The
Construction Times
September 2011
A publication of Northland Area Builders Association
NEW NABA Partnership - Home Builder Purchasing Program These days every business is looking for ways to trim budgets and save money. To help with this, NABA has partnered with the National Purchasing Partners Home Builders Purchasing Program. This partnership will allow even our smallest NABA member companies to take advantage of special discounts just for the construction industry from Verizon Wireless, Staples, and more. To find out more about the program and how to start taking advantage of the savings, please contact the NABA office for your registration information. There is no cost to join for NABA members. Vendors in the Home Builder Purchasing Program include Staples Business Advantage - office products plus an array of value-added services; Verizon Wireless - cell phones and service. Please note the Verizon eligibility requirements: your firm must be a construction company, home building company, remodeling company or other trade craftsman (e.g. a subcontractor such as an electrician or plumber whose primary trade is within the construction industry); Airgas, Inc. - safety supplies, abatement, welding, industrial, medical and specialty mixed gases; Sherwin-Williams - paints, stains, wall covering, brushes, rollers and other related tools. Take a peak at just a few of the discounts waiting for you inside. Maximize your savings even more - be sure to take advantage of the NAHB Member Advantage savings available to all NABA members. Member Advantage gives members an easy way to reduce expenses, maximize profits and increase efficiency. Through agreements with leading national companies, NAHB offers exclusive discounts on a variety of products and services that can benefit your business, employees and family. In the past 3 years, members have saved over $21,000,000 through Member Advantage. For the most up-to-date information about which companies are offering discounts as well as detailed information on how to access the savings, please visit www.nahb.org/ma.
Be a TABLE TOP Sponsor
NABA SCHOLARSHIP RAFFLE
Put your company in the spotlight at a Networking Night by featuring your products and services starting with the October meeting. Contact the NABA office for available dates.
It is no secret that in today’s tough economic times there are fewer NABA members. With fewer members there are less funds raised for the NABA Scholarship Fund and less funds to operate NABA. The NABA Board of Directors in an effort to supplement the NABA Scholarship Fund and NABA operations without raising dues and to promote its builder and associate members is asking members to sell raffle tickets for the upcoming John Deere Riding Lawn Tractor Giveaway. Information will be sent to you with everything you need to know about the raffle. We need YOU to make this venture a success. We are asking each and every member to sell or purchase 6 tickets.
In exchange for a door prize (minimum $25 value), your company will Ÿ Get 5-7 minutes at the podium to talk about products/services Ÿ Have the opportunity to provide greeters at the Networking Night Ÿ Be mentioned in the monthly newsletter Ÿ Have your name & logo on the Networking Night flyer Ÿ Have a table display
Mission
29148 Mail Road • Danbury, WI 54830 Phone: 715-259-3486 • Fax: 888-825-8073 Email: naba@centurytel.net www.northlandareabuilders.com
NABA Board of Directors President: Russ Smith, Russ Smith Construction 715-462-4170
The NABA, chartered in 1989, is a non-profit trade organization comprised of building and construction industry professionals in Ashland, Bayfield, Burnett, Sawyer and Washburn Counties in Northwestern Wisconsin. Promoting professional growth to its members, the Association provides the resources to stay abreast of our ever changing industry. Every member of the NABA is also a member of the Wisconsin Builders Association (WBA) and the National Association of Home Builders (NAHB). To maintain the highest professional standards, our membership adheres to a Code of Ethics, monitors legislative issues, and promotes affordable quality housing.
President Elect: Ed Peterson, Peterson Construction 715-866-7127 Treasurer: Rick Harder, Northern Paradise Homes 715-635-2299 Secretary: Joe Gendrich, Culligan of Ashland 715-682-6585 Directors: Open seat
Code of Ethics Members of the Builders Association subscribe to the following Code of Ethics: n n n n
Todd Knutson, Johnson Bank 715-634-2611
n
Kelly Licht, Culligan of Rice Lake 715-234-8819
n
Jason Olsen, Peoples Bank 715-634-2674
n n
LaNell McGuire, Floor to Ceiling 715-634-4573
WBA State Directors
n
Subscribe to the By-laws of the State and National Associations. Meet or exceed all State required insurance regulations. Maintain a good credit rating in high standards. Respond to consumer complaints, and act on these complaints in a timely manner. Continue to improve their skills and knowledge through educational resources made available at a local, state and national level. Employ other association members to assure the high standards set by its members are maintained. Conduct themselves in a professional manner to maintain the standards of the association. Comply, both in spirit and letter, with rules and regulations prescribed by law and government agencies for health safety, and progress of the community Have a commitment to excellence.
Jack Sjostrom, Sjostrom Construction 715-634-4427 Charlie Johansen, Johansen Electric 715-634-3761 Open seat Open seat
NAHB National Directors Jack Sjostrom, Sjostrom Construction 715-634-4427 Open Alternate Seat
Need Help? Northland Area Builders Association 715-259-3486 www.northlandareabuilders.com National Association of Home Builders 800-368-5242 www.nahb.org Wisconsin Builders Association 608-242-5151 www.wisbuild.org Wisconsin Department of Commerce 608-266-3151 www.commerce.state.wi.us/SB/
NABA Staff Jennifer Johnson, Executive Officer
Become a fan of Northland Area Builders Association to receive industry news, updates and network with others in the industry.
Looking Ahead... from the NABA President Russ Smith The next time you come to a NABA event, look around at your fellow members. I guarantee that more than half of the people you see will be associate members. These are people who are essential to the home building process and help enable our industry to provide Americans with an unrivaled selection of quality homes.
Among the ranks of associate members are subcontractors, sales and marketing
specialists, architects, interior designers, title and settlement experts, lawyers, people in the financial services industry, product suppliers and manufacturers, and many more who are essential to the challenging task of providing housing for a growing population. Associate members are also essential to NABA and to the NAHB federation, offering sponsorships, devoting countless hours at committee meetings and volunteering at special events, and strengthening our industry in the process. Most importantly, our associate members help broaden our perspective so that we can assess issues more objectively in the context of our entire industry.
In recognition of the thousands of associates who
volunteer their time and services to NAHB and its state and local affiliates, NAHB has designated September as Associate Member Appreciation Month. NAHB has always appreciated the dedication and enthusiasm of its associate members, but in today’s unsettled – and unsettling – housing market environment, we appreciate that dedication and commitment more than ever. During September – and every other month, for that matter – I urge all NABA members to get to know one another better, learn about each others’ businesses and whenever possible, to do business with other members. We are strong when individual members are strong, and doing business with other members is a great way to strengthen the association while ensuring that the people you work with understand the issues and concerns that affect your day-to-day operations. Associate members are invaluable to our businesses and an essential part of our proud history, tradition and spirit. Let’s all thank them this month by doing business with a member!
There are lots of exciting new NABA member benefits and events taking place in the upcoming months. I encourage you to take advantage of them and to tell others about NABA. I challenge each of you to introduce just one new member to NABA this year. From discounts on products and services to a legal and code hotline to the weekly job reports, it pays to be a member.
Membership in a Minute Total Members
Builder Members
Associate Members
Affiliate Members
7/31/2011
81
27
50
4
12/31/2010
80
28
47
5
% change
1.3
-3.6
6.4
-20
Dennis Ruid, Dennis Ruid Excavating
Bill Cadotte, Chippewa Wood Crafters Fred Scheer, A Cabin in Hayward Don Dymesich, KV Tech
Kurt Proctor, CBS Construction Lonnie Vreeland, J & L Painting
Ron Kirk, Acme Tools John Solofra, Bergeman Plumbing Bill Otterson, Hardwood Floors and More Nick Kendyall, Northern Lakes Coop
Duane Hoef, Hoefs Construction
none Jeff Homuth, Hayward Mercantile Josh Peck, Peck Construction Dan Hinman, Don Johnson Auto Group Deb Hitchcock-Gale, Coldwell Banker Lakeside Realty
The NABA Board of Directors approved the following new member applications last month. If any current NABA member has reason why this application should not be accepted, please state in writing your reason membership should be denied and mail to be received by 9/10/11 at the NABA office. Bylaws state that we must submit new applications before the general membership for one newsletter.
none
The full 3 in 1 membership will take effect on your final payment. There are no refunds on this program, any payments made until the third payment will be considered a donation to the HBA in support of the industry. The first payment will be processed upon receiving the completed form. The following two payments are due on the 1st of the following month. We have the ability to do this as an electronic withdrawl from your bank account. Contact the NABA for details.
SAVE T HE DATE
Silent Auctions Raffles Association Awards
In the month following its debut, the NABA Weekly Job Report has contained 35 new bidding opportunities for NABA members. A new benefit of membership, the Weekly Job Report is distributed to NABA members every Monday. Each report contains a summary of bidding opportunities throughout the NABA region with links to detailed reports including information on receiving plan documents on the Members Only side of the Association’s website. Members were emailed their user names and passwords for logging into the NABA website. Contact the NABA office for assistance or to retrieve your information. If your membership lapses, your log in information is deactivated.
Looking for Leaders
2012-2013 Slate of Candidates
The Nominating Committee of the NABA Board of Directors Northland Area Builders Association (NABA) is accepting Past President: Russ Smith, Russ Smith nominations for the 2012-2013 Construction Board of Directors. The Committee wishes for all interested members who desire President: Ed Peterson, Peterson Construction to hold a Board position to actively seek such office by completing the information below and submitting it by President Elect: Joe Gendrich, Culligan of Ashland email or fax to the NABA office prior to September 15, 2011. Board seats have a two year term and meet Treasurer: open (vote) monthly. There are currently two open seats. The election will be held at the October Networking Night Secretary: Rick Harder, Northern Paradise Homes scheduled for October 4, 2011 in Spooner. (vote) Nominee’s Name
Directors: Todd Knutson, Johnson Bank (vote) Jason Olsen, Peoples Bank Jeremy Lindgren, Arrow Building Center Spooner (vote) Tyler Crotteau, Muller Heating, Mechanical & Geothermal (vote) Open Seat (to be appointed by the Board - will complete
Company Mailing Address Phone Fax
the remainder of Scott Chapin’s term)
The NABA Board thanks Scott Chapin for his years of
Brief Description of Qualifications & Reasons for service on the Board. Scott has resigned from the board interest in a Board position. due to his busy work schedule.
Have you been to the NABA website recently? Your customers have and here is a snapshot of what they have been visiting. In July, the NABA members listed to the right were the most visited directory listings. Consumers are looking for you - It is so important that we have the correct contact information listed for your business. Take a moment and check to see that we have a correct email address, website address and phone information for you. If you find an error, please contact the NABA office right away. Your NABA membership listing allows you to have a direct link to your website right from ours. Members can also place a NABA logo along with logos for the NAHB and WBA on their websites as long as you are current on your dues. Please link back to the appropriate association websites when you use one of the logos. You may have also noticed that some members have a video or advertising as part of their directory listing. We are in the process of creating videos for all of our builder members. Videos are uploaded to the NABA YouTube channel and posted on our Facebook page. Videos are copyrighted by NABA.
Top Member Directory Page Hits Arrow Building Center Spooner Northstar Landscaping A Cabin in Hayward Custom Building Supplies Arrow Building Center Hayward Schrock Construction Inc Sjostrom Construction Inc. Dykstra Construction
NABA Website Hits 2011 (thru July) 2010 (Jan - Dec)
Ken Lacoy Construction Inc 18,019 20,979
Mast Construction
Are YOU missing out on $700 cash? The Northland Area Builders Association (NABA) along with the Wisconsin Builders Association (WBA) and Focus on Energy, Wisconsin utilities’ statewide program for energy efficiency and renewable energy, have entered into a strategic partnership intended to boost economic growth in Wisconsin’s residential construction industry. In this pilot program, Focus on Energy is offering financial incentives to current NABA members to join Focus’s New Homes’ Program.
funds annually and you can receive up to $1,500 for each certified home.
Take advantage of the opportunity to join Focus on Energy and differentiate yourself from your competition. All builders tell potential homeowners they build good quality, energy-efficient homes, but only Focus on Energy Builder partners can prove it. Each Focus on Energy certified home is inspected by an accredited, third party, unbiased building science expert, confirming that each home Focus on Energy works with nearly 400 builders in has met all New Homes Program standards and Wisconsin. These builders have certified over testing requirements. 16,000 energy efficient homes since 1999, that’s nearly 4 homes per day for the past 12 years. Focus *Note: This is a one-time promotional payment and on Energy builder partners currently certify over this offer is only available to current NABA builder members whom are not currently active Focus on 30% of all homes built in Wisconsin annually. Energy Builder partners. Becoming a Focus on Energy Builder is easy! Just complete the attached Focus on Energy Program Ally Application, select a building performance Know someone who isn’t a NABA Member? consultant, and send the completed paperwork to Focus on Energy. Be sure that the application says If you know someone who is interested in becoming a “Northland Area Builders Association” on it. NABA member and is a Focus on Energy participant, they That’s it. That’s all you have to do to get started. After your first home is certified, Focus on Energy will send you a check for $700*. As a Focus on Energy Builder you are also eligible to receive up to $3,000 in cooperative advertising reimbursement
may qualify for a $200 rebate on their NABA membership dues from Focus on Energy/WECC. This one time rebate is only available to Focus builder participants and new member applicants. Applicants must be or become a Focus participant before applying for membership in order to qualify for the rebate.
Want to see your ad in the NABA newsletter or on the NABA website? Contact Jennifer at NABA for details. Mention that you saw the ad rates in the NABA newsletter and your ad will run for an extra month - 4 months for the price of 3!
- minimum of 3 month contract with ad to be placed in the NABA monthly newsletter & to be paid in advance. Member provides completed ad in jpeg format. Size: 3.75” x 2/75” $20/month - minimum of 3 month contract to be paid in advance with ad to be placed on NABA website featuring a clickable hyperlink to individual advertiser’s website homepage. Member to provide completed ad in jpeg format. Size: 356 pixels x 271 pixels $50/month
Many HBPP members are already saving time and money through this program. Registering is free and easy. HOW TO REGISTER Go to www.mynpp.com. Click “Join Now”. Select “Construction”from the dropdown menu. Select “Residential”from the Category dropdown menu. Select “HBPP” from the Association dropdown menu.
For customer service, call 800.810.3909, or e-mail customerservice@mynpp.com Ashley Ahlgrim Construction Account Manager ashley.ahlgrim@mynpp.com
HOME BUILDER
Up to 35% discount on safety supplies and personal protective equipment Specializing in safety support, including first aid, and protection for head and face, hearing, respiratory and hands
Wireless applications for data collection at 50% discount on set-up fees Captures time and attendance, cost codes, job tasks, breaks and GPS tracking of employees
Discounted, contracted prices on over 30,000 supplies and services Free next-day delivery on most standard orders over $30
National Purchasing Partners serves over 100,000 member organizations, and is one of the largest group purchasing organizations in the nation. NPP negotiates discounted rates on many products and services, and passes the savings to our members. NPP is owned by Virginia Mason Medical Center, a non-profit healthcare facility recently named the nation’s top hospital of the decade.
Corporate Discount - 22% off all calling plans $34.99 & higher and free activation Employee Discount - 18% off calling plans $34.99 and higher Select Accessory Discount - 35% (corporate) and 25% (employee/family) $20 Unlimited Data feature for Blackberry and PDA devices - corporate lines only (standard pricing is $44.99) Broadband Access (data card access) discount of 18% off Variable discounts on phones (depending on phone) Verizon Eligibility Requirements: Each Member must be a construction, heavy highway or remodeling company, or other trade craftsman (e.g.: a subcontractor such as an electician or plumber whose primary trade is within the construction industry).
Hire the best people and reduce employee turnover Comprehensive Employment Screening solutions at discounted rates
15% off list price at Sherwin-Williams stores for HBPP members and employees 20% to 50% discounts on paint coatings
NEWS & UPDATES Wisconsin Department of Safety & Professional Services formerly WI Department of Commerce
Governor’s Budget Launches New Department of Safety and Professional Services Agency Focused on Regulatory Efficiencies, Customer Service and Pro Business Climate Governor Walker’s signature on the 2011-13 state budget marks the start of the new Wisconsin Department of Safety and Professional Services (DSPS) – formed by combining the Department of Regulation and Licensing and parts of the Department of Commerce. The new agency completes the Governor’s plan to re-craft the Department of Commerce into the Wisconsin Economic Development Corporation (WEDC) with a singular focus on job creation. “The Department of Safety and Professional Services is the final piece of Governor Walker’s plan to enhance the focus on job creation while bringing greater efficiencies to the way our state regulates individuals and businesses that hold licenses,” said DSPS Secretary Dave Ross. “Our focus on efficiencies and enhanced customer service will help create the pro business climate we need to create 250,000 new jobs over the next four years.” Merging the Department of Regulation and Licensing and the Department of Commerce’s Divisions of Safety and Buildings and Environment and Regulatory Services into the new Department of Safety and Professional Services (DSPS) is just the first step to a strategic reorganization plan according to Secretary Ross. “Governor Walker has challenged our new agency with bringing greater value to the 430,000 licensees and permit holders we regulate and our team is ready to embrace this challenge,” Secretary Ross said. “We have a historic opportunity to realign the regulatory functions of state government in a way that fosters job creation, lessens the regulatory burden and protects the public.”
Secretary Ross Announces Key Division Administrator Appointments Department of Safety and Professional Services (DSPS) Secretary Dave Ross released the following statement: “As part of the reorganization of the Department of Safety and Professional Services (DSPS), it is my pleasure to announce the appointment of Mr. Bill Wendle as the Administrator of the Division of Safety and Buildings (S&B) and Mr. Tom Nardelli as the Administrator of the Division of Environmental and Regulatory Services (ERS). Mr. Wendle brings a deep resume of business and industry experience most notably as the former Executive Vice President of the Wisconsin Builders Association. Mr. Nardelli brings extensive business, military, and government experience, including serving as Chief of Staff for Wisconsin Governor Scott Walker when Walker was Milwaukee County Executive. Tom most recently served as Administrator of the Division of Safety and Buildings. I look forward to working with our two new division leaders and everyone else in our newly reformed agency to protect the public, better serve our customers and grow Wisconsin’s economy.”
2011-2012 PLUMBING & POWTS Continuing Education Department of Safety & Professional Services Online Continuing Education Courses: If you are unable to attend the classroom courses, another way of obtaining credits is the online classes. You can watch previously recorded classes on your computer, answer the associated questions, and mail the answers along with the fee to S & B to receive credit. Visit www.dsps.wi.gov/SB/SB-DivContinuingEdVideo.html for details. Sizing the Building Water Supply System (3 ceu for MP, MPRA, MPRS, JP, JPRA, JPRS, Comm Plbg Insp, UDC Plbg Insp, and Utility Contractor) In Depth in Situ Soils (3 ceu for MP, MPRS, JP, JPRS, POWTS Mainainer, CST, POWTS Insp, Comm Pblg Insp_ S & B Drain and Vent 2009 (3 ceu for MP, JP, UDC Plbg Insp, and Comm Plbg Insp)
Correspondance Courses To request Copies of the correspondence courses, mail a copy of the request form with payment to S & B and the courses will be sent to you. After studying the course, return the accompanying questions with the fee to receive credit. Visit www.dsps.wi.gov/sb/docs/SBFORMCORRESPONDENCECOURSEORDER.pdf Water Sizing (3 ceu for MP, MPRA, MPRS, JP, JPRA, JPRS, Comm Plbg Insp, UDC Plbg Insp, and Utility Contractor 타 Comm 82.32 Traps & Direct Fixture Connections (1.5 ceu for MP, JP, UDC Plbg Insp, & Comm Plbg Insp) 타 Comm 82.33 Indirect and Local Wast Piping (1.5 ceu for MP, JP, UDC Plbg Insp, & Comm Plbg Insp) 타 Comm 82.34 Interceptors & Catch Basins (3 ceu for P, JP, UDC Plbg Insp, & Comm Plbg Insp)
In Person Courses November 2011 - Hayward Flat Creek Inn and Suites 10290 Highway 27 South Registration (next page) and payment must be received at least two weeks prior to the class (keep a copy for your records). Please send registration form to Safety & Buildings at address on registration form (top left). Nov 9 8:30 -11:30 am At-Grade and Pres Dist Design 12:30 - 3:30 pm IDS Justification for Perf Design Nov 10 8:30 - 11:30 am Plumbing Information Q & A 12:30 - 3:30 pm Products and Water Treatment
REMINDER: DOC Fines for Using Unlicensed or Unregistered Subs A rule change effective December 1, 2010 will authorize the Wisconsin Department of Commerce (DOC) to impose forfeitures on those who do not comply with certain licensing, certification and registration requirements, or those who hire persons or entities who have not registered or do not have required credentials. In 2009, DOC started to require various trades involved in building or modifying structures to register as a building contractor. However, those that hold certain credentials, such as contractors who have a dwelling contractor certification, are exempt from this registration requirement. This new rule will allow DOC to impose forfeitures on those who do not have their registration, or certain other credentials, such as a dwelling contractor certification. In addition, forfeitures may be imposed on an entity or individual who contracts with another entity or individual who fails to comply with licensing, certification or registration requirements. Thus, a general contractor who has its dwelling contractor certification may be subject to a penalty if the general contractor contracts with a subcontractor who does not have its certification or registration. WBA objected to this rule, arguing among other things that the forfeiture amounts were excessive. In final version of the rule sent to the legislature, the forfeiture amounts were significantly reduced. Under the revised rule, the forfeitures for failing to comply with the licensing/ certification/ registration requirements, or for contracting with an entity that does not meet these requirements, are as follows: first offense, $250; second offense, $500; and third offense, $1000. In addition to authorizing the imposition of forfeitures, as a result of a statutory change, this rule also expands the trades subject to registration to include those that construct, install or alter mechanical equipment and devices such as boilers, gas systems, piping and mechanical systems serving a building or structure. The requirement was also expanded to include those involved in the construction, installation or alteration of permanent devices or structures regulated under the amusement or sanitation code.
Visit www.nahb.org/ma to learn more about money saving discounts available only to members
Small Business News Small Businesses To Receive Bills for Interest Payments on UI State officials have announced employers will soon be receiving statements for payment of interest on money borrowed from the federal government to fund UI benefit payments for unemployed workers. Although the interest on these loans was previously waived by the federal government in 2009 and 2010, the bill is now coming due for interest accruing since January 1, 2011. Although legislation is pending in the Congress to again waive the interest payments, the state must take action now to meet a $48 million interest payment due on September 30th. Federal law prohibits states from using unemployment tax revenue to fund these interest payments. However, Wisconsin law authorizes the department to assess employers separately for interest payments due on these loans. The assessment rate will be applied to taxable payroll ($12,000 per employee in 2010), and those employers whose total taxable payroll is $25,000 or less in 2010 are exempt from the assessment. Employers will receive a bill for the assessment in August with payment due the first week of September.
Top Regulatory Changes Affecting Employers in 2011 Article Provided by CompuPay
The past two years have seen a number of legislative changes that affect employers. Employers must ensure they understand the latest changes concerning taxes, healthcare reform, and other legal issues and how they can impact their business. Here is an overview of some of the most important changes business owners need to be aware of. 1. Tax Changes a. A temporary reduction in the employee’s share of the Social Security tax is in effect for 2011 as a result of the Tax Relief, Unemployment Insurance Reauthorization, and Job Creation Act of 2010. The portion of the tax paid by employees has been reduced to 4.2% from 6.2% for the first $106, 800 in wages paid to employees during 2011. Benefits for employees recorded by the Social Security Administration will be unaffected by the reduced employee rate and the employer’s share of the tax will remain unchanged at 6.2%. b. The HIRE Act, which exempted employers from paying their share of Social Security taxes on the wages of certain employees who were newly hired after February 3, 2010, and before January 1, 2011, does not apply to wages paid after December 31, 2010. However, employers may still be eligible for a $1,000 tax credit to be applied when they file their 2011 tax return for any eligible employee hired under the HIRE Act that remained in their employment for at least 52 consecutive weeks. c. The Tax Relief, Unemployment Insurance Reauthorization, and Job Creation Act of 2010 includes an incentive that allows businesses to invest in capital equipment and deduct 100% of that investment. In addition to billions of dollars in tax cuts to businesses, the Treasury Department estimates that the average cost of capital for business investment will decrease from 7.18% to 1.68%, an overall reduction in
cost of 75%. They have also estimated that the temporary 100% expensing will produce a $50 billion increase in capital investment. 2. Healthcare Reform a. Effective January 1, 2011, funds from FSA, HRA, HSA and Archer MSA accounts can no longer be used to purchase over-the-counter medicines or drugs, except insulin, unless prescribed by a physician. Patients with FSAs and HRAs who purchase prescribed over-the counter medicines or drugs will need to submit their prescription along with their reimbursement form or, if purchasing with a plan-specific debit or credit card, will need to present the prescription to the pharmacist and pay at the pharmacy. b. The penalty for nonqualified disbursements from an HSA has increased to 20% from 10%. c. Business tax credits for certain small employers who have fewer than 25 full-time employees and pay for more than 50% of the health insurance premiums for their employees continue through 2013. (See if you qualify.) d. Due to an amendment to the Fair Labor Standards Act (FLSA) enacted by the 2010 healthcare reform act, employers with 50 or more employees are now required to provide a clean, safe space that allows for privacy, other than a bathroom, that breastfeeding mothers can use to express breast milk. Although the employer is required to allow for break time for the mother to express milk, they do not have to pay for the time used for that purpose. Additionally, many states have laws that govern the rights of breastfeeding mothers in the workplace that may provide additional rules that employers need to follow. Refer to your state’s Department of Labor website for information specific to your state. 3. Continued IRS Audits The IRS is expected to continue their efforts of auditing businesses, concentrating their efforts on: §
Ensuring that employers do not misclassify employees as independent contractors
§
Compensation and fringe benefits paid to executives
§
Appropriate reporting of wages for tipped employees
§
Payroll tax audits.
4. Most State Unemployment Funds Depleted In the years since the beginning of the recession in 2007, due to high unemployment rates and the continuing extensions of the number of weeks an unemployed worker is eligible to collect benefits, most state unemployment funds have been completely depleted, forcing states to borrow money from the federal government in the form of an unemployment insurance Title VII loan. As a result, most states have had to take action to repay the loans, including increasing taxable wage bases, shifting to a sliding rate schedule, and levying surcharges on employers. Additionally, if a state defaults on a Title VII loan, employers in that state receive a reduced FUTA tax credit, resulting in an additional tax liability. As the year progresses, it is expected that there will be many other changes instituted through our legislative system. The ramifications of these types of changes can be serious and costly if a business is not in compliance. To stay up to date on payroll and payroll tax changes that affect businesses, visit the IRS, as well as federal and state Department of Labor websites regularly.
NEWS and UPDATES from National Association of Home Builders "Stormwater management must be straightforward, The 2011 Fall Board of Directors Meeting will be held in affordable and workable," Nielsen said. "That's the only Milwaukee, Wednesday September 7 - Saturday, way we can continue to make progress.” September 10. Meetings will take place at the Hilton NAHB supports responsible development and the goals of Milwaukee City Center (HQ Hotel) and the Frontier Airlines the Clean Water Act, he said, and “the association will Center. Registration form enclosed. continue to work with state and federal regulators to keep our waterways clean."
Fall Board of Directors Meeting
EPA Backs Down on Faulty Stormwater NAHB Members Invited to Participate in Fall Management Rule for Construction Sites The Environmental Protection Agency announced on Aug. Board Forum on ICC Code Process
17 that it has decided to reconsider imposing a nationwide Association members attending the upcoming fall board cap on the amount of sediment allowed in stormwater meeting in Milwaukee will have an opportunity to discuss their concerns over the code development process — draining from a construction site. including changes that mandate fire sprinklers in one- and The announcement came a year after the EPA's first two-family homes and increase the energy efficiency proposal to develop a numeric limit for the turbidity, or requirements for all housing — with the International Code cloudiness, of stormwater was rejected by the 7th Circuit Council (ICC) leadership and NAHB’s Construction, Codes Court of Appeals, which essentially told the agency to & Standards (CC&S) Committee. come up with an Effluent Limitation Guidelines (ELGs) At the “Building Codes — Future Strategies” forum, the number that was legally defensible. committee will discuss its draft recommendations on the NAHB has estimated that attempting to comply with the future strategies NAHB should be pursuing, and it will be regulations would carry a $10 billion annual price tag — soliciting input from members. stunting new home production and forcing costs up for Also participating in the forum, ICC President James L. home buyers. Brothers will discuss how the ICC board is responding to The agency said that it still couldn't justify any specific limit concerns raised by NAHB and other industry and will start over again. representatives. All NAHB members are encouraged to The EPA said it will be talking to home builders, attend. environmental scientists and other members of the public For more information, email Ed Sutton at NAHB, or call to gather better data — a solution that NAHB has him at 800-368-5242 x8564. advocated for more than three years.
Home Owners Resisting Increased Costs of
"The EPA set a numeric limit for water cloudiness that was Remodeling Under Lead Paint Rule based on flawed analyses," said NAHB Chairman Bob Owners of homes built before 1978 are balking at the Nielsen. additional cost needed to repair and renovate their homes Both the Small Business Administration and the Office of — an up to 24% increase — under the U.S. Environmental Management and Budget warned the EPA that the Protection Agency’s Lead: Renovation, Repair and regulation would not hold up, joining NAHB in voicing Painting rule, according to a recent NAHB survey. concerns over its monitoring and sampling requirements. “Remodelers are finding that conducting renovation work "In its calculations, the EPA relied on questionable data, in older homes has become more expensive under the including figures obtained from the vendors that would lead regulation and that home owners are reluctant to pay have supplied the expensive systems home builders would the increased costs,” said NAHB Remodelers Chairman have been required to use. That's no way to come up with Bob Peterson, CGR, CAPS, CGP, of Associates in Building national policy," Nielsen said. & Design, Ltd., of Fort Collins, Colo. Because terrain, geography and rainfall vary significantly Responding to special questions in NAHB’s quarterly across the country, NAHB has long held that a nationally Remodeling Market Index (RMI) survey, remodelers applicable numeric limit is neither defensible nor indicated that the cost of remodeling projects of less than practicable. $5,000 — a vast majority of the projects nationwide "It's our hope that the EPA's research will take that fact annually — would increase by as much as 24% under the lead rule. The cost of remodeling projects of more than into account," he said. $100,000 would increase 9%, respondents indicated. In the meantime, NAHB is redoubling its efforts to collect turbidity data from its members' construction sites to help At least 65% of the respondents also indicated that home ensure that the eventual ruling makes good scientific sense. owners are trying to avoid the additional costs of the lead
rule by attempting to do the work themselves, working with uncertified contractors who do not comply with the lead rule, scaling back the size of their remodeling projects or deciding not to remodel at all.
NAHB members can register for the free webinar at www.nahb.org/oshawebinar.
Under the EPA’s lead paint regulation, remodelers and other contractors working in homes built before 1978 must take precautions to contain lead dust — including using lead-safe work practices, establishing dust containment areas and containing dust during the renovation, cleaning up after the project and maintaining detailed records.
First-Time Attendees at IBS Save Up to $325!
The seminar will be presented by Bradford T. Hammock, a partner in the Washington, D.C., regional office of “Remodelers want to protect vulnerable children from lead Jackson Lewis LLP whose practice is exclusively in the exposure, but we’re seeing that home owners do not want safety and health area. to pay the costs for complying with the lead regulation,” For more information on this webinar or fall protection, visit Peterson said. “A huge part of the problem is that home www.nahb.org/fallprotection; or email Rob Matuga at owners who have no children living in their home do not NAHB, or call him at 800-368-5242 x8507. see the need to pay this expense.”
As a member of NABA you already know that success as a builder requires much more than just being able to swing a hammer.
In fact, to move your business ahead, you need to learn The regulation also requires that they obtain training and about new materials, plan marketing strategies and certification, and that they distribute the EPA’s Renovate better connect with customers. Fortunately, that’s exactly Right lead-safe guide to their home owner clients. what the next International Builders’ Show (IBS) from According to the American Housing Survey by the Feb. 8–11, 2012 in Orlando is designed to help you do. Department of Housing and Urban Development and the Census Bureau, professional remodelers annually work Now there’s even better news. If you’re a new NAHB on 16.6 million projects involving housing built before 1980. member or a first-time attendee at IBS 2012, you can Of those, nearly 13 million are smaller projects priced save some serious money! If you meet one of the following conditions, you can see all the exhibits and under $5,000. attend all the education sessions you want for only $125: The total estimated costs for remodeling under the lead rule — including training, equipment, materials and work That’s up to $325 in savings for full access to four days hours — could reach as much as $10.5 billion a year if of exhibits and education — and even better, your home owners do not change their remodeling plans, spouse can attend for only $20! according to the survey. For more information on the lead rule, visit To take advantage of this special offer, just go to www.nahb.org/leadpaint; or email Kelly Mack at NAHB, or www.buildersshow.com and follow the “member” call her at 800-368-5242 x8451. registration path. You’ll see the First-Time registration Free Webinar Will Review How to Survive option listed right after you provide your contact and demographic information. Simply select the discounted Stepped-Up OSHA Inspections full registration option, and you’re on your way! An upcoming free webinar from NAHB will provide NAHB members and home builders associations with important information on dealing with the Occupational Safety and Health Administration’s recent stepped-up enforcement actions and increased penalties. As has been reported previously, OSHA has made stepping up its enforcement efforts a priority. While in past years commercial contractors were subject to the most inspections, residential builders are now routinely receiving inspections by OSHA. The webinar — “How to Prepare for an OSHA Inspection” — will be held on Sept. 13 from 1:00-2:30 p.m. EDT. The webinar will touch on a number of topics, including the rights of employers during an OSHA inspection, suggestions on what to do during the actual inspection, determining when to contest citations and how to obtain penalty reductions, and what legally recognized defenses to OSHA citations employers can use, specifically as they relate to recent changes in the fall protection requirements.
Wisconsin Builders Association Monday Morning News August 22, 2011 Secretary Chandler visits with WBA GA Committee WBA GA Committee members were honored to have Wisconsin Department of Revenue (DOR) Secretary Rick Chandler as a special guest recently. Secretary Chandler gave the group a briefing about the recently passed state budget and how that will have a positive effect on the economy and Wisconsin’s fiscal condition in the future. You may remember that before becoming DOR Secretary Mr. Chandler worked as a consultant and helped WBA members on the WBA Tax Sub-Committee issue a report to help Wisconsin taxpayers reduce their property tax burden. The highlights of that report were: •Remove the technical colleges in the Wisconsin Technical College System from the property tax •Remove the court system from the property tax •Eliminate the taxation of personal property in Wisconsin •Eliminate the forestry tax Secretary Chandler was asked about the possibility of these suggestions being considered in the future and he affirmed by saying with the positive changes in the last state budget these could be under consideration for the next one. WBA President Esposito urges support for federal lending bill WBA President Don Esposito recently sent a letter the Wisconsin congressional delegation asking them to sign on to the Home Construction Lending Regulatory Improvement Act of 2011. This is a major initiative being pushed by the National Association of Home Builders (NAHB). The Home Construction Lending Regulatory Improvement Act of 2011 will direct banking regulators to issue new guidance specifically addressing three key regulatory areas that have unnecessarily hampered the flow of credit to our nation’s home builders. The Act removes barriers to lending while preserving the regulators’ ability to assure the safety and soundness of the financial institutions they oversee. A special thank you to Congressman Reid Ribble who signed onto the Act shortly after meeting with WBA members during the NAHB Legislative Conference in March. In the letter to the Wisconsin congressional delegation WBA President Esposito stated, “As a longtime member of the home building industry as well as one of the 5,800 members of the Wisconsin Builders Association and its 2011 President, I am writing to bring to your attention one of the biggest challenges facing our industry today: the lack of availability and accessibility to land acquisition, land development and home construction (AD&C) loans. To remedy this situation, H.R. 1755, the Home Construction Lending Regulatory Improvement Act of 2011, has been introduced by Representatives Gary Miller (R-CA) and Brad Miller (D-NC). I urge you to cosponsor this legislation.” New Madison office location for S&B license and manufactured home services The state Safety and Buildings Division unit that provides counter service in Madison for licenses, certifications, and registrations is moving, changing office location as part of the formation of the new Department of Safety and Professional Services. This move also includes staff who provide counter service for manufactured (mobile) homes titles and sales. The new location as of July 25, 2011, is at 1400 East Washington Avenue (53703) in Madison (see close-up map), at the corner with North Dickinson Street, just southwest of the Yahara River. Free parking is available in a lot on North Dickinson Street.
Mailing addresses for S&B forms and telephone numbers will remain the same. The telephone number for licenses, certifications, and registrations is 608-261-8467. The telephone number for manufactured homes services is 608-264-9596. All other S&B services in Madison remain at 201 West Washington Avenue. Krabbe appointed to Uniform Dwelling Code Council The council that reviews changes to the Uniform Dwelling Code, the aptly named Uniform Dwelling Code Council (UDC), met recently with a WBA member present as a recent addition. Earlier this year longtime UDC Council member John VandeCastle retired from the council and opened up a position for a material supplier. After positing the opening on their website Governor Scott Walker appointed Pete Krabbe of Seymour Lumber to the open supplier position on the UDC Council. Mr. Krabbe reached out to WBA last fall with a request to become more involved on the state level and expressed an interest “in contributing to the organization in any capacity, especially on interaction with the branches of government that directly affect our industry.” Krabbe also added “I want to help grow our industry by working to lessen governmental influence in our day to day business.” WBA is confident that Pete Krabbe’s worldview will be a welcome addition to the UDC Council! Tommy Thompson looks all in for U.S. Senate Former Wisconsin Governor Tommy Thompson announced that Wisconsin Attorney General J.B. Van Hollen and former Secretary of the Department of Administration Jim Klauser would be serving as honorary chairs for his run for the open U.S. Senate seat. Thompson has been rumored to be considering this run for some time and the announcement this week, in addition to a previous announcement naming key fundraising advisors, seems to indicate this time a Thompson run is very likely. In a press release announcing the “first wave of strategic advisors” Thompson said, “I’m honored to have the support and commitment of Jim and J.B., we need to get America working again. We can do better, and it begins with getting government out the way of creating the jobs that make our families and communities stronger.” The GOP primary for the U.S. Senate seat currently held by Senator Herb Kohl will likely be a crowded field that features a number of well known GOP names. Rumored to be considering a run are former Congressman Mark Neumann, Assembly Speaker Jeff Fitzgerald, former State Senator Ted Kanavas and current state Senator Frank Lasee. Feingold not running for anything in 2012 All along, former state and U.S. Senator Russ Feingold (D-Middleton) had said he was considering a return to elected office in 2012 and that he would announce his intentions around Labor Day of this year. In somewhat of a surprise announcement recently Feingold released a statement saying he would not be seeking any elected office in 2012. Feingold was rumored to be considering a run again for the U.S. Senate or mounting a challenge to Governor Scott Walker if enough signatures were collected to trigger a recall election sometime in 2012. If you walked around the capitol square during the winter and spring of this year you could see several protesters with t-shirts featuring the face of Feingold with the saying “this is what a governor looks like” and “Feingold for Governor 2012.” On his “Progressives United” website Feingold said, “I am grateful for the friendship and support of so many fellow Wisconsinites who suggested I consider running for statewide office in the coming months. While I may seek elective office again someday, I have decided not to run for public office during 2012. This was a difficult decision, as I thoroughly enjoyed my tenure in both the State Senate and the U.S. Senate, and I know that progressives are eager to reverse some of the outrageous policies being pursued by corporate interests at both the state and federal levels.” DNR announces Enterprise Agency The Department of Natural Resources (DNR) announced an agreement with the Department of Administration (DOA) to become Wisconsin’s first “enterprise agency.”
Under the Enterprise Agency agreement, DNR has committed to: •Improve processes to reduce permit times by 5% for major air and water permits while upholding environmental standards; •Improve communication and interaction with the regulated community to assure environmental permitting requirements are widely understandable and are issued in a timely way through creation of a new Office of Business Support and Sustainability; •Develop Internet-based tools to streamline and more effectively transmit and track permit applications; •Increase over-the-counter service at DNR facilities by 40%; •Improve cost-effectiveness by prioritizing work and eliminating duplicative systems for fleet and facilities construction and repair; and, •Reduce costs by 2.5% for basic operations, and organize itself into a line authority organization to assure DNR is making consistent decisions across the state. In a statement of support WBA President Don Esposito commented that “the dedication and commitment to continuous improvement shown by the entire DNR staff from the field level on up to senior management is admirable. Builders and developers across the state interact with the DNR frequently, sometimes with regulatory processes that overlap and duplicate one another. The restructuring appears to us to be a long-overdue effort to make Wisconsin's largest regulatory agency function more efficiently. That will benefit the environment, the economy, and the citizens of Wisconsin.” Questions or comments? Please contact Brad Boycks, Director of Government and Political Affairs for the Wisconsin Builders Association ®. You can reach Brad at bboycks@wisbuild.org or 888-2859066, x16. You can also visit the WBA web site: www.wisbuild.org
In conjunction with the NAHB Board meeting, Governor Scott Walker has accepted an invitation to speak to WBA members in a special session at 4:00 p.m. Friday, September 9, 2011 at the Frontier Airlines Center in Milwaukee. This event will be open to all members of WBA. More details will be provided closer to the event.
September 2011
S
4
M
T
5
W
6 Labor Day
NABA Office Closed
NABA Networking Night in Hayward
7 NAHB Fall Board Meetings Milwaukee
T
F
S
1
2
3
9
10 NAHB Fall Board Meetings Milwaukee
NAHB Fall Board Meetings Milwaukee
NAHB Fall Board Meetings Milwaukee
WBA Exec Comm Mtg 11
12
13
14
15
16
17
22
23
24
29
30
NAHB Webinar Using Youtube to Market & Sell Homes 1 - 2 pm 18
19
20
21 NABA Board Meeting 5pm
25
26
27
28 NAHB Webinar Kitchen Design 1 - 2 pm
September Membership Renewal Deadline
October 2011 Sun
Mon
Tue
Wed
Thu
Fri
Sat
1
2
3
4
6
5
NABA Networking Night in Spooner
WBA Leadership Development Training
Board Elections
Chula Vista
7
8
WBA Board Day Chula Vista
9
10
11
12
13
14
15
16
17
18
19
20
21
22
27
28
29
NAHB University of Housing Certified Aging in Place Course (18 & 19)
NABA Board Meeting 5:00 pm
Milwaukee 23
24
30
31
NABA Raffle Ticket stubs and money due at NABA Office October Membership Renewal Deadline
25
26
Tuesday, October 4 Tracks Family Restaurant, Spooner 5:00 pm Cash Bar 6:00 pm Dinner
Guest Speaker: Brad Boycks, Wisconsin Builders Association will be updating us on current industry issues and candidates running for office Also taking place will be elections for seats on the Board of Directors (please see slate of candidates in this newsletter). All members of record have the opportunity to vote and must attend in order to do so. NABA bylaws do not at this time allow for electronic voting. Please RSVP before October 1 with number attending. Cost $15/person if received by 10/1 or $20 at the door.
NABA Board of Directors Installation Dinner Tuesday, November 8 The Steakhouse & Lodge, Hayward 5:00 pm Cash Bar 6:00 pm Dinner (Prime Rib/Roast Turkey Buffet with Mashed Potato & gravy, Broccoli/Carrot/Cauliflower blend, dinner salad, rolls, coffee & water)
Join us in honoring our outgoing and incoming Board of Directors. Please RSVP before Nov 1 with number attending. Cost $20/person if received by 11/1 or $25 at the door.