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AN ACT

RELATING TO MANUFACTURED HOUSING; ENLARGING POWERS AND DUTIES

OF THE MANUFACTURED HOUSING DIVISION OF THE REGULATION AND

LICENSING DEPARTMENT; PROVIDING PENALTIES; AMENDING SECTIONS

OF THE NMSA 1978.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:

Section 1. Section 60-14-4 NMSA 1978 (being Laws 1978,

Chapter 80, Section 1, as amended) is amended to read:

"60-14-4. POWERS AND DUTIES OF DIVISION.--The division

shall:

A. prepare, administer and grade examinations for

licensure under the classification sought by each applicant;

B. issue licenses and certificates of

qualification in accordance with the provisions of the

Manufactured Housing Act;

C. establish and collect fees authorized to be

collected by the division pursuant to the Manufactured

Housing Act;

D. subject to the approval of the committee, adopt

rules and regulations relating to the construction, repair,

modification, installation, tie-down, hookup and sale of all

manufactured homes, which regulations shall be uniform

throughout the state and shall be enforced by inspectors for

the division to insure minimum standards of safety within the

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state and any of its political subdivisions. Ordinances of

any political subdivision of New Mexico relating to gas,

including natural gas, liquefied petroleum gas or synthetic

natural gas; electricity; sanitary plumbing; and installation

or sale of manufactured homes shall not be inconsistent with

any rules, regulations, codes or standards adopted by the

division pursuant to the Manufactured Housing Act;

E. adopt a budget and submit it to the regulation

and licensing department for approval;

F. make an annual report to the superintendent of

regulation and licensing concerning the operations of the

division. The report shall contain the division's

recommendations for legislation that it deems necessary to

improve the licensing and the ethical and technical practices

of the manufactured housing industry and to protect the

public welfare;

G. subject to the approval of the committee, adopt

such rules, regulations, codes and standards as are necessary

to carry out the provisions of the Manufactured Housing Act;

H. prepare a uniform manufacturer's warranty and

require its adoption as a condition of licensure by all

manufacturers of manufactured homes doing business in New

Mexico;

I. subject to the approval of the committee, adopt

by regulation the mobile home construction and safety

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standards contained in the National Mobile Home Construction

and Safety Standards Act of 1974, 42 U.S.C. 5401 et seq., as

amended;

J. subject to the approval of the committee, adopt

by regulation the mobile home procedural and enforcement

regulations, 24 C.F.R. 3282, as amended, promulgated by the

department of housing and urban development pursuant to the

National Mobile Home Construction and Safety Standards Act of

1974, 42 U.S.C. 5401 et seq., as amended;

K. issue permits and provide for a single

inspection of every installation in New Mexico, regardless of

the location;

L. subject to the approval of the committee, adopt

regulations prescribing standards for the installation or use

of electrical wiring; the installation of all fixtures,

plumbing, consumer's gas pipe, including natural gas,

liquefied petroleum gas and synthetic natural gas, appliances

and materials installed in the course of mechanical

installation; and the construction, alteration, installation

and repair of all manufactured homes intended for use in

flood or mudslide areas designated pursuant to Section 3-18-7

NMSA 1978. The regulations shall give due regard to

standards prescribed by the federal insurance administration

pursuant to regulation 1910, Subsection 7(d), 79 Stat. 670,

Section 1361, 82 Stat. 587 and 82 Stat. 5757, all as amended,

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and shall give due regard to physical, climatic and other

conditions peculiar to New Mexico;

M. conduct "inspector schools" so that each

inspector under the division's jurisdiction is capable of

giving a complete one-time inspection for the sufficiency of

unit installation, construction and mechanical and electrical

systems;

N. enter into cooperative agreements with federal

agencies relating to manufactured housing and accept and use

federal grants, matching funds or other financial assistance

to further the purposes of the Manufactured Housing Act. The

division may enter into agreements with municipalities and

counties to provide for the inspection of manufactured homes

by employees of municipalities and counties, to be performed

under the supervision and control of the division. The

division may allow all or a portion of the inspection fee

collected by a local public body to be retained by the local

public body. The portion of the fee retained shall be

determined by the division and shall be related to the

completeness of the inspection performed;

O. administer oaths through any member of the

division, the director or a hearing officer;

P. subject to the approval of the committee, adopt

rules and regulations for the conducting of hearings and the

presentation of views, consistent with the regulations

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promulgated by the department of housing and urban

development, 24 C.F.R. 3282.151 through 3282.156, as amended;

Q. subject to the approval of the committee, adopt

by regulation a requirement that dealers, repairmen and

installers provide to consumers warranties on their product

and work and prescribe by regulation minimum requirements of

such warranties;

R. coordinate with and qualify inspectors for any

multiple inspection program provided by the construction

industries division of the regulation and licensing

department for inspection of manufactured homes;

S. subject to the approval of the committee, adopt

regulations, codes and standards for manufactured homes used

for nonresidential purposes; provided such manufactured homes

being used for nonresidential purposes on May 18, 1988 shall

not be required to meet Uniform Building Code standards,

except as to requirements for access to the handicapped, but

manufactured homes being used for nonresidential purposes

after May 18, 1988 shall be required to meet Uniform Building

Code standards. None of the provisions contained in this

subsection shall apply to retailers licensed by the motor

vehicle division of the taxation and revenue department; and

T. with the approval of the superintendent of

regulation and licensing, employ such personnel as the

director deems necessary for the exclusive purposes of

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investigating violations of the Manufactured Housing Act,

enforcing Section 60-14-17 NMSA 1978 and instituting legal

action in the name of the division to enforce the provisions

of Section 60-14-19 NMSA 1978."

Section 2. Section 60-14-19 NMSA 1978 (being Laws 1983,

Chapter 295, Section 24) is amended to read:

"60-14-19. PENALTIES.--

A. Any person who knowingly and willfully violates

a provision of the Manufactured Housing Act or any rule,

regulation or administrative order of the committee or

division in a manner that threatens the health or safety of

any purchaser or consumer is guilty of a misdemeanor and on

conviction shall be fined not more than one thousand dollars

($1,000) or shall be confined in the county jail not longer

than one year or both.

B. In any action brought to enforce any provision

of the Manufactured Housing Act, the division, upon petition

to the court, may recover on behalf of the state a civil

penalty not to exceed one thousand dollars ($1,000) for each

violation, except that the maximum civil penalty may not

exceed one million dollars ($1,000,000) for any related

series of violations occurring within one year from the date

of the first violation.

C. Failure by a manufacturer or dealer to comply

with the warranty provisions of the Manufactured Housing Act

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or any implied warranties or the violation of any provision

of the Manufactured Housing Act by any person is an unfair or

deceptive trade practice in addition to those practices

defined in the Unfair Practices Act and is actionable

pursuant to the Unfair Practices Act. As such, the venue

provisions and all remedies available in the Unfair Practices

Act apply to and are in addition to the remedies in the

Manufactured Housing Act.

D. The director may issue a license to an

applicant who at any time within one year prior to making an

application has acted as an unlicensed dealer, broker,

salesperson, repairman, manufacturer or installer in New

Mexico without a license as required by the division if:

(1) the applicant in addition to all other

requirements for licensure pays an additional fee as follows:

(a) in an amount up to ten percent of

the contract price or the value of the unlicensed work in the

discretion of the committee; or

(b) if the applicant has bid or offered

a price on a project and was not the successful bidder or

offeror, the fee shall be at least one percent but not more

than five percent of the total bid amount in the discretion

of the committee; and

(2) the director is satisfied that no

incident of unlicensed work:

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(a) caused monetary damage to any

person; or

(b) resulted in an unresolved consumer

complaint being filed against the applicant.

E. Any unlicensed person who has performed

unlicensed work may settle the claims against that unlicensed

person without becoming licensed if the administrative claims

arise from that person's first offense and that person pays

an administrative fee calculated pursuant to Paragraph (1) of

Subsection D of this section. In addition to the

administrative fee, an additional ten percent of the amount

of the administrative fee shall be assessed as a service fee.

F. If the total fee to be paid by the unlicensed

person pursuant to the provisions of Subsection D or E of this

section is twenty-five dollars ($25.00) or less, the fee may

be waived by the director."