Welcome to Ungated

I hope everyone will excuse a post today that doesn't have anything to do with associations and our industry in any way.  I received the following email yesterday and it struck such a chord with me that I wanted to share it with our members across the country.

Like many I was captivated by HBO's Band of Brothers miniseries.  The juxtaposition of the actors portraying these brave men with the documentary footage of their personal recollections provided unique insights into these most uncommon acts of common men.  Frankly I was so struck that I went out and read the original Stephen Ambrose book that was the basis for the series, along with about a dozen others on World War II. 

The email below was written at the height of the Michael Jackson death/memorial service frenzy.

Tom

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Subject: MEMORIAL SERVICE FOR "SHIFTY"

We're hearing a lot today about big splashy memorial services. I want a nationwide memorial service for Darrell "Shifty" Powers.   Shifty volunteered for the airborne in WWII and served with Easy Company of the 506th Parachute Infantry Regiment, part of the 101st Airborne Infantry. If you've seen Band of Brothers on HBO or the History Channel, you know Shifty. His character appears in all 10 episodes, and Shifty himself is interviewed in several of them. I met Shifty in the Philadelphia airport several years ago. I didn't know who he was at the time. I just saw an elderly gentleman having trouble reading his ticket. I offered to help, assured him that he was at the right gate, and noticed the "Screaming Eagle", the symbol of the 101st Airborne, on his hat. Making conversation, I asked him if he'd been in the 101st Airborne or if his son was serving. He said quietly that he had been in the 101st. I thanked him for his service, then asked him when he served, and how many jumps he made. Quietly and humbly, he said "Well, I guess I signed up in 1941 or so, and was in until sometime in 1945 . . . " at which point my heart skipped. At that point, again, very humbly, he said "I made the 5 training jumps at Toccoa, and then jumped into Normandy . . . . do you know where Normandy is?" At this point my heart stopped. I told him yes, I know exactly where Normandy was, and I know what D-Day was. At that point he said "I also made a second jump into Holland , into Arnhem ." I was standing with a genuine war hero . . . . and then I realized that it was June, just after the anniversary of D-Day. I asked Shifty if he was on his way back from France , and he said "Yes. And it's real sad because these days so few of the guys are left, and those that are, lots of them can't make the trip." My heart was in my throat and I didn't know what to say. I helped Shifty get onto the plane and then realized he was back in Coach, while I was in First Class. I sent the flight attendant back to get him and said that I wanted to switch seats. When Shifty came forward, I got up out of the seat and told him I wanted him to have it, that I'd take his in coach. He said "No, son, you enjoy that seat. Just knowing that there are still some who remember what we did and still care is enough to make an old man very happy." His eyes were filling up as he said it. And mine are brimming up now as I write this. Shifty died on June 17 after fighting cancer. There was no parade. No big event in Staples Center . No wall to wall back to back 24x7 news coverage. No weeping fans on television. And that's not right. Let's give Shifty his own Memorial Service, online, in our own quiet way. Please forward this email to everyone you know. Especially to the veterans. Rest in peace, Shifty. "A nation without heroes is nothing."Roberto Clemente   Tom here again.  According the the Urban Legends website the email above is factual and has been confirmed by Shifty's family.    So on behalf of CAI and our members across the country, let this serve as our modest tribute and memorial to Shifty Powers and to all the men and women past, present, and future who leave the safety of their homes and put themselves in harm's way on our behalf.  Please feel free to leave a comment below.  RIP Shifty.

A quick look in any bookstore tells you that one version or another of “everything you need to know about condominiums and HOAs” is readily available to the interested consumer. I’ve yet to come across one that quite has it all.  Or one that is unbiased, or professionally published.

 

Long time CAI member Gary Poliakoff and his son Ryan have come closer than anyone to getting it right. Dad’s decades of legal experience and son’s literary talents have combined nicely to produce the comprehensive and well written New Neighborhoods: The Consumer's Guide to Condominium, Co-op, and HOA Living. It’s debuting August 1^st in Borders, Amazon and Barnes & Noble.  But, CAI has it in stock now, so you can look over the table of contents and order it for 40% off the regular non-member price in our bookstore today.  And don't forget to check out all the other titles and merchandise in the CAI bookstore.

As many of our members already know, Virginia implemented a statutory based manager certification, management company licensing program in 2008.  As part of that program, the Common Interest Community Board (CICB) was charged with drafting regulations to clarify and assist with implementation of the new law.  On June 22, 2009 the CICB published draft regulations in the Virginia Register of Regulations, pages 3962 - 3972.  These proposed regulations provide additional clarification to the licensure requirements, and will become part of the permanent regulatory requirements governing licensing, replacing the initial set of emergency regulations.

 

CAI, on behalf of its members, will submit comments on these regulations. Interested members are encouraged to review the proposed regulations and to submit any comments to CAI by Friday, August 7^th. Comments from CAI members may be sent to: Janice Walls, at jwalls@caionline.org. All submissions will receive an e-mail acknowledgment verifying receipt.

 

Submissions will be reviewed and compiled, and consensus language and suggestions will be incorporated into the final CAI document that will be filed in coordination with our Virginia Legislative Action Committee (VA-LAC).

 

To learn more about manager licensing in Virginia check out our legislative "Heads Up" page and our Community Association Manager Licensing page.

I have been away from the office for some time for chapter visits and our annual management company CEO retreat so haven't been posting here much.  But I am back now and hope to have some interesting things for you to consider in the near future.

And thanks to the more than 190 management company CEO's and senior executives who attended last weeks retreat in San Diego.  This was are best attended retreat ever!

 

Interesting article on the Atlantic's web site today regarding the apparent correlation between foreclosure frequency and levels of credit card debt in Florida and California.  Based on this Forbes article, 8 of the top 10 cities in terms of credit card debt are in Florida and California.

You might also want to look at this Wall Street Journal blog post which contains a chart of 2008 changes in GDP, employment, and home prices by state.  Guess which states led the nation in home price declines?  If you said CA and FL you would have gotten 2 of the top 3 (NV is the "winner" here).   Interestingly, according to this data, reductions in GDP, employment, and home prices do not necesssarily correlate.

Photos from the 2009 National Conference in New Orleans are available online.  There are photos from each of the general sessions, from the Friday night awards ceremony, and from various receptions, education sessions, and other functions throughout the week.

Enjoy,  Tom

The CEO-MC Retreat is a once a year, high-level event exclusively for community management company CEO's and their most senior staff.  This year we are returning to sunny southern California and the Hilton at Torrey Pines for the event on June 25 through 27.  Check out the CEO-MC Retreat page on the CAI website for more information on the agenda, speakers, and registration. 

The US Senate brought the Mortgage Cram-Down legislation to the floor this past week where it failed 45 - 51.  Democrats were unable to muster even a simple majority, much less the 60 votes required to avoid a filibuster.  I expect that we will see this bill continue to work its way through the legislative process and appear for a vote again.

On a very positive note, the Senate has heard our members concerns regarding how the bill could negatively affect community associations.  The Senate version of the bill, as amended by Senator Durbin, addressed a number of issues raised by CAI including clearly restricting judicial modification authority to mortgages and specifically excluding association liens and assessments from the modification process.  These changes were the result of our members making their voices heard through letters and calls from across the country. See the most recent "Heads-Up" for more information.  You can also review our letter to Senator Durbin outlining the concerns that he addressed in his amended bill.

 

Maybe you're among the 540+ members who have already registered for CAI's National Conference and Exposition, April 22-25 in New Orleans. If so, we look forward to seeing you there. If not, perhaps a few misperceptions are getting in your way. Learn more in our virtual brochure

Myth vs. Reality

Myth: It's too late to register.

Reality: It's not nearly too late-and we'll still give you the early-bird discount. Okay, you're not exactly an early bird, but who needs to know? Register today, you early bird.

Myth: In this economy, the cost of attending the National Conference is prohibitive.

Reality: You can't afford not to stay current in your profession, learn from industry experts and network with hundreds of your peers from across the country.  Check out the education schedule.

Myth: Flights are probably full and airfares are too high.

Reality: There are still plenty of seats available from your area, and airfares are much lower than you may think, thanks in large part to lower fuel costs. Get your airline tickets today.

Myth: New Orleans is still recovering from Hurricane Katrina.

Reality: Parts of the metropolitan area are still being rebuilt, but the French Quarter remains its old, thoroughly enjoyable self-and April 24-26 is the first weekend of the city's unrivaled Jazz and Heritage Festival (Jazz Fest). Order Jazz Fest tickets

Myth: I don't know many people who attend the National Conference.

Reality: Make your own reality! Get to know your industry peers, make professional contacts and perhaps make a few friends along the way. And you can always bring a friend or two. Either way, CAI members always make first-timers feel welcome. Check out who has already registered.

Okay, we've exposed the myths. Don't let this once-a-year opportunity pass you by!

A special thanks to all of our sponsors for making our annual national conference a success.

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Platinum Partner

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AXA Equitable

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Gold Partner

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Preferred Property Programs SmartStreet Yardi  

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Event Sponsors

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PCAM Reception:
212 Software 

Managers Reception:
Kevin Davis Insurance, Inc.  

Managers Exchange:
Alliance Association Financial Services

Welcome Reception:
AssociationVoiceJenark U.S. Lawns

Chapter Executive Director Scholarship &
Chapter Leadership Training Breakfast:
Union Bank

We have extended the Early Bird registration deadline for CAI's upcoming National Conference in New Orleans.  Register by March 30 and receive $50 off!  And don't forget, make sure you contact the Sheraton and book your room by the 30th as well. 

See you all in the Big Easy!

CAI's 2009 National Conference is fast approaching.  Scheduled for April 22 - 25 in New Orleans, LA, the conference promises to be a unique blend of outstanding education and networking, seasoned with that unique spice that is New Orleans.

This year we are continuing our efforts to reduce CAI's environmental impact through the use of a "virtual conference brochure".  Rather than print and mail a large document that requires tons of paper, ink, and foreign oil to produce, we are making the same (and even more) information available electronically.

Please take a look and feel free to forward the link to all your friends in the industry.

And don't forget the Early Bird registration deadline is fast approaching.  Send in your application by March 24th and save $50.

 

In an extremely unprecedented move, Federal Reserve Chairman Ben Bernanke gave a prime time interview yesterday to 60 Minutes correspondent Steve Pelley.  In the course of the interview he discussed the current recession, what went wrong with our financial system, and lessons to be learned from the Great Depression.  This is the first time that a sitting Fed Chair has agreed to such a public discussion of the economy and monetary policy. 

Definitely worth the time to see/read.  Interestingly, he pretty clearly predicts that the recession will ease by the end of this year and the economy will return to modest growth in 2010.  Good news if it proves true.

The debate on mortgage modification, aka “Cram Down” has now moved to the Senate where sponsors are lobbying for the 60 votes needed for passage. If passed the mortgage modification bill would create a process that would be an alternative to foreclosures and the current bankruptcy process. Considering the ongoing issues in the housing market, such a process may work to help stabilize housing prices and to keep more people in their homes which is certainly a laudable goal.

 

CAI’s ongoing concern, and one that we are watching very carefully, is that this new process does not have any of the protections for associations that exist, even in a limited way, under current foreclosure or bankruptcy laws and processes. We will continue to reach out to the Senate sponsors to gain support to amend the proposal to protect community associations ability to collect their assessments.  While we all, understandably, want to strengthen the overall market, it would only exacerbate the housing crisis to have increased costs put onto responsible homeowners through higher assessments.  

 

We will be sure to keep all of our members posted as this process moves forward.

As many of my friends know I have been an unabashed fan of Warren Buffett and his approach to business and investing since business school days.  I consider Buffett's letters to shareholders of Berkshire Hathaway as required reading for anyone trying to understand our economy and the market.

Earlier this week, Buffett gave an extended interview to CNBC on the state of the economy, including taking a number of questions from viewers.  The CNBC website has both a transcript and video clips (In 7 parts).  A couple of the key quotes regarding the current banking crisis that leaped out to me included:

> "No depositor of an insured deposit has ever lost a penny since 1934....Thirty-six hundred times (since 1934) the FDIC has come in....It hasn't cost the taxpayer one dime, no depositor has lost one dime."

> "...we have a system in place that can take care of the banks, and most of the banks are in pretty good shape."

> "...the Fed of New York, for example, had 9 billion of deposits from banks throughout the country a year ago. Now they have 450 billion....That is a huge change in behavior by banks."

One final Buffet thought for today from a NYTimes OpEd last October:

A simple rule dictates my buying: Be fearful when others are greedy, and be greedy when others are fearful.  Let me be clear on one point: I can't predict the short-term movements of the stock market. I haven't the faintest idea as to whether stocks will be higher or lower a month--or a year--from now.  What is likely, however, is that the market will move higher, perhaps substantially so, well before either sentiment or the economy turns up. So if you wait for the robins, spring will be over.  -- Warren Buffett Op-Ed Oct. 17, 2008

"National housing price declines and foreclosures have not been as severe as some analyses have indicated, and they are not as important as financial manipulations in bringing on the global recession, according to a new analysis of foreclosures in 50 states, 35 metropolitan areas and 236 counties by University of Virginia professor William Lucy and graduate student Jeff Herlitz."

...they claim that "66 percent of potential housing value losses in 2008 and subsequent years may be in California, with another 21 percent in Florida, Nevada and Arizona, for a total of 87 percent of national declines."

Report

NYTimes Blog Commentary

We all know intuitively that there are dramatic local and regional differences in foreclosure rates and home price declines, but it is startling to see 4 states make up 87 percent of the problem.  Perhaps more important though is the observation that there was no "reverse gear" to extract non-performing mortgages from packaged mortgage securities and fairly revalue the remainder.  As a result, a (relatively) small excursion in home values and default rates has resulted in a tsunami through the financial markets.