Bill Text: MN HF1887 | 2013-2014 | 88th Legislature | Introduced


Bill Title: Manufactured home relocation trust fund provisions modified.

Spectrum: Slight Partisan Bill (Democrat 2-1)

Status: (Introduced - Dead) 2014-04-03 - Author added Wills [HF1887 Detail]

Download: Minnesota-2013-HF1887-Introduced.html

1.1A bill for an act
1.2relating to manufactured homes; park lot rentals; making changes to the
1.3manufactured home relocation trust fund;amending Minnesota Statutes 2012,
1.4section 327C.095, subdivisions 12, 13.
1.5BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.6    Section 1. Minnesota Statutes 2012, section 327C.095, subdivision 12, is amended to
1.7read:
1.8    Subd. 12. Payment to the Minnesota manufactured home relocation trust fund.
1.9    (a) If a manufactured home owner is required to move due to the conversion of all or a
1.10portion of a manufactured home park to another use, the closure of a park, or cessation of
1.11use of the land as a manufactured home park, the manufactured park owner shall, upon
1.12the change in use, pay to the commissioner of management and budget for deposit in the
1.13Minnesota manufactured home relocation trust fund under section 462A.35, the lesser
1.14amount of the actual costs of moving or purchasing the manufactured home approved
1.15by the neutral third party and paid by the Minnesota Housing Finance Agency under
1.16subdivision 13, paragraph (a) or (e), or $3,250 for each single section manufactured
1.17home, and $6,000 for each multisection manufactured home, for which a manufactured
1.18home owner has made application for payment of relocation costs under subdivision 13,
1.19paragraph (c). The manufactured home park owner shall make payments required under
1.20this section to the Minnesota manufactured home relocation trust fund within 60 days of
1.21receipt of invoice from the neutral third party.
1.22    (b) A manufactured home park owner is not required to make the payment prescribed
1.23under paragraph (a), nor is a manufactured home owner entitled to compensation under
1.24subdivision 13, paragraph (a) or (e), if:
2.1    (1) the manufactured home park owner relocates the manufactured home owner to
2.2another space in the manufactured home park or to another manufactured home park at
2.3the park owner's expense;
2.4    (2) the manufactured home owner is vacating the premises and has informed the
2.5manufactured home park owner or manager of this prior to the mailing date of the closure
2.6statement under subdivision 1;
2.7    (3) a manufactured home owner has abandoned the manufactured home, or the
2.8manufactured home owner is not current on the monthly lot rental, personal property taxes;
2.9    (4) the manufactured home owner has a pending eviction action for nonpayment of
2.10lot rental amount under section 327C.09, which was filed against the manufactured home
2.11owner prior to the mailing date of the closure statement under subdivision 1, and the writ
2.12of recovery has been ordered by the district court;
2.13    (5) the conversion of all or a portion of a manufactured home park to another use,
2.14the closure of a park, or cessation of use of the land as a manufactured home park is the
2.15result of a taking or exercise of the power of eminent domain by a governmental entity
2.16or public utility; or
2.17    (6) the owner of the manufactured home is not a resident of the manufactured home
2.18park, as defined in section 327C.01, subdivision 9, or the owner of the manufactured home
2.19is a resident, but came to reside in the manufactured home park after the mailing date of
2.20the closure statement under subdivision 1.
2.21    (c) If the unencumbered fund balance in the manufactured home relocation trust
2.22fund is less than $1,000,000 $5,000,000 as of June 30 of each year, the commissioner of
2.23management and budget shall assess each manufactured home park owner by mail the
2.24total amount of $12 for each licensed lot in their park, payable on or before September 15
2.25of that year. The commissioner of management and budget shall deposit any payments in
2.26the Minnesota manufactured home relocation trust fund. On or before July 15 of each
2.27year, the commissioner of management and budget shall prepare and distribute to park
2.28owners a letter explaining whether funds are being collected for that year, information
2.29about the collection, an invoice for all licensed lots, and a sample form for the park owners
2.30to collect information on which park residents have been accounted for. If assessed under
2.31this paragraph, the park owner may recoup the cost of the $12 assessment as a lump
2.32sum or as a monthly fee of no more than $1 collected from park residents together with
2.33monthly lot rent as provided in section 327C.03, subdivision 6. Park owners may adjust
2.34payment for lots in their park that are vacant or otherwise not eligible for contribution to
2.35the trust fund under section 327C.095, subdivision 12, paragraph (b), and deduct from the
2.36assessment accordingly.
3.1    (d) This subdivision and subdivision 13, paragraph (c), clause (5), are enforceable by
3.2the neutral third party, on behalf of the Minnesota Housing Finance Agency, or by action
3.3in a court of appropriate jurisdiction. The court may award a prevailing party reasonable
3.4attorney fees, court costs, and disbursements.

3.5    Sec. 2. Minnesota Statutes 2012, section 327C.095, subdivision 13, is amended to read:
3.6    Subd. 13. Change in use, relocation expenses; payments by park owner. (a)
3.7If a manufactured home owner is required to relocate due to the conversion of all or a
3.8portion of a manufactured home park to another use, the closure of a manufactured home
3.9park, or cessation of use of the land as a manufactured home park under subdivision 1,
3.10and the manufactured home owner complies with the requirements of this section, the
3.11manufactured home owner is entitled to payment from the Minnesota manufactured home
3.12relocation trust fund equal to the manufactured home owner's actual relocation costs for
3.13relocating the manufactured home to a new location within a 25-mile radius of the park
3.14that is being closed, up to a maximum of $4,000 $6,000 for a single-section and $8,000
3.15 $12,000 for a multisection manufactured home. The actual relocation costs must include
3.16the reasonable cost of taking down, moving, and setting up the manufactured home,
3.17including equipment rental, utility connection and disconnection charges, minor repairs,
3.18modifications necessary for transportation of the home, necessary moving permits and
3.19insurance, moving costs for any appurtenances, which meet applicable local, state, and
3.20federal building and construction codes.
3.21    (b) A manufactured home owner is not entitled to compensation under paragraph (a)
3.22if the manufactured home park owner is not required to make a payment to the Minnesota
3.23manufactured home relocation trust fund under subdivision 12, paragraph (b).
3.24    (c) Except as provided in paragraph (e), in order to obtain payment from the
3.25Minnesota manufactured home relocation trust fund, the manufactured home owner shall
3.26submit to the neutral third party and the Minnesota Housing Finance Agency, with a copy
3.27to the park owner, an application for payment, which includes:
3.28    (1) a copy of the closure statement under subdivision 1;
3.29    (2) a copy of the contract with a moving or towing contractor, which includes the
3.30relocation costs for relocating the manufactured home;
3.31    (3) a statement with supporting materials of any additional relocation costs as
3.32outlined in subdivision 1;
3.33    (4) a statement certifying that none of the exceptions to receipt of compensation
3.34under subdivision 12, paragraph (b), apply to the manufactured home owner;
4.1    (5) a statement from the manufactured park owner that the lot rental is current
4.2and that the annual $12 payments to the Minnesota manufactured home relocation trust
4.3fund have been paid when due; and
4.4    (6) a statement from the county where the manufactured home is located certifying
4.5that personal property taxes for the manufactured home are paid through the end of that year.
4.6    (d) If the neutral third party has acted reasonably and does not approve or deny
4.7payment within 45 days after receipt of the information set forth in paragraph (c), the
4.8payment is deemed approved. Upon approval and request by the neutral third party,
4.9the Minnesota Housing Finance Agency shall issue two checks in equal amount for 50
4.10percent of the contract price payable to the mover and towing contractor for relocating
4.11the manufactured home in the amount of the actual relocation cost, plus a check to the
4.12home owner for additional certified costs associated with third-party vendors, that were
4.13necessary in relocating the manufactured home. The moving or towing contractor shall
4.14receive 50 percent upon execution of the contract and 50 percent upon completion of
4.15the relocation and approval by the manufactured home owner. The moving or towing
4.16contractor may not apply the funds to any other purpose other than relocation of the
4.17manufactured home as provided in the contract. A copy of the approval must be forwarded
4.18by the neutral third party to the park owner with an invoice for payment of the amount
4.19specified in subdivision 12, paragraph (a).
4.20    (e) In lieu of collecting a relocation payment from the Minnesota manufactured
4.21home relocation trust fund under paragraph (a), the manufactured home owner may collect
4.22an amount from the fund after reasonable efforts to relocate the manufactured home
4.23have failed due to the age or condition of the manufactured home, or because there are
4.24no manufactured home parks willing or able to accept the manufactured home within a
4.2525-mile radius. A manufactured home owner may tender title of the manufactured home in
4.26the manufactured home park to the manufactured home park owner, and collect an amount
4.27to be determined by an independent appraisal. The appraiser must be agreed to by both the
4.28manufactured home park owner and the manufactured home owner. If the appraised market
4.29value cannot be determined, the tax market value, averaged over a period of five years, can
4.30be used as a substitute. The amount that may be reimbursed under the fund is a maximum
4.31of $5,000 $7,000 for a single-section and $9,000 $14,000 for a multisection manufactured
4.32home. The manufactured home owner shall deliver to the manufactured home park owner
4.33the current certificate of title to the manufactured home duly endorsed by the owner of
4.34record, and valid releases of all liens shown on the certificate of title, and a statement from
4.35the county where the manufactured home is located evidencing that the personal property
4.36taxes have been paid. The manufactured home owner's application for funds under this
5.1paragraph must include a document certifying that the manufactured home cannot be
5.2relocated, that the lot rental is current, that the annual $12 payments to the Minnesota
5.3manufactured home relocation trust fund have been paid when due, that the manufactured
5.4home owner has chosen to tender title under this section, and that the park owner agrees to
5.5make a payment to the commissioner of management and budget in the amount established
5.6in subdivision 12, paragraph (a), less any documented costs submitted to the neutral third
5.7party, required for demolition and removal of the home, and any debris or refuse left on the
5.8lot, not to exceed $1,000. The manufactured home owner must also provide a copy of the
5.9certificate of title endorsed by the owner of record, and certify to the neutral third party,
5.10with a copy to the park owner, that none of the exceptions to receipt of compensation under
5.11subdivision 12, paragraph (b), clauses (1) to (6), apply to the manufactured home owner,
5.12and that the home owner will vacate the home within 60 days after receipt of payment or the
5.13date of park closure, whichever is earlier, provided that the monthly lot rent is kept current.
5.14    In the event that the owner is unable to locate the title to the manufactured home,
5.15the owner of the home shall sign an affidavit setting forth: (1) the inability to locate the
5.16title; (2) the home owner's desire to transfer ownership of the home to the park owner
5.17for disposal purposes; and (3) the home owner's agreement to transfer ownership and
5.18releasing the park owner from any liability for the home's eventual disposal.
5.19    (f) The Minnesota Housing Finance Agency must make a determination of the
5.20amount of payment a manufactured home owner would have been entitled to under a local
5.21ordinance in effect on May 26, 2007. Notwithstanding paragraph (a), the manufactured
5.22home owner's compensation for relocation costs from the fund under section 462A.35, is
5.23the greater of the amount provided under this subdivision, or the amount under the local
5.24ordinance in effect on May 26, 2007, that is applicable to the manufactured home owner.
5.25Nothing in this paragraph is intended to increase the liability of the park owner.
5.26    (g) Neither the neutral third party nor the Minnesota Housing Finance Agency shall
5.27be liable to any person for recovery if the funds in the Minnesota manufactured home
5.28relocation trust fund are insufficient to pay the amounts claimed. The Minnesota Housing
5.29Finance Agency shall keep a record of the time and date of its approval of payment to a
5.30claimant.
5.31    (h) The agency shall report to the chairs of the senate Finance Committee and
5.32house of representatives Ways and Means Committee by January 15 of each year on
5.33the Minnesota manufactured home relocation trust fund, including the account balance,
5.34payments to claimants, the amount of any advances to the fund, the amount of any
5.35insufficiencies encountered during the previous calendar year, and any administrative
5.36charges or expenses deducted from the trust fund balance. If sufficient funds become
6.1available, the Minnesota Housing Finance Agency shall pay the manufactured home
6.2owner whose unpaid claim is the earliest by time and date of approval.
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