Contractors Say Building Costs Will Drastically Increase with the New July Building Regulations
Periodically, local building departments in charge of regulating building codes are required to update codes based on International Building Codes. This year, the codes will see a drastic change that focuses more on energy conservation methods.
At the end of June, building regulations in El Paso County changed as local building departments were required to implement new requirements for the construction of new structures. The changes are in effect for anyone pulling a building permit on or after July 1, 2023.
Over the last few months, the Pikes Peak Regional Building Department has launched a campaign to inform citizens and construction contractors of the implementation of the new changes. The building department has tried to educate people on the significant changes to building code requirements including holding a training session in Woodland Park.
Why Are the Regulations Changing?
According to the Pikes Peak Regional Building Department’s Public Information Officer Greg Dingrando, changes to local building codes occur every six years. When making the changes, the building department uses the most up-to-date International Building Code, which was released in 2021.
“We take a look at the 2021 code book and then we make a few modifications and amendments to that,” Dingrando explained. “And that’s what’s in the 2023 regional building code.”
He also said that there have been changes made at the state level that required codes to be changed this year. “There was a bill that passed last year that kind of forced building departments to at least adopt the un-amended 2021 building code,” Dingrando said. “So we adopted out ahead of it so we could include our amendments. So as long as we adopt the new code before July 1, we are allowed to include some of those amendments to the International Building Code. We see it as a way to basically lessen the changes. It is more of a stepping stone to moving to those codes later on.”
Dingrando said that every six years when the codes change, some of the changes make things easier for contractors, while others force them to do things quite differently. “The reason we need to do a code change is because technology changes so often,” Dingrando stated. “If we never did a code change, then new technology could come along that we didn’t have six years ago and it wouldn’t be allowed. So they (regulation changes) are necessary for us to keep up with the times with technology, different materials, and of course the big change this cycle was just a lot more energy efficient practices.”
What Are the Major Changes to the Building Codes?
This time around, the change in code included several new requirements. And, as Dingrando said, many of them focus on energy conservation.
To help contractors, the Pikes Peak Regional Building Department published “Significant Changes to the 2021 International Building Code” on its website. The document points out several of the major changes to both the residential and commercial building codes that will affect new construction and remodeling.
According to Dingrando, some of the major changes have to do with the type of light switches allowed in houses. “The International Code says that 100 percent of your lighting has to be either on a dimmer switch or a high-efficacy switch (switch with a sensor that turns off when nobody is in the room),” he said. “But our amendment reduced it down to 90 percent just in case there are light fixtures that someone does not want to put on a dimmer or high-efficacy switch.”
Local Contractors Say New Regulations Will Drive Up Construction Costs
Local construction businesses in the area have said that the new regulations are going to increase building costs at a time when the region is struggling due to a lack of affordable housing options. Some contractors have said that the requirement for upgraded electrical switches alone will change the price of a $2 switch to around $20 per switch. They have also said that other requirements that have to do with thicker insulation will also be costly.
According to the owner of Smith-Woodland Inc., Jeff Smith, the new regulations will drive the cost of a new home up by around $30,000. He also said that the new insulation requirements will cause a significant cost increase for builders.
“We will have to put R-49 insulation in the roof and we are at R-38 now,” Smith said. “You also have to have more insulation in the walls than the R-19 that is required now. When you start adding more insulation, you have to do a different truss design and it changes a lot of stuff.”
According to the owner of Andersen Enterprises, Inc. Carl Andersen, people will also have to pay more to remodel their homes as well as purchasing a new one. “There is going to be additional testing required and there’s going to be different engineering required,” Andersen explained. “It is going to slow down the process of building anything and then cost more. So the end result is, it is going to make houses even less affordable than they already are.”
He said that those wishing to add onto or remodel their homes will also see a drastic cost increase. “Let’s just say you are going to do an addition on your house, your addition is going to have to meet this new code,” Andersen said. “If the addition is a certain size or bigger, then parts of your original house are also going to meet certain parts of this code.”
“Let’s just say you are going to do an addition on your house, your additions is going to have to meet this new code,” Andersen said. “If the addition is a certain size or bigger, then parts of your original house are also going to meet certain parts of this code.”
He said that another change in the code requires a blower door test after the house is built with the new codes. “The blower door test sucks the air out of the house and you’re only allowed so many air changes per hour,” Andersen stated. “And if it fails the test, you’re supposed to figure out where it failed the test and fix it. And that’s not going to be easy once a house is finished.”
He did say that some of the changes did not go into effect on July 1. Some of the changes to the code will be implemented six months to a year down the road.
But he also said that permit fees will also be going up in the future. Being a member of the county’s Board of Review, he has tried to get Teller County to not raise the permit fees as drastically.
Overall, people buying new homes or looking to add on or remodel in the Pikes Peak Region should do their research and be prepared for elevated costs compared to what they would have been before July 1, 2023.
Builders (Prime Contractors) should: 1) work with their subcontractors to make sure they have the right skill levels and training to meet the new requirements. 2) Enter into long term pricing agreements for materials or require subcontractors to do the same. 3) Pass through the increased costs of materials without a markup. The same for subcontractors. 4) Hire a QC specialist. He’ll save you a lot of money in the long run. 5) Introduce an inflation reduction program to the subcontractors of the life of a long-term pricing agreement.