Chalkline Spring 2021

The

SPRING 2021

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

Legacy of Giving Back – page 5

President’s Message �������������������������������������������������������4 Safely Moving Forward ������������������������������������������������� 8 Legislative Session Creates Challenges �������������������� 10

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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

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.

STATESMAN SPIKE 500+

BOARD MEMBERS

Tim Mametieff 464 Mike Smith 462 Rick Massey 428 John Mills 416 Mike Meaghers 371

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 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

Hindsight: Moving Forward ���������������������������� 8 Legislative Challenges ������������������������������������10 Vital Statistics �������������������������������������������������� 14

ALL TIME BIG SPIKE 1500+ Ric McNall 803

Mike Devlin, Withers Lumber

Legacy of Giving Back �������������������������������������� 5

John Gooley 2577

Rick Massey, Richard Massey Construction

Ross Bowman, Rich Duncan Construction

President’s Message ���������������������������������������� 4

SUPER SPIKE 250–499 Dan Dorn 363 Jeffrey Green 350 Dean Kaufman 330 Chuck Foster 288 Jubal Frost 267

ROYAL SPIKE 150–249 Steve Johnson 241 Mike Riddle 214 Don Druliner 202

Tom Wheeler 199 Rick Ziebell 168 Ken Hannegan 162

RED SPIKE 100–149 Kelvin Dettwyler 145 Rob Rardin 123

Jerry Page 100

GREEN SPIKE 50–99 John Hammer 96 Lora Creswick 93 Matt Holstege 84 Rich Kansky 83 Kent Kaufman 79 Larry Bilyeu 75 Brad Moore 72 Eric Olsen 69 Kathy Temple 65

Jordan Schweiger 67 Bruce Hardy 63 Don Sturgeon 60 Kerry Kuenzi 59 Mike Smith 56 Serge Serdsev 53 Eric Templeton 51 Randy Melton 50

LIFE SPIKE 25–49 Eric Jensen 48 Chris Pfeifer 47 Steve Herr 46 Jim Hobbs 45 Rich Tovar 45 Ryan Bloedel 43 David Hafner 35 Kimberly Hosmer 35 Michael Devlin 35

Jason Sawyers 34 Tim Kelsh 34 Nolan Fridley 31 Rich Fry 26 Laura Dorn 26 Mark Shipman 26 Kevin Stone 26 Jason Sawyers 34

BLUE SPIKE 6–24 Hunter Emerick 25 Kraig Kelly 23 Randy Reeves 23 Jason Robertson 21 Robert Kleinke 21 Steve Hurley 20 Chad Robb 18 Don Lulay 12 Brett Tallan 12 Ricky Fast 10

Chad Montgomery 10 Chris Rasmussen 10 Gary Epping 10 Brent DeHart 9 Tim Roth 8 Jim Sparkman 8 Becky O’BrienGardinier 6 Leslie Savage 6

New & Reinstated Members Akos Construction LLC Isaac Akos 503-880-0469 BBSI Eric Nelson 503-581-7401 Day Energy Solutions Jim Klopfenstein 503-363-4822 Spike: Michael Devlin Eternity Painting Joseph Early 971-388-0337 Focus Heating Janci Burns 503-769-7519 Geared Mechanical Mike Olsen 541-974-7311 HomeSmart Realty Group Marta Guajardo 971-600-4893 Linchpin Structural Engineering Jose Montenegro 503-463-93335 Lovett Services, Inc. Pete Jordan 503-737-8423 New & Reinstated Members continues on Page 13

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.

Ivan’s Finishing Co. Ivan Edwards 503-363-6521 Oregon Woodsmen Tree Services Ryan Sims 503-551-5141 Overall Real Estate Rebecca Overall 503-559-1367 Revelation Renovations, LLC Justin Huff 503-877-2434

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.

Spring 2021 | The Chalkline | 3

President’s Message I would like to take the opportunity to introduce myself and say thank you for you reading Chalkline and intentionally keeping yourself informed about what is happening in our industry. I am thankful that you have placed your trust in me as President, and I look forward to partnering with you this year.

While many of us in the construction industry are still busy during the shutdown, COVID has had a major impact on the HBA. Even though events and gatherings have been restricted, the HBA needs everyone’s continued support as they remain committed to diligently working on our common interests.

Our Leadership has been hard at work protecting the industry by actively sitting on committees and pursuing positive outcomes for the construction community. I wanted to highlight some of those for you.

1. We have had a seat at the table with OSHA to advocate for practical and reasonable regulations that allow the industry to continue working through the pandemic.

2. HBA’s CEO Mike Erdman joined Salem’s Climate Action Task Force, fighting for housing affordability and consumer choice.

3. We are working to ensure that Salem’s rewrite of the Comprehensive Plan provides for flexibility and

by Nolan Fridley 2021 HBA President

affordability. This plan is vital to the direction that the City of Salem’s planning department takes, and there are many voices that are not seeking out the interests of the construction industry. Its vital that we have an influence on this process!

4. We also have representation in the Oregon Legislature as we advocate on business taxation, land use policy, System Development Charges, independent contractor status and countless other issues.

As we look forward into 2021, we are excited to roll out a new website in the Spring, and eagerly anticipate a return to in-person gatherings by the Summer and Fall seasons.

I am thankful to be a part of a genuinely great association.

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Legacy of giving back

Epping family gives Boys and Girls Club plan huge boost

By James Day Prep work is underway for a new Boys & Girls Club of Salem facility in northeast Salem.

life’s lessons and really gave the kids the opportunity to dream and grow.

The $16 million project includes 25,000 square feet of space, a full gym, athletic fields and will benefit from a community college worth of expertise across Lancaster Drive Northeast.

“That’s our vision for the clubhouse. We want to have a broader vision for these kids of what is possible in their lives and give them the tools to be a success. And then, hopefully, they can give back to the community. It’s a cycle of virtue.”

The Epping Homestead branch of the club is set to open about a year from now on the “homestead” of the Epping family.

Patriarch Larry Epping, who passed away in 2015 at the age of 94, and his wife, Jeanette, who died in 2013, raised their four sons on the property, home base for the Epping’s influential real estate and development business.

And the lessons taught there will bear fruit for the youth of the Salem-area using the new clubhouse, which is being supported by “substantial and very generous” donations from the Larry and Jeanette Epping Family Foundation.

The project already has raised $12.5 million, said Sue Bloom, executive director of the Boys & Girls Club of Salem.

“This is so amazing,” Bloom said of the project. “This is the legacy of the Epping family, and the new clubhouse is truly a gift to the community.”

Bloom thought it was especially poignant that the land for the club was the Epping’s homestead.

“This is where the kids grew up, rode their bikes and horses and put up their preserves,” Bloom said. “They learned all of www.HomeBuildersAssociation.org

Gary Epping, Larry and Jeanette’s son, agreed.

“They wouldn’t do stuff for you, they would help you,” said Gary of his parents. “They taught order and structure. That’s what we’re trying to do with the club. Every kid deserves a plan.

That’s what we grew up with.”

Larry Epping grew up amid the Dust Bowl in North Dakota, migrating to Oregon in 1936. His escort carrier was sunk during the Battle of Leyte Gulf during World War II and he spent two days in a life raft before being rescued.

“He lived a full life and never forgot who he was. Mom, too,” said Gary. “They worked their way up the ladder. Larry and Jeanette made something of their lives. They had faith in God and they did things in the right way to build for the future.”

Gary then pointed to the wall of the Epping Family Foundation office a few blocks south of the homestead site. There was a photo of Larry and his four brothers.

“They were just five normal guys coming to Oregon,” Gary said.

Continued next page Spring 2021 | The Chalkline | 5

Legacy of Giving

continued from page 5

in-kind contributions and labor.

“Many have reached out to us,” she said, “because of the Epping legacy of residential and commercial development in town and their relationship with contractors and vendors.”

Gary Epping rattled off the names of builders too lengthy for this story and added “these guys built stuff and they built it the right way.”

Gary said the family company is responsible for building on 10,000 lots in the area. They would build houses with an unfinished second story for folks, particular World War II, to add on bedrooms when the kids arrived.

Here is an artist’s rendering of the new Epping Homestead Branch of the Boys & Girls Club of Salem.

The facility is scheduled to open next spring.

“Average people can do extraordinary things, and kids today can do the same things. That’s what we grew up with.”

Bloom said that the Epping family’s ties to the building industry has helped bring in more donations and possibilities for

And they would build smart, Gary said. “You buy the rose before it blooms. Always build to keep a little bit of excess demand. If you overbuild you wind up with a glut, which doesn’t help anybody.

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Gary Epping is shown in the memento-laden office of the Epping Family Foundation. The foundation is playing a huge role in the establishment of a new branch of the Boys & Girls Club of Salem

“Dad’s way was to keep moving forward. You will find a way.

And you give back to the other person. That’s straight from Larry.”

Bloom said the homestead site is a perfect spot for club expansion.

“The need is so great in that part of the community,” she said, while adding that the presence across the street of Chemeketa Community College also will pay dividends.

“We’re really going to be able to leverage some amazing opportunities for our kids,” she said. “We’re all super excited to put some of our ideas in place. This is really a gift in so many ways.

“I’ve never experienced a family like that,” Bloom said of the Eppings. “They care. And there is so much love and regard for their parents. Their parents gave them so many opportunities, and they truly believe in the work of the Boys & Girls Club.

There is so much enthusiasm in the neighborhood about this clubhouse.”

A photo of the five Epping boys is shown along with a rendering of the new Boys & Girls & Girls Club of Salem branch on the old Epping property on Lancaster Drive Northeast.

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HBA NEWS

Hindsight – Looking Back Means Safely Moving Forward As we are now well into a new year and look back at 2020 with a sort of “What the heck, how did we let that happen?” and “It can’t get worse than that” perspective, it’s important to note those are the same statements we may make in the aftermath of a serious injury or fatality.

National statistics indicate that backing collisions account for about one-quarter of all collisions. Of course, the growing number of rear-vision camera systems figures to decrease the incidence of these collisions in the future. But backing will always carry its own set of risks. Here is a list of safety tips aimed at preventing backing collisions.

• Get to know a vehicle’s blind spots. Remember that mirrors can never give the whole picture when backing.

safety Brad Nanke HBA Director of Safety and Training vehicles who may try to enter the area you are backing into.

Here are some additional backing tips:

• Think in advance. Do not put yourself in unnecessary backing situations.

• Ensure your mirrors are clean and adjusted to give you the widest possible rear view.

• Park defensively. Choose easy-exit parking spaces that do not crowd neighboring vehicles. Park in the center of your parking space.

• Tap the horn twice just prior to backing to notify others in the area that your vehicle is backing.

• If needed, take extra measures when parking in an alley.

Again, this involves thinking ahead. If an alley does not permit driving all the way through or room to turn around, you should back into the alley parking space (assuming this complies with local ordinances). That way when you leave you can drive forward to pull into the street.

• Roll down the driver’s window so you can hear any warnings, such as a honking horn. Stop immediately if you hear such a warning.

• Perform a walk-around. Walking around a vehicle gives you a firsthand view of the backing area and will alert you to any limitations or hazards. Check for people, soft or muddy areas, potholes, tire hazards and other dangers.

• Back to the driver’s side of the vehicle when possible.

This approach will give you a clearer picture of where the vehicle is going. Continually scan the mirrors, look over your left shoulder, and check the swing out of the right front fender as you back.

• Know the clearances. When performing a walk-around, check for obstructions, low-hanging trees and wires, and any other potential clearance-related problems.

• Remember that every backing situation is new and different. You may back out of the same location day after day, but do not allow yourself to get complacent and relax. Be watchful each time for changes and new obstacles.

• Use a spotter. Do not be afraid to ask for help when backing if needed. Use hand signals you’ve both agreed upon. Do not have the spotter walking backwards while giving instructions.

• After finishing the walk-around, do not delay. Return to the vehicle and start backing within a few seconds.

This will allow very little time for people or obstacles to change behind the vehicle. Backing without a spotter should only take place after you have as much information about the area as possible. A backup alarm can help warn away pedestrians and drivers of other 8 | The Chalkline | Spring 2021

• Keep the backing distance to a minimum.

• Back at a creep/idle speed and cover the brake.

• If you are unsure of the clearance around or above the vehicle, secure the vehicle, then exit and look around to ensure the backing path is clear. Check behind, to both sides and above the vehicle.

• If you are using a spotter, make sure he or she is standing in an area that can be easily seen in the driver’s side mirror. Stop immediately if the spotter cannot be seen.

Again, use hand signals you have agreed upon, but also make sure the driver’s side window is rolled down so you can hear any verbal instructions or warnings.

Backing accidents can lead to expensive consequences, up to and including death. Always back with care and consider retrofitting older equipment with rear-vision camera systems; their price has come down substantially. By looking back, we can move safely forward.

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HBA NEWS

Legislative Session Creates Challenges for Industry The 2021 Oregon Legislative Session kicked off in earnest in mid-January, with a very different feel than past legislative sessions. Due to the COVID pandemic, legislative business is being conducted online, creating new obstacles and challenges for organizations like the Home Builders Association who have had to adjust to an inability to meet personally with legislators to help shape and influence the process of adopting new laws. Despite the challenges involved in this year’s legislative session, the Oregon Home Builders Association is working to support or oppose a large number of bills that would affect your business.

House Bill 2283 – Middle Housing land divisions HB 2283 expands on the middle housing types allowed for under 2019’s HB 2001, which mandated that medium and large cities in Oregon allow for middle-housing in areas where single-family homes can otherwise be built. Cities between 10,000 and 25,000 in population must allow for duplexes by July 1st of this year, and cities over 25,000 must allow for duplexes, triplexes, quadplexes, cottage clusters and townhomes by July 1st of 2022. HB 2283 would allow

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House Bill 2336 – Visitability As drafted, HB 2336 is an extremely problematic bill for the home building industry, as it would allow cities to require that all single-family homes meet federal visitability standards for the disabled. While well-intentioned, these federal disability standards require a pathway not exceeding 1:20 slope from the street, sidewalk, driveway or garage, that a bathrooms, kitchens and doorways on the entrance level be sized with enough clearance for wheelchair access. With so many of today’s building lots being located on difficult slopes that involve extensive excavation and often significant transitions between the garage and main floor, such a requirement would frequently be unworkable or exceptionally expensive to comply with.

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HBA NEWS

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beyond the baseline state building code, and would require 10% more energy performance than the base code. One of the hallmarks of Oregon’s statewide building code is that the code is the same across the state and from city to city. This approach would create different requirements in different cities, making it more difficult for builders, trade contractors and suppliers to keep track of varying requirements. Additionally, while the bill would require an additional 10% energy performance, there is no base-line data to know exactly where we are and where we are going. And of course, the bill will potentially increase construction costs by $5,000 - $15,000 per home, raising the cost of housing at a time when builders are already grappling with higher costs due to the April 1st code and skyrocketing lumber prices.

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House Bills 2578 and 2838 – Mortgage Interest Deductibility Both of these bills would eliminate or significantly reduce taxpayers ability to deduct their mortgage interest from their state taxes. While HB 2578 would eliminate mortgage interest deductibility from second homes and would phase out the deductibility on primary residences for taxpayers with more than $200,000 in adjusted gross income, HB 2838 goes further and eliminates all mortgage interest deductibility for all taxpayers. Both bills would make home ownership more difficult for many buyers.

House Bill 2607 – Exclusion on Construction Excise Taxes for Fire Rebuilds HB 2607 would prohibit school districts from charging construction excise taxes on rebuilds resulting from the forest fires last August. Some districts around the state are insisting on charging the excise tax, others like the North Santiam School District are giving only temporary reprieves and/or will only give exemptions to owner occupants. The HBA believes that charging construction excise taxes on fire Continued next page www.HomeBuildersAssociation.org

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HBA NEWS

LEGISLATIVE SESSION

Continued from page 11

rebuilds is contrary to the intent of the excise tax law, as a rebuild doesn’t add any more growth to a school district or result in additional school age children to the district.

House Bill 2638 – COVID Liability Protection for Businesses Virtually all businesses have taken tremendous steps to protect their employees, customers and visitors from exposure to the coronavirus. However, a failure to get every protection measure exactly correct creates exposure for being sued and subject to costly liabilities. HB 2638 would limit COVID liability if the business acted in good faith to comply with an executive order or government regulation, or were in accordance with guidance regarding COVID-19

unless the damages resulted from gross negligence, or reckless, wanton or intentional misconduct.

House Bill 2062 – ODOE Regulation of Appliances HB 2062 would set energy efficiency standards for certain appliances sold and available in Oregon, and would establish new areas of regulation and types of products regulated by the Oregon Department of Energy that have historically been regulated under the Building Codes Division. This is troubling for the construction industry at large as it could relegate decisions away from industry experts who sit on gubernatorial appointed state boards to a different regulatory authority. Another concern is a clause automatically linking and updating Oregon’s standards to match with California, Washington and British Columbia without industry review.

Jordan Schweiger Wins NAHB Membership Competition HBA member Jordan Schweiger of Good Well Construction was recently named as one of nine winners nationally in that National Association of Home Builders (NAHB) 2020 Builder Recruitment Competition sponsored by Signature Kitchen Suite.

Signature Kitchen Suite offered the prize to each of the top nine builder members nationwide who signed up the most new HBA members from September 1st to November 30th, 2020. Builder members competed against others from HBA’s in their size category, with Jordan taking the top prize in the large association category.

“Jordan has been incredibly committed to the HBA’s success and has worked so hard at membership recruitment over the last year,” said Mike Erdmann, CEO of the HBA of Marion & Polk Counties, “it’s fantastic to see him win this recognition.”

As a winner, Schweiger and a guest will receive a four-day, three-night hotel stay in Napa Valley, California. Winners will also get to take part in the Exclusive Signature Kitchen Suite Experience. “Signature Kitchen Suite is proud to be NAHB’s exclusive membership sponsor and to support the growth of membership,” said Rod Gower, business development, Signature Kitchen Suite and LG Builder. “We’re excited to host the winners at our Experience and Design center in Napa, and give them the unique Signature Kitchen Suite Experience.”

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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

33

4

208

19

78

41

71

212

181

847

$422,968

$329,500

$344,589

$353,357

$446,205

$445,663

$409,355

$433,348

$343,407

$389,390

Average Square Footage

2,183

1,456

1,836

1,909

2,013

2,049

2,322

2,054

1,623

1,926

Average Cost per Square Foot

$196

$229

$190

$189

$224

$218

$177

$214

$213

$205

Average Days on the Market

178

72

119

145

147

157

135

143

135

137

Currently Active Listings

1

0

4

2

17

2

2

7

6

41

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*

1.

DR Horton Inc

139

2.

Lapray Development

35

3.

Fowler Homes

30

4.

Forest Ridge Homes

27

5. (tie)

Banner Homes

24

6.

Comfort Homes

24

7.

Stafford Homes & Land LLC

23

8. (tie)

Hayden Homes LLC

22

9.

Wind River Homes

22

10.

Peter Hall Construction

17

Data for all areas of Marion and Polk Counties. Feb. 1, 2020 - Jan. 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

Oregon Home Tech, LLC Chad Scharer 971-208-9777 Spike: Ric McNall

RGH Quality Construction Roy Torres 503-890-7671 Spike: Michael Devlin

TreeNada Inc. Dave Williams 971-345-4201 Spike: Jordan Schweiger

Pleasant Hill Development Co LLC Brian Crowe 971-241-0344

Roof Down Remodels LLC Luwanna Stalcup 503-507-6976

TreeNada Inc. David Schaezler 888-414-4150 Spike: Jordan Schweiger

Preferred Cleaning Lisa Klopfenstein 503-931-1567 Spike: Andrew Wheeler

14 | The Chalkline | Spring 2021

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