(1)(a) No person shall engage in business as a manufacturer of modular building units for sale or installation in the State of Tennessee without first having obtained a manufacturer's license from the Department.(b) No person shall engage in business as a dealer of modular building units in the State of Tennessee without first having obtained a dealer's license from the Department.(c) No person shall engage in business as an installer of modular building units in the State of Tennessee without first having obtained an installer's license from the Department.(2) A separate license shall be required for each manufacturing facility operated by a manufacturer, or place of business operated by a dealer or installer under this chapter.(3) An application for a license required hereunder shall be submitted on the form prescribed by the Department, and accompanied by a non-refundable application fee as follows: Manufacturer ..................................................................................$150.00
Dealer.................................................................................... $150.00
Installer...........................................................................................$150.00
(4) The application shall be submitted on a form prescribed by the Department and include the following information:(a) Name and address of the applicant;(b) Ownership and management of the applicant's business;(c) The applicant's experience in modular building unit manufacturing, sales, or installation;(d) Any manufacturer's, dealer's or installer's licenses held by the applicant in this or another state;(e) Any disciplinary action affecting any such licenses;(f) If applying to be a manufacturer, under which inspection program the manufacturer will operate, and(g) Any other information necessary to effectively administer the program.(5) The Department shall be notified in writing of any change in the information furnished in an application, prior to and throughout licensure, within thirty (30) days of such change.(6) The Department shall issue a license to qualified applicants upon receipt of the appropriate license fee as follows: Manufacturer ................................................................................$1000.00
Dealer.............................................................................................$500.00
Installer...........................................................................................$250.00
(7) All licenses issued hereunder are not transferable or assignable and shall expire on June 30 of each year and are invalid from that date onward unless renewed. An initial license that is issued between April 1 and June 30 during any given year shall expire on June 30 of the following year.(8) An application for renewal of a license shall be submitted on the form prescribed by the Department, and accompanied by the appropriate renewal fee as follows: Manufacturer ................................................................................$ 500.00
Dealer...........................................................................................$ 250.00
Installer.........................................................................................$ 150.00
(9) Any manufacturer, dealer, or installer who fails to renew such manufacturer's, dealer's, or installer's license on or before its expiration date, June 30, and until August 31 shall be required to pay one-half (1/2) of the license fee, in addition to the fee established in paragraph (9) of this rule.(10) Any manufacturer, dealer, or installer who has failed to renew his or her manufacturer's, dealer's or installer's license as of September 1 of each year shall be required to apply for a new license as prescribed in paragraphs three (3) through (6) of this rule.(11) Any change of ownership shall require a new license.(12) Any applicant for a new or renewal of a license as a manufacturer, dealer or installer of modular building units shall submit a surety bond executed by the applicant (as principal) and by a surety company qualified to do business in this state (as surety).(a) Each bond shall be for the benefit of any person who suffers loss or damage resulting from code-related non-compliance with the Tennessee Modular Building Act or the rules duly promulgated thereunder by such manufacturer, dealer or installer.(b) The bond shall be in the following amounts: Manufacturer ................................................................ $100,000.00
Dealer............................................................................. $50,000.00
Installer........................................................................... $25,000.00
(c) Each bond shall cover code-related non-compliances occurring during the license period. A new bond or proper continuation certificate shall be submitted with each application for license renewal. The aggregate liability of the surety for code-related non-compliances occurring in each license year shall in no event exceed the amount of the bond for that year. If applicant can show proof of an effective bond or insurance coverage that would cover the manufacture of a modular building unit, such as a requirement under the Board of Licensing Contractors, this section does not require a separate bond.(d) A separate bond shall be required for each place of business operated by a manufacturer, dealer or installer.(13) An application for a new or renewal of a license will not be considered complete until all required information, the bond and fees have been submitted.Tenn. Comp. R. & Regs. 0780-02-13-.03
Original rule filed September 17, 1986; effective November 1, 1986. Amendment filed June 10, 2004; effective August 24, 2004. Amendment filed June 15, 2009; effective August 29, 2009. Amendments filed March 31, 2021; effective 6/29/2021.Authority: T.C.A. §§ 68-102-113 and 68-126-305.