2016
Impact Report
Thank You FOR YOUR SUPPORT!
Table of Contents Introduction......................... 2 Advocacy............................ 3 Connections........................ 4 Information.......................... 5 Education........................... 6 Marketing............................ 7 Benefits.............................. 8 Workforce........................... 9 Community Service............10 Honors............................... 11 The HBA of F-M promotes an environment in which members and their businesses can prosper.
k c a B r u o Y t o G e v We’ 2016 BOARD OF DIRECTORS
President Tom Spaeth President Elect Tyrone Leslie Treasurer Dustin Murray Associate Vice President Paul Krabbenhoft Secretary Robin Swanson Directors Dawn Cruff Jason Eid Darrick Guthmiller Ursula Hegvik John Koerselman Kimberly Krueger Tehan Stephanie Lindemann Terry Lipp Gary Orth Todd Rasmussen Broc Roberson Past President Clay Dietrich Senior Life Director Gerald Eid Life Directors Don Dabbert, Jr. John Gunkelman Ken Krajsa Dan Lindquist John Mahan NDAB Ex-Officio Directors State Representative John Gunkelman BUILD-PAC Trustee John Koerselman Associate National Director Ken Krajsa Second Vice President Dan Lindquist
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The Home Builders Association of F-M has your back, and we aim to promote an environment in which our members and their businesses can prosper. We were laser-focused on that goal in 2016. We also celebrated our long history and awsome members, and gave back to this great community. Thank you for your support and for a great year! You will read more details throughout this document, but here are my top six highights from 2016: 1. Diversion Funding - Thank you to everyone who helped spread the word on Fargo City Measure 1 and Cass County Measure 1 extending existing sales taxes for diversion funding. Both measures passed in November, securing long-term financing for the Metro Flood Diversion Project. The HBA of F-M was a vocal proponent of the Vote Yes campaign and a major reason the measures passed strongly. 2. Industry Careers - The HBA of F-M and Home Builders Care of F-M Foundation have developed a fantastic video to appeal to parents and kids. See it at www.hbcfm.com. Plans are in the works to create more videos, and increase efforts to reach that audience. 3. Housing Impact Study - We released a study for the FargoMoorhead metro area in October showing that building can create jobs, pay taxes and expand the economic base. Our area singlefamily market pays for itself almost right away. This is extremely valuable information when communicating with our local and state governments about overreaching regulation. 4. Community Service - The HBA of F-M began working to refresh the Dakota Boys and Girls Ranch youth home. This is a facility providing group foster care, offering a safe place to live and supportive services for children suffering from psychiatric, behavioral and trauma issues. Home Builders Care also kicked off a build with Homes for Our Troops to construct a home in Moorhead for a veteran of the armed services. We’re excited to see these projects through in 2017, and for the budding relationship with Dakota Boys and Girls Ranch that may branch out to workforce development. 5. Technology Advances - We began providing a mobile app for the Home & Garden Show and Parade of Homes. We also launched a dedicated website for the Parade events. These tools help keep us up with the times, allowing people interested in building or remodeling to find our members faster. 6. 60th Anniversary - Last but definitely not least, we celebrated 60 outstanding years serving you, the member, in 2016. While many things have changed over the decades, the primary reason this Association exists has not. We focus on the promotion of homeownership and fighting legislation that would result in cost increases to the residential home buyer.
2016 HBA of F-M Impact Report
ADVOCACY
A Force for Diversion Funding
HBA of F-M leaders and staff were active with the Citizens for Fair Diversion Funding in managing a campaign promoting a Yes vote on the sales tax extensions in Fargo and Cass County. The approval of the extensions people are already paying provides permanent flood protection for the people, communities and businesses of our region. Sales taxes will stay at the current level they are today. They include future generations who will benefit most from the diversion; eliminates the need for flood-related property taxes and special assessments; and avoids costly flood insurance increases. If the project is paid for before 2084 the tax will expire.
Supporting Candidates Friendly to Housing
HBA of F-M hosted five Candidate Forums and two legislative socials attracting over 70 candidates and officials to discuss issues important to members, such as flood protection and special assessments. These meetings allow leaders to learn about those running for office and foster relationships by allowing HBA of F-M leaders to introduce themselves and resources to community leaders.
Monitoring Buyer Tax Exemptions
Fargo’s Tax Exempt Committee heard from HBA of F-M leadership as its members discussed the two-year tax exemption on new construction, and potential changes. Efforts resulted in the committee deciding to keep exemptions at their current levels. Buyers of a new home can save up to $4,000 on their property tax.
$4,000
maximum saved by buyers purchasing homes in Fargo and utlizing two-year tax exemption
d r a w r o f d e r u s n E t n e n a m r e p f o t n moveme tection. flood pro
HOW HBA IMPACTED YOUR BUSINESS IN 2016
Candidates for Horace City Council participate in a Candidate Forum at the HBA of F-M.
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CONNECTIONS
impact by the numbers
-- Total Members: 901 ∙∙ Builders: 214 ∙∙ Associates: 612 ∙∙ Affiliates: 75 -- Retention Rate: 92 percent -- Members Recruited: 86 -- Total Committee Members: 197 Neworking -- 64 committee meetings -- 16 board meetings -- 10 member networking events Learn about each other -- 52 Weekly emails -- 12 Plains Builders -- 1 Directory -- Website -- Social media
s p i h s n o i Relat BOUT IT’S ALL A
The heart of the HBA of F-M remains within its members and its core of a volunteer board of directors and committees. In 2016, the HBA of F-M had a member retention rate of 92 percent (one of the highest in the nation) and welcomed 86 new members.
Hard Hat Happy Hours to Dinner Meetings
Those who get involved in the HBA of F-M make the most of their membership! The HBA of F-M coordinates member meetings and gatherings designed for networking and information sharing. Member meetings range from a New Year Celebration to our “Chilly” CookOff, the Parade of Homes Celebration to a family picnic. In 2016, the Association added two Hard Hat Happy Hour gatherings to its repertoire. The Association continued its professional-level member meetings by incorporating professional audio-visual equipment at three events and higher quality videos and slide shows offering a memorable experience for attendees. The HBA of F-M offers two Golf Outings each summer that are the Association’s most popular networking opportunity. Members enjoy getting together for a stress-free afternoon accompanied by great food and prizes.
Learn About Your Peers
Outside of face-to-face gatherings, members can learn about each other and HBA of F-M happenings though many communications channels, including the weekly email, monthly magazine, yearly directory and our several social media sites
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2016 HBA of F-M Impact Report
INFORMATION
Promoting the Building Industry as an Economic Driver
Providing Valuable Permit Data
HBA of F-M’s 2016 Housing Impact Study conducted by the National Association of Home Builders found that the estimated one-year metro area impacts of building 1,149 single-family homes in Fargo include: -- $221.4 million in local income, -- $15.1 million in taxes and other revenue for local governments, and -- 3,215 local jobs. This type of information is invaluable when having dialogue with local governments about additional regulation that can stall or slow homebuilding due to increased costs for homeowners.
The estimated one-year metro area impact of building 1,149 single-family homes:
$221.4 million in local income.
Expanding its building permit report information, HBA of F-M contracts with an accounting firm to compile the building permits in a uniform report for eight jurisdictions surrounding the F-M metro area on a monthly basis. The Association still offers a monthly update from Dilworth, Fargo, Moorhead and West Fargo. The HBA’s comprehensive reports include summaries for each city, types of construction, valuations and comparisons to the past three years, giving members and suppliers incredible insight into industry and community trends, offered by no other source. In addition, at year-end, the HBA provides: -- a “Top Five” summary of home builders. -- a detailed report including all new home builders that pulled permits, the number they pulled and total value.
s e r u ig f d n a s t c a f Provided our industry on how y community. benefits our
HOW HBA IMPACTED YOUR BUSINESS IN 2016
HBA of F-M 2016 President Tom Spaeth, Accent Contracting, delivers a building permit report to the media.
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EDUCATION
impact by the numbers
Learning Opportunities -- 13 Lunch Sessions -- 1 Safety Course -- 4 Contractor Continuing Education Classes -- 3 Other On average, a member saved $250 over a nonmember
m s i l a n o i s Profes BOUT IT’S ALL A
Providing Quality, Affordable Industry Education
The HBA of F-M develops education programs for the industry and provides continuing education credits required by Minnesota for builder licensing. The main goal is to assist the development, professionalism, and profitability of HBA members and the industry. The Association hosted nearly 30 learning opportunities serving hundreds of members and nonmembers through its programs last year. It provided classes satisfying education requirements for contractors in several specialties, as well as issues-related education for code updates and safety requirements. Four areas of education: -- Continuing education required by law -- Issues-related education -- Other education to foster professionalism -- Promotion of National Association of Home Builders’ and North Dakota Association of Builders’ designations The value of education is in the money saved by attending classes as well as the professionalism gained from knowledge of the latest industry trends.
sessions are ch un L l. ca lo ’s it e us is great beca The HBA’s education I was able to take part in safety courses, extremely affordable. association’s aging-in-place training. HBA as well as the national eat resource to small business owners like education provides a gr s! I don’t have access to corporate training me who wear many hat s may have. The HBA’s topics are on-point e opportunities that other my business and for our industry, and I hav to what is important to learned a lot. Sylvia Lunski , Inc. on Design Directi
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2016 HBA of F-M Impact Report
MARKETING
Rethinking Advertising & Sponsorships
Member choices for promoting their company to fellow members and the public have never been more diverse. In 2016, HBA of F-M expanded its advertising options to include the popular weekly email publication as well as websites for HBA of F-M and Home Builders Care of F-M Foundation. It also added a dedicated website for the Parade of Homes, offering its own advertising options. We are all about offering marketing the way you want it which includes digital, print and member-to-member. Options for print include the monthly Plains Builder member magazine, annual Membership Directory & Consumer Guide and bi-monthly Permits Plus. Sponsorships can be tailored to members’ needs, and include our public events, Member Meetings and education classes, just to name a few.
An example of advertising and sponsorship exposure:
68,352
pairs of eyes saw the logo of the Spring Parade of Homes’ platinum sponsor.
Updating Technology Tools for Public Events
HBA of F-M made strides related technology for its Red River Valley Home & Garden Show and the Parade of Homes and Remodeled Home Tour. People love their smart phones, so the Association offered mobile applications supplementing printed guides. Users can now access information about Parade homes and builders, as well as Home & Garden Show exhibitors and related events through their device. The Parade of Homes and Remodeled Home Tour also received a dedicated website, www.paradefm.com.
y g o l o n h c e t d e Provid g in k o o l e l p o e p r o resources f . l e d o m e r r o d il to bu
HOW HBA IMPACTED YOUR BUSINESS IN 2016
Consumers leave their shoes at the door while visiting a home on the Fall Parade of Homes.
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BENEFITS
impact by the numbers
F-M Home Builders Health Plan & Trust -- Total claims paid in 2016: $20.3 million -- Employer groups: 428 -- Participant contracts: 3,726 Average paid to participating builders in NDAB’s Rebate Program -- Within HBA of F-M: $10,000 9 participating builders -- Within NDAB: $5,700 30 participating builders
e n i L m o t t o Your B BOUT IT’S ALL A
Health Plan
Fargo-Moorhead Home Builders Health Plan & Trust is one of the HBA’s most popular benefits, designed for HBA members to maximize benefits and keep rates affordable. The uniqueness of the plan is the provider-based premiums, allowing members and their employees to review and select the plan and provider that meets their company’s budget. The plan offers health, dental and vision insurance, along with a short-term disability and life insurance policy.
3 Memberships in One
Upon joining the HBA of F-M, members also hold membership with North Dakota Association of Builders and National Association of Home Builders. The HBA of F-M also has a relationship with Builders Association of Minnesota for licensed builders in Minnesota.
Rebate Program
North Dakota Association of Builders offers this program allowing HBA builder members to qualify for the same manufacturer rebates the nation’s largest builders receive. Registration in the program and a quarterly claim form are the only requirements.
Program e at eb R e th in ng ti pa ci has been parti es om uilders/ H eb m om to h us r C fo l h d da ne g or si J de is Membership Discounts s. This program r ty ea al y y lo ve r fi ei st th la r e fo th es er at ov The Association offers several additional reb of e ag nt va r ad ve e O k opportunities for members . ta es to om d in h le al remodelers st in s em it gain visibility and save ed r tu ac , tomoney manuf ow r or g ts to uc d od ue in pr nt in in the process. co ta r s ce er r to ufactu an m d an s er li pp Those opportunities include su of is the years, the list money back in the customer’s pocket. It promotional shows and at which usually which ultimately puts see if you are installing items or products thgh advertising, incorporate a member This also includes very easy to enroll to am is extremely responsive and very thorou e. discount. the National Association of te bl B ta qualify. The NDA ake sure no rebate money is left on the Home Builders’ Member Advantage program, offering with all quhesdetions to m offers significant savings on Suzie Ro m Homes Jordahl Custo
vehicles by General Motors, Chrysler, Dodge, Fiat, Jeep and Ram, plus more.
Contractors Insurance
This special program designed for contractors and subcontractors is endorsed by the North Dakota Association of Builders. Members can insure their property, liability, auto, builders risk, tools and equipment with State Auto Mutual Insurance Company.
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2016 HBA of F-M Impact Report
WORKFORCE
Garage Project Affiliated with Academy Kicking Off Video Series on Careers In 2016, Home Builders Care of F-M Foundation entered into a partnership with the city of Fargo and Fargo Public Schools on a house build which was part of a Neighborhood Revitalization Initiative project. Through this partnership, Home Builders Care was responsible for building a garage during the summer, which was then used in the fall by students building the house. Home Builders Care brought the garage build to the Herdina Academy for the Construction Trades. It was a perfect fit for the students to experience an actual construction site. Students spent time at both the garage and on the Minnesota State Community and Technical College campus experiencing as many trades as possible. The Academy is the Association’s most important workforce development initiative. Members mentor the students, providing a real-world look at careers in construction.
3,080
students and parents touched by hands-on activities and video
Through captivating videos, the HBA of F-M and its charity, Home Builders Care of F-M Foundation, aim to build interest and participation in its existing events for area youth exposing them to the building industry. These events include the Lego Homebuilding Competition, Herdina Academy for the Construction Trades and Health, Tech & Trades Career Expo. They engage students and parents from the elementary level through high school. The first video was completed in 2016; view it at www. hbcfm.com. Plans are in the works to develop three more installments encompassing the industry as offering affordable educational degrees, lucrative careers and rewarding, fun, challenging work.
s e d a r t r u o d e c u d o Intr t n e d u t s n o s d n a h through and video. activities
HOW HBA IMPACTED YOUR BUSINESS IN 2016
Herdina Academy for the Construction Trades students learn about plumbing.
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COMMUNITY SERVICE
k c a B g n Givi BOUT IT’S ALL A
Dakota Boys and Girls Ranch
impact by the numbers
Dakota Boys and Girls Ranch -- Up to 12 adolecents living at youth home -- 2,539 toiletry items donated -- 22 companies participating in the drive
HBA of F-M started a relationship with Dakota Boys and Girls Ranch in mid2016 when Ranch representatives contacted Home Builders Care of F-M Foundation for help in refreshing its youth home for adolescents in need of residential care in the Fargo- Moorhead area. Over the holidays, the Association and its members organized a holiday toiletry drive for Dakota Boys and Girls Ranch, amassing more than 2,500 items including deodorant, toothpaste, toothbrushes, toilet paper, facial tissue, soap, shampoo, conditioner and lotion. The toiletries will supply children served by the Dakota Boys and Girls Ranch for a year. In addition to toiletry items, HBA of F-M staff and members purchased holiday wish list gifts for children residing at the Youth Home and Dakota Boys and Girls Ranch.
Homes For Our Troops
The national nonprofit organization, Homes For Our Troops, kicked off the building of a specially adapted home for Army Master Sergeant Eric Marts in September. MSG Marts was injured while serving in Iraq. The building process is being coordinated by HBA member ISR Homes, HBA of F-M and Home Builders Care of F-M Foundation.
Bathroom Remodel
With funding from Bell Bank’s Pay It Forward program, HBA of F-M members helped a Christine, N.D., home owner by remodeling her bathroom left in disrepair by an unlicensed contractor. Stone Ridge Builders managed the project. Delores Kramlich’s ordeal began when she paid a friend $1,200 to remodel her bathroom. He started the work, but never finished, leaving her without a shower, with leaky plumbing and rotted-out floors. After her story aired on local media in April 2015, the contractor refunded Kramlich’s money, but her bathroom remained in disrepair. rs e A memb
g and in n io t c n u f m o o r h t a b e h t It’s wonderful to have f the work. I just had my I’m very appreciative o oking forward to a shower and 78th birthday so I’m lo! working plumbing again h Delores Kramlic wner assisted by HB eo Christine hom
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2016 HBA of F-M Impact Report
HONORS
HBA of F-M Member Awards
The HBA of F-M annually recognizes members for their achievements and for their commitment to the Association and community. Here is a summary from 2016: Builder of the Year Tom Spaeth Accent Contracting Associate of the Year Dawn Cruff Green Team Realty BEAM Award (Builders Engaging Associate Members) Dakota Construction of Fargo, Inc. Extra Mile Award Eric Miller, Capital Credit Union Trevor Odden, Stone Ridge Builders, Inc. Learn more about these awards by visiting the members-only section at www.hbafm.com.
Association Excellence Awards
The National Association of Home Builders’ Association Excellence Awards is an annual program designed to recognize the outstanding accomplishments of state and local home builders’ associations and executive officers in the field of association management. In 2016, the HBA of F-M received the following: -- Best Membership Event - Over 600 Members (received for Awards Gala & Annual Meeting) -- Best Public Relations Program Conducted - Over 600 Members (received for the Lego Homebuilding Competition)
HBA OF F-M STAFF Chief Executive Officer Bryce Johnson brycea@hbafm.com Executive Vice President Krista Mund kristam@hbafm.com Director of Accounting & Records Amanda Ohlsen amanda@hbafm.com Director of Development & Education Jennifer Erickson jenny@hbafm.com Senior Events & Marketing Coordinator Allison Weckman allisonw@hbafm.com Communications Coordinator Chelsea Smith chelsea@hbafm.com Office Coordinator Tahra Doll tahra@hbafm.com Membership & Marketing Coordinator Sami Eidenschink sami@hbafm.com
HBA of F-M past presidents raise a toast to celebrate the Association’s 60th anniversary in October.
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Home Builders Association of Fargo-Moorhead
1802 32nd Ave. S. Fargo, ND 58103 www.hbafm.com | info@hbafm.com (701) 232-5846 | (701) 280-1108 fax
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