AN ACT Relating to mobile home relocation assistance; adding a new chapter to Title 59 RCW; providing an effective date; and declaring an emergency.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

NEW SECTION. Sec. 1. The legislature finds that mobile home parks are closing with increasing frequency because the land use designation is changed from a mobile home park to other uses. These other uses usually are the development of multi-unit rental buildings, that are not for low-income persons, or the development of commercial buildings.

The change in land use results in a profit for the park owner and developer. However, the tenants of the mobile home park have severe financial and emotional hardships as a result of the park closure. These tenants are often low income or elderly and cannot afford to relocate to another park. Many of these homes are older homes, and therefore are more difficult to relocate. Also, there is a shortage of spaces to relocate to in some areas.

The legislature also finds that the mobile home park owner or developer bears some responsibility for the relocation of the tenant. Advertisements by the mobile home industry, which includes the mobile home park owner, imply that mobile homes and mobile home parks provide a long-term affordable housing alternative to other forms of housing. It is the intent of this chapter to require adequate notice by the park owner to the tenant of the land use change, and for the park owner to assist in relocating the tenant.

NEW SECTION. Sec. 2. Unless the context clearly requires otherwise, the definitions in this section apply throughout this chapter.

(1) "Director" means the director of the department of community development.

(2) "Fund" means the mobile home relocation fund.

NEW SECTION. Sec. 3. (1) The landlord shall notify all tenants in writing of a change in use at least twenty-four months before the change in use.

(2) If a tenant is required to move due to a change in use, the tenant is entitled to payment from the landlord for the lesser of the actual moving expenses of the mobile home to a new location within a fifty-mile radius of the vacated park or an amount of two thousand dollars for a single section mobile home and three thousand two hundred dollars for a multisection mobile home. The costs include the cost of taking down, moving, and setting up the mobile home in the new location. The tenant must submit the contract for relocating the mobile home to the landlord for approval as a condition to the landlord's liability to pay relocation expenses. If the landlord refuses to pay the contract, the landlord shall either provide for relocating the mobile home to a new location or pay the tenant the maximum amount under this subsection.

(3) If this state or a political subdivision of this state exercises eminent domain and the mobile home park is sold or a sale is made to this state or a political subdivision of this state that intends to exercise eminent domain, the state or political subdivision is responsible for the relocation costs of the tenants.

(4) If a tenant is vacating the premises and has informed the landlord or manager before the change in use notice has been given, the tenant is not eligible for compensation under this section.

(5) A person who purchases a mobile home already situated in a park or moves a mobile home into a park in which a change in use notice has been given is not eligible for compensation under this section.

(6) This section does not apply to a change in use of part of the mobile home park if the landlord moves a tenant to another space in the mobile home park, not affected by the change, at the landlord's expense.

(7) This section shall expire January 1, 1992.

NEW SECTION. Sec. 4. (1) The landlord shall notify the director and all tenants in writing of a change in use at least one hundred eighty days before the change in use.

(2) The landlord shall inform all tenants in writing about the mobile home relocation fund established in section 5 of this act.

(3) If a tenant is required to move due to a change in use, the tenant is entitled to payment from the mobile home relocation fund for the lesser of the actual moving expenses of the mobile home to a new location within a fifty-mile radius of the vacated park or an amount of two thousand five hundred dollars for a single section mobile home and four thousand dollars for a multisection mobile home. The costs include the cost of taking down, moving, and setting up the mobile home in the new location.

(4) Except as provided in subsection (6) of this section, if there is a change in use the landlord shall pay five hundred dollars for each single section mobile home and eight hundred dollars for each multisection mobile home relocated from and after January 1, 1992, to the fund for each tenant filing for relocation assistance with the director.

(5) If a change in use occurs before the time stated in the statements of policy and the landlord does not comply with subsection (1) of this section, the landlord shall pay to the fund in addition to the moneys prescribed in subsection (4) of this section:

(a) Five hundred dollars for each mobile home space occupied by a single section mobile home; and

(b) Eight hundred dollars for each mobile home space occupied by a multisection mobile home.

(6) The landlord is not required to make the payments prescribed in subsections (4) and (5) of this section for moving mobile homes owned by the landlord or for moving a mobile home under a contract with the tenant if the tenant does not file for relocation assistance with the director.

(7) The tenant shall submit a contract for relocation of a mobile home for approval to the director at least sixty days before the relocation to be eligible for payment of relocation expenses. The director must approve or disapprove the contract within fifteen days after receipt of the contract, or the contract is deemed to be approved. The payment of expenses shall be made before or at the time of relocation as provided in the rules adopted by the director. If the contract is not approved, the tenant may appeal to the hearing officer.

(8) If this state or a political subdivision of this state exercises eminent domain and the mobile home park is sold or a sale is made to this state or political subdivision of this state that intends to exercise eminent domain, the state or political subdivision is responsible for the relocation costs of the tenants.

(9) If a tenant is vacating the premises and has informed the landlord or manager before the change in use notice has been given, the tenant is not eligible for compensation under this section.

(10) A person who purchases a mobile home already situated in a park or moves a mobile home into a park in which a change in use notice has been given is not eligible for compensation under this section.

(11) This section does not apply to a change in use if the landlord moves a tenant to another space in the mobile home park at the landlord's expense.

NEW SECTION. Sec. 5. (1) The fund is established in the office of the treasurer to be administered by the department of community development and consists of moneys collected under section 6 of this act.

(2) Fund moneys shall be used to pay premiums and other costs of purchasing, from a private insurer who is licensed to transact insurance business in this state, insurance coverage for tenant relocation costs due to a change in use as prescribed in section 3 or 4 of this act. Any insurance rebates shall be deposited in the fund. If such insurance is not available, or if the insurance costs exceed the amount available from the fund, the fund shall be used to make direct payments for tenant relocation costs.

(3) The state treasurer shall maintain the fund and shall invest the fund moneys. Moneys earned on these investments shall be deposited in the fund and shall be used for the same purposes as other fund moneys. The state treasurer shall hold at least ten percent of the fund moneys for payment of insurance premiums and related costs. Any unexpended and unencumbered moneys remaining in the fund at the end of the fiscal year do not revert to the state general fund but remain in the fund, separately accounted for, as a contingency reserve.

(4) The director may adopt, amend, or repeal rules for the administration of the fund. Fund moneys shall be paid to the department of community development to offset the costs of administering the fund.

NEW SECTION. Sec. 6. (1) Beginning with tax year 1990 each owner of a mobile home that is not defined as real property under state law shall pay each year to the state an assessment equal to a rate of fifty cents per one hundred dollars of the taxable assessed valuation, for each mobile home he or she owns, for the purpose of providing moneys for the fund. The county treasurer shall collect the assessment imposed by this subsection at the same time and in the same manner as personal property taxes, separately listed on the tax roll, and transfer the revenues collected to the state treasurer for credit to the fund and shall also send to the state treasurer a written notice of the total taxable assessed valuation, of all mobile homes in the county on which the assessment prescribed by this section is assessed. The assessment constitutes a lien on the mobile home.

(2) The director shall notify all county assessors to waive the assessment for any year beginning on or after January 1, 1992, if the moneys in the fund exceed five million dollars. If at the end of a fiscal year the amount of moneys in the fund is less than three million dollars, the director may reinstate the assessment prescribed by this section.

NEW SECTION. Sec. 7. (1) Except as provided in subsection (2) of this section, the landlord shall not terminate a tenancy, of whatever duration except for one or more of the following reasons:

(a) Substantial violation, or repeated or periodic violations of the rules of the mobile home park as established by the landlord at the inception of the tenancy or as assumed subsequently with the consent of the tenant or for violation of the tenant's duties as provided in RCW 59.20.140. The tenant shall be given written notice to cease the rule violation immediately. The notice shall state that failure to cease the violation of the rule or any subsequent violation of that or any other rule shall result in termination of the tenancy, and that the tenant shall vacate the premises within fifteen days: PROVIDED, That for a periodic violation the notice shall also specify that repetition of the same violation shall result in termination: PROVIDED FURTHER, That in the case of a violation of a "material change" in park rules with respect to pets, tenants with minor children living with them, or recreational facilities, the tenant shall be given written notice under this chapter of a six-month period in which to comply or vacate;

(b) Nonpayment of rent or other charges specified in the rental agreement, upon five days' written notice to pay rent and/or other charges or to vacate;

(c) Conviction of the tenant of a crime, commission of which threatens the health, safety, or welfare of the other mobile home park tenants. The tenant shall be given written notice of a fifteen-day period in which to vacate;

(d) Failure of the tenant to comply with local ordinances and state laws and regulations relating to mobile homes or mobile home living within a reasonable time after the tenant's receipt of notice of such noncompliance from the appropriate governmental agency;

(e) Change of land use of the mobile home park including, but not limited to, conversion to a use other than for mobile homes or conversion of the mobile home park to a mobile home park cooperative or mobile home park subdivision: PROVIDED, That the landlord shall give the tenants twenty-four months' notice in advance of the proposed effective date of such change: PROVIDED FURTHER, That chapter 59.-- RCW (sections 1 through 8 of this act) may apply;

(f) Engaging in "drug-related activity." "Drug-related activity" means that activity which constitutes a violation of chapter 69.41, 69.50, or 69.52 RCW.

(2) A landlord may terminate any tenancy without cause. Such termination shall be effective twelve months from the date the landlord serves notice of termination upon the tenant or at the end of the current tenancy, whichever is later: PROVIDED, That a landlord shall not terminate a tenancy for any reason or basis which is prohibited under RCW 59.20.070 (3) or (4) or is intended to circumvent the provisions of subsection (1)(e) of this section.

(3) Within five days of a notice of eviction as required by subsection (1)(a) or (2) of this section, the landlord and tenant shall submit any dispute, including the decision to terminate the tenancy without cause, to mediation. The parties may agree in writing to mediation by an independent third party or through industry mediation procedures. If the parties cannot agree, then mediation shall be through industry mediation procedures. A duty is imposed upon both parties to participate in the mediation process in good faith for a period of ten days for an eviction under subsection (1)(a) of this section, or for a period of thirty days for an eviction under subsection (2) of this section. It is a defense to an eviction under subsection (1)(a) or (2) of this section that a landlord did not participate in the mediation process in good faith.

NEW SECTION. Sec. 8. The department of community development and the office of the treasurer may implement any rules necessary to carry out this chapter.

NEW SECTION. Sec. 9. Sections 1 through 8 of this act shall constitute a new chapter in Title 59 RCW.

NEW SECTION. Sec. 10. This act is necessary for the immediate preservation of the public peace, health, or safety, or support of the state government and its existing public institutions, and shall take effect immediately, except for section 4 of this act which shall take effect January 1, 1992.

NEW SECTION. Sec. 11. If any provision of this act or its application to any person or circumstance is held invalid, the remainder of the act or the application of the provision to other persons or circumstances is not affected.