Bill Text: MN HF562 | 2011-2012 | 87th Legislature | Engrossed
NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Manufactured home parks water and sewer charges regulated, and air admittances valve prohibition repealed.
Spectrum: Partisan Bill (Republican 4-0)
Status: (Vetoed) 2011-05-25 - Governor's action Veto Chapter 73 [HF562 Detail]
Download: Minnesota-2011-HF562-Engrossed.html
Bill Title: Manufactured home parks water and sewer charges regulated, and air admittances valve prohibition repealed.
Spectrum: Partisan Bill (Republican 4-0)
Status: (Vetoed) 2011-05-25 - Governor's action Veto Chapter 73 [HF562 Detail]
Download: Minnesota-2011-HF562-Engrossed.html
1.2relating to manufactured homes; regulating water and sewer charges for
1.3manufactured home parks; regulating charges to manufactured home parks by
1.4public water suppliers;amending Minnesota Statutes 2010, sections 327C.01, by
1.5adding subdivisions; 327C.02, subdivision 2; 327C.04, subdivision 2, by adding
1.6subdivisions; 444.075, subdivision 3.
1.7BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
1.8 Section 1. Minnesota Statutes 2010, section 327C.01, is amended by adding a
1.9subdivision to read:
1.10 Subd. 7b. Public water supplier. "Public water supplier" means (1) the governing
1.11body of a county, statutory or home rule charter city, or town; or (2) an entity that owns,
1.12manages, or operates a public water supply, as defined in section 144.382, subdivision 4.
1.13 Sec. 2. Minnesota Statutes 2010, section 327C.01, is amended by adding a subdivision
1.14to read:
1.15 Subd. 13. Water measuring device. "Water measuring device" means a water
1.16meter or submeter used to measure the water usage of one resident and to provide billing
1.17to a resident for actual water usage.
1.18 Sec. 3. Minnesota Statutes 2010, section 327C.02, subdivision 2, is amended to read:
1.19 Subd. 2. Modification of rules. (a) The park owner must give the resident at least
1.2060 days' notice in writing of any rule change.
1.21(b) A rule adopted or amended after the resident initially enters into a rental
1.22agreement may be enforced against that resident only if the new or amended rule is
1.23reasonable and is not a substantial modification of the original agreement.
2.1(c) Any security deposit increase is a substantial modification of the rental
2.2agreement.A reasonable rent increase made in compliance with section
327C.06 is The
2.3following actions are not a substantial modification of the rental agreement andis are not
2.4considered to be a rule for purposes of section327C.01, subdivision 8 : (1) a reasonable
2.5rent increase made in compliance with section327C.06 ; and (2) the imposition and
2.6collection of water, sewer, and other charges for utility service under section 327C.04.
2.7A rule change necessitated by government action is not a substantial modification of the
2.8rental agreement. A rule change requiring all residents to maintain their homes, sheds and
2.9other appurtenances in good repair and safe condition shall not be deemed a substantial
2.10modification of a rental agreement.
2.11(d) If a part of a resident's home, shed or other appurtenance becomes so dilapidated
2.12that repair is impractical and total replacement is necessary, the park owner may require
2.13the resident to make the replacement in conformity with a generally applicable rule
2.14adopted after the resident initially entered into a rental agreement with the park owner.
2.15(e) In any action in which a rule change is alleged to be a substantial modification
2.16of the rental agreement, a court may consider the following factors in limitation of the
2.17criteria set forth in section327C.01, subdivision 11 :
2.18(a) (1) any significant changes in circumstances which have occurred since the
2.19original rule was adopted and which necessitate the rule change; and
2.20(b) (2) any compensating benefits which the rule change will produce for the
2.21residents.
2.22 Sec. 4. Minnesota Statutes 2010, section 327C.04, subdivision 2, is amended to read:
2.23 Subd. 2. Metering required. A park owner who charges residents for a utility
2.24service must charge eachhousehold resident the same amount, unless the park owner (1)
2.25follows the procedures under subdivision 5 for water and sewer charges; or (2) has installed
2.26measuring devices which accurately meter eachhousehold's resident's use of the utility.
2.27 Sec. 5. Minnesota Statutes 2010, section 327C.04, is amended by adding a subdivision
2.28to read:
2.29 Subd. 5. Water and sewer; separate billing. (a) For purposes of this subdivision,
2.30"third party" means an individual, corporation, firm, company, partnership, limited liability
2.31corporation, cooperative, or association that provides water or sewer services under an
2.32agreement with a park owner, which may include but is not limited to:
2.33(1) installation and maintenance of waterworks systems or sanitary sewer systems
2.34owned by the park owner;
3.1(2) installation and maintenance of water measuring devices;
3.2(3) measurement of water usage by each resident; and
3.3(4) billing service.
3.4Third party does not include a public water supplier.
3.5(b) As provided in this subdivision, a park owner who installs a water measuring
3.6device to measure water service use, and provide for calculations of sewer use, may
3.7separately bill each resident in the park for water service, sewer service, or both. This
3.8authority applies to billing performed in conjunction with a single charge made to the park
3.9owner by a public water supplier, and to billing for water or sewer service provided by
3.10means of a private well or private sewer or septic system.
3.11(c) A park owner who performs separate billing of each resident for the utility
3.12service shall:
3.13(1) bill a resident at least quarterly;
3.14(2) maintain exclusive responsibility for the installation, maintenance, and reading
3.15of water measuring devices; and
3.16(3) perform one of the following:
3.17(i) bill a resident (A) based on that resident's actual use of water, and resulting sewer
3.18usage, as identified by the water measuring device, and (B) at the rates or calculations
3.19used by the appropriate public water supplier for each utility service;
3.20(ii) if the park owner uses billing services provided by a third party, bill a resident
3.21for the actual billing amount identified by the third party for that resident; or
3.22(iii) if the park owner provides the utility service by means of a private well or
3.23private sewer or septic system, bill a resident (A) based on that resident's actual use of
3.24water as identified by the water measuring device, and (B) at the rates permitted for utility
3.25charges under subdivision 3.
3.26(d) A park owner may not include in a bill to a resident for utility service under this
3.27subdivision, charges for:
3.28(1) the cost of a water measuring device;
3.29(2) the cost of installation or maintenance of a water measuring device;
3.30(3) the cost of billing; or
3.31(4) any administrative, capital, or other related expenses, including but not limited to
3.32disconnection and reconnection.
3.33(e) Notwithstanding paragraph (d), a park owner may charge for repair or
3.34replacement of a water measuring device due to a resident's negligence, intentional
3.35damage, or theft by a resident.
4.1(f) Notwithstanding paragraph (d), if a park owner who performs separate billing
4.2of each resident for the utility service receives a bill from a public water supplier that
4.3includes one or more fixed charges, including a connection fee, as defined in section
4.4444.075, subdivision 3, the park owner shall apportion the fixed charges equally among
4.5each resident based on the number of lots in the park that are consuming the utility service.
4.6(g) Each resident is responsible only for the metered water and resulting sewer
4.7usage and the share of any fixed charges as provided under paragraph (f). Any difference
4.8between the aggregate metered use plus fixed charges and the total amount billed to the
4.9park owner is the exclusive responsibility of the park owner.
4.10(h) A billing statement provided to each resident for utility service under this
4.11subdivision must identify (1) the amount of the resident's actual use of water for the billing
4.12period, (2) the rate charged to the resident, including any calculations performed, for each
4.13utility service billed, and (3) any fixed charges apportioned under paragraph (f).
4.14 Sec. 6. Minnesota Statutes 2010, section 327C.04, is amended by adding a subdivision
4.15to read:
4.16 Subd. 6. Water and sewer; initial installation. (a) A park owner shall provide
4.17notice to each resident two months prior to the installation of a water measuring device for
4.18use under subdivision 5.
4.19(b) Prior to or with the initial separate bill to a resident for utility service under
4.20subdivision 5, the park owner shall:
4.21(1) reduce the resident's monthly rent in an amount equal to the monthly average of
4.22the resident's proportional share of the total amount billed over the previous 12 months to
4.23the park owner by the appropriate public water supplier for the utility service; or
4.24(2) waive the resident's next regularly scheduled rent increase as otherwise permitted
4.25in section 327C.06, subdivision 3, over the subsequent 12-month period.
4.26 Sec. 7. Minnesota Statutes 2010, section 327C.04, is amended by adding a subdivision
4.27to read:
4.28 Subd. 7. Water and sewer; water measuring device. A water measuring device
4.29used under subdivision 5 must be:
4.30(1) certified, at the time of installation, as being in compliance with appropriate
4.31national standards produced by (i) the American Water Works Association (AWWA), (ii)
4.32the American Society of Mechanical Engineers (ASME), or (iii) the American National
4.33Standards Institute (ANSI);
5.1(2) equipped with a manual or digital display that is readily accessible to the park
5.2owner and a resident; and
5.3(3) installed in accordance with the plumbing code, as defined in section 326B.42,
5.4subdivision 7.
5.5 Sec. 8. Minnesota Statutes 2010, section 327C.04, is amended by adding a subdivision
5.6to read:
5.7 Subd. 8. Disputes. A park owner who separately bills residents for utility service
5.8shall:
5.9(1) promptly investigate a complaint from a resident claiming a billing error or
5.10metering defect;
5.11(2) make any adjustment required in a timely manner;
5.12(3) if no adjustment is made, provide supporting documents or other information
5.13justifying a determination that the billing was correct; and
5.14(4) if the resident timely pays the average of the last three billing periods, refrain
5.15from taking any collection or any other adverse action against the resident for the amount
5.16of the alleged error until the park owner has complied with clauses (1), (2), and (3).
5.17 Sec. 9. Minnesota Statutes 2010, section 444.075, subdivision 3, is amended to read:
5.18 Subd. 3. Charges; net revenues. (a) To pay for the construction, reconstruction,
5.19repair, enlargement, improvement, or other obtainment, the maintenance, operation and
5.20use of the facilities, and of obtaining and complying with permits required by law, the
5.21governing body of a municipality or county may impose just and equitable charges for
5.22the use and for the availability of the facilities and for connections with them and make
5.23contracts for the charges as provided in this section. The charges may be imposed with
5.24respect to facilities made available by agreement with other municipalities, counties
5.25or private corporations or individuals, as well as those owned and operated by the
5.26municipality or county itself.
5.27 (b) Notwithstanding local charter restrictions, charges made for service rendered
5.28shall be as nearly as possible proportionate to the cost of furnishing the service.
5.29(c) Notwithstanding local charter restrictions, a public water supplier:
5.30(1) shall impose a charge for water service or sewer service provided to a
5.31manufactured home park, as defined in section 327C.01, subdivision 5, that is at the lowest
5.32rate that is applied for service to single family homes, if the end users in the manufactured
5.33home park are residential units; and
6.1(2) shall not impose more than one connection fee per metered water service or
6.2metered sewer service that is provided to a manufactured home park.
6.3(d) For purposes of paragraph (c), the following terms have the meanings given them:
6.4(1) "connection fee" means a meter charge, line charge, maintenance charge, or
6.5administrative charge; and
6.6(2) "public water supplier" has the meaning given in section 327C.01, subdivision 7b.
1.3manufactured home parks; regulating charges to manufactured home parks by
1.4public water suppliers;amending Minnesota Statutes 2010, sections 327C.01, by
1.5adding subdivisions; 327C.02, subdivision 2; 327C.04, subdivision 2, by adding
1.6subdivisions; 444.075, subdivision 3.
1.7BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
1.8 Section 1. Minnesota Statutes 2010, section 327C.01, is amended by adding a
1.9subdivision to read:
1.10 Subd. 7b. Public water supplier. "Public water supplier" means (1) the governing
1.11body of a county, statutory or home rule charter city, or town; or (2) an entity that owns,
1.12manages, or operates a public water supply, as defined in section 144.382, subdivision 4.
1.13 Sec. 2. Minnesota Statutes 2010, section 327C.01, is amended by adding a subdivision
1.14to read:
1.15 Subd. 13. Water measuring device. "Water measuring device" means a water
1.16meter or submeter used to measure the water usage of one resident and to provide billing
1.17to a resident for actual water usage.
1.18 Sec. 3. Minnesota Statutes 2010, section 327C.02, subdivision 2, is amended to read:
1.19 Subd. 2. Modification of rules. (a) The park owner must give the resident at least
1.2060 days' notice in writing of any rule change.
1.21(b) A rule adopted or amended after the resident initially enters into a rental
1.22agreement may be enforced against that resident only if the new or amended rule is
1.23reasonable and is not a substantial modification of the original agreement.
2.1(c) Any security deposit increase is a substantial modification of the rental
2.2agreement.
2.3following actions are not a substantial modification of the rental agreement and
2.4considered to be a rule for purposes of section
2.5rent increase made in compliance with section
2.6collection of water, sewer, and other charges for utility service under section 327C.04.
2.7A rule change necessitated by government action is not a substantial modification of the
2.8rental agreement. A rule change requiring all residents to maintain their homes, sheds and
2.9other appurtenances in good repair and safe condition shall not be deemed a substantial
2.10modification of a rental agreement.
2.11(d) If a part of a resident's home, shed or other appurtenance becomes so dilapidated
2.12that repair is impractical and total replacement is necessary, the park owner may require
2.13the resident to make the replacement in conformity with a generally applicable rule
2.14adopted after the resident initially entered into a rental agreement with the park owner.
2.15(e) In any action in which a rule change is alleged to be a substantial modification
2.16of the rental agreement, a court may consider the following factors in limitation of the
2.17criteria set forth in section
2.18
2.19original rule was adopted and which necessitate the rule change; and
2.20
2.21residents.
2.22 Sec. 4. Minnesota Statutes 2010, section 327C.04, subdivision 2, is amended to read:
2.23 Subd. 2. Metering required. A park owner who charges residents for a utility
2.24service must charge each
2.25follows the procedures under subdivision 5 for water and sewer charges; or (2) has installed
2.26measuring devices which accurately meter each
2.27 Sec. 5. Minnesota Statutes 2010, section 327C.04, is amended by adding a subdivision
2.28to read:
2.29 Subd. 5. Water and sewer; separate billing. (a) For purposes of this subdivision,
2.30"third party" means an individual, corporation, firm, company, partnership, limited liability
2.31corporation, cooperative, or association that provides water or sewer services under an
2.32agreement with a park owner, which may include but is not limited to:
2.33(1) installation and maintenance of waterworks systems or sanitary sewer systems
2.34owned by the park owner;
3.1(2) installation and maintenance of water measuring devices;
3.2(3) measurement of water usage by each resident; and
3.3(4) billing service.
3.4Third party does not include a public water supplier.
3.5(b) As provided in this subdivision, a park owner who installs a water measuring
3.6device to measure water service use, and provide for calculations of sewer use, may
3.7separately bill each resident in the park for water service, sewer service, or both. This
3.8authority applies to billing performed in conjunction with a single charge made to the park
3.9owner by a public water supplier, and to billing for water or sewer service provided by
3.10means of a private well or private sewer or septic system.
3.11(c) A park owner who performs separate billing of each resident for the utility
3.12service shall:
3.13(1) bill a resident at least quarterly;
3.14(2) maintain exclusive responsibility for the installation, maintenance, and reading
3.15of water measuring devices; and
3.16(3) perform one of the following:
3.17(i) bill a resident (A) based on that resident's actual use of water, and resulting sewer
3.18usage, as identified by the water measuring device, and (B) at the rates or calculations
3.19used by the appropriate public water supplier for each utility service;
3.20(ii) if the park owner uses billing services provided by a third party, bill a resident
3.21for the actual billing amount identified by the third party for that resident; or
3.22(iii) if the park owner provides the utility service by means of a private well or
3.23private sewer or septic system, bill a resident (A) based on that resident's actual use of
3.24water as identified by the water measuring device, and (B) at the rates permitted for utility
3.25charges under subdivision 3.
3.26(d) A park owner may not include in a bill to a resident for utility service under this
3.27subdivision, charges for:
3.28(1) the cost of a water measuring device;
3.29(2) the cost of installation or maintenance of a water measuring device;
3.30(3) the cost of billing; or
3.31(4) any administrative, capital, or other related expenses, including but not limited to
3.32disconnection and reconnection.
3.33(e) Notwithstanding paragraph (d), a park owner may charge for repair or
3.34replacement of a water measuring device due to a resident's negligence, intentional
3.35damage, or theft by a resident.
4.1(f) Notwithstanding paragraph (d), if a park owner who performs separate billing
4.2of each resident for the utility service receives a bill from a public water supplier that
4.3includes one or more fixed charges, including a connection fee, as defined in section
4.4444.075, subdivision 3, the park owner shall apportion the fixed charges equally among
4.5each resident based on the number of lots in the park that are consuming the utility service.
4.6(g) Each resident is responsible only for the metered water and resulting sewer
4.7usage and the share of any fixed charges as provided under paragraph (f). Any difference
4.8between the aggregate metered use plus fixed charges and the total amount billed to the
4.9park owner is the exclusive responsibility of the park owner.
4.10(h) A billing statement provided to each resident for utility service under this
4.11subdivision must identify (1) the amount of the resident's actual use of water for the billing
4.12period, (2) the rate charged to the resident, including any calculations performed, for each
4.13utility service billed, and (3) any fixed charges apportioned under paragraph (f).
4.14 Sec. 6. Minnesota Statutes 2010, section 327C.04, is amended by adding a subdivision
4.15to read:
4.16 Subd. 6. Water and sewer; initial installation. (a) A park owner shall provide
4.17notice to each resident two months prior to the installation of a water measuring device for
4.18use under subdivision 5.
4.19(b) Prior to or with the initial separate bill to a resident for utility service under
4.20subdivision 5, the park owner shall:
4.21(1) reduce the resident's monthly rent in an amount equal to the monthly average of
4.22the resident's proportional share of the total amount billed over the previous 12 months to
4.23the park owner by the appropriate public water supplier for the utility service; or
4.24(2) waive the resident's next regularly scheduled rent increase as otherwise permitted
4.25in section 327C.06, subdivision 3, over the subsequent 12-month period.
4.26 Sec. 7. Minnesota Statutes 2010, section 327C.04, is amended by adding a subdivision
4.27to read:
4.28 Subd. 7. Water and sewer; water measuring device. A water measuring device
4.29used under subdivision 5 must be:
4.30(1) certified, at the time of installation, as being in compliance with appropriate
4.31national standards produced by (i) the American Water Works Association (AWWA), (ii)
4.32the American Society of Mechanical Engineers (ASME), or (iii) the American National
4.33Standards Institute (ANSI);
5.1(2) equipped with a manual or digital display that is readily accessible to the park
5.2owner and a resident; and
5.3(3) installed in accordance with the plumbing code, as defined in section 326B.42,
5.4subdivision 7.
5.5 Sec. 8. Minnesota Statutes 2010, section 327C.04, is amended by adding a subdivision
5.6to read:
5.7 Subd. 8. Disputes. A park owner who separately bills residents for utility service
5.8shall:
5.9(1) promptly investigate a complaint from a resident claiming a billing error or
5.10metering defect;
5.11(2) make any adjustment required in a timely manner;
5.12(3) if no adjustment is made, provide supporting documents or other information
5.13justifying a determination that the billing was correct; and
5.14(4) if the resident timely pays the average of the last three billing periods, refrain
5.15from taking any collection or any other adverse action against the resident for the amount
5.16of the alleged error until the park owner has complied with clauses (1), (2), and (3).
5.17 Sec. 9. Minnesota Statutes 2010, section 444.075, subdivision 3, is amended to read:
5.18 Subd. 3. Charges; net revenues. (a) To pay for the construction, reconstruction,
5.19repair, enlargement, improvement, or other obtainment, the maintenance, operation and
5.20use of the facilities, and of obtaining and complying with permits required by law, the
5.21governing body of a municipality or county may impose just and equitable charges for
5.22the use and for the availability of the facilities and for connections with them and make
5.23contracts for the charges as provided in this section. The charges may be imposed with
5.24respect to facilities made available by agreement with other municipalities, counties
5.25or private corporations or individuals, as well as those owned and operated by the
5.26municipality or county itself.
5.27 (b) Notwithstanding local charter restrictions, charges made for service rendered
5.28shall be as nearly as possible proportionate to the cost of furnishing the service.
5.29(c) Notwithstanding local charter restrictions, a public water supplier:
5.30(1) shall impose a charge for water service or sewer service provided to a
5.31manufactured home park, as defined in section 327C.01, subdivision 5, that is at the lowest
5.32rate that is applied for service to single family homes, if the end users in the manufactured
5.33home park are residential units; and
6.1(2) shall not impose more than one connection fee per metered water service or
6.2metered sewer service that is provided to a manufactured home park.
6.3(d) For purposes of paragraph (c), the following terms have the meanings given them:
6.4(1) "connection fee" means a meter charge, line charge, maintenance charge, or
6.5administrative charge; and
6.6(2) "public water supplier" has the meaning given in section 327C.01, subdivision 7b.
