H*4064 Session 111 (1995-1996)
H*4064(Rat #0338, Act #0301 of 1996) General Bill, By Cato
Similar(S 795)
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 composition
by one by adding a manufactured home contractor, installer, or repairer; to
amend Section 40-29-100, as amended, relating to licenses to sell manufactured
homes, so as to prohibit manufactured home contractors, installers, and
repairers from engaging in their trade without being licensed and to further
provide for such licensure; to amend Section 40-29-110, as amended, relating
to examination requirements for licensure, so as to require training for
manufactured home contractors, installers, and repairers; to amend Section
40-29-120, relating to security requirements for licensees, so as to set a
bond amount for manufactured home contractors, installers, and repairers and
to further provide for increasing such bond if violations occur; to amend
Section 40-29-130, relating to indemnification requirements from security, so
as to include provisions relative to manufactured home contractors,
installers, and repairers; to amend Section 40-29-150, relating to grounds for
suspension or revocation of licenses, so as to include provisions relative to
manufactured home contractors, installers, and repairers; to amend Section
40-29-160, as amended, relating to penalties for selling manufactured homes
without a license, so as to expand activities subject to penalties to include
engaging in any activity requiring a license without having a license; to
amend Section 40-29-170, relating to warranty requirements for manufactured
homes, so as to include warranty provisions for manufactured home contractors,
installers, and repairers; to add Section 57-3-175 so as to require moving a
new mobile home on highways ten miles below the posted speed limit; to amend
Secti
04/12/95 House Introduced and read first time HJ-37
04/12/95 House Referred to Committee on Labor, Commerce and
Industry HJ-37
04/26/95 House Committee report: Favorable Labor, Commerce and
Industry HJ-8
05/03/95 House Read second time HJ-61
05/04/95 House Read third time and sent to Senate HJ-8
05/05/95 Senate Introduced and read first time SJ-8
05/05/95 Senate Referred to Committee on Labor, Commerce and
Industry SJ-8
05/11/95 Senate Committee report: Favorable Labor, Commerce and
Industry SJ-24
03/28/96 Senate Amended SJ-12
03/28/96 Senate Read second time SJ-12
03/28/96 Senate Ordered to third reading with notice of
amendments SJ-12
04/02/96 Senate Read third time and returned to House with
amendments SJ-21
04/11/96 House Concurred in Senate amendment and enrolled HJ-50
04/30/96 Ratified R 338
05/06/96 Signed By Governor
05/06/96 Effective date 05/06/96 except that Sections 3 &
7 take effect 01/01/97 and Section 6 takes
effect 07/01/97
05/29/96 Copies available
05/29/96 Act No. 301
(A301, R338, H4064)
AN ACT 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 COMPOSITION BY
ONE BY ADDING A MANUFACTURED HOME CONTRACTOR,
INSTALLER, OR REPAIRER; TO AMEND SECTION 40-29-100, AS
AMENDED, RELATING TO LICENSES TO SELL MANUFACTURED
HOMES, SO AS TO PROHIBIT MANUFACTURED HOME
CONTRACTORS, INSTALLERS, AND REPAIRERS FROM
ENGAGING IN THEIR TRADE WITHOUT BEING LICENSED AND
TO FURTHER PROVIDE FOR SUCH LICENSURE; TO AMEND
SECTION 40-29-110, AS AMENDED, RELATING TO
EXAMINATION REQUIREMENTS FOR LICENSURE, SO AS TO
REQUIRE TRAINING FOR MANUFACTURED HOME
CONTRACTORS, INSTALLERS, AND REPAIRERS; TO AMEND
SECTION 40-29-120, RELATING TO SECURITY REQUIREMENTS
FOR LICENSEES, SO AS TO SET A BOND AMOUNT FOR
MANUFACTURED HOME CONTRACTORS, INSTALLERS, AND
REPAIRERS AND TO FURTHER PROVIDE FOR INCREASING
SUCH BOND IF VIOLATIONS OCCUR; TO AMEND SECTION
40-29-130, RELATING TO INDEMNIFICATION REQUIREMENTS
FROM SECURITY, SO AS TO INCLUDE PROVISIONS RELATIVE
TO MANUFACTURED HOME CONTRACTORS, INSTALLERS, AND
REPAIRERS; TO AMEND SECTION 40-29-150, RELATING TO
GROUNDS FOR SUSPENSION OR REVOCATION OF LICENSES,
SO AS TO INCLUDE PROVISIONS RELATIVE TO
MANUFACTURED HOME CONTRACTORS, INSTALLERS, AND
REPAIRERS; TO AMEND SECTION 40-29-160, AS AMENDED,
RELATING TO PENALTIES FOR SELLING MANUFACTURED
HOMES WITHOUT A LICENSE, SO AS TO EXPAND ACTIVITIES
SUBJECT TO PENALTIES TO INCLUDE ENGAGING IN ANY
ACTIVITY REQUIRING A LICENSE WITHOUT HAVING A
LICENSE; TO AMEND SECTION 40-29-170, RELATING TO
WARRANTY REQUIREMENTS FOR MANUFACTURED HOMES, SO
AS TO INCLUDE WARRANTY PROVISIONS FOR
MANUFACTURED HOME CONTRACTORS, INSTALLERS, AND
REPAIRERS; TO ADD SECTION 57-3-175 SO AS TO REQUIRE
MOVING A NEW MOBILE HOME ON HIGHWAYS TEN MILES
BELOW THE POSTED SPEED LIMIT; TO AMEND SECTION
40-29-40, RELATING TO STATE POLICY FOR SAFETY IN
CONSTRUCTION OF MANUFACTURED HOMES, SO AS TO
PROVIDE THAT THIS CHAPTER ALSO APPLIES TO
MANUFACTURED HOMES AND MOBILE HOMES; AND TO
AMEND SECTION 40-29-100, AS AMENDED, RELATING TO
LICENSURE TO SELL MANUFACTURED HOMES, SO AS TO
PROVIDE THAT GROUNDS FOR DENYING A LICENSE INCLUDE
CRIMINAL CONDUCT AND CERTAIN VIOLATIONS OF CHAPTER
29, TITLE 40.
Be it enacted by the General Assembly of the State of South
Carolina:
Definitions added
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."
Board increased
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 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."
License required of manufactured home contractors, installers, and
repairers
SECTION 3. Section 40-29-100(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."
Expiration of certain licenses
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;
(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."
Carrying license required
SECTION 5. Section 40-29-100(E) of the 1976 Code, as added by Act
128 of 1989, is amended to read:
"(E) 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 a manufactured home retail dealer and
manufactured home manufacturer to 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."
Training required
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."
Bond requirements apply to manufactured home contractors,
installers, and repairers
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 manufactured home contractor, installer, or repairer,
five thousand dollars."
Bond increases
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, twenty
thousand dollars for salespersons, 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."
Indemnification to apply to manufactured home contractors, installers,
and repairers
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, 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 board if
conditions require a waiver. The 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."
Grounds for suspension or revocation of licenses applied to
manufactured home contractors, installers, and repairers
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;"
Activities subject to penalties expanded
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 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."
Warranty requirements applied to manufactured home contractors,
installers, and repairers
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) 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) the manufactured home complies with this chapter and
regulations promulgated under this chapter;
(c) 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) 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) 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) 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 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) 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) 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) the setup operations performed by the dealer on the
manufactured home must be performed in compliance with applicable
federal or state 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."
Speed limit for moving mobile homes on highways
SECTION 13. The 1976 Code is amended by adding:
"Section 57-3-175. Notwithstanding any other provision of law,
a person moving or hauling a new mobile home on the interstate
highways of this State shall travel at a maximum speed no greater than
ten miles below the posted speed limit."
Chapter application
SECTION 14. Section 40-29-40 of the 1976 Code, as added by Act 128
of 1989, is amended by adding at the end:
"Unless clearly indicated otherwise, this chapter applies to
manufactured homes and mobile homes."
Denial of licenses
SECTION 15. Section 40-29-100 of the 1976 Code is amended by
adding at the end:
"(G) The board may deny a license to an applicant who submits
an application meeting the requirements of this chapter if the applicant
has been convicted in a court of competent jurisdiction of a felony or an
offense involving moral turpitude. Further, the board may deny a license
to an applicant who previously had been found by the board to be in
violation of Section 40-29-150."
Time effective
SECTION 16. This act takes effect upon approval by the Governor
except that Sections 3 and 7 take effect January 1, 1997, and Section 6
takes effect July 1, 1997.
Approved the 6th day of May, 1996. |