Alabama Builders Achieve Codes Victory
The Home Builders Association of Alabama (HBAA) supported Senate Bill 40, which will prohibit the adoption or enforcement of specific building codes requiring the installation of certain latent, non-operable features in a residential structure. The bill was recently signed into law.
“Why should a new home buyer be asked to install a feature in their home that they may never use?” said Jason Reid, HBAA vice president of external affairs. “This serves only to drive up costs and reduce affordability.”
The leadership at HBAA identified several trends driving up housing costs due to the installation of latent features. Examples of latent features identified by HBAA include:
- Supplying a 220 circuit behind a gas stove, water heater or furnace in case a future owner wants to install an electric stove, heater or furnace;
- Installing additional framing to support solar panels if a future home owner wants to add a solar panels; and
- Installing electrical wiring in a new home if a future buyer wants an electric vehicle charging station, even if the initial buyer does not request one.
The HBAA estimated that by complying with latent features, the mandate would translate into adding to the cost of a newly constructed home. In discussions with lawmakers, HBAA members emphasized the importance of consumer choice over government mandates.
Another key point members shared with lawmakers was that latent features do not add immediate value to the home buyer and reduce new homes' affordability.
To ensure that the structural aspects of the code were not affected, the HBAA accepted a friendly amendment from the Alabama League of Municipalities to clarify that the life safety intent of the code remained.
“Builders face the challenges of providing affordable housing every day,” said Reid. “Supporting consumer choice over government mandates is a cornerstone to pushing back against the barriers to affordable housing.”
Latest from NAHBNow
NAHB Chairman Bill Owens issued the following statement after Senators Mike Lee (R-UT), Shelley Moore Capito (R-WV), Martin Heinrich (D-NM), and Sheldon Whitehouse (D-RI) released the Bipartisan American Affordability and Jobs Act.
In his bi-weekly newsletter, Eye On the Economy, NAHB Chief Economist Dr. Robert Dietz summarized several notable headwinds for housing, and offered his insights on what those data points will mean for the industry in 2027.
Latest Economic News
Private residential construction spending rose in August 2026 following a series of declines during the second quarter of the year. According to the latest construction spending data from the U.S. Census Bureau, private residential construction spending came in at a seasonally adjusted annual rate (SAAR) of $882.3 billion in August, up 1.1% from July but down 4.8% from a year ago.
Artificial intelligence (AI) is rapidly changing how work gets done, but its impact varies considerably across occupations. For most construction occupations, near-term exposure to AI remains relatively low.
Real gross domestic product (GDP) increased in 44 states and the District of Columbia in the second quarter of 2026, according to the latest estimates from the U.S. Bureau of Economic Analysis (BEA).