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Lawmakers hear push to enshrine manufactured and factory‑built homes in zoning law

House Local Government Committee · March 20, 2025
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Summary

SB 252 would ensure manufactured and certain factory‑built homes are allowable uses in residential zones and permit additional uses on state trust lands; supporters highlighted affordability and parity, while questions centered on definitions (HUD code/1976 cutoff) and inspection standards.

Senator Dave Fern told the committee SB 252 would clarify that manufactured homes and factory‑built housing be treated comparably to stick‑built residences in zoning and allowed as an additional use on some state trust land leases. He described factory‑built housing as units assembled in components and placed on permanent foundations and said the bill aims to expand cost‑effective housing products.

Proponents included the Montana Manufactured Housing and RV Dealers Association and the Montana Association of Realtors, who said the change would help attainable homeownership and reduce barriers for tribal members and working families. Alyssa Snow, representing several tribal communities, said manufactured homes are often the only realistic homeownership route for many Native households.

Questions from the committee focused on the bill's definitions and the 1976 HUD cutoff referenced in statute: members sought clarity about whether the bill unintentionally creates different inspection or eligibility paths for pre‑1976 units and how the state inspection and HUD codes interact. Ryan Weiss from the Department of Natural Resources and Conservation (State Trust Lands) explained the department already leases trust lands for development in urbanized areas and that the bill would not change their authority; the department supports options that increase housing while honoring trust mandates.

Sponsor and supporters said they will work on clarifying language around factory‑built versus HUD‑manufactured homes and inspection requirements to ensure implementation matches the intent of supporting modern manufactured and factory‑built products.