NAHB – Portland Summer Meetings (2018)

The National Association of Home Builders (NAHB) summer meeting in Portland was chock full of great information and opportunities. The following are just a few of the interesting items and discussions that stuck out for me.

Land Development Committee

NAHB Land Development Subcommittee, Portland 2018

Most of the meeting was dedicated to discussing the cost of regulation, specifically a new multi-family study and a 2016 single family home study. That information is linked below:

Multifamily (2018) – 32.1% of development cost (avg) (low-21.7, high 42.6)

  • Click here for the study.
  • Interesting side note:  85% of developers say they have added cost or delay due to family or neighborhood opposition.

Single Family (2016) – 24.3% of house price

There was also a discussion about Opportunity Zones and what they mean for developers.  Information on Opportunity Zones can be found at the links below:

  • Click here for general information.
  • Click here for the eligibility tool
  • Click here to read what the Washington Policy Center says about Opportunity Zones in Washington.

 

During the State and Local Government Affairs Roundtable it was interesting to hear some of the issues other local HBA’s are facing around the country. Many of the issues are similar to the ones we have in the CWHBA territory, but there are some unique ones as well: Historical / Conservation Overlays where new boards are formed and needed to approve building or community groups push the issue; Recovery Fund proposal in New Mexico (this already exists in several states) where builders pay a higher fee to fund governments regulatory role; and a slew of other NIMBY issues.

The Federal Government Affairs Committee had less than exciting news for the building community.

NAHB Federal Government Affairs Committee in Portland, 2018

2018 Political Outlook

  • It’s looking like Democrats will take over the House in DC, which means new leadership.
    • House Ways and Means:  Richard Neal (D-MA)
    • House Financial Services:  Maxine Waters (D-CA)
    • House Transportation and Infrastructure:  Peter DeFazio (D-OR)
    • Speaker:  Nancy Pelosi?
  • In the Senate, there is a smaller chance the Democrats will take over.
    • Click here to see which seats are in play (Washington Post article).

Issue Spotlight

The Land Use Committee spent a great deal of time discussing Contributions in Aid of Construction (CAIC)

NAHB 2018 Summer Meetings in Portland
  • Section 118 of the Tax Code
    • Eliminated exemption for water and sewer infrastructure
      • Only affects for profit utilities.
      • Some utilities are telling builders if you want service, you pay the tax bill.
      • This needs to be fought at the public service commission level.
      • Please let NAHB know if this creeps into the territory.

Find Ron!  Can you spot your CWHBA National Director Ron Pelson in this photo?

Can you spot your CWHBA National Director Ron Pelson in the photo?

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