Brief Description: Revising provisions concerning closure of mobile home parks and manufactured housing communities.

Sponsors: Senate Committee on Financial Institutions, Housing & Consumer Protection (originally sponsored by Senators Prentice and Fairley).

Hearing Date: 2/21/06

Staff: Robyn Dupuis (786-7166).

Background:

Under the existing Manufactured/Mobile Home Landlord Tenant Act, park owners are required to give at least 12 months written notice of a park closure or conversion to the Department of Community, Trade and Economic Development (DCTED) and all tenants. All tenants entering a month-to-month rental agreement, signed after the park closure notice date, must also be given notice. The notice provided to the DCTED must include: (1) a good faith estimate of the timeline for removal of the mobile homes; and (2) the reason for the closure. This notice is required to be recorded with the county auditor.

Written rental agreements for mobile home parks are required to contain a covenant providing that, except for acts beyond the landlord's control, the park will not be converted to a use that does not allow the continued use of the mobile home for a period of at least three years from the beginning date of the rental agreement. Alternatively, in place of such a covenant, the rental agreement may instead include a statement which provides that the park may be sold or otherwise transferred at any time, resulting in a park closure. This statement must be visually set-off from the other text (e.g. in a box or separated by a blank space).

Summary of Bill:

Notice to the DCTED
In addition to a timeline for closure and a reason for closure, the notice that park owners are required to send to the DCTED must include a list of the names and mailing addresses of the current registered park tenants. This notice must be sent by the landlord to the DCTED within 10 business days. After receiving the landlord's notice, the DCTED is required to send every tenant an application and information on relocation assistance within 10 business days.

Notice to Tenants
If a rental agreement does not contain the covenant assuring mobile home tenants that the park will not be converted to a different use for at least three years, then a rental agreement must include the following statement verbatim: "The park may be sold or otherwise transferred at any time with the result that subsequent owners may close the mobile home park, or that the landlord may close the park at any time after the required notice." This statement must be in bold and located directly above the tenant's signature on the rental agreement.

Appropriation: None.

Fiscal Note: Not requested.

Effective Date: The bill takes effect 90 days after adjournment of session in which bill is passed.