Memberships are in decline at a number of Spokane-area trade associations that offer resources to professionals who work in the construction and real estate industries.
Enrollment figures this year range between 5 percent and 20 percent lower than last year at those associations, including the Spokane Home Builders Association, the Spokane Association of Realtors, and the Inland Northwest chapter of the Associated General Contractors of America, based in Spokane.
Leaders of those associations blame decreases in membership on the slow economy, which has caused some construction-related businesses to close in recent years and has forced others to cut back on expenses, including annual association membership fees.
In contrast to the declines that those three local industry associations are seeing, the Spokane Valley-based Inland Pacific chapter of Associated Builders & Contractors Inc. has experienced a 5 percent increase in its membership so far this year, says the chapter's President and CEO Kate McCaslin.
That increase, however, occurred after the chapter lost 33 members at the end of last year. Since then, the organization has built up its membership roster to a total of 263 businesses, compared with 216 at the end of 2010. McCaslin says the association's roster now is the biggest it's ever been.
The local chapter of the Associated Builders & Contractors represents both union and non-union businesses in the commercial and industrial construction sectors, she says.
Fees for a general contractor to be a member of the association range between $915 and $7,490 a year, and are determined based on the size and annual revenue of the business, she says. Fees for an associate member, or a business that provides services or supplies to a builder or contractor, are about $650 a year, she adds.
McCaslin asserts that the value of the services the association provides to its memberssuch as workers' compensation programs, health insurance, and legal services, among othersis the main reason it has been able to recover from the lost membership it experienced late last year.
On the flip side, the Spokane Home Builders Association, which offers to its members a number of similar services, has seen its enrollment drop between 15 percent and 20 percent over the last year, says Joel White, its executive officer.
"We may see some further decline, but I think the membership is starting to stabilize now," White says. "We tail the industry ... as the downturn began, people tried to stay with us."
White says the Spokane Home Builders Association had about 1,050 members at this time last year, but now is down to around 800 members. At the organization's membership peak right before the housing market crash of 2008, it had about 1,200 members, he says.
The annual membership fee for the Spokane Home Builders Association currently is $495 for members who live and work in Spokane County, White says. Those fees are slightly lower$420 a yearfor members who live in Grant, Whitman, Ferry, Stevens, or Pend Oreille counties, he says.
Membership is open to businesses that offer services related to housing construction, including general contractors, subcontractors, and a variety of other businesses that play a role in the housing industry, such as attorneys or financial institutions.
"We have always worked hard to retain members, and are putting additional efforts to that," White says. "We have worked on different arrangements with businesses that are struggling with cash flow, such as providing different fee schedules and payment options."
Those payment plans could include breaking up the organization's membership fee into three parts or allowing members to pay on a monthly basis, White says.
Membership numbers also are down this year at the Spokane Association of Realtors, says Rob Higgins, the organization's executive vice president.
"That is to be expected; the real estate industry runs in business cycles, and we experience ups and downs as far as membership," Higgins says. "This time it's different than anything we have experienced, and the downward movement is more sustained than at other times."
Higgins estimates the association currently has about 1,450 members, whereas at this time last year, it had around 1,650. Its membership peaked at about 2,200 in 2007, he says.
"There's not enough business out there to keep membership at higher levels," he says.
Higgins says the association is making an effort to keep its membership costs to a minimum and adds that member dues for the local chapter are at the same amount as they were more than 20 years ago. A percentage of those fees also go to pay the association's state and national dues, and Higgins says that amount has been trending upward in recent years.
Members of the Spokane Association of Realtors receive access to a number of services, including use of the Spokane Multiple Listing Service. In addition, the association provides its members with a code of ethics, standards of practice, and keeps them updated on changes to legal issues that affect the real estate market, among other matters, Higgins says.
The association currently is celebrating its 100th year in Spokane, he adds.
The Inland Northwest Chapter of the Associated General Contractors of America so far this year has seen its membership decline by about 5 percent, says Cheryl Stewart, the assistant executive director of the chapter.
"We have lost more members than we usually lose, and the reason we hear is that they can't afford the dues anymore, but we also have had several companies go out of business," Stewart says. "We also haven't seen the membership growth that we usually get."
She says that in a typical year, the organization will sign between 20 and 25 new members, but this year it's signed about half as many new members as projected, not including membership renewals.
The organization currently has about 275 members, and this is the second consecutive year it has seen a drop in enrollment, Stewart adds.
She says she expects the chapter to take another hit to its roster next year.
"We have been reviewing our services and looking at what is necessary and what isn't," she says. "We have been around for 90 years and we know that construction is cyclical and are prepared. We are always looking for new ways to bring in new members, but it's tough."
She says that the organization hasn't ramped up its marketing efforts to attract businesses to join, but more so is focusing on retaining the members it currently has.
Costs to join the Inland Northwest Associated General Contractors chapter here vary based on the size and revenue of a business, and there are three membership categoriesgeneral contractors, subcontractors, and associates. The latter are businesses that aren't involved in construction but play a role in the building process.
The Spokane-based Inland Northwest chapter's territory extends between Moses Lake in the west and the Washington-Idaho state line in the east, Stewart says. Construction-related businesses that are based in Idaho but work on jobs in Washington state also can be members of the association, she says.