:
http://www.commerce.state.wi.us/SB/ SB-CodeCouncilsComBldgSum.html
The department also offers an e-mail subscription service to anyone who is interested in rule development and/or council activities. The service provides e-mail notification of council meetings, meeting agendas and council meeting progress reports. Currently, there over one thousand subscriptions for information pertaining to the commercial building program.
An economic impact report pursuant to section
227.137, Stats., has not been required to be prepared.
10. Effect on Small Business
The requirements of the Fire Prevention Code and the Commercial Building Code impact all businesses, regardless of size, utilizing public buildings and places of employment in Wisconsin. The codes impact a variety of businesses, including small businesses, particularly those businesses that design, build, or maintain commercial buildings; provide or produce building materials or components; own commercial buildings; or occupy commercial buildings. It is indeterminable how many small businesses may be impacted by the rules in some manner.
The potential effects of the codes occur on two basic levels, administrative and technical. The codes dictate certain administrative procedural requirements that are to be followed in order to acquire various approvals. For the most part, the codes establish numerous technical standards that are to be adhered to when designing, constructing, using, operating or maintaining a commercial building in order to protect public health, safety and welfare.
The proposed rule revisions do not substantially modify the current administrative requirements of the Fire Prevention Code or the Commercial Building Code. Therefore, this type of impact on small businesses will not substantially change.
How the codes' technical standards may impact small businesses is dependent upon many variables. The proposed revisions for the Commercial Building Code do not apply retroactively to existing buildings. The proposed revisions would apply when a new building or modification to an existing building is proposed. The various advisory councils did not identify major economic concerns with the proposed technical revisions updating the Fire Prevention Code or the Commercial Building Code to the latest national model codes as amended in this proposal.
Council Members and Representation
The proposed rules were developed with the assistance of the following Advisory Councils:
Commercial Building Code Council
Janet Harter, Fire Chiefs Association
Curt Hastings, Building Contractors
Joe Jameson, Municipalities/Building Inspectors
Joseph Jurkiewicz, Architects
David Keller, Building Owners
Steve Klessig, Associated Builders and Contractors
Terry Kennedy, Engineers
Dennis Krutz, Insurance Organizations
David Lind, Fire Inspectors Association
William Napier, State Facilities
Ed Ruckriegel, Madison Fire Department
Gary Ruhl, Tradesworkers and Craftsworkers
Chris Rute, City of Milwaukee
Michael Shoys, Building Owners
Russ Spahn, Fire Chiefs Association
Fred Stier, Builders and Contractors
Multifamily Dwelling Code Council
Kraig Biefeld, Fire Service
Jeffery Brohmer, Fire Service
Emory Budzinski, Manufacturer/Supplier Wood Products
Beth Gonnering, Building Contractors/Developers
Edward Gray, Labor
Greta Hansen, Public
James Klett, Architects/Engineers/Developers
Michael Morey, Contractors/Developers
Dave Nitz, Building Inspectors
Richard Paur, Building inspectors
Nicholas Rivecca, Manufacturer/Supplier (Concrete)
William Roehr, Labor
Korrine Schneider, Public
Kevin Wippurfurth, Drywall Distributors
Alteration and Change of Occupancy
Joel Becker, Associated General Contractors of Greater Milwaukee
Steve Gleisner, Milwaukee Fire Department
Bruce Johnson, Wisconsin Builders Association
David Lind, Wisconsin State Fire Inspectors Association
Paul Menches, Onalaska, Wis. State Fire Chiefs Assn.
John Periard, Building Owners and Managers Association
Charles Quagliana, American Institute of Architects
Chris Rute, City of Milwaukee
Jim Sewell, Wisconsin Historical Society
Harry Sulzer, City of Madison
David Vos, Developer of Historic Properties
Energy Conservation
Jeffrey Boldt, Wisconsin Chapter ASHRAE
Dan Dehnert, Associated General Contractors
Ross DePaola, Clean Wisconsin
Timothy Kritter, Associated Builders and Contractors
Kevin Lichtfuss, Wisconsin Assn. of Consulting Engineers
Dave Osborne, Wisconsin Builders Association
Gerald Schulz, Wisconsin Chapter National Electrical Contractors
