NAHB Calls on Congress to Ease Housing Industry Burdens

When the National Association of Home Builders conducts its annual legislative conference in Washington, D.C., we do so with big numbers.

More than 1,000 business professionals who are engaged in all facets of residential construction visited Capitol Hill on June 11 where they participated in more than 250 meetings with their representatives and senators on Capitol Hill. They called on Congress to ease the chronic headwinds that fan the nation’s housing affordability crisis and make it harder for remodelers and other housing industry professionals to do their work.

NAHB has a legislative agenda packed with issues critical to the remodeling industry, including workforce development, energy codes, and tax policy.

Workforce Development 

NAHB members asked Congress to pass the CONSTRUCTS Act, bipartisan legislation pending in the Senate (S. 189) and House (H.R. 1055) that will help prepare young adults for rewarding careers in construction and other essential trades.

They also called on Congress to strengthen the federal government’s approach to workforce training by implementing important reforms to Job Corps as outlined in the bicameral A Stronger Workforce for America Act.

These measures are important because in any given month there is a shortage of more than 200,000 construction workers, which is making it harder for remodelers to complete projects on time. In fact, a new study from the Home Builders Institute, conducted in collaboration with NAHB, found an aggregate economic impact of $10.806 billion per year due to longer construction times associated with skilled labor shortages.

Almost 2.2 million new construction workers will be needed to keep up with housing demand over the next three years. We strongly encourage more Americans to consider careers in the building trades and provide them the training they need to succeed.

Energy Codes

NAHB members also brought attention to energy codes, as lawmakers in a growing number of states and local jurisdictions consider measures to ban the use of gas appliances in residential construction. They asked lawmakers to pass the Energy Choice Act, also known as the “ban the ban” legislation, which would prevent state and local governments from banning the use of natural gas energy in new homes. A gas ban would exacerbate the housing affordability crisis by increasing construction and remodeling costs, eliminate consumer choice, and further strain an already stressed electric grid.

Tax Policy

NAHB asked Congress to pass a tax package that permanently extends pro-business and pro-housing policies included in the Tax Cuts and Jobs Act of 2017. Members noted that these measures in the tax code provide the confidence remodelers and other housing professionals need to invest in their businesses.

NAHB is also pushing Congress to preserve long-standing energy tax incentives, including the Section 25D Residential Clean Energy Credit. Remodelers have made significant business investments to comply with these credits, which offer a voluntary, cost-effective pathway to improving energy efficiency. A sudden termination of these credits would undermine those efforts.

Members also asked Congress to address limitations placed on the state and local tax (SALT) deduction cap that burdens homeowners in high-cost areas.

Timeline and Results

The House and Senate were pushing to deliver the tax bill to the president’s desk by the end of July. NAHB will provide detailed analysis of how the measure will affect residential remodelers once the bill is signed.

I’ve been a part of NAHB’s legislative conference many times, and this is the best I’ve seen. The issues in play have a significant impact on the success of our businesses, and Congress is listening to our message. We may not get every detail we seek in several key pieces of legislation, but I’m certain the results will be the better for our having engaged in the process.