Bill Text: IL HB1047 | 2023-2024 | 103rd General Assembly | Introduced

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Bill Title: Amends the Mobile Home Local Services Tax Act. Provides that the tax imposed under the Act on a mobile home or manufactured home that (i) is located in a mobile home park that experiences a change in ownership on or after the effective date of the amendatory Act and (ii) is occupied as a primary residence by an eligible senior citizen may not exceed the tax imposed under the Act on that mobile home or manufactured home for the taxable year in which the change in ownership takes place. Amends the Mobile Home Landlord and Tenant Rights Act. Provides for a right of first refusal for tenants in the case of a sale or lease of a mobile home park. Adds provisions concerning tenants who are 65 years of age or older when there is a change in ownership of the mobile home park.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced) 2023-01-12 - Referred to Rules Committee [HB1047 Detail]

Download: Illinois-2023-HB1047-Introduced.html

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103RD GENERAL ASSEMBLY State of Illinois 2023 and 2024 HB1047 Introduced , by Rep. Mary E. Flowers SYNOPSIS AS INTRODUCED:
35 ILCS 515/3 from Ch. 120, par. 1203
35 ILCS 515/6.1 from Ch. 120, par. 1206.1
765 ILCS 745/8.6 new
765 ILCS 745/15.1 new
Amends the Mobile Home Local Services Tax Act. Provides that the tax imposed under the Act on a mobile home or manufactured home that (i) is located in a mobile home park that experiences a change in ownership on or after the effective date of the amendatory Act and (ii) is occupied as a primary residence by an eligible senior citizen may not exceed the tax imposed under the Act on that mobile home or manufactured home for the taxable year in which the change in ownership takes place. Amends the Mobile Home Landlord and Tenant Rights Act. Provides for a right of first refusal for tenants in the case of a sale or lease of a mobile home park. Adds provisions concerning tenants who are 65 years of age or older when there is a change in ownership of the mobile home park.
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A BILL FOR
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AN ACT concerning mobile homes.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 5. The Mobile Home Local Services Tax Act is
amended by changing Sections 3 and 6.1 as follows:
(35 ILCS 515/3) (from Ch. 120, par. 1203)
Sec. 3. Rate of tax; eligible senior citizens.
(a) Mobile homes in addition to such taxes as provided in
the "Use Tax Act" shall be subject to the following privilege
tax only, and to no ad valorem tax. Except as provided in
Section 7 and in those cases where the owner notifies the local
assessing authority, by sworn affidavit, that the mobile home
is uninhabited and will no longer be used for human
habitation, the owner of each mobile home shall pay to the
county treasurer of the county in which such mobile home is
located an annual tax to be computed at the rate shown in the
table below:
TAX YEAR FOLLOWING MODEL YEAR TAX PER SQUARE FOOT
OF MOBILE HOME
model year and 1st and 2nd
year following: 15¢
3rd, 4th and 5th years following
model year: 13.5¢

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6th, 7th and 8th years following
model year: 12¢
9th, 10th and 11th years following
model year: 10.5¢
12th, 13th and 14th years following
model year: 9¢
15th year following model year
and subsequent years: 7.5¢
For purposes of this Act, the square-footage shall be
based upon the outside dimensions of the mobile home excluding
the length of the tongue and hitch. The owner of a mobile home
on January 1 of any year shall be liable for the tax of that
year, except that the owner of a mobile home on July 1, 1976,
shall be liable for the tax for the period of July 1, 1976, to
December 31, 1976. This is not a limitation on any home rule
county.
(b) With respect to any mobile home or manufactured home
that (i) is located in a mobile home park that experiences a
change in ownership on or after the effective date of this
amendatory Act of the 103rd General Assembly and (ii) is
occupied as a principal place of residence by an eligible
senior citizen, for tax years beginning on or after the date
when the mobile home park experiences a change in ownership
and until the first taxable year to occur on or after the date
when the mobile home or manufactured home is no longer
occupied as a principal place of residence by an eligible

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senior citizen, the tax imposed under this Act on that mobile
home or manufactured home may not exceed the tax imposed under
this Act on that mobile home or manufactured home for the
taxable year in which the change in ownership takes place.
As used in this Section, "eligible senior citizen" means a
person who (i) is 65 years of age or older during the taxable
year in which the change in ownership of the mobile home park
takes place and (ii) is liable for the payment of the tax under
this Act on the subject mobile home or manufactured home.
(Source: P.A. 94-606, eff. 8-16-05.)
(35 ILCS 515/6.1) (from Ch. 120, par. 1206.1)
Sec. 6.1. If a tax bill is in error as to the square
footage of the mobile home, or as to the rate of tax, or the
amount of the tax liability, the owner may file within 6 months
following receipt of the bill an affidavit with the county
board of assessors, supervisor of assessments or county
assessor setting forth such error. If the tax bill does not
show the name of the correct owner, the person whose name
appears as owner on the bill may file an affidavit with the
county board of assessors, supervisor of assessments or county
assessor so stating and identifying the correct owner, if
known. Upon the filing of an affidavit as provided in this
Section, the county clerk or, in counties in which a county
assessor is elected pursuant to Section 3-45 of the Property
Tax Code, the county assessor shall issue a corrected bill and

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shall so indicate on his records.
(Source: P.A. 88-670, eff. 12-2-94.)
Section 10. The Mobile Home Landlord and Tenant Rights Act
is amended by adding Sections 8.6 and 15.1 and 15.2 as follows:
(765 ILCS 745/8.6 new)
Sec. 8.6. Sale of a mobile home park; right of first
refusal.
(a) A mobile home park owner shall give notice to each
tenant of the mobile home park if the park owner intends to
sell or lease all or part of the land on which the mobile home
park is located for any purpose. The notice under this
subsection shall be mailed by certified mail, and a
simultaneous copy shall be sent by certified mail to the
authority having jurisdiction, within 14 days after the date
on which any advertisement, listing, or public notice is first
made that the land is for sale or lease and, in any event, at
least 45 days before the sale or lease occurs. The notice shall
also include notice of tenants' rights under this Act. This
subsection does not apply to the lease of a single lot in a
mobile home park to an individual tenant or tenants.
(b) Before a mobile home park may be sold or leased for any
purpose that would result in a change in use of the mobile home
park or result in the property no longer being used as a mobile
home park, the park owner shall give notice to each tenant of

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the mobile home park, by certified mail, of any bona fide offer
for sale or lease that the owner intends to accept. The mobile
home park owner shall also send a simultaneous copy of the
notice by certified mail to the authority having jurisdiction.
Before any other sale or lease of mobile home park property,
the owner shall give each tenant and the authority having
jurisdiction notice of the offer only if more than 50% of the
tenants residing in the mobile home park notify the mobile
home park owner in writing that they would like to receive
information about the proposed sale or lease. Any notice of
the offer required to be given under this subsection shall
include the price and the terms and conditions of the offer.
The price shall be calculated as a single lump sum amount that
reflects (i) the total purchase price, (ii) the present value
of any installment payments offered in lieu of cash payment or
any promissory notes offered in lieu of cash payment, or (iii)
in the case of an offer to rent, the capitalized value of the
annual rent. This subsection does not apply to the lease of a
single lot in a mobile home park to an individual tenant or
tenants.
(c) In the case of a third party bona fide offer to
purchase that the park owner intends to accept, a group or
association of tenants representing at least 51% of the
tenants residing in the mobile home park who are entitled to
notice under paragraph (b) shall have the right to purchase
the subject property for the purpose of continuing the use of

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the property as a mobile home park. In the case of a third
party bona fide offer to lease that the owner intends to
accept, a group or association of tenants representing at
least 51% of the tenants residing in the mobile home park who
are entitled to notice under paragraph (b) shall have the
right to lease the subject property for the purpose of
continuing the use of the property as a mobile home park. In
either case, the group or association shall: (1) submit to the
owner reasonable evidence that the residents of at least 51%
of the occupied homes in the park have approved the purchase of
the mobile home park by the group or association; (2) submit to
the owner a proposed purchase and sale agreement or lease
agreement on substantially equivalent terms and conditions
within 45 days after receipt of notice of the offer made under
subsection (b) of this Section; (3) obtain a binding
commitment for any necessary financing or guarantees within an
additional 90 days after execution of the purchase and sale
agreement or lease; and (4) close on the purchase or lease
within an additional 90 days after the end of the 90-day period
under item (3).
No owner shall unreasonably refuse to enter into, or
unreasonably delay the execution or closing on, a purchase and
sale or lease agreement with tenants who have made a bona fide
offer to meet the price and substantially equivalent terms and
conditions of an offer for which notice is required to be given
pursuant to subsection (b). Failure of the tenants to submit

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such a purchase and sale agreement or lease within the first
45-day period, to obtain a binding commitment for financing
within the additional 90-day period, or to close on the
purchase or lease within the second 90-day period shall serve
to terminate the rights of such residents to purchase or lease
the mobile home park. The time periods provided in this
Section may be extended by agreement. Nothing in this Section
shall be construed to require an owner to provide financing to
tenants except to the extent such financing would be provided
to the third party offeror in the case of a sale or lease for a
use which would result in a change of use or discontinuance or
to prohibit an owner from requiring tenants who are offering
to lease a mobile home park to provide a security deposit, not
to exceed the lesser of one-year's rent or the amount which
would have been required to be provided by the third party
offeror, to be kept in escrow for such purposes during the term
of the lease. A group or association that has the right to
purchase under this Section may, at its election, assign its
purchase right under this Section to the municipality in which
the mobile home park is located or to the agency having
jurisdiction for the purpose of continuing the property's use
as a mobile home park.
(d) The right of first refusal created in this Section
shall inure to the tenants for the time periods set forth in
this Section, beginning on the date of notice to the residents
under paragraph (b). The effective period for such right of

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first refusal shall obtain separately for each substantially
different bona fide offer to purchase or lease the mobile home
park, and for each offer substantially equivalent to an offer
made more than 3 months prior to the later offer; provided
however, that in the case of a substantially equivalent offer
made by a prospective buyer who has previously made an offer
for which notice to residents was required by subsection (b),
the right of first refusal shall obtain only if the subsequent
offer is made more than 6 months after the earlier offer. The
right of first refusal shall not apply with respect to any
offer received by the park owner for which a notice is not
required pursuant to subsection (b). No right of first refusal
shall apply to a government taking by eminent domain or
negotiated purchase, a forced sale pursuant to a foreclosure
by an unrelated third party, transfer by gift, devise or
operation of law, or a sale to a person who would be an heir at
law if there were to be a death intestate of a mobile home park
owner.
(e) If the tenants of the mobile home park are not the
successful purchasers or lessees of the park, the seller or
lessor of the park shall provide evidence of compliance with
this Section by filing an affidavit of compliance with the
authority having jurisdiction within 7 days after the sale or
lease of the park. Any lease of 5 years or less shall
specifically require that the lessee shall not discontinue or
change the use of the mobile home park during the term of the

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lease.
(f) If there is a sale or lease for which a notice from the
mobile home park owner is not required to be, and is not, given
under paragraph (b), and, within one year of that sale or
lease, the new owner or lessee delivers a notice of change of
use or discontinuance as a mobile home park, that notice shall
provide each tenant in the mobile home park with at least 4
years prior notice of the effective date of the proposed
change of use or discontinuance.
(765 ILCS 745/15.1 new)
Sec. 15.1. Tenant 65 years of age or older; protected
lots.
(a) Whenever there is a change in ownership of a mobile
home park on or after the effective date of this amendatory Act
of the 103rd General Assembly, the new owner of that mobile
home park may not increase the rent charged for the use of any
protected lot in that mobile home park, nor may the new owner
make any changes to the terms and conditions of a lease
covering a protected lot, until the mobile home or
manufactured home situated on that protected lot is no longer
the principal place of residence of a qualifying tenant. Upon
the expiration of a lease covering a protected lot, the owner
of the mobile home park shall allow the qualifying tenant to
renew the lease at the same rent and subject to the same terms
and conditions as the lease that was in effect for that lot on

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the date of the change in ownership. Nothing in this Section
prohibits a mobile home park owner from:
(1) changing the terms and conditions of a lease at
the request of the tenant;
(2) changing the terms and conditions of a lease for
the purpose of complying with any other provision of law;
(3) increasing rent or changing the terms and
conditions of a lease in a manner that is permitted under a
lease that is in effect on the date of the change in
ownership; or
(4) evicting a tenant for any one or more of the
reasons specified in Section 15 of this Act.
(b) As used in this Section:
"Protected lot" means a lot in a mobile home park that, as
of the date on which a change in ownership of the mobile home
park occurs, is subject to a written lease covering a mobile
home or manufactured home that is the principal place of
residence of a qualifying tenant.
"Qualifying tenant" means a tenant who is 65 years of age
or older on the date when the change in ownership of the mobile
home park occurs.