BILL NUMBER: SB 562	INTRODUCED
	BILL TEXT


INTRODUCED BY   Committee on Transportation and Housing (Senators
DeSaulnier (Chair), Gaines, Harman, Huff, Kehoe, Lowenthal, Pavley,
Rubio, and Simitian)

                        FEBRUARY 17, 2011

   An act to amend Sections 18070.2, 18218, 18218.5, 18551, 18866.2,
and 33420.1 of, and to repeal Section 33334.29 of, the Health and
Safety Code, relating to housing.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 562, as introduced, Committee on Transportation and Housing.
Housing omnibus bill.
   (1) Existing law establishes the Manufactured Home Recovery Fund,
which is continuously appropriated to make payments and distributions
for actual and direct losses, as defined, arising out of specified
transactions regarding the purchase or sale of a manufactured home,
if certain conditions are met. Existing law prescribes a fee
collected by the Department of Housing and Community Development for
each reported sale of a manufactured home, to be deposited in the
fund. Whenever the balance in the fund exceeds $1,000,000 the
department is authorized to reduce or increase the fee, respectively.

   This bill would instead provide that the department may reduce the
fee when the balance exceeds $2,000,000.
   (2) Existing law authorizes the redevelopment agency of the City
of Redding to borrow and use a specified amount from its Low and
Moderate Income Housing Fund to provide financial assistance for the
acquisition of property for a veterans home.
   The bill would repeal this provision of law.
   (3) The bill would correct and eliminate erroneous
cross-references, update obsolete terms, correct technical errors,
and make conforming changes to existing law relating to housing.
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 18070.2 of the Health and Safety Code is
amended to read:
   18070.2.  (a) Fees for the establishment and operation of the
Manufactured Home Recovery Fund shall be collected on or after
January 1, 1985. Claims against the fund arising from sales which
occur after January 1, 1985, may not be submitted to the department
before January 1, 1986. For purposes of this section, the date of
sale shall be either of the following:
   (1) The date escrow closes for sales by dealers that are subject
to Section 18035 or 18035.2.
   (2) For all other sales, including sales by dealers in which
escrow does not close, the date when the purchaser has paid the
purchase price or, in lieu thereof, has signed a security agreement,
option to purchase, or purchase contract and has taken physical
possession or delivery of the manufactured home.
   (b) Notwithstanding any other provision of law, whenever the
balance in the Manufactured Home Recovery Fund exceeds  one
  two  million dollars  ($1,000,000)
  ($2,000,000)  on January 1 of any year, the
department may reduce the fee provided for in subdivision (c) of
Section 18070.1. The department may again increase the fee up to a
maximum of ten dollars ($10) whenever the balance in the fund falls
below one million dollars ($1,000,000).
  SEC. 2.  Section 18218 of the Health and Safety Code is amended to
read:
   18218.  "Commercial  coach   modular  "
as used in this part has the same meaning as defined in Section
18001.8.
  SEC. 3.  Section 18218.5 of the Health and Safety Code is amended
to read:
   18218.5.  "Special purpose commercial  coach" 
 modular"  as used in this part has the same meaning as
defined in Section 18012.5.
  SEC. 4.  Section 18551 of the Health and Safety Code is amended to
read:
   18551.  The department shall establish regulations for
manufactured home, mobilehome, and commercial  coach
  modular  foundation systems that shall be
applicable throughout the state. When established, these regulations
supersede any ordinance enacted by any city, county, or city and
county applicable to manufactured home, mobilehome, and commercial
 coach   modular  foundation systems. The
department may approve alternate foundation systems to those provided
by regulation where the department is satisfied of equivalent
performance. The department shall document approval of alternate
systems by its stamp of approval on the plans and specifications for
the alternate foundation system. A manufactured home, mobilehome, or
commercial  coach   modular  may be
installed on a foundation system as either a fixture or improvement
to the real property, in accordance with subdivision (a), or a
manufactured home or mobilehome may be installed on a foundation
system as a chattel, in accordance with subdivision (b).
   (a) Installation of a manufactured home, mobile home, or
commercial  coach   modular  as a fixture
or improvement to the real property shall comply with all of the
following:
   (1) Prior to installation of a manufactured home, mobilehome, or
commercial  coach   modular  on a
foundation system, the manufactured home, mobilehome, or commercial
 coach   modular owner or a licensed
contractor shall obtain a building permit from the appropriate
enforcement agency. To obtain a permit, the owner or contractor shall
provide the following:
   (A) Written evidence acceptable to the enforcement agency that the
manufactured home, mobilehome, or commercial  coach
  modular  owner owns, holds title to, or is
purchasing the real property where the mobilehome is to be installed
on a foundation system. A lease held by the manufactured home,
mobilehome, or commercial  coach   modular 
owner, that is transferable, for the exclusive use of the real
property where the manufactured home, mobilehome, or commercial
 coach   modular  is to be installed, shall
be deemed to comply with this paragraph if the lease is for a term
of 35 years or more, or if less than 35 years, for a term mutually
agreed upon by the lessor and lessee, and the term of the lease is
not revocable at the discretion of the lessor except for cause, as
described in subdivisions 2 to 5, inclusive, of Section 1161 of the
Code of Civil Procedure.
   (B) Written evidence acceptable to the enforcement agency that the
registered owner owns the manufactured home, mobilehome, or
commercial  coach   modular  free of any
liens or encumbrances or, in the event that the legal owner is not
the registered owner, or liens and encumbrances exist on the
manufactured home, mobilehome, or commercial  coach 
 modular  , written evidence provided by the legal owner
and any lienors or encumbrancers that the legal owner, lienor, or
encumbrancer consents to the attachment of the manufactured home,
mobilehome, or commercial  coach   modular 
upon the discharge of any personal lien, that may be conditioned
upon the satisfaction by the registered owner of the obligation
secured by the lien.
   (C) Plans and specifications required by department regulations or
a department-approved alternate for the manufactured home,
mobilehome, or commercial  coach   modular 
foundation system.
   (D) The manufactured home, mobilehome, or commercial 
coach   modular  manufacturer's installation
instructions, or plans and specifications signed by a California
licensed architect or engineer covering the installation of an
individual manufactured home, mobilehome, or commercial 
coach   modular  in the absence of the manufactured
home, mobilehome, or commercial  coach  
modular  manufacturer's instructions.
   (E) Building permit fees established by ordinance or regulation of
the appropriate enforcement agency.
   (F) A fee payable to the department in the amount of eleven
dollars ($11) for each transportable section of the manufactured
home, mobilehome, or commercial  coach   modular
 , that shall be transmitted to the department at the time the
certificate of occupancy is issued with a copy of the building permit
and any other information concerning the manufactured home,
mobilehome, or commercial  coach   modular 
which the department may prescribe on forms provided by the
department.
   (2) (A) On the same day that the certificate of occupancy for the
manufactured home, mobilehome, or commercial  coach 
 modular  is issued by the appropriate enforcement agency,
the enforcement agency shall record with the county recorder of the
county where the real property is situated, that the manufactured
home, mobilehome, or commercial  coach   modular
 has been installed upon, a document naming the owner of the
real property, describing the real property with certainty, and
stating that a manufactured home, mobilehome, or commercial 
coach   modular  has been affixed to that real
property by installation on a foundation system pursuant to this
subdivision.
   (B) When recorded, the document referred to in subparagraph (A)
shall be indexed by the county recorder to the named owner and shall
be deemed to give constructive notice as to its contents to all
persons thereafter dealing with the real property.
   (C) Fees received by the department pursuant to subparagraph (F)
of paragraph (1) shall be deposited in the Mobilehome-Manufactured
Home Revolving Fund established under subdivision (a) of Section
18016.5.
   (3) The department shall adopt regulations providing for the
cancellation of registration of a manufactured home, mobilehome, or
commercial  coach   modular  that is
permanently attached to the ground on a foundation system pursuant to
subdivision (a). The regulations shall provide for the surrender to
the department of the certificate of title and other indicia of
registration. For the purposes of this subdivision, permanent
affixation to a foundation system shall be deemed to have occurred on
the day a certificate of occupancy is issued to the manufactured
home, mobilehome, or commercial  coach   modular
 owner and the document referred to in subparagraph (A) of
paragraph (2) is recorded. Cancellation shall be effective as of that
date and the department shall enter the cancellation on its records
upon receipt of a copy of the certificate of occupancy. This
subdivision shall not be construed to affect the application of
existing laws, or the department's regulations or procedures with
regard to the cancellation of registration, except as to the
requirement therefor and the effective date thereof.
   (4) Once installed on a foundation system in compliance with this
subdivision, a manufactured home, mobilehome, or commercial 
coach   modular  shall be deemed a fixture and a
real property improvement to the real property to which it is
affixed. Physical removal of the manufactured home, mobilehome, or
commercial  coach   modular  shall
thereafter be prohibited without the consent of all persons or
entities who, at the time of removal, have title to any estate or
interest in the real property to which the manufactured home,
mobilehome, or commercial  coach   modular 
is affixed.
   (5) For the purposes of this subdivision:
   (A) "Physical removal" shall include, without limitation, the
unattaching of the manufactured home, mobilehome, or commercial
 coach   modular  from the foundation
system, except for temporary purposes of repair or improvement
thereto.
   (B) Consent to removal shall not be required from the owners of
rights-of-way or easements or the owners of subsurface rights or
interests in or to minerals, including, but not limited to, oil, gas,
or other hydrocarbon substances.
   (6) At least 30 days prior to a legal removal of the manufactured
home, mobilehome, or commercial  coach   modular
 from the foundation system and transportation away from the
real property to which it was formerly affixed, the manufactured
home, mobilehome, or commercial  coach   modular
 owner shall notify the department and the county assessor of
the intended removal of the manufactured home, mobilehome, or
commercial  coach   modular  . The
department shall require written evidence that the necessary consents
have been obtained pursuant to this section and shall require
application for either a transportation permit or manufactured home,
mobilehome, or commercial  coach   modular 
registration, as the department may decide is appropriate to the
circumstances. Immediately upon removal, as defined in this section,
the manufactured home, mobilehome, or commercial  coach
  modular  shall be deemed to have become personal
property and subject to all laws governing the same as applicable to
a manufactured home, mobilehome, or commercial  coach
  modular  .
   (b) The installation of a manufactured home or a mobilehome on a
foundation system as chattel shall be in accordance with Section
18613 and shall be deemed to meet or exceed the requirements of
Section 18613.4. This subdivision shall not be construed to affect
the application of sales and use or property taxes. No provisions of
this subdivision are intended, nor shall they be construed, to affect
the ownership interest of any owner of a manufactured home or
mobilehome.
   (c) Once installed on a foundation system, a manufactured home,
mobilehome, or commercial  coach   modular 
shall be subject to state enforced health and safety standards for
manufactured homes, mobilehomes, or commercial  coaches
  modulars  enforced pursuant to Section 18020.
   (d) No local agency shall require that any manufactured home,
mobilehome, or commercial  coach   modular 
currently on private property be placed on a foundation system.
   (e) No local agency shall require that any manufactured home or
mobilehome located in a mobilehome park be placed on a foundation
system.
   (f) No local agency shall require, as a condition for the approval
of the conversion of a rental mobilehome park to a resident-owned
park, including, but not limited to, a subdivision, cooperative, or
condominium for mobilehomes, that any manufactured home or mobilehome
located there be placed on a foundation system. This subdivision
shall only apply to the conversion of a rental mobilehome park that
has been operated as a rental mobilehome park for a minimum period of
five years.
  SEC. 5.  Section 18866.2 of the Health and Safety Code is amended
to read:
   18866.2.  Any notice of violation of this part, or any rule or
regulation adopted pursuant thereto, issued by the enforcement agency
shall be issued to the appropriate persons designated in Section
18867 and shall include a statement that any willful violation is a
misdemeanor under Section  18870   18874  .

  SEC. 6.  Section 33334.29 of the Health and Safety Code is
repealed. 
   33334.29.  (a)  Notwithstanding Sections 33334.2, 33334.3, and
33334.6, the redevelopment agency of the City of Redding, of the
County of Shasta, or of any other city located within the County of
Shasta, may borrow and use up to two million three hundred thousand
dollars ($2,300,000) from its Low and Moderate Income Housing Fund to
provide financial assistance for the acquisition of property for a
veterans home within the territorial jurisdiction of the agency of
the City of Redding. As used in this section, "veterans' home" shall
mean a veterans' home authorized pursuant to Division 5 (commencing
with Section 1010) of the Military and Veterans Code.
   (b)  Funds borrowed pursuant to subdivision (a) shall be repaid
within 15 years from the date they are loaned, with interest at the
rate earned from time to time on funds deposited in the State of
California Local Agency Investment Fund. The indebtedness created
pursuant to this section shall not be considered to meet the
requirements imposed by Section 33333.8, and the agency shall comply
in full with that section. If a redevelopment agency described in
subdivision (a) is required to remit an amount of tax increment funds
to the county auditor for deposit in the county's Educational
Revenue Augmentation Fund, created pursuant to Article 3 (commencing
with Section 97) of Chapter 6 of Part 0.5 of Division 1 of the
Revenue and Taxation Code, then the time limit on repayment of the
funds borrowed pursuant to this section shall be suspended for one
year after the funds are remitted to the county auditor. In addition,
the agency shall receive and use tax increment funds to pay the loan
described in subdivision (a) until the funds borrowed pursuant to
subdivision (a) have been fully repaid. The agency may not incur any
obligation with respect to loans, advance of money, or indebtedness,
or whether funded, refunded, assumed or otherwise, that would impair
or delay its ability or capacity to repay the funds loaned pursuant
to this section; except that the agency may incur indebtedness
against non-Low and Moderate Income Housing Fund moneys if the
proceeds of the indebtedness will be used to repay the funds borrowed
pursuant to this section. 
  SEC. 7.  Section 33420.1 of the Health and Safety Code is amended
to read:
   33420.1.  Within a project area, for any project undertaken by an
agency for building rehabilitation or alteration in construction, an
agency may take those actions which the agency determines necessary
and which is consistent with local, state, and federal law, to
provide for seismic retrofits as follows:
   (a)  For unreinforced masonry buildings, to meet the requirements
of  Chapter 1 of the Appendix of the Uniform Code for
Building Conservation of the International Conference of Building
Officials   Appendix Chapter A1 of the most current
edition of the California Building Code  .
   (b)  For any buildings that qualify as "historical property" under
Section 37602, to meet the requirements of the State Historical
Building Code (Part 2.7 (commencing with Section 18950) of Division
13) and the most current edition   of the California
Historical Building Code  .
   (c)  For buildings other than unreinforced masonry buildings and
historical properties, to meet the requirements of the most current
edition of the Uniform Building Code of the International
Conference of Building Officials   International
Building Code, as applicable  .
   If an agency undertakes seismic retrofits and proposes to add new
territory to the project area, to increase either the limitation on
the number of dollars to be allocated to the redevelopment agency or
the time limit on the establishing of loans, advances, and
indebtedness established pursuant to paragraphs (1) and (2) of
Section 33333.2, to lengthen the period during which the
redevelopment plan is effective, to merge project areas, or to add
significant additional capital improvement projects, as determined by
the agency, the agency shall amend its redevelopment plan and follow
the same procedure, and the legislative body is subject to the same
restrictions, as provided for in Article 4 (commencing with Section
33330) for the adoption of a plan.