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Builders

utlook

www.elpasobuilders.com

2014: issue 1

Now More Than Ever!


Learn what is new in education International Builders Show
Roundtable at IBS The NAHB
International Builders Show (IBS) is
again enhancing its education
programs to meet the growing needs
of building professionals. The 2014
education enhancements focus not
only on what attendees learn in terms
of content, but also how this
information is delivered. Attendees
can expect a variety of new session
formats, technology upgrades in many
of the education rooms, a variety of
interactive architectural and design
plan reviews, and more hands-on
demonstrations both on and off the
show floor, all aimed at further
improving the learning experience.
Here is an overview of the new and
improved Builders Show educational
lineup:
Building Knowledge Sessions
Revamped. With approximately 100
sessions available, attendees will have
the opportunity to build their
knowledge on a variety of industryspecific topics. Session length has
been reduced from 90 to 60 minutes,
yet attendees can still expect to get indepth, innovative and concise
programs. Areas covered in these
sessions include sales, marketing,
design,
business
management,
technology, high performance building
and more.
80+ New Speakers. There will be
many new and informative programs
this year, as over 80 new session
speakers are being featured at IBS.
They will provide fresh content,
informative concepts and plenty of
actionable items that attendees can
implement immediately.
New Formats. This year, attendees
can expect a variety of session
formats, such as case studies,
debates, demonstrations, individual

speakers, lightning rounds, town halls


and even talk show formats.
Spotlight Sessions. These sessions
are sure to be show-stoppers. They will
feature leading industry experts and
discuss emerging trends for the
coming year including the latest in
design,
color
and
kitchen
enhancements. Among the dynamic
spotlight speakers will be the VP of
Community at Houzz, the fast-growing
online platform that is changing the
way consumers design, build and
remodel their homes.
A Unique Experience The Tech
Hub. This is the place where
technology flourishes. The hub will be
equipped with advanced technology
and will be fully wired so attendees can
plug-in and participate in the sessions
using their laptops and mobile devices
for a complete interactive experience.
Tech-heavy topics such as social
media, online business management
tools and mobile marketing will be
covered in the Tech Hub.
Expansion of Exhibitor Floor
Forums. Back by popular demand,
attendees dont have to leave the
Show floor for these educational
opportunities. Exhibiting companies
will offer NAHB-approved education
sessions in their booths throughout the
Show; these interactive forums will last
between 20-60 minutes and qualify as
continuing education (CE) for all those
who
hold
NAHB
professional
designations.
New
in
2014,
participating companies will also be
offering some technology-focused
Forums in the Tech Hub.
High Performance Building Zone.
To further the education offered in the
exhibit hall, the show will add a
technique demonstration stage in
2014. This area will be known as the

Builder Confidence
Slips One Notch

Rick Judson, a home builder from


Charlotte, N.C. Many markets
continue to improve and this bodes
well for future home sales.
Rising home prices, historically low
mortgage rates and significant pent-up
demand will drive a continuing, gradual
recovery in the year ahead, said
NAHB Chief Economist David Crowe.
However, the pace of the recovery
could be stronger were it not for rising
construction costs and inaccurate
appraisals that are keeping some
home sales from going through.
Derived from a monthly survey that

Builder confidence in the market for


newly built, single-family homes fell
one point to 56 in January from a
revised December reading of 57 on
the National Association of Home
Builders/Wells Fargo Housing Market
Index (HMI), released today.
Following an unexpected jump last
month, builder confidence has
essentially leveled out and is holding at
a solid level, said NAHB Chairman

2014 International
Builders Show
February 4-6
Las Vegas
High Performance Building Zone and
will feature top building science
experts leading a series of live,
interactive
construction
demonstrations showcasing the latest
methods, tips and tricks used in high
performance building. Demonstrations
will range from 19.2-inch and 24-inch
on center framing techniques to
advanced flashing and air sealing
methods.
More Information-Packed Master
Sessions. The number of Master
sessions offered has increased from 3
NAHB has been conducting for 25
years, the NAHB/Wells Fargo Housing
Market
Index
gauges
builder
perceptions of current single-family
home sales and sales expectations for
the next six months as good, fair or
poor. The survey also asks builders to
rate traffic of prospective buyers as
high to very high, average or low to
very low. Scores for each component
are then used to calculate a seasonally
adjusted index where any number over
50 indicates that more builders view
conditions as good than poor.
All three HMI components declined

to 5 and have been restructured from


full-day programs to half days.
Attendees can still expect these
sessions to dig deeper into specific
industry topics, but this change allows
them to take advantage of more IBS
activities each day.
Lumber & Building Material
Sessions. For the first time in recent
history, IBS is offering content specific
for building material distributors and
suppliers. Sessions will cover hot
topics such as supplier services and
OSHA crane regulations.
in January. The index gauging current
sales conditions edged one point lower
to 62, while the index gauging
expectations for future sales fell two
points to 60. The index gauging traffic
of prospective buyers fell three points
to 40. Looking at the three-month
moving averages for regional HMI
scores, the Northeast and West each
rose four points to 42 and 63,
respectively, while the South held
steady at 56. The Midwest fell a single
point to 58.

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Builders Outlook

2014 issue 1

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2014 issue 1

Builders Outlook

Presidents Message |
Frank
Torres

ElPasoDisposal

President,
El Paso Association
of Builders

Happy New Year to everybody. I would like to thank all of you members for giving
I am honored to be able to serve
me the opportunity to lead your association;
as your president for 2014. Thanks to all of you that attended the installation, and
special thanks to our sponsors, Sierra Title Company, El Paso Building Materials,
Tropicana Homes, Lawyers Title, Carefree Homes, Stewart Title, Foxworth
Galbraith and MTI Ready Mix (Tony Mullen) for sponsoring the open bar one more
year.
Special thanks for Ray and Margaret and the professional womens council for
planning, working and making the installation a successful one.
Congratulations to all the individuals and companies that received awards for
their leadership and loyalty not only to the Association but the building industry.
There are mixed feelings and predictions on what 2014 will bring to our industry.
Some experts say that 2014 will be a better year than 2013; others see it
differently, because of the adjustments we have to do to comply with the new city
codes, energy codes, impact fees, buyers qualification rules, increases on building
materials, lots availability, and so much more. Home building will be a challenge
for sure. Regardless of what the New Year will bring us we must remain united and
increase our membership. We must this and more to be successful.
At the first Board of Directors meeting, every director agreed to bring at least two
new members by April. I will extend this challenge to every member and ask you
to just one more new member. Bring them in and mentor them to success within
the association. Remember YOU are the association, it belongs to you. Help the
Association to help you and your companies, participate, be part of it, take
advantage of your membership, come to the meetings and let us know how we can
help. I also would like to invite all of you to participate on the Spring Home and
Garden Show, sponsored by the EPAB. Let me say thanks to all of you that are
displaying your services and or products at this show. It is my personal challenge
to each one of our members to get into the show. What can you do with the
thousands of potential prospects? Sell baby, sell!
On another note the IBS (International Builders Show) is coming to Las Vegas
February 4, 5, and 6. Its combined with the Kitchen and Bath show for the first
time. Should be fun and an adventure. If you haven't made reservations please
make them ASAP the show is filling up quick. See you in Vegas Baby.

772-7495

Showroom:
2131 Missouri
915 533 6045

fax 533 6096

Thomas R. Brown, Owner

Builders Outlook

2014 issue 1

Perspective

Ray Adauto,
Executive
Vice President
EPAB

When your great niece turns 17


you have to ask, where is the time
going? I remember that bundle of
joy coming out of the hospital and
taking on all the cuddles and arms
the aunts, uncles, grandmas and
grandpas, cousins and near
cousins. Yep, my great niece and
Goddaughter is now 17 and time
has flown. I remind her mom that
Im not getting older, she is. Of
course I wish time had stopped
when I was 17 but then again look
at all Ive gotten and survived since
then. I bring up time because here
we are in 2014. By now we were
supposed to have had a moon base
with thousands of commuters going
back and forth; we were supposed
be flying our cars; energy would be
endless and there would be no
disease we couldnt cure. Those
were the promises made to me
when I was growing up. We all were
supposed to be living a utopian

Time: only the future optimist need apply


fantasy with all the money we could
want while living in spotless
communities. Sunshine in the sky,
money in the bank, and no worries.
Ugh. The reality is something else
isnt it?
A friend of mine was on Facebook
talking about the car that was
supposed to turn left but instead hit
her car. You might recall I talked
about a similar thing in a recent
editorial. My friend said it was an
interesting way to start the day. Ill
say. But you know each one of us
does things sometimes without
knowing how or why we did it. Such
was evident during the recent class
we had on the Texas Association of
Builders contracts. The class was
nice and full and I bet each
participant wondered why they
were still doing things that could
jeopardize their business as our
instructor pointed out. The amount
of risk each business owner takes

is getting bigger each day as rules


and codes and taxes keep growing.
In the orientation class I held
recently I asked the question What
did you want to be when you were
growing up when you were 7? Not
one person answered that they had
wished to be doing what they were
doing today. Dont misunderstand,
some of these folks actually were
grateful for all they have, but it
wasnt in their plans back then.
As the time we have shrinks the
thoughts about what we are and
where we are going begin to creep
into our daily lives. Some of us are
still optimistic. Today for instance I
learned that a company here in the
U.S. is flight testing a real flying car.
And it looks promising even given
the fact that sometimes we forget
we have to turn left. The guys
doing the test say theyve included
the human factor into the design.
What enthusiasm and optimism

these guys are showing. We all


look at our businesses and go to
work with optimism because if we
didnt wed stay in bed and wait for
the sky to fall. Oh there are more
things that you and I cant control
fully, but there are ways that we
can. If nothing else we must hold
onto our optimism. I am glad to be
associated with men and women
who take the risks, create the
homes, and give ordinary people
the chance to live a dream. I cant
go back in time but I hope that in my
future Ill look back at today and say
weve done something good. I cant
wait now to see my goddaughter
turn 27, 37 or maybe 47. Ill be
really old, but trust me Im
optimistic.

2014 issue 1

Builders Outlook

Industry News
Housing Markets
Continue to Show
Gradual
Improvement

Markets in 56 out of the


approximately 350 metro areas
nationwide returned to or exceeded
their last normal levels of economic
and housing activity, according to the
National Association of Home
Builders/First American Leading
Markets Index (LMI), released today.
This represents a net gain of two from
the previous month. The indexs
nationwide score of .86 indicates that,
based on current permits, prices and
employment data, the nationwide

average is running at 86 percent of


normal economic and housing activity.
More markets are slowly returning
to normal levels and we expect this
upward trend to continue as an
improving economy and pent-up
demand brings more home buyers
back into the marketplace, said NAHB
Chairman Rick Judson, a home builder
from Charlotte, N.C. Policymakers
must be careful to avoid actions that
would harm consumer confidence and
impede the ongoing recovery.
Forty-five percent of metro areas
are recovering at a faster pace than
the nation as a whole, with smaller
markets leading the way, said NAHB
Chief Economist David Crowe. Of the
56 markets that are at or above normal
levels, 48 of them have populations
that are less than 500,000, and many
of these local metros are fueled by a
strong energy sector, which is
producing solid job and economic
growth.

More than 35 percent of all the


markets on this months LMI are
operating at a capacity of 90 percent or
better of previous norms, which is a
good sign that the housing recovery
will continue to pick up steam in 2014,
said Kurt Pfotenhauer, vice chairman
of First American Title Insurance Co.,
which co-sponsors the LMI report.
Baton Rouge, La., tops the list of
major metros on the LMI, with a score
of 1.42or 42 percent better than its
last normal market level. Other major
metros at the top of the list include
Honolulu, Oklahoma City, Austin and
Houston, Texas, as well as Harrisburg,
Pa., and Pittsburghall of whose LMI
scores indicate that their market
activity now exceeds previous norms.
Looking at smaller metros, both
Odessa and Midland, Texas, boast LMI
scores of 2.0 or better, meaning that
their markets are now at double their
strength prior to the recession. Also at
the top of the list of smaller metros are
Casper, Wyo.; Bismarck, N.D.; and

Grand Forks, N.D., respectively.


The LMI shifts the focus from
identifying markets that have recently
begun to recover, which was the aim of
a previous gauge known as the
Improving Markets Index, to identifying
those areas that are now approaching
and exceeding their previous normal
levels of economic and housing
activity. More than 350 metro areas are
scored by taking their average permit,
price and employment levels for the
past 12 months and dividing each by
their annual average over the last
period of normal growth. For singlefamily permits and home prices, 20002003 is used as the last normal period,
and for employment, 2007 is the base
comparison. The three components
are then averaged to provide an
overall score for each market; a
national score is calculated based on
national measures of the three metrics.
An index value above one indicates
that a market has advanced beyond its
previous normal level of economic
activity.

New-Home Sales
Post Solid Numbers
in November
6Sales of newly built, single-family
homes declined 2.1 percent to a
seasonally adjusted annual rate of
464,000 units in November from an
upwardly revised strong pace of
474,000 units in the previous month,
according to data released today by
the U.S. Department of Housing and
Urban Development and the U.S.
Census Bureau. Except for October
2013, this is the strongest sales pace
since July of 2008.
This figure is consistent with
NAHBs member surveys, which show
increasing confidence in the market,
said Rick Judson, chairman of the
National Association of Home Builders
(NAHB) and a home builder from
Charlotte, N.C. Meanwhile, the very
low supply of new homes on the
market and tight credit conditions for
home buyers show that builders are
still cautious about getting ahead of
themselves.
The previous three months for newhome sales have all been revised up,
and the final quarter of 2013 is shaping
up to be the best quarter since the
second quarter of 2008, said NAHB
Chief Economist David Crowe.
Historically low interest rates,
affordable home prices and a healing
economy are bringing buyers back into
the marketplace.
Regionally, new-home sales were
mixed in November. Both the West and
the Northeast showed improvement,
with respective increases of 31.1
percent and 15.2 percent. New-home
sales in the Midwest dropped by 26.6
percent and the South posted a 9.1
percent decline.
The inventory of new homes for sale
declined to 167,000 units in November,
which is a 4.3-month supply at the
current sales pace.

Builders Outlook

2014 issue 1

2014 ISSUE 1

Builders

Builders Outlook

utlook on the scene |

TAB contracts class spells out risks and rewards for builder members
When Scott Whisenant of StrucSure
Home Warranty called to get a contracts
class going in El Paso he told Ray Adauto
that the new Texas Association of Builders
(TAB) contracts were better than ever. I
wanted to make sure that the El Paso
builder members understood that they put
themselves and their companies at risk by
not using these contracts, he told the
Outlook. When I talked with Ray we
coordinated the training with the author of
the contracts and perhaps the most
knowledgeable attorney in the field, James
Rudnicki, he continued. So it was that on
January 15 the builder members had the
updated contracts class. Builder members
came out and some brought their sales staff
with them to get a better understanding of
the protection the TAB contracts offer. I
brought my sales team with us so that they
could hear firsthand how important it is to
make sure we are protecting our position as
a builder, said Greg Bowling of Tropicana
Homes.
Randy Bowling echoed his
brothers comment. I want to know certain
things about the contracts and hearing it
from James gives me confidence in using
the contracts, he said.
Rudnicki, partner in the DFW and Austin
law firm of Bush, Rudnicki and Shelton is
considered the top authority on the TAB
contracts and home building law. I have
been involved in builder contracts for over

14 years and frankly there isnt much I


havent seen when it comes to problems
that can come a builders way, Rudnicki told
the class. Bob Bush got me involved in
these TAB contracts and today Im the
chairman of the TAB Contracts task force,
he said. Rudnicki developed a PowerPoint
presentation that highlighted the changes in
the 2014 version of the contracts. There
are lots of great points in our contracts that
taken as a whole provide, in our opinion,
some of the best protection for a builder
weve ever offered, he continued.
This is the fourth time that the association
has offered these classes and we anticipate
doing more in the future. When we let our
builder member know that we have a class
like this we emphasize the opportunity for
them to get some information whether they
use the TAB contracts or some other ones,
said Ray Adauto. What struck me was that
we didnt have more builders come to it
because frankly for the cost of the TAB
contracts you couldnt buy a half hour of
attorney time, he continued.
The contracts are offered only to TAB
builder members online with encrypted
password and username. In the past TAB
sold CD copies to each builder directly but
over the years TAB had realized that others
were copying the contracts and giving them
away. When we offer a service or product
like this there are needs to protect the users

and us, said Scott Norman, Executive


Director for the Texas Association of
Builders. By making it a little more member
direct we protect our assets and the assets
of the local association as well, he
continued. Pricing for the contract is around

$300 for a two year subscription, making


them very affordable to all the builder
members. For information on how to
purchase the contract contact the EPAB
office

Mission Homes; Joey Najera, Joseph


Homes; Carlos Villalobos, Pointe Homes
and Frank Torres, President.
I think that this will get us going in a good

direction, said Frank Torres. I have to


agree that coming into this position is a little
bit scary but then when you look at the
mission and the purpose of the association

you begin to realize how important the board


is, said Rodriguez of EP Mass Media. The
commitment is made real at this orientation,
chimed in Joey Najera.

had on the upcoming association


events. The first is the International
Builders Show in Las Vegas February
4,5,6 and then the Spring Home and
Garden Show on February 28. The

Executive encouraged board members


to go to and to participate in each. The
next board meeting is on February 12 at
the El Paso Club, 11 am prior to the
General meeting at noon. State Rep

District 77 Marisa Marquez is the


speaker and the meeting is sponsored
by Spotlight news, a division of Mass
Media Advertising.

Board Orientation
The new members of the Board of
Directors that were healthy took a Saturday
morning board orientation class in early
January. The flu season forced a couple of
newbies to miss the meeting but they will be
brought up to date soon. The orientation
began with a breakfast meeting at I Hop
where the new board members were joined
by EPAB president Frank Torres and
immediate Past President Edmundo Dena.
The directors then moved to the EPAB office
to take part in the seminar. Topics ranged
from what is expected of the board to the
risks involved in being a board member.
The presentation was facilitated by
Executive Vice President Ray Adauto.
Those in the class included Bret Thompson,
Foxworth Galbraith Lumber; Dan Ruth,
Millennium Homes; Orlando Rodriguez, EP
Mass Media Advertising; Rigo Mendez,

Board Meeting
The first meeting of the year for the
Board of Directors was held at the
association office on January 8, 2014.
The normal topics of the association
were discussed with emphasis on a
couple of issues and the need to induct
a couple of board members who
couldnt go to the installation.
The Public Service Board issued a
report on impact fees with a
recommendation to increase the fees
by over double per lot. The board
listened to several current and past
members of the CIAC committee and
discussed the potential ramifications of
such a move. Past TAB President and
Past Chairman of the CIAC Bobby
Bowling IV gave a report and
challenged the board to fight any
increases proposed. The mere fact
that the PSB has suggested increasing
the fees is in my opinion absurd,
Bowling told the Outlook. The impact
would be catastrophic at this point given
the local building climate and increases
in other fees and regulatory charges,
he concluded.
New members were admitted to the
association and discussion was also

el paso development news


Two Future Retail Developments:
Images Offer Look at Possible Designs
As the city of El Paso continues
spreading outward at its edges, retail
developments are in the works to
serve newer areas. Though many of
these shopping centers are still in the
works, some developers offer sneak
peeks at what they may look like
through renderings, concept images,
and site plans.
One such development, at the corner of South Desert Boulevard and
Redd Road, will add a 14.9-acre
shopping center to the West Side.
The centers site plan at the RJL Real
Estate website
(www.rjlrealestate.com) shows multiple parcels surrounding a central larger plot.
The unnamed future centers rendering shows a traditional layout for a
medium-large strip mall, with longer,
multi-tenant buildings located along
the back and smaller buildings closer
to the surface streets. The land,
owned by River Oaks Properties
according to the marketing brochure,
is for sale and may be developed differently depending on whom ultimately breaks ground.
Population numbers within a five
mile radius of the area are expected
to grow approximately by 20,000
between 2010 and 2018. It is located
across Interstate 10 from a larger
shopping center which includes an
Albertsons grocery store and a Kohls
department store.
A short drive north, Centergy Retail
of Dallas is developing two large
properties across the street from each
other. Both properties, at the corner of
Paseo Del Norte Boulevard and North

Desert Boulevard, appear on the


same site plan at the developers
website (www.centergyretail.com).
A closer look at the site plan shows
a large, 150,000 square foot building
on the southeast corner surrounded
by nine outparcels, plots that can be
purchased or leased for restaurants
or retail uses, as seen in many El
Paso shopping centers. The outparcels are located along Desert
Boulevard and Paseo Del Norte.
On the northeast corner, the layout
is more typical of a power center, one
that has several spaces for big box
retailers. One large 135,000 square
foot space anchors the north-south
building, a structure that will be the
size of a typical Target store.
Moving northward, buildings range
from a 48,000 square foot space with
a layout resembling a combination TJ
Maxx/Homegoods store, to smaller
2,000 square foot spaces. Standalone
buildings are also included, including
29,050 and 40,000 square foot buildings.
A small cluster of buildings is located in the middle of the property, with
spaces ranging from 7,000 to 25,200
square feet. This property also
includes eight outparcels. Centergy
Retail also developed the Fountains
at Farah power/lifestyle center on El
Pasos East Side.
No timelines or costs have been
disclosed for either project. Though
developers use imagery and site
plans to convey a general sense of a
retail developments future, they are
subject to change.

An artists rendering shows what a future shopping center may look like at Redd Road and S. Desert
Blvd., from the marketing brochure at www.rjlrealestate.com. (Concept designs are subject to
change.)

This site plan for a project on Paseo Del Norte (www.centergyretail.com) has been color coded to
show planned structures, in orange. Outparcels are in beige.

Public Art Projects


to Surge in 2014
Dozens of
Installations Planned
for the Sun City
The City of El Paso will receive an
update this week on the 2014 Public Art
Plan that will list projects already in
progress as well as those expected to
start this year.
About 29 projects in all are listed in the
plan, 21 of which are already in
progress while another eight are designated as new. Eight other projects are
listed as completed in 2013.
Three of the ongoing public art projects
will be located at the upcoming Triple-A
baseball stadium, which is expected to
open in April. The largest, a $500,000
project, is being developed by BallNogues, a California firm that has exhibited around the world. The working title
is Not Whole Fence according to the
firms website, www.ball-nogues.com.
The other two projects will be created by
local artists, a graphic installation by
Gaspar Enriquez highlighting the areas

baseball history, and what looks to be a


stained-glass installation by Robert
Davidoff with local historic imagery that
will decorate the baseball stadiums
clock tower.
A few roundabouts throughout the city
will benefit from public art installations,
including a $500,000 project for the
Spur 1966/Schuster Avenue roundabout
at the University of Texas at El Paso
(UTEP). Artist Donald Lipski will develop
the installation in coordination with
UTEPs Centennial Celebration.
Roundabouts at R.C. Poe at Edgemere
(Anna Jaquez), Rich Beem at Edgemere
(Jose Cano), and Country Club at
Memory (Margarita Cabrera) will also
get public art projects, with each receiving $70,000 in funds.
Public art will also be used in construction of the Rapid Transit Systems bus
stations, with the Mesa Corridor up first
in a $240,000 project. Artist Catherine
Widgery has developed a screen system that will display local flora when
seen from an angle and will be installed
at all 22 stations along the corridor.
Washington-based firm Haddad-Drugan
will work on the $300,000 Dyer Corridor
public art project, while no artist has
been chosen for the $300,000 Alameda
Corridor project.
Four other projects are underway in

partnership with the Public Art Program,


including two planned installations at the
El Paso International Airports future
rental car garage, artist-designed concrete walls along Loop 375, and the
Interstate 10 aesthetics project at the
Airway Boulevard interchange. These
projects represent $863,000 in public
investment.
Other future sites for public art include
the Westside Pool, Palisades Canyon,
Chelsea Pool, the El Paso Zoo, Irving
Schwartz Library, Richard Burges
Library, Eastside Regional Park, Fire
Station #5, the Sun Metro Operations
Center, Northgate Transit Terminal,
Veterans Park, and the Convention
Center North Pedestrian Pathway.
Artists have not yet been selected for
some of the projects.
The Citys Museums and Cultural Affairs
Department is also developing a new
Public Art Master Plan which will guide
the next 10 years of the program. The
last master plan was adopted in 2005.
In all, more than $3.7 million worth of
public art projects are currently underway as part of the Public Art Plan, most
of which should see completion in 2014
or 2015. Another $675,000 are planned
as new for 2014. The projects are
funded through 2010-2012 certificates of
obligation and 2012 Quality of Life

Bonds.
City Council will review the 2014 Public
Art Plan at its January 7, 2014, meeting
and may vote on whether or not to
approve the item.

Builders Outlook Issue 1.2014

Content provided by
El Paso Development News
visit: elpasodevnews.com

Closer Look:

El Paso County Comprehensive Mobility Plan


$120M County Pledge Will Help Fund Sixteen Projects
County of El Paso Commissioners
approved spending $120 million last
month to help fund 16 major transportation projects throughout the county.
Total costs for the projects are estimated at $392 million.
The 16 projects stretch from west to
east and include many both inside and
outside the El Paso city limits. Here is a
breakdown of the projects, some of
which could see construction begin
within a year.
I-10 Collector-Distributor Lanes
(Mesa to Executive)
The Interstate 10 Collector-Distributor
Lanes project is separated into two sections in the Countys Mobility Plan. The
first stretches from Mesa Street on the
far West Side of El Paso to an area just
north of Executive Center Boulevard.
The approximately four mile project
will, in essence, add a second set of
freeway lanes that will collect and distribute traffic from off- and on-ramps,
and keep them separate from the main
lanes in the middle of I-10. Traffic entering and exiting I-10 will use these lanes
and will not directly affect the main
lanes.
Officials hope to have the environmental study and the schematic design
completed by spring of 2014 with construction possibly beginning by the end
of the same year. The Texas
Department of Transportation (TXDOT)
held community meetings in 2012 to
update the public on its CollectorDistributor Lanes plan.
I-10 Collector-Distributor Lanes
(Mesa Park)
The southern portion of the I-10
Collector-Distributor Lanes project
involves creating a new overpass at the
interstate for a new City street that is
part of a future SmartCode development. Mesa Park Drive will take traffic
to and from the planned Aldea El Paso
development and connect with Mesa
Street to the east.
New frontage roads will also be built
from Mesa Park Drive to Executive
Center Boulevard. Eastbound traffic will
have to use the Mesa Park Drive exit to
access Executive Center as the current
eastbound exit ramp will be eliminated.
This portion of the project has an
estimated cost of $25 million and could
also see construction begin by the end
of 2014.
I-10/Border Highway Connectors
(Spaghetti Bowl)
This projects goals are to provide
direct connections between I-10 and
Loop 375 in the vicinity of the Spaghetti
Bowl in Central El Paso. Currently, east
and westbound traffic on I-10 cannot
access the Border Highway (Loop 375)
without exiting onto surface streets.
Transportation officials are looking for
a way to incorporate existing ramps to
create these direct connections. Current
southbound ramps off of I-10 take traffic
directly to the Bridge of the Americas
Port of Entry.
Preliminary estimates put the project
cost at $25 million with an approximate
construction contract ready in 2016.
I-10 Viscount-to-Airway Ramp

Improvements
Following up on ramp improvements
made in recent years along I-10
between Airway Boulevard and Viscount
Boulevard, transportation planners now
want to tweak the ramps and lanes.
The ramps were changed two years
ago from traditional diamond interchanges to X interchanges to try and
alleviate traffic at signals along the
Gateways.
Preliminary plans include making
changes to the lanes along both
Gateway Boulevard East and West and
on Interstate 10, including possible
addition of lanes. The cost estimate is
$12 million with construction slated for
2015.
Loop 375/Spur 601 Direct
Connector
This project will add a direct connector ramp to an interchange that is quickly becoming one of El Pasos busiest
during rush hour commutes. Currently,
the intersection of Spur 601 and Loop
375, two freeways, is a traditional diamond intersection. The proposed project will create a ramp that connects
northbound Loop 375 to westbound
Spur 601.
The overall project will eventually
create a total of four direct connector
ramps, but the first is seen as the most
important by transportation officials.
Once completed, drivers will no longer
have to go through a traffic light to get
onto Spur 601.
The ramp will cost about $15 million
to build with the environmental study
and schematic design set for completion in spring of 2014. According to the
presentation given to County officials,
the project could be begin construction
earlier than the scheduled 2019 date.
I-10/Loop 375 Direct Connectors
Three ramps have been constructed
and three others are now under construction at the I-10/Loop 375 interchange in Far East El Paso. This project aims to build the final two direct
connectors at the site.
The final ramps will connect southbound Loop 375 and northbound Loop
375 to eastbound I-10. The environmental study and engineering schematics have already been completed as
part of previous ramp construction. The
project is also one that may be expedited but currently has a possible construction start in 2019.
Delta Overpass
Delta Drive near Downtown El Paso
may see additional traffic as part of the
massive Border Highway West project
which will bring new ramps to the area
near Coles Street. Transportation officials are now planning to build a Delta
Drive bridge that will take traffic over
railroad tracks.
The area of focus is to the southwest
of Bowie High School where new ramps
will take traffic to and from Loop 375
east of Downtown. The $8 million project could begin construction in 2015.
I-10/FM 1110 Bridge Replacement
The Farm-to-Market Road 1110 overpass bridge at I-10 outside of the city
limits will be replaced and widened in

this project. A brand new, six-lane overpass will be constructed. The overpass
is located at the Clint exit on the interstate and also the southern end of
Darrington Road.
Construction on the $12 million project may begin in 2015.
FM 1110 Construction/Upgrade
A related project will widen and
expand FM 1110 from I-10 to SH 20
(Alameda). Currently, the road that
meanders to the Clint area is a two-lane
thoroughfare. The project will create a
four-lane, divided arterial for approximately three miles.
The $38 million project could see
construction start in 2015.
Eastlake Boulevard/Old Hueco
Tanks
Three projects combine to affect the
same thoroughfare just outside of the
city limits. First, one of Horizon Citys
main connections to I-10 will be getting
an extra lane. Eastlake Boulevard will
be expanded from four to six lanes from
the interstate eastward to Darrington
Road. The approximately $15 million
project will stretch about 3.6 miles and
could see construction start in 2015.
Another project will expand the new
six lane Eastlake eastward and connect
it to Horizon Boulevard near Horizon
High School. The $23 million project
may also begin construction in 2015.
And on the western terminus of
Eastlake (at I-10), a project is in the
works to build a four lane road westward and connect it to North Loop.
Preliminary costs for Old Hueco Tanks
Road are $12 million with a construction
date set for 2015.
Rojas Widening
Another project outside of the city limits is the plan to widen Rojas Drive from
four to six lanes. The $4 million project
stretches from the El Paso city limits to
Eastlake Boulevard, or about 0.6 miles.
It should be ready for construction in
2015.
Greg/Edgemere Blvd. Extension
Edgemere Boulevard ends about 0.7
miles east of Zaragoza Road in Far
East El Paso. This project will extend it
another 1.7 miles, approximately, to the
east and connect it to Greg Road in the
Montana Vista area of the county. The
$1 million project could break ground in
2016.

Four of the projects that will be


helped by the County of El Paso
include (counterclockwise from top
left) the Spur 601/Loop 375 Direct
Connector, the I-10 CollectorDistributor Lanes, the Americas
Interchange Direct Connectors,
and the Mesa Park Overpass and
Frontage Roads. (County of El
Paso)

Arterial 1
This project will create a stillunnamed thoroughfare from Eastlake
Boulevard to Pellicano Drive. The nearly two mile road will travel north and
south and will brush the western edge
of the Horizon Airport. The $7.5 million
project may see construction start in
2016.
Manuel F. Aguilera Highway
The final project on the Mobility Plans
list is to construct a non-freeway road
in the vicinity of Tornillo in the far eastern section of the county. The Manuel F.
Aguilera Highway will help ready the
area for possibly increased traffic when
the new Tornillo Port of Entry is opened.
The $17 million project may break
ground in 2015.
Financing for the $392 million worth
of projects will come from multiple
sources. The Countys approximately
$120 million comes from $72 million
generated from increased vehicle registration fees and $48 million from its
Transportation Reinvestment Zone.
The Town of Horizon is kicking in $5
million and the City of Socorro another
$9 million from their respective
Transportation Reinvestment Zones.
The remaining $258 million will come
from funds leveraged by TXDOT, the
Metropolitan Planning Organization, and
other sources, according the Plan.
The Camino Real Regional Mobility
Authority is expected to develop and
manage the majority of he projects. The
Authority was formed in 2007 by the El
Paso City Council and has helped several projects be realized in the city,
including Spur 601 and the Americas
Interchange.

10

Builders Outlook

2014 issue 1

The Economy

New mortgage
rules for this
year
By Jill Schlesinger, Tribune Content Agency
Retire Smart

Big changes are sweeping through


the mortgage market this year. The
new rules, created by the Consumer
Financial Protection Bureau (CFPB)
as mandated under the Dodd-Frank
Act, ban some of the lending
practices that contributed to the
housing boom and bust.
As of January 10, there is a new
class of mortgages called "Qualified
Mortgages" or "QMs". Borrowers who
qualify for these loans are presumed
to be able to repay the loan for many
years, not just during the first few
months when an initial "teaser" rate
can keep monthly payments low.
Additionally, many previously popular
loans are banned. Those include
interest-only loans; negatively
amortizing loans, which can allow
your loan principal to increase over
time, even though you're making
payments; and balloon loans, which
have larger-than-usual payments at
the end of the term. The new rules
also prohibit loans that are longer
than 30 years and limit excess upfront
points and fees, depending on the
size of your loan. For example, a loan
over $100,000 can't be a QM if it has
points and fees that are more than 3
percent of the loan amount.
Any lender who wants to underwrite
a Qualified Mortgage will have to
determine a borrower's ability to repay
a loan by considering factors like the
borrower's income, assets, debts, and
credit history. Another feature of a QM
is a limit on how much of income can
go towards the mortgage- the debt
can't exceed 43 percent of monthly
income. Additionally, to be considered
a Qualified Mortgage, the loan must
qualify for purchase or guarantee by
Fannie, Freddie or by a federal
housing agency; or the lender must
keep the loan in its portfolio for a
period of time.
Mike Raimi, President of PMAC
Lending Services, says that QM
should benefit consumers in some
respects, though it may make it more
difficult to secure financing for others,
especially jumbo borrowers (those
who borrow more than $417,000 in
most markets and up to $625,500 in
higher priced markets). Although the
new rules may become the norm,
Raimi reminds consumers that
"Fannie Mae and Freddie Mac will still
accept non-QM loans, which are often
approved for borrowers with up to 55
percent debt-to-income ratio."
What do you need to know about
attaining a mortgage now? According
to Raimi, "The process has improved,
but it is still labor intensive."
Mortgages for new home purchases
can take about three weeks to close,
while refinancing can take longer "anywhere from 30 to 60 days."

If you are looking for a 30-year


conventional mortgage with 20
percent down, the best rates are
available for those with credit scores
above 740. For every 20-point drop in
score, the mortgage rate jumps by
approximately a quarter of a percent.
If your credit score is below 620, it's
tough to get a loan closed, unless you
qualify for the government's HARP
plan or are working with FHA. (Credit
scores do not have nearly as much
impact on loans of 15 years and
shorter.)
Whether you are trying to refinance
or buy a home with a mortgage, here
is what you will need:
W-2 (2 years)
Tax Returns (2 years)
Pay Stubs (2 months)
Bank statements -- all pages (2
months): You may be required to

provide an explanation for large


deposits. This has more to do with
anti-money laundering efforts than
the mortgage process itself.
Up to six months of mortgage
payments in cash reserves.

tax preference items. While you may


have used the tax code to your
advantage, the bank will not cut you
any slack -- the numbers on the
return are set in stone.
Two more items that you are likely
to need: patience and perseverance!

Investment accounts, if bank


accounts do not show adequate
assets.
Donor letter: If a family member or
friend is helping you with your down
payment or providing cash for the refi, he or she may be required to
provide a letter and may also have to
present his or her account
statements.
Self-employed applicants: Must
have 2 years of proof of selfemployment and 2 years of tax
returns. Gone are the days when selfemployed borrowers can "add-back"

Jill Schlesinger, CFP, is the Emmynominated CBS News Business


Analyst. A former options trader and
CIO of an investment advisory firm,
Jill covers the economy, markets,
investing and anything else with a
dollar sign on TV, radio (including her
nationally syndicated radio show), the
web and her blog, "Jill on Money."
She welcomes comments and
questions at
askjill@moneywatch.com. Check her
website at
http://www.jillonmoney.com)

2014 issue 1

11

Builders Outlook

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Builders Outlook

2014 issue 1

2014 Issue 1

13

Builders Outlook

www.elpasobuilders.com
www.epbuilders.org

Membership News
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14

Builders Outlook

2014 issue 1

Associates Council

Sam Shallenberger
Western Wholesale Supply

Hello and Happy New Year,


I hope everyone had a great Holiday
season. I love it because of all the games
that we have here locally. The WestStar
Bank Don Haskins basketball invitational
was awesome with our Miners winning two
close games. One of the big highlights was
the announcer Uncle Ray Adauto was back
where he belongs during basketball season
behind the microphone. (Miner Ball). The
Hyundai Sun Bowl was great as well and to
make it real special we had the best
weather in the nation. I got a sun burn to
prove it.
This should be a exciting year for all of us.

We have the Home and Garden Show


coming up Feb. 28, March 1and 2nd. If you
don't have a booth you are missing a big
opportunity. We also have the spring Golf
Pachanga coming up in late March or early
April. We will announce the date soon. Its
time for you to get your advertising
sponsorships ready as well be needing
each one of our members to advertise with
us at this event. We are looking at a couple
of locations and we promise youll have a
great time.
While its about some fun and good times
our efforts are all about making sure we
continue to have a new home construction

business in El Paso. Recent decisions from


the Obama administration have confused
the market and make it a little tougher for
mortgage and banks to make mortgages.
Your membership in the EPAB is helping get
the message to Congress, the state and
local governments that we have to have
housing in order to keep our businesses
open. More restrictions and government
isnt what we need right now. I know Im
preaching to the choir but our collective
voice carries weight.
I hope this year brings health, happiness,
and great business for 2014.

Trends
Whats trending in hardware?

David De Rego
Hardware Specialities &
Glass Co., Inc.

Mortise vs. Tubular Style Locks


Now a days with so many choices for
door hardware its hard to decide which to
choose from. When you consider
hardware, there are two different and
distinct types of locks: tubular style and
mortise style. One is more secure, and the
other is more popular. One is expensive
compared to the other but what kind of
value do you put on security? And while
one is easier to install, the other requires
special equipment.But which is which?
Mortise
A mortise style lock is the most secure
form of an entry set. The reason??? A
special cut in the door allows a longer and
thicker mortise to slide into the pocket in
the door itself, providing superior
protection. These types of locks require
special door preparation, so if your door
isn't currently cut to fit this kind of lock, you

(or a professional installer) will need to


use a mortise saw to cut into the door
so the lock fits properly. Take note that
not all mortise locks have the same
dimensions. So prior to any door
alteration, take careful measurements.
This kind of lock was commonly seen
in homes prior to 1940 (before the
introduction of bored cylindrical locks),
but is still available today in single
cylinder, double cylinder, and dummy
set.
Tubular
The tubular style lock is commonly found
on all types of doors, most notably interior
residential and office doors. It boasts
excellent security for most applications and
is usually quite easy to install and replace if
standard bore holes are already cut in the
door. Make sure your new latch has the
correct backset length (the measurement
from the edge of the door to the center of
the bore hole), and just follow the

installation instructions. The most popular


types of tubular style locks are single
cylinder and double cylinder.
So, when choosing the right lock for your
doors keep in mind the lock is just one
factor in securing your door. To help
provide more security you must have a
good solid quality door along with very
sturdy and reinforced jambs and together
with the lock of your choice you will have
peace of mind. For further assistance
please contact your local lock distributor or
hardware representative.

Builders

utlook

www.elpasobuilders.com
www.epbuilders.org
6046 Surety Dr. El Paso, TX 79905
915-778-5387 Fax: 915-772-3038
execuTive oFFicerS
FrankTorres President
GMF Custom Homes
edgar montiel vice President
Palo Verde Homes
carlos villalobos Secretary Treasurer
Palo Verde Homes
Sam Shallenberger Associates chair
Western Wholesale
edmundo Dena - immediate Past President
Accent Homes
ray Adauto executive vice President
El Paso Association of Builders
Jay Kerr -Attorney of record

couNciL/commiTTeecHAirS
Associates council
Sam Shallenberger
Build PAc
Randy Bowling
Desert Green Building council
Javier Ruiz
Land use council
Sal Masoud
Young Designer Award
John Chaney
remodelers council
Rudy Guel
membership retention
Mike Santamaria, Greg Bowling
Finance committee
Carlos Villalobos
Womens council
Lorraine Huit
ADviSorYToTHeBoArD
J. Crawford Kerr, Attorney, Firth, Johnston
& Martinez
BoArDoFDirecTorS
Beverly Clevenger, Automated Division 6 Builders, Inc.
Leti Navarette, Custom Dream Homes
Kathy Parry, Hunt Communities
Edgar Garcia, Bella Vista Custom Homes, Inc..
Bud Foster, Southwest Land Development Services
Juanita Garcia, ICON Custom Home Builder, LLC
Walter Lujan, DAWCO Home Builders
Joey Najera, Joseph Custom Homes
Rigo Mendez, Mission Homes
Nick Bombach, Casas de Leon, LLC
Lydia Mhouli, Crown Heritage Homes
JJ Vasquez, Pacifica Homes
Dan Ruth, Millenium Homes
Ken Wade, El Paso Building Materials
Ruben Orquiz, MTI Ready Mix
Kathy Carrillo, Pioneer Bank El Paso
Henry Tinajero, WestStar Bank
Chuck Gabriel, Carpets West
Ted Escobedo, Snappy Publishing
John Chaney, Passage Supply
Joe Bernal, Employee Benefits of El Paso
Linda Troncoso, TRE & Associates
Margaret Livingston, Lawyers Title of El Paso
Orlando Rodriguez, Mass Media Advertising, Inc.
Bret Thompson, Foxworth Galbraith Lumber
Chris Worm, City Bank Texas
Sal Masoud, Del Rio Engineering

TABSTATe DirecTorS
Randy Bowling
Greg Bowling

NATioNAL DirecTorS
Bobby Bowling IV.
Demetrio Jimenez
NATioNAL ASSociATioN oF
Home BuiLDerS
(800) 368-5242

TexAS ASSociATioN oF
BuiLDerS
(800)252-3625

2013 Builder member of The Year


Edmundo Dena
Accent Homes
2013 Pat cox Award
Sam Shallenberger
Western Wholesale Supply
2013 Associate of The Year
WestStar Bank
Larry Patton, Burt Blacksher
and Henry Tinajero

Honorary Life members


Wayne Grinnell
Don Henderson
Chester Lovelady
Cliff C. Anthes
Anna Gill
Brad Roe
Rudy Guel
E H Baeza
Past Presidents
committed to Serve
Greg Bowling
Kelly Sorenson
Mark Dyer
Mike Santamaria
John Cullers
Randy Bowling
Doug Schwartz
Robert Baeza

Bobby Bowling, IV
Rudy Guel
Anna Gil
Bradley Roe
Bob Bowling, III
E. H. Baeza
Hershel Stringfield
Pat Woods

ePAB mission Statement:


The El Paso Association of Builders is a
federated professional organization representing
the home building industry, committed to
enhancing the quality of life in our community by
providing affordable homes of excellence and
value.
The El Paso Association of Builders is a
501C(6) trade organization.
2014 Builders Outlook
is published and distributed for the
El Paso Association of Builders
by Ted Escobedo, Snappy Publishing
ted@snappypublishing.com
El Paso Texas 79912 915-820-2800

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