2023 GAHBA INSTALLATION AND AWARDS PROGRAM - Pg. 42 - Building News
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ATLANTA Gre at e r at l a nta ho me b u il de rs asso ciat io n 1 s pring 2 02 3 Bu i l d in g N e ws 2023 GAHBA INSTALLATION AND AWARDS PROGRAM Pg. 42 CONFORMING LOAN LIMIT INCREASES IN 2023 pg. 34
CONTENTS Features 30 THink safety and work safely Free NAHB Remodeler Safety & Health Program available. 34 conforming loan limit increases in 2023 FHFA announced the baseline conforming loan limit value for 2023. 36 Member-to-member recruitment Active association members are the bloodline for many industries, particularly for the homebuilding industry. 40 Genuine 22 community involvement Genuine community involvement benefits do you want a warranty with that house? everyone — communities, employees and businesses. 42 2023 GAHBA installation and awards program On January 19, GAHBA held its annual Installation and Awards Program. Departments 5 President’s Letter 6 GAHBA Staff 6 Board of Directors 7 Spike List 7 Events Calendar 9 Legal Corner 11 Chapter Update 14 Council Round Up 18 EarthCraft 22 15 28 Education 26 Government Affairs 28 Member Spotlight: Billups Homes 46 Published february 2023 • Volume 24 • Issue 1 • 2023 HomeAid Atlanta Dues payments to the Greater Atlanta Home 1 Dun w oody Pa r k S., S t e. 200 Builders Association (GAHBA) are not deductible At l a n ta , G A 303 38 as a charitable contribution for federal income tax ( 7 70) 938 - 9900 purposes. However, dues may be deductible as an ordinary and necessary business expense, subject ( 7 70) 93 4 - 8 363 FA X to exclusions for lobbying activity. Contributions to w w w. at l a n ta homebuil ders.com a political action committee are not tax deductible. Because a portion of your dues for 2020 is used for lobbying by the National Association of Home Fol l ow GA HBA on socia l media Builders ($34.58) and the Home Builders Association of Georgia ($79), these amounts are not deductible for income tax purposes. You are advised to consult a professional tax adviser regarding the deduction of your dues payments to the GAHBA.
Legal Corner Why Builders Should Use Subcontracts by Tyler C. Dunn Builders should recognize the advantages of subcontractor to address those problems perform change order work. Subcontracts using written contracts to sell or construct and to indemnify the builder from may contain a provision prohibiting houses. However, they often feel for various damages resulting from them. While an subcontractors from performing such reasons that written subcontracts will serve indemnity is worth no more than the work without express written or verbal no useful purpose. Advantages of written particular subcontractor, it can assist a permission from the builder and may subcontracts include the following: builder in minimizing costs associated with clarify that no amounts will be paid to subcontractor errors and can be used to subcontractors for work performed in Clarification of Work: A subcontract allows persuade a subcontractor to address issues violation of that provision. builders to precisely document the work to for which it is responsible. be performed by subcontractors. This can Establishment of Other Rules: There are avoid disputes about the nature of that work. Agreement for Arbitration: Absent a many other rules that can be included in written agreement with a builder, a subcontracts. These include amendment, Establishment of Standards: Subcontracts subcontractor is not required to arbitrate permit, license, cleanup, coordination, may expressly mandate compliance with disputes between it and the builder. on-site supervision, vehicle parking, specified construction standards, such Use of a subcontract allows a builder drug, alcohol, smoking, music and similar as warranty standards, plans, drawings, to mandate arbitration. The arbitration requirements or restrictions. specifications, codes, association covenants provision can allow the builder, under and manufacturer requirements. certain circumstances, to add the One of the reasons builders decline to subcontractor to an arbitration proceeding use subcontracts more often is the hassle Requirement of Lien Waivers: Builders with a homeowner. This can facilitate of completing a subcontract for each should not pay subcontractors without efficient resolution of issues relating to house or project. That concern cannot be obtaining lien waivers from them. A subcontractor work. completely avoided. However, it can be subcontract may expressly condition significantly diminished by using a global payments on the receipt from the Establishment of Timetables: subcontract that covers all jobs performed subcontractor and any sub-subcontractors Subcontractors may cause delays, which by a subcontractor. The global subcontract or sub suppliers of interim and final can lead to claims being asserted against covers the standard terms applicable to all lien waivers. Subcontractors may also builders. Subcontracts can set dates or jobs. It can be signed in connection with be required to take responsibility for periods for completion of subcontractor the first or subsequent jobs performed eliminating liens that are filed by their work and can provide that subcontractors by the subcontractor. With the global sub-subcontractors or sub suppliers. are responsible for delay damages subcontract in place, the builder and assessed against builders because of subcontractor need only sign a short work Agreement re Other Payment Conditions: If subcontractor work. order form for each job that covers terms a builder wishes to specify other conditions specific to that job. For the above reasons, to interim or final payments, such as Limitations on Authority: Homeowners I strongly recommend that residential government approval of work or final walk- often directly ask subcontractors to builders use subcontracts. through approval by the homeowner, those conditions may be set forth in a subcontract. Specification of Insurance: A subcontract may require a subcontractor to obtain general liability and workers’ compensation insurance and may specify the amounts and terms required. In the event of construction defects or other problems, this insurance can be extremely helpful for the resolution or defense of claims. Creation of Indemnity: Subcontractors may be the cause of defective work and other problems on a job site. A subcontract may include an express obligation on the Greater Atlanta Home Builders Association 9
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