AN ACT Relating to mobile home park closure; amending RCW 59.20.080; creating a new chapter in Title 59 RCW; and declaring an emergency.

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

NEW SECTION. Sec. 1. Mobile home park landlords shall provide reasonable relocation assistance or three-year notice under this chapter and RCW 59.20.080 to mobile home park tenants upon the closure or conversion to another use of a mobile home park. However, no such relocation assistance is required under this chapter if relocation assistance for the same mobile home park tenant for the same relocation has been, is, or will be required under any other law.

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) "Department" means the department of community development.

(3) "Fund" means the mobile home park relocation fund established under section 6 of this act consisting of tenant and landlord contributions.

(4) "Mobile home park" or "park" means real property that is rented or held out for rent to others for the placement of two or more mobile homes for the primary purpose of production of income, except where the real property is rented or held out for rent for seasonal recreational purpose only and is not intended for year-round occupancy.

(5) "Relocation assistance" is the monetary assistance provided under section 3 of this act.

NEW SECTION. Sec. 3. (1) Unless thirty-six months' notice is provided according to RCW 59.20.080, if a mobile home park is closed or converted to another use, all affected park tenants are entitled to relocation assistance from the park owner or the fund as follows: (a) For single-wide mobile homes, four thousand five hundred dollars; and (b) for double-wide mobile homes, seven thousand five hundred dollars. When a tenant is forced to relocate before July 1, 1991, the payment of relocation assistance as provided by this section shall be paid by the park owner.

(2) When a tenant is forced to relocate after June 30, 1991, the payment of relocation assistance as provided in this section shall be shared as follows: (a) The landlord or park owner shall provide two-thirds, and (b) the fund shall provide one-third unless thirty-six months notice has been given, in which case the full amount shall be paid by the fund.

(3) The director or his or her designee shall approve all expenditures from the fund. If at any given time the fund is unable to meet its obligation under this section, the affected tenancies may not be terminated until sufficient revenue accrues to pay the required relocation assistance, or until the landlord pays both his or her share and the amount owed by the fund.

NEW SECTION. Sec. 4. Notice required by RCW 59.20.080 before park closure or conversion of the park or termination of any tenancy without cause, whether twelve months or longer, shall be given to the director and all tenants in writing, and posted in at least three conspicuous locations throughout the park. Notice must also include the tenant's right to relocation assistance, if applicable.

NEW SECTION. Sec. 5. A tenant is not entitled to relocation assistance under section 3 of this act if (1) the tenant has given notice to the landlord of his or her intent to vacate the park and terminate the tenancy before any notice of termination required by the landlord under this chapter has been given, or (2) a person purchases a mobile home already situated in the park or moves a mobile home into the park after a closure or change of use notice has been given and the person has received actual prior notice of the change or closure.

NEW SECTION. Sec. 6. (1) The mobile home park relocation fund is created in the custody of the state treasurer. All receipts from assessments collected under section 7 of this act and amounts required to be paid by park owners shall be deposited into the fund. Expenditures from the fund may be used only for administration of the fund and relocation assistance under section 3 of this act. Only the director of community development or the director's designee may authorize expenditures from the fund. All relocation payments, including those due from the park owner shall be made from the fund. The fund is subject to allotment procedures under chapter 43.88 RCW, but no appropriation is required for expenditures.

(2) 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. Unexpended and unencumbered moneys that remain 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, or for deposit into the mobile home park purchase fund under section 7(2) of this act, as the director deems appropriate. A tenant who is entitled to relocation assistance under this chapter is entitled to payment from the fund thirty days after the tenant submits to the director a copy of the notice from the park owner that the tenancy is terminated due to closure of the park, and a copy of the rental agreement currently in force. No payment may be made until the director has contacted the park owner, or attempted to contact the owner by first class mail, in order to verify the validity of the rental agreement and notice of termination.

(3) The director may adopt rules for the administration of the fund.

(4) The department may use money from the fund to offset the necessary costs of administering the fund. Administrative cost reimbursement shall not exceed fifty thousand dollars or five percent of the revenue to the fund for any given fiscal year, whichever is greater, to offset expenses incurred during that year.

NEW SECTION. Sec. 7. (1) Beginning with tax year 1990, each owner of a mobile home that is not defined as real property under state law shall pay an annual assessment to the state of ten dollars for each mobile home 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. The assessment constitutes a lien on the mobile home.

(2) If the director determines at the end of any fiscal year beginning after December 31, 1991, that the fund contains a surplus over the amount needed for relocation during the previous year, the surplus shall be transferred to the mobile home park purchase fund created by chapter 59.22 RCW.

NEW SECTION. Sec. 8. Before a mobile home park owner may close a mobile home park or convert it to another use, the owner shall pay amounts owed for relocation assistance under section 3 of this act to the state treasurer for deposit into the fund. A park owner may give notice as required by RCW 59.20.080 and this chapter before payment of these amounts.

Sec. 9. Section 8, chapter 279, Laws of 1977 ex. sess. as last amended by section 5, chapter 150, Laws of 1988 and RCW 59.20.080 are each amended to read as follows:

(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 ((~~twelve~~)) thirty-six months' notice in advance of the ((~~proposed effective~~)) date of such ((~~change~~)) termination. A tenancy may be terminated after twelve months' notice for the reasons set forth in this subsection if the landlord pays relocation assistance to the tenants as provided in section 3 of this act;

(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~~)) thirty-six 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 (1)(e) of this section. A tenancy may be terminated without cause after twelve months' notice if the landlord pays relocation assistance to the tenants as provided in section 3 of this act.

(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. 10. Sections 1 through 8 of this act constitute a new chapter in Title 59 RCW.

NEW SECTION. Sec. 11. 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.