BILL REQ. #: H-0729.2
State of Washington | 59th Legislature | 2005 Regular Session |
Read first time 01/31/2005. Referred to Committee on Housing.
AN ACT Relating to resolving manufactured/mobile home landlord and tenant disputes; amending RCW 59.22.050; adding a new section to chapter 34.12 RCW; adding a new chapter to Title 59 RCW; prescribing penalties; providing effective dates; and declaring an emergency.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:
NEW SECTION. Sec. 1 (1) The legislature finds that there are
factors unique to the relationship between a manufactured/mobile
homeowner and a manufactured/mobile home park owner. Once occupancy
has commenced, the difficulty and expense in moving and relocating a
manufactured/mobile home can affect the operation of market forces, and
lead to an inequality of the bargaining position of the parties. Once
occupancy has commenced, a homeowner may be subject to violations of
the manufactured/mobile home landlord-tenant act or unfair practices
without an adequate remedy at law. This chapter is created for the
purpose of protecting the public, fostering fair and honest
competition, and regulating the factors unique to the relationship
between the manufactured/mobile homeowner and park owner.
(2) The legislature finds that taking legal action against a park
owner for violations of the manufactured/mobile home landlord-tenant
act can be a costly and lengthy process, and that many people cannot
afford to pursue a court process to vindicate statutory rights. Park
owners similarly are benefited by having access to a process that
resolves disputes quickly and efficiently.
(3) Therefore, it is the intent of the legislature to provide a
less costly and more efficient way for manufactured/mobile homeowners
and park owners to resolve disputes, and to provide a mechanism for
state authorities to quickly locate owners of manufactured housing
communities. The legislature further intends to authorize the
department of community, trade, and economic development to register
mobile home parks or manufactured housing communities, conduct
investigations, issue citations, issue cease and desist orders, and
impose fines for violations of the manufactured/mobile home landlord-tenant act.
NEW SECTION. Sec. 2 The definitions in this section apply
throughout this chapter unless the context requires otherwise.
(1) "Department" means the department of community, trade, and
economic development.
(2) "Director" means the director of the department of community,
trade, and economic development.
(3) "Mobile home park" or "manufactured housing community" means
any real property that is rented or held out for rent to others for the
placement of two or more mobile homes, manufactured homes, or park
models for the primary purpose of production of income, except when the
real property is rented or held out for rent for seasonal recreational
purposes only and is not intended for year-round occupancy.
(4) "Landlord" or "park owner" means the owner of a mobile home
park or a manufactured housing community and includes the agents of the
landlord.
(5) "Tenant" or "homeowner" means any person, except a transient,
who rents or occupies a mobile home lot.
(6) "Owner" means one or more persons, jointly or severally, in
whom is vested:
(a) All or part of the legal title to the real property; or
(b) All or part of the beneficial ownership, and a right to present
use and enjoyment of the real property.
(7) "Unfair practice" means any act that would constitute an unfair
or deceptive act or practice under chapter 19.86 RCW.
(8) "Complainant" means a landlord, park owner, tenant, or
homeowner, who has a complaint alleging an unfair practice or violation
of chapter 59.20 RCW.
(9) "Respondent" means a landlord, park owner, tenant, or
homeowner, alleged to have committed an unfair practice or violation of
chapter 59.20 RCW.
NEW SECTION. Sec. 3 (1) A complainant shall have the right to
file a complaint with the department alleging an unfair practice or a
violation of chapter 59.20 RCW.
(2) The complainant must provide written notice to the respondent
prior to notifying the department of an alleged violation of chapter
59.20 RCW or unfair practice. If the complaint is not remedied within
the time frame provided by RCW 59.20.080 or 59.20.200, the complainant
may then file a complaint with the department. If no such time frame
is applicable to the complaint, then the respondent has thirty days to
remedy the violation.
(3) The department may investigate the alleged violations at its
discretion upon receipt of a complaint alleging unfair practices or
violations of chapter 59.20 RCW.
(4) The department may require or permit any person to file a
complaint or statement in writing, under oath or otherwise as the
department determines, as to the facts and circumstances concerning a
matter to be investigated.
(5) The department has the power to:
(a) Issue subpoenas and administer oaths in connection with any
investigation, hearing, or proceeding held under this chapter;
(b) Take or cause depositions to be taken and use other discovery
procedures as needed in an investigation, hearing, or proceeding held
under this chapter;
(c) Compel attendance of witnesses at hearings;
(d) Designate individuals authorized to sign subpoenas and
citations; and
(e) Employ investigative, administrative, and clerical staff as
necessary for enforcement of this chapter.
(6)(a) Complainants and respondents shall cooperate with the
department in the course of an investigation by:
(i) Furnishing any papers or documents requested;
(ii) Furnishing in writing an explanation covering the matter
contained in a complaint when requested by the department;
(iii) Allowing authorized access to department representatives for
inspection of mobile home parks/manufactured housing community
facilities relevant to the alleged violation being investigated; or
(iv) Responding to subpoenas issued by the department.
(b) Failure to cooperate with the department in the course of an
investigation is a violation of this chapter.
(7) If after an investigation the department finds that an unfair
practice or violation of chapter 59.20 RCW has occurred, the department
may deliver a citation to the respondent who committed the violation by
certified mail or in person. The citation must specify the violation,
the corrective action to be taken, the time within which the corrective
action must be taken, the penalties that will result if corrective
action is not taken within the specified time period, and the process
for contesting the citation through a hearing. The complainant shall
also be mailed a copy of the citation.
(8) If after an investigation the department does not find an
unfair practice or violation of chapter 59.20 RCW, the department shall
deliver a written notice of that decision, including any appeal rights,
to both the complainant and the respondent.
(9) Department decisions regarding citations for violations and
penalties or the failure to find an unfair practice or violation of
chapter 59.20 RCW may be contested through an administrative hearing
under chapter 34.05 RCW. The administrative law judge appointed under
chapter 34.12 RCW shall hear and receive pertinent evidence and
testimony. The administrative law judge shall decide whether the
evidence supports the violation by a preponderance of evidence. The
administrative law judge shall enter an appropriate order within thirty
days after the close of the hearing and immediately mail copies of the
order to the affected parties. The order of the administrative law
judge constitutes the final agency order of the department, and is
appealable to superior court pursuant to chapter 34.05 RCW.
(10) In order to obtain a hearing, the complainant or respondent
must, within thirty days of receiving a citation or written notice from
the department denying the complaint, request a hearing. If a hearing
is not requested within this time period, the citation or written
notice constitutes a final order of the department and is not subject
to review by any court or agency.
(11) For violations that substantially endanger or impair the
health or safety of a complainant resulting in a citation, corrective
action by the respondent must take place within twenty-four hours of
the receipt of the department's citation. For violations involving the
failure of the landlord to provide heat, water, or electricity,
corrective action must take place within forty-eight hours of the
receipt of the department's citation. For all other violations,
corrective action must take place within fifteen days of the receipt of
the department's citation.
(12) If a respondent fails to take corrective action within the
required time period and the department has not received a timely
request for an administrative hearing, the department may impose a
fine, up to a maximum of five thousand dollars per violation, for every
day that the violation remains uncorrected. The department shall
establish written guidelines, adopted by rule, for issuing fines. The
department may consider aggravating or mitigating circumstances in
assessing any fine. The party to whom a fine has been assessed may
appeal the amount of the fine by requesting a hearing within thirty
days of receipt of the department's action. If a hearing is not
requested within this time period, the fine assessment constitutes a
final order of the department and is not subject to review by any court
or agency.
(13) The department may issue an order requiring the respondent, or
its assignee or agent, to cease and desist from an unfair or unlawful
practice and take such affirmative actions that in the judgment of the
department will carry out the purposes of this chapter. The
affirmative actions may include, but are not limited to, the following:
(a) Refunds of rent increases, improper fees, charges, and
assessments collected in violation of the terms of this chapter;
(b) Filing and utilization of documents which correct a statutory
or rule violation;
(c) Reasonable action necessary to correct a statutory or rule
violation.
(14) Upon application to the department by the respondent showing
that a good faith effort to comply with the corrective action
requirements of the citation has been made and that the corrective
action has not been completed because of factors beyond the
respondent's control, the department may extend the time period in
which corrective action must be taken before fines are imposed.
(15) When the department imposes a fine, refund, or other penalty
against the respondent, the respondent is not entitled to any recovery
or reimbursement of the fine, refund, or other penalty from the tenants
or homeowners.
(16) This section is not exclusive and does not limit the right of
landlords or tenants to take legal action against another party as
provided in chapter 59.20 RCW or otherwise. Exhaustion of this
administrative remedy is not required before bringing legal action.
This section does not apply to unlawful detainer actions initiated
under RCW 59.20.080; however, a tenant is not precluded from seeking
relief under this chapter if the complaint claims the notice of
termination violates RCW 59.20.080.
NEW SECTION. Sec. 4 The director or individuals acting on the
director's behalf are immune from suit in any action, civil or
criminal, based upon any disciplinary actions or other official acts
performed in the course of their duties under this chapter, except
their intentional or willful misconduct.
NEW SECTION. Sec. 5 (1) All mobile home parks and manufactured
housing communities must be registered with the department.
(2) To apply for registration, the owner of a mobile home park or
manufactured housing community must file with the department an
application for registration on a form prescribed by the department.
The department may adopt rules to prescribe the contents of the
application. The application must include, but is not limited to:
(a) The name and address of the owner of the mobile home park or
manufactured housing community;
(b) The name and address of the mobile home park or manufactured
housing community;
(c) The name and address of the manager of the mobile home park or
manufactured housing community; and
(d) The number of lots within the mobile home park or manufactured
housing community that are subject to chapter 59.20 RCW.
(3) Certificates of registration are effective on the date issued
by the department. The department shall assign an expiration date and
the registration must be renewed annually.
NEW SECTION. Sec. 6 The department must:
(1) Compile the most accurate list possible of all the mobile home
parks or manufactured housing communities in the state, the number of
lots subject to chapter 59.20 RCW located in each mobile home park or
manufactured housing community, and the names and addresses of the
owners of these parks. The department is encouraged to work with
groups including, but not limited to: The office of community
development, mobile homeowners' associations, tenant advocacy groups,
park owners' associations, and county assessors to generate the list;
(2) Send out notifications to all known mobile home park owners or
manufactured housing community owners that the first annual assessments
pursuant to section 7 of this act are due. These notifications must
include information about late fees, liens, and passing costs on to
tenants; and
(3) Collect the first annual assessments due from all mobile home
park owners or manufactured housing community owners, and allow ninety
days to pass before late fees and lien notices are sent to noncomplying
owners as provided in this chapter.
NEW SECTION. Sec. 7 (1) The owner of each mobile home park or
manufactured housing community shall pay to the department an annual
registration assessment to fund the costs associated with administering
this chapter. The assessment must be set by rule and determined
annually by the department, and may not exceed ten dollars for each
mobile home or manufactured home that is subject to chapter 59.20 RCW
within a park or community. Manufactured housing community owners or
mobile home park owners may pass on no more than one-half the cost of
this assessment to tenants. The annual assessment is to be collected
on the date of the registration.
(2) If an owner fails to pay the annual assessments before the
registration expiration date, a late fee as determined by the director
by rule shall be assessed. The owner is not entitled to any
reimbursement of this fee from the tenants. The owner is precluded
from utilizing any of the remedies of this chapter or any other remedy
provided in chapter 59.20 RCW if the annual assessment is not paid.
(3) If an owner fails to pay the required assessments within ninety
days of the registration expiration date, the amount due under this
section becomes a lien in favor of the state upon the owner's property.
The lien is superior to all other liens and encumbrances except general
taxes and local and special assessments, and bears interest computed
monthly and compounded annually at a rate of eight percent.
NEW SECTION. Sec. 8 The manufactured/mobile home investigations
account is created in the custody of the state treasurer. All receipts
from the imposition of fines under section 3 of this act and the
assessments and late fees collected under section 7 of this act must be
deposited into the account. Expenditures from the account may be used
only for the costs associated with administering this chapter. Only
the director or the director's designee may authorize expenditures from
the account. The account is subject to allotment procedures under
chapter 43.88 RCW, but an appropriation is not required for
expenditures.
Sec. 9 RCW 59.22.050 and 1991 c 327 s 3 are each amended to read
as follows:
(1) In order to provide general assistance to mobile home resident
organizations, park owners, and landlords and tenants, the department
shall establish an office of mobile home affairs which will serve as
the coordinating office within state government for matters relating to
mobile homes or manufactured housing.
This office will ((provide an ombudsman service to mobile home park
owners and mobile home tenants with respect to problems and disputes
between park owners and park residents and to)) provide technical
assistance to resident organizations or persons in the process of
forming a resident organization pursuant to chapter 59.22 RCW. The
office will keep records of its activities in this area.
(2) The office shall perform all the consumer complaint and related
functions of the state administrative agency that are required for
purposes of complying with the regulations established by the federal
department of housing and urban development for manufactured housing,
including the preparation and submission of the state administrative
plan.
(3) The office shall administer the mobile home relocation
assistance program established in chapter 59.21 RCW, including
verifying the eligibility of tenants for relocation assistance.
NEW SECTION. Sec. 10 A new section is added to chapter 34.12 RCW
to read as follows:
When requested by the department of licensing, the chief
administrative law judge shall assign an administrative law judge to
conduct proceedings under Title 59 RCW.
NEW SECTION. Sec. 11 Sections 1, 2, and 4 through 9 of this act
are necessary for the immediate preservation of the public peace,
health, or safety, or support of the state government and its existing
public institutions, and take effect July 1, 2005. The remainder of
this act takes effect January 1, 2006.
NEW SECTION. Sec. 12 Sections 1 through 8 of this act constitute
a new chapter in Title 59 RCW.