July 2014 Building Buzz

f

Bismarck-Mandan Home Builders Association

Building Buzz Building the Future of Bismarck-Mandan Since 1958.

July 2014 Permit Report: May 2014 Page 2 President’s Letter Page 3 Member Highlight: Cardinal Cleaning Page 5 Building Official’s Buzz Page 6 Annual PAC Golf Tournament Page 9 National News Page 10-11 NDAB News Pages 14-15

Page 2

BMHBA Building Buzz

July 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

Scan to visit www.bmhba.com

Like Us! www.facebook.com/bmhba Follow Us! www.twitter.com/bmhba

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

Bismarck-Mandan Permit Reports Through May 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

161/$38.6M 92/$17.06M 55/$8.86M 10/$1.47M 0/$0M 4/$11.21M 34/$.372M 21/$1.52M 3/$.185M

228/$48.96M 152/$27.93M 59/$8.84M 6/$1.05M 2/$1.15M 6/$9.99M 35/$.290M 23/$8.77M 5/$2.06M

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

23/$5.92M 23/$5.92M 0/$0M 0/$0M 0/$0M 65/$1.56M 4/$2.14M 17/$1.94M

YTD 2013

109/$32.99M 83/$22.80M 0/$0M 24/$5.2M 2/$4.99M 71/$1.25M 6/$1.63M 11/$3.0M

July 2014

Page 3

BMHBA Building Buzz

A Word from Our President July President’s Remarks Inscribed above the entrance to the New York City Post Office on 8th Avenue is a quote pulled from the The Persian Wars book. It reads, “Neither snow nor rain nor heat nor gloom of night stays these couriers from the swift completion of their appointed rounds.” Scratch out “couriers” and drop in “Bismarck-Mandan builders” and you’ve summed Vance Vetter up the 2014 construction Board President season. As I pull this column together, the wind is a consistent 40 mph and we’ve just come off a wet weekend.

Despite what Mother Nature throws at us, we continue to build our community. Permit statistics, which are found on page two, indicate 184 permits were issued to-date as of May 2014 adding $44.52 million in value to our cities.

The BMHBA knows that our members are incredibly busy, but we encourage you to slow down for one day to join us at the Annual PAC Golf Tournament. Hosted at Apple Creek Country Club on Monday, July 21, the golf tournament brings together the BMHBA and BMBOR for a day dedicated to building relationships, driving shots and contributing to industry advocacy through PAC contributions. Registration is open online at bhmba.com/events and there are limited spots available.

If golf isn’t your game, we encourage you to consider signing up for our Sporting Clays Shoot on Aug. 28 at Capital City Sporting Clays. Again, register online at

bmhba.com/events.

The office is continuing to make in-roads with building officials. Last month featured an educational session on building in or near a floodplain. More than 100 people turned out for the event that featured representation from FEMA Denver, the State Water Commission, and the engineering, financial and insurance industries. The event led to increased awareness of the motivators behind floodplain ordinances and prepares members and the association to work with building officials on codes that protect people and property without unnecessary hardship and cost.

Before I go, I would like to congratulate our newly elected officials. The association looks forward to working with Bismarck Mayor Mike Seminary, Bismarck Commissioners Josh Askvig and Nancy Guy, Mandan Commissioners Dennis Rohr and Shauna Laber and Lincoln City Commissioners Toni Zainhofsky and Ervin Fischer.

Regards, Vance Vetter

EXPANDED YOUR APPLIANCE SUPERSTORE

MORE BRANDS • MORE CHOICES

15 BUILDER PACKAGES

For over 70 years, we’ve been the area’s leading Builder Dealer. We’ve added new brands, new products and new choices that give you and your customers options for their new home. Budget models or high-end gourmet, we have it all.

Plus our people are second to none when it comes to advice and assistance.

Online @ ccappliance.com

223-1173 • 309 N. 3rd St. Bismarck

Page 4

BMHBA Building Buzz May 2014 New Members Advanced Audio and Video | Scott Maslowski Phone: 701-202-3118 Audio/Video

Cardinal Cleaning, LLC | Jeff Squire

Website: cardinalllc.moonfruit.com Cleaning (Home & Apartment)

Northland Concrete & Excavation | Sommer Jacob

Website: northlandce.com Concrete Contractor, Excavating

Royal Septic & Excavating | Bob Blotske

Website: royalseptic.com

Excavating, Waste Collection, Septic Services

United Erosion Control | James Malarkey

Website: unitederosioncontrol.com Erosion Control Services

July 2014 Anniversaries Bilfinger Westcon, Inc. | Sue Gustafson

General Contractor, Boilers, Concrete Contractor, Demolition

Bobcat of Mandan | John Dinneen | Join Date: 1995 Equipment, Lawn & Garden Equipment

Brady Martz & Associates | John Mongeon | Join Date: 2007 Mortgages, Payroll Service, Accounting

Bremer Bank | Phill Sjoberg | Join Date: 2011 Mortgages

Brock White | Jon Zabolotny | Join Date: 1997

Basement Waterproofing, Caulking, Concrete Decorative, Insulation

Cardinal Home Improvements, Inc. | Robert David | Join Date: 2000 Home Builders (Custom), Remodeling

CornerStone Bank | Jerry Hauff | Join Date: 2006 Mortgages

Corwin Churchill Appliance Co. | Neil Whittey | Join Date: 1998 Appliances

Dakota Fence | Doug Doerr | Join Date: 1995 Fencing

Electro Watchman, Inc. | Rachelle Johnson | Join Date: 1999 Electronic Technology, Security Systems, Audio/Video

Glass Concrete Construction | Joe Glass Concrete Contractor

Hebron Brick & Block | Kerri Burrows | Join Date: 2006

Fireplaces & Stoves, Landscape Products, Masonry/Brick/Stone

Interior Woodworks | Mike Emmel | Join Date: 2006 Cabinets, Custom Cabinets, Millwork

Labor Ready | Camille Jones

Employment Services, On Demand Labor

Mandan Plumbing & Heating | Mark Zander | Join Date: 1997 Heating & HVAC, Plumbing Contractor, Boilers

Miller Insulation Company, Inc. | Todd Brady | Join Date: 1997 Insulation

Northern Plains Equipment Co., Inc. | Marc Taylor | Join Date: 1999 Equipment, Lawn & Garden Equipment

Premier Audio | Don Braunagel | Join Date: 2003

Audio/Video, Electronic Technology, Home Theaters, Security Systems

Radisson Hotel | Lyle Schneider | Join Date: 2007 Hotels & Restaurants

Interior Woodworks | Mike Emmel | Join Date: 2006 Cabinets, Custom Cabinets, Millwork

Rudnick Construction | Gerry Rudnick | Join Date: 1992 Concrete Countertops, Home Builders (Custom)

Strata Corporation | Lynn Toso | Join Date: 2002

Ready-Mixed Concrete, Heavy Construction/Aggregate Supply, Concrete Contractor

The Painters, Inc. | Donald Klym | Join Date: 2009 Faux Finishes, Painting Services, Staining (Trim)

The Printers | Larry Berget | Join Date: 1994 Advertising (TV/Radio/Print), Printing

July 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

July 2014

Page 5

Member Highlight: Cardinal Cleaning Company Name: Cardinal LLC DBA Cardinal Cleaning Contact Name: Jeff Squire Job Title: Owner

Phone Number: 701-390-2891

Website: cardinalllc.moonfruit.com

When was your company founded? Where and by whom? I started Cardinal in September 2013 in Bismarck with my partner in crime: Alex Deyle.

What type of products/services does your company provide? Our bread and butter are jobs in excess of 5,000 sq. ft. in both the residential and commercial markets where we conduct rough and detail cleanings of new or existing developments. We also have manly maids, which are for those continued residential, office spaces, or off the hip routine cleaning services.

Which products/services would you say are “bestsellers”? Our best seller is our new construction, residential cleaning for homebuilders in the Bismarck/ Mandan area. We make the home builders project gleam following up the build.

Our second best is our manly maid service. We offer a well valued in-home cleaning, done in a manly fashion.

What sets your company apart from the competition? We’re no merry maids, we’re competitively priced, and we believe great customer service is something that tends to be overlooked in our industry and in this area. We could go over our experience and guarantees, but at the end of the day we’re all about building great relationships with our clients and throughout the community.

What is your company’s mission statement (if you have one)? Cardinal Cleaning is dedicated to providing all aspects of cleaning to the new and existing developments throughout North Dakota. Residential or commercial, we take on the jobs others veer away from.

Cleaning just got… MANLY.

Is there anything new or interesting happening in your company or industry right now? Right now we’re working with the IDEA Center to help grow/expand the company and be in contest for the Innovate ND grant. We’re also restructuring our website and making it more interactive and engaging for our client base.

How many employees does your company employ?

Currently we employ 2 full time and roughly 6 part time employees.

What do you enjoy most about your job? Our most gratifying moment of any job is the appreciation from our clients. It’s rewarding to see the excitement from our clients after we finish a job that may have been ignored for the last 10 years.

What is the biggest challenge facing your company/ industry right now? How are you dealing with it?

One of our biggest challenges is growing too fast. Our service and brand have gained some great exposure a little faster than we can employ. So labor and growth are our current situations right now. We are avoiding staffing agencies as long as we can and also seeking some extra finances to help offset the unseen growth.

If you had only one sentence to sell your company to a potential customer/client, what would you say?

When is the last time you saw a man with a smile, cleaning your toilet? Exactly…

Anything else you would like to include? We appreciate the Bismarck/Mandan community, homebuilders, and developers for the opportunities they have granted us.

Don’t Miss These Upcoming Events!

July 1: Events Committee Meeting

July 21: Annual PAC Golf Tournament

July 16: Membership Committee Meeting

July 22: BMHBA Board Meeting

July 18: Executive Committee Meeting

Page 6

BMHBA Building Buzz

July 2014

Building Official’s Buzz City of Mandan: Justin Froseth, Planning & Engineering Director “The Mandan City Commission voted on June 17 to require a letter of credit from a developer in order to move forward with their request to finance the cost of improvements through the use of a special assessment district. This action by the City Commission was a result of the estimated assessment per lot. The use of financing improvements through special assessments adds to the City’s debt load, and as the City’s debt load increases the ability to finance projects at a favorable rate is affected. This recent action by the

city commission will not reduce that debt load, as the total cost of the improvement is still being assessed, however, the letter of credit for a portion of that debt provides additional security.”

Burleigh County Building/Planning/Zoning is pleased to announce the addition of Marvin Dahle as Code Enforcement Officer

Marvin Dahle comes to Building/Planning/Zoning with many years of experience as a Building Inspector for the City of Bismarck. Dahle is a Licensed Master Plumber, Certified Building Inspector and has also dealt with many ordinance violations in the past.

Dahle’s background also includes being a small business owner, which gives him an insight into the concerns of small businesses in Burleigh County.

Dahle increases the capacity of the Burleigh County Building/Planning/Zoning Department, to supply even faster service for inspecting septic systems,

Building a New Home?

Get 35% Off Lighting at

Our Lighting is Best on Broadway West

Visit 122 Mandan St, Bismarck | Call 258-4400

drain fields, drain tiles, gas lines and heating/cooling systems in our jurisdiction. The addition of Dahle, as a Master Plumber, also allows Burleigh County Building/ Planning/Zoning to provide underground and aboveground plumbing inspections in Burleigh County per North Dakota State Plumbing Board regulations.

A service previously provided by the State Plumbing Board.

Please welcome Marvin Dahle to the staff of Burleigh County Building/Planning/Zoning.

July 2014

BMHBA Building Buzz

Page 7

Confrontation’s Not a Dirty Word

By Rhea Blanken It’s time to remove the negative connotation from the word confrontation and claim it as a constructive sign of organizational health. Just mentioning the possibility of confrontation can cause an upset for some people.

We know when working with volunteers and staff, real issues arise that must be confronted and avoidance detrimental to the association.

The intentional confrontation boards, staff and volunteers can embrace has protocol and process, procedures and beneficial outcomes but its value has been marginalized for the sake of consensus. To confront is simply "coming face to face with a broken agreement or thwarted communication." When did we start thinking occasional confrontations to discover "what did or didn’t happen" within a project was wrong?

Exploring business literature reveals many champions for the value of confrontations unanimously referring to them as appropriate communication events allowing us to learn from our breakdowns. Avoidance allows the mistakes to go unchecked. Max De Pree said, “There may be no single thing more important in our efforts to achieve meaningful work and fulfilling relationships than to learn and practice the art of communication.”

Stephen Covey advises, “Delegating effectively takes emotional courage as we allow…others to make mistakes on our time, money, and good name.

This courage consists of patience, self-control,

faith in the potential of others, and respect for individual differences. Effective delegation must be two-way: responsibility given, respect received.”

Misunderstandings are normal between staff and volunteers and addressing the “mis” is the role and value of confrontations.

How to Confront • Pay attention to agreement breakdowns and address them sooner rather than later.

• Be proactive: willing and able to address what failed • During any confrontational event, watch out for "Yeah, buts" as a clue that failed promises and missed expectations (the genesis of the confrontation) may not be fully revealed • Listen to what is said and for what is not.

Properly handled, misunderstandings are resolved and the mistakes made teach vital lessons that solidify positive relationships. Confronting what’s so and why each occurred keeps your association vibrant and vital.

Rhea Blanken, FASAE, Results Technology, Inc., is a Strategist Facilitator, Executive Coach, Creative Solution Generator, and Speaker. She is presenting "Confrontation is Not a Dirty Word in the Staff-Volunteer Partnership," from 10:15-11:45 a.m. on Aug. 7 at the 2014 Association Leadership Institute. Contact her at rheaz@resultstech. com or 301-320-8711.

Don’t Miss These Webinar Wednesday Training Sessions!

Significant Changes to the 2012 International Codes Date & Time: Wednesday, July 16, 3-4 p.m.

Series: Housing Finance and Policy Details: This webinar highlights significant changes to the 2012 editions of the International Codes, particularly the International Residential Code® and International Building Code®. Visit http://www.nahb.org/conference_ details.aspx?conferenceID=2957.

Presented by NAHB Construction, Codes and Standards

Water Features and Landscape Architecture for Single-Family Homes & Communities Date & Time: Wednesday, July 30, 3-4 p.m.

Series: Design and Technology

Details: This session will focus on top water and landscape architecture features that home buyers want to see when they purchase either a single-family custom home or buy into an entire community. In both cases, these features contribute to a resident's positive sense of place by creating curb appeal in the public space and an intimate, enjoyable setting in their private space. Visit http://www.nahb.org/conference_details. aspx?conferenceID=2957.

Presented by NAHB Land Use and Design and the Best in American Living Magazine

Page 8

BMHBA Building Buzz

July 2014

National News: Members Demand Answers at ESA Meeting A group of NAHB members in town for the Spring Board of Directors meeting in Washington, D.C. June 3-6 also fit in a meeting with U.S. Fish & Wildlife officials to discuss proposed changes to the Endangered Species Act that, if enacted, could significantly shrink the amount of available land for building.

Members sought clarification on proposals that would allow construction to continue for “nearly completed” projects where land has been since designated as an endangered species critical habitat.

Paul Souza, Deputy Director of Ecological Services, told members that the Service would define “nearly completed” on a case-by-case basis, but also said the agency would extend the public comment period for the new ESA proposals, which will allow NAHB to do additional research.

Members also discussed the draft “significant portion of its range (SPR)” policy, introduced two years ago and, according to news reports, ready for release as a final rule. The concern: Because the proposed rule would allow the Service to list a

The Largest Title Company in ND With over 500 years of combined experience, North Dakota Guaranty & Title Company is your best choice for residential title services.

We offer lender’s and owner’s title insurance, closing and abstracting services, and 1031 exchanges with a turnaround time unsurpassed in the marketplace.

We provide consistent, professional land title services in North Dakota and Eastern Montana.

Give us a call — We’ll take care of the rest! thetitleteam.com | 701.223.6835

species as endangered if it is threatened in only a portion of its usual habitat, federal protections NAHB members Bill Daleure, Tom Farasay, Dean Uchida, Eugene Graf, Vince Messerly could extend even and Jerry Carter meet with Paul Souza, Deputy Director of Ecological Services, U.S. over land Fish & Wildlife Service. where the species is thriving.

“The most crucial factor for landowners is how the Service will determine what threats occurring in just a portion of a species range are so ‘significant,’ as to warrant an ESA SPR listing determination,” NAHB said in comments filed two years ago.

Lowe's ProServices NAHB Member Discounts Continue NAHB members can continue to enroll to receive increased discounts through December 2014 with Lowe’s ProServices.

Visit www.LowesForPros.com/NAHB and register to save two percent on your Lowe’s Accounts Receivable purchases made now through 12/31/2014†. Plus, save five percent every day when you use your Lowe’s Account Receivable*. Also, NAHB Members receive free delivery on purchases of $500 or more**. * Offer is not automatic, see store for details. **Exclusions and standard delivery rules apply, discount taken at time of purchase, see store for details. †Exclusions apply, discount taken at time of statement, see LoweForPros.com/NAHB or call 877-435-2440 for details.

Like BMHBA on Bismarck • Dickinson • Dunn County • M andan • Minot Renville County • Watford City • Williston • Sidney, MT

facebook.com/bmhba

July 2014

BMHBA Building Buzz

Page 9

Game On! Registration Still Open for Annual PAC Golf Tournament Sponsored by Bismarck Title Company The BMHBA/BMBOR Annual PAC Golf Tournament has limited spots available for member golfers. Register your team or yourself online at bmhba.com/ events or by calling 222-2400.

The annual event, which will take place at noon at Apple Creek Country Club on Monday, July 21, promises to deliver a day of fun for members who have been busy with their nose to the grindstone during this construction season.

Registration is $125 per person and includes lunch and dinner, 18-holes of golf, a cart, driving range, door prizes, access to four hole-in-one contests and more.

The BMHBA thanks our event sponsors: Platinum Sponsor Bismarck Title Company: Dinner, Lunch and Prize Sponsor North Dakota Guaranty & Title; and Hole Sponsors Bismarck Title Co., Starion Financial,

Advanced Mechanical, Inc., Montana Dakota Utilities Co., Gate City Bank, Capital Electric Cooperative, BNC National Bank, RDO Equipment, Kirkwood Bank & Trust Co., Swenson, Hagen & Co., Dakota Community Bank & Trust, ProBuild, BlackRidgeBANK, Miller Insulation Company, Inc., SPS Companies, Inc., Ferguson Enterprises, Plains Commerce Bank Loan Production Office, Northern Plains Plumbing, Heating & Air and Capital Credit Union.

GM NAHB Private Offer Continues Business Owners Can Now Save $1000

NAHB is pleased to extend to members a private offer1 of up to $500 toward the purchase or lease of most new GM vehicles. NAHB members who are business owners can now qualify for up to $1,000 and also add on incentives from the National Fleet Purchase Program2 and Business Choice3 to get the best value on vehicles that run your business. To get this offer just visit your local dealer, choose an eligible GM vehicle, and present your NAHB proof of membership form.

How it works: 1. Get your NAHB proof of membership form at nahb.org/gm.

2. Bring form to your GM dealer and mention this private offer.

3. At time of purchase or lease, present your NAHB proof of membership.

For private offer details, visit www.nahb.org/gm.

Private offer amount varies by model. $500 offer for retail deliveries and up to $1,000 offer for fleet deliveries. Valid toward the purchase or lease of eligible 2013, 2014, and 2015 model-year vehicles. Customer must take delivery by 1/2/15. Not compatible with other private offers. Not valid on prior purchases. Compatible with many current incentives. Incentives are subject to change without notice. Excludes Buick Regal (2014); Chevrolet Corvette (2014), Sonic, Spark, SS, Volt; all Cadillac models. FAN number required. See dealer for complete details. 2Offer eligible for non-CAP customers only through 12/31/14. See dealer for details. 3To qualify, vehicle must be used in the day-to-day operation of the business and not solely for transportation purposes. Must provide proof of business. For complete program requirements, including information regarding offers, vehicles, equipment, options, warranties, and ordering, consult your dealer or visit gmbusinesschoice.com. Take delivery by 9/30/14.

1

www.qualitytitlend.com 2211 East Main Ave. PO Box 1276 Bismarck, ND 58502-1276

ph: 701.204.6145 | f: 701.425.0425

Page 10

July 2014

BMHBA Building Buzz

National News NAHB Members: Get Ready to Rumble South Dakota is already famous for the annual Sturgis Motorcycle Rally. Now, it’s about to trump that with the first-ever America’s Ride for Housing NAHB BUILD-PAC Poker Run on Saturday, Aug. 2 and every NAHB member is invited to attend.

Beginning and ending at the Central States Fairgrounds in Rapid City, riders – who can be on two, three or four wheels – will enjoy seven stops at historic locations and monuments to fill out trivia questions during the 115

mile run through the beautiful Black Hills of South Dakota.

All NAHB members are invited to attend and support home building’s voice on Capitol Hill. Learn more about the ride – including cost, giveaways, and prizes – by visiting the Black Hills HBA website at blackhillshomebuilders.com/ pokerrun. Stay tuned for future updates about other BUILD-PAC events.

2015 NAHB Committee/Council Seats Available

All NAHB members are invited to indicate their interest in serving on the various committees and councils. The association relies on the leadership of members to provide expertise and experience on the issues and challenges facing our industry. Appointments will be finalized prior to the 2015 International Builders’ Show and you will be notified by email and a message posted in your nahb.org inbox if you receive an appointment.

Please Read Before Applying for an Appointment: • Only Builder, Associate and Affiliate members of NAHB may serve on a committee or council board of trustee.

• An individual can be appointed to no more than three standing committees or councils.

• All appointments are for a term of one year. The first meeting will be held during the 2015 Spring Board Meeting and the last at the 2016 IBS. A person will not be eligible to serve as a member, a chairman or vice chairman on the same committee or council for more than six consecutive terms. However, the Chairman of the Board may appoint a chairman who has already served six consecutive terms for one additional year. This does not apply to HBI and the Home Innovation Research Labs.

• Eligibility to serve on all NAHB committees and council boards of trustees shall be contingent on the member providing NAHB with a valid email address to communicate committee and council notices, materials and other information.

• Even if you are a current member of a committee or council, if you want to continue, you must submit an application.

• Members of committees and councils must maintain a current NAHB membership. Please make sure your NAHB membership is current. If your membership expires before Oct. 31, 2014, please contact your local association for renewal. An expired membership will delay the process for consideration of an appointment.

• To receive an appointment to an NAHB council board of trustees, an individual must be a member in good standing of both the council and NAHB at the time of appointment and must remain a member in good standing of both the council and NAHB for the duration of his or her term or be removed from the board of trustees.

• These are not political, but working appointments.

Serving on a committee is an important responsibility and should be taken very seriously.

It is very important to understand the time commitment involved. Members are required to attend the three National Board of Directors Meetings – Spring Board, Fall Board and the Annual Convention at IBS. Any member missing a meeting without an excused absence may be removed from the committee without prior notice. Attendance guidelines are included with appointment letter.

If you have a question about your eligibility, please contact Cyndi McKinley at cmckinley@nahb.org or 202266-8346.

July 2014

BMHBA Building Buzz

Page 11

National News New Rules, New Thinking on Trades Shortage For many builders, the housing industry meltdown provided little business management opportunities beyond just hanging in there. But Scott Sedam, principal of TrueNorth Development, and Saun Sullivan, CEO of DSLD Design, believe the industry changes have enabled the builders who survived to better address trade and supplier labor shortages.

Trades and suppliers are more likely to partner with companies that are well-organized, offer a clear business plan and engage in few last-minute or in-thefield changes. Just like your business, trades view time as money, and they don’t want either to be wasted, especially since margins are much slimmer than during the boom years Sedam and Sullivan were the speakers on the final webinar of the New Normal series on May 29. “‘You’ – a builder – cannot be profitable without ‘them’ –your trade partners,” Sedam told listeners. Everything else about your business flows from this simple statement, he added.

Your company’s operative word needs to be communication. The information you give your trades about a project must be clear, detailed and frequent enough so questions are answered quickly or anticipated. Your schedule is key to your own profitability and that of your trades. Trades will send out their crews according to what you tell them you need. If they waste a day because you changed

The ‘Additional Insured’ Pitfall

Suppose your company becomes involved in a construction defect suit arising from mistakes that turn out to be your subcontractor’s fault and you are listed as an Additional Insured on your sub’s comprehensive general liability (CGL) policy. Are you covered?

The U.S. Court of Appeals for the Fifth Circuit said an insurer had no duty to defend a contractor named as an additional insured in a subcontractor’s CGL policy in a post-completion breach of contract suit for construction defects. The court’s analysis centered on the interpretation of “ongoing operations” and “completed operations.”

Learn how the decision may affect your business and your insurance purchasing decisions in the online story from the NAHB Office of the General Counsel at nahb. org/generic.aspx?genericContentID=230941.

something, there will be a ripple effect touching on their other projects – and that makes you a less attractive builder to work with.

Builders also should constantly evaluate their trade and vendor relationships. Many owners use a vendor because they inherited the relationship when they took over the business. Now, ask yourself: Is the vendor adding value? Are they providing me the best level of service, product that I can pass along to my clients?

This isn’t personal; it’s business. Learn more about improving your relationships with trades on the program’s replay page nahb.org/product_details. aspx?forSaleID=13726.

NAHB BuilderBooks Launches New Website

BuilderBooks might have a new home, but they are still offering some of the industry’s best resources: • Social Media 3.0: It’s Easier Than You Think • Cost of Doing Business Study, 2014 Edition • Jobsite Safety Handbook, English-Spanish • Residential Construction Performance Guidelines, 4th Edition, Contractor Reference • 2012 ICC-700 National Green Building Standard™ • What Home Buyers Really Want The new website features: easy navigation, product comparisons, social media tools, wish lists and more.

Visit BuilderBooks.com.

Page 12

BMHBA Building Buzz

July 2014

Want to Sell More Homes? Tell Your Senators to Support S. 1217 Contact your senators today and tell them that bipartisan housing finance reform legislation that was recently passed by the Senate Banking Committee deserves an up or down vote on the Senate floor.

Why is this issue important to members of the residential construction community?

The Housing Finance Reform and Taxpayer Protection Act of 2014 (S. 1217) would fix the nation’s flawed housing finance system and breathe new life into the housing sector by providing a consistent and affordable supply of mortgage credit for single-family and multifamily housing.

By providing certainty and stability to the marketplace, S. 1217 would expedite the housing recovery and allow countless creditworthy buyers

who are currently unable to access mortgage credit to obtain home loans. This would prove particularly helpful to first-time home buyers and younger households, who are disproportionally hurt by today’s tight credit environment.

Moreover, S. 1217 would: • Ensure that 30-year, fixed-rate mortgages remain readily available and affordable.

• Encourage more thorough, consistent and responsible mortgage underwriting.

• Increase private capital in the marketplace.

• Protect American taxpayers.

Taking action is quick and easy. Visit http://capitolconnect.com/builderlink/.

North Dakota Guaranty and Title Co. Announces Promotions

the Mandan, N.D., office. Legg began her career at NDGT in 2010 after working in the collections industry for six years. She received an associate’s degree in business management from Bismarck State College.

Known as “The Title Team,” North Chelsey Legg Dakota Guaranty & Title Co. was founded in 1955. NDGT offers complete residential and commercial title and real estate closing services in each of its eight offices in North Dakota and one in Sidney, Mont. For more information about NDGT, go to: thetitleteam.com.

Member Minute: BMHBA Members in the News

North Dakota Guaranty and Title Co. in Bismarck, N.D., announces the promotion of three employees: Erin Schmitz was promoted from Vice President of Training to South Region Vice President.

Schmitz joined NDGT in 2007 and has worked in the real estate Erin Schmitz industry since 1994, during which time she worked as a Realtor, in lending and primarily as a title and closing agent. Schmitz earned a bachelor’s degree from Metropolitan State College of Denver.

Alicia Miller was promoted from Commercial Title Officer to Assistant Manager of Commercial Services in the Bismarck, N.D., office. Miller joined NDGT in 2012 after working as a land man and for a subsidiary of Delta Air Lines.

She earned a bachelor’s degree Alicia Miller in international relations and history from the University of North Dakota.

Chelsey Legg was promoted from Licensed Title Insurance Agent to Title Production Manager in

Bianco Realty Sales Awards

Bianco Realty has named Darcy Fettig and Shirley Thomas Associates of the Darcy Fettig Shirley Thomas Month! Darcy and Shirley had the most closed sales at Bianco Realty for the month of May 2014. Darcy has been a licensed REALTOR® since 1993 and Shirley has been a licensed REALTOR® since 2001.

July 2014

BMHBA Building Buzz

Page 13

Housing Production Falls in May; Single-Family Permits Rise Declines in both single- and multifamily starts pushed nationwide housing production down 6.5 percent in May to a seasonally adjusted annual rate of just over 1 million units, according to newly released figures from the U.S. Department of Housing and Urban Development and the U.S. Census Bureau. However, singlefamily permits, which can be an indicator of future building activity, rose 3.7 percent.

Single-family housing starts dipped 5.9 percent to a seasonally adjusted annual rate of 625,000 units in May. On the multifamily side, production fell 7.6 percent to a seasonally adjusted annual rate of 376,000 units.

“The encouraging news is that single-family permits are up by almost 4 percent,” said NAHB Chief Economist David Crowe. “The modest increase is evidence that builders expect continued release of pent-up demand and a gradual expansion of the housing market. We are still forecasting a 12 percent increase in total housing starts for the year.”

Locally, residential permit numbers in May 2014 were down from May 2015. Single family permits pulled in Bismarck, Mandan and Lincoln totaled 77 this May compared to 114 in May 2013. Multi-family permits also experienced losses from last year. In 2013, 11 permits for multifamily projects were pulled in May compared to just 1 this year.

Combined single- and multifamily production was down in most of the country. The Northeast, the Midwest and the West posted respective losses of 25.2, 16.5 and 16.3 percent. The one exception was the South, which registered a 7.3 percent gain.

Issuance of building permits registered a 6.4 percent decline to a seasonally adjusted annual rate

of 991,000 units in May. This was due entirely to a decrease in the multifamily sector, where permits registered a 19.5 percent loss to 372,000 units.

Single-family permits increased to 619,000 units.

Page 14

BMHBA Building Buzz

July 2014

July 2014

BMHBA Building Buzz

Page 15

PRSRT STD U.S. Postage

PAID Permit #72 Bismarck, ND 58501

2600 Gateway Avenue Suite 1 Bismarck, ND 58503

37