NEWS

Dear HEP Sales, North Main Lumber and Bright Ideas Associates and Customers;

The building materials industry is one of many hard hit industries, and it appears that our elected representatives have a chance to significantly help our industry. What worked for home builders and car manufacturers is now being proposed for the home improvement industry.

Legislation has very recently been introduced to give a tax credit or deduction to consumers who purchase flooring, paint, cabinets and most other home interior upgrades. The bill is co-sponsored by Congressmen Henry Johnson (D-GA) and Nathan Deal (R-GA), and is known as the Home Improvement Revitalize the Economy (HIRE) Act of 2009. You can read a summary or the full text of the Act here http://www.govtrack.us/congress/bill.xpd?bill=h111-3382

In a nutshell, the act would provide for a tax deduction of up to $2,000 per family, or a tax credit of $500 for purchases of certain building materials. The proposed tax deduction doubles (up to $4,000) for purchasing items that meet recognized environmental standards (ESP, LEED, NAHB, etc.). Retailers, contractors and building product resellers can receive up to $10,000 for covered purchases.

This bill would help everyone in our industry - manufacturing, retail, design, suppliers and contractors. The costs would be more than offset by increased economic activity and saved jobs. The incentive would cease on December 31, 2011. This definitely is a pump-priming effort of limited duration and near immediate payback.

We are asking any of you who are willing, to please contact your representatives, voicing your support for this important bill. Housing and home improvement have traditionally been king pins in leading the country out of recession, so the positive impact this legislation can have will benefit not only our industry, but the country as a whole. If you're not sure how to contact your legislators, contact information is available at http://www.visi.com/juan/congress/

To make it easy for you, we have put a sample letter below. You can simply copy and paste the text into your word processor, an email, or to use in your congressman’s contact website forms.

Thank you for your help!

John Krueger
President, HEP Sales

John Wilson
Vice President, HEP Sales

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SAMPLE LETTER TEXT FOLLOWS:

{Date}

Dear {Congressman(woman)},

I am writing to express my support for the Home Improvements Revitalize the Economy (HIRE) Act of 2009, to provide tax credits and deductions to stimulate the purchase of kitchen and bath cabinetry, and other remodeling and home furnishing improvements.

I am directly involved in the building supply industry. Our business and I personally have felt the affects of the current economic climate through a major decline in sales, cutbacks in hours or layoffs for staff members, and significantly lower profits.

By supporting the bill being sponsored by Congressman Henry Johnson (D-GA) and Nathan Deal (R-GA), you will help stimulate the manufacturing market for home furnishings and buildings products, save retail jobs, generate billions in revenue through increased business profits/ taxes and increase home values at the time when everyday Americans—like me—need help the most. By creating this tax deduction incentive for consumers, who would otherwise forgo spending in 2009 and 2010, it will jump start sales and spending. Also as presented, the bill will encourage environmentally sound practices by doubling the benefits for the purchase of building products and home furnishings that meet nationally recognized environmental standards.

As this bill works through the House and Senate, please support Mr. Johnson and Mr. Deal in this important legislation.

Sincerely,