View Rule

This proposed rule would amend the definition of manufactured home to provide that only the first floor of a multistory transportable structure must be built on a permanent chassis. Under this proposed rule, the portion of the transportable section serving as the upper floor(s) would not need to be built on or transported on a permanent chassis. The proposed rule would provide that any transportable section of a manufactured home that does not include a permanent chassis must solely be utilized as part of multistory manufactured homes where the transportable section used for the ground floor is built on a permanent chassis. Units produced by this method would remain subject to all other provisions of the Manufactured Home Construction and Safety Standards (24 CFR Part 3280) and Procedural and Enforcement Regulations (24 CFR Part 3282) in their entirety under the proposed rule.

Statement of Need:

The permanent chassis requirement adds thousands of dollars to the cost of a multistory manufactured home for producers and consumers and creates engineering and architectural challenges that complicate the design and production of multistory manufactured homes. Consequently, the permanent chassis requirement for every transportable section of a multistory manufactured home hinders HUD’s execution on the Act’s purposes of protecting the affordability of manufactured housing, facilitating the availability of affordable manufactured homes, and encouraging innovative and cost-effective construction techniques. Multistory manufactured homes could be built more cost-effectively and in a more innovative fashion if the permanent chassis requirement did not apply to upper floors.

Summary of the Legal Basis:

This falls within HUD's authority to issue regulations under section 7(d) of the Department of Housing and Urban Development Act (42 U.S.C. 3535(d)).

Alternatives:

HUD considered whether retaining this requirement, in one form or another, might serve an important purpose. Ultimately , HUD determined that the requirement provides no practical, safety, aesthetic, or design benefit for upper floors of multistory manufactured homes. Therefore, no alternative short of eliminating the requirement would meet HUD’s goals.

Anticipated Costs and Benefits:

Executive Order 12866, as amended, requires the agency to provide its best estimate of the combined aggregate costs and benefits of all regulations included in the agency's Regulatory Plan that will be pursued in fiscal year 2026. HUD expects that the proposed rule would reduce the costs associated with vertical density for manufactured homes, leading to economic gains from lower costs for two-story manufactured homes and growth in the manufactured housing market.

Risks:

This rule imposes no risks or additional costs on HUD.