BB BUILDING BUZZ AUGUST 2014 ISSUE President’s Letter
Fall Parade Right Around the Corner | page 2
Member Highlights:
Komfort Homes, Inc. & Wenck Associates, Inc. | page 5
Stormwater Central:
Keeping it Clean with Stormwater Management | page 7
National News:
10 Key Takeaways on Housing & More | pages 11-13
NDAB News:
New Home Construction Brings Jobs, Jobs, Jobs | pages 14-15
Page 2
BMHBA Building Buzz
August 2014
Building Buzz Publisher/Editor: Dot Frank Layout Editor: Chelsea Gleich Building Buzz is a publication of the Bismarck-Mandan Home Builders Association 2600 Gateway Ave., Suite 1 Bismarck, ND 58503 Phone: 701.222.2400 Fax: 701.250.9730
Your membership is three-in-one: BMHBA, NDAB and NAHB
Scan to visit www.bmhba.com
Like Us! www.facebook.com/bmhba Follow Us! www.twitter.com/bmhba
Professionals building our community through promotion of home ownership, education and legislation since 1958.
Bismarck-Mandan Permit Reports Through June 2014 BISMARCK - monthly/yearly permit reports can be found at www.bismarck.org Permit Type
YTD 2014
YTD 2013
New Residential Single Family Detached Single Family Attached Duplex 3 or 4 Unit 5+ Unit Residential Garages New Commercial Alter Public
266/$56.66M 142/$25.78M 108/$16.92M 11/$1.75M 1/$1.0M 4/$11.21M 41/$.42M 26/$9.98M 4/$11.15M
308/$64.68M 219/$39.74M 80/$11.98M 6/$1.05M 2/$1.15M 7/$10.76M 43/$.366M 24/$8.77M 7/$9.54M
MANDAN - monthly/yearly permit reports can be found at www.cityofmandan.com Permit Type
YTD 2014
New Residential Single Family Two Family Condos Apartments Remodel and Additions New Commercial Alter Commercial
35/$9.32M 31/$8.42M 0/$0M 4/$.90M 0/$0M 76/$1.74M 29/$4.76M 21/$2.13M
YTD 2013
129/$42.29M 98/$27.19M 0/$0M 28/$5.83M 3/$9.27M 79/$1.41M 8/$2.48M 13/$3.03M
August 2014
Page 3
BMHBA Building Buzz
A Word from Our President Hello members. It’s hard to believe that it’s already back to school season. While our children are excited about new sneakers, backpacks and schools supplies, as a home builder, I’m excited about the new home that I’m preparing for our fall parade. You should have received a call to respond to an online survey. I hope that you took the time to answer the few questions because your answers provide excellent data to share Vance Vetter Board President with media and the masses. According to your responses: • 63 percent of builders plan to enter a home in the fall parade • 35 percent plan to enter two homes, and 59 percent plan to enter one home • Homes will be found in Bismarck, Mandan, Lincoln and Burleigh County • 47 percent of the homes will priced at $526,000 or greater We’ll see how things shake out once contracts come in. Remember, the deadline is Aug. 15 and the parade dates are Sept. 25-28. Last month many of you participated in the Annual PAC Golf Tournament. We hosted 144 golfers, 18 hole sponsors and another six event sponsors. See page XX for an event recap and photos. This month, we’ll host our members again at the Sporting Clays Shoot. Registration is open online. Please consider participating in the association’s events. They not only provide some time to unwind, but the relationships you build at them pay dividend back at work. I encourage all members to begin considering our outstanding builder and associate members and submit them for nomination for the 2014 Builder and Associate of the Year Awards. Nomination is simple, just provide your name and company along with the name and company of the nominee. Visit www.surveymonkey. com/s/boaty to make your selections. The association continues to monitor member needs. We’re working hard with local officials to ensure smooth operations from the permitting and inspection fronts and are joining forces with our state and national associations to advocate for finance and immigration reform. To follow those initiates, please check out nahbnow.com. Finally, we’ve recently joined more than, “20 million
homeowners, design enthusiasts and home improvement professionals” on Houzz.com. The BMHBA has a badge that you can add to your Houzz.com profile. Stay tuned to bmhba.com/events for an educational event that will teach you how to take advantage of this huge home improvement social media site. Until next month, Vance Vetter, President
EXPANDED YOUR APPLIANCE SUPERSTORE
MORE BRANDS • MORE CHOICES
15 BUILDER PACKAGES
For over 70 years, we’ve been the area’s leading Builder Dealer. We’ve added new brands, new products and new choices that give you and your customers options for their new home. Budget models or high-end gourmet, we have it all. Plus our people are second to none when it comes to advice and assistance. Online @ ccappliance.com
223-1173 • 309 N. 3rd St. Bismarck
Page 4
BMHBA Building Buzz June 2014 New Members Superior Insurance | Heidi Rue
Website: afewgoodagents.com Insurance
Wenck Associates, Inc. | Michael Greer
Website: wenck.com Engineers, Land Surveying, Land Development Services, Real Estate/Developers, Drafting Services, Business Services
August 2014 Anniversaries Advanced Virtual Office Services | Gail Hrdlicka | Join Date: 2013 Business Services, Employment Services
Advantage Appliance, Inc. | Mark Braun Appliances
Allied Building Products | Shane Gaffaney | Join Date: 2008 Building Supplies, Drywall, Roofing, Siding, Windows
Apex Builders | Amy Larsen | Join Date: 2013 Home Builders (Custom)
Associated Pool Builders | Don Volk | Join Date: 1989 Spas/Pools
Bismarck Tribune | Lisa Weisz | Join Date: 2009 Advertising (TV/Radio/Print)
Blend Home Design | BJ Cripe | Join Date: 2012 Home Builders (Custom)
Diversity Homes SL | Shannon Reichenberg | Join Date: 2013 Home Builders (Custom)
Flash Printing | Roger Kubik | Join Date: 2011 Printing
Great Plains Insulation, Inc. | Alex Bunk | Join Date: 2013 Insulation
Jim Fetter Masonry, Inc. | Jim Fetter | Join Date: 2008 Masonry/Brick/Stone, General Contractor
Keller Williams Roers Realty | Kristi Bohl | Join Date: 2012 Real Estate/Developers
Liechty Homes, Inc. | Kent French | Join Date: 1997 Manufactured Homes
M3 Design Homes | Andra Miller | Join Date: 2013 Home Builders (Custom)
Marco | Marty Pressler | Join Date: 2010 Electronic Technology, Office Equipment
Milestone Builders | Eric Budd | Join Date: 2012 Electrical Contractor, Home Builders (Custom)
Northern Plains Plumbing, Heating & Air | Kevin Weigel | Join Date: 2002 Heating & HVAC, Kitchen/Bath Remodel & Design, Geothermal, Boilers
Northern Sky Builders | David White | Join Date: 2013 Home Builders (Custom)
Northwest Industrial Supply | Curt Binstock | Join Date: 2009 Building Supplies, Tools
Professional Contractors | Don McGuire | Join Date: 1997 General Contractor
Quality Title, Inc. | Brad Balerud | Join Date: 2012 Abstracting, Titles/Closings
Rubicon Mortgage Advisors, LLC | Wyatt Pollert | Join Date: 2013 Mortgages
Schlosser Excavating, Inc. | Ron Schlosser | Join Date: 1990 Dirt Hauling, Demolition, Asphalt/Gravel, Excavating
August 2014
2014 Board of Directors PRESIDENT Vance Vetter Vance Vetter Homes Phone: (701) 751-8218
PAST PRESIDENT Eric Brenden Northwest Contracting Phone: (701) 255-7727
SECRETARY/TREASURER Lynn Klein Gate City Bank Phone: (701) 355-7633
Paula Haider Haider Glass Specialties Phone: (701) 250-6787
1ST VICE PRESIDENT Drew Knutson Knutson Homes, Inc. Phone: (701) 258-3464
Nathan Jones Tollberg Homes Phone: (763) 205-2037 Scott Moran Hallmark Homes Phone: (701) 471-8796 Bill Schmid Townsquare Media Phone: (701) 250-6602
2ND VICE PRESIDENT Greg Zenker Ferguson Enterprises Phone: (701) 663-2446 Chad Moldenhauer K & L Homes, Inc. Phone: (701) 258-4584 Shannon Reichenberg Diversity Homes Phone: (701) 220-8177 C.J. Schorsch Fleck’s Furniture & Appliance Phone: (701) 323-0891
BMHBA Building Buzz
August 2014
Page 5
Member Highlight: Komfort Homes, Inc.
Company Name: Komfort Homes, Inc. Contact Name: John or Colleen Kulluk Job Title: President, Secretary Phone Number: 701-390-6043 Website: komforthomes.com
Is there anything new or interesting happening in your company or industry right now? We’re doing the best we can.
What type of products/services does your company provide? Homebuilding.
What do you enjoy most about your job? Doing a job well done.
When was your company founded? Where and by whom? February 3, 2014 by John Kulluk, Megan Kulluk and Colleen Kulluk. What sets your company apart from the competition? We try to use eco-friendly products like Foxboxes, upgraded insulation, siding, energy efficient appliances and upgraded interiors.
What is your company’s mission statement? Komfortable Living at an Affordable Price.
How many employees does your company employ? Two.
What is the biggest challenge facing your company/ industry right now? How are you dealing with it? Getting good employees. We’re always looking for them. If you had only one sentence to sell your company to a potential customer/client, what would you say? Quality at affordable prices.
Member Highlight: Wenck Associates, Inc.
Company Name: Wenck Associates, Inc. Contact Name: Michael Greer Job Title: Project Manager Phone Number: 701-751-6130 Website: wenck.com
When was your company founded? Where and by whom? In 1985, Norman Wenck founded Wenck Associates, Inc., in Minnesota. We are now an ESOP company with more than 200 employee-owners in six states, with work spanning throughout the U.S.
What type of products/services does your company provide? Wenck Associates, Inc. is a leading engineering & consulting firm, dedicated to providing innovative solutions through our engineering, environmental, and consulting services. We provide industries and local, state, and federal agencies a full spectrum of services related to infrastructure, water, air, land, waste, and industrial processes. Which products/services would you say are “bestsellers”? Locally we perform civil engineering, natural resources, and emergency preparation services.
What sets your company apart from the competition? Wenck is known for our client service. The majority of our business is from repeat clients. What is your company’s mission statement? Wenck’s mission is to deliver strategic solutions with unmatched
service. We strive to delight our clients by being responsive, reliable and proactive, thereby adding the greatest value possible to your business or organization. Is there anything new or interesting happening in your company or industry right now? The pace that the state, and the whole consulting industry, is now moving is very exciting. How many employees does your company employ? Company-wide, we have over 200 employee-owners. Our local Mandan office is staffed by 19.
What do you enjoy most about your job? The challenges brought by the variability of our clients and their projects.
What is the biggest challenge facing your company/ industry right now? How are you dealing with it? Finding staff that is the right fit for how our company relates to our clients. We are always keeping our eyes open for people with the right skills to join our team. If you had only one sentence to sell your company to a potential customer/client, what would you say? Wenck Associates, Inc. doesn’t just have clients and projects; we have long term partnerships that we strive to maintain through our dedication to helping your company succeed.
Anything else you would like to include? Thanks for this opportunity to discuss our company and the services we can provide.
Don’t Miss These Upcoming Events!
Aug. 12: Events Committee Meeting
Aug. 26: BMHBA Board Meeting
Aug. 20: Membership Committee Meeting
Aug. 28: 7th Annual Sporting Clay Shoot
Aug. 22: Executive Committee Meeting
Page 6
BMHBA Building Buzz
August 2014
City Beat: Mandan Considers Sales Tax Use The Mandan Sales Tax Committee is responding to community requests for capital improvement projects by exploring the possibility of an initiative funded largely with a potential bump in sales tax. Mandan’s local sales tax is currently 1 percent, increasing to 1.5 percent when a half-cent increase becomes effective in October for a joint jail approved by voters in Burleigh and Morton counties. Committee members are talking about a possible increase, possibly a half-cent on the dollar, which would put the local sales tax at 2 percent. The sales tax committee is seeking public input on the scope of such an initiative, a variety of project options
and location preferences. The first method of evaluating reactions to ideas will be through a focus group scheduled to gather Wednesday, Aug. 13, beginning at 6:30 p.m. at the Mandan Middle School. Watch the websites of the Mandan Park District, www.mandanparks.com, and the City of Mandan, www.cityofmandan.com, for a link to an online survey following the Aug. 13 focus group gathering.
Protect your business against legal problems with well-written contracts. Many construction or remodeling companies are too small to hire full-time legal staff so it's important to understand basic contract law. This course provides a step-by-step explanation of how contracts sustain positive customer and supplier relations, provide for resolution of disputes, and minimize the risk of litigation. You will learn about mandatory and optional provisions, warranties, and arbitration procedures. Special emphasis is given to troubleshooting contracts for unfavorable positions. As a graduate of this course, you will be able to: • Identify the basic elements of a contract • Identify the benefits and advantages of written
contracts • Define the guiding principles of contract interpretation • Define and distinguish between the different elements of a sales agreement • Recognize the advantages and disadvantages to: negotiation, mediation, arbitration and litigation You must register by Friday, Oct. 31. The cancellation deadline is Mon., Nov. 3, 2014. After Nov. 3, there will be a cancellation fee of $50. Consisting of three live, twohour instructor-led webinars, this course takes place on three consecutive Tuesdays from 12:00-2:00 p.m. Nov. 4, 11 and 18, 2014.
Construction Contracts and Law Online Course
Your Ad Could Be Here
Only $25! Call 222-2400 or email info@bmhba.com to find out how.
August 2014
BMHBA Building Buzz
Page 7
STORMWATER CENTRAL Keeping it Clean with Stormwater Management While the rules regarding how builders and developers need to manage stormwater runoff from their jobsites have been around for more than 20 years, the industry is still getting dinged. That could be because the rules themselves are as clear to some as, well, mud. Nevertheless, it’s important – both economically and ecologically – to understand state and local requirements and develop a plan to manage stormwater and assemble and maintain proper control measures.
Do You Need a Permit? Stormwater management regulations apply to developers and builders who disturb one or more acre of land. If your jobsite consists of less than an acre but is part of a larger “common plan of development,” then you also must get a state permit, and in some cases a local permit too. Local permits could have erosion and sediment requirements for new construction that apply to sites less than an acre. Staying in Compliance If your project requires a permit and you don’t have one, you are taking an expensive chance: Federal penalties of up to $32,500 per violation per day under the Clean Water Act. Perhaps the most confusing aspect for builders and developers leading to non-compliance is not realizing they need to obtain a permit – and that, in fact, is a common violation. Some builders also assume that their project is covered under a developer’s permit, but that’s not always the case. Other typical stormwater management violations, according to the Environmental Protection Agency (EPA), include: • Failure to develop an adequate Storm Water Pollution Prevention Plan (SWPPP) for minimizing the amount of sediment and other pollutants in runoff. • Failure to install or implement appropriate stormwater controls or best management practices (BMPs) required by the SWPPP. Often, it is because silt fences were not installed in all required areas; BMPs to prevent sediment from entering storm drains were not installed; BMPs to keep dirt from getting tracked off site were not installed at construction entrances; concrete washout basins
to prevent concrete from flowing into storm drains were not established; or in some instances portable toilets are placed atop storm drain inlets without BMPs to prevent spills from entering the storm drain. • Incorrect BMPs installation (for example, silt fences were not properly trenched in or sediment ponds were not completed before grading the site). • Failure to keep BMPs in effective operating condition (for example, silt fences and storm drain inlet protections were full of sediment and no longer effective, silt fences had fallen down or had holes, construction entrances needed additional rock). • Failure to adequately or routinely inspect BMPs to ensure proper operation and maintenance. Doing Our Part Stormwater management is important because sediment-laden lakes, streams and estuaries can’t support a healthy aquatic habitat. Additionally, nutrients, including phosphorus, attach to sediment and travel downstream, causing algal blooms and decreased oxygen levels. Stormwater controls on construction sites help reduce the impact of sediment and nutrients on our valuable water resources. Learn more about stormwater management from this helpful EPA publication. You can also look to EPA for information regarding post-construction stormwater management common practices. And for the longterm control of stormwater discharge, low impact development provides an opportunity for builders and developers to do a good turn.
Page 8
BMHBA Building Buzz
August 2014
Members Tee Off at Apple Creek Country Club for the Annual PAC Golf Tournament A sincere thank you to our Annual PAC Golf Tournament sponsors, participants and committee members. Monday, July 21 marked the 27th anniversary of the event, which continues to draw strong support for our association and the Bismarck Mandan Board of Realtors. The scramblestyle tournament attracted 148 participants to Apple Creek Country Club, where hot and muggy weather precluded a strong summer storm. At the end it came down to two first place teams (see page 9) and contest winners that included: Longest Drive Zach Dosch and Tami Stecher; Closet to Pin Kent Anderson and Caroline Johnston; and Longest Putt Bruce Basaraba and Natalie Friesz. Find photos from the tournament online at facebook.com/bmhba. Please extend your gratitude for the event sponsors: Platinum Sponsor Bismarck Title Co., Dinner Sponsor North Dakota Guaranty & Title,
Lunch Sponsor North Dakota Guaranty & Title, Prize Sponsor North Dakota Guaranty & Title, Hole #1 Sponsor Starion Financial, Hole #2 Sponsor Advanced Mechanical, Inc., Hole #3 Sponsor Montana Dakota Utilities Co., Hole #4 Sponsor Gate City Bank, Hole #5 Sponsor Capital Electric Cooperative, Hole #6 Sponsor BNC National Bank, Hole #7 Sponsor RDO Equipment, Hole #8 Sponsor Kirkwood Bank & Trust Co., Hole #9 Sponsor Swenson, Hagen & Co., Hole #10 Sponsor Dakota Community Bank & Trust, Hole #11 Sponsor ProBuild, Hole #12 Sponsor BlackRidgeBANK, Hole #13 Sponsor Miller Insulation Company, Inc., Hole #14 Sponsor SPS Companies, Inc., Hole #15 Sponsor Ferguson Enterprises, Hole #16 Sponsor Plains Commerce Bank Loan Production Office, Hole #17 Sponsor Northern Plains Plumbing, Heating & Air and Hole # 18 Sponsor Capital Credit Union.
The Largest Title Company in ND With over 500 years of combined experience, North Dakota Guaranty & Title Company is your best choice for residential title services. We offer lender’s and owner’s title insurance, closing and abstracting services, and 1031 exchanges with a turnaround time unsurpassed in the marketplace. We provide consistent, professional land title services in North Dakota and Eastern Montana. Give us a call — We’ll take care of the rest! thetitleteam.com | 701.223.6835
Where the lights are BEST on Broadway West! Bismarck • Dickinson • Dunn County • M andan • Minot Renville County • Watford City • Williston • Sidney, MT
Corner of Mandan Street and Broadway Avenue, Bismarck 701.258.4400
Colette W. “Lighting Ninja”
August 2014
BMHBA Building Buzz
Page 9
Congratulations to the Annual PAC Golf Tournament Winning Teams! Tournament Sponsored by Bismarck Title Company
First Place Gross Congratulations to Cory Knutson, John Jessen, Drew Knutson and Ryan Schmidt!
DON’T MISS THESE WEBINARS!
First Place Net Congratulations to Duane Crabbe, Ken Knodel, Doug Volk and Rick Simonson!
Construction Financing for Small-Volume Home Builders Wednesday, Aug. 6, 1-2 p.m. CST
This webinar is directed to NAHB’s small-volume builder members who are experiencing difficulties in finding and securing financing for vertical construction.
Water Features and Landscape Architecture for Single-Family Homes & Communities Thursday, Aug. 28, 1-2 p.m. CST
This session will focus on top water and landscape architecture features that home buyers want to see when they purchase either a single-family custom home or buy into an entire community. In both cases, these features contribute to a resident's positive sense of place by creating curb appeal in the public space and an intimate, enjoyable setting in their private space.
Mobile Marketing: How to Attract Buyers Using Smart Technology Wednesday, Sept. 10, 1-2 p.m. CST
Learn tips and strategies to help you set up your program to be mobile friendly for your prospect to have access to the information they are looking for in a split second and give you the guidance to use mobile devices to make your team more effective.
www.qualitytitlend.com 2211 East Main Ave. PO Box 1276 Bismarck, ND 58502-1276
ph: 701.204.6145 | f: 701.425.0425
Page 10
BMHBA Building Buzz
August 2014
Aug. 15 Deadline for Fall Parade of Homes The deadline to place your home in the association’s Fall Parade of Homes is Aug. 15. All builders should have received a registration kit in the mail, but if you were missed, please contact the office at 222-2400 or email terri@bmhba.com. We’re excited to announce the association’s commitment to a 2014 charity – Homes for Our Troops (HFOT). $2 from each admission ticket sold will be donated to the HFOT house slated for construction in Burleigh County. Additionally, if the event surpasses 2013 attendance of 3,033, the association will increase the contribution to $3 per ticket sold. HFOT provides homes to injured veterans at no cost. The recipient of the first North Dakota house is Marine Cpl Mark Haegele. Haegele lost both legs,
suffered hearing loss and suffered injuries to both arms when he stepped on an IED on April 21, 2011 in Afghanistan. Read about Haegele and HFOT at hfotusa.org/ nd.
Sporting Clays Shoot is Aug. 28 Sign Up a Team Today!
Rally your troops to participate in the BMHBA Sporting Clay Shoot on Aug. 28. The event will feature 11 shooting stations, dinner, drawings and more. Members are encouraged to form teams of six. Smaller teams are welcome and will be combined to create six shooters. Participation is $75 and a variety of sponsorships exist to maximize exposure for your company.
Like BMHBA on
facebook.com/bmhba
Registration opens at 3:30 p.m. and shooting begins at 4 p.m. at Capital City Sporting Clays. The $75 registration fee includes 11 shooting stations, target fees, shells, earplugs, dinner and door prizes. Shooters need only bring their own gun and eye protection. Register online at bmhba.com/events, email info@bmhba.com or call 222-2400.
August 2014
BMHBA Building Buzz
Page 11
National News Millenials: The Poster Children of Pent-Up Demand In July, NAHBNow highlighted the key takeaways in this year’s State of the Nation’s Housing Report issued by the Joint Center for Housing Studies at Harvard University. And when you dig a little deeper, there’s some interesting information about one important segment of potential clients who remain reluctant to jump into the homeownership pool: Millennials and other first-time home buyers. There’s been a lot of talk recently about the “Boomerang Generation” moving back home after college, laden with student debt and struggling to find decent-paying jobs. As a result, this group of would-be home buyers seems to be putting off a core part of the American Dream. Indeed, homeownership rates for 25-34-year-olds are down 8 percent from 2004 to 2013, the report says. While some are quick to say that Millennials – generally considered to be in the 20-34 age range – simply don’t value homeownership and are redefining the American Dream, the facts reveal something else. Namely, Millennials simply can’t afford it right now. The Harvard study noted that the rise and fall in homeownership among younger households mirrors income trends. Between 2007 and 2012, real median household incomes dropped 8 percent among 25-34 year olds and 7 percent among 35-44 year olds. For the past two decades, homeownership rates for both of these age groups have closely tracked changes in income. Here’s the new reality for this generation: After graduating from college, Millennials face higher levels of student debt and higher unemployment rates than even those in Generation X (ages 35-49). According to the Harvard report, “Student loan debt has accounted for 63 percent of the growth in total debt over the past year and for nearly the entire increase in non-housing consumer debt since 2003.” The Great Recession and subsequent slow, spotty economic recovery are making it difficult for Millennials
to find full employment opportunities. In fact, Millennials comprise 40 percent of all unemployed workers in the country, according to Georgetown University’s Center on Education and the Workforce. In May, the unemployment rate for 20-34-year-olds was 8.1 percent, with the rate climbing to 11.1 percent for the 2024 age group, the U.S. Census Bureau reports. Another reason that Millennials are delaying homeownership is probably because they are waiting longer to get married and have kids. The median age for a first marriage is now 28.7 for men and 26.5 for women. Compare that to 1990, when the median ages were 26.1 and 23.9, respectively. In 2013, just 26 percent of those ages 18 to 32 were married, according to the Pew Research Center. That’s a full 10 percent lower than the marriage rate of Generation X at that age. But as the Harvard report points out, it’s just a matter of time for Millennials to make these big life changes and positively impact the housing market. The number of households in their 30s is expected to increase by 2.7 million over the next decade, which should boost demand for new housing. In fact, the report predicts that Millennials will form 24 million new households by 2025. That’s good news for our economy, job growth, and the future of the American Dream.
If you have an interest or expertise in multifamily, legal, single-family, environmental, political, design or other home building issues, we want you to join our team today. The 2015 NAHB committee and council appointment process is now open and we are asking members who wish to serve on a committee or council next year to act quickly and complete the online application. Apply to join an NAHB committee or council before the
Sept. 21 deadline. The application is available on the NAHB website at nahb.org/2015CommitteeForm. For more information, email Cyndi McKinley at NAHB or call her at 800-368-5242 x8346.
Step Up to the Plate and Help Your Business and Industry to Thrive
Page 12
BMHBA Building Buzz
August 2014
National News NAHB Aids Builder in Fair Housing Act Case An NAHB member who made every effort to ensure that his condominium community complied with the Fair Housing Act Accessibility Guidelines was nonetheless sued by the federal government. The NAHB Legal Action Committee has his back – and because the outcome of the case could affect future Fair Housing Act decisions, has committed $50,000 and the additional promise of a “friend of the court” brief to assist the legal effort. Noble Homes and Guardian Property Management in Hartville, Ohio, companies owned by Dean Windham, a member of the BIA of Stark County, began work on a community of four-unit buildings in 2004. The Fair Housing Act Accessibility Guidelines require the primary entrance to first-floor multifamily residences — described in the act as the “entrance most likely to be used,” to be wheelchair accessible. Windham’s architect provided that access through each owner’s parking garage. While the 2004 plan submittals were given building permits and 13 structures were built, a new county plans examiner in 2006 had a different interpretation of the guidelines, and ruled that the plans did not comply. Windham then consulted an architect who had served as a plans examiner in a nearby county and with Stark County officials who affirmed that the plans upheld the guidelines. He also consulted a specialty firm, Motion Mobility & Design, to make sure that every unit could be easily adapted to any specific mobility need. Finally, Windham presented the company’s plan to comply with the guidelines to the Ohio Board of Building Appeals, which unanimously voted in favor of the plan to make the units accessible. In 2011, a fair housing advocacy group from another county filed a complaint with the Department of Housing and Urban Development (HUD), alleging various violations, including that the wheelchair access through the garage was not in compliance with federal accessibility guidelines. Windham cooperated fully with the investigators but could not meet HUD’s demands because he no longer owned the property: The units had already been sold. HUD turned the complaint over to the Department of Justice, which filed suit in federal court against Windham’s companies and Windham personally. When the NAHB Legal Action Committee reviewed the case at the 2014 Spring Board of Directors meeting, it recommended that Windham receive the maximum amount the Legal Action fund provides, or $50,000.
Support at this level is extremely rare, but it is still far less than Windham will need to spend in his defense in the future, which he estimates to be in excess of $75,000. His firm has already spent more than $35,000 in legal fees. The committee took an additional step in offering to prepare an amicus curiae (friend of the court) brief on Windham’s behalf. The NAHB Legal Action Fund is an important member benefit that helps defray litigation costs for builders, developers and state or local associations involved in these types of cases, and you can learn more by reviewing the guidelines. In essence, the fund: • Must support litigation that will benefit the housing and building industry nationwide. It is also designed to address issues commonly faced by builders or developers. Where possible, cases should be brought to the committee early in the litigation process. • Should be used primarily in a proactive role, encouraging and supporting the filing of highquality litigation. Aug. 1 is the deadline for applications that will be discussed at the 2014 NAHB Fall Board of Directors meeting. The Legal Action Committee will meet in Phoenix on Sept. 5.
Subscribe to NAHBNow and Get the News You Need
Did you know that you can now subscribe to NAHBNow? Geared exclusively to NAHB members, NAHBNow is an interactive blog that delivers news, product information and educational resources to help your business to thrive. You can post comments, suggest stories, see links to other popular news sources and much more. Timely, social and innovative, NAHBNow is all about member value and how your association is working for you. Subscribe today by visiting NAHBNow.com.
August 2014
Page 13
BMHBA Building Buzz
Builder Confidence Surpasses Key Benchmark in July Builder confidence in the market for newly-built single-family homes reached an important milestone in July, rising four points to a reading of 53 on the NAHB/Wells Fargo Housing Market Index (HMI) released on July 16. Any reading over 50 indicates that more builders view sales conditions as good than poor. “This is the first time that builder confidence has been above 50 since January and an important sign that it is strengthening as pent-up demand brings more buyers into the marketplace,” said NAHB Chairman Kevin Kelly. “An improving job market goes hand-in-hand with a rise in builder confidence,” said NAHB Chief Economist David Crowe. “As employment increases and those with jobs feel more secure about their own economic situation, they are more likely to feel comfortable about buying a home.” Derived from a monthly survey that NAHB has been conducting for 30 years, the NAHB/Wells Fargo Housing Market Index gauges builder perceptions of current single-family home sales and sales expectations for the next six months as “good,” “fair” or “poor.” The survey also asks builders to rate traffic of prospective buyers as “high to very high,” “average” or “low to very low.” Scores from each component are then used to calculate a seasonally adjusted index where any number over 50 indicates that
more builders view conditions as good than poor. All three HMI components posted gains in July. The index gauging current sales conditions increased four points to 57, while the index measuring expectations for future sales rose six points to 64 and the index gauging traffic of prospective buyers increased three points to 39. The HMI three-month moving average was up in all four regions, with the Northeast and Midwest posting a one-point and two-point gain to 35 and 48, respectively. The West registered a five-point gain to 52 while the South rose two points to 51.
Member Minute: BMHBA Members in the News Two Agents Join Bianco Realty
Bianco Realty is excited to announce 2 new REALTORS® who have recently joined their company: Tyler Hofland and Sheila Krebs. Tyler and Sheila look forward to helping you with all your Real Estate needs, achieving your dream of home ownership and providing a Tradition of Excellence! Welcome to our Bianco Realty family!
Dennis Kraft NMLS #766583
Natalie Eckes NMLS #766563
APPLY HERE, APPROVED HERE, LOAN SERVICED HERE. LOT AND CONSTRUCTION/PERMANENT FINANCING CONVENTIONAL, 1ST TIME HOMEBUYER, VA LOANS CALL FOR AN APPOINTMENT OR APPLY ONLINE TODAY
Bismarck
3000 N 14th St Bismarck ND 58503
Mandan
614 West Main Mandan ND 58554
Page 14
BMHBA Building Buzz
August 2014
Page 15
BMHBA Building Buzz
August 2014
Around the State Dot Frank, Executive Officer 701-222-2400
bmhba.com
The BMHBA hosted its Annual PAC Golf Tournament in cooperation with the Bismarck Mandan Board of Realtors at Apple Creek Country Club. The tournament attracted 144 players to the greens to generate contributions for both association’s PAC efforts. Members will gather again on Aug. 28. Instead of packing clubs, they’ll be packing heat for the Annual Sporting Clays Shoot. Board and Government Affairs members have hosted the newly elected city commissioners to lunch. The events offer a chance to share insight about our industry while learning about the elected officials’ ambitions for office. Bismarck will be home to the state’s first Homes for Our Troops (HFOT) house. Builder member Patriot Homes is the HFOT building partner and will serve as the GC for the project that will benefit local veteran Cpl. Mark Haegele. Visit hfotusa.org/ nd for details.
Dickinson Area Builders annual picnic will be held on Wednesday, August 13 at Eagles Park, 6 p.m. Our annual Golf Scramble is scheduled for the following week on Thursday, August 21st at the Heart River Golf Course. Safety Training session is set for Tuesday, October 14th. The morning session is be Forklift Training, followed by Defensive Driving in the afternoon. These classes will be held in the conference room at Butler Machinery. We are planning a second Safety Training in November; date to be announced.
www.ndbuild.com
Minot Association of Builders Vicky Flagstad, Executive Officer 701-852-0496 minotab.com
MAB Past Presidents’ Golf Tournament is scheduled for August 11th at the Vardon Golf Club. Fourperson scramble, shotgun start @ 1:00 p.m. All NDAB members welcome to participate. Entry fee is $125.
Crane Johnson Lumber will host the September 9th Builders After Hours at their store in Surrey.
Bryce Johnson, Executive Vice President hbafm.com 701-232-5846
Dickinson Area Builders Assoc. Irene Schafer, Executive Officer 701-483-0044 dickinsonareabuilders.com
Our next General Membership meeting will be at Lady J’s Club & Catering on September 10th.
The HBA of F-M will host its Family Picnic and Associate Appreciation event Aug. 7 at Lindenwood Park in Fargo. It is free to members if preregistered. There will lawn games and activities for the children, as well as beer tasting for the adults. Members continue working with volunteers to construct a home in Moorhead for a veteran and her tenyear-old daughter as part of the Home Builders Care Build with Habitat. The HBA has released its second quarter building permit report for Dilworth, Fargo, Moorhead and West Fargo. Housing permits are down a bit from 2013 through second quarter, but valuations are up. The HBA is planning its fall events including the Fall Parade of Homes Sept. 6-7 and 13-14; Remodeled Home Tour Sept. 13-14 and the Fall Home Show Sept. 26-27. The Fall Home Show’s featured speaker will be Brian Santos, the “Wall Wizard,” giving practical tips for paint and wall coverings.
Williston Area Builders Association Beth Sundheim, Executive Officer 701-572-5744 willistonbuilders.com
The Spring Parade of Homes was a great success. We are now working on a fall parade to be even better.
August 17 is the Board of Director Meeting
There will be a Membership family “potluck picnic in the park” August 21st with great food, fun and activities.
Save the Dates: November 13-15, 2014 is our NDAB Annual Banquet and Board Meetings in Grand Forks. We will have a great program for you and would love to have you join us! More details to come this fall.
Forx Builders Association Betty McDonald, Executive Officer 701-746-4536 forxbuilders.com
Tim Shea’s Nursery & Landscaping did a “bloomin’” good job of hosting the July Builders after Hours. It was lots of fun with great networking.
September 11th is our Golf Outing at Valley Golf Course in East Grand Forks. Marvin Windows and Doors is the event sponsor and Happy Joes will be the pizza meal sponsor.
It is great to see that construction of all types and sizes is going on like crazy around here.
North Dakota Association of Builders
NDAB Members meeting with Senator Heitkamp and Senator Hoeven during the June Washington D.C. visits.
August 2014
PRSRT STD U.S. Postage
PAID Permit #72 Bismarck, ND 58501
2600 Gateway Avenue Suite 1 Bismarck, ND 58503
37