Vol. 8, No. 15 – July 20, 2009

Minimum Wage to Increase This Month - The minimum wage will increase on July 24 (this Friday) to $7.25. This will mark the third increase in minimum wage since 2007 as determined by the Fair Labor Standards Act (FLSA). Youths under 20 years of age may be paid a minimum wage of no less than $4.25 an hour during the first 90 consecutive calendar days of employment. For more information on the minimum wage, check out the Department of Labor’s Web site at www.dol.gov.

PREPARE EMPLOYEES WITH ONLINE TRAINING

Now is the time to brush up on industry knowledge to prepare for the building boom to come. For years, MLA members have said they would like to provide industry-specific education to employees, but the cost of travel was prohibitive and the time away from work burdensome.

Now, State Fair Community College (SFCC) has partnered with the Mid-America Lumbermens Association to provide online training to MLA members and their employees in Building Materials Merchandising (select class link for start dates and course descriptions):

Construction Materials Methods I (CNST 101)
Construction Materials and Methods II (CNST 103)
Construction Estimation (CNST 106)
Salesmanship (BSMT 110)

Each course is offered for college credit, but MLA members do not have to be involved in a degree program to take a class.

MLA members will receive the local district rate for tuition and fees, which for the 2009-2010 academic year is $107 per credit hour, and the admissions application fee will be waived.

Ready to get started?

Download the admissions application for MLA members and return it via e-mail to the Admissions Office at admissions@sfccmo.edu.

Within three business days of receipt of your application, you will receive an e-mail from SFCC with information about how to access mySTAR, the student portal, and your online class.

For information on how to pay your tuition and fees, visit www.sfccmo.edu/payingyourbill

For more information about the program, visit the SFCC web site at:

http://www.sfccmo.edu/buildingmaterials

EFCA: No Compromise

Today’s New York Times reports that a small group of Senate Democrats may be close to agreeing upon a new version of EFCA, which would be introduced under the guise of “compromise” despite being nothing more than re-packaged EFCA. The Times report states that new EFCA would not contain the existing version of card-check, but instead allow for “quickie” elections and workplace access for union organizers while still presumably foisting binding interest arbitration on employers and employees. Read the entire article here.

In response to the Times story, SEIU head Andy Stern has stated that “we expect a vote on a majority signup provision in the final bill or by amendment in both houses of Congress.”

Compromise = EFCA… or worse…

These EFCA variations have been floated in the past and CDW has effectively pushed back on these proposals as nothing more than a repackaging of EFCA. While proponents of EFCA have started to advance what they deem to be “reasonable” alternatives to card-check, it is crucial that CDW members remember that “compromise” is simply a legislative trick to get to 60 votes in the Senate. After cloture has been invoked on a “compromise” bill, EFCA supporters can insert card-check as an amendment on the Senate floor, or simply wait until the conference committee with the House to make the changes they want.

The House can pass EFCA, as is, whenever the Speaker decides to do so. Therefore, EFCA looms over any debate on “labor law reform” much like the sword hanging tenuously over the head of Damocles, effectively eliminating the possibility of serious debate on the subject.

CDW Talking Points

Please see the attached talking points that address proposals such as “quickie” elections and workplace access. Also helpful is CDW’s letter to the Senate, dated May 6 of this year, which outlines the serious problems with proposals for the alternative versions of EFCA. You can read that letter here.

Source: Brian Worth, Coalition for a Democratic Workplace, July 17, 2009

ProDealer Industry Summit taps Pat Buchanan

Pat Buchanan will deliver the keynote address during the 2009 ProDealer Industry Summit Oct. 7 to 9 at the Arizona Biltmore in Phoenix.

The event is organized jointly by the National Lumber and Building Material Dealers Association (NLBMDA) and Home Channel News.

Buchanan will discuss the current political climate in D.C. and the housing crisis, as well as offer his take on the administration, Congress and government efforts to bring the economy out of recession.

A former presidential candidate, adviser to presidents, author and analyst, Buchanan will help lead off the event with a keynote address 6 p.m., Wednesday Oct. 7, the opening night of the event.

Buchanan has been a senior adviser to three presidents, a two-time candidate for the Republican presidential nomination and was the presidential nominee of the Reform Party in 2000. He has also written nine books, including six straight New York Times best sellers. He is currently a columnist, political analyst for MSNBC, chairman of The American Cause Foundation and an editor of The American Conservative.

The ProDealer Industry Summit is expected to attract hundreds of LBM dealers, wholesalers, distributors and suppliers. Other speakers during the event include Yelena Takhtamanova, an economist at the Federal Reserve Bank of San Francisco; and Michelle Desiderio, director of green building programs for the National Association of Home Builders Research Center.

Source: HCN ProDealer Digest, July 7, 2009

2009 MILL TOUR – DEADLINE AUG. 1

Coeur D’Alene, Idaho and Spokane, Wash. are the destinations for the 2009 Mill Tour. Join fellow lumberyard owners, managers, employees and spouses on this affordable and fun annual event. October is a beautiful time to visit the area and the scenery will be spectacular. Industry tours, your hotel stay and excursions are included in the cost of the tour. Travel to the sites in the comfortable motor coach bus, which is entertaining in itself.

The tour will begin in Spokane on Sunday, October 4, with a welcome reception, where you will meet your fellow travelers and receive a souvenir jacket. Industry tours at Idaho Forest Group, the new company formed from the recent merger of Bennett Forest Industries and Riley Creek Lumber, and Potlatch Corporation are being planned. The group will also be visiting the Grand Coulee Dam and a couple of wineries while in Washington. In northern Idaho the group will tour Caribou Creek Log Homes, a high-end log-home builder. You will stay at the Coeur D’Alene Resort for a couple of nights and take an afternoon cruise on the lake. There will also be an excursion to a gold mine and to Sandpoint, a beautiful little town in the foothills of the Rockies where Coldwater Creek Company was founded.

If you are interested in joining the tour, contact Sally at Northwestern Lumber Association, 763-595-4058 or 800-896-5134 or email her at smeans@nlassn.org . Click here for registration form.

SAVE THE DATE

October 4-8 - 2009 Mill Tour - Idaho & Washington

October 7-9 - NLBMDA ProDealer Industry Summit, Phoenix, Ariz.

Nov. 5-6 – MLA Fall Fling – Kansas City, Mo.

Call the MLA Office – 800-747-6529 – for additional information or email: mail@themla.com

LUMBER NEWS – QUICK GLIMPSES

Top 500 Scoreboard Report… In the annual Scoreboard report, combined home channel sales slip 5.1%, but bright spots shine through the gaps.

The 2009 Home Channel News Top 500 Retail Scoreboard shows total sales of $237.4 billion, a 5.1% decline from the previous year. That’s only the second decline in the history of the Scoreboard, and it’s the second decline in a row. But here’s another way to look at the numbers: fourth best of all time. Only the Scoreboards of 2007, 2006 and 2005 had higher total revenues. To be sure, there were pockets of high performance, even in the pro dealer sector, which has struggled in the face of extreme housing start declines.

Source: Home Channel News, July 7, 2009

More Single-Family Housing Starts? The U.S. housing sector is in its worst downturn in more than 50 years. With five months of data in, single-family housing starts are poised to average just 370,000 units at a seasonally adjusted annualized rate in the first half of 2009. This is far and away the lowest level in the 59-year history of the series. The question now is: Are we likely to stay at these levels and, if so, for how long?
Read More

Source: ProSales Business Update, July 8, 2009

Open Book Management Can Empower Employees… Giving employees access to a company's financial records can increase sales and cut costs, writes John Tozzi. Showing employees exactly how much money they need to pull in to keep the company afloat can be a powerful motivator in tough times, he notes, while having a broader sense of their financial impact on the company can help them find ways to do their jobs more efficiently. It’s not enough just to provide access to data, Tozzi argues, leaders have to be willing to give workers the ability to act on the information they’re being handed. Read more.

Source: U.S. Chamber, SmartBrief on Leadership, July 9, 2009

Keep Using Current I-9 Form… You might have noticed that the I-9 Form that had been updated in February of this year has an expiration date of 6-30-09. Please be advised that even though it appears to be expired, it is still valid. We will be monitoring the release of the updated form and will send it to you when it is available.

Quote from the U.S. Citizenship and Immigration Service: “USCIS will update Form I-9 when the extension is approved. Employers will be able to use either the Form I-9 with the new revision date or the Form I-9 with the 02/02/09 revision date at the bottom of the form.”

How to Open Your Ears… Better listening is a hallmark of great leadership, writes Steven Berglas, and like every other vital skill, it takes practice. Getting the most out of conversation requires taking a step back and lowering one’s defenses so that the new information can really sink in, he writes. Read article.

Source: U.S. Chamber SmartBrief on Leadership, July 13, 2009

Big Housing Demand to Come… Despite the current dismal housing market, blue skies are ahead. That’s according to a report released recently by Harvard University’s Joint Center for Housing Studies. According to the report, housing demand will surge as the echoboom generation enters the market.

Echo-Boomers, those persons born from 1981-2000, are expected to boost the annual average household growth to more than 1.25 million between 2010-2020 as they move into the prime home buying ages of 25 to 44. Even in the worst of circumstances, the Joint Center report estimates the annual household growth to be comparable to the growth experienced from 1995-2005. “The number of echo boomers aged 25 to 44 will eclipse the number of baby boomers when they were those same ages by more than 5.9 million,” according to the report. The complete report can be downloaded here.

Source: Quick.Net.News, published by Ohio Construction Suppliers Assn., July 13, 2009

DHS to Increase I-9 Compliance Efforts… Recently, the Immigration and Customs Enforcement (ICE) agency announced that it was increasing its I-9 compliance enforcement efforts. The I-9 form is the eligibility-for-employment form that requires verification of certain documents. At the same time, Homeland Security Secretary Janet Napolitano announced that the agency would rescind the controversial Social Security No-Match Rule, which had been blocked by a court order. Under the “no match” program employers who receive letters from the Social Security Administration, noting multiple errors with the social security numbers filed with W-2s, would also receive a letter from the DHS at the same time, warning the employer that they need to fix the errors or risk liability for “knowingly” hiring illegal aliens.

This past week, the Senate approved its Homeland Security funding bill (H.R. 2892) with amendments to make the E-Verify system permanent and to block DHS from rescinding the No-Match Rule. The House-passed version does not include that language, but it is not clear when the House and Senate will resolve differences between their versions of the funding bill.

Source: NLBMDA E-Update, July 13, 2009

Recession Will End This Year? Mark Zandi, chief economist for Moody’s Economy.com, is predicting the recession will end this year. That’s more than good news during a period that saw more than 8 million jobs lost, housing starts drop to an annualized level of 500,000 units, down from more than 2 million in 2005, while banks large and small have failed, Builder reports. Read More

Source: ProSales Business Update, July 15, 2009

Pennsylvania Home Improvement Contractor Law Now in Effect… In an effort to thwart dishonest contractors and their fraudulent actions, Pennsylvania has enacted the Home Improvement Consumer Protection Act. In effect as of July 1, 2009, the Act requires all contractors who perform $5,000 or more in home improvements annually to register with the Attorney General’s office. Registered contractors must carry at least $50,000 of personal injury liability coverage and $50,000 of property damage coverage.

The registration costs just $51, but some remodelers are finding the new law also costs a lot of time and effort. Read more.

Source: Remodeling Business Update, July 15, 2009

ABS President to Retire, New President Named… The Board of Directors of Allied Building Stores, Inc., a Monroe, La., based lumber and building materials cooperative, has announced the retirement of long-time president, Laddie Woods, effective August 31, 2009. Mr. Woods began at Allied Building Stores as office manager in June 1978. He was named president within a year and has served as president the past 30 years. Mr. Woods will remain at Allied Building Stores in the role of chief financial officer upon his retirement as president.

David Stiles, a 40-year veteran of the building material industry, will succeed Mr. Woods as president, effective September 1, 2009. Mr. Stiles began at Allied Building Stores in 1997 as manager of dealer relations. Most recently, Mr. Stiles has been serving as president-elect in the planned transition process. Mr. Stiles has garnered experience on the manufacturing side and the dealer side, in addition to his experience with ABS.

Source: ABS, July 16, 2009

New Efficiency Standards for Lighting… The Department of Energy published a final rule setting new energy-efficiency standards for general service fluorescent lamps and incandescent reflector lamps. The rule requires electricity consumption to be reduced by 15% for fluorescent lamps and by 25% for reflector lamps. The rule goes into effect July 14, 2012.

Source: NRHA Hardware Retailing Newsletter, July 19, 2009

Other Dates to Note… Enforcement of the Federal Trade Commission’s Red Flags Rule, requiring companies offering credit to have written identity theft protection plans, begins Aug. 1. The Consumer Product Safety Commission’s lead-in-paint rule goes into effect Aug. 14; after that date retailers cannot sell paint containing more than 0.009% lead to consumers.

Source: NRHA Hardware Retailing Newsletter, July 19, 2009

Prepare to Recover

When a natural or other disaster strikes, life suddenly changes. Defend yourself with a disaster recovery plan. We hope you’ll never have to use it – but it can make the difference between the loss of your business and its survival.

We introduced you to the Institute for Business and Home Safety (IBHS) and its Open for Business® Toolkit in early 2008. This program helps you reduce potential loss and reopen quickly if your business is forced to close due to a disaster.

In 2008, the weather was a stark reminder of the importance of a disaster recovery plan. We witnessed tornadoes, flooding, hurricanes, wildfires, and drought conditions.

Is your business prepared for any of these scenarios? What about your employees? Not only does IBHS offer tools to protect your business, it also has tools and guides to teach your employees how to prepare their families and homes for disaster.

Maybe we can’t fight Mother Nature, but we can prepare to recover from her fury.

To register, go to www.federatedinsurance.com and select Open for Business/Disaster Planning.

This article provided courtesy of Federated Mutual Insurance Company, your association’s recommended insurer.

MLA is proud to endorse….