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Bismarck-Mandan Home Builders Association
Building Buzz Building the Future of Bismarck-Mandan Since 1958.
April 2014 Permit Report: Feb. 2014 Page 2 President’s Letter Page 3 Member Highlights Page 5-6 Member Minute: BMHBA Members in the News Page 7 Home Show Attracts Over 6000 Spectators Page 9 Don’t Miss These Upcoming Educational Opportunities Page 10-11 EPA Drops Plans for New Post-Construction Stormwater Rule Page 12 NDAB News Pages 14-15
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BMHBA Building Buzz
April 2014
Building Buzz Publisher/Editor: Dot Frank Layout Editor: Chelsea Gleich Building Buzz is a publication of the Bismarck-Mandan Home Builders Association 2600 Gateway Ave., Suite 1 Bismarck, ND 58503 Phone: 701.222.2400 Fax: 701.250.9730
Your membership is three-in-one: BMHBA, NDAB and NAHB
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Professionals building our community through promotion of home ownership, education and legislation since 1958.
Bismarck-Mandan Permit Reports Through February 2014 BISMARCK - monthly/yearly permit reports can be found at www.bismarck.org Permit Type
YTD 2014
YTD 2013
New Residential Single Family Detached Single Family Attached Duplex 3 or 4 Unit 5+ Unit Residential Garages New Commercial Alter Public
15/$12.667M 10/$2.11M 2/$.357M 0/$0M 0/$0M 3/$10.2M 1/$.004M 11/$1.14M 2/$.12M
33/$5.678M 25/$4.49M 7/$.988M 0/$0M 0/$0M 1/$.200M 1/$.011M 7/$5.32M 1/$.006M
MANDAN - monthly/yearly permit reports can be found at www.cityofmandan.com Permit Type
YTD 2014
New Residential Single Family Two Family Condos Apartments Remodel and Additions New Commercial Alter Commercial
1/$.030M 1/$.030M 0/$0M 0/$0M 0/$0M 27/$.685M 0/$0M 8/$5.59M
YTD 2013
6/$1.556M 6/$1.556M 0/$0M 0/$0M 0/$0M 33/$.504M 0/$0M 3/$.137M
April 2014
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BMHBA Building Buzz
A Word from Our President Spring is in the air; it may be mixed in with shots of winter, but I’m willing to take any and all days that indicate summer will come this year. As temps increase, so do the activities at your association. We’re gearing up for the Spring Parade of Homes, which will run April 25-27 and May 2-4. To date, we have 41 homes registered; that’s 37 percent more homes that last year’s parade, which attracted 30. This is another sign that our Vance Vetter industry is experiencing Board President continued growth. Thank you to all of the builders who are participating this year, I know the work that goes into pulling a parade home off. Mark your calendars for the Spring General Membership Mixer on May 15. All members are encouraged to attend as we unveil the winners of the Spring Parade of Homes Judges’ and People’s Choice Awards. Registration is open online at bmhba.com/ events. Looking ahead, the association has scheduled meetings with the City of Bismarck and the State of North Dakota to discuss storm water management. The meetings are tentatively set for April 10 and 11, to provide two options to attend. The association has been working hard to address builder concerns regarding storm water and we’re excited to share that real progress is being made. Keep an eye out for additional details. Now to look back. The Association hosted the 37th Annual Home Show March 14-16 at the Civic Center. Attendance was impressive considering the competing
athletic events taking place in Minot and the Minot Association of Builders Home Show. Total attendance was 6,835. That’s down just 3 percent from year prior. Revenue-wise, the event was 11 percent higher grossing than last year, due to an increase in the number of booths sold. Thank you to the Home Show Committee and Chair Greg Zenker in particular. The Home Show is one of the largest local events and you did a tremendous job. March marked our first North Dakota Association of Builders (NDAB) board meeting of the year. The meetings were well attended and allowed our local to hear what other locals are experiencing and strategize ways to work together for the benefit of all builders. We also participated in delegate meetings coordinated by NDAB. Your concerns were shared with Senators Hoeven and Heitkamp and Congressman Cramer. If you haven’t been to the association office lately, I encourage you to swing by. We’ve renovated the space to make it more comfortable for members to meet, network and conduct business. Thank you for your continued support through membership renewals, event registrations and sponsorships. We’re putting your investment to work each and every day.
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BMHBA Building Buzz
Calendar of Events April 10 & 11: Storm Water Management Panel Discussion April 16: Membership Committee Meeting April 22: BMHBA Board Meeting April 25-27 & May 2-4: Spring Parade of Homes *All Board/Committee Meetings held at the BMHBA office*
February 2014 New Members 4T Ranch Developers, Inc. | Jackie Andahl Phone: 701-333-8087 Real Estate/Developers
BBT Homes, Inc. | Tom Schumacher
Phone: 701-391-3200 Website: bbtnd.com Home Builder (Custom), Home Builder (Multi-Family), Home Designing, General Contractor
Cedar River Cabinetry | Nick Cook III
Phone: 701-955-5115
Website: cedarrivercabinetry.com Cabinets
Diamond Hardwood Flooring, LLC | Logan Hegland Phone: 701-866-0026 Website: diamondhardwoodflooring.com Hardwood Flooring
Flickertail Construction, LLC | Grant Miller Phone: 701-426-4734
Wells Fargo Home Mortgage - Joe Fink
Phone: 701-222-5523 Website: applywithjoe.com Mortgages, Financial Services
LeeUnLimited | Clint Birkeland
Phone: 605-365-5430
Website: powerbench.com Tools
Leisure Palace | Jason Dodson Phone: 605-224-7727
Modular Dimensions Construction Services USA, Inc. | Byron Robinson Phone: 407-529-7408
MVP Contracting | Michael Visner
Phone: 715-891-7222 Website: mvp-contracting.com Cabinets, Carpentry, General Contractor, Home Builder
Precision Pavers | Eric Ellertson Phone: 701-741-1119 Landscaping, Landscape Products
Premier Homes, Inc. | Wade Vogel
Phone: 701-226-1809 Website: premierhomesnd.com General Contractor, Home Builder (Multi-Family & Custom)
Tamarack Materials Northland | Randy Bannor Phone: 701-258-0756 Website: tamarackmaterials.com Drywall, Insulation, Steel Manufacturing, Tools
April 2014
2014 Board of Directors PRESIDENT Vance Vetter Vance Vetter Homes Phone: (701) 751-8218
PAST PRESIDENT Eric Brenden Northwest Contracting Phone: (701) 255-7727
SECRETARY/TREASURER Lynn Klein Gate City Bank Phone: (701) 355-7633
Paula Haider Haider Glass Specialties Phone: (701) 250-6787
1ST VICE PRESIDENT Drew Knutson Knutson Homes, Inc. Phone: (701) 258-3464
Nathan Jones Tollberg Homes Phone: (763) 205-2037 Scott Moran Hallmark Homes Phone: (701) 471-8796 Bill Schmid Townsquare Media Phone: (701) 250-6602
2ND VICE PRESIDENT Greg Zenker Ferguson Enterprises Phone: (701) 663-2446 Chad Moldenhauer K & L Homes, Inc. Phone: (701) 258-4584 Shannon Reichenberg Diversity Homes Phone: (701) 220-8177 C.J. Schorsch Fleck’s Furniture & Appliance Phone: (701) 323-0891
BMHBA Building Buzz
April 2014
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Member Higlight: BBT Homes, Inc. Company Name: BBT Homes, Inc. Contact Name: Tom Schumacher Job Title: Construction Manager Phone Number: 701-391-3200 Website: http://www.bbtnd.com
When was your company founded? Where and by whom? The company is incorporated in North Dakota and was founded in March of 2013. The founders are: Bruce Miller, Barney Schumacher and Tom Schumacher.
a reputation as a distinctive builder in the Bismarck market. We have a couple of houses currently available for sale and will be ramping up our activities for a new set of builds in the spring.
Which products/services would you say are “bestsellers”? We have been focusing on building distinctive homes for the entry level market.
What do you enjoy most about your job? I enjoy being creative and using my management skills to fulfill a client’s dream of owning an affordable high quality home with unique features.
What type of products/services does your company provide? We are a professional home builder located in Bismarck, North Dakota. What sets your company apart from the competition? We are privately financed and do not carry debt. In addition, we have extremely low overhead. This allows us to put our money into our houses and provide an extremely high quality product with distinctive details. What is your company’s mission statement (if you have one)? We strive to build the highest quality homes at the most affordable prices. Is there anything new or interesting happening in your company or industry right now? We are focusing on building our brand image and developing
How many employees does your company employ? 1 full time (Tom Schumacher)
What is the biggest challenge facing your company/ industry right now? How are you dealing with it? The cold weather appears to have created a temporary slowdown in the market resulting in some accumulated inventory. Our expectation is that this will be absorbed very quickly when the weather becomes more temperate. As such, everyone will likely be starting new builds at the same time and that is always a challenge.
If you had only one sentence to sell your company to a potential customer/client, what would you say? We are structured to build the best product at the best price in the market. That is a universal formula for success.
Member Higlight: Cedar River Cabinetry, LLC
Company Name: Cedar River Cabinetry, LLC Contact Name: Nicholas Cook, Anthony Cook, Sean Roberts Phone Number: 701-955-5115 Address: 801 S. 18th St., Unit 5, Bismarck, ND
Cedar River Cabinetry is a growing new business founded by myself, Nick Cook, my son Anthony and a lifelong friend and fine home builder, Sean Roberts. We attribute our growing success to years of combined experience in the building industry and interior woodworking and to a time tested foundational principle, which is personal integrity. We value a straightforward approach to doing business, exemplified in this set of values; treat people right, give them more than they ask for and stand behind your products and services. At Cedar River Cabinetry we specialize in fine custom cabinetry for all areas of our client’s homes or businesses. We consider it a personal business value to
know our customers and personalize our services for them.
The internet has expanded the creative minds of all who appreciate exceptional design and craftsmanship and this awareness has lead to a wider variety of options being requested by customers. At Cedar River Cabinetry we understand that custom cabinetry today, especially in the kitchen area, requires a coordinated effort with lighting designers, specialty appliances providers and the customers desired end use of the kitchen space. The primary challenge we face at Cedar River Cabinetry is to help our customers understand the differences in the quality of cabinets on the market and ensure they make informed choices. We believe a customer should buy the highest quality cabinetry they can afford.
We’re enthusiastic about what the future holds in the expanding world of fine custom cabinetry. It’s our hope that we can serve you in some way and that you too have great success in your business.
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BMHBA Building Buzz
April 2014
Member Higlight: Tamarack Materials Northland, Inc. Company Name: Tamarack Materials Northland, Inc. Contact Name: Randy Bannor Job Title: Branch Manager Phone Number: 701-258-0756 Website: tamarackmaterials.com
When was your company founded? Where and by whom? 1981, Bloomington, MN. Richard Mueller, Richard Whitcomb
What type of products/services does your company provide? We carry a large variety of items: PPE safety equipment, drywall, steel framing products, joint compounds and corner beads, insulation, Armstrong Acoustical ceilings, STO EIFS products, plaster products including metal lath, fire rated lumber and plywood, screws, Pro Tect protective floor and window coverings, any drywall and taping tools needed in the industry plus more. Which products/services would you say are “bestsellers”? Drywall and steel framing products are our big movers as far as products.
What sets your company apart from the competition? We are a full service stocking drywall distributor, we deliver the materials for the projects and put them inside the buildings or rooms where and when the contractor or customer needs it, saving them valuable time and saving labor costs.
What is your company’s mission statement? TAMARACK- Teamwork And Motivation Along with Respect
Adds Customer Service Knowledgeable friendly, safe, hardworking employees!
Is there anything new or interesting happening in your company or industry right now? There is a lot happening in our business, we will be having our Grand Opening May 14, 2014 to showcase our new location and introduce our employees and products to our customers. Our major suppliers will be on hand to answer any product questions. How many employees does your company employ? 10 currently in Bismarck What do you enjoy most about your job? Meeting new customers and building lifelong business partners and friendships.
If you had only one sentence to sell your company to a potential customer/client, what would you say? We offer great service, quality products at a fair price and customer satisfaction is top priority!
Anything else you would like to include? It has been a pleasure meeting and working with all of our local customers and people that support our industry, from repair shops for getting our trucks and forklifts serviced to printing companies etc. We are very happy to be in Bismarck, ND.
Member Higlight: First Community Credit Union
Company Name: First Community Credit Union (FCCU) Contact Name: Mike Christianson Job Title: Mortgage Originator Phone Number: 701-3554585 Website: www.myfccu.com
need as well as the flexibility of being a local lender.
What type of products/services does your company provide? FCCU offers a wide variety of banking products from checking and saving accounts to CDs, IRAs, home loans and commercial loans.
Is there anything new or interesting happening in your company or industry right now? FCCU has implemented new checking and savings accounts through Kasasa. Kasasa offers FCCU members great rewards such as cash back, ATM refunds and high dividend rates on deposits.
When was your company founded? Where and by whom? First Community Credit Union was founded in Jamestown, ND in 1939.
Which products/services would you say are “bestsellers”? FCCU provides a variety of services, but certainly auto loans, home equity loans, checking and savings and CDs are among the top choices.
What sets your company apart from the competition? FCCU is in a unique position as the largest credit union in the state of North Dakota. This affords us an opportunity to provide all the products an individual or business would
What is your company’s mission statement? Our mission is “To provide individualized financial solutions for our members through competitive products and well-trained empowered employees.”
How many employees does your company employ? FCCU employs 149 full and part-time employees. If you had only one sentence to sell your company to a potential customer/client, what would you say? FCCU is the best of both worlds. We are the largest credit union in North Dakota with around $450 million in assets and we still maintain a small town attitude.
April 2014
BMHBA Building Buzz
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Member Minute: BMHBA Members in the News Cindy Dregson Achieves Presidents Club BNC National Bank recently announced Cindy Drengson, Loan Originator at BNC’s downtown Bismarck office, received the President’s Club Award for the second consecutive year. This award is based on volume and closings in 2013 and presented to the top producers. Cindy Drengson Cindy graduated from the University of Mary and has worked in banking since she was 15, starting out as a teller. She has been originating residential mortgage loans in the Bismarck-Mandan area for over 13 years. Laura Dwyer Joins BNC National Bank’s Mortgage Division BNC National Bank recently hired Laura Dwyer as a Mortgage Originator for the North Dakota market. Dwyer graduated from the University of Mary and has worked over 11 years in banking, starting as a mortgage processor, and then underwriting and most recently as a mortgage lender. She has been an active Laura Dwyer volunteer with Rebuilding Together and is a foster care provider. Dwyer’s office is located at BNC’s Century avenue branch and she can be reached at 701250-2707. Kupper Chevrolet Employees Awarded Numerous Kupper Chevrolet employees have been honored with General Motor’s Mark of Excellence award. Wade Huber, David Hanson, Keith Feist, Jason Knudson, Gene Van Lishout, David Wald, Al Braun, Shane Hill, Rodney Sandvig, Erik Olson and Royce Nelson have received the Mark of Excellence award because of their commitment to excellence, obtaining sales objectives and maintaining superior CSI scores. In 2013, Kupper Chevrolet exceeded Division sales, CSI, RSI and EBE objectives and is recognized as one of the highest performing Dealers in the country. Kupper Chevrolet has also been recognized as North Dakota’s Top
Retail Chevrolet Dealer, according to December 2013 YTD Retail Sales.
North Dakota Guaranty & Title Announces the Addition of Two Staff Members Two commercial officers have joined the North Dakota Guaranty & Title Co. team in its Bismarck, N.D., office. Steve Wetzel now is a Commercial Title Officer. Wanda Oster Steve Wetzel Prior to joining NDGT, Wetzel worked for 16 years as a Sales Manager at Gerald Wetzel Motors Inc. He attended Bismarck State College where he majored in business management. Wanda Oster now is a Commercial Closing Officer. Oster has more than 17 years of lending experience. She received a bachelor’s degree in business administration from Dickinson State University. Baustad Joins Bianco Realty Bianco Realty is excited to announce the newest REALTOR® to join their company: Jeni Baustad. Jeni looks forward to helping you with all your Real Estate needs, achieving your dream of home ownership and providing a Tradition of Excellence! Jeni Baustad
Bianco Realty Sales Awards Bianco Realty has named Shirley Thomas and Desri Neether Associates of the Month! Shirley and Desri had the most closed sales at Bianco Realty for the month of February 2014. Shirley has been a licensed Shirley Thomas Desri Neether REALTOR® since 2001 and Desri has been a licensed REALTOR® since 2013.
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BMHBA Building Buzz
April 2014
Strikes, Spares and the Occasional Gutter Ball Bowling with the Builders drew 67 members to Midway Lanes in Mandan for the annual networking and entertaining event. Participants were treated to travelling tacos, a drink ticket, two games and stylish shoes. Prize sponsors helped off-set participation costs and provided for prizes bestowed upon the highest and lowest score bowlers for two games and the trick lane prizes.
Thank you to all of our members for participating in Bowling with the Builders and thank you event sponsors: D&M Industries, Kevin Fischer Construction, ND Guaranty & Title Company and Northland Financial.
Parade of Homes Hits All-time High for Homes
The Bismarck-Mandan Home Builders Association will host its annual Spring Parade of Homes during the last weekend in April and first weekend in May. “Despite last year’s short construction season and this year’s late start, we have tremendous participation in the Spring Parade,” said 2014 Parade of Homes Chairwoman Meghan Aberle of Western Steel & Plumbing.
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This year’s Spring Parade of Homes will feature 42 homes built by 32 home builders. “Last year’s Spring Parade included 30 homes,” said BismarckMandan Home Builders Association President Vance Vetter. “That’s a 40 percent increase, which is impressive considering the seasonal construction limits we faced last year and this year,” he added. The BMHBA Spring Parade of Homes allows spectators to check out new construction as they visit each of the homes over the course of two weekends. Tickets are available at any home on the Parade route for just $5 each, children 18 and under are free. The tickets are good for admission at each home and are valid for both weekends. Parade homes are grouped into nine price categories and spectators will get a chance to vote on People’s Choice for each price point. Additionally, two grand prizes are up for grabs: a $1000 gift card courtesy of Magi-Touch Carpet One Floor & Home, and a Corwin Churchill Appliance Co. prize package that includes a wine fridge and dishwasher. “We encourage patrons to pick up a parade book at any Dan’s SuperMarkets, Cashwise Foods or the BMHBA office,” said Aberle. The book serves as a guide to each home, detailing the construction and cost and also provides a map to all homes.” The Spring Parade of Homes runs April 25-27 and May 2-4. Viewing times are 6-8:30 p.m. on Friday, 11 a.m. to 5 p.m. on Saturday, and 12-5 p.m. on Sunday. Visit www. bmhba.com for more information.
April 2014
BMHBA Building Buzz
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Home Show Attendance Could Indicate Strong Construction Season 37th Annual BMHBA event attracts more than 6300 spectators over three days The Bismarck-Mandan Home Builders Association (BMHBA) wrapped up its 37th Annual Home Show on Sunday. “We are extremely pleased with this year’s turnout,” said event Chairman Greg Zenker. “Both vendors and spectators shared that the show felt busy, which is what we want to hear at a show.” The Home Show, which was open from 3-9 p.m. on Friday, drew close to 1500 people that night. The crowd swelled on Saturday topping more than 3100 spectators between the show hours of 10 a.m. and 5 p.m. On Sunday, more than 1800 people strolled through between 12 and 5 p.m. “To put things into perspective, the Home Show pulled in a crowd that rivals the entire population of Valley City,” said BMHBA Executive Officer Dot Frank. “It felt busy, but it’s hard to comprehend just how many people are interested in our industry’s products and services until you start comparing our attendance numbers.” The Home Show featured more than 200 exhibits that showcased everything from siding and shingles to
Give Back: Help Build a Backpack
windows, water features, bathroom fixtures and kitchen cabinets and cooking supplies. “The Home Show continues to be a valuable event for the Bismarck-Mandan community,” Frank says. “It provides an immediate boost to the local economy as vendors and spectators spend money in our cities, but on a larger scale it motivates the do-it-yourselfers, first time homebuyers and remodelers to spend.” The BMHBA doesn’t slow down after the Home Show. Plans are now underway for the Spring Parade of Homes, which will run the last weekend of April and first weekend in May.
The BMHBA is participating in the Bismarck Mandan Board of REALTORS Backpacks for Kids project. Between now and April 17, we will be collecting backpack-ready food items at our office. All the food will be donated to the United Way’s Backpacks for Kids program, which supplies food-filled backpacks for children to take home on Fridays to ensure they have food to sustain them over the weekend. The new “REACT” (Real Estate Affiliates Care Team) – a task force of the Bismarck Mandan Board of REALTORS to promote community involvement– is taking this on as its first project, and we want to help! Thank you for your generous support!
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BMHBA Building Buzz
April 2014
Don’t Miss These Great Educational Opportunities Free Forklift Operator Training on May 29 The Bismarck-Mandan Home Builders Association is proud to offer its members free safety training through a cooperative agreement with the North Dakota Association of Builders, the North Dakota Safety Council (NDSC) and North Dakota Workforce Safety & Insurance. Forklift Operator Training will be hosted on Thursday, May 29 from 8 a.m. to noon at the NDSC office, which is located at 1640 Burnt Boat Dr. in Bismarck. Forklift Operator Training is designed to meet OSHA
formal instruction training requirements for operators of powered industrial trucks. The course includes safe operation, maintenance, protection of personnel, load center, unloading and loading of trucks, intersections and more. It is classroom only and does not include operation certification. Class size is limited to 35 participants. Registration is required. Visit www.bmhba.com/events or call 2222400.
The Bismarck-Mandan Home Builders Association is proud to offer its members free safety training through a cooperative agreement with the North Dakota Association of Builders, the North Dakota Safety Council (NDSC) and North Dakota Workforce Safety & Insurance. CPR/AED/FA Training will be hosted on Thursday, May 29 from 12:30 to 5:00 p.m. at the NDSC office, which is located at 1640 Burnt Boat Dr. in Bismarck. CPR/AED/FA Training will teach participants to take action in a medical emergency and prepare them to respond to choking, breathing and cardiac emergencies.
Participants will learn how to use an automated external defibrillator (AED) in conjunction with CPR. First Aid is taught using a combination of instructorled lecture, “watch-then-practice” videos, and handson training. Topics such as bleeding, burns, poisoning and sudden illness are covered. Upon completion, participants will receive an Adult 2-year CPR/AED certificate and 3-year First Aid certificate. Class size is limited to 35 participants. Registration is required. Visit www.bmhba.com/events or call 2222400.
Free CPR/AED and First Aid Training on May 29
STORMWATER CENTRAL
Storm Water Session with State and City Officials Builder members are invited to a panel discussion on storm water management from 11:30 a.m. to 1:00 p.m. at the Bismarck Public Works building at 601 S 26th St. on Thursday, April 10. We will host the same event on Friday, April 11 from 7:30 to 9:00 a.m. to accommodate more schedules. The association has been working to address builder and contractor concerns regarding storm water management, particularly the paperwork, enforcement and fining. The event will feature both city and state storm water staff. • Storm Water Management Panel Discussion • Storm Water Update: City of Bismarck
• Storm Water Update: State of ND • Commentary on Collaborative Arrangements between City and State • NEW! Filing Requirements • Q&A Session The meeting will serve as an opportunity to hear about the progress the association is making with both entities regarding storm water management and will allow participants the chance to see the new and improved filing option as well as ask questions of each department. Lunch will be served and event registration is required. Visit www.bmhba.com/events or call 2222400.
April 2014
BMHBA Building Buzz
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Don’t Miss These Great Educational Opportunities Hot Time on the Job Site: Heat Stress in Construction Bismarck Session: Wednesday, April 23 – 9:00 to 11:00 AGC of North Dakota, 422 N 2nd St., Bismarck About: Heat stress can be a major health hazard on construction sites. According to the Bureau of Labor Statistics (BLS), 12 construction workers died from “environmental heat” in 2012. OSHA has begun to focus more closely on the hazards associated with heat stress. While OSHA does not currently have a heat stress regulation, their general duty clause has been used to cite contractors for exposing workers to excessive heat conditions.
This program will discuss: • Heat illnesses – signs and basic first aid • Current regulations covering heat stress • Evaluation of heat stress potential on the job site using the wet bulb globe temperature and heat index
• Suggestions PRESENTED BY: to help monitor individual workers for possible heat stress problems • Suggested training for both workers and supervisors • Controls (engineering, administrative and PPE) to help reduce the likelihood of heat related problems on the job site.
To register: Please contact Maurizio Delcaro at AGC of North Dakota. Call 701.793.2510 or send email to mdelcaro@agcnd.org if you would like to register, or for more information.
BMHBA Building Buzz
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April 2014
National News EPA Drops Plans for New Post-Construction Stormwater Rule In a major win for the home building industry – and common sense – the Environmental Protection Agency (EPA) will jettison plans for a National Post Construction Stormwater Rulemaking, plans that NAHB repeatedly told the agency would have added onerous, costly and in many cases impractical steps to the residential development process. “It’s been a five-year bureaucratic battle, but we won. That’s a victory for our buyers as well,” said Kevin Kelly, NAHB chairman and a home builder and developer from Wilmington, Del. Since EPA first announced its plans in December 2009, NAHB staff and members have submitted comments and letters, testified at hearings, served on small-business panels and met with appointed and elected officials to explain why EPA’s proposal was an incursion into landuse regulations and plain wouldn’t work. In essence, a rule would have required all builders to retain a certain volume of stormwater onsite by using low-impact development techniques such as rain gardens, pervious pavements and other methods that often add money especially on sites with soil types that don’t easily infiltrate.
Some of the technologies EPA was considering would be almost impossible in many urban areas, making smart-growth and redevelopment projects less likely to succeed. They are also expensive: Builders who employ these practices have estimated they add at least 10-15% to the cost of a developed lot, depending on location and soil type. EPA was also considering expensive retrofit requirements that would saddle municipalities and taxpayers with huge additional bills during a time when many cannot keep up with current infrastructure demands. “Green infrastructure systems are still a work in progress, and as technology progresses, we’ll discover solutions that work better and are less expensive,” Kelly said. “I’m glad that EPA has decided to concentrate on education programs rather than proposing this rule, and I am proud of the role we played to make that happen.” NAHB is talking to EPA about assisting with its low-impact development education efforts, and such practices already are part of the voluntary ICC 700 National Green Building Standard.
President Obama on March 21 signed into law flood insurance legislation championed by NAHB that will benefit home buyers, home owners, home builders and remodelers. The legislation provides a more affordable rate structure for policyholders; repeals the requirement that flood insurance premiums increase immediately to full actuarial rates for homes that are sold; and restores “grandfathering” for properties that were paying premiums applicable to their initial flood risk rating,
allowing owners to pay premiums based on the original risk zone rather than updated flood risk zones. The bill also requires the Federal Emergency Management Agency’s remapping process to take into account local flood control structures and provides reimbursement for successful consumer map appeals. Further, it restores the “substantial improvement threshold” that triggers a higher flood insurance rate to the historic 50 percent level of a structure’s fair market value, important to many remodelers.
Flood Insurance Bill Signed into Law
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April 2014
BMHBA Building Buzz
Page 13
New Homes Meet Demands of Today’s Families The home building industry is celebrating New Homes Month in April, just as many families begin to think about buying a home that better suits their needs during the spring home-buying season. With the housing market continuing to improve, consumers can take advantage of competitive home prices and low interest rates to find the perfect newly-constructed homes for their families. “Newly-constructed homes can suit the specific requirements of today’s families,” said BismarckMandan Home Builders Association President Vance Vetter. “There are so many different makeups of homebuyers, from empty-nesters to multigenerational households, and new homes can meet the needs of these varied families.” New home floor plans are designed with modern lifestyles in mind, and include open layouts, high ceilings, walk-in closets and conveniently-located laundry and home office accommodations. New homes also are wired to safely accommodate the usage of modern appliances and components technology home components such as high-definition televisions, and sophisticated lighting, audio and security systems. Home buyers may also consider “universal design” features, which enable residents to live comfortably and stay in their homes even as they age. It can make things
easier for children, as well. Some examples of universal design features include sloped sidewalks and stepless entries that create easier access to the home, lever door handles that make it easier to open doors, lighting and interior finishes that illuminate common paths and raised dishwashers and clothes washers and dryers which are easier on the back, to name a few. A newly-constructed home or condominium also may offer energy-efficient features, such as tankless water heaters, ENERGY STAR appliances and HVAC systems, which make the home more comfortable and can save the home owner significant money over the long term. To learn about homeownership opportunities contact the Bismarck-Mandan Home Builders Association at www.bmhba.com or 701-222-2400.
Stand-Alone HRAs No Longer Allowed Under Affordable Care Act
The use of Health Reimbursement Arrangements (HRAs) has been changed under the Affordable Care Act. The HRA was created by the IRS in 2002 to permit employers to provide pre-tax dollars to employees to pay for medical care and services. Under the health reform law, only integrated HRAs remain viable. Integrated HRAs are health reimbursement arrangements offered by an employer to his/her workers in conjunction with a qualifying group health plan. Stand-alone HRAs, which are HRAs offered by employers who want to contribute something to their employees’ health costs but do not want to administer or offer a health plan, are no longer allowed. Based on the guidance and information provided by the Department of Labor, if an HRA is not offered with a group health plan, it would not be valid. NAHB members can get the tools they need to comply with the Affordable Care Act by logging on to nahb.org/healthcarelaw.
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