Chalkline Magazine Fall 2021 by MAP Publications

The

FALL 2021

The Official Publication of the Home Builders Association of Marion & Polk Counties

A New Set of Rules

President’s Message ��4 A New Set of Rules �� 6 Trade Show Night is Back! �� 9 New Medical Insurance Program �� 10

CONTENTS / MEMBERSHIP & BOARD

2021 Board of Directors Contents

OFFICERS PRESIDENT

Nolan Fridley, Nolan Fridley Construction VICE PRESIDENT

Jason Sawyers, Randy Fultz Custom Homes, LLC SECRETARY/TREASURER

Oleg Foksha, Foksha Homes ASSOCIATE VICE-PRESIDENT

Keith Owen, Owen Construction IMMEDIATE PAST PRESIDENT

Brett Tallan, M.J. Tallan Construction FORMER PAST PRESIDENT

Rick Massey, Richard Massey Construction

BOARD MEMBERS Ross Bowman, Rich Duncan Construction Mike Devlin, Withers Lumber Jeremy Haller, Interstate Electric Natalie Janney, MultiTech Engineering Chad Montgomery, Montgomery Construction Group Brad Moore, AmeriTitle Caleb Remington, Remington Built Santiago Sarmiento, Sarmiento’s LLC Kevin Scerini, Sunco Homes & Remodeling Jordan Schweiger, Good Well Construction Bruce Wadleigh, Barn Wood Naturals Andrew Wheeler, T. Wheeler Homes, LLC

Association Staff Mike Erdmann, Chief Executive Officer mike@HomeBuildersAssociation.org Haley Hamilton, Director of Shows & Events haley@HomeBuildersAssociation.org Carrie Daye, Director of Member Services carrie@HomeBuildersAssociation.org Brad Nanke, Director of Safety & Training brad@HomeBuildersAssociation.org Tracy Mitchell, Contract Accountant accounting@HomeBuildersAssociation.org

Home Builders Association of Marion & Polk Counties 2075 Madrona Ave SE Suite 100, Salem, OR 97302 tel 503-399-1500 | fax 503-399-0651 www.HomeBuildersAssociation.org

The Chalkline is published by the HBA and Mt. Angel Publishing, Inc. Designer: Steve Beckner To advertise, call 541-944-2820 or email jerry.s@mtangelpub.com.

www.HomeBuildersAssociation.org

The Spike Club is an exclusive group of members who contribute to the growth of the association by recruiting and retaining members. Spikes maintain a special status, have the respect of their peers as valued members of the HBA and are recognized for their efforts locally and nationally. To become a Spike, bring in six members to the HBA. Applications for prospective members may be obtained from the HBA office, or call to have one sent to the prospective member.

President’s Message �� 4 A New Set of Rules �� 6 Safety Update �� 8 Medical Insurance Program ��10 Vital Statistics �� 14

ALL TIME BIG SPIKE 1500+ John Gooley 2606

STATESMAN SPIKE 500+ Ric McNall 804

SUPER SPIKE 250–499 Tim Mametieff 487 Mike Smith 468 Rick Massey 430 John Mills 424 Mike Meaghers 372

Dan Dorn 366 Jeffrey Green 355 Dean Kaufman 334 Chuck Foster 290 Jubal Frost 270

ROYAL SPIKE 150–249 Steve Johnson 244 Mike Riddle 223 Don Druliner 202

Tom Wheeler 200 Rick Ziebell 169 Ken Hannegan 164

RED SPIKE 100–149 Kelvin Dettwyler 145 Rob Rardin 124

Jerry Page 101

GREEN SPIKE 50–99 John Hammer 98 Lora Creswick 93 Matt Holstege 91 Jordan Schweiger 84 Rich Kansky 84 Kent Kaufman 81 Larry Bilyeu 75 Brad Moore 77 Eric Olsen 70

Kathy Temple 65 Bruce Hardy 64 Don Sturgeon 62 Kerry Kuenzi 61 Mike Smith 56 Serge Serdsev 55 Eric Templeton 53 Randy Melton 50

LIFE SPIKE 25–49 Eric Jensen 48 Chris Pfeifer 48 Steve Herr 46 Jim Hobbs 45 Rich Tovar 46 Ryan Bloedel 44 David Hafner 36 Kimberly Hosmer 37 Michael Devlin 37

Jason Sawyers 35 Nolan Fridley 35 Jason Sawyers 35 Tim Kelsh 34 Rich Fry 26 Laura Dorn 28 Mark Shipman 27 Kevin Stone 27

BLUE SPIKE 6–24 Hunter Emerick 26 Kraig Kelly 23 Randy Reeves 23 Steve Hurley 22 Jason Robertson 21 Robert Kleinke 21 Chad Robb 18 Oleg Foksha 14 Brett Tallan 13 Andrew Wheeler 13 Don Lulay 12 Brett Tallan 12

Gary Epping 11 Ricky Fast 10 Chad Montgomery 10 Chris Rasmussen 10 Jim Sparkman 9 Bonique Hollinrake 8 Tim Roth 8 Becky O’BrienGardinier 6 Leslie Savage 6 Tracy Belle 6

New & Reinstated Members Abate Right Inc. Mitchell Stephens 503-409-1405 Allison Concrete Sergio Leyva 503-314-5138 Spike: Jordan Schweiger At Ease Roofing, LLC Heather Hernandez 503-881-8141 Spike: Santiago Sarmiento Bilian Bene Inc Vasily Frolov 503-881-7200 Blue Sky Farm, Inc. Cam Buck 503-931-1421 Breezy HVAC & Construction Trevor Jaeger 503-569-8840 CD Redding Construction Inc. Bill Wright 503-581-0048 Green-Go Construction, LLC Victoria Elizrarraras 503-871-4628 Kaufman Commercial LLC Jeremy Kuenzi 503-871-4152 Spike: Kent Kaufman New & Reinstated Members continues on Page 14

Dropped Members Do you know or do business with any former members of the association? If so, give them a call and encourage them to maintain their HBA membership. You’ll get a Spike Credit, plus help keep the association strong.

Aspen Landscape David Fedlacek 503-851-5151 Creative Electric Nestor Zarkoff 503-634-2454 Locktite Preservation Kris Mood 503-989-6359 Lowe’s Home Improvement - Keizer Tabatha Sabey 503-304-3038

We are an association of building industry professionals committed to supporting our members. We advocate for balanced, efficient, and responsible development while promoting the social and economic values of homeownership in our community. Fall 2021 | The Chalkline | 3

President’s Message I hope you’ve all had a nice summer. We saw a great turn out from the community at the Tour of Homes in July. Being together and seeing so many familiar faces was a welcomed bright spot in the last 18 months. I want to personally thank the HBA staff for working overtime to pull off such a great event, and each builder and vendor who participated. It is such an important event for the HBA, the funds that were raised will go to helping us further the interests of the building community. Now that everyone has had a chance to recover from that busyness, I wanted to communicate some details regarding the remainder of our year for our association. I didn’t expect to still be talking about new mandates surrounding COVID at this point in 2021. It’s disappointing and tiresome to say the least. Here at the HBA, we are going to be considering the best course of action for our association, as well as sending out updates on how these mandates may affect your businesses. We will do our best to be a resource for you as we get ahold of new information and guidelines. Considering the current COVID climate, we feel it’s the most responsible course of action to postpone our Trade Show night, originally scheduled for late September. This

by Nolan Fridley 2021 HBA President

is typically a fun event with plenty of food and close interactions. We would like to maintain that. We are currently working with the convention center on their available dates for when we could resume this form of event. Our October dinner will be cancelled as well. Like many of you, we are frustrated to be cancelling once again. We appreciate your patience with us as we navigate and change course due to ever-changing mandates and restrictions As of now, we hope to be back together in person during the month of November. Details for our upcoming in person events will be sent out as soon as they are finalized. Looking forward to seeing your faces soon!

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A new set of rules State code on the way will challenge builders and likely mean higher prices By James Day Some new building codes are on the way that will change the landscape for builders as well as what homes look like and cost. The new code was adopted in April but doesn’t become mandatory until Oct. 1. “Traditionally the division will grant an implementation grace period from the time the new building code is adopted until it is required for use on all new building permits,” said Mike Goodrich, who handles code and green building issues for the Oregon Home Builders Association. “Given some of the significant changes for many builders in this code, the pandemic, the wildfires and our completely broken supply chain the division was good enough to grant an extended grace period of six months for this code.”

Jordan Schweiger of Good Well Construction in Salem, said the new code might mean 11- or 12-foot ceilings will replace 10-foot ones. “You have to hide it somewhere,” Schweiger said of the ductwork. “People don’t want to see an extra frame element in the house taking up space that could be used for living purposes.” The goal of the new ductwork code is to improve heating and cooling performance and move toward U.S. Department of Energy Zero Energy Ready Homes (ZERH) performance by 2023. Oregon incorporated portions of the ZERH insulation and installation requirements into the new code. Additional pieces of the new code that relate to the ductwork issue include an air sealing requirement as well as “wholehouse balanced mechanical ventilation.” That means that builders must install a system that pulls fresh air in and simultaneously exhausts air out at a rates within 10% of each other.

“It’s going to be a rude awakening for some,” said Mike Erdmann, CEO of the Home Builders Association of Marion & Polk Counties. “Many contractors aren’t paying enough attention to these code changes.”

Goodrich also noted some new code that affects structural pieces of home building. Instead of using maps to identify required seismic, wind and snow load design criteria for different areas of the state, the new code uses searchable geographic databases to provide location-specific

The biggest change, say home builders association officials and local builders, will be in the ductwork for heating and ventilation systems. “All ductwork must be installed within the conditioned space (the thermal envelope, the conditioned area within the insulation),” Goodrich said. “This includes all of the supply and return air ductwork as well as the air handlers. No more furnace in the garage or attic with ductwork running through the attic and/or crawlspace. It will be the heaviest lift in the new code for many builders.” “This changes things all the way back to where we design a home and do the plans,” said Andrew Wheeler of T. Wheeler Construction in Salem. “And it’s going to be a rude awakening on top of all of the other price increases. It kind of compounds things.” Jason Sawyers of Randy Fultz Custom Homes in Turner, says that the new rules on ductwork alone will add perhaps $15,000 to the cost of a home. “Builders are going to have to be very creative as they design and build heating spaces,” Sawyers said. “And it will create design effects that most homeowners aren’t gong to appreciate.” 6 | The Chalkline | Fall 2021

information. The good news, Goodrich said, is that the databases provide more accurate design data and in many cases will result in a reduction of required values since the previous maps often covered entire counties, with the most restrictive values in the county or area necessarily applying to all portions of the county. The bad news, he said, is that “builders and designers will need to spend some time becoming familiar with using the new database search features and they should be prepared to revise plans or calculations based on the new values.” Another structural feature that is changing involves lateral bracing. Two longstanding statewide alternate methods (SAMS) have been retired. A new method is in the code, with builders and designers needing to become familiar with the model code methodology. “Many thousands of base plans in Oregon have been designed using the SAMS,” Goodrich said, “and it is likely that builders www.HomeBuildersAssociation.org

and designers will need to revise those plans prior to submittals.” Goodrich added that there are many other significant changes related to stairways, egress paths, decks, pony wall framing and much more in the new code and “builders and designers should be getting up to speed now if they are not already.” Others need to be brought up to speed as well. Wheeler noted that subcontractors will need to get informed. “This affects them more than us,” Wheeler said. Plans, many of which builders use over and over, are out the window.

“And there’s the paradox,” he said. “All of this new code is designed to be climate-friendly, but if all the building is out of town people will have to drive in to Salem to work. The commute effect. And that doesn’t make any sense.” also expressed concerns that code-fueled price increases give people the impression that builders are making money hand over fist. “We have a lot of risk in what we do,” he said. “Most builders are just trying to do the job and move on to the next project and make a bit of a profit. I can get on a soapbox a bit on this.”

“A lot of things we have been doing for years we can’t do anymore,” Sawyers said. Sawyers added that the new changes “make affordability all but impossible. How do you make it affordable when every two years they make it more expensive?” The new code compounds the current challenge of working with planning departments amid the pandemic and issues with lumber prices and other supply chain issues. “The city of Salem is pro-development,” Schweiger said. “It just takes a lot of time to get permits.” Schweiger said the bottlenecks are driving some builders to places such as Independence, Turner or Dallas where they can get things done quicker.

FOR MORE INFORMATION For builders and contractors who would like additional information on the code the Oregon Home Builders Association is providing training through Home Builders University. Go to https://oregonhba.com/oregon-homebuilders-university-2021-new-building-codes-training/ to sign up. The aim is to not only provide an overview of the regulatory changes but also anticipated impacts on contractors and possible compliance strategies from a builder’s perspective. The state Building Codes Division provides some training resources, video and powerpoint at https://www.oregon. gov/bcd/codes-stand/Pages/orsc-update-resources.aspx.

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Fall 2021 | The Chalkline | 7

HBA NEWS

New OSHA Wildfire Smoke Rule Overview On March 10, 2020, Governor Brown issued Executive Order 20-04 (EO 20-04). EO 20-04 includes a directive to the Oregon Health Authority (OHA) and Oregon OSHA to jointly develop a proposal for a standard to protect employees from workplace exposures to wildfire smoke. In response to EO 20-04, Oregon OSHA, in collaboration with the OHA, advisory committees, and stakeholders, is working towards developing the proposed standard. In the interim, Oregon OSHA implemented a Temporary Rule on Protection from Wildfire Smoke (https://osha.oregon.gov/OSHARules/adopted/2021/ temp-rule-protection-from-wildfire-smoke.pdf) that became effective .on August 9, 2021.

Temporary Wildfire Smoke Rule Requirements Information and training Beginning August 16, 2021, and unless the employer predetermines that operations involving wildfire smoke exposure will be suspended before employees are exposed to a workplace ambient air concentration for PM2.5 at or above 35.5 ug/m3 (AQI 101), the employer must ensure that employees who may be exposed to such levels have been trained. Oregon OSHA has developed a training program in English and Spanish that covers 6 of the 10 training requirements: https:// osha.oregon.gov/edu/courses/Pages/wildfire-smoke-onlinecourse.aspx. Communication system Before workers are exposed to an AQI 101, employers must develop and implement a system to communicate wildfire smoke hazards, including: Notifying employees when the worksite’s ambient air concentration is at or above AQI 101 Giving notification when ambient air concentration is at or above an AQI 201, which involves very unhealthy air quality with the risk of health effects increased for everyone.

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safety Brad Nanke HBA Director of Safety and Training

Notifying employees when the ambient air concentration is at or above an AQI 500. Notifying employees when the ambient air concentration drops below levels requiring protective measures. Exposure controls Whenever feasible, employers must use engineering or administrative controls to reduce employee exposure to less than AQI 201. Engineering controls include enclosed buildings or vehicles where the air can be adequately filtered. Administrative controls include relocating work to another outdoor location with better air quality or changing work schedules. Whenever employee exposure exceeds AQI 201, even after the use of engineering or administrative controls – or both – employers must ensure workers wear filtering facepiece respirators approved by the National Institute for Occupational Safety & Health (NIOSH). Such respirators include what is commonly known as an N95. Whenever employee exposure exceeds an AQI 101, employers must maintain an adequate supply of NIOSH-approved filtering facepiece respirators that effectively protect wearers. Such respirators must be provided at no cost and be readily available for voluntary use to all exposed workers at their request. For the 2021 season, KN95s previously approved under the U.S. Food and Drug Administration’s emergency use authorization can be substituted for NIOSH-approved filtering facepiece respirators for exposures below an AQI 499. For exposures at AQI 500 and above, NIOSH-approved filtering facepiece respirators must be used.

Resources and Wrap-Up In addition to materials from OR-OSHA, the Oregon Home Builders Association has a plan template available at https:// oregonhba.com/ohba-wildfire-smoke-plan/. KN95 respirators are available to you for free (four per employee) at the local HBA office so give us a call or stop on in to pick them up before you need them. The rules advisory committee should complete their work on recommendations for the permanent rule soon and we will keep you up to date on the status of the rulemaking. Give Brad Nanke, HBA Director of Safety & Training, a call at 503-9909216 if you have any questions or concerns. www.HomeBuildersAssociation.org

Trade Show Night

Registration is now Open

is Back!

Presented By

Tuesday, November 9, 2021 5-7:30pm

Salem Convention Center Network with over 150 industry professionals

Admission includes entrance into Raffle with over $2000 worth of prizes One Grand Prize winner will take home $500 cash $29.95/person

Limited Vendor Space Available Food Sponsored by Drinks Courtesy of Contact Us:

503-399-1500

haley@homebuildersassociation.org

HBA NEWS

HBA Announces New Group Medical Insurance Program One of the biggest requests of both new and existing association members is access to group medical insurance offering discounted rates below what they’re able to find on the open market. To that end, the Home Builders Association of Marion & Polk Counties is excited to announce a new partnership with the Building Industry Insurance Trust (BIIT) to offer HBA members a new affordable health insurance option with Regence BlueCross BlueShield of Oregon. The Building Industry Insurance Trust is designed to serve HBA members in the building and construction industries by providing top-notch employee benefit plans at an affordable price. HBA members have exclusive access to BIIT, giving employers the opportunity to save on their health insurance premiums by leveraging the pooling power of the HBA to get the best possible rates. Our strategic partnership with Regence BlueCross BlueShield and LifeMap gives your employees access to the best insurance carriers in Oregon. BIIT offers more than 15 medical and dental plan options to ensure you can find a plan that best fits your employees and their families at a price that fits your company’s budget. BIIT, which has been operating successfully in the Portland area for the last couple of years, is modeled on the incredibly

successful medical insurance program sponsored by the Washington A membership benefit of Building Industry Association that covers thousands of employees and offers rates well below market. By pooling together members of the program, members may be able to realize savings of 10 – 15% or more on their health insurance premiums. Eligibility for BIIT is restricted to HBA members who have at least one employee, and are engaged in construction related work, including builders, subcontractors, material suppliers and related trades. The Building Industry Insurance Trust is marketed exclusively in Marion & Polk Counties by Huggins Insurance / Bliss Sequoia. To get a quote, please contact Lance Barnwell at 503-364-5401 or email biit-sales@huggins.com.

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Haley Hamilton Joins HBA Staff as Director of Shows & Events The Home Builders Association is excited to welcome Haley Hamilton as the association’s new Director of Shows & Events. Haley comes to the HBA with more than 15 years’ experience in the event industry, most recently at Salem’s Grand Theatre. Her expertise includes the development of successful sponsorship programs, as well as building and managing both new and established events. In her new role, Haley will be responsible for managing the HBA’s Mid-Valley Home Show and Yard, Garden & Home Show, the Tour of Homes and Tour of Remodeled Homes, as well as other member networking and business development events such as Trade Show Night, the annual golf tournament and monthly member dinners. Some of you may know her from Salem Area Chamber of Commerce events where she is currently the Chair of Chamber Business Women. Haley lives here in Salem with her spouse, their youngest two (of 5) children and three dogs, and enjoys water sports and travelling. She can be reached at haley@ homebuildersassociation.org, or by phone at 971-332-1091. We hope you’re as enthused about the return to in-person events and will make plans to join us at these and other HBA activities!

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Fall 2021 | The Chalkline | 11

The Mid-Valley Home Show returns for 2022! As a vendor you will have the opportunity to market to over 5,000 consumers who are looking for that inspiration, new trend or are shopping for projects they already have in mind. Our consumers are ready to see new and innovative ideas that are coming out in 2022! Having a booth will put you in front of those who are eager to start their projects, purchase finishing touches or plan their next one. We are shaking things up a bit in 2022 with a new layout, new sponsorship opportunities, more advertising opportunities for you as a vendor, directory of listings by business type and so much more! We hope to see you there! Reminder as a member of HBA you receive a $50 discount on your booth space. For more information please visit our website at homebuildersassociation.org or call Haley at 971-332-1091

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Vital Statistics NEW RESIDENTIAL CONSTRUCTION

Information Courtesy of Willamette Valley Multiple Listing Service

KEIZER

CENTRAL SALEM

SUBURBAN EAST—N

SUBURBAN EAST—S

SE SALEM

SOUTH SALEM

WEST SALEM

MARION COUNTY

POLK COUNTY

TOTAL

197

128

176

193

836

$435,690

$349,250

$361,830

$337,569

$426,275

$514,548

$435,553

$447,370

$355,587

$401,132

Average Square Footage

2,223

1,516

1,846

1,708

1,806

2,244

2,392

2,052

1,658

1,897

Average Cost per Square Foot

$198

$233

$200

$204

$246

$228

$182

$221

$218

$216

Average Days on the Market

120

116

173

155

129

131

139

137

Currently Active Listings

Units Sold 12 Months to Date Average Sales Price

Sold Units-12 Months to Date

Months of Inventory on Market

Top Area Builders RANK

BUILDER

PERMITS*

DR Horton Inc.

Forrest Ridge Homes Inc.

Stafford Homes & Land LLC

Wind River Homes

Hayden Homes LLC

6. (tie)

Banner Homes

Don Lulay Homes Inc

Lapray Development

Comfort Homes

10.

Fowler Homes

Data for all areas of Marion and Polk Counties. August 1, 2020 - July 31, 2021. Data compiled from building permits applied for through Salem, Marion County, Polk County, Dallas and Independence building departments.

Welcome New & Reinstated Members

continued from page 3

Morrow Equipment Company, LLC Peter Juhren 503-585-5721

Pro Elite Construction & Remodel Amber Cruz 503-983-5020

NWG Tree LLC Chris Kelley 971-900-3048

Salem Mobile Mix Lance Davis 503-910-9742

Portland Dock & Door dba Salem Garage Door David Stillwell (503) 390-7020 Spike: John Hammer

14 | The Chalkline | Fall 2021

www.HomeBuildersAssociation.org

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Regence BlueCross BlueShield of Oregon, BIIT, Home Builders Association of Marion and Polk Counties, and Huggins Insurance have partnered to bring you a health plan that’s focused on the well-being of your employees and your business. Powered by the most trusted name in health insurance, your plan offers access to a broad provider network and support from an award-winning customer service team. To learn more or get a quote, visit www.huggins.com or call 503-585-2211

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