2018 HBAI President Scott Webster, 2017 HBAI President Tim Ruth, and HBAI Executive Officer Jay Iverson had a great time last Friday evening at the Quad Cities Builders and Remodelers holiday party last Friday evening. Over 100 members gathered together to change leadership, raise PAC funds, celebrate victories, and share an awesome meal.
Legislative Update – January 19
The Governor was able to get her top priority delivered with water quality after the House’s bipartisan passage of SF 512 in a 59-41 vote. The governor noted that this is an important next step in making Iowa’s lakes, rivers and streams cleaner. The Senate previously passed SF 512 during the 2017 legislative session. The passage of the same legislation by the House on Tuesday follows several legislative sessions, multiple bills on the issue and dozens of hours of debate.
Our HBAI Legislative Committee also discussed a number of other issues including opioid issues, plans for Iowa Prison Industries to build homes, personal property rights, along with rural and rehabilitation issues.
Mechanics Liens & Public Construction Liens (Baltimore) [HSB 524] – Under current law, a lien statement may only be amended by leave of court in furtherance of justice or as to the amount demanded. The bill provides that a lien statement may only be amended by leave of court in furtherance of justice or to decrease the amount demanded. An amendment to decrease the amount demanded must be accomplished through the mechanics’ notice and lien registry. The bill provides that amending a lien statement to decrease the amount demanded does not affect the priority of the lien statement. The bill also provides that a lien statement shall not be amended to increase the amount demanded.
PUBLIC CONSTRUCTION LIENS. Current Code section 573.15 7 provides an exception to the requirement that a public corporation retain a portion of funds due a contractor on a public improvement project in a fund for the payment of claims for materials furnished and labor performed. The exception provides that a public corporation need only retain funds due a supplier of material to a general contractor if the supplier provides the general contractor with one of two permitted types of notice after the materials are supplied. The bill provides that, in addition to claims for materials, the exception shall apply to claims for labor, service, or transportation. The bill also amends the notice requirement to provide that a supplier of labor, materials, service, or transportation to a general contractor must give only one type of notice, along with a certified statement that such notice was given. The bill repeals Code section 26.13 (public construction bidding — early release of retained funds) and creates new Code section 573.28 with the same language except for corrected internal references.
Mortgage Releases (Baltimore) [HSB504] Companion to (Zaun) [SSB3013] – – The bill amends Code section 655.1 to require that within 30 days of a mortgagor fully paying off a mortgage, a mortgagee must execute, acknowledge, and record a written instrument of satisfaction referring to the mortgage. The bill provides that if the mortgage secures a revolving line of credit, then the mortgagee is not required to file a satisfaction upon payment in full unless the mortgagor makes a written request to the mortgagee that the mortgage be released. The bill amends Code section 655.3 to establish a penalty of $500 and to allow reasonable attorney fees to be awarded in addition to rather than included in, actual damages, where a mortgagee, or a mortgagee’s personal representative or assignee, upon full performance of the conditions of the mortgage, fails to discharge such mortgage within 30 days after a request for discharge. The bill also amends Code section 655.5 to increase the penalty from $100 to $500 if a mortgagee fails to file a satisfaction of judgment within 30 days of receiving a written request.
Motor Vehicles Approaching Stationary Construction Vehicles (Carlson) [HSB509] – This bill expands the list of protected stationary vehicles to include stationary construction vehicles, and permits construction vehicles to display amber flashing lights.
Workforce Housing Tax Incentives (McKean) [HF 2004] [Companion to SF2033]: definition of small city – The workforce housing tax incentive program (program) administered by the Iowa economic development authority (authority) provides various tax incentives to taxpayers who complete certain housing projects in Iowa. The total tax incentives issued per fiscal year cannot exceed $20 million, and $5 million of that total cap must be reserved for tax incentives issued to housing projects located in small cities. Under current law, the definition of “small city” includes any city or township not located within the 11 most populous counties in the state.
Wage Statements by Electronic Means (Rogers) [HF 2019] – Current law requires employers to provide certain employees on each regular payday with statements showing hours worked, wages earned, and pay deductions made. The employer may send the statement by mail or provide it at the employee’s normal place of employment during normal employment hours. This bill also permits an employer to provide the statement by secure electronic transmission or by other secure electronic means.
Power of Attorney and Real Property (Zaun) [SSB3014] – This bill provides that, unless a power of attorney otherwise provides and subject to certain restrictions contained in Code section 633B.201, an agent that has been granted general authority with respect to real property is authorized to relinquish any and all of the principal’s rights of dower, homestead, and elective share. The bill is effective upon enactment. The bill applies retroactively to July 1, 18 2014.
Energy Conservation Requirements and State Building Code (Smith) [SF388] [Successor to SSB1126] – The bill provides that if a governmental subdivision adopts minimum energy conservation requirements that are not less restrictive than the 2009 edition of the international energy conservation code, then applicable residential construction must comply with the energy conservation requirements adopted by the governmental subdivision in lieu of the energy conservation requirements adopted by the commissioner.
Not a very exciting photo, but an incredibly exciting announcement! HBA Federation member Kreg Tool donated $100,000, plus a giant pile of tools, to the Des Moines Public Schools Central Campus Skilled Trades Alliance. It’s an awesome project and this continues to help the entire skilled trades effort rocket forward. Thanks Kreg Tool!
Top Ten Call Backs
2-10 Home Buyers Warranty just released its list of the top ten call back issues for 2017. There were over 42,000 reported defects on behalf of builder members last year with an average cost of $476. Here is the list:
- Finish Carpentry
- Exterior and Interior Doors
- Switches and Receptacles
- Appliance Warranties
- Hard Surfaces, Marble,Tile, and Slate
- Heating and Air Conditioning
- Plywood and Joists.
IFA Video with Iowa Workforce Development Director Beth Townsend
The Iowa Finance Authority just released this video carrying the same skilled trades message that we’re all working hard on.
This is pretty fun, not something that happens everyday – HBAI Board of Director member Brandon Patterson (RE/MAX Des Moines) was interviewed by an international news wire service last week and the story was picked up by Swiss TV on Tuesday. It highlights the Des Moines area and construction needs – we have no idea what they’re saying with the interpretations, but he looked good doing it. They did attempt to discredit the Trump administration as much as possible. Check it out by clicking here.