CFPB Director Testifies Before House Financial Services - Manufactured Housing was a Top Topic of the Day

Thursday, January 30, 2014 12:40:27 PM

On Wednesday the Director of the Consumer Financial Protection Bureau, Richard Cordray, testified before the House Financial Services Committee regarding the Semi-Annual Report on the Consumer Financial Protection Bureau. 

In what was referred to during the hearing by Director Cordray as a matter that got, “a lot of attention in [the] hearing,”(2:47) and as Rep. Sewell (D – AL) stated, “[took] up the topic of the day,” (2:50) ten members of the committee brought up questions and comments to Director Cordray specifically on the issues of manufactured housing. 

The topic of manufactured housing appeared in the hearing right from the start prior to the Director’s prepared remarks lead by the opening remarks of Rep. Steve Pearce (13:17) and Rep. Stephen Fincher (R-TN) (19:12).

The ten members represented a bi-partisan group of both Republicans and Democrats who inquired and requested the Director and CFPB continue to work with the manufactured housing industry to address the significant issues the industry now faces.  Among many of Director Cordray’s responses, including taking specific note of all of the members asking about manufactured housing, he stated, “…to the extent that there's any modification or change that needs to be made in that to make sure that this market can work, we're all ears and we will continue to be all ears…”

There was also a specific exchange between Rep. Steve Pearce (R-NM) and Director Cordray when at one point Rep. Pearce referenced a constituent email in which his constituent said, “Good morning, Steve. I just returned from an educational seminar that explained how we have to conduct our business as manufactured home retailers now that the new laws are in effect. I honestly can't believe what I have to do to sell homes and how difficult it will be not to trip up.”  (1:37)

The ten members who addressed manufactured housing during the hearing with the Director:

  • Ranking Member Rep. Maxine Waters (D-CA),
  • Rep. Terri Sewell (D-AL),
  • Rep. Spencer Bachus (R-AL),
  • Rep. Keith Ellison (D-MN),
  • Rep. Joyce Beatty (D-OH),
  • Rep. Bill Clay (D-MO),
  • Rep. Greg Meeks (D-NY), and
  • Rep. Steve Pearce (R-NM)

TMHA anticipates a more detailed report from MHI on the hearing in the near future. 
What was clearly evident during the hearing is the industry’s efforts to draw a spotlight on the significant new challenges we face under the new rules has been seen by many members of congress.  Those who inquired about manufactured housing issues all seemed to understand at some level the unique and niche nature of selling and financing in the manufactured housing industry.  They stressed to the Director, in various ways, to reexamine the impact the rules are having on the industry.

If you are interested in watching the hearing go to: http://financialservices.house.gov/calendar/eventsingle.aspx?EventID=367345

Some of the specific time stamps during the hearing are included above in the parentheticals.