Foundations - November 2015 by Rochester Area Builders, Inc.

A&A Electric & Underground, Inc. + AB Systems, Inc. + Abbco Company + ABC Supply Company, Inc. + Above All Roofing of Rochester, Inc. + Accord Electric, Inc. + Action Plumbing, Heating & A/C + Adair Electric Company + Adamson Motors + Advanced Builders & Remodeling + Advanced Builders, LLC + Advanced Building Center, Inc. + Advanced Disposal + Advantage Cabinets, Inc. + Ag Services, Inc. + Alexander & Sons Builders + All Craft Exteriors, LLC + Mike Allen Homes, LLC + Allen Outdoor Solutions, LLC + All-Star Basements + Altra Federal Credit Union + American Engineering Testing, Inc. + American Fence Company of MN, LLC + American Waterworks + Ames Construction, Inc. + Amirco, LLC + Andersen Windows, Inc. + Anderson Construction + Appliance Village Company + Arcon Development, Inc. + Arrow Building Center + Associated Bank + Athelon Enterprises, LLC + B&C Plumbing & Heating, Inc. + BARK.L Consulting Engineers, LLC + Al Barker Custom Homes, Inc. + Barrier Free Access, Inc. + Basement Water Control + Batzel Builders, Inc. + BBHA Rochester, LLC + Beckley's Office Products + Beetles Bar & Grill, Inc. + Alvin E. Benike, Inc. + Scott Berberich Construction, LLC + Scott Berg Construction, LLC + Bessler Management + Beyond Kitchens, LLC + Bigelow & Lennon Construction, LLC + Bigelow Homes + K.W. Billman, Inc. + The Blue Book of Building & Construction + Bobcat of Rochester + Bob's Construction, Inc. + The Boldt Company + Bouquet Builders, Inc. + Bowman's Door Solutions + Brandrup Builders + Brauer Roofing, Inc. + Braun Intertec Corporation + Brekke Fireplace Shoppe + Bremer Bank + Brennan Companies + Bricewood, LLC + Briese Iron Works, Inc. + Bright Ideas + Brinkman Builders, LLC + Brock White Company + Tom Brogan Heating & Air Conditioning + Brooks Excavating Company, Inc. + C.O. Brown Agency + Bruce Bucknell Construction, Inc. + Budget Blinds + Building Products, Inc. + Burdick Builders, Inc. + Byrne Electric, Inc. + Cachiaras Building & Remodeling + Cambria + Carpet One + CarpetsPlus of Rochester + Castlewood Homes, Inc. + Centurion Ridge, LLC + Charter Communications/Media + Chladek Construction, LLC + Chosen Valley Testing, Inc. + Christian Brothers Cabinets + CHS, Inc. + City Auto Glass + City of Byron + City of Chatfield + City of Eyota + City of Preston + City of Spring Valley + Citywide Insulation, Inc. + Clarey's Safety Equipment + Clayton Thomas Blinds of Rochester + Clear Channel Radio (Laser/Fox/KFAN) + Clements Chevrolet Cadillac Subaru + CliftonLarsonAllen, LLP + Coldwell Banker Burnet + Commercial Leasing Services + Consolidated Communications, Inc. + Construction Partnership, Inc. + Coordinated Business Systems, Ltd. + Corban Homes, LLC + Cordes Construction + Cornerstone Builders & Real Estate, Inc. + Cornerstone Designs of Rochester, Inc. + Corporate Web Services, Inc. + Counselor Realty of Rochester, Inc. + Countryside Builders, LLC + Cravath Homes, LLC, dba Accessibility Solutions + Creative Curb Appeal + Creative Hardwood Floors + Crescent Electric Supply Company + CRW architecture + design group, inc. + Culligan of Rochester & Kasson + Curry's Custom Cut Gutter, LLC + Curtin Drywall, Inc. + Custom Alarm / CCI + Custom Homes by Bradley, Inc. + Custom Retaining Walls & Landscaping, Inc. + D2E, LLC + Dahl Home Builders, Inc. + Dakota Supply Group, Inc. + Data-Smart Computers, Inc. + DeGeus Tile & Granite + Derby Construction LLC + The Design Connection + Design Studio B + Destination Building Center + DeWitz Home Builders, Inc. + DiNicola & Pestka Appraisals + Distinguished Homes by Mitch Hagen, LLC + DMC Plumbing & Heating, Inc. + Dolan's Landscape Center, Inc. + DreamMaker Bath & Kitchen + Dunham Associates, Inc. + Dunlap & Seeger + JE Dunn Construction + Dura-Oak Kitchen Make Overs + Dynamic Masonry Products, LLC + eci, llc + Eckert Construction, Inc. + ECSI System Integrators + Edel Construction, LLC + Edina Realty Home Services + Todd Eidem Construction, Inc. + Elcor Construction, Inc. + Elcor Realty of Rochester, Inc. + Electrical Solutions & Service + Elgin Economic Development Authority + Elias Construction, LLC + Elsmore Plumbing, LLC + Emergent Networks + Energy Panel Structures + Energy Products & Design, Inc. + EOJohnson Business Technologies + Excel Homes + The Excelsior Group, LLC + Exclusive Home Builders & Remodelers + Expert Insulation, Inc. + Express Employment Professionals + Extreme Panel Technologies, Inc. + F&M Community Bank + Fat Willy's Bar & Grill + Ferguson Enterprises + Fieldstone Family Homes, Inc. + Final Cut Construction + First Alliance Credit Union + First Choice Homes, LLC + First General Services of SE MN + First Security Bank + R. Fleming Construction, Inc. + FloCore + Ford Metro Glass, Inc. + Foster Construction, Inc. + Franklin Energy + Frattalone Companies, Inc. + Chris Fritsch Custom Homes, LLC + Gander Plumbing & Heating, Inc. + Dale Gathje Construction, Inc. + Steve Gentry Construction, LLC + Gerhards - The Kitchen & Bath Store + Robert Gill Builder, Inc. + Goodin Company + GP Development, Inc. + Great River Overhead Door + Green Lawncare Irrigation & Service Co. + GulfEagle Supply + Habitat for Humanity - Rochester Area + Haley Comfort Systems + W.L. Hall Company + Hallmark Building Supplies, Inc. + Hammer Homes, Inc. + Hanson Construction & Specialty Cabinets, LLC + Harmony Economic Development Authority + Hartman Complete Lawncare, LLC + Hayfield Window & Door Company + HDR Architecture + Heartland Security + Heartman Insurance + Heartwood Homes of Rochester, Inc. + Brandon Henderson's Construction Plus, LLC + Hentges Glass Company + HGA Architects and Engineers + Hiawatha Broadband Communications, Inc. + Hicks Electric, Inc. + Higgins Custom Cabinetry + High Definition Homes, LLC + Hiller's Flooring America + HiMEC at Home + Jeff Hinkle Custom Homes + Hirshfield's Decorating Center + Holiday Inn Downtown + The Home Depot + Home Federal Savings Bank + Home Improvement Professionals, Inc. + Home Systems Installation, LLC + Howe Countertops + Hunt Electric Corporation + Hutch's Custom Cabinets + Int'l Brthrhd of Electrical Wrkrs Local 343 + Innovative Surfaces, Inc. + Insty Prints + IntegraSpec Central/Jeff Mueller Construction + Interiors by J.Curry, LLC + J&M Consulting + Michael Jack, LLC + JC Custom Homes, LLC + JNS Builders, LLC + J.P. Johnson Custom Builders, Inc. + JP's Construction Remodeling & Repair, Inc. + K&M Glass Company + K&S Heating, A/C, Plumbing & Electrical + Kahler Hospitality Group + Tom Kalmes Construction, Inc. + Keller Williams Premier Realty + Key Builders, Inc. + Kimley-Horn & Associates, Inc. + King's Flooring, LLC + Kirkland Enterprises, LLC + The Kitchen Design Studio + Kitchens Plus + Gary Kline Roofing, Inc. + Knutson Construction Services + Koball's Poured Walls, Inc. + Kraus-Anderson Construction Company + Kreofsky Building Supplies + Kruger Electric, Inc. + Kruse Lumber + KTTC/KXLT-TV + Kuehn Motor Company, Inc. + Kuntz Electric, Inc. + Kwik Trip, Inc. + Lacina Siding & Windows, Inc. + Laitala Tile Company + Lake City EDA + Larkin Hoffman Daly & Lindgren + Larsen Industries, Inc. + Larson Siding & Windows + Legends Concrete, Inc. + Leitzen C o n c r e t e Products, Inc. + Lewiston Economic Development Authority + Leyendecker Homebuilders, LLC + Lodermeier's, Inc. + Low Voltage Contractors + Lowe's Home Improvement + Luxury Bath Remodeling + Maas Companies, Inc. + Maier Tree & Lawn + Majestic Homes, Inc. + R.J. Manemann Custom Homes + ManuHomes, LLC + Markham Homes, LLC + markit + Marvin Windows & Doors + facturer's Bank & Trust + Maplewood Massey Land Surveying & Engineering + Master Builders, Inc. + Mavo Systems, Inc. + McGladrey + McGough Construction + MDH, Inc. + Meadow Lakes Builders + MEC Construction, LLC + Med City Builders of Rochester, LLC + Menards - South + MEP Associates + Merchants Bank + Merit Contracting, Inc. + MetLife Premier Client Group of the Upper Midwest + Meyer Borgman Johnson, Inc. + Michael's Custom Cabinets, Inc. + Midwest Walls, LLC + Minnesota Energy Resources Corporation + Minnwest Bank + MLT Group + Morris Concrete, Inc. + Larry Newman Drywall + North Central States Regional Council + North Star Stone & Masonry + Northern Lights & Furnishings + Northgate Chiropractic Clinic + Nuss Truck & Equipment + Ohly Law Office + Olmsted County Planning Dept, Insp. Div. + Olmsted County Public Health + Olmsted National Bank + On Site Companies + Otis Custom Homes, LLC + Overhead Door Company of Olmsted County + Owner's Plumbing, Inc. + Oxi-Fresh Carpet Cleaning + Paape Energy Services + Pace International + Pahl & Kaye, Inc. + Palmer Soderberg, Inc. + Paramark Corporation + PC Applications Consultants, Inc. + Pearson Builders, Inc. + Pebble Creek/Western Walls + Pegram & Dexter Construction & Design + Pella Windows & Doors + Pendle Hansen Bagne Insurance + Penz Custom Homes, Inc. + People's Energy Cooperative + Peterson Well Drilling, Inc. + Phantom Screens + Pine Island EDA + Pine Island Lumber + Pompeii Painting, Inc. + Post-Bulletin Company, LLC + PowerLift Doors by French Mfg, Inc. + Powers Ventures + Prehn Building Sales, Inc. + Premier Bank Rochester + Premier Builders of Rochester, Inc. + Prime Time Painting of Rochester, LLC + PrimeLending + Priority Claims Service + Pro Image Promotions & Apparel + ProBuild Company, LLC + Professional Education Resources, LLC + Proscape of Rochester, LLC + Quality Overhead D o o r Company, Inc. + Quality Siding & Window, Inc. + Michael Quinn Law Office + R&M Development Company + Radcliffe Homes & Remodeling + Range Custom Homes, LLC + RCON Homes, Inc. + RCTC Carpentry Program + RE/MAX of Rochester + Region Millworks, Inc. + David Reiland Building Contractor, LLC + Reliable Contractors, Inc. + Renters Warehouse Rochester + Reynolds Design and Construction + Rochester Area Appraisals, LLC + Rochester Area Chamber of Commerce + Rochester Area Econ. Development, Inc. (RAEDI) + Rochester Area Foundation + Rochester Asphalt, Inc. + Rochester Building Safety Department + Rochester Concrete Products, LLC + Rochester Plumbing & Heating/Roto Rooter + Rochester Public Utilities + Rochester Public Works + Rochester Ready Mix Concrete Co + Rochester Sign Service, Inc. + Rochester Title & Escrow Company, Inc. + Ronningen Roofing, Inc. + Rory's Home Improvement, LLC + RSP Architects + Ryan & Grinde, Ltd. + Ryan Electric, Inc. + Ryan Windows & Siding, Inc. + Rymark Construction, LLC + S&S Overhead Door, Inc. + Sargent's Landscape Nursery, Inc. + Schad Tracy Signs, Inc. + Schmidt Goodman Office Products + Schoeppner, Inc. + Schwickert's Tecta America, LLC + Seavey Builders, Inc. + SEH, Inc. + Dan Severson Builders, Inc. + Shanahan Building & Remodeling, LLC + Shingobee Builders, Inc. + Sign Here, Inc. + Simonson Builders, LLC + SL Contracting + Smart Home Innovations & Engineering, Inc. + Smith Schafer & Associates, Ltd. + Solar Connection, Inc. + SOLO plumbing & ResSprinklers, LLC + Somerby Golf Community + Space Concepts, Inc. + Spahn & Rose Lumber Company + Greg Speedling Contracting, Inc. + Spring Valley Overhead Door, Inc. + St. Charles EDA + Stadsvold's Lawn & Landscape + Stantec + Steel Constructors, Inc. + Stencil Homes + Sterling State Bank + Stevens Heating, Inc. + Stewartville Economic Development Authority + Stier Construction, Inc. + Stimets Home Building & Remodeling + Stone Expressions + StoneBridge Builders + Structural Design Group, Inc. + Struve's Paint and Decorating + Robert G. Suk Law Office, PA + Summit Custom Homes, LLC + Summit Fire Protection Company + Superior Mechanical + Craig Swanson Builders, Inc. + Swenke Ims Contracting, LLC + Kenny Sylvester Construction, LLC + Synergy Products + Tag's Drywall, Inc. + Tamarack Materials, Inc. + Thatcher Pools & Spas, Inc. + Thermo-Tech Windows + Thiemann Construction, Inc. + Thimijan Custom Homes, LLC + Think Mutual Bank + Thomas Tool & Supply + Thompson's Garage Door and Openers + Tile Superstore & More + Tonna Mechanical, Inc. + Top Shop of Rochester, Inc. + Total Electric of Rochester, Inc. + Townsquare Media Rochester + Tradesmen International, Inc. + Traditional Wood Builders + Tri Star Insulation + Tri State Insulated Concrete Forms + TSP Architects & Engineers + Tub MD, LLC + Turri Crane Service, Inc. + Turtle Creek Construction, Inc. + Ultimate Surfaces + United Heating & Cooling + United Products/Allied Building Products Corp. + United Rentals + The Urban Studio, LLC + US Bank + Valor Mechanical, Inc. + Val-U-Blinds + Vector Windows + Veit Companies + Vennehjem Building Corporation + Vertical Limit Construction + Viking Automatic Sprinkler Company + Viking Electric Supply + Vision Homes & Remodeling, LLC + WA Insurance + Warners' Stellian Appliance Co., Inc. + Waste Management + Wausau Homes + Wausau Supply + Weis Builders, Inc. Wells Concrete + Wells Fargo Bank Minnesota NA + Wells Fargo Home a publication of +Mortgage + Wendland Utz + Werner Electric Supply + West Bank + Jim Whiting Nursery & Garden Center, Inc. + WHKS & Company + Widseth Smith Nolting + Wildwood Sports Bar and Grill + Wilson Tibor & Maves, Ltd. + Wintrust Mortgage + Women Communications, LLC + Workforce Development, Inc. + Wright Homes, Inc. + WSB & Associates, Inc. + WT Lighting + Xcel Energy + XRG Concepts, LLC + Rick Yerhot Builder + Your Home Improvement Company + Zen Custom Homes + Zumbro Haven, LLC = RAB

NOVEMBER

2 01 5

F O U N D AT I O N S Rochester Area Builders, Inc.

U D E ND E N ER U O Y ON G N ER I H T Y O R OF E V E

AT THE RAB HOME SHOW February 5-6-7 Mayo Civic Center

Fri 3pm-8pm, Sat 9am-6pm, Sun 11am-4pm Signature Event Sponsor

L A C I N A

SIDING

& WINDOWS, INC. Because itâ&#x20AC;&#x2122;s your home.

RochesterAreaBuilders.com

Booths are still available. Visit the HOME SHOW Exhibitors Page 2

FOUNDATIONS

November 2015

www.RochesterAreaBuilders.com

News from The President October 21, 2015

RAB is always fighting for our members. One issue that our organization has tackled for several years is the state sprinkler mandate requiring fire sprinklers in homes. We believe that the fire sprinkler system issue needs to remain a consumer choice, regardless of square footage and not a top down mandate on all new construction. Our organization, along with BAM and other Associations in MN, has argued against this unfounded mandate that the Minnesota Department of Labor and Industry has been advocating for and became law this year. This rule, which took effect in January, required sprinklers be installed in single-family homes 4,500-square-feet or larger. Earlier this month we received a reprieve when the Minnesota Court of Appeals struck down a requirement that fire sprinklers be installed in larger homes. In its ruling, the appeals court said the 4,500-square-foot threshold for requiring sprinklers was “arbitrary and not supported by substantial evidence in the record.” The three-judge panel also said the department failed to take into account the cost of complying with the new rule for small businesses and cities.

Index Home Show Booths Available................... 2 News from the President.......................... 3 RAB Christmas Party................................. 4 October Networking Night........................ 5 Studs, Struts & Stilettos........................... 6 Association Scrapbook ............................ 7 Featured Member: Low Voltage Contractors, Inc.................... 9 Newsletter Advertising...................... 10-11 Spike Update..................................... 12-13 Building Permit Reports.......................... 16 Membership Information........................ 17 Elliot Eisenberg Article............................18 NAHB Member Discounts.......................19

As is the case in most appeals, we are not out of the woods yet. The state now has 30 days to consider whether they will appeal to the Minnesota Supreme Court. The state may also decide to reopen the ruling to address the mandate in its entirety. That could be to support the 4,500 square feet rule with substantial evidence, address the cost analysis of sprinklers vs. other proven and cost-effective methods of fire suppression, or simply apply the fire suppression system to all new homes regardless of size.

Executive Director/Editor John Eischen

So what’s next? Stay tuned as RAB will continue to make sure policy makers have every fact before them, as they act to prevent unnecessary mandates. Our own Senator Senjem has been steadfast in his opposition of this rule. Since 2003 and the advent of mandated interconnected battery backed-up fire detectors, there have been zero residential deaths in newly constructed homes. We believe this is the best, most effective means of securing public safety in new homes.

The Rochester Builders newsletter is the official publication of Rochester Area Builders, Inc. This newsletter is published and distributed monthly to its members and others associated with the building industry. Neither the advertisers, nor RAB will be responsible or liable for misinformation, misprints, typographical errors, etc., herein contained.

As this year winds down, I want to again thank each and every one of you for your investment in RAB. Together, we can make a difference on issues such as the sprinkler mandate. Don’t forget our October networking night. Hope to see you Tuesday at Cambria!

Production Ryan Kling-Punt

108 Elton Hills Lane NW Rochester, MN 55901 Phone: 507-282-7698 Fax: 507-282-6351 E-mail: RAB@RochesterAreaBuilders.com

John Eckerman 2015 RAB President

Premier Bank Rochester

Space for Lease at Multiple Locations

Downtown • Green Meadows • North Broadway & 37th Street

Contact Corey Heimer at 507-285-3700 or cheimer@premierbanks.com www.RochesterAreaBuilders.com

November 2015

FOUNDATIONS

Christmas Party Friday, December 4th 6:00 PM The Kahler Grand Hotel

Rochester Area Builder’s

CASINO NIGHT CHRISTMAS PAR T Y

F Social Hour F F Wine & Craft Beer Wall F F Dinner & Dessert F F Sertoma700 Casino Night F F Prizes F Sertoma700’s casino parties are FUN, and serve as their primary FUNdraisers to assist local deaf and hearing-impaired individuals, send children to camp Sertoma, provide scholarships, and help update equipment in classrooms.

a f

iser undra

for

SPONSORSHIP OPPORTUNITIES

Gold

Bronze

ENTITLEMENTS

$850

$650

Logo Projected on Screen at Event

Verbal Recognition at Event

Sponsor Listing in Program

Sponsor Listing in Newsletter

Sponsor Listing on Website

8 Drink Tickets

8 Tickets to Event ($60/ticket)

Company Name on Table

CLICK HERE TO DOWNLOAD THE SPONSORSHIP FORM! 4

FOUNDATIONS

November 2015

www.RochesterAreaBuilders.com

Join us at the October Networking Night

Tuesday, October 27th, at Cambria Gallery 400 S Broadway Hours: 4:30 pm - 6:30 pm

President

John Eckerman, The Boldt Company

Christy Buchan, Energy Products & Design, Inc.

Delbert Feenstra, Knutson Construction Services

Carla Kilpatrick, Home Federal Savings Bank

Kevin Worden, Rochester Area Habitat for Humanity

Mike Allen, Mike Allen Homes, LLC Karen Blissenbach, Design Studio B Mickey Elias, Elias Construction, LLC Rob Jones, Superior Mechanical Levi Kaiser, Alvin E. Benike, Inc. Sam Peyton, King’s Flooring, LLC Jon Range, Range Construction, LLC Lindsey Rippentrop, Premier Bank Rochester Brian Sheehan, Weis Builders, Inc.

Vice President Secretary Treasurer

Past President Directors

Builders Exchange Council Representatives

About Cambria: FAMILY OWNED, AMERICAN MADE Cambria prides themselves on being the only family-owned, American-made producer of natural quartz surfaces. It’s a rare combination in today’s increasingly globalized marketplace. For customers, it results in quality that can be felt from start to finish, in products and customers’ experience.

Hosted By:

www.RochesterAreaBuilders.com

Jake Schleusner, Merit Contracting, Inc., Chair Tom Leimer, Knutson Construction Services, Vice Chair J.J. Webster, Kraus-Anderson Construction Company, Past Chair

Commercial Builders Council

Nick Leimer, Kraus-Anderson Construction Company, Chair Dana Hlebichuk, Widseth Smith Nolting, Vice Chair

Development Council Chair

Jill Mickelson, Braun Intertec Corporation

Jerry Jensen, Valor Mechanical, Inc.

Joe Weis, Weis Builders, Inc.

Steve Buss, Cornerstone Builders & Real Estate, Inc., Rep. David Kane, Widseth Smith Nolting

Jim Gander, Superior Mechanical Mike Paradise, Bigelow Homes David Pederson, Dunlap & Seeger Dan Severson, Dan Severson Builders, Inc., Rep.

Remodelers Council Chair National Life Directors National Directors State Directors

Executive Director

John Eischen JEischen@RochesterAreaBuilders.com

Staff

Audra Bolduan ABolduan@RochesterAreaBuilders.com Marketing, Builders Exchange Trustees

Taylor Ridderbusch TaylorR@RochesterAreaBuilders.com Government Affairs, Commercial Builders Council, Development Council, Building Safety Advisory Group, Public Works Advisory Group, Community Relations, Green Building, Marketing

Sharill Mueller SMueller@RochesterAreaBuilders.com Home Show, Showcase Committee

Rebekah Nielsen RNielsen@RochesterAreaBuilders.com Ambassadors, Education, Membership, Program, Spike Club, Remodelers Council -Executive-Home Tour-

Ryan Kling-Punt RPunt@RochesterAreaBuilders.com Golf Outing, Sporting Clays, Directory, Newsletter, E-News Update

November 2015

FOUNDATIONS

Studs, Struts & Stilettos Fashion Show

Weâ&#x20AC;&#x2122;ve Got Plans! Grape Ju ice

Studs Struts & Stilettos 2016

It is time to start planning for the 2016 Studs, Struts & Stilettos fashion show! Weâ&#x20AC;&#x2122;re looking for: Bold and inventive Designers, ready to create the fantastic designs that our show has become known for!

Download the Design Entry Forms Sponsors who want to associate themselves with one of the hottest and fastest growing events in Rochester!

Download the Sponsorship Forms 6

FOUNDATIONS

November 2015

www.RochesterAreaBuilders.com

September GMM

www.RochesterAreaBuilders.com

Association Scrapbook

November 2015

FOUNDATIONS

Education

Helping children and youth reach their potential in school and in the community.

Ensuring more individuals and families are financially stable.

Income

Health

• Improving access to quality, affordable early learning opportunities so children are prepared to succeed. • Providing after-school and mentoring programs for lowincome youth

• Expanding financial knowledge and literacy • Helping hardworking people obtain job training and wages to sustain a family • Stabilizing families in crisis

• Growing access to healthcare services • Providing dental care for lowincome children and youth • Increasing early health intervention for people with a mental illness

$5 a week can provide the

$15 a week provides a

$2 a week provides 2 dental

community connection for 20 children and youth to stay engaged in school.

family with the resources needed to stabilize for a better future.

Increasing the number of individuals who are physically and mentally healthy.

care visits for a child on-site at school.

To build a stronger community, we need everyone’s help! United Way of Olmsted County 903 West Center Street, Suite 100 Rochester, MN 55902

FOUNDATIONS

November 2015

For more information on how to get involved, visit www.uwolmsted.org or call (507) 287-2000.

www.RochesterAreaBuilders.com

WHAT’S ON LVC’S MIND? How long have you been in business? LVC has been in business since 1982. We are headquartered in Minneapolis, opened a regional office in Tempe, AZ in 2006 and in Rochester, MN in 2015. Why are you a member of RAB? We joined RAB in 2014 to start building relationships and to learn about construction in the Rochester market. Recently adding a location in Rochester, MN we remain members for the opportunity to further network and partner with other RAB businesses. What excites you about the expected growth of Rochester? What is most exciting about the expected growth of Rochester is the thought that has been put into how, when and why development will happen. The other exciting part is that it has been planned with community input and involvement.

watch this video to learn more about LVC >>>

Custom Solutions Personal Service www.RochesterAreaBuilders.com

1221 3rd Ave SW, #200 Rochester, MN 55902 Phone: 507.281.4600 www.LVCinc.com

What makes your business special? LVC is a customer driven contractor focused on providing specialized solutions for our customers. We exceed our customers’ expectations by using our ability to listen, identify and fulfill their needs. We openly acknowledge that our employees are our strength because they are highly motivated and trained to be the best in the industry. We provide a positive and team oriented work environment and encourage, promote and reward team members who share our commitment to quality, integrity and service. What is one thing not even RAB knows about your business? The first 2 field employees that LVC hired are still with our company today. One is our vice president now and the other is Director of Project Management. What changes are on the horizon in your industry? There are two important waves running through our industry right now that are causing change and will affect the future of our industry. The first is the common workforce challenge that many industries are facing – a large near retirement population, five generations in the workforce, labor shortages, and millennials interest in forging their own paths/standards instead of following in the footsteps of those in front of them. All factors which lead one to believe that there will be a sizeable shift and increase in small businesses. The second deals with the major data breaches in recent years. We see that end users and owners want greater oversight and input on systems that run on a buildings I.T. infrastructure. What changes are on the horizon for your business? In the last two years LVC has grown over 50%. We are a growth oriented company and are looking to at least double in size over the next 5 years. Our changes will come through adding new technologies and services, along with geographic expansion. November 2015

FOUNDATIONS

THIS

SPACE

AVAILABLE

A D V E R T I S E I N T H E R A B N E W S L E T T E R

FOUNDATIONS

November 2015

www.RochesterAreaBuilders.com

+ ClementsInc. Chevrolet LLP + Coldwell Services + Consolidated CommuniRochester, + Cadillac Subaru + CliftonLarsonAllen, Total Electric of Rochester, Inc. +Banker Burnet + Commercial Townsquare Leasing Media Rochester + Tradesmen Internanership, Inc. + Wood Coordinated Business Systems, Ltd. + Corban Homes, LLC + Cordes Construction + Cornerstone Builders & Real + Estate, Inc. +Insulated Corner+ Traditional Builders + Tri Star Insulation Tri State + Corporate Web Services, Inc. + Counselor Realty of Rochester, Inc. + Countryside Builders, LLC + Cravath Homes, LLC, dba Accessibility Solutions Forms + TSP Architects & Engineers + Tub MD, LLC + Turri Crane rescent Supply Company + CRW architecture + design group, inc. + Culligan of Rochester & Kasson +Inc. Curry's CutSurfaces Gutter, LLC+ + United Curtin nc. + Electric Turtle Creek Construction, + Custom Ultimate CCI + Custom Homes by Bradley, Inc. + Custom Retaining Walls & Landscaping, Inc. + D2E, LLC + Dahl HomeBuilding Builders,Products Inc. + Dakota Group, Cooling + United Products/Allied Corp. Supply + United nc. + DeGeus Tile & Granite + Derby Construction LLC + The Design Connection + Design Studio Center + DeWitz Home + The Urban Studio, LLC B+ + Destination US Bank Building + Valor Mechanical, Inc. + ka Appraisals +Vector Distinguished Homes by Mitch Hagen, LLC + DMC Plumbing & Heating, Inc. + Windows Dolan's Landscape Center, Inc. ++ Vennehjem DreamMakerBuilding Bath & ds + + Veit Companies nc. + Dunlap & Seeger + JE Dunn Construction + Dura-Oak Kitchen Make Overs + Dynamic Masonry Products, LLC +Automatic eci, llc +Sprinkler Eckert Construction, on Vertical Limit Construction + Viking Company + + Edel Construction, Construction, Inc. LLC + Elcor Realty of Rochester, Inc. ctric Supply + Vision LLC + Edina Realty Home Services + Todd Eidem Construction, Inc. + Elcor Homes & Remodeling, + WA Insurance + Warners' + Elgin Economic Authority + Elias Construction, LLC + Elsmore Plumbing, LLCWaste + Emergent Networks + Energy Panel Structures + Management + Wausau Homes + Wausau ppliance Co., Inc. Development + EOJohnson Business Builders & Remodelers + Expert Inc. + Weis Builders, Inc. Technologies + Excel Homes + The Excelsior Group, LLC + Exclusive Home + Greg Wellik Construction + Insulation, Wells Concrete als Panel Technologies, Inc. + Fairway Outdoor Advertising, LLC + Fat Willy's BarBank & Grill + Ferguson Fieldstone Family Inc.+ +Extreme Wells Fargo Minnesota NA +Enterprises Wells Fargo+ Home Mortgage + ction Alliance Credit Union + First Choice Homes, LLC + First General Services of SEElectric MN + Supply First Security Bank + R. Construction, Utz + +FirstWerner + West Bank + Fleming Jim Whiting Nursery Glass, Inc. Fritsch Custom Homes, LLC Nolting + Gander & Center, Inc.+ + Foster WHKSConstruction, Inc. + Franklin Energy + Frattalone Companies, Inc. + Chris & Company + Widseth Smith + Plumbing Wildwood truction, Inc. +Ltd. Steve Construction, + Gerhards - The KitchenLLC & Bath + Robert Gill Builder, Inc.+ + Wright Godwin Law Office bor & Maves, + Gentry Wintrust Mortgage LLC + Women Communications, + Store Workforce Development, Inc. Homes, Inc. + Goodin WSB & CompaAssociGreat River Overhead Door + Green Lawncare Irrigation & Service Co. + GulfEagle Supply + Habitat for Humanity Rochester Area + Haley Comfort el Energy + XRG Concepts, LLC + Rick Yerhot Builder + Your Home Improvement Company + Zen Custom Homes + Zumbro Haven, LLC = RAB aler) + W.L. Hall Company + Hallmark Building Supplies, Inc. + Hammer Homes, Inc. + Hanson Construction & Specialty Cabinets, LLC + Harmony + Hartman Complete Lawncare, LLCBuilders + Hayfield Window & Door + HDR Architecture + Heartland Security Heartman Insurance + HeartThe Rochester Area Newsletter isCompany an unbeatable opportunity to advertise to +members and individuals + Brandon Henderson's Construction Plus, LLC + Hentges Glass Company + HGA Architects and Engineers + Hicks Electric, Inc. + Higgins Custom associated with America RAB. It +is HiMEC a source of valuable association and industry information, is published and emailed+ mes, LLC + Hiller's Flooring at Home + Jeff Hinkle Custom Homes + Hirshfield's Decoratingand Center + Holiday Inn Downtown + The Home Depot +Foundations Home Federal is Savings Bank + 800 Home Improvementindustry Professionals, Inc. + Home Systems Installation, LLC + Howe Countertops monthly. sent to over connected professionals. The sizes of ads are listed under Display Hutch's Custom Cabinets + Int'l Brthrhd of Electrical Wrkrs Local 343 + Innovative Surfaces, Inc. + Insty Prints + IntegraSpec Central/Jeff Mueller + Michael LLC + JC Custom Homes,are LLC located + JNS Builders, J.P. Johnson Customfrom Builders, Inc. +toJP's Construction Remodeling & Repair, AdJack, Dimensions, and prices below.LLC Ads+may be changed month month. K&S Heating, A/C, Plumbing & Electrical + Kahler Hospitality Group + Tom Kalmes Construction, Inc. + Keller Williams Premier Realty -Horn & Associates, Inc.are + for King's Flooring, LLC will +be glad to work Kirkland Enterprises, LLC your + The Kitchen Design Studio + Kitchens Our prices full color ads. We with you to design ad. Please send digital files forPlus all Knutson Construction Services + Koball's Poured Walls, Inc. + Kraus-Anderson Construction Company + Kreofsky ad copy, logos, and artwork. We use PC format. We accept Illustrator and Photoshop files (CS1). Convert all fonts ectric, Inc. + Kruse Lumber + KTTC/KXLT-TV + Kuehn Motor Company, Inc. + Kuntz Electric, Inc. + Kwik Trip, , Inc. + Laitala Tile Company + Larsen high resolution Industries, Inc. .tif, + Larson Siding & Windows LeafGuard Gutters to outlines. We also accept the following file types: .eps and .pdf (with all+graphics and fonts& s Concrete, Inc. + Leitzen Concrete Products, Inc. + Lewiston Economic Development Authority + embedded) files. If you have any other formats, please contact us. + Lodermeier's, Inc. + Low Voltage Contractors + Lowe's Home Improvement + Luxury Bath ies, Inc. + Maier Tree & Lawn + Majestic Homes, Inc. + R.J. Manemann Custom Homes + Manuaplewood Homes, LLC + Markham Homes, LLC + markit + Marvin Windows & Doors + ering + Master Builders, Inc. + Mavo Systems, Inc. +12 McGladrey Newsletter Advertising Rates Per Issue Issues+ McGough Construcakes Builders + MEC Construction, LLC + Med City Builders of Rochester, LLC ciates + Merchants Bank + Merit Contracting, Inc. + MetLife Premier Full color 1/12 ________+ Meyer $35 Borgman Johnson ________ Midwest + Michael's$250 Custom Cabinets, Inc. Minnesota Energy Resources Corporation + Minnwest Bank + MLT Group Full color 1/6 Vertical ________ ________ $450Council + North Larry Newman$50 Drywall + North Central States Regional Northern Lights & Furnishings + Northgate Chiropractic Clinic + Nuss Ohly Law Office Dept, $450 Insp. Div. + Olmsted Full color 1/6 Horizontal ________ $50+ Olmsted County Planning ________ Health + Olmsted National Bank + On Site Companies + Otis Custom Overhead Door Co. of Olmsted County + Owner's Plumbing, Inc. + Full color 1/3 Square ________ $60 + Paape Energy Services ________ Carpet Cleaning + Pace$550 International + Pahl + Palmer Soderberg, Inc. + Paramark Corporation + PC Applications Full color 1/2 Horizontal ________ $70 ________ $650 tants, Inc. + Pearson Builders, Inc. + Pebble Creek/Western Walls Pegram & Dexter Construction & Design + Pella Windows & Bagne Insurance Full color Full Page ________ Doors $90 + Pendle Hansen________ $900 + Penz Custom Homes, Inc. + People's Energy Cooperative + Peterson Well Drilling, Inc. + Phantom Screens + Pine Island EDA + Pine Island Lumber + Pompeii Painting, Inc. + Newsletter Display Payment options: Post-Bulletin Company, LLC + PowerLift Doors by French Mfg, Inc. + Powers Ventures + Prehn Ad Dimensions ________ Check enclosed (Please make outBuilding check Sales, to â&#x20AC;&#x153;Rochester AreaBank Buildersâ&#x20AC;?) Inc. + Premier Rochester + Premier Builders of Rochester, Inc. + Prime Time Painting of Rochester, LLC + ________ Please invoice company 1/12 2-5/16 x 2-5/16 PrimeLending + Priority Claims Service + Pro Image Promotions & 1/6 Vertical 2-5/16 x 4-7/8 ________ Credit Card (circle: Visa or MC) Apparel + ProBuild Company, LLC + 1/6 Horizontal 4-7/8 x 2-5/16 Professional Education Resources, LLC + Number: _____________________________________________________________ Proscape of Rochester, LLC + Quality Overhead 1/3 Square 4-7/8 x 4-7/8 o o r______________ Company, Inc. + Quality Siding & Window, 3 digit code: ___________ ExpDDate: 1/2 Horizontal 7-1/2 x 4-7/8 Inc. + Michael Quinn Law Office + R&M Development Company + Radcliffe Homes & Remodeling + Range Full 7-1/2 x 10 Business Name __________________________________________________________ Custom Homes, LLC + RCON Homes, Inc. + RE/MAX of Rochester + Region Millworks, Inc. + David Reiland Contact ________________________________________________________________ Building Contractor, LLC + Reliable Contractors, Inc. + Renters Warehouse Rochester + Reynolds Design and Construction + Rochester Area Appraisals, LLC + Phone number __________________________________________________________ Rochester Area Chamber of Commerce + Rochester Area Econ. Development, Inc. (RAEDI) + Rochester Area Fax ____________________________________________________________________ on + Rochester Asphalt, Inc. + Rochester Building Safety Department + Rochester Concrete Products, ochester Plumbing & Heating/Roto Rooter + Rochester Public Utilities + Rochester Public Works + Rochester __________________________________________________________________ x Concrete Co + Rochester SignEmail Service, Inc. + Rochester Title & Escrow Company, Inc. + Ronningen Roofing, Rory's Home Improvement, LLC + RSP Architects + Ryan & Grinde, Ltd. + Ryan Electric, Inc. + Ryan Windows & nc. + Rymark Construction, LLC + S&S Overhead Door, Inc. + Sargent's Landscape Nursery, Inc. + acy Signs, Inc. + Schmidt Goodman Office Products + Schoeppner, Inc. + Schwickert's Tecta America, LLC + uilders, Inc. + SEH Yaggy + Dan Severson Builders, Inc. + Shanahan Building & Remodeling, LLC + Shingobee I have read, understand and agree to the terms +of Smart this contract. nc. + Sign Here, Inc. + Simonson Builders, LLC + SL Contracting Home Innovations & Engineering, mith Schafer & Associates, Ltd. + Solar Connection, Inc. + SOLO plumbing & ResSprinklers, LLC + Somerby Golf y + Space Concepts, Inc. Signature: + Spahn & Rose Lumber Company + Greg Speedling Contracting, Inc. + Spring erhead Door, Inc. + Stadsvold's Lawn & Landscape + Stantec + Steel Constructors, Inc. + Stencil Homes + ate Bank + Stevens Heating, Inc. + Stewartville Economic Development Authority + Stier Construction, Inc. + Home Building & Remodeling + Stone Expressions + StoneBridge Builders + Structural Design Group, Inc. + Paint and Decorating + Robert G. Suk Law Office, PA + Summit Custom Homes, LLC + Summit Fire Protection + Superior Mechanical + Craig Swanson Builders, Inc. + Swenke Ims Contracting, LLC + Kenny Sylvester Contact on, LLC + Synergy Products + Tag's Drywall, Inc. + Tamarack Materials, Inc. + Thatcher Pools & Spas, Inc. mo-Tech Windows + Thiemann Construction, Inc.Area + Thimijan Homes, LLC282-7698 + Think Mutual Bank + Thomas Phone: (507) Rochester Builders, Inc. Custom pply + Thompson's Garage Door and Openers + Tile Superstore & More + Tonna Mechanical, Inc. + Top Fax: (507) 282-6351 Attn: Ryan Kling-Punt Rochester, Inc. + Total Electric of Rochester, Inc. + Townsquare Media Rochester + Tradesmen Interna+ Traditional Wood Builders Tri Star Insulation + Tri State Insulated E-Mail: + RPunt@RochesterAreaBuilders.com 108 Elton Hills Ln NW Forms + TSP Architects & Engineers + Tub MD, LLC + Turri Crane nc. + Turtle Creek Construction, Inc. + Ultimate Surfaces + United Rochester, MN 55901 Cooling + United Products/Allied Building Products Corp. + United + The Urban Studio, LLC + US Bank + Valor Mechanical, Inc. + ds + Vector Windows + Veit Companies + Vennehjem Building on + Vertical Limit Construction + Viking Automatic Sprinkler Company + ctric Supply + Vision Homes & Remodeling, LLC + WA Insurance + Warners' ppliance Co., Inc. + Waste Management + Wausau Homes + Wausau Weis Builders, Inc. + Greg Wellik Construction + Wells Concrete Inc. + Wells Fargo Bank Minnesota NA + Wells Fargo Home Mortgage + Utz + Werner Electric Supply + West Bank + Jim Whiting Nursery www.RochesterAreaBuilders.com November 2015 FOUNDATIONS Center, Inc. + WHKS & Company + Widseth Smith Nolting + Wildwood

Fa publication O U ofNRochester D A TAreaI Builders, O N Inc. S

2016

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Spike Update

November is Spike Appreciation Month, and weâ&#x20AC;&#x2122;d like to thank all 45 of our Spikes for all of the hard work they do maintaining our strong membership base. Many of you reading this right now can thank one of the Spike Club members below for encouraging you to join RAB. Spikes are very important part of our organization. These members have been honored because of their commitment to membership development. Each credit stands for 1) a member that they have brought to the Association, or 2) a member that they have encouraged to renew their membership. As I said, we are grateful for all of our Spikes, but as you look at the lifetime totals, a few of the numbers stand out as extraordinary. Several individuals have managed to amass over 200 Spike credits throughout their years of membership, putting them in elite company, not just in RAB, but on a national level.

Spike Lifetime Totals 300

250

200

150

100

157

272

972

143

168

112

176

FOUNDATIONS

November 2015

www.RochesterAreaBuilders.com

Spike Update

First off is Les Radcliffe of Radcliffe Homes & Remodeling, with a total of 270 credits. Les joined RAB in 1988, has served on and been chair of numerous committees throughout the years, and has been named Builder of the Year twice by RAB (only one of two builders to have won twice). The next member of this elite group is Kirk Gill, of Robert Gill Builder, Inc. Kirk, like Les, has has served on many RAB committees, is a Past President of the association (1983), and has racked up 272 Spike credits over the years. Joe Weis and his company, Weis Builders, Inc., need no introduction. Joe has worked tirelessly over the years at all levels of government to gain support for the building industry, is a two time Past President (1961 & 1997), and has been a part of RAB since 1957. And during all that, he’s still found time to earn 296 spike credits! Speaking of long time members, You won’t find anyone who’s been a part of RAB for longer than Bob Gill of Robert Gill Builder, Inc. He joined with his company in 1963, but before that, Bob was active in RAB through Kruse Lumber, who helped form the Association in 1954. Bob is a two time past President as well, and as you can see, this chart is not large enough to accurately reflect Bob’s contributions to RAB’s membership. His total of 972 spike credits defies description as well, so I’ll just let it speak for itself.

www.RochesterAreaBuilders.com

November 2015

296

173

270

120

I’d also be remiss if I didn’t make a special mention of Richard Hanson, who, before retiring to Las Vegas in 2009, was close competition for Bob, reaching nearly 700 credits.

FOUNDATIONS

November 2015

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November 2015

FOUNDATIONS

Rochester Building Permits

New Residential Single Family Dwelling

2015

VALUATION

2014

VALUATION

6,428,748

5,596,213

Townhome Dwelling

921,706

Two-Family Houses

Multi-Family Bldgs

Manufactured Home

Existing Residential Deck Addition

142,198

118,332

Room Addition

126,683

Single Family Homes/Townhomes 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015

January

February

April

May

June

July

August

27 250

Porch Additions

11,200

44,100

Other Additions

14,400

51,612

TOTAL

396

349

234

193

153

139

240

234

282

35 26

Basement Finish

239,176

271,140

October

Alterations

273,793

202,237

November

December

506

417

302

281

200

191

299

326

369

Multi-Family Alterations

199,900

153,370

March

September

Multi-Family Addition

TOTAL

250

*total may differ as permits may have been voided.

New Commercial Assembly (Church)

Assembly (General)

Assembly (Restaurant/Bar)

3,345,000

Business

Year To Date Statistics

NO.

Building Permits Issued to Date

2015 VALUATION NO.

2014 VALUATION

1838

383,470,586

1,631

306,232,514

Single Family Dwelling

210

52,354,910

281

64,045,172

Multi-Family Buildings Total Units: 793

98,029,975

4,002,052

87,134,012

5,993

75,644,448

39,312,890

2,006

34,461,728

Education

4,475,000

Factory/Industrial

Institution

Mercantile

2,489,975

1,183,635

Miscellaneous

Residential (Apartment)

Trade Permits Issued to Date

6138 2025

Residential (Care/Assisted Living)

Electrical

Residential (Care/Hotel/Motel)

Electrical (Temp. Service)

222

73,100

219

108,650

1493

23,768,469

1,543

20,458,366

475

783,740

449

765,950

Storage (General)

30,000

Mechanical

Storage (Parking Garage)

Gas Piping

Storage (Warehouse)

88,000

Fireplace

277

751,399

323

820,823

111

8,262,912

135

6,520,976

Utility (General)

216,300

Hydronic System

Utility (Private Garage)

Plumbing

1535

14,181,502

1,318

12,507,955

Total Permits YTD

7,976

470,604,598

7,830

381,876,962

Existing Commercial Addition Alterations

561,549

16,290,000

3,043,477

28,791,761

Structural Shell

510,000

1,046,000

“White Box”

Interior Demolition Only

5,000

49,000

Other Phased Permits

Other Construction Business Signs

173,368

113,088

Advertising Sign

2,442,600

1,275,000

Footings & Foundations Demolition

September 2015

FOUNDATIONS

November 2015

Information and downloads available at Rochester Building Safety Department’s Website: http://www.rochestermn.gov/departments/building-safety/reports/building-permits

Byron

Building Permits

September 2015 New Residential

NUMBER

VALUATION

1,050,000

Deck Addition

25,000

Accessory Building

3,808

Single Family Detached Existing Residential

www.RochesterAreaBuilders.com

Membership Information Membership Renewals

NEW APPLICANTS: The firms listed below have applied for membership in Rochester Area Builders, Inc.

NONE

as of 9/30/15

One Year

Ag Services, Inc. Heartland Security

2014 2014

Two to Four Years

Amirco, LLC Overhead Door Co. of Olmsted County D2E, LLC Electrical Solutions & Service

2013 2013 2012 2011

Five to Nine Years

Chosen Valley Testing, Inc. Reynolds Design and Construction B&C Plumbing & Heating, Inc. Hanson Construction & Specialty Cabinets, LLC

2010 2010 2009 2006

Ten to 19 Years

Mike Allen Homes, LLC The Home Depot Keller Williams Premier Realty Corporate Web Services, Inc. David Reiland Building Contractor, LLC Women Communications, LLC Int'l Brthrhd of Elec. Wrkrs Local 343 WT Lighting Leyendecker Homebuilders, LLC MDH, Inc.

2005 2005 2004 2003 2002 2002 2000 2000 1996 1996

20 to 24 Years

Dunlap & Seeger Sign Here, Inc.

1993 1991

25 Years & More

Haley Comfort Systems Rochester Public Utilities K&S Heating, A/C, Plumbing & Electrical Marvin Windows & Doors Swenke Ims Contracting, LLC Bouquet Builders, Inc. Carpet One Hicks Electric, Inc. Higgins Custom Cabinetry Koball's Poured Walls, Inc. WSB & Associates, Inc. Robert Gill Builder, Inc.

1990 1990 1988 1987 1985 1984 1983 1983 1981 1979 1977 1963

MEMBERSHIPS PENDING: LARKIN HOFFMAN DALY & LINDGREN 18 Third Street SW, Suite 201 Rochester, MN 55902 Phone: 507-476-2327 Contact: Rick Dold Associate Member Law Firm Sponsored by: Christy Buchan – Energy Products & Design, Inc.

MEMBERSHIP TOTAL: 471 RETENTION RATE: 93.4% As of 5/31/15

WE WELCOME THE FOLLOWING NEW MEMBERS IN OCTOBER: F&M COMMUNITY BANK PO Box 467 Preston, MN 55965 Phone: 507-765-3823 Contact: Jim Oeltjenbruns Associate Member Bank Sponsored by: None Listed HIAWATHA BROADBAND COMMUNICATIONS, INC. 58 Johnson Street Winona, MN 55987 Phone: 507-474-5802 Associate Member Telecommunications Sponsored by: Christy Buchan – Energy Products & Design, Inc. INTERIORS BY J. CURRY, LLC 905 Jefferson Avenue SW Eyota, MN 55934 Phone: 507-358-5494 Associate Member Kitchen & Bath Interior Design Sponsored by: Les Radcliffe – Radcliffe Homes & Remodeling LAKE CITY ECONOMIC DEVELOPMENT AUTHORITY 205 West Center Street Lake City, MN 55041 Phone: 651-345-6808 Contact: Elliot Culp Contributory Member Government Agency Sponsored by: None Listed

www.RochesterAreaBuilders.com

November 2015

FOUNDATIONS

I m p r o v i n g ++++++++++++++++++ G D P G r o w t h ++++++++++++

Elliot Eisenberg, Ph.D. + + + + + + + + + + + + + + + With our economy growing slowly for nearly a decade, itâ&#x20AC;&#x2122;s time to promote policies that will spur growth. While there are always the obvious ones such as reducing government regulation, improving K-12 education and offering investment tax credits to firms, the first two are at best long-term reclamation projects while the latter costs money, which is in short supply. Below are five suggestions, each of which costs little to no money, and collectively they can boost annual GDP growth by 20% to 25%/year or $80 billion annually. Begin by lowering the US corporate tax rate of 35% closer to the average developed world rate of 20%. Our high rate pushes firms to exploit loopholes, encourages firms to keep foreign earnings abroad and promotes corporate inversions and foreign takeovers of US firms. Worse, it brings in little revenue. A lower rate would attract investment from abroad, boosting productivity. At the same time simplify the personal income tax system. It is complicated, unfair and inefficient. At a minimum reduce marginal rates, widen the tax base and rid the code of some deductions. Plenty of studies show how this can be done while remaining revenue neutral. Next, pass trade reform. At present, US exporters face an average tariff rate of close to 7% and more importantly, a host of non-tariff barriers. As the worldâ&#x20AC;&#x2122;s leader in services exports such as banking, insurance, music, movies and agricultural exports, increased trade is critical to growth. Moreover, the US generally has lower trade barriers than most other nations, so elimination of trade barriers is additionally beneficial. And due to the size and wealth of our market, other nations will be willing to make trade deals to get better access to it.

Something else to do; provide the Highway Trust Fund with a permanent source of sufficient revenue so that it is not perpetually in need of emergency monies from the general fund to remain solvent. Ideally raising the fuel tax, last increased to 18.4 cents/gallon in 1993, to eliminate this problem would be best, but nearly any source of dedicated revenue will do. As it is, we systematically underinvest in roads, bridges, tunnels and airports, yet these are precisely what establish conditions for long-run growth. Skimping on infrastructure is penny wise and pound foolish. Reduce the number of professions where licensing is required. Over the past 40 years the number of professions that require licensing has risen from 10% to almost 30%. Licensing hits the poor hardest and erects barriers to entry for the less educated. For health and safety reasons sure, but 163 days of training for a manicurist in Alabama - thatâ&#x20AC;&#x2122;s clearly overkill. Last but not least, get on with immigration reform! At a minimum, pass limited legislation where both parties are in agreement. Increase the number of H-1B visas that admit skilled foreigners. This will not depress wages of union workers and will increase the flow of human capital here. The more talent we attract, the faster we grow. We are engaged in competition with other nations such as Canada, Britain, Germany and Australia for the most talented. There is no reason for us to be turning away highly educated individuals who wish to live here.

+++++++++++++++

Elliot Eisenberg, Ph.D. is President of GraphsandLaughs, LLC and can be reached at Elliot@graphsandlaughs.net. His daily 70 word economics and policy blog can be seen at www.econ70.com.

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November 2015

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