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The official publication of the El Paso Association of Builders
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Editor’s Note: Thefollowing letter was sent toFrancisco Valentin Jr.,State Director USDA RuralDevelopment by DavidBallard, CEO, Partner of
the Huntington Group LLC upon theannoucement of the removal of HorizonCity and San Elizario Texas from USDARD eligibility.
As an association, we face challengesregarding affordable housing everyday.We are re-printing the letter with Mr.Ballard’s permission to help bringawareness to this issue.
Dear Mr. Valentin:
It has just recently been made awareof an announcement by USDA RuralDevelopment (RD) that certain Towns inEl Paso County are tentatively scheduledto be deleted from the list of areaseligible to receive RD loan assistance(Guarantee and Direct). Specifically thelist includes the Town of Horizon City andSan Elizario due to the 2010 Censuspopulation increases. Although theattached spreadsheet identifying theseareas indicates the data is preliminaryand subject to change we have been toldthat the cut-off date to submit remainingRD loans is September 15, 2012 and theeffective date to remove these Townsfrom the eligibility list is October 1, 2012.
It is our opinion, if this action is notreversed, RD will be dealing adevastating blow to the affordablehousing market in El Paso County. Theend result will be an increase in Coloniapopulations and the “rent to own”scenario. This will also significantlyreduced inventory of safe, sanitaryaffordable housing options for thosefamilies most in need.
The Texas Secretary of State websiteidentifies three hundred twenty six (326)Colonia’s currently active in El PasoCounty alone. According to TexasHousing.org “colonias have been definedas impoverished, unincorporated areaswith inadequate infrastructure foundlargely along the U.S. – Mexico border.Many colonias lack adequate water andsewer systems, electricity, street lights,
sidewalks, storm drainage, paved roads,and of course, decent, safe and sanitaryhousing”.
Of the three hundred twenty six (326)active El Paso County colonias, seventyseven (77) are within a five (5) mileradius of the Town of Horizon City. If theradius is increased to eight (8) miles thenumber of colonias doubles for a total ofone hundred and fifty four (154), seeattached map. Geographically all of thecolonias are east and south of the Townof Horizon City. San Elizario shares asimilar demographic. It is important tonote that eighty five (85%) percent of thefamilies living in colonias are U.S.citizens which qualify them to purchasehousing if housing options are availableat an affordable level. The average familyis five (5) to six (6) individuals.
According to HUD.org “The generallyaccepted definition of affordability is for ahousehold to pay no more than thirtypercent (30%) of its annual income onhousing.” Families who pay more thanthirty percent (30%) percent of theirincome for housing are considered costburdened and may have difficultyaffording necessities such as food,clothing, transportation and medicalcare. Texas Housing.org reports as muchas fifty one percent (51%) of poverty levelhouseholds in El Paso pay more thanhalf of their income for housing.
The affordable housing crisis in ElPaso is further exacerbated by a largeincrease in the military population whichhas created a shortage of rental propertyand significant increases in rental rates.Rick Soto, President of the El PasoApartment Association as of August 24,2012 reports occupancy rates at ninetyseven percent (97%) with rates at $1.05to $1.06 per square foot. A standard “onebedroom” apartment of six hundred fifty(650) square feet rents for between sixhundred seventy dollars ($670) and sixhundred eighty three dollars ($683) permonth. A full time wage earner wouldhave to earn at least thirteen dollars andfourteen cents ($13.14) per hour to rentthis one bedroom unit and meet the 30%of annual income criteria.
Utilizing the RD Direct program thissame low income family can purchase a
three (3) bedroom two (bath) home inHorizon City, Texas. This is a brick andsiding home with concrete drive andenclosed garage, refrigerated air, allappliances (washer, dryer, refrigerator,stove, range hood, dishwasher andgarbage disposal), paved street withengineered curb and gutter, public waterand wastewater, gas, electric, cable andminimum six thousand (6000) squarefoot lot. These homes typically includethe standard one (1) year builderwarranty and ten (10) year extendedwarranty. Note the following comparisonusing the RD Direct program versusrenting.
What the above does not include is theability to build equity that homeownershipaffords. Nor does it apply the additionalannual savings from interest and taxdeductions.
In addition to the economic gain thereare social benefits that cannot beignored. In a study completed by RichardGreen and Michelle White entitled“Measuring the Benefits of Homeowning: Effects on Children,” it wasdetermined that homeownership has asignificant effect on children’s success.The decision to stay in school by teenagestudents is higher for those raised byhome-owning parents compared to thosein renter households. Furthermore,daughters of homeowners have a muchlower incidence of teenage pregnancy. Astudy conducted by the New YorkFederal Reserve Bank also found that,though homeownership raiseseducational outcomes for children,neighborhood stability further enhancedthe positive outcome. Speakingspecifically to low income familiesHanushek, Kain, and Rivkin in theirpublished works “The Cost of SwitchingSchools,” concluded that changing
schools negatively impacts children’seducational outcomes particularly forminorities and low income families.
RD, by eliminating Horizon City andSan Elizario from its area of eligibilitypushes the requirement to constructaffordable housing into unincorporatedareas of El Paso County that simply donot and will not in the foreseeable futuresupport the necessary infrastructure toeven begin meeting the need. The cost ofextending infrastructure in these areas isexcessive and more importantlyunnecessary when resources are readilyavailable and currently in place in bothHorizon City and San Elizario. Thisaction will also have a detrimental anddirect effect on employment. Many of thecontractors currently laboring on thesehomes will have to lay off employeescreating an additional burden on analready struggling work force andeconomy.
In short, population must not be theonly deciding factor to justify such actionby RD. It is imperative that a globalapproach be taken and the availabilityand location of existing and basicinfrastructure (water and wastewater)considered. Pushing eligibility lines intooutlying areas that do not support thisbasic infrastructure does not assistfamilies or improve living conditions. Infact, it only serves to penalize thesefamilies and forces us to turn our backson those most in need.
We implore RD to reconsider thedecision to place the Town of Horizonand San Elizario on the ineligible list forthe reasons stated herein and for thesake of the families that will ultimatelysuffer the consequences of this decision.We appreciate your consideration andpray for a reversal of this decision.
Builders utlookyears
E L P A S O
BUILDERSA S S O C I A T I O N O F
B U I L D I N G E L PA S O ’ S F U T U R E S I N C E 194 6www.elpasobuilders.com www.epbuilders.org
2012/8
Cutting RD Loan
Assistance
devastating blow to
affordable housing
in El Paso
DIGITAL EDITION
USDA RD Program 1% Direct Loan 2% Direct Loan 3% Direct LoanNew Home Price / 1100+ SF $ 96,500.00 $ 96,500.00 $ 96,500.00
Annual % Rate 1.00% 2.00% 3.00%
# of Payments / 30 year 360 360 360
Monthly Principal and Interest $ 310.38 $ 356.68 $ 406.85 Taxes / Insurance $ 210.94 $ 210.94 $ 210.94 Total Monthly Payment $ 521.32 $ 567.62 $ 617.79 Annual Income to purchase $ 20,850.00 $ 22,725.00 $ 24,725.00 Required Hourly Wage $ 10.02 $ 10.93 $ 11.89 Payment as % of income 30.00% 30.00% 30.00%
One Bedroom Apartment / 650 SF $ 670.00 $ 670.00 $ 670.00 Total Monthly Home Payment $ 521.32 $ 567.62 $ 617.79 MONTHLY SAVINGS $ 148.68 $ 102.38 $ 52.21 Min. Annual Income to "RENT" $ 27,331.00 $ 27,331.00 $ 27,331.00 Required Hourly Wage $ 13.14 $ 13.14 $ 13.14
W
In short, population must not be the only deciding
factor to justify such action by RD. It is imperative
that a global approach be taken and the availability
and location of existing and basic infrastructure
(water and wastewater) considered.
Back to school is here. High school
football, the sound of bands practicing
early in the morning; and kids making
their way to school. A lot of our work
is in family neighborhoods, so please
pay attention to speed limits,
especially in school zones and help
keep our children safe.
Right around the corner is the
Sunbelt Builder Show in Austin on
September 13-15. Please be aware
that the level of the education sessions is well above average. That being
said register now to be at of these great sessions @
www.sunbeltbuildersshow.com for your free registration. See you there!
Last week the Texas Land Board voted to allow an alternative path for
TX Vet Loans. All new construction homes had to meet the stringent
Energy Star 3.0 guidelines if seeking Texas Vet Financing.
Effective July 26, 2012 any homes sold under the TX Vet program is no
longer required to be Energy Star, but instead must meet a HERS score of
75 or better on the HERS index, the lower the score the more efficient the
home is.
“Trust in the Lord with all your heart and lean not on your own
understanding; in all your ways acknowledge Him and He will make your
path straight.”
-Proverbs 3:5-6
President’s Message |
El Paso Disposal
772-7495
32012/8 Builders Outlook
Frank
Arroyos
President,
El Paso Association
of Builders
First I’d like to start by welcoming
our newest members into the fold and
to remind our supporting members
just how important new members are
to an organization. At the last meeting
we had I presented a quick overview
of who we are as far as generationally.
What I am pointing out is how we are
represented on our board by
generation, those born during a
certain period of time. I broke down
those by following traditional
generational references: Greatest:
1901-1924; Silent: 1925-1944;
Boomer: 1945-1964; X: 1965-1981; Y:
1982-1999. What I was looking for is
for a matrix on the composition of the
board in order to help us understand
who we are and if in fact we still are
relevant. Associations, just like other
organizations from Lions clubs to Bar
Associations all are feeling the
generational changes, and with that
the need to evolve or disappear.
The Texas Association of Builders
has been trying to figure itself out as
well. As we look around the state
membership some worry creeps in.
From a quick look around the meeting
TAB is not sustaining a welcome to
generational growth or diversity. That
is not the case with El Paso and here
are the numbers to prove the case:
Greatest: 1 (E.H. Baeza)
Silent: 3 (Guel, Dyer and Roe)
Boomer: 16
X: 13
Y: none.
These generational groups show
that El Paso has embraced a younger
leadership and is mentoring them for
future roles as Executive Leaders.
The importance is what drove
membership in the 50’s and 60’s
started to wane in the 70’s and 80’s.
Membership was an important step in
getting information, sharing ideas,
communicating politics and
understanding and influencing growth.
It was a man’s world where women
were delegated to serve more as
supporters but never in leadership.
Men met, made the rules, and
everyone played by them. Starting in
the 70’s those meetings started to see
more women and minority
involvement and it grew in the 80’s
and 90’s. The influence of an
association also changed as
technology became a source of
information that was once reserved to
a select few. Things were changing
and the EPAB embraced that change.
It’s no surprise that our board
leadership is nearly equal when it
comes to the Boomer and Gen X’ers.
In the coming years we’ll continue to
see more Gen X’ers and our first Gen
Y leadership coming into the fold. Our
membership now has a number of
Gen Y’ers and diversity clearly shows
continuation. Our executive is led by
three Gen X’ers (Frank Arroyos,
Edmundo Dena, and Greg Bowling),
while we have three Boomers as well
(Sam Shallenberger, Frank Torres and
me).
How we communicate to the
membership, what we communicate
to the membership, and when we
communicate are all evolving. We still
use regular mail to send billing but
that’s changing. We have a fax
machine because some of our
members don’t use email. And we still
call, although texting is far more
unobtrusive. What you should take
away from my message is this: as a
business are you reaching, growing
and communicating with your staffs
and customers? Are you in a position
of growth or are you becoming
irrelevant. It may be time to evaluate
your business and implement change
before its too late.
Perspective |
Ray Adauto,
Executive
Vice President
EPAB
4 Builders Outlook 2012/8
Talking ‘bout my generation - and a few others too
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52012/8 Builders Outlook
Strengthening house prices inmetros across the country contributedto slightly lower housing affordability inthe second quarter, according to theNational Association of HomeBuilders/Wells Fargo HousingOpportunity Index (HOI), releasedtoday.
The latest HOI data reveal that 73.8percent of all new and existing homessold in the second quarter wereaffordable to families earning thenational median income of $65,000.This is down from a record high 77.5percent of homes that were affordableto median-income earners as of thefirst quarter, and is largely attributableto rising prices in metros across thecountry. A full 92 percent of metroscovered in the latest HOI saw theirmedian home prices rise between thefirst and second quarter.
“While interest rates and overallhousing affordability remain veryfavorable on a historic basis, the
decline in the latest HOI is a positivedevelopment because it is anothersignal that the housing recovery isstarting to take root, and it lendsneeded confidence to prospectivebuyers and sellers who have beenreluctant to move forward in thecurrent marketplace,” said NAHBChairman Barry Rutenberg, a homebuilder from Gainesville, Fla.
The most affordable major housingmarket in this year’s second quarterwas Youngstown-Warren-Boardman,Ohio-Pa., where 93.4 percent ofhomes sold during the period wereaffordable to households earning thearea’s median family income of$55,700.
Also ranking among the mostaffordable major housing markets inrespective order were Dayton, Ohio;Buffalo-Niagara Falls, N.Y.;Indianapolis-Carmel, Ind.; andModesto, Calif.
Among smaller housing markets,Fairbanks, Alaska topped theaffordability chart with 98.7 percent ofhomes sold during the second quarterbeing affordable to families earning thearea’s median income of $92,900.Other smaller housing markets at thetop of the index include Mansfield andSpringfield, Ohio; Carson City, Nev.;and Kokomo, Ind.
Meanwhile, New York- White Plains-Wayne, N.Y.-N.J. retained the title ofthe least affordable major housingmarket in the country for a 17thconsecutive quarter, with just 29.4
percent of homes sold there beingaffordable to families earning thearea’s median income of $68,300 as ofthe second quarter.
Other major metros at the bottom ofthe affordability chart included SanFrancisco-San Mateo-Redwood City,Calif.; Bridgeport-Stamford-Norwalk,Conn.; Santa Ana-Anaheim-Irvine,Calif.; and Los Angeles-Long Beach-Glendale, Calif.; in that order.
Ocean City, N.J., retained its title asthe least affordable smaller housingmarket in the second quarter, with just43.8 percent of homes sold in thesecond quarter affordable to familiesearning the median income of$71,100. Other small metros at thebottom of the list included San LuisObispo-Paso Robles, Calif.; SantaCruz-Watsonville, Calif.; Dover, Del.;and Santa Barbara-Santa Maria-Goleta, Calif., respectively.
Sales of newly built, single-familyhomes rose 3.6 percent to aseasonally adjusted annual rate of372,000 units in July from an upwardlyrevised pace in the previous month,according to figures released by HUDand the U.S. Census Bureau today.
“Sales of new homes in Julyreturned to the same solid pace theyset in May, which was the fastest salesrate we’d seen in more than two
years,” said Barry Rutenberg,chairman of the National Associationof Home Builders (NAHB) and a homebuilder from Gainesville, Fla. “This isfurther evidence that consumers arebecoming more confident in localhousing markets as they look to takeadvantage of today’s very favorableprices and interest rates.”
Noting that the three-month movingaverage of new-home sales has beenedging up consistently since lastSeptember, NAHB Chief EconomistDavid Crowe said, “Today’s goodreport is the latest indicator of agradual, upward trend that we expectto continue through the remainder ofthis year.” However, he added that“The fact that the inventory of newhomes for sale reached an all-time lowin July is a worrisome signal thatongoing, unnecessarily tight creditconditions are keeping builders frombeing able to replenish supplies asconsumer demand improves.”
Regionally, the Northeast posted thebiggest gain in new-home sales with a76.5 percent increase in July from anabnormal low in the previous month.The Midwest posted a 7.7 percent gainwhile the South and West registeredmarginal declines of 1.6 percent and0.9 percent, respectively.
After trending downward for the pastsix years, the inventory of new homesfor sale hit a record low of 142,000units in July. This is a 4.6-monthsupply at the current sales pace.
Rising Home PricesPush AffordabilityLower In SecondQuarter
New-Home SalesRise 3.6 Percent
6 Builders Outlook 2012/8
GOP Platform Drafting Committee ShowsSupport for the MID and Middle-ClassTaxpayers
The National Association of Home Builders (NAHB) today applauded the GOPPlatform Drafting Committee for recognizing the importance of the mortgageinterest deduction within its proposed platform.
“We are very pleased that the committee has recognized the crucial importanceof the mortgage interest deduction,” said NAHB Chief Executive Officer JerryHoward. “At a time when so many are struggling to recover from the recession, thisaction helps cement much-needed political support for a tax break that primarilybenefits middle-income families.”
Including the mortgage interest deduction in the draft GOP platform also makessense because of the broad support that the incentive enjoys among voters acrossthe country, added Howard. An NAHB-commissioned poll this January found that77 percent of Republicans, 71 percent of Independents and 71 percent ofDemocrats oppose eliminating this important tax break.
“Middle-class voters have seen their household wealth decline throughout therecession, and to a large extent they are the ones who will decide the outcome ofthis election,” noted Howard. “They are also the prime beneficiaries of themortgage interest deduction. With this in mind, it seems obvious that maintainingthis cornerstone of American housing policy should be among lawmakers’ primarygoals.”
Associates Council to host Tent Event at EPAB
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72012/8 Builders Outlook
The association has established a
great Speed Networking event over the
last three years and many of our
Associates and Builder members relish
the ability to participate. Two years
ago Sam Shallenberger and Ray
Adauto put in motion a new concept,
one that would be larger, better, and
more fun than a regular Speed
Networking event. September 29 the
Association proudly presents “Tent
Sale, Show ‘N Shine” the first annual
tent show with cars, exhibitors, food,
and fun. Thanks in large part to David
Bingham at The Heritage Group,
owners of the Compass Bank Building
who is lending us the parking lot this
event will kick off the Fall season for
many of our members. Already there is
large excitement from those who are
working on the event. Chuck Gabriel,
Chair of the event and President of
Carpets West said “when Ray and Sam
brought this to our committee it went
from a little tent outside the association
building to a full blown party, a
Pachanga,”. Indeed the committee
rose to the occasion by laying out the
ground work for what could be a much
anticipated yearly event.
John Dorney who owns Dorney
Security and is a new member recalls
that everyone at the table got this wild
look in their eyes. “You could tell that
we were not going to do just a little
tent, or a little inside event, no sir,
these guys were looking at doing
something bigger,” he said. Ideas
flowed and the date set, a one day
show with some cool things for all
ages. “I have to keep reminding myself
and the committee that we’re doing this
to drum up some sales and leads for
our members,” Sam reminds the
Outlook. Two bands have signed up to
entertain along with a rapper and food
vendors are being invited. Our media
partner, Comp Corp. who owns KTSM
and KDBC TV has signed on as a
media sponsor. Member auto
dealerships are ready to come out. Rio
Grande Wheels Car Club, Phantom
Corvette Club, MOPAR Club, and Early
Times Car Club have all agreed to
bring their jewels to show ‘n shine.
Should be a blast. We hope you make
plans to attend. Free to the public.
Tent Sale,
Show ‘N Shine
September 29
9:00am-4:00Pm
Compass Bank Parking Lot
across from Bassett Center
Builders utlook on the scene |
The bi-annual bowling event was
held at the Fiesta Lanes on the
westside August 22. Ninety six
bowlers took part in the fun gather-
ing. The bowling event started at
noon and went on through the after-
noon as teams knocked down pins
and enjoyed refreshments.
Sponsors for this event were
Western Wholesale Supply, HUNT,
WestStar Bank, Cisco Homes and
Lawyers Title. Kathy Parry from
HUNT was able to secure some
nylon backpacks along with a clip
on pen as a giveaway for each
bowler. Prizes were handed out
during the afternoon and included
giveaways from Western
Wholesale, Ferguson, El Paso
Building Materials, WestStar Bank
and Spectrum Imaging.
Additionally Ray handed out Texas
Lotto scratch off tickets with the
hope that someone would hit a jack-
pot.
“I’d like to thank everyone who
came out to this fun event and to
those who allowed their employees
or customers to enjoy this,” said
Sam Shallenberger, Associates
Chairman. “Doing something like
this really brings our members
together for some fun, food, and
drink, but mostly they get a great
opportunity to network,” he contin-
ued. Dorney Security, one of our
newest members, was just as
thrilled to be bowling. “I have to
admit we didn’t know what to expect
but we had a really good time and
got a chance to meet some great
members,” John Dorney said. One
member, Don Rassette of Rassette
Homes brought his family out. “We
bowl in a league here at Fiesta
Lanes, and we thought it would be
fun to bring the grandkids out along
with us. This is a nice family event
and we’re looking forward to the
next one,” Don continued.
The pictures certainly tell the story
of event, with winners showing off
their prizes, and others showing off
their skills. We anticipate our next
event sometime in the winter or
early 2013.
Bowling fun at
Fiesta Lanes
Housing Starts
Edge Down 1.1
Percent, Permits
Rise In July
Nationwide housing production
edged down 1.1 percent to a
seasonally adjusted annual rate of
746,000 units in July, according to
newly released figures from HUD
and the U.S. Census Bureau.
However, builders pulled more
permits for planned new-home
projects than they have in any
month since August of 2008.
“While many builders believe that
the outlook for housing is
considerably brighter than it has
been in years, we are being very
careful about keeping inventories
tight and not building ahead of
demand,” noted Barry Rutenberg,
chairman of the National
Association of Home Builders
(NAHB) and a home builder from
Gainesville, Fla. “At the same time,
builders are drawing more permits
for new construction so we can
accommodate buyers and renters
as they return to the marketplace.”
“Our latest surveys confirm
builders’ increased confidence
about future home buyer demand,
and that’s reflected in today’s permit
numbers,” agreed NAHB Chief
Economist David Crowe.
“Increasingly, housing is re-
emerging as a traditional and much-
needed source of strength in local
economies as builders are able to
put more of their crews back to
work. But two things that are slowing
this process considerably are the
challenges that builders continue to
face in accessing credit for viable
new projects and the difficulty of
obtaining accurate appraisals on
new homes.”
After four consecutive months of
gains, single-family housing starts
fell back 6.5 percent to a seasonally
adjusted annual rate of 502,000
units in July. Meanwhile, multifamily
starts posted a 12.4 percent gain to
244,000 units, their strongest pace
since February.
On a regional basis, combined
single- and multifamily starts
declined 1.3 percent in the
Northeast, 3.5 percent in the South
and 5.3 percent in the West, but
rose 17 percent in the Midwest in
July.
Issuance of new building permits,
which can be an indicator of future
building activity, rose 6.8 percent to
a seasonally adjusted annual rate of
812,000 units in July – the fastest
pace in nearly four years. Single-
family permits rose 4.5 percent to
513,000 units (their best pace since
March of 2010) while multifamily
permits rose 11.2 percent to
299,000 units.
Permit issuance rose in three out
of four regions in July, with the
Northeast registering a 12.2 percent
gain, the South a 5.8 percent gain
and the West a 14.0 percent gain.
The Midwest posted a 4.2 percent
decline.
10 Builders Outlook 2012/8
112012/8 Builders Outlook
If you don’t know by now, it may
come as a shock that our nation’s
defense is set to see across the board
spending cuts, or sequester, of 10
percent in January 2013. What might
this mean for the millions of soldiers
and their families, our nation’s security,
and the local economies and
businesses that depend on the
defense sector? So far, the
projections have indicated that it would
mean large job losses, decreased
national security and a hit to our
struggling economy. Our own Defense
Secretary, Leon Panetta, has said that
such a cut to our nation’s defense
spending ‘will do real damage to our
security, our troops and their families,
and our military’s ability to protect the
nation.’
A recent report, Defense Spending
Cuts: The Impact on Economic Growth
and Jobs, studied the combined
impact of budget caps implemented
under the Budget Control Act of 2011
and the law’s across the board cuts
under sequestration. What the report
concluded was bleak: a loss in 2014
of 1,010,000 private sector jobs,
including 130,000 manufacturing jobs,
a 1 percent decrease in GDP by 2014,
and an increase in the unemployment
rate by 0.7 percent. In the report,
Texas came in third, behind only
California and Virginia, with the largest
amount of projected job losses:
109,000. The 10 percent cuts will also
mean a weaker military: predictions
state we would have the smallest
ground force since 1940, a fleet of
fewer than 230 ships - the smallest
level since 1915 - and the smallest
tactical fighter force in the history of
the Air Force.
Simply put, these types of losses are
unacceptable. While I am a fiscal
conservative and came to Washington
to balance the budget, these types of
across the board cuts are irresponsible
and will damage an already struggling
national economy while weakening our
military’s ability to protect our country.
For my constituents who live in and
around the Del Rio, El Paso and San
Antonio areas, many will face the
consequences of these cuts in their
daily lives, particularly if they work
directly for or with the military bases.
Earlier this year, the House of
Representatives passed legislation to
replace the arbitrary, across the board
cuts with targeted spending reductions
and other common sense reforms that
still achieve the necessary savings,
but without putting national priorities –
like our nation’s defense – at risk. The
problem remains, however, because
neither the President nor Senate
Majority Leader Harry Reid have
joined with the House of
Representatives in trying to replace
the sequester and prevent its
damaging effects.
Another challenge confronting us at
the moment is the lack of clarity from
the current administration as to where
exactly the cuts will come from, should
the sequester take place without
further action. In an attempt to find
clarity for those who will be most
affected, the House passed the
Sequestration Transparency Act of
2012 to pressure the current
administration to specify how the cuts
would be implemented. While it is not
a bill to stop sequestration, it is an
important piece of legislation that
seeks to provide some clarity for the
thousands of businesses and military
personnel who will be affected if
sequestration takes place in January.
An arbitrary sequester is not the way
to balance our budget, particularly if it
means such a damaging loss of jobs
and a severely weakened military. The
House developed a plan to make
strategic cuts that preserve our
national security; it is now up to the
Senate to reach across the aisle and
ensure we do not do permanent
damage to our economy and our
armed forces.
Give your customers the ‘option of the sun’
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are planning for the
future.
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Fighting Across the Board Cuts to our Military
Guest Column
Francisco CansecoTexas Congressman
12 Builders Outlook 2012/8
‘Beto’ at EPAB Town Hall
Builders utlook on the scene |
Beto O’Rourke, the Democrat candidate
for the 16th Congressional District stopped
in to meet with the El Paso Association of
Builders on August 23. O’Rourke won a
victory over eight term incumbent Silvestre
Reyes in a hotly contested race. O’Rourke
faces Barbara Carrasco on the Republican
side during the upcoming November
elections. Mr. O’Rourke took question and
presented his thoughts on how the district
will look under his term. Members took
the opportunity to present views on
housing, finance, and the economy. Over
twenty five members attended the session.
Membership News
Thanks to our AUGUST
SODA SPONSOR:PREWIRE
OF EL PASO
SODA SPONSOR
years
E L PA S o
BUILDERSA S S o C I A T I o n o F
B U I L D I N G E L PA S O ’ S F U T U R E S I N C E 194 6
11395 James Watt, Suite A-11 79936915-633-8002
132012/8 Builders Outlook
www.elpasobuilders.com www.epbuilders.org
UPCOMING EVENTS |
RENEWALS |
For the latest updates &event information, visit:
elpasobuilders.com
Jaime’sCourier
Service,Inc.
Jaime’sCourier
Service,Inc.
915-549-4533 or
915-478-2404
Bonded, insured foryour peace of mind.
Accent Homes
Acme Brick Company
Automated Division 6 Builders, Inc.
Barron Supply
Barragan & Associates
BBvA Compass Bank
Beck & Hall, PC
BMC Select
Builders Source
Calwell Electrical Contractors, Inc.
Capital Bank, SSB
Carpets West
City Lights
Cullers & Caldwell
Custom Dream Homes
El Paso Reprographics
Karam Company
Law Offices Of James A. Martinez
Soils Mechanics
Strucsure Home Warranty
September 12-15 TABMeeting and Sunbelt
ShowAustin Texas
September 19Board Meeting
EPAB Office
12:00 Noon
September 29Big Tent Sale
Show & Shine
Compass Bank Parking
Lot
9:00 AM-4:00PM
October 10Board Meeting 11:00
General Meeting
12:00
El Paso Club
Chase Bank Bldg.
(Downtown)
CONDOLENCESTo Art Garcia on the loss of
his mother Ofelia
Hola! Where has this year gone? It seemslike yesterday we were installing FrankArroyos as our new president and now weare five months from Frank being our Pastand Edmundo Dena being our newPresident. It makes me think of the old adage“The older you get the faster time goes by”.Enough of the talk about being old. You areonly as old as you act so we still have abunch of youngsters in our Association!
I just want to keep everyone in the loopabout our up and coming events. We havethe Wheels and Deals “Pachanga” (party)coming up September 29th at the CompassBank parking lot in front of the AssociationOffice. We have several car clubs that will be
showing their vehicles. There will be a stagewith live bands performing and hopefullyGourmet Food Trucks with great food. Lastbut not least we will have a tent trade showwith thirty two 8’x10’ booths available for$250.00 for rent. We anticipate a largeturnout due to the advertising and freewaylocation we have. For more informationplease contact Ray Adauto.
On November 12th the Association will besponsoring a Pro Am Sun Countrytournament at Painted Dunes Desert GolfCourse. The event promises to be a greatouting with pro golfers from all over NewMexico and West Texas, those guys and galsthat you see at the country club or municipal
golf course. This is competitive golf withinterest from several of our members. Theentry fee is $500.00 per three man team withthe pro that makes four. You must have aUSGA established handicap to play in thisevent, and we are limited to 24 teams. Moreon this in the coming months.
We had the Bowling outing on August 22and Ray informed me that we had ninety sixbowlers. As I looked around everyone washaving a blast. I want to thank Ray andMargaret for an outstanding job.
Thank you for your support and I lookforward to seeing you all at the next Generalmeeting.
An American Herojoins the stardust
Neil Alden Armstrong (August 5, 1930 – August 25, 2012)
American astronaut and first man to walkon the surface of the moon died on August 25from complications of cardiac surgery torepair blocked arteries. He was an unusualhero in that he shunned the spotlight ofperhaps the greatest accomplishment ofmankind and preferred to return to a simplelife of teaching. Armstrong was a pilot first,engineer second and dedicated father andgrandfather. His strong sense of getting thejob done proved lifesaving on numerousoccasions as he flew missions over Koreaand piloted experimental aircraft. His moveinto the astronaut corps was a naturalextension of his need to ensure thatAmerican aviation was the best in the world.As an astronaut Armstrong was among thoseelite military aviators who embraced the
challenge of space flight and of making surethat American technology would be second tonone.
With the looks of a Norman Rockwell boyNeil Armstrong seemed the least likely of theastronauts to make it to the moon first. Not apart of the original Mercury Seven Armstrongwas flying the X15 and X20 Dyna-Soar untilthe call came to be a part of the Next Nine,those next generation astronauts who wouldpilot Gemini and Apollo. He was almost lostin space during a harrowing uncontrolledtumble during Gemini 8 as he rode with DavidScott. Spinning at about one turn a secondafter undocking from the booster. Thisdangerous spin was finally controlled by theactions of Commander Armstrong. Had henot been able to the craft, and the twoastronauts would have been America’s firstfatalities in space.
In 1968, already assigned to the Apolloprogram, Armstrong was testing BellIndustries simulator Lunar Lander Vehicle.This vehicle was a tethered simulator thatmimicked the controls for decent onto the
lunar surface. A serious malfunction occurredduring one test and Armstrong was nearlykilled. Armstrong called the LM test one of themost important for the team as it providedexperience on landing on the moon.
As commander of Apollo 11 the chance tobe first on the moon was cemented, so longas the mission didn’t encounter problems.NASA and the world were stunned earlier inthe program as fire took the lives of threeastronauts strapped into Apollo 1. Delaysand rotations of crews place Armstrong, BuzzAldrin, and Michael Collins on the flight toland. Others had been to the moon andcircled it or orbited the earth in preparation forlunar landing but Apollo 11 was the onemission with the opportunity. After a routineflight and undocking, Armstrong and Aldrinleft Collins in the command module andascended to the lunar surface. Landing wasannounced with “Houston, Tranquility Basehere. The Eagle has landed.” Not until afterthe mission was complete did we learn thatArmstrong had manually piloted the LEMover boulders with only 20 seconds of fuel
left. “One small step for man, one giant leap for
mankind,” came the words from Armstrong ashe slid down the ladder onto the surface. Manhad indeed leaped from first flight to themoon. With Armstrong, Aldrin and CollinsAmerica was on top of the space race. Uponretiring from NASA Neil Armstrong shunnedthe spotlight, something that could havemade him super rich. Instead he taughtaeronautical engineering and staying out ofpolitics and the limelight.
The least likely and most reluctant allAmerican boy was mourned by the world. Hewill always live within the hearts of those whobore witness to his most publicaccomplishments. Neil Armstrong saw thestars and explored; now he joins those samestars as the cosmic dust of eternity. Thereare heroes and there are heroes. God BlessNeil Armstrong and thank you for yourdreams.
-Ray Adauto
Showroom: 2131 Missouri
915 • 533 • 6045 fax • 533• 6096
Thomas R. Brown, Owner
14 Builders Outlook 2012/8
Sam ShallenbergerWestern Wholesale Supply
Associates Council
� execuTive oFFicerS
Frank Arroyos - President
Cisco Homes
edmundo Dena - vice President
Accent Homes
Frank Torres - Secretary/Treasurer
GMF Custom Homes
Sam Shallenberger - Associates council
Western Wholesale Supply
Greg Bowling - immediate Past President
Tropicana Homes
ray Adauto - executive vice President
El Paso Association of Builders
� couNciL/commiTTee cHAirS
Affordable Builders council
Bobby Bowling IV
Associates council
Sam Shallenberger
Build PAc
Randy Bowling
Desert Green Building council
Javier Ruiz
industry Promotions
Greg Bowling
Land use council
Vacant
Young Designer Award
John Chaney
remodelers council
Rudy Guel
membership Drive
Mike Santamaria
Finance committee
Kathy Carrillo
education committee
Frank Spencer
� ADviSorY To THe BoArD
J. Crawford Kerr, Attorney, Firth, Johnston
& Martinez
� BoArD oF DirecTorS
Joe Bernal, Joe Bernal Insurance
Doug Borrett, Karam Co.
Kathy Carrillo, Pioneer Bank
John Chaney, Passage Supply
Sergio Cuartas, BIC Homes
Ted Escobedo,Snappy Publishing
Art Garcia, El Paso Door
Juanita Garcia, ICON Custom Home Builders,LLC
Samira Gonzalez, Edwards Homes
Lorraine Huit, Cardel Design Group
Walter Lujan, Dawco Home Builders
Sal Masoud, Del Rio Engineering
Bruce Meyer, JDW Insurance
Edgar Montiel, Palo Verde Homes
Kathy Parry, Hunt Communities
Javier Ruiz, Senercon & Border Solar
Frank Spencer, Aztec Contractors
Henry Tinajero, WestStar Bank
Linda Troncoso, TRE & Associates
Ken Wade, El Paso Building Materials
Paul Zacour, Zacour & Associates
2011 Builder member of The Year
Greg Bowling
Tropicana Homes
20110 Pat cox Award
Kathy Parry
Hunt Communities
2011 Associate of The Year
Sam Shallenberger
Western Wholesale Supply
John Schatzman Award
Bob Bowling III
Tropicana Homes
ePAB Special Award
Rudy Guel
Guel Construction
Honorary Life members
Brad Roe
Cliff Anthes
Wayne Grinnell
Chester Lovelady
Don Henderson
Anna Gil
Past Presidents
committed to Serve
ePAB mission Statement:
The El Paso Association of Builders is a
federated professional organization representing
the home building industry, committed to
enhancing the quality of life in our community by
providing affordable homes of excellence and
value.
The El Paso Association of Builders is a
501C(6) trade organization.
© 2012 Builder’s Outlook
is published and distributed for the
El Paso Association of Builders
by Snappy Publishing
240 Thunderbird • Suite C
El Paso • Texas • 79912 915-820-2800
6046 Surety Dr. El Paso, TX 79905
915-778-5387 • Fax: 915-772-3038
Kelly Sorenson
Mark Dyer
Mike Santamaria
John Cullers
Randy Bowling
Doug Schwartz
Robert Baeza
Bobby Bowling, IV
Rudy Guel
Anna Gil
Bradley Roe
Bob Bowling, III
E. H. Baeza
Hershel Stringfield
� TAB STATe DirecTorS
Doug Borrett, Karam Co., Life Director
Randy Bowling, Tropicana Homes
� NATioNAL DirecTorS
Bobby Bowling IV.
Demetrio Jimenez
NATioNAL ASSociATioN oF
Home BuiLDerS
(800) 368-5242
TexAS ASSociATioN oF
BuiLDerS
(800)252-3625
years
E L P A S O
BUILDERSA S S O C I A T I O N O F
B U I L D I N G E L PA S O ’ S F U T U R E S I N C E 194 6
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Builders utlook