HCS SCS SB 317 -- MANUFACTURED HOMES

SPONSOR:  Stoll (Hollingsworth)

COMMITTEE ACTION:  Voted "do pass" by the Committee on Commerce
and Economic Development by a vote of 23 to 0.

This substitute requires housemovers to be licensed, with a $100
licensing fee to be paid annually to the Division of Motor
Carrier and Railroad Safety.  A housemover who violates the
licensing requirements is guilty of a class A misdemeanor.

The substitute, also, limits the application of the standards
for manufactured homes found in Chapter 700, RSMo, to the sale
of new manufactured homes, new modular units, or a unit used for
educational purposes.

The substitute increases the dealer's initial registration fee
for the sale of manufactured homes from $50 to $200 and the
dealer's renewal fee from $50 to $200.  The manufacturer's
initial registration fee is increased from $250 to $750, and the
manufacturer's renewal fee is increased from $200 to $700.  The
substitute also authorizes the Public Service Commission to
suspend or revoke a manufacturer's or dealer's license for
failure to pay necessary fees and assessments.  Dealers can be
put on probation or have their registration revoked or suspended
if, when selling a used manufactured home, they fail to include
a written statement signed by the buyer which states, "The
Missouri Public Service Commission does not regulate setup of
used manufactured homes and modular units sold by the dealer."

FISCAL NOTE:  Income to State Highway and Transportation
Department Fund of $4,200 in FY 2002, FY 2003, and FY 2004.
Income to Manufactured Housing Fund of $128,400 in FY 2002, FY
2003, and FY 2004.

PROPONENTS:  Supporters say that not enough money is being
generated through the current fees to pay for visits to
dealerships and manufacturers to make sure that they are in
compliance with the current law.  The fee increases proposed in
the bill would allow these visits to occur, and the dealers are
in favor of these increases.  The industry supports a strong
regulatory program.  Currently, there is not enough money in the
fund to implement such a program.  These fees are consistent
with other states' fees for registration.

The Department of Housing and Urban Development's (HUD) code
that applies to manufactured homes states that the code is not
to be applied to the sale of used mobile homes.  However,
Missouri applies the code for newly manufactured homes to used
homes.  This makes it very difficult to sell used manufactured
homes in Missouri, because something as simple as adding new
carpet will take it out of compliance with HUD's code.
Supporters say this bill will clear up a problem with the
current statute.

Testifying for the bill were Senator Stoll; Missouri
Manufactured Housing Association; and Foremost Insurance Company.

OPPONENTS:  There was no opposition voiced to the committee.

Alice Hurley, Legislative Analyst

Missouri House of Representatives
Last Updated November 26, 2001 at 11:47 am