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The Official Publication of the El Paso Association of Builders
Citation preview
Issue 1 2012 Building El Paso’s tomorrow today
years
E L P A S O
BUILDERSA S S O C I A T I O N O F
B U I L D I N G E L PA S O ’ S F U T U R E S I N C E 194 6
Builders Outlook
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www.elpasobuilders.com
EPAB parade float finds new home at Fort Bliss
Builders applaud fed report on housing
The El Paso Association of Builders
never thought that a parade float would
bring as many smiles as it has. Nor did
they anticipate that the float would live
well past the ride down the parade but it
has. The float was built for the 75th
annual First Light FCU Sun Bowl Parade
held each year at Thanksgiving Day. The
association thought that incorporating a
float into the parade would be a good
way to kick off their own 65th
anniversary celebration. The theme for
the parade was “Under the Sun”. The
association executive officer Ray Adauto
drew up a conceptual rendering of a
gingerbread house float, presented it to
his executive team and work got started.
The concept soon turned into a design,
then into the build. Construction crews
built a 10 foot by 12 foot wood structure
on top of a trailer. Over a two week
period the float was decorated with
oversize candy canes, licorice sticks,
candy corn, and lollipops. A four foot tall
gingerbread man greeted everyone at the
front door. The oversize shimmering sun
piñata was hung over the house as it road
down the parade route. Over 40
members of the association and their
children or grandchildren rode and
walked alongside on the 3 mile route.
The float won an honorable mention
from the parade judges and was featured
on the live parade telecast. After the
parade the gingerbread house float was
put in storage while a decision was made
on what to do with it. Because it had
been constructed so well it was felt like it
could have a second life, one in which
the association hoped could be used in
its themed condition. Several
considerations were made but one kept
coming up over and over again. Fort
Bliss, Texas and the soldier’s kids.
Contact with the Garrison
Commander, Colonel Joseph Simonelli,
Jr. got the association on track with the
potential donation. The colonel was
candid saying that because it was a
donation that certain steps had to be
processed for an approval, including a
letter to the Department of the Army.
Notification of acceptance was received
by the EPAB and the gift delivery was
worked out. On January 8, 2012 the
United States Army, and in particular
the US Army Installation Management
Command, Headquarters, Untied States
Army Garrison, Fort Bliss, Texas
accepted the gingerbread house on
behalf of the Child and Youth Services
Skies Unlimited Program. The
gingerbread house was now in the
Army.
The gingerbread house was
immediately swarmed on by waiting
pre-school children whose parents are
active duty military, some on duty in
Afghanistan and other hot spots around
the globe. In making the presentation
on behalf of the association 2012
President Frank Arroyos told the crowd
and media that this gift is just another
symbol of the support and love the
association has for our military
community. With the smiles and
laughter coming out from inside the
gingerbread house we knew that was all
the thanks needed.
More photos page 8
The National Association of Home
Builders (NAHB) concurs with a
finding by the Federal Reserve that
excessively tight mortgage lending
standards are hampering a housing and
economic recovery.
“The Federal Reserve’s report to
Congress confirms what we have been
saying for some time: That
extraordinarily tight credit conditions
are preventing creditworthy borrowers
from obtaining home loans and this is
harming the housing market and the
broader economy,” said NAHB
Chairman Bob Nielsen, a home builder
from Reno, Nev.
Nielsen added that the lack of credit
extends to housing construction loans
as well, which is crippling the housing
industry and preventing construction of
new homes in markets that need and
want them. “In scores of markets across
the country that are exhibiting signs of
job growth and where the inventory of
new homes is nearly exhausted,
builders should be hiring workers to
break ground on new housing
developments,” he said.
In its message to Congress, the Fed
said that “restoring the health of the
housing market is a necessary part of a
broader strategy for economic
recovery.”
Housing can act as a job catalyst if
regulators and lending institutions
return to prudent underwriting
standards that do not exclude
creditworthy borrowers and if they
move to restore the flow of credit to
viable home building projects.
In normal times, housing accounts for
more than 17 percent of the nation’s
economic output. Constructing 100 new
homes creates more than 300 full-time
jobs, $23.1 million in wage and
business income and $8.9 million in
federal, state and local tax revenue.
With cash-strapped municipalities
across the land desperately searching
for new revenue sources, home building
can increase the property tax base that
supports local schools and
communities.
“Removing the obstacles limiting
access to mortgage credit and enabling
builders to obtain construction loans to
build in markets where demand is
firming is imperative to get housing
back on track, to put our nation back to
work and to keep the economy moving
forward,” said Nielsen.
Housing can act as a job catalyst if
regulators and lending institutions
return to prudent underwriting
standards that do not exclude
creditworthy borrowers and if they
move to restore the flow of credit to
viable home building projects.
Builders Outlook2 ISSUE 1 2012
Starting a new year always lends itself to
ponder and analyze what and how and with
whom we spent our energies on last year.
What did we accomplish in our personal,
business and spiritual lives? What could I
have done differently? What am I going to
do this time around to adjust and correct
those actions that weren’t to my benefit?
All these things come to mind or should
come to mind to be acted upon. 2012 will
be a monumental year in our generation due
to the fact that we continue to tread onto
uncharted territory, with unemployment at
an alarming high; tensions around the
world high mostly caused by frail
economies and strife. Economic problems
continue at home with continued home
foreclosures, excessive regulations on
lending, and some lack of confidence by
consumers. With the presidential elections
coming in November and all the lack of
leadership in Congress confuse an already
confused populace. We are bombarded with
so many negatives that sometimes we lose
sight of the most important things in life,
family and friends.
My goals and hopes for this year are to
earn the leadership role that you have
entrusted me with. Keeping open the
communication lines with our city
leadership and our related business
associations is a priority of mine. We
must keep housing affordable and
available in El Paso. We will continue our
efforts to lower bond requirements, less
permit fees, smaller government
involvement in our businesses and
working to bring about reform in lending.
All these things need attention from our
association. Most importantly you need to
know that it cannot be done by one or two
people, but it can be done by coming
together in a united front to bring forward
solutions and ideas to combat these issues.
I ask for you to get involved in the
association this year, bring your energy to
us, and give the El Paso Association of
Builders a fighting chance for change. We
will do our best to represent you and your
interests but we need your help and input.
Are you up for the challenge? Good
things happen when you bring the strength
of numbers to the fight. Happy New Year
and prosperity to you and yours.
Builders Outlook3
Frank
Arroyos
President,
El Paso Association
of Builders
President’s Message
During the weekly CountyCommissioners Court meeting, the countyattorney's office and the elections officegave the court a briefing about the currentstatus of our elections. Monday the 9th wasthe day that the Supreme Court was to heararguments on the proposed interim maps forHouse, Senate and Congressional districts.In a nutshell, all agreed that the electionprocess today is a mess.
The commissioners pointed out severalspecific problems with the delay andconfusion: candidates don’t know whatpolitical district to run in; voters don’t know
the specific date of the election; and votersdon’t even know where they are going tovote.
There are two reasons for this situation.The first finds its origin in the 2003-2004fight that we had when Tom Delay came toTexas to push redistricting legislation. Thesecond is more recent: the failure of toomany communities, especially whereHispanics are the majority population, tohave good voter turnouts.
In 2001, the previous census/redistrictingyear, the legislature created a bi-partisanmap that was approved in both houses withlittle debate. Certain state leaders were nothappy with the maps calling the "incumbentfriendly maps." Subsequently, the houseand senate maps were re-drawn by thelieutenant governor, the speaker of thehouse, land commissioner, comptroller andthe attorney general. This group is referredto as the Legislative Redistricting Board.
The work of the Board resulted increating a very partisan statewide plan asopposed to the partisan plan. Of course,from this came a lopsided majority. You
may recall that Delay was convicted in2010 of laundering campaign money thathelped elect that majority.
Then came the other fiasco with TomDelay who forcefully pushed that majorityto create similar congressional districts.Delay started to live in Austin, as opposedto tending to Congressional duties. Thepower of his questionable campaign fundscontrolled the agenda in the house. Whenhis redistricting plan came to the floor for avote, the famous quorum bustingDemocrats went to Ardmore and killed thebill. After three very expensive specialsessions, the districts that Delay wantedbecame law. That is how we arrived at thisposition.
In 2008, the focus of Texans was electinga new president. The spirited race betweenHilary Clinton and Barack Obamamotivated voters who hadn’t votedregularly. In the general election ofNovember 2008, the voters once againcreated a balanced house. Unfortunately, itonly lasted two years as the absence ofvoters gave the advantage to the Tea Party
movement. With a super majority, theconservative leadership created districtsthat eventually were unacceptable to theU.S. Department of Justice and to thefederal courts.
I think Texas would have been better offif the original bi-partisan redistricting planshad been accepted and put into place. Thehuge amount of money spent to buy newredistricting maps cost communities like ElPaso millions in reduced revenues from thestate; perhaps billions. One funding projectof over $50 million in 2003 was removedfrom El Paso to Midland; the seat of thespeaker. More recently, average dailyattendance funding to El Paso schooldistricts were stifled at about $5400 perstudent as opposed to as much as $11,000per student in wealthier communities.
We can't stop corrupt leaders fromcontrolling agendas. But we can deny themthe power they need by voting in strength inall elections in the best interest of ourcommunity.
Election process is a mess
Chente Quintanilla
State Representative
Guest Perspective
Builders Outlook4 ISSUE 1 2012
The month of January is usually a timeof change, a time when we take stock overwhat we accomplished or left undone theprevious year. Looking over at 2011 I haveto say that as an association we took somesteps forward. The locomotion shouldcontinue into 2012, at least from what itlooks like today.
Here’s how I rate our accomplishmentslast year:
• City elections. Without a doubt theelection pitted pro-business candidatestalking about how anti-business the citywas. That resounded with the votersand two newcomers were elected.
• City council. Efforts by the EPAB tobring a fact filled face to face meetingwith city council, the mayor and the
city manager proved fruitful. Wecalled it our local Rally day and weplan on doing it annually.
• Residential codes. Efforts by ourmembers resulted in local changes tothe 2009 Codes the city implemented.Input from builders and suppliers gavethe city options that they agreed toresulting in substantial savings to theindustry.
• Construction Bond reduction. Aftermaking the issue of the highest permitbond in Texas during the city electionscity staff worked with the associationand followed a recommendation toreduce the increase by half.
• Fire Sprinkler option. Enacted andsigned into Texas law was theagreement to make fire sprinklers innew home construction optional ratherthan mandatory as in other states.Savings to home builders andconsumers in the millions of dollarsannually in costs and inspections.
• Staying in business. A number ofhome builder associations closed in2011 but El Paso remains open.Substantial loss of revenues caused us
to tighten the belt but still offer coreservices while not compromising thenetworking aspect of belonging to anassociation. Leadership took lead inmaintaining the connections at the stateand national associations.
Looking these over again begs thequestion as to why someone wouldquestion whether being a member of the ElPaso Association of Builders has value. It issomewhat irritating to hear that but mostlyit’s more from a lack of involvement thatthose who leave the organization fail toassociate with their value of membership.One needs to remember that this isn’t asocial club, a hangout, or a money makingventure. It’s a trade association and itinvolves politicking. It involves giving avoice to issues plaguing the members. Itaffectively challenges those in authority todo the right thing for every business that iseven remotely connected to new homeconstruction. What some business peopledon’t connect is that if a regulation, code orrule hampers the construction of newhomes then it hampers their businesses aswell. I wonder why someone who is smartenough to conduct business (especially
those in the related real estate industrieslike mortgage, banking, or title businessesjust to name a few) can’t “value”membership. Really? But I won’t wastevaluable space talking about those whodon’t see it, and I’d rather spend time withthose who do. Take for instance JoeBernal, or Ken Wade, or Javier Ruiz. Orhow about Bill Word, Debbie Bowen orGerald Miller? May you know KathyCarrillo, Bob Kotarski, or Burt Blacksher?Art Garcia, Art Gamboa, or Jamie Zubiate?Cecil O’Hagan, Sharon Drury or JohnRomero, Lorraine Huit, Rob Tollen, or anymyriad of names of members. Thesediverse business people know the value ofmembership and they support the industryefforts by supporting the builder membershere. They know that not supporting thetrade association would cause there to be avoid in the political and business landscapeof El Paso.
So let me say thank you to all of ourmembers who through difficult times haveseen the value of renewal and joining. Wewill continue the good fight with your helpand support. Let’s have a good year.
Perspective
Ray Adauto,
Executive
Vice President
EPAB
New year, new reasons to benefit from your membership
Showroom: 2131 Missouri
915 • 533 • 6045 fax • 533• 6096
Thomas R. Brown, Owner
Builders Outlook 5Issue 1 2012
By an overwhelming margin, Americanvoters strongly value homeownership andwould oppose efforts to weaken oreliminate the mortgage interest deductionor diminish a federal role to help qualifiedhome buyers obtain affordable 30-yearmortgages, according to a new nationwidesurvey gauging likely voters’ attitudestowards homeownership and housingpolicy issues.
“The American electorate is sending aclear message that owning a home remainsa cornerstone of the American Dream andpreserving a federal commitment tohomeownership is essential to maintain athriving middle class and get housing andthe economy back on track,” said NeilNewhouse, a partner and co-founder ofPublic Opinion Strategies.
Conducted on Jan. 2-5 on behalf of theNational Association of Home Builders bythe Republican and Democratic pollingfirms of Public Opinion Strategies inAlexandria, Va., and Lake ResearchPartners in Washington, D.C., thecomprehensive survey of 1,500 likelyvoters includes data from key political“swing areas,” including National Journalpolitical analyst Charlie Cook’s swingHouse and Senate seats and StuartRothenberg’s presidential swing states.The survey, which has a margin of error of±2.5 percent, is a follow-up to a similarnational poll conducted last May.
The poll shows that three out of fourvoters – both owners and renters -- believeit is appropriate and reasonable for thefederal government to provide tax
incentives to promote homeownership.This sentiment cuts across regional andparty lines, with 84 percent of Democrats,71 percent of Republicans and 71 percentof Independents agreeing with thisstatement.
Also, two-thirds of respondents say thatthe federal government should help homebuyers to afford a long-term or 30-year,fixed-rate mortgage.
Moreover, 73 percent of voters opposeeliminating the mortgage interestdeduction. These figures held firm acrossthe political spectrum, with 77 percent ofRepublicans, 71 percent of Democrats and71 percent of Independents against doingaway with the mortgage interestdeduction.
Meanwhile, 68 percent would be lesslikely to vote for a congressional candidatewho proposed to abolish the deduction, afigure that was virtually identical across allparty affiliations (69 percent ofIndependents and 68 percent of Democratsand Republicans).
A majority of voters are also againstproposals to reduce the mortgage interestdeduction, eliminate the deduction forinterest paid for a second home, limit thededuction for those earning more than$250,000 per year, scale back thededuction for home owners withmortgages above $500,000 and do awaywith the deduction for interest paid onhome equity loans.
“With the 2012 election season in fullswing, candidates running for the White
House and Congress would be wise toheed the will of the American voters, whohave expressed broad support forgovernment policies that encouragehomeownership and oppose efforts tomake it more difficult to get a home loanand to tamper with the mortgage interestdeduction,” said Celinda Lake, presidentof Lake Research Partners.
Among the poll’s other key findings:
• 96 percent of home owners are happywith their decision to own and 84 percentwho are “underwater,” or owe more ontheir mortgages than their home is worth,expressed the same sentiment.
• 79 percent of home owners would advisea family member or close friend juststarting out to buy a home, and 69percent of those who are underwater ontheir mortgage would offer the sameadvice.
• 74 percent said that despite the ups anddowns in the housing market, owning ahome is the best long-term investmentthey can make.
• Homeownership and a retirementsavings program are considered byvoters to be their best long-terminvestments.
• 78 percent of respondents said thatowning their own home is very importantto them.
• Nearly seven out of 10 voters who arenot currently home owners (68 percent)
said it was a goal of theirs to buy a home.• Job uncertainty and saving for a
downpayment and closing costs are thebiggest barriers to buying a home.
The survey findings are consistent withthe results of other public opinion surveys.In a New York Times/CBS News pollconducted in June, 89 percent said thathomeownership is an important part of theAmerican Dream and more than 90percent indicated that it is important forthe federal government to continue themortgage interest deduction.
According to a Pew Research Studyconducted last March, 81 percent ofrespondents agree that buying a home isthe best long-term investment a person canmake and 81 percent of renters surveyedsaid they would like to buy a house.
“Even in a down housing market,homeownership remains a core Americanvalue, with the vast majority of citizenswho do not currently own a home sayingthey want to buy a home,” said BobNielsen, president of the NationalAssociation of Home Builders and a homebuilder from Reno, Nev. “Those runningfor office in November need to understandthat voters will not look kindly on anycandidates who seek to dismantle thenation’s long-term commitment tohomeownership.”
Poll results can be downloaded atwww.nahb.org/homeownershippoll.
Voters Place High Value on HomeownershipOppose Policies That Make It More Difficult to Own a Home
4655 Cohen • El Paso, Texas • 79924 • 915-821-3550 • www.tropicanahomes.com
A tradition of Excellence for over 60 Years
With sixty years of experience and over10,000 quality homes built in El Paso,Tropicana Homes has become a namesynonymous with quality construction. Asthey continue to grow and expand,community involvement remains a toppriority. Their commitment to the industryand community has made TropicanaHomes the premier builder in El Paso.
El Paso Builder of the Year 1988, 1997, 2005
Texas Builder of the Year 2003
Texas Industry Leader 2004
Texas Developer of the Year 2009
Builders Outlook6 ISSUE 1 2012
By Tami Luhby @CNNMoney
NEW YORK (CNNMoney) -- The
president's efforts to revive the housing
market have largely failed. But is that
entirely Obama's fault?
“I don't think anyone could have done
anything to stabilize the housing
market,” said Ed Jacob, executive
director of NHS Chicago, which
provides homeownership and foreclosure
prevention services. “This housing
market was in far worse shape than
anyone knew.”
Obama took office in 2009, promising
swift action to address the mortgage
crisis. He quickly unveiled his signature
foreclosure prevention program, known
as HAMP, and his refinance program,
known as HARP.
But the HAMP program, which was
designed to lower troubled borrowers'
mortgage rates to no more than 31% of
their monthly income, ran into problems
almost immediately. Many lenders lost
documents, and many borrowers didn't
qualify. Three years later, it has helped a
scant 910,000 homeowners -- a far cry
from the promised 4 million.
HARP, which was intended to reach 5
million borrowers, has yielded about the
same results. Through October, when it
was revamped and expanded, the
program had assisted 962,000.
Meanwhile, more than 3.5 million
people remain behind in their mortgage
payments and more than 1.9 million
homes are in foreclosure. And home
prices have fallen for six months
straight.
One of the main problems with
Obama's foreclosure prevention program
was that the housing crisis had already
spiraled beyond unaffordable mortgage
rates. Homeowners were defaulting
because they didn't have jobs -- and the
administration's effort did little to help
them.
In response, Obama rolled out a
multitude of initiatives designed to help
the underwater and the unemployed. But
few of them have had much impact.
“He focused his gun in the wrong
place,” said Anthony Sanders, a real
estate finance professor at George
Mason University. “The administration's
approach is to kick the can down the
road. That doesn't lead to a recovery and
just strings the problem along.”
But the president deserves points for
having the Federal Housing
Administration step in to provide
mortgages for homeowners and for
spurring homebuying with a tax credit,
said John Burns, head of John Burns
Real Estate Consulting. They staunched
the bleeding in home sales and values.
The Federal Reserve has also tried to
help by keeping mortgage rates at record
lows.
At the same time, though, the
economy has remained weak.
Unemployment is still high, consumer
confidence is still low and banks are still
hesitant to lend.
And Congress and the president
remain at odds over how to spur job
creation, which many say is the key to
stabilizing the housing market.
“Obama was in many ways hemmed in
as to how to effectively and positively
affect the housing crisis,” said Gabriel
Stuart, director of UCLA's Ziman Center
for Real Estate. “The economy was
moving under their feet.”
Missed opportunities
One thing some experts say Obama
could have done is required servicers, as
well as Fannie Mae and Freddie Mac, to
write down the principal balance on
loans. This, however, has been a very
controversial step because it would have
forced large losses on banks and the
government-controlled mortgage finance
companies.
But at least the administration could
have come down harder on the mortgage
servicers, forcing them to expand and
improve their foreclosure prevention
processing procedures more quickly,
experts said.
In Phoenix, Obama's foreclosure
programs are helping some people, but
many more could take advantage of
them if the administration had taken a
harder line with servicers, said Patricia
Garcia Duarte, chief executive of NHS-
Phoenix, which counseled 1,800
delinquent homeowners last year.
“The missing ingredient was that it
was a voluntary program,” she said. “If
it hadn't been, we would have had much
better results.”
Has Obama's housing policy failed?
The City of El Paso is undertaking two
important initiatives to improve its service
to the homebuilding industry. The first is a
rebidding of third party contracts which
provide inspection services to homebuilders
as an option to City inspectors. A previous
effort to expand this third party option to
plan review was only partially successful.
In mid October the City suspended the
requirement that plan review include the
zoning and land development reviews,
leaving that task to City plan reviewers.
The City of El Paso remains committed
to permit the building of residential homes
under the Third Party scheme as fast as
practical in an appropriate and equitable
manner. The current rebid has been
carefully crafted to allow third parties to
keep the current scheme and level of service
in place for homebuilders who prefer the
status quo. Once successfully bid, the bid
solicitation will also permit third party
providers to offer inspection services,
complete plan review, or the partial plan
review. Additionally, the scope of services
is clarified so third party providers will
know City requirements.
A scope of services for commercial
structures is also being developed in a
separate solicitation.
Any inquires regarding the bid
solicitation process should be directed to
the Purchasing Department of the City.
Inclusively, in an effort to maintain a
continuous flow of projects and prevent
backlogs in the plan review and inspection
of private projects, the Building Permits &
Inspections Division recently altered the
plan review process for all new residential
projects.
Plans that require minor revisions will be
returned for revisions, however, permits
will now be issued simultaneously. In this
manner, minor revisions to plans can be
conducted concurrently with permit
issuance to prevent delays in initiating
projects. Inspection staff will conduct their
inspections with knowledge of the revisions
and/or alterations required in the field. If
projects require major or significant
revisions, those revisions will still need to
be completed prior to the issuance of a
permit. As part of this process, all
corrections must still be made by final
inspections.
As we move forward in implementing
these service improvements, we ask for
your continued cooperation to address this
important transition. However, immediate
improvement in turn around of plan times
and permit issuance are anticipated in a
significant number of cases.
Builders Outlook 7ISSUE 1 2012
By R. Alan Shubert,
P.E., C.B.O.
Guest Perspective Two key strides in place to enhance processes
Your EPAB Membership computes to
Big sAvingsMembers of the El Paso Association
of Builders enjoy many exclusive
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For Example:
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For information go to:
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call 778-5387
Empty Bowls is an international grassroots effort to fight hunger.The basic premise is simple: Potters and other craftspeople, educa-tors and others work with the community to create handcraftedbowls. Guests pay $15 for a ticket and are invited to sample soupsmade by culinary students and are given a bowl to keep as a re-minder of all the empty bowls in the world. The money raised isdonated to El Pasoans Fighting Hunger. (Formerly known asthe West Texas Food Bank.)
Each individual or group organizing an event designs itaround the needs of their own community and is responsiblefor their own event. This is where we are asking for help.Please consider making a corporate contribution to help endhunger in our region.
Statistics show that 1 out of 8 Americans struggle with foodinsecurity every day. Millions of people have lost their jobs dur-ing the most recent recession and the number of food stamp re-cipients has increased dramatically. Your help is needed nowmore than ever.
Please find the time, make the commitment, get involved. Your single effort can have a profound impact.
Please join us February 11, 2012, your help is needed!
El Pasoans Fighting Hungera 501 (c) (3) organization
(Formerly known as the West Texas Food Bank in El Paso)
Event to be held at El Paso Community College
Administrative facility9050 Viscount Building A
February 11, 201212:00-4:00PM
You are invited to help people in need
emptybowls
el paso
2.11.12
EPABON THE SCENE
Float donation to
Ft. Bliss
January Board of
Directors Meeting
The first regular board of directorsmeeting was held on January 10 at theEPAB office. President Frank Arroyosled the meeting with his executive teamand the members intently listening toreports from committees. The boardapproved the budget for 2012 and tookon the recommendation from the execu-tive board and finance committee toincrease associate dues beginning inFebruary, 2012. The adjustment in duescomes after over 15 years of holding theamount while the costs of doing businessincreased. Associate members who havenot renewed this year will be sent theincrease which works out to a little over$8 dollars a month. In other action theboard has sent the Land Use committeethe assignment to oversee the recentlypublished Plan for El Paso from the Cityof El Paso. There are wide rangingimplications for the residential and com-mercial builders who plan to build in thefuture El Paso.
Builders Outlook10ISSUE 1 2012
Sales of newly built, single-family homesedged up 1.6 percent to a seasonally adjustedannual rate of 315,000 units in November,according to newly released figures by the U.S.Commerce Department. This marks the thirdconsecutive monthly gain in new-home salesand the fastest pace of such activity since April.
“With today’s report, we have now seen threestraight months of modest gains in sales, startsand builder confidence in the market for newsingle-family homes,” said Bob Nielsen,chairman of the National Association of HomeBuilders (NAHB) and a home builder fromReno, Nev. “While the numbers are still quitelow on a historic basis, this upward trendindicates that the market is slowly finding itsfooting and bodes well for the months ahead.Our concern is that overly restrictive lendingconditions for both builders and buyers willconstrain this growth and postpone the arrival ofa recovery in housing and the overall economy.”
“Extremely favorable mortgage rates andprices are starting to lure buyers back to themarket in select areas of the country where theeconomy is strengthening,” said NAHB SeniorEconomist Robert Denk. “As a result of thisimproving demand and the limited amount ofnew construction that is taking place,inventories of new homes for sale continued tofall to another all-time record low in November.Such limited supplies should eventually lead tosome greater building activity in thoseimproving markets, which in turn will boost jobgrowth and further economic gains.”
Regionally, new-home sales were mixed inNovember. The South and Midwest posted gainsof 12.9 percent and 7.5 percent, respectively,while the Northeast and West posted respectivedeclines of 26.3 percent and 16.9 percent.
The inventory of new homes for sale fell 1.3percent to 158,000 units in November. This is anew record low and represents a six-monthsupply at the current sales pace.
Unionize Poster
Rule DelayedThe National Labor Relations Board
<http://www.mmsend1.com/link.cfm?r=134551713&sid=17017249&m=1696242&u=frmem&j=8455441&s=http://www.nlrb.gov/> has agreed to postpone theeffective implementation date of its employeecollective bargaining rights poster requirement— which includes a right to unionize notice —to April 30, 2012, depending upon the outcomeof several legal challenges.
The requirement was to go in effect on Jan.31, 2012, but at least three lawsuits have beenfiled seeking to block the posting requirement— including one by the U.S. Chamber ofC o m m e r c e<http://www.mmsend1.com/link.cfm?r=134551713&sid=17017250&m=1696242&u=frmem&j=8455441&s=http://www.courthousenews.com/2011/09/21/NLRB.pdf> . A federal court in Washington, D.C., hasdelayed its implementation until after hearinglegal challenges to the new rule.
The collective bargaining rights poster isavailable free for download on the NLRBw e b s i t e<http://www.mmsend1.com/link.cfm?r=134551713&sid=17017251&m=1696242&u=frmem&j=8455441&s=http://www.nlrb.gov/poster> . If the rule isimplemented, the poster must be hung in aconspicuous place with other workplace rightsnotices.
The rule will apply to all employers with agross annual business volume of $500,000 ormore, whether or not the employer operates anon-union shop or conducts business in a “rightto work” state.
The NLRB has indicated that it will notconduct inspections to determine if the poster isin place, but it may take action if an unfair laborpractices complaint is filed. The NLRB states onits website that it expects such complaints to beresolved if the employer subsequently agrees tohang the poster, but the agency could takefurther action if the employer refuses to hang theposter.
For more information, please visithttps://www.nlrb.gov/faq/poster
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Builders Outlook issue 1 2012 11
Builders Outlook12issue 1 2012
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E L PA S o
BUILDERSA S S o C I A T I o n o F
B U I L D I N G E L PA S O ’ S F U T U R E S I N C E 194 6
A look back...Moments in our 65 year history
The year was 2002. Ten years ago this association was being led by Herschel Stringfield of Winton Homes. His pres-
idency produced one of the top Parade of Homes and it featured some of the most innovative designs in home construc-
tion up to that point. In his welcome to the Parade attendees Herschel thanked the sponsors including BMC West, 84
Lumber, Jobe Concrete and Stewart Title of El Paso. He also thanked the developer, Southwest Land Development on
whose property twelve member builders showcased their latest plans.
The builders were Gaddy Construction with plan Casa Maria, touted as a Transitional plan with the California touch.
Natural stone was the material of choice and Gaddy offered the three bedrooms home accentuated with a “stunning” stone
fireplace mantel.
Cardel Homes offered the Tuscan, a three car garage, three bedroom home was “designed to fit the need of today’s
lifestyle.
Oeste Homes brought us the Vista Del Norte plan, a home in the Santa Fe charm and beauty with New Mexico vigas
and a kiva fireplace.
It was N. H. Designs that brought the Casa Rebecca to the Parade, a Mediterranean two story home “with natural light,
high ceilings and a gracious place to welcome friends and family”. This home featured three bedrooms and five bath-
rooms, an exercise room and covered patio.
Winton Homes presented The Michelangelo, a 3752 square foot two story home with Mediterranean styling with
columns, arches and niches. Winton touted its ISO 9001 certification with this home.
Cullers & Caldwell Builders showed the Parade attendees Hacienda Desierto, “a residence as rich and beautiful as its
desert mountain home.” The home featured Saltillo tiled floors, wood vigas and lintels, and an earthy selection of gran-
ite and colorful tiles. Curved walls were also a part of the floor plan.
Porter Homes presented Casa De Vista, a home with “vivid colors, bold simplicity, granite, tile, stucco and stone.”
Porter was committed to provide innovation and exceptional value.
These builders are but seven of the original twelve with five of them still building homes in El Paso. Cardel has since
transitioned into Cardel Designs and offers design services while still doing some construction. N.H. Designs belonged
to Naji Hajjar, a gifted home builder who tragically was lost to us in a motorcycle accident, ironically just prior to anoth-
er Parade of Homes. Gaddy, Winton/Flair, Oeste Homes, Cullers & Caldwell as well as Porter continue their member-
ship in the association. Many of the suppliers and vendors to the builders continue to be members as well. Southwest
Land Development still develops land in and around the city with developments west, Northeast, and east El Paso.
2002 seems like a long time ago, but these past ten years are witness to the ever changing landscape of home con-
struction and associated businesses in El Paso. Our plans for 2012 include a Parade of Homes and we are hopeful that
many of these 2002 builders and vendors will join us in it.
By Ray Adauto
A Look Back is a monthly feature of the El Paso Association ofBuilders publication the Builders Outlook. Look for more history of
the El Paso Association of Builders in coming editions.
JANUARY 20-22
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Builders Outlook 13ISSUE 1 2012
UPCoMInG EVEnTS
nEW MEMBERS
CARPET WAREHOUSE
Contact: David Fenigan
930 Raynolds
El Paso, Texas 79903
915-565-7847
Membership news
www.elpasobuilders.com
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E L PA S o
BUILDERSA S S o C I A T I o n o F
B U I L D I N G E L PA S O ’ S F U T U R E S I N C E 194 6
11395 James Watt, Suite A-11 79936915-633-8002
Save the Date!
Join UsMarch 27
El Paso
Association of
Builders
Young Designers
Golf Tournament
Painted Dunes
12:30PM
Call 778-5387 for
information
Builders Outlook14 ISSUE 1 2012
Industry Reports
Associates�Council
Happy New Year to all of my fellow
associate members. It seems just last week
we were starting 2011 and here it is 2012
and we need to plan for another successful
year by the associates council . The
associates council is the fund raising back
bone of our association, in other words just
like in our own businesses we need to
make money to keep the association strong
and doing the political work that keeps us
all working. I would invite all of you to
become active in our associates council and
attend our meetings. We have a whole slate
of functions planned for this year but we
need new ideas and we need your help with
the events that we will be doing.
In the planning stages are the following.
January 20th through 22 Home and
garden show – call the office for details
February – Winter bowling tournament
date to be announced
April – spring Golf outing details to
follow. This is the fun tournament even if
you don’t play golf you need to be in this
one.
March- Probably a speed networking
date to be determined.
I think I will stop now as we all get the
Idea. We are working on some new projects
that prove to be fun and some that are
educational. Please attend our associates
council meeting which will be announced
soon .
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B U I L D I N G E L PA S O ’ S F U T U R E S I N C E 194 6
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