May 2018 Building Buzz by Bismarck-Mandan Home Builders Association

Bismarck-Mandan Home Builders Association

BUILDING May 2018

Buzz

FACEBOOK VS. CONGRESS: WHAT SHOULD HOME BUILDERS KNOW? page 5

MANDAN WELCOMES NEW PLANNER page 6

ASSOCIATION SUPPORTS COMMISSION CANDIDATES page 10

NAHB PROMOTES BUILDING WITH MEMBERS page 12

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 March 2018 New Members Horizon Financial Bank Marilyn Lauber | 701-751-7383 Kojin Construction, LLC | Vinnie Kojin 970-987-2550

Monica Kirkeide, Realtor-Trademark Realty Inc | Monica Kirkeide 701-226-2407

Time to Renew!

Members with May Anniversaries. Renew by May 31, 2018. America’s Home Loans | Darin Ketterling Mortgage Banking TK Homes, Inc. - Amy Sornsin | Amy Sornsin Single Family Spec/Tract Building Aspire Homes, Inc. | Greg Meidinger Single Family Spec/Tract Building | Single Family General Contracting | Single Family Custom Building | Multifamily Building (Condo/Coop Units) | Remodeling-Residential BEK Communications | Paul Frank Marketing/advertising or Public Relations Other Best Buy | Kenny Smithers Appliances (Retail Dealership) Bianco Realty | Kathy Feist Land Development | Real Estate | Other Bismarck Title Company | Howard Malloy Insurance or Title Company Border States Electric | Aaron Jahner Electrical Work Brendel’s Lawn Sprinkling, Inc. Bryan Brendel | Landscaping Dakota Staffing Solutions Amy Vetter | Industry Consultant Extreme Sales, Inc. | Vern Vetter Other Ferrellgas | Michelle Bushee Other

Building Buzz | May 2018

Herner Homes, LLC | Dave Herner Single Family Spec/Tract Building Hometown Realty, Inc. | Mary Shelkey-Miller Single Family General Contracting Remodeling-Residential | Real Estate Integra Realty Group | Gail Flom Real Estate TK Homes, Inc. - Jesse Sornsin Jesse Sornsin | Single Family Spec/Tract Building K & L Homes, Inc. | Chad Moldenhauer Single Family Spec/Tract Building Larson Engineering, Inc. | Dale Johnson Engineering | Planner or Designer Leingang Home Center | Mark Dettling Remodeling-Residential | Building Materials Lumber (Retail Dealership) Myhre Concrete Design | Clayton Myhre Masonry/Stone Work/Tile Setting/Plaster Concrete Work Oaktree Realtors | Darren Schmidt Real Estate Prairie View Landscaping & Nursery, Inc Kelly Johnson | Landscaping Bianco Realty - Shirley Thomas Shirley Thomas | Real Estate Terry Richter - State Farm Insurance Terry Richter | Mortgage Banking Insurance or Title Company

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 6 “REALTORS® OF THE MONTH” for April: Judy Maslowski, Shirley Thomas, Darcy Fettig, Amber Sandness, Amy Asche and Randy Fix. These six REALTORS® had the highest sales totals at Bianco Realty in April 2018.

Amber Sandness

Shirley Thomas

Judy Maslowski

Randy Fix

Darcy Fettig

Amy Asche

Bismarck-Mandan Permit Reports

through March 31, 2018.

BISMARCK PERMITS

MANDAN PERMITS

100

80 80

16 13

40 24

4 0

2017

2018

0 2014

2015

2016

12 0

4 2

2014

2015

2017

2018

-20

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 8

6 5

5 3

3 2

2017

2018

1 0

2014

2015

2016

2017

2018

0 2014

0 Lincoln Single Family

Lincoln Multi-Family Units

2015

2016

Burleigh County

Morton County

Linear (Burleigh County)

Linear (Morton County)

SINGLE FAMILY HOME PERMITS (ATTACHED & DETACHED) Bismarck Single Family

Lincoln Single Family

Mandan Single Family

Burleigh County

Morton County

Total Housing Units

250

200

150

100

-50 Total Housing Units Morton County

2015

Change

2016

Change

2017

Change

2018

138

-65.94%

91.49%

-62.22%

500.00%

16.67%

-85.71%

Burleigh County

-42.86%

25.00%

-40.00%

Mandan Single Family

160.00%

-38.46%

25.00%

Lincoln Single Family

-100.00%

0.00%

-100.00%

Bismarck Single Family

-42.86%

45.83%

-42.86%

May 2018 | Building Buzz

President’s Letter

I have to start this newsletter thanking our members who helped make the Spring Parade of Homes happen. That list includes the builders, their subcontractors, our committee, board of directors and staff. The stars aligned for warm weather and despite the wind people came out in droves.

Close to 2800 people walked through 44 homes over the course of four days. We had builders posting foot traffic to their home that ranged from 300 to 1700. The Parade of Homes serves many purposes: it draws attention to our industry, promotes home ownership, leads to home sales, markets our members and funds the office. I am confident that your participation pays dividends greater than your investment. All members are invited to celebrate the success of the Parade, hear who wins People’s Choice awards and enjoy an evening of 80s fun. Registration is open online at bmhba. com/events. Individual tickets and sponsorships are available.

May marks National Home Ownership Month. While we have a sense of the impact of homeownership, the article on page 9, provides insight into just how much. According to Jing Fu from NAHB, “The primary residence represents the largest asset category on the balance sheets of households in 2016 (as shown in Figure 1 below). At $24.2 trillion, the primary residence accounted for about one quarter of all assets held by households in 2016, surpassing other financial assets (20%), business interests (20%) and retirement accounts (15%).”

Lynn Klein

Board President

Share the excitement of National Home Ownership Month by posting to your social media sites, educating buyers and telling your peers. Information is available online at nahb.org by searching “National Homeownership Month Toolkit.”

The association is excited to bring together members young and old for our Annual Scholarship Picnic. We’re moving from The Post to The Zoo and opening the doors to adults and children. This family friendly event will keep with tradition of complimentary food, drinks and a silent auction. Mark your calendars and plan to attend on Wednesday, June 13. We are accepting silent auction items now through June 11. Familiar events continue to be a source of fun and socializing for members. At the same time the office is finding new ways to deliver more on your membership. May includes the first “Featured Member Event.” Heartland Pella is hosting their contractor appreciation event and through the featured member event program, the HBA is helping to get the word out. Attend Pella’s free lunch on May 16 and contact the office to find out how they can help you promote your next event. Row together,

Lynn Klein, President BMHBA Board of Directors

Building Buzz | May 2018

Facebook vs. Congress:

What Should Home Builders Know? by Dennis O’Neil Facebook CEO Mark Zuckerberg was asked to testify in front of House and Senate committees to discuss election influence, but members had far more questions about advertising, user data, privacy and consent.

threatened or directly proposed regulating Facebook and other internet companies.

Your Facebook advertising options are shrinking (a little). Facebook is feeling heat and acting quickly to dial back on advertiser freedoms. Even before this week’s testimony, Facebook announced it would be discontinuing “Partner Categories,” targeting that includes the industry-favorite option of reaching consumers who are “likely to move.”

Expect this to quickly trickle down from big tech, with more laws enforcing how all businesses — including yours — collect, share and use consumer data for advertising purposes.

Congressional hearings are not known for their entertainment value and Zuckerberg’s testimony wasn’t exciting, but there were some important points made, and a few key takeaways for builders and remodelers.

“Your user agreement sucks,” said Sen. John Kennedy (R- La.), who told Zuckerberg that Facebook needs to do more to help consumers understand how their content is shared. Increasing Facebook’s legal responsibility for user privacy and disclosure will have an immediate impact on your advertising opportunities.

This week, Facebook surveyed advertisers to rank the value of “the various targeting options that Facebook offers.” At least they’re asking what marketers value most.

Real estate-specific advertising rules to come. About a year ago, Facebook began asking real estate marketing companies to assert whether they were advertising in accordance with fair housing laws. In other words, Facebook is asking advertisers to self-certify that they are not using Facebook’s targeting tools to illegally exclude protected classes from promotions.

I’m nowhere close to giving up on Facebook advertising, but that next great innovation in advertising tech has been delayed. Internet advertising and privacy regulation is inevitable. Most consumers would welcome additional privacy protection. But business owners know how burdensome regulations can be. Almost every legislator

We know that self-certifying “good behavior” didn’t work out with a rogue developer and Cambridge Analytica. Don’t be shocked if real estate ads get moved into a category of their own — with fewer targeting options to ensure fair housing compliance. Bad apples. Geez.

May 2018 | Building Buzz

CITY & COUNTY ASSISTANT SUPERINTENDENT NAMED Will-Moore Elementary School principal Brad Barnhardt has been selected as the new Assistant Superintendent of Elementary Schools for Bismarck Public Schools. Nine people applied for the position; two internal and two external candidates were interviewed by a team of elementary principals and central office administrators. Barnhardt has an Elementary Education degree from University of Mary and a graduate degree in Educational Leadership from Aurora University in Illinois. He has been the principal at Will-Moore Elementary for five years. Before that, Barnhardt was a principal, dean of students, and elementary teacher in Sycamore, Illinois.

Superintendent of Schools Tamara Uselman says, “BPS welcomes Brad Barnhardt to the Central Office team. Mr. Barnhardt has big shoes to fill; Dr. Fran Rodenburg was a tireless warrior for what’s right for kids in the long run. The elementary assistant superintendent portfolio is broad and deep, including the curriculum and instruction of 16 elementary schools, Title programs, homeless Students in Transition, school nursing services, foster care students, enrollment projections, and staffing patterns, as well as a multitude of additional work. Mr. Barnhardt will roll up his sleeves and get to work July 1, bringing with him a successful job history and a passion for students and learning.”

MANDAN WELCOMES NEW PLANNER

John Van Dyke is Mandan’s new principal planner in the Engineering and Planning Department. His responsibilities include proposing future land use options for development, recommending rule and policy changes related to all planning and zoning items. He previously provided current and comprehensive planning services for municipalities across North Dakota with Interstate Engineering. Van Dyke is originally from Boise, Idaho and attended Boise State University where he obtained his bachelor’s degree in economics and master’s degree in community and regional planning.

Building Buzz | May 2018

HIGH WATER MARK REVIEWED The North Dakota Industrial Commission (Commission) received today the Ordinary High Water Mark of the Missouri River Bed Review conducted by Wenck Associates, Inc. (Wenck).

In a joint statement the Commission stated, “The Legislature directed the Department of Mineral Resources and the Commission to take on the complex issue of establishing the historic ordinary high water mark of the Missouri riverbed channel prior to closure of the Garrison Dam. We will carefully consider the information presented today and any comments that we receive during the 60-day public comment period and at the public hearing. This is a complex task and we appreciate the diligence of Wenck and our Department of Mineral Resources staff as they prepare their recommendations for the Commission’s consideration.” The 2017 Legislature passed Senate Bill 2134 directing the Industrial Commission and the Department of Mineral Resources to:

• Select (through a procurement process) a qualified engineering and surveying firm to conduct a Review of a certain segment of the Army Corps of Engineers Survey of the ordinary high water mark of the historical Missouri riverbed channel. • Receive findings and recommendations from the engineering firm on their Review of the delineation of the ordinary high water mark of the corps survey segments and their determination of whether clear and convincing evidence establishes that a portion of the corps survey does not reasonably reflect the ordinary high water mark of the historical Missouri riverbed channel.

• Publish notice of the Review findings and allow 60 days for written comments on the Review;

• Hold a public hearing for verbal comments - scheduled for June 26, 2018, at the North Dakota Heritage Center.

• After the public hearing, the Department of Mineral Resources, in consultation with the engineering firm, shall consider all public written and verbal comments, and develop a final recommendation on each of the review findings and deliver the final recommendations to the Industrial Commission.

• The Industrial Commission may modify a recommendation from the Department of Mineral Resources only if it finds clear and convincing evidence that the recommendation is substantially inaccurate. • The Industrial Commission must take action on each finding. The Industrial Commission’s action on each finding will determine the delineation of the ordinary high water mark for the segment of the river addressed by the finding.

“The Wenck Review can be downloaded from the Department of Mineral Resources website at https://www.dmr.nd.gov/,” stated Lynn Helms, Director of the Department of Mineral Resources. “Written comments on the Review should be submitted to brkadrmas@nd.gov or Oil and Gas Division, 1016 E. Calgary Ave., Bismarck, ND 585035512 before 5 p.m. CDT, Wednesday, June 20, 2018. Additional comments will be received at the public hearing on Tuesday, June 26, 2018.”

CITY & COUNTY MANDAN INSPECTION DEPARTMENT SCORED BY ISO The Building Inspection Department underwent an evaluation in 2017 from the Insurance Services Office, (ISO) to help determine how effective Mandan is at code-adoption and enforcement. This was accomplished through the Building Code Effectiveness Grading Schedule (BCEGS). The ISO is an independent statistical rating and advisory organization that serves the property and casualty insurance industry. ISO collects information on a community’s codeadoption and enforcement, analyzes the data, and then assigns a Building Code Effectiveness Classification from one to 10, with one being the highest.

Mandan received a grading classification of five for one- and two-family residential properties and received a four for commercial and industrial properties. The City’s score increased from 2012 in administration of codes and plan reviews but scored lower in field inspections.

Mandan rated favorably in current code adoption, staff experience, detailed plan review and training. The rating cited code adoption methods, the use of design professionals when needed, administrative policies and procedures, and staff shortages as areas of improvement. The City will continue work the next three years to increase its evaluation score during the next ISO assessment, expected in 2020.

MANDAN RESIDENTS REMINDED OF TIPS FOR RECYCLING ON WINDY DAYS Following spring clean-up activities, residents are reminded recycling items cannot be bagged. Below are a few recycling tips to help keep our City clean. To prevent recyclables from blowing around neighborhoods:

• If the National Weather Service issues a high wind warning, please consider waiting to put recycling containers out for collection until the next scheduled day.

• Recycling container lids may be secured with a bungee cord on days between pickups, but not on collection days as they interfere with the automated equipment. A few other reminders for single-sort recycling:

• If you have any extra recyclables, please hold the items for your next recycling collection day. Waste Management will not pick up recyclables outside the container. • Break down cardboard boxes.

• Do not bag recyclables in plastic. The single-sort system is not able to separate plastic bags on the conveyor belt at the material recovery facility. Most grocery stores accept plastic bags for recycling. • Styrofoam is another common but incompatible material appearing in recycling containers.

The containers need to stay at the home even if moving to another Mandan residence. Each container is assigned to a specific location with a serial number and global positioning system chip. For more information visit www. cityofmandan.com/recycle.

STEIN JOINS BIANCO REALTY Bianco Realty is excited to announce the newest REALTOR® to join their professional Real Estate Team: HEIDI STEIN. Heidi looks forward to helping clients with their Real Estate needs, achieving their dream of home ownership and providing a Tradition of Excellence!

May 2018 | Building Buzz

CITY & COUNTY THE IMPORTANCE OF REGULAR ROOF INSPECTIONS

RISING LUMBER PRICES HIT HOME

Weather conditions in North Dakota take a heavy toll on roofing systems and roofmounted equipment. Subsequently, it can be hard to know when roof damage has occurred. Starting an inspection and maintenance program will reduce the potential for costly roof and building repairs. Inspections should be scheduled at least twice annually - once in the fall and once in the spring.

A tariff on Canadian cedar shingles means cost increases at Duxbury Woods, an activeadult community in Massachusetts.

A roof inspection program should include a checklist so the condition of the roof can be tracked each year. A sample checklist can be found online at nd.gov/ndins/uploads/29/ Roofchecklist.pdf.

All roofs require some type of maintenance to ensure long-term, weather tight performance. Consult a professional roofing contractor to find out which maintenance tasks you can do yourself and tasks that need to be handled by experienced roofing contractors. There are many benefits of a properly maintained roof: • Better performance • Longer life

• Fewer and less costly repairs

If you follow a regular inspection and maintenance program you will lower your repair costs and save money.

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

Building Buzz | May 2018

John C. “Jack” Dawley got an unwelcome surprise recently when he opened an email from the company that supplies the white cedar shingles for the homes in an active-adult development he’s building in New England.

The shingles are imported from Canada, and as of March 14 are subject to an immediate 20.8% duty that the U.S. imposed as part of its ongoing softwood lumber trade dispute. That translated into an additional cost of $1,400 per unit for the 12 homes planned for the next phase of construction – and half had already been sold.

“For most people, including me, the topic of tariffs and their impact is abstract,” said Dawley, president and CEO of Northland Residential Corp., a builder-developer focused on high-end single-family and condo communities in eastern Massachusetts. “It was instantly clarified with this message.”

Coniferous shingle and shake products had not previously been subject to tariffs because there is so little production in the United States and thus not competing with similar American products. Further, there had been no accusations of improper conduct levied against Canadian shake and shingle manufacturers, his supplier explained. “What Americans and our administration need to understand is that, at a minimum, a third of the U.S. supply of dimensional framing lumber and 100% of red and white cedar shingles come from Canada,” Dawley said.

“The simple fact is that U.S. simply does not produce what it consumes, and its economy relies on the rational importation of certain goods. In the case of home building, taxing such goods via a tariff simply drives up the cost of production,” he said. A study by NAHB economists shows that the increase in the cost of lumber since the beginning of 2017 has been enough to drive up the price of an average new single-family home by $6,388, and the market value of an average new multifamily housing unit by $2,430. The study also shows that while they were designed to boost employment in the U.S., the tariffs on Canadian softwood lumber will instead result in the net loss of 9,370 jobs in 2018.

CITY & COUNTY

HOMEOWNERSHIP IS KEY TO HOUSEHOLD WEALTH By Jing Fu

According to the 2016 Survey of Consumer Finances (SCF), nationally, the primary residence represents the largest asset category on the balance sheets of households in 2016. At $24.2 trillion, the primary residence accounted for about one quarter of all assets held by households in 2016, surpassing other financial assets1 (20%), business interests (20%) and retirement accounts (15%).

VACANCY RATES The Bismarck-Mandan Apartment Association released its quarterly vacancy survey results. Each quarter the association polls its members. Thirty seven members responded to the April survey compared to 73 members who responded to the January survey.

The 2016 Survey of Consumer Finances (SCF) was published by the Board of Governors of the Federal Reserve System. Compared to the quarterly Financial Accounts of the United States (previously known as the Flow of Funds Accounts), which provides aggregate information on household balance sheets, the SCF provides family-level data about U.S. household balance sheets and is available every three years. This post uses the 2016 data from the Survey of Consumer Finances (SCF) to analyze household balance sheets, especially their primary residence, by age categories Total assets were $3.7 trillion for households under age 35, while they were $35.6 trillion for households aged 65 or older. The aggregate value of assets held by families where the head was aged 65 or older was approximately 10 times larger than those held by families where the head was under the age of 35. The increases in the total assets among age groups indicate that the value of assets grows with age groups.

Moreover, the distribution of major assets on household balance sheets varies by age group. Across age groups where households were under the age of 55, the aggregate value of the primary residence was the largest asset category on these households’ balance sheets. For households aged between 55 and 64, the primary residence fell to the third largest asset category, following business interests and other financial assets, and for households aged 65 or older, the primary residence became the second largest asset category, less than other financial assets, as business interests shrunk. Among homeowners under the age of 45, home equity was the largest category of the household’s net worth (the sum of medians does not equal the median of the total). However, for homeowners above the age of 45, non-primary residence equity eclipses home equity as the larger portion of net worth, reflecting the accumulation of other assets by homeowners in later life stages.

PUBLIC WORKS DAY MAY 19 Bismarck Public Works in collaboration with the North Dakota American Public Works Association (APWA) will celebrate the “Power of Public Works” with a Public Works Day celebration event on May 19, 2018, from 1–4 p.m., at the Public Works building. The inaugural Public Works Day Celebration will include hands-on activities and demonstrations such as creating plastic bottle bird feeders and tree cookie necklaces, the chance to win a ride to school in a public works vehicle, snow plow blade decorating, snow plow art displays by Century and Legacy High School students, automated vehicle location (AVS) and (UAS) drone demonstrations, snow plows, construction equipment, emoji activities, a visit from Forrest Von Flickentale, a water analytics demonstration, free water sample pH testing, an opportunity to see how salt water beet juice brine is made, and more! Tours of the Public Works building will take place at 1:30 p.m., 2:15 p.m. and 3:00 p.m. Static displays of public works equipment will be located on the south side of the parking lot and parking will be available on the north side of the parking lot. Rain or shine the event will take place. In case of inclement weather, all activities will take place inside the public works building. May 2018 | Building Buzz

BMHBA NEWS ASSOCIATION SUPPORTS COMMISSION CANDIDATES The BMHBA Government Affairs Committee announces the association’s support of commission candidates whose record and platforms align with our industry’s ambitions.

BUILDERS AND BUILDING OFFICIALS MEET

The City of Bismarck has four candidates running for two commission seats. Incumbent Nancy Guy is running for reelection. Challengers include Greg Zenker, Mark Splonskowski and Beth Nodland. After reviewing candidate questionnaires, the committee has endorsed Greg Zenker and Mark Splonskowski. The City of Mandan has five candidates running for two seats. Incumbents Dennis Rohr and Shauna Laber are running for reelection. Challengers include Ashley Kelsch, Amber Larson and Bee Maloney. The committee has endorsed Dennis Rohr and Shauna Laber. Completed candidate questionnaires are available for viewing online at https://goo. gl/48tLJp. Your contributions to BUILD-PAC and NDAB-PAC are what make our endorsements and campaign contributions possible. Please consider making a donation by visiting https:// goo.gl/vwiddz.

Greg Zenker

Shauna Laber

Dennis Rohr

Mark Splonskowski

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

Building Buzz | May 2018

Members were joined by building officials from Bismarck, Mandan and the State of North Dakota for the annual Spring Building Officials Roundtable. The event covered topics including stormwater, frost protected shallow foundations and precip buildup in new homes across Bismarck. Members are reminded to contact the association office at 222-2400 when experiencing concerns that impact residential construction so that the HBA can work on your behalf to ensure the best building environment.

UC TS D O R UR P SUPPORT O Y E OT ND PROM RVICES A UILDING E! B IM SE AND E HOME E SAME T TH AT TH m STRY U D ba.co h IN m b @ . rac y -2400 t t spot c a g 2 t n 2 n i Co o r 2 d ve r t i s a this m i a to c l

EVENTS RESIDENTS ROLL OUT FOR THE SPRING PARADE The Association’s Spring Parade of Homes drew crowds to 44 homes spread throughout Bismarck, Mandan and Lincoln. The fourday event featured new construction by 28 builders. Feedback from participating builders was positive, with several reporting spectator traffic exceeding 1000. The post Parade of Homes survey is open for builders to complete. If you didn’t receive the link, please contact Dot Frank at dot@bmhba.com. Builders, subcontractors and all members are encouraged to celebrate the success and hear the stats at the Spring Awards Mixer on Thursday, May 17 at the Baymont in Mandan.

KEEPING TABS ON MEMBERS The Association is excited to launch a new customer relationship management (CRM) program. Members should notice a different look on their invoices and soon a new platform for registering for events. The new CRM will allow us to keep better track of your participation, interests and account. Please don’t hesitate to contact us if you have questions regarding the new program.

SILENT AUCTION ITEMS NEEDED

2018 Calendar of Events May 9

Webinar: Supercharge Your Social Media 1-2 PM

May 16

Featured Member Event: Contractor BBQ at Heartland Pella 11 am - 1 pm 2205 E. Broadway

May 17

Spring Awards Mixer & GMM 5:30 PM - 7:30 PM at the Baymont Inn, Mandan

June 13

Annual Scholarship Fundraiser Picnic 5:00 PM – 7:00 PM at the Dakota Zoo

July 10

Annual PAC Golf Tournament Hawktree Golf Club in Bismarck

August 2

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

August 12-18

National Apprenticeship Week Register at bmhba.com/events, or call 701-222-2400.

We need our members help to raise funds for the BSC scholarship account. Each year, the HBA grants three scholarship awards to students pursuing the building trades. The funds for the scholarship account come from two events: The Annual Picnic and the Fall Awards Mixer. Please consider donating items or making a monetary contribution for the picnic silent auction. This year’s picnic is family friendly and will be held at the Dakota Zoo. As a result, kid and family themed items would make great donations. Contact Tracy DeForest at 222-2400 or email tracy@bmhba.com with your items.

May 2018 | Building Buzz

NATIONAL NEWS

NAHB JOINS OHIO HBA IN CONSTRUCTION DEFECT CASE As builders well know, one of the risks they face is that, following completion of construction, the home owner may assert a claim against them for damage to the structure caused by an alleged construction defect. One of the ways a builder manages the risk of such construction defect claims is by purchasing comprehensive general liability insurance. In a case the home building industry is watching closely, NAHB joined the Ohio HBA April 10 in filing an amicus brief in the case of Ohio Northern University v. Charles Construction Services, Inc. The Ohio Supreme Court is reviewing a lower court ruling that an insurer has a duty to defend and indemnify a contractor

NATIONAL NEWS

NAHB PROMOTES BUILDING WITH MEMBERS NAHB recently took advantage of an opportunity to promote our members with a full-page ad in the 2018 USA Today Home Guide issue (page 42), which targets over 1.2 million home buyers. We also were glad the publisher featured NAHB member Joseph Scott Homes from the Racine Kenosha BA in Wisconsin in its article “Building a Dream”. This ad serves as the launch of our We’re More than Homes campaign that showcases the importance of NAHB membership and why consumers should hire our members. Reflecting the new NAHB brand messaging, this ad portrays our members as drivers of innovation and the foundations of our communities. This campaign will be featured throughout 2018 and customizable ads and supporting materials are available to HBAs at nahb.org/membershipdrive.

NATIONAL NEWS

We also placed the ad in Major League Baseball program guides for the Chicago Cubs, Texas Rangers, New York Mets, Seattle Mariners and the Tampa Bay Rays. The MLB ads were co-branded with the targeted local and state HBAs. We were grateful to once again enjoy this complimentary opportunity to promote our members.

Building Buzz | May 2018

against claims made by a project owner for property damage allegedly resulting from defective work performed by the contractor’s subcontractors.

A favorable ruling would place the Ohio Supreme Court squarely in agreement with the thoughtful and well-reasoned opinions of the vast majority of other state supreme courts and federal appellate courts around the country that have addressed the issue. For additional information, contact David Jaffe at 202-2668317.

Generate unique content for your social media channels by registering for a new webinar, Supercharge Your Social Media with Emotional Content, on Wednesday, May 9, 1-2 p.m. Led by 2018 NAHB International Builders’ Show® speaker Will Duderstadt of M/I Homes, Inc., participants will learn how to create highly shareable content to achieve greater engagement, convert more visitors to leads and make happy customers. Register online at bmhba.com/events.

Did you know that 98% of the visitors to your members’ websites don’t fill out the contact form? Thanks to new technologies, reduced costs and research, remodeling and building businesses of every size can have dynamic websites that convert leads into devoted customers. From Content to Conversion: Building a Killer Website will take place on Wednesday, May 30 from 12-1 p.m. This webinar is presented free courtesy of NAHB Remodelers during National Home Remodeling Month. Register online at bmhba.com/events.

HBA WEBINAR SPOTLIGHTS NEW MEMBER ADVANTAGE PROGRAMS

Congel v. Malfitano addresses partnership dissolution: The parties formed a partnership to own and operate a large mall in Poughkeepsie, NY. The defendant owned a minority interest (3.08%) in the partnership. In 2006, Malfitano advised his fellow partners that he had decided to dissolve the partnership, claiming that there had been a fundamental breakdown among the partners. He claimed because the signed partnership agreement did not provide for a definite term of existence or duration, it was an atwill partnership and thus could be dissolved unilaterally under New York law.

However, while the partnership agreement did not provide a term, it did state that the partnership could be dissolved upon the election of a majority of the existing partners. Thus, the question for New York’s highest court, the Court of Appeals, was whether an agreement that provided dissolution conditions, but not a specific term, is an at-will contract. NAHB participated as an amicus in this case because many of our members’ businesses are partnerships. Our argument was that partnership agreements should be enforced in accordance with their express terms.

The New York Court of Appeals agreed with our argument. The court held that the parties to the agreement clearly specified under what conditions the partnership could be dissolved. Thus, it was plainly not an “at-will” partnership that could be unilaterally dissolved by one partner.

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5/9/2018 | 1:00 PM - 2:00 PM

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NATIONAL NEWS

Are you interested in learning more about NAHB’s newly launched member discount programs? Then register to join us on Tuesday, May 15 at 1 p.m. for the second installment of the quarterly HBA webinar series, where representatives from Amazon Business and Capital One Spark Business will share the benefits of their programs and answer your questions. Register online at bmhba.com/events.

The New York Court of Appeals in March issued a decision that provides clarity for New York business partnerships.

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NEW WEBINAR HELPS MEMBERS SUPERCHARGE THEIR SOCIAL MEDIA

5/17/2018 | 5:30 PM - 7:30 PM

2018 Spring Awards Mixer & GMM

6/13/2018 | 5:00 PM - 7:00 PM

Annual Picnic & Scholarship Fundraiser

7/10/2018

Annual PAC Golf Tournament Hawktree Golf Club in Bismarck

8/2/2018 | 4:00 PM – 7:00 PM

Annual Sporting Clay Shoot at Capital City Sporting Clays

8/12/18 - 8/18/18

National Apprenticeship Week May 2018 | Building Buzz

NDAB NEWS Monthly News from the North Dakota Association of Builders

Dan Lindquist, NDAB President

President’s Message

Before I get into what to ask when looking for the right builder for your home, I want to share some events that have occurred in the past couple of weeks.

May 2018

Kim Schneider, NDAB Chief

Executive Officer

Bringing Housing Home and Vote

While we often travel to D.C. to conduct meetings with Congressman Cramer, Senator NDAB Past President, (2015) LeRoy Kurtyka Heitkamp and Senator Hoeven, we realize that is Forx Builders Association, who is known to all as not always an option for all our members and that a kind person with a huge heart, was diagnosed is why we are pleased to hold Bringing Housing with cancer a year ago. I believe all of us have Home! Bringing Housing Home is an opportunity Kim Schneider Dan Lindquist family or friends that have gone through similar for our members to meet with our U.S ReprePresident CEO experiences. One of the consequences of cancer sentative and Senators back in North Dakota and treatment can be added or unexpected expenses. Our state office was on May 1 in Bismarck NDAB is proud to bring together our members made aware of a fundraiser event being put together by LeRoy's company, with our Congressional delegation along with candidates for ND’s SecreNorthern Plumbing Supply. Our members, along with state and local tary of State and Congressional candidates from both parties. These meetoffices, immediately began to participate. Through generous individual ings, especially important during each election year, are key to strengthendonations and the sale of Team LeRoy t-shirts, our members have made a ing relationships with lawmakers and to keep housing issues as a priority significant monetary gift to LeRoy and his family. I’m not surprised and in Congress. could not be prouder of the way the members, local associations, and the state office knew what to do when we heard the call for action. I feel We encourage you to “Bring Housing Home” and continue to hold meetblessed to live in this part of the country and interact with such a ings in your home cities with your local candidates and state legislawonderful group of people. I want to thank you all for your generosity tors. Having conversations and meet and greets is a great way to build and compassion. On behalf of everyone in the association, we send relationships and ensure your voice is being heard regarding concerns that LeRoy, Jan and family all the best during this time. impact the home building industry. Moving on to three questions to ask when looking for the right builder. Finding the right builder whose business approach aligns well with your Next month brings us already to June and the opportunity to vote in North personal preferences is essential to a pleasant home-building experience. Dakota! Tuesday, June 12 is primary election day. Historically, the primaThe builder will be asking you plenty of questions during your initial ry election is one of the lowest voter turnouts for an election, but it is just meeting to discuss the home you envision. But the questions you ask the as important to vote in the primaries as it is to vote in the general election builder are equally important to determine if it’s going to be a positive in November. In a primary election, voters may participate in choosing the partnership. Consider asking the builder about the following: candidate for the party’s nomination by voting through a secret ballot, as in a general election. While the primary is held on Tuesday, June 12 this Work Experience – You will want to find a builder with extensive year, some cities may offer in-person early voting opportunities and/or experience building homes similar to the one you want. Ask to see absentee or vote by mail. Regardless of how you choose to vote, ID is examples of floor plans and designs they’ve done before to ensure their required for voting in ND. You will need an ID that shows your name, company can deliver what you need. You should also ask if they have or current residential street address and date of birth. Some valid forms inare working toward any professional designations, which show that the clude current driver’s license or non-driver’s identification card, tribal builder has advanced training in a particular area. government issued identification or long-term care certificate. If voting absentee or by mail requires a ND form of identification listed above, a References – Any high-quality builder should be ready to provide you passport or military ID. with several names and phone numbers of satisfied customers. If they can’t, consider that a red flag and walk away. When reaching out to those To learn more about voting in North Dakota or to educate yourself on former clients, ask about how well the builder followed through on the what and who will be in the June and November ballots, please visit the initial plans, and if the builder met their expectations regarding budget ND Secretary of States website at www.sos.nd.gov. Voter information, and timing. Don’t forget the most telling question of them all: If they candidate information, dates, locations and even election results will all be could do it all over, would they hire that builder again? made available here. Communication Style – Many builders will do their best to "Nobody will ever deprive the American people of the right to vote except accommodate your communication preferences. But it’s always best to the American people themselves and the only way they could do this is by establish expectations as early as possible. The frequency and method of how you communicate early on with each other is something that will set not voting." -- Franklin D. Roosevelt the tone throughout the whole building process. Take care, Kim Schneider Thank you, Dan Lindquist

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 ❖1701 Burnt Boat Drive, Suite 201, Bismarck, ND 58503-0801 ❖701/222-2401 or 800/326-4746 ❖www.ndbuild.com

Building Buzz | May 2018

AROUND THE STATE Home Builders Assoc. of Fargo-Moorhead

Williston Area Builders Association Around the State

Bryce Johnson, Chief Executive Officer, 701-572-5744 | willistonbuilders.com Bismarck/Mandan HBA for donating a Decorating Services, Top Recruiter; Ken 701-232-5846 | hbafm.com • Trust, Golf Scramble - June 19,computer 2018 for our new Executive! Krajsa, Bell State Bank & Top Dot Frank, Executive Officer Spike; George Fraza, Blue Cross Blue • The HBA of F-M’s Herdina Academy for the Construction JuneHome show booths 701-222-2400 bmhba.com • Parade of Homes 2018 - Date TBD are being sold now! Shield of ND, Top New Spike; Ken Krajsa Trades will run June 4-15. It is a two-week hands-on summer January 8th is the deadline for our Cornerstone Award. HBC granted $12,500 • Picnic and Hammer-Schlagen Tournament - August 21,April 2018 preferred vendors. Home show is 15 for high school  “camp” The BMHBA has been students. busy following in scholarships to local high school

ordinance updates in Bismarck and

– 17, 2016 -

students • The HBA’s Burleigh Spring Parade of Homes ran April 27-29 and and college students in or contact Jackie@willistonbuilders.com for Mandan, and Morton Counties. planning on enrolling NDAB in the construction is Proud to Announce the 2018 Professional Builders May 4-6reviewing and featured 93 homes by 50 builders! Following questions. All are and updating dated programs. the event, the are HBA is planning the Spring codes. Eyes currently on permit cost Parade of Homes.  Our December General Membership • Don Dabbert Jr.-Dabbert Custom Homes  The HBA of F-M held a PAC Social with changes and development standards. Celebration May 17. meeting will be held on the 17th special guest Jerry Howard to talk about • Todd Williams-Todd Williams • ToAcelebrate housing analysis conducted by Bismarck NAHB is working on in D.C. and National Remodeling Month, the HBAissues Remodelers and Mandan outlines a need for an • Construction, how they tie in locally. The event was a LLC Council will7,786 host owner-occupied a picnic May 23.homes Thank you so much to our Annual additional success with 75 members in attendance. • Mike Workman-Jordahl Custom Homes Your support Banquet Sponsors! by 2nd 2030.Annual The HBA is working on a task to raise funds for • The Cornhole Tournament  Just under 20 members attended a Lunch force to explore implementation of the helped us to put on NDAB-PAC will be May 10 at Twin City Garage Door. • Charles Bon-C’est Bon Construction, Inc.a great event! We Session with local building officials to talk study’s recommendations. had a great crowd and a fun evening about the latest issues in• residential Vern Hanson-Hanson Bros., Inc.the year end and  Members elected a new Builder board celebrating construction. Dickinson Assoc memberArea at theBuilders Fall GMM on Nov. 24 to fill recognizing allInc. our amazing Award • Eric Berg-Eric Berg Construction,  The New Year Celebration & City Night is Tiffaney Executive Officer PastDolechek, President Vance Vetter’s seat. The winners. We are already looking on Jan. 28 at the Radisson in Fargo.Bullinger-Western Productions 2016 board of directors will be sworn in at • Michael forward to doing it all again next year • The Show was another from Fargo, Moorhead, West theDABA AnnualHome Banquet on was Jan. April 14. 7th and 8th and Mayors in Bismarck! successful event! We have over 90 exhibitors and around 2,300 & Oxbow• will Fargo, Dilworth be in Jason Eid-Eid-Co Homes  The BMHBA welcomes all members to attendance and participate on a mayoral people attend! We received a great amount of non-perishable attend a Lead Renovator and Lead Tom Spaeth-Accent Kitchen & Bath panel. Weyear will also have• special guest Al food items that we donated to the Amen Food Pantry. This Renovator Initial and Refresher course Jaeger, Secretary of State. If you would we in the BMHBA’s footsteps and had a scavenger • Mark Spriggs-M & J Construction, Inc. onfollowed Nov. 30 and Dec. 1, respectively. like to attend, please visit the events Visitfor bmhba.com/events towhich register. hunt the first 200 kids went over extremely well!at www.hbafm.com. calendar • Tyrone Leslie-Heritage Homes Thank you to all of our committee members, volunteers, and Dickinson Area Builders Assoc. • Todd Halle-T & S Custom Homes, Inc. exhibitors for making this event possible! Forx Builders Association Platinum Sponsors—Kuntz Builders, Irene Schafer, Executive Officer Betty McDonald, Executive Officer • Robert Leslie-Designer Homes Inc. and Winn Construction, Inc. • Our PAC event is April 18th and we are hoping for a great 701-483-0044 dickinsonareabuilders.com 701-746-4536 forxbuilders.com turnout and anticipate we will surpass our donation amount • Charles Zach-Zach Construction, Inc.  from Our last regular GMM was held at the Eagles Silver Sponsor—ProBuild year!  There was good attendance at Slate Club on November 11 with a moment of • John Gunkelman-Dakota Construction Interior Design’s November Builders after silence honoring our veterans. NDAB-PAC Reception Sponsor—Bosch Hours. Thank you Alissa. Forx Builders Association • Greg Krueger-Krueger Construction  Our Home Show committee is busy  The December Builders after Hours will be Lumber Co. 701-746-4536 | forxbuilders.com planning our Home Show in April, hosted by the Membership Committee and

updating adding new features. more Security informationBanner about NDAB’s Builders Program Sponsor—Roers West, LLC • Thank youand to everyone who came out to support our friendof DirectorsFor the Board at Keith’s  and Ourlong main focus right now is on Kurtyka April 19th. World. Jim Bisson owner of Keith’s & sara@ndbuild.com or 701-222-2401. contact SaraLock Frank: time member LeRoy

Key will be retiring the end of December the State Meeting here in Dickinson. We and we will be helping him celebrate this are looking forward to making this a Minotspecial Association of Builders milestone. night for Arnold Karsky as he is Elyshainstalled Head, Executive as our StateOfficer President.  Our Home Design and Garden Show will 701-852-0496 | minotab.com  Following that, we also busy planning our be held April 1, 2 & 3 at the Alerus Center. annual Christmas Party. Newly elected • The 2018 Home Val andVoelkering Garden Show haswith wrapped up and was Minot Association of Builders Vice President, is busy better than ever.putting The Show committee the event and Executive Officer her committee final touches to a met after has already forClub. the 2019 Show. very specialstarted eveningplanning at the Elks 701-852-0496 minotab.com • The WeFuture would like to takeSocial this opportunity Member is coming to up on May 4th at Muus  We are having a “Holiday Open House” for extend and an invitation to Kim Heather Lumber Hardware. Theand board of directors willour personally members here at the office December and other associations to attend our invite a potential member to the event in hopes that one15th from noon-7pm with food and Christmas party. on-one time and attention will bring the MAB, several new beverage.  members! Merry Christmas and Happy New Year to everyone! Williston Area Builders Association

• The Tool Belt Barbecue is back! More details Janna will beLutz, released Executive Officer soon regarding what the Battle of the Board will entail! 701-572-5744 willistonbuilders.com Bryce Johnson, Executive Vice President • Planning6 has started for later summer eventslike WABA Birdie welcomes with hbafm.com 701-232-584 new incoming board the Builders and the revamped Guns ‘n’ Roses Trap Shoot! Lance Bevier of Tractor and members:



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 &

 

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!

Also, Thank you to the NDAB 2015 Partners! We truly appreciate your support and we have enjoyed serving you throughout the entire year!

Gold Partner - Montana Dakota Utilities Silver Partners - Bismarck-Mandan Home Builders Association, Dickinson Area Builders Association, Home Builders Association of Fargo-Moorhead, & Northern Plumbing Supply 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 May 2018 | Building Buzz 15

PRSRT STD U.S. Postage

PAID 2600 Gateway Ave., Ste. 1 Bismarck, ND 58503

UPCOMING BMHBA EVENTS Annual Picnic & Scholarship Fundraiser - 6/13/2018 5:00 PM - 7:00 PM 2018 Annual PAC Golf Tournament - 7/10/2018 Annual Sporting Clay Shoot - 8/2/2018 - 4:00 PM â&#x20AC;&#x201C; 7:00 PM at Capital City Sporting Clays

Permit #72 Bismarck, ND 58501

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