A&A Electric & Underground, Inc. + AB Systems, Inc. + Abacus Engineering + Abbco Company + ABC Supply Company, Inc. - Rochester + Above All Roofing of Rochester, Inc. + Accord Electric, Inc. + Action Plumbing, Heating & A/C + Adair Electric Company + Adamson Motors + Advanced Builders & Remodeling + Advanced Building Center, Inc. + Advanced Disposal + Advantage Cabinets, Inc. + Ag Services, Inc. + J.F. Ahern Co. + Alexander & Sons Builders + All Craft Exteriors, LLC + Mike Allen Homes, LLC + Allen Outdoor Solutions, LLC + Allied Building Products + 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 Builders, LLC + Anderson Construction + Appliance Village Company + Arcon Land, LLC + Arrow Building Center + Associated Bank + Athelon Enterprises, LLC + Atlas Insurance Brokers, LLC + B&C Plumbing & Heating, Inc. + Al Barker Custom Homes, Inc. + Barrier Free Access, Inc. + Basement Water Control + Batzel Builders, Inc. + BDS Contract Door & Hardware Co. + Beckley's Office Products + Beetles Bar & Grill, Inc. + Alvin E. Benike, Inc. + Scott Berberich Construction, LLC + Beyond Kitchens, LLC + Bigelow & Lennon Construction, LLC + Bigelow Homes + K.W. Billman, Inc. + Blooming Prairie EDA + The Blue Book of Building & Construction + Bobcat of Rochester + Bob's Construction, Inc. + BOLDT + Bolton & Menk, Inc. + Bouquet Builders, Inc. + Brandl Anderson Homes, Inc. + 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. + Bruce Bucknell Construction, Inc. + Budget Blinds + Burdick Builders, Inc. + Byrne Electric, Inc. + Cachiaras Building & Remodeling + Cambria + Carpet One + CarpetsPlus of Rochester + Centurion Ridge, LLC + Charter Communications/Media + Charterpoint Wealth Strategies + Chatfield Lumber Company, Inc. + Chladek Construction, LLC + Chosen Valley Testing, Inc. + Christian Brothers Cabinets + CHS, Inc. + City Auto Glass + City of Byron + City of Chatfield + City of Elgin + City of Eyota + City of Lanesboro + City of Preston + City of Spring Valley + Citywide Insulation, Inc. + Claremont EDA + Clements Chevrolet Cadillac Subaru + CliftonLarsonAllen, LLP + Coldwell Banker Burnet + Commercial Leasing Services + Consolidated Communications, Inc. + Construction Partnership, Inc. + Coordinated Business Systems, Ltd. + Cordes Construction + Cornerstone Builders & Real Estate, 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 + Destination Flooring Rochester, LLC + Destination Medical Center EDA + DeWitz Home Builders, Inc. + Diamond Vogel Paints + DiNicola & Pestka Appraisals + Distinguished Homes by Mitch Hagen, LLC + DMC Plumbing & Heating, Inc. + Dodge County EDA + Dolan's Landscape Center, Inc. + DreamMaker Bath & Kitchen + Dunham Associates, Inc. + Dunlap & Seeger PA + JE Dunn Construction + Dura-Oak Kitchen Make Overs + Dynamic Masonry Products, 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 + Elias Construction, LLC + Elsmore Plumbing, LLC + Emergent Networks + Energy Panel Structures + Energy Products & Design, Inc. + EOJohnson Business Technologies + ERH Developing, Inc. + Excel Homes + 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. + 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. + Nathan Gransee Construction, LLC + Great River Overhead Door + Green Lawncare Irrigation & Service Co. + H&H Company of Rochester, LLC + Habitat for Humanity - Rochester Area + Haley Comfort Systems + W.L. Hall Company + Hamilton Plumbing & Heating, LLC + Hammer Homes, Inc. + Hanson Construction & Specialty Cabinets, LLC + Harmony Economic Development Authority + Harmony Insurance Group + 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, Inc. + Hirshfield's Decorating Center + The Home Depot + Home Federal Savings Bank + Home Improvement Professionals, Inc. + Home Systems Installation, LLC + HomePro Home Inspections, Inc. + Hunt Electric Corporation + Hutch's Custom Cabinets + Int'l Brthrhd of Electrical Wrkrs Local 343 + ICC Restoration & Cleaning Services + iHeartMedia + Innovative Surfaces, Inc. + Installed Building Solutions II, LLC + Insty Prints + IntegraSpec Central/Jeff Mueller Construction + Interiors by J.Curry, LLC + J&M Consulting + Homes, LLC + J.P. Johnson Custom Builders, Inc. + JP's Construction Remodeling Michael Jack, LLC + James Hardie Building Products + JC Custom Homes, LLC + JMS Custom & Repair, Inc. + K&M Glass Company + K&S Heating, A/C, Plumbing & Electrical + Kahler Hospitality Group + Tom Kalmes Construction, Inc. + M.P. Kaye Builders, 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 + KNXR - Minnesota 97.5 + 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 Concrete Products, Inc. + Lembke Construction, Inc. + Lewiston Economic Development Authority + Leyendecker Homebuilders, LLC + Lodermeier's, Inc. + Low Voltage Contractors, Inc. + Lowe's Home Improvement + Luxury Bath Remodeling + Maas Companies, Inc. + Madery Construction, LLC + Maier Tree & Lawn + Majestic Homes, Inc. + R.J. Manemann Custom Homes + Manufacturer's Bank & Trust + Maplewood Homes, LLC + Markham Homes, LLC + Marvin Windows & Doors + Massey Land Surveying & Engineering + Master Builders, Inc. + Mavo Systems, Inc. + McGough Construction + MDH, Inc. + Meadow Lakes Builders + MEC Construction, LLC + Med City Builders of Rochester, LLC + MedCity Consulting + Meier Companies, Inc. + Menards - South + MEP Associates + Merchants Bank + Merit Contracting, Inc. + Meyer Borgman Johnson, Inc. + Michael's Custom Cabinets, Inc. + Midwest Walls, LLC + Minnesota Building Contractors + Minnesota Energy Resources Corporation + Minnwest Bank + MLT Group + Morris Concrete, Inc. + Larry Newman Drywall + North Risk Partners, C.O. Brown Division + North Star Stone & Masonry + Northern Lights & Furnishings + Northgate Chiropractic Clinic + N u s s 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 + Palmer Soderberg, Inc. + Paramark Corporation + PC Applications Consultants, Inc. + Pearson Builders, Inc. + Pella Windows & Doors + Penz Custom Homes, Inc. + People's Energy Cooperative + Peterson Well Drilling, Inc. + Phantom Screens + Pine Island EDA + Pine Island Lumber + The Pinske Edge Rochester + Pompeii Painting, Inc. + Post-Bulletin Company, LLC + PowerLift Doors b y French Mfg, Inc. + Powers Ventures + Precision Signs + Prehn Building Sales, Inc. + Premier Bank Rochester + Premier Builders of Rochester, Inc. + Prime Time Painting of Rochester, LLC + Priority Claims Service + Pro Image Promotions & Apparel + Professional Education Resources, LLC + Quality Overhead Door 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 Results + Region Millworks, Inc. + David Reiland Building Contractor, LLC + Reliable Contractors, Inc. + 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 Title & Escrow Company, Inc. + Ronningen Roofing, Inc. + Rory's Home Improvement, LLC + RSM US LLP + 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. + Schoeppner, Inc. + Schwickert's Tecta America, LLC + Seavey Builders, Inc. + SEH, Inc. + Dan Severson Builders, Inc. + Nick Severson Construction, LLC + Shanahan Building & Remodeling, LLC + Sign Here, Inc. + Simonson Builders, LLC + S.L. Contracting, Inc. + Smart Home Innovations & Engineering, Inc. + Smart-HR + Smith Schafer & Associates, Ltd. + Solar Connection, Inc. + Somerby Golf Community + Space Concepts, Inc. + Greg Speedling Contracting, Inc. + Spring Grove EDA + Spring Valley Overhead Door, Inc. + St. Charles EDA + Stadsvold's Lawn & Landscape + Stantec + Steel Constructors, Inc. + Sterling State Bank + Stevens Heating, Inc. + Stewartville Economic Development Authority + Stier Construction, Inc. + Stone Expressions + StoneBridge Builders, LLC + 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. + Thiemann Construction, Inc. + Thimijan Custom Homes, LLC + Think Mutual Bank + Thomas Tool & Supply + Thompson's Garage Door and Openers + Tile Superstore & More + TLC Surfaces, LLC + TLS Companies, LLC + 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. + United Rentals + The Urban Studio, LLC + US Bank + Valor Mechanical, Inc. + Val-U-Blinds + 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 Mortgage + Wells Fargo Private Mortgage Banking + Wendland Utz + Werner Electric Supply + West Bank + West Concord EDA + 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 + Zillgitt Civil Design + Zumbro Haven, LLC = RAB
SEP-OCT
2016 a publication of
F O U N D AT I O N S Rochester Area Builders, Inc.
Letter from The President The Rochester Area Builders Fall Showcase of Homes has wrapped up and was a huge success with hundreds of people passing through the homes on the parade. Thank you to all of the committee members and exhibitors for making it another great year for the Showcase of Homes! As we approach the November election I would ask all of you to take some serious time and research all of the candidates on a national, state and local level. This year is an incredibly important year at the local level and I would encourage you all to attend the General Membership Meeting next Tuesday, September 27th at Canadian Honker Events at Apache. This is the meeting when our local officials and their challengers come in to inform us of their plans if they are elected or re-elected into office. This will be a great meeting to attend in order to have many of your questions answered so you can make the best educated decision before placing your vote in November. Your vote DOES make a difference! Happy Fall! Warmly,
Christy Buchan 2016 RAB President
Index President’s Letter...................................... 2 Awards Nomination Form........................... 3 Fall Showcase of homes Winners.........4-7 Rochester Area Builders Sporting Clay Shoot..............................8-10 Rochester Public Works...............11 General Membership Meeting......... 12-13 Association Scrapbook........................... 14 NAHB Member Discounts.......................15 Member Spotlight: Higgins Custom Cabinetry................................................. 17 Building Permit Reports..........................22 Membership Information........................23 Member Rebate Program....................... 24 Plentiful Jobs, but Weak Growth, Elliot Eisenberg, Ph.D..............................25
Executive Director/Editor John Eischen Production Shelly Erpelding 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.
108 Elton Hills Lane NW Rochester, MN 55901 Phone: 507-282-7698 Fax: 507-282-6351 E-mail: RAB@RochesterAreaBuilders.com
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FOUNDATIONS September - October 2016
www.RochesterAreaBuilders.com
ROCHESTER AREA BUILDERS, INC. ASKS YOU TO MAKE NOMINATIONS FOR THE • 2016 Builder of the Year • 2016 Associate of the Year • 2016 Company of the Year The recipients of these three awards will be chosen by the Board of Directors at their December meeting and will be awarded at the January General Membership Meeting. Nominees should: Be active, supportive members of the Association
Have Committee Participation Be enthusiastic about Association Attend General Membership Meetings Willingly Generates New Ideas Encourage others to Participate Invite non-members to Join Association Be involved in the community
I Nominate____________________________________________________________________________________ Reasons for Nomination______________________________________________________________________ ________________________________________________________________________________________________ ________________________________________________________________________________________________ I Nominate____________________________________________________________________________________ Reasons for Nomination______________________________________________________________________ ________________________________________________________________________________________________ ________________________________________________________________________________________________ I Nominate ___________________________________________________________________________________ Reasons for Nomination _____________________________________________________________________ ________________________________________________________________________________________________ ________________________________________________________________________________________________
www.RochesterAreaBuilders.com
September - October 2016
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SHOWCASE WINNER DIVISION 1 Homes over $575,000 #11 Derby Construction, LLC 6341 Oak Meadow Lane NW
From the insert: Best view of Rochester ever with the most secluded lot you will find. This is a one of a kind home and is unforgettable with hidden theater room, open curved stairwell, 3 fireplaces, 4 season room, full sized gym with 15’ ceilings, coffered ceilings, cove ceilings, oval ceilings, cathedral ceilings, 2 story stone fireplace and much more. Basement, landscaping, driveway and deck now complete! This home is move in ready
Division 1 Runner Up: #35 Custom Homes by Bradley, Inc. 4
FOUNDATIONS September - October 2016
www.RochesterAreaBuilders.com
SHOWCASE WINNER DIVISION 2 Homes from $450k to $575k #13 Stonebridge Builders, LLC 716 Timberline Drive SE, Oronoco
From the insert: This highly detailed Craftsman style home nestled in the oak trees. Breath taking entrance, 10ft. ceilings in the Great Room, stone fireplace with old barn beams in the ceiling, soap stone countertops, gourmet kitchen, full walk-in pantry. Considerable thought was put into this custom plan. This is a must see home, everything you would expect from a Stonebridge home.
Division 2 Runner Up: #16 M.P. Kaye Builders www.RochesterAreaBuilders.com
September - October 2016
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SHOWCASE WINNER DIVISION 3 Homes from $375k to $449k #1 Madery Construction, LLC 302 15th Avenue NW, Kasson
From the insert: Beautiful rambler home in NW Kasson. 4 bedrooms, 3 baths, with beautiful master bathroom and spacious walk-in closets, hardwood floors throughout main level. Nice office also located on main floor. Additional features nice large pantry, huge storage room & spacious garage.
Division 3 Runner Up: #10 Wright Homes, Inc. 6
FOUNDATIONS September - October 2016
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SHOWCASE WINNER DIVISION 4 Homes under $375k #23 R. Fleming Construction, Inc. 2875 Sand Trap Road SE
From the insert: Absolutely beautiful wheelchair accessible rambler at the end of a cul-desac, just under half an acre. Home offers many upgrades, including wood laminate floors through main floor, granite countertops, dark espresso cabinets, and a beautiful gas fireplace.
Division 4 Runner Up: #18 Countryside Builders, LLC www.RochesterAreaBuilders.com
September - October 2016
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RAB Sporting Clay Shoot Presented by:
Station Sponsors
Allied Building Products Wells Fargo Home Mortgage Bricewood, LLC Merchants Bank HIP,Inc. Thompson Overhead The Builders Group Wildwood Bar & Grill Warners’ Stellian Appliance Co. Haley Compfort Systems A.E. Benike, Inc. Zillgitt Civil Design Marvin Windows & Doors First General Services of SE MN Kruse Lumber Knutson Construction Braun Intertec Smith Schafer & Associates Midwest Walls Custom Alarm
Food Sponsor
Energy Products & Design
Beer Sponsor Carpet One
Pop & Water Sponsor S.L. Contracting, Inc
Location Sponsor
Jay Burke, Heartwood Homes of Rochester, Inc !Sporting Clay Shoot Committee:
Levi Kaiser, A.E. Benike, Inc. – Chair Jim Nicholas, Wildwood Sports Bar and Grill Tyler Niemeyer, Braun Intertec Corp. Krystal Gillespie,Re/Max Results, Gwaltney Group Steve Johnson, Destination Building Center
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FOUNDATIONS September - October 2016
Jay Burke, Heartwood Homes of Rochester, Inc. Derek Gifford, The Boldt Company Joshua Burgess, Wells Fargo Mike Zillgitt, Zillgitt Civil Design Art Friedrich, Peoples Energy Co-Op
www.RochesterAreaBuilders.com
RAB Sporting Clay Shoot
www.RochesterAreaBuilders.com
September - October 2016
FOUNDATIONS
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RAB Sporting Clay Shoot
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FOUNDATIONS September - October 2016
www.RochesterAreaBuilders.com
Request and Schedule Inspections ONLINE The Rochester Building Safety Department is excited to announce that you can now request and schedule your inspections online through our Citizen Access Portal. Please visit our Citizen Access Portal and check it out for yourself at the link below. https://aca.rochestermn.gov/citizenaccess In order to take advantage of this new feature, you must first become a registered public user. There are helpful videos available on our website to guide you through these processes.
www.RochesterAreaBuilders.com
September - October 2016
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Join us at the September General Membership Meeting Tuesday, September 27th
Canadian Honker Events at Apache 1517 16th Street SW 5:00pm Social Hour 6:00pm Dinner $18/Announcements 7:00pm Rochester City Council Candidate Forum Registration for dinner is required by Friday, September 23rd. Click HERE to register.
Dessert Sponsor
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FOUNDATIONS September - October 2016
www.RochesterAreaBuilders.com
New Member Reception
President
Christy Buchan, Energy Products & Design, Inc.
Karen Blissenbach, Design Studio B
Delbert Feenstra, Knutson Construction Services
Rick Dold, Larkin Hoffman Daly & Lindgren
John Eckerman, The Boldt Company
Mike Allen, Mike Allen Homes, LLC Mickey Elias, Elias Construction, LLC Rob Jones, Superior Mechanical Levi Kaiser, Alvin E. Benike, Inc. Carla Kilpatrick, Home Federal Savings Bank Jon Range, Range Construction, LLC Brian Sheehan, Weis Builders, Inc. Frank Streit, Premier Bank Rochester
Tom Leimer, Knutson Construction Services, Chair Jason Snow, Brock White Company, Vice Chair Jake Schleusner, Merit Contracting, Inc., Past Chair
Dana Hlebichuk, Widseth Smith Nolting, Chair
Jason Woodhouse, CRW architecture + design group, inc., Chair
Vice President Secretary
Tuesday, September 27th 4:15 PM – 5:00 PM
(prior to the General Membership Meeting)
Canadian Honker Events at Apache 1517 16th Street NW
• Learn more about the Association you are part of. • Find out what events are happening when. • Discover the best ways to gain the most from your membership. • Learn how you can get involved so you can meet new people and make new contacts. • Meet Members of Rochester Area Builders Board of Directors. Please reply to Rebekah at
rnielsen@rochesterareabuilders.com
by Monday, September 26th if you are interested in attending the reception. (Please note, if you plan to attend the GMM dinner afterwards, you must register separately through the Eventbrite link.)
www.RochesterAreaBuilders.com
Treasurer
Past President Directors
Builders Exchange Council Representatives
Commercial Builders Council Development Council Chair Remodelers Council Chair
Jerry Jensen, Valor Mechanical, Inc., Chair
Joe Weis, Weis Builders, Inc. Steve Buss, Cornerstone Builders & Real Estate, Inc.
National Life Directors National Directors
David Kane, Widseth Smith Nolting, Rep. Levi Kaiser, Alvin E. Benike, Inc.
Jim Gander, Superior Mechanical John McGuine, JM Consulting, Rep. Mike Paradise, Bigelow Homes David Pederson, Dunlap & Seeger Dan Severson, Dan Severson Builders, Inc., Rep.
State Directors
Executive Director
John Eischen JEischen@RochesterAreaBuilders.com
Staff
Audra Bolduan audra@bexroch.com Marketing, Builders Exchange Trustees
Keith Cousins KCousins@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 & Remodelers Tour
Shelly Erpleding ShellyE@RochesterAreaBuilders.com Golf Outing, Sporting Clays, Directory, Newsletter, E-News Update
September - October 2016
FOUNDATIONS
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August Networking Night
14
FOUNDATIONS September - October 2016
Association Scrapbook
www.RochesterAreaBuilders.com
National Association of Home Builders
Put your membership to work now. Money-saving discounts that benefit your business, your employees, and your family
www.nahb.org/MA
R
www.RochesterAreaBuilders.com
September - October 2016
FOUNDATIONS
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FOUNDATIONS September - October 2016
www.RochesterAreaBuilders.com
WHAT’S ON HIGGINS CUSTOM CABINETRY’S MIND? How long have you been in business?
Dave Higgins started the business as a quality home builder in 1971. In 1978 he began making the cabinets for the homes he was building, and in 1998 he went exclusively to custom cabinetry. Darcy, has been his business partner since 1999 and together they have grown and expanded the business. In 2006, Darcy, along with his wife Jennifer, bought the business from Dave and now run it together with a primary focus on providing high quality custom cabinetry. .
Why are you a member of RAB?
We feel that RAB provides great contacts and exposure with access to events and many other member benefits. We really appreciate the dedication of the RAB staff and the great opportunities that they provide for a business like ours.
What changes are on the horizon in your industry?
Our industry’s continued innovation will result in an increasing amount of high quality options to offer our customers. New interior cabinet accessories and better hardware designs have been really hot recently .
What changes are on the horizon for your business? We have some great plans for new cabinetry to keep our showroom up to date. Designs are also in the works for a great new set for the RAB Home Show in February. The new caninetry will showcase the latest options and trends in the industry.
What excites you about the expected growth of Rochester?
This is an exciting time to be in Rochester as continued growth provides a great opportunity for us to grow and expand.
What makes your business special?
We feel that we have the best staff in the industry. Many of our employees have been working with us in the cabinet business for 20 plus years. With this experience we feel that we can offer unsurpassed service and quality.
Watch this video about Higgins Custom Cabinetry 20 Center Ave N Eyota, MN 55934 Phone: 507-545-2856 www.higginscustomcabinetry.com
www.RochesterAreaBuilders.com 10 FOUNDATIONS August-September 2016
September - October 2016 FOUNDATIONS 17 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 Services, Inc. + Counselor Realty of Rochester, Inc. + Countryside Builders,Architects LLC + Cravath Homes, LLC, dbaMD, Accessibility Solutions Forms + WebTSP & Engineers + Tub LLC + Turri Crane rescent Supply Company + CRW architecture + design group, inc. + Culligan of Rochester & Kasson +Inc. Curry's CutSurfaces Gutter, LLC+ + United Curtin c. + Electric Turtle Creek Construction, + Custom Ultimate CI + 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 + DeGeus Tile & Granite + Derby Construction LLC + The Design Connection + Design Studio Center + DeWitz Home +c. The Urban Studio, LLC B+ + Destination US Bank Building + Valor Mechanical, Inc. + a Appraisals + Distinguished Homes by Mitch Hagen, LLC + DMC Plumbing & Heating, Inc. + Dolan's Landscape Center, Inc. + DreamMaker Bath & s + Vector Windows + Veit Companies + Vennehjem Building nc. + Dunlap & Seeger + JE Dunn Construction + Dura-Oak Kitchen Make Overs + Dynamic Masonry Products, LLC + eci, llc + Eckert Construction, n Vertical Limit Construction + Viking Automatic Sprinkler 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 Development Authority + Elias Construction, LLC + Elsmore Plumbing, LLC + Emergent Networks + Energy Panel Structures + Waste Management + Wausau Homes + Wausau ppliance Co., Inc. + EOJohnson Business Builders & Remodelers + Expert Inc. + Weis Builders, Inc. Technologies + Excel Homes + The Excelsior Group, LLC + Exclusive Home + Greg Wellik Construction + Insulation, Wells Concrete ls + +Extreme Panel Technologies, Inc. + Fairway Outdoor Advertising, LLC + Fat Willy's BarBank & Grill + Ferguson Fieldstone Family Inc. 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 lass, Inc. Fritsch Custom Homes, LLC Nolting + Gander & Center, Inc.+ + Foster WHKSConstruction, Inc. + Franklin Energy + Frattalone Companies, Inc. + Chris & Company + Widseth Smith + Plumbing Wildwood ruction, 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 & CompaAssocireat River+Overhead Door + LLC Green Irrigation Co. +Improvement GulfEagle Supply + Habitat Humanity - Rochester Area + Haley l Energy XRG Concepts, + Lawncare Rick Yerhot Builder &+Service Your Home Company + Zenfor Custom Homes + Zumbro Haven, LLC Comfort = RAB ler) + 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, + Howe Countertops monthly. sent to over connected areLLC listed under Display Hutch's Custom Cabinets + Int'l Brthrhd of Electrical Wrkrs Local 343 + Innovative professionals. Surfaces, Inc. + The Insty sizes Printsof+ads 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 logos, and artwork. PC format. We accept and Company, Photoshop (CS1). Convert fonts ectric, Inc.ad +copy, Kruse LumberWe + use KTTC/KXLT-TVIllustrator + Kuehn Motor Inc. files + Kuntz Electric, Inc. + all 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& Concrete, Inc. + Leitzen Concrete Products, Inc. + Lewiston Economic Development Authority + embedded) files. If you haveer's, any other formats, please Low contact us.Contractors + Lowe's Home Improvement + Luxury Bath + LodermeiInc. + Voltage es, Inc. + Maier Tree & Lawn + Majestic Homes, Inc. + R.J. Manemann Custom Homes + Manuaplewood Homes, LLC + Markham Homes, LLC + markit + Marvin Windows & Doors + ring + 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 iates + Merchants Bank + Merit Contracting, Inc. + MetLife Premier Full color 1/12 ________+ Meyer $35 Borgman Johnson ________ Midwest + Michael's$250 Custom Cabinets, Inc. 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Inc. + Pebble$650 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 “Rochester AreaBank Builders�) 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 on + Rochester Asphalt, Inc. Fax + ____________________________________________________________________ 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, ory's Home Improvement, LLC + RSP Architects + Ryan & Grinde, Ltd. + Ryan Electric, Inc. + Ryan Windows & c. + Rymark Construction, LLC + S&S Overhead Door, Inc. + Sargent's Landscape Nursery, Inc. + cy Signs, Inc. + Schmidt Goodman Office Products + Schoeppner, Inc. + Schwickert's Tecta America, LLC + ilders, 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, ith 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 rhead 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. + aint 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. o-Tech Windows + Thiemann Construction, Inc. + Thimijan Custom Homes, LLC + Think Mutual Bank + Thomas Phone: (507) 282-7698 Rochester Area+ Builders, Inc. Superstore pply + Thompson's Garage Door and Openers Tile & More + Tonna Mechanical, Inc. + Top Fax: (507) Attn: Attn: Ryan Kling-Punt Rochester, Inc. + Total Electric of Newsletter Rochester, Inc. + Townsquare Media 282-6351 Rochester + Tradesmen Interna+ Traditional Wood Builders +RAB@RochesterAreaBuilders.com Tri Star Insulation + Tri State Insulated Email: E-Mail: RPunt@RochesterAreaBuilders.com 108 Elton Hills Ln NW 108 Elton Hills Ln NW Forms + TSP Architects & Engineers + Tub MD, LLC + Turri Crane c. + Turtle Creek Construction, Inc. + Ultimate Surfaces + United Rochester, MN55901 55901 Rochester MN Cooling + United Products/Allied Building Products Corp. + United + The Urban Studio, LLC + US Bank + Valor Mechanical, Inc. + s + Vector Windows + Veit Companies + Vennehjem Building n + 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 +www.RochesterAreaBuilders.com Jim Whiting Nursery 18 +FOUNDATIONS September - October 2016 Center, Inc. + WHKS & Company + Widseth Smith Nolting + Wildwood
Fa publication O U ofNRochester D A TAreaI Builders, O N Inc. S
Fa publication O U ofNRochester D A TAreaI Builders, O N Inc. S
2016
Newsletter Advertising
Rochester Area Builders Member Spotlight! 1 Hour Radio Show on KROC-AM with ads (10am-11am)—This is a perfect opportunity to talk about your business and field questions from callers! You also get two 30 second ads and an online ad during the show!
Video produced by RAB—A 30 Second Spot, which we will post on our YouTube Channel and promote. You will also be given the video to use as you please.
Weekly Email-News Update— Video will be linked to our membership in our Weekly Email-News Update
Newsletter Advertorial—Page in our monthly newsletter on your business, including pictures of your business, or projects, etc.
$2000 $1000
Social Media Campaign—4 posts (1 boosted) to our Facebook page, 4 tweets from our Twitter account about your business
Limited to 1 Member/month
Sign up now, only
$750
Sign up quickly! There are only 10 spots for the year! Once we sell out of the 10 spots, we will assign months to coordinate with seasonal timing. Contact the RAB Office at 507-282-7698 or at RAB@rochesterareabuilders.com
www.RochesterAreaBuilders.com
September - October 2016
FOUNDATIONS
19
2015 CHEVROLET SILVERADO 1500
Example offer for NAHB members who are business owners:
Up to
1,000 +
$
Private Offer1
3,750 +
$
National Fleet Purchase Program (FVX)2
Up to
400 =
$
Upfit Cash Allowance3,4
5,150
$
In potential value
Benefit from our private offer for NAHB members.
2015 GMC SAVANA CARGO VAN
As the exclusive automotive manufacturer of the National Association of Home Builders (NAHB), we’re pleased to extend association members a private offer1 of up to $1,000 toward the purchase or lease of most new GM vehicles. Just visit your local dealer, choose an eligible GM vehicle, and present your NAHB proof of membership. You can add on incentives from the National Fleet Purchase Program2 and Business Choice3 to get the best value on vehicles that run your business. For private-offer details, visit nahb.org/gm.
2-Year/24,000-Mile Scheduled Maintenance
Combine these great savings with our 2-Year/24,000-Mile Brand Maintenance Program5 that covers scheduled oil changes with filter, tire rotations, and 27-point inspections, according to your new vehicle’s recommended maintenance schedule. 2015 BUICK LACROSSE
Private-offer amount varies by model. Up to $500 offer for retail deliveries and up to $1,000 offer for fleet deliveries. Valid toward the purchase or lease of eligible 2014 and 2015 model-year vehicles. Customer must take delivery by 1/4/16. Not compatible with other private offers. Not valid on prior purchases. Compatible with many current incentives. Incentives are subject to change without notice. Excludes Buick Regal (2014); Chevrolet Corvette (2014), Sonic, Spark, SS, Volt; all Cadillac models. FAN required. See dealer for complete details. 2Offer eligible for non-CAP customers only through 12/31/15. See dealer for details. 3 To qualify, vehicle must be used in the day-to-day operations of your business and not solely for personal/non-business-related transportation purposes. Must provide proof of business. For complete program requirements, including information regarding offers, vehicles, equipment, options, warranties, and ordering, consult your dealer or visit gmbusinesschoice.com. Take delivery by 9/30/15. 4Not valid with all offers. See dealer for details. Take delivery by 9/30/15. Amounts include parts and labor. 5On select models starting with 2014. Eligible vehicles include purchased or leased new 2014 Chevrolet, Buick, or GMC cars, trucks, or crossovers in the U.S. Covers scheduled oil changes with filter, tire rotations, and 27-point inspections, according to your new vehicle’s recommended maintenance schedule, for a maximum of four service events within 2 years or 24,000 miles, whichever comes first. Does not include air filters. Extra charge may apply for dual-rear-wheel tire rotations. See participating dealer for other restrictions and complete details. ©2015 General Motors. All rights reserved. 1
20
FOUNDATIONS September - October 2016
www.RochesterAreaBuilders.com
www.RochesterAreaBuilders.com
September - October 2016
FOUNDATIONS
21
Rochester Building Permits
New Residential
2016
VALUATION
2015
VALUATION
Single Family Homes/Townhomes
Single Family Dwelling
37
9,485,927
29
7,681,630
Townhome Dwelling
12
2,478,003
4
726,294
January
27
25
3
13
3
6
19
11
20
25
Two-Family Houses
0
0
0
0
February
19
15
1
8
8
20
15
14
19
15
Manufactured Home
0
0
0
0
March
30
29
16
27
24
32
29
28
30
31
159
20,299,668
0
0
April
44
27
29
25
19
29
39
25
22
33
May
50
30
33
20
14
22
27
35
19
56
Multi-Family Bldgs (Units)
Existing Residential Deck Addition
28
146,206
32
206,762
Room Addition
2
65,000
2
265,000
Porch Additions
1
6,000
0
0
Other Additions
1
15,000
1
1,000
Basement Finish
19
294,405
21
275,310
Alterations
52
388,052
42
398,245
Multi-Family Addition
0
0
0
0
Multi-Family Alterations
5
52,450
3
398,245
New Commercial 0
0
0
0
Assembly (General)
0
0
0
0
Assembly (Restaurant/Bar)
1
380,000
0
0
Business
1
0
0
0
Education
0
0
1
491,117
Factory/Industrial
0
0
0
0
Institution
0
0
0
0
Mercantile
0
0
1
980,000
Miscellaneous
0
0
0
0
Residential (Apartment)
0
0
0
0
Residential (Care/Assisted Living)
0
0
0
0
Residential (Care/Hotel/Motel)
0
0
0
0
Storage (General)
0
0
2
510,000
Storage (Parking Garage)
0
0
0
0
Storage (Warehouse)
0
0
0
0
Utility (General)
0
0
1
185,0884
Utility (Private Garage)
0
0
0
0
Addition
0
0
3
5,005,750
25
8,463,210
27
2,808,888
Structural Shell
0
0
1
300,000
“White Box”
0
0
0
0
Interior Demolition Only
4
20,006
1
5,000
Other Phased Permits
0
0
0
0
Alterations
Other Construction Business Signs
2007 2008 2009 2010 2011 2012 2013 2014 2015 2016
June
43
36
40
12
26
32
33
47
51
41
July
60
23
22
23
8
39
39
38
29
44 245
YTD TOTAL
273
185
144
128
102
180
201
198
190
August
43
28
26
15
18
38
21
60
33
September
33
28
33
10
19
22
22
23
27
October
34
19
31
14
16
23
34
35
49
November
23
26
32
21
20
22
26
26
23
December
11
16
15
12
16
14
22
27
42
417
302
281
200
191
299
326
369
364
TOTAL
245
*total may differ as permits may have been voided.
Assembly (Church)
Existing Commercial
22
August 2016
11
52,083
12
52,174
Advertising Signs
0
0
0
0
Footings & Foundations
1
140,000
30
2,057,725
Demolition
0
0
5
FOUNDATIONS September - October 2016
Year To Date Statistics
NO.
2016 VALUATION NO.
2015 VALUATION
Building Permits Issued to Date
1724
308,777,139
1,629
360,371,913
Single Family Dwelling
236
59,449,403
188
46,151,162
Multi-Family Buildings Total Units: 720
10
96,360,607
26
98,029,975
Trade Permits Issued to Date
5775
66,209,655
5,433
81,597,811
Electrical
1843
27,719,465
1,788
36,304,796
242
64,700
196
65,900 22,710,284
Electrical (Temp. Service) Mechanical (HVAC)
1491
18,350,468
1,339
Mechanical (Gas Piping)
435
629,724
407
713,295
Mechanical (Fireplace)
254
739,724
243
651,542
Mechanical (Hydronic) Plumbing
Total Permits YTD
124
6,165,087
98
7,926,087
1386
12,540,487
1,362
13,225,907
7499
374,986,794
7,062
441,969,724
Information and downloads available at Rochester Building Safety Department’s Website: http://www.rochestermn.gov/departments/building-safety/reports/building-permits
Byron
Building Permits
August 2016 New Residential
NUMBER
VALUATION
2
$915,000
Pool
0
$0
Deck Addition
0
0
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 8/31/16
MEMBERSHIP TOTAL: 463 RETENTION RATE: 90.9% One Year
Creative Curb Appeal Frattalone Companies, Inc. JC Custom Homes, LLC
2015 2015 2015
Two to Four Years
Abacus Engineering
2014
Heartland Security
2014
Kahler Hospitality Group
2014
Low Voltage Contractors, Inc.
2014
Oxi-Fresh Carpet Cleaningn
2013
Kraus-Anderson Construction Company
2012
Five to Nine Years
MEP Associates Nuss Truck & Equipment Eckert Construction, Inc. Insty Prints Meadow Lakes Builders
2010 2010 2007 2007 2007
Ten to 19 Years
Penz Custom Homes, Inc. Tradesmen International, Inc. Kenny Sylvester Construction, LLC David Reiland Building Contractor, LLC Goodin Company Master Builders, Inc. Werner Electric Supply Ferguson Enterprises
2006 2005 2003 2002 2001 1999 1999 1998
20 to 24 Years
J.P. Johnson Custom Builders, Inc. Leyendecker Homebuilders, LLC Beyond Kitchens, LLC Ryan Windows & Siding, Inc.
1996 1996 1995 1992
25 Years & More
Accord Electric, Inc. Express Employment Professionals Carpet One Townsquare Media Rochester
1985 1985 1983 1983
Hayfield Window & Door Company MEC Construction, LLC Pella Windows & Doors
1981 1980 1978
www.RochesterAreaBuilders.com
As of 8-31-2016
WE WELCOME THE FOLLOWING NEW MEMBERS IN SEPTEMBER:
ALLEN OUTDOOR SOLUTIONS, LLC 101 Hwy 42 SE Eyota, MN 55934 Phone: 507-208-0151 Contact: Tim Allen Associate Member Landscaping/Concrete Sponsored by: Christy Buchan, Energy Products & Design, Inc.
CITY OF LANESBORO PO Box 333 Lanesboro, MN 55949 Phone: 507-467-3722 Contact: Michele Peterson Contributory Member Municipality Sponsored by: Cris Gastner, St. Charles EDA
ATLAS INSURANCE BROKERS, LLC 5721 Bandel Road NW Rochester, MN 55901 Phone: 507-252-8720 Contact: Taylor Gilbert Associate Member Insurance Agency Sponsored by: David Kane, Widseth Smith Nolting
DESTINATION MEDICAL CENTER EDA 195 South Broadway Rochester, MN 55904 Phone: 507-216-9720 Contact: Lisa Clarke Associate Member Economic Development Agency Sponsored by: Dan Coyle, Kimley-Horn & Associates, Inc.
September - October 2016
FOUNDATIONS
23
Member Rebate Program
Associate Member Directory Registration Associate Members can register below to be listed in our Associate Member Directory which indicates who supplies or installs any of the 50+ Manufacturer brands in the Member Rebate Program. The Manufacturers are offering the same rebates to HBA Builder and Remodeler members as the "Top-5 Builders" receive. www.HBArebates.com
Company:_____________________________________________
Contact:____________________________________________
Website:______________________________________________
State:______________ Please circle the Manufacturers you currently supply or install :
24
FOUNDATIONS September - October 2016
www.RochesterAreaBuilders.com
Plentiful Jobs but Weak Growth, Wages and Inflation Elliot Eisenberg, Ph.D., GraphsandLaughs, LLC While the US economy is creating plenty of jobs, it isn’t growing much. In the first half of 2016, gross domestic product (GDP) grew at an anemic annualized rate of just 1%, compared to about 2% since the end of the recession, and 2.5% from 2000 through 2007. Usually, weak economic growth has been associated with weak employment growth. But not now! Employment growth during the first six months of the year totaled slightly over one million jobs, or a healthy average of 175,000 net new jobs/month. If the historical relationship between GDP and employment that existed before the Great Recession still held, 40% fewer jobs would have been created since January. That said, what does slow growth mean for future wages, why is GDP growth so slow, is it likely to persist, and what does this imply about future interest rates? The prolonged and robust job growth we have been experiencing for the last several years has brought down the unemployment rate from 10% to just 4.9%, low by historic standards. As a result, workers are finally becoming scarce and labor costs are, at long last, rising, although not as fast as before the recession. This is because wage growth results from two forces: labor scarcity and increases in labor productivity. Having already discussed scarcity, let’s focus on productivity growth, or the increase in output per worker per hour. What we see is dismal labor productivity growth. It has actually been declining for the last three quarters in a row, the first time this has ever happened outside of a recession. This goes a long way in explaining why wage growth remains mediocre despite the low unemployment rate. While labor productivity is expected to improve and return to the 2006 – 2015 annual average rate of 1.25%, that is way below the 2.5% annual growth rate between 1949 and 2005. This weak labor productivity growth is most likely the result of an aging population and years of weak corporate investment in plant and equipment. This continued lack of investment has sharply reduced corporate efficiency gains. As a result, to produce more product to meet virtually any increase in demand requires more hiring. Importantly, the conditions that have created this weak investment environment will not dissipate soon. While energy prices appear to have bottomed, it is unlikely that they will soon rise. Thus, exploration and production activity in the oil patch is unlikely to increase much. Similarly, mining firms are holding back on investment while commodity prices are weak, and manufacturers that sell their output overseas will continue to face strong headwinds due to the strong US dollar. In addition, agricultural prices are also expected to remain depressed and auto sales have peaked. Collectively, this means investment in plant and equipment is likely to remain weak, all but insuring GDP growth of at best 2% for the foreseeable future. With labor productivity weak, GDP growth sluggish, and inflation correspondingly low, the Fed has reduced how high it sees the long-term fed-funds rate reaching -- no higher than 3% compared to 4% or more as recently as 2013! As a result, it may well take three or four years for the fed-funds rate to hit just 3%. As for conventional 30-year mortgage rates, they are likely to remain below 4% well into 2018. 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.
www.RochesterAreaBuilders.com
September - October 2016
FOUNDATIONS
25