HB 485/SB 476 New Home Purchase Stimulus was introduced in conjunction with NCHBA. It provides the buyer of a new home a $10,000 tax credit (spread over 5 years). NCHBA proposed this legislation because of the positive impact it would have on the economy of North Carolina. Until housing recovers, North Carolina’s economy will continue to suffer. Residential construction historically accounts for 15% of the state’s gross domestic product and is a major economic engine that drives our state’s economy. An economics study by Dr. Michael Walden, Reynolds Distinguished Professor of Economics at NCSU, estimates the total economic impact from the new home tax credit in North Carolina would be a remarkable $966 million. The study also calculated that 16,199 new jobs would be created as a result of the enactment of the tax credit proposal in the first year. By comparison, only 6,400 jobs were gained in all industries in North Carolina in 2010. In order to have any realistic chance of passage, the proposal had to create the maximum number of jobs for the $100 million that the General Assembly is being asked to allocate to fund the tax credit proposal. Thus, the starting date for homes to qualify for the credit had to be prospective. We understand that this does not help those builders who continue to hold inventory, but it was unavoidable.
HB 489 Mechanics Lien and Bond Changes was sent to a subcommittee of the House Judiciary B Committee to be worked on by interested parties. NCHBA opposes this bill, and we expressed our opposition to it before the full committee along with other major construction groups.
HB 497 Clarify Definition of General Contractor would add design/build work to the definition of “general contractor.” NCHBA is monitoring this bill.
HB 505 Stormwater/Certain Development Projects would exclude some transportation projects from post-construction practices if the project followed the “Stormwater Best Management Practices Toolbox” produced by NC DOT. NCHBA supports this bill.
HB 531 Involuntary Annexation Reform would make comprehensive changes to the annexation process in NC. NCHBA is monitoring this bill.
HB 542 Tort Reform for Citizens and Businesses would make changes to the liability laws in the areas of medical malpractice, attorney fees, product liability and trespassing. NCHBA is a leader in the business community’s tort reform coalition, which proposed and supports passage of this bill.
HB 574 Distribution Mod to Excise Tax on Conveyances/SB 462 Distribution of Excise Tax on Title Instruments would change the distribution of funds collected from property conveyances to include the Housing Trust Fund (currently funds are split between Parks & Recreation Trust Fund and Natural Heritage Trust Fund). NCHBA supports this bill.
SB 447 Rewrite Landscape Contractor Laws would create the NC Landscape Contractors’ Licensing Board. NCHBA is monitoring. |
