SENATE BILL REPORT

ESHB 1884

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 of February 1, 2018

Title: An act relating to eligibility for relocation assistance for tenants of closed or converted mobile home parks.

Brief Description: Concerning relocation assistance for manufactured/mobile home park tenants.

Sponsors: House Committee on Community Development, Housing & Tribal Affairs (originally sponsored by Representatives Ryu, Barkis, Goodman, Stokesbary and Pollet).

Brief History: Passed House: 1/22/18, 70-25.

Committee Activity: Financial Institutions & Insurance: 2/01/18.

Brief Summary of Bill

  • Authorizes manufactured/mobile home park tenants seeking relocation assistance from the Mobile and Manufactured Home Relocation Assistance Program (Relocation Assistance Program) to receive other funding for relocation purposes without reducing their eligibility for relocation assistance funds.

  • Requires that a manufactured/mobile home park tenant's combined relocation assistance from the Relocation Assistance Program and other sources not exceed the tenant's actual relocation expenses.

  • Authorizes qualifying manufactured/mobile home park tenants to use Relocation Assistance Program funds to secure housing that is not a manufactured home.

SENATE COMMITTEE ON FINANCIAL INSTITUTIONS & INSURANCE

Staff: Jarrett Sacks (786-7448)

Background: The Office of Mobile and Manufactured Home Relocation Assistance (Office), in the Department of Commerce (Commerce), provides general assistance to mobile and manufactured home resident organizations, tenant organizations, and mobile and manufactured home community owners.

The Office provides financial assistance for displaced mobile/manufactured homeowners under the Relocation Assistance Program when mobile home parks close. The financial assistance is provided on a first-come, first-served basis to low-income persons owning mobile homes in mobile home parks that are scheduled for closure or conversion to another use. Tenants residing in parks that are closed because of park-owner fraud or health and safety concerns are given priority.

To be eligible for relocation assistance:

Eligible mobile home owners may receive reimbursement of relocation expenses up to $12,000 for a multi-section home and $7,500 for a single-section home. The Relocation Assistance Program is funded by a $100 fee on the issuance of a certificate of title for mobile and manufactured homes, which is deposited into the Mobile Home Park Relocation Fund.

If a person receives any payments for relocation, outside of funds provided by the Relocation Assistance Program, the funds from the Relocation Assistance Program are reduced by the amount of outside funding received. If the amount of assistance received from an outside source exceeds the maximum amount of assistance a person is eligible for under the Relocation Assistance Program, then the person is not eligible for Relocation Assistance Program funds.

Summary of Bill: The definition of relocate is expanded, giving tenants the ability to use Relocation Assistance Program funds to secure other housing when their manufactured/mobile home has been demolished and disposed of.

Relocation assistance is no longer reduced by the amount of outside funding received, and recipients are not disqualified if they receive outside funding that exceeds the amount of relocation assistance for which they are eligible. A tenant's combined relocation assistance funds may not exceed the tenant's actual relocation expenses.

The Mobile Home Park Relocation fund is renamed to the Manufactured/Mobile Home Park Relocation Fund. Commerce may use money from the fund for administrative expenses.

Changes are made to the relocation assistance application requirements, including eliminating different application processes for different types of applicants.

Appropriation: None.

Fiscal Note: Available.

Creates Committee/Commission/Task Force that includes Legislative members: No.

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

Staff Summary of Public Testimony: PRO: This bill has bipartisan support in the House and is a compromise between landlords, tenants, and Commerce. The housing shortage increases pressure to repurpose mobile home parks and more parks are closing. This bill gives tenants more flexibility and allows them to get more help to relocate. It also allows landlords to help tenants. Currently, most homes cannot be relocated and the tenants cannot move into available housing. The bill does not require appropriation.

OTHER: This bill allows great flexibility for the Department of Commerce and tenants. Commerce is supportive of the underlying policy. There is sufficient fund balance to incorporate changes because the fund is cyclical. This bill is a consensus solution between stakeholders.

Persons Testifying: PRO: Craig Hillis, MHCW; Peter Kwon, Councilmember, City of SeaTac; Don Carlson, President, Association of Manufactured Homes (AMHO). OTHER: Jaime Rossman, Policy Advisor, Washington State Department of Commerce; Brigid Henderson, Department of Commerce.

Persons Signed In To Testify But Not Testifying: No one.