The official magazine of the North Carolina Home Builders Association
Vol. 40, No.6, November/December 2010
STARS Awards Honors Home Building Achievements Seven Receive Master Builder Designations 21CBEC Highlights
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Features Visit us at booth #834
V ol . 40, N o . 6, N ovember /D ecember 2010
STARS Awards winners announced
8
2010 Short Session successful for housing industry
10
Seven receive master builder designations
12
Foundation awards $21,000 in scholarships
13
Builders, associates turn out for 21CBEC
14
Contents
The official magazine of the North Carolina Home Builders Association
Dedicated to the advancement of the home building industry, North Carolina Builder (ISSN 1552-8685) is published monthly for the members of the North Carolina Home Builders Association, P.O. Box 99090, Raleigh, N.C. 27624-9090. (800) 662-7129 • http://www.nchba.com Mike Carpenter Executive Vice President and General Counsel
mcarpenter@nchba.org
Lisa Martin Director of Government Affairs
lmartin@nchba.org
Robert Privott Director of Codes and Construction rprivott@nchba.org Jessica Hayes Director of Political Affairs Kathryn Atkinson Director of Membership Services Deborah Alford Director of Exhibitions and Education
4. President’s Message
2005 Communicator Award Winner
jhayes@nchba.org katkinson@nchba.org dalford@nchba.org
Tracie Garrett Director of Exhibitor Services
tgarrett@nchba.org
Kep Paylor Vocational Education
kpaylor@nchba.org
4. NCHBA News
Mike Elledge Controller
15. Knowledge Builder
Erin Jones Manager of Political Operations
ejones@nchba.org
Heather Crews Director of Communications and Managing Editor
hcrews@nchba.org
On the cover: Portofino in Clayton, N.C., developed by the Walthom Group, a member of the Johnston Co. HBA, took home Master Planned Community of the Year honors in addition to the Best Sales Office/Information Pavilion for a Master Planned Community award. Impact Properties Group LLC, a member of the HBA of Raleigh-Wake Co., received the coveted Detached Community of the Year Award for Weycroft in Cary, N.C.
2010 NCHBA Leadership President: Lyle Gardner President-Elect: Bill Daleure First Vice President: Erik Anderson Secretary/Treasurer: Barry Tutor Executive Vice President: Mike Carpenter Immediate Past President & NAHB Executive Committee State Representative: Frank Wiesner NAHB Executive Committee: Buddy Hughes Vice President, Region I: Patrick Mann Vice President, Region II: Glenn Morrison Vice President, Region III: Chad Ray Vice President, Region IV: Ralph Doggett Vice President, Region V: Densel Williams Vice President, Region VI: Brian Pace Vice President, Region VII: Marty Needham Vice President, Region VIII: Brian Robinett Vice President, Region IX: Kevin Annas Vice President, Region X: Zac Koenig Presidential Appointee: Bill Boulia Presidential Appointee: Rick Shields Presidential Appointee: Mike Gerber Chair, Associate Members Committee: Barry Tutor President, EO/ES Council: Caroline Sutton President, Professional Women in Building: Mary Ann Brafford
November/December 2010
NCHBA Calendar
2010 Schedule of Events
melledge@nchba.org
Brittany Carter Assistant Education Coordinator
bcarter@nchba.org
Beth Gray Receptionist
bgray@nchba.org
Publisher Kevin Naughton Graphic Designer Jason Gabel Advertising Sales Manager Brenda Poe Advertising Sales Jeff Pinwar: (800) 935-1592, ext. 118 jpinwar@printcomm.com Marsha Suwienski: (800) 935-1592, ext. 106 marshas@wildblue.net Brenda Poe: (800) 935-1592, ext. 115 bpoe@printcomm.com Published by:
2929 Davison Rd., Flint, MI 48506 • (810) 239-5763
Dec. 7-8, 2010 4th Quarter Meeting and Installation Banquet Charlotte, N.C. Jan. 12–15, 2011 International Builders Show Orlando, FL Jan. 31-Feb. 4 NCHBA Regional Meetings Statewide
Acceptance of advertising in North Carolina Builder does not imply endorsement of the product or service by NCHBA. Opinions expressed in articles are those of the authors and people quoted and not necessarily those of NCHBA, nor does mention of specific products in editorial content imply endorsement by NCHBA. No material may be reproduced for further publication without the express permission of the association. North Carolina Builder is published for the principals and employees of all member firms of the North Carolina Home Builders Association and its receipt Affiliated with the Association is included in the membership fee. North Carolina National of Home Builders. Builder is published six times per year. Since the mailing list used by North Carolina Builder is compiled according to membership records, address corrections should be directed to your local association. Dues paid to NCHBA are not deductible as charitable contributions for income tax purposes. However, they may be deductible as ordinary and necessary business expenses subject to restrictions imposed as a result of association lobbying activities. NCHBA estimates that the nondeductible portion of your 2010 dues — the portion that is allocable to lobbying — is 25 percent.
North Carolina Builder 3
President’s Message
by Lyle Gardner, 2010 NCHBA President
Thank you for your support of our industry
I
have enjoyed serving as President of our great association during this past year. Leading our association has been a high honor indeed for both me and my wife, Rhonda. Success in 2010 will be defined differently than in Gardner previous years. Clearly, the economic environment we find ourselves in is challenging in a way not seen in our lifetime. My hope for our membership this year has been that we have learned to appreciate our blessings. We have worked on the fundamentals of our businesses, preparing for better times ahead. Our renewed efforts in our personal relationships and reinvigorated spiritual lives will provide home and energy for what lies ahead. Never forget, our industry is one of the noblest professions one can have, providing homes and jobs for North Carolina families. I thank all of the committee chairmen and committee members who have donated so much of their time and energy to make this a successful year. I also thank the professional staff of our association for their determination and dedication.All of the goals accomplished and successful events executed are due to the energetic committee members and hardworking staff. Bill Daleure will be leading our association through 2011. We cannot let him fight our battles alone. All of us must do our part to prevent the continued erosion of our industry by “well-intended” government regulations. It is incumbent on all of us to preserve the American Dream of home ownership for future generations. Once again, I appreciate all that each of you do in support of our industry, our members and our association.
NCHBA News Lexington builder receives bronze green certification Matthews Enterprises Inc. recently completed North Carolina’s first bronze-level certified remodeling/renovation/addition project under the National Green Building Standard. The company converted a screened porch into a usable space for Carolina Cancer Services in Lexington, N.C. The project used a number of green techniques and recycled products. “The satisfaction to me is that we completed a project that is third-party verified,” says Zane Matthews, who owns Matthews Enterprises with his wife Patsy. “We’ve addressed indoor air quality. We used recycled content components. We used local resources and subcontractors.”
N.C.’s first 50+ council launched The HBA of Raleigh-Wake Co. launched North Carolina’s first 50+ Housing Council in October.The council, already the 2nd largest in the country, was established to meet the housing needs and expectations of this growing population segment.The baby boomer generation, born between 1946 and 1964, is transitioning into retirement, and will reach 100 million by 2012! Currently, they are one-quarter of the U.S. population. For more information about joining the council, visit www.hbawake.com.
Contest features high school carpenters The future members of the home building industry put on a showcase of their skills at the 2010 Carpentry Contest at the N.C. State Fair on Oct. 21. In a different contest format this year, all participants were two-man teams consisting of high school students from across the state. First place honors went to the team of Ray Croon and Hunter Livingston, who are students at Caldwell Career Center. They won a $325 premium and an assortment of prizes from the contest sponsors. The team of Jordan Isenhour and Tommy Tusing placed second. They are students at N.F. Woods Advanced Technology and Arts Center in Mooresville. Bo Kirby and Dedrick Long from Caldwell Career Center placed third. “The apprenticeship contests give these workers an opportunity to showcase their skills while having fun at the fair,” Labor Commissioner Cherie Berry said. “I congratulate all of them for taking part in this contest and for learning skills that will benefit them and our state.” NCHBA Past President Frank Wiesner served as chief judge for the competition, along with Buddy Hughes, NCHBA Past President, Lyle Gardner, NCHBA President, Sean Purcell, Builders Mutual Insurance Co., and Ray Rhodes, NCHBA Past President.Twenty teams of two competed in this year’s contest. 4 North Carolina Builder
November/December 2010
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PSNC Energy appliance sales, installation, maintenance and repair are not a part of the regulated services offered by PSNC Energy and are not in any way sanctioned by the North Carolina Utilities Commission. There is no advantage to customers of PSNC Energy if they buy these products or services from PSNC Energy. A customer does not have to buy such products or services in order to continue to receive the same safe and reliable natural gas service from PSNC Energy.
If you’ve ever wondered what goes on at the state HBA level, joining a committee is the best way to find out what your state association staff does on your behalf. Committee work plays an integral role in shaping association policy. From legislative issues to membership retention, there is a committee for everyone to learn and share. I urge you to join a committee and get involved in 2011! — Bill Daleure, 2011 NCHBA President
LIST OF 2011 COMMITTEES q ASSOCIATE MEMBERS
q BUILDING CODES q COMMUNICATIONS
q LEGISLATIVE
q MEMBERSHIP
q REGULATORY AFFAIRS & WORKFORCE HOUSING
q LAND DEVELOPMENT
q NORTH CAROLINA PROFESSIONAL WOMEN IN BUILDING q CONSTRUCTION CAREERS
FIRST NAME_________________________________________ LAST NAME__________________________________________________ COMPANY NAME___________________________________________________________________________________________________ ADDRESS___________________________________________________________________________________________________________ CITY________________________________________________ STATE____________________ ZIP_________________________________ PHONE______________________________________________ FAX__________________________________________________________ EMAIL___________________________________________ HBA OF__________________________________________________________ RETURN NO LATER THAN DECEMBER 31, 2010 TO: NCHBA, P. O. BOX 99090, RALEIGH, NC 27624 OR FAX TO: (919) 676-0402
Committee Meeting Schedule 8:30 a.m. 9 a.m. 9:30 a.m.
Building Codes 8:30-10:00
10 a.m. 10:15 a.m.
Land Development 9:00-10:30
10:30 a.m.
Regulatory Affairs and Workforce Housing 9:30-10:30
New Attendee Orientation 10-10:15
Membership 10:00-noon
11 a.m. 12 noon 1 p.m. 2 p.m. 3 p.m.
NC Professional Women in Building 10:00-noon
Communications 10:30-noon
Green Building Council 10:30-noon
NC BUILDPAC 11:00-noon
LUNCH Associate Members 1:00-3:00
Legislative 1:00-3:00
3:30 p.m. 4 p.m. 4:30 p.m.
Construction Careers 1:00-3:00 Local Presidents Council 3-4:30
Executive Committee 3:00-5:00
Local HBAs EO/ES 3:30-5:00
5 p.m. 6 North Carolina Builder
November/December 2010
2011
NAHB International Builders’ Show The Building Industry’s Biggest Event Returns to Orlando! • More than 175 education sessions taught by industry leaders • More than 1,000 of the industry’s most respected exhibitors • Over 500,000 net square feet of exhibit space
January 12-15, 2011 | orlando | buildersshow.com
STARS Awards honor best of the home building industry
T
he North Carolina Home Builders Association recognized 59 HBA members as winners of the annual STARS Awards on September 15 at the Hilton Charlotte Center City Hotel.The STARS Awards program honors the achievements of home building industry professionals from North Carolina and surrounding states. Winners received recognition in areas such as marketing and advertising, web design, interior merchandising, architecture/floor plan and special projects. Awards were also given to local home builders associations. The award-winning Master Planned Community of the Year and the Detached Community of the Year are pictured on the cover. In addition to these honorees, STARS Awards also went to the following recipients:
Best Color Ad full page or under for a builder, developer, associate, realty company or community Olde Heritage Builders—Member of the HBA of RaleighWake Co. (Builder) Heritage-Ammons Development Group—Member of the HBA of Raleigh-Wake Co. (Community)
Best Color Ad over a full page for a builder, developer, associate, realty company or community Impact Properties Group for their “Healthy Housing Market” ad—Members of the HBA of Raleigh-Wake Co. s The Distinguished Builder Member of the Year honor went to Geoff and Deborah Bowen of EFC Builders, members of the Lake Norman HBA.
Best Brochure/Direct Mail for a project by a builder with less than 50 residences per year
STARS Award—Watermark Homes Inc., for West Park Place—Member of the Fayetteville HBA Outstanding Achievement—Pinehurst Homes Inc.—Member of the Moore Co. HBA
Best Newsletter for a builder, developer, associate or realty company Topsider Homes—Member of the Winston-Salem HBA
Best Logo Design for a builder, developer, associate or realty company
Best Television Commercial/Project for a builder, developer, associate, realty company or community PSNC Energy for the value of natural gas “Moments” commercial—Member of the Asheville, Hendersonville, Gaston, Iredell, Cabarrus,Vance-Granville, and Lake Norman HBAs (Commercial) American Builders Marketing Group for the “Today’s Builder” television show—Member of the Brunswick Co. HBA (Project)
Best Internet Marketing/Advertising Project for a builder, developer, associate, realty company or community STARS Award—Olde South Homes Inc. for the “Rubber Room” Internet campaign—Member of the HBA of Durham, Orange & Chatham Cos. and the HBA of Raleigh-Wake Co. Outstanding Achievement—Collins Design-Build Inc. for the company’s interactive Facebook page—Member of the HBA of Durham, Orange & Chatham Cos.
STARS Award—Fixtures & More—Member of the HickoryCatawba Valley HBA (Associate) STARS Award—Impact Design-Build—Member of the HBA of Raleigh-Wake Co. (Builder)
Best Internet Website for a Builder or Developer (tie)
Best Logo Design for a community
Portofino, developed by the Walthom Group—Member of the Johnston Co. HBA
Watermark Homes Inc. for West Park Place—Member of the Fayetteville HBA Outstanding Achievement—Living Stone Construction Inc.— Member of the Asheville HBA
Best New Homes Publication for consumers or general brokerage agents New Homes & Ideas Magazine—Member of the HBA of Durham, Orange & Chatham Cos. and the HBA of Raleigh-Wake Co.
Best Billboard for a builder, developer, associate, realty company or community Whitney Blair—Member of the Wilmington-Cape Fear HBA
Best Black and White Ad one-half page and under for a builder, developer, associate, realty company or community Collins Design-Build Inc.—Member of the HBA of Durham, Orange & Chatham Cos. 8 North Carolina Builder
L and L of Raleigh, Inc.—Member of the HBA of Raleigh-Wake Co. Shatley Construction—Member of the Ashe Co. HBA
Best Website for a Community
Best Sales Office/Information Center for a builder, developer, associate or realty company Impact Properties Group for Weycroft—Member of the HBA of Raleigh-Wake Co.
Best Sales Office/Information Pavilion for a master planned community STARS Award—Portofino for the restored and historic “red roof inn” sales center- developed by the Walthom Group—Members of the Johnston Co. HBA Outstanding Achievement—Heritage-Ammons Development Group—Member of the HBA of Raleigh-Wake Co.
Best Interior Merchandising for a model with a sales price under $250,000 1st American Builders for the “Richard” in Ashford Village, Fuquay-Varina, NC—Member of the HBA of Raleigh-Wake Co. November/December 2010
Best Interior Merchandising for a model with a sales price $500,000-$1 million Impact Design-Build for the “Stanton” at Weycroft—Member of the HBA of Raleigh-Wake Co.
Best Single-Family Detached Home with a sales price under $250,000 STARS Award—Brad D. Cummings Construction Co. Inc. for the Thomas residence—Member of the Harnett Co. HBA Outstanding Achievement—Southern Homebuilders, Inc. for the Cambridge at Lanvale Forest—Member of the Wilmington-Cape Fear HBA
Best Single-Family Detached Home with a sales price of $250,000-$500,000 STARS Award—Brad D. Cummings Construction Co. Inc. for the McFarlin Park residence—Member of the Harnett Co. HBA Outstanding Achievement—L and L of Raleigh Inc. for the “Jenny”—Member of the HBA of Raleigh-Wake Co.
Best Single-Family Detached Home with a sales price of $500,000-$750,000 Blue Sky Building Company LLC for the Dattilio residence— Member of the Brunswick Co. HBA
Best Single-Family Detached Home with a sales price of $750,000-$1 million STARS Award— Blue Sky Building Company LLC for the Tuscan-inspired Bonnington residence—Member of the Brunswick Co. HBA Outstanding Achievement—Yates Hussey Construction Inc. for the Christner residence—Member of the Moore Co. HBA
Best Single-Family Detached Home with a sales price over $1 million with less than 5,000 sq. ft. Koenig Homebuilders for the Gurbacki residence—Member of the Jackson Co. HBA
Best HBA Community Project Moore County HBA for the Hillcrest Ball Field Project (small to mid-size HBA) Remodelers Council of HBA of Raleigh-Wake Co. for the Wrenn House restoration (large HBA)
Best HBA Government Affairs Initiative Wilmington-Cape Fear HBA for their efforts regarding coastal insurance reform
Special Project—Best Local HBA Initiative Moore County HBA for the “Moore Green” advertising initiative (small to mid-size HBA) Charlotte HBA for “Puttin’ on the Glitz” (large HBA)
Special Project—Whole House Renovation under $250,000 Whitney Blair for the Young residence—Member of the Wilmington-Cape Fear HBA
Special Project—Whole House Renovation $250,000 and over Pinehurst Homes Inc. for the Taylor residence—Member of the Moore Co. HBA
Special Project—Interior STARS Award—Blue Sky Building Company LLC for the Italian wine cellar room at the Bonnington residence—Member of the Brunswick Co. HBA Outstanding Achievement—International Kitchen & Bath for a kitchen relocation/remodel in Huntersville, NC—Member of the Lake Norman HBA
Special Project—Home Addition Pinehurst Homes Inc. for the Moore residence—Member of the Moore Co. HBA
Special Project—Outdoor Living Spaces
Best Single-Family Detached Home with a sales price over $1 million with 5,000-10,000 sq. ft.
EFC Builders for the Earle residence—Member of the Lake Norman HBA
Zar Custom Homes for the Jetton Road residence—Member of the Charlotte and Lake Norman HBAs
Special Project—Single-Family Detached Green Home
Best Single-Family Detached Home with a sales price over $1 million with more than 10,000 sq. ft. Kearey Builders Inc. for the Thakkar residence—Member of the Lake Norman HBA
Best HBA Internet Website HBA of Raleigh Wake-Co.
Best HBA Member Communication–Single Piece or Campaign
DCI Homes Inc. for the LaChapelle residence—Member of the Alamance-Caswell HBA
Special Project—Marketing Lake Wylie Home Staging for the Good Samaritan House—Member of the Charlotte, Lake Norman and York Co. South Carolina HBAs
Special Project—Commercial Ali 2 Equestrian Center in the community of Portofino, developed by the Walthom Group—Member of the Johnston Co. HBA
STARS Award—Onslow Co. HBA for their local association newsletter Outstanding Achievement—HBA of Raleigh-Wake Co. for the “Good News HBA Style” email newsletter
Best HBA Membership Directory HBA of Raleigh-Wake Co.
Best HBA Parade of Homes Publication Moore County HBA (small to mid-size HBA) HBA of Raleigh-Wake Co. (large HBA)
November/December 2010
s Kathy Craven-Snodgrass, of Piedmont Natural Gas, was named the Distinguished Associate Member of the Year. Snodgrass is a member of the Winston-Salem HBA. North Carolina Builder 9
Capitol Insider NCHBA achieves major goals in 2010 legislative session
2010 Legislative Session by Lisa Martin, Director of Government Affairs he 2010 Short Session of the N.C. General Assembly convened on May 12 and adjourned on July 10. A total of 3,547 bills were filed during the 2009-10 biennium. Of that total, 780 bills were introduced in 2010. NCHBA’s success in the 2010 session was due in no small part to the diligence of our Government Affairs staff, strong local participation in the political process, and committed members and officers. NCHBA’s major legislative initiatives were passed, and we were successful in protecting our members from new taxes and further regulatory burdens, while preserving housing affordability. The following is a summary of NCHBA’s major legislative accomplishments during the 2010 General Assembly Session.
406 Extend Certain Development Permit Approvals) and fought for the passage of HB 683 Permit Extensions (S.L. 2010-177). HB 683 passed the Senate in June with only one dissenting vote.When it moved to the House, it came to an abrupt halt due to opposition by the N.C. League of Municipalities, the N.C. Association of County Commissioners, and the N.C. Chapter of the American Planning Association. Finally, an agreement was reached on a conference report in the early morning hours of the session’s final day. While HB 683 does lengthen the tolling period of the original act by one year, it allows local governments to “opt out.” If a local government chooses to opt out, then they must honor any time left on the permit due to extensions granted in the original Act.
House Bill 1249 Home Builder Property Tax Deferral Change
Senate Bill 897 Appropriations Act of 2010
T
Legislation passed in the 2009 long session that defers property tax on builder inventory and legislation that extends state and local permits were back before the General Assembly this year. The home builder property tax deferral bill required some minor clarification and that was accomplished in HB 1249 Home Builder Property Tax Deferral Change (S.L. 2010-140).
House Bill 683 Permit Extensions NCHBA sought a two-year extension of the permit extension act (S.L. 2009-
With the 2010 budget shortfall totaling $800 million, all options were on the table to develop a balanced budget. NCHBA lobbied against any new fees or taxes on builders or any small business and lobbied against any measures that would increase the cost of housing. For the first time in seven years, the North Carolina General Assembly enacted a budget, SB 897 Appropriations Act of 2010 (S.L. 2010-31), prior to the start of the new fiscal year. Of particular note, the budget bill includes a $10 million appropriation for the N.C. Housing
Trust Fund. One negative aspect of the budget was the creation of and funding for the N.C. Sustainable Communities Task Force. The duties of the Task Force, as specified in the budget, definitely have the potential to impact home building. For that reason, NCHBA lobbied for legislative oversight of the task force by adding reporting requirements and limiting the power of the task force to act independently in HB 1766 Amend Environmental Laws 2010 (S.L 2010-180).
Senate Bill 35 Reconveyance Fees Prohibited NCHBA worked closely with the N.C. Association of REALTORS® to draft legislation, SB 35 Reconveyance Fees Prohibited (S.L. 2010-32), that bans private transfer fees. Private transfer fees are fees paid to a third-party upon the transfer of real property. The fee is usually paid by the seller and can either be a fixed amount or a percentage of the sales price. The legislation protects developer members, consumers and the real estate market, and provides certainty in real estate transactions. With the passage of this legislation, North Carolina becomes one of only a handful of states that ban private transfer fees.
Senate Bill 829 Regulation of Appraisal Management Companies Appraisal management companies (AMCs) are not new, but the number of AMCs and
Mike Carpenter & Lisa Martin ranked among most influential lobbyists in the NC General Assembly
N
CHBA has again placed two members of its legislative team in the N.C. Center for Public Policy Research’s biennial ranking of most influential lobbyists. Mike Carpenter and Lisa Martin, ranked #21 and #45 respectively, among the 765 lobbyists (representing 805 different companies and organizations) and 106 legislative liaisons (representing 73 different state government agencies) registered to lobby the General Assembly in 2009. The ranking was accomplished by a survey following the 2009 Session addressed to all 170 members of the General Assembly, registered lobbyists, and members of the capital press corps. Carpenter Martin “Advocacy on behalf of our members was the reason for the creation of the state association in 1963 and it remains our top priority,” said Mike Carpenter. “It is nice to see NCHBA continue to be recognized among the most influential organizations on Jones Street.” Carpenter has consistently been ranked on this list since the 1993 session. Lisa Martin, who replaced Paul Wilms as NCHBA’s Director of Governmental Affairs upon Wilms’ retirement in 2008, made the list for the first time. “This is the third session in a row that NCHBA has had two lobbyists ranked among the most influential,” said Carpenter. “Lisa moved seamlessly into Paul’s position and hit the ground running. I am delighted that her very successful debut was appropriately recognized by the legislators, her fellow lobbyists, and the media.” “The survey results confirm what we already know,” said 2010 NCHBA President Lyle Gardner. “Our legislative lobbying team is second to none. I am proud not only of Mike and Lisa but also of Jessi and Erin for their invaluable contributions to the success of the team.” 10 North Carolina Builder
November/December 2010
the frequency of their use increased since the federal adoption of the Home Valuation Code of Conduct (HVCC) in 2008. The HVCC prohibits mortgage professionals from ordering appraisals and mandates that lenders have either a separate department to order appraisals or use third party companies (AMCs) to select appraisers. NCHBA members have experienced a number of problems with appraisals and appraisers; thus, NCHBA seized the opportunity to use SB 829 to take the first steps toward correcting the problems with new home appraisals.
Studies
• Consolidation or Elimination of State Boards and Commissions • Public Financing of Elections • Developer Responsibility for Street Construction • Urban Growth and Infrastructure • Legislative Study Commission on PublicPrivate Partnerships • Joint Select Study Committee on Tort Reform • N.C. Sustainable Communities Task Force
Before the start of the 2011 Session, NCHBA Government Affairs staff will be working with the various study committees established by the General Assembly this Session. There is a wide range of issues that will be studied over the interim and many could impact the home building industry. Here are just a few of the topics that will require NCHBA’s involvement during the legislative interim: • Consolidation of State Agencies and Departments
House Bill 1870 Safe Artificial Slope Construction Act 2010 marks the third year that NCHBA has actively opposed legislation dealing with steep slope construction. HB 1870 Safe Artificial Slope Construction Act received a favorable report from the House Environment Committee, but failed to advance any further. In spite of successfully stopping this legislation, NCHBA fully expects to fight steep slope legislation again in the 2011 long session.
GO GREEN!
House Bill 1766 Amend Environmental Laws 2010 In addition to provisions affecting the N.C. Sustainable Communities Task Force, NCHBA lobbied to include in HB 1766 Amend Environmental Laws 2010 (S.L 2010-180) provisions that clarify that local government water systems and large community water systems require separate meters for new inground irrigation only on lots platted and recorded after July 1, 2009. Legislation enacted in 2008 to mitigate the drought requires builders to put in both a regular water meter for a home and a second water meter for the irrigation system. This results in having to pay an impact fee on both meters. A second provision in HB 1766 requested by NCHBA amends the notice requirements for new fees and fee increases pertaining to sanitary districts and water and sewer authorities.
Senate Bill 1259 Disapprove Boylston Creek Reclassification SB 1259 Disapprove Boylston Creek Reclassification (S.L. 2010-157) was amended to delay the effective date of a trout waters reclassification in Transylvania County and to require the Department of Environment and Natural Resources (DENR) to hold two additional public meetings and to report to the Legislature’s Environmental Review Commission prior to the beginning of the 2011 Session. NCHBA Government Affairs staff attended the original public hearing on this reclassification and will monitor any additional actions. November/December 2010
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North Carolina Builder 11
Seven builders earn professional designation
C
ongratulations to the following members who received their Accredited Master Builder (AMB) designation through the North Carolina Builder Institute.To earn the AMB designation, students must take 72 hours of coursework in the 100 and/or 200 level NCBI curriculum to obtain the Accredited Builder designation and then another 40 hours of course work on the 300 level of the NCBI curriculum. The latest NCBI session was held in conjunction with the 21st Century Building Expo & Conference in Charlotte, N.C.
Accredited Master Builder Graduates
Thank You 2010 NC BUILD-PAC Major Contributors
Your support helps elect prohousing, business-friendly candidates for local and state offices. (Contributions/Pledges received as of Oct. 29.)
Knights of the Round Table ($4,000/year)
Skip Brewer, AB, AMB, CGP
Bill Clark: Greenville-Pitt Co. HBA
Skip is a 30-year resident of Western North Carolina with more than 15 years of building experience. He owns Walnut Cove Builders in Arden and will be President of the Asheville HBA in 2011. Skip focuses on the entire building process from concept to delivery of the finished home. In his spare time, Skip is a 20-year veteran of skydiving, with a master skydiver license.
Lyle Gardner: Raleigh-Wake Co. HBA
Jesse Creech, AB, AMB
President’s Circle ($1,000/year)
Jesse Creech has been a part of the building industry for nearly 20 years. He received his general contractor’s license in 2000 and owns Jesse Creech Contracting. Creech is a past president of the Carteret Co. Home Builders Association and was named Builder of the Year in 2006.
Capitol Club ($2,500/year) Andy Ammons: Raleigh-Wake Co. HBA Warren Smith: Raleigh-Wake Co. HBA Danny Adams: Moore Co. HBA Jim Anderson: Durham, Orange & Chatham Cos. HBA Kevin Annas: Caldwell Co. HBA
R. Reid Whitley, AB, AMB, CAPS
Rex Bost: Raleigh-Wake Co. HBA
Reid Whitley is President of Original Space, founded nine years ago in the Triangle. They focus on residential renovation and remodeling, from bathroom makeovers to whole house remodels and from historic restorations to cutting edge contemporary designs. Whitley is a member of the HBA of Raleigh-Wake Co.
Jim Derrickson: Raleigh-Wake Co. HBA
Sean Sullivan, AB, AMB, CGP
Mike Carpenter: NCHBA Ralph Doggett: Alamance-Caswell HBA Karl Haslinger: Charlotte HBA
Sean Sullivan became involved in the home building industry after graduating from Roger Williams University and moving to the Asheville area, where he started his company, Living Stone Construction. Sean will serve as NCHBA Region X Vice President in 2011 and is past president of the Asheville Home Builders Association.
Gary Hill: Greensboro BA
Matthew White, AB, AMB
Frank McLawhorn: Greenville-Pitt HBA
Matthew White has been a part of the construction industry for nearly five years. He has supervised custom homes, remodeling projects and commercial projects. He is a member of the Lake Norman HBA.
Tim Minton: Raleigh-Wake Co. HBA
Frank Wiesner, AB, AMB, CGP, MIRM, CMP Frank Wiesner is President of Olde South Homes, an award-winning building company in the Triangle area. He is a member of the HBA of Raleigh-Wake Co. and HBA of Durham, Orange & Chatham Cos. and served as NCHBA President in 2009. Wiesner has been named Builder of the Year by the HBADOC and NCHBA. In his spare time, he and his wife Laura enjoy traveling.
Thomas Wise, AB, AMB, CGP Thomas Wise is a second generation home builder, crafting homes in the Lake Norman area with DV Wise Inc. for more than 10 years. Tom is a STARS Awards winner, in addition to a Best of the Lake Design Competition winner. He is a member of the Lake Norman HBA. Are you interested in enhancing your professionalism and earning accreditation through the North Carolina Builder Institute? The Spring NCBI session will be held in Raleigh, N.C. March 1-3. Go to www.nchba.com and click on Education for more information. 12 North Carolina Builder
Joe Iannone, Jr.: Raleigh-Wake Co. HBA Jeb Koury: Raleigh-Wake Co. HBA Lisa Martin: NCHBA Tripp McLean: Gaston Co. HBA Craig Morrison: Durham, Orange & Chatham Cos. HBA Paul Mullican: HBA of Winston-Salem John Nance: Raleigh-Wake Co. HBA David Pressly: Iredell Co. HBA Steve Royster: Asheville HBA Rick Shields: Lake Norman HBA Craig Stevens: Wilmington-Cape Fear HBA Larry Strother: Fayetteville HBA Jim Stuart: Raleigh-Wake Co. HBA Sean Sullivan: Asheville HBA Nick Tennyson: Durham, Orange & Chatham Cos. HBA Frank Wiesner: Durham, Orange & Chatham/ Raleigh-Wake Co. HBAs Natalie Woodbury: Fayetteville HBA November/December 2010
Foundation awards $21,000 in scholarships
T
he North Carolina Home Builders Educational and Charitable Foundation is pleased to announce that nine students are recipients of $21,000 in education scholarships for the 2010-2011 school year. Students were nominated by members of the North Carolina Home Builders Association and are family members (i.e. children, step-children, or grandchildren) of NCHBA member firms. The scholarship awards are presented annually to four-year college students entering their junior or senior year or two-year technical school students entering their second year who have declared a construction-related major. Scholarships are based on a combination of need and merit. Preference goes to students attending college or technical school in North Carolina.
The following students each received $3,000 scholarships: Tyler Brooks Majoring Construction Management at Appalachian State University Son of Tony Brooks, a member of the Cleveland Co. HBA
Jeremiah Gilbert Majoring in Building Science and Appropriate Technology at Appalachian State University Son of Odie Gilbert, a member of the Ashe Co. HBA
Zachary Hussey Majoring in Civil Engineering Technology at the University of North Carolina at Charlotte Son of Yates Hussey, a member of the Moore Co. HBA
Recah Layman Majoring in Interior Design for New Home Sales at Central Piedmont Community College Daughter of Roger Layman, a member of the Lake Norman HBA
Matthew Mounie Majoring in Appropriate Technology at Appalachian State University Son of H. Joesph Mounie, a member of the Union Co. HBA
Congratulations Recipients!
Zach Isenhour Majoring in Civil Engineering at the University of North Carolina at Charlotte Son of Greg Isenhour, a member of the HBA of Durham, Orange and Chatham Cos.
Brian Smith Majoring in Architecture at the University of North Carolina at Charlotte Son of Craig Smith, a member of the HBA of Durham, Orange and Chatham Cos.
Jacob Willis Majoring in Mechanical Engineering at the University of North Carolina at Charlotte Son of Vicky Jones, a member of the Carteret Co. HBA
The following students each received $1,000 scholarships: Ashley Hausfeld Majoring in Graphic Design for Residential Marketing at Appalachian State University Daughter of David Hausfeld, a member of the HBAs of Raleigh-Wake Co. and Durham, Orange and Chatham Cos. November/December 2010
North Carolina Builder 13
Building Expo draws crowd to
Charlotte N
early 3,400 home building industry professionals gathered Sept. 15-17 for the eighth annual 21st Century Building Expo & Conference. Builders, remodelers, architects and other professionals across the Southeast made the trip to Charlotte, N.C. to learn about new products and services for the residential construction industry at the two-day Expo. In addition, the three-day educational conference offered N.C. Builder Institute, NAHB and general session seminars to help builders and associates with professional development. s
The team of Rick Miller, Mike Boland, Glenn Hoy and Harold Rush earned bragging rights as the 21CBEC Golf Tournament’s first place team. Proceeds from the event went to Habitat for Humanity of Charlotte.
s Nearly 3,400 attendees visited the Expo Floor to see what new products and services are available for home builders.
s Conference attendees took advantage of the opportunity to work towards the popular Certified Agingin-Place Specialist (CAPS) designation. Nearly 300 students took part in the three-day educational conference.
Mark your calendars! The 2011 21CBEC will be Sept. 14-16 in Charlotte. Visit www.21buildingexpo.com for more information.
s William Vaughan (right photo) of Vaughan Building and Remodeling, pictured here with NCHBA President Lyle Gardner, and Michael McMillan (left photo) of McMillan Construction Management, pictured with NCHBA EVP Mike Carpenter, were the lucky winners of the prizes in the back of the truck each day of the Expo. They took home various prizes such as gift certificates, tools, apparel and more.
s More than 65 executives of high production building companies attended the High Production Builders Breakfast to hear Bank of America’s Dr. Carter Murdoch speak about the housing market and how he sees the top markets in the Southeast faring in the next few months. 14 North Carolina Builder
November/December 2010
Knowledge Builder Tips from your industry experts at Builders Mutual
L
Get to Work on a Return-to-Work Program
ike clockwork, you finish one work week; you’re back on the job again Monday morning. Think of the employee at home, receiving workers’ compensation benefits, who doesn’t know which Monday will signal a return-to-work, if ever? Has your company prepared for that possibility? Can you confidently say that if and when an injury-causing accident occurs, your company will mobilize and help the employee return-to-work as soon as medically approved, saving your company money and protecting the physical, mental, and financial interests of that employee? You can. And it starts with your safety policy
manageable case loads for the best service. They’ll expedite the closure of claims to keep your costs down.
Rally with a Return-to-Work Program
Plan to regularly communicate with the injured employee. This fends off fears of getting fired, false assumptions of a company’s indifferent attitude toward the employee’s well-being, and may prevent the injured party from hiring an attorney. Keep lines of communication open. Time is of the essence! Your experience modifier heavily weights the first $5,000 of the claim. For minor injuries, adjusters who facilitate quick medical record retrieval may keep a med-pay claim Set the Stage with your Safety Policy from becoming a costly lost-time claim, too, by getting an employee The purpose of a company safety policy back to work more quickly. extends beyond injury prevention. If properly With a trusted medical provider and insurance designed, it also helps control the cost of an adjuster, begin to craft options for the injured injury, if one occurs. A company who controls employee to return-to-work with modified Plan to regularly its claims costs controls its insurance rates, duties. You may hesitate, considering how you communicate with the saving money. will be paying salary for reduced productivity, injured employee. This Companies can minimize how claims impact however, you could be paying full workers’ rates by understanding experience rating plans. compensation benefits for no work at all, costing fends off fears of getting Those who meet their state’s minimum premium you through your experience modifier in the long fired, false assumptions threshold become eligible to take advantage of run. Workers’ compensation benefits will pay for experience rating. A basic insurance rate, used 2/3 of the difference between the modified duty of a company’s indifferent for contractors, such as plumbers or roofers, gets pay and the employee’s original salary, which attitude toward the modified based upon that plumber or roofer’s placates the employee and minimally impacts employee’s well-being, loss control initiatives and results. While the your modifier. calculation of this modifier is complex, generally, Enlist your adjuster’s expertise when and may prevent the it lowers rates for companies without claims and extending an offer for modified work duty. Get injured party from hiring increases rates for those with them. Take charge assistance developing a functional job description. of the rate increases within your control, related You don’t want to push employees into more an attorney. to experience modifiers. than they can handle, only to risk new injuries What must your safety policy contain to (causing a second claim that would be even worse help control claims costs? It should include for your modifier, since frequency counts more an effective post-injury response procedure and a return-to-work than severity). Just stick to the restrictions in the doctor’s disability program. Management must commit to it, train all supervisors on note. Plus, workers have the right to turn down offers for transitional it, and gain buy-in from every employee. If you don’t know where duties in violation of doctor’s note restrictions. Adjusters can advise to begin, consult your Builders Mutual Risk Manager to help you how to document offers through certified mail. build one. If the significant impact on your experiencing rating isn’t motivation enough for you to consider incorporating a return-to-work program, Prepare a Post-Injury Response Procedure consider this. Cost-saving isn’t limited to insurance rates. It may Before a claim occurs, designate your company’s preferred medical save in productivity losses, hiring and training costs for temporary provider, one with an interest in understanding the physical demands replacements, attorneys’ fees, and the hassle of litigation. If, in fact, of each position in your company, who will require drug testing for your case goes to trial and you’ve documented a reasonable offer for every injured employee. In the event of an injury, direct your employee modified duty that the employee refused, you’ve demonstrated cause here to get treatment for non-life threatening emergencies. for the courts to find in favor of discontinuing the injured employee’s By drug testing every injured employee, you avoid potential workers’ compensation benefits entirely. discrimination suits. If a provider refuses, your claims adjuster should The clock is ticking. Develop your company’s return-to-work be more than willing to help get a court order. For example, Builders program. Your commitment will help you control your claims Mutual commits to paying for an injured employee’s initial visit and expenses, influence your experience rating, manage your insurance drug screening, regardless of drug test results. So, don’t let the fear of costs, and save you money. Perhaps the biggest payoff comes from a claim denial prevent you from requiring one. They’ll even code it so your sincere interest in and commitment to your employees’ welfare. it doesn’t negatively impact your experience modifier. Look for “Knowledge Builder,” compliments of Builders Ensure that a claim gets reported immediately. Let your insurance Mutual Insurance Co., in each issue of North Carolina Builder. company investigate and manage treatment to control unnecessary Get access to even more free risk management resources at expenditures. Choose an insurance company whose adjusters have www.buildersmutual.com/RM. November/December 2010
North Carolina Builder 15
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