My Internship with The Builders - My One Month Analysis

-Andrew Pegram

During my month with the Builder’s Association, it has become apparent to me that anyone in the construction industry or business trades in Nevada would benefit from membership.

Among the many benefits, BANN provides a legal voice in the legislative arena. It also offers regulatory assistance and worker’s compensation savings, and while it isn’t member-specific, the free education BANN provides is invaluable in this economy.

In the book 7 Habits of Highly Effective People, Stephen Covey says interdependence, or working with the help of others, is vital. BANN provides countless opportunities for networking and forging interdependent relationships. These range from formal committee meetings to outdoor barbecues and luncheons. Meet-and-greets are often undervalued, but their worth is beyond measure.

I met the mayor, a representative of the Business Environmental Program, and a professional photographer; the latter was even willing to teach and work with amateur photographers. You never know who you will meet, or what opportunity might arise!

Another important benefit is the chance to give back to the community through BANN. An excellent opportunity is being a mentor for the C-CORE Program, where you guide young students and help educate them on the construction industry. You can also volunteer at a fundraiser, or participate in Homes for Our Troops, where you can help to build and donate a custom home to a gravely wounded soldier in the Armed Forces.

BANN is a great organization. Membership has many rewards and can be a means of giving back. At BANN, there truly is strength in numbers!

We Have a New 2012 Board!

The Builders Association of Northern Nevada (BANN) elected new leadership for the association’s board for 2012. BANN represents the collective interests of the construction industry in Northern Nevada. The association offers programs of information, training and education to all construction professionals. Because of its active approach to the region's housing needs, the Builders has grown to become the largest construction trade association in the state of Nevada.

The BANN Board for 2012:

President – Travis Means, Homecrafters

Vice President – John Krmpotic, KLS Planning & Design

Associate Vice President – John Brown, NV Energy

Secretary/Treasurer- Teresa DiLoreto, DiLoreto Homes 

Immediate Past President – Curtis Rowe, Aspen Developers

Additional Board Members

Jack Byrom, TMWA

Mike Douglas, Q & D Construction

Victor Rameker, Desert Wind Homes

Kraig Knudsen, Tanamera Development

Greg Peek, ERGS

Ray Pezonella, Pezonella Associates

Rob Dunbar, Ryder Homes

John Tolbert, Toll Brothers

Robb Wong, Guidenby

John Schroeder, J & N Nevada

Michael Ellis, Reno Truss

Jeff Codega, Codega Concepts

Randy Walter, Places Consulting

Gary Duhon, Downey Brand

Garrett Gordon, Lewis & Roca

Ty Windfeldt, Hometown Health

Membership Chair – Victor Rameker

Legislative Chair – Greg Peek

Codes, Infrastructure & Planning Chair – John Krmpotic

Sales & Marketing Council & PR Chair– Teresa DiLoreto

Remodelers/Built Green Nevada Chair – Robb Wong

City of Sparks Council Takes Giant Step to Promote Economic Recovery

At a recent City of Sparks Council retreat, the City Council requested staff to look at amendments to the development codes to remove barriers to development and job creation.  In response, the city staff prepared a resolution to amend fees for development services such as Special Use Permits, Site Plan Reviews, Code Amendments, and Tentative Maps. 

On October 10^th the Council approval the resolution with an added specific review period of six months and fee caps which limit collects not to exceed current amounts.

Currently, there are three types of Special Use Permits:

• Major
• Routine
• Minor.

These three delineations are based on the amount of staff time typically devoted to the type of special use permit. For example, a major Special Use Permit for a new casino in the TC (Tourist Commercial) zoning district. A minor Special Use Permit might be an amendment to a previously approved Special Use Permit. A major requires a $10,000 deposit, a routine is $13,385 and a minor is $7,495. 

Sparks will eliminate the different types of Special Use Permits and simply charge applicants a fee of $120 per hour of staff time. They will require a deposit of $1250  for a Special Use Permit. Staff will be required to track time associated with the entitlement and charge toward the deposit. If the project requires more time than the deposit provided staff will bill the applicant for the remaining fees. 

This is the process used when reviewing Planned Development Handbooks. If less time and materials are required the remainder of the deposit will be refunded (as is with a handbook review process.)  Under no circumstance will the fees exceed the current fee schedule.

The Site Plan Review fee is very similar to that of the Special Use Permit. Currently there are two types of Site Plan Reviews: routine and minor. The fee associated with a routine Site Plan Review is $6,975 and a minor is $4,250. The purpose of a Site Plan Review is to determine whether a proposed use, building, structure addition or change to any building, structure or use will conform to the zoning ordinance, building and fire codes. 

The Site Plan Review insures development provides an acceptable project serving the interests of public health, safety and general welfare. The Site Plan Review process is an administrative process and does not include public hearings. The Council approved removal of the two types of Site Plan Reviews and will require a deposit of $1,250 to move through the process. Again, this $1,250 deposit would be time and material based and requires staff to track time to charge against the deposit. If City costs exceed the deposit amount the applicant would be billed for the remaining charges.

Lastly, the Council approved revising the fee for review of an expired Tentative Subdivision Map. The fee is currently $16,050. As described above with Special Use Permit and Site Plan Review, staff is proposing a fee for review of an expired Tentative Subdivision Map based on time and materials with a deposit of $1,250.

The Builders Association of Northern Nevada applaud the City of Sparks for the insight and leadership in promotion of the economic stability and job creation.

Multi-Jurisdictional License for Reno, Sparks and Washoe County

By - Jess Traver

I recently received a note from Bob Webb, Planning Manager for the Washoe County Department of Community Development, advising me about the implementation of a multi-jurisdictional license for the three jurisdictions – Reno, Sparks and Washoe County.

The license would allow a business operator (e.g., a builder or a contractor) who performs business within two or three of the jurisdictions to obtain his/her initial license at one location; essentially, a one-stop-shop for obtaining a license.


The operator would go to the jurisdiction wherein the business office is located, submit the normal license application, and the jurisdiction will collect license fees for all three jurisdictions at that time and review/inspect the license as normal.  Once the license is approved, that jurisdiction will notify the other two jurisdictions, who will then issue their license. The process will create one primary point of contact, making the process that much more efficient.


The renewal process remains the same; however, the hope is that one single application will be of benefit to business operators who need licenses to operate within Reno, Sparks and/or the County.


The County is sharing the process with the building community and seeking feedback from business owners. You can join the process on Friday, October 7 from 9:00am to 10:00am at the Washoe County Complex on E. 9^th Street, Building A.


I hope you can join us!

RENO C-CORE MEMBERS, COACHES AID NEVADA VETERAN

Marine Sergeant Dylan Gray knows the definition of a hero. Ask him, and you’ll hear him cite the hundreds of volunteers who participated in the construction of his new home. Ask those volunteers, however, and each of them will recognize Sgt. Gray as theirs. 


Sgt. Gray returned to his home in Nevada without legs after his deployment in Iraq, the result of an injury received when his Humvee drove over the pressure plate of an IED. Husband and father of three small children, he and his family are living in a two story home in the rural town of Wellington, nearly 2 hours south of Reno. Confined to the first floor of this home because of his injuries, Sgt. Gray had difficulty caring for his family and participating in the daily life we all take for granted.


The Builders Association of Northern Nevada (BANN), affiliated with the National Association of Home Builders, and an intermediary partner of the C-CORE (Construction Coaching Opportunities to Reach Employment) program, saw that assisting Sgt. Gray and his family was right up its alley. C-CORE is an innovative mentoring and coaching program that partners mentors (coaches) and students aged 16-18 (members) for a year, encouraging them to explore industry careers, set life goals, and participate in community service projects that reinforce their connections to their local community and to others. 


Partnering with Homes for Our Troops, a nationally recognized charitable organization that builds adapted homes for disabled veterans, BANN helped to secure land, contractors, subcontractors and materials to build “A Home for Sgt. Gray”. Embraced by the community and by the industry, hundreds of volunteer laborers and tradesman participated in a community “Build Brigade” weekend in mid-March that took the home from a slab to a completely framed, roofed and sheathed structure in just three days.


C-CORE members and coaches hauled building materials, cleaned up and recycled surplus building debris, served food as part of the “chow line”, and even built a dog house for the Gray family pooches. The participation of the C-CORE volunteers freed up valuable skilled labor that was needed to meet the ambitious 3-day building schedule. 


C-CORE members represented a broad spectrum of volunteers, and hailed from a number of Northern Nevada schools and referral sources. Without the enthusiastic participation of C-CORE, a home for Sgt. Gray would still be a dream. Because of the involvement of the Reno C-CORE volunteers, the Gray family will be enjoying a home for a true Nevada hero by early summer.

Jingle Belts

Jingles Belts© by Jane & Al Dvorak, Summit County Builders Association

Dashing to the roof
My tool bag strapped on tight
The wind is really cold
Thru Carhart’s it does slice
The plywood sheet was loose,
Wasn’t nailed down right
An as I put my right foot down
I realized my plight.

Jingle belts, jingle belts
Jingle all the way
Oh what fun it is to cling
An icy roof today
Jingle belts, jingle belts
Jingle all the way
Down we slide, scraping hide
Crash, boom, bang, OIE-VEY!

Construction in the snow
Can be such great, great fun
You shiver in the shade
And perspire in the sun
The framing creaks and groans
As the sunshine warms it up
Your coffee turns real, real cold
And freezes in the cup.

Jingle belts, jingle belts
Jingle all the way
Oh what fun it is to cling
An icy roof today
Jingle belts, jingle belts
Jingle all the way
Down we slide, scraping hide
Crash, boom, bang, OIE-VEY!

Happy Holidays!

Giving back to the community

It's a wonderful time of the year, the holiday season. People seem more relaxed and think more of others. We seem to be more willing to donate food and gifts or volunteer to give back to the community -- more so than any other time of the year. Why not volunteer all year long?

Here at The Builders Association of Northern Nevada, we're committed to giving back all year long. We have a philanthropic arm, the Builders Association Charity, which supports local families in need. We have a new construction career focused youth mentoring program called C-CORE. And perhaps our largest recent endeavor, we've joined forces with Homes For Our Troops to build a new accessible home for a disabled Nevada Veteran, Sgt. Gray.

Call us at (775) 329-4611 or visit us online to find out how you can contribute to these wonderful projects.

Get involved with The Builders and you'll fulfill two needs at once; you'll be supporting an industry vital to our local economy and you'll be supporting your community through out the year.

Reno housing is affordable!

Reno ranks in the top one-third of the most affordable places to purchase a home in the country, according to the National Association of Home Builders(NAHB) / Wells Fargo Housing Opportunity Index which was released today. More than 83% of homes sold in the third quarter of 2010 were affordable to home earning the median income. Reno ranks as the 10th most affordable housing market in the West.

By comparison, in the same quarter last year, only 68% of median-income families could afford to purchase a home. That number was only 18% in the third quarter of 2006 and even smaller in the peak of 2005.

Now is the Best Time to Buy a Home

Many potential home buyers are finding it difficult to filter out the media headlines and determine if now is the right time to buy a home. Most industry professionals agree buyers shouldn’t wait until prices and interest rates go up to buy -- now is the best time to buy a home.

Home prices in northern Nevada have dropped dramatically in the past few years and today’s mortgage interest rates are among the lowest in history. They’ve recently dipped again and borrowers can find a 30-year fixed loan for as low as 4.25percent. Rates were as high as 6.75 percent just a few years ago and in the double-digits 20 years ago.

As the economy rebounds the demands for mortgages will rise and so will interest rates. The effect of a rise in interest rates on monthly mortgage payments can be dramatic.

Based on the current median home sales price of $175,000, a 30-year fixed rate mortgage with a 4.25% interest rate has a monthly payment of $933 per month. At six percent the monthly payments increase to $1122 -- an increase of $189 a month. The total payments over the life of the loan increase by a whopping $68,040!

Home buyers that believe home prices will drop further could be making a very costly mistake. If the interest rates increase to six percent again, the home price would have to drop below $147,000 -- more than 16 percent -- to maintain the same monthly payments. House prices have begun to stabilize and bidding has become highly competitive, especially on the lower priced homes. It is highly unlikely that prices will drop that much.

Potential buyers frequently overlook the tax advantages of homeownership when considering if they should purchase a home. Mortgage interest and property taxes are great tax deductions.

While there are many variables to tax advantages, we estimate that a $175,000 mortgage with a 4.25 percent interest rate will generate $1,624 reduction in your tax liability annually.

This is the first time in four or five years that home prices and low interest rates have made northern Nevada an affordable place to live for most families. A family with a median income can afford to buy a median price home.

Low mortgage rates and affordable home prices will not last forever. The longer you wait the more you will have to pay to achieve your dream of homeownership!

Northern Nevada has many highly qualified Realtors, loan officers and builders that can be great help during your home shopping experience. To find more resources, contact the Builders Association of Northern Nevada at (775) 329-4611 or visit www.thebuilders.com.

Remodelers learn about the changing needs of the largest segment of homebuyers - Seniors

There are over 40 million adults over the age of 65 in the US right now. By 2020 more than half of the US population will be over 65. This is changing the way homebuilders and remodelers look at design and the concept of aging in place.

Chelsea Morris and Jeffrey DeMure from JDA Architects spoke at our Remodelers Council this afternoon. They addressed the changing needs of homebuyers and what they’re doing to match these needs. They’ve partnered with Eskaton Senior Residences and Services to put together a program called Livable Design. It provides a third party verified designation that meets the needs, or is adaptable to the needs of the aging population.

There were some pretty interesting things mentioned that I never would have thought of like replacing standard bathroom towel bars with fall rated bars. This could help a senior in a falling situation and could also be a great feature for younger families with children who like to hang from towel bars or yank on their towels causing the bars to fall.

Check out the Livable Design website for more information.

BANN members begin CANstruction at Meadowood Mall

Allyson Wong and the staff of Builders Association of Northern Nevada member, GuiDenby Inc., were hard at work today carefully creating their structure made of cans and packaged food products for CANstruction. The GuiDenby sculpture is made up of more than 3,000 cans! All of them, along with all of the other food products used for the event, will be donated to the Food Bank of Northern Nevada.

Stop by the Meadowood Mall this Friday or Saturday and cast your vote for GuiDenby or one of the other BANN members taking part in CANstruction! You can vote with $1 and all of the proceeds go directly to the Food Bank of Northern Nevada.

Hiring a licensed contractor could save you money and problems in the long run

Even if your repair or renovation is completed and everything seems to be fine, it could be years before you find something wrong. Even worse, you could learn about problems after you decide to sell your home. At a minimum, you’ll have to disclose the problem. More than likely, you’ll have to make some repairs and/or reduce the price of your home. That is exactly what happened to one of our contractor’s clients.

During one of the extreme cold spells we experienced in northern Nevada this winter, one of our contractors was contacted to repair some damage caused by frozen pipes in a “cottage” on his property. When our contractor went to look at the damage, he realized that the dwelling was not up to code and he suspected that it was a converted garage. There were issues with the sewer vent, grading, electrical and fire hazards and other problems that made the dwelling illegal and unsafe. He explained to the homeowner the liability issues and that as a licensed contractor he couldn’t perform the work without bringing the cottage up to code.

The homeowner had already received quotes from other contractors that were willing to just fix the pipes.

It turns out that the homeowner’s mother had purchased the property and none of this was brought to her attention. The “cottage” was built without any permits and the property is not zoned for duel dwellings. The homeowner has now listed the property for sale as though the “cottage” doesn’t exist. He thanked the contractor for saving him from making a huge mistake. “If I had pursued the repairs,” he said, “I could have run into major problems and expenses on all levels.”

Visit the Builders Association of Northern Nevada Remodelers Council webpage for a list of remodelers dedicated to providing professional service and quality work.

You can also contact the Nevada State Contractors Board to make sure your contractor is licensed by calling 775-688-1141.

The perfect storm of opportunity for first time homebuyers!

A trifecta of conditions (Low interest rates, reduced prices and first time buyer programs) makes now the perfect time to buy your first home.

The Nevada Housing Division provides mortgages and down payment assistance to for low to moderate-income families. The program currently has $102 million in funding for its first-time homebuyer program and expects its interest rate to stay at 4.5 percent for a while.

The Federal Government has also extended the first time homebuyer tax credit through April, 2010. These factors combined with reduced home prices make now the perfect time for first time homebuyers to invest in a home.

Read the full Reno Gazette Journal story by Jason Hidalgo
Housing division offers low rates for low-income first-time buyers

FREE seminars about foreclosure and foreclosure mediation.

The Washoe County Senior Law Project is holding FREE seminars about foreclosure and foreclosure mediation for anyone that needs to know more about the foreclosure process, or help to prevent it.

New Nevada law entitles you to mediation prior to foreclosure. These FREE seminars will describe the new process and provide other information that may help you avoid foreclosure. Seminars will be held at the Reno Senior Center at 1155 E. 9th St. on the following dates:

Saturday, January 23rd from 9am to noon

*Thursday, January 28th at 5:30 pm (received a notice of default only)
Thursday, February 11th at 5:30 pm
Thursday February 25th at 5:30 pm

Basic foreclosure information, such as the time frame of the process and common options available from your mortgage company, will be provided at the following seminars:

Saturday, January 30th from 10 am - 3pm
Carson City Senior Center - 911 Beverly Dr., Carson City

Wednesday, February 3rd from 4pm - 6:30 pm
Reno Senior Center at 1155 E. 9th St.

Saturday, February 20th from 9am - noon
Reno Senior Center at 1155 E. 9th St.

Space is limited so please RSVP to Washoe County Senior Services at (775) 328-2592.

Tired of Training? There's More Coming!

OK...most of us working in construction in Nevada have obtained our OSHA 30 or OSHA 10 certifications. We're ready to hit the jobsite. Right? Wrong! Many builders and contractors who are doing small remodeling jobs while they wait for our market to stabilize are now faced with a new, pretty unpleasant mandate: Lead Certification!

The short "heads up" is that this is the brand new Lead Renovator, Repair and Painting program (LRRP) that we’re talking about, NOT the prior lead abatement program. It’s a new regulation adopted by EPA, effective in April 2010, which requires that all contractors who perform renovation, repair and painting projects that disturb lead-based paint in homes, child care facilities, and schools built before 1978 where children may be present must be certified by the EPA and must follow specific work practices to prevent lead contamination. Failure to follow the rule can result in severe civil penalties and other unpleasantness. And by severe civil penalties, I mean fines of up to $37,500 per day per violation, not to mention exposure to civil liability actions with treble damages. Like I said, unpleasant.

Taken to a penultimate scenario, suppose you're all set to remodel the kitchen of an empty-nester, retired couple who plan to invite their grandchildren over for Christmas next year. They don't have children living in the home, so you're not required to comply with LRRP, right? Wrong again! Notice the "where children may be present" requirement? To remodel this kitchen, you must comply with LRRP.

The best thing a building company can do is to have a LRRP-certified person present within your company. Better yet, have two--you'll need one available in case the other is on vacation or is sick....or leaves to move somewhere where the snow doesn't fall and the cost of living is low.

Visit our website for a training schedule. We'll be adding more lead training classes in April, and will continue to offer them regularly. An OSHA training schedule is also posted. I guess the old saying is true...."if you can't beat 'em, join 'em!"

Forecast for 2010 - partly sunny!

More than 250 people attended Forecast 2010 & Beyond Wednesday and discovered that there are some bright spots for this year!

Elliot Eisenberg reminded us that us that we are not the worst market in the country and that national economic indicators show that things should start to improve for 2010. Attendees got a good chuckle at his suggestion that we need to market ourselves better and suggested we change Reno to East Tahoe!

Tim Ruffin wins the quote of the day with “flat is the new up”. Commercial deals are flat, which is better than down!

Mark Krueger reported that more land deals happened at the end of 2009 than in the past 4 years and that the majority of those sales were to local builders.

Ken Amundson busted some myths and let us know that prices are not still falling, and in fact demand for homes under $200,000 may actually be driving prices back up.

The speakers presentations are now available on our website.

BANN Leader Honored with Twenty Under 40 Award

Our Executive Director, Mike Dillon, was selected for a Twenty Under 40 Awards. The award honors local young professionals who have made a positive impact both professionally and in the community. Mike and the other winners will be recognized tomorrow in a reception at the Atlantis, sponsored by Reno Tahoe Young Professionals Network and the Reno Gazette-Journal.

RGJ article