RVDA Tells Congress FEMA Trailer Sales through Dealers will Protect RV Market and General Public

RVDA President Mike Molino testified before a Congressional subcommittee on March 20 and called for government procedures that allow surplus FEMA trailers to be sold through RV dealers. For RVDA's complete written testimony (PDF), click here.

Molino told the subcommittee that auctions by the General Services Administration (GSA) of surplus FEMA trailers, unless precautions are taken, could have a negative impact on RV dealers and on public safety. During his testimony, Molino sat next to FEMA Director R. David Paulison. Paulison stated that the agency would work on the issue with RVDA.

“Media reports and our own contacts at FEMA tell us the agency, through GSA, is preparing to auction as many as 46,000 travel trailers to the general public,” Molino said. “To put this in perspective, last year the industry retailed 154,693 new travel trailers. The release of 46,000 trailers would approximate 30 percent of 2006 new unit sales for all U.S. RV dealers.”

“When you drill down to the local level, the impact is even more dramatic,” he continued. “For example, on March 16, the GSA auction website listed 61 trailers for sale in Purvis, MS. Purvis is in Lamar County. In 2006, a total of 79 new travel trailers were sold in the entire county. That means, in one day (March 19), the government will try to sell 77 percent of all the travel trailers registered in that county in 2006. As you can imagine, the public auction of so many vehicles at one time can ruin that local market for months to come.”

On the subject of safety, Molino said, “The practice of selling directly to consumers also raises significant public safety implications. Consumers could face many problems unless the vehicles are thoroughly checked out, serviced, repaired, and reconditioned by qualified technicians. Is there a plan to educate consumers buying these units at GSA auctions?”

Molino suggested, “Selling these trailers in lots, instead of individually, seems to make better sense for all concerned. Requiring sales in lots would make it more likely that the vehicles get back into the stream of commerce through a licensed dealer who is capable of ensuring the safety and serviceability of the unit.”

“By opening the lines of communications with RV dealers, FEMA and GSA can get more of these trailers into dealerships, where they can be serviced and sold in a way that is in everyone’s best interest,” Molino concluded.