Legislative Issues

NAHB Files Brief in Lawsuit Against EPA for Eliminating Lead Rule’s Opt-Out Provision

As of April 2011, NAHB has filed an opening brief explaining why it is suing the Environmental Protection Agency for eliminating a provision in its lead rule that allowed home owners to opt out of some of the rule’s renovation requirements. When it was first issued by the EPA in 2008, the Lead: Renovation, Repair & Painting Program (RRP) rule included an opt-out provision that allowed owner-occupant home owners without children under age six or pregnant women living in the home to authorize their contractor to forego adherence to some aspects of the rule. The EPA will have an opportunity to respond to the coalition’s brief in June, and the coalition can reply in July.

Senate Approves 1099 Repeal, Sends Bill to President's Desk

NAHB-supported legislation repealing new 1099 reporting requirements for small businesses has been approved by Congress. NAHB has led the effort along with other industry groups to strike all new expanded IRS Form 1099 reporting requirements for small businesses and owners of rental real estate. In testimony before Congress and in “key vote” letters to House and Senate leaders, they have spelled out how failing to overturn these requirements would kill jobs and place a major paperwork and cost burden on home builders. The rule that was included under health care reform legislation passed last year would require businesses to file an IRS form 1099 for each vendor from whom they purchase more than $600 in goods over the course of the year. Thankfully, the Senate this week approved the Small Business Paperwork Mandate Elimination Act of 2011 – also known as H.R. 4, which was previously passed by the House of Representatives. This legislation, in addition to repealing expanded 1099 requirements in the health care law, also repeals an unfair provision in the Small Business Jobs Act of 2010 stipulating that as of the first of January, 2011, independent landlords must submit 1099s to firms from which they purchase more than $600 in services. The President is expected to sign this bill into law soon.

Proposed 20% Minimum Down Rule Would Severely Disrupt the Housing Market

A plan unveiled by the Federal Deposit Insurance Corporation (FDIC) and the Federal Reserve on March 29 to require a minimum 20% downpayment for "qualified residential mortgages" would disrupt the fragile housing market and jeopardize the struggling economic recovery, according to NAHB. "By mandating a 20% downpayment on qualified residential mortgages, the Administration and federal regulators are excluding those without huge cash reserves — which constitutes most first-time home buyers and many middle-class households — from a chance to buy a home," said NAHB Chairman Bob Nielsen. Nielsen has urged the Administration and federal regulators to reassess their position and offer a new plan that ensures a safe and healthy mortgage market, lowers the risk of default and keeps homeownership affordable for working American families.

For more information, visit with a member of our Legislative Committee or visit www.nahb.com for up to date information.