1099-expansion rule moves closer to repeal
The U.S. House of Representatives voted 314 to 112 on March 3 to repeal Form 1099 reporting requirements that would create a mountain of paperwork for small businesses. The requirement, passed last year as part of the healthcare bill and scheduled to start in 2012, would require businesses to file an IRS Form 1099 for each vendor they purchase $600 in goods or services from in any given tax year.
The House repeal, called the Small Business Paperwork Mandate Elimination Act of 2011 (H.R. 4), would strike all new expanded IRS Form 1099 reporting requirements for small businesses and owners of rental real estate. The measure would make up for lost Treasury revenues by reducing any overpayments in health insurance exchange subsidies established under the new health care law.
Market Recap: RISI Crow’s Construction Materials Cost Index
A price index of lumber and panels used in actual construction for March 4, 2011
*Western – regional species perimeter foundation; Southern – regional species slab construction.
Crow’s Market Recap — A condensed recap of the market conditions for the major North American softwood lumber and panel products as reported in Crow’s Weekly Market Report.
LUMBER: A greater presence by China within the SPF market at midweek influenced a few prices by firming them and prompting quote hikes by Thursday. In response to more limited demand, the rate of price increases for Southern Pine dimension lumber subsided. Retailers purchased moderate volumes, while treaters purchased less often. Dry Doug Fir and coastal Hem-Fir pricing was mostly flat, with some upward moves showing up in 2×4 through 2×8 #2&Btr. Struggles to move off what little green Doug Fir volumes were available forced lower prices early, but buyers showed more interest by Thursday. Improving weather is combining with good offshore activity to keep Inland species lumber prices firm and operating on a gradually upward trend line. Prices do continue to operate in narrow spectrums, with demand insufficient to drive numbers firmly higher. Ponderosa Pine Mldg&Btr has pushed upward and Shop remains tight in all #2&Btr items, adding another $5 to its previous level. Improved weather in the East, combined with limited production levels in all producing areas, has kept most 4/4 boards either stable or moving up. Sugar Pine is extremely scarce, and a spread has developed between it and Ponderosa. Radiata Pine Mldg&Btr has begun to show a surging upward movement, both 5/4 and 6/4 pushing up sharply. Eastern White Pine is beginning to show the increased inquiries that accompany improved weather. No hint of additional demand for Western Red Cedar in the field telegraphed back to mills. Yards often awaited more sales to downstream customers before returning to the market to fill needs.
PANELS: Western Fir plywood producers continued to look for buyers by dangling discounted prices. Greater CDX volumes were sold in the latter half of the week, firming those prices. A dormant beginning budded on Wednesday and bloomed Thursday after Southern Pine plywood producers lowered rated sheathing prices both to see if there was any interest and in response to scant order files. The situation in OSB is best described as being "spot markets" across the continent. All markets show some weakness, but some "spots" reveal real producer needs and strong discounting. Canadian plywood mills continue to stand pat on the baseline mark of C$304 for 9.5 mm CSP delivered into Toronto, but discounts off that mark have been easily found, as well as some sales above that level. Particleboard and MDF price changes have been non-existent in both the South and West, as both producers and their customers adjust to the major changes that have recently taken place.
Source: RISI’s Crow’s Weekly Market Report
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New chief at Home Depot Canada
The Home Depot announced that Bill Lennie has been named president, The Home Depot Canada, effective immediately. Lennie will replace Aaron Carmack, who is taking an extended leave of absence to attend to a personal illness.
"We are fortunate to have an executive with Bill’s experience and leadership abilities who can quickly step into this critical role," said Frank Blake, chairman and CEO. "We wish Aaron the best and look forward to his return."
Carmack will assume a different leadership role within the organization when he returns.
Lennie most recently served as the company’s senior VP merchandising, international and sourcing for The Home Depot. In this role he was responsible for proprietary brands, environmental innovation and providing strategic direction on products and pricing to the company’s international operations, including Canada.
His career at The Home Depot began in 1992, when he joined as a merchant for Millwork and Building Materials. Bill took on increasing responsibilities and was promoted to senior VP decor in 2002. He left the company in 2006, but returned in 2009 from Dick’s Sporting Goods, where he was senior VP merchandising, hardlines.