Washington Hotline - July 23, 2008


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House Passes Comprehensive Housing Bill, Waiting for Senate Action

Yesterday, the House, Senate, and White House reached a compromise on comprehensive housing legislation. The House passed this compromise measure by a strong, bipartisan vote of 272-152. The bill, H.R. 3221, the "Housing and Economic Recovery Act of 2008," is now headed for approval in the Senate.


The bill could be passed as early as tomorrow or next week. The White House has said it will sign the bill. View a brief summary of the major provisions in the bill.

For more information, e-mail David Ledford, or contact him at 800-368-5242 x2265.

Regulatory: NAHB Opposes Ergonomic Standard; Fed Tightens Mortgage Rules

  • NAHB Opposes ASSE Ergonomic Standard

    The National Association of Home Builders (NAHB) expressed its strong disappointment this week with a recently approved standard on workforce safety that has been deemed ineffective and unworkable by the residential and commercial construction industry. 

     

    The development of the A10.40 standard on ergonomics, which was spearheaded by the American Society of Safety Engineers (ASSE), was overseen and approved through a deeply divided “consensus” process that did not reflect the concerns of the affected industries. It was approved by The American National Standards Institute (ANSI) despite strenuous objections from a coalition of industry representatives on the committee in July.

     

    “It is troubling that ASSE can subvert the ANSI process in order to impose its own vision on the construction industry,” said NAHB President Sandy Dunn, a home builder from Point Pleasant, W.Va. “The standard will be useless for the construction industry, so it is encouraging that there are several other effective resources available to ensure the health and safety of construction workers, which is our biggest priority.”

     

    There are a number of  resources currently available that are useful to residential construction employers in preventing workplace soft-tissue injuries, including NAHB’s Jobsite Safety Video, Home Builders’ Safety Program, the NAHB-OSHA Jobsite Safety Handbook: English-Spanish Edition, and the Toolbox Safety Talks: English-Spanish.

    Read the full press release. 


  • Fed Tightens Mortgage Underwriting Rules

    NAHB pushed for the final rule approved by the Federal Reserve Board on July 14 that is intended to better protect consumers and facilitate responsible lending by prohibiting unfair, abusive or deceptive home lending practices and restricting certain other mortgage lending practices.

    The proposed rule defined a high-priced mortgage loan as a loan with a rate three percentage points or more above the yield on comparable Treasury securities (five percentage points for subordinate liens). NAHB said that tying the spread to a prime mortgage benchmark — such as Freddie Mac’s Primary Mortgage Market Survey — would be a better approach.

    NAHB’s action on this rule resulted in the new definition of high-priced mortgage loans as a first-lien mortgage with an annual percentage rate that is 1.5 percentage points or more above this benchmark, or 3.5 percentage points if it is a subordinate-lien mortgage.

    The final rules are effective Oct. 1, 2009, with the exception of an escrow requirement that takes effect on April 1, 2010, for site-built homes and on Oct. 1, 2010, for manufactured housing.

    Read the full article in Nations Building News.

    For more information, e-mail John Dimitri, or call him at 800-368-5242 x8529.

Legislation: Mandates Less Effective for Residential Energy Efficiency; HUD Improves LIHTC Process

  • Mandates Less Effective for Residential Energy Efficiency

Testifying on behalf of NAHB on July 17 before a House Subcommittee on Energy and Air Quality hearing on “Climate Benefits of Improved Building Energy Efficiency,” St. Louis green builder Matt Belcher cautioned Congress on the danger of one-size-fits-all proposals for home construction.

Policies that encourage rather than mandate energy savings are the most meaningful in stimulating greater demand for energy-efficient homes, Belcher said.

“It is false to assume that just requiring states or local governments to adopt an arbitrary above-code compliance target for all new construction is going to translate into improved enforcement or achieve the energy savings goals envisioned,” Belcher told Congress. “If resources, or infrastructure, to enforce the code are not available, then the savings assumed will never materialize.”

Department of Energy research shows that residential buildings consume 21.9% of the nation’s energy and produce 21% of its greenhouse gas emissions.

However, Belcher pointed out, mandating that all new homes must achieve significant above-code performance will not produce the greatest energy savings because new homes are a small part of the problem. Solutions to address residential energy use — and include existing homes — require a sharper focus, he said.

View the full article in Nations Building News.

For more information, e-mail Calli Schmidt at NAHB, or call her at 800-368-5242 x8132.


  • HUD Streamlines LIHTC Application Process

HUD issued Mortgagee Letter 2008-19 on July 23, 2008, which outlines four program changes designed to streamline the processing of FHA-insured Low Income Housing Tax Credit (LIHTC) applications. These program changes apply to Section 221(d)(4) for multifamily housing, Section 220 for rehabilitation and neighborhood conservation, and Section 231 rental housing for the elderly.

The four program changes are:

  1. The cash escrow requirement for LIHTC syndication proceeds is reduced from 100% to an initial installment equal to or exceeding 20% of the total LIHTC proceeds/equity. If less than 20% is proposed, HUD HQ must approve the request.
  2. Submission of final drawings and specifications may be deferred until initial endorsement. Schematic drawings may be submitted in lieu of complete and final plans and specifications with the Commitment application.
  3. Commitments may be conditioned upon HUD 2530 approval. The existing policy requires HUD 2530 clearance prior to the issuance of the Commitment. Complete 2530s for all project principals must be filed with the firm commitment application, and HUD must approve the 2530 prior to and as a condition of initial endorsement.
  4. Each Hub and PC must designate a LIHTC Coordinator. The designation of a LIHTC coordinator will enhance staff understanding of the LIHTC program, increase processing consistency among offices, and improve marketing and outreach of HUD’s mortgage insurance programs.

For complete details view this page.

View NAHB's additional recommendations to the House Financial Services Committee.

For more information e-mail Claudia Kedda, or call her at 800-368-5242 x8352.

Industry News: Multifamily Education at SEBC; Become an FHL Bank Director

  • Multifamily Education at SEBC
     
    Re-boost your marketing and revitalize your sales. NAHB Multifamily, in conjunction with the Southeast Building Conference (SEBC), is presenting an educational line-up specifically for multifamily builders. Attend the conference July 30 - August 2 at the Orlando County Convention Center in Orlando, Fla. 

    All multifamily sessions will be held August 1. Sessions Include:

Multifamily Design: Latest, Greatest + Most Efficient
Speakers: Niles Bolton, Niles Bolton & Associates
                    Adrienne Faulkner, Faulkner Design Group
                    Manny Gonzalez, The KTGY Group

Multifamily State of the Industry
Speakers: Mike Mulhall, Lane Company
                    Joe Wilber, Gables Residential

Best Practices in Condo and Apartment Marketing
Speakers: Tracey Hopkins, Jump Start Marketing
                    Christine Lutz, Garrison Partners Consulting
                    Lisa Trosien, Apartmentexpert.com

View the SEBC Multifamily Education Program Flyer.

For more information or to register online, view this page.


  • FHL Bank Director Applications Due August 15

    The next round of Public Interest Director appointments to Boards of the 12 Federal Home Loan Banks will soon be under way. Under current regulations, each of the FHL Banks is required to forward their recommendations to their regulator, the Federal Housing Finance Board, by Oct. 1. NAHB has established a process for assisting members who are interested in serving on FHLBank boards.

    NAHB members who are interested in applying for a public interest directorship and wish to be considered for an NAHB recommendation should contact John Dimitri, 800-368-5242 x8529, no later than Aug. 15, 2008.

    View Federal Housing Finance Board procedures, eligibility forms, and more.

 

Media Spotlight: Multifamily Green Building Report in Multifamily Trends; MHP Pillars Awards Feature

Multifamily membership, initiatives, and accomplishments are making headlines. View featured artilcles and supplements in Multifamily Trends and Multihousing Professional Magazine. 

For more information e-mail Ann Marie Moriarty, or call her at 800-368-5242 x8350.

 

NCHI Product: Ultra Silent Humidity Sensing Fans from Broan and NuTone

The ADEX award-winning Ultra Silent Humidity Sensing fans from Broan and NuTone detect a rapid increase in humidity at the ceiling, where it’s most prevalent. The fans are automatic — once there is a rapid increase in humidity, the fan will turn on to exhaust excess moisture and turn off once the job is done.

Featuring Sensaire technology and models that are ENERGY STAR qualified, the new line of Ultra Silent Humidity Sensing fans are an effective way to control excess humidity and moisture.

For more information about Broan and NuTone ventilation fans visit www.broan.com or www.nutone.com.

For more information about NCHI, e-mail David Cooper, or call him at 800-368-5242 x8247.

Calendar: Conferences and Events

  • Apply for the 2009 Commercial Building Awards
    Submit your multifamily mixed-use development by August 1!

    The National Commercial Builders Council (NCBC) is accepting applications for its 2009 Awards of Excellence program, which recognizes achievements in the national commercial building industry for design (remodeling and new construction), market appeal, energy efficiency, challenges faced during building and overall success of projects that are either built or renovated.

NCBC sponsors the Awards of Excellence program to bring recognition to commercial building projects that range from less than 5,000 to more than 100,000 square feet.

Projects must have been completed after Dec. 31, 2005, and may be entered in commercial, industrial, institutional, medical, mixed-use, recreational, retail and green building categories.

A public announcement will follow at NAHB’s International Builders’ Show, Jan. 20-23, 2009, in Las Vegas, and recognition will be given to winners in Commercial Builder magazine.

To Apply
To download an entry form, click here.
For more information, e-mail Kisha DeSandies at NAHB, call her at 800-368-5242 x8455.



  • Get Hesitant Boomers to Buy Now! Audio Seminar

    Tune into the Get Hesitant Boomers to Buy Now! audio seminar coming up Tuesday, Aug. 12, from 2:00 p.m.-3:00 p.m. EDT. Presented by the National Association of Home Builders and the NAHB 50+ Housing Council, this interactive program will show you ways to overcome these objections and motivate your 50+ buyer-prospects to move forward despite today's market conditions. View the audio conference flyer.

Get Hesitant Boomers To Buy Now!
Tuesday, Aug. 12, 2008
2:00 p.m. - 3:00 p.m. EDT
Fee: $79 per phone site
Register Now!

Participate and hear about: 

  • Ways to educate buyers about their financial portfolio and why they might not have to wait
  • The psychology of today’s consumers and how to conquer their fears about buying in the current market.
  • Building value and offering incentives that won’t break the bank.

Panel:
 
Moderator – Rich Carlson, CAASH, MIRM, CMP, Carlson Communications,  Northborough, Mass.
Speaker – Deborah Blake, Pulte Homes/Del Webb, Scottsdale, Ariz.
Speaker – Chuck Covell, Covell Communities, Gaithersburg, Md.

For more information on the audio seminar or to submit a question to be asked during the audio conference, E-mail Jeff Jenkins, or call him at 800-368-5242 x8292.


  • Coping with Financial Distress Audio Seminar

    Home builders, vendors, and trade contractors are experiencing a severe market downturn. Bankruptcy is the only option for some, while others have closed their doors. As the economy struggles, the companies that survive must take a proactive stance to address the problems they are certain to encounter in a cash crisis, with impaired assets and a credit crunch.

 


Coping with Financial Distress
Thursday, August 21, 2008
1:00 p.m. EDT 
Fee: Free
Register Now!

This free event, supported by NAHB's Business Management & Information Technology Committee, will provide prescriptive recommendations to minimize confusion and cope with the current state of our industry.The discussion will be followed with an open opportunity for questions and answers from all attendees. Attendence is limited to the first 200 participants.

Learn how to: 

  •  Cope and survive
  •  Communicate and work with bankers
  •  Deal with bankruptcy
  •  Survive financial restructuring
  •  Protect your assets 

 View more information on this audio seminar.

To obtain additional information about this session, please contact ckotsopoulos@constellationhb.com.



  • Fall Board 2008

    The 2008 Fall Board of Directors Meeting will be held at the San Diego Marriot Hotel and Marina, 333 West Harbor Drive, San Diego, Calif., September 23-26. Online registration for the Fall Board of Directors Meeting is now open.
     
    Committee meetings will begin on Wednesday, September 24 and the Board of Directors Meeting will take place on Friday, September 26. No Meetings are presently scheduled for September 27 or 28.

View the Fall Board Leadership Schedule . 


Sponsored by NAHB’s National Sales and Marketing Council, The Nationals honor the best in architectural achievement, product and community design, advertising and promotion, interior merchandising, and Web site design in over 50 categories.

All entries, including fees and exhibits, are due Friday, Sept. 26. Late entries will be accepted by Oct. 3, with an additional fee.

To Apply
For a list of The Nationals awards categories, click here.
For entry forms, click here.

For more information, visit www.TheNationals.com, e-mail Lisa Parrish, or call her at 800-658-2751.



  • Fall 2008 Construction Forecast Conference
    National Housing Center, Washington, D.C.; local locations via Webcast.

Attend the Fall 2008 Construction Forecast Conference, featuring multifamily Industry Analyst, Ron Witten, on Oct. 22, 2008. In a volatile economy, good information is the most important currency. You can hear the country’s most respected economists give up-to-the-minute forecasts on the national economy, regional economies, the mortgage market, construction finance, and the multifamily market. Many local Builders’ Associations are hosting webcast viewings. Register and view more conference information on this page.

Resources: NAHB's Myth Buster Resources

NAHB has produced a variety of resources specific to the housing downturn for members and associations to use in local public relations, marketing and media campaigns. Geared towards reassuring consumers and combating misleading media reports, these issue and region-specific talking points, fact sheets, op-eds, and other materials will help you prepare for interviews and better communicate with consumers and stakeholders.

View the Myth Buster Flyer.

To access these resources, visit www.nahb.org/MythBuster.

For more information e-mail Brooke Fishel, or call her at 800-368-5242 x8061.