101ST GENERAL ASSEMBLY
State of Illinois
2019 and 2020
SB1602

 

Introduced 2/15/2019, by Sen. Elgie R. Sims, Jr.

 

SYNOPSIS AS INTRODUCED:
 
625 ILCS 5/5-101.2

    Amends the Illinois Vehicle Code. Changes the definition of "community-based manufactured home dealer" to include a person who buys a new manufactured home or park model that is located within the manufactured home community pursuant to a franchise agreement or similar agreement with a manufacturer, or a used manufactured home or park model located within the manufactured home community, with either the new or used manufactured home also able to be located in a different manufactured home community that is owned or managed by the community-based manufactured home dealer. Effective immediately.


LRB101 07777 TAE 52826 b

 

 

A BILL FOR

 

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1    AN ACT concerning transportation.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Illinois Vehicle Code is amended by changing
5Section 5-101.2 as follows:
 
6    (625 ILCS 5/5-101.2)
7    Sec. 5-101.2. Manufactured home dealers; licensing.
8    (a) For the purposes of this Section, the following words
9shall have the meanings ascribed to them as follows:
10        "Community-based manufactured home dealer" means an
11    individual or entity that operates a tract of land or 2 or
12    more contiguous tracts of land which contain sites with the
13    necessary utilities for 5 or more independent manufactured
14    homes for permanent habitation, either free of charge or
15    for revenue purposes, and shall include any building,
16    structure, vehicle, or enclosure used or intended for use
17    as a part of the equipment of the manufactured home park
18    who may, incidental to the operation of the manufactured
19    home community, sell, trade, or buy a manufactured home or
20    park model that is located within the manufactured home
21    community pursuant to a franchise agreement or similar
22    agreement with a manufacturer, or a used manufactured home
23    or park model located within the manufactured home

 

 

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1    community, with either the new or used manufactured home
2    also able to be or is located in a different manufactured
3    home community that is owned or managed by the
4    community-based manufactured home dealer.
5        "Established place of business" means the place owned
6    or leased and occupied by any person duly licensed or
7    required to be licensed as a manufactured home dealer or a
8    community-based manufactured home dealer for the purpose
9    of engaging in selling, buying, bartering, displaying,
10    exchanging, or dealing in, on consignment or otherwise,
11    manufactured homes or park models and for such other
12    ancillary purposes as may be permitted by the Secretary by
13    rule. An established place of business shall include a
14    single or central office in which the manufactured home
15    dealer's or community-based manufactured home dealer's
16    records shall be separate and distinct from any other
17    business or tenant which may occupy space in the same
18    building, except as provided in this Section, and the
19    office shall not be located in a tent, temporary stand,
20    temporary address, room or rooms in a hotel or rooming
21    house, nor the premises occupied by a single or multiple
22    unit residence, unless the multiple unit residence has a
23    separate and distinct office.
24        "Manufactured home" means a factory assembled
25    structure built on a permanent chassis, transportable in
26    one or more sections in the travel mode, incapable of

 

 

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1    self-propulsion, and bears a label indicating the
2    manufacturer's compliance with the United States
3    Department of Housing and Urban Development standards, as
4    applicable, that is without a permanent foundation and is
5    designed for year round occupancy as a single-family
6    residence when connected to approved water, sewer, and
7    electrical utilities.
8        "Manufactured home dealer" means an individual or
9    entity that engages in the business of acquiring or
10    disposing of a manufactured home or park model, either a
11    new manufactured home or park model, pursuant to a
12    franchise agreement with a manufacturer, or used
13    manufactured homes or park models, and who has an
14    established place of business that is not in a residential
15    community-based setting.
16        "Park model" means a vehicle that is incapable of
17    self-propulsion that is less than 400 square feet of
18    habitable space that is built to American National
19    Standards Institute (ANSI) standards that prohibits
20    occupancy on a permanent basis and is built on a vehicle
21    chassis.
22        "Supplemental license" means a license that a
23    community-based manufactured home dealer receives and
24    displays at locations in which the licensee is authorized
25    to sell, buy, barter, display, exchange, or deal in, on
26    consignment or otherwise, manufactured homes or park

 

 

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1    models, but is not the established place of business of the
2    licensee.
3    (b) No person shall engage in this State in the business of
4selling or dealing in, on consignment or otherwise,
5manufactured homes or park models of any make, or act as an
6intermediary, agent, or broker for any manufactured home or
7park model purchaser, other than as a salesperson or to
8represent or advertise that he or she is so engaged, or intends
9to so engage, in the business, unless licensed to do so by the
10Secretary of State under the provisions of this Section.
11    (c) An application for a manufactured home dealer's license
12or a community-based manufactured home dealer's license shall
13be filed with the Secretary of State and duly verified by oath,
14on such form as the Secretary of State may by rule prescribe
15and shall contain all of the following:
16        (1) The name and type of business organization of the
17    applicant, and his or her established and additional places
18    of business, if any, in this State.
19        (2) If the applicant is a corporation, a list of its
20    officers, directors, and shareholders having a 10% or
21    greater ownership interest in the corporation. If the
22    applicant is a sole proprietorship, a partnership, a
23    limited liability company, an unincorporated association,
24    a trust, or any similar form of business organization, the
25    name and residence address of the proprietor, or the name
26    and residence address of each partner, member, officer,

 

 

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1    director, trustee, or manager.
2        (3) The make or makes of new manufactured homes or park
3    models that the applicant will offer for sale at retail in
4    the State.
5        (4) The name of each manufacturer or franchised
6    distributor, if any, of new manufactured homes or park
7    models with whom the applicant has contracted for the sale
8    of new manufactured homes or park models. As evidence of
9    this fact, the application shall be accompanied by a signed
10    statement from each manufacturer or franchised
11    distributor.
12        (5) A statement that the applicant has been approved
13    for registration under the Retailers' Occupation Tax Act by
14    the Department of Revenue, provided that this requirement
15    does not apply to a manufactured home dealer who is already
16    licensed with the Secretary of State, and who is merely
17    applying for a renewal of his or her license. As evidence
18    of this fact, the application shall be accompanied by a
19    certification from the Department of Revenue showing that
20    the Department has approved the applicant for registration
21    under the Retailers' Occupation Tax Act.
22        (6) An application for:
23            (A) a manufactured home dealer's license, when the
24        applicant is selling new manufactured homes or park
25        models on behalf of a manufacturer of manufactured
26        homes or park models, or 5 or more used manufactured

 

 

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1        homes or park models during the calendar year, shall be
2        accompanied by a $1,000 license fee for the applicant's
3        established place of business, and $100 for each
4        additional place of business, if any, to which the
5        application pertains. If the application is made after
6        June 15 in any year, the license fee shall be $500 for
7        the applicant's established place of business, and $50
8        for each additional place of business, if any, to which
9        the application pertains. License fees shall be
10        returnable only in the event that the application is
11        denied by the Secretary of State; or
12            (B) a community-based manufactured home dealer's
13        license, when the applicant is selling 5 or more
14        manufactured homes during the calendar year not on
15        behalf of a manufacturer of manufactured homes, but
16        within a community setting, shall be accompanied by a
17        license fee of $500 for the applicant's established
18        place of business, and $50 for each additional place of
19        business, if any to which the application pertains. If
20        the application is made after June 15 in any year, the
21        license fee shall be $250 for the applicant's
22        established place of business, and $50 for each
23        additional place of business, if any, to which the
24        application pertains. License fees shall be returnable
25        only in the event that the application is denied by the
26        Secretary of State.

 

 

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1            Of the monies received by the Secretary of State as
2        license fees under this paragraph (6), 95% shall be
3        deposited into the General Revenue Fund and 5% into the
4        Motor Vehicle License Plate Fund.
5        (7) A statement that the applicant's officers,
6    directors, and shareholders having a 10% or greater
7    ownership interest therein, proprietor, a partner, member,
8    officer, director, trustee, manager, or other principals
9    in the business, have not committed in the past 3 years any
10    one violation, as determined in any civil, criminal, or
11    administrative hearing proceeding, of any one of the
12    following Acts:
13            (A) the Anti Theft Laws of the Illinois Vehicle
14        Code;
15            (B) the Certificate of Title Laws of the Illinois
16        Vehicle Code;
17            (C) the Offenses against Registration and
18        Certificates of Title Laws of the Illinois Vehicle
19        Code;
20            (D) the Dealers, Transporters, Wreckers, and
21        Rebuilders Laws of the Illinois Vehicle Code;
22            (E) Section 21-2 of the Criminal Code of 2012
23        (criminal trespass to vehicles);
24            (F) the Retailers Occupation Tax Act;
25            (G) the Consumer Finance Act;
26            (H) the Consumer Installment Loan Act;

 

 

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1            (I) the Retail Installment Sales Act;
2            (J) the Motor Vehicle Retail Installment Sales
3        Act;
4            (K) the Interest Act;
5            (L) the Illinois Wage Assignment Act;
6            (M) Part 8 of Article XII of the Code of Civil
7        Procedure; or
8            (N) the Consumer Fraud Act.
9        (8) A bond or certificate of deposit in the amount of
10    $20,000 for each license holder applicant intending to act
11    as a manufactured home dealer or community-based
12    manufactured home dealer under this Section. The bond shall
13    be for the term of the license, for which application is
14    made, and shall expire not sooner than December 31 of the
15    year for which the license was issued. The bond shall run
16    to the People of the State of Illinois, with surety by a
17    bonding or insurance company authorized to do business in
18    this State. It shall be conditioned upon the proper
19    transmittal of all title and registration fees and taxes
20    (excluding taxes under the Retailers' Occupation Tax Act)
21    accepted by the applicant as a manufactured home dealer.
22        (9) Dealers in business for over 5 years may substitute
23    a certificate of insurance in lieu of the bond or
24    certificate of deposit upon renewing their license.
25        (10) Any other information concerning the business of
26    the applicant as the Secretary of State may by rule

 

 

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1    prescribe.
2        (11) A statement that the applicant has read and
3    understands Chapters 1 through 5 of this Code.
4    (d) Any change which renders no longer accurate any
5information contained in any application for a license under
6this Section shall be amended within 30 days after the
7occurrence of the change on a form the Secretary of State may
8prescribe, by rule, accompanied by an amendatory fee of $25.
9    (e) The Secretary of State shall, within a reasonable time
10after receipt, examine an application submitted to him or her
11under this Section, and unless he or she makes a determination
12that the application submitted to him or her does not conform
13with the requirements of this Section or that grounds exist for
14a denial of the application under Section 5-501 of this
15Chapter, grant the applicant an initial manufactured home
16dealer's license or a community-based manufactured home
17dealer's license in writing for his or her established place of
18business and a supplemental license in writing for each
19additional place of business in a form the Secretary may
20prescribe by rule, which shall include the following:
21        (1) the name of the person or entity licensed;
22        (2) if a corporation, the name and address of its
23    officers; if a sole proprietorship, a partnership, an
24    unincorporated association, or any similar form of
25    business organization, the name and address of the
26    proprietor, or the name and address of each partner,

 

 

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1    member, officer, director, trustee or manager; or if a
2    limited liability company, the name and address of the
3    general partner or partners, or managing member or members;
4        (3) in the case of an original license, the established
5    place of business of the licensee;
6        (4) in the case of a supplemental license, the
7    established place of business of the licensee and the
8    additional place of business to which the supplemental
9    license pertains; and
10        (5) if applicable, the make or makes of new
11    manufactured homes or park models to which a manufactured
12    home dealer is licensed to sell.
13    (f) The appropriate instrument evidencing the license or a
14certified copy of the instrument, provided by the Secretary of
15State, shall be kept posted conspicuously in the established
16place of business of the licensee and in each additional place
17of business, if any, maintained by the licensee, unless the
18licensee is a community-based manufactured home dealer, then
19the license shall be posted in the community-based manufactured
20home dealer's central office and it shall include a list of the
21other locations that the community-based manufactured home
22dealer may oversee.
23    (g) Except as provided in subsection (i) of this Section,
24all licenses granted under this Section shall expire by
25operation of law on December 31 of the calendar year for which
26the licenses were granted, unless sooner revoked or cancelled

 

 

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1under the provisions of Section 5-501 of this Chapter.
2    (h) All persons licensed as a manufactured home dealer or a
3community-based manufactured home dealer are required to
4furnish each purchaser of a manufactured home or park model:
5        (1) in the case of a new manufactured home or park
6    model, a manufacturer's statement of origin, and in the
7    case of a previously owned manufactured home or park model,
8    a certificate of title, in either case properly assigned to
9    the purchaser;
10        (2) a statement verified under oath that all
11    identifying numbers on the vehicle match the identifying
12    numbers on the certificate of title or manufacturer's
13    statement of origin;
14        (3) a bill of sale properly executed on behalf of the
15    purchaser;
16        (4) a copy of the Uniform Invoice-transaction
17    reporting return form referred to in Section 5-402; and
18        (5) for a new manufactured home or park model, a
19    warranty, and in the case of a manufactured home or park
20    model for which the warranty has been reinstated, a copy of
21    the warranty; if no warranty is provided, a disclosure or
22    statement that the manufactured home or park model is being
23    sold "AS IS".
24    (i) This Section shall not apply to a (i) seller who
25privately owns his or her manufactured home or park model as
26his or her main residence and is selling the manufactured home

 

 

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1or park model to another individual or to a licensee; (ii) a
2retailer or entity licensed under either Section 5-101 or 5-102
3of this Code; or (iii) an individual or entity licensed to sell
4truck campers, travel trailers, motor homes, or mini motor
5homes as defined by this Code. Any vehicle not covered by this
6Section that requires an individual or entity to obtain a
7license to sell 5 or more vehicles must obtain a license under
8the relevant provisions of this Code.
9    (j) This Section shall not apply to any person licensed
10under the Real Estate License Act of 2000.
11    (k) The Secretary of State may adopt any rules necessary to
12implement this Section.
13(Source: P.A. 99-593, eff. 7-22-16.)
 
14    Section 99. Effective date. This Act takes effect upon
15becoming law.