Archive

Posts Tagged ‘gorman’

ObamaCare and Manufactured Housing, Take Two

December 19th, 2013 No comments

In Obamacare, a Different Perspective, a well meaning Texas retailer advances his speculation that through the wonder that is Obamacare, fewer of our housing prospects will be forced into medical bankruptcy and a typical manufactured home retailer or stick built homebuilder might enjoy an increase of five or six sales per year. I believe our Texas retailer is well meaning with his speculation but several factors are not included in observation.

First: Having Obamacare does not mean you will be free from a risk of medical bankruptcy. Given the higher premiums being forced onto unwilling buyers along with massive deductibles, the risk of bankruptcy has in all likelihood been increased. Although we encounter very few medial bankruptcies, most of the ones I have encountered are able to find a path to home ownership because the medical burdens of the past are behind them. Under Obamacare the misleading information that premiums would drop has proven to be one more burden on the current administration as it proves to be untrue.

Second: Employers have laid off workers, decided to cancel expansion plans that would have required new workers and cut back the hours of existing workers due to the regulatory burden of complying with Obamacare. I have lost far more sales in 2013 due to these factors than a hypothetical increase in sales might have brought about had Obamacare been in place at the first of the year. We can get the bankrupt prospect past that event in their life and onto a path to homeownership. I can’t say the same for a client whose hours have been significantly reduced to the point of not budgeting for a reasonable house payment or a client who has lost their job.

Third: This same client will now be forced to purchase a federally mandated level of coverage which is an even greater drain on his discretionary income. Lower discretionary income means a lower likelihood of qualifying for the loan.

Fewer jobs, lower income, part time jobs, higher outgo, lower discretionary income will most likely not add up to an increase in business for the housing sector whether it be site built or factory built. Off topic, but to this mix you can add the new Qualifying Mortgage and other Dodd-Frank rules that will further erode sales. We need to dig in and adapt the best we can to all the changing rules that are headed our way. I respectively suggest that Obamacare will not be a boon to sales as was suggested.

doug-gorman.jpgRespectively,
Doug Gorman
Home Mart
Tulsa, OK

RV/MH Hall of Fame Celebrates Inductees

August 13th, 2012 No comments

Surrounded by more than 300 family, friends, and colleagues from across the country, the Class of 2012 was inducted into the RV/MH Hall of Fame (Hall) at a gala ceremony last week in Elkhart, Indiana.

Barry Cole (Manufactured Housing Insurance Services), chairman of the board of directors for the Hall, said, "What a joyous occasion with all past legends and present leaders of our great industries to honor the ten new inductees. There is no industry function that can equal the emotional feeling and happiness when mingling and networking with so many greatest of the great."

Cole believed it was an incredible evening supported by both RV and Manufactured Housing segments.  

Inductees and family members accepting on behalf of deceased inductees include: First Row (L-R): Doug Gorman, 

Stan Sunshine, Gerald "Jiggs" Meuret, Kaki Williamson, Jeanne Mize, Rachel Gandy, Mary Irene Younkin, 

Michael Evans. Second Row: Bob Olson, Kent Titcomb, Allan Yoder, Gail Yoder and Holly Yoder.

"The cocktail party was fun, the huge group picture with all attending was charming, the dinner as always was incredible and best of all was the touring of the RV/MH Hall of Fame itself." Cole continued. "Wandering through the exhibits, theater, library and museum surprised some new guests. They were shocked at the unbelievable greatness and beauty of the building plus discovering their heritage for the first time. All comments from everyone referencing the Hall were in superlatives."

"Some of the many MH veterans who mingled and networked during the cocktail hour were Ron Younkin, Jeff Wicke, Dan Rolfes, Tim Williams, L. A. 'Tony' Kovach, Ken Rishel and George Allen." 

"At dinner Dick Jennison (MHI) was sitting with a contingency of MH professionals Jim Scoular, John Evans, Leo Poggione, Darrell Boyd, Chris Barrett and John Loucks. Ross Kinzler was sitting with Jigs Meuret and Danny Gorbani (MHARR) sitting with Doug and Millie Gorman. These are a few of the enormous number of MH attendees."

"These are a few of the enormous number of MH attendees."

 

Keynote speaker David Humphreys (left). Darryl Searer (right) delivers good news concerning the financial health of the Hall

Keynote Speaker David Humphreys, former president of the Recreation Vehicle Industry Association said, "The Hall of Fame serves many purposes for the industry. 

Besides providing a great consumer attraction, the Hall of Fame defines an important message for the financial community, the media and legislators and gives a sense of pride, unity and accomplishment for the entire industry."

Noting the solid financial footing the Hall of Fame has achieved through the leadership of President Darryl Searer, Humphreys urged audience members to give the same priority to the Hall of Fame they give to industry unity."

In a behind-the-scenes look at the financial status of the Hall and its recovery from near insolvency just a few months ago, Searer declared, "The Hall of Fame has never been in better shape than it is today."

Overall debt owed by the Hall has been cut by $2.5 million in the four months since Searer assumed the Hall presidency.

Cole added, "It was a special evening you just did not want to end. You are invited next year."##

barry-cole-rv-mh-hall-of-fame-manufactured-home-insurance-services-mhisBarry Cole, Chairman, RV/MH Hall of Fame

MHI and it’s varied divisions as compared to MHARR

December 14th, 2011 No comments

Over the last several years trial balloons have been released suggesting that the industry’s best interests would be served by a merger of its two major trade organizations the Manufactured Housing Institute (MHI) and the Manufactured Housing Association for Regulatory Reform (MHARR). MHI serves as a trade organization for all of the major segments of the industry. Those segments (manufacturers, suppliers, communities, retailers and lenders) are represented within MHI by their own specialized division. In contrast, MHARR makes their position absolutely clear that their mission is to protect specifically manufacturers from an over reaching federal bureaucracy in the area of regulatory issues.

My position has been consistent over that same time frame that a merger of MHI and MHARR would not be a good idea for the industry. On a couple of occasions that position was incorrectly interpreted as criticism of MHI. My point instead has been that because of MHI’s role of being an overall industry trade (manufacturers, suppliers, communities, retailers and lenders) organization, taking a very aggressive role in the area of regulatory reform can be a difficult role to fill. On the other hand, MHARR makes no apologies for its repeated efforts to rein in a federal agency that is continuing to take positions and implement new regulations that will have significant cost impacts on our product with unsubstantiated benefits. As the chief executive of MHARR, Danny Ghorbani has been relentless in pursuing that mission. While he would like to be able to operate in concert with HUD, the federal agency that oversees our industry, he is not concerned about remaining pals with HUD if HUD is not functioning within the bounds of current statues.

Recently a proposal has been floated for communities to form their own organization to the point of eliminating MHI. A review of MHI’s current action list should provide a reasonably quick conclusion that one would have little confidence in the ability of a newly formed communities trade organization to accomplish even a fraction of the items on the list absent MHI. Communities (and retailers) should feel free to establish a separate trade organization if they desire to see more focus on the needs of their segment of the industry. That representation can be organized and still lend a voice to the overall trade organization as needed. As a retailer I certainly feel at times that MHI’s role is dominated by the interests of manufacturers. My solution, if so motivated, would be to establish a retail equivalent of MHARR. A retail trade organization that would then be focused on issues facing retailers. I believe that could be possible without establishing a goal of destroying MHI.

While I am not in favor of dismantling MHI, I will concede that I disagree strongly with MHI’s recent capitulation in regard to the preemption of fire sprinklers as they relate to the HUD Code and the activities and positions of the Manufactured Housing Consensus Committee. MHARR’s position was statutorily correct and should have been backed by MHI rather than be undermined. Over a period of twenty years or so of my relationship with MHI, this issue does not mark my first disagreement with them and I have certainly never called for their dissolution due to any of those disagreements. MHI has the capacity and the history to be a very effective voice for the industry. We should work within the organization to address those areas where we disagree.

Douglas Gorman