Table of contents
WHO WE ARE The Building Industry Association of Washington is the state’s largest trade association representing thousands of companies in the home building industry. BIAW is dedicated to ensuring and enhancing the vitality of the building industry for the benefit of its members and the housing needs of citizens.
BIAW STAFF Executive Vice President Greg Lane Government Affairs Director Jan Himebaugh General Counsel Jackson Maynard Administrative Services Director Jan Rohila R.O.I.I.® Select Director Mark Shaffer Communications & Public Relations Director Jennifer Spall
BUILDING INSIGHT EDITORIAL STAFF Communications & Public Relations Director Jennifer Spall Communications Manager Leah Jaber Writer and Editor Bailee Wicks Layout & Design Brenda Kwieciak
To submit editorial or advertise contact email@example.com.
HBA of Tri-Cities Chefs on Parade, featuring Viking Builders, LLC.
With a lawyer
An ideal career path
Local association happenings
BIAW’s legal affairs answers members’ most asked legal questions.
BIAW proposes viable solutions to help members do what they do best—build homes.
Construction safety managers can help average companies become successful ones.
Tour of homes allow builders and remodelers to showcase quality and craftsmanship. october 2019
President’s message Whenever I see a word that starts with the prefix re-, it is usually associated with another word which means again and again, for example redo, rewrite or remodel. So when asked to be a participant in the Washington state Disaster Resiliency work group (a group chaired by the Office of Insurance Commissioner (OIC) and tasked to review disaster resiliency activities), I looked in the dictionary to see if re- in the word resiliency applied to my rational thinking process—it didn’t. In Kendra Cherry’ recent article, The Importance of Resilience, she points out, “Resilience is what gives people the psychological strength to cope with stress and hardship. It is the mental reservoir of strength that people can call on in times of need to carry through without falling apart.”
Rick Hjelm President
Resilient people are aware of situations, their emotional reactions, and the behavior of those around them. By remaining aware, resilient people can maintain control of a situation and think of new ways to tackle problems.
Second responders Let me paint a scenario for you. Let’s say, a major earthquake hits and the aftermath results in significant damage throughout the region. Immediately, first responders would jump into action and within the first few hours and days do what they’re trained to do and take care of life, limb and safety needs. But then what? Well, folks, that’s when we, as in the home building industry, come into play. I like to refer to us as the second responders. We are the trained resilient professionals who know all about providing shelter. After a natural disaster such as an earthquake, I can guarantee, the urgent need for housing will be plenty. Right out of the gate, the immediate need may only be blue tarps and temporary walls, but eventually demand for permanent structures will grow. It would be a big benefit to our industry if we could work with the OIC to help educate the public that our industry is ready and prepared to meet the housing needs of our citizens if and when a natural disaster strikes. The public needs to know they can turn to the men and women of the home building industry who wear the “white hats” and not be pressured by opportunists driving out-of-state construction trucks. It’s time to rethink how we look at the role our industry will play if a major disaster happens in our state—because it will happen. Joseph P. Kennedy, the father of the late President John F. Kennedy, coined the phrase, “When the going gets tough, the tough get going.” Well, when tough times come, there’s no group who represents resilience better than the builders and associates who make up the membership of BIAW and its 14 local associations. Shoot, what volcano?
Coffee with a lawyer by Jackson Maynard General Counsel
BIAW Legal Affairs is excited to announce a new series, With a Lawyer, based on our members’ most often asked legal questions. The question and answer format will be published in Building Insight as well as a video version posted online at BIAW.com.
Question What is a lien?
Answer A construction lien is an effective way to secure payment for the labor and/or materials you put into a person’s property. In almost all cases, it is less expensive and time consuming than suing for breach of contract. When you file a lien, you have the right to require the county sheriff to sell the property you put work into and collect the amount owing from the sale proceeds. Because of this right to sell and collect, most lending institutions or other prospective purchasers will avoid any property that has a lien filed against it. Who would want to invest in a piece of property if someone else has the right to sell and take some of the money first? Thus, when you file a lien, you are in a much better position to secure payment from the unwilling owner because he or she will have a difficult time selling the property with a lien against it. The filing of a lien does not guarantee payment, but it does prevent the owner from conveying the property without paying the lien or posting a bond. If you have not filed a lien (or do not
BIAW General Counsel Jackson Maynard, host of BIAW’s new series, With a Lawyer.
meet the requirements to file a lien) but you do have a contract with the owner for the work you performed, then you can always proceed to court. Generally, a lien is a single piece of paper filed with the county recording office. However, Washington has some rules regarding who can file a lien and what the lien must contain. In the next With a Lawyer segment we will dive into, who can file a lien. If you would like to submit a question, email to firstname.lastname@example.org. Please note it is not possible to publish every question submitted.
Resources How to File a Lien: BIAW.com/Liens
Executive Vice President’s message You no doubt have noticed the complete refresh of BIAW’s monthly magazine, Building Insight. Please join me in thanking Communication and Public Relations Director Jennifer Spall and the entire communication team: Communications Manager Leah Jaber, Write and Editor Bailee Wicks, and Graphic Designer Brenda Kwieciak. We hope you all like the fantastic new style. Speaking of change, we continue to make progress on the relocation of BIAW’s headquarters. We recently closed on the purchase of the Parkside Building and are wrapping up plans for the remodel of the office space. We also have a buyer under contract to purchase the McCleary Mansion. (See page 11 for more information.)
Workforce Development update Greg Lane
Executive Vice President
Now that our children have settled back into the school routine, fall seems to be the perfect time to update you on BIAW’s workforce development plan. Many of you may have met Workforce Development Manager Al Audette, who has been traveling the state visiting with local associations, technical colleges, and other workforce development programs, collecting extensive data on training and best practices. In addition to the work Al has begun, we have had promising conversations with the Superintendent of Public Instruction Chris Reykdal and the Department of Labor & Industries, seeking common ground for programs that would allow teenagers to perform meaningful work and tasks on job sites. For example, BIAW proposed a 16-year-old, high school junior should be allowed to enter a state-recognized pre-apprenticeship and/or CTE program. These “student learners” would have the opportunity to learn on-the-job. This change will help ease the existing restrictions teenagers currently face. State law requires apprentices in building and trace occupations to be at least 17 years old to register with a sponsor in an approved apprenticeship program. Finding competent instructors is also a critical need. Washington state requires competent trainers “have training in teaching techniques and adult learning styles.” Today’s teachers in the K12 system cannot be considered. Why? The phrase “adult learning styles.” Removing the word “adult” would immediately increase the amount of qualified trainers to be competent instructors. Trainers are instructing 16 and 17-year-olds, not adults. Requiring an “adult learning style” for certification is not necessary. These are few of the steps BIAW is taking to address the skilled trades shortage in our industry. I look forward to continuing the discussion with our members to find meaningful changes to help with the advancement of our workforce development program.
looks at reviewing the Growth Management Act (GMA) and finding solutions to increase the housing supply. Housing inventory is meager across the board. The first-time home buyer segment is being hit the hardest. With baby boomers staying in their homes longer and downsizing options less affordable—the “middle rung” of the housing ladder is lacking.
by Jan Himebaugh
Government Affairs Director
Headline after headline across Washington and the country has been focused on the housing affordability crisis. Both sides of the aisle agree on the fundamental problem: supply. During an appearance on TVW, Lisa Brown, director of the Washington state Department of Commerce, noted that private developer input is needed as the state
The recent rise in tiny homes and accessory dwelling units (ADU), as well as up-zoning, are steps toward increasing the housing supply but is not the silver bullet to the attainable housing crisis. The average household, a family of four, is not seeking these options to fill their housing needs. Single-family home construction continues to be market-driven. The residential construction industry faces challenges including, but not limited to, infra-structure gaps, lack of a skilled labor workforce, increasing regulatory burdens and ever-skyrocketing fees. It is long past due to focus directly on the cost of new home construction and remove barriers so homebuilders can swiftly add supply to the market. It is imperative lawmakers seek solutions to help achieve market-rate affordability for all Washington’s citizens. As BIAW looks to offer housing affordability Solutions during the 2020 legislative session, our advocacy team will continue to be a voice for our members and promote viable solutions such as:
Housing Affordability Index
The chart below shows WA counties with a balanced or favorable HAI for first-time and all homebuyers—a meager 6 and 14 counties, respectively. HAI measures the ability of a middle income family to carry the mortgage payments on a median home price.
$410,600 WA Median Home Price, Q2 2019 +10% vs Q2 2018
49 40 30 20 10 0
14 6 First-Time Buyers
Source: Washington Center for Real Estate Research/UW
Clarify permit timelines Build accountability into the existing 120-day permit timeline. SEPA redundancy reform Why plan and re-plan only to be stuck in a State Environmental Policy Act (SEPA) appeal loop when the project complies with the underlying plan? GMA/SEPA and other government land-use rules and regulations need to be integrated. Attainable housing standards in GMA Jurisdictions must be made accountable to abide by a measurable set of metrics to meet housing attainablity standards—for all socioeconomic segments. Currently, there are no such metrics included in the GMA. Streamline plat process Increase minimum mandatory short plat thresholds and allow local governments the option to adopt higher short plat thresholds. october 2019
Certified Builders go above and beyond by Bailee Wicks Writer and Editor
Certified Builders are builders who go above and beyond standards set forth by the state of Washington. Every BIAW Certified Builder is fully vetted during the application process, ensuring they meet or exceed BIAWâ&#x20AC;&#x2122;s comprehensive standards. Building relationships with home buyers For home buyers, the buying and building process can become stressful, not to mention the influx of news stories about dishonest contractors. Builders now face having to prove themselves to potential clients as both trustworthy and professionals in their field to combat the stories. An easy way to do that is to become a BIAW Certified Builder. Why become a Certified Builder? A quick assessment of todayâ&#x20AC;&#x2122;s homebuyer shows they are demanding more transparency when choosing a home builder, notably when purchasing new home construction. They want to know who you are, what you stand for, and that you care. In recent
reports, companies who lead with authenticity, and communicate the intention to provide an excellent product, are those with consistent growth experience and high customer service ratings. A Certified Builder demonstrates a commitment to professionalism and high standards. It designates to consumers you have been thoroughly vetted and are at the top of your profession. Certified Builders also have access to an extensive tool kit designed to help market the certified builder designation to potential clients and home buyers. For more information on how you can go above and beyond as a Certified Builder, contact BIAW Certification and Education Manager Hillary Vanatta at (360) 352-7800, ext. 106 or email@example.com.
Become a Certified Builder today! Now is the best time to to apply to become a BIAW Certified Builder. Now through Dec. 31, BIAW members pay just $299 for approved applications. Take advantage of this special offer and apply today.
Meet our newest Certified Builders Deacon Band
Band Construction, Inc., Spokane
Deacon Band, owner of Band Construction, specializes in remodeling projects, as well as custom home design and construction. Band Construction also works on commercial and tenant projects throughout the Spokane area. Band insists on doing the right thing and putting honest and quality in front of his bottom line. Clients receive transparent pricing on all materials, subcontractors, and builder fees. He strives to build value into his projects, focusing on his client’s needs and personality first and foremost. Band truly enjoys what he does and most importantly, the people he does it with, who he considers his family.
No 7 Development, Mt. Vernon
Matt Kuehn, owner of No 7 Development, is a custom home builder and remodeling contractor that serves Skagit, Snohomish, and Whatcom counties. Kuehn’s focus has been to build a team that blends their individual experiences and backgrounds into one common goal—creating once-in-a-lifetime dream homes or transforming an existing home into a beautiful new and functional space. This allows Kuehn to take on challenging construction and remodeling projects, that others would probably not accept, and work together on solutions and methods to get the job done.
Reier Construction, Tacoma
BIAW performs a rigorous review of experience, past work performance, and vendor relationships. Every Certified Builder wholeheartedly agrees to a performance contract, making it easier for home buyers to choose the best builder possible.
Tom Reier, owner of Reier Construction, is an award-winning contractor that provides creative design-build solutions for projects of all sizes. Reier and his team have been serving the Tacoma area with quality remodels and custom build projects since 1994. He strives to achieve the highest levels of customer satisfaction by listening carefully to his clients and creating original solutions based on their individual needs. A key value of Reier Construction is to develop long-lasting relationships with clients built on respect and trust.
Cultivating Safety in the Workplace
An ideal career path by Bob White
Safety Services Director
The residential construction industry may be booming, but finding skilled trades workers to fill much-needed positions is becoming more and more difficult. Often companies with excellent safety reputations are more attractive options for job searchers. Companies that have created a positive culture of safety and teamwork are vital to hiring and retaining those employees. The role of maintaining a welcoming and safe environment often falls on the position of the safety manager. Safety managers play a crucial role in a company’s success and according to industry averages, comes with a competitive salary.
Generally, a construction safety manager is in charge of inspecting jobsite conditions and helps implement safety regulations to minimize injuries and accidents. Safety managers may also provide oversight of a company’s safety program and disseminate appropriate safety and health accident prevention and training for coworkers.
A position as a safety manager is also a good match for experienced workers who are not quite ready to retire or able to lift heavy items. Skilled and experienced employees make great mentors and can help to instill the importance of safe work habits to coworkers. Workplace injuries can contribute to low company morale, lost production time, and additional staff hours spent hiring new workers. Safe work habits are not only useful to practice on the jobsite, but they can also apply to an employee’s private life, too. Off-the-job injuries can be a significant disruption 10
to a company’s workforce, particularly smaller companies with less human resources. Maintaining a safe workforce will also help attract young people to choose our industry as a noble and stable career path. A safe work environment also prevents current workers from seeking employment with a competitor or switching career paths altogether. As the home building industry workforce continues to mature, hiring the best safety manager will play a critical role in completing projects safely, efficiently, and on budget.
BIAW closes on new home BIAWâ&#x20AC;&#x2122;s new headquarters, a three-story brick building, allows for 13,000 s/f of office space. BIAW personnel and two conference rooms will occupy the third floor. A communications studio, meeting space, and a full catering kitchen will be housed on the first floor.
by Jennifer Spall
Communications and Public Relations Director
In early Sept., BIAW officially signed the paperwork making the Parkside Building our new home. Approved by the board during the summer board meeting, the building, located approximately one mile south of our current location, is near the junction of I-5 and Highway 101. Located at 300 Deschutes Way SW, Olympia, the building is central to state and government offices, amenities and has high visibility from the freeway. The building has many advantages for BIAW, with more than 28,000 square feet of rentable space, of which is approximately 55% leasedâ&#x20AC;&#x201D;leaving 13,000 square feet for BIAW to occupy and grow. The leased space provides BIAW with non-dues revenue to help cover the cost of the maintenance of the building and associated financing.
Over the coming months, BIAW will hire a general contractor to begin demolition and construction of the new space, along with tenant build-outs. Tenant improvements are estimated to be at $1.5 million, or approximately $211 per square foot, half the cost of new construction. Our new office layout will be immensely more efficient than the historical McCleary Mansion. The third-floor design plans include a large training area for education programming, two conference rooms for meetings and staff collaboration, and a new communications studio. A meeting space and a full kitchen to host events round out the first floor plans.
Welcome new staff Receptionist and Administrative Assistant Cari Ruddy
Cari is BIAW’s new receptionist and administrative assistant. Cari grew up in the building industry, as a real estate broker and helping her parents with remodeling projects. Cari is also a commissioned notary public based in the Olympia area. Cari enjoys being outdoors, gardening, fixing up her home and spending time with her husband, Patrick, and beagle Dotts.
Claim Representative Krystal Lucas
Krystal has over six years of experience managing workers’ compensation claims matters and is currently working toward her bachelor’s degree in criminal justice. In her free time, Krystal enjoys spending time with her family camping and riding ATV quad vehicles. Krystal resides in Rochester with her husband, daughter, and dogs Missy and Lucy.
Claim Representative Jamie Stephens
Jamie previously worked as a claim manager with the Department of Labor & Industries for eight years before coming to BIAW. She has a degree in Healthcare Management and Pharmacy Technology. Jamie lived in Saudi Arabia for four years and has traveled around the world; visiting Cypress, England, Egypt, Germany, Greece, and the Netherlands. Jamie loves spending time with her husband of 17 years and two awesome kids.
Government Affairs Manager Ashlee Delaney
Ashlee is the newest member of the government affairs team. Ashlee comes to us from Delaware where she worked as a legislative assistant to the state Senate minority leader. Most recently she was executive assistant to the chief of staff of the Washington state Senate Republican Caucus. In 2012, Ashlee earned her master’s degree in political science from the University of Colorado. Ashlee’s husband, Neil, is stationed at JBLM. They reside in Lacey and in their spare time enjoy watching football, hiking and playing tennis.
Green building, or sustainable design, is the planning, design, construction, and operation of homes and buildings with several central considerations: energy and water use, indoor environmental quality, and material selection.
Celebrating Built Green by Jennifer Spall
Communications and Public Relations Director
Built Green is the holistic green home certification program of BIAW’s local association, the Master Builders Association of King and Snohomish Counties. In addition to certifying green homes, remodels, apartments and communities, Built Green has cultivated a member network of companies and individuals involved in the green building industry, along with the research and marketing of the human and environmental benefits of green building. This work is on display at the annual Built Green Conference held last month in Lynnwood. Attendees were able to learn about cutting-edge information on green building and sustainability through an array of immersive topics.
Photo courtesy of Keith Hammer, nwBuilt
Conference speaker, futurist Alex Steffen presented how bold visions, innovative approaches, and new designs make cities not only sustainable and ruggedized for a healthy future, but also more economically competitive and socially fair. Additionally, architect and designer Julie Willem with Sebastian Moreno-Vacca and Manon Meskens of A2M Architects in Brussels addressed attendees on the concept of “permacity,” which applies the notion of permaculture to the design of carbon-positive urban districts. From building science to policy and post-occupancy research to discussions on equity, affordability, community issues, and more, the full-day conference provided education and insight for all. Topping off the conference was the award portion of the event. Built Green members were honored for best builder, best developer, best Built Green advocate, and best Built Green pioneer. Judge’s choice and project of the year categories rounded out the accolades. october 2019
LOCAL ASSOCIATION HAPPENINGS 14
04 1. 2. 3. 4.
MBA of Pierce County Young Professionals Council’s, Day at the Races! at Emerald Downs Racetrack. Clark County HBA Parade of Homes, featuring Axiom Luxury Homes, LLC. Central WA HBA Tour of Homes awards event. Kitsap Building Association’s, steampunk-themed, Foundation dinner featured silent and live auctions.
07 5. 6. 7.
MBA of Pierce County Tour of Remodeled Homes, featuring Phase II Construction. Central WA HBA Tour of Homes, featuring Timothy Lovelass Construction. SICBA Home Tour, featuring John Piazza Jr. Construction & Remodeling.
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Building Industry Association of Washington 111 21st Avenue SW | Olympia, WA 98501 (360) 352-7800 | BIAW.com |
Tuesday, November 5 Drop boxes close promptly at 8 p.m.
SAVE THE DATE
BIAW Fall Board Meeting Plan to attend BIAW’s fall board meeting at the Historic Davenport Hotel. Join us for 2½ days of information-packed meetings, workshops, and celebratory events. Discounted room block released October 9. Nov. 6-8 | Historic Davenport Hotel Spokane
General Membership Luncheon & 2020 Election Join us for lunch! Voting will take place for officers, representatives, and delegates. Sign in to receive your director’s voting ribbon. Thurs., Nov. 7 | 11:30 a.m. | $35 RSVP to your local association
Installation and Awards Ceremony You’re invited! Help celebrate the installation of BIAW’s 2020 senior officers, Builder, Associate and Remodeler of the Year, and Hall of Fame inductee. Thurs., Nov. 7 | 7:00 p.m. | $65 RSVP to your local association
Board of Directors Meeting Get the latest updates on BIAW’s committees and councils. Friday, Nov. 8 | 9:00 a.m. | Open to all
New Home Warranties • Wide variety of warranty programs including customized state, remodeler and building systems • FHA/VA Approved • Insurer Rated A-(Excellent) by AM Best • General Liability Insurance available
800.247.1812 ext. 2633 firstname.lastname@example.org www.rwcwarranty.com/WAInsight
A solid foundation for your business!