BAM 2018 Mid-Year State Report

2018 NAHB MIDYEAR BOARD MEETING

BAM Programs & Operations Update

Association Statistics: as of May 31, 2018

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• Members: 1,835 (B-548; A-1,195; AF-27)

• Member Employees Statewide: 43,048

• 12 Local Associations

• State Dues: $195

• 2018 Legal Action Assessment per member: $15

2018 BAM Executive Committee

• Terry Hammack – President (Anderson & Hammack Construction / ABA)

• Steve Noble – President Elect & Government Affairs Chair (Noble Custom Homes / CMBA)

• Howie Zetah – Builder Vice President (Zetah Construction, Inc. / HBA)

• Gerry Traut– Associate Vice President (Xcel Energy / MMBA)

• John McGuine – Secretary (J & M Consulting / RAB)

• Molly Loe – Treasurer (Bridge Realty / MRBA)

• Kurt Welker – Immediate Past President & BAM PAC Chair (Welker Custom Homes / SCBA)

2018 NAHB State Representative

• Chad Kompelien (Mike Kompelien Custom Homes / WCBA)

2018 BUILD-PAC Trustees

• Steve Noble (Noble Custom Homes / CMBA)

• Joe Weis, Alternate (Weis Builders / RAB)

Legislative Issues: BAM’s unlicensed contractor enforcement and statewide code administration legislation survived to the very end of the legislative session only to once again be part of the veto fights between the Governor and Legislature. BAM killed legislation that would have allowed small cities to quit code administration functions and amended legislation to improve the liability conditions common interest communities. A real estate appraisers board was reconstituted this session and BAM is working with Department of Commerce to engage the new board in opportunities to improve valuation for new construction, similar to the HBA of Alabama’s program. The next regular Legislative Session will begin Tuesday, January 8, 2019.

Codes: The Department of Labor & Industry (DLI) has completed the initial technical review of the 2015 and 2018 I-Codes. BAM anticipates there will be only modest changes to the current State Building Code. The agency has postponed action on the energy code until sometime later this year. The new code is expected to become effective sometime in 2020.

Regulatory Issues: In May, BAM provided preliminary comments to the MPCA regarding the Minnesota Pollution Control Agency regarding the re-issue the Construction Stormwater Permit. The current construction permit is scheduled to expire in August 2018. The Department of Health continues to contemplate a lead rule that would give the state “primacy” for enforcing the EPA program. This rule is suspended in the agency’s legal department – potentially on hold waiting federal action under the new Administration. Also, the Department of Health is moving forward with radon remidiation rules. New construciton is specifically expempt from this effort as the code requires a passive system with the ability for future remidiation to be installed at the time of construcition.

Legal Issues: BAM continues to support litigation challenging the City of Minneapolis’ paid sick and safe time ordinance. The plaintiffs include a remodeler member and the Minnesota Chamber of Commerce’s litigation. Currently, the lawsuit seeks to make permanent the Court’s temporary ruling that the ordinance does not apply to employers who are based outside of the City’s limits and to find that the underlying ordinance is in conflict with and therefore pre-empted by existing state law. Elections: All 134 Minnesota House of Representative seats are up for election as are a handful of open State Senate seats. This fall’s election will include statewide offices including the Governor, Attorney General, Secretary of State, and Auditor. Minnesota’s primary is Tuesday, August 14, 2018.

FUTURE EVENTS

The next BAM event is its Summer Board Meeting scheduled for August 30, 2018 in Duluth, MN.

BAM Annual Meeting, Holiday Party, and PAC fundraiser is scheduled for December 6, 2018 in Minneapolis, MN.