september/october 2010 message from the ......place on october 4th and the board of realtors...

September/October 2010

INSIDE THIS ISSUE

Executive 41: Red Tape Review 5

Member Changes 5

Legislative Overview-MHI Annual Meeting 6

COSAA Meeting Held by HUD 14

MHI Annual Meeting Highlights 15

Sept. Meeting - 2011 NJMHA Board

Nominees Announced 16

Mid-Atlantic States Convention 17

The Housing Industry in Transition 18

New HUD Code Home Shipments Up 19

MHI Elects Officers and Presents Awards 20

Technology Corner 21

MESSAGE FROM THE PRESIDENT

Stephen C. Coyle

The good news is 2010 is sailing right along; the bad news it is not mov-

ing quickly enough.

Our government reported recently that the recession was indeed over in

June 2009. I guess that was good news. The ―great‖ recession may be

over but it sure doesn’t feel like it to me. Does it to you?

Signs in the economy seem to indicate that things are getting better. This writing took

place on October 4th and the Board of Realtors reported today that pending home sales

nationally were 4.3 % higher for August 2010 than July 2010.That’s certainly good

news! They also reported that sales were 20% less in 2010 than 2009. That’s bad news.

MHI statistics forecast that in 2010 shipments of homes nationwide are up 6.4% over

2009. The good news is that there was an increase; the bad news is that shipments fell

75% since 2005. New Jersey home shipments however will end up 33% better than

2009 according to MHI. That’s really good news! New Jersey shipments from 2007 to

2009 are down 60%. That’s terrible news!

Dan Dugan of Marlette reports that his company’s shipments in NJ are up about 15%

in 2010 over 2009. Rodney Updegrave of Pine Grove reports that their shipments are

up about 15 % as well. More good news!

So what is the prognosis? I am by nature a very optimistic person and I do feel optimis-

tic about the future of our industry, especially in NJ. My sense is that it will take some

time for things to get back to ―normal‖, whatever normal becomes going forward. This

recession will have far reaching effects on housing in this country and especially in

New Jersey. Unemployment will keep wages from rising well into the future and with

the highest housing costs in America it just makes sense that New Jersey households

will have no choice but to find affordable housing. This I predict will happen in

(Continued on page 4)

September/October 2010 Housing Insight

Housing Insight serves as a medium of exchange of ideas and information

on the manufactured housing industry to members. No responsibility is

assumed by the publisher for its accuracy or completeness. The views ex-pressed and the data presented by contributors and advertisers are not to be

construed as having the endorsement of NJMHA, unless so specifically

stated.

ADVERTISERS INDEX

Dolan Enterprises 888-282-1444 5

Ernst, Ernst & Lissenden 732-349-2215 4

Garden Homes Management 203-653-2475 10

GPM Associates, Inc. 856-354-2273 22

Hanlon Niemann, P.C. 732-863-9900 7

Key West Insurance Agency 856-374-1520 15

Lori C. Greenberg & Assoc. 856-596-9300 8

Marlette Homes 717-248-3947 13

Modern Financial Plans & Svc. 800-523-5686 23

MSI 800-247-1674 22

Rosenbluth, Corsanico & Matz 610-239-6960 14

Schechner Lifson Corp 908-598-7800 2

Tyler & Carmeli, P.C. 609-631-0600 12

U.S. Bank 866-300-8345 11

Please Support Our Advertisers!

HOUSING INSIGHT Ph: 609-588-9040

Published by NJMHA Fax: 609-587-6697

Editor: Joan B. Fittz

2741 Nottingham Way

Trenton, New Jersey 08619

E-Mail: [email protected]

Website: www.njmha.org

2010 BOARD OF TRUSTEES

OFFICERS

PRESIDENT: Stephen Coyle

Wickatunk Enterprises, LLC, Morganville, NJ

1st VICE PRESIDENT: Robert V. Dolan

Dolan Enterprises, Egg Harbor Twp., NJ

2nd VICE PRESIDENT: Bruce Callen: Schechner Lifson Corp., Summit, NJ

SECRETARY: Sean Dalton

Haylor, Freyer & Coon, Inc., Syracuse, NY

TREASURER: Lori C. Greenberg, Esq. Lori C. Greenberg & Associates, Marlton, NJ

PAST PRESIDENT: Diane Oresto Clearwater Village, Spotswood, NJ

TRUSTEES

Steve Bergstrom: Holly Tree Acres, Pittsgrove, NJ

Dan Dugan: Marlette Homes, Elkton, MD

Christopher J. Hanlon, Esq.: Hanlon Niemann P.C.,

Freehold, NJ

Craig Hebeler: Land O’Pines MHP, Jackson, NJ

Warren Keyes: Sunscape Homes, North East, MD

Tom McCann: Key West Insurance Agency, Sewell,

NJ

Debbie Skipper: Pine View Terrace, LLC

Jim Sonday: Jensen’s Deep Run

NancyLu Viviano: Fountainhead Properties,

Jackson, NJ

Jim Welsh: Tammac Corp., Wilkes-Barre, PA

PAST PRESIDENTS COUNCIL

Lila Motter: Chapman MH, Vineland, NJ

David Rivkin: Galaxy Manor, Toms River, NJ

John C. Solly: Galaxy Manor, Toms River, NJ

STAFF

Joan B. Fittz, Executive Director

Elena Malfi, Executive Assistant

Housing Insight July/August 2008 Page

MARK YOUR CALENDAR!

NJMHA EVENTS

October 20 - Executive Committee Meeting

26-27 - 5-State Mid-Atlantic Convention, Albany NY

November

9 - NJMHA Annual Meeting & Seminars,

Harrah’s Atlantic City

17 - Board of Directors Meeting

December

15 - Executive Committee Meeting

NJMHA Events are also listed on the Calendar in the

“Members Only” section of www.njmha.org

Registration forms with complete details can be

downloaded , completed and faxed or mailed in to us!

Housing Insight September/October 2010

Call Harrah’s at 800-345-7253 to reserve your

room for the NJMHA Annual Meeting - tell

them you are with NJMHA to receive the $77 per

night rate, applicable for Nov. 8-10!

Early Bird registration price is valid for

registrations received by Oct. 29!


(President’s Message continued from page 1)

earnest when potential home buyers believe the economy has stabilized and their jobs are no longer ―at risk‖. Our prod-

uct, we all know, is the best and most affordable housing stock available in New Jersey. Our position will be bolstered

because the days of lax credit standards and ―little or no down payments‖ for site built housing are over. Lower income

families will be forced out of that market which should translate to a positive for our industry. If, as, and when, housing

demand returns, manufactured housing inevitably must be an alternative for those that are not ―Toll Brothers‖ worthy.

Other than the irrefutable effects of the recession there is another factor looming in our favor; Municipalities in a blatant

attempt to scuttle their responsibility to low income households convinced our State government to attempt to kill

COAH and the ―Affordable Housing‖ effort. There will be legal battles and I strongly suspect that COAH will not be

eliminated. However the legal wrangling will take time to play out and meanwhile we will be the only truly affordable

housing readily available. This too spells opportunity for us and it behooves all of us to keep a strict eye on the look and

condition of our communities. With the proper presentation Manufactured Housing just may be rediscovered in NJ!

Poor economic conditions will, in all probability, linger for a while so ―better days‖ may be a year or so in the future.

But indications are they are on the horizon and we should be aware of and prepared for what the aftermath of this reces-

sion could mean for us.

So the bad news was the recession! The good news is the recession is over and the fallout of all the poor decisions creat-

ing the housing downturn could wind up giving us a needed boost.

The other good news: Interest rates are very low and contrary to what we hear about banks not lending, there is a lot of

money available if you know where and how to look for it. NJMHA among other things is considering a work session on

financing is early 2011. Please give us your feedback on this or other subjects that warrant your interest.

Hang in there, 2011 and Better Days are just around the corner!

Comprehensive Planning & Engineering Services for

Land Development Home Tie Down Plans

John J. Mallon John N. Ernst

Robert J. Romano

ERNST, ERNST & LISSENDEN CONSULTING ENGINEERS, PLANNERS AND SURVEYORS 52 Hyers Street, PO Box 391 Toms River, New Jersey 08753 T e l e p h o n e : ( 7 3 2 ) 3 4 9 - 2 2 1 5 F a x ( 7 3 2 ) 3 4 9 - 4 1 2 7

www.eelengr.com


Are you redeveloping your community?

Are you replacing homes

In your community?

Do you need to remove and dispose of those old single wides?

We can remove and

dispose

of your old homes!

Call

Dolan Enterprises

Robert V. Dolan

888-282-1444

Long-time member of your Association!

On September 23, 2010, Executive Order No. 41 was

signed to establish a Red Tape Review Commission. The

Commission is charged with continuing the ―review [of]

existing administrative rules and regulations to analyze

their impact on job creation, economic growth, and invest-

ment in New Jersey.‖ The Commission replaces the Red

Tape Review Group, which was created by Executive Or-

der No. 3 to serve a function similar to that of the Commis-

sion. The Group issued a comprehensive report on April

19, 2010, which recommended legislative and agency ac-

tion designed to improve administrative rulemaking.

The Commission will consist of up to nine members, in-

cluding the Lieutenant Governor, four members of the State

Legislature, and up to four public members with experience

and expertise in the regulatory process. The Commission

will solicit comments from the public and will conduct at

least three public hearings per year. The Commission will

be responsible for issuing periodic reports to the Governor,

which address the following issues: ―existing rules, regula-

tions and legislation that are burdensome to the State’s

economy; ways to improve the regulatory processes of the

State government; and on other areas relevant to adminis-

trative procedural reforms.‖

Executive Order No. 41 will expire on December 31, 2013,

at which point the Commission will be subject to reauthori-

zation to determine whether it remains necessary. Send us

your thoughts on regulations and legislation that might be

appropriate for Commission review!

By Margaret B. Carmeli, Esq. and Matthew Krantz, Esq.

Tyler & Carmeli P.C. [email protected]

EXECUTIVE 41: RED TAPE REVIEW

COMMISSION ORDER NO

WELCOME NEW MEMBERS!

(Please Update your Who’s Who Directory)

Spartan Village, Inc.

Stephen C. Coyle, Jr.

511 Wrightstown-Sykesville Road

Wrightstown, NJ 08562

609-723-2279

E-mail: [email protected]

Fortescue Marine Services, Inc.

Laura J. Scruggs

74 Lake Street

Bridgeton, NJ 08302

Ph: 856-207-1455 Fax: 856-455-1561



ARBITRATION: In 2009, Rep. Hank Johnson (D-GA) and Sen. Russell Feingold (D-WI) introduced companion bills

(H.R. 1020 and S. 931) classifying pre-dispute arbitration agreements invalid and unenforceable if they require arbitra-

tion of an employment, consumer, franchise or civil rights dispute. Business and housing groups have opposed the legis-

lation. Neither chamber has taken action on their respective bills.

BANKRUPTCY CRAM DOWN: Preliminary versions developed by the House and Senate of the Helping Families Save

their Homes Act of 2009 (H.R. 1106 and S. 895) would have allowed bankruptcy judges to rewrite the terms of a loan,

―cram down‖ the principal amount owed and lower interest rates. While the House passed its version of the bill in March

2009, a coalition of housing stakeholder groups, including MHI, thwarted attempts to move the Senate bill. The final

negotiated version of the act that was eventually enacted into law (S. 896, P.L. 111-22) did not contain cram down provi-

sions. The issue has not yet resurfaced during 2010.

CARRIED INTEREST: Legislative efforts to increase the tax on carried interest which would potentially apply to the gen-

eral partners in a real estate partnership have surfaced in the House and Senate. Initial proposals would amend the tax

rate on carried interest from the current capital gains rate (15 percent) to ordinary income (35 percent).

Absent enactment of any legislation, expiration of the Bush tax cuts will automatically impact carried interest by raising

the maximum rate on long-term capital gains to 20 percent.

While efforts to move tax extension legislation have stalled, House and Senate versions of the bill would modify the

treatment of carried interest to raise revenue to pay for extension of various tax cuts and credits.

To the extent that carried interest reflects a return on invested capital, House and Senate measures would continue to tax

carried interest at the capital gains tax rate. To the extent that carried interest does not reflect a return on invested capi-

tal, legislation developed by Senate Finance Committee Chairman Max Baucus (D-MT) in September 2010, would re-

quire entities to treat 75 percent of the carried interest as ordinary income (beginning January 1, 2011). For assets that

are held five years or more, the amount treated as ordinary income is reduced to 50 percent (for carried interest that does

not reflect a return on invested capital).

In the version (H.R. 4213) passed by the House in May, carried interest that is not a reflection of invested capital would

require entities to treat 75 percent of the carried interest as ordinary income beginning January 1, 2013 (50 percent for

taxable years beginning before 2013). The House bill does not contain a provision—similar to the Senate—that would

reduce the amount of carried interest treated as ordinary income based upon the length the asset has been held.

Efforts to pass tax extension legislation have stalled in the Senate over disagreements on appropriate means to under-

write the cost of the bill. It is anticipated that the House and Senate will attempt to pass tax extension legislation during

a ―lame duck‖ session of Congress currently scheduled to begin November 15.

ENERGY EFFICIENCY/HOME REPLACEMENT PROGRAM: In March 2009, Rep. Baron Hill (D-IN) introduced the En-

ergy Efficient Manufactured Housing Act (H.R. 1749). Companion legislation (S. 1320) was introduced in the Senate

by Senator Jon Tester (D-MT) on June 22, 2009.

Both bills authorize the Department of Energy (DOE) to make grants to states to provide owners of manufactured homes

constructed prior to 1976 with a one-time only rebate of up to $7,500 to use towards the purchase of a new Energy Star

qualified manufactured home (the House bill authorizes $1 billion annually through fiscal year 2012 and the Senate

measure authorizes ―such sums as necessary‖). To be eligible, home owners could not have a total household income in

excess of 200 percent of an area’s poverty level.

On May 6, 2010, the House of Representatives adopted a broad-scale home energy retrofit bill (Home Star Energy Ret-

rofit Act of 2010; H.R. 5019), which includes amended provisions from the Energy Efficient Manufactured Housing Act.

The Senate Energy and Natural Resources Committee approved S. 1320 on August 5.


LEGISLATIVE OVERVIEW—MHI ANNUAL MEETING


ENERGY STAR TAX CREDIT EXTENSION: Tax extension legislation (H.R. 4213) approved by the House of Representa-

tive May 28, 2010 extends, for one year (through 2010), the tax credit providing $1,000 to manufacturers of Energy Star

HUD Code homes and $2,000 for modular homes. Legislation developed by Senate Finance Committee Chairman Max

Baucus (D-MT) similarly extends each tax credit. However, the Senate legislation has failed to garner the 60 votes nec-

essary for cloture to bring the measure up for a vote before the full chamber. MHI, along with a broad-based coalition of

energy efficiency and environmental organizations, housing associations, public interest groups are urging Members of

Congress to extend the New Home Energy Efficient Tax Credit.

FANNIE MAE AND FREDDIE MAC: In January 2011, as part of the Dodd-Frank financial reform bill (H.R. 4173; P.L.

111-517), the Treasury Department is required to provide official recommendations on reforming the housing finance

system and the future role and structure of the Government Sponsored Enterprises (GSEs). Whether GSEs will continue

their affordable housing mission through a federal government nexus or become private companies answerable only to

their stockholders remains unknown. MHI will be evaluating its policy in this important area. MHI staff has recom-

mended the establishment of a special housing finance and GSE reform task force to assist in the development of MHI

policy on this issue.

FEMA ACCOUNTABILITY/DISPOSAL OF TEMPORARY HOUSING UNITS: In August 2009, the Senate passed legislation

(S. 713) introduced by Sen. David Pryor (D-AR) requiring the Federal Emergency Management Agency (FEMA) de-

velop and implement a plan addressing the abundant supply of surplus manufactured and temporary housing units owned

by the federal government. The legislation is intended to ensure FEMA and General Services Administration (GSA)

develop appropriate disposal protocols that prevent homes no longer intended for residential occupancy from being used

as permanent housing. The measure now awaits House consideration.

FORMALDEHYDE: On July 7 President Obama signed into law legislation (S. 1660; P.L. 111-169) sponsored by Sen.

Amy Klobuchar (D-MN) requiring all finished wood products comply with the California Air Resources Board (CARB)

standard for formaldehyde by 2011. The Environmental Protection Agency (EPA) is directed to promulgate regulations

to implement the standard no later than January 1, 2013. The bill establishes ―sell-through‖ provisions that stipulate the

(Continued from page 6)



formaldehyde standard will go into effect, based on a manufactured date, no less than 180 days following the date EPA

promulgates regulations. Those products manufactured prior to that date would be exempt from the standards. MHI

worked to amend the legislation to strip a ―sell by‖ date requirement which would have been beyond the control of

manufactured and modular home retail sales centers. Typically, there is a lag time between production and sale. In the

current economy that lag can be significant. The legislation was also amended at MHI’s request so HUD, as opposed to

EPA, will have jurisdiction over formaldehyde standards and enforcement for manufactured housing.

HOMEBUYER TAX CREDIT: On July 2 President Obama signed into law legislation (H.R. 5623; P.L.111-198) providing

a three-month extension on the deadline to claim the $8,000 first-time homebuyers tax credit as well as the $6,500 credit

for existing homeowners. Buyers had until September 30 to close on a home sale to claim the credit. The closing dead-

line was originally June 30. To be eligible, buyers must have contracts that were signed by April 30 and the home pur-

chased must serve as a primary residence. MHI was part of a broad coalition that supported extension of the credit.

MHI has also been successful in convincing the IRS to accept sales contracts for manufactured homes because settle-

ment statements are not used in ―home only‖ transactions.

The first-time homebuyer tax credit, initially authorized under the American Recovery and Reinvestment Act (ARRA),

was originally scheduled to end November 30, 2009 but was subsequently extended until April 30, 2010 and expanded to

allow current homeowners to receive a $6,500 tax credit for purchasing a primary residence if certain requirements are

met.

FINANCIAL REGULATORY REFORM: On July 21, the Restoring American Financial Stability Act (H.R. 4173; P.L. 111-

517) was enacted into law. Most notably, it establishes an independent Consumer Financial Protection Bureau (CFPB)

which is responsible for enforcing consumer protection laws as well as regulations for banks and credit unions with as-

sets over $10 billion and all mortgage-related businesses (lenders, services and mortgage brokers) and large non-bank

financial companies, such as payday lenders, debt collectors, and credit reporting agencies. The bill transfers the author-

ity to administer most financial-related consumer protection laws to the new bureau including the SAFE Act, Home



LORI C. GREENBERG & ASSOCIATES "I take pride in personal and responsive service to my clients."

Lori C. Greenberg, Esq.

More than twenty years of experience in land lease community issues

including but not limited to:

Rent Control

Landlord/Tenant Disputes

Evictions

Oil Tank & Resale Issues

Contract and Lease Issues

Abandonment

Title Transfers

Fair Rate of Return and Hardship

Increase

Wills & Estate Planning

1 Eves Drive, Suite 111

Marlton, New Jersey 08053

Phone: (856) 596-9300 Fax: (856) 424-7264


Mortgage Disclosure Act, Real Estate Settlement Procedures Act, and Truth in Lending Act.

MHI was successful in exempting industry salespersons and retailers from the scope of the new Consumer Financial Pro-

tection Bureau if they are 1) acting as an agent or broker for a buyer or seller of a manufactured home or a modular home

or 2) facilitating the purchase by a consumer of a manufactured home or modular home by negotiating the purchase price

or terms of the sales contract.

A significant amount of regulatory activity, spanning a broad array of housing and housing finance related issues, is ex-

pected to coincide with the establishment of the CFPB. The impact of this regulatory activity on the manufactured hous-

ing industry has the potential to be significant.

Initial estimates conservatively indicate the act will require more than 240 new rulemakings, nearly new 70 one-time

reports/studies, and more than 22 new on-goings studies. This does not include the administration of existing regulations

and laws that will be transferred to the CFPB—there are roughly 17 existing consumer/housing finance-related laws that

will now fall under the new bureau’s jurisdiction—or existing rulemakings that were in progress at the time of the bu-

reau’s inception.

MHI is proposing the development of a dedicated task force within the Financial Services Division to assist MHI staff in

responding to proposed regulations.

SECURE AND FAIR ENFORCEMENT OF MORTGAGE LICENSING ACT (SAFE): In July 2008, the House and Economic

Recovery Act of 2008 (HERA; P.L. 110-289) was enacted into law. The law includes provisions known as the Secure

and Fair Enforcement of Mortgage Licensing Act (SAFE Act).

The SAFE Act was designed to enhance consumer protection and reduce fraud by requiring that states establish mini-

mum standards for the licensing of mortgage loan originators (MLOs). The law tasks the Conference of State Bank Su-

pervisors (CSBS) and the American Association of Residential Mortgage Regulators (AARMR) with establishing and

maintaining a Nationwide Mortgage Licensing System and Registry (NMLSR) for the residential mortgage industry.

Under the SAFE Act, Congress did not intend to classify individuals performing administrative or clerical tasks as loan

originators. The law specifically excludes those performing purely clerical tasks from being defined as a loan originator.

While not directed by Congress, CSBS and AARMR drafted a Model State Law (MSL) to assist states in enacting SAFE

Act compliant laws. The MSL disregards legislative intent and removes the exclusion Congress intended for those per-

forming administrative or clerical tasks. This has created substantial confusion among states in applying the SAFE Act to

manufactured home salespersons and retailers, a majority of whom only perform purely administrative or clerical tasks

during the home sales process.

Additionally, companies already holding state-mandated lending licenses are now forced to obtain additional lending

licenses for business activity in which they are not involved. This is resulting in redundant disclosures requirements,

conflicts between rates and charges, and in many instances, duplicative examinations from multiple state agencies in or-

der to conduct identical transactions.

Legislative clarification is necessary to assist states in properly and efficiently implementing the SAFE Act for the

manufactured housing industry Representatives Joe Donnelly (D-IN) and Bill Posey (R-FL) have introduced the Manu-

factured Housing Licensing Clarification Act of 2010 (H.R. 5369).

TAX EXTENSION LEGISLATION: The Senate has been unsuccessful in attempts to secure the 60 votes needed to invoke

cloture and bring legislation extending various tax provisions up for floor consideration which contains key housing pro-

visions. The Senate may consider a measure during a ―lame duck‖ session of Congress after the November elections.

The post-election session is scheduled to begin November 15. The House adopted a package of tax extenders (H.R.

4213) in May 2010.




WEATHER RADIOS/DISASTER ALERT SYSTEMS: In December 2009, the House of Representatives approved legislation

(H.R. 320) sponsored by Rep. Brad Ellsworth (D-IN) requiring each manufactured home delivered for sale be supplied

with a weather radio: (1) capable of broadcasting emergency information relating to local weather conditions; (2)

equipped with a tone alarm and Specific Alert Message Encoding, or SAME technology; and (3) compliant with the

Consumer Electronics Association (CEA) Standard 2009-A Performance Specification for Public Alert Receivers. The

measure awaits consideration in the Senate. MHI continues to: educate Members of Congress and staff that disasters do

not discriminate against different types of structures and all individuals in harms way should be notified; and stress that

present law (WARN Act) already addresses the issue of notifying individuals of impending natural or man-made disas-

ters.

SECTION 502 RURAL HOUSING LOAN PROGRAM: On July 29, the administration signed into law legislation (H.R.

4899; P.L. 111-212) containing an MHI-supported provision allow the USDA Section 502 Single Family Rural Housing

Guaranteed Loan program to continue operating this year. The bill increases the annual commitment authority for the

program to meet expected loan demand. The program ran out of funds in May due to high demand. The bill allows an

increase of the current two percent up-front fee to 3.5 percent and an annual fee of up to 0.5 percent to make the program

self-funding. USDA has indicated it would need to raise the up-front fee to approximately 3.5 percent to make the pro-

gram self-sustaining, but is not expected to implement an annual fee until fiscal year 2011.

REGULATORY ISSUES OVERVIEW

FHA TITLE I REFORM/GINNIE MAE: New Federal Housing Administration (FHA) Title I program guidelines offi-

cially became effective on June 1, 2010. MHI and its lenders and community owners attended a lenders forum in June

with the FHA Commissioner and Congressman Joe Donnelly (D-IN) where the announcement was made. The purpose

of the forum was to identify opportunities for additional lending for manufactured housing. On June 10, 2010 Ginnie

Mae announced it is now accepting applications by lenders for participation as Issuers of Mortgage Backed Securities




(MBS) backed by Title I loans originated under the new program. Ginnie Mae provides some initial guidelines for new

Issuers, but full program specifics were expected by September 1, 2010. MHI is also engaged with Ginnie Mae in an

effort to scale back the proposed capital requirements lenders must have in order to be Ginnie Mae issuers. MHI is cur-

rently in the process of setting up a meeting with the President of Ginnie Mae and the FHA Deputy Assistant Secretary

of Single Family Housing in the next several days on this issue.

FHA TITLE II FOUNDATION REQUIREMENTS: Last fall FHA published a proposed final rule to replace HUD’s Perma-

nent Foundations Guide for Manufactured Housing with HUD’s new Model Installation Standards as the foundation

installation criteria that must be met for Title II financing approval. FHA has delayed publishing the final rule imple-

menting the replacement.

MHI has requested HUD move forward with publishing a final rule that, at a minimum, repeals the guide in states where

approved installation programs are operating. In February 2010 HUD issued a proposed rule asking for public comment

on whether to move forward and eliminate the Permanent Foundation Guide in those states that have HUD approved

programs. MHI submitted comments in support of the proposal and urged HUD to move forward expeditiously. HUD

has indicated that it will not issue a final rule until it has its own program in those ―default‖ states that have not adopted

their own installation programs.

GSE DUTY TO SERVE PROVISION: On August 4, 2009 the Federal Housing Finance Agency (FHFA) commenced im-

plementation of the GSEs duty to serve manufactured housing with an Advance Notice of Proposed Rulemaking

(ANOPR). MHI submitted a comment letter to the FHFA responding to several questions posed in the ANOPR. On

June, 7, 2010 FHFA issued its proposed rule on how it plans to have the GSEs meet this congressionally mandated duty.

The proposed rule states that personal property loans will not be considered. MHI submitted comments to the proposed

rule—the comment period closed July 22. As part of MHI’s efforts, more than 1,000 individual comments and letters

were submitted to FHFA in support of the industry position that GSE duty to serve requirements extend to manufactured




home loans secured by personal property. MHI staff continues to communicate with FHFA officials to include personal

property lending in the GSE duty to serve obligation as part of any final rule. In addition, the Senate version of the

Transportation, Housing and Urban Development, and Related Agencies Appropriations bill (S. 3644) contains report

language, supported by MHI, directing HUD, FHFA and the GSEs to develop a secondary market for manufactured

home loans secured by personal property.

ON-SITE COMPLETION RULE: On August 23, 2010, MHI submitted comments on HUD’s proposed rule to establish

uniform procedures for completing construction of a manufactured home on site, rather than in the factory. The pro-

posed rule contains uniform procedures for completing construction on site without advanced approval from HUD.

While MHI supports an alternative to the current regulations, a number of changes are necessary to ensure a more

streamlined process for on-site construction and to meet HUD’s stated goal to ―simplify the process and obviate the need

for HUD approval‖ and to ―expand regulatory flexibility and facilitate the timely completion of manufactured homes on-

site.‖

ENERGY REQUIREMENTS: In February 2010 the U.S. Department of Energy (DOE) issued an Advance Notice of Pro-

posed Rulemaking (ANOPR), on Energy Efficiency Requirements for Manufactured Housing as directed by the Energy

Independence and Security Act (EISA) of 2007. DOE’s Building Technology Program is leading the agency’s efforts to

develop new energy standards for manufactured housing comparable to the IEEC standards for site built housing. MHI

submitted comments to the ANOPR and has been meeting with program staff to ensure that the industry’s concerns are

addressed as the Department drafts the requirements. Efforts to meet with the DOE policymakers continue. DOE has

indicated it plans to publish a proposed rule in the Federal Register early in 2011. MHI has developed a legislative pro-

posal to amend EISA to clarify HUD’s role in the establishment and enforcement of the DOE energy standards and to

require that DOE consider affordability and the lowest total energy cost to the homebuyer.

3280 SUBPART I: Efforts will need to be focused on responding to the publication of a proposed rule. A proposed rule

is in internal clearance at the Department of Housing and Urban Development (HUD). MHI will work with its members

to submit comments. Efforts to address existing Subpart I issues that are not related to occupant safety or to significant

structural matters will continue.

RESIDENTIAL FIRE SPRINKLERS: MHI has adopted polity to support the adoption by HUD of a preemptive fire sprin-

kler standard only when a state or local jurisdiction requires that a fire sprinkler system be installed for all single family

homes, or if a manufacturer voluntarily elects to install a fire sprinkler system. The MHI Technical Activities Commit-

tee (TAC) has developed a proposed standard which has been submitted to HUD and the MHCC for adoption. MHI will

continue to work to seek adoption of this ―where required‖ fire sprinkler standard into the HUD Code.

INSTALLATION PROGRAM/INSTALLATION STANDARDS IMPLEMENTATION: Efforts continue to be focused on assisting

states and manufacturers with the implementation of the program and on addressing installation standards issues that will

surely arise. MHI’s TAC will need to consider proposing amendments to the standards based on issues that have identi-

fied themselves through implementation such as weather protection for ground anchors, air intake ducting, etc.



TYLER & CARMELI, P.C. Attorneys at Law

George J. Tyler Margaret B. Carmeli

Serving New Jersey business in the following areas of law:

Environmental Issues Contract & Construction Issues Commercial Transactions Insurance Coverage

Litigation Regulatory & Legislative Representation Planning & Zoning Real Estate

1 AAA Drive, Suite 204, Robbinsville, New Jersey 08691

Tel 609-631-0600 Fax 609-631-0651

[email protected] [email protected]


PROPOSED AMENDMENTS TO THE HUD CODE: MHI has submitted comments on HUD’s July 13, 2010, pro-

posed rule to amend the Manufactured Housing Construction and Safety Standards (MHCSS) based on the

―second set‖ of recommendations proposed by the Manufactured Housing Consensus Committee (MHCC) in

2006. MHI will continue to work with HUD and the MHCC on the third set of proposed amendments based on

public proposals submitted in 2007 and 2008. MHI’s Technical Activities Committee is working proactively to

identify other aspects of the HUD code that need attention, and MHI will continue to work with HUD and the

MHCC to address these issues.

ROOF TRUSS TESTING PROCEDURES: On August 16 MHI submitted comments to HUD opposing its proposed

rule to establish new testing procedures for roof trusses. The proposed rule would, among other things, require all

existing roof truss designs to be retested and recertified utilizing new, more time consuming and costly methods.

MHI argued that the proposed procedures are unnecessary and will increase costs to consumers with no demon-

strated benefit. MHI and dozens of industry members and experts do not believe the proposed changes to the roof

truss testing procedures will have any impact on performance.

PREEMPTION: In February 2010 MHI adopted as a key regulatory priority an effort to protect and preserve pre-

emption. Under the Manufactured Housing Construction and Safety Standards Act, no state or political subdivi-

sion of a State shall have any authority either to establish or to continue in effect, with respect to any manufac-

tured home, any standards regarding construction or safety applicable to the same aspect of performance of such

manufactured home which is not identical to the Federal manufactured home construction and safety standard.

Those aspects of performance not covered by the HUD code are subject to local or state regulation. Fire sprinklers

are an example because HUD has determined that mechanical fire suppression is not an aspect of performance

covered in the HUD Code. MHI has addressed this problem by proposing a preemptive ―where required‖ HUD

standard for fire suppression. MHI will continue efforts to identify other aspects of performance not covered in

the HUD code and to suggest additional solutions to strengthen preemption.

3282 SUBPART E & H: HUD has drafted and submitted to the MHCC proposed amendments to 3282 Subparts E

& H dealing with plant certifications and PIA responsibilities. MHI has reviewed and commented on the proposed

rules which were considered by the MHCC in 2008 and 2009. The MHCC has submitted its proposal to HUD. In

the meantime HUD has been moving forward through a process of cooperative assistance with the manufacturers

to comply with 24 CFR 3282.203(c) and (d) regarding quality assurance regulations. In late 2009 MHI held a

meeting with HUD to discuss a number of concerns about the process. These concerns are ongoing. MHI contin-

ues to work with HUD to develop improvements to the process.

FORMALDEHYDE: Legislation enacted into law in July 2010 establishing formaldehyde emissions standards for

wood products will necessitate a change in the HUD code. The MHCC is considering proposed changes to the for-

maldehyde requirements in the HUD code. MHI is recommending that a technical/legal task force meet to con-

sider the impact of the legislation on the current HUD code and whether the recertification requirement and the

warning label should be eliminated.


DID YOU KNOW?

Archived issues of Housing Insight and our Email

Updates are always available on our website,

www.njmha.org in the ―Members Only‖ section!


The Council of State Administrative Agencies (COSAA) was held in Washington D.C. September 13-15. Approximately

85 people attended the meeting, including 30 States, several manufacturers, suppliers, state association executives, and

virtually all of the Primary Inspections Agencies.

The COSAA co-chairs, Mark Luttich (Nebraska SAA) and Tim King (New York SAA) called on HUD to fund its or-

ganization so it can meet more regularly, at least once a year either in regional meetings or nationally. HUD said that it

plans to hold regional meetings next year and another national meeting in 2012. The COSAA elected new officers and

committed to training and orientation of the numerous new members of the group. COSAA agreed to become more in-

volved in the Manufactured Housing Consensus Committee, and communicate more often with its industry partners, as

well as participate in a COSAA blog that will be hosted by the California SAA.

The group discussed the funding challenges in their states. All states represented said that they are pleased with their pro-

gress implementing and administering the manufactured home installation and dispute resolution programs. The number

of consumer complaints has fallen, and the programs have provided a much needed source of revenue for the SAA’s.

Several states are considering eliminating their SAA program and several have said that they cannot adequately fulfill

their SAA responsibilities because of funding limits. HUD said it is looking at ways to provide more funding to the

SAA’s. A number of SAA’s worked with the industry to raise fees for their inspection programs.

During the three days the COSAA met in regional groups to discuss issues affecting their individual states, and held ple-

nary sessions on fire sprinklers, quality assurance, DOE energy standards for manufactured housing, FEMA Disaster

Units, and the FHA manufactured home loan programs. Several States gave presentations on their dispute resolution pro-

grams and state installation programs. HUD Deputy Assistant Secretary for Risk Management and Regulatory Affairs,

Teresa Payne, participated in a panel on quality assurance saying that she believes that this cooperative effort with manu-

facturers, HUD, and the states will contribute to a resurgence of growth in manufactured housing. Robert Ryan, HUD’s

Assistant Secretary for Risk Management and Regulatory Affairs addressed the group and discussed his role in the De-

partment’s risk management initiatives.

HUD said that it hopes to have a final rule out next year to allow homes insured under the FHA Title II program to be

installed in accordance with HUD approved state installation programs. The Department of Energy said it expects to

have a proposed rule on new energy standards for manufactured homes published in the Federal Register in early 2011.

The Primary Inspection Agencies (PIA’s) held a lively meeting with HUD and its contractor, IBTS, to discuss among

other things, the HUD Quality Assurance (QA) Initiative. HUD announced that it will hold a meeting with PIA’s in No-

vember to discuss the auditing process under the QA initiative.

ROSENBLUTH, CORSANICO & MATZ CERTIFIED PUBLIC ACCOUNTANTS

SPECIALIZING IN

MANUFACTURED HOUSING COMMUNITIES

2231 DEKALB PIKE

EAST NORRITON, PA 19401

Phone: (610) 239-6960 Fax: (610) 239-6963


THOMAS P. CORSANICO, CPA

DOUGLAS L. MATZ, CPA

COSAA MEETING HELD BY HUD

Association Annual Meeting Day November 9, 2010

Harrah’s Resort Atlantic City

Registration fee includes all of these informative sessions, plus lunch,

afternoon coffee break, cocktail reception, and Buffet Dinner

—————————————————————————— ———————————–

RESERVATION FORM: Annual Meeting Day— November 9, 2010- Harrah’s

Company___________________________________________________

Name(s) _________________________ ____________________________

_________________________ ____________________________

Phone:_________________________ e-mail _________________________

Cost: $145 per person by October 29 Sponsorship Opportunities:

$160 after October 29 $100 = silver _____

$250 = gold _____

Amount Enclosed ___________

Return to: NJMHA

2741 Nottingham Way, Trenton, NJ 08619

Phone: 609-588-9040

Fax: 609-587-6697


Event Schedule 9:00 -10:00 a.m. – Registration

10:00-11:00 – Opening General Session:

Resident Relations Panel (Robert Dolan, Carmen Zullo, John Solly)

11:00-12:00 – General Session:

Employee Healthcare Insurance (Michael Lewis)

12:00 -1:00 – Lunch (served hot entree)

1:00 -2:30 – Annual Meeting (Board Election, Committee Reports)

2:30-2:45 – Break

2:45 - Legal Potpourri (Chris Hanlon, Lori Greenberg, and Margaret Carmeli)

6:00 -7:00 – Cocktail Reception

7:00 - Buffet Dinner and Awards

This event is a sure bet—join your colleagues for a day of information gathering that

will help you beat the odds in today’s challenging economy!

Hotel Room Accommodations at Harrah’s:

Room Rate: $77 per night plus applicable taxes & fees

Parking: $5 for self-parking, $10 for valet parking.

These rates apply for November 8-10

To reserve your room call Harrah’s and tell them you are with

NJMHA: 800-345-7253

Any cancellations must be received by October 29 or you

will be responsible for payment.

Housing Insight September/October 2010 Page 15

Manufactured Housing Specialists Providing comprehensive manufactured home coverage for:

888– 374-1520

Tom McCann

Heather Salmon

Mary McCann

Michael McCann

We can also provide federal flood insurance.

Call our toll free number for a quote.

Owner Occupied Homes Tenants & Rental Homes Seasonal Residences Vacant Homes

Talk to us about

the benefits of a

partnership.

MHI ANNUAL MEETING HIGHLIGHTS

At the Opening General Session of the MHI Annual Meeting held in Denver, Thayer Long, Executive Vice President,

reflected on the achievements of the past year adding that planning is underway to determine goals for the Association in

2011. Despite ―economic headwinds‖ MHI is financially very sound. He advised that our industry can’t isolate our-

selves from the rest of the housing market. The manufactured housing industry needs to determine what identity we

want to portray and it needs to be more than just affordable housing.

Featured speaker Arturo Perez, Denver based Fiscal Affairs Program, gave an in-depth presentation on the state of the

economy and how it has affected housing. He believes that housing has bottomed and projects that in 2011 41 states’

revenue will rise, including New Jersey. The recent peak year of revenue collection was 2008 just as the recession hit.

He opined that it will be 2012 or later before revenue matches the 2008 level. Michigan never came out of the 2001 re-

cession, and North Dakota has fared better than others. He observed (no surprise to us) that states are busy ―digging for

dimes‖ by instituting all sorts of fees to raise revenue.

Some concerns ahead voiced by Perez include: feasibility of further government budget cuts, length of time before reve-

nue bounces back, mounting spending pressures related to healthcare and unemployment costs, new ongoing and deeper

structural budget cuts.

Other meetings held at the MHI Annual Meeting focused on a long list of Federal Legislation that is included in this

newsletter starting on page 6. With Congress leaving town to stump for the upcoming election, there will not be further

action for the next few weeks. Financing continues to be an issue in all states.

The MHI Board established its Legislative priorities for the 112th Congress:

1. Financial Regulatory Overhaul and Implementation

2. SAFE Act Reform (Continued on page 16)


3. Housing Finance Reform and GSE Duty to Serve

4. Tax Reform

5. Energy Issues and pre1976 home tax credit The Board appointed a Steering Committee to hire a lobbyist

firm that will act on this priority list. MHI will seek to get

MHARR involved in these actions. The incoming MHI

Chair, Joe Stegmayer of Cavco is committed to getting MHI

and MHARR together as one voice to advocate for the indus-

try.

(Meeting Highlights continued from page 15)

At a well attended NJMHA Membership dinner held on September 22 in Forked River, the slate of nominees for the 2011

NJMHA Board of Directors was announced as follows:

President: Stephen C. Coyle, Sr., Cape Point Enterprises, LLC

1st Vice President: Robert Dolan, Harbor Crossings, LLC

2nd Vice President: Bruce Callen, Schechner Lifson Corp.

Treasurer: Lori C. Greenberg, Greenberg & Associates

Secretary: Sean Dalton, Haylor, Freyer & Coon

Past President: Diane Oresto, Clearwater Village

Past Presidents Council: Lila Motter, Chapmans; David Rivkin and John Solly, Galaxy Manor

Community Owners: Debbie Skipper, Pine View Terrace, LLC; Stephen Y. Bergstrom, Holly Tree Acres, LLC

Retailers: Craig Hebeler, Land O’ Pines; Nancylu Viviano, Fountainhead Properties, Inc.

Manufacturers & Suppliers: Dan Dugan, Marlette Homes; Rodney Updegrave, Pine Grove Manufactured Homes

Associate Members: Christopher J. Hanlon, Hanlon Niemann, P.C.; Jim Welsh, Tammac Holding Corp.

Members at Large: Paul Casaccio, Oak Forest MHP; James Sonday, Jensen’s Deep Run; Tom McCann, Key West Insur-

ance Agency

Voting on this slate will take place at the NJMHA Annual Meeting Day to be held on November 9th at Harrah’s Atlantic

City. (See registration with details in this issue and on www.njmha.org)

The September dinner meeting also included a brief business meeting with the President’s comments, the Executive Di-

rector’s report and Committee Reports.

Capping the evening was a special presentation by Attorneys Margaret Carmeli

and Lori Greenberg who informed members of legal and legislative events. The

duo responded to members’ questions and covered a variety of legal issues.

2011 NJMHA BOARD OF DIRECTORS SLATE OF NOMINEES ANNOUNCED


Educational Sessions:

The SAFE Act and its Impact on Retailers and Community Owners, a session led by Deborah

Robertson and Marc Lifset of McGlinchey Stafford LLPC. No matter what state an attendee does

business in the SAFE Act will have an impact on the way we do business in 2011 and beyond.

Attendees will get an update of the SAFE Act administration changing from HUD to the Consumer

Credit Protection Bureau. Everyone will want to attend this important update on where the SAFE

Act is nationally and in each state.

Emanuel Levy, Executive Director of the Systems Building Research Alliance will inform attendees

about the Energy Efficient Manufactured Housing Act of 2010. The Act will provide owners of

pre-HUD mobile homes with a $7500 rebate to purchase a new Energy Star manufactured home.

In addition the bill would allow grants of up to $2500 to cover removal and recycling of the older

home.

CoreLogic Safe Rent’s Robert Lindenfelzer will educate attendees on the importance of Resident

Credit and Criminal Screening. Bob will discuss pre-resident screening, criminal and sex offender

background checks and previous rental history such as evictions and judgments.

Boosting Sales with Social Networking is a must session for all segments of the industry. Dawn

Highhouse, V.P. of Consumer Service for MHVillage/Datacomp will show attendees how to

maximize the increasing business and marketing opportunities on the many popular social

networks.

Risk Management and Insurance Premium Controls are important topics to any business. James

Freyer, Jr., Executive Vice President of Haylor Freyer & Coon Insurance will cover money saving

tips all owners can use to control risks and lower premiums.

Mid-Atlantic States

Convention

October 26 & 27, 2010

The Crowne Plaza, Albany NY

Opening Keynote Speaker

Adolfo Carrion , Jr.

Adolfo Carrión, Jr., HUD Regional Administrator for New York and New Jersey, will be the

Opening Keynote Speaker for the Mid-Atlantic States Convention to be held October 26-27,

2010 at the Crowne Plaza Hotel in Albany, N.Y. Carrión joined the U.S. Department of

Housing and Urban Development in June 2010 when he was appointed Regional Administra-

tor for New York and New Jersey by Secretary Shaun Donovan. In this position, Mr. Carrión

is responsible for overseeing nearly $6 billion in HUD programs and activities serving the

region, as well as working with mayors, city managers, elected representatives, state and lo-

cal officials, congressional delegations, stakeholders and customers to ensure that the Depart-

ment’s policies and programs are creating more economically, competitive, environmentally

sustainable and socially inclusive communities. Additionally, he serves as an advisor to Sec-

retary Donovan on intergovernmental relations, ensuring that the Department’s policies and

programs are properly serving the nation’s urban and rural areas.


THE HOUSING INDUSTRY IN TRANSITION: WHERE DOES FACTORY-BUILT HOUSING FIT?

The following highlights are from a presentation by Dr. Chuck Shinn, of The Shinn Group, before MHI’s Annual Meet-

ing in Denver. Dr. Shinn started in the home building industry in 1968 as the Assistant Director of Economics for the

National Association of Home Builders and has since moved on to serve as Director of the Real Estate and Construction

program at the University of Denver. He is a successful developer and builder and was recognized as the Builder of the

Year in 1987 by the Denver Home Builders Association. He holds a B.A. in Economics from the Ohio Wesleyan Uni-

versity, an M.B.A. and PhD from the college of Business Administration at the American University in Washington,

D.C.

Dr. Shinn is advising his national and regional homebuilder clients to position themselves for the next wave of single-

family home buyers and for significant changes in the home building market. Generation Xers are now entering their

peak home buying age at 29 to 45 years old and will soon be replaced by the Millennials (Echo Boomers, Generation Y)

as they are just now entering the housing market as first-time homebuyers.

Things you need to know about Millennials;

1. Bigger than the baby boomer generation at 80 million strong.

2. Peak first time home buyer is 31 years old.

3. Millennials today are 10 to 29 years old.

They will be the driving force coming out of the current housing recession and will dominate the housing market for the

next 40 years. Boomers are on their way out as the major players in the housing market and engine driving the economy

in general the past 40 years. Lessons learned from the recent housing recession in moving forward, along with the huge

demographic shift to Millennials include;

1. 41 percent of the 8.4 million homes sold in 2007 to 2009 were to first-time home buyers.

2. Up from 35 percent.

3. Upward trend will continue based on demographic changes not the short-lived first-time home buyer tax credit.

4. Home builders beware, the age of McMansions is over.

5. The size of new homes is decreasing-down over 300 S.F. from the peak, and will continue to decline.

Other Housing Market Factors;

Smaller households with 60 percent being two or fewer people and the average household size decreasing. Aside from

long-term demographic changes affecting housing size, the economy will have a significant impact on housing design

for the next 3 years.

Green building will be a must as the housing market recovers; Millennials will demand it as they are highly educated on

green construction.

The target markets for home builders moving into the recovery;

1. first time buyers

2. starter families

3. active adults

What Millennial Home buyers Want

1. Less square footage.

2. Emphasis on informal living areas

A. Home is for living, not showing off; Millennials are practical versus Boomers mindset for extravagance and

―it’s all about me.‖

B. the living triangle.

C. The kitchen is the center of activity

3. Integrated technology in space planning.

4. Increased storage space for life’s clutter, video games, and gadgets.

5. Compelling street scapes.

6. Fewer floor plans with more variety in elevations.



Selling Factory-built homes in a Millennial Housing Market

1. Promote innovative, high tech, and quality construction.

2. Quality control.

3. Precision workmanship.

4. Emphasize factory quality control program.

5. All systems and customer touch points need to promote innovations and high tech.

Websites are the ALL Important New Front Door to Your Business/Sales Center

1. Buyers are prequalifying home builders and sales centers online.

2. Make sure your sales team knows the website and it is constantly updated.

3. Websites need to be easy to navigate.

4. Can no longer be brochure ware or canned templates.

5. Needs to be interactive and transactional.

6. Allow buyers to communicate with sales center or plant and obtain real-time information.

Establish Secure Website Portals for;

1. Prospects

2. Homebuyers

3. Trades

4. Suppliers

5. Realtors

6. Home Owners

Latest Use of Internet

1. Blogs

2. Social Media

A. Facebook

B. Twitter

C. YouTube

D. Linkedin

3. Be ready to sell through your website as Millennial buyers will purchase new homes online. Allow prospects to de-

sign their personalized home on your website creating final working drawings.

_____________________________________


4,862 NEW HUD CODE HOMES SHIPPED IN AUGUST 2010, UP 8.7 PERCENT

FROM AUGUST 2009

The Manufactured Housing Institute’s shipments report indicates that 4,862 new HUD-Code homes were shipped in Au-

gust 2010, up 8.7 percent from August 2009. Trends by housing type varied with multi-section home shipments margin-

ally down compared with the same month last year, while single section home shipments showed a more than 25% in-

crease.

2010 started off with a decline in January (down 17.4 percent); shipments in February were essentially flat; March,

April, May and June all registered gains; followed by a decline in July and August’s gain. Over the period, total industry

shipments stand at 35,521 homes compared with 33,294 homes in 2009, a year-to-date increase of 6.7 percent.

The seasonally adjusted annual rate (SAAR) of shipments was 50,226 in August, down by 7.4 percent from the rate of

54,247 posted in July. The SAAR corrects for normal seasonal variations in shipments and projects an annual shipments

pace based on the current monthly total.

Total floors shipped in August 2010 were 7,771, up 4.5 percent from the same month in 2009. The number of plants re-

porting production in August was 133 and the number of reporting corporations was 56, both down by one from the July

levels.

MHI ELECTS OFFICERS AND PRESENTS AWARDS TO INDUSTRY LEADERS

Over 100 MHI members attended MHI’s 74th Annual Meeting on September 26-28, 2010 in Denver, CO. The follow-

ing individuals were elected to serve as MHI Officers in 2011: Chairman, Joe Stegmayer, Cavco Industries, Inc./

Fleetwood Homes; Vice Chairman, Don Glisson, Jr., Triad Financial Services, Inc.; Secretary, Kevin Clayton, Clayton

Homes; and Treasurer, Nathan Smith, SSK Communities. Ken Cashin, Windstorm Holdings, Inc., will continue to serve

on the Executive Committee in his role as Immediate Past Chairman.

In addition, 2010 awards were presented during MHI’s Annual Awards Dinner. Don Glisson, Jr., Triad Financial Ser-

vices, Inc. was awarded the prestigious Chairman’s Award. The Chairman’s Award is presented by the MHI Chairman

in recognition of outstanding contributions to the organization and industry. Over the past two years, Glisson spent

countless hours working with the leadership and staff making important decisions to ensure that the association would

stay on track financially to best serve its members. Glisson and his employees have provided important guidance and

loan performance information to the HUD and Ginnie Mae staff as the industry has worked to achieve full implementa-

tion of the Title I reforms authorized by Congress. He willingly shares his expertise leading workshops and participating

on panels at industry events and is a major sponsor of MHI events, once again helping the association financially in a

major way. He is currently the Vice-Chairman of MHI, serving on the Executive Committee and Board of Directors.

Jim Ayotte, Executive Director, Florida Manufactured Housing Association, was selected by his peers as the 2010 State

Association Executive of the Year. This award identifies a state association executive who has achieved a high level of

success throughout the year. He made several tough decisions to reduce operating expenses and preserve core programs

and services for the association this year, resulting in a leaner and more focused organization. The most challenging

issue of the year was legislation adverse to community owners which would have reduced the value of every manufac-

tured housing community in the state. The association worked cooperatively with the statewide homeowners association

to advocate a moderate legislative proposal.

Bill Farish, Director of Engineering – Commercial Structures for Clayton Homes was honored with the Frank Walter

Standards Award. This award recognizes individuals who have made vital contributions to the development of codes and

standards for the manufactured housing industry, ensuring that our homes are built to the highest level of quality for our

customers. Farish has worked in the industry for 33 years. He is a registered professional engineer in 30 states and re-

ceived his Bachelor of Science degree in Aerospace Engineering from the University of Texas at Austin and his Masters

in Civil Engineering from the University of Texas at Arlington.

He was a founding member of the HUD Manufactured Housing Consensus Committee and is a past chairman of the

MHI Technical Activities Committee. He currently provides excellent leadership as chairman of the Systems Building

Research Alliance. Farish has received several of MHI’s highest honors in the past including the MHI Chairman’s

Award in 2003.

Finally, Mark Dillard, Executive Director of the Manufactured Housing Institute of South Carolina, was presented with

the Jim Moore Excellence in Communications Award. This award recognizes a state association executive who has dem-

onstrated a unique ability to communicate effectively with industry, public officials, and consumers, in order to advance

and promote the interests of the industry. Dillard is well respected for his communication skills and innovative ideas.

The association produces a magazine that is lively, colorful and attractive. All of the articles and photographs are pro-

duced by the staff and focus specifically on the state. The association’s philosophy is that the industry benefits when

everyone at all levels is well-informed. The association’s Website, has rapidly become an indispensible tool for com-

puter-savvy members. The online membership directory is updated weekly giving members the latest information on

data changes, new companies and new employees in the industry.

Congratulations to these excellent industry leaders and role models. It is the strong leadership of MHI, the State Associa-

tions, and award winners such as these that will move the industry forward to reach its greatest potential.

Page 20 September/October 2010 Housing Insight


Email Elena at [email protected] with your questions or comments. Questions may be published in

Housing Insight, but they will be done so anonymously.

Elena Malfi is our “go to” tech person, and Joan’s assistant at

NJMHA. She will cover a variety of computer questions she receives

to help our members through this changing world of communications!

CAN SOCIAL MEDIA HELP COMMUNITY OWNERS SELL HOMES?

What is Social Media?

Any website that invites you to interact with the site and with other visitors falls into the definition of social media.

Think of traditional media as a one-way street, where a reader gets information. Social media is a two-way street be-

cause it also gives you the ability to communicate. This means that for a website to fall under the category of social me-

dia it would have to be a website that doesn't just give you information, but interacts with you while giving you that in-

formation. This interaction can be as simple as asking for your comments or letting you vote on an article.

Which Social Network is for Which Specific Audience?

Today, businesses with heavy retail sales increasingly maintain a presence on Facebook and Twitter, among others.

Facebook is a social networking site – people create a free account and search for old classmates, distant relatives, or

people or groups with a particular interest in common. Twitter accounts are useful for businesses that want to make fre-

quent announcements; for example, sale item of the week or a special event. Followers of your Twitter account can reg-

ister to receive these announcements or ―tweets‖ on their mobile phones. Have you ever received an email invitation to

join LinkedIn? LinkedIn is a social site for B to B companies. Members of a particular company or industry ―link‖ to

each other to share information and ideas.

Is Your Website a Form of Social Media?

Yes, it can be. If you have a site that is user-friendly from a design standpoint you can update your site frequently with

photos and information. Many web design sites, such as homestead.com, provide an easy way for you to track visitors

and allow you to set up automatic emails in response to registered visitors.

How Can Your Manufactured Home Community Benefit from Social Media?

Social media can be used in two ways in a Manufactured Housing Community. First, it can be used as a means of com-

municating with residents and fostering a real ―community‖ atmosphere. Second, it can be used as a direct sales tool.

Ways to Build “Community Spirit”

A simple way to give information about your specific community rules, seasonal information, and activities is to post a

calendar on your website. Some websites will allow you to create a blog (a blog is a personal journal – you can post a

current status every day or every hour, and people can respond or comment back to you). If you don’t want a blog on

your actual website, Facebook is an extremely popular social network that many apartment communities, school commu-

nities, etc. use to keep all their members up to date on group happenings. Your community can start a Facebook Page

and invite your residents to join, or ―friend‖ your page. The page moderator can keep the page updated with community

or local events and the residents can comment and start other discussions – these discussions can have anything to do

with their daily lives, such as child care, home maintenance, or the local sports team.

Social Networking as a Direct Sales Tool

You can create a Facebook page solely to feature your homes for sale or rent, but who will see it? Facebook is most ef-

fective when time is taken to build a following before trying to sell. Once you have a Facebook page (or something

similar on another social networking site) with regular followers and topics of discussions or ―threads‖ that are fre-

quently added to, then you can post pictures and info about a home for sale and people in the community will see it. The



point is for them to pass the info along to their other con-

tacts and friends from other Facebook pages and groups.

MHVillage is a site specifically designed for manufac-

tured homes sales, and part of what you pay them goes

toward what they pay to insure that they show up high on

Internet search engine results. If you are having good

success with MHVillage, should you bother with social

networking or social media? Maybe. MHVillage allows

you to put a lot of information about your community on

their site, including links back to your website, and pro-

spective buyers who visit your website or Facebook page

might be very interested in reading about the day-to-day

community life. In addition to the specific home for sale,

your community might stand out as a nice place to live,

which could make the difference in a potential buyer vis-

iting your community first over someone else’s.

So, can social media help community owners sell homes?

Land-leased manufactured housing is a very specific

niche in the sales world, and social media may not be the

sales miracle that it has proven to be for some other in-

dustries; but if you are willing to create a simple strategy

and spend a little time each day in the world of social net-

working, you might see some positive results!


Association Annual Meeting Day

November 9, 2010

Harrah’s Resort Atlantic City

This event is a sure bet—join your colleagues for a day of

information gathering that will help you beat the odds in today’s challenging economy!

Details and Registration Form Inside !

Topics and Issues specific to New

Jersey will be presented.

Special Early Bird rates expire after October 29.

Limited number of rooms are available at the $77 rate.

september/october 2010 message from the ......place on october 4th and the board of realtors...

Documents