An Act Regarding the Regulation of Tiny Homes

Emergency preamble. Whereas,  acts and resolves of the Legislature do not become effective until 90 days after adjournment unless enacted as emergencies; and

Whereas,  the Secretary of State, industry and individuals have an urgent need to clarify the regulatory landscape so that tiny homes can be registered and titled and the industry may resume production; and

Whereas,  in the judgment of the Legislature, these facts create an emergency within the meaning of the Constitution of Maine and require the following legislation as immediately necessary for the preservation of the public peace, health and safety; now, therefore,

Be it enacted by the People of the State of Maine as follows:

Sec. 1. 29-A MRSA  101, sub-  80-C  is enacted to read:

80-C.   Tiny home.   "Tiny home" means a living space permanently constructed on a frame or chassis and designed for use as permanent living quarters that:
A.   Complies with American National Standards Institute standard A 119.5 on plumbing, propane, fire and life safety and construction or National Fire Protection Association standard 1192 on plumbing, propane and fire and life safety for recreational vehicles;
B.   Does not exceed 400 square feet in size;
C.   Does not exceed any dimension allowed for operation on a public way under this Title; and
D.   Is a vehicle without motive power.

"Tiny home" does not include a trailer, semitrailer, camp trailer, recreational vehicle or manufactured housing.

Sec. 2. 29-A MRSA  501, sub-  7,  as amended by PL 2011, c. 556,  4, is further amended to read:

7.  Temporary registration permit.  The Secretary of State may issue a temporary registration permit for the purpose of moving certain vehicles otherwise required to be registered or for a tiny home as follows.
A.  A temporary registration permit is for one trip only limited in use for transportation of a vehicle after sale, transportation necessary for service or repairs of a vehicle, occasional seasonal relocation of a vehicle or transportation necessary for the relocation of a tiny home:

(1) Between the points of origin and destination and intermediate points, as set forth in the permit; or

(2) From the point of origin to the destination and back to the point of origin, including any intermediate points, as set forth in the permit.

B.  A temporary registration permit is for the transit of the vehicle only. The vehicle may not be used for the transportation of passengers or property, for compensation or otherwise, unless specifically authorized on the temporary registration permit. If the vehicle is a chartered bus that is not covered by a reciprocity agreement with the state or country of registration, the Secretary of State may authorize transportation of passengers.
C.  The Secretary of State may not issue a temporary registration permit that is valid for longer than 10 days from the effective date of the registration.
D.  The fee for a temporary registration permit issued under paragraph A, subparagraph (1) is $12. The fee for a temporary registration permit issued under paragraph A, subparagraph (2) is $25.
E.  The temporary registration permit must be carried in the vehicle at all times.
F.  A person who operates or moves a vehicle outside the routes specified in the temporary registration permit commits a traffic infraction and may not be fined less than $25 nor more than $200.
G.  The Secretary of State may issue unassigned temporary registration permits to a vehicle auction business licensed under section 1051 to allow the movement of a vehicle sold to a dealer.

Sec. 3. 29-A MRSA  603, sub-  1-A  is enacted to read:

1-A.   Fee of $100.   A fee of $100 must be paid to the Secretary of State for the following:
A.   A certificate of title for a tiny home; or
B.   A certificate of title for manufactured housing.

Sec. 4. 29-A MRSA  651, sub-  7  is enacted to read:

7.   Tiny homes.   The Secretary of State shall issue certificates of title for new tiny homes beginning with model year 2020. The Secretary of State shall issue a certificate of title for a used tiny home of any model year that was previously issued a State of Maine certificate of title. A certificate of title issued pursuant to this subsection remains in effect unless cancelled pursuant to section 669.

Sec. 5. 29-A MRSA  652, sub-  9-A  is enacted to read:

9-A.   Tiny homes.   A tiny home that is:
A.   Sold before January 1, 2020; or
B.   Model year 2019 or older;

Sec. 6. 29-A MRSA  654, sub-  6  is enacted to read:

6.   Tiny homes.   The following provisions govern application for a certificate of title for a tiny home.
A.   An application for a tiny home must be submitted to the Secretary of State by the retail seller. If the tiny home is purchased new out of state, the application must be submitted by the lien holder or the owner. The application must be accompanied by the manufacturer's certificate of origin.
B.   An application for a used tiny home must be submitted by the retail seller. In the absence of a retail seller located in this State, the application must be submitted by the lienholder. In the absence of a retail seller and a lienholder, the application must be submitted by the owner. The application must be accompanied by any previous State of Maine certificate of title.

Sec. 7. 29-A MRSA  667, sub-  7,  as enacted by PL 2005, c. 678,  9 and affected by  13, is amended to read:

7.  Exemption.  Certificates of title issued for manufactured housing and tiny homes are exempt from this section.

Sec. 8. 29-A MRSA  669,  as enacted by PL 2005, c. 678,  10 and affected by  13, is amended to read:

  669.  Cancellation of certificate of title to manufactured housing and tiny homes

1.  Real property transactions.  This section governs cancellation of a certificate of title to manufactured housing or a tiny home by the owner of the manufactured housing or tiny home when the manufactured housing or tiny home becomes affixed to real property owned by the owner of the manufactured housing or tiny home.
2.  Cancellation.  A certificate of title to manufactured housing or a tiny home may be cancelled by the Secretary of State if the owner of the real property records the following documents in the registry of deeds for the county in which the real property is located:
A.  The original certificate of title to the manufactured housing or tiny home;
B.  A description of the manufactured housing or tiny home, including model year, make, width, length and identification number, and a statement by any recorded lienholder on the certificate of title that the security interest has been released or that such security interest will be released upon cancellation of the certificate of title as set forth in this section;
C.  The legal description of the real property; and
D.  A sworn statement by the owner of the real property, as shown on the real property deed, that the owner of the real property is the owner of the manufactured housing or tiny home and that the manufactured housing or tiny home is permanently affixed to the real property in accordance with state law.
3.  Recording.  The register of deeds, upon receipt of the documents set forth in subsection 2, shall record the documents.
4.  Request for cancellation.  An owner of manufactured housing or a tiny home shall file a written request with the Secretary of State for cancellation of the certificate of title to the manufactured housing or tiny home after completion of the requirements in subsections 2 and 3 and by returning the recorded certificate of title. The Secretary of State shall cancel the certificate of title upon receipt of the written request from the owner of the manufactured housing or tiny home requesting cancellation of the certificate of title, accompanied by the certificate of title and documents listed in subsection 2 that have been recorded pursuant to subsection 3. Upon cancellation of the certificate of title, the Secretary of State shall issue a document certifying that the certificate of title has been cancelled.
5.  Liens.  For purposes of perfection, realization and foreclosure of security interests, if a certificate of title has been cancelled pursuant to this section, a separate security interest in the manufactured housing or tiny home does not exist, and the manufactured housing or tiny home may be secured only as part of the real property through a mortgage under Title 33.
6.  Applicability.  This section applies to manufactured housing or tiny homes required to be titled under section 651 and to any person who voluntarily elects to cancel a certificate of title to manufactured housing or a tiny home pursuant to this section.
7.  Taxation not affected.  Nothing in this section may be construed to affect the taxation of manufactured housing or tiny homes.
8.  No change to common law.  Nothing in this section may be construed to modify or change existing common law.

Sec. 9. 29-A MRSA  705, sub-  5,  as enacted by PL 2009, c. 435,  13, is amended to read:

5.  Manufactured housing or tiny home.  This subsection governs satisfaction of a security interest in manufactured housing or a tiny home.
A.  Upon satisfaction of a security interest in manufactured housing or a tiny home, the lienholder whose security interest is satisfied shall execute, within 60 days, a release in the form the Secretary of State prescribes and mail or deliver the release to the owner or any person who delivers to the lienholder an authorization from the owner to receive that release. The lienholder shall also within 60 days of satisfaction of its security interest notify the Secretary of State in the form the Secretary of State prescribes that the lien has been satisfied.
B.  The owner and subordinate lienholder, if any, may each recover $1,000 from a lienholder who fails to release the security interest and notify the Secretary of State that the lien has been satisfied within the 60-day time period under paragraph A.

Sec. 10. 29-A MRSA  708,  as amended by PL 2013, c. 125,  4, is further amended to read:

  708.  Manufactured housing or tiny home

This subchapter applies to perfection of security interests in manufactured housing or a tiny home that is not permanently affixed to real property that is owned by the owner of the manufactured housing or tiny home.

Sec. 11. 29-A MRSA  954, sub-  6,  as enacted by PL 2019, c. 397,  15, is amended to read:

6.  Trailer transit plate.  A business that delivers or services mobile homes or tiny homes, leases or transports storage trailers or transports light trailers, modular homes or frames for transporting modular homes may apply for a trailer transit license and plate. The transit plate may not be loaned, used in place of registration plates on another vehicle, used for personal reasons or used on the towing vehicle. Issuance of a trailer transit license and plate does not exempt the holder from compliance with any state law or municipal ordinance governing the movement of mobile homes, tiny homes, storage trailers, modular homes or frames for transporting modular homes or light trailers over the highways of this State and does not exempt the holder from required permits or certificates prior to moving the vehicles. Trailer transit plates issued pursuant to this subsection may be used only subject to the following conditions.
A.  A storage trailer must be empty during transportation.
B.  A light trailer may be transported with a load appropriate for the light trailer, as long as the load is owned by or in the custody of the transporting business.
C.  A light trailer may be transported with a trailer transit plate only if the business owner or an employee of the business accompanies the vehicle transporting the light trailer.

Fees for trailer transit licenses and plates are established in section 852. Trailer transit licenses are exempt from section 951, subsection 6.

For purposes of this subsection, "business" means a corporation, firm, partnership, joint venture, sole proprietorship or other commercial entity. For the purposes of this subsection, "modular home" has the same meaning as in Title 30-A, section 4358, subsection 1, paragraph A, subparagraph (2).