H 4055 Session 111 (1995-1996)
H 4055 General Bill, By Cato
Similar(S 794)
A Bill to amend Section 40-29-20, as amended, Code of Laws of South Carolina,
1976, relating to definitions in the Uniform Standards Code for Manufactured
Housing Act, so as to define "manufactured home contractor", "manufactured
home installer", and "manufactured home repairer"; to amend Section 40-29-30,
relating to the Manufactured Housing Board, so as to increase the membership
from nine to ten.-short title
04/12/95 House Introduced and read first time HJ-33
04/12/95 House Referred to Committee on Labor, Commerce and
Industry HJ-33
04/26/95 House Committee report: Favorable with amendment Labor,
Commerce and Industry HJ-7
05/03/95 House Amended HJ-63
05/03/95 House Read second time HJ-64
05/04/95 House Read third time and sent to Senate HJ-7
05/05/95 Senate Introduced and read first time SJ-7
05/05/95 Senate Referred to Committee on Labor, Commerce and
Industry SJ-7
05/11/95 Senate Committee report: Favorable Labor, Commerce and
Industry SJ-23
Indicates Matter Stricken
Indicates New Matter
COMMITTEE REPORT
May 11, 1995
H. 4055
Introduced by REP. Cato
S. Printed 5/11/95--S.
Read the first time May 5, 1995.
THE COMMITTEE ON
LABOR, COMMERCE AND INDUSTRY
To whom was referred a Bill (H. 4055), to amend Section
40-29-20, as amended, Code of Laws of South Carolina, 1976,
relating to definitions in the Uniform Standards Code for
Manufactured Housing Act, etc., respectfully
REPORT:
That they have duly and carefully considered the same, and
recommend that the same do pass:
J. VERNE SMITH, for Committee.
A BILL
TO AMEND SECTION 40-29-20, AS AMENDED, CODE OF
LAWS OF SOUTH CAROLINA, 1976, RELATING TO
DEFINITIONS IN THE UNIFORM STANDARDS CODE FOR
MANUFACTURED HOUSING ACT, SO AS TO DEFINE
"MANUFACTURED HOME CONTRACTOR",
"MANUFACTURED HOME INSTALLER", AND
"MANUFACTURED HOME REPAIRER"; TO
AMEND SECTION 40-29-30, RELATING TO THE
MANUFACTURED HOUSING BOARD, SO AS TO INCREASE
THE MEMBERSHIP FROM NINE TO TEN; TO AMEND
SECTION 49-29-100, AS AMENDED, RELATING TO
LICENSES TO SELL MANUFACTURED HOMES, SO AS TO
ALSO REQUIRE A MANUFACTURED HOME CONTRACTOR,
INSTALLER, AND REPAIRER TO BE LICENSED AND TO
PROVIDE ADDITIONAL LICENSING REQUIREMENTS; TO
AMEND SECTION 40-29-110, AS AMENDED, RELATING TO
EXAMINATION REQUIREMENTS FOR LICENSURE, SO AS
TO ALSO PROVIDE THAT A MANUFACTURED HOME
CONTRACTOR, INSTALLER, OR REPAIRER MUST
COMPLETE ANY TRAINING REQUIRED BY THE BOARD; TO
AMEND SECTION 40-29-120, RELATING TO SURETY BOND
REQUIREMENTS, SO AS TO PROVIDE BOND
REQUIREMENTS FOR MANUFACTURED HOME
CONTRACTORS, INSTALLERS, AND REPAIRERS; TO
AMEND SECTION 40-29-130, RELATING TO REQUIREMENTS
FOR INDEMNIFICATION FROM SECURITY, SO AS TO
INCLUDE MANUFACTURED HOME CONTRACTORS,
INSTALLERS, AND REPAIRERS IN THESE REQUIREMENTS;
TO AMEND SECTION 40-29-150, RELATING TO GROUNDS
FOR DISCIPLINE, SO AS TO ALSO APPLY STANDARDS TO
MANUFACTURED HOME INSTALLATION, REPAIR, AND
MODIFICATION; TO AMEND SECTION 40-29-160, AS
AMENDED, RELATING TO PENALTIES, SO AS TO PROVIDE
THAT AN ADMINISTRATIVE PENALTY MAY APPLY TO A
PERSON ENGAGING IN ANY ACTIVITY FOR WHICH A
LICENSE IS REQUIRED UNDER CHAPTER 29; AND TO
AMEND SECTION 40-29-170, RELATING TO WARRANTY
REQUIREMENTS, SO AS TO INCLUDE REQUIREMENTS FOR
MANUFACTURED HOME CONTRACTORS, INSTALLERS,
AND REPAIRERS.
Be it enacted by the General Assembly of the State of South
Carolina:
SECTION 1. Section 40-29-20 of the 1976 Code, as last
amended by Section 900, Act 181 of 1993, is further amended by
adding appropriately numbered items alphabetically to read:
"( ) `Manufactured home contractor' means a person or
entity, other than an employee of a licensed manufactured home
retail dealer or person performing a function which the person is
licensed to perform, who for valuable consideration engages in the
installation, modification, alteration, or repair to the structural,
mechanical, or electrical systems of a manufactured home.
( ) `Manufactured home installer' means a person or entity,
other than an employee of a licensed manufactured home retail
dealer or person performing a function which the person is licensed
to perform, who for valuable consideration installs manufactured
housing.
( ) `Manufactured home repairer' means a person or entity,
other than an employee of a licensed manufactured home retail
dealer or person performing a function which the person is licensed
to perform, who for valuable consideration modifies, alters, or
repairs the structural, mechanical, or electrical systems of a
manufactured home."
SECTION 2. The first paragraph of Section 40-29-30 of the
1976 Code, as added by Act 128 of 1989, is amended to read:
"There is created the "Manufactured Housing
Board". It is composed of nine ten
members who are residents of South Carolina appointed by the
Governor for terms of four years, and until their successors
are appointed and qualify. Terms of the members are limited to two
consecutive four-year terms, except for the manufactured housing
manufacturer. The board shall include a manufactured home retail
dealer owner, a representative of the fire and casualty insurance
business, a full-time employee of a fire department, a manufactured
home manufacturer, a representative of the banking and finance
business, a registered professional engineer, a licensed
manufactured home contractor, installer, or repairer, one
member from the general public who must not be associated with
any of the other industries represented on the board other than as a
minority stockholder, a member from the general public who
currently resides in a manufactured home, and a manufactured
home retail salesman. The State Fire Marshal shall serve on the
board as a consultant and as an ex officio member without
vote."
SECTION 3. Section 49-29-100(A) of the 1976 Code, as added
by Act 128 of 1989, is amended to read:
"(A) No person may engage in the business of selling,
wholesale or retail, as a manufactured home retail dealer,
manufactured home retail salesman, manufactured home
manufacturer, or manufacturer's representative, in this State
without being licensed by the board. No manufactured home
contractor may install, modify, alter, or repair the structural,
mechanical, or electrical systems of a manufactured home without
being licensed by the board. No manufactured home installer may
install manufactured housing without being licensed by the board.
No manufactured home repairer may modify, alter, or repair the
structural, mechanical, or electrical systems of a manufactured home
without being licensed by the board. The license must
authorize the holder to engage in the business permitted by the
license. All license applications must be accompanied by the
required fee and corporate surety bond or other security in the form
as prescribed by the board."
SECTION 4. Section 40-29-100(B) of the 1976 Code, as last
amended by Section 902, Act 181 of 1993, is further amended to
read:
"(B) All licenses must be granted or refused within thirty
days after proper and complete application. All licenses expire June
thirtieth of each year following the date of issue, unless sooner
revoked or suspended; however, the licenses of manufactured
home contractors, installers, and repairers expire December
thirty-first of each year following the date of issue, unless sooner
revoked or suspended. An applicant for licensing shall:
(1) demonstrate financial responsibility as required by
regulations of the board;
(2) not have engaged illegally in the licensed classification;
(3) demonstrate familiarity with the regulations adopted by
the board concerning the classification for which application is
made;
(4) if a corporation, have complied with the laws of South
Carolina regarding qualification for doing business in this State or
have been incorporated in South Carolina and have and maintain a
registered agent and a registered office in this State;
(5) if an individual or partnership, have maintained a
residence or street address in South Carolina for at least thirty days
before the date of application;
(6) submit proof of registration with the South Carolina
Department of Revenue and Taxation and submit a current tax
identification number; and
(7) where applicable pass an examination administered by the
board in the license classification for which application is
made.;
(8) where applicable, complete training as prescribed by
the board."
SECTION 5. Section 40-29-100(E) of the 1976 Code, as added
by Act 128 of 1989, is amended to read:
"(E) Each A license must be issued in
only one person's name who may be the individual owner,
stockholder, copartner, manufactured home retail salesman or other
representative of a manufactured home manufacturer, manufactured
home retail dealer, or other entity required to be licensed. It is the
duty of each a manufactured home retail dealer and
manufactured home manufacturer to display conspicuously
display the licenses in the established place of business.
Manufactured home retail salesmen, manufactured home
contractors, installers, and repairers, and manufacturer's
representatives are required to carry their licenses on their persons
at all times when they are doing business in this State, and they
must be shown upon request."
SECTION 6. Section 40-29-110 of the 1976 Code is amended
by adding at the end:
"(E) No manufactured home contractor, installer, or
repairer may be issued a license until the person or representative of
the entity successfully completes any training prescribed by the
board."
SECTION 7. Section 40-29-120(A)(4) of the 1976 Code, as
added by Act 128 of 1989, is amended to read:
"(4) for a manufacturer's representative, ten thousand
dollars for a manufactured home contractor, installer, or
repairer, five thousand dollars."
SECTION 8. Section 40-29-120(B)(3) of the 1976 Code, as
added by Act 128 of 1989, is amended to read:
"(3) The board, upon a finding of a violation by a
licensee, may further require the licensee to increase the amount of
a surety bond or other approved security. An increase must be
proportioned to the seriousness of the offense or the repeat nature
of the licensee's violations, but the total amount may not exceed an
additional seventy-five thousand dollars for manufacturers, fifty
thousand dollars for dealers, and twenty thousand dollars for
salespersons or manufacturer's representatives, and ten
thousand dollars for manufactured home contractors, installers, and
repairers. The board, after one year, may reduce an increased
surety bond or other approved security when satisfied that violations
have been cured by appropriate corrective action and that the
licensee is otherwise in good standing. The bonds cannot be
reduced below amounts provided in this section."
SECTION 9. Section 40-29-130(A) of the 1976 Code, as added
by Act 128 of 1989, is amended to read:
"(A) If repair work is required on the consumer's home
and the manufacturer, or dealer, or
manufactured home contractor, installer, or repairer is
unavailable to perform the repairs or has not performed within the
guidelines issued by the board, the board, through its staff, shall
direct the consumer to obtain at least three bids for performance of
the work. The requirement of three bids may be waived by the
division board if conditions require a waiver. The
division board shall select the low bidder to
perform the repair work. The requirement of selecting the low
bidder may be waived only if it is clear that the work cannot
properly be performed at the bid level. Payment from the surety
bond or other approved security must be authorized by the board
only after the work is completed, inspected, and approved."
SECTION 10. Section 40-29-150(16) and (17) of the 1976 Code,
as added by Act 128 of 1989, are amended to read:
"(16) failing to comply with adopted state or federal
standards in the manufacture, sale, installation, repair,
modification, or delivery of manufactured housing;
(17) employing unlicensed manufacturer's representatives or
retail salesmen or knowingly contracting with an unlicensed
manufactured home contractor, installer, or repairer;".
SECTION 11. The first paragraph of Section 40-29-160 of the
1976 Code, as last amended by Section 904, Act 181 of 1993, is
further amended to read:
"A person selling or offering for sale manufactured
homes in the state without a valid license to sell or offer for sale
the homes or a person who employs a person selling or offering for
sale manufactured homes in this State without a valid license to sell
or offer for sale the homes engaging in or offering to
engage in any activity for which a license is required by this
chapter without having first obtained the requisite license is
subject to an administrative penalty. The person must be issued a
citation directing him to appear before an agent of the board
appointed to act as the administrative hearing officer. An
administrative penalty not to exceed five hundred dollars for each
violation may be imposed. The person to whom a citation has been
issued may forfeit appearance by payment of the imposed
administrative penalty."
SECTION 12. Section 40-29-170 of the 1976 Code, as added by
Act 128 of 1989, is amended to read:
"Section 40-29-170. (A) Each manufactured
home manufacturer and manufactured home retail dealer of
manufactured homes shall warrant each new manufactured home
sold in the State in accordance with the warranty requirements
prescribed by this section for at least twelve months from the date
of delivery or installation of the manufactured home to the
consumer. The warranty requirements for each manufactured home
manufacturer and manufactured home retail dealer of manufactured
homes are as follows:
(1) The manufacturer warrants that:
(a) that all structural elements, plumbing systems,
heating, cooling, and fuel burning systems, electrical
systems, and any other components included are manufactured and
installed free from substantial defect in material and workmanship;
(b) that the manufactured home complies with this
chapter and regulations promulgated by its authority
under this chapter;
(c) that all appliances and equipment installed in
the manufactured home must be free from defects in material and
workmanship for one year, unless a valid warranty from the
manufacturer or dealer of the appliances and equipment is furnished
warranting against defects in materials and workmanship to the
consumer for at least one year from date of delivery;
(d) that appropriate corrective action must be taken
within a reasonable period of time after the warranty violation has
been communicated to the manufactured home manufacturer by the
division or by the consumer;
(e) the warranty may not be voided as long as the
installation of the manufactured home conforms to the standards
adopted in this chapter;
(f) that repair work performed under the one-year
warranty is warranted for at least ninety days or until the end of the
original one-year warranty, whichever is later.
(2) The manufactured home retail dealer warrants
that:
(a) that all changes, additions, or alterations made
to the manufactured home by the manufactured home retail dealer
are free from defects in materials and workmanship and
does do not bring the manufactured home out of
compliance with the standards; and that all appliances and
equipment installed by the manufactured home retail dealer are free
from defects in materials and workmanship unless a valid written
warranty from the manufacturer or dealer of the appliances and
equipment is furnished to the consumer warranting against a defect
in materials or workmanship for a period of time customary in the
industry for a warranty for the particular appliance or equipment;
(b) that appropriate corrective action must be taken
within a reasonable time after the warranty violation has been
communicated to the manufactured home retail dealer by the
division or by the consumer;
(c) that repair work on changes, additions, or
alterations authorized by the manufactured home manufacturer must
be warranted for at least ninety days or until the end of the original
one-year warranty, whichever is later;
(d) that the setup operations performed by the
dealer on the manufactured home must be performed in compliance
with applicable federal or state standards, acts, or
law; regulations or standards for the installation of
manufactured homes, and during the course of setup and
transportation of the manufactured home by the manufactured home
retail dealer, substantial defects do not occur;
(e) alterations or modifications made by a manufactured
home retail dealer without authorization of the manufactured home
manufacturer relieve the manufactured home manufacturer of
warranty responsibility as to the items altered or modified and any
damage resulting from the alteration or modification.
(B) A manufactured home contractor, installer, or repairer
shall warrant his work for a period of twelve months from
completion of the work as follows:
(1) the contractor warrants that:
(a) all installations are performed in accordance with
applicable state or federal law, regulations, or standards for the
installation of manufactured homes and that his performance will
not cause substantial defects in the home;
(b) all modifications, alterations, or repairs are performed
in compliance with applicable state or federal law, regulations, or
standards and that his performance will not cause substantial defects
in the home;
(2) the installer warrants that:
(a) installation is performed in compliance with applicable
state or federal law, regulations, or standards for the installation of
manufactured homes;
(b) his performance will not cause substantial defects in the
home;
(3) the repairer warrants that:
(a) all modifications, alterations, and repairs are performed
in compliance with applicable state or federal law, regulations, or
standards for the modification or repair of manufactured homes;
(b) his performance will not cause a substantial defect in
the home."
SECTION 13. The 1976 Code is amended by adding:
"Section 56-5-4195. Notwithstanding any other provision
of law, a person moving or hauling a mobile home on the highways
of this State shall travel at a maximum speed no greater than ten
miles below the posted speed limit."
SECTION 14. This act takes effect upon approval by the
Governor except that Sections 3 and 7 take effect January 1, 1996,
and Section 6 takes effect July 1, 1996.
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