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July

Golf Outing Results

Builders Association of Northeast Indiana www.ba-ni.com (260) 665-8921

State of Indiana: Economic Impact of Home Builders

Indiana Builders Association www.buildindiana.org (800) 377-6334

Big Disconnect Between Washington and Voters

National Association of Home Builders www.nahb.org (800) 368-5242

Presidents Pen.... 2 Calendar .... 3 Legislative News .... ...4 & 5 Permits..... 6 NAHB News ....7 & 8 Golf Outing Results . 9

BANI Parade 2011 dates

Member Minute
Jeff Wilson, President Bob Buescher Homes

From the President of the Board

Welcome Summer!

2 0 1 1 B O A R D O F D I E C T

Fred Kreigh, Vice President K & F Construction Beth Cartwright, Treasurer Angola Lumber Dan Study, Past President Chapel Homes Dennis Spidel Dennis Spidel Custom Homes Jeff Deahl Four Seasons Design & Remodel Inc. Kevin Sibery Insurance & Financial Services Carl Cox J O Mory Mark Knisley

I sincerely hope all of our Builders and Associates are busy with projects and making money. I want to personally thank all of your for being a member of BANI and participating or contributing all that you do. But, I would ask that we all dig a little deeper and utilize each of our strengths to help BANI continue to grow to better serve our membership and profession.

We should all be proud of the recent state IBA membership report that has BANI as only 1 out of 4 state HBAs that have showed a positive increase for the year. As this is the prime of our season, I would like to set a goal of seeing our membership hit 100 by years end. Thats about 1 new member per week until December 31st. It can be done and we all know potential candidates to go after and sell the great benefits of membership in BANI.

Lastly, get fired up for the all new Builders Parade coming in August. There has been a lot of hard work by the committee to make this a special event!

Have a great month!

R Kuntry Lumber
Dan Keller Lutterbein Lumber Terry Hughes

Jeff Wilson, President of the Board

O Momper Insulation R Jack Musson S Musson Builders

2 The Higher Standard May

July
4 Happy 4th of July!!!!! 12 BANI Board Meeting @ Buck Lake Villa, 5:00pm

MARK YOUR CALENDAR BANI Builders Parade

August 11-14 & August 18-21 12 noon-6 pm Daily

IN Legislative News
INDIANAPOLIS An economic impact study conducted by the National Association of Home Builders (NAHB) Housing Policy Department shows that the home building industry in Indiana not only pays for itself, its economic impact results in new income and jobs for Hoosiers and additional revenue for local governments. The 10,107 single-family homes built in the State of Indiana during 2009 will generate a cumulative $1.25 billion in revenue, compared to only $1.08 billion in costs over the next 10 years. By the end of the first year the housing industrys economic impacts more than offset the fiscal costs resulting in a fiscal surplus to local governments. Additionally, by the end of the first year the fiscal surpluses are more than enough to pay off all debt and result in a surplus available to pay for additional government services. Collectively new single-family housing produces a net income to local governments of $166.5 million in the first year, and $322,300 each and every year thereafter. These results show that home building is more than paying its own way and should put to rest the notion that existing home owners are subsidizing new home construction here in the State of Indiana, said Dr. Elliot Eisenberg, the Senior Economist who conducted the analysis of the impact of home building here in Indiana. This is an excellent result and tells me that local residents should be thanking the building industry for footing the bill for a lot of city, county and state services. ...Continued on Page 5

The economic impact study looks at the impact of the construction industry in three phases: the construction phase; the ripple effect; and, the occupancy phase. The impact of the three phases are added up, and then compared to the cost of services such as education, fire, police, utilities, parks and recreation and roads that are required to support the new housing units. During the construction phase, the building of every 10,107 single-family homes

creates 15,431 jobs (10,676 jobs in construction alone), generates $173.7 million in local taxes and $979.6 million of local income in the first year. The ripple effect of those homes, which includes the wages and profits local area residents earn during the construction period that are spent on other local goods and services, results in another 9,572 jobs, $138.2 million in local taxes and $555.4 million in local income, also in the first year. The ongoing annual effect of those homes, which includes local jobs, income and taxes generated as a result of the home being occupied, is 5,640 jobs, $99.0 million in local taxes and $310.1 million in local income per year. It Andy doing their is important Senior. part to for us been to look closely for and a these at long these time numbers numbers, that show local that said home we IBA are President are very a Place, Weve build saying builders

community,

important player in the overall economic health of our state and local economy. The NAHB model used to determine the economic impact of the housing industry was first developed by NAHB in 1997 and has been applied to construction in more than 525 areas of the country. This study looks at the economic impact of building 10,107 single family homes across all of Indiana in 2009. The Indiana Builders Association (IBA) is a non-profit trade association representing more than 3,500 member companies. Members include residential builders, remodelers and businesses related to the housing industry. Learn more at www.Buildindiana.org. __________________________________________________________________________________________________________

The Higher Standard 5

Building Permits
Category Homes
Residential Additions

Noble* 10 8

Steuben 17 30

Industrial

June 2011 *In Noble County six towns issue building permits as well as the county, these numbers are reflective of the county. In Steuben County, the county as well as the city of Angola issue permits, these numbers are reflective of the county. BANI no longer publish housing permit data for LaGrange county as it is no longer provided.

6 The Higher Standard May

Poll Finds Big Disconnect Between Washington Policy Makers and Voters on Value of Housing

June 13, 2011 - Nearly three out of four American voters believe that it is reasonable and appropriate for the federal government to provide tax incentives to promote homeownership, a sentiment that cuts across partisan and regional lines across the country, according to a recent poll conducted on behalf of NAHB. Further, an overwhelming majority of respondents oppose eliminating the mortgage interest deduction and would be less likely to support a candidate for Congress who wants to do away with this vital tax incentive. "Despite the current housing downturn, Americans still see homeownership as a core value and a key building block of being in the middle class and creating strong jobs in their communities," said Celinda Lake, president of Lake Research Partners, which conducted the survey along with Public Opinion Strategies. "The bottom line: The bipartisan consensus outside the Beltway is that owning a home remains an essential part of the American Dream and voters would strongly oppose any efforts by lawmakers to increase barriers to homeownership," she said. Two thousand likely 2012 voters were surveyed from May 3 through May 9 to assess the public's attitude in the wake of the Great Recession towards housing, the mortgage interest deduction and the value of homeownership. The survey included data from key political "swing areas," broken out by House Republican freshmen seats, National Journal political analyst Charlie Cook's swing House and Senate seats, and Washington Post reporter Chris Cillizza's presidential toss-up states. For a Cook Political Report column in the June 4 National Journal on some of the political implications of the survey findings, click here. Among the poll's key findings:

73% of all respondents - both owners and renters - believe the federal government should provide tax incentives to promote homeownership. This support for housing runs strong among all party affiliations, with 79% of Democrats, 71% of Republicans and 68% of Independents agreeing with this statement. 76% of respondents among the Cook Report's key Senate races, 75% of voters in the Cook Report's swing House districts, 75% among Cillizza's presidential swing states and 71% of voters residing in GOP House freshmen districts voiced their support for the federal government to provide tax incentives to encourage homeownership. 71% of voters oppose proposals to eliminate the mortgage interest deduction, and 63% oppose efforts to reduce it. A majority are also against eliminating the deduction for interest paid on home equity loans, ending the deduction for interest paid on a second home, limiting the deduction for those earning more than $250,000 per year or capping the deduction for home owners with mortgages over $500,000. By a more than two-to-one margin (57% to 26%), voters said they would be less likely to vote for a candidate who supports eliminating the mortgage interest deduction. These figures held firm across the political spectrum, with 63% of Republicans, 56% of Independents, 55% of Democrats and 61% of tea party supporters saying they would be less likely to support a candidate who favored killing the deduction. 58% of voters residing in House GOP freshmen districts, 58% in the Cook Report's House swing districts, 56% among the Cook Report's Senate toss-up races and 54% of voters living in Cillizza's presidential swing states said that they would be less likely to vote for a candidate for Congress who proposed to eliminate the mortgage interest deduction.

Even when told that getting rid of the mortgage interest deduction would help ease the federal budget deficit, 65% of voters opposed any proposal to abolish the housing tax provision. This strong consensus cuts across partisan lines, with 69% of Republicans, 69% of Independents and 59% of Democrats opposing eliminating the deduction. Saving for a down payment and closing costs is seen as the biggest barrier to homeownership.

Among voters who are aware of proposals under consideration by Washington policymakers to raise the down payment requirements for a home loan, 92% believe it will make it more difficult to buy a home. Six federal agencies are proposing a national standard to require a minimum 20% down payment, which would be opposed by households most likely to be affected - mortgage holders and renters ages 18 to 54. Among voters in these age groups, 59% of renters and 58% of those holding a mortgage oppose adding that obstacle to buying a home. "The polling found that there is a significant disconnect between Washington policymakers and the nation's electorate when it comes to the mortgage interest deduction, the importance of homeownership and the need to keep housing a national priority," said Neil Newhouse, a partner and co-founder of Public Opinion Strategies. "The Administration and some in Congress are floating plans to curtail or even abolish the mortgage interest deduction and impose changes that would make it much more difficult and expensive to get a home loan," he said. "This is in direct opposition to the views of most Americans, who want the government to encourage growth in the housing market and to maintain tax incentives to keep housing affordable." The polling results also show:

75% of voters say that owning a home is the best long-term investment they can make. 73% of voters who do not now own a home say that it is a goal of theirs to eventually buy a home. An even greater percentage of home owners - 95% - say they are happy with their decision to own a home, and believe that owning their own home is important. 80% of home owners would advise a close friend or family member just starting out to buy a home. Americans believe that owning their own home is as important as being successful at their job or being able to pay for a family member's education.

"Those in Congress who believe that homeownership and housing choice should no longer be national priorities would be well-served to study the results of this poll and hear what the American people think," said NAHB Chairman Bob Nielsen. "To put it another way, America's voters have spoken," said Nielsen. "If Congress abandons policies to support the goal of homeownership and to keep housing affordable, lawmakers could be in for a rude awakening in the 2012 elections." Public Opinion Strategies is a national political and public affairs research firm based in Alexandria, Va. Founded in 1991, it has conducted more than 6 million interviews with voters and consumers in all 50 states and over two dozen foreign countries. Lake Research Partners is a leading public opinion and political strategy research firm providing expert research-based strategy for campaigns, issue advocacy groups, foundations, unions and non-profit organizations.
The Higher Standard 8

2011 Golf Outing Accomplishments

Teams:
1. Insurance & Financial Services 2. Shankopotamus 3. Home Lumber of New Haven 4. Renovations by Wagler 5. Bob Buescher Homes 6. Custom Homes 7. Reese Wholesale 8. Wabash Electric 9. Kuntry Lumber 10. King Concrete 11. Big C Lumber

Beverage Cart:
1. Home Lumber of New Haven 2. Croxton & Roe

Ticket Sponsors:
1. Bob Buescher Homes

Door Prize Donations:

Paragon Hamilton Lumber Momper Insulation Lutterbein IES Ritters Backyard Creations Accent Cabinetry Wabash Electric Reese Wholesale TLA Signs Wayside Furniture Gift Certificate Door Prize Contributions totaled $850.00

Individuals:
1. 2. 3. 4. 5. J.O. Mory Richards Building Supply Richards Building Supply 4-Seasons 4-Seasons

Tee:
1. Musson Builders 2. Campbell & Fetter Bank 3. Bob Buescher Homes 4. KPC Media Group 5. KPC Media Group 6. King Concrete 7. Springfeild Enterprises 8. Carter Lumber 9. Orizon Real Estate 10. Stark Plumming 11. Big C Lumber 12. Momper Insulation 13. Hanna Brothers Drywall & Paint

Prize Hole:
1. Insurance & Financial Services 2. DuMor Water 3. K & F Construction 4. Speed-way Redi-Mix

Thanks to all who participated in this years Golf Outing!

The Higher Standard 9

BUILDERS ASSOCIATION OF NORTHEAST INDIANA PO Box 861 1400 Wohlert St. Angola, IN 46703

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