×‰?×�B!›×‘C’×˜š� Íü �ÍüÍ(�u×‰œ”×‰	Ú 7cassandra://BGR_bvIyw9XGpMH8w-7WzDnaMrc8Sqj_m5YOowmwSNEÎ _“Í`�ÍóÍ²×‰	Ú 7cassandra://TkLXPWoE7hgc1GNgBLQhGlEupBp9e5VGO8vLRkxj4KIÍ‡RÍ`�ÍsÍà×‰	Ú 7cassandra://6vBhP1ZtFeS2EIHRrOhWkJor9s78x7rPbF4x3FLrxccÍ-\Í`�ÌÆÍ ×‰	Ú 7cassandra://kwLBG2og5mm30uy5lzWRhYn8vqctESQ7OblrQQRSmZQÎ êÍÍ �Í]Íð�×a€¶ÕrKº…O×˜š�   �ÍüÍ(�u×ˆœ�×   CNSvu  ‘× ��×a€¶ÕrKº…N� ÍgÍ®�Í)Ìâ�9×‰HÚ Mhttp://hbrmea.org/wp-content/uploads/2021/01/Showcase-Home-RFP-with-plans.pdf�G×�×�ÒÔÔÔrÒïïïÌ×ˆE�×a€¶ÕrKº…×‰EÚ_AUGUST 2021
NEWSLETTER
To promote, educate and advocate for the Residential Building & Remodeling Industry; providing
resources that benefit industry professionals and consumers in the communities we serve.
With 38 teams in place and
over 20 volunteers on the
course the show still went on
and was enjoyed by all!
They ate, they played, it
rained, they played, it rained,
they played and returned for
dinner, prizes and more fun.
Herschelâ€™s family enjoying lunch before hitting the links for our annual event:
Jerry & Jan Geolat, Lance, Garrett & Courtney Johnson
WHATS INSIDE
Upcoming Events
ïƒ  Sep 17 - All Aboard with the Board
ïƒ  Nov 4 - HBR Trivia Night
ïƒ  Feb 25, 26, 27 2022 Home Show
UPDATES: Framing/Mechanical
Rough in & Roofing Completed
Herschel E. Johnson Golf Classic pictorial
Remodeling Excellence Awards Application
Membership Renewal Updates
NAHB Eye on the Economy News
NAHB NOW
NAHB International Builder Show
2022
Senator Plummer calls for Administrationâ€™s
Unemployment Program Audit
Illinois Policy Institute: IL ranked 48th in US for new
single family home permits over last decade
Page 1
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BY ROSE QUINT ON JULY 30, 2021
Of the 17% of American adults considering a future home
purchase in the second quarter of 2021, 61% have moved
beyond planning and are already actively trying to find one
to buy. This share of active buyers has increased for six
straight quarters, a trend that began after the final quarter
of 2019 when it stood at 43%. In theâ€¦ Read More â€º
Housing Nearly 17% of GDP
BY ROBERT DIETZ ON JULY 29, 2021
Thanks to a surge in residential investment during 2020,
housingâ€™s share of GDP remains elevated compared to
recent years. Last yearâ€™s market conditions involved a renewed
focus on the importance of home, an evolving geography
of housing demand, and a lack of for-sale inventory.
Housing will continue to expand in 2021, although
as the rest of the economy recovers, theâ€¦ Read More â€º
Federal Reserve and Housing: No Taper Talk yet
BY ROBERT DIETZ ON JULY 28, 2021
Todayâ€™s Federal Open Market Committee announcement
did not provide an explicit reference to an expected tapering
of purchases of Treasury ($80 billion a month) and
mortgage-backed ($40 billion a month) securities. In addition,
as part of its ongoing accommodative policy
stance, the Fed held its benchmark target rate near zero
percent. In Chairman Powellâ€™s press conference remarks,
he stated, â€œTheâ€¦ Read More â€º
Page 4
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the process of Building the HBR Showcase Home
FRAMING: WALLS
FRAMING: ROOF
ROOFING
FIRESTOPPING
FRAMING & MECHINICAL INSPECTION
Page 6
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booth # 103 and include rear curtain, side rails
and 110v electric. Tables and chairs are included
in booth investment.
$800 for HBR members
$950 for non-HBR members.
2022
All Outside booths are 10â€™ x 10â€™ with 110v electric,
a table and chairs included. Outside booths
do not include any curtains.
$250 for HBR members
$350 for non-HBR members.
NEW
FRIDAY
25
2pmâ€”8pm
Floor Plan
Facility Improvements & Management
SATURDAY
26
10amâ€”7pm
SUNDAY
27
11amâ€”4pm
Page 7
200 S Belt E, Belleville IL
Interactive floorplan
www.hbrmea.org/
home-show
FEB
FEB
FEB
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�s[�9×‰HÚ jhttps://www.illinoispolicy.org/illinois-home-building-lags-virtually-every-other-state-during-past-decade/�G×�×�ÒÔÔÔrÒïïïÌ× ��×a�¶ÕrKº…‰� Í�ÍÛÍö�9×‰HÚ Fhttp://hbrmea.org/wp-content/uploads/2021/06/REA-Nomination-Packet.pdf�G×�×�ÒÔÔÔrÒïïïÌ×‰EÚNew census data shows Illinois ranked 48th in the U.S. for new
single-family home permits during the past decade.
Real estate markets in the U.S., including Illinois, have been on
fire as low mortgage rates, pent-up demand and low inventories
have sent sales prices skyrocketing during the past year.
One reason why inventories have been particularly low in Illinois
is the state builds new homes at a slower rate than virtually any
other state.
Since 2009, when single-family home building permits bottomed
out during the Great Recession, Illinois has only issued 102,010
new single-family home permits, according to recently released
U.S. Census Bureau data. When adjusted for population in the
state, Illinoisâ€™ new home construction ranks 48th in the nation,
above only Connecticut and New York.
The Chicago-Naperville-Elgin metropolitan area, the stateâ€™s largest
real estate market, has been no exception when it comes to
population decline and slow, single-family home construction.
The Chicago metro area has built fewer single-family homes per
1,000 residents than the 10 most populous metropolitan areas,
except for Los Angeles and New York.
Chicago has built 8.1 new single-family homes per 1,000 residents
from 2010-2020, one of the slowest rates among major
metropolitan areas. Meanwhile, major metros that are growing
their populations rapidly have been building new homes at a
much faster pace. Houston, Dallas, Phoenix and Atlanta have all
built more than 35 new homes per 1,000 residents from 20102020.
Not
only has Chicago continually built single-family homes at a
slow pace, the area has been one of the slowest to recover since
the Great Recession for new home builds. Since new home construction
bottomed out in 2009, Chicagoâ€™s new home construction
recovery has been fourth-slowest among the 10 most populous
metropolitan areas in the nation.
Single-family home construction permits in Chicago are up 85%
since national lows in 2009 during the Great Recession. The only
major metropolitan areas to perform worse were New York,
Philadelphia, and Washington, D.C.
Likewise, major metros with fast-growing populations have seen
a more significant recovery. New single-unit home construction
in Atlanta is up over 400% since 2009, while construction in
Phoenix and Miami has seen permits increase well over 200%.
When families are looking to plant roots and make long-term
investments in a given area, demand for housing increases. New
home construction permits can be a valuable economic indicator
of larger macroeconomic trends. Barring a change in land
use regulations, slow growth in new home construction is an
indicator that future demand for new housing is expected to be
low. Because the demand for new housing is closely linked to
labor market performance, new home building can be an indicator
of the availability of employment opportunities and the
health of the local economy.
Unfortunately, Illinois labor market performance has persistently
lagged the rest of the region and population has fallen in
many Illinois regions. Despite low interest rates nationwide, a
decline in public investment coupled with higher taxes have
raised costs of owning a home and living in Illinois. Higher
housing costs, which lower demand for housing relative to
neighbor states, hurts new investment in housing. This is because
when the returns to housing investments fall, investors
find fewer investment projects worthwhile.
As such, these results donâ€™t come as much of a surprise in Illinois.
Similar
to the two worst-performing states on both the per capita
and total permit metrics â€“ Connecticut and New York â€“ Illinois
and Chicago have been experiencing population decline in recent
years. Employment growth has also been lagging in Illinois
for decades.
Illinois and Chicagoâ€™s population decline in driven entirely by
people moving out, and while the Census Bureau has had some
trouble pinpointing the exact magnitude of the decline, the
most recent official census count confirmed the phenomenon.
The major reasons Illinoisans are choosing to leave the state are
for better housing and employment opportunities, both of
which have been made worse by poor public policy decisions.
Nearly half of Illinoisans have thought about moving away, and
they said taxes was their No. 1 reason.
As more and more Illinoisans leave the state, there is less incentive
for builders to construct new homes. The lack of new inventory
also contributes to rising housing costs, exacerbating the
problem.
Another major reason why buying â€“ or living â€“ in Illinois hasnâ€™t
made sense for an increasing number of families is high property
taxes, which make housing even more unaffordable. Illinois is
home to the second-highest property taxes in the nation. The
taxes are so high that property taxes are the equivalent of nearly
seven additional mortgage payments annually for new homeowners.
These
taxes arenâ€™t going to amenities that improve the value of
communities for homeowners.
In the past two decades, less than 50 cents of every additional
dollar paid in property taxes went to pay for services. Statewide,
only 20% of the increases in property taxes collected for municipal
police and fire departments went toward protective services.
The
bulk of new tax collections went to pensions. This is because
growth in pension costs statewide has exceeded Illinoisansâ€™
ability to pay those bills. All else equal, when rising property
tax dollars do not go to valuable current services, Illinois housing
becomes less desirable and the exodus worsens.
Pension reform can shore up state and local government finances,
protect core services and reduce housing costs for Illinois
homeowners. All of which would make the state a more desirable
destination for would-be residents, helping to reverse outmigration
and bring new home construction back to Illinois.
Page 10
Jobs & Growth
Bryce Hill
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calls for full audit of his Administrationâ€™s unemployment programs
On July 28 the Auditor General released a financial audit of
IDES that detailed the Pritzker Administrationâ€™s failures regarding
the Pandemic Unemployment Assistance (PUA)
Program. While the audit covered only seven weeks of the
multi-month program, its findings were stark.
â€œThis audit is official documentation of Governor Pritzkerâ€™s
ongoing failure to lead,â€� said Sen. Plummer. â€œIt proves that
even as countless hard-working Illinoisans were forced into
desperate situations due to Governor Pritzker's unilateral
decisions, his Administration was completely unresponsive
to their needs and left the door to fraud wide open.â€�
Key findings from the report included:
â€¢ The Pritzker Administration failed to validate the identities
of over 4,500 claimants before paying them
$41,697,272.
â€¢ The Pritzker Administration paid PUA benefits to 164
claimants who were between the ages of birth and 13 years
of age. These children received unemployment payments of
more than $1,500,000.
â€¢ The Pritzker Administrationâ€™s failure to accurately document
eligibility resulted in potentially ineligible claimants receiving
benefits worth almost $155,000,000.
â€¢ The Pritzker Administration paid benefits to dozens of
deceased claimants, costing the state hundreds of thousands
of dollars.
â€¢ The Pritzker Administration, according to its own records,
paid benefits to individuals who have yet to be born.
â€œAs fraud and identity theft overwhelmed unemployment
claims, the Pritzker Administration sat idly by and IDESâ€™s offices
remain closed. Thatâ€™s not leadership,â€� said Sen. Plummer.
â€œFor months, Senate Republicans have been voicing
our concerns about the unprecedented levels of fraud within
Illinoisâ€™ unemployment system. Yet our calls have gone unaddressed,
leaving thousands of Illinoisans victims to a system
that should never have been allowed to fail them at their
most vulnerable point.â€�
On July 29, Sen. Plummer filed a Senate resolution calling
for a full performance audit of the issues within IDES.
The state had been warned. In April 2020, the federal government
recommended that Illinois implement additional
fraud-prevention tools. That warning fell on deaf ears in the
Pritzker Administration, which failed to act.
â€œGovernor Pritzker was warned about the dangers ahead,
but he chose to ignore common sense solutions. Now, and
for many years going forward, the people of this state will
pay the price," said Sen. Plummer. "It's unacceptable and
grossly negligent. The findings of this partial audit demonstrate
that we need a complete audit of the governorâ€™s management
of the stateâ€™s unemployment program.â€�
The full audit can be found at: https://
www.auditor.illinois.gov/Audit-Reports/Compliance-AgencyList/Emp-Sec/FY20-IDES-Fin-Full.pdf.
Page
14
×‰	Ú 7cassandra://IDhfz82WUUhc2n5xwV_8ClVPlTVeC0MsZ3HN67ha0b8Í2×Í`�ÌÆÍ �×a€¶ÕrKº…=×‰EÚ¬RENEWING MEMBERS
Archway Cooling & Heating - 38 years
AUTCOhome Appliances - 11 years
Authorized Appliance - 3 years
Bank of Hillsboro - 10 years
Belfor Property Restoration - 4 years
BOS - 6 years
Busey Bank - 27 years
C. A. Jones, Inc. - 26 years
Carrollton Bank - 2 years
Closet Factory - 12 years
D&F Home Builders - 22 years
Electro Door Systems, Inc. - 40 years
Fairway Independent Mortgage Corp. - 5 years
First Mid Bank & Trust - 5 years
Heneghan and Associates, P.C. - 3 years
Jacob Sunroom & Exteriors - 39 years
Kleinâ€™s Brand Source - 20 years
Lantz Jones - 4 years
Madison County Planning & Dev. - 5 years
Metro Marble & Granite - 4 years
Negwer Materials, Inc. - 21 years
New Tradition Homes - 17 years
Oâ€™Fallon Electric Company - 34 years
Osborn Homes, Inc. - 19 years
Pass LLC - 29 years
St. Clair Stairs - 1 year
Timmermann Concrete - 1 year
Town and Country Bank - 3 years
REMODELERS COUNCIL RENEWALS
Ambassador Floor Co.
Henges Interiors
J.T. McDermott Remodeling
PROFESSIONAL WOMEN
Drake Construction, LLC
IN BUILDING COUNCIL
Southwestern IL Council of Mayors started up their
monthly meetings, this month was in Oâ€™Fallon at Bella
Milano with over 80 participants including 20+
Mayors from the Metro East territory. HBR was
represented by our President, Ryan Butler; Past
President, Jeff Schmidt & EO, Tracy Butler that stole a
moment with Mayor Roach, his lovely wife Nancy and
Colonel Chris Robinson (pictured below)
Page 15
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NAHBâ€™s efforts to engage the White House to convene
a home building materials supply chain summit
seeking out solutions to end production bottlenecks
that have resulted in soaring material prices has borne
fruit.
This afternoon, NAHB, along with a diverse group of
stakeholders, participated in a virtual discussion
hosted by the White House regarding current
challenges across the home building supply chain, its
implications for the broader housing market, and
possible solutions. Administration officials
participating in the event included Commerce
Secretary Gina Raimondo, HUD Secretary Marcia
Fudge, Assistant to the President and Director of the
National Economic Council Brian Deese, Assistant to
the President and Director of the Domestic Policy
Council Ambassador Susan Rice, and Chair of the
Council of Economic Advisers Cecelia Rouse.
Thanks to our ongoing efforts, the issue of rising
material prices and supply shortages has been
brought front and center to the Biden administration.
NAHB stressed at this meeting that it is imperative
that lumber mill producers boost production in order
to meet rising demand.
A Year-Long Effort
This meeting was the culmination of a year-long effort
where NAHB has been in the forefront of educating
the public and policymakers about how rising lumber
and building material prices are harming home
builders, home buyers and the economic recovery.
NAHB leaders have appeared on CBS This Morning
and numerous times on Fox Business News. We have
also been featured in Bloomberg, CNN Business,
Fortune, CNBC and scores of local media outlets
across the nation calling for action to address rising
prices and supply shortages.
In the policy arena, NAHB has reached out to virtually
every member of Congress on this issue and held
talks with top White House officials and Cabinet
leaders. Thanks to the outreach of NAHBâ€™s grassroots
membership, several House and Senate leaders have
openly raised the issue of soaring lumber prices and
housing affordability with Secretary
Raimondo and U.S. Trade Representative Katherine
Tai. These efforts helped pave the way for todayâ€™s
meeting. In fact, Secretary Raimondo addressed the
NAHB Leadership Council on June 28 and said that
â€œsupply chain disruptions are at the top of my mind.â€�
Moving Forward
In another positive development, many in the
residential construction industry may have seen media
reports about the recent sharp drop in lumber prices.
While this is good news, the lumber crisis is far from
over. Most builders have not been able to take
advantage of this development because producers
are still selling off lumber that they purchased from
mills when prices were at their peak.
Moreover, sawmill output continues to lag. During
todayâ€™s meeting, NAHB underscored that if supply
does not increase fast enough to meet demand, we
may find ourselves in the same situation as last
November, when lumber prices posted a similar steep
reduction only to reverse course and move to recordhigh
levels.
And while lumber prices have just recently begun to
move downward, the price for other building materials
such as oriented strand board continue to soar.
While todayâ€™s White House meeting was a step
forward, we are not out of the woods yet. Looking
ahead, we will remain laser-focused on not only
lowering lumber prices and increasing supply, but
also keeping pressure on policymakers to improve
supply chains for all building materials in order to
protect housing affordability. NAHB will continue to
work relentlessly on all fronts to find solutions that will
ensure a lasting and stable supply of lumber and other
building materials for the home building industry at a
competitive price.
Learn more about what NAHB is doing to resolve the
lumber crisis by visiting our lumber page at nahb.org.
Page 16
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P
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President, Ryan Butler
Remington Properties
1st Vice President, Mike Lippert
Liese Lumber
2nd Vice President, Mike Needles
C.A. Jones, Inc.
Associate Vice President, Mindy Shafer
Wells Fargo Home Mortgage
Treasurer, Scott Gruber
First Mid Bank & Trust
Secretary, Jerry Yaekel
Yaekel & Associates, Inc.
Immediate Past President, Aaron Klemme
Klemme Construction
DIRECTORS
G
O
L
D
S
I
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V
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R
Allen
Roofing
& Siding
B
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O
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Page 19
Jason Klein - Ameren Illinois
Barry Buchman - Arrowhead Building Supply
Matt Warren - Carrollton Bank
Coy Mullenix - CMI Construction
Michelle Rauk - Eagle Flooring
Mark Fulford - Fulford Construction
John Snapat - Fulford Home Remodeling
Steve Macaluso - Halloran Construction
Jon Edler - Henges Interiors
Robert Dee, Jr. - Homes by Deesign, Inc.
Scott Blumberg - Huntington Chase
Ken Diel - Kerber, Eck & Braeckel
Mike Lippert - Liese Lumber
Josh McDermott - J.T. McDermott Remodeling Contractors
Derek Brandmeyer - Light Brite
Jason Huelsmann - New Tradition Homes
David Padgett - Padgett Building & Remodeling
Ron Padgett - Padgett Building & Remodeling
Scot Lehr - Quality Installation & Home Improvement
Jeff Schmidt - RLP Development
Sue Schultz - Sandberg Phoenix & von Gontard P.C.
Mike Rathgeb - Spencer Homes
Mark Vogt - Vogt Builders, Inc.
Jim Vernier - Village of Shiloh
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Maryville, IL 62062
Phone: 618-343-6331
E-mail: tbutler@hbrmea.org
Web: www.hbrmea.org
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