Governor Abbott Launches Texas Jobs Council

Norman to Help Workforce Development Initiatives

Scott Norman, CEO of the Texas Association of Builders, has been invited by Governor Greg Abbott to serve on a new advisory council called the Texas Jobs Council to strengthen the state’s workforce development initiatives (see the news release below).The Council will focus on recommendations to increase efficiency and effectiveness of our workforce system, identifying immediate administrative improvements as well as policy and legislative recommendations for lawmakers to consider in the 90th Texas Legislature.

The Texas Jobs Council will have four work groups, focused on 1) apprenticeships and on-the-job training, 2) workforce pipelines and CTE pathways in high schools, 3) aligning higher education with employer workforce needs, and 4) next generation trades and skills. TAB’s Workforce Development Committee will work to offer advice and recommendations to the Texas Jobs Council over the next several months.

Governor Greg Abbott today launched the Texas Jobs Council, a new advisory board to strengthen Texas' workforce development initiatives and ensure Texans are prepared to fill the state's growing number of high-demand jobs, following the Council's inaugural meeting at the Governor's Mansion.

"Texas right now is the hottest state in America for business and labor opportunities," said Governor Abbott. "For us to maintain our dominance, business and labor are working together to meet the high demand for high skilled labor, positions like electricians, pipe fitters, welders, plumbers, truckers, and a whole lot more. Today, we galvanized that partnership with the launch of the Texas Jobs Council. We are unified on a mission that benefits all Texans. A mission that will keep Texas number one for business, keep Texas number one for jobs, and keep Texas number one for workforce training, ensuring great careers for generations of Texans."

The Governor was joined by Plumbers Local Union 68 Business Manager Wayne Lord, Texas Association of Business Interim President Megan Mauro, Texas Workforce Commission Chairman Joe Esparza, and other business and labor leaders.

Governor Abbott appointed the following members to the Council:

• Co-Chair, Brent Taylor, VP South Teamsters Local 745 & Teamsters Joint Council 80

• Co-Chair, Megan Mauro,Interim President Texas Association of Business

• Tony Bennett, President Texas Association of Manufacturers

• Todd Staples, President Texas Oil

• Hector Rivero, President Texas Chemistry Council

• Scott Norman, CEO of Texas Association of Builders

• Robert Mele, President Teamsters Local 988

• Robert Wayne, Lord Business Manager Plumbers Local Union 68

• Alan Robb, Assistant General International Longshoremen’s Assoc.

• Lacy Wolf, Local 22 President Heat and Frost Insulators Local Union 22

• Mark Maher Jr., Business Manager International Union of Operating Engineers 450

• Bryan Edwards, Business Manager Pipefitters Local Union 211

The Council will focus on:

• Executive actions that can be implemented immediately by state agencies to reduce regulatory burdens and red tape surrounding work force development

• Policy and legislative recommendations to be presented to the Governor and Legislature ahead of the 90th Legislative Session

The Council will deliver a final report in November 2026 outlining recommended executive actions and legislative proposals to strengthen Texas’ workforce development system.

PRESIDENT'S MESSAGE

Balancing Cost, Design, Value in Today’s Market

by Lydia Mlouhi

Across much of the country, the housing market has clearly shifted. After years of rapid appreciation, price growth has slowed materially, and in many markets prices are now flat or even declining. While affordability has shown modest improvement compared to recent years, housing remains unaffordable for many buyers nationwide. At the same time, inventory is rising in several regions and buyers are becoming more cautious and selective in their decisions.

A recent BiggerPockets housing update described this environment as the “great stall,” and that is a useful way to think about today’s market. We are not seeing a dramatic correction, but we are seeing a slower, more deliberate market. Buyers are more payment-sensitive and more focused on value. Many are taking their time, comparing options, and prioritizing homes that offer both functionality and long-term livability.

For builders, this shift requires a more intentional approach. We must balance cost, design, and value more carefully than we have in recent years. This does not mean sacrificing quality or design. It means being thoughtful about where value is created.

In practice, thoughtful building starts with efficient design. Simplifying floorplans, minimizing wasted space, and focusing on layouts that enhance everyday living can reduce costs while improving functionality. It also means being strategic with materials and finishes—investing in the features buyers notice and use most, such as kitchens, primary suites, and outdoor living spaces, while avoiding unnecessary upgrades that do not add meaningful value. Smaller, well-designed homes with flexible spaces, multigenerational options, and energy-efficient features are resonating strongly with today’s buyers.

An important part of this approach is designing homes with a more timeless aesthetic. Homes that are heavily designed around a very specific or short-term trend can quickly feel dated, which can impact long-term value and buyer appeal. By focusing on clean lines, balanced proportions, and versatile finishes, builders can create homes that feel current today while remaining relevant for years to come. This shift toward timeless design naturally supports a more practical and value-driven approach to building.

It also requires discipline in budgeting and construction. Careful plan development, early coordination with trades, and value engineering during the design phase can help avoid costly changes later in the process. In today’s market, controlling costs is just as important as creating great design.

The good news is that this type of market creates opportunity. As conditions become more balanced, builders who are thoughtful, disciplined, and customer-focused will stand out. By delivering homes that are well-designed, appropriately priced, and clearly valuable to the buyer, we can continue to meet demand and strengthen our industry.

While this market may require more precision, it also reinforces what we do best. When we focus on quality, efficiency, and the needs of our buyers, we are not just building homes—we are building long-term value for our clients and our community.

EXECUTIVE MESSAGE

Embracing change becomes business as usual at EPAB

By Ray Adauto - Executive Vice President, EPAB

Change is not always an easy thing, especially in the world of business. As an association change is constant, sometimes expected, often not. Our association has been in service since 1946, eighty years of keeping up with change so it really is nothing new. Every now and then we experience a new change and find ways to work through it.

In the past few weeks, the association has once again overcome unexpected changes, this time to our Executive Board. It is comprised of a President, Vice President, Associates Vice President, Secretary and Immediate Past President along with ex officio Executive Vice President. It is not an easy group to commit to with time and money, and sometimes things just happen. Such was the case with our former Vice President who abruptly resigned.

Because this has happened before for a variety of reasons, we have had the good fortune to have members ready and willing to serve. In this case a Past President, Edgar Garcia from Bella Vista, offered to step in. We also had other members willing to place their names into the mix. I want to congratulate Edgar on the vote of confidence he received from the Board and Past Presidents who voted him in. Edgar will assume the VP role this year and then ascend to the 2027 Presidency as proposed. Secretary Anthony Murillo will follow the ladder process for 2028.

The Executive Board also took note of my current situation and personal wishes for the near future. I believe, as did the majority of the Board, that they acted wisely in selecting Edgar, whose experience will allow the transition to be business centric and positive. Welcome Edgar to his new role. We have got a lot of work to do.

ON THE HOME FRONT

How the Iran war could crush the U.S. housing recovery, not just about mortgage rates

By Diane Olick, CNBC

The immediate impact of the war with Iranon the U.S. housing market has been a sharp rise in mortgage rates. One day before the strikes began, the average rate on the 30-year fixed loan was 5.99%, according to Mortgage News Daily. It is now hovering around 6.5%.

Higher rates have curtailed what was expected to be an improvement in affordability. Not only were mortgage rates falling before the war, but home price gains were shrinking and the supply of houses for sale was rising. All of those favored buyers, who had been up against a tight and pricey market.

As interest rates rose last week, applications for a mortgage to buy a home dropped 5% from the previous week, according to the Mortgage Bankers Association. But it’s not just mortgage rates.Zillow had forecast a 4.3% gain in sales of existing homes this year, compared with last year.

“While that of course would not be a strong market, it would represent a market that had turned a corner, with 2026 acting as a ‘reset’ year,” wrote Mischa Fisher, Zillow’s chief economist, in a report Tuesday. “However, new uncertainty has emerged via energy prices and inflation concerns, adding fresh complexity to our outlook.”

Fisher used the increase in mortgage rates, due to increased concerns over inflation and the “potential for a slight uptick in the unemployment rate given reduced consumer spending power resulting from higher prices.”

CNBC’s Property Play with Diana Olick covers new and evolving opportunities for the real estate investor, delivered weekly to your inbox.

Modeling those, he forecast that if the current scenario only lasted through the end of April, home sales would still rise 3.48% this year compared with last year. If it ended July 1, sales that gain would drop to 2.33%. If it ended Sept. 1, the gain would be 1.21%. Finally, if mortgage rates stayed 50 basis points higher than their original path and unemployment also rose by 20 bps for the rest of 2026, Fisher forecasts a decline of 0.73%.

The effects, however, are already hitting the new construction market. After reporting disappointing quarterly earnings Tuesday, KB Home lowered its full-year forecast.

“Consumers have been faced with a variety of challenges over the past two years, and the conflict in the Middle East that began at the end of February has added another layer of uncertainty,” said KB Home Chairman Jeff Mezger on a call with analysts. “Against this backdrop, and taking into consideration that our net orders in the first quarter were below the level we needed to hold our prior full-year delivery guidance, we are lowering our range for the year.”

Builders now have a very high supply of homes for sale, and inventory on the existing side is rising as well, albeit more in the South and West than in the Northeast and Midwest.

Even before the war began, buyers were canceling contracts at the highest rate since 2017, according to a count by Redfin. Roughly 1 in 7 homes, or 13.7% of homes that went under contract in February, were canceled, up from 12.8% a year earlier. Buyers are suddenly holding the upper hand, with more than 600,000 more sellers than buyers in the market, according to Redfin. That is a near-record gap, although it varies widely market to market.

“As the housing market approaches the ‘best time to sell’ season, it sits in a precarious position, caught between long-term improvements and sudden short-term instability,” wrote Jake Krimmel, senior economist at Realtor.com in a weekly report.

https://www.cnbc.com/2026/03/25/heres-how-the-iran-war-is-already-hitting-the-us-housing-market.html

Best Year for Multifamily Since 2007

Although not a huge jump, 2025 featured the highest construction volume for multifamily missing middle housing starts since 2007. The missing middle construction sector includes development of medium-density housing, such as townhouses, duplexes and other small multifamily properties.
However, the multifamily segment of the missing middle (apartments in 2- to 4-unit properties) has generally disappointed since the Great Recession. This subsector of residential construction continues to underperform relative to its potential, due in part to zoning restrictions.
Over the course of 2025, there were 19,000 2- to 4-unit housing unit construction starts, up 6% compared to 2024 (18,000).
As a share of all multifamily production, 2- to 4-unit development was just 5% of total multifamily development for the fourth quarter. This remains lower than recent historical trends. From 2000 to 2010, such home construction made up a little less than 11% of total multifamily construction.