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Posts Tagged ‘Financial Services Committee’

Sunday Morning Recap-Manufactured Housing Industry News Aug. 14-Aug. 21, 2016

August 21st, 2016 Comments off

MHProNews_Sunday morning recap of week's stories postedDailyBusinessNewsMHProNewsWhat’s New in public focused Manufactured HomeLivingNews.com

Tiny Houses Owners face Big Legal Trouble?

What’s New in Manufactured Housing Industry Professional News

Financial Services Committee says Dodd-Frank is damaging. YES! Communities redistributes assets. Private enterprise ready to supply modular buildings to flooded LA. MHI, MHARR spar with DOE, as MHI takes on Section 8 Vouchers. Claims in wake of flooding in LA rise to 70,000. $15 mandated minimum wage would cost 9 million jobs. Canadian city mixes manufactured and site-built homes. FEMA’s manufactured housing units likely going to Louisiana. Entry level housing may be coming back. Clinton and Trump’s economic, tax policies divergent. Georgia town halts siting of MH. Southwest Louisiana city nixes MHC plan. Pray’s Homes in Maine has new owner. Mandate requires MHC owners give 90 days pre-closing notice. And much, much more in news, views, and information from across the globe you may peruse regarding off-site home and building construction.

Saturday, Aug. 20

MHI, MHARR, Leaked documents and DOE proposal, plus MHI on New Section 8 Vouchers

Friday, Aug. 19

Financial Services Committee Slams Dodd-Frank as Damaging

Private Enterprise Responds to Assisting Louisiana Flood Victims

Skyline Leads Manufactured Housing Sector Amidst MHCV and Broader Market Tumble

Hedge Fund Investors Bustling over Equity LifeStyle Properties

Manufactured Home Community Bordering Google Transforming into Tech Town

70,000 Claims for Assistance Filed Following Louisiana Flooding

Thursday, Aug.18

$15 Hour Minimum Wage would Cost Nine Million Jobs Nationally

New Manufactured Home Retailer Opening in Kentucky

Drew, Manufactured Housing CompValue and Dow rises – Is Fed Easing to Infinity?

Inventory of Entry-level Homes may finally be Rising

Canadian City Allows Manufactured Homes in Area Zoned Single-family Residential

Insiders Busy Trading Patrick Industries as it Joins S&P SmallCap 600

Wednesday, Aug. 17

FEMA’s Manufactured Home Units Likely Heading to Louisiana

Home Sales Take a Tumble in California

REITs beat S&P 500 with Promising Forecast for the Year

Northern Georgia Town Votes Moratorium on New Manufactured Home Sitings

Calcasieu Parish Planning Committee Nixes MH Community Development

Clinton v Trump – Presidential Nominees and their Tax, Economic Strategies

Tuesday, Aug. 16

San Jose CA set to Vote on Modular Homes for the Homeless

Home Construction Continues its Slow but Steady Incline

Residents of Oregon Manufactured Home Community Consider Long-term Leases

Manufactured Homes can be as Modern as Traditional Houses, says Realtor on FoxNews

Pray’s Manufactured Homes in Maine has New Owner

Mon. Aug. 15

Stock Exchange Winners and Losers under a Clinton Presidency

Logan’s Crossing Manufactured Home Community Announces Annual Scholarships

Skyline Up, Manufactured Housing CompValue (MHCV) Mirrors Dow

Eight Modular Homes for Low-income Families Rising in Illinois

Manufactured Home Community Owner YES! Redistributes Assets

Ordinance Mandates Community Owners Give Nine Months Notice Before Closing

Sunday Morning Recap-Manufactured Housing Industry News Aug 7-Aug.14, 2016 ##

(Photo credit: MHProNews)

matthew-silver-daily-business-news-mhpronews-comArticle submitted by Matthew J Silver to Daily Business News-MHProNews

House Committee Seeks to Repeal Volcker Rule and CFPB

February 25th, 2016 Comments off

house_financial_services_committee__facebook creditJeb_Hensarling wikipediaAccording to atr.org, Republicans on the House Financial Services Committee have set their sights for 2016 on repealing the Volcker Rule and the perpetually funded Consumer Financial Protection Bureau (CFPB).

The Volcker Rule is named after Paul Volcker, the former Federal Reserve Chairman who was appointed by President Obama to oversee the economic recovery following the housing meltdown in 2008. Volcker said, “for banks to engage in high-risk speculation created an unacceptable level of systemic risk,” and could jeopardize the entire financial system, according to wikipedia.

Republican members of the Financial Services Committee said it reduces the liquidity of fixed income assets, and restricts the amount of capital available in the market. Further, they say the CFPB has too much power for an unelected regulatory body. The agency “has been granted a great deal of power over the financial institutions of the nation. They have the ability to cry foul on any consumer-credit product and then outlaw it completely,” says atr.

Also, the CFPB is not subject to congressional appropriations but instead is under the auspices of the Federal Reserve, and while it has been collecting personal information including credit histories, age and gender of mortgage applicants, the Government Accountability Office (GAO) tells MHProNews the “CFPB lacks written procedures…for a number of processes, including data intake and information security risk assessments.” ##

(Photo credit: wikipediacommons–Rep. Jeb Hensarling, Chairman, House Financial Services Committee)

matthew-silver-daily-business-news-mhpronews-comArticle submitted by Matthew J. Silver to Daily Business News-MHProNews.

Deadline for Comments on HUD Program Rapidly Approaching

October 28th, 2015 Comments off

Jeb_Hensarling   wikipediaIn noting the 50th anniversary of former President Lyndon Johnson’s legislation creating the Department of Housing and Urban Development as a means to provide housing assistance in a growing urban population, Financial Services Committee Chairman Jeb Hensarling (R-TX) has issued a challenge to the public for assistance in solving the problems of poverty and housing affordability.

Saying after spending $1.6 trillion dollars in a variety of programs and initiatives, “Decent housing remains unavailable or unaffordable for far too many today just as it did five decades ago. HUD has failed to solve this persistent problem because it has failed to focus on its underlying cause: the very real human tragedy of generational cycles of poverty that we see in so many communities.

He adds, “HUD has come to symbolize the dashed hopes of the Great Society vision that mistook centralization for coordination and spending for compassion.

Rep. Hensarling is asking consumer advocates, organizations and individual citizens to proffer ideas on how to restructure HUD in an effort to update the delivery of federal housing assistance so that it meets the original intent of its founding, as MHProNews understands.

He offers the following submission requirements:

Submissions to modernize the delivery of federal housing assistance for today’s generation should include specific proposals and recommendations on:

1. Restructuring HUD to maximize its organizational efficiency,

2. Innovative approaches to address housing affordability that respect individual rights and promote individual responsibility,

3. Methods of targeting housing assistance to address generational cycles of poverty,

4. Examples of successful implementation of such proposals at the local, national, or international level (if applicable).

Additional Submission Requirements:

  • All submissions must be sent in a Word document or PDF attachment. The file name must include the name of the organization/individual submitting the recommendations and the date.
  • Submissions must include a cover sheet containing the contact name, organization, phone number, and email address of the organization/individual submitting the recommendations.
  • Submissions will be accepted through Nov. 1, 2015, and may be incorporated into Committee proposals or made public at a later date.
  • If the directions above are not followed, the Committee reserves the right to not include the submission.”

Ideas should be submitted in an email to the following address: transformhousing@mail.house.gov. ##

For a link to MHARR’s impending response to Rep. Hensarling’s invitation, please click here.

(Photo credit: wikipedia–Rep. Jeb Hensarling)

matthew-silver-daily-business-news-mhpronews-comArticle submitted by Matthew J. Silver to Daily Business News-MHProNews.


Rep. Ed Royce Questions HUD Sec. Julian Castro

June 17th, 2015 Comments off

Ed_Royce_CAdashR_Rep__nationalmortgageprofessional__creditFrom a hearing June 11, 2015 from the House Financial Services Committee entitled, “The Future of Housing in America: Oversight of the Department of Housing and Urban Development” at which Rep. Ed Royce (R-CA) questioned HUD Secretary Julian Castro about the need for housing finance reform, and bank lenders leaving the Federal Housing Administration (FHA) program. Both spoke at the National Journal’s forum on housing finance.

As the Texas Manufactured Housing Association (TMHA) related to MHProNews, supplied by the nationalmortgageprofessional, Financial Services Committee Chairman Jeb Hensarling (R-TX) opened the hearing: For whatever good HUD does it clearly has not won the War on Poverty. Only economic growth and equal opportunity can do that. In other words, the greatest housing program in America remains a good career path in a growing economy, not a HUD program.

Rep. Royce said to Sec. Castro: “I wanted to get your take on … an increase in private sector credit risk sharing by the GSEs … the creation of a truly Common Securitization Platform which allows for issuance of mortgage-backed securities other than the GSEs, and the development of a common residential mortgage-backed security by Fannie Mae and Freddie Mac. I thought I would just give you the floor to discuss how this might bring private sector capital back into the market and how we might work together to achieve these goals as kind of a building block.”

Sec. Castro replied: “Housing finance reform has been a long and winding road I think it’s fair to say but the Administration is supportive of housing finance reform. In fact I think there’s agreement on some of these issues. The President has made very clear that he does have an interest, as I think all Americans do, in taking taxpayers off the hook in the event that God forbid we did experience the same kind of housing crisis we did go through. Agreed that we can find ways to introduce more private capital into the market. With respect to proposed legislation, I think there’s some common principles that are the foundation to build on and we look forward to working with you.

Rep. Royce: “We do have a situation where the FHA market share for large banks has recently been cut in half from 61 percent to 33 percent and I know that is a concern. Non-banks have increased now, they were 24% and now [several years later] they are 51%. Is this troubling, and do you think legal uncertainty maybe is part of the problem in terms of getting the traditional lenders more involved here and what about the need for a greater certainty around the rep and warranty framework here and looking at that as a way of bringing capital back in?

Yes, we are looking at that,” replied Castro. “We believe it makes sense to take reasonable steps to create more business certainty for lenders. I know this is something that Director Mel Watt at FHFA has worked on, is working on now, it’s something that we’re working on that’s called Blueprint for Access to Credit [for American Families]. We hear from lenders about the uncertainty that does exist regarding potential liability. We look forward to being able to create greater certainty that will help open up the credit box reasonably for responsible Americans to get access to credit.

In the Obama Administration’s new budget, HUD’s funding will rise to $49.3 billion, nearly $4 billion more than this year’s level. ##

(Photo credit: nationalmortgageprofessional-Rep. Ed Royce R-CA)

matthew-silver-daily-business-news-mhpronews-comArticle submitted by Matthew J. Silver to Daily Business News-MHProNews.

Operation Choke Point Examined by Subcommittee

March 27th, 2015 Comments off

financial_services_committee__us_gov__creditThe Financial Services Committee informs MHProNews that the Oversight and Investigations Subcommittee held a hearing to scrutinize the role of the Federal Deposit Insurance Corporation (FDIC) in shuttering legitimate businesses by closing their bank accounts. The only witness at the hearing was FDIC Director Martin Gruenberg.

Termed Operation Choke Point, the Department of Justice (DOJ) and financial regulators determined particular businesses as “high risk” based on allegations of a heightened incidence of consumer fraud, regardless of whether they had done anything illegal.

Specifically, businesses targeted included gun dealers, payday lenders, ammunition manufacturers, short-term lenders and other legal vendors. FDIC regulators warned banks not to service these businesses with whom they had ideological differences or risk the government’s wrath.

Rep. Mick Mulvaney (R-SC) told of a constituent who owned a pawnshop, but after 25 years of a relationship with her bank, was told she could not borrow from the financial institution because of the nature of her business.

While Chairman Gruenberg admitted it was wrong for the FDIC to arbitrarily stop a financial relationship between a legitimate business and a bank, government officials who pressured the banks to cease extending lines of credit to “high-risk” legitimate vendors have not been held accountable for their actions. ##

(Image credit: U. S. House of Representatives Financial Services Committee)

matthew-silver-daily-business-news-mhpronews-com   Article submitted by Matthew J. Silver to Daily Business News-MHProNews.

MHARR’s HUD/MHI Missive: on the record, “No Comment,” but off the record…

February 1st, 2014 Comments off

broadside-darius-danny-ghorbani-president-mharr-salvo-on-hud-logo-manufactured-housing-association-for-regulatory-reform-posted-daily-business-news-mhpronews-.jpMHARR’s president “broadsided” HUD – as well as MHI – on Thursday, January 29th with an emailed release. The timing seemed odd, observers told MHProNews, as this took place in the immediate aftermath of an extraordinary semiannual oversight hearing on Capitol Hill. Chairman Jeb Hensarling’s Financial Services Committee had members from both parties peppering Richard Cordray with questions on the handling of manufactured housing regulations by the CFPB.

MHProNews outreaches to MHARR and MHI officials alike drew no reply (MHARR’s DC office) and no comment (MHI’s office).  But off the record statements have come in from a variety of sources, including those close to both of the manufactured housing industry’s national associations, state association leaders and other professionals in the industry.

One neutral source said off the record, “I agree with each of Danny’s comments about HUD.  I disagree about lack of progress or losing ground.”

A source close to MHI said, we …”have much bigger battles to fight than engaging in a war of words with someone who hasn’t accomplished anything for our industry since the passage of (the) Manufactured Housing Improvement Act of 2000,” a reference to Danny Ghorbani, President at MHARR.

One MHARR source told us they agreed with every aspect of the MHARR release.

However, while some echoed that, other members in the MHARR camp are split on the release’s attack on MHI, and some related strategic and tactical issues. Some see the Darius “Danny” Ghorbani led group as acting properly, while others see MHARR’s president as being dead right on issues, but wrong on engagement methods with MHI, and often tactically mistaken in dealing with regulators.

Or as one MHARR member said when asked about the division in their ranks on tactics, timing and wording, “obviously, we are a varied group at MHARR.”

A veteran of DC and industry issues told MHProNews, “…note the wide-spread, bi-partisan support for the industry at the (Financial Services Committee) hearing. And, more importantly…such a broad and loud outcry (at the recent Financial Services Hearing with CFPB’s ) doesn’t happen organically, but as the result of a strategic (and) successful lobbying effort on behalf of…” state associations and MHI.

Indeed, in a video MHProNews plans to feature in the near term, 10 members of the committee raise concerns with Cordray, including the ranking Democrat, Maxine Waters (D-CA). Others included, Rep. Stephen Fincher (R-TN), Reps. Spencer Bachus (R-AL), Joyce Beatty (D-OH), Bill Clay (D-MO), Keith Ellison (D-MN), Greg Meeks (D-NY), Steve Pearce (R-NM) and Terri Sewell (D-AL).

“What is certain is that manufactured housing has not had this level of momentum on Capitol Hill in at least 6 years, if not longer.” another source told us.  “MHI and the aligned states (associations) have done a lot of good work, in a tough political environment.  Anyone who knows politics and lobbying knows that it takes time to get things done, especially when you don’t have tons of money to throw at lobbying. Danny’s (Ghorbani) disappointed that MHARR working with MHI for a year has not shown huge results? Excuse me? What can he point to of substance that he achieved in the last few years? Things are tough in DC! Danny’s timing looks short sighted, or worse, in the light of the facts and history.”

Will the MHARR release slow momentum in DC or on the Hill? “Unlikely.” said one when asked. “The states and MHI have some real traction at this point. Danny’s broadside won’t harm MHI, the states, perhaps not anyone but Danny himself. Some will be glad he did it, because they share Danny’s frustrations with HUD.  But is this the way to get real change done? There is a real difference of opinion within the ranks of MHARR, (whose members) often agree with Danny on policy and goals, but not always agree on his style or timing.”

MHProNews will monitor the topic, as sources aligned with MHARR tell us that a concerted ‘tag team’ effort to use the MHARR release will be made by a handful of disgruntled MHI members in the days ahead.

The full MHARR release – which sparked the comments above – is linked here. ##

(Editor’s Note: Remember, “We Provide, You Decide.” ©  Opinions on this topic or others of industry interest are welcomed and encouraged.)

(Image Danny Ghorbani smiles at the broadside by the USS Missouri at HUD’s logo. Image Credits: Wikicommons, HUD logo and MHProNews)

FHA Bailout may be Impending—Price Tag Nearly a Billlion

September 26th, 2013 Comments off

Word is making the rounds the Federal Housing Administration (FHA) will need a U. S. Treasury bailout when the fiscal year ends, as HousingWire has learned from a report by Reuters. There was a suggestion several months ago from FHA and the White House of a possible need for a $943 million bailout—FHA Commissioner Carol Galante said the funds may be required at some point. Rep. Scott Garrett, R-N.J., wrote, “For several years now, President Obama has kicked the can down the road while the Federal Housing Administration’s (FHA) fiscal position continues to worsen. This bailout would require no congressional action, and that’s a problem. The PATH Act, recently passed by the House Financial Services Committee, will reform our housing finance system and get the FHA back on track to prevent future bailouts.” As MHProNews has learned, HUD did not immediately comment on the report.

(Image credit: HousingWire)

Chairman Hensarling at Hearing on CFPB

September 13th, 2013 Comments off

the-committee-on-financial-service.pngHouse Financial Services Committee Chairman Jeb Hensarling (R-TX) delivered the following opening statement at the full committee hearing on the Consumer Financial Protection Bureau’s (CFPB) semi-annual report with Director Richard Cordray.

“This morning we welcome Director Richard Cordray, Director of the CFPB, to deliver the bureau’s latest semi-annual report. Mr. Cordray, we recognize that the bureau’s latest semi-annual report may be a little bit dated due to the legal controversy that previously surrounded your appointment and thus delayed your timely appearance. Nonetheless we welcome you today and congratulate you on your recent Senate confirmation.

“As all of us know, the CFPB was designed to operate outside the usual system of checks and balances that applies to almost every other government agency.

“Number one, the CFPB is effectively unaccountable to Congress. It is exempted from the Congressional budgetary and appropriations process. Unlike many other agencies, there is thus no check to ensure the CFPB director is spending the people’s money effectively to promote consumer protection, much less effectively in a time of runaway debt and deficits. Not even the agency from which the CFPB obtains its funding, the Federal Reserve, has oversight over the CFPB director’s spending.

“The CFPB is unaccountable to the executive branch. The director, once appointed and confirmed, can only be removed by the president for cause. Neither can the nation’s chief executive enforce spending discipline on the Bureau because it is not subject to the Office of Management and Budget. Nor does CFPB have their own Inspector General.

“I also find it fascinating, as Syria has dominated our national consciousness, that it merely takes a majority vote of Congress to launch military action or to go to war, but it takes a super-majority vote of the Executive Branch Financial Stability Oversight Council to overturn a ruling of the CFPB, and then only if that ruling can be shown to threaten the safety and soundness of the entire U.S. financial system.

“Next, the CFPB is also uniquely unaccountable to the courts. Section 1022 of the Dodd-Frank Act provides that where the Bureau disagrees with any other agency about the meaning of a provision of a Federal consumer financial law, a reviewing court must give deference to the Bureau’s view under the Chevron Doctrine.

“Finally, in many respects, the CFPB is uniquely unaccountable even to itself since there is fundamentally no ‘it,’ no ‘they’ – only a he. There is no commission, only one omnipotent director, fundamentally accountable to no one.

“Combined with this breathtaking lack of accountability is a grant of power under Dodd-Frank to the CFPB Director that is unilateral, unbridled and unparalleled. The director can unilaterally declare virtually any financial product or service as ‘unfair,’ or ‘abusive,’ at which point Americans will be denied that product or service even if they need it, understand it and want it. Be he our credit czar, national nanny or benevolent financial product dictator, Mr. Richard Cordray is now empowered fundamentally to decide what types of credit cards Americans are allowed to have, what types of mortgages they may have, whether or not they can access a pay day lender.

“All of this does beg the question: who will protect consumers from the Consumer Financial Protection Bureau?

“True consumer protection requires access to competitive, transparent and innovative markets vigorously policed for force, fraud and deception. True consumer protection empowers consumers and respects their economic freedoms to make informed choices free from government interference and fiat.

“Consumer protection is not a zero-sum game – where for consumers to win producers must lose, or where borrowers can only win when lenders lose. Consumer Protection is not, having powerful government agencies ‘nudge’ consumers to make ‘correct’ choices in the belief they are incapable of making rational decisions for themselves.

“When it comes to true consumer protection, and when it comes to the Consumer Financial Protection Bureau, this committee will do everything we can to demand the highest levels of accountability, transparency and answers.”

Reid Opposes GSE reforms, clouding future of effort

August 27th, 2013 Comments off

harry-reid-official-photo-credit-wiki-commons-posted-daily-business-news-mhpro-news-com-The Senate Banking Committee is developing housing finance reform legislation introduced in the Senate (S. 1217) by Bob Corker (R-TN) and Mark Warner (D-VA). Senate Majority Leader Harry Reid (D-NV) has indicated he opposes the plan abolishing the GSEs, asserting it would become too difficult for many to purchase a home. House legislation’s future is also unclear. The PATH Act developed by House Financial Services Committee Chairman Jeb Hensarling (R-TX) and supported by the Manufactured Housing Institute (MHI) and Texas Manufactured Housing Association (TMHA), contains revisions to Dodd-Frank to eliminate Fannie Mae and Freddie Mac and replace them with a new securitization utility without any governmental backstop, unlike unlike the Corker-Warner bill. Sources at MHI, TMHA and others will keep MHProNews informed on such important and closely monitored efforts. ##

(Photo Credit, Harry Reid: WikiCommons)

Discarding Fannie Mae and Freddie Mac = A Nightmare

August 12th, 2013 Comments off

While the Republican-led House Financial Services Committee is supporting legislation to totally eliminate Fannie Mae and Freddie Mac from the mortgage business with no government interference , the Democrat-majority Senate Banking Committee says the government needs to be a backstop to make certain borrowers of modest means can continue to obtain financing. Even President Obama, as MHProNews reported here Aug. 7, states the mortgage industry would be better served with more private sector involvement. Meanwhile, as HousingWire reports, Fox News blogger Peter Morici and USA Today both say eliminating Fannie and Freddie would raise the cost of borrowing to a level that would be out of reach of the middle class.

(Image credit: Fotosearch)