MARCH / APRIL 2013
INSIDE THIS ISSUE From the President..................... 2
OMB Hosting 3 Home Shows This Spring
From the EO............................... 3 New Homes Pay Their Way......... 5 Impact Fees Implemented......... 13
The Olympia Master Builders (OMB) is producing three Home Shows this year, and they are kicking off right away!
OMB Big Home and Garden Show The OMB Big Home & Garden Show will be held at St. Martin’s University on April 13 and 14. Traditionally, the OMB BIG Home & Garden Show has been held in the fall. However, many vendors have requested a spring show date, and the facility at Saint Martin’s finally had an opening to move the event.
Five Counties Strong
Serving
Nothing But Networking April 2 at 6:00 p.m. hosted by
Thurston, Lewis, Grays Harbor, Pacific & Mason Counties
BUILDING STRONG COMMUNITIES ONE HOME AT A TIME. 1211 State Avenue NE Olympia, WA 98569 360-754-0912 800-456-6473 www.omb.org
Some new elements will be at the show See “Shows” page 10
Housing Summit Review See page 7
“This is a great time of year for a Home Show, and homeowners will be motivated to make changes and improvements to their home,” commented 2013 Home Show Chair, Ross Irwin of Cabinets by Trivonna.
5210 Lacey Blvd. SE Lacey, WA
No Cost & No Need to Register Just show up for great networking!
REX Award Winners at May GMM The May 7 general membership meeting will feature the Remodeling Excellence Award winners.The power point presentation will show before and after photos of the winner’s projects. The event will be held at Indian Summer Golf & Country Club starting at 6:00 p.m. Cost to attend is $25 with a reservation and $30 at the door. To make your reservation call the OMB office at 360-754-0912 before May 3.
From the President
Housing = Jobs By John McKinlay President
March General Membership Meeting and he showed us in great detail exactly how the home building industry creates jobs and generates taxes for local governments.
All of us in the home building industry understand the important role our industry plays in creating wage earning jobs for families in our community, and generating taxes for our local governments.
Elliot explained how the 312 homes built in Thurston County in 2012 created 1107 local jobs and generated $65.8 million in local income and $11.2 million in taxes and other revenue for local governments. He went on to explain how those 312 houses will continue to generate each year after they are occupied $9.7 million in local income and $1.9 million in taxes and other revenue for local governments. (For more details on these numbers, see Angela White’s column on page 5.)
On March 12 Elliot Eisenberg, Ph.D., was the featured speaker at both the 2013 Housing Summit and the
In his entertaining and captivating way, Elliot explained to us the difference between the jobs created and the revenue generated between the three phases of the home building cycle and how those revenues more than pay for the costs associated with new home construction. Phase I – Local Industries Involved in Home Building The jobs, wages and local taxes (including permit, utility connection, and impact fees) generated by the actual development, construction and sale of the home. Phase II – Ripple Effect The wages and profits for local area residents earned during the construction period are spent on other locally produced goods and services. Phase III – Ongoing, Annual Effect The local jobs, income, and taxes
generated as a result of the home being occupied. At the end of his presentation, Elliot showed a chart that compared the revenue to local government from the construction of the 312 homes last year compared with the associated costs to local government to provide education, fire and police protection, parks, public transit, roads and other infrastructure needs. The result: here in Thurston County the revenue generated from the construction of the 312 homes last year more than paid for the associated costs of those homes. This is a message we will be getting out to all of the local elected officials in Thurston County this year to help them understand the important role housing plays in our local economy. If you would like a copy of the presentation, please go to www. omb.org.
Save the Date for
Golf!
Thursday, June 13 Links Course at Hawks Prairie Golf Course
Sponsored by:
Sponsorship opportunities are available call Tony at the OMB office 360-754-0912.
Olympia Master Builders / Chalk Line
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March / April 2013
From the Executive Officer
NASCAR and OMB By Laura Worf Executive Officer
My husband is a big fan of NASCAR. Me, not so much. To my untrained eye it just seems to be a bunch of fast, noisy cars going around and around and around on a track for hours on end. I tell him to let me know when they get down to the last five laps, because that is when all the action happens – the wrecks, the jockeying for position, and the final thrill of the win. My husband has tried many times to explain the complexities that make watching those endless laps an absolutely fascinating experience, but I’m just not interested in learning the details. In a lot of ways, NASCAR races remind me of life here at Olympia Master Builders (OMB). To the “untrained eye”, it would appear that we go around and around and around in circles making a bunch of noise, and motion, with no results – that is until we get down to the last five laps or so. While I may not understand (nor have any desire to learn!) all the complexities of NASCAR, I do know that the success of a NASCAR race winner has a lot to do with a number of factors – the skill of the driver, the strength of the car, the agility of the pit crews, the funding from advertisers/sponsors, the vision and passion of the owners, the weather, the conditions on the track, etc. And, in many ways, those same factors have a lot to do with our success here at OMB.
March / April 2013
Whether we’re talking about the 2013 Housing Summit, the three home shows OMB will be hosting in April and May, the Mazama Pocket Gopher issue, fighting impact fees, or OMB’s Education Program, it can seem to the “untrained eye” that we are just going around and around and around in circles making a lot of noise.
keep the OMB engine running. They are on alert during their monthly meetings to make any changes necessary to keep the OMB event and/or program running smoothly because they know how necessary their efforts are to delivering a winning event and/or program. Staff – OMB staff are the professionals who have been hired to drive the OMB vehicle. It is their job to deliver the goods, but it is impossible for them to do that without members support – policy decisions by the
But, if you take a closer look here is what you will see: Board Strategic Planning Session – Nearly 20 members of OMB’s board spent an afternoon in February updating OMB’s strategic plan. Those board members had a “trained eye” and did not see this time commitment as going around and around and around in circles, but they saw it as providing valuable vision, passion and strategic direction for OMB to stay in the race.
board, committee involvement, advertisers, sponsors etc. The moral of this story – be open to input from other OMB members and staff about the complexities of OMB and the housing industry. If they ask for your help in your area of expertise, even if it looks to you that we are going around and around and around in circles, be willing to become a “trained eye” and understand the complexities. With your involvement, we will win more races!
Mosier-Vaudt Named to NAHB Society of Honored Associates
Advocacy Work – Right now we are in the final five laps on a couple of regulatory issues. By this fall we will know if the US Fish and Wildlife Service is going to list the Mazama Pocket Gopher as a threatened species.
Linda Mosier Vaudt, general sales manager for Probuild in Olympia, has been named to the Society of Honored Associates by the National Association of Home Builders (NAHB). Mosier Vaudt was honored during the 2013 NAHB International Builders’ Show in Las Vegas this week.
For the past few years, OMB and other community groups have worked hard on this issue. Some may have viewed those efforts as I view the first several hours of NASCAR – as a huge waste of time.
A limited number of product manufacturers, suppliers and service providers for the home building industry are honored each year with elevation to the Society of Honored Associates. The society recognizes those associate members of NAHB whose contributions of time and talent benefit all members and the industry itself.
However, now that we are nearing the finish line, people are paying attention. Our challenge – how to get members to understand the importance of those many “boring” laps and the importance of being involved in order to effect the outcome of the last few laps.
Mosier Vaudt actively volunteers with both Olympia Master Builders and the Building Industry Association of Washington, serving on associate committees as well as participating in legislative and
Committee Work – OMB’s committees are like the NASCAR pit crew. The members of the committees provide their areas of expertise to 3
Linda Mosier-Vaudt, CGA, CGP, CAPS advocacy groups. In 2007, she was named state Associate of the Year. “Every home builders association needs a member like Linda,” said NAHB Associates Committee chair Dianne Beaton. “She’s been a tireless recruiter as well as a spark to encourage other members to volunteer and get active in the industry.”
Olympia Master Builders / Chalk Line
Government Affairs Report - The Latest Highlights Olympia Master Builders (OMB) is currently working on and/or monitoring several issues related to the building industry. Visit www.omb.org to see a list of issues. Below are a few recent highlights which include links to further information. To easily access these links go to the online version of Chalk Line at www.omb.org/news.
City of Olympia Shoreline Master Program
Thurston County Impact Fees
The City of Olympia’s City Council released a draft of the SMP on January 8, 2013 with a public hearing held on January 22, 2013. Written comment was accepted until February 5. OMB testified at the public hearing and submitted written comments. The City Council is in the process of reviewing public comment and implementing additional changes to the document. The City Council has set a goal of forwarding the SMP to the Department of Ecology by the end of April.
OMB members and staff worked hard testifying against implementing impact fees in Thurston County, unfortunately the Commissioners voted yes to implementation in December. The Commissioners set the date of implementation for April 2, 2013. If a builder has submitted a completed application by April 1, 2013 they will not have to pay impact fees on that project.
Thurston County Shoreline Master Program
City of Shelton Shoreline Master Program
Thurston County’s Planning Commission has listed the County’s Shoreline Master Program (SMP) on their work agenda for 2013. The County took a hiatus on work on their SMP while their staff focused on the Critical Areas Ordinance which wrapped up in December of 2011. OMB will continue to monitor work on the SMP and take action when necessary.
The City of Shelton is in the process of updating their Shoreline Master Program. They organized a Citizen’s Advisory Committee and OMB participated on the committee. City staff will be formally presenting the draft update to the Shelton City Commission at an upcoming retreat and will be requesting that the Commission set a public meeting/workshop for a formal public presentation before the Commission. This public meeting may take place as early as April 1st.
Mazama Pocket Gopher-Thurston County
Lewis County Impact Fees
OMB is participating with a Coalition made up of public and private participants to deal with the potential federal listing of the Mazama pocket gopher. Public comment was accepted until February 11th. OMB submitted comments as part of the Coalition. OMB will continue to engage as part of this process.
Lewis County held a public hearing at the end of November on implementing impact fees in the County. The County is looking at impact fees due to a proposed fully contained community that would be outside of the initial designated urban growth areas. State RCW 36.70a.350-New fully contained communities, states that impact fees must be established to allow these fully contained communities. The County staff will be starting outreach efforts with affected groups to try and reach a solution. Lewis County President Erik Jensen and OMB staff took the steps to form a working Coalition, including the Port of Centralia and the Economic Development Council and the Centralia-Chehalis Chamber of Commerce.
For more information about any of these issues, contact OMB’s Government Affairs Director, Angela White at 360-754-0912 or email Angela@omb.org.
Mason County Shoreline Master Program Mason County is in the process of updating their Shoreline Master Program (SMP). The City arranged a Citizen’s Advisory Committee to help review and evaluate the SMP. OMB member Paul Muldoon, was appointed and served on the Citizen’s Advisory Committee. The document was passed on to the Planning Commission in February, 2013. The Planning Commission is now in the process of deliberating on the document. Visit http://www.co.mason.wa.us/community_dev/shoreline_master_program/ for additional information.
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March / April 2013
Government Affairs Report
New Homes Pay Their Way in the First Year By Angela White Government Affairs Director
As part of the 2013 Housing Summit, we worked with the National Association of Home Builders (NAHB) to produce a local impact of home building study using a comprehensive economic model analyzing new single-family. Since it’s inception in 1996, NAHB has used their economic model to produce quality estimates of the impacts of construction for over 700 projects, local jurisdictions, metropolitan areas, non-metropolitan counties, and states all over the country. Our featured speaker, Elliot Eisenburg, P.h.D, used the data specific to Thurston County in 2012 during his presentation at the 2013 Housing Summit. The model lays out the effect of construction into three stages. Below I will break the numbers down into the three stages for Thurston County; which includes all the cities and towns within Thurston County as well as the county itself.
vacationing etc. by removing it from the calculation.
For decision makers and elected officials, here is the most important piece of information to remember-in Thurston County new single family homes pay for themselves in the first year with a substantial net gain!
The next phase is occupancy. This phase will bring in an additional $9,786,700 in local income and $1, 859,700 in local taxes along with 183 permanent jobs for each and every year that a home is occupied.
The net gain is so substantial that housing would still pay for itself if jurisdictions discontinued impact fees. Impact fees have been put
The above impacts were calculated assuming that new single-family homes built in Thurston County have an average price of $285,833 which includes $25,000 in impact and other fees paid to local governments; are built on a lot for which the average value of the raw land is $17,500; and incur an average property tax of $2,654 per year.
My last thought to take away from this information is that 2012 was not a good year for construction. Imagine what the net gain would be if 600 homes had been built.
The Three Phases of Economic Impact Housing Brings to Thurston County
Dr. Eisenburg addressed the fact that new homes require infrastructure which results in a cost to local jurisdictions. The first year capital cost on a new home is $11,854; this includes roads, fire stations, police stations parks etc. The yearly expense of a home is $3,201; this includes education, water supply, fire protection, recreation, etc.
based on 312 houses built in 2012
DIRECT CONSTRUCTION PHASE
• $42,250,900 in local income, • $9,300,800 in local taxes and • 687 jobs.
RIPPLE EFFECT
The direct construction phase of building 312 single family homes in 2012 was $42,250,900 in local income, $9,300,800 in local taxes and 687 jobs.
This number is representative of what Thurston County government has to provide for; it does not include the portion of the cost for these items already paid for by taxes transferred to Thurston County governmental bodies from the State of Washington.
The ripple effect is when the income and wages earned during the construction phase are spent in the local economy. This ripple effect created an additional $23,587,100 in local income, $1,924,900 in local taxes and 420 local jobs. This is still in the first year of construction. Keep in mind, the model accounts for the money leaving the County from the purchasing of product and goods produced elsewhere, people
Now let’s take a look at the income versus expenses associated with new homes. For the 312 new homes built in 2012, over the first year the net gain after subtracting the expenses of $4,368,800 from the revenue generate of $12,155, 600 is $7,786,800. Each year after that the revenue generated is $1,859, 700 minus the outgoing yearly cost of $998,600 resulting in a surplus of $861,100.
OCCUPANCY
March / April 2013
in place on a false assumption that new homes don’t pay for themselves and home owners need to provide extra money to cover the cost of infrastructure. Clearly this is not the case.
PHASE of direct construction • $23,587,100 in local income, • $1,924,900 in local taxes and • 420 local jobs. PHASE annually occurring • $9,786,700 in local income and • $1, 859,700 in local taxes and • 183 permanent jobs Source: The Metro Area Impact of Home Building in Olympia, Washington, NAHB, February 2013
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Olympia Master Builders / Chalk Line
Possibilities Abound When You Enter REX Competition By Sally Darrow Bookkeeper/ Education Coordinator
May is an exciting month here at Olympia Master Builders (OMB). It’s always the time when the Remodeling Excellence Awards are presented at the May general membership meeting. If you are a Remodelers’ Council member you have the opportunity to enter this competition. There are many different categories that can be entered, such as: Exterior, Kitchen, Bath, Addition, Commercial, Entire House and Overall Design Excellence. Each category has several subcategories which have a top dollar amount for each remodeling project. Each entry must have been completed after January 1, 2012 and have before and after photos of the remodeling project, a description, floor plans, and the cost of the project and the entry form with payment. Categorize your photos on a disc and bring all the information to the OMB office. Entry forms can be found on www.omb.org. You
can enter as many categories as you like, but entries must be received by 5:00 p.m. Friday, April 5, 2013, no exceptions.
all winners are featured in the Chalk Line, Chalk Talk, the OMB web site, The Olympian and the Remodel Now
OMB has the same REX entry format as the Building Industry Association of Washington’s (BIAW) Excellence in Remodeling. This makes it easy for you to enter both competitions. The BIAW’s deadline is April 26, 2013.
magazine. What great exposure for you and your company for such a small price.
Remodel Now Magazine is a Great Marketing Tool The 2013/2014 Remodel Now magazine is starting production. This innovative, full color, information filled publication serves as a valuable marketing tool for Olympia Master Builders members.
All projects will be judged by a panel of industry experts from various fields of expertise. Entries are judged on Aesthetics; Special or unique design solutions; Quality workmanship; Challenges and/ or obstacles; Budgetary consideration; Use of appropriate building materials.
and photos for multiple projects.
Total press run is 35,000. 25,000 will be inserted into The Olympian and 10,000 will be handed out at OMB’s three home shows, and to advertisers, and be on hand at the The magazine provides valuable OMB office. consumer content to inform and illustrate different remodeling proj- Call Karen McClennen for advertisects including specific information ing information at 360-570-0745.
Last year OMB received 14 entries and there were ten winners announced at the May general membership meeting. Each winning entry’s project with before and after photos is featured in a power point presentation during the meeting so everyone there will see the project and what it entailed. So, what’s the benefit to winning a REX award? Besides the recognition at the general membership meeting
REX Award Entry Deadline April 5 If you completed a remodel project after January 1, 1012, are a Remodelers’ Council member, and you took before and after photos you may want to enter the Remodeling Excellence (REX) Awards. Entry fees are $75 for the first project and $50 for each additional entry. For a REX entry form and more details go to www.omb.org or call the OMB office at 360-754-0912. Olympia Master Builders / Chalk Line
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March / April 2013
2013 Housing Summit: What Housing Brings to a Community Master Builders and the Thurston County Realtors® Association.
Keynote speaker Elliot Eisenburg, Ph.D. The 2013 Housing Summit took place on Tuesday, March 12 at the Norman Worthington Conference Center, St. Martin’s University. This event was presented by Olympia
This year’s featured guest speaker was Elliot Eisenburg, Ph.D., a nationally acclaimed economist who has been featured in Bloomberg, Business Week, Forbes and Fortune. “We had a special treat this year bringing Elliot Eisenburg to the Housing Summit,” said President John McKinlay, “Elliot brings an otherwise somewhat dry topic to life.” Eisenburg focused on the positive impact of home building in Thurston County and showed how housing pays for itself. Photo above from left: Phil Harlan of Keller Wiliams, Heather Burgess of Phillips Wesch Burgess, PLLC and Jon Jones of Washington Business Bank.
The event also featured two roundtables moderated by Jim Hebert
See “Summit”
page 13
QUALITY YOU CAN SEE. A NAME YOU CAN TRUST.
Why Us? •
Panelists (from left): Tim Dickey of Accessible Living Concepts and Dickey’s Remodel and Repair, Pat Pieroni of Virgil Adams Real Estate and Jerry Wilkins of Northwest Multiple Listing Service.
• •
The largest selection of garage doors and openers to choose from in the area We repair and service all makes and models Free estimates & on-site consultations!
(360) 491-8003 www.olydoors.com Realtors, bankers, elected officials, and OMB members listened attentively.
March / April 2013
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Olympia Master Builders / Chalk Line
Membership Report
Networking? Work It! By Tony Brooks Membership Marketing Director
The old adage “you need to make contacts in order to make contracts� has never been truer. And after years in sales the one thing I have learned is that people want to do business with those they know and like, and in order to get to know people you have to make contact. Since coming to Olympia Master Builders (OMB) I have had the privilege of meeting many members and
have been able to visit some of you out at your place of business. However at an OMB Networking Event I can meet as many as 20 to 40 business people and get to know two or three more personally in the same time it takes to make one sales call.
February and will continue on the second Thursday of each month. Wo u l d yo u like to host a Coffee Connection? All you need to do is provide coffee, tea, donuts or some light refreshment and open your doors a little before 8:00 a.m. The time is informal and fun with the opportunity to win a door prize, meet members and exchange business card.
This does not replace a personal visit but it does help me target what places to visit and enhances those efforts. The same is true for you and your business. When you attend an OMB networking event you have the opportunity to make a lot of contacts in a short amount of time. One of our new networking events is Coffee Connection which started in
Here are a few ways you can get involved and promote your business: 1. Come to Coffee Connection on the 2nd Thursday of the month at 8:00 a.m. 2. Donate a door prize. I will announce who it is from and introduce you to the group. The better the
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prize the more they will remember you! 3. Host the networking event at your business. We invite the entire membership and you can invite your customers to learn about OMB. Get the opportunity to feature your business to a group of potential customers and members who may refer business your way. For more information on Coffee Connection or how to donate a door prize or host the event, contact Tony Brooks at tony@omb.org or call 360-754-0912.
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March / April 2013
Cornerstone Partners
Cornerstone Partners recognizes member companies whose financial support have made our association programs possible. For more information on how your company can be recognized as a Cornerstone Partner, email Tony at tony@omb.org or call (360) 754-0912.
GRANITE Sponsors QUARTZ Sponsors MARBLE Sponsors
Abbey Capital Floors • Cabinets By Trivonna • Fastsigns • House Brothers Construction, Inc. • Johnson Custom Homes, LLC • 96.9 KAYO & AM 1240 • KGY • Kugel Corporation • Lew Rents Company • Lexar Homes • Mixx 96.1 KXXO • O Bee Credit Union • Olympia Construction, Inc. • Olympia Federal Savings • Scott Homes, Inc./Northwest Energy Team • Sunset Insurance Agency, LLC • TwinStar Credit Union
OMB Cornerstone Partners Olympia Master Builders (OMB) is supported by many wonderful members and there are many reasons why builders and associate join OMB. Some join for the educational opportunities, cost savings through the Building Industry Association of Washington (BIAW) Health Insurance Program, L&I rebate program through ROII® Select, advocacy work through Government Affairs,
and in reaching out to government officials to help keep housing affordable.
networking opportunities, cost savings through National Association of Home Builders (NAHB) discount programs, access to information and news regarding the housing industry, or wanting to participate in our many events throughout the year.
There are those who contribute over and above to the cause of OMB through sponsorships and media advertisements that helps us to bring high quality programs and publications to our entire membership and we would like to thank those who we call “OMB Cornerstone Partners.”
Whatever your reason may be for joining OMB, your dues are hard at work to produce events and other avenues that help your business,
There are three levels of OMB Cornerstone Partners: Marble, Quartz and Granite. If you are interested in becoming an OMB Cornerstone Partner please contact OMB’s Membership Marketing Director, Tony Brooks at 360-754-0912 or tony@ omb.org to discuss how you can maximize your exposure and benefit with advertising and sponsorship.
Printing is more than Ink on Paper... 7009 Martin Way PO Box 3309 Lacey, WA 98509 (360) 456-4545 www.abcprinting.net It’s the quality in craftsmanship that goes into every job we print.
March / April 2013
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Olympia Master Builders / Chalk Line
“Three Home Shows” this year. Event sponsor Rebuilding Together Thurston County is helping to bring Mark & Theresa from MyFixItUpLife to the show! Mark & Theresa are a husband and wife duo who host a web radio show, a blog, and are frequent contributors to the DIY Network. They will be giving presentations on “How to DIY Together: How to happily work with your significant other on a DIY project without the headaches, hassles and heartache” on the Scott Homes Main Stage. During the rest of the event, Mark & Theresa and team will be building a play structure in the lobby during the event. The structure will be raffled off at the end of the event. In addition, the tools used to create the structure will be auctioned off in a silent auction, with proceeds from the raffle and auction to benefit Rebuilding Together Thurston County.
Bark-a-Tecture and Catscapes is back, building on the success of last year’s partnership with Concern for Animals. Members and volunteers who want to show off their doghouse and cat tree building skills will have their creations on display at the event, where the public can vote (with their dollars) for their favorite.
Home & Remodel Show.
6:00 p.m. on Saturday, and 10:00 a.m. to 5:00 p.m.on Sunday. Cost is $5.00 per person, and kids 12 and under are free. Saturday is Military Day: all active or retired military gets half-off the regular admission with a valid military ID. Sunday is Senior Day: seniors get half-off the regular admission all day. There are also $2.00 off coupons available at vendor locations, or on the OMB website.
Show hours for the Lewis County Home & Remodel Show are 10:00 AM to 5:00 PM on Saturday, and 10:00 AM to 4:00 PM on Sunday.
Grays Harbor Home & Garden Show The final show in the OMB 2013 Home Show season is the Grays Harbor Home & Garden Show, being held on May 18 & 19 at the Grays Harbor County Fairgrounds in Elma. This is a free show for attendees. This show is held in partnership with the WSU Master Gardeners of Grays Harbor County. It has been a nice long-time draw for the community, as there is a full complement of vendors for all aspects of the home,
The Olympian.
Lewis County Home & Remodel Show The Lewis County Home & Remodel Show will be held on April 20 and 21 at the Southwest Washington Fairgrounds in Chehalis. This is a free show for attendees. “This year the fairgrounds will be hosting the “Home
Also returning this year is the Student Design/Build contest. Local high school students have been given the opportunity to submit a set of plans and a scale model to be judged on predetermined criteria by a panel of industry experts. Scholarship prizes are available, as well as the opportunity to interview for an internship with an OMB member. Student designs and models will be on display at the show. Show hours are from 9:00 a.m. to
Thank you to the Grays Harbor Home & Garden Show sponsors: House Brothers Construction and Jodesha Broadcasting.
for a booth at the
BIG OMB Home and Garden Show
County
w Lewis odel Sho e & shiRngetonmFairgrounds in Chehalis Hom uthwest Wa So
Show hours for the Grays Harbor Home & Garden Show are 10:00 AM to 5:00 PM on Saturday, and 10:00 AM to 4:00 PM on Sunday.
There is still time to register
unty LewisChaptCo er of
Prior to the show, doghouses and cat trees will be on display at Westfield Capital Mall. After the BIG Home & Garden Show, all creations will be donated to Concern for Animals and auctioned off to the highest bidder at a later date.
inside and out. A speaker schedule is currently being developed, and will feature vendors at the show and WSU Master Gardener volunteers, speaking about their particular area of expertise.
Thank you to the Le w i s C o u n t y Home & Remodel Show sponsors: MDK Construction, Inc.; Twin Star Credit Union, Lexar Homes and The Chronicle.
Thank you to all the BIG Home & Garden Show sponsors: Olympia Overhead Doors, Rebuilding Together Thurston County, Scott Homes, KAYO FM, KGY AM, and
A complete speaker schedule, with the full line-up of speakers and topics can be found at www.omb.org.
continued from page 1
April 13 & 14
m. a.m. to 5 p. April 20 - 10 4 p.m. to . m a. April 21 - 10
the Lewis County Home & Remodel Show
Don’t miss
“Home Sw the eet Home Antique Also at the Show!” Fairgroun ds.
April 20 & 21 S po ns or ed
and the
ISSIOatiN on ADM FRmoEE and inform re details rg for
Grays Harbor Home and GardenShow.
b.o it www.om
vis
Sweet Home Antique Show” in coordination with our show. This should prove to be a mutual draw, and increase attendance to both events,” commented Rick Borovec, Twin Star Credit Union and Chair of the 2013 Lewis County
Olympia Master Builders / Chalk Line
May 18 & 19
Contact Tony at the OMB office. 360-754-0912 or tony@omb.org. 10
March / April 2013
OMB Class Schedule
Except where noted to register call the BIAW at 360-352-7800 March 20 - First Aid CPR 8:00 a.m. to Noon (only a few spots left).
Call OMB to register for this class 360-754-0912.
April 24 - CAPS I: Marketing & Communication Strategies 8:00 - 5:00 April 25 - CAPS II: Design Build Solutions for Aging-In-Place 8:00 - 5:00 May 14 - Understanding Your L&I Experience Rating Calculation 11:00 - 1:00 May 23 - Code Update Class (time TBD). Sept. 11 & 12 - Green Building for Building Professionals 8:00 - 5:00 Sept. 18 - Construction Contract and Law 8:00 - 5:00 Sept. 25 - Forklift Safety Training 8:00 - 5:00 Oct. 9 & 10 - Advanced Green: Building Science 8:00 - 5:00 Oct. 23 & 24 - Advanced Green: Project Management 8:00 - 5:00 Dec. 5 - Business Management for Building Professionals
LEW RENTS - Equipment -
* RENTALS
*
SALES
*
SERVICE *
Proud OMB Associate Member Since 1988 “Helping to Support Our Local Community Builders Since 1928” OLYMPIA 360-357-7731 2216 East 4th Avenue
March / April 2013
www.lewrents.com 11
WESTSIDE 360-357-3314 405 McPhee Road SW
Olympia Master Builders / Chalk Line
Chapter Reports Grays Harbor County The Grays Harbor Chapter met in March, and members in attendance enjoyed an informative Products and Services Roundtable program. Each member was given
South Pacific County
In February, OMB President John McKinlay attended the Grays Harbor Chapter meeting to install 2013 Chapter Officers. They are Harv Lillegard of Lillegard Construction, President; Rusty Ruiz of Hung Right Doors, Associate Vice President; Bob Smith of Chimney Techniques, Secretary; and Rhonda Sturgeon of Sturgeon Quality Construction, LLC, Builder Director.
The South Pacific Chapter met on February 21 and heard a presentation by Les Colvin with the Pacific County Economic Development Council. President Ray Bonney gave an update about the golf tournament the chapter is planning to hold on June 22. When longtime member and serious membership recruiter Steve Waltemate arrived at the meeting and realized he had forgotten to wear any of his Spike apparel, he rushed home and was back in a flash proudly wearing his Spike Pin, his Spike Sweater and his Spike Jacket! His motivation – all members who wear their Spike apparel are eligible to win prizes at each meeting.
The next Grays Harbor Chapter meeting is scheduled for Thursday, April 4 at 6:00 p.m., and will be From left: OMB President John McKinlay swears in held at Gepetto’s in Grays Harbor President Harv Lillegard and Grays Montesano (126 E PioHarbor Associate Vice President Rusty Ruiz. neer Ave). The guest speaker will be Jan Rohila from the Buildthe opportunity to share the lat- ing Industry Association of Washest product or service that their ington, providing members with company has to offer. an update to the changes in the Energy Code. Some of the products and services members learned about were: In May, the Grays Harbor chapter the innovative wall outlets that will host the Grays Harbor Home feature USB plug-ins at Ferguson; & Garden Show, being held at the improved grab-bars plus other Grays Harbor County Fairgrounds accessibility products at Heritage in Elma on May 18 & 19. This show Woodworks & Remodel; and the is held in conjunction with the list of many benefits that ICF (in- WSU Master Gardeners of Grays sulating concrete foam) building Harbor County. More details techniques can offer homeown- about this show can be found on ers, including energy efficiency, page 10 of this issue of Chalk Line, strength, and sound absorption, or on the OMB website (www. from Lillegard Construction. omb.org).
The March 14 meeting featured a presentation by Bob Salisbury from His Supper Table and Thrift Store. The next meeting will be held on Thursday, April 11 at 6:00 p.m. at the Lightship Restaurant in Longbeach. Steve Waltemate with Spike pin, Spike sweater and Spike jacket!
Lewis County The Lewis County Chapter met on February 20 and heard a “What’s new with the Energy Code in 2013?” presentation by Jan Rohila, Administrative Services Director from the Building Industry of Washington. There was also a brief update by Lewis County Commissioner Edna Fund about the Lewis County Impact Fee issue.
Mason County The Mason County Chapter hosted Barb Whitlow of Olympia Federal Savings as their guest speaker in February. Barb spoke to Olympia Federal Saving’s green loan program opportunities. The Chapter will be holding their next meeting on Tuesday, March 19 at 6:00 pm at Osaka Asian Bistro in Shelton. The Guest Speakers will be Debbera Coker from Ma-
son County and Kelly Mayo from the City of Shelton. The topic will be “Code Changes: How Local Jurisdictions are Handling Them.”
Rick Borovec, Twin Star Credit Union gave an update about the Lewis County Home and Remodel Show which will be held on April 20 and 21 at the Southwest Washington Fairgrounds. For more information go to www.omb.org
There will also be an update on the Mason County, Shoreline Master Program process from OMB’s citizens advisory committee participant Paul Muldoon, Edward Jones.
Olympia Master Builders / Chalk Line
South Pacific County President Ray Bonney comes prepared with golf tournament plans.
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or contact the OMB office at 360754-0912. The, March 20 meeting featured a “Health Care Reform” presentation by Will Compton, Marketing Director for Capital Benefits Services, Inc. and a presentation by Lewis County Building Official Fred Chapman regarding proposed changes to the Flood Damage Permit Ordinance. The April 17 meeting will feature Barb Whitlow from Olympia Federal Savings talking about “Green Lending.” The meeting begins at 6:00 p.m. at Ramblin’ Jacks Rib Eye in Napavine.
March / April 2013
Thurston County to implement Impact Fees on April 2
Welcome New Members Banker Insulation dba Carrig & Dancer Gary GroverGrover 2520 112th St. S Lakewood, WA 98499 ggrover@bankerinsulation.com Sponsor: Paul Muldoon C & H Construction Doug HeayHeay 2005 East Bay Drive Olympia, WA 98506 dougheay@hotmail.com Sponsor: Karen McClennen Edward Jones Investments Cooper RatliffRatliff 1303 College St. SE Lacey, WA 98503 cooper.ratliff@edwardjones.com Sponsor: Linda Mosier-Vaudt Greene Realty Group Jim Greene 1722 Harrison Ave NW Olympia, WA 98507 JimGreene@greenerealty.com Sponsor: Ron Deering
Tanglewild Lumber Kim AkinsAkins 7127 Martin Way E Olympia WA, WA 98516 castleakins@comcast.net Sponsor: John McKinlay The Landall Group LLC Gwynneth SutherlandSutherland PO Box 2667 Yelm, WA 98597 gwynne@landallgroup.com Sponsor: John McKinlay Toyota Lift Northwest Mike RitterRitter 19305 72nd Ave S Kent, WA 98032 mritter@toyotaliftnw.com Sponsor: Donald Koidahl Weststar Pacific Mortgage Jake O’LearyO’Leary 2620 RW Johnson Blvd. Ste 104 Tumwater, WA 98512 joleary@weststarpacific.com Sponsor: Janine Ezzell
Thurston County will begin implementing transportation and park impact fees on April 2, 2013. Park impact fees are a standard $1,009 per dwelling unit throughout the County. School impact fees range from $2,531 to $5,179 and transportation impact fees range from $1,688 to $2,827 per single family home depending on the area of the county where the home is being built.
2013, even if permits have not been issued yet, will not be assessed impact fees.
Completed applications that have been submitted prior to April 2,
A complete schedule of impact fees, is available at www.omb.org.
“Summit”
Thank You
25 + Years Mutual Materials Sunset Insurance Agency 20--25 Years Denny’s Home Improvement Deering & Nelson, Inc. South Bay Homes, Inc. 15--19 Years Timberland Bank Wiseman Utilities, Inc. Brad Davis Construction The Artisans Group 10--14 Years Miller and Sons, Inc. The Olympian Horizon Homebuilders Northwest Containers, Inc. Nor-Cat, Inc. Mason County PUD #3 Dickey’s Remodel & Repair ReStore HiLine Homes
March / April 2013
Continued from page 7
of Hebert Research. The first discussion centered around market trends and the second about the effect of regulation on housing. “The Housing Summit is a positive way to get information concerning housing out to local elected officials, association members and the community”, stated OMB President John McKinlay. “This is the fourth year we have hosted this event and it has proven to be a great educational and advocacy opportunity concerning housing in our community,” McKinlay noted.
to these renewing members January/February 2013 5--9 Years Mohoric Refrigeration, Inc. Strader Hallett & Co, PS Great Wolf Lodge 2--4 Years J.A. Morris Construction Salter Remodel Flying Colors Painting Co. Olympia Construction, Inc. Sterling Bank Pardiman Productions Keystone Masonry, Inc. How Charming Garcia Construction, LLC South Sound Solar, Inc United Wholesale Supply Lexar Homes Shea Homes, Inc. Habitat for Humanity of Mason County
A special thanks goes out to the roundtable participants: Market Trends Roundtable: Jerry Wilkins of Olympic Multiple Listing Service Pat Pieroni of Virgil Adams Real Estate, Inc. Tim Dickey of Accessible Living Concepts and Dickey’s Remodel and Repair Effect of Regulation Roundtable: Jon Jones of Washington
1 Year SIGN-A-RAMA New Life Home Supply Phillips Wesch Burgess Schock & Company 13
The Thurston County Commissioner adopted impact fees on December 11, 2012 but, at the urging of OMB, delayed implementation until April 2 to allow time for contractors to submit completed applications for projects in which they had already given bids to clients.
Business Bank Phil Harlan, Keller Williams Heather Burgess, Phillips Wesch Burgess PLLC Thank you to the sponsors: Speaker Sponsor: Washington Business Bank Main Event: Jessica Jensen Law PS Mark Kitabayashi (Team Mark) Additional Sponsors: Phillips Wesch Burgess PLLC Windermere Real Estate of Olympia Hydro Physics Video Pipeline Inspection Imagine Real Estate-Kathy Cross, CRS, GRI Thurston County Women’s Council of REALTORS®
Olympia Master Builders / Chalk Line
National and State Update From the
Editor’s Note: The following is an excerpt from an email that was sent to NAHB members on February 13, 2012 from Rick Judson, 2013 NAHB Chairman. As an industry, we are beginning the year on an optimistic note. For the past several months, housing starts, home sales, permits, builder confidence and home prices have all been trending upward in most areas as housing emerges from its worst downturn since the Great Depression. NAHB anticipates we will see a gradual, but steady growth in new home production and sales in 2013, which should bode well for all businesses involved in the residential housing sector. However, several challenges remain which could affect the pace of the housing recovery and even threaten to halt the nascent upturn in its tracks. Specifically, as policymakers look to tackle the issue of tax reform, NAHB will be leading the charge to protect critical housing tax incentives, including the mortgage interest deduction and Low Income Housing Tax Credit.
Policy Goals and the Value of Membership Congress will also be deliberating the fate of Fannie Mae and Freddie Mac and changes to the U.S. housing finance system. NAHB has acted preemptively by issuing a comprehensive framework for housing finance reform that we have shared with lawmakers, regulators and Obama Administration officials.
$7,250 per housing start (both single- and multifamily) in 2012. Following are just some of the actions resulting in savings: 1. NAHB’s challenge to EPA stormwater regulations saved builders $1,970 on each new home built last year. 2. Advocacy on form 1099 reporting requirements saved each member $230.
Another priority will be to fix a flawed appraisal process that has needlessly killed home sales, hurt home values and impeded the housing recovery.
Rick Judson, 2013 NAHB Chairman
3. NAHB saved remodelers $260 per room on lead testing requirements.
The Value of Membership Members can readily see first-hand the value of the important products and services our local and state associations provide. The impact of the great work NAHB does at the national level may not always be so obvious because it’s less direct and often the value to members is that we have prevented onerous measures from being imposed. But believe me, it is no less important. In fact, NAHB’s advocacy efforts on behalf of members in the legislative, regulatory and legal arenas saved the typical home builder about
4. Fire sprinkler victories will save $6,316 per home in areas where the victories have been achieved. 5. An important NAHB win with the Supreme Court could save up to $200,000 for those seeking wetlands permits. 6. A higher FHA loan limit saved 6,300 new home sales in 2012. 7. Elimination of a proposed visitability requirement from the IRC will save $1,350 per home.
These are just a few of the more than 100 advocacy issues and initiatives that NAHB was engaged in over the last year. In the year ahead my fellow Senior Officers and the entire staff at NAHB will continue to work closely with the local and state HBAs on behalf of every member of the association to do all in our power to keep housing a national priority and help your businesses to thrive.
What Others Are Saying During the 1990s, the percentage of new mortgages guaranteed by Fannie and Freddie averaged about 44% and that number rises to about 55% if you add FHA and VA loans. During 2005 and 2006, those numbers fell to historic lows of 38% and 40% respectively. Now, due to a lack of private capital those numbers are 69% and 89%! This is not a sustainable model. Private capital must be attracted.
Most powerful stimulus to economic activity: knowledge that you can acquire things and these things will not be confiscated by the government. Dr. Ben Carson Director of Pediatric Neurosurgery of Johns Hopkins Hospital
Elliot F. Eisenberg, Ph.D. GraphsandLaughs, LLC elliot@graphsandlaughs.net Cell: 202.306.2731 www.econ70.com
Olympia Master Builders / Chalk Line
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March / April 2013
Check out the ROII® Select Program - You Could Be Saving $’s
OFFICERS AND DIRECTORS OF THE ASSOCIATION
Does your business provide construction related services? Do you have an open industrial insurance account with the Washington State Department of Labor and Industries? Would you like to receive a refund of the premiums you pay for worker’s compensation coverage? If you answered “yes” to all three of the above questions, check out the Return on Industrial Insurance (ROII®) Select Program. The Building Industry Association of Washington began the ROII®
Executive Committee
President............................. John McKinlay First Vice Pres.......................... Scott Nolan Treasurer.................................Ron Deering Assoc. Vice Pres.........................Ross Irwin Second Assoc. VP....................... Tina Allen Secretary...................................Rich James Immed. Past Pres.................James Peterson Builder at Large....................Mike Auderer
retro program in 1982. It currently consists of nearly 1,500 member companies and is the largest retro program in Washington State.
Builder Directors
These members have the opportunity to receive refunds on their worker’s compensation premiums they pay to L&I.
Scott Bergford Andy Gruhn Adam Kugel
Bob Clark John Kaufman Walt Robertson
Associate Directors
Kim Asay Heath Howerton
For more information on this program and to see if you qualify, contact BIAW at 360-352-7800.
Holly Constantine Rusty Ruiz
Legal Counsel Jay Goldstein
National Directors
Bob Kagy John McKinlay
Workers’ Compensation Insurance
State Directors
Tina Allen Tim Dickey Erik Jensen Harv Lillegard Karen McClennen Paul Muldoon Scott Nolan Jim Simmons
It’s a
whole
new
Ray Bonney Janine Ezzell. Don Koidahl Bob Love. John McKinlay. Aaron Nester. Carmen Rowe.
Life Directors
Jack Anderson Debbi Boyd William Childress Michael Cornforth Daimon Doyle Peter Fluetsch Don Koidahl Mason Manning Linda Mosier-Vaudt Brian Panush Tommy Poplin Mark Shaffer Andrew Spear
game Apply now for the BIAW ROII® Select program! 1-800-228-4229 or enroll@biaw.com
Rick Borovec Clark Burkheimer Patrick Connor Merrilee DeForest Stuart Drebick Bob Kagy Bob Love Karen McClennen Al Mullins Bill Peters Rob Rice Greg Stevens Brad Wilson
Lewis County Master Builders President...................................Erik Jensen First Vice Pres....................... John Johnson Assoc. Vice Pres.................... Becky Rieger Secretary............................... Rick Borovec Immed. Past Pres...................... Scott Nolan Builder Directors.................... Don Koidahl Dave Danton, Dustin Westfall Associate Directors............. Carmen Rowe, Jason Kunz
Mason County Master Builders
President.................................Aaron Nester First Vice Pres..................................... TBD Assoc. Vice Pres.......................... Mike Gill Secretary..................................... Bob Love Immed. Past Pres....................Aaron Nester
South Pacific County Master Builders
President.................................. Ray Bonney First Vice Pres.................. Steve Waltemate Immed. Past Pres...................Lori Wirkkala
Grays Harbor Master Builders President.............................. Harv Lillegard First Vice Pres..................................... TBD Assoc. Vice Pres........................ Rusty Ruiz Secretary......................... Rhonda Sturgeon Immed. Past Pres................. Harv Lillegard
Association Staff Executive Officer......................Laura Worf Dir. Member Services......Stacey Genzlinger Govt. Affairs Director................Angela White Bookkeeper............................Sally Darrow Mbr. Services Director........... Tony Brooks
Chalk Line is the official publication of the Olympia Master Builders, an affiliate of the Building Industry Association of Washington and the National Association of Home Builders. The Olympia Master Builders can be contacted at 1211 State Avenue NE, Olympia, WA 985064234. Telephone 360-754-0912 or 800-456-6473. Fax 360-754-7448. Visit our web page at www.omb.org.
Play to win March / April 2013
Karen McClennen
Life Members
George King Mary Gordon, Honorary Douglas DeForest, Honorary
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Olympia Master Builders / Chalk Line
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1211 STATE AVE. NE OLYMPIA, WA 98506 $1.25 per copy 360-754-0912 800-456-6473 www.omb.org
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March / April 2013