Bill Amendment: IL SB0574 | 2021-2022 | 102nd General Assembly

NOTE: For additional amemendments please see the Bill Drafting List

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Bill Title: VEH CD-OPERATION UNINSURED VEH

Status: 2021-05-15 - Rule 19(a) / Re-referred to Rules Committee [SB0574 Detail]

Download: Illinois-2021-SB0574-House_Amendment_001.html

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Rep. Andrew S. Chesney

Filed: 5/12/2021

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AMENDMENT TO SENATE BILL 574
AMENDMENT NO. ______. Amend Senate Bill 574 by replacing
everything after the enacting clause with the following:
"Section 5. The Illinois Vehicle Code is amended by adding
Article IX to Chapter 5 as follows:
(625 ILCS 5/Ch. 5 Art. IX heading new)
ARTICLE IX. MANUFACTURED HOME DEALERS
(625 ILCS 5/5-901 new)
Sec. 5-901. Regulation of manufactured home dealers.
(a) As used in this Article:
"Established place of business" means the place owned or
leased and occupied by any person duly licensed or required to
be licensed as a manufactured home dealer for the purpose of
engaging in selling, buying, bartering, displaying,
exchanging, or dealing in, on consignment or otherwise,

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manufactured homes and for such other ancillary purposes as
may be permitted by the Secretary by rule.
"Manufactured home" means a factory-assembled structure
built on a permanent chassis, transportable in one or more
sections in the travel mode, incapable of self-propulsion,
bears a label indicating the manufacturer's compliance with
the United States Department of Housing and Urban Development
standards, as applicable, and is designed for year-round
occupancy as a single-family residence when connected to
approved water, sewer, and electrical utilities.
"Manufactured home dealer" means: (1) an individual or
entity that engages in the business of acquiring or disposing
of new or used manufactured homes; (2) an individual or entity
who advertises or otherwise holds the individual or the entity
out as being engaged in the business of acquiring or selling
new or used manufactured homes; or (3) an individual or entity
who buys or sells more than 2 new or used manufactured homes
within a 12-month period.
(b) No person shall engage in this State in the business of
selling or dealing in, on consignment or otherwise,
manufactured homes of any make, or act as an intermediary,
agent, or broker for any manufactured home purchaser, other
than as a salesperson, or to represent or advertise that he or
she is so engaged, or intends to so engage, in the business,
unless licensed to do so by the Secretary of State under this
Section.

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(c) An application for a manufactured home dealer's
license shall be filed with the Secretary of State Vehicle
Services Department and duly verified by oath, on such form as
the Secretary of State may prescribe, and shall contain all of
the following:
(1) The name and type of business organization of the
applicant, and his or her established place of business in
this State.
(2) If the applicant is a corporation, a list of its
officers, directors, and shareholders having a 10% or
greater ownership interest in the corporation. If the
applicant is a sole proprietorship, a partnership, a
limited liability company, an unincorporated association,
a trust, or any similar form of business organization, the
name and residence address of the proprietor, or the name
and residence address of each partner, member, officer,
director, trustee, or manager.
(3) A statement that the applicant has been approved
for registration under the Retailers' Occupation Tax Act
by the Department of Revenue, except that this requirement
does not apply to a manufactured home dealer who is
already licensed with the Secretary of State, and who is
only applying for a renewal of his or her license. As
evidence of this fact, the application shall be
accompanied by a certification from the Department of
Revenue showing that the Department has approved the

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applicant for registration under the Retailers' Occupation
Tax Act.
(4) An application for a manufactured home dealer's
license shall be accompanied by a $1,000 license fee for
the applicant's established place of business. If the
application is made after June 15 of any year, the license
fee shall be $500 for the applicant's established place of
business. License fees shall be returnable only if the
application is denied by the Secretary of State.
Of the money received by the Secretary of State as
license fees under this paragraph (4), 95% shall be
deposited into the General Revenue Fund and 5% into the
Motor Vehicle License Plate Fund.
(5) A statement that no officer, director, shareholder
having a 10% or greater ownership interest, proprietor,
partner, member, officer, director, trustee, manager, or
other principal in the business of the applicant has
committed in the past 3 years any violation, as determined
in any civil, criminal, or administrative hearing
proceeding, of any one of the following Acts:
(A) the Anti-Theft Laws of this Code;
(B) the Certificate of Title Laws of this Code;
(C) the Offenses against Registration and
Certificates of Title Laws of this Code;
(D) the Dealers, Transporters, Wreckers, and
Rebuilders Laws of this Code;

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(E) Section 21-2 of the Criminal Code of 2012,
criminal trespass to vehicles;
(F) the Retailers' Occupation Tax Act;
(G) the Consumer Installment Loan Act;
(H) the Retail Installment Sales Act;
(I) the Interest Act;
(J) the Illinois Wage Assignment Act;
(K) Part 8 of Article XII of the Code of Civil
Procedure; or
(L) the Consumer Fraud and Deceptive Business
Practices Act.
(6) A bond or certificate of deposit in the amount of
$150,000 for each license holder applicant intending to
act as a manufactured home dealer under this Section. The
bond shall be for the term of the license for which
application is made and shall expire not sooner than
December 31st of the year for which the license was
issued. The bond shall run to the People of the State of
Illinois and to customers asserting financial claims
against the dealer, with surety by a bonding or insurance
company authorized to do business in this State. It shall
be conditioned upon the proper transmittal of all title
and registration fees and taxes (excluding taxes under the
Retailers' Occupation Tax Act) accepted by the applicant
as a manufactured home dealer, and the execution of all of
the dealer's obligations to the customer, including

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financial duties related to the acceptance and
disbursement of any funds paid to the dealer by the
customer, or the failure to convey possession or ownership
documents of a manufactured home.
(7) Dealers in business for over 10 years may
substitute a certificate of insurance in lieu of the bond
or certificate of deposit upon renewing their license.
(8) Any other information concerning the business of
the applicant as the Secretary of State may by rule
prescribe.
(d) Any change that renders no longer accurate any
information contained in any application for a license under
this Section shall be amended within 30 days after the
occurrence of the change on a form the Secretary of State may
prescribe, by rule, accompanied by an amendatory fee of $25.
(e) The Secretary of State shall, within a reasonable time
after receipt, examine an application submitted under this
Section, and unless the Secretary makes a determination that
the application submitted does not conform with the
requirements of this Section or that grounds exist for a
denial of the application under subsection (f), grant the
applicant an initial manufactured home dealer's license in
writing for the established place of business of the applicant
in a form the Secretary may prescribe by rule, which shall
include the following:
(1) the name of the person or entity licensed;

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(2) if a corporation, the name and address of its
officers; if a sole proprietorship, a partnership, an
unincorporated association, or any similar form of
business organization, the name and address of the
proprietor, or the name and address of each partner,
member, officer, director, trustee or manager; or if a
limited liability company, the name and address of the
general partner or partners, or managing member or
members; and
(3) the established place of business of the licensee.
(f) A license issued under this Section may be denied,
revoked, or suspended if the Secretary of State finds that the
applicant, or the officer, director, shareholder having a 10%
or greater ownership interest in the corporation, owner,
partner, trustee, manager, employee or the licensee has:
(1) violated this Section;
(2) made any material misrepresentation to the
Secretary of State in connection with an application for a
license, title, or registration;
(3) committed a fraudulent act in connection with
selling, bartering, exchanging, offering for sale, or
otherwise dealing in manufactured homes;
(4) not maintained an established place of business as
defined in this Section;
(5) failed to file or produce to the Secretary of
State any application, report, document, or other

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pertinent books, records, documents, letters, contracts
required to be filed or produced under this Section or any
rule adopted by the Secretary of State pursuant to this
Section;
(6) failed to pay any fees or taxes due under this
Code, or has failed to transmit any fees or taxes received
by him or her for transmittal by him or her to the
Secretary of State or the State of Illinois;
(7) failed to transfer title to a manufactured home
when legally required to do so; or
(8) violated any of the following:
(A) the Anti-Theft Laws of this Code;
(B) the Certificate of Title Laws of this Code;
(C) the Offenses against Registration and
Certificates of Title Laws of this Code;
(D) the Dealers, Transporters, Wreckers, and
Rebuilders Laws of this Code;
(E) Section 21-2 of the Criminal Code of 2012,
criminal trespass to vehicles;
(F) the Retailers' Occupation Tax Act;
(G) the Consumer Installment Loan Act;
(H) the Retail Installment Sales Act;
(I) the Interest Act;
(J) the Illinois Wage Assignment Act;
(K) Part 8 of Article XII of the Code of Civil
Procedure; or

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(L) the Consumer Fraud and Deceptive Business
Practices Act.
(g) In addition to other grounds specified in this
Section, the Secretary of State, on complaint of the
Department of Revenue, shall refuse the issuance or renewal of
a license, or suspend or revoke such a license, for any of the
following violations of the Retailers' Occupation Tax Act, the
tax imposed on corporations under subsection (b) of Section
201 of the Illinois Income Tax Act, the Personal Property Tax
Replacement Income Tax imposed under subsections (c) and (d)
of Section 201 of the Illinois Income Tax Act, or the tax
imposed under Section 704A of the Illinois Income Tax Act:
(1) failure to make a tax return;
(2) the filing of a fraudulent return;
(3) failure to pay all or part of any tax or penalty
finally determined to be due;
(4) failure to comply with the bonding requirements of
the Retailers' Occupation Tax Act.
(h) A license issued under this Section may be canceled by
the Secretary of State prior to its expiration in any of the
following situations:
(1) if a license is voluntarily surrendered by the
licensed person;
(2) if the business enterprise is a sole
proprietorship and the sole proprietor dies or is
imprisoned for any period exceeding 30 days; or

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(3) if the license was issued to the wrong person or
corporation or contains an error on its face.
If any person whose license has been canceled wishes to
apply for another license, whether during the same license
year or any other year, that person shall be treated as a new
applicant and the cancellation of the person's prior license
shall not, in and of itself, be a bar to the issuance of a new
license.
(i) A license issued under this Section may be canceled
without a hearing if the Secretary of State is notified that
the applicant, or any officer, director, shareholder having a
10% or greater ownership interest, owner, partner, trustee,
manager, employee, or member of the applicant or the licensee
has been convicted of any forcible felony or any felony
involving the selling, bartering, exchanging, offering for
sale, or otherwise dealing in ownership documents relating to
any of the above actions.
(j) The appropriate instrument evidencing the license or a
certified copy of the instrument, provided by the Secretary of
State, shall be kept posted conspicuously in the established
place of business of the licensee.
(k) All records related to the purchase, sale, or
acceptance for sale on consignment of any manufactured home
shall be maintained at the licensee's established place of
business. These records shall be retained for a period of not
less than 7 years, and shall be made available for inspection

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upon the request of a Secretary of State auditor or an
investigator with the Secretary of State Department of Police.
(l) Except as provided in subsection (i), all licenses
granted under this Section shall expire by operation of law on
December 31st of the calendar year for which the licenses were
granted, unless sooner revoked or canceled under subsection
(f).
(m) Each person licensed as a manufactured home dealer is
required to furnish each purchaser of a manufactured home:
(1) in the case of a new manufactured home, a
manufacturer's statement of origin, and in the case of a
previously owned manufactured home, a certificate of
title, in either case properly assigned to the purchaser;
(2) a statement verified under oath that all
identifying numbers on the vehicle match the identifying
numbers on the certificate of title or manufacturer's
statement of origin;
(3) a bill of sale properly executed on behalf of the
purchaser; and
(4) for a new manufactured home, a warranty, and in
the case of a manufactured home for which the warranty has
been reinstated, a copy of the warranty; if no warranty is
provided, a disclosure or statement that the manufactured
home is being sold "AS IS".
(n) This Section does not apply to a seller who privately
owns his or her manufactured home as his or her main residence

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and is selling the manufactured home to another individual or
to a licensee so long as that individual does not sell more
than 2 manufactured homes in one 12-month period.
(o) This Section does not apply to any person licensed
under the Real Estate License Act of 2000.
(p) The Secretary of State may adopt any rules necessary
to implement this Section.
(q) Any individual or entity licensed as a manufactured
home dealer or a community-based manufactured home dealer on
the effective date of this Section shall be entitled to act as
a manufactured home dealer under this Section for the duration
of any license in effect on the effective date of this
amendatory Act of the 102nd General Assembly, and shall be
eligible to be issued a manufactured home dealer's license
under this Section upon the expiration of any such license.
(625 ILCS 5/5-101.2 rep.)
Section 10. The Illinois Vehicle Code is amended by
repealing Section 5-101.2.
Section 99. Effective date. This Act takes effect July 1,
2022.".