i house

i house
The Pennsylvania Senate yesterday approved legislation that would whack more than $1 billion off Gov. Rendell's proposed budget, reject tax increases, and impose cuts across a wide swath of education, health care, and social services programs.

The $27.3 billion plan - which passed the Republican-controlled chamber on a 30-20 party-line vote - is nearly 6 percent less than that proposed by Rendell in February and would use $2.7 billion in federal stimulus funds to help compensate for some of the cuts. The bill now goes to the Democrat-controlled state House, where it faces near-certain defeat. The deadline for passing the budget is July 1, when the new fiscal year begins.

Leaders in the Senate said during the four-hour debate that in the face of a projected $3 billion budget deficit this year, the reductions were necessary to balance next year's budget and prevent tax increases.

"Circumstances call for a budget like this," said Sen. Jake Corman (R., Centre), chairman of the Appropriations Committee. "This budget is a reflection of what we have to spend."

Democrats countered that the GOP spending plan contains draconian cuts that would jeopardize federal funds for health care and education, and harm hospitals, schools, the elderly, children, and the working poor.

Sen. Daylin Leach (D., Montgomery) said the plan reneged on the "moral obligation" of government to help those in need, and predicted higher local property taxes would be inevitable to cover gaps in education funding.

With Rendell, a Democrat, seeking limited tax increases, the Republicans' line-in-the-sand, no-tax spending plan adds to the usually tense budget negotiations. Some Republicans who voted for the bill called it imperfect and a step in the budget process, while one Democrat, Sen. Jim Ferlo of Allegheny County, criticized it as a "pandering political placebo" designed to appeal to the GOP conservative base.

The Senate shot down Rendell's plan to tap the state's $753 million Rainy Day Fund and rejected Rendell's proposal to impose a 10-cent-per-pack increase in the cigarette tax and new levies on smokeless tobacco and natural-gas reserves.

Rendell - who has reduced by $250 million his $28.9 billion spending proposal presented in February - has argued the taxes would help stave off the kinds of cuts the Senate Republicans proposed. He said he would take a look at each line item and see which cuts might be "fair" to consider in budget negotiations.

clayton homes

clayton homes

In a world where "going green" has taken on increasing importance, Clayton Homes has designed a house that's at least 30 percent more energy- efficient than a traditional home.

The new, eco-friendly Clayton "i-house" was scheduled to launch nationally today at the Berkshire- Hathaway shareholders meeting in Omaha, Neb.

Clayton, a Knoxville, Tenn.-based maker of manufactured and modular homes, is a Berkshire-Hathaway company.

The i-house is Energy Star rated, which means it's at least 30 percent more energy-efficient according to the Environmental Protection Agency.

Crafted with a contemporary design, the home features solar panels, a rainwater catchment system, high-end "low e" windows, a tankless water heater, low-flow faucets, easily renewable bamboo flooring and a host of other energy-saving features.

Kevin Clayton, the company's chief executive officer, said the i-house "will change the way people look at our products - and housing in general."

"We build these homes in a controlled environment away from the weather, so there's a huge quality benefit simply because of how we build a home," he said in a statement.

"We also have far less scrap in our building process than a traditional home, so there are tremendous cost savings we pass along to the homebuyer."

Clayton Homes says the i-house's energy costs are less than $70 a month, but that figure drops to less than $1 a day when the optional solar panel system is installed.

Steve Johnson, director of the Southland region for Metrostudy, a real estate information and consulting firm, said builders are trending toward more energy-efficient homes.

"The industry is embracing energy changes throughout all of its products," he said.

"And California has been a leader in energy efficiency in regard to construction challenges."

Johnson noted, however, that consumers are only willing to go so far when it comes to

(Courtesy Photo)

purchasing a home with energy retrofits that boost the price.

"It's a big challenge to bring in affordability at the same time," he said.

"Frequently, it costs more to provide the features that provide extra energy efficiency. But if buyers can believe in and see the savings that will be returned to them, they will be more willing to embrace it."

Tangible upgrades, such as rooftop photovoltaic solar panels, are more apt to sway a buyer than upgrades like a tankless water heater or low-flow faucets, Johnson said.

Chris Nicely, Clayton Homes' vice president of marketing, said the company can tweak its products to better meet homebuyers' needs.

"Because of that difference in homebuyer demand as to the level of green or energy efficiency they want to bring their home to, we've made our housing products upgradable," he said.

"The core product comes with the Energy Star standard. And if they want to take it to the next level, they can add bamboo flooring, solar panels and eventually the whole package."

The i-house is expected to be a popular primary residence, but it's also drawing strong interest from people seeking a second residence or vacation home - because of its affordability, unique design and energy efficiency. The federal $8,000 first-time homebuyer's tax credit is expected to attract many first- time homebuyers.

Clayton has built 1.5 million homes since 1934. The homes are produced in 35 climate-controlled facilities throughout the United States.