Vol. 4, No. 2– January 17, 2005 

COMPLIANCE WITH TRUCK REGULATIONS BECOMING MORE CRITICAL 

The MLA office has been informed of increased truck audits in Kansas for both the administrative and vehicle maintenance requirements of the Federal Motor Carrier Safety Act, which became law in 1990. The Kansas Corporate Commission (KCC) has been handling most of these audits.   

MLA plans to conduct a “review” of both requirements at area meetings later this year. It appears at this point regulations are being enforced that have been in place since the inception of the act. What dealers should focus on are four very important points that in most cases would keep dealers in compliance. These items should be on the driver or the truck at all times. They are: 

1. A current valid State Driver’s license appropriate for the vehicle being driven.
2.  Proof of insurance certificate for the vehicle being driven.
3. A current medical examination card for the driver of the vehicle.
4. Proof of maintenance on the vehicle by an entity certified by the State to conduct such maintenance under the Act.

If any one of these items is not in order, there is a fair chance that you would be subject to a field audit from either KCC, the State Department of Transportation or the US Dept. of Transportation, any of which have the authority to conduct such audits. Most important is that the Federal Motor Carrier Safety Act applies to all commercial vehicles that weigh over 10,000 lbs. GVWR (Gross Vehicle Weight Rating).  Nearly all commercial vehicles owned by building material dealers fall into this category. (Don’t confuse this with CDL requirements for 26,000-GVWR vehicles. That is another issue and a different set of compliance standards.) 

MLA has all of the materials necessary for the drivers’ compliance part of the regulation along with a copy of the book that contains the language of the Act itself. Contact Art Brown at 800-747-6529, or RCI (Regulatory Consultants, Inc.) at 800-888-9596, if you have any questions about this or any other regulatory issues as they apply to your business.   

 

MLA EDUCATION PROGRAMS

Early Bird Deadline – January 21! 

The Basic Materials Estimating School… This is a two-day school designed to teach participants the basic piece-by-piece estimating of building products usually sold in a full-service lumberyard/home center. Students learn the basics of blueprint reading, how to use the LT1 Guidebook for estimating that contains tables, checklists, construction illustrations and estimating reminders; and finally how to estimate a simple house plan piece-by-piece. 

Feb. 14-15 – Wichita, Kan.

Feb. 16-17 – Kansas City, Mo.

March 10-11 – Tulsa, Okla. 

Advanced Materials Estimating School… This advanced piece-by-piece estimating seminar is designed to assist the estimator or outside salesperson/estimator who already knows how to estimate but wants some shortcuts and instructions in multi-pitched roofs, including stick framing

and finding wall lengths, floor area, and more complicated house layouts. Students receive the estimating guidebook as part of the class. 

Feb. 18 – Kansas City, Mo.

 Managing Outside Yard Operations… This course is for yard foremen and key personnel supervising the efficient operation of the “outside yard.” Seminar topics include: protecting profit dollars in the yard, customer service in the yard, pre-emptive management and equipment maintenance.  

Feb. 17 – Columbia, Mo.

Feb. 24 – Oklahoma City, Okla.

 Member Pricing: 

Basic Estimating - $425 per person

Advanced Estimating - $300 per person

Yard Foreman Seminar - $310 per person 

Early Bird Discounts available – see registration form for details. 

Complete information and registration forms are available upon request from MLA at 800-747-6529. Or, simply reply to this email and we’ll send complete information today! 

INVITATION TO JOIN NLBMDA IN WASHINGTON 

Join forces with lumber and building material dealers from across the country as we come together to advance our industry’s issues with our members of Congress in Washington, DC. 

NLBMDA’s Legislative Conference, March 14-16, 2005, is a wonderful opportunity to meet and build relationships with the decision makers who consider legislation and regulations that impact your company and our industry. Regardless of whether you are a long-term attendee of this event or a first-time visitor, our lobbyists will help you set up meetings, provide “talking points” on our key issues and assist you to make this experience enjoyable, productive and memorable. 

In 2005, NLBMDA will be taking the proverbial “gloves off.” Dealers will be seeking sponsors for NLBMDA-backed legislation protecting dealers from frivolous lawsuits. It is a major undertaking, but one we can accomplish with your active involvement. Our goal is to have a dealer from each congressional district share our message with the decision makers on Capitol Hill. 

Family members are encouraged to attend. This conference is the perfect opportunity to have your spouse and children experience and participate in the political process and see all the educational and fun attractions in our nation’s capital. Children 18 and under attend free of charge. 

For more information, visit the NLBMDA web site at www.dealer.org. 

 LEED STANDARD OPEN FOR REVIEW 

In early December, the U.S. Green Building council (USGBC) released its draft of the new Leadership in Energy and Environmental Design – New Construction version 2.2 rating system (LEED-NC v2.2). 

Among the changes in version 2.2 is one that edits the MR6 credit (which previously gave a credit for “rapidly renewable materials”) to give credit for “renewable, bio-based” materials that are either “residuals” or products “grown or harvested under a recognized sustainable management system.” The SFI program is specifically named as  a “recognized system” in the new draft for this credit. 

LEED-NC v2.2 is open for public comment until February 1, 2005. SFI program participants and supporters may review and comment on the draft LEED standard and support the inclusion of credible sustainable forestry and certification systems, including the SFI program. For most information on LEED-NC v2.2 and how to comment on the draft, visit www.usgbc.org/LEED/Drafts/drafts_main.asp. For more information, contact John Mecham at SFI Communications at 202-463-2459. 

Source: SFI Monthly, published by SFI Communications, January 2005. 

GREEN BUILDING INITIATIVE WEB SITE UNVEILED 

The Green Building Initiative (GBI) has launched their new web site at http://www.thegbi.com. The GBI, a not-for-profit educational organization, helps builders, developers, architects, building owners and others interested in residential and commercial construction better understand green building. Through the GBI web site, users can now access Green Globes, the first interactive, web-based, commercial green building assessment protocol available in the United States. Green Globes guides the integration of “green” principles into a building’s design by identifying a building’s environmental strengths and weaknesses and instantly recommending sustainable design improvements. 

The GBI has also been active in residential green building through the National Association of Home Builders (NAHB) Model Green Home Building Guidelines. The NAHB residential guidelines, currently being pilot-tested, are expected to be officially launched in January. For more information, contact Robert Glowinski at 202-463-2768. 

Source: Impact, a report from the American Wood Council of the American Forest & Paper Association, November/December 2004. 

LUMBER NEWS – QUICK GLIMPSES 

Business Relief May Be In Store… According to a recent Kiplinger letter, businesses will get more of what they want from Congress this year. Bankruptcy reform, asbestos litigation reform and Class Action reform are expected to receive enough votes to be signed into law. Permanent repeal of the Estate Tax is also promising, although it is less clear when that reform will occur. Congress is not expected to repeal the Byrd Amendment, which provides U.S. businesses with duties collected in anti-dumping cases such as the Softwood Lumber Agreement. Prospects for Association Health Plan (AHP) legislation are mixed. The appointment of a new Chair to the Senate Health, Education, Labor and Pension Committee has raised hopes for a new debate; however, fear that President Bush’s proposal would let associations circumvent state regulations remains an obstacle to the legislation. 

Source: NRLA Wired, the e-newsletter of the Northeaster Retail Lumber Association, January 2005. 

Weyerhaeuser Acts Immediately in Support of the Sustainable Forestry Initiative… Weyerhaeuser Company endorses and will act immediately on changes to the Sustainable Forestry Initiative® standard adopted today by the Sustainable Forestry Board. Steven R. Rogel, chairman, president and chief executive officer of Weyerhaeuser and a member of the Sustainable Forestry Board, said, “The revisions demonstrate SFB's commitment to continuous improvement and maintain the SFI standard as one of the most progressive sustainable forestry standards in the world.” 

Among the revisions are stronger requirements that call on forest products companies to support conservation of old-growth forests, protect against invasive species, and participate in regional conservation planning.  

Source: LBM Daily, January 11, 2005 

Blair Collings Application Deadline Approaching… All applications for the Blair Collings Summer Intern Program are due by February 1, 2005. Information and an application form can be found on the NLBMDA website www.dealer.org. under Government Affairs/Resources & Internships. This Internship is open to all sons, daughters and grandchildren of dealer members. This is a great opportunity for a young person to experience six weeks in our Nation’s Capitol learning about the issues that affect our industry. For more information, contact Pat Skinner, NLBMDA, at 202-547-2230 phone; 202-547-7640 fax; or email at pat@dealer.org. 

Best Buy Builds Bench Strength… Best Buy believes that current supervisors and managers are the company's best source of future leaders. The giant retailer builds bench strength by selecting high-performing individuals for its Harvest: Next Generation program, which offers them a blend of classroom skills training and out-of-class resources. In addition to a six-hour session each month, April through October, these future leaders are each assigned a mentor who serves as a coach during the program, visiting the student's store and following up on post-class assignments. The program helps Best Buy attract, retain and develop a pool of high-quality retail leaders. 

Source: Inside Training, published by Training magazine, January 12, 2005 

Canada Gives Notice of Retaliatory Action on Softwood Duties… The spat over softwood tariffs continues between the United States and Canada. Today Canada launched another NAFTA challenge against the United States that attacks the revised American duties. Ottawa has appealed the case to NAFTA and the WTO, placing 10 separate legal challenges to the softwood duties before those organizations. Perhaps the most important is an extraordinary challenge of a NAFTA ruling that found Canadian lumber imports posed no threat of injury to U.S. producers. If Canada wins in a ruling expected this spring, the underlying reason for the duties would disappear. 

Source: LBM Daily, January 14, 2005 

Bush Names Tax Reform Panel… President Bush named two former senators, Connie Mack (R-FL) and John Breaux (D-LA) to head a bipartisan advisory panel to recommend ways to simplify the U.S. tax code. Other members of the panel include former Republican representative William Frenzel of Minnesota, former Federal Trade Commission chairman Timothy Muris, former Internal Revenue Service commissioner Charles Rossotti, University of Southern California professor Elizabeth Garrett, economists Edward Lazear and James Poterba and Charles Schwab chief investment strategist Liz Ann Sonders. They are expected to send a report to Treasury secretary John Snow by July 31.  

Source: Washington Report, published by NRHA, January 2005. 

Business Fax Bill… During its post-election session, the Senate passed a bill to allow businesses to continue sending commercial faxes to existing customers and vendors. The House passed the legislation some weeks earlier. However, the Senate added several unrelated provisions, which were not in the House bill. Because the House had already adjourned, the action accomplished nothing. The business fax issue will have to be revisited next year.  

In the meantime, new Federal Communication Commission rules requiring advance written permission to send commercial faxes – those advertising or promoting products or services – will go into effect June 30, 2005 – unless the commission reconsiders the rule or Congress acts to make the existing business relationship exemption law. 

Source: Washington Report, published by NRHA, January 2005. 

Editor’s Note: MLA has concise information on Do-Not-Call, fax and email regulations. If you’d like a copy, simply reply to this newsletter and request the FAQ – or call us at 800-747-6529. 

New FUTA Deposit Rule… The Internal Revenue Service issued final regulations (T.D. 9162) that increase the minimum threshold for federal unemployment tax (FUTA) deposits. As of Jan. 1, 2005, employers are required to make quarterly deposits when the accumulated tax exceeds $500, up from $100.  

The IRS says that employers with eight or fewer employees will not be required to make FUTA deposits.  

Source: Washington Report, published by NRHA, January 2005. 

A Reminder… Companies who are required to keep OSHA Form 300 on workplace injuries and illnesses are required to post summary information from Feb. 1 through April 30. The Occupational Safety & Health Administration has clarified that employers should post only the summary Form 300-A to protect worker privacy.  

Retailers classified as hardware stores are generally exempt from federal OSHA recordkeeping rules. However, state occupational safety and health departments may have rules that are more stringent than federal rules.  

Source: Washington Report, published by NRHA, January 2005. 

Nation’s Health… The Department of Health and Human Services released Health, United States 2004, presenting the latest data from the National Center for Health Statistics and others. The report shows continued improvements in Americans’ health, with left expectancy at birth up to 77.3 years in 2002, and deaths from heart disease, cancer, and stroke down 1% to 3%. The US spent 14.9% of its gross domestic product on health care in 2002, up from 14.1% in 2001. Go to: www.cdc.gov/nchs/ 

Source: Milliman, Inc. – Monthly Benefit News and Developments – January 2005.

 MLA Seeks to expand roundtables 

One of the most valuable member benefits is dealer roundtables. Roundtables consist of a eight to twelve non-competing dealers who meet twice a year to discuss “best practices.” Roundtable members discuss a broad range of business issues, including financial performance, business practices, products, marketing, sales, competition, insurance, industry trends and strategic planning. In many respects, the roundtable serves the function of an outside board of directors for each participating member. Participants often credit the roundtable with making their company more profitable, better focused and better able to anticipate and plan for change. MLA roundtables are facilitated by Lee Resources International, Inc.  

If you are interested in joining a roundtable, please contact Olivia at MLA. We can share information that was distributed at our recent annual meeting and put you in touch with Bob Erwin of Lee Resources, Inc. A roundtable could be the key to meeting your business goals.

 Targeting Fraud 

Over the last quarter century, insurance fraud has become a major issue for insurers and the public. How do you keep your business safe from unscrupulous people who might see it as a target for easy money? Consider these situations uncovered during claims investigations. 

A young woman and her boyfriend claimed to have purchased beer at a liquor store and then bought sodas and cigarettes at a nearby convenience store. The couple alleged that the woman slipped on ice and was injured at the convenience store, but neither of them could recall whether there was snow on the ground at the time. Since the city was under a snow emergency that day, the claim appeared suspicious. Review of the store’s sales showed no record of their purchases, and the neighboring liquor store had been closed that day from the storm.   

Another slip and fall incident occurred in December at an equipment dealership. Early on, the claimant began pressuring Federated for quick settlement, alleging he could not use his arm or raise it up or out. A surveillance video was made based on tips from other people. It showed the man sweeping out his truck and working on fishing rods, even casting and reeling with the injured arm. 

In each of these cases the business owners, their employees or other individuals offered valuable information that helped expose the fraudulent acts. The winter months are prime time for slip and fall “artists.” Keeping your premises clear of ice and snow will help protect your employees and customers. Remaining vigilant may also help deter or solve crimes. 

MLA is proud to endorse….

 

MEMBER NEWS 

Kenny Holler Retires from McCray Lumber… Kenny Holler retired from McCray Lumber on December 31^st. Kenny started his career in the lumber business in 1963 working for A.O. Thompson lumber in downtown North Kansas City. (McCray Lumber bought A.O. Thompson Lumber in 1967.) In 1980, McCray expanded the yard and moved to Riverside, Mo. where the yard is currently located. Kenny was promoted to the manager of the yard in 1983 and held that position until his retirement at the end of 2004. Kenny was also a Vice President of McCray Lumber. Congratulations to Kenny on achieving this milestone! 

NLBMDA Hires New Employee… The National Lumber and Building Material Dealers Association (NLBMDA) has hired Cortney M. Riese as Director of Marketing and Communications. In this capacity, Cortney will be working to promote the organization and its strategies through coordinated marketing, branding and communications efforts. She will also be taking over many of the duties previously performed by Vicki Wordon, including the Education Committee. Cortney comes to us from the American Public Works Association where she was the Communications Manager. She is currently pursuing a Masters in Management, Marketing at the University of Maryland, University College. She is a graduate of the University of Wisconsin, Whitewater where she earned a degree in Journalism, Advertising and a minor in Public Relations.   

THOUGHT FOR THE DAY 

“What lies behind us and what lies before us are tiny matters compared to what lies within us..” – Ralph Waldo Emerson