Construction TimesThe

A publication of Northland Area Builders Association September 2011

NEW NABA Partnership - Home Builder PurchasingProgram

These days every business is looking for ways to trim budgets and save money.To help with this, NABA has partnered with the National Purchasing Partners -Home Builders Purchasing Program. This partnership will allow even oursmallest NABA member companies to take advantage of special discounts just

for the construction industry from Verizon Wireless, Staples, and more. To find out more about the program andhow to start taking advantage of the savings, please contact the NABA office for your registration information.There is no cost to join for NABA members.Vendors in the Home Builder Purchasing Program include Staples Business Advantage - office products plus anarray of value-added services; Verizon Wireless - cell phones and service.  Please note the Verizon eligibilityrequirements: your firm must be a construction company, home building company, remodeling company or othertrade craftsman (e.g. a subcontractor such as an electrician or plumber whose primary trade is within theconstruction industry); Airgas, Inc. - safety supplies, abatement, welding, industrial, medical and specialty mixedgases; Sherwin-Williams - paints, stains, wall covering, brushes, rollers and other related tools. Take a peak atjust a few of the discounts waiting for you inside.Maximize your savings even more - be sure to take advantage of the NAHB Member Advantage savingsavailable to all NABA members. Member Advantage gives members an easy way to reduce expenses,maximize profits and increase efficiency. Through agreements with leading national companies, NAHB offersexclusive discounts on a variety of products and services that can benefit your business, employees and family.In the past 3 years, members have saved over $21,000,000 through Member Advantage. For the mostup-to-date information about which companies are offering discounts as well as detailed information on how toaccess the savings, please visit www.nahb.org/ma.

Be a TABLE TOP SponsorPut your company in the spotlight at a NetworkingNight by featuring your products and servicesstarting with the October meeting. Contact theNABA office for available dates.

In exchange for a door prize (minimum $25 value),your company will

� Get 5-7 minutes at the podium to talk aboutproducts/services

� Have the opportunity to provide greeters at theNetworking Night

� Be mentioned in the monthly newsletter� Have your name & logo on the Networking

Night flyer� Have a table display

NABA SCHOLARSHIP RAFFLEIt is no secret that in today’s tough economic times thereare fewer NABA members. With fewer members thereare less funds raised for the NABA Scholarship Fund andless funds to operate NABA. The NABA Board ofDirectors in an effort to supplement the NABA ScholarshipFund and NABA operations without raising dues and topromote its builder and associate members is askingmembers to sell raffle tickets for the upcoming John

Deere Riding Lawn TractorGiveaway. Information will besent to you with everything youneed to know about the raffle.We need YOU to make thisventure a success. We areasking each and every memberto sell or purchase 6 tickets.

NABA Board of Directors

President:Russ Smith, Russ Smith Construction715-462-4170

President Elect:Ed Peterson, Peterson Construction715-866-7127

Treasurer:Rick Harder, Northern Paradise Homes715-635-2299

Secretary:Joe Gendrich, Culligan of Ashland715-682-6585

Directors:Open seat

Todd Knutson, Johnson Bank715-634-2611

Kelly Licht, Culligan of Rice Lake715-234-8819

Jason Olsen, Peoples Bank715-634-2674

LaNell McGuire, Floor to Ceiling715-634-4573

WBA State DirectorsJack Sjostrom, Sjostrom Construction715-634-4427

Charlie Johansen, Johansen Electric715-634-3761

Open seatOpen seat

NAHB National DirectorsJack Sjostrom, Sjostrom Construction715-634-4427

Open Alternate Seat

NABA StaffJennifer Johnson, Executive Officer

29148 Mail Road • Danbury, WI 54830

Phone: 715-259-3486 • Fax: 888-825-8073

Email: naba@centurytel.net

www.northlandareabuilders.com

Code of Ethics

Members of the Builders Association subscribe to the followingCode of Ethics:

n Subscribe to the By-laws of the State and NationalAssociations.

n Meet or exceed all State required insurance regulations.n Maintain a good credit rating in high standards.n Respond to consumer complaints, and act on these

complaints in a timely manner.n Continue to improve their skills and knowledge through

educational resources made available at a local, state andnational level.

n Employ other association members to assure the highstandards set by its members are maintained.

n Conduct themselves in a professional manner to maintainthe standards of the association.

n Comply, both in spirit and letter, with rules and regulationsprescribed by law and government agencies for healthsafety, and progress of the community

n Have a commitment to excellence.

MissionThe NABA, chartered in 1989, is a non-profit trade organizationcomprised of building and construction industry professionals inAshland, Bayfield, Burnett, Sawyer and Washburn Counties inNorthwestern Wisconsin. Promoting professional growth to itsmembers, the Association provides the resources to stay abreast ofour ever changing industry. Every member of the NABA is also amember of the Wisconsin Builders Association (WBA) and theNational Association of Home Builders (NAHB).

To maintain the highest professional standards, our membershipadheres to a Code of Ethics, monitors legislative issues, andpromotes affordable quality housing.

Need Help?Northland Area Builders Association 715-259-3486

www.northlandareabuilders.comNational Association of Home Builders 800-368-5242

www.nahb.orgWisconsin Builders Association 608-242-5151

www.wisbuild.orgWisconsin Department of Commerce 608-266-3151

www.commerce.state.wi.us/SB/

Become a fan of Northland Area Builders Association to receive industry news,updates and network with others in the industry.

Looking Ahead...from the NABA President Russ Smith

The next time you come to a NABA event, look around at your fellow members. I guarantee that more

than half of the people you see will be associate members. These are people who are essential to the

home building process and help enable our industry to provide Americans with an unrivaled selection

of quality homes. Among the ranks of associate members are subcontractors, sales and marketing

specialists, architects, interior designers, title and settlement experts, lawyers, people in the financial

services industry, product suppliers and manufacturers, and many more who are essential to the

challenging task of providing housing for a growing population. Associate members are also essential

to NABA and to the NAHB federation, offering sponsorships, devoting countless hours at committee

meetings and volunteering at special events, and strengthening our industry in the process. Most

importantly, our associate members help broaden our perspective so that we can assess issues more

objectively in the context of our entire industry. In recognition of the thousands of associates who

volunteer their time and services to NAHB and its state and local affiliates, NAHB has designated

September as Associate Member Appreciation Month. NAHB has always appreciated the dedication

and enthusiasm of its associate members, but in today’s unsettled – and unsettling – housing market

environment, we appreciate that dedication and commitment more than ever. During September – and

every other month, for that matter – I urge all NABA members to get to know one another better, learn

about each others’ businesses and whenever possible, to do business with other members. We are

strong when individual members are strong, and doing business with other members is a great way to

strengthen the association while ensuring that the people you work with understand the issues and

concerns that affect your day-to-day operations. Associate members are invaluable to our businesses

and an essential part of our proud history, tradition and spirit. Let’s all thank them this month by doing

business with a member!

There are lots of exciting new NABA member benefits and events taking place in the upcoming months.I encourage you to take advantage of them and to tell others about NABA. I challenge each of you tointroduce just one new member to NABA this year. From discounts on products and services to a legaland code hotline to the weekly job reports, it pays to be a member.

TotalMembers

BuilderMembers

AssociateMembers

AffiliateMembers

7/31/2011 81 27 50 4

12/31/2010 80 28 47 5

% change 1.3 -3.6 6.4 -20

Membership in a Minute

Dennis Ruid, Dennis Ruid Excavating

Bill Cadotte, Chippewa Wood CraftersFred Scheer, A Cabin in HaywardDon Dymesich, KV Tech

Kurt Proctor, CBS ConstructionLonnie Vreeland, J & L Painting

none

Dan Hinman, Don Johnson Auto GroupDeb Hitchcock-Gale, Coldwell Banker Lakeside Realty

Ron Kirk, Acme ToolsJohn Solofra, Bergeman PlumbingBill Otterson, Hardwood Floors and MoreNick Kendyall, Northern Lakes Coop

Duane Hoef, Hoefs Construction

Jeff Homuth, Hayward MercantileJosh Peck, Peck Construction

none

The NABA Board of Directors approved the following new memberapplications last month. If any current NABA member has reasonwhy this application should not be accepted, please state in writingyour reason membership should be denied and mail to be receivedby 9/10/11 at the NABA office. Bylaws state that we must submitnew applications before the general membership for one newsletter.

In the month following its debut, theNABA Weekly Job Report hascontained 35 new biddingopportunities for NABA members.

A new benefit of membership, theWeekly Job Report is distributed toNABA members every Monday. Eachreport contains a summary of biddingopportunities throughout the NABAregion with links to detailed reportsincluding information on receivingplan documents on the Members Onlyside of the Association’s website.

Members were emailed their usernames and passwords for logging intothe NABA website. Contact the NABAoffice for assistance or to retrieve yourinformation. If your membershiplapses, your log in information isdeactivated.

SAVETHE

DATE

Silent AuctionsRaffles

Association Awards

The full 3 in 1 membership will take effect on your final payment. There are no refunds on thisprogram, any payments made until the third payment will be considered a donation to the HBA insupport of the industry. The first payment will be processed upon receiving the completed form.The following two payments are due on the 1st of the following month.

We have the ability to do this as anelectronic withdrawl from your bank account. Contact the NABA for details.

Looking for LeadersThe Nominating Committee of theNorthland Area BuildersAssociation (NABA) is acceptingnominations for the 2012-2013Board of Directors. The

Committee wishes for all interested members who desireto hold a Board position to actively seek such office bycompleting the information below and submitting it byemail or fax to the NABA office prior to September 15,2011. Board seats have a two year term and meetmonthly. There are currently two open seats. Theelection will be held at the October Networking Nightscheduled for October 4, 2011 in Spooner.

Nominee’s Name

Company

Mailing Address

Phone

Fax

Email

Brief Description of Qualifications & Reasons forinterest in a Board position.

2012-2013 Slate of CandidatesNABA Board of Directors

Past President: Russ Smith, Russ SmithConstruction

President: Ed Peterson, Peterson Construction

President Elect: Joe Gendrich, Culligan of Ashland

Treasurer: open (vote)

Secretary: Rick Harder, Northern Paradise Homes(vote)

Directors:Todd Knutson, Johnson Bank (vote)

Jason Olsen, Peoples BankJeremy Lindgren, Arrow Building Center Spooner

(vote)Tyler Crotteau, Muller Heating, Mechanical &

Geothermal (vote)Open Seat (to be appointed by the Board - will complete

the remainder of Scott Chapin’s term)

The NABA Board thanks Scott Chapin for his years ofservice on the Board. Scott has resigned from the board

due to his busy work schedule.

Have you been to the NABA website recently? Your customers haveand here is a snapshot of what they have been visiting. In July, theNABA members listed to the right were the most visited directorylistings. Consumers are looking for you - It is so important that wehave the correct contact information listed for your business. Takea moment and check to see that we have a correct email address,website address and phone information for you. If you find an error,please contact the NABA office right away. Your NABA membershiplisting allows you to have a direct link to your website right from ours.Members can also place a NABA logo along with logos for the NAHBand WBA on their websites as long as you are current on your dues.Please link back to the appropriate association websites when youuse one of the logos. You may have also noticed that some membershave a video or advertising as part of their directory listing. We arein the process of creating videos for all of our builder members.Videos are uploaded to the NABA YouTube channel and posted onour Facebook page. Videos are copyrighted by NABA.

NABA Website Hits2011 (thru July) 18,0192010 (Jan - Dec) 20,979

Top Member Directory Page Hits

Arrow Building Center Spooner

Northstar Landscaping

A Cabin in Hayward

Custom Building Supplies

Arrow Building Center Hayward

Schrock Construction Inc

Sjostrom Construction Inc.

Dykstra Construction

Ken Lacoy Construction Inc

Mast Construction

The Northland Area Builders Association (NABA)along with the Wisconsin Builders Association(WBA) and Focus on Energy, Wisconsin utilities’statewide program for energy efficiency andrenewable energy, have entered into a strategicpartnership intended to boost economic growth inWisconsin’s residential construction industry. In thispilot program, Focus on Energy is offering financialincentives to current NABA members to joinFocus’s New Homes’ Program.

Focus on Energy works with nearly 400 builders inWisconsin. These builders have certified over16,000 energy efficient homes since 1999, that’snearly 4 homes per day for the past 12 years. Focuson Energy builder partners currently certify over30% of all homes built in Wisconsin annually.

Becoming a Focus on Energy Builder is easy! Justcomplete the attached Focus on Energy ProgramAlly Application, select a building performanceconsultant, and send the completed paperwork toFocus on Energy. Be sure that the application says“Northland Area Builders Association” on it.

That’s it. That’s all you have to do to get started.After your first home is certified, Focus on Energywill send you a check for $700*. As a Focus onEnergy Builder you are also eligible to receive upto $3,000 in cooperative advertising reimbursement

funds annually and you can receive up to $1,500for each certified home.

Take advantage of the opportunity to join Focus onEnergy and differentiate yourself from yourcompetition. All builders tell potential homeownersthey build good quality, energy-efficient homes, butonly Focus on Energy Builder partners can proveit. Each Focus on Energy certified home isinspected by an accredited, third party, unbiasedbuilding science expert, confirming that each homehas met all New Homes Program standards andtesting requirements.

*Note: This is a one-time promotional payment andthis offer is only available to current NABA buildermembers whom are not currently active Focus onEnergy Builder partners.

Are YOU missing out on $700 cash?

If you know someone who is interested in becoming aNABA member and is a Focus on Energy participant, theymay qualify for a $200 rebate on their NABA membershipdues from Focus on Energy/WECC. This one time rebateis only available to Focus builder participants and newmember applicants. Applicants must be or become aFocus participant before applying for membership in orderto qualify for the rebate.

Want to see your ad in the NABA newsletter or on the NABA website? Contact Jennifer at NABA fordetails. Mention that you saw the ad rates in the NABA newsletter and your ad will run for an extramonth - 4 months for the price of 3!

- minimum of 3 month contract with ad to be placed in the NABA monthly newsletter & to bepaid in advance. Member provides completed ad in jpeg format.

Size: 3.75” x 2/75” $20/month

- minimum of 3 month contract to be paid in advance with ad to be placed on NABA websitefeaturing a clickable hyperlink to individual advertiser’s website homepage. Member to provide completedad in jpeg format.

Size: 356 pixels x 271 pixels $50/month

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NEWS & UPDATESWisconsin Department of Safety & Professional Services

formerly WI Department of Commerce

Governor’s Budget Launches New Department of Safety and ProfessionalServices

Agency Focused on Regulatory Efficiencies, Customer Service and Pro Business Climate

Governor Walker’s signature on the 2011-13 state budget marks the start of the new WisconsinDepartment of Safety and Professional Services (DSPS) – formed by combining the Department ofRegulation and Licensing and parts of the Department of Commerce. The new agency completes theGovernor’s plan to re-craft the Department of Commerce into the Wisconsin Economic DevelopmentCorporation (WEDC) with a singular focus on job creation. “The Department of Safety and ProfessionalServices is the final piece of Governor Walker’s plan to enhance the focus on job creation while bringinggreater efficiencies to the way our state regulates individuals and businesses that hold licenses,” saidDSPS Secretary Dave Ross. “Our focus on efficiencies and enhanced customer service will help createthe pro business climate we need to create 250,000 new jobs over the next four years.” Merging theDepartment of Regulation and Licensing and the Department of Commerce’s Divisions of Safety andBuildings and Environment and Regulatory Services into the new Department of Safety and ProfessionalServices (DSPS) is just the first step to a strategic reorganization plan according to Secretary Ross.“Governor Walker has challenged our new agency with bringing greater value to the 430,000 licenseesand permit holders we regulate and our team is ready to embrace this challenge,” Secretary Ross said.“We have a historic opportunity to realign the regulatory functions of state government in a way thatfosters job creation, lessens the regulatory burden and protects the public.”

Secretary Ross Announces Key Division Administrator AppointmentsDepartment of Safety and Professional Services (DSPS) Secretary Dave Ross released the following

statement:

“As part of the reorganization of the Department of Safety and Professional Services (DSPS), it is mypleasure to announce the appointment of Mr. Bill Wendle as the Administrator of the Division of Safetyand Buildings (S&B) and Mr. Tom Nardelli as theAdministrator of the Division of Environmental andRegulatory Services (ERS). Mr. Wendle brings adeep resume of business and industry experiencemost notably as the former Executive VicePresident of the Wisconsin Builders Association.Mr. Nardelli brings extensive business, military,and government experience, including serving asChief of Staff for Wisconsin Governor ScottWalker when Walker was Milwaukee CountyExecutive. Tom most recently served asAdministrator of the Division of Safety andBuildings. I look forward to working with our twonew division leaders and everyone else in ournewly reformed agency to protect the public,better serve our customers and grow Wisconsin’seconomy.”

2011-2012 PLUMBING & POWTS Continuing EducationDepartment of Safety & Professional Services

Online Continuing Education Courses:If you are unable to attend the classroom courses, another way of obtaining credits is the onlineclasses. You can watch previously recorded classes on your computer, answer the associatedquestions, and mail the answers along with the fee to S & B to receive credit. Visitwww.dsps.wi.gov/SB/SB-DivContinuingEdVideo.html for details.

Sizing the Building Water Supply System (3 ceu for MP, MPRA, MPRS, JP, JPRA, JPRS, CommPlbg Insp, UDC Plbg Insp, and Utility Contractor)

In Depth in Situ Soils (3 ceu for MP, MPRS, JP, JPRS, POWTS Mainainer, CST, POWTS Insp,Comm Pblg Insp_

S & B Drain and Vent 2009 (3 ceu for MP, JP, UDC Plbg Insp, and Comm Plbg Insp)

Correspondance CoursesTo request Copies of the correspondence courses, mail a copy of the request form with payment to S& B and the courses will be sent to you. After studying the course, return the accompanyingquestions with the fee to receive credit. Visit www.dsps.wi.gov/sb/docs/SB-FORMCORRESPONDENCECOURSEORDER.pdf

Water Sizing (3 ceu for MP, MPRA, MPRS, JP, JPRA, JPRS, Comm Plbg Insp, UDC Plbg Insp,and Utility Contractor� Comm 82.32 Traps & Direct Fixture Connections (1.5 ceu for MP, JP, UDC Plbg Insp, & Comm

Plbg Insp)� Comm 82.33 Indirect and Local Wast Piping (1.5 ceu for MP, JP, UDC Plbg Insp, & Comm Plbg

Insp)� Comm 82.34 Interceptors & Catch Basins (3 ceu for P, JP, UDC Plbg Insp, & Comm Plbg Insp)

In Person CoursesNovember 2011 - HaywardFlat Creek Inn and Suites10290 Highway 27 SouthRegistration (next page) and payment must be received at least two weeks prior to the class (keep acopy for your records). Please send registration form to Safety & Buildings at address on registrationform (top left).

Nov 9 8:30 -11:30 am At-Grade and Pres Dist Design 12:30 - 3:30 pm IDS Justification for Perf Design

Nov 10 8:30 - 11:30 am Plumbing Information Q & A 12:30 - 3:30 pm Products and Water Treatment

A rule change effective December 1, 2010 will authorize the Wisconsin Department ofCommerce (DOC) to impose forfeitures on those who do not comply with certain licensing,certification and registration requirements, or those who hire persons or entities who havenot registered or do not have required credentials.

In 2009, DOC started to require various trades involved in building or modifying structuresto register as a building contractor. However, those that hold certain credentials, such ascontractors who have a dwelling contractor certification, are exempt from this registrationrequirement. This new rule will allow DOC to impose forfeitures on those who do not havetheir registration, or certain other credentials, such as a dwelling contractor certification. Inaddition, forfeitures may be imposed on an entity or individual who contracts with anotherentity or individual who fails to comply with licensing, certification or registration requirements.Thus, a general contractor who has its dwelling contractor certification may be subject to apenalty if the general contractor contracts with a subcontractor who does not have itscertification or registration.

WBA objected to this rule, arguing among other things that the forfeiture amounts wereexcessive. In final version of the rule sent to the legislature, the forfeiture amounts weresignificantly reduced. Under the revised rule, the forfeitures for failing to comply with thelicensing/ certification/ registration requirements, or for contracting with an entity that doesnot meet these requirements, are as follows: first offense, $250; second offense, $500; andthird offense, $1000.

In addition to authorizing the imposition of forfeitures, as a result of a statutory change, thisrule also expands the trades subject to registration to include those that construct, install oralter mechanical equipment and devices such as boilers, gas systems, piping and mechanicalsystems serving a building or structure. The requirement was also expanded to include thoseinvolved in the construction, installation or alteration of permanent devices or structuresregulated under the amusement or sanitation code.

REMINDER: DOC Fines for Using Unlicensed or Unregistered Subs

Visit www.nahb.org/ma to learn moreabout money saving discounts

available only to members

Small Businesses To Receive Bills for Interest Payments on UIState officials have announced employers will soon be receiving statementsfor payment of interest on money borrowed from the federal government tofund UI benefit payments for unemployed workers.

Although the interest on these loans was previously waived by the federalgovernment in 2009 and 2010, the bill is now coming due for interest

accruing since January 1, 2011. Although legislation is pending in the Congress to again waive the interest payments, thestate must take action now to meet a $48 million interest payment due on September 30th.

Federal law prohibits states from using unemployment tax revenue to fund these interest payments. However, Wisconsinlaw authorizes the department to assess employers separately for interest payments due on these loans.

The assessment rate will be applied to taxable payroll ($12,000 per employee in 2010), and those employers whose totaltaxable payroll is $25,000 or less in 2010 are exempt from the assessment.

Employers will receive a bill for the assessment in August with payment due the first week of September.

Top Regulatory Changes Affecting Employers in 2011Article Provided by CompuPayThe past two years have seen a number of legislative changes that affect employers. Employers must ensure theyunderstand the latest changes concerning taxes, healthcare reform, and other legal issues and how they can impact theirbusiness. Here is an overview of some of the most important changes business owners need to be aware of.

1. Tax Changesa. A temporary reduction in the employee’s share of the Social Security tax is in effect for 2011 as a result of the TaxRelief, Unemployment Insurance Reauthorization, and Job Creation Act of 2010. The portion of the tax paid by employeeshas been reduced to 4.2% from 6.2% for thefirst $106, 800 in wages paid to employeesduring 2011. Benefits for employees recordedby the Social Security Administration will beunaffected by the reduced employee rate andthe employer’s share of the tax will remainunchanged at 6.2%.b. The HIRE Act, which exempted employersfrom paying their share of Social Securitytaxes on the wages of certain employees whowere newly hired after February 3, 2010, andbefore January 1, 2011, does not apply towages paid after December 31, 2010.However, employers may still be eligible for a$1,000 tax credit to be applied when they filetheir 2011 tax return for any eligible employeehired under the HIRE Act that remained intheir employment for at least 52 consecutiveweeks.

c. The Tax Relief, Unemployment InsuranceReauthorization, and Job Creation Act of 2010includes an incentive that allows businesses toinvest in capital equipment and deduct 100%of that investment. In addition to billions ofdollars in tax cuts to businesses, the TreasuryDepartment estimates that the average cost ofcapital for business investment will decreasefrom 7.18% to 1.68%, an overall reduction in

Small Business News

cost of 75%. They have also estimated that the temporary 100% expensing will produce a $50 billion increase in capitalinvestment.

2. Healthcare Reforma. Effective January 1, 2011, funds from FSA, HRA, HSA and Archer MSA accounts can no longer be used to purchaseover-the-counter medicines or drugs, except insulin, unless prescribed by a physician. Patients with FSAs and HRAs whopurchase prescribed over-the counter medicines or drugs will need to submit their prescription along with theirreimbursement form or, if purchasing with a plan-specific debit or credit card, will need to present the prescription to thepharmacist and pay at the pharmacy.

b. The penalty for nonqualified disbursements from an HSA has increased to 20% from 10%.c. Business tax credits for certain small employers who have fewer than 25 full-time employees and pay for more than50% of the health insurance premiums for their employees continue through 2013. (See if you qualify.)

d. Due to an amendment to the Fair Labor Standards Act (FLSA) enacted by the 2010 healthcare reform act, employerswith 50 or more employees are now required to provide a clean, safe space that allows for privacy, other than a bathroom,that breastfeeding mothers can use to express breast milk. Although the employer is required to allow for break time forthe mother to express milk, they do not have to pay for the time used for that purpose. Additionally, many states havelaws that govern the rights of breastfeeding mothers in the workplace that may provide additional rules that employersneed to follow. Refer to your state’s Department of Labor website for information specific to your state.

3. Continued IRS AuditsThe IRS is expected to continue their efforts of auditing businesses, concentrating their efforts on:§ Ensuring that employers do not misclassify employees as independent contractors§ Compensation and fringe benefits paid to executives§ Appropriate reporting of wages for tipped employees§ Payroll tax audits.

4. Most State Unemployment Funds DepletedIn the years since the beginning of the recession in 2007, due to high unemployment rates and the continuing extensionsof the number of weeks an unemployed worker is eligible to collect benefits, most state unemployment funds have beencompletely depleted, forcing states to borrow money from the federal government in the form of an unemploymentinsurance Title VII loan. As a result, most states have had to take action to repay the loans, including increasing taxablewage bases, shifting to a sliding rate schedule, and levying surcharges on employers. Additionally, if a state defaults on aTitle VII loan, employers in that state receive a reduced FUTA tax credit, resulting in an additional tax liability.As the year progresses, it is expected that there will be many other changes instituted through our legislative system. Theramifications of these types of changes can be serious and costly if a business is not in compliance. To stay up to date onpayroll and payroll tax changes that affect businesses, visit the IRS, as well as federal and state Department of Laborwebsites regularly.

NEWS and UPDATESfrom National Association of Home Builders

Fall Board of Directors MeetingThe 2011 Fall Board of Directors Meeting will be held inMilwaukee, Wednesday September 7 - Saturday,September 10. Meetings will take place at the HiltonMilwaukee City Center (HQ Hotel) and the Frontier AirlinesCenter. Registration form enclosed.

EPA Backs Down on Faulty StormwaterManagement Rule for Construction SitesThe Environmental Protection Agency announced on Aug.17 that it has decided to reconsider imposing a nationwidecap on the amount of sediment allowed in stormwaterdraining from a construction site.The announcement came a year after the EPA's firstproposal to develop a numeric limit for the turbidity, orcloudiness, of stormwater was rejected by the 7th CircuitCourt of Appeals, which essentially told the agency tocome up with an Effluent Limitation Guidelines (ELGs)number that was legally defensible.NAHB has estimated that attempting to comply with theregulations would carry a $10 billion annual price tag —stunting new home production and forcing costs up forhome buyers.The agency said that it still couldn't justify any specific limitand will start over again.The EPA said it will be talking to home builders,environmental scientists and other members of the publicto gather better data  — a solution that NAHB hasadvocated for more than three years."The EPA set a numeric limit for water cloudiness that wasbased on flawed analyses," said NAHB Chairman BobNielsen.Both the Small Business Administration and the Office ofManagement and Budget warned the EPA that theregulation would not hold up, joining NAHB in voicingconcerns over its monitoring and sampling requirements."In its calculations, the EPA relied on questionable data,including figures obtained from the vendors that wouldhave supplied the expensive systems home builders wouldhave been required to use. That's no way to come up withnational policy," Nielsen said.Because terrain, geography and rainfall vary significantlyacross the country, NAHB has long held that a nationallyapplicable numeric limit is neither defensible norpracticable."It's our hope that the EPA's research will take that factinto account," he said.In the meantime, NAHB is redoubling its efforts to collectturbidity data from its members' construction sites to helpensure that the eventual ruling makes good scientific sense.

"Stormwater management must be straightforward,affordable and workable," Nielsen said. "That's the onlyway we can continue to make progress.”NAHB supports responsible development and the goals ofthe Clean Water Act, he said, and “the association willcontinue to work with state and federal regulators to keepour waterways clean."

NAHB Members Invited to Participate in FallBoard Forum on ICC Code ProcessAssociation members attending the upcoming fall boardmeeting in Milwaukee will have an opportunity to discusstheir concerns over the code development process —including changes that mandate fire sprinklers in one- andtwo-family homes and increase the energy efficiencyrequirements for all housing — with the International CodeCouncil (ICC) leadership and NAHB’s Construction, Codes& Standards (CC&S) Committee.At the “Building Codes — Future Strategies” forum, thecommittee will discuss its draft recommendations on thefuture strategies NAHB should be pursuing, and it will besoliciting input from members.Also participating in the forum, ICC President James L.Brothers will discuss how the ICC board is responding toconcerns raised by NAHB and other industryrepresentatives. All NAHB members are encouraged toattend.For more information, email Ed Sutton at NAHB, or callhim at 800-368-5242 x8564.

Home Owners Resisting Increased Costs ofRemodeling Under Lead Paint RuleOwners of homes built before 1978 are balking at theadditional cost needed to repair and renovate their homes— an up to 24% increase — under the U.S. EnvironmentalProtection Agency’s Lead: Renovation, Repair andPainting rule, according to a recent NAHB survey.“Remodelers are finding that conducting renovation workin older homes has become more expensive under thelead regulation and that home owners are reluctant to paythe increased costs,” said NAHB Remodelers ChairmanBob Peterson, CGR, CAPS, CGP, of Associates in Building& Design, Ltd., of Fort Collins, Colo.Responding to special questions in NAHB’s quarterlyRemodeling Market Index (RMI) survey, remodelersindicated that the cost of remodeling projects of less than$5,000 — a vast majority of the projects nationwideannually — would increase by as much as 24% under thelead rule. The cost of remodeling projects of more than$100,000 would increase 9%, respondents indicated.At least 65% of the respondents also indicated that homeowners are trying to avoid the additional costs of the lead

rule by attempting to do the work themselves, working withuncertified contractors who do not comply with the leadrule, scaling back the size of their remodeling projects ordeciding not to remodel at all.“Remodelers want to protect vulnerable children from leadexposure, but we’re seeing that home owners do not wantto pay the costs for complying with the lead regulation,”Peterson said. “A huge part of the problem is that homeowners who have no children living in their home do notsee the need to pay this expense.”Under the EPA’s lead paint regulation, remodelers andother contractors working in homes built before 1978 musttake precautions to contain lead dust — including usinglead-safe work practices, establishing dust containmentareas and containing dust during the renovation, cleaningup after the project and maintaining detailed records.The regulation also requires that they obtain training andcertification, and that they distribute the EPA’s RenovateRight lead-safe guide to their home owner clients.According to the American Housing Survey by theDepartment of Housing and Urban Development and theCensus Bureau, professional remodelers annually workon 16.6 million projects involving housing built before 1980.Of those, nearly 13 million are smaller projects pricedunder $5,000.The total estimated costs for remodeling under the leadrule — including training, equipment, materials and workhours — could reach as much as $10.5 billion a year ifhome owners  do not change their remodeling plans,according to the survey.For more information on the lead rule, visitwww.nahb.org/leadpaint; or email Kelly Mack at NAHB, orcall her at 800-368-5242 x8451.

Free Webinar Will Review How to SurviveStepped-Up OSHA InspectionsAn upcoming free webinar from NAHB will provide NAHBmembers and home builders associations with importantinformation on dealing with the Occupational Safety andHealth Administration’s   recent stepped-up enforcementactions and increased penalties.As has been reported previously, OSHA has madestepping up its enforcement efforts a priority.While in past years commercial contractors were subjectto the most inspections, residential builders are nowroutinely receiving inspections by OSHA.The webinar  — “How to Prepare for an OSHAInspection” — will be held on Sept. 13 from 1:00-2:30 p.m.EDT.The webinar will touch on a number of topics, including therights of employers during an OSHA inspection,suggestions on what to do during the actual inspection,determining when to contest citations and how to obtainpenalty reductions, and what legally recognized defensesto OSHA citations employers can use, specifically as theyrelate to recent changes in the fall protection requirements.

NAHB members can register for the free webinar atwww.nahb.org/oshawebinar.The seminar will be presented by Bradford T. Hammock,a partner in the Washington, D.C., regional office ofJackson Lewis LLP whose practice is exclusively in thesafety and health area.For more information on this webinar or fall protection, visitwww.nahb.org/fallprotection; or email Rob Matuga atNAHB, or call him at 800-368-5242 x8507.

First-Time Attendees at IBS Save Up to $325!As a member of NABA you already know that successas a builder requires much more than just being able toswing a hammer.

In fact, to move your business ahead, you need to learnabout new materials, plan marketing strategies andbetter connect with customers. Fortunately, that’s exactlywhat the next International Builders’ Show (IBS) fromFeb. 8–11, 2012 in Orlando is designed to help you do.

Now there’s even better news. If you’re a new NAHBmember or a first-time attendee at IBS 2012, you cansave some serious money! If you meet one of thefollowing conditions, you can see all the exhibits andattend all the education sessions you want for only $125:

That’s up to $325 in savings for full access to four daysof exhibits and education — and even better, yourspouse can attend for only $20!

To take advantage of this special offer, just go towww.buildersshow.com and follow the “member”registration path. You’ll see the First-Time registrationoption listed right after you provide your contact anddemographic information. Simply select the discountedfull registration option, and you’re on your way!

Wisconsin Builders AssociationMonday Morning News

August 22, 2011

Secretary Chandler visits with WBA GA CommitteeWBA GA Committee members were honored to have Wisconsin Department of Revenue(DOR) Secretary Rick Chandler as a special guest recently.  Secretary Chandler gave thegroup a briefing about the recently passed state budget and how that will have a positive effect

on the economy and Wisconsin’s fiscal condition in the future.You may remember that before becoming DOR Secretary Mr. Chandler worked as a consultant and helped WBAmembers on the WBA Tax Sub-Committee issue a report to help Wisconsin taxpayers reduce their property taxburden.The highlights of that report were:•Remove the technical colleges in the Wisconsin Technical College System from the property tax•Remove the court system from the property tax•Eliminate the taxation of personal property in Wisconsin•Eliminate the forestry taxSecretary Chandler was asked about the possibility of these suggestions being considered in the future and heaffirmed by saying with the positive changes in the last state budget these could be under consideration for thenext one.WBA President Esposito urges support for federal lending billWBA President Don Esposito recently sent a letter the Wisconsin congressional delegation asking them to signon to the Home Construction Lending Regulatory Improvement Act of 2011.  This is a major initiative beingpushed by the National Association of Home Builders (NAHB).The Home Construction Lending Regulatory Improvement Act of 2011 will direct banking regulators to issue newguidance specifically addressing three key regulatory areas that have unnecessarily hampered the flow of creditto our nation’s home builders.  The Act removes barriers to lending while preserving the regulators’ ability toassure the safety and soundness of the financial institutions they oversee.A special thank you to Congressman Reid Ribble who signed onto the Act shortly after meeting with WBAmembers during the NAHB Legislative Conference in March.In the letter to the Wisconsin congressional delegation WBA President Esposito stated, “As a longtime memberof the home building industry as well as one of the 5,800 members of the Wisconsin Builders Association and its2011 President, I am writing to bring to your attention one of thebiggest challenges facing our industry today: the lack of availabilityand accessibility to land acquisition, land development and homeconstruction (AD&C) loans.  To remedy this situation, H.R. 1755,the Home Construction Lending Regulatory Improvement Act of2011, has been introduced by Representatives Gary Miller (R-CA)and Brad Miller (D-NC).  I urge you to cosponsor this legislation.”New Madison office location for S&B license and manufacturedhome servicesThe state Safety and Buildings Division unit that provides counterservice in Madison for licenses, certifications, and registrations ismoving, changing office location as part of the formation of the newDepartment of Safety and Professional Services. This move alsoincludes staff who provide counter service for manufactured(mobile) homes titles and sales.The new location as of July 25, 2011, is at 1400 East WashingtonAvenue (53703) in Madison (see close-up map), at the corner withNorth Dickinson Street, just southwest of the Yahara River. Freeparking is available in a lot on North Dickinson Street.

Mailing addresses for S&B forms and telephone numbers will remain the same. The telephone number forlicenses, certifications, and registrations is 608-261-8467. The telephone number for manufactured homesservices is 608-264-9596.All other S&B services in Madison remain at 201 West Washington Avenue.Krabbe appointed to Uniform Dwelling Code CouncilThe council that reviews changes to the Uniform Dwelling Code, the aptly named Uniform Dwelling Code Council(UDC), met recently with a WBA member present as a recent addition.Earlier this year longtime UDC Council member John VandeCastle retired from the council and opened up aposition for a material supplier.After positing the opening on their website Governor Scott Walker appointed Pete Krabbe of Seymour Lumberto the open supplier position on the UDC Council.Mr. Krabbe reached out to WBA last fall with a request to become more involved on the state level and expressedan interest “in contributing to the organization in any capacity, especially on interaction with the branches ofgovernment that directly affect our industry.”Krabbe also added “I want to help grow our industry by working to lessen governmental influence in our day today business.”WBA is confident that Pete Krabbe’s worldview will be a welcome addition to the UDC Council!Tommy Thompson looks all in for U.S. SenateFormer Wisconsin Governor Tommy Thompson announced that Wisconsin Attorney General J.B. Van Hollenand former Secretary of the Department of Administration Jim Klauser would be serving as honorary chairs forhis run for the open U.S. Senate seat.Thompson has been rumored to be considering this run for some time and the announcement this week, inaddition to a previous announcement naming key fundraising advisors, seems to indicate this time a Thompsonrun is very likely.In a press release announcing the “first wave of strategic advisors” Thompson said, “I’m honored to have thesupport and commitment of Jim and J.B., we need to get America working again.  We can do better, and it beginswith getting government out the way of creating the jobs that make our families and communities stronger.”The GOP primary for the U.S. Senate seat currently held by Senator Herb Kohl will likely be a crowded field thatfeatures a number of well known GOP names.  Rumored to be considering a run are former Congressman MarkNeumann, Assembly Speaker Jeff Fitzgerald, former State Senator Ted Kanavas and current state SenatorFrank Lasee.Feingold not running for anything in 2012All along, former state and U.S. Senator Russ Feingold (D-Middleton) had said he was considering a return toelected office in 2012 and that he would announce his intentions around Labor Day of this year.  In somewhatof a surprise announcement recently Feingold released a statement saying he would not be seeking any electedoffice in 2012.Feingold was rumored to be considering a run again for the U.S. Senate or mounting a challenge to GovernorScott Walker if enough signatures were collected to trigger a recall election sometime in 2012.  If you walkedaround the capitol square during the winter and spring of this year you could see several protesters with t-shirtsfeaturing the face of Feingold with the saying “this is what a governor looks like” and “Feingold for Governor2012.”On his “Progressives United” website Feingold said, “I am grateful for the friendship and support of so manyfellow Wisconsinites who suggested I consider running for statewide office in the coming months. While I mayseek elective office again someday, I have decided not to run for public office during 2012.  This was a difficultdecision, as I thoroughly enjoyed my tenure in both the State Senate and the U.S. Senate, and I know thatprogressives are eager to reverse some of the outrageous policies being pursued by corporate interests at boththe state and federal levels.”DNR announces Enterprise AgencyThe Department of Natural Resources (DNR) announced an agreement with the Department of Administration(DOA) to become Wisconsin’s first “enterprise agency.”

Under the Enterprise Agency agreement, DNR has committed to:•Improve processes to reduce permit times by 5% for major air and water permits while upholding environmentalstandards;•Improve communication and interaction with the regulated community to assure environmental permittingrequirements are widely understandable and are issued in a timely way through creation of a new Office ofBusiness Support and Sustainability;•Develop Internet-based tools to streamline and more effectively transmit and track permit applications;•Increase over-the-counter service at DNR facilities by 40%;•Improve cost-effectiveness by prioritizing work and eliminating duplicative systems for fleet and facilitiesconstruction and repair; and,•Reduce costs by 2.5% for basic operations, and organize itself into a line authority organization to assure DNRis making consistent decisionsacross the state.In a statement of support WBAPresident Don Espositocommented that “the dedicationand commitment to continuousimprovement shown by the entireDNR staff from the field level on upto senior management isadmirable. Builders anddevelopers across the stateinteract with the DNR frequently,sometimes with regulatoryprocesses that overlap andduplicate one another. Therestructuring appears to us to be along-overdue effort to makeWisconsin's largest regulatoryagency function more efficiently.That will benefit the environment,the economy, and the citizens ofWisconsin.”

Questions or comments? Pleasecontact Brad Boycks, Director ofGovernment and Political Affairs forthe Wisconsin Builders Association®. You can reach Brad atbboycks@wisbuild.org or 888-285-9066, x16. You can also visit theWBA web site: www.wisbuild.org

In conjunction with the NAHBBoard meeting, Governor ScottWalker has accepted aninvitation to speak to WBAmembers in a special session at4:00 p.m. Friday, September 9,2011 at the Frontier AirlinesCenter in Milwaukee. This eventwill be open to all members ofWBA. More details will beprovided closer to the event.

September 2011

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Labor Day

NABA OfficeClosed

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NABANetworking

Night inHayward

7NAHB Fall

BoardMeetings

Milwaukee

NAHB FallBoard

MeetingsMilwaukee

WBA ExecComm Mtg

9NAHB Fall

BoardMeetings

Milwaukee

10NAHB Fall

BoardMeetings

Milwaukee

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NAHBWebinar

UsingYoutube to

Market & SellHomes1 - 2 pm

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NABA BoardMeeting

5pm

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NAHBWebinarKitchenDesign1 - 2 pm

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SeptemberMembership

RenewalDeadline

October 2011Sun Mon Tue Wed Thu Fri Sat

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NABANetworking

Night inSpooner

BoardElections

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WBALeadership

DevelopmentTraining

Chula Vista

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WBA BoardDay

Chula Vista

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NAHBUniversity of

HousingCertified Agingin Place Course

(18 & 19)

Milwaukee

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NABA BoardMeeting

5:00 pm

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NABA Raffle Ticketstubs and money

due at NABA Office

OctoberMembership

Renewal Deadline

Tuesday, October 4Tracks Family Restaurant, Spooner

5:00 pm Cash Bar6:00 pm Dinner

Guest Speaker: Brad Boycks, Wisconsin Builders Association will be updating us on currentindustry issues and candidates running for office

Also taking place will be elections for seats on the Board of Directors (please see slate ofcandidates in this newsletter). All members of record have the opportunity to vote and mustattend in order to do so. NABA bylaws do not at this time allow for electronic voting.

Please RSVP before October 1 with number attending. Cost $15/person if received by 10/1 or $20at the door.

NABA Board of DirectorsInstallation Dinner

Tuesday, November 8The Steakhouse & Lodge, Hayward

5:00 pm Cash Bar6:00 pm Dinner

(Prime Rib/Roast Turkey Buffet with Mashed Potato & gravy,Broccoli/Carrot/Cauliflower blend, dinner salad, rolls, coffee & water)

Join us in honoring our outgoing and incoming Board ofDirectors.

Please RSVP before Nov 1 with number attending. Cost$20/person if received by 11/1 or $25 at the door.