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Joe Stegmayer, Cavco Industries, MHI Chairman, Insights from Innovative Housing Showcase

June 11th, 2019 No comments

 

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With enough patience, facts and patterns in dispute often reveal themselves more clearly to those with an open mind who are honestly seeking clarity. By definition, the closed-minded can’t be reasoned with.

 

This report will have two primary components.  The first will be from the recent and positive Innovative Housing Showcase, held at the National Mall in Washington, D.C. Joe Stegmayer, former Chairman, President, and CEO of Cavco Industries was prominent there.  The second will look again at a leadership and related questions that keep arising at Cavco.

 

MHI Chairman Stegmayer At Recent Innovative Housing Showcase in Washington, D.C.

Five U.S. congressmen and several other senior government officials took tours, said Joseph Stegmayer, Cavco’s former chairman and CEO,” said Phoenix metro’s AC Central, a Gannett media publication that is part of the USA Today network.

This is one of the best unsubsidized ways to promote affordable housing,” Stegmayer said of manufacturing housing, per that same source.  He said that factory-built homes can be made at about half the cost of comparable dwellings built on site.

Some other facts, per AZ Central:

·        Cavco exhibited a 1,050 square foot home with two bedrooms and two baths that was built at one of its two factories in Virginia that retails for about $64,000.  What they didn’t specify was that it was the lone single sectional on display in the National Mall in Washington, D.C.  Skyline Champion displayed two multi-sectional models.

·        Cavco was one of 19 exhibitors at the National Mall and teamed with UMH Properties, a real estate investment trust or REIT that owns and operates manufactured-home communities around the nation.

This was the only news report found on line as of the date and time shown about the publicly traded firm’s (CVCO) involvement in the project. We’ll return to that factoid later.

 

CavcoIndustriesInnovativeHousingShowcaseAZCentralArizonaRepublicUSATodayGannettNewsDailyBusinessNewsMHProNews

 

In the MHI branded video below, Stegmayer says: “Manufactured Housing is so much of an untold story. It has come a long way in a short number of years. And now were providing homes that rival anything built on site at half the cost. And so, to meet the affordable housing crisis in this country, and there truly is a need for affordable housing, manufactured housing can go a long way to doing that.”

 

 

Stagmayer continued by saying, “We can provide a home for millions of people who otherwise can not afford a home and would be renting for the rest of their lives. Here [he’s standing in a manufactured home] they can buy a home, build equity, just like any other home owner. And, ah, stay in that home for years or resell it and move up to a larger home if someday they get a larger family.”

A lot of flexibility in manufactured housing.  A lot of sustainability,” Stegmayer said during his portion of the video. Let’s note in fairness that these are very similar points that MHLivingNews, MHProNews and scores of others have made about our industry. Our publisher has noted that the firms involved in the Innovative Housing Showcase are to be applauded. On the thrust of several of these points by Stegmayer, we’d editorially concur.

But what follows in that same video is both true and troubling.  It gets near a central issue that is hampering manufactured home industry growth.

 

Manufactured Housing Professionals, HUD Secretary Ben Carson, Must Promote These Two Words

 

Secretary Ben Carson, as the head of HUD, made this National Mall opportunity available in conjunction with the National Association of Home Builders (NAHB). Dr. Carson explains that they encouraged local municipalities to look at manufactured homes and look at their regulations.  Carson said there may have been reasons in the past for some regulations, but no longer.  Why hasn’t the HUD Secretary mentioned “enhanced preemption?”  Is it possible that he’s not been briefed on that point by HUD staff? 

But more questions arise from this MHI branded video and recent mainstream media reports.

Looking again at MHI’s chairman’s comment, it isn’t as if the manufactured home industry has suddenly appeared out of nowhere and has an “untold story,” as Stegmayer framed it.  Indeed, Arlington, VA based MHI – a location not far from the National Mall – claims to have told that story to millions of people.  See their claim to that effect illustrated in their own still from an MHI video, below.

If so, the public literally are not buying what MHI is selling, based on recent new manufactured home production and shipment trends.

Look at the stills from the late 2018 MHI self-touting video and compare it to the fact that manufactured housing has had 8 months of consecutive year-over-year decreases in shipment levels.

 

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Most people think of momentum as forward motion.  Does it mean something different to MHI?  Momentum for more consolidation? Still from MHI Video, logos added by MHProNews.

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That downturn is now into month number 8.

 

Further, manufactured homes are not an untold story at all.

As the AZ Central story reflected, starting with the headline, a HUD Code manufactured home is errantly termed a ‘mobile home.’  Over the years, has Cavco or MHI failed to brief that media outlet, which issues periodic reports on hometown firm Cavco, about the proper terminology to be used?  If not, then they are not following the logic of their own prior chairman, who said this.

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The story most told is a painfully familiar one to anyone who tracks news coverage about ‘mobile homes’ and ‘manufactured homes.’  The bulk of the reports are negative, as the screen capture below indicates.

MobileHomesNewsGoogleSearchDailyBusinessNewsMHProNews

While the evidence is anecdotal, it is also not disputed by live audience of manufactured home industry professionals when they are asked:

·        does the public here more bad news or good news about manufactured homes? 

·        Is the impression conveyed in third party reports largely positive one, or largely negative?

·        Manufactured home industry professionals almost universally agree that the image is a problematic one.

That being so, it is not an untold story. Rather, it is a told story that is all-too-often being mistakenly framed.

Where is MHI’s effective response to that largely undisputed fact?  Because it is obvious that their claim of millions exposed to their advertorials – if true – has not worked. The shipment numbers and other research proves that point.  Further, only 8 percent of home shoppers, per Zillow, considered a manufactured home in research that firm did.  Many of those who considered a manufactured home never bought one. Put yourself briefly in the shoes of a possible manufactured home customer. If they simply googled news about ‘mobile homes’ or ‘manufactured homes,’ wouldn’t that explain why – given that much reporting is negative – that the public literally isn’t buying one?

 

Zillow2016HomeBuyersSurveyManufacturedHousingIndustryDailyBusinessNewsMHProNews

Only 8 percent of housing shoppers considered a mobile or manufactured home, and many of those did not buy one

 

What do those third party research facts say about the effectiveness of the industry?  So Stegmayer’s own words about the “untold story” – seen through that lens – is troubling at best.  The screen capture from the date and time shown is but one example. 

 

MobileHomesNewsGoogleSearchDailyBusinessNewsMHProNews

 

Furthermore, there is no evidence that HUD Secretary Carson has been advised about enhanced preemption.  MHProNews has asked officials at HUD to respond to that concern.  They have no comment on that now.

Why not?  Doesn’t their failure to comment on such a straightforward question itself raise concerns that perhaps Secretary Carson has not been brief about enhanced preemption?

Stegmayer has had face time with Secretary Carson on numerous occasions in the last year or so.  Did Cavco’s former president, and the man who is still MHI’s chairman, not raise the issue of “enhanced preemption?”  If not, why not?

HUDBenCarsonJoeStegmayerCavcoDailyBusinessNewsMHProNews

These are questions that Cavco’s shareholders – among others – ought to be asking.

If the report by AZ Central is accurate, and only 5 congressional representatives bothered to come and see what MHI dubbed Homes on the Hill.  That too suggests something was missed by MHI, doesn’t it?  There are 535 members of the U.S. House (435) and Senate (100). Numbers of those in Congress get contributions from MHI’s PAC.  So why did such a small group of representatives come over a 5 day event?

The MHI “Homes on the Hill” videos are a fine idea. 

·        The videos are well done in a technical sense.

·        But where is the promotion for those videos? 

·        Why is it that the MHI video posted above that was published on Jun 2, 2019, after a week online, has only 732 views, per YouTube, as of 4:49 PM ET on 6.9.2019? Ponder the point that John Oliver’s viral hit on numbers of MHI members errantly named “Mobile Homes” has had over 6 million hits on YouTube in about 2 months. That’s the graphic comparison that industry professionals, investors, and advocates must ponder.  Stegmayer’s choice of words ‘the untold story’ is not supported by facts.  The story about manufactured homes has been told millions of times.  It simply hasn’t cut through the negative noise. 

Where has that negative noise about manufactured housing originated from?  The sources are varied. That said, there is a money trail in the millions that clearly points to donations by Warren Buffett, chairman of Berkshire Hathaway – parent to Clayton Homes, their sister Berkshire lenders, and a powerhouse at MHI – that have flowed via the Tides nonprofit to groups such as MHAction or Prosperity Now that have in turn attacked manufactured housing operations.  Rephrased, Buffett’s been backing both pro-and-con voices about manufactured homes.  The voices that undermine the industry’s story seem to win the media war routinely. Why?

None of the Berkshire brands or MHI has denied the evidence presented. That leaves the evidence presented unchallenged.  The collage below illustrates the point just made.

 

MHActionLogoWarrenBuffettGeorgeSorosPhotoTidesFoundationLogoDailyBusinessNewManufacturedHomeIndustryMHProsNews

 

Now, against that backdrop, let’s pivot back to Cavco’s November 8, 2018 news release.

 

Stegmayer, Cavco, and the SEC/Shareholder Legal Clouds 

As the numbers of shareholders suits against Cavco Industries continues to grow, an interesting point keeps arising relative to Joe Stegmayer, their former Chairman, President, and CEO. Let’s mention that he was also a former Clayton Homes division president.

Part of the announcement on November 8, 2019 that sent Cavco shares plunging related to Stegmayer was that the multi-year leader of the publicly traded firm (CVCO) would step down into a more supportive, non-executive role.

But several indications from sources previously reported within Cavco, plus more recent hints by George Allen and others in his orbit, suggest that Stegmayer still exercises a leadership role that some believe is more like that of the shadow president than some supportive ‘non-executive’ role.

Quoting from their November 8th press release, “Mr. Stegmayer stepped down from his position as Chairman, President and Chief Executive Officer of the Company after an internal investigation, conducted by independent legal counsel, identified certain violations of Company policy related to securities trading activities conducted by Mr. Stegmayer. The Board’s decision to transition Mr. Stegmayer to a non-executive role allows the Company to retain his deep industry and operational experience.

The Cavco press release further stated that, The Company also announced that it had received a subpoena from the Securities and Exchange Commission’s Division of Enforcement (“SEC”) requesting certain documents relating to, among other items, trading of the stock of another public company. Subsequent to sending the Company a subpoena, the SEC sent a subpoena for documents and testimony to Joseph Stegmayer, regarding similar issues. The Company has initiated an independent investigation and intends to cooperate fully with the SEC’s investigation.

In a typical ‘all in the company family’ motif, the release said: Joseph Stegmayer, former Chairman, President and Chief Executive Officer, commented that “Dan Urness is a great choice to lead Cavco. He is a strong leader, with the ability to connect with customers, partners and teammates. His institutional knowledge of our Company and significant industry experience will ensure a smooth leadership transition. I look forward to continuing to serve the Company in my new role.”

ManufacturedHousingInstituteLogoMHIBoardOfDirectorsLogoMHIExecutiveCommittee

The satirical logo is used in part to poke with a lighter touch at a serious topic. As some have framed it, there are white hat companies at MHI, and black hat companies.  Certainly the black hats must find the white hats useful.

Stegmayer has remained Chairman of the Manufactured Housing Institute (MHI), despite the legal flap, its costs to Cavco, and the hit on CVCO’s stock valuation.

 

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Cavco (CVCO) is one of the stocks tracked in our evening/nightly market report, along with a snapshot of headlines, and news that move investors. For Friday’s report, click here.

 

These are questions that may be of interest to shareholder’s plaintiff’s attorneys.

 

Cavco Industries Investigated Anew for Violations of Federal Securities Laws, plus Manufactured Home Industry Stock Updates

 

But there are broader industry questions that ought to be explored, perhaps in concert with Congressional and other state/federal inquiries.

Readers will be reminded that some 5 years ago, Stegmayer was talking on camera about the industry returning to 250,000 shipments.  That video is found in the report in the text/image box above. Stegmayer did say that return to 250,000 could accomplished in a year.  But he clearly suggested that it was doable in the foreseeable future.  What happened to that 250,000 new home shipment aim since then? 

Why is a new manufactured home shipment goal unmentioned by MHI more recently? 

Or ponder the fact that after the embarrassing reply the MHI President and CEO Richard ‘Dick’ Jennison gave to MHProNews on camera that same year – that the industry should grow slowly – the next year, after being privately chastened by Tim Williams, per sources, Jennison said that the industry could return to 500,000 new manufactured home shipments.  We professionally concur that that half-million or more new home production goal is achievable.  Others in the industry believe so too. The points Secretary Carson has cited in various interviews and his speech in New Orleans all point to the great potential of the industry in this affordable housing crisis.

 

MHI CEO Dick Jennison’s Pledge – 500,000 New Manufactured Home Shipments

 

All of which begs the question, how effective has MHI been at representing “all segments of manufactured housing?” 

As the decade de facto post-production association, after decades in that role, has MHI still not figured out what keeps people from buying a manufactured home? Why aren’t they routinely addressing those prospective home buyers concerns?  Lightening rod Frank Rolfe, a well known MHI member, made the point simply.

 

Rolfe and Dave Reynolds effectively doubled down on that recently, when they said the following.

MHI has had two different public relations people, for a combined total of several years now. Do those ‘experts’ in media relations not have a message or method for advancing the acceptance of the industry? Do they not yet have a message that resonates with the millions in the public that would buy what our manufactured home industry offers, if they simply understood it properly?

When AZ Central reports that only 5 congressmen came to see what MHI dubbed “Homes on the Hill,” what was MHI’s public relations effort doing? 

The industry is only at ¼th of the production it was in 1998. Where is MHI’s recovery plan?

 

BloombergShipmentProductionDataManufacturedHousingMHProNews2019-05-16_1057

 

This pro-growth industry-leading trade media will continue to monitor and report on these and other related issues.

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That’s a wrap on this installment of News Through the Lens of Manufactured Homes, and Factory-Built Housing,” © where “We Provide, You Decide.” © ## (News, analysis, and commentary.)

 

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HUD Secretary Ben Carson Address to Innovative Housing Showcase, Complete Official Speech Text

June 10th, 2019 No comments

HUDSecretaryBenCarsonAddressInnovativeHousingShowcaseFullTextSpeechDailyBusinessNewsMHProNews

This week, we showed that the future belongs to the American builder. And we showed this limitless future can be accessed, owned, and built upon by any hard-working citizen of this great land we all call home,” Secretary Carson said in his closing remarks at the Innovative Housing Showcase (IHS).

 

That’s encouraging to all builders, including factory-builders. But today’s focus is on the official text provided by the Department of Housing and Urban Development (HUD) to the Daily Business News on MHProNews.

 

Dr. Ben Carson
Secretary of Housing and Urban Development
Innovative Housing Showcase Opening Remarks
Washington, D.C., National Mall, June 1, 2019


As prepared for delivery. The speaker may add or subtract comments during his presentation.

Welcome, everyone, to the inaugural Innovative Housing Showcase!

My ride this morning was a 3D-printed car – a 3D-Printed Utility Vehicle (PUV), in fact – graciously lent to us by my friend, Secretary Rick Perry at the Department of Energy. This incredible technology is made possible by the Oak Ridge National Laboratory, who develops energy-efficient building system technologies, and is also an exhibitor in this week’s Showcase for 3D-printed housing materials.

When the printing press was invented in the year 1440, who could have imagined that six centuries later, we would be printing cars – and even homes? There may be no more enduring testament to the strength of the human spirit than when we come together, transcend our differences, and build a better tomorrow with the tools of today.

Innovation is what happens when the transformative power of the human brain is fully harnessed. As a brain surgeon, I often repeat a saying that my mother instilled into my brother Curtis and me, whenever we hit a roadblock growing up: “You have a brain – you have to use it.”

HUD and our partners are now clearing the road for millions of Americans to prosper by driving the development of a new generation of homes that are both more affordable and more resilient.

Before discussing some of the incredible highlights of the week ahead, I would like to take a moment to separately acknowledge and thank each of our exhibitors, who are pioneering the path for a bright future in America’s housing industry. These exhibitors include:

  • Akkerman Inc., whose innovative technologies allow new infrastructure to be installed in densely populated areas;
  • Barbco, who produces environmentally sensitive equipment that aids affordable housing development;
  • Boxabl, who developed the “universal building box” used to create almost any style of home at a fraction of the cost;
  • Build us H.O.P.E, who provides housing and supportive services to the homeless, disabled, and mentally ill;
  • Cavco, a leading designer and builder of systems-built structures, such as manufactured homes;
  • Core Housing Solutions, who provides affordable housing by building “tiny houses on wheels”;
  • Ditch Witch, who provides directional drilling machines and equipment;
  • Ducky Johnson, an award-winning structural moving and elevation company that has become a leading disaster response provider;
  • Hammerhead Trenchless, who manufactures products that rehabilitate and replace underground utility infrastructure;
  • IndieDwell, who makes quality, sustainable modular homes at affordable pricing;
  • MinMaxSpaces, a turn-key provider of relocatable buildings and storage solutions;
  • National Utility Contractors Association, whose technology allows utility infrastructure to be installed and accessible;
  • Piedmont Green, who provides high quality container house services;
  • Prescient, who changes the way homes are built through an innovative design platform;
  • Skyline Champion Corporation, who builds a wide variety of manufactured and modular homes; and
  • UMH Properties, Inc., a dedicated proponent of innovation and advancement in manufactured housing.

That’s a lot of names – but it takes teamwork to make any great dream work. And so, on behalf of HUD, I am grateful to each one of you for elevating this historic event with your participation.

The Purpose Of The Showcase: Increasing Affordability and Resiliency

What brings this incredible array of pioneers together this week is a joint mission to educate and inform America’s national conversation on housing policy. We believe the best way to galvanize people and policymakers toward a powerful vision of the future is to place that vision right in front of them – and show them what is truly possible.

The Showcase features state-of-the-art building technologies and housing solutions that can make homeownership more affordable for American families, and homes more resilient during natural disasters. In addition, there will be a wide array of exhibitions, prototype homes, panel discussions, and policy conversations with leaders across the housing industry over this five-day event.

While the policies of the Trump Administration have created “a rising tide that floats all boats” – including historic highs in employment, job creation, and financial growth – there are still far too many Americans who seek affordable rents or sustainable homeownership and simply cannot get their foot in the door.

To echo the words of our President, we have a special duty to make sure these “forgotten men and women” will be forgotten no longer.

It is especially meaningful that today marks not only the start of the Showcase, but also the first day of June – which has been designated by President Trump as National Homeownership Month. During this month, we are reminded that homes are not simply physical structures – they are social, cultural, and economic engines. They are where families are raised, and communities are interconnected. Housing problems are fundamentally human problems – and ultimately, that is the bottom line that truly matters.

As HUD Secretary, I spend a lot of time listening to the struggles and stories of everyday Americans trying to buy a home for the first time. It’s an uphill climb. But in my work, I have found there is nothing more rewarding than watching hard-working families successfully make the transition from public or HUD-assisted housing, to private home ownership. It is not only a journey of financial self-sufficiency – but one of deep and enduring pride.

That’s why, in response to the affordable housing crisis facing our country, new construction technologies and development techniques play a pivotal role in lowering the cost of production and increasing the affordability of new homes for millions of hard-working Americans.

For example, in recent years, manufactured housing is one solution that has emerged out of the limestone and stepped into the limelight – carrying the potential to permanently change the cost side of the equation.

According to data by the Manufactured Housing Institute, the average cost per square foot of a manufactured home is nearly half that of a site-built home – $49 [dollars] per square foot, as opposed to $107 [dollars]. These dramatic cost savings in construction enable responsible citizens to secure housing that may be considerably less expensive than renting or purchasing a site-built home.

And yet, even at this lower price, manufactured homes appreciate in value at a rate similar to site-built homes, according to the Federal Housing Finance Agency Housing Price Index. Sustainable homeownership is the number one builder of financial capital for most American families. For example, the average net worth of a renter is $5,000 [dollars], while the average net worth of a homeowner is $200,000 [dollars]. That’s an extraordinary 40-fold difference. But with comparable home appreciation rates to site-built homes, manufactured homes exhibit their own extraordinary potential to be a wealth creation tool for families from every socioeconomic background.

And indeed, three fully-built manufactured homes are here, on display, for the American people to see and experience for themselves in the week ahead.

While home affordability is a challenge that touches every family, natural disasters remain a persistent threat that can decimate local communities and their way of life.

Just this week, at least 53 tornados ripped through eight states, stretching from Idaho to Colorado.

Natural disasters do not just devastate housing capital – they devastate human capital, through lives interrupted, school days missed, and communities fragmented under strain. To address this damage, last year, HUD allocated more than $35 billion in funding to 16 state and local governments, supporting America’s hardest hit regions. These grants represented the largest single amount of disaster recovery assistance in HUD’s history.

Technological innovations such as manufactured homes can help mitigate these harms through the use of environmentally resilient construction materials, as well as by providing an affordable and permanent housing solution for lower-income survivors.

For example, on a recent visit to Alabama, I was shown a site that was demolished by massive tornadoes – and the only homes in the area that successfully weathered the storm were manufactured houses. It was a testament to their resilience, befitting the silent strength of the American spirit.

HUD’s Role in Affordable Housing and Resiliency

Although this Showcase is the first of its kind, it is also the continuation of a joint effort from both the public and private sectors. Together, we have made it a top priority to increase the supply of affordable homes and provide a pathway to self-sufficiency for our country’s most vulnerable residents.

HUD’s innovation efforts complement our broader work in the areas of community revitalization, deregulation, and advancing economic opportunity. Some of these initiatives include:

  • Our recent investment of $74 million [dollars] to hundreds of public housing authorities across the country, so residents can increase their earned income, save for the future, and reduce their dependency on government assistance through the Family Self-Sufficiency Program;
  • Our work with local community leaders and public officials throughout the country to break down burdensome regulatory barriers to new home construction and development, which can account for 25-40 percent of costs; and
  • Our championing of Opportunity Zones, which are driving billions of dollars of private capital into the revitalization of economically distressed neighborhoods in a long-term, sustainable way.

In each area of focus, innovation has a powerful role to play in driving our country forward. For this reason, HUD recently created the Office of Innovation, which is accelerating public-private partnerships and borrowing wisdom from the best practices of American enterprise.

I am also delighted that two institutions under HUD’s purview will be exhibitors throughout the Showcase as well. These include the Federal Housing Administration, or FHA, and HUD’s Office of Housing Counseling.

The FHA is the largest mortgage insurer in the world. It maintains an active insurance portfolio of more than $1.3 trillion [dollars]. Each year, the FHA helps more than a million homebuyers achieve the dream of sustainable and affordable homeownership of single-family homes, while its insurance programs for multifamily properties support the availability of more than 300,000 affordable rental units, including for seniors and people with disabilities.

Our Office of Housing Counseling supports a nationwide network of Housing Counseling Agencies and counselors, who are trained to provide tools to current and prospective homeowners and renters, so that they can make responsible choices to invest in a home, prevent foreclosure, protect credit, or seek advice for housing needs in any financial situation. To increase the reach of this important work, HUD will be granting an additional $43 million [dollars] in federal funds to support hundreds of state and local HUD-approved Housing Counseling Agencies around the country.

While these programs open the doors of homeownership for so many American families throughout the year, HUD is especially humbled and honored today to be opening our own doors to the American public, hosting this historic Showcase in the heart of our nation’s capital.

Finally, I would like to extend a very special thanks to the National Association of Home Builders for co-presenting this Showcase with HUD – and for your tireless efforts to bring this incredible event to life. And we are also very grateful for the generous financial support provided by MiTek, the International Code Council, Inc., the National Multifamily Housing Council, the Whirlpool Corporation, and Professional Builder.

Conclusion

The participants in this Showcase are not just stakeholders in the US housing industry – we are stakeholders in the America our fellow citizens are building today, and for our children to inherit tomorrow.

A key lesson I drew from decades as a surgeon is one I see again as Secretary of HUD: The work isn’t easy, but nothing worthwhile ever is. When a patient pursues the long road back to full health and self-sufficiency, changes do not happen overnight. Improvements take time, regular review, and the support of your whole family.

I am extremely proud of the family we have assembled this morning. I look forward to beginning a fantastic new tradition here on America’s front lawn, and to working with you, and for you, to ensure safe, quality, and affordable housing for all who call our great country home.

Thank you, and enjoy this exciting and historic week ahead!

##

 

 

If you’re into oldies tunes, it’s Monday, Monday.

That’s a wrap on this installment of News Through the Lens of Manufactured Homes, and Factory-Built Housing,” © where “We Provide, You Decide.” © ## (News, analysis, and commentary.)

 

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FHFA’s Mark Calabria, Ph.D., Address at HUD, NAHB’s Innovative Housing Showcase

Pushing Back Against NIMBYism, HUD Secretary Ben Carson, NAHB Innovative Housing Showcase, Schedule

8 Months of Declining Year-Over-Year HUD Code Manufactured Home Production – When Will Manufactured Housing Institute Act?

George Orwell, All Issues Are Political Issues, Manufactured Housing Challenges, and You

What Are Federal Officials Researching About Manufactured Housing?

 

 

 

 

 

 

 

 

 

“Cribs with Carson,” Tiny House, Manufactured Homes, Innovative Housing Showcase, National Mall, Washington, D.C. Video Report

June 10th, 2019 No comments
CribsWithCarsonTinyHouseManufacturedHomesInnovativeHousingShowcaseNationalMallWashingtonDCDailyBusinessNewsMHProNews

Still from video, posted further below.

Housing and Urban Development Secretary Ben Carson has kept a relatively low profile since taking office, but he’s excited to show the American people what he’s been doing,” said the Daily Caller, a right-of-center media outlet.

 

The Daily Caller News Foundation traveled to the Innovative Housing Showcase to see what kind of ideas he has cooked up to make housing more affordable,” per DCNF, which provided this video.

 

 

The video begins with “Big Blue,” a tiny house, but finishes with Secretary Carson along with “TheDCNF’s Vince Shkreli as he tours through the strange new housing projects guided by none other than Carson himself. Maybe you’ll find your next home.” 

This DCNF video is a more light-hearted take than other snapshots, apparently aiming this video at a younger audience. Dr. Carson acts as a tour guide, walking through the homes, and describing some features.  In a manufactured home, he turns to a Skyline Champion team member, who provides some additional information. 

More on some behind-the-scenes reveals about this event soon, so check back in. 

That’s a wrap on this Monday morning, pre-dawn installment of News Through the Lens of Manufactured Homes, and Factory-Built Housing,” © where “We Provide, You Decide.” © ## (News, analysis, and commentary.)

 

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SoheylaKovachDailyBusinessNewsMHProNewsMHLivingNewsSubmitted by Soheyla Kovach to the Daily Business News for MHProNews.com. Soheyla is a managing member of LifeStyle Factory Homes, LLC, the parent company to MHProNews, and MHLivingNews.com.

Related Reports:

You can click on the image/text boxes to learn more about that topic.

 
http://www.mhmarketingsalesmanagement.com/blogs/daily-business-news/manufactured-housing-professionals-hud-secretary-ben-carson-must-promote-these-two-words/

 

Members Point to Positives, Problematic – Manufactured Housing Institute (MHI) says, “Get the Facts on Zoning”

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George Orwell, All Issues Are Political Issues, Manufactured Housing Challenges, and You

 

 

 

 

 

 

Pushing Back Against NIMBYism, HUD Secretary Ben Carson, NAHB Innovative Housing Showcase, Schedule

June 5th, 2019 No comments

PusingBackAgainstNIMBYismHUDSecretaryBenCarsonNAHBInnovativeHousingShowcaseScheduleDailyBusinessNewsManufacturedHomeProNews

The very best way, obviously, is to address the ideological factors that are causing [prices] to rise so much,” Carson said, per the News and Observer about how to create more affordable housing. “These density and height restrictions and parking restrictions, they add to a new, single-family construction about 25% [in price] and to multifamily 32% on average. That’s a massive increase in pricing, which leaves a lot of people very distressed.”

 

Secretary Carson’s office noted in a press release that the country is far behind schedule in building new housing units.

The U.S. needs about 1.3 million new homes and 325,000 new apartments per year to keep up with population growth. But in 2018, only some 900,000 homes were started and on average only 244,000 apartments are built per year, HUD said, citing data from the National Association of Home Builders (NAHB) and the National Apartment Association (NAA).

We are working with the various local jurisdictions to remove a lot of the [regulatory] barriers,” Carson said. “That is the thing that the builders are waiting for.”

Which from the manufactured home industry perspective begs the question, has the Manufactured Housing Institute and/or the HUD staff informed Secretary Carson about the “enhanced preemption” provisions regarding manufactured homes? That’s the subject of a deeper dive, linked below.

 

HUD Secretary Ben Carson, Affordable Housing, Obscuring the Truth, Innovations in Housing, and Manufactured Homes

Part of what’s noteworthy in the above is Carson’s choice of the words, “ideological factors…” – an online dictionary, per Google, said: ideological” is an adjective that means: “based on or relating to a system of ideas and ideals, especially concerning economic or political theory and policy.”

Below is the schedule that HUD set for the Innovative Housing Showcase, per the HUD website. 

 

HUDNewsHousingUrbanDevelopmentDailyBusinessNewsMHProNews

SCHEDULE

IHS Location:

National Mall (between 4th and 7th Streets)
Washington, DC
Site Map

IHS Operating Hours:

Weekend Hours: 10am – 6pm
Weekday Hours: 9am – 6pm

IHS Schedule:
(Last updated 6/5/2019 – Dates and times are subject to change.)

 

Saturday, June 1 – General Public Day

10:00 AM – 6:00 PM

 

Exhibitor Homes and Booths Open to Public

 

 

10:00 AM – 10:15 AM

 

Welcome

 

HUD Secretary Ben Carson

 

10:30 AM – 11:15 PM

 

Panel: Beyond the Prototypes – Meet the Exhibitors Part 1

 

Moderator: Denise Dersin (Professional Builder Magazine)

Panelists: Boxabl,

Ducky Johnson,

MinMax Spaces,

PRESCIENT,

Skyline Champion

 

11:30 AM – 12:30 PM

 

Tunneling Presentation

 

 

Description: IHS brings together a collection of innovative companies to display new building technologies and housing solutions that are addressing affordability and resiliency. Meet our exhibitors and learn more about the housing prototypes and materials they are displaying on the National Mall. Exhibitors for this presentation will include Boxabl, Ducky Johnson, MinMax Spaces, PRESCIENT, and Skyline Champion.

 

1:00 PM – 1:45 PM

 

On-Stage Interview with Zack Gillin, Tiny House Nation

 

Interviewer: Denise Dersin, Professional Builder Magazine

 

2:00 PM – 3:00 PM

 

Panel: Many Problems, Mini Solutions

 

Moderator: Zack Giffin, Tiny House Nation

Panelists: Elizabeth Singleton (Build us HOPE),

Andrew Bennett (Core Housing Solutions), and

Alexis Stephens (Tiny House Expedition)

 

Description: Tiny homes: they’re all the rage right now, but what really goes into the building process, and how can this trend be used to reach its full potential? Experts in tiny-home building will discuss the process of producing these structures, and how tiny homes can be an innovative solution to a wide range of housing needs. Exhibitors for this presentation will include Build us HOPE, Core Housing Solutions, and Tiny House Expedition.

 

3:15 PM – 3:45 PM

 

Panel: Beyond the Prototypes – Meet the Exhibitors Part 2

 

Moderator: NAHB Chairman Greg Ugalde

Panelists: indieDwell,

NUCA,

Oak Ridge National Laboratory,

Piedmont Green,

CAVCO

 

Description: IHS brings together a collection of innovative companies to display new building technologies and housing solutions that are addressing affordability and resiliency. Meet our exhibitors and learn more about the housing prototypes and materials they are displaying on the National Mall. Exhibitors for this presentation will include indieDwell, NUCA, Oakridge Lab, Piedmont Green, and CAVCO.

 

3:45 PM – 4:00 PM

 

Closing Remarks

 

NAHB Chairman Greg Ugalde

 

Sunday, June 2 – State and Local Government Day

10:00 AM – 6:00 PM

 

Exhibitor Homes and Booths Open to Public

 

 

11:00 AM – 12:00 PM

 

Panel: The Ins and Outs of Innovation

 

Moderator: Lorraine Woellert (POLITICO)

Panelists: Mike Luzier (Home Innovation Research Lab),

Jeff Rumer (National Utility Contractors Association)

 

Description: Two leaders in innovative building technologies and processes, the Home Innovation Research Lab (HIRL) and the National Utility Contractors Association (NUCA), bring their leadership to discuss the future of home building. Michael Luzier of HIRL and Jeff Rumer of NUCA – two groups that are the frontline of innovation – will discuss building material testing and trenchless technology.

 

1:30 PM – 2:30 PM

 

Panel: Local Solutions to Housing Challenges

 

Moderator: Laura Kusisto (Wall Street Journal)

Panelists: Commissioner Sheila Kiscaden (Olmsted County, Minnesota),

Daria Daniel (National Association of Counties),

William Doerner (Prince George County, MD Planning Board and Economist at FHFA)

 

Description: States and local governments are taking action to boost housing in their communities. From affordability to availability, production to preservation, this panel will discuss the increasing level of activity happening in housing at the state and local level, as well as the regulatory barriers that impede the construction of affordable housing.

 

 

Monday, June 3 – Federal Government Day

9:00 AM – 6:00 PM

 

Exhibitor Homes and Booths Open to Public

 

 

10:00 AM – 10:10 AM

 

Welcome and Introductory Remarks

 

HUD Secretary Ben Carson

 

10:10 AM – 10:30 AM

 

Opening Remarks

 

USDA Secretary Sonny Perdue

 

10:45 AM – 11:30 AM

 

Remarks

 

FHFA Director Mark Calabria

 

12:30 PM – 1:00 PM

 

Remarks

 

FEMA Acting Administrator Pete Gaynor

 

1:15 PM – 2:15 PM

 

Panel: Innovations in Disaster Recovery and Mitigation

 

Moderator: Stephen Jordan, (Institute for Sustainable Development)

Panelists: Mike Hernandez (Fannie Mae),

Janet Golrick (HUD),

Roderick Scott (Ducky Johnson House Lifting).

 

Description: Featuring federal leaders in disaster recovery and housing, a Showcase exhibitor specializing in pre-disaster housing mitigation, and the Institute for Sustainable Development, this panel will discuss post-disaster housing issues, the value of mitigation, and why continuous improvement in housing innovation is vital for the nation’s risk management agenda. Participants include Mike Hernandez (Fannie Mae), Janet Golrick (HUD), Roderick Scott (Ducky Johnson House Lifting).

 

3:00 PM – 3:30 PM

 

Remarks

 

HUD Acting Deputy Secretary Brian Montgomery

 

4:00 PM – 4:45 PM

 

Remarks

 

Under Secretary of Energy Mark Menezes

 

Tuesday, June 4 – Capitol Hill Day

9:00 AM – 6:00 PM

 

Exhibitor Homes and Booths Open to Public

 

 

10:00 AM – 10:15 AM

 

Opening Remarks

 

NAHB Vice Chairman Dean Mon

 

10:30 AM – 11:15 AM

 

Panel: Fostering Innovative Technology

 

Moderator: Christopher Bourne (HUD Office of Innovation)

Panelists: Carlos Martin (Urban Institute),

Andrew McCoy (Virginia Tech),

Michael Luzier (Home Innovation Research Lab),

Dr. Theresa Weston (DuPont)

 

Description: The Fostering Innovative Technology panel announces the publication of HUD’s Office of Innovation report, “Building Even Better Homes: Strategies for Promoting Innovation in Home Building.” The panel will discuss the current state of innovation within the home building industry and ways in which government, academia and industry can work together to enable more innovation in housing.

 

11:30 AM – 12:15 PM

 

On-Stage Interview

 

Moderator: Katy O’Donnell (POLITICO)

Participants: Rep. Wm. Lacy Clay (D-MO)

Rep. Sean Duffy (R-WI)

 

1:45 PM – 2:30 PM

 

Panel: The Impact of Housing Policies

 

Moderator: Katy O’Donnell (POLITICO)

Panelists: Caitlin Walter (National Multifamily Housing Council),

Todd Richardson (HUD Office of Policy Development and Research),

Robert Dietz (NAHB’s Chief Economist)

 

Description: Panelists from HUD’s Office of Policy Development and Research, National Association of Home Builders, and the National Multifamily Housing Council will discuss how housing policies impact affordability across different markets. The panelists will also discuss new research that is critical to informing housing policy and influential in the field. Panel moderated by Katy O’Donnell of POLITICO.

 

4:00 PM – 4:20 PM

 

Closing Remarks

Wednesday, June 5 – Industry Day

9:00 AM – 6:00 PM

 

Exhibitor Homes and Booths Open to Public

 

 

10:00 AM – 10:15 AM

 

Opening Remarks

 

HUD Acting Dep. Secretary Brian Montgomery

 

10:30 AM – 11:15 AM

 

Fireside Chat

 

HUD Secretary Ben Carson,

Ankur Jain, Founder and CEO of Kairos

Moderator: Avik Roy, Policy Editor, Forbes; President & Co-Founder, The Foundation for Research on Equal Opportunity

 

11:30 AM – 12:30 PM

 

Panel: Holistic Housing for Veterans

 

Moderator: Kayla Williams (Center for a New American Security)

Panelists: John Boerstler (NextOp),

Dr. Keith Harris (Veterans Health Administration),

Taryn Patterson (Leading Age Maryland),

Dylan Tête (Bastion)

 

Description: Supportive housing programs that are person-centered and trauma-informed incorporate a holistic approach to the provision of services that promote the dignity, strength, and empowerment of trauma survivors. By incorporating neighbor-to-neighbor social capital exchange and knowledge about the role of trauma in individuals’ lives into programs, policies, and procedures, supportive housing can facilitate transformative gains that lead to increased social connectedness, economic empowerment, and housing stability. Through this case study of an innovative and award-winning veteran housing development in New Orleans, participants will hear examples of how Bastion Community of Resilience is using this approach to reintegrate military veterans who have experienced trauma.

 

1:00 PM – 1:15 PM

 

Remarks

 

Senator Marsha Blackburn

 

1:30 PM – 2:00 PM

 

Panel: Keeping Up With the Codes

 

Moderator: Sara Yerkes (International Code Council)

Panelists: Ken Bland (American Wood Council)

David Pereg (International Codes Council Evaluation Service)

Neil Burning (International Codes Council)

 

Description: Construction codes are good and necessary – but not everything is in the codes, especially innovative technologies and techniques. As leaders in the field of innovation, panelists from the American Wood Council and Home Innovation Research Lab talk about the processes to getting their products included in the codes.

 

2:15 PM – 3:00 PM

 

Panel: Real Estate Realities – The Next 10 Years

 

Moderator: Diana Olick, CNBC

Dr. Robert Dietz (NAHB Chief Economist),

Mark Richardson (Professional Remodeler),

Terry Horton (D.R. Horton and Horton World Solutions)

 

3:15 PM – 4:00 PM

 

Closing Remarks

 

HUD Secretary Ben Carson

NAHB CEO Jerry Howard

 

##

 

As this goes to a core issue relating to manufactured housing, there will be more about this in perspective in the days ahead. That’s News Through the Lens of Manufactured Homes, and Factory-Built Housing,” © where “We Provide, You Decide.” © ## (News, analysis, and commentary.)

 

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To report a news tip, click the image above or send an email to iReportMHNewsTips@mhmsm.com – To help us spot your message in our volume of email, please put the words NEWS TIP or Comments or Letter to Editor in the subject line.

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SoheylaKovachDailyBusinessNewsMHProNewsMHLivingNewsSubmitted by Soheyla Kovach to the Daily Business News for MHProNews.com. Soheyla is a managing member of LifeStyle Factory Homes, LLC, the parent company to MHProNews, and MHLivingNews.com.

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HUD Secretary Ben Carson tours Innovative Housing Showcase on National Mall in Washington, D.C.

https://manufacturedhousingassociationregulatoryreform.org/mharr-launches-fighting-discriminatory-zoning-mandates-manufactured-housing-project/

 

 

 

 

 

HUD Secretary Ben Carson tours Innovative Housing Showcase on National Mall in Washington, D.C.

June 3rd, 2019 Comments off
HUDSecretaryBenCarsonToursInnovativeHousingShowcaseNationalMallWashingtonDCDailyBusinessNewsMHproNews

Collage of still images from video, SBG posted further below.

In Washington, D.C., U.S. Housing and Urban Development (HUD) Secretary Ben Carson, toured the Innovative Housing Showcase on the National Mall on Saturday morning.

 

The Innovative Housing Showcase is a five-day event featuring new building technologies and housing solutions that are making housing more affordable for American families and homes more resilient during natural disasters,” according to a news release by HUD, that was previously reported by MHProNews at the link below.

 

HUD Secretary Carson to Host Innovative Housing Showcase Featuring Affordable Housing Solutions

 

Secretary Carson has been talking about manufactured homes and other forms of prefab and innovative housing in favorable terms, such as in the video below.

 

 

The Innovative Housing Showcase, says Sinclair Broadcasting Group’s (SBG) local affiliate, will be free to the public from June 1-5, 2019.  They also say that HUD expects 2,500 to attend.

 

 

If so, only 2500 visitors seems like a very modest expectation.  One might hope that far more will attend, as HUD Code manufactured homes are also on display. Follow up reports should be expected on MHProNews. 

Secretary Carson is clearly trying to promote manufactured homes. Meanwhile, MHI is promoting MHI.  Where is their public promotion of Dr. Carson promoting the industry?

 

HUDSecretaryBenCarsonAddresstoManufacturedHousingIndustryManufacturedHousingInstituteLogoMHIlogoMHIwebsiteSearchMHProNews2019-06-03_0844

 

There is word that industry production is still down, for the 8th straight month. More details on that tomorrow.

That’s another look to kick off the work-week for thousands of those who crave their daily fix of manufactured home “Industry News, Tips, and Views Pros Can Use,” © where “We Provide, You Decide.” © ## (News, analysis, and commentary.)

 

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To report a news tip, click the image above or send an email to iReportMHNewsTips@mhmsm.com – To help us spot your message in our volume of email, please put the words NEWS TIP or Comments or Letter to Editor in the subject line.

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3) Marketing, Web, Video, Consulting, Recruiting and Training Re-sources

SoheylaKovachDailyBusinessNewsMHProNewsMHLivingNewsSubmitted by Soheyla Kovach to the Daily Business News for MHProNews.com. Soheyla is a managing member of LifeStyle Factory Homes, LLC, the parent company to MHProNews, and MHLivingNews.com.

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http://www.mhmarketingsalesmanagement.com/blogs/daily-business-news/cowards-how-winning-is-done-and-manufactured-housing/

 

 

 

 

 

 

HUD Secretary Carson to Host Innovative Housing Showcase Featuring Affordable Housing Solutions

April 23rd, 2019 Comments off

HUDSecretaryBenCarsonHostInnovativeHousingShowcaseFeaturingAffordableHousingSolutionsDailyBusinessNewsMHProNews

Late last March, the Department of Housing and Urban Development notified MHProNews that there would be a special “Innovative Housing Showcase.”

 

That initial release is now more useful to spotlight, for reasons that will become obvious.  Let’s start with the guts of their statement.

WASHINGTON – U.S. Department of Housing and Urban Development (HUD) Secretary Ben Carson today announced that HUD will host its inaugural “Innovative Housing Showcase” on the National Mall on June 1-5, 2019, to educate policy makers and the broader public on the new housing innovations and building technologies that are addressing affordable housing challenges across the country.

The Showcase will highlight various solutions that could make housing more affordable for American families and more resilient during natural disasters. Both public and private sector entities that are interested in showcasing their technologies are encouraged to apply…to exhibit.”

WHAT: HUD to Host Inaugural “Innovative Housing Showcase”
WHEN: June 1-5, 2019
WHERE: National Mall, Washington, D.C.
DETAILS: Please visit www.hud.gov/innovative_housing.

 

Note that it doesn’t specifically mention manufactured housing. Perhaps with good reason, because for years, the Manufactured Housing Institute (MHI) failed to do what the National Association of Realtors (NAR) or the National Association of Homebuilders (NAHB) or others did.  Namely, promote the manufactured housing option, as those other associations promote their form of home ownership.

2019-04-23_1534JuneNationalHomeOwnershipMonthManufacturedHousingInstituteDailyBusinessNewsMHProNews717

MHProNews has called MHI out for this in recent years.  Even that resulted in ‘no comment.’

But given HUD’s announcement, and the decision by two of their member producers to exhibit at this upcoming event, MHI obliquely admitted their need to pivot.

According to MHI today, MHI members Adventure Homes and Skyline Champion have reserved spaces to display manufactured homes as part of the showcase and others may still participate.”

Thus, “…Homes on the Hill” Summer Legislative Fly-In on June 3 & 4. This year’s event has been rescheduled and revamped to coordinate our annual event with the manufactured homes that will be on display on the National Mall that week.”  The underlining was added to emphasize their admission that member companies apparently dragged MHI into this decision.

 

Gomer Pyle…

For shame, for shame, for shame,” was a punch line used by the character Gomer Pile, USMC played by the late Jim Neighbors, to chastise those who needed correction.

If the shoe fits…?

GomerPyleUSMCJimNeighborsDailyBusinessNewsMHProNews

 

MHI is arguably being occasionally dragged into doing their self-proclaimed jobs of representing “all segments of factory-built housing,” a way of saying that they are responsible for both post-production and production issues.  If they care about promoting the industry, then why aren’t they leading in areas like this one?

While shipments have been in a 6-month decline, why has MHI been silent in the face of problematic actions by prominent members that sparked vexing headlines?

 

JohnOliverMobileHomesSearchResultsDailyBusinessNewsMHProNews2019-04-23_1633

See the reports below the byline, offers, and notices.

 

JohnOliverMobileHomesManufacturedHousingInstituteDailybusinessNewsMHProNews2019-04-23_1614

 

A source with MHI ties suggests to the Daily Business News on MHProNews that shipment results may reflect an upturn when next month’s data comes out.  Time will soon tell.

But either way, why is MHI not promoting the ways to achieve what Richard ‘Dick’ Jennison said was possible, 500,000 new manufactured homes?

 

What Does MHI Gets High Marks For?

Arguably the answer is photo opportunities, that seem to result in no practical benefits for the industry.

 

RichardDickJennisonMHIPresidentPhotoBrianMontgomeryEnhancedPreemptionFHATitleChattelLoans1010RuleTimWilliamsDontLearnFromHistoryDailyBusinessNewsMHProNews

To learn more, see the related reports – which MHI and their attorney have been invited to correct, clarify, or confirm and to date, stand unchallenged – to see the emerging evidence and patterns of failure.

That’s this afternoon’s edition of manufactured home “Industry News, Tips, and Views Pros Can Use” © where “We Provide, You Decide.” © ## (News, analysis, and commentary.)

 

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To report a news tip, click the image above or send an email to iReportMHNewsTips@mhmsm.com – To help us spot your message in our volume of email, please put the words NEWS TIP in the subject line.

NOTICE: You can get our ‘read-hot’ industry-leading emailed headline news updates, at this link here. You can join the scores who follow us on Twitter at this link. Connect on LinkedIn here.

NOTICE 2: Readers have periodically reported that they are getting a better experience when reading MHProNews on the Microsoft Edge, or Apple Safari browser than with Google’s Chrome browser. Chrome reportedly manipulates the content of a page more than the other two browsers do.

(Related Reports are further below. Third-party images and content are provided under fair use guidelines.)

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2) To pro-vide a News Tips and/or Commentary, click the link to the left. Please note if comments are on-or-off the record, thank you.

3) Marketing, Web, Video, Consulting, Recruiting and Training Re-sources

SoheylaKovachDailyBusinessNewsMHProNewsMHLivingNewsSubmitted by Soheyla Kovach to the Daily Business News for MHProNews.com. Soheyla is a managing member of LifeStyle Factory Homes, LLC, the parent company to MHProNews, and MHLivingNews.com.

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