FINAL BILL REPORT

SHB 2907

                                  C 171 L 90

BYHouse Committee on Housing (originally sponsored by Representatives Nutley, Winsley and Leonard)

Concerning mobile home relocation.

House Committe on Housing

Rereferred House Committee on Appropriations

Senate Committee on Economic Development & Labor and Ways & Means

SYNOPSIS AS ENACTED

BACKGROUND:

Legislation enacted in 1989 requires the payment of relocation assistance to tenants of mobile home parks when a park is closed or converted to another use.  The amount of assistance was established at $4,500 for a single-wide mobile home and $7,500 for a double-wide mobile home. All tenants, whether or not low-income, may be provided with relocation assistance from the relocation assistance fund.  It has not been determined if this assistance violates the state constitutional prohibition against lending of the state's credit.

The 1989 legislation also imposes an annual assessment of $10 on each tenant in a mobile home park for the relocation fund, and an annual assessment of $1 per tenant in a mobile home park to support the Office of Mobile Home Affairs.  The county treasurers are responsible for collecting these fees.  The county treasurers have expressed concerns about the expenses associated with the collection process.

Some park owners have sought to evade the requirements of the 1989 legislation by requiring tenants to sign waivers of relocation assistance as a condition of moving a mobile home into a park or for renewing a lease.

SUMMARY:

Relocation assistance from the mobile home park relocation fund is payable only to low-income mobile home park tenants instead of all mobile home park tenants when a park is closed or converted to another use.  A low-income tenant is defined as a person at or below 80 percent of the median income for the area where the park is located.  The Department of Community Development is responsible for determining the income status of park tenants.  The amount of relocation assistance an eligible tenant may receive is adjusted annually to reflect increases in the housing component of the consumer price index for the state.

A mobile home park owner is required to pay the park owner's share of relocation assistance to tenants who are not low-income directly to those tenants.  If the mobile home park relocation fund has insufficient funds, then the park owner may be required to pay the total amount of relocation assistance.  The Department of Community Development may promulgate rules to govern park owner payments when the relocation fund contains insufficient funds.

The obligation of a park owner to pay relocation assistance runs with the land and is binding on any successors, purchasers, or assigns of the park.  Notice of a park closure or conversion must be recorded with the county auditor.

A $50 fee is imposed on every transfer of title of a new or used mobile home where ownership is changed or the title is eliminated.  Money collected from the $50 fee is transferred to the mobile home park relocation fund.  The fee takes effect on July 1, 1990.  The $10 annual assessment on mobile homes in mobile home parks to support relocation assistance is repealed.

A fee of $15 is imposed on every transfer of title of a new or used mobile home where ownership is changed or the title is eliminated.  The fee is collected by the county treasurer or auditor and forwarded for deposit in the mobile home affairs account to support the Office of Mobile Home Affairs in the Department of Community Development.  The fee takes effect on July 1, 1990. The $1 annual assessment on all mobile homes located in mobile home parks to support the Office of Mobile Home Affairs is repealed.

Any waiver of relocation assistance that was signed as a condition of starting or renewing a tenancy in a mobile home park is void and unenforceable.  A park owner who coerces or attempts to coerce a tenant into terminating a tenancy in order to avoid paying relocation assistance may be sued for civil damages or equitable relief.

A provision that allowed units of local government to loan moneys to the mobile home park relocation fund upon the approval of the director of the Department of Community Development is repealed.

VOTES ON FINAL PASSAGE:

      House 82   8

      Senate    35    11 (Senate amended)

      House 93   3 (House concurred)

EFFECTIVE:June 7, 1990