HBA Today: February 2019

h ba today THE OFFICIAL NEWSLETTER OF THE H O M E B U I L D E R S A S S O C I AT I O N O F S A G I N AW

F E B R U A R Y 2 0 19

A MEMBERSHIP THAT WORKS FOR YOU

HBA SAGINAW is part of your three-tier membership!

When you join the HBAS, you share your pride and passion for your work. We’ll fight for your business, your rights, and your interests. We’ll save you money, and give you the opportunity to grow your network. With the HBAS, we’ll keep you in the know by offering education and training for whatever you may ned, and we’ll help you train the next generation of HBA members. Whatever you need, we’re here for you.

ADVOCACY

We fight for the rights of small businesses in the housing industry.

With us at your back, you’ll have a voice in all levels of government.

EDUCATION

We offer classes to keep you updated on new and developing trends in the industry. HBAS is also involved in getting kids interested in the trades.

OPPORTUNITY

Between great community events, and members-only get-togethers, you’ll have the chance to grow your network and expand your business.

SAVINGS

With three tiers of membership, there is a truckload of discounts, rebates, and savings programs tailored to you and your business and interests.

FOR MORE INFORMATION Call: 989.793.1120 Email: mrevette@hbas.org Click: hbas.org

PASSION in our craft.

PRIDE in our community.

HBAS Leadership Your 2019 Board of Directors

Upcoming Events Feb. 13 Board of Directors @ 12p @ HBAS Feb. 14 Home & Garden Show Meeting @ 10a @ HBAS Feb. 17-22 International Builders Show @ Las Vegas Click here for details.

Feb. 25 SCC Business Professional Day @ Davenport U Call HBAS Office for more: 989.793.1120 Feb. 25 HBA Connect @ Builders First Source @ 5:30p Click here to register.

March 6 Ambassador Team Meeting @ HBAS @ 10a March 7 Home Show Committee Meeting @ 10a March 12 Builders Roundtable @ HBAS @ 8a March 12 Professional Women in Building Meeting @ HBAS @ 12p

OFFICERS Michele Bueker, President Jeff Nicklyn, Vice President Jim Boufford, Treasurer Denis Reichard, Secretary Steve Zietz, Immediate Past President DIRECTORS Tony Bosco Don Hollis Denis Reichard Tracy Reimus Dan Wortman

Tim Gohm Louie Pomaville David Schauman Mark Wahl Mike Booker Jake DeMitchell

Mike Tribble Debbie Beffrey Dennis Dittenber Ron Schauman Jeff Tithof

Mission

Together we are a trusted resource of Building Industry professionals, dedicated to supporting the dream of homeownership, and taking pride in the development of our community.

Vision

As Building Industry professionals, we continuously strive to create vibrant and stable communities providing homes and craftwork that retain value. We envision the long-term growth of our community and association by maintaining quality relationships, community involvement, and being of service to others.

Values PROFESSIONAL | INTEGRITY | PASSION ENGAGED | LOYAL

Passion in our craft.

Pride in our community.

Small Price Increases Can Exclude Millions It takes only a small uptick in home prices and mortgage rates to price more than 1 million potential home buyers out of the market for a median-priced home.

For example, $1,000 might sound insignificant when compared to the overall price of a new home. But that relatively small amount has a surprisingly big impact on affordability.

NAHB economists recently

determined that for every $1,000 increase in today’s median U.S. home price, 127,560 American households are priced out and would no longer be able to afford to buy the home. In other words, based on their incomes, 127,560 households would be able to qualify for a mortgage to purchase the home before the price increase, but not afterward.

More information, including priced out estimates for every state and over 300 metropolitan areas, and additional details about the methodology of the study, is available here.

Treasury Releases Pass-Through Rules The Treasury Department has released final regulations for the 20% pass-through entity deduction under the Tax Cuts and Jobs Act of 2017.

The final regulations concern the deduction for qualified business income under Section 199A of the Internal Revenue Code.

The regulations will affect

individuals, partnerships, S corporations, trusts, and estates engaged in domestic trades or businesses.

The deduction is generally available with few limitations to small business owners with income below $315,000 for married couples filing jointly and $157,500 for single filers without limitations. Additional rules and limitations apply to

higher-income earners.

NAHB is reviewing the rules to determine how they will affect its members.

New Households Outpace New Homes New households are being formed faster than new single- family and multifamily homes are coming on line to accommodate them, according to a recent study by NAHB Economist Paul Emrath.

Data from the Census Bureau’s Housing Vacancy Survey from 2014 through 2017 shows an average of about 1.15 million net household formations per year. Over the same time, an average of about 1.02 million

Highlighting Housing Data

single-family and multifamily homes were completed per year. That’s a short- fall of more than 500,000 homes over the four-year period.

NAHB’s housing portal is a website that delivers a wide range of housing and polling data specific to congressional districts and major metropolitan areas.

Produced in cooperation with the polling firm Morning Consult, this tool enables builders to demonstrate o policy makers the importance of the housing industry.

Click here for the NAHB Housing Portal.

IRS Waiving Penalties for Most Filers

The IRS has announced that it is waiving the tax penalty for many home builders and other small businesses that pay estimated quarterly taxes but whose 2018 federal income tax withholding and/or estimated tax payments fell short of their total tax liability for the year.

The IRS said in a press statement that it is “generally waiving the penalty for any taxpayer who paid at least 85% of their total tax liability during the year through federal income withholding, quarterly estimated tax payments or a combination of the two. The usual percentage threshold is 90% to avoid a penalty.”

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January Meeting a Success Despite the weather, a good showing of members braved the streets to honor Tom Bailey, and swear in the new Board of Directors.

Michelle and Terese at the HBA office would like to thank all of you who braved the weather to join us at the January General Membership meeting at Horizons Conference Center.

The 2019 Board of Directors was sworn in, with Michele Bueker of Bueker Development

as the new Association Board President. Jeff Nicklyn will be our Vice President, Jim Boufford is Treasurer, Denis Reichard has joined us as Secretary, and Steve Zietz will be our Immediate Past President.

At this meeting we also honored Tom Bailey, who retired from 23 years on the Board of Directors, and his wife Sue Bailey. Tom has been a member of the HBA for over 40 years, since beginning Bailey Construction in 1968. He has been involved not only locally, but with the state and national associations as well, serving on their boards, and being active there with politics.

Sue Bailey was instrumental in starting the Professional Women in Building Council at our HBA. She remains active

on the Council, and is involved in the community projects associated with PWB and HBA. With 2019 just beginning, the HBA is set to have a fruitful year. With nine new members already joined, we hope to keep expanding our membership in leaps and bounds. Keep an eye out for many new opportunities, activities, and events as the year progresses.

Don’t forget to RSVP for the February HBA Connect and PWB Member Spotlight. This event will be at Builders First Source on February 25th, at 5:30pm.

Click here to register today.

To learn more about upcoming opportunities, events, or to learn how to get involved at HBAS, please call the office at 989-793-1120.

Professionals who care.

ABOUT HBA MICHIGAN

HBAM works to promote the building industry, impact legislation, regulatory, and legal issues affecting housing affordability and small businesses in the building and housing industry.

NETWORKING Business relationships are built on trust and credibility. Builders across the state network at HBAM’s many association events with others in the industry.

SAVINGS HBAM offers great group rates for workers’ comp and medical insurance, Meijer discounts, and a variety of rebate programs to help you save BIG.

EDUCATION

HBA Michigan is part of your three-tier membership!

From codes to the ever changing market, members have the best opportunites to keep up to date, as well as courses and classes to help you grow and succeed.

INFORMATION HBAM offers a wide range of resources and publications (like Builder Magazine and a members only online portal)to keep you informed about the industry.

FIGHTING FOR YOU

From tax increases to building code changes, results of many legislative decisions impact your livlihood. We represent YOU on a statewide and national level.

Find out more about HBA Michigan at buildingmichigan.org

Prices Rise, Building in Michigan Slows HBA Michigan issues “wake up call” about crisis.

A near-crisis in a shortage of affordable homes and a slow down in construction. Blame it on rising costs, regulations and shortages of land and labor that have made it more expensive to build homes. Meanwhile, high demand is driving up prices in Southeast Michigan, especially for the starter houses and midsize homes that many builders cannot afford to put up. Home prices are up about 4-6 percent in Oakland County this year. Most of the homes that are under construction are large and more expensive than what most first-time buyers can afford.

Filka said a majority of those being built range between $300,000 and $500,000.

Ron Trombetti, an associate broker for Vanguard Realty Group that specializes in new construction, said new homes in Macomb County typically run $400,000-$500,000, while in Birmingham or Rochester, they run even higher.

Homebuilders say rising costs have made it difficult to keep construction prices low. In the past year, some material costs have increased by 20 percent, after tariffs boosted prices of steel, Canadian lumber and Chinese goods. Often those

costs are passed onto buyers.

But David Compo, a Novibased homebuilder, said, “We might spend a year on a house, and after all the work you’ve done, you’ve made 2 percent.

That’s not a lot of profit, and that’s the disadvantage of the materials increases during the construction contract.”

Labor costs also have increased.

From 2000 to 2009, the state lost 43 percent of its workforce in residential construction — by some estimates, about 60,000 workers. Many found other employment, left the state or retired. College-focused curriculum requirements in high schools and the extended recession closed many construction-training programs.

As a result, homebuilders are competing to hire subcontractors for masonry, carpentry, electrical and other trades, due in part to a spike in commercial projects in downtown Detroit and surrounding communities.

Mike Miller, a Northville-based homebuilder, said this is the first time he has seen this competition since he started in the industry in 1992.

Following the Home Builders Association of Michigan’s report last year, the state has taken some steps to address the problem and increase educational opportunities.

The Michigan Land Bank is partnering with some high schools to provide parcels on which students can build houses. Cost of land has been a barrier, said Dawn Crandall, the Michigan builders association’s political affairs director, but working with the land bank takes the property off its rolls while educating students in the trades. After the home is complete, it can be sold and the state can earn taxes on it.

“They see it as a win-win-win situation,” Crandall said.

Homebuilders also are struggling to find land ready for construction. Following the recession, building began on developed land left empty when the housing market crashed.

Now, most of those plots are filled, and builders have to look farther from metropolitan areas.

The Michigan State Housing Development Authority began in May a study to identify obstacles to affordable home ownership, the first of its kind since 2006. A report is expected in March. Alpena, Grand Rapids, Saginaw and Westland will function as the study’s four case-studies to get a sense of the challenges and solutions in different types of communities.

Click here to view the full article by Breana Noble of The Detroit News.

Welcome, New Members! *Denotes Premier Members Kain Builders* Jason Kain 4336 N. Graham Rd. Freeland, MI 48623 989-213-6325 kai9jj@yahoo.com

Paradise Gardens, LLC Shelly Hupfer 420 Lemke St. Midland, MI 48642 989-205-2253 mizzmich37@gmail.com

JV Electric James Von Berg 989-213-7120 vonbergenterprises@gmail.com www.electriciansaginaw.com

Duperon Millworks LLC Terry Duperon 5693 Becker Saginaw, MI 48601 989-293-0860 duperonmillworks@gmail.com

Thank You for Renewing! *Denotes Premier Members • • • • • • • • • • •

Bailey Construction* Builders First Source* Foundation Systems of MI American Excavating DKR Plumbing & Heating Heritage Builders & Sons BathQuest Sullivan Fence Lamson Humphreys Law* ASI Building Products Beyer Roofing Company

Endline Pike Insurance* Scott Hartsough 101 Mustang Lane Ste. 1 Auburn, MI 48611 989-662-2090 scott@endlinepike.com www.endlinepike.com AFFILIATE MEMBER Ashley Hartsough ashley@endlinepike.com

Your HBAS Ambassadors

Ambassadors hold high importance in the future growth and leadership within the Association by engaging, educating, and making sure all members understand how the HBA can support them and their businesses.

• • • • • • • • • • • •

Bridget Sadenwater, Greater MI Construction Academy Debbie Beffrey, Credit Services of MI Fred Wydra, Farmers Insurance Jeff Tithof, Tithof Construction Jennifer McDurmon, Independent Bank Kevin Quiroz, PaintBox Creations Laura Hill, The Maytag Store Michele Bueker, Bueker Development Mike Tribble, Yeo & Yeo CPAs Tony Bosco, Quality Windows & Doors Kyle Henion, Rummel Insurance Zack Robinson, My Member/Duclos Insurance

New Member Profile: Endline Pike Insurance Insurance coverages built to suit your needs.

Endline Pike Insurance is a family-owned Independent Insurance Agency that was founded in 1915 in Auburn, Michigan. Our agency began operating on a set of guiding principles that have grown our business and client satisfaction year after year. Those same principles are the foundation of our agency today.

• Protect Every Client, Their Family and Their Assets as If They Were Our Own • Always Do the Right Thing • Provide Superior Client

Service and Satisfaction • Every Client Is Important to The Long-term Success of Our Agency Endline Pike Insurance offers insurance coverage to our clients and prospective clients with a range of investment options as well. Endline Pike Insurance is a proud supporter of Feeding America where our mission is to help eliminate childhood hunger in our local communities through education, awareness and ongoing support. Endline Pike

joined the Saginaw County HBA to become a part of an organization with a great history of community support and development. Having the opportunity to network and support those making a difference in our communities is of great benefit for our team.

989-662-2090 scott@endlinepike.com www.endlinepike.com

New Member Profile: Lloyd’s Cabinet Shop The quality is in the details.

Lloyd’s Cabinet shop provides clients in the Great Lakes Bay Region with high quality cabinetry and countertop services. Our products include cabinets for kitchens and bathrooms, entertainment centers, fireplaces, builtins, and home and office countertops. “Cabinets and cabinetry have always been a part of my life,” says Ken Selle, Owner. “Over the years the owner of Lloyd’s taught me every facet of the business from building the cabinets to installing them and finally to selling them. The owner,

my dad Lloyd, the founder of Lloyd’s Cabinet Shop taught me how to make customers happy. It is in the details! He understood that a customer’s budget does not always match what they want, but he knew how to deliver what the customer wanted and stay on a budget without sacrificing quality or value. He was an excellent example of how to give the customer more than what they expect. All of the extra attention to detail my staff and I put into each job results in our customers Getting More when they come

to Lloyd’s. Lloyd’s Cabinet Shop’s work is being featured in the upcoming HBAS Spring Parade of Homes. Since Lloyd’s worked with many of the HBAS builders, they were happy to join and support the association.

Call: 989-879-3015 ken@lloydscabinetshop.com www.lloydscabinetshop.com

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Your dream home come true.

OSHA Issues Final Reporting Rule OSHA has issued a final rule eliminating a requirement that employers with 250 or more employees electronically submit information from certain OSHA forms.

These companies will no longer be required to electronically submit information on OSHA’s Log of Work-Related Injuries and Illnesses form and Injury and Illness Incident Report form.

They are, however, still required to electronically submit information from the Summary of Work-Related Injuries and Illnesses form.

Recruit the Next Generation of Builders The start of a new year is a great opportunity to remind your local community about the rewarding careers available in residential construction.

The Careers in the Construction Trades section on nahb.org provides detailed information on six popular home building

trades: carpentry, electrical, HVACR, masonry, painting and plumbing. The resources provide trade-specific salary information and videos that the user can share to showcase the different career paths available in the residential construction industry.

NAHB also continues to update its members-only Skilled Workforce Development Resources to help you recruit skilled labor and spread the word about the valuable careers available in residential construction.

Unearth the No. 1 Cause of Structural Failures

by Walt Keaveny, Risk Manager, MS, PE, PG What is the leading cause of residential structural failures? Did you guess expansive soils? Soft organic soils?

Improper drainage? How about inadequate engineering design?

Low-strength concrete? Poor framing practices? Nope, none of those. What may surprise you is that the leading cause of structural failures is avoidable.

Warnings to avoid this significant construction liability are found in project specifications, common codes, and industry standards. What then is this real hazard that is misunderstood and overlooked? Improperly compacted structural fill material.

2-10 Home Buyers Warranty (2-10 HBW) is the national leader in new home structural warranties, who has nearly 40 years of forensic analytics and investigations that concludes fill material is the leading cause of residential structural failures. These failures can occur anywhere that existing or new fill material is used to support a foundation.

Since 80% of all structural failures are due to soil movement beneath the foundation, proper use of structural fill is every bit as critical as determining building location, selecting trade partners, and a sellable home design.

Structural fill material must be of sufficient quality and density, or else it can consolidate, causing excessive

LAND FOR SALE

SOIL AS IS!

settlement. This may result in damage to foundations, framing, and interior finishes. Structural distress resulting from improper fill is likely to begin soon after construction is completed. Due to common over-irrigation of the new landscaping and concentrated roof drainage, the fill quickly consolidates under the new foundation load and it is saturated and further weakened. Less than a one foot thickness of improper fill may cause serious distress. The damage caused by fill is typically more severe and costly to repair than other causes of structural failures. This is because the entire foundation is commonly underlain by fill. The average cost to investigate and repair a qualifying fill claim is about $50,000. This does not include the cost of the home builder’s reputation for quality construction practices.

To avoid structural failures caused by fill material, builders should confirm that prospective land to be developed with “existing” fill was properly compacted and tested. Developers typically sell land “as-is”, leaving the home builder liable for any existing fill. “New” structural fill to be placed by the home builder should be properly compacted and tested to verify the density. This is an industry standard practice, and a requirement of the local, state, and International Building Codes (IBC), the building department, plans and specifications, geotechnical engineer, and Department of Housing and Urban Development (HUD).

HUD’s requirements are specified in their Data Sheet 79G Land Development with Controlled Earthwork which states, “For any development in which buildings

80%

OF ALL STRUCTURAL FAILURES ARE DUE TO SOIL MOVEMENT.

FILL LESS THAN

1 FOOT THICKNESS OF IMPROPER FILL CAN CAUSE SERIOUS DAMAGE.

$50K AVERAGE COST TO INVESTIGATE AND REPAIR A QUALIFYING FILL CLAIM.

Unearth the No. 1 Cause of Structural Failures

Optimum moisture and density for a particular fill are determined using a Proctor test in a soils laboratory.

DENSITY

MOISTURE

are to be placed on graded areas, all earthwork shall be designed, engineered, and constructed in such a manner that there will be no adverse differential movement which may cause damage to the structure...” HUD further specifies that, “Field density tests shall be made by the Soils Engineer…” Structural fill material should be placed in relatively thin lifts at, or near, optimum moisture content. Just the right amount of moisture lubricates the fill which allows it to achieve optimum density. Optimum moisture and density for a particular fill are determined using a Proctor test in a soils laboratory. Each lift should be properly compacted. It is important to note that the weight of the bull dozer or front-end loader used to place the fill is typically not sufficient to compact the fill. Dozers and loaders spread their weight over wide tracks, or tires, to avoid getting stuck, and are not designed to impart sufficient compactive effort like a true soil compactor. Density testing, conducted by a representative of the geotechnical engineer, should be used to confirm and document if proper compaction has been achieved to protect the home builder’s liability.

Home builders can rely on the expertise of a geotechnical engineer, as needed, in order to identify existing undocumented fill, specify proper cut and fill methods, specify fill quality and compaction criteria, identify onsite and offsite fill sources, and test for proper fill density. The engineer can also assist the home builder to avoid other common problems associated with improperly compacted fill, such as slope failures, retaining wall failures, and drainage problems.

In summary, diligent practices regarding structural fill material include: 1. Check prospective land for existing undocumented fill 2. Check fill quality and use proper fill placement methods 3. Use the proper equipment for fill compaction 4. Test and document fill density 5. Utilize a geotechnical engineer as needed Structural failures caused by fill material are avoidable. Proper fill placement will help protect a home builder’s liability and hard-earned reputation.

Dozers and loaders spread their weight over wide tracks, or tires, to avoid getting stuck, and are not designed to impart sufficient compactive effort like a true soil compactor.

Mr. Keaveny is the Risk Manager and Principal Engineer for the leading new home warranty company, 2-10 Home Buyers Warranty. He earned a Bachelor’s degree in Geological Engineering and a Masters in Geotechnical Engineering. He is licensed as both a Professional Engineer and a Professional Geoscientist, and has over 30 years of diverse engineering experience. He serves on the Construction Performance Standards Committee for the Texas Association of Builders, and is an invited speaker and author.

Mr. Keaveny’s work on the subject of structural claims has been published in major newspapers and has drawn international interest.

LONG LIVE HAPPY HOMES ®

Building the Housing Industry Since 1942.

Find out more about NAHB at nahb.org.

NAHB strives to protect the American Dream, while working to achieve success for its members who build communities, create jobs, and strengthen the economy.

ADVOCACY

NAHB is member-driven, with more than 140,000 members across the country. NAHB works to ensure that housing is a top priority so that every American has a place to call home.

This is accomplished by championing laws and regulations designed to improve the current and future housing market and economy.

OPPORTUNITY

Members are the most important part of NAHB, who strives to make sure you have the tools and resources necessary to succeed. NAHB provides opportunities like the International Builders Show - the world’s largest gathering for the residential construction industry, and the Home Builders Institute which develops and administers a wide range of training programs for the current and future workforce.

PHILANTHROPY

NAHB is part of your three-tier membership!

NAHB is affiliated with Home Innovaion Reserach Labs, which develops, tests, and evaluates new materials, methods, and equipment, and standards to improve technology and affordability within the industry. NAHB is also affiliated with the National Housing Endowment, dedicated to developing a more effective approach to home building, education, and training. NAHB is a founding partner and member of the International Housing Association, working to advance all aspects of home building around the globe.

Apprenticeship Leads to Entrepreneurship Starting kids early in the skilled trades works. With apprenticeships, mentorships, and hands-on learning, the future of the industry is bright.

Zachary Hopkins

A local business owner who picked his trade as a teenager wouldn’t trade his career in construction. Zachary Hopkins started his carpentry apprentice at 16 years old, and now owns Hopkins Building and Renovation based in Collingwood.

Hopkins’ crew does a variety of renovations and builds, but he particularly likes the jobs with a lot of custom mill work. For instance, a recent project had him restoring a curved porch on a century home. The work included pillars, railings, stairs, and raised panels, all done in wood in a classic style suitable for a century home.

“The most gratifying part of [the work] is a job that’s not run of the mill,” said Hopkins, adding he likes a challenge and something that takes extra effort and thought to execute.

He remembers doing hands-on projects with his dad and uncle as a child, and said he knew carpenter was the right career choice for him.

He worked as an apprentice under a custom home builder named Ken Vogel, the owner of Vogel Construction.

Hopkins has been running his own business since 2008 doing custom renovations, some framing work, project management, and general contracting.

Recently, Hopkins took on a restoration of another century home. He and his crew helped restore the interior, which included ordering custom baseboards and crown molding to bring the home back to the classic style. “It’s getting busier for us for sure,” said Hopkins, adding his crew was swamped this summer.

He said the market in his area is unique because many of the homes are second properties for the homeowners. In a lot of cases, he’s asked to turn a vacation residence into a fulltime home by updating the finishes, increasing the size, and making the space more functional.

In other cases, his crew will go in to finish a basement in a newly built house in a subdivision, or customize a home built by a developer.

The demand for skilled trades like a carpenter is on the rise, and Hopkins said it’s hard to find skilled labour, or even those interested in an apprenticeship.

As a business owner who came from an apprenticeship in a trade, Hopkins now encourages other students to consider that career path.

“It’s a reasonable option, with good pay and lots of work,” said Hopkins. “You’ll always have a job, and it’s a good way to start out and eventually you can have your own business … and you get paid to learn it.”

Click here for the full article

by Erika Engel of Collingwood Today.

Building Trades Education Supporter

2019

How Are Your Impact Fees Being Used?

Local governments sometimes use impact fees to pay for things unrelated to the fee’s intended purpose. Over the last 30 years, the Development Planning & Financing Group Inc. (DPFG) has been working with NAHB, HBAs and various home building companies in reviewing, critiquing, and determining the overall fairness and equity of the impact fees proposed by associated jurisdictions.

Over the last seven years, DPFG has conducted a number of in-

depth audits of municipalities’ fee programs and we can now conclude greater transparency and oversight are needed related to the expenditure of fees. Most jurisdictions attempt to utilize fees for the intended purposes. There does, however, appear to be an almost uniform disconnect between the departments that prepare the fee study (e.g., manager, public works and finance departments) and the departments and/ or personnel that collect and expend impact fees (accounting

and public works departments).

In states with no fee audit requirement, DPFG’s audits have found the misuse of impact fees in four general areas: • Using fees to correct existing deficiencies.

• Using specific impact fees to fund non-authorized capital facilities.

• Using fees for the payment of non-capital assets.

• Using fees for the repair and maintenance of existing facilities.

Construction Defect Win in Nevada NAHB’s Legal Action Fund scored another victory recently when a case it supported in Nevada, Donnelly v. Anthony & Sylvan Pools, resulted in a win for the building community.

The Nevada HBA, Southern Nevada HBA, and the Builders Association of Northern Nevada received a $10,000 grant from NAHB’s Legal Action Fund to file an

amicus brief in support of a subcontractor who was sued by a non-home owner for injuries he sustained after diving into an in-ground backyard swimming pool.

The case represents the first substantive challenge to Nevada’s construction defect reform law, which establishes a six-year period of repose for construction defect claims, including claims that result in

personal injury. A statute of repose sets the outer limit on when a lawsuit may be filed.

Empowering Women Through Leadership Education Community Networking

WB

Professional Women in Building

The PWB Mission

Join Today

Live to Work, Not Work to Live

The Professoinal Women in Building Council is the voice of women in the Building Industry; dedicated to promoting Industry professionalism, and supporting members at the local, state, and national levels.

Through education, professional development, and networking opportunities, PWB helps members acquire and develop invaluable leadership and business management skills that boost career success.

Why?

Council members are educators - helping the public understand that a skilled trades life is a good life fulfilling, enriching, and successful. Council members are leaders - working hard to change the stigma of trades while providing unique opportunities for women, and mentoring the future leaders of our Industry. Council members are problem-solvers finding creative solutions to Industry issues, such as diversity and inclusivity.

PWB dreams of a better tomorrow, and tries to make that happen through community support and student education. PWB wants see other women succeed in life, giving them the opportunity to be influencial and powerful leaders. This is a Council of strong women and men looking to do good in the world around them for the simple joy of doing so - without a "what's in it for me" mentality. We can build a better, more successful future together.

If PWB sounds like the place for you, please contact us to get started.

hbas.org • •

Pam Barnes, President, PWB Council pam.barnes@bldr.com | 989.695.5393

•

Nicole Schultz, Vice President, PWB Council

•

Bridget Sadenwater, Secretary/Treasurer, PWB Council bsadenwater@gmca.edu | 989.832.8879

Meet Your Professional Women in Building Council Cat Kerns’ enthusiasm is felt throughout the Council.

It’s a family affair for Cat Kerns. When Cat married Kevin, he was working for Bob Van Auken. Bob gave Kevin the push he needed to start his own business, and as Cat finished her business degree, the started Kerns Custom Homes – a long standing member of the HBA of Saginaw, of 34 years.

Nowadays, Kerns Custom Homes also includes one of their sons, Jay Kerns.

Cat and Kevin saw Bob Van Auken’s involvement with HBA, and with his encouragement, the benefits the HBA provided, and the opportunities they saw, Kerns Custom Homes became a member shortly after starting up.

It was when Sue Bailey came back from an NAHB conference with news of the ever-growing “Women’s Councils”, Sue wanted to start one in Saginaw.

Cat was immediately on board.

She loves the connections and networking with PWB. Most importantly, Cat believes it’s important to be involved for the support, collaboration, and opportunity to learn from others that share a common interest in the building trades.

Along with networking and outreach, Cat encourages others to join PWB, with the goal of connecting and being recognized for striving to provide a vibrant community to future generations.

Cat is so much more than just a business woman. She’s also a librarian, which means she has several favorite quotes to live by. “Not all those who wander are lost,” from JRR Tolkein – a true quote for anyone who loves to read. AA Milne’s “You are braver than you believe, stronger than you seem, and smarter than you think!” Resonates with PWB especially as empowering to women and children. Lastly, the perfect quote to encourage everyone to live their dreams is by an unknown author: “There are so many people out there who will tell you that you can’t.

What you’ve got to do is turn around and say, ‘watch me’.”

Cat is currently the president elect for the state school library association.

Cat’s spare time includes volleyball, tennis, pickleball, kayaking, hiking, and biking, and of course spending as much time with her wonderful family as possible. Cat and Kevin have four sons, three daughters-inlaw, a grandson named Sullivan, and another gradbaby on the way. Of course, there’s also Loki – the family dog.

While Cat will brag about her family (and she should!) the PWB is lucky to have Cat to brag about. With her neverending enthusiasm, wonderful ideas, and passion for the community, Cat Kerns is a valued and loved Professional Women in Building member.

To find out more about becoming a member of the Professional Women in Building Council, call the HBA Saginaw office at 989-793-1120.

Gen Z See Value in Trades Careers Trades training is an attractive alternative to student loans for frugal Gen Zers, who seek financial success and entrepreneurial opportunities at a young age.

On top of the technology disruption and skilled labor shortages already underway, the construction industry is entering a demographic reshuffle as baby boomers continue to retire and a new crowd of young people makes its way to the industry. To better attract the next upand-comers, a number of organizations are turning their focus to a newly defined group of young people: Generation Z. They were born between about 1995 and 2010 (ages 9 to 24), and while the research is early-stage, it looks like the financially prudent, entrepreneurial and handson aspects of construction will appeal more to these individuals than their millennial predecessors.

Build Your Future, an outreach

program under the umbrella of the National Center for Construction Education and Research (NCCER), is appealing to Gen Z’s financial instinct by telling young people about earn-while-you-learn job training and paths to career success — even business ownership — that don’t require a four-year degree. School administrators — helped by President Donald Trump’s reauthorization of CTE funding in the Carl D. Perkins Career and Technical Education Act of 2006 — are increasingly able to create programs that will both allow hands-on experiences and provide students exposure to careers in construction.

“Young people who are exploring construction careers like to hear about the perks

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DESIGN MARKET

Gen Z Cont.

of the job and the options in front of them from experienced professionals,” said Stephanie Davis, vice president and chief learning officer at the Greater Michigan Construction Academy (GMCA). For this reason, the Associated Builders and Contractors-affiliated program connects students with local contractors and mentors early on so they can understand what companies look for in an

“...they can sign the front of the checks.”

-Stephanie Davis, GMCA

EVOLVE

Want Creative Services?

Terese DiMercurio, Exec. Asst. tdimercurio@hbas.org Ph. 989.793.1120 hbas.org

employee, what wages they can expect to earn and how they can grow in their career.

Another way to satisfy Gen Z’s appetite for career success is to demonstrate how they can start out with tools and one day become construction business owners. “We’re trying to teach them that they can sign the front of the checks if they start out with the right education and hands-on skills,” Davis said. Members of Gen Z are thoroughly comfortable with technology, could come up with new ways to use tech to solve common problems faced by the industry.

More than other generations, this group pays close attention to the ways businesses present

themselves online and on social media.

Companies that post on their websites and to social media about their philanthropic involvement and commitment to their employees, for example, could do well to draw young people’s attention.

Click here to view full article by Kathleen Brown for Construction Dive.

You can now earn your degree through the Home Builders Association

partnership with

Davenport University.

• Earn your graduate, undergraduate or associate

degree in Business, Technology or Health • 20% tuition discount for all HBA employees,

members, spouses and dependents Full degree programs are being offered to HBA members and employees at all Davenport University campuses and online. Don’t miss this opportunity to complete your degree!

Visit us at davenport.edu.

davenport.edu | 800-698-1600 #6025

Green Building Becomes Standard New homes are becoming more efficient and environmentally friendly.

Homes are increasingly being designed, constructed and operated toward the greener end of the construction continuum. And many of the design features associated with green building carry direct consumer benefits, such as greater comfort, lower utility bills, reduced maintenance and increased value.

Research by NAHB and others shows that many home buyers are interested in green.

NAHB’s report, Housing Preferences of the Boomer Generation: How They Compare to Other Home Buyers, asked home buyers across four generations — millennials, Gen Xers, baby boomers, and seniors — what features they consider essential/desirable in a new home. Energy-efficient strategies, including ENERGY STAR appliances and windows and above-code insulation, made the most-wanted list and

would positively influence the purchase decision of 80% or more of all home buyers.

NAHB’s 2017 Green Practices Survey, conducted to gather information on highperformance building practices used in 2016, showed that resource efficiency, site choice and lot design were the most challenging aspects of residential green building.

Golf Outing Presented By When Cost

August 9, 2019 | 9am Shotgun Start Twin Oaks Golf Club | 6710 W. Freeland Rd.

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Sponsorships Available!

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HBA CONNECT Member Spotlight Hosted by Professional Women in Building

Join your fellow members for an evening of dinner, drinks, and networking.

PWB hosts this special Connect with spotlight member, Builders First Source!

$ Builders First Source 5340 Midland Rd. Saginaw, MI 48603

Monday Feb. 25 5:30pm - 7:30pm

This even is FREE for HBAS Members and prospective members.

RSVP BY 2/20 RSVP TO Company: ___________________ Who’s Coming? ________________ __________________________ __________________________ The Maytag Store Lamson Humphreys Law Preferred First Insurance Builders First Source Hastings Mutual Insurance

Online hbas.org under Events Email tdimercurio@hbas.org Fax 989.793.0459 Mail 3165 Cabaret Tr. S. | Saginaw 48603 Phone 989.793.1120

EVENT CHAMPIONS Yeo & Yeo CPAs & Business Consultants Credit Services of Michigan Laurence Smith Windows & Doors

My Member Insurance MLive Farmers Insurance Boufford Builders Zietz Builders

Busiest Construction Seasons Forcasted Globally Prince Edward Island in Canada is set to see one of its busiest construction seasons to date.

Click here to view the full article from The Guardian.

The anticipated busiest construction season ever could put a strain on the available workforce, according to a labor market report. BuildForce Canada, in its labor market forecast released Monday, said the industry will have to “remain nimble’’ to ensure

that labor supply meets demand. The province is experiencing a construction boom driven by continued growth in housing starts and peak levels of investment in engineering projects and industrial, commercial and institutional buildings.

BuildForce Canada’s forecasts that steady immigration-driven population growth will sustain

demand for new housing and public-service facilities across the coming decade, adding 600 jobs by 2022. “In the short term, the industry will need to rely on greater worker mobility and continue to engage large numbers of young people to enter the construction labor force,” says Bill Ferreira, executive director of BuildForce Canada.

MIOSHA at HBAS

Tarah Kile with MIOSHA will have special office hours at HBA Saginaw during 2019. She will be available to assist with questions, concerns, safety manuals, and more.

MARCH OFFICE HOURS Mach 15 from 9am until 1pm.