The Builders Alliance stands in Support of Construction Defect Reform

UPDATE: On Wednesday, February 25 AB 125  Governor Sandoval signed AB 125 into law. This is a huge step forward for construction defect and Chapter 40 in Nevada, and we couldn’t have done it without your help and the support of our legislators. THANK YOU!!!

UPDATE: On Friday, February 20 AB 125 pass the Senate with a 11-8 vote and will be the first major bill of the session to go to the governor. Read more at the Las Vegas Sun.

UPDATE: On Wednesday, February 18 AB 125 passed the Nevada State Senate Committee on Judiciary Wednesday with a 4-3 vote and now moves to the full Senate. Read more at the Nevada Subcontractors Association.

UPDATE: On Tuesday, February 17 AB 125 passed the Assembly with a 25-17 vote and will move forward. Read more at the Las Vegas Review Journal

The Builders Alliance stands in Support of Construction Defect Reform

On Wednesday, February 11 the Chapter 40 reform bill, AB 125, was heard in a joint Assembly and Senate committee.  Builders Alliance Government Affairs Chair Mark Turner, supported by dozens of Nevada Builders Alliance members, was there to get our support on the record; Mark’s testimony:

Good morning, my name is Mark Turner and I have worked in the homebuilding business in Nevada for over 25 years. I am also the chair for the Government Affairs Committee of the Builder’s Alliance here in Nevada which has given me a front row seat on the issue of construction defect law in our State for nearly a decade.  On behalf of the nearly 700 Builder’s Alliance member companies, and the 30,000 people these companies employ across the state of Nevada, I ask you to please support AB125.  This important piece of legislation will improve the housing situation in Nevada by providing strong consumer protections AND expanding the availability of affordable and “first time buyer” housing products for working Nevadans.

If passed, AB 125 will create a system where purchasers of new homes with a legitimate construction issue can get that issue resolved without resorting to the costly and lengthy process of litigation.  Those who oppose AB125 will insist that litigation is the only means of redress for homeowners in a situation where the builder has left Nevada or is no longer in business.  Unfortunately that statement is incorrect, and those individuals are never advised of the relief and recourse that is available to them through the Nevada State Contractors Board’s Residential Recovery Fund.

Nevada’s Chapter 40 is perhaps the most “defective” construction defect law in the entire United States, exceeding even the laws of our neighbors to the West in California.  Its processes are the slowest and most expensive path for homeowners to get relief from REAL construction issues encountered with their new homes.  Chapter 40 has also made liability insurance for smaller and medium sized builders who cannot self-insure needlessly expensive and very difficult to obtain, further compounding the consumer protection issue.

Thanks to the hard work of our citizens and elected officials, we are recreating and rebuilding our Nevada economy and our workforce is expanding rapidly, paving the way for the next generation of homeowners in the Silver State.  Unfortunately, these potential new homeowners are left with few choices and limited options because construction defect litigation in Nevada has made it very difficult to obtain the liability insurance that is necessary to finance the construction of new condos, town-homes, and other affordable housing products we need for our growing workforce.  A strong supply of affordable housing products will be a key factor in the ongoing efforts to attract new business and industry to the state of Nevada.

The Builders Alliance stands united with ALL of the construction industry representatives in the State of Nevada in urging your support of AB 125.  We thank you for the opportunity to speak today and look forward to a bright future for our great State.

Thank you to everyone that attended the hearing in Carson and Las Vegas.  It’s now more than ever that we need your help to move AB 125 forward to protect Nevada homeowners.


Urge our legislators to pass AB 125.
We can’t do it without you. Thank you…

Aaron West – CEO

The Builders Alliance