Amended in Senate June 8, 2016

Amended in Senate June 23, 2015

Amended in Assembly April 30, 2015

Amended in Assembly March 26, 2015

California Legislature—2015–16 Regular Session

Assembly BillNo. 587


Introduced by Assembly Member Chau

February 24, 2015


An act to amendbegin delete Sections 798.15 and 798.74 of, and to add Section 798.58.5 to,end deletebegin insert Section 798.15 ofend insert the Civil Code, to amend Sections 18092.7, 18116.1,begin delete 18100.5,end delete and 18550begin delete ofend deletebegin insert of, and to add Section 18550.1 to,end insert the Health and Safety Code, and to amend Section 5832 of the Revenue and Taxation Code, relating to mobilehomes.

LEGISLATIVE COUNSEL’S DIGEST

AB 587, as amended, Chau. Mobilehomes: payments: nonpayment or late payments.

(1) Existing law subjects manufactured homes or mobilehomes sold as new prior to July 1, 1980, to a vehicle license fee and requires annual payment of the fee. Existing law provides that nonpayment of certain fees and penalties, including the vehicle license fee, constitutes a lien on the manufactured home or mobilehome, and prohibits the Department of Housing and Community Developmentbegin insert (department)end insert from, among other things, issuing a duplicate or new certificate of title or registration card or amending the permanent title record of the manufactured home or mobilehome that is subject of that lien.

This bill, when a person who is not currently the registered owner of a manufactured home or mobilehome applies to the department for registration or transfer of registration of the manufactured home or mobilehome prior to December 31,begin delete 2018,end deletebegin insert 2019,end insert and meets other specified requirements, would require the department to waive all outstanding charges assessed by the department prior to the transfer of title of the manufactured home or mobilehome, release any lien imposed with respect to those charges, issue a duplicate or new certificate of title or registration card, and amend the title record of the manufactured home or mobilehome. This bill would require a registered owner to apply to the department for a transfer clearance certificate, as specified, prior to transferring any ownership interest or transferring or creating any security interest in the manufactured home or mobilehome. This bill would require the department, upon notification of any transfer of any ownership interest or transferring or creating any security interest in a manufactured home or mobilehome, to notify the transferee of the obligation to title and register the home and the procedure for titling and registration, and would require the department to notify the park management if the transferee fails to comply with the titling and registration requirements.

begin delete

This bill would require the transferor or the owner of the mobilehome park, as applicable, whenever any title or interest in a manufactured home, mobilehome, commercial coach, truck camper, or floating home, or, whenever any title or interest of a registered owner of a manufactured home or mobilehome located within a mobilehome park, is transferred to another person or entity, to notify the department, as specified, and would authorize the department to prescribe a form for this purpose.

end delete

(2) Existing law provides that mobilehomes and manufactured homes not subject to the vehicle license fee are subject to local property taxation, and requires the department to withhold the registration or transfer of registration of any manufactured home or mobilehome subject to local property taxation until the applicant for registration presents a tax clearance certificate or conditional tax clearance certificate issued by the tax collector of the county where the manufactured home or mobilehome is located. Existing law requires the county tax collector to issue a tax clearance certificate or conditional tax clearance certificate if specified requirements are met.

The California Constitution authorizes the Legislature to exempt personal property from taxation by means of a statute approved by a 23 vote of the membership of each house.

This bill, when a person who is not currently the registered owner of a manufactured home or mobilehome subject to local property taxation applies to the department for registration or transfer of registration of the manufactured home or mobilehome prior to December 31, 2018, and meets other specified requirements, would require the department to issue a conditional transfer of title. The bill would require a county tax collector to issue a tax liability certificate to a person with a conditional transfer of title who applies for the certificate prior to January 1,begin delete 2019.end deletebegin insert 2020.end insert Pursuant to the constitutional authorization described above, this bill would require the payment of only a portion of the taxes, as specified, reasonably owed from the date of sale of the manufactured home or mobilehome. By increasing the duties of county tax collectors, this bill would impose a state-mandated local program.

(3) The Mobilehome Residency Law governs the terms and conditions of residency in mobilehome parks and prescribes the content of a rental agreement for a tenancy.

This bill would require a rental agreement to containbegin delete a provision stating that, prior to transferring any ownership interest in the mobilehome or manufactured home, the management may require proof of registration as owner and a copy of a transfer clearance certificate issued by the Department of Housing and Community Development.end deletebegin insert provisions informing the homeowner of title transfer requirements and the obligation to pay property tax in order to sell a mobilehome in place.end insert

begin delete

(4) Existing law authorizes the management of a mobilehome park to terminate a tenancy for, among other things, failure of the homeowner or resident to comply with a local ordinance or state law or regulation relating to mobilehomes within a reasonable time after the homeowner receives a notice of noncompliance from the appropriate governmental agency. Under existing law, it is unlawful for any person to use or cause, or permit to be used for occupancy, any manufactured home or mobilehome that does not conform to the registration requirements of the department.

end delete
begin delete

This bill would prohibit eviction from a mobilehome park for nonconformance with the registration and titling requirements of state law prior to January 1, 2017, or when an application to transfer title of a manufactured home or mobilehome pursuant to the above-described provisions is filed prior to January 1, 2019, and completed within one year of the filing date. The bill would provide that it is not unlawful under these conditions for a park owner to permit an applicant to transfer title who is not in compliance with the registration requirements of the department to occupy a manufactured home or mobilehome. The bill would also make related and conforming changes.

end delete
begin delete

(5) Existing law authorizes the management of a mobilehome park to require prior approval of a purchaser of a mobilehome that will remain in the park.

end delete
begin delete

This bill would also authorize the management to require proof of registration as owner and a copy of a transfer clearance certificate issued by the Department of Housing and Community Development. This bill would require management to notify the Department of Housing and Community Development of the sale of a home by forwarding specified information to the department if management approves for residency a prospective homeowner who is purchasing a home that will remain in the park and enters into a lease agreement with the prospective homeowner.

end delete
begin insert

(4) Existing law prohibits the use or occupancy of a manufactured home, mobilehome, or recreational vehicle that fails to conform to the regulations of the department, regarding, among other things, water, electricity, and sewer connections.

end insert
begin insert

This bill, beginning January 1, 2020, would prohibit the use or occupancy of a manufactured home and mobilehome that does not conform to the registration requirements of the department, if the department provides notice to the occupant of the registration requirements and any registration fees due.

end insert
begin delete

(6)

end delete

begin insert(5)end insert The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.

This bill would provide that, if the Commission on State Mandates determines that the bill contains costs mandated by the state, reimbursement for those costs shall be made pursuant to these statutory provisions.

begin delete

(7)

end delete

begin insert(6)end insert Section 2229 of the Revenue and Taxation Code requires the Legislature to reimburse local agencies annually for certain property tax revenues lost as a result of any exemption or classification of property for purposes of ad valorem property taxation.

This bill would provide that, notwithstanding Section 2229 of the Revenue and Taxation Code, no appropriation is made and the state shall not reimburse local agencies for property tax revenues lost by them pursuant to the bill.

Vote: 23. Appropriation: no. Fiscal committee: yes. State-mandated local program: yes.

The people of the State of California do enact as follows:

P5    1

SECTION 1.  

Section 798.15 of the Civil Code is amended to
2read:

3

798.15.  

The rental agreement shall be in writing and shall
4contain, in addition to the provisions otherwise required by law to
5be included, all of the following:

6(a) The term of the tenancy and the rent therefor.

7(b) The rules and regulations of the park.

8(c) A copy of the text of this chapter shall be provided as an
9exhibit and shall be incorporated into the rental agreement by
10reference. Management shall do one of the following prior to
11February 1 of each year, if a significant change was made in this
12chapter by legislation enacted in the prior year:

13(1) Provide all homeowners with a copy of this chapter.

14(2) Provide written notice to all homeowners that there has been
15a change to this chapter and that they may obtain one copy of this
16chapter from management at no charge. Management shall provide
17a copy within a reasonable time, not to exceed seven days, upon
18request.

19(d) A provision specifying that (1) it is the responsibility of the
20management to provide and maintain physical improvements in
21the common facilities in good working order and condition and
22(2) with respect to a sudden or unforeseeable breakdown or
23deterioration of these improvements, the management shall have
24a reasonable period of time to repair the sudden or unforeseeable
25breakdown or deterioration and bring the improvements into good
26working order and condition after management knows or should
27have known of the breakdown or deterioration. For purposes of
28this subdivision, a reasonable period of time to repair a sudden or
29unforeseeable breakdown or deterioration shall be as soon as
30possible in situations affecting a health or safety condition, and
31shall not exceed 30 days in any other case except where exigent
32circumstances justify a delay.

P6    1(e) A description of the physical improvements to be provided
2the homeowner during his or her tenancy.

3(f) A provision listing those services which will be provided at
4the time the rental agreement is executed and will continue to be
5offered for the term of tenancy and the fees, if any, to be charged
6for those services.

7(g) A provision stating that management may charge a
8reasonable fee for services relating to the maintenance of the land
9and premises upon which a mobilehome is situated in the event
10the homeowner fails to maintain the land or premises in accordance
11with the rules and regulations of the park after written notification
12to the homeowner and the failure of the homeowner to comply
13within 14 days. The written notice shall state the specific condition
14to be corrected and an estimate of the charges to be imposed by
15management if the services are performed by management or its
16agent.

begin delete

17(h) A provision stating that, prior to transferring any ownership
18interest in the mobilehome or manufactured home, the management
19may require proof of registration as owner pursuant to Section
2018080.1 of the Health and Safety Code and a copy of a transfer
21clearance certificate issued by the Department of Housing and
22Community Development pursuant to Section 18116.1 of the
23Health and Safety Code.

end delete
begin delete

11 24(i)

end delete

25begin insert(h)end insert All other provisions governing the tenancy.

begin delete

13 26(j)

end delete

27begin insert(i)end insert A copy of the following notice. Management shall also, prior
28to February 1 of each year, provide a copy of the following notice
29to all homeowners:
30

 

IMPORTANT NOTICE TO ALL MANUFACTURED HOME/MOBILEHOME OWNERS: CALIFORNIA LAW REQUIRES THAT YOU BE MADE AWARE OF THE FOLLOWING:

 

The Mobilehome Residency Law (MRL), found in Section 798 et seq. of the Civil Code, establishes the rights and responsibilities of homeowners and park management. The MRL is deemed a part of the terms of any park rental agreement or lease. This notice is intended to provide you with a general awareness of selected parts of the MRL. It does not serve as a legal explanation or interpretation. For authoritative information, you must read and understand the laws. These laws change from time to time. In any year in which the law has changed, you may obtain one copy of the full text of the law from management at no charge. This notice is required by Civil Code Section 798.15(i) and the information provided may not be current.

 

Homeowners and park management have certain rights and responsibilities under the MRL. These include, but are not limited to:

 

1.

 

Management must give a homeowner written notice of any increase in his or her rent at least 90 days before the date of the increase. (Civil Code Section 798.30)

2.

 

No rental or sales agreement may contain a provision by which a purchaser or a homeowner waives any of his or her rights under the MRL. (Civil Code Sections 798.19, 798.77)

3.

 

Management may not terminate or refuse to renew a homeowner’s tenancy except for one or more of the authorized reasons set forth in the MRL. (Civil Code Sections 798.55, 798.56)

4.

 

A homeowner must give written notice to the management of not less than 60 days before vacating his or her tenancy. (Civil Code Section 798.59)

5.

 

Homeowners, residents, and their guests must comply with the rental agreement or lease, including the reasonable rules and regulations of the park and all applicable local ordinances and state laws and regulations relating to mobilehomes. Failure to comply could be grounds for eviction from the park. (Civil Code Section 798.56)

6.

 

Homeowners must pay rent, utility charges, and reasonable incidental service charges in a timely manner. Failure to comply could be grounds for eviction from the park. (Civil Code Section 798.56)

7.

 

Homeowners have a right to peacefully assemble and freely communicate with respect to mobilehome living and for social or educational purposes. Homeowners have a right to meet in the park, at reasonable hours and in a reasonable manner, for any lawful purpose. Homeowners may not be charged a cleaning deposit in order to use the park clubhouse for meetings of resident organizations or for other lawful purposes, such as to hear from political candidates, so long as a homeowner of the park is hosting the meeting and all park residents are allowed to attend. Homeowners may not be required to obtain liability insurance in order to use common facilities unless alcohol is served. (Civil Code Sections 798.50, 798.51)

8.

 

If a home complies with certain standards, the homeowner is entitled to sell it in place in the park. begin delete Management may require certain upgrades. Management may not require a homeowner to sell his or her home to the park, may not charge a transfer or selling fee, and may not require a homeowner to use a broker or dealer approved by the park. A homeowner has a right to advertise his or her home for sale. Management may deny approval of a buyer, but only for certain reasons listed in the law. (Civil Code Sections 798.70-798.74)end delete begin insert When a home is sold, the owner is required to transfer the title to the buyer. The sale of the home is not complete until you receive the title from the seller. The buyer must also file paperwork with the Department of Housing and Community Development to register the home in his or her name. end insert

9.

 

begin deleteManagement has the right to enter the space upon which a mobilehome is situated for maintenance of utilities, trees, and driveways; for inspection and maintenance of the space in accordance with the rules and regulations of the park when the homeowner or resident fails to maintain the space; and for protection and maintenance of the mobilehome park at any reasonable time, but not in a manner or at a time that would interfere with the resident’s quiet enjoyment of his or her home. (Civil Code Section 798.26) end deletebegin insertIn California, mobilehome owners must pay annual property tax to the county tax collector or an annual fee in lieu of taxes to the Department of Housing and Community Development (HCD). If you are unsure which to pay, contact HCD. Failure to pay taxes or in lieu fees can have serious consequences, including losing your home at a tax sale.end insert

begin insert end insert

10.

 

begin deleteA homeowner may not make any improvements or alterations to his or her space or home without following the rules and regulations of the park and all applicable local ordinances and state laws and regulations, which may include obtaining a permit to construct, and, if required by park rules or the rental agreement, without prior written approval of management. Failure to comply could be grounds for eviction from the park. (Civil Code Section 798.56) end deletebegin insertFor more information on registration, titling, and taxes, contact: the Department of Housing and Community Development www.hcd.ca.gov (800) 952-8356; County Tax Collector, www.cacttc.org (for listing); or call your local county government.end insert

   
P8   33

 

begin delete
34

SEC. 2.  

Section 798.58.5 is added to the Civil Code, to read:

35

798.58.5.  

Notwithstanding Section 798.56, nonconformance
36with the registration and titling requirements of state law, including,
37but not limited to, nonpayment or late payment of any fees, taxes,
38penalties, or interest related to the ownership of a mobilehome or
39manufactured home, shall not be a basis for eviction from a
40mobilehome park in either of the following situations:

P9    1(a) If the nonconformance occurs prior to January 1, 2017.

2(b) An application to transfer title pursuant to Article 4
3(commencing with Section 18098) of Chapter 8 of Part 2 of
4Division 13 or subdivision (d) of Section 18116.1 of the Health
5and Safety Code is filed prior to January 1, 2019, and completed
6within one year of the filing date.

7

SEC. 3.  

Section 798.74 of the Civil Code is amended to read:

8

798.74.  

(a) The management may require the right of prior
9approval of a purchaser of a mobilehome that will remain in the
10park and that the selling homeowner or his or her agent give notice
11of the sale to the management before the close of the sale, proof
12of registration as owner pursuant to Section 18080.1 of the Health
13and Safety Code, and a copy of the transfer clearance certificate
14issued by the Department of Housing and Community Development
15pursuant to Section 18116.1 of the Health and Safety Code.
16 Approval cannot be withheld if the purchaser has the financial
17ability to pay the rent and charges of the park unless the
18management reasonably determines that, based on the purchaser’s
19prior tenancies, he or she will not comply with the rules and
20regulations of the park. In determining whether the purchaser has
21the financial ability to pay the rent and charges of the park, the
22management shall not require the purchaser to submit copies of
23any personal income tax returns in order to obtain approval for
24residency in the park. However, management may require the
25purchaser to document the amount and source of his or her gross
26monthly income or means of financial support.

27Upon request of any prospective homeowner who proposes to
28purchase a mobilehome that will remain in the park, management
29shall inform that person of the information management will
30require in order to determine if the person will be acceptable as a
31homeowner in the park.

32Within 15 business days of receiving all of the information
33requested from the prospective homeowner, the management shall
34notify the seller and the prospective homeowner, in writing, of
35either acceptance or rejection of the application, and the reason if
36rejected. During this 15-day period the prospective homeowner
37shall comply with the management’s request, if any, for a personal
38interview. If the approval of a prospective homeowner is withheld
39for any reason other than those stated in this article, the
P10   1management or owner may be held liable for all damages
2proximately resulting therefrom.

3(b) If the management collects a fee or charge from a prospective
4purchaser of a mobilehome in order to obtain a financial report or
5credit rating, the full amount of the fee or charge shall be credited
6toward payment of the first month’s rent for that mobilehome
7purchaser. If, for whatever reason, the prospective purchaser is
8rejected by the management, the management shall refund to the
9prospective purchaser the full amount of that fee or charge within
1030 days from the date of rejection. If the prospective purchaser is
11approved by the management, but, for whatever reason, the
12prospective purchaser elects not to purchase the mobilehome, the
13management may retain the fee, or a portion thereof, to defray its
14administrative costs under this section.

15(c) If management approves for residency a prospective
16homeowner who is purchasing a home that will remain in the park
17and enters into a lease agreement with the prospective homeowner,
18management shall, within 20 days, notify the Department of
19Housing and Community Development of the sale of the home by
20forwarding to the department the name of the transferor, the name
21of the transferee and the address or location of the home, pursuant
22to Section 18100.5 of the Health and Safety code.

end delete
23

begin deleteSEC. 4.end delete
24
begin insertSEC. 2.end insert  

Section 18092.7 of the Health and Safety Code is
25amended to read:

26

18092.7.  

(a)  Except as provided in subdivision (b) and Section
2718116.1, the department shall withhold the registration or transfer
28of registration of any manufactured home, mobilehome, or floating
29home which is subject to local property taxation, other than a new
30manufactured home, mobilehome, or floating home for which
31application is being made for an original registration, until the
32applicant presents a tax clearance certificate or a conditional tax
33clearance certificate issued pursuant to Section 2189.8 or 5832 of
34the Revenue and Taxation Code by the tax collector of the county
35where the manufactured home, mobilehome, or floating home is
36located. Any conditional tax clearance certificate presented shall
37indicate that the tax liability has been satisfied pursuant to
38paragraph (3) of subdivision (m) of Section 18035.

39(b)  In lieu of the tax clearance certificate or conditional tax
40clearance certificate required by subdivision (a), the department
P11   1may accept a certification signed by the escrow officer under
2penalty of perjury that the tax collector of the county where the
3manufactured home is located has failed to respond to the written
4demand for a conditional tax clearance certificate as prescribed
5by subdivision (m) of Section 18035.

begin delete
6

SEC. 5.  

Section 18100.5 of the Health and Safety Code is
7amended to read:

8

18100.5.  

(a) Whenever any title or interest in a manufactured
9home, mobilehome, commercial coach, or truck camper, or floating
10home is transferred to another person or entity, in addition to any
11notice provided pursuant to this section, the transferor shall, within
1220 days, notify the department of the interest transferred and the
13party to whom it was transferred. The department may prescribe
14a form to be used for this purpose.

15(b) Whenever any title or interest of a registered owner of a
16manufactured home or mobilehome located within a mobilehome
17park is transferred to another person or entity, the owner of the
18mobilehome park shall, within 20 days, notify the department of
19the name of the transferor, the name of the transferee and the
20address or location of the home. The department may prescribe a
21form to be used for this purpose.

P11 1 22(c) If the title or interest of a registered owner, legal owner,
23junior lienholder in a manufactured home, mobilehome,
24commercial coach, or truck camper, or floating home for which
25an original registration under this part has been obtained is
26transferred to another person, or, if all outstanding secured
27obligations previously held by a legal owner registered on the
28original or a subsequent registration or by a junior lienholder are
29satisfied and the person no longer has any obligation to extend
30credit, incur obligations, or otherwise give value to be secured by
31the manufactured home, mobilehome, commercial coach, truck
32camper, or floating home, or, if a security interest is taken in a
33manufactured home, mobilehome, commercial coach, truck camper,
34or floating home after the permanent title record has been
35established, the department shall be notified within 20 days and
36shall act as follows:

37(1) If the title or interest of a registered owner or legal owner
38is being transferred, the transferor and the transferee of the title or
39interest shall execute in the manner prescribed by the department
40the certificate of title for the manufactured home, mobilehome,
P12   1commercial coach, truck camper, or floating home. If the transfer
2is made by a registered owner and the transferee is to assume the
3underlying indebtedness secured by the manufactured home,
4mobilehome, commercial coach, truck camper, or floating home
5and owed to a legal owner, the legal owner shall state on the
6certificate of title that legal title and interest are to be retained. The
7certificate of title along with all other supporting documents shall
8be fowarded to the department with appropriate fees. The
9department shall appropriately amend the permanent title record
10of the manufactured home, mobilehome, commercial coach, truck
11camper, or floating home, forward a new certificate of title
12reflecting the change to the permanent title record to the legal
13owner by first-class mail, and forward an amended registration
14card reflecting the change to the permanent title record to the
15registered owner with copies to all secured parties shown on the
16permanent title record. If there is no legal owner, the new certificate
17of title and amended registration card shall be forwarded to the
18registered owner.

19(2) If the interest of a junior lienholder is being transferred, the
20transferor and the transferee shall execute in a manner prescribed
21by the department the registration card, and the card so executed
22shall be forwarded to the department with appropriate fees. The
23department shall appropriately amend the permanent title record
24and forward an amended registration card reflecting the change to
25the permanent title record to the registered owner with copies to
26all secured parties shown on the permanent title record.

27(3) If a creditor acquires a security interest in a manufactured
28home, mobilehome, commercial coach, truck camper, or floating
29home after the permanent title record has been established, the
30department shall amend the permanent title record to reflect the
31interest as that of a legal owner or as that of a junior lienholder,
32as appropriate. If the permanent title record already reflects the
33interest of one or more junior lienholders, the creditor then
34perfecting its interest pursuant to this section shall be designated
35as the most junior lienholder.

36(4) If a legal owner no longer holds an outstanding obligation
37or a commitment to make advances, incur obligations, or otherwise
38give value to be secured by the manufactured home, mobilehome,
39commercial coach, or truck camper, or floating home, the legal
40owner shall indicate its release of lien by appropriately signing the
P13   1certificate of title for the manufactured home, mobilehome,
2commercial coach, truck camper, or floating home and forward
3the certificate of title to the department with appropriate fees. The
4department shall appropriately amend the permanent title record
5for the manufactured home, mobilehome, commercial coach, truck
6camper, or floating home, deliver a new certificate of title reflecting
7the change to the permanent title record to the new legal owner,
8if any, by first-class mail, and forward an amended registration
9card reflecting the change to the permanent title record to the
10 registered owner with copies to all secured parties shown on the
11registration card. For purposes of this paragraph, the following
12person shall be designated as the new legal owner:

13(A) The junior lienholder, if any.

14(B) If there is more than one junior lienholder, the junior
15lienholder whose statement of lien was designated as the most
16senior junior lienholder on the permanent title record shall be the
17legal owner.

18(5) If a junior lienholder no longer holds an outstanding
19obligation or a commitment to make advances, incur obligations,
20or otherwise give value to be secured by the manufactured home,
21mobilehome, commercial coach, truck camper, or floating home,
22the junior lienholder shall forward the properly executed and
23released junior lienholder registration card to the department with
24appropriate fees. The department shall appropriately amend the
25permanent title record for the manufactured home, mobilehome,
26commercial coach, truck camper, or floating home and forward
27an amended registration card reflecting the change to the permanent
28title record to the registered owner with copies to all secured parties
29shown on the permanent title record.

30(d) (1) Notwithstanding subdivision (d) of this section and
31subdivisions (c) and (e) of Section 18080.7, for the 120-day period
32beginning upon the receipt by the department of the notice of
33escrow and appropriate fee provided by paragraph (2) of
34subdivision (d) of Section 18035, or until the escrow is canceled
35or until the escrow closes and the resulting transfers of ownership
36interests and transfers or creation of legal owner and junior
37lienholder interests are acknowledged by the department as
38amendments to the permanent title record of the manufactured
39home, mobilehome, truck camper, or floating home, whichever is
P14   1earlier, the department, except at its sole discretion, shall impose
2a moratorium on all of the following:

3(A) On any other amendments to the permanent title record of
4the manufactured home, mobilehome, truck camper, or floating
5home for the purpose of transferring any ownership interest or
6transferring or creating any security interest in the manufactured
7home or mobilehome.

8(B) On issuing any duplicate, substitute, or new certificate of
9title, registration card, or copy of a registration card regarding the
10manufactured home, mobilehome, or floating home.

11(C) On subsequent notices of escrow openings.

12(2) The department shall, upon receipt of the notice of escrow
13and the appropriate fee, forward to the escrow agent an
14acknowledgment of receipt and a true and correct copy of the
15permanent title record as of the commencement of the period of
16moratorium.

17(e) If a secured party fails to comply with the provisions of
18subdivision (a) relating to releases of lien and the secured party
19thereafter receives a written demand from the registered owner
20that the secured party release its lien, the secured party shall be
21liable to the registered owner for all actual damages suffered by
22the registered owner by reason of the failure to release the lien
23unless the secured party, within 20 days of receipt of the demand,
24complies with the requirements of subdivision (a), except where
25the secured party has reasonable cause for noncompliance.

26(f) Whenever the title or interest of the registered owner or legal
27owner in or to a manufactured home, mobilehome, commercial
28coach, truck camper, or floating home registered under this part
29passes to another in a manner other than by voluntary transfer, the
30new registered owner or legal owner may obtain a transfer of
31registration upon application therefor and upon presentation of the
32last certificate of title, if available, and current registration card,
33if available, issued for the manufactured home, mobilehome,
34commercial coach, truck camper, or floating home and any
35instruments or documents of authority or certified copies thereof
36as may be required by the department, or required by law, to
37evidence or effect the transfer of title or interest in that case. The
38department, when satisfied of the genuineness and regularity of
39the transfer, shall amend the permanent title record of the
40manufactured home, mobilehome, commercial coach, truck camper,
P15   1or floating home, issue a new current registration card and
2certificate of title, and forward copies of the current registration
3card to all junior lienholders.

4(g) The department shall not transfer registration until the
5applicant complies with the requirements of Section 18092.7.

end delete
6

begin deleteSEC. 6.end delete
7
begin insertSEC. 3.end insert  

Section 18116.1 of the Health and Safety Code is
8amended to read:

9

18116.1.  

(a) Nonpayment of the fees and penalties provided
10for in Sections 18114, 18114.1, and 18115, and in subdivisions
11(a), (b), (c), and (d) of Section 18116 that are due on a mobilehome,
12manufactured home, commercial coach, truck camper, or floating
13home shall constitute a lien in favor of the State of California in
14the amount owing.

15(b) Notwithstanding any other provision of law, the lien provided
16for in subdivision (a) shall include all fees and penalties due and
17unpaid beginning with the fees for original registration that became
18delinquent for 120 days or more and continue to accrue to include
19all fees and penalties that subsequently become due and remain
20unpaid.

21(c) Until the amount of a lien provided for in subdivision (a) or
22(b) is paid to the department, the department shall not do either of
23the following:

24(1) Amend the permanent title record of the manufactured home,
25mobilehome, commercial coach, truck camper, or floating home
26which is the subject of the lien for the purpose of transferring any
27ownership interest or transferring or creating any security interest
28in the manufactured home, mobilehome, commercial coach, truck
29camper, or floating home.

30(2) Issue any duplicate, substitute, or new certificate of title,
31registration card, or copy of a registration card with respect to the
32manufactured home, mobilehome, commercial coach, truck camper,
33or floating home which is the subject of the lien.

34(d) (1) When application is made to the department for
35registration or transfer of registration of a manufactured home or
36mobilehome, and the applicant is not currently the registered
37owner, with respect to all charges assessed by the department prior
38to the date the title or interest in the manufactured home or
39mobilehome was transferred to the applicant, the department shall
40release any lien imposed pursuant to this chapter and waive all
P16   1outstanding charges assessed by the department, if all of the
2following requirements are met:

3(A) The applicant provides documentation demonstrating to the
4satisfaction of the department ownership and the date of acquisition
5of ownership interest pursuant to Section 18100.5 or 18102.5.

6(B) The application is made prior to December 31,begin delete 2018.end deletebegin insert 2019.end insert

7(C) The applicant pays any charges assessed by the department
8during the period between the time the applicant took ownership
9interest or December 31,begin delete 2014,end deletebegin insert 2015,end insert whichever is later, and the
10time the applicant applies for relief pursuant to this subdivision.

11(D) The applicant has not previously filed for relief pursuant to
12this subdivision.

13(E) Any lien pursuant to Section 16182 of the Government Code
14has been satisfied.

15(2) If the applicant meets the requirements of paragraph (1) and
16the other requirements of this chapter not related to nonpayment
17or late payment of the department’s charges, fees, and penalties
18related to registration and titling, the department shall waive the
19outstanding charges, fees, or penalties identified in paragraph (1),
20amend the title record, and issue a duplicate, substitute, or new
21certificate of title, registration card, or copy of a registration card
22with respect to the manufactured home or mobilehome, in
23conformance with this chapter.

24(3) For purposes of any amounts owing pursuant to this
25subdivision, the department may establish a long term payment
26program of up to five years. The department may provide that any
27amounts owing under the payment program shall constitute a lien
28in favor of the State of California in the amount owing and shall
29be paid in full if the manufactured home or mobilehome is
30subsequently transferred. Failure to make the payments required
31by the plan is a violation of this chapter for which the department
32may suspend, revoke, or cancel the certificate of title pursuant to
33Section 18122.

34(4) (A) If the manufactured home or mobilehome for which an
35application has been submitted and approved pursuant to this
36subdivision and the other requirements of this chapter not related
37to nonpayment or late payment of the department’s charges, fees,
38and penalties related to registration and titling, is subject to local
39property taxation, the department shall issue a conditional transfer
40of title.

P17   1(B) Upon presentation of a completed tax liability certificate as
2provided in subdivision (f) of Section 5832 of the Revenue and
3Taxation Code, if the applicant meets all of the requirements of
4this section and the other requirements of this chapter not related
5to nonpayment or late payment of the department’s charges, fees,
6and penalties related to registration and titling, and the requirements
7of paragraph (2) are met, the department shall amend the title
8record and issue a duplicate, substitute, or new certificate of title.

begin delete

9(e) Prior to transferring any ownership interest or transferring
10or creating any security interest in the manufactured home or
11mobilehome, a registered owner shall apply to the department for
12a transfer clearance certificate indicating the department may
13amend the title record and transfer the registration of the
14mobilehome or manufactured home. The department shall issue
15the transfer clearance certificate if it determines that it is not
16prohibited by law from amending the title record and transferring
17the registration of the mobilehome or manufactured home. This
18certificate shall expire 90 days from the date of issuance.

19(f) Upon notification of any transfer of any ownership interest
20or transferring or creating any security interest in a manufactured
21home or mobilehome, the department shall notify the transferee
22of the obligation to title and register the home pursuant to this
23chapter and the procedure for titling and registration. If, after 90
24days, the transferee has not complied with the titling and
25registration requirements of this chapter, the department shall
26notify the transferee and, if the mobilehome or manufactured home
27is located in a mobilehome park, the park management of the
28transferee’s failure to comply.

end delete
29

begin deleteSEC. 7.end delete
30
begin insertSEC. 4.end insert  

Section 18550 of the Health and Safety Code is
31amended to read:

32

18550.  

It is unlawful for any person to use or cause, or permit
33to be used for occupancy, any of the following manufactured homes
34or mobilehomes wherever the manufactured homes or mobilehomes
35are located, or recreational vehicles located in mobilehome parks:

36(a) Any manufactured home, mobilehome, or recreational
37vehicle supplied with fuel, gas, water, electricity, or sewage
38connections, unless the connections and installations conform to
39regulations of the department.

P18   1(b) Any manufactured home, mobilehome, or recreational
2vehicle that is permanently attached with underpinning or
3foundation to the ground, except for a manufactured home or
4mobilehome bearing a department insignia or federal label, that is
5installed in accordance with this part.

begin delete

6(c) (1) Any manufactured home or mobilehome that does not
7conform to the registration requirements of the department, except
8as otherwise provided in this subdivision.

9(2) Nonconformance is not a basis for eviction from a
10mobilehome park of a person claiming to be an owner of a
11manufactured home or mobilehome in either of the following
12situations:

13(A) If the noncomformance occurs prior to January 1, 2017.

14(B) If the person files an application to transfer title pursuant
15to Article 4 (commencing with Section 18098) of Chapter 8 of
16Part 2 of Division 13 or subdivision (d) of Section 18116.1 prior
17to January 1, 2019, and completes the application within one year
18of the filing date.

19(3) It is not a violation of this section for a park owner to allow
20a person not in compliance with the registration requirements of
21the department to occupy a manufactured home or mobilehome if
22the person meets the requirements of paragraph (2).

end delete
begin delete

5 23(d)

end delete

24begin insert(c)end insert Any manufactured home, mobilehome, or recreational
25vehicle in an unsafe or unsanitary condition.

begin delete

7 26(e)

end delete

27begin insert(d)end insert Any manufactured home, mobilehome, or recreational
28vehicle that is structurally unsound and does not protect its
29occupants against the elements.

30begin insert

begin insertSEC. 5.end insert  

end insert

begin insertSection 18550.1 is added to the end insertbegin insertHealth and Safety
31Code
end insert
begin insert, to read:end insert

begin insert
32

begin insert18550.1.end insert  

On and after January 1, 2020, it is unlawful for any
33person to use, cause, permit to be used for occupancy, any
34manufactured home or mobilehome, wherever the manufactured
35home or mobilehome is located, that does not conform to the
36registration requirements of the department, provided that the
37department has provided notice to the occupant of the registration
38requirements and any registration fees due.

end insert
P19   1

begin deleteSEC. 8.end delete
2
begin insertSEC. 6.end insert  

Section 5832 of the Revenue and Taxation Code is
3amended to read:

4

5832.  

(a) (1) Upon application, the county tax collector shall
5issue a tax clearance certificate or a conditional tax clearance
6certificate.

7(2) Any tax clearance certificate issued shall be used to permit
8registration of used manufactured homes and for any other purposes
9that may be prescribed by the Controller. The certificate may
10indicate that the county tax collector finds that no local property
11tax is due or is likely to become due, or that any applicable local
12property taxes have been paid or are to be paid in a manner not
13requiring the withholding of registration or the transfer of
14registration.

15(3) Any conditional tax clearance certificate issued shall indicate
16that the county tax collector finds that a tax liability exists, the
17amount due, and the final date that amount may be paid before a
18further tax liability is incurred. The certificate shall be in any form
19that the Controller may prescribe, and shall be executed, issued,
20and accepted for clearance of registration or permit issuance on
21the conditions which the Controller may prescribe.

22(b) Within five working days of receipt of the written demand
23for a conditional tax clearance certificate or tax clearance
24certificate, the county tax collector shall forward the conditional
25tax clearance certificate or tax clearance certificate, showing no
26tax liability exists, to the requesting escrow officer. In the event
27the final due date of the tax clearance certificate or conditional tax
28clearance certificate expires within 30 days of the date of its
29issuance, an additional conditional tax clearance certificate or tax
30clearance certificate shall be completed, which has a final due date
31of at least 30 days beyond the date of issuance. The tax collector
32shall not charge a fee for the issuance of a certificate unless a
33previously issued tax clearance certificate or conditional tax
34clearance certificate expires prior to the date upon which title
35transfers. The fee for the issuance of a subsequent certificate with
36respect to that manufactured home shall be an amount equal to the
37actual costs of preparing and processing that certificate.

38(c) If the tax collector fails to comply with the demand within
3930 days from the date the demand is mailed, the escrow officer
P20   1may close the escrow in accordance with the provisions of
2subdivision (m) of Section 18035 of the Health and Safety Code.

3(d) Notwithstanding any provisions of law requiring the tax
4collector to issue a tax clearance certificate or conditional tax
5 clearance certificate within a specified period of time, when an
6escrow information demand is made pursuant to Section 18035 of
7the Health and Safety Code for a manufactured home that has not
8been enrolled in the county, the tax collector shall be afforded the
9number of working days necessary for the assessor to determine
10the value of the manufactured home and for the auditor to extend
11tax liability.

12(e) The issuance, alteration, forgery, or use of any tax clearance
13certificate or conditional certificate in a manner contrary to the
14requirements of the Controller constitutes a misdemeanor.

15(f) (1) Prior to January 1,begin delete 2019,end deletebegin insert 2020,end insert a person with a
16conditional transfer of title as described in subparagraph (A) of
17paragraph (4) of subdivision (d) of Section 18116.1 of the Health
18and Safety Code may apply to the tax collector to issue either a
19tax liability or tax clearance certificate. The county tax collector
20shall issue a tax liability certificate if the person pays the taxes
21reasonably owed from the date of sale as shown on the conditional
22transfer of title, without penalties or interest, and not to exceed the
23amounts attributable one year prior to January 1,begin delete 2016.end deletebegin insert 2017.end insert

24(2) Upon issuance of a tax clearance or liability certificate, the
25applicant shall be listed as the owner of record for all local property
26tax purposes and the home shall not be subject to lien or seizure
27based on any taxes, penalties, or interest as noted on the certificate
28issued pursuant to paragraph (1). The tax collector shall notify the
29assessor and other county agencies of the change.

30(3) This subdivision does not relieve any owner other than the
31applicant from tax liability, including penalties and interest, arising
32from nonpayment prior to the date of sale, or prohibit a county tax
33collector from collecting delinquent taxes, penalties, or interest
34due prior to the date of sale, from any owner other than the
35applicant.

36

begin deleteSEC. 9.end delete
37
begin insertSEC. 7.end insert  

The Legislature finds and declares that the abatement
38of taxes, penalties, and interest incurred prior to the date of sale
39of a mobilehome or manufactured home to an applicant, as
40described in this act, serves a public purpose and does not constitute
P21   1a gift of public funds within the meaning of Section 6 of Article
2XVI of the California Constitution.

3

begin deleteSEC. 10.end delete
4
begin insertSEC. 8.end insert  

If the Commission on State Mandates determines that
5this act contains costs mandated by the state, reimbursement to
6local agencies and school districts for those costs shall be made
7pursuant to Part 7 (commencing with Section 17500) of Division
84 of Title 2 of the Government Code.

9

begin deleteSEC. 11.end delete
10
begin insertSEC. 9.end insert  

Notwithstanding Section 2229 of the Revenue and
11Taxation Code, no appropriation is made by this act and the state
12shall not reimburse any local agency for any property tax revenues
13lost by it pursuant to this act.


CORRECTIONS:

Text--Page 8.




O

Corrected 6-10-16—See last page.     95