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DHI IndustryWatch
DHI IndustryWatch
  April 1, 2010
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Some non-union construction firms may be relieved to hear that the controversial provision which would have required small construction firms with six or more full-time workers and a payroll of $250,000 or more to offer health insurance to their employees or pay a penalty per worker, was not part of the final health care overhaul approved by Congress March 25, according to a post on the Engineering News Record Blog. Full Story

President Obama signed into law a $17.6 billion jobs creation package passed by Congress, H.R. 2847, the Hiring Incentives to Restore Employment Act. This legislation includes incentives for businesses to hire the unemployed; extension of infrastructure programs affecting surface transportation, energy, and school construction projects; and continuation of depreciation programs in effect for small businesses. Full Story

Inc. Magazine provides a summary of what health care reform means for small businesses. Full Story

Oregon Building Codes Division will begin developing the Oregon Reach Code, an optional building code that directs contractors to construct buildings significantly more energy efficient than under the present code, reported the Daily Journal of Commerce - Oregon. Full Story

New Hampshire lawmakers rejected by a 267-39 vote HB 1409, which would have prohibited any government agency or private entity in the state from using biometrics as part of identification cards – except for employee identification cards – and from requiring a person "to disclose or provide biometric data as a condition of doing business with, engaging in any business activity or relationship with, or obtaining services from, that agency or entity." Biometric data was defined in the bill to include everything from DNA to retinal scans to facial features to fingerprints. Full Story

Just five months after New York City put in place a new law making its easier for developers to quickly restart stalled construction projects, the Department of Buildings is in talks with a dozen firms. The measure, which Mayor Michael Bloomberg signed into law last fall, allows developers to speedily renew building permits at stalled sites up to four years after those permits have expired, reported Crain's New York Business. Full Story

A bill that opens the door to immediate new school construction jobs in California passed the state Senate on a unanimous vote and was sent to the Governor for signature. Senate Bill 205 authorizes school districts and charter schools to use $773 million of federal stimulus funds to sell local school bonds without offering interest to investors. Instead, investors will be able to claim a valuable federal tax credit when they purchase the bonds, reported the California Chronicle. Full Story


Industry Access

Jason Pulliam has become Marshfield DoorSystems' Senior Vice President of Sales & Marketing for its commercial door division. Pulliam developed an outstanding track record of multiple key promotions throughout his 16 distinguished years of work at Ingersoll-Rand which included managing field sales, customer service and specification writing disciplines. This extensive managerial experience in commercial openings manufacturing has well prepared Pulliam for his career at Marshfield DoorSystems. For more information contact Marshfield DoorSystems at 800-869-3667 or visit www.marshfielddoorsystems.com

Click here for more Industry Access news including recent new hires, merger & acquisition activity and who's offering new products.

* DHI Members may submit news releases to be considered for inclusion in DHI's IndustryWatch. Send to: jmadden@dhi.org


Business Update

DC Velocity's seventh annual survey of key distribution center and warehousing metrics continues to show slow but steady improvement in operational performance. The latest survey found that companies either maintained or improved their performance against 35 of the 50 metrics studied. Full Story

A component of the "Green" movement is deconstruction. Rather than demolishing a structure and delivering the debris to landfill, deconstruction provides for the careful removal and reuse or recycling of building materials. The materials can be stored and reused on the existing site thus eliminating transportation charges. The alternative is to sell or donate the deconstructed materials. Interior doors and frames are among the typical materials considered for deconstruction, reported Reed Construction Data. Full Story

Following a drop of nearly three points, the Architecture Billings Index (ABI) nudged up almost two points in February. As a leading economic indicator of construction activity, the ABI reflects the approximate nine to twelve month lag time between architecture billings and construction spending. The American Institute of Architects (AIA) reported the February ABI rating was 44.8, up from a reading of 42.5 in January. The new projects inquiry score was 52.0. Full Story

The Building Owners and Managers Association (BOMA) International has announced an addendum to its 7–Point Challenge Market Transformation Plan that calls on BOMA's associate members - providers of products and services to the commercial real estate industry - to institute sustainable practices in their business operations. Full Story

EPA has released its 2009 list of the Top 25 Cities With the Most ENERGY STAR Labeled Buildings. Click here to view the list. (PDF file)


Construction & Design

Experts believe the healthcare construction industry is now on something of a rebound, but add that it probably won't be back in full swing until late this year at the very earliest. They report that a lot of planning is taking place that won't result in actual construction for several months-if not until next year. When work starts up again, the new facilities being built will have a focus on flexibility, smooth workflow, green construction and evidenced-based design-which aims to create a healing environment while promoting patient and staff safety. Among the top 10 construction management companies in Modern Healthcare's 31st annual Construction & Design Survey, four companies reported reduced project dollar volume in 2009 compared with the previous year, and six of them reported a reduction in the square footage of their projects. Full Story

Central Maryland is in the midst of a health care building boom, with more than $2 billion worth of hospital expansion projects under construction or planned to begin this year in Baltimore and the surrounding counties. An additional $500 million worth of health care-related projects are in the works near local medical centers, reported The Baltimore Sun. Full Story

The value of construction starts increased 15.4% year to date through February 2010 from the same period last year. Starts fell 11% from January, slightly more than the usual 10% seasonal decline, but this may be due to unseasonably poor weather in February which contributed to 64,000 construction layoffs, reported Reed Construction Data. Full Story

New York University is proposing the largest expansion in its history, with a new tower and three million square feet of new classrooms, dormitories and offices in the Greenwich Village area. The plans also call for creating a new engineering school in Brooklyn and a satellite campus on Governors Island, complete with dorms and faculty housing. The projects, which would expand N.Y.U.'s physical plant by 40% over the next 20 years, are aimed at accommodating a growing student body and competing for money and prestige with other universities. They will require approvals from city agencies and have already met with a skeptical response from some neighbors and preservationists, reported the New York Times on the Web. Full Story

A co-owner of Willis Tower is rethinking a $350-million plan to make the 110-story skyscraper more eco-friendly, reported Crain's Chicago Business. Full Story


Security & Safety

The National Fire Protection Association (NFPA) released the 2010 Edition of NFPA 1600, Standard on Disaster/Emergency Management and Business Continuity Programs. It is available for download at no charge on NFPA’s Web site. The new edition of NFPA 1600 is a completely revised and reorganized version that includes major changes to the technical requirements and definitions. The chapter on Program Elements now contains four different chapters: Planning, Implementation, Testing and Exercises, and Program Improvement. Full Story Download the 2010 Edition of NFPA 1600 by clicking here.

Security cameras to monitor school entrances and exits have been installed at all Manitowoc, WI public schools as part of a package of safety and security upgrades in the district, reported The Herald Times Reporter. The district also will install door access and buzzer systems at each school, move the main offices at Wilson Junior High School and Jackson Elementary School nearer to the main entrances and build a check-in window for visitors at Lincoln High School. Full Story


Small Business News

Form 1099 Expansion

STATUS

Public Law 111-148, the Patient Protection and Affordable Care Act (PPACA), signed into law on March 23, 2010, expanded the tax-related information reporting requirements for all businesses.  The new requirements apply to payments made to most vendors after December 31, 2011.

NEW LAW

The new law makes two changes.  The first is to require businesses to issue the Forms 1099 to corporations as well as all persons in a trade or business.

The second is to expand significantly the scope by requiring the issuance for payments made to "property" providers as well as service providers.

Basically, the business will be issuing a Form 1099 to most of its vendors.

RESPONSIBILITIES

The existing threshold of $600 or more in payments remains as is.

The $600 or more in payments is now for "rent, salaries, wages, amounts in consideration for property, premiums, annuities, compensations, remunerations, emoluments, gross receipts or other fixed or determinable gains, profits and income..."

The business taxpayer that issues the Form 1099 must first obtain the Taxpayer Identification Number (TIN) of the service/property provider-payee.  If the service/property provider-payee does not provide the TIN to the business taxpayer, the business taxpayer must "backup" withhold from the payments at a 28% rate.

The Form 1099 is sent to the payee and to the IRS on or before January 31 of the year following the calendar year in which payments are made.

The definition of small business for this purpose is average annual gross receipts of $5 million or less for the three most recent tax years (or for the period a business has been in existence, if shorter) ending before the calendar year in which the information returns were due.

DHI's Jerry Heppes sits on the board of the Small Business Legislative Council. If you'd like more information on these or other issues affecting small businesses, feel free to contact him at jheppes@dhi.org.

This material is protected under copyright law and contains confidential information.  It is for the sole personal, informational use of DHI members. It cannot be distributed, reprinted, referenced as a source for attribution, or otherwise made public.


DHI News

QUESTIONS? What are you doing to:
 • Improve Your Industry Knowledge & Expertise?
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ANSWER: DHI National School     REGISTER HERE!
April 25-May 2, 2010 Lansdowne, VA
(just outside Washington, DC and 15 minutes from Dulles Airport)

With 18 classes offered, there is something for EVERYONE!
Classes are limited and spaces are filling up, so REGISTER NOW to secure your spot!

For questions about course selections or to register by phone, please contact DHI Member Services at 703/222-2010.

Click here for a complete course schedule and to register online.

DHI's Government Relations Online Resource

A significant part of DHI's strategic initiative is to build a powerful Government Relations (GR) program. This effort is already underway through a far-reaching, influential grass-roots campaign, as well as by developing and participating in effective coalitions.

   • Want to support this effort and help further develop a strong advocacy effort on behalf of the industry?
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Join us at www.dhi.org or go directly to our new Government Relations web page and take the Grass-roots Government Relations Survey Get involved today!

Contact Bill Johnson at BJohnson@dhi.org or by phone: 703/766-7039 for more information.

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