SB 935

SENATE BILL NO. 935
A bill to amend 1987 PA 96, entitled
"The mobile home commission act,"
by amending sections 17, 18, 25, 28, 28a, and 29 (MCL
125.2317, 125.2318, 125.2325, 125.2328, 125.2328a, and 125.2329), section 17 as
amended by 2015 PA 40, section 25 as amended by 2016 PA 410, section 28 as
amended by 1993 PA 241, and section 28a as added by 1988 PA 337, and by adding
sections 28d and 28e.
the people of the state of michigan enact:
Sec. 17. (1) The department or its
authorized representative shall, at least on an annual
basis, conduct a physical inspection of mobile home parks and seasonal
mobile home parks in accordance with standards established by the department.
The department shall prepare a report documenting the findings of the
inspection, including all material deficiencies,
and submit a copy of the report to each local government in which the mobile
home park or seasonal mobile home park is located. The
department shall prepare a report documenting the findings of the inspection,
including all material deficiencies, and submit a copy of the report to each
local government in which the mobile home park or seasonal mobile home park is
located and, if the report includes material deficiencies, to all secured
parties. A report documenting the findings of the inspection may be used for
licensing determinations.
(2) Except as otherwise provided in subsection (1) or for
purposes of issuing a license or renewing a license pursuant to under this
act, a local government shall not inspect a mobile home park or seasonal mobile
home park unless the local unit has reason to believe that this act, the code,
or rules promulgated pursuant to under this act were violated.
(3) If the department determines that a mobile home park or seasonal
mobile home park needs to be reinspected due to material deficiencies
identified during the department's initial inspection, the department may
charge a reinspection fee of not more than $200.00. The department may
promulgate rules to establish the reinspection fees charged under this
subsection.
Sec. 18. (1) A variance in the design and
construction of a mobile home park or seasonal mobile home park may be granted upon on notice of
the request to the local government and the department of public health and human
services at the time of filing with the department. of commerce. If
the local government grants a variance which that would permit activities violative of that violate
the minimum standards of the code, the local government shall file with
the department a copy of the variance order and an explanation of the reason
for the granting of the order. The department may approve or disapprove the
variance or revoke the variance upon after notice and hearing.
(2) After a public
hearing the department may grant a specific variance to a substantive
requirement of the code if the literal application of the substantive
requirement would result in an exceptional, practical difficulty to the
applicant, and if the specific condition justifying the variance is neither so
general nor recurrent in nature as to make an amendment of the code with
respect to the condition reasonably practical or desirable.
(3) The department
may attach in writing a condition in connection with the granting of a variance
that in its judgment is necessary to protect the health, safety, and welfare of
the people of this state. The variance shall must not exceed the minimum necessary to alleviate
the exceptional, practical difficulty.
(4) A variance to a
local ordinance, zoning requirement, or local rule may be granted only by a
local government.
(5) A variance to a
rule promulgated under this act may be granted only by the commission.
(6) The department and owner of the mobile home park or seasonal mobile
home park must retain a record or written documentation of any variance granted
under this act for as long as the variance is in effect.
Sec. 25. (1) The commission shall
promulgate rules relating to the responsibility of the mobile home dealer, the mobile home installer
and repairer, and the mobile home park or seasonal mobile home park
owner for installation and setup of a mobile home.
(2) The department shall promote effective and uniform enforcement of
this act and the mobile home code by enhancing the proficiency and skills of
mobile home installers and repairers. Subject to subsection (3), the department
shall promulgate rules relating to all of the following for mobile home
installers and repairers:
(a) Minimum training and experience standards, qualifications, and
classification of responsibilities.
(b) Minimum criteria for the approval of educational or training courses
or programs. If the department finds that a proposed educational or training
course or program is acceptable under the minimum criteria established under
this subdivision, the department shall approve the proposed educational or
training course or program for a limited period of time and with any
appropriate qualifications established by the department.
(c) Applicable fees to review materials regarding educational or
training courses or programs, training tests, and instructor qualifications.
(3) The commission and other interested parties may make recommendations
to the department regarding the rules promulgated under subsection (2). The
department shall consider the recommendations but has the final responsibility
and authority to approve the rules promulgated under subsection (2).
(4) (2) A
person licensed under article 7, 8, or 11 of the skilled trades regulation act,
2016 PA 407, MCL 339.5701 to 339.5739, 339.5801
to 339.5819, and 339.6101 to 339.6133, is not required to be licensed as a
mobile home installer and repairer in order to perform work on mobile homes for
which the person is licensed, unless the work performed also includes the
setup, installation, or general repair of mobile homes.
(5) (3) Articles
7, 8, and 11 of the skilled trades regulation act, 2016
PA 407, MCL 339.5701 to 339.5739, 339.5801 to 339.5819, and 339.6101 to
339.6133, do not apply to the setup or installation of a mobile home and the
following connections or replacement or repair of the following connections, by
a licensed mobile home installer and repairer:
(a)
Factory-installed electrical wiring, devices, appliances, or appurtenances to
available electrical meters or pedestals.
(b)
Factory-installed piping, fixtures, plumbing appliances, and plumbing
appurtenances to sanitary drainage or storm drainage facilities, venting
systems, or public or private water supply systems.
(c)
Factory-installed process piping, heating and cooling equipment, and systems or
supply lines to available service meters or mains.
Sec. 28. (1) An owner or operator of a mobile home park or seasonal
mobile home park shall not engage, or permit an employee or agent to engage, in
any of the following unfair or deceptive methods, acts, or practices:
(a) Directly or
indirectly charging or collecting from a person an
entrance a fee
to enter a mobile home park or a seasonal mobile home park.
(b) Requiring a
person to directly or indirectly purchase a mobile home from another person as
a condition of entrance to, or the lease or
rental of a space within, a mobile home park or
seasonal mobile home park space.
(c) Directly or
indirectly charging or collecting from a person a refundable or nonrefundable exit fee to exit a mobile
home park or seasonal mobile home park.
(d) Requiring or
coercing a person to purchase, rent, or lease goods or services from another
person as a condition of any of the following:
(i) Entering into a the mobile home park or
seasonal mobile home park or a lease.
(ii) Selling a mobile home through the mobile home park or seasonal mobile home park owner or operator, or his or
her the mobile home park or seasonal mobile
home park owner's agent or designee upon leaving a mobile home park or
seasonal mobile home park.
(iii) Renting space in a mobile home park or
seasonal mobile home park.
(e) Directly or
indirectly charging or collecting from a person money or other thing of value
for electric, fuel, or water service without the use of that service by a
resident or tenant being first accurately and consistently measured, unless
that service is included in the rental charge as an incident of tenancy.
(f) Conspiring,
combining, agreeing, aiding, or abetting in the employment of a method, act, or
practice that violates this act.
(g) Renting or
leasing a mobile home or site in a mobile home park or seasonal mobile home
park without offering a written lease.
(h) Subject to
section 28a, prohibiting a resident from selling his
or her the resident's mobile home
on-site for a price determined by that resident, if the purchaser qualifies for
tenancy and the mobile home meets the conditions of written mobile home park or seasonal mobile home park rules
or regulations. This subdivision does not apply to seasonal mobile home parks.
(i) Subject to
reasonable mobile home park or seasonal mobile home park rules governing the
location, size, and style of exterior television antenna,
antennas, prohibiting a person from
installing or maintaining an exterior television antenna on a mobile home
within the mobile home park or seasonal mobile home park
unless the mobile home park or seasonal mobile home park provides park the residents of the mobile home park or seasonal mobile home park,
without charge, a central television antenna for UHF-VHF reception.
(j) Charging more for utility services beyond that which is charged by
the utility service provider.
(k) Requiring a tenant to use an electronic billing or payment system as
the only method for the payment of rent, fees, penalties, or utilities.
(l) Assessing a fee or charge to a tenant
for the tenant's refusal or inability to use an electronic billing or payment
system used by the owner of the mobile home park or seasonal mobile home park
for the payment of rent or fees.
(m) Using an electronic billing or payment system that requires a tenant
to waive individual or collective rights or remedies provided by law.
(n) Using an electronic billing or payment system that collects, or
requires access to, a tenant's personal data or data stored on a tenant's
device beyond that which is necessary to make a payment.
(o) Requiring the use of an electronic signature for the signing of a
lease agreement.
(p) Except as otherwise provided in this subdivision, charging fees that
are not associated with a service provided to the owner of the mobile home or
that reflect additional costs to the mobile home park or seasonal mobile home
park that are associated with the occupancy of the owner of the mobile home. If
penalties or fines are assessed, they must be reasonable and not excessive. Fees,
penalties, and fines assessed by the owner of the mobile home park or seasonal
mobile home park must be included in a lease offered by the mobile home park or
seasonal mobile home park and posted in a location accessible to residents.
(q) Terminating a resident's tenancy to change the use or substantive
nature of the mobile home park or seasonal mobile home park without first
notifying the tenant at least 12 months before the change in the use or
substantive nature of the mobile home park or seasonal mobile home park.
(2) A tenant resident of
a mobile home park or seasonal mobile home park may bring an action on his or her the resident's
own behalf for a violation of this section.
(3) If the
commission has reason to suspect that the owner of a mobile home park or
seasonal mobile home park is engaged in conduct that violates existing water
utility tariffs or qualifies the owner of a mobile home park or seasonal mobile
home park for regulation as a water utility, the commission shall promptly send
a written report of the alleged violation to the Michigan public service
commission.
(4) If the owner of the mobile home park or seasonal mobile home park provides
utility services to the resident of the mobile home park or seasonal mobile
home park, the owner of the mobile home park or seasonal mobile home park shall
make available to a resident of the mobile home park or seasonal mobile home
park, upon request, the utility rates and charges that are directly related to
the resident's usage or the formula used to distribute the charges for
nonmetered usage.
Sec. 28a. (1) Mobile home park rules or
regulations may include provisions governing the physical condition of mobile
homes and the aesthetic characteristics of mobile homes in relation to the
mobile home park in which they are located, subject to all of the following:
(a) The age or size
of a mobile home shall must not be used as the sole basis for refusing to
allow an on-site, in-park sale or for refusing to allow the mobile home to
remain on-site. The burden of going forward in a suit against the mobile home
park owner or operator for violation of this
subdivision is on the resident.
(b) The standards
incorporated in the written park rules or regulations governing the physical
condition and aesthetic characteristics of mobile homes in the mobile home park
shall apply equally to all residents.
(c) A mobile home
sold on-site shall must
conform with Act No. 133 of the Public Acts
of 1974, being sections 125.771 to 125.774 of the Michigan Compiled Laws.1974 PA 133, MCL 125.771 to 125.774.
(d) Any charge
connected to the on-site, in-park sale of a mobile home, other than the
inspection fee permitted under subdivision (e) and the commission or fee
charged by a mobile home dealer licensed under this act who is engaged by the
seller to transact the sale, is an entrance or exit fee in violation of that
violates section 28.
(e) A park The owner or operator of a mobile
home park may charge a reasonable fee to inspect the mobile home before
sale. The charge shall must not be more than $30.00, or the amount charged
for building permit inspections by the municipality in which the mobile home is
located, whichever is higher.
(f) The standards
governing the physical condition of mobile homes and the aesthetic
characteristics of mobile homes in the mobile home park, as incorporated in the
written park rules, shall must not be designed to defeat the intent of this
section.
(2) Subsection
(1)(f) shall does not
apply if the mobile home park is changing its method of doing business and
provides not less than 1 year's notice, unless a different notice period is
otherwise provided by law, of the proposed change to all affected mobile home
park residents. A change in a mobile home park's method of doing business
includes, but is not limited to, any of the following:
(a) Conversion to a
mobile home park condominium pursuant to under the condominium act, Act No. 59 of the Public Acts of 1978, being sections
559.101 to 559.275 of the Michigan Compiled Laws. 1978 PA 59, MCL 559.101 to 559.276.
(b) Conversion to
total rental of both mobile home site and park-owned mobile homes.
(c) Changes in use
of the land on which the mobile home park is located.
(3) Notwithstanding
subsection (1) or (2), a mobile home park may require a mobile home to be moved
to a comparable site within the mobile home park, at the expense of the mobile
home park.
(4) If, after
termination of a resident's tenancy for just cause as provided in chapter 57a
of the revised judicature act of 1961, Act No. 236
of the Public Acts of 1961, being sections 600.5771 to 600.5785 of the Michigan
Compiled Laws, 1961 PA 236, MCL 600.5771 to
600.5785, the resident of a mobile home park sells his or her the resident's
mobile home to the owner or operator of
the mobile home park, or to any entity in which the owner or operator has any interest, the resident shall have has the
right to have the mobile home's value appraised and, if so appraised, the sale price of the mobile home shall must not be
less than the appraised value.
(5) Except as
provided in subsection (1)(a), an owner of a mobile
home park owner or operator, or both, has
the burden of going forward to show compliance with subsection (1).
Sec. 28d. (1) An
owner of a mobile home park or seasonal mobile home park shall offer a lease or
rental agreement with a term of no less than 1 year to a prospective tenant or
tenant. Nothing in this subsection prohibits an owner of a mobile home park or
seasonal mobile home park from entering into a lease or rental agreement with a
term of less than or more than 1 year with a prospective tenant or tenant,
including a monthly lease or rental agreement.
(2) A written lease or rental agreement between an owner of a mobile
home park or seasonal mobile home park and a tenant for a duration that is less
than 1 year must include language that a lease or rental agreement of a
duration of 1 year or more was offered but was declined.
(3) A lease or rental agreement under this act must comply with the
truth in renting act, 1978 PA 454, MCL 554.631 to 554.641. A person that
violates this subsection is liable as provided in section 42.
(4) A resident of a mobile home park or seasonal mobile home park may
bring an action on the resident's own behalf for a violation of this section in
a court of competent jurisdiction.
(5) Subsection (1) does not apply to a lease or rental agreement for a
mobile home or seasonal mobile home that is owned by a mobile home park or
seasonal mobile home park or a subsidiary of the mobile home park or seasonal
mobile home park in which the mobile home or seasonal mobile home is located.
Sec. 28e. (1)
Beginning on the effective date of the amendatory act that added this section,
a lease offered by a mobile home park or seasonal mobile home park for the site
in which a resident places a mobile home or seasonal mobile home that is owned
by the resident must contain an option to renew the lease. An option to renew
the lease automatically renews the lease unless any of the following apply:
(a) The
tenant notifies the owner of the mobile home park or seasonal mobile home park
30 days before the expiration of the lease that the tenant does not intend to
renew the lease.
(b) The
owner of the mobile home park or seasonal mobile home park notifies the tenant
30 days before the expiration of the lease that the lease will not be renewed
and specifies in writing the reasons for nonrenewal as described under section 5775
of the revised judicature act of 1961, 1961 PA 236, MCL 600.5775.
(c) The
owner of the mobile home park or seasonal mobile home park ceases to operate
all or a portion of the mobile home park or seasonal mobile home park.
(d) The
owner of the mobile home park or seasonal mobile home park seeks to change the
terms of the new lease agreement. If the only change is the amount of rent, the
owner of the mobile home park or seasonal mobile home park shall, not later
than 30 days before the end of the current lease, provide a written notice to
the tenant that states the amount of rent to be charged. If there are no
changes to the terms of the new lease agreement, the owner of the mobile home
park or seasonal mobile home park shall provide a written notice to the tenant
that states that there are no changes to the terms of the lease agreement.
(e) The
resident's tenancy in the mobile home park or seasonal mobile home park was
terminated in accordance with chapter 57a of the revised judicature act of
1961, 1961 PA 236, MCL 600.5771 to 600.5785.
(2) The
owner of the mobile home park or seasonal mobile home park must provide a copy
of the lease agreement to the tenant.
(3) A
notice under this section must be by personal delivery or first-class mail.
(4) A lease
agreement that provides for an option to renew the lease in accordance with
this section must incorporate the requirements of subsection (1)(a) to (d) and
must be signed by both parties.
(5) This
section does not affect the termination of a resident's tenancy in accordance
with chapter 57a of the revised judicature act of 1961, 1961 PA 236, MCL
600.5771 to 600.5785.
Sec. 29. A utility company or municipal service provider shall notify the
department 10 days before shutoff of service for nonpayment, including sewer,
water, gas, or electric service, when the service is being supplied to the
licensed owner or operator of a mobile home
park or seasonal mobile home park for the use and benefit of the park's tenants.residents
of the mobile home park or seasonal mobile home park.
Enacting section 1.
This amendatory act does not take effect unless all of the following bills of
the 103rd Legislature are enacted into law:
(a) Senate Bill No. 934.
(b) Senate Bill No. 937.
(c) Senate Bill No. 936.