From: "Anne Z. Whitman"
Subject: Fwd: FW: The Angle - November 20, 2006
To: "Jordi Reyes Montblanc"
VOLUME 4 ISSUE 27 November 20, 2006
Federal Agency Report
HUD Affirms Design Fees Can Be Included in Mortgages
FEMA Director Expresses Support for Good Samaritan Legislation
State and Local Update
New Governors Support AIA Values
Mixed Results for Eminent Domain, Land-use Ballot Proposals
Political Action
Friend of AIA Colorado Elected to Congress
Federal Agency Report
HUD Affirms Design Fees Can Be Included in Mortgages
The U.S. Department of Housing and Urban Development has said that architects’ fees may be included in Federal Housing Administration (FHA)-insured mortgages.
The AIA, primarily through its Small Project Practitioners Knowledge Community, has been working to make architectural design services more broadly available to the middle class. In a letter to HUD, the AIA Government Advocacy team wrote, “A major barrier to providing such services on new single family homes is that the cost of design often matches or exceeds the equity requirement for the loan . . . The AIA believes that design fees, including services by architects and their supporting engineers and consultants, should be amortized in the mortgage.”
In response, Margaret E. Burns, director of the Office of Single Family Program Development, wrote to the AIA that “While [HUD’s] guidance does not explicitly allow for the inclusion of design fees for new construction (including services by architects and their supporting engineers and consultants), it is not adverse to such a fee being included in the cost of acquisition, similar to how the contractor’s price to build is now included.”
According to Andrew Goldberg, Assoc. AIA, manager of AIA federal regulatory affairs, “HUD’s position means that more Americans will now have access to architectural services than ever before. By stating that design fees should be treated similarly to construction costs, HUD is affirming the view that high-quality design is an integral and necessary part of homeownership.”
The AIA plans to work with HUD and the banking community to ensure that prospective homeowners and lenders understand that design fees can be included in mortgages.
FEMA Director Expresses Support for Good Samaritan LegislationR. David Paulison, director of the Federal Emergency Management Agency (FEMA), expressed his personal support for legislation that would provide architects with qualified immunity from liability for negligence when providing volunteer services in response to a natural or man-made disaster.
R. David Paulison (FEMA/Bill Kopwitz).
Architects who volunteer their services after disasters like hurricanes, earthquakes, and tornadoes face the risk of liability and higher insurance premiums in states that lack so-called “Good Samaritan” legislation. Several members of Congress have expressed a desire to introduce a national “Good Sam” bill when the new Congress convenes next January.
Speaking at a breakfast sponsored by the Infrastructure Security Partnership (TISP) in Washington, Paulison was asked by an AIA staff member whether the Bush administration would support Good Sam legislation. Paulison responded that, although he could not speak directly for the president on the issue, “I am personally supportive of Good Samaritan legislation.”
Paulison added that a top priority for FEMA in 2007 will be strengthening public-private partnerships that enable the government to put contracts and plans in place before a disaster happens, so they do not have to scramble for support afterward, a problem that plagued FEMA in the wake of last year’s Hurricane Katrina.
“The fact that the director of FEMA believes that Good Samaritan legislation is a worthy idea shows the necessity of passing it on a national level,” says Paul Mendelsohn, vice president, AIA Government and Community Relations. “Architects are ready and willing to assist after disasters but need Good Sam to protect them from liability.
Hopefully, Director Paulison’s support will help convince Congress to address this in 2007.”
The AIA is a member of TISP, which was formed in the wake of the 9/11 attacks to help address protection of the nation’s critical infrastructure from man-made and natural threats.
State and Local Update
New Governors Support AIA Valuesby Billie Kaumaya, manager, State and Local Affairs
With the election of 36 new governors on November 7, the states are shaping up to be a key arena where AIA members can pursue legislation that benefits practice and heightens public awareness of the profession. The gubernatorial election results seem to bode well for architects, as many of the newly elected officials of both parties share a vision of a more sustainable future and a commitment to other AIA priorities.Sustainability: If campaign promises hold true, the election represents an excellent opportunity for architects to advocate for the AIA’s goal of dramatically increasing the number of high-performance buildings constructed in the coming decades.
Eliot Spitzer (D), the governor-elect from New York, says he plans to create a statewide, comprehensive energy strategy that includes initiatives to conserve energy and expand the use of renewable fuels.
The incoming governor of Ohio, Ted Strickland (D), also has plans to overhaul the state’s energy policies. Strickland would like to make Ohio a leader in alternative energy production and, in an effort to make every state building as energy-efficient as possible, plans to conduct a statewide energy audit in his first 60 days.
Governor-elect Bill Ritter (D) of Colorado has proposed a seven-point plan to establish a new energy economy, which includes strict energy efficiency requirements for state buildings.
Alternative fuels also seem to be a hot-button issue, as Deval Patrick (D) of Massachusetts, Mike Beebe (D) of Arkansas, and Chet Culver (D) of Iowa have all expressed their support of renewable energy.
Development: The only gubernatorial candidate to beat an incumbent governor was Baltimore Mayor Martin O’Malley (D). O’Malley strongly supports community development, and as mayor, brought in over $7 billion in development to his city. He has vowed to carry these same principles into his work as governor. Arkansas will also see expanded development as Beebe has proposed a $40-$50 million quick action fund for economic development.
Eminent domain: With nine states passing ballot initiatives to restrict the use of eminent domain and three more rejecting such measures, nearly all of the newly elected governors have expressed strong positions on the issue. Charlie Crist (R) of Florida has a solid history supporting private property rights and would like to see stronger legal protections for private purposes. Governors-elect from Idaho and Nevada have also gone on record as opposing eminent domain, while other officials have taken a more middle-of-the-road stance on this controversial topic. Ohio’s Strickland, who has said that he opposes eminent domain, indicated he would support it if there is an evident public need, while New York’s Spitzer has made it clear that, although he supports the concept of eminent domain, he believes that each case should be addressed individually.
Mixed Results for Eminent Domain, Land-use Ballot ProposalsSupporters of eminent domain faced setbacks coast to coast in the November 2006 elections, with nine states passing measures to ban or restrict the use of eminent domain for private projects. All of these measures passed by a significant margin, with many receiving more than 80 percent approval. Only in California, where eminent domain advocates outspent their opponents 4-to-1, and in Idaho did voters reject such restrictions.
A Washington State measure that would have required compensation for some private property owners was unsuccessful, while voters in Arizona approved an eminent domain measure including compensation for regulatory takings. Plans to instate similar measures on the ballot in 2008 are already underway.
State
Ballot Initiative
Summary
Passed/Failed
Arizona
Proposition 207
Prohibits eminent domain for private projects. Requires compensation for regulatory takings.
Passed
California
Proposition 90
Prohibits eminent domain for private projects. Requires compensation for regulatory takings.
Failed
Florida
Amendment 8
Restricts the use of eminent domain for private projects.
Passed
Georgia
Amendment 1
Restricts the use of eminent domain for private projects.
Passed
Idaho
Proposition 2
Restricts the use of eminent domain for private projects. Requires compensation for regulatory takings.
Failed
Michigan
Proposal 4
Restricts the use of eminent domain for private projects.
Passed
Montana
Initiative 154
Restricts eminent domain for private purposes. Requires compensation for regulatory takings.
Initiative removed from the ballot by the Supreme Court
Nevada
Question 2
Restricts the use of eminent domain for private projects.
Passed
New Hampshire
Amendment 1
Restricts the use of eminent domain for private projects.
Passed
North Dakota
Amendment 2
Restricts the use of eminent domain for private projects.
Passed
Oregon
Measure 39
Restricts the use of eminent domain for private projects.
Passed
South Carolina
Amendment 5
Restricts the use of eminent domain for private projects.
Passed
Land-use, housing issuesLand-use issues continue to resonate nationwide, but support for open-space preservation in Arizona proved not as fervent, where two propositions, 105 and 106, failed by sizeable margins.Low-income and affordable housing bond initiatives fared better in California and Rhode Island. New Mexican voters endorsed a measure allowing state and local governments to finance all aspects of housing developments. Virginians also supported development by approving tax breaks for new structures in conservation, redevelopment, and rehabilitation areas.This was a tough election for ballot measures and initiatives, notes Billie Kaumaya, manager, AIA State and Local Issues and Programs. From 1994 to 2004, about half of ballot measures have passed, while voters approved only approximately a third November 7.
“Voters appeared to less likely to follow recent political trends with regard to ballot measures and initiatives,” Kaumaya said. “I suspect we will be dealing with many of these same issues during the next election cycle.”
Political Action
Friend of AIA Colorado Elected to Congress
When the new Congress convenes in January, Ed Perlmutter (D) will become the new representative for Colorado’s 7th congressional district. Perlmutter’s election is a major victory for the AIA, as Perlmutter has been a long-time advocate for issues important to architects.
During his tenure in the Colorado Senate, Perlmutter received the AIA Colorado award for “Colorado Legislator of the Year.” He also served as chair of the Renewable Energy Caucus and championed legislation promoting smart growth and design.
From the beginning of Perlmutter’s campaign, AIA Colorado strongly supported him, hosting a fundraiser for him in February 2006. ArchiPAC, the AIA’s federal political action committee, provided support for his campaign throughout the primary and general election, and after his victory, staff from AIA national attended a welcome reception for Perlmutter in Washington, D.C. There, he expressed his gratitude for AIA’s support, noting that the AIA was “with him since the beginning.” He said he looks forward to continuing his strong relationship with AIA Colorado and now developing an equally productive one with AIA national.
The AngleThe Angle is published by the AIA Government Advocacy Team, 1735 New York Ave., NW, Washington DC, 20006. To contact The Angle, send an email to angle@aia.org.
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