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Industry Innovation and Regulatory Uncertainty

The FGIA Annual Conference took place in Orlando, Florida, Feb. 17-20. The conference theme of “Ignite Innovation” rang strong through the entire event from the keynote address to general sessions to breakout working task groups.

Take action on AI, and work to develop your people

The first day of the conference was packed with insights on driving personal, company and industry growth. In one word, it was focused on Action.

Ray Garries led the Ignite Innovation Panel Discussion, featuring David Cooper (Vacuum Glass LLC), Anthony Pigliacampo (Joseph Machine Co.), and Christopher Giovannielli (Kawneer). Garries says that AI and human creativity are the "perfect pair." His challenge to the industry? "Dig into it. Don't ignore it. The more you know now, the better you'll be in the future."

Ryan Hawk delivered the keynote, Becoming a Learning Leader, that inspired attendees to reflect on “Who is your who?” He highlighted the importance of:

  • Those ahead of you (mentors & role models)
  • Those beside you (peers who walk beside you in a judgment-free zone)
  • Those behind you (people you can mentor)

Hawk also challenged people to take ownership of situations and add value to the lives of people around you. “What am I doing to add value to their lives and make their lives better?” he asks.

Hawk’s final challenge: Be intentional about the energy you bring to each day.

Vinyl recycling and vinyl chloride regulation

Ned Monroe, President & CEO of The Vinyl Institute, shared key updates on sustainability efforts and regulatory challenges shaping the future of vinyl, an industry that only continues to grow. The U.S. and Canada produced 15.7 billion pounds of resin in 2022, a 2% increase over 2021 levels.

A full 75% of PVC goes into construction, the majority of which is in rigid pipe and tubing. The window and door industry accounts for about 7%.

The vinyl industry is working to recycle 160 million pounds of post-consumer vinyl but is currently 18 million pounds short. To close the gap, the Vinyl Institute is awarding $3 million in grants to strengthen PVC recycling infrastructure. FGIA's Vinyl Material Council is applying to be awarded $168,000 in funding for recycling post-consumer vinyl windows. Leaders in the Vinyl Recycling Task Group prompted companies to send letters of support indicating investment in the grant and that the funds will be used well if awarded. Additional language is being added to AAMA 109 and AAMA 303 regarding accepting post-consumer vinyl recycled material.

On the regulatory side, vinyl chloride was recently designated as a high-priority substance under the Toxic Substances Control Act (TSCA), triggering a multi-year evaluation process. Monroe emphasized the importance of industry engagement—urging companies to submit comments to the EPA about product safety, economic impact, and the industry’s existing regulations.

Challenges to building commercial high-performing facades

In “Barriers to Widespread Adoption of High-Performance Facades,” Helen Sanders, general manager, Technoform North America, argued that if we want to decarbonize the grid we must reduce electric loads in buildings. She noted residential buildings fare better than commercial buildings with creating efficient envelopes because of the above-code Energy Star program and tax credit incentives.

She outlined several barriers to commercial buildings adopting high-performance facades:  

  • There's nothing in commercial to define what high performance is, so nothing to tie incentives to.
  • Using higher-performing systems can result in significant cost increases
  • There's insufficient ROI on first cost increase
  • Perceived risk drives designers to choose the status quo
  • Project delivery methods drive low-cost solutions, and the status quo
  • Project design is HVAC driven, not facade-driven
  • Code compliance is lax in commercial building
  • There's insufficient capacity/resources to design better facades
  • It’s harder to retrofit a façade than it is to “do it right” the first time

Working with the Façade Tectonics Institute, Sanders introduced 10 concepts to tackle these barriers, including developing an above-code certification program, making high-performance windows a “must have” for building owners, increasing façade knowledge and education across the full value chain, creating façade-focused incentive programs and more.

Watching out for employee safety

Todd Benedict, senior environmental, health, safety and security manager at PGT Innovations gave tips for how to safely handle hurricane-resistant products. Common hazards in manufacturing include lacerations, musculoskeletal injuries and chemical exposure. Benedict ranks manual handling and ergonomics as the top safety concerns in manufacturing.

Important though personal protective equipment is, Benedict also notes protective coatings can make handling glass more slippery. With heavy products, he recommends using carts on a track system.

Key components of a safety program can include:

  • Proper training
  • Clear expectations around safety with accountability
  • Stretching program for employees
  • Identifying the correct PPE
  • Work rotation and work hardening
  • Proactive/preventative injury measures
  • Reduce/eliminate manual material movement
  • Continuous improvement

Regulation, legislation, codes and standards

One clear theme at the FGIA Annual Conference: The rapid pace of regulatory and legislative change. During the legislative and regulatory update, Kathy Krafka Harkema noted, "We have never seen such a rapid pace of change when it comes to regulations and legislation." The Vinyl Institute’s Monroe called this the "craziest presidential transition I can ever remember in my 30 years in Washington." Many companies are in 'wait and see' mode for what might be coming down the pipeline with tariffs, legislation, regulation and more.

The federal government is actively working to reduce its size and expenses, offering resignation packages and limiting hiring to one new employee for every four cut. A newly proposed Department of Government Efficiency (DOGE) aims to streamline operations and cut costs.

Tax changes are on the horizon, with key provisions from the 2017 tax reform expiring in 2025, including the 100% capital equipment expensing rule. The National Association of Manufacturers - NAM is pushing for a complete repeal of the estate tax and the restoration of full R&D expensing for manufacturers.

Trade policies remain uncertain. USMCA is undergoing early review. President Donald Trump is implementing a 25% additional tariff on imports from Canada and Mexico and a 10% additional tariff on imports from China. Energy resources from Canada will have a lower 10% tariff.

An executive order now requires eliminating 10 regulations for every new one proposed. "We can expect fewer new regulations as an industry and some existing regulations to go away," says Kathy. "Prepare for more rapid change."

States also move forward on energy codes. Harkema notes there is more interest in saving energy and adopting later versions of energy conservation codes, some of which is fueled by incentives. Colorado, for example, has no state-wide building code but counties increasingly adopt IECC and the state also is contemplating an Energy Star law. Illinois statewide codes have taken effect. Oklahoma, meanwhile, is advancing from the 2018 to the 2024 I-Codes.