The Home Builder - May 2025

THE HOME BUILDER

May 2025

Page Two

The HomeFront Government Affairs News and Info

David Lehde Director of Government Affairs

A Spring of Influence for Dallas BA Advocacy

Local Update :

real-time notifications for approvals, fees and inspections. Due to the significant migration that must occur between the old system and new, Dallas PDD had to suspend certain services between April 25 and May 4, to have the system ready for its May 5th start. During this time, Dallas PDD services have been limited to inspections for existing permits, emergency releases and consultations with staff. To facilitate those limited services, the department has provided a link to a form and QR code. The city sent notice of the sus- pended services and alternative inspec- tion process to their list of those in the industry and Dallas BA shared the information as well. Dallas BA hosted PDD for an information and demonstration session on April 30. Dallas BA will continue to moni- tor feedback from our members and share as needed with Dallas PDD. Spring has also provided opportu- nities for the Association to continue to build relationships with our local gov- ernment partners. A team of members and staff have been busy evaluating city council candidates in key area races. The process provides an opportunity for the Association to voice the needs and benefits of our industry. HOMEPAC of Greater Dallas has released a voter guide of specific city council races from across the Associa- tion’s service area. Members can view the guide in Punch List. State Advocacy: In Austin, Texas Association of Builders, along with support from lo- cals like Dallas BA members and staff, have been working overtime to monitor an amazing amount of proposed legis- lation that could impact home building. This includes legislation that addresses our industry’s priorities. Dallas BA’s Frank Murphy and David Lehde on April 3 joined a team

of other local HBA members (and TAB staff) to testify in support of House Bill 2225, by Representative Brad Buckley. The companion bill for SB 1883 (Bet- tencourt) relates to the approval of land use assumptions, capital improvement plans and impact fees. HB 2225 is a transparency bill in government bill, in that it addresses public notice and dis- closure times, creates a higher thresh- old for the adoption of fee increases and provides a reasonable passage of time before further increases may occur. The legislation’s provision requir- ing that the capital improvements plan and land uses assessment be published to the public 60 days before notice of public hearing provides some op- portunity for review for any errors that may impact fee calculations. The bill also maps out the use of a capital improvements advisory committee that is to be made up of a more reasonable percentage of those from the housing industry who would have a better understanding of the impact of these types of fees. The thresholds prescribed by the bill also help ensure reasonable consideration is given to the impact on construction costs. Impact fees have become a signif- icant factor in the challenge to housing affordability and they drive up housing costs, so it stands to reason that there should be a sound attempt at checks and balances in the process of deciding whether to adopt or increase those fees. During testimony, David Lehde cited that it is important to remember that it is the homebuyer who ultimately pays for impact fees and that those fees grow significantly when considering the cost to finance the difference of the fee during construction, along with the interest assessed over the life of the mortgage. Federal Affairs: The work for housing attainability at the national level has no shortage of challenges. Tariffs, the exemption of products from tariffs, and the tempo - rary suspension of other product related tariffs have been a big topic. For a time, the word from Washington regarding what faced reciprocal tariffs and what didn’t seemed to change by the day, if not hour. Obviously, Canadian soft- wood lumber plays a big role in our industry’s supply and there has been concern. For now, at least, that product has been exempt from reciprocal tariffs. However, it is not spared from

Builders in Dallas now have an addition to the list of housing stock di- versity after the City Council approved Dallas BA supported amendments to their residential building code on April 23. The ordinance adds a consolidated dwelling that allows between three to eight residential units to be built under the city’s version of the International Residential Code. The code provisions for one- and two-family dwellings remain unchanged. Currently, any structure with more than two dwelling units must comply with the International Build- ing Code, which can add complexity and costs to smaller-scale residential developments. The intent is to provide more options to address the city’s hous- ing needs. Consolidated dwellings are lim- ited to buildings dedicated to resi- dential use only and contain three to eight dwelling units. The building is limited to 7,500 square feet or less in non-sprinklered areas and four dwell- ing units or less per story served by a single exit. The construction must contain certain fire rated assemblies for walls and floor assemblies, and there are restrictions on common travel of egress and a requirement for distance between buildings. Builders retain the option to build three or more dwelling units per the IBC should they find going up in code to be beneficial for a project. The building and development community will also have a new experience when applying via the Dallas Planning and Development Department’s online system. The new DallasNow platform streamlines the process for applications, permits and inspections. DallasNow offers one plat - form for permitting, platting, planning, inspections, engineering and zoning. The platform is billed as being more user friendly and intuitive, with better communication, tracking and

the annual review that is done by the Commerce Department regarding cur- rent countervailing and anti-dumping duties. The most recent review of these rates has resulted in the department re- leasing a preliminary determination to more than double the levy on softwood lumber to 34.5%. This was an issue that NAHB has been monitoring and weigh- ing in on with the federal government. A final review is to be published in August or September, and if unchanged, the higher rates will take effect then. NAHB has signaled that the Association will continue to urge the White House to roll back tariffs on lumber and other building materials. Dallas BA believes the recent pre- liminary determination is an example of why it is imperative that the U.S. and Canada get together and negotiate a new softwood lumber agreement. We have raised our concerns about tariffs to members of Congress in the past, even very recently. It is just one of the policy areas Dallas BA members and staff will dis - cuss with our service area’s members of Congress in early June during our National Legislative Conference in Washington, D.C. Members are reminded that if you have an interest in participating in the “LegCon,” please contact the Director of Government Affairs. Space is limited and we recognize and appreciate the sacrifice of time and cost members make when heading to the nation’s capital to advocate for housing. “The greatest ability in business is to get along with others and to influence their actions.” – John Hancock Past President Frank Murphy testified April 3 before the State House Committee on Land & Re- source Management.

The Home Builder is published monthly by the Dallas Builders Association at 5816 W. Plano Pkwy., Plano, Texas 75093. Telephone 972-931-4840. BARCIE VILCHES, Editor

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