H.R.5198 for the 118th session of Congress is the dubbed the “Expansion of Attainable Homeownership Through Manufactured Housing Act of 2023.” According to Congress.gov the bill was introduced in House on 08/11/2023 by Congressman John W. Rose (R-TN-6). On 8.27.2023 the Congress.gov website shows no cosponsors. The bill has a potentially positive feature raised by the previously examined legislation drafted by Senator Tim Scott (SC-R), which also had some troubling aspects to it – which that report and analysis is linked here. The initial impression of MHProNews about this bill is that it is promising, IF it isn’t amended. But to make sure that our initial analysis was not missing something, MHProNews asked Danny Ghorbani, ex-Manufactured Housing Institute (MHI) vice-president, and who is the founding president and CEO of what became the Manufactured Housing Association for Regulatory Reform (MHARR). Ghorbani was inducted into the RV MH Hall of Fame during an era when that organization was arguably not yet dominated by interests aligned with Clayton Homes and the allies in MHI.
Here is the question posed to Ghorbani last week by MHProNews.
This is apparently separate from Senator Scott’s ROAD to Housing Act.
What strikes me in this is that at least on the surface, if this bill isn’t amended, it dodges some of the baggage MHProNews addressed with Scott’s draft.
Let me know your thoughts, please.
Tony
(for MHProNews)
Ghorbani’s emailed response was as follows.
I suspect this might be the result of your (MHProNews) June 19, 2023 article that painstakingly explained to the industry and consumers the fact that MHI, in essence, has to be careful what it wishes for with the chassis bill because it is potentially playing with fire by taking the industry and consumers through this minefield and without any guarantees that the only acceptable result that would be acceptable to the industry’s members. MHI has to be very careful about what it wishes for with these bills.
That being said, I have also heard that MHI has privately referred to Rep Rose’s chassis bill is the result of its “advocacy.” That, added to the fact that MHI has PUBLICLY referred to Rep Rose’s bill as a new bill that “gives manufacturers the option to remove chassis” is quite troubling given the fact that HUD code manufactured homes continue to be built on a permanent chassis until and unless the law is revised PROPELY, as I explained above. So, where does the OPTION come in for our industry’s manufacturers?
More like a nightmare, as one can only imagine what manufacturers would have to endure in order to build a home based on a definition that gives them an option to remove the chassis in an industry that is fully and comprehensively regulated by federal government. That wouldn’t make any sense. Unless, of course, MHI is either has finally given some real thought to the important chassis matter and is walking back some and wising-up to the minefield that your (MHProNews) June 19, 2023 article so thoroughly laid out; OR it has something nefarious in mind that it is afraid to reveal publicly.
Of course, this whole thing will become academic because I hear that MHARR will soon release its long-awaited position paper, analysis and action plan on these two bills. MHARR’s credible, factual and accurate information have traditionally been of tremendous help to our industry, consumers, and Congress to do the right thing since the creation of MHARR in 1985.”
The text of the bill as proposed is as follows, per Congress.gov.
H.R.5198 – Expansion of Attainable Homeownership Through Manufactured Housing Act of 2023
H.R. 5198
To amend the definition of “manufactured home” in the National Manufactured Housing Construction and Safety Standards Act of 1974.
IN THE HOUSE OF REPRESENTATIVES
August 11, 2023
Mr. Rose introduced the following bill; which was referred to the Committee on Financial Services
A BILL
To amend the definition of “manufactured home” in the National Manufactured Housing Construction and Safety Standards Act of 1974.
Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the “Expansion of Attainable Homeownership Through Manufactured Housing Act of 2023”.
SEC. 2. AMENDMENT TO DEFINITION.
(a) In General.—Section 603(6) of the National Manufactured Housing Construction and Safety Standards Act of 1974 (42 U.S.C. 5402(6)) is amended by striking “built on a permanent chassis and”.
(b) Implementation.—Not later than 90 days after the date of the enactment of this Act, the consensus committee established under section 604(a)(3) of the National Manufactured Housing Construction and Safety Standards Act of 1974 (42 U.S.C. 5403(a)(3)) shall meet to develop and recommend to the Secretary of Housing and Urban Development such revisions to the Federal manufactured home construction and safety standards, and related regulations, as are necessary to implement the amendment made by subsection (a) of this section. Such revised standards shall be considered by the Secretary for adoption pursuant to the process set forth in section 604 of such Act.”
MHProNews previously published reports on the topic. The first linked item is the one referenced by Ghorbani in his reply to MHProNews’ inquiry on this topic. The report linked here and further below in our weekly headline recap is an exclusive response from MHARR’s current President and CEO Mark Weiss, J.D., who mentioned the issue in the context of the apparent fumble of MHI’s Lesli Gooch on the Duty to Serve (DTS) issue. The analysis there is relevant here too.
Additional Information on H.R.5198 with More MHProNews Analysis in Brief
MHProNews is aware of the history of the removal chassis issue, which may become the subject of a future report. Suffice it to say for now that MHI reportedly had an opportunity back in the 1990s to support an amendment that would have allowed for a removable chassis. Such a provision, IF it was ‘clean’ and ‘surgical’ – as Ghorbani suggested – would be supported by MHProNews, regardless of who the sponsors and co-sponsors happened to be.
More concisely, MHProNews could support a clean ‘removable chassis’ bill. It is the possible landmines along the way that MHProNews has initially, and still, concerned about.
Here is what MHI said in a recent email dated 8.24.2023.
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To Ghorbani’s point, note that MHI is not directly taking credit for this bill. But it doesn’t take a rocket scientist to realize that Rose comes from a manufactured housing producing state that happens to be the headquarters for Clayton Homes.
More on this and related issues will be found in today’s postscript.
There are several political-business-legal climate related articles in this week’s report. As is routinely the case, such articles examine topics that broadly impact manufactured housing in as much as they impact the nation our profession and all others must operate in. Because ‘predictability in law is a key to a prosperous Republic.’
And while every report is significant, or we wouldn’t bother publishing on that topic, don’t miss the Thursday report on UMH. It includes a challenge to MHI and their associated trade media and bloggers. If they are serious about being ‘news’ then they should dig into one or more issues raised in the UMH quarterly earnings call.
More data. More revelations on the Skyline-Champion (SKY) and Triad Financial Services (ECN) deal. ‘The rent is too d-mn high.’ TRERC and TMHA updates. Those and more are among the several reports that will be found on MHProNews that are unlikely to be found anywhere else in MHVille trade media, and certainly not with the level of accurately cited information and expert analysis.
With no further adieu, here are the headlines for the week that was from 8.20 to 8.27.2023
What’s New on Mobile and Manufactured Home Living News (MHLivingNews)
What’s New from Washington, D.C. from MHARR in August 2023
What’s New on the Masthead
What’s New on the Daily Business News on MHProNews
Saturday 8.26.2023
Friday 8.25.2023
Thursday 8.24.2023
Wednesday 8.23.2023
Tuesday 8.22.2023
Monday 8.21.2023
Sunday 8.20.2023
Postscript
“I suspect this might be the result of your (MHProNews) June 19, 2023 article that painstakingly explained to the industry and consumers the fact that MHI, in essence, has to be careful what it wishes for with the chassis bill,” Ghorbani said, as was quoted above. MHARR thought that 6.19.2023 article important enough where they reprinted it with our permission for their readers on their website. Despite a cheap shot by MHI member emeritus and blogger George F. (F?) Allen, Allen admitted in a follow up with MHProNews that he thought there were valid concerns raised in our report and analysis. Put differently, after attempting to rip our report publicly, perhaps on behalf of MHI, Allen when pressed admitted he was mistaken and in part ignorant.
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To be clear, the known evidence suggests that if all of the bloggers and trade publishers in MHVille that claim to be ‘news’ were combined with MHI’s traffic, they would still collectively have only a fraction of the traffic and engagement found on MHProNews. Indeed, if SimilarWeb is correct, MHI’s traffic has been in decline. Click to expand the graphic below the related linked report.
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Are the illusions created around MHI beginning to fall apart under the weight of contradictory facts and evidence? Note: depending on your browser or device, many images in this report and others on MHProNews can be clicked to expand. Click the image and follow the prompts. For example, in some browsers/devices you click the image and select ‘open in a new window.’ After clicking that selection you click the image in the open window to expand the image to a larger size. To return to this page, use your back key, escape or follow the prompts. https://www.manufacturedhomepronews.com/like-no-place-else-in-mhville-research-reports-analysis-reveal-and-yield-understanding-for-news-and-trends-keeping-manufactured-home-production-at-historically-low-levels/
So, Ghorbani’s sources and points have a revealing point. Once more, an MHProNews report and analysis has apparently exposed a topic that others ignored or gave MHI cover with. But our reporting and expert analysis has apparently forced a pivot. A new, and improved (at least at this point) bill on the possible removable chassis issue has been introduced. That said, MHI has quite apparently blown it before in legislation. That is essentially what Lesli Gooch has de facto admitted to doing, that MHI previously erred in yet another piece of past legislation. Thus, Ghorbani’s cautionary points make sense. And Ghorbani’s clearly implied praise of our efforts on that issue is valued.
MHProNews could support H.R. 5198 – Expansion of Attainable Homeownership Through Manufactured Housing Act of 2023 – so long as the bill is properly worded and unamended. The notion of a removable chassis on a manufactured home is potentially positive, and one that our platforms have raised previously. But Ghorbani is quite correct. The legislative process allows for amendments. A ‘good’ bill can become a problematic one, as MHProNews reported on what occurred in the Texas legislature with a bill that the TMHA initially supported, and then was passed with an amendment that the TMHA then had to fight to (successfully) remove. In the case of MHI, they have a history of fumbling bills, as some of their own leaders have had to admit.
Blindly backing MHI is thus a mistake. A clean bill along the lines of H.R. 5198 – the Expansion of Attainable Homeownership Through Manufactured Housing Act of 2023 – could be supported.
GovTrack on this date gives this bill a 4 percent chance of becoming law. Here is their analysis.
10% chance of getting past committee.
4% chance of being enacted.
Only 11% of bills made it past committee and only about 2% were enacted in 2021–2023.
Factors considered:
| ↑ | The bill was introduced in the first year of the Congress. |
| ↑ | The sponsor is on a committee to which the bill has been referred, and the sponsor is a member of the majority party. |
These factors are correlated with either an increased or decreased chance of being enacted.”
MHProNews will add to their observations that there is not yet any Democratic (or any other) co-sponsors, and there is no matching Senate companion bills. Political science grad and MHI CEO Lesli Gooch, Ph.D. should know better.
It will be interesting to see what MHARR’s Mark Weiss has to say on this topic. You’ll see that on MHARR’s website, and of course, here on MHProNews with our signature analysis and commentary. Count on MHProNews as the runaway #1 source for manufactured home “Industry News, Tips, and Views Pros Can Use” © where “We Provide, You Decide.” © ###
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Again, our thanks to free email subscribers and all readers like you, as well as our tipsters/sources, sponsors and God for making and keeping us the runaway number one source for authentic “News through the lens of manufactured homes and factory-built housing” © where “We Provide, You Decide.” © ## (Affordable housing, manufactured homes, reports, fact-checks, analysis, and commentary. Third-party images or content are provided under fair use guidelines for media.) See Related Reports, further below. Text/image boxes often are hot-linked to other reports that can be access by clicking on them.)
By L.A. “Tony” Kovach – for MHProNews.com.
Tony earned a journalism scholarship and earned numerous awards in history and in manufactured housing.
For example, he earned the prestigious Lottinville Award in history from the University of Oklahoma, where he studied history and business management. He’s a managing member and co-founder of LifeStyle Factory Homes, LLC, the parent company to MHProNews, and MHLivingNews.com.
This article reflects the LLC’s and/or the writer’s position and may or may not reflect the views of sponsors or supporters.
Connect on LinkedIn: http://www.linkedin.com/in/latonykovach
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