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Posts Tagged ‘jobs’

MHGrassroots: A Call to Action

June 17th, 2014 No comments

As I sit comfortably in a 737 at 30000 feet coming back from a thought provoking meeting at the MHI Expo in Las Vegas I don't have to go in great detail on how the world has changed since 2001.

From how we fly, how we communicate, and even how we conduct business, it has all changed in ways none of us truly imagined then.

Every day I read more about how a government I have grown up loving, is making changes that contradict the core beliefs and attributes it was built upon. With that said, let's look at a few issues that have faced, primarily as it relates to the manufactured home market in the past 15 years.

In Texas we were asleep at the wheel in 2001 when House Bill 1869 took effect. I was but one of the many independent dealers who were wondering how this could have happened. I even looked Gov. Rick Perry in the eye and told him point blank that this bill would cost Texans jobs and would reduce home order sales, which in turn would force the closing of several fine manufacturing plants.

Unfortunately I and those around me were right. Even though the TMHA through a lot of hard work was able to have this poor piece of legislature repealed in 2003, the damage was already done.

I won't go into the specifics of the law itself, but I will say it was a killer from day one. If you have any questions about it, just Google it. I have heard the experts’ state that 85% of the independents who were in the market at that time were wiped out by this law and the recession that hit us in 2008. And guess what. Those folks are gone, probably never to return again.

So let's take a look at where the train came off the tracks.

We were too late to stop one train simply because we weren’t aware it was heading for the station.

If we want to be successful in the legislative arena we have to stop the bills before they get that close to the tracks. We, the industry as a whole, must be vigilant in being aware of any laws, in every city, county, state and federal arena that could negatively impact not only us, but the people around us.

This means we have to know, and have a relationship with, the people in charge. Governor Perry signed that bill even after I told him the truth. Why? Simple, he didn't know me from Adam. No relationship equals no traction. We have to build those relationships in order for our voices to not only be heard but to be accredited.

How was it fixed? A grassroots effort. From the ground up. TMHA called upon every member….who in turn called on every state senator and state representative to repeal a bad piece of legislation. And it worked! Why? Because the industry stood up as a whole, and worked together for the common good of all. I call this a victory for the good guys.

Let's look at another victory.

Last year I received a phone call from a landlord who was my ‘competitor’ in Plainview, Texas. I use that word competitor only because we are after the same pool of customers. I call him a friend.

Basically this city was in the process of creating a city ordinance which would require an inspection on every rental inside the city once it was vacated by a tenant. Never mind the fact that this would be in direct contradiction to the HUD code on a manufactured home. Every house, apartment, and mobile home would have to be brought back to current code if this law passed.

This would mean thousands of dollars spent to update every unit.

One unintended consequence of this law would have forced the citizens to pay rent in excess of three times the current rate.

Another would have riddled the city with homes to be demolished due to the repair cost being more then the value of the home.

Yet another would have been a mass exodus of good paying tenants to the surrounding communities which didn't have this law.

So how did we stop this calamity before it was passed like Texas House Bill 1869?

We showed up in droves. There was standing room only at every hearing. Meetings with every city official we could get and we killed it before it could even be heard by city council. How? It took one phone call from each of us who took the time to make that call. And another victory ensued.

So what does all this mean to you, the reader?

It's time. It is time to make a difference and make a call of your own.

I know you are busy, but don't blow this one off.

Dodd Frank and the SAFE Act are not going away. So what are you going to do? I am calling not only those of us in the industry, but all of us.

The government doesn't need us, but this country does. We are this country's answer to affordable housing. But if the people can't get financing for that home what good are we to them?

If you don't know who to call that's ok. Call your state association. If you are not a member, sign up. If you are a member, get active. Make a difference. You can. ##

shawn-fuller-d-r-housing-new-deal-texas-industry-voices-manufactured-housing-mhpronews-com-75x75-Shawn Fuller
D & R Housing, LLC.
New Deal, TX 79350

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

White House reply to MHMSM.com initiated discussion

January 28th, 2010 5 comments

In a reply to correspondence with President Barack Obama by our www.MHMSM.com editor, here is the message that came in from the White House…


Dear Friend:

Thank you for writing. The images from Haiti of
collapsed hospitals, crumbled homes, and men and women
carrying their injured neighbors through the streets are truly
heart-wrenching. As we learn more about the extent of the
devastation, our thoughts and prayers are with the people of
Haiti.

I have directed my Administration to respond with a
swift, coordinated, and aggressive effort to save lives. The
people of Haiti will have the full support of the United
States Government in the recovery and rebuilding effort,
including the humanitarian relief–the food, water, and
medicine–that Haitians will need in the coming days.

This is also a time when we are reminded of the
common humanity we all share, and Americans have
always responded to these situations with generosity of
spirit. If you would like to support the urgent humanitarian
effort in Haiti, I encourage you to visit our website where
you can learn more about how to contribute:

http://www.WhiteHouse.gov/HaitiEarthquake

Americans trying to locate family members in Haiti
are encouraged to contact the State Department at (888)
407-4747.

We will continue to stand with the people of Haiti
and keep them in our thoughts and prayers.

Sincerely,

Barack Obama


This response came in prior to the President’s State of the Union Address, where he often spoke about jobs. His reply does not specifically address the pressing issue of using America’s factory-built housing industry as part of a concerted response that would house Haitians and create American jobs building strong, modest homes and installing those homes under American leadership. The http://www.mhmarketingsalesmanagement.com/blogs/tonykovach/a-call-to-action/ still makes sense, and we as Industry members should continue to press for a specific response from the President and from your Senators and Congressman.##