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President Trump Spotlights Factory Home Builder in Speech, Proven Promotion, Support of Industry Advancement

June 5th, 2018 Comments off

Presidential powers are substantial, but they are not unlimited. So among the tools a president can use to some effect is the bully pulpit. That’s the power of spotlighting a topic via a public forum.

 

In a speech, President Donald J. Trump raised the profile of a once-famed factory-based home builder he knew. The video of that part of his speech, is shown below.

 

 

The president’s family business has also had direct ties to an upscale factory home builder, Revolution PreCrafted Homes.

The 45th president clearly has personal knowledge of factory-crafted home building, as well as of conventional housing construction.

It is worth noting that Vice President Mike Pence hails from Indiana. Industry sources tell the Daily Business News, that then-Governor Pence understood manufactured housing (MH), used the proper terminology, and was supportive of the industry.

In Senate testimony, HUD Secretary Ben Carson, MD, has called modern manufactured homes “amazing.” Meanwhile, Secretary Carson labeled the regulatory regime of the Pamela Beck Danner era as “ridiculous.” Dr. Carson did so without mentioning her by name.

TrailerHouseMobileHomeManufacturedHomeFactoryBuiltHousingEvolution101MHProNews-MHLivingNews

Make a habit of using the correct terminology.

 

Operation Breakthrough

Levittown and that builder named by the president was an example of factory-based home building were included in HUD’s report on Operation Breakthrough, linked below. The linked reports on Operation Breakthrough – along with other linked resources from this article – can be read later, for additional details, and a deeper understanding.

HUD’s Operation Breakthrough, Promoting Factory, Industrialized Building – Mobile Home Era to Modern Manufactured Homes.

A HUD’s PD&R report linked below are one of the sources that demonstrated via university-level research that modern manufactured homes appreciated side-by-side with conventional housing in urban infill settings.

 

The full implementation of two existing laws – manufactured housing’s enhanced preemption and the Duty to Serve could unlock two trillion dollars in additional growth, without the need for massive federal spending.

Enforcing the law” has become a Trump Adminstration catch-phrase.

Enforcing the two laws linked here and above could pave the way to home ownership for millions, which in turn would spur the personal wealth of many, including blacks, Hispanics and all other demographic groups.

As Secretary Carson reminded the nation last year, home owners have an average net worth of $200,000, while renters only have an average net worth of $5,000 dollars.

There are debatably few other items that the Trump Adminstration could do than enforce those two existing laws, which would:

  • cost the federal government less tax payer money over time,
  • yield more wealth for millions,
  • all while creating more good jobs,
  • and higher domestic economic growth.

Virtually everyone, save perhaps a few monopolistic forces, would benefit from enforcing two laws already on the books regarding manufactured housing.

Two Great Laws Already on the Books NOW,  Can Unlock Billion$ Annually for Manufactured Housing Industry Businesse$, Investor$

 

Posturing vs. Doing

The Manufactured Housing Institute (MHI) has attempted to claim credit for the passage of the MLO rule when S 2155 was signed into law. The Masthead predicted that this dubious MHI claim would occur from the Berkshire Hathaway dominated association, prior to the signing of the bill.

It was the Trump Administration, not MHI, that made the MLO rule passage possible.

White House Signing Ceremony on Historic Pro-Growth Financial Regulatory Reform

Note that then candidate Trump pushed for such a bill, by campaigning for reforms of Dodd-Frank.

By contrast, Warren Buffett backed Hillary Clinton pledged to do what Barack Obama did. Chairman Buffett led Berkshire Hathaway used their manufactured housing mouthpiece, MHI, to posture reforms of Dodd-Frank for years. But that reform of Dodd-Frank was only accomplished under President Trump.

Buffett publicly supported President Barack Obama, who pledged to veto a bill that included a similar provision to S 2155. MHI’s now exited government relations Vice President Jason Boehlert admitted in writing that the passage of MHI’s bill, Preserving Access was unlikely while President Obama was in the White House.

2012 Election Results and Coming Lame Duck Session

By contrast, the Manufactured Housing Association for Regulatory Reform (MHARR) said early on in the Trump Administration that the industry could not ask for a better president in the Oval Office that Donald Trump.

Once understood, its an apparently classic case of what President Trump has called “a rigged system.”

 

Examples of a Corrupt, Rigged System?

The Washington Post made it clear that it was MHARR, not MHI, that worked with the Trump Administration to exit the destructive regulatory steps Pam Danner, JD, caused manufactured housing operations during her tenure at the Office of Manufactured Housing Programs (OMHP).

Greener, Stylish Manufactured Homes – Hidden Facts in the Washington Post Manufactured Housing Narrative

MHI EVP Lesli Gooch specifically told the Washington Post that they did not weigh in on the Danner controversy. That confirmed months of MHProNews reporting on that subject.

By contrast, Mark Weiss, President and CEO of MHARR, was cited by the Washington Post as specifically pushing for the removal of Danner as an Obama Administration holdover, who was working contrary to President Trump’s regulatory freeze order.

The fact-patterns appear to be stark, and clear.

The Buffett/Berkshire dominated MHI was allegedly posturing reforms of Dodd-Frank and HUD, but in fact supported for president, first Barack Obama and then Secretary Hillary Clinton. That’s Mr. Buffett’s right, but then it is debatably unjust for MHI to claim that they were trying to mitigate regulations.

In fact, regarding the Department of Energy (DOE) plans for manufactured housing under the Obama Administration, MHI was promoting heavier regulations, while MHARR stood alone among MH industry associations in Washington D.C. to stop them.

Manufactured Housing Institute (MHI) Shifts on DOE Regulatory Rule, Report, Analysis

Marty Lavin, JD, bluntly said on the record that MHI was working for “the big boys” and their interests.

The MHI award-winning Lavin has previously said “pay more attention to what people do than what they say.” In hindsight, isn’t it clear that MHI said they wanted to make certain reforms, but in fact Buffett’s “big boys” – such as Berkshire owned Clayton Homes, 21st Mortgage and Vanderbilt Mortgage and Finance (VMF) – were working to maintain or even increase regulatory burdens?

Why?

Because heavy regulations are both a barrier of entry to new businesses, and are also a force that can crush existing business operations. It is part of Buffet’s strategic “Moat” philosophy.

 

Using the established principles that high taxes, and high regulations harm smaller business, the Buffett tool of MHI was de facto aiding in the consolidation of manufactured housing companies. These are points President Trump has often raised in a general way in his speeches.

Sources on- and off-the-record have leveled charges that MHI was working against the interests of smaller companies, while Berkshire Hathaway owned brands and some others in manufactured housing were “consolidating” – or killing off – smaller independents for years. MHI’s own data reflects the trend.

 

While MHARR has raised such issues in their own fashion, only MHProNews among the industry’s trade media has spotlighted these concerns. Long-time readers will recall that MHProNews editorially supported and endorsed President Trump during the 2016 campaign. That support drew the attention of the presidential campaign, which for months had one of this writer’s articles on the Donald J. Trump campaign website.

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While the Manufactured Housing Institute (MHI) paid for two pro-Clinton speakers in the closing days before the 2016 election, the Kovach family and MHProNews supported Donald J. Trump’s candidacy as the best for the industry, small business, and hundreds of millions of Americans. One of those stories ended up on the president’s campaign website, and hundreds of conservative and pro-Trump websites.

While industry’s bloggers and MHProNews competitors were often shilling or cheering MHI and Berkshire Hathaway owned brands, MHProNews and those who support this platform stood alone in the industry’s media to warn the industry’s members against the complex, and tortured ways MHI and Berkshire Hathaway were killing off and/or “consolidating” companies at bargain prices.

Time Travelers, and the Future of American Homes

Marty Lavin, a manufactured home industry success story in his own right, has said “follow the money.” People are entitled got their own opinions, but they are not to their own facts. MHI can claim to be working to mitigate regulations, but where is their evidence? Why did MHI VP Rick Robinson dodge questions and debate in Deadwood in 2017? Or why did MHI President Dick Jennison dodge questions in Louisville in 2018?

The Trump Administration is doing their part. They are striving to undo the damage of years of crony capitalism in Washington, D.C., step-by-step.

If Brian Montgomery and Secretary Carson will avoid the trap of appointing a MHI candidate to be the non-career Administrator of OMHP at HUD, it could be another next step forward for millions of Americans.

Based upon reports from industry sources, MHProNews has supported Vic DeRose to replace Danner. DeRose could be someone that holds to the regulatory philosophy of the president, to administer the manufactured housing program in a way that could benefit industry and consumers alike. “We Provide, You Decide.” (C) ## (News, analysis, and commentary.)

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Related Reports:

Understanding the Modern Realities of MHVille – Winners, Losers, Profits, and Loss

Clayton Homes, Top 25 Manufactured Housing Industry Report, Trend Lines

NAR’s Lawrence Yun Raises Alarm for New Housing Crisis, MH Import?

Rollohome, Creating 60,000 Factory-Built Homes in 2 Years

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Who will replace Pam Danner at HUD’s Office of Manufactured Housing Programs?

May 17th, 2018 Comments off
GeorgeAllenPamDannerHUDCodeOfficeManufacturedHousingProgramsDailyBusinessNewsMHProNews

Photo credits are as shown, plus Vic DeRose photo from his law firm, Teresa Payne photo from Manufactured Home Living News, with Payne’s hands above and below the red HUD label on a manufactured home.

The Daily Business News can report that there are multiple candidates for the position vacated by the removal of Pam Danner at the Department of Housing and Urban Development (HUD) Office of Manufactured Housing Programs (OMHP).

 

According to the HUD website, the Mission of “The Office of Manufactured Housing Programs executes responsible regulation and solutions-oriented oversight and monitoring to protect consumers and preserve and promote the affordability, quality, durability, and safety of manufactured homes.  This office also provides technical assistance to Federal Housing Administration programs.”

The one candidate we are able to publicly name at this time is Vic DeRose.

At one point prior to Danner’s selection, DeRose was the “consensus candidate” openly advocated for by both national associations: the Manufactured Housing Association for Regulatory Reform (MHARR), and the Manufactured Housing Institute (MHI).

MHARR still supports DeRose, while MHI is characteristically mum on the topic, at least in public.

VictorAnthonyDeRoseDeRoseLawFirmVicDeRosePhotoDailyBusinessNewsManufacturedHousingIndustryMHProNews

As an attorney with a deep background in manufactured housing, DeRose would bring several useful experiences to the table at HUD. He is liked and respected, per industry sources.

Stating one or more names of others who are seeking the job of administrator over OMHP, or who are being promoted for the position by various interests, would de facto tend to reveal the source(s) for the information.

That said, it is fair to say that there is significant weight that could be thrown behind an alternative candidate to De Rose.

MHProNews know De Rose by reputation, including his deep family ties to the industry.

Industry sources tell MHProNews that De Rose comes highly recommended by those who know him.

 

The Word From HUD

The word heard from the halls at HUD is that no quick decision is going to be made to replace Danner.

As has been previously reported, Teresa Payne is temporarily in charge of the program there. HUD is still officially reviewing the input from public comments to HUD about the MH Program, requested earlier this year.

OfficeofManufacturedHousingProgramsTeresaPayneIshbelDIckensPamelaBeckDannerHUD-ManufacturedHousingIndustryDailyBusinessNewsMHProNews

While De Rose, per our sources, would be a far better leader for the program – especially when compared to what was widely seen by industry professionals as the disastrous years under Danner – sources say it is far from certain that he will get the nod.

What is sure is that the Danner years – which Secretary Carson may have had in mind when he called some of the regulations over manufactured housing “ridiculous” – should serve as a reminder to the industry of just how problematic it is to have the wrong person in that critical role.

MHProNews will continue to monitor the developing situation. Some related back stories regarding Danner are found or linked in the report below. ##  (News, analysis and commentary.)

(Third party images and citations are provided under fair use guidelines.)

Related Reports:

Greener, Stylish Manufactured Homes – Hidden Facts in the Washington Post Manufactured Housing Narrative

Exclusive – HUD’s Manufactured Housing Program Administrator Pam Danner, Update

 

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SoheylaKovachManufacturedHomeLivingNewsManufacturedHousingIndustryDailyBusinessNewsMHProNews-Submitted 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.

 

Manufactured Housing’s “Trojan Horse”

February 21st, 2018 Comments off
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“Tro·jan Horse – A hollow wooden statue of a horse in which the Greeks concealed themselves in order to enter Troy. A person or thing intended secretly to undermine or bring about the downfall of an enemy or opponent,” per Google definitions.

There was a meeting today that revealed several “Inside the Beltway” maneuvers that could prove to be of importance to manufactured housing professionals.

Some now-former Manufactured Housing Institute (MHI) sources told the Daily Business News that the Arlington, VA based trade association was planning in late 2016 for a Hillary Clinton victory.

 

That dovetails with prior reports by MHProNews that MHI had not one, but two paid speakers at their November 2016 Chicago meeting that were supporting Secretary Clinton for president. The MHI’s member briefing at that same Chicago confab suggested that Republicans would lose the Senate, and perhaps the House.

 

The Trojan Horse? 1

Of course, none of that MHI projection proved accurate. But what is of equal or greater concern is that those sources tell MHProNews that MHI – unlike, say the National Federation of Independent Business (NFIB) wasn’t prepared for or desire a Trump victory.

Additional details on two topics that are looming for the industry are also emerging.

One is a flashback reminder that leaders of MHI and leaders of the Manufactured Housing Association for Regulatory Reform (MHARR) met to interview and discuss having industry veteran and attorney Vic DeRose as the agreed upon person for the non-career administrator for the HUD Code manufactured housing program office.

VictorAnthonyDeRoseDeRoseLawFirmPhotoDailyBusinessNewsManufacturedHousingIndustryMHProNews

But per sources, after that MHI-MHARR agreement, reportedly Clayton sources had an MHI team member unilaterally override the joint association compact.

It will be recalled that the non-career administer job for the MH program head was subsequently posted as open by HUD, instead of going to an industry professional – DeRose – who would be motivated to have a balance of consumer protection, cost-benefits, legal, and real-world industry understanding that DeRose represented.

MHI President Richard “Dick” Jennison was reportedly angry at the MHI staff person who opened the door for Pam Danner. Word at the time was that Jennison was planning to terminate that staff person, but was prevented from doing so by a voice speaking for Clayton.

So, the immediate question is why would Clayton want a heavy regulatory hand at HUD?

Among independent producers are those who believe Clayton wanted the same kind of heavy hand as the Obama Administration represented on Dodd-Frank. Why? Because smaller firms are less able to navigate those regulatory forces than larger firms.

 

Trojan Horse 2

There are industry voices that have suggested that the “new class” of manufactured homes MHI is promoting, perhaps using some new moniker instead of “manufactured home,” is another so-called “Trojan Horse. “

MHARR Is among those who have expressed concerns, but industry producers and some state execs are among those who believe that MHI is once more being used large companies to harm the interests of smaller firms.

That MHI plan could impact independent retailers too.

Killing Off 100s of Independent Manufactured Home Retailers, Production Companies – Tim Williams/21st Mortgage “Smoking Gun” Document 2

If that MHI-backed ‘new class’ of homes undermines confidence in the HUD Code in general, that is arguably a step backward, not a step ahead. “We Provide, You Decide.” ©  ## (News, analysis, and commentary.)

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SoheylaKovachManufacturedHomeLivingNewsManufacturedHousingIndustryDailyBusinessNewsMHProNews-Submitted by Soheyla Kovach to the Daily Business News for MHProNews.com.

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