Thanks to the joint efforts of REBIC and the North Carolina Home Builders Association (NCHBA), home builders in Mecklenburg County are still able to apply for permits on new construction and renovations, and a potentially devastating, statewide permit shutdown has been avoided.
When local code officials began warning last week that they may have to stop accepting permit applications on March 1 because of the unavailability of the 2012 North Carolina Residential Building Code, NCHBA sprung into action and ensured that an online version of the code was available two days before its state-mandated effective date. This online version allows general contractors, code enforcement officials, other industry professionals, and the general public to view the code in its entirety. Consequently, there is no legal basis to withhold building permits as several jurisdictions had threatened to do.
When Mecklenburg County then raised concerns that the online version was labled “DRAFT,” REBIC and NCHBA teamed up to obtain a memorandum from the State Department of Insurance clarifying that no further substantive edits would be made and ensuring local governments that they could rely on the code for the issuance of permits. As a result, Mecklenburg County agreed to begin accepting permits for review under the new code on March 1, although it asked builders to be patient as its plan review staff adjusts to the changes.
Thanks are also due to State Insurance Commissioner Wayne Goodwin, whose efforts helped ensure that permits would continue to be accepted in Mecklenburg County and other jurisdictions across the state.
“Any withholding of building permits would have surely harmed the fragile recovery in the housing market that is beginning to take hold in our state,” said Mike Carpenter, NCHBA Executive Vice President. “We appreciate Commissioner Goodwin’s personal involvement in speaking to officials at the ICC to obtain this result.”
Again, you may find the 2012 NC Residential Building Code at this link.
Please give a big welcome to our two newest Associate Members:
If you know of anyone else who would be interested in a REBIC membership, please contact Joe Padilla at 704-940-3174 or Yvonne Case at 704-940-3171!
On February 16, 2012, a coalition of several leading commercial real estate organizations, including NAR, released a report (access it here) that examines the economic impact of the International Accounting Standards Board (IASB) and Financial Accounting Standards Board’s proposed lease accounting standard. The study specifically looks at how the proposed standard would negatively impact job creation, the health of the U.S. commercial real estate sector, and liabilities of U.S. publicly traded companies.
The report analyzes the current proposal and under a best case scenario estimated its economic impacts as: (1) increasing liabilities for U.S. public companies by $1.5 trillion; (2) increasing costs to U.S. public companies by $10.2 billion annually; (3) potentially leading to job losses of over 190,000; (4) reducing U.S. household earnings by $7.8 billion annually; and (5) lowering U.S. GDP by $27.5 billion each year.
The coalition is calling on the accounting boards to conduct a comprehensive examination of the costs and benefits of their lease proposal. A failure to fully understand the economic ramifications of these accounting changes or to address these issues may harm businesses that own, invest, or rent commercial real estate.
For question or more information, please contact Vijay Yadlapati, Associate Commercial Policy Representative, National Association of Realtors®, at 202-383-1090.