Mid-America Lumbermens Association

MLA LINE

Lumber Industry News Express

 

Vol. 7, No. 20 – September 29, 2008

 

 

In this issue:

Fire Sprinklers Mandated in IRC

Vote in the MLA Election 

Plan to Attend 2008 Fall Fling

Federated Named to Ward's Top 50 List

California First State to Approve Green Building Standards

Save the Date

WWPA's Estimates Put Lumber Production at Two-Year Low

NLBMDA Seeking Clarity on Lacey Act Requirements

ADA Expansion Passes Congress

BC: Bell Introduces Beetle Plan

Generational Interaction

Treasury Plans Acquisition of Mortgage Assets

ProBuild to Close Texas Plant

Offshore Drilling OK'd by House Democrats

October is Fire Prevention Month

Today's Quote

 

 

 

FIRE SPRINKLERS MANDATED IN IRC

 

Fire sprinkler mandates will be part of the 2009 International Residential Code and will be required in all one- and two-family homes and townhouses that build to the code as of January 1, 2011.

 

The sudden – and controversial – arrival on Saturday of 900 fire officials eligible to vote at the International Code Council’s final action hearings in Minneapolis swelled the number of sprinkler proponents and the measure was approved by a vote of 1,283 to 470 on Sunday morning.

 

About 1,200 voting devices were turned in immediately after the residential fire sprinkler mandate was approved, suggesting that most of the proponents left immediately after the vote was taken.

 

Source: Nation’s Building News, September 22, 2008

 

VOTE IN THE MLA ELECTION!

 

Ballots for the election of officers and directors to fill vacant positions were mailed to members 10 days ago. If you have not completed and returned your ballot, be sure to do so by the Thursday, October 16 deadline. One representative from each MLA-member company is eligible to vote. If you have any questions, please contact MLA at 800-747-6529.

 

 

PLAN TO ATTEND 2008 FALL FLING

NOVEMBER 6-7

  

The deadline to sign up for the MLA Fall Fling is less than a month away. Plan now to attend this timely program that will help get your company on track or continuing in the right direction in 2009. The big national election will be history, and it will be time to move forward and make plans for 2009.

 

The “Fall Fling” is the Annual meeting of MLA members. Thanks to members’ enthusiastic response, we are continuing this outstanding event and it keeps getting better. This year’s seminar on Friday, November 7, will be “Benchmarking for Excellence” – a  fact-filled half-day program presented by Mike Butts of LBM Solutions. This seminar will provide the independent lumberyard with the tools necessary to benchmark or “baseline” their entire operation.

 

This will enable the team to design and begin the implementation of a continuous process improvement program. Process improvement is not becoming 100 percent better in one area, but rather, identifying areas that call for improvement and making incremental adjustments that enable a business to reach its ultimate goal.

 

Some of the areas covered are efficiency in the delivery and operations areas (identified by most builders as their chief complaint), along with accurate price comparison, financial analysis and comparison with similar operations across the country. As an additional program note, contractor customer service issues and customer account management are also discussed.

 

Both dealers and associate members appreciate the opportunity to mingle with one another and to exchange ideas.  Again this year, we’ll have a casual yet highly informative and educational event that will be well worth your time. Valued at $225 per person, members’ attendance is complimentary. Please plan to participate in this exciting event.

 

For more information, call Olivia at 800-747-6529, or visit our web site at www.TheMLA.com.

 

 

FEDERATED NAMED TO 2008 WARD 50® TOP PERFORMERS

 

The Federated Insurance Companies has been named to the 2008 Ward’s 50® list of top performing insurance companies. Federated is one of only two organizations that have had affiliated companies named to both the property-casualty and life-health Ward’s 50® group of companies every year since 2001.

 

The Ward Group® is a Cincinnati-based management consulting firm specializing in the insurance industry. Each year, it reviews approximately 3000 property and casualty companies and 900 life insurance companies. Ward then recognizes 50 companies that have achieved outstanding financial results in the areas of safety, consistency and performance over a five-year period (currently 2003-2007).

 

 

 

CALIFORNIA FIRST STATE TO APPROVE GREEN BUILDING STANDARDS

 

The action came July 17 at the regular meeting of the California Building Standards Commission. The new green codes, which are currently voluntary and are set to begin in July 2009, are the product of a number of organizations.

 

The new codes will ultimately require that all new construction reduce energy usage by 15 percent, water use by 20 percent and water for landscaping by 50 percent. Voluntary versions of the new codes will begin July 2009. Mandatory versions of the new codes are anticipated to be in place by late 2010 or 2011.

 

Source: The Lumber Log, published by the Lumber Association of California and Nevada, August 2008

 

 

 

 

SAVE THE DATE

 

October 1-3 – NLBMDA Industry Summit – Chantilly, Va.

October 12-17 – 2008 Mill Tours - Carolinas

Nov. 6-7 – MLA Fall Fling – Kansas City, Mo.

March 3-4, 2009 – Estimating & Blueprint Reading

 

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

 

 

 

 

LUMBER NEWS – QUICK GLIMPSES

 

WWPA's Estimates Put Lumber Production at Two-Year Low According to the Western Wood Products Association, sawmills in the West produced less lumber in 2007 than at any in the last ten years. The 12 western states put out approximately 16.32 billion board feet in 2007, a 9.3% decrease from 2006. In 1996, sawmills across the western states produced only 15.8 billion board feet.

 

Source: LBM Daily, September 19, 2008

 

NLBMDA Seeking Clarity on Lacey Act Requirements… NLBMDA and a broad group of industry associations have been working with the federal agencies responsible for implementing the Lacey Act Illegal Logging law to seek guidance on how industry can best comply with the new requirements. Beginning Dec. 15, importers are expected to file paperwork declaring the genus, species, and country of origin of any wood or plant product, although Customs is struggling with creating a reporting system to meet that deadline. NLBMDA is also highly concerned about claims from the Justice Department that the “innocent owner” provisions NLBMDA secured in the law do not apply to the forfeiture of illegal products under Lacey. In response to the implementation questions raised by NLBMDA and others, Congress has agreed to a proposal from Customs and Justice to defer enforcement actions until April 1, 2009.  Members with questions may contact Colleen Levine at colleen@dealer.org

 

Source: NLBMDA By-Weekly Update, September 19, 2008

 

ADA Expansion Passes Congress  Congress on Wednesday passed legislation to expand the protections for people with disabilities and make it easier for workers to claim discrimination under the Americans with Disabilities Act (ADA), while clarifying the obligations of employers under the law.  Supreme Court decisions had limited the ability of people with conditions controlled by medicine, such as epilepsy and diabetes, to claim coverage under the ADA.  This new legislation, which President Bush has announced his intention to sign, will clarify that the ADA does cover those employees.

 

Source: NLBMDA By-Weekly Update, September 19, 2008

 

BC: Bell Introduces Beetle Plan New B.C. Forests Minister Pat Bell has introduced a plan to prevent a decrease in the timber supply due to the pine beetle epidemic. The essence of Bell's plan would be to utilize more dead pine immediately, leaving more timber for later harvest. He would also spend more money on growing larger trees faster. According to Bell's office, implementation of his plan would increase the annual allowable cut to 29 million cubic meters.

 

Source: LBM Daily, September 22, 2008

 

Generational Interaction Randstad USA, an Atlanta-based think tank and consulting firm just completed their annual 2008 World of Work survey. An intriguing piece of data found that the four generations in the workplace (Gen Y, Gen X, Baby Boomers, and seniors) barely interact with one another. If this is happening at your firm, it is preventing the knowledge and skills held by the two older generations from filtering down to the younger ones.

 

If this is the case, the first thing to do is acknowledge it and discuss the situation with your people. Of course, the solution is to create cross functional work teams of all ages that bring the generations together. I am not talking about mentoring, but teams working together towards achieving specific outcomes and goals. Nothing brings people together and creates bonds like being successful on a project or taskforce together. It also eliminates stereotyping and biases.

 

Source:  Bob Losyk, MEd., M.B.A., C.S.P. is a Certified Speaking Professional, master trainer, author, and President & CEO of Innovative Training Solutions, a Greensboro, NC consulting firm. For more information on Bob’s keynotes, seminars, best practices facilitation, panel discussion leader, and products, please visit his websites at www.boblosyk.com and www.getagriponstress.com or call 1-800-995-0344.

 

Eater of the Dead: Treasury Plans Acquisition of Mortgage Assets The term "crisis" appears to be an apt one for the current economic situation. The U.S. has been deeply wounded by Bear Sterns, Indy Mac, Fannie Mae and Freddie Mac, and the most recent collapse of Lehman Brothers, Merrill Lynch and AIG was threatening to deliver yet another severe blow to the ailing markets. Congressional and government leaders have responded by charging into the fray waving fistfuls of cash hoping to curtail at least some of the volatility.
 
It has been a harrowing time for the government's financial market overseers. They were forced to give an $85 billion loan to AIG to keep afloat, while Barclays was allowed to absorb Lehman Brothers at a quickened pace. They helped JP Morgan purchase Bear Sterns and devised rescue operations for Fannie Mae and Freddie Mac. The Central Bank has tried to mainline liquidity into the marketplace with Term Auction Facilities (TAFs) that are now running at $150 billion per month.
 
And the ongoing strategies continue to be swift and diverse.
 
Central banks around the world have joined forces and pumped nearly $600 billion into global markets to keep them from buckling further. The Federal Reserve Board has broadened the collateral eligible to be pledged at its Primary Dealer Credit Facility (PDCF), which had previously only been limited to investment-grade securities and top-tier mortgage assets. It did the same for its Term Securities Lending Facility (TSLF), and increased the total amount of the TSLF auctions from $175 billion to $200 billion.
 
The Fed then also allowed investment banks Goldman Sachs and Morgan Stanley to change their status to bank holding companies, enabling them to be eligible for Central Bank loans and to take deposits to broaden their resource base. The Securities and Exchange Commission (SEC) has also temporarily banned the short-selling of stocks and pushed through the acquisition of Lehman Brothers; then over the weekend, SEC Chairman Christopher Cox, Treasury Department Chairman Henry Paulson and Fed Chairman Ben Bernanke met with lawmakers to hammer out even more aggressive measures to salvage the U.S. economy, including an epic $700 billion bailout plan.

 

The newest bailout plan will give the Treasury Department the authority to purchase troubled assets from financial institutions. Over the next two years, up to $700 billion in residential and commercial mortgage-related assets that originated before September 17, 2008, including mortgage-backed securities and whole loans, will be consumed by the agency. At the same time, Bernanke and the Fed will have the discretion to purchase other assets as warranted to keep markets moving toward recovery. The money for the buyouts will come directly from Treasury's general fund and increasing the public debt limit.

 

Source: Matthew Carr, NACM Staff Writer, NACM eNews Weekly Update, September 23, 2008

 

ProBuild to Close Texas Plant Building products giant ProBuild will close its Jarrell, Texas, manufacturing plant, the company confirmed today.

 

The company plans to close the manufacturing facility in November, with about 85 workers to be affected by the move – about half of the plant’s employees will be laid off, and half will be offered jobs at other ProBuild locations.

 

ProBuild plans to continue servicing its Austin-area customers through other area locations, according to the company.

 

ProBuild currently operates more than 550 lumber and building product distribution, manufacturing, and assembly centers serving 41 U.S. states.

 

Source: Home Channel News, ProDealer Digest, September 26, 2008

 

Offshore Drilling Bill OK'd by House Democrats... Offshore oil drilling, which has dominated energy debates in the presidential campaign, is now coming to the Senate.

The House late Tuesday approved on a 236-189 vote legislation that would open waters 50 miles off the Pacific and Atlantic coasts to oil and natural gas development - if the adjacent states agree to go along.

The legislation now goes to the Senate, where Democratic leaders are expected to mold it to their liking in the next few days.

 

Source: MSNBC, September 25, 2008 – Read the whole story: http://www.msnbc.msn.com/id/26859275/

 

 

 

October Is Fire Prevention Month

 

Fire Prevention Week

 

Fire Prevention Week was established to remember the Great Chicago Fire, which began on October 8, 1871, and destroyed most of the city by the next day. Because the fire did most of its damage on October 9, Fire Prevention Week always occurs in the week of October 9th. Over the years, the commemoration has evolved into the longest-running public health and safety campaign in the country.

 

Fire remains a major risk to businesses and prevention is the best defense. However, some fires are not preventable so your business should be prepared just in case.

 

Do you have a fire escape plan? Do employees know where the fire extinguishers are and how to use them? Are smoke alarms installed and functioning properly? Do all employees know what to do in the case of a fire?

 

How to set up a basic fire escape plan:

 

§    Prepare and post maps for the entire floor area. Label all windows, doors, and stairways for each room.

§    Decide on the two best exits from each room or area.

§    Use black arrows to show normal exits through halls or stairways; colored arrows to show alternate routes. Include rooftops if accessible.

§    Try your escape routes. Are they realistic and practical for emergency use?

§    Test windows. Can employees or customers easily unlock, open and exit through them? If not, place tools nearby.

§    Designate a meeting place outside, preferably the front of the building.

§    Appoint leaders to direct exiting and account for employees and customers.

§    Hold fire drills every six months and evaluate results to improve procedures.

§    Adapt this plan for any offsite buildings.

 

 

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

MLA is proud to endorse….

 

 THOUGHT FOR THE DAY

“Stuff your eyes with wonder... live as if you'll drop dead in ten seconds. See the world. It's more fantastic than any dream made or paid for in factories.”  -- Ray Bradbury, Fahrenheit 451

We're here to help. Until next time....

 

 

MLA Staff     

816-561-5323

800-747-6529

 

 

 

The opinions, views, and interpretations expressed in this publication do not constitute legal advice.  Questions and concerns regarding your company’s compliance with Federal or State regulations should be directed to the appropriate Federal or State agency.