Monday, February 6, 2017
Greenville County Set to Double Inspections Staff, Increase Fees
Staffing History
During the downturn, Greenville County slashed its inspections staff and implemented a combination inspection scheme. Each inspector, while potentially a master inspector in a particular trade, was a combination inspector qualified to perform any inspection. When construction was slow, this system was sufficient.
As the pace of construction increased, the county added to staffing, but inspection volume increased faster than staffing increased. As a result, the instances when an inspector finished the day with inspections yet to be performed increased. Those remaining inspections wound up on the next day's schedule, two days after they were requested. Fortunately, these delays have not yet become commonplace, but what has become commonplace are less-than-thorough inspections that are neither in the interest of the county, nor the builder, nor the consumer.
Unconvinced? Consider this: in December 2016, nine inspectors handled 8,000 inspections in a month when most of them took a week's vacation. That means those nine inspectors handled an average of nearly 60 inspections per day.
The Plan
Recently, Greenville County presented to your Home Builders Association a plan to correct this problem. The plan begins with hiring nine new inspectors to complement the nine inspectors already on staff.
In January the county advertised for five new inspectors, two of whom have already been hired.
In addition, the county has already "soft-launched" a new computer system for managing permits and inspection requests. This system will modernize the process of applying for permits and requesting inspections. It also will speed up reporting of the results of inspections to the permit holder.
Once the permit fee changes are implemented, the county will hire an additional four inspectors, bringing the total number of building inspectors to 18, a 100-percent increase from the current nine inspectors.
As the staffing is increased, the county also will implement a quadrant system to more efficiently assign inspectors to the largest county, geographically, in South Carolina. The county will be divided into four regions, and four inspectors will be assigned to each quadrant, one of them a supervisor. One of the 18 inspectors will be an assistant chief building official who will supervise the program, and one of the 18 will be focused on commercial and industrial "sufficiency" inspections when tenancy changes.
This staffing of course is in addition to the several staff who work at county square, administering the department, issuing permits, and working with the inspectors.
Paying For It
The last time Greenville County changed its building permit fees was 1991; and it lowered them by 40 percent with a discount that remains in place today. That may seem like a victory for our association, and it was for a while. But unfortunately we now need to agree to an increase, and a substantial one, to get the service that the industry needs.
This is how it will occur. Since 1991, Greenville County has continued to use the same Cost Per Square Foot valuation table. That table says the cost to construct a new, single-family home, is $38 per square foot.
The county has recommended, and your association has agreed, that the county begin using the current Cost Per Square Foot table. The current table says that the cost to construct a new, single-family home, is $102 per square foot. For new single-family construction, that is the entire change.
However, the county has also announced an increase to the various trades permit fees. It also has announced an 25 percent increase in the fee for commercial construction activities (the county is already using the current Cost Per Square Foot table for commercial construction).
As a refresher, the cost of a permit to construct a new single family home is calculated as follows:
(SF of house) X (cost to construct from the table) X (fee schedule) X (40% discount)
The current fee to construct a new, 2,000 SF home, is approximately $400 including trades permits. . The new fee, based on the implementation of the new valuation table and the increased trades fees, will be about $730. While a substantial increase, this fee is still well below the same fees in the City of Greenville, City of Greer, and Spartanburg County. Only Anderson County will be lower after the increase. But the fee change simply brings the fees back in line with where they were in 1991, when they were decreased.
Click here to review the full report of the changes that will be implemented by Greenville County.
Timing and Future Increases
The county will implement the increases to the trades permit fees and the commercial fees the week of February 6. The county has agreed to delay implementation of the change in the table, and resulting increase in fees, for new residential single-family construction until March.
In the future, the county will update the Cost Per Square Foot Table, which is published by the International Codes Council, every six months. Therefore, Home Builders will not need to bear the cost of such a large increase in fees again in the future.
Friday, October 14, 2016
Are You Committing One of These Common Code Violations?
- Incorrect foundation anchorage
- Inadequate bracing of rafters (kings and valleys)
- Improper span and bearing of porch beams
- Improper fasteners of star stringers and landings
- Ductwork not properly sealed
- Fire blocking
- Concrete encased electrode or 2 rods
- No pressure on gas lines
- Missing hangers
- 3" elevation of HVAC
- Wrong size breaker on condenser unit
- Draft stop of stairs, fireplaces, and chases
- Inadequate foundation anchoring
- No grounding electrode
- No or low pressure on water test supply
- Air trapped in lines - underground plumbing not completely filled with water
- Steps and chases not properly fire blocked/draft stopped
- Foundation straps not installed per manufactures instructions
- test is not on gas and water lines
- Outside HVAC units not 3 inches above final grade
Tuesday, September 20, 2016
City of Greenville Now Verifies ID When Requesting A Building Permit
Monday, June 9, 2014
GMM & Housing Summit with the City of Greenville- June 17th
Sponsorship opportunities available!
Wednesday, December 4, 2013
Building Permits Top 1 Million in October
This follows a 5.2 percent increase in permit issuance in September to 974,000 units.
Census figures for nationwide housing starts for September and October have been delayed until Dec. 18 as a result of last month’s partial government shutdown.
“Despite the recent government shutdown, builders feel a housing recovery is still under way,” said Rick Judson, chairman of the National Association of Home Builders and a home builder from Charlotte, N.C. “However, this fragile recovery still faces a number of challenges, including uncertainty in Washington, tight credit conditions for home buyers and limited availability of labor and lots.”
“Permits are often a harbinger of future housing activity and the strong showing in the multifamily sector along with stable numbers on the single-family side bode well for a continuing, gradual upturn in housing over the coming months,” said senior economist Robert Denk. “But consumer and builder confidence could be seriously undermined unless policymakers make progress over looming budget, tax and economic policy issues in the weeks and months ahead.”
Multifamily permit issuance rose 15.3 percent to 414,000 units in October while the single-family side posted a 0.8 percent gain to 620,000 units.
Regionally, permits issuance in October held steady at 101,000 units in the Northeast and rose 15.4 percent in the West and 9.4 percent in the South. The Midwest posted a 9.6 percent decline.
Friday, August 23, 2013
MORE Report: Top 20 Builders
Source: MORE Report
Monday, May 6, 2013
Multifamily Boosts Housing Starts Beyond Million Mark
While single-family production slipped 4.8% to a seasonally adjusted annual rate of 619,000 units, a 31.1% gain to 417,000 units on the multifamily side provided the boost needed to raise the overall production pace by 7% to 1.036 million units. Importantly, the decline on the single-family side was entirely due to a substantial upward revision to the previous month’s data, without which virtually no change would have been recorded this time around.
Meanwhile, the pace of multifamily production was the best seen since January of 2006. Three out of four regions posted gains in combined single- and multifamily housing production in March, with the Midwest registering a 9.6% increase, the South posting a 10.9% gain and the West noting a 2.7% rise. The Northeast was the lone exception to the rule, with a 5.8% decline. Meanwhile, permit issuance for all new housing units fell 3.9% to a 902,000-unit rate in March after recording a big gain in the previous month. That decline reflected a 0.5% reduction to 595,000 units on the single-family side and a 10% reduction to 307,000 units on the multifamily side.
In contrast to the regional starts report, the Northeast was the only part of the country to post a gain in permitting activity in March, with a 24.7% increase. The Midwest, South and West posted declines of 2.1%, 6.2% and 10.4%, respectively.
Calling the latest data a “mixed bag” due to the opposite direction of single- and multifamily starts and the somewhat weaker permit issuance, NAHB Chief Economist David Crowe said the numbers still indicate “a continuation of the slow, methodical march forward” that characterizes the housing recovery. He also noted that “The three-month moving average for single-family starts remained unchanged at 628,000 units in March – which is right on pace with NAHB’s forecast for a 25% gain in new-home production in 2013.”
Wednesday, October 24, 2012
Residential building permits rise 30.3 percent in the Upstate
Residential building permits in the Upstate rose 30.3 percent in the first three quarters of this year, a boost attributed to job growth. The Upstate had 2,611 building permits issued during the first nine months of this year, compared to the 2,004 issued during the same period last year, according to Knoxville-based The Market Edge, which tracks residential and commercial building trends in the Southeast.
Nationwide, building permits were up 11.6 percent last month -- the highest rise in four years, according to HUD and the U.S. Census Bureau.
Read the entire article at Greenville Online.
Tuesday, June 26, 2012
NAHB: Single-Family Housing Starts Rise 3.2 Percent in May
In the Upstate, single-family housing starts continue to outpace the state and the nation:
- Greenville, year-to-date (through April) starts total 700, up 32 percent
- Spartanburg, starts total 200, up 28 percent
- Anderson, starts total 110, up 95 percent
“Today’s report is a good sign that builders are cautiously moving to replenish their depleted inventories of single-family homes in response to increasing buyer demand,” said Barry Rutenberg, chairman of the National Association of Home Builders (NAHB) and a home builder from Gainesville, Fla. “In certain housing markets across the country, the momentum toward recovery is gradually building, though tough credit conditions and inaccurate appraisal values continue to weigh down that progress.”
“The latest data provides evidence of the kind of slow but steady growth that we expect to see in housing production through the end of the year, and shows that housing continues to regain strength regardless of some weakening in other parts of the economy,” said NAHB Chief Economist David Crowe. “Particularly encouraging are the gains in permit issuance posted in both the single-family and multifamily sectors in May, which are indicative of builders’ intentions to start new projects in the coming months.”
While overall housing starts posted a 4.8 percent decline to a seasonally adjusted annual rate of 708,000 units in May, all of the decrease was on the more volatile multifamily side. Single-family starts rose 3.2 percent to 516,000 units as multifamily starts declined 21.3 percent to 192,000 units.
Regionally, dips on the multifamily side drove down combined housing starts in all but the West, which registered a 14.4 percent gain. The Northeast, Midwest and South posted declines in total housing starts of 20.3 percent, 13.3 percent and 6.1 percent, respectively.
However, strong gains in new permitting activity for both single-family and multifamily homes drove the combined permitting number for May up 7.9 percent to a seasonally adjusted annual rate of 780,000 units – the strongest pace since September of 2008. Single-family permits were up 4.0 percent to 494,000 units (best pace since March of 2010) while multifamily permits gained 15.3 percent to 286,000 units.
Three out of four regions posted gains in combined permit activity in May. The Midwest, South and West posted gains of 6.1 percent, 11.1 percent and 10.5 percent, respectively, while the Northeast registered an 8.0 percent decline.
Wednesday, December 1, 2010
Greenville Chief Building Official Steve Landreth to Speak at Forum
What: Remodelers/Government Affairs Forum
When: December 16, 8:30 a.m. (continental breakfast will be served)
Where: HBA of Greenville Office
Featuring: Steve Landreth, Chief Building Official, City of Greenville
The forum gives government officials and HBA members the opportunity to exchange ideas and answer questions about the home building industry. Landreth will bring information about regulation of home building in the City of Greenville. Don't miss this opportunity to check in on the latest in codes and building enforcement in the region's largest city.
Thursday, October 21, 2010
Building Permit Trend Report is Positive for Greenville County
The Market Edge, a Knoxville, TN, firm, published the report.
The report found that building permit activity in the first three quarters of 2010 were up in Greenville County 11.2 percent compared to the same period in 2009. By comparison, Pickens County is down 25 percent, Laurens County is down 2 percent, Oconee County is down 18 percent, Spartanburg County is down 8 percent, Greenwood County is down 6 percent, and Anderson County is down 15 percent.
While permit activity in Greenville County in 2010 is on track to exceed 2009, most of the increase can be attributed to the New Home Buyer Tax Credit. Since the tax credit expired earlier this year, building permits have dropped 36 percent from the first quarter to the third quarter.
You can read the permit report by clicking here.
Monday, August 2, 2010
2010 Legislative Report from HBASC
Fire Sprinkler Bill – Choice Prevails: One of most contentious issues of the year was a bill to stop the mandate by the SC Building Code Council that would have required the installation of residential fire sprinklers in all new homes built effective January 1, 2011. The impetus for the change in policy was the inclusion of the sprinkler mandate in the IRC 2009, which is pending implementation in 2011. The HBA was unsuccessful in getting the Building Codes Council to accept a state modification to delete the residential sprinkler mandate from the new code.
Despite a full frontal assault on the bill by the well-financed national fire sprinkler industry and their legions of high-priced lobbyist, common sense prevailed and the General Assembly overwhelmingly passed the fire sprinkler choice bill (H. 4663). The bill received an overwhelmingly affirmative vote in the SC Senate (38-0) and the SC House voted to concur with the Senate (100-1). The bill was signed by Governor Sanford on June 16. There was no appetite in the General Assembly for the state government mandating residential sprinklers. Interestingly, over 25 other states have now removed the sprinkler mandate requirement from their state building code.
Permit Extension – Time Out Granted: Due to the crisis in the real estate/finance sector of our state and national economy, real estate developers, including residential developers and commercial developers have experienced an industry-wide decline, including reduced demand, canceled or delayed orders, declining sales and rentals, price reductions, increased inventory, layoffs, and delayed construction plans. Many permits issued during the recession are now near expiration, or they have already expired.
A bill (H. 4445) to address the permit extension problem was introduced this past session by Rep. Dwight Loftis (Greenville) and Senator Ray Cleary (Myrtle Beach). The bill passed the General Assembly and was signed by Governor Sanford on May 19, 2010. The purpose of this bill is to prevent the wholesale abandonment of already-approved projects by tolling the term of these permits for a finite period of time as the economy improves.
The bill has two major provisions: First, it resurrects development and building permits by state and local government agencies that were valid on January 1, 2008, but have since expired. It allows the resurrected permits to remain valid through December 31, 2012. For example, if a development permit expired on December 31, 2009, it is now renewed on May 19 and is valid through December 31, 2012 (3 additional years).
Second, for permits that were still valid on May 19, 2010 (the effective date of the law), the law provides a “tolling period”, which stops the clock on the permit through December 31, 2012. For example, if a DHEC permit had three months left on it on May 19, the permit now remains valid through December 31, 2012, plus three months. The permit will now expire March 31, 2013. The additional time provided by the bill insures that the permit doesn’t expire and that a new permit does not have to be purchased.
Permits included in this “pause” period include land disturbance, storm water, coastal zone consistency certificates, water/waste water permits, 401 water quality certification, OCRM critical area permits, DHEC air quality, site specific development plans, building permits, etc.
In the case of building permits that have expired for one year or more during the applicable period, the local government must extend the building permit at no additional cost. However, the construction of the new building must comply with existing rules (building codes) and regulations at the time the building permit is reissued.
Permits excluded from this “pause” period, include a number of federal permits and administrative consent orders. The law allows a government entity to revoke or modify a development approval as permitted by law, and it has no effect on Certificate of Need or Demonstration of Need certificates issued by DHEC.
The bill will give the development industry a much needed time out, and at the same time provide an incentive to get development projects restarted, and get the South Carolina economy rolling again.
Tort Reform – Down to the Wire: The opportunity for substantive tort reform (H. 3489) was alive until the dying moments of the 2010 legislative session. With time running out, the SC Civil Justice Coalition (HBA is a member) offered the SC Trial Lawyers Association a tort reform proposal. Senators McConnell and Martin urged the trial lawyers to come to the table and compromise on this issue this year.
After several hours of negotiation a compromise was reached. The compromise included the House language on punitive damages, appeal bonds, and tightening of the construction statute of repose; the Senate language on PARSA (state hiring lawyers), disclosure of insurance limits in personal auto cases; and the Senate’s threshold on the admissibility of non-use of seat belts in accident cases. However, Senator Gerald Malloy (Darlington) found out about the pending compromise and nixed it. With literally only 30 minutes left on the clock before the end of the 2010 session, there was no time to overcome his pending filibuster.
The good news is that we made considerable head way in reaching a compromise with the trial lawyers. The bad news is that we didn’t have enough time to seal the deal. As a result, tort reform will be back on the front burner in the 2011 legislative session. This issue is too important to the economic recovery of our state to let a last minute distraction stop this important and much needed reform!
Point-of-Sale Bill – No Sale: A bill (H. 3272) that would have changed the point-of-sale property tax assessment for existing real estate stalled in the General Assembly this year.
Real estate agents have complained that the immediate property tax reassessments from assessed value to point-of-sale price had caused “sticker shock” with real estate buyers. The actual sale/improvement price has often been far higher than the most recent property tax assessment on the books. This creates huge inequities and disincentives to buy new or remodeled real estate properties.
The roots of the point-of-sale controversy are found in the passage by the General Assembly of Act 388 – 2007 Property Tax Reform. Not only did the law shift property taxes from the faster appreciating to the slower appreciating real estate, it set in motion a growing inequity situation over time. The problem is that by exempting out additional property classifications, it shifts the tax burden further and makes the inequity of taxes increase.
The issue of property tax reform is an extremely complicated and politically charged issue, with no simple political solution. We would anticipate that this issue will resurface next session. The resolution of the point-of-sale issue is critical to keeping the rebound in the real estate industry on track!
DHEC Reorganization – Not This Year: The Senate Medical Affairs Committee took up a bill (S. 384) introduced to make DHEC a cabinet agency reportable to the Governor and to divide the DHEC board into two boards – a Board of Health and a Board of Environmental Control. However, several Senators raised concern over the magnitude of the change and the short amount of the time spent on exploring the ramifications of the bill. As a result, the bill died in committee.
DHEC is the fifth largest state agency in South Carolina, which is run by a full-time commissioner with an appointed (by the Governor) part-time board like most other state agencies. Given the magnitude of its mission, the limited resources it is given, and the regulations it is given by the General Assembly and the EPA, DHEC has done an admirable job. It never has and never will please everyone – it is a regulatory agency!
Home builders and the business community have had their share of issues with DHEC over the years. The debate has been about the interpretation of various regulations many of which came down from the federal level. However, the regulated community has never dealt with a DHEC regulatory agency that is on a mission with its own private agenda!
Fortunately, this bill died in the Senate Committee. Passage of this bill would have set back the economic development of our state for years. Promoting economic development in SC would no longer have been part of the DHEC agenda.
Private Transfer Fees – Prohibition Dies: Rep. Alan Clemmons’ bill (H. 4808) that would prohibit private third party transfer fees failed to pass this session. The bill contains an exemption for any transfer fees self-imposed by homeowner associations. The prohibition was only for “third party” transfer fees. Nine other states have already passed similar legislation banning third party transfer fees.
In recent months, developers around the county have been offered a creative financing program using transfer fees. Under this option, the developer takes third party money to help finance the development in return for paying the “loan” back through the use of transfer fees. A common option is to require a 1% transfer fee at closing every time a house in the subdivision is sold for up to 99 years. The transfer fee is then given to the third party/agent to pay back the up-front money. The more times the house is sold and the more the house appreciates, the larger the return for the third party. Some Wall Street investment brokers have started bundling these “transfer fee” properties and selling them to other investors.
Opponents of third party transfer fees are concerned about a proliferation of transfer fees, the undermining of the argument against government transfer fees, and the obstacle to real estate sales that is created. Proponents argue that these transfer fees can lower the initial cost of the home, make them competitive with non-transfer fee developments, provide another option for raising capital in a tight credit market, and help jumpstart new and delayed developments.
Water Withdrawal Bill – Finally Approved: After nearly four years of haggling over several bills to require water withdrawal permits from South Carolina’s streams and rivers, the General Assembly finally passed a water permit bill (S. 452). The bill requires new or expanding industries and utilities to get state permits for withdrawing water from South Carolina’s rivers.
New industrial and utility users would need state permits before they could take water from state rivers. A good example of a new user could be the proposed Duke Energy nuclear plant in Gaffney that would withdraw and return to the river more than 30 million gallons a day from the Broad River. The term of permit for a new user is 20 to 40 years and the term of permit for existing users is 30 to 40 years. Existing industries would be grandfathered in.
Bill supporters say a state permitting law is important in negotiations with other states over water rights to rivers that run through multiple states. South Carolina is one of only a few eastern states that do not permit water withdrawals. It was just a matter of time before a state water permitting program was initiated – now is a good time for it!
Home Builder Licensing Bill Dies: A bill (H. 3492) was introduced last year by Rep. Ken Kennedy to raise the costs of home repair/construction projects that an individual can do without being a licensed home builder. Currently projects below $5,000 are exempt. Under the bill this limit would have been increased to $15,000. The bill would have allowed more unlicensed builders to operate in the state, as if we didn’t already have enough problems with unlicensed, unregulated, and too often, untrained, “handyman” builders.
After a long and tumultuous journey through the legislative process, the bill died in the final days of the legislative session. The tenacity of Rep. Kennedy in trying to pass the bill has to be acknowledged. He was on a one-man mission to pass this bill. However, Rep. Kennedy has since announced his retirement from the SC House of Representatives.
Economic Development Bill – Step Forward: The General Assembly approved and the Governor signed into law (H. 4478), the "South Carolina Economic Development Competitiveness Act of 2010". The legislation implements numerous private sector recommendations for fostering an economic development climate in the state to attract global business and industry investment. It provides a variety of tax credit, fee-in-lieu options, and flexibility in funding for certain state agencies to encourage economic development in South Carolina and to keep our state competitive with other states in the southeast.
Affordable Housing Tax Credit Passes: A bill was passed this session (S. 728) that would expand the ability to use affordable housing tax credits in retrofitting old textile mills with residential units. The bill was signed by the Governor on May 28th. The bill will provide another option for communities to expand their affordable housing inventory.
Septic Tank Permit Bill Fails: A bill (H. 4500) was introduced this session that would require that before a parcel of land that had an onsite wastewater treatment system (septic tank) located on it could be sold that it would have to have a certified inspector inspect the septic system. The idea was to get a septic tank letter, like you get a termite letter before you close on a home. Unfortunately, the two inspections are like apples and oranges. A septic tank system is harder to evaluate, requires land disturbance, and there are already real estate laws that require disclosure by the seller, if they have inoperable waste disposal systems. The bill failed to make it out of the House Committee.
HBA Members – Special Thanks: To have a successful legislative year like the HBA had in 2010 it takes a real team effort. A very special thanks goes out to the individual HBA members who participated in the legislative process by contacting their legislators, attending statehouse rallies, and responding to the HBA “Call to Action” requests. Without your willingness to get involved, we could not have attained the level of success we did at the statehouse. You made a difference!
Thanks to your efforts we are now in the process of getting the residential home building industry back on the road to prosperity.
Friday, June 4, 2010
Permit Extension Bill Enacted
A bill extending permits, including building permits, was signed by the Governor on May 19. This bill was a legislative priority of the Home Builders Association of South Carolina.
The bill was introduced by Rep. Dwight Loftis and Senator Ray Cleary in response to the downturn in the construction industry. Permits that normally would have been completed in a timely manner are not being completed on schedule.
The bill creates a “time out” on development and building permits issued by state and local government agencies. The “time out” period is January 1, 2008 to December 31, 2012. Permits that were valid during that period are kept alive until December 2012.
The additional time insures that the permit doesn’t expire and that a new permit does not have to be purchased. The bill is fashioned after legislation passed and successfully implemented in
Wednesday, May 19, 2010
Greenville News Reports on Surge in Building Activity
Thursday, November 5, 2009
Remodeling Activity Remains Relatively Stable
For Greenville, Anderson, Spartanburg, Pickens, and Oconee counties, remodeling permit activity for the year ended September 30 is as follows:
2004 — 497 permits
2005 — 456 permits
2006 — 557 permits
2007 — 626 permits
2008 — 669 permits
2009 — 571 permits
Friday, September 25, 2009
Top Week For Building Permits So Far in 2009 was in August
The top week during the last four years was in June 2006, with 126 single-family permits pulled.
Source: Construction Week
