Building Insight - January 2014

The NAHB International Builders’ Show® (IBS) is again en-hancing its education programs to meet the growing needs of building professionals. IBS is the housing industry’s largest single event, and this year it is being co-located with the Kitchen & Bath Industry Show (KBIS). The first annual Design & Con-struction Week™ will take place February 4-6 at the Las Vegas Convention Center and is expected to draw over 70,000 build-ers, remodelers, designers, developers and architects. There’s still time to register—visit BuildersShow.com today and sign up today!

2014 education enhancements focus not only on what attend-ees learn in terms of content, but also how this information is delivered. Attendees can expect a variety of new session formats, technology upgrades in many of the education rooms, interac-tive architectural and design plan reviews, and more hands-on demonstrations both on and off the show floor, all aimed at further improving the learning experience.

Check out the new and improved IBS educational lineup:

Building Knowledge Sessions RevampedMore than 100 sessions available to choose from featuring 80

+ new speakers providing fresh content, informative concepts and plenty of actionable items that attendees can implement immediately. Subject areas include sales, marketing, design, business management, technology, high performance building and more. New session formats include case studies, debates, demonstrations, individual speakers, lightning- rounds, town halls and even talk show formats

Spotlight SessionsFeature leading industry experts and discuss emerging trends

for the coming year including the latest in design, color and kitchen enhancements.

EXPECT MORE AT IBS 2014.The Tech HubWhere technology flourishes, the hub will be equipped with

advanced technology and will be fully wired so attendees can plug-in and participate in the sessions using their laptops and mobile devices for a complete interactive experience. Tech-heavy topics such as social media, online business management tools and mobile marketing will be covered in the Tech Hub.

Expansion of Exhibitor Floor ForumsBack by popular demand, attendees don’t have to leave the

Show floor for these educational opportunities. Exhibiting companies will offer NAHB-approved education sessions in their booths throughout the Show; these interactive forums will last between 20-60 minutes and qualify as continuing education for all those who hold NAHB professional designations.

High Performance Building ZoneNew for 2014 is the addition of a “technique demonstration

stage,” also known as the High Performance Building Zone. This area will feature top building science experts leading a series of live, interactive construction demonstrations showcasing the latest methods, tips and tricks used in high performance build-ing. Demonstrations will range from 19.2-inch and 24-inch on center framing techniques to advanced flashing and air sealing methods.

More Information-Packed Master SessionsThe number of Master sessions offered has increased from 3

to 5 and have been restructured from full-day programs to half days. Attendees can still expect these sessions to dig deeper into specific industry topics, but this change allows them to take advantage of more IBS activities each day.

Lumber & Building Material Sessions For the first time in recent history, IBS is offering content

specific for building material distributors and suppliers. Sessions will cover hot topics such as supplier services and OSHA crane regulations.

For more info, visit the official IBS site at BuildersShow.com.

EVP VIEWPOINT

PRESIDENT’S PERSPECTIVE EDUCATION PROGRAM POST

IBS FEBRUARY 4-6

HEALTH CARE REFORM4-5

BUILDING INSIGHT//WWW.BIAW.COM

Welcome to the New Year, what’s in store?

2014 Focus on Retention, Recruit-ing, Education and Advocacy

Gain a competitive edge in 2014

Expect more in 2014

Who We AreThe Building Industry Association of Wash-ington is the state’s largest trade association and represents over 8,000 member companies in the home building industry. Known as the “Champions of Affordable Housing,” BIAW is dedicated to ensuring and enhancing the vital-ity of the building Industry for the benefit of its members and the housing needs of citizens. 2014 Senior OfficersPresident Bob Johnson, CAPS, CGP Skagit/Island Counties Builders Association First Vice President Monty Smith, CAPS BIA of Whatcom County/ Skagit/Island Counties Builders Association Second Vice President Kevin KartakMBA of King & Snohomish Counties/ Skagit/Island Counties Builders Association/Master Builders Association Pierce Treasurer Dave Main MBA of King & Snohomish Counties Secretary Patrick Hayes Skagit/Island Counties Builders Association/MBA of King & Snohomish Counties Immediate Past President Audrey Borders BIA of Whatcom County/Skagit/Island Counties Builders Association/ BIAW StaffExecutive Vice PresidentArt Castle Administrative Services Director Jan Rohila Director of Insurance ProgramsFrank Romero Government Affairs Director Jan Himebaugh Building Insight questions/commentsCommunications and PR Director FaLeana Wech, CGP [email protected] Building Industry Association of WA111 21st Avenue SW Olympia, WA 98501 360-352-7800 • 800-228-4229 www.BIAW.com

// MEET YOUR SENIOR OFFICERS 6-7

// 65th LEGISLATIVE SESSION BEGINS 10-11

// LOCAL PRESIDENT INSTALLATIONS 9

// SEEN AROUND 13

// MARKET DATA 18-19

CONTENTS //3

JANUARY ‘14VOL. 24, ISSUE 1

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Take charge of your healthcare

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// LEINING ON OUR LEGISLATURE 16-17

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PRESIDENT

BUILDING INSIGHTwww.BIAW.com

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What a great night, November7, 2013, it was an honor and a privilege to have 10th District Representative Norma Smith install the Senior Offi-cers and swear me in as BIAW’s 2014 President, thank you Norma. It was also special to have family, friends and a great audience in attendance. We’re an association that is nearly 8000 members strong and on instal-lation night, only about 100 companies were represented. Since many of you couldn’t be there, I’d like to share with you what I spoke about to let you know where we have been, the struggles of the past five years, who brought us to the present and where we hope to go.

This association is built on the strength of its membership—our future success is dependent on each and every one of us. The past five years

have been very difficult for BIAW as an organization and many believed we would not survive given the number of serious challenges we faced. I am happy to report that as I take the helm in 2014—BIAW has survived and is on solid ground thanks to the hard work and dedica-tion of its many volunteer leaders and staff.

I’d especially like to thank the Presidents and Senior Officers of BIAW during these past few years for their commitment to seeing our association through these very difficult times. The seeds of change that were planted under Presidents LaPierre and Clarkson were cultivated by President Pat McBride and the Senior Officers. By the end of 2011, a new infrastructure was in place, but many still wondered if BIAW, which seemed destined to wither on the vine, would be able to recover. Under the leadership of President Kevin Patrick and Executive Vice President Art Castle—BIAW began its recovery and for the first time in a number of years, the R.O.I.I.® Select program had a positive projection and a new member benefit—the Building Industry Insurance Program (BiiP) had been created. 2013 President Audrey Borders contin-ued the good work and much was accomplished this past year. Most significantly, a settle-ment agreement, which we hope will bring closure to the Resources and Peak lawsuits, was negotiated. In addition, the R.O.I.I.® Select program received its largest refund percentage since the 2000-’01 plan year—quite an accomplishment given the program just two years earlier had looked as though it was going to fail. I am excited for 2014 and for the possibil-ities that exist in the New Year. I will build on what each President has accomplished during their time before me and use my knowledge and experience to ensure continued growth and achievements for our organization. Many thanks to those who have laid a solid foundation for the new BIAW and for the bright future we have to look forward to.

At one point during the evening, I mentioned that I was really torn about having the in-stallation occur on a Thursday evening since it is my bowling night. I’ve sponsored a bowling team for more than 30 years, longer than I’ve been involved at SICBA or BIAW and I got a small chuckle—the point was, I’m not a very good bowler, but have built a team and that team has taken the league championship 5 out of 20 years. We are all members of Team BIAW and as we continue to strive and work toward our common goals, BIAW will continue to be a strong association and take care of member needs as it should.

As a state association, we often lose sight of the fact that the state association is made up of local associations—our foundation is at the local association level. I want to ensure that we are doing everything we can to take care of our local association needs and that all local members are aware of the great programs offered through BIAW. This brings me to the first of our areas of focus in 2014.

Retention and RecruitingToday BIAW’s membership is 8000 members strong. In order for us to grow the association,

it is imperative that we focus on retaining our membership base as the economy improves. How are we going to accomplish this? By providing a robust suite of member benefits like the Building Industry Insurance Program (BiiP), access to a group health insurance plan, and positive returns from R.O.I.I.® Select. These existing member benefits, to name a few,

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continue to evolve and provide mem-bers with tangible returns for their membership investment. Recruiting should be every member’s responsi-bility, not just a select few. It is often said, if every member recruited just one new member, we could double in size. We know this isn’t realistic, but if maybe one in 10 did, along with the go-getters, we could be in positive territory by this time next year. My goal is that we end 2014, net positive even if it’s only by one.

EducationThis past August, BIAW’s Education

Program was recognized by the Na-tional Association of Home Builders as best in the country at the Associa-tion Leadership Institute. I am a firm believer in continuing education and hold two NAHB Professional Designa-tions, a Certified Aging in Place Spe-cialist (CAPS) and a Certified Green Professional (CGP). Education and continued professional development is a cornerstone of BIAW and adds to the credibility and professionalism of our organization.

Recently, NAHB surveyed designa-tion holders and found that revenues from members who held designa-tions far exceed those of non-desig-nation holder members and while I can’t say that if you get your desig-nation you will automatically make more money, I can say that industry professionals who attend confer-ences and classes to learn about trends in business management or building science are more likely to apply that knowledge to their compa-ny operations—and the difference is evidenced in the bottom line. A 2012 NAHB consumer survey shows that 83 percent of consumers also think that contractors with specialized designations are more professional and credible with 64 percent of those surveyed willing to pay a higher price to use one. I can speak from experi-ence since earning my designations

and encourage each of you to review our course offerings and consider earning a professional designation.

AdvocacyBIAW is the champion of affordable

housing and we work very hard to ensure the vitality of the building in-dustry through our legislative efforts. As your president, I have committed to being a visible presence during the legislative session to support the good work of BIAW’s advocacy team. I have appointed Dave Main as the Legislative Policy Committee Chair and know that he will do a fantastic job leading this group to accomplish the goals set forth in the upcoming session. Workgroups are convening to develop strategic goals in five areas key areas of focus for BIAW’s legis-lative and regulatory reform agenda. Please consider participating in a workgroup and sharing your knowl-edge and expertise—see page 10 for more information then contact Gov-ernment Affairs Director, Jan Hime-baugh for how you can get involved.

I look forward to the coming year and working with you to develop additional membership benefits and non-dues revenue programs, en-couraging continuing education and professional development, and cham-pioning housing affordability through our legislative efforts.

I appreciate the trust you’ve placed in me to lead this great organization, the Building Industry Association of Washington and I have no doubt we will be successful—thanks to your support and our dedicated leader-ship. I am grateful for the opportu-nity to serve and I look forward to a successful year ahead for our organi-zation as well as for each and every one of your businesses.

ASSOCIATE ADVISORY COUNCIL APPRECIATION AWARDS 2013//

During the Fall Board of Direc-tors meeting on November 8, 2013, the Associate Advisory Council presented its annual Associate Appreciation Awards. Each year local associations may nominate one Associate to receive the award. The Coun-cil reviews each application to ensure the nominee meets strict criteria including his/her commit-ment to the industry at the local, state and national levels, as well as community service.

Below you will find the 2013 winners. Congratulations to all.

Stephanie ArtinoBIA of Whatcom County

Heather BurgessOlympia Master Builders

Barry HarterSkagit/Island Counties Builders Association

Kevin KartakMaster Builders Association of King and Snohomish Counties

Jenna KrollBuilding Industry Association

of Clark County

Brent MarmonHBA of Kitsap County

Matt PriceHBA of Tri-Cities

Frank RandolphLower Columbia

Contractors Association

Yvonne TerzenbachSpokane Home Builders Association


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MEET YOUR

SENIOR OFFICERS

BIAW 2014 President Bob Johnson has been involved in the homebuilding industry for nearly 40 years. He got his start as a masonry sub-contractor in Colorado. When he moved back home to Washington state in 1982, he expanded the scope of his business operations, registered as a General Contractor and joined the SICBA shortly thereafter. Since becoming a member, Bob has been a tireless participant in the activi-ties of BIAW and his local association. He has held numerous leadership positions within BIAW, SICBA & NAHB, including service as 2002 and 2005 SICBA Presi-

dent and culminating in his election as BIAW President in 2014. Bob’s countless contributions to the homebuilding industry and his commit-ment to the cause of affordable housing earned him SICBA’s 2005 Builder of the Year Award and a BIAW Associate Advisory Council Award in 2007. A firm believer in continuing education and professional development, Bob has earned two prestigious NAHB Profession-al Designations including a CGP—Certi-fied Green Professional and a CAPS— Certified Aging in Place Specialist. Beyond his service to the homebuilding

FIRST VP

MONTY SMITH, CAPS // MC Smith Construction Bellingham, BIAWC/SICBA Monty Smith began his career in the building industry in 1978 in Cal-ifornia where he began working in carpentry and then obtained his contractor’s license. In

1989, the Smith family moved to Washington to start a remodeling busi-ness which specializes in restoration. Since joining BIAWC in 1993, Smith has served on a variety of committees at both BIAWC and BIAW, including two terms as president of BIAWC. He is also an NAHB director.

SECOND VP

KEVIN KARTAK // AAA Kartak Glass & Closet Western WA, multi-locations Kevin Kartak, President of AAA Kartak Glass & Closet, a longtime member of MBAKS, SICBA and MBA Pierce has been involved with BIAW for more than 25 years. During this

time, he has served in numerous leadership positions, including Secretary of MBAKS. An active recruiter, Kartak has achieved Grand Spike Status (1000-1499 Spike credits), with 1418.25 and was the re-cipient of the Top Spike Award for both BIAW and NAHB in 2007.

PRESIDENT

BOB JOHNSON, CAPS, CGP//Ward-Johnson Masonry & Tile Oak Harbor, SICBA

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TREASURER

DAVE MAIN // Creative Home Partners, LLC Enumclaw MBAKS/SICBA Dave Main has been building homes in the Northwest since 1981. A longtime member of MBAKS, he has served on numerous commit-tee and councils, culmi-nating in his election as their 2011 president. He currently serves as chair of BIAW’s LPC Committee and NAHB’s Housing Finance and Capital Markets Committee—which has been working with reg-ulators and lawmakers to restore the flow of credit to homebuilders.

We make a living by what we do, but we make a life by what we give.

—Winston Churchill

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SECRETARY

PATRICK HAYES // Superior Slabjacking, Inc. Stanwood SICBA/MBAKS Patrick Hayes, Principal at Superior Slabjacking, Inc. has been an active recruiter and served in many leadership roles at his local since be-coming joining SICBA nearly 10 years ago. In addition, he has served on the SBCC’s Energy Code TAG. In 2011 Hayes was the recipi-ent of BIAW’s Top Spike award. He has achieved Statesman Spike status (500-999 Spike Credits) with 513 total Spike credits.

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AUDREY BORDERS //Borders & Son Quality Roofing Bellingham BIAWC/SICBA Past President Audrey Borders, a Whatcom County area general contractor and owner of Borders and Son Quality Roofing, Inc. has been a leader in the homebuilding industry for nearly 25 years. She has served as chair of numerous committees; was the first woman president of BIAWC; founded BIAWC’s Built Green Program and in 2013 was elected BIAW President.

industry, Johnson is involved with the Oak Harbor Chamber of Com-merce and supports many community activities and public service projects such as Wounded Warriors in Action. Supporting the military is close to Bob’s heart. He is a decorated veteran having been awarded the Legion of Merit, the Bronze Star and the Purple Heart—to name just a few. In 2007, after 38 years of service to our country, Colonel Bob Johnson retired from the Army. Bob and his wife, Tobie, reside in Oak Harbor.

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// ART CASTLE

EXECUTIVE VICE PRESIDENT


2013 saw many of our Washington State housing markets improve. This, despite the growing shortage of building lots to meet market demand for new homes; the challenge of obtaining construction and development loans for new projects; and the variety of new environmental and regulato-ry rules.

2014 is an election year for the federal House of Representatives and one-third of the Senators, as well as our Washington House of Representa-tives and one-half of the State Senators. This will likely mean less contro-versy in Olympia during the legislative session and more of the same in Washington, D.C. Something that is affecting many is the so-called federal Affordable Care Act, also known as Obamacare. There could be many more

problems with its implementation in 2014, or the problems may get resolved—the outcome will have a lot to do determining which party picks up seats in the House and Senate.

This session, BIAW will again run our Impact Fee Deferral bill which passed both houses of our legislature with large majorities only to be vetoed by the Governor last May. We are hopeful that a modified bill will be successful and bring relief to our builders. There are sev-eral other bills we will introduce that, if enacted, would help improve the building lot supply issue as well as local government permitting—stay tuned for details. There is a strong possi-bility of a bipartisan transportation bill being passed, likely to be put to the public for a vote in November. A bill has been filed in the state house that would limit vesting rights–BIAW’s advocacy team is working hard to ensure that vesting rights are not compromised.

While the negative campaigns have already started, anticipate more partisan attacks on the Washington Senate Majority Coalition Caucus (MCC) in the months to come. The coalition now has a 26-23 vote margin, up from the 25-24 margin last year due to the election of Jan Angel in this fall’s special election. Senators Rodney Tom and Tim Sheldon will have strong Democratic party and independent expenditure efforts against them for being part of the MCC. Several other Republican senators will also face targeted challenges this election cycle.

During the 2013 elections California Hedge Fund Billionaire Tom Steyer contributed nearly a million dollars directly and indirectly in efforts against Jan Angel’s state senate race and in local elections in Whatcom County. Mr. Steyer has become a major Democratic and environ-mental contributor by way of his Next Gen super PAC. After helping to bankroll a Massachusetts Democrat Senate campaign in early 2013, he contributed $8 million in the Virginia Governor’s race and finished up the year by helping to make the battle for Washington’s 26th District state senate seat the most expensive legislative race in state history. He also funded a major national campaign opposing the Keystone XL pipeline which is ironic since he made much of his fortune in petroleum.

How much will Steyer and other Democratic billionaires pump into targeted races this year in Washington? And will Washington voters allow a California billionaire to buy seats in our legislature?

On other fronts, The new BIAW Insurance Program (BiiP) is continuing to grow and several new insurance products are expected this year. BIAW and BIAW MSC (BIAW’s for profit subsidi-ary) board voted to amend the BIAW MSC bylaws and it will begin managing the ROII program. BIAW’s Health Insurance program gained approval as a bona fide association health plan and a large employer under ERISA rules which allows us to continue to provide quality and affordable health insurance to our members. Also, BIAW is working toward settling the Resources and Peak lawsuits. The settlement agreement is anticipated to be presented to the court in January for preliminary approval, followed by a mailing to members and then a hearing—prior to the court finalizing the agreement.

We accomplished a lot in 2013 thanks to the hard work and dedication of our many volun-teer leaders and dedicated staff. As we enter 2014 we can be optimistic about housing and the industry as the economy stabilizes and we see improvements in many of our local markets – here’s to a successful and prosperous new year.

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CASTLE TALKS LID AT IBS

LOCAL PRESIDENTS TAKE OATH

If you are headed for the International Builders Show, don’t miss this education session featuring BIAW EVP, Art Castle on February 5 at 8:00 am in South 232: Construction Projects—The New Endangered Species?

Since 2009 there has been aggressive action taken by several federal agencies to develop new environmental policies, programs and strategies. Regulators are eyeing additional stormwater management rules for home builders as a way to keep runoff from hurting nearby water bodies, degrading water quality (the purview of the Clean Water Act) and aquatic habitat (watched over by the Endangered Species Act). These actions have resulted in an unprece-dented number of new and revamped environmental regulations addressing stormwater management, endangered species and critical habitat designation, clean air and climate change. For these regulators, a big solution is low- impact development (LID) devices such as rain gardens, pervious concrete and other systems that minimize the impact of land-use changes.

Join Castle and other panelists as they dis-cuss how builders and developers can ben-efit from utilizing Low Impact Development techniques in their projects. To see the full course description and add it to your show planner, visit BuildersShow.com.

Olympia Master Builders President John McKinlay raises his right hand as former Representative Gary Alexander delivers the president’s oath. 2001 BIAW President Bob Camp installs MBA Pierce member Laureen Skrivan as President during their annual installation event. SICBA member Thom Richter repeats the President’s oath given by BIAW President Bob Johnson, CAPS, CGP. HBA of Kitsap President-elect Judy Mentor Eagleson is sworn in by former HBA of Kitsap President Ron Perkerewicz.

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65th LEGISLATIVE

SESSION BEGINSEven though 2013 was an off-year election, there will be many new faces in Olympia. Only two were elected, the remaining 11 are appointees who will fill seats of resigning legislators. Eight have been identified at time of press, including Leon-ard Christian who will fill Rep. Larry Crouse’s (R-Spokane) seat. Appointees yet TBD are those who will take the place of Reps. Gary Alex-ander (R-Olympia), Jan Angel (R-Port Orchard) and Sen. Paull Shin (D-Mukilteo). It is widely speculated Rep. Marko Liias (D-Mulkiteo) will be appointed to fill Shin’s seat. This would result in another appointment occurring to fill Liias’ seat in the House.

NEW REPRESENTATIVES

DO YOU HAVE EXPERTISE IN ANY 0F THESE AREAS? The LSC and LPC have formed workgroups to become the in-formation and idea brain trust on five key issues that directly impact the industry. Workgroups will meet through a series of conference calls to develop strategic goals for BIAW’s overall legislative and regulatory reform agenda. Consider serving on a workgroup and sharing your knowledge and expertise. All members and local association staff are invited to partici-pate—email Jan Himebaugh, [email protected] for details.

MIA GREGERSON // 33RD DISTRICT D-SeaTacAppointed to fill Rep. Dave Upthegrove’s seat who was elected to the King County Council

DICK MURI // 28TH DISTRICT R-Steilcom Appointed to fill Senator Steve O’Ban’s seat who was appointed to fill the late Senator Mike Carrell’s seat

JUNE ROBINSON// 38TH DISTRICT D-Everett Appointed to fill Rep. John McCoy’s seat who replaced Senator Nick Harper’s seat when he resigned

TANA SENN // 41ST DISTRICT D-Mercer Island Appointed to fill Rep. Marcie Maxwell’s seat who resigned to take a position in the Inslee Administration

// JAN HIMEBAUGH

GOVERNMENT AFFAIRS DIRECTOR

While it seems mere minutes since the last session ended, it’s time for a new regular session to begin. Though 2013’s short interim was not a regular election year, there will be plenty of new faces in Olympia – nearly 10 percent of both the house and senate are newly elected or will have been appointed to serve.

BIAW’s legislative goals remain focused on enhancing the vitality of the building industry for the benefit of members and the housing needs of Washington State.

Key issues will include supporting a broad-based transportation funding package that would not only maintain Washington’s current roadways, but also construct and expand necessary roads throughout the state. It is necessary that along with any increased funding for transportation the

BUILDING CODES STORMWATER ISSUES

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NEW SENATORS

JAN ANGEL // 26TH DISTRICT R-Port Orchard Elected 2013

BRIAN DANSEL // 7TH DISTRICT R-Republic Elected 2013

JOHN MCCOY // 38TH DISTRICT D-Tulalip Appointed to fill vacancy left by the resignation of Senator Nick Harper

JAMIE PEDERSON // 43RD DISTRICT D-Seattle Appointed to fill Senator Ed Murray’s seat (now Mayor of Seattle)

BRADY WALKINSHAW // 43rd DISTRICT D-Seattle Appointed to fill Rep. Jamie Pedersen’s seat who replaced Senator Ed Murray (now Mayor of Seattle)

state needs to adopt serious reforms for transportation projects, so that more can be done with less. BIAW will continue to deliver this message to legislators as they continue to consider the merits of a transportation package.

The BIAW advocacy team has worked with legislators during the interim on impact fee deferrals. Last year, BIAW was successful in supporting this legislation: it passed both the House and the Senate before being vetoed by Inslee. BIAW met with the Governor’s staff to propose possible solutions to Inslee’s concerns as noted in his veto message.

Also, BIAW continues to address the lack of available land and look to streamline the process of making land build-able; exempting short plats from SEPA and extending short plat approvals to a minimum of at least 10 years, since many short plats have fallen out of approval since the economic downturn. BIAW continues to work to protect associa-tion health plans to keep members’ health care costs lower and promote reforms to the workers’ compensation system. BIAW is active and engaged at the State Building Code Council; there are needed reforms such as council makeup and code cycles that are important for the legislature to address.

In addition to advancing issues that will help Washington’s homebuilders, BIAW will also fight any legislation that negatively impacts members: a cap and trade program, low carbon fuel standards, mandated home warranties, unat-tainable water quality standards, narrowing Washington’s vesting laws, labor’s usual push to expand the definition of employee to include most subcontractors, and many more.

Fortunately legislators have indicated that it is their desire to be done in 60 days and not have multiple special ses-sions that drag on and on. This is particularly important because 2014 is a regular election year and legislators cannot raise or accept money during session. Any special session gives challengers more opportunity to fundraise. All indica-tions point to this session being actually short, March will show if this prediction is accurate.

GMA AND LAND USE WATER AVAILABILITY COST OF BUSINESS

Subscribe to the Lawmaker Review to receive a weekly email detailing BIAW’s ef-forts during session. Email [email protected] or call 800-228-4229 x 152.

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RECRUITING PAYS OFFNAHB’S Membership Madness campaign during the months of September and October drew attention and competition with the promise of triple spike credits and a free trip to the International Builders Show for recruiters and cash prizes to local associations with the highest percentages of new builder and associate members if they registered for a drive in either September or October. And the winners are:

BIAW’s addition to NAHB’s ‘Membership Madness’ campaign was an award of $1000 to the first place and $500 to the second place associations with the highest percentage of builder and associate net member increases between August 31 and October 31, 2013. Congratulations to first place Skagit/Island Counties Builders Association with 3.28% increase and second place finisher MBA of Pierce County with a 2.52% increase. Also finishing in the plus column: MBA of King & Snohomish Counties with 1.95%; BIA of What-com County with .95%; and HBA of Tri-Cities with .79% increase.

Membership Madness also contributed to some high producing Spikes through the end of October as the competition heats up for the coveted BIAW Top Spike to be awarded during the Winter Board of Directors meeting March 5th at the Red Lion Hotel in Olympia.

NEW TOTAL LOCAL MEMBERS SPIKE SPIKE COMPANY ASSOCIATION 11/30/13 CREDITSMyra Williams Baskets by Myra MBA of K-S 77 758.5Patrick Hayes Superior Slabjacking, Inc. SICBA 52 513.0Keegan Harris Harris Construction Central WA HBA 39 154.75Kevin Kartak AAA Kartak Glass and Closet MBA of K-S 32 1414.25Matt Willard Town & Country Homes Central WA HBA 30 321.50Beth Madden Madden Industrial Craftsmen MBA of K-S 26 905.25Paul McGraw Spacemaster Const. & Remodeling BIA of Clark Co. 25 100.5Bob Smith Advance Insurance Solutions MBA of K-S 25 1329.0Leonard Terzenbach Bell-Anderson Insurance Spokane HBA 20 1333.0Dennis Poppe Builders Insurance Group MBA of K-S 18 937.25Joseph Leedom Key Investment Services MBA of K-S 17 32.00Adam Zimmerman Summit Asset Strategies MBA of K-S 15 349.50John McKinlay Olympia Overhead Doors Olympia Master Builders 14 70.00Kurt Wilson SoundBuilt Northwest MBA of Pierce Co. 14 183.50Steve Cory Commercial Brokers Association MBA of K-S 13 471.0Sherry Schwab HCS Construction Services Co. MBA of K-S 13 1147.50Jayson Buechler Housing Capital Co. MBA of K-S 12 575.25Terry Gillespie Sound Construction San Juan BA 12 58.50Scott Nolan Four Leaf Carpet Cleaning Olympia Master Builders 11 77.0Dustin Lindelof BEK Construction Central WA HBA 10 10.0Ott Gaither Gaither Homes, LLC BIA of Clark Co. 9 80.0Garth Trimble KAYU-TV Spokane HBA 9 320.25

SICBA takes first place

MBA Pierce takes second

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LOCAL ASSOCIATION HAPPENINGS // Members of MBA Pierce lend a helping hand during the 27th annual Festival of Trees. The event raises money to support young patients at the Mary Bridge Children’s Hospital & Health Center. North Peninsula Builders Association members get down and dirty installing landscaping for the Homes for our Troops pro-ject. SICBA Past President Gary Wray waits patiently for his pie in the face during SICBA’s carnival-themed event to raise money for their education scholarship fund.

LONGTIME BIAW INSTRUCTOR SHELVES BOOKS FOR WHEELSIt all started on April 6, 2001 when Cary Butler, CAPS, CGR taught

his first Customer Service class. Quickly becoming a popular in-structor, Butler also served as BIAW’s Education Chair in 2007, was 2012 BIAW Remodeler of the Year and became a mentor to many of his 1500 students over the past 13+ years. Butler taught 236 classes for BIAW and became a sought-after instructor in Oregon, Alaska, California and Nevada.

Beginning in 2014, he’s decided to shelve his books and will teach less in order to travel more with his lovely wife Linda in their new RV. However, he’s promised he will still teach on special occasions and as his schedule allows…he will be missed.

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Cary Butler (center) teaches the Business Management for Building Professionals class at the Olympia Master Builders on December 5, 2013.

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CONGRATULATIONS!BIAW would like to congratulate Joseph Irons, CAPS, CGR, CGP, GMB, GMR, Irons Brothers Construction, who

has become the first individual in Washington to earn the NAHB Graduate Master Remodeler (GMR)

Designation. The GMR is the master level of the Certi-fied Graduate Remodeler (CGR) designation. Thank you Joseph for showing your commitment to educational excellence by earning the prestigious GMR.

EDUCATION PROGRAM POSTCOMPETIVE EDGEGAIN A

// AMANDA FIELDS

EDUCATION PROGRAM MANAGER

In today’s evolving market, it is more important than ever that building industry professionals maintain their edge. Like any other profession, a changing market can translate into fiercer compe-tition for your business. Earning an NAHB Des-ignation from the BIAW Education Program can be a great way to distinguish yourself—and your company. This March, resolve to take advantage of National Designation Month and the opportunity to advance your industry knowledge and skills.

Having a designation tells clients that you have honed your business skills and have superior training, hands-on experience and in-depth knowledge of your profession. Designation holders can also take advantage of valuable networking opportunities during their enrollment, working closely with expert instructors and other professionals within their field and outside their specific areas of expertise. Additionally, many courses qualify for continuing education credits for professional certifications and licenses. As part of National Designation Month public relations efforts, the National Association of Home Builders (NAHB) educates consumers about the value of select-ing a professional with a designation, so your hard work will mean even more when it comes marketing yourself and your business.

During March, BIAW and local home building associations are en-couraging continuing education and recognizing designation holders. There are more than 24 classes scheduled during the month and you can take advantage of special pricing for classes, if you’ve been consid-ering a designation, March is a great time to make it happen! Take a look at the Education calendar or visit BIAW.com for a full list of course offerings and register online or give me a call at 800.228.4229 x114.

BIAW EDUCATION SCHEDULEJANUARY16 ....Haz. Com. (HCS)/Globally Harmonized Sys. (GHS) Skagit/Island Counties Builders Asssoc.21 ......WA Energy Code Changes/High Perf. Res. Const. BIA of Whatcom County28 ............................. Effective Marketing for Contractors Skagit/Island Counties Builders Asssoc.29 ...................................Builder Assesment Review (BAR) MBA of King & Snohomish Counties29 .....Certified Erosion and Sediment Control Lead (CESCL) MBA of Pierce County29 ...Professional Remodeler Experience Profile (PREP) MBA of King & Snohomish Counties31 ........................................................ CESCL Recertification MBA of Pierce CountyFEBRUARY4 .........................................................................................CESCL BIA of Whatcom County6 ........................................................... CESCL Recertification BIA of Whatcom County13 ..................................L & I Compliance Safety Training MBA of King & Snohomish Counties19 ......................................................................................CESCL BIA of Clark County19 ....................Ductless Heat Pumps v. Other HVAC Sys. Olympia Master Builders21 ........................................................ CESCL Recertification BIA of Clark County25 ...Indoor Air Qlty. Energy Svs, Moisture Ctrl./Health Olympia Master Builders28 ....................Estimating for Builders and Remodelors MBA of Pierce CountyMARCH11 ..................................................... Financial Management Olympia Master Builders14 ...Mastering the New WSU UA Alternative Worksheet BIA of Whatcom County12 .......................................................................................... BAR MBA of Pierce County12 ............CAPS 1 Mktg. & Communications Strategies Spokane HBA12 ............Certified New Home Sale Professional (CSP) MBA of King & Snohomish Counties12 .................Green Building for Building Professionals BIA of Clark County12 ........................................................................................ PREP MBA of Pierce County13 ....................CAPS 2 Design/Build Solutions for A-I-P Spokane HBA13 .........................................................................Design/Build MBA of Pierce County14 .... Business Management for Building Professionals Spokane HBA19 .............CAPS 1 Mktg & Communications Strategies HBA of Tri-Cities19 ......................................................................................CESCL Olympia Master Builders20 ....................CAPS 2 Design/Build Solutions for A-I-P HBA of Tri-Cities20 .....................................................Universal Design/Build MBA of Pierce County21 .... Business Management for Building Professionals HBA of Tri-Cities21 ........................................................ CESCL Recertification Olympia Master Builders

Joseph Irons, CAPS, CGR, CGP, GMB, GMR

15


NEW YEAR BRINGS CHANGES TO PLANS, POLICIESHEALTHCARETAKE CHARGE OF YOUR

// WILL COMPTON

CAPITAL BENEFIT SERVICES Guest Columnist

As everyone knows by now, the implementa-tion of the Affordable Care Act (ACA) begins in earnest on Jan. 1, 2014. While there have been concerns on a variety of issues and mandates surrounding implementation of the ACA up to this point, as we head into the New Year, there are indeed more big changes on the way.

The most significant change for most people is the enforcement of the Individual Mandate or the requirement to purchase and maintain insur-ance starting in 2014. While you do have several options to purchase insurance, many consumers

have faced disruptions in their current coverage or have had difficul-ties in enrolling in a new plan. Enforcement measures may include having to pay a tax penalty if you go without insurance for more than 3 months. Now more than ever, it is critical for consumers to become more knowledgeable about their insurance plans and take ownership. Resolve to take charge of your health care in 2014 and arm yourself with a better understanding of your plan and benefits so you will be able to more effectively manage your health care dollars given the ever present cost increases, changes to insurance plans and new mandates that will take effect during the year.

If you have concerns about the changing landscape of health care, rest assured knowing BIAW’s membership continues to have access to tools and resources from their partners in health insurance - the BIAW Health Insurance Trust, administered by Capital Benefit Services. This member benefit affords you access to industry professionals who have been on the forefront of health care reform. The team at BIAW Health Insurance Trust can provide guidance to employers of any size and help you navigate through this changing environment.

As the health insurance industry continues to evolve, the BIAW Health Insurance Trust will be there to provide BIAW members and their em-ployee’s access to Washington’s most competitive and comprehensive association health plan. Get involved with your health care and take ownership of the changes coming in 2014 by utilizing the services of your partners in health care at BIAW Health Insurance Trust.

Get answers to your health insurance questions by contacting me at Capital Benefit Services at 800-545-7011, ext. 1237; by email at [email protected]; or, visit online at www.CapitalBenefit-Services.com.

25 .......................................................................................... BAR Olympia Master Builders25 ................................................................................ HCS/GHS BIA of Whatcom County25 ........................................................................................ PREP Olympia Master Builders26 .............CAPS 1 Mktg & Communications Strategies MBA of Pierce County26 ....................................... Construction Contracts & Law Olympia Master Builders27 .....................CAPS 2 Design/Build Solutions for A-I-P MBA of Pierce County28 ........... Building Tech./Structure & Exterior Finishes MBA of King & Snohomish Counties28 .... Business Management for Building Professionals MBA of Pierce CountyAPRIL2 ..........................................................................................CESCL MBA of King & Snohomish Counties3 ............................................................................... Scheduling Olympia Master Builders4 ........................................................... CESCL Recertification MBA of King & Snohomish Counties8 .........Construction Wars: The Contractor Strikes Back BIA of Whatcom County10 ....................................Business Accounting & Job Cost MBA of Pierce County10 ......Construction Wars: The Contractor Strikes Back Central Washington HBA17 ..................Green Building for Building Professionals HBA of Tri-Cities23 ..................................L & I Compliance Safety Training Skagit/Island Counties Builders Asssoc.MAY6 ......How to Survive and Succeed as a Subcontractor! BIA of Whatcom County6 .............................................................Project Management MBA of King & Snohomish Counties7 ..........................................................................................CESCL BIA of Clark County7 .......................................... Construction Contracts & Law MBA of Pierce County9 ........................................................... CESCL Recertification BIA of Clark County14 .............CAPS 1 Mktg & Communications Strategies Olympia Master Builders15 ....................CAPS 2 Design/Build Solutions for A-I-P Olympia Master Builders16 .......................................................................................... BAR BIA of Clark County16 ..Business Management for Building Professionals Olympia Master Builders16 ........................................................................................ PREP BIA of Clark County21 .................................................................................OSHA 10 BIA of Clark County22 ......Construction Wars: The Contractor Strikes Back MBA of Pierce County22 ...How to Survive and Succeed as a Subcontractor! MBA of Pierce County29 ....................................... Construction Contracts & Law HBA of Tri-Cities

For the entire 2014 Education Schedule click on Education under the BIAW Programs tab at www.BIAW.com.


16

// SETH MILLSTEIN

LEGAL COMMITTEE

CONTRACTOR AS DEFINED BY rcw.18.27.10 (1)

“Contractor” includes any person, firm, corpora-tion, or other entity who or which, in the pur-suit of an independent business undertakes to, or offers to undertake, or submits a bid to, construct, alter, repair, add to, subtract from, im-prove, develop, move, wreck, or demolish any building, highway, road, railroad, excavation or other structure, project, development, or im-provement attached to real estate or to do any part thereof including the installation of car-peting or other floor covering, the erection of scaffolding or other structures or works in con-nection therewith, the installation or repair of roofing or siding, performing tree removal ser-vices, or cabinet or similar installation; or, who, to do similar work upon his or her own property, employs members of more than one trade upon a single job or project or under a single build-ing permit except as otherwise provided in this chapter. “Contractor” also includes a consultant acting as a general contractor. “Contractor” also includes any person, firm, corporation, or other entity covered by this subsection, whether or not registered as required under this chapter or who are otherwise required to be registered or licensed by law, who offer to sell their prop-erty without occupying or using the structures, projects, developments, or improvements for more than one year from the date the structure, project, development, or improvement was sub-stantially completed or abandoned.

A SIMPLE CHANGE TO RCW 18.27.010 COULD GO A LONG WAYLIENING ON OUR LEGISLATURESeth Millstein is a lawyer at Pillar Law PLLC, a firm representing contractors, suppliers and other building trade professionals.

It should be an easy question: “Who is a con-tractor in Washington?”

If you asked that question to the next person you passed on the street, they might run away. Or they might call security. Or they might answer your question with another question: “the guy who fixed my roof last week?”

Is that the right answer? This article offers a perfectly solid answer: it depends.

At the last BIAW Legal Committee meeting on Nov. 7 in SeaTac, we covered the topic of “Who is a contractor?” but we took it from a different angle. We looked at the definition of “contrac-tor” under the Contractor Registration Act, RCW 18.27.010. This article is a follow-up to that discussion. It seemed a timely conversation as the next day I was getting ready to defend a summary judgment motion scheduled to take place in King County.

Here is a recap of the facts:I represented a contractor who did not obtain a signed Notice to

Customer (RCW 18.27.114) from his residential client prior to starting work on a large-scale new construction project in Seattle. We looked at the definition of contractor under RCW 18.27.010(1) which states in a nutshell (but after a semicolon) that a contractor is also some-one “…who to do similar work upon his or her own property, employs members of more than one trade upon a single job or project or under a single building permit except as otherwise provided in this chapter.”

I argued that, in my case, the contractor may not be required to provide the Notice to Customer because the owner had admitted to employing a handful of other contractors to work on the project. Such activity might allow my client, who also recorded a lien, to fall under an exception to the requirement that all contractors must present and obtain a signed Notice to Customer before starting work. I argued that the exception in 18.27.114(5) should apply, since it exempts contractors from providing the Notice to Customer to other “contractors.” I introduced a few other arguments as well, under RCW 18.27.114, about the signature requirement, and we discussed briefly one published case from Division III that addresses this topic.

The next day the judge heard the owner’s motion for summary judgment. He really took the time to review the materials; he had a lot of key dates memorized and he never looked at his notes, which was impressive considering there were also issues about the first and last day of work, versus the date the lien was recorded, and other specific dates. At the end of oral argument, he smiled. He explained

17


that he had hired a number of con-tractors when doing work to remodel a beach house and he didn’t think that made him a contractor. Then he asked me point-blank how I thought he could ignore the Notice to Customer signature requirement. I went back and restated my arguments that by definition – even though the judge did not have to go out and get registered as a contractor – he was acting as a contractor, at least in the way the statute presently reads. The judge again smiled and then brought up the point BIAW Contract Attorney, Julie Nichols had mentioned the day before at BIAW’s Legal Committee Meeting: the owner in this case was not hiring other contractors in pursuit of an in-dependent business. I responded that the statute was simply not clear about whether that factor is required. The part about “independent business” is on the other side of the semico-lon, the way the statute is presently written. If the legislature wanted to make it clear, it could easily tighten up the statute, but it has not. The judge smiled for a third time and politely disagreed and ruled that my client’s lien was improper because he did not have a signed Notice to Customer on file.

In the same case, the owner also reported my client to the Department Labor & Industries. The Department inspector promptly fined my client for not having a signed Notice to Customer on file. We appealed the infraction and requested an admin-istrative hearing on the same issue and received a written result several weeks later. The Administrative Law Judge arrived at the same conclusion as the King County Judge, though her reasoning was different, she upheld the infraction.

Where does this leave contractors, especially when the statute is not ter-rifically clear? The easy answer is this -- don’t leave anything to chance. Ev-ery contractor should simply hand the

Notice to Customer to the client and stay away from turning a single screw until he or she has a signed copy of the Notice to Customer in hand and be prepared to present a copy to the Department of L&I should the need arise. The Notice to Customer should be kept on file for a minimum of three years.

Then, what happens if an honest builder jumps the gun a bit and starts work on a project without the signed Notice to Customer? In the case above, we argued that the owner was part of the problem, stating to the contractor “we don’t need to sign any-thing.” Most builders would hopefully drive away and find other work; but life is not always that simple. In our case, the contractor and the owner were relatives, so each started out with a good deal of implicit trust -- signatures seemed too formal and a handshake seemed appropriate given their relationship. As work and time progressed, trust eroded, my liened and the rest is history.

Perhaps I’m just stubborn; I still think that the definition of a “contrac-tor” in RCW 18.27.010 is unclear. I still think Division I could come to the conclusion that a residential owner who employs more than one trade is indeed acting as a contractor, by definition. The court could find that this type of owner is not entitled to the protection afforded a typical residential owner. By hiring more than one trade, the owner is acting as his own general contractor, presumably to save costs and avoid markup. That means he or she is also presumed to have a certain degree of knowledge. This type of owner is not the same as the owner RCW 18.27.114 was drafted to protect.

Would I make the same argument again? I’ll offer up a solid response: it depends. There is a difference be-tween recording a lien and pushing all the way through a lawsuit as in this case, right up to the brink of a jury

trial before the case was ultimately settled.

Where does this leave contractors and lawyers in Washington? It brings us to my “statutory” holiday wish list. The Legislature could clear up this question in 2014. If I am wrong, and the Legislature truly intended to protect owners contracting with other contractors, the ambiguity in the definition of “contractor” should be clarified. The semicolon should be changed to a period, and the term “independent business” should clearly transfer through. If that happens and the Legislature acts, the next time a good intentioned contractor comes to the office with a similar problem, we will know exactly what to do -- stay away from the lien and fight only about the contract. Until that time, I still might recommend a lien, but know the odds continue to be stacked against the contractor.

Here’s to a safe and successful 2014.

More and more commonly used drugs are now available in generic form with the same active ingre-dients at a fraction of the cost. Be a smart health care consumer; always ask your doctor “Is there a generic equivalent?” and know that even when your doctor writes a prescription for a brand-name drug, your pharmacist can fill your prescription with a generic equiv-alent, as long as the doctor has not checked the “dispense as writ-ten” box on the prescription. Even common conditions such as dia-betes, high cholesterol, and high blood pressure can be controlled through generic prescriptions.

Tip of the Month

Your Partner in Health Care


18

BUILDING PERMITSWA

HOUSING MARKETS CONTINUE CLIMB BACK TO NORMALKennewick and Wenatchee are included in the 56 out of the approximately 350 metro areas nationwide returned to or exceeded their last normal levels of economic and housing activity, according to the Nation-al Association of Home Builders/First American Leading Markets Index (LMI), released on January 7. This represents a net gain of two from the previous month. The index’s nationwide score of .86 indicates that, based on current permits, prices and employment data, the nationwide average is running at 86 percent of normal economic and housing activity.

The LMI was launched in October and shifts

SINGLE MULTI SEPT. YTD SEPT. YTD FAM. FAM. 2013 2013 2012 2012

BENTON 46 13 59 897 119 1,079CHELAN 19 0 19 142 18 95CLALLAM 14 0 14 117 11 88CLARK 128 135 263 2,286 192 1067COWLITZ 13 0 13 79 6 77DOUGLAS 16 0 16 98 13 58FRANKLIN 31 11 42 515 59 620GARFIELD 0 0 0 0 0 2GR. HARBOR 5 0 5 47 5 53ISLAND 14 0 14 127 9 105JEFFERSON 7 0 7 65 2 48KING 268 1,012 1,280 8,208 775 8,291KITSAP 25 0 25 344 66 354KITTITAS 15 0 15 159 15 100LEWIS 5 0 5 77 7 80MASON 5 0 5 84 7 90OKANOGAN 9 0 9 76 7 72PEND OR. 0 0 0 1 0 2PIERCE 132 18 150 2,233 164 1,822SAN JUAN 5 0 5 68 5 72SKAGIT 24 0 24 204 23 169SKAMANIA 5 0 5 25 1 20SNOHOMISH 123 217 340 3,395 486 2,754SPOKANE 63 0 63 935 76 649STEVENS 0 0 0 3 0 0THURSTON 53 0 53 548 82 569WALLA WALLA 5 5 10 119 5 36WHATCOM 28 2 30 511 33 260WHITMAN 6 18 24 313 193 227YAKIMA 9 0 9 91 6 86WA STATE 1,073 1,431 2,504 21,767 2,385 18,945

US CENSUS BUREAU STATISTICS

the focus from identifying markets that have recently begun to recover, which was the aim of a previous gauge known as the Improving Markets Index, to identifying those areas that are now approaching and

exceeding their previous normal levels of economic and housing activity. More than 350 metro areas including Spokane, Seattle, Bellingham, Yakima, Olympia, Mount Vernon, Bremerton and Longview are scored by

NAHB/FIRST AMERICAN LEADING MARKET INDEX - JAN 2014 & DEC 2013Rank METRO AREA Overall Permits Prices Employment JAN DEC JAN DEC JAN DEC JAN DEC JAN DEC 40 36 Kennewick 1.04 1.05 .88 .91 1.29 1.29 .95 .94 53 53 Wenatchee 1.00 1.00 .63 .64 1.44 1.44 .94 .94 74 77 Spokane .97 .97 .64 .64 1.36 1.35 .93 .93 94 100 Seattle .94 .93 .58 .58 1.30 1.28 .93 .93 112 111 Bellingham .91 .91 .28 .28 1.55 1.54 .91 .91 158 147 Yakima .86 .87 .40 .42 1.26 1.26 .93 .93 172 163 Olympia .85 .85 .37 .39 1.29 1.29 .90 .90 180 182 Mt. Vernon .84 .81 .40 .40 1.21 1.20 .91 .91 185 185 Bremerton .84 .81 .33 .34 1.29 1.28 .90 .90 250 245 Longview .79 .79 .30 .32 1.14 1.14 .92 .92


A

SINGLE MULTI OCT. YTD OCT. YTD FAM. FAM. 2013 2013 2012 2012

BENTON 55 19 74 971 113 1,192CHELAN 13 0 13 155 27 122CLALLAM 16 0 16 133 9 100CLARK 125 65 190 2,470 138 1,206COWLITZ 12 0 12 93 8 85DOUGLAS 10 0 10 108 11 69FRANKLIN 35 14 49 564 65 685GARFIELD 0 0 0 0 0 2GR. HARBOR 7 0 7 54 6 59ISLAND 15 0 15 142 8 113JEFFERSON 7 0 7 72 7 55KING 387 433 820 8,933 1,137 3,445KITSAP 43 0 43 387 34 388KITTITAS 25 0 25 184 15 115LEWIS 8 0 8 86 11 91MASON 13 0 13 97 15 105OKANOGAN 10 0 10 85 12 84PEND OR. 0 0 0 1 1 3PIERCE 161 141 302 2,535 203 2,026SAN JUAN 7 0 7 75 5 77SKAGIT 23 0 23 227 24 193SKAMANIA 2 0 2 27 4 24SNOHOMISH 157 316 473 3,864 290 3,128SPOKANE 103 8 111 1,046 73 721STEVENS 0 0 0 3 0 0THURSTON 66 260 326 874 65 634WALLA WALLA 4 0 4 118 2 38WHATCOM 29 81 110 621 40 300WHITMAN 7 48 55 344 21 248YAKIMA 10 0 10 101 13 99WA STATE 1,350 1,385 2,735 24,370 2,357 21,390

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Visit NAHB’s EyeOn-Housing.org for more discussion on econom-ics and housing policy.

Only counties reported are represented in state totals. Permit data is most current available as of press time. For a complete listing of current and archived building permits, click on Online Resources at BIAW.com.

The information provided is published by the Northwest Multiple Listing Service (NWMLS), it covers 21 counties in the state of Washington and is headquartered in Kirkland.

NWMLS STATISTICAL SUMMARY BY COUNTIES MARKET ACTIVITY SUMMARY - DEC. 2013

SF HOMES PENDING MONTHS & CONDOS LISTINGS SALES CLOSED SALES SUPPLY New Total Number Number Average Median Listings Active Pending Closings Price Price King 1,438 4,050 1,965 2,305 $459,091 $375,900 2.06 Snohomish 660 2,172 835 871 315,501 290,000 2.60 Pierce 774 3,052 901 901 230,377 205,000 3.39 Kitsap 221 1,187 256 251 292,619 244,000 4.64 Mason 70 571 59 68 173,486 147,750 9.68 Skagit 105 627 132 154 251,689 230,500 4.75 Grays Harbor 82 661 72 67 129,885 129,900 9.18 Lewis 79 603 73 64 126,736 112,500 8.26 Cowlitz 56 379 70 76 156,895 145,000 5.41 Grant 53 418 55 54 166,555 158,500 7.60 Thurston 240 1,062 271 279 234,184 224,950 3.92 San Juan 14 303 19 18 582,833 439,500 15.95 Island 75 564 90 112 303,056 248,000 6.27 Kittitas 40 324 45 52 269,323 240,000 7.20 Jefferson 24 328 31 38 276,766 292,000 10.58 Okanogan 26 376 24 34 194,519 150,000 15.67 Whatcom 165 1,108 162 201 270,573 255,000 6.84 Clark 24 175 35 30 280,969 239,000 5.00 Pacific 29 321 31 28 132,196 104,000 10.35 Ferry 5 65 3 0 0 0 65.00 Clallam 66 309 36 39 200,033 165,000 8.58 Others 87 559 61 68 219,862 222,250 9.16 MLS TOTAL 4,333 19,214 5,224 5,710 322,252 275,000 3.68

NWMLS Four-County Puget Sound Region Pending Sales, SF and Condo King, Snohomish, Pierce and Kitsap Counties Jan Feb Mar Apr May Jun Jul Aug Sept Oct Nov Dec Yearly 2006 5275 6032 8174 7651 8411 8094 7121 7692 6216 6403 5292 4346 80707 2007 4869 6239 7192 6974 7311 6876 6371 5580 4153 4447 3896 2975 66883 2008 3291 4167 4520 4624 4526 4765 4580 4584 4445 3346 2841 2432 48121 2009 3250 3407 4262 5372 5498 5963 5551 5764 5825 5702 3829 3440 57863 2010 4381 5211 6821 7368 4058 4239 4306 4520 4350 4376 3938 3474 57042 2011 4272 4767 6049 5732 5963 5868 5657 5944 5299 5384 4814 4197 63946 2012 4921 6069 7386 7015 7295 6733 6489 6341 5871 6453 5188 4181 73942 2013 5548 6095 7400 7462 7743 7374 7264 6916 5951 6222 5083 3957 77015

HOME SALESNORTHWEST MULTIPLE LISTING SERVICE

taking their average permit, price and employment levels for the past 12 months and dividing each by their annual average over the last period of normal growth. For single-family per-mits and home prices, 2000-2003 is used as the last normal period, and for employment, 2007 is the base comparison. The three components are then averaged to provide an overall score for each market; a nation-al score is calculated based on national measures of the three metrics. An index value above one indicates that a market has advanced beyond its pre-vious normal level of economic activity.

Editor’s Note: In calculating the LMI, NAHB

utilizes employment data from the Bureau of Labor Statistics, house price appreciation data from Freddie Mac and single-fami-ly housing permits from the U.S. Census Bureau. The LMI is published on the fourth


B

WA

A

B

working day of each month, unless that day falls on a Friday—in which case, it is released on the following Monday.For historical data, go to nahb.org/lmi.

Building Industry Association of Washington111 21st Avenue SW • Olympia, WA 98501360-352-7800 • Fax: 360-352-7801800-228-4229 • BIAW.com

PresortedStandard

U.S. PostagePAID

Olympia, WAPermit No. 692

SAVE THE DATE for FREE CONTRACTOR

TRAINING DAYS

Each year, the Department of Labor & In-dustries organizes a free, daylong contrac-tor training event that provides business owners and employees with valuable information.

Did you know that BIAW staff and Educa-tion Program Instructors teach several of the more than 30 classes offered at the Contractor Training Days?

Bidding, Estimating and the Bottom Line Joe Ratto, J.A. Ratto Builder

Preparing Contracts and WarrantiesContracts for General Contractors

Common Issues for General Contractors Larry Linville, Linville Law Firm PLLC

Hiring and Independent Contractor/Prime Contractor Liability

EPA/Commerce Lead Paint Rules Overview Kris Alberti, Northwest Independent

Contractors Association

Surviving as a Subcontractor Managing the Difficult Customer

Common Issues for General Contractors Sage Linn, Impact Law Group PLLC

Protecting Your Business and Your Customers Top 10 Things that Can Sink Small Business Brett Hill, Ahlers & Cressman PLLC

Green Building Effective Marketing for Contractors

Jan Rohila, BIAW Staff

Don’t miss out on this great FREE oppor-tunity to learn more about topics which include safety, managing your claims to control your workers’ compensation costs, public works contracting, business plan-ning, risk management, marketing and more.

For more information or to register, visit: http://www.lni.wa.gov/TradesLicensing/Contractors/Workshops/Contractor/ or con-tact Shari Purves-Reiter, L&I Outreach and Education Manager at 360-902-4733.

February 7 ...............................L&I, Tumwater

March 28 .............................Bellingham Tech

May 9 .............................................Renton Tech

June TBD .............................Yakima Valley CC and/or Pierce CC, Lakewood

Contractor Training Days Schedule

July TBD ...............................Yakima Valley CC and/or Pierce CC, Lakewood

September 12 ............................ Edmonds CC

October 24 ...................................Spokane CC

December 5 .................................Renton Tech

What would you think if you could get a rebate for your loyalty to many of the nation’s leading housing industry manufacturers?

Well, now you can!

For more information and to register, visit:

www.HBArebates.com

Build a house.

Get cash.

BIAW Member Rebate Program

http://www.biaw.com/

http://www.biaw.com

https://twitter.com/BIAW2

http://www.facebook.com/pages/Building-Industry-Association-of-Washington/162891810445083?sk=wall&filter=2

http://www.hbarebates.com

Building Insight - January 2014

Documents

Transcript of Building Insight - January 2014