SENIOR
SENATE PROPOSAL NO. 13
INTRODUCED
BY SENATOR WINSLOW
LEGISLATIVE
COUNSEL'S DIGEST
SP
13:
UNDER
EXISTING LAW, THE OWNER OF A MOBILEHOME PARK WHO LISTS FOR SALE OR OFFERS TO
SELL THE MOBILEHOME PARK TO ANY PARTY, EXCEPT IN SPECIFIED TRANSACTIONS, IS
REQUIRED TO PROVIDE WRITTEN NOTICE OF HIS OR HER INTENTION TO SELL, UNDER
CERTAIN CONDITIONS, TO ANY RESIDENT ORGANIZATION FORMED BY HOMEOWNERS AS A
NONPROFIT CORPORATION, STOCK COOPERATIVE CORPORATION, OR OTHER ENTITY FOR
PURPOSES OF CONVERTING THE MOBILEHOME PARK TO COOPERATIVE OR CONDOMINIUM
OWNERSHIP AND FOR PURCHASING THE PARK.
THIS
MEASURE WOULD MEMORIALIZE THE LEGISLATURE AND THE GOVERNOR TO ENACT LEGISLATION
THAT WOULD REPEAL THESE PROVISIONS, AND INSTEAD PROVIDE THAT HOMEOWNERS IN A
MOBILEHOME PARK WHO HAVE FULFILLED CERTAIN REQUIREMENTS SHALL HAVE THE RIGHT OF
FIRST REFUSAL IF A MOBILEHOME PARK OWNER DESIRES TO SELL THE PARK.
THE BILL WOULD LIMIT APPLICATION OF THIS RIGHT OF FIRST REFUSAL TO
MOBILEHOME PARKS IN WHICH 30% OF THE SPACES ARE OCCUPIED BY LOW-INCOME RESIDENTS
OR HOMEOWNERS, AS SPECIFIED, OR THAT ARE BEING SOLD FOR THE EXPRESS PURPOSE OF
CONVERTING THE PARK TO A DIFFERENT USE. TO
HAVE THE RIGHT OF FIRST REFUSAL, THE MEASURE WOULD REQUIRE THAT: (1) THE HOMEOWNERS
FORM A RESIDENT ORGANIZATION, AS SPECIFIED, WHICH WOULD BE REQUIRED TO REPRESENT
AT LEAST 2/3 OF THE MOBILEHOME OWNERS OF THE PARK AND BE AUTHORIZED TO ACT ON
THEIR BEHALF; AND (2) THE RESIDENT ORGANIZATION PROVIDE NOTICE OF THE RESIDENTS'
DESIRE TO PURCHASE THE PARK, IN WRITING, AS SPECIFIED, TO THE PARK OWNER OR
MANAGER. THE MEASURE WOULD REQUIRE
THE RESIDENT ORGANIZATION TO PROVIDE A SPECIFIED NOTICE IN ORDER TO MAINTAIN THE
RIGHT OF FIRST REFUSAL.
THIS
MEASURE WOULD REQUIRE A PARK OWNER TO FOLLOW A SPECIFIED PROCEDURE FOR INFORMING
THE RESIDENT ORGANIZATION IF THE MOBILEHOME PARK OWNER DESIRES TO SELL THE PARK,
OR HAS RECEIVED AN OFFER FROM A 3RD PARTY TO BUY THE PARK, INCLUDING SPECIFYING
THE PRICE AND TERMS OF THE POTENTIAL SALE. THE
MEASURE WOULD REQUIRE THE RESIDENT ORGANIZATION TO NOTIFY THE PARK OWNER WITHIN
15 DAYS OF RECEIVING NOTICE FROM THE OWNER, AS SPECIFIED, THAT IT IS CONSIDERING
THE OFFER TO PURCHASE, OR LOSE THE RIGHT OF FIRST REFUSAL.
THE MEASURE WOULD PROVIDE THAT, AFTER NOTIFYING THE PARK OWNER, AS
SPECIFIED, THE RESIDENT ORGANIZATION WOULD HAVE 30 DAYS TO EXERCISE ITS RIGHT OF
FIRST REFUSAL BY OFFERING TO MEET THE PRICE AND SUBSTANTIALLY THE SAME TERMS.
THE MEASURE WOULD PROHIBIT A SALE TO A 3RD PARTY AT A PRICE LESS, OR ON
TERMS MORE FAVORABLE TO THE BUYER, THAN THOSE COMMUNICATED TO THE RESIDENT
ORGANIZATION. THE MEASURE WOULD
EXEMPT FROM ITS PROVISIONS CERTAIN SALES AND TRANSFERS.
THE MEASURE WOULD ALSO MAKE A STATEMENT OF LEGISLATIVE FINDINGS AND
DECLARATIONS REGARDING HOUSING.
VOTE:
MAJORITY.
SP 13:
RELATING TO MOBILEHOME PARKS; SALES
WHEREAS,
APPROXIMATELY 220,000 HOUSING UNITS NEED TO BE PRODUCED IN
WHEREAS,
WHILE THE NATIONAL HOMEOWNERSHIP RATE HAS REACHED A RECORD HIGH, THE RATE IN
WHEREAS,
THERE IS AN EXTREME SHORTAGE OF RENTAL HOUSING IN
WHEREAS,
OVER ONE-THIRD OF ALL RENTER FAMILIES STATEWIDE PAY OVER HALF THEIR INCOMES IN
RENT; AND
WHEREAS,
MORE THAN 147,000 RENTAL UNITS BUILT IN THIS STATE PRIOR TO 1980 UNDER THE
SECTION 236, SECTION 221(D)(3), AND SECTION 8 PROGRAMS OF THE UNITED STATES
DEPARTMENT OF HOUSING AMD URBAN DEVELOPMENT AND THE SECTION 515 PROGRAM OF THE
FEDERAL FARMERS HOME ADMINISTRATION ARE AT RISK OF CONVERSION TO HIGHER RENT
HOUSING OR CONDOMINIUM UNITS. LOSS
OF THIS HOUSING STOCK WILL DISPLACE THOUSANDS OF ELDERLY, DISABLED, AND
STRUGGLING FAMILIES WITH
WHEREAS,
THE BASIC HOUSING GOAL FOR STATE GOVERNMENT PURSUANT TO SUBDIVISION (B] OF
SECTION 50003 OF THE HEALTH AND SAFETY CODE IS TO PROVIDE A DECENT HOME AND
SUITABLE LIVING ENVIRONMENT FOR EVERY
WHEREAS,
THERE IS A CRITICAL NEED TO PROTECT AND PRESERVE AFFORDABLE HOMES AND RENTAL
HOUSING IN CALIFORNIA, AND SENIORS ON FIXED INCOMES AND INDIVIDUALS AND FAMILIES
OF LOW AND MODERATE INCOME ARE PARTICULARLY VULNERABLE TO THE ESCALATING COSTS
OF HOUSING, INCLUDING INCREASING RENTS ON MOBILEHOME SPACES UPON WHICH THEIR
MOBILEHOMES ARE SITUATED; AND
WHEREAS,
IN 1984, THE LEGISLATURE ENACTED THE
WHEREAS,
MOBILEHOME PARKS PROVIDE AN AFFORDABLE FORM OF HOUSING AND HOMEOWNERSHIP FOR
MANY CALIFORNIANS, AND THE CONVERSION OF PARKS TO RESIDENT OWNERSHIP IS OFTEN
UNDERTAKEN TO ENSURE CONTINUED AFFORDABILITY; AND
WHEREAS,
INCREASING RENTS AND LOW VACANCY RATES IN MOBILEHOME PARKS, AS WELL AS THE
PRESSURE TO CONVERT MOBILEHOME PARKS TO OTHER USES, INCREASINGLY MAKE MOBILEHOME
PARK LIVING INSECURE FOR MOBILEHOME OWNERS; NOW, THEREFORE, BE IT
RESOLVED,
BY THE SENIOR SENATE AND THE SENIOR ASSEMBLY, JOINTLY, THAT THE SENIOR
LEGISLATURE OF THE STATE OF CALIFORNIA AT ITS 2002 REGULAR SESSION, A MAJORITY
OF THE MEMBERS VOTING THEREFOR, HEREBY PROPOSES THAT HOMEOWNERS IN A MOBILEHOME
PARK WHO HAVE FULFILLED CERTAIN REQUIREMENTS SHALL HAVE THE RIGHT OF FIRST
REFUSAL IF A MOBILEHOME PARK OWNER DESIRES TO SELL THE PARK; AND BE IT FURTHER
RESOLVED,
THAT THE APPLICATION OF THIS RIGHT OF FIRST REFUSAL BE LIMITED TO MOBILEHOME
PARKS IN WHICH 30 PERCENT OF THE SPACES ARE OCCUPIED BY LOW-INCOME RESIDENTS OR
HOMEOWNERS, AS SPECIFIED, OR THAT ARE BEING SOLD FOR THE EXPRESS PURPOSE OF
CONVERTING THE PARK TO A DIFFERENT USE; AND BE IT FURTHER
RESOLVED,
TO HAVE THE RIGHT OF FIRST REFUSAL (1) THE HOMEOWNERS SHOULD BE REQUIRED TO FORM
A RESIDENT ORGANIZATION, WHICH WOULD BE REQUIRED TO REPRESENT AT LEAST
TWO-THIRDS OF THE MOBILEHOME OWNERS OF THE PARK AND BE AUTHORIZED TO ACT ON
THEIR BEHALF; (2) THE RESIDENT ORGANIZATION SHOULD CONTRACT WITH A THIRD PARTY
TO REPRESENT THE ORGANIZATION AND FACILITATE THE PURCHASE; AND (3) THE RESIDENT
ORGANIZATION SHOULD PROVIDE NOTICE OF THE RESIDENTS' DESIRE TO PURCHASE THE
PARK, IN WRITING TO THE PARK OWNER OR MANAGER; AND BE IT FURTHER
RESOLVED,
THAT THE RESIDENT ORGANIZATION BE REQUIRED TO PROVIDE A NOTICE IN ORDER TO
MAINTAIN THE RIGHT OF FIRST REFUSAL; AND BE IT FURTHER
RESOLVED,
THAT THE PARK OWNER BE REQUIRED TO FOLLOW A PROCEDURE FOR INFORMING THE RESIDENT
ORGANIZATION IF THE MOBILEHOME PARK OWNER DESIRES TO SELL THE PARK, OR HAS
RECEIVED AN OFFER FROM A THIRD PARTY TO BUY THE PARK, INCLUDING SPECIFYING THE
PRICE AND TERMS OF THE POTENTIAL SALE; AND BE IT FURTHER
RESOLVED,
A SALE TO A THIRD PARTY SHOULD BE PROHIBITED AT A PRICE LESS, OR ON TERMS MORE
FAVORABLE TO A BUYER, THAN THOSE COMMUNICATED TO THE RESIDENT ORGANIZATION; AND
BE IT FURTHER
RESOLVED,
THAT THE SENIOR LEGISLATURE OF THE STATE OF CALIFORNIA RESPECTFULLY MEMORIALIZES
THE LEGISLATURE AND THE GOVERNOR OF THE STATE OF CALIFORNIA TO ENACT APPROPRIATE
LEGISLATION WHICH WOULD ADDRESS THE CONCERNS SET FORTH IM THIS MEASURE; AND BE
IT FURTHER
RESOLVED,
THAT A COPY OF THIS MEASURE BE TRANSMITTED TO THE PRESIDENT PRO TEMPORE OF THE
SENATE, THE SPEAKER OF THE ASSEMBLY, AND THE GOVERNOR OF THE STATE OF
CALIFORNIA.
RN0214651
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