SENATE BILL REPORT

SB 5383

This analysis was prepared by non-partisan legislative staff for the use of legislative members in their deliberations. This analysis is not a part of the legislation nor does it constitute a statement of legislative intent.

As Reported by Senate Committee On:

Financial Institutions, Housing & Insurance, February 9, 2011

Title: An act relating to clarifying the manufactured housing and mobile home program functions and account.

Brief Description: Clarifying the manufactured housing and mobile home program functions and account.

Sponsors: Senators Conway, Benton and Hobbs.

Committee Activity: Financial Institutions, Housing & Insurance: 2/02/11, 2/09/11 [DP].

SENATE COMMITTEE ON FINANCIAL INSTITUTIONS, HOUSING & INSURANCE

Majority Report: Do pass.

Signed by Senators Hobbs, Chair; Prentice, Vice Chair; Benton, Ranking Minority Member; Haugen, Keiser and Litzow.

Staff: Alison Mendiola (786-7483)

Background: Office of Manufactured Housing. The Office of Manufactured Housing (Office) in the Department of Commerce provides general assistance to manufactured/mobile home resident organizations, tenant organizations, and manufactured/mobile home community owners. Among its duties, the Office provides technical assistance to tenants who are participating in the conversion of a mobile home park to resident ownership and may also provide secured loans where a significant number of the residents are low-income or infirm.

A $15 fee collected on the title transfer of certain manufactured/mobile homes is deposited in the Manufactured Housing Account (MH Account). The MH Account directs $5,000 annually to fund the cost of registering landlords and collecting fees, but this reference is to a fee that was repealed in 1996. The remaining funds are used to fund the Office of Manufactured Housing, except for the funds needed by the Department of Labor and Industries (L&I) (1) to be the state administrative agency under the federal Department of Housing and Urban Development's manufactured housing safety and construction standards program, and (2) for the Manufactured Home Installation Training Program.

Mobile Home Relocation Assistance Program. The Office also administers a Mobile Home Relocation Assistance Program (Relocation Program) that provides monetary assistance on a first-come, first-served basis to low-income persons owning mobile homes located in mobile home parks that are scheduled for closure. If eligible, the mobile home owner could receive reimbursement of relocation expenses up to $12,000 ($7,500 for a single-wide home). As of January 2011, the Relocation Program had a wait list with 12 eligible households.

The Relocation Program is funded by a $100 fee on the issuance of a certificate of title for certain manufactured/mobile homes. This fee is deposited in the Mobile Home Park Relocation Fund.

Manufactured Home Construction and Installation Programs. L&I is the designated state administrative agency for purposes of the federal Department of Housing and Urban Development's manufactured housing safety and construction standards program. Under this program, L&I is responsible for enforcing the federal standards at Washington manufacturing sites.

L&I also administers the Manufactured Home Installation Training Program (Installation Program). Under the Installation Program, persons wishing to be manufactured home installers may apply for certification. Certification is issued to persons who take the training, pass the examination, pay the required fees, and meet other qualifications.

L&I may charge fees to cover the costs of the program. Fees are deposited in the Manufactured Home Installation Training Account.

Summary of Bill: Office of Mobile/Manufactured Home Relocation Assistance. The name of the Office of Manufactured Housing is changed to the Office of Mobile/Manufactured Home Relocation Assistance. References to assistance for manufactured housing community owners or landlords are deleted. (The Office of Mobile/Manufactured Home Relocation Assistance continues to provide general assistance to tenants, including technical assistance related to park conversions, and to administer the Relocation Program.)

Manufactured Housing Account. The Director of the Department of Commerce may authorize expenditures from the MH Account of up to $5,000 annually for the functions of the Office of Mobile/Manufactured Home Relocation Assistance. Language is deleted that refers to using funds for costs incurred in registering landlords and collecting fees. The remaining funds in the account may be expended as authorized by the Director of L&I for the state administrative agency function and for the Installation Program.

The MH Account is subject to allotment but not appropriation. The MH Account is recodified in the law governing the Installation Program.

Technical Changes. Various technical changes are made, including:

amending definitions to delete the reference to the MH Account which is being recodified; and
revising the definition of mobile home to reflect the definition used by L&I under the law governing manufactured housing safety and construction standards.

Appropriation: None.

Fiscal Note: Available.

Committee/Commission/Task Force Created: No.

Effective Date: Ninety days after adjournment of session in which bill is passed.

Staff Summary of Public Testimony: PRO: This is really a technical bill. When the Installation Program was transferred from the Department of Commerce to L&I, the account that funds the program wasn't transferred, and this bill fixes that. The Department of Commerce has some technical comments that the proponents will work on to address.

Persons Testifying: PRO: Senator Conway, prime sponsor; Joan Brown, Northwest Housing Assn.