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August 2014 Calendar of Events
All Events held at HBA office unless otherwise noted
2) Kick-A$$ Cook Off, 3:30-7pm
Deutsches-Haus, 1023 Ridgewood Street, Metairie
7) Remodelers Council Meeting @ 12pm
13) Education Committee Meeting @ 2:30pm
13) NOEL Board of Directors Meeting @ 3pm
13) Executive Committee Meeting @ 4pm
15-17) Southern Sportsmen's Festival & Expo @ the Alario Center
18) Home & Garden Show Board Meeting @ 4pm
19) HBA Board of Directors @ 4pm
21) Advanced Building Practices Meeting @ 12pm
21) Parade of Homes Committee Meeting @ 1:30pm
22) Associates Council & Membership Task Force Meeting, 8:30am
26) General Membership Meeting @ 12pm
Holiday Inn, 2261 N. Causeway, Metairie
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Kick-A$$ Cook Off
Saturday, August 2
3:30 - 7pm
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 Southern Sportsman's
Festival & Expo
August 15 - 17
Alario Center
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August 26th GMM
Guest Speaker:
Michael Hecht,
President & CEO of GNO. Inc.
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 "Auctions in August" is a silent auction Gulf Coast Bank hosts & facilitates beginning August 1st and ending Friday, August 29th. Items are available for bidding at each of their 17 branches, as well as online. The auction is open to everyone, bank employees, customers and the general public.
You can bid on the mirror, energy audit, and design consultation online by visiting the Auctions in August website and putting "New Orleans Education League of the Construction Industry" in the non-profit search box. You can bid on the gift basket by visiting the Gulf Coast branch at 5001 Veterans Memorial Blvd.
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WHAT DOES IT MEAN FOR A PRODUCT TO BE FBC RATED?
The Florida Building Code evaluates products that affect the structural integrity of buildings during hurricanes. With all of the information out there, it is hard to decipher what is what. LAS has put together a short summary to answer the question, "what does it mean for a product to be FBC rated?"
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A Word from the Jefferson Parish Department of Inspection and Codes Enforcement
Your Jefferson Parish Department of Inspection and Code Enforcement continues its progress on the My Permit Now online application and inspections technology. Currently, our customers may file a residential building permit application and a trades filing that is not associated with a building permit. Beginning August 1st, our commercial customers may submit permit applications online and we anticipate that by August 15th, ALL trades filings can be processed via the My Permit Now portal. Further, trades license renewals can be processed online beginning October 1st.
It is you, the Home Builders of Greater New Orleans, who asked Jefferson Parish to acquire this technology. Full implementation of My Permit Now will allow Jefferson Parish to better serve our customers who can now save time and money by handling their business from the convenience of their home, office or Smart Phone. A step-by-step instruction sheet is provided on the Parish website at www.jeffparish.net, Department of Inspection and Code Enforcement. We appreciate your patience as we navigate through this exciting endeavor!
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Possible Increase in OSHA Enforcement
Source: National Association of Home Builders
There are strong signs that OSHA is increasing its enforcement actions on home building sites throughout the country-in both Federal and state plan jurisdictions. One of the main reasons is that new data shows the number of fatalities in residential construction increased by 37% compared to just a 3% increase in nonresidential construction in 2012, which is the most recent data available. OSHA has also instituted a number of local enforcement emphasis programs aimed at reducing numerous construction hazards, including those in residential. There are a few simple things that builders and trade contractors should do to improve safety on the jobsite and be prepared for OSHA inspections: * Conduct an assessment to identify and correct safety hazards on the jobsite; * Conduct appropriate safety training for employees; * Update records and make sure they are readily available; * Understand the OSHA inspection process (see link below to NAHB's OSHA Inspection Toolkit). Builders and trade contractors should pay particular attention to the following hazards, which are the top 10 most frequently cited Federal OSHA construction standards in 2013 (click on the link to access the OSHA standard): 1. 1926.501 - Duty to have fall protection 2. 19260.451 - General scaffold requirements 3. 1926.1053 - Ladders 4. 1926.503 - Fall protection training requirements 5. 1910.1200 - Hazard Communication 6. 1926.102 - Eye and face protection 7. 1926.100 - Head protection 8. 1926.453 - Aerial lifts 9. 1926.651 - Specific Excavation Requirements 10. 1926.20 - General safety and health provisionsIn regards to No. 9 above, there have been some recent questions by builders about OSHA's requirements for house foundations/basement excavations. For those parts of the country where basements are common, the area between the house foundation and basement excavations becomes a trench (by OSHA's definition) when constructing formwork, foundations, or walls. In 1995, OSHA issued a memo "Suspension of 29 CFR 1926.652 to House Foundation/Basement Excavations" whereby the agency altered the trenching/exaction requirements of the regulation as they apply to house construction, which is still in effect at the present time. This memo essentially requires house foundations to be benched 2 feet horizontal for every 5 feet vertical (for a diagram of what this looks like, see page 2 of NAHB's Trenching Safety Card) and the other conditions outlined in the memo exist. More information for OSHA's trenching and excavation requirements can also be found in NAHB's Trenching and Excavation Safety Handbook.Finally, there are additional resources to assist builders: * NAHB's Construction Safety & OSHA webpage, which contains compliance assistance information and safety toolkits here: www.nahb.org/safety; * NAHB's OSHA Inspection Toolkit that provides information on dealing with OSHA's stepped-up enforcement;
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Protect Yourself from OSHA Fines
LHBA has just added a new Builder Safety Resource to their website for easy training and safety documents. This is just another membership benefit, so be sure to check our all the resources this site has to offer!
When prompted to check out, enter safelhba
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Comprehensive Zoning Ordinance and Maps Draft Released
The City Planning Commission has released the July 2014 Public Hearing Draft of the Comprehensive Zoning Ordinance and Maps. These documents are posted on the CPC's website and should be delivered to the New Orleans Public Libraries by Monday, July 28. The City Planning Commission has tentatively scheduled public hearings for Tuesday, August 26th and Tuesday, September 9th, with a possible third hearing date to be determined. In addition to speaking at the public hearing, you may submit written comments. Further information on a deadline for written comments will be announced on the CPC website and via email once the public hearing schedule is finalized. Written comments may be sent to:
Email -
CPCinfo@nola.gov
U.S. Mail -
Executive Director Robert D. Rivers
City Planning Commission
1300 Perdido Street Suite 7W03
New Orleans, LA 70112
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Thank you to our builders and sponsors for a very successful Parade of Homes!
Despite a few springtime drizzles, the recent annual Parade of Homes presented by the Homebuilders Association of Greater New Orleans (HBAGNO) was one the best attended in recent memory. Newly constructed homes across Orleans, Jefferson, St. John, and Plaquemines Parish were kept full over both weekends of the Parade (May 31/June 1 and June 6 & 7), as eager attendees soaked up the latest trends in home design. While the housing market for historic homes in the city center has caused substantial price increases, attendance at the Parade is a strong indication that many potential home buyers are also considering custom built residences.
The homes were designed to exacting, modern standards, with state-of-the-art appliances and technology. Exteriors featured classic New Orleans front porches, and painted wood siding in light colors. Many interiors featured on-trend dark wood kitchens, bathrooms, and floors, giving even modest homes a regal appeal. Industrial lighting features were also found throughout the Parade, reflecting the tastes of younger homebuyers who may be relocating from trendy, downtown areas. Another theme across multiple homes was repurposing of antique or vintage materials - doors, kitchen islands or built-in shelving from reclaimed wood, or century-old brick used in exterior steps and patios. Homes were also built for long-term residence, with many featuring second-story laundry rooms and walk-in showers - small changes that make living more comfortable as homeowners age.
"We're thrilled at the continued strength of the local housing market," said Jon Luther, Executive Vice President of the Home Builders Association of Greater New Orleans. "Home building not only creates jobs, but is a strong indicator of a growing economy. We're thrilled to show off the amazing work done by our local builders."
The St. Jude Dream Home, featured on the Parade Route, has raised $961,500, to date, to support St. Jude's Medical Center. The winner will be drawn, live on FOX 8, on June 29th. Valued at more than $515,000, tickets are still available online at www.stjudedh.org/dhneworleans. The local Home Builders Association has further committed itself to charitable endeavors, and will be making a donation to Camp Challenge on July 12 at Children's Hospital. Camp Challenge offers a traditional summer camp experience to children with cancer, and their siblings, ages 5 to 14. Free for all campers, this year's local Camp Challenge will be held in late July.
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Thank you to everyone who came out to the
Wess Wyman Memorial Fishing Rodeo!
Door Prize Sponsors
Quality Home Repair of LA, LLC
Ronald L. Mills, Inc.
EnviroGreen Insulation
M&M Glass Company
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Delgado Foundation Receives Two $25,000 Gifts from Louisiana Contractors
The Louisiana State Licensing Board for Contractors presented two $25,000 gifts from the Contractor's Educational Trust Fund to the Delgado Community College Foundation on Tuesday, April 15, 2014. The funds will be used for educational purposes in the Delgado Business and Technology Division. The Louisiana State Licensing Board for Contractors supports Delgado's efforts to strengthen the construction industry workforce in all areas from design and construction management to delivery of projects.
Pictured with one of two $25,000 checks presented April 15, from left, architect/builder Ken Jones, Louisiana State Licensing Board for Contractors in Baton Rouge; New Orleans City Councilmember Jason Williams; former New Orleans City Councilmember Jacqueline Brechtel Clarkson; contractor/builder Peter Young,vice president, Louisiana Home Builders Association, and past president, Home Builders Association of Greater New Orleans; Delgado Interim Chancellor Debbie Lea; Dean Warren Puneky Jr., Delgado Business and Technology Division; Professor P. Victor Mirzai, head, Delgado Architectural/Design Construction Technology Department.
About Delgado Community College
Delgado is Louisiana's oldest and largest community college, and has the second-highest student enrollment among all higher education institutions in Louisiana. There are 10 Delgado Community College locations in the New Orleans region, including the soon-to-open Delgado Sidney Collier Site on Louisa Street-a brand-new, state-of-the-art facility offering transferrable college credits as well as a variety of technical and workforce-oriented programs. All Delgado locations are now accepting applications and registration for fall classes at www.dcc.edu.
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2014 Legislative Recap
Plumbing:
HB 1048 by Rep. Ponti was signed by the governor. The International codes for both commercial and residential plumbing are effective January 1, 2016. The review process starts October 1, 2014 and shall be completed by June 15, 2015.
Position: Lobby Support
Status: Signed by the Governor and now Act 836
Licensing:
HB 919 by Rep. Ponti permits any person or firm licensed for municipal and public works utility construction pursuant to the requirements of the State Licensing Board for Contractors to perform limited main-line utility construction on private property or undedicated rights-of-way or servitudes, but no work on any service lines or gas mains within that same area.
Position: Lobby Support
Status: Signed by the Governor and now Act 561
Settlement Providers/Title Attorney:
SB 426 by Sen. LaFleur creates an unfair trade practice cause of action against a seller who offers to real estate consumers a coupon, discount or incentive to use a particular provider of settlement services.
Position: Lobby Oppose
Status: Failed Senate Passage
Fraud:
HB 417 by Rep. Lopinto creates the crime of residential contractor fraud. HB 417 defines the fraud as the misappropriation or intentional taking of anything of value which belongs to another either without the consent of the other or by means of fraudulent conduct, practices, or representations by a person who has contracted or subcontracted to perform any home improvement or residential construction.
Position: Lobby Support
Status: Signed by the Governor and now Act 62
Underground Utilities:
HB 868 by Rep. Ponti makes changes to the LA Underground Utilities and Facilities Damage Prevention Law. HB 868 allows for a warning on first violations and allows for off-set markings.
Position: Lobby Support
Status: Signed by the Governor and now Act 203
Expropriation:
HB 656 by Rep. Miller prohibits the expropriation of mortgages.
Position: Lobby Support
Status: Signed by the Governor and now Act 632
Worker's Compensation:
HB 1190 by Rep. Gaines provides for the procedure for determining disputes and appeals of the medical director's decision. HB 1106 states that any request for authorization that is not specifically denied within the five business days as required in present law shall be authorized and paid by the payor.
Position: Lobby Oppose
Status: Never heard in House Labor
Remodeling/Home Improvement:
SB 627 by Sen. Murray provides that a home improvement contractor who is licensed pursuant and who meets certain criteria shall be exempt from the requirements of workers' compensation coverage.
Position: Lobby Oppose
Status: Failed House Labor
HB by Rep. Pugh requires contractors to offer third party backed warranties for elevation, re-elevation, or restoration work made necessary following a flood or a hurricane.
Position: Lobby Oppose
Status: Failed House Commerce
Real Estate Discrimination:
SB 233 by Sen. Broome prohibits discrimination in the sale or rental or to otherwise make unavailable or deny a dwelling to any buyer or renter because that person is or has been a victim of domestic violence.
Position: Lobby Oppose
Status: Failed House Floor
Landlord-Tenant:
SB 298 by Sen. Dorsey makes changes to landlord-tenant laws. Time is shortened for returning deposits, making repairs and mandates escrow account.
Position: Lobby Oppose
Status: Failed Senate Judiciary A
Elevators:
SB 602 by Sen. Nevers provides for the regulation and inspection of elevators.
Position: Lobby Oppose
Status: Turned into a study resolution, bill did not pass as law.
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 Economic Forecast for 2nd Half of 2014: Increasing Momentum, Reduced Headwinds Elliot Eisenberg, Ph.D.,
GraphsandLaughs, LLC
Despite GDP growth stalling in Q1 due to the Polar Vortex, slower inventory accumulation and mildly lower exports, the economic recovery remains intact. The anemic performance of the US economy from January through March was aberrant, and the incoming employment, manufacturing and consumer spending data all point to an economic pickup. GDP growth the rest of the year should average 3%, with growth in Q2 closer to 3.25% as the economy rebounds from the harsh winter. In addition, reduced fiscal drag from DC, increased hiring and spending by state and local governments, and increased corporate spending on plant and equipment suggest we are finally entering a period of faster growth.
That said, economically all is not well. Wage growth remains anemic and while the unemployment rate is 6.3%, down from 10%, the fall is largely due to a decline in the labor force participation rate. The ranks of the long-term unemployed remain elevated, along with the number of those working part-time because they can't find full time work. Add to that average overtime hours that are remarkably high and termination rates that are very low and what you have are employers very reluctant to hire. This situation cannot persist, and of late job creation numbers have been on the upswing. Therefore, net job creation will rise from 200,000/month, where it has been for the past year, to 220,000 or 225,000 by year end and unemployment will probably fall to 6.1%. I expect wage growth to start picking up steam in 2015.
The biggest drag on the economy is housing. After a promising first half of 2013, the housing market is, at best, flat. While rising interest rates and home prices, a lack of inventory and lots, shortages of materials and labor, and a lack of credit and first-time buyers play a part, weak household formation is the main culprit. After averaging over 1.2 million in the years prior to the Great Recession, household formations have been averaging 500,000 since the end of the recession. The good news - household formation will rise now that all eight million jobs lost during the recession have been finally made up. We are no longer making up lost ground. Because of this, new single-family construction activity in 2014 will reach 700,000, with multifamily adding 350,000, while existing home sales should be down slightly from last year.
As for inflation, it's benign. No matter how measured, there is no inflation to speak of in the US. Commodity prices will remain well-behaved given weak demand due to economic slowing in China and weak growth in Europe and the developing nations. Absent some sort of geopolitical crisis, energy prices will remain where they are thanks to record US oil production. As a result, expect tapering to end in November and for the Federal Reserve to begin raising short-term interest rates by mid-2015. However, long-term rates have bottomed and 10-yr Treasuries will end the year at about 3% as the economy steadily strengthens.
In short, the economy is improving and Q1 was a speed bump. Long term rates will rise, short-term rates will remain unchanged, and housing will limp into 2015, with prices rising slightly. Most critically, household formation will strengthen and corporate, state and local government spending will rise. Lastly, the likelihood of a recession during the next six months is virtually zero. Elliot Eisenberg, Ph.D. is President of GraphsandLaughs, LLC and can be reached at Elliot@graphsandlaughs.net. His daily 70 word economics and policy blog can be seen at www.econ70.com.
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Thank You to our E-News Sponsors!
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HBAGNO offers our members the opportunity to list homes for sale for FREE on the Consumers Page of the HBA website.
Click Here to list your new homes.
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 Quick Links & Resources
* Under Compliance, click on Employers' Workers' Compensation Coverage Verification |
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2014 Senior Officers of the Board
President, Brian Mills
Vice President, Roy Olsen
Treasurer, Floyd Simeon
Secretary, Mike LeCorgne
Immediate Past President, Scott Morse
2014 Board of Directors
Steve Albert
John Arms
Fernando Arriola
Stacy Blair
Nick Castjohn
Ric Darling
Charlie Fontenelle
Phil Hoffman
Jo Ann Kostik
Michael Kraft
Pierre "Peter" Lanaux
Ben Laws
Bruce Layburn
Frank Morse
Helmut Mundt
Lynda Nugent Smith
Rolf Parelius
Kimberly Rooney
Zach Tyson
Kirk Williamson
Steve Wobbema
Wes Wyman
Peter Young
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HBA Staff Contacts
Jon Luther, Executive Vice President
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Please contact Lauren at the HBA office with any pertinent industry-related issues and/or professional achievements you'd like to share with your association members.
Feature Articles in upcoming issues of sticks & bricks or HBA's printed publication, the homebuilder quarterly(HQ), are FREE opportunities for HBA members to market themselves to 1,000+ industry professionals.
Click Here for Details and Submitter Deadlines
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