The NLBMDA delivers D.C. update at PDIS

Colorado Springs -- The National Lumber & Building Material Dealers Association took the stage at the outset of the ProDealer Industry Summit on Thursday to address the legislative hurdles and prospects currently affecting the lumber industry.

The NLBMDA's Washington Update honed in on a handful of common areas of confusion, including the FLSA's overtime exemption proposal and the classification of independent contractors.

Regulatory Counsel Frank Moore clarified that the motion to change the salary requirements for overtime exemptions is only a proposal at this moment, but dealers should be aware that it's out there, and that the employer bears the burden of establishing the applicability of any exemption from the FLSA's pay requirements.

At the moment, the proposal would more than double the salary threshold: from $455 per week to $970 per week, or $23,660 per year to $50,400 per year. However, president and CEO Jonathan Paine assured attendees that the final number will probably come down.

"Tons of organizations have submitted comments with concerns about the threshold," he said. "It's going to happen, but the question is really 'how much?' It's really a guessing game at this time, but there'll probably be a bit of compromise in there -- it probably won't be that high number they threw out there."

The panel also cleared up some confusion around the classification of independent contractors.

"Just because you say someone's an independent contractor -- that in and of itself isn't going to make it so," said Moore.

Though the Department of Labor has offered up six factors that go into determining an employee's status, the NLBMDA stressed that it's an interpretation of case law that's developed around the issue, and though there's a baseline assumption that workers are employees until proven independent, no one factor will determine their status -- it's a holistic interpretation, and employers should employ the "gut check."

Also addressed was the EPA Lead Rule. VP Legislative and Political Affairs Ben Gann said that the NLBMDA has been active submitting comments on the test kit issue and participating in meetings in D.C.

"We've reached a point where the agency is admitting that the test kits are approved but not accurate -- they dont meet the false positive standard."

Currently, options include using a test kit, using fluorescent X-ray technology (which Gann said is costly), or presuming the presence of lead paint in homes built before 1978.

The panel also provided updates on the U.S./Canada Softwood Lumber Agreement, rules for electronic logging devices, OSHA's frequently cited standards for penalties and a "Race for the White House" briefing.

Of interest to donors to LuDPAC, or the Lumber Dealers Political Action Committee: 94% of the PAC's preferred candidates won in 2014 (that's 23 of 25 House candidates, and 7 of 7 on the Senate side).

Encouragement was offered to ratchet up involvement: by meeting with one's member of Congress, inviting him or her to one's place of business, or asking one's representative to cosponsor the Innocent Sellers Act.

"When all of you start telling a similar story, it's not just hearsay anymore," said Gann. "This is something that's actually happening."