May 27, 2025 • View in browser

NLBMDA Weekly is our newsletter covering everything from goings on in Washington to updates from our members. This is the premier source of federal legislative, regulatory, and industry news for NLBMDA members.

Credit Card Competition Act Amendment Filed in Senate

As NLBMDA shared last week, Sens. Roger Marshall (R-KS) and Dick Durbin (D-IL) have taken action to advance the Credit Card Competition Act (CCCA), a top legislative priority for NLBMDA that would reign in excessive credit card swipe fees. Sen. Marshall filed the CCCA as an amendment to the GENIUS Act, a cryptocurrency regulation bill that would establish a regulatory framework for the digital currency.

NLBMDA is strongly encouraging members to contact their Senators to encourage them to support the Marshall-Durbin CCCA amendment when it comes to a full vote by the Senate. Last week, NLBMDA included a prompt and additional resources NLBMDA members can use when contacted their elected officials. Read our communication here. With the Senate in recess this week in observance of the Memorial Day holiday, a vote on the Marshall-Durbin amended is expected in early June.

NLBMDA Breaks Down Congress’ One Big, Beautiful Bill, H.R. 1

Last week the House of Representatives took a monumental step in advancing Congress’ sweeping reconciliation bill that extends expiring tax cuts, raises the debt ceiling, expands the housing tax credit, and increases spending on defense and border security programs. The legislation passed the House by a 215-214 vote. Reps. Warren Davidson (R-OH) and Thomas Massie (R-KY) voted against the legislation citing concerns with the bills negative effective on the deficit. The Senate will now begin its process of reviewing and most likely altering certain portions of the legislation.

A number of NLBMDA’s legislative priorities have been included in Congress’ reconciliation bill. This includes extending expiring small business friendly tax credits and the strengthening of housing tax credits. “Last week, the House of Representatives favorably voted on a number of NLBMDA backed legislative priorities,” said NLBMDA’s President & CEO Jonathan Paine. “While there remains a long road ahead until this legislation reaches the President’s desk, NLBMDA is committed to continuing our advocacy on Capitol Hill to ensure NLBMDA’s legislative priorities remain as a centerpiece of this legislation.” 

Last week, NLBMDA released a recap of H.R. 1. Read more here.

NLBMDA President & CEO Jonathan Paine Speaks at the 2025 Federated Insurance Leadership Focus Meeting 

On May 1st, the 2025 Federated Insurance Leadership Focus Meeting was conducted at Federated Insurance's headquarters in Owatonna, MN and led by Chief Insurance Officer John Gehan. During the meeting, National Account Executive Patrick Cunningham announced Federated's partnership with NLBMDA. NLBMDA President and CEO Jonathan Paine addressed over 200 attendees to provide an update on the lumber and building material industry.

Get to know Falls City Lumber Company at the 2025 ProDealer Industry Summit!

Join us as we tour Falls City Lumber a full-service specialty wholesale lumber company providing quality products from quality suppliers since 1985. Falls City pride’s themselves on incomparable ability to offer quality lumber and specialty products at a very competitive price. Falls City Lumber believes in providing their customers with exceptional customer service, an extensive inventory, and prompt delivery. We offer a wide range of building products including, but not limited to Redwood, Cedar, Fiber Cement, PVC trim, Decking products, Columns and Railings.

Falls City Lumber takes pride in their professional sales staff, which have several years of both sales and purchasing experience. With considerable knowledge of both specialty lumber and composite materials, they can provide answers and offer solutions. The company size is an advantage to their customers, allowing one-on-one business relationships that keep our customers aware and informed. Falls City Lumber’s corporate office and warehouse facility are in Louisville, Kentucky. Pre-registration is required to attend the tour.

Florida Building Material Alliance to Host 2025 Building Products Expo

The Virginia Tech–USDA Forest Service Released Housing Commentary For March 2025

The March 2025 commentary includes 2025 housing forecasts, relevant housing data, remodeling trends, and broader observations on the U.S. housing market. The May 15th Atlanta Fed GDPNow™ forecast projects total residential investment spending to grow by 0.4% in Q2 2025. Within that, the quarterly log change for new private permanent site expenditures is expected to decline by 0.2%, while improvement spending is forecast to rise by 5.6%, and manufactured/mobile home expenditures are projected to fall by 1.0% (all figures are quarterly log changes at a seasonally adjusted annual rate). Housing data showed a mixed picture both month-over-month and year-over-year, with most indicators trending negative overall. On a monthly basis, there were some bright spots: total and multi-family permits, single-family completions, new house sales, and single-family construction spending all posted gains. Notably, new house sales under $399,000 outpaced higher-priced categories for the first time in several years. On a year-over-year basis, total and multi-family housing starts, completions for both total and single-family units, new house sales, and total construction spending were all positive. However, elevated mortgage rates continue to impact the market—higher borrowing costs have reduced affordability, and the "lock-in" effect is suppressing home sales as existing homeowners hesitate to move.

Despite these challenges, the desire to own a home remains strong. However, a variety of headwinds persist. Key concerns include high mortgage interest rates, inflation, and broader economic uncertainty. International tensions—such as the ongoing war in Ukraine and the Israel-Palestinian conflict—add to the instability. Domestically, issues such as limited lot availability, restrictive building regulations, and labor shortages continue to strain the housing sector. Household formation rates remain below historical norms, and while job creation has been steady, the quality and sustainability of those jobs are debated by some economists. Additionally, rising levels of debt—corporate, personal, and governmental—both in the U.S. and globally, pose further risks to housing market stability.

Single-Family Starts Down on Economic and Tariff Uncertainty

The National Association of Home Builders (NAHB) has found that economic uncertainty driven by elevated mortgage rates, ongoing tariff concerns, and rising building material costs contributed to a decline in single-family housing starts in April. According to the U.S. Department of Housing and Urban Development and the U.S. Census Bureau, overall housing starts rose 1.6% to a seasonally adjusted annual rate of 1.36 million units. However, within this total, single-family starts fell 2.1% to a rate of 927,000 units—down 12% compared to April 2024—while the multifamily sector, which includes apartments and condos, saw a 10.7% increase to 434,000 units.

Buddy Hughes, chairman of NAHB, noted that high interest rates and rising costs are limiting builders’ ability to produce affordable entry-level homes, a key contributor to the current slowdown. In an interview with NPR, NAHB chief economist Robert Deitz said three-quarters of builders in their monthly survey said they're struggling to figure out the pricing on their homes. They don't know how much it'll cost to build them, and then they don't know how much they're going to be able to sell them for. And when the costs are growing but builders can't raise their prices, housing production slows down.

Despite these challenges, there is cautious optimism that recent tariff developments with the United Kingdom and China, along with tax legislation progressing in Congress, could boost housing demand. Regionally, year-to-date combined single-family and multifamily starts increased in the Northeast (19.8%), Midwest (4.4%), and West (3.4%), but dropped in the South (7.4%). Housing permits declined overall by 4.7% to a 1.41-million-unit annual rate, with single-family permits down 5.1% and multifamily permits down 3.7%. Regionally, permit activity varied, with decreases in the Northeast, South, and West, but a modest increase in the Midwest. As of April, there were 630,000 single-family homes and 788,000 apartments under construction.

Bipartisan Senate Delegation Heads to Canada to Discuss U.S.-Canada Trade 

A bipartisan group of U.S. senators visited Ottawa over the weekend in an effort to revitalize trade relations despite recent tensions fueled by the White House’s indiscriminate trade strategy that has strained relations between the two countries. The delegation was led by Sens. Kevin Cramer (R-ND) and Jeanne Shaheen (D-NH), both Senators with states that share a border with Canada and are the beneficiaries of a strong U.S.-Canada trade relationship.

The Senate delegation met with newly elected Canadian Prime Minister Mark Carney with reports indicating that tariffs were central to the discussion. At a press conference, Sen. Cramer acknowledged the impact elevated tariffs have had on the Canadian economy. “For the moment, the United States has become an adversary to the Canadian people because of the effect that so many have felt,” Cramer said. Cramer continued by calling for greater collaboration between the two trading partners and a focus on the issues where commonality can be found. Due in part to the U.S.-Mexico-Canada trade agreement, tariffs on Canadian imports have been comparatively low when measured against other trading partners. However, NLBMDA is closely monitoring a Section 232 investigation initiated by the U.S. Department of Commerce earlier this year that could result in elevated duties on Canadian softwood lumber. 

Senate Votes to Undo California Emission Standards

Congress has passed three Congressional Review Act (CRA) resolutions intended to revoke EPA waivers granting California authority to enforce its own vehicle emissions standards under authority expressly given to California under the Clean Air Act (CAA). The Senate’s 51-44 vote on May 22 followed the House's earlier passage, and President Trump is expected to sign the measures.

Prior to the Senate vote, the Senate Parliamentarian and Government Accountability Office (GAO) both concluded that the CRA did not provide the Senate with the authority to overturn California’s emission waivers and revoking of the standard would require 60 votes. Republican leadership rejected the GAO’s and Senate Parliamentarians interpretation effectively employing the “nuclear option” through avoiding the Senate filibuster. Senate Democrats have expressed strong disapproval over the measure alleging that it opens the door for the potential weaponization of the CRA.

The nullifications imperil major California programs like Advanced Clean Trucks and Advanced Clean Cars II and could restrict other states from adopting California’s standards. Legal challenges are expected, and states may pivot to new strategies, such as regulating emissions via indirect sources. 

White House Delays Elevated EU Tariffs Until July 9^th, Trade Negotiations Occurring Globally

Over the weekend President Trump stated that he would delay imposing 50% tariffs on all imports from the European Union until July 9^th, granting negotiators more time to reach a long-term trade agreement. Last week, President Trump threatened the elevated tariffs as a means to expedite the negotiating process. Elsewhere, the U.S. is engaging in negotiations with it’s largest trading partners in what will be a six-week race to the finish line before the expiration of the 90-day pause of reciprocal tariffs on 57 of the US’s trading partners. Earlier this month, the U.S. and United Kingdom reached a trade agreement that included the removal of tariffs on steel and aluminum imports. NLBMDA will continue to closely monitor trade negotiations and keep members updated with the latest information.  

OSHA Updates Site-Specific Targeting Program

Last week the U.S. Occupational Safety and Health Administration (OSHA) announced an update to its Site-Specific Targeting (SST) inspection program. SST is OSHA’s primary mechanism for scheduling planned inspections at non-construction establishments with 20 or more employees. The latest version of the SST directive reflects a sharpened focus on businesses showing the highest rates of workplace injuries and illnesses and those with rising trends over time.

The updated program will rely on employer Form 300A data from calendar years 2021, 2022, and 2023. Form 300A summarizes annual injury and illness data drawn from more detailed logs maintained by covered employers. Under the new selection criteria, OSHA inspections may be triggered by:

• Elevated injury and illness rates in 2023
• Noticeable increases in rates across the 2021–2023 period—especially those more than double the 2022 private sector average
• Injury and illness rates markedly below industry averages
• Failure to file Form 300A in 2023.

This directive replaces the previous version issued in February 2023. OSHA’s updated guidance can be found here. 

Weyerhaeuser spins off B.C. lumber mill

Weyerhaeuser Company has agreed to sell its lumber mill in Princeton, British Columbia, to the Gorman Group, owners of Gorman Bros. Lumber Ltd., a family-owned wood products manufacturer headquartered in West Kelowna, B.C. The purchase price is approximately $120 million CAD in cash (roughly $86.4 million), which includes Weyerhaeuser's manufacturing facility, all associated timber license assets in British Columbia and the value of working capital, which will be subject to customary purchase price adjustments at closing

Hancock Lumber is acquiring Johnson Lumber

Maine-based building materials stalwart Hancock Lumber is acquiring Johnson Lumber, a single-location lumberyard located in Salisbury, Massachusetts. The transaction is expected to close on May 31, 2025, with the location officially beginning operations as Hancock Lumber on Monday, June 2. The move marks Hancock’s 12th lumberyard and its first in Massachusetts. 

Simpson debuts backyard building training series

Simpson Strong-Tie has introduced SkillBuilders, a comprehensive training and education series for backyard builders. The SkillBuilders training library, which includes live, online and on-demand sessions, tackles the ins and outs of deck, pergola and fence building — from corrosion to fastener coatings to load tolerances — and can be tailored to users’ needs and interests.

Orgill execs share guidance on market uncertainty

To help retailers get a grasp on the realities of what’s going on in the hardlines supply chain and how to best prepare for any market uncertainties, Orgill shared guidance from David Mobley, executive vice president of sales; John Dillon, senior vice president of pricing; and Clay Jackson, executive vice president and chief operating officer. 

LBM Advantage held its sixth annual NextGen Conference

LBM Advantage held its sixth annual NextGen Conference on April 27-30, 2025, at the Gaylord Texan in Grapevine, TX. This leadership development gathering welcomed rising professionals from across the cooperative for a packed agenda of industry insights, exclusive site tours, peer networking, and social outings. This year’s highlights included behind-the-scenes tours of Simpson Strong-Tie’s innovative facilities and the Cameron Ashley Distribution Center, providing attendees with first-hand exposure to cutting edge products, industry-leading operations and supply chain strategy.