Your HBA as working for you in Washingting (here is how)

(September 20, 2017) Ever wonder what your Home Builders Association is doing for you in Washington DC and around the country?  Below is a report of the issues on which we are engaged:

1. Canadian Softwood Lumber

• The U.S. Department of Commerce imposed a 20% countervailing duty on Canadian lumber imports in April, and added 7% antidumping duties in June. 
• In late August, Commerce announced a delay in the final duties to Nov. 18. This will allow more time to negotiate a settlement. Collection of countervailing duties is suspended for now, but antidumping duties will continue to be collected. 
• NAHB is meeting with representatives with the Trump Administration and Congress as well as Canadian officials to address home builder concerns regarding price and availability of lumber. 
• These meetings are especially important because U.S. consumers cannot participate in trade disputes, although NAHB provided witness testimony during the International Trade Commission hearing on Sept. 12. 
• Generally, lumber prices have increased, but that may be partly due to wildfires in the Western U.S. and Canada. 
• NAHB is urging U.S. lumber producers to increase production for domestic consumption, and working to identify alternate foreign sources of dimensional lumber. 

2. Disaster Response

• In the aftermath of two devastating hurricanes, NAHB is working closely with state and local home builder associations in those areas to help them meet the needs of members affected by the storms. 
• We sent out an all-member email with information on how to donate to the recovery effort. 
• NAHB issued statements on hurricane-related advocacy. Our leadership conducted media interviews on flood-related topics, including the need for the National Flood Insurance Program (NFIP) reauthorization, building codes, rebuilding efforts and labor shortages. 
• We updated our online Disaster Recovery toolkit with new media talking points and safety information for contractors. 
• We added resources on hiring contractors and places to donate on our consumer Web page. 
• We are creating resources on business continuity; hiring reputable contractors; and best practices for flood damage repair work. 
• We will continue to reach out to the affected communities to see how to help in the rebuilding efforts. 
• With respect to resiliency, our Resiliency Working Group issued its final report and recommendations in July. Many of the recommendations are related to disaster preparedness, resiliency, recovery and communications. 
• The hurricanes have illustrated the importance of disaster response and planning for rebuilding, and the Resiliency Working Group will now help ensure NAHB can be a resource and problem solver after a natural disaster. 

3. Electronic Recordkeeping

• The Occupational Safety and Health Administration’s 2015 electronic reporting rule requires certain employers to electronically submit injury and illness data that they are mandated to keep under existing recordkeeping regulations. 
• The rule also contains anti-discrimination prohibitions to protect workers who notify an employer of a workrelated injury or illness. 
• NAHB has concerns about several elements of the rule, including the requirements for employers to submit records electronically to OSHA that would become publicly available.  In January, NAHB and other stakeholders filed a legal challenge. 
• On May 5, NAHB and other organizations submitted a petition to the Department of Labor (DOL) seeking a stay of implementation and enforcement of the rule, and requested OSHA re-open the rulemaking. 
• In June, OSHA announced it was extending the filing deadline for employers to submit electronic records to December, which would give OSHA more time to review the rule. 

4. Federal Flood Risk Management Standard

• In response to the charge led by NAHB and as part of President Trump’s Executive Order to expedite federal approval for infrastructure projects, the Administration revoked Executive Order 13690 and the Federal Flood Risk Management Standard (FFRMS). 
• Our advocacy efforts included participating in federal listening sessions and meetings; submitting comment letters to federal agencies; and requesting that President Trump revoke it. 
• This standard would have dramatically expanded regulated floodplain areas. 
• However, in response to the hurricanes, the Trump Administration may establish its own flood standard. 
• If the Administration chooses to do so, NAHB will work with the White House to develop an effective standard that does not place undue regulatory burdens on residential construction projects. 

5. Immigration

• The H-2B Temporary Non-Agricultural Worker program allows employers who cannot find local labor for short-term or seasonal jobs to fill those positions with temporary foreign workers. 
• There is an annual cap of 66,000 on H-2B visas issued in a fiscal year, but that cap excluded workers who had participated in the program within three years. 
• That “returning worker exemption” expired in September 2016 and has not been renewed by Congress. 
• In May, Congress approved a spending package for the remainder of FY 2017 that included language allowing the Department of Homeland Security (DHS) to raise the statutory cap for 2017 to allow additional visas. 
• In July, DHS announced it would make 15,000 more visas available, but only to employers who could demonstrate that their business would suffer “irreparable harm” without H-2B workers. 
• The next round of H-2B visas will become available on Oct. 1. NAHB hosted a free webinar to help employers learn if they qualify to apply for H-2B workers and how they can become certified employers under the program. 
• With Congress and the Administration focused on immigration enforcement, the prospect of creating a new guest worker program to benefit builders and specialty trades is highly unlikely. 
• NAHB continues to advocate for restoration of the returning worker exemption while looking for opportunities to expand and reform the H-2B program.

6. Low-Income Housing Tax Credit (LIHTC)

• On Aug. 1, NAHB Chairman Granger MacDonald testified before the Senate Finance Committee on “America’s Affordable Housing Crisis.” The hearing focused on the LIHTC. 
• Chairman MacDonald also discussed how lots and labor shortages, building material price increases and regulations affect housing affordability.

7. National Flood Insurance Program (NFIP)

• The NFIP was extended until Dec. 8 as part of a broader legislative package. 
• During NAHB’s Leg Con in June, builders spoke to their congressional delegations about provisions in the House Financial Services Committee’s flood insurance bill that negatively targeted new construction and grandfathered properties. 
• NAHB was able to convince the committee’s leadership to remove those provisions. 
• After Hurricanes Harvey and Irma, discussions about changing the program were put on hold as policymakers ensured home owners and communities had short-term certainty and financial aid. 
• NAHB will work with Congress on long-term legislation that ensures an affordable, available, predictable and financially stable NFIP.

8. Regulatory Reform

• President Trump has made regulatory reform one of his top priorities, and has asked each agency to evaluate existing regulations and identify ones that should be repealed, replaced or modified. 
• We have submitted recommendations to the Environmental Protection Agency (EPA), Department of Housing and Urban Development (HUD), Federal Emergency Management Agency (FEMA), National Marine Fisheries Service (NMFS), Fish and Wildlife Services (FWS), Department of Justice (DOJ) and Department of Energy (DOE), and will soon submit feedback to the Army Corps of Engineers. 
• NAHB will provide suggestions to DOL, OSHA and others once their notices are published. 
• We will review the 2017 Fall Regulatory Plan and Agenda upon its release and determine if our suggestions were incorporated. 
• The Small Business Administration (SBA) Office of Advocacy is also collecting input on regulatory reform through a series of nationwide Regulatory Roundtables; NAHB has had good representation at all roundtables to date. 
• As part of the Cleveland roundtable, NAHB member George Davis met with SBA officials at one of his construction developments. 
• NAHB will continue its outreach to HBAs and members as additional roundtables are announced. 
• On August 28, NAHB testified before the SBA’s Regulatory Fairness Board about the enforcement activities of federal agencies, particularly EPA and OSHA.

9. Overtime Rule

• Under a new rule that was set to go into effect Dec. 1, 2016, the Obama Administration doubled the annual salary level used to determine whether an employee qualifies for the professional, administrative and executive exemption to overtime eligibility from $23,660 to $47,476. 
• Under the new rule, the salary threshold would also be automatically adjusted every three years. 
• NAHB and many other industry groups challenged the rule in federal court. 
• We contended that DOL went beyond its authority under the Fair Labor Standards Act to allow the salary limit to automatically be re-set every year. The Administrative Procedures Act requires these updates be made through regular notice and comment periods. 
• In a victory for NAHB, a federal judge in Texas issued a preliminary injunction that temporarily barred the implementation of the rule. 
• On Aug. 31, the Texas federal court held the rule was invalid and the three-year automatic increase DOL included was similarly unlawful. 
• DOL’s appeal of the preliminary injunction is now moot and likely to be dismissed.

10. Smart Market Report

• Preliminary findings from them Green Residential Smart Market Report show that green building activity should increase over the next few years. Approximately 60 percent of surveyed builders expect it to be a significant share of their overall activity by 2022. This is nearly double from 2014, when only 32 percent of firms reported that level of green building. 
• Single- and multifamily home builders agree that energy efficiency and healthier indoor environments are key factors in building a green home, and have prioritized these elements in the construction process. 
• The Smart Market report found that ENERGY STAR is more popular in the single-family market while LEED and the National Green Building Standard (NGBS) are more popular with multifamily builders. 
• The Green Residential Smart Market Report is a biannual report released by NAHB and Dodge Data and Analytics (formerly McGraw Hill). The report reviews the history and future of green home construction in the single-family, multifamily and remodeling sectors.

11. Stormwater

• NAHB launched an online toolkit in August to help HBAs advocate for programs that provide a clear path to compliance, reduce redundancy and meet water quality goals. 
• The toolkit provides simple checklists that compare pros and cons of different regulatory approaches based on climate, geography, and local land use patterns. This data will help our members in conversations with state regulators. 
• As part of the toolkit launch, NAHB released A Developer’s Guide to Post-Construction Stormwater Regulation. This report provides a state-by-state breakdown on the top permitting issues affecting builders.

12. Tax Reform

• A team of congressional leaders and Administration officials known as the “Gang of Six” is developing a structure for tax reform, while President Trump is trying to garner nationwide support on the issue. 
• House Speaker Paul Ryan intends to move tax reform this fall. 
• Before Congress can address tax reform, it must pass a budget resolution to set up the procedural process known as reconciliation. This will allow tax reform to pass the Senate with only 50 votes. 
• However, there is growing resistance in the House to passing a budget resolution before members see the Gang of 6’s tax framework. To use the reconciliation process, the House and Senate must pass identical budget resolutions, which will be challenging.

13. Waters of the U.S. (WOTUS)

• On Oct. 11, the U.S. Supreme Court will hear oral arguments on whether the 2015 WOTUS rule should be litigated in federal trial court or the appellate court. 
• NAHB has argued that challenges to the WOTUS rule must be first heard at the trial court. 
• We need this clarity so we do not have to file two lawsuits when we challenge an EPA Clean Water Act regulation. 
• Meanwhile, the EPA plans to use a two-step process to develop a new WOTUS definition. 
• In the first step, the EPA has proposed to withdraw the 2015 WOTUS Rule and revert to the status quo. We expect the agency to finalize the withdrawal by early 2018. 
• The EPA also plans to develop a new WOTUS rule, and will soon take comments on the proposal. 
• NAHB is taking advantage of its unprecedented access to EPA Administrator Scott Pruitt, and is working with the agency on a new rule that is clear and limits jurisdiction of the Clean Water Act consistent with congressional intent. 
• In August, NAHB and the Dallas Builders Association hosted a meeting with Administrator Pruitt in Dallas to voice concerns and offer insight about the new rule. 
• NAHB and the Colorado Association of Home Builders are planning a similar meeting with Administrator Pruitt in Colorado Springs in October. 
• In late October, NAHB will provide recommendations on a revised WOTUS definition at a business-focused in-person listening session at EPA headquarters. 

For more information about these or other Federal government affairs issues, contact Michael Dey (mdey@hbaofgreenville.com).

Debunking the Myth that Immigration Harms America

The National Association of Home Builders and a group of 18 other trade associations representing business leaders and millions of employers across the nation today submitted written testimony refuting the myth that immigration hurts American workers and the economy during a Senate Judiciary Committee hearing examining this topic.

Separating truth from fiction, the business coalition debunked the following falsehoods:

Myth: Lowering the number of immigrants would free up jobs for American workers.
Fact: Immigration helps create jobs for American workers

Myth: Foreign workers take one in five jobs in America.
Fact: Americans fill more than 91% of all jobs in America.

Myth: Lesser-skilled immigrants take jobs away from Americans without college degrees.
Fact: The data show that immigration does not negatively impact American workers without college degrees. In fact, lesser-skilled immigrants create jobs for Americans and grow crucial sectors of our economy.

Employment projects for 2012-2022 by the U.S. Bureau of Labor Statistics show that the construction sector is expected to grow by more than 20%, nearly double the overall national average.

“Indeed, some sectors have seen rising labor shortages, presenting significant industry challenges,” the group’s written testimony stated. “For example, the number of open construction sector jobs as of December 2014 (147,000) stands post-recession highs, and the job open rate exceeds that prior to the housing boom. Lesser-skilled immigrants help to fill labor shortages in these industries, creating jobs for Americans and helping those industries grow.”

As the debate on Capitol Hill continues, your Home Builders Association is urging lawmakers to support comprehensive immigration reform that will:

• Safeguard our borders;
• Establish a fair employment verification system; and
• Create a market-based visa system that will allow more immigrants to legally enter the construction workforce as the housing industry gains momentum and the demand for workers increases.

View the complete written testimony here.

New rules for E-Verify are effective September 9

The new Form I-9 document (expiration date March 31, 2016) used to verify the identity and work authorization of all new hires includes an optional entry line for employees to provide their email addresses. The voluntary electronic verification program, E-Verify, which can be used in addition to, but not replace the Form I-9 process, has a new data field that asks for the employee’s email address. When the employee provides an email address on Form I-9, employers who use E-Verify are required to enter it into E-Verify. In the event of an information mismatch, E-Verify will now send e-mail notifications to those employees. This new email notification does not replace the current process. Employers are still required to notify employees of the mismatch and their right to contest.

Effective Sept. 9, E-Verify has combined the Tentative Nonconfirmation (TNC) Notice and Referral Letter into the new Further Action Notice, which appears when an employee receives a TNC. The employer must select the language of the notice (English or Spanish), print and give the notice to the employee. The Further Action Notice explains the reason for the TNC and the employee’s right to contest it.

If the employee decides to contest the TNC, the employer must print and issue the new Referral Date Confirmation Notice that informs the employee of the date by which they must initiate contact Department of Homeland Security (DHS) or the Social Security Administration (SSA) to begin resolving the TNC. For employees who have provided email addresses, E-Verify will also provide an e-mail notice informing the employee of the date by which contact must be initiated with DHS or SSA to resolve the TNC.

When first accessing E-Verify after Sept. 9, 2013, E-Verify users must complete a short tutorial and knowledge check about these changes.

NAHB: LEGAL immigration is part of the solution

You may have received communication from NAHB in recent days in which NAHB asks for your help in supporting comprehensive immigration reform.

NAHB's objective is to address the immigration problem that has resulted in millions of illegal immigrants in our country while denying home builders, as well as many other businesses, sufficient access to immigrant workers with status to work legally in our country.

Many unscrupulous contractors flaunt the law and hire illegal immigrants to work on their projects, giving them an unfair competitive advantage until they are ultimately caught.  This has resulted in millions of illegal immigrants in our country, and Congress' reaction has been to limit legal immigration.  Ultimately, the problem is not solved and people continue to pour into our country illegally.

NAHB's objective is to level the playing field and make the necessary number of immigrant laborers legally available to home builders.  By doing so, the unscrupulous contractors will lose their advantage.  In addition, comprehensive reform will take away the incentive they have to violate the law by allowing them to meet their labor needs legally.

NAHB's communication has made the following points to our members of Congress:

• Labor shortages are harming home builders, hurting consumers and slowing the housing recovery.
• Home builders are experiencing delays in completing homes, and in some cases have had to cancel projects due to a shortage of workers.
• These delays and production bottlenecks are increasing the cost of building a home, which in turn is raising costs for home buyers.
• To fix our labor shortages, Congress must create a program that would allow more immigrants to legally enter the construction workforce when home builders can’t find American workers to fill the jobs that are needed.

To read NAHB's complete talking points, click here.

The objective is simple: recognize that home builders need to hire immigrant laborers from time-to-time, just like many other industries.  Sometimes immigrant labor has a specialized skill not readily available from domestic labor.  Sometimes home builders just need more people.  Either way, immigration policy should recognize this need and accommodate it.

If you agree, contact your member of Congress and tell him or her to support comprehensive immigration reform.

New I-9 Form Must be Used After May 7

Federal law places an affirmative duty on employers to verify the identity and work authorization of all newly hired persons through completion of the Employment Eligibility Verification Form I-9 within three business days after the individual is hired. The U.S. Citizenship and Immigration Services (USCIS) agency has issued a new Form I-9 for Employment Eligibility Verification. This new form is available for immediate use, but employers may continue to use the previous version (original expiration date 8/31/12) until May 7, 2013.

After May 7, 2013, all employers must use only the newly revised Form I-9 (expiration date 3/31/2016) for each new employee hired, or be subject to a civil penalty if audited. Be advised that the new form requires additional data, and expands the form from one page to two. Employers are encouraged to familiarize themselves with the new format and instructions. The USCIS is conducting several free I-9 webinars throughout the month to provide answers to any questions NAHB members may have about the new form. Download the new form and instructions at: www.uscis.gov/files/form/i-9.pdf.

NAHB: Statement from NAHB Chairman Rick Judson on Senate Immigration Bill

Rick Judson, chairman of the National Association of Home Builders (NAHB) and a home builder from Charlotte, N.C., issued the following statement regarding comprehensive immigration reform unveiled today by a group of eight bipartisan senators:

“NAHB congratulates Sens. Michael Bennet (D-Colo.), Richard Durbin (D-Ill.), Jeff Flake (R-Ariz.), Lindsey Graham (R-S.C.), John McCain (R-Ariz.), Robert Menendez (D-N.J.), Marco Rubio (R-Fla.) and Charles Schumer (D-N.Y.) for their efforts to advance comprehensive immigration reform.

“We are pleased that the bill would create a fair, efficient and workable employee verification system that preserves the direct employer-employee relationship and the current knowing liability standard so that employers may easily understand their role and obligations. We also appreciate that the measure contains strong protections for employers against prosecution and penalties when acting in good faith and also includes provisions to make the system workable for our nation’s small businesses.

“This bipartisan Senate bill represents a responsible solution to bringing the current undocumented population out of the shadows, and NAHB also welcomes the work that has been done to create a new visa program for the low-skill sector. However, we need to improve the size and scope of this program, and NAHB looks forward to working with the U.S. Senate to improve the bill as the legislative process advances.”

Study Shows Immigrant Workers' Impact on Construction, by State

NAHB members are increasingly noting concerns about the cost and availability of construction labor as demand for housing rises. Realizing that immigrant workers are a significant source of recruits to the construction industry and in light of lawmakers' ongoing debate over national immigration policy (more on that subject later in this report), our economists have analyzed recent Census Bureau data to determine the actual impact of this worker subset on different parts of the country.

Their latest special study, "Immigrant Workers in the Construction Labor Force," shows that the population of immigrant construction workers is not evenly distributed across the U.S., with more than a third of that group residing in the five states of California, Texas, New York, New Jersey and Florida. But the study also points out that reliance on foreign-born labor appears to be spreading outside of these traditional immigrant magnets, and is evident in states such as Georgia, North Carolina, Connecticut, Virginia, Illinois and Colorado, where immigrants now account for more than 20% of the construction labor force. States that rely heavily on foreign born labor but lost a significant share of those workers during the housing downturn -- such as Arizona, California, Colorado, Florida, Nevada, and Georgia -- are most likely to experience difficulties in filling out construction job vacancies once home building takes off, economists note.

In addition to providing a state-by-state breakout of the share of immigrants in the construction labor force, NAHB's study also identifies where most immigrant workers in construction primarily come from (Mexico) and which jobs are most heavily reliant on immigrant workers (carpenters, laborers, painters, roofers, brick masons, drywall/ceiling tile installers and others), along with other useful data. Read the full study here

HBASC: Legislative Report (and several wins at the wire)

By Julian Barton, Government Affairs Director
Home Builders Association of South Carolina

On Thursday, the General Assembly completed its two week mini-session (Sine Die II). For the second year in a row, the General Assembly has taken an extra month to complete its work, and for a second year in a row the state budget has not been completed until the last week of June. This year the General Assembly did not complete the state budget until June 28, so there was not enough time for Governor Haley to review the budget and issue her vetoes. As a result, the General Assembly will have to come back (Sine Die III) at some point after July 1 to consider the Governor’s vetoes. What has historically been a five-month legislative session is now turning into a six month plus session!

While the state budget (2012-13) of $6.7 billion was late in passing due to a Senate versus House fight over how to structure tax cuts, it did contain some important provisions for the home building industry:

1. Tax Cut for Small Business – Income tax rates for small businesses (LLC, S corporations, & sole proprietorships) would be reduced from 5% to 3% resulting in a $20 million annual savings and $60 million over three years. 
2. Dredge Charleston Harbor - Allocated $300 million to cover federal funds that may not be appropriated by Congress and the state’s funding portion to deepen the Charleston port by 5 feet to accommodate larger ships. This sends a strong signal that South Carolina is serious about expanding it harbor’s capabilities! 
3. Funding for Public Schools – The new budget added $153 million to public school funding, which raised the per-student allocation by $132 to $2,012. Good schools are important to the home building industry. 
4. Economic Development – Add $25 million to the Department of Commerce budget to attract new businesses to South Carolina and in turn grow our economy. A growing economy is good for the home building industry! 

Key Issues for Builders
Unemployment Insurance – Premium Relief Set: In 2010 and 2011 the General Assembly passed legislation to reform the state’s unemployment insurance law. The General Assembly did a number of things, like cutting the weeks on unemployment, to make the fund less expensive moving forward. In addition, the repayment of almost $1 billion in federal loans for the bankrupt Unemployed Insurance Fund began. Late in the session, the General Assembly decided to use state money to ease the sticker shock of higher UI premiums.

This year General Assembly also considered a request for the state to again subsidize the UI Fund with state appropriations. UI premiums will be lower in 2012, but the federal repayment will push them slightly higher. Both the SC House and the SC Senate inserted $77 million in their budgets to again subsidize unemployment insurance premiums.

Update: This week the General Assembly included $77 million for premium relief in the 2012-13 state’s budget. This will help hold unemployment insurance premiums near the level we paid last year.

State Immigration Law – Impacted by US Supreme Court Decision: Last week the U.S Supreme Court handed down its decision on the Arizona state immigration law. Much of the law, but not all, was struck down. Much of the South Carolina immigration law was based on the Arizona law. The South Carolina law is now before the U.S. Circuit Court. Many will remember that LLR last year had to suspend some provisions of the law because South Carolina’s current law (passed in 2009 & updated in 2011) had provisions in it that the U.S. Supreme Court had ruled unconstitutional. We would anticipate more suspensions of the SC law when the U.S. Circuit Court hands down its decision. However, it is best to continue to abide by state law until we get direction from the federal courts.

The state law now requires mandatory e-verify screening of new employees, but an employer who was inspected and didn’t have his employees e-verified would have 72 hours to bring them into compliance. LLR has assisted the employer in the e-verify process. Employers were required to implement the new rules on January 1, 2012. However, the 6 month phase in period ends this month. Going forward LLR will no longer be required by law to help business owners verify their new employees by e-verify. Copper Bill – Governor Signs: Thieves and drug addicts in search of quick cash have been causing millions of dollars worth of damage ripping out copper from plumbing and air-conditioning units at homes and businesses. Last year a bill (H. 3660) was passed to stop the scourge of copper and metal theft in the state. The bill set up a permit system for people who want to sell copper to recyclers. Permits were issued by the local sheriff's office. The good news is that the new law has significantly reduced copper theft, the bad news is that it has caused some implementation issues. Late in the session compromise language was added to the auto recyclers bill (S. 1031).

Update: The copper bill (S. 1031) was signed into law early in June by Governor Haley. The bill cleans up a number of implementation issues. Under the bill passed, the ability to pay cash for aluminum cans was maintained, and the home builder’s new exemption was added to the law.

State Housing Authority - Receives New Member: On the last day of the session to consider appointments, the Governor’s latest appointee to the State Housing Authority Board, Mary Sieck was approved by the SC Senate. Her confirmation was unanimously approved, and she was appointed to a fill an unexpired term. Mary is from Lake Wylie, has a realtor’s license, works with an employee search company, and is married to Curtis Sieck - a builder in York County. She is an excellent addition to the SC State Housing Authority board.

Community Land Trust – Governor Signs Bill: A community land trust (CLT) is a non-profit community housing development organization that acquires and holds land in trust primarily for the use of affordable housing. This is done under long term real estate leases that allow it to ensure that improvements located on the property remain affordable to low income families. CLT’s help develop public– private collaborations to create opportunities for communities with limited resources to develop workforce housing. They support facilities and preserve land while promoting homeownership, historic preservation, local control and neighborhood revitalization.

Update: The bill (H. 3676) that was introduced to create community land trust enabling legislation passed the General Assembly in late May. The bill was signed into law by Governor Haley in early June.

HBASC: Update on the latest on the new South Carolina immigration law

by Julian Barton, Government Affairs Director
Home Builders Association of South Carolina

Although a federal judge has blocked parts of South Carolina’s new immigration law, sections affecting businesses will still go into effect Jan. 1, 2012. U.S. District Judge Richard Gergel left intact a provision requiring employers to use the federal electronic database E-Verify to check workers’ eligibility.

Gergel’s ruling, though, barred the state from enforcing key parts of the law, including: having police check the immigration status of person stopped for even minor traffic offenses if they have “reasonable suspicion” the person is in the country illegally; arresting people on charges of harboring or transporting illegal immigrants; and requiring people to carry immigration documents.

Gergel also let stand provisions authorizing the Department of Public Safety to form a 10-officer immigration enforcement unit, and making it a crime for illegal immigrants to sell fake IDs.

Under the new law, businesses are required to enroll in the U.S. Department of Homeland Security’s E-Verify system “and to verify the legal status of all new employees through E-Verify within three business days.”

Failure to enroll in and use E-Verify to check out new hires will result in probation for the employer, either with suspension or revocation of the firm’s business licenses, according to the state Department of Labor, Licensing and Regulation. However, LLR has promised to work with employers the first six months of the year to help them in the transition to e-verify without fines.

In addition to completing and maintaining the federal employment eligibility verification form — commonly known as the Form I-9 — all employers must within three business days after hiring a new employee verify the individual’s work authorization through the E-Verify, a free Internet-based system maintained by the federal government. Employers may no longer confirm a new employee’s employment authorization with a driver’s license or state identification card!

The database generally provides results in three to five seconds, officials say. If the information matches, the employee is eligible to work in the United States. If there's a mismatch, E-Verify will alert the employer and the employee will be allowed to work while he or she resolves the problem. If no resolution results, the employer must rescind the job offer. 

To enroll in E-Verify, go to www.dhs.gov/e-verify.

HBASC announces 2012 Housing Advocacy Agenda

Your Home Builders Association of South Carolina announced the Housing Advocacy Agenda for 2012 following its annual Legislative Conference in Columbia on November 9.

1. Multi-lot Discount: Allow for a grace period for annual re-certification to reduce risk of losing property tax discount, and increase from 5 to 8 the years the discount is available due to the economic downturn. Bill up in Senate. 
2. Reverse Anti-Economic Development Case: SC Supreme Court decision said any discharge into the environment must be permitted, and anyone can have standing in the case. Ominous decision for land development & construction – permit nightmare! Bill to be introduced. 
3. IECC 2009 Adoption: The PURC Advisory Committee is scheduled to move forward with recommendations to the General Assembly to adopt the IEEC 2009 energy code. Bill to be introduced. 
4. Immigration Reform: There is new political pressure in our state due to concerns over the Hispanic growing population in the US. We would anticipate that immigration reform legislation may have to be introduced if the Court rules against the recently passed state law - similar to the Arizona law. Bill challenged in court! 
5. Impact Fees: HBA has to defend the state impact fee law every year every year, as some areas of the state continue to push for school impact fees, and more liberal interpretation of our state’s impact fee law. Recent court action helped! 
6. Comprehensive Tax Reform: General Assembly will possibly pursue a comprehensive review of taxes in 2012 based on some of the TRAC Committee recommendations with additions, deletions, and changes to the SC tax code. Tax reform bill likely be introduced. 
7. Private Transfer Fees: A bill was passed last session to ban the use of private transfer fees in SC. Bill will be up for passage in Senate in 2012. 
8. Labor Unions Expand Their Influence: Business interests are concerned that labor unions will attempt to undermine our right-to-work state by state and federal legislation.

Watch for Calls to Action from your Home Builders Association in support of these housing-related public policy issues.

Employers: State law requires all new hires to be verified through E-Verify beginning January 1, 2012

In June Governor Nikki Haley signed into law amendments to the South Carolina Illegal Immigration and Reform Act.  The key change to the law requires all employers, beginning January 1, 2012, to verify the employment status of all new employees by using E-Verify.

E-Verify is an online system run by the U.S. Department of Homeland Security.  Employers using E-Verify are required to check the status of a newly hired employee within three business days of the employee's hire date.

Failure to comply with this new law will result in probation, suspension, or revocation of the employer's South Carolina business license.  Under South Carolina law, all private employers are imputed with a South Carolina employment license, or business license, which permits a private employer to employ a person in the state.  There is no action required on the part of the employer to receive the business license, but failure to comply with the South Carolina illegal immigration law could result in revocation of the license and termination of the business' ability to employee people.

Employers using E-Verify must apply to use the system, agree to its terms, and take an online study course and pass an online test before beginning to use the system.  The application and testing process takes about two hours.

Click here to log on to E-Verify and begin the process of complying with the law.

Click here for more information about South Carolina's Illegal Immigration and Reform Act.

Immigration Law Lunch and Learn

Melissa Azallion, Esq., an immigration law expert with the law firm Nexsen Pruett in Hilton Head, will teach a lunch and learn workshop on the new state immigration law, enforcement techniques by Federal and State agencies, and how you can comply with these laws.

August 23, 11:30 a.m.
Hubbell Lighting Headquarters

Immigration has become a significant political issue and a new state law took effect for all employers on July 1. In addition, ICE, or the Federal Immigration Control and Enforcement, recently visited the Greenville area and took enforcement action against several businesses, including contractors. Complying with immigration laws, both State and Federal, can mean the difference between survival and failure of your company.

This workshop is 90 minutes you need to set aside to make sure that your business is in compliance with these important laws.

Click here to register for the Immigration Law Lunch and Learn.

S.C. Illegal Immigration Law Applies to All Employers July 1

Beginning July 1, 2010, every employer in South Carolina must be in compliance with the "Illegal Aliens and Private Employment" chapter of the South Carolina Illegal Immigration Reform Act.

Beginning July 1 investigators from the S.C. Department of Labor, Licensing, and Regulation will begin conducting audits and investigating complaints at businesses that employ one or more workers. In order to assist employers in understanding their responsibilties under the law, LLR has scheduled training sessions around the state.

Register for Training by Clicking Here