Seattle Times columnist Jonathan Martin recently wrote a column advocating for adopting impact fees in Seattle, arguing that “growth doesn’t pay for growth.” That statement is simply not true. New development already generates other taxes and fees, such as the REET and sales taxes, which pay for transportation, infrastructure, and other priorities.

Our association is concerned about the effect of any added fee on housing costs, especially in light of our current housing affordability crisis. Housing affordability is a concern throughout our region and while the developer or builder initially pays the impact fee for new construction in jurisdictions that charge these fees, it is almost always added on to the sale price of the home. Any additional fees would likely be passed along to buyers or renters, further driving up home prices and rents at a time when housing costs are already skyrocketing. New homebuyers would be forced to pay for the fee with interest over the life of their mortgage.

The reality is that impact fees disproportionately affect new homebuyers, especially those at or below the median family income. The increasing use of impact fees and the costs that they add to development raises serious concerns about the effect of using impact fees to fund infrastructure will have on the affordability of housing.

Furthermore, impact fees are a one-time-only assessment and will never replace other fees/taxes in being a good, stable source of revenue. The city would be better served if a more stable type of user fee were used.

By MBAKS Senior Policy Analyst Allison Butcher

The latest Builders Bulletin shows year-to-date permit activity through April fell 18% for single-family homes and 37% for multifamily homes in King County compared to the same period last year. Single-family permits were up 6% and multifamily permits up 60% in Snohomish County. Pierce County saw a 5% drop in multifamily permits and a 21% increase in single-family permits. Meanwhile, the May jobs report shows construction employment increased by 30,000 between April and May, reflecting a gain from the previous month’s significant job losses due to the construction shutdown.

The Builder's Bulletin is intended to provide a convenient way to track housing in our market and includes information from the Northwest Multiple Listing Service, State of the Cities Data Systems, Office of Financial Management, and the Washington State Employment Security Department.

Download this month's report:

By Nick Harper, MBA Senior Director of Strategy and Policy

Dec. 19, 2016—Earlier this month, the Master Builders Association recognized several individuals for their contributions to the Association at our annual Winter Gala and Installation of Officers. The event took place Dec. 8 at the Museum of Flight in Seattle.

The MBA honored three members who have been integral to our accomplishments in 2016 with Member of the Year Awards. Bonnie Geers of Quadrant Homes was named Builder Member of the Year; Joseph Irons of Irons Brothers Construction was named Remodeler Member of the Year; and Duana Koloušková of Johns Monroe Mitsunaga and Koloušková was named Associate Member of the Year.

All three of these members were recognized, in part, for their contributions to our Association's advocacy efforts on behalf of housing.

Bonnie has long been a trusted voice in housing policy and land use discussions at the MBA, regularly testifying before city councils and planning commissions in support of our industry's positions on housing issues. She has also chaired the Association's political action committee, the Affordable Housing Council, since 2014.

As our Association's 2016 President, Joseph Irons has emphasized the importance of Building Synergy Together. This concept of working together as a team and reaching out to build partnerships in the community is a vital element to the advocacy work we do at the MBA. Joseph has also been a tireless advocate for workforce development, stressing the importance of encouraging young people to enter the trades and the need to support them with adequate funding for career and technical education.

Duana has always provided thoughtful input on housing policy and land use issues, engaging with the Housing Policy Committee and the AHC. She also served as co-counsel on the MBA's behalf on a case concerning the city of Seattle's ‘qualifying lot' design review ordinance. In a decisive victory for the MBA, this bad ordinance was overturned.

In addition to the Member of the Year awards, the MBA honored Don Davis, retired director of government affairs, with an Exceptional Service Award. This award recognizes members and staff for their many years of professional leadership and exemplary service to the MBA. Don served the Association for over 32 years, advocating on behalf of housing and working to promote a better climate for housing. Among his many accomplishments, Don developed the fundraising concept behind our Association's "Just Ten Percent" program, which encourages members to donate 10 percent of their GRIP or ROII returns to the Affordable Housing Council to help support housing-friendly candidates and causes. To this day, having contributions to this fund is a critical element in our success on lobbying on behalf of the residential building industry.

The Gala concluded with the presentation of the MBA Hall of Fame award, which this year went to the late Myra Williams. Myra was honored for her outstanding achievement in member recruiting, which certainly contributed greatly to our Association's membership growth. But more than that, Myra was acknowledged for being such an active and engaged member. Her strong enthusiasm for this Association was, and still is, an inspiration to others.

It was also great to see Mark Huber of Huber's Custom Building honored with the Spirit of Service Award and Anthony Maschmedt of Dwell Development recognized with the Built Green® Moving the Market Award—both very well deserved.

Congratulations to all the award recipients! These individuals offer an important reminder of the positive accomplishments that can be realized by simply being willing to step up and lead by example.

Thinking about incoming President Mike Walsh's theme for 2017, "Elevating Our Influence," I'd like to encourage all of us to find ways to engage more with the Association. Whether it's advocacy, community stewardship, or some other area, there are lots of ways members can get more involved in bringing about positive changes for housing and the community.

Photo credit: Alabastro Photography