HLS 17RS-799 ORIGINAL 2017 Regular Session HOUSE BILL NO. 471 BY REPRESENTATIVE FOIL Prefiled pursuant to Article III, Section 2(A)(4)(b)(i) of the Constitution of Louisiana. HOUSING/MANUFACTURED: Provides relative to manufactured and modular housing 1 AN ACT 2To amend and reenact R.S. 51:911.21, 911.22(5), (7), (8.1), (10)(introductory paragraph), 3 (11), and (12), 911.24(A)(1) through (3) and (6), (B)(introductory paragraph) and 4 (L), 911.26(A)(1), (D)(1) through (3), (F)(1) through (4) and (10), 911.29, 911.30, 5 911.32(E), 911.36, 911.38, 911.39, 911.41, 911.43, 911.46, 912.3(introductory 6 paragraph) and (7), 912.5(A), 912.21(introductory paragraph), (1), (2), (4), (6), and 7 (9) through (12), 912.22(introductory paragraph), (1) and (7), 912.25(2) and (3), 8 912.26, 912.27(A)(1) and (B) through (D), 912.28(A), and 912.52(B)(5), to enact 9 R.S. 51:911.22(13), 911.24(C)(3), 911.26(F)(11), and 912.21(13), and to repeal R.S. 10 51:911.24(K), 911.26(A)(3), 911.26(J), and 911.28(A)(10); relative to provisions 11 applicable to manufactured and modular housing; to expand Parts XIV, XIV-A, and 12 XIV-B of Chapter 2 of Title 51 of the Louisiana Revised Statutes with respect to 13 greater inclusion of and applicability to modular housing; to modify and create 14 definitions; to provide with respect to requirements of retailers, developers, and 15 transporters; to provide with respect to members at large and authority of the 16 Louisiana Manufactured Housing Commission; to require consumers to provide 17 certain written notice to the commission with respect to defects; to modify certain 18 installation standards; to provide with respect to licensure of installers and 19 transporters; to increase certain civil penalties for violations; to repeal certain 20 licensing requirements and fees applicable to manufactured home brokers; to repeal Page 1 of 18 CODING: Words in struck through type are deletions from existing law; words underscored are additions. HLS 17RS-799 ORIGINAL HB NO. 471 1 obsolete provisions relative to the commission; to provide for technical corrections; 2 and to provide for related matters. 3Be it enacted by the Legislature of Louisiana: 4 Section 1. R.S. 51:911.21, 911.22(5), (7), (8.1), (10)(introductory paragraph), (11), 5and (12), 911.24(A)(1) through (3) and (6), (B)(introductory paragraph) and (L), 6911.26(A)(1), (D)(1) through (3), (F)(1) through (4) and (10), 911.29, 911.30, 911.32(E), 7911.36, 911.38, 911.39, 911.41, 911.43, 911.46, 912.3(introductory paragraph) and (7), 8912.5(A), 912.21(introductory paragraph), (1), (2), (4), (6) and (9) through (12), 9912.22(introductory paragraph), (1) and (7), 912.25(2) and (3), 912.26, 912.27(A)(1) and (B) 10through (D), 912.28(A), and 912.52(B)(5) are hereby amended and reenacted and R.S. 1151:911.22(13), 911.24(C)(3), 911.26(F)(11), and 912.21(13) are hereby enacted to read as 12follows: 13 PART XIV. MANUFACTURED AND MODUL AR HOUSING 14 §911.21. Short title 15 This Part shall be known and may be cited as "Uniform Standards Code for 16 Manufactured and Modular Housing". 17 §911.22. Definitions 18 As used in this Part, unless the context requires a different definition: 19 * * * 20 (5) "Manufactured home" and "manufactured housing" means mean a 21 factory-built, residential dwelling unit constructed to standards and codes, as 22 promulgated by the United States Department of Housing and Urban Development 23 (HUD), under the National Manufactured Housing Construction and Safety 24 Standards Act of 1974, 42 U.S.C. §5401 et seq., as amended. Further, the terms 25 "manufactured home" and "manufactured housing" may be used interchangeably and 26 apply to structures bearing the permanently affixed seal of the United States 27 Department of Housing and Urban Development or to factory-built, residential 28 dwellings that are mounted on a chassis. 29 * * * Page 2 of 18 CODING: Words in struck through type are deletions from existing law; words underscored are additions. HLS 17RS-799 ORIGINAL HB NO. 471 1 (7) "Manufacturer" means any person who manufactures manufactured or 2 modular housing. 3 * * * 4 (8.1) "Modular home" and "modular housing" means mean a factory-built, 5 residential dwelling unit built to the International Residential Code as adopted by the 6 Louisiana State Uniform Construction Code Council. 7 * * * 8 (10) "Retailer" means any person who is engaged wholly or in part in the 9 business of buying, selling, distributing, brokering, or exchanging an interest in a 10 manufactured or modular home with the intent to make a profit, monetary gain, or 11 any thing of economic value. Any person who buys, sells, distributes, brokers, or 12 exchanges an interest in more than one such manufactured or modular home in any 13 twelve-month period shall be presumed to be a retailer. "Retailer" shall not include 14 any of the following: 15 * * * 16 (11) "Salesman" means any person employed by a retailer or developer for 17 purposes of selling manufactured or modular housing to the public. 18 (12) "Seal" or "label" means the permanently affixed device or insignia 19 issued by the United States Department of Housing and Urban Development (HUD) 20 or other authority having jurisdiction that is displayed on the exterior of a factory- 21 built manufactured or modular home, certifying that the home is in compliance with 22 the applicable Code. 23 (13) "Transporter" means an individual who transports a manufactured or 24 modular home to a site of installation but does not perform any blocking or 25 anchoring of the home, except a transporter is allowed to put blocks under the hitch 26 on the tongue of the frame. 27 * * * Page 3 of 18 CODING: Words in struck through type are deletions from existing law; words underscored are additions. HLS 17RS-799 ORIGINAL HB NO. 471 1 §911.24. License required; qualifications; application; issuance; transfer; criminal 2 history record information 3 A.(1) No manufacturer, retailer, or salesman within or without this state shall 4 sell or offer for sale in Louisiana any mobile home, modular home, or manufactured 5 housing unless he has obtained a valid manufacturer's, retailer's, or salesman's 6 license, whichever is applicable, from the commission as provided in this Part. 7 (2) No developer shall sell or offer for sale to the public any manufactured 8 or modular home unless he has obtained a license from the commission, as provided 9 in this Part. No employee of a developer shall offer manufactured or modular 10 housing for sale to the general public without first obtaining a salesman license or 11 being a licensed real estate agent. 12 (3) No manufacturer within or without this state shall sell or offer for sale 13 to a person any manufactured or modular housing for resale to the public unless the 14 person has obtained a valid retailer's or developer's license from the commission as 15 provided in this Part. 16 * * * 17 (6) No retailers or developers shall offer for sale to the public any new 18 manufactured or modular home unless the manufacturer of the home has obtained 19 a valid manufacturer's license. 20 B. Application for a manufacturer's license shall be made upon the form 21 prescribed by the commission and shall contain all of the following: 22 * * * 23 C. 24 * * * 25 (3) All retailers and developers are required to have at least one licensed 26 salesman. 27 * * * 28 L. The commission shall require that retailers, developers, transporters, and 29 installers show proof of continued and ongoing general liability insurance coverage Page 4 of 18 CODING: Words in struck through type are deletions from existing law; words underscored are additions. HLS 17RS-799 ORIGINAL HB NO. 471 1 of at least one hundred thousand dollars. Manufacturers shall be required to show 2 proof of continued and ongoing liability insurance coverage of at least one million 3 dollars. 4 * * * 5 §911.26. Louisiana Manufactured Housing Commission 6 A.(1) The Louisiana Manufactured Housing Commission is hereby created. 7 The commission shall be composed of seven members, with at least one member 8 appointed from each Public Service Commission district and two at large members, 9 all appointed by the governor with the consent of the Senate as provided in this 10 Section. 11 * * * 12 D.(1) The commission shall may hire a qualified person to serve as executive 13 director who shall have had sufficient management and organizational experience to 14 direct the day-to-day operations of the commission. The commission shall fix the 15 salary and shall define and prescribe the duties of the executive director. 16 (2) The executive director shall be in charge of the commission's office and 17 shall devote such time as directed by the commission to fulfill the duties thereof, and 18 before entering upon his duties he shall take and subscribe to the oath of office. 19 (3) The commission may employ such clerical, technical, legal, and other 20 help and incur such expenses as may be necessary for the proper discharge of its 21 duties under as provided in this Part and Part XIV-B of this Chapter. 22 * * * 23 F. The powers and duties of the commission shall include but are not limited 24 to the following: 25 (1) Licensing of manufacturers, retailers, developers, salesmen, transporters, 26 and installers as provided in this Part and Part XIV-B of this Chapter. 27 (2) Inspecting a reasonable sample of installations of manufactured and 28 modular homes within this state to insure compliance with state and federal 29 standards. Page 5 of 18 CODING: Words in struck through type are deletions from existing law; words underscored are additions. HLS 17RS-799 ORIGINAL HB NO. 471 1 (3) Working with consumers, manufacturers, retailers, developers, salesmen, 2 transporters, and installers to hear complaints and make determinations relating to 3 construction defects, warranty issues, service complaints, and other matters which 4 are not set forth pursuant to 24 CFR Part 3280 and 24 CFR Part 3282. 5 (4) Establishing an alternative dispute resolution process for manufactured 6 and modular home consumers in Louisiana. The commission may charge a 7 reasonable fee to defray the cost of establishing the alternative dispute resolution 8 process. 9 * * * 10 (10) The authority to establish a mandatory uniform written transportation 11 and installation contract that is required to be used by all transporters and installers 12 when moving or installing a manufactured or modular home in this state. 13 Transporters and installers shall be required to give their customers a copy of the 14 contract, itemizing all services being provided and the cost associated with those 15 services, prior to beginning work or moving a home. These records shall be 16 maintained for at least three years and shall be made available to the commission for 17 inspection. Transporters who are only passing through the state or are delivering a 18 home from a manufacturer to a licensee of the commission, are not required to 19 comply with the provisions of this Paragraph. The commission shall have the 20 authority to promulgate rules and regulations in accordance with the Administrative 21 Procedure Act in order to implement the provisions of this Paragraph. 22 (11) The authority to adopt rules governing the repairs or renovations of 23 manufactured homes. 24 * * * 25 §911.29. Motor vehicle inspection; exception 26 The provisions of Chapter 7 of Title 32 of the Louisiana Revised Statutes of 27 1950 relative to inspections shall not apply to manufactured or modular housing. Page 6 of 18 CODING: Words in struck through type are deletions from existing law; words underscored are additions. HLS 17RS-799 ORIGINAL HB NO. 471 1 §911.30. Serial numbers on manufactured and modular homes 2 On each manufactured home manufactured after January 1, 1975, a A serial 3 number shall be stamped by the manufacturer on the Header Plate or front cross 4 member of the frame so that it can be easily read. It may not contain more than 5 fifteen digits. Any multiple units shall contain the same serial number with letters 6 of the alphabet designating that each is a different separate unit. Starting with the 7 letter "A", each unit addition shall be in alphabetical order. The letter shall be 8 stamped at the end of the serial number. 9 §911.32. Administration and enforcement of Part; powers of commission; cease and 10 desist orders; applicability of Administrative Procedure Act 11 * * * 12 E. The commission or its authorized representatives may enter any place, 13 establishment, or location where manufactured or modular homes are manufactured, 14 sold, offered for sale, transported, or installed, for the purpose of ascertaining 15 whether the requirements of the Code and of this Part and Part XIV-B of this 16 Chapter, and the rules and regulations of the commission, have been or are being 17 complied with. 18 * * * 19 §911.36. Hearings to investigate and determine violations; orders prohibiting 20 violations and requiring compliance 21 A. Whenever in the opinion of the commission the Code or the requirements 22 of this Part or Part XIV-B of this Chapter are being violated, it may conduct hearings 23 to investigate and determine whether the violation has occurred or is occurring and 24 may issue orders prohibiting such violation and requiring compliance with the Code 25 and the provisions of this Part or Part XIV-B of this Chapter. 26 B. All costs incurred by the commission, including reasonable attorney fees, 27 may be borne by the person or licensee who has been found in violation of the 28 provisions of the Code, or any provision of this Part or Part XIV-B of this Chapter, Page 7 of 18 CODING: Words in struck through type are deletions from existing law; words underscored are additions. HLS 17RS-799 ORIGINAL HB NO. 471 1 or any rule or regulation adopted and promulgated by the commission in accordance 2 with the Administrative Procedure Act. 3 §911.38. Suspension or revocation of licenses for violation 4 After prior notice and hearing, the commission may suspend or revoke the 5 license of any manufactured or modular home licensee licensed under pursuant to the 6 provision of this Part or Part XIV-B of this Chapter for violations of the Code or the 7 manufactured or modular home provisions of this Part or Part XIV-B of this Chapter. 8 The notice, hearing, and actions under as prescribed in this Section shall be governed 9 by the provisions of Chapter 13 of Title 49 of the Louisiana Revised Statutes of 10 1950, and particularly R.S. 49:961(C) relative to emergency action. 11 §911.39. Penalties for violations 12 A. Whoever is found guilty of violating the Code or any manufactured or 13 modular housing provision of this Part, Part XIV-B of this Chapter, any rule, or any 14 regulation or final order issued thereunder shall be liable to the state of Louisiana 15 through the commission for a civil penalty not in excess of one two thousand five 16 hundred dollars for each violation. If the commission determines a violation was 17 intentional or the violator is a habitual offender, the commission may double the civil 18 penalty up to five thousand dollars for each violation. Each violation shall constitute 19 a separate violation with respect to each manufactured or modular home, or with 20 respect to each failure or refusal to allow or perform an act required thereby, except 21 that the maximum civil penalty may not exceed one million dollars for any related 22 series of violations occurring within one year from the date of the first violation. 23 B. Any individual or director, officer, or agent of a corporation who 24 knowingly and willingly violates any provision of the Code or of this Part, Part XIV- 25 B of this Chapter, or any applicable rule or regulation issued thereunder in a manner 26 which threatens the health and safety of any purchaser shall be fined not more than 27 one thousand dollars or imprisoned not more than one year, or both. 28 * * * Page 8 of 18 CODING: Words in struck through type are deletions from existing law; words underscored are additions. HLS 17RS-799 ORIGINAL HB NO. 471 1 §911.41. Supremacy of the Part 2 Notwithstanding any provision of law to the contrary, the codes and standards 3 referenced in R.S. 51:911.21 et seq. and R.S. 51:912.21 et seq. and those adopted by 4 the commission shall be the only construction and installation standards used for 5 manufactured or modular housing in Louisiana, and these standards shall preempt 6 all local standards as they relate to the construction and installation of manufactured 7 housing and manufactured or modular homes in Louisiana. 8 §911.43. Maintenance of records; reports required 9 Each manufactured home licensee shall establish and maintain such records, 10 make such reports, and provide such information as the commission may reasonably 11 require in order to be able to determine whether such licensee has acted or is acting 12 in compliance with the Code and the manufactured or modular housing provisions 13 of this Part, Part XIV-B of this Chapter, or any rule or regulation adopted by the 14 commission. Upon request of the commission, each manufacturer, distributor, and 15 dealer licensee shall permit the commission or its representative to inspect 16 appropriate books, papers, records, and documents relevant to determining whether 17 the licensee has acted or is acting in compliance with the provisions of this Part, Part 18 XIV-B of this Chapter, or any rule, as well as any regulation or order issued 19 thereunder. 20 §911.46. Down payments, sale of manufactured housing 21 It is unlawful for a retailer or developer to set forth in any retail installment 22 sales contract, chattel mortgage, or security agreement any down payment unless all 23 of the down payment has actually been received by the retailer or developer at the 24 time of execution of such document. If any part of the down payment is represented 25 by a loan, trade-in, or any consideration other than cash, this fact shall be expressly 26 set forth on the retail installment sales contract, chattel mortgage, or security 27 agreement. No amount of the cash down payment shall be from any rebate or other Page 9 of 18 CODING: Words in struck through type are deletions from existing law; words underscored are additions. HLS 17RS-799 ORIGINAL HB NO. 471 1 consideration received by or to be given to the consumer from the retailer or 2 developer, or his agents respective agent. 3 * * * 4 §912.3. Definitions 5 For purposes of this Part, the following words, phrases, and terms be defined 6 and construed as follows: 7 * * * 8 (7) "Manufactured home" or "manufactured housing" means a factory-built, 9 residential dwelling unit constructed to standards and codes, as promulgated by the 10 United States Department of Housing and Urban Development, under the National 11 Manufactured Housing Construction and Safety Standards Act of 1974, 42 U.S.C. 12 5401 et seq., as amended. Further, the terms "manufactured home" and 13 "manufactured housing" may be used interchangeably and apply to structures bearing 14 the permanently affixed seal of the United States Department of Housing and Urban 15 Development or to factory-built, residential dwellings that are mounted on a chassis. 16 * * * 17 §912.5. Required notice 18 A. Before undertaking any repair himself or instituting any action for breach 19 of warranty, the owner shall give the commission written notice by filling out the 20 consumer complaint form provided by the commission and submitting it, by 21 registered or certified mail, within one year after knowledge of the defect, advising 22 the commission of all defects. The commission shall then have the home inspected 23 and a determination made on all defects listed by the owner. Thereafter, the 24 commission shall give the appropriate builder a reasonable opportunity to comply 25 with the provisions of this Part. Once the repairs are made, the commission shall 26 have the home reinspected to determine if the repairs have been made in compliance 27 with the building standards. 28 * * * Page 10 of 18 CODING: Words in struck through type are deletions from existing law; words underscored are additions. HLS 17RS-799 ORIGINAL HB NO. 471 1 PART XIV-B. MINIMUM STANDARDS F OR INSTALLATION 2 OF MANUFACTURED AND MODUL AR HOMES AND 3 TRANSPORTATION REQUIREMENTS 4 §912.21. Definitions 5 For the purposes of this Part, the following words shall have the following 6 meanings: 7 (1) "Frame tie" or "tie down" means any device approved and used for the 8 purpose of securing manufactured or modular homes to ground anchors in order to 9 resist wind forces. 10 (2) "Ground anchor" means any device approved and used for the purpose 11 of securing manufactured or modular homes to the ground in order to resist wind 12 forces. 13 * * * 14 (4) "Installation permit" means a permit issued by the commission to a 15 licensed installer or the homeowner who must shall certify that the home is in 16 compliance with this Part. 17 * * * 18 (6) "Installer" means a person licensed by the commission to install a 19 manufactured or modular home. 20 * * * 21 (9) "Modular home" and "modular housing" mean a factory-built, residential 22 dwelling unit built to the International Residential Code as adopted by the Louisiana 23 State Uniform Construction Code Council. 24 (9)(10) "Over-roof tie" means a certain device approved by the manufactured 25 homes manufacturer and used for the purpose of securing the manufactured homes 26 systems to ground anchors in order to resist wind forces. Ties may be installed only 27 under roof material. 28 (10)(11) "Setup" or "installation" means the operations performed at the 29 occupancy site which render manufactured and modular homes fit for habitation. Page 11 of 18 CODING: Words in struck through type are deletions from existing law; words underscored are additions. HLS 17RS-799 ORIGINAL HB NO. 471 1 Such operations include but are not limited to transporting, positioning, blocking, 2 leveling, supporting, tying down, making minor adjustments and trim out, and 3 assembling multiple or expandable units in the final construction process. 4 (11)(12) "Stabilizer device" means an approved device or method that is 5 used to resist lateral movement of manufactured homes and anchors. 6 (12)(13) "Transporter" means an individual who transports a manufactured 7 or modular home to the site of installation but does not perform the any blocking or 8 anchoring of the home, except a transporter is allowed to put blocks under the hitch 9 on the tongue of the frame. 10 §912.22. Installation standards for manufactured and modular homes 11 All manufactured and modular homes shall be installed to meet the following 12 standards, unless otherwise specified in this Part: 13 (1) Installation standards for the setup of new or used manufactured homes 14 shall be in compliance with the manufacturer's installation instructions, if available. 15 Installation for the setup of new or used modular homes shall be in compliance with 16 the International Residential Code. 17 * * * 18 (7) Piers or load-bearing supports or devices shall be installed and 19 constructed to evenly distribute the loads. Steel piers with mechanical adjustments 20 shall be securely attached to the frame of all manufactured homes and mobile homes. 21 Manufactured load-bearing supports or devices shall be listed and approved for the 22 use intended, or piers shall be constructed as outlined in this Part. Concrete products 23 shall comply with the minimum dimensional and structural requirements for load- 24 bearing. Solid and cell concrete blocks shall be to the standard specification for 25 load-bearing concrete masonry units, ASTM C-90, 1993 Edition. Poured concrete 26 shall be a minimum of FCL = 2500 PSI. All plastic products shall be conditioned 27 at ASTM D 618-61, reapproved 1990, standard practice for conditioning plastics and 28 electrical insulating materials for testing. Plastics shall be tested to the ASTM D 29 790-92 standard test methods for flexural properties or unreinforced and reinforced Page 12 of 18 CODING: Words in struck through type are deletions from existing law; words underscored are additions. HLS 17RS-799 ORIGINAL HB NO. 471 1 plastics and electrical insulating materials, ASTM D 732-85 standard test method for 2 shear strength or plastics by punch tool, and ASTM G 53-88 standard practice for 3 operating light and water exposure apparatus for exposure of nonmetallic materials. 4 * * * 5 §912.25. Installation standards for used manufactured homes in hurricane zones 6 When the manufacturer's printed setup requirements are not available for the 7 applicable wind zone, the following guidelines are to be used: 8 * * * 9 (2) Diagonal Longitudinal ties only are required at each end of each unit. 10 The minimum number of ties at a minimum angle of forty-five degrees from vertical 11 is three each for Zone II and four each for Zone III. 12 (3) All designated tie points on the perimeter side walls shall be equipped 13 with vertical and diagonal ties with stabilizer devices. When tie points are not 14 designated on the side walls, vertical and diagonal ties with stabilizer devices shall 15 be spaced a maximum of twelve ten feet for Zone I, eight feet for Zone II, and six 16 feet six inches for Zone III. 17 * * * 18 §912.26. Local installation standards preempted 19 The manufactured and modular home installation standards provided for in 20 this Part shall preempt all local installation standards. 21 §912.27. Licensure of installers and transporters; adoption of rules; compliance with 22 installation instructions; disposition of fees 23 A.(1) The commission shall, by rule adopted in accordance with the 24 Administrative Procedure Act, provide for the licensure of installers and transporters 25 of manufactured and modular homes and the implementation and collection of an 26 annual license fee and an installation permit sticker fee. The installer's and 27 transporter's license fee shall be one hundred twenty-five dollars per license, and the 28 installation permit sticker fee shall be twenty dollars. Further, a licensed installer Page 13 of 18 CODING: Words in struck through type are deletions from existing law; words underscored are additions. HLS 17RS-799 ORIGINAL HB NO. 471 1 shall be allowed to perform the functions of a transporter without having to obtain 2 that license. 3 * * * 4 B. It shall be unlawful for any person, other than the homeowner or a 5 licensed installer, to perform an installation of a manufactured or modular home, 6 whether or not such person receives compensation for such action. For the purposes 7 of this Subsection, community owners or park operators of manufactured or modular 8 homes shall not be considered homeowners if the home in question is or will be 9 leased at any time. 10 C. Any installer or homeowner installing a manufactured or modular home 11 in this state shall first obtain an installation permit sticker from the commission 12 which shall be affixed to the side of the home at the point where electrical power is 13 connected to the home. All installation permit stickers shall be affixed within ten 14 days of delivery of the manufactured or modular home, unless extenuating 15 circumstances are shown. 16 D. Any installation of a manufactured or modular home in this state shall be 17 performed in strict compliance with this Part. 18 * * * 19 §912.28. Violations; penalties 20 A. Any installer, transporter, or other person who performs any service under 21 work covered as described in this Part without the appropriate license or who installs 22 a manufactured or modular home in a manner contrary to the requirements of this 23 Part shall be in violation of the provisions of this Part. All such violators shall be 24 subject to the penalty of revocation or suspension of their license or a civil fine of 25 up to one two thousand five hundred dollars, or both, for each violation. If the 26 commission determines a violation was intentional or the violator is a habitual 27 offender, then the commission may double the civil penalty up to five thousand Page 14 of 18 CODING: Words in struck through type are deletions from existing law; words underscored are additions. HLS 17RS-799 ORIGINAL HB NO. 471 1 dollars for each violation. Violators shall also be subject to any measures prescribed 2 by any other applicable rule, regulation, or law. 3 * * * 4 §912.52. Louisiana state administrative agent 5 * * * 6 B. The power and authority of the agent shall include but not be limited to 7 the following: 8 * * * 9 (5) Providing oversight as prescribed by law of remedial actions carried out 10 by manufacturers and a manufacturer's handling of consumer complaints as to plants 11 located within the state. 12 * * * 13 Section 2. R.S. 51:911.24(K), 911.26(A)(3), 911.26(J), and 911.28(A)(10) are 14hereby repealed in their entirety. DIGEST The digest printed below was prepared by House Legislative Services. It constitutes no part of the legislative instrument. The keyword, one-liner, abstract, and digest do not constitute part of the law or proof or indicia of legislative intent. [R.S. 1:13(B) and 24:177(E)] HB 471 Original 2017 Regular Session Foil Abstract: Modifies law applicable to manufactured and modular homes. Present law (Parts XIV, XIV-A, and XIV-B of Chapter 2 of Title 51 of the La. Revised Statutes, cited as R.S. 51:911.21 et seq.) provides for law applicable to manufactured and modular housing. Proposed law retains present law and generally expands present law with respect to greater inclusion of and applicability to modular housing. Present law provides for certain definitions. Proposed law retains present law and modifies the following definitions: "manufactured home"and "manufactured housing", "manufacturer", "retailer", "salesman", "seal" or "label", "frame tie" or "tie down", "ground anchor", "installer", "setup" or "installation", and "transporter". Adds the definition of "modular home". Proposed law requires all retailers and developers to have at least 1 licensed salesman. Present law permits the La. Manufactured Housing Commission (hereinafter "commission") to require retailers, developers, and installers to show proof of continued and ongoing Page 15 of 18 CODING: Words in struck through type are deletions from existing law; words underscored are additions. HLS 17RS-799 ORIGINAL HB NO. 471 general liability insurance coverage of at least $100,000. Requires manufacturers to show proof of continued and ongoing liability insurance coverage of at least $1,000,000. Proposed law retains present law and adds transporters as persons required to show proof of $100,000 in continued and ongoing general liability coverage. Present law requires the commission to be comprised of 7 members with at least 1 member appointed from each Public Service Commission district and all appointed by the governor with the consent of the Senate. Requires 3 of the 7 members to be appointed by the governor from a list of 6 individuals submitted by the La. Manufactured Housing Association or its successor. Proposed law retains present law. Proposed law repeals the present law provision (R.S. 911.26(A)(3)) requiring the remaining 4 members of the commission to be members at large, appointed by the governor, further requiring at least 1 of the 4 to be an individual residing during the term of his appointment in a manufactured home. Proposed law requires 2 of the 7 members to be members at large. Present law requires the commission to hire a qualified person with certain credentials to serve as executive director as prescribed by the commission. Proposed law modifies present law to make the commission's hiring of an executive director permissive. Present law requires the executive director to take and subscribe to the oath of office prior to engaging in duties. Proposed law repeals present law. Present law establishes the commission's right to exercise certain powers and duties with respect to manufacturers, retailers, developers, salesmen, and installers. Proposed law retains present law and adds transporters as persons under the commission's authority with respect to powers and duties exercised by the commission, including requirements for licensure, payment of associated fees, and the commission's assessments of penalties. Present law requires a transporter and installer to provide his respective customer with a copy of the uniform written transportation and installation contract as prescribed by the commission. Requires the contract to be provided to a customer prior to the transporter's or installer's work on the customer's home. Proposed law retains present law and requires presentation of the contract to a customer prior to moving a customer's home. Further provides that present law does not apply to transporters who are only passing through the state or delivering a home from a manufacturer to a licensee of the commission. Proposed law authorizes the commission to adopt rules governing the repairs or renovations of manufactured homes. Present law requires a serial number to be stamped by the manufacturer on the front cross member of the frame of a manufactured home. Proposed law modifies present law to require the serial number to be stamped on the Header Plate or front cross member of the frame of a manufactured or modular home. Present law authorizes the commission to hold hearings to investigate and determine violations. Page 16 of 18 CODING: Words in struck through type are deletions from existing law; words underscored are additions. HLS 17RS-799 ORIGINAL HB NO. 471 Proposed law retains present law and further provides that all costs incurred by the commission, including reasonable attorney fees, may be borne by the person or licensee found in violation of the provisions of present and proposed law. Present law provides that persons found guilty of violations of present law are liable for a civil penalty not to exceed $1,000 for each violation. Proposed law modifies present law to provide for a civil penalty not to exceed $2,500 for each violation of a provision applicable to manufactured and modular housing as provided in present and proposed law. Proposed law authorizes the commission to double the civil penalty up to $5,000 for each violation, if the commission determines a violation was intentional or the violator is a habitual offender. Present law prohibits a retailer from setting forth a down payment in any retail installment sales contract, chattel mortgage, or security agreement unless all of the down payment has actually been received by the retailer at the time of execution of such document. Prohibits cash down payment amounts made to a retailer from any rebate or other consideration received by or to be given to the consumer from the retailer or his agent. Proposed law retains present law and makes present law applicable to a developer and his agent. Present law requires homeowners to provide the commission with written notice of defects to homes by registered or certified mail within 1 year after knowledge of defect, prior to the homeowner making reparative or civil action. Proposed law modifies present law to require the written notice to be provided on the consumer complaint form provided by the board. Otherwise retains present law. Proposed law deletes mobile homes from certain installation standards as provided in present and proposed law. Present law requires diagonal ties only at each end of each manufactured home unit. Proposed law replaces diagonal ties in favor of longitudinal ties and otherwise retains present law. Present law requires vertical and diagonal ties with stabilizer devices on the perimeter side walls of manufactured homes and requires spacing between ties to be a minimum of 12 feet for Zone I homes. Proposed law removes the requirement for vertical ties on perimeter side walls and shortens the distance requirement from 12 feet to 10 feet. Proposed law authorizes a licensed installer to perform the functions of a transporter without obtaining a transporter license. Present law provides certain authority of the fire marshal with respect to the state's administration of manufactured housing. Proposed law retains present law. Present law authorizes the fire marshal to provide oversight as prescribed by law of remedial actions carried out by manufacturers and a manufacturer's handling of consumer complaints as to plants located within this state. Proposed law modifies present law by removing the portion of present law applicable to plants located in the state. Proposed law otherwise retains present law Present law (R.S. 51:911.24(K)) prohibits a person from acting as a manufactured home broker without first obtaining a license from the commission. Proposed law repeals present law. Page 17 of 18 CODING: Words in struck through type are deletions from existing law; words underscored are additions. HLS 17RS-799 ORIGINAL HB NO. 471 Present law (R.S. 51:911.28(A)(10)) provides for a manufactured home broker license and an associated $150.00 licensure fee. Proposed law repeals present law. Present law repeals the obsolete present law provision (R.S. 51:911.26(J)) requiring the office of state fire marshal to transfer all records, assets, and equipment in use by the manufactured housing division to the commission upon establishment of the commission. Proposed law makes technical changes. (Amends R.S. 51:911.21, 911.22(5), (7), (8.1), (10)(intro. para.), (11), and (12), 911.24(A)(1) through (3) and (6), (B)(intro. para.) and (L), 911.26(A)(1), (D)(1) through (3), (F)(1) through (4) and (10), 911.29, 911.30, 911.32(E), 911.36, 911.38, 911.39, 911.41, 911.43, 911.46, 912.3(intro. para.) and (7), 912.5(A), 912.21(intro. para.), (1), (2), (4), (6), and (9) through (12), 912.22(intro. para.), (1) and (7), 912.25(2) and (3), 912.26, 912.27(A)(1) and (B) through (D), 912.28(A), and 912.52(B)(5); Adds R.S. 51:911.22(13), 911.24(C)(3), 911.26(F)(11), and 912.21(13); Repeals R.S. 51:911.24(K), 911.26(A)(3), 911.26(J), and 911.28(A)(10)) Page 18 of 18 CODING: Words in struck through type are deletions from existing law; words underscored are additions.