Barry Rutenberg’s Speech to the NAHB Board of Directors

Barry Rutenberg’s Speech to the NAHB Board of Directors
Upon his installation as Chairman of the Board for 2012
February 10, 2012, during the International Builders Show, Orlando, FL

Very few of us would have predicted the depth and or duration of this downturn in our business lives.  And while the country thinks of it as the great recession, to some of us it has looked more like the depression.

But there are a lot of reasons to be more optimistic about the year ahead.  That’s right:  Optimistic.

And I know that this year, it is up to us to decide to make it better.  We can do it.

We can do it as individuals, companies, and an association.  Yes, I know that Washington can be challenging and can make it better or worse.  But how we live this year is not up to the government in Washington, it is up to us.  Not them.  We make that choice as individuals and then we make that choice collectively as an association and an industry.  We can not give up.  We can not falter.  Make no mistake, I hope you support us in the goal to keep our members in business and to grow the association.

I have been telling members since the Fall Board Meeting that I believe the economy and the home building industry are improving.  I have been saying that the home building industry is finding a bottom and that a number of markets are improving.  It is less bad. 

It is not easy to be optimistic when your lenders are asking for principal payments that seem unrealistic; it is not easy to be optimistic when your buyers demand ever lower home prices and aggregate costs are no longer declining.  It is not easy as an associate member to be asked by your builders for ever lower pricing.  And it is not easy to be optimistic when in many markets it is difficult to qualify and finance a presold home or obtain a loan for your next model or inventory home.

I understand.  I really do.

But it is a little bit like the book about the railroad engine trying to climb the hill.  The engine that said I think I can, I think I can., I think I can. Remember the story?

My local association with 21 building permits a month representing 15% of normal business is now the third largest association in the State of Florida with more than 500 members. That association has decided to continue to provide a full range of activities. And I know from this experience that we can help each other to do better.

What does NAHB do?  Advocacy, networking, and education.  What is IBS?  Advocacy with the major emphasis on networking and education.

In addition to all of the current work that NAHB does, with the blessing of Bob Nielsen, and the help with Rick Judson, Kevin Kelly and Bob Jones, as well as senior NAHB staff, we have been working since Fall Board on initiatives in capital markets, housing finance policy, electronic networking for our members, improving our communication both with our members and the external world, as well as new sources of non-dues revenue. Yesterday, you approved Resolution #5, a Comprehensive Framework for Housing Finance System Reform.  Studied, started, discussed, written, and approved in about 2 months. It was an Amazing team effort.

I appreciate the opportunity that you have given me to work with you to make our association and our future better.  I will work hard to make a difference.  But it is not an effort I can do by myself, or the Senior Officers, or the Executive Board can do alone.

We are survivors.

I hope you will dig deep, and join our effort.  Be actively engaged.  Be part of the team.  The future is up to us.  WE are in charge of our future. 

Thank you.