96-6163. Office of the Assistant Secretary for Housing-Federal Housing Commissioner; Federal Manufactured Housing Program; Streamlining Final Rule  

  • [Federal Register Volume 61, Number 52 (Friday, March 15, 1996)]
    [Rules and Regulations]
    [Pages 10858-10864]
    From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
    [FR Doc No: 96-6163]
    
    
    
    
    [[Page 10857]]
    
    _______________________________________________________________________
    
    Part IV
    
    
    
    
    
    Department of Housing and Urban Development
    
    
    
    
    
    _______________________________________________________________________
    
    
    
    24 CFR Parts 3282 and 3283
    
    
    
    Federal Manufactured Housing Program; Streamlining; Final Rule
    
    Federal Register / Vol. 61, No. 52 / Friday, March 15, 1996 / Rules 
    and Regulations
    
    [[Page 10858]]
    
    
    DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT
    
    24 CFR Parts 3282 and 3283
    
    [Docket No. FR-4025-F-01]
    RIN 2502-AG70
    
    
    Office of the Assistant Secretary for Housing-Federal Housing 
    Commissioner; Federal Manufactured Housing Program; Streamlining Final 
    Rule
    
    AGENCY: Office of the Assistant Secretary for Housing-Federal Housing 
    Commissioner, HUD.
    
    ACTION: Final rule.
    
    -----------------------------------------------------------------------
    
    SUMMARY: This final rule amends HUD's regulations for the program 
    operated under the National Manufactured Housing Construction and 
    Safety Standards Act of 1974. In an effort to comply with the 
    President's regulatory reform initiatives, this rule will streamline 
    the regulations in parts 3282 and 3283, concerning manufactured 
    housing, by eliminating provisions that are repetitive of statutes, 
    provide only guidance, or are otherwise unnecessary. This final rule 
    will make the program regulations clearer and more concise.
    
    EFFECTIVE DATE: April 15, 1996.
    
    FOR FURTHER INFORMATION CONTACT: David R. Williamson, Director, Office 
    of Consumer and Regulatory Affairs, Department of Housing and Urban 
    Development, L'Enfant Plaza North, Suite 3214, Washington, D.C. 
    (mailing address: Room B-133, HUD Building, Washington, D.C. 20410-
    8000); telephone number: (202) 755-7420 (this is not a toll-free 
    number). For hearing- and speech-impaired persons, this number may be 
    accessed via TDD by calling the Federal Information Relay Service at 1-
    800-877-8339.
    
    SUPPLEMENTARY INFORMATION:
    
    I. Background
    
        On March 4, 1995, President Clinton issued a memorandum to all 
    Federal departments and agencies regarding regulatory reinvention. In 
    response to this memorandum, the Department of Housing and Urban 
    Development conducted a page-by-page review of its regulations to 
    determine which can be eliminated, consolidated, or otherwise improved. 
    HUD has determined that the regulations concerning manufactured housing 
    can be improved and streamlined by eliminating unnecessary provisions.
        Several provisions in the regulations repeat statutory language 
    from the National Manufactured Housing Construction and Safety 
    Standards Act of 1974, 42 U.S.C. 5401 et seq. It is unnecessary to 
    maintain statutory requirements in the Code of Federal Regulations 
    (CFR), since those requirements are otherwise fully accessible and 
    binding. Furthermore, if regulations contain statutory language, HUD 
    must amend the regulations whenever Congress amends the statute. 
    Therefore, this final rule will remove repetitious statutory language 
    and replace it with a citation to the specific statutory section for 
    easy reference.
        Other provisions in the regulations apply to more than one of the 
    Department's programs, and therefore these provisions had been repeated 
    in various program regulations. The Department has been consolidating 
    some of these repetitious provisions as part of its regulatory 
    reinvention efforts. Therefore, this final rule maintains only 
    appropriate cross-references to consolidated provisions, for the 
    reader's convenience.
        Some provisions in the Manufactured Home Procedural and Enforcement 
    regulations (part 3282) are now obsolete. For instance, this rule 
    removes obsolete regulations regarding Transition Certifications in 
    subpart E. The Transition Certification applied to homes in production 
    when the Manufactured Home Construction and Safety Standards first went 
    into effect on June 15, 1976. Other subparts of the regulations contain 
    similar provisions relating to the start-up of the Federal program for 
    manufactured housing and are now also obsolete and unnecessary. 
    Therefore, HUD can remove the obsolete regulations in subpart E, as 
    well as other subparts.
        Lastly, some provisions in the regulations are not regulatory 
    requirements. For example, 24 CFR part 3283 contains guidance or 
    explanations relating to the manufactured home consumer manual 
    requirements. Section 617 of the Act, 42 U.S.C. 5416, requires that the 
    Secretary develop guidelines for a consumer's manual to be provided to 
    manufactured home purchasers by the manufacturer. The Act further 
    provides that these manuals should identify and explain the purchasers' 
    responsibilities for operation, maintenance, and repair of their 
    manufactured homes. Except for the requirement that the manufacturer 
    provide a manual with each manufactured home produced, the guidance 
    provided in 24 CFR part 3283 is nonmandatory. While this information is 
    very helpful to recipients, HUD will more appropriately provide this 
    information through handbook guidance or other materials, rather than 
    maintain it in the CFR. Accordingly, the mandatory sections of part 
    3283 will be moved to part 3282 and Sec. 3282.207. The guidance 
    provided by part 3283 will be issued simultaneously with this rule as 
    an uncodified appendix and will also be published and made available in 
    a future handbook.
    
    Justification for Final Rulemaking
    
        HUD generally publishes a rule for public comment before issuing a 
    rule for effect, in accordance with its own regulations on rulemaking 
    in 24 CFR part 10. However, part 10 provides for exceptions to the 
    general rule if the agency finds good cause to omit advance notice and 
    public participation. The good cause requirement is satisfied when 
    prior public procedure is ``impracticable, unnecessary, or contrary to 
    the public interest'' (24 CFR 10.1). HUD finds that good cause exists 
    to publish this rule for effect without first soliciting public 
    comment. This rule merely removes unnecessary regulatory provisions and 
    does not establish or affect substantive policy. Therefore, prior 
    public comment is unnecessary.
    
    Section-by-Section Analysis of Changes
    
        The Secretary has determined that the following changes should be 
    made to the Manufactured Home Procedural and Enforcement Regulations:
        (1) Section 3282.1--This section has already been revised to add a 
    reference to 24 CFR part 3800, which outlines procedures for 
    investigations and investigational proceedings (see FR-4026, a 
    reinvention rule published shortly before this rule).
        (2) Section 3282.2--This section has been removed. Delegations of 
    authority are effective when signed by the Secretary of HUD, and HUD 
    publishes all delegations of authority in the Federal Register. 
    Accordingly, the delegation of authority does not need to be contained 
    in the rule.
        (3) Sections 3282.3-3282.5--These sections have been removed 
    because they relate to the composition of the program office and are 
    unnecessary.
        (4) Section 3282.7(11)--This section defined the term ``Title I,'' 
    which is later used in reference to procedures necessary to implement 
    the requirements of the regulations when they first became effective in 
    1976, and are no longer in effect.
        (5) Section 3282.9(a)--This section has been removed and a 
    reference has been made to identical provisions in 24 CFR 26 relating 
    to computation of time.
        (6) Section 3282.53--This section, relating to section 612(e) of 
    the Act and the registering agents by foreign manufacturers, has been 
    revised because it is repetitious of the statutory
    
    [[Page 10859]]
    provisions. The form of the designation of agent, however, has been 
    retained.
        (7) Section 3282.54(d)--This section regarding availability of cost 
    information submitted in opposition to an action by the Secretary under 
    section 607(a) of the Act has been removed as repetitious of the 
    statutory provisions.
        (8) Subpart C, Secs. 3282.101-3282.110, and 3282.112--This subpart 
    is repetitious of the Department's rulemaking provisions in 24 CFR part 
    10 and the Act. Accordingly, language has been removed in several of 
    these sections. Where the requirements provided in these sections 
    differ from 24 CFR part 10, the exception is noted. In addition, 
    Sec. 3282.113(b), relating to resolutions of disputes with DAPIAs, had 
    been mistakenly placed in Sec. 3282.113, Interpretative Bulletins; the 
    provisions are repeated in Sec. 3282.151(b)(2) and, therefore, are 
    removed as duplicative.
        (9) Section 3282.151(a)--The provisions of this section specifying 
    the situation in which a presentation of views is appropriate under the 
    Act have been removed because they merely repeat the statute.
        (10) Sections 3282.151(c) and 3282.155--The language referring to 
    investigations and investigational hearings has been removed because 
    regulations pertaining to these procedures have been moved to a new 
    part 3800 (see FR-4026, a reinvention rule published shortly before 
    this rule). The new part 3800 covers such procedures relating to the 
    Department's investigations under the Act, the Real Estate Settlement 
    Procedures Act and the Interstate Land Sales Full Disclosure Act. 
    Because the Department's procedures in investigations under these 
    statutes are similar, it is unnecessary to repeat those procedures for 
    each program.
        (11) Section 3282.207-- This section has been removed because it 
    relates to Transition Certification of manufactured homes already in 
    production on the effective date of the Standards in 1976 and is thus 
    no longer necessary. In place of the transition certification language, 
    the Department will move the mandatory sections of part 3283 (Consumer 
    Manual) to this section.
        In addition, references to transition certification and other 
    procedures that were once necessary to implement the requirements of 
    the regulations when they first became effective in 1976 have been 
    removed, including all or portions of the following sections: 
    3282.7(11), 3282.11(b), 3282.205(a), 3282.205(c), 3282.205(d), 
    3282.207, 3282.302(e), 3282.352(c), 3282.353(a)(8), 3282.353(f), 
    3282.355(b), 3282.361(d), 3282.362(b)(5), 3282.362(c)(2)(i)(B), 
    3282.362(c)(2)(i)(C), and 3282.362(c)(2)(ii). These references are 
    obsolete and may be removed without affecting the present regulation of 
    manufactured housing.
    
    IV. Other Matters
    
    Regulatory Flexibility Act
    
        The Secretary, in accordance with the Regulatory Flexibility Act (5 
    U.S.C. 605(b)), has reviewed and approved this final rule, and in so 
    doing certifies that this rule will not have a significant economic 
    impact on a substantial number of small entities. This rule merely 
    streamlines regulations by removing unnecessary provisions. The rule 
    will have no adverse or disproportionate economic impact on small 
    businesses.
    
    Environmental Impact
    
        This rulemaking does not have an environmental impact. This 
    rulemaking simply amends an existing regulation by consolidating and 
    streamlining provisions and does not alter the environmental effect of 
    the regulations being amended. A Finding of No Significant Impact with 
    respect to the environment was made in accordance with HUD regulations 
    in 24 CFR part 50 that implement section 102(2)(C) of the National 
    Environmental Policy Act of 1969 (42 U.S.C. 4332) at the time of 
    development of regulations implementing the National Manufactured 
    Housing Construction and Safety Standards Act of 1974. That finding 
    remains applicable to this rule, and is available for public inspection 
    between 7:30 a.m. and 5:30 p.m. weekdays in the Office of the Rules 
    Docket Clerk, Office of General Counsel, Room 10276, Department of 
    Housing and Urban Development, 451 Seventh Street, SW., Washington, DC.
    
    Executive Order 12612, Federalism
    
        The General Counsel, as the Designated Official under section 6(a) 
    of Executive Order 12612, Federalism, has determined that this rule 
    will not have substantial direct effects on States or their political 
    subdivisions, or the relationship between the Federal government and 
    the States, or on the distribution of power and responsibilities among 
    the various levels of government. No programmatic or policy changes 
    will result from this rule that would affect the relationship between 
    the Federal government and State and local governments.
    
    Executive Order 12606, The Family
    
        The General Counsel, as the Designated Official under Executive 
    Order 12606, The Family, has determined that this rule will not have 
    the potential for significant impact on family formation, maintenance, 
    or general well-being, and thus is not subject to review under the 
    Order. No significant change in existing HUD policies or programs will 
    result from promulgation of this rule.
    
    List of Subjects
    
    24 CFR Part 3282
    
        Administrative practice and procedure, Consumer protection, 
    Intergovernmental relations, Investigations, Manufactured homes, 
    Reporting and recordkeeping requirements, Warranties.
    
    24 CFR Part 3283
    
        Consumer protection, Manufactured homes, Warranties.
        For the reasons stated in the preamble, under the authority of 42 
    U.S.C. 3535(d), in title 24 of the Code of Federal Regulations, part 
    3282 is amended and part 3283 is removed, as follows:
    
    PART 3282--MANUFACTURED HOME PROCEDURAL AND ENFORCEMENT REGULATIONS
    
        1. The authority citation for part 3282 continues to read as 
    follows:
    
        Authority: 42 U.S.C. 3535(d) and 5424.
    
    Subpart A--General
    
    
    Secs. 3282.2, 3282.3, 3282.4, and 3282.5  [Removed]
    
        2. Sections 3282.2, 3282.3, 3282.4, and 3282.5 are removed.
    
    
    Sec. 3282.7(11)  [Removed and Reserved]
    
        3. Section 3282.7(ll) is removed and reserved.
        4. Section 3282.9 is amended by revising paragraph (a) to read as 
    follows:
    
    
    Sec. 3282.9  Computation of time.
    
        (a) In computing any period of time prescribed by the regulations 
    in this part, refer to Sec. 26.16(a) of this title.
    * * * * *
        5. Section 3282.11 is amended by revising paragraph (b) to read as 
    follows:
    
    
    Sec. 3282.11  Preemption and reciprocity.
    
    * * * * *
        (b) No State may require, as a condition of entry into or sale in 
    the State, a manufactured home certified (by the application of the 
    label required by Sec. 3282.362(c)(2)(i)) as in conformance with the 
    Federal standards to be subject to State inspection to determine 
    compliance with any standard covering any aspect of the manufactured 
    home covered by the Federal standards. Nor
    
    [[Page 10860]]
    may any State require that a State label be placed on the manufactured 
    home certifying conformance to the Federal standard or an identical 
    standard. Certain actions that States are permitted to take are set out 
    in Sec. 3282.303.
    * * * * *
    
    Subpart B--Formal Procedures
    
        6. Section 3282.53 is revised to read as follows:
    
    
    Sec. 3282.53  Service of process on foreign manufacturers and 
    importers.
    
        The designation of an agent required by section 612(e) of the Act, 
    42 U.S.C. Sec. 5411(e), shall be in writing, dated, and signed by the 
    manufacturer and the designated agent.
    
    
    Sec. 3282.54  [Amended]
    
        7. Section 3282.54 is amended by removing paragraph (d) and 
    redesignating paragraph (e) as paragraph (d).
    
    Subpart C--Rules and Rulemaking Procedures
    
        8. Section 3282.101 is revised to read as follows:
    
    
    Sec. 3282.101  Generally.
    
        Procedures that apply to the formulation, issuance, amendment, and 
    revocation of rules pursuant to the Act are governed by the Act, the 
    Administrative Procedure Act, 5 U.S.C. 551 et seq., and part 10 of this 
    title, except that the Secretary shall respond to a petition for 
    rulemaking by an interested party within 180 days of receipt of the 
    petition.
    
    
    Secs. 3282.102 through 3282.110 and Sec. 3282.112  [Removed]
    
        9. Sections 3282.102 through 3282.110 and 3282.112 are removed.
        10. Section 3282.113 is revised to read as follows:
    
    
    Sec. 3282.113  Interpretative bulletins.
    
        When appropriate, the Secretary shall issue interpretative 
    bulletins interpreting the standards under the authority of Sec. 3280.9 
    of this chapter or interpreting the provisions of this part. Issuance 
    of interpretative bulletins shall be treated as rulemaking under this 
    subpart C unless the Secretary deems such treatment not to be in the 
    public interest and the interpretation is not otherwise required to be 
    treated as rulemaking. All interpretative bulletins shall be indexed 
    and made available to the public at the Manufactured Housing Standards 
    Division and a copy of the index shall be published periodically in the 
    Federal Register.
    
    Subpart E--Manufacturer Inspection and Certification Requirements
    
        11. Section 3282.205 is amended by revising paragraphs (a), (c), 
    and (d), to read as follows:
    
    
    Sec. 3282.205  Certification requirements.
    
        (a) Every manufacturer shall make a record of the serial number of 
    each manufactured home produced, and a duly authorized representative 
    of the manufacturer shall certify that each manufactured home has been 
    constructed in accordance with the Federal standards. The manufacturer 
    shall furnish a copy of that certification to the IPIA for the purpose 
    of determining which manufactured homes are subject to the notification 
    and correction requirements of subpart I of this part.
    * * * * *
        (c) Every manufacturer of manufactured homes shall furnish to the 
    dealer or distributor of each of its manufactured homes a certification 
    that such manufactured home, to the best of the manufacturer's 
    knowledge and belief, conforms to all applicable Federal construction 
    and safety standards. This certification shall be in the form of the 
    label provided by the IPIA under Sec. 3282.362(c)(2). The label shall 
    be affixed only at the end of the last stage of production of the 
    manufactured home.
        (d) The manufacturer shall apply a label required or allowed by the 
    regulations in this part only to a manufactured home that the 
    manufacturer knows by its inspections to be in compliance with the 
    standards.
        12. Section 3282.206 is amended in paragraph (b) by capitalizing 
    the word ``Extraordinary'', and by revising paragraph (c) to read as 
    follows:
    
    
    Sec. 3282.206  Disagreement with IPIA or DAPIA.
    
    * * * * *
        (c) The DAPIA or IPIA otherwise resolves the disagreement.
        13. Section 3282.207 is revised to read as follows:
    
    
    Sec. 3282.207  Manufactured home consumer manual requirements.
    
        (a) The manufacturer shall provide a consumer manual with each 
    manufactured home that enters the first stage of production on or after 
    July 31, 1977, pursuant to section 617 of the National Manufactured 
    Housing Construction and Safety Standards Act, 42 U.S.C. 5416.
        (b) The manufacturer shall provide the consumer manual by placing a 
    manual in each such manufactured home before the manufactured home 
    leaves the manufacturing plant. The manual shall be placed in a 
    conspicuous location in a manner likely to assure that it is not 
    removed until the purchaser removes it.
        (c) If a manufacturer is informed that a purchaser did not receive 
    a consumer manual, the manufacturer shall provide the appropriate 
    manual to the purchaser within 30 days of being so informed.
        (d) No dealer or distributor may interfere with the distribution of 
    the consumer manual. When necessary, the dealer or distributor shall 
    take any appropriate steps to assure that the purchaser receives a 
    consumer manual from the manufacturer.
        (e) If a consumer manual or a change or revision to a manual does 
    not substantially comply with the guidelines issued by HUD, the 
    manufacturer shall cease distribution of the consumer manual and shall 
    provide a corrected manual for each manufactured home for which the 
    inadequate or incorrect manual or revision was provided. A manual 
    substantially complies with the guidelines if it presents current 
    material on each of the subjects covered in the guidelines in 
    sufficient detail to inform consumers about the operation, maintenance, 
    and repair of the manufactured home. An updated copy of guidelines 
    published in the Federal Register on March 15, 1996 can be obtained by 
    contacting the Office of Manufactured Housing and Regulatory Functions, 
    Department of Housing and Urban Development, 451 Seventh Street, S.W., 
    Washington, D.C., 20410; the Information Center, Department of Housing 
    and Urban Development, Room 1202, 451 Seventh Street, S.W., Washington, 
    D.C., 20410; or any HUD Area or State Office.
    
    Subpart G--State Administrative Agencies
    
        14. Section 3282.302(e) is revised to read as follows:
    
    
    Sec. 3282.302  State plan.
    
    * * * * *
        (e) Exclusive IPIA status. (1) A State that wishes to act as an 
    exclusive IPIA under Sec. 3282.352 shall so indicate in its State Plan 
    and shall include in the information provided under paragraph (b)(11) 
    of this section the fee schedule for the State's activities as an IPIA 
    and the relationship between the proposed fees and the other 
    information provided under paragraph (b)(11) of this section. If the 
    Secretary determines that the fees to be charged by a State acting as 
    an
    
    [[Page 10861]]
    
    IPIA are unreasonable, the Secretary shall not grant the State status 
    as an exclusive IPIA.
        (2) The State shall also demonstrate in its State Plan that it has 
    the present capability to act as an IPIA for all plants operating in 
    the State.
    
    Subpart H--Primary Inspection Agencies
    
    15. Section 3282.352(c) is revised to read as follows:
    
    
    Sec. 3282.352   State exclusive IPIA functions.
    
    * * * * *
        (c) A State's status as an exclusive IPIA shall commence upon 
    approval of the State Plan Application and acceptance of the State's 
    submission under Sec. 3282.355. Where a private organization accepted 
    or provisionally accepted as an IPIA under this subpart H is operating 
    in a manufacturing plant within the State on the date the State's 
    status as an exclusive IPIA commences, the private organization may 
    provide IPIA services in that plant for 90 days after that date.
    
    
    Sec. 3282.353   [Amended]
    
        16. Section 3282.353 is amended by:
        a. Adding the word ``and'' at the end of paragraph (a)(6);
        b. Removing the phrase ``; and'' at the end of paragraph (a)(7), 
    and adding in their place a period; and
        c. Removing paragraphs (a)(8) and (f).
    
    
    Sec. 3282.355  [Amended]
    
        17. Section 3282.355 is amended by removing paragraph (b) and 
    redesignating paragraphs (c) and (d) as paragraphs (b) and (c), 
    respectively.
    
    
    Sec. 3282.361  [Amended]
    
        18. Section 3282.361 is amended by removing paragraph (d) and 
    redesignating paragraph (e) as paragraph (d).
        19. Section 3282.362 is amended by:
        a. Removing paragraph (b)(5); and
        b. Revising paragraphs (c)(2)(i)(B) and (C) and the introductory 
    text of paragraph (c)(2)(ii), to read as follows:
    
    
    Sec. 3282.362  Production Inspection Primary Inspection Agencies 
    (IPIAs).
    
    * * * * *
        (c) * * *
        (2) * * *
        (i) * * *
        (B) A permanent label shall be affixed to each transportable 
    section of each manufactured home for sale or lease to a purchaser or 
    lessor in the United States in such a manner that removal will damage 
    the label so that it cannot be reused. This label is provided by the 
    IPIA and is separate and distinct from the data plate that the 
    manufacturer is required to provide under Sec. 3280.5.
        (C) The label shall read as follows:
    
        As evidenced by this label No. ABC 000 001, the manufacturer 
    certifies to the best of the manufacturer's knowledge and belief 
    that this manufactured home has been inspected in accordance with 
    the requirements of the Department of Housing and Urban Development 
    and is constructed in conformance with the Federal Manufactured Home 
    Construction and Safety Standards in effect on the date of 
    manufacture. See data plate.
    * * * * *
        (ii) Label control. The labels used in each plant shall be under 
    the direct control of the IPIA acting in that plant. Only the IPIA 
    shall provide the labels to the manufacturer. The IPIA shall assure 
    that the manufacturer does not use any other label to indicate 
    conformance to the standards.
    * * * * *
    
    PART 3283--[REMOVED]
    
        20. Part 3283 is removed.
    
        Dated: March 4, 1996.
    Nicolas P. Retsinas,
    Assistant Secretary for Housing-Federal Housing Commissioner.
    
        [Note. The following guide will not be codified in the Code of 
    Federal Regulations.]
    
    U.S. Department of Housing and Urban Development Manufactured Home 
    Consumer Manual Guide
    
    A. General
    
    1. Scope
        These guidelines set out the requirements that shall be met by 
    manufactured home manufacturers and dealers in order to assure that 
    consumer manuals containing appropriate information are provided to 
    manufactured home purchasers as required by section 617 of the National 
    Manufactured Housing Construction and Safety Standards Act, 42 U.S.C. 
    5416. This section sets out the definitions applicable to the 
    guidelines.
    2. Definitions
        (a) Anchor means to secure to the ground by straps, cables, turn 
    buckles, chains, ties, or other devices designed to prevent the 
    manufactured home from being unstable in high winds or other conditions 
    that might cause an unsecured home to overturn or otherwise suffer 
    damage because it is not adequately secured to the ground.
        (b) Component means any part, material or appliance which is built 
    in as an integral part of the manufactured home during the 
    manufacturing process.
        (c) Condensation means the process of reducing a gas or vapor to a 
    liquid form which is evidenced in a manufactured home by the 
    accumulation of moisture on windows and other surfaces.
        (d) Consumer manual means a document or series of documents 
    included in a package that substantially complies with the guideline 
    set out in section C of these guidelines.
        (e) Dealer means any person engaged in the sale, leasing or 
    distribution of new manufactured homes primarily to persons who, in 
    good faith, purchase or lease a manufactured home for purposes other 
    than resale.
        (f) Diagram means a drawing or plan that outlines and explains the 
    parts and operation of a major system in the manufactured home, such as 
    the plumbing, electrical, heating, cooling and ventilating systems.
        (g) Distributor means any person engaged in the sale and 
    distribution of manufactured homes for resale.
        (h) Federal Manufactured Home Construction and Safety Standard 
    means a reasonable standard for the construction, design and 
    performance of a manufactured home which meets the needs of the public, 
    including the need for quality, durability and safety.
        (i) Major systems means those functional units that are supplied 
    with the manufactured home during the manufacturing process and 
    includes the structural, electrical, plumbing and heating and cooling 
    systems of the manufactured home.
        (j) Manufacturer means any person engaged in manufacturing or 
    assembling manufactured homes, including any person engaged in 
    importing manufactured homes for resale, except that it does not 
    include a person engaged in manufacturing modular homes that are exempt 
    from the Federal Manufactured Home Construction and Safety Standards 
    under 24 CFR 3280.7.
        (k) Manufactured home means as the term is defined in 24 CFR 
    3280.2.
        (l) Purchaser means the first person purchasing a manufactured home 
    in good faith for purposes other than resale.
        (m) Written warranty means: (1) Any written affirmation of fact or 
    written promise made in connection with the sale of a consumer product 
    by a supplier to a buyer which relates to the nature of the material or 
    workmanship and affirms or promises that such material or workmanship 
    is defect free or will meet a specified level of performance over a 
    specified period of time; or (2) any undertaking in writing in 
    connection with the sale by a supplier of a consumer product to refund, 
    repair, replace, or take other remedial action with respect to such 
    product in the event that such product fails to meet the
    
    [[Page 10862]]
    specifications set forth in the undertaking, which written affirmation, 
    promise or undertaking becomes part of the basis of the bargain between 
    a supplier and a buyer for purposes other than resale of such product.
    3. Manual Requirement; Effective Date
        A consumer manual must be provided with each manufactured home that 
    enters into the first stage of production on or after July 31, 1977, 
    pursuant to 24 CFR 3282.207 of the Manufactured Home Procedural and 
    Enforcement Regulations. The manual shall be provided as set out in 
    section B of these guidelines.
    
    B. Distribution and Adequacy of the Manual
    
    1. Scope
        This section sets out the manner in which consumer manuals are to 
    be provided to consumers and procedures for assuring that consumer 
    manuals are correctly distributed. It also sets out requirements to be 
    met by manufacturers if manuals are found to be inadequate.
    2. Manual Distribution
        (a) Each manufacturer shall provide a consumer manual with each 
    manufactured home that enters the first stage of production on or after 
    July 31, 1977, by placing a manual in each such manufactured home 
    before the manufactured home leaves the manufacturing plant. The manual 
    shall be placed in a conspicuous location in a manner likely to assure 
    that it is not removed until the purchaser removes it.
        (b) If a manufacturer is informed that a purchaser did not receive 
    a consumer manual, the manufacturer shall provide the appropriate 
    manual to the purchaser within 30 days of being so informed.
        (c) No dealer or distributor may interfere with the distribution of 
    the consumer manuals. Where necessary, the dealer or distributor shall 
    take any appropriate steps to assure that the purchaser receives a 
    consumer manual from the manufacturer.
    3. Inadequate Consumer Manuals
        If a consumer manual or a change or revision to a manual does not 
    substantially comply with section C, the manufacturer shall cease 
    distribution of the consumer manual and shall provide a corrected 
    manual for each manufactured home, for which the inadequate or 
    incorrect manual or revision was provided. A manual substantially 
    complies with section C if it presents current material on each of the 
    subjects covered in section C in sufficient detail to inform consumers 
    about the operation, maintenance, and repair of the manufactured home.
    
    C. Guidelines
    
    1. Scope and Purpose
        (a) The purpose of this section is to provide guidelines to 
    manufacturers which will assure that manufactured home consumers are 
    given information concerning proper home maintenance, avoidance of 
    potential safety hazards, and remedies which may be available under the 
    Act.
        (b) No precise format is required. The information may be offered 
    in a single document or in several documents, all of which are part of 
    a single package. The information shall be presented in a clear and 
    understandable manner and an index should be prepared so that consumers 
    can readily locate any information provided as part of the package.
    2. Statements About the Act and Its Protections
        (a) The manual should include an explanation of the National 
    Manufactured Housing Construction and Safety Standards Act and of the 
    Federal manufactured home construction and safety standards. The 
    explanation should discuss the protections offered by the standards, 
    the limitations of the standards and the remedies available to the 
    consumer under the Act. The explanation should use the following 
    language or its equivalent:
        The National Manufactured Housing Construction and Safety Standards 
    Act of 1974 was enacted to improve the quality and durability of 
    manufactured homes and to reduce the number of injuries and deaths 
    caused by manufactured home accidents. The Federal manufactured home 
    construction and safety standards issued under the Act govern how 
    manufactured homes must be constructed. Your manufactured home was 
    manufactured to the standards. The standards cover the planning and 
    construction of your home. They were developed so that you would have a 
    safe, durable home. The standards do not cover such aspects of the 
    manufactured home as furniture, carpeting, certain appliances, cosmetic 
    features of the home and additional rooms or sections of the home that 
    you have added. The Act provides that if for some reason your 
    manufactured home is found not to meet the standard or to contain 
    safety hazards, the manufacturer of the manufactured home must notify 
    you of that fact. In some cases where there is a safety hazard 
    involved, the Act requires the manufacturer to correct the manufactured 
    home at no cost to you or to replace the home or refund all or a 
    percentage of the purchase price. If you believe you have a problem for 
    which the Act provides a remedy, you should contact the manufacturer, 
    the manufactured home agency in your state (see the list on page of 
    this manual), or the Department of Housing and Urban Development. Our 
    address is (state the manufacturer's address). We recommend that you 
    contact us first, because that is the quickest way to have your 
    complaint considered.
        (b) The manual should state the location of the data plate and 
    should explain the significance of all the information printed on it, 
    particularly the significance of the zone information and the wind and 
    roof load maps.
        (c) The manual should include a list of the State Administrative 
    Agencies (SAAs) that have been approved or conditionally approved under 
    24 CFR 3282.305 of the Manufactured Home Procedural and Enforcement 
    Regulations. The list should include all SAAs listed in this section as 
    of the date the manual or revision is prepared for printing. 
    Manufacturers may contact HUD for any update to the SAA list that 
    appears in this section by sending a stamped, self-addressed envelope 
    to: List Control, Office of Manufactured Housing and Regulatory 
    Functions, Room 4224, U.S. Department of Housing and Urban Development, 
    451 Seventh Street, SW., Washington, DC 20410-8000.
        The following States have been approved or conditionally approved 
    to act as SAAs:
    
    State, Agency Name, Address and Telephone Number
    
    Alabama--Alabama Manufactured Housing Commission, 908 South Hull 
    Street, Montgomery, AL 36130-3401, (205) 261-4036
    Arizona--Office of Manufactured Housing, 801 E. Jefferson, Suite 202, 
    Phoenix, AZ 85034, (602) 255-4072
    Arkansas--Manufactured Home Commission, 1022 High Street, Suite #505, 
    Little Rock, AR 72202, (501) 371-1641
    California--Manufactured Housing Section, Division of Codes & 
    Standards, Department of Housing and Community Development, P.O. Box 
    31, Sacramento, CA 95801, (916) 323-9803
    Colorado--Division of Housing, Department of Local Affairs, 1313 
    Sherman Street, Room 419, Denver, CO 80203, (303) 866-2033
    Florida--Department of Highway Safety and Motor Vehicles, Division of 
    Motor Vehicles, Neil Kirkman Building,
    
    [[Page 10863]]
    Room A 129, 2900 Apalachee Parkway, Tallahassee, FL 32301-8209, (904) 
    488-7657
    Georgia--State Fire Marshal's Office, Manufactured Homes Division, 620 
    West Tower, No. 2 Martin Luther King, Jr. Drive, Atlanta, GA 30334, 
    (404) 656-2064
    Idaho--Department of Labor and Industrial Service, 277 North Sixth 
    Street, Boise, ID 83720, (208) 334-3896
    Indiana--Department of Fire Prevention and Building Safety, 
    Industrialized Building Systems/Code Enforcement Div., 1099 N. Meridian 
    Street, Suite 900, Indianapolis, IN 46204, (317) 232-1405
    Iowa--Building Code Bureau, Division of the State Fire Marshall, 
    Department of Public Safety, Wallace State Office Building, Des Moines, 
    IA 50319, (515) 281-3807
    Kentucky--Department of Housing, Building and Construction, U.S. 127 
    South Building, Frankfort, KY 40601, (502) 564-3626
    Louisiana--Mobile Home Division, 1033 North Lobdell Avenue, Baton 
    Rouge, LA 70806, (504) 925-4911
    Maine--Manufactured Housing Board, Department of Professional and 
    Financial Regulation, State House Station 32, Augusta, ME 04333, (207) 
    289-2955
    Maryland--Building Codes Administration--DECD, Department of Economic 
    and Community Development, 45 Calvert Street, Annapolis, MD 21401, 
    (301) 974-2701
    Michigan--Department of Commerce, Mobile Home Division, Corporation & 
    Securities Bureau, 6546 Mercantile Way, P.O. Box 30222, Lansing, MI 
    48909, (517) 334-6203
    Minnesota--Department of Administration, Building Codes and Standards 
    Division, 408 Metro Square Building, 7th and Robert Streets, St. Paul, 
    MN 55101, (612) 296-4628
    Mississippi--Office of the Fire Marshall, 416 Woolfolk Building, P.O. 
    Box 22542, Jackson, MS 39205-2542, (601) 359-1061
    Missouri--Public Service Commission, Mobile Homes and Recreational 
    Vehicles Division, P.O. Box 360, Jefferson City, MO 65102, (314) 751-
    7119
    Nebraska--Department of Health, Division of Housing and Environmental 
    Health, 301 Centennial Mall South, P.O. Box 95007, Lincoln, NE 68509, 
    (402) 471-2541
    Nevada--Manufactured Housing Division, Nevada Department of Commerce, 
    Capitol Complex, Carson City, NV 89710, (702) 885-4298
    New Jersey--Department of Community Affairs, Division of Housing and 
    Development--BCCE, CN 805 Manufactured Housing Construction, Trenton, 
    NJ 08625-0804, (609) 292-7142
    New Mexico--Regulation and Licensing Department, Manufactured Housing 
    Division, Santa Fe, NM 87503, (505) 827-6340
    New York--Housing and Building Codes Bureau, Division of Housing and 
    Community Renewal, One Fordham Plaza, Bronx, NY, 10458, (212) 519-5273 
    (Kessner); (212) 488-4910 (Jordan)
    North Carolina--Department of Commerce, Council, Boards & Government 
    Relations Division, P.O. Box 26307, Raleigh, NC 27611, (919) 733-3901
    Oregon--Department of Commerce, Building Codes Division, MHRV Section, 
    401 Labor and Industries Building, Salem, OR 97310, (503) 378-8451
    Pennsylvania--Division of Manufactured Housing, Department of Community 
    Affairs, Room 509, Forum Building, Harrisburg, PA 17120, (717) 787-9682
    Rhode Island--Department of Community Affairs, Building Commission, 
    1270 Mineral Spring Avenue, North Providence, RI 02904, (401) 277-3033
    South Carolina--Manufactured Housing Section, Budget and Control Board, 
    Division of General Services, 300 Gervais Street, Columbia, SC 29201, 
    (803) 758-5378
    South Dakota--Department of Commerce and Regulation, Commercial 
    Inspection, 118 W. Capitol, Pierre, SD 57501, (605) 773-3697
    Tennessee--Department of Commerce and Insurance, Division of Fire 
    Prevention, 1808 West End Building, Suite 500, Nashville, TN 37219-
    5319, (615) 741-7170
    Texas--Texas Department of Labor and Standards, P.O. Box 12157, Austin, 
    TX 78711, (512) 463-5520
    Utah--Department of Business Regulation, Contractors Division--MH & RV, 
    P.O. Box 45802, Salt Lake City, UT 84145, (801) 530-6727
    Virginia--Division of Building Regulatory Services, Department of 
    Housing and Community Development, 205 N. 4th Street, Room M-4, 
    Richmond, VA 23219, (804) 786-4846
    Washington--Department of Labor and Industries, Construction Compliance 
    Inspection, 520 S. Water Street, Olympia, WA 98504, (206) 586-0215
    Wisconsin--Department of Industry, Labor and Human Relations, Safety 
    and Building Division, P.O. Box 7969, Madison, WI 53707, (608) 266-1748 
    or (608) 267-7935 (Turner)
    
        (d) The manual should state that the Department of Housing and 
    Urban Development (HUD) is the Federal agency administering the Act and 
    that any questions concerning the Act or a consumer's rights under the 
    Act should be directed to HUD. The manual should advise consumers that 
    in order to contact HUD, they should refer to the Department of Housing 
    and Urban Development under listings for the U.S. Government in their 
    telephone book. In calling or writing the local HUD office, consumers 
    should be directed to address their inquiry or call to the ``Consumer 
    Complaint Officer'' in their local HUD or FHA Office. Consumers should 
    be advised that they may contact the Central HUD Office directly by 
    writing or calling the Office of Manufactured Housing and Regulatory 
    Functions, Compliance Branch, telephone (202) 755-6920 or (202) 755-
    6584. (These are not toll-free numbers.)
    3. Written Warranties
        (a) The manual should state whether or not the manufacturer 
    provides a written warranty covering the manufactured home. If the 
    manufacturer provides written warranty, the manual should explain in 
    clear and understandable language what protections the warranty 
    provides and how the consumer can obtain service under the warranty. 
    The manual should specifically and clearly describe:
        (1) What repairs the manufacturer will pay for under the warranty 
    and what repairs, if any, the manufacturer will not pay for;
        (2) How long the warranty protection lasts;
        (3) What the consumer must do to maintain warranty protections, 
    including any services that the consumer must obtain or provide at the 
    consumer's expense;
        (4) What actions or conditions could void the warranty; and
        (5) Exactly what steps the consumer should take to obtain warranty 
    service, including any informal dispute settlement procedures offered 
    by the manufacturer prior to pursuit of legal remedies.
        (b) The manual should state what appliances, components or other 
    aspects of the manufactured home are not covered by the manufacturer's 
    written warranty and identify any warranty certificates which have been 
    provided for any of these items.
    
    [[Page 10864]]
    
        (c) Compliance with paragraph (a) of this section may be obtained 
    by including, as a document of the consumer manual, the manufacturer's 
    written warranty statement that meets the requirements issued by the 
    Federal Trade Commission under the Magnuson-Moss Warranty Federal Trade 
    Commission Improvement Act, 15 U.S.C. 2301 et seq. (Magnuson-Moss). 
    However, this section is not to be construed as governing the making or 
    content of written warranties on manufactured homes. Any such written 
    warranties must comply with the Magnuson-Moss requirements.
    4. Setting Up and Anchoring the Manufactured Home
        (a) The manual should include an explanation of procedures 
    recommended to be followed in setting up the manufactured home. The 
    explanation should include: (1) Site preparation procedures; (2) the 
    types of foundations for which the home was designed; (3) procedures 
    for leveling the home; (4) procedures for connecting the utilities; and 
    (5) suggested anchoring procedures for wind-upset and sliding. If 
    practicable, the manual should include a list of sources the consumer 
    may contact to obtain set-up and anchoring services. The manual should 
    advise the consumer of the differing requirements for manufactured 
    homes located in ``hurricane'' and ``non hurricane'' wind zones.
        (b) The manual should include a recommendation that the home be 
    professionally inspected after it is set up to assure that it has not 
    been damaged in transit and is properly set up.
    5. Safety
        (a) Fire safety. The manual should state the location of the 
    following safety features required by the standards and explain how 
    they are operated: (1) Smoke detectors; (2) exit doors and bedroom 
    egress windows; and (3) any other emergency escape systems.
        (b) Wind safety. The manual should state that in order for the 
    manufactured home to be secure against high winds, it should be 
    anchored to the ground. The manual should caution the owner that if the 
    manufactured home is not properly anchored, it is highly susceptible to 
    wind damage when high wind conditions occur.
        (c) Systems safety. The manual should explain how the electric, 
    plumbing, and heating systems of the manufactured home may be rendered 
    unsafe through improper use or treatment and what hazards may result. 
    The manual should state the location and purpose of utility shut-off 
    valves and switches and how they should be used to prevent hazards.
    6. Maintenance
        (a) The manual should contain a detailed explanation of how the 
    consumer should care for the manufactured home, including a simple 
    maintenance and inspection chart that can be used as a checklist by the 
    consumer. The explanation should describe any aspects of operation and 
    maintenance that are unique to manufactured homes, and it should 
    emphasize that the consumer is responsible for adequate maintenance. 
    The explanation should include a list of components, appliances or 
    major systems for which an operational manual or instructions were 
    provided by the manufacturer of the item and a statement that the 
    consumer should make sure that those manuals or instructions were 
    provided with the manufactured home.
        (b) The manual should discuss the possible consequences of 
    inadequate maintenance or faulty operation. In particular, the manual 
    should discuss problems which may arise from condensation or from 
    inadequate insulation of the piping in the manufactured home and how 
    those problems can be avoided.
        (c) The manual should state the maintenance and repair procedures 
    or types of procedures for which specialized knowledge or skills are 
    required.
        (d) The manual should state how the purchaser can obtain diagrams 
    of the structural, electrical, plumbing and heating, cooling and 
    transportation systems.
    7. Relocating the Manufactured Home
        The manual should identify and explain the factors that the 
    consumer should take into account whenever the manufactured home may be 
    relocated. These should include weight and balance considerations; 
    securing of appliances, furniture, etc.; and recommended conditions of 
    the manufactured home's transportation system (e.g., tires, brakes, 
    axles, wheels, rims, coupling mechanisms). It should recommend that the 
    owner seek professional assistance whenever considering relocating the 
    home.
        8. Insurance
        The manufacturer should recommend that owners of manufactured homes 
    consider acquiring adequate and appropriate insurance. Manufacturers 
    should also advise consumers to contact an insurance company of their 
    choice to obtain information on the types of insurance coverage 
    available and should suggest factors to be considered.
    
    [FR Doc. 96-6163 Filed 3-14-96; 8:45 am]
    BILLING CODE 4210-27-P
    
    

Document Information

Effective Date:
4/15/1996
Published:
03/15/1996
Department:
Housing and Urban Development Department
Entry Type:
Rule
Action:
Final rule.
Document Number:
96-6163
Dates:
April 15, 1996.
Pages:
10858-10864 (7 pages)
Docket Numbers:
Docket No. FR-4025-F-01
RINs:
2502-AG70
PDF File:
96-6163.pdf
CFR: (16)
24 CFR 3282.7(11)
24 CFR 3282.9
24 CFR 3282.11
24 CFR 3282.53
24 CFR 3282.54
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