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1133448
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1/19/76 - Professional Builder of the Year Award
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1133448
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document
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1/19/76 - Professional Builder of the Year Award
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Carla A. Hills Speeches
Speeches
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Consumption (Economics)
Government regulation
Housing
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1133448
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19
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1976-01-19
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1976
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19
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1976-01-19
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1976
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The original documents are located in Box 1, folder "1/19/76 - Professional Builder of the
Year Award" of the Carla A. Hills Speeches at the Gerald R. Ford Presidential Library.
Copyright Notice
The copyright law of the United States (Title 17, United States Code) governs the making of
photocopies or other reproductions of copyrighted material. Gerald Ford donated to the United
States of America his copyrights in all of his unpublished writings in National Archives collections.
Works prepared by U.S. Government employees as part of their official duties are in the public
domain. The copyrights to materials written by other individuals or organizations are presumed to
remain with them. If you think any of the information displayed in the PDF is subject to a valid
copyright claim, please contact the Gerald R. Ford Presidential Library.
Digitized from Box 1 of the Carla A. Hills Speeches at the Gerald R. Ford Presidential Library
PROFESSIONAL BUILDER OF THE YEAR AWARD
JANUARY 19, 1976
GOOD MORNING!
ONE LOOK AT THE LINE-UP AT THIS "BREAKFAST OF CHAMPIONS",
AND YOU KNOW, IMMEDIATELY, THAT THIS IS THE SUPER BOWL OF
BUILDERS.
IN YOUR HANDS, THIS NATION'S UNPARALLELED SYSTEM OF
FREE ENTERPRISE -- ABETTED BY HARD WORK AND THE ART OF THE
POSSIBLE -- HAS TRANSFORMED THE AMERICAN DREAM OF HOMEOWNERSHIP
INTO A REALITY FOR MILLIONS OF AMERICAN FAMILIES.
AND, IT'S GREAT TO BE WITH YOU AS YOU "TOAST" PHIL REILLY
-- THE TERRY BRADSHAW OF THE HOME BUILDING INDUSTRY -- ALTHOUGH
PHIL SOUNDED MORE LIKE THE STEELERS' CHUCK NOLL, OR THE COWBOYS'
ToM LANDRY WHEN HE GAVE US OUR 1976 PRE-GAME PEPPER-UPPER JUST
NOW!
GERALD R. FORD LIBRARY
-2-
BUT, MORE THAN THAT, HE PERSONIFIES A FACT: OUR NATION
CAN FIND THE KIND OF EXPERTISE IT WILL TAKE IN INDUSTRIES
LIKE YOURS TO PROVIDE DECENT HOUSING AND A SUITABLE LIVING
ENVIRONMENT FOR EVERY AMERICAN FAMILY.
PHIL REILLY HAS PROVEN THAT QUALITY HOUSING AT REASONABLE
PRICES WITHOUT MASSIVE INFLATIONARY FEDERAL SUBSIDIES CAN BE
PRODUCED TODAY WITH SALES AND PROFITS. IT HAS BEEN ACCOMPLISHED
BY THOUGHTFUL, INNOVATIVE DESIGNS -- POLISHED BY A LOT OF HARD
WORK,
THAT IS FREE ENTERPRISE. BUT, MOST OF US ARE UNCOMFORTABLY
AWARE THAT TODAY THERE ISN'T A COMMERCIAL ENTERPRISE IN THIS
LAND OF THE "FREE" THAT DOESN'T HAVE MORE GOVERNMENT ON ITS
BACK THAN IT CAN COMFORTABLY HANDLE -- AND, ALL TOO OFTEN,
MORE THAN IS NECESSARY TO ACCOMPLISH THE INTENDED PURPOSE AND
TO THE DETRIMENT OF THE CONSUMER.
ONE OF THE GREAT BOONS TO THE CONSUMER IN RECENT YEARS
HAS BEEN THE EMERGENCE OF "TRUTH" IN MERCHANDISING -- IN
ADVERTISING CLAIMS, ON CIGARETTE PACKAGES, ON FOOD CONTAINERS,
ON LOAN CONTRACTS AND NEW CAR WINDSHIELDS.
FORD
-3-
IN FAIRNESS, WE SHOULD WELCOME SIMILAR DISCLOSURES
OF THE HIDDEN COST OF GOVERNMENT IN EVERYTHING THE CUSTOMER
BUYS,
IN HOUSING, FOR EXAMPLE, WE KNOW THAT OVER THE PAST
DECADE THE PRICE OF THE AVERAGE HOME HAS GONE UP A FULL
14 PERCENT HIGHER THAN THE "COST OF LIVING" AS MEASURED BY
THE CONSUMER PRICE INDEX. THERE IS NO QUESTION THAT
INCREASINGLY COMPLEX FEDERAL, STATE AND LOCAL REGULATIONS,
ORDINANCES, CODES, AND RESTRICTIONS HAVE SIGNIFICANTLY ADDED
TO THE BUILDERS' COST OF DOING BUSINESS.
I AM NOT HERE TO ARGUE THE NEED FOR SUCH REQUIREMENTS
AS BUILDING CODES, ENVIRONMENTAL IMPACT STATEMENTS, NO-GROWTH
POLICIES, SEWER MORATORIA, OR RESTRICTIVE ZONING -- FAR FROM
IT. ALL OF US HAVE VIEWED WITH SOME HORROR EXAMPLES OF SHODDY
HOUSING DEVELOPMENTS -- TURNED SLUMS; AND, OF LAND USE ABUSE
THAT BORDERS ON THE CRIMINAL.
I MENTION THEM HERE ONLY TO POINT OUT THAT OUR AWAKENED
CONSUMER INTERESTS HAVE A COST TO THE CONSUMER.
-4-
I OFTEN ARGUE THE LOGIC OF THOSE REQUIREMENTS THAT
CONFLICT OR THOSE THAT EMBODY RED TAPE THAT GETS IN THE
WAY OF HOUSING RECOVERY.
BUT, MY POINT TODAY IS MORE CONCERNED WITH THE FUTURE
TIGHT-ROPE WE MUST WALK TO MAKE SURE THAT THE CONSUMER IS
BEING PROTECTED FROM THE ABUSES OF THE MARKET PLACE WITHOUT
FALLING PREY TO THE EXCESSES OF THE GREAT PROTECTOR.
THE NEEDED BALANCE TO WALK THAT TIGHT-ROPE CAN ONLY
COME FROM STRONG AND OPEN LINES OF COMMUNICATION BETWEEN
THE PUBLIC AND PRIVATE SECTOR BOTH OF WHICH SERVE THE CONSUMER.
WHERE WE HAVE HAD SUCH COMMUNICATIONS WE HAVE ACHIEVED
THAT BALANCE -- WHERE WE HAVE NOT, WE HAVE COMPOUNDED OUR
PROBLEMS,
TAKE OUR EXPERIENCE WITH RESPA.
Now, THERE IS AN EXAMPLE OF REGULATION WELL-INTENTIONED
IN CONCEPT BUT UNREALISTIC IN IMPLEMENTATION -- WHICH HAS
JUST UNDERGONE LEGISLATIVE REVISION.
-5-
AND, THERE IS AN EXAMPLE OF REGULATION ENACTED INTO
LAW -- -- WITHOUT THE NECESSARY INTERCHANGE OF IDEAS ON THE
PROBLEMS ADDRESSED OR THE SOLUTIONS FASHIONED. As A RESULT,
WHAT STARTED OUT TO CURB THE ABUSES OF A FEW, ENDED UP STIFLING
THE LEGITIMATE OBJECTIVES OF THE MANY.
BUT TAKE OUR RECENT EXPERIENCE IN WORKING CLOSELY WITH
YOUR REPRESENTATIVES IN DEVELOPING REGULATIONS GOVERNING
OUR HOMEOWNERSHIP SUBSIDY PROGRAM. WE TOOK YOUR ADVICE IN
DESIGNING A RESERVATION SYSTEM, WE NOW PROVIDE RESERVATIONS
BEFORE A QUALIFIED MORTGAGOR is IDENTIFIED so THAT YOU CAN
BUILD HOMES WITH ASSURANCE THAT THE MORTGAGE SUBSIDY WILL
BE THERE WHEN YOU POST YOUR "FOR SALE" SIGN.
You ALSO HELPED MOLD OUR REGULATIONS BEARING ON THE
ISSUES OF DISPERSAL OF SUBSIDIZED UNITS, THE MAXIMUM NUMBER
OF UNITS THAT CAN BE ASSISTED IN A SUBDIVISION AND IN
DEVELOPING A LEVEL OF EXEMPTION FROM THE DISPERSAL REQUIREMENT.
OUR ULTIMATE CONSTITUENCY -- THE CONSUMERS OF HOUSING
-- WILL BENEFIT FROM OUR TALKING AND LISTENING.
-6-
Loss OF CONSUMER CONFIDENCE IS A WORRISOME ISSUE TODAY,
WHICH RETARDS THE HOUSING RECOVERY. WHEN CONSUMER PRICES
INCREASE BECAUSE OF UNNECESSARY REGULATION OR WHEN THE PRODUCTS
OFFERED ARE INFERIOR BECAUSE OF INADEQUATE REGULATION, CONSUMER
CONFIDENCE ERODES,
AND, IT'S UP TO BOTH OF US TO PROTECT THE CONSUMER IN
BOTH INSTANCES. EXPECTATIONS OF QUALITY ARE LEGITIMATE WITH
A NEW HOME PURCHASE, AFTER ALL, THE PURCHASE OF A HOME IS
FOR MOST AMERICAN CONSUMERS THE BIGGEST BUSINESS TRANSACTION
OF THEIR LIFETIME.
YOUR WARRANTY PLAN HELPS TO PROVIDE THAT ASSURANCE AND
AGAIN DEMONSTRATES THE CAPACITY OF PRIVATE INDUSTRY TO RESPOND
IN A CREATIVE WAY TO CONSUMERS' NEEDS -- WITHOUT GOVERNMENT
INTERVENTION. THAT IS THE GENIUS OF OUR FREE ENTERPRISE SYSTEM.
SINCE WE SHARE A CONCERN FOR THE CONSUMER OF HOUSING,
I OFFER YOU NOT ONLY AN ACCOLADE, BUT A PLEDGE OF OUR COOPERATION.
YOUR INSIGHT WILL BE VALUABLE IN DETERMINING HOW EXISTING
GOVERNMENT WARRANTY PROGRAMS CAN BEST BE USED TO COMPLEMENT
PRIVATE WARRANTY PLANS,
-7-
As ALL OF YOU KNOW so WELL, INDUSTRY'S GREATEST
INVESTMENT IN FUTURE PROFITS IS THE CONSUMER GOOD WILL
IT ENGENDERS TODAY.
PHIL, YOU DESERVE ALL YOUR HONORS OF THIS MORNING.
You OBVIOUSLY HAVE WON THE BATTLE FOR CONSUMER CONFIDENCE.
I KNOW THAT GIVES YOU A GREAT SENSE OF SATISFACTION AND
ACCOMPLISHMENT.
I KNOW TOO THAT IT PLEASES THE PHILLIP MORRIS COMPTROLLER.
DAVE LINK -- THANK YOU FOR INVITING ME TO YOUR SUPER
BOWL.
I HOPE YOU ALL HAVE A GREAT AND PRODUCTIVE 1976.
FORD