The Official Publication of the Home Builders Association of Marion & Polk Counties
PRESIDENT Jason Sawyers, Randy Fultz Custom Homes, LLC
VICE PRESIDENT
Oleg Foksha, Foksha Homes
SECRETARY/TREASURER
Jordan Schweiger, Good Well Construction
ASSOCIATE VICE-PRESIDENT Brad Moore, AmeriTitle
IMMEDIATE PAST PRESIDENT
Nolan Fridley, Nolan Fridley Construction
FORMER PAST PRESIDENT
Jubal Frost, Focus Development
Adam Kelley, Neighborly Ventures
Alyssa Wavra, Wavra Design Co.
Andrew Wheeler, T. Wheeler Homes, LLC
Beth Rhoades, C & R Remodeling
David Qualls, Parr Lumber
Fred Martin, F & W Fence
Jason Flores, Celtic Homes
Jed Bennett, Steve Bennett Construction
Jeremy Haller, Interstate Electric
John Eld, Bonaventure Senior Living
Natalie Janney, MultiTech Engineering
Santiago Sarmiento, Sarmiento’s LLC
Mike Erdmann, Chief Executive Officer mike@HomeBuildersAssociation.org
Haley Hamilton, Director of Shows & Events haley@HomeBuildersAssociation.org
April McVay, Director of Member Services april@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 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.
ALL TIME BIG SPIKE 1500+ John Gooley 2664
STATESMAN SPIKE 500+ Ric McNall 807
SUPER SPIKE 250–499
Builder FirstSource - Tangent
Matt Stanley (541) 223-4061
Mike Smith 479
John Mills 435 Rick Massey 433 Dan Dorn 369 Jeffrey Green 363 Chuck Foster 290 Jubal Frost 276 Mike Riddle 253
ROYAL SPIKE 150–249
Steve Johnson 247 Tom Wheeler 206 Don Druliner 203 Randy Fultz 177 Rick Ziebell 172 Ken Hannegan 166 Jordan Schweiger 164
RED SPIKE 100–149
Kelvin Dettwyler 145 Rob Rardin 126 John Hammer 100
GREEN SPIKE 50–99
Matt Holstege 95
Brad Moore 86 Kent Kaufman 85 Rich Kansky 84 Larry Bilyeu 75 Eric Olsen 73 Kathy Temple 65
Don Sturgeon 65 Kerry Kuenzi 63 Eric Templeton 57 Mike Smith 56 Serge Serdsev 56 Patrick Jackson 55 Randy Melton 50
Spike: Jason Sawyers
Coho Renovations
Chelsea Denney (503) 583-8701
Spike: Jordan Schweiger
Creative Products & Research John Clinton Pfingsten (503) 910-0562
Guaranteed Rate
Angie Stanley (503) 871-7629
Instruction Construction / Framing Solution LLC Alex Olsen (503) 999-1199
Keizer Chamber of Commerce Corrie Falardeau (503) 393-9111
Kithkin Real Estate
Brandon Fahlman (503) 400-7730
Spike: Jed Bennett
Neighborly Construction, LLC
David Jacobson (503) 510-2536
Eric Jensen 48 Rich Tovar 48
Jim Hobbs 47 Steve Herr 46 Ryan Bloedel 45 Michael Devlin 45 David Hafner 38 Nolan Fridley 37 Jason Sawyers 37 Tim Kelsh 34 Laura Dorn 29 Mark Shipman 28 Kevin Stone 28 Hunter Emerick 28 Randy Reeves 27 Rich Fry 26
Kraig Kelly 24
Chad Robb 23
Oleg Foksha 23
Peter Strauhal 22.5
Steve Hurley 22
Jason Robertson 22
Robert Kleinke 22
Andrew Wheeler 16
Brett Tallan 13 Don Lulay 12
Gary Epping 11
Chad Montgomery 11
Ricky Fast 10 Chris Rasmussen 10 Jim Sparkman 9 Bonique Hollinrake 8 Tim Roth 8
Tracy Belle 8 Kelli Terjeson 6.5 Dave Van Lydegraf 6.5 Barry Bray 6 Caleb Remington 6 Leslie Savage 6
Northwest Drilling & Boring, Inc. Mike Craig (503) 201-8218
New & Reinstated Members continues on Page 14
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.
3GS Construction
Roger Griswold (503) 871-8434
Berkshire Hathaway - Visay Naggi Visay Naggi (503) 371-3013
Blue Sky Farm, Inc.
Cam Buck (503) 982-4225
Commercial Property Resources
McKenzie Kinler (503) 585-0800
David’s Oregon Construction LLC
David Sarafinchan (503) 789-8575
Dropped Members continues on Page 14
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.
Hello everyone, I can’t believe the summer has already come and gone. It seems like it has only been a few weeks since the last time I sat down to write one of these letters. Hopefully you had a chance to spend some quality time with your families and get a little relaxation during this busy time of year.
This year even with the limited inventory we managed to have a smaller, but still successful Tour of Homes. If you managed to visit the Tour I hope you had a chance to see the HBA’s New Product House built by Oleg Foksha of Foksha Homes. I want to thank everyone who donated any time, material or labor to the project this year. Without all of your generous contributions we could not continue the good work to protect our trade. I would especially like to thank Oleg for taking on the task of building the home. We are all aware of how much time and stress is involved in building a home. He took this on with a challenging schedule and managed to complete the home in amazing time and on schedule. I would also like to thank his family for the time it took away from them. We owe a debt of gratitude to both Oleg and his family.
by Jason Sawyers 2022 HBA President
At the risk of sounding like a broken record I want to reiterate just how important everyone’s support of the association is. Sometimes it seems like a constant battle to keep a business going why we are constantly being hit by more and more regulations and restrictions. Frankly, that is because theses days we are. Luckily we have the HBA to look out for the trades and not only inform us of what is coming, but to try and minimize impending restrictions and policy changes that negatively affect our trade. So, if you know of anyone who is not a member please reach out to them and let them know the good work the HBA is doing. Even better yet, ask them to join and support the cause.
Sincerely, Jason SawyersPWB
The Professional Women in Building Council has pulled up their bootstraps and is going full steam ahead! We currently have 19 members with more interested parties. Your PWB council has met 3 times since its inception and has created a board of directors (see below). One of the PWB meetings was a site visit with Simonka Place (a women’s and children’s shelter). As a council the PWB has agreed to make Simonka Place their first project. At this time, we are meeting with their staff to see where our services are most needed. Stay tuned for opportunities to donate goods or monetary funds to this project. The PWB also has met with CTEC (Career Technical Education Center) and will be partnering with their construction program to further mentor and educate the women in their program on becoming part of the building industry. Part of that will be the members of PWB speaking with the CTEC classes as well as mentoring their students. We hope that this partnership will help these students be more confident at applying for jobs in the trades. The PWB meets the third Thursday of the month at 8:30am at the HBA office (unless otherwise noted). For more information on becoming a member of PWB please reach out to April at april@ homebuildersassociation.org or 503-399-1500. There will also be an informational table at the HBA member dinners and events. You can get more information, or join PWB, online at www. homebuildersassociation.org/PWB.
Chair- Natalie Jannie
Co-Chairs-Samantha Crabb and Misti Miller
Treasurer: Krysten Weist
Secretary: Kendra Cox
Local Realtor Deanna Gwyn and computer consultant Dynee Medlock will face off in a run-off election this November to determine who will represent South Salem’s Ward 4 on the Salem City Council. While Gwyn and Medlock were the only two candidates in the May election, the 13 write-in votes cast in the election prevented either candidate from reaching the required 50% + 1 needed to win the election. With more than 5,000 votes cast, Gwyn and Medlock were separated by only 6 votes.
Gwyn, Principal Broker/Transaction Coordinator for Blum Real Estate, has been endorsed by the Home Builders Association of Marion & Polk Counties. Her campaign has focused on ending the
homeless crisis, enhancing public safety in the community, and promoting affordable housing opportunities by increasing housing inventory and accelerating the permitting process.
The winner of the November runoff election will be installed into office in January with new Mayor Chris Hoy and incoming councilors Linda Nishioka, Julie Hoy and Micki Varney.
The Oregon Home Builders Association (OHBA) has joined an effort to file a legal challenge to Oregon OSHA’s adoption of two new rules regarding heat illness and wildfire smoke exposure. OSHA announced these new rules in late May, which apply to temperatures over 80 degrees Fahrenheit and Air Quality Indexes (AQI) exceeding 100, respectively, at worksites.
In summary, OSHA’s heat rules look to:
Implement acclimatization schedules that vary worker to worker, changing their ability to stay at outdoor jobsites
• Be ready to change work assignments per worker if they show signs of heat stress
• Implement additional paid rest breaks above (90°F+)
• As well, OSHA’s wildfire smoke rules aim for:
Employer readiness to change work locations/assignments to decrease exposure
Employer-provided NIOSH-approved masks and respirators for mandatory use depending on AQI severity
OHBA, along with other business groups, has expressed concern that OSHA’s rules are likely outside of their legal authority and set troubling precedent. As an example, this year, the Supreme Court rejected the Biden Administration’s effort to use OSHA for COVID enforcement. The Court ruled that a general societal hazard is beyond the scope of OSHA’s authority. Wildfire smoke and outdoor heat is a societal hazard not created by the employer. As well, the heat and smoke rules are based on an executive order by Governor Brown. One especially troubling aspect of the rules requires additional paid time off for employees, which we don’t believe OSHA has the authority to require.
OHBA has joined an effort to challenge the rules based on the above (and other legal) concerns. We want you to know we are making every effort possible to ensure our government stays within their scope of authority, that we don’t cede a precedent that could be exploited in the future, and that we challenge the use of executive orders where legislative processes are bypassed.
Deanna Gwyn
Dynee Medlock
It’s back! NAHB’s International Builders Show (IBS) returns to Las Vegas next January 31st – February 2nd, drawing nearly 70,000 attendees and more than 1,400 manufacturers and suppliers. Registration is now open for the show, which along with the co-located Kitchen & Bath Industry Show and the National Hardware Show, makes up Design & Construction Week. Nearly 150 members from the greater Salem area typically attend the show in Las Vegas.
While IBS offers unbeatable oppor tunities to see the latest in building materials, products, technology and software from hundreds of the nation’s leading manufacturers, the show also offers educational opportunities that can only be found at the International Builders Show, with more than 100 educational sessions from top industry and business experts sharing tips, advice, strategies and trends, making sure you walk away with actionable items you can apply to your business right away.
Registration for IBS also gives you access to the show floors of the co-located NKBA Kitchen & Bath Industry Show and the National Hardware Show, where you’ll see new products and services, participate in interactive demos, and visit both indoor and outdoor exhibits that fill the Las Vegas Convention Center.
Register today at www.buildersshow. com where you can also reserve your room in the Oregon room block at The Linq hotel.
This ad is made possible in part by funding from City of Salem Transient Occupancy Tax. 503.589.1700
Home mortgage interest rates have surged past 6% in recent days after having been closer to 3.25 at the start of the year. That can mean perhaps as much as $800 more per month for a home buyer.
The new interest rates reality is posing challenges for the building industry, which already has been dealing with higher costs for lumber and other materials. Higher materials costs mean higher prices and consumers only have so much liquidity in the tank. Builders describe themselves as optimistic, but they also recognize that some tricky days likely lie ahead.
“It’s a mixed bag. Inflated prices and higher rates are putting people out of the market,” said David Qualls, regional sales manager for Parr Lumber Company.
“A lot of builders are getting more conservative, but some haven’t changed their program at all. It’s too early to tell. Six months ago you would have 10 to 12 offers that were
driving up prices and the buying kept getting more and more heated.
“I’m cautiously optimistic. We experienced some slowdowns with COVID, but we came out of COVID a lot stronger than anyone thought.”
The changing landscape also has altered the approach that builders take with regard to the type of homes they are putting up.
“We saw this coming and started switching to smaller homes,” said Michael Schilling of Fowler Homes. Instead of building units in the 1,900 square feet to 2,400 square feet range, that approach has given way to 1,300 and 1,400 and even some less than 1,000, Schilling said.
Schilling is putting up the smaller homes as part of a 68-unit project in Dallas, while also completing a 34-unit project of much larger homes in South Salem. The final home, a
A subdivision under construction on SE Hankel Street in Dallas. Developer Michael Schilling of Fowler Homes said he is focusing more on multifamily units and units that can be used as rentals.
4-bedroom, 4-bathroom that is just shy of 3,000 square feet, is in the landscaping stage.
The South Salem job has been a 2.5-year investment for Schilling and Fowler, a time in which the package of lumber, windows and siding that used to cost $30,000 or so has skyrocketed to $100,000.
And the higher materials prices and interest rates have hit at a time in which housing is in great demand.
“It goes all the way back to 2008 and the recession,” Schilling said. “We’re still trying to catch up with the housing shortage. But it’s totally different now. The recession was caused by giving out too many loans to people who weren’t really qualified. Now, because of the interest rates, people can’t qualify for a loan.
“It’s still not a bad market, but people are having trouble qualifying … they’ve lost the power of the dollar” because of higher interest rates.
Mike Riddle, a high-end custom home builder who works in the Willamette Valley and the Oregon Coast, said he thinks potential purchasers are panicking a bit, noting that it wasn’t that long ago that 6% interest rates weren’t considered a deal-killer.
“The main issue,” he said, “is that people have been so accustomed to insanely low interest rates that when they creep up to historical norms, people panic.”
Riddle also said that “the word on the street amongst speculators is that they are slowing or stopping production and/or lowering prices. That being said, due to our infla tionary market, there is no way with ‘normal’ interest rates that the first-time or even move up homeowner can afford the increased mortgage payment when wages are not commensurate.
“We have an interesting economic quandary right now … record low inventory, historical normal interest rates but due to costs being so inflated … homeownership opportunities are decreasing every day for the average American. Once
inflation reduces to a manageable rate, wages catch up, inventory along with competitive pricing in the real estate market improves, I believe we’ll see more of a stabilization … or back to normal so to speak.”
Northwest issues Qualls of Parr Lumber noted that the nationwide housing shortage is even more pronounced here in the PacificNorthwest.
“We’re a way underbuilt market compared to others,” he said, adding that one of the ways the market is reacting to the situation is with developments that feature apartments, townhouses, duplexes and zero-lot-line units.
“Multifamily is as strong as it has ever been,” Qualls said. “There just isn’t enough affordable housing, and we’re not going to see any slowdown there.”
Schilling of Fowler Homes said that he’s building units more often these days that will be used as rentals, citing both the Dallas project and one he has planned for Corvallis, which has the huge Oregon State University student body keeping the rental market strong.
“We’re looking to change a lot of our projects to rentals,” Schilling said. “People can’t afford new houses so they need to rent,” he said, noting that overall he is “optimistically cautious” about the current market.
The price vagaries also have kept Qualls hopping in terms of how he manages his materials purchasing and lumber stocks.
“We’re well-positioned with regard to inventory levels,” he said. “We try to keep a 30-day supply. In a falling market we want to make sure that we’re conservative, but we also want to make sure we buy right for our customers. I’m still optimistic.”
The Fowler Homes project in Dallas also includes classic single-family models in addition to smaller units and multifamily options. Many of the units that Fowler Homes is working on in the Dallas area are smaller in terms of square footage to meet the needs and price points of 2022 homebuyers. Photos by James DayThe City of Salem will be asking voters to approve a $300 million bond measure this November, that if passed, would fund a ten year plan to include trans portation upgrades, replacement of older fire engines and equipment, build two new fire stations, update the city’s information technology and cybersecurity, make earthquake safety upgrades to city hall, and provide monies for affordable housing and branch libraries.
If the bond measure passes, Salem’s bond rate would remain at the current $1.20 per $1,000 of assessed value and not increase tax rates, as the new bonded debt would replace expiring debt from past bond measures as it is paid off. If the measure fails, Salem’s bond rate would decrease to $.75 per $1,000 of assessed value in 2023 and continue to decrease until current outstanding bonds are paid off in 2037.
The Home Builders Association has not yet taken a position on the bond measure, though the HBA’s Government Affairs Committee will be meeting with City representatives in late September to gather more information for a possible decision on whether to support or oppose the measure.
(503) 363-6976
High
The HBA’s 2023 Mid-Valley Home Show takes place January 13th – 15th at the Oregon State Fairgrounds in Salem and offers a tremendous marketing opportunity for association members who sell directly to consumers. Especially now, as the economy starts to somewhat soften, the show provides excellent value to help you grow your business.
Capture new customers, generate leads and make sales.
With over 5,000 people coming through the doors in 2022 looking for contractors, doors, windows, floors and more the Mid-Valley Home Show is a great place to capture new customers who are looking to buy today. No other marketing opportunity brings you literally face-to-face with thousands upon thousands of potential customers who by their presence at the show have shown a desire to make improvements to their home. There’s a reason that so many show vendors return year after year, as the show generates a significant amount of work for them.
Be seen by thousands and help increase you brand recognition.
Create brand recognition and awareness of your company. Even if somebody you meet at the show isn’t ready to purchase that weekend, when they are in the market, they are much more likely to remember those they visited with at
the show. The show helps you build brand awareness with homeowners throughout the community, making them much more likely to reach out to your business in the future.
Take advantage of a cost-effective advertising opportunity. Advertising can be expensive. Between print, television, mailers, and billboards you can spend a lot and not reach your audience. Booths in the HBA Mid-Valley Home Show start at $810 (HBA members also receive a $50 discount) and are an inexpensive way to market your business to your target market.
Register now and join us January 13th-15th at the Oregon State Fairgrounds for the 45th annual Mid-Valley Home Show. For more information please contact Haley at 971-332-1091.
AmeriTitle is grateful to our builder and developer partners who work hard to meet the high demand for housing throughout the Willamette Valley. We are proud to work hard beside you, providing caring, quality title and escrow services.
On August 4, 2022 DeWALT voluntarily recalled about 1,364,000 12-inch sliding compound miter saws.
Hazard:
The miter saw’s rear safety guard can break or detach, posing an injury hazard due to projectiles that can strike the user and bystanders and a laceration hazard to the user who could come into direct contact with the saw blade.
Description:
This recall involves DeWALT Models DWS779, DWS780 and DHS790 Miter Saws. The saws have a yellow body with black accents and the DeWALT logo. The model number is printed on the saw’s nameplate. Only saws with date codes 2019 04 through 2022 04 are affected. For the DWS779 and DWS780 models the date codes are marked on the black plastic motor end cap adjacent to the name plate. For the DHS790 model, the date code is marked on the outside of the plastic yellow housing adjacent to the batteries. Only saws without a green dot on the name plate or a black dot on the arm of the saw are included in this recall.
Consumers should immediately stop using the recalled miter saws and contact DeWALT for details on how to receive a free repair kit or to take their saw to a DeWALT service center for a free repair. DeWALT is directly contacting all known purchasers.
DeWALT has received 571 reports of the rear safety guard assembly or components breaking or detaching, including nine reports of laceration injuries.
Consumer Contact: DeWALT at 800-990-6421 from 8 a.m. to 6 p.m. ET Monday through Friday or online at https://www.dewalt.com/miter-saw-recall or at
www.dewalt.com and click on Support then Safety Notices and Recalls for more information.
If you have a saw that is included in the recall, please get it repaired as soon as possible. If you know someone who may also have one of the saws that have been recalled, please pass along this information to them.
Brad Nanke
Recalled Model DWS790
Recalled Model DWS779
Recalled Model DWS780
As we approach the fall months, this is the time of year that many employers start the process of shopping their medical insurance programs. With the increasingly high cost of medical insurance, it’s critical that employers shop for the most cost-ef fective policies while ensuring that their employees have quality insurance that provides access to a robust network of doctors and medical providers.
If you haven’t yet looked into the HBA’s new association medical plan, the Building Industry Insurance Trust (BIIT), you could be saving 10 – 15% or more on the costs of your medical insurance. BIIT offers 15 comprehensive medical insurance options through Regence BlueCross BlueShield of Oregon, plus Dental, Vision and Life Insurance options, allowing HBA members to customize an employee benefit package with administra tive ease. The BIIT program allows HBA members to band together to purchase insurance under a single, aggregate LARGE GROUP where we’re able to negotiate on behalf of all enrolled companies as one, resulting in big savings on insurance premiums.
The Building Industry Insurance Trust is modeled after a similar program with HBAs in the state of Washington that has been so successful in lowering rates that it has attracted thousands of employers and tens of thousands of covered employees.
All aspects of the building & construction trades are eligible for the Building Industry Insurance Trust, including contractors, subcontractors, material suppliers and many service providers.
We’re incredibly excited about this new membership benefit and have already seen dozens of HBA members companies enroll in the Building Industry Insurance Trust in recent months as they learn more about the program and see the savings it offers.
If you would like to receive a quote on medical insurance through the Building Industry InsuranceTrust, call Lance Barnwell with Huggins Insurance at 503-585-2211, Terri Olson with Olson Insurance at 503-393-3900, or Heather Toller at Aldrich Benefits at 503-485-2426.
Average Sales Price
$462,786 $428,138 $445,345 $494,112 $618,911 $635,126 $509,234 $475,780 $493,911
Average Square Footage 2,413 1,966 1,987 1,999 1,901 2,234 2,416 2,025 1,800 1,962
Average Cost per Square Foot $252 $238 $224 $226 $271 $279 $325 $255 $265 $259
1. DR Horton Inc. 221
Lennar NW Inc 103
Fowler Homes
Stafford Homes & Land
Richmond American Homes of Oregon
West Coast Home Solutions
Celtic Homes
Data for all areas of Marion and Polk Counties. Sep 1, 2021 - Aug 31, 2022. Data compiled from building permits applied for through Salem, Marion County, Polk County, Woodburn, Monmouth, Dallas and Independence building departments.
Olson Insurance Group
Terri Olson (503) 393-3900
Peter Lyle Strauhal, AIA
Peter Strauhal (971) 239-1519
Spike: James Blair
SAIF
Lyn Zielinski-Mills (503) 373-8806
Soaring Heights
Eric Rasor (971) 719-4963
Webfoot Concrete Coatings
Taylor Dusick (833) 932-3668
Spike: Oleg Fokshaa
Dream Home Construction
Larissa Martinez (503) 569-4397
Earthlight Technologies
Tristan Kuenzi (503) 874-4142
Fidelity National Title Salem
Cinda Brundidge (503) 585-7219
Forrest Ridge Homes, Inc.
Chad Forrester (503) 849-5726
Fidelity National Title Salem
Joan Cuff (503) 370-9119
Keller Supply Co.
Josh Scruton (503) 581-0465
Mustang Ridge Construction
Kent Wilson (503) 385-1465
Northwest Waterproofing
Brad Dowers (503) 660-8373
Pro-Image Painting LLC
Ivan Cam (503) 932-7005
Stanko Construction Corp Olexy Stanko (503) 999-3835
The Lighting Gallery
Beverly Endicott (503) 364-2715
The Mortgage Group LLC
Amy Peterson (503) 428-1810
Valley Home Repair Service LLC
Sarah Tutor (503) 991-7303
Wildcat Development Company
Steve Reimann (503) 932-1888
Your Home Solutions, LLC
Lia Sanford (503) 930-6808
