The Fredericksburg Area Builder’s Association (FABA) held their annual Bourbon & Oysters meeting at Spotsylvania’s A. Smith Bowman Distillery on September 12 to network and discuss upcoming industry needs.
Karl Eckhardt, Vice President of State and Local Government Affairs at the National Association of Home Builders, discussed his efforts to engage with local and state governments, emphasizing the importance of advocacy in addressing housing development challenges. He discussed the hurdles posed by new Housing and Urban Development (HUD) energy regulations and the national shortage of skilled labor needed for home construction. Eckhardt also highlighted upcoming tax reforms that could impact small businesses and shared his outlook on potential shifts in Congress after the next election. He stressed the importance of financial support for FABA’s Political Action Committee (PAC) to help support legislative decisions in favor of the housing industry.
When asked about residents’ concerns about new construction, Eckhardt said, “The majority of the new people coming [are] moving into existing homes…not new construction.” He estimated 80% of growth is in existing homes and noted that new homes are much more environmentally friendly than older homes that haven’t incorporated new energy standards or materials. Eckhardt also mentioned that the millennial and Gen Z populations don’t see homeownership as possible in the current economy. Eckhardt said if those individuals vote for candidates who favor development and housing programs, they may have a chance, but “it’s got to be a priority for them at the ballot box.”
Recently, HUD made a new rule that could affect how homes are built. Starting next year, any housing projects that get money from specific federal programs, like USDA or HUD loans, must follow stricter energy-saving rules from 2021. This means buildings need to be more energy-efficient.
But many states, like Virginia, haven’t fully adopted these rules. Developers are worried that this could make building homes harder and more expensive in certain areas, so some groups are trying to get HUD to change the rule or fight it in court. Builder Magazine suggests these rules may result in a $31,000 increase in home costs, which would be prohibitive to first-time home buyers.
Sean Miller, FABA’s Director of Government Affairs, outlined his role as the point person for tracking legislative changes that impact the building industry. His primary focus is addressing local issues that increase costs for builders and developers, ultimately impacting homebuyers. Miller noted regulations like impact fees and zoning regulations in Stafford County and parking space requirements in Caroline County.
Miller emphasized the importance of supporting FABA’s political efforts to help elect pro-builder candidates to county Boards of Supervisors. By increasing donations from members of the building community, he said they can have a greater influence on local elections and, in turn, promote policies that benefit the industry. Miller suggested a goal of one or two pro-builder candidates for each county board.
When asked about concerns regarding overcrowding of schools and increased traffic from continued development, Miller said the movement of people supports the need for more housing development and building more schools. Miller supported the idea of proffers, provided they aren’t exorbitant. He added, “You have to accommodate the people who are coming because they’re coming anyway, right?”
Jeh Hicks, FABA’s First Vice President, emphasized the importance of FABA as a united advocacy group, not just a networking organization. He called on members to take a more active role in promoting and defending the building industry, which provides a basic necessity: housing. Hicks highlighted the negative perception of the industry and urged members to better communicate the value they bring to the community. Hicks noted the building industry generates jobs for plumbers, electricians, and carpenters and many other trades.
Hicks stressed the need for collective action, including financial support through FABA’s PAC to help elect local politicians who support builders. Hicks concluded by encouraging members to work together, be proud of their profession, and advocate for the industry to keep it thriving.
FABA is a trade association with hundreds of members, including builders and associates, whose work supports thousands of individuals in building-related industries. FABA is affiliated with the National Association of Home Builders (NAHB) and the Home Builders Association of Virginia (HBAV). Its mission is to educate, promote, and represent the building industry while contributing to the quality of life in the region. FABA serves the City of Fredericksburg and surrounding counties, including Spotsylvania, Stafford, King George, Caroline, Culpeper, and Orange. The group was established in 1968 and incorporated in 1980.
