HBAI Mid-Year Report
Here’s a status report on all things HBAI as we turn the page to the 2nd half of 2018. Happy Independence Day Everyone!
By the Numbers
- HBAI has experienced a steady decline in membership since the beginning of 2017. In January of 2017, we had a total of 1727 members, statewide. As of May 2018, our membership is back down to 1603. Our all-time post-recession low was about 1450 in 2011. Our all-time high was over 5000 members in 2006.
- Housing Starts 12,416 multi-family. 14,811 multi-family. 8810 multi-family. *
- Permits thru May 2018: 4,073 single family;
- Construction Permits in 2017: 10,181 single family;
- Construction Permits in 2016: 10,187 single family;
- The Governor signed his first full budget since taking office in 2015. In 2017, Governor Rauner vetoed the budget, but the Democratically controlled General Assembly, with help from some Republicans, pushed thru an override on the Governor’s Veto. In 2015 and 2016, no annual budgets were agreed upon between the Governor and the General Assembly, so court orders to pay bills and provide benefits ran the state for two years.
- HBAI is currently working with the state to update the Illinois Energy Conservation Code. Most everyone involved agrees that the 2015 code is working well, and we will take almost all that code and stamp it as the 2018 code. State law requires Illinois to update the code every three years. HBAI supports maintaining as much of 2015 code as possible.
- HBAI defeated legislation this spring that would have required the hiring of tree arborists and getting permits from the Dept. of Natural Resources permits when taking a tree down to build a home.
- We defeated legislation that would have taken the option of purchasing surety bonds to insure completion of public improvements away from developers and would have allowed municipalities to decide the form of insurance, including cash bonds and letters of credit.
- We defeated language allowing homeowners to directly pay subcontractors on home remodeling projects.
- HBAI defeated language moving duties of the Dept. of Labor to the Attorney General’s office. Audits to inspect for employee classification, fair pay, and minimum wage law compliance would have been made by staffers with subpoena powers. The bill passed both Houses, was vetoed by the Governor, and we defeated the override motion in the House.
- HBAI defeated legislation giving Interior Designers a Practice Act. Builders would have been required to get a Seal from an Interior Designer to build a home. We also defeated legislation giving landscape architects a Practice Act
- HBAI defeated legislation allowing all subcontractors to give notice for lien rights 90 days past the completion of a project.
- HBAI defeated legislation requiring voter approval for annexation of land for residential construction.
- HBAI defeated legislation allowing any third party to appeal a state agency permit.
- HBAI defeated legislation that would mandate property owners to pay three years of property taxes for land pulled from an approved agriculture land preservation program.
- HBAI will be working this summer and fall to pass legislation prohibiting transfer taxes on property already paying impact fees.
- And next year, HBAI will introduce legislation a “Workforce Housing Initiative,” designed to lower property taxes on lots with cities for building new homes.
HBAI Legislative Outreach Meetings
HBAI will be scheduling in-district legislative meetings with state legislators and our members for the months of September and October.
NAHB Defender of Housing
In August, HBAI will make delivery of six NAHB Defender of Housing Awards to the following U.S. Representatives: Cheri Bustos, Peter Roskam, Adam Kinzinger, Darin LaHood, Randy Hultgren, and Rodney Davis.
HBAI has placed online a new website with many new features including:
- Online HomePAC donations;
- A calendar that we share with all locals to show every Home Builder event happening in Illinois;
- Videos of the “HBAI Two Minute Warning,” a weekly briefing of legislative affairs and HBAI member service announcements; and,
- An interactive map allowing potential members to look up the HBAI local territory the operate in.
Health Care Insurance
After several prior attempts, HBAI is once again looking for a provider to sell group health insurance to our membership. We have at least one broker interested in making this happen. Rosie Millen, HBAI First Vice President and Chairperson of the Membership Services Committee, will oversee this project with assistance from her committee members and HBAI Leadership.
HBAI President Pat Franz has made fundraising for PAC dollars his top priority in 2018. HomePAC is a very small PAC fund, currently ranking as the 281st largest state PAC fund. If we can raise $100,000, we would be in the top 100 PACs, and if we raise $250,000, we would be in the top 50 PACs in Illinois. Last year, we totaled $30,000 in PAC revenues. Ryan Keith, of RK Public Solutions has been hired to create and implement new fundraising strategies for HomePAC. Ryan has worked with HBAI in the past on two important projects to our members: the state fire sprinkler mandate, and the Service Tax on Home Repair Work. The HomePAC budget for 2018 is set at $39,000; $9000 of which has already been donated and there is another $24,000 currently in the PAC fund.
I am planning a 100-mile bike ride to raise funds for HomePAC this summer. We will be asking Local Associations and individual members to pledge from $1 to $10 per mile for the ride that you will hear more about very soon.
HBAI created its Nominations Committee for 2018, at our June meeting. Members interested in serving as an officer for HBAI in 2019 should contact Bill Ward by September 1, 2018.
HBAI Secretary Bryan Wenthe is working with Attorney John Cooney to revise the HBAI bylaws. Amendments will be offered at our September Board Meeting.
HBAI Budget & Finance Committee
HBAI is moving up the starting date to begin work on the 2019 FY budget from October to August. HBAI Treasurer Jason Paliatka will present the budget to the committee that will have a $15 due increase over 2018 which was approved at the December 2017 board meeting.
Dakota Zubeck is doing an eight-week internship with HBAI. Dakota is a Senior at the University of Illinois-Springfield. In his first three weeks he has completed a Google Doc Excel Spreadsheet that catalogs all legislation and outcomes from bills affecting housing in 2017 and 2018. He also completed work on compiling the voting records for members of the Illinois General Assembly on bills affecting the housing industry.
Dakota is now cataloging which legislators serve in which HBA Local Association territory. This information will be used for Legislative Outreach Meetings, Lobby Day Preparation, and HomePAC fundraising efforts.
Dakota is currently scheduling the Defender of Housing meetings and will be scheduling HBAI Legislative Outreach Meetings.
HBAI Strategic Plan
HBAI is in its second full year of a 5-year Strategic Plan to enhance the operations at HBAI. Our Goals are to: 1) Increase & Strengthen Membership; and 2) Strengthen Government Affairs. Several tasks have been completed that work towards completing these goals while other tasks are ongoing. Every task is reviewed on an Excel spreadsheet at each HBAI Board meeting.
* Information compiled by the U.S. Census Bureau.