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                                 HOUSE AMENDED
        PRIOR PRINTER'S NOS. 1058, 1528, 1609,        PRINTER'S NO. 2292
        1945

THE GENERAL ASSEMBLY OF PENNSYLVANIA


SENATE BILL

No. 962 Session of 1997


        INTRODUCED BY GERLACH, KUKOVICH, HART AND BRIGHTBILL,
           MAY 5, 1997

        AS REPORTED FROM COMMITTEE ON CONSUMER AFFAIRS, HOUSE OF
           REPRESENTATIVES, AS AMENDED, NOVEMBER 17, 1998

                                     AN ACT

     1  Amending the act of November 17, 1982 (P.L.676, No.192),
     2     entitled "An act establishing standards for the body and
     3     frame design and construction and the installation of
     4     plumbing, heating and electrical systems for manufactured
     5     homes; defining terms; requiring manufactured homes to bear a
     6     label issued by the United States Department of Housing and
     7     Urban Development; providing for the administration of the
     8     act; providing for enforcement and penalties; and making a
     9     repeal," adding definitions; further providing for
    10     manufactured home standards; providing for installation of
    11     manufactured homes; establishing additional fees;
    12     establishing the Industrialized Housing Account; and further
    13     providing for labeling requirement and for administration of
    14     act.

    15     The General Assembly of the Commonwealth of Pennsylvania
    16  hereby enacts as follows:
    17     Section 1.  The definitions of "department" and "person" in
    18  section 2 of the act of November 17, 1982 (P.L.676, No.192),
    19  known as the Manufactured Housing Construction and Safety
    20  Standards Authorization Act, are amended and the section is
    21  amended by adding definitions to read:
    22  Section 2.  Definitions.

     1     The following words and phrases when used in this act shall
     2  have, unless the context clearly indicates otherwise, the
     3  meanings given to them in this section:
     4     "Certified installer."  A manufacturer, dealer or third
     5  person certified under section 3.1 to engage in the installation
     6  of manufactured homes on site.
     7     * * *
     8     "Department."  The Department of Community [Affairs] and
     9  Economic Development of the Commonwealth of Pennsylvania.
    10     * * *
    11     "Installation."  The assembly of manufactured homes on site
    12  and the process of affixing manufactured homes to land, a
    13  foundation, footings, utilities or an existing building. The
    14  term includes the process of affixing manufactured home
    15  components to or within the housing structure for which they are
    16  designed.
    17     "Installer."  A manufacturer, dealer or other person engaged
    18  in the installation of manufactured homes on site, regardless of
    19  whether certified under section 3.1.
    20     * * *
    21     "Person."  An individual, partnership, company, limited
    22  liability company, corporation [or association engaged in
    23  manufacturing or selling manufactured homes.], association or
    24  other entity engaged in manufacturing, selling or installation
    25  of manufactured homes.
    26     Section 2.  Section 3 of the act is amended to read:
    27  Section 3.  Establishment of manufactured home standards.
    28     (a)  All manufactured homes manufactured [and], sold or
    29  offered for sale or installed in this Commonwealth, or
    30  manufactured in this Commonwealth and sold or offered for sale
    19970S0962B2292                  - 2 -

     1  outside of the Commonwealth, shall meet the manufactured home
     2  construction and safety standards adopted by the United States
     3  Department of Housing and Urban Development pursuant to the
     4  National Manufactured Home Construction and Safety Standards Act
     5  of 1974, as amended. In addition, the manufactured homes shall
     6  comply with any additional standards determined by the
     7  department to be necessary to reduce personal injuries and
     8  deaths, to reduce insurance costs and property damage resulting
     9  from accidents or to improve the quality and durability of
    10  manufactured homes when no construction or safety standard has
    11  been established by the United States Department of Housing and
    12  Urban Development to deal with a construction or safety issue
    13  identified by the department.
    14     (b)  The department may adopt regulations necessary to carry
    15  out the provisions of this act. If the manufactured home
    16  construction and safety standards adopted by the United States
    17  Department of Housing and Urban Development, or any section,
    18  part or provisions thereof, is changed, altered or amended, the
    19  department may adopt regulations which are reasonably consistent
    20  with or identical to the standards, as changed, altered or
    21  amended.
    22     (c)  The department shall hold hearings on the regulations
    23  proposed to be adopted, amended or repealed in accordance with
    24  the provisions of and no regulation shall be effective unless
    25  adopted pursuant to the act of July 31, 1968 (P.L.769, No.240),
    26  referred to as the Commonwealth Documents Law.
    27     Section 3.  The act is amended by adding a section to read:
    28  Section 3.1.  Installation of manufactured homes.
    29     (a)  The department shall present a certificate to install
    30  manufactured housing onsite to any individual who presents
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     1  evidence satisfactory to the department that the individual has
     2  attended and satisfactorily completed a manufactured housing
     3  installation course of study approved by the department at which
     4  instruction has been given concerning soil density and ability
     5  to determine soil density, an understanding of installation
     6  instructions and the principals PRINCIPLES of weight              <--
     7  distribution of manufactured home to foundation. To satisfy
     8  these requirements, a course of study shall include classroom
     9  instruction, field directions for installation and a written
    10  test. The department shall promulgate regulations to require
    11  each certified installer to participate in continuing education
    12  programs and to demonstrate continued competency and compliance
    13  with this act in order to remain certified.
    14     (b)  Notwithstanding any other statute, regulation or
    15  ordinance, a NO manufactured home shall be installed EXCEPT by a  <--
    16  certified installer in accordance with one or more of the
    17  following:
    18         (1)  The manufacturer's recommended installation
    19     requirements as set forth in 24 CFR 3280 (relating to
    20     manufactured home construction and safety standards).
    21         (2)  Manufactured home installations approved by the
    22     American National Standards Institute as ANSI A225.1-1994.
    23         (3)  The manufacturer's setup specifications for that
    24     type of home, model and location.
    25         (4)  Plans sealed by a registered professional engineer
    26     or plans established by the department, if:
    27             (i)  the design is engineered specifically for the
    28         manufactured home; and
    29             (ii)  the designer used criteria specified in
    30         paragraphs (1), (2) and (3).
    19970S0962B2292                  - 4 -

     1     (c)  Nothing in this act shall prevent a homeowner from
     2  installing a manufactured home on real property owned by the
     3  homeowner for occupancy by the homeowner, without a certified
     4  installer, provided that the homeowner shall assume all
     5  liability for the installation and there shall be no liability
     6  on the part of the dealer, manufacturer or any third party
     7  relating to the installation. The certificate of installation
     8  required by this act shall bear a notation that the homeowner
     9  performed the installation without a certified installer.
    10     (d)  The homeowner shall be provided, prior to occupancy,
    11  with a notarized certificate of installation from the installer
    12  or, in the case of a new home, from the manufactured housing
    13  dealer if the dealer arranged for the installation, which shall
    14  state that the home was set up by the installer according to the
    15  manufacturer's specifications for that home REQUIREMENTS SET      <--
    16  FORTH IN SUBSECTION (B). The department shall prepare and
    17  promulgate the certificate of installation to be used by
    18  installers and manufactured housing dealers.
    19     (e)  Should any damage occur to the home in the future as a
    20  result of improper initial installation or setup:
    21         (1)  If the dealer has arranged for installation, the
    22     dealer and the installer shall be jointly and severally
    23     liable for the cost of repairs OR REPLACEMENT resulting from   <--
    24     the damage as long as it remains on the site where the home
    25     was originally installed for a period of no more than five
    26     years from the date of the completion of the installation as
    27     set forth on the certificate of installation.
    28         (2)  If the dealer has not arranged for installation, the
    29     installer shall be liable for the cost of repairs OR           <--
    30     REPLACEMENT resulting from the damage as long as it remains
    19970S0962B2292                  - 5 -

     1     on the site where the home was originally installed FOR A      <--
     2     PERIOD OF NO MORE THAN FIVE YEARS FROM THE DATE OF THE
     3     COMPLETION OF THE INSTALLATION AS SET FORTH ON THE
     4     CERTIFICATE OF INSTALLATION.
     5         (3)  If the home is transported or moved from the site
     6     where the home was originally installed, all liability under
     7     this subsection shall cease.
     8         (4)  This subsection shall not remove:
     9             (i)  the responsibility of an installer who
    10         subsequently sets up the home at another location from
    11         the original site of installation to install and set up
    12         the home at the new site according to the manufacturer's
    13         original setup specifications for that type of home,
    14         model and location;
    15             (ii)  the liability of an installer under
    16         subparagraph (i) for repairs and replacement costs
    17         resulting from improper installation or setup of the
    18         home; or                                                   <--
    19             (iii)  any responsibility or liability arising under
    20         Federal law;                                               <--
    21             (IV)  THE LIABILITY A MANUFACTURER WOULD OTHERWISE
    22         HAVE FOR NEGLIGENCE OR INTENTIONAL ACTION WITH REGARD TO
    23         MANUFACTURING THE HOME OR RECOMMENDING INSTALLATION
    24         REQUIREMENTS; OR
    25             (V)  THE LIABILITY A DEALER WHO ARRANGES FOR THE
    26         INSTALLATION OR AN EMPLOYER OF A CERTIFIED INSTALLER
    27         WOULD OTHERWISE HAVE FOR THE CONDUCT OF A CERTIFIED
    28         INSTALLER UNDER JUDICIAL DECISION, STATUTE OR REGULATION.
    29     (f)  The certificate of installation promulgated under
    30  subsection (a) (D) shall certify that the installation has been   <--
    19970S0962B2292                  - 6 -

     1  accomplished under this act. The certified installer shall
     2  retain a copy of the certificate. Within ten days of completion
     3  of the installation copies shall be submitted:
     4         (1)  To the department.
     5         (2)  To the manufacturer.
     6         (3)  To the manufactured housing dealer.
     7         (4)  To the manufactured housing owner.
     8     (g)  At least one member of any installation or setup crew
     9  involved in the installation of the manufactured home is
    10  required to be certified under subsection (a).
    11     (h)  The department shall establish a filing fee in the
    12  amount of $20 for each form certifying proper installation. The
    13  department shall establish a certification fee of $100 per year
    14  for each certified installer.
    15     (i)  The department is authorized to conduct inspections of
    16  manufactured housing installations to ensure compliance with
    17  this act.
    18     (j)  Upon inspection and investigation, the department may
    19  suspend the certificate of any certified installer if the
    20  department determines that installation and setup were performed
    21  in violation of subsection (b).
    22     (k)  The requirements of this section shall apply to all
    23  manufactured homes regardless of the date of manufacture.
    24     Section 4.  Sections 5 and 7 of the act are amended to read:
    25  Section 5.  Label required; violations.
    26     (a)  Following the effective date of this act, no person may
    27  sell [or], offer for sale or install in this Commonwealth or
    28  manufacture within this Commonwealth and sell or offer for sale
    29  outside this Commonwealth any manufactured home unless it bears
    30  a label certifying that such manufactured home meets or exceeds
    19970S0962B2292                  - 7 -

     1  the manufactured home standards and department regulations
     2  established by this act. Such label shall be displayed in the
     3  manner prescribed by the United States Department of Housing and
     4  Urban Development.
     5     (b)  No person may affix a label to any manufactured home
     6  which does not meet or exceed the requirements of the
     7  manufactured home standards and department regulations
     8  established by this act.
     9  Section 7.  Administration of act.
    10     (a)  The department is charged with the administration of
    11  this act. It shall have the power to adopt, amend and repeal the
    12  regulations referred to in section 3. The department is
    13  authorized to enter into interdepartmental agreements for the
    14  purposes of administration of this act. The department may enter
    15  into agreements with the United States Department of Housing and
    16  Urban Development to assume responsibility for enforcement of
    17  the manufactured home standards and may join with other states
    18  or public or private agencies for such purposes.
    19     (b)  Any authorized representative or employee of the
    20  department, at reasonable times, may enter any factory,
    21  warehouse or establishment in the Commonwealth in which
    22  manufactured homes are manufactured, stored or held for sale,
    23  for the purpose of ascertaining whether the requirements of this
    24  act and the regulations of the department have been and are
    25  being met.
    26     (c)  No person may interfere, obstruct or hinder an
    27  authorized representative of the department in the performance
    28  of his duties as set forth in the provisions of this act.
    29     (d)  Each manufacturer, distributor [and], dealer and
    30  installer of manufactured homes shall establish and maintain
    19970S0962B2292                  - 8 -

     1  such records, make such reports and provide such information as
     2  the department or the United States Department of Housing and
     3  Urban Development may reasonably require to be able to determine
     4  whether such manufacturer, distributor [or], dealer or installer
     5  has acted and is acting in compliance with this act and the
     6  department regulations. Upon request of a person duly designated
     7  by the department, each manufacturer, distributor [or], dealer
     8  or installer of manufactured homes shall permit such person to
     9  inspect appropriate books, papers, records and documents
    10  relative to determining whether such manufacturer, distributor
    11  [or], dealer or installer has acted and is acting in compliance
    12  with this act and the department regulations.
    13     Section 5.  The act is amended by adding a section to read:
    14  Section 9.1.  Industrialized Housing Account.
    15     All fees and civil penalties collected under this act shall
    16  be deposited in the Industrialized Housing Account established
    17  in the act of May 11, 1972 (P.L.286, No.70), known as the
    18  "Industrialized Housing Act." The department shall draw from the
    19  account sufficient funds to cover the administrative and
    20  enforcement costs of operating the program. Such funds are
    21  hereby appropriated to the department to carry out the purposes
    22  of this act.
    23     Section 6.  This act shall take effect in 180 days.





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