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DHI IndustryWatch
DHI IndustryWatch
 October 27, 2011
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Message from DHI President: Future of DHI's Conference
As the openings industry is changing, so are the needs of DHI members. Gathering together for face-to-face meetings in some format remains a critical to the relationships between channel partners. As staff and leadership look to retool this event, you are invited to participate in that process. Read the white paper and Take the Survey

BOG 2012 Election Results Announced
Join us in congratulating four industry leaders on their election to DHI's Board of Governors (BOG) for 2012, joining current Governors for a three-year term: Read more

DHI Pays Tribute: 9/11 Memorial
Just weeks after the ten year anniversary of 9/11, the 36th annual DHI Conference and Exposition took place in New York City on October 26-27th. Friday, while in New York, DHI leaders will be paying tribute to those who lost their lives or loved ones in the attacks. Complete details

Industry Leaders Honored at Awards Ceremony
Congratulations to our Class of 2011 Award Recipients. And the honorees are...

DHI CanadaDHI Canada News

DHI Canada's Technical Education in Alberta - Fall 2011!
Register NOW. Click here for complete details or click here to register.

Industry Access

Gehry Technologies (GT) announced that Co-founder and Chairman, Frank Gehry, has brought together the world's most distinguished architects and designers to form a strategic alliance furthering his vision to transform the building industry and the practice of design. The initiative brings together several of the most distinguished and acclaimed architects in the world and intends to foster new approaches to design through technology to eliminate the waste, delays and miscommunication that occur in construction projects. Full Story

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

Foundation News

Online Auction CLOSES FRIDAY, OCT. 28th!
The Foundation's Online Auction features items ranging from exotic vacation getaways to donated items guaranteed to delight and surprise. So, tell your friends, family, and coworkers. Click Here and Let the Bidding Begin!

Foundation-Sponsored NFPA Webinar to Advance FDAI Awareness
The upcoming NFPA webinar scheduled for November 9th was featured in a special edition of NFPA Journal®, the flagship publication of the National Fire Protection Association representing over 70,000 members involved in the field of fire prevention and protection in industry and government.

This additional exposure is just one of many ongoing efforts by the Foundation to advance awareness of the Fire Door Assembly Inspection to Authorities Having Jurisdiction (AHJs). The readers of NFPA Journal® represent over 70,000 AHJs and end-users working in public and private fire services, architectural and engineering firms, manufacturing and commercial firms, health care facilities, educational institutions, the insurance industry, and other NFPA members allied to the field. Presence in this affiliate publication affords readers the opportunity to become more knowledgeable about the FDAI program and how DHI members can assist them in maintaining code compliance. Click here for complete webinar details.

Business Update

Global demand for windows and doors is forecast to rise 6.8% per year through 2015 to $192 billion, significantly exceeding the pace of growth registered between 2005 and 2010, according to World Windows & Doors, a new study from The Freedonia Group Inc. According to the report, gains will be exaggerated by an extremely weak 2010 base in the developed world, particularly in the U.S. It further predicts that demand for doors and windows in the residential building construction market will outpace demand in the nonresidential building construction market, as in most developed countries the residential market was far more adversely impacted by the recession in 2009 and 2010. Full Story

Manufacturing is maintaining momentum in the face of economic uncertainty, according to the quarterly Manufacturers Alliance/MAPI Survey on the Business Outlook-September 2011. The composite index fell only slightly, to 67 from 68 in the June report. This is the eighth consecutive quarter the index has been above the 50% threshold, the dividing line that separates contraction and expansion. While it also represents the fifth straight decrease from the record high of 81 in June 2010, it remains consistently high, reported IndustryWeek. Full Story

The September Producer Price Index for Wood Doors (flush & panel, interior & exterior) was up 2.5% from 2010 and the Other Wood Doors (Incl. garage, screen, storm, etc.) PPI down 0.6% compared to a year earlier. Compared to August, the unadjusted September PPI was down 0.1% for Wood Doors, and unchanged for Other Doors, according to the Bureau of Labor Statistics. The PPI for Metal Doors, Sash & Trim was down 0.2% from August, and was up 6.8% from 2010. The PPI for Builders Hardware was up 7.0% from 2010 but down 0.6% from a month earlier. Click here to view the full September Producer Price Index report. (PDF file - Wood Door information is on page 17, Builders Hardware, page 23 and Metal Door data, page 24)

Following the first positive score in four months, the Architecture Billings Index (ABI) reversed direction again in September. The American Institute of Architects (AIA) reported the September ABI score was 46.9, following a score of 51.4 in August. This score reflects a sharp decrease in demand for design services (any score above 50 indicates an increase in billings). The new projects inquiry index was 54.3, down from a reading of 56.9 the previous month. Full Story

The US Green Building Council (USGBC) is implementing major upgrades in LEED certification standards for buildings in 2012 in response to criticisms. To make sure buildings function as intended and improve over time building owners will be required to report data on the building's energy and water use, using real-time reporting technology and will have to apply for re-certification every five years, reported Green Building. Full Story

Harvard and Stanford are among 32 universities that have committed $65 million to new energy efficiency financing initiative Billion Dollar Green Challenge, reported Environmental Leader. The fund aims to get colleges, universities and other nonprofits to invest a total of $1 billion in self-managed "green revolving funds." Such funds are used to finance energy efficiency upgrades that offer a quantifiable monetary saving or return. A portion of the returns from these projects are then reinvested in the fund and used for future green projects. Full Story

Construction & Design

Across California, at least $23 billion in hospital construction is planned, creating 223,000 jobs and $1.7 billion in additional state and local tax revenue, according to the Los Angeles County Economic Development Corp. The flurry of work is being driven by new seismic requirements in California, along with health care reform, new developments in technology and the need for more capacity because of the state's rapidly aging population, reported the Contra Costa Times. Full Story

Nonresidential building construction spending rose a modest 0.8% in August following a 1.2% decline in July. The increase left nonresidential construction spending at its second highest level since September 2010. However, on a year-to-date basis, the measure is down 1.0% compared to the same period a year ago, reported Reed Construction Data. Full Story

New construction starts in September receded 1% to a seasonally adjusted annual rate of $419.5 billion, according to McGraw-Hill Construction. Both nonresidential building and housing fell back after their improved pace in August. Full Story

After seeing a slight uptick since the first half of 2011, New York City construction companies are facing another spending drop in 2013, according to a new forecast from the New York Building Congress, a trade group. That's when spending on several huge publicly funded projects is expected to finally end and when budget constraints are expected to keep city, state and local authorities from starting new ones, and when a weak economy is expected to keep private developers on the sidelines, reported Crain's New York Business. Full Story

The Louisiana state facilities office has set Nov. 20 for the implosion of the long-shuttered Grand Palace Hotel to make way for the new $1.1 billion University Medical Center, reported Nola.com. Full Story

The latest revisions to the roughly $2 billion master plan for public school construction in New Orleans won approval from the Louisiana Board of Elementary and Secondary Education. The latest version of the plan, financed largely by the federal government, already had the nod from the Orleans Parish School Board, meaning school officials now have an all-clear on the next phase of construction. Combined with projects already under way, the master plan should reach almost every public school building that is slated to be housing students in 2016, reported Nola.com. Full Story

Security & Safety

Firestop training is an important part of a comprehensive fire-safety system, reported Facilitiesnet. Firestop training is important because it can ensure that the firestop is in place, installed according to code and remains for the entire life of the firestop product. Full Story

Government Affairs

The Environmental Protection Agency (EPA) has made available its ENERGY STAR for Windows, Doors, and Skylights Version 6.0 Specification Framework Document to stakeholders. According to the EPA, this framework outlines its reassessment of the current ENERGY STAR Window, Door, and Skylight requirements and is intended to facilitate discussion of this assessment and possible resulting modifications to these ENERGY STAR requirements, reported Door & Window Manufacturer. Full Story To read the full document, click here.

The Obama administration supports U.S. House bills that would repeal a 3% withholding requirement for government contractors and pay for it by altering the eligibility for Medicaid and other health programs, reported Bloomberg. Full Story

In California, legislation was signed into law that prohibits the state, cities and counties from mandating that private employers use E-Verify, reported the Los Angeles Times. Full Story

Small Business News

Government Contractor Withholding

The House is expected to vote this week on legislation, H.R. 674, to repeal the first of the tax gap measures that worked its way into law several years ago. The three percent withholding provision was imposed by the Tax Increase Prevention and Reconciliation Act of 2005. It imposed a requirement on Federal, state, and local governments to withhold taxes from government contractors beginning in 2011.

On February 17, 2009, President Obama signed into law the American Recovery and Reinvestment Act as Public Law 111-5.  The law delayed the effective date of the withholding requirement by one year to 2012.

The Internal Revenue Service earlier this year announced it is delaying implementation until 2013.  Withholding and reporting requirements will apply to payments made after December 31, 2012. In addition, payments made under contracts existing on December 31, 2012, that are not materially modified, will be exempt until January 1, 2014.

The bill will meet some resistance in the Senate where the "pay-go" rules prevail and they will fight over the revenue offset (or spending offset) to "pay" for repeal. In fact, it looks like it might play out like the Form 1099 scenario again. The Republicans are offering a change in the eligibility calculations for health care insurance subsidies.  The Democrats are piecing together a hodge-podge of "loophole" closers.

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.

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