Page 10 - Builder Brief December 2021 Issue

EXECUTIVE VICE PRESIDENT
LOOKING AHEAD TO 2022
What a year it has been! Your Association has been on the move, and we couldn’t have achieved all that we did without your support.
There has been a lot happening on the local, state, and national levels. On November 5th, the House passed the $1.2 trillion bipartisan infrastructure bill approved by the Senate. This ‘infrastructure’ bill will make much-needed improvements to the nation’s roads, bridges, broadband and public transportation network.
President Biden’s Build Back Better bill barely passed the House on November 19th. It did include positive housing provisions with $150 billion in new funding that will support the creation and renovation of affordable housing across the country. On the flip side, this bill also contains provisions that will be detrimental to our industry.
The components that are good for housing is the establishment of the first time, first generation down payment assistance program for homebuyers. Biden’s Build Back Better Act would also create a new home loan program to subsidize 20-year mortgages for first generation home buyers. It will also expand funding for the USDA Section 504 program to help low-income homeowners in rural area with repairs, upgrades, and preservation of affordable homes. These provisions are all good for housing.
There are several things in the bill however that are not favorable to our industry. The expansion of the Net Investment Income Tax (NIIT) to include investment income derived from an active trade or business is one of them. The tax hikes proposed could exacerbate the housing affordability crisis and the National Association of Home Builders (NAHB) is carefully monitoring this.
There is also a requirement in the bill to use the ‘latest published editions of relevant performance-based building codes. It is unclear if states and local municipalities will be able to evaluate and amend updated editions of a consensus-based code prior to adoption.
The bill also requires the use of Energy Star for new residential construction as the sole means to qualify for the 45L tax credit. Less than 10 percent of single-family homes and multifamily units were certified Energy Star in 2020 so this could be a real issue moving forward. NAHB is hopeful that the Senate will move to alter the legislation and then we can advocate for changes in Biden’s Build Back Better legislation that will be beneficial to the housing industry.
We continue to work with our elected officials in Austin and Washington and we are starting to meet with candidates running for open seats for the Texas House and Congress.
We are working with the City of San Antonio on a daily, weekly, monthly basis. They are reviewing and amending the Unified Development Code (UDC) now. The UDC affects all the regulations dealing with development in San Antonio including zoning, preservation of historic
KRISTI SUTTERFIELD
buildings and natural resources such as trees and the aquifer, short term rentals and more. Our next meeting with the City of San Antonio’s Development Services Department (DSD) is Tuesday, December 14th at 1:00pm immediately following our Board of Directors meeting in the GSABA Ballroom. We would love for you to join us.
As we look back at what we have accomplished with our special events, membership and in the government affairs arena, we have much to be proud of. Thank you to every member who has invested their time and talent into the Association to help protect and better our industry. I want to give a special heartfelt thank you to our 2021 President, Ed Berlanga, for his incredible leadership this year.
I want to urge you to get involved with your Association. Join a committee, help us with one of our major events, work membership! We need you!
We wish you blessings for a magical holiday season!
Warm regards,
10 DECEMBER 2021 | GREATER SAN ANTONIO BUILDERS ASSOCIATION