Showing posts with label congress. Show all posts
Showing posts with label congress. Show all posts

Tuesday, September 10, 2013

NAHB Forum Brings Together Lawmakers and Industry Experts on Top Housing Issues


NAHB Press Release


Participants are Invited to Join in Person or via Live Webcast

WHAT: On Sept. 17, 2013, the National Association of Home Builders (NAHB) is sponsoring Building a Better Future: America's Housing at a Crossroads, a series of in-depth discussions at the Newseum in Washington, D.C.

This free event, hosted by CQ Roll Call, will gather members of Congress, their staff, industry and association leaders and other key stakeholders together to examine the future of the housing market.

Topics that will be covered include:
  • Demographics: The Outlook for Housing Demand and Production
  • Financing Housing: GSE Reform and Sensible Mortgage Lending
  • Tax Reform: Potential Effects on Homeownership and the Economy
Breakfast and lunch will be served to all attendees.

WHO: Keynote speakers include U.S. Senators Jon Tester (D-Mont.), Bob Corker (R-Tenn.) and Johnny Isakson (R-Ga.). Panel sessions feature industry experts from NAHB, Harvard University, the Center for Responsible Lending, the U.S. Department of the Treasury and more.

WHEN: Tuesday, Sept. 17 from 8:00 a.m. to 2:00 p.m.

WHERE: The Newseum- 555 Pennsylvania Ave NW, Washington, D.C., 20001

REGISTER: To see the full agenda and to register to attend the event in person, go to https://cqrcbuildingfuture.eventbrite.com

To register for the live webcast, go to: http://nsp.performedia.com/cqrollcall/nahb13/welcome

For press registration, please contact Liz Thompson at ethompson@nahb.org.

Thursday, July 18, 2013

NAHB Seeks Changes to the PATH Act to Ensure a Healthy Housing Finance System

NAHB Press Release


WASHINGTON, July 18 - The National Association of Home Builders (NAHB) told Congress today that it will work with lawmakers to make changes to the Protecting American Taxpayers and Homeowners (PATH) Act legislative proposal to ensure that it provides the federal support necessary to maintain a strong and liquid housing finance system.

Testifying before the House Financial Services Committee, NAHB CEO Jerry Howard urged the committee to modify the PATH Act to make sure that the federal government continues to provide a backstop for a reliable and adequate flow of affordable housing credit in all economic and financial conditions.

"NAHB believes federal support is particularly important to ensure that 30-year, fixed-rate mortgages, the bedrock of the nation's housing finance system since the 1930s, remain available at reasonable interest rates and terms," said Howard. "As currently drafted, the PATH Act does not provide the federal support necessary to ensure a strong and liquid housing finance system, and we urge the committee to make the necessary changes."

There are some positive elements in the PATH Act, and NAHB agrees that private capital must be the dominant source of mortgage credit, Howard said. However, ensuring the safety and stability of the housing finance system cannot be left entirely to the private sector.

"The historical record clearly shows that the private sector is not capable of providing a consistent and adequate supply of housing credit without a federal backstop," he said.

NAHB has recommended to the committee that Fannie Mae and Freddie Mac be gradually phased into a private sector oriented system, where the federal government's role is explicit but its exposure is limited. Federal support would be limited to catastrophic situations where carefully calibrated levels of private capital and insurance reserves would be depleted before any public funds were employed to shore up the mortgage market.

NAHB also urged House lawmakers to modify the sections of the bill outlining changes to the Federal Housing Administration (FHA).

"The PATH Act would drastically diminish FHA's vital liquidity mission," said Howard. "By simultaneously leaving all federal support for housing to FHA, and then by greatly reducing the overall scope and reach of FHA's programs, the
PATH Act would greatly limit homeownership and rental housing opportunities for many financially responsible and qualified Americans."

Because there is currently a great deal of uncertainty among consumers and home builders due to the unresolved debate on reforming the housing finance system and the government sponsored enterprises, Howard urged the committee to move forward in a careful, prudent manner to provide needed assurance for the industry and consumers.

"At a time when housing is just starting to get back on its feet and provide job and economic growth, we don't want to do anything that would reverse this positive momentum," he said. "It's definitely important that Congress be mindful of housing's important role in the economy going forward."

"NAHB looks forward to working with lawmakers to create a sustainable housing finance system that will ensure stability and liquidity in the financial system that supports homeownership and rental housing," Howard added.

Friday, June 28, 2013

Bill Would Ease Regulatory Burdens on Small Businesses, Builders Tell Congress

NAHB Press Release


WASHINGTON, June 28 - The National Association of Home Builders (NAHB) today urged Congress to support bipartisan legislation introduced by Reps. Spencer Bachus (R-Ala.), John Barrow (D-Ga.), Tom Graves (R-Ga.), and Jim Matheson (D-Utah) that would ease regulatory burdens on small businesses.

Testifying on behalf of NAHB before the House Judiciary Subcommittee on Regulatory Reform, Commercial and Antitrust Law, Kansas builder Carl Harris said that the Regulatory Flexibility Improvements Act of 2013 (H.R. 2542) is critical to provide regulatory relief to small businesses burdened my onerous and excessive regulations.

"As a small businessman operating in a highly regulated industry, I know how difficult and costly it can be to comply with scores of government regulations that apply to my day-to-day work," said Harris. "In fact, in my industry, the sum total of regulations imposed by government at all levels account for 25 percent of the final price of a new single-family home. This is particularly important in an industry where margins are so thin and consumer sensitivity to price fluctuations is so acute."

H.R. 2542 requires federal agencies to identify and reduce the costs of regulations on small businesses when determining the economic benefits of a proposed rule. It also gives small businesses more opportunities to be heard as regulations are written.

Though the Regulatory Flexibility Act already stipulates that federal agencies must consider the effect of their actions on small businesses, Harris noted that too often they circumvent the intent and the letter of a law that is intended to make the regulatory process more cost effective and less burdensome for small businesses.

"To improve federal compliance with the Regulatory Flexibility Act, assure small businesses have a voice in the regulatory process, limit unnecessary regulations and spur job growth, I urge Congress to move quickly on this legislation," said Harris.

Wednesday, June 5, 2013

More Than 750 Builders Discuss Housing Issues in Hill Visits

NAHB Press Release


WASHINGTON, June 5 - More than 750 builders from across the nation converged on Capitol Hill today for the annual National Association of Home Builders (NAHB) Legislative Conference to urge their lawmakers to support policies that will keep the housing recovery moving forward and increase housing opportunities for all Americans.

"We are sending a loud and clear message to members of Congress that a strong housing market is critical to create jobs and boost economic growth," said NAHB Chairman Rick Judson, a home builder and developer from Charlotte, N.C.

In 300 individual meetings with their representatives and senators, builders discussed the following key housing issues:

· Tax reform. To meet the nation's growing need for affordable rental housing and homeownership opportunities, NAHB members urged Congress to maintain its support for vital housing tax incentives, including the mortgage interest deduction. Builders also emphasized that the Low Income Housing Tax Credit is essential to ensure that lower-income families have access to safe, decent and affordable housing.

· Housing finance reform. With Congress preparing to address the future of the nation's housing finance system and Fannie Mae and Freddie Mac, NAHB continued to advocate that any restructuring provides for a reliable and adequate flow of credit for home buyers and that the federal government plays an appropriate role in backing up the housing finance system.

· Immigration reform. NAHB called on Congress to enact comprehensive immigration reform that protects the nation's borders; focuses on the direct employer-employee relationship so that U.S. employers remain accountable only for the identity and work authorization status of their direct employees; and creates an efficient, temporary guest worker program that allows employers to recruit legal immigrant workers when there is a shortage of domestic workers.

· Credit for housing production. Despite the recent upturn in housing, builders in many markets are still unable to obtain construction loans for viable home building projects. NAHB called on lawmakers to support House bill H.R. 1255 sponsored by Reps. Gary Miller (R-Calif.) and Carolyn McCarthy (D-N.Y.) and companion Senate bill S. 1002 introduced by Sens. Robert Menendez (D-N.J.) and Johnny Isakson (R-Ga.) that would help resolve the ongoing credit problems for builders.

Tuesday, June 4, 2013

Builders Urge Congress to Pursue Pro-Housing Policies to Spur Job and Economic Growth

NAHB Press Release


WASHINGTON, June 4 - New-home production and remodeling contribute billions of dollars to the nation's economy each year, and with the right policies in place housing can serve as a catalyst to boost job and economic growth, the National Association of Home Builders (NAHB) told Congress today.

"How lawmakers and regulators deal with tax reform, home energy codes and the availability of building materials will go a long way to ensure a robust, long-term recovery for housing and the economy," said NAHB Chairman Rick Judson, a home builder and developer from Charlotte, N.C., in testimony before the House Energy and Commerce Committee's Subcommittee on Commerce, Manufacturing and Trade.

NAHB supports the goals of many in Congress to reform the tax code and believes that lawmakers should maintain existing housing tax incentives because homeownership remains the major path to wealth for the middle class.

"Any policy change that makes it harder to buy a home, or delays the purchase of a home until an older age, will have a significant long-term impact on household wealth accumulation and the makeup of the middle class as a whole," said Judson.

"As most home owners benefit from the mortgage interest deduction, and most of that benefit flows to younger families, weakening the deduction and making homeownership less accessible is likely to diminish the financial success of future generations," he added.

NAHB is urging building code officials to reinstate energy-neutral equipment efficiency trade-offs in the performance path of the International Energy Conservation Code to allow builders to more cost-effectively construct energy-efficient homes.

Energy efficiency tax credits such as the Existing Home Retrofit Tax Credit (25C) that provides consumers a tax credit of up to $500 for the purchase of qualifying energy-efficient products and the New Energy Efficient Home Tax Credit (45L) available to builders who construct energy-efficient new homes are important policy tools to provide home owners and builders with incentives to perform energy efficiency upgrades on homes, he added.

Meanwhile, the rising cost of building materials - most notably for framing lumber, oriented strand board and gypsum - are decreasing affordability and preventing builders from meeting the growing demand for new homes.

"Any effort to ease escalating price pressures, help rebuild the supply chain and support a continuing housing recovery is effective economic policy," said Judson.

Labor Shortages Hamper Housing Recovery

Edward Martin, president and CEO of Tilson Home Corp. based in Austin, Texas, and president of the Texas Association of Builders, also participated in the congressional hearing. He told lawmakers that worker shortages in residential construction are impeding the housing recovery.

"My company is experiencing delays due to the lack of qualified framing crews to begin work on the structure of our homes," said Martin. "We are also struggling to find master plumbers and rough-in crews, which run the pipes in the foundation before the concrete is poured. As a result of the shortage of skilled labor, on average, it is taking my company a month longer to build a home."

A recent survey of NAHB members shows that since June 2012, residential construction firms have been reporting an increasing number of shortages in all aspects of the industry - from carpenters, excavators, framers, roofers and plumbers, to bricklayers, HVAC, building maintenance managers and weatherization workers.

Forty-six percent of the builders surveyed experienced delays in completing projects on time, 15 percent had to turn down some projects and 9 percent lost or cancelled sales as a result of recent labor shortages. Fewer homes built will harm the property tax base of local communities, which is vital to fund local schools, police and firefighters.

"With congressional attention shifting to immigration reform, I believe strongly that this debate provides an important opportunity for the country to implement a new market-based visa system that would allow more immigrants to legally enter the construction workforce each year," said Martin. "This would complement our skills training efforts within the nation's borders, and fill the labor gaps needed to meet the nation's housing needs."

Onerous Regulations Harm Remodeling, Job Growth

On the remodeling front, William Shaw, founder of William Shaw and Associates, a residential remodeling, design and build company located in Houston, said the federal government's regulatory process is hampering the ability of remodeling firms to do business and impeding job growth.

"Housing serves as a great example of an industry that would benefit from smarter and more sensible regulation," he said.

Shaw urged lawmakers to support the Lead Exposure Reduction Amendments Act of 2013 (H.R. 2093), bipartisan legislation recently introduced by Rep. Tim Murphy (R-Pa.) and 21 original co-sponsors that would make much-needed improvements to the EPA's Lead: Renovation, Repair and Painting (LRRP) Rule.

The measure would restore the opt-out provision for homes without children or pregnant women; allow remodelers to correct paperwork errors without facing full penalties; provide an exemption for emergency renovations; and make it easier for remodelers to obtain recertification training.

By removing the opt-out provision in July 2010, EPA more than doubled the number of homes subject to the LRRP rule, adding an estimated $336 million per year in compliance costs to the remodeling community without making young children any safer, Shaw said.

For the small contractor, these additional costs have to be passed on to the consumer, which increases the chances that a home owner will likely hire another uncertified contractor to do the work, or worse, do the work themselves, which would actually increase the likelihood of disturbing lead-based paint.

Officials from Kohler Co. and Louisiana-Pacific Corp., major suppliers and manufacturers of kitchen and bath products and building materials, also testified at the hearing. Most of the products used in home construction and remodeling are manufactured in the United States and home buying typically generates a positive economic ripple effect. When a family moves into a new home, they spend $7,400 more than usual on appliances, furnishings and remodeling.

Thursday, May 16, 2013

NAHB Calls on Congress to Establish a Fair and Workable E-Verify System

NAHB Press Release


WASHINGTON, May 16 - As Congress debates comprehensive immigration reform, the National Association of Home Builders (NAHB) today called on lawmakers to establish a fair and workable employer verification system for all businesses.

Participating in a congressional roundtable discussion on the impact of the mandatory E-Verify electronic employment verification system on America's small businesses, NAHB Chairman Rick Judson said that such a system must "be fair and efficient, and not impose significant burdens on employers." The roundtable was held by the Senate Committee on Small Business and Entrepreneurship.

"Congress must also be mindful of the home building industry and its intricate system of general contractors and subcontractors for the system to be workable," said Judson, who is a home builder and developer from Charlotte, N.C.

As Congress moves to advance immigration bills pending in the House and Senate, NAHB said that a fair and workable E-Verify system for all U.S. employers should:
  • Maintain current law, holding U.S. employers accountable only for verifying the identity and work authorization status of their direct employees. Congress should not require employers to verify someone else's workers, such as a subcontractor's employees, as this is both unfair and infeasible.
  • Maintain present law that forbids employers from knowingly hiring undocumented workers, including subcontracted workers. NAHB fully supports maintaining this "knowing" standard to ensure employers understand their role and obligations under the law.
  • Ensure that any compulsory federal E-Verify program contains a robust safe harbor for employers so that those who use the system in good faith cannot be held liable for errors in the E-Verify system by any federal agency, including the U.S. Department of Homeland Security, or by the employer's workers.
  • Include a strong pre-emption clause preventing state and local governments from creating their own versions of verification requirements for employers. If employers are going to be required to use the federal E-Verify program, they must be assured that they will not also have to meet other potentially conflicting compliance standards imposed by state and local governments.
  • Allow employers to begin the E-Verify process when a worker accepts a position, rather than be required to wait until after the start date. This will provide businesses more lead time to handle tentative non-confirmations for those who are ineligible to work.
  • Allow employers to access the E-Verify system via telephone and the Internet so it is more workable for small employers.
In addition to calling for a fair and efficient nationwide E-Verify program, Judson said that NAHB supports comprehensive immigration reform that would protect the nation's borders and create an efficient temporary guest worker program that allows employers to recruit legal immigrant workers when there is a shortage of domestic workers.

Saturday, April 27, 2013

Housing Tax Incentives Critical to Maintain Thriving Middle Class, NAHB Tells Congress

NAHB Press Release


WASHINGTON, April 25 - To meet the nation's growing need for affordable rental housing and homeownership opportunities, the National Association of Home Builders (NAHB) today called on Congress to maintain its support for vital housing tax incentives, including the Low Income Housing Tax Credit, the mortgage interest deduction and real estate tax deductions.

"Home building is an industry dominated by small businesses, so the idea of simplifying the complicated tax rules related to business has great appeal. At the same time, our industry remembers painful lessons from the 1986 Tax Reform Act, when the commercial and multifamily sectors experienced a downturn due to unintended consequences," said Robert Dietz, an economist and assistant vice president for NAHB, in testimony during a House Ways and Means Committee hearing on tax reform and residential real estate.

Moreover, when housing fares well, it spurs job and economic growth, Dietz added. "For these reasons, we urge Congress to be cautious and thoughtful when it comes to housing and tax reform."

U.S. Census data shows that more than 40 percent of renters are "rent burdened," or pay more than 30 percent of their household income on rent. The need for affordable rental options remains acute. The Low Income Housing Tax Credit (LIHTC) is the most effective tool for the creation of affordable rental housing. Utilizing a public-private partnership to attract investment, the program has produced and financed more than 2 million affordable rental units since its inception in 1986.

"As LIHTC properties must generally remain affordable for 30 years, they provide long-term rent stability for low-income households around the country," Dietz said. "But the demand for affordable housing far exceeds the availability of financing through the LIHTC program. The solution is not to eliminate the most successful affordable housing program in the country, but to provide it with the resources necessary to address the shortage of affordable housing options in our cities and towns."

When it comes to housing and tax reform, the spotlight typically falls on the mortgage interest deduction, and Dietz set the record straight on a number of false assumptions regarding this important homeownership benefit.

"First, we frequently hear that few home owners benefit from the mortgage interest deduction because itemization is required," he said. "In fact, most home owners will claim it. In 2009, 35 million taxpayers, or 70 percent of home owners with a mortgage, claimed the mortgage deduction in that year. Among all home owners who have ever held a mortgage, the vast majority have claimed the home mortgage deduction for years at a time."

Critics charge that the mortgage interest deduction encourages the purchase of a larger home, but these claims ignore the role of family size. Home owners with larger families need bigger homes and will therefore have a higher mortgage interest deduction.

"The need for a larger home created the higher home loan deduction, not the other way around," said Dietz.

He also noted that the cost of housing varies greatly across the nation, so what appears to be a large deduction for a given home in one area may reflect a modest home in a high-cost area.

Moreover, the mortgage interest and real estate tax deductions are two of the few elements in the tax code that that account for differences in cost-of-living.

"The real estate tax deduction is an important reminder that home owners pay more than $300 billion in property taxes each year. This fact is often ignored in the federal tax debates because these taxes are collected by state and local governments," said Dietz.

There is also a direct correlation between the age of a home owner and their resulting benefit from the mortgage interest deduction. As a share of household income, the largest deductions are for those 35 and younger. The benefit of a deduction that reduces the net cost of monthly house payments is particularly important to these home buyers, who typically have less equity, tighter household budgets, and must meet the needs of a growing family.

"Given this demographic connection, NAHB believes that any policy change that makes it harder to buy a home, or forces young families to defer home purchases, will have a significant impact on wealth accumulation and the makeup of the middle class," said Dietz.

Regarding the mortgage interest deduction rule for second homes, Dietz said that many mistakenly think this refers to expensive beach property, when in reality, such homes are often owned free and clear or rented, which excludes the owner from taking the mortgage interest deduction.

In practice, the second home deduction is important for many who don't think of themselves as owning two homes. Repealing the deduction for second homes would penalize millions of home owners who move from an existing home and buy a second home in a given tax year. There would be further negative economic consequences in terms of lost home sales, home construction and local tax revenues.

Noting that building 100 single-family homes creates more than 300 full-time jobs and $8.9 million in federal, state and local tax revenues that helps boost local communities and schools, Dietz said that how housing is treated in an future tax reform will shape the economy going forward.

"Housing provides the momentum behind an economic recovery because home building and associated businesses employ such a wide range of workers. With the right policies in place, housing can be a key engine of job growth that this country needs."

Monday, April 22, 2013

Home Builders Call on Congress to Improve Immigration Bill's Guest Worker Provisions

NAHB Press Release


WASHINGTON, April 22 - The National Association of Home Builders (NAHB) commends the bipartisan Senate sponsors of legislation to advance comprehensive immigration reform and today called on lawmakers to improve the guest worker provisions in the bill to address the significant role that foreign workers play in the housing industry and to help alleviate current labor challenges that are hampering the housing and economic recovery.

Testifying before the Senate Judiciary Committee on the Border Security, Economic Opportunity, and Immigration Modernization Act (S. 744), NAHB Chairman Rick Judson, a home builder and developer from Charlotte, N.C., urged Congress to implement a new market-based visa system that would allow more immigrants to legally enter the construction workforce each year.

"Despite our efforts to recruit and train American workers through the HBI Job Corps program and other programs, our industry faces a very real impediment to full recovery if work is delayed or even cancelled due to worker shortages," said Judson. "A new, workable visa program would complement our skills training efforts within the nation's borders, and fill the labor gaps needed to meet the nation's housing needs."

In a recent survey of NAHB's membership, 46 percent of the builders surveyed experienced delays in completing projects on time, 15 percent had to turn down some projects and 9 percent lost or cancelled sales as a result of recent labor shortages.

Foreign-born workers have traditionally played a vibrant and important role in home building. Today, they account for 22 percent of the construction labor force, according to the Census Bureau. Moreover, trades with a high concentration of immigrant workers also tend to have more vacancies and labor shortages. There are currently 116,000 unfilled positions open in the construction sector - a post-recession high.

While the W Visa program that addresses a guest worker program for the low-skill sector within Senate bill S. 744 reflects a good-faith attempt on the part of lawmakers to address a serious concern, NAHB believes the program is unworkable for the residential construction industry.

"First and foremost, the program wrongly singles out the construction industry with a discriminating set of rules, including an arbitrary and meager cap that not only ignores but rejects the value of the housing industry to the nation's GDP," said Judson. "Our industry, which in normal times accounts for more than 17 percent of the nation's total economic output, should be afforded the same opportunities as any other sector of the economy. Congress must reassess this critical flaw in the legislation."

Judson also outlined other components of the W Visa program as areas of concern:

The 8.5 percent unemployment trigger. Putting an unemployment trigger in the program ignores the simple fact that immigrant workers and native-born workers sometimes perform jobs that are independent. Moreover, with the current unemployment rate well below 8 percent, labor shortages in all facets of the industry - including framers, carpenters, bricklayers and weatherization workers - continue to undermine the housing recovery.
  • Prevailing wages. Employers will already have to pay fees for self-registration and any positions needed. Further adding a complex prevailing wage scale to the program will deter private small business firms from taking advantage of it. Employees should be paid market rate, or actual wages.
  • The inclusion of a commission in the W Visa program. The marketplace is best-suited to make wage and worker shortage determinations, not a new bureaucratic entity, said Judson. The most accurate way to measure whether immigrant workers are needed is for employers to try, and either succeed or fail, to hire U.S. workers.
  • Complete portability. Under this provision, a registered employer faces the stark reality that a W Visa holder has the option to quit and work somewhere else beginning on the very first day of work. NAHB believes that it is only fair that employers have some assurances that after navigating a confusing and expensive process, the visa holder will actually have to show up and work for the employer who sponsored the worker. This concern is even more pronounced for the construction industry, considering the meager 15,000 visa cap. Employers should receive a credit for losses incurred.

Thursday, April 11, 2013

Rep. Hastings' Bill Would Keep Forests Healthy, Boost Timber Production

WASHINGTON, April 11 - The National Association of Home Builders (NAHB) today urged Congress to support draft legislation unveiled by House Resources Committee Chairman Doc Hastings (R-Wash.) that  would require the U.S. Forest Service to actively manage its commercial forest lands and increase timber production on federal lands, thereby helping to ease lumber price volatility and keep the nation's forests healthy.

"The Restoring Healthy Forests for Healthy Communities Act would encourage increased production on federal timber lands, while at the same time remain mindful of important environmental considerations," said Justin Wood, vice president of construction for Fish Construction NW Inc., based in Portland, Ore. "This legislation will go a long way toward helping rebuild the supply chain and reviving local mills and timber companies, while ensuring the continued recovery of the housing industry."

Testifying on behalf of NAHB before the House Natural Resources Subcommittee on Public Lands and Environmental Regulation, Wood said that the legislation would benefit rural communities and boost harvesting on federal lands by requiring the federal government to implement active forest management plans.

"I live in Vancouver, Washington, which is approximately 10 miles from the Gifford Pinchot National Forest," he said. "In our wooded rural neighborhood, the county encourages land owners to remove dead and diseased trees, including dead undergrowth, to reduce the risk of forest fires. It is confusing to the residents of the area that we follow these recommendations, while the policies are not implemented in the federal forest just a few miles away."

With lumber one of the most volatile-priced building materials and a major component in home construction, Wood also pointed out that proper federal forest management policies are tied to affordable housing.

NAHB research shows lumber and wood products account for 15 percent of the cost of construction for a single-family house. Lumber prices soared as the housing recovery gained momentum in 2012. For example, prices of oriented strand board, an engineered wood product, are up 92 percent since last April. Framing lumber is also seeing price increases upward of 28 percent.

These higher costs drive up the cost of construction, which in turn, drives up the price of a new home. This is of particular concern in the affordable housing sector, where relatively small price increases can have an immediate impact on low- to moderate-income home buyers.

"NAHB research shows that for every $1,000 price increase for a median priced new home, over 232,000 households can no longer afford that home," said Wood.

Another factor fueling rising lumber prices is that global demand is also up, especially in China, and U.S. exports have doubled in the last five years. There will be additional upward pressure on lumber prices as the housing industry recovers unless additional supply can be brought into the market.

"Federal forests supply a mere 2 percent of the wood used by the forest products industry, and it is important for Congress to take a deep look into what barriers the Administration is facing in pursuit of increased harvesting on federal lands," said Wood. "Chairman Hastings' bill would ease escalating price pressures, allow responsible timber production to occur on federal lands, protect the environment and help keep housing affordable for hard-working families."