HomeMy WebLinkAboutItem 01 Possible City Responses to a Mobile/Manufactured Home Park Closure
AGENDA ITEM SUMMARY
SPRINGFIELD
CITY COUNCIL
Meeting Date:
Meeting Type:
Department:
Staff Contact:
April 21, 2008
Work Session
DSD .
Bill Grile, DSD Director~
Kevin Ko, DSD Housing Program
Courtney Griesel, SEDA Planner
541-736-3619,541-726-2302,541-
736-7132.
60 minutes
Staff Phone No:
Estimated Time:
ITEM TITLE:
POSSIBLE CITY RESPONSES TO A MOBILE/MANUF ACTURED HOME PARK
CLOSURE
ACTION
REQUESTED:
Staff requests that:
1. Council review a range of possible City responses to future mobile home park
closures as outlined in Attachment 1;
2. Provide staff with direction on which, if any, of the activities the City should be
prepared to do (including possible combinations or variations)
ISSUE
STATEMENT:
Given the redevelopment occurring in Springfield, it seems inevitable that residents of one or
more mobile/manufactured home parks will find themselves facing imminent displacement
by the owners of these properties. State law requires mobile/manufactured home park owners
to compensate those they displace. Some local governments require additional compensation.
At issue here is whether the City Council believes the compensation required by State law is
adequate or whether additional mitigating actions should be considered.
ATTACHMENTS:
Attachment 1. April 21 Memo - Potential City Responses to Possible Closures
Attachment 2. Applicable State Law
Attachment 3 . February 11 Memo - Park Closure Background
DISCUSSION /
FINANCIAL
IMPACT:
The City carries no legal obligation to provide relocation benefits to park residents affected
by private closure, but a range of mitigating actions are possible IF Council feels that the
State requirements do not adequately address the issue. Council discussion about this is
necessary in order to determine if local policy needs to be developed and brought back for
further consideration.
Staff provides here, in advance of any closure notifications, a range of possible ways the City
might, at Council direction, address future park closures. Park residents have become
increasingly concerned about the future of their home sites and understanding their rights.
Many want to know what resources are available to assist them with relocating their homes or
protecting their homes where they are now. At the request of mobile home park residents in
Gateway and Glenwood, city staff discussed the possible effects and tenants' rights in
Springfield-area parks. Staff provided information on existing resources available to assist
residents in addressing future changes.
Public officials at the county and state levels have indicated that there may be additional
assistance developed in the future and additional ways of partnering for regional responses to
these housing issues. No substantial conversations have occurred at this time. If Council
feels the State requirements are inadequate, it may be beneficial to consider a combination of
resources and partners and have staff bring back additional information and options for
possible local policy development.
MEMORANDUM
City of Springfield
Date:
April 21, 2008
Bill Grile, Development Services Director
Courtney Griesel, DR Planner
Kevin Ko, DSD Housing Planner
Subject: POTENTIAL CITY RESPONSES TO POSSIBLE MOBILEIMANUF ACTURED HOME PARK
CLOSURES
To:
From:
ISSUE:
At the request of mobile home park residents in Springfield's Glenwood and Gateway areas, City staff has
discussed with residents the possible effects, rights, and options for residents in parks where a change of
ownership or possible nearby development may affect the park. Residents have been concerned about plans
for their parks as well as their rights and available resources, including the City's, for assistance in dealing
with impacts on their homes if relocation takes place. However, no notices of closure have been issued and no
parks have closed within Springfield's UGB. Staff provides here, in advance of any closure notification, a
range of possible ways the City, at Council direction and discretion, might be ready to do some of the
relatively easy actions or explore and develop some of the more complex, expensive responses with other
regional public or private partners.
BACKGROUND:
Since 2004, City staff has visited and/or spoken several times with mobile home park residents in the
community about issues related to potential park closures. Staff felt it beneficial to provide up-to-date
information about resident rights as tenants of a mobile home park (See Exhibit A). This information Council
received as part of a February 11,2008 Council Communication Packet and was compiled from multiple
sources including the State of Oregon, the Manufactured Home Owners of Oregon (MHOO), and the Oregon
Housing and Community Services Department. Staff discussed these issues with the park residents and
provided information and the most appropriate resources to assist residents in handling potential and real
changes. Nevertheless, no closures have been announced.
The 2000 Census showed that Springfield had residents living in about 1,900 mobile or manufactured homes,
while Eugene had residents in about 3,250 units. Many of the units are older than 1976, the year the last
mobile home park was built in Springfield. Staff recently inventoried 68 parks in the immediate Lane County
area to determine the number of available spaces. The Springfield/Eugene area currently has approximately
47 mobile/manufactured home parks totaling 4,478 spaces. (See Exhibit B) Of these spaces, 166 are currently
vacant. In the surrounding Lane County area (Blue River, Coburg, Cottage Grove, Creswell, Dorena,
Junction City, Oakridge, Pleasant Hill, and Veneta) a total of approximately 20 mobile/manufactured home
parks have been identified totaling 912 spaces. Of these, 76 are currently vacant. Although there are
vacancies, many private parks restrict entry based on the year of manufacture (before or after a certain 1976
date) and/or the physical condition of acceptable structures. These restrictions could create a barrier for home
owners attempting to move their mobile/manufactured home from one park to another. While nearly all
homes can be moved, the cost has increased for both moving and setting the home on its new site to meet a
park's standards.
DISCUSSION:
With increasing limitations on the amount of residentially and commercially zoned property in key
development locations throughout the community, existing parks are at greater risk for conversion to these
other uses. Though no tenants have been notified of a park closure in Springfield, City staff remains
concerned with the ability of some tenants to respond. Moreover, the City has only a limited ability to assist
whether modestly or substantially given the complexity, cost, and lengthy lead times needed to prepare for
ATTACHMENT 1, PAGE 1
any major assistance project. This early discussion allows Council to indicate the level of its concern and any
willingness it has to be involved, on its own or with other regional partners, in a process that is essentially
between a private property owner and the tenants on that property.
Should the Council consider having the City respond to an announced park closure, a preliminary list of
possibilities is outlined below. Each activity outlined assumes the City s not legally responsible for providing
relocation benefits to park residents affected by private closure. So, one possible response could be 'rely on
statutes and administrative rules' --because state law prescribes the process and the owner's decision to close
the park is not a City issue. Or the City's response could be as involved as 'financially assisting with the
development of alternative housing for existing tenants displaced from a park.' Between these, the City's
commitment of resources would vary widely for staff, funding, etc. depending on the response chosen if and
when a park closure is announced. Responses could very well also include other regional public and private
partners in responding over the long-term to the potential for closures but those opportunities are not
discussed here at this time.
1. Rely on State Laws and Regulations while responding to direct needs of individual tenants
seeking assistance:
o Benefits: The City has no direct responsibility either legally or fmancially to provide
direct assistance. The Oregon Housing and Community Services Department provides a
state advocate to tenants impacted by park closure. This advocate may assist with
mediation needs and will provide information and resources relating to tenant rights
mandated through ORS 90 and OAR 813.
o Drawbacks: Tenants have only one source of information and contact to understand and
deal with their rights under state law. Some tenants may not understand their rights and
obligations, though City staff could provide advice when requested.
2. Provide information to tenants about the availability of suitable mobile home park (MHP)
sites to relocate their mobile and manufactured homes:
o Benefits: Staff can inventory and relay information to tenants about the vacancy and
siting requirements in mobile home parks so tenants can better understand their choices.
Tenants have an additional source of information and contact to understand and deal with
their rights under state law.
o Drawbacks: The relocation process may be costly, potentially confusing to mobile home
owners, and difficult to accept.
o Example: City staff has compiled information on Exhibit B to this memo regarding
vacancies in MHP in the area. In addition, the City has received phone calls regarding the
availability of spaces in a mobile home parks within the Willamette Valley, including at
least one mobile home park owner with an interest in reconfiguring spaces in an existing
park to better accommodate double or triple wide mobile homes.
3. Provide advocacy for affected tenants (such as, staff searching for suitable sites in MHP in
this area for relocating tenants or their housing unit; working with the park owner to
increase the mandated relocation contribution; and seeing tenants through their relocation
process):
o. Benefits: More pro-active than merely supplying information, this would involve City
staff taking an active role in assisting tenants needing to relocate by finding, securing,
overseeing the moving and siting the housing structure. Contracting for 'group'
relocation services may be a more efficient way to relocate groups of residents interested
in staying together. The City could advocate/negotiate with the park owner to enhance the
state-mandated payment to smooth the process of relocating.
o Drawbacks: Cost for City resources and staff time, since some relocations may be drawn
out over several months to make complicated arrangements. Some housing structures
may not be readily moved except at greater-than-normal costs or may not meet park
requirements for relocation.
ATTACHMENT 1, PAGE 2
4. Acquire from dealers, as they become available (through foreclosure, for example) those
manufactured homes meeting BUD standards and make them available displaced tenants to
rent or purchase in manufactured home parks where older mobile homes would not be
permitted by the owner/operator:
o Benefits: Provide an alternative source of housing for tenants limited by inability to
move their structure. Helps identify where mobile home parks have imposed restriction
or limitations on placing older mobile homes in parks in the local area.
o Drawbacks: Cost of acquiring suitable number and quality of manufactured homes over
time, storing or siting them until needed. Coordination among parties of renting or
purchasing the manufactured home.
5. City could purchase an existing, vacant mobile home park or one with several vacant spaces
or assist in a non-profit agency's purchase and then upgrade or expand the park to meet
current codes yet allow a range of mobile/manufactured homes to relocate there:
o Benefits: Could improve distressed or vacant mobile/manufactured home parks. With its
involvement, City could impose a requirement to allow placement of older mobile homes
in good condition. Entails a relatively short timeline to develop and ready this type of
project. Could include a combination of public, private or non-profit ownership and
operation responsibilities.
o Drawbacks: Relatively few parks with substantial vacant spaces for siting relocated
mobile homes. Higher costs in purchasing and rehabilitating an existing park. Current
code prohibits expanding an existing park by less than 1 acre.
o Examples: There are but few distressed parks in Springfield for sale and those that are
have very few spaces that could be readily improved and occupied.
6. City could obtain land on which to develop a new mobile/manufactured home park, assist
with developing its infrastructure or sell the land to a developer; and/or have it operated
privately or by a non~profit agency:
o Benefits: The City has leverage to specify mobile home park requirements to the
developer/owner. This option could include a combination of public, private or non-
profit ownership and operation responsibility.
o Drawbacks: Cost of assembling a suitable, large enough, parcel of land. Would require
medium density residential land. A newly developed park may not be able to site older
mobile homes, unless the City required that as part of its involvement. Extended timeline
to develop a park (2-5 years). The arrangements might become complex with multiple
partners.
o Examples: A local park owner, manager, and developer provided recent estimates from a
construction firm for a park development. Excluding the cost of land, he estimated the
infrastructure cost per home site at about $25,000 and that the park would be most
efficient with 100 spaces or more to support both an on-site manager to ensure it will run
well and provide some amenities for park residents. Another MHP manager indicated
that recent manufactured home developments are geared towards private ownership of
the lots (Songbrook, Maia Park and Crescent Meadows 2nd Addition).
7. City could assist in the development of other types of replacement housing:
a. Benefits: Allows tenants to have more choices and flexibility in the type and location of
replacement housing. Possibility of several development types (apartments, clustered
~ousing, etc.) at several types of locations. Could include a combination of public,
private or non-profit ownership and operational responsibility.
b. Drawbacks: High cost of development and extremely pro-active, staff intensive over
extended time. Alternative housing options may not be a preference now of some current
mobile/manufactured home residents. Moderate-to-extendedtimeline (2-5 years) to
develop projects with uncertain need for them.
ATTACHMENT 1, PAGE 3
c. Examples: The Royal Building at 509 Main Street is 33 units with ground floor
commercial and operated by non-profit St. Vincent DePaul. The building cost $6 million
to develop and construct over 4 years. Rents are $370 per month.
d. This option could include other permutations, depending on size, availability and location
of the facility such as hi-rises (like the Royal Building Downtown), apartments (like
those of St Vincent de Paul currently under construction on 3rd and S Streets) and other
multi-family designs (including the proposed Brethren facilities Downtown). These could
include manufactured/modular home design to keep them an affordable but an alternative
to traditional site built, single-family, homes.
8. City could directly or in conjunction with a park owner or developer work to provide an
additional lump sum cash payment to assist displaced mobile home owners:
e. Benefits: Relatively easy to administer; Provides an immediate benefit to displaced
owners; Benefits received regardless of where tenants move. Not mandated but could be
flexible in its assistance based on tenant need.
f. Drawbacks: Potentially high costs; May not be a satisfactory solution for some displaced
owners.
g. Example: The City of Eugene adopted the following for tenants displaced through a park
closure: a. $11,000 for a single wide home;
b. $17,000 for a double wide home; and
c. $21,000 for a triple wide home.
d. Or actual moving costs
If for any reason the home cannot be moved, a payment equal to the real
market value of the home as determined by Lane County Assessment and
Taxation, plus relocation/moving costs as established by the Uniform
Relocation Act (URA) less demolition costs ($1,000 for disposing of a single
wide, $2,000 for a double wide and $3,000 for a triple wide), will be made to
the mobile home owner.
PossmLE FUNDING SOURCES:
In reviewing the above potential options, it would be possible, and likely advantageous to use a
combination of funding sources and even reach out to other potential regional and state partners,
depending on the role that the City wants to have, if any, and the situation of the individual displaced
tenants.
Urban Renewal: The Glenwood Urban Renewal Plan has included possible funds to provide assistance
with development of housing in direct response to mobile home tenants' concerns about the impact to
their parks.
CDBG and HOME Funding: It is also possible to use Community Development Block Grant (CDBG)
and HOME funds for some of these activities. Funding is limited, and all proposed uses must be included
in the 5- Year Consolidated Plan, either as an amendment or as a part of an annual Action Plan. Of
course, the use of these funds comes with the usual federal requirements regarding eligibility and national
objective. Specifically, CDBG funds cannot be used for the construction or acquisition of new housing.
RECOMMENDED ACTIONS:
I. Consider the range of possible City responses to future mobile home park closures as outlined;
2. Provide staff with direction on which, if any, of the activities the City should be prepared to do
(including possible combinations or variations)
ATTACHMENT 1, PAGE 4
Exhibit A. Mobile/Manufactured Homes Background Information
Note that mobile homes are typically those housing units (sometimes including RVs as housing units)
manufactured before mid-1976 and do not meet long-term construction standards as housing. Manufactured
homes are typically manufactured after mid-1976 and meet the minimum standards for construction set by the
federal Housing and Urban Development Department (HUD). Not all 'mobile home parks' or 'manufactured
home parks' will accept the older mobile homes. Manufactured homes encounter fewer restrictions on their
placement and could even be located on single-family lots within Springfield, with proper foundations, utility
connections, structural construction and permitting. Within a mobile home park, residents may lease a mobile
home or own a home on a leased space and pay fees and utilities.
With several mobile home park closures proposed around the State in recent years, representatives from
tenant's rights groups, mobile homeowners' association, manufactured parks owner/operators and housing
advocates proposed a statewide adjustment to the outdated laws regarding compensation and notice for
displaced park residents. The State legislation, in effect as of September 2007, amended existing laws and
provided additional rights for mobile home park residents and owners. The essential changes require:
1. The landlord/park owner must issue park residents written notice not less than 365 days before the
date stated in the notice for termination of rental agreements and the closure of the park;
2. The landlord/park owner must pay each tenant homeowner $5,000, $7,000 or $9,000 based on the
size of the manufactured home (single-wide, double-wide, or triple-wide dwelling respectively). This
payment is exempt from State taxes and must be made in full regardless if the tenant relocates or abandons the
mobile/manufactured dwelling unit. The landlord shall pay at least half of the payment amount within seven
days after receiving written notice from the tenant of the date, within the 365-day period, on which the tenant
plans to cease tenancy. Tenants must provide at least thirty days notice and not more than sixty days notice to
the landlord of when they expect to cease being tenants. Landlords must pay the remaining balance to the
tenant no later than seven days after the tenant ceases to occupy the space.
Landlords/park owners cannot increase rents to offset the above payments required by the State of Oregon
before or after the notice of termination has been issued. Landlords/park owners may, however, provide a
greater financial incentive to encourage the tenant to accept an earlier termination date than 365 days or
contract with tenants for mutually acceptable arrangements to assist the tenant's move. Landlords/park
owners cannot charge a tenant rent after a tenant leaves even if the tenant abandons the
mobile/manufactured dwelling unit.
In addition to State requirements, park residents may be eligible for the "mobile home park closure tax credit"
of $5,000 from the Oregon Department of Revenue, which requires the resident to own and occupy their
mobile/manufactured home and to have received notice that the park in which the dwelling unit is located is
closing. The home owner is not required to move their mobile/manufactured home to qualify for this credit.
It is not based on household income, value of the structure, or moving expenses. The credit is refundable to
all qualifying taxpayers.
The legislature, to help ensure uniformity statewide, provided a brief window of opportunity in 2007
when local jurisdictions could modify or make local rules more stringent/demanding regarding
mobile/manufactured home park closures. This area's Intergovernmental Housing Policy Board, advising
Lane County, Springfield, and Eugene, recommended additional regulations and compensation above
those approved by the legislature and some were approved by the Eugene City Council. Springfield did
not make any local changes to the new State rules.
The State provides information through the Office of Manufactured Dwelling Park Community Relations to
tenants and park owners and operators. That office also becomes an advocate for the park residents whenever
a notice of park closure is issued to park residents.
EXHIBIT A
ATTACHMENT 1, PAGE 5
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Total AvaH
MAP 10 Name Spaces '08
3 Trailer Haven 13 4
4 Rosewood Mobile Home Park 119 0
5 Rowan Oak Estates 50 2
6 Woodland Park Estates 399 19
7 Briarwood 249 15
8 Lakewood Mobile Home Park 181 1
9 Songbrook 139 0
10 Camellia Apartment & Mobile Hm. PK 34 6
11 Westlake Mobile Home Park 26 0
12 Mobile Towne West 152 0
13 Royal Oaks Mobile Park 107 0
14 Roosevelt Acres 44 1
15 Royal Trailer Court 23 0
16 Plaza West 21 2
17 Churchill Meadows MHC 159 5
18 Parkside Mobile Home Park 87 0
20 Idle Wheels 64 3
21 Lakeridge . of Eugene 192 0
22 Falcon Wood Village 182 0
24 Camelot Mobile/MFH Home Village 150 2
49 Gainsborough 73 2
50 Hidden Meadows 115 13
Parks within the City of Springfield
Total AvaH
MAP 10 Name Spaces '08
23 PatriCian Mobile Home Pare 80 3
25 Monta Lorna Mobile Home Park 140 5
26 Fairview Mobile Home Park 65 5
27 Spring-Lane Mobile Home Village 75 5
28 Ponderosa Mobile Village 49 0
29 Springfield Mobile Park 79 0
30 Seaver's Mobile Home Park 16 1
31 Midway Mobile Manor 89 0
32 River Bank Trailer Park 47 0
33 Shamrock Trailer Village 115 0
34 Welcome West Mobile Home Park 85 5
35 l:JOLOen uaKs 1 UII 2
36 Thurston Oaks 19 0
37 Red Bird Trailer Court 16 0
38 Mar-shell Court 14 0
39 Parklane Mobile Park 48 1
40 Applewood Mobile Home Park 42 4
41 Santiago Estates Granada 137 0
42 Chalet Village Mobile Park 121 5
43 Twin Totem 38 10
44 Eugene Mobile Village 137 17
45 Riverside Trailer/Mobile Home Court 70 /12
46 Oaks Mobile Home Park 77 3
47 Country Manor Mobile Park 133 13
48 Emerald Isle Mobile Home Park 98 0
There are no warranties that accompany this product.
I J~.,:or~ ::I~~LJme all resnnn~ihilitv for anv loss nr r1::1m::ln.,:o
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ManufacturAd Park LncatinnA
EUOAnA UGB I
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The Oregon Administrative Rules contain OARs filed through March 14, 2008
OREGON HOUSING AND COMMUNITY SERVICES
DIVISION 8
MANUFACTURED DWELLING OR
RESIDENTIAL VEHICLE FACILITY CLOSURE
813-008-0005
General Purpose
OAR chapter 813, division 008 is promulgated to accomplish the general purpose ofORS 90.630 and
specifically ORS 90.630(5), (6),(7) and (8), and with ORS 90.630(7) requiring the Housing and
Community Services Department to adopt rules to implement the provisions ofORS 90.630(5)~
Stat. Auth.: ORS 90.630, ORS 90.800 - ORS 90.840, ORS 183, ORS 456.515 - ORS 456.723 & ORS
458.210 - ORS 458.650
Stats. Implemented: ORS 90.630, ORS 90.800 - ORS 90.840, ORS 183, ORS 456.515 - ORS 456.723 &
ORS 458.210 - ORS 458.650
Hist.: HSG 4-1988, f.& ef. 10-19-88; HSG 7-1989, :f. & cert. ef. 11;.3-89; HSG 2-1991(Temp), f. & cert. ef.
8-7-91; HSG 8-1991, f. & cert. ef. 12-23-91; HSG 2-1997, f. & cert. ef. 10-6-97; OHCS 17-2002, f. & cert.
ef. 12-5-02
813-008-0010
Defmitions
Words and terms used in OAR chapter 813, division 008 are consistent with the definitions in ORS 90.100.
Stat. Auth.:ORS 90.630, ORS 90.800 - ORS 90.840, ORS 183, ORS 456.515 - ORS 456.723 & ORS
458.210 - ORS 458.650 .
Stats. Implemented: ORS 90.630, ORS 90.800 - ORS 90.840, ORS 183, ORS 456.515 - ORS 456.723 &
ORS 458.210 - ORS 458.65
Hist.: HSG4-1988, :f. & ef. 10-19-88; HSG 3-1989(Temp), f. & cert. ef. 6-8-89; HSG 7-1989, f. & cert. ef.
11-3-89; HSG 2-1991 (Temp), f. & cert. ef. 8-7-91; HSG8-1991, f. & cert. ef. 12-23-91; HSG 2-1997, f. &
cert. e:f. 10-6-97; OHCS 17-2002, f. & cert. e:f. 12-5-02 .
ATTACHMENT 2, PAGE 1
813-008-0015
Closure Notice
(1) Any written notice by the landlord of termination of a rental agreement because of facility closure and
the land or leasehold being converted to a different use shall conform with the requirements of ORS 90.630
and provide at least the following information:
(a) The landlord's or representative agent's address for contact and communications;
(b) The firm date set for the closure of the facility or of the relevant portion of the facility;
(c) The actions and activities the landlord plans to take in the facility closure that may affect the facility
tenants;
(d) The landlord's obligations under ORS 90.630(5), (6), (7) and (8);
(e) The tenant's rights under ORS 90.630(4) for a 365-day closure notice or 180-day closure notice, as
applicable, including the right, if any, for payment of moving expenses under OAR 813-008-0030 and the
eligible moving expenses defined under OAR 813-008-0025; .
(f) The voluntary benefits, if any, to be provided to the tenant by~ the landlord or contracted between the
parties, together with any shortened period between notice and termination of the rental agreement arising
therefrom;
(g) A copy of the statute ORS 90.630 and of this OAR Chapter 813, Division 008;
(h) Any definitions referenced within these rules applicable to the tenant's rights under these rules; and
(i) A description of any city or county regulations, laws, or ordinances that apply to tenant interests in
facility closures.
(2) Notices required by ORS 90.630 or by these rules shall be delivered personally or by first class mail to
each affected tenant. If served by mail, the minimum period before facility closure shall be extended by
three days, and the notice shall recite the fact and extent of the extension. The notice shall be delivered to
the tenant at the address specified in the lease or rental agreement between the tenant and the landlord. In
any sublet unit, the notice shall be delivered to the tenant at his or her current address and to the subtenant in
possession. If the tenant's address is unknown and not reasonably discoverable, his or her copy shall be
delivered to the subtenant with written instructions to forward it to the tenant. Failure of the subtenant to
deliver such copy to the tenant shall not limit the landlord's right to terminate the rental agreement because
of facility closure. .
(3) For 365-day closure notices as provided in ORS 90.630(5)(a), the provisionsofqAR 813-008-0020
through 813-008-0030 do not apply.
(4) For 180-day closure notices as provided in ORS 90.630(5)(b), the landlord shall comply with the
provisions of OAR 813-008-0020 through 813-008-0030.
ATTACHMENT 2, PAGE 2
Stat. Auth.: ORS 90.630, ORS 90.800 - ORS 90.840, ORS 183, ORS 456.515 - ORS 456.723 & ORS
458.210 - ORS.458.650
Stats. Implemented: ORS 90.630, ORS 90.800 - ORS 90.840, ORS 183, ORS 456.515 - ORS 456.723 &
ORS 458.210 - ORS 458.650
Hist.: HSG 4-1988, f. & ef. 10-19-88; HSG 7-1989, f. & cert. ef. 11-3-89; HSG 2-1991 (Temp), f. & cert. ef. '
8-7-91; HSG 8-1991, f. & cert. ef. 12-23-91; HSG 2-1997, f. & cert. ef. 10-6-97; OHCS 17-2002, f. & cert.
ef. 12-5-02
813-008-0020
Alternate Manufactured Dwelling or Floating Home Space
(1) The landlord shall notify the tenant, in writing, of alternate space to which the tenant can move the
manufactured dwelling or floating home at least 45 days before delivering a 180-day notice of termination.
(2) The tenant shall determine, solely at the judgment and discretion of the tenant, if the alternate space
identified in the 45-day notice described above is acceptable and shall notify the landlord in writing of his or
her decision within 20 days of receiving the notice of the alternative space.
(3) The landlord shall secure the space acceptable to the tenant from the time of acceptance until the date the
relocated manufactured dwelling or floating home is approved for the tenant's occupancy. Costs to secure
the space for this period shall be included in the landlord-paid moving expenses.
Stat. Auth.: ORS 90.630, ORS 90.800 - ORS 90.840, ORS 183, ORS 456.515 - ORS 456.723 & ORS
458.210- ORS 458.650
Stats; Implemented: ORS 90.630, ORS 90.800 - ORS 90.840, ORS 183, ORS 456.515 - ORS 456.723 &
ORS 458.210 - ORS 458.650
Hist.: HSG 4-1988, f. & ef. 10-19-88; HSG 7-1989, f. & cert. ef. 11-3-89; HSG 2-1991 (Temp), f. & cert. ef.
8-7-91; HSG 8-1991, f. & cert. ef. 12-23-91; HSG2-1997, f. & cert. ef. 10-6-97; OHCS 17-2002, f. & cert.
ef. 12-5-02
813-008-0025
Moving and Set Up Expenses
(1) Actual moving and set-up expenses shall be paid or reimbursed by the landlord, as agreed by the parties,
for moving the tenant's manufactured dwelling or floating home, together with all possessions, to another
acceptable location. Eligible expenses include, but are not limited to:
(a) Costs for removing and reinstalling skirting;
(b) Costs for disconnecting and reconnecting utilities, including fees related thereto;
(c) Costs for disconnecting and reinstalling awning(s) and deck(s);
(d) Trip permit and public inspection fees;
(e) Transportation costs;
ATTACHMENT 2, PAGE 3
- - -
(f) Set-up charges;
(g) Costs for manufactured dwelling or floating home improvements necessary to meet destination facility
space standards;
(h) Costs for packing and unpacking manufactured dwelling or floating home contents as necessary for unit
relocation for elderly and disabled persons, as those persons are defined in this Chapter;
(i) Costs for temporary housing and meals for the tenant during unit relocation and set up; and
(j) Landlord expenses to secure the relocation space acceptable to the tenant from the time of tenant
acceptance until the date the relocated manufactured dwelling or floating home is approved for occupancy.
(2) Notwithstanding the foregoing, the amount of moving and set-up expenses required to be paid by the
landlord under these rules shall not exceed actual costs or $3,500, whichever is less, unless otherwise agreed
to by the landlord.
Stat. Auth.: ORS 90.630, ORS 90.800 - ORS 90.840, ORS 183, ORS 456.515 - ORS 456.723 & ORS
458.210 - ORS 458.650
Stats. Implemented: ORS 90.630, ORS 90.800 - ORS 90.840, ORS 183, ORS 456.515 - ORS 456.723 &
ORS 458.210 - ORS 458.650
Hist.: HSG 4-1988, f. & ef. 10-19-88; HSG 3-1989(Temp), f. &cert. ef. 6-8-89; HSG 7-1989, f. & cert. ef.
11-3-89; HSG 2-1991(Temp), f. & cert. ef. 8-7-91; HSG 8-1991, f. & cert. ef. 12-23-91; HSG 2-1997, f. &
cert' ef. 10-6-97; OHCS 17-2002, f. & cert. ef. 12-5-02
813~008-0030
Payment of Expenses
(1) The tenant and landlord shall agree in writing upon the moving and set-up method and source of services
to be provided for same not less than 20 days before the tenant's required moving date.
(2) The tenant shall submit billings or paid receip~s for expenses eligible for reimbursement to the landlord
within ten days of receipt of same. The landlord shall timely pay unpaid billings directly to the vendor and
shall reimburse the tenant for appropriate expenses paid directly by the tenant. The landlord shall make
payment for or reimbursement of appropriate expenses not later than 20 days following receipt of any such
billings or paid receipts.
(3) Based upon written agreement with the tenant, the landlord may contract directly with vendors as may
be cost advantageous in accomplishing the tenant's move so long as such services are mutually agreed upon
by landlord and tenant and performed by appropriately registered or licensed and bonded tradesmen or
agents.
(4) Ifno agreement is timely reached between landlord and tenant prior to a tenant's required moving date,
the landlord shall timely reimburse the tenant for appropriate moving and set-up expenses consistent with
these rules.
Stat. Auth.: ORS 90.630, ORS 90.800 - ORS 90.840, ORS 183, ORS 456.515 - ORS 456.723 & ORS
458.210- ORS 458.650 /
- - -- - - - - ~-
ATTACHMENT 2, PAGE 4
Stats. Implemented: ORS 90.630, ORS 90.800 - ORS 90.840, ORS 183, ORS 456.515 - ORS 456.723 &
ORS 458.210 - ORS 458.650
Hist.: HSG 4-1988, f. & ef. 10-19-88; HSG 2-1991 (Temp), f. & cert. ef. 8-7-91; HSG 8-1991, f. & cert. ef.
,12-23-91; HSG 2-1997, f. & cert. ef. 10-6-97; OHCS 17-2002, f. & cert. ef. 12-5-02
813-008-0040
Waiver
The Director may waive or modify any requirements of OAR 813, division 008, unless such waiver or
modification would violate applicable federal or state statutes or regulations.
Stat. Auth.: ORS 90.800 - 90.840, ORS 183, ORS 456.515 - ORS 456.723 & ORS 458.210 - ORS 456.650
Stats. Implemented: ORS 90.800 - 90.840, ORS 183, ORS 456.515 - ORS456.723 & ORS 458.210 - ORS
456.650
Hist.: OHCS 17-2002, f. & cert. ef. 12-5-02
The official copy of an Oregon Administrative Rule is contained in the Administrative Order filed at the Archives Division, 800
Summer St. NE, Salem, Oregon 97310. Any discrepancies with the published version are satisfied in favor of the Administrative
Order. The Oregon Administrative Rules and the Oregon Bulletin are copyrighted by the Oregon Secretary of State. Terms and
Conditions of Use
ATTACHMENT 2, PAGE 5
Oregon Revised Statutes (2007)
Note: The amendments to 90.645 by section 2a, chapter 906, Oregon Laws 2007, become
operative January 1,2013. See section 2b, chapter 906, Oregon Laws 2007. The text that is
operative on and after January 1, 2013, is set forth for the user's convenience.
90.645. (1) If a manufactured dwelling park, or a portion of the park that includes the space
for a manufactured dwelling, is to be closed and the land or leasehold converted to a use other
than as a manufactured dwelling park, and the closure is not required by the exercise of eminent
domain or by order of federal, state or local agencies, the landlord may terminate a month-to-
month or fixed term rental agreement for a manufactured dwelling park space:
(a) By giving the tenant not less than 365 days' notice in writing before the date designated
in the notice for termination; and
(b) By paying a tenant, for each space for which a rental agreement is terminated, one of the
following amounts:
(A) $5,000 if the manufactured dwelling is a single-wide dwelling;
(B) $7,000 if the manufactured dwelling is a double-wide dwelling; or
(C) $9,000 if the manufactured dwelling is a triple-wide or larger dwelling.
(2) Notwithstanding subsection (1) of this section, if a landlord closes a manufactured
dwelling park under this section as a result of converting the park to a subdivision under ORS
92.830 to 92.845, the landlord:
(a) May terminate a rental agreement by giving the tenant not less than 180 days' notice in
writing before the date designated in the notice for termination.
(b) Is not required to make a payment under subsection (1)(b) of this section to a tenant who:
(A) Buys the space or lot on which the tenant's manufactured dwelling is located and does
not move the dwelling; or
(B) Sells the manufactured dwelling to a person who buys the space or lot.
(3) A notice given under subsection (1) or (2) of this section shall, at a minimum:
(a) State that the landlord is closing the park, or a portion of the park, and converting the land
or leasehold to a different use;
(b) Designate the date of closure; and
(c) Include the tax notice described in ORS 90.650.
(4) Except as provided in subsections (2) and (5) of this section, the landlord must pay a
tenant the full amount required under subsection (1)(b) of this section regardless of whether the
tenant relocates or abandons the manufactured dwelling. The landlord shall pay at least one-half
of the payment amount to the tenant within seven days after receiving from the tenant the notice
described in subsection (5)(a) of this section. The landlord shall pay the remaining amount no
later than seven days after the tenant ceases to occupy the space.
(5) Notwithstanding subsection (1) of this section:
, (a) A landlord is not required to make a payment to a tenant as provided in subsection (1) of
this section unless the tenant gives the landlord not less than 30 days' and not more than 60 days'
written notice of the date within the 365-day period on which the tenant will cease tenancy,
whether by relocation or abandonment of the manufactured dwelling.
(b) If the manufactured dwelling is abandoned:
(A) The landlord may condition the payment required by subsection (1) of this section upon
the tenant waiving any right to receive payment under ORS 90.425 or 90.675.
(B) The landlord may not charge the tenant to store, sell or dispose of the abandoned
ATTACHMENT 2, PAGE 6
manufactured dwelling.
(6)(a) A landlord may not charge a tenant any penalty, fee or unaccrued rent for moving out
of the manufactured dwelling park prior to the end of the 365-day notice period.
(b) A landlord may charge a tenant for rent for any period during which the tenant occupies
the space and may deduct from the payment amount required by subsection (1) of this section
any unpaid moneys owed by the tenant to the landlord.
(7) A landlord may not increase the rent for a manufactured dwelling park space after giving'
a notice of termination under this section to the tenant of the space.
(8) This section does not limit a landlord's right to terminate a tenancy for nonpayment of
rent under ORS 90.394 or for other cause under ORS 90.380 (5)(b), 90.396, 90.398 or 90.632 by
complying with ORS 105.105 to 105.168.
(9) If a landlord is required to close a manufactured dwelling park by the exercise of eminent
domain or by order of a federal, state or local agency, the landlord shall notify the park tenants
no later than 15 days after the landlord receives notice of the exercise of eminent domain or of
the agency order. The notice to the tenants shall be in writing, designate the date of closure, state
the reason for the closure, describe any government relocation benefits known by the landlord to
be available to the tenants and comply with any additional content requirements under ORS
90.650.
(10) The Office of Manufactured Dwelling Park Community Relations shall adopt rules
establishing a sample form for the notice described in subsection (3) of this section.
'.
<ORS 90_445 re MH Park Closures>
ATTACHMENT 2, PAGE 7
MEMORANDUM
City of Springfield
Date: February 11,2008
To: Gino Grimaldi, City Manager
From: Jodi Peterson, Housing Management Analyst
Kevin Ko, DSD Housing Program
Courtney Griesel, DR Planner
John Tamulonis, Community Development Mgr
Subject: MOBILEIMANUFACTURED HOME PARK CLOSURE BACKGROUND AND LOCAL
FACTS
ISSUE:
In response to proposed and recent mobile home park closures,. Oregon law makers and local elected officials
have amended the laws governing legal protections and compensation for residents of at-risk mobile home
developments. At the request of mobile home park residents in Springfield, city staff discussed the possible
effects, rights, and options for residents in Springfield-area parks. With change of ownership or possible
nearby development, residents have been concerned about plans for their parks as well as their rights and
available resources for assistance in dealing with impacts on their homes. Staff discussed these issues with
the park residents and provided information and the most appropriate resources to assist them in handling
potential and real changes.
BACKGROUND:
Every year since 2004, city staff has visited and/or spoken with mobile home park residents about issues
related to potential park closures. However, no notices of closure have been issued and no parks have closed
within Springfield's UGB. Staff felt it beneficial to provide up-to-date information about resident rights as
tenants of a mobile home park. The information presented here was compiled from multiple sources including
the State of Oregon, the Manufactured Home Owners of Oregon (MHOO), and the Oregon Housing and
Community Services Department.
Note that mobile homes are typically those housing units (sometimes including RVs as housing units)
manufactured before mid-1976 and do not meet long-term construction standards as housing. Manufactured
homes are typically manufactured after mid-197 6 and meet the minimum standards for construction set by the
federal Housing and Urban Development Department (HUD). Not all 'mobile home parks' or 'manufactured
home parks' will accept the older mobile homes. Manufactured homes encounter fewer restrictions on their
placement and could even be located on single-family lots within Springfield, with proper foundations, utility
connections, structural construction and permitting. Within a mobile home park, residents may lease a mobile
home or own a home on a leased space and pay fees and utilities.
With several mobile home park closures proposed around the State in recent years, representatives from
tenant's rights groups, mobile homeowners' association, manufactured parks owner/operators and housing
advocates proposed a statewide adjustment to the outdated laws regarding compensation and notice for
displaced park residents. The State legislation, in effect as of September 2007, amended existing laws and
provided additional rights for mobile home park residents and owners. The essential changes require:
1. The landlord/park owner must issue park residents written notice not less than 365 days before the
date stated in the notice for termination of rental agreements and the closure of the park;
ATTACHMENT 3, PAGE 1
2. The landlord/park owner must pay each t~nant homeowner $5,000, $7,000 or $9,000 based on the
size of the manufactured home (single-wide, double-wide, or triple-wide dwelling respectively). This
payment is exempt from State taxes and must be made in full regardless if the tenant relocates or abandons the
mobile/manufactured dwelling unit. The landlord shall pay at least half of the payment amount within seven
days after receiving written notice from the tenant of the date, within the 365-day period, on which the tenant
plans to cease tenancy. Tenants must provide at least thirty days notice and not more than sixty days notice to
the landlord of when they expect to cease being tenants. Landlords must pay the remaining balance to the
tenant no later than seven days after the tenant ceases to occupy the space.
Landlords/park owners cannot increase rents to offset the above payments required by the State of Oregon
before or after the notice ofterrnination has been issued. Landlords/park owners may, however, provide a
greater fmancial incentive to encourage the tenant to accept an earlier termination date than 365 days or
contract with tenants for mutually acceptable arrangements to assist the tenant's move. Landlords/park
owners cannot charge a tenant rent after a tenant leaves even if the tenant abandons the
mobile/manufactured dwelling unit.
In addition to State requirements, park residents may be eligible for the "mobile home park closure tax credit"
of $5,000 from the Oregon Department of Revenue, which requires the resident to own and occupy their
mobile/manufactured home and to have received notice that the park in which the dwelling unit is located is
closing. The home owner is not required to move their mobile/manufactured home to qualify for this credit.
It is not based on household income, value of the structure, or moving expenses. The credit is refundable to
all qualifying taxpayers.
The legislature, to help ensure uniformity statewide, provided a brief window of opportunity in 2007
when local jurisdictions could modify or make local rules more stringent/demanding regarding
mobile/manufactured home park closures. This area's Intergovernmental Housing Policy Board, advising
Lane County, Springfield, and Eugene, recommended additional regulations and compensation above
those approved by the legislature and some were approved by the Eugene City Council [See Exhibit A].
Springfield did not make any local changes to the new State rules.
The State provides information through the Office of Manufactured Dwelling Park Community Relations to
tenants and park owners and operators. That office also becomes an advocate for the park residents whenever
a notice of park closure is issued to park residents.
DISCUSSION:
Recently, staff inventoried 68 parks in the immediate Lane County area to determine the number of available
spaces. The Springfield/Eugene area currently has approximately 47 mobile/manufactured home parks
totaling 4,478 spaces. Of these spaces, 166 are currently vacant. In the surrounding Lane County area (Blue
River, Coburg, Cottage Grove, Creswell, Dorena, Junction City, Oakridge, Pleasant Hill, and Veneta) a total
of approximately 20 mobile/manufactured home parks have been identified totaling 912 spaces. Of these, 76
are currently vacant. Although there are vacancies, many parks have private restrictions limiting the year of
manufacture and/or the physical condition of acceptable structures. These restrictions can create a barrier for
home owners attempting to relocate their mobile/manufactured home from one park to another.
While no park closures in Springfield are currently identified, City staff is still concerned about future
relocation options and possible City resources available to lift some burden from the residents should park
closures occur. Below are several options assuming the City is not legally responsible for providing
relocation benefits to park residents affected by private closure.
· City could obtain land on which to develop a new mobile/manufactured'home park, assist
with developing its infrastructure or sell the land to a developer; and/or have it operated
privately or by a non-profit agency.
ATTACHMENT 3, PAGE 2
~ - -- -~
a Benefits: The City has leverage to specify mobile home park requirements to the
developer/owner. This option could inchide a combination of public, private or non-
profit ownership and operation responsibility.
a Drawbacks: Cost of assembling a suitable, large enough, parcel of land; Scarcity of low
density residential land; A newly developed p~rk may not be able to site older mobile
homes; Extended timeline to develop a park (2-5 years); The arrangements might become
complex with multiple partners.
a EXAMPLES: Staff spoke with Mike Whitty, a semi-retired attorney, mobile home park
manager and counsel to Steve Ward, park owner/developer. Mr. Whitty indicated that
recent mobile home developments have been geared towards private ownership of the
lots (Songbrook, Maia Park and Crescent Meadows 2nd Addition). Improved lots sell for
roughly $125,000. He also stated that if the parks had been developed in the traditional
style, small lots with improvements available for rent, they would need to charge at least
$800 per space plus utilities to cover the cost. He indicated that with land and
development it would cost between $75,000 and $95,000 per space to develop.
Troy Brost, Songbrook Park owner, manager, and developer, was also contacted. Based
on estimates gathered from a construction company used by Mr. Brost, excluding the cost
of land, it was estimated that the infrastructure cost per mobile/manufactured home site
would be about $25,000. Mr. Brost also indicated that it is most efficient to develop
parks with 100 spaces or more to be able to support additional amenities for park
residents and an on-site manager to ensure it will run.
· City could buy or assist in the purchase or expansion and upgrading of an existing
mobile/manufactured home park.
a Benefits: Possibility to improve distressed mobile/manufactured home parks; May allow
placement of older mobile homes; A shorter timeline to develop.
a ,Drawbacks: Lack of vacant spaces in which to site relocated mobile homes; The high
costs associated with the purchase and rehab of existing parks; Current regulations may
restrict placement of older mobile homes; Cannot expand an existing park by less than 1
acre.
a EXAMPLES: Staff has identified two potential distressed parks in Springfield. The first
is a property located at 1263 Main Street. It is a 3.67 acre site with 79 spaces. Lane
County tax records list the real market value at $3,100,794. The second is a 3.69 acre site
with 68 spaces located at 225 41st Street, with a real market value of$I,867,159. '
· City could assist in the development of an alternative replacement housing option such as
apartments, hi-rises, or other multi-family designs.
a Benefits: Allows for more flexibility in type and location of replacement housing;
Possibility of several scattered sites.
a Drawbacks: Apartment living may not be a preference of current mobile/manufactured
home residents; High cost of development; Extended timeline to develop (2-5 years).
a EXAMPLES: The Royal Building at 509 Main Street is 33 units with ground floor
commercial. The building cost $6,130,266 to develop and construct over 4 years. Rents
are $370 per month and operated by non-profit St. Vincent DePaul.
· City could provide a lump-sum cash payment to assist displaced mobile home owners.
ATTACHMENT 3, PAGE 3
o Benefits: Relatively easy to administer; Provides and immediate benefit to displaced
owners; Benefits received regardless of where owners move to.
o Drawbacks: Potentially high costs; May not be a satisfactory solution for some displaced
owners.
o EXAMPLES: The City of Eugene has adopted a compensation plan as follows:
a. $11,000 for a single wide home;
b. $17,000 for a double wide home; and
c. $21,000 for a triple wide home.
d. Or actual moving costs
If for any reason the home cannot be moved, a payment equal to the real market value of
the home as determined by Lane County Assessment and Taxation, plus
relocation/moving costs as established by the Uniform Relocation Act (URA) less
demolition costs ($1,000 for disposing of a single wide, $2,000 for a double wide and
$3,000 for a triple wide), will be made to the mobile home owner.
In reviewing the above potential options, it would be possible, and likely advantageous to use a
combination of the above options, depending on the role that the city wants to have and the situation of
the individual displaced owner.
It is also possible to use Community Development Block Grant (CDBG) and HOME funds for some of
these activities. Of course, use of these funds comes with the usual federal requirements. Here are brief
descriptions of some of the primary federal requirements:
1) All housing assisted with CDBG and/or HOME funds must be for low-moderate income
households. HOME also carries a prescribed period of affordability.
2) CDBG funding cannot be used for new housing construction. '
3) The use ofCDBG or HOME funds to acquire existing housing (mobile home parks or
apartments) will trigger URA prescribed relocation assistance and federal ",one for one"
replacement of affordable housing units. CDBG/HOME have minimum Housing Quality
Standards. Some of the MH units to be relocated may not meet the minimum HQS and cannot be
re-sited.
4) CDBG/HOME funds may pay for "optional" relocation assistance, but only after adoption of a
written policy stating why and under what circumstances the assistance is being offered.
5) CDBG and HOME funds are limited it would take 5+ years to fund an acquisition/rehab or
new construction project as described in the options above.
RECOMMENDED ACTION:
A work session is being scheduled for April 21,2008 to discuss this topic further.
_AT!ACHMENT 3,PAGE-4
MANUFACTURED DWELLING PARK CLOSURES IN EUGENE
WHAT HAVE OTHER JURISDICTIONS DONE?
In 2007 there was a short window in which local jurisdictions could modify their own rules and regulations
regarding mobile home park closures. During this time, the Intergovernmental Housing Policy Board, advising
to Lane County, Springfield, and Eugene, made a recommendation of rules and regulations in addition to those
required by the State regarding park closures. These additional recommendations, listed below, only establish
protections for residents of mobile home parks in the case of voluntary closure or convert. These protections do
not apply when the park is closed due to condemnation or foreclosure.
Additional Park Closure Requirements Adopted by the City of Eugene:
· The owner of the closing park should be required to hire a housing counselor to assist residents
with moving and with any relocation assistance claims;
.
If the Manufactured Home can be moved from the park, the resident shall receive, at the
resident's option~ either:
o Actual moving costs for a location within 60 miles, using the most direct economical
route (retroactive payment, after moving); or
o A flat amount (paid in advance of the closing) at the following rate: $11,000 for a single
wide home, $17,000 for a double wide home, and $21,000 for a triple wide home. These
amounts shall be periodically adjusted by the City Manager or the Lane County
Administrator to reflect changes in the Consumer Price Index.
.
If the Manufactured Home cannot be moved, for whatever reason, the resident shall receive (paid
in advance of closing), at the resident's option, either:
o A payment equal to the real market value, of the Manufactured Home, as determined by
the assessor plus a flat amount for moving costs of personal property (set by the HPB and
adjusted by the City Manager or County Administrator for inflation); or
o A flat amount will be the same as determined by the federal government for relocation
compensation. A single wide will be considered equivalent to a two room home, a
double wide will be equivalent to a three room home, and a triple wide equivalent to a
four room home
o Payment shall, in either case, be paid after deduction a portion of the owner's costs to
dispose of the abandoned Manufactured Home. The deduction payment for disposing of
a single wide shall be$l ,000; double wide, $2,000 and triple wide, $3,000. The City
Manager or County administrator can periodically adjust these amounts to reflect changes
in the Consumer Price Index.
.
The closing park owner should pay the compensation required (listed above), minus any state
subsidy (primarily the state "mobile park closure credit" discussed previously).
o In addition, the City of Eugene shall give the owner credit for System Development
Charges (SDC's);
o Also, it is assumed that the compensation identified previously will not cover 100 percent
of the resident's loss, so in that sense the resident is also making a major "contribution."
.
Residents of parks in industrial or commercial zones or flood plains are entitled to 50 percent of
the assistance received by owners in residentially zoned parks because those parks have long
been anticipated to close and convert to other uses.
* Notice: This handout is general in nature and is not meant as legal or tax advice for your specific situation.
Please consult your own attorney or tax advisQr.____
EXHIBIT A .
ATTACHMENT 3, PAGE 5