May 2012 Home Builders Public Policy Post

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Home Builders Public Policy Post May 2012 Welcome to the NABA Home Builders Public Policy Post. This is a monthly update for NABA members on regulatory and legislative issues facing the housing industry whether it is local, state or national. If you are interested in contributing to the update, we are looking for members who are interested in attending and reporting back about local zoning and county board meetings. Please contact the NABA office at 715.259.3486 or naba@centurytel.net for details.

Local Issues Wetlands Law Update - Update provided by DNR The focus of the new wetlands law is to improve Wisconsin’s wetland mitigation program by making the state’s permitting process more efficient and predictable, while still providing needed flexibility to the business community. During the 12-years Wisconsin’s wetland mitigation program has been in existence, there have been concerns that mitigation occurs in only rare circumstances. The new law provides more tools for the DNR and permit applicants to use mitigation effectively when a wetland impact is necessary. Beginning in July, Wisconsin’s wetland mitigation laws will be more consistent with the federal process and will more closely mirror the state’s Chapter 30 waterway permitting. Under the new law, the DNR is required to develop category-specific wetland General Permits (GPs), as well as, DNR is required to have statewide GPs that are consistent with federal GP's. Additional statewide GPs will be created by the DNR using an administrative process for projects that will cause minimal adverse environmental effects. For Individual Permits (IPs) a Pre-Application Meeting is required to discuss the project details, and requirements for submitting an application and delineating the wetland. Applicants will still be required to consider practicable alternatives to a site with a wetland impact; however, that analysis of practicable alternatives may be limited if the proposed project impacting a wetland will result in a demonstrable economic public benefit, is necessary for the expansion of an existing industrial, commercial, or agricultural facility that is in existence at the time the application is submitted, or the proposed project will occur in an industrial park that is in existence at the time the application is submitted. Additionally, the definition of practicable has been modified to include consideration of site availability, proximity to the proposed site, and the scope of the proposed project. Finally, the new law DNR to develop an “In Lieu Fee” program consistent with federal regulations with mitigation bank credits and “in-lieu fees” as preferred mitigation option, but it does continue to allow on-site wetland restoration and/or creation. The mitigation ratio will be consistent with federal guidelines, and establishes a minimum 1.2 acres restored or created for every 1 acre filled on-sire and a ratio of 1.3 is required if the mitigation is off-site.

Home Builder Public Policy Post: May 2012

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For more information on this new law as well as others passed in the last legislative session, please visit www.northlandareabuilders.com/?110260 to download the Legislative Recap sent to members in late March. Online Stormwater and Water-related Permits The DNR has been developing online permits for stormwater and other water-related activities. That system is now operational. Visit http://dnr.wi.gov/news/DNRNews_article_Lookup.asp?id=2155 for more information. Protect Rural Housing A coalition of Home Builders, Mortgage Bankers and Realtors, is asking Congress to save rural communities from losing rural housing programs. Programs like the Rural Housing Section 502 loan program provide opportunities for homeownership for families living in rural communities. Section 502 loans can be used to build, repair, renovate or relocate a home, or to purchase and prepare sites, including providing water and sewage facilities. These loans are funded by private lenders, and insured by the Rural Housing Service (RHS). Due to the 2010 census, many communities are at risk of losing eligibility for rural housing programs because their populations have changed. Congress set the definition of "rural" in 1974, and it has not been updated. The coalition is urging Congress to grandfather existing communities, and to also update the existing definition to account for population growth. State Issues DNR wants examples of ASNRI holdups ASNRI's are lakes, rivers, streams and ponds that have been deemed to have "special" natural resource interest and are currently subjected to a higher degree of red tape. When the Legislature passed wetland law reform earlier this year, it removed any references to these "Areas of Special Natural Resource Interest." One thing to note is ASNRI's still come into play for waterway permits, including DNR permits for piers, grading, culverts, et al. Many have voiced concern that the list of ASNRI's is too long and that it includes some waters that really aren't all that special. DNR Secretary Cathy Stepp, is looking into the issue as part of her ongoing drive to improve the operations at DNR. She has asked for specific examples of permits that were denied or delayed because of ASNRI issues. If you have had or are having any problems please contact the NABA office at 715-259-3486 or via email at naba@centurytel.net with the details. Webinar available on DNR’s New Electronic Notice of Intent On June 13th from 1:30 pm – 3:30 pm, the DNR will be hosting a webinar explaining the new web-based electronic Notice of Intent, or eNOI, to apply for coverage under the General WPDES Construction Site Storm Water Discharge Permit. The DNR and the UW-Extension offers the development community, consultants, and municipal representatives the opportunity to participate in a Webinar where DNR staff will provide an overview of the eNOI application process and the features of the eNOI system. There will be limited space to attend this free seminar so please reserve your spot early. Register at: https://www1.gotomeeting.com/register/956962497

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More Changes to Wisconsin's Landlord-Tenant Laws Emerge On March 21, 2012, 2011 Wisconsin Act 143 was signed into law. Act 143 adds to the changes made to the state's landlord-tenant laws in 2011 Wisconsin Act 108. It is important to note that a number of the aspects of the new law apply to both residential and commercial leases. Moratoriums on evictions no longer enforceable: Act 143 addresses proposals raised by some municipal officials to impose moratoriums on certain types of evictions. The new law provides that municipalities shall not enforce or enact any ordinance that imposes a moratorium on evictions. This section applies to both residential and commercial leases. Disposing of a tenant's personal property: Under Act 143, unless the landlord and tenant have otherwise agreed in writing, the landlord may assume that any personal property left behind by a tenant after move-out is abandoned. For more information, view the alert on Axley.com NAHB Rally for Homeownership Coming to Wisconsin NAHB’s is organizing a Rally for Homeownership in Wisconsin on Thursday, September 27 in the Milwaukee area. NAHB has been in contact with WBA and Metropolitan BA staff professionals to begin planning for this exciting event! Stay tuned for more details on this important event as they become available! Two debates between Barrett and Walker will take place There are two scheduled debates that will take place between Walker and Barrett. The first debate will be hosted by the Wisconsin Broadcasters Association on May 25 beginning at 8:00 pm and the second is scheduled for May 31 and hosted by Mike Gousha of "UpFront with Mike Gousha," in partnership with Marquette University Law School, WisPolitics.com and the UpFront network of affiliates. National Issues EOC Issues Guidance on Employer Use of Arrest and Conviction Records The U.S. Equal Employment Opportunity Commission (EEOC) recently issued an updated Enforcement Guidance on employer use of arrest and conviction records in employment decisions under Title VII of the Civil Rights Act of 1964. The Enforcement Guidance and Q&A document will be available on the EEOC’s website at www.eeoc.gov. The new guidance clarifies and updates the EEOC’s longstanding policy concerning the use of arrest and conviction records in employment, which will assist job seekers, employees, employers, and many other agency stakeholders. While Title VII does not prohibit an employer from requiring applicants or employees to provide information about arrests, convictions or incarceration, it is unlawful to discriminate in employment based on race, color, national origin, religion, or sex. Among other topics, the guidance discusses:

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How an employer’s use of an individual’s criminal history in making employment decisions could violate the prohibition against employment discrimination under Title VII; Federal court decisions analyzing Title VII as applied to criminal record exclusions; The differences between the treatment of arrest records and conviction records; The applicability of disparate treatment and disparate impact analysis under Title VII; Compliance with other federal laws and/or regulations that restrict and/or prohibit the employment of individuals with certain criminal records; and Best practices for employers.

Department of Energy Confirms NAHB Interpretation on IECC Adoption In September 2011, WI Department of Commerce revised the Commercial Building Codes to reflect the adoption of the 2009 IECC. For some time now, there has been a question circulating in some states concerning what the requirement was for adopting a code beyond the 2009 International Energy Conservation Code (IECC) to comply with American Recovery and Reinvestment Act (ARRA) funding stipulations. It seems that states were being told by outside sources that the 2012 IECC had to be adopted to continue to be in compliance with ARRA. At a recent meeting with Department of Energy (DOE) representatives, NAHB staff took the opportunity to ask Roland Risser, Program Manager of Energy Efficiency and Renewable Energy, to explain DOE's position on this important question. Risser confirmed that it is the 2009 IECC or an equivalent code that must be adopted -- not the 2012 edition. As Summer Approaches, OSHA Warns About Heat and Offers an App for Phones - OSHA The Occupational Safety and Health Administration (OSHA) began its annual national outreach initiative to educate workers and employers about the hazards of heat illness. As part of the campaign, OSHA developed educational materials on heat illness in English and Spanish, as well as resources for conducting training in the workplace. Information on how to prevent heat illness and what to do in an emergency can be found at http://www.osha.gov/SLTC/heatillness/index.html. In addition, OSHA is offering an app for mobile devices that enables workers and supervisors to monitor the heat index at their work sites. EPA to Delay Implementing New Stormwater Rule The Environmental Protection Agency has missed a settlement agreement deadline of April 27 for releasing its new stormwater regulation, and will have to delay the rule by perhaps a year from its intended date due to difficulties the agency has experienced in coming up with an appropriate cost-benefit analysis. In developing this new stormwater regulation, EPA aims to limit the volume and pollutant loads in stormwater discharges to levels that existed at the site prior to development through the use of low-impact development and green infrastructure devices. The proposed rule is not likely to go into effect until sometime in the spring of 2013. Bipartisan House Bill Would Halt Expansion of Clean Water Act On April 27, bipartisan leaders of the House Transportation and Infrastructure Committee and the House Agriculture Committee introduced legislation (H.R. 4965) to prevent the Environmental Protection Agency and U.S. Army Corps of Engineers from dramatically expanding the reach of the Clean Water Act to include virtually every ditch, pond and seasonal runoff ditch in the nation. The bill would reduce the overreach of federal power under the

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Clean Water Act and ease the regulatory burdens for America’s businesses, farmers and individual property owners. Warning of the severe economic consequences if the EPA and Corps plan is finalized, NAHB Chairman Barry Rutenberg said: “This blatant regulatory overreach would lead to many more land development, road construction and residential projects requiring federal permits and would exacerbate permitting delays. In turn, this will increase construction costs, cause job losses, drive down housing affordability and hamper economic growth.” EPA Furthers Efforts to Regulate Greenhouse Gas NAHB has submitted comments on the U.S. Environmental Protection Agency’s proposed next steps in regulating greenhouse gases (GHGs) from facilities sources by amending its Tailoring Rule. Published in June 2010, this rule was one of a suite of rules that marks EPA’s first regulation of GHGs from facilities. While the current rule and the proposal do not directly affect home building and development companies, it affects industries that supply raw materials, such as cement and concrete, to home builders – and as the thresholds become lower may begin to affect large multifamily buildings as well. The proposal is part of EPA’s so-called “step-by-step” plan to review and amend the rule. While EPA does not seek to reduce the emissions’ thresholds in this rulemaking, it proposes a number of measures the agency believes will streamline the permitting process.

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