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Voice of West Virginia’s factory-built housing industry

March 2013

Volume 9, No. 2, CQ

Williams headlines convention speakers

WVHI asks AG to tackle MH issues in lawsuit

Get your room reservations today The West Virginia Housing Institute Inc.’s 2013 con-vention will be held June 24-26 at the Stonewall Jack-son Resort at Roanoke, WV. The resort is located off exit 91 on Interstate 79, about 90 miles northeast of Charleston and 138 miles slightly southwest of Pittsburgh. The room reservation numbers are (304) 269-7400 or (1-888) 278-8150.

ROANOKE, W.Va. — The co-founder of the company that is the highest volume lender in the manufactured housing industry highlights the speakers at the 2013 West Virginia Housing Institute Inc. convention. The convention is being held June 24-26 at the Stone-wall Resort at Roanoke, W.Va.. “With finances such a cru-cial factor today in our indus-try, we figured we needed a major player to give us the facts about lending,” said George Gunnell, co-president of the Institute. Tim Williams, president and chief executive officer for 21st Mortgage Corp. of Knoxville, Tenn., is the ban-quet speaker on the evening of June 25. The convention is being held in north-central West Virginia on a 2,650-acre manmade lake that has an 82-mile shoreline. The resort enjoys AAA’s Four Diamond Award rating, the same as is held by The Greenbrier Ho-tel. Stonewall is famous for its 7,149-yard, Arnold Palmer-designed golf course. The second day includes the convention’s statewide meet-ing, golf, banquet and fund-raising political action com-mittee auction, which replen-ishes the coffers.

(Continued on p. 4 )

Stonewall room reservation numbers are (304) 269-7400 or (1-888) 278-8150

Stonewall Resort — Site of This Year’s Convention

The voice of the manufactured and modular housing industry in West Virginia has asked Attor-ney General Patrick Morrisey to include industry issues in his challenge to the federal Dodd-Frank Act. In a letter to Mor-risey, West Virginia Housing Institute Executive Director A.V. Gallagher said Dodd-Frank’s re-strictions will crip-ple much of the fi-nancing in the indus-

try and virtually muzzle sales staff from assisting in taking loan applications. Morrisey and seven other state attorneys general have filed plead-ings in U.S. District Court for the District of Columbia challenging the legality of the act meant to con-trol bad acts by officials on Wall Street. The federal government is opposing the efforts of the AGs to sue over the act. The MH industry contends its business is collateral damage that will suffer greatly as a result of unforeseen consequences of Dodd-Frank. At least 20 percent of current MH loans could not be made under Dodd-Frank. Furthermore, its re-strictions will require virtually every sale person who deals with loans to become a mortgage banker. Morrisey has not replied to Galla-gher’s request yet.

WVHI board member named Nitro city attorney

WVHI board member Johnnie E. Brown has added a new honor to the long list he has already. Brown has been named city attorney for the western Kanawha County town of Nitro, which has 7,178 residents. Brown, of Sissonville, is a partner in the Charleston law firm of Pullin, Fowler, Flanagan, Brown & Poe. He is the longtime associate general counsel for WVHI and has made many presentations to the group. He has been counsel for Clayton Homes, the Home

Show, and other industry firms. “Johnnie’s appointment by the new mayor is especially good news because we have had problems with Nitro in the past over our anti-discrimination in the placement of home laws,” A.V. Gallagher, WVHI’s executive director, said. “Johnnie will ensure that does not happen.”

Morrisey

See related story on p. 2 and guest editorial

THE PODIUM Dodd-Frank Act must die

Want to keep up on the latest with the factory-built housing industry in West Virginia? Want to be listed on our website or linked to it? The West Virginia Housing Insti-tute Inc. is at www.wvhi.org. Take a look at what we have on the site. Tell us what you want added or im-proved. The inside scoop is in the mem-bers-only section. And you only have to call Andy Gallagher at (304) 346-8985 to join.

WVHI solicits lawmakers for Dodd-Frank reforms

WASHINGTON — Hayden Rogers, chief of staff to Sen. Joe Manchin, met for a half hour in February with officials of the manufactured and modular housing industry who are seeking sponsors to industry-sought changes to the Dodd-Frank Act. The industry believes Dodd-Frank will cripple future manufactured housing sales in the United States because of unintended results of the act’s application. Manchin, D-W.Va., told officials last year he would support Dodd-Frank reforms. A change in Congress requires that changes sought to the act need to be re-introduced in the Senate and House of Representatives. Meeting with Rogers were Tim Williams, CEO of 21st Mortgage Corp. of Knoxville, Tenn.; Jason Boehlert, vice president of MHI in Arlington, Va.; Tom Hodges, legal counsel to Clay-ton Homes Inc. of Maryville, Tenn.; A.V. Gallagher, executive director of the West Virginia Housing Institute Inc.; and other lobbyists. Gallagher also met with the staff of Sen. Jay Rockefeller, D-W.Va.; and Rep. Nick Rahall, D-W.Va.; and Reps. Shelley Moore Capito and David McKinley, both R-W.Va., in an effort to solicit their support for reform legislation sought by the industry.

The West Virginia Record March 4, 2013

If you wanted to establish a system of medical ethics to guide physicians, would you consult the writings of Josef Mangle and Jack Kevorkian? Almost certainly not. In fact, the twisted ideas of these macabre men of medicine might be the last perspectives you’d want to publicize, except as negative examples. What if you wanted to codify the rules of sportsmanship to encourage ethics in ath-letics? Would you seek input from Pete Rose and Lance Armstrong? Again no. The disgraced ballplayer and cyclist might serve as models of bad behavior, but that’s about it. For a treatise on patriotism, would you cite the words and actions of Benedict Arnold and Alger Hiss, two notorious traitors? No, indeed. But what if you wanted to reform the rules regulating the financial services industry? Surely you would-n’t seek advice from two of the men most responsible for precipitating the current financial crisis, much less entrust to them the writing of the new rules? Believe it or not, that’s exactly what our elected representatives in Washington did when they allowed Sen. Christopher Dodd and Rep. Barney Frank to draft the Dodd-Frank Wall Street Reform and Consumer Protection Act. Needless to say, Dodd and Frank made a mess of things (almost certainly intentionally), Congress en-acted their abomination, and now we – the masters of these pitiful public servants — have to live with it. Or maybe we don’t. Patrick Morrisey, our new state attorney general, has joined several of his colleagues from other states in a lawsuit challenging the constitutionality of some provisions of the Dodd-Frank Act. “Title II of the Dodd-Frank Act and the Orderly Liquidation Authority negatively impacts West Virginia and its taxpayers,” Morrisey said. “The Orderly Liquidation Authority allows unelected Washington bu-reaucrats to pick winners and losers among affected creditors, entirely abandoning the rule of law.” Morrisey emphasizes that this provision “potentially jeopardizes millions of dollars in state pension funds and other state investments.” Dodd-Frank is unquestionably unconstitutional and should be judged so.

(Guest editorial)

Kevin Wilfong

www.wvhi.org

West Virginia Housing Institute Inc. Convention 2013

Return this form to WVHI

REGISTRATION FORM

June 24-26

Stonewall Resort, Roanoke, WV Contact: Make your room reservations at (304) 269-7400 or (1 888) 278-8150 or on line at StonewallRe-sort.com. The booking code is 329514.

Company Name: ____________________________________________________________

Address: ____________________________________________________________

City: _______________________________ State:________Zip_____________

Names of Those Attending as it Should Appear on Name Badges: (please print)

_________________________________________________________Adult_____ Child____

_________________________________________________________Adult_____ Child____

_________________________________________________________Adult_____ Child____

_________________________________________________________Adult_____ Child____

REGISTRATION FEES:

WVHI Member & Spouse/Guest . . . . . . . . . . . . . . . . . . . . $125.00 per person if paid by May 30, 2013

$150.00 per person after May 30.

Children Under 12 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 50.00 per child if paid by May 30

$75.00 per child after May 30.

Non-Member Registration . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $300.00 per person attending

***Registration Fees Must Accompany Registration Form and are PER PERSON attending***

Please return completed registration form and your check to:

WVHI Inc.

PO Box 2182

Charleston, WV 25328-2182

Questions, please call Andy (304) 346-8985

Mark your calendars now – don’t miss out It’s educational and fun

Home on the Road is a publica-tion of the West Virginia Housing In-stitute Inc., published four times a year (March, June, September and December). Free subscription with paid member-ship dues. All advertising must be paid in advance. Home on the Road reserves the right to reject any adver-tising. Make checks payable to WVHI. Send ads with payment and news to Andy Gallagher.

Advertising rates Full page: $200 Half page: $100 Quarter page: $60 Classified: $30 for each 3 lines These rate are double for nonmem-bers.

Home on the Road Newsletter Editor: Andy Gallagher WVHI PO Box 2182 Charleston, WV 25328-2182 (304) 346-8985 (304) 400-4509 (fax) wvhi@wvhi.verizon.net

Convention from p. 1 In addition to Williams, the speakers include Bill Raney, presi-dent of the West Virginia Coal Association; WVHI board member Johnnie Brown, General Counsel John R. Teare Jr. , Huntington lawyer Jason Stemple and chief state regulator Mitch Woodrum on the legal panel; and GK Mangelson, an expert in accumulating and saving wealth. Phyllis Knight, executive vice president and chief financial officer for Champion Enterprises, Inc., has also been

invited to speak. The convention, which is being held at Stone-wall for the second time, will have a reception that will take place on a boat on Stonewall Lake the first evening with the regular banquet being held the second night. Board member Phil Fogleman will repeat his wine tasting program and board member Judy Ritchie will host the political action fundraising auction on June 25. “This year's event is expected to be bigger than ever,” WVHI Co-President Kevin Wilfong said. “We expect a large turnout of retailers and those interested in our industry as a result of the illustrious list of speakers we have invited and

the entertainment we provide,” agreed WVHI CO-President George Gunnell.

Phyllis Knight

Williams

being reduced, which also should help with the recovery. He said the manufactured housing industry should improve slightly. “Not good, but better, up from very low levels. It’s not going to be a good year, but we are moving in the right direction,” Nothaft predicted.

Smith at MHI helm Meanwhile, Kentucky communities owner Nathan Smith was elevated to chairman of MHI in February when former Chairman Don Glisson Jr., CEO of Triad Financial Services Inc. of Jacksonville, Fla., resigned for personal reasons. The change was effective Feb. 25. Glisson had been elected to the post last year. Smith previously served as MHI treasurer, and currently chairs the Government Relations Committee, and has been a member of the Board of Governors of the NCC as well as a member of the MHI-PAC Board of Trustees. Commenting on his new role, Smith said “I am committed to moving forward with efforts to reintroduce the Preserving Access to Manufactured Housing Act in the 113th Congress to correct the unin-tended consequences of Dodd-Frank that threaten this industry such as HOEPA triggers, loan origination compensation and ‘qualified’ mortgages.”

Smith said, “We will miss Don’s personal involvement and wish him well. His meaningful contributions have made a difference for this organization.” Triad Financial Services, Inc. remains active in MHI.

York sees wandering GOP A journalist at the same meeting said Congress remains a mess and the Republicans remain in confusion as they at-tempt to grapple with President Obama. Byron York is chief political correspondent for the Wash-

ington Examiner. Speaking of the Republican members, he said, “They don’t quite know what to do.” He said the party faithful and those in Congress are “waiting for a leader.” He said the Republicans are simply “wandering.” York said Republicans say they favor entitlement spending cuts “but there is no will for that (and) they don’t have a plan.” While he said both side are “bluffing,” he added, “I don't think there’s a lot of room for compromise.”

The manufactured housing industry can expect an 8 to 10 percent increase in home sales in 2013, the chief economist for Freddie Mac predicted to a Feb-ruary meeting of MHI in Arlington, Va. Frank E. Nothaft, who holds a Ph.D. in economics from Columbia Univer-sity, told the group that MH sales were up 7 percent in 2012. “We have seen a turnaround,” Nothaft said. One of the sparks to the recovery is the fact that home mort-gage interest rates are at historic lows. But he warned that high unemployment rates were pushing back to impede full recovery. On the other hand, unemployment is gradually

MHI news: Economist predicts upswing in sales; Smith in as MHI chairman; journalist says Congress a mess

Nothaft

Smith

York

Factory-built homes shipped into West Virginia in 2013 and 2012

2013 2012 Homes floors shipped Homes floors shipped

January 69 116 48 84 The number of HUD-code homes shipped into West Virginia in January was up dramatically from the pre-vious year. This January, 69 homes, totaling 116 floors, were shipped to the Mountain State, compared to 48 homes and 84 floors in January 2012. The news is especially good since January 2012 shipments to West Virginia were up from shipments in

January 2011 when 37 homes totaling 67 floors were shipped into the state. However, overall shipments of manufactured homes to West Virginia ended up being slightly lower in 2012 than the previous year. According to MHI figures, the number of homes shipped into the state in 2012 was 1,037, down 1 percent from the 1,048 homes shipped into the state during all of 2011. December home shipments added the body blow to what was otherwise a

good year. Shipments for December 2012 were down 11.3 percent in West Virginia, or 55 homes in 2012 compared to 62 for the same month in 2011.

West Virginia manu-factured home ship-ments ended down 1

percent for 2012

West Virginia Housing Institute Inc. Announces

2013 Convention Sponsorship Levels Each comes with yearlong recognition on our website at www.wvhi.org

Levels _____Platinum $5,000 Four free registrations; four nights’ lodging (two nights, two rooms) ______Gold $2,500 Two free registrations; lodgings for one for two nights. ______Silver $2,000 Two free registrations; one nights’ lodging ______Bronze $1,500 Two free registrations ______Copper $1,000 One free registration ______Iron $750 Listing in Home on the Road ______Wood $500 Listing in Home on the Road The officers and board of directors of the West Virginia Housing Institute Inc. applaud your success and continued support. Name: ____________________________________________________ Company__________________________________________________ Company ad-dress______________________________________________________________________________________________________________________________ Telephone_____________ fax ______________ email_____________________________________________________ Please send your check today and become a valued member of the convention team that’s working hard to make sure this year’s annual event is not only possible, but exciting, educa-tional and fun for all those attending. WVHI is a nonprofit organization.

WVHI (304) 346-8985 PO Box 2182

Charleston, WV 25328-2182

West Virginia Housing Institute Inc. golfing regis-tration form

Golfing for the PAC 2013

The West Virginia Housing Institute Inc.’s golf tournament takes place June 25 at Stonewall Resort at Roanoke, WV. We look for-ward to having you participate in a good cause for our industry. The tournament funds our political action committee. As a result, we can take only personal checks that are made out to HousingPAC. We cannot accept corporate checks. This is the only opportunity each year we have to raise PAC funds. We are asking each participant to make a donation of $125 for the PAC fund this year, a figure we have tried to maintain at the same level over the years. Please let us know if you plan to participate Name_____________________________________________________ Com-pany__________________________________________________ Email______________________________________________________ Handicap_______________________________________

Please mail, with a $125 personal check, to: WVHI Inc.

Andy Gallagher PO Box 2182

C O M E J O I N N O W ! ! ! C U T A N D M A I L — M E M B E R S H I P D A T A

Firm Name: ____________________________________________________________________ Street Address: ______________________________________________________________ Mailing Address: ______________________________________________________________ Telephone (____) ____________________ Fax (____) ____________________ Home Phone (____) __________________ Email _________________________________

D U E S S T R U C T U R E : MANUFACTURER: Dues shall be One Hundred Dollars ($100.00) per floor for each home shipped within the West Virginia to dealers, contractors, retailers or sales locations in West Virginia. These dues shall be remitted to the West Virginia Housing Institute Inc. on a monthly basis. _________ We will send $100.00 per floor shipped to West Virginia on a monthly basis. RENTAL COMMUNITY AND CONTRACTORS:- Per Annum ________ $100.00 ALL OTHER CATEGORIES: - Per Annum ________ $250.00 _________________________________Title _____________________________ Signature

Please Remit To: WVHI

PO Box 2182 Charleston, WV 25328-2182

W E S T V I R G I N I A H O U S I N G I N S T I T U T E I N C .

PO Box 2182 Charleston, WV 25328-2182 Phone (304) 346-8985 Email: andy@wvhi.org www.wvhi.org

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