ReNews -- Remodelors Council News - 03/15/2005  (Plain Text Version)

Don Novak CGR, CAPS, CKB, GMB
RemodelorsTM Council Chair
Cedar Rapids, Iowa

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In this issue:
Remodeling Activity Slows Slightly in Fourth Quarter
RC News: Make Your Plans for Spring Board, May is Remodeling Month
RC Awards: Bryan Patchan Scholarship Brings Remodelers to DC
NAHB News: Give to NAHB's Tsunami Relief Fund
NAHB Political Watch: President Bush Signs Class Action Tort Reform Bill
Education News: Local Councils Take Advantage of National Designation Month
Industry Trends: Are You Ready for the 'Smart Kitchen'?
Expand Company Horizons at Upcoming NAHB Conferences
Member Advantage: NAHB Partners With GM for Member Discount


NAHB Political Watch: President Bush Signs Class Action Tort Reform Bill

In This Section:


President Bush Signs Class Action Tort Reform Bill

In a big win for the nation's home builders and other businesses, President George W. Bush recently signed into law important legislation that will help rein-in frivolous class action lawsuits in state courts, thereby saving millions of dollars in excessive business costs that can drive up the cost of housing.

"President Bush has followed up on his promise to make class action reform a priority in this Congress," said NAHB President David Wilson, a custom home builder from Ketchum, Idaho. "This is common-sense legislation that’s good for small business and good for America."

The bill should help curb such abusive practices as "forum shopping," where lawyers seek out local judges and juries based on their track record of awarding huge damage awards for plaintiffs. S. 5, the "Class Action Fairness Act of 2005," was easily approved by the House of Representatives with bipartisan support. The legislation is identical to the Senate version passed earlier, and was immediately sent to the President’s desk for his signature.

The legislation moves class action lawsuits into federal court when the total amount in dispute exceeds $5 million, and when any plaintiff and the defendant live in different states.


Home Builders Pitch Housing Ad Campaign

Spring training starts early this year for the housing industry as NAHB announced its launch of a major advertising campaign aimed at drawing congressional attention to housing’s contributions to the nation’s economic recovery and the robust demand for housing being projected for the next 10 years.

“It’s time to play ball with the 109th Congress,” said Jerry Howard, NAHB Executive Vice President and CEO,  in announcing the ad campaign that will culminate on April 13 with a one-day blitz on Capitol Hill by more than 700 builders attending the association’s Legislative Conference here in Washington.

“After back-to-back record-breaking years for homeownership rates, new housing production and home sales, it is understandable why housing is not at the top of the agenda for some members of Congress,” Howard added.  “But the job of housing America is far from over.  We will need to build 18 million new homes and apartment units to meet the housing demands of a growing population over the next decade. Meeting that challenge will require strong support from Congress on a wide range of federal policies.”

Bill Killmer, head of NAHB’s advocacy efforts, said that NAHB asks lawmakers to “step up to the plate” and take a pro-housing stance on legislation that could expand homeownership opportunities for working Americans and increase the supply of affordable rental housing.  

Full-page advertisements will appear in Roll Call, the National Journal, The Hill and Congressional Quarterly. Radio spots will be played on NPR, WTOP, WMAL and WBIG in the Washington, DC area.

To view a full copy of the ads and a fact sheet on how housing spurs local and national economic growth, click on www.nahb.org/Congress.


Builders Support OSHA Reform Package

Four bills introduced on Feb. 10 by Rep. Charlie Norwood (R-Ga.) would improve the enforcement of the Occupational Safety and Health Administration's many rules and regulations among small business owners, according to NAHB.

“The vast majority of NAHB’s members own small businesses and often find themselves unequipped to negotiate OSHA’s reams of regulations and requirements,” said NAHB President David Wilson. “This legislative package will help reduce some of the regulatory burdens faced by our members when they try to work within OSHA’s complicated system of due process, and will provide OSHA with greater flexibility to respond to small businesses without sacrificing workplace safety.”

Of particular note to home builders are H.R. 739, the “Occupational Safety and Health Small Business Day in Court Act,” and H.R. 742, the “Occupational Safety and Health Small Employer Access to Justice Act.” The first bill would allow OSHA to give businesses more than 15 days to respond to a citation; the second would make it easier for companies to recover attorneys’ fees when they successfully defend themselves against a citation.

H.R. 740, the “Occupational Safety and Health Review Commission Efficiency Act,” would add two more administrative law judges to the three-member Occupational Safety and Health Review Commission (OSHRC), which hears appeals of violations. At its current size, the commission frequently has to delay hearings because it does not have a quorum. The measure is designed to address this problem.

H.R. 741, the “Occupational Safety and Health Independent Review of OSHA Citations Act,” would require judges to defer to the OSHRC when OSHA cases are appealed to the courts.
The four bills are identical to OSHA reform measures passed by the House last spring.

“These bills would improve workplace safety and help to level the playing field for small businesses that seek to defend themselves in OSHA actions that are brought against them,” said Wilson. “We urge the House to approve these measures and call on the Senate to introduce similar legislation.”

To read the legislation, click here, and enter the bill numbers in the box at the upper left.

For more information, contact Jenna Hamilton Morgan  800-368-5242 x8407.


NAHB Supports House Bill Calling for the Repeal of Death Tax

Noting that it will help small family-owned businesses to create more jobs and continue to prosper, NAHB strongly supported bipartisan legislation introduced by Reps. Kenny Hulshof (R-MO) and Robert E. “Bud” Cramer (D-AL)to enact the permanent repeal of the estate tax late February.

“By placing a substantial burden on the heirs who potentially could be forced to liquidate assets, the estate tax represents one of the greatest threats to the future viability and growth of family-owned businesses,” said NAHB President David Wilson. “Hard-working Americans should not have to pay the federal government more than 50 percent of their estate at death. NAHB is pleased to support this important measure rescinding the death tax.”

H.R. 8, the “Death Tax Repeal Permanency Act,” is identical to legislation that passed the House in the 108th Congress by a wide 264-163 margin.

Under the current law, which was enacted in 2001, the estate tax is being gradually phased out until it disappears entirely in 2010. But it roars back to life in 2011, when the entire estate tax cut sunsets.

While reductions in the tax are welcome, builders would prefer no death tax at all and many are saying that the scheduled cuts in the tax over this decade make planning their estates more difficult. If they don't keep up with changes in the schedule, nearly half of their estates can be lost to federal taxes after they die.

Wilson said that the estate tax “has placed a burden on the heirs of family-run home building companies,” and he added that some business heirs even have to liquidate company assets to pay for the tax.

“The death tax is a threat to the future viability and growth of family-owned businesses,” Wilson said.

He said that the issue is of particular importance to the housing industry, which is comprised largely of small businesses, and that NAHB urges the House to act swiftly on this measure. The Senate is expected to introduce similar legislation shortly.


For more information or to contact us directly, please visit www.NAHB.org | ©2005, National Association of Home Builders