March 22, 2007

INDUSTRY ACCESS*

WDMA Elects New Chairman at Annual Meeting

Dave Beeken, President of Eagle and KML Windows and Doors, Dubuque, IA was elected Chairman of the Board of the Window and Door Manufacturers Association (WDMA) at the Annual Meeting in February along with other key positions. Beeken moves up from Vice Chairman-Window Division and replaces outgoing WDMA Chairman Jim Hackett, Vice President-Sales, JELD-WEN Inc., Klamath Falls, OR, who becomes immediate past Chairman and a member of the Board of Directors.

Other board elections at the Annual Meeting include the following: Steve Tourek, Senior Vice President and General Counsel at Marvin Windows and Doors, Warroad, MN, moves from his Director position to Vice Chairman-Window Division. Three new members join the Board as Directors: Gene Miels, Oshkosh Door Co., Oshkosh, WI; Mark Hermann, Homeshield, Chatsworth, IL (supplier); and Jeff Shilakis, Hoppe North America, Fort Atkinson, WI (supplier).

Atrium Companies, Inc. Acquires Leading Canadian Window Company

Atrium Companies, Inc. announced the acquisition of Canadian window company North Star Vinyl Windows and Doors. The addition of the Ontario-based company gives Atrium and its family of brands a significant presence in the Canadian window and door market. 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.

BUSINESS UPDATE

The year-to-date value of construction starts through February 2007, excluding residential contracts, totaled $47.804 billion, 28.8% higher than in 2006, according to Reed Construction Data. Full Story

After three consecutive months of unexpectedly high scores, the Architecture Billings Index (ABI) dropped more than five points in February. The American Institute of Architects reported the February ABI rating was 52.5 (any score above 50 indicates an increase in billings), compared to a score of 57.9 in January. With an approximate nine to twelve month lag time between architecture billings and construction spending, this news should not weaken a forecast that remains favorable for the nonresidential construction market throughout 2007. Full Story

The February Producer Price Index for Wood Doors (flush & panel, interior & exterior) was up 2.3% from 2006 and the Other Wood Doors (Incl. garage, screen, storm, etc.) PPI was up 2.0% compared to a year earlier. Compared to January the unadjusted February PPI was unchanged for Wood Doors and the PPI for Other Wood Doors was down 0.2%, according to the Bureau of Labor Statistics. The PPI for Metal Doors, Sash & Trim was up 0.6% from January and up 3.2% from a year ago. The February PPI for Door locks, locksets & locktrim was up 0.1% from January, and was up 8.8% from 2006. Click here to view the full February Producer Price Index report. (PDF file - Wood Door information is on page 12, Lock data and Metal Door data is on page 17)

Construction costs are projected to increase in the First Quarter of 2007, according to the Turner Construction Company. The company's First Quarter 2007 building cost index will show a 1.59% increase in construction costs over the Fourth Quarter 2006 index and an 8.49% increase over the First Quarter 2006 index. This represents the smallest quarter-to-quarter percentage increase in the Index since first quarter of 2004. Full Story

Cold weather and the housing slowdown put a damper on nationwide construction jobs in February, according to an official from the Associated General Contractors of America. "Calendar and climate quirks combined to chill construction employment in February, but nonresidential segments should rebound this month," said Ken Simonson, chief economist for the ACG, in reference to the February employment report from the federal Bureau of Labor Statistics. In February, construction employment tumbled by 62,000, which Simonson called the largest one-month slide since 1991, reported Building Design & Construction. Full Story

CONSTRUCTION & DESIGN

Changes in building design and construction could offer twice the potential for reducing emissions that contribute to global warming than could be achieved by power-generation and manufacturing industries over the next 25 years, says a report by consulting firm McKinsey. The study claims almost a quarter of possible emission reductions could result from measures (such as better insulation in buildings) that carry no net life cycle cost, reported Building Design & Construction. Full Story (PDF file)

Z-squared, the latest in green building, is happening on in San Jose, CA where a 1960s-era bank building is becoming one of the first commercial structures in the country to supply all its own energy while emitting no greenhouse gases. Coined by scientists, z-squared means zero carbon-dioxide emissions and zero energy use from the grid, reported The Mercury News. Full Story

SECURITY & SAFETY

A recent Security Distributing and Marketing article takes a look at the architecture of the access control systems. Full Story

The 2007 edition of the National Fire Protection Association (NFPA) Standard on Disaster/Emergency Management and Business Continuity Programs is now available for download at no charge. The standard establishes a common set of criteria that sets a foundation for disaster management, emergency management, and business continuity programs using a total program approach. The standard is aimed at organizations and parties responsible for developing programs on emergency management, prevention, mitigation, preparedness, response, recovery and business continuity. Full Story Download Report (PDF file)

GOVERNMENT AFFAIRS

Fairfax plans to become a "cool" county, where wind power, hybrid vehicles and environmentally friendly building techniques would reduce emissions of greenhouse gases to combat global warming. The program is being developed with the Sierra Club and a few other large counties across the nation, reported The Washington Post. Full Story (Free registration required)

A bill championed by New Mexico Gov. Bill Richardson that gives tax credits for green homes now just awaits his signature. The Legislature recently passed a sustainable building tax credit, according to the Home Builders Association of Central New Mexico. The law would allow people to save up to $11,000 if they adhere to the Build Green guidelines. It also provides tax credits for LEED-certified (Leadership in Energy and Environmental Design, a U.S. Green Building Council set of standards) commercial developments., reported New Mexico Business Weekly. Full Story

After Hurricane Katrina, the Mississippi Legislature required the state's coastal counties to adopt building codes in an attempt to create uniform, safe standards for construction. Now, members of the Coalition to Build a Safer and Stronger Mississippi would like to see such standards adopted across the state, reported the Hattiesburg American. Full Story

The Labor Department has agreed to issue rules outlining an employer's responsibility for the cost of workers' safety equipment, two months after a lawsuit by the AFL-CIO and the United Food and Commercial Workers seeking such regulations. An Occupational Safety and Health Administration rule, proposed in 1999 but never adopted in final form, would require employers to pay for protective clothing and other equipment used by millions of workers to protect them from job hazards. The lawsuit claimed that failure to adopt those rules was endangering workers in industries such as meatpacking, poultry and construction. The Labor Department asked the court to delay any action on the lawsuit because the rules on safety equipment would be issued in November, reported The Washington Post. Full Story (Free registration required)

SMALL BUSINESS NEWS

Tax Gap

On Tuesday, the House Ways and Means Oversight Subcommittee held their first hearing on the tax gap issue. The only witness was Internal Revenue Service (IRS) Commissioner Mark Everson, who has been a staunch proponent of the IRS being given greater authority to close the tax gap. Commissioner Everson will be the chief advocate of the Administration's fiscal year 2008 budget, which calls for onerous regulations on small businesses in an effort to close the tax gap.

Since this issue only will become more popular over the course of the year, it is important for small business owners to become familiar with what is included in the President's budget. Of all the proposals included in the budget, two stand out as being demonstrably more burdensome. The first proposal would require information reporting on payments to corporations that provide services. This would be a significant burden on small businesses as it would require businesses to file a Form 1099 for payments to corporations that provide a service to the small business, valued at $600 or more in a calendar year.

The second proposal would require businesses to obtain a certified Taxpayer Identification Number (TIN) from contractors (including corporations). While businesses now have the option to verify TINs, this proposal would make verification mandatory, thereby adding an additional administrative burden.

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.

FOUNDATION NEWS

Foundation Meets With Staff of Senator Ken Salazar (D-CO)

Representatives of the Foundation for the Advancement of Life Safety and Security met with the office of Senator Ken Salazar. Senator Salazar is a co-sponsor of the School Safety Enhancements Act of 2007 introduced into the senate by Senator Boxer (D-CA) who we meet with in mid-December is the sponsor of the bill in the Senate (S.677). The meeting was to provide the senator's office with insight into the role door and hardware professionals play in life safety design and inspection for our nation's schools.

Click here to view the a press release from Senator Salazar's office.

Click here to view actual text of the bill along with cosponsors

Foundation Participates in Total Fire Protection Symposium

Underwrites Laboratories Inc. (UL) and the Firestop Contractors International Association (FCIA) sponsored the Total Fire Protection Symposium for architects, specifiers and regulatory authorities at UL's Northbrook, IL headquarters on Thursday March 15th.

The symposium was geared towards educating the design, specification and enforcement professional about the value of utilizing effective fire safety technologies in the building design today.

Bill Johnson presented how DHI and the Foundation are leading the way for the door and hardware industry through creating awareness and educating members of fire related disciples about the fire-door inspection initiative.

Keep up-to-date with the latest Foundation news and programs, please visit www.lifesafetysecurity.org

DHI NEWS

Upcoming DHI National Education!

Don't miss DHI's next national school in Scottsdale, AZ, June 3 - 8, 2007. Registration is now available online at www.dhi.org/education. Start making your plans to attend this upcoming education opportunity! DHI Education is for EVERYONE! With a wide variety of classes, you can find courses that meet YOUR needs! Not sure which class to take? Contact us at 703-222-2010 and we can help you select the right one for you!

DHI Local Chapter Education

Interested in taking classes through your local chapter? DHI's Local Chapter Education System now allows your chapter to deliver DHI technical education at the local level! Contact your chapter leaders to find out how your chapter can take advantage of the convenience of local education. Want more information? Go to www.dhi.org/Chapter/chaptereducation.asp or call Brittany Hammelman at 703-766-7009