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M I N N E S O T A

HOUSING INDUSTRY NEWS

INSIDE New Construction Stormwater Permit Now in Effect [PG. 4] Is the Housing Market Shifting? [PG. 10]

NEWS AND INFORMATION FOR HOME BUILDERS AND REMODELERS BY HOUSING FIRST MINNESOTA • HOUSINGFIRSTMN.ORG

VOL. 2 ISSUE 3, SEPTEMBER 2018

Impact Fees Struck Down by Supreme Court Harstad v. Woodbury: A Landmark Victory For Housing Affordability, Industry

Harstad v. Woodbury decision to have major impact on housing affordability

The Minnesota Supreme Court issued a landmark decision that is a major victory for the housing industry and housing affordability. In its much-awaited decision in the Harstad v. Woodbury case, on Aug. 15 the Court upheld 20 years of legal precedent, saying cities have limited authority to tax new housing developments. In the Court’s ruling, Justice G. Barry Anderson wrote: “Put another way, the pearl of great price here is approval of the subdivision agreement. A developer who fails to make a ‘voluntary’ payment in an

amount Woodbury finds acceptable faces the prospect of denial of the subdivision application. The infrastructure charge is thus a requirement and Harstad is correct that there is nothing voluntary about it.” The ruling is welcome news to Minnesota’s housing industry, as these fees increase the cost of new homes by thousands of dollars. “Housing First Minnesota commends the Minnesota Supreme Court for its ruling and the positive effect it will have for homeowners,” said David Siegel, executive director of Housing First Minnesota. “This

decision provides much-needed clarity on cities’ illegal fees, which add to the housing affordability crisis.” The City of Woodbury told media outlets it is “interpreting the decision, gathering information and evaluating our next steps.” Twin Cities developer and Housing First Minnesota member Marty Harstad sued the City of Woodbury in 2016 contending the city’s Major Roadway Assessment (MRA) fees, which are used to pay for traffic-related improvements throughout the city, were not permitted under state

“Put another way, the pearl of great price here is approval of the subdivision agreement. A developer who fails to make a ‘voluntary’ payment in an amount Woodbury finds acceptable faces the prospect of denial of the subdivision application. The infrastructure charge is thus a requirement and Harstad is correct that there is nothing voluntary about it.” Justice G. Barry Anderson law. The city was withholding approval of his 183-home project unless he consented to the city’s $1.4

million MRA fees. Washington County Court sided with Harstad CONTINUED >> PAGE 3

Governor’s Task Force Report: More New Housing Needed

2960 Centre Pointe Drive Roseville, MN 55113 HousingFirstMN.org

HOUSING INDUSTRY NEWS

homes by 2030, create a regulatory review panel and address the industry-wide labor crisis. “The Governor’s Task Force on Housing took an important first CONTINUED >> PAGE 3

M I N N E S O T A

PRSRT STD U.S. POSTAGE PAID PERMIT # 93652 TWIN CITIES, MN SIGN UP TO BE A PART OF THE HOUSING MOVEMENT • HOUSINGFIRSTMN.ORG

The Governor’s Task Force on Housing Affordability released its report titled “More Places to Call Home: Investing in Minnesota’s Future” on Aug. 21. Leading the recommendations included in the report is a call to build 300,000 new

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Letter From the President By TOM WIENER Housing First Minnesota tom@cardinalhomebuilders.com

Tom Wiener, president, Housing First Minnesota and Cardinal Homebuilders

Correction & Retraction: Sensible Land Use Coalition Panelist Statement In the Sensible Land Use Coalition’s panel discussion on Zoning and Project Size on May 23, a statement was made by a panelist that some builders bug their model homes. The panelist, the panelist’s employer, and Housing

First Minnesota informed the Sensible Land Use Coalition that this statement is inaccurate and that we are not aware that any builders in this market are engaging in such a practice.

What an end to the summer! In a period of just a few weeks in August, a landmark Minnesota Supreme Court decision was issued and Governor Dayton’s Task Force on Housing issued its final report. These were big steps forward — both of which will positively impact growing the housing conversation. In Harstad v. Woodbury, the practice of requiring unauthorized and unrelated conditions development contracts and calling them ‘voluntary agreements’ was struck down by the high court. The court’s clear ruling on this practice is a major victory for homeowners. Development does, must, and will continue to pay its own way by building out infrastructure to support development projects. But the all-too-common practice of requiring additional fees and requirements on top of these has now been ruled illegal. Look

for full coverage of the Harstad case throughout this issue. The other major news is the issuance of the final report from the Governor’s Housing Task Force. Housing First Minnesota was instrumental in advocating for supply and regulatory issues to be included in the report. We were pleased to see the Task Force cite the need for thousands of new homes, regulatory issues to be addressed, and the onus placed on private industry to address this issue. The debate has now entered a new phase. Our industry of homebuilders, remodelers, and suppliers must lead and drive the homeownership and housing affordability discussion. In addition to our affordability work, we continue to press forward on workforce development to address the labor shortage impacting

The Project Build Minnesota website is yielding impressive results despite only having been actively in the marketplace for four months. As of this writing, the website has on average 45 user visits per day (which will bring 16,000 visits per year). Visitors spend approximately two minutes on the website, and two-thirds of the visitors are from the Twin Cities metropolitan area. The most visited page on the website is “the trades” with 4,017 views in May and June. The Project Build Minnesota social

“We are very pleased with the progress we’re making telling our audiences about construction industry opportunities.”

First Minnesota, one of the enterprise’s founders. “Now, we need the help of members of the industry to spread the word.” The Project Build Minnesota

EXPLORE CAREER OPTIONS JOIN THE INDUSTRY

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Tom Wiener, PRESIDENT, HOUSING FIRST MINNESOTA AND CARDINAL HOMEBUILDERS

David Siegel, EXECUTIVE DIRECTOR OF HOUSING FIRST MINESOTA campaign is also revving up, with regular posts being boosted on Facebook. There are 300 likes as of early August and the number is rising steadily. Through our Facebook posts, we’ve reached 49,155 people and had 1,336 post engagements. “We are very pleased with the progress we’re making telling our audiences about construction industry opportunities,” said David Siegel, chair of the Project Build Minnesota Marketing Committee and executive director of Housing

You can help expand the reach of Project Build Minnesota in several ways:

Marketing Committee is asking industry members to promote the website and Facebook page using their channels. “Imagine the power of our entire industry promoting careers in construction,” Siegel said. The Committee asks that industry businesses consider the following: Minnesota on social pages and link back to the website, www.projectbuildmn. org. • Put a link to Project Build Minnesota on your company website. • Volunteer to be part of the growing speakers bureau by contacting Project Build

IMPROVE YOUR COMMUNITY

“The debate has now entered a new phase. Our industry of homebuilders, remodelers, and suppliers must lead and drive the homeownership and housing affordability discussion.”

Project Build Minnesota Marketing Efforts Extend Reach

• Post about Project Build

(Project Build MN) TAKE PRIDE IN YOUR WORK

all of our industry. Across all of these debates, I am so proud of the people and the companies that make up the housing industry. I hope you enjoy this issue of Housing Industry News, and I wish you all the best as we finish 2018 strong.

Minnesota Executive Director Dennis Medo (contact info below).

1 Join the Project Build Minnesota outreach effort. Let Executive Director Dennis Medo know.

2 Post about Project Build Minnesota on your social media channels. We are happy to provide you with a digital logo file for your social media.

3 Make a financial contribution to help Project Build Minnesota grow. Contact Dennis Medo.

4 Add your jobs to the job board (it’s free!). Visit the website at projectbuildmn.org and click on jobs.

In addition to the Marketing Committee, Project Build Minnesota features an Outreach Committee and a Training Committee. If you are interested in helping Project Build Minnesota grow its

Dennis Medo PROJECT BUILD MINNESOTA EXECUTIVE DIRECTOR

reach and expand the message of the wonderful opportunities in construction, please contact Medo

612-221-9849 dennis@projectbuildmn.org

at dennis@projectbuildmn.org.

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CONTINUED FROM PAGE 1

Impact Fees Struck Down by Supreme Court In September 2017, the Court of Appeals upheld a lower court’s ruling that these fees are unlawful, upholding the district court ruling. The Minnesota Supreme Court granted Woodbury’s petition for review in November, after the League of Minnesota Cities took the unusual step of filing an amicus brief (friend of the court) encouraging the Supreme Court to accept Woodbury’s appeal. In February, Housing First Minnesota submitted an amicus brief in support of Harstad’s suit. In the brief, cosigned by Rochester-area developer and Housing First Minnesota member Frank Kottschade and the National Association of Home Builders, the industry says the previous court decisions, which ruled that Woodbury’s MRA fees represented impact fees not authorized by the State of Minnesota, should be upheld. “This win for the housing industry would not have been possible without Marty Harstad’s willingness to stand firm and the legal team at Larkin Hoffman. I also want to thank Frank Kottschade and the National Association of Home Builders for partnering with Housing First Minnesota,” said Tom Weiner, president of Housing First Minnesota.

Supreme Court upholds lower court rulings

CONTINUED FROM PAGE 1

Governor’s Task Force Report: More New Housing Needed More Places to Call Home: Investing in Minnesota’s Future

Goals and Recommendations

COMMIT TO HOMES AS A PRIORITY Create a broader and stronger public commitment to the urgent need for more homes that are more affordable to more Minnesotans. Like roads and bridges, homes are building blocks—assets that will be around for decades. By investing in our homes, we improve outcomes in education, health, and economic opportunity. Homes are our starting place.

PRESERVE THE HOMES WE HAVE

BUILD MORE HOMES

INCREASE HOME STABILITY

LINK HOMES AND SERVICES

Keep the homes we already have, especially those that are most affordable.

Build 300,000 new homes by 2030, across all types, prices, and locations to stabilize prices and meet demand.

Assist twice as many people at risk of losing their homes because of rent increases, evictions, and heavy cost burdens.

Build stronger links between where we live and the services we may need to live stable lives.

Let’s begin by securing our existing assets. The most cost-effective way to provide homes that are affordable for Minnesotans is to maintain and preserve the homes and apartments we already have.

Minnesota has built a reputation of livability and opportunity, with homes people can afford as a key ingredient. To ensure our neighborhoods and communities remain strong and healthy, we need to use all the tools and innovation at our disposal to enable the private sector to build to meet the demand.

1.1 Launch a public-private partnership to forecast demand, set goals and measure progress.

2.1 Expand and streamline existing rental rehabilitation programs to preserve critical rental assets.

3.1 Position Minnesota as a national leader in the advancement of housing innovation and technology.

1.2 Create dedicated, permanent funding sources for affordable homes in addition to current funding sources.

2.2 Incentivize private-market owners to keep rental units affordable to low-wage families by using targeted support from local and state government.

3.2 Grow the pool of talent in Minnesota’s building trades to enable the sector to meet current and future demand.

1.3 Invite all Minnesotans to recognize homes as a central and critical part of the economic and social well-being of all residents and communities in Minnesota.

2.3 Support and expand existing homerehabilitation tools and programs at the state and local levels to serve more homeowners who need to make improvements. 2.4 Substantially increase support for rehabilitation of public housing, much of which is experiencing notable deterioration.

3.3 Increase the capacity of local leaders to implement tools and solutions to address the home-affordability needs of their communities. 3.4 Expand the range of housing types across Minnesota communities. 3.5 Create a statewide review panel to evaluate regulations related to building standards, land use, and environmental stewardship for their impact on housing affordability.

When you lose your home, you lose your community—and the consequences of this major life disruption can last for decades. By doubling our investment in rental assistance, promoting voucher acceptance, preventing displacement, and improving protections for renters, we can reverse this trend, so kids learn, parents earn, and communities grow stronger. 4.1 Enhance and expand state and local rental assistance programs to complement federal programs that are too small to meet the need. 4.2 Define and crack down on predatory rental practices, including excessive evictions and poor condition of rental units. 4.3 Strengthen protections for renters in the private market. 4.4 Increase the speed and flexibility of emergency resources to prevent people from losing their homes. 4.5 Expand and enhance programs that help people navigate the systems to find homes and vital housing resources. 4.6 Incentivize the acceptance of rental assistance vouchers by the private market. 4.7 Prioritize investments needed to achieve the goals in Heading Home Together: Minnesota’s Action Plan to Prevent and End Homelessness.

At some point in our lives, most of us will need a helping hand. Many of us will be seniors who require assistance to stay in the place we’ve long called home. Other Minnesotans have experienced trauma or need health services. We can achieve better outcomes in a more cost-effective way when we coordinate services to meet people where they live. 5.1 Provide a dependable stream of funding for social services that help households maintain stable homes. 5.2 Provide access to a full range of services for families and individuals transitioning into stable homes before, during, and after the transition. 5.3 Improve health outcomes and reduce costs for tenants by developing better partnerships between health care and housing providers. 5.4 Advance the Housing Supports program for residents with disabilities by identifying gaps and potential program enhancements to ensure statewide coverage. 5.5 Expand programs and providers who assist individuals in finding, securing, and retaining affordable rental homes.

SUPPORT & STRENGTHEN HOMEOWNERSHIP Create pathways to sustainable homeownership, with a focus on removing barriers for households of color. Our wealth and our retirement savings are concentrated in our homes. Most Minnesotans want to own a home, and everyone who can sustain homeownership should be offered the tools, coaching, and access to financing they need to make this investment in their own future and in our communities.

6.1 Focus on increasing access to homeownership resources for the large number of income-ready households of color who want to buy. 6.2 Promote alternative models of building wealth through homeownership, such as community land trusts, cooperatively owned housing and manufactured home parks. 6.3 Encourage employers and foundations to support home purchases. 6.4 Increase funding for financial education and counseling programs that expand the capacity of households to pursue homeownership. 6.5 Expand mortgage products and provide extra support to local community banks to expand financing options. 6.6 Expand available down-payment assistance programs.

SOURCE: GOVERNOR’S TASK FORCE ON HOUSING

We Need to Build More Homes! step in identifying the shortage of new housing production, our need to evaluate regulations, and the construction labor shortage which threatens our ability to solve our housing affordability crisis,” said David Siegel, executive director of Housing First Minnesota. “We are

especially pleased with the emphasis to support and strengthen homeownership. “Throughout the Task Force process, Housing First Minnesota advocated for solving our housing supply challenges by increasing affordability across the housing market.

“We are pleased to see the Task Force embrace the core of this approach, which begins with evaluating regulations and land policies to directly address affordability. “The hard work of addressing the cost

Leading the recommendations included in the report is a call to build 300,000 new homes by 2030, the creation of a regulatory review panel and addressing the industry-wide labor crisis.

drivers

impacting

housing

affordabili-

ty now enters a new phase. As the leading voice for homebuilding and remodeling,

other stakeholders ready to join us in addressing this critical challenge facing all Minnesotans.” Housing First Minnesota staff attended meetings of the task force and homeownership work group during the first half of the year and sent a letter to the task force in June, saying that addressing Minnesota’s low housing inventory is critical to solving the housing affordability crisis.

Housing First Minnesota is pleased to see SIGN UP TO BE A PART OF THE HOUSING MOVEMENT • HOUSINGFIRSTMN.ORG

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Housing at theAFFAIRS Capitol REGULATORY

New Construction Stormwater Permit Now in Effect

New stormwater permit requires construction materials be covered and protected from stormwater runoff

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The Minnesota Pollution Control Agency (MPCA) released the final 2018 Construction Stormwater Permit on July 25. The 2018 Permit, which went into effect on Aug. 1, includes changes requested by Housing First Minnesota. In May, Housing First Minnesota sent a letter to the MPCA seeking changes to five items, including several provisions that would have expanded enforcement actions under the new Permit, with MPCA making each of the requested changes. One difference between the earlier draft and the final permit, however, concerns industry experts. In April 2017, Housing First Minnesota requested the repair timeframe be increased, a change that was included in the draft version of the permit released in April 2018. Instead of increasing the repair time frame to “BMPs prior to the next anticipated rain event or within three (3) calendar days whichever comes first” as planned, the MPCA reverted to the existing language of “by the end of the next business day after discovery” in the final 2018 Permit. According to the MPCA, while there was a consensus that the repair time frame should increase, concern over the term “next anticipated rain event” caused the improved repair time frame to be excluded from the final draft. In a letter to the MPCA sent on July 31, David Siegel, executive director of Housing First Minnesota, asked the agency to increase the repair time frame should the MPCA modify the new permit.

one business day. For projects currently requiring a 30-day waiting period, the waiting period has changed to upon the completion of the application and payment process and after the MPCA has determined that the permit plan meets all the requirements. The process to amend the stormwater plan for projects when making cost effective substitutions has been improved. While most changes are viewed as an improvement, the 2018 Permit does include a change that will increase construction costs. One change, which comes from the EPA, requires construction materials to be covered and protected from stormwater runoff.

What’s New in 2018

Stormwater Compliance Tips

The most notable change in the 2018 Permit is the format, which has been completely rewritten. Permit coverage effective dates have also changed. Under the final 2018 Permit, the mandatory seven-day waiting period for the permit to go into effect has changed to once the permit payment has processed, typically

According to the MPCA, the five most common construction stormwater violations are:

carries sediment off site and into waters of the state. 3. Missing or inadequate inlet protection. Missing or inadequate inlet protection allows sediment to enter the storm sewers and/or water bodies. 4. Vehicle tracking. Without a tracking BMP, vehicles track sediment onto paved surfaces. 5. BMPs not contained. Unmaintained BMPs do not function properly and allow sediment to escape and enter waters of the state. Reminders on Compliance • Ensure that you have a Construction

What’s the Same Other than the reformatting, changes noted above and several other minor tweaks, the 2018 Permit is essentially the same as it is today. A permit is still required for projects disturbing one or more acres of soil, less than one acre of soil if that activity is part of a “larger common plan of development or sale” that is greater than one acre, or for less than one acre of soil, but the MPCA determines that the activity poses a risk to water resources. Although the 2018 Permit went into effect on Aug. 1, sites operating under the current Construction Stormwater Permit (2013), have 18 months to be completed before falling under the 2018 Permit. There will be no additional permit fees for existing projects transferring to the 2018 Permit after the 18-month window expires.

Stormwater Permit and Plan if one is needed. • Remember to inspect your site within 24 hours of a rainfall greater than ½ inch. • Repair, replace or supplement all nonfunctional BMPs by the end of the next business day after discovery, or as soon as field conditions allow access unless another time frame is specified by the MPCA. When Do I Need a Construction Stormwater Permit? • One acre or more of soil. • Less than one acre of soil if that activity is part of a “larger common plan of development or sale” that is greater than one acre.

1. Missing or inadequate soil stabilization. Without proper stabilization, soil is vulnerable to erosion. 2. Missing perimeter controls. When perimeter controls are missing, stormwater

• Less than one acre of soil, but the MPCA determines that the activity poses a risk to water resources. Want to learn more about the changes in the 2018 Construction Stormwater Permit? Visit HousingFirstMN. org/stormwater for a complete list of changes and to view the 2018 Construction Stormwater Permit.

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Housing First Minnesota Leads in Providing Industry Input on Building Code Report Following the June 26 meeting of the Construction Codes Advisory Council (CCAC), the Department of Labor & Industry (DLI) released a report that included comments and concerns voiced by the CCAC members regarding the initial technical review of model code changes earlier this year. The report also included comments submitted by organizations following the release of the Technical Advisory Group (TAG) Reports in mid-May. Of the 10 organizations either submitting comments or co-signing letters, Housing First Minnesota’s comments stood out for several reasons. In a memo submitted by Housing First Minnesota’s regulatory affairs manager, the

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organization outlined its longtime goal of housing affordability being given equal consideration to safety and durability. Housing First Minnesota was also the only group to submit comments on multiple TAG reports and to call for not adopting the 2018 International Energy Conservation Code (IECC) for residential construction due to concerns about affordability. The comments submitted by Housing First Minnesota, both in May and during the technical review during the first quarter of 2018, were cited throughout the June 26 CCAC report. Housing First Minnesota was also the only housing industry group to issue

comments between May 15 and June 4. A decision on whether to adopt the 2018 IECC for residential construction has been delayed until the U.S. Department of Energy issues its analysis of the IECC later this year. DLI staff is in the process of preparing the draft 2018 Minnesota Building Codes based off the TAG reports and CCAC comments. The 2018 Minnesota Building Codes are set to take effect in March 2020 and Housing First Minnesota will continue to play an active role in the development of the new codes and educating industry when they are finalized.

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Minnesota’s Deparment of Labor and Industry entrance sign

DLI Reduces Contractor License Fees

DLI Announces 2019 Minimum Wages LARGE EMPLOYERS

Due to the health of the state’s Contractor Recovery Fund, effective July 1 the Minnesota Department of Labor & Industry (DLI) eliminated the $80 assessment that licensed residential building contractors pay as part of their two-year license. The Contractor Recovery Fund compensates homeowners and lessees of residential property, up to $75,000, who have experienced direct out-ofpocket losses because of a Minnesota licensed contractor’s fraudulent, deceptive or dishonest practices. The fund’s balance has stabilized over recent years as the state’s housing market has recovered and fund payouts have decreased accordingly. With fewer funds withdrawn, DLI Commissioner Ken Pederson used his authority to eliminate this assessment. This is in addition to the DLI reducing most license fees by 40 percent over the past four years.

$9.86 per hour

SMALL EMPLOYERS

$8.04 per hour

TRAINING WAGE

$8.04 per hour

YOUTH WAGE

$8.04 per hour

The Minnesota Department of Labor and Industry announced that the minimum wage rate will increase to $9.86 per hour for large employers and $8.04 for others effective Jan. 1, 2019. The state’s minimum wage is adjusted for inflation each year. As of Jan. 1, 2019, the rates will be: Large Employers ($500,000 or more in annual gross revenues) $9.86 per hour Small Employers (less than $500,000 in annual gross revenues) - $8.04 per hour

Training Wage (employees younger than 20 years old for the first 90 consecutive days of employment) $8.04 per hour Youth Wage (employees younger than 18 years old) - $8.04 per hour

The City of Minneapolis has higher minimum wage rates, at $11.25 per hour for large businesses (more than 100 employees) and $10.25 for small businesses. The next increase for Minneapolis will be July 1, 2019, when rates increase to $12.25 for large businesses and $11.00 for small businesses.

Radon Licensing Rules Challenged The Minnesota Association of Radon Professionals and Standard Water Control Company, a radon mitigation firm, have filed suit against the Minnesota Department of Health over proposed radon licensing rules, created under the Minnesota Radon Licensing Act of 2015. The proposed rules would require individuals performing radon-related services to be licensed by the State of Minnesota, through the Department of Health. The proposed radon licensing rules would also require licensed radon testers to pay a $150 per

year fee, licensed mitigation professionals would pay a $250 per year fee, companies analyzing test kit results pay up to $500 per year in fees and a $75 per home fee for mitigation system installation in existing homes. In addition, radon testers and mitigation system installers would submit quarterly reports of all homes where services were performed. The proposed rules are set to take effect on Jan. 1, 2019. An administrative law hearing was held on July 17. Final comments on the proposed rules were due in August.

Effective July 1 the Minnesota Department of Labor & Industry (DLI) eliminated the $80 assessment for the Contractor Recovery Fund.

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Housing theTHE Capitol HOUSINGatON HILL

2018

2018 Elections: The Stage Is Set

ELECTIONS GOVERNOR

The summer saw many competitive primaries on both sides of the aisle. Here is a rundown of the battleground elections throughout the state.

vs.

Governor Tim Walz (DFL) vs. Jeff Johnson (R) U.S. Senate Seats Tina Smith (DFL) vs. Karin Housley (R) Amy Klobuchar (DFL) vs. Jim Newberger (R) Congressional Districts District 1: Dan Feehan (DFL) vs. Jim Hagedorn (R) District 2: Angie Craig (DFL) vs. Jason Lewis (R) District 3: Dean Phillips (DFL) vs. Erik Paulsen (R) District 4: Betty McCollum (DFL) vs. Greg Ryan (R) District 5: Ilhan Omar (DFL) vs. Jennifer Zielinski (R) District 6: Ian Todd (DFL) vs. Tom Emmer (R) District 7: Collin Peterson (DFL) vs. Dave Hughes (R) District 8: Joe Radinovich (DFL) vs. Pete Stauber (R) In addition, to the federal level races, Minnesota will have all constitutional offices (attorney general, auditor, secretary of state) and Minnesota House of Representative contests on their ballots.

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Tim Walz (DFL) US SENATE SEATS

US SENATE SEATS

vs.

vs.

Tina Smith (DFL)

Karin Housley (R)

CONGRESSIONAL DISTRICT 2

vs.

vs.

Dan Feehan (DFL)

Jim Hagedorn (R)

CONGRESSIONAL DISTRICT 4

vs.

vs. Erik Paulsen (R)

constitutional offices, the entirety of the Minnesota House and a special election to decide the majority of the Minnesota Senate, voters will have a lengthy ballot this November. It is set to be one of the most intense election seasons we’ve ever seen. Here’s a breakdown of our 2018 elections by the numbers.

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Betty McCollum (DFL)

Greg Ryan (R)

CONGRESSIONAL DISTRICT 5

CONGRESSIONAL DISTRICT 6

vs.

vs. Jennifer Zielinski (R)

Ian Todd (DFL)

Tom Emmer (R)

CONGRESSIONAL DISTRICT 7

CONGRESSIONAL DISTRICT 8

vs.

vs.

Collin Peterson (DFL)

If you don’t like political ads, you may not want to get your mail or watch television for the next two months. That’s because no matter where you live in Minnesota, you are likely in a competitive district. Between two U.S. Senate seats, eight U.S. House seats, the Governor’s mansion, all Minnesota

Jason Lewis (R)

Angie Craig (DFL)

CONGRESSIONAL DISTRICT 3

Ilhan Omar (DFL)

Minnesota Becomes Center of 2018 Elections

Jim Newberger (R)

Amy Klobuchar (DFL)

CONGRESSIONAL DISTRICT 1

Dean Phillips (DFL)

Stay up to date on the latest housing industry news!

Jeff Johnson (R)

Dave Hughes (R)

Joe Radinovich (DFL)

Pete Stauber (R)

2018 Elections by the Numbers STATE ELECTIONS

4 134 1

Statewide State Government Elections Governor / Lt. Governor*, Attorney General*, Secretary of State, State Auditor* (*OPEN SEAT)

Minnesota House Seats

FEDERAL ELECTIONS

2 8

United States Senators One Six-Year Term One Two-Year Term

United States House of Representatives

State Senate Special Election Replacing Lt. Governor Michelle Fischbach

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Sen. Matt Little Discusses Housing Affordability Sen. Matt Little (DFL) represents Minnesota Senate District 58 in the southern portion of the Twin Cities including portions of Lakeville, Farmington and numerous townships. Q: Your district has seen immense residential growth in recent years. What’s been the impact of this growth?

Sen. Little: New residential growth has brought in thousands of new families. I was recently at a National Night Out party where there must have been 50 kids running around. These families are revitalizing the schools and providing energy to neighborhoods. Not only that, new businesses are opening

“There is a renewed interest in avoiding the long-term debt a lot of my generation is saddled with.” Sen. Matt Little

up everywhere to serve these new neighbors. All the growth has provided a wealth of excitement and I can’t wait to see what’s next. Q: Where do you see your district in five years?

Sen. Little: I see continued

success in the next five years. As more people move in for our good schools and good jobs, my district doesn’t have to worry about losing talent. I see young folks moving back to their hometowns, opening a new business, and giving back to the town they grew up in.

of rigid formulas used to determine

of searching we found someone that

make? Anyhow, the biggest obsta-

loan eligibility. Even though my wife

would take us on. But then the most

and I have met every single financial

absurd thing happened, a bank that

cles are student loan debt and the

obligation we’ve entered into, the

turned us down for a loan ended up

only thing the banks would look at

buying our loan from the bank that

banks and lenders to take a chance

was our law school debt. After a lot

said yes to us! What sense does that

on someone they know and trust.

policies that make it hard for small

Q: When you are talking with younger voters, what has been the interest in vocational careers?

Sen. Little: There is a renewed interest in avoiding the long-term debt a lot of my generation is saddled with. Students and families are looking at what their future might be and weighing opportunities for their own success. That may take the form of entering into skilled labor, pursuing a technical degree, attending a four-year college, or just gaining experience in the workforce! People are being presented with options now, and they’ve got the information to make the best choice for them. Q: As a younger legislator, what barriers to homeownership do you hear about or see amongst your generation?

Sen. Little: When my wife and I were trying to buy a house, we both had law degrees and stable jobs. We both had really high credit ratings and had some money saved. That being said, we had trouble finding a lender that would take us because

Sen. Matt Little discusses housing issues with constituents during the 2018 Housing Day at the Capitol

“The biggest obstacles are student loan debt and the policies that make it hard for small banks and lenders to take a chance on someone they know and trust.” Sen. Matt Little

HOUSING AFFORDABILITY I N S T I T U T E

COMING DECEMBER 2018 A DEEP DIVE INTO THE HIGH COST OF NEW HOME C O N S T R U C T I O N I N M I N N E S O TA A N D T H E B A R R I E R S I T C R E AT E S F O R H O U S I N G A F F O R D A B I L I T Y.

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HOUSING ON THE HILL

Building Material Prices in Limbo as Trade Talks Continue

Builders are feeling the pinch from higher costs for imported lumber, steel and aluminum. From January 2017 to June 2018, average prices for commonly traded lumber in the U.S. increased by 40 percent. The rising costs of building materials has been blamed on President

Trump’s trade tariffs on lumber, steel and aluminum and the ongoing rework of the North American Free Trade Agreement (NAFTA). “Whether NAFTA is saved or not, the lumber tariffs will remain,” said Elliot Eisenberg, economist.

“If NAFTA ends badly GDP growth will be hurt a lot in Canada and here too. That slowdown would reduce lumber prices, but also slow the housing market.” Experts worry that if this drags on for an extended period of time the economic cost will increase.

Housing Affordability Drops According to information from Zonda only 48 percent of U.S. households can afford the median-priced new home. The national affordability ratio is just below the four-year average of 49 percent. Affordability hit bottom in November 2017, the same month that new home sales topped 700,000 for the first time since 2007. Affordability is relative. In Phoenix, 51 percent of households can afford the median-priced new home, compared to 47 percent of local residents in Orlando, 36 percent in Denver, 29 percent in Seattle, and 13 percent in Los Angeles.

48%

OF U.S. HOUSEHOLDS CAN AFFORD THE MEDIAN-PRICED HOME

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US Townhome Construction Surges Townhouse construction nationwide saw significant gains during the second quarter of 2018, and experts believe the increase in townhouse construction is set to continue. The demographics of the renters that will next become homeowners look favorable for townhomes, as

does the increasing demand for walkable communities. Over the last four quarters townhouse starts totaled 116,000, 23 percent higher than the prior four quarters. The market share of new townhouses now stands at 13.1 percent of all

single-family starts, a post-recession high. The peak market share of the last two decades for townhouse construction was set during the first quarter of 2008, when the percentage reached 14.6 percent of total single-family construction.

Get Housing Industry News as it happens: Sign up at HousingFirstMN.org Follow us on Twitter @housingfirstmn SOURCE: NAHB

Average New Home Sizes Falling A clear sign that builders are catering more toward entry-level homebuyers and those looking to downsize: smaller homes. Continuing a multiyear trend, new single-family home size decreased during the second quarter of 2018. According to second quarter 2018 data from the Census Quarterly Starts and Completions by Purpose and Design, median single-family square footage decreased to 2,344 square feet. According to the National Association of Home Builders (NAHB), the post-recession increase in single-family home size is consistent with the historical

pattern coming out of recessions. Typical new home size falls prior to and during a recession as homebuyers tighten budgets, and then sizes rise as high-end homebuyers, who face fewer credit constraints, return to the housing market in relatively greater proportions. With the low inventory of homes and high prices, the current housing market has held back many first-time homebuyers. The recent declines in size indicates that this part of the cycle has ended, and size will trend lower as builders add more entry-level homes into inventory. SOURCE: NAHB

SOURCE: U.S. BUREAU OF LABOR STATISTICS

DREAM BIG. We all have dreams - dreams of making a difference in the world, challenging ourselves, achieving more and forging relationships on the job and in our lives. Here at Lyman Lumber, our goal is to be the best while being committed to helping our employees make their dreams come true. Lyman provides endless opportunities for growth. The company is built on excellence – both in the services and supplies we provide to our customers, our working environment and the opportunities we provide to our employees. If you are a self-starter, with an entrepreneurial spirit, and are looking for a challenging career with endless opportunities for growth, consider joining the team at Lyman Lumber and our affiliated companies. The rewards go above and beyond great wages, benefits, and career paths. Build your dream – and make a difference in the world.

Looking for a career you can build on? Explore opportunities today at www.lymanlumber.com/careers SIGN UP TO BE A PART OF THE HOUSING MOVEMENT • HOUSINGFIRSTMN.ORG

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MARKET REPORT

Is the Housing Market Shifting? Minneapolis-St. Paul Residential Real Estate Index By HERB TOUSLEY Director of Real Estate Programs at University of St. Thomas Since the June and July housing numbers have been published there seems to be much more uncertainty about the current state of the housing market. People are beginning to ask questions about the market. Is the decrease in sales volume a warning sign? Are we in a bubble? Will there be another housing market correction? One or two months’ data by themselves doesn’t signal a major change in the direction of the housing market. We will need to look at several more months’ data

“If we are going to continue to have strong economic growth, then we are going to have to figure out a way to create enough new housing units at all price levels to keep up with the increasing employment growth.” Herb Tousley, DIRECTOR OF REAL ESTATE PROGRAMS AT UNIVERSITY OF ST. THOMAS

to understand more about where the market is headed. The number of closed sales were down 12.5 percent between June and July of this year. However, number of home sales in the Twin Cities was essentially unchanged in July 2018 compared to July 2017. When looking at the overall seasonal pattern for the number of homes sold, it is following a very similar pattern compared to previous years. When looking at the charts below for the median sale price, the number of closed sales, and the number of homes available for sale, the pattern for 2018 is very similar to 2016 and 2017. People have expressed concern that the number of sales is declining. When looking at 2018 year-to-date

Not enough new housing units have been created in Minnesota.

sales there have been just over 1,000 fewer homes sold this year compared to last year. About half of this amount occurred in May. A few more months of data is needed to understand if this is a long-term change in the market. At this point, much of the decrease in the number of homes sold seems to be a result of the continued decrease in the number of homes available for sale. The number of homes available for sale was 12.3 percent less than last July. Median sale prices continue to increase, up 6.6 percent year over year compared to July 2017. What really drives the need for housing? Many people correctly point to increasing population and job

Homes ForSale Sale Month Homes Available Available For ByByMonth Closed Sales By Month

8000 20000

7000

18000

6000

16000

5000 14000 12000 4000 10000

3000 8000

2000 6000 4000 1000 2000

0 0

Jan

Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

Series1 2015

Series2 2017Series3 2016 2018 Series4

SOURCE: UNIVERSITY OF ST. THOMAS

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HOUSING INDUSTRY NEWS

growth as the primary reason. Job growth doesn’t drive housing demand, housing demand responds to job growth. Few people are against job growth, it is considered by many as sign of progress. There are many local economic development groups trying to attract new jobs by offering incentives for potential employers. Almost all communities are in favor of job growth but what about the housing needs that are created by this job growth? In many of the communities where people want to live creating more housing translates to more density. The truth be told, many people are in favor of more housing and more affordable housing as long as it not near them. According to recent DEED statistics, employment in the Twin Cities

metro area in the last 12 months has increased by 30,800 jobs. We have not been creating enough new housing units to keep up with that growth rate. As a result, we have a chronic shortage of homes available for sale, median sale prices are increasing faster than wage growth, a very low vacancy rate for rental housing, and rents that continue rise faster than the cost of living. It’s becoming increasingly difficult and expensive to develop and create any type of for sale or rental housing. If we are going to continue to have strong economic growth, then we are going to have to figure out a way to create enough new housing units at all price levels to keep up with the increasing employment growth.

“We have not been creating enough new housing units to keep up with that growth rate. As a result, we have a chronic shortage of homes available for sale, median sale prices are increasing faster than wage growth, a very low vacancy rate for rental housing, and rents that continue rise faster than the cost of living.” Herb Tousley, DIRECTOR OF REAL ESTATE PROGRAMS AT UNIVERSITY OF ST. THOMAS

What about new housing? Why does it take so long? Why is it so expensive? • Lack of entitled land • Difficulty and length of the entitlement process • Excessive impact and local • Zoning and bias against density • Inclusionary zoning • Rapidly increasing construction costs • Rapidly increasing land costs As long as our local economy continues to grow and is creating more jobs these are some of the issues that need to be addressed if we are going to come up with meaningful solutions to our housing market issues.

Closed Sales By Month

8000 7000 6000 5000 4000 3000 2000 1000 0

Jan

Feb Mar

Apr May Jun

2016

2017

Jul

Aug

Sep

Oct

Nov Dec

2018

SOURCE: UNIVERSITY OF ST. THOMAS

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Housing Market Report Year-To-Date SingleFamily Construction in Select Cities

State of Minnesota

Moorhead

82

Year-to-date Single-family construction is down nearly 2 percent in the state, but is up 4 percent in the Twin Cities metro. The summer months saw a slight loosening of the existing housing market with inventory finally ticking up and buyers slowing down. But there continues to be a serious housing shortage in Minnesota especially at the entry-level price point where multiple offers are still being seen.

SOURCE: CITY OF MOORHEAD

8,273

Duluth

2018 SingleMankato Family Permits

53

SOURCE: US CENSUS

SOURCE: US CENSUS

St. Cloud

172

SOURCE: CENTRAL MINNESOTA BUILDERS ASSOCIATION

Twin Cities

5,197 226

(St. Cloud-Area Data Not Reported to US Census)

Mankato

94

SOURCE: US CENSUS

Rochester

SOURCE: US CENSUS

SOURCE: US CENSUS

Twin Cities Median Sales Price

Minnesota Median Sales Price

SOURCE: MINNEAPOLIS REALTORS

SOURCE: MINNESOTA REALTORS HOUSING FIRST MINNESOTA COLLECTS THE ABOVE PERMIT INFORMATION FROM AVAILABLE PUBLIC SOURCES.

JULY 2018

JULY 2018

$268,000 +6.6% Y-Y Change

$244,745 +6.4%

JULY 2017

$251,500

JULY 2017

JULY 2017

$251,500

$230,000

Twin Cities Construction Employment Past 5 Months

United States

58

West - 58

SOURCE: DEED

$230,000

Y-Y Change

JULY 2017

Minnesota Construction Employment Past 5 Months

South - 57

SOURCE: DEED

Midwest - 63

Northeast - 59

Regional Remodeling Market Indicies, 2018 Q2 SOURCE: NAHB

The Overall Remodeling Market Index is calculated by averaging the Current Marketing Index and the Future Market Indicators Index. Any number over 50 indicates that more remodelers view remodeling market conditions as higher than the previous quarter. Results are seasonally adjusted. SIGN UP TO BE A PART OF THE HOUSING MOVEMENT • HOUSINGFIRSTMN.ORG

Minnesota has now added about 31,700 new jobs in the past three months, the third-highest for any such span dating back to 1990. Residential construction industry slowed its pace of hiring in July. The industry gained 278 jobs in July and is up 2 percent year-over-year.

HOUSING INDUSTRY NEWS

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MARKET REPORT

The Developing Trade War and the Impact on Interest Rates The U.S. economy is growing rapidly, and 2018 is shaping up to be the best year for economic growth since 2006. As a result, the Federal Reserve is a lock to raise rates by a quarter-point in September, and there is a 70 percent chance that they will do so again in December to cool down growth and prevent inflation from taking hold. But plenty can change before that. The biggest immediate threat comes from the rapidly escalating tradewar we are in. The most likely outcome of rising trade tariffs is a premature pause in the current interest rate rising cycle. A trade war will cause business demand for physical plant, equipment, and employees to contract due to heightened economic uncertainty. Trade wars will also cause consumer demand to lessen due to rising unemployment, higher prices, and falling consumer confidence, exacerbated by a decline in equity values. While such a slowdown would not be expected to be that large, it would still slow GDP growth and interest rate increases. If, however, the hit to GDP is bigger than

By ELLIOT EISENBERG GraphsandLaughs, LLC Elliot@graphsandlaughs.net

anticipated, because the quantity of imported goods facing steep tariffs rises substantially, rates could be reduced to ward off a possible recession. That would only occur if other fac-

and Wall Street. For this to happen, the economy would need to experience a series of strong negative supply shocks. It might happen like this: global trade conflicts quickly escalate, significantly driving up the cost of many im-

“My baseline is that the impacts of rising tariffs and protectionism are too limited to meaningfully alter the course of monetary policy.”

ported goods as well as domestically-produced substitutes. While the chances of seeing rates rise to ward off a rise in inflation expectations is highly unlikely, it is a worst case-scenario for both the economy and financial markets. This

Elliot Eisenberg

is because it offers a combination of faster inflation, weaker growth, and tighter monetary

tors came into play, as the current $50 billion in products facing tariffs along with any retaliatory actions by other nations is not nearly large enough to meaningfully reduce GDP, let alone drive us into recession. The bigger fear is that a trade war has the opposite effect on monetary policy and forces the Fed to raise interest rates. If this occurs, it would be very destructive to both Main Street

policy. My baseline is that the impacts of rising tariffs and protectionism are too limited to meaningfully alter the course of monetary policy. But, in the fog of (a trade) war, things inevitably go awry just think of Harley-Davidson’s unexpected decision to shift to offshore manufacturing and adversaries respond in ways not anticipated; be prepared.

Minnesota Ranks Fourth in Energy Efficiency

51

AVERAGE HERS INDEX IN MN

In a new report from the National Renewable Energy Research Laboratory (NREL), Minnesota had the fourth lowest average HERS Index in the United States behind Montana, Maine and Vermont. The report looked at the overall penetration of the HERS Index in the U.S. housing market and revealed that in 2017, 23 percent of all completed new homes in the U.S. were HERS rated, a 1 percent increase from the percentage of homes that were HERS Rated in 2016. With 35 percent of new homes HERS Rated, Minnesota ranked 11th in the country for number of homes rated. Minnesota’s average HERS Index was 51, a clear sign that homebuilders in the state build quality, energy-efficient homes.

PHOTO SOURCE: RESNET

How to Make the Most of Home Energy Rating System Scores A home’s Home Energy Rating System (HERS) Index is a great way to entice homebuyers. But how do you explain a HERS score to a buyer? RESNET is developing marketing tools to assist certified RESNET HERS Raters and their builder clients in marketing the HERS Index to consumers. As part of this effort, RESNET offers free consumer marketing pieces on the HERS Index. The RESNET HERS Index tools are designed to help HERS Raters

and their builder partners effectively promote HERS Ratings to prospective homebuyers. The tools are customizable, allowing builders to insert their company logos, information and contact information. Raters can download customizable brochures, HERS Index yard signs and HERS Index videos. Download link: http://resnet.us/professional/ hers-index-tools SOURCE: DAVE ROBERTS, NREL

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INDUSTRY IN ACTION

Housing Day at the Fair

Activities and roundtable discussions were held at the pavilion

The rain didn’t stop the housing industry from joining together to have a great day at the fair. The Minnesota REALTORS®, Minneapolis Area Association of REALTORS®, the St. Paul Area Association of REALTORS ® and Housing First Minnesota brought their members together to network, learn, and have fun at the state fair. The associations held activities and giveaways at the Horton Pavillions at Heffron Park along with several educational talks and roundtables. Rain didn’t stop attendees from having a great time

Association Presidents start the day off

Home Tours Across the State

Home built by Creative Homes, Inc.

Home built by TJB Homes, Inc.

Housing First Minnesota’s Parade of Homes Twin Cities will complete its 70th year at the close of 2018. This fall, the scattered home tour features 427 new homes for consumers to visit, free of charge, all across the metro. An additional 55 remodeled homes open the final weekend during the Remodelers Showcase. Although the popularity of home tours and the benefits to the housing industry has remained steady over the years, the Parade of Homes’ marketing plan has evolved over the past several decades. “In the early years, we used newspapers, radio, TV and basic guidebooks to promote our Parade,” said David Siegel, executive director for Housing First Minnesota. “Now, we combine radio and TV with sophisticated guidebooks rich in editorial content in both print and digital form and extend our marketing reach with targeted digital advertising and social media. Our website is an outstanding resource for our tours themselves, as well as providing year-round content for anyone looking for resources and inspiration about new homes and remodeling.” All across Minnesota, home tours presented by local builder associations give the public the opportunity to see the latest from their local builders and remodelers. They also provide industry partners the opportunity to showcase new products, designs and technology to consumers as they see the latest in new construction and remodeling.

“Now, we combine radio and TV with sophisticated guidebooks rich in editorial content in both print and digital form and extend our marketing reach with targeted digital advertising and social media.” David Siegel, EXECUTIVE DIRECTOR OF HOUSING FIRST MINESOTA

Housing First Minnesota 2018 Fall Parade of Homes Sept. 8-9, 13-16, 20-23, 27-30 2018 Fall Remodelers Showcase Sept. 28-30 Central Minnesota Builders Association 2018 Fall Tour of Homes Sept. 14-16, 21-23 Home Builders Association of Fargo-Moorhead

Minnesota River Builders Association 2018 Fall Tour of Homes Oct. 13-14 Northern Minnesota Builders Association Showcase of Homes Sept. 29-30 Rochestor Area Builders 2018 Fall Showcase of Homes Sept. 22-23, 29-30

Fall Parade of Homes Sept. 29-30, Oct. 6-7

2018 Remodelers Tour Sept. 22-23

Remodeled Home Tour Oct. 6-7

Vikingland Builders Association

Mid-Minnesota Builders Association

2018 Home Tour Aug. 25-26

Fall Lakes Area Home Tour Sept. 7-9 Have a story idea for this publication? Let us know! Send your story to info@housingfirstmn.org

Home built by RG Construction & Consulting, LLC

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INDUSTRY GIVES BACK

Move-In Day for Minnesota Assistance Council for Veterans The Housing First Minnesota Foundation and build partner Lennar are set to hand over the keys of the second home to be donated to the Minnesota Assistance Council for Veterans (MACV). Lennar started construction of the home back in April and wrapped up in August. A key ceremony is scheduled for mid-September. The five-bedroom home will be used

by MACV to house homeless female veterans, a population of the community that MACV says is in growing need. The Maplewood lot for this home was donated by the Minneapolis Area Association of REALTORS® Foundation. “We’re very excited to be donating a second home to MACV,” said Donnie Brown, Housing First Minnesota Foundation manager. “The work

MACV does for our veteran community is so important and we’re happy we are able to use the talents and generosity of our industry to be able to help them fulfill an important need.” Lennar helped the Housing First Minnesota Foundation complete a similar home for MACV last year that was built to house homeless veterans along with their families.

“The work MACV does for our veteran community is so important and we’re happy we are able to use the talents and generosity of our industry to be able to help them fulfill an important need.” Donnie Brown, HOUSING FIRST MINNESOTA FOUNDATION MANAGER

Home rendering from The Royal Club website.

Front entrance to the new MACV house under construction

Workers add the finishing touches to the home

The Artisan Home Tour Gives Back in a Big Way The Artisan Home Tour, a high-end home tour presented by Housing First Minnesota, not only hit an important attendance record in its fifth year, it also hit an important donation milestone to the Housing First Minnesota Foundation. The Artisan Home Tour has now donated nearly $100,000 dollars to the Foundation over the past five years. Since its inception the tour has made yearly donations to the Foundation. These contributions help the Foundation build and remodel homes for veterans and homeless families in need.

To find out how your company can support the Housing First Minnesota Foundation or become a Build Partner, contact Shelly Barrett at Shelly@BATC.org.

Artisan Home built by Hage Homes. Photography by Landmark Photography

NEARLY

$100,000 RAISED FOR THE FOUNDATION!

Artisan Home built by BohLand Homes. Photography by Landmark Photography

14 |

HOUSING INDUSTRY NEWS

Artisan Home built by City Homes, LLC. Photography by Landmark Photography

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M I N N E S O T A

HOUSING INDUSTRY NEWS

Golfing for a Good Cause

September 2018, Volume 2, Issue 3 PUBLISHER David Siegel David@HousingFirstMN.org EDITOR Katie Elfstrom Katie@HousingFirstMN.org GRAPHIC DESIGN Dawnita Parmely Hannah Swan Adora Vang ACCOUNTING Janice Meyer CONTRIBUTING WRITERS Katie Elfstrom Katie@HousingFirstMN.org

Nick Erickson

Custom One Homes golfers give back

Nick@HousingFirstMN.org

Mark Foster Mark@HousingFirstMN.org

David Siegel David@HousingFirstMN.org

James Vagle

James@HousingFirstMN.org

ADMINISTRATIVE STAFF Kate Wigley Kate@HousingFirstMN.org

Housing First Minnesota David Siegel, Executive Director Tom Wiener, President The Housing Industry News is a publication of Housing First Minnesota. Housing Industry News is published and distributed four times per year to housing industry professionals and others associated with the home building industry. Neither the advertisers, nor Housing First Minnesota, will be responsible or liable for misinformation, misprints, typographical errors, etc., herein contained. For address change information, contact Housing First Minnesota. Suggestions, ideas and letters are welcome. HOUSING INDUSTRY NEWS 2960 Centre Pointe Drive Roseville, MN 55113 info@housingfirstmn.org www.HousingFirstMN.org Housing Industry News is published by Housing First Minnesota Entire contents copyright 2018 All rights reserved

Housing First Minnesota is the voice for home builders, remodelers and all who are dedicated to building safe, durable homes at a price Minnesotans can afford. Housing First Minnesota was created to advance the interests of the housing industry, engage industry members, and to be the leading resource for housing-related issues in Minnesota. Housing First Minnesota features a modern, comprehensive advocacy program that is dedicated to helping industry professionals grow their businesses. Housing First Minnesota recognizes its role as the state’s voice for the housing industry and engages industry members in advocacy opportunities related to grassroots advocacy, legislative lobbying, regulatory issues with state agencies, political elections, and events such as Housing Day at the Capitol. Our advocacy work has never been more important. The housing industry remains under intense regulatory and political pressures that impact Minnesota homeowners’ ability to buy, build, and remodel their dream home. Housing First Minnesota supports reasonable regulations and protections, but our call for balance in rules and affordability for families is a voice that must be heard.

INDUSTRY GIVES BACK

Pulte Homes golfers hit the course

The homebuilding industry spent some time this summer on golf courses for good causes. Pulte Homes held its seventh annual golf tournament in July to raise money for the Housing First Foundation. More than 144 golfers took to the course for this year’s tournament at Dwan Golf Course in Bloomington. “We look forward to the Pulte golf tournament every year,” said Stephen Roche, Housing First Minnesota Foundation president. “It’s great to have a member company step up in such a big way to support the Foundation.” This year Pulte Homes raised over $20,000 for the Foundation. Custom One Homes also hit the greens for a good cause this summer. It hosted its annual golf tournament fundraiser at Prestwick Golf Course in July. Each year the tournament has helped Custom One raise money for the Make-A-Wish Foundation. “Our team takes pride in not only building homes but also building generosity and crafting kindness in our own backyard,” said Todd Polifka, president of Custom One Homes. “We look forward to this event every year as it helps us continue our efforts to give back to the community.” With the help of volunteers, trade partners, and presenting sponsors

Contract Interiors and Twin City Fireplace & Stone Co., the tournament raised $45,000 this year.

“Our team takes pride in not only building homes but also building generosity and crafting kindness in our own backyard.” Todd Polifka,

CUSTOM ONE HOMES PRESIDENT

Pulte Tournament trophies

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Profile for BATC-Housing First Minnesota

Housing Industry News Vol. 2 Issue 3 - September 2018  

Housing Industry News Vol. 2 Issue 3 - September 2018  

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