July 2018 Building Buzz by Bismarck-Mandan Home Builders Association

Bismarck-Mandan Home Builders Association

BUILDING July 2018

Buzz

ITâ&#x20AC;&#x2122;S ALL IN THE DETAILS FOR TRANSITIONAL ELEVATION DESIGN page 5

BURGERS, BEER & FUTURE BUILDERS page 7

KIDS BUILD MANDAN page 9

GIVE YOUR SUPERINTENDENTS THE SKILLS TO BE BETTER SAFETY LEADERS page 13

BUILDING

Buzz

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

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Publisher/Editor: Dot Frank Layout Editor: Stephanie Drietz - Drietz Designs Contributor: Tracy DeForest

New Members & Anniversaries Time to Renew! Members with June Anniversaries. Renew by July 31, 2018. Active Radon Management | Steve Austin Other Bismarck-Mandan Board of Realtors Nancy Deichert | Land Development Real Estate | Trade Association/Non-Profit BlackRidge Mortgage | John Jessen Mortgage Banking Bobcat of Mandan | Beth Dinneen Landscaping | Other Brady Martz & Associates, P.C. | Ruth Stewart | Accounting Bremer Bank | Curtis Peterson Mortgage Banking Brock White | Jon Zabolotny Building Materials Lumber (Retail Dealership) Masonry/Stone Work/Tile Setting/Plaster Concrete Work | Other Carpet World | Brian Dauenhauer Flooring Coverings (Retail Dealership) CHI St Alexius Great Plains Rehab Services Randy Tank | Other Choice Financial | Blair Sandy Mortgage Banking CornerStone Bank | Jerry Hauff Mortgage Banking Creative Construction | Chad Dietrich Single Family General Contracting Remodeling-Commercial Commercial General Contracting Cullen Insulation | Quinn Eggert Architecture | Building Materials Lumber (Retail Dealership) | Insulation Work Dakota Fence | Doug Doerr Building Materials Lumber (Retail Dealership) Electro Watchman, Inc. | Rachelle Johnson Computer Products and Services | Security Systems | Industry Consultant Haider Glass Specialties | Paula Haider Building Materials Lumber (Retail Dealership) Other

Building Buzz | July 2018

Hebron Brick & Block | Teddy Bossert Building Materials Lumber (Retail Dealership) Masonry/Stone Work/Tile Setting/Plaster Landscaping Hopfauf Custom Builders | Dave Prindiville Single Family Custom Building | RemodelingResidential | Remodeling-Commercial Interior Woodworks | Mike Emmel Building Materials Lumber (Retail Dealership) Kevin Fischer Construction, LLC Kevin Fischer | Single Family General Contracting | Multifamily Building (Condo/ Coop Units) | Land Development Century 21 Morrison Realty - Kristin Eisenzimmer | Kristin Eisenzimmer Real Estate Century 21 Morrison Realty - Kristin Oban Kristin Oban | Real Estate Gate City Bank - Lynn Klein | Lynn Klein Mortgage Banking Mann Signs, Inc. | Scott Bina Marketing/advertising or Public Relations Manufacturing Midwest Doors, Inc. | Kurt Steiner Planner or Designer | Building Materials Lumber (Retail Dealership) Miller Insulation Company, Inc. | Todd Brady Building Materials Lumber (Retail Dealership) Northern Plains Equipment Co., Inc. Marc Taylor | Landscaping | Other Pacific Sound and Video | Jamie Stephens Security Systems | Other Prestige Homes & Design, Inc. | Josh Kuntz Single Family Spec/Tract Building | Single Family General Contracting | RemodelingResidential Radisson Hotel Bismarck | Lara Loritz Other Railway Credit Union | Nikki Pokrzywinski Mortgage Banking Continued on page 7

Your membership is three-in-one: BMHBA, NDAB and NAHB

Professionals building our community through promotion of home ownership, education and legislation since 1958.

2018 Board of Directors PRESIDENT

Lynn Klein Gate City Bank Phone: (701) 355-7633 lynn.klein@gatecitybank.com

1ST VICE PRESIDENT

Jeff Sattler Sattler Homes Phone: (701)255-7628 jeff@bismarckbuilder.com

2ND VICE PRESIDENT Rory Anderson Verity Homes of Bismarck Phone:(701) 354-2846 rory@verityhomes.com Chad Moldenhauer K&L Homes Inc. Phone: (701) 258-4584 chad@k-lhomes.com Bill Schmid Townsquare Media Phone: (701) 250-6602

bill.schmid@townsquaremedia.com

Brian Eiseman Stoneshire Builders Phone: (701) 471-6935 brian@stoneshirebuilders.com

PAST PRESIDENT

Shannon Reichenberg Diversity Homes Phone: (701) 751-3999 shannon@diversityhomesnd.com

SECRETARY/TREASURER Greg Zenker Northern Plains Plumbing, Heating & Air Phone: (701) 222-2155 greg@northernplains.net Susie Franklin Choice Financial Phone: (701) 751-7282

s.franklin@choicefinancialgroup.com

Joe Hillerson Boulder Homes (701) 400-5554 boulderhomesnd@gmail.com Greg Meidinger Aspire Homes (701) 426-8583 greg@daretoaspirend.com Marc Menge BNC National Bank Phone:(701) 250-3000 mmenge@bncbank.com

BIANCO REALTY SALES AWARDS Bianco Realty has announced their top 7 “REALTORS® OF THE MONTH” for June: Judy Maslowski, Darcy Fettig, Shirley Thomas, Amber Sandness, Tori Mathern, Jim Jeromchek and James Jeromchek. These seven REALTORS® had the highest sales totals at Bianco Realty in June 2018.

Amber Sandness

Shirley Thomas

Judy Maslowski

James Jeromchek

Darcy Fettig

Tori Mathern

Bismarck-Mandan Permit Reports

through May 31, 2018.

BISMARCK PERMITS 160

MANDAN PERMITS 60

147

140 120

110

107

103

44 36 33

100 80

47 20

40 20

2017

2018

0 2014

-20

2015

2016

2017

2018

0 2010

2015

2016

Bismarck Single Family

Bismarck Multi-Family Units

Mandan Single Family

Mandan Multi-Family Units

Linear (Bismarck Single Family)

Linear (Bismarck Multi-Family Units)

Linear (Mandan Single Family)

Linear (Mandan Multi-Family Units)

LINCOLN PERMITS

COUNTY PERMITS

30 30

20 18

19 16 14

15 10

10 9

10 5 0

2010

2015

5 0

2017

2018

2014

0 2016

Lincoln Single Family

2015

Lincoln Multi-Family Units

2016

2017

2018

Burleigh County

Morton County

Linear (Burleigh County)

Linear (Morton County)

YEAR-TO-DATE COMPARISON SINGLE FAMILY PERMITS 100

Bismarck -47%

Mandan 152%

47 44 40

Bismarck ETA 275%

Lincoln -11%

19 16

11 10 5 0

1 0

Bismarck Single Family

0 0 0 0 0

4 3

Bismarck ETA

0 0

6 5 4

5 5

3 0 0 0

J18

F17

F18

M17

M18

8 8

0 0 0 0 Mandan Single Family

A17

A18

M17

M18

Morton Co. 233%

0 0

Lincoln Single Family

J17

15 11

9 8

Burleigh Co. 119%

3 2

7 3 4

Burleigh County Single Family

2017

2 0 1 0 0 1 0

6 6 3

Morton County Single Family

2018

July 2018 | Building Buzz

President’s Letter

hings are heating up! The thermometer and building permits are rising. In fact, I’m happy to report that the number of permits are ahead of year prior in the Bismarck ETA, Burleigh County, Mandan and Morton County. While Bismarck and Lincoln have lower permit counts that last year, I am confident that we’ll see some gains before the building seasons ends.

I had the privilege of attending our Annual Scholarship Picnic last month, where I saw many familiar members. Our picnic is an association tradition that allows us to connect over a common thread – home building and it affords us the chance to contribute to the next generation of builders through a silent auction and raffle. This year’s raffle winner was Earl Torgerson, carpentry instructor from Bismarck State College. What an appropriate winner. Earl walked away with a Weber grill donated by Acme Tools. Other outstanding silent auction items were contributed by American Bank Center, BlackRidge Mortgage, Bis-Man Board or Realtors, Bismarck State College Foundation, Bismarck Title Co., Blackridge Bank, BNC Bank, Capital Credit Union, Cappuccino on Collins, Choice Financial, Earl Torgerson, BSC Carpentry, First Community Credit Union, Gate City Bank, Hebron Brick & Block, NDAB, New Vision Security, Radisson Hotel Bismarck and Starion Bank.

Lynn Klein

Board President

Thank you members, sponsors (First International Bank & Trust, TransTrash, Anyleaks, Diversity Homes, Hopfauf Custom Builders, Builders First Source and Dakota Community Bank & Trust) and silent auction donors. With your help we raised $1692.

Another event that members participated in last month was the primary election. The BMHBA supported several candidates with PAC contributions. Of the four candidates who received funds, two were elected to office. Greg Zenker and Dennis Rohr were successful in the Bismarck and Mandan city commission races, respectively. While the elections are over, we continue to encourage you to make contributions to BUILD-PAC and NDAB-PAC. Campaigning is expensive and contributions are one way we can help influence the outcome of elections. The other way is by exercising our right to vote. Row together,

Lynn Klein, President BMHBA Board of Directors

Building Buzz | July 2018

It’s All in the Details for Transitional Elevation Design The art of new home design has always been a continuous process of innovation and evolution, driven by changing consumer preferences and advances in building materials and technology.

Traditionally, home design has been driven by historic precedents that pull from European roots: styles such as Tuscan, Spanish, Italian, etc. Similarly, colonial architecture, the American farmhouse and mid-century modernism all have influenced our built environment. The latest step on this journey is transitional design: homes that reference a familiar aesthetic but take it in a new direction with cleaner lines and purposeful details.

Mastering this next step in architectural evolution means understanding new ways to employ the foundations of design: form, massing, details, color, and material.

Traditional to Transitional

Details that reference the historic Spanish architecture aesthetic seen in the traditional example in the first photo on the left — stucco, arches, balconies and iron — remain in the updated expressions below.

Incorporating transitional elements.

Further along the design spectrum, as shown in the next photo, transitional elements such as the banding corner windows, the geometric forms around the entry,

and a negative arch, start moving the elevation away from the traditional while still holding onto the roots. The last picture shows a design that has fully transitioned away from the traditional.

Transitional design with Spanish elements.

Windows are grouped around a corner and tied together vertically in a contemporary pattern that also allows natural light to reach the interior. Similarly, the standard trellis above the windows morphs into an eyebrow. Even the massing changes: Rather than the gable end, the parapet wall reinforces the strong corner forms and accentuates the difference between solid and void.

New Thinking

Don’t get trapped into thinking that a traditional plan must have a traditional elevation.

In the two photos above, both elevations have been extruded from the same 40-foot-wide, 2,800-squarefoot plan. This article was adapted from an article by Steven Dewan in the Spring 2018 issue of Best in American Living. Read the issue for more examples and images of traditional design elevation details and other great articles. Steven Dewan is senior principal at Bassenian | Lagoni. July 2018 | Building Buzz

CITY & COUNTY REMINDER TO MOW Mandan property owners are required to mow tall grass or spray weeds by May 1, June 1, July 1, Aug. 1, Sept. 1, and Oct. 1 of each year. Failure to comply results in the property being cut or sprayed by the City with costs applied to the special assessments for the property. Report concerns to the code enforcement officer at 667-3264 or on the Report a Concern section of cityofmandan.com.

MANDAN POPULATION SURPASSES 22K

POPUP ROAD IMPROVEMENTS SURVEY OPENS

The temporary mini-roundabouts and curb extensions on the 400-block of First Street NW and Main Street in Mandan will be in operation mid-July through mid-August. The community is encouraged to test out the area and provide feedback on the option from the vantage point of both motorists and pedestrians. A survey will be made available July 12 for individuals using the demonstration projects and can be completed by following the link for the survey posted at cityofmandan.com/demonstrationproject. Roadways will return to normal in mid-August. Demonstration projects are low cost, offer the community an experience to provide constructive feedback and help determine whether or not to move forward with a change if funding becomes available.

MISSOURI RIVER LEVELS AND GARRISON DAM RELEASES

Bismarck city personnel are closely monitoring Missouri River conditions and are relying upon the most up-to-date official information provided by the US Army Corps of Engineers. The City reminds residents that they are prepared and ready to take action in response to increased releases.

Building Buzz | July 2018

The U.S. Census Bureau released updated population estimates for cities in May. Mandanâ&#x20AC;&#x2122;s population is now pegged at 22,228 as of July 1, 2017. The bureau revised all estimates going back to 2011. This is the first time Mandan has been listed above the 22,000-mark, but revised Census Bureau estimates now show our city above that mark since 2016. The new estimate indicated 1% growth from 2016 to 2017 and 21% growth since 2010. Stay up-to-date with the most current information and Missouri River updates online at bismarcknd.gov/1148/Flood-Preparedness-Responseand-Recovery.

CITY & COUNTY

BURGERS, BEER & FUTURE BUILDERS GRAB YOUR GUN Builder, associate and affiliate members are invited to bring out their big guns for the association’s Annual Sporting Clay Shoot on Thursday, Aug. 2. The event takes place at Capital City Sporting Clays and promises to feature a variety of shooting stations, participant challenges, food and fun.

Registration is open online at bmba.com/ events. Participants may register as a team of four or individually. The $100 registration includes 10 shooting stations, target fees, shells, earplugs, dinner and door prizes. Shooters need only bring their own gun and eye protection. Please register in advance for this event as shooter registrations are limited.

FALL PARADE OF HOMES APPROACHES

Builders are reminded of the Fall Parade of Homes dates. The association will encourage prospective buyers to walk through your homes Sept. 2730. While those dates seem like a ways out, time flies when you’re busy building. Registration will be open in mid-August. Mark your calendars and bookmark BisManParade. com for details leading up to the event.

HOME SHOW ON THE HORIZON

The 2019 Home Show is scheduled for March 15-16 at the Bismarck Event Center. Registration is first made available to prior year participants, followed by members and finally non-members. If you were an exhibitor in 2018, expect an email and mailed invitation to register for the show. The 2018 Home Show attracted more than 4900 spectators. The event is a consumer favorite that inspires homeowners to pursue remodeling projects, renters to buy and others to continue their dreams. Show information is available online at BisManHomeShow.com.

The association’s Annual Scholarship Fundraiser Picnic was hosted in July at the Dakota Zoo. Nearly 100 members gathered under the Scheel’s Pavilion for food catered by Lady J’s. Adults and kids alike enjoyed hamburgers, Cloverdale red hot dogs, potato salad and cookies. Lemonade was the drink of choice for youth, while adults had their fill of keg beer served out of the TransTrash kegerator. The event serves several purposes - member social, networking and fundraising. A silent auction and raffle generated $1692 for the BSC Scholarship Fund. Silent auction donors included: American Bank Center, BlackRidge Mortgage, Bis-Man Board or Realtors, Bismarck State College Foundation, Bismarck Title Co., Blackridge Bank, BNC Bank, Capital Credit Union, Cappuccino on Collins, Choice Financial, Earl Torgerson, BSC Carpentry, First Community Credit Union, Gate City Bank, Hebron Brick & Block, NDAB, New Vision Security, Radisson Hotel Bismarck and Starion Bank. The raffle item, a Weber grill, was donated by Acme Tools. In addition to the generosity of the silent auction contributors, the event was sponsored by First International Bank & Trust, TransTrash, Anyleaks, Diversity Homes, Hopfauf Custom Builders, Builders First Source and Dakota Community Bank & Trust.

New Members & Anniversaries Time to Renew!

(Continued from page 2) Members with July Anniversaries. Renew by July 31, 2018. Rudnick Construction | Gerry Rudnick Single Family Spec/Tract Building | Single Family General Contracting | Single Family Custom Building Security First Bank Of ND | Dennis Kraft Mortgage Banking Shanco, LLC | Brandon Wistisen Other The Painters, Inc. | Cindy Klym Paint/Wall coverings | Other

The Pressure’s On | Dale Anderson The Printers | John Nelson Marketing/advertising or Public Relations Visionary Homes, LLC | Brandon Miller Single Family Spec/Tract Building | Single Family General Contracting | Remodeling-Residential Vue Community Credit Union | Patty Mathisen Commercial Banking/Thrift Institution Mortgage Banking

July 2018 | Building Buzz

BMHBA NEWS FINAL ASSOCIATION HEALTH PLAN RULE WILL BOOST SMALL BUSINESSES NAHB commended the Trump administration for issuing its final rule on association health plans (AHPs) that will help small businesses – including home building firms and local HBAs – rein in skyrocketing health care costs and provide better health coverage for workers. NAHB has been a long-time proponent of AHPs, which empower small businesses to pool together to purchase health insurance plans for their employees.

In his comments on the new rule, which implements the executive order on AHPs signed by President Trump last fall, NAHB Chairman Randy Noel said: “It will grant small businesses access to better and more affordable health care plans, place these firms on an equal footing with large employers and unions when it comes to negotiating lower costs for coverage, and level the playing field for smaller companies that want to help their workers and their families with their health care needs.”

Of particular importance to the home building industry, the rule will allow sole proprietorships and independent contractors to participate in the program, expanding access to affordable health coverage to small employers and self-employed individuals. The final rule expands the ability of small businesses to join together locally or across state lines through a bona fide industry, professional, or trade association to become large purchasers of health insurance. This ability to establish AHPs across state lines will provide additional flexibility if HBAs seek to set up such a program and could help participating member businesses attract and retain talented workers by offering competitive benefits. The new rule also grandfathers existing regulations, so that HBAs that are already running successful AHPs can continue to offer affordable health coverage to their employees under their current system or choose to operate their program under the new definitions of the final rule.

The Congressional Budget Office estimates the final rule will allow 4 million Americans, including 400,000 who otherwise would lack insurance, to join an AHP by 2023. To minimize disruption to the health care market, there will be a staggered rollout of the new rule as follows:

• All associations (new or existing) may establish a full-insured AHP on Sept. 1, 2018.

• Existing associations that sponsored an AHP on or before the date the final rule was published may establish a self-funded AHP on Jan 1, 2019.

• All other associations (new or existing) may establish a self-funded AHP on April 1, 2019.

The North Dakota Association of Builders is hosting a task force of local HBAs to discuss options to establish an association health plan. If you are interested in contributing to the discussion, please contact Dot Frank at 222-2400 or dot@bmhba.com

It will grant small businesses access to better and more affordable health care plans...

Building Buzz | July 2018

TRAINING PAYS OFF Earlier this year, the BMHBA, BismarckMandan Board of Realtors and BismarckMandan Chamber of Commerce co-hosted a candidate training academy. The training included a presentation of best practices by gathered from the facilitator’s experiences working on multiple campaigns. Eleven of the event attendees ran in the June 2018 election; of which 10 won their election and/or will move on to the November general election.

Attendees who won and/or will advance include: Mary Adams, District 43 House; Dennis Agnew, Burleigh County Commission; Steve Bakken, Bismarck Mayor, Mike Dwyer, District 47 Senate; Kevin Glatt, Burleigh County Auditor; Kelly Leben, Burleigh County Sheriff; Brandi Jude, District 47 Senate; Dale Patten, District 39 Senate; and Greg Zenker, Bismarck City Commission.

ROLL OFF CONTAINER SERVICE 701-471-5650 FOR HOME, COMMERCIAL & CONSTRUCTION

UC TS D O R T P OUR SUPPOR Y E T O ND PROM RVICES A UILDING E! B IM SE AND E HOME E SAME T TH AT TH STRY U a.com D IN mhb @b t r a c y - 2 4 0 0 g s p o t. t c a C o n t o r 2 2 2 ve r t i s i n ad this m i a l to c

KIDS BUILD MANDAN

EVENTS 2018 Calendar of Events July 10

Annual PAC Golf Tournament Hawktree Golf Club in Bismarck

July 24

Lunch with Heroes 11:30 AM - 1:00 PM Morton Mandan Public Library

July 24-28

NAHB Mid-Year Meeting Portland, Oregon

August 2 June marked the third anniversary of the BMHBA Kids Build Mandan event. Children participating in the Mandan Parks & Rec summer activity center were introduced to different aspects of building. The day began at Lewis & Clark Elementary where Membership Services Director Tracy DeForest lead a session on planning and zoning along with 2nd Vice President Rory Anderson and Executive Officer Dot Frank. From there, the kids were bussed to City Hall to participate in a mock planning and zoning commission meeting. Mayor Tim Helbling made a surprise appearance and the children got to meet and quiz City Planner John Van Dyke and Engineer Justin Froseth. The kids were taught CAD design at Builders First Source and attempted to create a stable structure during a hands-on activity at Gateway to Science.

BMHBA staff and board members will get the chance to share the homebuilding story with children again on July 24 as they lead an activity at Lunch with Heroes at the Morton Mandan Public Library.

Annual Sporting Clay Shoot 4:00 PM – 7:00 PM at Capital City Sporting Clays

August 12-18

National Apprenticeship Week

September 27-30

Fall Parade of Homes Register at bmhba.com/events, or call 701-222-2400.

Let’s Build Together.

When it comes to building a home, there are a lot of decisions to be made. But when it comes to your closing, we’ve got you covered.

701.223.6835 TheTitleTeam.com Montana | North Dakota | Minnesota

July 2018 | Building Buzz

NATIONAL NEWS NATIONAL NEWS NATIONAL NEWS

NAHB SEEKS SAFE HARBOR FOR QUARTERLY FILERS FREE WEBINAR: NAHB has called on the Internal Revenue Service (IRS) to provide a safe harbor for IS YOUR COMPANY anxious home builders and other small businesses that pay estimated quarterly taxes but don’t yet know how recent tax reform legislation will be implemented – and thus may underpay. SAFETY COMPLIANT? In a letter sent June 7 to Treasury Secretary Steve Mnuchin, NAHB acknowledged that

the wide scope of the Tax Cuts and Jobs Act means the IRS will need more time to produce regulatory guidance. However, the letter said business owners still need reassurance that their good-faith estimates won’t result in fines.

“Issuing guidance now for a safe harbor on underpayment for the millions of taxpayers who are required to submit estimated quarterly tax payments, particularly in light of the complexities of the Section 199A pass-through deduction, would be a welcome relief to small businesses,” the letter said. Specifically, NAHB wants the IRS to provide safe harbors when:

Good news for companies seeking clarity on OSHA regulations: NAHB now has two free resources to help. The new Safety & Health Program toolkit provides home builders, developers and remodelers with a model to comply with the Occupational Safety and Health Administration’s new recommended practices for safety and health programs.

In the free webinar Safety & Health Programs: Efficient Methods for Keeping Your Company Compliant, 1-2 p.m. Thursday, June 14, Dan Johnson, Managing Partner with SFI Compliance, will explain how to use the new NAHB Safety & Health Program model in your company safety policies. He will discuss leadership, worker participation, hazard identification and assessment, and education and training and how they can help keep your employees and subs safer. Participants can expect to come away with a solid body of knowledge, including the new OSHA standards, how to implement the NAHB program and how to identify practical resources and guidelines to create a culture of safety.

Registration is open until 2 p.m. on Wednesday, June 13. For questions about registration, please contact Sheila Coble at EdWebinars@nahb. org or call her at 800-368-5242 x8057. Don’t forget, NAHB designees can earn one hour of continuing education credits for these 12 designations: CAPS, CGA, CGB, CGP, CGR, CMP, CSP, GMB, GMR, Master CGP, Master CSP, MIRM.

Building Buzz | July 2018

• Underpayment is a direct or indirect result of changes made to the law,

• The taxpayer has made a good-faith effort to calculate and pay their estimated tax, and • There was insufficient IRS guidance to calculate tax liability.

NAHB’s request was the latest move in the association’s continuing efforts to bring clarity to the complex changes accompanying tax reform, particularly the significant modifications made to the pass-through deduction rules. Last month, in a letter to Mnuchin and Acting IRS Commissioner David J. Kautter, NAHB CEO Jerry Howard asked that IRS make clear that home builders, remodelers and other home building industry contractors “are not a specified service trade or business for purposes of 199A. Failing to do so would penalize the very businesses that the new tax law was intended to help,” the letter said. NAHB cannot provide specific tax advice for small businesses filing quarterly returns: They should contact a tax professional. However, NAHB is working to bring certainty to its members so they are able to gain the greatest benefit from these recent, sweeping changes to the nation’s tax code and continue to help the economy expand. “So long as the current regulatory uncertainty persists, compliance will remain costly, investment and hiring decisions will be delayed, and the full economic growth potential of the Tax Cuts and Jobs Act will not be realized,” today’s letter said.

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019048-00369 6/18

NAHB Chairman Randy Noel, CEO Jerry Howard and senior staff met today with Commerce Secretary Wilbur Ross to discuss the growing problem of escalating lumber prices that are being exacerbated by tariffs on Canadian lumber imports into the U.S. Following the meeting, Noel issued the following statement:

“Today, we discussed with Secretary Ross our mutual concern that lumber prices have risen sharply higher than the tariff rate would indicate, and that this is hurting housing affordability in markets across the nation. Rising lumber prices have increased the price of an average single-family home by nearly $9,000 and added more than $3,000 to the price of the average multifamily unit. “We applaud Secretary Ross for acknowledging the gravity of this situation and expressing a willingness to look into the possibility that factors other than the tariff may be manipulating the market.

OSHA SILICA RULE VIOLATION DATA SHOWS WHERE INSPECTORS ARE LOOKING

The Environmental Protection Agency and Army Corps of Engineers last week submitted a new proposed “Waters of the U.S.” (WOTUS) regulatory definition to the White House Office of Management and Budget for review. The proposal had not been expected until August. The regulatory definition of WOTUS determines not only what landscape features are subject to federal regulation for home builders and developers under the Clean Water Act but also what land clearing or dredging operations may trigger subsequent federal permitting requirements under the act’s wetlands permitting process and stormwater management programs.

While those definitions are now on hold, this month’s action represents an opportunity for officials to see what new regulations might look like as other federal agencies can now provide comment about how the proposal is consistent with federal law and how its application might affect their own operations.

Typically, the interagency review process takes no more than 90 days — which means NAHB should expect a proposed WOTUS rule in the Federal Register for members to see and comment on by September. “NAHB looks forward to working with the Trump administration, industry stakeholders, states and local governments to ensure the EPA and Corps proposal is consistent with Supreme Court precedents concerning the limits of federal jurisdiction over isolated wetlands and ephemeral streams as well as President Trump’s executive order on WOTUS,” said NAHB Chairman Randy Noel when the proposal was sent.

“The nation’s home builders expect the forthcoming proposed WOTUS rule will protect our nation’s waterways and promote economic growth my minimizing federal regulatory burdens,” he said.

The regulatory definition of WOTUS determines not only what landscape features are subject to federal regulation for home builders and developers under the Clean Water Act but also what land clearing or dredging operations may trigger subsequent federal permitting requirements under the act’s wetlands permitting process and stormwater management programs.

When the agencies submitted the new proposal June 15, it took the first step in the Trump administration’s longstanding process to replace what home builders and other stakeholders say were confusing – and overreaching – definitions approved during the Obama administration. While those definitions are now on hold, this month’s action represents an opportunity for officials to see what new regulations might look like as other federal agencies can now provide comment about how the proposal is consistent with federal law and how its application might affect their own operations.

“The nation’s home builders expect the forthcoming proposed WOTUS rule will protect our nation’s waterways and promote economic growth my minimizing federal regulatory burdens,” he said.

NATIONAL NEWS

“We also encouraged the secretary to return to the negotiating table with Canada. It is essential that the two sides resume talks and hammer out a long-term solution to this trade dispute that will ensure U.S. home builders have access to a stable supply of lumber at reasonable prices to keep housing affordable for hard-working American families.”benefits of their programs and answer your questions. Register online at bmhba.com/events.

ADMINISTRATION SUBMITS NEW WOTUS DEFINITION FOR REVIEW

NATIONAL NEWS

BUILDERS DISCUSS RISING LUMBER PRICES WITH COMMERCE SECRETARY ROSS

...home builders expect the forthcoming proposed WOTUS rule will protect our nation’s waterways and promote economic growth...

July 2018 | Building Buzz

NATIONAL NEWS

NAHB COMMENDS HOUSE PASSAGE OF FARM BILL NAHB commended the House of Representatives for passing the Agriculture and Nutrition Act of 2018 (HR 2), also known as the farm bill.

“The legislation includes provisions of importance to the housing community. It would implement critical forest management reforms that will help improve the health of our forest system and reduce our reliance on foreign sources of timber,” said NAHB Chairman Randy Noel in a statement today.

“This is especially important given that soaring lumber prices – exacerbated by 20% tariffs on imports of Canadian softwood lumber – are harming housing affordability. “The bill would also repeal the Obama administration’s waters of the U.S. (WOTUS) rule, allowing the EPA and U.S. Army Corps of Engineers to craft a new rule that protects the environment without impeding economic growth,” he said.

REMODELING EXPENDITURE ESTIMATES FOR MORE THAN 26,000 ZIP CODES areas—especially in the Northeast.

NATIONAL NEWS

At the very top are 17 ZIP codes where estimated spending per improved home is over $18,000. Ten of these are in the New York-Newark-Jersey City Metropolitan Statistical Area, two are in Fairfield County, Conn., and one is in a suburb of Boston. Of the remaining four, two are ZIP codes on Lake Michigan in Cook County north of Chicago, and two are close-in suburbs of San Francisco. California, Texas, Florida, New York and Pennsylvania are projected to have the largest total spending by home owners on remodeling projects statewide. The District of Columbia, Connecticut, Massachusetts, New Jersey, and New York are projected to have the highest spending on remodeling per home.

Home owners who remodel in 2018 will spend an average of $7,893 on each project, according to NAHB’s recent projections of spending by ZIP code for each of over 26,000 ZIP codes across the United States. This is a 28.4% increase from the $6,148 home owners paid for an average remodeling project in 2017. As the map below shows, there are many ZIP code areas where spending on remodeling projects averages under $5,500 and several where it is more than $11,000. ZIP codes with high spending per improved home tend to cluster around large metro

To determine these by-ZIP code estimates, NAHB looked at the number of homes in the area, when the homes were built, the owners’ average income and other demographic traits. NAHB expanded the data sets in 2018, providing 10 new data points including spending per improvement and additional demographic information. The data sets are a valuable tool for economists, financial analysts, product manufacturers and remodelers to help target market expansions and identify trends. You can purchase the data sets on nahb.org to determine how much home owners will spend. Significant discounts, including a free download of more local data sets, are available for NAHB Remodeler members. For more insights, read the full article in the NAHB Eye on Housing blog from NAHB economist Paul Emrath.

NATIONAL NEWS

OSHA SILICA RULE VIOLATION DATA SHOWS WHERE INSPECTORS ARE LOOKING

OSHA’s new Respirable Crystalline Silica in Construction Standard went into effect in September, and after a 30-day grace period on citations for good-faith compliance efforts, OSHA inspectors began citing violations on Oct. 23.

Bloomberg Environment recently acquired and analyzed the OSHA citation data and found that the regulator cited 117 violations of the new rule in the first six months of enforcement – through April 23. The most common violations of the new standard include:

• 35 cited violations for failure to conduct an exposure assessment of worker exposure to respirable crystalline silica; • 31 cited violations for failing to adhere to the Table 1 list of equipment/tasks and OSHA’s required engineering and work control methods and respiratory protection;

•20 cited violations for lack of a written exposure control plan.

Building Buzz | July 2018

Table 1 of the new standard outlines 18 procedures builders can follow as an alternative to monitoring air quality, like using stationary masonry saws equipped with an integrated water delivery system that continuously feeds water to the blade. The silica rule establishes a new standard for a permissible level of airborne silica on a job site. The vast majority of violations – 80% – were classified as serious. The highest fine imposed was $9,239, out of a maximum possible fine of $12,934. The data also shows that many of the new silica rule citations were made in conjunction with other general safety violations, meaning that the inspections of compliance of the new rule were made during other OSHA jobsite inspections.

NAHB continues to work with OSHA to clarify some of the new requirements through an ongoing formal question and answer submission process. NAHB resources and background information for complying with the new rule can be found nahb. org/silica.

NATIONAL NEWS

GIVE YOUR SUPERINTENDENTS THE SKILLS TO BE BETTER SAFETY LEADERS Superintendents and lead workers with the skills to be effective safety leaders on the job site are the linchpins to creating a strong safety climate, a key indicator of injury outcomes.

The Center for Construction Research and Training (CPWR) has developed The Foundations for Safety Leadership (FSL), a 2 ½-hour course designed to teach these workers five critical safety leadership skills and how to put them into practice. More than 10,000 superintendents and foremen have participated in the FSL course. The course includes foundational material plus seven real-world animated scenarios designed to teach five critical safety leadership skills. The likely benefits to your superintendents include:

• Strong safety climate

• Increased productivity due to improved job site communication

• Reduced hazards and injuries

NATIONAL NEWS

• Increased morale and sense of teamwork

“Just the participation in the class lets the foremen know that the owners and upper management are on board with safety, by actually giving them the time to do what they have to do to perform the job safely,” said one builder after he sent employees to the class.

“I think they’re more aware when they do their morning huddle…. I also see them take a little more time when they’re talking that they also cover the safety implications of that work. [They] try to get more input from the employees on their crew instead of just giving instructions.” Trained superintendents also have a lot of positive feedback about skills they learned, particularly three-way communication and engaging crew members:

“I never took it as seriously as I do now. You know, having the people explain back to you what you told them. That really has helped a lot, instead of just giving somebody some information, sending them off blindly to do the job, and then getting mad ‘cause they didn’t do it right. That way, they can explain to you back exactly what you said to them and if they didn’t get it the first time, you can talk about it, have an opportunity to get it right.” To incorporate the FSL into your safety training, you can download all the teaching and supporting materials at no cost online at https://goo.gl/x8Qx2Q. If you send your superintendents to the OSHA 30-hour course, encourage them to ask the trainer to teach the FSL as one of the electives.

Burleigh County Planning & Zoning has a request for a public hearing to gauge input on changes to their development access requirements. According the the agenda item, changes are proposed that would require the following: 1. One-six lots require one access

2. 7-100 lots require two accesses

3. 100+ lots require three accesses

Additionally, multi-access points would need to be 660 feet or more apart and the county’s preference is for the accesses to come off of different roadways. The proposed changes discourage the use of dead-ends and limits their length to 750 feet.

If the commission approved the call for the public hearing, the hearing will take place at the Aug. 8, 2018 meeting.

NATIONAL NEWS

BURLEIGH COUNTY CONTEMPLATES ACCESS REQUIREMENTS EXPECT A SURVEY The BMHBA, Chamber, Development Association and Realtors are working with the City of Bismarck and the Joint Task Force of the Infrastructure and Special Assessment groups to administer a survey to gauge support for the groups recommendations.

The survey will poll community members on the potential implementation of a 1/2 cent sales tax and a cap on the property tax buy down that is currently provided through the existing 1-cent sales tax. Your participation in all surveys administered by our association and others provides a integral role in decision making. Please take the time to share your honest feedback on this forthcoming and any future surveys.

July 2018 | Building Buzz

NDAB NEWS Monthly News from the North Dakota Association of Builders

July2018

Dan Lindquist, NDAB President

Kim Schneider, NDAB Chief

Most home owners are lucky enough to be able to start each day with a hot shower and a fresh cup of coffee. You might even take a few minutes to water your lawn or garden before heading off to work. This is all second nature, and you probably don’t spend much time thinking about your home’s water consumption. In fact, you may be surprised to learn a few fact about where and how your home uses water.

Coming Together and Making an Impact

President’s Message

Executive Officer

June brought all the NDAB Directors, NDABPAC Trustees and Executive Officers from across the state together in Bismarck. Old friends and new friends alike gathered to discuss fundraising goals, contributions, elections, Dan Lindquist matters impacting the state and local communiKim Schneider President ties, future and how we can continue to work CEO 1. Indoor Water Use The majority of indoor water united to keep NDAB moving forward as is used in your home’s bathrooms. Toilets are the biggest water users inside the house, with each flush requiring gallons of water. Shower faucets land in one. To each of the Directors and Executive Officers that took time second place. A recent study by the National Association of Home Builders away from your businesses and your families, we thank you! It is so vital to have representation from each of the six local associations to be found that single-family homes built after the 1990s have an average of 3.1 sitting around the board table representing and being a voice for your toilets, 2.6 showers, and 2.3 bathtubs. Luckily, innovations in water-saving technology for showers and toilets have exploded in recent decades, so it’s association.

fairly easy to cut down on your bathroom water use with a few updates. After bathrooms, laundry rooms consume the most water by far. Though they’ve NDAB was pleased to welcome special guests to our meeting as also been getting more and more efficient over the years, clothes washers still well. Secretary of State Al Jaeger joined the group to share what is need gallons of water to clean just one load of laundry. 2. Leaks Are Your Enemy After bathrooms and clothes washers, leaks are actually the third highest consumer of indoor household water. Make sure you’re not throwing money down the drain by ignoring seemingly small leaks. Just one dripping faucet wastes gallons of water per day and could have a sizable effect on your water bill. It’s worth the time and effort to find a professional to come in and fix the leaks you know about and ask them to check out all your pipes to make sure everything is sealed tight and working properly. 3. Kitchens Are Actually Pretty Efficient You might be surprised to learn that when it comes to water use, kitchens are pretty low on the list of consumers. Dishwashers are extremely common in modern homes, and they use far less water than washing dishes by hand. You can save water, time, and ultimately money, by filling and running your dishwasher regularly.

happening at his office and some changes he foresees being brought forth during the upcoming legislative session. Julia Bogue, NAHB’s Federal Legislative Manager gave us a legislative update from what has been occurring at the National level. One thing to point out is that NAHB and NDAB sent out a call to action regarding Soft Wood Lumber and we are proud to say that our members answered! Thank you to all that took a moment to make your voice be heard! Our final guest was ND’s newest Regional Field Rep with NAHB, Matt Milroy. Matt is in Chicago and is out point of contact for members and staff to help navigate NAHB.

With the work comes the fun. NDAB hosted their annual Summer Legislative Social at the Luft in Bismarck. With having a rooftop bar, we were thrilled to have a beautiful evening, delicious food and great company! To all our sponsors, once again we say thank you! Your 4. Lawns, Gardens, and Swimming Pools A recent Residential End Uses of sponsorships help us to host these types of events and we were excited Water (REUW) study found single-family homes used an average of 276 to welcome special guests that included the Secretary of State, State gallons of water per day, with almost exactly half of that water is used Legislators and city commissioner. Hosting our 2nd annual statewide outside the home. Though this consumption largely spent watering lawns and gardens, particularly in hot climates that get very little rainfall, the increased corn hole tournament, eight teams competed to win the overall champiprevalence of home swimming pools also contributes to high rates of average onship. Playing in his first NDAB tournament, Matt Milroy teamed up with Dawn Cruff from the HBA of Fargo-Moorhead to take home the outdoor water use. Understandably swimming pools take a lot of water to clean, fill, and maintain and many more homeowners are installing them. Be coveted “Boss of the Toss” prize. To all those that joined and particisure to stay alert to any local notifications of water reduction throughout the pated in the tournament or enjoyed the social, we thank you for taking summer. time to spend your evening with us. Knowing more about how and where your home uses water will not only give Finally, we would like to take this time to congratulate NDAB Board of you a better understanding your monthly water bill, but it can also help you to Director member from the Bismarck-Mandan HBA, Greg Zenker, on prioritize what energy saving updates will give you the highest return on his recent campaign and election to the Bismarck city commisinvestment.

sion. Exercising your right to vote is so vital and we encourage you all

This being the peak season for building and remodeling, we all know that our to vote in November. Many of the elections during the primary were decided by just a handful of votes. Every vote matters! area provides us with the best in weather to get out and enjoy the weekends with families. I hope your weekends are as enjoyable as mine. All the best, Dan

Take care, Kim Schneider

Back your PAC … your PAC backs you! NDAB-PAC is the North Dakota Association of Builders’ Political Action Committee. It is a non-partisan political action committee that provides support for candidates who are friends of the building industry. Contact NDAB at (800) 326-4746, (701) 222-2401 or info@ndbuild.com to contribute or learn more!

North Dakota Association of Builders ❖

Building Buzz | July 2018

1701 Burnt Boat Drive, Suite 201, Bismarck, ND 58503-0801 ❖

701/222-2401 or 800/326-4746 ❖

www.ndbuild.com

AROUND THE STATE Around the State

• The 2018 Parade of Homes will be held on September 15th from 10 AM to 4 PM. The Parade committee is working Bryce Johnson, Chief Executive Officer, Bismarck/Mandan HBA for donating a Decorating Services, Top Recruiter; diligentlyKen to make this the best Parade yet. 701-232-5846 | hbafm.com computer for our new Executive! Krajsa, Bell State Bank & Trust, Top Dot Frank, Executive Officer • Save the Date! The Builders Banquet is December 4th at the Spike; George Fraza, Blue Cross Blue • The HBA of F-M hosted members for its Remodelers Council  Home show booths are being sold now! 701-222-2400 bmhba.com Grand in Minot. January 8th is the deadline for our ShieldOver of ND, Top New Spike; KenHotel Krajsa Picnic in May to celebrate National Remodeling Month. Cornerstone Award. HBC granted $12,500 preferred vendors. Home show is April 15 attended the event, making it the largest  170 Themembers BMHBA has been busy following in scholarships to local high school – Association 17, 2016 Williston Area Builders ordinance updates Bismarck and Remodelers CouncilinPicnic ever! students and college students in or contact Jackie@willistonbuilders.com for Mandan, Burleigh and Morton Counties. 701-572-5744 | willistonbuilders.com planning • The Paradeand of Homes welcomed 130 on enrolling in the construction questions. All Spring are reviewing updatingCelebration dated programs. • Picnic and Hammer-Schlagen Tournament - August 21, 2018 members to cap a greatonParade codes. Eyes areoff currently permitevent. cost Over $2,300 was  Our December General Membership  The HBA of F-M held a PAC Social with changes and development standards. raised for various Home Builders Care causes! meeting will be held on the 17th

Home Builders Assoc. of Fargo-Moorhead

special guest Jerry Howard to talk about

• The A housing Bismarck NDAB Proud issues NAHB on inisD.C. and to Announce the 2018 Professional Builders July Golfanalysis Outingconducted is sold-outbyand the August Golf Outing is is working and Mandan outlines a need for an

how theyday tie in locally. The event was a close to being full.owner-occupied The HBA is looking sunny ThankCustom you soHomes much to our Annual • Don Dabbert Jr.-Dabbert additional 7,786 homesforward to asuccess with 75 members in attendance. onbythe course with 144 members July 10. Banquet Sponsors! Your support 2030. The HBA is working on a task Todd Williams-Todd Williams  Just under 20 members • attended a Lunch to explore implementation of the helped us to put on a great event! We • A force proposal was put forward to eliminate special assessed tax local building officials to talk Session with study’s recommendations. • Construction, LLC had a great crowd and a fun evening districts in Fargo, shifting costs to higher utility fees. The HBA about the latest issues in residential  ofMembers elected to a new Builder board celebrating the year end and construction. F-M is opposed the current plan that’s been presented, • Mike Workman-Jordahl Custom Homes member at the Fall GMM on Nov. 24 to fill recognizing all our amazing Award but is staying engaged in discussions revolving around special  The New Year Celebration & City Night is Past President Vance Vetter’s seat. The winners. We are Inc. already looking • Charles Bon-C’est Bon Construction, assessed tax of districts. on Jan. 28 at the Radisson in Fargo. 2016 board directors will be sworn in at forward to doing it all again next year Mayors from Fargo, Moorhead, West • Vern Hanson-Hanson Bros., Inc. the Annual Banquet on Jan. 14. in Bismarck!

Fargo, Dilworth & Oxbow will be in • Eric attendance and participate on aBerg-Eric mayoral Berg Construction, Inc. attend a Lead Renovator and Lead Tiffaney Dolechek, Executive Officer panel. We will also have special guest Al • Michael Bullinger-Western Productions Renovator Initial and Refresher course Secretary of State. If you would • Our is scheduled for August 19th. Jaeger, on Golf Nov.Scramble 30 and Dec. 1, respectively. like to attend, please visit the events • Jason Eid-Eid-Co Homes Visit bmhba.com/events to register. calendar at www.hbafm.com.

Dickinson Areawelcomes BuildersallAssoc  The BMHBA members to

• Tom Spaeth-Accent Kitchen & Bath Forx Builders Association 701-746-4536 | forxbuilders.com Sponsors—Kuntz Builders, Irene Schafer, Executive Officer • Mark Spriggs-M & Platinum J Construction, Inc. Betty McDonald, Executive Officer Inc. and Winn Construction, Inc. 701-483-0044 dickinsonareabuilders.com • We will be hosting our annual golf tournament September 701-746-4536 forxbuilders.com • Tyrone Leslie-Heritage Homes 13th at Valley Golf Course in East Grand Forks.  Our regular GMM was held at the Eagles Silver Sponsor—ProBuild • Todd Halle-T & S Custom Homes, Inc.  There was good attendance at Slate

Forx BuildersArea Association Dickinson Builders Assoc.

Club on November 11 with a moment of

Interior Design’s November Builders after • Robert Leslie-Designer Homes Reception Sponsor—Bosch NDAB-PAC Hours. Thank you Alissa. Elysha Head, Executive Officer  Our Home Show committee is busy Lumber Co. Inc. Charles Construction,  The December Builders • after HoursZach-Zach will be planning our Home Show in April, 701-852-0496 | minotab.com hosted by the Membership Committee and • John Gunkelman-Dakota updating and adding new features. BannerConstruction Sponsor—Roers West, LLC the Board Birdie with the Builders Golf Tournament is coming up of onDirectors at Keith’s Security • The Our main focus right now is on World. Jim Bisson owner• ofGreg Keith’s Lock & Krueger-Krueger Construction July 23rd at the Minot Country Club. The tourney begins at 11 Key will be retiring the end of December the State Meeting here in Dickinson. We AM will be kicked off by the Ball Drop.and This • Robert Kochmann-Kochmann weyear’s will be helping him celebrate this areand looking forward to making thisBuilder a Also, Thank you to the NDAB 2015 prize is anight Junior Traeger and card from special forElite Arnold KarskyGrill as he is a $100 gift milestone. Partners! We truly appreciate your • Brothers Homes, Inc. installed as our State President. Marketplace Foods. Last year, the MAB invited sponsors  hole Our Home Design and Garden Show will support and we have enjoyed serving take a bigger partalso in the upheld a tent Orth-Cornerstone Specialties the entire year!  toFollowing that, we busytournament planning ourby setting be April 1, 2 & 3 at • theGary Alerus Center. you throughout annual Party. Newly elected and tableChristmas at their respective holes to offer more exposure to of Builders Vice President, Voelkering is busywas withwellMinot potential clients.Val Their involvement receivedAssociation and the The NDAB is proud to announce a NEW program Executive Officer her committee putting final touches to a MAB is excited to have them back again this year! very special evening at the Elks Club. 701-852-0496 minotab.com this year for our Associates. The North Dakota Roses Shootout is headed • The WeGuns would‘n’ like to take this opportunity to your way in August!  past. We are Open House”Associate for Professional Program will officially start The format of the 2018 event from years Thishaving a “Holiday extend an invitation to Kim anddiffers Heather our members the office December year MAB is structuring the event wherehere at taking andthe other associations to attend our like a tournament applications in July. 15th wins! from noon-7pm with food and Christmas party. Gold Partner - Montana Dakota Utilities teams of four register for one price and the best team beverage.  We’re Merrylooking Christmas and Happy New Year to event this year and forward to expanding the For more informationSilver aboutPartners NDAB’s Builders Program - Bismarck-Mandan ineveryone! future years. Spend an evening on the range with the Minot Williston Area Builders Association

Minotsilence Association ofveterans. Builders honoring our

Association of Builders.

Bryce Johnson, Executive Vice President hbafm.com 701-232-5846



Thank you to everyone who attended our Awards Gala & Annual Meeting. The HBA of F-M celebrated award winners and scholarship recipients with over 200 of its members. The awards went to Clay Dietrich, Dietrich Homes, Inc., Builder of the Year; Paul Krabbenhoft, Coldwell Banker First Realty, Associate of the Year; Heritage Homes, BEAM; Dan Beecher, Foam Doctor’s LLC, Extra Mile; John Koerselman, Red River Drywall &

Home Builders Association, Dickinson contact Sara Frank: sara@ndbuild.com or 701-222-2401. Janna Lutz, Executive Officer Area Builders Association, Home Builders 701-572-5744 willistonbuilders.com Association of Fargo-Moorhead, & Northern Plumbing Supply  WABA welcomes new incoming board

 

members: Lance Bevier of Tractor and Equipment Co., Joan Mainwaring of American State Bank and Trust Co., and Bob Radermacher of Bakken Contracting. Mark Schneider, LJA, was sworn in as our incoming WABA President at our Annual Meeting in November. Top Spikes were also recognized: Bill Murphy and Dave Nordenstrom became Life Spikes in 2015!

Bronze Partners - Bell State Bank & Trust, Forx Builders Association, Minot Association of Builders, ND Guaranty & Title Co., ND Housing Finance Agency, ProBuild, RDO Equipment Co., & Williston Area Builders Association July 2018 | Building Buzz 15

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