Among the more significant NAHB wins that affect multifamily construction was approval of a new IBC exception exempting multifamily buildings from having to provide areas of refuge as part of the means of egress. The approval of this exception is an important recognition by the building code community of the role sprinklers play in providing adequate life safety protection in multifamily construction without the need for additional costly features such as protected areas of refuge.

A number of other multifamily-related proposals were defeated, including some that would have significantly increased emergency egress requirements, such as provisions for special stair tread markings, lighted exit strips around doors, and the doubling of fire-resistance ratings for corridors. Other proposals would have increased the International Building Code accessibility requirements far beyond what is required by either the Fair Housing Act or the ADA. The most notable of those was a proposal to exponentially increase the number of accessible parking spaces required.
 
Two defeated proposals would have greatly increased construction costs. One would have mandated continuous air barrier requirements, and the other would have required air leakage testing for all buildings.

Many of these first-round beneficial decisions will need to be further defended at the ICC Final Action Hearings in May, in Rochester, N.Y. NAHB’s Construction, Codes and Standards staff already have begun intensive preparation for those hearings.

For more information, or to find out how you can become one of NAHB’s Code Warriors, e-mail Jeff Inks, or call him at 800-368-5242 x8547.

• House Approves HOPE VI, Bill on FHA Multifamily Limits

Adding positive momentum to NAHB’s housing advocacy efforts, the House on Sept. 27 approved three bills that would renew public housing construction and make multifamily housing more affordable. These bills include:

• H.R. 5347, the Hope VI Reauthorization Act of 2006.  HOPE VI has been used by communities across the nation to tear down blighted public housing projects that exist in isolation from the greater community, and replace them with safe, affordable, high-quality mixed-income developments that promote homeownership opportunities and provide affordable rental housing. Opposition from both the Administration and conservative members in the House reduced the five year reauthorization to a single year.
  
• H.R. 5503, the FHA Multifamily Loan Limit Adjustment Act of 2006. Sponsored by Rep. Gary Miller (R-Calif.), the measure would provide the HUD secretary with more leeway to raise FHA multifamily mortgage limits in urban and other high-cost areas — where the need for affordable rental housing is particularly critical. The bill is necessary because FHA limits are inadequate to accommodate new construction in a number of major metropolitan areas — including Boston, New York, Chicago, Los Angeles and San Francisco — where construction costs are significantly higher than in other areas of the country. H.R. 5503 would permit HUD to increase the FHA loan limits for apartment buildings in high-cost areas by up to 170% (from the current 140%). The HUD secretary would also be able to increase the base loan limits by up to 215% on a case-by-case basis.
  
  
• H.R. 6116, the Mark-to-Market Extension Act of 2006. Approved by a vote of 416-1, the measure would reauthorize the mark-to-market program through the end of the 2011 fiscal year. The bill would lower the cost to the federal government of renewing Sec. 8 contracts by restructuring mortgages and lowering rents. It also extends from three to five years the period during which a community-approved non-profit may purchase mark-to-market property after the closing; expands eligibility to disaster-damaged properties and erases any question of the eligibility of properties damaged by Hurricanes Katrina, Rita or Wilma or other natural disasters.

While none of these bills has yet to pass the full Senate, NAHB is counting on this positive momentum to aid advocacy efforts for final passage during the expected "lame-duck" legislative session in November and December of this year. NAHB will continue to lobby the Senate Banking Committee to pass these, and other priority housing bills before the close of the 109th Congress. To view the bills, click here and type each bill number in the box in the center screen.

For more information, e-mail Scott Meyer or call him at 800-368-5242, x8407.

• House Passes Bill Giving Property Owners Day in Court

Shortly before adjourning to campaign for the November elections, House lawmakers on Sept. 29 passed H.R. 4772, the “Private Property Rights Implementation Act of 2006,” by a margin of 231 to 181. Long championed by NAHB, the bipartisan measure would ensure that all property owners can have their day in federal court if their Fifth Amendment rights are violated. At NAHB’s urging, House Majority Leader John Boehner (R-Ohio) acted quickly to bring this bill to the House floor for an up or down vote. Boehner resuscitated the bill after it suffered a setback on Sept. 26 when it was considered under the House suspension calendar. Though the measure secured a solid bipartisan 234-to-172 margin, it fell short of the two-thirds majority support needed for passage under suspension of the rules.

Prior to each of last week’s votes, NAHB sent a letter to every House member urging passage of H.R. 4772 and stating that the association considered this bill as a key vote because of its significance to the housing industry. In addition, NAHB Executive Vice President and CEO Jerry Howard conducted several interviews with the media on this issue, including The Washington Post, Congressional Quarterly, and the National Journal’s CongressDaily.

For years, NAHB’s Legal Action Network has been working with members of Congress to show why it is important to enact judicial reform legislation to allow takings claims to be heard in federal court in a timely manner. And while House passage represents a significant step forward, companion legislation has not yet been introduced in the Senate.

NAHB currently is in discussions with the Senate Judiciary Committee and is encouraging the panel to move the bill forward when Congress returns after the elections. However, it remains very unlikely that this legislation will be considered by the Senate in November because Congress will be in session for only a limited period and the nation’s mayors are placing intense political pressure on lawmakers to reject the bill. Moreover, the measure would likely be subject to a Senate filibuster, and the bill does not currently have the support of the 60 Senators needed to block a filibuster.

Nevertheless, NAHB will vigorously pursue all available avenues to move the bill forward. To view the legislation, click here and type the bill number in the center screen box.

For more information, e-mail J.P. Delmore or call him at 800-368-5242 x8412.

• Senate Approves 'Secure Fence Act'

The Senate last week approved House-passed bill H.R. 6061, the “Secure Fence Act,” which would authorize the construction of 700 miles of fencing along the southern border. President Bush is expected to sign the measure into law shortly.

Additionally, NAHB has learned that the Immigration and Customs Enforcement (ICE) division of the Department of Homeland Security has been tasked by the Administration to create immigration-specific "enforcement units" by October 2006.  ICE has indicated that these efforts are focused on putting the necessary infrastructure in place to "go after egregious, bad-actor employers."  Under the plan, DHS and ICE will be collaborating with other criminal enforcement agencies of the U.S. government — such as the FBI and local law enforcement — to coordinate efforts to target and prosecute bad-actor employers.

The creation of enforcement units is part of a new aggressive plan to again increase worksite raids and criminal investigations. ICE also is encouraging field agents to pursue, whenever possible, criminal enforcement actions during these raids in accordance with the existing harboring statute against employers. NAHB will continue to monitor developments on the enforcement front, and we continue to encourage all builders to notify us of any inappropriate behaviors exhibited by ICE investigators. 

Additionally, NAHB is urging all members to contact their legal counsel to ensure that their employment practices comply with all applicable laws. Builders should keep accurate employment records, especially with respect to I-9 forms. In the event of an ICE I-9 audit or raid, members should immediately contact legal counsel.

For more information, e-mail Jenna Morgan Hamilton or call her at 800-368-5242 x8407.

• Recent Hearing Focused on Terrorism Insurance
   
  NAHB, as a member of the Coalition to Insure Against Terrorism, recently urged Congress to make permanent the Terrorism Risk Insurance Extension Act (TRIEA). The reinsurance act, which is set to expire in 2008, is particularly important to multifamily and commercial developers and property owners, most of whom are finding that any insurance policy which extends beyond 2007 comes with a terrorism exclusion in the event that federal reinsurance is not available.

The hearing, held by the Subcommittee on Capital Markets, Insurance and Government Sponsored Enterprise and the Subcommittee on Oversight and Investigations, followed close on the heels a Government Accountability Office (GAO) report on the risks of terrorist attack.

According to Capital Markets Subcommittee Chairman Richard Baker (R-La.), the report showed that terrorism risk is “uninsurable in the private marketplace,” and that the private sector would not be able to cover the nation’s businesses should there be a nuclear, biological, chemical or radiological attack. Work on this important program will continue when Congress reconvenes. For more information, view the full report at this link.

• HUD Releases List of Difficult Development Areas for Affordable Housing

HUD has released its 2007 lists of difficult development areas (DDAs) and qualified census tracts (QCTs). And, importantly, the Federal Register notice contains key language that allows developers to lock in the 30% credit boost at the time of application, so that even if the area is dropped from later lists, the credit boost can still be taken.  Here is the language:

If an area is not on a subsequent list of DDAs or QCTs, the 2007 lists are effective for the area if:
(1) the allocation of credit to an applicant is made no later than the end of the 365-day period after the submission to the credit-allocating agency of a complete application by the applicant, and the submission is made before the effective date of the subsequent lists; or
(2) for purposes of Section 42(h)(4)(B) of the Code, if: (a) the bonds are issued or the building is placed in service no later than the end of the 365-day period after the applicant submits a complete application to the bond-issuing agency, and (b) the submission is made before the effective date of the subsequent lists, provided that both the issuance of the bonds and the placement in service of the building occur after the application is submitted.

HUD also has released the Operating Cost Adjustment Factors (OCAFs) for 2007.  They will become effective Feb. 11, 2007.  View this Web site for the complete notice. 

• FHA Mortgage Insurance Premium Increases on Hold

Persuaded by the arguments of NAHB’s members, its lobbyists and staff, the Department of Housing and Urban Development (HUD) has cancelled its plan to increase the premiums that developers are required to pay on FHA’s multifamily mortgage insurance (MIP).  FHA Commissioner Brian Montgomery, in a call to NAHB last week, said that the current MIP rates will stay in effect for FY2007.

The official announcement, which now appears on HUD’s Web site, attributes the change of plans to the large volume of comments from the public and industry associations, as well as a letter signed by 121 members of the U.S. House of Representatives and 26 U.S. senators. Read the full story in the Oct. 2 issue of Nation’s Building News.

• National Housing & Rehabilitation Association Fall Forum — Oct. 9-10

The NH&RA will meet at the Ritz-Carlton in Boston with a full program of affordable housing information and an overview of the New England market. To view the agenda or register online, view the conference page. 

• Community Service Awards — Entry Deadline Nov. 3

Builders who’ve served their communities are invited to enter the National Housing Endowment’s Achievement Awards for Outstanding Community Service awards competition. For more information, view this page or e-mail Troy Patterson.
http://www.nationalhousingendowment.com/BuilderAchievement.htm

• Sunbelt Builders Show — Grapevine, Texas — Nov. 16-18

There will be a new and enthusiastic Multifamily presence at the Sunbelt Builder’s show in Texas this fall, held at the Gaylord Texan Resort and Convention Center in Grapevine, Texas, part of the Dallas-Ft. Worth metroplex. Register before Oct. 30, and receive a free Expo-only pass for an employee. For more information, visit the show Web site:  www.SunbeltBuildersShow.com.

• Multifamily Entries Welcomed in Green Building Awards Competition — Dec. 29

Multifamily builders, developers and architects can enter NAHB’s National Green Building Awards, which recognize individuals, companies and organizations for helping to move green into the mainstream of the housing industry through their designs and construction practices. New this year is a green land development award, which honors resource-efficient site design and development practices, including onsite recycling, preservation of trees and innovative storm water retention features. And the awards include a category honoring Multifamily achievement. The annual awards will be presented during ceremonies at the association’s National Green Building Conference, which will be held in St. Louis on March 25-27.

For an application form and instructions on how to send logos, project photos and other artwork, click here. Members are invited to submit a completed application package by Dec. 29, 2006. For additional information, e-mail Emily English at NAHB, or call her at 800-368-5242 x8366.

• New Venue: 2007 Pillars of the Industry Conference and Gala — April 11-14

The upcoming Pillars of the Industry Conference and Awards Gala will be held at the Westin Diplomat Resort and Spa, in Hollywood, Fla., April 11-13, 2007. The new location has a lovely beachfront location featuring a variety of water sports and sport fishing opportunities, as well as a full spa facility for off-hours relaxation.

Of course, as always, the educational programs will feature a top-flight roster of speakers drawn from upper-tier industry leaders. To request notification when online registration opens, follow the directions on this page.

And it’s even more enjoyable to attend the Pillars of the Industry Conference if your company has an entry in the finals of the Pillars of the Industry Awards competition. View the Call for Entries page on our web site to learn how to start the online entry process. Read the frequently asked questions, and examine the criteria for each entry category. The sooner you start the process, the easier it will be to have everything you need in plenty of time to create a winning entry!

For more information, e-mail Laura Zaner, or call her at 800-368-5242 x8563.

• NAHB Members Can Save Significantly on GM Vehicles

An affinity program allows NAHB members to purchase GM vehicles – including  most cars, trucks, vans and SUVs from Chevrolet, Pontiac, Buick, Cadillac, GMC, Saturn, HUMMER and Saab – at the same rate GM offers its corporate suppliers. This generally results in a significant savings. Full details are available on NAHB’s Web site.

• Self-Study Guide for Registered in Apartment Management (RAM) Designation

A self-study guide designed to prepare property management professionals for the Registered in Apartment Management (RAM) designation has been released by NAHB’s University of Housing. The study guide is a companion to the new RAM textbook, Professional Apartment Management, which was released last year.

RAM candidates who use the self-study guide are eligible to sit for the RAM exam without completing the 40 hours of course work usually required to earn the designation. Exams are offered at the National Housing Center in Washington, D.C., as well as at local Home Builders Associations across the country. RAM is the longest-running, most respected property management education and designation program in the industry.

To obtain the self-study materials or to register for the exam, e-mail RAMinfo@nahb.org or call the Professional Designation Helpline at 800-368-5242 x8154.

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