www.wisbuild.org
Builder Profile: Degnan Design Builders Inc. Redrawing Wisconsin’s Political Landscape
Delivered to you as a benefit of membership
July/August 2010
www.wisbuild.org
features
July/August 2010 Volume 27 • Issue 4
Capitol Corner...................................................................... 6 Keith Ripp, Wisconsin State Representative, 47th Assembly District, discusses redrawing Wisconsin’s political landscape.
A Strong Finish to the Legislative Session......................... 8 From carbon monoxide detector legislation to a uniform energy code, WBA® stays busy this session protecting and supporting its members.
WBA Building and Legal Hotline...................................... 11 Patrick Stevens, General Counsel, answers questions and gives resources for common building code and legal issues.
7
Builder Profile: Degnan Design Builders Inc................... 12 Abe Degnan’s design-build background, focus on involvement, and commitment to green building and energy efficiency combine to create customer satisfaction.
departments President’s Perspective................................................................................. 3 Leaders Are Members Executive Viewpoint...................................................................................... 4 Elections Matter Local Happenings.......................................................................................... 7 Photos and details of WBA local association events around the state Member Advantage..................................................................................... 14 Beyond Health Insurance News & Events.............................................................................................. 15
Wisconsin Badger Builder, (ISSN 004-232) is a bi-monthly publication of the Wisconsin shelter industry. It is the official publication of the Wisconsin Builders Association® (WBA) and is published by WBA, 4868 High Crossing Blvd., Madison, WI 53704. Periodicals postage paid at Madison, WI 53701 and additional mailing offices. All advertising is subject to acceptance by the Wisconsin Badger Builder editorial review committee. The publication of any advertisement is not to be construed as an endorsement of the product or service offered. The contents of all material available in this publication are copyrighted by WBA unless otherwise indicated. All rights are reserved by WBA, and content may not be reproduced, disseminated, published or transferred in any form or by any means except with the prior written permission of the Wisconsin Builders Association®. POSTMASTER: Send address changes to Wisconsin Badger Builder, 4868 High Crossing Blvd., Madison, WI 53704. SUBSCRIPTIONS: Subscriptions available through membership in the Wisconsin Builders Association®.
2
Wisconsin Badger Builder • July/August 2010 • www.wisbuild.org
12 Mission Statement
A professional trade association, WBA advances the housing industry for members and consumers through government involvement, education and promotion.
Vision Statement
Affordable, innovative and environmentally conscious homes accessible to all.
Motto
“Dedicated to preserving and promoting the American Dream”
Senior Officers 2010 President: Jim Kubasta, Oshkosh (Winnebago)
Leaders Are Members
President Elect: Don Esposito, Madison (Madison Area) Treasurer: Gary Roehrig, New Holstein (Mid-Shores) Secretary: Craig Rakowski, Wauwatosa (Metropolitan) Immediate Past President: Doug Scott, Janesville (South Central WI) Associate Vice President: John Anderson, Appleton (Winnebago) Associate Advisor to the Senior Officers: Monica Sommerfeldt Lewis, Chippewa Falls (Chippewa Valley)
Area Vice-Presidents 2010 Southeast Area Mark Benkowski (Metropolitan) Darryl Spang (Racine–Kenosha) Northwest Area Clint Doege (Heart of the North) Monica Sommerfeldt Lewis (Chippewa Valley) Southwest Area Tony Szak (La Crosse Area) Steve Treu (La Crosse Area) Northeast Area Steve Atkins (Brown Co.) Scott Browne (Brown Co.) South Area Brian McKee (Madison Area) Bob Renforth (Madison Area) East Central Area Ed Schmidt (Valley) Stan Martenson (Valley) North Area Pam Jewell (Golden Sands) Mike Richie (Wausau Area) East Shore Area Dan Schneider (Mid-Shores) Sean Kelly (Mid-Shores) State Representative to NAHB Ron Derrick (St. Croix Valley) Area 10 Chairman Wayne Foster (Metropolitan)
President’s by Kuba, WBA President ell WBA is a quarter the way through this year and we are all still United As One, and I thank you for that. With everybody’s hard work and communication, we are continuing to move forward. I was out in D.C. last month for the legislative conference for NAHB. It was a very cool experience. If you ever get a chance to attend, it is a must-do. While it is pretty much the same as Business Day in Madison, it occurs on the national level at the break-neck pace of D.C. Just to let you all know, the social networking was up and running that day. We all were e-mailing WBA Director of Communications Annie Rubens pictures and info, and she was Tweeting them right away and putting them up on Facebook. This is a great way to stay informed as to what WBA is doing for you, so sign up and follow WBA today on Twitter and Facebook and don’t miss the opportunity to network with members on LinkedIn. My wife and fellow proud WBA member Brenda were talking about membership in trade associations, and she made some great comments I want to share with you. So the question is,where do home builders and associates go to learn how to succeed no matter what the economy is doing? How do you stop being a follower and figure out how to lead? Once again, the answer can be simple. Winners and leaders never rest — they are always looking to other winners and leaders in their industry to stay as up-todate and competitive as possible. Sadly enough, though, when times are tough, many home builders and associate professionals figure they can cut the one “nonessential” cost that offers them critical exposure to other winners and leaders: their association. They don’t realize that this minor cost of membership — which seemed so easy to cut (or to never incur in the first
W
perspective
place) — might just be the ticket to their future success. Consider the following analysis before making a decision regarding joining an organization such as the Wisconsin Builders Association (WBA). A recent study conducted by the president of the American Enterprise Institute, Arthur C. Brooks, Ph.D., entitled “Where the Winners Meet,” states: “On average, association members earn significantly more money and are more satisfied with their jobs than non-members. This is true even after holding constant differences in job categories, disparities in education and all other relevant personal characteristics.” “However, the benefits of association membership are not as straightforward as we often hear. Membership by itself does not stimulate higher earnings and job satisfaction. On the contrary, the most plausible explanation based on the data is reverse causation — prosperity, success and happiness at work encourage association membership, because associations are where the winners meet in many professions.” I have been in the association for more than 10 years, and I can verify this hypothesis. Joining an association will not in and of itself make your business succeed, but if you join a group such as WBA and become involved, you simply surround yourself with winners — the people who are succeeding in your industry right now. Association members are interested in being active in their industry. They are looking to network, and grow, and learn. They are seeking solutions to today’s challenges, and they are willing to forge ahead and be creative in finding those solutions. The very thing that drives them to join an association and become involved in their industry are the same things that tend to make them leaders, innovators Continued on page 5
Wisconsin Badger Builder • July/August 2010 • www.wisbuild.org
3
WBA Staff 4868 High Crossing Blvd., Madison, WI 53704 • (608) 242-5151 Executive Vice President Jerry Deschane, CAE, ext. 11 jdeschane@wisbuild.org
Elections Matter Executive
Director of Political & Government Affairs Brad Boycks, ext. 16 bboycks@wisbuild.org General Counsel Patrick Stevens, ext. 22 pstevens@wisbuild.org Director of Communications Annie Rubens, ext. 19 arubens@wisbuild.org Director of Accounting Services Kathy Johnsen, ext. 12 kjohnsen@wisbuild.org Accounting & Political Affairs Assistant Mark Nelson, ext. 25 mnelson@wisbuild.org Event Coordinator Kimberly Fay, ext. 10 kfay@wisbuild.org
WBA Foundation Development Director Megan Taylor, ext. 24 mtaylor@wisbuild.org
WBA Insurance Services Vice President Karl Johnson, ext. 23 kjohnson@wisbuild.org
Published by
Publisher............................ Kevin Naughton Supervising Editor............ Jennifer McDermitt Graphic Designer...................... Jason Gabel Advertising Sales........................Jeff Pinwar
(800) 935-1592, ext. 118 • jpinwar@printcomm.com
Marsha Suwienski
(800) 935-1592, ext. 106 • marshas@wildblue.net
Publication Sales Manager........ Brenda Poe (800) 935-1592, ext. 115 • bpoe@printcomm.com
4
Viewpoint
by Jerry Deschane, CAE, WBA Executive Vice President lections matter” has become one of my stock answers in the past year or so, and you’re going to hear it from me a lot more in the next four months. It’s usually given in response to a member question that begins with the words, “Why is the government requiring me to … (fill in the blank)?” As often as not, the member is angry at the government, at his association, and even at his pet dog, and he’s trying to figure out how to channel that anger. As often as not, the question is “salted,” with a few words that aren’t allowed on prime time television. Elections really do matter. Contrary to conventional barstool wisdom, our system of government is driven by the people who are elected, not by the people who work for the government. There is a direct link between the governor, the legislature and your building inspector who just handed you a $1,250 fine because your drywaller doesn’t have a current BCR (building contractor registration). The Legislature required the Department of Commerce to implement those paperwork fines by passing a oneliner law buried in a one-thousand page budget last spring. WBA fought vigorously against that item, but our opponents ultimately prevailed. Don’t blame the building inspector. Blame the elected officials. And then blame the people who voted for the elected officials. Oops, is your finger pointing back at you? Almost four years ago, the Department of Commerce published a new regulation requiring fire sprinklers in all apartment buildings — five days after the candidate that WBA had backed for governor lost. Coincidence? Sure. Is this “code” for a call to elect Republicans? Nope. It’s a call to get involved in the election, no matter
“E
Wisconsin Badger Builder • July/August 2010 • www.wisbuild.org
what political affiliation you personally carry. WBA has a long history of working with legislators and governors of both parties. One of our biggest allies during the recentlycompleted legislative session was Democratic Representative Leon Young of Milwaukee. Representative Young chairs the Assembly Housing Committee and did battle with other legislators and agencies on our behalf several times. Likewise, Senator Dave Hansen, a Democrat from Green Bay, guided several WBA priorities through the process, including bills to improve the subdivision platting laws and carbon monoxide detector legislation. There’s a simple fact of life in politics: It doesn’t matter whether they are Republican or Democrat, elected officials support the people who support them. That sentence is code for another fact of life: Republican or Democrat, elected officials are inclined to stick it to people that DON’T support them. Elections matter. Sitting on the sidelines doesn’t earn you a free pass. You can ignore the election, not take sides and not get involved in elections, and still get rolled. Why? While you were sitting there on the sidewalk, did you happen to notice what your opponent was doing? Did you notice that HE was the one with his arm around the candidate that won? Elections matter, whether you participate or not. By the time this magazine arrives at your desk, the board of the Wisconsin Builders Association will be on the way toward deciding which candidate for governor the association should endorse. It’s a major decision, associated with major risks for the housing industry. It’s not a decision that WBA will undertake lightly, but it is a decision that the WBA board is determined to make. Why? Because elections matter. X
President’s perspective
Continued from page 3 and winners. And associating with “movers and shakers” in an industry tends to inspire creativity, learning, networking and all of the things that lead to success. Yes, it’s still tough out there. But, as you look at where you choose to invest your hard-earned dollars, be sure you don’t cut the very thing that can lead to your future success. It’s true that joining an association has a cost associated with it, but it also comes with valuable benefits. As the word “association” suggests, being able to “associate” with the leaders in the home building industry can be an invaluable benefit, particularly in tough times like these. The choice is yours: Cut the cost of association membership and stay within your current mindset, or get involved with your association and choose to be “where the winners meet.” Keep Smiling. X
PRECAST CONCRETE SEPTIC TANKS
Protecting Wisconsin’s groundwater one tank at a time. • • • • •
Strong Watertight Low maintenance Resistant to buoyancy Durable
• • • • •
Locally produced Easy to install Environmentally sound A green building product Weather resistant
Go to www.wiprecast.org to find a concrete septic tank manufacturer near you. Wisconsin Precast Concrete Association (608) 256-7701
Wisconsin Badger Builder • July/August 2010 • www.wisbuild.org
5
Redrawing Wisconsin’s Political Landscape Capitol
corner
by Keith Ripp, Wisconsin State Representative, 47th Assembly District very 10 years, citizens of the United States are asked to fill out the U.S. Census — you have probably already done this. The U.S. Census Bureau requires every citizen to be counted by requesting information on the number of individuals
E
Insurance Coverage for the Residential Building Industry
Continental Western Group and Reynolds & Reynolds join forces to offer WBA members a GROUP DIVIDEND PROPERTY & CASUALTY
Insurance Program, including: • General Liability • Builders Risk • Tools & Equipment • Workers Compensation • Business Auto • Property Insurance
CWG agents throughout Wisconsin can offer WBA members industry specific coverage. Independent agents not representing CWG can access this program through Reynolds & Reynolds. Contact your local Continental Western Agent or Reynolds & Reynolds at (800) 767-1724.
Endorsed by: ®
6
Wisconsin Badger Builder • July/August 2010 • www.wisbuild.org
residing within your home. They use this information to determine everything from the amount of federal aid each state receives to the number of U.S. Representative that each state will have in Congress. This information is also used to determine state legislative districts. Over time, population centers have shifted to different areas in the state, which requires the need for redistricting to ensure that each district remains equal in terms of population. Each Assembly district contains about 60,000 residents, and each Senate district is comprised of three Assembly districts — or about 180,000 residents. Wisconsin’s legislature is made up of 99 Assembly districts and 33 Senate districts; the odd number helps reduce the likelihood of tie votes. Congressional districts are determined by dividing the U.S. population by the 435 seats of the U.S. House of Representatives so that each state receives the proportionate amount of seats. Redistricting is when the political landscape of Wisconsin gets a makeover. The process of redistricting is when senate, assembly and congressional legislative districts are geographically adjusted and boundary lines redrawn in order to maintain equal representation throughout the state. In Wisconsin, the state Legislature has the responsibility of redrawing legislative and congressional district lines, but often times the court system has drawn the final lines when the Legislature cannot come to an agreement on a new map. Redistricting requires a tremendous amount of time and effort. States must wait to receive the population estimates from the census data, which normally takes about a year. After population estimates are received, municipalities with more than 1,000 people must divide into wards. This must be completed by August 2011. Then the majority party in each the Assembly and the Senate begin the process of redrawing legislative districts of equal population. The Legislature must then pass the new districts as a bill, and it must be signed into law by the governor. The entire process must be completed by June 1, 2012, in order for candidates to begin filing the necessary paperwork for the fall 2012 elections. Even though this process is not expected to take effect until the November elections in 2012, the fall elections this year will determine the majority party, which will create the districts for 2012. With the governor’s office and control of both legislative houses up for grabs, this fall your vote will be as important as any in recent memory. I would encourage you to be aware of this issue for fall and remind everyone that you can influence government by being counted in the census this spring and voting this fall. X Capitol Corner is a regular feature for Badger Builder. In this space, a Wisconsin legislator will provide perspective on an issue. Each guest columnist is offered the opportunity to select their primary issue of concern and present their views independent from any guidelines imposed by the Wisconsin Builders Association®. The views expressed by the columnist are solely their opinion and do not necessarily reflect the views of the WBA, NAHB, the locals, or the members. The Badger Builder editorial department welcomes reader feedback to the issues featured in this section in the spirit of promoting continued discussion on the important issues affecting our daily lives. To submit comments, please send them to Badger Builder Editor Annie Rubens, arubens@ wisbuild.org. Only comments in writing will be considered for reprint.
Local Happenings South Central Wisconsin BA Three of the 13 students involved with SCWBA’s Student Build home learn to install flooring.
Central Wisconsin HBA Jerry Keding, JLK Construction, chairman of the CWHBA Booth at the Marshfield Children’s Festival, helps Ben Mancl make a bird house.
Madison Area BA Terry Monson, Monson Construction Inc.( left), received recognition from NAHB for 50 years of continuous membership, and retired member Gerry Dohm (G. Dohm Ventures) was awarded MABA Honorary Membership.
Manitowoc County HBA Joe Pusateri conducted seminars on Estimating & Business Management and Negotiating for the Home Building Industry.
Wolf River BA WRBA member Scott Breitrick with Scott Kropf, the winner of the $1000 cash prize for the annual scholarship fund raffle. Scholarships are awarded to three students pursuing further education in some aspect of the building trades.
Racine-Kenosha BA Karen Lawrence of Knight Barry Title at the RKBA Bowling for Scholarships Event held in March. All scholarships benefit people continuing their education in a building trade. Wisconsin Badger Builder • July/August 2010 • www.wisbuild.org
7
WBA supported the Platting and Comprehensive Planning Bill signed into law by Governor Doyle. Pictured: WBA President-Elect Don Esposito (Madison Area Builders Assoc), Sen. Dave Hansen (D-Green Bay,) and Rep. Louis Molepske (D-Stevens Point). Photo by Jay Salvo
A Strong Finish to the
Legislative Session
From carbon monoxide detector legislation to a uniform energy code, WBA stayed busy this session protecting and supporting its members.
T
he 2009-2010 session of the Wisconsin Legislature came to an end in late April. Lawmakers moved on a number of key bills that the Wisconsin Builders Association® (WBA)
Budget Wins • • • • • • • • • • • • • • • • • • • 8
1% withholding (defeated) Ag use taxation (defeated) Liability laws (defeated) Ability for municipalities to establish loans to homeowners for energy retrofit projects (passed) Ironworker licensing (defeated) Comprehensive planning (passed) Crane and heavy equipment certification (defeated) Worker misclassification (passed) Groundwater regulations (defeated) Charging fees to provide education courses (defeated) Efforts to restrict access to CCAP (defeated) Hold harmless (defeated) Multifamily meth regulation (defeated) Changes to the uniform taxation of property (defeated) Cleaner Environment: Ban on phosphorus in law fertilizer (passed) Reauthorization of the Green Tier (passed) Extra territorial zoning (passed) Shoreland zoning rule (revised) ResCheck rule (revised)
Wisconsin Badger Builder • July/August 2010 • www.wisbuild.org
supported and, even more importantly, did not take action on a number of bills that we opposed. “At a time when solutions could be found, the WBA worked tirelessly to create them,” said Representative Mike Huebsch (R-West Salem). “And, when compromises couldn’t be made, the WBA and its members remained strong advocates for their position.” In total, there were 1,686 bills introduced this session on top of a number of rules and a seemingly endless number of amendments that also needed to be reviewed to determine their effect on housing. All in all, WBA finished the legislative session very strongly. Along with the grassroots support of members like you, the association was able to usher in the passing of four pieces of legislation and was able to stop a number of other proposals that would have had a negative effect on housing in Wisconsin. “This year’s legislative session was very positive for WBA members,” said Brandon Bartow, WBA Government Affairs chair. “Thankfully, our greatly respected staff and lobbyists at WBA had an extraordinary amount of involvement during this session. The WBA was on the forefront of many discussions on bills affecting our members or amendments to bills that were more friendly to businesses.”
WBA Hits the Road Running The challenges to our journey this session began back in January 2009 when a new Democratic majority in the state Assembly took charge of that chamber for the first time since
1993. Assembly Democrats joined the Senate Democrats who had the majority in that chamber since 2007 with Democratic Governor Jim Doyle. 2010 opened up with a victory that WBA supported, requiring carbon monoxide alarms to be installed in Wisconsin homes. Spearheaded by Representative Gordon Hintz (D-Oshkosh) and Senator Dave Hansen (D-Green Bay), this initiative was part of the 2009-2010 WBA GA Agenda, which was approved by the WBA Board of Directors in October 2008. WBA’s stance was to support legislation that required existing homes to install a plug-in alarm and requiring any new one- or two-family home to install a hard-wired carbon monoxide alarm. “Throughout the process of passing SB-415, the WBA was very effective in representing its members,” said Senator Dave Hansen. “At every step of the process, WBA representatives made the concerns of their members known, but did so in a way that not only served their members well, but that also resulted in making both bills better.”
These bills mirrored the current smoke detector law, which essentially means that to comply with this new requirement, you would need to replace a smoke alarm with a “combo alarm” that acts as both a smoke and carbon monoxide detector in new homes. This new law will take effect on Feb. 1, 2011.
Timing is Everything In mid-February 2010, members came to Madison for “Business Day in Madison,” one of the most effective lobbying days that WBA holds every year to give one last grassroots push to help conclude the session. This year, the timing of the event could not have been better. The very day members arrived in Madison was the same day that the state Assembly was voting on an override of Governor Doyle’s veto of the bill to change the way the secretary of the Department of Natural Resources is appointed. WBA member involvement to prevent this veto override was critical, and those efforts paid off turning back the veto override. Continued on page 10
Recessed Dryer Exhaust Finish the Laundry Right Protect Exhaust Hose Neatly in the Wall • Eliminate One Elbow • Minimize Service Calls • Install Cleaner & Faster Model 425 — 22 Gauge Aluminized Steel Shown Painted
Make your homes safer, roomier and more efficient. With a Dryerbox®, the dryer can be placed flush to the wall without the risk of crushing the hose or restricting airflow. Model 4D (left) Downward Venting Model 425 (right) Upward Venting
888-443-7937 www.Dryerbox.com Wisconsin Badger Builder • July/August 2010 • www.wisbuild.org
9
Legislative Session
Continued from page 9 “Defeating the change to the appointment of the secretary of the DNR was probably the tightest and most successful grassroots campaign that we had from our members this session,” said Bartow. “Members and businesses came together to keep the process as it stands to retain accountability for the position.” Representative Huebsch agrees, “I have often said that no business group in the state worked harder and had members more active to fight the change to the DNR secretary from that of the governor to the DNR Board than WBA did.”
Sealing the Deal WBA members also helped “seal the deal” on two other major pieces of public policy as part of Business Day in Madison: global warming and the platting reform bill. Up until the very last day of session, the topic of global warming continued to be debated in both houses of the legislature. WBA staff made some progress talking to key members of the state Senate and highranking members of Governor Doyle’s staff, but ultimately the inability to make substantial changes to provisions dealing with the one- and two-family energy code were enough to keep WBA in opposition to this wide-ranging plan. Ultimately, the state Senate adjourned for the session without taking action on the global warming bill, and the state Assembly was forced to pull the bill from their calendar before ending their session as well. If our neighbors to the west, Minnesota, are any guide, defeat of this legislation prevented the possibility of utility rate increases in upward of 19 percent. Before concluding, the legislature did sign off on a WBA supported bill to streamline the platting process in Wisconsin.
Building professionals rely on our window and door expertise. We are Marvin Dealer Direct, and our strong product mix will meet your most demanding specifications. Choose a partner who makes you look good every time.
6524 Seybold Road Madison WI 53719 800.887.8720 • 271.8002
windowcenter.com 10
Wisconsin Badger Builder • July/August 2010 • www.wisbuild.org
Governor Doyle, Sen Dave Hansen (D-Green Bay) and Don Esposito (MABA) celebrate the passage of SB-415, which requires the installation of carbon monoxide detectors in Wisconsin homes. Photo by Annie Rubens.
This bill provides an important vesting provision that specifies that the local ordinance in place at the time a preliminary plat is submitted are the ordinances that apply to the project. “Thanks to the input from WBA representatives, I believe SB-626 will help make it easier for Wisconsin home builders to get back to work by providing greater certainty in the platting process, reducing unnecessary red tape and by setting the amount of surety at reasonable levels,” noted Senator Hanson. This is a stipulation that WBA developers have been fighting to establish for a number of legislative sessions. A special thank you to the authors of this bill, Senator Dave Hansen (D-Green Bay) and Representative Louis Molepske, Jr. (D-Stevens Point), for their work on this subject and to members John DeWitt and Don Esposito for their hard work in the drafting and lobbying effort they both put forth. Finally, WBA waged a prolonged battle to keep the one- and two-family energy code in Wisconsin uniform in all municipalities. There were efforts to allow municipalities to have a much more stringent energy code for one- and two-family homes as long as the code exceeded the current energy code as defined in the Uniform Dwelling Code. Imagine Milwaukee and Madison — and any other municipality for that matter —writing a separate energy code just for their municipality! “Builders would have to learn each energy code depending on where they were building. In a day and age when we are looking to streamline our efforts, this change would have been a huge step in the wrong direction of our efforts to keep Wisconsin housing affordable,” said WBA president Jim (Kuba) Kubasta. Thankfully, after a number of twists and turns, these proposals were turned back, and a uniform one- and two-family energy code remains the law of the land in Wisconsin.
Looking Ahead While this session has come to a close, the WBA never stops working, and the staff is currently preparing for the many battles that await them next session. According to Bartow, the next session will be just as busy. He said, “There are several issues we are keeping a close eye on including residential legislation on sprinkler systems, county vs. state regulation and mandates, Wisconsin residential code — using the Uniform Dwelling Code or International Residential Code, and rescinding the farm land conversion tax.” X
WBA Building and Legal Hotline:
Did you Know? by Patrick Stevens, General Counsel
Payment of Conversion Fees
T
he state budget, now 2009 Wisconsin Act 28, included a number of initiatives intended to help preserve farmland. This included a new conversion fee, which took effect on Jan. 1, 2010. This fee is triggered when property zoned as “exclusive agriculture” is rezoned for another use. In contrast, the property tax valuation of agricultural property is based on the agricultural use of the property and not how the property is zoned. The conversion fee amount is equal to three times the Department of Revenue assessed value for tillable cropland in the area in which the property is located, or an amount specified in a farmland preservation zoning ordinance, whichever is greater. It is worth noting that some limited development in farmland preservation zoning districts (called “exclusive agriculture” prior to the law change) is allowed and would not require an area to be rezoned. Wis. Stat. § 91.46 (2) provides that a “nonfarm” residence may be allowed as a conditional use in these districts if the following criteria are met: there can be a maximum of five residences (four nonfarm residences and one farm residence) on a “base farm tract”; the ratio of nonfarm acreage to farm acreage cannot be greater than 1:20; and the nonfarm residential parcel may not convert cropland if there is a reasonable alternative location on the property, and the nonfarm residential parcel may not interfere with the agricultural of other farmland. For a Department of Agriculture, Trade and Consumer Protection (DATCP) fact sheet that describes in more detail the development that is allowed in farmland preservation zoning districts, go to http://www.datcp.state.wi.us/workinglands/pdf/ MinStdsForNonFarmResidences10-25-09.pdf. Also, DATCP has indicated that land which is rezoned as a result of an update of a farmland preservation plan, rather than at the request of the landowner, is not subject to a conversion fee. Moreover, Wis. Stat. § 91.10(1)(d) specifies that updated farmland preservation plans are not to include “any area that is planned for nonagricultural development within 15 years after the date on which the plan is adopted.” Consequently, once farmland preservation plans are updated, land that will be developed in the next 15 years should not be included in farmland preservation zoning districts, and therefore are not subject to a conversion fee. For a DATCP conversion fee fact sheet, go to http://datcp. state.wi.us/workinglands/pdf/ConversionFeesFAQ12_17.pdf
Asbestos Regulation The Wisconsin Department of Health Services (DHS) in one of the agencies that regulate asbestos. DHS does have training and
certification requirements if you are dealing with siding that may contain asbestos. A document that describes these requirements is available at http://dhs.wisconsin.gov/ publications/P0/P00044.pdf. In addition, a guidance document specific to siding, roofing and window contractors is available at http://dhs.wisconsin.gov/publications/P0/ P00042.pdf. For more information regarding DHS’s asbestos regulations, go to http://dhs. wisconsin.gov/asbestos/index.htm.
Unemployment Insurance Audits You requested information regarding what information the Department of Workforce Development (DWD) may obtain during an unemployment insurance audit. DWD publishes a number of documents that discuss the audit process that may be of interest to you. For a document entitled “Preparing for Your Audit,” go to http://dwd.wisconsin.gov/dwd/publications/ui/audit.htm. As you will see, this document contains information relating to what records an auditor may examine, why the auditor is looking at information in addition to payroll records (certain items are considered payroll under DWD rules) and what happens if you refuse to provide access to documents. These requirements, in addition to the information required to be maintained by an employer, are contained in Wis. Stat. § 108.21. In regard to records, this section provides: Every employing unit which employs one or more individuals to perform work in this state shall keep an accurate work record for each individual employed by it, including full name, address and social security number, which will permit determination of the weekly wages earned by each such individual, the wages paid within each quarter to that individual and the salary reduction amounts that are not wages and that would have been paid by the employing unit to that individual as salary but for a salary reduction agreement under a cafeteria plan, within the meaning of 26 USC 125. Each such employing unit shall permit any authorized representative of the department to examine, at any reasonable time, the work record and any other records which may show any wages paid by the employing unit, or any salary reduction amounts that are not wages and that would have been paid by the employing unit as salary but for a salary reduction agreement under a cafeteria plan, within the meaning of 26 USC 125, regardless of the format in which such a record is maintained. Additional information published by DWD in regard to audits is available at http://dwd.wisconsin.gov/UI201/t7201.htm. Please note that the information contained in this article is general in nature and is not, and should not be relied upon as, legal advice. The WBA Legal and Building Code hotline is an exclusive benefit to members of WBA. Go to www.wisbuild.org for more information. X Wisconsin Badger Builder • July/August 2010 • www.wisbuild.org
11
Builder profile
Degnan Design Builders Inc. Abe Degnan’s design-build background, focus on involvement and commitment to green building and energy efficiency combine to create customer satisfaction.
A
be Degnan grew up doing roofing jobs and cleaning up job sites for his dad, who started a remodeling business in 1981. As his interest in building grew, Degnan began to get more involved with learning about building by working with his dad and at school. In middle school, Degnan took a CAD class. “I thought it was really cool,” he said. “I started working on computer drafting and decided I wanted to be an architect.” Degnan received his architecture degree from the University of WisconsinMilwaukee and started working as an architect. Degnan soon realized the do-it-yourself builders and pick-up truck remodelers he was working with weren’t giving him the results he was looking for, because they weren’t following his designs. In 1998, he decided to become a part of his father’s remod-
Business Quick Facts • Years in Business: 29 • Local Association: Madison Area Builders Association • Association Involvement: Current president of the Madison Area Builders Association, WBA Remodelers Council • Recent Awards: Named one of the Big 50 by Remodeling Magazine, Dane County Small Business Award, numerous A Cut Above the Rest Awards from WBA Remodelers Council • Must-Haves for the Jobsite: Notepad, camera and Smartphone 12
Wisconsin Badger Builder • July/August 2010 • www.wisbuild.org
eling and new home construction business. Since that time, Degnan and his father have worked together to transition the business from the first generation to the second.
Overcoming Obstacles “That’s a major challenge in a family business,” Degnan said. “It can be difficult to integrate the generations and make changes in business operations.” Degnan and his father have successfully worked through the transition and everyone involved has benefited. Degnan Design Builders also faces the many challenges of working in the building industry. “Other challenges include the economy, lack of consumer confidence, and negative attitudes toward our industry from some local government officials and offices,” Degnan said. Despite the challenges, Degnan Design Builders have set themselves apart by being adaptable to changes in economic conditions. “We’re a small company, and have made the changes we’ve needed to in order to remain viable in different economic conditions,” Degnan said. “I also think our focus and leadership in green building and energy efficiency are important to our clients,” he continued. Degnan Design Builders builds Wisconsin ENERGY STAR® homes, is involved with Green Built Home and follows ENERGY STAR® remodeling standards.
Focusing on design-build is also a unique feature for the company’s clients. “There are a lot of companies that call themselves design-build firms, but few actually have architecture training. We have that component to back up our name as design builders,” Degnan said.
Make the Most of Your Involvement Association involvement is essential in keeping up with changing trends and getting new ideas. Degnan said, “Association involvement has given me the opportunity to openly collaborate and share information with other remodelers and builders.” Degnan feels that involvement in the WBA Remodelers Council has been the most important part of his membership. “I’ve been able to meet other remodelers who are not my direct competitors and collaborate with them.” Degnan recommends making the most of your membership. “Just paying membership dues alone doesn’t give you everything you can get out of being a member. The state, local and national builders associations value every member, but members aren’t getting every bit of what they can until they get involved in committees and boards at any or all of the levels.” Degnan is also involved in his community. He served three terms on the Village Board and continues to be involved in the Redevelopment Authority and the Board of Zoning Appeals. He was also a high school youth group leader and is now a Sunday school teacher at his church. Degnan and his wife Lisa have three children: Zachery, 7; Dylan, 5; and, Cora, 4. X
Wisconsin Badger Builder • July/August 2010 • www.wisbuild.org
13
Beyond Health Insurance Member
Advantage
by Karl Johnson, Vice President, WBA Insurance Services have been writing articles for Badger Builder for four years now, and I realized many of you reading these articles may wonder “What is WBA Insurance Services, and increasing profits. Diversified Insurance and as a member of my local, why do I care?” Services is one of the leading supporters of the WBA Insurance Services is nothing like it was Continental Western WBA program that continwhen I arrived, so it’s high time I answer the ues to provide outstanding benefits to members questions: “What is WBA Insurance Services?” and a pretty sweet dividend check every year. There is so much and “Who is this Karl Johnson guy?” Another one of our new partnerships has WBA Insurance Services was created over 15 enabled us to provide you with the best Business more going on at years ago. We are a wholly-owned subsidiary of and Retirement Planning. WBA Insurance the Wisconsin Builders Association® originally Services has partnered with Paul Woita and David WBA Insurance created to provide home warranty products for Hopkins of Woita and Associates, and they now members of the WBA. As time went by, our officially represent WBA Insurance Services Services, but if I focus turned to health insurance, and today and provide valuable services for our members. we are a full-service insurance agency providTogether, they have over 35 years of experience keep going, I’ll run ing members, their companies and their famiin providing customers with retirement planning, lies with a variety of insurance services from investments, life insurance, succession planning, out of space! workers’ compensation and health insurance to buyouts, buy/sell agreements and so much more. personal life insurance and business and retireTogether we have the knowledge and the tools to ment solutions. protect you, your family and your business. The cornerstone of our agency is our association There is so much more going on at WBA health plans. Since 2001, WBA Insurance Services Insurance Services, but if I keep going, I’ll run out has partnered with WPS Health Insurance to provide association of space! One of the biggest purposes of WBA Insurance Services member plans. One of the key benefits of these plans is giving the is to provide the association with non-dues revenue so they can thousands of sole proprietor members of the WBA the option of accomplish the goals set forth by the members of the WBA. Since purchasing a guarantee issue group health insurance plan. On top 1994, we have provided roughly $1.5 million in non-dues revenue. of that great benefit is the unique plan designs, the ability to choose The bottom line is doing business with WBA Insurance Services your provider and see who you want to see when you want to see not only helps your business because of the quality products and them, as well as the outstanding claims and customer services that services we provide, but it also helps your company by supporting come with doing business with WPS. your industry’s biggest advocate — WBA! In 2008, we introduced a new association plan through So what about this Karl Johnson guy? Who the heck is he, and Arise Health Care. Arise is a subsidiary of WPS. Many of the why would I want to work with him? Here’s the dirt on me! I grew benefits are the same. One key difference is Arise is a Health up in a small town, Fort Atkinson, Wisc. I spent a lot of weekends Management Organization or HMO. These plans offer all the with family in Chicago. That’s right, I’m a huge Chicago fan, but same service benefits as WPS but in a more targeted part of the in the best interest of business, imagine me as a Packer fan! After state with a narrow network. Arise is available to members in the graduating from Edgewood High School in Madison, Wis. in June northeastern and Wausau areas of the state. 1997, I enlisted in the United States Marine Corps. After four of the WBA Insurance Services is now going beyond health insurance. best and proudest years of my life, I began my career in the insurThrough our various partnerships, we now offer the following new ance industry working for WPS Health Insurance. After a brief stint services: Property and Casualty Insurance (P&C) also known as in the wholesale flooring industry, I began my career here at WBA commercial insurance, Business and Retirement Planning, HR Insurance Services and the WBA. I currently live with my beautiServices, and Disability and Accident Insurance through Aflac®. ful wife Terra in Columbus, Wis. We enjoy spending time with our One of our new partnerships has enabled us to introduce furry children, our families and, of course, watching my beloved WBA Insurance Services’ Commercial Insurance powered by Chicago Bears and Cubs lose week after week! Diversified. Because of this partnership with one of the largest Now that you know what WBA Insurance Services and who P&C agencies in the state, we can now handle all of your P&C Karl Johnson are, we would like to get to know more about needs. With our partners at Diversified, we have Safety and Loss you and your company! Call us today to set up an appointment Control teams and the Academy of Risk Management. These or to learn more about what we have to offer. Visit our Web programs are here to help your company learn how to avoid site, www.wbainsurance.org, and please give WBA Insurance risk and avoid losses at your company, thus saving you money Services the opportunity to earn your business. X
I
14
Wisconsin Badger Builder • July/August 2010 • www.wisbuild.org
Local Association
Parade of Homes/ Home Shows
Brown County
Sept. 18-19 & 23-26, 2010 Showcase of Homes
Central Wisconsin
Sept. 10-12, 2010
Chippewa Valley
June 12-20, 2010
Golf Outing/BBW
Other Events
Education ABCs at the HBA 3rd Tues of month. Continuing Ed offered monthly at BCHBA
July 14, 2010, The Woods Golf Links
Continuing Ed offered during some GMM’s July 16, 2010
See calendar at www.cvhomebuilders.com
Door County
Sept. 9, 2010 Golf Outing and PAC Auction
Dec. 9, 2010 Installation & Holiday Party
HBA of Fond du Lac & Dodge Counties
June 28, 2010
Monthly
Aug. 27, 2010
Continuing Ed offered during some GMM’s see www.headwatersbuilders.com
Golden Sands Headwaters Heart of the North
Nov. 13, 2010 Installation & Holiday Banquet
Sept. 18-19 & 25-26, 2010
Continuing Ed offered during some GMM’s
La Crosse Area Lakeland
July 31-Aug 1, & Aug 7-8, 2010
Madison Area
June 12-27, 2010 Parade of Homes
Manitowoc County
June 24-27, 2010
Metropolitan
Aug 21-Sept. 12, 2010 Parade of Homes
Mid-Shores
Oct. 1-3, 2010 Parade of Homes * Feb. 18-20, 2011 Home & Garden Expo
See calendar at www.lakelandba.com July 13, 2010 Lake Windsor Golf Club
See calendar at www.maba.org
Commerce Approved 12-Hour Course DVD available. $130 for HBA members, $225 for non-members at www.MBAonline.org. Dec. 3, 2010 Live Auction
Aug. 25, 2010 Trap Shoot, Sept. 21, 2010 Legislative Panel, Dec. 3, 2010 Installation & Holiday Party
Mid-Wisconsin
Sept. 30, 2010 Voyager Village Golf Club
Northland Area
Networking Nights First Tuesday of the month Contact NABA office for location 5:30 pm Social Hour 6:30 pm Dinner with guest speaker to follow Dec. 2, 2010 Installation, Sept. Parade of Playhouses, Monthly Member Mingles
Racine-Kenosha
Sept. 11,12,15,18 & 19, 2010 Parade of Homes * March 2011 Home Show
Sheboygan County
Sept. 10-12 & Sept. 17-19, 2010 Parade of Homes * April 1-3, 2011 Home Expo
June 16, 2010 Riverdale Golf Course
South Central Wisconsin
Sept. 11-12 & 15-19, 2010 Parade of Homes * Feb. 25-27, 2011 Home Show
June 18, 2010 Koshdonong Mounds Golf Course * Oct 26, 2010 Silent Auction
July 28, 2010 Brewer Bus Trip
go to www.scwbaonline.com
St. Croix Valley
Sept. 11-12, 18-19, 25-26 & Oct. 2-3, 2010 Fall Tour of Homes
July 19, 2010 New Richmond Golf Course
June 22, 2010 Fishing Tournament. Dec. 14, 2010 Holiday Banquet
Education classes posted on www.scvhba.com
Valley
Aug. 14-22, 2010 Parade of Homes
July 15, 2010
June 18, 2010 Fishing Outing. July 29, 2010 Motorcycle Ride
Various -- visit www.vhba.com for schedule
Wausau Area
June 1-6, 2010
Winnebago
April 8-10 & 15-17, 2011 Parade of Homes * March 11-13, 2011 Home & Garden Show
Monthly
Monthly
South West Wisconsin
Wolf River
Oct. 13, 2010 Auction, LaSure’s Banquet Facility Aug. 10, 2010 Golden Sands Golf Course
See calendar at www.whba.net Oct. 12, 2010 Installation
See www.wolfriverbuilders.com
rev.5/6/10
Wisconsin Badger Builder • July/August 2010 • www.wisbuild.org
15