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CONSUMER WARNING: STATE LAWMAKERS AT WORK.


Byline: GREGORY J. WILCOX Wilcox may refer to: Place names in the United States
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  • Wilcox County, Alabama
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  • Adrian C.
 Real Estate

Robert Rivinius frets these days about the ``killer B's.''

It happens just about the same time every year. Rivinius is the chief executive officer of the California California (kăl'ĭfôr`nyə), most populous state in the United States, located in the Far West; bordered by Oregon (N), Nevada and, across the Colorado River, Arizona (E), Mexico (S), and the Pacific Ocean (W).  Building Industry Association, which, among other things, represents home building interests in Sacramento.

The group estimates home construction is a $40-billion-a-year business in California and a vital cog in the state's economy.

The ``killer B's'' bugging Rivinius are bills that could become laws making home construction more difficult and expensive.

California is off to its best home-building start in 14 years, yet the association's tone is one of concern.

One industry tracker, the Burbank-based Construction Industry Research Board, estimates that 176,800 new homes and apartments will be built this year, up from 165,000 last year.

``That's a trend that our lawmakers should be encouraging, not discouraging dis·cour·age  
tr.v. dis·cour·aged, dis·cour·ag·ing, dis·cour·ag·es
1. To deprive of confidence, hope, or spirit.

2. To hamper by discouraging; deter.

3.
,'' Rivinius said late last week when the association released housing start numbers for March and the first three months of this year.

Even with this uptick Uptick

A transaction occurring at price above its previous transaction. In order for an uptick to occur, a transaction price must be followed by an increased transaction price.
, construction still falls woefully woe·ful also wo·ful  
adj.
1. Affected by or full of woe; mournful.

2. Causing or involving woe.

3. Deplorably bad or wretched:
 short of the 230,000-plus new units needed to keep pace with demand.

That being the case, builders have a hard time understanding why about a dozen bills that could drive up housing construction costs - and result in higher prices - are being considered by state legislators.

One could add $25,000 to the cost of a new home by requiring solar-energy-generating equipment and another would add a tax on lumber lumber, term for timber that has been cut into boards for use as a building material. The major steps in producing lumber involve logging (the felling and preparation of timber for shipment to sawmills), sawing the logs into boards, grading the boards according to  that could increase prices by $130 a unit.

Rivinius is also upset about the high cost of permits and a complicated entitlement An individual's right to receive a value or benefit provided by law.

Commonly recognized entitlements are benefits, such as those provided by Social Security or Workers' Compensation.
 process.

These are multiple-front battles, since there are more than 400 cities and communities across the state that issue permits.

``We need a lot more aggressive help on the part of state government,'' said Rivinius.

Not all of the bills will become law, notes Steve Maviglio, Gov. Gray Davis' press secretary.

He says that Davis is neither anti-business nor opposed to more home construction; he supported a housing bond measure in last year's election.

``Certainly the economy is bad, but our economy is better than that of most of the surrounding sur·round  
tr.v. sur·round·ed, sur·round·ing, sur·rounds
1. To extend on all sides of simultaneously; encircle.

2. To enclose or confine on all sides so as to bar escape or outside communication.

n.
 states,'' he said. ``He (Davis) always has his eye on the impact of any legislation and how it affects business. I think he's actually fairly proactive (for) business. Especially for a Democrat.''
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Title Annotation:Business
Publication:Daily News (Los Angeles, CA)
Article Type:Statistical Data Included
Date:May 4, 2003
Words:386
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