HBA-EDN H.B. 3439 77(R) BILL ANALYSIS Office of House Bill AnalysisH.B. 3439 By: Gallego Land & Resource Management 3/23/2001 Introduced BACKGROUND AND PURPOSE Although manufactured homes constructed consistent with the federal HUD-code have constituted approximately 1/3 of the total new home market in this state for the past several years, most cities continue to either completely prohibit the installation of such homes within their corporate limits or require the homeowner to obtain a zoning variance or special use permit, which are usually granted for a period of a year or less. Consequently, a homeowner must reapply for a variance or permit and relocate the home if the variance or permit is denied. House Bill 3439 requires cities to consider new HUD-code manufactured homes that meet certain criteria as any other residential dwelling for zoning purposes and allows these homes to be installed in residential areas within cities where they are not prohibited by a valid deed restriction. RULEMAKING AUTHORITY It is the opinion of the Office of House Bill Analysis that this bill does not expressly delegate any additional rulemaking authority to a state officer, department, agency, or institution. ANALYSIS House Bill 3439 amends the Texas Manufactured Housing Standards Act to provide that a new HUDcode manufactured home (home) is a single family dwelling. The bill requires that a home be permitted for use and occupancy in residential areas if: _the home consists of two or more sections; _the value of the home, when combined with the appraised value of the lot upon which the home would be located and costs associated with installing the home and complying with applicable municipal requirements, is equal to or more than the median taxable value of all single family dwelling homes within 200 feet of the lot upon which the home is proposed to be located; _the exterior siding, roofing, foundation fascia, and fenestration of the home is compatible with all single family dwellings within 200 feet of the lot upon which the home is proposed to be located; _the home complies with site requirements applicable to single-family dwellings, except that such standards and the process for applying them shall be no more restrictive for a home than for a single family dwelling constructed on site; _the home will be securely affixed to a permanent foundation, classified as real property, and eligible for 30-year mortgage financing by Fannie Mae or Freddie Mac or eligible for mortgage insurance under the Federal Housing Administration; _all local permits and licenses that are applicable to other single family dwellings are obtained; and _the plans and specifications for the permanent foundation and other on-site construction are approved by the municipal building official or bear the seal of a registered professional engineer. H.B. 3439 requires that a home bear the required certification that: _it was constructed to the specifications and standards of the U.S. Department of Housing and Urban Development; _the home shall have been manufactured after January 1, 2002; _the home shall not have been altered or modified from its original design and specifications; and _the home shall not have previously been used or occupied as a commercial or residential structure. The bill requires these provisions not to be construed as affecting in any manner any valid deed restriction and sets forth that these provisions do not apply to manufactured homes being sited in manufactured home rental communities. EFFECTIVE DATE January 1, 2002.