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2019 New Home Sales Up 10 Percent Over Previous Year 4
Remodclers’ Confidence Increases in Fourth Quarter of 2019 5
Real Estate Statistics 5
NMHBA Rebates 6
Strong Attendance at 2020 Builders’ Show Reflect Industry Optimism 7
Coming Events 7
NAHB Announces Best of IBStm Winners at 2020 IBS 8
Aging-in-Place Specialists Honored with National NAHB Award 8
Statement from NAHB CEO Jerry Howard on Proposed NEPA Reforms 9
NAHB Announces Builder of the Year and Community of the Year 9
Membership Renewals / Cancellations 9
Statement from NAHB Chairman Greg Ugalde on Joint Employer Rule 10
Nation’s Home Builders Elect Leadership for 2020 10
EPA Administrator Announces New WOTUS Rule 11
Housing Journal Requests Photos 11
Discount Pricing for BCAOC Members 12
Builder Confidence Begins Year Strong as Single-Family Growth Continues13
Build Your Business 13
New App Helps Builders Meet Accissibility Requirements 14
Member Luncheon 14
Statement from NAHB Chairman Dean Mon: Signing of USMCA Trade Deal 15
Housing Starts Finish 2019 Strong 15
Get Yourself Noticed! 15
Home Builders Institute & Home Depot Partner to Grant $ for Youth 16
Member Advantage 17
Demand for Apartments Will Fuel the Multifamily Sector in 2020 18
NABH Identifies Top Features and Design Trends for 2020 19
Best in American Livingtm
Awards Showcase Top Design Trends for 2020 20
lationship AgreementCheck and went over op-portunities for Sponsor-ships such as our GolfTournament and ShrimpBoil.
I hope everyone’s February is great, I know to me it seems like timeis already flying. I would like to remind everyone of our LuncheonDates and Board Meeting Dates:
Please mark your calendars:2/18/2020 8/18/20204/21/2020 10/20/20206/16/2020
BCAOC Board Meetings:2/11/2020 8/11/20204/14/2020 10/13/20206/9/2020
Sincerely,Jon GutierrezPresident, BCAOC
A Message from thePresident
Cover to Cover
2
Hello Members,
Hope everyone’s New Year has started off good. I would like toremind everyone that our Luncheon is Feb 18th at 11:30 at the 19thHole. GB Oliver is going to be our guest speaker and I hope thatwe can give him a good turnout, he always has good informationwith what’s going on in the community.
I got to sit down with Doug Johnston and Steve Murphy fromBuilders Trust and got some good insight on our partnership withBuilders Trust and BCAOC. They gave me the first half of our Re-
Jon Gutierrez
3
Local Legislative Contact InformationCITY COMMISSIONERSDistrict 1 Mayor-Pro-Tem Jason Baldwin(575) 921-1093 • [email protected]
District 2 Nadia Sikes(575) 491-7910 • [email protected]
District 3 Susan L. Payne(575) 491-0211 • [email protected]
District 4 Josh Rardin(575) 434-0720 • [email protected]
District 5 Sharon McDonald(575) 446-9910 • [email protected] 6 Dusty Wright(505) 430-3395 • [email protected]
Mayor at Large Richard A. Boss, Mayor(575) 214-0024 • [email protected]
STATE OFFICIALSDistrict 32 Senator Cliff R. Pirtle(575) 626-7046 • [email protected] 33 Senator Bill Burt(575) 434-1414 • [email protected] 34 Senator Ron GriggsCell: (575) 439-1331 • [email protected] 51 Representative Rachel A. BlackCapital Phone: (505) 986-4467 •Cell: (575) [email protected] 56 Representative Zachary CookCell: (575) 937-7644 • [email protected] 53 Representative Willie A. MadridCapital Phone: (505) 986-4436 •Cell: (916) [email protected] 54 Representative Jim TownsendCell: (575) 703-0153 • [email protected]
COUNTY COMMISSIONERSDistrict 1 Gerald MatherlyOffice: (575) 437-7427Cell: (575) [email protected]
District 2 Couy GriffinOffice: (575) 437-7427Cell: (575) [email protected]
District 3 Lori BiesOffice: (575) 437-7427Cell: (575) [email protected]
BCAOC 2020 Board Members and OfficersExecutive Board of Directors:
President: Jon Gutierrez, Coble Constructors
President Elect, Ryan McGinnis, Classic Builders, Inc.
Past President: Ken McGinnis, Classic Builders, Inc.
Associate Vice President: Rick McCracken, Morrison Supply Company
Secretary/Treasurer: Tammy Gutierrez, Coble Constructors
Builder’s Trust Representative: McChristie Curry, White Sands Construction, Inc.
Associate Directors:Jeri Melton, Roy’s Welding
Jimmy Deer, Pioneer Abstract & Title Co. of Alamogordo, Inc.
Lee Ann Bain, First National Bank
Abe Moore, Darnold Plumbing
Builder DirectorsMike Drunzer, Drunzer Construction, Inc.
Harris Blankenship, National Construction, Inc.
Gerald Matherly, Highlander Construction
Catlin Curry, White Sands Construction
Dusty Wright, General Hydronics
Advisory Committee:Randy Rabon, Mesa Verde Enterprises, Inc.
Allen Gorby, Jack Wayte Construction Company, Inc.
Doug Nelson, Tool Box, LLC
Sylvia Tillbrook, Otero County Administration
G.B. Oliver, Alamogordo Chamber of Commerce
Jake Boles, USA Insurance
Josh Rardin, Rardin’s Contruction
The Building Contractors Association of Otero County is a nonprofit
voluntary trade association affiliated with the New Mexico Home
Builders Association and the National Association of Home Builders.
The association seeks to represent and serve the diversified needs of its
members who consist of large, small volume and custom home builders,
developers, and remodelers, as well as industry-related suppliers, sub-
contractors, & professionals.
As the voice of the housing industry in Otero County, the association’s
primary mission is to represent those involved in and served by the
building industry in our region, and all those in pursuit of the Ameri-
can Dream.
This will be accomplished by spearheading a combined effort of all in-
dustry-related groups in addressing the quality of life in the community.
The Building Contractors Association of Otero County will work to
achieve the following goals:
• Educate our membership, our industry and the public
• Actively participate in legislative & regulatory affairs
• Provide the forums that encourage quality construction and
innovative products.
We responsibly serve our community by being the positive influence
on the building industry.
BCAOC Executive Board
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Rick McCracken, Associate Vice PresidentOffice (575) [email protected]
Tammy Gutierrez, Secretary/TreasurerOffice (575) 437-6011 [email protected]
McChristie Curry, Builders Trust RepresentativeOffice (575) [email protected] McGinnis, Past President (2019)Office (575) [email protected]
Jon Gutierrez, PresidentOffice (575) [email protected]
Ryan McGinnis, President ElectOffice (575) 430-2189 [email protected]
2019 New Home Sales Up 10 Percent Over Previous YearWASHINGTON, Jan. 27--Sales of newly built, single-family homesdeclined 0.4 percent to a seasonally adjusted annual rate of694,000 units in December, coming off a downward revision inNovember, according to newly released data by the U.S. Depart-ment of Housing and Urban Development and the U.S. CensusBureau. The monthly number is 23 percent higher than the De-cember 2018 pace. An estimated 681,000 new homes were soldin 2019, 10.3 percent higher than in 2018.
"High levels of home builder confidence, coupled with an insuf-ficient existing housing supply to meet current demand, suggestgrowth ahead for new home sales this year." said NAHB Chairman
Dean Mon, a home builder and developer from Shrewsbury, N.J.
"Despite the slow start for housing in 2019, lower mortgage inter-est rates accelerated new home sales during the second half ofthe year, marking it as the best year for new home sales since therecession." said NAHB Chief Economist Robert Dietz.
A new home sale occurs when a sales contract is signed or a de-posit is accepted. The home can be in any stage of construction:not yet started, under construction or completed. In addition toadjusting for seasonal effects, the December reading of 694,000units is the number of homes that would sell if this pace contin-ued for the next 12 months.
Inventory has been trending lower over the course of 2019 andnow stands at a healthy 5.7 months' supply, with 327,000 new sin-gle-family homes for sale. Of that total, just 78,000 are com-pleted, ready to occupy. The median sales price was $331,400. Themedian price of a new home sale a year earlier was $329,700.
Regionally, and on a year-to-date basis, new home sales are 10.1percent higher in the Midwest and 31 percent higher in the West.Sales are down 11.8 percent in the Northeast and 15.4 percent inthe South.
5
(Based on information from the Otero County Association of REALTORS®, Inc. Multiple Listing Service)
RESIDENTIAL PROPERTIES
Active .....................................396
Under Contract ...................104
Sold ...........................................59
LAND
Active .....................................467
Under Contract ....................20
Sold .............................................8
COMMERCIAL
Active........................................59
Under Contract .......................5
Sold..............................................3
RESIDENTIAL PROPERTIES – SITE BUILT & NEW CONSTRUCTION ONLY
Number Sold.................................................47
(1) New Construction (46) Site Built
Avg. Sold Price...................................$174,835
Med. Sold Price................................$165,000
Avg. Days on Market...................................82
Sold in Alamogordo.............37
Sold in Cloudcroft..................4
Sold in La Luz ...........................2
Sold in Tularosa .......................2
Sold in Mayhill ..........................1
Sold in Sacramento .................1
Real Estate Report – January 2019
Remodelers' Confidence Increases in Fourth Quarter of 2019WASHINGTON, Jan. 21 - The National Association of HomeBuilders' (NAHB) Remodeling Market Index (RMI) posted a readingof 58 in the fourth quarter of 2019, up three points from the pre-vious quarter. The RMI has been consistently above 50--indicatingthat more remodelers report market activity is higher comparedto the prior quarter than report it is lower--since the second quar-ter of 2013. The overall RMI averages current remodeling activityand future indicators.
"The low inventory of homes on the market is forcing people tostay in their homes, thus increasing the desire and demand to re-model," said NAHB Remodelers Chair Tim Ellis, CAPS, CGP, CGR,GMR, Master CGP, a remodeler from Bel Air, Md.
Current market conditions increased two points from the previ-ous quarter to 56. Among its three major components, major ad-ditions and alterations gained four points to 56, minor additionsand alterations increased by one point to 54 and the home main-tenance and repair component rose one point to 58.
The future market indicators gained three points from the pre-vious quarter to 60. Calls for bids increased by three to 58,amount of work committed for the next three months gainedthree points to 57, the backlog of remodeling jobs jumped fivepoints 64 and appointments for proposals increased by twopoints to 62.
"The jump in the backlog of remodeling jobs is unsurprising dueto several factors," said NAHB Chief Economist Robert Dietz. "De-mand for remodeling is high, supported by a strong overall econ-omy and low interest rates, and it is challenging to meet the
demand and work off a backlog quickly due to the ongoing short-age of skilled labor."
Beginning with the first quarter of 2020, the RMI will be re-designed and a new series will be released. For the full RMI tables,please visit www.nahb.org/rmi.
ABOUT THE RMI: The RMI is based on a quarterly survey of pro-fessional remodelers, whose answers to a series of questions wereassigned numerical values to calculate two separate indexes. Thefirst index gauges current market conditions and is based on re-modelers' reports of major and minor additions and alterations,plus maintenance work and repairs, on both owner- and renter-occupied dwellings. The second index summarizes indicators offuture remodeling activity and is based on remodelers' responsesto questions about calls for bids, amount of work committed fornext three months, job backlogs and appointments for proposals.
ABOUT NAHB REMODELERS: NAHB Remodelers is America'shome for professional remodelers, representing the more than53,000 members of the National Association of Home Builders(NAHB) who are involved in the remodeling industry. Founded in1982, the organization provides information, education and des-ignation programs to improve the business and construction ex-pertise of its members and to enhance the professional image ofthe industry. Its membership incorporates nearly 100 local coun-cils across the nation. Learn more about remodeling atwww.nahb.org/remodel.
Follow NAHB Remodelers on Twitter: @NAHBRemodelers.
7
Strong Attendance at 2020 Builders' Show Reflects
Industry OptimismLas Vegas, Jan. 23 - Nearly 65,000 home building professionalsfrom around the world filled the exhibit halls of the Las VegasConvention Center as the National Association of Home Builders(NAHB) hosted one of the largest turnouts in recent years at theNAHB International Builders' Show (IBS) Jan. 21-23.
IBS and the Kitchen & Bath Industry Show (KBIS) once again com-bined for the annual Design & Construction WeekR (DCW), whichdrew a total of approximately 90,000 attendees.
"The strong attendance at this year's show reflects the positiveoutlook for the home building industry and the enthusiasm thatour attendees have for the future," said Geoff Cassidy, NAHB sen-
ior vice president of exhibitions and meetings. "Attendees con-tinue to seek the innovative products, education sessions andnetworking opportunities that only IBS can provide."
Exhibit space for IBS totaled approximately 600,000 square feet,where more than 1,400 exhibitors displayed the latest in buildingproducts and technology.
In all, DCW featured more than 2,000 exhibitors occupying morethan one million square feet of indoor and outdoor exhibits.Many of the exhibitors noted the strong foot traffic this year.
"It's been a great show for us," said Darren Salapka, vice presidentof builder experience at Allegion Home, a representative at theSchlage booth. "We've had a lot of traffic, a lot of good interac-tions and really good meetings throughout the day."
In addition to meeting suppliers and seeing product demosthroughout the three-day show, attendees networked with peersand attended any of more than 140 education sessions led by ex-perts on a wide range of industry topics.
Next year, IBS and Design & Construction Week will be in OrlandoFeb. 9-11, 2021.
LUNCHEON DATESNineteenth Hole Golf Course – 11:30 a.m.02/18/20, 04/21/20, 06/16/20, 08/18/20, & 10/20/20
BCAOC BOARD OF DIRECTORS MEETINGSMorrison Sjupply – 10:30 a.m. 02/11/20, 04/14/20, 06/09/20, 08/11/20 & 10/13/20 Rick McCracken
SHRIMP BOILMesa Verde Ranch – Date to be AnnouncedMcChristie Curry
BCAOC GOLF TOURNAMENTDesert Lakes Golf Course – Date to be AnnouncedRick McCracken
MEMBER APPRECIATION DAYMesa Verde Ranch – Date to be AnnouncedAbe Moore
ANNUAL MEETING / CHRISTMAS PARTYElks Lodge Ballroom – December 4, 2020Mandy Curry & Cheryl Matherly
Your participation in any or all of theabove would be greatly appreciated!
Save the Date
8
Aging-in-Place Specialists Honored with National
NAHB Remodelers Awards LAS VEGAS, Jan. 22 - The National Association of Home Builders(NAHB) Remodelers announced the winners of its annual Homes forLife awards, recognizing excellence in aging-in-place and universaldesign remodeling projects. The awards were presented at the NAHBRemodelers All-Stars Celebration in Las Vegas during the NAHB In-ternational Builders' Show.
The 2019 Homes for Life awards include five winners and five cate-gories. Reiko Lewis, CAPS, NCIDQ, LEED AP BD + C, of Honolulu,
Hawaii, won the Two-Story Remodel category; Nea Poole, AIA, ofMidlothian, Va., won the Whole House/Multi-Room Remodel cate-gory; Iris Chadab, CAPS, NKBA, of Windows to the Walls InteriorsLLC of Alexandria, Va., won the Multi-Generational Remodel; Robertand Evelyn Lenton from the Lenton Company of Palmdale, Cali., wonthe Bath Remodel category; and Bonnie Lewis, CAPS, Allied ASID,Assoc. IIDA, of Scottsdale, Ariz., won for the Best Overall CertifiedAging-in-Place Specialist (CAPS) design.
"These remodelers specializing in aging-in-place help home owners'dreams come true by implementing custom solutions to last a life-time," said 2019 NAHB Remodelers Chair Tim Ellis, CAPS, CGP, CGR,GMR, Master CGP, of Bel Air, Md. "The Homes for Life projects ex-emplify innovative home design that prioritizes safety and style forany age or ability."
Certified Aging-in-Place Specialists are remodelers, general contrac-tors, designers, architects, health care professionals and others whohave been taught the strategies and techniques for designing andbuilding aesthetically pleasing, barrier-free living environments tohelp home owners live in their homes safely, independently andcomfortably, regardless of age or ability level.
NAHB Announces Best of IBStm
Product Winners at
2020 International Builders' ShowThe National Association of Home Builders (NAHB) named the winningproducts in its eighth annual Best of IBS™ Awards during the NAHB In-ternational Builders' Show® (IBS) in Las Vegas. The awards were pre-sented during a ceremony on the final day of the show.
This year's Best of IBS Awards received more than 350 entries. De-cided by a panel of 28 independent judges made up of attending re-porters and building professionals, the awards were given in ninecategories, plus an overall Best in Show award.
Awards were given to exhibitors with a product or line that showsthe best combination of design, functionality and innovation, as wellas its usefulness to consumers and/or home builders.
THE WINNERS ARE:
Best in Show Winner:Enginuity Micro-CHP by Enginuity Power Systems
Best Energy Efficient Product:Enginuity Micro-CHP by Enginuity Power Systems
Best Green Building Product:AeroBarrier by AeroBarrier
Best Home Technology Product:Enginuity Micro-CHP by Enginuity Power Systems
Best Indoor Product:Marvin Skycove by Marvin
Best Kitchen & Bath Product:MASST by Atlas Granite, Inc.
Best Outdoor Product:The Outdoor Living Experience by Somfy, StruXure Outdoor andPhantom Screens
Best Window & Door Product:Marvin Skylight by Marvin
Most Innovative Building Material:2810HR Joist Reinforcer by Metwood Building Solutions
Most Innovative Construction Tool:BILT 3D Intelligent Instructions by BILT Incorporated
"The 2020 IBS exhibitors really brought their A-game this year," saidFred Tobin, NAHB Conventions and Meetings Committee Chair. "Weare thrilled to recognize the winners of this year's Best of IBS Awards--they really stood out as the most impressive products at the show."
Awards were given to exhibitors with a product or line that showsthe best combination of design, functionality and innovation, as wellas its usefulness to consumers and/or home builders.
For more information on the Best of IBS Awards, visithttp://buildersshow.com/bestofibs.
NAHB Announces Builder of the Year and Community
of the Year in Best of 55+ Housing AwardsLAS VEGAS, Jan. 21 - The National Association of Home Builders(NAHB) named Robson Communities Inc. in Sun Lakes, Ariz., theBuilder of the Year and TrilogyR in SummerlinR in Las Vegas theCommunity of the Year, as part of the 2020 Best of 55+ HousingAwards. The annual awards program, held during the InternationalBuilders' Show in Las Vegas, honors excellence and innovation inthe design, development, lifestyle and marketing of housing that
appeals to the mature market.
With communities in Arizona and Texas, Robson Communities iscommitted to building, developing and managing retirementcommunities for long-term sustainability and enjoyment of theirhome buyers. They have focused on developing creative floor-plans that offer flexibility and incorporating technological ad-vances that provides increased structural integrity, improvedmoisture management and also achieves optimum R-value.
"Robson Communities provides beautiful and thoughtfully de-signed homes that offer a variety of opportunities that are im-portant to 55+ home buyers," said Karen Schroeder, chair ofNAHB's 55+ Housing Industry Council and vice president of May-berry Homes in East Lansing, Mich.
Located on the western rim of the Las Vegas Valley, TrilogyR inSummerlinR capitalizes on its location to nearby dining and shop-ping, and natural outdoor surroundings. The community isplanned around a central club designed as an extension of homeowners' homes, with amenities like a culinary studio, second-storysports and media lounge, resort-style pool, fitness center andmovement studio and more.
"TrilogyR in SummerlinR appeals to the growing 55+ populationby offering innovative designs and amenities within and outsidethe home," said Schroeder.
The awards program is sponsored by Aprilaire, BSB Design,Builders Design, Gilbert & Sheppard, KTGY Architecture + Plan-ning, Mary DeWalt Design Group and PCR.
View the complete list of this year's gold and silver winners atwww.nahbclassic.org/fileUpload_details.aspx?contentID=271468.Images of winners and finalists are available upon request.
9
u B&T Glass
u Southwest Flooring Solutions
u Lefevre Masonry
u RD Blankenship Dirt Work
u Stefan Lynch Construction
u American Home Solutions
uHighlander Construction
u Commercial Sign Art
u Scenic Homes
uMorrison Supply
u A&F Electric
Membership Renewals
Membership Cancellation
Statement from NAHB CEO Jerry Howard on Proposed
NEPA ReformsWASHINGTON, Jan. 9 - Jerry Howard, chief executive officer ofthe National Association of Home Builders (NAHB), attendedtoday's White House event announcing proposed regulatory re-forms to the National Environmental Policy Act (NEPA) and issuedthe following statement:
"This proposal to modernize and reform the NEPA review processwill streamline the permitting process and reduce unnecessary
costs and delays for vital infrastructure projects that are neededto support residential land development projects. For the housingindustry, those uncertainties and delays create challenges forcommunities, business and builders, and further exacerbate thecurrent housing affordability crisis. We welcome this latest actionby the administration to remove regulatory barriers that hinderhousing and economic growth."
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Nation's Home Builders Elect Leadership for 2020LAS VEGAS, Jan. 23 - Members of the National Association ofHome Builders (NAHB) elected four senior officers to top lead-ership positions within the federation during the association's In-ternational Builders' Show in Las Vegas.
With more than 700 affiliated state and local home builders as-sociations and more than 140,000 members across the country,NAHB represents the interests of the nation's housing profession-als through advocacy, education and research.
Taking the helm as NAHB's Chairman of the Board this year isDean Mon, a New Jersey-based builder and developer with morethan 30 years of experience in the home building industry. Thefirst Hispanic to be elected chairman of NAHB, Mon is presidentof the D.R. Mon Group, Inc., which specializes in the developmentand construction of green urban living projects throughout NewJersey. Since 1985, the company has created communities in Mor-ris, Hunterdon, Union, Hudson and Monmouth Counties
"Addressing ongoing housing affordability concerns will be thetop issue for America's home builders in 2020," said Mon. "In thiskey election year, we will work with the White House and Con-gress to advance comprehensive housing finance reform and re-duce burdensome regulations to enable more families to achievehomeownership or have access to suitable rental housing. We willalso urge Congress to adopt practical workforce development andimmigration policy that will help our industry fill open jobs andreduce the cost of remodeling and home construction."
Also moving up on the association's leadership ladder duringNAHB's Las Vegas meeting was John "Chuck" Fowke, a Tampa, Fla.-based custom home builder with 40 years of experience in thehome building industry. He was elected as First Vice Chairman ofthe Board. Fowke is founder and president of Homes by John C.Fowke, Inc. His company has built hundreds of luxury homesthroughout the Tampa Bay area.
Jerry Konter, a Savannah, Ga.-based home builder and developerwith more than 40 years of experience in the home building in-dustry, was elected as Second Vice Chairman of the Board. Hiscompany, Konter Quality Homes, is one of the largest homebuilding firms in Savannah and has established 17 communitiesand built more than 2,000 homes and 600 apartments throughoutthe local metro area.
Alicia Huey joined the NAHB leadership ladder with her electionas Third Vice Chairman of the Board. A Birmingham, Ala.-basedcustom home builder with more than 30 years of experience inthe home building industry, Huey founded AGH Homes, Inc. in2000. In addition to building high-end custom homes for buyerson individual lots, AGH Homes has also built in Hoover, Ala., andin several golf course communities in Vestavia, Ala.
2019 NAHB Chairman Greg Ugalde, from Torrington, Conn., re-mains on the leadership ladder as Immediate Past Chairman.Ugalde is president and chief legal officer of T&M Building Co.,Inc., one of the state's largest home builders. Since its foundingin 1962, T&M has built more than 4,000 new homes in over 45Connecticut communities for trade-up and first-time buyers. Heis also the founder and owner of GFU Investments, LLC, abuilder/developer minority-owned business that focuses onurban development and workforce housing.
Rounding out the association's leadership is NAHB Chief Execu-tive Officer Jerry Howard, from Washington, D.C. Howard headsup a professional staff of more than 240 working out of the Na-tional Housing Center in Washington. He has served as the asso-ciation's CEO/EVP since February of 2001. Previously, Howard wasNAHB's chief tax counsel.
Statement from NAHB Chairman Greg Ugalde on
Joint Employer RuleWASHINGTON, Jan. 13 - Greg Ugalde, chairman of the National As-sociation of Home Builders (NAHB) and a home builder and devel-oper from Torrington, Conn., issued the following statement on thefinal joint employer rule issued by the U.S. Department of Labor:
"NAHB commends the Department of Labor for issuing a final
joint employer rule that provides certainty and clarity in deter-mining joint employer status under the Fair Labor Standards Act.The return to a test that focuses on the potential employer's ac-tual exercise of control or supervision will have a substantial pos-itive impact on regulated employers and small businesses,including home builders and specialty trade contractors."
11
EPA Administrator Announces New WOTUS Rule at
International Builders' ShowLas Vegas, Jan. 23 - Environmental Protection Agency (EPA) Ad-ministrator Andrew Wheeler today announced a final, new "wa-ters of the United States" (WOTUS) regulation at the NationalAssociation of Home Builders (NAHB) International Builders' Showin Las Vegas that resolves years of uncertainty over where federaljurisdiction begins and ends.
"After decades of landowners relying on expensive attorneys todetermine what water on their land may or may not fall underfederal regulations, our new Navigable Waters Protection Rulestrikes the proper balance between Washington and the states inmanaging land and water resources while protecting our nation'snavigable waters, and it does so within the authority Congressprovided," said Wheeler.
"NAHB commends EPA Administrator Wheeler for finalizing a newdefinition for the waters of the U.S. rule that will boost housingaffordability by clarifying the limits of federal jurisdiction overcertain 'waterbodies,'" said NAHB Chairman Greg Ugalde. "By ex-cluding most man-made ditches and isolated ponds on privateproperty from federal jurisdiction, the new rule will correct thevast overreach of prior rules, restore common sense to the regu-latory process, reduce project costs and maintain environmentalprotection of our nation's waterways."
The final WOTUS rule addresses many of the serious concernsthat NAHB had over the Obama-era regulation enacted in 2015
by the EPA and U.S. Army Corps of Engineers that included un-precedented expansion of federal jurisdiction that Congress didnot intend or authorize. The 2015 rule regulated man-madeditches, isolated ponds and other temporary features that formin response to rainfall and exhibit few wetlands characteristics -- all of which are a far cry from the "navigable waters" targeted bythe Clean Water Act.
The 2015 WOTUS rule was subject to several legal challenges thathalted its implementation nationwide. For example, in August 2019the U.S. District Court for Georgia issued a decision finding thatthe substance of the 2015 rule violated the Clean Water Act. InSeptember 2019, EPA and the Corps repealed it and reinstated arule that was finalized in 1986. The 1986 rule also suffered fromambiguity and was challenging to implement at development sites.
Today's final rule replaces the 1986 rule and narrows the extentof federal jurisdiction by excluding isolated water bodies,"ephemeral" waters that only form in response to rain, and mostditches. This means that builders and developers should requirefewer Clean Water Act permits. It will also allow many buildersand developers to determine for themselves whether they willneed federal permits for construction activities.
Moreover, the new WOTUS rule respects states' rights and main-tains the strong protections of the Clean Water Act by clarifyingwhich level of government oversees which body of water.
Builder Confidence Begins Year Strong as Single-
Family Growth ContinuesWASHINGTON, Jan. 16 --Builder confi-dence in the market for newly-built single-family homes edged one point lower to 75in January, according to the latest NationalAssociation of Home Builders/Wells FargoHousing Market Index (HMI) releasedtoday. The last two monthly readings markthe highest sentiment levels since July of1999.
"Low interest rates and a healthy labormarket combined with a need for addi-tional inventory is setting the stage for fur-ther home building gains in 2020," saidNAHB Chairman Greg Ugalde, a homebuilder and developer from Torrington,Conn.
"With the Federal Reserve on pause and at-tractive mortgage rates, the steady rise insingle-family construction that began lastspring will continue into 2020," said NAHB
Chief Economist Robert Dietz. "However,builders continue to grapple with a short-age of lots and labor while buyers are frus-trated by a lack of inventory, particularlyamong starter homes."
Derived from a monthly survey that NAHBhas been conducting for 30 years, theNAHB/Wells Fargo Housing Market Indexgauges builder perceptions of current sin-gle-family home sales and sales expecta-tions for the next six months as "good,""fair" or "poor." The survey also asksbuilders to rate traffic of prospective buy-ers as "high to very high," "average" or "lowto very low." Scores for each componentare then used to calculate a seasonally ad-justed index where any number over 50 in-dicates that more builders view conditionsas good than poor.
The HMI index charting traffic of prospec-
tive buyers increased one point to 58, thehighest level since December 2017. Thegauge measuring current sales conditionsfell three points to 81 and the componentmeasuring sales expectations in the nextsix months held steady at 79.
Looking at the three-month moving aver-ages for regional HMI scores, the North-east rose one point to 62, the Midwestincreased three points to 66 and the Westmoved one point higher to 84. The Southremained unchanged at 76.
Editor's Note: The NAHB/Wells FargoHousing Market Index is strictly the prod-uct of NAHB Economics, and is not seenor influenced by any outside party prior tobeing released to the public. HMI tablescan be found at nahb.org/hmi. More infor-mation on housing statistics is also avail-able at www.housingeconomics.com.
14
Our Next
Membership Luncheon Meeting
will be on Tuesday, February 18th
at 11:30 AM at
THE 19TH HOLE at the
DESERT LAKES GOLF COURSE...
GUEST SPEAKER: GB Oliver
C�e jƣn us!
New App Helps Builders Meet Accessibility Requirements
of Fair Housing ActLAS VEGAS, Jan. 23 - The National Associ-ation of Home Builders (NAHB) today un-veiled the Pocket Guide to the FairHousing Act, a free app designed to helphome builders, contractors and designersmeet the accessibility requirements of theact.
"HUD welcomes the efforts of this impor-tant housing industry partner in workingto meet the needs of persons with disabil-ities," said U.S. Department of Housing andUrban Development (HUD) Secretary BenCarson. "This new app represents an excit-ing new tool in our collective effort tohelp ensure that home builders meet theirFair Housing Act obligations."
"Through this free tool, NAHB strives to in-crease Fair Housing Act compliance withinthe housing industry and facilitate greater
access to multifamily housing for personswith disabilities," said NAHB ChairmanGreg Ugalde, a home builder and devel-oper from Torrington, Conn.
The app was partially funded by an educa-tional grant from HUD through the FairHousing Initiatives Program. Staff fromNAHB's legal, codes and technology de-partments made substantial in-kind con-tributions to the project. The app willenable builders and developers to deter-mine if the Fair Housing Act's accessibilityrequirements apply to their housing proj-ect and, if so, provide a quick referenceguide to the seven basic accessibility re-quirements for compliance with the law.
"The more informed a home builder is, theeasier it is for them to create the kind ofhousing they want to build while also com-
plying with the nation's fair housing laws,"said Anna María Farías, HUD's Assistant Sec-retary for Fair Housing and Equal Opportu-nity. "This phenomenal new app is just theresource that can make that possible."
The information contained in this app is in-tended to provide a basic, non-exhaustiveguide to understanding and conformingwith the design and construction require-ments of the Fair Housing Act. It is not asafe harbor for compliance with the FairHousing Act.
The app can be downloaded from the AppStore (for iPhone and iPad) and fromGoogle Play (for Android devices) bysearching "FHA Guide" or "NAHB."
More details can be found atwww.nahb.org/fhaguide.
Statement from NAHB Chairman Dean Mon on
Signing of USMCA Trade DealWASHINGTON, Jan. 29 - Dean Mon, chairman of the National As-sociation of Home Builders (NAHB) and a home builder and devel-oper from Shrewsbury, N.J., issued the following statement afterPresident Trump signed the U.S.-Mexico-Canada Agreement(USMCA):
"NAHB commends President Trump for working tirelessly to make
the USMCA a reality and for signing this landmark trade deal. Tradepolicy affects housing costs and the USMCA represents an impor-tant victory for the American economy, for American workers andfor housing affordability. By adding new jobs, boosting wages forAmerican workers, and including provisions to lower the costs ofmaterials needed to build and repair homes, this trade pact is a pos-itive step forward to ease America's housing affordability challenges.".
Housing Starts Finish 2019 StrongWASHINGTON, Jan. 17 - Total housing starts increased 16.9 per-cent in December to a seasonally adjusted annual rate of 1.61 mil-lion units, according to a report from the U.S. Housing and UrbanDevelopment and Commerce Department. This is a 13-year highfor housing starts.
The December reading of 1.61 million starts is the number of hous-ing units builders would begin if they kept this pace for the next12 months. Within this overall number, single-family starts in-creased 11.2 percent to a 1.06 million seasonally adjusted annualrate. The multifamily sector, which includes apartment buildingsand condos, increased 29.8 percent to a 553,000 pace.
Total housing starts for 2019 were 1.29 million, a 3.2 percent gainover the 1.25 total from 2018. Single-family starts in 2019 totaled
888,200, up 1.4 percent from the previous year. Multifamily startsin 2019 totaled 401,600, up 7.3 percent from the previous year.
"The solid housing production numbers are in line with strongbuilder sentiment, supported by a low supply of existing homes,low mortgage rates and a strong labor market," said NAHB Chair-man Greg Ugalde, a home builder and developer from Torrington,Conn.
"The year ended on a high note with solid gains in single-familyand multifamily production," said Danushka Nanayakkara-Skilling-ton, NAHB's Assistant Vice President of Forecasting and Analysis."And while the December estimates will likely be revised down,the trend moving forward is still positive."
On a regional and year-to-date basis, combined single-family andmultifamily starts in December are 3.0 percent higher in theNortheast and 8.6 percent higher in the South. Starts are down0.8 percent in the Midwest and 4.7 percent in the West.
Overall permits, which are a harbinger of future housing produc-tion, decreased 3.9 percent to a 1.42 million unit annualized ratein December. Single-family permits decreased 0.5 percent to a916,000 rate while multifamily permits also fell 9.6 percent to a500,000 pace.
Looking at regional permit data on a year-to-date basis, permitsare 13.4 percent higher in the Northeast, 0.1 percent higher in theMidwest, 5.1 percent higher in the South and 0.1 percent higher inthe West.
ABOUT NAHB: The National Association of Home Builders is aWashington-based trade association representing more than140,000 members involved in home building, remodeling, multi-family construction, property management, subcontracting, de-sign, housing finance, building product manufacturing and otheraspects of residential and light commercial construction. NAHBis affiliated with 700 state and local home builders associationsaround the country. NAHB's builder members will constructabout 80 percent of the new housing units projected for this year.
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Home Builders Institute and The Home Depot Foundation
Partner to Grant Up to Half of a Million Dollars for Youth
Trades Training Program Effort Boosted by an Additional
$200,000 from National Housing EndowmentLAS VEGAS, Jan. 21- The Home Builders Institute (HBI) today an-nounced The Home Depot Foundation (THDF) will commit up to$500,000 to fund student training in home construction careersin high schools across the country. Additionally, the NationalHousing Endowment (NHE), the philanthropic arm of the NationalAssociation of Home Builders (NAHB), has pledged $200,000 insupport of the effort. This combined $700,000 will provide train-ing to thousands of students for construction trades skills.
The funds will allow HBI and THDF to provide a hands-on curricu-lum for high school students nationwide, along with instructortraining and materials. Upon completion, students will earn a pre-apprenticeship certification endorsed by NAHB and recognizedby the U.S. Department of Labor. The programs will be availableat no additional cost to students and their families.
Industry data shows there are an estimated 311,000 open jobs, likecarpentry, electrical, plumbing and others in residential construc-tion.
"Residential construction growth will continue in 2020 and there-after, supported by low interest rates, solid economic growth and alack of housing inventory," said NAHB Chief Economist Robert Dietz.
"At the same time, the home building industry faces a skilledtrades gap," said Ed Brady, HBI President and CEO. "As a result, op-portunities for well-paid, rewarding careers in residential con-struction are tremendous."
"Education and the construction industry continue to evolve andpresent new challenges and opportunities for the skilled tradesworkforce," said Shannon Gerber, Executive Director of The HomeDepot Foundation. "This year is expected to hold pivotal mo-ments for each sector, and we're excited to help bring fresh trades
opportunities to our youth, as well as be on the forefront of thepositive changes to come."
THDF's $500,000 commitment is part of a $50 million partnershipwith HBI, launched in 2018 to train 20,000 tradespeople over 10years.
The latest announcement was made in Las Vegas at NAHB's 2020International Builders Show. At a news conference, Brady also an-nounced that HBI has received the additional commitment of$200,000 from the National Housing Endowment to support thislatest work by the organization in secondary schools to create ca-reer technical training in the building industry.
THDF and HBI will work with the nearly 650 state and local homebuilders associations (HBAs) to reach out to teachers, parents andstudents. "It will be HBAs and their members who will help us co-ordinate directly with high schools in their communities to putthese new funds to work," Brady said.
"HBAs represent home builders, remodelers and contractors inevery corner of the country and are critically important partnersin the success of this initiative," said Mark Pursell, NHE Presidentand CEO.
Former Florida HBA President Mike Hickman was influential in thePolk County School Board decision to adopt the HBI curriculumits six high school construction academies. "We are reachingnearly 800 students with an effective, industry-vetted program,"Hickman said. "This will serve them well, as they move on tohigher education and enter the workforce."
To apply for program funding, educators should visit:www.hbi.org/SchoolsToSkills.
Member Advantage at a Glance www.nahb.org/savings
Version 8.3.2018
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special discounts on local advertising. Visit www.houzz.com/NAHBmembers
FCA US LLC - A $500 cash allowance for members, employees and household family members. This offer is good toward many new
models in the Chrysler, Dodge, Jeep®, Ram or FIAT® vehicle lineup and is stackable with most current local or national incentives. Visit www.nahb.org/fca to learn more. Lowe’s - Visit www.LowesForPros.com/NAHB or call 877-435-2440 and register to save 2% on your Lowe’s Accounts Receivable (LAR)
or Lowe’s Business Accounts (LBA) purchases and free delivery on purchases over $500. Save an additional 5% every day at the store when you mention the 5% at time of purchase and when using your LAR or LBA. General Motors – General Motors is proud to offer NAHB Members a Private Offer of up to $1,000 on your next Chevrolet, Buick and GMC
vehicle. Visit www.nahb.org/gm to learn more.
UPS Savings Program & YRC Freight - UPS discounts of up to 36% on a broad portfolio of shipping services. Savings of at least 70%
on less-than-truckload shipments 150 lbs. or more with UPS Freight and YRC Freight. Visit www.1800members.com/NAHB or call 1-800-MEMBERS (800-636-2377) for more information. GEICO - Exclusive NAHB discounts for members on auto insurance. Visit www.geico.com/disc/nahb or call 800-368-2734. Mention
NAHB for auto, homeowners, and commercial auto quotes. 2-10 Home Buyers Warranty - Visit www.2-10.com/NAHB or call 855-280-1328 to receive exclusive access to discounts on select
products, including the Builder Backed Service Program and the systems and appliances warranty. TSYS - Payment solutions with average savings of 16% per year. Web/mobile tools, credit card and eCheck processing and more. Free
"Savings Analysis" call 800-613-0148 or visit www.tsysassociation.com/NAHB. Dell - Up to 30% off on all Dell computers. Call 800-757-8442 and Mention NAHB or visit www.dell.com/nahb.
ConstructionJobs.com - NAHB offers a recruitment tool to all NAHB members in their search for new employees. NAHB members enjoy a
20% discount off standard rates. Visit: https://www.nahb.org/en/members/member-discounts/archived-webpages/nahb-career-center.aspx to
connect with top talent and top employers in the construction industry today.
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Demand for Apartments Will Fuel the Multifamily
Sector in 2020LAS VEGAS, Jan. 22 - Apartment production has returned to pre-re-cession levels and vacancies are low, but more new apartment homesare needed, according to experts participating in a press conferencetoday during the National Association of Home Builders (NAHB) In-ternational Builders' Show in Las Vegas.
Young people are eager to move out of their parents' homes, andgrowing families want to move into a larger home or apartment. "Re-search shows that 22 percent of young adults--ages 25 to 34--still livewith their parents, a trend that will continue to create a drag onhousehold formation in 2020-2025," according to NAHB economistDanushka Nanayakkara-Skillington, AVP, Forecasting and Analysis."That group's challenges in looking for an apartment can be attrib-uted to student debt, rising rents or even competition with seniorswho opt to downsize to a smaller home or apartment."
Multifamily housing starts leveled off in 2018 in response to higherbuilding materials costs, the need to pay higher wages to attract andkeep skilled workers, as well as regulatory costs that make up a thirdof total multifamily building costs. Rents rose along with costs, re-sulting in more luxury communities and fewer affordable apartments.
Developers have continued to respond to demand by building moreapartments, predominately in urban areas. In 2017 and 2018, mostrentals were communities with more than 50 units. In 2019, multifam-ily starts were at 116 percent of the national average. While condo-
miniums might seem to be a good response for demand, developershave not significantly ramped up condo production.
In spite of significant problems such as building materials prices, ashortage of skilled labor and local and federal regulatory constraints,rental production is expected to continue at near-present levels, witha 1 percent increase in 2020 and a 4 percent increase in 2021. The ex-pected increase is in part because young people and retirees look toapartment living as a more affordable, low-maintenance option--preferably in walkable neighborhoods with opportunities for enter-tainment, services and social activities that suit their needs.
"Apartment developers and designers are incorporating features intotheir communities like coffee bars, rooftop cafes and bars, bowling,indoor basketball and more," said Sanford Steinberg, founding Prin-cipal of the Steinberg Dicky Collaborative in Houston and Austin,Texas. "The goal is to attract and retain the renters and 'renters-by-choice' who prefer a stimulating lifestyle in a great apartment com-munity that offers all the amenities they are accustomed to in thehome they lived in or strive to obtain."
While increasing numbers of millennials are purchasing single-familyhomes, pushing the homeownership rate back up to 64.8 percent,home prices continue to hinder some millennials who then opt torent. While rental rates are growing more slowly as supply increases,rents are expected to continue to rise in 2020.
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NAHB Identifies Top Features and Design Trends for 2020LAS VEGAS, Jan. 22 - Walk-in master bed-room closets, low-emissivity (low-e) win-dows and laundry rooms are the mostlikely features in typical new homes in2020, based on a survey of single-familyhome builders. Energy-efficient featuressuch as efficient lighting, programmablethermostats and ENERGY STAR applianceswill also be likely, as will open design con-cepts such as great rooms and nine-plus-foot ceilings on the first floor.Energy-efficient or eco-friendly featuresnot likely to be included in new homes,however, are cork flooring in main-level liv-ing areas, geothermal heat pumps andsolar water heating and cooling.
Consumers continue to desire smallerhomes, not only in overall square footage,but also the number of features, such asbedrooms and bathrooms. This four-yeardownward trend has led to the smallest av-erage home size since 2011 at 2,520 squarefeet--only 20 square feet above the aver-age in 2007, the pre-recession peak. Thepercentage of homes incorporating four-plus bedrooms, three-plus full bathroomsand three-plus car garages have alsodropped to levels not seen since 2012.
"This points to an industry trying to meetthe demands of the entry-level homebuyer," said Rose Quint, NAHB assistant vicepresident of survey research. "Builders arestruggling to meet these demands, how-ever, because of factors such as restrictivezoning regulations and lot prices, with theprice of a new lot in 2019 averaging $57,000."
NAHB also examined preferences amongfirst-time buyers and repeat buyers to helpbuilders determine what features are mostlikely to resonate in the market in 2020.When asked which they prefer, the majorityof both first-time buyers and repeat buyerswould rather have a smaller home withhigh-quality products and services than abigger home with fewer amenities. The topfeatures desired by both groups include:
• Laundry rooms• ENERGY STAR windows • Hardwood flooring• Walk-in pantries• Patios• Ceiling fans• Kitchen double sink
These trends are reflected in this year's Best
in American Living Award (BALA) winners aswell. For example, designers are includingflex spaces that add increased functionalityto laundry rooms, hardwood flooring andwood finishes to add warmth and characterboth inside and outside the home, and cre-ating outdoor spaces that seamlessly inte-grate with indoor living.
"Every year, winners of the Best in AmericanLiving Awards (BALA) showcase the best ofwhat the home building industry has tooffer," said Donald J. Ruthroff of the DahlinGroup. "As the chair of the BALA Subcom-mittee and BALA Judging, I am privileged tosee projects from across the nation andthose projects help me identify the designtrends that drive discussions in our offices,with our clients, and at the Builders' Show."
Designers are also working to address at-tainability concerns by developing multi-family and higher-density projects that feelmore like single-family homes to meet con-sumer interest at more affordable pricepoints.
More consumer data are available in NAHB'sWhat Home Buyers Really Want report.
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Best in American Livingtm
Awards Showcase Top
Design Trends for 2020LAS VEGAS, Jan. 23 - Over 150 single-family, multifamily, interiordesign, remodeling and community projects were honored at the2019 Best in American Living[tm] Awards (BALA) ceremony heldduring the National Association of Home Builders (NAHB) Inter-national Builders' Show in Las Vegas. The awards were sponsoredby Monogram Appliances, and the media sponsor was Profes-sional Builder.
Judges awarded eight Best in Region, five Of the Year and oneJudges' Discretionary Award for Innovative Site Design. In addition,one Game Changer award was given as well as one "Wow!" award,a special award given to a project with a jaw-dropping, one-of-a-kind design detail. These projects represent the nation's best inhome and community design, interior design and remodeling.
BALA winners showcase top design trends that home buyers canexpect to see in homes and communities over the next severalyears, among them:
Colorful kitchens. Often found first on the island and then onlower cabinets, many designers are finding ways to punch uptoday's new and remodeled kitchens. Judges saw cool aquas, darkwoods and new, colored textures in many of this year's applicants.It could take the form of a deep blue, on trend with many of 2020color forecasts, or fun wallpaper, or earthy tones.
Crisp colors paired with warm woods. More designers are pairingotherwise "stark" or "cool" palettes with warm wood tones--eitherreal wood or manmade--to create a look that is both dramatic,yet homey; high-end, yet comfy.
Curated design details. In every type of housing, from single- tomultifamily, from remodels to communities, it's clear that buyerswant their next home to feel personalized to their taste. Everydetail matters--from ceiling textures to shelving choices to mul-lion size--and today's educated buyers won't settle for less.
Expansive, large-format windows. Almost considered a standardfeature in single-family custom homes, expansive, oversized win-dows--often with limited vertical interruptions--are on trend inall housing types. Even in denser areas, architects are finding in-teresting ways to incorporate large panel glass that lets in lightbut keeps out nearby neighbors.
High-quality signature entries. In our often car-centric society,residents spend a lot of time coming in through garages, but in2020, expect to see a greater focus on front entries and improvedstreetscapes. A signature entry, especially on a production home,adds a one-of-a-kind appeal for future owners.
Non-traditional storage solutions. Instead of traditional cabinetry,
designers will opt for shelving, both as a storage solution and asa design element. Outside of the kitchen, architects are creatingmore artful interpretations of traditional storage spaces, like winecellars or under-stair displays. Artfully crafted, these storage areaspurposefully blend into the room, instead of another typicalcloset door along a hallway.
Personalized lighting design. No matter the price point, buyerswant a personalized feel to their homes, whether rental or forsale, and lighting is an obvious choice to offer that personalizedfeel. Lighting, like other design details, should not be an after-thought, and just installing what's on hand without added thoughtabout placement won't fly with the 2020 buyer.
Sophisticated in/outdoor connections. With new technologiesand increased availability of glass walls, pocket doors and largewindows, new and remodeled homes alike are benefiting fromseamless indoor/outdoor connections, both visually and physi-cally.
Texture paradise. In 2020, designers are opting for more mixedmetals, mixed materials and mixed textures to add depth to theirdesigns. Wall paper, back on trend, is a great way to add additionaltexture to a space. Instead of full-room papering, designers areusing wallpaper to create statement walls, focal points or largepieces of art.
Thoughtful, well-edited design: Architects are pushing for morecharacter and uniqueness, especially in production homes. Well-edited doesn't necessarily equal simpler, but it does mean thereneeds to be a genuine purpose of place and points of interestthat draw the eye across the façade--without all the fussiness ofpast decades. In plan, architects are making smart spatial decisionsto match a cultural preference towards simplicity in living, espe-cially in the age of constant technological interruptions and con-nections.
Unique wood detailing: The use of wood has been up-trendingfor the past couple of years, but in 2020, expect unique wood de-tails and use of wood to create texture, ambiance, lighting designand more.
What's old is new again: A renewed focus on genuine sense ofplace makes adaptive reuse and historic preservation projects afocus of 2020. By focusing on what came before, designers canbuild on an existing history instead of starting over, and residentswill feel more connected to the place they now call home.
More information about this year's winners and trends can befound at www.bestinamericanliving.com.
