Tag Archives: economy in Dickinson North Dakota

The Truth About What Is Going To Happen To Dickinson, North Dakota

It is tiring, frustrating, and upsetting to me, to continue to see people in Dickinson refusing to recognize and acknowledge what is going to happen to Dickinson, North Dakota.  I don’t want to see anyone being taken advantage of, and that is the way that I look at what people are attempting to do in Dickinson, to deceive others for financial gain.

Why can’t everyone just accept and admit, that Dickinson already experienced an oil boom in the 1950s and the late 1970s, and that after each of these oil booms Dickinson experienced a contraction in the economy, many people losing high paying jobs, businesses closing, people moving away, property decreasing in value and becoming difficult to sell.  This most recent oil boom ended in 2015, there will be a continued decrease in the population of Dickinson, but no one will admit this, and everyone is pretending that this isn’t going to happen.

The very wealthy owners of the local banks in Dickinson, most of whom do not live in Dickinson, have already put in place lending policies that show that they understand what is going to happen in Dickinson: many people losing their jobs, many people moving away, properties decreasing in value, and properties becoming difficult to sell.  I will give three brief example of these local bank lending policies:

I wanted to purchase a manufactured home in Belfield on its own 75’x140′ lot that was for sale for $20,000 to $25,000.  This treed and grass corner lot with water, sewer, and electric to it was probably worth $20K, without even considering the 3br, 1ba fully furnished home in good condition with new siding, added enclosed porch, and added open deck.  I contacted five local banks, and each one of them said that they had been instructed to not make any loans on manufactured homes, no matter how much land was involved.

A neighbor of mine who is 53 years old, wanted to purchase a home in our neighborhood that was for sale for $130,000.  This neighbor had made about $45,000 per year for the past eight years with his current employer.  He is single, and he had just finished paying about $900 per month in child support for the past fifteen years.  If he continued to allocate this $900 per month toward house payments, he could have paid off this house mortgage in fifteen years.  The bank told him no, as if his income and eight year job history at the same company in Dickinson didn’t mean anything, like they were expecting him to lose his job and not be able to get another job.

Another neighbor of mine who is in his forties and single, he has made about $42,000 per year for the past four years with his current employer.  He wanted to buy a house, so he completed a mortgage application with a local bank.  The bank approved him for a mortgage of up to $80,000.  If you go on the internet and use a mortgage calculator, this $80,000 mortgage would have a monthly payment of less than $400 per month.  With a single man having a take-home pay after taxes of $2,700 per month, why would the bank calculate that he could only afford $400 per month on housing?  It’s like the bank didn’t expect him to keep his job, or be able to get another job.

From the three examples above, the local bank lending policies indicate that they don’t expect local people to keep their job, be able to get another job, and the banks don’t want to foreclose on properties in order to sell them to recover the unpaid balance on loans, because these properties will not be worth the unpaid loan amount, and these properties will not sell.

There are people and groups in Dickinson that like to talk about how Dickinson is growing, which isn’t going to happen the way that they say it is.  Dickinson is going to shrink and contract for at least the next several years.  I am tired of hearing about several specific examples of growth and prosperity in Dickinson, which in my opinion, these examples are hoaxes, as they aren’t going to happen any time soon:  the Davis Refinery, the Odyssey Theaters Cinema Complex, and the Dickinson Hills Shopping Center.

I have written about, and explained the proposed Davis Refinery west of Belfield twice before.  The original proposed cost of the Davis Refinery was $900 million, twice the cost of the Dakota Prairie Refinery west of Dickinson which was built by the huge utility company Montana Dakota Utilities.  How was the proposed $900 million Davis Refinery going to be built, by an investor group who had never built a refinery before, who were in fact seeking initial investments to help cover the cost of permitting and planning?  My personal opinion is that the proposed Davis Refinery developers have only raised $10 million to $40 million.

A year or two ago the City of Dickinson sold a public parking lot located behind the U.S. Post Office to Odyssey Theaters, supposedly so that they could build an 8 cinema movie theater complex.  Most people in Dickinson have noticed that there is a shortage of parking downtown, even more so now that the City of Dickinson sold a public parking lot that was almost always full.  Where are the customers of this proposed 8 cinema movie theater complex going to park?  Construction was supposed to start this Spring, meaning now, but I don’t think that construction will start this year.

The developers of the proposed Dickinson Hills Shopping Center asked the City of Dickinson about a year ago if the City would pay for the extension of Fairway Street into their development.  The City agreed to pay for this $1.3 million road extension if the developers could show that they had lease commitments from tenants.  A few months ago the City Attorney Jan Murtha did look over signed lease agreements from Hobby Lobby, T.J. Maxx, Shoe Department Encore, and Dollar Tree.  My opinion, is that although these four tenants signed valid lease agreements, there was no penalty to the developer if they did not move forward with construction.  My opinion, is that the developer wanted the access road into their proposed development, so that they could sell this property, and not move forward with construction at this time.

North Dakota Governor Doug Burgum, his Attorney General Wayne Stenehjem, and Wayne’s cousin Stephen Stenehjem CEO and president of First International Bank & Trust, have all had to deal with embarrassing business fiascoes in Dickinson many times in the past several years:  Dickinson State University awarding degrees to foreign students who did not complete the required curriculum;  the DSU Foundation having to be dissolved and held in receivership to determine what was going on and where the money went;  Hawks Point Assisted Living Facility on the DSU campus failing to repay their loan from First International Bank & Trust;  DSU and the DSU Foundation failing to repay their loans for the construction of the Biesiot Activities Center.

People in Fargo and Bismarck are very aware of the business practices and outcomes in Dickinson, North Dakota.  The Catholics collected and spent over $75 million in Federal grant money and donations to construct a new hospital in Dickinson, shutting down the old hospital.  Many knowledgeable health care employees and residents in Dickinson came to realize that the old hospital that was shut down, had more emergency medical care capabilities, more critical care capabilities, more medical treatment services, and a building with a basement that could withstand a tornado.

Therefore, when a group business people and Dickinson State University people got together and created the Theodore Roosevelt Foundation in order to raise funding to build a Theodore Roosevelt Presidential Library and Museum in Dickinson, the Governor of North Dakota stepped in and stopped that, No Way.  The people in Fargo and Bismarck are fully aware of how the people in Dickinson are.  No way were they going to allow a group of people in Dickinson to collect millions in government grants and donations, obtain construction loans, overpay contractor buddies to perform work, get a substandard inadequate facility, not repay the construction loans, and not be able to account for where all of the money went.

It’s not just the business practices in Dickinson that the rest of the state takes notice of, it’s how the people in Dickinson behave and treat other people.  This is another reason why the Governor of North Dakota intervened to not allow the Theodore Roosevelt Presidential Library and Museum to be built in Dickinson, because of how the visitors would be treated in Dickinson and how the people behave in Dickinson.  Here are some examples:

  • During the oil boom, the people in Dickinson quadrupled the rent that they charged the out-of-state workers.
  • During the oil boom, the people in Dickinson voted to not allow “Man Camp” temporary worker housing in the county to alleviate the housing shortage.
  • Though many, many people in Dickinson received windfall sums of money from oil wells on their property, the people in Dickinson deliberately refused to construct a homeless shelter.  Out-of-state workers who could not afford the quadrupled rent, slept in their cars, underneath bridges, in the bushes along the railroad tracks, on the embankments of drainage ditches, or outside behind the truck stop.
  • When the ratio of men to women in Dickinson was 3:1, the Dickinson Police made a fake advertisement for a woman offering sex on the internet. When a man called to arrange to meet her, the fake woman made up the statement that she was under 18.  The Dickinson Police then tried to charge the man with Commercial Sex Traffic of a Minor, a twenty year sentence, and he never even met the woman.
  • The bars and restaurants in Dickinson hire methamphetamine addict and heroin addict criminal women from Spokane, Seattle, and Coeur D’Alene to work as servers, performing no background checks.
  • The employers in Dickinson hire drug addict felons with multiple convictions, performing no or inadequate background checks.

Because of the end of the oil boom, the population of Dickinson will continue to decrease for years to come.  The people in Dickinson refuse to acknowledge this, and they even point to signs of growth which are actually hoaxes, that will not happen.  The very wealthy successful people like the local bank owners know what is going to happen in Dickinson, and they have practices in place that indicate they expect an out migration.

The Governor of North Dakota, the Attorney General of North Dakota, other wealthy successful people in North Dakota know all about the business practices in Dickinson, the business schemes of the people in Dickinson, what they do with government grant money and donations, how they don’t repay loans, how they are unaccountable for money, how the people in Dickinson treat other people, and how the people in Dickinson behave.  Not only did they intervene to prevent the Theodore Roosevelt Presidential Library and Museum from being built in Dickinson, they wanted to close down the Women’s Correctional Facility in New England, and they will probably seek the closure of Dickinson State University before long.

In the near future, Dickinson will begin to change more toward what New England, Belfield, and Richardton are like.  You don’t understand, this is what the wealthy, successful, influential people in Bismarck and Fargo want.  They do not want Dickinson to grow, they want Dickinson to shrink.  Not only do they not like Dickinson, and do not believe in Dickinson, they don’t want the oil revenue money from western North Dakota being wasted on improving Dickinson.  As far as they are concerned, they would like to see Dickinson as just unimproved grassland, and all of you Dickinson people gone, because you just can’t seem to change and get with the program, you remain backwards.

I Wish That I Could Force You To Understand Dickinson, North Dakota

I have been writing about Dickinson, North Dakota on this blog website for a little over four years now.  For those of you who don’t know why I started writing about Dickinson, it was because Dickinson, Williston, and Minot, North Dakota were the towns in the middle of the Oil Boom in North Dakota that occurred from 2007 through 2014, and I was living in Dickinson.

During the Oil Boom years, there was a great amount of chaos, confusion, development, excitement, optimism, hype, misinformation, and people being taken advantage of.  For those of you who don’t remember, have forgotten, or never knew what happened from 2007 through 2014 in Dickinson, here is a short synopsis:

Most people did not know that 2007 through 2014 was North Dakota’s third Oil Boom.  There was an oil discovery boom in the 1950s, and there was an oil market shortage boom in the late 1970s.  Dickinson had experienced an influx of oil field workers and oil companies before, in the 1950s, and the 1970s.  Well-informed people, well-educated people, and intelligent business people in Dickinson knew from past experience that these Oil Booms last about seven years, that’s why they are called a “Boom” in the first place.

However, even though there were very wealthy people, moderately wealthy people, influential people, politicians, elected representatives, large land owners, and community leaders in Dickinson who all knew from the previous two Oil Booms in North Dakota, that these Oil Booms last for about seven years, rather than trying to manage this Oil Boom in the most effective way for everyone, they either tried to benefit personally at the expense and suffering of others, or they did nothing to stop the taking advantage and suffering of others.

For those of you who were not here, or do not know what I am talking about when I write about the taking advantage of others and the suffering of others, I will explain:

All over the United States, television, radio, newspaper, and magazine media frequently announced that everyone working in North Dakota was making over $100,000 per year due to the Oil Boom.  This was not true at all, the average wage rate in western North Dakota was about $15 per hour at the time.

Believing that they were going to make $100,000 per year in North Dakota like they heard about, people who were struggling financially, or who were broke, used the very last money that they had to travel to Dickinson or Williston.  When they got here, one-bedroom apartments that had once rented for $300 per month, were now $1,500 per month.  With $3,000 due at lease signing for first month’s rent and security deposit, for the cheapest apartments available, most people could not afford a place to live.

Though business was booming in Dickinson, and many wealthy people were becoming even wealthier, there was deliberately and intentionally no homeless shelter in Dickinson.  The people who had been lured to North Dakota by the announcements that everyone was making $100,000 per year, ended up sleeping in their cars in the parking lot of WalMart or the Tiger Truck Stop.  Or, if they arrived in Dickinson by bus or by hitch hiking, they slept under bridges, in the bushes at Patterson Lake, or in the bushes behind businesses.  In the winter, it gets down to -30 degrees Fahrenheit in Dickinson.

When quick, short-term housing solutions, such as the permitting of temporary housing called “man-camps” were proposed, the building permits were denied, due to citizens of Dickinson supposedly fearing “rape” from all the men.  However, the permits for many, many large apartment complexes were approved, even though the occupants would be the same men who would have lived in the man-camps, who were feared for “rape”, but apparently not if they paid $2,000 per month rent for a new apartment.

During the Oil Boom of 2007 through 2014, I witnessed many, many people arriving in Dickinson who were financially broke, who had been lured here by television, radio, newspaper, and magazine announcements about everyone making $100,000 per year in North Dakota.  This was not true, even after living in Dickinson for six years, I have only ever personally met about three or four people who made $100,000 for even one year, working in the oil field.

One of the very first things that I tried to do when I started this blog website four years ago, was to try to get the information out there, that most people were not making $100,000 per year in North Dakota or the oil field, that this was a lie.  I tried to explain what the employment situation was really like.  I tried to explain that only young men between the ages of 18 to 30 years old, who were able-bodied, in good physical condition, with no physical defect, would even be considered to start out working on an oil drill rig, where they would work 12 hours per day, for fourteen days in a row, at about $23 per hour, and make nearly $100,000 per year.

I tried to explain in my blog posts that the vast majority of the job openings in North Dakota were not on an oil drill rig, some were in the oil field, what these other oil field jobs were, what skills and abilities these other oil field jobs required, what it would be like working in the oil field, and what other jobs there were in Dickinson.

I also wrote blog posts explaining that there was a shortage of housing in Dickinson, and that housing was very expensive.  I tried to counter what the television, radio, newspapers, magazines, Chamber of Commerce, North Dakota Job Services, business owners, and politicians were saying in order to try to get people from all over the United States to move to Dickinson or Williston, not knowing what they would be getting into.

During the Oil Boom, I had jobs where I was paid $12 per hour, $15 per hour, $16 per hour, $17, $18, $19, and $20 per hour.  But I had a college degree in engineering, management experience, experience operating heavy equipment, experience in construction, experience in heavy mechanical equipment assembly, and I was able-bodied.  From what I saw, from the people that I worked with, and my experience living in Dickinson, the average hourly wage was about $15 during the Oil Boom.

There were times when the local WalMart paid $15 per hour.  But many businesses paid less than $15 per hour for store clerks, front desk people, customer service people, retail workers, fast food workers, restaurant workers, drivers, general laborers, caregivers, and many other jobs.  For instance, the TSA at the Dickinson airport paid officers $14 per hour.

At the same time that the average hourly wage in Dickinson was about $15 per hour, some of the cheapest old one-bedroom apartments rented for $1,500 per month.  If a person worked for 50 hours each week at $15 per hour, with overtime pay that comes out to about $820 per week before taxes, about $700 per week after taxes, and a take home pay of about $2,800 per month.

Starting out with a take home pay of $2,800 per month, and subtracting rent $1,500; utilities $150; cell phone $50; car insurance $100; car payment $200; fuel $150; leaves $650 left over for the entire month for food, clothing, and everything else.  That’s less than $20 per day that you could spend on food.  What if you had a child, a medical emergency, or a major car repair?

I wondered, and I wrote about, what kind of people would double, triple, and quadruple the rent and housing prices in order to gouge and take advantage of the out-of-state workers who came to Dickinson, many of whom were struggling financially to begin with or were completely broke?

You need to know and keep in mind, that outside of Dickinson there is more vacant, barren, flat, undeveloped land than almost anywhere else in the United States.  There is no scarcity of land to build on. The land outside of Dickinson is almost as vacant as the deserts of Arizona, Nevada, or Utah.  Though the land outside of Dickinson is not as dry as the desert, it is very, very cold in North Dakota from October through April, that’s seven months out of the year, and this is one of the reasons why there are less than one million people living in the entire state of North Dakota.

With such an abundance of vacant, barren, undeveloped land, why were the rent prices in Dickinson and Williston higher than any place else in the United States, higher than even New York City and San Francisco?  The local people liked to say that it was a matter of supply and demand, low supply of housing, and a high demand for housing.  But like I just got done explaining, there is more vacant, barren, undeveloped land outside of Dickinson, than almost any place else in the United States.

Keep in mind, that the well-informed people, well-educated people, the intelligent business people, the wealthy people, and the large land owners in Dickinson knew about the oil discovery boom in the 1950s, and the oil market shortage boom in the 1970s that occurred in North Dakota.  They knew from these previous two Oil Booms, about all the workers and oil companies that come to North Dakota during the Oil Booms.

The doubling, tripling, and quadrupling of the rent and housing prices that occurred in Dickinson, was not merely a matter of supply and demand.  There was more to it than that.  If you have foreknowledge that something is going to occur, where people will experience a scarcity or lack of some necessity, and you seek to take advantage of this scarcity, and even take steps to keep this scarcity from being alleviated so that you can personally benefit financially, you are unethically taking advantage and gouging other people.  I will give a couple of examples for you to think about:

When a hurricane was approaching the east coast of the United States, and everyone needed to prepare for an emergency, some businesses used to sharply increase the price of fuel, drinking water, plywood, generators, and other emergency supplies.  Do you know that this practice is now illegal, and that business owners are now criminally prosecuted for this?

What if you and your business associates created or helped form a retirement community in Nevada, an isolated community consisting of modest, inexpensive, single-wide manufactured homes on 50 ft. x 100 ft. lots, for sale for about $50,000.  Once each of these modest manufactured homes had been sold, what if you doubled, tripled, and quadrupled the price that you charged for water, knowing that there was no other water service available, and that the cost to drill a well would be about $20,000, which these low-income residents would be unable to afford?

Just because someone can see a way to take advantage of and gouge other people on the price of a necessity that they will need, this in no way means that this is ethical, moral, or even legal.

What was actually going on in Dickinson and Williston, was that the wealthy people, the business owners, the property owners, elected representatives, politicians, community leaders, spokespeople for the oil industry, and spokespeople for the North Dakota Job Services continued to perpetuate the lie that everyone who moved to North Dakota for work was making $100,000 per year, even though they knew that this was not true, that they would make much less money than this, and that more than half of their pay would be spent on housing because they had quadrupled the price of housing in North Dakota.

The reasons for spreading this lie all over the United States and luring people to North Dakota were:

  • To bring as many people as possible to the state to be able to rent, lease, and sell all property available.
  • To bring as many people as possible to the state to occupy or buy all property available, to cause a shortage, and be able to greatly increase rents, leases, and property prices.
  • To cause the need, the requirement, or the perception, that there needed to be new apartments constructed, new housing constructed, new retail stores constructed, new grocery stores, new schools, new hospitals, and new infrastructure like water towers and roads.
  • To lure property developers and business entrepreneurs to the state build developments and start new businesses.
  • To bring customers to the state to increase business and sales.
  • To greatly increase tax revenue to the state in sales tax, personal income tax, and property tax revenue.
  • To bring a surplus of workers to the state to try to keep wages low.

After writing about all of this for four years, I realized or discovered several surprising, sinister schemes.  What is even more surprising, and kind of funny, is that most of the people who sought to take advantage of others and be predatory, have been set up for financial ruin, and they don’t even know it yet.  I will explain.

The ordinary people in Dickinson, whether local people or from out-of-state, each of them are aware of only a fraction of what is going on.  They are often very susceptible to lies and misinformation, their circumstances in life change greatly when their rent is increased, their hourly wage rate is increased, or they lose their job.  They are practically slaves or livestock, and they don’t even know it.  They were likely to parrot the phrases that they were taught, such as “This Oil Boom is going to last for the next 20 years”, and then later “The Oil Boom is coming back” or the ever perpetual phrase “Things are starting to pick up again.”

The business people, business owners, property owners, property developers, elected representatives, Chambers of Commerce, oil industry spokespeople, and North Dakota government agency spokespeople, were or are, kind of like the herders, shepherds, shearers, fleecers, milkers, and egg gatherers of the ordinary people, who are like slaves or livestock.

The business people, business owners, property owners, property developers, elected representatives, Chambers of Commerce, oil industry spokespeople, and North Dakota government agency spokespeople thought that they were all in agreement, all with the same program, of continuing to encourage people to move to North Dakota because it accomplishes their goals of having customers, making sales, having properties rented or leased, having properties sell, keeping property values high, and keeping tax revenue coming in.  So they all keep making announcements that there are thousands of high paying job vacancies in the oil field of North Dakota, even though there aren’t.

But when I, and several of my friends were unable to get home loans from banks in Dickinson recently, I discovered something odd.  Eventually I realized that there is an entirely different plan in place, that is unknown to 99.95% of the people in Dickinson.  The wealthiest 0.05% of the people in Dickinson, which includes the local Bank owners, have a completely different plan.

Despite what the business owners, property owners, property developers, Chambers of Commerce, oil industry spokespeople, and North Dakota government spokespeople are saying about the thousands of high paying job vacancies in the oil field in North Dakota currently, in order to try to keep the economy going, the Bank owners and the wealthiest 0.05% are preparing for an economic collapse.

When I and several of my friends were denied home loans recently by Banks, even though our income was sufficient to make the mortgage payments, and we had each been at our present jobs for more than four years, it was like the Banks were saying, “Even though you currently earn enough money to make the mortgage payments, and you have been at your present job for more than four years, we don’t believe that you will keep your job, or be able to get another job in Dickinson, and we don’t want to foreclose on a property that will be worth much, much less than your mortgage with the bank.”  In other words, the Banks are preparing for an economic collapse in Dickinson, where many people will lose their job, be unable to get another job, and property values will fall.

I began to realize that what the Bank owners know, what the wealthiest 0.05% of North Dakotans knew all along, was that these Oil Booms in North Dakota last about seven years.  You can make money on the way up, you can rent properties, lease properties, sell properties, build some properties and sell them, but you need to sell or hold during the way up, don’t buy anything, unless it is very early on.  The real money to be made, is when the economic collapse comes, then you can buy businesses, equipment, buildings, houses, and properties for 10% of what they cost.

The funny thing is, that the business people, business owners, property owners, property developers, Chambers of Commerce, oil industry spokespeople, and North Dakota government spokespeople, all believed that they had the same goal, were on the same page about growth, and keeping the economy going, when all along the wealthiest 0.05% of North Dakotans were just eagerly awaiting the economic collapse that was inevitable.

The business people, business owners, property owners, and property developers that were kind of the herders, shearers, fleecers, milkers, and egg gatherers of the ordinary working people, taking advantage of them and gouging them on rent, leases, and real estate, once the economy in Dickinson collapses, they will be broke or in a very bad financial position.  The wealthiest 0.05%, who knew this was coming years ago, have been waiting for this.

Business people, business owners, property owners, and property developers that once took advantage of other people, will then be taken advantage of.  Whatever they built, created, bought, or owned, they will end up losing it, and perhaps be paid 10% of what it cost them.

Truth About The Work Situation In Dickinson, North Dakota

In the past two weeks, I have written three blog posts about three different couples that I have seen moving out of the low rent older apartment building where I live in downtown Dickinson, North Dakota.  Each of these three couples had moved to Dickinson about six months ago, and now they are leaving Dickinson.

Every day there are radio advertisements from local companies in Dickinson about how they offer competitive wages, paid family health insurance, and $3,000 to $6,000 sign-on bonuses.  About once each week, there is a representative from North Dakota Job Services talking about hundreds of job openings in Williston, Watford City, and Dickinson.  Yet when I log on to the North Dakota Job Services website and I search for jobs in Williston, Watford City, and Dickinson, there are fewer than forty current job openings in each of these towns, and one third of them are for medical professionals.

What is really going on?  To explain, I want to write about an experience that I had yesterday on Saturday November 10, 2018, in Dickinson:

I went to a gas station in Dickinson that I normally do not go to.  Working at the cash register, was a man that I had worked with in Dickinson seven years ago, back in 2011.  He is about 6′-3″, 300 lb, able-bodied, fairly intelligent, and he is from Dickinson.

In 2011, this man was the operations manager for the small oil field service company where I worked.  He was in charge of the crew trucks, equipment trailers, skid steers, backhoe, scissor lifts, snorkel lifts, lull, generators, compressors, compactors, and other tools.  He operated equipment in the company yard, and at the job sites where we worked.

This company where we worked constructed pump jack concrete foundation pads at oil field locations, salt waters disposal facilities, steel warehouse buildings, and performed work at several different refineries.  The operations manager ordered material for the work that was performed, and he sometimes supervised the work that was performed.

The operations manager did a pretty good job over all.  He worked at this small oil field service company for several years, before going to work for a supplier of oil field tools and equipment for several years.

Why is this big, strong, able-bodied, fairly intelligent, competent, local person, with ten years of experience working in the oil field, working as a cashier at gas station in Dickinson, if there are supposed to be hundreds of job openings in Williston, Watford City, and Dickinson?

In my recent blog posts titled “The Truth About Living And Working In Dickinson, North Dakota”, “Truth And Lies About Living And Working In Dickinson, North Dakota”, and “Even More Truth And Lies About Living And Working In Dickinson, North Dakota”,  I have tried to explain that business people, property owners, property managers, and oil field companies are trying to “keep things going” by spreading false information.  They want to keep people moving to Dickinson to do business, so that the value of their properties remain high, to rent or lease properties, and to have a large pool of skilled labor in order to keep wages low.

Even More Truth And Lies About Living And Working In Dickinson, North Dakota

Today, Saturday November 10, 2018, I am yet again watching a couple move out of the low rent older apartment building in downtown Dickinson, North Dakota where I live.  No, this is not an across town move, because they have a pickup truck and a U-haul trailer, and they are very carefully trying to fit absolutely everything they own into this truck and trailer, because they are leaving Dickinson.

In the past thirty days, I have written two previous blog posts about two other couples who were moving out of the older apartment building where I live in Dickinson.  Both the first couple, and the second couple, the husband was truck driver.  Both of these two couples moved to Dickinson about six months ago.

On the radio in Dickinson, North Dakota for the past several months, there have been advertisements from local trucking companies about how they need truck drivers, they offer competitive wages, paid family health insurance, and a $3,000 to $6,000 sign-on bonus.

Why is it that truck drivers come to Dickinson for work, then they leave about six months later?  No, they didn’t make so much money that they are leaving.  I talked to them, I saw how they were living, I saw that they had very little, I sometimes saw and heard these couples arguments that continued through the parking lot and into the building, the kind of arguments that people have when money is scarce.

Also on the radio in Dickinson during the past sixty days, I have heard representatives from North Dakota Job Service talk about the great need for workers in Williston, Watford City, and Dickinson, about several hundred job vacancies in Williston.  Yet when I log onto the North Dakota Job Services website, and search for job openings in Williston, Watford City, and Dickinson, I see that there are less than forty current job openings in Williston, and less than thirty current job openings in Watford City and Dickinson.  One third of these job openings are for Registered Nurses, Travel Nurses, and Medical Doctors, more job openings in the medical professions than there are in the oil field.

What is going on?  I know exactly what is going on, and what is happening.  Business owners, property owners, property managers, and oil companies want to “keep things going”.  The business owners want customers, the property owners want their property to continue to be worth money, the property managers want tenants, and the oil companies want to have a large pool of skilled trades people so that they can keep wages low, have the threat of easily replacing workers, and being able to replace skilled trades people like they were shop rags when they get worn out.

In my previous blog post, I found a short way to put it, if you are not from this area, you are treated like a migrant worker.  No matter if you have a college degree, management experience, or a great deal of work experience, if you are not from this area you are treated like a migrant worker.

What does this mean, being treated like a “migrant worker”?  It means that you will be followed more, stopped more, and treated with more scrutiny by the local city Police.  You are a good candidate for a DUI, a good source of revenue for the city when you pay your court fines, and how the local attorneys stay in business with the $3,000 retainer fee you will pay.

If you are not from this area, you will be treated like a migrant worker in many businesses, establishments, city, county, state, and federal offices in Dickinson.  At work, you will be disliked, mistrusted, mistreated, and undermined by your local co-workers, local administrators, local managers, and local company owners.

The truth is, that there are some job openings in Dickinson, and the wage rates are still above average, because no one wants to live or work in Dickinson.  The local people are unfriendly and hostile, the real estate prices are way too high, there is not a lot to do, there are very few places to go, and the local employers and the local co-workers treat out of state workers like shit.

The Best Seven Years For Dickinson, North Dakota

In 1996 I moved to Tampa to work for a company as an engineer.  I rented an apartment on Lake Magdelene in north Tampa.  Up until the 1950s, most of north Tampa was hundreds and hundreds of acres of orange groves.  As Tampa grew continually, it pushed northward into these orange groves.

This area of Tampa was very beautiful, or it had been.  There were probably nearly one hundred small lakes, ranging in size from fifty feet across, to Lake Magdelene which was about one mile in length.  Besides citrus trees like orange, tangerine, kumquat, lime, and grapefruit trees; banana trees, palm trees, oak trees, oleanders, dense hedges, ornamental plants, ferns, and flowers filled these middle class and upper middle class neighborhoods.

By the time that I moved to Tampa in 1996, Hillsborough County had grown to nearly one million people.  At this moment in time, the character of Tampa was about to change significantly.  The area north of Tampa, the orange groves and small lakes, was almost completely developed.  These very traditional, beautiful, comfortable suburban neighborhoods that had been built from the 1960s through the 1990s were done.

An unbelievable and unprecedented amount of new development began in what was called “New Tampa”, to the north west, on the west side of Interstate 75.  On the west side of Interstate 75, there were thousands of acres of cattle pasture and swamp land, this became “New Tampa”.

Every housing development in New Tampa was a “gated community”.  You exited Interstate 75 onto Bruce B. Downs Boulevard, and drove west until you reached the entrance to the gated community in which you lived, turned in, and drove through the entrance past the guard house and gate.  This entrance was the only way in, and the only way out.  Each gated community was surrounded by a combination of walls, earth berms, and tall hedges.

Besides being protected behind the walls, earth berms, and gates, or you could look at it as being a prisoner, which was often the case when you tried to leave in the morning during rush hour, these gated communities featured “McMansion” architecture.  “McMansion” architecture is where cheap construction methods and cheap materials are used to create intentionally tall entry ways and high roof peaks, to make a home look enormous and expensive.

I believed that I had arrived in Tampa about twenty years too late.  On weekends when I was living on Lake Magdalene, I would ride my bicycle through these beautiful thirty year old neighborhoods, with quiet tree lined streets, natural lakes in the backyards, community tennis courts, and small orange groves here and there.

In these thirty year old neighborhoods, everyone knew everyone on that street, and the next streets over.  Husbands and wives bought one of these houses when they were in their thirties, and stayed there even after their kids moved out, they retired, and became old.

Some of these houses were large five bedroom, three bathroom houses, but most of these houses were modest and unpretentious.  Due to the economy and nature of Tampa, with large corporations, an international airport, McDill AFB, international sea port, and professional sports teams, neighbors would have been doctors, lawyers, engineers, airline pilots, military officers, ship captains, or professional athletes.

For adults in these neighborhoods, especially the wives, it would have been very enjoyable to be able to socialize with so many other adults with similar education, professional level, income level, interests, and values.  Parents in these neighborhoods did not have to worry very much about where their kids were, because all of the parents watched all of these kids.

After school, and in the summer, the kids in these neighborhoods, could have gone swimming, fishing, canoeing, water skiing, sailing, or played tennis.  I don’t think there would be any question that each of these kids was expecting and planning on going to college, because that is what all of the other kids did, and that is what everyone’s parents had done.  There would not have been aimless, depressed, self-destructive, drug addict, hoodlum kids around.

So I would have liked to have been either a kid or an adult living in one of these middle class neighborhoods in north Tampa from 1960 to 1990.  I think that I would have been happier as a kid or an adult living among peers with the same interests, values, beliefs, and goals, in this warm, safe, beautiful environment, doing things that I like to do.  But after 1990, no way, Tampa became too huge and overwhelming.

I want to point out, that these middle class adults who lived in Tampa from 1960 through 1990, with their education, professionalism, values, beliefs, interests, and goals, they caused Tampa to thrive, and double in size.  Though these adults created and loved their quiet, peaceful, happy, suburban neighborhoods on the north side of Tampa, the growth that they caused, changed the character of Tampa, to something that they would not have liked, the “gated communities” with the “McMansions”.  However, they would have acknowledged there was no way to be able to stop this, it was inevitable.

I also want to point out, that the kids who grew up in these beautiful, safe, fun, middle class neighborhoods on the north side of Tampa, where everyone’s parents went to college, and everyone was going to go to college, that these kids were so solidly grounded, that I think that they could do O.K. living anywhere.  What I mean is, I think these kids all turned out so well due to the constant positive influence of their peers and the other parents, that I think these kids as adults could cope with living in an unpleasant city or urban area.  ( I base this belief on my experiences attending the University of Florida on a campus with what was then 35,000 students, where some students thrived and some students could not cope, not because of intelligence level, but because of their backgrounds.)

When I was living in Flagstaff, Arizona, which I loved, I also felt that I arrived there twenty to thirty years too late.  To save time, I could say that everything about Flagstaff was wonderful.  However, beginning in about year 2000, real estate prices began to skyrocket.  And from what I have been told, growth has just continued non-stop to this day, making not just the price of real estate a problem, but now over development is a problem too.

The best, most enjoyable years to live in Flagstaff, were probably the 1960s through the 1990s.  The town, the forests, the mountains, the beauty, the lifestyle, the people, the weather were all so enjoyable, that this is what led to real estate skyrocketing, and the over development.  It was just inevitable.

Finally, getting to what this blog post was supposed to be about, “The Best Seven Years For Dickinson, North Dakota.”  From 2007 through 2014, there was an Oil Boom in Dickinson, North Dakota.  Though there was an “Exploration Boom” in North Dakota in the 1950s, and there was a “Gas Price Oil Boom” in North Dakota in the 1970s, this most recent oil boom has had the most significant and greatest impact on Dickinson.

How can I say that 2007 through 2014 was “The Best Seven Years For Dickinson” ?  To begin, prior to 2007, the average hourly wage in Dickinson was probably about $8 per hour, with no opportunity to work overtime.  There were very few job openings, and very few opportunities to get a higher paying job.  There was no way for most Dickinson residents to get ahead financially.  It would have been difficult for most Dickinson residents to even be able to save enough money to get out of Dickinson and try to move some place else.

In addition to there being mostly only low paying jobs, with very few opportunities to get a higher paying job, everything in Dickinson was controlled.  The wealthy families in Dickinson, and the influential families in Dickinson, controlled who got hired, who got fired, who got a promotion, who got demoted, who got recognition, who got blame, who got arrested, who was not prosecuted, who got a home loan, who got a car loan, who was evicted, and so forth.

When the Oil Boom began in 2007, it was almost like the Dickinson residents were released from bondage.  There was such a demand for workers in the oil field, that any able bodied person in Dickinson could get a job immediately for at least $16 per hour, which is about twice the average hourly pay of $8 per hour, plus, they might be allowed to work as much as 40 hours of overtime each week.

Some Dickinson residents, who were in their forties, who had always been kept down in Dickinson, always receiving low pay, never getting a promotion, never being able to get a better job, never being able to get a home loan, all of a sudden went from making $320 per week, to making $2,000 per week.  And for once, there was no wealthy or influential family in Dickinson who could stop them.

When the Oil Boom began, a graduating high school student who would not have been able to find a job in Dickinson, could now get a job earning as much as $1,400 per week working in the oil field.  A graduating high school student who would have had no car, and had to live with his parents, could now get a job working in the oil field, buy a very nice truck, and rent their own apartment.

Once the Oil Boom began in Dickinson, young couples were each able to obtain good employment, get married, and buy their own home.  Older couples were each able to obtain good employment, pay off their credit card debt, pay off their car loans, and pay off their home loans.

Due to families in Dickinson owning farms, or having retained mineral rights, oil well lease signing checks and revenue checks, began earning many families in Dickinson thousands or tens of thousands of dollars each month.  Farmers purchased completely new farm equipment, trucks, and travel trailers.  Some families dispersed this monthly oil revenue money to their children and grandchildren.  Many family members in Dickinson receiving oil revenue money purchased new vehicles, motorcycles, travel trailers, did home remodels, or paid for their kids to go to college.

Due to the amount of oil field work in and around Dickinson, many new large warehouse buildings were built, new office buildings were built, new restaurants were built, a new shopping center was built.  About five new hotels and fifteen new apartment buildings were built.  Local land owners, real estate agents, and construction companies made money on these new building projects.  Some local residents started and grew their own oil field service companies and construction companies.

During this Oil Boom, the City of Dickinson was able to build one of the nicest recreation centers in the World.  It has two indoor swimming pools, one outdoor swimming pool, skateboard park, ice skating rink, two indoor tennis courts, three indoor racketball courts, four indoor basketball courts, one volleyball court, indoor golf simulator, rock climbing wall, indoor track, cardiovascular equipment area, weight lifting gym, aerobics studios, and child day care.

The City of Dickinson was able to build a new Police Department, have a new water tower, pave many roads, widen roads, add stop lights, build a new school, and have a new County Fairground.

Would I have wanted to be in Dickinson from 2007 through 2014?  Yes, I would have, especially if I would have been a resident of Dickinson.  I was in Dickinson on and off from 2011 until now in 2018.

Unlike my story about getting to Tampa too late, where Tampa kept growing and growing, or my story about getting to Flagstaff too late where Flagstaff kept growing and growing, I got to Dickinson too late, because Dickinson is contracting.

In my stories about Tampa and Flagstaff, conditions in these towns were so good, that it was inevitable that they would grow.  In Dickinson, conditions are so bad, that it is seems inevitable that Dickinson will decline.

One of the reasons why I am writing this particular blog post, and the way that I am writing it, is because the people in Dickinson do not know that 2007 to 2014 will likely be the best years that Dickinson has ever had, or will have.  I began with the two stories about Tampa and Flagstaff, to explain the inevitability of places changing, even if you do not want them to go in the direction that they are going in.

In the case of Tampa, there was so much continued growth because of the regional economy, low cost of living, good climate, recreation, entertainment, night life, fine dining, shopping, professional football, professional baseball, professional hockey, international airport, international sea port, U.S. Central Command McDill AFB, and the University of South Florida.

In Flagstaff, the continued growth had nothing to do with the regional economy or cost of living, neither of which are very good, it was the beauty of the town, the Coconino National Forest, the snow skiing, trail hiking, rock climbing, mountain biking, the clear blue skies during the winter, the nightlife, friendly downtown, diverse and well educated population, low crime and no riff-raff hoodlums.

In Dickinson, after the Oil Boom ended in 2015, many of the oil field jobs went away, many oil field workers returned to the states where they came from, and subsequently other jobs went away in other areas of the economy.  The amount of oil field jobs continue to decrease, as do other jobs in other areas of the economy in Dickinson.  As there are fewer jobs in Dickinson, and a greater supply of workers than demand for workers, we are seeing the wage rates steadily decrease in Dickinson.

As there are fewer oil field jobs, fewer jobs in other areas, and wage rates are decreasing, the old practices of nepotism, favoritism, discrimination, prejudice, and exclusion in hiring, promotion, lay offs, and home lending are beginning to emerge again in Dickinson.

The people in Dickinson are unfriendly, the Police in Dickinson are encouraging people to leave Dickinson, the Police in Dickinson are discouraging people from going out at night, the restaurants are not very good, the restaurant servers are not very nice, there is shortage of women, there is scarcity of attractive women, the real estate prices are high, the real estate prices are likely to fall, there is too much crime in Dickinson, little entertainment, few recreation activities, and it is cold and grey for about seven months of the year in Dickinson.

The population of Dickinson is decreasing, Dickinson is contracting, and this is just going to continue.  The people in Dickinson refuse to see this or acknowledge this.  Some people believe the Oil Boom will come back.

In order for Dickinson to not contract, Dickinson would have to be a place where people would want to move, and stay.  Here are some changes that would be needed:

  • The Police in Dickinson need to find a way to stop the crime and drug dealing in Dickinson, without following, surveilling, and stopping non-criminal, law abiding people.
  • The Police in Dickinson need to find a way to allow adults to go out to restaurants and sports bars at night to socialize, without following, surveilling, and stopping them on their way home.
  • The people in Dickinson need to stop being mean and nasty to other people in general, and to cease nepotism, favoritism, prejudice, discrimination, and exclusion in hiring, firing, promotion, and bank lending.
  • The people in Dickinson need to stop being out-of-their minds as far as real estate prices in Dickinson.
  • The banks in Dickinson need to grant home loans to people who demonstrate that they can make the mortgage payments.
  • The restaurants in Dickinson need to stop using jaded, rough, mean drug addict women as servers, especially the ones from Spokane, Seattle, and Coeur D’Alene.
  • Dickinson needs to be a city that promotes health, such as hygiene, exercise, and fitness, and discourages smoking, tobacco, illegal drugs, over use of alcohol, and over eating.
  • Dickinson needs to be a city that promotes education, awareness, and spirituality, and discourages ignorance, hate, and Catholicism.
  • Dickinson needs to be a city that encourages women to be beautiful and friendly, and discourages women from being ugly, glaring, and scowling.
  • Dickinson might need to have a strip bar, just so men can see what women are supposed to look like, maybe they have never seen one, or they have forgotten what they look like.
  • Dickinson needs to have a good Italian restaurant.

The Dickinson Mafia And Bank Owners In North Dakota

It has been a while since I have mentioned the Dickinson Mafia in one of my blog posts, probably more than a year.  There may come a time, when circumstance arise that may cause me to identify the members of the Dickinson Mafia by name, there are about eight of them.  But at this time, it would be more trouble than it is worth.

For the newcomers to Dickinson, the Dickinson Mafia are a group of business owners, land owners, and political office holders who try to control what goes on in Dickinson.  They tell themselves, and each other, that what they try to accomplish is good for Dickinson, but these things coincide with what benefits them.

A reader may think, so what, what is wrong with this, what is the problem?  I will give you a couple of examples.  One of the ways in which Dickinson is controlled, is by controlling who is hired.  Often times, hiring in Dickinson is not a matter of selecting the most experienced and qualified applicant.  Hiring involves selecting the applicant that has been selected ahead of time due arrangements being made on the basis of family connections, seeking to win favor with someone, promise of being compensated, threat of being punished, or outright being told to do so.

Another way in which Dickinson is controlled, which people learn when they live here, is by:  who gets stopped by the Police and who gets let go;  who moves forward with being criminally prosecuted and who has charges dropped;  who gets a long sentence and who gets a short sentence, or no sentence;  who gets a building permit and who does not;  who receives building code violations and who does not;  who receives a bank loan and who does not;  who keeps their job and who gets laid off;  who gets awarded contracts and who does not;  who gets good publicity in the newspaper and who does not.

Myself, and other people who live in Dickinson, would like to be treated fairly, but sometimes that doesn’t happen.  It is upsetting, when steps are taken to interfere with your being hired, your work, being stopped by the Police, attempted entrapment by the Police, or not being able to get a bank loan.

For the readers who still don’t know what I am talking about, you can read my previous blog posts titled “They Hide Jobs In Dickinson, North Dakota”, “The Disputed Termination Of David Armendariz”, “Not Being Paid By Employers In Dickinson”, “Being Stopped By The Police In Dickinson, North Dakota”,  “Almost Getting Caught By The Drug Task Force In Dickinson, North Dakota”, “Legal Entrapment Of Manish In Dickinson, North Dakota”.

In understanding Dickinson, it is like pealing back layers of an onion.  After studying things for a while, you may think that you understand Dickinson, but then you realize that there is another layer below what you have already found.

Here is one way to look at these layers of Dickinson:

The first thing that a newcomer to Dickinson will likely experience, is contact with their employer and the Police in Dickinson.  This is what is on the surface of Dickinson.  If you have any sense, you will quickly realize that you are better off saying very little to your employer, your co-workers, and the Police in Dickinson, because they are all trying to find fault with you, and something to charge you with.

The next layer down, the socialization in Dickinson, will be the people that you meet and interact with at grocery stores, retail stores, businesses, restaurants, bars, school, the West River Community Center, etc.  You may come to understand that the socialization in Dickinson is heavily influenced by the German, Ukranian, and Catholic ancestry of the local people.

The next layer down, the economy in Dickinson, you may find out about the 1st, 2nd, and 3rd oil booms in Dickinson, the history of the settlers and agriculture, the history of the poverty and wealth, the historical prices of land, success and failures of businesses and industries, coal mining, Uranium mining, etc.

The next layer you may come to in understanding Dickinson, is the Dickinson Mafia layer.  You may begin to learn about the influence and control of the Dickinson Mafia, what businesses they own, what they are involved in, who they are related to, what they are trying to accomplish.

Unfortunately for me, the next layer that I came to understand about Dickinson, is the crime and illegal drug activity.  Someone a little older than me, who moved to Dickinson twenty years ago said to me, “If everyone in Dickinson knew the truth about the crime and the illegal drug activity in Dickinson, 80% of the people would leave Dickinson.”  You would probably leave Dickinson, if you knew the truth about what is going on.

The furthest layer down, that I have seen, is the Bank owners in North Dakota.  They are invisible, they were invisible to me, until a couple of things made me realize that they were there.  This is funny, and embarrassing, because ultimately, they own everything, far surpassing anyone else or any entity in control and importance.

I read this factual statistic recently, and I have heard and seen this statistic about five times previously, that was uncovered by economists and financial experts, and reported by journalists:

1% of people…………..own or control 80% of the wealth in the U.S.

19% of people…………own or control 12% of the wealth in the U.S.

80% of people…………own or control 8% of the wealth in the U.S.

The two most important things to see, are that the top 1% wealthiest people own 80% of the wealth in the U.S., and that the vast majority of people, the bottom 80% own only 8% of the wealth in the U.S.

I had thought that the Dickinson Mafia control things in Dickinson.  It is true, that they try to control things in Dickinson.  But the Bank owners in North Dakota, have much more control.  However you don’t see, hear, or read very much about the Bank owners in North Dakota, and that is the way that they want it to be.

In Dickinson, there may be griping, complaining, debate, lobbying, protesting, and politicking over such things as:  the permitting of man-camps, people sleeping in their cars, shortage of housing, arrival of street gangs, drug trafficking, prostitution, new housing developments, new business developments, damaged roads, end of the oil boom, people leaving, low occupancy rates, fewer jobs, lower wages, Sears closing, JC Penny closing, Herbergers Closing, new refineries, etc.

Out-of-state workers have their opinions about what they want, which may not be the same as the opinions and what the local people want.  The Dickinson Mafia, have their opinion about what they want, which usually they are able to persuade the local people that this is what they want too, which inevitably is what gets done in Dickinson.

It appears to me, that the Bank owners in North Dakota, do not waste their time and energy paying attention to the daily, weekly, or monthly squabbles and goings on in Dickinson, as if they are of no consequence to them, though they are the biggest land and resource owners in western North Dakota.

I don’t know if the Bank owners figure that whatever gets decided, whichever way things go, either way they will make money.  Or, if when something matters to the Bank owners in North Dakota, when something affects them, that they decide to intervene.  If they do intervene, I have never seen, heard, or read about it.

Banks’ Role In The Coming Real Estate Collapse In Dickinson, North Dakota

In this blog post, I am going to explain the Banks’ role in the coming real estate collapse in Dickinson, North Dakota.  I believe that the Banks will be 20% of the cause for the coming real estate collapse in Dickinson.

The price of oil dropping from over $100 per barrel down to $40 per barrel in late 2014 and early 2015 is what caused the oil boom to come to an end in North Dakota.  The oil companies did not want to pump oil out of the ground, perform exploration, and drill new oil wells if they could not make a profit.  The number of operating oil drill rigs in North Dakota went from over 250, down to less than 50.

About 70% to 80% of the oil field jobs went away in North Dakota after the end of the oil boom in 2015.  70% to 80% of the out-of-state workers returned to the states where they came from.  I believe that the end of the oil boom in North Dakota will be 30% of the cause of the real estate collapse in Dickinson, North Dakota.

What North Dakotans should realize, is that 20% of the cause of the coming real estate collapse in Dickinson, is how local people treated the out-of-state workers.  There are some things that North Dakotans never understood.  From 2007 through 2014, many areas in the United States were in a recession.  It wasn’t the prospering people with jobs who came to North Dakota during the oil boom, it was the people who were having financial difficulty or were completely broke.

The majority of people who came to North Dakota during the oil boom, they didn’t have very much money or any money, that is why they came in the first place.  When they got here, old one bedroom apartments that had recently been $300 per month, were now $1,500 per month.  Many people slept in their vehicles at Wal-Mart, Tiger Truck Stop, and Patterson Lake.  Many people slept in the bushes, under bridges, along the railroad right-of-way, and on canal banks in Dickinson.  There was no homeless shelter in Dickinson.

Stark County residents, politicians, business owners, and property owners did not want Man-Camps, temporary oil field housing, in Stark County, so they were not permitted.  These temporary portable housing units, could have been set up in a matter of months to alleviate the housing shortage in Dickinson.  It appeared that the end goal of the local people, was to force the out-of-state workers to have to rent, lease, or purchase the existing locally owned housing, or new housing that they would build.

The new apartments that were built in Dickinson, they rented for $2,000 to $3,000 per month.  That’s $24,000 to $36,000 per year in rent, that wasn’t even for something they would own, that money was just gone.  All of the out-of-state workers felt like they were being gouged.  The cost of rent, and the way that the out-of-state workers were treated by the local people, the local company owners, the local co-workers, the local Police, made the out-of-state workers make up their minds that they would leave North Dakota, and always think badly of North Dakota.

Another way to put it, is like this, thousands of out-of-state workers who left where they came from because they were making little or no money, would have willingly made North Dakota their permanent home, if they would not have been gouged so bad on housing, and been treated with hostility by local people.  The funny thing is, the desire of the property owners to make a killing in a hurry, is one of the primary reasons why there is going to be a real estate collapse in Dickinson, they drove everyone away.

Something else that is funny, is that because Stark County did not permit Man-Camps, temporary oil field housing units, and instead wanted there to be construction of new apartment buildings, town homes, and houses, the occupancy rates at the new apartment buildings and old apartment buildings is now about 50%.

If Stark County would have permitted temporary Man-Camps to operate for three years, and then not renewed their permits when the oil boom was over, the occupancy rates at apartment buildings in Dickinson might now be at 80%, with higher rents, and a higher demand for houses.  I am going to put 20% of the cause of the coming real estate collapse in Dickson on the refusal to permit temporary Man-Camps in Stark County, which has led to an over supply of apartments, town homes, and houses in Dickinson.

So far, I have listed the causes of the coming real estate collapse in Dickinson as:  30% end of oil boom;  20% gouging and mistreatment of out-of-state workers which drove them out of North Dakota;  20% denial of temporary Man-Camps which resulted in an over supply of apartments, town homes, and houses.

I began this blog post by stating that 20% of the cause of the coming real estate collapse in Dickinson will be the Banks.  The Bank owners know that the oil boom has ended, that 70% to 80% of the oil field jobs have gone away, that 70% to 80% of the out-of-state workers have returned to the states where they came from, that there is an over supply of housing in Dickinson, and that the occupancy rates at the new apartment buildings, and the old apartment buildings is now at about 50%.

Despite what the Chambers of Commerce, politicians, business owners, real estate agents, real estate developers, property owners, and other spokespeople say, or what newspapers, trade journals, and magazines write about the oil boom coming back, or the local economy growing, the Bank owners have a different view, which they aren’t openly sharing.

In my previous blog post, I wrote about my recent experience, and my two neighbors’ recent experience in trying to obtain a home loan with local banks in Dickinson.  Even though my two neighbors could demonstrate the required income level, income history, and a stable job history in Dickinson, they were still turned down for a home loan.

In other parts of the country, myself and my two neighbors would have been given a home loan based on income level, credit history, and purchase price of the home.  What is different about Dickinson, is that there is an over supply of housing, and Dickinson is just coming down from an oil boom.

The owners of the local banks in Dickinson, in my case for instance, where several local banks told me that they were instructed to not loan money on any manufactured home no matter how much land was involved, no matter what, indicates to me that the local bank owners expect to be facing a great deal of home loan foreclosures.

Getting to the point, if you don’t already see it for yourself, is that if the local bank owners in Dickinson don’t want to grant many or any home loans, what do you think that this will do to the real estate market?  Who is going to be able to sell their $100k, $200k, $300k, $400k home in Dickinson, if no bank will grant a home loan to a buyer?

Will it matter if your home is appraised at $200k or $300k, if no one can buy it?

End of oil boom, 70% to 80% of out-of-state workers leaving, over supply of housing and occupancy rates of 50%, and Bank owners not wanting to grant home loans, what do you think is going to happen to the price of housing in Dickinson?