Notice of Hearing
(Licenses, Certifications, Ch. Comm 5
(Manufactured Homes, etc., Chs. Comm 95
NOTICE IS HEREBY GIVEN that pursuant to ss. 101.951
, Stats., the Department of Commerce will hold a public hearing on proposed rules under sections Comm 5.323
and chs. Comm 96
, relating to manufactured home dealer and salesperson licenses.
The public hearing will be held as follows:
Date and Time
Tuesday, January 18, 2005 at 10:00 a.m.
Room 3B, Thompson Commerce Center
201 West Washington Avenue
Interested persons are invited to appear at the hearing and present comments on the proposed rules. Persons making oral presentations are requested to submit their comments in writing. Persons submitting comments will not receive individual responses. The hearing record on this proposed rulemaking will remain open until February 1, 2005
, to permit submittal of written comments from persons who are unable to attend the hearing or who wish to supplement testimony offered at the hearing. Written comments should be submitted to Ronald Acker, at the Department of Commerce, P.O. Box 2689, Madison, WI 53701-2689, or Email at firstname.lastname@example.org
This hearing is held in accessible facility. If you have special needs or circumstances that may make communication or accessibility difficult at the hearing, please call (608) 266-8741 or (608) 264-8777 (TTY) at least 10 days prior to the hearing date. Accommodations such as interpreters, English translators, or materials in audio tape format will, to the fullest extent possible, be made available upon a request from a person with a disability.
Analysis of Proposed Rules
, Stats., requires the Department of Commerce to issue licenses to and regulate manufactured home dealers through the promulgation of administrative rules. Chapters Comm 96
currently contain the required rules for the licensure and regulation of manufactured home dealers. Section 101.952
, Stats., requires the department to issue licenses to and regulate manufactured home salespersons through the promulgation of administrative rules. Chapter Comm 98
currently contains the required rules for the licensure and regulation of manufactured home salespersons.
The proposed rules repeal chapters Comm 96, 97 and 98 and create new sections in chapter Comm 5 for the licensure and regulation of manufactured home dealers and salespersons. The licensure fees currently specified in chapter Comm 98 are also being moved, without change, to chapter Comm 5.
In moving the administrative rules from chapters Comm 96, 97 and 98 into chapter Comm 5, some changes are being proposed. Several changes deal with the use of new department forms. An existing Note in section Comm 5.01
indicates how department forms may be obtained. The following listing is a summary of the major changes contained in the proposed rules.
1. Deleting the requirement that the branch and sublot must be in the same municipality as the main sales office. [Comm 5.003 (6m) and (48e)]
2. Increasing the term of the license from 2 years to 4 years for both the dealer license and the salesperson license. [Comm 5.06 Table 5.06]
3. Deleting the dealer license application requirements for asset reporting, liability reporting and net worth reporting, and requiring the use of a department form for submittal of financial information. [Comm 5.323 (2) (d) 2.]
4. The minimum net worth or surety bond requirements for the dealer license are revised and separated into broker and non-broker categories, and significantly increased for the non-broker. [Comm 5.323 (3) (a)]
5. Deleting the list of items to be included on a purchase contract and requiring the use of a department form for the purchase contract. [Comm 5.323 (6) (b)]
6. Requiring the use of a department form when a manufactured home dealer lists or offers to sell a used manufactured home on consignment. [Comm 5.323 (7) (a)1.]
7. Adding a rule requiring the dealer to have written verification of a dealership arrangement or an established relationship with a manufacturer to sell and advertise the manufacturer's new manufactured homes. [Comm 5.323 (9) (f) 1.]
8. Adding a rule requiring a manufactured home salesperson to obtain a salesperson license for each manufactured home dealer employing the manufactured home salesperson. [Comm 5.325 (1) (b)]
An Internet-based search of the Code of Federal Regulations
(CFR) did not find any existing federal regulations relating to the licensure of manufactured home dealers and salespersons. Title 24 CFR Part 3282
Subpart F contains requirements for dealer responsibilities, but does not address licensing of dealers.
An Internet-based search of the 2003 and 2004 issues of the Federal Register did not find any proposed regulations relating to the licensure of manufactured home dealers and salespersons.
An Internet-based search of adjacent states' rules found the following regulations that include requirements relating to the licensure of manufactured home dealers and salespersons.
•Illinois has no state regulations applying to manufactured home dealer and salesperson licenses.
•Iowa has state regulations that require anyone engaged in the business of selling mobile homes or manufactured homes to obtain a mobile home retailer's license, administered by the Department of Transportation. The regulations are very basic. A $50,000 surety bond is required, and a license must be obtained for each county in which the dealer maintains a place of business.
Michigan has extensive regulations applying to the licensure of manufactured home dealers, administered by the Department of Labor and Economic Growth. The regulations are very detailed and comprehensive, covering areas such as criminal record check, surety bond, sales location, advertising, recordkeeping, purchase agreements, prohibited business practices, and broker responsibilities.
Minnesota has state regulations applying to the licensure of manufactured home dealers, administered by the Department of Administration. The regulations are very general, covering areas such as application, place of business, manufacturer's sale agreement, recordkeeping, salespersons, and dealer responsibilities.
The proposed rules have been developed with the assistance of the Manufactured Home Dealers and Salespersons Advisory Council. The members of that citizen advisory council are as follows:
Russ Gilson WI Housing Alliance (Real estate agent)
Bart Huntington WI Housing Alliance
Tom Palecek WI Housing Alliance (Manufacturer)
Allen Schwoerer WI Housing Alliance (Installer)
Mark Thiede WI Housing Alliance (Dealer)
Gary Wegner WI Housing Alliance (Salesperson)
Lynn Wehner WI Housing Alliance (Lender/mortgage
Steve Wetts WI Housing Alliance (Salesperson)
Kathleen Zurawski USDA Rural Development (Public)
Initial Regulatory Flexibility Analysis
1. Types of small businesses that will be affected by the rules.
The proposed rules will affect any businesses that sell manufactured homes.
2. Reporting, bookkeeping and other procedures required for compliance with the rules.
The proposed rules are an update and consolidation of existing rules. There are no new reporting, bookkeeping or other procedures required for compliance with the rules.
3. Types of professional skills necessary for compliance with the rules.
There are no types of professional skills necessary for compliance with the proposed rules.
4. Rules have a significant economic impact on small businesses.
Yes, rules submitted to Small Business Regulatory Review Board
Notice is hereby given that the Department has considered the environmental impact of the proposed rules. In accordance with chapter Comm 1, the proposed rules are a Type III action. A Type III action normally does not have the potential to cause significant environmental effects and normally does not involve unresolved conflicts in the use of available resources. The Department has reviewed these rules and finds no reason to believe that any unusual conditions exist. At this time, the Department has issued this notice to serve as a finding of no significant impact.