2- Agenda Summary - Manufactured Housing Committee
Agenda Summary – Manufactured Housing CommitteeHyatt Grand Champions
Grand Salon Ballroom A/B Second
Indian Wells, California
January 23, 2008
3:30pm – 5:00pmPresiding:
David Hale, Chair
Lonni Granlund, Vice Chair
Carl San Miguel, Vice Chair
Jeannette Way, LiaisonC.A.R. Staff
Natalie CardenasI. Opening CommentsII. 2008 2-Year Legislation Update (these bills must pass out of their house of origin by January 31, 2008)A. AB 285 (Garcia), Mobilehome Park Rent Control Exemption for Owners of Vacation Homes – This bill, sponsored by the Western Manufactured Housing Communities Association (WMA), would exempt manufactured housing units in mobilehome parks from locally enacted rentcontrols if the unit is a vacation home. As introduced, the bill would have exempted any manufactured housing unit from locally imposed rent control if it is not the sole residence owned by a homeowner. However, thebill failed passage in the Assembly Housing and Community Development Committee. The author and sponsor agreed to limit the exemption to vacation homes, defined as a residence where the owner does not use or occupy for more than 180 days in a calendar year. Due to continued opposition from the Golden State Manufactured Homeowner League (GSMOL), WMA has attempted to further amend the bill. C.A.R. Position – WatchB. AB460 (Cook) Mandatory Inspections for pre-1976 Mobilehomes – This bill, sponsored by the Western Manufactured Housing Communities Association (WMA), would require interior and exterior inspections of mobilehome units for sale in a mobilehome park if the unit was built prior to 1976. If the unit does not meet inspection standards, park owner would be permitted to require sellers to correct the violations or compel the seller to remove the mobilehome unit prior to sale. As introduced, C.A.R. took a Not Favor position on the bill because it would have created a “point of sale” requirement on sellers of pre-1976 mobilehomes. The bill is currently in the Assembly Housing and Community Development Committee. Due to opposition, the author never brought the bill before the Committee for a vote. The sponsors may use AB 460 as a vehicle to pursue other legislation, should the author agree to abandon the original language in the bill. C.A.R. Position – Not FavorC. AB 1111 (DeSaulnier) Changes in Age Restrictions in Mobilehome Parks – This bill, sponsored by the Golden State Mobilehome Owners Association (GSMOL), would require a majority approval from park residents in a senior mobilehome (55 years of age or older) park if the park management wants to convert the park to “all ages”. The bill further permits local governments to adopt local ordinances to prevent senior mobilehome parks from converting to parks open to all ages. The bill was held in the Assembly Housing and Community Development Committee without a vote. C.A.R. Position – WatchD. AB 1309 (Calderon) Vacancy Decontrol for Mobilehome Park Rent Control– This bill, sponsored by WMA would establish vacancy decontrol for manufactured housing units sold in mobilehome parks subject to a local rent control ordinance. Vacancy decontrol permits park management to bring space rent up to market rent if the unit is voluntarily vacated due to sale of the unit. Once new residency is established, the space rent for the unit would be subject to local rent control provisions. C.A.R supports AB 1309 because vacancy decontrol ameliorates some of the negative impacts of rent control. C.A.R. successfully co-sponsored the Costa-Hawkins Rental Housing Act in 1995 to create vacancy decontrol for stick built rental units subject to a local rent control ordinance. At that time, mobilehome park rent control was excluded from Costa Hawkins in order to secure passage. Now, WMA hopes to provide mobilehome parks with vacancy decontrol. The bill passed out of the Assembly Housingand Community Development Committee on May 9, 2007. It is currently on the Assembly Floor. C.A.R. Position – SupportE. SB 900 (Corbett) Mobilehome Park Conversions to Resident Owned Parks – Sponsored by the City of Napa and Sonoma County, this bill would remove existing exemptions for mobilehome parks converting to resident owned parks from local government approval or conditions. Under the Subdivision Map Act, if a mobilehome park is proposed to be converted to another use, such as stick-built housing or commercial development, local governments can impose restrictions and conditions on that conversion. In some cases, these restrictions have the net effect of prohibiting the conversion. In 1991, the Legislature adopted an exemption for park conversions to resident-owned, based on concerns by residents and conversion specialists who successfully argued that local restrictions made it impossible for residents to purchase their units. At that time, the Legislature enacted statewide rent control for low-income residents who do not purchase their unit-space and provided a four-year phase in of rents to market rate for moderate-income residents who chose not to purchase. However, GSMOL and local cities have complained that resident-owned park conversions are now being initiated by park owners who want to get out of the mobilehome park business due to local rent controls. SB 900 is similar to AB 1542 (Evans), which was passed by Legislature but vetoed by the Governor. As introduced, AB 1542 was identical to SB 900. It was later amended to provide locally imposed rent controls to park residents who do not purchase their lot when their park is converted to a resident owned park. In his veto message, Governor Schwarzenegger urged the Legislature to pursue legislation that would address the concerns raised by AB 1542 that balances the interests of the property owners of the mobilehome parks and the owners of manufactured homes within the parks. C.A.R. Position – OpposeIII. Proposed 2008 LegislationA. WMA Sponsored Legislation on Housing Elements – WMA may sponsor legislation in 2008 to preclude local jurisdictions from counting manufactured housing subject to local rent control as “affordable” in their Housing Elements. Currently, when a local government is updating their Housing Element, they must identify existing housing stock within their community that is affordable to individuals who meet various income categories. Many times, local jurisdictions with mobilehome park rent controls will count those units as “affordable”. WMA would like to preclude local governments from doing so in future Housing Element updates.B. WMA Sponsored Legislation on Local Government Moratoriums on Senior Park Conversions – Last year, Assembly member DeSaulnier introduced AB 1111, which if passed would require majority approval from park residents if the park management wished to convert a senior park to an “all ages” park. The bill would further authorize local governments to adopt ordinances to prohibit such conversions. The Assembly Housing and Community Development Committee held a hearing of AB 1111 but the author did not ask for a vote on the bill at the hearing. It is currently a 2-year bill which must be passed out of the Assembly by January 31, 2008. WMA, which strongly opposes AB 1111, plans to introduce legislation in 2008 to bar local governments from adopting ordinances to prohibit senior parks from converting to “all ages” parks. They may use AB 460 (Cook) as the vehicle for this bill proposal or may choose to introduce a new bill.IV. Eminent Domain Initiatives and Rent Control – An Issues Briefing Paper was prepared for this item and is attached to your meeting materials.V. Other businessVI. Adjournment