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NEW ERA BEGINS FOR HBAM

MID-ATLANTIC

Vol. 56 Issue 3 July/August 2014 www.homebuilders.org

Grand Reveal The Maryland Center for Housing Opens its Doors

Coming Up in Sep/Oct Mid-Atlantic Builder

HBAM Commemorative Issue

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MID-ATLANTIC BUILDER JULY/AUGUST 2014 www.homebuilders.org

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July/August 2014 Vol. 56 Issue 3

EDITOR Kristin Josephson Hogle, Communications Director communications@homebuilders.org

ADVERTISING Chris Baughan, Advertising Sales Manager 410-265-7400, ext. 121 chris@homebuilders.org

DESIGN Heather Winkel, Art Director Corinne Thompson, Graphic Designer Network Design Group ndg@networkmediapartners.com

HBAM LEGAL COUNSEL Linowes and Blocher

MID-ATLANTIC BUILDER Cover and above photos by Images of Sommer

8 Maryland Center for Housing Grand Opening The Maryland Center for Housing Opens its Doors

Also

Green Building Getting to Green, how far have we come?

16 Partnership Makes Certified Green Homes Two industry leaders combine expertise to educate, inform and connect consumers with pros who design, build and remodel NGBS Green Certified Homes.

18 Maryland Energy - 2 Years and Counting The 2012 IECC is the latest version of the national energy requirements for new residential housing.

26 NGBS Incentives could Save you Green

See if your project is eligible for incentives through the NGBS.

28 ‘Lead Free’ Pipes and Plumbing Fixtures FAQ New requirements issued under the Federal Safe Drinking Water Act.

32 Sherwin-Williams Colormix™ Predicts Optimistic 2015

Annual color forecast reveals bright, vibrant outlook

43 Foundation Rebuilding Together Howard County Renovated 27 Homes

4 6 36 41 42

Postmaster: Send address changes to Home Builders Association of Maryland, Inc., 11825 West Market Place Fulton, MD 20759

ECO BOX

Departments

President’s Message Events Stats and Facts Government Affairs New Members

Pages 21-24

Mid-Atlantic Builder text and cover pages are printed on SFI certified Anthem Plus Gloss using soy ink.

• The Sustainable Forestry Initiative® program promotes sustainable forest management.

Pull-Out Section MID-ATLANTIC

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is a publication of HBAM Member Services, Inc., a subsidiary of the Home Builders Association of Maryland, Inc., 11825 West Market Place Fulton, MD 20759 410-265-7400, www.homebuilders.org.

Remodeler A supplement to Mid-Atlantic Builder

HBAM Remodelers Award of Excellence www.homebuilders.org

MID-ATLANTIC BUILDER JULY/AUGUST 2014

Kitchen Remodel $500,000 & Over Delbert Adams Construction JULY/AUGUST 2014 MID-ATLANTIC BUILDER

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8441 Dorsey Run Road Suite A Jessup, Maryland 20794

2014 HBAM LEADERSHIP EXECUTIVE COMMITTEE Russell Dickens President

Tom Baum President Elect

Steve Breeden

president’smessage

First Vice President

Lisa Junker Associate Vice President

Steve Smith Secretary

Our Hierarchy of Needs In Abraham Maslow’s study of the hierarchy of needs, he lists the physiological needs as primary for human survival: air, water, food and shelter are the foundation of the list. Shelter! Protec-

tion from the elements. A place to eat and sleep in safety and relative comfort. This is what we are all about. This issue of the Mid-Atlantic Builder celebrates the grand opening of the Maryland Center for Housing. Not only is it the future Home for the Maryland Building Industry Association (and current Home for the Home Builders Association of Maryland and the Maryland National-Capital Building Industries Association, until the merger is finalized), but it is the income producing asset of our Building Industries Foundation, soon to be the Home Builders Care Foundation, the merged non-profit charitable arm of our Association that promotes shelter related activities for those less fortunate throughout our region. This will ensure that the Foundation has a steady source of income to provide funding for projects that will help those in need in our area. The building will give the home building and remodeling industry a physical presence in Central Maryland that stands as a testament to the strength, vitality and endurance of the industry and the Association that it represents. This issue also has an excellent article by Thom Marsden on Green Building issues titled “Maryland Energy, 2 Years and Counting”. The article provides help to builders navigating the code and discusses the link between the more demanding code requirements in Maryland and how it benefits consumers with lower energy costs; a benefit not currently recognized by local lenders and appraisers in their evaluations. 4

One of the common excuses I often encounter when asking non-members to join has been, “I don’t get anything out of those things.” Well, did you participate? Did you join a local council, participate in County Chapter meetings, engage other members or attend any social events? We are not going to show up at your office with a fruit basket. You get back what you put in, but we can only be as strong as our active membership. In the Pareto Principle, also known as the “law of the vital few”, 80 percent of the work comes from 20 percent of the members. Don’t be a free-rider and let everyone else carry the load. We are looking at a new beginning with over 1,300 members representing over 100,000 people! Get involved! Join one of our 10 active Councils or one of our 12 County Chapters. Be an active member of a successful and even stronger association that represents your interests. I hope you made the grand opening on June 18th. Either way, enjoy the pictures of the event in this edition.

Russell Dickens 2014 HBAM President

Kimberly Palmisano Treasurer

Scott Armiger Immediate Past President

CHAPTER PRESIDENTS

Jim Krapf Anne Arundel County James Mathias Carroll County David Murphy Baltimore County Russ Robertson Baltimore City James Fraser Howard County Dan Whitehurst Upper Chesapeake

COUNCIL PRESIDENTS Sandy Marenberg

Land Development Council

Bruce Rosenblatt Sales and Marketing Council

Tim Ellis HBAM Remodelers

Thom Marston Maryland Residential Green Building Council

Tim Nichols Builder Mart Chair

MEMBERS AT LARGE Robb Aumiller Michael Baldwin Mark Bennett J. Michael Breen Patrick Costello Sean Davis Brenda Desjardins Morgan Gilligan Joe Gregory Frank Hertsch

Donald Lynch Jr. Cindy McAuliffe Michael McCann John Meade Jeff Ott Cindy Plackmeyer Jeffrey Powers Leslie Rosenthal Jeremy Rutter Joseph Smith William Zahler

ALTERNATE DIRECTORS Jeff Aleshire Lou Baker Marka Guindon Jay Hergenroeder Joe Hikel

Steve James Tim Morris Dan Murtaugh Tim Naughton Dennis O’Neil

EX OFFICIO MEMBERS Jack Orrick Howard Perlow Robert Ward

MID-ATLANTIC BUILDER JULY/AUGUST 2014 www.homebuilders.org

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JULY/AUGUST 2014 MID-ATLANTIC BUILDER

Events

CALL 410-265-7400 for information on registration for our events or visit www.homebuilders.org.

Howard County PAC Fundraiser

SMC SalesCamp

Thursday, July 24 The Maryland Center for Housing Fulton, MD

September 23, 2014 Martins West

HBAM Golf Outing & Reception at MACo Thursday, August 14 Ocean City, MD Join HBAM at the MACo Convention in Ocean City. Golf Outing Rum Pointe Seaside Golf Links 1:00 pm Shotgun Start Reception for members with special elected officials invited. 7:00 pm at the Clarion.

Harford County Crab Feast Thursday, August 21 Equestrian Center Bel Air, MD Join us for a good old fashioned crab feast and evening of networking.

One Team, One Voice, One Industry Breakfast Land Development Council Excellence in Community Development Awards Thursday, September 18 L’Hirondelle Club in Ruxton There is still time to enter your projects for awards. The Land Development Council Award of Excellence program offers recognition to development professionals who provide superior and creative development projects that are sensitive to the community and make appropriate use of the existing natural elements. Projects are available to all member firms in the State of Maryland and Adams and York Counties, Pennsylvania.

Wednesday, October 1 Baltimore Marriott Collaborative event with the Greater Baltimore Board of Realtors, the Maryland Mortgage Bankers Associationand the Maryland Association of Realtors.

BuildPAC Evening Reception Wednesday, October 1 Maple Lawn BUILD-PAC is the political action committee of the National Association of Home Builders. BUILD-PAC is bipartisan – supporting both Democrats and Republicans – and helps elect qualified pro-housing, pro-business candidates to federal office.

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MID-ATLANTIC BUILDER JULY/AUGUST 2014

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Chef Night Wednesday, October 15 Martinâ&#x20AC;&#x2122;s West, Baltimore, MD Over 400 HBAM members attend this exciting and relaxing event which includes lively entertainment, fabulous culinary delights created by our Builder and Remodeler members and a live and silent auction. A portion of the proceeds will benefit the Building Industries Foundation. This year, Chef Night goes to the beach!

Remodelers Awards of Excellence Thursday, November 6 There is still time to enter your projects for awards. The HBAM Remodelers, will announce the winners of its 24th annual Remodeling Award of Excellence competition. This program serves to recognize excellence in remodeling design and craftsmanship, to create a greater public interest in the remodeling industry and to recognize outstanding contributions by individuals and companies in the remodeling industry.

ICON Awards Thursday, November 13 Fretz Corporation Columbia, MD The ICON Awards recognize the best in the industry with the announcement of the Builder of the Year, Lifetime Achievement and Associate of the Year Awards. â&#x2013;

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JULY/AUGUST 2014 MID-ATLANTIC BUILDER

Grand Reveal The Maryland Center for Housing Opens its Doors

he Maryland Center for Housing officially opened for business in the Maple Lawn Commercial District in Fulton, MD on June 18. . The building is the new headquarters for the Home Builders Association of Maryland and the Maryland-National Capital Building Industry Association. The organizations will merge in September to form the Maryland Building Industry Association.

MID-ATLANTIC BUILDER JULY/AUGUST 2014 www.homebuilders.org

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JULY/AUGUST 2014 MID-ATLANTIC BUILDER Photo by Images of 9 Sommer

“This is a momentous day for HBAM and MNCBIA,” said Russ Dickens, president of HBAM. “This building will give the home building and remodeling industry a physical presence in Central Maryland that stands as a testament to the strength, vitality and endurance of the industry.” Clark Wagner, president of MNCBIA added, “We are not only giving our members a new headquarters we are bringing together two organizations to make our industry stronger.” The building will be owned by the non-profit foundation of the associations, and office space will then be leased to MBIA. The rent income paid to the Foundation will provide a stable, long-term funding source to endow the Foundation and support its charitable, education and research activities. The Maryland Center for Housing is the culmination of years of work and the donations of land, labor, materials and money from association members. Stewart Greenebaum, known throughout the industry for his success in land development and his philanthropy to the community, donated a fully permitted parcel of land in the commercial district of Maple Lawn in order to make this building possible. One donation quickly turned into several and commitments streamed in as the word spread. Shannon Comer Architects stepped up and generously donated her company’s time and expertise to design the sophisticated 10,000 square foot building.

MID-ATLANTIC BUILDER JULY/AUGUST 2014 www.homebuilders.org

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JULY/AUGUST 2014 MID-ATLANTIC BUILDER

The design includes a usable show kitchen, first floor work rooms and meeting rooms, a large board room and office space for the Foundation. Many other member companies have been quick to donate their product, time and expertise to the building. “We are lucky to have such camaraderie and teamwork among our members, said Wagner. “This building will be a focal point and gathering place for current industry professionals and future generations,” he added. Lori Graf, who has been slated to head the organization as the Chief Executive Officer, is grateful for the outpouring of donations from members. “Our industry is unique in that our members are in the building business and have access to industry resources,” she said. She explained that members were able to provide labor and materials that would otherwise cost significantly more. “Thanks to their generosity, we have a new headquarters and a fresh start for our new organization,” she added. Dickens noted, “The Maryland Center for Housing is where the industry will come together to conduct its business for decades to come. This is just the beginning of what we expect to be a bright future for our industry and our members.” The Maryland Center for Housing is located at 11825 West Market Place, Fulton, MD 20759. For a complete list of donors, please visit www.marylandcenterforhousing.org. n

MID-ATLANTIC BUILDER JULY/AUGUST 2014 www.homebuilders.org

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JULY/AUGUST 2014 MID-ATLANTIC BUILDER

Maryland Center for Housing

Financial Donors Naming Rights

•R esidential Title & Escrow Co. •B ob Ward Companies • T he Rachuba Family • L owell Glazer • S usquehanna Bank/ Susquehanna Mortgage •B B&T •C ornerstone Homes •D an Ryan Builders

• E lm Street Development • F orty West •G oodier Baker Homes •M id-Atlantic Builders •N VR •O rchard Development • P owers Homes • S ecurity Development

Gold

Silver

•C aves Valley •C raftmark Homes •D evelopment Design Consultants • K och Homes • L akeside Title Company

Bronze •B ay Bank •C hesapeake Employers Insurance •D ewberry • E fficient Homes • K Hovnanian • L and and Commerical Inc. • P rocopio Family Homes, Inc. •R ichard Rubin •R utter Project Management

Friends of MCH

•B aldwin Homes •B eazer Homes •C hateau Builders •C harm City Builders •C olumbia Builders •G aylord Brooks •G emcraft Homes • GP Construction, Co. •G YC Group, Ltd. • L ennar •M ichael Harris Homes •M itchell & Best •M orris & Ritchie Assoc. •M ueller Homes • P NC Bank •R yland • S andy Spring Bank • S elfridge Family Foundation • S teuart-Kret • T urf Valley Builders •W illiamsburg Homes

• A ssociated Jewish Charities of Baltimore • Axiom Engineering • Scott Barhight • Bowman Consulting • Burkard Homes • John Duffy • ECS Mid-Atlantic, LLC • Chuck Ellison • Heritage Land Development • Highland Turf • Linowes and Blocher

• Mackenzie Communities • John and Nancy Meade • Owings Brothers Contracting, Inc. • Rodgers Consulting • T+A Contractors • T.W. Ellis • Vintage Security • Whiteford, Taylor & Preston • Stewart D. Young • Zahler Construction and Development

Making Certified GREEN HOMES MORE

Accessible

Home Innovation and Porch.com Combine Expertise to Educate, Inform, and Connect Consumers with Pros who Design, Build and Remodel NGBS Green Certified Homes

ome Innovation Research Labs and Porch.com recently announced a partnership that will help consumers find and connect with those who design, build and remodel National Green Building Standard™ Certified homes, verified by accredited third parties. This is a resource that will take the guesswork out of green home buying and remodeling for home owners and renters across the country.

Home Innovation Research Labs and Porch.com recently announced a partnership that will help consumers find and connect with those who design, build, and remodel National Green Building Standard™ (NGBS Green) Certified homes, verified by accredited third parties. This is a resource that will take the guesswork out of green homebuying and remodeling for homeowners and renters across the country. The partnership comes on the heels of recent reports indicating 2014 will be the greenest year yet for home building and remodeling. According to the Bureau of Labor Statistics, employment in green goods and services is growing three times as fast as overall employment. According to recent findings from NAHB and McGraw Hill, in 2011 green building represented 17 percent of the home remodeling market; in 2013 that number grew to approximately 25 percent of the market, and remodeling firms doing largely green work are expected to double within the next five years. As more and more home owners seek affordable, credible and accessible green options, they need a better solution for understanding the true meaning of “going green” and access to the professionals best equipped to meet their needs. Having information provided by Home Innovation on the Porch platform will provide that solution. Porch has taken a unique approach to developing a data driven home improvement network by amassing large amounts of local home improvement data – free for homeowners and professionals. With more than 1.5 million pros and 90 million projects in their network, Porch is changing the way home improvement gets done by making it easy for home owners to find professionals based on who their neighbors have used and endorsed, real project and cost history and expert advice. As a result of this partnership, the Porch data network will expand to include information on certified green homes. “The green building industry is booming,” said Michael Luzier, President and Chief Executive Officer of Home Innovation Research Labs. “In fact, the pipeline for our NGBS Green Certification program forecasts 50 percent more certifications in the next year than we’ve done in any year to date. With the proliferation of green rhetoric in the marketplace, it’s become increasingly difficult for consumers to decipher what’s truly green from ‘green-washing.’ All projects that carry our NGBS Green Certified mark have been independently verified by third-party, accredited verifiers to ensure they meet the rigorous criteria of the NGBS. Having these homes and remodels, as well as the architects, builders and remodelers responsible for them, showcased on Porch.com, home owners can have added confidence the green choices they make will result in more comfortable, healthier, more efficient homes that cost less to operate and fit with a sustainable lifestyle.” www.homebuilders.org

NGBS Green Certification goes well beyond saying a home is energy efficient. It provides independent, third-party verification that a new or remodeled home, apartment building, or land development is designed and built to achieve high performance in six key areas: Site Design, Resource Efficiency, Water Efficiency, Energy Efficiency, Indoor Environmental Quality and Building Operation & Maintenance. The NGBS was the first to be approved by the American National Standards Institute as a residential green building standard, and continues to lead the home building industry in its affordability, rigorous performance criteria and flexibility to fit all types of home construction and all market needs. It is also the only available national green rating system specifically applicable to whole-house or small project remodeling. “Energy efficiency tops the list of most important goals for homeowners looking to improve their home,” said Asha Sharma, Vice President of Marketing and Growth at Porch. “There are many simple ways to go green and make a positive impact on the environment, your health and your energy bill. From changing light bulbs to investing in solar technologies, homeowners are looking for education and guidance to ensure their green solutions achieve their goals. Our partnership with Home Innovation Labs represents just one of the many ways we’ll be providing confidence from our network for home owners to choose any type of professional for their projects.”

Making it Easier for Consumers to Go Green • A s part of this partnership effective today, homeowners and building industry professionals will benefit from the following offers and enhancements. • Porch will create profiles for all of Home Innovation’s NGBS Green Partner professionals, featuring their NGBS Green Certified home projects and information for potential homeowners to discover. • A ny professional can join the Porch network for free. Home Innovation is sponsoring three free months of Porch’s upgraded profiles for NGBS Green Partner professionals. • Porch will build new functionality into their data platform in the form of profile badges that will help further distinguish Home Innovation’s NGBS Green Partner professionals and brand NGBS Green Certified home projects. This will make it easier than ever for homeowners to find the right professionals with the right experience for their green projects. n

JULY/AUGUST 2014 MID-ATLANTIC BUILDER

Maryland

ENERGY, years

and counting BY THOM MARSTON

he 2012 IECC is the latest version of the national energy requirements for new residential housing. Maryland was the first state to adopt the code and is the only state to adopt it without modifying or deleting portions of the code. What are Maryland home builders experiencing since its inception on July 1, 2012? We know building costs have gone up if you build homes in the central Counties of Maryland, as these counties fully embraced the new code July, 2012. Consumers are seeing lower energy costs due to more air tight and better insulated homes and more tightly sealed ducts. The State and the appraisal industry need to link these consumer benefits to improved buyer qualifications and improve appraised value so builders can recover the higher building costs. We also know that the industry is confused. We are passing through uncharted waters for code officials and some builders as terms like building leakage, duct testing and performance path are new concepts to both groups. Energy Star Builders were ahead of the curve prior to July 2012 and had experience with energy tests and high performance homes. However, code officials had no previous experience to draw upon. The 2009 Code implied duct and building leakage testing but Baltimore County was the only area where this earlier code was enforced. If the 2012 Code is new to some builders and the code officials, where do they go for correct answers? The State should act as the clearing house for these issues. In reality, each county is asked to resolve these disputes. Material acceptance is not consistent throughout the state making it difficult for builders working in multiple counties to operate efficiently. Our opportunity is to work with state and local officials to get a complete answer that is consistent throughout the state.

Plan review, permitting and reporting results Here is what we do know: during your plan submittal, you will need to declare a â&#x20AC;&#x153;Pathâ&#x20AC;? Prescriptive, UA trade-off, RESCheck and performance are the paths allowed in the 2012 plan submittal and each path has a different building cost. Typically prescriptive path is the most expensive because you are not taking credit for over design of your thermal features. The UA, RESCheck and Performance paths allow you to calculate your answer to a closer tolerance and this provides construction cost savings. The Performance path is the most aggressive calculation and is the analysis that is used in Energy Star certified homes. For example, the Performance path can allow most builders of single-family homes to construct code compliant homes using 2 x 4 walls with R-15 fiberglass batts. And under this path, hot water pipe insulation is not required and attics can remain at R-38 independent of truss heel height.

www.homebuilders.org

Most counties will require that you include supporting calculations with your plan submittal. If you are using performance path, ask your plan reviewer how to submit this information as this path is least understood to the counties. Calculations must include the signature of the Registered Design Professional who prepared the calculations. If you want to lower overall building costs and eliminate hot water pipe insulation, look at section 405, Performance Path in the 2012 IECC. Each county is looking for documentation that your house was built to code. You will need to declare these values at time of permit and in all cases you will need to document the thermal performance of your home during the final inspection. The most typical requirement is to attach a sticker to the service panel. Include performance test results for duct leakage if applicable and building leakage in all cases, then sign and date the sticker. You may also need to submit the test results to the code official to validate the values on the sticker. A PDF version of the sticker is available on www.homebuilder.org. Download the file and create a master label that contains your standard thermal features, the same values that are part of your plan submittal. Print multiple copies and add specific information when each new home nears the final inspection stage.

JULY/AUGUST 2014 MID-ATLANTIC BUILDER

Code required testing

Renovations vs. New Construction

You will be required to test homes for building leakage using a certified “rater.” The building leakage rate is expected to be at or below 3.0 Air Changes per Hour when the house is tested at a pressure difference of 50 Pascals, or 3 ACH50. Some counties are allowing a higher rate, although this is an informal agreement and could be removed at any time. Building leakage is based upon house volume but houses leak at their exterior surfaces. Large houses with basements have a higher allowed leakage percentage then a small house built on slab, so you will work much harder to reach 3.0 ACH50 in small homes and small townhomes built on slab. The rater who is testing your homes is a wealth of knowledge. They test many homes and have many examples to draw upon to help you diagnose any problems they might find. It will be cheaper to address leakage during construction than a couple of days prior to settlement when the final inspection is scheduled, so have the rater walk your home at framing stage and point out areas where leakage can be easily addressed prior to close-in. Plan to spend time with your rater testing with the blower door at completion as each experience of how and where your homes leak will build your knowledge of how to reduce overall leakage in your next home. A recent test with a builder of his first 2012 code house showed him where first-floor overhangs in the unfinished basement allowed him to reduce air leakage. His attic duct system also created leakage around all the duct boots penetrating the attic drywall. Sealing both areas brought the house into compliance. He intends to treat the overhangs differently in the next home and bring all attic ducts inside the next house. So plan to draw upon each experience and add the knowledge to your building standards. Not only will you pass the code more easily, you may reduce overall building costs. Duct testing is not required for systems entirely inside the house, but must be tested whenever the duct system is installed in unconditioned spaces, typically the attic or vented crawlspace. Ducts in the basement or crawlspace are considered inside the house when you insulate the foundation walls. A system that starts in an insulated basement and extends to the attic will require testing. The leakage rate is based upon the floor area that the system serves. You are required to have less than 4 percent of leakage compared to conditioned floor area (CFA) served by the system if testing with the air handler installed. 3 percent duct leakage per CFA if testing without the air handler installed. Consider testing prior to hanging sheet rock so you have an opportunity to seal excessive leakage prior to covering ducts behind drywall. Also consider hiring an HVAC contractor who has their own testing equipment and uses it to train their crews. These companies are having the highest success rate at passing the duct leakage tests.

Remodeled homes in most Counties with new completely duct systems require testing and the same leakage thresholds exist. We have also heard of code officials requiring duct testing on duct extensions that run through un-heated spaces. There is no accepted protocol for this testing and the process is not typical for how the test equipment is used. Your best path is to keep all new ducts inside the house, or ask at time of permitting if will you be required to perform a duct test. If the answer is no test required, be sure to get that statement added to the plan review set. Alternatively, consider testing the system prior to renovation and show the buyer how duct sealing during the renovation can improve energy performance. Blower door testing is not typically required for renovations and additions in most counties. It is not typical to seal off the old house from the addition and determine leakage of the new house, although we have heard code officials requiring this process. If you are unsure, ask during permitting so you know going in what will be required. If you must test a renovation, consider testing the original house before work begins and use this as a comparison to the final results of the renovated home.

Critical issues to overcome Builders know that tightly sealed homes will trap moisture and create mold conditions in winter. You may have personally experienced this in the 70’s or know a builder who did. The 2012 code mandates a ventilation strategy that supports the code required 3 ACH50. The amount of ventilation is based upon the occupant level and size of the house and the ventilation system must operate independent of the home owner. This code requirement is not enforced equally in all counties. The lack of enforcement does not relieve the builder of this requirement and you should take actions to incorporate a ventilation strategy into all new homes that you build. Talk with your heating contractor or discuss the process with your Rater. Take action now so you can protect your client’s health and prevent any civil actions in the future. Code compliance does not have to be a difficult process. It is a matter of selecting a path to meet the code that best matches your requirements of budget and experience and then finding a testing organization that can help you through the various stages of building, performance testing, selecting materials and selecting proper ventilation. With experience, you will gain a better understanding of the 2012 IECC and be able to control your destiny. n

Thom Marston is a registered design professional. He holds HERS Rater credentials through RESNET. He is supported through his provider, Energy Services Group. Thom is Life Director of NAHB and sits on the Energy & Codes sub-committee. Contact Thom at 302-383-3000 or thom@energysvc.com if you have questions about the 2012 IECC.

MID-ATLANTIC BUILDER JULY/AUGUST 2014 www.homebuilders.org

MID-ATLANTIC

Remodeler A supplement to Mid-Atlantic Builder

HBAM Remodelers Award of Excellence Kitchen Remodel $500,000 & Over Delbert Adams Construction www.homebuilders.org

JULY/AUGUST 2014 MID-ATLANTIC BUILDER

MID-ATLANTIC

Remodeler

A supplement to Mid-Atlantic Builder

2014 HBAM REMODELERS TIM ELLIS, LEED AP, CPE, CGR, CGP President

BOARD OF DIRECTORS Jackie Browning Guy Caiazzo Taylor Classen Cheryl Crowther Arif Durani Steve Gilman Bill James Danny Kalmus Jim Long Donald Lynch, Jr. Ryan McGinn

Chris Moline Bob Myers Michael Owings Bill Rauser Joe Smith Gregory Wall Bob Weickgenannt Howard Warfield

PAST PRESIDENTS Bill Rauser John Martindale Dave Chmura Michael Owings

Donald F. Lynch, Jr. Guy Caiazzo Taylor Classen Joe Smith

SPONSORS Members do business with members Presenting Members

before&after This client requested a remodel to support the changing needs of the family. The kitchen was expanded and renovated, a home office/command center was created, the mudroom was enlarged and the guest bathroom renovated which allowed a simple guest room now to function as a guest suite. The music room was enlarged and the office relocated to the second floor. The living room cabinetry and the fireplace wall were renovated to enhance those living spaces. A new custom trim was added to visually break up the length of the long corridor that has a dramatic focal point wall at its end. n

ChesapeakeHome Magazine

Why join HBAM Remodelers? IWIF Workers’ Compensation Insurance

John H. Myers & Son

Saratoga Insurance

T.W. Perry

Versatex Trimboard

Member Benefits HBAM Remodelers offers many benefits to its members. Remodelers benefit from a variety of educational, mentoring and networking opportunities. In addition, the HBAM Remodeler’s serves to improve the quality of the industry and its members through these programs. By promoting certification programs to consumers, members of the council are sought after for their strong professional and ethical principles.

News & Information

Ready to Join? www.mdremodelers.org The fee is $65.00 per year. For additional information on the HBAM Remodelers Council, contact Felicia Fleming at felicia@homebuilders.org or 410-265-7400, ext. 115.

National: Members of the Council receive a free subscription to Professional Remodeler magazine. Each issue focuses on practical business insights from the country’s leading remodelers. Members also receive NAHB Renews, a monthly e-newsletter about national news that affects our industry. Regional: Members of the Council receive a free subscription to ChesapeakeHome Magazine and are offered special advertising opportunities designed to help them reach upscale homeowners. Local: The council is featured in each issue of HomeFront, HBAM’s monthly enewsletter to promote its members, programs and events. Mid-Atlantic Remodeler is included in each issue of Mid-Atlantic Builder magazine.

Contact Chris at 410-265-7400, ext. 121 about Sponsorship Opportunities

MID-ATLANTIC REMODELER A Supplement to Mid-Atlantic Builder JULY/AUGUST 2014 www.homebuilders.org

events

president’smessage

Looking Ahead This has been an exciting year for HBAM, and it has been an honor to serve as President of the Remodelers Council during this time. As I look back over 2014, I am extremely proud of what we as an association have accomplished. After years of hard work and lengthy discussions, 2014 is the year that the merger between the Maryland-National Capital Building Industry Association and the Home Builders Association of Maryland is actually taking place. If all goes as planned, the merger will officially take place this fall, and we will be unified into the new Maryland Building Industry Association. This is quite an achievement, when you think about it, and one that can serve remodelers well. Our membership is increasing significantly through the merger, which means more networking opportunities for us. Also, there are benefits in terms of having a stronger voice in Annapolis. So, I encourage all remodelers to get involved. Now is the perfect time to step forward and be willing to serve on one of the newly reworked committees, and become more active in the HBAM Remodelers. We need you! This year is also significant in that we have celebrated the Grand Opening of the Maryland Center for Housing. This fine building, that serves as headquarters for the staffs of both our associations, is the result of great effort on the part of many of our members. We have every reason to be proud of this accomplishment as well.

HOME BUILDERS ASSOCIAT ION OF MARYLAND FEATURED REMODELI NG AWARD WINNER

This kitchen provides the owners with a stunning and functional remodel including modern glass front cabinets, under cabinet lighting and top of the line appliances. T. W. Ellis—2013 HBAM Remodelers Award of Excellence Winner

Remodeling Award of Excellence Enter Your Projects Today

Still coming in 2014 is one of the most exciting events for the HBAM Remodelers each year: the Remodeling Awards of Excellence ceremony. I would personally like to invite you to participate in this exceptional program that recognizes the high-quality work that our remodeler members continually produce. To enter, choose the most outstanding project or projects that you completed between January 2, 2012 and June 30, 2014. Make sure you have Before and After photos of your projects. Project registration forms are due on July 31, 2014, and the winners will be announced in a ceremony on November 6, 2014. I hope to see even more entries this year than in 2013! Lastly, be sure to keep inviting your fellow remodelers to join the HBAM Remodelers. Why? Tell them it’s because remodelers benefit from all the educational, mentoring and networking opportunities we offer. Remind them that consumers are always on the lookout for remodelers who are professional, qualified, and trustworthy. So, when your fellow remodelers earn their certifications and promote them to the consumer, they will be sought after.

The HBAM Remodelers Award of Excellence Program recognizes remodeling professionals who provide customers with superior and creative remodeling projects which are sensitive to the existing structure and make appropriate use of the existing building elements, while being compatible with the neighborhood. Award winners are featured in the January issue of Mid-Atlantic Builder and press releases are send to all local media. Don’t miss this great opportunity for exposure and recognition. Visit www.mdremodelers.org or call Felicia Fleming at 410-2657400, ext. 115 or Felicia@ homebuilders.org Deadline to enter

July 31, 2014 Award Ceremony November 6, 2014

Tim Ellis HBAM Remodelers President

Have you seen your Remodeling Award of Excellence project featured in the Baltimore Sun? Don’t miss your opportunity; enter your projects today.

Find a remodeler for your dream kitchen www.homebuilders.org

Remodelers, This could be your featured project, join HBAM today.

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JULY/AUGUST 2014 MID-ATLANTIC REMODELER A Supplement to Mid-Atlantic Builder

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See security and peace of mind in a new light.

BGE Private Area Lighting Program

See our lighting and pole options. Ask for a copy of our brochure.

Lots of choices — without lots of hassle! BGE Outdoor Lighting is the area’s leading provider of outdoor lighting service — and the smart choice for your residential or commercial outdoor lighting needs. With design assistance, installation, service and maintenance, BGE’s Private Area Lighting Program offers the complete package. For more information or to schedule an appointment with a BGE Private Area Lighting account representative, please call 410-470-9446 or visit www.bge.com/outdoorlighting.

MID-ATLANTIC BUILDER JULY/AUGUST 2014 www.homebuilders.org

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JULY/AUGUST 2014 MID-ATLANTIC BUILDER

NGBS Incentives Tax credits and rebates could be waiting for you.

Could Save

YOU GREEN

he National Green Building Standard™ (ICC 700-2008) was approved by the American National Standards Institute as an American National Standard on January 29, 2009. As part of a subsequent updating and maintenance effort for the standard, the 2012 version of the NGBS (ICC 700-2012) was approved by ANSI on January 10, 2013. The NGBS provides criteria for rating the environmental impact of design and construction practices to achieve conformance with specified performance levels for green residential buildings. Since being approved by ANSI, municipalities and government officials have consistently deemed the NGBS on par or superior to other residential green rating systems. USDA Rural Development, Multifamily Housing Energy Efficiency Initiative – applicants to several Rural Rental Housing, Farm Labor Housing, Housing Preservation Grants, and Multifamily Housing Revitalization grants and loans are eligible to receive additional points for new construction and rehabilitation projects that are certified to the NGBS, LEED for Homes, Enterprise Green Communities, and/or Energy Star. Points awarded for each certification obtained and more points will be awarded for higher certification levels. See more at www.rurdev.usda.gov/eehome.html Following are incentives in the Mid-Atlantic region.

Baltimore County In October 2013, Baltimore County revised its Tax Credit for High-Performance Buildings. Under this new policy, five-year tax credits for NGBS Green Certified multifamily buildings have been increased and extended as follows: 50 percent for Silver Level; 60 percent for Gold; 80 percent for Emerald.

District of Columbia

New Jersey

Effective March 28, 2014, all commercial and large multifamily developments (4 stories and higher) must meet the DC Construction Code, which includes NGBS compliance as an acceptable method to meet the ordinance’s requirements.

The New Jersey Urban Transit Hub Tax Credit Program provides a tax credit for residential projects for up to 35 percent of total eligible costs. Urban Transit Hubs are located within ½ mile of New Jersey Transit, PATH, PATCO, or light rail stations in Camden (expanded to one mile), East Orange, Elizabeth, Hoboken, Jersey City, Newark, New Brunswick, Paterson, and Trenton. Currently, the UTHTC requires buildings to meet the NJ Green Building Manual; however, since the Manual has not yet been adopted buildings must comply with the State’s Green Guidelines. Both the Interim Green Guidelines and the draft NJ Green Building Manual includes compliance with ICC 700 NGBS as a compliance method.

Maryland In April 2011, Governor O’Malley signed HB 630 which expands the definition of High Performance Homes to include those certified as Silver, Gold, or Emerald under the National Green Building Standard, as well as homes certified as Silver, Gold, or Platinum under the LEED for Homes rating system.

Howard County Sliding-scale tax credit up to $5,000 per year for up to four years for buildings certified at the Silver level or higher.

Qualified Allocation Plan The Maryland Qualified Allocation Plan for Low-Income Housing Tax Credits awards 12 points for projects that are certified to the NGBS, LEED, Green Globes, Enterprise Green Communities, or Earthcraft. Ten points are available to projects that meet the requirements of those green building standards but do not seek certification.

Qualified Allocation Plan The New Jersey Qualified Allocation Plan for Low-Income Housing Tax Credits awards 4 points for NGBS, LEED, and Energy Star certification or successful participation in the Climate Choice Homes Program or New Jersey Green Future Program.

Anne Arundel County Five year tax credit for new and renovated buildings NGBS-certified at the following rates: 40 percent, not to exceed $1,000 at the Silver level; 60 percent, not to exceed $3,000 at the Gold level; and 80 percent not to exceed $3,000 at the Emerald level.

In Pennsylvania, the High Performance Building Program provides financial assistance in the form of grant or loan funds for eligible applicants to underwrite the cost premiums associated with the design and construction or major renovation of high performance buildings in the state. Eligible residential projects must meet the criteria of NGBS, LEED, or Green Globes, with a few additional requirements that were specified by the State of Pennsylvania. Loans are available up to $10,000 and grants up to $500,000. n

www.homebuilders.org

Pennsylvania

JULY/AUGUST 2014 MID-ATLANTIC BUILDER

New Requirements Issued under the Federal Safe Drinking Water Act

Lead Free

Pipes and Plumbing Fixtures FAQ

PA has issued a final guidance document on changes made by the Reduction of Lead in Drinking Water Act that took effect Jan. 4, 2014. All dealers, retailers and installers must not sell non-compliant products after that date, even if they are part of existing inventory. The new amendments are modeled after existing California regulations for lead-free plumbing fittings and fixtures.

What is the new requirement?

What about repairs and replacement parts?

The standard for what is considered to be lead free has been revised. The amendment lowers the maximum allowable lead content of plumbing products such as pipes and fixtures from 8.0 percent to 0.25 percent.

While the new requirements apply to new installations, they do not apply to repairs (including temporary removal for this purpose) of pipes, fittings or fixtures installed before Jan. 4. However, if new parts are being used in the repairs, they will need to meet the new requirements with the exception of those pipes, fittings or fixtures that are part of a device that meets the new definition of lead free.

What are the other changes in the amendments? The amendments add exemptions to the lead-free requirements for any pipe, pipe or plumbing fitting or fixture, solder or flux but only if used exclusively for non-potable services or not anticipated to be used for human consumption. A non-potable service does not provide water suitable for drinking, food preparation, dishwashing or maintaining oral hygiene.

Are there any differences between the new changes and the current California regulations? Yes. California regulates plumbing products that are intended to provide water consumption. This federal act, on the other hand, includes service products that are anticipated to be used for human consumption. This means that even if the water passing through the plumbing product is not intended for human consumption but can still be used for that purpose, it must conform to the new requirements. For example, EPA has reasoned that fire hydrants are anticipated for use for human consumption because they “can be, and are, used in emergency situations to provide drinking water.”

What is the effective compliance date? The statute took effect Jan. 4, 2014. That means that all covered products that are “introduced into commerce” from now on will need to meet the new requirements.

What does “introduce into commerce” encompass? EPA has interpreted “introduce into commerce” under the Safe Drinking Water Act to not only cover the initial offering of products for sale but also the distribution from an inventory of products. This means that any pipe, fitting or fixture installed after Jan. 4 must also meet the new lead-free definition. Therefore, any products that were not used by or installed by Jan. 4 are no longer lawful for sale or use regardless of the manufactured-by date. www.homebuilders.org

Was there a rulemaking and a public comment period to implement the new requirement? No. However, on Aug.16, 2012, EPA held a webinar with stakeholders to discuss potential ramifications that this change entails, then solicited comments from the attendees on issues and concerns related to the new requirements. EPA used the webinar proceedings and the solicited input in formulating a draft FAQ published for public comment on May 23, 2013. The feedback from the FAQ draft was used to create the final guidance document. EPA did not publish the draft nor the final guidance in the Federal Register, which would have been required if EPA had issued a proposed or final rulemaking. In addition, the comments received by EPA were not made available to the public.

How will the lead free requirement be enforced? States will enforce it through state or local plumbing codes or other appropriate means. If EPA determines that a state is not enforcing the requirements properly, it can withhold up to 5 percent of federal funds for program grants. More recently, on Nov. 12, 2013, the organization that promulgates the Uniform Plumbing Code, adopted in the western states, issued Tentative Interim Amendments for the 2009 and 2012 versions of the UPC, applying the new lead free requirement to these codes. In addition, states and localities have discretion to include additional requirements that may include further limitations.

JULY/AUGUST 2014 MID-ATLANTIC BUILDER

Elevate your standard of living

Will there be a shortage of compliant products on the manufacturing end? Because California’s regulations have been in effect since 2010, it is likely that all major manufacturers are already in compliance. However, the amendments may present an obstacle for smaller manufacturers or suppliers because they may incur a loss if they retain unsold inventory that does not meet the new requirements. Most manufacturers, distributors and retailers of plumbing pipe and fixtures are well aware of the law. Therefore, while there may be existing inventory that will present a loss, it is unlikely that the supply of products compliant with the new requirement will be affected.

How can a builder or remodeler ensure that the product being used is compliant with the new requirement? EPA’s guidance document provides information on identifying and purchasing compliant products, and you can also download How to Identify Lead Free Certification Marks for Drinking Water System & Plumbing Materials.

What are EPA’s next steps? EPA emphasizes that its FAQs are advisory in nature and intended to offer recommendations to help the public understand the statutory requirements. EPA plans to further clarify issues related to these provisions in a future rulemaking. EPA concludes that it is interested in feedback on its FAQs and predicts that it may revise or supplement this guidance document from time to time. ■

888-353-8878

email Angel@rcmelevators.com for information

rcmelevators.com

MID-ATLANTIC BUILDER JULY/AUGUST 2014

www.homebuilders.org

BUILDER MART 2015 March 25, 2015

Still ROCKIN’ after all these years! Don’t miss your chance to reserve the best booth space. Contact Chris Baughan at 410-265-7400, ext. 121 or chris@homebuilders.org. www.homebuilders.org

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JULY/AUGUST 2014 MID-ATLANTIC BUILDER

Sherwin-Williams

Colormix

PREDICTS OPTIMISTIC

2015

Annual color forecast reveals bright, vibrant outlook

he world of color is moving in vibrant new directions. The Sherwin-Williams colormix 2015 collection tells optimistic color stories that reflect a brightened outlook and adventurous spirit for the year ahead. The colormix palettes provide design professionals with fresh color combinations to inspire creativity as they design spaces for their clients. “We’re seeing a more cheerful approach to design and have forecasted colors that will provide a range of inspiration for designers to create fresh, joyful interiors,” said Jackie Jordan, director of color marketing, Sherwin-Williams.

Jordan, along with Sherwin-Williams color experts, researched trends in art, fashion, science and pop culture to determine the 40 colors that make up the forecast. The colors are grouped into four palettes: Chrysalis, Voyage, Buoyant and Unrestrained.

Roycroft Mist Gray (SW 2844)

Aqua-Sphere (SW 7613)

Moody Blue (SW 6221)

Willow Tree (SW 7741)

Bona Fide Beige (SW 6065)

Sticks & Stones (SW 7503)

Oyster Bar (SW 7565)

White Hyacinth (SW 0046)

Cotton White (SW 7104)

Black Fox (SW 7020)

Chrysalis As technology rushes relentlessly ahead, the colors of Chrysalis evoke a calm oasis — a place to pause and find balance. The palette, with colors ranging from off-black to chalky neutrals and dusty blues, is designed to create a more comfortable interior. “An important influence for Chrysalis is the appreciation of earth’s natural striations,” said Jordan. “The patterns created by land and sky are driving design inspiration, therefore the palette’s colors are found in nature, from rocks found on the beach to a stormy sky.” Another driver is the layering and deconstruction of geometric shapes to appear soft, which parallels the monochromatic couture found on fashion runways.

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JULY/AUGUST 2014 MID-ATLANTIC BUILDER

Cyberspace (SW 7076)

Cloak Gray (SW 6278)

Expressive Plum (SW 6271)

Decorous Amber (SW 0007)

Antiquity (SW 6402)

Impetuous (SW 6916)

Crystal Clear (SW 6756)

Watery (SW 6478)

Riverway (SW 6222)

Seaworthy (SW 7620)

Voyage From space tourism and undersea resorts, the far-fetched, sci-fi dreams of past decades more viable than ever. The Voyage palette looks to these outer limits, featuring hues that represent the color spectrum imagined while emerging from the water into the atmosphere – undersea teal, bright green kelp, light watery blue and deep space purple. “The colors of Voyage are supernatural and magical. The palette is largely driven by unusual atmospheric events, including a decade-best aurora borealis, that will be keeping our eyes focused on the heavens,” said Jordan. “The lighter colors of the palette create a space that is uplifting, while the deeper tones can be combined for a more dramatic design.”

Roycroft Bottle Green (SW 2847)

Cape Verde (SW 6482)

Paradise (SW 6720)

Ryegrass (SW 6423)

Wood Violet (SW 6557)

Baroness (SW 6837)

Hubbard Squash (SW 0044)

Coral Reef (SW 6606)

Pier (SW 7545)

Sedate Gray (SW 6169)

Buoyant “We’ve weathered the recession and are finally seeing hopeful signs of growth and expansion. Our revived good spirits echo the optimism that followed World War II, when GIs returned home from exotic locales, bringing a wave of tropical prints and tiki-inspired looks,” said Jordan. “Like that era, we’re expressing our enthusiasm with big, bright florals in fashion and interiors.” The colors of Buoyant are reminiscent of vintage floral patterns – light and deep greens, violets and a pop of coral. In addition to renewed optimism, the palette is also inspired by the natural healing of botanicals, as well as the incorporation of green spaces into even the most densely urban environments. Backyards, once a landscaping afterthought, are now as important as front yards, with builders investing in rear “curb appeal” and outdoor rooms.

MID-ATLANTIC BUILDER JULY/AUGUST 2014 www.homebuilders.org

Frank Blue (SW 6967)

Flyway (SW 6794)

Nifty Turquoise (SW 6941)

Pickle (SW 6725)

Black Magic (SW 6991)

Marshmallow (SW 7001)

Humorous Green (SW 6918)

Decisive Yellow (SW 6902)

Marquis Orange (SW 6650)

Tanager (SW 6601)

Unrestrained From bold, ethnic-inspired colors and designs to the Bohemian lifestyle, the Unrestrained palette celebrates a carefree spirit, wanderlust and pulsing color. The palette features saturated primary hues, including sunny yellow, lively turquoise and bright blue, as well as black and white. Each can be used on its own for a pop of color, or combined, to create a vibrant, energetic space. “South Africa’s colorful art scene and focus on the 2016 Summer Olympics in Rio de Janeiro have strongly influenced a Carnival-like spirit. This spirit is inspiring design with a zest for life, and the vibrant colors of Unrestrained are a reflection of that design aesthetic,” said Jordan.

Color Resources In addition to the colormix 2015 palettes, professionals can find inspiration with color selection tools from Sherwin-Williams. At swcolor.com, design professionals can view all Sherwin-Williams colors and collections, link to downloadable palettes for use in color rendering software and access the online Color Visualizer. Designers can also register on myS-W.com and order large-sized color swatches and fan decks.

www.homebuilders.org

Sherwin-Williams STIR® magazine annual print edition and eExtra e-newsletters also provide inspiration, news and resources for design professionals. Visit swstir.com, as well as search for “Sherwin-Williams Design Pros” on your favorite social channels including Facebook® and Twitter®. Design professionals will also find a world of color at their fingertips with the enhanced Sherwin-Williams ColorSnap Studio™ iPad® app. ColorSnap Studio blends the best of Sherwin-Williams color inspiration tools — the ColorSnap® smartphone app, the online Color Visualizer, plus the Explore Color functionality — into one iPad app. n

JULY/AUGUST 2014 MID-ATLANTIC BUILDER

stats&facts By the Numbers

12%

Less Land, Fewer Model Homes BY BEN SAGE

Annual rate of starts in Suburban Maryland ending 1Q14 is up 12 percent from 8,213 a year ago to 9,179 presently.

down from a year ago in the first quarter.

428

model homes at the end of 1Q14, Metrostudy counted. In my visits with builders around the Mid-Atlantic region, it is evident that sales this year are below expectations and Metrostudy tracking backs that up. Even though the annual rate of starts in Suburban Maryland ending 1Q14 is up 12 percent from 8,213 a year ago to 9,179 presently, starts in the first quarter alone were down 6 percent from a year ago. Metrostudy includes Washington DC in our Maryland tracking, and starts were relatively strong in the District to start the year. That means first quarter starts in “the rest” of Maryland (Washington to St. Mary’s to Cecil Counties) were down even more – minus 12 percent. Interestingly, there have been a couple of builders that are relatively pleased with how their year is going so far, and I noticed that these builders tended to be more Maryland oriented. How could they be exceeding last year’s results while most builders are struggling to maintain market share? Their secret could simply be community count. Using the number of model homes as a proxy for builder stores, it is clear that there are fewer offerings in Maryland right now compared to a year ago. Metrostudy counted 428 model homes at the end of 1Q14, which is down from 472 model homes a year ago and down from 497 models the year before that. This further exemplifies the difficulty builders are having acquiring enough land to replace their maturing communities, much less position themselves for growth. For those builders with actively selling communities, even though building activity levels are down overall, the ratio of closings per model home is actually up slightly from one year ago. It looks like the region overall will struggle to expand starts this year, despite low inventories of new and resale homes. We still believe that Suburban Maryland is poised for growth and that economic tailwinds will contribute to an improving new-home market going forward. But this is, by far, the slowest (national) economic expansion in recent history, and home buyer confidence is still on the rebound. The market will grow, but we are learning to have modest growth expectations for the time being. n

Ben Sage, Director of Metrostudy’s Mid-Atlantic Region, has been researching and analyzing housing markets since 1994, when he first joined Metrostudy. He regularly meets and consults with many of the top homebuilders in the country as well as with lenders, developers, investors, and utilities concerning trends in the local economy and their effect on the real estate market. He can be reached at bsage@metrostudy.com.

MID-ATLANTIC BUILDER JULY/AUGUST 2014 www.homebuilders.org

Suburban Maryland Model Closings Model Inventory 2004

2005

2006

Observed Closings 3,234

203

622

494

2012

474

2013

2,060

2,222

503

452

438

9.18

3,188

638

2011

11.34

4,528

493

2008

2010

15.93

3,640

321

2007

2009

Closings/Model

1,712

5.00

3.31

4.42

3.79

1,833

1,966

2,331

3.71

4.15

5.32

Data from Maryland Counties Anne Arundel Baltimore City Baltimore County Calvert Carroll Cecil Charles Frederick www.homebuilders.org

Harford Howard Montgomery Prince George’s Queen Anne’s St. Mary’s Washington

JULY/AUGUST 2014 MID-ATLANTIC BUILDER

green building BUILDING HOMES – BUILDING SUCCESS

Getting to Green, how far have we come?? BY H. ALAN MOONEY, P.E. President, Criterium Engineers

If you visit the websites of most of the major building material and component manufactures and suppliers, you will find a common theme – green building.

t’s not bright green yet; perhaps light green. It’s more evolution than revolution. But, of course, we had a major recession to contend with along the way and major changes seldom happen overnight. Since the Home Builders Association of Maryland has recently moved into its new building, the very green Maryland Center for Housing, it seems worth reviewing where we are with “building green.” As you read the following, keep in mind these two points: 1. For some, performance matters more than ratings 2. There is risk in building green First, to review, from my Mid-Atlantic Builder article in the March/April 2009 issue - Getting to Green: It’s 2009, Where Are We? It has been nearly three years since I started writing this column for Mid Atlantic Builder. It seems appropriate to take a look at what progress has been made toward Green Building in that time.

The Industry If you visit the websites of most of the major building material and component manufactures and suppliers, you will find a common theme – green building. Here are a few examples. www.buildingresponsibly.com- the CertainTeed site for green building products. www.usg.com- the US Gypsum site now offers a LEED REPORT tool that helps you determine the potential LEED rating for your chosen combination of materials.

www.weyerhaeuser.com- The Weyerhaeuser site is very focused on sustainability and responsibility for its products and its whole manufacturing process. www.sherwin-williams.com- The Sherwin Williams website has an extensive section on “green solutions,” LEED certification and sustainability. These are just a few examples of a major shift in the industry toward providing GREEN products and sustainable construction solutions. Further, many of these sites demonstrate a commitment by the company to be “green” in their operations. Those noted above are still there along with many, many more building related sites committed to green construction. Many of the following businesses are entirely new and totally committed to green construction. www.greenbuildingsupply.com “Your eco-friendly home center… It’s heaven! It’s a one-stop-shop for all your natural and eco-friendly home building products.” www.greendepot.com “Environmental living and building… Our Green Depot Icon System is designed to show at a glance why we call a particular item green.” www.ecosupplycenter.com “Sustainable building Materials plus value added services” www.eco-buildingproducts.com “Our Eco-Building Products team, trained in the science of green building, has selected a number of innovative, high-performance, green building products and renewable-energy systems that are environmentally friendly, natural-resource sensible, energy-efficient, non-toxic and affordable.”

MID-ATLANTIC BUILDER JULY/AUGUST 2014 www.homebuilders.org

www.natureneutral.com “…environmentally preferable products and building supplies for construction, renovation and everyday living…. we can help you create a healthier and safer environment both inside and outside because our environmentally preferable products are all made with non-toxic or less toxic substances.” In addition to checking the Internet for green building suppliers, we also reviewed some information from the construction industry, specifically a recent McGraw Hill Construction’s Dodge Construction Market Forecast. You can access the report and other Dodge services at www.construction.com/market_research Here are some highlights from that report. • The green construction is a growing market; by 2016 the green single family housing market alone will represent approximately 26 percent to 33 percent of the single family market. • Lenders and appraisers appear to be starting to recognize the value of green homes • Local companies are also noticing the trend and cite consumer expectations as one reason more builders are opting to seek green home certifications. • At this time, 62 percent of firms building single-family homes report that they are doing more than 15 percent of their projects green. • By 2018, 84 percent expect to build 15 percent of their homes green. • At this time, 54 percent of firms building multi-family projects report that they are doing more than 15 percent of their projects green. • By 2018, 79 percent of multi-family homebuilders anticipate building 15 percent of their homes green. • At this time, 19 percent of contractors in the single-family market are dedicated to green building (doing more than 90 percent of their projects green). • By 2018, it is expected to be 38 percent of contractors dedicated to green building.

www.homebuilders.org

The study finds that builders and remodelers in the single-family and multifamily sectors are recognizing the value of green: 73 percent of singlefamily builders (up from 61 percent since the last report) and 68 percent of multifamily builders say consumers will pay more for green homes. So, the trend is positive. It’s probably slower than some expected, but it is positive. We are all thinking more about sustainability, resource conservation and energy efficiency. There are two other trends we have noticed from our work with builders all over the country:

RESIDENTIAL WARRANTY COMPANY, LLC

JULY/AUGUST 2014 MID-ATLANTIC BUILDER

1. Performance matters more than ratings. Whether it’s a LEED-H rating or a NGBS rating, we are hearing more builders say that they are concentrating on verifiable energy performance and the use of local, sustainable materials more than they are on achieving a particular rating. Their observation is that if a customer is concerned about green construction, they are more interested in specific results than they are in a rating. For the customer, the rating is often something they don’t understand and for the builder it takes more time and money to obtain a rating. 2. There is risk in building green Building green means higher expectations for your buyers. Higher expectations, higher probability of unfulfilled expectations. Unfulfilled expectations means disputes and litigation. You can manage your risk by knowing how your home will perform and promising somewhat less than that. We are aware of litigation related to green construction allegedly not performing; don’t over promise.

As you read my columns, if you have questions, please feel free to send me an e-mail (hamoooney@criterium-engineers.com), I will try to respond in a future issue or respond to you directly. Working together, my goal is to help explore new and better ways for you to build homes that you can be proud of and that will turn your customers into some of your best sales people! n

Criterium Engineers has specialized in residential construction for more than 50 years, with more than 60 offices in 35 states. We have evaluated more than 750,000 buildings. H. Alan Mooney, P.E, President of Criterium Engineers, is a licensed, Professional Engineer in 8 states, with more than 35 years experience and has been the author and presenter for various NAHB programs. For more information, please visit www.criterium-engineers.com and www.criterium-quality.com.

What is your signature? Finally, as in past issues, I want to emphasize the importance of your signature as a builder. Here is a summary of the key points. Homebuyers will choose you because they are confident that you will provide a good product for them. 1. Responsive service 2. F undamental Construction Quality – not claims that “I build a great house” but proof! Show them the construction details that are your standard. Explain the materials you use, and why. Tell them about how you train your crew and how you choose your subs. 3. Follow through and follow up 4. Manage expectations 5. Responsive Service – I know, that’s the same as #1, but it can’t be overemphasized. Note number two – it’s important to build a good home. Word of Mouth is the most powerful advertising you, as a builder, can have, especially in our “social media” intense world. Your reputation, your “signature,” is controlled by what people think of you. Delivering a well built house that you, as a craftsman, can be proud of is only part of the process. Establishing a respectful, trusting, friendly relationship with your customer is equally, if not more, important.

MID-ATLANTIC BUILDER JULY/AUGUST 2014 www.homebuilders.org

governmentaffairs Baltimore City The City has re-authorized the Newly Constructed Dwellings tax credit, an important tax credit for HBAM members. This tax credit provides for a 50 percent real tax credit for the first year after purchasing a home, and reduces 10 percent a year until it expires.

Anne Arundel County Impact Fees Residential (By Square Foot)

Roads

Schools

Safety

Total

Under 500 feet

1504

2273

102

$3,879

500-999

2467

4184

165

$6,816

1000-1499

3203

5737

215

$9,155

Anne Arundel County

1500-1999

3716

6758

248

$10,722

New Impact fees go into effect July 1. These fees are required by the County Code and adjust based on changes to the (ENR) Engineering News Recordâ&#x20AC;&#x2122;s most recent 20city annual national average construction cost index.

2000-2499

4101

7521

274

$11,896

2500-2999

4399

8132

294

$12,825

3000-3499

4626

8639

309

$13,574

3500-3999

4838

9074

324

$14,236

4000-4499

5031

9455

337

$14,823

4500-4999

5203

9792

348

$15,343

5000-5499

5351

10097

357

$15,805

5500-5999

5475

10373

367

$16,215

6000 and over

5539

10502

370

$16,411

Baltimore County Baltimore County DEPS will no longer sign off on U and O permits for jobs not on well and septic lots. Â Unless the developments are in the Chesapeake Bay Critical Area or on well and septic, the Baltimore County Building Inspections unit will be signing off on the U and O permits and you will not be required to also get a DEPS signature.

Carroll County HBAM efforts to delay water and sewer connection fees to Building Permit, currently due at recordation, have hit another snag and are currently stalled. The Chapter has long supported this move to delay payment of these fees and believe this will significantly benefit our members from having to carry the cost from recordation through the development process. Our Carroll County Chapter plans to follow-up with DPW and continue to push this effort. Other municipalities in Carroll require the fee at building permit, not recordation, and we do not believe there are compelling reasons not to make this change on the county level.

www.homebuilders.org

Howard County

Wicomico County

Councilwoman Jennifer Terrasa has introduced new pre-submission community input meeting legislation, which will require developers to notify School Principals and the PTA President of any school impacted by a proposed project. Notification must be made by first class mail and electronically. This is a follow-up bill to one she introduced previously and ultimately tabled because of concerns raised by citizen groups, council members, and HBAM. Our Chapter was able to work with her on several compromises, and scored wins for our members including striking the return-receipt mail requirement, struck the original school notification requirement of any school within a 3-mile radius of a project, and simplified the Principal/ PTA President notification requirement by not requiring mail to specific names, just the positions.

Effective July 1, Wicomico County will have no impact fee, a savings of $5,000 per house. The county budget includes a $370,000 set aside to offset the lost revenue from this waiver. When a building permit is applied for, the builder will fill out an application for a grant in the amount of $5,000, which will reimburse the county. The money is enough to waive 74 permits. The Council and County Executive have indicated support for extending the program and adding more money into the program if and when it is used up. n

Michael Harrison VP Government Affairs 410-265-7400, ext. 109 michael@homebuilders.org

JULY/AUGUST 2014 MID-ATLANTIC BUILDER

HBAM Welcomes New Members BUILDERS Arrisbrook Builders Spencer Padgett PO Box 1179 Edgewater, MD 21037 Phone: 410-571-5771 www.arrisbrook.com Builder â&#x20AC;&#x201C; Custom Blaco, LLC Roger Black 5851 Deale Churchton Rd. #2, Deale, MD 20751 Phone: (443) 607-6460 Builder Independence Housing Group, LLC William Dixon 4 Evergreen Road, Suite 200 Severna Park, MD 21146 Phone: 443-249-3664 www.independencehousing.com Remodeler - Specialty

DEVELOPERS A M K Development Marshall Klein 2011 Klein Plaza Drive Forest Hill, MD 21050 Phone: (410) 515-9303 Developer

IsLAND Companies, LLC Jay Amin 1651 Wickham Way Crofton, MD 21114 Phone: (732) 778-9780 Developer

REMODLERS GO GLASS CORP. Brett Towers 805 SNOW HILL RD SALISBURY, MD 21804 Phone: (410) 742-1151 Remodeler

ASSOCIATES Alside/Revere Building Products David Wise 8436 Terminal Road Lorton, VA 22079 Phone: (443) 695-0516 www.associatedmaterials.com Supplier - Siding Atlantic/Smith Cropper & Deeley Travis Hinman P.O. Box 770 Willards, MD 21874 Phone: (410) 835-2000 Professional Services Insurance

Bayshore Mortgage Funding Sharon Breen 1910 Towne Centre Blvd/ Annapolis, MD 21401 Phone: (443) 603-0305 Professional Services Banking & Mortgage

Home First Title Group Michelle Raines Black 1655 Crofton Blvd. #201 Crofton, MD 21114 Phone: (410) 451-8844 Professional Services Titles & Settlement

Capital Funding LLC Mary Jo Taylor 1422 Clarkview Road Baltimore, MD 21209 Phone: 410-513-8707

New America Financial Neil Kantor 2273 Research Blvd. Suite 700 Rockville, MD 20850 Phone: 301-956-2900 www.newamericafinancial.com Professional Services Banking & Mortgage

Community Management Corporation Andrew Wagner 4840 Westifields Blvd Chantilly, VA 20151 Phone: (703) 230-8623 Ecological Restoration & Management, Inc. Bill Pearson 10600 York Road, Suite 203 Cockeysville, MD 21030 Phone: (410) 337-4899 Subcontractor Landscaping & Lawn Care

R & P Settlement Group, LLC Dan Radebaugh 809 Gleneagles Court, Suite 119 Towson, MD 21286 Phone: (410) 821-1401 Professional Services Titles & Settlement

Emser Tile Michael Janus 7447 New Ridge Road Hanover, MD 21076 Phone: (410) 595-2100

MID-ATLANTIC BUILDER JULY/AUGUST 2014 www.homebuilders.org

foundation

Walbrook Mill & Lumber Co Relocated to

SACO SUPPLY in Cockeysville Just minutes off I-83 or York Rd

NOT A BIG BOX STORE! Personalized Service, Knowledgeable Staff

Building Materials

Rebuilding Together Howard County Renovated 27 Homes

n Saturday, April 26, over 800 volunteers from 26 businesses and organizations renovated 23 privately-owned homes and 4 nonprofit centers in Howard County. As part of Rebuilding Day, volunteers continued a tradition in the county of working to preserve affordable homeownership and revitalizing neighborhoods by provided home repair and modification services to those in need. The Home Builders Associaton of Maryland’s Foundation, the Building Industries Foundation, has played an active role in Rebuilding Together. BIA board member, and former HBAM president, Christopher Rachuba sits on their board. “The efforts of these volunteers and businesses exemplify the sense of community that makes Howard County such a special place,” says Howard County Executive Ken Ulman. “They are an army of volunteers coming together with a common purpose and providing a much needed service in our community. Rebuilding Day is one way we show we really are a community in Howard County that cares about all of our residents.” To find out more about Rebuilding Together Howard County and its programs, or how you can help, please call Rebuilding Together Howard County at 410-381-3338 or visit www.rebuildingtogetherhowardcournty.org. ■

Extensive Molding Inventory Framing/Treated Lumber Engineered Lumber PVC/Composites CEDAR Kitchen Cabinets Hardware

Architectural Millwork Custom Windows and Doors Custom Molding Kitchen Cabinets Circle Work

410-462-2200 • 410-771-1515 ily Fam ned Ow RS Y 95

109 W Cockeysville Rd The Professional’s Source

walbrooklumber.com www.homebuilders.org

JULY/AUGUST 2014 MID-ATLANTIC BUILDER

ad list Appliance Distributers Unlimited Page 5 BGE Outdoor Lighting Page 24 Builders Mutual Insurance Page 1 California Closets Page 44 GE Contract Sales Back Cover KNLB Page 7 Premier Lifts Page 25 Raymond Maule Page 30 Residential Warranty Page 39 Southern Pacific Page 3 Tremco Barrier Solutions Inside Back Cover Vintage Security Inisde Front Cover Walbrook Mill & Lumber Co Page 43 For advertising opportunities please contact Chris Baughan chris@homebuilders.org or 410-265-7400, ext. 121 Did you Know? “Magazine readers pay attention to magazine ads. They don’t avoid the advertising as they do with other media.” Source: BIGResearch Simultaneous Media Usage Study

MID-ATLANTIC BUILDER JULY/AUGUST 2014

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How will you meet 2012 Energy Code requirements?

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Contact Eddy Esplund, Tremco Barrier Solutions, to schedule a no-obligation “Energy Trade-Off Analysis” on your most popular home models. Learn how the Enviro-Dri WRB can reduce air changes, reduce your construction costs, and help you meet the 2012 IECC code. EDDY ESPLUND, CSI-CDT AT 609.206.7624 EESPLUND@TREMCOINC.COM

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JULY/AUGUST 2014 MID-ATLANTIC BUILDER

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MID-ATLANTIC BUILDER JULY/AUGUST 2014 www.homebuilders.org